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R10-086 II I RESOLUTION RIO-OK{p 2 3 A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF 4 BOYNTON BEACH, FLORIDA, APPROVING AN AMENDMENT 5 TO THE INTERLOCAL AGREEMENT BETWEEN THE CITY OF 6 BOYNTON BEACH AND THE BOYNTON BEACH COMMUNITY 7 REDEVELOPMENT AGENCY WHICH SPELLS OUT THE 8 OBLIGATIONS OF THE PARTIES AND THE TIMELINES THAT 9 MUST BE MET IN ORDER TO COMPLY WITH THE 10 REQUIREMENTS OF THE NEIGHBORHOOD STABILIZATION II PROGRAM; AUTHORIZING EXECUTION OF BOTH BY THE 12 MAYOR AND CITY CLERK; AND PROVIDING AN EFFECTIVE 13 DATE. 14 15 16 WHEREAS, on May 18, 2010 the City Commission approved Resolution RlO-059 17 amending the City of Boynton Beach's Community Development Block Grant (CDBG) 18 Substantial Plan Amendment, approving an Interlocal Agreement between the City of 19 Boynton beach and the Boynton Beach Community Redevelopment Agency; and 20 WHEREAS, $400,000 was set aside for the Community Redevelopment Agency to 21 provide a subsidy to leverage funds for first time home buyers in the project known as Ocean 22 Breeze; and 23 WHEREAS, The Boynton Beach CRA now proposes to use the NSP funds to provide 24 a project subsidy for the eligible families through the development of infrastructure 25 improvements such as roads, sidewalks, platting, underground utilities, and lighting in support 26 of the construction of 20 single family houses on the site; and 27 WHEREAS, In order to ensure compliance with the NSP obligation deadlines and 28 avoid loss of the NSP funding and associated benefits to Boynton Beach residents, the CRA 29 must develop a site plan and infrastructure contractor prior to August 30, 2010; and S:\CA\RESO\AgreementS.Reso - amendment to ILA with CRA for NSP.doc II WHEREAS, the City Commission of the City of Boynton Beach deems it in the best 2 interest of the citizens and residents of the City to approve the amendment to the Interlocal 3 Agreement between the City of Boynton Beach and the Boynton Beach Community 4 Redevelopment Agency. 5 NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF 6 THE CITY OF BOYNTON BEACH, FLORIDA, THAT: 7 Section 1. The foregoing "Whereas" clauses are hereby ratified and confirmed as 8 being true and correct and are hereby made a specific part of this Resolution upon adoption 9 hereof. 10 Section 2. The City Commission does hereby approve of the amendment Interlocal 11 Agreement between the City of Boynton Beach and the Boynton Beach Community 12 Redevelopment Agency, a copy of which is attached hereto as Exhibit "A". 13 Section 3. The City Commission does hereby authorize the Mayor and City Clerk 14 to execute the amendment to the Interlocal Agreement between the City of Boynton Beach 15 and the Boynton Beach Community Redevelopment Agency. 16 Section 4. This Resolution will become effective immediately upon passage. 17 18 [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] S:\CA\RESO\AgreementS.Reso - amendment to ILA with CRA for NSP.doc 2 II 1 2 3 PASSED AND ADOPTED this ~~ay of July, 2010. I 4 I I 5 6 7 8 9 10 11 12 13 14 15 16 17 ATTEST: 18 19 20 21 22 23 24 25 26 BOYNTON BEACH, FLORIDA S:\CA\RESO\AgreementS.Reso - amendment to ILA with CRA for NSP.doc 3 g ID - oS Co AGREEMENT BETWEEN THE CITY OF BOYNTON BEACH AND BOYNTON BEACH COMMUNITY REDEVELOPMENT AGENCY THIS AGREEMENT, entered into this J,{)-tIJ day of Ju/Z ,2010, by and between the City of Boynton Beach, a political subdivision of the State of Fl rida, for the use and benefit of Its NEIGHBORHOOD ST ABILIZA TION PROGRAM and the BOYNTON BEACH COMMUNITY REDEVELOPMENT AGENCY (CRA) , a Florida public body corporate and politic created pursuant to Part III of Chapter 163, Section 356, Florida Statutes having its principal office at 915 S. Federal Highway, Boynton Beach, Florida 33435 and its Federal Tax Identification Number as Whereas, The City of Boynton Beach has entered into an agreement with the United States Department of Housing and Urban Development for a grant for the execution and implementation of a NEIGHBORHOOD ST ABILIZA TION PROGRAM in certain areas of the City of Boynton Beach, pursuant to Title I of the Housing and Community Development Act of 1974, (as amended); And Whereas, certain City of Boynton Beach Citizen Participation Structures, the Commission of the City of Boynton Beach and the BOYNTON BEACH COMMUNITY REDEVELOPMENT AGENCY desire to provide the activities specified in Part II of this contract; And Whereas, the City of Boynton Beach desires to engage the BOYNTON BEACH COMMUNITY REDEVELOPMENT AGENCY to implement such undertakings of the NEIGHBORHOOD ST ABILIZA TION PROGRAM (NSP 1). Now, therefore, in consideration of the mutual premises and covenants herein contained, it is agreed as follows: PART I DEFINITION AND PURPOSE A. Definitions: 1) "City" means City of Boynton Beach 2) "CDBG" means the City's Community Development Block Grant program 3) "CID" means the City's Community Improvement Division S:\CA\AGMTS\Final NSP Subrecipient Agreement - Boynton Beach CRA clean.doc 1 Last saved by swansonl 6/23/2010535:57 PM, 6/22/201011:5] AM, 6/22/20104:27 PM 4) "The Agency" means the BOYNTON BEACH COMMUNITY REDEVELOPMENT AGENCY 5) "Eligible Family" means a family who is eligible to participate in the Neighborhood Stabilization Program as defined in Section X of the Policy Guidelines attached as Exhibit C herewith. 6) "Eligible Neighborhood" means an area where Neighborhood Stabilization Grant funds may be used to purchase homes as identified in the Neighborhood Stabilization Grant application that was approved by the Department of Housing and Urban Development. 7) "SUBRECIPIENT" means t the Boynton Beach Community Redevelopment Agency and is synonymous "Agency" as that term is used herein and which has been approved to participate in the Neighborhood Stabilization Program as designated in Section V of the Policy Guidelines attached as Exhibit C. 8) "NSP" means Title III of Division B of the Housing and Economic Recovery Act of 2008 for the purpose of assisting in the redevelopment of abandoned and foreclosed homes referred to as the Neighborhood Stabilization Program. 9) "NSP Home" means an abandoned or foreclosed home, condominium or townhome purchased with Neighborhood Stabilization Program funds. 10) "Subsidy" means the amount of NSP funds that are used by the CITY to make the NSP Home affordable to an Eligible Family. 11) "CDBG Regulations" means Code of Federal Regulations at 24 CFR 570. 12) "Low and Moderate-Income" means those who fall within the income range set by HUD for participating in the NSP program. The HUD income range is contained in Exhibit D which is attached hereto and made a part thereof. 13) "CID Approval" means the written approval of the Director of Development or designee after a request or a report has been properly processed in accordance with the CID Policies Procedures 14) "U.S. HUD" means the Secretary of the U.S. Department of Housing and Development or a person authorized to act on U. S. HUD behalf S:\CA\AGMTS\Final NSP Subrecipient Agreement - Boynton Beach CRA c1ean.doc 2 Last saved by swanson I 6/23/20105:35:57 PM, 6/22/201011 :51 AM, 6/22/20104:27 PM B. Purpose: The purpose of this Agreement is to state the covenants and conditions under which the Agency will implement the Scope of Services set forth in Part II of this Agreement. The beneficiaries of a project funded under this Agreement must constitute a majority (51 %) of low- and moderate-income persons. P ART II SCOPE OF SERVICES The Agency shall, in a satisfactory and proper manner as determined by CID, perform the tasks necessary to conduct the program outlined in the Work Program Narrative and Proposed Budget, Exhibit "A", and submit invoices using the cover sheet in Exhibit "B", both of which are attached hereto and made a part hereof. PART III COMPENSA TION, TIME OF PERFORMANCE, METHOD AND CONDITIONS OF PAYMENT A. Maximum Compensation The Agency agrees to accept as full payment for eligible services rendered pursuant to this Agreement the actual amount of budgeted, eligible, and Director of Development or designee-approved expenditures and encumbrances made by the Agency under this Agreement. Said service shall be performed in a manner satisfactory to CID. In no event shall the total compensation or reimbursement to be paid hereunder exceed the maximum and total authorized sum of $400,000.00 for the period of July 15,2010 through September 30,2012. Further budget changes within the designated contract amount can be approved in writing by the Director of Development or designee at their discretion up to twenty percent on a cumulative basis of the contract amount during the contract period. Such requests for changes must be made in writing by the Agency to the Community Improvement Manager. Budget changes in excess of this twenty percent must be approved by the Commission of the City of Boynton Beach. S:\CA\AGMTS\Final NSP Subrecipient Agreement - Boynton Beach CRA c1ean.doc 3 Last saved by swansonl 6/23/20105:35:57 PM, 6/22/2010 ] 1 :51 AM, 6/22/20]04:27 PM B. Time of Performance The effective date of this Agreement and all rights and duties designated hereunder are contingent upon the timely release of funds for this project in u.s. HUD Community Development Block Grant No. B-09- MC-12-0043. The effective date shall be the date of execution of this Agreement or the date of release of funds by U.S. HUD, whichever is later. The services of the Agency shall commence upon execution of this Agreement or receipt of an Order to Proceed in writing from CID, and shall be undertaken and completed in light of the purposes of this Agreement. In any event, all services, with the exception of NSP obligation requirements, required hereunder shall be completed by the Agency by September 30, 2012. C. Method of Payment The City agrees to make payments and/or to reimburse the Agency for all eligible budgeted costs