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HomeMy WebLinkAboutR-2000-129 2000 Community Housing Development Organization (CHDO) ContractA RESOLUTION RESOLUTION NO. R-2000-129 approving a $50,000 grant request from 2000 federal HOME funds to Yakima Valley Partners, Habitat for Humanity for the purchase of four property lots within the City of Yakima, and authorization and directing the City Manager and the City Clerk to execute all necessary grant documents, including a grant agreement, between the City of Yakima and Yakima Valley Partners, Habitat for Humanity. WHEREAS, the City of Yakima is a recipient of 2000 federal HOME funds which may be used, among other things, for Community Housing Development Organization Programs; and WHEREAS, at the November 1999 meeting, the City Council considered and approved the One Year Plan and budget including of HOME funds; and WHEREAS, Yakima Valley Partners, Habitat for Humanity is requesting a grant of $50,000 in HOME funds to purchase property lots and infrastructure construction within the City of Yakima upon which to build single-family residences; and WHEREAS, on October 10, 2000 the City Council Neighborhood Development Committee recommended that the grant request be approved by the City Council; and WHEREAS, the City Council has determined that it is in the best interest of the City to approve the $50,000 grant request from Yakima Valley Partners, Habitat for Humanity for the purchase of property lots within the City of Yakima, now, therefore, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF YAKIMA: 1 A grant of $50,000 in HOME funds Yakima Valley Partners, Habitat for Humanity for the purchase of property lots within the City of Yakima upon which to build single-family residences is hereby approved with the following conditions: • Execution of a formal grant agreement between the City of Yakima Yakima Valley Partners, Habitat for Humanity. 2. The City Manager is hereby authorized and directed to execute all necessary grant documents, including a grant agreement, between the City of Yakima and the Yakima Valley Partners, Habitat for Humanity. The final form of these documents shall be reviewed and approved by the City Attorney. ADOPTED BY THE CITY COUNCIL this 17th day of October, 2000. ATTEST: /.2‘,( ary Place, Mayor City Clerk BUSINESS OF THE CITY COUNCIL YAKIMA, WASHINGTON AGENDA STATEMENT Item No.: 4- 1 For Meeting of: October 17, 2000 ITEM TITLE: 2000 Community Housing Development Organization (CHDO) Contract. SUBMITTED BY: tam Cook, Director of Community and Economic Development CONTACT,PERSON/TELEPHONE: William Cobabe, Neighborhood Development Services, Manager (575-6101) SUMMARY EXPLANATION: Community Housing Development Organizations (CHDO) are entitled to 15% of a jurisdiction's allocated federal HOME monies. HOME Programs funds may be used for housing development, sponsored and/or owned by the CHDO. Eligible activities include predevelopment costs and the acquisition, rehabilitation and new construction of rental housing, homeownership and rental assistance. The Yakima Valley Partners, Habitat for Humanity, a CHDO, is requesting a grant of $50,000 of CHDO funds to purchase buildable single-family lots within the City of Yakima. This proposal was discussed at a meeting of the City Council's Neighborhood Development Committee on October 10, 2000 with a recommendation that Council approve this contract. Approval of this resolution will authorize and direct the City Manager to execute a contract with Yakima Valley Partners, Habitat for Humanity, which will include a project description, work plan with identification of funding sources. Resolution X Ordinance Contract Other Specify Funding Source: HOME Funds APPROVAL FOR SUBMITTAL: City Manager STAFF RECOMMENDATION: Approve Resolution BOARD/COMMISSION RECOMMENDATION: COUNCIL ACTION: Resolution adopted. RESOLUTION NO. R-2000-129 CITY OF YAKIMA OFFICE OF NEIGHBORHOOD DEVELOPMENT SERVICES 1. Contracting Organization: Yakima Valley Partners Habitat for Humanity (hereinafter "Contractor") 2. Address: 2500 South 26th Avenue P.O. Box 9007, Yakima, WA 98909 3. Phone: (509) 453-8077 4. Contact Person: Buddy Cluck 5. Title of Service or Program being Funded:Acquisition, infrastructure and administration costs for two single family homes. 6. Amount of Contract Award: $50,000.00(HOME) 7. The term of this Contract shall commence upon execution hereof and shall terminate at midnight 11-15- 0) , unless sooner terminated by either party in accordance with Section XXIII or Section XXV of incorporated Exhibit "A". 8. This contract award and the rights and obligations of both parties hereto shall be subject to and governed by the following: 1) "Terms and conditions" attached hereto as Exhibit "A" and incorporated herein by this reference; and 2) Operating budget including sources and uses statement ,work plan and all attached hereto as Exhibit "B" and incorporated herein by this reference. 3) City of Yakima Resolution No.R-2000-129, a copy of which is attached hereto as Exhibit "C" and incorporated herein by this reference. 9. Final Contract payment shall be subject to satisfactory completion of project described in Exhibit B, Contractor/Subcontractor lien releases, and satisfaction of all contract terms and conditions as stated in Exhibit "A" and Exhibit "C". This written document and incorporated exhibits constitutes the entire Contract between the parties. IN WITNESS THEREOF the parties have executed this Contract as of the day and year indicated below. 11 ed 1(1/illiam Co. k, CED Direct-011Date afi R.A. Zais, Jr., Cit Mager ger a r er ct`cvw Contractor I Title: 6..X -Q `k -LA- teI, r kc.l'c3 ATTEST: City Clerk 13 00 Date 11—IS-00 Date EXHIBIT "A" TERMS AND CONDITIONS DFSIGNATION The City of Yakima, as recipient of a housing and community development grant from the U.S. Department of Housing and Urban Development, hereby designates Contractor to undertake, and the Contractor hereby agrees to undertake that certain community development or housing assistance project described in Exhibit "B", Scope of Work. II SUB -GRANT A. NOTICE TO PROCEED No work on the project shall occur prior to or without written approval from the City of Yakima Office of Neighborhood Development Services (ONDS) shall furnish the Contractor with written notice to proceed upon release of funds from HUD related to the project pursuant to 24 CFR Part 58. B. AMOUNT OF GRANT The City hereby sub -grants to the Contractor $50,000.00 for said project. III GENERAL BUDGET PROVISIONS The Contractor agrees to the following provisions in satisfying the terms and conditions of this contract: A. PAYMENT AND DISBURSEMENTS Disbursements by the City of Yakima from this contract/grant award shall be on a reimbursement basis covering actual expenditures by the Contractor or obligation of the Contractor currently due and owing, but not paid. Disbursements shall be limited to allowable costs and so shall be made upon the occurrence of all the following, in addition to any other conditions contained herein or in the special conditions: 1. Receipt by the City of Yakima ONDS of a written reimbursement request on forms provided by the City of Yakima ONDS supported by copies of vouchers, invoices, salary and wage summaries, or other acceptable documentation; and 2. Determination by the City of Yakima ONDS that the expenditures or obligations for which reimbursement is sought constitute allowable costs under the principles set forth in Federal Management Circular 74-4 "eligible costs under the HOME Program" and come within the Project Budget. B. No payment shall be made for any service rendered by the Contractor except for services within the scope of a category set forth in the budget in Exhibit "B" of this Contract, and all funds received must be used for service as identified in Exhibit "B" of this Contract. C. 1. The Contractor shall submit to the City of Yakima ONDS a written request for approval of budget revision when a proposed revision would result in an increase or decrease of ten percent (10%) or more in an approved budget subject category. Written budget revision approval must be received by the Contractor prior to the Contractor incurring any expenditures against the revised budget sub -object categories. 