HomeMy WebLinkAboutRES 24-186RESOLUTION NO, 24-186
BE IT RESOLVED BY THE
CITY COUNCIL OF THE CITY OF BEAUMONT:
WHEREAS, on December 19, 2023, Council adopted Resolution 23-383 awarding
Community Housing Development Organization (CHDO) funding from the 2023 HOME
Investment Partnership fund to Legacy Community Development Corporation, LLC; and,
WHEREAS, Legacy Community Development Corporation, LLC, has requested an
extension of the timeline of the Reserve and Operating Grant Agreements, to extend the deadline
to April 30, 2025,
NOW, THEREFORE, BE IT RESOLVED BY THE
CITY COUNCIL OF THE CITY OF BEAUMONT:
THAT the City Manager be and he is hereby authorized to execute an amended Grant
Agreement with Legacy Community Development Corporation, LLC, for the 2023 CHDO
Reserve and Operating Funds timeline extension to now expire on April 30, 2025,
The meeting at which this resolution was approved was in all things conducted in strict
compliance with the Texas Open Meetings Act, Texas Government Code, Chapter 551.
2024.
PASSED BY THE CITY COUNCIL of the City
ae
this the 6th day of August,
- Mayor Roy West -
HOME CHDO ALLOCATION FUNDING AGREEMENT
between the
CITY OF BEAUMONT
and the
Legacy Community Development Corporation
This Community Housing Development Allocation Funding Agreement (Agreement
hereinafter) is made and entered into by and between the CITY OF BEAUMONT, a Home Rule
Municipal Corporation incorporated under the laws of the State of Texas (City hereinafter), and
the Leery Community Development Corporation_, a Texas non-profit corporation (CHDO
hereinafter), located at 70North Street Beaum nt Texas 77701.
WHEREAS, the City of Beaumont has received a HOME grant from the United States
Department of Housing and Urban Development (HOME Program No, M-23-MC-48-0201);
WHEREAS, the City has the objective of providing for the development of low -to -moderate
income housing for residents of the City through its Community Development Division;
WHEREAS, the Legacy Community Development Corpora through its express purpose as
set forth in its corporate bylaws, shares this common goal with the City as a City of Beaumont
approved Community Housing Development Organization (CHDO hereinafter);
WHEREAS, pursuant to the authority of ResolutionNurnber #23-383, passed by the Beaumont
City Council on 12/19/2023 the Legacy Communi1y Development Corporation will enter into a
contract with the City for an award of the 2023 HOME funds totaling Ninety -Four Thousand, One
Hundred Nine Dollars And 00/100 ($94,109.00).
WHEREAS, the City is required to reserve not less than 15 percent of the HOME allocation for
any fiscal year for investment only in housing to be developed, sponsored, or owned by certified
CHDOs pursuant to applicable US Department of Housing and Urban Development (HUD)
regulations including but not limited to 24 CFR 92.300 (see attached hereto as Exhibit A), and as
approved in the City's 2023 Action Plan of the 2020 - 2024 Consolidated Plan which set aside a
portion of HOME Grant funds for CHDOs to develop low -to -moderate income housing;
WHEREAS, The HOME allocation of Ninety -Four Thousand, One Hundred Nine Dollars
and 001100 ($94,109.00) will be used for the eligible costs related to the acquisition and
rehabilitation of one (1) existing unit. Such housing will provide decent; safe and sanitary housing
for eligible families;
WHEREAS, the City desires to assist the CHDO in providing for the acquisition of low -to -
moderate income housing through funds provided by HUD's Home Investment Partnerships
Program (HOME Program);
NOW, THEREFORE, FOR AND IN CONSIDERATION of the mutual purposes and
obligations set forth herein, the City and CHDO covenant and agree as follows:
This Agreement sets forth the understanding of the parties concerning the City's HOME
allocation as approved by HUD. It is the intent of this Agreement to outline what eligible activities
and procedures the CHDO must comply with to qualify for a portion of the City's HOME CHDO set
aside. The parties have severally and collectively agreed, and by the execution hereof are bound, to
the mutual obligations and to the performance and accomplishment of the tasks described herein.
