HomeMy WebLinkAboutRES 96-237 ® i
RESOLUTION NO. � '
BE IT RESOLVED BY THE CITY COUNCIL
OF THE CITY OF BEAUMONT:
THAT the City Manager is hereby authorized to enter into a contract with the Innovative
Housing Development Corporation's home buyer's assistance program in the amount of
$250,000 which provides for mortgage principal buy-downs, closing costs and project costs
necessary for 11 new homes which will be constructed in the Charlton-Pollard
neighborhood. The contract is substantially in the form attached hereto.
PASSED BY THE CITY COUNCIL of the City of Beaumont this the /�_,e day of
1 , 1996.
- Mayor -
CONTRACT
THE STATE OF TEXAS §
COUNTY OF JEFFERSON §
WHEREAS, the City of Beaumont has received a grant from the United States
Department of Housing and Urban Development (HOME No. M-96-MC-48-0201);
WHEREAS,pursuant to the authority of Resolution Number passed
by the Beaumont City Council on 1996, the Innovative
Housing Development Corporation, Inc. (IHDC) will enter into a contract with the City
of Beaumont for HOME funds totaling TWO HUNDRED FIFTY THOUSAND AND
NO/100 DOLLARS ($250,000);
WHEREAS,the HOME allocation will be used for the sole purpose of mortgage
principal buy-down, closing cost and eligible project costs for eleven (11) new homes
to be constructed in the Charlton-Pollard Neighborhood for first time home buyers.
The new home construction will provide decent, safe and sanitary housing for low
and moderate income families of the City of Beaumont. IHDC shall select a builder(s)
to construct eleven (11) new homes. IHDC shall select builder(s) based on their
product design and affordability. IHDC will transfer title of lots, on which new homes
will be constructed, to the selected builder(s) at no cost to the builder(s). City staff
shall supply all technical assistance necessary to pre-approve first time home buyers.
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WHEREAS, the Innovative Housing Development Corporation provides various
services to low-income and moderate-income families of the City of Beaumont,
Jefferson County, Texas that enable such families to obtain a suitable place to reside;
WHEREAS, the City of Beaumont and the Innovative Housing Development
Corporation desire to enter into a contract and agreement whereby the City of
Beaumont will furnish said federal HOME grant funds to the IHDC for the purposes
of new home construction in the Charlton-Pollard Neighborhood.
WHEREAS, the Innovative Housing Development Corporation, Inc. will secure
the 12.5% financial match requirements for the M-96-MC-48-0201 HOME grant. The
financial funding match requirement totals Thirty-one Thousand Two Hundred Fifty
Dollars and no/100 (531,250).
NOW, THEREFORE, KNOW ALL MEN BY THESE PRESENTS:
That for and in consideration of the mutual covenant, promises, and
agreements contained therein, the City of Beaumont, hereinafter referred to as "City",
acting by and through Ray A. Riley, its duly authorized City Manager, and the
Innovative Housing Development Corporation, hereinafter referred to as "Grantee",
acting by and through Gaylyn Cooper its duly authorized President, do hereby
covenant and agree as follows:
1 .
Grantee, located at 801 Main Street, shall use the Federal 1996 HOME funds,
herein provided, for principal buy down and closing cost for the construction of single
family housing units for sale to low to moderate income individuals. Grantee
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covenants and agrees to expend federal grant funds in accordance with 24 CFR Part
92 (as now in effect and as may be amended from time to time), which is
incorporated by reference and constitutes part of the agreement. It is expressly
understood and agreed by Grantee that this Contract and the procurement authorized
and provided for hereunder have as their purpose or goal to provide decent, safe and
sanitary housing units to low and moderate income persons. Grantee agrees to do
all things necessary under this Contract to complete the program set out in "Exhibit
A" attached hereto.
2.
It is understood and agreed that in no event shall the total distribution of
federal grant funds, made to or in behalf of the Grantee pursuant to this Agreement,
exceed the total sum of TWO HUNDRED FIFTY THOUSAND AND NO/100 DOLLARS
($250,000).
3,.
The City agrees to provide Grantee funds to be available through the City's
draw process on or after the effective date of this Contract. Grantee agrees and
understands that this contract shall terminate on October 31, 1997. Payment shall
be made by the U. S. Treasury, who will disburse 1996 HOME funds (wire transfer)
through Cash Management Information System (CM/1) directly to the City, who will
make payments upon receipt of invoices from Grantee certifying that all requirements
have been met. The Grantee understands that all grant monies awarded may be
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terminated for cause and convenience. Grantee further understands that any grant
funds remaining after this agreement expires will revert to the City of Beaumont.
4.
Grantee understands and agrees that should Grantee (Innovative Housing
Development Corporation) becomes defunct or insolvent, any and all grant funds on
hand and any accounts receivable attributable to the use of grant funds shall transfer
to the City of Beaumont.
Grantee further understands and agrees to and shall transfer to the City of
Beaumont any real properties, equipment, supplies and any assets acquired as a result
of grant funds.