2 November 7, 2000 2. When the revision of the Contractor budget does not exceed ten percent (10%) of an approved budget sub -object category, the Contractor must submit a revised budget to the City of Yakima ONDS prior to the submittal of claims against the budget. IV COMMENCEMENT OF WORK The City of Yakima ONDS shall furnish the Contractor with written notice to proceed upon release of funds from HUD related to the project. No work on the project shall occur prior to the notice to proceed without written approval from the City of Yakima ONDS. V BILLING PROCEDURES A. The Contractor shall submit monthly written claims for reimbursement of services performed under this contract in the manner prescribed in paragraph III above, and as prescribed by the City of Yakima ONDS. VI LOCAL FINANCIAL SUPPORT The sub -grant shall not be utilized to reduce substantially the amount of local financial support for community development activities below the level of such support prior to the availability of such assistance. VII BUDGET SURPLUS The Contractor agrees that funds determined by the City of Yakima ONDS to be surplus at the end of the project within the budget of this Contract will be subject to cancellation by the City of Yakima ONDS and may be negotiated if they are to be included in future Contracts. VIII COMPLIANCE WITH LAWS A. GENERAL The Contractor, in performance of this Contract, agrees to comply with all applicable Federal, State and Local Laws and ordinances, and the rules and regulations promulgated by the U.S. Department of Housing and Urban Development, including, but not limited to, Federal HOME Regulations and other policies and guidelines established by the City of Yakima ONDS. B. PROCUREMENT AND CONSTRUCTION OR REPAIR PROJECT RFQUIREMENTS The following federal provisions may apply, among others, to this Contract: 1. Office of Federal Contract Compliance Programs regulations, 41 CFR Part 60, Executive Order 11246 as amended by Executive Order 12086, and 24 CFR 570.601 (Discrimination prohibited). 2. The Lead Based Paint Poisoning Prevention Act, 42 USC Section 4831 et seq., and HUD regulations implementing the Act, 24 CFR Part 35, where, residential structures are involved. The Contractor shall provide whatever assistance is necessary to enable the City of Yakima's Building Official to carry out its inspection and certification responsibility under those regulations. 3. Historic and Archaeological Preservation requirements as set forth in 24 CFR Section 570.604.36 CFR Part 800, RCW 27.44.010 (Native American Burial Law), RCW 27.53.010-.090 (Protection of Archaeological Resources), and RCW 43.51.750-.820 (Preservation of Historic Properties). 4. Architectural Barriers Act of 1968 as amended, 42 USC Section 4151 et seq., 3 November 7, 2000 implementing regulations, and Chapter 70.92 RCW. 5. Clean Air Act as amended, 42 USC Section 1857 et weq; Water Pollution Control Act, as amended, 33 USC Section 1251 et seq.; and Environmental Protection Agency regulations, 40 CFR Part 15. 6. Section 3 of the Housing and Urban Development Act of 1968 (12 USC Section 1701u) and 24 CFR Part 135 (Employment opportunities for project area businesses and low income persons). 7. Contract Work Hours and Safety Standards Act, 40 USC Sections 327-333, (Overtime Compensation). 8. Davis -Bacon Act, as amended, 40 USC Sections 276a — 276a — 5, and RCW Chapter 3 — 12 (Prevailing Wage Rates). 9. Attachment 0 of the Office of management and Budget Circular, A-102 (Procurement Standards) and Federal Management Circular, FMC 74-4. 10. The Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, as amended, and regulations contained in 24 CFR Parts 42 and 570. 11. Title VI of the Civil Rights Act of 1964 (RL. 88-352) as amended, and HUD regulations with respect thereto including the regulations under 24 CFR Part 1. In the sale, lease or other transfer of land acquired, cleared or improved with assistance provided under this Agreement, and Contractor shall cause or require a covenant running with the land to be inserted in the deed or lease for such transfer, prohibiting discrimination upon the basis of race, color, religion, sex, or national origin, in the sale, lease or rental, or in the use or occupancy of such land or any improvements erected or to be erected thereon, and providing that the Contractor, the County, and the United States are beneficiaries of and entitled to enforce such covenant. The Contractor, in undertaking its obligation in carrying out the program assisted hereunder, agrees to take such measures as are necessary to enforce such covenant and will not itself so discriminate. 12. Age Discrimination Act of 1975 (24 CFR 146). 13. Fair Housing Act (24 CFR 100, CFR 107 and 24 CFR 1). 14. Housing Quality Standards (24 CFR 882.109). 15. WBE/MBE (24 CFR 85.36 (e)). 16. ENVIRONMENTAL REVIEW A. NEPA The City of Yakima ONDS retains environmental review responsibility for purposes of fulfilling requirements of the National Environmental Policy Act, under which the City of Yakima ONDS may require the Contractor to furnish data, information and assistance for the City's review and assessment in determining whether the City must prepare an Environmental Impact Statement. 4 November 7, 2000 B. SEPA The Contractor retains responsibility for fulfilling the requirements of the State Environmental Policy Act and regulations and ordinance adopted thereunder. C. COMPLIANCE AS PRE -CONDITION Performance by either the City of Yakima ONDS or the Contractor under this Agreement shall be contingent upon satisfaction of all applicable requirements of the National and State Environmental Policy Acts. IX NON-DISCRIMINATION IN EMPLOYMENT A. The City of Yakima is an Equal Opportunity Employer. B. The Contractor agrees that it shall not discriminate against any employee or applicant on the grounds of race, creed, color, religion, national origin, sex, marital status, age, or the presence of any sensory, mental or physical handicap. Such action shall include, but not be limited to: employment, upgrading, demotion or transfer; recruitment or recruitment advertising, layoff or termination; rates of pay or other forms of compensation; and programs for training including apprenticeships. The Contractor specifically agrees to abide by the Office of Federal Contract Compliance Programs regulations, 41 CFR Part 60, Executive Order 11246 as amended by Executive Order 12086, and HUD Anti Discrimination Requirements, 24 CFR 570.601. X NON-DISCRIMINATION IN CLIENT SERVICES A. The Contractor agrees to affirmatively market units made available through this contract (24 CFR 92.352), and shall not, on the grounds of race, color, sex, religion, national origin, creed, marital status, or age: 1. Deny a qualified individual any facilities, financial aid, services or other benefits provided under this Contract; 2. Provide any service(s) or other benefits to a qualified individual which are different, or are provided in a different manner, from those provided to others under this Contract; separate treatment in any manner related to his receipt of any service(s) or other benefits provided under this Contract; 3. Deny any qualified individual an opportunity to participate in any program provided by this Contract through the provision of service(s) or otherwise, or will afford him an opportunity to do so which is different from that afforded others under this Contract. B. The Contractor shall abide by all provisions of Section 504 of the HEW Rehabilitation Act of 1973 prohibiting discrimination against handicapped individuals either through purpose or intent. C. If assignment and/or subcontracting has been authorized, said assignment or subcontract shall include appropriate safeguards against discrimination in client services binding upon each Contractor or Subcontractor. The Contractor shall take such action as may be required to ensure full compliance with the provisions of this clause, including sanctions for noncompliance. 