permitted by Federal, State, and City guidelines. In no event, shall the City provide advance funding to the Agency or any Subcontractor hereunder. Requests by the Agency for direct payments or reimbursements shall be accompanied by proper documentation of expenditures and shall be submitted to CID for approval no later than thirty (30) days after the date the indebtedness was incurred. Payment shall be made by the City of Boynton Beach Finance Department upon proper presentation of invoices and reports approved by the Agency and CID. For purposes of this section, originals of invoices, receipts, or other evidence of indebtedness shall be considered proper documentation. In the case of direct payments, original invoices must be submitted to CID. Proof of payments to vendors must be submitted in the form of cancelled checks paid invoices and delivery slips if applicable, proof of payment must be received if any additional funds are to be disbursed. When original documents cannot be presented, the Agency must adequately justify their absence, in writing, and furnish copies. Invoices shall not be honored if received by the City of Boynton Beach Finance Department later than thirty (30) days after the expiration date of this Agreement, nor will any invoices be honored that predate the commencement date of this agreement. S:\CA\AGMTS\Final NSP Subrecipient Agreement - Boynton Beach CRA c1ean.doc 4 Last saved by swanson I 6/23/20]05:35:57 PM, 6/22/2010 11:5] AM, 6/22/20104:27 PM D. Conditions on which Payment is contingent: 1) Implementation of Project According to Required Procedures The Agency shall implement this Agreement in accordance with applicable Federal, State and City laws, ordinances and codes and with the procedures outlined in the CID Policies, and amendments and additions thereto as may be made from time to time. The Agency is considered a subrecipient under the NSP guidelines and is therefore subject to applicable requirements. The agreement shall be implemented in accordance with NSP program guidelines including, but not limited to statutory obligation and expenditure deadlines, eligible uses and costs, and National Objective compliance requirements. The Federal, State and City laws, ordinances and codes are minimal regulations supplemented by more restrictive guidelines set forth in the CID Policies and Procedures. No reimbursements will be made without evidence of appropriate insurance required by this Agreement on file with CID in accordance with Part IV, Section G of this Agreement. No payments will be made until the agency's personnel policies are approved by the Director of Development Services or his designee CID Manager. No payments for multi-funded projects will be made until a cost allocation plan has been approved by the CID Manager or his designee and placed on file with CID. Should a project receive additional funding after the commencement of this Agreement, the Agency shall notify CID in writing within thirty (30) days of their notification by the funding source and submit an approved cost allocation plan within forty-five (45) days of said official notification. 2) Financial Accountability The City may have a financial system analysis and an internal fiscal control evaluation of the Agency by an independent auditing firm employed by the City or by the City Internal Audit Department at any time the City deems necessary to determine the capability of the Agency to fiscally manage the project in accordance with Federal, State, and City requirements. S:\CA\AGMTS\Final NSP Subrecipient Agreement - Boynton Beach CRA clean.doc 5 Last saved by swanson I 6/23/20105:35:57 PM, 6/22/2010 ] 1 :51 AM, 6/22/20]04:27 PM 3) Subcontracts Any work or services subcontracted hereunder shall be specifically by written contract, written agreement, or purchase order and shall be subject to each provision of this Agreement. Proper documentation in accordance with City, State, and Federal guidelines and regulations must be submitted by the Agency to CID and approved by CID prior to execution of any subcontract hereunder. In addition, all subcontracts shall be subject to Federal, State, and City laws and regulations. None of the work or services covered by this Agreement, including but not limited to consultant work or services, shall be subcontracted or reimbursed without the prior written approval of the CID Manager or his designee. 4) Purchasing All purchasing for services and goods, including capital equipment, shall be made by purchase order or by a written contract and in conformity with the procedures prescribed by the City of Boynton Beach Purchasing Procedures Manual, Federal Management Circulars A-I10 and A-122, incorporated herein by reference. The procurement of services funded by NSP funds shall be subject to the requirements of federal regulations at 24 CFR Part 85. 5) Reports, Audits, and Evaluations Payment will be contingent on the receipt and approval of reports required by this agreement, the satisfactory evaluation of the project by CID and the City and satisfactory audits by the Finance Department of the City and Federal Government if required. All reports (monthly and/or quarterly) will be due within the time prescribed by this Agreement and the attachments hereto following the execution of this Agreement. 6) Additional CID, CITY and U.S. HUD Requirements CID shall have the right under this Agreement to suspend or terminate payments until the Agency complies with any additional conditions that may be imposed by CID, the City or U.S. HUD at any time. S:\CA\AGMTS\Final NSP Subrecipient Agreement - Boynton Beach CRA clean. doc 6 Last saved by swansonl 6/23/2010535:57 PM, 6/22/2010] 1:51 AM, 6/22/20104:27 PM 7) Prior Written Approvals - Summary The following includes, but is not limited to, activities that require the prior written approval of the CID Manager or his designee to be eligible for reimbursement or payment: a) All subcontracts and agreements pursuant to this Agreement; b) All capital equipment expenditures of $1 ,000 or more; c) All out-of-town-travel (travel shall be reimbursed in accordance with the provisions of Florida Statutes, Chapter 112.061); d) All change orders; and e) Requests to utilize uncommitted funds after the expiration of this agreement for programs described in Exhibit A. 8) Program Generated Income All income earned by the Agency from activities financed in whole or in part by NSP funds must be reported to CID. Such income would include, but not be limited to income from service fees, sale of commodities, and rental or usage fees. In addition to reporting said income, the Agency shall report to CID the procedure developed to utilize program income to offset project costs. If program income is used to extend the availability of services provided by the Agency through this Agreement, the prior written approval of the Director of Development or his designee will be required. Accounting and disbursement of program income shall be consistent with the procedures outlined in OMB Circulars A-II 0, and other applicable regulations incorporated herein by reference. 9) Salary Rates and Increases All rates of pay and pay increases paid out of NSP funds, whether they be for the reason of merit or cost of living increase, are subject to CID's prior approval. Pay rates and increases paid out of NSP funds shall be consistent with the City of Boynton Beach's Personnel Department, and subject to prior established guidelines. S:\CA\AGMTS\Final NSP Subrecipient Agreement - Boynton Beach CRA c1ean.doc 7 Last saved by swanson I 6/23/20]05:35:57 PM, 6/22/2010 11 :51 AM, 6/22/20104:27 PM PART IV GENERAL CONDITIONS A. Opportunities for Residents and Civil Rights Compliance The Agency agrees that no person shall, on the grounds of race, color, mental or physical disability, national origin, religion or sex be excluded from the benefits of, or be subjected to discrimination under any activity carried out by the performance of this Agreement. Upon receipt of evidence of such discrimination, the City shall have the right to terminate this Agreement. To the greatest feasible extent, lower-income residents of the project areas shall be given opportunities for training and employment; and to the greatest feasible extent eligible business concerns located in or owned in substantial part by persons residing in the project areas shall be awarded contracts in connection with the project. B. Opportunities for Small, and Minority/Women Owned Business Enterprises In the procurement of supplies, equipment, construction, or services to implement this Agreement, the Agency shall make a positive effort to utilize small and minority/women-owned business enterprises as sources of supplies and services, and provide these enterprises the maximum feasible opportunity to compete for contracts to be performed pursuant to this Agreement. In the maximum extent feasible, these small and minority/women-owned business enterprises shall be located in or owned by residents of the NSP areas designated by the City of Boynton Beach in its Annual Consolidated Plan approved by U. S. HUD. At a minimum, the Agency shall comply with the Section 3 Clause of the Housing and Community Development Act of 1968. C. Proiect Beneficiaries 100% of the houses to be built as a result of the project shall be made available for sale to low- and moderate-income persons at or below 120% of the area median. Since the project is located in an entitlement city, as defined by U.S. HUD, or serves beneficiaries citywide, all of the beneficiaries assisted through the use of funds under this Agreement must reside in the City of Boynton Beach. The project funded under this agreement shall assist beneficiaries as defined above for the time period designated in Exhibit "A" ofthis Agreement. The Agency shall maintain documentation in its files S:\CA\AGMTS\Final NSP Subrecipient Agreement - Boynton Beach CRA