HomeMy WebLinkAboutC2005-726 - 10/18/2005 - Approved
FY05 HOME FUNDING AGREEMENT
CLIFF MAUS VILLAGE APARTMENTS
STATE OF TEXAS ~
~
COUNTY OF NUECES ~
KNOW ALL BY THESE PRESENTS:
SECTION 1. PARTIES TO AGREEMENT
(A) This agreement is made and entered into by and between the Corpus Christi Com-
munity Improvement Corporation, a non-profit corporation organized under the laws of
the State of Texas ("CCCIC"), and the Cliff Maus Village Trust, a charitable trust orga-
nized under the laws of the State of Texas ("Trust").
(B) The parties have severally and collectively agreed, and by the execution of this
Agreement are bound, to the mutual obligations and to the performance and accom-
plishment of the tasks described in this Agreement.
SECTION 2. AGREEMENT PERIOD
This agreement shall commence on the date of execution by the CCCIC and shall
terminate on February 28, 2008, unless as otherwise specifically provided by the terms
of this Agreement.
SECTION 3. GRANT FUNDS
(A) The CCCIC agrees to grant the Trust $114,000 of federal HOME funds subject to
the conditions in this Agreement.
(B) The Trust shall execute a covenant to bind the" property for a period of years
("Covenant of Affordability"), the terms of which are set out in this Agreement and in the
sample which is attached to this Agreement as Exhibit A. The executed Covenant of
Affordability will then replace the sample Exhibit A provided with this Agreement, the
text of the executed Covenant of Affordability is then, by agreement of the parties, incor-
porated in this document by reference, and the new Exhibit A will be recorded in the
offical deed records of Nueces County. The binding terms of the recorded Covenant of
Affordability will be released upon the Trust's completion of the terms and provisions
contained in this Agreement.
SECTION 4. TRUST'S PERFORMANCE
(A) The grant proceeds shall be used by the Trust to rehabilitate units by replacing the
'Nate. I.eaters, installing site lightil'9 ana other h.rd wiring.,.arl{j by if:lstalliAg ace~&ibilitv
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2005-726
1 0/18/05
M2005-356
Cliff Maus Village Apartments
ft."t~l'e! and other pre-approved improvements loca~ed on r~al property at 1458 West ~
POint Road, Corpus Chnstl, Nueces County, Texas (ProJect")., 1..\ 1C&ST Suf>Pt-lErvttt:'AjI Ur \
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(B) The Trust will continue to operate this federal Section 8 property to provide housing
to low and moderate income families. These dwellings are located in Corpus Christi,
Texas
(C) In this Agreement, low and moderate income families are defined in accordance
with Title 24 CFR 92.2 and calculated based on 24 CFR 92.203(b){1), (''Housing''), such
dwellings to be located in Corpus Christi, Texas, as described in the preliminary budget
and construction schedule which is attached to this Agreement as Exhibit B and which
is incorporated in this Agreement by reference ("Budget and Construction Schedule").
(0) The Project shall be administered in accordance with all federal laws, rules, and
regulations including, but not limited to, the HOME Investment Partnerships Act at Title
II of the Cranston-Gonzalez National Affordable Housing Act, as amended, 42 U.S.C.
12701, et seq., and implementing federal regulations contained in 24 CFR Part 92; the
HOME Program Guidelines and Application Package, and Exhibit C, entitled "Other
Federal Requirements," which is attached to this Agreement and which exhibit's text is
incorporated in this Agreement by reference.
(E) The Trust agrees to acknowledge the sponsorship of the Corpus Christi Community
Improvement Corporation at any event promoting the project or any other project spon-
sor.
(F) The Trust shall perform all activities in accordance with the terms of the as-
surances, certifications, and all other statements made by the Trust in its application for
the Project funded under this Agreement; and with all other terms, provisions, and re-
quirements set forth in this Agreement.
SECTION 5. CCCIC'S OBLIGATIONS
(A) In consideration of full and satisfactory performance of the activities referred to in
Section 4 of this Agreement, the CCCIC shall make payments under the grant for the
actual and reasonable costs incurred by the Trust during the Agreement period for
performances rendered under this Agreement by the Trust, subject to the limitations set
forth in this Section 5
(B) It is expressly understood and agreed by the parties, that the CCCIC's obligations
under this Section 5 are contingent upon the actual receipt of adequate federal funds to
meet the CCCIC's liabilities under this Agreement. If adequate funds are not available
to make payments under this Agreement, the CCCIC shall notify the Trust in writing
within a reasonable time after such fact is determined. The CCCIC shall then terminate
this Agreement and will not be liable for failure to make payments to the Trust under this
Agreement
~C) The CCCIC shall not be liable to grant the Trust money for any costs incurred by
the Trust which are allowable costs, as set forth in 24 CFR 92.206 and Section 7 of this
Agreement. Funds provided under this Agreement may not be used for payment of
prohibited activities as defined in 24 CFR 92.214.
(D) The CCCIC shall not be liable to grant the Trust money for any costs incurred by
the Trust or any performances rendered by the Trust which are not strictly in accor-
dance with the terms of this Agreement.
(E) The CCCIC shall not be liable to grant the Trust money for costs incurred or per-
formances rendered by the Trust before commencement of this Agreement or after
termination of this Agreement.
SECTION 6. DISBURSEMENT OF FUNDS
(A) The CCCIC will provide funds under this Agreement in accordance with the require-
ments of 24 CFR 92.502. The Trust may not request disbursement of funds under this
Agreement until the funds are needed for payment of eligible costs. All work related to
a request for disbursement will be inspected prior to disbursement of funds. Funds will
be disbursed within ten (10) working days following completion of an inspection re-
sulting in a favorable review and approval by representatives of the CCCIC.
(B) It is expressly understood and agreed by the parties that payments under this
Agreement are contingent upon the Trust's full and satisfactory performance of its obli-
gations under this Agreement. The CCCIC reserves the right to recapture unexpended
funds provided under this Agreement in the event the CCCIC determines that the Trust
will be unable to expend funds within the prescribed time as determined by representa-
tives of the CCCIC.