5 November 7, 2000 XI LICENSING AND PROGRAM STANDARDS The Contractor agrees to comply with all applicable Federal, State, County and Municipal standards for licensing, certification and operation of facilities and programs, and accreditation and licensing of individuals, and any other standards or criteria as described in the Contract to assure quality of services. XII MONITORING AND ACCESS TO RECORDS A. Contractor agrees that City may carry out monitoring and evaluation activities so as to ensure compliance by Contractor with this Contractor agreement, with the HOME Compliance Documents, and with all other laws, regulations, and ordinances related to the performance hereof. Contractor agrees to provide City with any data determined by City to be necessary for its effective fulfillment of its monitoring and evaluation responsibilities. B. At any reasonable time and as often as City may deem necessary, Contractor shall make all of its records available to City, HUD, the Comptroller General of the United States, or any of their authorized representatives, and shall permit City, HUD, the Comptroller General of the United States, or any of their authorized representatives to audit, examine, and make excerpts and/or copies of same. Contractor records shall include, but shall not be limited to, the following: payroll, personnel and employment records; procurement bidding documents; contracts; sales closing statements; and invoices. C. The Contractor shall be required to make reasonable changes in the services as completed or to be completed if said services fall below the standards and specifications set forth in the Special Terms and Conditions, Project Description, or Statement of Work. XIII SAFFGUARDING OF CLIENT INFORMATION The use or disclosure by any party of any confidential information concerning a recipient or client for any purpose not directly connected with the City's or the Contractor's responsibilities with respect to services provided under this Contract is prohibited except on written consent of the recipient or client, his/her attorney or his/her responsible parent or guardian or as otherwise provided by law. XIV ASSIGNMENT AND/OR SUBCONTRACTING The Contractor shall not assign or subcontract any portion of the services provided within the terms of this Contract without obtaining prior written approval from the City. All terms and conditions of this Contract shall apply to any approved subcontract or assignment related to the Contract. XV STANDARDS FOR FISCAL ACCOUNTABILITY A. The Contractor agrees to provide project line item draw requests, annual verification of rents, annual audited financial statement to compare income and expenses, records, documents and accounting procedures which accurately reflect all direct and indirect costs related to the performance of this Contract. Such fiscal books, records, documents, reports and other data shall be retained in a manner consistent with the "Budgeting, Accounting, Reporting System for Counties and Cities, and Other Local Governments", hereinafter referred to as "BARS", as issued by the Office of State Auditor, State of Washington. The Contractor further agrees that the City of Yakima ONDS shall have the right to monitor and audit the fiscal components of the organization to insure that actual expenditures remain consistent with the terms of this Contract. The Contractor shall retain all books, records, documents and other 6 November 7, 2000 material relevant to the Contract for seven (7) years after settlement of this Contract. The Contractor agrees that the City of Yakima, the U.S. Department of Housing and urban Development, the Washington State Auditor, or their designees, shall have full access to and a right to examine any of said materials at all reasonable times during said period. B. The Contractor agrees that any contributions or payments made for services furnished under this Contract shall be used for the sole benefit of this program. XVI PROGRAM PROPERTY Any personal property having a useful life of more than one year and purchased wholly or in part with sub -grant funds at a cost of three hundred dollars ($300) or more per item, shall upon its purchase or receipt become the property of the City of Yakima and/or federal government. Final ownership and disposition of such property shall be determined under the provisions of Attachment N of OMB, A-102. The Contractor shall be responsible for all such property, including its care and maintenance, and shall comply with the following procedural requirements: 1. Property records shall be maintained accurately and provide for: A description of the property; manufacturer's serial number or other identification number; acquisition date and cost; source of the property; percentage of HOME funds used in the purchase of property; location, use, and condition of the property. 2. A physical inventory of property shall be taken and the results reconciled with the property records at least once every two years to verify the existence, current utilization, and continued need for the property. 3. A control system shall be in effect to insure adequate safeguards to prevent lose, damage, or theft to the property. Any loss, damage, or theft of the property shall be investigated and fully documented. 4. Adequate maintenance procedures shall be implemented to keep the property in good condition. 5. If the Contractor elects to capitalize and depreciate such nonexpendable personal property in lieu of claiming the acquisition cost as a direct item of cost, title to such property shall remain with the Contractor. An election to capitalize and depreciate or claim acquisition cost as a direct item of cost shall be irrevocable. 6. Nonexpendable personal property purchased by the Contractor under the terms of this Contract, in which title is vested in the City of Yakima or Federal Government shall not be rented, loaned, or otherwise passed to any person, partnership, corporation, association or organization without the prior express approval of the City of Yakima ONDS. 7. Any nonexpendable personal property furnished to, or purchased by, the Contractor, title to which is vested in the City of Yakima ONDS or federal government shall, unless otherwise provided herein or approved by the Contracting Officer, be used only for the performance of activities defined in this Contract. 8. As a condition prerequisite to reimbursement for the purchase of nonexpendable personal property, title to which shall vest in the City of Yakima ONDS or federal government, the Contractor agrees to execute such security agreements and other documents as shall be necessary for the City of Yakima ONDS or federal government to perfect its interest in such property in accordance with the "Uniform Commercial Code -Secured Transactions" as codified in Article 9 of RCW Chapter 62A. 9. The Contractor shall be responsible for any loss or damage to the property of the City of Yakima ONDS or federal government (including expenses entered thereunto) which 7 November 7, 2000 results from negligence, willful misconduct, or lack of good faith on the part of the Contractor to maintain and administer in accordance with sound management practices that property, to ensure that the property will be returned to the City of Yakima ONDS or federal government in like condition to that in which condition the property was acquired by purchase, fair wear and tear accepted. XVII RELATIONSHIP OF THE PARTIES The parties intend that an independent contractor/city relationship will be created by this Contract. The City of Yakima ONDS is interested only in the results to be achieved, the implementation of services will lie solely with the Contractor. No agent, employee, or representatives of the Contractor shall be deemed to be an employee, agent, servant or representative of the City of Yakima for any purpose, and the employees of the Contractor are not entitled to any of the benefits the City of Yakima provides for City Employees. The Contractor will be solely and entirely responsible for its acts and for the acts of its agents, employees, servants, Subcontractors, or otherwise during the performance of this Contract. XVIII TAXES AND ASSESSMENTS Contractor shall be solely responsible for and shall pay all taxes, deductions, and assessments, including but not limited to, sales tax, federal income tax, FICA, social security tax, assessments for unemployment and industrial injury insurance, and other deductions from income which may be required by law or assessed against either party as a result of this Contract. in the event the City is assessed a tax or assessment as a result of this Contract, Contractor shall pay the same before it becomes due. XIX QUARTERLY REPORT The Contractor agrees to submit a written quarterly report outlining the progress towards completion of activities included in Exhibit B, to the City of Yakima. XX INSURANCE A. COMMERCIAL LIABILITY INSURANCE On or before the effective date of this Contract, the Contractor shall provide the City with a certificate of insurance as proof of liability insurance in the amount of One Million Dollars ($1,000,000.00) that clearly states who the provider is, the amount of coverage, the policy number, and when the policy and provisions provided are in effect (any statement in the certificate to the effect of "this certificate is issued as a matter of information only and confers no right upon the certificate holder" shall be deleted). Said policy shall be in effect for the duration of thjs Contract. The policy shall name the City, its elected officials, officers, agents and employees as additional insureds, and shall contain a clause that the insurer will not cancel or change the insurance without first giving the City thirty (30) calendar days