5.
It is expressly understood and agreed by and between the City and Grantee
that this agreement is wholly conditioned upon the actual availability of federal grant
funds under the United States Department of Housing and Urban Development (HOME
Program No. M-96-MC-48-0201) and that all monies distributed to or in behalf of
Grantee hereunder shall be exclusively from federal monies received under said HOME
Program, and not from any other monies of the City.
6.
Grantee agrees to keep accurate records to document its adherence to
applicable federal regulations and all "other federal requirements", along with
documentation and records of all expenditures of said HOME Program funds. Grantee
further understands and agrees to comply with the applicable requirements and
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standards of OMB Circular A-110 (Uniform Administrative Requirements for Grants
and Cooperative Agreements to State and Local Governments), said provisions being
incorporated herein by reference. The Grantee also understands and agrees to adhere
to the City's procurement process. The City shall reserve the right to investigate,
examine and audit, at any time, any and all such records relating to the operations or
expenditures of Grantee under this agreement.
7.
Grantee covenants and agrees to fully cooperate with the City in monitoring the
effectiveness of the expenditure of grant funds and the City shall have access at all
reasonable times to the offices, premises and records of Grantee in regard to the
administration of this contract.
8.
Grantee shall operate hereunder as an independent contractor and not as an
officer, agent, servant or employee of the City. Grantee shall have exclusive control
of the program and all persons involved in same subject only to the terms of this
agreement and shall be solely responsible for the acts and omissions of its officers,
members, agents, servants, employees, subcontractors, program participants,
licensees and invitees. It is expressly understood and agreed that, other than those
people who receive wages on a regular basis from Grantor, that no officer, member,
agent, servant, employee, subcontractor, licensee, invitee of Grantee nor any program
participant hereunder is in the paid service of the City. It is also expressly
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understood and agreed that Grantor will provide technical assistance to Grantee in the
furtherance of its program.
9.
Grantee hereby covenants and agrees, in consideration for the funds herein to
provide mortgage principal buy-down, closing cost and eligible project costs for new
homes to be constructed for the Charlton-Pollard Neighborhood Revitalization Project.
Funds will be used to provide new housing to low and moderate income families in
the City of Beaumont, Jefferson County, Texas.
10.
No officer, employee or member of Grantee or Grantee's subcontractors shall
have a financial interest, direct or indirect, in this contract or the monies transferred
hereunder, or be financially interested, directly or indirectly, in any contract relating
to the operations conducted by it, nor in any contract for furnishing services or
supplies to Grantee. Any willful violation of this paragraph with the knowledge,
expressed or implied, of Grantee or its subcontractors, shall render this contract
voidable by the City of Beaumont.
11 .
No grants shall be made by Grantee to its directors or officers, either directly
or indirectly, through family members, business partners or employees. Grantee
agrees that no HOME funds shall be used, either directly or indirectly, for religious
purposes. Any willful violation of this paragraph with the knowledge, expressed or
implied, of Grantee shall render this contract voidable by the City of Beaumont.
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12.
Grantee covenants and agrees that its officers, members, agents, employees,
program participants and subcontractors shall abide by and comply with all Federal,
State and local laws, including all ordinances, rules and regulations of the City of
Beaumont, as amended. Grantee further covenants and agrees that it will fully
comply with the terms and conditions of the HOME Program under which these funds
are granted.
13.
The provisions of this agreement are severable and if for any reason a clause,
sentence, paragraph, or other part of this agreement shall be determined to be invalid
by a court or federal or state agency, board or commission having jurisdiction over
the subject matter thereof, such invalidity shall not affect the other provisions which
can be given effect with the invalid provision.
14.
The failure of the City to insist upon the performance of any term or provision
of this agreement or to exercise any right herein conferred shall not be construed as
a waiver or relinquishment to any extent of the City's right to assert or rely upon any
such term or right on any future occasion.
15.
This written instrument and attachments constitute the entire agreement by the
parties hereto concerning the matter.performed hereunder and any prior or
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contemporaneous, oral or written agreement which purports to vary from the terms
hereof shall be void.
IN WITNESS WHEREOF, the parties hereto have executed this Agreement in
Beaumont, Jefferson County, Texas, this day of
A.D., 19
THE CITY OF BEAUMONT ATTEST:
By: Ray A. Riley Patrice Fogarty
City Manager City Clerk
THE INNOVATIVE HOUSING
DEVELOPMENT CORPORATION ATTEST:
By: Gaylyn Cooper Marilyn S. Adams
President Secretary
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"EXHIBIT A"
PROGRAM BUDGET
I. MORTGAGE PRINCIPAL BUY DOWN, CLOSING COST -$250.000
AND ELIGIBLE PROJECT COSTS FOR 11 NEW HOMES
TO BE CONSTRUCTED IN THE CHARLTON-POLLARD
NEIGHBORHOOD
TOTAL PROGRAM BUDGET 5250.000