HomeMy WebLinkAboutR-2004-044 OIC of Washington Grant RequestRESOLUTION NO. R-2004 - 44
A RESOLUTION approving a $75,000 grant request from 2004 federal HOME
funds to OIC of Washington to construct five (5) single-family
homes located within the target area and authorizing 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 OIC of Washington.
WHEREAS, the City of Yakima is a recipient of 2004 federal HOME funds
which may be used, among other things, for Community Housing Development
Organization Programs; and
WHEREAS, the City of Yakima is required by the HOME program
regulations to make at least 15% of its annual HOME allocation available to local
CHDOs; and
WHEREAS, OIC of Washington is requesting a grant of $75,000 in HOME
funds to construct five (5) new single-family homes located in the target area; and
WHEREAS, at March 1, 2004, City Council Neighborhood Development
Sub -committee meeting, the sub -committee recommended to forward the proposal
to full council; and
WHEREAS, the City Council has determined that it is in the best
interest of the City to approve the $75,000 grant request from OIC of Washington
for the construction of five (5) new homes, now, therefore,
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF YAKIMA:
1. A grant of $75,000 in HOME funds to OIC of Washington to construct
five new single-family homes is hereby approved with the following
conditions:
• Execution of a formal grant agreement between the City of Yakima
and OIC of Washington.
• OIC of Washington will inform Neighborhood businesses and
residents about their plans for the project, and invite public comment.
2. The City Manager is hereby authorized and directed to execute all
necessary grant documents and OIC of Washington. The final form of these
documents shall be reviewed and approved by the City Attorney.
ADOPTED BY THE CITY COUNCIL this 16th day of March, 2004.
ATTEST:
Paul P. George, Mayor
City Clerk
CITY OF YAKIMA
OFFICE OF NEIGHBORHOOD DEVELOPMENT SERVICES
1. Contracting Organization: OIC of Washington (hereinafter "Contractor")
2. Address: 815 Fruitvale Blvd., Yakima, WA 98902
3. Phone: (509) 452-2235
4. Contact Person: Chris Link
5. Title of Service or Program being Funded: Five New Single -Family Homes
6. Amount of Contract Award: $ 75,000 (HOME)
7. The term o this Contract shall commence upon execution hereof and shall terminate at
midnight 31/OS , unless sooner terminated by either party in accordance with Section
XXII of incorporated Exhibit "A".
8. This contract award and the rights and obligations of both parties hereto shall be subject to and
govemed 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.2004-44 , 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 WITNES THEREOF the parties have, executed this Contract as of the day and year indicated
below.
3/24.64
D
City Contract No.:
CITY CONTRACT NO:,
RESOLUTION NO'
Date
Date
EXHIBIT "A"
TERMS AND CONDITIONS
DESIGNATION
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.
I! 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). 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 $ 75,000 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 shalt 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 of 13 05-22-04
2. When the revision of the Contractor budget does not exceed ten percent (1 O%)
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 REQUIREMENTS
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).
3 of 13 05-22-04
4. Architectural Barriers Act of 1968 as amended, 42 USC Section 4151 et seq.,
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 (P.L. 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 of 13 05-22-04
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 of 13 05-22-04
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 SAFEGUARDING 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 attomey or his/her responsible parent or guardian or as otherwise
provided by taw.
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 of 13 05-22-04
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 andtor 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 9A of RCW Chapter 62A.
7 of 13 05-22-04
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
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. NO INSURANCE
It is understood that the City does not maintain liability insurance for the Contractor
and/or its employees, agents, officers, and subcontractors.
B. 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 this Contract. The policy shall name
the City, its elected officials, officers, agents and employees as additional insured's,
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.
8 of 13 05-22-04
C. 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 bodily injury and property damage. Automobile liability will apply
to "Any Auto" and be shown on the certificate. 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 duration of this
Contract. The policy shall name the City, its elected officials, officers, agents, and
employees as additional insured's, 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.
D. WORKERS' COMPENSATION
The Contractor agrees to pay all premiums provided for by the Workman's
Compensation Act of the State of Washington. Evidence of the contractors workers'
compensation coverage will be fumished to the City. The contractor holds the City
harmless for any injury or death to the contractor's employees while performing this
Contract.
E. INSURANCE PROVIDED BY SUBCONTRACTORS
The Contractor shall ensure that all subcontractors it utilizes for work/services
rendered under this Contract shall comply with all of the above insurance
requirements.
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 alt 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.
Nothing in this section of the Contract shall be construed to create a liability or a right of
indemnification in any third party.
XXII CONTRACT, TERMINATION AND CLOSE 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
9 of 13 05-22-04
and nature that the City of Yakima ONDS deems continuation of this Contract
to be substantially non -beneficial to the public interest;
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 GROUNDS
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.