SECTION 7. ADMINISTRATIVE REQUIREMENTS, COSTS PRINCIPLES, AND
PROGRAM INCOME
(A) The Trust must comply with federal regulations including, but not limited to, appli-
cable regulations under OMB Circular No. A-122 and the following requirements of 24
CFR part 84: ~~ 84.2,84.5,84.13 through 84.16; 84.26 through 84.28; 84.30; 84.31;
84.34 through 84.37; 84..40 through 84.48; 84.51; 84.60 through 84.62; 84.72; and
84.73 pursuant to 24 CFR 92.505(b).
(B) The Trust shall maintain records of the receipt, accrual, and disposition of all Proj-
ect and program income funds in the same manner as required for in Section 7.A.
above for all funds provided under this Agreement. The Trust shall provide reports of
program income as requested by representatives of the CCCIC and at the termination
of this Agreement.
(C) All program income must be reinvested by the Trust and applied towards housing
initiatives for low and moderate income individuals and families including, but not limited
to, acquisition and rehabilitation of rental or home ownership projects.
SECTION 8. RETENTION AND ACCESSIBILITY OF RECORDS
(A) The Trust must establish and maintain those records listed under 24 CFR 92.508
and other records as may be determined by CCCIC.
(B) The Trust shall give representatives of the CCCIC, the Comptroller of the United
States, or any other duly authorized representatives, access to and the right to examine
all books, accounts, records, reports, files and other papers, things, or property belong-
ing to or in use by the Trust pertaining to this Agreement. Such rights to access shall
continue as long as the records are retained by the Trust. The Trust agrees to maintain
such records in an accessible location.
(C) All records pertinent to this Agreement shall be retained by the Trust for five years
following the date of termination of this Agreement or of submission of the final close-
out report, whichever is later, with the following exceptions:
1 If any litigation, claim or audit is started before the expiration of the five-year
period and extends beyond the five-year period, the records shall be main-
tained until all litigation, claims or audit findings involving the records have
been resolved
2 Records relating to real property acquisition shall be retained for the period of
affordability required under 24 CFR 92.254 or 24 CFR 92.252 as applicable,
plus five years
3. Records covering displacement and acquisitions must be retained for at least
five years after the date by which all persons displaced from the property and
all persons whose property is acquired for the project have received the final
payment to which they are entitled in accordance with 24 CFR 92.353.
(D) The Trust shall include the substance of this Section 8 in all subcontracts.
(E) The Trust must provide citizens, public agencies, and other interested parties with
reasonable access to this Agreement and other documents and records that directly
pertain to this Agreement, consistent with the Texas Public Information Act, Texas
Government Code, Chapter 552.
SECTION 9. REPORTING REQUIREMENTS
(A) The Trust shall submit to the CCCIC such reports on the operation and perfor-
mance of this Agreement as may be required by the CCCIC including, but not limited to,
the reports specified in this Section 9. The Trust shall provide the CCCIC with all re-
ports necessary for the CCCIC's compliance with 24 CFR 92.509 and 24 CFR Part 92,
Subpart L.
(B) In addition to the limitations on liability otherwise specified in this Agreement, it is
expressly understood and agreed by the parties hereto that if the Trust fails to submit to
the CCCIC in a timely and satisfactory manner any report required by this Agreement,
the CCCIC may, at its sole option and in its sole discretion, withhold any or all payments
otherwise due or requested by the Trust, upon notice in writing of its decision and the
reasons. Payments withheld pursuant to this section may be held by the CCCIC until
the delinquent obligations for which funds are withheld are fulfilled by the Trust.
(C) Acknowledgment of Funding Source. The Trust shall give credit to the CCCIC as
the Project funding source in all presentations, written documents, publicity and adver-
tisements regarding the Project.
SECTION 10. MONITORING
The CCCIC reserves the right to, from time to time, carry out field inspections to ensure
compliance with the requirements of this Agreement. The Trust shall attend a precon-
struction meeting prior to the first construction draw. After each monitoring visit, the
CCCIC shall provide the Trust with a written report of the monitor's findings. If the moni-
toring reports note deficiencies in the Trust's performances, under the terms of this
Agreement, the monitoring report will include requirements for the timely correction of
the deficiencies by the Trust. Failure by the Trust to take the action(s) specified in the
monitoring report may be cause for suspension or termination of this Agreement, as
provided in Sections 18 and 19 of this Agreement.
SECTION 11. INDEPENDENT CONTRACTOR
It is expressly understood and agreed by the parties hereto that the CCCIC is con-
tracting with the Trust as an independent contractor, and that the Trust, as such, agrees
to hold the CCCIC harmless and to indemnify the CCCIC from and against any and all
claims, demands, and causes of action of every kind and character which may be as-
serted by any third party occurring or in any way incident to, arising out of, or in connec-
tion with the services to be performed by the Trust under this Agreement.
SECTION 12. INDEMNIFICATION
(A) The Trust agrees that it shall indemnify the City of Corpus Christi
and the CCCIC (collectively, "Indemnities") and hold the Indemnitees
harmless of, from, and against all claims, demands, actions, dam-
ages, losses, costs, liabilities, expenses, and judgments recovered
from or asserted against City of Corpus Christi or the CCCIC on ac-
count of injury or damage to person or property to the extent any
damage or injury may be incident to, arise out of, or be caused, either
proximately or remotely, wholly or in part, by an act or omission,
negligence or misconduct on the part of the Trust or any of its agents,
servants, employees, contractors, patrons, guests, licensees, or in-
vitees entering upon the Project being improved pursuant to this
Agreement or when any such injury or damage is the result, proxi-
mate or remote, of the violation by the Trust or any of its agents, ser-
vants, employees, contractors, patrons, guests, licensees, or invitees
of any law, ordinance, or governmental order of any kind, or when any
injury or damage may in any other way arise from or out of the acqui-
sition, rehabilitation, modification, or construction at the Project or
out of the use or occupancy of the Project by the Trust, its agents,
servants, employees, contractors, patrons, guests, licensees, or in-
vitees including, without limitation, any damages or costs which may
occur as a result of the design of the rehabilitation, modification, or
construction of the Project, the bidding process, actual rehabilitation,
modification, or construction of the Project, administration of the con-
struction contracts by the Trust, the City of Corpus Christi, or the
CCCIC or its designee, failure of the Project prior to completion and
acceptance of the rehabilitation, modification, or construction by the
Trust, failure of the rehabilitation, modification, or construction of the
Project to work as designed, failure of any contractor or subcontrac-
tor or manufacturer to honor its warranties, or failure of the Trust to
maintain the Project.
