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HomeMy WebLinkAbout16595 ORD - 10/14/1981sp;10/Y 2/81;,1 st AN ORDINANCE AUTHORIZING THE CITY MANAGER TO EXECUTE A CONTRACT WITH THE COMMUNITY DEVELOPMENT CORPORATION OF CORPUS CHRISTI FOR $52,000, BEGINNING AUGUST 1, 1981 THROUGH JULY 31, 1982, ALL AS MORE FULLY SET FORTH IN THE CON- TRACT, A SUBSTANTIAL COPY OF WHICH IS ATTACHED HERETO AND MADE A PART HEREOF, MARKED EXHIBIT "A"; AND DE- CLARING AN EMERGENCY. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS: 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 $52,000, beginning August 1, 1981, and extending through July 31, 1982, 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. That upon written request of the Mayor or five Council members, copy attached, to find and declare an emergency due to the need of executing the aforesaid contract at the earliest practicable date in order to make available more low and moderate income housing in Corpus Christi, such finding of an emergency is made and declared requiring suspension of the Charter rule as to consideration and voting upon ordinances or resolu- tions at three regular meetings so that this ordinance is passed and shall take effect upon first reading as an emergency this /� day of October, 1981. ATTEST: AFTROVED: HO, DAY OF OCTOBER, 1981 J. BRUCE AYCOCK, CITY ATTORNEY By s' ant City Attorney MAY017/11i1Vr THE CITY OF CORPUS CHRISTI, TEXAS 16595 SEP 2 71984 MICROFILMED. CONTRACT THE STATE OF TEXAS X COUNTY OF VUECES I WHERr4S, 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 Diddle income single and multi—family housing within the City, assisting ia'the administering of the CommnnSty 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, £u niers outright grants, loans or.investments 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 W}IEREAS, 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. I, 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 oflousing available in the City, and general economic development, there being, this Council finds ,a genuine need therefor in 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 QF THE COVENANTS, TERMS AND UNDERTAKINGS EkZ'RESSED, 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 cam— 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—fanny - 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 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 Block Grant Program is 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 PYh;bit "A" to this contract' and made a part thereto. 5. To provide -to the extent possible home ownership•couaseling, 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 pruvide advice ana assistance in the planning and execution GE 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 reader 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 1a,_lb, and lc below, and provide such other information pertinent tb this -agreement as the City Manager may from time to time request. 1X' City agrees: . 1. That for the services performed by CDC hereunder,'the City will compensate CDC as follows: a. Por all loan review and assistance provided for the local. Community Development Loan Program, a total amount of $6,000 annually paid at the rate of one -twelfth (1/12) or $500.00 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 $24,000 annually paid at the rate of one -twelfth (1/12) or $2,900.003 per month, from Community Development Bloch Grant funds. . c. Por both multi -family and single family housing stIm'aritioa 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 teens and•conditions outlined under III and IV below. uP Ixx The parties further agrde 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. CDC agrees to indemnify and forever save City harmless from claims for any damages, injuries, or losses whatsoever arising from its operation, use, or maintenance of facilities under this contract. 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 Nail properly stamped for and addressed for delivery to City, P.O. Box 9277, Corpus Christi, Texas, 78408, and to CDC, P.O. 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 sloflar 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 fh•:s 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 HUDTs Applicability to Community Development Block Grants with reference to attachments B, C, ffi, 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 avvY7able from the office of the Director of Housing and Community Development_ 4. CDC agrees to comply with.any other rule or regulation promulgated by HAD daring the life of this contract, which is directly related to and coverin! Community Development Block Grant funded activities when so informed in writing by the City Manager or his representative.• 5_ During the perforralce 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. went, notices to be provided setting forth the provisions of thic_nor1is-- crimination clause. b. The.CDC will, in all solicitations or advertisements for employees placed by or on behalf of the CDC, state that all gnalified 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. Order11246 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, regulations, r and orders of the Secretary of Labor, or pursuant thereto, and will permit access to his books, records, and accounts by the Departeent and the Secretary of Labor for purposes of investigation to ascertain compliance with such rules, regulations, and orders. r f. In tha event of Che 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 paragraphs (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 - went, 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 regiding in the area of the project. b. Notuithstandingany other provision of this contract, CDC shall carry out the provisions of said Section 3'aad the regulations issued pursuant thereto by the Secretary set forth in 24 CFR. ParE 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 i:egulatinas in al .contracts for work in connection with the project. The CDC certifies and agrees that it is under no contractual orother' disability whicb.would. prevent it from complying with these requirements_ c. Compliance with the provisions of Section 3, the regulations set forth in 24 CER Part 135, and all applicable rules and orders of the Secretary issued thereunder prior to approval by the Government of the appli— cation for this contract, shall be a condition of the Federal ffnanriai 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 CER 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, w.'ord 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, 1981 and the services herein contracted shall begin as of that date, on a month to month basis and terminate on July 31, 1982. Executed in DUPLICATE ORIGINALS, this the day of 1981. CITY OF CORPUS CHRISTI City Secretary APPROVED: By: trnest M. Brianes Acting City Manager ��1 DAY OF1/1241,, 1981 COMMUNITY DEVELOPMENT CORPORATION OF CORPUS CHRISTI By: Ass ant City Attorney President Assistant City Manager Vice President ATTEST: Secretary Treasurer . --_Stanley J. Martinez, Executive Dir Corpus Christi, Texas //I day of , 1981 TO THE MEMBERS OF THE CITY COUNCIL Corpus Christi, Texas For the reasons set forth in the emergency clause of the foregoing ordinance or resolution, an emergency exists requiring suspension of the Charter rule as to consideration and voting upon ordinances or resolutions at three regular meetings; I/we, therefore, request that you suspend said Charter rule and pass this ordinance or resolution finally on the date it is introduced, or at the present meeting of the City Council. Respectfully, V Respectfully, Council Members MAYOR THE CITY OF CORPUS CHRISTI, TEXAS The above ordinance was passed by the foll•wing vote: Luther Jones Betty N. Turner Jack K. Dumphy Bob Gulley Herbert L. Hawkins, Jr. Dr. Charles W. Kennedy Cliff Zarsky 16595