10 of 13 05-22-04
3. In the event a financial audit has not been performed prior to close-out of this
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 INTEREST
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:
11 of 13 05-22-04
1. Appropriate provisions of state and federal statutes and regulations including HUD
Home Regulations.
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. 2004- 44 (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,
and 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 RETURN OF HOME FUNDS
The Contractor shall return to the City all monies provided hereunder by the City to the
Contractor if any of the following occur:
1. The Contractor materially changes the primary purpose and scope of the HOME
Project as described on Exhibit "B" to the Contract; or
12 of 13 05-22-04
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 HOME Project described on Exhibit "B" to the Contract is sold or
transferred in any way by the Contractor.
XXXIII 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 of 13 05-22-04
EXHIBIT "B"
PROJECT DESCRIPTION
1. APPLICANT
Name of Applicant Organization: OIC of Washington
Address: 815 Fruitvale Blvd
Yakima, Washington 98902
Telephone Number: (509) 452-2235
Contact Person: Chris Link
Position with Organization: Housing Director
2. LOCATION OF PROPOSED PROJECT: (Provide Map Identifying Location)
Address: The proposed location consists of five (5) sites with the following addresses:
716 South 6th Street
801 south 6th Street
508 East Adams Street (change to 802 South 6th Street)
804 South 6th Street
806 South 6th Street
City Target Neighborhood: Yes or No (circle one)
3. SITE CONTROL: (Provide Copies of Site Control Documents)
Owned X Under Option No Site Control
4. SITE OCCUPANCY:
Are there currently buildings on the site:
Are the buildings occupied?
Yes No
Yes No
X
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 Proposals
10/27/03
1
5. DESCRIPTION OF PROPOSED PROJECT:
a. Multi -Family
b. Rental
c. Efficiency
6. ZONING:
Single -Family
Sales
1 Bedroom
X
X
2 Bedroom
Single Room Occupancy
Lease/Purchase
3 Bedroom
X
Current zoning of site: R-1 Single Family Residential
Bedroom
Does current zoning permit proposed use? Yes X No
7. NATURE OF PROPOSED PROJECT:
Rehabilitation
8. NUMBER OF HOUSING UNITS:
Total number of apartments Total number of Single -Family Homes 5
Total number of SRO Rooms
Number of units reserved for
HOME families at 60% to 80% of median income 5
Number of units reserved for
HOME families at 50% to 60% of median income
Number of units reserved for
HOME families at 50% of median income
New Construction
(at least 20% of HOME assisted units)
Number of units reserved for
HOME families 5
Neighborhood Dev.
HOME Invitation for Proposals
8/27/03
2
9. PROGRAM NARRATIVE DESCRIPTION AND TARGET NEIGHBORHOOD
RESIDENT INVOLVEMENT [(describe in detail) use additional sheets if necessary]
OIC of Washington, a certified CHDO non-profit corporation, proposes to construct five
(5) single-family homes for homeownership as an in -fill project on properties located
within the City of Yakima's CDBG Target Area. The property lot locations are as follows;
(716 South 6th Street, 802 South 6t"Street, 804 South 6thStreet, 806 South 6thStreet and
801 South 6thStreet). This will be OIC of Washington's second joint CHDO project with
the City of Yakima's Office of Neighborhood Development Services (ONDS). The first
project was Baker Court, a six (6) home single-family affordable housing development
located on a cul-de-sac between South Ninth (9th) Street and the 1200 block of South
Tenth (10th) Street also known as Fair Avenue. Each of the lots will have city sewer,
water and existing sidewalks, telephone, natural gas and cable availability. The lots are
within two blocks of Adams Elementary School and blocks from Washington Middle
School. Access to Yakima's Metro bus line is within 300 feet of the homes to be
constructed.
The five affordable single-family housing units proposed to be constructed will range in
size from 1349 square feet to 1568 square feet. Four (4) of the homes to be constructed
will be three (3) bedrooms with detached two car garages. The fifth (5th) unit will be a
four (4) bedroom, two-story home without a garage due to lot size restrictions. All of the
homes will have finished landscaping which includes lawns and perimeter fencing and if
possible underground timed irrigation systems. The homes have been designed to
blend in with the existing neighborhood and housing stock adding aesthetic value of the
area.
Once again OIC of Washington will partner with Washington State Service Corps
"Americorps" program and other job training programs to provide volunteer participants
in the construction of the in -fill CHDO project. These "Americorps" volunteers will
consist of men and women who have agreed to volunteer approximately one (1) year of
service to their community to strengthen neighborhood bonds and enhance community
involvement. OIC of Washington has entered into a contractual relationship with
Washington State Service Corps to train ten (10) men and women in the construction of
affordable housing projects. The participants will be under the direct supervision of
OIC's Americorps Program Manager and while on the construction site OIC's
Construction Manager. OIC is required, as a contractual match obligation, to pay
Washington State Service Corps $1,500 per participant. This equates to $15,000 for ten
(10) participants in the program and will be included in the total development costs.