c1ean.doc 8 Last saved by swanson I 6/23/20]05:35:57 PM, 6/22/201011:51 AM, 6/22/20104:27 PM demonstrating that it has met the above requirement and shall provide written verification of compliance to CID upon CID' s request. D. Evaluation and Monitoring The Agency agrees that CID will carry out periodic monitoring and evaluation activities as determined necessary by CID or the City and that the continuation of this Agreement is dependent upon satisfactory evaluation conclusions. Such evaluation will be based on the terms of this Agreement, comparisons of planned versus actual progress relating to project scheduling, budgets, audit reports and output measures. The Agency agrees to furnish upon request to CID, the City or City's designees and make copies or transcriptions of such records and information in connection with services to be provided hereunder. The Agency shall submit on a monthly and/or quarterly basis, and at other times upon the request of CID, information and status reports required by CID, the City, or u.s. HUD on forms approved by CID. Grantee Performance Reports 4949.2 (Activity Summary) and 4949.5 (Direct Benefit Activities) will be required. This information will include: (1) detailed information on the status of the project(s) and status of funds; (2) the number of clients served by census tracts; (3) the number of low-and moderate-income persons; (4) racial breakdown; and (5) the number of female-headed households. In the event that this Agreement should provide funds for capital improvements projects, the Agency shall be responsible for providing all necessary and pertinent information to CID in order to allow for completion of Grantee Performance Reports. However, this exception shall apply only to capital improvements activities. E. Audits and Inspections At any time during normal business hours and as often as CID, the City, U.S. HUD or the Comptroller General of the United States may deem necessary, there shall be made available by the Agency to CID, the City, U.S. HUD or the Comptroller General for examination all its records with respect to all matters covered by this Agreement. The Agency will permit CID, the City, U.S. HUD, or the Comptroller General to audit and examine all contracts, invoices, materials, payroll, records of personnel, conditions of employment and other data relating to all matters covered by this Agreement. Nonprofit organizations that expend $500,000 or more annually in federal awards shall have a single or program specific audit conducted in accordance with OMB A-I33. Nonprofit organizations expending S.\CA\AGMTS\Final NSP Subrecipient Agreement - Boynton Beach CRA clean. doc 9 Last saved by swanson I 6/23/20105:35:57 PM, 6/22/201011:51 AM, 6/22/20]04:27 PM federal awards of $500,000 or more under only one federal program may elect to have a program specific audit performed audit performed, in accordance with OMB A-I33. Nonprofit organizations that expend less than $500,000 annually in federal awards shall be exempt from an audit conducted in accordance with OMB A-I33, although their records must be available for review. These agencies are required to submit "reduced scope" audits (e.g. financial audits, performance audits). They may choose instead of a reduced scope audit to have a program audit conducted for each federal award in accordance with federal laws and regulations governing the programs in which they participate. Records must be available for review or audit by appropriate officials of the General Accounting Office and other Federal and city agencies. The City will require when applicable, in accordance with OMB Circulars A-II0, A-B3 and other applicable regulations, the Agency to submit an audit by a Certified Public Account of the Agency's choosing, subject to CID within one hundred and eighty (180) days after the expiration of this agreement. The cost of said audit should be borne by the Agency. The City will be responsible for providing technical assistance to the Agency, as deemed necessary by either party. F. Data Becomes City Property All reports, plans, surveys, information, documents, maps, and other data procedures developed, prepared, assembled or completed by the Agency for the purpose of this Agreement shall become the property of the City without restriction, reservation or limitation of their use and shall be made available by the Agency at any time upon request by the City or CID. Upon completion of all work contemplated under this Agreement, copies of all documents and records relating to this Agreement shall be surrendered to CID, if requested. In any event, the Agency shall keep all documents and records for three (3) years after expiration of this Agreement. G. Indemnification and Insurance The Agency recognizes that for the purposes set forth in this Agreement, it is an independent Contractor and stipulates or implies no affiliation between itself and the City. The Agency shall indemnify and save the City harmless from any and all claims, losses, damages and causes of actions which may arise out of S:\CA\AGMTS\Final NSP Subrecipient Agreement - Boynton Beach CRA c1ean.doc 10 Last saved by swanson I 6/23/20105:3557 PM, 6/22/2010] 1 :51 AM, 6/22/20]04:27 PM the performance of this Agreement, including costs and expenses for or on account of any or all suits actual or threatened. The Agency shall pay all claims and losses of any nature whatsoever in connection therewith including costs and attorney's fees, and shall defend all suits relating to this Agreement, and shall pay all costs and judgments which may result. In particular, the Agency will hold the City harmless and will indemnify the City for funds which the City is obligated to refund the Federal Government arising out of the conduct of activities and administration of the Agency. The Agency's aforesaid indemnity and hold harmless obligations, or portions or applications thereof, shall apply to the fullest extent permitted by law, but in no event shall they apply to liability caused by the negligence or willful misconduct of the City, its respective agents, servants, employees or officers, nor shall the liability limits set forth in 768.28, Florida Statutes, be waived. At all times during the terms of this Agreement, the Agency shall maintain in force Comprehensive General Liability Insurance, including coverage for personal injury, bodily injury, property damage and contractual liability to support the indemnification agreement contained herein. Such insurance shall be in an amount of not less than $1,000,000.00 combined single limit, and coverage shall be evidenced by a Certificate of Insurance, which must also provide documentation or workers compensation for your employees to statutory limits. Agency shall provide for thirty (30) days notice of cancellation, non- renewal, or any adverse change in coverage. H. Maintenance of Effort The intent and purpose of this Agreement is to increase the availability of the Agency's services. This Agreement is supplemental to and not to substitute for or replace existing or planned projects or activities of the Agency. The Agency agrees, subject to availability of funds, to maintain a level of activities and expenditures, planned or existing, for projects similar to those being assisted under this Agreement which is not less than that level existing prior to this Agreement. I. Conflict of Interest The Agency agrees to abide by and be governed by Office of Management and Budget Circulars A-II 0 pursuant to conflict of interest. Said circulars are attached hereto and incorporated by reference herein. The agency further covenants that no person who presently exercises any functions or responsibilities in connection with the NSP Project, has any personal financial interest, direct or indirect, in the activities provided under this agreement which would conflict in any manner or degree with the performance of this S:\CA\AGMTS\Final NSP Subrecipient Agreement - Boynton Beach CRA clean. doc 11 Last saved by swansonl 6/23/20105:35:57 PM, 6/22/2010] 1:5] AM, 6/22/2010 4:27 PM Agreement and that no person having any conflict of interest shall be employed by or subcontracted by the Agency. Any possible conflict of interest on the part of the Agency or its employees shall be disclosed in writing to CID provided, however, that this paragraph shall be interpreted in such a manner so as not to unreasonably impede the statutory requirement, that maximum opportunity be provided for employment of and participation of lower-income residents of the project target area. J. Citizen Participation Agency shall cooperate with CID in informing the appropriate CDBG Citizen Participation Structures, including the appropriate Area Committees, of the activities of the Agency in carrying out the provisions of this Agreement. Representatives of the Agency shall attend meetings of the appropriate Committees and Citizen Participation Structures upon the request of CID or the City. K. Proiect Publicity All facilities purchased or constructed pursuant to this Agreement should be clearly identified as to funding source. The Agency will include a reference to the financial support herein provided by City of Boynton Beach and/or HUD in all publications and publicity. In addition, the agency will make a good faith effort to recognize City's support for all activities made possible with fund available under this agreement. L. Contract Documents The following documents are herein incorporated by reference and made part hereof, and shall constitute and be referred to as the contract; and all of said documents taken as a whole constitute the contract between the parties hereto and are as fully a part of the contract as if they were set forth verbatim and at length herein: I) This Agreement including its Exhibits 2) Office of Management and Budget Circulars A-I 10, A-122 and A-B3 3) Title VI of the Civil Rights Act of 1964, Age Discrimination