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HomeMy WebLinkAbout14620 ORD - 11/15/1978jkh:11- 14- 78;lst TEXAS: AN ORDINANCE AUTHORIZING THE CITY MANAGER TO EXECUTE A CONTRACT WITH THE COMMUNITY DEVELOPMENT CORPORATION OF CORPUS CHRISTI - FOR $35,000, BEGINNING AUGUST 1, 1978 AND ENDING JULY 31, 1979, ALL AS MORE FULLY SET FORTH IN THE AGREEMENT,.A SUBSTANTIAL COPY OF WHICH IS ATTACHED HERETO AND MADE A PART HEREOF, MARKED EXHIBIT "A "; AND DECLARING AN EMERGENCY. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, SECTION 1. That the City Manager be and he is hereby authorized to execute a contract with the Community Development Corporation of Corpus Christi, for $35,000, beginning August 1, 1978 and ending July 31, 1979, for assistance in the conduct of the housing rehabilitation loan program and the City's efforts to expand the housing stock for low and moderate income families, all as more fully set forth in the agreement, a substantial copy of which is attached hereto and made a part hereof, marked Exhibit "A ". SECTION 2. The necessity to execute the aforesaid contract at the earliest practicable date in order that the aforesaid program may assist those residents who are in need of improved housing creates a public emergency and an imperative public necessity requiring the suspension of the Charter rule that no ordinance or resolution shall be passed finally on the date of its introduction but that such ordinance or resolution shall be read at three several meetings of the City Council, and the Mayor, having declared that such emergency and necessity exist, and having requested the suspension of the Charter rule and that this ordinance be passed finally on the date of its introduction and take effect and be in full force and effect from and after its passage, IT IS ACCORDINGLY SO ORDAINED, this the _day of November, 1978. ATTEST: Xj, Al City Secret ry MAYOR THE CITY C S CHRISTI, TEXAS APPROVED: /_r DAY OF NOVEMBER, 1978: J. BRUCE AYCOCK, CITY ATTORNEY By Z, _ AM -FILMED Assistant city ney �JUI L 0 81980 14G20 1; ,. CONTRACT THE STATE OF TEXAS X COUNTY OF NUECES WHEREAS, the City of Corpus Christi, hereinafter cnll,>ci "City ", desir'.s to attract more loco and moderate income housing to Corpus Christi; and WHEREAS, the City benefits from morn economic acticily, increased property tax and direct employment, and matex_.al pt rt`aases developed by such housing; and WHEREAS, the Community Development Corporation of Corpus Christi, a nonprofit corporation organized under the laws of the State +,f Texas, hereinafter called "CDC ", is desirous of planning and constructing low and lower middle income single and multi— family housing within the City, assisting in the administering ,o.f. the Community Development Block Grant Fund Loan Program, providing assistance .ior economic development programs, providing budgeting and default counseling, 7aru conducting a demonstration rehabilitation program; and WHEREAS, CDC, under Article IV of its Articles of incorporation, is expressly empowered to, among other things, acquire, hold or dispose of land, funds, or other mixed or personal property, tangible or intangible, furnish outright grants, loans or investments to either public authorities or private landividuals and corporations and to enter into contracts with public authorities .for the furtherance of the foregoing stated purposes, including renting, leasing, ,sale or encumbrance of residential housing; and WHEREAS, CDC has been carrying out a service program to help Insure 'better housing for low income families in the City, and other programs to stimulate and increase economic activity in the City; and WHEREAS, the City is empowered, undex Article 11, :ec. 5, Texas Con — r,ti.tution, Article 1175 VATS, generally, and City Chartor Art. IX, Sec. 1, particularly, but without limitation, to contract for th promot;on of the public welfare, health and safety in furtherar.:-e of ncressL-ry and proper use ,iad Occupancy of property of the City (Art. IX, Sec. G(a)! and to promote in reasonable connection therewith the quality and quantity of housing available Ii, Lite City, and general economic development, thee_ hcing, this Council finds a genuine need therefor in the City at thi,: tiwe, and that CDC is a proper agency to serve as the City's independ,•nt conCractor hereui`,: for the purposes heretofore expressed herein , NOW, THEREFORE, FOR AND IN CONSIDERATION OF TMV CC7ENANTS, TERMS VD rM)EIRTAKINIGS EXPRESSED, WITNESS THIS CONTRACT entered into between the City and CDC. I CDC agrees: 1. To provide professional housing services to City through consui.ta- tion, packaging, and promotion of safe, sanitary housing for low to moderate .income families, the elderly and the handicapped, and to assist in creating con- ditions which will encourage construction of new or rehabilitated apartment com- ,jilexes or single- family homes. 