(B) These terms of indemnifications shall be effective upon the date
of final execution of this Aareement and whether the iniury or damaae
may result from the sole nealiaence. contributory nealiaence. or
concurrent nealiaence of Indemnities: but not if the damaae or iniury
may result from the aross nealiaence or willful misconduct of Indem-
nitees.
(C) The Trust covenants and agrees that, in case of the City of Corpus
Christi or the CCCIC shall be made a party to any litigation against the
Trust or in any litigation commenced by any party relating to this
Agreement and the construction of the Project contemplated under
this Agreement, the Trust shall and will pay all costs and expenses,
including reasonable attorneys' fees and court costs incurred by or
imposed upon the City of Corpus Christi or the CCCIC by virtue of any
such litigation.
(D) The Trust, for and in consideration of the CCCIC's participation in
this Agreement, hereby agrees and covenants that the Trust will never
institute any suit or action at law against the City of Corpus Christi or
the CCCIC, or their respective officers, agents, servants, or em-
ployees, ("Releasees"), related to the performance by any party under
this Agreement, nor institute, prosecute. or in any way aid in the
institution or prosecution of any claim, demand, action, or cause of
action for damages, costs, expenses, or compensation related to the
performance by any party under this Agreement, whether or not
caused by the negligence of Releasees.
SECTION 13. SUBCONTRACTS
(A) Except for subcontracts to which the federal labor standards requirements apply,
the Trust may not subcontract for performances described in this Agreement without
obtaining CCCIC's prior written approval. The Trust shall only subcontract for per-
formances described in this Agreement to which the federal labor standards require-
ment apply after the Trust has submitted a Subcontractor Eligibility form, as specified by
the CCCIC, for each such proposed subcontract, and the Trust has obtained the
CCCIC's prior written approval, based on the information submitted, of the Trust's intent
to enter into such proposed subcontract. The Trust, in subcontracting for any perfor-
mances described in this Agreement, expressly understands that in entering into such
subcontracts, the CCCIC is not in any manner liable to the Trust's subcontractor(s).
(8) In no event shall any provision of this Section 13, specifically the requirements that
the Trust obtain the CCCIC's prior written approval of a subcontractor's eligibility, be
construed as relieving the Trust of the responsibility for ensuring that the performances
rendered under all subcontracts are rendered so as to comply with all of the terms of
this Agreement, as if such performances rendered were rendered by the Trust. The
CCCIC's approval of a subcontractor's eligibility under this Section 13 does not con-
stitute adoption, ratification, or acceptance of the Trust's or the subcontractor's perfor-
mance. The act of approval of a subcontractor's eligibility under this Section 13 does
not waive any right of action which may exist or which may subsequently accrue to the
CCCIC under this Agreement. The CCCIC retains at all times the right to insist upon
the Trust's full compliance with the terms of this Agreement.
(C) The Trust shall comply with all applicable federal, state, and local laws, regulations,
and ordinances when making procurements under this Agreement.
(0) The Trust shall comply with all applicable federal, state, and local laws, regulations,
and ordinances for the term of this Agreement.
SECTION 14. CONFLICT OF INTEREST
The Trust shall ensure that no person who (1) is an employee, agent, consultant, officer
or elected or appointed official of the Trust that receives funds and who exercises or has
exercised any functions or responsibilities with respect to activities assisted with funds
provided under this Agreement or (2) who is in a position to participate in a decision
making process or gain inside information with regard to such activities may obtain a
personal or financial interest or benefit from a HOME assisted activity, or have an inter-
est in any agreement, subcontract, or contract (or the proceeds thereof) with respect to
a HOME assisted activity either for themselves or those with whom they have family or
business ties, during their tenure or for one year thereafter. The Trust shall ensure
compliance with applicable provisions under 24 CFR 92.356 and OM8 Circular A-11 0 in
the procurement of property and services.
SECTION 15. NONDISCRIMINATION
(A) The Trust shall ensure that no person shall on the grounds of race, color, religion,
sex, age, handicap, familial status, or national origin be excluded from participation in,
be denied the benefits of, or be subjected to discrimination under any program or ac-
tivity funded in whole or in part with funds provided under this Agreement.
(8) In addition, funds provided under this Agreement must be made available in accor-
dance with the requirements of Section 3 of the Housing and Urban Development Act of
1968 (12 U.S.C. 9170u) such that:
1. To the greatest extent feasible, opportunities for training and employment
arising in connection with the planning and carrying out of any Project as-
sisted with HOME funds provided under this Agreement be given to low-
income persons residing with the general local government area or metro-
politan area or nonmetropolitan county in which the project is located; and
2. To the greatest extent feasible, agreements for work to be performed in
connection with any such Project be awarded to business concerns, in-
cluding, but not limited to, individuals or firms doing business in the field of
planning, consulting, design, architecture, building construction, rehabili-
tation, maintenance, or repair, which are located in or owned in substantial
part by persons residing in the same metropolitan area or nonmetropolitan
county as the Project.
SECTION 16. LEGAL AUTHORITY
(A) The Trust assures and guarantees that the Trust possesses the legal authority to
enter into this Agreement, receive funds authorized by this Agreement, and to perform
the services the Trust has obligated itself to perform under this Agreement.