Act of 1964, Age Discrimination Act of 1975, and Title II of Title VI of the Civil Rights Act of 1964, Age Discrimination the Americans With Disabilities Act of 1990 4) Executive Orders 11246, 11478, 11625, 12432, the Davis Bacon Act of 1988 and Section 109 of the Hosing and Community Development Act of 1974 S:\CA\AGMTS\Final NSP Subrecipient Agreement - Boynton Beach CRA clean.doc 12 Last saved by swanson I 6/23/20105:3557 PM, 6/22/201011:51 AM, 6/22/20104:27 PM 5) Executive Orders 11063,12259,12892, the Fair Housing Act of 1988 and Section 109 of the Housing and Development Act of 1974 6) Florida Statutes, Chapter 112 and 768.28 7) City of Boynton Beach Purchasing Ordinance 8) Federal Community Development Block Grant Regulations (24 CFR Part 570), as amended 9) Federal Neighborhood Stabilization Program Regulations 10) The Agency's Personnel Policies and Job Descriptions 11 ) The enacting and implementing legislation which created the Agency 12) The Agency's Rules of Governance 13) The Agency's Certificate oflnsurance and Bonding 14) Current list of the Agency's Officers and members of Board of Directors 15) All of these documents are filed and will be maintained on file at the office of the Agency. One (I) copy of the Agreement, its Exhibits and items 2 through 9 incorporated by reference will be furnished to the Agency by CID. Items 10 through 14 above shall be transmitted to CID by the Agency. M. Termination In the event of termination for any of the following all finished or unfinished documents, data studies, surveys, drawings, maps, models, photographs, reports prepared and capital equipment secured by the Agency with NSP funds under this Agreement shall be returned to the City of Boynton Beach. In the event of termination, the Agency shall not be relieved of liability to the City for damages sustained by the City by virtue of any breach of the Agreement by the Agency, and the City may withhold any payment to the Agency until such time as the exact amount of damages due to the City from the Agency is determined. I) Termination for Cause If through any cause the Agency shall fail to fulfill in a timely and proper manner its obligations under this Agreement, or if the Agency shall violate any of the covenants, agreements, or stipulations of this Agreement, the City shall provide the Agency with written notice specifying the exact nature of the failure or violation. Thereafter, the Agency has (30) S:\CA\AGMTS\Final NSP Subrecipient Agreement - Boynton Beach CRA clean doc 13 Last saved by swansonl 6/23/20105:35:57 PM, 6/22/201011 :51 AM, 6/22/20104:27 PM calendar days to remedy the failure or violation. In the event that the Agency does not remedy the failure or violation, within the thirty (30) day calendar period, the City then has the right to terminate this Agreement or suspend payment in whole or part by giving written notice to the Agency of such termination or suspension of payment and specify the effective date thereof, at least five (5) working days before the effective date of termination or suspension. 2) Termination for Convenience At any time during the term of this Agreement, either party may, at its option and for any reason, terminate this Agreement upon ten (10) working days written notice to the other party. Upon termination, the City shall pay the Agency for services rendered pursuant to this Agreement through and including the date of termination. 3) In the event the grant to the City under Title I of the Housing and Community Development Act of 1974 (as amended) is suspended or terminated, this Agreement shall be suspended or terminated effective on the date U.S. HUD specifies. N. Reversion of Assets. Upon expiration/termination of this Agreement, the Agency must transfer to the City any NSP Funds on hand at the time of expiration/termination and any accounts receivable attributable to the use of NSP funds. O. National Obiective Compliance In order to satisfy the NSP requirements, the Agency must satisfy the National Objective of providing permanent residential structures that will be occupied by a household whose income is at or below 120% of area median income (LMMH). All Units must be occupied by those meeting the low- and moderate-income requirement. The above National Objective must be satisfied by the Agency no later than September 30, 2012 and by the City no later than September 30,2013. If the National Objective is not met, the NSP funding allocated under this Agreement must be repaid to the City by the Agency. The Agency's September 30, 2012 deadline shall be extended to September 30,2013 provided the project is under construction and proceeding on a completion schedule to meet the National Objective. S:\CA\AGMTS\Final NSP Subrecipient Agreement - Boynton Beach CRA clean. doc 14 Last saved by swansonl 6/23/20]05:35:57 PM, 6/22/201011:51 AM, 6/22/20104:27 PM P. Recapture of Funds The City reserves the right to recapture funds in the event that the Agency shall fail: (i) to meet the to comply with the terms of this Agreement including meeting a National Objective, or (ii) to accept conditions imposed by the CITY at the direction of the federal, state and local agencies, or (iii) award and enter into a contract with a contractor to provide the infrastructure to the housing project by August 11, 2010 and complete the work by September 30, 2012 unless extended to September 30, 2013 as provided in Paragraph 0 above, or (iv) process and file Davis-Bacon disclosure documents required. Q. Severability of Provisions If any provision of this Agreement is held invalid, the remainder of this Agreement shall not be affected thereby if such remainder would then continue to conform to the terms and requirements of applicable law. R. Leveraging The Agency agrees to seek additional supportive or replacement funding from at least two (2) other funding sources. This will allow, to the greatest extent possible, the leveraging of U.S. HUD funds. Proposals to other agencies will be made in writing and a copy of such provided to CID. S. Amendments The City may, at its discretion, amend this Agreement to conform to changes required by Federal, State, County, or U.S. HUD guidelines, directives and objectives. Such amendments shall be incorporated by written amendment as part of this Agreement and shall be subject to approval by the City of Boynton Beach Commissioners. Except as otherwise provided herein, no amendment to this Agreement shall be binding on either party unless in writing, approved by the City Commission and signed by both parties. S:\CA\AGMTS\Final NSP Subrecipient Agreement - Boynton Beach CRA c1ean.doc 15 Last saved by swanson I 6/23/20]05:35:57 PM, 6/22/201011:51 AM, 6/22/20104:27 PM T. Notice All notice required to be given under this Agreement shall be sufficient when delivered to CID at its office at 100 E. Boynton Beach Blvd, Boynton Beach, Florida, 33435, and to the Agency when delivered to its office at the address listed on Page One of this Agreement. U. Independent Contractor Except as duly noted in Part III, Section D(9), the Agency agrees that, in all matters relating to this Agreement, it will be acting a an independent contractor and that its employees are not City of Boynton Beach employees and are not subject to the City Provisions of the law applicable to City employees relative to employment compensation and employee benefits. V. Public Entity Crimes As provided in F.S. 287.132-133, by entering into this contractor or performing any work in furtherance hereof, the contractor certifies that it, its affiliates, suppliers, subcontractors and consultants who will perform hereunder have not been placed on the convicted vendor list maintained by the State of Florida Department of Management Services within the 36 months immediately preceding the date hereof. F. S. 287. 133(3)(a) requires this notice. W. Counterparts of This Agreement This Agreement, consisting of fourteen enumerated pages and the exhibits referenced herein, shall be executed in two (2) counterparts, each of which shall be deemed to be an original, and such counterparts will constitute one and the same instrument. S:\CA\AGMTS\Final NSP Subrecipient Agreement - Boynton Beach CRA clean.doc 16 Last saved by swansonl 6/23/20105:35:57 PM, 6/22/2010 ] 1:5] AM, 6/22/20104:27 PM WITNESS our Hands and Seals on the JD daYOf~,2010. CITY OF BOYNTON BEACH, FLORIDA BY: ATTEST: ~ NET PRAINITO, MMC ITY CLERK [CORPORATE SEAL] BOYNTON BEACH COMMUNITY REDE~ AGENCY By: -'- Approved by, . Approved as to form: ~'l;f- TTORNEY S:\CA\AGMTS\Final NSP Subrecipient Agreement - Boynton Beach CRA c1ean.doc 17 Last saved by swanson I 6/23/20]05:35:57 PM, 6/22/20]011:5] AM, 6/22/2010 4:27 PM BOYNTON BEACH COMMUNITY REDEVELOPMENT AGENCY EXHIBIT A WORK NARRATIVE THE AGENCY AGREES TO: A. PROFESSIONAL SERVICES: The Agency shall advertise and procure the services of an engineering or architectural consultant for this project to provide design services to create plans and specifications for the below described improvements to the Ocean Breeze site. The consultant and/or CRA staff shall provide construction management services, prepare bid specifications, obtain and review bids, prepare contract documents, inspect work in progress, recommend payment to contractor and provide other professional services customarily provided by similar professionals. The engineering or architectural consultant for this project shall also provide appropriate certifications required upon completion of the project. The cost for engineering or architectural services shall not be paid from NSP funding under this agreement CONSTRUCTION OF IMPROVEMENTS: Upon completion of engineering designs and specifications, the Agency shall procure the services of a general contract to construct the required improvements to the site. The procurement process of the general contractor shall incorporate any subconsultants which shall be funded