2. To make assistance available to all organizations that wish to be- nonprofit sponsors, to any private individual. seeking a personal residence _for himself and, /or his family and for all types of individual and multi - Family 'projects in all sections of City with special consideration being given to ,changing existing growth patterns which may tend to segregate people by 'socioeconomic levels. 3. To assist City in the administration of the Cnmrmunity Development 'Block Crant Fund Loan Program, including operating a CDC Loan Committee to review, screen and approve or disapprove all loan applications. 4. To implement and operate a demonstration rehabilitation program under the Conn-unity Development Block Grant Program in acr_ordance with -applicable Department of Housing and Urban Development Regulations. 5. To provide to the extent possible home ownership counseling, including budgeting and money manage,ient, to families that are planning to purchase homes and to those echo are experiencing payment difficulties with major emphasis on FHA mortgage insured homes. CDC will assist and direct to proper resources taose families who have. home maintenance probiams and provide information concerning other specific family needs. 6. To provide advice and assistance in the plauning and execution of econorcie development projects, upon request from the City. -2- 7. To maintain a paid staff, including a Director, with said staff to provide not less than one and one -half man years of time toward fulfillment of this contract.' 8. That the professional services provided under this contract will be supervised by the Board of Directors of CDC. 9. That it will record financial transactions according to approved accounting procedures and provide an independent audi.t for su._h expenditures. CDC will provide access to its records during regular business hours for the perposes of City and /or HOD conducted audits or monitoring. 10. That it will render a detailed written monthly activity report to the City Manager no later than the 15th calendar day of the following month together with a request for payment- according to Sec. 1I, paragraphs la, lb, and lc below, and provide such other information pertinent to this agreement as the City Tanager may frog^ time to time request. II City agrees: 1. That for the services performed by CDC hereunder, the City will compensate CDC as follows: a. For all loan review and assistance provided for the local Co =iunity Develcument Loan Program, a total &.mount of $2,500 annually paid at the rate of one - twelfth (1/12) or $208.33 per month, from C: nmunity Deselop- treat Block Grant monies. b. For the implementation and operation of a demonstration reha- bilitation program, a total amount of $17,500 annually paid at the rate of one - twelfth (1/12) or $1,458.33 per month, from Community Developmeat Block Grant funds. c. For both multi - family and single family housing stimulation and '.ousing counseling, a total of $15,000 annually paid at �he rate of one - twelfth (1/12) or $1,250.00 per month, from the City's Goneral Fund. 2. All funds distributed to CDC by the City shall b: in confonr.lty with the terms and conditions outlined under III and iV hel(nu, -3- III The parties further agree that: 1. in no event shall the City be liable for any contracts whatever made by CDC with any person, firm, corporation, association or governmental body, other than City itself. 2. In no event shall the City be liable for any damages, injuries, nor losses charged to or adjudged against the CDC arising from its operatiun, .use, or maintenance cf facilities. 3. Either party may terminate this contract as of the last day -of any month upon thirty (30) days prior written notice to the other party. Notice shall be deemed given to commence as of the deposit date in U. S. _Certified Mail properly stamped for and addressed for delivery to City at .City Hall, Corpus Christi, Texas, and to CDC, P. 0. Box 6098, Corpus Christi, "Texas 78411. 