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HomeMy WebLinkAbout027058 RES - 11/14/2006Page 1 of 3 RESOLUTION APPROVING THE EXECUTION OF AN AFFORDABLE HOUSING PROGRAM AGREEMENT BETWEEN THE CORPUS CHRISTI BUSINESS AND JOB DEVELOPMENT CORPORATION, THE CITY OF CORPUS CHRISTI, AND NUECES COUNTY COMMUNITY ACTION AGENCY TO ALLOW THE CORPORATION TO GRANT $200,000 TO THE NCCAA FOR INFRASTRUCTURE DEVELOPMENT OF A NEW CONSTRUCTION PROJECT AS PART OF AN AFFORDABLE HOUSING PROGRAM; AND AUTHORIZING THE CITY MANAGER TO EXECUTE THE PROGRAM AGREEMENT ON BEHALF OF THE CITY WHEREAS, the Texas Legislature in Section 4A of Article 5190.6, Vernon's Texas Revised Civil Statutes (Development Corporation Act of 1979) empowered local communities with the ability to adopt an optional local sales and use tax as a means of improving the economic health and prosperity of their citizens; WHEREAS, on November 5, 2002, residents of the City of Corpus Christi passed Proposition 2, New and Expanded Business Enterprises, which authorized the adoption of a sales and use tax for the promotion and development of new and expanded business enterprises at the rate of one - eighth of one percent to be imposed for 15 years; WHEREAS, in the same election, the residents of the City passed Proposition 2B, Affordable Housing, which authorized the use of a portion of the sales and use tax approved under Proposition 2 for affordable housing, up to $500,000 annually, so long as there are projects for which the amount can reasonably be used; WHEREAS, the 1/8 cent sales tax authorized by passage of Proposition 2 and allocated under Proposition 2B for affordable housing was subsequently enacted by the City's City Council ( "City Council ") and filed with the State Comptroller of Texas, effective April 1, 2003, to be administered by the Corpus Christi Business and Job Development Corporation's Board of Directors ( "Board "); WHEREAS, the Board issued a request for proposals for affordable housing projects as that term is defined in Title 42 of the United States Code, Section 12745, in accordance with the requirement in the Texas Development Corporation Act of 1979; WHEREAS, NCCAA submitted a proposal to the Board to request $250,000 in grant funds for infrastructure design and construction; and WHEREAS, the Board has determined that it is in the best interests of the residents of the City of Corpus Christi that NCCAA be awarded affordable housing funds in the amount of $200,000. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS, THAT: H ,LEG -DIR\ Shared\ GaryS\ agenda12006111- 141RES- NCCAA.doc fjj Page 2 of 3 SECTION 1. The City Council of the City of Corpus Christi, Texas, approves the execution of an Affordable Housing Program Agreement ( "Program Agreement ") between the Corpus Christi Business and Job Development Corporation ( "Corporation "), the City of Corpus Christi ( "City "), and Nueces County Community Action Agency ( "NCCAA ") to allow the Corporation to grant $200,000 to the NCCAA for infrastructure Development of a new construction project as part of an Affordable Housing Program A copy of the Program Agreement in substantial form is attached as Exhibit A The executed Program Agreement will be filed in the Office of the Secretary. SECTION 2. That the City Manager is authorized to execute the Program Agreement referenced above on behalf of the City. ATTEST Armando Chapa Assistant City Secretary Approved as to form: November 8, 2006 ry uL�naOi) G . Smith Assistant City Attorney For the City Attorney CITY OF CORPUS CHRISTI .. ii, He 'Garre Mayor, City o Corpus Christi /1;.a.. �I H \ LEG -DIR\ Shared\ GaryS\ agenda12006 \11- 14 \RES- NCCAA .doc Page 3 of 3 Corpus Christi, Texas y of A./6v 0er , 2006 The above resolution was passed by the following vote: Henry Garrett Brent Chesney John E. Marez Melody Cooper Jerry Garcia William Kelly Rex A. Kinnison Jesse Noyola Mark Scott H:\LEG-DIR\Shared\GaryS\agenda\2006111-141RES-NCCAA.doc AFFORDABLE HOUSING PROGRAM AGREEMENT FOR AN INFRASTRUCTURE DEVELOPMENT PROJECT This Affordable Housing Program Agreement for the Infrastructure Development of a New Housing Construction Project ( "Program Agreement ") is entered into between the Corpus Christi Business and Job Development Corporation ( "Corporation "), the City of Corpus Christi ( "City "), and the Nueces County Community Action Agency ( "NCCAA'), a non - profit corporation organized under the statutes of the State of Texas. VI-HEREAS, the Texas Legislature in Section 4A of Article 5190.6, Vernon's Texas Revised Civil Statutes (Development Corporation Act of 1979) empowered local communities with the ability to adopt an optional local sales and use tax as a means of improving the economic health and prosperity of their citizens; WHEREAS, on November 5, 2002, residents of the City of Corpus Christi passed Proposition 2, New and Expanded Business Enterprises, which authorized the adoption of a sales and use tax for the promotion and development of new and expanded business enterprises at the rate of one - eighth of one percent to be imposed for 15 years; WHEREAS, in the same election, the residents of the City passed Proposition 2B, Affordable Housing, which authorized the use of a portion of the sales and use tax approved under Proposition 2 for affordable housing, up to $500,000 annually, so long as there are projects for which the amount can reasonably be used; WHEREAS, the 1/8 cent sales tax authorized by passage of Proposition 2 and allocated under Proposition 2B for affordable housing was subsequently enacted by the City's City Council ( "City Council ") and filed with the State Comptroller of Texas, effective April 1, 2003, to be administered by the Corporation's Board of Directors ( "Board "); WHEREAS, the Board issued a request for proposals for affordable housing projects WHEREAS, the NCCAA submitted a proposal to the Board to request funding to be used for the infrastructure development of Phases II and III of the CAP Estates II new housing construction project for the promotion and development of affordable housing within the City; WHEREAS, the Board has determined that it is in the best interests of the residents of the City of Corpus Christi that the NCCAA be awarded affordable housing funds, by execution of this Program Agreement, to develop the infrastructure for the new housing construction project as part of the CAP Estates II affordable housing project ( "Project ") which was submitted in response to the Board's request. Affordable Housing- NCCAA InfrastructureDevelopment FY2006.doc Page 1 of 10 Exhibit A WHEREAS, Section 21 of the Texas Development Corporation Act of 1979, Article 5190 6, Vernon's Texas Revised Civil Statutes, requires the City Council to approve all programs and expenditures of the Corporation; M1EREAS, the City Council approved the Corporation's affordable housing program and selection of the NCCAA as a recipient of affordable housing funds on November 14, 2006 and In consideration of the covenants, promises, and conditions stated in this Program Agreement, the Corporation, the City, and the NCCAA agree as follows: 1. Program Agreement for Infrastructure Development of the CAP Estates II Affordable Housing Project. This Program Agreement between the Corporation and the NCCAA is executed for the infrastructure development of Phases II and III of CAP Estates II for an affordable housing project proposed by NCCAA in the City's response to the Board's request for proposals ( "Project Response "). The Project Response submitted by the NCCAA is attached to this Program Agreement as Exhibit A and is incorporated in this Program Agreement by reference. 