Section 1 — City's Responsibilities
A. The Community Development administrator, or other designated Community Development
Staff, will act as liaison on behalf of the City.
B. The City agrees to assume overall responsibility as the CHDO for ensuring that the Housing
Assistance programs using HOME funds are carried out in accordance with the HOME
INVESTMENT PARTNERSHIPS PROGRAM. The City shall complete and provide documentation
as required by HUD for program reporting requirements.
C. The City agrees to pay eligible costs, up to a maximum total amount of Ninety -Four
Thousand, One Hundred Niue Dollars and 00/100 ($94,109.00).
on a reimbursement basis to the CHDO for eligible activities as outlined in 24 CFR 92.300 (attached
hereto as Exhibit A), carried out within the City's jurisdictional boundaries, specifically, the
acquisition and rehabilitation of one (1) unit. Specific activities to be carried out will include
acquisition, closing costs, warranties, appraisals, surveys, inspections and make-ready costs
associated with one (1) unit which will be purchased, rehabbed and sold to low/moderate income
persons at or below 80% of the median income. Costs will be reimbursed as set forth in the
program's reimbursement policy.
D. CHDO agrees that a single or program -specific audit is a condition of funding for all entities
that expend $500,000.00 or more in a year in Federal awards. The City of Beaumont requires the
CHDO to submit the most current financial review for the fiscal year completed by August 30, 2024.
Section 2 — Lelzacy Comranunity Development Corporation Responsibilities
A. The Executive Director for the CHDO, or other designated CHDO staff, will act as liaison on
behalf of the CHDO.
B. CHDO agrees to execute any and all documents requested by the City for compliance with
the HOME Investment Partnership Program, as specified in 24 CFR 92,505(b) (attached hereto as
Exhibit B) and agrees to comply with all uniform administrative requirements and standards as more
particularly described in OMB Circular A-110 (Uniform Administrative Requirements for Grants
and Cooperative Agreements to State and Local Governments.
C. CHDO agrees to maintain itself as a City certified CHDO in accordance with Title 1I of the
National Affordable Housing Act (1990), as it may be amended, concerning the HOME Investment
Partnership program (HOME) (24 CFR 92.300) (see attached Exhibit A), and the regulations
policies and reporting requirements established by the City in conjunction with HUD, including
CHDO recertification annually and/or prior to the execution of a contract for HOME CHDO Reserve
funds.
D. CHDO agrees to assure that all acquisition or rehabilitation projects will meet or exceed all
written locally adopted Property Standards as well as all applicable local and state codes and other
federal requirements. Within ninety (90) days of the execution of this agreement, the Legacy
Community Development Corporation will adopt the City's construction specifications and
standards to be used on projects funded by this agreement. Where applicable, all floor plans must be
certified as having met or exceeded the Model Energy Code prior to construction. Variations from
these standards should be approved in writing by the City's representative. Quality and affordability
shall be the criteria used to determine whether a requested variance will be approved.
E. CHDO agrees to complete all acquisition, rehabilitation or new construction projects within
two years from the date of this agreement, or by federally required deadlines, whichever is sooner.
For projects including acquisition for new construction, the construction must begin within one (1)
year of the acquisition of the property. The issuance of a building permit will constitute start of
construction. If construction cannot be commenced by its start date as set out in Exhibit A, the
CHDO shall notify the City in writing at least 30 days prior to the commencement date of the
specific nature of the events that prevent the commencement of construction. The City shall either
approve a new commencement date or deny the request for an extension. The decision of the City's
representative shall be final. If new start date is not approved, funds allocable to the structure will
be removed from the contract and the CHDO will be required to deed to the City any real property
provided.
F. CHDO agrees to provide the City full and complete documentation of all eligible acquisition,
materials, professional fees and labor expenses fourteen (14) calendar days prior to the requested
reimbursement date. All eligible expenses must be already paid in full by CHDO prior to submittal
to the City. The Community Development Administrator may waive this requirement to facilitate
program goals and objectives.