After reviewing the construction cost on Baker Court and comparing proposed
construction cost for the five (5) in -fill homes located on 700 & 800 block of South 6111
Street, we anticipate similar construction costs and project a total development budget
of $488,495. Projected sales price for the units to be constructed will be based on
appraised value with the following sales prices listed below and a total sales proceeds
of $490,000. This will have a net proceeds from sales of $1,505.
716 South 6th Street $96,000
801 South 6th Street $104,000
802 South 6th Street $99,000
804 South 6th Street $94,000
806 South 6th Street $97,000
OIC of Washington is certified with the Washington State Housing Finance Commission
to provide Homebuyer Educational services to interested first time homebuyers. Our
trained and certified staff will assist in qualifying interested first time homebuyers in the
pre and post purchase process of the homes. Our experience in assisting families
interested in the home buying process, in combination with the Office of Neighborhood
Development Service's extensive history serving low-income families to obtain
affordable housing, will add to the success of finding qualified families for the homes on
South 6th Street.
010 of Washington has established sound partnerships with local lending institutions for
mortgage financing, who have demonstrated an interest and willingness to expand
affordable housing opportunities for low-income families, using sound and prudent
underwriting criteria for low-income home buyers.
OIC of Washington will use their portion of the project CHDO funds to provide the gap
financing (silent second deferred loan) necessary to make the housing units affordable
for the first time homebuyers. The gap financing will be the difference between the sales
price and the first position mortgage obtained by the eligible homebuyer.
Neighborhood Dev.
HOME Invitation for Proposals
8/27/03
3
PROJECT FINANCIAL INFORMATION
10. PROJECT FINANCING:
Total Cost:
$ 488,495
CHDO request:
$ 75,000
Other financing:
$ 325,000
CHDO request as % of total cost 15%
Total Cost/Unit
$ 97,699
CHDO Cost/Unit
$ 15,000
CHDO request from the City: Loan: $ Grant:$ 75,000
Funds to be returned to the City: Yes No (X)
If yes, amount to be
returned to the City: $ or $ per unit
11. NON-CHDO FINANCING TERMS:
Total Amount:
$ 325,000
Cash by Applicant: (provide signed
commitment of funds, with statement of
source)
$
Loan Amount:
$
Interest Rate:
$
Term:
Years
Source of Loan:
$500,000 Line of Credit (Bank of America)
Commitment Status:
Continual
Source of Funds Contact Person:
Telephone Number:
Grant Amount:
$
Source of Grant:
Commitment Status:
Source of Funds Contact Person:
Neighborhood Dev.
HOME Invitation for Proposals
8/27/03
4
PROJECT COSTS (1)
ACQUISITION:
TOTAL COST:
COST/UNIT:
Land
Land and Existing Building
Title and Recording
Other: (specify)
HARD COST:
Demolition
Site Work
Rehabilitation
Construction
$444,495
$ 88,899
Americorps Match Contrib.
$15,000
$ 3,000
RELOCATION:
SOFT COSTS:
Legal Fees
$2,000
$400
Survey
Architect Design Fee
Architect Inspection Fee
Engineering Fees
Appraiser
$2,500
$500
Accounting
$12,000
$2,400
Other Professional Fees
Insurance
Marketing
$2,500
$500
FINANCING COSTS:
Credit Report
Loan Origination Fee
Points
Legal
Other (specify)
RESERVES:
Rent Up Reserve
Operation Reserve
Maintenance Reserve
Replacement Reserve
DEVELOPER FEES:
$10,000
$2,000
TOTAL PROJECT COST:
$488,495
$97,699
(1) Please note: The above analysis does not include operating funds.
Neighborhood Dev.
HOME Invitation for Proposals
10/27/03
5
Income:
Sales price per unit
# of Units: 5
CASH FLOW
SALES PROJECTS
$ 94,000 to $104,000
Gross Income: $ 490,000
Expenses:
Marketing $ 2,500
Financing $ 12,000
Construction $ 444,495
Soft Costs $ 14,500
Americorps Matching Contribution $ 15,000
Total Expenses: $ 488,495
Net Income for Sales: $ 1,505
Proposed Terms of Sale to First -Time Homebuyers: (loan, grant, forgivable loan,
combination, interest rate loan, term of loan)
Loan and Deferred Silent Second Mortgagge
If CHDO funding will be transferred to First -Time Homebuyer as a loan:
Annual Income from CHDO Loans: deferred income for 3 years( includes both
interest and principal)
Proposed use of Annual Income from Loans: (add extra pages if needed)
Any additional income generated from the repayment of secondary loans will be used to expand
additional single-family affordable homeownership projects
Services in Addition to Housing: (add extra pages if needed)
Describe the services in addition to housing, to be provided to project residents by the CHDO:
N/A
Neighborhood Dev.