2. Effective Date. The effective date of this Program Agreement is the date on which the City Council grants approval to the Corporation for this Project, so long as all parties have executed this Program Agreement. 3. Term. The term of this Program Agreement extends twenty -four (24) months from the date the last party executes this document. 4. Services to be Provided by City. a. The City, through the City's City Manager or his designee ( "City Manager "), shall administer funding and perform contract administration responsibilities, as outlined in this Program Agreement, for the Corporation. 5. Services to be Provided by NCCAA. a. The NCCAA shall develop a request for proposals for a utility construction contractor to provide a "turnkey" completion of the infrastructure for Phases II and III of CAP Estates II. The scope of the work for the proposal will include the survey and plat of the fifty -seven (57) single family residential lots, develop a storm water drainage management plan, design and construction of streets, curbs, and gutters; design and installation of the potable water distribution system; design and installation of the fire protection system; design and installation of the wastewater collection system; design and installation of a utility (electrical, phone, and cable) distribution system. b. The NCCAA will publish the request for proposals, receive the proposals, evaluate the eligible proposals and award the contract within the time frame Affordable Housing- NCCAA InfrastructureDevelopment FY2006.doc Page 2 of 10 established by the published request for proposals, and as established by the Terms of this Agreement. c. The NCCAA will manage the completion of the design, construction and installation of the infrastructure development project within the time frame outlined in the published request for proposals, and as established by the Terms of this Agreement. d. The NCCAA will ensure that the selected utility construction contractor and subcontractors will be required to provide the City of Corpus Christi and NCCAA with all required insurance coverage, documents, and assurances. e. The NCCAA will, in no event, utilize the funds provided under this Program Agreement for any other expense associated with the Project without the NCCAA obtaining the prior written approval of the City and the Corporation. 6. Payment of Funds. a. The Corporation authorizes the City to pay, from allocated sales tax revenues, up to $200,000 to fund the infrastructure development of the Phases II and III of the CAP Estates II Affordable Housing Project to this Program Agreement. b. Any payments by the Corporation under the provisions of this Program Agreement are subject to the receipt of sales taxes, by the City, from the Office of the Comptroller of the State of Texas and payment of the sales taxes to the Corporation by the City. c. Payments for the direct and associated expenses pertaining to the design, construction and installation of the infrastructure development project will be made by the City directly to the commissioned contractor. Supporting documentation for payment must be provided to the City by the NCCAA prior to processing a request for payment. 7. Documentation and Reports. a. The NCCAA shall maintain all documentation relating to the receipt and expenditure of the funds provided under this Program Agreement for a period of three years following the expiration of this Program Agreement or for such longer period as may be required by Federal or State law. b. The NCCAA shall provide access to all records, documents, reports, and audits, regarding the funded activity under this Program Agreement, during regular business hours, for the purpose of inspection and copying by the City Manager. Furthermore, the NCCAA shall provide to the City Manager any information pertinent to this Program Agreement, as may be requested during the term of this Program Agreement. Affordable Housing- NCCAA InfrastructureDevelopment FY2006.doc Page 3 of 10 c. The NCCAA shall submit a performance report ( "Report") to the City and the Corporation at least once each quarter and a final Report within 30 days of the expiration of this Program Agreement. The Report must contain all relevant details pertaining to the status of the infrastructure development project and include any supporting documentation required to substantiate the written narrative contained in the Report. 8. Amendments or Modifications. No amendments or modifications to this Program Agreement may be made, nor any provision waived, unless the amendment or modification is made in writing and signed by persons duly authorized to sign agreements on behalf of all parties. 9. Severability. a. If for any reason, any section, paragraph, subdivision, clause, provision, phrase or word of this Program Agreement or the application of this Program Agreement to any person or circumstance is, to any extent, held illegal, invalid, or unenforceable under present or future law or by a final judgment of a court of competent jurisdiction, then the remainder of this Program Agreement, or the application of the term or provision to persons or circumstances other than those as to which it is held illegal, invalid, or unenforceable, will not be affected by the law or judgment, for it is the definite intent of the parties to this Program Agreement that every section, paragraph, subdivision, clause, provision, phrase, and word of this Program Agreement be given full force and effect for its purpose. b. To the extent that any clause or provision is held illegal, invalid, or unenforceable under present or future law effective during the term of this Program Agreement, then the remainder of this Program Agreement is not affected by the law, and in lieu of any illegal, invalid, or unenforceable clause or provision, a clause or provision, as similar in terms to the illegal, invalid, or unenforceable clause or provision as may be possible and be legal, valid, and enforceable, will be added to this Program Agreement automatically. 