G. Except where unavailable, CHDO agrees to make the homes acquired through this contract
available to applicants who have been qualified through a HUD Certified Homebuyer Counseling
Agency. Where applicable, CHDO agrees to collect homeownership applications, determine
eligibility, gather all initial data connected with these applications, and to assist the prospective
homebuyer with the negotiation of permanent financing with participating lenders. CHDO agrees to
ensure the long-term affordability of the property to the new homebuyer as specified in 24 CFR
92.252 (attached hereto as Exhibit Q. These affordability requirements must be enforced by the use
of 2,d Lien Deeds of Trust and deed restrictions.
H. CHDO agrees to affirmatively market all properties to eligible low- or moderate -income
families as described 24 CFR 92.351 (a) (Exhibit D).
1. CHDO agrees to furnish the City with information on the program participants necessary to
meet HUD reporting requirements (i.e., income verifications, ethnicity, age, sex, family status,
disability status and head -of=household status). Approval by the City is required prior to the
applicant receiving an approval letter from. the CHDO. CHDO also agrees to make all files on
projects/programs funded by this agreement available for inspectionby City staff. CHDO will report
any project and/or program delays or modifications and await City approval before proceeding.
CHDO will also report any instances of client fraud or program abuse to the City.
r. CHDO agrees to refuted all HOME funds found to have been used for ineligible and/or
unapproved programs or activities. These repayments will be made within thirty (30) days of
notification by the City of the ineligible expenditures. .
K. CHDO agrees to meet with the City to discuss progress or concerns as the need arises and at
the City's request. CHDO also agrees to report on a bi-annual basis to the City on program/project
status as outlined in 24 CFR 92.300 (attached hereto as Exhibit A). This must be a written report of
the status on recently completed, ongoing, and pre -approved programs and/or projects, and must
include information for the reporting period to include the status on applicant approvals/denials;
projects/programs approved; fund disbursements; project bidding information; property sales;
contractor/subcontractor utilization (amounts, ethnicity, addresses, social security numbers and
amounts billed and paid); use of C14DO proceeds; and other information as appropriate and required
by the attached program guidelines (Exhibit E). CHDO agrees that the Program will be
administered according to all applicable regulations and guidelines per the City ofBeaumont's 2023
Action Plan (as it may be amended), program design criteria and construction standards.
L. CHDO agrees to place all sales proceeds gained from this program back into its Affordable
Housing Initiative Program, and more specifically, into other HOME eligible CHDO housing
activities located within the jurisdictional boundaries of Beaumont for as long as the CHDO is
certified by the City as a CHDO. Eligible activities include (a) eligible project costs related to the
development and construction of new houses AND (b) home buyer assistance including, but not
limited to, lease -purchases, mortgage principal buy down, closing costs, pre -paid or any other
reasonable AND necessary eligible expenses. The CHDO understands and agrees that should the
CHDO 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. The CHDO further understands and
agrees to, and shall transfer to the City, any program income, real properties, equipment, supplies
and any assets acquired as a result of grant funds if CHDO becomes defunct or insolvent.
M. CHDO agrees to secure the financial match requirements for M-23-MC-48-0201 HOME
funds. The financial funding match requirement is 25% of total expenditures less CHDO Operating
funds.
N. CHDO agrees that the City will provide the CHDO with Ninety -Four Thousand, One
Hundred Nine Dollars and 00/100 ($94,109.00), 2023 HOME funds to be available through the
City's draw process on or after the effective date of this contract. Payment shall be made directly to
the CHDO, upon receipt of invoices or payment vouchers from CHDO certifying that all
requirements have been met.
O. The CHDO also understands and agrees to adhere to the City's procurement process
(attached hereto as Exhibit F). The City shall reserve the right to investigate, examine and monitor,
at any time, all such records relating to the operations or expenditures of CHDO under this
Agreement.