HOME Invitation for Proposals
10/27/03
6
CASH FLOW
RENTAL PROJECTS
INCOME:
Unit Type # Rent/Unit Gross Income
Efficiency $ $
1 Bedroom $ $
2 Bedroom $ $
3 Bedroom $ $
4 Bedroom $ $
Total $
Other Projected Income $
Gross Projected Income $
Vacancy Loss $
Net Income: $
EXPENSES:
Management $
Water $
Electricity $
Gas $
Garbage/Trash $
Maintenance $
Exterminating $
Decorating $
Advertising $
Insurance $
Marketing $
Property Taxes $
Other (specify) $
Total
% of Gross Income %
Gross Rental Income $
Net Operating Expenses $
HOME Debt Service $
Non -HOME Debt Service $
Net Income After Debt Service $
Proposed Use of Net Income: (add extra pages if needed)
Services in Addition to Housing: (add extra pages if needed)
Describe the services in addition to housing, to be provided to project residents by the CDHO:
Neighborhood Dev.
HOME Invitation for Proposals
10/27/03 7
PROJECT SCHEDULE
ACTION: Target Date in Months from Proiect Approval:
Site:
Option
Acquisition
NON-CHDO Financing:
Application
Conditional Commitment
Finn Commitment
Design:
Selection of Architect
Preliminary Designs
Final Designs
Bidding:
Advertise
Open Bids
Award Bids
Construction:
Begin Construction
Complete Construction
Rent Up/Sell
Neighborhood Dev.
HOME Invitation for Proposals
10/27/03
Completed
Completed
Completed
Completed
Revolving Line of Credit (Bank of America)
Completed
Completed
Completed
Completed
Completed
Completed
January 2004
July 2005
May 2004 through July 2005
8
PROJECT NARRATIVE DESCRIPTION
(use additional sheets if necessary)
Repeat of # 3
OIC of Washington, a certified CHDO non-profit corporation, proposes to construct five
(5) single-family homes for homeownership as an in -fill project on properties located
within the City of Yakima's CDBG Target Area. The property lot locations are as follows;
(716 South 6th Street, 802 South 6thStreet, 804 South 6thStreet, 806 South 6thStreet and
801 South 6thStreet). This will be OIC of Washington's second joint CHDO project with
the City of Yakima's Office of Neighborhood Development Services (ONDS). The first
project was Baker Court, a six (6) home single-family affordable housing development
located on a cul-de-sac between South Ninth (9th) Street and the 1200 block of South
Tenth (10th) Street also known as Fair Avenue. Each of the lots will have city sewer,
water and existing sidewalks, telephone, natural gas and cable availability. The Tots are
within two blocks of Adams Elementary School and blocks from Washington Middle
School. Access to Yakima's Metro bus line is within 300 feet of the homes to be
constructed.
The five affordable single-family housing units propose to be constructed will range in
size from 1349 square feet to 1568 square feet. Four (4) of the homes to be constructed
will be a four (4) bedroom, two-story home without a garage due to lot size restrictions.
All of the homes will have finished landscaping, which includes lawns and perimeter
fencing and if possible underground timed irrigation systems. The homes have been
designed to blend in with the existing neighborhood and housing stock adding aesthetic
value of the area.
Once again OIC of Washington will partner with Washington State Service Corps
"Americorps" program and other job training programs to provide volunteer participants
in the construction of the in -fill CHDO project. These "Americorps" volunteers will
consist of men and women who have agreed to volunteer approximately one (1) year of
service to their community to strengthen neighborhood bonds and enhance community
involvement. OIC of Washington has entered into a contractual relationship with
Washington State Service Corps to train ten (10) men and women in the construction of
affordable housing projects. The participants will be under the direct supervision of
OIC's Americorps Program Manager and while on the construction site OIC's
Construction Manager. OIC is required, as.a contractual match obligation, to pay
Washington State Service Corps $1,500 per participant. This equates to $15,000 for ten
(10) participants in the program and will be included in the total development costs.
After reviewing the construction cost on Baker Court and comparing proposed
construction cost for the five (5) in -fill homes located on 700 & 800 block of South 6th
Street, we anticipate similar construction costs and project a total development budget
of $488,495. Projected sales price for the units to be constructed will be based on
appraised value with the following sales prices listed below and a total sales proceeds
of $490,000. This will have a net proceeds from sales of $1,505.
716 South 6th Street $96,000
801 South 6th Street $104,000
802 South 61" Street $99,000
804 South 6th Street $94,000
806 South 6th Street $97,000
OIC of Washington is certified with the Washington State Housing Finance Commission
to provide Homebuyer Educational services to interested first time homebuyers. Our
trained and certified staff will assist in qualifying interested first time homebuyers in the
pre and post purchase process of the homes. Our experience in assisting families
interested in the home buying process, in combination with the Office of Neighborhood
Development Service's extensive history serving low-income families to obtain
affordable housing, will add to the success of finding qualified families for the homes on
South 6th Street.