under the contract. (Note: The contractor's compensation shall not be based on "a percentage of 'construction-costs, nor -a- cost plus percentage of cost). (a) PRE-REQUISITE TO ADVERTISEMENT: Before advertising its Request for Bids for construction services, the Agency shall submit the following to CID and obtain CID's approval to proceed with such advertising: 1 A copy of the bid document that describes the scope of work, that contains the public entity crimes statement required by F.S. 287.133, that contains all factors to evaluate respondents and their relative importance/weight, and documentation showing that ranking forms reflecting the evaluation factors have been developed and that a written method for conducting evaluations and selecting firms have been developed. (b) PRE-REQUISITE TO CONTRACT AWARD: After advertising its bid, evaluating proposals, the Agency shall obtain CID's approval prior to awarding the contract for construction services to be funded through this Agreement. In this regard, the Agency shall provide a letter to CID transmitting the following: 1. A copy of the RFP's public notice (allowing a minimum of 12 days to respond) as published in a newspaper of regional circulation, with the newspaper's affidavit of publication. S:\CA\AGMTS\Final NSP Subrecipient Agreement - Boynton Beach CRA c1ean.doc 18 Last saved by swanson 1 6/23/20105:35:57 PM, 6/22/2010 ] 1:51 AM, 6/22/20]04:27 PM 2. A list of entities to whom a notification of the bid was provided 3. A list of firms that submitted bid proposals. 4. A copy of the completed evaluation/ranking forms, including any ranking summary document. 5. A copy of the completed Cost Summary for Negotiated Contracts form, for the selected contractor. 6. A copy of the Truth-in-Negotiation certificate signed by the contractorfor contracts over $150,000. 7. A statement advising if protests were filed and a copy of each protest and documentation of its resolution. The construction contract shall contain all clauses required by 24 CFR 85; including remedies for breach of contract, termination for cause and termination for convenience, access by the Agency, U.S. Comptroller General, U.S. HUD, the State, and their authorized representatives to the firm's records related to the contract, and a requirement for retention, by the firm, of all records related to the contract for 3 years after final payment. Additionally, a contract price adjustment clause if the firm executed a Truth-in-Negotiation certificate (see above). After awarding the contract for construction services, the Agency shall obtain CID's approval prior to executing any change orders to such contract: Furthermore, after awarding such contract, the Agency shall provide CID with a copy of the executed contract and the Agency's Board-of Directors minutes dealing with contract award. Finally, in the instance where the Agency desires to award a contract for construction services in excess of $25,000, and where one firm only responded to the bid and was considered for award, the Agency, through CID, shall comply with the State's requirements for pre-approval of contract award. (c) PRE-REQUISITE TO INITIATION OF SERVICES AWARDED: The Agency shall obtain CID's approval prior to authorizing the contractor to begin the WOlk. B. PROJECT SCOPE: The scope of this project subject to NSP funding availability shall include the following items all undertaken at the Agency's property, for the project known as Ocean Breeze, located on Seacrest Blvd. between Northwest ih and 8th Streets in Boynton Beach, Florida. Legal Description attached as Exhibit "E". . Supply and install physical infrastructure improvements, including, but not limited to streets, sidewalks, water lines, sewer lines and street lighting; . Supply surveymg, engmeermg, and other professional services related to the improvements. . Supply and install the above and any other improvements that will facilitate the construction of single family housing on the site. S:\CA\AGMTS\Final NSP Subrecipient Agreement - Boynton Beach CRA c1ean.doc 19 Last saved by swanson I 6/23/20]05:35:57 PM, 6/22/2010 I ]:51 AM, 6/22/20104:27 PM NOTE 1: Construction work that has been approved for bidding by CID shall be advertised for bid for a period of not less than twelve (12) days; NOTE 2: The Agency shall prioritize the work in the project, and shall bid such work in a manner that would allow the receipt of itemized costs from bidders which would then allow the award of items that can be funded by the budget provided that the extent of work awarded will result in functioning improvements in the opinion of CID. NOTE 3: Should the construction contract amount for this project exceed the amount to be funded by the City for construction costs through this Agreement, then the Agency shall fund all amounts in excess of the amount to be funded by the City. NOTE 4: The Agency shall not request reimbursement from CID for materials or equipment received and stored on the project site or elsewhere. The Agency shall only request reimbursement for materials and equipment that have been installed. NOTE 5: Upon completion of the project, the Agency shall cause its architectural/engineering consultant to provide CID a written certification. Such certification shall indicate that the project has met the specifications of the design, as may have been amended by change order, and the date of completion of construction. The Agency further agrees that CID, in consultation with any parties it deems necessary, shall be the final arbiter on the Agency's compliance with the above. C. DAVIS-BACON ACT: The Agency shall obtain a Davis-Bacon wage decision for the project prior to advertising the construction work. The Agency shall incorporate a copy of the Davis-Bacon wage decision and disclose the requirements of the Davis-Bacon Act in its construction bid solicitation and contract. D. BONDING REQUIREMENTS: The Agency shall comply with the requirements of OMB Circular A-IIO and 24CFR Part 84 in regard to bid guarantees, performance and payment bonds. E. CONSTRUCTION PAYMENT RET AINAGE: The Agency shall apply a retainage of at least 5% on all construction draws which retainages shall be released in conjunction with the final draw upon satisfactory completion ofthe project. The Agency agrees not to release such retainages until it has obtained approval from CID that the contractor and subcontractors have complied with the requirements of the Davis-Bacon Act. F. WORK SCHEDULE: The time frame for completion of the outlined activities shall be September 30,2012. G. REPORTS: The Agency shall submit to CID reports as described below: (a) MONTHL Y REPORT: The Agency shall submit to CID detailed monthliprogress reports in the form provided as Exhibit B to this Agreement. Each report must account for the total activity for which the Agency is funded under this S:\CA\AGMTS\Final NSP Subrecipient Agreement - Boynton Beach eRA c1ean.doc 20 Last saved by swanson I 6/23/20105:35:57 PM, 6/22/201011:51 AM, 6/22/20104:27 PM Agreement. The progress reports shall be used by CID to assess the Agency's progress in implementing the project. (b) SEMI-ANNUAL REPORT: The Agency shall submit to CID detailed semi- annual reports in the format provided by CID. (c) OTHER REPORTS: The Agency agrees to submit to CID any other reports required in connection with activities undertaken through this Agreement including, but not limited to, reports associated with Section 3. I SECTION 3 REQUIREMENTS: The Agency agrees to comply with all Section 3 requirements Applicable to contracts funded through this Agreement. Information on Section 3 is available at CID upon request. The Agency shall include the following, referred to as the Section 3 Clause, in every solicitation and every contract for every Section 3 covered project: Section 3 Clause (a) The work to be performed under this contract is subject to the requirements of Section 3 of the Housing and Urban Development Act of 1968, as amended, 12 U. S.c. 1701 u (Section 3). The purpose of Section 3 is to ensure that employment and other economIC opportunities generated by HUD assistance or HUD-assisted proj ects covered by Section 3 shall, to the greatest extent feasible, be directed to low-and very low-income persons, particularly persons who are recipients of HUD assistance for housing. (b) The parties to this contract agree to comply with HUD's requirements in 24 CFR Part 135, which implement Section 3. As evidenced by their execution of this contract, the parties to this contract certify that they are under no contractual or other impediment that would prevent them from complying with the Part 135 regulations. (c) The contractor agrees to send to each labor organization or representative of workers with which the contractor has a collective bargaining agreement or other understanding, if any, a notice advising the labor organization or workers representative of the contractor's commitment under this Section 3 clause, and will post copies of the notice in conspicuous places at the work site where both employees and applicants for training and employment positions can see the notice. The notice shall describe the Section 3 preference, shall set forth minimum number and job titles subject to hire, availability of apprenticeship and training positions, the qualifications for each; and the name and location of the person(s) taking applications for each of the positions; and the anticipated date the work shall begin. (d) The contractor agrees to-include this Section 3 clause in every subcontract subject to compliance with regulations in 24 CFR Part 135, and agrees to take appropriate action, as provided in an applicable provision of the subcontract or in this Section 3 clause, upon a finding that the subcontractor is in violation of the regulations in 24 CFR Part 135. The contractor will not subcontract with any subcontractor where the contractor has