P. The CHDO agrees to adhere to all local, state and federal regulations applicable to rental
housing qualifying as Affordable Rental Housing as per 24 CFR 92.252, established Fair Market
Rents (Schedule B), and Income Limits (221(d)(3) (attached hereto as Exhibit Q.
Section 3 - General Terms
A. This Agreement shall be fully executed in writing by both parties, and extend from January
24, 2024 through April 30, 2025. With agreement by both parties, the Agreement may be extended
for a time specified in a jointly signed and approved term extension memorandum, not to exceed 24
months from the original effective date.
B. This Agreement and the rights and obligations contained Herein may not be assigned by
either party.
C. This Agreement has been made tinder, and shall be governed by, the laws of the State of
Texas. The parties agree that performance and all matters related thereto shall be in Beaumont,
Texas,
D. This Agreement may only be amended by written instrument, approved and executed by both
parties.
E. The City may terminate this agreement if at any time, after a thirty -day written notice, the
CHDO is found to have violated any federal, state or local requirements, for nonperformance of the
terms of this agreement, or upon the unavailability of HOME funds.
F. It is expressly understood and agreed by and between the City and the CHDO that this
Agreement is wholly conditioned upon the actual availability of federal HOME funds allocated to
the City by the U S Department of Housing and Urban Development (HOME Program No. M-23-
MC-48-0201), and that all monies distributed to, or in behalf of the, CHDO hereunder shall be
exclusively from federal monies received under said HOME Program, and not from any other
monies of the City.
G. This Agreement does not provide for any administrative and/or operating costs incurred by
the CHDO.
H. This Agreement does not provide for Predevelopment costs as defined in 24 CFR Part 92.301
(attached hereto as Exhibit G)
1. If any provision(s) of this Agreement shall be held to be invalid, illegal, or -unenforceable by
a court, by HUD, or other competent tribunal, the validity, legality, and enforceability of the
remaining provisions shall not be impaired thereby. In such event, the parties hereby agree to use
their best efforts to replace the respective provision or provisions with terms and conditions
approximating the original intent of the parties and conforming in all respects with applicable law
and HUD regulations and directives,
J. 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.
K. 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.
L. CHDO 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 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 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.
M, No officer, employee or member of CHDO or CHDQ'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 CHDO. Any willful violation of this paragraph with
the knowledge, expressed or implied, of CHDO or its subcontractors, shall render this contract
voidable by the City of Beaumont.
N. No grants shall be made by CHDO to its directors or officers, either directly or indirectly,
through family members, business partners or employees. CHDO 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 CHDO shall render this contract voidable by the City.
O. CHDO covenants and agrees that its officers, members, agents, employees, program
participants and subcontractors shall abide by and comply with federal, state and local laws,
including all ordinances, rules and regulations of the City of Beaumont, as amended. CHDO further
covenants and agrees that it will fully comply with the teens and conditions of the HOME Program,
under which these funds are granted.
P. Each party has the full power and authority to enter into and perform this Agreement, and the
person signing on behalf of each party has been properly authorized and empowered to execute this
Agreement.
Q. The parties hereby acknowledge that they have read, understand, and intend to be bound by
the terms and conditions contained herein.
Legacy Community Development Corporation
10
Vivian L. Ballou, Executive Director Date
STATE OF TEXAS
ACKNOWLEDGMENT
CITY OF BEAUMONT
This instrument was aclmowledged before me on the day of , 2024, by Vivian
Ballou, as Executive Director of Legacy Community Development -Corporation a non-profit
organization, on behalf of said organization.
Jessica D, Prince
CITY OF BEAUMONT
By;
Kenneth R. Williams, City Manager
ATTEST:
IN
Tina Broussard, City Clerk
Notaty Public in and for the State of Texas
Date
Date
DEFINITIONS
Fair inarket rent (FMR). The rent, including the cost of utilities (except telephone), that would
be required to be paid in the housing market area to obtain privately owned, existing, decent, safe
and sanitary rental housing of modest (non -luxury) nature with suitable amenities. Fair market
rents for existing housing are established by HUD for housing units of varying sizes (number of
bedrooms), and are published in the Federal Register in accordance with 24 CFR part 888.