10. Compliance with Laws. The NCCAA shall comply with all applicable Federal, State, and local government laws, rules, regulations, and ordinances which may be relevant to the NCCAA's performance under this Program Agreement. 11. Jurisdiction and Venue. a. This Program Agreement will be governed by and construed in accordance with the laws of the State of Texas. b. All actions brought to enforce compliance with this Program Agreement must be brought in Nueces County, Texas, where this Program Agreement was entered into and must be performed. Affordable Housing- NCCAA InfrastructureDevelopment FY2006.doc Page 4 of 10 12. Acknowledgment and Construction of Ambiguities. The parties expressly agree that each has independently read and does understand this Program Agreement. By the NCCAA's execution of this Program Agreement, the NCCAA agrees to be bound by the terms, covenants, and conditions contained in this Program Agreement. Any ambiguities in this Program Agreement may not be construed against the drafter. 13. Indemnity. The NCCAA must fully indemnify and hold harmless the City of Corpus Christi, the Corpus Christi Business and Job Development Corporation, and their officers, employees, and agents (hereinafter, collectively "Indemnitees ") from and against any and all liability, damage, loss, claims, demands, expenses, suits, and causes of action of any nature whatsoever on account of injury or damage to person (including, without limitation on the foregoing, premises defects, workers' compensation, and death claims) or property loss or damage of any kind whatsoever which arise out of or are in any manner connected with, or are claimed to arise out of or be in any way connected with, either proximately or remotely, wholly or in part, any activities by the NCCAA, its officers, employees, agents, members, invitees, or independent contractors with respect to this Program Agreement or the Project that is the subject of this Program Agreement, regardless of whether such injuries, death, or damages are caused, or are claimed to be caused, by the contributory negligence of any of the Indemnitees, but not if caused by the sole negligence of the Indemnitees unmixed with the fault of any other person or entity. The NCCAA covenants and agrees that if Indemnitees, or any of them, are made a party to any litigation against the NCCAA or in any litigation commenced by any party other than the NCCAA relating to this Program Agreement or Project, the NCCAA shall, upon receipt of reasonable notice regarding commencement of litigation, at its own expense, investigate all claims and demands, attend to their settlement or other disposition, defend Indemnitees in all actions based thereon with legal counsel satisfactory to Indemnitees, and pay all charges of attorneys and all other costs and expenses of any kind arising from any said liability, damage, loss, demand, claim, or action. 14. Warranties. NCCAA warrants and represents to Corporation the following: a. NCCAA is a corporation duly organized, validly existing, and in good standing under the laws of the State of Texas, has all corporate power and authority to carry on its business as presently conducted in Corpus Christi, Texas. Affordable Housing- NCCAA InfrastructureDevelopment FY2006.doc Page 5 of 10 b. NCCAA has the authority to enter into and perform, and will perform, the terms of this Program Agreement. c. NCCAA has timely filed and will timely file all local, State, and Federal tax reports and returns required by law to be filed and all taxes, assessments, fees, and other governmental charges, including applicable ad valorem taxes, have been timely paid, and will be timely paid, during the term of this Program Agreement. d. NCCAA has received a copy of the Texas Development Corporation Act of 1979, Art. 5190.6, Vernon's Texas Revised Civil Statutes, and acknowledges that the funds granted in this Program Agreement must be utilized solely for purposes authorized under State law and by the terms of this Program Agreement. e. If an audit determines that the funds were not used for authorized purposes, NCCAA agrees to reimburse Corporation for the sums of money spent for purposes not authorized by law within 30 days written notice requesting reimbursement. f. The parties executing this Program Agreement on behalf of NCCAA are duly authorized to execute this Program Agreement on behalf of NCCAA. 15. Events of Default. The following events constitute a default of this Agreement: a. Failure of NCCAA to timely, fully, and completely comply with any one or more of the requirements, obligations, duties, terms, conditions, or warranties of this Program Agreement; b. The Corporation or City determines that any representation or warranty on behalf of NCCAA contained in this Program Agreement or in any financial statement, certificate, report, proposal, or opinion submitted to the Corporation in connection with this Program Agreement was incorrect or misleading in any material respect when made: c Any judgment is assessed against NCCAA or any attachment or other levy against the property of NCCAA with respect to a claim remains unpaid, undischarged, or not dismissed for a period of 30 days. d. NCCAA makes an assignment for the benefit of creditors. e. NCCAA files a petition in bankruptcy, or is adjudicated insolvent or bankrupt. f. If taxes on property owed by NCCAA become delinquent, and NCCAA fails to timely and properly follow the legal procedures for protest or contest. g. NCCAA changes the general character of its business as conducted on or following the date this Agreement is approved by the Corporation. Affordable Housing- NCCAA InfrastructureDeveiopment FY2006.doc Page 6 of 10 16. Notice of Default. Should the Corporation or City determine that NCCAA is in default according to the terms of this Agreement, the Corporation or City shall notify NCCAA in writing of the event of default and provide 60 days from the date of the notice ( "Cure Period ") for NCCAA to cure the event of default. 