O-2006-2936-A (A in 2008) - Laserfiche WebLink

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RE UEST FOR CITY COUNCIL AGENDA ITEM Agenda Date Requeste Appropriation Source of Funds: 015 (eIP) Requested By: Department: Plannine: Account Number: 015-9892-859-5120 Report: ....K- Resolution: _Ordinance: ....x....- Amount Budgeted: $91,000.00 Amount Requested: YES Exhibits: Letter of Request for Amendment Budgeted Item: Ordinance Contract Amendment with Harris County Draft Proposal from Sheila Frye and Associates SUMMARY & RECOMMENDATION In August 2006, City Council approved a contract with Harris County to accept $457,300 in HUD funding for the construction of five (5) new affordable homes as part of the Northside Neighborhood Project. Two of the five homes are nearing completion and a notice to proceed has been issued for the remaining three homes. During initial coordination with the project managers from Harris County, it was believed that County, using their downpayment assistance program, would handle the processing of the applicants and the closing ofthe homes since the City of La Porte would only be handling the construction and marketing of the homes. As applicants were being referred to Harris County, it became apparent that additional assistance would be needed to successfully qualify families to occupy the homes in a timely manner. City Staff suggested that Harris County reallocate a portion of the required City match cash payment to allow La Porte to hire a consultant to assist with the closings. Letter of request is attached as exhibit I Staff solicited a professional services proposal from Sheila Frye and Associates to perform qualifying, educational and closing services for the five HOME project residences. Ms. Frye was instrumental in closing the first eleven homes in the PY 2002 Grant. For the sum of $12,500, Ms Frye's firm will qualify the applicants, provide the required educational instruction and manage the closings for the five homes in the PY 2006 grant. In the spirit of cooperation, Harris County has amended our contract to reduce the 25% match requirement by $12,500 in order for the City of La Porte to hire a consultant. There is, therefore, no impact to the budget since the bottom line expenditures do not change; only realigned. Staff recommends that City Council approve the ordinance to accept the amended contract provisions with Harris County to reduce the match requirement and direct the City Manager to execute a contract with Sheila Frye and Associates to process qualified applicants to complete the PY 2006 HOME grant program. The program ending date is August 31, 2008. The project addresses are: 211 North 1st Street (Lots 23-24, Block 62, La Porte), 216 North 2nd Street (Lots 3-4, Block 62, La Porte), 207 North 2nd Street (Lots 21-23, Block 63, La Porte), 210 North 6th Street (Lots 9-11, Block 66, La Porte), 224 North 6th Street (Lot 3-4, Block 66, La Porte) tt/o~