-Initial lease tear?. The initial term of the assisted lease. The initial lease term must be for at least
one year.
Initial contract rent. In the certificate program, the contract rent at the beginning of the initial
lease term,
Lease, (1) A written agreement between an owner and a tenant for the leasing of a dwelling unit
to the tenant. The lease establishes the conditions for occupancy of the dwelling unit.
HOME CHDO ALLOCATION FUNDING AGREEMENT
between the
CITY OF BEAUMONT
and the
Legacy Community Development Corporation
This Community Housing Development Allocation Funding Agreement (Agreement
hereinafter) is made and entered into by and between the CITY OF BEAUMONT, a Home Rule
Municipal Corporation incorporated under the laws of the State of Texas (City hereinafter), and
the Legacy Community Development Corporation, a Texas non-profit corporation (CHDO
hereinafter), located at 700 North, Ste. D Street, Beaumont, Texas 77701.
WHEREAS, the City of Beaumont has received a HOME grant from the United States
Department of Housing and Urban Development (HOME Program No, M-23-MC-48-0201);
WHEREAS, the City has the objective of providing for the development of low -to -moderate
income housing for residents of the City through its Community Development Division;
WHEREAS, the Lcgacy Community Development Corporation, through its express purpose
as set forth in its corporate bylaws, shares this common goal with the City as a City of Beaumont
approved Community Housing Development Organization (CHDO hereinafter);
WHEREAS, pursuant to the authority of Resolution Number #23-383, passed by the
Beaumont City Council on 12/12/2023 the Legacy Community Development Corporation will
enter into a contract with the City for 2022 HOME funds totaling Thirty -One Thousand Three
Hundred Seventy Dollars and 00/100 ($31,370.00);
WHEREAS, the City is required to reserve not more than 5 percent of the HOME allocation
for any fiscal year CHDO operation and expenses to be used by certified CHDOs pursuant to
applicable U S Department of Housing and Urban Development (HUD) regulations including but
not limited to 24 CFR 92.300 (see attached hereto as Exhibit A), and as approved in the City's
2023 Action Plan update of the 2020 - 2024 Consolidated Plan which set aside 5% of the HOME
Grant funds for CHDO operational expenses;
WHEREAS, The HOME 5% CHDO Operating allocation of Thirty -One Thousand Three
Hundred Seventy Dollars and 00/100 ($31,370.00) will be used for reasonable and necessary
costs for the operation of the CHDO. Such costs include salaries, wages, and other employee
compensation and benefits; employee education, training, and travel; rent; utilities;
communication costs; taxes; insurance; equipment; materials; and supplies.
NOW, THEREFORE, FOR AND IN CONSIDERATION of the mutual purposes and
obligations set forth herein, the City and CHDO covenant and agree as follows:
This Agreement sets forth the understanding of the parties concerning the City's HOME
allocation as approved by HUD, It is the intent of this Agreement to outline what eligible activities
and procedures the CHDO trust comply with in order to qualify for a portion of the City's HOME
CHDO operations. The parties have severally and collectively agreed, and by the execution hereof
are bound, to the mutual obligations and to the performance and accomplishment of the tasks
described herein.
Section 1— City's Responsibilities
A. The Community Development administrator, or other designated Community
Development Staff, will act as liaison on behalf of the City.
B. The City agrees to assume overall responsibility as the CHDO for ensuring that the
Housing Assistance programs using HOME funds are carried out in accordance with the HOME
INVESTMENT PARTNERSHIPS PROGRAM. The City shall complete and provide
documentation as required by HUD for program reporting requirements.
C. The City agrees to pay eligible costs, up to a maximum total amount of Thirty-Qne
Thousand Three Hundred Seventy Dollars and 00/100 ($31,370.00)
on a reimbursement basis to the CHDO for eligible activities as outlined in 24 CFR 92.300
(attached hereto as Exhibit A), carried out within the City's jurisdictional boundaries, specifically,
the operation of a local office. Specifically, activities carried out will include the payment of rent,
utilities, purchase of equipment, travel and salaries for administrative assistant. Costs will be
reimbursed as set forth in the program budget attached hereto.