17. Results of Uncured Default. After exhausting good faith attempts to address any default during the Cure Period, and taking into account any extenuating circumstances that might have occurred through no fault of NCCAA, as determined by the Board of Directors of the Corporation, the following actions must be taken for any default that remains uncured after the Cure Period: a. NCCAA shall immediately pay to Corporation, with interest at the interest rate paid by the City on its most recently issued general obligation bonds from date of expiration of Cure Period until fully paid, all funds not used in accordance with this Program Agreement. b. NCCAA shall pay Corporation reasonable attorney fees and costs of court to collect amounts due to Corporation. c. The Corporation shall have no further obligations to NCCAA under this Program Agreement and this Program Agreement shall terminate. d. Neither the City nor the Corporation may be held liable for any consequential damages. e. The Corporation may pursue all remedies available under law. 18. No Waiver. a No waiver of any covenant or condition, or the breach of any covenant or condition of this Program Agreement, constitutes a waiver of any subsequent breach of the covenant or condition of the Program Agreement. b No waiver of any covenant or condition, or the breach of any covenant or condition of this Program Agreement, justifies or authorizes the nonobservance on any other occasion of the covenant or condition or any other covenant or condition of this Program Agreement. c. Any waiver or indulgence of NCCAA default may not be considered an estoppel against the Corporation. d. It is expressly understood that if at any time NCCAA is in default in any of its conditions or covenants of this Program Agreement, the failure on the part of the Corporation to promptly avail itself of the rights and remedies that the Corporation may have, will not be considered a waiver on the part of the Corporation, but Corporation may at any time avail itself of the rights or remedies or elect to terminate this Program Agreement on account of the default. Affordable Housing- NCCAA InfrastructureDevelopment FY2006.doc Page 7 of 10 19. Notices. a. Any required written notices shall be sent, certified mail, return receipt requested, addressed as follows: If to NCCAA: Nueces County Community Action Agency Attn: Executive Director 4760 Old Brownsville Road Corpus Christi, Texas 78405 If to Corporation: City of Corpus Christi Business and Job Development Corporation Attn: Executive Director 1201 Leopard Street Corpus Christi, Texas 78401 b A copy of all notices and correspondence must be sent to the City at the following address: City of Corpus Christi Attn.: City Manager P.O. Box 9277 Corpus Christi, Texas 78469 -9277 c. Notice is effective upon deposit in the United States mail in the manner provided above. 20. Incorporation of other documents. The Corpus Christi Business & Job Development Corporation 4A Board Affordable Housing Request for Proposals issued January 9, 2006 is incorporated into this Program Agreement. 21. Non- assignment. The NCCAA may not assign, mortgage, pledge, or transfer this Program Agreement or any interest contained in this Program Agreement without the prior written consent of the other parties to this Program Agreement. 23. Non - discrimination. The NCCAA may not discriminate nor permit discrimination against any person or group of persons on the grounds of race, gender, disability, religion, age, or national origin in any manner prohibited by the laws of the United States or the State of Texas. The City Manager retains the right to take any action the United States or the State of Texas may direct to enforce this non - discrimination covenant. Affordable Housing- NCCAA InfrastructureDevelopment FY2006.doc Page 8 of 10 24. Captions. The captions in this Program Agreement are for convenience only and are not a part of this Program Agreement. The captions do not in any way limit or amplify the terms and provisions of this Program Agreement. 25. Entire Agreement. This Program Agreement and the referenced and incorporated documents constitute the entire agreement between the Corporation, the City, and the NCCAA for the purpose stated. All other agreements, promises, representations, and understandings, oral or otherwise, with reference to the subject matter of this Program Agreement, unless contained in this Program Agreement, are expressly revoked, as the parties intended to provide for a complete understanding, within the provisions of this Program Agreement and its referenced and incorporated documents, of the terms conditions, promises, and covenants relating to each party's required performance under this Program Agreement. ATTEST: CORPUS CHRISTI BUSINESS & JOB DEVELOPMENT CORPORATION Armando Chapa, City Secretary STATE OF TEXAS COUNTY OF NUECES Gail Hoffman, Chairperson Date: ACKNOWLEDGMENT KNOW ALL BY THESE PRESENTS: This instrument was acknowledged before me on , 2006, by GAIL HOFFMAN as the Chairperson of the Corpus Christi Business and Job Development Corporation, a Texas nonprofit corporation, on behalf of the corporation. NOTARY PUBLIC, State of Texas Affordable Housing- NCCAA InfrastructureDevelopment FY2006.doc Page 9 of 10 ATTEST: CITY OF CORPUS CHRISTI Armando Chapa City Secretary Date: APPROVED AS TO FORM: pl..),,t,vl6er' `f ,2006 Gary W Smith Assistant City Attorney for the City Attorney ATTEST: STATE OF TEXAS COUNTY OF NUECES George K. Noe City Manager Date: NUECES COUNTY COMMUNITY ACTION AGENCY Signature Printed name: Date: Title ACKNOWLEDGMENT KNOW ALL BY THESE PRESENTS: This instrument was acknowledged before me on , 2006, by as the (title) of the Nueces County Community Action Agency, a Texas nonprofit corporation, on behalf of the corporation. NOTARY PUBLIC, State of Texas Affordanle Housing- NCCAA InfrastructureDevelopment FY2006.doc Page 10 of 10 Corpus Christi Business and Job Development Corporation Affordable Housing Project CATEGORY 11. INFRASTRUCTRE DEVELOPMENT ORGANIZATION: NUECES COUNTY COMMUNTIY ACTION AGENCY Exhibit A NUECES COUNTY COMMUNITY ACTION AGENCY 4760 Old Brownsville Rd. Corpus Christi, Texas 78405 (361) 883 -7201 FAX: (361) 883 -9173 Joe A. Martinez Executive Director February 3, 2006 City Secretary's Office City of Carpus Ckisti Attention: Armando Chaps, City Secretary 1201 Leopard Street Corpus Christi, Texas 78469 -9277 Dear Mr. Chaps: Enclosed please Ord an application for Consideration of funding in response to the 4A Board Affordable Single Family Houskg Request for Proposals. Nueces County Community Action Agency (M CAA) is requesting a S250,000 grant for the design and construction of the infrastruckre in Phase II and Phase III of CAP Estates II subdivision located in southwest Corpus Christi at Holley Road and Martin Street This proposal, as submitted, includes a partnership between the City of Corpus Christi, Corpus Christi Community Development Corporation, Neighborhood Reinvestment Corporation, private home builders, and NCCAA The City of Corpus Christi 4A Board funds will be used to continue providing affordable single family hones to low and moderate income working families. The partnership is implementing its affordable sire family housing subdivision, CAP Estates II, in three phases. During Phase I, the partneaship is increasing affordable housing in Corpus Christi, by forty-two (42) homes. During Phase II and Phase lII, the partnership will increase affordable housing