HomeMy WebLinkAbout04/21/2009 20 Marvin Gardens Homes; Habitat for Humanity Reimbursement i BUSINESS OF THE CITY COUNCIL
YAKIMA, WASHINGTON
AGENDA STATEMENT
• Item No. 1c 2 - 0
•
For Meeting of April 21, 2009
ITEM TITLE: Consideration of a resolution authorizing a Habitat for Humanity request for
reimbursement of $50,000 for design upgrades concerning five (5) homes under construction in
Marvin Gardens.
SUBMITTED BY: William R. Cook, Community & Economic Development Director
CONTACT PERSON / TELEPHONE: Michael Morales, Community and Economic
Development Deputy Director (575 -3533)
SUMMARY EXPLANATION: As the annual recipient of HOME Investments Partnerships
(HOME) funds from Housing and Urban Development (HUD), the City of Yakima is required to
invest these funds for "Affordable Housing" within its jurisdiction.
Habitat for Humanity as a Qualified Community Housing Development Organization (CHDO) is
requesting Fifty Thousand dollars ($50,000) for the reimbursement of design upgrades for five
(5) homes in conjunction with OIC of Washington in the City of Yakima housing development
project called "Marvin Gardens ". The design upgrades include the addition of a front porch, . an
0 attached garage and an elevated roof slope so that the Habitat for Humanity homes) present a
more uniform blend of construction with the other fifteen. (15) homes under construction in the
"Marvin Gardens" project.
These are additional upgrade design costs of $10,000 per home. If the costs are not funded by
the City of Yakima through the use of HOME funds, it could present a financial burden to the
intended low- income families. The income of the families that would purchase these homes is
in the 30 -60 percentile range of median family income. .
Resolution Ordinance Other (Specify)
Contract Mail to (name and address):
Phone:
Funding Source 2009 HOME nds
APPROVED FOR SUBMITTAL:
City Manager
STAFF RECOMMENDATION: Staff recommends approval
BOARD /COMMISSION /COMMITTEE RECOMMENDATION: The Neighborhood Development
Committee met on April 8, 2009 and recommended that this proposal be forwarded to the full
Council for approval.
• COUNCIL ACTION:
•
• RESOLUTION NO.
A RESOLUTION Authorizing the City Manager to execute an agreement with Habitat for
Humanity a qualified Community Housing Development Organization
(CHDO) for a grant of $50,000 for the reimbursement of design upgrades in
five (5) homes being constructed in Marvin Gardens
WHEREAS, Habitat for Humanity is a Qualified Community Housing Development
Organization (CHDO); and
WHEREAS, Habitat for Humanity has requested Fifty Thousand dollars ($50,000) in HOME
funding to provide design upgrades to five (5) new homes under construction in the City of Yakima
housing project Marvin Gardens; and
WHEREAS, the City is a recipient and is responsible for the administration of its annual
allocation of HOME funds made available through the United States Department of Housing and
Urban Development (HUD); and
WHEREAS, federal regulations governing the use of HOME funds for addressing affordable
housing activities allow the City to use such funds to provide grants to assist Community Housing
Development Organizations (CHDO) to construct such housing; and
WHEREAS, the provision of HOME assistance to Habitat for Humanity for this purpose will
assist in providing affordable housing to low -low income families in the 30 -60 percentile of the
® median family income within the City of Yakima;
WHEREAS, these design upgrades provide substantial appropriate public benefits to the City,
by creating uniform consistent housing within this housing development; now, therefore,.
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF YAKIMA:.
