HomeMy WebLinkAboutRES 97-273 RESOLUTION N0. 7-3
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 Statewide
Consolidated Community Development Corporation (SCCDC), in the amount of One
Hundred Forty-Six Thousand ($146,000) dollars from the 1997 HOME Grant funds. The
contract is substantially in the form attached hereto.
G�
PASSED BY THE CITY COUNCIL of the City of Beaumont this the 6o ' day
of ` , 1997.
- Mayor -
CONTRACT
THE STATE OF TEXAS §
COUNTY OF JEFFERSON §
WHEREAS, the City of Beaumont has received a HOME grant from the United States
Department of Housing and Urban Development (HOME Program No. M-97-MC-48-0201);
WHEREAS, pursuant to the authority of Resolution Number , passed by
the Beaumont City Council on , 1997, the Statewide Consolidated
Community Development Corporation, Inc. (SCCDC), an authorized Community Housing
Development Organization (CHDO), will enter into a contract with the City for HOME funds
totaling ONE HUNDRED FORTY-SIX THOUSAND AND N01100 DOLLARS ($146,000);
WHEREAS, the HOME allocation of ONE HUNDRED TEN THOUSAND AND N01100
DOLLARS ($110,000) will be used to acquire and rehabilitate three to five sub-standard housing
units located in strategic areas (census tracts 1.03, 6, 7, 8, 9, 10,11, 12, 14, 15, 16, 17, 18, 19,
20, 21, 22, 23, 24, 25 and 26) which will provide decent, safe and sanitary housing for low and
moderate income families. The income from the rents receivables will be used to generate long
term program income; thus creating a solid financial foundation for the CHDO;
WHEREAS, HOME funds of THIRTY-SIX THOUSAND AND N01100 DOLLARS
($36,000) will be used to pay eligible operating and administrative costs for the CHDO;
WHEREAS, the Statewide Consolidated Community Development Corporation, Inc.
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 Statewide Consolidated Community
Development Corporation, Inc. desire to enter into a Contract and Agreement whereby the City
of Beaumont will furnish said federal HOME grant funds to the Statewide Consolidated
Community Development Corporation, Inc. for the purposes of increasing the number of
1
affordable housing units through acquisition and rehabilitation, revitalizing communities through
the elimination of blight and creating tax revenue;
WHEREAS, the SCCDC will secure the financial match requirements for the M-97-MC-
48-0201 HOME grant. The financial funding match requirement totals Eighteen Thousand Two
Hundred Fifty Dollars ($18,250);
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 Statewide Consolidated Community Development
Corporation, Inc. hereinafter referred to as "Grantee", acting by and through Robert Jones, its
duly authorized Chairman, do hereby covenant and agree as follows:
1.
Grantee, located at 1395 College, shall use the Federal 1997 HOME grant funds, herein
provided, to acquire and rehabilitate single or multi-family housing units for rent or sale to low
to moderate income individuals. Grantee 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 with preference given to Section 8 tenants. 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 ONE
HUNDRED FORTY-SIX THOUSAND AND N0I100 DOLLARS ($146,000).
3.
The City agrees to provide Grantee with ONE HUNDRED FORTY-SIX THOUSAND
AND N01100 DOLLARS ($146,000) of 1997 HOME grant funds to be available through the
2
City's draw process on or after the effective date of this Contract. Grantee agrees and understands
that this contract shall terminate on June 30, 1998. Payment shall be made by the U. S. Treasury,
who will disburse 1997 HOME funds (wire transfer) through Cash Management Information
System (CM/1) directly to the City, who will make payments upon receipt of invoices or payment
vouchers from Grantee certifying that all requirements have been met and a closing date has been
finalized. Grantee understands and agrees that project activities (acquisition, rehabilitation) must
be committed (an acceptable Project Set-up Report is entered into the CM/I) by May 30, 1998.
Failure to comply with the aforementioned commitment will jeopardize funding. The Grantee
understands that all grant monies awarded may be terminated for cause and convenience. It is
expressly understood and agreed by and between the City and Grantee that any and all program
income will be used by Grantee to build capacity, i.e., administrative costs, operational expenses,
and/or any eligible activities. Grantee further agrees that any grant funds remaining after this
Agreement expires will revert to the City of Beaumont.
4.
Grantee understands and agrees that should Grantee (Statewide Consolidated Community
Development Corporation, Inc.) become 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
program income, 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-97-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.
3
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 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. The SCCDC will provide an acceptable audit engagement letter
for the 1997 audit report to the City of Beaumont by January 31, 1998. The completed 1997 audit
report will be provided to the City by April 30, 1998. The audit fee will be paid directly to the
auditor from other City funds. Failure to complete the audit report by April 30, 1998 may result
in contract termination.
The SCCDC will provide an acceptable audit engagement letter for the 1998 audit report
to the City of Beaumont by January 31, 1999. The completed 1998 audit report will be provided
to the City of Beaumont by April 30, 1999. The audit fee will be paid directly to the auditor from
other City funds.
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
4
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 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 provided to
provide decent, safe and sanitary housing to low and moderate income families of the City of
Beaumont, Jefferson County, Texas by acquiring and rehabilitating sub-standard housing. It is
understood that Grantee adheres to HOME affordability requirements.
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, direct or indirect, 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.
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.
5
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 contemporaneous, oral or
written Agreement which purports to vary from the terms hereof shall be void.
16.
Grantee covenants and agrees to hold harmless the City and its officers, agents, servants
and employees, from and against any and all claims or suits for property loss or damage and/or
personal injury, including death to any and all persons, or whatever kind of character whether real
or asserted, arising out of or in connection with the execution, performance, attempted
performance or non-performance of this contract and agreement and/or the operations, activities
and services of the program described herein, whether or not caused, in whole or in part, by
alleged negligence of officers, agents, servants, employees, contractors, or sub-contractors of the
City.
6
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 ATT EST:
By: Ray A. Riley Patrice Fogarty
City Manager City Clerk
THE STATEWIDE CONSOLIDATED
COMMUNITY DEVELOPMENT
CORPORATION, INC. ATTEST:
By: Robert Jones Leon Jake Campbell
Chairman Secretary-Treasurer
7
"FXHTRTT X'
PROGRAM BUDGET
I. Property Acquisition and Renovation $110,000
II. Administration & Operating Expenses -3L.iZ44
TOTAL PROGRAM BUDGET X14
PROJECT SCHEDULE
1. Acquire and rehabilitate up to two (2) houses by January 31, 1998.
2. Acquire and rehabilitate up to two (2) houses by March 31, 1998.
3. Acquire and rehabilitate one (1) house by May 31, 1998.