OIC of Washington has established sound partnerships with local lending institutions for
mortgage financing, who have demonstrated an interest and willingness to expand
affordable housing opportunities for low-income families, using sound and prudent
underwriting criteria for low-income home buyers.
OIC of Washington will use their portion of the project CHDO funds to provide the gap
financing (silent second deferred loan) necessary to make the housing units affordable
for the first time homebuyers. The gap financing will be the difference between the sales
price and the first position mortgage obtained by the eligible homebuyer.
Neighborhood Dev.
HOME Invitation for Proposals
10/27/03
9
PROJECT DEVELOPMENT TEAM
The following companies or individuals constitute the development team. Where individual
members have not yet been identified, the City must be notified as they are selected.
Staff Contact Person:
Chris Link
Consultant:
Attorney:
Joe F. Falk Jr.
Architect:
Engineer: DEC Engineering Services, Denny Covell
Thomas F. Upton Surveying, Tom Upton
Appraiser: Western Appraisals
John Timms
Other Financial Sources:
Yakima Federal Savings & Loan
Other (specify)
Bank of America
Neighborhood Dev.
HOME Invitation for Proposals
10/27/03
10
10/27/03
10
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 leads to the improper allocation and
expenditure of public funds may result in legal action against the organization for retrieval or any
such funds and appropriate penalties
Name: (typed or printed)
Executive Director
Title: (position)
OIC of Washington
Name or Organization
Neighborhood Dev.
HOME Invitation for Proposals
10/27/03
11
1/4/2004
Date
EXHIBIT "C"
City of Yakima
Office of Neighborhood Development Services
(ONDS)
Community Housing Development
Organizations
(CHDO)
Project Application
PROJECT DESCRIPTION
1. APPLICANT
Name of Applicant Organization: OIC of Washington
Address: 815 Fruitvale Blvd
Yakima, Washington 98902
Telephone Number: (509) 452-2235
Contact Person: Chris Link
Position with Organization: Housing Director
2. LOCATION OF PROPOSED PROJECT: (Provide Map Identifying Location)
Address: The proposed location consists of five (5) sites with the following addresses:
716 South 6th Street
801 south 6th Street
508 East Adams Street (change to 802 South 6th Street)
804 South 6th Street
806 South 6th Street
City Target Neighborhood: Yes or No (circle one)
3. SITE CONTROL: (Provide Copies of Site Control Documents)
Owned IX Under Option No Site Control
4. SITE OCCUPANCY:
Are there currently buildings on the site:
Are the buildings occupied?
Yes Li No
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 Proposals
10/27/03
1
5. DESCRIPTION OF PROPOSED PROJECT:
a. Multi -Family
b. Rental
c. Efficiency
6. ZONING:
Single -Family
Sales
1 Bedroom
X
Single Room Occupancy
Lease/Purchase
2 Bedroom X 3 Bedroom 1 X14 Bedroom
Current zoning of site: R-1 Single Family Residential
Does current zoning permit proposed use?
7. NATURE OF PROPOSED PROJECT:
Rehabilitation
Yes X No
New Construction
8. NUMBER OF HOUSING UNITS:
Total number of apartments Total number of Single -Family Homes 5
Total number of SRO Rooms
Number of units reserved for
HOME families at 60% to 80% of median income 5
Number of units reserved for
HOME families at 50% to 60% of median income
Number of units reserved for
HOME families at 50% of median income
(at least 20% of HOME assisted units)
Number of units reserved for
HOME families 5
Neighborhood Dev.
HOME Invitation for Proposals
8/27/03
2
9. PROGRAM NARRATIVE DESCRIPTION AND TARGET NEIGHBORHOOD
RESIDENT INVOLVEMENT [(describe in detail) use additional sheets if necessary]
OIC of Washington, a certified CHDO non-profit corporation, proposes to construct five
(5) single-family homes for homeownership as an in -fill project on properties located
within the City of Yakima's CDBG Target Area. The property lot locations are as follows;
(716 South 6th Street, 802 South 6thStreet, 804 South 6thStreet, 806 South 6thStreet and
801 South 6thStreet). This will be OIC of Washington's second joint CHDO project with
the City of Yakima's Office of Neighborhood Development Services (ONDS). The first
project was Baker Court, a six (6) home single-family affordable housing development
located on a cul-de-sac between South Ninth (9th) Street_ and the 1200 block of South
Tenth (10th) Street also known as Fair Avenue. Each of the lots will have city sewer,
water and existing sidewalks, telephone, natural gas and cable availability. The Tots are
within two blocks of Adams Elementary School and blocks from Washington Middle
School. Access to Yakima's Metro bus line is within 300 feet of the homes to be
constructed.