The City Manager is hereby authorized to execute a grant agreement, with Habitat for Humanity in
the amount of Fifty Thousand dollars ($50,000) in HOME funds to provide design upgrades for five
(5) newly constructed homes within the City of Yakima housing project Marvin Gardens. -
ADOPTED BY THE CITY COUNCIL this 21st day of April 2009
David Edler, Mayor
ATTEST:
City Clerk .
t
S AGREEMENT BETWEEN THE CITY OF YAKIMA
CE OF NEIGHBORHOOD DEVELOPMENT SERVICES
1. Contracting Organization: Habitat for Humanity "Contractor"
2. Address: 2500 S. 26 Ave., Yakima, WA. 98902
3. Phone: (509) 453 -8077
4. Contact Person: Mike Nixon
5. Title of Service or Program being funded: Marvin Gardens (5 design upgrades for new
home construction)
6. Amount of Contract Award: $50,000 Fifty Thousand Dollars
7. The. term of this Contract shall commence upon execution hereof and shall terminate at
midnight, April 21, 2011, unless sooner terminated by either party in accordance with
Section XXII of Exhibit "A ", attached hereto and incorporated herein by this reference.
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 the funding sources and uses statement and the work
plan, attached hereto as Exhibit "B" and incorporated herein by this reference.
3) City of Yakima Resolution No. R -2009- , 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 the project described
in Exhibit "B ", the City's receipt of all required Contractor /Subcontractor lien releases, and
satisfaction of all contract terms and conditions as stated in Exhibit "A ", Exhibit "B" and
Exhibit "C ".
This written document, together with all of the incorporated exhibits hereto, constitutes the entire
Contract and terms of agreement between the parties hereto.
•
IN WITNESS THEREOF the parties have executed this Contract as of the day and year stated
below.
William Cook, CED Director Date
R.A. Zais, Jr., City Manager Date
Contractor Date
•
Title:
ATTEST:
City Clerk .
City Contract No.: •
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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
(hereinafter "the project ").
CHDO PROVISION: It is understood that Habitat for Humanity has certified that it is and will
maintain CHDO status for the term of the Project in accordance with 24 CFR 92. Habitat
for Humanity agrees to provide information as may be requested by the CITY to document
its continued compliance.
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). 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 of. Yakima shall provide to the Contractor HOME funds for the design
upgrades of up to five (5) homes in the Marvin Gardens Subdivision. HOME funds
shall be provided in the amount of _Fifty Thousand Dollars ($50,000) will be given to
the Contractor to be used for "Design upgrades ". These funds shall be provided at
the rate of Ten Thousand Dollars ($10,000) per home, at the time a building permit
is issued for the home. This grant may be provided from HOME fund sources, in an
amount not to exceed Fifty Thousand Dollars ($50,000)."
C. USE OF HOME FUNDS:
CHDO will use the HOME funds for new construction to provide affordable
homeownership opportunities to low income Yakima city residents. Homebuyers are
to use the home as their principal residence.
Eligible homebuyers will meet the affordability requirements as found in 24 CFR
92.254, of income not exceeding eighty percent (80 %) of the Area Median Income
Guidelines (Attachment A).
The property will conform to the HOME requirement 92.254(a)(2), of the maximum
purchase price not exceeding 95% of the median purchase price limit for Yakima
County, currently $257,497.
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• Recorded loan documents will state use restrictions to homebuyer regarding period
of affordability (5 yrs years) as per 92.254(a)(4), and recapture of HOME funds, as
per 92.254(a)(5), when the (5 yrs) years is not met.
III GENERAL BUDGET PROVISIONS
The City reserves the right to hold payment until adequate documentation has been
provided by the Contractor and reviewed by the City: 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 obligations
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 that also fall within the applicable
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.
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 per home, from what has
been set forth in the approved budget, subject category. The City's written
budget revision approval must be received by the Contractor prior to the
Contractor incurring any expenditures against the revised budget subject
categories.
2. When the revision of the Contractor budget does not exceed ten percent
(10 %) per home, or of an approved budget subject 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
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The City of Yakima ONDS shall furnish the Contractor with written notice to proceed upon
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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 substantially reduce 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
budget funds at the end of the project shall 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
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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.
ID 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),
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• and RCW 43.51.750 -.820 (Preservation of Historic Properties).
4. Architectural Barriers Act of 1968 as amended; 42 USC Section 4151 et
seq., implementing regulations, and Chapter 70.92 RCW.