D. CHDO agrees that a single or program -specific audit report is a condition of funding for
all entities that expend $500,000.00 or more in a year in Federal awards. The City of Beaumont
requires the CHDO to submit a financial review for the 2023 fiscal year by August 30, 2025.
Section 2 — Legacy Community Develo2ment Corporation Responsibilities
A. The Executive Director for the CHDO, or other designated CHDO staff, will act as liaison
on behalf of the CHDO.
B. CHDO agrees to execute any and all documents requested by the City for compliance with
the HOME Investment Partnership Program, as specified in 24 CFR 92.505(b) (attached hereto as
Exhibit B) and agrees to comply with all uniform administrative requirements and standards as
snore particularly described in OMB Circular A-110 (Uniform Administrative Requirements for
Grants and Cooperative Agreements to State and Local Governments.
C. CHDO agrees to maintain itself as a City certified CHDO in accordance with Title II of the
National Affordable Housing Act (1990), as it may be amended, concerning the HOME Investment
Partnership program (HOME) (24 CFR 92.300) (see attached Exhibit A), and the regulations
policies and reporting requirements established by the City in conjunction with HUD, including
CHDO recertification annually and/or prior to the execution of a contract for HOME CHDO
Reserve funds.
D. CHDO agrees to provide the City full and complete documentation of all eligible
acquisition, materials, professional fees and labor expenses fourteen (14) calendar days prior to
the requested reimbursement date. All eligible expenses must be already paid in full by CHDO
prior to submittal to the City. The Community Development Administrator may waive this
requirement to facilitate program goals and objectives.
E. CHDO agrees to refund all HOME funds found to have been used for ineligible and/or
unapproved programs or activities. These repayments will be made within thirty (30) days of
notification by the City of the ineligible expenditures.
F. CHDO agrees to meet with the City to discuss progress or concerns as the need arises and
at the City's request. CHDO also agrees to report on a bi-annual basis to the City on
program/project status as outlined in 24 CFR 92.300 (attached hereto as Exhibit A). This must be
a written report of the status on recently completed, ongoing, and pre -approved programs and/or
projects, and must include information for the reporting period to include the status on applicant
approvals/denials; projects/programs approved; fund disbursements; project bidding information;
property sales; contractor/subcontractor utilization (amounts, ethnicity, addresses, social security
numbers and amounts billed and paid); use of CHDO proceeds; and other information as
appropriate and required by the attached program guidelines (Exhibit Q. CHDO agrees that the
Program will be administered according to all applicable regulations and guidelines per the City
of Beauinont's 2022 Action Plan (as it may be amended), program design criteria and construction
standards.
G. CHDO agrees to place all sales proceeds gained from this program back into its Affordable
Housing Initiative Program, and more specifically, into other HOME eligible CHDO housing
activities located within the jurisdictional boundaries of Beaumont for as long as the CHDO is
certified by the City as a CHDO. Eligible activities include (a) eligible project costs related to the
development and construction of new houses AND (b) home buyer assistance including, but not
limited to, lease -purchases, mortgage principal buy down, closing costs, pre -paid or any other
reasonable AND necessary eligible expenses. The CHDQ understands and agrees that should the
CHDO 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, The CHDO fiirther understands and
agrees to, and shall transfer to the City, any program income, real properties, equipment, supplies
and any assets acquired as a result of grant funds if CHDO becomes defunct or insolvent.
H. CHDO agrees that the City will provide the CHDO with Thirty -One Thousand Three
Hundred Seventy Dollars and 00/100 ($31,370.00) of 2023 HOME funds to be available through
the City's draw process on or after the effective date of this contract. Payment shall be made
directly to the CHDO, upon receipt of invoices or payment vouchers from CHDO certifying that
all requirements have been met.