(B) The person or persons signing and executing this Agreement on behalf of the Trust,
or representing themselves as signing and executing this Agreement on behalf of the
Trust, do hereby warrant and guarantee that he, she, or they have been duly authorized
by the Trust to execute this Agreement on behalf of the Trust and to validly and legally
bind the Trust to all terms, performances, and provisions in this Agreement.
(C) The Trust shall not employ, award contract to, or fund any person that has been
debarred, suspended, proposed for debarment, or placed on ineligibility status by the
U.S. Department of Housing and Urban Development. In addition, the CCCIC shall
have the right to suspend or terminate this Agreement if the Trust is debarred, sus-
pended, proposed for debarment, or is determined to be ineligible from participating in
the HOME Program
SECTION 17. LITIGATION AND CLAIMS
The Trust shall give the CCCIC immediate notice in writing of:
(i) any action, including any proceeding before an administrative agency
filed against the Trust in connection with this Agreement; and
(ii) any claim against the Trust, the cost and expense of which the Trust may
be entitled to be reimbursed by the CCCIC. Except as otherwise directed
by the CCCIC, the Trust shall furnish immediately to the CCCIC copies of
all pertinent papers received by the Trust with respect to such action or
claim.
SECTION 18. CHANGES AND AMENDMENTS
(A) Except as specifically provided otherwise in this Agreement, any alterations, addi-
tions, or deletions to the terms of this Agreement shall be by amendment to this docu-
ment in writing and executed by both parties to this Agreement. Modifications which do
not change the essential scope and purpose of this Agreement may be approved on be-
half of the CCCIC by the General Manager.
(B) It is understood and agreed by the parties to this Agreement that performances
under this Agreement must be rendered in accordance with the HOME Investment
Partnership Act of 1990 (the "Act"), 42 U.S.C. 9912701 et. seq., the regulations pro-
mulgated under the Act the assurances and certifications made to the CCCIC by the
Trust, and the assurances and certifications made to the United States Department of
Housing and Urban Development by the CCCIC with regard to the operation of the
HOME Program. Based on these considerations, and in order to ensure the legal and
effective performance of this Agreement by both parties, it is agreed by the parties that
the performances under this Agreement are amended by the provisions of the HOME
Program, and any amendments thereto and may further be amended in the following
manner: The Department of Housing and Urban Development may from time to time
during the term of this Agreement establish, interpret, or clarify performance require-
ments mandated under this Agreement. The policy directives promulgated in the form
of HOME Issuances shall have the effect of modifying the terms of this Agreement and
shall be binding upon the Trust, as if written and included in this Agreement; provided,
however, that said policy directives and any amendments shall not alter the terms of this
Agreement so as to release the CCCIC of any obligation specified in Section 6 of this
Agreement to reimburse costs incurred by the Trust prior to the effective date of the
amendments or policy directives,
(C) Any alterations, additions, or deletions to the terms of this Agreement which are
required by changes in federal law or regulations are automatically incorporated into this
Agreement without written amendment and shall become effective on the date desig-
nated by the law or regulation. The CCCIC or the Trust may require written changes or
amendments to this Agreement when any substantial alterations, additions, or deletions
to the terms of this Agreement are required by changes in federal law or regulations.
(D) The Trust has provided an estimated Project Budget and Construction Schedule
based upon the proposed construction listed above, which budget and schedule will be
attached to this Agreement and made a part of this Agreement for all purposes as
Exhibit B. Ten days prior to award of any funds pursuant to this Agreement, the Trust
will provide a finalized Budget and Project Implementation Schedule, which includes a
schedule of costs of completion, and a schedule of completion for the various aspects of
construction of the Project which will be substituted for the then existing Exhibit Band
which will become Exhibit B of this Agreement for all purposes.
SECTION 19. SUSPENSION
In the event the Trust fails to comply with any terms of this Agreement, the CCCIC may,
in accordance with 24CFR 85.43 and upon written notification to the Trust, suspend this
Agreement in whole or in part and withhold further payments to the Trust, and prohibit
the Trust from incurring additional obligations of funds under this Agreement.
SECTION 20. TERMINATION
The CCCIC may terminate this Agreement, in whole or in part, in accordance with 24
CFR 85.43 and this Section 20. The CCCIC may terminate this Agreement for con-
venience in accordance with 24 CFR 85.44. In the event the Trust materially fails, as
determined by the CCCIC, to comply with any term of this Agreement, whether stated in
a federal statute or regulation, an assurance, in a State plan or application, a notice of
award, or elsewhere, the CCCIC may take one or more of the following actions:
1 Temporary withhold cash payments pending correction of the deficiency
by the Trust or take more severe enforcement action against the Trust.
2 Disallow all or part of the cost of the activity or action not in compliance.
3 Wholly or partly suspend or terminate the current award for the Trust's
Project.
4, Withhold further HOME awards from the Trust.
5, Take other remedies that may be legally available.
Additionally, this Agreement may be cancelled upon a thirty-day notice of cancellation
upon mutual agreement of the parties, prior to the receipt of any portion of the funds to
the Trust.
SECTION 21. AUDIT
(A) Unless otherwise directed by the CCCIC, the Trust shall arrange for the perfor-
mance of an annual financial and compliance audit of funds received and performances
rendered under this Agreement, subject of the following conditions and limitations:
1 The Trust shall have an audit made in accordance with 24 CFR 92.506,
24 CFR Part 44. or OMS Circular A-133 for any of its fiscal years included
within the Agreement period specified in Section 2 of this Agreement in which
the Trust receives more than $300,000 in federal financial assistance pro-
vided by a federal agency in the form of grants, agreements, loans, loan
guarantees, property, cooperative agreements, interest subsidies, insurance
or direct appropriations, but federal financial assistance does not include
direct federal cash assistance to individuals. The term includes awards of
federal financial assistance received directly from federal agencies, or in-
directly through other units of state and local government.
2 At the option of the Trust, each audit required by this section may cover either
the Trust's entire operations or each department, agency, or establishment of
the Trust which received, expended or otherwise administered federal funds.