notice or S:\CA\AGMTS\Final NSP Subrecipient Agreement - Boynton Beach CRA clean.doc 21 Last saved by swanson I 6/23/20105:35:57 PM, 6/22/201011 :51 AM, 6/22/20]04:27 PM knowledge that the subcontractor has been found in violation of the regulations in 24 CFR Part 135. (e) The contractor will certify that any vacant employment positions, including training positions, that are filled (1) after the contractor is selected but before the contract is executed, and (2) with persons other than those to whom the regulations of 24 CFR Part 135 require employment opportunities to be directed, were not filled to circumvent the contractor's obligations under 24 CFR Part 135. (f) Noncompliance with HUD's regulations in 24 CFR Part 135 may result in sanctions, termination of this contract for default, and debarment or suspension from future HUD assisted contracts. THE CITY AGREES TO: A. Provide funding for the above specified improvements as described above in "Project Scope during the term of this Agreement, in the amount of $400,000 in NSP funding. However, the City shall not disburse any funding for the construction work until the Agency provides documentation showing that sufficient funds are available to complete the specified improvements. B. Provide project administration and inspection to the Agency to ensure compliance with U.S. HUD and the Department of Labor, and applicable State, Federal and City laws and regulations. C. Monitor the Agency at any time during the term of this Agreement. Visits may be scheduled or unscheduled as determined by CID, be conducted by CID staff or its contractor, and will serve to ensure compliance with State and U.S. Department of HUD regulations, that planned activities are conducted in a timely manner, and to verify the accuracy of reporting to CID on program activities. D. The City shall perform an environmental review of the project and review and approve bid information for the work. The City shall also perform Davis Bacon Act Labor Standards monitoring and enforcement. The City shall review requests by the Agency for expenditures on the above items prior to undertaking the services associated with them, and approve any such expenditure it deems appropriate for this project. S:\CA\AGMTS\Fina1 NSP Subrecipient Agreement - Boynton Beach CRA clean.doc 22 Last saved by swanson I 6/23/20105:35:57 PM, 6/22/2010 II :51 AM, 6/22/20104:27 PM BOYNTON BEACH COMMUNITY REDEVELOPMENT AGENCY EXHIBIT B LETTERHEAD STATIONERY To: Octavia S. Sherrod, Community Improvement Manager Community Improvement Division City of Boynton Beach P. O. Box 310 Boynton Beach, Florida 33425-0310 From: [Name of Sub-grantee] [Address] [Telephone] Subject: INVOICE REIMBURSEMENT Attached, you will find Invoice # , requesting reimbursement in the amount of $ . The expenditures for this invoice cover the period [date] through [date]. You will also find attached back up, original documentation relating to the expenditures being involved. ----------------------------------------------------------- APPROVED FOR PAYMENT - Octavia S. Sherrod EXHIBIT C CITY OF BOYNTON BEACH - DEPARTMENT OF DEVELOPMENT COMMUNITY IMPROVEMENT DIVISION POLICY GUIDELINES FOR NEIGHBORHOOD STABILIZATION PROGRAM- OWNERSHIP I. Program Description The "Neighborhood Stabilization Program" (NSP) is designed to improve neig~borhoods by reducing the number of abandoned and foreclosed homes. The NON-PROFIT DEVELOPER will identify and take title to the NSP Homes. The NON-PROFIT DEVELOPER will rehabilitate the NSP Homes sell them to Eligible Families. II. Definitions "Broker" means an individual who possesses a real estate broker's license and has been hired by or contracted by NON-PROFIT DEVELOPER to identify the homes that will be purchased with Neighborhood Stabilization Program funds. "CDBG" means the Community Development Block Grant "Construction" means the construction of a new home or the rehabilitation of an existing home. "CITY" means The City of Boynton Beach "Developer's Fee" means the payment to the Non-Profit Developer as defined in Section VI of these guidelines. "Development Director" means the Director of the Development Department or designee. "Eligible Family" means a family who is eligible to participate in the Neighborhood Stabilization Program as defined in Section X of these guidelines. "Eligible Neighborhood" means an area where Neighborhood Stabilization Grant funds may be used to purchase homes as identified in the Neighborhood Stabilization Grant application that was approved by the Department of Housing and Urban Development. "Low Income Eligible Family" - means a family with an income less than 50% of the Area Median Income as determined by HUD and who is eligible to participate in the Neighborhood Stabilization Program as defined in Section X of these guidelines. "NON-PROFIT DEVELOPER" means a non-profit entity that has been approved to participate in the Neighborhood Stabilization Program as designated in Section V of these guidelines. "NSP" means the Neighborhood Stabilization Program. "NSP Home" means an abandoned or foreclosed home, condominium or townhome purchased with Neighborhood Stabilization Program funds. "CID" means the Boynton Beach Community Improvement Division. "Seller" means the current owner of an abandoned or foreclosed property being acquired as an NSP Home. "Subsidy" means the amount of NSP funds that are used by the CITY to make the NSP Home affordable to an Eligible Family. Subsidy may include the Down Payment Assistance, Closing Costs and any grant funds provided to the Community Improvement Division of The City of Boynton Beach. In cases where the applicant receives a 0% intere5t rate loan, the net present value of the 0% loan will be Subsidy. The 60 day delivery rate for FNMA for a 30 year mortgage will be used to calculate the net present value of the interest rate. "Current Market Appraisal Value" means the value of a foreclosed upon home that is established through an appraisal made by a qualified appraiser and completed within 60 days after the final offer is made to purchase the property. III. Eligible Uses of NSP Funds NSP Funds may be used for the following eligible uses: l. Acquisition of foreclosed or abandoned homes. 2. Construction costs including the installation of energy conservation improvements. 3. Developer's Fees. 4. Soft costs, such as appraisals, surveys and all other due diligence investigations. 5. Closing costs associated with the sale. I 6. Other eligible uses as approved by the Development DiroctorCommunity Development Manager. All NSP funds must be spent in compliance with NSP and CDBG rules and regulations. IV. Maximum Investment Per Unit The maximum amount of NSP funds that may be spent on anyone NSP Home will be consistent with the City's Local Housing Assistance guidelines, plus the developer fee as described in Section VI. V. Maximum Sales Price The maximum sales price of NSP homes shall be no more than the cost to acquire and redevelop or rehabilitate the home or property up to the standards established by CITY. VI. Non-Profit Developers The City Commission of the City of Boynton Beach is authorized to designate a non-profit agency as a NON-PROFIT DEVELOPER if it meets the following conditions: 1. It must have received a tax-exempt ruling from the Internal Revenue Service under Section 501 (c) (3) or (4) of the Internal Revenue Code. 2. It must have financial accountability standards that permit The City of Boynton Beach to account for and audit the awarded funds. 3. It must have a "Certificate of Good Standing" from the Florida Division of Corporations. The NON-PROFIT DEVELOPER will be required to perform the following services: 1. Obtaining title to the NSP Home directly from the Sellerby either: ;) ...--...e,..-....Purc hasing the hBf:Ae-GifeG:fty.ffem.-e-~ 3; b. Accepting the assignment of a purchase contract from The City of g0YA-k>R-.g.e~ 4.Purchasing a home from The City of Boynton Beach. 2. If the NSP Home is to be rehabilitated, in coordination with CID staff, determining the repairs that will be needed on the NSP Home. 3. Selecting and managing the construction contractor. The NON-PROFIT DEVELOPER must make sure that the contractor costs are reasonable and in compliance with federal law. The NON-PROFIT DEVELOPER will, in conjunction with CID staff, be expected to conduct regular inspections during the construction to insure that all repairs meet the City of Boynton Beach's Rehabilitation Standards, 4. Receiving invoices from the contractor, making sure that all requested payments are for completed work and submitting payment requests to the CID. 5. Keeping the lot mowed and the exterior landscaping maintained. 6. Paying the costs on the NSP Home while the NON-PROFIT DEVELOPER owns the property including the cost of the utilities, taxes and insurance. 7. Identifying the Eligible Family that will purchase the NSP Home and verifying that they meet the income and other eligibility requirements of the NSP program. 8. Working with the Eligible Families to resolve any credit issues and making sure that they qualify for a first mortgage on the NSP Home. 9. Identifying a suitable lender who will make the first mortgage on the NSP Home. The NON-PROFIT DEVELOPER should identify a lender that will provide the best financing for the Eligible Family taking into account the mortgage rate and other fees charged by the financial institution. 