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HomeMy WebLinkAbout15768 ORD - 09/17/1980• 1p:9-15-80;lst, AN ORDINANCE AUTHORIZING THE CITY MANAGER TO EXECUTE A CONTRACT WITH THE COMMUNITY DEVELOPMENT CORPORATION OF CORPUS CHRISTI FOR $42,000, BEGINNING AUGUST 1, 1980 THROUGH JULY 31, 1981, ALL AS MORE FULLY SET FORTH IN THE CONTRACT, 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, TEXAS: SECTION 1. That the City Manager be authorized to execute a contract with the Community Development Corporation of Corpus Christi for $42,000, beginning August 1, 1980 and extending through July 31, 1981, all as more fully set forth in the contract, a substantial copy of which is attached hereto and made a part hereof, marked Exhibit A. SECTION 2. The necessity to authorize execution of the aforesaid contract at the earliest practicable date in order to make available more low and moderate income housing in Corpus Christi 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 that City Council, and the Mayor, having declared that such emergency and necessity exist, 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 /7 day of September, 1980. ATTEST: C y Secretary APPROVED: / DAY OF SEPTEMBER, 1980: J. BRUCE AYCOCK, CITY ATTORNEY By t9c Assia� ity AttorqrAir- 1.5768 OR THE CITY OF CORPUS CHRISTI, TEXAS =FILMED SEP 2 71984 CONTRACT THE STATE OF TEXAS j COUNTY OF NUECES X WHEREAS, the City of Corpus Christi, hereinafter called "City", desires to attract more low and moderate income housing to Corpus Christi; and WHEREAS, the City benefits from more economic activity, increased pro—. perty tax and direct employment, and material purchases developed by such housing; and WHEREAS, the Community Development Corporation of Corpus Christi,.a nonprofit corporation organized under the laws of the State of 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 of the Community Development Block Grant Fund Loan Program, providing assistance for economic development programs, providing budgeting and default counseling, and 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 orinvestments to either public authorities or private individuals 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, under Article 11, Sec. 5, Texas Con— stitution, Article 1175 VATS, generally, and City Charter Art. IX, Sec. 1, particularly, but without limitation, to contract for the promotion of the public welfare, health and safety in furtherance of necessary and proper use and occupancy of property of the City (Art. IX, Sec. 6(a)) and to promote in reasonable connection therewith the quality and quantity ofhousing available in the City, and general economic development, there being, this Council finds • a genuine need thereforrin the City at this time, and that CDC is a proper agency to serve as the 'City's independent contractor hereunder for the purposes heretofore expressed herein: NOW, THEREFORE, FOR AND IN CONSIDERATION OF THE COVENANTS, TERMS AND UNDERTAKINGS EXPRESSED, WITNESS THIS CONTRACT entered into between the City and CDC. CDC agrees: 1. To provide professional housing services to City through consulta— 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— plexes 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 tosegregate people by socioeconomic levels. 3. To assist City in the administration of the Community Development Block Grant 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 Community Development Biock Grant Program in accordance with applicable Department of Housing and Urban Development Regulations and the Demonstration Housing Rehabilitation Handbook of the City of Corpus Christi as approved by the City Council and attached as exhibit "A" to this contract and made a part thereto. 5. To provide to the extent possible home ownership counseling, including budgeting and money management, to families that are planning to purchase homes and to those who are experiencing payment difficulties with major emphasis on FHA mortgage insured homes. CDC will assist and direct to proper resources those families who have home maintenance problems and provide information concerning other specific family needs. 6. To provide advice and assistance in the planning and execution of economic development projects, upon request from the City. 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 audit for such expenditures. CDC will provide access to its records during regular business hours for the purposes of City and/or HUD 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. II, paragraphs la, 1b, and lc below, and provide such other information pertinent to this agreement as the City Manager may from 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 Community Development Loan Program, a total amount of $2,500 annually paid at the rate of one -twelfth (1/12) or $208.33 per month, from Community Develop- ment 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 Development Block Grant funds. c. For both multi -family and single family housing stimulation and housing counseling, a total of $22,000 annually paid at the rate of ` one -twelfth (1/12) or $1,833.33 per month, from the City's General Fund. 2. All funds distributed to CDC by the City shall be in conformity with the terms and conditions outlined under III and IV below. 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, or losses charged to or adjudged against the CDC arising from its operation, use, or maintenance of 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 ILS. Certified Mail properly stamped for and addressed for delivery to City at .City Hall, Corpus Christi, Texas, and to CDC, P. 0. Box 5205, Corpus Christi, Texas 78405. 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 paragraphs 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 Section 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 promulgated. by HUD during the life of this contract, which is directly related to and covering Community Development Block Grant funded activities when so informed in writing by the City Manager or his representative. 5. During the performance of this contract, the CDC agrees as follows: 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 are employed, and that 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 employment 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 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 commitment 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, 1965, 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, regula[ions, r and orders of the Secretary of Labor, or pursuant thereto, and will permit access to his books, records, and accounts by the Department and the Secretary of Labor for purposes of investigation to ascertain compliance with such rules, regulations, and orders. 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 for 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. g. The CDC will include the provisions of the sentence immediately preceding paragraph (a) and the provisions of p4ragraphs (a) through (g) in every subcontract or purchase 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 threatened 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(a) of the regu- lations the following assurance of compliance entitled "Training, Employ- ment, and Contracting Opportunities for Businesses and Lower Income Persons" shall be included in each Section 3 covered contract or agreement 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 be 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 persons reeiding in the area of the project. b. Notwithstanding any other provision of this contract, CDC shall 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 not limited to development and implementation_of an affirmative action plan for utilizing business concerns located within or owned in substantial part by persons residing 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; and 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 ftior to approval by the Government of the appli— cation 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 fulfill 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 be held invalid or uncon— stitutional by final judgment of a court of competent jurisdiction it shall. not affect any other section, paragraph, subdivision, clause, phrase, word r or provision of this contract, 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. This agreement shall become effective August 1, 1980 and the services herein contracted shall begin as of that date, on a month to month basis and terminate on July 31, 1981. Executed'in DUPLICATE ORIGINALS, this -the day of 1980. CITY OF CORPUS CHRISTI ATTEST: City Secretary R. Marvin Townsend, City Manager By: APPROVED: DAY OF COMMUNITY DEVELOPMENT CORPORATION OF CORPUS CHRISTI By: City Attorney President Director of Finance Director of Planning and Urban Development ATTEST: Vice President Secretary Treasurer Stanley J. Martinez, Executive Director Corpus Christi, Te % s _ f 7 day of 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 CI F CORPUS CHRISTI, TEXAS The Charter rule was suspen, by the following vote: Luther Jones ' Edward L. Sample ir' Dr. Jack Best O David Diaz dr Jack K. Dumphy Betty N. Turner Cliff Zarsky d The above ordinance was passeby the following vote: Luther Jones Edward L. Sample: Dr. Jack Best David Diaz Jack K. Dumphy Betty N. Turner Cliff Zarsky X768