The five affordable single-family housing units proposed to be constructed will range in
size from 1349 square feet to 1568 square feet. Four (4) of the homes to be constructed
will be three (3) bedrooms with detached two car garages. The fifth (5th) unit will be a
four (4) bedroom, two-story home without a garage due to lot size restrictions. All of the
homes will have finished landscaping which includes lawns and perimeter fencing and if
possible underground timed irrigation systems. The homes have been designed to
blend in with the existing neighborhood and housing stock adding aesthetic value of the
area.
Once again OIC of Washington will partner with Washington State Service Corps
"Americorps" program and other job training programs to provide volunteer participants
in the construction of the in -fill CHDO project. These "Americorps" volunteers will
consist of men and women who have agreed to volunteer approximately one (1) year of
service to their community to strengthen neighborhood bonds and enhance community
involvement. OIC of Washington has entered into a contractual relationship with
Washington State Service Corps to train ten (10) men and women in the construction of
affordable housing projects. The participants will be under the direct supervision of
OTC's Americorps Program Manager and while on the construction site OIC's
Construction Manager. OIC is required, as a contractual match obligation, to pay
Washington State Service Corps $1,500 per participant. This equates to $15,000 for ten
(10) participants in the program and will be included in the total development costs.
After reviewing the construction cost on Baker Court and comparing proposed
construction cost for the five (5) in -fill homes located on 700 & 800 block of South 6th
Street, we anticipate similar construction costs and project a total development budget
of $488,495. Projected sales price for the units to be constructed will be based on
appraised value with the following sales prices listed below and a total sales proceeds
of $490,000. This will have a net proceeds from sales of $1,505.
716 South 6th Street $96,000
801 South 6th Street $104,000
802 South 6th Street $99,000
804 South 6th Street $94,000
806 South 6th Street $97,000
OIC of Washington is certified with the Washington State Housing Finance Commission
to provide Homebuyer Educational services to interested first time homebuyers. Our
trained and certified staff will assist in qualifying interested first time homebuyers in the
pre and post purchase process of the homes. Our experience in assisting families
interested in the home buying process, in combination with the Office of Neighborhood
Development Service's extensive history serving low-income families to obtain
affordable housing, will add to the success of finding qualified families for the homes on
South 6th Street.
OIC of Washington has established sound partnerships with local lending institutions for
mortgage financing, who have demonstrated an interest and willingness to expand
affordable housing opportunities for low-income families, using sound and prudent
underwriting criteria for low-income home buyers.
OIC of Washington will use their portion of the project CHDO funds to provide the gap
financing (silent second deferred loan) necessary to make the housing units affordable
for the first time homebuyers. The gap financing will be the difference between the sales
price and the first position mortgage obtained by the eligible homebuyer.
Neighborhood Dev.
HOME Invitation for Proposals
8/27/03
PROJECT FINANCIAL INFORMATION
10. PROJECT FINANCING:
Total Cost:
$ 488,495
CHDO request:
$ 75,000
Other financing:
$ 325,000
CHDO request as % of total cost 15%
Total Cost/Unit
$ 97,699
CHDO Cost/Unit
$ 15,000
CHDO request from the City: Loan: $ Grant:$ 75,000
Funds to be returned to the City: Yes No (X)
If yes, amount to be
returned to the City: $ or $ per unit
11. NON-CHDO FINANCING TERMS:
Total Amount:
$ 325,000
Cash by Applicant: (provide signed
commitment of funds, with statement of
source)
$
Loan Amount:
$
Interest Rate:
$
Term:
Years
Source of Loan:
$500,000 Line of Credit (Bank of America)
Commitment Status:
Continual
Source of Funds Contact Person:
Telephone Number:
Grant Amount:
$
Source of Grant:
Commitment Status:
Source of Funds Contact Person:
Neighborhood Dev.
HOME Invitation for Proposals
8/27/03
4
PROJECT COSTS (1)
ACQUISITION:
TOTAL COST:
COST/UNIT:
Land
Land and Existing Building
Title and Recording
Other: (specify)
HARD COST:
Demolition
Site Work
Rehabilitation
Construction
$444,495
$ 88,899
Americorps Match Contrib.
$15,000
$ 3,000
RELOCATION:
SOFT COSTS:
Legal Fees
$2,000
$400
Survey
Architect Design Fee
Architect Inspection Fee
Engineering Fees
Appraiser
$2,500
$500
Accounting
$12,000
$2,400
Other Professional Fees
Insurance
Marketing
$2,500
$500
FINANCING COSTS:
Credit Report
Loan Origination Fee
Points
Legal
Other (specify)
RESERVES:
Rent Up Reserve
Operation Reserve
Maintenance Reserve
Replacement Reserve
DEVELOPER FEES:
$10,000
$2,000
TOTAL PROJECT COST:
$488,495
$97,699
(1) Please note: The above analysis does not include operating funds.
Neighborhood Dev.