3 Notwithstanding Section 5(a)(4), Section 5(a)(5), and Section 6 of this Agree-
ment, the Trust may utilize funds budgeted under this Agreement to pay for
that portion of the cost of such audit services properly allocable to the activi-
ties funded by the CCCIC under this Agreement; provided, however, that the
CCCIC shall not make payment for the cost of such audit services until the
CCCIC has received such audit report from the Trust.
4 Unless otherwise specifically authorized by the CCCIC in writing, the Trust
shall submit the report of such audit to the CCCIC within thirty (30) days after
completion of the audit, but no later than one (1) year after the end of each
federal fiscal period included within the period of this Agreement. Audits
performed under subsection A of this Section 21 are subject to review and
resolution by the CCCIC or its authorized representative.
5 As part of its audit, the Trust shall verify expenditures according to the Budget
and Construction Schedule attached and incorporated as Exhibit B.
(B) Notwithstanding subsection A of this Section 21, the CCCIC reserves the right to
conduct an annual financial and compliance audit of funds received and performances
rendered under this Agreement. The Trust agrees to permit the CCCIC or its authorized
representative to audit the Trust's records and to obtain any documents, materials, or
information necessary to facilitate such audit. Should an audit not be required by sub-
section A of this Section 21, the Trust shall provide an annual audit to the CCCIC of
funds received in performance of this Agreement.
(C) The Trust understands and agrees that it shall be liable to CCCIC for any costs
disallowed pursuant to financial and compliance audit(s) of funds received under this
Agreement. The Trust further understands and agrees that reimbursement to the
CCCIC of such disallowed costs shall be paid by the Trust from funds which were not
provided or otherwise made available to the Trust under this Agreement.
(D) The Trust shall take all necessary actions to facilitate the performance of such audit
or audits conducted pursuant to this Section 21 as the CCCIC may require of the Trust.
(E) All approved HOME audit reports shall be made available for public inspection
within 30 days after completion of the audit.
SECTION 22. ENVIRONMENTAL CLEARANCE REQUIREMENTS
(A) The Trust understands agrees that, by the execution of this Agreement, it shall as-
sume the responsibilities for environmental review, decision making, and other actions
in accordance with and to the extent specified in 24 CFR 92.352 and 24 CFR, Part 58.
SECTION 23. LABOR STANDARDS
All laborers and mechanics employed in the rehabilitation of a project assisted under
this Agreement that contains 12 or more dwelling units shall be paid wages at rates as
determined by the Secretary of Labor in accordance with the Davis-Bacon Act
(40 U.S.C. 9276a-5), and contracts involving their employment shall be subject to the
applicable provisions of the Contract Work Hours and Safety Standards Act (40 U.S.C.
99327 -333). Construction contractors and subcontractors must comply with regulations
issued under these acts and with other federal laws and regulations pertaining to labor
standards and HUD Handbook 1344.1 (Federal Labor Standards Compliance in
Housing and Community Development Programs), as applicable.
SECTION 24. SPECIAL CONDITIONS
(A) Release of Funds. The CCCIC shall not release any funds for any costs incurred
by the Trust under this Agreement until CCCIC has received certification from the Trust
that its fiscal control and fund accounting procedures are adequate to assure the proper
disbursal of and accounting for funds provided under this Agreement. The CCCIC shall
specify the content and form of such certification.
(8) Affordability Requirements. Funds provided under this Agreement must meet the
affordability requirements of the federal HOME rules for a period of five (5) years from
the date of completion of the rehabilitation, such date of completion presently unknown
but anticipated to be no later than February 28, 2008. Furthermore, at least 20% of the
units rehabilitated with funds received under this Agreement must meet federal Section
8 Low Rent limits established by federal law. The Trust agrees to repay all HOME
funds governed by this Agreement if the Project fails to comply or ceases to comply with
the affordability requirements set forth in this Agreement and by federal law. The afford-
ability requirements must continue to be met throughout the term of the Agreement and
shall be binding upon the successors, assigns, and transferees of the Project as re-
quired by 24 CFR 92.254.
(C) Housing Quality Standards. The Trust shall ensure that all parts of the Project as-
sisted with funds provided under this Agreement shall meet the requirements of 24 CFR
92.251.
(0) Affirmative Marketing. The Trust shall adopt and submit for the CCCIC's approval
affirmative marketing procedures and requirements not later than 30 days atter the date
this Agreement is executed. The affirmative marketing procedures and requirements
shall include, but need not be limited to, those specified in 24 CFR 92.351. The CCCIC
will assess the efforts of the the Trust's during marketing of the units by use of compli-
ance certification or personal monitoring visit to the Project at least annually. Where the
Trust fails to follow the affirmative marketing requirements, corrective actions shall in-
clude extensive outreach efforts to appropriate contacts to achieve the occupancy goals
or other sanctions the CCCIC may deem necessary. The Trust must provide the
CCCIC with an annual assessment of the affirmative marketing program of the Project
and its associated development. The assessment must include:
1 Method used to inform the public and potential homebuyers about federal fair
housing laws and affirmative marketing policy. The Trust's advertising vacant
units must include the equal housing opportunity logo or statement. Adver-
tising media must include newspaper, radio, television, brochures, leaflets, or
may involve simply a sign in a window. The Trust may wish to use commu-
nity organizations, places of worship, employment centers, fair housing
groups, housing counseling agencies, social service centers or medical ser-
vice centers as resources for this outreach.
2 Records describing actions taken by the the Trust to affirmatively market units
and records to assess the results of these actions. The Trust must maintain a
file containing all marketing efforts (Le., copies of newspapers ads, memos of
phone calls, copies of letters, etc.) to be available for inspection at least
annually by the CCCIC.
3 The Trust shall solicit applications for vacant units from persons in the
housing market who are least likely to apply for the rehabilitated housing
without benefit of special outreach efforts. In general, persons who are not of
the race/ethnicity of the residents of the neighborhood in which the rehabili-
tated building is location shall be considered those least likely to apply.