10. Arranging for and coordinating the sale of the NSP Home. 11. Insuring that the Eligible Family is aware of a tax benefits that the Eligible Family may be eligible to receive. The NON-PROFIT DEVELOPER will be required to maintain detailed financial and program records related to the Acquisition, construction and Sale of the NSP Property to both insure that the CITY is in compliance with all CDBG and NSP rules and regulations and to allow the CITY to evaluate both the performance of the NON-PROFIT DEVELOPER and the NSP Program. VII. Developer's Fee In recognition that the NON-PROFIT DEVELOPER will incur expenses for the services I contained in Section V, the CITY will pay the successful NON-PROFIT DEVELOPER a Developer's Fee. The Developer's Fee for each NSP Home will be an amount not to I exceed thirteen percent (13%) of the total development cost. The Developer's Fee will be distributed as follows: Amount paid at closing when the NON-PROFIT DEVELOPER obtains title to the NSP Home - thirty three percent (33%) of the Developer's Fee. Amount paid when the NSP Home is sold to and when title transfers to an Eligible Family - the remaining sixty seven percent (67%) of the Developer's Fee. Any Realtor's fee paid by the NON-PROFIT DEVELOPER on the sale of the NSP Home must be paid from the Developer's Fee. The NON-PROFIT DEVELOPER has the option to accept or decline the Developer's Fee. VIII. Acquisition of NSP Homes The NON-PROFIT DEVELOPER will identify the homes that will be purchased with NSP funds. All NSP Homes must be located in an Eligible Neighborhood and will be selected based upon the following principles: 1. The proximity to employment opportunities. 2. The proximity to public transportation. 3. The proximity to needed commercial centers. 4. The housing cost to the end user - including whether the unit has access to public water and sewer 5. The discount from market value offered by the lender I 6. Hie home will be located in the Northwest and Northeast Quadrants of the City ("Eliqible Neiqhborhood") The NON-PROFIT DEVELOPER must have a current appraisal (not more than 60 days old) before making a final offer to purchase a NSP Home. The amount paid for each NSP Home must be at a discount consistent with federal law. The property acquisition must be made in conformance with federal law and the NON-PROFIT DEVELOPER must disclose the appraisal amount, the amount of the offer and inform the seller that if the NON- PROFIT DEVELOPER is unable to agree on a purchase price that the CITY will not attempt to acquire the property through the use of eminent domain. NSP Homes more than 50 years old must be submitted to the State Housing Preservation Officer to determine if they are eligible to be placed on the Federql Historic Register. NSP Homes built before 1978 must be analyzed to determine what actions may be necessary to comply with the federal lead based paint regulations. The seller of each NSP home must certify that they complied with the Tenant Protection Provisions applicable to the NSP program. No NSP Home may be purchased from the person or entity that will develop the property or any person or entity related thereto. IX. Acquisition by Non-Profit Developers The NON-PROFIT DEVELOPER will take title to the NSP Home using NSP grant funds for the amount negotiated. The NON-PROFIT DEVELOPER must demonstrate that it has the capability to receive the NSP Home. Prior to taking title to any NSP Home, the NON-PROFIT DEVELOPER must submit I to the Development DirectorCommunity Development Manager the following information: 1. A marketing plan describing how the NSP Home will be sold. 2. A project schedule showing that the NSP Homes will be rehabilitated and sold within 12 months. 3. A detailed budget for the project that includes all anticipated costs of the project including the acquisition, construction and closing costs. X. Construction Management The NON-PROFIT DEVELOPER will be responsible for the award and administration of the construction contract. The NON-PROFIT DEVELOPER shall take all necessary affirmative steps to assure that small firms, minority owned firms, women owned firms, and labor surplus area firms are used when possible. Affirmative steps shall include: 1. Placing qualified small and minority businesses and women's business enterprises on solicitation lists; 2. Assuring that small and minority businesses, and women's business enterprises are solicited whenever they are potential sources; 3. Dividing total requirements. when economically feasible, into smaller tasks or quantities to permit maximum participation by small and minority business, and women's business enterprises; 4. Establishing delivery schedules, where the requirement permits, which encourage participation by small and minority business, and women's business enterprises; 5. Using the services and assistance of the Small Business Administration, and the Minority Business Development Agency of the Department of Commerce; and 6. Requiring the prime contractor, if subcontracts are to be let, to take the affirmative steps listed above. In conformance with the requirements of Section 3 of the Housing and Community Development Act of 1968, to the greatest extent feasible, the NON-PROFIT DEVELOPER must award contracts for work to be performed to eligible business concerns located in or owned by residents of the NSP target area to ensure that the employment and other economic opportunities generated by Federal financial assistance for housing and community development programs shall, to the greatest extent feasible, be directed toward low and very low income persons, particularly those who are recipients of governmental assistance for housing. The NON-PROFIT DEVELOPER will select the contractor from the City of Boynton Beach's approved contractor list. Prior to entering into contract with the selected contractor, the NON-PROFIT DEVELOPER must submit the name of the contractor and any other information needed by CID to determine if the contractor has been barred from participating in any federal program. The NON-PROFIT DEVELOPER must demonstrate that the amount being paid to the selected contractor is reasonable. The NON-PROFIT DEVELOPER will execute all construction contracts and sign a Notice of Commencement for the NSP Home. All requests for payment from the contractor must be initially submitted to the NON-PROFIT DEVELOPER for payment. The NON-PROFIT DEVELOPER, in conjunction with CID staff, will inspect the construction work, make decisions on the quality of work and recommend the approval of all construction payments. CID staff will also inspect the property and approve all payments. If CID does not authorize a payment, it will notify the NON-PROFIT DEVELOPER. Partial payments for completed work shall have a 10% construction holdback. Prior to making any final payments, lien releases must be received from the contractor, all subcontractors and any business that has provided materials and who has filed a Notice to Owner and all I building permits must have been closed out by the local jurisdiction. XI. Eligible Families To be an Eligible Family a household must meet the following requirements: 1. Each member of the household must be a U.S. Citizen or permanent resident alien. 2. The household must have an income at or below 120% of the County Median Income, as adjusted by family size as determined by the regulations governing the CDBG program. 3. The household must have qualified for a first mortgage loan from a mortgage lender to purchase the NSP Home. 4. The head of household must have attended and completed an 8 hour qualified community home buyer education class presented by a HUD approved counseling service. 5. The household must begin living in the NSP home within 30 days after closing. The NON-PROFIT DEVELOPER will take applications from households that want to be designated as an Eligible Family. The NON-PROFIT DEVELOPER will collect and verify the income and assets of the household as well as any other information necessary to determine if the household is qualified to be an Eligible Family and submit that information to CID. The final determination of whether a household is an Eligible Family will be made by CID. XII. Purchase of NSP Homes by Eligible Families The NON-PROFIT DEVELOPER must sell all NSP Homes to Eligible Families that have incomes at or below 120% of the County Median Income, as adjusted by family size, however priority is to be given to families with incomes less than 80% of the County Median Income, as adjusted by family size. The NON-PROFIT DEVELOPER will select the Eligible Family that will purchase the NSP Home using its written criteria provided it is consistent with the NSP regulations. All properties must be sold to an Eligible Family for an amount equal to or less than the cost to acquire and any construction costs on the NSP Home. The actual sales price for any NSP Property will be the lesser of the aggregate of all costs of acquisition, construction and redevelopment (including related activity delivery costs, which generally include, among other things, costs related to the sale of the property) and the appraised value after construction is completed. All NSP Homes receiving subsidy under this program must ensure long term affordability by using one of the following recapture or resale mechanisms. XIII. Special Financing for Low Income Families To meet the NSP Very Low Income requirement, the CITY may provide first mortgage financing to very low income families at an interest rate of three percent (3%) for a term of up to thirty (30) years. The NON-PROFIT DEVELOPER will service the loan and may charge a monthly servicing fee of ten percent (10%) of all funds collected. Financing for low income families may be provided in the form of first and second mortgages when necessary. The second mortgage subsidy will be a zero interest (0%) loan for term of thirty (30) years. The assistance may be a third mortgage if the family receiving other down payment assistance from the State of Florida or Department of Housing and Urban Development with program rules requiring that it be placed in the second lien position. Repayments will be deferred until the NSP home is sold, transferred or no longer occupied as the primary residence of the applicant. If the home remains the primary residence of the applicant for the term of the mortgage, the full amount of the subsidy will be forgiven. XIV. Appeal Process The NON-PROFIT DEVELOPER or an Eligible Family may appeal a decision of the Community Improvement DivisionDevelopment Director regarding the interpretation of these guidelines to the City's Development Director, CITY or his authorized representative;\dministrator or designee. The formal appeal must be submitted in writing and received no later than 30 days after the decision. The formal appeal must contain the following information: 1. The name, address, and telephone number of the person and agency requesting the appeal. 