HOME Invitation for Proposals
10/27/03
5
Income:
Sales price per unit
# of Units: 5
Gross Income:
Expenses:
Marketing
Financing
Construction
Soft Costs
Americorps Matching Contribution
CASH FLOW
SALES PROJECTS
$ 94,000 to $104,000
$ 490,000
$ 2,500
$ 12,000
$ 444,495
$ 14,500
$ 15,000
Total Expenses: $ 488,495
Net Income for Sales: $ 1,505
Proposed Terms of Sale to First -Time Homebuyers: (loan, grant, forgivable loan,
combination, interest rate loan, term of loan)
Loan and Deferred Silent Second Mortgagge
If CHDO funding will be transferred to First -Time Homebuyer as a loan:
Annual Income from CHDO Loans: deferred income for 3 years( includes both
interest and principal)
Proposed use of Annual Income from Loans: (add extra pages if needed)
Any additional income generated from the repayment of secondary loans will be used to expand
additional single-family affordable homeownership projects
Services in Addition to Housing: (add extra pages if needed)
Describe the services in addition to housing, to be provided to project residents by the CHDO:
N/A
Neighborhood Dev.
HOME Invitation for Proposals
10/27/03
6
CASH FLOW
RENTAL PROJECTS
INCOME:
Unit Type # Rent/Unit . Gross Income
Efficiency $ $
1 Bedroom $ $
2 Bedroom $ $
3 Bedroom $ $
4 Bedroom $ $
Total $
Other Projected Income $
Gross Projected Income $
Vacancy Loss $
Net Income: $
EXPENSES:
Management $
Water $
Electricity $
Gas $
Garbage/Trash $
Maintenance $
Exterminating $
Decorating $
Advertising $
Insurance $
Marketing $
Property Taxes $
Other (specify) $
Total
% of Gross Income %
Gross Rental Income $
Net Operating Expenses $
HOME Debt Service $
Non -HOME Debt Service $
Net Income After Debt Service $
Proposed Use of Net Income: (add extra pages if needed)
Services in Addition to Housing: (add extra pages if needed)
Describe the services in addition to housing, to be provided to project residents by the CDHO:
Neighborhood Dev.
HOME Invitation for Proposals
10/27/03
7
PROJECT SCHEDULE,
ACTION: Target Date in Months from Project Approval:
Site:
Option
Acquisition
NON-CHDO Financing:
Application
Conditional Commitment
Firm Commitment
Design:
Selection of Architect
Preliminary Designs
Final Designs
Bidding:
Advertise
Open Bids
Award Bids
Construction:
Begin Construction
Complete Construction
Rent Up/Sell
Neighborhood Dev.
HOME Invitation for Proposals
10/27/03
Completed
Completed
Completed
Completed
Revolving Line of Credit (Bank of America)
Completed
Completed
Completed
Completed
Completed
Completed
• January 2004
July 2005
May 2004 through July 2005
8
PROJECT NARRATIVE DESCRIPTION
(use additional sheets if necessary)
Repeat of # 3
OIC of Washington, a certified CHDO non-profit corporation, proposes to construct five
(5) single-family homes for homeownership as an in -fill project on properties located
within the City of Yakima's CDBG Target Area. The property lot locations are as follows;
(716 South 6th Street, 802 South 6thStreet, 804 South 6thStreet, 806 South 6thStreet and
801 South. 6thStreet). This will be OIC of Washington's second joint CHDO project with
the City of Yakima's Office of Neighborhood Development Services (ONDS). The first
project was Baker Court, a six (6) home single-family affordable housing development
located on a cul-de-sac between South Ninth (9th) Street and the 1200 block of South
Tenth (10th) Street also known as Fair Avenue. Each of the lots will have city sewer,
water and existing sidewalks, telephone, natural gas and cable availability. The lots are
within two blocks of Adams Elementary School and blocks from Washington Middle
School. Access to Yakima's Metro bus line is within 300 feet of the homes to be
constructed.
The five affordable single-family housing units propose to be constructed will range in
size from 1349 square feet to 1568 square feet. Four (4) of the homes to be constructed
will be a four (4) bedroom, two-story home without a garage due to lot size restrictions.
All of the homes will have finished landscaping, which includes lawns and perimeter
fencing and if possible underground timed irrigation systems. The homes have been
designed to blend in with the existing neighborhood and housing stock adding aesthetic
value of the area.
Once again OIC of Washington will partner with Washington State Service Corps
"Americorps" program and other job training programs to provide volunteer participants
in the construction of the in -fill CHDO project. These "Americorps" volunteers will
consist of men and women who have agreed to volunteer approximately one (1) year of
service to their community to strengthen neighborhood bonds and enhance community
involvement. OIC of Washington has entered into a contractual relationship with
Washington State Service Corps to train ten (10) men and women in the construction of
affordable housing projects. The participants will be under the direct supervision of
OIC's Americorps Program Manager and while on the construction site OIC's
Construction Manager. OIC is required, as a contractual match obligation, to pay
Washington State Service Corps $1,500 per participant. This equates to $15,000 for ten
(10) participants in the program and will be included in the total development costs.