4. Nothing herein shall be construed as prohibiting CDC from entering .into contracts with additional parties for the performance of services similar or identical to those enumerated herein, and nothing herein shall be construed as prohibiting CDC from receiving compensation therefor from such additional parties, provided that all other terms of this contract are fulfilled. IV CDC and the City agree that all funds expended under this contract ,shall be solely for the activities outlined under this contract and further; 1. CDC agrees to conduct its activities in accordance with Federal .Management Circular 74 -4 and 74 -7 and HUD's Applicability to Community .Development Block Grants with reference to attachments B, C, N, and 0, thereof. 2. CDC agrees to comply with paragraph 570.506 Federal Register with reference to Program Income. 3. CDC agrees to comply with all applicable Equal Opportunity Regulations and specifically, Executive Order 11246, as amended, and Sectior. 3 of. the Housing Act of 1965, as amended, both of which are on file and available from the office of the Director of Housing and Community Development. 4. CDC agrees to comply with any other rule or regulation promuiga:ed by UUD during the life of this contract, which is directly related to and covering tc^.munity Development Block Grant funded activities when so informed in writing by the City Manager or his representative. -4- 5. During the performance of this contract, the CDC agrees as 1oi7.ows a. The CDC will not discriminate against any employee or applicant for employment because of race, color, religion, sex, or national. origin. The CDC will take affirmative action to ensure that applicants -ate employed, and chat employees are treated during employment, without 'regard to their race, color, religion, sex, or national origin. Such action shall include, but not be limited to the following: Employment, upgrading, demotion, or transfer; recruitment or recruitment advertising, layoff or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship. The CDC agrees to post- in conspicuous places, available to employees and applicants for employ- ment, notices to be provided setting forth the provisions of this nondis- crimination clause. b. The CDC will, in all solicitations or advertisements `for employees placed by or on behalf of the CDC, state that all qualified applicants will receive consideration for ern loyment without regard to race, color, religion, sex, or national origin. c. The CDC will send to each labor union or representative .of- workers with which it has a collective bargaining agreement or other contract or understanding, a notice to be provided by the Contract Com- pliance Officer advising the said labor union or worker's representatives of the CDC's coiry fitment under this section, and shall post copies of the notice in conspicuous places available to employees and applicants for employment. d. The CDC will comply with all provisions of Executive Order 11246 of September 24, 19652 and of the rules, regulations, and relevant orders of the Secretary of Labor. e. The CDC will furnish all information and reports required by Executive Order 11246 of September 24, 1965, and by rules, regulations and orders of the Secretary of Labor, or pursuant thereto, and wiLl permit access to his books, records, and accounts by the Department aad the Secretary of Labor for purposes of investigation to ascertain compliance %44th suca rules, regulations, and orders. -5- f. In the event of the CDC's: non - compliance with the non- discrimination clauses of this contract or with any of the said rules, ',regulations, or orders, this contract may be cancelled, terminated, or suspended in whole or in part and the CDC may be declared ineligible Jor further Government contracts in accordance with procedures authorized in Executive Order 11246 of September 24, 1965, or by rule, regulation, or.order of the Secretary of Labor, or as otherwise provided by law. Z. The CDC will include the provisions of the sentence immediately preceding paragraph (a) and the provisions of paragraphs (a) through (g) in every subcontract or purchace order unless exempted by rules, regulations, or orders of the Secretary of Labor issued pur- suant to Section 204 of Executive Order 11246 of September 24, 1965, so `that such provisions will be binding upon each subcontractor or vendor. The CDC will take such action with respect to any subcontract or purchase .'order as the Department may direct as a means of enforcing such provi- sions, including sanctions for non - compliance: Provided, however, that -in the event a contractor becomes involved in, or is threatf :ned with, litigation with a subcontractor or vendor as a result of such direction by the Department, the CDC may request the United States to enter into 'such litigation to protect the interest of the United States. 