HomeMy WebLinkAboutRES 94-128 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 Southeast
Texas Community Development Corporation, Inc., in the amount of $553,000 from 1993
HOME Grant funds, to acquire and renovate 15 to 20 homes and make them available to
Beaumont families on a rent or resale basis. The contract is substantially in the form
attached hereto.
PASSED BY THE CITY COUNCIL of the City of Beaumont this the —i4a day
of , 1994.
- Mayor -
CONTRACT
THE STATE OF TEXAS §
COUNTY OF JEFFERSON §
WHEREAS, the City of Beaumont has received a FIVE HUNDRED FIFTY-THREE
THOUSAND AND NO/100 DOLLARS ($553,000) HOME grant from the United States
Department of Housing and Urban Development (HOME Program No. M-93-MC-48-
0201);
WHEREAS, pursuant to the authority of Resolution Number 94-32, passed by
the Beaumont City Council on February 8, 1994, the Southeast Texas Community
Development Corporation, Inc. (S.E.T.C.D.C.) is an authorized Community Housing
Development Organization (CHDO);
WHEREAS, the HOME allocation will be used to acquire and rehabilitate sub-
standard housing units 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. The funds will also be used for project administration costs associated with
carrying out the acquisition and rehabilitation activities;
WHEREAS, the Southeast Texas 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 Southeast Texas 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 Southeast
Texas Community Development Corporat on, Inc. for the purposes of increasing the
number of affordable housing units through acquisition and rehabilitation, revitalizing
communities through the elimination of blight and creating tax revenue;
WHEREAS, The Southeast Texas Community Development Corporation, Inc.
will secure the 12.5% financial match requirement for the M-93-MC-48-0201 HOME
Grant. The financial funding match requirement totals Sixty-Nine Thousand One
Hundred Twenty-Five Dollars and no/100 ($69,125).
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 Southeast Texas
Community Development Corporation, Inc., hereinafter referred to as "Grantee",
acting by and through Albert J. Price, Sr., its duly authorized President, do hereby
covenant and agree as follows:
1 .
Grantee, located at 3355 Elmira Street, shall use the Federal 1993 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
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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 he ising 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 FIVE HUNDRED FIFTY-THREE THOUSAND AND NO/100 DOLLARS
(5553,000). This amount includes $82,950 which represents the 15% of HOME
funds that must be allocated to a local Community Housing Development
Organization.
3.
The City agrees to provide Grantee with FIVE HUNDRED FIFTY-THREE
THOUSAND AND NO/100 DOLLARS ($553,000) of 1993 HOME Grant 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 April
30, 1995. Payment shall be made by the U. S. Treasury, who will disburse 1993
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
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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 March 31, 1995. Failure to comply with th
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.
4.
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-93-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.
5.
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
incorporaii--d herein by reference. The Grantee also understands and agrees to adhere
:o 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.
6.
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.
7.
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 understood
5
and agreed that Grantor will provide technical assistance to Grantee in the furtherance
of its program.
8.
Grantee hereb , 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.
9.
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.
10.
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 or 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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11 .
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 ordina ices, 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.
12.
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.
13.
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.
14.
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 Rosemarie Chiappetta
City Manager City Clerk
THE SOUTHEAST TEXAS COMMUNITY
DEVELOPMENT CORPORATION, INC. ATTEST:
By: Albert J. Price, Sr. Antoinette M. Jones
President Secretary
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"EXHIBIT A"
PROGRAM BUDGET
I. Property Acquisition and Renovation $528,000
II. Personnel Services and Operations 25.000
TOTAL PROGRAM BUDGET $553,000