I. The CHDO also understands and agrees to adhere to the City's procurement process
(attached hereto as Exhibit D). The City shall reserve the right to investigate, examine and
monitor, at any time, any and all such records relating to the operations or expenditures of CHDO
under this Agreement.
J. The CHDO agrees to adhere to all local, state and federal regulations applicable to rental
housing qualifying as Affordable Rental Housing as per 24 CFR 92.252, and established Fair
Market Rents (Schedule B attached), Income Limits (221(d)(3) (attached hereto as Exhibit E).
Section 3 - General Terms
A. This Agreement shall be fully executed in writing by both parties, and extend from January
25, 2024 through April 30, 2025. With agreement by both parties, the Agreement may be extended
for a time specified in a jointly signed and approved term extension memorandum, not to exceed
24 months from the original effective date.
B. This Agreement and the rights and obligations contained herein may not be assigned by
either party.
C. This Agreement has been made under, and shall be governed by, the laws of the State of
Texas. The parties agree that performance and all.matters related thereto shall be in Beaumont,
Texas.
D. This Agreement may only be amended by written instrument, approved and executed by
both parties.
E. The City may terminate this agreement if at any time, after a thirty -day written notice, the
CHDO is found to have violated any federal, state or local requirements, for nonperformance of
the terms of this agreement, or upon the unavailability of HOME funds.
F. It is expressly understood and agreed by and between the City and the CHDO that this
Agreement is wholly conditioned upon the actual availability of federal HOME funds allocated to
the City by the U S Department of Housing and Urban Development (HOME Program No. M-23-
MC-48-0201), and that all monies distributed to, or in behalf of the, CHDO hereunder shall be
exclusively from federal monies received under said HOME Program, and not from any other
monies of the City.
G, This Agreement provides for any administrative and/or operating costs incurred by the
CHDO.
H. The Agreement does not provide for Predevelopmcnt costs as defined in 24 CFR Part 92.301
(attached hereto as Exhibit F)
I. If any provision(s) of this Agreement shall be held to be invalid, illegal, or unenforceable
by a court, by HUD, or other competent tribunal, the validity, legality, and enforceability of the
remaining provisions shall not be impaired thereby. In such event, the parties hereby agree to use
their best efforts to replace the respective provision or provisions with terms and conditions
approximating the original intent of the parties and conforming in all respects with applicable law
and HUD regulations and directives.
J. 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.
K. 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.
L. CHDO 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
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 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.
M, No officer, employee or member of CHDO or CHDO'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 CHDO. Any willful violation of this
paragraph with the knowledge, expressed or implied, of CHDO or its subcontractors, shall render
this contract voidable by the City of Beaumont.
N. No grants shall be made by CHDO to its directors or officers, either directly or indirectly,
through family members, business partners or employees. CHDO 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 CHDO shall render this contract voidable
by the City.
0. CHDO covenants and agrees that its officers, rilcmbers, agents,. employees, program
participants and subcontractors shall abide by and comply with federal, state and local laws,
including all ordinances, rules and regulations of the City of Beaumont; . as amended, CHDO
further covenants and agrees that it will fully comply with the terns and conditions of the HOME
Program, under which these funds are granted.
P. Each party has the full power and authority to enter into and perform this Agreement, and
the person signing on behalf of each party has been properly authorized and empowered to execute
this Agreement,
Q. The parties hereby acknowledge that they have read, understand, and intend to be bound
by the terms and conditions contained herein.
Legacy Community Development Corporation
By;
Vivian L. Ballou, Executive Director
Date
STATE OF TEXAS
ACKNOWLEDGMENT
CITY OF BEAUMONT
This instilment was acknowledged before me on the _ day of , 2024, by
Vivian Ballou, as Executive Director of Legacy Community Development Corporation a non-
profit organization, on behalf of said organization.
Jessica D. Prince
lU►it
Notary Public in and for the State of Texas
By:
Kenneth R, Williams, City Manager Date
ATTEST:
IN
Tina Broussard, City Cleric Date