by twenty -seven (27) and thirty (30) homes, respectively. When completed, NCCAA will have leveraged in excess of $9.2 million in public and private financing b provide ninety-nine (99) low and moderate income working families with their own home. We anticipate that this application is in order for the 4A Board's review. If you should require additional informnation or have any questions in reference to this submission, please contact me at 883 -7201 extension 21, or you may contact Mr. Rudy Cantu at 739 -6604. Enclosures CHARTERED MEMBER Vi_ P A R T N E R S H I P Helping People. Changing Lives. Nueces County Community Action Agency 101 South Padre Island Drive Corpus Christi, Texas 78405 Board Resolution At a meeting held on February 23, 2006, the Board of Directors of Nueces County Community Action Agency, passed the following resolution: The Board of Directors authorizes the application for and use of funds from the City of Corpus Christi Business and Job Development Corporation (4A Board) program for activities described in the funding proposal entitled 2006 Year 4A Board Aovlication. The Board of Directors certifies that, if awarded funds by the City of Corpus Christi, Nueees Con n& Community' Action Asqicv, shall implement the activities in a manner that ensures compliance with all applicable federal, State and local laws, rules, and regulations. The Board of Directors certifies that, Nueces County Community Action Agency, is hot debarred or suspended under federal or State ruling from participation in the receipt or ' expenditure of federal or State funds. The Board of Directors certifies that Nueces County Community Action Agency, is current with all taxes, including ad valorem, assessments, and other government charges lawfully imposed on Nueces County Community Action Agency. Upon an award of City of Corpus Christi Business and Job Development Corporation (4A Board) funding, the Board of Directors authorizes, Joe A. Martinez, Executive Direct', on behalf of Nuec," Countv Community Action Ate acv to execute a binding agreement with the City of Corpus Christi for the expenditure of the funds. Mitre + 'bard Chairperson X I23 1 Zoo Date j I2ovG Date 4A Board 2006 Affordable Housing Program TABLE OF CONTENTS REQUEST FOR PROPOSALS 4A BOARD AFFORDABLE HOUSING L Executive Summary .. 1 Qualifications and Experience 3 Capabilities 6 Acknovr4edgment and Certifications .8 Narrative Explaining the Assistance 9 Attachments Attachment A Attachment B Agachment C Project Location Map Exhibit F, Disclosure of Interests Exhibit G, Conflict of Interest Questionnaire Proposal Submitted to Ike City of Corpses Christi Attention: Mr. Armando Chapa, City Secretary Submitted February 3, 2006 Page 1 To address the shortage of affordable single family housing within the City of Corpus Christi, the. Nueces County Community Action Agency ( NCCAA) is requesting a $250,000 grant from the City of Corpus Christi 4A Board for infrastructure design and construction for Phase II and Phase III of CAP Estates II. CAP Estates II is a 20.24 acre subdivision in southwest Corpus Christi located at Holly Road and Martin Street. Sec Attachment A, Project Location Map. Phase I of this subdivision is providing forty -two (42) single fancy homes for low and moderate income working families. The design and construction of Phrase II and Phase III infrastructure will allow for the construction of twenty -seven (27) single family homes in Phase II and thirty (30) single family homes in Phase III. When CAP Estates II is completed, NCCAA will have leveraged over $9.2 million in public and private financing to provide 99 low and moderate income working families with their own homes. The partnership ((the City of Corpus Christi, Corpus Christi Community Development Corporation, Neighborhood R tvestrnent Corporation, private home builders, and NCCAA is implementing this affordable housing subdivision in three phases. During the first phase, the partnership is increasing affordable single family housing in Corpus Christi by forty-two (42) homes. During the second and third phases, the partnership will increase the affordable housing by twenty-seven (27) and thirty (30) homes, respectively. Qualifications and Experience Formed in 1964, NCCAA is a 501 c (3) nonprofit corporation. NCCAA's mission is to improve the quality al* through advocacy, commitment of resources and delivery of services. NCCAA offers diverse prdiucts and services to the residents of Nueces County including education, family service assistance and community development activities. As a nonprofit housing provider, NCCAA provides land development services, facilitates new home coon, and permanent financing assistance to low and moderate income families. NCCAA has developed a thirty (30) home subdivision, CAP Estates I, facilitated ire construction of ten (10) homes in three (3) colonias. Through its neighborhood infill revitalization efforts, NCCAA has facilitated the construction of thirty-four (34) homes, constructed two (2) Section 8 set aside homes in Robstown, and is currently in a neighborhood revitalization partnership with the 4A Board to facilitate the construction of ten (10) homes on Soledad Street. NCCAA also provides h nebuyer education and ancillary services such as °etion 8 Rural Voucher Program, and weatherization. NCCAA is certified by the State of Texas and the City of Corpus Christi as a Community Housing Development Or nization (CHDO). Additionally, NCCAA is certified as an affiliate of Neighborks0 America; this is a program of the Neighborhood Reinvestment Corporation. As an affiliate of NeighbocWorks® America, NCCAA will increase its capacity to build decent, affordable housing, revitalize communities, and enhance economic opportunities. Management A 27 mamba r boned of directors governs NCCAA. NCCAA board of directors sets the tone and direction of NCCAA by establishing broad policy priorities. The board members represent the public and private sectors and provide a wide awry of skills, expertise, and knowledge. Board members represent various low income areas of Nueces County. Proposal Su nitted to the City of Corpus Christi Attention: Air. Armando Chapa, City Secretary Submitted February 3, 2006 Page 2 NCCAA staff has comprehensive experience in successfully undertaking affordable single family housing projects. NCCAA staff has extensive combined experience in construction, land development, financial manageme t, loan facilitation, portfolio management and real estate finance. NCCAA's housing development team is directly responsible for establishing strategies to implement its housing program. Proposal Submitted to the City of Corpus Christi Attention: Mr. Armando Ci apa. City Secretary Submitted February 3, 2006 Page 3 QUALIFICATIONS Formed in 