prior written notice (any language in the clause to the effect of "but failure to mail such notice shall impose no obligation or liability of any kind upon the company" shall be crossed out and initiated by the insurance agent). The insurance shall be with an insurance company or companies rated A -VII or higher in Best's Guide and admitted in the State of Washington. B. COMMERCIAL AUTOMOBILE LIABILITY INSURANCE On or before the date this Contract is fully executed by the parties, Contractor shall provide the City with a certificate of insurance as proof of commercial automobile liability insurance with minimum liability limit of One Million Dollars ($1,000,000.00) combined single limit odily injury and property damage. The certificate shall clearly state who the provider is, the amount of coverage, the policy number, and when the policy and provisions provided are in effect (any statement in the certificate to the effect of "this certificate is issued as a matter of information only and confers no right upon the certificate holder" shall be deleted). Said policy shall be in effect for the 8 November 7, 2000 duration of this Contract. The policy shall name the City, its elected officials, officers, agents, and employees as additional insureds, and shall contain a clause that the insurer will not cancel or change the insurance without first giving the City thirty (30) calendar days prior written notice (any language in the clause to the effect of "but failure to mail such notice shall impose no obligation or liability of any kind upon the company" shall be crossed out and initialed by the insurance agent). The insurance shall be with an insurance company or companies rated A -VII or higher in Best's Guide and admitted in the State of Washington. C. DIRECTORS AND OFFICERS LIABILITY INSURANCE The Contractor shall obtain Directors and Officers Liability insurance policy with a minimum limit of One Million Dollars ($1,000,000.00) and a maximum retention of Five Thousand Dollars ($5,000.00). On or before the effective date of this Contract, the Contractor shall provide the City with a true and correct copy of said insurance policy. The definition of insured under said policy shall include the Contractor, its individual directors, officers, trustees, employees, and volunteers. Said policy shall have a retroactive date on or before the effective date of this Contract. Coverage under said policy shall remain in full force and effect for a three (3) year period after the expiration/termination date of this Contract with the same retroactive date either through renewal policies or "tail" coverage on the current policy. D. FIDELITY BOND Employee Dishonesty coverage or a fidelity bond will be obtained in the amount of $50.000 The policy will cover claims resulting from employee theft of money associated with the performance of this contract. The policy will be written on a blanket basis covering all employees, or upon prior approval by the City, on those employees having access to funds. Upon request a copy of the policy will be furnished to the City. XXI INDEMNIFICATION AND HOLD HARMLESS All services to rendered or performed under this Contract will be performed or rendered entirely to the Contractor's own risk and the Contractor expressly agrees to defend, indemnify and hold harmless the City of Yakima and all of its officers, agents, employees and elected officials from any and all liability, loss, fines, penalties or damage, inducing reasonable cost of defense, they may suffer as a result of claims, demands, actions, or damages to any and all persons or property, costs or judgments against the City of Yakima which result from, arise out of, or are in any way connected with the services to be preformed by the Contractor under this Contract. XXII CONTRACT. TERMINATION AND GI OSE OUT If the Contractor fails to comply with the terms and conditions of this Contract, the City of Yakima ONDS may pursue such remedies as are legally available including but not limited to, the termination of this Contract in the manner specified herein. A. TERMINATION FOR CAUSE If the Contractor fails to comply with the terms and conditions of this Contract and any of the following conditions exist: 1. The lack of compliance with the provisions of this Contract are of such scope and nature that the City of Yakima ONDS deems continuation of this Contract to be substantially non -beneficial to the public interest; 9 November 7, 2000 2. The Contractor has failed to take satisfactory corrective action as directed by the City of Yakima ONDS or its authorized representative within the time specified by same; 3. The Contractor has failed within the time specified by the City of Yakima ONDS or its authorized representative to satisfactorily substantiate its compliance with the terms and conditions of this Contract, then: The City of Yakima ONDS may terminate this Contract in whole or in part, and thereupon shall notify the Contractor of the termination, the reasons therefore and the effective date provided such effective date shall not be prior to notification to the Contractor. After this effective date, no charges incurred under any terminated portions are allowable. B. TERMINATIONS ON OTHER GRO 1NDS This Contract may also be terminated in whole or in part by mutual agreement of the parties. C. TERMINATION FOR WITHDRAWAL, REDUCTION OR LIMITATION OF FUNDING. In the event that funding from the Federal government is withdrawn, reduced or limited in any way after the effective date of this Contract, and prior to its normal completion, the City of Yakima ONDS may summarily terminate this Contract as to the funds reduced or limited, nonwithstanding any other termination provision of this Contract. If the level of funding so reduced or limited is so great that the City of Yakima ONDS deems that the continuation of the program covered by this Contract is no longer in the best interest of the public, the City of Yakima ONDS may summarily terminate this Contract in whole nonwithstanding any other termination provisions of this Contract. Termination under this Section shall be effective upon receipt of written notice by the Contractor or its representative. The City of Yakima ONDS agrees to promptly notify the Contractor of any proposed reduction in funding by Federal or other officials. The Contractor agrees that upon receipt of such notice it shall take appropriate and reasonable action to reduce its spending in the affected funding area so that expenditures do not exceed the funding level which would result if said proposed reduction became effective. This Contract may further be terminated by the City of Yakima upon written demand by the City of Yakima ONDS for assurances that the terms of the Project Description are being timely complied with, if such assurances are not made to the City's satisfaction within thirty (30) days of the date of such written demand. D. CLOSE-OUT In the event that this Contract is terminated in whole or in part for any reason, the following provisions shall apply: 1. Upon written request by the Contractor, the City of Yakima shall make or arrange for payment to the Contractor of allowable reimbursable costs not covered by previous payments. 2. The Contractor shall submit within thirty (30) days after the date of expiration of this Contract, all financial, performance and other reports required by this Contract, and in addition, will cooperate in a program audit by the City of Yakima or its designee. 