After reviewing the construction cost on Baker Court and comparing proposed
construction cost for the five (5) in -fill homes located on 700 & 800 block of South 6th
Street, we anticipate similar construction costs and project a total development budget
of $488,495. Projected sales price for the units to be constructed will be based on
appraised value with the following sales prices listed below and a total sales proceeds
of $490,000. This will have a net proceeds from sales of $1,505.
716 South 6th Street $96,000
801 South 6th Street $104,000
802 South 6th Street $99,000
804 South 6th Street $94,000
806 South 6th Street $97,000
OIC of Washington is certified with the Washington State Housing Finance Commission
to provide Homebuyer Educational services to interested first time homebuyers. Our
trained and certified staff will assist in qualifying interested first time homebuyers in the
pre and post purchase process of the homes. Our experience in assisting families
interested in the home buying process, in combination with the Office of Neighborhood
Development Service's extensive history serving low-income families to obtain
affordable housing, will add to the success of finding qualified families for the homes on
South 6th Street.
OIC of Washington has established sound partnerships with local lending institutions for
mortgage financing, who have, demonstrated an interest and willingness to expand
affordable housing opportunities for low-income families, using sound and prudent
underwriting criteria for low-income home buyers.
OIC of Washington will use their portion of the project CHDO funds to provide the gap
financing (silent second deferred loan) necessary to make the housing units affordable
for the first time homebuyers. The gap financing will be the difference between the sales
price and the first position mortgage obtained by the eligible homebuyer.
Neighborhood Dev..
HOME Invitation for Proposals
10/27/03
9
PROJECT DEVELOPMENT TEAM
The following companies or individuals constitute the development team. Where individual
members have not yet been identified, the City must be notified as they are selected.
Staff Contact Person:
Chris Link
Consultant:
Attorney:
Joe F. Falk Jr.
Architect:
Engineer: DEC Engineering Services, Denny Covell
Thomas F. Upton Surveying, Tom Upton
Appraiser: Western Appraisals
John Timms
Other Financial Sources:
Yakima Federal Savings & Loan
Other (specify)
Bank of America
Neighborhood Dev.
HOME Invitation for Proposals
10/27/03
10
10/27/03
10
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 leads to the improper allocation and
expenditure of public funds may result in legal action against the organization for retrieval or any
such funds and appropriate penalties
Name: (typed or printed)
Executive Director
Title: (position)
OIC of Washington
Name or Organization
Neighborhood Dev.
HOME Invitation for Proposals
10/27/03
11
1/4/2004
Date
BUSINESS OF THE CITY COUNCIL
YAKIMA, WASHINGTON
AGENDA STATEMENT
Item No. Cr
For Meeting of March 16, 2004
ITEM TITLE: Consideration of a Resolution approving a $75,000 grant request from 2004
federal HOME funds to OIC of Washington to construct five (5) single-
family
ingle-
family homes located within the target area.
SUBMITTED BY: ram Cook, Community & Economic Development Director
CONTACT PERSON/TELEPHONE: Bill Cobabe, Neighborhood Development Manager
(575-6101)
SUMMARY EXPLANATION: The City of Yakima receives an annual allocation of HOME
Investment Partnership funds from the Federal government. HOME funds may only be used for
housing activities. This program requires that the City form partnerships with local housing
developers and providers. These organizations are known as Community Housing Development
Organizations (CHDO's). CHDO's are entitled to receive at least 15% of a jurisdiction's
allocated federal HOME monies. HOME Program funds may be used by the CHDO's for
housing development, which is 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.
OIC of Washington is requesting a grant of $75,000 of HOME CHDO funds from the 2004
Federal allocations to construct five (5) new single-family homes located in the target area at
716, 801, 804, 806 South 6th Street, and 508 E. Adams Street (will be changed to 802 So. 6th St.)
Yakima, Washington. The homes will be sold to qualified low -to -moderate income families
using sound and prudent underwriting criteria. This proposal was discussed at a meeting of the
City Council's Neighborhood Development Sub -Committee on March 1, 2004, and the
committee recommended that this proposal be forwarded to the full Council for approval.
Approval of this resolution will authorize and direct the City Manager to execute and contract
with OIC of Washington, which will include a project description and a work plan with
identification of funding sources.
Resolution X Ordinance Contract Other (Specify)
Funding Source 2004 HOME CHDO Funds
APPROVED FOR SUBMITTAL:
City Manager
STAFF RECOMMENDATION:
Staff recommends approval
BOARD/COMMISSION RECOMMENDATION: On March 1, 2004, Council's Neighborhood
Development Sub -Committee recommended this proposal be forwarded to the full Council for
approval.
COUNCIL ACTION: Resolution adopted. REOLUTION NO. R-2004-44