1964, Nueces County Community Action Agency (NCCAA) is a 501c (3) nonprofit corporation. NCCAA's mission is to improve the quality of life for low income families through advocacy, commrtr tent of resources, and delivery of services. NCCAA has been actively involved in providing affordable single family homes for low and moderate income families in Corpus Christi and Nueces County ice 1993. NCCAA is certified as a Community Housing Development Organization (CHDO) by the State of Texas and die City Corpus Christi. NCCAA is a certified affiliate of NeighborWorksi America, a program of the Neighborhood Reinvestment nt Corporation. . As an affiliate of NeighborWorkst America, NCCAA can increase its capacity to facilitate affordable housing, revitalize neigtthorhoods, and enhance economic opportunities. Below is an overview of affordable housing programs NCCAA has provided, or is currently providing. Housing Department • Ndiighbotkood Revitalization - NCCAA has partnered with the City of Corpus Christi in a $556,000 project to constn ct thirty -four (34) affordable single family homes for low and moderate income working families. Currently, NCCAA is in a partnership with the 4A Board in a $175,000 project to revitalize the 2700 block of Soledad Street with the construction of ten (10) affordable single family homes for low and moderate income working families. • Colonies- NCCAA has partnered with the Texas Department of Housing and Community Affairs in a $516,000 project for demolition and replacement of ten (10) homes in three (3) Colonies. • Low income rental housing - NCCAA has partnered with the Texas Department of Housing and Community Affairs in a $104,000 project to constrict two (2) single family homes in Rebstown for low income working families. All families that have resided, or are currently residing, in both homes have received Section 8 Housing assistance. • CAP Eames I - NCCAA has partnered with City of Corpus Christi Housing and Community Development Department, and the Corpus Christi Community Irnprovement Corporation in a $3,085;000 project to develop a thirty (30) home single family residential subdivision for low and moderate income working families. • CAP Estates II - NCCAA is in a partnership with the City of Corpus Christi HOME Program, (may of Corpus Christi 4A Board, Corpus Christi Community Development Corporation, Neighbothood Reinvestincnt Corporation, and private home builders to develop a $9,297,225 ninety-tine (99) home single family residential subdivision for low and moderate income working families_ • Dowd Payment Assistance Program - NCCAA has partnered with and is in a partnership with the City of Corpus Christi 4A Board and City of Corpus Christi Community Development Depart to provide low income and moderate income working families with down payment and clotting costs assistance to enable them to purchase a home. The assistance is in the form of a zero-interest deferred payment loan. To date the partnership has assisted seventy -three (73) low Proposal Submitted to the City of Corpus Christi Attention: P4 Armando Chapa, City Secretary Submitted February 3, 2006 Page 4 and moderate income working families to buy a home of their own. The assistance to date totals $1,277,500. At the completion of CAP Estates II, the partnership will have provided down payment assistance to 172 low and moderate income working families for a total of $2,852,500. • Section 8 Rural Voucher Program - NCCAA is in partnership with the Texas Department of Housing and Community Affairs to provide affordable housing in rural Nueces County with a Section 8 Rural Voucher Program. NCCAA issues a voucher to an income qualified household, which then finds a residence to rent. Since the rental assistance is provided on behalf of the firmly or individual, participants are able to find and lease privately owned housing, including single family homes, townhouses, and apartments. The participants are free to choose any housing that meets the requirements of the program to include health and safety standards. NCCAA then pays the landlord the amount equal to the difference between 30 percent of the talent's adjusted income and the TDHCA determined rental rate for the area. The rent must be reasonable compared with similar unassisted rental units in the area. Community Services Department • Wcatheriraation - NCCAA is in partnership with the City of Corpus Christi Department of Community Development, Texas Department of Housing and Community Affairs, U. S. Dirt of Energy, and U. S. Department of Health and Human Services to assist very low income families, especially elderly families and disabled families, to create a healthful and safe environment by implementing practical energy conservation measures in their home and/or modifications to their home. Modifications to the home may include insulating windows, doors, ceilings, floors, and walls to decrease energy consumption. Modifications may also include the installation of ADA ramps and shower stalls. Additionally, energy inefficient appliances may be replaced with energy efficient appliances such as water heaters, heaters, furnaces, air conditioners, ranges, and refrigerators to decrease energy consumption. Annually, the partnership assists approximately 120 families. EXPERIENCE NCCAA ins extensive experience successfully undertaking affordable housing projects. One of NCCAA's greaeiet skills is its ability to bring disparate resources together to address local and regional challenge. A ne4or contribution of NCCAA to local affordable housing solutions is its ability 10 develop partnerships of diverse financial resources. Additionally, NCCAA provides staffsupport for affordable housing projects and maintains cwt demographic and community needs information. NCCAA has facilitated rehabilitation or construction of over 87 affordable single family homes with more being built. NCCAA has many years of experience with administration of public and private funding. Ongoing and current experience includes: • NCCAA has administered $516,000 in funding from Texas Department of Housing and Com nimity Affairs for Colonies Construction Projects. • NCCAA has administered $104,000 from Texas Department of Housing and Community Affairs fix rural rental single housing. • NCCAA has administered $3,085,000 million in public and private financing for the development of CAP Estates I, a thirty (30) home affordable housing subdivision for low and moderate income working families. Proposal Submitted to ilse City of Corpus Cleristi Attention: Mr. Armando Chapa, City Secretary Submitted February 3, 2006 Page 5 • NCCAA has administered $731,000 in funding from the City of Corpus Christi Housing and Community Development Department, City of Corpus Christi Community Development Deparunent, City