3. In the event a financial audit has not been performed prior to close-out of this 10 November 7, 2000 Contract, the City of Yakima ONDS retains the right to withhold a just and reasonable sum from the final payment to the Contractor after fully considering the recommendation on disallowed costs resulting from the final audit. XXIII COVENANT AGAINST CONTINGENT FEES The Contractor warrants that no person or selling agency has been employed or retained to solicit or secure this contract upon an agreement or understanding for a commission, percentage, brokerage or contingent fee, excepting bona fide employees or bona fide established commercial or selling agency maintained by the Contractor for the purpose of securing business. The City of Yakima ONDS shall have the right, in the event of breach of this clause by the Contractor, to annul this Contract without liability or, in its discretion, to deduct from the Contract price or consideration or otherwise recover the full amount of such commission, percentage, brokerage or contingent fee. XXIV CONFLICT OF INTERFST The City may, by written notice to the Contractor: A. Terminate this Contract if it is found, after due notice and hearing, by the City that gratuities in the form of entertainment, gifts, or otherwise offered or given by the Contractor, or agent or representative of the Contractor, to any officer or employee of the City of Yakima, with a view towards securing this Contract or securing favorable treatment with respect to the awarding or amending or the making of any determinations with respect to this contract. B. In the event this Contract is terminated as provided in (A) above, the City of Yakima shall be entitled to pursue the same remedies against the Contractor as it could pursue in the event of a breach of the Contract by the Contractor. The rights and remedies of the City of Yakima provided for in this clause shall not be exclusive and are in addition to any other rights and remedies provided by law. XXV RIGHTS IN DATA The City of Yakima ONDS may duplicate, use and disclose in any manner and for any purposes whatsoever, and have others so do, all data delivered under this agreement. The Contractor hereby grants to the City of Yakima, a royalty -free, non-exclusive, and irrevocable license to publish, translate, reproduce, deliver, perform, dispose of, and to authorize others to do so, all data now or hereinafter covered by copyright: Provided, that with respect to data not originated in the performance of this Contract such license shall be only to the extent that the Contractor has the right to grant such license without becoming liable to pay compensation to others because of such grant. The Contractor shall exert all reasonable effort to advise the City of Yakima ONDS, at the time of delivery of data furnished under this agreement, of all invasions of the right of privacy contained therein and of all portions of such data copied from work not composed or produced in the performance of this agreement and not licensed under this clause. The Contractor shall report to the City of Yakima ONDS, promptly and in written detail, each notice or claim of copyright infringement received by the Contractor with respect to all data delivered under this agreement. The Contractor shall not affix any restrictive markings upon any data, and if such markings are affixed, the City of Yakima ONDS shall have the right at any time to modify, remove, obliterate, or ignore such markings. XXVI RULE OF CONSTRUCTION In the event of an inconsistency in this contract/grant award unless otherwise provided herein, the inconsistency shall be resolved by giving precedence in the following order: 1. Appropriate provisions of state and federal statutes and regulations including HUD Home Regulations. 11 November 7, 2000 2. General Terms and Conditions (Exhibit A). 3. Those attachments incorporated by reference herein, including the statement of work/project description, approved HUD grant budget, in the order in which attached, (Exhibit B), 4. City of Yakima Resolution No. R-2000-129 (Exhibit C), and 5. Any other provisions whether incorporated by reference herein or otherwise provided that nothing herein shall be construed as giving preference to provisions of this contract/grant award over any provisions of law. XXVII GOVERNING LAW This Contract has been and shall be construed as having been entered into and delivered within the State of Washington, and it is mutually understood and agreed by each party hereto that this Contract shall be governed by laws of the State of Washington, both as to interpretation and performance. XXVIII VENUE The venue for any action to enforce or interpret this Contract shall lie in the Superior Court of Washington for Yakima County, Washington. XXIX MODIFICATION Either party may request changes in this Contract, however, no change or addition to this Contract shall be valid or binding upon either party unless such change or addition be in writing, and executed by both parties, except budget adjustments as specified in Section IV of this Contract. XXX SEVERABILITY It is understood and agreed by the parties hereto that if any part, term, or provision of this Contract is held by the courts to be illegal, the validity of the remaining provisions shall not be affected; and the rights and obligations of the parties shall be construed and enforced as if the Contract did not contain the particular provision held to be invalid. If it should appear that any provision hereof is in conflict with any statutory provision of the United States or the State of Washington, said provision which may conflict, therewith, and shall be deemed modified to conform to such statutory provision. XXXI PROGRAM INCOME Any program income shall be accounted for by the Contractor, over the contract time period, shall be reported to the City. Income is to be used to continue or benefit the program, as determined by the intent and purpose of the project. XXXII CONFLICT OF INTEREST No member, officer, or employee of the City of Yakima, or the Contractor, or assignees or agents, no member of the governing body of the City of Yakima, and no other public official of the City of Yakima or such other localities who exercises any functions or responsibilities with respect to the program during his tenure or for one year thereafter, shall have any interest, direct or indirect, in any Contract or Subcontract, or the proceeds thereof, for work to be performed in connection with a City of Yakima Home funded program. XXXIII RETURN OF HOME FUNDS The Contractor shall return to the City all monies provided hereunder by the City to the 12 November 7, 2000 Contractor if any of the following occur: 1. The Contractor materially changes the primary purpose and scope of the CHDO Project as described on Exhibit "B" to the Contract; or 2. The Department of Housing and Urban Development requires a 20 year "Affordability Period" from the date of execution of the Contract, and if the real property that is the subject of the CHDO Project described on Exhibit "B" to the Contract is sold or transferred in any way by the Contractor. XXXIV PROJECT PROCEEDS HOME funds provided by the City of Yakima to the Contractor shall be repaid to the City at no interest from project cash flow if and to the extent that annual net operating income to the Contractor (after project operating expense and first lien debt service) exceeds ten (10) percent of the Contractors investment in the project (including equity and private lending) in any of the first five (5) years after issuance of a Certificate of Occupancy. 13 November 7, 2000 EXHIBIT "B" %yew Habitat for Humanity YAKIMA VALLEY PARTNERS Building houses in partnership with God's people in need November 2, 2000 Marvin Miller Office of Neighborhood Development Services 112 S. 8th St. Yakima WA 98901 Re: Amendment to CHDO Application Dear Marvin, Here is a request for an amendtnent to our CHDO application. If there is any other information that needs to be included, please give me a call. Sincerely, eQL LtACILy Buddy Cluck Amendment to CHDO Application Dated 7-24-00 We are requesting that Yakima Valley Partners Habitat for Humanity's original CI-IDO Application be amended to state the following: Amended Amount Requested: $50,000 Use of Funds: Proposed Sites: The proposed project is defined as the acquisition, infrastructure and adtninistrative costs for two single- family homes in the targeted areas of the City of Yakima. These are the sites currently under consideration: 905 S. 6th St. 814 S. 8th St. 1301 S. 7th St. Mailing Address: P.O. Box 9007 • Yakima, Washington 98909 • Tel. (509) 453-8077 Location: 2500 S. 26th Ave. • Yakima, Washington • Fax (509) 453-8190 PROJECT DESCRIPTION 1. APPLICANT Name of Applicant Organization: Yakima Valley Partners Habitat for Humanity Address: 2500 S. 26th Ave., P.O. Box 9007, Yakima WA 98909 Telephone Number: (509)453-8077 Contact Person: Buddy Cluck Position with Organization: Executive Director 2. LOCATION OF PROPOSED PROJECT: (Provide Map Identifying Location) Address: Proposed project is defined as the acquisition and infrastructure of five single-family building sites at various locations in the City of Yakima. Sites being considered at this time are as follows: 3 Sites 1 Site 1 Site Corner of Central and S. 10th St., Yakima 905 S. 6th St., Yakima 814 S. 8th St., Yakima City Target Neighborhood: Projected sites will fall between: 1st St on the West and 18th St. on the East, Nob Hill Blvd. on the South and "K" St. on the North. 