2. A detailed statement of the alleged factual or legal errors made by the I Community Improvement DivisionGev.elGpmeA-tfJk-ector. 3. The form of relief requested. I The decision of the City's Development Director, Administrator or desiQnee is final. and may not be further appealed. XV. Termination of Awards In the event the NON-PROFIT DEVELOPER is unable to meet the timeline for the use of NSP I funds as out lined in its project schedule in Section VIII or is unable to use the funds for eligible activities, the Development DirectorCommunitv Development Manager may terminate any unused funding to the NON-PROFIT DEVELOPER and take action to recover any NSP funds that may have been previously disbursed to the NON-PROFIT DEVELOPER. Prior to taking this action, written notice must be provided to the NON- I PROFIT DEVELOPER and the NON-PROFIT DEVELOPER must be given a period of time to correct the problem. In addition, the Development DirectorCommunity Development I Manager must attempt to meet with the head of the NON-PROFIT DEVELOPER and offer technical assistance to assist the NON-PROFIT DEVELOPER to meet the requirements of the program. XVI. Administration of the Program The CID Manager will administer the Program consistent with these policies. In the event an affected party believes that the Devel0prneAtDifec-torCommunity Development Manaqer or C/D is not interpreting these pOlicies correctly, the affected party must request a meeting with the DevelopH1eAtDireGtorCommunitv Development Manaqer to discuss and seek resolution of the conflict. I If, following a meeting with the Development DirectorCommunitv Development Manager, the issue remains unresolved; the affected party will have the ability to appeal the Development Director's decision as provided in Section XI/. XVII. Conflicts with Federal Law In the event these policies are found to conflict with Federal law or the rules of the I Department of Housing and Urban Development (HUD). now or in the future, the Federal law or rules of HUD will take precedence. The De'/olopment DirectorCommunity Development Manaqer is delegated to amend these policies to the extent necessary to I make these policies consistent with federal law or the rules of HUD. Within five working days of making any changes to these policies, the Development DirectorCommunity Development Manaqer must notify the CITY Administrator, or designee with a description of the changes made to these policies and the reason for any changes. EXHIBIT "0" PALM BEACH COUNTY INCOME GUIDELINES 2010 MEDIAN = $67,600.00 1 person 2 persons 3 persons 4 persons 5 persons 6 persons 7 persons 8 persons Extremely Low- Income 30% $15,400 $17,600 $19,800 $22,000 $23,800 $25,550 $27,300 $29,050 Median Very Low- Income $25,700 $29,400 $33,050 $36,700 $39,650 $42,600 $45,550 $48,450 50% Median Low-Income $41,100 $47,000 $52,850 $58,700 $63,400 $68,100 $72,800 $77,500 80% Median Moderate Income $61,680 $70,560 $79,320 $88,080 $95,160 $1 02,240 $109,320 $116,280 120% Median ~ xtJ//5;/ t 'Ell !..?t:..-SCRPT:ON: A .OQRT:ON OF BLOCX C OF THE ,~AT CF BOYNTo.\' .'-tILL$. BOY....TON BEACf-t. P.;!.L1A BEACH COUvTY_ FLa:?fDA. ACCCJR'D,"'o/G TO T'rlE ,cLA T T.'-EP.EOF AS ~ ,"".O'....A T BOC:JK 4. PAGE 5f or=- T"r-E' PLaJC .:?E~ CF' P',4LM BEAO"" co...(','T',. FLORiDA. Dr.--SCRffiED AS'=-()LLOv..?S: COJ..IEJ\CE AT T.'-E /-KJRTHEAST C()rT"-"ER 0-- LOT '(4.7 OF SAJ[) fLOCK C T.'-ENCE: SOUTH (ASSU\.ED~ .4LCf'/G T:'<-E: EAST UtE: OF SAD LOT 14-7. A as.A.'VCE' CF 20.00 ....1::.:.. ro 71-E plaNT or=- EJEG;."'J".$\!(;; Tf-El<<::E ca.JTJ.'..:u:: SG\iT'iA.!....OI'rX; THE EAST L,"\E OF ,f'.AoD aOCK C. 22.8.36 FCl:.r TO T.>-E SOl.iT-EAST C~.e?' OF LO' G4 .OF' SAO BLOCK C; T:'~ aJ::~r: Al....o.\'G T>-E !30vT:.....O\E CF SA~ LOT ::34" A OSTA....CE CF 00 rr.t.T '0 TrE EAST LA'E CF .:.075 135 .At<D 1315 OF SAO BLOCK C; T:o-Ef.K:E SQ(...TH; 4i....O\'G 54.ID E4ST U'E: A:'.o 7".'-E S()'....7:'-t-p.~ f' .~O\.GA TiCN ~ 59 :y FeE:' TO THE Cl:.-"l.' :::.h!'....".E CF GPA.\O ORaE ,.,t", Elc,,?!.1(; A Ct..Rv'c CO\.'C.A L<E' SOL,'TH,1E5TERL y' ;:":..1 L,'\',G A RADt,'5 OF 59H55 ....r:.:.T: ~ U'E ;:U.fJ.'.4L TO SAfl.; C(RvE BlEARS .....41"'Od-.:;v =-.).. THEY'JCE ,...OR'THilri't..._-i'ER<.:.... 't' ALo.',G T.'-E AfK: OF SAD Ci.....t:;t,lE 5.Q2 FEE' 7'f-fRCLGH A CE/yTRAL ANGLE OF l?Zg'fr'" ro T"-E' /I..,' .l::.......iECTiOfv' r't\'T"H 7'1'-oE .'~~,- Y ORQ:..O'.'GA T7Oo\/ CF' T.'-E EAS' L.~'E CO;:- LOT t29 OF SA.l') aocx' C. (4 Uo'€: PAIJoAL TO s,&.O CLJP'IE AT n-E SAD PONT QF~",iTER'~-cT{ON BEAPS ^i.4O" 35'4.6"'E:.{i, T."'fJ,CE so.:.rni, ALOf..G T"'€ S40 N()RTHc.""1T'..... ..- PROLO\GA T.a",; OF ..'-E: EAST J....,"E OF LOT t2~ A DiST.AJ\K;E QF 57..60 FEET TO n-E SQt....T.'-EAST C'()>'::r!EP OF SAiD LOT r.29i T",-8\JCE ~i-'ES7;: AUJNG T"<-E: 50(//..... L.rE CF' SAiD LOT >29 14AD 7J-€ SC\iT.",' LjfE OF L07 i2a. A DlSTA"./CE OF 1.50.00 FEET .0 n-Ei4):';;'T L....E 0:: SAD LOT !2B; Ti-EJoK:E NORTH. ,ALCY'K;, SAD ~tEST U^E. l!J.OO FEET TO Tf-E SafTH U'E OF LOTS :27 04,'.0 i26 OF Soa<l? BLOt..?<" C~ THfJ'.K;E ~tEST. ALONG n-E SAO SOVTH L.~'E: OF LOTS 127 A.',JJ ~ A D'STAt.iCE QF XJaOO ~. TO 7"1-€ ~~T UAE OF s..4lD LOT \2'15; T'"'EJ\CE N()R"f"H. AL()l\(; SAO 1'1B'L\'E. 45.00 FtJ!:.... TO 71-E SOt.,m-'L''''E QF LOTS f24 A.".o 123 CF SAiD BLOC..'" C; T....E:loK:E i"i.E5T: .ALONG SA.'D SOUrrl .i.....;'t1E. il,,'"lQOO FfE. TO' Ttf >>EST utE OFSoaO LOT ill; T...vK:E ^KJRT....,. ALO'..;G SAiD .+E5T L"E AloC,' T.""';:: ".'CFr!"':>-ERL Y .~O'JGA "J7Cto/ ~'7JF. .'93.23 ,..Cl:. ' TO TI-E il\'TER'St::.-cT\.7<1 .t~7J-,' l7-E rlES7"EFfL r ~O'JGA T7CY'" OF' T.'-E sct.'TH L\'E' 0-- LOT (4.1 OF SA.D aOCk C; T.....ENCE !'J.76.46'J5':E:. ALO\G SAO /..=:5 ..I::....z.. 'r' PR'l::LO\GA TiCY',; 57. 99 F=.. TO T<-E: ~tEST Uf'E: OF ['..AID LOT i4~ T.>-f;'oJCE ."K),/:T'7'"H. AL,(;(.K;; SAD >>EST UE~ 1J.,:n25 Ffrr TO T.'-E ....'CRT:...,. LifE CFSA.D LOT 141; 7"H=r.'CE: ,\!.BJ"rT'55 .1::.. .ALCK'K;, n-E' .VORT....' L'-';;; CF $A~ LOT$ Z4.f A/.,{) J:4.2 ~ Soafl.? BLOCK C; ,L, D'ST4NCE ~ 75.5t ~T TO A UI',E 25 ,;:pET ,,"lEST CF A.^D PARA" <=1. ~i-"T....' n-E EAST L\'E' OF LOT 50 OF SAD BLOCX C; "il...ENCE: ....OR"!'1-i.ALOl'.'G S#}V PAR.#' .1=7 UVE. 9244 FEE' TO THE /w;JPTH u'E OF 1....07"'$ 5a ;149. 148 .04.'0 :47 OF SAO BL.OL-X' C: 7"HEJ'.JCE EAS7: ALo....e SAiD :,OF'TH U\E. 205..00 ~ T,o T.'-E ~o.'..f~'&' ~ 4 Cl.JF('iI'E Co.'VCA v:E'${XJ7"HI1'ESTD1t.. :'" ~. V\.....c A {?AiJIi./S a.- .20.00 FrET A...;.,? .4 CEhTRAL A....GlE OF 90"OO'tX)":' T"€!..c:E SOUT!-EASTEF?'L:< ALO"-JG THE AfK: QF SAD Ci...R.....E" 31.4-2 FEET '0 TI-E .~':T or=- E!!E&VoN'!'/G AF<::RfD:::.-SCRrBED. T~-'H:::."""H' W1T.-.;" LOTS '3a 13! U2 #.0 0:_'\ a.,OCi< C. eo 'l'NTa./ .~s. ACC:CRr:~i"'G ro T.'-E ~....A T ~o:: AS ,~COR!:e .\',' ~A T BOGv. 4,. PAGE: 5~ OF T.'-E pta:e ~T09DS OF PALM B:E:AC;"" COi...f"T"~ FLORIDA. roGET'~q W?TH 77'<-E: SOi...lT>-E"?t... ;" HALC""OI=" T'-E ',<.::leA ::::.;.,.' PORno.,.. ~ N.W: 7!""...,' COv,c;'7;, L ',("I1.K;; ,4DJ,A..CENT TO.4/.0 SC\.iT>-E~ Y 0" LOT t3a B...O!..J.<' C, 8Q ,,,,,,'Ta.;~:s. AS RE~ ,'oj $.4:D th P....A T' BOCJt<' 4, ':>A.G;E' 5, TOQ:.--r'H.l::-;:;' ~t1T"":' LOTS :00 A,',JJ 10; BLOCK C. BO't','.'To.\' HLL5. ACCCJRo:.AV'JG TO T;'-E PL.4T T.'-t"'7<::::.""'CF. AS ~ ,V... .::t..A T BOOK 4-, PAGE 5r, 0-- n-E' RELiC .:?EC'CP.OS OF PAUlii' BEACH cov....,T,.: FLQRrDA. 7QGE':l1-t.."'"iT' ~tm'1 Tr-E .....'OA'T'r-t"""R'L Y HALF CF TrE !/ACA TED ;:::o::rna,' CF ."\!.11~ 77:.....' COlRT. L l:~"..;G ADJACENT TO A".o NCP.'T:>-E~ 'r' ~ LOT :va. &00< c. !3()'r".VTo.'.' i-IU...$.. AS PECCJR":JFD .'to.' SAiD Ft.A T BOOK 4. PAGE 5~ i....J::':::.-S THA T ~,/ 0" L,oT :00 A,',JJ THA T PCRT.lCJf"CF GRA.'L) CIRCLE ,.,.... Dr:.-S~ AS ~0~..5: .B!::.-cJ:o.~.r.'.x; AT n-E SOt.JT.>-EAST CCJRto.E'? 0-- SA,D LOT XJoQ. SAiD ,cOttvT .4':'50 BEJ!o.'G T'-E $O../TrElJ $T CORtER ~ &OC'K c; T'-t'?..CE ,"'EST, ,AL()IoJ(; n-c $OI.f,/-! U\E OJ=' SAC' LQT rtX). A DST Ahr:E" OF 20.00 Fl:.i:. , TO ,4 PQ....j ON ACUR'..>E CONCA !.IE .."O=;7FI/::5.' .r:......_ 'J" HA ',Il!oJG, A CEJ\'T.C?AL Af'/GtE OF 9O"'t:JO'VOM ,4/'D ,.4 H'ADIU'S ~ :c..'\?CO .-!:.:::. .'; T>-€t..CE !..o.~THEASTERt. Y..4LOI'''G THE A;:;C OF SA<l') fXR'/E, ..c.. D<STAr...cE QF 31..4-2 FEE' '0 A ,OOV'/T ,ot''I T1-IE' EAST U'E: OF S"!"O l1..OCK C; Tl"-El..CE Sa.r7;"t, ALo...C T'-E EAST L....-E ~ SoaD ROC"''- C, .4 06TA,hCE CF 20. 00 f:"&r TO T'-E .::>a.'./. CF BEG'J',Qvr;. The Citg o! Bollnton Beach City Clerk's Office 100 E BOYNTON BEACH BLVD BOYNTON BEACH FL 33435 (561) 742-6060 FAX: (561) 742-6090 e-mail: prainitoj@bbfl.us www.boynton-beach.org July 22, 2010 Theresa Utterback Administrative Services Manager Boynton Beach CRA 915 South Federal Highway Boynton Beach, FL 33435 Re: Resolution RI0-086 Aareement between The City of Bovnton Beach and Boynton Beach Community Redevelopment Aaency Neiahborhood Stabilization Proaram Dear Theresa: Attached for your handling is the original agreement mentioned above and a copy of the Resolution. Once the document has been executed, please return the original to the City Clerk's Office for Central File. If I can be of any additional service, please do not hesitate to contact me. Very truly yours, cm OF BOYNTON BEACH Yn.P~ ~nito, MMC City Clerk Attachments (Agreement & Resolution) S:\CC\WP\AFTER COMMISSION\Other Transmittal Letters After Commission\2010\R10-086 Neighborhood Stabilization. doc America's Gateway to the Gulfstream