4 The Trust shall maintain a listing of all homebuyers residing in each unit
through the end of the compliance period.
(F) Reversion of Assets. Upon termination of this Agreement, all funds remaining on
hand on the date of termination and all accounts receivable attributable to the use of
funds received under this Agreement shall revert to the CCCIC. The Trust shall return
these assets to the CCCIC within seven (7) business days after the date of termination.
(G) Enforcement of Agreement. The Trust shall provide the CCCIC with a legally en-
forceable Covenant of Affordability, meeting the requirements set out in the sample
Exhibit A of this Agreement., in order to enforce the affordability requirements of sub-
section B of this Section 24. The Trust shall record the Covenant of Affordability in the
real property records of the county where the Project is located and return the original
document, duly certified as to recordation by the appropriate county official, to the
CCCIC within two business days of the final execution of this Agreement.
(H) Flood Insurance. Funds provided under this Agreement may not be used in con-
nection with acquisition or rehabilitation of a development located in an area identified
by the Federal Emergency Management Agency (FEMA) as having special flood
hazards, unless the locality in which the site is located is participating in the National
Flood Insurance Program.
(I) Displacement, Relocation, and Acquisition. The Trust must ensure that it has taken
all reasonable steps to minimize the displacement of persons (individuals, families, and
business and nonprofit organizations) as a result of a project assisted with funds pro-
vided under this Agreement. The Trust must comply with the applicable provisions of
24 CFR 92.353.
SECTION 25. INSURANCE
(A) Liability Insurance. The Trust shall have in force throughout the term of this
Agreement comprehensive general liability insurance coverage with a personal/bodily
injury endorsement in the minimum amount of $500,000 per person/$1 ,000,000 per
occurrence and $100,000 for property damage arising out of each occurrence. The
comprehensive general liability shall include a Contractual Liability endorsement. The
insurance policy shall name the City of Corpus Christi and the CCCIC as an additional
insured. A certificate to that effect shall be provided to the City of Corpus Christi/CCCIC
at least ten (10) days prior to start of construction.
(B) Fire and Extended Coverage. The Trust shall have in force throughout the term of
this Agreement fire and extended coverage insurance in an amount sufficient to cover
the replacement cost of the Project. The insurance policy shall name the City of Corpus
Christi and the CCCIC as loss payees using a standard loss payee clause. A certificate
to that effect will be provided to the City of Corpus Christi/CCCIC prior to the com-
mencement of construction on the Project.
(C) Notice to City of Corpus Christi and CCCIC. The Trust shall require its insurance
policies to provide that the General Manager of the CCCIC shall be given thirty (30)
days advance written notice by the insurer prior to cancellation, non renewal, or material
change of the insurance policies required by this Section 25. The insurer shall be
subject to approval by the City of Corpus Christi and the CCCIC. Failure to maintain
such insurance will be cause for the CCCIC to take control of the Project and will cancel
any claim that the Trust may have to the use of the Project or the Project funds. The
Trust shall provide the City of Corpus Christi/CCCIC with certificates of insurance
reflecting all the stated coverages and shall, upon request of the City of Corpus Christi
or the CCCIC, promptly provide the City of Corpus Christi or the CCCIC with copies of
all such insurance policies.
(0) Right to Re-evaluate and Adjust Limits. The City Manager, General Manager, and
their respective designees, retain the right to re-evaluate the insurance requirements
and adjust the coverage limits, up or down, upon thirty (30) days written notice to the
Trust. Insurance coverage limits shall be adjusted no more frequently than once per
year.
SECTION 26. ORAL AND WRITTEN AGREEMENTS
(A) All oral and written agreements between the parties to this Agreement, relating to
the subject matter of this Agreement, that were made prior to the execution of this
Agreement have been reduced to writing and are contained in this Agreement.
(B) The attachments enumerated and denominated below are made a part of this
Agreement and constitute promised performances by the Trust in accordance with this
Agreement:
1 Exhibit A, Covenant of Affordability
2 Exhibit B, Budget and Construction Schedule
3. Exhibit C, Other Applicable Laws and Regulations
4. Exhibit 0, Certifications
SECTION 27. JURISDICTION AND VENUE
The laws of the State of Texas shall apply to any dispute arising under this Agreement.
For purposes of litigation pursuant to this Agreement, venue shall lie in Corpus Christi,
Nueces County, Texas. where this Agreement was entered into and shall be performed.
SECTION 28. COMPLIANCE WITH FEDERAL, STATE AND LOCAL LAWS
The Trust shall comply with all federal, State, and local laws, statutes, ordinances, rules,
and regulations and with the orders and decrees of any court, administrative body, or
tribunal related to the activities and performances of the Trust under this Agreement.
Upon request by the CCCIC, the Trust shall furnish satisfactory proof of its compliance
with this section of the Agreement.
SECTION 29. REMEDIES
It is expressly understood and agreed by the parties to this Agreement that any right or
remedy provided for in this Section 28 or in any other provision of this Agreement will
not act to preclude the exercise of any other right or remedy provided under this
Agreement or under any provision of law, nor shall any action taken in the exercise of
any right or remedy be deemed a waiver of any other rights or remedies. Failure to
exercise any right or remedy under this Agreement does not constitute a waiver of the
right to exercise that or any other right or remedy at any time.
(EXECUTION PAGES FOLLOW)
Executed in duplicate originals this 0
day of
,2006.
ATTEST
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Armando Chapa
Secretary
Corpus Christi Community Improvement
Corporation
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( Ju.t (. ~tY>--'
ex Kinnison
President
ACKNOWLEDGMENTS
STATE OF TEXAS S
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COUNTY OF NUECES S
KNOW ALL BY THESE PRESENTS:
This instrument was acknowledged before me on the"'} I \jday of' ....t..-h--LA,U;..L' ,
2006, by Rex Kinnison, President of the Corpus Christi Community Improvement Cor o-
ration, on behalf of the corporation.
~(;) "tAJJ, I LL~
NOTARY PUBLIC, State of Texa .