5. Accessibility Standard as set forth in 92.251(a)(3).
6. 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.
7. 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).
8. Contract Work Hours and Safety Standards Act, 40 USC Sections 327 -333,
(Overtime Compensation).
9. Davis -Bacon Act, as amended, 40 USC Sections 276a — 276a — 5, and RCW
Chapter 3 — 12 (Prevailing Wage Rates).
10. Attachment 0 of the Office of management and Budget Circular, A -102
(Procurement Standards) and Federal Management Circular, FMC 74 -4.
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11. The Uniform Relocation Assistance and Real Property Acquisition Policies
Act of 1970, as amended, and regulations contained in 24 CFR Parts 42 and
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570.,
12. 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.
13. Age Discrimination Act of 1975 (24 CFR 146).
14. Fair Housing Act (24 CFR 100, CFR 107 and 24 CFR 1).
15. Washington State /Local Building Codes /Housing Quality Standards (24
CFR 882.109).
16. WBE /MBE (24 CFR 85.36 (e)).
17. ENVIRONMENTAL REVIEW
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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.
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
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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.
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 City shall have the right to review and audit all records of the Contractor
pertaining to any payment by the City. Said records shall be maintained for a period
of five years after the completion of the project.
D. 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
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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 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 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:
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1. Property records shall be maintained accurately and provide for: A description of
the property; manufacturer's serial number or other identification number;
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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.
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 shall be created by this
Contract. The City of Yakima ONDS is interested only in the results to be achieved, the
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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 shall 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, 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.
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
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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 contractor's
workers' compensation coverage will be furnished 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
4111) 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 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.
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:
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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;
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, notwithstanding 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 notwithstanding 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. CLOSEOUT
In the event that this Contract is terminated in whole or in part for any reason, the
following provisions shall apply:
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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 closeout 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.
C. The Contractor warrants and covenants that it presently has no interest and shall
not acquire any interest, directly or indirectly, which could conflict in any manner or
0 degree with the performance of its services hereunder. The Contractor further
warrants and covenants that in the performance of this contract, no person having
such interest shall be employed.
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D. No employee, agent, consultant, elected official, or appointed official of Contractor
may obtain a financial interest or unit benefits from a HOME - assisted activity, either
for themselves or those with whom they have family or business ties, during their
tenure or for one year thereafter.
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.
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 -2009 - (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.
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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
2. The Department of Housing and Urban Development requires a Five (5) year
"Affordability Period" from the date of the closing of activity as reported in "HUD's
IDIS" financial reporting system, 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, other than sold to qualified low /moderate income
homeowner /s as per HUD program regulations.
XXXIII DEED RESTRICTIONS OR COVENANT
1. The City shall have either a deed restriction outlining a lien on the property to be
® forgiven after such time as the affordability period for the project is satisfied
according to HUD guidelines; or
2. The City shall agree to a covenant restriction recorded against the property outlining
the "Affordability Period" and need for the project to continue its low to moderate
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benefit as specified within HOME regulatory guidelines.
3. The City shall have the recapture provisions language included in the Deed of
Trust.
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.
XXXV NON - COMPLETION OF THE PROJECT
In the unlikely event that the Contractor is unable to complete the project, ownership
of any unsold portion of the project shall be offered with a "First Right of Refusal" to
the City of Yakima subject to any existing project based liens.
•
•
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EXHIBIT "B"
1. These CHDO grant funds are to pay for design upgrades born by the Yakima Valley
Partners Habitat for Humanity to make the 5 homes under construction as part . of the
Marvin Gardens development, compatible with the homes OIC is building.
2. These design upgrades are specific design upgrades beyond the normal house model
used by the Yakima Valley Partners Habitat for Humanity.
3. The upgrades are associated with the following costs:
❑ Garage Materials and Labor to complete an attached car garage
❑ Porch Materials and Labor to complete a front porch
❑ House Materials and Labor to complete an elevated pitched roof beyond the
standard 4/12.
0
O
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