6. CDC agrees that pursuant to Section 130.20(aj of the regu- „la *_ions the following assurance of compliance entitled "Training, Employ - merit, and Contracting Opportunities for Businesses and Lower Income Persons" shall be included in each Section 3 covered contract or agree- sment resulting from this contract. a. The project assisted under this contract is subject to the requirements of Section 3 of the Housing and Urban Development Act of 1965, as :amended, 12 U.S.C,. 1701u. Section 3 requires that to the greatest extent feasible, opportunities for training and employment tic given lower income residents of the project area and contracts for work in connection with the project be awarded to business concerns which are located in or owned in substantial part by persuiis residing in the area of the project. -6- =_ b. Notwithstanding any other provision of this contract, CDC small carry out the provisions of said Section 3 and the regulations issued pursuant thereto by the Secretary set forth in 24 CFR Part 135 (published in 38 Federal Register 29220, October 23, 1973), and all applicable rules and- orders of the Secretary issued thereunder prior to the execution of this contract. The requirements of said regulations include but are sot limited to development and implementation of an affirmative action plan for utilizing business concerns located within or owned in substantial part by persons re- siding in the area of the project; the making of a good faith effort, as defined by the regulations, to provide training, employment, and business opportunities required by Section 3; aid incorporation of the "Section 3 clause" specified by Section 135.20(b) of the regulations in all contracts for work in connection with the project. The CDC certifies and agrees that it is under no contractual or other disability which would prevent it from complying with these requirements. c. Compliance with the provisions of Section 3, the regulations set forth in 24 CFR Part 135, and all applicable rules and orders of the Secretary issued thereunder prior to approval by the Government of the application for this contract, shall be a condition of the Federal financial assistance provided to the project, binding upon the CDC, its successors and assigns. Failure to ful- fili these requirements shall subject the CDC, its contractors and subcontractors, its successors, and assigns to the sanctions specified by this contract, and to ,such sanctions as are specified by 24 CFR Section 135.135. V If for any reason any section, paragraph, subdivision, clause, phrase, word or provision of this contract shall he held invalid or unconstitutional by final judgment of a court of competent jurisdiction it shall not affect any other section, paragraph, subdivision, clause, phrase, word or provision of this con- tract, for it is the definite intent of the parties hereto that every section, paragraph, subdivision, clause, phrase, word or provision hereof be given full force and effect for its purpose. -7- m,:.' VI This agreement shall become effective August 1, 1978, and the services ,herein contracted shall begin as of that date, on a month to month basis and terminate on July 31, 1979. Executed in DUPLICATE ORIGINALS, this the day of 1978. ATTEST: CITY OF CORPUS CHRISTI By City Secretary R. Marvin Townsend, City Manager APPROVED: COMMUNITY DEVELOPMENT DAY OF 1978: CORPORATION OF CORPUS CHRISTI Joy Yates, President ty Attorney oon Emery Cox, Vice President '.Director of Finance Raymond Rodriguez, Secretary Director of Planning and Urban Development Kermit Stewart, Treasurer -8- Stanley J. Martinez, Executive Director Corpus Christi, Texas ay of `Y Y.t� , 19Z� TO THE MEMBERS OF THE CITY COUNCIL Corpus Christi, Texas For the reasons set forth in the emergency clause of the foregoing ordinance, a public emergency and imperative necessity exist for the suspension of the Charter rule or requirement that no ordinance or resolution shall be passed finally on the date it is introduced, and that such ordinance or resolution shall be read at three meetings of the City Council; I, therefore, request that you suspend said Charter rule or requirement and pass this ordinance finally on the date it is introduced, or at the present meeting of the City Council. Respectfully, MAYOR THE C TY�ORPUS CHRISTI, TEXAS The Charter rule was suspended by the following vote: Gabe Lozano, Sr. _0—),4(,- Bob Gulley CLA 4t, David Diaz Ruth Gill Joe Holt Tony Juarez, Jr. Edward L. Sample The above ordinance was passed by the following vote: Gabe Lozano, Sr. Bob Gulley David Diaz Ruth Gill Joe Holt Tony Juarez, Jr. Edward L. Sample 146sf)