3. SITE CONTROL: (Provide Copies of Site Control Documents) Owned Under Option No Site Control 5 4. SITE OCCUPANCY: Are there currently buildings on the site? Yes No X Are the buildings occupied? Yes No X # of occupied apartments 0 # of commercial tenants 0 # of tenants to be displaced by project implementation: Families 0 commercial tenants 0 Neighborhood Dev HOME Invitation for Proposal 06/05/00 5. DESCRIPTION OF PROPOSED PROJECT a. Multi -family Single-family 5 Single room occupancy b. Rental Sales 5 Lease/purchase c. Efficiency 1 Bedroom 2 Bedroom 3 Bedroom 5 4 Bedroom 6. ZONING: Current zoning of site: Proposed projects would be located in R-2 zoned area Does current zoning permit proposed use? Yes X No 7. NATURE OF PROPOSED PROJECT: Rehabilitation New Construction X 8. NUMBER OF HOUSING UNITS: Total number of apartments 0 Total number of single family homes 5 Total number of SRO room Number of units reserved for HOME families at 60% to 80% of median income Number of units reserved for HOME families at 50% to 80% of median income Number of units reserved for HOME families at 50% of median income 5 (at least 20% of HOME assisted units) Number of units reserved for HOME families 5 Neighborhood Dev HOME Invitation for Proposal 06-05-00 9. PROGRAM NARRATIVE DESCRIPTION AND TARGET NEIGHBORHOOD RESIDENT INVOLEMENT (description in detail) (use additional sheets if necessary) The specific projects that this application referees to, is typical of the normal Yakima Valley Partners Habitat for Humanity process that is detailed below. Volunteers account for approximately 95% of all labor needed on a Habitat job site. Volunteers for these projects will be comprised of people from local churches and civic organizations as well as individuals from the immediate neighborhood. Their involvement will be in all area's of the organization including: committee work, job site volunteers and office assistants. Yakima Valley Partners - Habitat for Humanity is a non-profit, non -denominational, Christian housing organization that builds homes in partnership with qualified low-income families in the Yakima Valley. We charge no profit for the construction, and no interest on the mortgage. This approach makes decent, affordable housing a reality for many families. Yakima Valley Partners Affiliate is comprised of an Affiliate Board of Directors that governs four local Chapter Boards. These Boards include the Upper Valley Chapter, Mid -Valley Chapter, Lower Valley Chapter and the Yakama Nation Chapter. A local Board of Directors controls each Chapter. Millard and Linda Fuller founded habitat for Humanity International, in 1976, in the past 24 years, HFHI has completed over 87,000 homes in 63 different countries around the world. In the 15 years that YVP-HFH has been working in the Yakima Valley, 77 new homes have been completed. Those 77 homes represent nearly 500 individual family members whose lives have been changed through this partnership. Also, nearly 1,000 volunteers, both locally and from all over the nation, work on YVP-HFH home each year. Those 77 homes also represent over five million dollars of additional property value added to the local tax rolls. This is yet another way Habitat for Humanity has aided in stimulating the local economy. How It Works Each year our Board of directors determines where and how many homes we will be able to build the following year. This is based on budget and land availability in the different communities. We then advertise for an application meeting for those that would like to apply for a Habitat for Humanity home. At this meeting we explain the process and the Family Selection Criterion. It is as follows: 1. Ability to Repay: Although YVP-HFH charges no profit in the construction of the home, and no interest on the mortgage we hold, the families are responsible for repayment of the actual cost of material, supervision, land and overhead of the project. The mortgage payment, which includes the principle, taxes and insurance, is often less than the family is currently paying in rent. The mortgage money that is repaid revolves into the construction of additional homes. This makes Habitat for Humanity a self-perpetuating home ownership program. Qualified families earn between 25% and 50% of the median area income. 2. Willingness to Partner: The chosen family must be willing to invest at least 500 hours of "sweat equity" into their home, or other Habitat homes. They must also attend home ownership classes that are sponsored by YVP- HFH. These classes cover topics such as, home ownership responsibilities, home maintenance, financial planning, etc. 3. Current Living Conditions: The current living conditions of a family must create a burden in at least one of the following areas: Health and Safety Over Crowding Financial Hardship A follow-up meeting is held two weeks later at the same time and location. At this meeting the applications are returned and reviewed for completeness. The applications then go to the Chapter Family Nominating Committee for verification of the family selection criteria. When this is complete the families are presented to the Affiliate Board of Directors for Approval. Funding The vast majority of funding for YVP-HFH projects is from foundations, local businesses, churches and individuals. Government grants, when available, are used only for land acquisition, infrastructure (sewer, water, etc.), and administration. 10. PROJECT FINANCING: Total Cost $337,089 CHDO request $120,000 Loan amount: Interest rate: Other financing $217,089 CHDO request as % of total cost 5.50% $36 % Commitment status: Open Total cost/unit $67,418 Telephone number: (509)248-2634 Grant amount: $ CHDO cost/unit $ $24,000 CHDO request from the City: Loan: Source of funds contact person: Grant: $120,000 Funds to be returned to the City. Yes No X If yes, amount to be returned to the City: $ or $ 11. NON-CHDO FINANCING TERMS: Total amount: $217,089 Cash donations listed are used to pre -pay loan interest. Approximately $108,544 will pay the interest on the loan amount for the twenty year term of the loan. Cash by applicant: (provide signed commitment of funds, with statement of source) $23,000 1st Presbyterian Church $20,000 Work Camps $29,288 Existing Mortgages $36,256 Anonymous Donor Loan amount: Interest rate: Term: $217,089 5.50% 20 years Source of loan: Please see attached Explanation of Leveraging Tool. Yakima Federal Savings Bank Commitment status: Open Source of funds contact person: Larry Marvin Telephone number: (509)248-2634 Grant amount: $ Source of grant: Commitment status. Source of funds contact person: Neighborhood Dev. HOME Invitation for Proposals 06/05/00 PROJECT COSTS (1) (1) Please note: The above analysis does not include operating funds Neighborhood Dev HOME Invitation for Proposals 06/05/00 TOTAL COST COST/UNIT ACQUISTION: Land $85,000 $17,000 Land and Existing building title and Recording Other (specify) HARD COST: Demolition Site Work $20,000 $4,000 Rehabilitation Construction $206,089 $41,218 Other (specify) RELOCATION: SOFT COSTS: Legal Survey $5,000 $1,000 Architect Design Fee Architect Inspection Fee Engineering Fees Appraiser Accounting Other Professional Fees Insurance Marketing FINANING COSTS: Credit Report Loan Origination Fee Points Legal Other (specify) Closing $6,000 $1,200 RESERVES: Rent Up Reserve Operation Reserve Maintenance Reserve Replacement Reserve DEVELOPER FEES: $15,000 $3,000 TOTAL PROJECT COST: $337,089 $67,418 (1) Please note: The above analysis does not include operating funds Neighborhood Dev HOME Invitation for Proposals 06/05/00 CASH FLOW SALES PROJECTS Income: Sales price per unit $ 59,418.00 # of Units: 5 Gross Income: $ 297,090.00 Expenses: Marketing $ Financing $ Other (specify) Construction $ 297,090.00 Habitat Subsidy $ 40,000.00 Total Expenses: $ 337,089.00 Net income for sales $ (40,000) Proposed Terms of Sale to First Time Homebuyer: (loan, grant, forgivable loan, combination, interest rate loan, term of loan). Yakima Valley Partners Habitat for Humanity charges no profit in the construction of the home and charges zero interest on the mortgage we hold, but the home owner is responsible for the full repayment of the actual cost of the project. Actual cost is defined as subsidized land cost, infrastructure, supervision, administration and overhead. The mortgage is secured with two Promissory Notes. The First Promissory Note secures the actual sale price to the family that includes the items stated above. The Second Promissory Note secures the difference between the sale price and the appraised value of the home at the time of sale. The Second Promissory Note is a forgivable loan that is reduced by five percent per year for the twenty-year term of the mortgage. If the homeowner should sell, convey or refinance, the Second Promissory Note becomes due. Yakima Valley Partners Habitat for Humanity does have the Right of First Refusal should the homeowner decide to sell. If CHDO funding will be transferred to First