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CLIFF MAUS VILLAGE TRUST
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ACKNOWLEDGMENTS
STATE OF TEXAS ~
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COUNTY OF NUECES ~
KNOW ALL BY THESE PRESENTS:
This instrument was acknowledged before me on the ! 'i tv-. day of tc tY~ '" L- -l ,
2006, by John S. Warren, Chairman of Cliff Maus Village Trust, a nonprofit charita~e
trust, on behalf of the trust.
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NOTARY PUBLIC, State of Texas
COVENANT TO BIND PROPERTY FOR PERIOD OF AFFORDABILlTY
STATE OF TEXAS ~
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KNOW ALL BY THESE PRESENTS:
COUNTY OF NUECES ~
Pursuant to an agreement entered into between the Corpus Christi Community
Improvement Corporation ("CCCIC") and the Cliff Maus Village Trust ("Trust"), executed
on February _,2006, which is incorporated in this instrument by reference ("Agree-
ment") , the Trust accepted federal funds, in conjunction with the United States Depart-
ment of Housing and Urban Development's Home Investment Partnership Program
("HOME Program") administered by the CCCIC. for rehabilitation of the following
property
Lot 1, Cliff Maus Village, of the City of Corpus Christi, Nueces
County, Texas, as shown by the map or plat on record in the
Map Records of Nueces County, Texas, and which is com-
monly known by its street address of 1458 West Point Road,
located in Corpus Christi, Nueces County, Texas (hereinafter
referred to as the "Property").
Pursuant to the terms, conditions, and covenants contained within the Agree-
ment, as owner of the Property and in consideration of receiving the funds, the Trust
agrees to bind the Property with the affordability requirements specified in the Agree-
ment and in Title 24, Part 92.252, of the United States Code of Federal Regulations, for
a period of not less than five (5) years from the date of completion of the rehabilitation
project on the Property, such date of completion presently unknown but anticipated to
be no later than February 28, 2008. Furthermore, at least 20% of the units rehabili-
tated with the funds received under the Agreement must meet the federal Section 8 Low
Rents established under federal law
This instrument constitutes a covenant running with the land and binds all
successors, assigns, and transferees of the Property, such Property being subject to
this instrument.
EXHIBIT A
Page 1 of 2
CLIFF MAUS VILLAGE TRUST
John S. Warren, Chairman
Date:
STATE OF TEXAS ~
~
COUNTY OF NUECES ~
Subscribed to and sworn before me this _ day of , 2006,
by John S. Warren, Chairman of the Cliff Maus Village Trust, a Texas nonprofit
charitable trust, on behalf of the trust.
Notary Public, State of Texas
AFTER RECORDING RETURN TO:
A TTN Administrator, Community Planning Division
c/o Corpus Christi Community Improvement Corporation
P. O. Box 9277
Corpus Christi, Texas 78469-9277
EXHIBIT A
Page 2 of 2
Source of Funds
City of CorpJs Christi
Cliff Maus Replacenent Fund
.Hard Costs
New PVC Sewer Ploe
Paving Repair
Excavation. Backfill Compaction
Soft Costs
Storage And Temporary Facilities
Permit and Inspections
r otal
Cliff Maus Village Sewer Replacement
Prellimlnary Budget
Funding Totals
81,195.00
4,830.00
70,953.00
2.30000
575.00
EXHIBIT B
Page 1 of 2
114,000.00
45,853.00
159,853.00
156,978.00
2.875.00
159.853.00
CLIFf MALiS VILLAGE TRUST
CDBG AND HOME PROGRAM FUNDS GRANT
PRE! ,IMINARY r01\STRUCTIO"J SCIIEDULl::
Scpkmher 11 2110:'
~Iome Fund A warded
:.-Io\:mbcr I", 2(1(J5
SolIcItation for Bids
November 29, 20()5
Award ('ontr<lct
December L 2005
Contractor Start Excavation
Jalluary 3, 2006
20ryo
February 3. 2006
40%,
March 3.200$ jp
60%
Apn i ), 20M~
80%
Mav 3,200710
. .
100% Project complete
EXHIBIT B
Page 2 of 2
EXHIBIT C
OTHER FEDERAL REQUIREMENTS
Cliff Maus Village Trust shall comply with all federal, state, and local laws and
regulations applicable to the activities and performances rendered by the Trust under this
agreement including but not limited to the laws. and the regulations specified in Section I
through VI of this Exhibit D.
l. Cl VIL RIGHTS
rhe Fair Housing Act (42 U.s.e. 3601-20) and implementing regulations at 24 CFR Part
100: Executive Order 11063, as amended by Executive Order 12259 (3 CFR, 1958-1963 Comp.,
p. 52 and 3 CFR. 1980 Comp., p. 30n (Equal Opportunity in Housing) and implementing
regulations at 24 CFR, Part 107: and title VI of the Civil Rights Act of 1964 (42 V.S.C. 2000d)
~Nondiscrimination in Federally Assisted Programs) and implementing regulations issued
at 24 CFR. Part I:
Executive Order 11063, as amended by Executive Order 12259, and 24 CFR Part
107. "Nondiscrimination and Equal Opportunity in Housing under Executive Order
11063". The failure or refusal of the Trust to comply with the requirements of Executive
Order 11063 or 24 CFR. Part 107 shall be a proper basis for the imposition of sanctions
specified in 24 CFR 107 60:
rhe prohibitions against discrimination on the basis of age under the Age
Discrimination Act of 1975(42 U.S.c. 6101-07) and implementing regulations at 24
CFR. Part 146. and the prohibitions against discrimination against handicapped
mdividuals under section 504 of the Rehabilitation Act of 1973 (29 U.S.c. 794) and
Implementing regulations at 24 CFR. Part 8:
The requirements of Executive Order 11246 (3 CFR 1964-65, Comp., p. 339)
(Equal Employment Opportunity) and the implementing regulations issued at 41 CFR.
Chapter 60.
The requirements of Executive Orders 11625 and 12432 (concerning Minority
Business Enterprise), and 12138 (concerning Women's Business Enterprise). Consistent
with HUD's responsibilities under these Orders, each applicant must make efforts to
encourage the use of minority and women's business enterprises in connection with
HOME funded activities. The Trust must prescribe procedures acceptable to the CCCIC
to establish activities to ensure the inclusion, to the maximum extent possible of
minorities and women, and entities owned by minorities and women. The Trust will be
required to identify contacts which have been bid by minority owned, women owned,
and/or small disadvantaged businesses.
The Age Discrimination Act of 1975 (42 1 r.s.c. ~~~6101 et seq.);
Sl:ction 504 of the Rehabilitation Act \If 1973 (29 U.S.c., Section 794) and
'Nondiscrimination Based on Handicap in Federally-Assisted Programs and Activities of the
Department of Housing and lrban Development". 24 CFR. Part 8. By signing this agreement,
rhe Trust understands clnd agrl:es that the acti,ities funded herein shall be operated in
accordance with 24 eFR. Part 8: and the Architectural Barriers Act of 1968 (42 U.S.c., Section
4151 e1. .,eq.). including the use of a telecommunications device for deaf persons (TDDs) or
I:qually effective commul11cation system
II. LLAD-RASED PAINT
Title IV of the Lead-Based Paint Poisoning Prevention Act (42 U.S.C. Sec. 4831).
Ill. ENVIRONMENTAL STANDARDS
Environmental Review Procedures for Title I Community' Development Block
Grant Programs. 24 CFR Part 58. as amended in 47 Fed. Reg. 15750 (April 12, 1982);
National Environmental Policy Act of 1969 (42 U.S.c. Sec. 4321 et. seq.) and 40
CFR Parts 1500-1508:
The National Historic Preservation Act of 1966 (16 U.S.c. Sec. 470 et. seq.) as
amended: particularly Section I06( 16 U.S.c. Sec. 470f);
Executive Order 11593. Protection and Enhancement of the Cultural Environment,
Mav 13. 1971 (36 Fed. Reg. 8921 ), particularly Section 2( c);
The Reservoir Salvage Act of 1960 (16 U.S.C. Sec. 469 et seq.), particularly
Section 3 (16 U. S. C. See. 469a-I). as amended by the archeological and Historic
Preservation Act of 1974:
Flood Disaster Protection Act of 1973, (42 U.S.c. Sec. 4001 et. seq.) as amended,
particularly Sections 1 02(a) and 202(a) (42 U.S.c. Sec. 4012a (a) and Sec. 4106(a));
Executive Order 11988, Floodplain Management, May 24,1977 (42 Fed. Reg.
26951). particularly Section 2(a):
Executive Order 11990, Protection of Wetlands, May 24, 1977 (42 Fed. Reg.
26961), particularly Sections 2 and 5.'
2
I he Coastal Zone l'vlanagement Act of 1972. (16 U.S.C. Sec. 1451 et seq.) as
amended. particularly Section ]07(c) an (d) (16 (l.S.C. Sec. 1456(c) and (d));
1 he Safe Drinking Water Act of 1974. (42 U .S.c. Sec. 201. 300(f) et seq.), and
(21 (' S C. See. 349) as amended. particularly Section 1424 (e) (42 D.S.C. Sec. 300h-
303( e I):
The Endangered Species Act of 1973. (1 h lJ.S.c. Sec. 1531 et seq.) as amended.
particularly Section 7 ( 16 ( 1 S.C Sec. 1536):
The Wild and Scenic Rivers Act of 1968. (16 U .S.c. Sec. 1271 et seq.) as
amended. particularly Section 7(h) and (c)( 16 lJS.c. Sec. 1278(b) and (c));
The Clean Air Act (41 L.S.C. Sec. 7401 et seq.) as amended, particularly Section 176(c)
and (d) (-+2 U.S.c. Sec. 7506(c) and (d)):
Farmlands Protection and Policy Act of 1981. (7 U.S.c. Sec. 4201 et seq.)
24 CFR Part 51. Environmental Criteria arid Standards.
IV. ACQUISITION! RELOCATION
The Uniform Relocation Assistance and Real Property Acquisition Policies Act of
1970 (42 U.S.c.. Sec. 460 I et. seq.). 49 CFR Part 24, and 24 CFR Section 570.496a (55
Fed. Reg. 29309 (July] 8, 1990)).
3
EXHIBIT D
Certification Regarding Lobbying for
Agreements. Grants. I.oans. and Cooperative Agreements
The undersigned certifies, to the best of its knmvledge and belief, that:
]. No federal appropriated funds have been paid or wiU be paid, by or on behalf
of the undersigned. to any person for influencing or attempting to influence an officer or
employee of an agency a member of congress, an officer or employee of congress. or an
employee of a member of congress in connection with the awarding of any federal
agreement. the making of any federal grant. the making of any federal loan, the entering
into of any cooperative agreement. or modification of any federal agreement, grant, loan,
or cooperative agreement.
2 If any funds other than federal appropriated funds have been paid or will be
paid to any person for influencing or attempting to influence an officer or employee of
any agency. a member of congress. an officer or employee of congress, or an employee of
a member of congress in connection with this federal agreement, grant. loan, or
cooperative agreement. the undersigned shall complete and submit standard form -LLL,
"Disclosure F arm to Report Lobbying". in accordance with its instructions.
;. The undersigned shall require that the language ofthis certification be included
111 the award document~ for all suba\vards at all tiers (including subagreements, sub grants,
and agreements under grants. loans. and cooperative agreements) and that the Trust shall
certify and disclose accordingly.
This certification is material representation of fact which reliance was placed
when this transaction was made or entered into. Submission of this certification is a
prerequisite for making or entering into this transaction imposed by 31 D.S.C. Section
1352. Any person who fails to file the required certification shall be subject to a civil
penalty of not less than $10.000 and not more than $100,000 for each such failure.
CUFF MAUS VILI .A( IE TRl iST
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Date