of Corpus Christi 4A Board, and Corpus Christi Community Improvement Corporation for past and current neighborhood revitalization projects. • NCCAA is currently administrating $715,932 in funds from the City of Corpus Christi 4A Board, Corpus Christi Community Development Corporation, and Neighborhood Reinvestment Corporation for the development of CAP Estates Proposal Submitted to the City of Corpus Christi Attention: Mr. Annando Chapa, City Secretary Submitted February 3 2006 Page 6 BOARD OF DIRECTORS The implementation of Nueces County Community Action Agency's (NCCAA) affordable housing plan requires vision, focal responsibility commitment to mission, accountability, technical expertise, discipline and diligence. These skills and values allow the Board of Directors to set the tone and direction of the Agency by establishing broad policy priorities. NCCAA. has a 27 person Board of Directors including professionals encompassing a broad awry of skills, expertise, and knowledge. The Board has six (6) standing committees: Executive Committee, Fiscal and Audit Committee, Housing Committee, By -Laws Committee, Planning Committee, and Personnel Committee. MANAGEMENT TEAM NCCAA's management team is responsible for establishing strategies to implement its affordable housing plan. NCCAA Chas comprehensive experience in successfully undertalcing affordable housing projects. NCCAA staff has extensive combined experience in- construction, land development, loan facilitation, portfolio manage ment, and real estate finance. They act as liaisons between the Board of Directors and staff represent NCCAA in national, regional, and local policy debates, and forge strategic partnerships in the service of our mission. Our management team is uniquely qualified to fulfill these roles. Joe A. Martinez, Executive Director. Mr. Martinez has over 30 years of experience with the Nueces County Community Action Agency. He was the Agency's Administrative Manager prior to becoming the NCCAA's Executive Director in 1918. Mr. Martinez is charged with the administration of a $9 million organization and the supervision of 300 plus person team. Mr. Martinez serves on numerous advisory boards and in professional associations. He is a founding member of the Emergency Aid Coalition of Corpus Christi, Chaimraa of the South Texas Community Based Organizations, Inc., and past president of the Texas Association of Community Action Agencies. Mr. Martinez is a graduate of Texas A & I University Rodolfo Cantu, Housing Director. Mr. Cantu is responsible for the management of the Housing Department. Mr. Cantu has been involved with affordable housing for 13 years. Mr. Cantu plans, develops, arganime, implements and evaluates program contracts, and ensures compliance. He also prepares gnat proposals in accordance with the Agency's community needs assessment and 5 year plan. As NCCAA's Hosing Director, Mr. Cantu is directly responsible for the conceptualizing, developing and implementing housing projects for low income and moderate income households. Mr. Cantu attended The University of Maryland and graduated from the Pads University, Kansas City, Missouri. William R. Hibbs II, Human Resources Director. Mr. Hibbs is a licensed attorney, and has served as NCCAA's Hums Resources Director since 2001. Mr. Hibbs has over twenty -five (25) years experience with real estate transactions, title examinations, and document preparation. Mr. Hibbs duties include all personnel ratters, benefits administration, training, and workers compensation risk management. Mr. Hibbs is a wadi's* of Texas Tech University. Joe R. Flores, Fiscal Director. Mr. Flores is a Certified Public Accountant, and has served as NCCAA's Fiscal Director sure 1997. Mr. Flores is responsible for direct supervision of the accounts payable department, payer department, and the purchasing department. Mr. Flores monitors financial and procedural complce of federal and state grants. Mr. Flores is responsible for all financial reporting Proposal Sued to the City of Corpus Christi Attention: Mr. Armando Chapa, City Secretary Submitted February 3, 2006 Page 7 required by awarding agencies as well as preparation of annual financial reports. Mr. Flores has over eighteen (18) years of financial accounting experience, to include eight (8) years of public accounting experience. Mr. Flores is a graduate of Corpus Christi State University and Del Mar College. Earl Carver, Housing Coordinator. Mr. Carver has over twenty -five (25) years of experience in construction, conSt ruc Lion management, contract budgets, contract negotiation, and administrative management. Mr. Carver also prepares grant proposals in accordance with the Agency's community needs assess and 5 year plan. Mr. Carver is a graduate of Midwestern University and the University of Texas at Arlington DEVELOPMENT TEAM The Development Team determines priorities and policies, considers internal implementation procedures, and concephializes future .affordable housing projects. Membership on the Development Team demands a wide ranee of skills that balance concrete housing development expertise with awareness of current issues and mends is the affordable housing industry. NCCAA has amassed an exemplary Development Team comprised rised of leaders in the housing field, legal experts, land and housing developers, bank repress, amt nonprofit experts. The Development Team members include: Ms. Sylvia Ford, Frost Bank, Community Relations Director Mr. Stephen Lobo, Christus Health Texas, Program Administrator, Community Direct Investment Mr. Ernesto De La Garza, Nei&borhood Reinvestment Corporation, Senior Field Service Officer Mr. Joe A. Martinez, NCCAA, Executive Director Mr. Redolfo Cantu, NCCAA, Housing Director Mr. Jae R. Flores, NCCAA, Fiscal Director Mr. Wiliam laths, Esq., NCCAA, Human Resources Director Mr. Earl Carver, NCCAA, Housing Coordinator Mr. Soon Esquivel, NCCAA, Housing Specialist Proposal Submitted to the City rf Corpus Christi Attention: Mr. Armando Chapa, City Secretary Submitted February 3.2006 Page S I acknowledge and c,ertify that Nuoces County Community Action Agency will meet all provisions of the 4A Board Affordable Single Family Housing Request for Proposals. I further certify all work will be performed in accordance with the most current applicable codes and standards. I further certify the location of the site where the work will be performed is not in the 100 year flood plain. As the authorized certifying official, I hereby certify that the above-specified certifications are true. SIGNATURE OF AUTHORIZED CERTIFYING OFFICIAL Date Page 9 Proposal Sot knitted to the City of Corpus Christi Attention: Mr. Armando Chapa, City Secretary Submitted February 3, 2006 NARRATIVE To address the shortage of affordable housing within the City of Corpus Christi, Nueces County Community Action Agency (NCCAA) requests a S250,000 grant from the City Of Corpus Christi 4A Board. 'Ile funds will be used to design and construct the infrastructure in Phase II and Phase III of CAP Estates Locatod in southwest Carpus Christi at Holly Road and Martin Street. See Attachment A, II' This continuation of the partnership between the 4A Board and NCCAA will result in the -seven (57) affordable single family homes for low and result in tYe construction of an additional fifty moderate income working families. The cost of the combined infrastructure design and construction for Phase II and Phase III is projected to complete both phi because of the dramatic cost increase be $748,000. NCCAA is requesting a grant to 00� PVC water pipe, and PVC wastewater pipe; all of cow such as eancrete, steel, asphalt, the materials no tessary for infiastructure construction of a residential subdivision. National industry suppliers indicate construction materials costs will increase as supplies for, at least, publications and local supP construction/reconstruction the next five (5) to six (6) years are in high demand In addition �vdramatic materials cost projects librm Beaumont, Texas, to Gulfport, a delivery fees of fifteen (515) dollars and higher increases, all t rectors are being hit with fuel surcharg per delivery because of the increased fuel costs hitting the suppliers. These dramatic cost increases in materials and fuel surcharges could not have been foreseen byy anyone when CAP Estates II was conceived and planed. Therefore, the original costs projections a reasonable materials cost increase are worthless. in CAP Estates II as affordable as possible, the entire infrastructure needs to be To keep the homes completed rapidly so the cost of the lots can remain at the original selling price of $14,000 each. If infrastructure originally planned, the cost of each lot in is designed and constructed in three (3) phases �8 possibly as much as thirty (30%) II r might $ to go up, but Lot P� in would have mean that affordable housing would not (30%) pntooerrt or 54,200 per lot. This be affordable for,low income working families. prices for the lots in Phase II and Phase III remain the same price as the NCCAA is vsrodcing to ensure tie P Christi Cam, Development Corporation is lots in base I. Of the needed $748,000, the Corpus is proving $156,000 (20.8 %). provid�g $342,000 (45.7 %) and Neighborhood Reinvestment Corporation NCCAA is asking the 4A Board for a grant of $250,000 (33.5%) to ensure the partnership continues to provide the opportunity for low income working families to own their own home. TIMELINE request for for a utility construction contractor to provide In June 2006, NCCAA will develop a raga proposals a Bey" completion of the infrastructure for Phase II and Phase III. The scope of work in the proposal and plat the fifty -seven (57) single family residential Lots, develop a storm water would include survey design and installation drain management plan, design and construction of streets, curbs, and gutters; distribution system; design and installation of the fire protection system; design and of the potable water (electrical, phone, installation of the wastewater collection system; design and installation of a utility Proposal Submitted to tke City of Corpus Christi Attention: Mr. Annando Chapa, City Secretary Submitted February 3, 2006 Page 10 cable tv, etc.) distribution system. The proposal would be published Friday, June 30, through Sunday, July 2, 2006, with responses due in August 2006. The responses would be evaluated in September 2006, with the contract awarded in October 2006. The survey and plat of die fifty-seven (57) lots should be completed by Christmas 2006. The design of the infrastructure should be completed by the end of February 2007. Construction and installation of the infrastructure should commence March 2007, with the infrastructure completed on or before Labor Day 2007. The selected utility construction contractor and subcontractors will be required to provide the City of Corpus Christi, Corpus Christi Community Development Corporation, Neighborhood Reinvestment Corporation, and NCCAA with all required insurance coverage, documents, and assurances. A request for proposals for private home builders will be published Friday, May 4,2007, through Sunday, May 6, 2007. The home builder's responses would be due June 2007. The responses will be evaluated in July 2007, with the home builders being awanled contracts in August 2007. Home construction could commence in September 2007. The effect of the continued partnership of the City of Corpus Christi 4A Board, Corpus Christi Community Development Corporion, Neighborhood Reinvestment Corporation, and NCCAA will be to keep the aifordable housing in CAP Estates 11 affordable. The partnership will keep the price of each lot at the original Phase I selling price to the private home builders. The goal of the continued partnership will be achieved with ninety-nine (99) low and moderate income working families owning their own homes. Proposal Submitted to the City of Corpus Christi Attention: Mr. Armando Chapa, City Secretary Submitted February 3, 2006 Page 11 Attachment A — Project Location Map Attache t B — Exhibit F, Disclosure of Interests Attachment C — Exhibit G, Conflict of Interest Questionnaire CITY OF CORPUS CHRISTI CERTIFICATION OF FUNDS (City Charter Article IV, Sections 7 & 8) I, the Director of Financial Services of the City of Corpus Christi, Texas (or his /her duly authorized representative), hereby certify to the City Council and other appropriate officers that the money required for the current fiscal year's portion of the contract, agreement, obligation or expenditure described below is in the Treasury to the credit of the Fund specified below, from which it is to be drawn, and has not been appropriated for any other purpose. Future payments are subject to annual appropriation by the City Council. City Council Action Date November 14, 2006 Agenda Rem: A. Resolution approving the execution of an Affordable Housing Program Agreement between the Corpus Christi Business and Job Development Corporation ( "Corporation "), the City of Corpus Christi ( "City"), and Nueces County Community Action Agency ( "NCCAA ") to allow the Corporation to grant $200,000 to the NCCAA for infrastructure Development of a new construction project as part of an Affordable Housing Program; and authorizing the City Manager to execute the Program Agreement on behalf of the City. Amount Required: $ 200,000.00 Fund Name Fund No. Org. No. Account No. Project No. Amount 4A 118th Cent Sales Tax for Economic Development $200,000.00 Total $200,000. Certification Not Required Director of Fin Date: / ' / ialp ices j