Time Homebuyer as a loan: Annual Income from CHDO Loans: $ 6,000 ($120,000/240) Neighborhood Dev HOME Invitation for Proposals 06/05/00 (include both interest and principal) Proposed use of Annual Income from Loans: (add extra pages if required) All funds returned to Yakima Valley Partners Habitat for Humanity in the form of mortgage payments revolve into the construction of other low-income housing. Service in Addition to Housing: (add extra pages if required) Describe the services in addition to housing, to be provided to project residents by the CHDO: Zero Profit on the Sale Zero Interest on the Mortgage Self -Help Opportunity (500 hours of "sweat equity") Home Owner Classes Home Maintenance Legal Aspects of Home Ownership Budgeting Assimilation into the Community Neighborhood Dev HOME Invitation for Proposals 06/05/00 ACTION: Site: Option Acquisition PROJECT SCHEDULE Target Date in Months from Project Approval: 03/01 Non-CHDO Financing: Application Applications for the various sites will begin 01/01 Conditional Commitment 01/01 Firm Commitment 02/01 Design: Selection of Architect Preliminary Design Final Designs Bidding: Advertise Open Bids Award Bid All designs are currently on file in our office. No bids are requested, all work is done by existing staff. Construction: Begin Construction 03/01 Complete Construction 12/01 Rent Up/Sell 01-02 Neighborhood Dev. HOME Invitation for Proposal 06/05/00 PROJECT NARRATIVE DESCRIPTION (use additional sheets if necessary) Yakima Valley Partners Habitat for Humanity not only builds homes, but changes lives, in the process. Each of the five families that will receive one of these homes will experience tremendous positive changes in the lives of each individual family member. There will be a great positive change in the immediate neighborhoods these homes are built in also. Our experience over the last fifteen years tells us that when you build new homes in area's that have been somewhat depressed a rejuvenation begins. Combine that with the fact that these new families now have a vested interest in their new neighborhood, they have ownership interest in what takes place around them. Below, is some interesting information that will better define the types of changes our families may experience. Habitat Survey Habitat for Humanity International, conducted a survey with the Twin Cities Affiliate in Minneapolis and St. Paul, Minnesota. The results of this survey support the theory that a simple, decent home has a far-reaching impact in other social areas of concern. Social Area's Impacted 35% Of The Families Reported an Immediate Increase in The Children's Grades With a bedroom of their own, a quiet environment, children were able to realize their full potential. 40% Of The Families Reported an Increase in Long Term Educational Goals After a child's immediate improvement in their grades they realized they did have the ability to pursue a higher academic goal. 23% Of The Families Reported an Improvement in At Least One Members Health CNN recently reported on the "dumbing down of America", this refers to the high level of contaminants that exist in older housing stock that contribute to the loss of brain cells, i.e. asbestos, lead based paint, etc. 68% Reported an Immediate Improvement in Their Financial Condition - In Yakima - 34% of families are paying over 35% of their gross monthly income for rent. 58% Of The Families Reported a Decrease in Family Conflict - Overcrowding has been linked as a high contributor to domestic violence. Lower Probability of Criminal Activity Among Teenagers - In a simple, decent home, teenage family members were more likely to invite their friends over to their home, rather than feel forced out on the street. Lower Probability of Teenage Pregnancy Self-esteem is the real issue. After working side-by-side with 150-200 volunteers that have sacrificed their time, talent and finances for them, most teenagers realize they do have value and feel they don't have to settle for a lower standard of love and acceptance. CERTIFICATION I hereby certify that the above statements are true; that I am authorized to sign this application and to make these statements, on behalf of the applicant organization; and that the organization understands that misrepresentation of any facts which lead to the improper allocation and expenditure of public funds may result in legal action against the organization for retrieval of any such funds and appropriate penalties. Signed: Signature 1 Date Buddy Cluck Name: (typed or printed) Executive Director Title: (President, Secretary, etc.) Yakima Valley Partners Habitat for Humanity Name or Organization Neighborhood Dev HOME Invitation for Proposals 06/05/00 2000-2001 Individual House Cost for CHDO Application Name Last First Location City House Design House Plan sglft Cost Per Sq/Ft Material & Overhead Cost Based on sq/ft Actual Land Cost Infra- structure Cost Adjusted Land Cost Actual Site Supervision Site Supervision Charged Admin. Overhead Per House Estimated Closing Cost 7121? 2???? 0 Yakima Lone Pine 1048 $32.06 $33,599 $17,000 $4,000 $13,000 $7,619 $7,619 $3,000 $1,000 $1,200 Mercado Salvador Yakima Yakima Lone Pine 1048 $32.06 $33,599 $17,000 $4,000 $13,000 $7,619 $7,619 $3,000 $1,000 $1,200 Gongalez Ruban Yakima Yakima Lone Pine 1048 $32.06 $33,599 $17,000 $4,000 $13,000 $7,619 $7,619 $3,000 $1,000 $1,200 77??? ????? Yakima Yakima Lone Pine 1048 $32.06 $33,599 $17,000 $4,000 $13,000 $7,619 $7,619 $3,000 $1,000 $1,200 Reyes 0 Yakima Yakima Lone Pine 1048 $32.06 $33,599 $17,000 $4,000 $13,000 $7,619 $7,619 $3,000 $1,000 $1,200 5240 5167,994 585,000 520,000 565,000 $38,095 $38,095 515,000 $5,000 $6,000 Name Last First Address City Actual Houst Cost Sale Price W/Adj. Lot Term (Months) Monthly Principle Pay Taxes & Insurance Total PTI PTI + Utility $75 Families Annual Inc. 30% Families Monthly Inc. Family Size HUD 1999 Inc. Levels % of 1999 Median Inc. 9772? 77??? 0 Yakima $67,418 $59,418 240 $248 $100 $348 $423 $0 $0 $20,750 Mercado Salvador 0 Yakima $67,418 $59,418 240 $248 $100 $348 $423 $12,429 5311 3 $16,800 36.90% Gongalez Ruban 0 Yakima $67,418 $59,418 240 $248 5100 $348 $423 $12,563 $314 4 $18,650 33.60% 77??? 7772? 0 Yakima 567,418 $59,418 240 $248 $100 $348 $423 $0 $0 519,300 Reyes 0 Yakima 567,418 $59,418 240 $248 $100 $348 $423 $21,538 $538 6 $22,250 48.40% 5337,089 $297,089 $1,238 Ave. Income $9,306 $166 Ave. % of Med Income 39.63% Ave. Act. Cost Per House $67,418 $59,418 Ave. Sale Price Overall cost per Sq/Ft(minus lot and infrastructure cost) = $232,089 divided 5240 $44 Sale Price $297,089 Actual Cost $337,089 $35,000 2000-2001 Average Material Cost $33,599 2000-2001 Full S . • nsor Cost Subsidy ($40,000) (58,000) Subsidy Per House Ref: 00007055 00031639 SALOMON SMITH BARNEY A Member of TravelersGroupl ' Client Statement August 1 - September 27, 1998 Page 1 of 2- 67919894507086000007055 298268AJ01 CPGF0155A YAKIMA VALLEY PARTNERS HABITAT FOR HUMANITY ATTN: JOHN VAN BELLE P.O. BOX 9007 YAKIMA WA 98909-0007 11111111111111111111111111111111111111,11111111111111111111111 Account V'aitti fast'"etoa TCi1s pe'rfgt3 Net value $.0,tiO Cash. balance. Chis pi'riod. Opening balance Securities bought and other subtractions Securities sold and other additions Withdrawals Closing balance $ 0.00 -30.00 36,286.32 -36,256.32 $ 0.00 SALOMON SMITH BARNEY INC. Your Financial Consultant MARK D BALDWIN 610 EAST YAKIMA AVE. YAKIMA WA 98907 509-454-2324 Branch: 800-634-5793 Account number 679-07086-11 945 5 r'� . (tits i3riod< art��t� �.:p Dividends Money funds earnings Total $ 0.00 0.00 $ 0.00 -N aDie:_, $ 73.90 $ 0.00 373.33 0.00 $ 447.23 $ 0.00 •Addhionai` sutrh ary iflfo m1 t lr� : ......... ; YAKIMA VALLEY PARTNERS HABITAT FOR HUMANITY HOUSE SPONSORSHIP AGREEMENT This agreement is entered into as of the Z4 day of by and between: SpoRr�vE- (�P�S�0 C ��✓ -z-vi 9 S , W A- ci 8'C 02. 2000 Affiliate: Yakima Valley Partners Habitat for Humanity P.O. Box 9007 2500 S. 26 Ave. Yakima WA 98909 Whereas both �'� YSr. y CLIand Yakima Valley Partners/Habitat for Humanity desire to build a home in partnership with a family in need, both covenant with one another to do the following: 1. YVP/HFH will select the partner family and will provide a building site for the home. 2. YVP/HFH will coordinate and supervise the construction of the home through volunteer work crews. This construction coordination and supervision will include, but not be limited to, house design, construction methods and materials procurement. 3 . The sponsor will have the opportunity to provide a fixed number of volunteers to participate in the direct construction of the house and to assist in supporting the work site. 4. The sponsor agrees to provide financial resources in cash to YVP/HFH for the construction of this home; 10% of this amount, when returned to YVP/HFH in the form of a mortgage payment from the selected family, will be dedicated to the construction of a second home in a developing country by HFHI. The location of the second home may be decided upon jointly by the sponsor and YVP/HFH. YVP/HFH invites the sponsor to send a work crew to this country to see their contribution at work. 5. The sponsor will provide the fin ncial resources required to build the home, in cash, in the following manner: 91 1 500 to be paid to (One half of sponsorship comm' t) YVP/HFH 60 days prior to construction and 1 I 5-00 (One half of spdnsorship commitment) paid 30 days prior to construction. Construction is scheduled to begin on .1� put YVP/HFH A filiate Representative Title to be ponso'r Representative -Dr-`r e -G o� g ( S Title Explanation of Leveraging Tool with Yakima Federal Savings Bank Yakima Federal Savings Banks provides a below market rate construction loan of approximately $45,000 to Yakima Valley Partners Habitat for Humanity. When construction is completed the construction loan is converted to a permanent home loan with a term of twenty years at a rate of 5.5% interest. What is unique about the leveraging tool is the following: Yakima Valley Partners Habitat for Humanity uses donated funds to create a pre -paid interest account with Yakima Federal Savings Bank. The amount needed to pay the interest on a $45,000 loan for twenty years is approximately $23,000. When Yakima Valley Partners Habitat for Humanity sells the home to the low-income buyer on a Real Estate Contract, the homebuyer begins to make monthly principle payments to Yakima Valley Partners Habitat for Humanity. When we receive the principle payment we forward it to Yakima Federal Savings Bank. When they receive the principle payment from us they deduct the necessary interest from the pre -paid interest account. The advantages of this program are as follows: It allows us to leverage the donor's contribution at a rate of approximately 2:1. It provides a no -risk loan to Yakima Federal Savings Bank since the interest is pre -paid. The low-income homebuyer pays no interest, making home ownership possible. It allows us meet the needs of a greater number of families. BOARD OF YAKIMA COUNTY COMMISSIONERS * District One James M. Lewis Mr. Richard Penton 906 Columbia Street Southwest P. O. Box 48300 Olympia, WA 98504-8300 Dear Mr. Penton: * District Two Bettie Ingham March 22, 2000 * District Three Jesse S. Palacios RE: WASHINGTON STATE COMMUNITY, TRADE AND ECONOMIC DEVELOPMENT HOUSING FINANCE UNIT GRANT It is with pleasure the Board of Yakima County Commissioners writes this letter of support for your non-profit organization, Yakima Valley Partners -Habitat for Humanity. The Habitat for Humanity is a local non-profit organization dedicated to providing decent housing for low income people in need of a decent place to live and raise their families. These are people who would not otherwise be able to afford a home through conventional means. The banks'and lending institutions do not consider this a risk worth taking; and yet, these same people are willing to work a minimum of 500 hours on the construction of their new homes, and then repay the entire amount of bottom line cost for their construction back to the Habitat for Humanity so the cycle can continue to help others in need. The funds provided by this much needed grant will be used for land acquisition and infrastructure costs for twelve projects located in the lower Yakima Valley. The need for their service is evident. The residents beam with new pride. The community supports their efforts by providing lunches and snacks for young workers. Yakima County supports the work of Habitat for Humanity and lauds their successes. Tt takes hard work, dedication, and lone hours to accomplish their goals. Yes, they arc deserving of consideration for the Washington State Community, Trade and Economic Development l lousing Finance Unit Grant. JSP:hah Sincerely, BOARD OF YAKIMA COUNTY COMMISSIONERS J- sse S. Palacios, Chairman ames M. Lewin ` sioner 128 North Second Street • Yakima, W;.hington 98901 • 509-574 500 • FAX. 509-574-1501 OFFICE OF THE ;11:1 YOR 129 ,North Second Street City Ilall, Yakima, llashington 98901 Phone (509) 575-6050 • Fax (509) 576-6335 March 22, 2000 To Whom It May Concern: On behalf of the City of Yakima, I would like to express my support for Habitat for Humanity's application to your agency for land acquisition and infrastructure. Yakima is an agricultural -oriented community. Although we traditionally enjoy a stable economy, per -capita income has remained low and the unemployment rate is high, due to the seasonal nature of the agriculture industry. These circumstances and rising prices have put housing out of reach for many low- income people. As a non-profit organization that raises money and recruits volunteers to build houses for responsible low-income families, Habitat for Humanity is critical in our community to address the great need for adequate housing. The City is extremely supportive of any action that will help in making home ownership possible for partner families in our community. Sincerely, Mar }% Place Mayor Yakima w-M,rtaan 1994 March 22, 2000 107 So. SIXTH St. YAKIMA, WA 98901 (509) 457-4475 Mr Buddy Cluck, Executive Director Yakima Valley Partners/Habitat for Humanity P 0 Box 9007 Yakima, WA 98909 Dear Buddy: The Yakima County Coalition for the Homeless applauds your efforts and commitment to building homes for low-income families throughout the Yakima Valley. As you know the need is tremendous and continuing efforts by Habitat for Humanity will assist and support local goals and objectives of meeting the housing needs of low-income families. Habitat for Humanity brings together individuals that are willing to serve with practical projects that will improve the quality of life for program participants. The Yakima County Coalition for the Homeless has enjoyed being a recipient organization of your volunteer coordinated efforts and hopes to continue working with you for many years. Habitat volunteers are guided under the leadership of very qualified and experienced Habitat for Humanity professionals. Each project has resulted in an efficient and cost effective improvement to a YCCH property. Your efforts expand community resources and help support other local non-profit housing organizations The Yakima County Coalition for the Homeless would like to express our full support for your efforts to acquire funding to continue developing low-income housing for families within the Yakima Valley. We believe Habitat for Humanity/Yakima Valley Partners serves a vital role in utilizing and directing the resources of volunteers to create safe, decent and affordable housing. The need is tremendous and Habitat for Humanity/Yakima Valley Partners has the experience to continue serving deserving low-income families well into the future. Sincerely, Sharon White, Asset Manager Yakima County Coalition for the Homeless BUSINESS OF THE CITY COUNCIL YAKIMA, WASHINGTON AGENDA STATEMENT Item No.: For Meeting of: October 17, 2000 ITEM TITLE: 2000 Community Housing Development Organization (CHDO) Contract. SUBMITTED BY: lam Cook, Director of Community and Economic Development CONTACT.PERSON/TELEPHONE: William Cobabe, Neighborhood Development Services, Manager (575-6101) SUMMARY EXPLANATION: Community Housing Development Organizations (CHDO) are entitled to 15% of a jurisdiction's allocated federal HOME monies. HOME Programs funds may be used for housing development, sponsored and/or owned by the CHDO. Eligible activities include predevelopment costs and the acquisition, rehabilitation and new construction of rental housing, homeownership and rental assistance. The Yakima Valley Partners, Habitat for Humanity, a CHDO, is requesting a grant of $50,000 of CHDO funds to purchase buildable single-family lots within the City of Yakima. This proposal was discussed at a meeting of City Council's Neighborhood Development Committee on October 10, 2000 with a recommendation that ..,uncil approve this contract. Approval of this resolution will authorize and direct the City Manager to execute a contract with Yakima Valley Partners, Habitat for Humanity, which will include a project description, work plan with identification of funding sources. Resolution X Ordinance Contract Other Specify Funding Source: HOME Funds APPROVAL FOR SUBMITTAL: //, 4. City Maria er fige-1-c STAFF RECOMMENDATION: Approve Resolution BOARD/COMMISSION RECOMMENDATION: COUNCIL ACTION: