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HomeMy WebLinkAbout2002-12-09 Regular Meeting and Workshop MeetingMINUTES OF THE REGULAR MEETING AND WORKSHOP MEETING OF LA PORTE CITY COUNCIL DECEMBER 9, 2002 1. CALL TO ORDER The meeting was called to order by Mayor Norman Malone at 6:00 p.m. Members of City Council Present: Councilmembers Mike Mosteit, Chuck Engelken, Bruce Meismer, James Warren, Charlie Young, Barry Beasley and Norman Malone Members of Council Absent: Peter Griffiths and Howard Ebow Members of City Executive Staff and City Employees Present: Assistant City Attorney John Armstrong, Acting City Manager John Joerns, City Secretary Martha Gillett, Director of Public Works Steve Gillett, Director of Emergency Services Joe Sease, Director of Planning Doug Kneupper, Director of Finance Cynthia Alexander, Assistant Director of Finance Michael Dolby, Director of Parks and Recreation Stephen Barr, Purchasing Manager Susan Kelley, Warehouse Coordinator Johnny Ryan, City Planner Gwen Goodwin, Administrative Assistant of the City Manager Crystal Scott, Judge Louie Ditta, Human Resources Manager Lorie Doughty, Assistant City Secretary Sharon Harris, Police Sergeant Matt Daeumer, Police Chief Richard Reff and Director of Administrative Services Carol Buttler Others Present: Sue Gale Mock Kooken, Roy Myers, Charles Underwood, Lary Vidinha, Heather Householder, Ricky Gutierrez, Rick Vincent, Shelia Frye, Cristen Lauck, Jayme Reiss, Eric Nutt, Kelly Pestl, Noelle Meave, Matthew Parker, Delecia Turner, David Turner, Ashley Thurman, Krisitin McKnight, Valerie Owens, Robert Ring, Adam Brown, Ty Shipp, Isai Ramos, D. Paul Larson, Allison Meller, Candice Valeris, Tracie Adams, Yadiva Martinez, Krystle Westergren, Jessica Banks, Alan Beaudion, Jonathan Goupler, Jennifer Rice, Damaris Contreras, Alfredo David, Nazar Momin and a number of citizens. 2. Reverend Ron Burnett of Victory Tabernacle delivered the invocation. 3. Mayor Malone led the Pledge of Allegiance. 4. Council considered approving the Minutes of the Special Called Regular Meeting of La Porte City Council held on November 18, 2002. Motion was made by Councilmember Warren to approve the minutes of the Special Called Regular Meeting held on November 18, 2002. Second by Councilmember Engelken. The motion carried. Ayes: Mosteit, Engelken, Beasley, Warren, Young, Meismer and Malone Nays: None Abstain: None 5. Purchasing Manager Susan Kelley and Director of Administrative Services Carol Buttler presented Purchasing's Warehouse Coordinator John Ryan with the Employee of the P Quarter of 2002 for the City of La Porte. 6. PETITIONS, REMONSTRANCES, COMMUNICATIONS, AND CITIZENS AND TAXPAYERS WISHING TO ADDRESS CITY COUNCIL 0 City Council Meeting —December 9, 2002 — Page 2 • There were no petitions, remonstrances, communications, and citizens and taxpayers wishing to address City Council. 7. Council to consider approval or other action of an ordinance adopting Chapter 172 of the Texas Local Government Code. Director of Administrative Services Carol Buttler presented summary and recommendation and answered Council's questions. Assistant City Attorney read: ORDINANCE 2002-2598 - AN ORDINANCE ADOPTING THE PROVISIONS OF TEXAS LOCAL GOVERNMENT CODE; CHAPTER 172, "TEXAS POLITICAL SUBDIVISIONS UNIFORM GROUP BENEFITS PROGRAM", EFFECTIVE JANUARY 1, 2003; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING AN EFFECTIVE DATE HEREOF. Motion was made by Councilmember Beasley to approve Ordinance 2002-2598 as presented by Mrs. Buttler. Second by Councilmember Warren. The motion carried. Ayes: Mosteit, Engelken, Beasley, Warren, Young, Meismer and Malone Nays: None Abstain: None 8. Council to consider approval or other action of an ordinance authorizing an agreement between the City and Harris County OHED on behalf of the U. S. Department HUD. City Planner Gwen Goodwin presented summary and recommendation and answered Council's questions. Assistant City Attorney read: ORDINANCE 2002-2599 - AN ORDINANCE APPROVING AND AUTHORIZING A CONTRACT BETWEEN THE CITY OF LA PORTE AND HARRIS COUNTY COMMUNITY DEVELOPMENT DEPARTMENT, FOR ACCEPTANCE OF A CONDITIONAL AWARD IN THE AMOUNT OF $350,000.00 FROM HARRIS COUNTY COMMUNITY DEVELOPMENT DEPARTMENT FOR FUNDING THE CITY OF LA PORTE'S HOME INVESTMENT PARTNERSHIP (HOME) PROGRAM; APPROPRIATING A SUM OF UP TO $87,500.00 IN CITY MATCHING FUNDS TO FURTHER THE CITY'S GOAL OF PROVIDING AFFORDABLE HOUSING; MAKING VARIOUS FINDINGS AND PROVISIONS RELATING TO THE SUBJECT; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING AN EFFECTIVE DATE HEREOF. Motion was made by Councilmember Mosteit to approve the ordinance as presented by Mrs. Goodwin. Second by Councilmember Young. The motion carried. Ayes: Mosteit, Engelken, Beasley, Warren, Young, Meismer and Malone Nays: None Abstain: None 9. Council to consider approval or other action of an ordinance authorizing an agreement between the City and SETH for administrative services. City Planner Gwen Goodwin presented summary and recommendation and answered Council's questions. City Council Meeting —December 9, 2002 — Page 3 01 Assistant City Attorney read: ORDINANCE 2002-2600 - AN ORDINANCE APPROVING AND AUTHORIZING A CONTRACT BETWEEN THE CITY OF LA PORTE AND SOUTHEAST TEXAS HOUSING, FOR ADMINISTERING THE HOME INVESTMENT PARTNERSHIP (HOME) PROGRAM FOR THE CITY OF LA PORTE, TEXAS; APPROPRIATING $17,500.00 TO FUND SAID CONTRACT; MAKING VARIOUS FINDINGS AND PROVISIONS RELATING TO THE SUBJECT; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING AN EFFECTIVE DATE HEREOF. Motion was made by Councilmember Young to approve the ordinance as presented by Mrs. Goodwin. Second by Councilmember Beasley. The motion carried. Ayes: Mosteit, Engelken, Beasley, Warren, Young, Meismer and Malone Nays: None Abstain: None 10. Council to consider approval or other action of an ordinance authorizing an agreement between the City and Sheila Frye and Associates for administrative services. City Planner Gwen Goodwin presented summary and recommendation and answered Council's questions. Assistant City Attorney read: ORDINANCE 2002-2601 - AN ORDINANCE APPROVING AND AUTHORIZING A CONTRACT BETWEEN THE CITY OF LA PORTE AND SHEILA FRYE, FRYE AND ASSOCIATES, FOR PROVIDING MARKETING AND HOME BUYER'S EDUCATION FOR THE HOME INVESTMENT PARTNERSHIP (HOME) PROGRAM FOR THE CITY OF LA PORTE, TEXAS; APPROPRIATING $5,000.00 TO FUND SAID CONTRACT; MAKING VARIOUS FINDINGS AND PROVISIONS RELATING TO THE SUBJECT; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING AN EFFECTIVE DATE HEREOF. Motion was made by Councilmember Young to approve the ordinance as presented by Mrs. Goodwin. Second by Councilmember Beasley. The motion carried. Ayes: Mosteit, Engelken, Beasley, Warren, Young, Meismer and Malone Nays: None Abstain: None 11. Council to consider approval or other action of an ordinance creating additional development setbacks for property adjacent to Sens Road. Director of Planning Doug Kneupper presented summary and recommendation and answered Council's questions. Assistant City Attorney read: ORDINANCE 1444-C - AN ORDINANCE AMENDING SECTION 5.04 "BUILDING LINES" OF CITY OF LA PORTE ORDINANCE NO. 1444 REGULATING THE PLATTING OR REPLATTING OF LAND INTO SUBDIVISIONS IN THE CITY OF LA PORTE AND WITHIN THE EXTRATERRITORIAL JURISDICTION OF THE CITY OF LA PORTE; PROVIDING THAT ANY PERSON VIOLATING THE TERMS OF THIS ORDINANCE SHALL BE DEEMED GUILTY OF A MISDEMEANOR AND SHALL UPON CONVICTION BE FINED A SUM OF NOT 0 City Council Meeting —December 9, 2002 — Page 4 • MORE THAN TWO THOUSAND DOLLARS ($2,000.00) FOR EACH VIOLATION; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; PROVIDING A SAVINGS CLAUSE AND A SEVERABILITY CLAUSE; AND PROVIDING AN EFFECTIVE DATE HEREOF. Motion was made by Councilmember Engelken to approve the ordinance as presented by Mr. Knq=er. Second by Councilmember Warren. The motion carried. Ayes: Mosteit, Engelken, Beasley, Warren, Young, Meismer and Malone Nays: None Abstain: None 12. Council to consider approval or other action of an ordinance authorizing the City Manager to execute an Agreement for Professional Services with Huitt-Zollars, Inc. for design and monitoring of the installation of a prefabricated steel pedestrian bridge over Little Cedar Bayou, to be funded by Harris County per its agreement with the City of La Porte, approved by Council on October 14, 2002. Director of Parks and Recreation Stephen Barr presented summary and recommendation and answered Council's questions. Assistant City Attorney read: ORDINANCE 2002-2602 - AN ORDINANCE AUTHORIZING AND APPROVING A PROFESSIONAL SERVICES AGREEMENT BETWEEN THE CITY OF LA PORTE AND HUITT-ZOLLARS, INC. FOR DESIGN AND OTHER RELATED COMPONENTS FOR INSTALLATION OF A PREFABRICATED STEEL PEDESTRIAN BRIDGE OVER LITTLE CEDAR BAYOU; MAKING VARIOUS FINDINGS AND PROVISIONS RELATING TO THE SUBJECT; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING AN EFFECTIVE DATE HEREOF. Motion was made by Councilmember Meismer to approve the ordinance as presented byMr. Barr. Second by Councilmember Engelken. The motion carried. Ayes: Mosteit, Engelken, Beasley, Warren, Young, Meismer and Malone Nays: None Abstain: None 13. Council to consider approval or other action of ordaining an ordinance to establish a Community Service Program for the City of La Porte. Assistant City Attorney John Armstrong and Acting City Manager John Joerns presented summary and recommendation and answered Council's questions. Assistant City Attorney read: ORDINANCE 2002-2603 - AN ORDINANCE ESTABLISHING A COMMUNITY SERVICE PROGRAM FOR THE CITY OF LA PORTE; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING AN EFFECTIVE DATE HEREOF. Motion was made by Councilmember Mosteit to approve the ordinance as presented bX Messrs Armstrong and Joems. Second by Councilmember Engelken. The motion carried. City Council Meeting December 9,2002 — Page 5 Ayes: Mosteit, Engelken, Beasley, Warren, Young, Meismer and Malone Nays: None Abstain: None 14. Council to consider approval or other action of an ordinance amending Chapter 58 of the Code of Ordinances. Director of Public Works Steve Gillett presented summary and recommendation and answered Council's questions. Assistant City Attorney read: ORDINANCE 96-2139A - AN ORDINANCE AMENDING CHAPTER 58, "SOLID WASTE", OF THE CODE OF ORDINANCES OF THE CITY OF LA PORTE; PROVIDING THAT ANY PERSON VIOLATING THE TERMS OF THIS ORDINANCE SHALL BE DEEMED GUILTY OF A MISDEMEANOR AND UPON CONVICTION SHALL BE FINED A SUM NOT TO EXCEED ONE HUNDRED DOLLARS ($100.00) FOR THE FIRST OFFENSE, TWO HUNDRED FIFTY DOLLARS ($250.00) FOR THE SECOND OFFENSE, AND TWO THOUSAND DOLLARS ($2,000.00) FOR THE THIRD OR ANY SUBSEQUENT OFFENSE, AND EACH DAY OF VIOLATION SHALL BE DEEMED A SEPARATE OFFENSE; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING AN EFFECTIVE DATE HEREOF. Motion was made by Councilmember Meismer to approve the ordinance as presented by Mr. Gillett. Second by Councilmember Beasley. The motion carried. Ayes: Mosteit, Engelken, Beasley, Warren, Young, Meismer and Malone Nays: None Abstain: None 15. Council to consider approval or other action of an ordinance authorizing the Acting City Manager to execute a contract with Craig, Sheffield & Austin, Inc. for the Construction of the Little Cedar Bayou Wastewater Treatment Plan Solids Handling Improvement Project. Director of Public Works Steve Gillett presented summary and recommendation and answered Council's questions. Assistant City Attorney read: ORDINANCE 2002-2604 - AN ORDINANCE APPROVING AND AUTHORIZING A CONTRACT BETWEEN THE CITY OF LA PORTE AND CRAIG, SHEFFIELD & AUSTIN, INC., FOR THE LITTLE CEDAR BAYOU WASTEWATER TREATMENT PLANT SOLIDS HANDLING IMPROVEMENT PROJECT; APROPRIATING $2,945,500.00 PLUS A CONTINGENCY OF $163,121.00, TO FUND SAID CONTRACT; MAKING VARIOUS FINDINGS AND PROVISIONS RELATING TO THE SUBJECT; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING AN EFFECTIVE DATE HEREOF. Motion was made by Councilmember Meismer to table the ordinance as presented by Mr. Gillett. There was no second. The motion failed. Motion was made by Councilmember Beasley to approve the ordinance as presented by Mr. Gillett. Second by Councilmember Young. The motion carried. City Council Meeting —December 9, 2002 — Page 6 0 Ayes: Mosteit, Engelken, Beasley, Warren, Young and Malone Nays: Meismer Abstain: None 16. Council considered a consent agenda as follows: a. Consider awarding bid for Heavy Equipment to low bidder for each item. Director of Public Works Steve Gillett presented summary and recommendation and answered Council's questions. b. Consider awarding purchase of radios to H-GAC. Purchasing Manager Susan Kelley presented summary and recommendation and answered Council's questions. c. Consider awarding Bid #0871 for water and sewer supplies in the amount of $85,591.31. Purchasing Manager Susan Kelley presented summary and recommendation and answered Council's questions. d. Consider awarding bid for the purchase of a prefabricated steel pedestrian bridge to Steadfast Bridge Company, low bidder meeting specifications. Director of Parks and Recreation Stephen Barr presented summary and recommendation and answered Council's questions. e. Consider awarding bid to remediate the Police Firing Range to Eagle Construction and Environmental Services. Police Chief Richard Reff presented summary and recommendation and answered Council's questions. f. Consider awarding bid for remodeling/renovating of Municipal Court to Stonewall Constructors in the amount of $16,402. Judge Louie Ditta presented summary and recommendation and answered Council's questions. Motion was made by Councilmember Young to approve the bids as presented. Second by Councilmember Warren. Ayes: Mosteit, Engelken, Beasley, Warren, Young, Meismer and Malone Nays: None Abstain: None 17. Workshop was called to order by Mayor Malone at 6:58 p.m. Council discussed policies and directing the City Manager to prepare detailed procedures for City issued credit cards. 18. Closed Workshop and reconvened meeting at 7:06 p.m. City Council Meeting lember 9, 2002 — Page 7 6 19. Council to consider approval or other action of an ordinance adopting a general credit card policy, directing the City Manager to establish detailed policies and procedures. Director of Finance Cynthia Alexander presented summary and recommendation and answered Council's questions. Assistant City Attorney read: ORDINANCE 2002-2578 - AN ORDINANCE ADOPTING A GENERAL CREDIT CARD POLICY AND DIRECTING THE CITY MANAGER TO ESTABLISH DETAILED POLICIES AND PROCEDURES; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING AN EFFECTIVE DATE HEREOF. Motion was made by Councilmember Engelken to approve the ordinance as presented by Mrs. Alexander. Second by Councilmember Warren. The motion carried. Ayes: Mosteit, Engelken, Beasley, Warren, Young, Meismer and Malone Nays: None Abstain: None 20. Administrative Reports Acting City Manager John Joerns reminded Council of the annual Tree Lighting Ceremony at the library on December 10, 2002, Christmas in La Porte at the Sylvan Beach Pavilion on December 12, 2002, the Holiday Luncheon at City Hall on December 18, 2002 and cancellation of the City Council Meeting tentatively scheduled for December 16, 2002. 21. Council Comments Councilmembers Mosteit, Engelken, Beasley, Warren, Young, Meismer and Mayor had comments. 22. EXECUTIVE SESSION — PURSUANT TO PROVISION OF THE OPEN MEETINGS LAW, CHAPTER 551.071 THROUGH 551.076, 551.086, TEXAS- GOVERNMENT CODE, (CONSULTATION WITH ATTORNEY, DELIBERATION REGARDING REAL PROPERTY, DELIBERATION REGARDING PROSPECTIVE GIFT OF DONATION, PERSONNEL MATTERS, DELIBERATION REGARDING SECURITY DEVICES, OR EXCLUDING A WITNESS DURING EXAMINATION OF ANOTHER WITNESS IN AN INVESTIGATION, DELIBERATION REGARDING ECONOMIC DEVELOPMENT NEGOTIATIONS). Council retired into Executive Session at 7:20 p.m. Council reconvened the Council Meeting at 9:11 p.m. 23. CONSIDERATIONS AND POSSIBLE ACTION ON ITEMS CONSIDERED IN EXECUTIVE SESSION There was no action taken during Executive Session. 24. There being no further business to come before Council, the Regular Meeting and Workshop Meeting was duly adjourned at 9:12 p.m. City Council Meeting Aeember 9, 2002 — Page 8 0 Respectfully submitted, M Gillett City Secretary Passed and approved on this 13th day of January 2003. 10anIM.alone, Mayor • 0 REQUEST FOR CITY COUNCIL AGENDA TTVM Agenda Date Requested: D Aber 9 2002 Requested By: Carol Buttler Department: Administrative S ices Report: Resolution: Ordinance: X Exhibits: Ordinance Exhibits: Comparison Chart Exhibits: Highlights of Requirements Appropriation Source of Funds: Account Number: Amount Budgeted• Amount Requested: Budgeted Item: YES NO SUMMARY & RECOMMENDATION At the October 28, 2002, City Council meeting, Council received a presentation from Ms. Susan Smith, Executive Director of the Texas Municipal League Intergovernmental Employee Benefits Pool (TML-IEBP), on Chapter 172 of the Texas Local Government Code and the anticipated impact on the City of La Porte's Employee Health Services Fund. Council requested staff provide a comparison of the legal advantages / disadvantages of the City of La Porte adopting Chapter 172. For Council's reference, a comparison chart is included as Exhibit "A". Chapter 172 would allow the City to maintain its current method of operating the Employee Health Services Fund, but would stipulate additional legal requirements. Staff Recommendation The City Attorney and City staff recommend adopting Chapter 172 for statutory authority to operate the Employee Health Services Fund. Previously, City staff, the City Manager, the City Attorney, and a representative from the City's health benefits consultant participated in a conference call with TML legal counsel concerning Chapter 172 provisions and possible impact on the City's health fund. After further consultation, the City Attorney and City staff agree that protections offered by Chapter 172 far outweigh any disadvantages that would occur for implementation. Action Required by Council: Approve an ordinance adopting Chapter 172 of the Texas Local Government Code. Approved -for Citv Council Agenda John erns, A 4i Manager } G0 Date( • 0 ORDINANCE NO. 2002-AY I' I AN ORDINANCE ADOPTING THE PROVISIONS OF TEXAS LOCAL GOVERNMENT CODE, CHAPTER 172, "TEXAS POLITICAL SUBDIVISIONS UNIFORM GROUP BENEFITS PROGRAM", EFFECTIVE JANUARY 1, 2003y FINDING COMPLIANCE WITH THE OPEN MEETINGS LAWy AND PROVIDING AN EFFECTIVE DATE HEREOF. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE: Section 1. The City Council of the City of La Porte hereby adopts Chapter 172, of the Texas Local Government Code, "Texas Political Subdivisions Uniform Group Benefits Program", which shall, to the extent applicable, govern the City of La Porte's medical benefits plan, effective January 1, 2003. Section 2. The City Council officially finds, determines, recites, and declares that a sufficient written notice of the date, hour, place and subject of this meeting of the City Council was posted at a place convenient to the public at the City Hall of the City for the time required by law preceding this meeting, as required by the Open Meetings Law, Chapter 551, Texas Government Code; and that this meeting has been open to the public as required by law at all times during which this ordinance and the subject matter thereof has been discussed, considered and formally acted upon. The City Council further ratifies, approves and confirms such written notice and the contents and posting thereof. Section 3. This Ordinance shall be effective January 1, 2003. PASSED AND APPROVED, this 9th day of December, 2002. CIT OF LA PORTE By: Norman L. Malbife Mayor • r'1 U ATT ST: Marth . Gillett City Secretary APPROVED: ' 76" Knox W. Askins City Attorney EXXHIBIT "A" CHAPTER 172 COMPARISON - CITY OF LA PORTE ADVANTAGES DISADVANTAGES COMMENTS RECOMMENDATION Would provide statutory authority Requires establishing a Board of City Council would determine Potential Board Members: for City of La Porte's Employee Trustees to oversee funding / composition of Board and designate Health Services Fund (medical operations of the City's health plan. members by ordinance. Legal staff fund) to operate legally as a Financial staff self -funded entity. Council would determine level of Administrative staff Board participation / authority (recommending body, only, or actual decision -making body). Flexibility is allowed. Board might need to be covered by Errors & Omissions insurance based on level of authority. Should adopt a Trust Agreement to Sample prepared by TML-IEBP for City Attorney and staff to formalize trustees' responsibilities. I review during training sessions. review prior to training. Would provide guidelines for Requires 16 hours of training TML-IEBP will provide initial (2) 8-hour sessions OR (4) Board of Trustees to fund / annually for each Board member. training at no cost to City. Training 4-hour sessions is preferred due operate the health plan. must take place within 180 days of to volume of information to Annual training after the first year designation. review. may require a fee. May offer protection from most May not offer total protection from Dependent on legislative session's Monitor legislation of mandated benefits legislation. mandated benefits legislation. agenda. protections / exemptions for Chapter 172 groups. Would provide a legal defense for Currently, City's health services fund challenges to the health plan. could be at risk if challenged. Annual review by trustees would provide verification that the City's benefits book remains compliant. ch 172 comparison chart_021209.doc Last printed 12/42002 3:26 PM ADVANTAGES DISADVANTAGES COMMENTS RECONd1VIENDATION Must maintain all contributions in City of La Porte already operates a Continue current practice. a separate fund. separate, previously established fund (014) to account for health services revenues and expenses. Must invest funds per the Public Must conduct an annual audit and City's existing investment policy Continue current practices. Funds Investment Act. submit to the Texas Department of follows the Public Funds Investment Insurance (TDI). Act. All Employee Health Services Maintain on file an annual funds are invested accordingly. financial and claims audit for claims administrator. Currently, Employee Health Services Fund is reviewed as part of the City's annual audit, which includes all Internal Service Funds. TML-IEBP already operates as Fund is required to carry excess City currently carries excess loss Continue to obtain excess Chapter 172 for purposes of loss/re-insurance or inform insurance, although it is becoming loss/re-insurance as long as self -funded members. employees it is not provided or has more difficult to obtain; the number available and cost effective, to been cancelled. of providers of excess loss insurance minimize risk to City's health is decreasing, especially for Texas. services fund. Allows for both single and group City may become Chapter 172 alone coverage participation. or with several other entities. Must amend sections of City's health Many updates already completed plan benefits book to be fully during 2002. compliant. If cannot pay claims for 60 days, must declare insolvent and notify artici ating members. ch 172 comparison chart 021209.doc Last printed 12/4/2002 3:26 PM • 0 Highlights of Requirements for Risk Pool under Chapter 172 Please consult your own legal counsel before attempting to set up a Chapter 172 Pool • Political Subdivision may self -fund accident, health, dental, and long-term disability for employees/dependents/retirees • Pool may be for single entity or multiple units through Interlocal Agreement • Contributions to the Pool must be maintained in a separate fund • Must make thorough investigation of background, experience, and financial qualifications of any Third Party Administrator or other entity employed to administer benefits • Must be operated by a Board of Trustees, and it is highly recommended that a proper trust document be adopted A" • Trustees must have 16 hours of training in specified areas dealing with establishment and operation of the Pool, within 180. days of appointment • Must either carry excess loss coverage or reinsurance, or notify each covered person that that there is no coverage, or that it has been cancelled • Must invest according to the Public Funds Investment Act or the Texas Trust Code • Must have annual financial audit by CPA and file audit with Texas Department of Insurance (TDI) • Trustees must declare insolvency if Pool is unable to pay claims within 60 days of verification • Special restrictions placed on counties • Pool coverage is not insurance and Pool is not subject to TDI regulation (entities operating outside of Chapter 172 may not enjoy this exemption) 4 0 • REQUfT FOR CITY COUNCIL AGENDA ITEM Agenda Date Requested: December 9. 2002 Requested By: Doug Kneugner/Gwen Goodwin Department: Planning Report: Resolution: Ordinance: X Consider possible action regarding three ordinances in association with the Harris County Office of Economic Development Grant: Exhibits Auaroi)riation Source of Funds: Northside Neighborhood Account Number: 15-9892-859-1100 Amount Budgeted: $120,000 Amount Requested: $110,000 Budgeted Item: FYJES NO SUMMARY & RECOMMENDATION In March 2002, Council member James Warren submitted an application to the Office of Housing and Economic Development (formerly Harris County Community Development) for US Department of Housing and Urban Development's (HUD) HOME program funds. The application described a program that culminates with 1 l new homes in the Northside neighborhood. Two "model" homes will be built initially to garner interest; nine additional homes will be built as qualified homebuyers are identified. In addition, all 11 qualified homebuyers will receive down payment assistance. On May 2, 2002, the City received a conditional award letter indicating that the application was approved for $350,000 in HOME funds. On May 14, 2002, the City conditionally accepted the award. Pending City Council's approval, the City also agreed to meet the 25% matching fund requirement of $87,500. This totals $437,500 in HOME program funds. The Office of Housing and Economic Development (OHED) structured the grant into two contracts: Contract #1 is for $181,900. Contract #1 pays for the construction of two "model" homes built on 4 lots. The City is required to competitively bid the construction of these 2 homes. The cost (approximately $12,000) of securing the four lots, (2 building sites), is a grant eligible cost that will be deducted from the City's $87,500 match. Once constructed, these homes will be the OHED's property until they are sold as a part of Contract #2. Contract #2 provides a budget of $243,600: approximately $168,100 from the OHED and roughly $75,500 from the City's match. Approximately $22,145 in down payment and closing costs assistance is available for each of the 11 qualified homebuyers. (This includes the 2 houses described in Contract #1.) In this phase, the builder, (selected by competitive bid in Contract #1), will secure financing for the acquisition of lots and construction of 9 homes. The down payment assistance and closing costs will be paid to the builder at closing. Council is asked to consider an ordinance authorizing an agreement between the City of La Porte and OHED on behalf of the US Dept. HUD. Contracts # 1 & 2 are shown in Exhibit A. Because the City does not have the staff resources to administer this type of grant, we are requesting Council approval to retain the services of Southeast Texas Housing Finance Corporation (SETH) and Sheila Frye and Associates. SETH will administer the Program on behalf of the City for a fee of $17,500. This includes marketing, reviewing applications, maintaining pertinent files, serving as liaison with the builder, lender, OHED and other parties. Frye and Associates will provide marketing, homebuyer's education, and pre -qualification for a fee of $5,000. Their responsibilities are described in their respective "Letters of Agreement". Council is asked to consider an ordinance authorizing agreements between the City, SETH, and Sheila Frye and Associates for administrative services. The fees for SETH and Sheila Frye and Associates will be a cost to the City in addition to the $87,500 grant match. The proposed funds for this grant are funds previously budgeted for implementation of the Northside Neighborhood Plan: $100,000 budgeted in FY 01 20,000 budgeted in FY 02 $120,000 Total The HOME program estimated expenses A $87,500 $17,500 $ 5,000 $110,000 Northside Neighborhood Account P required match to OHED grant administration to SETH grant administration to Frye & Associates Total HOME estimated expenses $120,000 beginning balance ($110,000) HOME estimated expenses 229 reserved for Finance dept admin use $ 9,771 Ending Balance of Northside Neighorhood account Stafrs presentation provides examples of the homes and the various features contained in them. (See Exhibits B & C.) Exhibit D is a draft applicant program package. Action Required by Council: 1. Approve an ordinance authorizing an agreement between the City and Harris County OHED on behalf of the U.S. Dept. HUD. 2. Approve an ordinance authorizing an agreement between the City and SETH for administrative services. 3. Approve an ordinance authorizing an agreement between the City and Sheila Frye and Associates for administrative services. Auoroved for City Council Aeenda ,0t?/S- 10.2 )Da ORDINANCE NO.2002- AS'-9 I AN ORDINANCE APPROVING AND AUTHORIZING A CONTRACT BETWEEN THE CITY OF LA PORTE AND HARRIS COUNTY COMMUNITY DEVELOPMENT DEPARTMENT, FOR ACCEPTANCE OF A CONDITIONAL AWARD IN THE AMOUNT OF $350,000.00 FROM HARRIS COUNTY COMMUNITY DEVELOPMENT DEPARTMENT FOR FUNDING THE CITY OF LA PORTE'S HOME INVESTMENT PARTNERSHIP (HOME) PROGRAM; APPROPRIATING A SUM OF UP TO $87,500.00 IN CITY MATCHING FUNDS TO FURTHER THE CITY'S GOAL OF PROVIDING AFFORDABLE HOUSING; MAKING VARIOUS FINDINGS AND PROVISIONS RELATING TO THE SUBJECT; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; PROVIDING AN EFFECTIVE DATE HEREOF. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE: Section 1. The City Council hereby approves and authorizes the acceptance, agreement, or other undertaking described in the title of this ordinance, in substantially the form as shown in the document which is attached hereto and incorporated herein by this reference. The Acting City Manager is hereby authorized to execute such document and all related documents on behalf of the City of La Porte. The City Secretary is hereby authorized to attest to all such signatures and to affix the seal of the City to all such documents. City Council accepts the conditional award of $350,000.00 from Harris County Community Development Department and appropriates the sum of up to $87,500.00, from the City's General Fund, Account Number 15-9892-859-1100 to fund said Home Investment Partnership (HOME) Program. Section 2. The City Council officially finds, determines, recites, and declares that a sufficient written notice of the date, hour, place and subject of this meeting of the City Council was posted at a place convenient to the public at the City Hall of the City for the time required by law preceding this meeting, as required by the Open Meetings Law, Chapter 551, Texas Government Code; and that this meeting has been open to the public as required by law at all times during which this ordinance and the subject matter thereof • • ORDINANCE NO.2002- 5 q 9 PAGE 2 has been discussed, considered and formally acted upon. The City Council further ratifies, approves and confirms such written notice and the contents and posting thereof. Section 3. This Ordinance shall be effective from and after its passage and approval, and it is so ordered. PASSED AND APPROVED, this`f`'- day of December, 2002. CITY OF LA PORTE By: Orman L. Malone Mayor ATTEST: O-A4 Martba A. Gillett City Secretary C R of La Porte ., .. :I 1> Established 1892 � TEXAS May 14, 2002 Mr. Xavier Lemond Chief Operating Officer Harris County Community Development Department 8410 Lantern Point Drive Houston, Texas 77054 Re: 2002 Request for Proposal (RFP) Process Project Name: Downpayment and Closing Cost Assistance Dear Mr. Lemond: The City is pleased to accept the $350,000 conditional award to be used as downpayment and closing cost assistance. We also acknowledge that our match amount of $87,500 is conditional upon both parties reaching written agreement as to how the funds can best be spent in meeting Harris County Development guidelines to compliment the City's goal of providing affordable housing. Once a final agreement is reached, I will place this item on a City Council agenda, as City Council is the only body that can approve this award. We are anxious to move forward together. Please do not hesitate to contact me if you require any additional information. Sincerely, O T. 4-v�. Robert T. Herrera City Manager RTHlcns c: Mayor and City Council John Joerns, Assistant City Manager • r HARRIS COUNTY COMMUNITY DEVELOPMENT DEPARTMENT RECEIVED Robert Eckels, County Judge Bruce A. Austin, Director MAY 0 6 2002 May 2, 2002 PLANNING DEPT. Doug Kneupper City of La Porte 604 West Fairmont La Porte, Texas 77571 Dear Mr. Kneupper: SUBJECT: 2002 Request For Proposal (RFP) Process Project Name: Downpayment and Closing Cost Assistance We are pleased to inform you that your application has been conditionally selected for funding. Due to the limited amount of funds available, the Harris County Community Development Department has approved $350,000.00 in HOME funds for the above referenced project on the condition of Harris County Commissioner's Court and the U.S. Department of Housing and Urban Development (HUD) approval. You are .required to return a cover letter acknowledging your organization's acceptance of the conditional award on your organizations letterhead. Also if applicable, please revise, your Statement of Work and Project Budget based on your conditional award amount on the enclosed diskette. These are to be remitted to our administrative offices located at 8410 Lantern Point, Houston, Texas 77054, by Wednesday May 15, 2002. Non -receipt of these forms will delay the contract development phase. Please remember to retain a copy of all information submitted for your records. This Department will not execute a contract with your organization until all regulatory requirements are met. Note that HCCDD funds are dispersed on a reimbursement basis only. It will be necessary for your organization to have adequate working capital to sustain the operation of the project for a minimum of sixty (60) days after executing a contract with Harris County. Any funds expended prior to Commissioner's Court approval and contract execution kill not be reimbursed. If you have questions concerning the requested information, please contact Mrs. Adrianne Holmes at (713) 747-0132 ext. 2049 or at Asterling@cda.co.harris.tx.us. Thank you for your continued interest in Harris County Community Development programs. Sincerely, r vvier Len nd Chief Operating Officer XL.\ASH Enclosure 8410 Lantern Point Drive • Houston, Texas 77054 • (713) 747-0132 - Fax (713) 578-2190 Email: director@cda.co.harris.tx.us • E 'M Y HARRIS COUNT , TEXAS ,ear OFFICE OF HOUSING & ECONOMIC DEVELOPMENT 8410 Lantern Point Houston, Texas 77054 Tel:713-747-0132 Fax:713-578-2190 January 8, 2003 Mr. John Joerns, Acting City Manager City of La Porte 604 W. Fairmont Parkway LaPorte, Texas 77571 Dear Mr. Joerns: RE: Down Payment and Closing Cost Assistance Program Project No. 2002-047 JAN 1 4 Enclosed is a copy of the executed Agreement between Harris County and the City of La Porte for the project referenced above using Home Investment Partnerships (HOME) Program funds. Please note that Mr. Warren came by our offices on January 7, 2003 and acquired a copy himself. If you have any questions please contact Stephen Skeete at (713) 747-0132 ext. 2042. Sinc ely, David Turkel Director DBT/ng Enclosure G:\8=h=\QA\n8kxauted agrmma\City_ot L a Pone Downpuymcnt Asst Progrem_exec_agree_hr 010803.doc 2002-047 • 0 AGREEMENT BETWEEN HARRIS COUNTY AND THE CITY OF LA PORTE FOR DO«'NPAYMENT AND CLOSING COST ASSISTANCE PROGRAM THIS Agreement is made and entered into by and between Harris County, a body, politic and corporate under the laws of the State of Texas, herein called the "Grantee" and the City of La Porte. a Texas body politic and corporate under the laws of the State of Texas, herein called the "Subrecipient." WHEREAS, the Grantee has applied for and received funds from the United States Government under the Home Investment Partnerships (HOME) Program, application number M-02-UC-48- 0215, 2002-047; WHEREAS, the primary purpose of the HOME program pursuant to the National Affordable Housing Act of 1990 (NAHA) and 24 C.F.R. Part 92, is to benefit low and very -low income citizens by providing them with affordable housing; WHEREAS, the Grantee and the Subrecipient desire to enter into an agreement whereby the Grantee will grant funds to Subrecipient for the purpose of a Homebuyers Assistance Program for the benefit of low income residents to purchase homes, which is an eligible activity under the rules and regulations regarding HOME Program grant funds, in accordance with the terns and conditions described herein; and WHEREAS, the Subrecipient shall insure recognition of the role of the Grantee Department in providing sen ices through this contract. All activities, facilities, and items utilized pursuant to this contract shall be prominently labeled as to funding source. In addition, the Subrecipient will g and Economic Development "OHED" for the support include reference to the Office of Housin provided herein in all publications made possible with funds made available under this agreement. NO«'. THEREFORE, in consideration of the mutual covenants and agreements herein contained, it is agreed between the parties hereto that: SCOPE OF ACTIVITIES Subrecipient agrees to provide the activities described in Exhibit A, attached hereto and incorporated herein for all purposes. in accordance with the provisions of this Agreement and in compliance with the requirements of Title 1 of the Housing and Community Development Act of 1974 and all regulations issued thereunder. A. Elivible ActivitV The Subrecipient agrees to maintain documentation that demonstrates that the activities carried out with funds provided under this Agreement meet the following eligible activity relating to the HOME Program at 24 C.F.R. § 92.205(a)(1) which states that funds may be used by a participating jurisdiction to provide for downpayment and closing costs • 0 assistance. The specific eligible project costs f;r these activities are set forth in 24 C.F.R § 92.206. B. Performance Monitoring The Grantee will monitor the performance of the Subrecipient against goals and performance standards required herein. Subst*idard performance as determined by the Grantee will constitute non-compliance or br:ach with this Agreement. If action to correct such substandard performance is nct taken by the Subrecipient within a reasonable period of time after being notified by the Grantee, Agreement termination procedures will be initiated pursuant to 24 C.F.R. § 85.43. The Subrecipient agrees to cooperate in periodic site visits and annual program and financial monitoring visits which the OHED naff and/or the Harris County Auditor's staff will conduct. Subrecipient also agrees t.) be cooperative with monitoring and/or investigations performed by the Department e: Housing and Urban Development, and comply with their findings. Any non-compliance's identified during said monitoring visits shall be addressed in a reasonable period of time by the Subrecipient. 'Failure to respond in a timely manner will result in further corrective action by OHED in:iuding, but not limited to, termination of the agreement. II. TIME OF PERFORMANCE Services of the Subrecipient shall start on the -`h day of December 2002 and end on the 31" day of July 2004. This Agreement may on::: be extended upon written approval from the Director, OHED. III. PAYMENT It is expressly agreed and understood that the total amount to be paid by the Grantee under this Agreement shall not exceed One Hundred Sixty Eight Thousand One Hundred Dollars and No 100 (S16S.100.00). DrawdoN;-is for the payment of eligible expenses shall be made against the line item budgets sp�-ifred in Exhibit "B" in accordance with performance. The Grantee will only make =_nds available to the Subrecipient on a reimbursable basis upon receipt of an invoice. invoices must be submitted on or before the tenth %vorking day of the month for eligible costs incurred during the preceding mont . and shall be on a form approved by the Harris County Auditor. Subrecipient shall be paid a portion of the com-act amount for each closing. The portion to be paid is represented by a fraction, the Numerator of which is one (1) and the denominator of %vhich is the total closings pro-- ided for in this contract. Subrecipient is directed to the HOME program regulations found at 24 C.F.R. § 92.206, Eligible Project Costs. • Prior to payment, OHED and the Harris County Auditor must approve all invoices. An incorrect reimbursement request will be returned to the Subrecipient for correction and resubmission. OHED will not alter any reimbursement request submitted for payment. Grantee maintains the right to suspend payment to the subrecipient for failure to submit reports within the required timeframe. Grantee may terminate this agreement with the subrecipient for failure to submit reports for two consecutive months. A Supplemental Request amending a payment or reimbursement request may be filed with OHED within thirty (30) days after the submission or receipt of the original request. A Supplemental Request for payment or reimbursement submitted after thirty (30) days from the date of submission or receipt of the original request will not be approved. No more than one Supplemental Request shall be allowed per month. The Grantee has no County funds for the payment of services to be rendered under this Agreement. It is expressly understood that Grantee's obligation under this Agreement is contingent upon receipt of funds for such purpose from the U.S. Department of Housing and Urban Development (HUD), by virtue of the above mentioned Grant(s). Accordingly, notwithstanding anything herein to the contrary, the maximum liability of the Grantee under this Agreement, shall not exceed One Hundred Sixty Eight Thousand One Hundred Dollars and. No/100 ($168,100.00) or the amount actually received by the Grantee from HUD pursuant to the Grant, whichever is less, and Subrecipient, by execution of this Agreement, acknowledges its understanding of this fact. Payments may be contingent upon certification of the Subrecipient's financial management system in accordance with the standards specified in OMB Circular A-110. The Grantee shall reimburse the Subrecipient for the total costs, plus project delivery costs, of those items, which serve only clients from the OHED service areas. In no event shall the Grantee pay the Subrecipient more than the sum of One Hundred Sixty Eight Thousand One Hundred Dollars and No/100 (S 168,100.00). Payment by the Grantee to the Subrecipient shall be limited to the actual out-of-pocket expenses incurred by the Subrecipient in the performance of this Agreement. No reimbursement shall be made for -oods or services received by the Subrecipient as in - kind contributions from third parties for assistance of the program. Any proposed reallocation of funds among various Budget line items or to new line items created in the Budget must be treated as a contract amendment, requiring approval of the Grantee. No more than two (2) budget revision requests shall be allowed each year. The Subrecipient understands and agrees that reimbursement for costs under this Contract shall be in accordance with all applicable federal rules, regulations, cost principles, and other requirements relating to reimbursement with Housing and Urban Development (HUD) grant funds. The County shall pay for only those costs that are allowable under said rules, regulations, cost principles and requirements. The Subrecipient agrees to IV V VI repay County in toll for any costs paid by COur:v under this contract that are disallowed or determined to have been ineligible for payme-t with HUD grant funds. NOTICES Any communication concerning this Agreement :hall be directed to the representatives of the Grantee and Subrecipient as provided in Exhibit A, Scope of Services. Subrecipient shall provide clients with informar.)n concerning submission of complaints. Any complaints received concerning the Subr_cipient and services provided shall be directed to the representative of the Grantee as provided in Exhibit K. Letters received detailing the results of Subrecipient monitorir.; by the Grantee shall be posted, upon receipt, for public view. If HUD initiates an investigation into a matter zovered under this contract, OHED shall or may withhold all payments until the results )f the investigation have been revealed. Reimbursement to the Subrecipient will b; determined upon resolution of the investigation by HUD. Grantee David B. Turkel, Director Office of Housing & Economic Development 8410 Lantern Point Houston, Texas 7-054 SPECL-kL CONDITIONS Subrecipient John Joerns, Acting City Manager City of La Porte 604 W. Fairmont Parkway LaPorte, Texas 77571 The Subrecipient agrees to comply % ith the r::uirements of Title 24 Code of Federal Regulations, Par: 92 of the HUD regulations :oncerning the HOME Program and all federal regulation: and policies issued pursuar.: to these regulations. The Subrecipient further agrees to utilize funds available under t _s .Agreement to supplement rather than supplant funds ot-erwise available. .'AATCHING FL1-DS CONTRIBUTION R.EOL-REVIEtiTS HOME Program :ands used for Subrecipient p-:iect delivery costs and the provision of downpayment arc: closins cost assist_nce are -squired to be matched according to 24 C.F.R.: 92.218. -he matching contribution muz: total not less than 25 percent of HOME funds expended.Eligible :brats of matching c:ntributions must be met in accordance with 2= C.F.R. 1 oil PROr'ECT REOUIREMFNTc A. Pronerty Standards (1) The Subrecipient must follow the property standards requirements of 24 C.F.R. § 92.251 for housing constructed or rehabilitated with HOME funds. The housing must meet all applicable local codes, rehabilitation standards, ordinances and zoning ordinances at the time of project completion. (2) (3) (4) A Newly constructed housing must meet the current edition of the Model Energy Code (MEC) published by the Council of American Building Officials. The housing must meet the accessibility requirement at 24 C.F.R. Part 8, which implements Section 504 of the Rehabilitation Act. Construction of all manufactured housing must meet the Manufactured Home Construction and Safety Standards established in 24 C.F.R. Part 3280. Affordability Period The Subrecipient must follow the affordability requirements of 24 C.F.R. § 92.254 (a)(4) of the HOME Program, as applicable. Failure to meet the affordability requirements for the specified periods will require repayment of HOME funds. In addition, to ensure affordability, the Grantee has imposed the recapture requirements at 24 C.F.R. § 92.254(a)(5)(ii), which recoups all or a portion of the HOME assistance to the homebuyers, if the housing does not continue to be the principal residence during the period of affordability. Amount of Assistance Provided Affordability Period <S 15.000 5 years S 15,000 - $40,000 10 years >S40.000 15 vears I Recapture Requirements The Subrecipient must inform homebuyers that housing purchased with HOME Program funds must be acquired by a homebuyer whose family qualifies as a low- income family and that the housing must continue to be the principal residence of the assisted homebuyer for the full affordability period, as required by 24 C.F.R. § 92.254 (3). To ensure that the Grantee recoups all or a portion of the HOME assistance to homebuyers in accordance with 24 C.F.R. § 92.254(a)(5)(ii)(A)(5) if the housing does not continue to be the principal residence of the family for the duration of the period of affordability, the Grantee will reduce the HOME investment amount to be recaptured on a pro-rata basis for the time the homeowner has owned and occupied the housing as the principal r--idence treasured against the required affordability period. D. Religious Organizations HOME funds may not be provided to pr_-narily religious organizations, such as churches, for any activity including secul_r activities as indicated in 24 C.F.R. § 93.257 of the HOME Program requiremems. E. Affirmative Marketing: Minority Outreach Program Subrecipient must follow the affirmative marketing procedures and requirements in accordance with ?4 C.F.R. § 92.351 of the HOME Program, for HOME - assisted housing containing 5 or more hosing units. The affirmative marketing steps consist of actions to provide info -oration and otherwise attract eligible persons without regard to race, color, national origin, sex, religion, familial status or disability in the housing market area to :he available housing. The Grantee will annually assess the affirmative mark etin_ program to determine the success of affirmative marketing actions and any necessary corrective actions (Exhibit H). VIII. GENERAL CONDITIONS A. General Compliance The Subrecipient agrees to comply with all appl::able federal, state and local laws and regulations governing the funds provided unde- this Agreement, including Executive Order 12372 governing the review and coordina::on of Federally Assisted Program and Projects. ' B. Independent Contractor Subrecipient shall operate hereunder as an Indep=-tdent Contractor and not as an officer, agent, servant or employee of Grantee. Subrecip:ent shall have exclusive control of, and [lie exclusive right to control. the details of the N; >rk and services performed hereunder, and all persons performing same, and shall l:_ solely responsible for the acts and omissions of its officers, members, agents, sen :-its, employees, program participants, hc-Insees or invitees. The doctrine of responder: superior shall not apply as between Grantee and Subrecipient, its officers, members. agents. servants. employees, program Via- icipar.ts. licensees or in%:tees. and nothing ' trein shall be construed as creating a )inner=-:? or io,n: enterp-Sc- between Granter and Subrecipient. It is expressly und-rstecd and u.= e:d that no officer. member, :gent, employee, licensee or invitee of :1I: SUbr;�cipient. nor any pro ram participant here under, is in the paid service of Grantee and that Grantee does not have the leval ri:ht to c::[trol the details of the tasks performed I by Subrecipient. its officers, me-bers, agents, employees, program participants, licensees or invitees. Grantee shall in no way nor under any circumstances be responsible for any property belonging to Subrecipient, its officers, members agents, employees, program participants, licensees or invitees, which may be lost, stolen, destroyed or in any way damaged. C. Indemnity Subrecipient covenants and agrees to indemnify, hold harmless and defend, at its owri expense, Grantee and its officers, agents, servants and employees from and against any and all claims or suits for property loss or damage and/or personal injury, including death, to any and all persons, of whatsoever kind of character, whether real or asserted, arising out of or in connection with the execution, performance, attempted performance or nonperformance of this contract and Agreement and/or the operations, activities and services of the Program described herein, whether or not caused, in whole or in part, by alleged negligence of officers, agents, servants, employees, Subrecipients or sub-Subrecipients of Grantee; and Subrecipient hereby assumes all liability and responsibility of Grantee and its officers, agents, servants, and employees for any and all claims or suits for property loss or damage and/or personal injury, including death, to any and all persons, of whatsoever kind or character, whether real or asserted, arising out of or in connection with the execution, performance, attempted performance or nonperformance of this contract and Agreement and/or the operations, activities and services of the programs described herein, whether or not caused in whole or in part, by alleged negligence of officers, agents, servants, employees, Subrecipients or sub-Subrecipients of Grantee. Subrecipient likewise covenants and agrees to and does hereby indemnify and hold harmless Grantee from and against any and all injury, damage or destruction of property of Grantee, arising out of or in connection with all acts or omissions of Subrecipient, its officers, members, agents, employees, sub-Subrecipients, invitees, licensees, or program participants, or caused, in whole or in part, by alleged negligence of officers, agents, servants, employees, Subrecipients or sub-Subrecipients of Grantee. D. Workers' Compensation The Subrecipient shall provide Workers' Compensation Insurance coverage for all employees involved in the performance of this Agreement. Subrecipient must provide to OHED a Certificate of such insurance. The Subrecipient shall also abide by the Contract Work Hours and Safety Standards Act of 1962 (40 U.S.C. 327 et seq.). E. Waiver of Immunity If the Subrecipient, as a charitable or nonprofit organization, has or claims an immunity or exemption (statutory or otherwise) from and against liability for damages or injury, includin` death. to persons or property, Subrecipient hereby expressly waives its rights to plead defensively such immunity or exemption as against Grantee. This section shall not be construed to affect a governmental entity's immunities under constitutional, statutory or common law. F. Public Liability Insurance Subrecipient shall furnish a certificate of insuranc_ as proof that it has secured and paid for policies of public liability and automobile liability insurance covering all risks incident to or in connection with the execution, performance, attempted performance or nonperformance of this contract and Agreement. The amounts of such insurance shall not be less th_n the maximum liability, which can be imposed on Grantee under the laws of the State of Texas. At present, such amounts shall be as follows: Property damage, per occurrence 5100 000 Bodily injury or death, per person S 100,000 Bodilv injury or death, per occurrer.:e 5300,000 With the understanding and Agreement by the Subrecipient that such insurance amounts shall be revised upward at Grantee's option and sat the Subrecipient shall revise such amounts within thirry (30) days following notice tc Subrecipient of such requirements. Subrecipient also covenants and agrees to furnL;h the Grantee with a certificate of insurance as proof that it has obtained and paid fcr a policy of Worker's Compensation Insurance in the amounts required by State lam-. covering any and all employees of Subrecipient active in the prog-am funded under t_is contract; and Subrecipient agrees to require its sub-Subrecipients to carry adequate Wcrker's Compensation Insurance in the amounts required by State law. Subrecipient will submit to Grantee documentation that it has obtained insurance coverage as required in this contract within thi, (30) days of the execution of this contract and prior to payment of anv monies hereu_ der. G. Grantor Recoanition The Subrecipient shall ensure recognition of the role of Grantee in making services Bailable through this Agreerrent.A11 facilities. p-�lications and other items used, made a"•ailable. or made possible trough funds obtain:_ pursuant to this Agreement shall be .prominently labeled as having been funded (in to or in part) by Office of Housing and -conomic Development. Subrecipient shall maintain 2 "recognition file". Each instance of recognition shall be Documented by including in such file a copy )r photograph of each instance of recognition. Original documents are the prefe-red means of documentation, but photocopies or photographs may be used when and where appropriate. • • H. Amendments Grantee or Subrecipient may amend this Agreement at any time provided that such amendments make specific reference to this Agreement, and are executed in writing, signed by a duly authorized representative of each organization, and approved by the Grantee's governing body. Such amendments shall not invalidate this Agreement, nor relieve or release Grantee or Subrecipient from its obligations under this Agreement. Grantee may, in its discretion, amend this Agreement to conform with federal, state or local governmental guidelines, policies and available funding amounts, or for other reasons. If such amendment results in a change in the funding, the scope of services, or schedule of the activities to be undertaken as part of this Agreement, such modifications will be effected only by written amendment signed by both Grantee and Subrecipient. No more than two amendments to the agreement shall be allowed each year. I. Suspension or Termination Either party may terminate this Agreement at any time by giving written notice to the other party of such termination and specifying the effective date thereof at least 30 days before the effective date. of such termination. Partial terminations of the Scope of Services in Exhibit A above may only be undertaken with the prior approval of Grantee. In the event of any termination for convenience, all finished or unfinished documents, data, studies, surveys, maps, models, photographs, reports or other materials prepared by Subrecipient under this Agreement shall, at the option of the Grantee, become the property of Harris County, and Subrecipient shall be entitled to receive just and equitable compensation for any satisfactory work completed on such documents or materials prior to the termination, unless HUD has determined through monitoring and or investigative practices, that Subrecipient is not entitled to such compensation. Subrecipient may be responsible for repayment of funds to OHED or HUD. Grantee may also terminate this Agreement for cause, in whole or in part, if Subrecipient materially fails to comply with any term of this Agreement, or with any of the rules, regulations or provisions referred to herein; and the Grantee may declare the Subrecipient ineligible for any further participation in Grantee HOME Agreements, in addition to other remedies as provided by law. Additionally, in the event there is probable cause to believe the Subrecipient is in noncompliance with any applicable rules or regulations, the Grantee may withhold up to twenty-five (25) percent of said Agreement funds until such time as the Subrecipient is found to be in compliance by the Grantee, or is otherwise adjudicated to be in compliance. Termination, or expiration, of this Agreement shall not relieve Subrecipient of liability for any breach of this Agreement that occurs prior to such termination or expiration. • I* J. Reversion of Assets Upon expiration of the term of this Agreement. the Subrecipient shall transfer to the recipient any HOME funds on hand at the time o- expiration and any account receivable attributable to the use of HOME funds. For _nv year following the expiration or termination of this contract that Subrecipient hold: personal property attributable to funds hereunder, Subrecipient shall submit an Annual R.-port of Personal Property identifying the property and its location, with such report bei=g filed with the OHED and the Harris County Auditor. Grantee may also suspend or terminate this Agreement, in whole or in part, if Subrecipient materially fails to comply with any ::rm of this Agreement, or with any of the rules, regulations or provisions referred to herein; and the Grantee may declare the Subrecipient ineligible for an.- further participation. in Grantee Agreements, in addition to other remedies as provided by law. In the event there is probable cause to believe the Subrecipient is in noncompliance with any applicable rules or regulations, the Grantee may withhold up to twenty-five (25) percent of sad Agreement funds until such time as the Subrecipient is found to be in compliance by t_e Grantee, or is otherwise adjudicated to be in compliance. IX. ADMINISTRATIVE REQUIREMENTS A. Financial Managemen- 1. Accounting Standards The Subrecipient agrees to comply with S_bpart C of OMB Circular A-110 and agrees to adhere to the accounting principles and procedures required therein, utilize adequate internal controls. and ma-:tain necessary source documentation for all costs incurred. 2. Cost Principles The Subrecipient sh. it administer its :-ogram in conformance with OMB Circulars A-122. "CList Principles for \:n-Profit Organizations, for all costs incurred whether char_:d on a direct or inc.-ect basis. B. Documentation and Rt,ord-Keepinv Records to be Maintained The Subrecipient shai: maintain all recor_s required by the federal regulations specified in 24 C.F.R. Part 92.508 and tl:_t are pertinent to the activities to be funded under this Agreement. Such record: shall include but not be limited to: a. Records required to document the acquisition, improvement, use or disposition of real property acquired or improved with HOME assistance; b. Records documenting compliance with the fair housing and equal Opportunity components of the HOME program; C. Financial records as required by 24 C.F.R. § 92.505, and OMB Circular A-122; and d. Other records necessary to document compliance with Subpart K of 24 C.F.R. Part 92. 2. Retention The Subrecipient shall retain all records pertinent to expenditures incurred under this Agreement for a period of five years after the termination of all activities funded under this Agreement, or after the resolution of all Federal audit findings, which ever occurs later. Records for non -expendable property acquired with funds under this Agreement shall be retained for five years after final disposition of such property. Records for any displaced person must be kept for five years after he/she has received final payment.. All client records are the property of the Grantee and must be forwarded to the Grantee at the end of each quarter. Failure to submit client files to Grantee as required shall be a material breach of the contract and funding will be withheld from the Subrecipient until such time as the files are submitted. Subrecipient must also comply with the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970. 3. Reports The Subrecipient shall furnish reports to the Grantee, which include, but may not be limited to the following: A. Performance Reports submitted at the end of each month. B. Certification for Contracts, Grants, Loans, and Cooperative Agreements (see Exhibit Q. C. Cost Control Report submitted monthly to Grantee. D. Cost Worksheet submitted monthly to Grantee. E. Reimbursement Request submitted monthly to Grantee. F. Personnel Cost Worksheet submitted monthly to Grantee. G. Quarterly and Annual Performance Reports submitted at the end of each quarter or contract period, respectively. H. Homeownership Assistance/Rental Housing Project Set -Up and Completion Reports. Monthly reports are to be submitted within ten (10) working days of the end of the reporting periods. The quarterly performance reports are due within fifteen (15) days after the end of the previous qua-;er and the annual performance report is due within one month after the end o: the contract period. Reimbursement requests received more than sixty (60) dax•; after the reporting month will not be honored. Incorrect reports will not be a;cepted and will be returned to the Subrecipient for correction and resubmission. Failure to comply with the reporting requirements of this Article shall be a material breach of the contract and funding will be withheld from the Subrecipient until such time as the reports are submitted. Grantee maintains the right to terminate thi; Agreement with the Subrecipient for failure to submit reports for three consecutive months. 4. Eligible Activin, The Subrecipient agrees to maintain doctcnentation that demonstrates that the activities carried out with funds provided under this Agreement meet the eligible activity relating to the HOME Program at =4 C.F.R. § 92.205, which states that funds may be used by a participating jurisdi:tion to provide for downpayment and closing cost assistance. The specific eligible costs for these activities are set forth in 24 C.F.R. § 92.206(d). 5. Close -Outs Subrecipient's obligation to the Grantee shall not end until all closeout requirements described in 24 C.F.R. 84 art completed to the satisfaction of the OHED and the Harris County Auditor. Activities during this close-out period shall include. but are not limited to. making Final payments, disposing of program assets (including the return of all unused materials, equipment, unspent cash advances, program income balances, and r::eivable accounts to the Grantee, and determining the custodianship of records. 6. Audits & Inspections All Subrecipient records with respect to ary matters covered by this Agreement steal! be made available to the Grantee, its Ztsignees or the Federal Government. at any time during normal business ho;:-s, as often as the Grantee deems necessary, to audit, examine, and make exc-.-pts or transcripts of all relevant data. Any deficiencies noted in audit reports mu_: be fully cleared by the Subrecipient %%it tin 30 days after receipt by the Subrecipient. Failure of the Subrecipient to compl%, with the above audit requirement: will constitute a violation of this jreement and may result in the withhold::.; of future payments. Subrecipient hereby agrees to have an annual agency aud:: conducted in accordance with OMB Circular A-133. C. Reporting and Pay*nent Procedures 1. Budgets The Subrecipient has submitted a detailed budget (see Exhibit B) in a form and content prescribed by Harris County Auditor. The Grantee and the Subrecipient may agree to revise the budget in accordance with existing county policies. The budget may only be revised two times in a one-year period. 2. Program Income The Subrecipient shall report all program income as defined at 24 C.F.R. § 92.2(2) generated by activities carried out with HOME funds made available under this Agreement. The use of program income by the Subrecipient shall comply with the requirements set forth at 24 C.F.R. § 92.503. By way of further limitations, the Subrecipient may use such income during the contract period for activities permitted under this Agreement and shall reduce requests for additional funds by the amount of any such program income balances on hand. All unused program income shall be returned to the Grantee at the end of the contract period. Any interest earned on cash advances from the U.S. Treasury is not program income and shall be remitted promptly to the Grantee. 3. Indirect Costs If indirect costs are charged, the Subrecipient will develop an indirect cost allocation plan for determining the appropriate Grantee share of administrative costs and shall submit such plan to the Grantee for approval. 4. Payment Procedures The Grantee will pay to the Subrecipient funds available under this Agreement based upon information submitted by the Subrecipi approved budget and county polent and consistent with any icy concerning payment. With the exception of certain advances, payments will be made for eligible expenses actually incurred by the Subrecipient, and not to exceed actual cash requirements. Payments will be adjusted by the Grantee in accordance with advance fund and program income balances available in Subrecipient accounts. In addition, the Grantee reserves the right to liquidate funds available under this Agreement for costs incurred by the Grantee on behalf of the Subrecipient. D. Procurement Com= The Subrecipient shall comply with the (1) public notice and (2) award of contract to the lowest and best responsible bidder procedures of the County Purchasing • 0 .act, V.T.C.A., Leal Government Ccc_e § 262.021 et seq., concerning the purchase of equipment and shall mawtain an inventory record of all non- 1xpendabi-� persons propem, as defined by county policy, that may be procured xvith fund_ provide hereunder. Any r:-ll property under Subrecipient's control :hat was a:quired c- improved in whole )r in part with HOME funds must either be: a. Used by the Subrecipient to meet the eligible activity in 24 C.F.R. § 92.205(-)(1) until five years after expiration or termination of the Grantee'_ Agreement with HUD; or b. Transfe-.d to the Grantee; or c. Disposed of in a manner, ccrsistent with 24 C.F.R. § 85.31, which results _. the amount of the then current fair market value of the property less any portion thereof attributable to expenditures of non- HONiE :suds for acquisition Hereof, or improvements to, the property being reimbursed to the Gran:=e. Such reimbursement is not required if dispo_ed of more than ;) five years after the expiration or terminat on of this Agreemem. d. Further, if within five years )f the termination or expiration of this Agreem Wit, the Subrecipient ;eases to use any or all personal property attributa_ ie to HOME funds o meet an eligible activity, the personal oropert-, :hall. in accordance with 24 C.F.R. § 85.32, either revert to :he Gramee or be disposed of m accordance with the applicable federal mles and regulationsbut not limited to OMB Circular A- 110. Sui•--art C. e. The Gr_.:ee in its Sole disc, :ion shall determine whether or not the Subreci:ant use of any prop:-y meets the eligible activity contained :n 2= C.= R. ` 92. J;�a)(1) f. after t} = expiratie i of five ears, the Subrecipient shall have no )bligatic- to coulee with :::is section regarding real or personal propem Nothing : Dntained :::rein sha.'. be construed to conflict with the duties )f the S _'recipien: as set fe-:1 in the Texas Iron -Profit Corporation .act (Te%. Ann. Clv. Si. Art. 1: :6-1.01. et seq.) or any other applicable statue. O.V3 Stanc_ js -he Subre_"pient s:._:1 procure materials :n accordance with the requirements of Subpart C of ONLB Circuiar A-11C. Procurement Standards, and shall subsequently follow Subpart C, Property Management Standards, covering utilization and disposal of property. 3. Travel Subrecipient must comply with Harris County travel guidelines and obtain prior written approval from the Grantee for any travel outside the Grantee's service area paid for with funds provided under this Agreement. 4. Relocation. Acquisition and Displacement The Subrecipient agrees to comply with 24 C.F.R. § 92.353 relating to the acquisition and disposition of all real property utilizing grant funds, and to the displacement of persons, businesses, non-profit organizations and farms occurring as a direct result of any acquisition of real property utilizing grant funds. The Subrecipient agrees to comply with applicable Grantee Orders, and Policies concerning displacement of individuals from their residences, including the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970. X. PERSONNEL & PARTICIPANT CONDITIONS A. Civil Rights 1. Compliance The Subrecipient agrees to comply with Title VI of the Civil Rights Act of 1964 as amended, Title VII of the Civil Rights Act of 1968 as amended, Section 109 of Title 1 of the Housing and Community Development Act of 1974, Section 504 of the Rehabilitation Act of 1973, the Americans with Disabilities Act of 1990, the Age Discrimination Act of 1975, Executive Order 11063, and with Executive Order 11246 as amended by Executive Orders 11375 and 12086 and all other applicable requirements of 24 C.F.R. § 92.350, Subpart H. ?. Nondiscrimination The Subrecipient will not discriminate against any employee or applicant for employment because of race, color, creed, religion, ancestry, national origin, sex, disability or other handicap, age marital status, or status with regard to public assistance. The Subrecipient will take affirmative action to insure that all employment practices are free from such discrimination. Such employment practices include but are not limited to the following: hiring, upgrading, demotion, transfer, recruitment or recruitment advertising, layoff, termination, rates of pay or other forms of compensation, and selection for training, including apprenticeship. The Subrecipient agrees to post in conspicuous places, available to employees and applicants for employment, notices to be provided by the Subrecipient, settir_ forth the provis:,ns of this nondiscrimination clause. Subrecipient shall ::So abide by Title LX of the Education Amendments of 1972 +20 U.S.C. ; 1681 e: seq.). which prohib::s sex discrimination in federally assisted education -2rograms. - • Section 504 The Subre:ipient agees to comply with my federal regulations issued pursuant to compliance with Section 504 of the Rehailitation Act of 1973, (29 U.S.C. 706), which prohibits disc-mination against tiff_ handicapped in any federally, assisted program. The Grantee shall provide the Subrecipient with any guidelines necessary :or comp_ance with that porti: n of the regulations in force during the term of this Agreement. T. Dr_s Free V-orknlace All profit or non-pr,-fit agencies or organizations receiving state or federal grant :ands und:7 the ofz:ial sponsorship of Harris County must certify on an annual oasis their :omplian--e with the requirements of the "Drug Free -Workplace Act of 1988". Employees are specifically proi'_oited from manufacturing, distributing, possessing. purchas.lg, and using illeg� drugs or controlled substances in the ,vork place or in any other facility, location or transport in which the employee is --.quired to be preset: in order to perform its or her job function. B. Affirmativ; Action :. Arcroved P:a.-t the Subre:ipient a: -yes that it shall be :ommitted to carry out pursuant to the Grantee's _peciricarons an Affirmative Action Program in keeping with the principles as provic_d in President's Ext—lutive Order 11246 of September 24, 965• .e Grar::e shall provideAction guidelines to the Subrecipi;-t to ass:- in the formulation �_— such program. The Subrecipient shall :lbmit a "an for a. _affirmative Action : -ogram for approval prior to the award i funds. =. kV `.[BE -iz Subr_::pient ,,.:: use its best effor�::o afford minority- and women -owned asiness =.erprise_ :he maximum prac:::able opportunity to participate in the, ;!rformar.:= of thi::ontract. As used :- this contract, the term "minority and %vmen badness en:- rprise" means a siness at least fifty-one (51) percent :.,Is dd any :ontroll�_ by minority group .-embers or women. For the purpose of :.,Is defini::on, "mir:-ity group members" are Afro-Americans, Spanish-speaking, Soanish :-:marred :r Spanish -heritage Americans, Asian Americans, and .=.mencan L-tdians. The Subrecipient r_ ay rely on written representations by businesses regarding their status as minority and women business enterprises in lieu of an independent investigation. 3. Access to Records The Subrecipient shall furnish and cause each of its sub-Subrecipients to furnish all information and reports required hereunder and will permit access to its books, records and accounts by the Grantee, HUD or its agent, or other authorized federal officials for purposes of investigation -to ascertain compliance with the rules, regulations and provisions stated herein. 4. EEO/AA Statement The Subrecipient will, in all solicitations or advertisements for employees placed by or on behalf of the Subrecipient, state that it is an Equal Opportunity or Affirmative Action Employer, as applicable. Subcontract Provisions The Subrecipient will include the provisions of Paragraphs VIII A, Civil Rights, and B, Affirmative Action, in every subcontract or purchase order, specifically or by reference, so that such provisions will be binding upon each Subrecipient or vendor. C. Employment Restrictions Prohibited Activity The Subrecipient is prohibited from using funds provided herein or personnel employed in the administration of the program for political activities; sectarian, or religious activities; lobbying, political patronage, and nepotism activities. ?. OSHA Where employees are engaged in activities not covered under the Occupational Safetv and Health Act of 1970, they shall not be required or permitted to work, be trained, or receive services in buildings or surroundings or under working conditions which are unsanitary, hazardous or dangerous to the participant's health or safety. Labor According to 24 C.F.R. § 92.354, every contract for the construction (rehabilitation or new construction) of housing that includes 12 or more units assisted with HOME funds must contain a provision requiring the payniditt of not less than the wages prevailing in the locality, as predetermined by the Secretary of Labor purs=t to D_-vis-Bacon Act (401: S.C. 276a — 276a-5), to all laborers and mechanics employe; in the development of any part of housing. Such contracts must also Iz subjec: to the overtime provisions, as applicable, of the Contract Work Hour_ and Safety Standards Act (4C U.S.C. 327 — .3 1. "Se: Lion 3" Cause a. Comr:iance Cor_.pliance -ith the provisions c: Section 3 of the Housing and Urban Devtlopmem Act of 1968, as amended, the regulations set forth in 24 C.F.R. 135, aad all applicable rules and orders issued hereunder prior to the executioz of this agreementshall be a condition of the federal financial ass:.Lance provided under this Agreement and binding upon the Grantee, the Subrecipient and any Subrecipient. Failure to fulfill these requirements shall subject the G.-antee, the. Subrecipient and any sub- Subrecipients. their successors and assigns, to those sanctions specified by the Agreemez: through which federal assistance is provided, and as set out in == C.F.R.--Subpart 0. The Surecipient certifies and agrees that no contractual or other disability exists which would prevent compliance with thes. require=ents. The Subreciment further agrees to comply with these "Section 3" regt_sements and to include the :ollowing language in all subcontract executed uncle- this Agreement. The :.ork to be performed under this contract is a project assisted under : program providing iirect federal financial assistance from HUD _rtd is subject to -tee requirements of Section 3 of the Hous: and Urban Deve:rpment Act of 1968, as amended, 12 U.S.0 1701. Section 3 rec__ires that, to the greatest extent feasible oppoi:_nities for training end employment be given to lower incorr= residents of the r--Dject area and contracts for work in cone=:ion with :he projec::e awarded to business concerns which are lo:_ted in, o- owned ir substantial part by persons residing in the arias of the project." Th_ Zubr:cic.= tt c:rtifies and agre:•s that no contractual or other disability exi_:_ which auld prevent compha-Ice with the requirements. b. Not if::_bons Th: Subrec:=:ent ag::es to se-d to each labor organization or rep -_tentative. of workers with -.-..-hich it has a collective bargaining avr:anent or ::her contract or understanding, if any, a notice ad' -is" said labc- organiz=:ion or worker's re. resentative of its commitments under 0 • this Section 3 clause and shall post copies of the notice in conspicuous places available to employees and applicants for employment or training. C. Subcontracts The Subrecipient will include this Section 3 clause in every subcontract and will take appropriate action pursuant to the subcontract upon a finding that the subcontractor is in violation of regulations issued by the Grantor Agency. The Subrecipient will not subcontract with any subcontractor where it has notice or knowledge that the latter has been found in violation of regulations under 24 C.F.R. 135 and will not let any subcontract unless the subcontractor has first provided it with preliminary statement of ability to comply with the requirements of these regulations. d• Grievances Subrecipient will notify all clients of the grievance procedure (Exhibit K). Grievance notification will be posted at subrecipient location and will list grievance officer and contact telephone number. Grievance notification will also identify OHED as funding source and telephone number to contact Grantee. D. Conduct 1. Assiartability The Subrecipient shall not assign or transfer any interest in this Agreement without the prior written consent of the Grantee thereto; provided, however, that claims for money due or to become due to the Subrecipient from the Grantee under this Agreement may be assigned to a bank, trust company, or other financial institution without such approval. Notice of any such assignment or transfer shall be furnished promptly to the Grantee. 2. Hatch Act The Subrecipient agrees that no funds provided; nor personnel employed under this Agreement, shall be in anv wav or to any extent engaged in the conduct of political activities in violation of Chapter 15 of Title V United States Code. 3. Conflict of Interest The Subrecipient agrees to abide by the provisions of 24 C.F.R. § 92.356 with respect to conflicts of interest, and covenants that it presently has no financial interest and shall not acquire any financial interest, direct or indirect, which would conflict in an%" manner or degree with the performance of services required under this Agreement. The Subrecipient further covenants that in the performance of this Agreement no person having such a znancial interest shall be employed or retained by the Subrecipient hereunder. These conflict of interest provisions apply to anv person who is an employe-- agent, consultant, officer, or elected official or appointed afficial of the Grante_. or of any designated public agencies or Subrecipient that _e receiving funds unfer the HOME Program. The Subrecipient also agrees to abide b 18 U.S.C. 286, which provides for conspiracy to defraLd the Federal Government with Respect to Claims. In addition, the Subrec:oient will also abide by the False Claims Act (31 U.S.C. 3729 et seq.); 18 U.S.C. 287 relating to False, Fictitious and Fraudulent Claims; IS U.S.C. 245 Federally Protected Activities; 18 U.S.C. 1001 regarding General Statements or Entries: the Program Fraud Civil Remedies Act (31 U.S.C. 3801- 3512); the Federal Claims Collection Act cf 1966 (31 U.S.C. 952) as amended by the Derby Collection act of 1982; the Me:-itorious Claims Act (31 U.S.C. 3702), the Tucker Act (28 U.S.C. 1346, 1491, and 2501); the Wunderlich Act (41 U.S.C. :21-322); the Anti -Deficiency Act (31 U.S.C. 1341); and Section 208(a) of the Intergovernmental Personnel Act of 1970, as amended. 4. Subcontracts a• -Approvals The Subrecipient shall not enter in::) any subcontracts with any agency or indiNidual in the performance of this Agreement without the written consent of the Grantee prior to the execution of such agreement. b• -fonitcrino The Subrecipient will monitor all s_bcontracted services on a regular basis to assure cor-ract compliance. A!sults of monitoring efforts shall be sun-Lm- arized in written reports and __pported with documented evidence of follol-v-up act -ions taken to correct a eas of noncompliance. C. Conte— The Subrecip:ent shall cause all Of the provisions of this Agreement its entirety to be :ncluded in and mad= a part of any subcontract executed in the ;erformar.::! of this Agreement. d• Select::-n Process The Subrecip:!,it shall undertake tc insure that all subcontracts let in the performance c f this Agreement shall be awarded on a fair and open competition basis. Executed copies of all subcontracts shall be forwarded to the Grantee along with documentation concerning the selection process. 5. Co ' ght If this Agreement results in any copyrightable material, the Grantee and/or grantor agency reserves the right to royalty -free, non-exclusive and irrevocable license to reproduce, publish or otherwise use and to authorize others to use, the work for government purposes. 6. Religious Organization The Subrecipient agrees that funds provided under this Agreement will not be utilized for religious activities, to promote religious interests, or for the benefit of a religious organization in accordance with the federal regulations specified in 24 C.F.R. § 92:257. XI. ENVIRONMENTAL CONDITIONS A. Air and Water The Subrecipient agrees to comply with the following regulations insofar as they apply to the perfonnance of this Agreement: • Clean Air Act, 42 U.S.C. 1857, et seq. • Clean Water Act, 33 U.S.C. 1368 • Executive Order 11738 • Federal Water Pollution Control Act, as amended, 33 U.S.C. 1251, et seq., relating to inspection, monitoring, entry, reports, and information, and all regulations guidelines issued thereunder. Cy • Environmental Protection Agency (EPA) regulations pursuant to 40 C.F.R., Part 15, as amended. National Environmental Policy Act of 1969 (42 U.S.C. 432 et seq.; as amended) HUD Environmental Review Procedures (24 C.F.R., Part 58). B. Flood Disaster Protection The Subrecipient agrees to comply with the requirements of the Flood Disaster Protection .-act of 1973 (P.L.-2234) in regard to the sale, lease or other transfer of land acquired, cleared or improved under the terms of this Agreement, as it may apply to the provisions of' this Agreement. C. Lead -Based Paint The Subrecipient agrees that any construction or rehabilitation of residential structures with assistance provided under this Agreement shall be subject to HUD Lead -Based Paint Revulations at 24 C.F.R. § 92.355, and 24 C.F.R. Part 35, and in particular Sub -Part B thereof. Such regulations pertain to all HUD -assisted housing and require that all 'owners, prospective owners, and tenants Of properties constructed prior to 1978 be properly notified that such properties may include lead -based paint. Such notification shall point out the hazards of lead -based pant and explain the symptoms, treatment and precautions that shout; be taken when dealing with lead -based paint poisoning, and of the advisability and availaMity of blood -level greening for children under 7 years of age. D. Historic Prese-: ation The Subrecipient agrees to comply with the Historic Preservation requirements set forth in the National Historic Preservation Act e: 1966, as amended (16 U.S.C. 470) and the procedures set forth i- 36 C.F.R., Part 80C. Advisory Council on Historic Preservation Procedures for Protec-on of Historic Properties, insofar as they apply to the performance of this Agreement. In general this requires concurrence frcm the Texas Historical Commission and Antiquities Committee for all rehabilitation and demolition of historic properties that are fif years old or older or that are included on a Federal, State, or local historic property list. E. Wildlife Protecrion The Subrecipient agrees to comply with therequirements of the Endangered Species Act of 1973 as listed in C.F.R. 17.11 and 50 C.F.R. Part 451; the Lacey Act (18 U.S.C. 42"►: the Migratory 31rd Treaty Act (1 o U.S.C. 703-12); the Fish and Wildlife Ccordinatior. Act (16 :.S.C. 661-667e); Section 4(f) of the Department of Transportation Ac: (49 U.S.C. 1653i :); the Federal Wate- Pollution Control Act (33 U.S.C. 1251 et sec.); the Coastal Zore Management Act of 1972, as amended (16 U.S.C. 1451); and the Sa:e Driril:ir:_ Water Act of 1974 (42 U.S..-. 300f to j-10), insofar as they apply to the perormance ,of this A=eement. IN WITNESS WHEREOF, the Parties have executed this Agreetrrent as of the date first written above. CITY OF LA PORTE Attest: Secretary APPRO ED: t Davt urkel, Director Office of Housing & Economic Development Department APPROVED AS TO FORM: Mike Stafford, County Attorney v' a4� C.S Melis L. Barloco Assistant County Attorney AUDITOR'S CERTIFICATE I herebv certify that funds are available in the amount of S168,100.00 to pay the obligation of Hams County under this contract. Tommy J. Tompkins County Auditor • EXHIBIT A I. Scope of Sen-ices A. Activities . Subrecipient will be responsible for administering HOME Program Fiscal Year 2002 Downpa.ment and Closing Cost Assistance Program in a manner satisfactory to the Grantee and consistent with any standards required as a condition of providing these funds. Subrecipient will provide Down Payment and Closing Cost Assistance to low- income citizens, in accordance with 24 C.F.R. § 92.205(a)(1). Such program will also include the project deliver: costs directly relied to carrying out the project, in accordance with 24 C.F.R. § 92.207(b). These costs will be charged to the program as project costs, in accordance %-,th 24 C.F.R. § 92.206(d)(6). Program Delivery The City of La Porte City), a cooperative city of Harris County, in conjunction with local communi,. organizations has decided to increase the number of affordable housing urrts available to low income residents of the City by utilizing c- HOME Proam fund_. Subrecipient agrees to assist eligible homebuvers seeking affordable, safe and d. ent housing and mortgage financing on the open market. These grant funds wi- be utilized to assist eleven low-income homebuyers with the purchasing of a single-family residential property. The properties will be located within older ; stablished neighborhoods, specifically the Northside area within the corporate 1=' its of LaPorte, Texas. The City has agreed to provide a total of S:7,500.00 in matching funds to Hams County for deposit ir.:o Harris County's TOME Investment Trust Fund. These funds are recuired to :::eet the 25% match requirement for the project. The project includes ace::isition o: vacant lots for the cc:tstruction of eleven affordable single- family houses and do•.-..npavment and closi-a cost assistance. Grantee agrees that a vacant lot shall mea.-i two 25' x 125' loti under this Agreement. The City has a_ eed to remit these -_nds within 30 days _:ter Commissioners Court approval of tl,e Single -Family die,.-.. Construction Agreement. T total amount o S 12.000.00 in mate: ing funds has been committed for acZuisition c: four of :.he required number vacant lots under the Single -Family :°•� Constr- ction Agcement. Under this=.greement, the City agrees to provide S :.500.00 :n mate ::ng funds to suppi-:ment Grantee's HOME funds for d,-.%npa%me-: and :rosin` cost assistance. The total amount of direct homeowner_ ip assistance provided to =6. ch eligible homebuyer under this A= Bement -•.ill be a_oroximately Twenn- Two Thousand One Hundred Forty Five Dollars and 4511 :t) (S22,145.45) of w; ich $15,281.81 will represent HOME funds and S6.363.63 shall represent the City's matching funds. The total project cost for downpayment and closing cost is $243,600.00; the total project including acquisition of vacant lots for the construction of eleven affordable single-family houses and downpayment and closing cost assistance is $1,254,050.00. Subrecipient does not make first lien mortgage loans; however, Subrecipient will provide a full service homebuyer downpayment and closing cost assistance program that includes counseling homebuyers to assist them in purchasing a home and assisting them with downpayment, closing costs, or prepaids based upon need. This program also provides education classes on "How To Purchase A Home" for potential low-income homebuyers and mortgage assistance will be provided through a contract and working relationship with Washington Mutual Bank who has experience in the affordable housing market. This will serve the OHED jurisdiction and will enable subrecipient to deliver a program to low and very -low income residents of the County. Subrecipient will provide up to $22,145.45 in direct financial assistance to eligible program participants to be used for down payment assistance, closing cost assistance, pre paid and inspections. Subrecipient will provide the following administrative services: determine eligibility, verify income, determine site eligibility, determine property condition, provide financial assistance, maintain program records and provide eligible applicants access to mortgage lenders utilizing Conventional, FHA, VA, and Portfolio mortgage products. Subrecipient will accept counseling certificates only from HUD approved counseling agencies. Subrecipient shall provide or shall arrange for delivery of homebuyer education at no cost to the prospective homebuyer, and shall provide a list of eligible counseling agencies in the application packet to interested homebuyers, all provided as a part of the services contracted for herein; however, prospective homebuyers may take the required course from any other eligible counseling agency of prospective homebuyer's choice, but in such case, prospective homebuyer shall bear all cost. The mortgage lender will submit a Letter of Intent to Process Loan, Good Faith Estimate and 1003 Uniform Residential Loan Application to Subrecipient. .applications will be processed on a first -come, first -served basis. Subrecipient will determine the eligibility of the applicant based upon the Letter of Intent to Process Loan, Good Faith Estimate and 1003 application pursuant to the regulations governing the HOiINIE program. In the event that the prospective homebuyer is deemed ineligible the Subrecipient will inform the prospective homebuyer of the decision by registered letter or personal delivery. • • When the lende- issues a final appr.)val and forwards to Subrecipient a full application pack_;e, Subrecipient wil' verify eligibility for assistance and notify the applicant anL4 lender of eligibility by registered letter or personal delivery. Incomplete appli:stions will be returned to the lender without being processed. Eligible applicar::s must meet the follo-.1-ing requirements: I. Purchasers may be a "First Time Homebuyer" or any income -eligible house*old not currently ow-ing a home. 2. Purchaser's total gross household income cannot exceed 80 % of the area median income adjus:ed for family size, as determined by the U.S. Department of Housing and Urban Development. �. Purchasers must agree to m2intain the home as their principle place of residence for the full applicable period of affordability, 24 C.F.R. § 92. 254(a :.i.4). Purchasers must provide evidence of successful completion of a home" uyer education and :ounseling course from a HUD approved coons:ling agency or OH approved. Purchasers may not have assets (cash) in the amount that is sufficient to co%-er the required downpiyment and closing cost assistance. 6. Purchasers must secure a : rst lien mortgage from any participating mortgage lender. Purchaser's total monthly=ortgage payments must receive approval throu& the 1) Fannie Ma_ Desktop Underwriter 9, Fannie Mae's automated underwriting sys:z-m for mortgage lenders or 2) through the INforte-ge Company's usual methodology. Eligible :)roperde: must: l . Be located «•:::tin the City of La Pc-te's older neighborhoods, specifically the Nor.�side ne:_iborhood. Z The ;)ropertie: are the 11 newly con-tructed single-family dwelling unit within the Cit%* of :a Porte's older ne:ghborhoods, specifically the Northside neis::borhood. 3. The maximum purchase price cannct be valued at more than 95% of the most currant area median purchase price as specified in the Single Family Mortgage Lim::s under section 203(b) of the National Housing Act, published by the U.S. Departn:::tt of Housing and U-ban Development (HUD) for the HOME • 0 Program or $115,000.00, which ever is less. This must be supported by a certified appraisal. 4. The acquisition of any property in this program cannot result in the displacement of the present tenant. Any property purchased with HOME funds must comply with the HOME Displacement, Relocation, and Acquisition requirements as well as the Uniform Relocation Act. 5. Existing homes must meet HUD's minimum Section 8 Housing Quality Standards or local building codes. Newly constructed homes must meet the current edition of the Model Energy Code (MEC) by the Council of American Building Officials (Exhibit D). 6. The purchaser must order a lead -hazard inspection on all housing built before 1978; housing built after 1978, the requirement of 24 C.F.R. Part 35 must be met. Activity #1 The Subrecipient will assist the prospective homebuyer with the following: 1. Prepare homebuyer application form. 2. Refer prospective homebuyer to lenders to determine mortgage eligibility as prescribed by Exhibit A, Scope of Services (Program Delivery). 3. Assemble source documentation evidencing annual income (e.g., wage statement, interest statement, unemployment compensation statement) for the household in order to calculate annual income utilizing the Section 8 definition for determining annual income (Exhibit E). The Grantee may monitor the Subrecipient (this includes physical inspections of the property) on a bi-weekly basis or as needed (in addition to ongoing technical assistance as a quality control measure) to provide guidance and determine compliance with HOME Program requirements. If a determination of eligibility is made, the Subrecipient will forward a written notice of conditional approval to the prospective homebuyer and Subrecipient will proceed to Activity #2. In the event that the prospective homebuyer is deemed ineligible the Subrecipient will forward a written notice of denial to the prospective homebuyer. Subrecipient shall provide or shall arrange for delivery of homebuyer education at no cost to the prospective homebuyer, and shall provide a list of eligible counseling agencies in the application packet to interested homebuyers, all provided as a part of the services contracted for herein; however, prospective homebuyers may take the required course from any other eligible counseling agency of prospective homebuyer's choice, but in such case, -prospective homebuyer shall bear all cost. • The Subrec:pient agrees that they may r::uest reimbursement for overhead costs to provide :he homebuyer counseling and education and loan administration, only if the homebuyer completes the following steps: 1. Homebuyer completes homebuyer comseling and education; and Homebiver completes the process of-urchasing the home. If the homebuyer fails to close on the `_ome after successfully completing the homebuyer counse.:.*tg and education. :he reimbursement of overhead costs associated :vith prow ding such a service' ill not be approved. Subrecipient agrees to submit a copy )f the following documents for each homebuyer for reimbursement of oveead costs associated with providing homebuyer counseling and education and :oan administration: 1. Copy of certificate indicating the rame of the homebuyer(s) and date of completion. -. Copy c: all closing documents from -:tle Company (i.e. settlement statement, etc). In additior- Subrec:pient agrees that the failure to submit the above -mentioned ocumenta:ion for each homebuyer wit reimbursement requests for overhead costs associated wish providing homebuyer counseling and education and loan administration will result in the Subrecip:ent not receiving reimbursement for the associated costs. Activiry T2 Subrecipienr will q-_:alify and close at legit one to two homebuyers per month. Subrecipie-t will st:: mit a quan- erly progess report summarizing all activities that occurred curing the quarter. Subrecip:ent will provide up to $22,145.45 in -ownpa-,=mt and c'. sing cos; assistance :o qualified homebuyers. Subrecipient will dc:ument household c _racteristics and project information for =il qualifie' homeb_:-ers. All client info=ation must be in a format approved by OHED ar.;: compar_;le to the information requested on the HUD Homeownership .assistance Project Set -Up and Project :ompletion Reports (Exhibit F). This ::tformaticn must C.- submitted beginning with the first month's programmatic :nformaticn and reimbursement request. additicn. the Subrecipient agrees :o assist the Grantee in providing _ocumentZ:.on for = e comple:ion of an environmental review record (ERR) for each horrebuyer. -he ERR must be :n a format approved by OHED and :omparab:e to the in:ormation requested :n the Environmental Review Checklist Exhibit C This :Tforrnation is provided to assist the Grantee irr completing ::RR's for each clien: receiving assistant:. • s Activity #3 Subrecipient agrees to provide documentation in the file prior to homebuyer closing, for newly constructed homes, detailing the completion of the current edition of the Model Energy Code (MEC) by the Council of American Building Officials (Exhibit D, MEC Web Site), and the completion of the Builder's Certification form completed by the builder of the home (Exhibit M), if applicable, shall comply with Section 504 relative to meeting the needs of any approved applicant having one or more physical disabilities and/or sight or hearing impairments. In addition to the normal administrative services required as part of this Agreement, the Subrecipient agrees to document progress using reporting requirements specified in Paragraphs (IX) (B)(1), (Ix) (13)(2), and (IX) (B)(3) of this Agreement. Activity Downpayment & Closing Cost Assistance Units/Month Total Units/Year 11 0. • EXHIBIT 14 (CITY OF LA PORTE) (DOWNPAY-MENT A_ND CLOSING COST ASSISTANCE) Maximum Amount to be Paid Under this Agreement t' It is expressly agreed and undersicod that the total amcmt to be paid by the Grantee under this Agreement shall not exceed One Hundred SixtyEi=c,'--- Thousand One Hundred Dollars and No/l 00 (S 168,100.00). PROJECT BUDGET SUMMARY NEW CONSTRUCTION AND DOWNPAYMEENT ASSISTANCE Description I OHED Match Other Total Fundin Personnel S0.00 I S0.00 $0.00 $0*.'00' Non Personnel S0.00 S0.00 50.00 $0.00 Total S0.00 S0.00 PROJECT COSTS S0.00 S0.00 Acquisition (4x S3.(4)0 per lo-: S0-00 512,000.00 $0.00 $12,000.00 Note: each house is on m. )225! x 125' lots Construcnion of 11 '-,)mes: M.-C will S181,900.00 be HOINEE-assisted. 1 @ S0.00 S816.550.02 S998,450.02 S88,950.00 & I @ 592,950.0o. Remaining 9 non -HOME assi-s-led units a%-c,. cost 590.-:7.78 Total $181.900.00 INDIRECT DEVELOPMENT 512.000.00 5816.550.02 S1,010,450.02 COSTS (soft costs) Dovvnp,a,.-nent and _­.osing Cc 4:-s S 168.100.00 575.500.00 S0.00 S243,600.00 Total Project Cost S350.000.00 587.500.00 S816.550.02 SI.254,050.02 PROJECT BUDGET DETAIL DO«•.NPAY.NIENT :AND CLOSING COST Project Costs OHED Match I Other Total Fundino INDIRECT DEVELOPME:VT DE N' EL OP " 1E "'T COSTS (soft costs) 0s_ S16S.100.0 Dow p--:. C, 24iing cost -.-r (S S1.6s.100.00 -Z-;.500.0 0 Us 0 1 d s (S I r'IE 01 50-00 S243,600.00 I HC-'.IE tc�, tunds & So.S.6_1.63, 7atch.,ng ---,ds :oiahng as_sista-::!_ Total Project Cost $168,100.00 1575,500.00 ' I --- . 1 $0.00 1 5243,600.0-0 • • EXHIBIT C CERTIFICATION FOR CONTRACTS, GRANTS, LOANS AND COOPERATIVE AGREEMENTS The undersigned certifies, to the best of his or her knowledge and belief that: (1) No Federal appropriated funds have been paid or will be paid, by or on behalf of the undersigned, to any person for influencing or attempting to influence an officer or employee of an agency, a Member of Congress in connection with the awarding of any Federal contract, the making of any Federal grant, the making of any Federal loan, the entering into of any cooperative agreement, and the extension, continuation, renewal, amendment or modification of any Federal contract, grant, loan, or cooperative agreement. (2) If any funds other than Federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of Congress, or an employee of a Member of Congress in connection with this Federal contract, grant, loan, or cooperative agreement, the undersigned shall complete and submit Standard Form-LLL, "Disclosure Form to Report Lobbying," in accordance with its instructions. (3) The undersigned shall require that the language of this certification be included in the award documents for all subawards at all tiers (including subcontracts, subgrants, and contracts under grants, loans, and cooperative agreements) and that all Subrecipients shall certify and disclose accordingly. This certification is material representation of fact upon which reliance was placed when this transaction was made or entered into. Submission of this certification is a prerequisite for making or entering into this transaction imposed by Section 1352, Title 31, U.S. Code. Any person who fails to file the required certification shall be subject to a civil penalty of not less than S 10,000 and not more that S 100,000 for each such failure. Executed this q�l— day of -Man 1), % By ignature) (Type or Print Name) to (Title)( Covered .-fiction: (Program, Project or Activ' y) DEC 17 2002 THE STATE OF TEXAS § § APPROVE COUNTY OF HARRIS § Recorded va Pape® The Commissioners Cot:.-t of Hams County. Texas, convened at a meeting of said Court at the Harris � Countv Adminiszation Buildine in the City o: Houston, Texas, on the day of EC 1 7 202, 2002, math the following members prevent, to -wit: Robert Eckels County Judge E1 Franco Lee Commissioner, Precinct No. 1 James Fonteno Commissioner. Precinct No. 2 Steve Radack Co=issioner, Precinct No. ; Jerry Eversole Con: lssioner, Precinct No. 4 and the following members absent, to -%it: A,,gy quorum, when among other business, the following was transacted: constituting a ORDER AL-THORIZLNG E.UCL-TION OF AGREEMENT BETWEEN HARRIS COL-NTY A_N-D THE CITY OF LA PORTE FOR DOWIIPAYMENT AND CLOSING COST ASSIST.-UNCE PROGRAM Commissioner introduced an order and made a motion that the same be adopted. Cotrmissioner seconded the motion for adoption of the order. The ;notion, carrying wish it the acioaof.the order, prevailed by the following vote: Vc-e t o urn ' - Yes V40 Abstain AYES: JV= - ❑ NAYS: C.­­.' r ' ._ ❑ ABSTENTIONS: c- - --•- The Countv J.:d(ae there -.:Don aiii—tiineed that t motic.'had ply and lawfully carried and that the order had *-_--en duly and lawfi '.'%, adopted. The ord:- thus adopted follows: RECITALS: WF7REAS.: e Count". nas appi::d for and received =-nds from the united States Government und:- Title 1 of the Hc_sins and Community Development Act of 1974, Public Law 97-383 app:::ation n_mber i 11-(=-UC-48-:'1j; 2002-047. WFEREAS.:=e Count; -.wishes :: engage T e City of _a Porte to assist the County in utilizing suc..:Unds, W HEREAS. 7 e City e: _a Porte -hall insure recoQrtit:)n of the role of the Grantee Department in p-a%-idin�; ices th_ �uah thi_ :ontract. All activit:es, facilities, and items utilized pursuant to tr.:s contra:: shall be :romine:::v labeled as to fundme source. In addition, The City of La Pore :vill inc.'-de reference to OfE ce of Housing and E:onomic Development ("OHED") for the support provic: d herein :n all pu"ications made possi-ie with funds made available under this com-act. NOW, THEREFORE, BE IT ORDERED BY THE COMMISSIONERS COURT OF HARRIS COUNTY, TEXAS THAT: Section 1: The recitals set forth in this order are true and correct. Section 2. The Agreement is approved and the County Judge of Harris County or his designee is authorized to execute an Agreement with the City of La Porte to provide downpayment and closing cost assistance to low-income citizens in older neighborhoods specifically the Northside neighborhood within the corporate limits of the City of La Porte, Texas in Harris County, in the amount of $168,100.00. The Agreement is attached hereto and made a part hereof for all purposes. • 0 EXHIBIT D MODEL ENERGI' CODE VA Moore I SEGO Prfl as.s v �9rams I Pantex Co I �Dtroller's Office Energy Conservation Design Standard for New State Buildings Recognizing the importance of designing Design Texas Legislature authorized adoption of energy conservation design standards _ new energy efficient state-owned facilities and maior renovations, the Design Standard for New• State Buildings. based on the American Society of Heating Conditioning Engineers tASHR The Energy Conservation de%'eloped to respond to this dire�ve.tlt wasfirOstladopted in June 1989 and and cOmmonl%, referred as they Refrigerating February 199?. Texas Standard.n was d was revised in May' I990 and The Texas Legislature recently passed Serra —tee Bid/ 55 which imposes new requirements and around some ma ior urban areas in Texas (see the Senate Research Center's se 5 a' information). Cenarn political subdivisions (except school districts} must im on local o v �o ..rnments in that are cost-effective. and all cities must adopt new energy efficient buildin° r//qna/ siS for additional League. the Texas Conference of Cuban Counties. the State Energy C miler Pion e ment enerev efficient measures Association of Counties will present one w _ codes -The Texas Municipal these �•orkshop;, see How !o eom•+l orkshops focusing Office. and the Texas on Senate Bill 5. For additional information on �c..�wilh Senate Bi// $• Program goal; are to set minimum re renovation protect_ ;o that they quirements for energy may be constructed, olxratedf ndemaintamed in a manner that mini of energy\ without constraining � nt desi n Of new state buildings and major coal; are. the building function or the comfort and productivity of the Occupants. mixes the use P Specific ° tr` provide criteria for enerev efficient design and describe methods for determining criteri2. ° In Prn••uidance for ene e sounds _compliance with the _ ° ire de\•eiap procedrgy with design. ures to encourage code • an incentive process and encourage and improve enforcement. :e apPiication of the Texas Standard. Residential and Commercial Energy Code Training Thy orocrecsi\•: resiQential and Th= Dr ?CIltaS, °, small commercial energy code training Code and .�SHR.�E Standard 90.1. - currently in place in Texas is based on the oeri,ache, oase� on'tne us.' Training aloe focuses on simplified compliance path Of tifECchecl, and COMchec On as developed by PN :'�_r,m ;'„al, ;:.•• p NL for U.S. DOE. tnrnu_• , u t�1 ,r�ieurfriendl� toolitc �•a f 'i residential andior dc�mmercial lira,aye adU �e ni a; ifs' compliance energy code bviurisdictions in ' .u,r:;�,r,r!�=i�••e' are rig ern\ ide training' tt, builds �• �BCi ,a;Fr t„r rare training, structure, n, code offiicials, designers. tects; and � and ASHR,aE Standard 901 for small cummergcial buineers ldings. Hamr Engrg\ Rating stem/Energy :tic••. Ene-� g. Eflicienev Mortgage es. 'ii' • action. aLcricies. and , g ge Demonstration Program �`D -Oaf Consultants succesct'ully function as sub -grantees of Dp funding' for 10%4 income eli>abie "\tt"''` 'nc aia_ home owners. Thev currently use sophistidated energy _ nowt .tools i[, e\ aluat- E D- most effective energy efficiency. ' n•g•ram _'r,al; :ire i,, irr;cr,,\,; cnero\ efj'ici g. •irrcc, cr,mmunit\ action a__e ens irrrprnvementc in new ncies. and HUD 203K consultants as qualified energy homes in Texas and to certify ebrecti\ es are to de €)' raters. • monstra(e a close correlation between Home Energv Ratt • ng Systems and Energy , I I, . •.,n,, • : me 1 SECO_ P�rr�n5; Pa� nte: ��r�l • Pleasse send web site comments and be; -po n 'BUILD1NC*6 C M N O L O G *Z CODES L STANDARDS �e+i�itrr+wi:�il �-i�rnnerrt�;! Building Energy Codes & Products STATE •P1 DC0YY I T Y P A O G A A y S Texas —DOE Status of State Energy Codes Primary Technical Contact: Felix Lopez Comptroller of Public Accounts State Energy Conservation Office (CPA/SECO) 111 E. 17th Street LB) State Office Bldg. Room .1114 Austin, TX 78774 PH:, (512) 463-1080 FX: (512) 475-2569 EMAIL: feli�o�o��coa crnre ... State Agency/Office Head: Taylor, or, Director, Texas State Energy Conservation Office, Dub ayl (512) Other Contact(s): Pam Groce, Texas State Energy Conservation Office, (512) 463-1889 State Web Site(s): State Energy Conservation Office: wwH,.seco.cpa.state. Current Status: tx.us Residential: None except for low-rise state-owned or -f buildings, which must comply with the 1993 MEC to show -funded compliance. ,can use MECcheck Commercial: None except for supported institutions, which must corn state-owned buildings and state- ASHRAE/IESNA 90,1.1989; P y with a modified can use COMcheck to show compliance. The State Energy Conservation Office (SEGO) will recommend Comptroller of Public Accounts mend to the for residential state-owned new(bui the adoption of t0 tn' CPA the ASHRq= gs• SECo will also recommend toe Texasthe Design I Standard 90.1-1999 as the new version of buildings• Standard for new institutional state-owned Adoption Process: ror buildings other than be builds c s state-owned buildings be aO on , normally DY local codes ode jurisdictions to b • energy codes must o malty achieved a enforceable. Such the local government adoption through a vote of the City council or government, jurisdictions adopt may be requiredPending on the form of Pt either the Standard or Uniforto Signm law. [heir building Most local g code, but a few adopt the National Building ing Codes as Codes • rim_, �^•��+Illlri•nnr;/ riot <,•,nrin-�c/}���: I.a.n 1 • . 1 / -fir, . refer_n o stancards are us ,n t'' applicable buildin: Y adopted by e MEC is aooered er_, refWn t;._ NBC and in an A ode (e.g c__ndix of the S b� BC and UBC.; For s--=teaoH,nec or -funned throu;n the -- burldrn;s, the provisions are adopted e s�-.e s administrative :rocess of publication comr-, •ent, and nearrngs, public Compliance Method: For state-01Nne_ or -funned subm:= a coma, � buildin_;, the design professional red compliance sr_:ement and certification to the cognizant state agency tnat the desgn is in compliance with Texas Design S�ndard or the MEC .as applicable base buildin,; type.) the d on the For all --the., bui::ings in jurisdictions that have adopted provisic:Is, comb ;once TYpicali: is determinec through P ed energy Plans e-e submi«ed and reviewed and then buildings e Permit sar inspeCtet. After-iccessful completic- of this process departr-ent issu` a Ce e certificate of oc:-,Panty ,the building Enforcement: For stat_-owned :- -funded buildings. :he cognizant st ate agency enforces :he code. 'or all c:-er built:-gs, the cognizant ,_cal =ode. If a iurisdic_ :n ado government enforces the .nrough :ne Perm;_ inspection n anent: code, the code is enforced process additions. Depenc•-g on the size of th- °r new construction and •'idividual may per''rm plan reviews a_ l inspections. the same d inspections. Background/History. =xcept fo- stare-ov+• ;ed bull '-lergy, cc for e1[--_r c'ngs, Texas has no mandato _�me rule s[at_; reside- -me °r rn Mandatory statewide t-_; cc ercial buildings. Texas is a -emots _y_v , state i2w cannc: override local law. No _ e bee- made tc adoptbee- ma-,;atory energy _ • [raln,n_ _ `ate is encourag,-; voluntary codes on a - _oce off _:als and t-ome buii=ors. adoption and use st _- °dings c.en t_ CO 'ercial _,:iidinQ -a _ _ r 're _:°rteS 1 ,e 5 2 multi -fa RAE/I_= �tanaa__ 9C. _�` -lght, T=:as has adapted residential stanca-- K.. - 1 1- 9 into Texas D opted t-- L=_ate-, in ,lcr=-ginaliv .vent intc , exa Design Standard. =.� °ruary• = = 9=. r-o,- - affect in June 1980 _s nas __oPLed [__ 1c=3 =rate-ow-_d residential b was CA -SO Mcr- buildings, State Energy Program = S64,C-- prc)v(SEP) Grants Awarded: cOce training_ , M==�ico epc=^c�co c,_ •an ing a:csf for ,all commercial buildin • addition, a cost of exceeding g p-==-am for -oH, -osic="itial torts-h -he II be implemented.g the - Efficient Mortgage '-==- 573,7c-. co-:-ollin - Acniev_ adoption. of the M 9 2: �ercenr more of new coel Energy Code b con, -ruction with two y cities years. the ene• 1 c `javc'Op a comprehensive proach to improving �y efficiency of the housing stock in fas. Residential Construction (New Bu Single Familyilding Permits): Multi -Family ) 1999: 100143 44771 1998: 99831 56898 1997: 82180 43794 Commercial Construction (Millions of Dollars): 1999: Not available 1998: 15776 1997: 12723 Search 9on�� Nome U.S. Department of Energy Last updated: IS April 20M 161 11 11 .aro.. ring �n1 I� r1111 �({rn/'C �.+nF�n� �r•rn�., ���: /fir L.. ...1 r 1 'r / •�r.r• . • 0 EXHIBIT E METHOD FOR DETERAIINING SECTION 8 ANNU4L INCOME rns page is Iocateo on the U.S. Department of Housing and Urban Development's Homes and Communities Web ��tpllwN►w.hudcaar•RO/of}i_c EOM esing P art 5 — • The Part 5 definition of annual income is the gross amount of income of all adult household members that is anticipated to be received during the coming 12-month period. This definition sounds straightforward, but there are several specific issues related to the calculation of Part 5 annual income. ' Background on Using Part 5 ° Whose Income to Count ° Types of Income to Count ' Treatment of Assets The words highlighted above are key parts of the following phrases, which are essential to understanding the requirements for calculating Part 5 annual income. Gross amount. For the types of income counted in the Part 5 definition, gross amounts (before any deductions have been taken) are used. ' Income of all adult household members. The Part 5 definition contains income "inclusions" (types of income to be counted) and "exclusions (types of income that are not considered) for all adult members of a household. ' Anticipated to be received. Part 5 annual income is used to determine eligibility and the amount of Federal assistance a family can receive. A P) must, therefore, use a household's expected ability to pay, not their past earnings, when estimating housing assistance needs. Background on Using Part 5 The HOME Program previously required PIS to use only the Section 8 Program definition of annual income to determine the eligibility of applicants to their HOME programs. The rules concerning Section 8 annual income were previously found at 24 CFR Part 813. However, Part 813 was removed from the Federal regulations on October 18, 1996. At the same time, 24 CFR Part 5 was published. Subpart F of Part 5 consolidated the requirements pertaining to income for many of HUD's programs, including Section 8. Currently, the definition of annual income found at 24 CFR Part 5 is used by a variety of Federal programs, including: 1 l,-5,*2002 the HOME estment Partnership Prograr, ° the Commy Develcon gent Block Grant =ro r g am, ' the Section 8 Program.. ° public housing programs, and ' the Low Income Housrig Tax Credit Program. Within each of these procams, the Part 5 definition of annual income can be used to determine program eligibility and, in some=rograms, the level of assistance the household will receive. In some cases, two or mo-e Federal programs may provide assistance to a single program or project at the .ocal level. When this is the case, the PJ should be careful to choose a definition for income determinations that is permitted in all of the relevant Federal programs. Whose Income to Count Under the Part 5 definition of annual income, ircome from certain groups of people requires special consideracon when calculating a household's annual income. Click on the key words below fo- more information cn how to count the income of the following categories of pecole: ' Minors (age 17 and uncer) ' Live-in aides ' Temoorarily absent family members ' Permanently absent family members ' Adult students living away from home Types of Income to Count At its most basic level, the :art 5 definition of annual income is made up of the types Of nouseholc income :nat are: incluced in the definitio- ("inclusions"), and ' excluoed from :ne defin:::on ("exclusions"). .A list of :ne Part 5 ',"come ;elusions" and "exc.-sions" is published in the Code of -ederal=.egulations at 24 C=? 5.609. This list is ;eriodically updated by HUD when changes are made :o the Pc-- 5 definition of am -al income by the United States Zongres:. Adrminis:-_==;ors of --DMc an-- ether Federal programs are generally expected to _mpieme-: any changes to t-e regulations withir. 50 days of publication in the -ederal=e91ster. Located oelow are easy -to -read tables showing the Part 5 income inclusions and exclusions publishes at 24 C=R 5.609 on April 1, :998. Search the Feel Register for changes to the Part 5�f (For tion of annual income. best results!, Indicate that all Federal Register editions Ishould be searched by the web site and type "24 CFR part 5", including the quotation marks, into the Search Terms field on this web page.) Welfare assistance is generally counted in the Part 5 definition of annual income. Most PIS will therefore use the actual gross amount of welfare assistance the household receives in the calculation of "annual income". However, in certain "as - paid" localities a special calculation is required. Part 5 Incliusions This table presents the Part 5 income inclusions as stated in the Code of Federal Regulations. General Category Statement from 24 CFR 5.609 paragraph (b) (April 1, 1998) 1. Income from wages, salaries, The full amount, before any payroll deductions,'of wages and salaries, overtime pay, tips, etc. commissions, fees, tips and bonuses, and other compensation for personal services. Net income from the operation of a business or profession. Expenditures for business expansion or amortization of capital indebtedness cannot 2. Business Income be used as deductions in determining net income. An allowance for depreciation of assets used in a business or profession may be deducted, based on straight-line depreciation, Internal as provided in Revenue Service regulations. Any withdrawal of cash or assets from the operation of a business or profession will be included in income, except to the extent the withdrawal is reimbursement of cash or assets invested in the operation by family. the Interest, dividends, and other net income of any kind from real or personal property. Expenditures for amortization of capital indebtedness in 3. Interest & shall not be used as deductions determining net income. An allowance for depreciation is permitted only as authorized in number 2 (above). Any withdrawal of Dividend Income cash or assets from an investment will be included in income, except to the extent the withdrawal is reimbursement cash or assets invested by of the family. Where the family has net family assets in excess of $5,000, annual income shall include the greater of the actual income derived from all net family assets or a percentage of the value of such assets on the current passbook savings rate, as determined by HUD. based 4. Retirement & The full amount of periodic payments received from Social Security, annuities, insurance policies, retirement funds, Insurance pensions, disability or death benefits, and other similar types of periodic receipts, including a lump -sum Income amount or prospective monthly amounts for the delayed start of a periodic number 14 of Income Exclusions). payment (except as provided in Payments in lieu of earnings, such Unemployment & Disaoility Income as unemployment and disability compensation, worker's compensation and severance pay (except as provided in number 3 of Income Exclusions). Welfare Assistance. If the welfare assistance payment includes an amount specifically designated for shelter and utilities that is subject to adjustment by the welfare assistance agency in accordance with the actual cost of shelter and utilities, the amount of welfare assistance �Assi6. Welfare stance income to be included as income shall consist of: • the amount of the allowance or grant exclusive of the amount specifically designated for shelter or utilities; plus • the maximum amount that the welfare assistance agency could in fact allow the family for shelter and utilities. i If the family welfare assistance is ratably reduced from the standard of need by applying a percentage, the amount calculated under this paragraph is the amount resulting from one application of the percentage. 7. Alimony, Child Periodic and aeterminable Support, & Gift Income allowances, such as alimony and child Support and regular contributions or gifts received from organizations or from persons n ttt. residing in the dwelling. S. Armed Forces Income All regular pay, special day and allowances of a member of the Armed Forces (except as provided in number 7 of Income Exclusions). 1 1 /25,200' Part 5 euclusilk • This table presents tl a Part 5 income excusions as stated in the Code of Federal Regulations. General Categ:ry Staterent from 2a CFR 5.609 pa agraph (c) (April 1 1998) uldme of Income G.i.dreren [years. from employment of chit_ mn (including foster children) under the age of 18 ?. Foster Care Payments received for the care Of foster Children or foster adults usual) Payments with csabilities, unrelated to the mnant family, who are unable to live alone). ohs 3.:nheritance and Lump -sum additions to family assbN. such as inheritances, insurance payments Insurance Income (incluc ng payments under health and accident insurance and worker's Compe-.sation), capital gains and settlement for personal or property losses (except as pro%-ded in numoer 5 of Income Inclusions). 4. Medical Expose Amour-3 received by the family rat are specifically for, or in reimb Re!mbursemenm cost of -redid expenses for any family member. ursement of, the 5. Income of Lrve- in Aides Income of a live-in aide (as define: in 24 CFR5.403). 6. Student The full amount of student financial Financial Aid assistance paid directly to the student or to the educan:nal institution. 7. 'Hostile Fire' The special pay to a family member serving in the Armed Forces who i hostile =rs exposed to Pay m_ 8. Self-Sufficien_j a. :mounts received under training Pr. -;ram Income b. amounts received by a pe.sson with a disability that are disregarded for a imited time for purposes Supplemental Security Income eligibility and =enefits because they are set side for use under a Plan to Attain Self - Sufficiency (PASS). C. Amounts received by a par:cipant in other publicly assisted programs that =re specifically for, or in rembursement of, out-of-pocket expenses incurred .special equipment, clothir4, transportation, childcare, etc.) and that are made solely to allow partic:3ation in a specific program. d. Amounts received under a resident service stipend (as defined in 24 CFR :.609(c)(8)(iv). e. :-cremental earnings and :enefits resulting to any family member from :articipation in qualifying smote or local employment training programs rlcluding training not affhated with a local government) and training of a Emily member as residen; management staff. Amounts excluded by this :-Dvision must be receivec :nder employment training programs with I -early definee goals and o ectives, and are excluded only for the period :--ring which -he family member participates in the employment -training :-ogram. Tempor--.r, nonrecuming, or spore: c income (including ' 0=.eoaration gib)' Repara;•=� payments pall by a forcgn government pursuant to c=ea Pavmerits laws of -at government by persons who were persecuted during :-come7fror-Earning_ -excess cf 5ag0 for eac- `ull-time student 18 years old or older ilr-u� S-= (excluor-: the head of household p- spouse). !I I".. -:Option IA55 5:3nte IIApODUCr BSSIStante :avmenGs in ez-_ jDav—en[s _ ss of $480 per adopted child. Ij:paI?'=:.nily Ac::- SupG:-j For pubs; lousing only, the earninc; and benefits to any family member resulting le I from the :artic:oation !n a program :rovidln I services -accordance with the Far .. 9 employment training and supportive y Support ACt of 1988, section 22 of the 1937 Ar (43 _ B.C. ? 437;,, or any comGa'able federal, state or local law during the exclusio- :eriod. jl8S-cia► Secur.-. 110eferrec :eriodic amounts from SS: and Social Security benefits that are received in S:::ncorne I a lump S--1 amount or in Prospective ros P P monthly amounts. - • r ax amounts calved by me family in t'P form of refuntls or rebates under sraEe or local law `:r property :xes paid on "e dwelling unit. 16. -.me Care I (Amounts aid by a state agency to a `amity with a member who has a 1 1.'25;'200= nesismnce velopmental disability and is living at home t uipment needed to keep this d the cost of services and evelopmen[ally abed family member at home17. . x Other Federal A Exclusions om nu is specifically excluded by any other federal statute from consiaeration as income for purposes of determining eligibility or benefice under a category of assistance programs that includes exclusions of 24 CFR 5.609(c) apply, including: under any program to which the apply, including: ► The value of the allotment mane under the Food Stamp Act of 1977; ► Payments received under the Domestic Volunteer Service Act of 1973 (employment through VISTA, Retired Senior Volunteer Program, Foster Grandparents Program, youthful offender incarceration alternatives, senior companions); ► Payments received under the Alaskan Native Claims Settlement Act; ► Payments from the disposal of funds of the Grand River Band of Ottawa Indians; ► Payments from certain submarginal U.S. land held in trust for certain Indian tribes; ► Pa Assiyments, rebates or credits received under Federal Low -Income Home Energy stance Programs (includes any winter differentials given to the elderly); ► Payments received under the Main Indian Claims Settlement Act of 1980 (Pub. L. 96-420, 9z Stet. 1785); ► Indian Claims Commission or the Court of Claims or from funds the The first $2,000 of per capita shares received from judgements awarded by the of Interior holds in trust for an Indian tribe; Secretary ► Amounts of scholarships funded under Title IV of the Higher Education act of 1965, including awards under the Federal work-study program or under the Bureau of Indian Affairs student assistance programs, or veterans benefits; ► Payments received under Title V of the Older Americans Act (Green Thumb, Senior Aides, Older American Community Service Employment Program); ► -Payments received after January 1, 1989, from the Agent Orange Settlement Fund or any other fund established pursuant to the settlement in the In Re Agent Orange product liability litigation, M.D.L. No. 381 (E.D.N.Y.); ► Earned income tax credit; ► The value of any child care provided or reimbursed under the Child Care and Development Block Grant Act of 1990; and ► Payments received under programs funded in whole or in part under the Job Training Partnership Act (employment and training programs for native Americans and migrant and seasonal farm workers, Job Corps, veterans employment programs, State job training programs and career intern programs). Welfare Rent In an "as -paid" jurisdiction, welfare assistance for housing costs is established separately from the rest of the welfare assistance and may be adjusted based on the actual cost of the family's housing. For welfare recipients, Pis in "as -paid" jurisdictions must count the following as income the amount Of general assistance the family receives, plus the maximum amount of housing assistance the family could receive (rather than the amount the household is actually receiving). Treatment of Assets When using the Part 5 definition of annual income, Pis must determine the 1 1 C25,2002 answers to the f wing three questions regarding fan 6-assets: I. What should be included as an asset? 2. How should the value of the assets � computed? 3. How should the actual income from assets be determined for inclusion in the annual income calculation? There is no limitation cn assets for participants in the HOME Program, though some other assistance Drograms may require families to "spend down" assets before they can participate. U.S. Department of Housing and Urban Development 451 7th Street, S.W., Washington, DC 20410 Tele:none: (202) 708-1112 "Y: (202) 708-1455 11 `2 '200= • • Chapter Three CALCULATING ANNUAL (GROSS) INCOME As discussed in Chapter One, the HOME Final Rule gave PJs the flexibility to choose one of three definitions of annual income to determine whether households are eligible for participation in the HOME Program. The three definitions are: annual income as defined in 24 CFR Part 5 (Part 5 annual income), annual income as reported under the Census long form for the most recent decennial census, and adjusted gross income as defined for purposes of reporting under Internal Revenue Service (IRS) Form 1040 series for individual federal annual income tax purposes. PJs may use more than one definition within their HOME Program in its entirety. For example, a PJ may decide to continue to use the Part 5 definition of income for its rental projects and TBRA program, and use the Census Long Form definition within its homebuyer and owner -occupied rehabilitation programs. PJs must ensure that applicants to their HOME -funded programs and activities are treated equitably. For this reason, the same income definition must be used within a particular program or activity. For example, if a PJ decides to use the Part 5 definition of annual income for its homebuyer program, it must use this definition for all applicants to the homebuyer program. It may not use the Census definition for one applicant and the Part 5 definition for another applicant. Chapter Two discussed how and when income information must be verified. This chapter provides detailed guidance about calculating annual (gross) income using each of the three allowable definitions. DEFINITION 1: ANNUAL INCOME AS DEFINED IN 24 CFR PART 5 The annual income definition found at 24 CFR Part 5 is used by a variety of Federal programs including Section 8, public housing and the Low Income Housing Tax Credit Program. Annual income is used to determine program eligibility and, in some programs, the level of assistance the household will receive. This definition was formerly commonly referred to as the Section 8 definition. The Part 5 definition of annual income is the gross amount of income of all adult household members that is anticipated to be received during the coming 12-month period. Each of the italicized phrases in this definition is key to understanding the requirements for calculating annual income: • Gross amount. For those types of income counted, gross amounts (before any deductions have been taken) are used; • Income of all adult household members. The Part 5 definition of annual income contains income "inclusions" — types of income to be counted — and "exclusions" — types of income that are not considered (for example, income of minors); and • Anticipated to be received. The Part 5 annual income is used to determine eligibility and the amount of Federal assistance a family can receive. A PJ must, therefore, use a household's expected ability to pay, rather than past earnings, when estimating housing assistance needs. Technical Guide for Determining Income and Allowances for the HOME Program - 11 • Whose Income to Count the head of household or spouse (their Knowing whose income to count is as important as knowing which income to count. Under the Part 5 definition of annual income, income earned by the following groups of people is not counted: Earned income of minors. Earned income of minors (age 17 and under) is not counted. Unearned income attributable to a minor (e.g., child support, AFDC payments and other benefits paid on behalf of a minor) is included; and Income of live-in aides. If a household includes a paid live-in aide (whether paid by the family or a social service program), the income of the live-in aide, regardless of the source, is not counted. Except under unusual circumstances, a related person can not be considered a live-in aide. Family members living apart from the family also require special consideration. • Temporarily absent family members. The income of temporarily absent family members is counted in the Part 5 definition of annual income — regardless of the amount the absent member contributes to the household. For example. a construction worker emoioyed at a temporary job on the other side of the State earns $600 per week He keeps S200 per week for expenses and sends S400 per week home to his family The entire amount (S5CO per week) is counted in the fanny s income, • Adult students living away from home. If the adult student is counted as a Y moer of the household in ce:_rrnininc the household size (to cc:mcare against the HUD income limits, the first S480 of the student's income mus, be counted in the family's income Note, however. that the $480 limy; woes not apply to a student who is full income must be counted); and Permanently absent family members. If a family member is permanently absent from the household (e.g., a spouse who is in a nursing home), the head of household has the choice of either counting that person as a member of the household, and including income attributable to that person as household income, or specifying that the person is no longer a member of the household. Types of Income to be Counted Exhibits 3.1 and 3.2 provide a comprehensive list of income that is included and excluded from calculations of annual income under Part 5. This list comes directly from the Federal regulations at 24 CFR 5.609. The list is periodically updated by HUD when changes are made by Congress. Program administrators generally are expected to implement changes within 60 days of publication in the Federal Register. In general, income exclusions fall into the following categories: • Benefits that should not be counted as income: • Income of certain household members that should not be counted, including earned income of minors and income attributable to foster children and live-in aides: and Amounts that are counted as assets rather than income, such as lump -sum lottery winnings. Welfare Rent as Income Welfare assistance is counted as income. Most PJs will use the actual gross amount of welfare assistance the household receives. In certain "as -paid" localities, however, a special calculation is required. In an as -paid jurisdiction, welfare assistance ec-nnicai Guiae for Determining Income and Allowances for the HOME Program — 12 • • Exhibit 3.1 — 24 CFR Part 5 Annual income inclusions 2. The full amount, before any payroll deductions, of wages and salaries, overtime pay, commissions, fees, tips and bonuses, and other compensation for personal services Net income from the operation of a business or profession. Expenditures for business expansion or amortization of capital indebtedness cannot be used as deductions in determining net income. An allowance for depreciation of assets used in a business or profession may be deducted, based on straight-line depreciation, as provided in Internal Revenue Service regulations. Any withdrawal of cash or assets from the operation of a business or profession will be included in income, except to the extent the withdrawal is reimbursement of cash or assets invested in the operation by the family. Interest, dividends, and other net income of any kind from real or personal property. Expenditures for amortization of capital indebtedness shall not be used as deductions in determining net income. An allowance for depreciation is permitted only as authorized in number 2 (above). Any withdrawal of cash or assets from an investment will be included in income, except to the extent the withdrawal is reimbursement of cash or assets invested by the family. Where the family has net family assets in excess of S5.000, annual income shall include the greater of the actual income derived from all net family assets or a percentage of the value of such assets based on the current passbook savings rate, as determined by HUD. The full amount of periodic payments received from Social Security, annuities, insurance policies, retirement funds, pensions, disability or death benefits, and other similar types of periodic receipts, including a lump -sum amount or prospective monthly amounts for the delayed start of a periodic payment (except as provided in number 14 of Income Exclusions). 5. Payments in lieu of earnings, such as unemployment and disability compensation, worker's compensation and severance pay (except as provided in number 3 of Income Exclusions). 6. Weffare Assistance. If the welfare assistance payment includes an amount specifically designated for shelter and utilities that is subject to adjustment by the welfare assistance agency in accordance with the actual cost of shelter and utilities, the amount of welfare assistance income to be included as income shall consist of: • the amount of the allowance or grant exclusive of the amount specifically designated for shelter or utilities; plus • the maximum amount that the welfare assistance agency could in fact allow the family for shelter and utilities. If the family welfare assistance is ratably reduced from the standard of need by applying a percentage, the amount calculated under this paragraph is the amount resulting from one application of the percentage. 7. Periodic and determinable allowances, such as alimony and child support payments, and regular contributions or gifts received from organizations or from persons not residing in the dwelling. 8. All regular pay, special day and allowances of a member of the Armed Forces (except as provided in number 7 of Income Exclusions). Technical Guioe for Determining Income and Allowances for the HOME Program — 13 • r Exhibit 3.2 — 24 CFR Part 5 Annual Income Exclusions 1. Income from employment of children (including pra_:rams with clearly defined goals and foster children) under the age of 18 years. 2. Payments received for the care of foster obNctives, and are excluded only for the perio dung which the family member in children or foster adults (usually persons with participates the employment -training g program. disabilities, unrelated to the tenary fame who are unable to live alone). 9: Ten nonrecurring, or sporadic income 3. Lump -sum additions to family(rncudmg assets, such as ding g �� 10. Recaration payments paid by a foreign inheritances, insurance payments (including Payments under health and acciderd insurearoe• gowmment pursuant to claims under the laws .: -of:that 9OVemmentby persons who and worker's compensation), caprilal•gairrs and•." settlement for personal or property losses were ,'-petsecxsbed.darirtg.thss e Nazi era. 11. Eamings in exceof $480 for each full-time (except as provided in number 5 a Income Inclusions). student 18 years old or older (excluding the 4. Amounts received by the family that are head of household or spouse). 12. Adeo&m assistance payments in excess specifically for, or in reimbursement of, the cost of $480 per adopted child. of medical expenses for any family member. 5. Income of a live-in aide (as defined in 13. For Dublic housing only, the earnings and 24 CFR5.403). bereft to any family member resulting from 6. The full amount of student financial assistance the zarticipation in a program providing empoyment paid directly to the student or to the educational institution. training and supportive services in acccrbance with the Family Support Act 7. The special pay to a family member serving in Forces of 1989, section 22 of the 1937 Act (43 U.S.C. 1437% or any comparable federal, state the Anned who is exposed to hostile fire. or loco law during the exclusion period. 8. (a) Amounts received under training programs funded 14. Deferred periodic amounts from SSI and Social Security benefits that are received in a lump by HUD. (b) Amounts received by a person with sum amount or in prospective monthly a disability that are disregarded for a limited time for purposes of Supplemental Sec:rity amounts. 15. Amounts received by the family in the form of Income eligibility anc benefits because they are set refunds or rebates under state or local law for property taxes paid on the dwelling s;ce for use under a Plan to Attain Self- Sufficiency (PASS). unit. 16. Amounts paid by a state agency to a family (c: Amounts received by a participant in other with a member who has a developmental disniiity and is living at home to offset the publicly assisted programs that are specifically fcr, or in reim cost of services and equipment needed to keep this -ours ement of, out -of -rocket excenses incurred (specal equipment, devEopmentally disabled family member at clothing, transportation. childcare, etc.) and home. 17. Amounts specifically excluded by tr.at are mace solely to allow partiration in a 5:=cific proem. any other fedeal statute from consideration as income for tc, Amounts .eceived under a resident service purpcses of determining eligibility or benefits under a category of assistance s:::end (as c=fined in 2e CFR 5.609/c)(8)(iv). programs that includes assistance under any program to le Incremental earnings and benef-tts resulting ,c any family ;,ember frcm participation in whirr the exclusions of 24 CFR 5.609(c) apply, including: c::aiitying state or local employmer-, training pr=grams (inc:uding training not affr--oated with a • The value of the allotment made under the Fa,,d Stamp Act of 1977; kcal govemment) and training of a `amity mernoer • Payments received under the Domestic as resident management saff. Amounts excluded by this provisior. Volunteer Service Act of 1973 (employment ;rust be received under employment training through VISTA, Retired Senior Volunteer Program, Foster Grandparents Program, youthful offender incarceration alternatives - ME — 14 _�� 1-cl vuioe rer Determining Income and Allowances for the HOME P �J • Exhibit 3.2 -- 24 CFR Part 5 Annual Income Exclusions (Continued) 17. continued O Payments received under the Alaskan Native Claims Settlement Act; Payments from the disposal of funds of the Grand River Band of Ottawa Indians; u Payments from certain submarginal U.S. land held in trust for certain Indian tribes; o Payments, rebates or credits received under Federal Low -Income Home Energy Assistance Programs (includes any winter differentials given to the elderly); Payments received under the Main Indian Claims Settlement Act of 1980 (Pub. L. 96- 420, 9z Stat. 1785); o The first $2,000 of per capita shares received from judgements awarded by the Indian Claims Commission or the Court of Claims or from funds the Secretary of Interior holds in trust for an Indian tribe; o Amounts of scholarships funded under Title IV of the Higher Education act of 1965, including awards under the Federal work- study program or under the Bureau of Indian Affairs student assistance programs, or veterans benefits; C Payments received under Title V of the Older Americans Act (Green Thumb, Senior Aides, Older American Community Service i Employment Program); o Payments received after January 1, 1989, from the Agent Orange Settlement Fund or any other fund established pursuant to the settlement in the In Re Agent Orange product liability litigation, M.D.L. No. 381 (E.D.N.Y.); j Earned income tax credit; e The value of any child care provided or reimbursed under the Child Care and Development Block Grant Act of 1990; and ® Payments received under programs funded in whole or in part under the Job Training Partnership Act (employment and training programs for native Americans and migrant and seasonal farm workers. Job Corps, veterans employment programs, State job training programs and career intern programs). Technical Guide for Determining Income and Allowances for the HOME Program — 15 i Is fcr housing costs is e_stablishec separately from the rest of the welfare assistance and may be adjusted based on the actual cost of the family's housing. Fcr welfare recipients. PJs in as -paid jurisdictions must count as inccme the amount of general assistance trie family receives plus the maximum amount of housing assistance the family could receive (rather than the amoL;rit the household is actually receiving). Sample Format for Computing Part 5 Annual Income Exhibit 3.3 shows a sample form, at for computing annual income. Ex.-libits 3.4 through 3.. provide examples ar.d exercises that der-onstrate now the Part 5 annual income defer. won is aF.clied to incividual family circumstances. Answers to the exercises are pros ded in each exhibit. These exhibits ignore :come from assets. which is addressed be -ow. Examples and exercises ccnceming =_$set calculation follow tha: discuss;on. Treatment of Assets Sc-ie assistance programs reQL:re that fa -:ties "spend down' assets be -ore they can pa-:cipate. There is r.: asset limitation for pa-:cipation :n the HCYE Program. Income frc—assets s. howeve-. recogrzed as par, of -^nual income unde-:he Par. 5 definiticr. Tc :omply w: ;h the Pa- 5 rules regarding as_=ets, PJs must know 11) wha::o include as assets. (2) hcvv to con=ute the -arket anc cas- value cZ:hose assets, and 3) hcw to de:=rmine the income Z-jm the asset to be inc.-ded in annual inccme. What to Include as an Asset In general terms, an asset is a cash or nc-cash item, :hat can =e canver:ed to casm Ex-ioit 3.8 s;:mmarizes tems tha: are and ar nc::o be cor.sidered assets. (Nc:e: it is the income earned - e.g., .-terest or a savings a:count - not the asset value, that is counted it annual income.) Exhibits 3.9 through 3.11 p-jvide examples and exercises that demonstrate how income from assets is caiculated. Market Value and Cash Value Assets have both a market value and a cash vaue. The market value of an asset is simply its dollar value on the open market. For example, the market value of a share of stock is :he price quoted on the stock exchange on a 'articular day. A property's market value is the amount it would sell for on the open market. This may be determined by comparing the property with similar, recently sod properties. Ar asset's cash value is the market value less reasonable expenses required to convert the asset to cash, including: Penalties or fees for converting financial holdings. Any penalties, fees or transaction charges levied when an asset is converted to cash are deducted from the market value to determine its cash value (e.g., penalties charged for premature withdrawal of a certificate of deposit, the transaction fee for converting mutual funds to cash or broker fees for -onverting stocks to cash); and/or Costs for selling real property. Settlement costs, real estate transaction Zees, payment of mortgages/liens against :he property and any legal fees associated with the sale of real property are deducted from the market value to :etermine equity in real estate. Un:er the rules of Part 5, only the cash value (ram er than the market value) of an item is coi--ted as an asset. If an asset is owned by me than one person, PJs must prorate the asset according to the applicant's percentage Of c.vnership. If no percentage is specified or prc•.•ded by state or local law, PJs must prorate the asset evenly among ell owners. If an asset is not effectively owned by an indi•.•dual, do not count it as an asset. -- .JUJJG= ZJr ueter;-:nmg Income and Allowances for the HOME Program — 16 i C� Exhibit 3.3 -- Sample Format for Computing Part 5 Annual Income 1. Name 2. Identification ASSETS Family Member Asset Description Current Cash Value of Assets Actual Income from Assets 3. Net Cash Value of Assets ........................ 3. 4. 4. Total Actual Income from Assets ....................................................... 5. If line 3 is greater than $5,000, multiply line by (Passbook Rate) and enter results here; otherwise, leave blank. 5. IANTICIPATED ANNUAL INCOME Family Members a. Wages/ Salaries b. Benefits/ Pensions c. Public Assistance d. Other Income e. Asset Income I i I I Enter the greater of lines 4 or 5 from above in e. II I i II I 6 Totals i a. b. I C. I d. e. 7 Enter zztal of items from 6a. through 6e. This is Annual Income ................. 7. T ecnnical Gwoe for Determining Income and Allowances for the HOME Program — 17 I Exhibit 3.4 - Calculating Part 5 Annual Income - Example ramny roemners i osnfon in Age - Income Soarees Family George Jefferson Head i' 53 Wo ics ftsl-time:at $7254u ur also receives 90vemnletit-as a result of a _ s841emert b the Agent Orange.product liability Eloise Jefferson Spouse _litigition. .,:.:. 48 'Works 18 tbucsl ►eels at a-.bank.at $7.50/hour, ` also receives%5. Wmo_nth from her mother to help Lionel Jefferson Son -- ' "' 99 Fi1H-tiara � _aiZ' k Cbie ®:where he has a Palt-ficrIe, 1' • job in the student bookstom at $6.00/hourfor the 46 weeks when classes are in session. Under the HOME Program. the lnm-ne Limit for a family cf thri ee in the jurisdiction is 523,900. Are the Jefferson's eligible for HOM;-: Wince? Assume �orthis example that the Jefferson's have no assets. ANTICIPATED ANNUAL INCOME Family a.'Nages/ b. =ene ns/ c. Pubi!: d. Other Member Salaries Pensions Assista-ce Incomeome Le.Asset George S' S.080 Enter the cloise j S 7.020 I 15600 greater of Lione! 480 I lines 4 or 5 J I I from above in e. T ota s s 522.58C b. ' -d. S600 e. N/A c; =-rns frog- 3a thrc-;,- :e. This :s Annc._. -come ................. 17. 523,180 :.e ;or ass;s:ante -=cause its tc:al inc:-e of S23,180 is below the Low Income MI :: -- explanation ;:ecr ecr_ _ ; earning ', --ni w:-• -=unt as ir:ome - _:.: pis income from the Agent Orange Se!:!e" runt S4 300, .ear does nc:. Thus C-eorge's income is $7.25/hour x 40 -:curs,:,eeK x 52 weeks/year. cr 515.08C �!oise =!oise : rcome '-Or wac=s c' 57.50/hcur x 18 ;curs/week x 52 weeks, or 57,020, as ,veil as -er reguiar crrt intone Of S50/mcnth or SE:0/year count as income. (The gift income .s counter as 'other Income.') -echnica: wide fcr Oetermirirg Income ano AIlowar.:es for the HOME Program —18 0 CJ Lionel Because Lionel is a full-time student and is not the head of household or spouse, only the first $480 of his earnings count toward the family income. Exhibit 3.5 -- Calculating Part 5 Annual Income — Exercise =tame a�emder>s : Posttion.�n :.., .: _ Age 136nche De verou Head � 55 _�- _ Rose.'Wen .. ":h;�:tFrlend: - 58 Dorothy Spomac Friend 61 Income Works 6 hours/night, 4 nightstweek at $5.00/hour as a waitress; also eams an average of $55/night in tips. "Sams $6.50/hour as a full-time aide in a hospital; employer reports that her wages will increase to $6.75/hour, 7 weeks from the effective date of this calculation. Eams $60/day as a substitute teacher, and works an average of 3 days/week for the 40 weeks school is in session (she made $7,200 last year); also receives $40/month in Food Stamps. Under the HOME Program, the Income Limit for a household of 3 is $38,500. Assuming that these are the only sources of income, does the household qualifv for assistance? Complete the following table to calculate annual income (as defined in 24 CFR Part 5) for the household. Answers are found on the following page. ANTICIPATED ANNUAL INCOME Family a. Wages/ b. Benefits/ c. Public d. Other e. Asset Member Salaries Pensions Assistance Income Income Blanche I I I I Enter the Rose I I I greater of I Dorothy I I I I lines 4 or 5 II I from above I I I I in e. I 6. Totals I a. I b. I C. ( d. I e. N/A f7 Enter total of items from 6a. through 6e. This is Annual Income ................. 7. Technical Guide for Determining Income and Allowances for the HOME Program — 19 Exhibit 3.5 -- Calculating Part 5 Annual Income - Exercise (Continued) ANSWERS ANTICIPATED ANNUAL INCOME Family a. Wages'` I b. 3enefirts/ c. Pubi:c d. Other e. Asset Member Salaries I Pensions Assistant a Income Income Blanche I S17.580 Enter the Rose 1513.980 I greater of Dorothy I S 7,200 lines 4 or 5 from above in e. 6. Totals j a. S38,860 ,s' b. c. d. e. N/A 7. Enter total of stems from. 6a. through N. This is Anne•=/ Ircome................. 7. $38,860 The household is nct eligibie fcr ass:stance. Its income exceeds the Low Income Limit by $360. Explanation Blanc-:e 7-,:anc..e's ircor a must irc:ude both wages a-d tips. (The tips are included as wage!salar: income. Her wace income is Sc 240 annually ($5.00/hour x 6 ..:urs•nigh: x 4 nightsweex x 52 weeks/year' and her tip income is S11,440 a-nuaily (S55/nicht x = nicnts/week x 52 vreGes/year). R o S e P-tse s wa s income mus: be calcuiated :- hA-: steps. For the first 6 weeks of the ear. she earns 56.5:/heu-. Her income =_t t;- s wage is $6.50/hour x 40 _=urs,weeK x 6 weeKS = 5' .560. Fcr the -ex- 46 weeks, her wage will be 1.7 5-; hour Her inc:-ne a: this wac= is S_.75 hour x 40 hours/week x 46 weeks = 2. =20. �crc:-Y :orc:-;y made =71C= lass ye ar. anc :her_ s --c reason to expect that she will work -ore or less o`=n it :ne :rmir,g ye: Ne- it:ome is, therefore, estimated at F='the ;ncc-1e exclusions see =xr .it 3.2), the income she receives T° =00c Jtar%)s Is exc .-de0 from :his -aic_ atlon. 7ecnnical Guide ."�.r De:ermir:ng Ir. come 7nd Allowances for the HOME Program — 20 Exhibit 3.6 — Calculating Part 5 Annual Income — Example t�era t>ttoahtr�:rA=r; 1:Inca me Sources _ ;•: :; w-a manager in fhs - ",'departriierit of the local KmaR, and'G��"�i�1 support. _,,�25WiyeeKas a.pait=time painting -• }eicboa[tie b%efdioot forth® 40 ., whert.sctioo>;�'•in session; • attends ' ,::.• .: -- :.+.,_.�: , itie: Art Institute, which -he*:' losses. at _ wittt:a`State student:tncentive Grant of and paps $5Qlmoh&- in child support for .r•�};; ' . 57W —A lion is $25,70 Ljs-, ANTICIPATED ANNUAL INCOME Family Member a. Wages/ Salaries b. Benefits/ Pensions C. Public Assistance d. Other Income e. Asset Income Murphy I $13,200 $1,200 Enter the greater of 4 or 5 from above in e. Eldon I $10,000 Ilines I I 6. Totals I a. $23,200 b. C. d. $24,400 e. N/A 7. Enter total of items from 6a. through 6e. This is Annual Income ................. 7. S24,400 This family is eligible for assistance. Its total income is $24,400, which is below the Low Income Limit. Explanation Murphy Murphy's annual wage income is $550 semi-monthly x 24 periods/year, or S13,200. In addition, she receives $100/month x 12 months = $1,200/year. Eldon Eldon's wage income is based on 40 weeks of work: $250/week x 40 weeks/year, or $10,000 annually. His scholarship does not count as income. This'child support Eldon pays cannot be deducted from his income. Technical Guiae for Determining Income and Allowances for the HOME Program — 21 • • Exhibit 3.7 — Calculating Part 5 Annual Income — Exercise Family Members Position In Age Income Sources Family Ricky Ricardo Head ' 80 Receives gross Social Security in the amount of $625/mortth: receives a pension from the local musicians' union in the amount of 525 every Lucy Ricardo S pouSe quarter (3 months). 79 Receives gross Social Security in the amount of $120/morrtf;: grossed $4,200 for giving voice lessons last year, but paid business expenses of $1,250 from this income for equipment and Ricky Ricardo II Child sound .roofing. 45 Earns S3311week as an interpreter for a local nonprcdt or-ganization. If the Low Income Limit for a household of 3 is $30,000 and tfe Ricardo's have no other source of income, do thev oualifv fnr accictonnn7 Cornolete the following table to caiculate annual income (as defined in 24 CFR Part 5) for the household. Answers are found on the following page. ANTICIPATED ANNUAL INCOME Fam,iv a. Wages' EPensions nefits/TAss1sca.--.::-e Pui Merr.:er Salariesd. Other e. Asset s/ Income Income Ricky I I Enter the Lucy Ricky II I i I. I c Tc:als a. I b. C. I d. %. E":er zo-tal c= stems frc-i 6a thr:;.,gh _ _ This is Ann: sl l !- some ............... greater of lines 4 or 5 from above in e. e. N/A 7. Technical Guide fcr Determining Income and Allowances `or the HOME Program — 22 • • Exhibit 3.7 — Calculating Part 5 Annual Income — Exercise (Continued) ANSWERS The household is eligible for assistance. Explanation Ricky Ricky's entire income is composed of pensions and benefits. It equals 5625/month x 12 months/year + $25/quarter x 4 quarters/year = 7,600. Lucy Lucy's benefits income is $120/month x 12 months/year, or $1,440. Her net income from her business was $4,200 - $1,250, or $2,950. (Her equipment and soundproofing expense is an allowable deduction because the business funds were reinvested in the business and did not represent expansion. Refer to Exhibit 3.1. ) Ricky II Ricky II's income is wage income. The calculation is $330/week x 52 weeks/year = 517,160. Technical Guide for Determining Income and Allowances for the HOME Program — 23 0 Actual Income from Assets In gene :I, the income coursed is the actual income ;eneratec zy the asset (e.g., irterest on a sav rigs or c`ecking account). Tr.e income s countec. even if `-e househcid elects r.ot to receve it. For example, z.ough an appii:ant may eiect to renvest the interest or divide -ids from an asset. :he interest or dividencs is still c;unted as :ncome. As with ::her types of incor-e, the incc me includec :n annuai :ncome is the incorre that is antic;:ated to be receives from the asset during -,-e coming 12 monti s. Severai methocs may be :.sed to approximate the income `om the asset. For example.:o obtain :e -anticipa ed interest on a sav-ngs accoun:.:he current acc our, balance can be multiplie: by the r .•rrent interest rate applica: a to the account. :;temativeiv. if the value c` L; a account is not =_^ticipated :o change , the ne-z- future a7ti the interest rate has bee- stable. _- -copy of ne IRS loco form showin_ past interest eame: can be used. Many F-s are su;-_.ised to :=am that c.-ecking accour::alances as well savings account balances; are cors:dered a- asset. T-:s rule is not i-:=nded tc :cunt mc--rily income as an asset.:-: rather. s a recoc-:tion that same houses: as keep assets in reir checir-g accou-:_ To avc : countir= monthly -come as an asset. PJ s---uld use --e average mont` Ce :; .. :.clan er a six--onth per:.as the gas- value c` -,e checp. -g accou-- Two '-nique R;.les ne,-:ssot :alculati :asn vat-= and ze_ _ :-me or- : e asset: s straigt�=:-ward. _ rules h2.2 howe� been sta: spec to a::ress tw:::rcumsta_:es S_ -s in wr the assess produce ittle or no �r== rie. anc _;sets tha: are dispcs=d of for less :nan far -aricet v= _e. When an Asset Produces Little or No Income This rule assumes that a household with assets has an increased payment ability, even if its assets do not currently produce income. ;For example, a household that owns land that is not rented or otherwise used to produce income.) Rather than require the household to dispose of the property. the rule requires that an "imputed" income be calculated based on a Passbook Rate that is applied to the cash value of all assets. ;The Passbook Rate is established periodicaily by HUD.) This rule only applies if the total cash value of all assets is more than $5,000. The following examples illustrate how imputed income from assets calculation is applied. Example 1: The Cayhill family has $6,000 (average balance over six months) in a non interest -tearing checking account. The PJ would inuude in annual income an amount cased or. the current Passbook Rate. The :alculaticn would be: $6,000 x .02 = $120. Example 2: The Shaw family has $3,000 'average balance over six months) in a non ;nterest-:earing checking account and S5,500 n an interest -bearing savings account. The .amity reports and the PJ verifies $150 -nterest :n the savings account. The PJ would cc-int the greater of the actual income =rom assets or the imputed income based on me Passbook Rate, as shown below: mputec ncome (S8,500 x .02) _ $170 actual ir:ome S150 includec n annual income $170 example 3: The Smiths have S600 (average balance aver six months) in a non interest - Dearing :hecking account. No -income from assets would be counted because the family has no actual income from assets and the total amount of all assets is less than $5,000. ec.-rnca: ,uide for --etermininc -ncome arc: Allowances for the HOME Program — 24 • Is When Assets are Disposed of at Less than Fair Market Value Applicants who dispose of assets for less than fair market value (i.e., value on the open market in an "arm's length transaction") have, in essence, voluntarily reduced their ability to afford housing. The Part 5 rules require, therefore, that any asset disposed of for less than fair market value during the two years preceding the income determination be counted as if the household still owned the asset. The amount to be included as an asset is the difference between the cash value of the asset and the amount that was actually received (if any) in the disposition of the asset. Consider the following examples Example 1: Mr. Jones cashed in stock to give a granddaughter funds for college in August 1997. The stock had a market value of S4,500 and a broker fee of S500 was charged for the transaction. Market value 54.500 Less broker's fee 500 Cash value to be considered 54.000 The S4.000 in assets would be counted for any income determination conducted until August 1999 (looking forward two years from the time of disposal). I1 Mr. Jones has no other assets, no income 'rom assets would be included in annual :ncome :ecause the cash value of the asset :s less `ran 55.000. If other assets brought ,:tal assets to more than 55.000, however. the imputed income calculation described Previously would be required. Example 2: Mrs. Dutch "sold" a piece of property to a family member for 530,000 on July 1, 1997. The home was valued at $75,000 and had no loans against it. Market value 575,000 Less settlement costs 3,000 Less sales price 30.000 Cash value to be considered $42,000 The $42.000 would be counted as an asset for any income determination conducted until July 1, 1999. The $42.000 would be combined with the cash value of other assets (if any), and an imputed income calculation would be required. Each applicant must certify whether an asset has been disposed of for less than fair market value. Assets disposed of for less than fair market value as a result of foreclosure or bankruptcy are not included in this calculation. In the case of a disposition as part of a separation or divorce settlement, the disposition will not be considered to be less than fair market value if the applicant receives (or received) important consideration not measurable in dollar terms. Technical Guide for Determining Income and Allowances for the HOME Program — 25 Exhibit 3.8 — Part 5 Annual Income Net Family Asset Inclusions and Exclusions 2. 3 6 7 D-1 9 10 incwslons Cash held in savings account`, checking accounts. safe deposit boxes. homes, etc. For savincs accounts, use the current balance. For checking accounts, use the average 6-month balance. Cash value of revocable trusts available to the applicant. Equity in rental property or otl er capital investments. Equity is the es;:mated current market value of the asset less the unpaid balance on all loans secured by the asset and all reasonable costs (e.g., broker fees) that would be incurred ir. selling the asset. Under HOME. equity ir the family's Primary residence is not cons;dered in the calculation of assets for owner -occupied rehabilitation projects. Cash value of stocks. bonds. -reasury bills, certificates of deposit arc money market accounts. Individual -etirement and Kecch accounts (even though withdrawal wou:c: result in a penalty). Retirement and pension funds. Cash va[L=- of life insurance piicies available the individual before death ,e.g., surrender value of a wh:le life or universal ife policy). ?ersonal --roperty held as an nvestment such as cams. jewe:ry, coin ccilections. antique c=rs. etc. _Jmc su— 0r one-time receic:s. such as rmeritanc:s. capital gains. Ic-ery :innings.:ic.im's restitution.-surance :zertlemer:: and other amours ,-ot ntenciec as oeriodic payments. Mortgage: or deees of trust reic by an acC)lican:. Exclusions 1. Ne--zssary personal property, except as nc d in number 8 of Inclusions, such as cicr ing, furniture, cars and vehicles specially equipped for persons with disDilities. 2. Interest in Indian trust lands. 3. Assets not effectively owned by the apoecant. That is, when assets are held in an irdividual's name, but the assets and arry ncome they earn accrue to the benefit of someone else who is not a member of the "=sehold and that other person is resconsible for income taxes incurred on incccne generated by the asset. 4. Ec=ry in cooperatives in which the family lives 5. Assets not accessible to and that provide nc i^come for the applicant. 6. Te.-i life insurance policies (i.e., where there is no cash value). 7. Assets that are part of an active business. "E. S.ness" does not include rental of pr -erties that are held as an investment ar.._ not a main occupation. Tec77:;cal Guice for Deter:-iring Income and Allowances for the HOME Program — 26 • Exhibit 3.9 — Calculating Asset Income (under Part 5) — Example Family Members Assets Asset Value Juan Herrera Checking account $870 average 6-month balance with an interest rate of 2.7%. Inheritance Received an inheritance of $30,000 that he used to buy a new car for $12,000; pay off his $3,000 credit card bill; and open a mutual fund account (which has no associated account costs) to invest the remaining $15,000 at an annual interest rate of 5.3%. The HUD Passbook Rate is 2%. ASSETS Family Member Asset Description Current Cash Value of Assets Actual Income from Assets Juan Herrera ( Checking account $ 870 $ 23 Same Mutual fund $15,000 $795 i I 3. Net Cash Value of Assets ........................ 3. $15,870 4. $818 4. Total Actual Income from Assets........................................................ 5. If line 3 is greater than $5,000, multiply line by 2% (Passbook Rate) and enter results here; otherwise, leave blank. 5. $317 The asset income to be used in the annual income calculation is $818. Explanation Checking account The income from the checking account is calculated based on the 6- month balance and the interest rate (S870 x .027 = $23). Inheritance A car owned for personal use is not considered an asset. However, the mutual fund is an asset. $15,000 x .053 = S795. Because the total cash value of the assets exceeds $5,000. the HUD Passbook Rate must be usec :o calculate the imputed income from all assets combined. In this case, $15.870 x .02 = S317 The actual income earned is greater, however, so that amount must be used in the calculation of annual income for this family. Technical Guide for Determining Income and Allowances for the HOME Program — 27 • Exhibit 3.10 — Calculating Asset Income (under Part 5) — Exercise [Archie amily Members Position Age Family Assets Asset Value in Family Bunker Head 72 Checking $595 average 6-month balance in dith Bunker Spouse 73 account a non /o interest -bearing account. Savings$2,695 at 3.1 HUD Passbook rate is 2%. account Calculate the Bunkers' asset income by completing --ne frllowing chart. Answers are provided on the following page. ASSETS Family I C_rrer? Cash Value Memcer Asse: Description c= Assets I 3. Net Cash,, Value of Asse:s....................... 3. 4. ; otai Ac;;:al Ircome from Assets.... 5 lir= 3 is greaser t-an S5.0C:. mu-iply line cv (=assbook 15. K=:e) and e-:er results her_: ot-erwise. leave t ank Ass=t 17cor'e to ce used it anr.-al income calc_jatic-: S Actual Income from Assets i ecn-nicai "Guice for Ceter-mining income ar.: Allcwanc-s for the HOME Program — 28 • 0 Exhibit 3.10 — Calculating Asset Income — Exercise (Continued) ANSWERS ASSETS Family Member Asset Description Current Cash Value of Assets Actual Income from Assets Archie Bunker Checking account $ 595 $ 0 Edith Bunker Savings account $2,695 $84 3. Net Cash Value of Assets ......................... 3. $3,290 4. $84 4. Total Actual Income from Assets........................................................ ............................ 5. If line 3 is greater than $5,000, multiply line by 2% (Passbook Rate) and enter results here; otherwise, leave blank. 5. $ 0 The Bunkers' income from assets is $84. Explanation Use the actual income in this case, because the cash value of the Bunker's total assets is less than S5.000. The imputed income is only calculated for assets when the total cash value of all assets exceeds $5,000. Technical Guide for Determining Income and Allowances for the HOME Program — 29 • L Exhibit 3.11 - Calculating Asset Income (under Pert 5) - Exercise Family Position in Age Family Assets Asset Value Members Family Fred Mertz Head to Rental property Small rental property that grosses $6,500,year (expenses to keep up the properi are $3,400/year). The property has a fair market value of $69,000, but they have a mortgage on the property in the amount of $35,000. The average closing cost in a real estate transaction is 8% in the area. Ethel Mertz Spouse &' Savings Savings of $5,000 that earned $179 in account interes during the past year. Stock 100 shares of stock in "Why Buy it, Inc.," I with a ace value of $4.25 per share, that have not shown a dividend in years. The cost to sell the stock would be about 576. HUD Passbook rate is 2%. Calculate the Mertz' asset income by completing the =ollowinc chart. Answers are provided on the following page. ASSETS Far- y Mer-=er Asse: Description C_-rent Cash Value of Ass--ts Actual Income from Assets � I I I ;et Cas- /aiue of=ssets.. ......... .... 13. ' -otal Ac:-al Incor-= from Assets....... 'line 3 = greater :-an S5.0r : multipri line by (Passbook =a:e) anc =-;er resL:_ here; c:-erwise. eave blanx 5. =sset Inc=—e to be _sed in ar-.;al incorre calculati--i: $ T==nrncal Gu::e for De: --nining In=me and A.:cwances'cr the HOME Program — 30 Exhibit 3.11 — Calculating Asset Income — Exercise (Continued) ANSWERS ASSETS Family Member Asset Description Current Cash Value of Assets Actual Income from Assets Fred Mertz Rental property $28,480 $3,100 Ethel Mertz Savings account $ 5,000 $ 179 Same Stock $ 349 3. Net Cash Value of Assets ........................ 3. $33,829 4. $3,279 4. Total Actual Income from Assets........................................................ 5. If line 3 is greater than $5,000, multiply line by 2% (Passbook Rate) and enter results here; otherwise, leave blank. 5. $ 677 The Mertz' income from assets is $3,279. Explanation Apartment Building The cash value of the property is: Market value $69,000 Less mortgage 35,000 Less sales costs 5.520 Cash value $28,480 The income earned is the net income (S6,500 - $3,400) of S3,100. Savings Account The information is provided. Stock The cash value of the stock is the sales proceeds (100 shares x S4.25/share = $425) less the cost to sell ($76). It generates no dividend income. Because the total cash value of the assets exceeds $5,000. calculate the imputed income by multiolying the cash value by the HUD Passbook Rate ($33,829 x .02 = 5677). This is less than the actual income earned of 53,279. Technical Guide for Determining Income and Allowances for the HOME Program — 31 EXHIBIT F HUD HOME 0NNIERSHIP aSSIST.a.NCE PROJECT SET-UP AND PROJECT COMPLETIO` REPORTS Homeownership Assistancde U-S. Department of Housing OMB ADoroval No. 2506-01?1 Rental Housing and Urban Development (Exp. 01/31/2002) Office of Community Planning Project Set -Up Report and Development Home Program Cash & Management Information System Public reporting burden for this collection of information is estimated to average 30 minutes per response, including the time for reviewing instructions, searching existing data sources. gathering and maintaining the data needed, and completing and reviewing the collection of information. This agency may not conduct or sponsor. and a person is not required to respond to, a collection information unless that collecton displays a valid OMB control number. The HOME statute imposes a significant number of data collection and reporting requirements. This includes information on assisted properties. on the owners or tenants of the properties, and on other programmatic areas. The information will be used: 1) to assist HOME participants in managing their programs: 2) to track performance of participants in meeting fund commitment and expenditure deadlines: 3) to permit HUD to determine whether each participant meets the HOME statutory income targeting and affordability requirements: and 4) to permit HUD to determine compliance with other statutory and regulatory program requirements. This data collection is authorized under Title II of the Cranston -Gonzalez National Affordable Housing Act or related authorities. Access to -specific data elements. Records of information collected will be maintained by the recipients Federal grant funds is contingent on the reporting of certain project of the assistance. Information on activities and expenditures of grant funds is public information and is generally available for disclosure. Recipients are responsible for ensuring confidentiality when public disclosure is not required. Note: Complete for all Homeownership Assistance/Rental Housing Projects Check the prior to project set-uD and send the completed form to: Appropria►e Sox HOME PROGRAM. P.O. Box 23997, L'Enfant Plaza Station, Original Submission nChange Owners Address Washington. D.C. 20026. Owne1Ership Transfer n Revision Part A: Call -In Part A must be called into HUD to set up project accounts. This completed forth must be submitted to HUD immediately after project set-up call. t. Project Numoer j 2. Name of Participant �6. HOME Funds for Project a. Total Funds Requested + S 3. Pantcrpar, Tax ID Nur::er 4. CHDO Tax ID Numoer b. PerticlPant Number C. Dollar Amount of Funds i IS i 5. Type of Project is (3) Acouisition Only _ Y (5) j Substantial Rehabilitation (4) _ ModerateReraoilitation (6) New Construction j I$ 8. Name 8 Pnone Numoe .rciubrng Area Cone) of person completing lorm i9. CHDO Loan I g (1); Yes (2) : No ' Is l 7. Total Estimated Cost of Projeet (HOME-asststetl units, intruding $ other pubririprivate funds) Part B: Project Information 1 Stree! Access of Drcie-• ta.Cr: lb. State --am e of vv.ie• -- -as: Name _ 2b. First Name "d r - M • tainnC Ac-•esa Of Owne. 30. State tc. Zip code 3c. Zip Coco 'none sir_ -Oe Area .-::: d Name of Firm fd a,,,,,r blej 5. Total Units in Project 16. Estimated Units 17. Total HOME -Assisted Prior to Assistance I Upon Completion Units Upon Corn t t Tvoe of Gwnersno tCnec• 7ne ooxr — 9 Tenure Type (Checx one p e ton I11 _ InOivfdual ., Not -for -Profit a f21 Par'nership -- box only) (1) , Rental j10. Complete for Communt Housing Development fy tt. County Code 51 Publicly -Owned (3) Corporation .91 Other I (z) Homeownershi First -Time Buyer p Organization Projects y (to be compreted by Centralized States _ — (3) _Homeownership Rehabilitation f (check one box) } (1)j i Owned only) � (z)i "Sponsored f 1 (3)J Developed � r I. Page 1 of 4 form HUD-40094 (12192) Part C: Household Characteristif;s. Co, o-e lire for each uni: to De assste: with HOME fu is a 2-s unit ovrrer ozupiec::prec--with re-�I u . , prmtoe . Enter one code only in each block. If project complete a se:arare `rouser cle _-`aracte-stics P usehold tnaraaerstt�=.or each occupied unit. For projects which Include multiple addresses. Part C for =a--n -address. Note: D: ro::omplete for now cons truction projects Pmlec. •ttltlress ! Project Numoer No-. ryRer., na�ngTena.L•nmtles� Ir- unr. No. e• - -ome :r=ta Household Data tic Bearoo-s Casroarx� Mani S =,� -�utiori A-cuni Ta-•u =ent eon --of ;+a Race/Ethn�i'aaltyyof: Size of MecW. of Household Household i Type of Rental Household Assistance i I i ' I I I I I • � I I I I I I I I I I I I t I , I I --------------- i I I zt Sec =oms =ax . � �ih ----------- I j I I , 1 i ' I � I 1 � Io. ode _ -- - - _ era r'`•:V :• "end of nZsenofe :aae Sae of ho.scne�d TYpe of Household Code - ' - -°- = � •v�i'le T' - warncl Cane Single/non-Elderly Rental Assistance Code =e:•:_.-s ara- - - =•acx -:---sanlcl '.ai.ve ers:r 2 • 2 Oers-.rs 2 • Eloeny Y •t Seaion 6 2 • HOME TBA 9e= :: ns _ •. of Area beaar � e• ' 3 Persxs 3 - Related/Single 3 Other = -'==n's r = ae - • +sjan/m=,f c sander -•sade ail rs:esl a a Persxs Parent a ' Related/ a • NOASaiStanCe - _ ,` - acar,: _ .. 5 . 5 Perso-s Two Parent 9 ' Vacant unit _ _ __-s =' 6 • 6 Perso-s 5. Other • �� • 61:11 •' Pers0-3 9 • Vacant una - 50 • ... 6 . 3 or mo-. acar.: _ ,; Oersons 9• vacant sun Page 2 of s form HUD-40094 (12/92) Instructions for Completing the Homeownership Assistance / Rental Housing Project Set -Up Report, form HUD-40094, HOME Program Cash & Management Information System Read the instructions for each item carefully before completing the report form. Use a typewriter or print carefully with a ball (5). Substantial Rehabilitation. The average per unit total rehabili. point pen. Prepare an original and one copy. Retain a copy and mail the original to: cation cost (HOME funds plus any other funds) of the HOME -assisted HOME Program units in the project exceeds S25.000 per unit and he rehabilitation is otherwise consistent with the definition P.O. Box 23997 of rehabilitation of residential L'Entant Pllazaaza Station property as defined above in 5.(4). Washington. DC 20026 (6). New Construction. Any project involving (a) adding units Applicability. This report form must be completed for each homeown- outside the existing walls of the structure, (b) the construction of a new residential unit(s), (c) the acquisition of land ership or rental housing proiect assisted with HOME funds. or the demolition of an existing structure for the purpose of constructing Timing. Complete the project set-up report form before calling the HUD Voice Response System (VRS) a new structure with HOME funds. and (d) acquisition of a structure that has received an initial to set up a project in the HOME C/MI System. This completed report form must be Certificate of occupancy within a one-year periodon to acquisition. sent to HUD immedi- ately after the project set-up tall. If the project set-up report form is not NOTE: when projects combine i ne new construction n one building(s) with rehabilitation activities in received within 20 days of he project set-up call, the project will be automatically canceled by he HOME C/MI System. another building(s) on one parcel of land he projects. by type of activity (i.e., rehabilitation or new Areport form must be received by HUD before funds may be drawn down fora project. An he HOIy1EnC)./MI Sys, must t m admrnisaatively set up as projects in amended set-up report form should be submitted if a project is revised or if HOME funding for the protect is increased or decreased 6. HOME Funds for Project. and he change should be highlighted in yellow. a. Enter the total amount of HOME funds requested for the project. Part A: Call -In. Part A must be called in to the HUD VRS to set up b• Enter the participant number for each and fiscal source a project. The completed form must be submitted to HUD immediately year of HOME funds committed for the project. after the project set-up call. c. Indicate the mount of HOME funds from each fiscal 1. Project ,Number. Enter the 10-digit project number assigned by the year by participant number. HUD VRS at the completion of the project set-up call. 7. Total Estimated Cost of Project (HOME -assisted 2. Name of Participant. Enter the name of the participating jurisdiction units, including other public/private funds). Enter the total estimated cost -PJi. or, in the case of S[_[e recipient projects, the name of the Stale recipient (hard and soft costs) for he HOME -assisted units in the project, including other (identified on the HUD-40100-SLate Designation of Local Recipients form), Public/private funds. (Do not include costs attributable to units in the project that are not HOME -assisted units.) 3. Participant Tax ID Number. Enter the Tax (Emplover) Identification g' Name & Phone Number (Including Area Code) of Person Complet- Number for the paructoaung jurisdiction from block3 of the Funding A.Dprovai and HO�•!E investment Partnership Agreement ing Form' Enter the name and phone number, including area code. of the person to contact for further (HUD-40093): :or a State rez;print prole::. enter the State recipient's Tax ID Number .rom information regarding this report form. 9• CHDO Loan. Complete only for projects assisted the HUD-10100—State Designation of Local Recipients form. a. with funds reserved for Community Housing Development Organizations(CHDOs). CHDO Tax ID Number. Complete only for protects assisted with :;:nds Check "yes" if this is a project -specific technical assistance and site control resen c,: for Comm-,mity Housing Development Organizations CHDOs. Enter Tax loan or a project -specific seed money loan. NOTE: When setting up CHDO the ,Employer) Identification Number for t& CHDO sh"r, in inc De::_nanon of Community a loan. the PJ should set up the project initially to include only the CHDO loan and complete Housing Develop- -ens Oreanizations (CHDO) form (HI.-D-4009g). parts A and B of this report form. If the project is amended to add more CHDO loan funds. the PJ should "yes." :. T.pe of Project. Check one box to indicate the type of project set-up -a,ed on the loiln.. in_• ce-5nitions , Use of (1) check If the PJ proceeds with the project. the project may be amended to add additional HOME funds to the and (2) has been .:;>�onnnur� „ result e: statutor% cranees eliminating the rental project. if the project is later amended to add funds for rehabilitation or new construction. etc.. the PJ -:,,Cu,tL'Or sc:-aside , would check "no" in block 9. If the project is mended to add additional . .acquisition On].. icoutsrtion of a structure that received a funds and/or the project moves forward, the PJ must subnut an amended HUD-4009.1 and must complete '': o,Zup3nc*. :' cast 13 months before acauisitron, worth r:nab1h:::iun and pan C. If the project does not go forward, a completion report form (HUD -40096 or HUD�0097) is which will be used to ro%ide - ''r�aoic '=-:-• or homcn:. nership housing P required. Part B: Project Information • . Moderate Rehabilitation. The aceraee per unit iota) rehabrlit3- I. Street Address of Project. Self-explanatory. :und, c:_• any other :undsi of the H01•IE-assisled "' Name of Owner. For projects containing rental units, :t. in in,., 'r"?::: i, 52: -Y)O or less and the project is any pro)ect -.ni•• in_ :a :nc repair enter the name of the owner. For single -unit homeownership projects, enter "NA" for „r :—crovemer,: of residential units) to brine -_ not applicable. un;ri „ r a:, :nc rr„r,.- . standards recurred b� _ t CFR 9'_.=51 (b) -: re:nnticlurariun tit a ,ir:;Zlure to 3. Mailing Address of Owner. For projects containing rental reauce the total units in order to -:rcase the number of iar_•c family units. ic) adding 3 room or roomsership units. indicate the mailing address of the owner. For single -unit homeown- projects. enter _.. for not beoror�m ,-r oathroom. outside the existing walls for purposes of 4. Name of Firm. For proj projects containingapplicable. eettng oc:uoar,C. or Cooe standards. (d) the tal adding of a unit or units within the existing structure, and (e) the acouisition of 3 structure that owned by is a firm or other organization. he nunits organization. me of the rfi tutor a of occ ipanc} .er:::;=ale at least 13 months before atoms)- ::Jn- rcL=re, Enter the firm address in Item 3 above. For sin le -unit homeownership projects rehabilitation and which will be used to provide a:.ordaole rental nousing or homeownership and other projects which are not owned by a Firm, enter "NA" for not applicable. units. Page 3 of 4 form HUD-40094 (12/92) 5. Total Units in Project Prior to Assistance. � =liter -C total number of 2. X - SO Percent of Area Median means a household whose income utti[s in the ?*eject (both F J�fE_assiste: _id non-HON.-ass:suad t=s). . Estimated L nits Upoo Completiome 6L Enter e"'eds 30 pe-ent and does not exceed 50 percent of the median the :oral ester.=red number of zaits that w-:: be in the =ncc[ upon ::mpletion 3 determined by HUD, with adjustments f smalleranc?anger area. v[h HOME-assss:ed and noc•:'.0 ME -asses_ uWES). is g amities. _ .. Total HOME -assisted Uwts [;poo Co=letioa En total 3.:f• - 60 Percen: of Area Median means a household whose income --:,he ricer Of units (upn compledo. :gat will r-.w.e HOME s:smnc=• aseeds 50 per:ent and does not exceed 60 percent of the median 8. Type of O-mership. C:r:k fz=tly income :ar the area. as determined by HUD, with adjustments one box :-iv, fa: smaller and :arger families. 9. Tenure Type. Check or.: Xx only. F- _ _ 1 unit rr_acts con[: -_ 4• 6f - 80 Percent of Area Median z both an O -:- occupant _ d rental ut:: s!, check be i 2) or (3). Fur means a household whose income e- eds 60 pc -sent and does 5 or more c.:: projects cc_;aining an c+=:er oaupam and rental —s. check box i :.. �70TE: -vs G not exceed 80 percent of the median fa=ily income far the aria, as determined by HUD, with adjustments will aff:=_ which co-=ietion re s P� ' fir smaller and :anger families. required uca ocompletto_: Household Data 10. Community Housing Development Or-anisation ?-ojects• C:m_ Race-thnicity - Head of Household: plete only ::: projects assisted with _ds reserve:'or Comm`.. Housing De•.eiopment Or For each occupied residential unit, enter sae code onl% based on the following definitions: =nizations tC-DOst. Chc c one box o--* I. V� zite, Not Hispanic 11. County Code To be comr:�-d only for., J '�� St_ pro'rs, Y—� Origin. A person having origins in any of the or_=aa1 peoples of Europe, the 3-digit a-t,-rry code for = e county is =aich the pr: • _t is locates North Africa, or the Middle East, but not of Hispanic ori=. Part C. Household Characcristies. Provide inform::on on the __racteris[ics :' each hou=old (rente::r 2. Bltcic. Not Hispanic Origin. A person having origins in any of the bla-; racial grotps of Africa, but owner) occupyic; a unit to be assisted wit: -OME funds Complete :ce not of Hispanic origin. 3• Na--e AmericaL line for each un:::o be assists: with HOXC- :ands• Ent= one code c--*v A person having origins in any of the original petr•ies of the ticrth in sash block. I: _ e protect is :: to unit ;sign-occupix rental prof::_ pro% ide charact:-sties for American Continent, and who maintains cultural id-if[cation thraugh tribal affiliations to :_s as well _'or the owre: If the un:::s occ_ofed. come:::: all boxes informal or community recognition. 4. Asian or Pacific Islander. .-::s not ava :_ le. eater "= " If a ::nit is unoc:_:fed. enter _: number.:.=oer. of beysums, A person having origins in any of the oral peoples :f the Far East, Southeast Asia, the Indian and t;•_ rer:. Do not co©olete for neQ constructzo projects. subconti- nc= or the Park Islands. This area includes, for example, China. Unit dumber. F:. rental unit;::rater the ur_•::amber of Ind:- Japan, Igo :a_ the Philippine Islands, and Samoa. c_: unit that recr:ve HOME _sistance. a• �-anic, A Arson of Mexican, Puerto Rican, Cuban, Central Number of Bedrooms. Ente.: 'or single:—,--, oceupyn=• or So:= American -r other Spanish culture or origin, regardless .SROI uni::r for efficiency ur.::: for 1 ben _om. 2 for _ .wrooms, ? 3 bedroo of race. 9. Vacant Unit. S:;f-explanatory. .':r —' 4 for : bedroor,.s. and 5 for ::: more bec_-:-::is. Size of Household. Lter the appropriate Occupancy. E-:::: if the ur,::.z occupied - a tenant, :..` :[ is oecue:s: b% number of persons in the household: 1' 2. 5.6, 7, or 8 a- more persons (for households of more than 8, enter 8). s aomeown:: _:d 9 if it :s . =cant. Type Of Household: For each residential unit, enter .vlonthly Rent -Including U`des). one code only based on the :allowing dr=-Iidons: Tenant Contrib_:ton. For -,--:owners.:-:_- • 0. For -c-:ers 1• Si::,- on-Elde:iy, One person household in which enter _ e ac::;: rent 10 tr.: -:aresi dolt_ .ncluding _ paid c!�:.., the person is not . this:^e HOME •_-.:s acre cc-.-tttcd to t-.; _tes. : :he !c:tar.: - pie::. If _ • :enan[•s _ • Elaesly. One or::o person household r::: cioc• -o; ;nciuc -. _::itt:es. or : :he tenar,: ::rat :nclucc. with a person at least 6'- years of � . oniy par-_ uti::::=,• �•.g.. he. : i not ei::-::i.-these _::;. costs r._::-be addec :: eras :_-. Use 2:'-- ros;s or 3• Rel: ed/Single Parent. A single parent household _ ::he utilit. _ :..•ar,cc sc-::.ilc provice: . _' n. iucai Pu: �i��us:rag chi,: or children with a dependent :8 years old or -._.-prat. (P- _ :n Hi -sibs- ai. - zzcorr-_::.. t .^ fo- c ;or T::_ : Furnishe:. _hues apart gar ). 4. Relzedn wo Parent. A two parent household with anc ::ter Sc-vicc: Sun=id. amoun,. :;rno - •rtea- -:-5. a dependent child or =-..dren (18 .-ems old or younger). - • enter : • :: rc-:ens :- :-the arno_- t'' = ar.: r::=' : `• = re- psis. i:-fcluc -: 5, Oth:-. Any hous• _ old that is not included in the above :li• • _-cc, oa;� _ :, _ an. eras ..ant: to eras -:Zres: doll_ f in;._::;ig tw •i definitions. o or -are unrelated individuals. t^e . .__. .. .._.. iuN _ :3%men! �-_ 9. �•ac_:t Unit. Se.: -explanatory. rota` Rent. For n-, ner, :- :- t) For - - _-s `-;s rt-: :tat mon[r. =" -_ ant Pa.-: Rental -ssistance: Far rental units, enter one code only to indicate type �.u; S_- :. amour. t: _sistane: oe:g the . _ provided to the tenant• or that .,,i.:,,r vacant -_ ;s:.. !:an -_.... . _: habitab :.:;t crate: no assistance is being ::: •fded, or t-a: the uni; is vacant at the time of _ : ins:no=- `^ Total R.-- .-),; -;n o, ::en; oeir._ _.ee �. the -ner. ., n anitat+;r ace project set-up. I• Sect::n 8. Tenam: receiving assistance through the Section 8 Certifi- =-gram _-: - .: in "Tots. =:-:" :oiurr.- cat: unae-14 CFR pan 883 or the Section 8 Housing Voucher ncumc Data. Prop: m under ?c ::FR part 887 2. Tenant-Rased luntnl. Gross locIme. En::- -e month:. -ass ^Ouse-:: income. a Assistance.. Tenants receiving rental id.- of .area Median. For sOfs_ ce he HOMERental :::h occupies :sidentiai - enter on: 3. Othe: Assistance. Tenants receiving rental ode fife. based c- ::fe folio.+:-: aetiniiior,s 0 • 30 Percent of area Nlecarf means -::sehold assistance through other Fedr , State or :oval rental assistance programs, including a wn: income :; at 7r bc!o.. 3r :-rent of in:-;enian far ;ncome ::- ::ie area. -D.with assis=ice Pay rental meas through programs administered by the U.S. DepE- rent of Hea.h z1. ae:::mined b. -'_ ; ac _::ments fo- -aller and :_ er familics and Human Services or through departments of socia. ;ervices in Sues. A- No Assistance and 9. Vacant 11..it c_fr Pave 4 of a form HUD-40094 (12/92) Homeownership Assistance U.S. Department of Housing Project Completion Report OMB Aporoval D. 2 31/2002, p and Urban Development Office of Community Planning (Exo. otrir2oo2; and Development Home Program Cash and Management Information System Instructions: For Homeownership First -Time Homebuyer Rehabilitation Assistance projects, Mark Appropriate Box submit this form not later than 120 days after the final draw and mail the original copy to: Home Program, P.O. Box 23997, L'Enfant Plaza Station, Washington, D.C. 20026. ; Original Submission `I Revision Part A. Project Information '— t. Project Numoer i 2. Name of Panic lDd It t 13. Participant Tax to Numoer ; a. CMDO Tax ID Numoer ----------------- S.Name 3 Phone Numoer (including area cone) of person completing this form I6. Type of Property (fcheck one) (1) 1-4 Single Family (3) _I Cooperative I (2) Condominium (4) L_I Manufactured Home Part B: Financial Structure of Project Type of Activity Financea (cheer one► (1) Rehabilitation Only (3) El Acquisition Only (2) _ New Construction Only (4) _; acquisition & Rehabilitation (5) Acquisition &New Construction Project Costs t. Home Funds (t) !Annual Amortization Period (Comotete Direct Loan !Ann!i aporoonail items °� ; $ (1)-15)) (2) �O I Yrs. Grant !s (31 I Annual Interest Rate I Amortization Period Deferred Payment Loan (DPL)' I $ I yrs. (a�Omm�unly ousing Development Organization (CHDO) Loan TA Loan I5 I a Seed Loan is i Total CHDO Loan (Total items as B ab) I5 '• s Other s Total Home Funds (Total Items (1) - (5)) - Pucilc Funds .. : S Otner Federal Funds I S Sta!e.•Loca; Appropriated Funds : s ata!e!Loca! Tax Exempt Bond Proceeds ' s Total Public Funds (Total Items (t) - f311 _rlVi::= S U va: - -Annual Interest Rate Amonzation?enoa �,lvaie Lcan Funds :S yrs. , owner Casn Contribution is -P-1va►e Grants Is I Total Private Funds (Total items (1) -131) HOME -Program income S Total Project Costs Total Items 1 .41 is !s Page 1 of 2 form HU 0096 (W3) Part C: Financial Assistance to Homeou W Note: Complate for first time tvmabtner projects only. 1. inftfal Purchase Price Is 2. Appraised Vaiue 3. Tc:al HOME F;;nds `or Dow-tp-. Is rnent �sistance (sort of Sra) + 3t_ . 3f:, 3(C + IS la - ual inte+s, Rate Direc: Loar AAmortrratron °snoo (b, i Gran: s (c' Deferred Paymer:: Loan s Id, Other s =. HOME Program Incor. a for Dowroaymert Assistance i IS z. Tota: HOME Fur-. •• s fc. DOWnayr-ent Assistance (items 3-4) Part D: Complete for homeownership rehabilitation Is projects only. After Renabilitaton Value Is _. Sirme Family Mcrga-o Um_. I Part usehola Characteristics COMmete is try tirs: line ':-the unit to be oc -Di t:: an owner. Fill out the for the renta: uni::_), if anv. rcr an :-occ_oied :.:ft. e--ter second (thir0ourth) line s �ro�ec: Address - ( ) ur- number, number zf bec=oms and total rent and I" Adat as instructed. Proiect Number l Rer.: nciucrn_ Tens:, ?sic ::irties Urn; No._• c Jni; Two Te E_ 'ncomeData Race/Ethnicity No 3edrdt-; _ St-Scv -„ai IMontriy Gross C=mW7. Bore-onrr--:on Amz_-; c % of 4,3a of Head of 1 Size of "-='Iic'eti� ' " - es Inc.-.e Meo : Household Household I Head of { Rental t Ev- 2 . _•N e Z , . 0 t -0 - -a., . t . ? 2E -- _ • . White I t - t Persoi Household I Assistance I 1 ?• 38cr— 2 30 •'0% 2 -Black 12.2%90 3 'SC • '0' 3 -Native t3-3Persor>s ' t Section 6 ��MBdwV ! 2-HOME TBA 5or Z = a -6L • 90': Amer. ta•4Per,UrlS 4 t2- 13• 3 •Other aW Assistance -Asian IS-SPersorts m-�No /slander 16.6Pers= tt ' 4 •As ;4. 5 -Hispanic ;7-7Pe,som Rewsw p Assistance 9-Vacant i8.8or� 15_� +9•Vacant Parlors i 9. Vacant 19 - Vacgirtt Page 2 of 2 form HUD"40096 (6/93) Public reporting burden for this collection of info. n is estimated to average 45 minutes per response, including the time for reviewing ins!ructions, existing data sources, gathering and maintaining the data needed, and completing and reviewing the collection of information.. searchin This agency may no: conduct or sponsor, and a person is not required to respond to, a collection of information unless that collecton displays a valid OMB control number. g The HOME statute imposes a significant number of data collection and reporting requirements. This includes information on assisted properties, on the owners or tenants of the properties. and on other programmatic areas. The information will be used: 1) to assist HOME participants in managing their programs; 2) to track performance of participants in meeting fund commitment and expenditure deadlines; 3) to permit HUD to determine whether each participant meets the HOME statutory income targeting and affordability requirements: and 4) to permit HUD to determine compliance with other statutory and regulatory requirements. This data collection is authorized under Title 11 of the Cranston -Gonzalez National Affordable Housing Act or related authorities. Access to am Federal grant funds is contingent on the reporting a certain project -specific data elements. Records of information collected will be maintained by therecipients of the assistance. Information on activities and expenditures of grant funds is public information and is generally available for disclosure. Recipients are responsible for ensuring confidentiality when public disclosure is not required. Instructions for Completing the Homeownership Assistance Project Completion Report Form HUD-40096, HOME Program Cash and Management Information (C/MI) System Read the instructions for each item carefully before completing the (1) 14 Single Family form. Use a typewriter or print carefully with a ball point pen. Prepare an original and one copy. Retain the copy. (2) Condominium ` Mail the original to: (3) Cooperative HOME Program, P.O. Box 23997, L'Enfant Plaza Station, (4) Manufactured Home Washington, DC 20026. Part B: Financial Structure of Project Applicability. This report must be Completed for each homeowner- 1. Type of Activity Financed. Mark only one of the 5available boxes occupied single family project and for a property with one owner for naming the project's HOME -assisted activity. occupant and zero to three rental units. Note: Completion of a project (1) Rehabilitation Only. AHOME-assisted rehabilitation project with two or more homeowners should be reported on the multi le -unit that did not include acquisition of real property. Such projects Homeownership Project Completion Report. Such a project would mprovement of residetial also include two duplex properties each occupied by a homeowner may have involved the unit(s) up to the property standards requi unit(s) to bring but where the two properties are considered as one project. by 24 CFR 92.251;(b) the reconfiguration of a structure to Timing. The Homeownership Assistance Project Completion Report must be received by HUD within 120 days of requesting the final reduce the total units in order to increase the number of large disbursement of HOME funds for the project. If the project completion family units, (c) the addition of a room or rooms (e.g., bedroom report is not received within 120 days of the final disbursement for the or bathroom) outside the existing walls for purposes of meeting project, the PJ's (or State Recipient's) access to the HOME C/MI occupancy or code standards and (d) the adding of a unit or units within the existing structure. System will be suspended until the report is received and processed (2) New Construction Onl An in the HOME C/MI System. An amended completion report should be y' s Project that involved (a) the a submitted when all units initially reported vacant are occupied and the addition of units outside the existing walls of the structure and (b) the construction of a new residential unit(s). Note: When chance should be highlighted in yellow. projects have combined new construction in one building(s) Part A: Project Information with rehabilitation activities in another building(s) on one parcel Project Number. Enter the 10-digit project number assigned by or new fland, the Projects. y type of construction), must be adm nitstrativelrehabilitation the HUD vRS dunr,5 project set-up. - separate projects in the HOME C/MI System, y set up as Name of Participant. Enter the name of the participating jurisdic- (3) Acquisition Only. Acquisition of a structure that received a tion (PJ), or. for State recipient projects, the name of the State recipient i �dentif�ed on the HUD-40100-State Designation of State certificate of occupancy at least 13 months before acquisition,Rec:pients form). which dio not require rehabilitation and which is being used to Participant Tax ID Number. Enter the Tax (Employer) Identifica- (4) Acquisition and Rehab I tati e rental housing. A a. tion Numder for the Zarticipating junsoiction from block 3 of the ton. AHOME-assreal property. FundingA^„r v � r, Lion project which included the acquisition of real property. pc o a a d ;HOME Investment Partnership Agreement (HUD-»0093): for a State recipientter (5) Acquisition and New Construction. AHOME-assisted new recipient 5 7ax ID Number from the HUD a0100—StaletDes 5he tnae Con construction project which included the acquisition of real ,[or, of State Recia,em.s form. property. This includes acquisition of a structure that has CHDO Tax ID Number,only received an initial certificate of Occupancy within a one year funds reserved for Community' Complete for Deve opmenrojects s Organ zsisted ah Project Costsperiod prinr to acquisition. :ions ICr'DOs, Enter::,e Tax (Employer) Identification Number for the CHDO snown it the Designation of Community HoedElude all HOME funds used for the project and all other funds (public and private) with one exception. Do not double the C pmert Organizations (CHDOi form (HUD-40098 , Housing count. If private funds are used for construction. financing and those ater Name & Phone Number of Person Completing Form. Enter the RePon all (HOME funds expended on the funds are replaced y permanent financing, do not report both. name and pnone number, including area code, of the person to regulations specifically prohibit paying back HOME funds with HOME contact for turner information regarding ;his report form. funds.) For funds other than HOME, to the extent choice must project. (Note. Federal Type of Property. Check one box to indicate the type of property maae to avoid double counting, report permanentafinanc financing rather assisted. than construction financing. The total amount reported on line 5 of Part instructions Page 1 of 3 form HUD.W96 (&93) B should be the total wst of the p �: ems• - I funds reperted in the c.xk titled is=1 HOME == ds (Total :4 HOME (2) Owner Cashqopn�r�ibution�sEnter.amount of all cash (5)") of Ps- B must =roam the tom amount o- (} contrib-sons Provided by the project owner. y.ursed by -e C/MI System fc-:his projec :3) Private Grants. Enter the amount of cash contributions 1. HOME Funds. Ir: _de HOM= :rogram i LTe on line below HOME _ Provide: by private organizations, foundations, donors, etc. titled `OME Pro:3m Incore• only. G: lot incluoTotal Private Funds. Enter the total of items (1) through (3) as the progra- income rr any of the :.:owing 5 ?---'ME catem-es. amount of Private Funds expended on this project. (1) Direct Loan. E- erthe amo•_ : of HOME rids provie__ for this e• HOME Program Income. prc.ect in the fc- of a direr.:an. Enter-e moan's in -west rate Enterthe total amount of funds provided am HOME income. Note: Exclude all program income repre- ar._ amortizatic- oeriod. If -ere are m::ale loans.: •:ter the renting ho-eowner downpayment assistance, which is entered interest rate ar.::erm of the argest loa- :nder PAR- C. Line 4, "HOME Program Income". (2) Grant. Enter the amount of r-DME funds --Ovided wi-cut any 5• 7 otal Project Cost. Enter the sum of totals for HOME funds, Public recavment rec_:rements. (Nate: qmay be `unds and F-vate funds and HOME Program Income. recce the prir--oal amour---orrowed, or nc pa uction Me above imms 1 through 4.) (Totals from pa}-ent, or tt:e effective :-crest rate. sn interes: subsidy Pa- C. Fnancal Assistance to Homebuyer Pay-ent, on a :-vatety oricrated loar. Ca—Dlete Part ' for first-time homebuyer projects only. (3) Deferred Payment Loan (DF:). Enter re amount:: -TOME 1• nitial Purctase Price. Enter the price fur.:s provided --ough loans where pay-_ paid by the first-time inte•est is defer. P - nt of prirc_al and -omebuyeror the property as evidenced on the deed of trust note. until a ftr,_ =time and =-er the inte =st rate 2. anc emortizatic-=eriod, if a-.. A DPL is _ Appraised Value. Enter the estimated a ..me times moiled a �pa;r, appraised value aher any cor.::vonal grar: e.g.• repay,-:nt is requ3d when the :rojec: 3, SOME Funds for Downpayment Assistanc e. Enter the is s::, or is for ---;en if the c�-er ones n_ ;ell the p-•�; for a s: _cified nur.:er of years :r repa r•+-- :r HOME P-gram funds, if an provided as downpaymena ss amount into• Y � . of print=ar and _nce to the -omebuyer according to the following 4 categories: _�� starts �-_- the bank :an is reps•: . (4) Cornmunity Hosing Deve=oment Or�nization XHD0 Note: Do -:at include HOME funds provided as construction Loar- ) "ancing. HOME funds provided as construction financing should a. 'lhnical ;,s; stance Loan. _ :e repartee n Part B of this form.) For definitions of the four (- c-ar the ar-:_rt of .-tegories, per to the description of HOME funds in Part B. DME funds :-ovided as a DHDO TA :an for the :.ject. ._t Direct -eference 2= DFR 92.3C• a). Lin b. :=ed Mone•. -oar,. En:e- :he amo:: of rinds HOME ' -i Grant :'--video as a =H:an for the :-ojec;, Re -=-ante DO see_ - Deferrec Payment Loan CFR 92.2:,(b). _ Other E Program Total C-DO Loan.=-:ertne to- :`:he amo:- enterec :-::ted 4. '--:)ME Program Income. Enter the amount of H on ara 4b•-:ome provr:ed as downpayment assistance to thehomebuyerome uyer (5) Othe- Enter ;-; alai amo:-- of HOMc :-.v. Note: Do not double count. _•Ids prov.::_ for Sut--:. funding —at is otr.e• :nar• the -_e Of lea -.:-ant 5• :tal HOME Funds for Downpayment Assistance. Enter the ass s'_-ce item • ,r :,he z_:,e items :.-ea as (1) :-•=;gh a -punt of g (4) -�ME Program funds provided as downpayment assistance t: ::-e homebuyer (items 3 and 4). Total HC'.t_ Funds. =-ter:re t:_ :f items t- --rough (z _ :me Par. _. Homeownership Rehabilitation Projects Only amc_-• or •`••Or.�= •_-cs expe-:eo Cr the ; Alec:. The -ormatron Public F_7 ds. c-te• - :n o�'s ave :een checr� icc<s f' ; a _ ?quested below pertains only to those projects that h.in Part B of this form as rehabilitation only or as - assrste::rolec:. act- `:ion ano =nabilitation. ill Othe•-ederal Ft.-:;, _x`:u�= .- HOME :rrs = ° y HOM . -os exoe-:---: on 1 • A'er Rehabi.ration Value. Enter the dollar value of the property. (2l Stag _cal A dollar v=_e is the appraised value of the property before Pp. ::mated Fu-:s, e-_bilitatior :pus the total rehabilitation cost (i.e. all materials, 13 State _:cal Tax =: emGt Bar: ,roceeds s_:olies ano .=or costs directly related to the rehabilitation of th Tma: PL: . = r.:s =- e. ne tota aer:s (1 - :'.:erty). e '""= :•olec:. S.-gle Famitr Mortgage Limit. Enter the applicable section Private F--cs. 2:: b) FHA r.:rtgage limit. If a higher limit has been authorized (1) Private Loan Fun-;. =nte• ; n_ f =OME for. -our jurisdiction, enter that higher limit. ° _—oust :,%f at : -:me costs .: I:nis �- prole:- --a! nave : . aia w - sits ot:, ,d from :-,_te Part _ Househord Characteristics fmar.:: r.s::tutic-: SUC^ a5 :c-t5. Savrn— crear: _-ions. an: - and loans. and Corr.;, ere the first ne for the unit to be occupied by an owner. Fill out ter :he -;rest rate _ d amortrz=:on the send (third,"curth) line(s) for the rental unit(s), if any. F r an perk::••ne ioar. -ere are!-- :sole loans :� rate =-::e•.-n of :-; arges: Ica- (Do not ::_ale c un st rent ar-ietl unit, .^ter unit number, number of bedroomsyandototal _ 9 as ins-_ ucted. rnstn:= cis Page 2 c: form MUD40096 (6193) Project Address & Project Number. EnOhe address (or if no unique street address, the unit numbe r) of the HOME -assisted adjusted inco ceeds 60 percent and does not exceed 80 property. Also enter the 10-digit project number assigned by the HUD VRS at the completion of the Percent of the median family income for the area, as deter - mined by HUD with adjustments for project set-up call. This number should be the same as that entered in Part A, Block #1. smaller and larger fami- lies. Unit Number. Enter the unit number of each unit assisted with HOME Ho usehold Data funds. Race/Ethnicity-Mead of Household: For each occupied residen- Number of Bedrooms. Enter "0" for a single room occupancy 1 tial unit, enter one code only based on the following definitions: (SRO) unit or for an efficiency unit, 1 for 1 bedroom, 2 for 2 bedrooms, 3 for 3 bearooms. 4 for 4 bedrooms, the A person gthe e original peop es of ue, Not Hispac grope North Africa and 5 for 5 or more bedrooms. Occupancy. orin. Middle East, but not of Hispanic origin. Enter 1 if the unit is occupied by a tenant, 2 if it is occupied by a homeowner, and 9 if it is 2. Black, Not Hispanic Origin. A person having origins in vacant. Owner/Tenant in Project prior to the HOME assistance. Enter 1, if the any of the black racial groups of Africa, but not of Hispanic origin. 3. Native American. A person having origins in tenant was residing in the project prior to the HOME assistance. Enter 2, if the tenant was not residing in the project any of the original peoples of the North American Continent and who maintains cultural identification prior to the HOME assistance. through tribal affiliations or community recognition. Monthly Rent (Including Utilities). 4. Asian or Pacific Islander. A person having origins in Tenant Contribution. For homeowners, enter O. For tenants, enter the actual rent to the nearest any of es the original of the Far East, Southeast Asia, the subcontinent, orrtthe Pacific Islands. For dollar, including utilities, paid by the tenant at the time of project completion. If the rent includes example: China,Indian dia, Japan, Korea, the Philippine Islands and Samoa. S. utilities, or if the rent includes partial utilities, e.g., heat, but not electricity, these utility costs must be added to the Hispanic. A person of Mexican, Puerto Rican, Cuban, Central or South American or other Spanish culture rent. Compute utility costs for the area , and in the case of partial utilities, or origin, regard - less of race. compute costs for utilities excluded from the rent), by using the utility allowance 9. Vacant Unit. Self-explanatory. schedule provided by the local Public Housing AuthorityPHA Size of Household. Enter the appropriate number of persons in the (PHA) in household: 1, 2, 3, 4, 5, accordance with form HUD-52667 Allowance for Tenant Fur- nished Utilities and Other Services. 7, B more persons (for households of more than 8, enter 8). Enter . for 9 for a vacant unit. Subsidy Amount. For homeowner, enter O. For tenant, Type of Household: For each residential unit, enter the amount that the tenant receives as a rent subsidyud-based enter one code only on the following definitions: ing any utility allowances paid directly to the tenant) to the nearest dollar. If me tenant noes 1 Sin on is Single/Non-Elderly. One person household in which the Person is not not receive a tenant subsidy enter "O". Y Payment, elderly. 2. Elderly. One or two Reny Total Rent. _titer me : oral monthly rent (tenant contribution person household with a person at least 62 years of age. sl ar-inter)t plus 3• Related/Single Parent. A single parent household Income Data. with a dependent child or children (18 years old or younger). 4. Related/Two Parent. Monthly Gross Income. Enter the monthly gross household income A two parent household with a depen- dent child or children (18 Percent of Area Median. For each occupied residential years old or younger). 5. Other. Any household not included in the above 4 definitions, including unit, enter two or more unrelated individuals. one cooe only oasea on the following definitions: 9• Vacant Unit. Self-explanatory. 1. 0-30=ercent c' Area Median means a household whose Rental Assistance: Enter one code only to indicate the type aojusteo ::'come ,s at or below 30 Dercent of the median family assistance, 'ncC;me ar==. as deierminec by HUD with adjustments 1. iar Sf"_ io- arty ;goer families. of it any, being provided to the tenant. Section 8. Tenants receiving Section 2. 30-50; s:== =ercen: cf Area Median means a household whose =o 8 assistance through the Section 8 under 24 ficate part 882 or the Section 8 Ho st ng V =xceeas 30 percent and noes not exceee 50 2. oercen: z' :ne mecnan family income for the area. as peter- cheraPro ram under 2 part 887. HOME Tenant Based Rental Assistance. Tenants receiving HOME mines c: HUD wi:n adjustments for smaller and larger fame- 3. nes tenant -based assistance. Other Assistance. 3 50-60 =erc en; c Area Median means a household Tenants receiving rental assistance through other Federal, State or local rental whose aajustec :ncome exceeds 50 percent and does not exceed 60 Dercen: -' grams. assistance pro - No :he mea:an family income for the area, as deter- 9. mines V., HUD war. adjustments for cSelf--explanaatoryory Vacant Une. it smaller and larger fami- lies. 60-80 Percent of Area Median means a household whose instructions Page 3 of 3 form HU"0096 (6,93) 0 EXMBIT s EVVZRON ENT.Al REVIE«' RECORD (ERR) Cat;_orical Ex:.lsion Determ -2tion of ':Ctnptior. *9 � M '�., �• *� CATEGORICAL EXCLL:SION ('lot subject to 58.5) 24 C.F.R. 58.35 (b) 200 I hereby certify that the following activities comprising the Program have been reviewed and determined Categorical Excluded Activity per 24 C.F.R. 58.35 (b) as follows: (1) Tenant -based rental assistance; (?) Supportive services including, but not limited to, health care, housing services, permanent housing placement, day care, nutritional services, short-term payments for rent/mortga-a utility costs, and assistance in gaining access to local, State, Federal government benefits and services; (3) Operation costs, including but not limited to, equipment purchases, inventory financing, interest subsidy, operation expenses and similar costs to associated with construction or expansion of existing operation; (4) Economic development activities, including but not limited to, equipment purchases, inventory financing, interest subsidy, operating expenses and similar costs not associated with construction or expansion of existing operations; (5) Activities to assist home ownership of existing "new dwelling units not assisted with Federal funds" including closing costs and down payment assistance to home buyers interest buy downs and similar activities that result in the transfer of title to a property; (6) Affordable housing pre -development costs including legal, consulting developer and other costs related to obtaining site options, project financing, administrative costs and fees for loan commitments, zoning approvals, and other related activities which do not have a physical impact. Documentation indicating compliance «•ith 24 C.F.R. § 58.6 attached (when applicable). Signature E • DETERMINATION OF EXEMPTION (24 C.F.R. § :4) —0 I l .-reby :er,:.--%- that he follon;ne activities comprisir.; the p'ogr=n ha a been reviewed and deter -lined an Exempt Activity per 24 C.F.R. § : -L34 (a') as=ollo«s: (1) E ategies; 31 ar.- ot:.;. studies, resource ide=tification and the development of plans and ategi �; (2) L.aortnrdor, znd i= an::al serzices: (3) - Amin==zatve an'd m:-tagement activities: (4) P'-'blic Seri ::es &._t not have a physical impact or result in any physical change, including -t not Hmi -.--d to zer aces concerned %vi>i. etr-ioyment, crime prevention, child care, health, Drug abi:se. tduca=on. counseling, enerne - :or_ervation and welfare or recreational needs; (S) L-pecrons and tes-Zing of properties for ?',czars or defects; (6) P-zchase of msumznce: (i) ?-xcha_e of :ools: (8) E=ginee-ing •)r des:?*t :osts: (9) -_:hnic:i a_::star.__ a-d training: 10) _;ist1:-.:e te,---ors: or: etmarent �� i--=rL�--'ements that do not alter environmental tdittc-; _.d are ::tt :ed to protec:ton. rt-M:- or restoration activities necessary only to "=`�01 a =eat �•e =cts :rom disaster:.:rr_.—lnent threats or physical deterioration: nc:= int:-est on loar.:.:,a:: or obligation guaranteed by HUD: -_ V Of' a:.LYC�Xelus:ons lasted in ; ; --35 (a) provided that there are not :ums_nc:: ��"i:::•. '•;,• 1Id-equire:omp.:zn.! with any other Federal laws and authorities ..ed ir. ' -;.. 1'' - or"'`' -•t"ith -'C•R. = ` : = b) -o fur.=er ap=-o%•:: form from HUD or the State is :;t o: =arc_ ;o :--:oletrent t1 :: or_ gam. :nttt'. •;tt: still document In "•%r.: ng tts compliance with and/or the "Dth:- reoL:_er a tts list at : 58.6. SIamar,:re EXHIBIT H AFFIRMATIVE MARKETING POLICY AND PROCEDURES This affirmative marketing policy pertains to all Office of Housing and Economic Development (OHED) and all CHDOs receiving HOME program funds for HUD -assisted housing containing five or more units. OHED will annually assess the affirmative marketing program to determine its success and will take any necessary convective actions. The affirmative marketing requirements and procedures include the following: 1. OHED will use the Equal Housing Opportunity logotype and/or slogan in all press releases or notices to the public or solicitations pertaining to housing of more than five units. 2. OHED will notify the local Houston Community Housing Resource Board on an annual basis Of its commitment to an affirmative marketing program ' 3. OHED «•ill require owners of FRM-assisted housing of five or more units to adhere to the following: a) When advertising or listing vacancies, owners must use major and community newspapers, community contacts and Equal Housing Opportunity logotypes or slogan. Owners must also display the Fair Housing poster in high traffic areas on the premises of the assisted . housing I b) Owners must perform special outreach to persons in the housing market area who are not likely to apply for the housing without special outreach. Targets of special outreach could include community centers, places of worship, employment centers, housing counsel' agencies. etc. counseling c) OHED will assess the results of efforts taken by the owners to affirmatively market the housing units. Copies of all materials used to affirmatively market the housing and records describing actions taken by the owner to affirmatively market the housing must be submitted to the OHED or on a quarterly basis. The quarterly report must also include information on families residing within the property. The family information must include the following: the number of units and monthly rent (utilities included) by bedroom size; number of tenants remaining in place; size of household and for each head of household, age, race, sex, and sender. d) OHED will assess the success of the affirmative marketing efforts. If the affirmative marketing efforts do not result in attracting eligible persons from all racial, ethnic and gender -groups in the housing market area, OHED and will determine the necessary corrective actions. Owners that fail to comply with affirmative marketing requirements will face the possibility that housing assistance payments te until corrective taken. If the owner fails to take corrective action in a timely maanner, the ems nder tofu is rehabilitation loan will be due and payable upon demand. the 0 EXHIBIT I CONFLICT OF rNTEREST DISCLOSURE IF NO CONFLICTS E-XI7-;T, NI'P CO.,q El I C-e—ify LET veen Harris Counm -----------ed - m --------- 1- -------------------------------------------------------------------------------------------------------- that no :Onfbct C."mere-st ber veen Ee subco::----Ct0rS of and IF THERE is A CONFI-CT. COMPLETE THE FOLLOWING: El I cM&iFY that --% ':Onflict Of =Crest dce-;- exist betwee= Harris : --'.Lnt,v and -------•-•- I ce that Z :0 .......................... c m nflict Of =:�-rest dces exist benve-,= 3fSubC0uCwt.-,- and (N 1.,-* . f Des.. —.he of identifyemPloyment, and the conflict or pote7::al cons::::.:.heir with :,rgan-za=--7.-). Signature of -Authorized A !LR!u -.`,2me 3ad Title Ofl`iCi2J • E EXHIBIT J REGULATION REFERENCE INFORMATION 1. 24 C.F.R. § 92- 2. 24 C.F.R. § 92.203 (b)- 3. 24 C.F.R. § 92.205(a)(1)- 4. 24 C.F.R. § 92.206- 5. 24 C.F.R. § 92.206(d)(6)- 6. 24 C.F.R. § 92.207 (b)- 7. 24 C.F.R. § 92.208- 8. 9. 10. 11. 12. 13. 14. 15. 16. 17. 18. 19. 20. 21. 24 C.F.R. Part 35 24 C.F.R. § 85.43 24 C.F.R. § 92.217 24 C.F.R. § 92.218- 24 C.F.R. § 92.220- 24 C.F.R. § 92.251- 24 C.F.R. Part 8 24 C.F.R. Part 3280 24 HOME Investment Partnerships Program Final Rule Income Determinations Eligible Activities: General Eligible Project Cost Relate Soft Cost- Staff and overhead Eligible Administrative and Planning Costs -Staff and Overhead Eligible Community Housing Development Organization CHDO-operating expense and capacity building costs Suspension/Termination Income Targeting: Homeownership Matching Contribution Requirements Form of Matching Contribution Property Standards C.F.R. § 92.254 (a)- 24 C.F.R. § 92.254 (a)(4)- Qualification as Affordable Housing: Homeownership Periods of Affordability 24 C.F.R. § 92.254(a)(5)(ii)- Resale and Recapture 24 C.F.R. § 92.257- 24 C.F.R. § 92.351- Religious Organization Affirmative Marketing, Minority Outreach OMB Circular A-110- OMB Circular A-122- Program Uniform Administrative Requirements for Grants and Final Revision of OMB Circular A-122" Cost Principles Non Profit O Subpart K of 24 C.F.R. Part 92- Protogram Adminiistraontions 2'_ 23 24 C.F.R. § 92.505- 24 C.F.R. § 92.508- Applicability of Uniform Administrative Requirements 24• 25 24 C.F.R. § 92.503- 24 C.F.R. § 85.31 Recordkeeping Program Income, Repayment and Recaptured Funds 26. 24 C.F.R. § 85.32 Disposal of Property Properr Ownership/Reven ?-. O,N'IB Circular A -I 10. Subpart C- Uniform Administrative Requirements for Grants and Agreements with Institutions of Higher Education. Hospital and Other Non -'S. _24 C.F.R. § 92.350- -Profit Organization- Pos Other Federal Requirements t Award Requirements 29. 30. 24 C.F.R. § 92.35 +- 24 C.F.R. § 92.354- Displacement, Relocation and Acquisition 31 • 24 C.F.R. § 92.356- Labor Conflict of Interest 32. 24 C.F.R. § 92.355- Lead -Based Paint 33. 3 *. 24 C.F.R. § 58.35(b) Categorical Exclusion 24 C.F.R. § 58.34 Determination of Exemption i 0 EXHIBIT K GRIEV-A- CE PROCEDURE EQUAL OPPORTI- ITY IS THE L NV This Grantee is prohibited from. discrimina-- ng on Me around of race, color, religion, sex, national orig:a. age, disability. political a:nliatior or belief, and for beneficiaries only, citizenship or participation in ,rozams L--tded under the Home Investment Partnerships Investment P7,'U m (HONM) R: ulations, admissior ar access to. opportunity or treatment in, or employment in the adrninistr2z7on of or ir conneczon with, any- HOME funded program or activiry. - If you think t: at you ha a been :.tbiected to discrimi -ition under a HOME funded program or activ4t<. you. -nay file a "otnplain: wihin 180 , ays from the date of he alleged violation with the Gran, e's Eq, 71 Opporrzjry Offer f or the person des:_ated for this purpose). If "'-Ou elect file you: ,:Z'mpl Li c -with the Grantee. -:ou must «ait until the Grantee issues a decision or u:.-.-1:1 90 day_ .^.ave passed. whichever is sooner. If the Grantee has not provided you with a «-ritten decision-Nithin 9,: days of the filing c_ the complaint, decision to be issued, may dle a comp:aint �yi_ the Office of Housing and Economic Deg e!opment'_ I OHED ►Director within30 Lys of tr-_ expiration of the 90 day period. If you are dissatisfies: i% ith the U--=. tee'; resolution ei your complaint, you may file a complaint with a desimate hea---t2 board. such cc nplaint mu" be file= %vithin 30 days of the date you received notic: of the C-antee's -o; osed-=so'iution. - Grp-::�-e Cont-::: Of : ofHous:n_ and Et;-omic Developme-: V1or.:-.s Cisnl. Or::,: -unit•. Dr:icer 841 C Lantern ?:):-t Hou::on. Tex:= --054 Tel,-= ':orie: C' 1 -T; -U- - - 0 0 GRIEVANCE INFORMATION FORM PLEASE PR1 7 OR TYPE ALL INFORMATION I. Complainant: Please provide the following information concerning the person or organization filing the complaint. Social Security Number: Name: Telephone Number(s): Address: Home: Work: II. Action Complained of: Please describe in detail the action(s) that you are complaining about. (Attach additional pages if necessary) Do you believe that your complaint involves a violation of the HOME regulations, the HOME grant or other agreement under the HOME Act? _ Yes _ No If Yes, please reference the provision(s) violated: III. Respondent(s): Please name the person(s) or organization(s) that you believe to be responsible for the action(s) that you complained about: Name(s is Addres_is): Explain :tow each Respondent is responsible for the action(s) that you are complaining about:(,::,ach additional pages if necessary) Complainant's Signature Date • COMPLAINT PROCESS Purpose. This complaint process pre::ses for =ie prompt review and ;!suitable disposition of complaints alleging violarons of the HOME ;;. Thee procedure: are use;: by the Of=ce of Housing and Economic Development (OHED) and'--, all of' contractor and or su r:cipients. General Policv 1. A complaint, as rec; e sized b•: u: is process. is define;: zs an indiv:dual or organization's allegation of a violation of t .: HOIN E -emulations: '. Counr: -s contract rith the Department of Housing . and Urban Develo-entt: and OHED cor._-acts and -LT subrecipients. A complaint must be filed within one year of _e alleged occurrence. 2. The person or orga.,--ntion fKin, a complaint will be =-ee from re --saint, coercion, discrimination, or reprisal. Compl_.ts are not considered as reflec=, unfavora_-ily on either the complainant or management. but a:-- :o be considered the expression if a lawful r._ltt. Comtiaints not co;-ered by - Croce= ze Compla-:_ allegir_ discrim- -=:ion beca-._e of disa:: ty, race.:olor, national origin, age, sex, religion.:vlitical-=.iarion er relief. re-:iation. an_ cirizenshir must be filed within 180 days from the :_te of the _'.eged disc iminarior_ The cor-saint must :z filed using the Department of Housing Labor, D:a;;orate c-- Civil Pja,-:s. Compl:=t Informaron Form. This complaint form may be obtained frcm anv HOME Projec: Monitor. ar by contacting OHED Equal Opportunity Officer. All info: ---=lion and :omplai.n:s involving allegation_ of fraud. abuse, or other criminal activity shall be :ported and =ediatel%- :o OHED _ 1713) 74 , -)131. Compla=s that do allege _ •-,olarion of the Act. Proce�� e Particip_::_ are en.: --aged :: -!solve cc=plaints tr_::-na11,,• by calking with the contractor and/ or subre::tent. H:-: e. e:. if _ ^arricipa-: Decides tc :ursue a ce aplaint formally, the complaint rust be :_emitted :: DHED :- _ e Marv.:-.eseribed :e:ow. The co-=:>>nant ,:.: first , N%Tjnen.:Igned cc=laint wIt'- :he OHED Complaint Officer. The co -::arrant si'mu:•":eously p_sue resoi:-on of the complaint through the internal ;ompla:-: ,rocedL: of -he -= ing or e=loyino _c:rution w;.ere the complainant is stationed I thro;:_= :: e fed! -at. or state _=:ncies h:.-.-.ng jurisd::-on overt:: substance of the complaint. pon r::::pt of tl:_ :jrrulai-: OHED. :.he come _= ant will .:e provided written notification ::tat the ::.:,plain: -._ been -_::i;-ed ar.::he nme;_::e under %;::ich it will be processed. The has th_ -gh: to _ rearing ,.%::-.:n 30 da.; of the rece:pt of the complaint by OHED. The co-=:_tnt Off:_- «.;il a-_-ot :o re=:.: an info.--=1 resoluttcn of the complaint prior to the eann_• -e ent;-_ : )mp iat-::-ocess -;: be con-:.::ed within 60 calendar days of the receipt .,: the ..-c:lint b:• :QED. Recipient =:-:act: Office of -:_:ng and E::-omtc Dr.:.:pment (OH.-D) `.lonica C:-:. Equal 0=r-unjry 0;—:- �410 Lante- ?oint Houston. .70547. f:hone . " - "i'-013' 7D: (713)6= _11 95 0 EXHIBIT L HARRIS COUNTY INSPECTION REPORT SINGLCINJILY HOME NSPECTION ART ADDRESS OF PROPERTY: Year Build: EXTERIOR GQneral: PreSenCe of ::Ouse numbers. House r._mber must be visibie frim street. Presence & oDeradon of doerbel or door .l-,-tocker. Accessibilirv: - :cessib:iir�' porcheS. decks &: d::vew•ays. C'^,eck IC' St.:bilit-,' :n Reps & ha,drails. Presence of :;andr._:is. broke:: sidewalks. Presence of GFCI outdoor rezep acles on new construction. (Foundation: ;T oe of :ou-datio- & anv 11=e211-arities in-ounda.on. !is;ab. pie-berrrt. acce;;ibilir. cr::c.lingventilation). :Site Drainage: 10b:nerve _;e _:ainaze pmern of t;.e entire p�pem. srou-„ sl ould :iC:`e apt a fmm all sic:_ of the butiding. 3jaing/Brick: .;ails c: hc-,e. j 2z, Oi ... 1-' .-. .17::es - _ cr_�5.- bnc...-'ssing : ic:. rotted A ,d. �:..._.-_ ��; �.::c:ra _:roc :oftit:..:.:ed cc.. ic_. nu��t L.\icflOr: Pe -?2. ,oaC'i: �;- :-_.-_i1� ti__-. _ ..._. _ - 0. SINGLE-FAMILY HOME• INSPECTION REPORT EXTERIOR Security: Fencing (yes or no) Observe overall conditions. Check for stability of fence system, type of fence system. Inspect wood fences for signs of rot or insect infestations. Inspect metal fences for rust. Inspect sates operation & their associated hardware o erable. Exterior Doors:' All doors leading to the outside &into the garage must be either metal or solid core. All doors leading to the outside & into the garage must have deadbolts & locksets. If the deadbolt is within 3' of a window, the deadbolt must be double cylinder. All doors must operate properly. Storm doors must be onerahlP Windows: Mfor Check for operable, lockable & screened windows. Check for broken glass; check for rotted wood around wwood around windows: check the window material: chec signs of window leaks. Whether burglar bars are present. Existing burglar alarm system. 10 SINGLPFAMILY HOME •rNSPEMON REPORT INTERIOR lHallway: Any irregularities in sh-trock wa:is & :tIhnes. Type & i any . ITe2UlariEICS In floorine. Operation of light fixtures. Presence of sufficient electrical ou:jets. Any exposed wiring. Presence & operation or smoke detector. .:.. Living Room: Any irregularizies in sheetrock wal:s & c.-Ilines. Type & and irreZ ulanties in flc>oriz,,Z. Operation of light fixtures. Presence ofsuticienz electrical ou-;eES. Presence & ortration of smoke detector. Fireplace: door/screen ODe.-anon of rif%mr)e-. Operation of gas lic_'h7.11r & valve. -- Pretence )'gas ier of valve -olde7..homes). 1kilchen: 1 1 rre OU rl::,s'n & ceflinzsz. T,.L,L, & arr. i. !gula7:1es:11 flocrin:- ODC-1rion c"r P-L'Sf-1C-1 0: ou'.erS n -7:ter source: rt S t 7: C CD:!73[jor, of GFC1 rezer:acle, C�'lnc:uon C" _- _*:%iners S 'z z --,,unter:oP- C):- o n kk a CT;27Z.:!0n C -7: fa-. C., Df7_:;0n j: :',OL/co.*d aloes. diSDC-..-,.* s o r !'Ll c P t: .7 n on . �:.' -e & bud: P - L2 Se 1.): 7.:- :; [) 0.,;! : : ---------------------- SINGLE-FAMILY • HOME INSPECTION REPORT INTERIOR Bath 1: Any irregularities in sheetrock walls & ceilings. Type & any irregularities in floorine. Operation of light fixtures. Presence of sufficient electrical outlets near water source; presence & operation of GFCI receptacles. Condition & presence of mirror, cabinets & countertops. Operation & stability of toilet. Presence of leaks around toilet. Operation of lavatory sink. Presence of leaks around sink (hot/cold water, shut-off valves). Condition of bathtub & tub surround (hot/cold water, bath faucet, drain. overflow. showerhead). Presence of unventilated gas wall heaters. Presence of vent fan or window. Presence & operation of door. Bedroom 1: Any irregularities in sheetrock walls & ceilings. Type & any irregularities in flooring. Operation of light fixtures. Tvpe of light fixtures. Presence of sufficient electrical outlets. Any eSDOsed Nx*inng. Presence of zl:oset. operation of closet door. Presence & ooeration of door. Presence d; operation of smoke detector. SNGLPFAMILY HOME • I1�SPEC'TTON REPORT INTERIOR Bath ': Any i7egulariLes in sheezmck wal:: & ceili;.__s. Type & any irre_ularities m floor'r._=. Operation of li_it fixture:. Presence of suf-icient elecrical outsets near water source: presence & ope.stion of G: CI rece::acles. Condi:ion & presence of ��_rror, carnets & :ountertops. Opera; on & sta6ility of toilet. Preser,:e of leaks around toilet. Operation of lavatory sink. Presence of lea';: around Smk (hot/:.id water. shut-off va?-es). Condi::on of bat Itub & tuc surround (hot/coid water, bath faucet. drain.. a verf7ow. showerhel-). Preset::-_ of unve�tilated Els wall he_ters. Preset::e of ver::an or window. Prese-:e & oDe =:ion of door. Bedroom 2: Any I;-_aularives in sheep k wall_ s ceilin_=:. Type a any irre-Iarities :- floorinE. Opera:: )n of lis-: fixture:. Type iisht fi Y::::res. Press-:e of sun::::ent ele::-:al out:=_. An, :. ,osed %k =cy. Press-: of clot--:: opera;::- of clot:: door: Press-:e & ope-_::on of Prose-:t & OD: -.:::on of :-: tie dete:::r. SINGLE-FAMILY HOME INSPE • CTION REPORT INTERIOR Bedroom 3: Any irregularities in sheetrock walls & ceilings. Type & any irregularities in flooring. Operation of light fixtures. Type of light fixtures. Presence of sufficient electrical outlets. Anv exposed wiring. Presence of closet; operation of closet door. Presence & operation of door. Presence & operation of smoke detector. Bedroom 4: - Any irregularities in sheetrock walls & ceilings. Type & any irregularities in flooring. Operation of light fixtures. Type of light fixtures. Presence of sufficient electrical outlets. Any exposed wiring. Presence of closet: operation of closet door. Presence & operation of door. Presence & operation of smoke detector. Attic: t ype or access to attic. Operation of pull down stairway. Presence & type of insulation. %Whether exposed piping is insulated. Whether piumbins! vents extend thru roof. Any missing structural/frame requirements. Rool lcu .> S LN G A A INM Y HOME INSPECTION RM ORT GARAGE Garage: Anv irregularities in sheetrock walls & ce:linp (some garages may not have sheetrock on exterior walls'.. Type & any irregularities in flooring. Presence of sufficient electrical outlets near water source: presence & operation of GFCI receptacles. Anv exposed wiring. Operation/condition of overhead garage doors & openers. Presence of pull down stairway. Presence & operation of smoke detector. utility room/laundry area: iy�Y And• irregularities in sheetrock walls & cei:ings. Type & any irregularities in flooring. Operation of light fixtures. Presence of laundry piumbing connections. Presence of gas jet & tx-De of valve. Ventilation on dn•er. Presence of sufficient electrical outlets. presence & operation of GFCI recept_cles. Presence of cabinet. .fin: exposed wir.na. operation c. smoke detec:or. Main Electrical Panel: Toe o: sere ice :nder=-ou:,d. above amour'). wea:: emead.:.-op ma;t n'e--t c=de -:quiremen►= C^" .. 01r. pre:er.-t of -ou .dIne C :e---- ::-Z!1 C�:_... pre:er,._ of :'_ic= pane. � e r. SINGL91FAMILY HOME INSPECTION • REPORT HVAC HVAC Compressor: Check for presence of a/c compressor disconnect adjacent to unit: required unless_ feet from main service electrical panel. Check for presence of a/c drain line. Compressor must be elevated on a sturdy flat surface (concrete or wood). HVAC System::.•-�.�: Location of unit. Whether unit is gas or electric. Age of unit. Cut off switch. (required on new construction). Any exposed wiring. Location of thermostat. Ventilation piping routing & termination. Gas supply line shut off. Type R condition of ductwork. . � psi. .: � .. _ _ .. ...,_ . t �•� WATER HEATER Vy-ater Heater: Location of unit. Whether unit is _ss or electric. Size of unit. Whether unit is elevated. Proper plumbing connections on unit. Proper e:ectncal :onnections on unit. Proper eis connemon on unit. Present: & grope- installation of dram line. Proper �entmQ on unit. Tempemiure pressure relief valve installed. Irreaulanties - bLmer assembly/flame/heating unit. If water heater is ,n a separate room by itself. - Is the door to the -oom vented? Is the floor permanent? t water neater in a separate room of home (ext), is door lockable? SINGLOAMMY HOME INSPECTION RART PRIVATE & PUBLIC SEWAGE Private Water Wells: Location of pump. Operation/performance/pressure s%vitches. Type of storage equipment. On -Site Sewerage Facilities: Type of system. Any accessible/visible tank(s) or components. I Any visible effluent seepage over tanks. Any visible effluent seepacre over fields. Proper site drainage in system area distance in feet from: i water well, cisterns. supply lines, sseams, ponds, lakes. building property lines. easements. etc. I If ne%v system. check with County Health Dept for permits. DETACHED STRUCTURES Detached Structures: Treat detached structures as a separate unit. Che:k foundation. roofing. siding. brick. windows, doors. ele.-Mcal ser.;�:e & plumbing. v FIREPLACE & CHIN2, E EY Fireplace S chimney: Wh;:: is the :h,:-one% stru::ure made of' Che--:, for ,:him7t% :LID. ,rooe- flas=:ng & ch:mnev cricket ( It h LiILI 71!... : ). EXHIBIT M BUILDER'S CERTIFICATION • CERTIFICATION OF ENERGY CONSERVATION STANDARDS ------------------------------------------- ------------- Property Address --------------------------------------------- ----------- Buyer I hereby certify that improvements constructed on the above captioned Property meet or exceed the energy conservation standards of the 1992 Council of American Building Officials Model Energy Code, incorporated in the HUD/VA Minimum Property Standards for energy efficiency by the 1992 Energy Policy Act. Builder r1L OF 9y TY EA�IS COLTN , TEXAS ,lof OFFICE OF HOUSING & ECONOMIC (DEVELOPMENT 8410 Lantern Point Houston, Texas 77054 Tel:713-747-0132 Fax:713-578-2190 JAN f 5 January 8, 2003 Mr. John Joerns, Acting City Manager City of La Porte 604 W. Fairmont Parkway LaPorte, Texas 77571 Dear Mr. Joerns: RE: Single -Family New Construction Project Project No. 2002-047 Enclosed is a copy of the executed Agreement between Harris County and the City of La Porte for the project referenced above using Home Investment Partnerships (HOME) Program funds. Please note that Mr. Warren came by our offices on January 7, 2003 and acquired a copy himself. If you have any questions please contact Stephen Skeete at (713) 747-0132 ext. 2042. Director DBT/ng Enclosure r,AV.b..\QA1.9\. 1W ageemc &Ciry_p LaPorte Single F- I .,a —Cons —iOn excc_ag wjt_ _010803.doc 2002-047 AGREEMENT BETWEEN HARRIS COUNTY AND CITY OF LA PORTE FOR SINGLE-FAMILY NEW CONSTRUCTION PROJECT THIS Agreement is made and entered into by and between Harris County, a body, politic and corporate under the laws of the State of Texas, herein called the "Grantee" and the City of La Porte, a Texas body politic and corporate under the laws of the State of Texas, herein called the "Subrecipient." WHEREAS, the Grantee has applied for and received funds from the United States Government under the Home Investment Partnerships (HOME) Program, application number M-02-UC-48- 0215; 2002-047; WHEREAS, the primary purpose of the HOME program pursuant to the National Affordable Housing Act of 1990 (NAHA) and 24 C.F.R. 92, is to benefit low and very -low income citizens by providing them with affordable housing; WHEREAS, the Grantee and the Subrecipient desire to enter into an agreement whereby the Grantee will grant funds to Subrecipient for the purpose of constructing two affordable single family houses to be occupied by low income citizens of Harris County, which is an eligible activity under the rules and regulations regarding HOME Program grant funds, in accordance with the terms and conditions described herein; and WHEREAS, the Subrecipient shall insure recognition of the role of the Grantee Department in providing services through this contract. All activities, facilities, and items utilized pursuant to this contract shall be prominently labeled as to funding source. In addition, the Subrecipient will include reference to Office of Housing and Economic Development "OHED" for the support provided herein in all publications made possible with funds made available under this Agreement. ti0%V. THEREFORE, in consideration of the mutual covenants and agreements herein contained. it is agreed between the parties hereto that: Subrecipient ao-rees to provide the activities described in Exhibit A, attached hereto and incorporated herein for all purposes, in accordance with the provisions of this Agreement and in compliance with the requirements of the Title 1 of the Housing and Community Development Act of 1974 and all regulations issued thereunder. A. Eliuible Activity The Subrecipient agrees to maintain documentation that demonstrates that. .the activities carried out with funds provided under this Agreement meet the following eligible activity relating to the HOME Program at 24 C.F.R. § 92.205(a)(1) which states that funds may be used by a participating jurisdiction to provide for acquisition and new construction. The specific eligible project costs for these activities are set forth in 24 C.F.R. § 92.206. B. Performance Monitoring The Grantee will monitor the performance of the Subrecipient against goals and performance standards required herein. Substandard performance as determined by the Grantee will constitute non-compliance or breach with this Agreement. If action to correct such substandard performance is not taken by the Subrecipient within a reasonable period of time after being notified by the Grantee, Agreement termination procedures will be initiated pursuant to 24 C.F.R. § 85.43. The Subrecipient agrees to cooperate in periodic site visits and annual program and financial monitoring visits which the OHED staff and/or the Harris County Auditor's staff will conduct. Subrecipient also agrees to be cooperative with monitoring and/or investigations performed by the Department of Housing and Urban Development, and comply with their findings. Any non-compliance's identified during said monitoring visits shall be addressed in a reasonable period of time by the Subrecipient. Failure to respond in a timely manner will result in further corrective action by OHED including, but not limited to, termination of the Agreement. II. TIME OF PERFORMANCE Services of the Subrecipient shall start on the 17`h day of December 2002 and end on the 3 1 " day of July 2004. This Agreement may only be extended upon written approval from the Executive Director, OHED. III. PAYMENT The Grantee has no Grantee funds for the payment of services to be rendered under this Agreement. It is expressly understood that Grantee's obligation under this Agreement is contingent upon receipt of funds for such purpose from the U.S. Department of Housing and Urban Development ("HUD"), by virtue of the above -mentioned grant(s). Accordingly, notwithstanding anything herein to the contrary, the maximum liability of the Grantee under this Agreement shall not exceed One Hundred Eighty One Thousand Nine Hundred Dollars and No/100 (5181,900.00) or the amount actually received by the Grantee from HUD pursuant to the Grant, whichever is less, and Subrecipient, by execution of this Agreement, acknowledges its understanding of this fact. The Subrecipient will have no right of action against the Grantee in the event that the Grantee is unable to perform its obligations under this Contract as a result of the suspension, termination, withdrawal, failure, or lack of sufficient funding from HUD to the Grantee. Reimbursement for eligible expenses shall be made against the line item budgets specified in Exhibit "B" in accordance with performance. The Grantee will -only make funds available to the Subrecipient on a reimbursable basis upon receipt of an invoice. On or before the tenth working day of the month Subrecipient shall submit an itemized invoice. in a form approved by the Harris County Auditor, to OHED setting forth in I detail the services provided hereunder during the previous month and the cost, compensation and expense reimbursement claimed. Such invoices shall show the name and classification of each person that performed services pursuant to this Agreement, the date or dates that services were performed, and the time or times during such day or days that the services were performed. Invoices shall be and must be accompanied by all appropriate supportive documentation. The supportive documentation shall include such details of the work, units/duration, and the expenses claimed as may be requested by the Grantee's Auditor for verification purposes. OHED will review the invoices and, after approval, will forward them to the Harris County Auditor for approval and payment. Invoices that are incorrect or lack sufficient supporting documentation will be returned to Subrecipient for correction before submission to the County Auditor for payment. Any proposed reallocation of funds among various Budget line items or to new line items created in the Budget must be treated as a contract amendment, requiring approval of the Grantee. No more than two (2) budget revision requests shall be allowed each year. Payment by the Grantee to the Subrecipient shall be limited to the actual out-of-pocket expenses incurred by the Subrecipient in the performance of this Agreement. No reimbursement shall be made for goods or services received by the Subrecipient as in - kind contributions from third parties for assistance of the program. Grantee maintains the right to suspend payment to the subrecipient for failure to submit reports within the required timeframe. Grantee may terminate this Agreement with the subrecipient for failure to submit reports for two consecutive months. A Supplemental Request amending a payment or reimbursement request may be filed with OHED within thirty (30) days after the submission or receipt of the original request. Supplemental Request for payment or reimbursement submitted after thirty (30) days from the date of submission or receipt of the original request will not be approved. No more than one Supplemental Request shall be allowed per month. Payments may be contingent upon certification of the Subrecipient's financial management system in accordance with the standards specified in OMB Circular A-110. The Subrecipient understands and agrees that reimbursement for costs under this Contract shall be in accordance with all applicable federal rules, regulations, cost principles, and other requirements relating to reimbursement with Housing and Urban Development (HUD) grant funds. The County shall pay for only those costs that are allowable under said rules, regulations, cost principles and requirements. The Subrecipient agrees to repay County in full for any costs paid by County under this contract that are disallowed or determined to have been ineligible for payment with HUD grant funds. 3 IV. is VI. NOTICES Any communication concerning this Agreement shall be directed to the representatives of the Grantee and Subrecipient as provided in Exhibit A, Scope of Services. Subrecipient shall provide clients with information concerning submission of complaints. Any complaints received concerning the Subrecipient and services provided shall be directed to the representative of the Grantee as provided in Exhibit A. Letters received detailing the results of Subrecipient monitoring by the Grantee shall be "posted, upon receipt, for public view. If HUD initiates an investigation into a matter covered under this contract, OHED shall or may withhold all payments until the results of the investigation have been revealed. Reimbursement to the Subrecipient will be determined upon resolution of the investigation by HUD. Grantee David B. Turkel, Director Office of Housing & Economic Development 8410 Lantern Point Houston, Texas 77054 SPECIAL CONDITIONS Subrecipient John Joerns, Acting City Manager City of La Porte 604 W. Fairmont Parkway LaPorte, Texas 77571 The Subrecipient agrees to comply with the requirements of Title 24 Code of Federal Regulations, Part 92 of the HUD regulations concerning the HOME Program and all federal regulations and policies issued pursuant to these regulations. The Subrecipient further agrees to utilize funds available under this Agreement to supplement rather than supplant funds otherwise available. MATCHING FUNDS CONTRIBUTION REQUIREMENTS HOME Program funds used for Subrecipient acquisition and new construction are required to be matched according to 24 C.F.R. § 92.218. The matching contribution must total not less than 25 percent of HOME funds expended. Eligible forms of matching contributions must be met in accordance with 24 C.F.R. § 92.220. PROJECT REQUIREMENTS A. Property Standards (1) The Subrecipient must follow the property standards requirements of 24 C.F.R. § 92.251 for housing constructed or rehabilitated with HOME funds. The housing 4 • must meet all. applicable local codes, rehabilitation standards, ordinances and zoning ordinances at the time of project completion. (2) Newly constructed housing must meet the current edition of the Model Energy Code (MEC) published by the Council of American Building Officials. (3) The housing must meet the accessibility requirement at 24 C.F.R. Part 8, which implements Section 504 of the Rehabilitation Act. (4) Construction of all manufactured housing must meet the Manufactured Home Construction and Safety Standards established in 24 C.F.R. Part 3280. B. Affordability Period The Subrecipient must follow the affordability requirements of 24 C.F.R. § 92.254 (a)(4) of the HOME Program, as applicable. Failure to meet the affordability requirements for the specified periods will require repayment of HOME funds. In addition, to ensure affordability, the Grantee has imposed the recapture requirements at 24 C.F.R. § 92.254(a)(5)(ii), which recoups all or a portion of the HOME assistance to the homebuyers, if the housing does not continue to be the principal residence during the period of affordability. Amount of Assistance Provided Affordability Period <$15,000 5 years $15,000 - $40,000 10 years >$40,000 15 years C. Recapture Reguirements The Subrecipient must inform homebuyers that housing purchased with HOME Program funds must be acquired by a homebuyer whose family qualifies as a low- income family and the housing must continue to be the principal residence for the assisted homebuyer for the full affordability period, as required by 24 C.F.R. § 92.254(3). To ensure that the Grantee recoups all or a portion of the HOME assistance to homebuvers, if the housing does not continue to be the principal residence of the family for the duration of the period of affordability, the Grantee will reduce the HOME investment amount to be recaptured on a pro-rata basis for the time the homeowner has owned and occupied the housing measured against the required affordability period. D. Religious Organizations 5 HOME funds may not be provided to primarily religious organizations, such as churches, for any activity including secular activities as indicated in 24 C.F.R. § 92.257 of the HOME Program requirements. E. Affirmative Marketing, Minority Outreach Program Subrecipient must follow the affirmative marketing procedures and requirements in accordance with 24 C.F.R. § 92.351 of the HOME Program, for HOME - assisted housing containing 5 or more housing units. The affirmative marketing steps consist of actions to provide information and otherwise attract eligible persons from all racial, ethnic, and gender groups in the housing market area to the available housing. The Grantee will annually assess the affirmative marketing program to determine the success of affirmative marketing actions and any necessary corrective actions (Exhibit F). VIII. GENERAL CONDITIONS A. General Compliance The Subrecipient agrees to comply with all applicable federal, state and local laws and regulations governing the funds provided under this Agreement, including Executive Order 12372 governing the review and coordination of Federally Assisted Program and Projects. B. Independent Contractor Subrecipient shall operate hereunder as an Independent Contractor and not as an officer, agent. servant or employee of Grantee. Subrecipient shall have exclusive control of, and the exclusive right to control, the details of the work and services performed hereunder, and all persons performing same, and shall be solely responsible for the acts and omissions of its officers, members, agents, servants, employees, program participants, licensees or invitees. The doctrine of respondent superior shall not apply as between Grantee and Subrecipient, its officers, members, agents, servants, employees, program participants, licensees or invitees, and nothing herein shall be construed as creating a partnership or joint enterprise between Grantee and Subrecipient. It is expressly understood and agreed that no officer, member, agent, employee, licensee or invitee of the Subrecipient, nor any program participant hereunder, is in the paid service of Grantee and that Grantee does not have the legal right to control the details of the tasks performed hereunder by Subrecipient, its officers, members, agents, employees, program participants, licensees or invitees. Grantee shall in no way nor under any circumstances be responsible for any property belonging to Subrecipient, its officers, members agents, employees, program participants, licensees or invitees, which may be lost, stolen, destroyed or in any way damaged. N. 0 C. Indemnity Subrecipient covenants and agrees to indemnify, hold harmless and defend, at its own expense, Grantee and its officers, agents, servants and employees from and against any and all claims or suits for property loss or damage and/or personal injury, including death, to any and all persons, of whatsoever kind of character, whether real or asserted, arising out of or in connection with the execution, performance, attempted performance or nonperformance of this contract and Agreement and/or the operations, activities and services of the Program described herein, whether or not caused, in whole or in part, by alleged negligence of officers, agents, servants, employees, Subrecipients or sub-Subrecipients of Grantee; and Subrecipient hereby assumes all liability and responsibility of Grantee and its officers, agents, servants, and employees for any and all claims or suits for property loss or damage and/or personal injury, including death, to any and all persons, of whatsoever kind or character, whether real or asserted, arising out of or in connection with the execution, performance, attempted performance or nonperformance of this contract and Agreement and/or the operations, activities and services of the programs described herein, whether or not caused in whole or in part, by alleged negligence of officers, agents, servants, employees, Subrecipients or sub-Subrecipients of Grantee. Subrecipient likewise covenants and agrees to and does hereby indemnify and hold harmless Grantee from and against any and all injury, damage or destruction of property of Grantee, arising out of or in connection with all acts or omissions of Subrecipient, its officers, members, agents, employees, sub-Subrecipients, invitees, licensees, or program participants, or caused, in whole or in part, by alleged negligence of officers, agents, servants, employees, Subrecipients or sub-Subrecipients of Grantee. D. Workers' Compensation The Subrecipient shall provide Workers' Compensation Insurance coverage for all employees involved in the performance of this Agreement. Subrecipient must provide to OHED a Certificate of such insurance. The Subrecipient shall also abide by the Contract Work Hours and Safety Standards Act of 1962 (40 U.S.C. 327 et seq.). E. Waiver of Immunitv If the Subrecipient, as a charitable or nonprofit organization, has or claims an immunity or exemption (statutory or otherwise) from and against liability for damages or injury, including death, to persons or property, Subrecipient hereby expressly waives its rights to plead defensively such immunity or exemption as against Grantee. This section shall not be construed to affect a governmental entity's immunities under constitutional, statutory or common law. 7 F. Public Liability Insurance Subrecipient shall furnish a certificate of insurance as proof that it has secured and paid for policies of public liability and automobile liability insurance covering all risks incident to or in connection with the execution, performance, attempted performance or nonperformance of this contract and Agreement. The amounts of such insurance shall not be less than the maximum liability, which can be imposed on Grantee under the laws of the State of Texas. At present, such amounts shall be as follows: Property damage, per occurrence $100,000 Bodily injury or death, per person $100,000 Bodily injury or death, per occurrence $300,000 With the understanding and Agreement by the Subrecipient that such insurance amounts shall be revised upward at Grantee's option and that the Subrecipient shall revise such amounts within thirty (30) days following notice to Subrecipient of such requirements. Subrecipient also covenants and agrees to furnish the Grantee with a certificate of insurance as proof that it has obtained and paid for a policy of Worker's Compensation Insurance in the amounts required by State law, covering any and all employees of Subrecipient active in the program funded under this contract; and Subrecipient agrees to require its sub-Subrecipients to carry adequate Worker's Compensation Insurance in the amounts required by State law. Subrecipient will submit to Grantee documentation that it has obtained insurance coverage as required in this contract within thirty (30) days of the execution of this contract and prior to payment of any monies hereunder. G. Grantor Recomition The Subrecipient shall ensure recognition of the role of Grantee in making services available through this Agreement. All facilities, publications and other items used, made available. or made possible through funds obtained pursuant to this Agreement shall be prominently labeled as having been funded (in total or in part) by Office of Housing and Economic Development. Subrecipient shall maintain a "recognition file." Each instance of recognition shall be documented by including in such file a copy or photograph of each such instance of recognition. Original documents are the preferred means of documentation, but photocopies or photographs may be used when and where appropriate. 0 0 • H. Amendments Grantee or Subrecipient may amend this Agreement at any time provided that such amendments make specific reference to this Agreement, and are executed in writing, signed by a duly authorized representative of each organization, and approved by the Grantee's governing body. Such amendments shall not invalidate this Agreement, nor relieve or release Grantee or Subrecipient from its obligations under this Agreement. Grantee may, in its discretion, amend this Agreement to conform with federal, state or local governmental guidelines, policies and available funding amounts, or for other reasons. If such amendment results in a change in the funding, the scope of services, or schedule of the activities to be undertaken as part of this Agreement, such modifications will be effected only by written amendment signed by both Grantee and Subrecipient. No more than two amendments to the Agreement shall be allowed each year. I. Suspension or Termination Either party may terminate this Agreement at any time by giving written notice to the other party of such termination and specifying the effective date thereof at least 30 days before the effective date of such termination. Partial terminations of the Scope of Services in Exhibit A above may only be undertaken with the prior approval of Grantee. In the event of any termination for convenience, all finished or unfinished documents, data, studies, surveys, maps, models, photographs, reports or other materials prepared by Subrecipient under this Agreement shall, at the option of the Grantee, become the property of Harris County, and Subrecipient shall be entitled to receive just and equitable compensation for any satisfactory work completed on such documents or materials prior to the termination, unless HUD has determined through monitoring and or investigative practices, that Subrecipient is not entitled to such compensation. Subrecipient may be responsible for repayment of funds to OHED and/or HUD. Grantee may also terminate this Agreement for cause, in whole or in part, if Subrecipient materially fails to comply with any term of this Agreement, or with any of the rules, regulations or provisions referred to herein; and the Grantee may declare the Subrecipient ineligible for any further participation in Grantee HOME Agreements, in addition to other remedies as provided by law. Additionally, in the event there is probable cause to believe the Subrecipient is in noncompliance with any applicable rules or regulations, the Grantee may withhold up to twenty-five (25) percent of said Agreement funds until such time as the Subrecipient is found to be in compliance by the Grantee, or is otherwise adjudicated to be in compliance. Termination, or expiration, of this Agreement shall not relieve Subrecipient of liability for any breach of this Agreement that occurs prior to such termination or expiration. • .• J. Reversion of Assets Upon expiration of the term of this Agreement, the Subrecipient shall transfer to the recipient any HOME funds on hand at the time of expiration and any account receivable attributable to the use of HOME funds. For any year following the expiration or termination of this contract that Subrecipient holds personal property attributable to funds hereunder, Subrecipient shall submit an Annual Report of Personal Property identifying the property and its location, with such report being filed with the OHED and the Hams County Auditor. Grantee may also suspend or terminate this Agreement, in whole or in part, if Subrecipient materially fails to comply with any term of this Agreement, or with any of the rules, regulations or provisions referred to herein; and the Grantee may declare the Subrecipient ineligible for. any further participation in Grantee Agreements, in addition to other remedies as provided by law. In the event there is probable cause to believe the Subrecipient is in noncompliance with any applicable rules or regulations, the Grantee may withhold up to twenty-five (25) percent of said Agreement funds until such time as the Subrecipient is found to be in compliance by the Grantee, or is otherwise adjudicated to be in compliance. IX. ADMINISTRATIVE REQUIREMENTS A. Financial Manaizement Accounting Standards The Subrecipient agrees to comply with Subpart C of OMB Circular A-110 and agrees to adhere to the accounting principles and procedures required therein, utilize adequate internal controls, and maintain necessary source documentation for all costs incurred. 2. Cost Principles The Subrecipient shall administer its program in conformance with OMB Circulars A-122. "Cost Principles for Non -Profit Organizations," for all costs incurred whether charged on a direct or indirect basis. B. Documentation and Record -Keeping Records to be Maintained The Subrecipient shall maintain all records required by the federal regulations specified in 24 C.F.R. § 92.508 and that are pertinent to the activities to be funded under this Agreement. Such records shall include but not be limited to: 10 C� 0 a. Records required to document the acquisition, improvement, use or disposition of real property acquired or improved with HOME assistance; b. Records documenting compliance with the fair housing and equal opportunity components of the HOME program; C. Financial records as required by 24 C.F.R. § 92.505, and OMB Circular A-122; and d. Other records necessary to document compliance with Subpart K of 24 C.F.R. Part 92. 2. Retention The Subrecipient shall retain all records pertinent to expenditures incurred under this Agreement for a period of five years after the termination of all activities funded under this Agreement, or after the resolution of all Federal audit findings, which ever occurs later. Records for non -expendable property acquired with funds under this Agreement shall be retained for five years after final disposition of such property. Records for any displaced person must be kept for five years after he/she has received final payment. All client records are the property of the Grantee and must be forwarded to the Grantee at the end of each quarter. Failure to submit client files to Grantee as required shall be a material breach of the contract and funding will be withheld from the Subrecipient until such time as the files are submitted. Subrecipient must also comply with the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970. I Reports The Subrecipient shall furnish reports to the Grantee, which include, but may not be limited to the following: A. Performance Reports submitted at the end of each month. B. Certification for Contracts, Grants, Loans, and Cooperative Agreements (see Exhibit C). C. Cost Control Report submitted monthly to Grantee. D. Cost Worksheet submitted monthly to Grantee. E. Reimbursement Request submitted monthly to Grantee. F. Personnel Cost Worksheet submitted monthly to Grantee. G. Quarterly and Annual Performance Reports submitted at the end of each quarter or contract period, respectively. Monthly reports are to be submitted within ten (10) working days -of the end of the reporting periods. The quarterly performance reports are due within fifteen (15) days after the end of the previous quarter and the annual performance report is due within one month after the end of the contract period. Reimbursement 11 • 0 requests received more than sixty (60) days after the reporting month will not be honored. Incorrect reports will not be accepted and will be returned to the subrecipient for correction and resubmission. Failure to comply with the reporting requirements of this Article shall be a material breach of the contract and funding will be withheld from the Subrecipient until such time as the reports are submitted. Grantee maintains the right to terminate this Agreement with the Subrecipient for failure to submit reports for three consecutive months. 4. Eligible Activity The Subrecipient agrees to maintain documentation that demonstrates that the activities carried out with funds provided under this Agreement meet the eligible activity relating to the HOME Program at 24 C.F.R. § 92.205, which states that HOME funds may be used by a participating jurisdiction to provide incentives to develop homeownership affordability through acquisition, new construction of non -luxury housing. The specific eligible costs for these activities are set forth in 24 C.F.R. 92.206(a). 5. Close -Outs Subrecipient's obligation to the Grantee shall not end until all closeout requirements described in 24 C.F.R. 84 are completed to the satisfaction of the OHED and the Harris County Auditor. Activities during this close-out period shall include, but are not limited to, making final payments, disposing of program assets (including the return of all unused materials, equipment, unspent cash advances, program income balances, and receivable accounts to the Grantee, and determining the custodianship of records. 6. Audits & Inspections All Subrecipient records with respect to any matters covered by this Agreement shall be made available to the Grantee, its designees or the Federal Government, at any time during normal business hours, as often as the Grantee deems necessary, to audit, examine, and make excerpts or transcripts of all relevant data. Any deficiencies noted in audit reports must be fully cleared by the Subrecipient within 30 days after receipt by the Subrecipient. Failure of the Subrecipient to comply with the above audit requirements will constitute a violation of this .agreement and may result in the withholding of future payments. Subrecipient hereby agrees to have an annual agency audit conducted in accordance with OMB Circular A-133. 12 s 0 C. Reporting and Payment Procedures 1. Budgets The Subrecipient has submitted a detailed budget (see Exhibit B) in a form and content prescribed by Harris County Auditor. The Grantee and the Subrecipient may agree to revise the budget in accordance with existing county policies. The budget may only be revised two times in a one-year period. 2. Program Income The Subrecipient shall report all program income as defined at 24 C.F.R. § 92.2(2) generated by activities carried out with HOME funds made available under this Agreement. The use of program income by the Subrecipient shall comply with the requirements set forth at 24 C.F.R. § .92.503. By way of further limitations, the Subrecipient may use such income during the contract period for activities permitted under this Agreement and shall reduce requests for additional funds by the amount of any such program income balances on hand. All unused program income shall be returned to the Grantee at the end of the contract period. Any interest earned on cash advances from the U.S. Treasury is not program income and shall be remitted promptly to the Grantee. 3. Indirect Costs If indirect costs are charged, the Subrecipient will develop an indirect cost allocation plan for determining the appropriate Grantee share of administrative costs and shall submit such plan to the Grantee for approval. 4. Payment Procedures The Grantee will pay to the Subrecipient funds available under this Agreement based upon information submitted by the Subrecipient and consistent with any approved budget and county policy concerning payment. With the exception of certain advances, payments will be made for eligible expenses actually incurred by the Subrecipient, and not to exceed actual cash requirements. Payments will be adjusted by the Grantee in accordance with advance fund and program income balances available in Subrecipient accounts. In addition, the Grantee reserves the right to liquidate funds available under this Agreement for costs incurred by the Grantee on behalf of the Subrecipient. C. Procurement Compliance The purchase of any items either individually or in the aggregate that exceeds $500.00, shall be by open, competitive bidding. Subrecipient shall maintain an 13 0 0 inventory record of all non -expendable personal property procured with funds provided hereunder. Any real property under Subrecipient's control that was acquired or improved in whole or in part with HOME funds must either be: a. Used by the Subrecipient to meet the eligible activity in 24 C.F.R. § 92.205(a)(1) until five years after expiration or termination of the Grantee's Agreement with HUD; or b. Transferred to the Grantee; or c. Disposed of in a manner, consistent with 24 C.F.R. § 85.31, which results in the amount of the then current fair market value of the property less any portion thereof attributable to expenditures of non - HOME funds for acquisition thereof, or improvements to, the property being reimbursed to the Grantee. Such reimbursement is not required if disposed of more than (5) five years after the expiration or termination of this Agreement. d. Further, if within five years of the termination or expiration of this Agreement, the Subrecipient ceases to use any or all personal property attributable to HOME funds to meet an eligible activity, the personal property shall, in accordance with 24 C.F.R. § 85.32, either revert to the Grantee or be disposed of in accordance with the applicable federal rules and regulations, including but not limited to OMB Circular A- 110, Subpart C. e. The Grantee in its sole discretion shall determine whether or not the Subrecipient use of any property meets the eligible activity contained in 24 C.F.R. § 92.205(a)(1). f. After the expiration of five years, the Subrecipient shall have no obligation to comply with this section regarding real or personal property. g. Nothing contained herein shall be construed to conflict with the duties of the Subrecipient as set forth in the Texas Non -Profit Corporation Act (Tex.Ann. Civ. St. Art. 1396-1.01, et seq.) or any other applicable statue. '. OMB Standards The Subrecipient shall procure materials in accordance with the requirements of Subpart C of OMB Circular A-110, Procurement Standards; -and shall subsequently follow Subpart C, Property Management Standards, covering utilization and disposal of property. 14 3. Travel Subrecipient must comply with Harris County travel guidelines and obtain prior written approval from the Grantee for any travel outside the Grantee's service area paid for with funds provided under this Agreement. 4. Relocation, Acquisition and Displacement The Subrecipient agrees to comply with 24 C.F.R. § 92.353 relating to the acquisition and disposition of all real property utilizing grant funds, and to the displacement of persons, businesses, non-profit organizations and farms occurring as a direct result of any acquisition of real property utilizing grant funds. The Subrecipient agrees to comply with applicable Grantee Orders, and Policies concerning displacement of individuals from their residences, including the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970. X. PERSONNEL & PARTICIPANT CONDITIONS A. Civil Rights 1. Compliance The Subrecipient agrees to comply with Title VI of the Civil Rights Act of 1964 as amended, Title VII of the Civil Rights Act of 1968 as amended, Section 109 of Title 1 of the Housing and Community Development Act of 1974, Section 504 of the Rehabilitation Act of 1973, the Americans with Disabilities Act of 1990, the Age Discrimination Act of 1975, Executive Order 11063, and with Executive Order 11246 as amended by Executive Orders 11375 and 12086 and all other applicable requirements of 24 C.F.R. § 92.350, Subpart H. 2. Nondiscrimination The Subrecipient will not discriminate against any employee or applicant for employment because of race, color, creed, religion, ancestry, national origin, sex, disability or other handicap, age marital status, or status with regard to public assistance. The Subrecipient will take affirmative .action to insure that all employment practices are free from such. discrimination. Such employment practices include but are not limited to the following: hiring, upgrading, demotion, transfer, recruitment or recruitment advertising, layoff, termination, rates of pay or other forms of compensation, and selection for training, including apprenticeship. The Subrecipient agrees to post in conspicuous places, available to employees and applicants for employment, notices to be provided by the Subrecipient, setting forth the provisions of this nondiscrimination clause. Subrecipient shall also abide by Title IX of the Education Amendments of 1972 15 9 0 (20 U.S.C. § 1681 et seq.), which prohibits sex discrimination in federally assisted education programs. 3. Section 504 The Subrecipient agrees to comply with any federal regulations issued pursuant to compliance with Section 504 of the Rehabilitation Act of 1973, (29 U.S.C. 706), which prohibits discrimination against the handicapped in any federally, assisted program. The Grantee shall provide the Subrecipient with any guidelines necessary for compliance with that portion of the regulations in force during the term of this Agreement. 4. Drug Free Workplace All profit or non-profit agencies or organizations receiving state or federal grant funds under the official sponsorship of Hams County must certify on an annual basis their compliance with the requirements of the "Drug Free -Workplace Act of 1988". Employees are specifically prohibited from manufacturing, distributing, possessing, purchasing, and using illegal drugs or controlled substances in the work place or in any other facility, location or transport in which the employee is required to be present in order to perform his or her job function. B. Affirmative Action 1. Approved Plan The Subrecipient agrees that it shall be committed to carry out pursuant to the Grantee's specifications an Affirmative Action Program in keeping with the principles as provided in President's Executive Order 11246 of September 24, 1965. -The Grantee shall provide Affirmative Action guidelines to the Subrecipient to assist in the formulation of such program. The Subrecipient shall submit a plan for an Affirmative Action Program for approval prior to the award of funds. 2. W/MBE The Subrecipient will use its best efforts to afford minority- and women -owned business enterprises the maximum practicable opportunity to participate in the performance of this contract. As used in this contract, the term "minority and women business enterprise" means a business at least fifty-one (51) percent owned and controlled by minority group members or women. For the purpose of this definition, "minority group members" are Afro-Americans, Spanish-speaking, Spanish surnamed or Spanish -heritage Americans, Asian Americans, and American Indians. The Subrecipient may rely on written representations by businesses regarding their status as minority and women business enterprises in lieu of an independent investigation. 16 0 • 3. Access to Records The Subrecipient shall furnish and cause each of its sub-Subrecipients to furnish all information and reports required hereunder and will permit access to its books, records and accounts by the Grantee, HUD or its agent, or other authorized federal officials for purposes of investigation to ascertain compliance with the rules, regulations and provisions stated herein. 4. EEO/AA Statement The Subrecipient will, in all solicitations or advertisements for employees placed by or on behalf of the Subrecipient, state that it is an Equal Opportunity or Affirmative Action Employer, as applicable. 5. Subcontract Provisions The Subrecipient will include the provisions of Paragraphs VHI A, Civil Rights, and B, Affirmative Action, in every subcontract or purchase order, specifically or by reference, so that such provisions will be binding upon each Subrecipient or vendor. C. Employment Restrictions 1. Prohibited Activity The Subrecipient is prohibited from using funds provided herein or personnel employed in the administration of the program for political activities; sectarian, or religious activities; lobbying, political patronage, and nepotism activities. 2. OSHA Where employees are engaged in activities not covered under the Occupational Safety and Health Act of 1970, they shall not be required or permitted to work, be trained, or receive services in buildings or surroundings or under working conditions which are unsanitary, hazardous or dangerous to the participant's health or safety. 3. Labor According to 24 C.F.R. § 92.354, every contract for the construction (rehabilitation or new construction) of housing that includes 12 or more units assisted with HOME funds must contain a provision requiring the payment of not less than the wages prevailing in the locality, as predetermined by the Secretary of Labor pursuant to Davis -Bacon Act (40 U.S.C. 276a — 276a-5), to all laborers and mechanics employed in the development of any part of housing. Such contracts 17 must also be subject to the overtime provisions, as applicable, of the Contract Work Hours and Safety Standards Act (40 U.S.C..327 — 332). 4. "Section 3" Clause a. Compliance Compliance with the provisions of Section 3 of the Housing and Urban Development Act of 1968, as amended, the regulations set forth in 24 C.F.R. § 135, and all applicable rules and orders issued hereunder prior to the execution of this Agreement, shall be a condition of the federal financial assistance provided under this Agreement and binding upon the Grantee, the Subrecipient and any Subrecipient. Failure to fulfill these requirements shall subject the Grantee, the Subrecipient and any sub- Subrecipients, their successors and assigns, to those sanctions specified by the Agreement through which federal assistance is provided, and as set out in 24 C.F.R. Subpart O. The Subrecipient certifies and agrees that no contractual or other disability exists which would prevent compliance with these requirements. The Subrecipient further agrees to comply with these "Section 3" requirements and to include the following language in all subcontract executed under this Agreement. "The work to be performed under this contract is a project assisted under a program providing direct federal financial assistance from HUD and is subject to the requirements of Section 3 of the Housing and Urban Development Act of 1968, as amended, 12 U.S.C. 1701. Section 3 requires that, to the greatest extent feasible opportunities for training and employment be given to lower income residents of the project area and contracts for work in connection with the project be awarded .to business concerns which are located in, or owned in substantial part by persons residing in the areas of the project." The Subrecipient certifies and agrees that no contractual or other disability exists which would prevent compliance with the requirements. b. Notifications The Subrecipient agrees to send to each labor organization or representative of workers with which it has a collective bargaining agreement or other contract or understanding, if any, a notice. advising said labor organization or worker's representative of its commitments under this Section 3 clause and shall post copies of the notice in conspicuous places available to employees and applicants for employment or training. 18 C. Subcontracts The Subrecipient will include this Section 3 clause in every subcontract and will take appropriate action pursuant to the subcontract upon a finding that the subcontractor is in violation of regulations issued by the Grantor Agency. The Subrecipient will not subcontract with any subcontractor where it has notice or knowledge that the latter has been found in violation of regulations under 24 C.F.R. 135 and will not let any subcontract unless the subcontractor has first provided it with a preliminary statement of ability to comply with the requirements of these regulations. d. Grievance Subrecipient will notify all clients of the grievance procedure (Exhibit H). Grievance notification will be posted at subrecipient location and will list grievance officer and contact telephone number. Grievance notification will also identify OHED as funding source and telephone number to contact Grantee. D. Conduct 1. Assignability The Subrecipient shall not assign or transfer any interest in this Agreement without the prior written consent of the Grantee thereto; provided, however, that claims for money due or to become due to the Subrecipient from the Grantee under this Agreement may be assigned to a bank, trust company, or other financial institution without such approval. Notice of any such assignment or transfer shall be furnished promptly to the Grantee. 2. Hatch Act The Subrecipient agrees that no funds provided, nor personnel employed under this Agreement, shall be in any way or to any extent engaged in the conduct of political activities in violation of Chapter 15 of Title V United States Code. 3. Conflict of Interest The Subrecipient agrees to abide by the provisions of 24 C.F.R. § 92.356 with respect to conflicts of interest, and covenants that it presently has no financial interest and shall not acquire any financial interest, direct or indirect, which would conflict in any manner or degree with the performance of services required under this Agreement. The Subrecipient further covenants that in the performance of this Agreement no person having such a financial interest shall be employed or 19 • retained by the Subrecipient hereunder. These conflict of interest provisions apply to any person who is an employee, agent, consultant, officer, or elected official or appointed official of the Grantee, or of any designated public agencies or Subrecipient that are receiving funds under the HOME Program. The Subrecipient also agrees to abide by 18 U.S.C. 286, which provides for conspiracy to defraud the Federal Government with Respect to Claims. In addition, the Subrecipient will also abide by the False Claims Act (31 U.S.C. 3729 et seq.); 18 U.S.C. 287 relating to False, Fictitious and Fraudulent Claims; 18 U.S.C. 245 Federally Protected Activities; 18 U.S.C. 1001 regarding General Statements or Entries; the Program Fraud Civil Remedies Act (31 U.S.C. 3801- 3812); the Federal Claims Collection Act of 1966 (31 U.S.C. 952) as amended by the Derby Collection Act of 1982; the Meritorious Claims Act (31 U.S.C. 3702); the Tucker Act (28 U.S.C. 1346, 1491, and 2501); the Wunderlich Act (41 U.S.C. 321-322); the Anti -Deficiency Act (31 U.S.C. 1341); and Section 208(a) of the Intergovernmental Personnel Act of 1970, as amended (Exhibit G). 4. Subcontracts a. Approvals The Subrecipient shall not enter into any subcontracts with any agency or individual in the performance of this Agreement without the written consent of the Grantee prior to the execution of such agreement. b. Monitoring The Subrecipient will monitor all subcontracted services on a regular basis to assure contract compliance. Results of monitoring efforts shall be summarized in written reports and supported with documented evidence of follow-up actions taken to correct areas of noncompliance. C. Content The Subrecipient shall cause all of the provisions of this Agreement in its entirety to be included in and made a part of any subcontract executed in the performance of this Agreement. d. Selection Process The Subrecipient shall undertake to insure that all subcontracts let in the performance of this Agreement shall be awarded on a fair and open competition basis. Executed copies of all subcontracts shall.be. forwarded to the Grantee along with documentation concerning the selection process. c 5. Copydebt If this Agreement results in any copyrightable material, the Grantee and/or grantor agency reserves the right to royalty -free, non-exclusive and irrevocable license to reproduce, publish or otherwise use and to authorize others to use, the work for government purposes. 6. Religious Organization The Subrecipient agrees that funds provided under this Agreement will not be utilized for religious activities, to promote religious interests, or for the benefit of a religious organization in accordance with the federal regulations specified in 24 C.F.R. § 92.257. XI. ENVIRONMENTAL CONDITIONS A. Air and Water The Subrecipient agrees to comply with the following regulations insofar as they apply to the performance of this Agreement: • Clean Air Act, 42 U.S.C. 1857, et seq. • Clean Water Act, 33 U.S.C. 1368 • Executive Order 11738 • Federal Water Pollution Control Act, as amended, 33 U.S.C. 1251, et seq., relating to inspection, monitoring, entry, reports, and information, and all regulations guidelines issued thereunder. • Environmental Protection Agency (EPA) regulations pursuant to 40 C.F.R., Part 15, as amended. ® National Environmental Policy Act of 1969 (42 U.S.C. 432 et seq.; as amended) HUD Environmental Review Procedures (24 C.F.R., Part 58). B. Flood Disaster Protection The Subrecipient agrees to comply with the requirements of the Flood Disaster Protection Act of 1973 (P.L.-2234) in regard to the sale, lease or other transfer of land acquired, cleared or improved under the terms of this Agreement, as it may apply to the provisions of this Agreement. C. Lead -Based Paint The Subrecipient agrees that any construction or rehabilitation of residential structures with assistance provided under this Agreement shall be subject to HUD Lead -Based Paint Regulations at 24 C.F.R. § 92.355, and 24 C.F.R. Part 35, and in particular Sub -Part B thereof. Such regulations pertain to all HUD -assisted housing and require that all owners, prospective owners, and tenants of properties constructed prior to 1978 be 21 properly notified that such properties may include lead -based paint. Such notification shall point out the hazards of lead -based paint and explain the symptoms, treatment and precautions that should be taken when dealing with lead -based paint poisoning, and of the advisability and availability of blood -level screening for children under 7 years of age. D. Historic Preservation The Subrecipient agrees to comply with the Historic Preservation requirements set forth in the National Historic Preservation Act of 1966, as amended (16 U.S.C. 470) and the procedures set forth in 36 C.F.R., Part 800, Advisory Council on Historic Preservation Procedures for Protection of Historic Properties, insofar as they apply to the performance of this Aereement. In general this requires concurrence from the Texas Historical Commission and Antiquities Committee for all rehabilitation and demolition of historic properties that are fifty years old or older or that are included on a Federal, State, or local historic property list. E. Wildlife Protection The Subrecipient agrees to comply with the requirements of the Endangered Species Act of 1973 as listed in 50 C.F.R. § 17.11 and 50 C.F.R. Part 451; the Lacey Act (18 U.S.C. 42); the Migratory Bird Treaty Act (16 U.S.C. 703-12); the Fish and Wildlife Coordination Act (16 U.S.C. 661-667e); Section 4(f) of the Department of Transportation Act (49 U.S.C. 1653(f); the Federal Water Pollution Control Act (33 U.S.C. 1251 et seq.); the Coastal Zone Management Act of 1972, as amended (16 U.S.C. 1451); and the Safe Drinking Water Act of 1974 (42 U.S.C. 300f to j-10), insofar as they apply to the performance of this Agreement. 22 • • IN WITNESS WHEREOF, the Parties have executed this Agreement as of the date first written above. /4 Attest: - /' • r u- Xjvj Secretary i 1 David B. Turkel, Director Office of Housing & Economic Development APPROVED AS TO FORM: Mike Stafford, County Attorney 4B . Melis L. Barloco Assistant County Attorney AUDITOR'S CERTIFICATE CITY OF LA PORTE By Robert Eckels, County Judge I hereby certify that funds are available in the amount of $181,900.00 to pay the obligation of Harris County under this contract. Tommy J. Tompkins County Auditor 23 • H. Scope of Services A. Activities EXHIBIT A Subrecipient will be responsible for administering HOME Program Fiscal Year 2002 Single Family New Construction Project in a manner satisfactory to the Grantee and consistent with any standards required as a condition of providing these funds. Subrecipient will provide affordable housing to low-income citizens, in accordance with 24 C.F.R. § 92.205(a)(1). Program Delivery The City of La Porte (City), in conjunction with local community organizations have decided to increase the number of affordable housing units available to low income residents of the City by utilizing HOME Program funds. These grant funds will be utilized for the construction of two affordable single-family houses. The City has agreed to provide a total of $87,500.00 in matching funds to Harris County for deposit into Harris County's HOME Investment Trust Fund. These funds are required to meet the 25% match requirement for this project. The City agrees to remit these funds within 30 days after Commissioners Court approval of this Agreement. The total amount of $12,000.00 in matching funds will be used for acquisition of four vacant lots; $75,500.00 in matching funds provided by the City will be used for down payment and closing cost assistance. This Agreement does not include activities for down payment and closing cost assistance; however, the HOME Program funds allocated to the City for this activity will be made available to the City in a subsequent agreement between Harris County and the City of La Porte, within one year of the date of the time of performance for this Agreement. The total project will consist of the acquisition of eleven vacant lots for the construction of eleven affordable single-family houses in the City of La Porte for a total projwt cost of S 1,010,450.00. activity 41 Subrecipient will purchase four 25' x 125' lots for the construction of two affordable single-family houses in the City of La Porte. Within 30 days after the purchase of the four lots, the Subrecipient will submit a copy of the recorded resale deed to the Grantee. W 24 L] • Subrecipient agrees that the acquisition of these lots must be completed within six months after Commissioners Court approval of this Agreement. Activity #2 Subrecipient will begin construction on two single-family houses in the City of La Porte within one year from the date of Commissioners Court approval of this Agreement. Newly constructed houses must meet the local codes/standards or one of the nationally accepted codes and the current edition of the Model Energy Code (MEC) by the Council of American Building Officials (MEC) (Exhibit D, MEC Web Site), and if applicable, shall comply with Section 504 relative to meeting the needs of any approved applicant having one or more physical disabilities (wheelchair, etc.) and/or sight or hearing impairments. Within 90 days after the date the Agreement is executed, Subrecipient through its Representative, selected pursuant to federal procurement regulations set out in 24 C.F.R. 85.36 and with OHED policy procurement guidelines, will prepare drawings and specifications for the Project (in accordance with the usual requirements of the Grantee). Subrecipient through its Representative will be responsible for incorporating into the construction documents any and all Department of Housing and Urban Development requirements, including the Guidelines set out in attached Exhibit E. Upon completion of said drawings and specifications, the Subrecipient will submit the same to the Grantee for the Grantee's written approval. Within 30 days after approval by Grantee of the drawings and specifications as set out above, the Subrecipient will advertise for and receive bids for the construction of the Project in accordance with approved drawings and specifications which bidding procedure will be in accordance with attached Exhibit E guidelines. Upon receipt and tabulation of the bids for the Project, Subrecipient will submit the lowest and most responsive, responsible bid for the construction of the Project. Grantee reserves the right to approve the award of the bid. In the event the lowest and most responsive, responsible bid for the construction of the Project is an amount that would result in the total cost of the Project being equal to or less than the sum of $181,900.00 Subrecipient will notify Grantee of the amount of the lowest and most responsive, responsible bid for the Project. The Contract 25 0 • between Subrecipient and its contractor and all contracts between contractor and its subcontractors shall be in accordance with the Guidelines attached hereto as Exhibit E and with all applicable HOME regulations and OMB circulars. In the event the lowest and most responsive, responsible bid for the construction of the Project is an amount in excess of the sum of $181,900.00, Subrecipient shall have the following three (3) options: Subrecipient may notify Grantee of the bid and agree in writing to pay the additional cost of the Project. In the event the Subrecipient agrees in writing to pay the additional costs, then and in that event the Subrecipient will proceed to let the contract and continue with the construction of the Project. If the Subrecipient fails to agree in writing to pay said additional costs, the Subrecipient may reject all bids and elect not to proceed with the letting of the contract and terminate the Project without any further obligations to Grantee; or 2. Subrecipient may notify Grantee of the bid and undertake to negotiate with the Grantee for Subrecipient and Grantee to agree in writing to reduce or delete specific items in the bid proposal so that bids will be within the amount of available construction funds. In the event Subrecipient and Grantee agree in writing to reduce or delete items in the bid proposal, the Subrecipient will re -bid the project and proceed as if it were the original bid; or 3. Subrecipient may reject all bids and elect not to proceed with the letting of the contract and terminate the Project, giving the Grantee written notice of its termination. Within thirty (30) days after notification by Grantee to Subrecipient that the bid has been approved, the Subrecipient shall award the contract to the lowest and most responsive, responsible bidder, in accordance with the usual and customary procedures of the Subrecipient. Subrecipient will contract directly with its contractor, incorporating all requirements of this Agreement therein. The Grantee may terminate this Agreement without cause, at any time prior to the letting of the contract for construction of the Project, by written notice to the Subrecipient, and the*Grantee shall have no further obligation hereunder. 26 • • The Subrecipient may make such changes and amendments to the drawings and specifications within the general scope of the approved Project, as the Subrecipient deems necessary or desirable during construction of the Project, so long as the original scope and intent of the Project is unchanged. During the construction of the Project, Grantee, Subrecipient and HUD shall have the right to review all documents, maps, plats, records, photographs, reports or plans affecting said construction. The Subrecipient shall,. at its sole expense, furnish the necessary inspection personnel to assure itself of compliance with the construction contract. In absence of inspection by the Subrecipient, then the Subrecipient shall be deemed to have accepted those inspections made by the Grantee (Exhibit I, Harris County Inspection Report) and Subrecipient will be required to complete Exhibit J, Builders Certification of Energy Conservation Standards. Activity #3 Subrecipient will not be permitted to retain the proceeds from the sale of the two houses constructed with grant funds. These proceeds are considered program income for this project. The Subrecipient agrees to remit these funds to the Grantee (see Part IX, C. 2. of this Agreement) for deposit into the Grantee's HOME Investment Trust Fund. In addition, the Subrecipient agrees that after the deposit is made into the Grantee's trust fund the Grantee has no obligation to remit these funds back to this project. The Grantee may allocate these funds to any eligible affordable housing activity that the Grantee deems suitable. Activity, #4 Subrecipient will provide a timeline to the Grantee within four months of the date of this Agreement detailing the completion of the remaining houses. If the Subrecipient fails to submit timeline, this will cause this Agreement to be terminated without prior notice to Subrecipient. In addition to the normal administrative services required as part of this Agreement, the Subrecipient agrees to document progress using reporting requirements specified in Paragraph X (B)(1), (B)(2), & (B)(3) of this Agreement. Activitv Units/Month Total Units/Year Land Acquisition 4 lots by June 30, 2003 27 Construction Starts Construction to begin on the two houses within 12 months after Agreement approved by Commissioners Court on December 10, 2002. Construction must begin no later than December 9, 2003 Construction End Initial two homes must be completed within 7 months after construction start. Timeline Construction of Remaining Homes Subrecipient will provide a timeline by April 11, 2003, detailing the construction schedule to ensure completion of the remaining houses by July 31, 2004. 28 EXHIBIT B CITY OF LA PORTE SINGLE-FAMILY NEW CONSTRUCTION PROJECT BUDGET SUMMARY Description OHED Match Other Funding Sources Total Personnel $0 $0 $0 $0 Non Personnel $0 $0 $0 $0 Subtotal $0 $0 $0 $0 Project Costs Acquisition $0 $12,000 $0 $12,000 New Construction $181,900 $0 $816,550 $998,450 $0 $0 $0 $0 Subtotal $0 $0 $0 $0 Project Budget Total $181,900 $12,000 $816,550 $1,010,450 PROJECT BUDGET DETAIL Project Costs Hard Costs Description OHED Match Other Sources of Funds Total a. ,acquisition 1. 4 lots x S_ .tltltt per lot $12,000 $0 $12,000 b. New Construction 1. OHED Funds I l house x SS8.950 and 1 x S 92,950 per house i 2. Other Funds 19 houses ave. x 90.727 per house) 5181,900 $0 $816,550 $998,450 Subtotal Project Budget Total $181,900 $12,000 $816,550 $1,010,450 29 • C� EXHIBIT C CERTIFICATION FOR CONTRACTS, GRANTS, LOANS AND COOPERATIVE AGREEMENTS The undersigned certifies, to the best of his or her knowledge and belief that: (1) No Federal appropriated funds have been paid or will be paid, by or on behalf of the undersigned, to any person for influencing or attempting to influence an officer or employee of an agency, a Member of Congress in connection with the awarding of any Federal contract, the making of any Federal grant, the making of any Federal loan, the entering into of any cooperative agreement, and the extension, continuation, renewal, amendment or modification of any Federal contract, grant, loan, or cooperative agreement. (2) If any funds other than Federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of Congress, or an employee of a Member of Congress in connection with this Federal contract, grant, loan, or cooperative agreement, the undersigned shall complete and submit Standard Form-LLL, "Disclosure Form to Report Lobbying," in accordance with its instructions. (3) The undersigned shall require that the language of this certification be included in the award documents for all subawards at all tiers (including subcontracts, subgrants, and contracts under grants, loans, and cooperative agreements) and that all Subrecipients shall certify and disclose accordingly. This certification is a material representation of fact upon which reliance was placed when this transaction was made or entered into. Submission of this certification is a prerequisite for making or entering into this transaction imposed by Section 1352, Title 31, U.S. Code. Any person who fails to file the required certification shall be subject to a civil penalty of not less than S 10,000 and not more that S 100,000 for each such failure. Executed thisL'? Covered Action day of '•Jt'C!0✓1,!6e (— By ►�1j - �t M (Program, gnature) (Type or Print Name) (A 1 W Ou W" (Title J �U C'Jl74 . ect or Activity) T(u641? PfG�- J 30 • NWItsd to CommiglbMfg' Cog Cab I ! 2ii{a(. THE STATE OF TEXAS § APPROVE-" § Rawrdw vo: COUNTY OF HARRIS § The Commissioners Court of Harris County, Texas, convened at a meeting of said Court at the Harris County Administration Building in the City of Houston, Texas, on the day of i 1 C r nn, 2002, with the following members present, to -wit: �. . n Robert Eckels County Judge El Franco Lee Commissioner, Precinct No. 1 James Fonteno Commissioner, Precinct No. 2 Steve Radack Commissioner, Precinct No. 3 Jerry Eversole Commissioner, Precinct No. 4 and the following members absent, to -wit: constituting a quorum, when among other business, the following was transacted: ORDER AUTHORIZING EXECUTION OF AGREEMENT BETWEEN HARRIS COUNTY AND CITY OF LA PORTE FOR SINGLE-FAMILY NEW CONSTRUCTION Commissioner introduced an order and made a motion that the same be adopted. Commissioner seconded the motion for adoption of the order. The motion, carrying with it thLq1d0#ia§eFthe,,osder, gevailedd by`the following vote: AYES: �� _ .. - :._ r ;` ? ❑ NAYS: r ABSTENTIONS: Ir \i•J ' The County Judge thereupon announced that the motion had 6ly and lawfully carried and that the order had been duly and lawfully adopted. The order thus adopted follows: RECITALS: WHEREAS. the County has applied for and received funds from the United States Government under Title 1 of the Housing and Community Development Act of 1974, Public Law 97-383 application number M-02-UC-48-0215; 2002-047. WHEREAS, the County wishes to engage the City of La Porte to assist the County in utilizing such funds; WHEREAS. the City of La Porte shall insure recognition of the role of the Grantee Department in providing services through this contract. All activities, facilities, and items utilized pursuant to this contract shall be prominently labeled as to funding source. In addition, the City of La Porte will include reference to Office of Housing and Economic Development ("OHED") for the support provided herein in all publications made possible with funds made available under this contract. 31 L7 • NOW, THEREFORE, BE IT ORDERED BY THE COMMISSIONERS COURT OF HARRIS COUNTY, TE1.kS THAT: Section 1: The recitals set forth in this order are true and correct. Section 2. The Agreement is approved and the County Judge of Harris County or his designee is authorized to execute an Agreement with the City of La Porte to construct two single- family houses in the older neighborhoods specifically the Northside neighborhood within the corporate limits of the City of La Porte, Texas in Harris County, for low-income citizens, in the amount of $181.900. The Agreement is attached hereto and made a part hereof for all purposes. 32 EXHIBIT D MODEL ENERGY CODE 33 ARM i i - �_Ii 1! � f iig� Home I SECO Programs I Pantex 1 Coinntroller's Offiee 0 Energy Conservation Design Standard for New State Buildings Recognizrn::he importance of designing new energY efficient smie-owned 70ih Texas Legislature authorized adoption of energy conservation design standatrds. ies Th Energy Conservad maJor tion the Design Stanr=rd for New State Buildings. based on the American Society of Heating. o Conditioninc=naineers (ASHRAE) Standard 90.1 and commonly referred to as the "Texas Standard,'• was anon Refrigerating' and Air de:•eloped to respond to this directive. It was first adopted in June 1989 and was revised in May 1990 and Fear uar. 199 Tn_ Texas Lectslature recently passed Senate S which imposes i an.: around so-ie mator urban areas in Texas (see the Senate Research Center's se s B/l/ Analysis for addition new requirements on local governments in infc oration,. Certain political subdivisions Iexcept school districts) must implement energy efficient measures tha:,re cost-e^ectiye. and all cities must adopt new energy efficient building al Le= ue. the Teas Conference of Urban Counties. the State Enerev Conservation Office, and the Texas codes -The Texas Municipal Association of=ounties will [)resent one-dav workshops focusing on Senate Bill S. For additional information then: workshopi. see How to Cornsly with Senate Bil/ q, on Prod. -am goals --e to set minimum requirements for energy efficient design of new state building renn•.ation prO;e_ts so that they may be constructed. operated and maintained in a manner that mini s and major Of ener-oy ­ ithe:: constraining' the building function or the comfort and productivity of the occupants. S g'oai: ire: mites the use - pecific ti' pits ice :scoria for energy efficient design and describe methods for determining compliance with the tr, provic: sound guidance f'or energy efficient design. ` ° t(I deveic: erocedures to encourage code compliance and improve enforcement. ° it, deveIV an Incentive process and encourage application of the Texas Standard. Residential and Commercial Energy Code Training The r"•g'reSSl�•� ::�Iden[ial and small commercial energy code training' C.ABC Ntod;1 =mild Code and AS mall c >= currently in place in Texas is based on the apprc, ;.-ies b;Isec71 Av Standard 90.1. Training also focuses on simplified compliance path the use of MECCheck and COMelteck software. as developed by PNNL for U.S. DOE. �ru_ goal, are : • encourag_ e p the .ido clan of r residential and/or commercial energy code by jurisdictions in =ray :::')u! h use a user-friendly tool to verify compliance. Vr' �_•ra_ •'t'1e=t" : ,re it, prop Ide training to building code Officials. designers. u'' ': 'n CABC `•IEC for residential structures and ASHRAE Standard 90.1 for small cumme cial butects. and engineers by Hume Enero� buildings. Rating System/Ener y Efficiency g Mortgage Demonstration Program .ion agenvies. and HUD 203K consultants successfully function as sub -grantees orDOE xna oin'- : caiheriz_:ion lundin_, for low incume eligible home owners. They currently use sophisticated '�o'`• •,are and c.,_nostic tools to evaluate Cost effective ener°�energy efficiency. energy Pri"'ram L'oals are ti• :rnprove energy efficient improvements in new and existing h ecl,•-munii� ac::t,n agcies. and HUD 2031; consultants ra a� qualified energy [)ores in Texas and to certify tors. Program iecii�•es are ento demonstrate a close correlation between Home Energy Rating Systems and Energy Efficient MOrtgages. • Home I SECOSECO Pro.�ry�e I ant : i ��,�rQtler,s p `n Please send web site comments and bug reports to ct:1ro Or' r ICE Ot ��JJ _— f3UIL. DING TECMNOLOGr *Z CODES g STANDARDS m�i¢.�rIRR1w'i;'li ►r:�cl�r!vl: �:tix�stalKt t�. SEaEcs • STATE APID COMM N N I T T PROGRAMS Building Energy Codes & Products ' Texas —DOE Status of State Energy Codes Primary Technical Contact: Felix Lopez Comptroller of Public Accounts State Energy Conservation Office (CPA/SECO) 111 E. 17th Street LBJ State Office Bldg. Room r 1114 Austin, TX 78774 PH: (512) 463-1080 FX: (512) 475-2569 EMAIL: felix.loopz(a coa state tx us State Agency/Office Head: Dub Taylor, Director, Texas State Energy Conservation Office, (512) 463-1931 Other Contact(s): Pam Groce, Texas State Energy Conservation Office, (512) 463-1889 State web Site(s): State Energy Conservation Office: www.seco.cpa.state.tx.us Current Status: Residential: None except for low-rise state-owned or -funded buildings, which must comply with the 1993 MEC; can use MECcheck to show compliance. Commercial: None except for state-owned buildings and state - supported institutions, which must comply with a modified ASHRAE/IESNA 90.1-1989; can use COMcheck to show compliance. The State Energy Conservation Office (SECO) will recommend to the Comptroller of Public Accounts (CPA) the adoption of the IECC 2000 for residential state-owned new buildings. SECO will also recommend to the CPA the ASHRAE Standard 90.1-1999 as the new version of the Texas Design Standard for new institutional state-owned buildings, Adoption Process: For buildings other than state-owned buildings, energy codes must be adopted by local code Jurisdictions to be enforceable. Such adoption is normally achieved through a vote of the city council or the local government adoption process. Depending on the form of government, the mayor may be required to sign the law. Most local jurisdictions adopt,either the Standard or Uniform Building Codes as their building code, but a few adopt the National Building Codes lltn�: !! !! �l .��.a� �n'' nn!,•�I11� !T�rrC /..n!'�f �*.rni•i•i.'i��.!�Li..•n�J�r.!rn./..•..r... .. 1.. • (NBC). The energy codes or standards are usually -adopted by reference in the applicable building code (e.g., the MEC is aaooted by reference in the NBC and in an Appendix of the SBC and UBC. ) For state-owned or -funded buildings, the provisions are adopted through the state's administrative process of publication, public comment, and hearings. Compliance Method: For state-owned or -funded buildings, the design professional submits a completed compliance statement and certification to the cognizant state agency that the design is in compliance with the Texas Design Standard or the MEC (as applicable based on the building type.) For all other buildings in jurisdictions that have adopted energy provisions, compliance is determined through the permit process. Typically, plans are submitted and reviewed and then buildings are inspected. After successful completion of this process, the building department issues a certificate of occupancy. Enforcement: For state-owned or -funded buildings, the cognizant state agency enforces the code. For all other buildings, the cognizant local government enforces the code. If a jurisdiction adopts an energy code, the code is enforced through the permit/inspection process for new construction and additions. Depending on the size of the jurisdiction, the same individual may perform plan reviews and inspections. Background/History: Except for state-owned buildings, Texas has no mandatory statewide energy code for either residential or commercial buildings. Texas is a home rule state; thus, state law cannot override local law. No attempts have been made to adopt mandatory statewide basis. The state is encouraging vol ntaryrgy adop ton and use by training code officials and home builders. For state-owned commercial buildings and multi -family residential buildings over three stories in height, Texas has adapted ASHRAE/IES Standard 90.1-1989 into the Texas Design Standard. This standard, which originally went into effect in June 1989, was updated in February 1993. For state-owned residential buildings, Texas has adopted the 1993 CABO MEC. State Energy Program (SEP) Grants Awarded: 199E $64,000: Provide code training for small commercial building code compliance and financing access for the cost of exceeding the Model Energy Code. In addition, the Energy ient program for new residential construction will Ebe impl me 9ed. 1997 $73,740: Achieve adoption of the Model Ener ies controlling 20 percent or more of new construction with tweobyears. .rrn.i.1, N. r. -., rino r,�,./h,�il��nr+c/..�,.�e: cr•�n�•...•I�I:,..:Ir�� 1999 $• p 0 the ever 00: To develop a comprehensive approach to Improvinc 9y efficiency of the housing stock in Texas. Residential Construction (New Building permits): Single Family Multi -Family 1999: 100143 44771 1998: 99831 56898 1997: 82180 43794 Commercial Construction (Millions of Dollars): 1999: Not available 1998: 15776 1997: 12723 Search Con_ Home U.S. Department of Energy Last updated: 18 April 20M • 0 EXHIBIT E OFFICE OF HOUSING AND ECONOMIC DEVELOPMENT SUBRECIPIENT CONSTRUCTION POLICIES These policies are intended to assist those public entities receiving Harris County Community Development Block Grant and Home Investment Partnerships Program funds. They will facilitate the entity's understanding and compliance with applicable federal and county regulations, policies and processes where the entity is responsible for design, bidding and construction contract administration. If clarification is needed, call Dan Adame at 713-747-0132. 1. If federal funds will be used to retain consultants, the entity must advertise Request for Qualification Statement (RFQ). The entity shall submit the draft RFQ for approval prior to advertisement. The responding consultant's SF 254 and 255 qualification statements must be submitted for review to Office of Housing and Economic Development (OHED) prior to commissioning the consultants. Upon approval by OHED, the entity may retain consultant(s). 2. The entity will advertise for bids and award contracts in compliance with the State of Texas bidding procedures and the Sections listed below from 24 C.F.R. § 85: Section 85.20 Standards for Financial Management Systems (Except subparagraph (a) Section 85.36 "Procurement," except paragraph (a) Section 85.42 "Retention and Access Requirements for Records" 3. The preliminary drawings must be within the previously approved project scope. All construction projects must comply with Harris County requirements and the policies and procedures of Harris County's Department of Public Infrastructure, Purchasing Agent, Auditor and OHED. 4. Entity will incorporate into the construction documents any and all Department of Housing and Urban Development requirements. Final documents must be approved by OHED. 5. Prior to award of contract, OHED will review the bid documents, the bidder's qualification statements, minority business plan and financial statements to ensure that the contractor has a good contracting record, adequate capitalization, equipment, and personnel to successfully complete the project, meets minority participation goals and that the bidder has not been debarred by HUD from working on federal contracts. 6. The entity, the consultant, and OHED will conduct a pre -bid meeting and a pre - construction conference with the contractor(s). 7. The entity shall, at its sole expense, furnish the necessary inspection personnel to assure itself of compliance with the construction contract. The Architect or Engineer of record will have final authority in all construction disputes. 34 • 0 8. The entity and contractor will be responsible for preparing monthly pay requests, to be reviewed by the consultant prior to submittal for payment. Preparation will consist of a site meeting with the consultant and the contractor's representative to accurately determine the percentage completion of various components of the work and time used. The entity. the consultant, and the contractor will be required to sign each monthly estimate prior to being processed for payment. 9. All chance orders must be approved in writing by the entity prior to any alterations or modifications of the work or specifications. The entity will be responsible for any increase in cost based on any change order required due to errors and/or omissions. Total aggregate Changes in Contract will not exceed twenty five percent of the original contract amount. 10. Entity will submit or cause to be submitted, weekly payrolls for general contractor and all subcontractors to OHED for review. OHED will review all payrolls and conduct worker interviews and will hold the general contractor responsible for compliance with labor, EEO, and minority business requirements. The County through OHED reserves the right to withhold funds from the general contractor to compensate workers in accordance with the appropriate wage scales as promulgated by the U.S. Department of Labor. 11. The entity must submit the following documentation to OHED REj2E to award of the construction contract: Cope of the bid advertisement. Copy of the bid tabulations. Copies of all bids submitted. Copies of bidders' bid bonds or cashiers checks. Copy of the minutes and attendance roster of the bid opening. r Consultant's recommendation of contractor. Request authorization from OHED to award project to lowestibest bidder. 12. The entity must submit the following documentation after award of contract: i Copy of the performance, payment and maintenance bonds. Copy of "Certificate of Authority" issued by the State Board of Insurance of Texas for the Surety Company. Only companies listed in the Department of the Treasury circular #570 (most recent issue) will be accepted. Certification of bid award by the City Council/Board. Original copy of the executed contract between the successful bidder and the entity. Copy of the purchase order. Copy of subcontractor list. Schedule of values based on standard Construction Specifications Institute (CSI).format (16 divisions) and given in labor and materials listed separately per line item including overhead and profit for each. Construction schedule (Bar Chart or Critical Path Method). 35 • 0 13. The entity will not be permitted to perform any "force account work", wherein the entity uses their own employees, materials, and/or equipment. All portions of construction work will be subject to the competitive bidding process referenced above. 14. The entity's contractor shall furnish, deliver, and install one 4'-0" X 8'-0" temporary project sign according to Harris County specifications. The entity will ensure that the specifications will be made part of the project manual and the cost of the project sign will be included in all bids. 15. The entity's contractor, on all buildin projects, shall furnish, deliver, and install one 18" X 24" bronze plaque built according to Harris County specifications. The entity will ensure that the specifications will be made part of the project manual and the cost of the plaque will be included in all bids. 36 • 0 EXHIBIT F HARRIS COUNTY'S AFFIRMATIVE MARKETING POLICY AND PROCEDURES This affirmative marketing policy pertains to all Office of Housing and Economic Development (OHED) and all Community Housing Development Organizations (CHDOs) receiving HOME program funds for HUD -assisted housing containing five or more units. OHED will annually assess the affirmative marketing program to determine its success and will take any necessary corrective actions. The affirmative marketing requirements and procedures include the following: 1. OHED will use the Equal Housing Opportunity logotype and/or slogan in all press releases or notices to the public or solicitations pertaining to housing of more than five units. 2. OHED will notify the local Houston Community Housing Resource Board on an annual basis of its commitment to an affirmative marketing program. 3. OHED will require owners of HUD -assisted housing of five or more units to adhere to the following: a) When advertising or listing vacancies, owners must use major and community newspapers, communitv contacts and Equal Housing Opportunity logotypes or slogan. Owners must also display the Fair Housing poster in high traffic areas on the premises of the assisted housing. b) Owners must perform special outreach to persons in the housing market area who are not likely to apply for the housing without special outreach. Targets of special outreach could include community centers, places of worship, employment centers, housing counseling agencies, etc. c) OHED will assess the results of efforts taken by the owners to affirmatively market the housing units. Copies of all materials used to affirmatively market the housing and records describina actions taken by the owner to affirmatively market the housing must be submitted to the OHED or on a quarterly basis. The quarterly report must also include information on families residing within the property. The family information must include the following: the number of units and monthly rent (utilities included) by bedroom size; number of tenants remaining in place; size of household and for each head of household, age, race, sex, and Render. d) OHED will assess the success of the affirmative marketing efforts. If the affirmative marketing efforts do not result in attracting eligible persons from all racial, ethnic and gender—roups in the housing market area, OHED and will determine the necessary corrective actions. Owners that fail to comply with affirmative marketing requirements will face the possibility that housing assistance payments will be abate until corrective action is taken. If the owner fails to take corrective action in a timely manner, the remainder of the rehabilitation loan will be due and payable upon demand. 37 0 CJ EXHIBIT G CONFLICT OF INTEREST DISCLOSURE IF NO CONFLICTS EXIST, COMPLETE THE FOLLOWING: ® I certify that no conflict of interest exists between Hams County and (Name of Organization) I certify that no conflict of interest exists between the subcontractors of and IF THERE IS A CONFLICT, COMPLETE THE FOLLOWING: El I certify that a conflict of interest does exist between Harris County and (dame of Organization) ---------------------------------------------------------------------------------------------------------------------------------------- I certify that a conflict of interest does exist between and (Name of subcontractor) (Name of Organization) Describe the nature of the conflict of interest below: (Please identify the individual, employment, and the conflict or potential conflict (their affiliation with your organization]). Signature of Authorized Agency Official Date Typed Name and Title 38 EXHIBIT H PROCEDURE EQUAL OPPORTUNITY IS THE LAW This Grantee is prohibited from discriminating on the ground of race, color, religion, sex, national oriain, age, disability, political affiliation or belief, and for beneficiaries only, citizenship or participation in programs funded under the Home Investment Partnerships Investment Program (HOME) Regulations, admission or access to, opportunity or treatment in, or employment in the administration of or in connection with, any HOME funded program or activity. If you think that you have been subjected to discrimination under a HOME funded program or activity, you may file a complaint within 180 days from the date of the alleged violation with the Grantee's Equal Opportunity Officer (or the person designated for this purpose). If you elect to file your complaint with the Grantee, you must wait until the Grantee issues a decision or until 90 days have passed, whichever is sooner. If the Grantee has not provided you with a written decision within 90 days of the filing of the complaint, you need not wait for a decision to be issued, but may file a complaint with Office of Housing and Economic Development's (OHED) Director within 30 days of the expiration of the 90 day period. If you are dissatisfied with the Grantee's resolution of your complaint, you may file a complaint with a designate hearing board. Such complaint must be filed within 30 days of the date you received notice of the Grantee's proposed resolution. Grantee Contact: Office of Housing and Economic Development (OHED) Monica Cisne, Equal Opportunity Officer 8410 Lantern Point Houston, Texas 77054 Telephone: (713) 747-0132 TDD: (713) 695-2395. 39 • GRIEVANCE INFORMATION FORM PLEASE PRINT OR TYPE ALL INFORMATION I. Complainant: Please provide the following information concerning the person or organization filing the complaint. Social Security Number: Name: Address: Home: _ Work: Telephone Number(s): H. Action Complained of: Please describe in detail the action(s) that you are complaining about. (Attach additional pages if necessary) Do you believe that your complaint involves a violation of the HOME regulations, the HOME grant or other agreement under the HOME Act? _ Yes _ No If Yes, please reference the provision(s) violated: III. Respondent(s): Please name the person(s) or organization(s) that you believe to be responsible for the action(s) that you complained about: Name(s): Address(s): Explain how each Respondent is responsible for the action(s) that you are complaining about:(attach additional pages if necessary) Complainant's Signature Date 40 COMPLAIiiT PROCESS Purpose. This complaint process provides for the prompt review and equitable disposition of complaints alleging violations of the HOME Act. These procedures are used by Office of Housing and Economic Development (OHED) and by all its contractors and or subrecipients. General Policy 1. A complaint, as recognized by this process, is defined as an individual or organization's allegation of a violation of. the HOME regulations; the County's contract with the Department of Housing and Urban Development; and OHED contracts and/or subrecipients. A complaint must be filed within one year of the alleged occurrence. 2. The person or organization filing a complaint will be free from restraint, coercion, discrimination, or reprisal. Complaints are not considered as reflecting unfavorably on either the complainant or management, but are to be considered the expression of a lawful right. Complaints not covered by this procedure: 1. Complaints alleging discrimination because of disability, race, color, national origin, age, sex, religion, political affiliation or belief, retaliation, and citizenship must be filed within 180 days from the date of the alleged discrimination. The complaint must be filed using the Department of Housing Labor, Directorate of Civil Rights, Complaint Information Form. This complaint form may be obtained from any HOME Project Monitor, or by contacting OHED Equal Opportunity Officer. 2. All information and complaints involving allegations of fraud, abuse, or other criminal activity shall be reported directly and immediately to OHED at (713) 747-0131. 3. Complaints that do not allege a violation of the Act. Procedure 1. Participants are encouraged to resolve complaints informally by talking with the contractor and/ or subrecipient. However, if a participant decides to pursue a complaint formally, the complaint must be submitted to OHED in the manner described below. 2. The complainant must first file a written, signed complaint with the OHED Complaint Officer. The complainant may simultaneously pursue resolution of the complaint through the internal complaint procedures of the training or employing institution where the complainant is stationed or through the federal or state agencies having jurisdiction over the substance of the complaint. 3. Upon receipt of the complaint by OHED, the complainant will be provided written notification that the complaint has been received and the timetable under which it will be processed. The complainant has the right to a hearing within 30 days of the receipt of the complaint by OHED. The complaint officer will attempt to reach an informal resolution of the complaint prior to the hearing. The entire complaint process must be completed within 60 calendar days of the receipt of the complaint by OHED. Recipient Contact: Office of Housing and Economic Development (OHED) Monica Cisne. Equal Opportunity Officer 8410 Lantem Point Houston, Texas 77054 Telephone: (713) 747-0132 TDD: (713) 695-2395 41 EXHIBIT I HARRIS COUNTY INSPECTION REPORT 42 0 SINGLE-FAMILY HOME INSPECTION REPORT ADDRESS OF PROPERTY: Year Build: EXTERIOR General: Presence of house numbers. House number must be visible from street. Presence & operation of doorbell or door knocker. Accessibility: Accessibility porches, decks & driveways. Check for stability in steps & handrails. Presence of handrails, broken sidewalks. Presence of GFCI outdoor receptacles on new construction. Foundation: Type of foundation & any irregularities in foundation. (slab. vier/beam. accessibility, cracking, ventilation). Site Drainage: Observe the drainage pattern of the entire property. The ground should slope awav from all sides of the building. Siding/Brick: Conditions of exterior walls of home. T-1-De of siding. .fin% irreQulanties such as cracks in brick. missing brick. rotted ,.%ood. missing %invl siding. rotted soffitt. rotted cornice.. Hoof' Exterior: Condition &- Iype of roof covering. Height of roof. proper flashing, gutters. downspouts. Presence of ventilation (turbines. ridge. soffit, °able vent) Rooftop penetrations. drip flashina.skvliaht flashing. Chimney check for chimney cap. proper flashing & chimney m L: -where applicable). 0 • SINGLE-EANULY HOME INSPECTION REPORT EXTERIOR Security: Fencing (yes or no) Observe overall conditions. Check for stability of fence system, type of fence system. Inspect wood fences for signs of rot or insect infestations. Inspect metal fences for rust. Inspect gates operation & their associated hardware operable. Exterior Doors: All doors leading to the outside & into the garage must be either metal or solid core. All doors leading to the outside & into the garage must have deadbolts & locksets. If the deadbolt is within 3' of a window, the deadbolt must be double cylinder. All doors must operate properly. Storm doors must be operable. Windows: Check for operable. lockable & screened windows. Check for broken glass: check for rotted wood around windows; wood around windows: check the window material; check for signs of window leaks. Whether burglar bars are present. Eristins! burglar alarm system. 0 • SINGLE-FAMILY HOME INSPECTION REPORT INTERIOR Hallway Any irregularities in sheetrock walls & ceilings. Type & any irregularities in flooring. Operation of light fixtures. Presence of sufficient electrical outlets. Any exposed wiring. Presence & operation of smoke detector. Living Room: Anv irregularities in sheetrock walls & ceilings. Type & any irregularities in flooring. Operation of light fixtures. Presence of sufficient electrical outlets. Presence & operation of smoke detector. Fireplace: door/screen Operation of damper. Operation of gas lighter & valve. Presence of gas let & type of valve (older homes). Kitchen: Any irregularities in walls & ceilings. T-pe & any irregularities in floorinc. Operation of light fixtures. Presence of sufficient electrical outlets near water source; presence & ope. ation of GFCI receptacles. Condition of cabinets & countertops. Operation of dishwasher. Operation of ve^t fan. Operation of kit.:hen sink(hot/cold water. sprayer. valves. disposal Type of stove( c•ss or electric). Proper gas let connection. Operation of sto%e & oven /built in microwave. Presence of anti tip device. SINGLE-FAMILY HONE INSPECTION REPORT INTERIOR Bath 1: Anv irregularities in sheetrock walls & ceilings. Type & any irregularities in flooring. Operation of light fixtures. Presence of sufficient electrical outlets near water source; presence & operation of GFCI receptacles. Condition & presence of mirror, cabinets & countertops. Operation & stability of toilet. Presence of leaks around toilet. Operation of lavatory sink. Presence of leaks around sink (hot/cold water, shut-off valves). Condition of bathtub & tub surround (hot/cold water, bath faucet, drain. overflow. showerhead). Presence of unventilated gas wall heaters. Presence of vent fan or window. Presence & operation of door. Bedroom 1: Any irregularities in sheetrock walls & ceilings. Tvpe & and• irregularities in flooring. Operation of light fixtures. Tvpe of light fixtures. Presence of sufficient electrical outlets. .fin% exposed wiring. Presence of closet: operation of closet door. Presence & operation of door. Presence & operation of smoke detector. • • SINGLE-FAMILY HOME INSPECTION REPORT INTERIOR Bath 2: Any irregularities in sheetrock walls & ceilings. Type & any irregularities in flooring. Operation of light fixtures. Presence of sufficient electrical outlets near water source; presence & operation of GFCI receptacles. Condition & presence of mirror, cabinets & countertops. Operation & stability of toilet. Presence of leaks around toilet. Operation of lavatory sink. Presence of leaks around sink (hot/cold water, shut-off valves). Condition of bathtub & tub surround (hot/cold water, bath faucet. drain. overflow, showerhead). Presence of unventilated aas wall heaters. Presence of vent fan or window. Presence & operation of door. Bedroom 2: Anv irregularities in sheetrock walls & ceilinss. Tvpe & any irregularities in flooring. Operation of IILht fixtures. Type of fight fixtures. Presence of sufficient electrical outlets. .fin% exposed wiring. Presence of closet: operation of closet door. Presence & operation of door. Presence & operation of smoke detector. • SINGLE-FAMILY DOME INSPECTION REPORT INTERIOR Bedroom 3: Any irregularities in sheetrock walls & ceilings. Type & any irregularities in flooring. Operation of light fixtures. Type of light fixtures. Presence of sufficient electrical outlets. Any exposed wiring. Presence of closet; operation of closet door. Presence & operation of door. Presence & operation of smoke detector. Bedroom 4: Any- irregularities in sheetrock walls & ceilings. Tvpe & any irregularities in flooring. Operation of light fixtures. Tvpe of light fixtures. Presence of sufficient electrical outlets. Any exposed wining. Presence of closet: operation of closet door. Presence & operation of door. Presence & operation of smoke detector. Attic: Typ: of access to attic. Operation of pull down stairway. Presence & type of insulation. Whether e \posed piping is insulated. Whether plumhing -ents extend thru roof. .fin\ mi�,in;= structural/frame requirements. Ring lc aka , •- • SINGLE-FAMILY HOME INSPECTION REPORT GARAGE Garage: Anv irregularities in sheetrock walls & ceilings (some garages may not have sheetrock on exterior walls). Type & any irregularities in flooring. Presence of sufficient electrical outlets near water source; presence & operation of GFCI receptacles. Any exposed wiring. Operation/condition of overhead garage doors & openers. Presence of pull down stairway. Presence & operation of smoke detector. Utility room/laundry area: Any irregularities in sheetrock walls & ceilings. Type & any irregularities in flooring. Operation of light fixtures. Presence of laundry plumbing connections. Presence of gas let & type of valve. Ventilation on dryer. Presenc_- of sufficient electrical outlets. presence & operation of GFCI receptacles. Presence of cabinet. Any exposed wiring. Presen,:z- & operation of smoke detector. Main Electrical Panel: Type of service (underground. above ground). Whether vveatherhead. drop & mast meet code requirements. Check for presence of grounding. Minimum 100 .-SNIP main switch. Check that panel is secure to surface. Check: for presence of inside panel. Check for missing breakers. Condmon & operation of panel box cover. • • SINGLE-FAMILY HOME INSPECTION REPORT HVAC HVAC Compressor: Check for presence of a/c compressor disconnect adjacent to unit: required unless_ feet from main service electrical panel. Check for presence of a/c drain line. Compressor must be elevated on a sturdy flat surface (concrete or wood). HVAC System: Location of unit. Whether unit is vas or electric. AQe of unit. Cut off switch. (required on new construction). Any exposed wirin1g. Location of thermostat. Ventilation piping routing & termination. Gas supply line shut off. Type & condition of ductwork. WATER HEATER Water Heater: Location of unit. Whether unit is gas or electric. Size of unit. Whether unit is elevated. Proper plumbins connections on unit. Proper electncal connections on unit. Proper gas connection on unit. Presence & proper installation of drain line. Proper venting on unit. Temperature pressure relief valve installed. Irreoulanties - burner assembly/flame/heating unit. If eater heater is in a separate room by itself. lc, the door to the room vented? Is the door permanent? If water heater in a separate room of home (ext)• is door lockable? • • SINGLE-FAMn,y HOME INSPECTION REPORT PRIVATE & PUBLIC SEWAGE Private Water Wells: Location of pump. Operationiperformance/pressure switches. Type of storage equipment. On -Site Sewerage Facilities: Type of system. :any accessible/visible tank(s) or components. Anv visible effluent seepage over tanks. .any visible effluent seepage over fields. Proper site drainage in system area distance in feet from: water well. cisterns. supply lines, streams, ponds, lakes, building property- lines, easements, etc. If new system. chec with County Health Dept for permits. DETACHED STRUCTURES Detached Structures: Treat detached structures as a separate unit. Check foundation. roofing, siding, brick, windows, doors, electrical service & Dlumbina. FIREPLACE & CHIMNEY Fireplace S chimney: What is the chimney structure made of? Check for -nimne.. cap. proper flashing & chimney cricket here aDr,;icahle). EXHIBIT J Builder's Certification of Energy Conservation Standards 43 • • Builder's Certification of Energy Conservation Standards ------------------------------------------------------------------------------------------------- Property Address --------------------------------------------------------------------------------------------------- Buyer I hereby certify that improvements constructed on the above captioned Property meet or exceed the energy conservation standards of the 1992 Council of American Building Officials Model Energy Code, incorporated in the HUD/VA Minimum Property Standards for energy efficiency by the 1992 Energy Policy Act. nuuaer is EXHIBIT K REGULATION REFERENCE INFORMATION 1. 24 C.F.R. § 92- HOME Investment Partnerships Program Final Rule 2. 24 C.F.R. § 92.203 (b)- Income Determinations 3. 24 C.F.R. § 92.205(a)(1)- Eligible Activities 4. 24 C.F.R. § 92.206- Eligi le Project Cost 5. 24 C.F.R. § 92.206(d)(6)- Related Soft Cost- Staff and Overhead 6. 24 C.F.R. § 92.207 (b)- Eligible Administrative and Planning Costs -Staff and Overhead 7. 24 C.F.R. Part 35 8. 24 C.F.R. § 85.43 Suspension/Termination 9. 24 C.F.R. § 92.218- Matching Contribution Requirements 10. 24 C.F.R. § 92.220- Form of Matching Contribution 1 ] . 24 C.F.R. § 92.4- Wavier and Suspension of Requirement for Disaster Areas 12. 24 C.F.R. § 92.251- Property Standards 13. 24 C.F.R. Part 8 14. 24 C.F.R. Part 3280 15. 24 C.F.R. § 92.254(a)(5)(ii)- Resale and Recapture 16. 24 C.F.R. § 92.254(a)(4)- Periods of Affordability 17. 24 C.F.R. § 92.257- Religious Organization 18. 24 C.F.R. § 92.351- Affirmative Marketing, Minority Outreach Program 19. OMB Circular A-110- Uniform Administrative Requirements for Grants & Cooperative Agreements 20. OMB Circular A-122- Final Revision of OMB Circular A-122" Cost Principles For Non Profit Organizations 21. 24 C.F.R. § 92.508- Recordkeeping 22 24 C.F.R. § 92.505- Applicability of Uniform Administrative Requirements 23. Subpart K of 24 C.F.R. Part 92 Program Administration 24. 24 C.F.R. § 92.503(b) Repayment 25. 24 C.F.R. § 92.205 - Eligible activities: General 26. 24 C.F.R. § 92.208- Eligible Community Housing Development Organization 26. 24 C.F.R. 5 92.503- CHDO-operating expense and capacity building costs 27• 24 C.F.R. § 85.31 Program Income, Repayment and Recaptured Funds Disposal of Property 28. 24 C.F.R. § 85.32 Property Ownership/Revert 29. OMB Circular A-110, Subpart C- Uniform Administrative Requirements for Grants & Agreements with Institutions of Higher Education, Hospital and Other Non -Profit Organization- Post 0. 24 C.F.R. § 92.350- Award Requirements Other Federal Requirements 31 • 24 C.F.R. § 92.353- Displacement, Relocation and Acquisition 32. 24 C.F.R. § 92.354- Labor 33. 24 C.F.R. § 92.355- Lead -Based Paint 34. 24 C.F.R. § 92.356- Conflict of Interest 35. 24 C.F.R. § 58.35(b) Categorical Exclusion 36. 24 C.F.R. § 58.34 Determination of Exemption 44 City I La Porte New single-family construction a HOME Pr'ogram for the Nort side Sponsored by HUD,:OHED,.City of La Porte 14D North side Budget Dollars allocated by Council Dollars reserved for admire use HOME program 25% match Agreements with consultants BALANCE $1209000 � ($229) ($875500) ($225500) E e, 2-fta- F"mrA4 t)Uilding sites z IWL -A ma Z!Ft'- t7� rM 4 Gv's ;2v T AvV !1,111111FIE Nil. f .. r.�-as '.,y .: s'.Yr�f - ..., - ..' - ,�.-ice= a ^#°.•ovr.-1 .. .. '�:�;:i;l,,�"T: r'f:�hi:. "a�'a. .-•�. SR`:r._,.. -�, �� +:F'^_'.'�" 1. i'•. _ .a. 3 bedrooms 2 full baths formal living room 2 car garage large master family room 1 • • `1 �� � fir,• .' � • 3 bedrooms 2 full baths 2 car garage arched entry country kitchen formal dining large family room • • Standard features in all homes General • landscape package with fully sodded front lawn • durable overhead 2 car garage doors • wood fencing with access gate • engineered concrete slab foundation • brick veneer exterior on 3 walls • hardiplank fiber cement siding on rear wall • composition class "a" fire rated roof • hardy vinyl entrance • screens for all operable windows • concrete patio Energy efficiency • energy efficient central heating and air conditioning - rated 10 seer • insulation well above industry standards - r30 in ceiling • smoke detectors in living room and all bedrooms ® steel insulated front and rear doors Interior • double lock front doors • appliances -dishwasher, disposal, vent -a -hood, cooking surface and over • ice maker connection • two (2) pre -wired telephone jacks • gfci wiring in wet areas e two (2) pre -wired cable tv connections • carpet in bedrooms and living areas e cathedral and/or raised ceiling in most areas • hard vinyl flooring in kitchen, wet areas, baths, high traffic/entry ways, and utility room • ceiling fans with light kits in living room and master bedroom • decorator marble lavatories in all baths e shower over tubs U_ycrrades - available with some Klan e garden tubs o french doors o jaccuzzi tubs o fireplaces • shower stall Standard features will be provided according to Architectural plans and specifications. These standard features can change without notice. CITY OF LA PORTE DOWN PAYMENT AND CLOSING COSTS ASSISTANCE v / HOME PROGRAM Summary re xwa The City of La Porte received grant funds, made available by the Harris County Office of Housing and economic Development (OHED), from the U.S. Department of Housing & Urban Development (HUD) through the Home Investment Partnership (HOME) Program. These funds will be available to assist qualified low-income homebuyers with down payment and closing costs for 11 newly constructed single-family units in La Porte's older neighborhoods, specifically the Northside neighborhood. REQUIREMENTS: o The initial purchase price must not exceed $115,000. ® The home must be located in an older established neighborhood, specifically the Northside, within the corporate limits of La Porte. ® This Program is on a first come first served basis. m Buyer(s) must be able to qualify and obtain a Mortgage Loan. m The home must remain the principal place of residence of the buyer(s) for at least 10 years. m Buyer(s) cannot have cash assets sufficient to pay down payment and closing costs. ® Buyer(s) family gross income cannot exceed the following amounts by family size Family size: 1 2 3 4 5 6 7 8 Income: $33,400 $38,150 $42,900 $47,700 $51,500 $55,300 $59,100 $62,950 (NOTE. Income requirements will be modified to ensure compliance with HUD's latest guidelines) ® The housing must meet minimum Housing Quality Standards (HQS), all applicable local codes, ordinances, zoning ordinances, and the cost-effective energy conservation and effectiveness standards as outlined by HUD. For more information contact the Program Administrator with the Southeast Texas Housing Finance Corporation (SETH) at (281)-484-4663. You may obtain a program application at 12621 Featherwood, Suite 280 Houston, TX or Sethfc.com. CITY OF LA PORTE PLANNING DEPARTMENT 604 W. Fairmont Parkway, LaPorte, TX 77571 Phone: (281) 471-5020 / Fax (281) 471-1868 www.d.la-aorte.tx.us CITY OF LA PORTE DOWN PAYMENT AND CLOSING COSTS ASSISTANCE HOME PROGRAM Harris County, Texas (the County), City of La Porte (the City), through Southeast Texas Housing Finance Corporation (SETH), established a Down payment and Closing Costs Assistance Program (the Program). The Program is funded through a HOME grant from the U. S. Department of Housing & Urban Development under the Home Investment Partnership (HOME) program. This Program is designed to assist low-income homebuyers with the purchase of a single-family residential property. GENERAL PROGRAM OVERVIEW The Program is designed to assist low-income homebuyers to purchase affordable, safe and decent housing. The Program is available within older established neighborhoods, specifically the Northside area, within the corporate limits of La Porte, Texas. SETH, in cooperation with Frye and Associates, will administer the Program on behalf of the City. Applicants will select one of the 11 newly constructed homes that they would like to purchase. Mortgages will be provided by conventional low-income loan programs and FHA or VA home loans. The direct assistance to the homebuyer will be $23,000, and will be in the form of a deferred forgiveness loan. The loan will be forgiven after a ten (10) year period (the recapture period) if all Program requirements have been met. A secondary promissory note will be executed by the homeowner, in favor of the County, securing the deferred forgiveness loan. The homebuyer should anticipate contributing towards down payment costs. In addition, a minimum investment from the homebuyer is required. Eligible properties are the 11 newly constructed single-family properties built by the builder (selected by the City of La Porte) in an older established neighborhood, specifically the Northside, that are for sale. The property must meet Section 8 Housing Quality Standards (HQS), as well as all applicable local building codes, ordinances, zoning ordinances, and the model energy code. The maximum purchase price ofthe home cannot exceed $115,000 and financing is available from a lender selected by the City of LaPorte. Each participant must successfully complete the homebuyers' course prior to loan closing. Frye and Associates will provide homebuyer and homeowner counseling. PROGRAM ADMMSTRATION The Program will be operated in accordance with all applicable rules and regulations of the HUD, the County, the City, and SETH. Administrative procedures used to implement the 2 ORDINANCE NO. 1444 d is Page 2 NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE: Section 1. The City Council of the City of La Porte hereby finds, determines and declares that all prerequisites of law have been satisfied, that the foregoing findins of fact are true, and the City Council hereby determines and declares that the amendments to Section 5.04, "Building Lines" of City of La Porte Ordinance No. 1444, are desirable and in furtherance of the goals and objectives stated in the City of La Porte's Comprehensive Plan. Section 2. Section 5.04 ",Building Lines" of City of La Porte Ordinance 1444, is hereby amended to read as follows, to -wit: "5.04 BUILDING LINES A. EXTRATERRITORIAL JURISDICTION: All building lines shall meet the minimum setback established in the R-1, low density residential district of the City Zoning Ordinance, except in the case of non -single family residential development which shall require a 20 foot minimum side yard building line adjacent to a public street. B. TRANSITION BUILDING LINES having a minimum angle of 45 degrees are to be provided where an offset in building lines is greater than 5 feet. C. The following development setback restrictions are established for the Sens Road right-of-way extending from West Main Street to Avenue D, and from Avenue D to the north right-of-way line of North P Street. 1. West Main Street to Avenue D Program will be added or modified to meet any changes made to such rules and regulations of the above entities that may occur over time. Administrative authority for operation of the Program will rest with the Program Administrator (Administrator) appointed by SETH s Executive Director and approved by the City. The Administrator will be responsible for carrying out the processing of applications for assistance, recommendation for Program assistance, identification of property deficiencies, preparation of security documents and any other required forms, maintenance of program records as required by HUD and/or the County, and marketing and public relation efforts as needed to promote the Program. HOME BUYER ELIGIBILITY CRITERIA Eligible applicants for the Program must meet the following general qualifications: Income Limit. Each family's total gross earnings must be equal to or less than 80% of median family income for the area, adjusted for family size, as defined by the most recently published HUD Income Limits. The income limits for the Harris County area are as follows: Family Size: 1 2 3 4 Income: 33,400 38,150 42,900 47,700 Family Size: 5 6 7 8 Income: 51,500 55,300 59,100 62,950 (NOTE. Income requirements will be modified to comply with most can entHUD's criteria.) Other income limits. The applicant cannot have cash assets sufficient to pay down payment and closing costs. SELECTION PROCESS Application and Selection Process 1. The prospective homebuyers will submit a Program Application to Southeast Texas Housing Finance Corporation with a $50.00 non-refundable application fee. Applications will be date stamped upon receipt and processed in order of receipt. 2. The Program Administrator will determine the eligibility of the applicant based upon rules and regulations governing HOME programs. Administratively incomplete applications will be rejected if they are not complete within 15 days of submission. After review and approval by the City, the applicant is determined to be ineligible; the Program Administrator will issue a letter of ineligibility. 3 • 0 3. After review and approval by the City, the Program Administrator will send a Letter of Commitment for those eligible applicants detailing the necessary information that must be submitted within 30 calendar days of the date of the commitment letter. If the applicant cannot complete the necessary steps within the 30-day period, the Commitment of funds will be revoked. A written request may be submitted for an extension period not to exceed 15 calendar days. An extension letter will be issued if circumstances justify and if approved by SETH. 4. Prior to the expiration of the commitment period, all of the following must be completed. A. The property must be approved by the Program Administrator. B. The applicant must submit an executed Real Estate Purchase Agreement. C. The applicant must submit a conditional approval from a lender. D. The program administrator must receive third -party verification of all family income. 5. Prior to loan closing, all of the following must be completed. A. The family must successfully complete a homebuyer education course. B. The home must pass Housing Quality Standards (HQS) and all applicable building requirements. OTHER PROGRAM REOUIREMENTS Principal Residence. Homebuyers will be required to certify, at the time they acquire an ownership interest in the unit, that they intend to occupy the unit as their principal residence during the recapture period. Subleases, even if temporary will not be allowed. Occupancy will be determined through verification of utility consumption, or other verifications determined to be acceptable by SETH. This list will be forwarded to the City. Homebuyer's Counseling Certification. The borrower must successfully complete a homebuyer's counseling course. This course is available through Frye and Associates; however, the course can be administered by other approved organizations including SETH. Recapture Provisions. If the homebuyer sells the property within the recapture period, the full amount of the forgiveness loan that is not forgiven is subject to recapture, in accordance with HOME regulations. This provision will be enforced by requiring that the HOME recipient execute a note in favor of the County. Form of Ownership. Fee simple title is the acceptable form of ownership. All other forms of ownership are subject to written approval by SETH. 4 0 • Income Verification. Although the financial institution's process for mortgage loan approval will include an evaluation of income for the applicant, SETH will use the definition for income according to criteria set out by HUD to determine total family income. SETH will use the applicant's current income, including any overtime, to determine income eligibility. Income verification will be valid for a six-month period following receipt of information. If the homebuyer does not occupy the property within six months, income must be re -verified. ELIGIBLE PROPERTY CRITERIA Property eligible for purchase under the Program is a newly constructed single-family dwelling, located within an older established neighborhoods, specifically the Northside. 1. The purchase price should not exceed $115,000. 2. The house must meet Housing Quality Standards as well as all applicable local building codes, ordinances, zoning ordinances, and the model energy code. 3. The property site must be approved by the Program Administrator to comply with Program intent. The property should not be located in, or be in immediate proximity to a new subdivision. 4. As a requirement for receipt of HOME funds, an appraisal of the property by the financial institution providing the mortgage is necessary. 5. Owner -financed properties are not eligible under the Program. 6. If the property is located within the 100-year floodplain designated by the currently published Federal Emergency Management Agency flood plain maps, flood insurance must be maintained for the term of the loan. 7. Prior to loan closing, the property must meet HUD Section 8 Housing Quality Standards (HQS Standards). SETH will provide for all HQS inspections at a cost of $75.00 per home. This is also an eligible closing cost. LOAN TERMS SETH shall use a ten-year deferred forgivable loan note, to enforce the principal residence requirement during the five-year recapture period. The loan will be a nonrecourse, no -interest, ten-year forgivable loan. The loan shall have a second lien holder position, and will allow for recapture of the HOME assistance out of the net sales proceeds if the homeowner sells or refinances the dwelling before the end of the recapture period. If the HOME assisted property is sold after the end of the recapture period, no recapture provisions apply. If the net proceeds are not sufficient to recapture the full HOME investment plus enable the homeowner to recover the amount of the homeowner's down payment, principal payments, and any capital improvement 5 investment, the HOME investment to be recaptured may be pro rated based on the time the homeowner has owned the home and occupied the unit measured against the required recapture period. However, the homeowner will not be allowed to recover more than the amount of the homeowner's down payment, principal payments and any capital improvement investment. The terms of the note will be extinguished if the private lender forecloses. The note will be secured by a recorded Deed of Trust. SETH will charge a $250 processing fee for the creation of the second lien deed of trust, note and all other documents prepared for closing. This will be an eligible closing cost to be paid from assistance funds. UNIFORM RELOCATION ACT REQUIREMENTS To comply with requirement of the Uniform Relocations Assistance and Property Acquisition Policies Act of 1970, sellers of properties purchased with Program funds must sign the form "Notice of Uniform Relocation Act Requirements". This form informs the owner -seller of the fair market value of the property and that, although federal funds are involved in the purchase, the buyer does not possess the power of eminent domain in acquiring the property. FAIR MARKETING PROCEDURES If requested by the City, SETH will meet with the designated financial institutions and real estate agents to explain the Program, and to request their participation. A brochure will be published, directed to potential applicants of the Program. The brochure will set out Program objectives and requirements. The brochure and all application materials will be made available in English as well as Spanish. The brochure will be distributed in accordance with the fair housing outreach plan. Program information will also be made available to the public through local newspapers. Press releases will be distributed to places that will reach potential low-income homebuyers such as local newspapers, social service agencies, churches, the local chamber of commerce, supermarkets, apartment buildings, and other public places. Frye and Associates will participate in these outreach efforts. ENVIRONMENTAL APPROVAL AND POLICY STATEMENT Every HOME funded house will pass the HOME environmental clearance criteria. COMPLAINT RESOLUTION PROCEDURES Should a complaint or dispute regarding determination of eligibility arise, the request for a reevaluation must be submitted in writing within ten working days of notification of ineligibility. The SETH Program Administrator and the City will make final rulings on all complaints. 6 71 iT EO UAL H OUSINO Mail or deliver to: Single Family Program Administrator, Southeast Texas Housing Finance Corporation, 12621 Featherwood, Suite 280, Houston, Texas 77034. $50 application fee must accompany this application. DOWN PAYMENT ASSISTANCE PROGRAM APPLICANT: Name (Last) Address HOME Program Application Harris County (First) (Middle) Landlord's Name Landlord's Telephone, Landlord's Address Home Telephone Business Phone Marital Status Date of Birth Age Social Security #, Number of Dependents Employer Employer's Telephone Employer's Address Your Occupation Length of Service Yearly Income Any Other Income(SSI, Child Support etc.) ITEM Checking Checking Savings Other ASSETS VALUE/BALANCE NAME/ADDRESS OF ACCOUNT# DEPOSITORY 7 CO -APPLICANT: Name (Last) (First) (Middle) Address Landlord's Name Landlord's Telephone Landlord's Address Home Telephone Business Phone Marital Status Date of Birth -Age- Social Security #, Number of Dependents Employer Employer's Telephone Employer's Address Your Occupation Length of Service Yearly Income Any Other Income(SSI, Child Support etc.) ASSETS ITEM VALUE/BALANCE NAME/ADDRESS OF ACCOUNT# DEPOSITORY Checking Checking Savings Other Please list the names, ages and the relationship to the head of household that will reside in your home. (Name) (Age) (Social Security #) (Relationship) If any of the above family members or other individuals living in the home have income, please provide the source, amount and the employer's address and telephone number: Address of the property you intend to purchase (note: must have street or road address, post office box numbers or rural route numbers are not sufficient): Please provide the following information if known at this time: Realtor Lender Builder (if any) Telephone # Telephone # Telephone # I understand that the assistance provided by this program is a five year deferred loan, which requires no payments during the five year term of the loan, and that I must keep, the property as my principle residence in order to have the loan forgiven at the end of the five years. The willful falsification of any of the above information may subject the applicant(s) to denial of participation in this program, and may subject the applicant(s) to civil or criminal prosecution. Any misrepresentations or false statements may also cause the second lien to be callable and due upon demand Print Name of Applicant Signature of Applicant 6 Print Name of Co -applicant Signature of Applicant REQL*T FOR CITY COUNCIL AGJJDA ITEM Agenda Date Requested: December 9. 2002 Requested By: Doug Kneupper/Gwen Goodwin (� Department: Planning U .Report: Resolution: Ordinance: X Ordinance 2002-_ authorizing an agreement with Southeast Texas Housing Finance Corp (SETH) for grant administrative services Appropriation Source of Funds: Northside Neighborhood Account Number: 15-9892-859-1100 Amount Budgeted: $120,000 Amount Requested: $17,500 Budgeted Item: ES NO SUMMARY & RECOMMENDATION On May 2, 2002, the City received a conditional award letter indicating that the application was approved for $350,000 in HOME funds. On May 14, 2002, the City conditionally accepted the award. (The details of the program were provided in a previous agenda item.) Because the City does not have the staff resources to administer this type of grant, we are requesting Council approval to retain the services of Southeast Texas Housing Finance Corporation (SETH). SETH will administer the Program on behalf of the City for a fee of $17,500. This includes marketing, reviewing applications, maintaining pertinent files, serving as liaison with the builder, lender, OHED and other parties. Their responsibilities are described in the "Letter of Agreement". (See Exhibit A.) Council is asked to consider an ordinance authorizing an agreement between the City and SETH for administrative services. Action Required by Council: 1. Approve an ordinance authorizing an agreement between the City and SETH for administrative services. Approved for City Council Agenda ,— D D ee 0 • ORDINANCE NO. 2002- D AN ORDINANCE APPROVING AND AUTHORIZING A CONTRACT BETWEEN THE CITY OF LA PORTE AND SOUTHEAST TEXAS HOUSING, FOR ADMINISTERING THE HOME INVESTMENT PARTNERSHIP (HOME) PROGRAM FOR THE CITY OF LA PORTE, TEXAS; APPROPRIATING $17,500.00 TO FUND SAID CONTRACT; MAKING VARIOUS FINDINGS AND PROVISIONS RELATING TO THE SUBJECT; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; PROVIDING AN EFFECTIVE DATE HEREOF. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE: Section 1. The City Council hereby approves and authorizes the contract, agreement, or other undertaking described in the title of this ordinance, in substantially the form as shown in the document which is attached hereto and incorporated herein by this reference. The Acting City Manager is hereby authorized to execute such document and all related documents on behalf of the City of La Porte. The City Secretary is hereby authorized to attest to all such signatures and to affix the seal of the City to all such documents. City Council appropriates the sum of $17,500.00, from the General Fund, Account Number 15-9892-859-1100, to fund said contract. Section 2. The City Council officially finds, determines, recites, and declares that a sufficient written notice of the date, hour, place and subject of this meeting of the City Council was posted at a place convenient to the public at the City Hall of the City for the time required by law preceding this meeting, as required by the Open Meetings Law, Chapter 551, Texas Government Code; and that this meeting has been open to the public as required by law at all times during which this ordinance and the subject matter thereof has been discussed, considered and formally acted upon. The City Council further ratifies, approves and confirms such written notice and the contents and posting thereof. ORDINANCE NO.2002- Q a • PAGE 2 Section 3. This Ordinance shall be effective from and after its passage and approval, and it is so ordered. PASSED AND APPROVED, thisqh� day of December, 2002. CITY OF LA PORTE By: Orman L. Malone Mayor ATTEST: a. 4Xwo- Maa A. Gillett City Secretary 604 W. Fairmont Parkway, La Porte, TX 77571 Phone: (281) 471-5020 /Fax (281) 842-1868 www.ci.la-aorte.tx.us CITY OF LA PORTE SINGLE-FAAHLY NEW CONSTRUCTION & DOWN PAYMENT AND CLOSING COSTS ASSISTANCE PROGRAMS Letter of Agreement for Professional Services Back round The City of La Porte received grant funds, made available by the Harris County Office of Housing and Economic Development (OHED), from the U.S. Department of Housing & Urban Development (HUD) through the Home Investment Partnership (HOME) Program. These funds will be available to construct new single-family housing. These funds will also provide assistance to home buyers in the form of down payment and closing costs for 11 newly constructed single-family units in La Porte's Northside neighborhood. Southeast Texas Housing Finance Corporation (SETH) will provide professional administrative services associated with this grant on behalf of the City. Their responsibilities are described in the "Scope of Services" section below. In addition, program details are included as an attachment to this document. Scope of Services The proposed scope of services is as follows: 1. Preparation of Program Guidelines and Materials: SETH shall prepare program guidelines within the parameters of HOME program regulations. SETH shall prepare all necessary forms and form letters. SETH shall submit guidelines and materials to the City of La Porte for approval prior to implementation of the program. 2. Marketing of the Program: At the request of the City of La Porte, SETH shall market availability of the program through various media sources, including, but not limited to: television, print media, radio, and PSA's. All sources (both English and Spanish) should be utilized. SETH shall prepare brochures and/or fact sheets regarding the program and its parameters for prospective participants, lending institutions, etc. in both English and Spanish. 3. Referral of Participants: Applicants for the program shall be obtained through referrals from a participating lending institution, the City of La Porte, and other sources, including Sheila Frye & Associates through a contract with the City of La Porte. Applicants may contact SETH directly for assistance. SETH shall inform the applicants of the basic program eligibility requirements and procedures. If needed, the applicant shall be informed of the participating lending institutions to obtain a mortgage application and Letter of Referral and/or to the Homebuyer Counseling/Education Program. 0 • 4. Intake: SETH shall have applicant fill out intake application if not completed by Sheila Frye & Associates during pre-screening & pre -qualification. SETH shall obtain all pertinent information regarding the proposed property, including but not limited to: A. Dates: application, homebuyer education, referral B. Purchase property address with zip code C. Census track number for both current and property addresses D. Sales price as indicated on the sales contract E. Loan amount, interest rate, loan terms, and estimated payment F. Number of bedrooms G. Appraised value, if available H. Lender name, contact, and phone number I. Title company, name, contact, and phone number. 5. Income Eligibility Verification: • Using the Section 8 Program and/or HOME definition for annual (gross) income, verify the applicant's anticipated income. Income verification is valid for a six-month period following receipt of information. If the loan is not closed within six months, income must be re -verified. • Applicants who owe debts to the City of La Porte shall be deemed ineligible. 6. Environmental Review: • SETH shall perform an abbreviated environmental review of the property for the following items: A. Model Energy Code B. Flood Disaster Protection Act C. Runway Clear Zones and Clear Zones D. Coastal Barriers Resources Act 7. Property Appraisal: • An appraisal of the property by a qualified third -party. The appraised property value must be equal to or less than the published FHA 203(b) mortgage limits adjusted for size and type of housing or by the limits imposed by HOME program regulations or Harris County OHED or the City of LaPorte. 8. Assistance Determination: • SETH shall review applicant's affordable payment. • SETH shall review estimated amount of down payment and closing costs. • SETH shall determine amount of homebuyer program assistance and homebuyer's participation. 9. Inspection: • SETH shall conduct inspection of the proposed property utilizing, at a minimum, the Section 8 HQS Inspection Report form or other standards as requested by the City of La Porte. • Should the property fail inspection; a re -inspection must be made after deficiencies are corrected. 10. Loan Documents: • SETH shall prepare a Deed of Trust and Assignment of Lien, which includes the Loan Recapture Provisions and subordinates to the prime lender. • SETH shall maintain copies of all loan documents in the participant's file. 11. Loan Closing: • SETH shall prepare final determination of down payment and closing costs, including amount of homebuyer program assistance and the homebuyer's share. • SETH shall inform all parties of the financial settlement. • SETH shall submit all pertinent information to the City of La Porte as required to prepare the "project set up" and "completion" reports in IDIS and request for funding. 12. Files: SETH shall prepare and review file for completeness to ensure all necessary documentation is included. Within 90 days of completion of the program, the files will be delivered to the City of La Porte. Records shall be maintained for a period of 5 years after the Period of Affordability. Should the SETH and/or the City of La Porte terminate or end any agreements to administer the Homebuyers Program, all files shall become the property of the City of La Porte. Compensation Compensation for the above mentioned will occur upon a drawdown schedule mutually agreed upon by the City of La Porte and SETH. This work shall not exceed seventeen thousand five hundred dollars ($17,500) without prior authorization from the City. In addition, a status report and invoices shall be submitted monthly. Executing this agreement signifies that all parties agree and understand the terms and responsibilities expressed in this document, the scope of services, and the program description. This also means that SETH will operate the Single - Family New Construction program and Down payment assistance/Closing Costs program in accordance with all applicable rules and regulations of the Department of Housing and Urban Development (HUD), the County, and the City. Entire Agreement This instrument contains the entire Agreement between the parties related to the rights herein granted and obligations herein assumed. Any oral or written representations or notifications concerning this instrument shallbe ofno force or effect excepting a subsequent modification in writing signed by both parties hereto. The headings herein are for convenience only and shall have no significance in the interpretation hereof. Severability If any section, sentence, phrase, clause, or any part of any section, sentence, phrase, or clause, of this Agreement shall, for any reason, not be legally or factually valid, such invalidity shall not affect the remaining portions of this Agreement. Effective Date This agreement shall be in effect from and after its passage and approval. Jo cting City Manager D e Ron Williams, Executive Director ate City of orte, TexasSoutheast Texas Housing Finance Corp. ATTEST: �d a/a, Martha Gillett, Cit Secretary Date • 0 CITY OF LA PORTE SINGLE-FAMILY NEW CONSTRUCTION & DOWN PAYMENT AND CLOSING COSTS ASSISTANCE PROGRAMS Drawdown Schedule Activity Start Up Costs Marketing Preparation of Program Guidelines and Materials First Home Closing Second Home Closing Third Home Closing Forth Home Closing Fifth Home Closing Sixth Home Closing Seventh Home Closing Eight Home Closing Ninth Home Closing Tenth Home Closing Eleventh Home Closing Compensation $6,500 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 TOTAL $17,500 REQUOT FOR CITY COUNCIL AGVPA ITEM Agenda Date Requested: December 9, 2002 Requested By: Doug Kneupper/Gwen Goodwin G Department: Planning Report: Resolution: Ordinance: X Ordinance 2002-_ authorizing an agreement with Sheila Frye and Associates for grant administrative services. Appropriation Source of Funds: Northside Neighborhood Account Number: 15-9892-859-1100 Amount Budgeted: $120,000 Amount Requested: $5,000 Budgeted Item: FY ES NO SUMMARY & RECOMMENDATION On May 2, 2002, the City received a conditional award letter indicating that the application was approved for $350,000 in HOME funds. On May 14, 2002, the City conditionally accepted the award. (The details of the program were provided in a previous agenda item.) Because the City does not have the staff resources to administer this type of grant, we are requesting Council approval to retain the services of Sheila Frye and Associates. Frye and Associates will provide marketing, homebuyer's education, and pre -qualification for a fee of $5,000. Their responsibilities are described in the "Letter of Agreement". (See Exhibit A.) Council is asked to consider an ordinance authorizing an agreement between the City and Sheila Frye and Associates for administrative services. Action Required by Council: 1. Approve an ordinance authorizing an agreement between the City and Sheila Frye and Associates for administrative services. Approved for City Council Agenda %�i► =� ::dam R /r/,029? - )bate • 0 ORDINANCE NO. 2002- AN ORDINANCE APPROVING AND AUTHORIZING A CONTRACT BETWEEN THE CITY OF LA PORTE AND SHEILA FRYE, FRYE AND ASSOCIATES, FOR PROVIDING MARKETING AND HOME BUYER'S EDUCATION FOR THE HOME INVESTMENT PARTNERSHIP (HOME) PROGRAM FOR THE CITY OF LA PORTE, TEXAS; APPROPRIATING $5,000.00 TO FUND SAID CONTRACT; MAKING VARIOUS FINDINGS AND PROVISIONS RELATING TO THE SUBJECT; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; PROVIDING AN EFFECTIVE DATE HEREOF. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE: Section 1. The City Council hereby approves and authorizes the contract, agreement, or other undertaking described in the title of this ordinance, in substantially the form as shown in the document which is attached hereto and incorporated herein by this reference. The Acting City Manager is hereby authorized to execute such document and all related documents on behalf of the City of La Porte. The City Secretary is hereby authorized to attest to all such signatures and to affix the seal of the City to all such documents. City Council appropriates the sum of $5,000.00, from the General Fund, Account Number 15-9892-859-1100, to fund said contract. Section 2. The City Council officially finds, determines, recites, and declares that a sufficient written notice of the date, hour, place and subject of this meeting of the City Council was posted at a place convenient to the public at the City Hall of the City for the time required by law preceding this meeting, as required by the Open Meetings Law, Chapter 551, Texas Government Code; and that this meeting has been open to the public as required by law at all times during which this ordinance and the subject matter thereof has been discussed, considered and formally acted upon. The City Council further ratifies, approves and confirms such written notice and the contents and posting thereof. ORDINANCE NO.2002- 011A 0 PAGE 2 Section 3. This Ordinance shall be effective from and after its passage and approval, and it is so ordered. PASSED AND APPROVED, this* day of December, 2002. CITY OF LA PORTE Norman L. Malone Mayor ATTEST: �-A - �L A4 Martha A. Gillett City Secretary • 0 604 W. Fairmont Parkway, La Porte, TX 77571 Phone: (281) 471-5020 /Fax (281) 842-1868 wwwxi.la-aorte.tx.us CITY OF LA PORTE SINGLE-FAMILY NEW CONSTRUCTION & DOWN PAYMENT AND CLOSING COSTS ASSISTANCE PROGRAMS Letter of Agreement for Professional Services Backg[ound The City of La Porte received grant funds, made available by the Harris County Office of Housing and Economic Development (OHED), from the U.S. Department of Housing & Urban Development (HUD) through the Home Investment Partnership (HOME) Program. These funds will be available to construct new single-family housing. These funds will also provide assistance to home buyers in the form of down payment and closing costs for 11 newly constructed single family units in La Porte's Northside neighborhood. Sheila Frye and Associates will provide professional administrative services associated with this grant on behalf ofthe City. Their responsibilities are described in the "Scope of Services" section below. Scope of Services The proposed scope of services is as follows: 1. Market the City of La Porte New Construction Homebuyer Program on radio, local businesses, newspapers with special emphasis at churches in the Northside communities. $1,500 2. Develop appropriate marketing materials in collaboration with SETH for distribution throughout the city of La Porte and surrounding areas in English and Spanish. $500 3. Provide Home buyer Education program at no cost to the buyers. Each buyer will be given a certificate of completion that will allow them access to the city of La Porte and the county first time homebuyer programs. These classes will be at a minimum of 5 hour, all materials will be provided by SFA to the buyers. These classes are Fannie Mae and HUD approved. $1,500 4. Provide access to credit counseling service for potential buyers in need to understand the fundamentals of good credit (credit challenged). Free/No charge 5. Work closely to Prescreen/pre-package clients before Washington Mutual (or the City's selected lender) takes loan applications twice a week in the La Porte area. $1,500 6. Develop qualified list of buyers for future developments. Free/No charge Compensation Compensation for the above mentioned services will occur upon completion of the project. This work shall not exceed five thousand dollars ($5,000). In addition, a status report and invoices shall be submitted monthly. • 0 Executing this agreement signifies that all parties agree and understand the terms and responsibilities expressed in this document, the scope of services, and the program description. This also means that Sheila Frye and Associates will operate the Single -Family New Construction program and Down payment assistance/Closing Costs program in accordance with all applicable rules and regulations of the Department of Housing and Urban Development (HUD), the County, and the City. Entire AgLeement This instrument contains the entire Agreement between the parties related to the rights herein granted and obligations herein assumed. Any oral or written representations or notifications concerning this instrument shall be of no force or effect excepting a subsequent modification in writing signed by both parties hereto. The headings herein are for convenience only and shall have no significance in the interpretation hereof. Severability If any section, sentence, phrase, clause, or any part of any section, sentence, phrase, or clause, of this Agreement shall, for any reason, not be legally or factually valid, such invalidity shall not affect the remaining portions of this Agreement. Effective Date This agreement shall be in effect from and after its passage and approval. • ,/ �f' - . �. . ATTEST: V67- ha Gillett, City Secretary Date APPROVED AS TO FORM[: // ���- "• • , . Sheila Frye, CEO Date Sheila Frye and Associates, Inc. • 0 RIEQ1WT FOR CITY COUNCIL AGIV TI'ER1 Agenda Date Requested: Decembe , 2002 Requested By: DougKneupper Department: Planning Report: _Resolution: _Ordinance: X Exhibits: Ordinance Area Map /4D/a �A4 1PZJt4,e40 Summary and Recommendation Appropriation Source of Funds: Account Number: Amount Budgeted: Amount Requested: Budgeted Item: YES The City and Harris County are working together to expand and improve Sens Road from West Main St. to North " P" Street. Current plans are for Sens Road to be a 5-lane, curb -and -gutter concrete roadway. This planned roadway requires a 100-foot wide right-of-way; there is only 60 feet of right -of --way in place along Sens Road at this time. The County and City both realize that acquiring additional right-of-way in some areas of Sens Road will be a " challenge". Because of this, the County has authorized an engineering firm to conduct a preliminary right-of-way study that will evaluate existing conditions along Sens Road and recommend the best scenario for right -of --way acquisition that will create the least impact on existing development. From West Main to North "D" Street, some right-of-way analysis has already occurred with the work being done on Bay Area Blvd. For this section, the additional right-of-way will be evenly split on both sides (20 feet from each side). However, north of "D" Street, without benefit of the County's preliminary study, there could be sections where all additional right-of-way is acquired from one side or the other. The attached ordinance will help the City and County preserve the areas that may be acquired, in the near future, for the Sens Road project. The ordinance creates additional setbacks for property adjacent to Sens Road and restricts new buildings or other improvements from these setback areas. This ordinance will be a temporary or short-term measure. When the County's preliminary right-of-way study is finalized, this setback ordinance can be rescinded and replaced with the City's more standard "takings resolution". And then, after all right-of-way has been acquired the standard zoning ordinance setbacks will apply to any future development. Action Required by Council: Consider approval of an Ordinance creating additional development setbacks for property adjacent to Sens Road. Approved for City Council Agenda Z r48 jv/os /0 12 John o s, Acting City Manager Dale • 0 ORDINANCE NO. 1444- L/ AN ORDINANCE AMENDING SECTION 5.04 "BUILDING LINES" OF CITY OF LA PORTE ORDINANCE NO. 1444 REGULATING THE PLATTING OR REPLAATING OF LAND INTO SUBDIVISIONS IN THE CITY OF LA PORTE AND WITHIN THE EXTRATERRITORIAL JURISDICTION OF THE CITY OF LA PORTE; PROVIDING THAT ANY PERSON VIOLATING THE TERMS OF THIS ORDINANCE SHALL BE DEEMED GUILTY OF A MISDEMEANOR AND SHALL UPON CONVICTION BE FINED A SUM OF NOT MORE THAN TWO THOUSAND DOLLARS ($2,000.00) FOR EACH VIOLATION; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; PROVIDING A SAVINGS CLAUSE AND A SEVERABILITY CLAUSE; AND PROVIDING AN EFFECTIVE DATE HEREOF. WHEREAS the City Council of the City of La Porte notes that the Sens Road right-of-way is on the City of La Porte Thoroughfare Plan, which is an integral part of the Comprehensive Plan of the City of La Porte, as a primary arterial thoroughfare; and WHEREAS the City Council of the City of La Porte takes note that Harris County has plans to expand and improve the Sens Road right-of-way as said primary arterial; and WHEREAS the City of La Porte in conjunction with Harris County seek to facilitate the expansion and improvement plans of Harris County in connection with the Sens Road thoroughfare, within the ambit of the City's Comprehensive Plan and Development Ordinance; and WHEREAS the City of La Porte finds that the Development Ordinance states that all plans or plats should conform to the Comprehensive Plan for the extension of City thoroughfares; and WHEREAS the final dimensions of the planned expansion of the Sens Road right-of- way are yet to be determined; and WHEREAS development setbacks along the Sens Road right-of-way are found to be necessary to accommodate the expansion and improvement of the Sens Road right-of- way; and WHEREAS the City of La Porte finds the implementation of development setbacks to facilitate the expansion and improvement of the Sens Road right-of-way is in harmony with the. requirements of the Comprehensive Plan, the Development Ordinance, and the Zoning Ordinance, within the Code of Ordinances of the City of La Porte; and WHEREAS it is the intention of the City to promote the orderly development of the City of La Porte, establish guidelines for the expansion of public thoroughfares, lessen traffic congestion, and promote and protect the public health, safety, and welfare; ORDINANCE NO. 1444�C Page 3 0 Properties adjacent to the Sens Road right-of-way extending from West Main Street to Avenue D, are subject to a development setback of 20 feet, from either side of the right-of-way. This restriction applies to any improvements, additions, or construction of any character on property abutting the Sens Road right-of-way, and regardless of zoning classification under this Code. The building setback restrictions contained in Chapter 106 of the Code of Ordinances of the City of La Porte are subject to the restrictions contained in this section and shall commence from the 20-foot development setback restrictions promulgated herein. 2. Avenue D to the north line of North P Street Properties adjacent to the Sens Road right-of-way extending from Avenue D to the north line of North P Street, are subject to a development setback of 40 feet, from either side of the right-of-way. This restriction applies to any improvements, additions, or construction of any character on property abutting the Sens Road right-of-way, and regardless of zoning classification under this Code. The building setback restrictions contained in Chapter 106 of the Code of Ordinances of the City of La Porte are subject to the restrictions contained in this section and shall commence from the 40-foot development setback restrictions promulgated herein. ORDINANCE NO. 1444-C Page 4 40 Section 3. Any person, as defined in Section 1.02(27) Texas Penal Code, who shall violate any provision of this Ordinance, shall be deemed guilty of a misdemeanor and upon conviction shall be punished by a fine not to exceed Two Thousand Dollars ($2,000.00). Each day a violation of this ordinance shall continue shall constitute a separate violation. Section 4. All rights or remedies of the City of La Porte, Texas, are expressly saved as to any and all violations of any Zoning Ordinance, Development Ordinance, or amendments thereto, of said City of La Porte, that have accrued at the time of the effective date of this Ordinance; and as to such accrued violation, the court shall have all the powers that existed prior to the effective date of this Ordinance; and as to such accrued violation, the court shall have all the powers that existed prior to the effective date of this Ordinance; and that all existing violations of previous zoning ordinances which would otherwise become non -conforming uses under this Ordinance but shall be considered as violations of this Ordinance in the same manner that they were violations of prior zoning ordinances of said City of La Porte. Section 5. If any section, sentence, phrase, clause, or any part of any section, sentence, phrase, or clause, of this Ordinance shall, for any reason, be held invalid, such invalidity shall not affect the remaining portions of this Ordinance, it is hereby declared to be the intention of the City of Council to have passed each section, sentence, phrase, or clause, or part thereof, irrespective of the fact that any other section, sentence, phrase, or clause, or part thereof, may be declared invalid. Section 6. The City Council officially finds, determines, recites and declares that a sufficient written notice of the date, hour, place and subject of this meeting of the City ORDINANCE NO. 14440 Page 5 0 Council was posted at a place convenient to the public at the City Hall of the city for the time required by law preceding this meeting, as required by the Open Meetings Law, Chapter 551, Texas Government Code; and that this meeting has been open to the public as required by law at all times during which this ordinance and the subject matter thereof has been discussed, considered and formally acted upon. The City Council further ratifies, approves and confirms such written notice and the contents and posting thereof. Section 7. This Ordinance shall become effective fourteen (14) days after its passage and approval. The City Secretary shall give notice to the passage of the notice by causing the caption to be published in the official newspaper of the City of La Porte at least twice within ten (10) days after the passage of the Ordinance. PASSED AND APPROVED THIS THE0C' DAY OF 0?U(M U( , 2002. CITY OF LA PORTE By:/ 14ORMAN MALONE, Mayor ATTESTATION: By'JMPYkJ-J,A,d- _ MA THA GILL TT, City Secretary APPROVED: i '-'� -ONO, r yy1f •��^�fr: ��±� a a' SE'NS ROAfiSR O W_ G '� ► ADD1,,, IONAL VTBAC. • City of La Porte Established 1892 January 10, 2002 Commissioner Jim Fonteno Harris County Precinct 2 1001 Preston, Room 950 Houston, Texas 77002 Re: Future Expansion of Sens Road Right -of -.Way Determination Dear Commissioner Fonteno: The City is pleased that we are moving forward with the (Spencer Highway).ionof Bay are excited rea Boulevard from Fairmont Parkway to West Main (Sp about this joint venture and are anxiously awaiting the r construction t�r bate hann g for the ase. With this accomplishment behind us, I believe it is important sibility of expanding Sens Road from West Main expansion of .Sens Road. While the pos to State Highway 225 (North `P') has been discussed, there has been no final commitment or funding for this project. The City is considering passing an ordinance setting additional encroachmendts intding lines for new construction along. Sens Road to prevent o the future right-of-way of Sens Road. These setbacks would remain in place until aright -of - way study could be completed. We ask that Precinct 2 consider authorizing aright- studyP ease advise us if Precinct 2 ture so we can fix the future right -of --way for expansion of Sens Road. Please please feel free to contact could proceed with such a study. If you have any q me. Sincerely, Robert T. Herrera, City Manager r •. UNCIL AGENDA ITEM Agenda Date Requested: Requested By: Stephen L. Barr Source of Funds: Hnrr*% ('.minty Department: ftrks& Reer-atoon Account Number: Ails Report:Resolution: rdinanc • X Amount Budgeted: N/A Exhibits: Ordinance No. 2002- Amount Requested: N/A Exhibits: Agreement Budgeted Item: YES NO X Exhibits: SUMMARY & RECOMMENDATION As you may recall, the City of La Porte, in conjunction with Harris County Department of Housing and Economic Development have agreed to place a pedestrian bridge over Little Cedar Bayou at its intersection with S. P Street. The City issued a Request for Qualifications, receiving 5 Qualifications Statements from various engineering firms for this project, opened November 18, 2002. After review, staff selected Huitt- Zollars, Inc., an engineering firm with offices in Houston. This firm appears to be well qualified and experienced in designing footings and abutments for prefabricated steel bridges, and staff has negotiated an agreement for Professional Services with Huitt-Zollars, Inc. for this project. The agreement provides for Huitt-Zollars, Inc. includes the investigation of the site, utilization of the Bridge Engineer's plans and specifications, evaluation of floodway requirements, and other considerations to develop footings, supports, and entryways for the bridge. The selected firm will monitor construction of the footings and supports, as well as the actual prefabricated bridge final assembly and installation over Little Cedar Bayou at S. Yd Street. Funding for this Agreement will be provided by CIP. contingency funds of the City of La Porte in the amount of $20,100 with reimbursement by Harris County Department of Housing and Economic Development, per the City's agreement with Harris County, approved by Council on October 14, 2002. Action Required by Council: Consider approval of an Ordinance authorizing the City Manager to execute an Agreement for Professional Services with Huitt-Zollars, Inc. for design and monitoring of the installation of a prefabricated steel pedestrian bridge over Little Cedar Bayou, to be funded by Harris County per its agreement with the City of La Porte, approved by Council on October 14, 2002. Apiproved for City. -Council Agenda rq.lp-- John s, Acting City Manager O Date ORDINANCE NO. 02-�%0 0 AN ORDINANCE AUTHORIZING AND APPROVING A PROFESSIONAL SERVICES AGREEMENT BETWEEN THE CITY OF LA PORTE AND HUITT- ZOLLARS, INC. FOR DESIGN AND OTHER RELATED COMPONENTS FOR INSTALLATION OF A PREFABRICATED STEEL PEDESTRIAN BRIDGE OVER LITTLE CEDAR BAYOU; MAKING VARIOUS FINDINGS AND PROVISIONS RELATING TO THE SUBJECT; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; PROVIDING AN EFFECTIVE DATE HEREOF. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE: Section 1. The City Council hereby approves and authorizes the contract, agreement, or other undertaking described in the title of this ordinance, in substantially the form as shown in the document which is attached hereto and incorporated herein by this reference. The Acting City Manager is hereby authorized to execute such document and all related documents on behalf of the City of La Porte. The City Secretary is hereby authorized to attest to all such signatures and to affix the seal of the City to all such documents. Section 2. The City Council officially finds, determines, recites, and declares that a sufficient written notice of the date, hour, place, and subject of this meeting of the City Council was posted at a place convenient to the public at the City Hall of the City for the time required by law preceding this meeting, as required by the Open Meetings Law, Chapter 551, Texas Government Code; and that this meeting has been open to the public as required by law at all times during which this ordinance and the subject matter thereof has been discussed, considered and formally acted upon. The City Council further ratifies, approves, and confirms such written notice and the contents and posting thereof. Section 3. This Ordinance shall be effective from and after its passage and approval, and it is so ordered. PASSED AND APPROVED, this 9TH day of December, 2002. CITY OF LA PORTE By: Norman L. Malone, Mayor ATTEST: LIM 111hit id-1/v Martha Gillett, City Secretary APPROVED AVFOR Knox W. Askins, City Attorney iRl vj V4 -W. r; {' y� .1' k { c �i9q!x� .::��.� h n >. �` ���1� .. - � ' 3` -'�r.a".,� l .��• `3�`- P "6 a ,.c' S '�,.' k T jo 14 t- W PRO. Z tUAK P, FDESTRJAN'� Oa'BRIDGE 'Pq k), 14 F m WY �jT • • AGREEMENT BETWEEN OWNER AND ENGINEER PROFESSIONAL SERVICES Design of Foundations For Prefabricated Steel Pedestrian Bridge Harris County Project No. — 2002-105 November, 2002 11 TABLE OF CONTENTS TABLE OF CONTENTS IDENTIFICATION OF THE PARTIES/PROJECT DESCRIPTION SECTION 1 BASIC SERVICES OF Engineer 1.1 General 1.2 Schematic Design Phase 1.3 Design Development Phase 1.4 Construction Documents Phase 1.5 Bidding Phase 1.6 Construction Phase 1.7 Operational Phase SECTION 2 ADDITIONAL SERVICES OF Engineer 2.1 Services Requiring Authorization in Advance 2.2 Required Additional Services SECTION 3 OWNER'S RESPONSIBILITIES SECTION 4 PERIODS OF SERVICE SECTION 5 PAYMENTS TO ENGINEER SECTION 6 CONSTRUCTION COST AND OPINIONS OF COST 6.1 Construction Cost 6.2 Opinions of Cost SECTION 7 GENERAL CONSIDERATIONS 7.1 Termination 7.2 Reuse of Documents 7.3 Insurance 7.4 Controlling Law 7.5 Successors and Assigns 7.6 Dispute Resolution SECTION 8 SPECIAL PROVISIONS, EXHIBITS, AND SCHEDULES Exhibit A FURTHER DESCRIPTION OF Engineer BASIC SERVICES AND RELATED MATTERS Exhibit B DUTIES, RESPONSIBILITIES AND LIMITATIONS OF AUTHORITY OF THE RESIDENT PROJECT REPRESENTATIVE. Exhibit C PROJECT COMMUNICATION Exhibit D INSURANCE Exhibit E DESIGN CONCEPT MEMORANDUM Page(s) 1 1 1-1 through 1-8 2-1 through 2-3 3-1 through 3-3 4-1 through 4-3 5-1 through 5-3 6-1 through 6-2 7-1 through 7-3 8-1 A-1 through A-3 B-1 through B-5 C-1 through C-2 D-1 E-1 • • AGREEMENT BETWEEN OWNER AND ENGINEER FOR PROFESSIONAL SERVICES THIS IS AN AGREEMENT made as of December 9 9009 between the City of La Porte, Texas (Owner) and the Huitt-Zollars, Inc. (Engineer). Owner intends to design and construct supports for an Owner -provided 10' by 165' (nominal) single span prefabricated steel pedestrian bridge spanning Little Cedar Bayou at its intersection with 3`d Street as described in EXHIBIT "E", attached hereto (hereinafter called the PROJECT). The Owner and Engineer agree as set forth below: 0 0 1.1 GENERAL 1.1.1 Engineer shall provide for Owner professional Engineering/Architectural services in all phases of the Project to which this Agreement applies as hereinafter provided. These services will include serving as Owner's professional representative for the Project, providing professional consultation and advice and furnishing customary structural, mechanical, and electrical engineering services incidental thereto. 1.1.2 The Engineer's services shall be performed as expeditiously as is consistent with professional skill and care and the orderly progress of the work. The Engineer shall submit for the Owner's approval a schedule for the performance of the Engineer's services, which shall include allowances for periods of time required for the Owners review and for approval of submissions by authorities having jurisdiction over the Project. Time limits established by this schedule approved by the Owner shall not, except for reasonable cause, be exceeded by the Engineer. 1.1.3 The ENGINEERING/ARCHITECTURAL services consist of those services performed by the Engineer, Engineer's employees and Engineer's consultants employed as hereinafter provided. 1.2 SCHEMATIC DESIGN PHASE - OMITTED 1.3 DESIGN DEVELOPMENT PHASE After written authorization to proceed with the Design Development Phase, Engineer shall: 1.3.1 In consultation with Owner and based on any adjustments authorized (in writing) by the Owner in the program schedule or construction budget, the Engineer shall determine the general scope, extent and character of the Project. 1.3.2 The Engineer shall prepare Design Development documents consisting of final design criteria, preliminary drawings, outline specifications and written descriptions of the Project. 1.3.3 Advise Owner if additional data or services of the type described in paragraph 3.4 are necessary and assist Owner in obtaining such data and services. 1.3.4 Based on the information contained in the Design Development documents, submit a revised opinion of probable Total Project Costs (as defined in paragraph 1.2.4). 1.3.5 Furnish five copies of the above Design Development documents and present and review them in person with Owner. 1.3.6 Perform a topographic survey of the project area. 1.3.7 Conduct a geotechnical investigation and prepare a geotechnical report. 1.3.8 The duties and responsibilities of Engineer during the Design Development Phase are amended and supplemented as indicated in paragraph 3 of Exhibit A "Further Description of Basic Services and Related Matters". 1.4 CONSTRUCTION DOCUMENTS PHASE After written authorization to proceed with the Final Construction Documents Phase, Engineer shall: 1.4.1 Based on the approved Design Development Documents and any further adjustments in the scope or quality of the PROJECT, in the construction budget or in the total PROJECT budget authorized in writing by the Owner, the Engineer shall prepare, for approval by the Owner, Construction Documents consisting of Drawings (hereinafter called Drawings) and Specifications setting forth in detail the requirements for the construction of the PROJECT by Contractor(s). The specifications shall he prepared in conformance with the sixteen -division format of the Construction Specifications Institute_ 1.4.2 See that the Construction Documents include applicable requirements/approvals of governmental authorities having jurisdiction to approve the design of the project. Provide technical criteria, written descriptions and design data for Owner's use in filing applications for permits with or obtaining approvals of such governmental authorities as have jurisdiction to approve the design of the Project, and assist Owner in completing permit application and in consultation with appropriate authorities. 1.4.3 Advise Owner of any adjustments to the latest opinion of probable Total Project Costs (as defined in paragraph 1.2.4) caused by changes in general scope, extent or character or design requirements of the Project or Construction Costs. Furnish to Owner a revised opinion of probable Total Project Costs based on the Drawings and Specifications. 1.4.4 Prepare for review and approval by Owner, its legal counsel and other advisors contract agreement forms, general conditions and supplementary conditions, and bid forms, invitations to bid and instructions to bidders and other related documents. The Engineer will initially submit to Owner the Contractor Agreement (in the form of AIA document A101) and the General Conditions of the Contract (in the form of AIA document A201) for OWNER'S review, comment, modification, and approval. 1.4.5 Furnish five copies of the above documents (following approval) and of the Drawings and Specifications and present and review them in person with Owner. 1.4.6 The duties and responsibilities of Engineer during the Construction Documents Phase are supplemented as indicated in paragraph 4 of Exhibit A "Further Description of Basic Services and Related Matters". 1.5 BIDDING PHASE After written authorization to proceed with the Bidding Phase, Engineer shall: 1.5.1 Following the Owner's approval of the Construction Documents and of the latest preliminary estimate of Construction Cost, the Engineer shall assist Owner in advertising for and obtaining bids or negotiating proposals for the prime contract for construction, materials, equipment and services; and, where applicable, distribute Bidding Documents, maintain a record of prospective bidders to whom Bidding Documents have been issued, receive non-refundable deposits made out to Engineer for Bidding Documents, and attend the pre -bid conference. 1.5.2 Issue addenda as appropriate to interpret and/or clarify the Bidding Documents. 1.5.3 Consult with and advise Owner as to the acceptability of subcontractors, suppliers and other persons and organizations proposed by the prime contractor (herein called "Contractor") for those portions of the work as to which such acceptability is required by the Bidding Documents. 1.5.4 Consult with Owner concerning and determine the acceptability of substitute materials and equipment proposed by Contractor when substitution prior to the award of contracts is allowed by the Bidding Documents. 1.5.5 Attend the bid opening, prepare bid tabulation sheets and assist Owner in evaluating bids or proposals and in assembling and awarding the contract(s) for construction, materials, equipment and services. 1.5.6 The duties and responsibilities of Engineer during the Bidding Phase are amended and supplemented as indicated in paragraph 5 of Exhibit A "Further Description of Basic Services and Related Matters". 1.6 CONSTRUCTION PHASE After written authorization to proceed with the Construction Phase; Engineer shall: 1.6.1 General Administration of Construction Contract Engineer shall consult with and advise Owner and act as Owner's representative, as provided in the Standard General Conditions of the Construction Contract (as approved by Owner per paragraph 1.4.4). The extent and limitations of the duties, responsibilities and authority of Engineer as assigned in said Standard General Conditions shall not be modified, except to the extent provided in paragraph 6 of Exhibit A "Further Description of Basic Services and Related Matters" and except as the Engineer may otherwise agree in writing. All of Owner's instructions to Contractor(s) will be issued through Engineer who will have authority to act on behalf of Owner to the extent provided in said Standard General Conditions except as otherwise provided in writing. 1.6.2 VISITS TO SITE AND OBSERVATION OF CONSTRUCTION. In connection with observation of the work of Contractor(s) while it is in progress: 1.6.2.1 Engineer shall make visits to the site at intervals appropriate to the various stages of construction as Engineer deems necessary in order to observe as an experienced and qualified design professional the progress and quality of the various aspects of Contractor(s)' work. In addition, the Engineer and/or Owner may provide the services of a Resident Project Representative (and assistants as agreed) at the site to assist Engineer and to provide more continuous observation of such work. (If Engineer provides the Resident Project Representative, services will be performed as Additional Services and compensated in accordance with Paragraph 5.1.2.1). Based on information obtained during such visits and on such observations, Engineer shall endeavor to determine in general if such work is proceeding in accordance with the Contract Documents and Engineer shall keep Owner informed of the progress of the work. 1.6.2.2 The Resident Project Representative (and assistants) may be Engineer's agent or employee and under Engineer's supervision or may be the Owner's agent or employee and under OWNERS supervision. The duties and responsibilities of the Resident Project Representative (and assistants) are set forth in Exhibit B "Duties, Responsibilities and Limitation of Authority of Resident Project Representative". Both parties in writing will mutually agree upon any exceptions or modifications to these responsibilities and limitations. 1.6.2.3 The purpose of Engineer's visits to and representation by the Resident Project Representative (and assistant, if any) at the site will be to enable Engineer to better cant' out the duties and responsibilities assigned to and undertaken by Engineer during the Construction Phase, and, in addition, by exercise of Engineer's efforts as an experienced and qualified design professional, to provide for Owner a greater degree of confidence that the completed work of Contractor(s) will conform generally to the Contract Documents and that the integrity of the design concept as reflected in the Contract Documents has been implemented and preserved by Contractor(s). On the other hand, Engineer shall not, during such visits or as a result of such observations of Contractor(s)' work in progress, supervise, direct or have control over Contractor(s)' work nor shall Engineer have authority over or responsibility for the means, methods, techniques, sequences or procedures of construction selected by Contractor(s), for safety precautions and programs incident to the work of Contractor(s), for safety precautions and programs incident to the work of Contractor(s) or for any failure of Contractor(s) to comply with laws, rules, regulations, ordinances, codes or orders applicable to Contractor(s) furnishing and performing their work. 1.6.4 INTERPRETATIONS AND CLARIFICATIONS Engineer shall issue necessary interpretations and clarifications of the Contract Documents and in connection therewith prepare work directive changes; and after consultation with owner, prepare change orders as required for owners review and approval. 1.6.5 SHOP DRAWINGS Engineer shall review and approve (or take other appropriate action in respect of) Shop Drawings (as that term is defined in the General Conditions), product data, sample(s) and other data which Contractor(s) are required to submit, but only for conformance with the design concept of the Project and compliance with the information given in the Contract Documents. Such reviews and approvals or other action shall not extend to means, methods, techniques, sequences or procedures of construction or to safety precautions and programs incident thereto. 1.6.6 SUBSTITUTES Engineer shall evaluate and determine the acceptability of substitute materials and equipment proposed by Contractor(s), but subject to the provision of paragraph 2.2.2. (Required Additional Services) All substitutes shall be approved by Owner. 1.6.7 INSPECTIONS AND TESTS Engineer shall advise Owner and Owner shall approve of any special inspection or testing of the work, and Engineer shall receive and review all certificates of inspections, testings and approvals required by laws, rules, regulations, ordinances, codes, orders or the Contract Documents .(but only to determine generally that their content complies with the requirements of, and the results certified indicate compliance with the Contract Documents.) 1.6.8 Disputes between Owner and Contractor Engineer shall act as initial interpreter of the requirements of the Contract Documents and judge of the acceptability of the work thereunder and make decisions on all claims of Owner and Contractor(s) relating to the acceptability of the work or the interpretation of the requirements of the Contract Documents pertaining to the execution and progress of the work. Engineer shall not be liable for the results of any such interpretations or decisions rendered in good faith. 1.6.9 APPLICATIONS FOR PAYMENT Based on Engineer's on -site observations as an experienced and qualified design professional, on information provided by the Resident Project Representative and on review of applications for payment and the accompanying data and schedules: 1.6.9.1 Engineer shall determine the amounts owing to Contractor(s) and recommend in writing payments to Contractor(s) in such amounts. Such recommendations of payment will constitute a representation to Owner, based on such observations and review, that the work has progressed to the point indicated, and that, to the best of Engineer's knowledge, information and belief, the quality of such work is generally in accordance with the Contract Documents (subject to an evaluation of such work as a functioning whole prior to or upon Substantial Completion, to the results of any subsequent tests called for in the Contract Documents and to any other qualifications stated in the recommendation). In the case of unit price work, Engineer's recommendations of payment will include final determinations of quantities and classifications of such work (subject to any subsequent adjustments allowed by the • Cl Contract Documents). 1.6.9.2 By recommending any payment Engineer will not thereby be deemed to have represented that exhaustive, continuous or detailed reviews or examinations have been made by Engineer to check the quality or quantity of Contractor(s)' work as it is furnished and performed beyond the responsibilities specifically assigned to Engineer in this Agreement and the Contract Documents. Engineer's review of Contractor(s)' work for the purposes of recommending payments will not impose on Engineer responsibility to supervise, direct or control such work or for the means, method techniques, sequences, or procedures of construction or safety precautions or programs incident thereto or Contractor(s) compliance with laws, rules, regulations, ordinances, codes or orders applicable to their furnishing and performing the work. It will also not impose responsibility on Engineer to make any examination to ascertain how or for what purposed any contractor has used the moneys paid on account of the Contract Price, or to determine that title to any of the work, materials or equipment has passed to Owner free and clear of any lien, claims, security interests or encumbrances, or that there may not be other matters at issue between Owner and Contractor that might affect the amount that should be paid. 1.6.10 CONTRACTOR(S)' COMPLETION DOCUMENTS Engineer shall receive and review maintenance and operating instructions, schedules, guarantees, bonds and certificates of inspection, tests and approvals which are to be assembled by Contractor(s) in accordance with the Contract Documents (but such review will only be to determine that their content complies with the requirements of, and in the case of certificates of inspection, test and approvals the results certified indicate compliance with, the Contract Documents); and shall bind, index and transmit them to Owner together with written comments. 1.6.11 INSPECTIONS Engineer shall conduct an inspection to determine if the work is substantially complete and a final inspection to determine if the completed work is acceptable so that Engineer may recommend, in writing, final payment to Contractor(s) and may give written notice to Owner and the Contractor(s) that the work is acceptable (subject to any conditions therein expressed), but any such recommendation and notice will be subject to the limitations expressed in paragraph 1.6.9.2. 1.6.12 LIMITATION OF RESPONSIBILITIES Engineer shall not be responsible for the acts or omissions of any Contractor, or of any subcontractor or supplier, or any of the Contractor(s) or subcontractor's or suppliers agents or employees or any other persons (except Engineers own employees and agents) at the site or otherwise furnishing or performing any of the Contractor(s)' work; however, nothing contained in paragraphs 1.6.1 through 1.6.11 inclusive, shall be construed to release Engineer from liability for failure to properly perform duties and responsibilities assumed by Engineer in the Contract Documents. The duties and responsibilities of the Engineer during the Construction Phase are amended and supplemented as indicated in Paragraph 6, Exhibit A "Further Description of Basic Services and Related Matters". 1.7 OPERATIONAL PHASE During the Operational Phase, Engineer shall: 1.7.1 furnish the deliverable items referred to in Section 1.6.10 and in the Operational Phase and present and review them in person with Owner. 1.7.2 Define in Contract Documents, the Contractor(s) (and or Vendor(s)) responsibility in connection with the start up, refining, and adjustment of any equipment or system. 1.7.3 Define in Contract Documents the Contractor(s) (and or Vendor(s)) responsibility for training owners staff to operate and maintain any equipment or system and for reviewing pertinent manuals, submittals, shop drawings, and warranties supplied by the Contractor(s), Vendor(s), or Manufacturer(s) as the case may be. 1.7.4 Coordinate, attend and participate in the start up and training orientations as described in paragraphs 1.7.2 and 1.7.3. 1.7.5 RECORD DRAWINGS. Engineer shall furnish the Owner a set of marked up prints, drawings and other data kept by the Contractor(s), and Project Representative (if employed by the ENGINEER) in a form and manner that clearly depicts significant changes made during the construction process. 1.7.6 At a time eleven (11) months following Substantial Completion of the project (one month prior to expiration of the Contractors warranty period), the Engineer, in the • • company of the Owner, will visit the project to observe any apparent deficiencies in the completed construction, and document any items observed in a written report issued to the Contractor and Owner. 1.7.7 During the Operational Phase, the Engineer will assist the Owner in consultations and discussions with Contractor concerning the correction of deficiencies brought to the Engineer's attention, and when appropriate, review or make. written recommendations regarding replacement or correction of the Work as proposed by the Contractor. 0 • 2.1 SERVICES REQUIRING AUTHORIZATION IN ADVANCE If authorized in writing by Owner, Engineer shall furnish or obtain from others Additional Services of the types listed in paragraphs 2.1.1 through 2.1.15, inclusive. These services are not included as part of Basic Services except to the extent provided otherwise in Exhibit A "Further Description of Basic Services and Related Matters'; these will be paid for by Owner, as indicated in Section 5. 2.1.1 Preparation of applications and supporting documents (in addition to those furnished under Basic Services) for private or governmental grants, loans or advances in connection with the Project; preparation or review of environmental assessments and impact statements; review and evaluation of the effect on the design requirements of the Project of any such statements and documents prepared by others; and assistance in obtaining approvals of authorities having jurisdiction over the anticipated environmental impact of the Project. 2.1.2 Services to make measured drawings of or to investigate existing conditions or facilities, or to verify the accuracy of drawings or other information furnished by Owner. 2.1.3 Services resulting from significant changes in the general scope, extent or character of the Project or its design including, but not limited to, changes in size, complexity, Owner's schedule, character of construction or method of financing; and revising previously accepted studies, reports, design documents or Contract Documents when such revisions are required by changes in laws, rules, regulations, ordinances, codes or orders enacted subsequent to the preparation of such studies, reports or documents, or are due to any other causes beyond Engineer's control. 2.1.4 Providing the services of a Resident Project Representative during the Construction Phase. 2.1.5 Preparing documents for alternate bids requested by Owner for Contractor(s)' work which is not executed or documents for out -of -sequence work. 2.1.6 Investigations and studies involving, but not limited to, detailed consideration of operations, maintenance and overhead expenses; providing value engineering during the course of design; the preparation of feasibility studies, cash flow and economic evaluations, rate schedules and appraisals; assistance in obtaining financing for the Project; evaluation processes available for licensing and assisting Owner in obtaining process licensing; detailed quantity surveys of material, equipment and labor; and audits • or inventories required in connection with construction performed by Owner. 2.1.7 Furnishing services of independent professional associates and consultants for other than Basic Services (which include, but are not limited to, customary structural, mechanical and electrical engineering and customary architectural design incidental thereto); and providing data or services of the types described in paragraph 3.4 when Owner employs Engineer to provide such data or services in lieu of furnishing the same in accordance with paragraph 3.4. 2.1.8 If Engineer's compensation is on the basis of a lump sum or percentage of Construction Cost or cost-plus a fixed fee method of payment, services resulting from the award of more separate prime contracts for construction, materials, equipment or services for the Project shall be compensated in accordance with paragraph 5.1.2. 2.1.9 Services during out-of-town travel required of Engineer other than visits to the site or Owner's office as required by Section 1. 2.1.10 Assistance in connection with bid protests, re -bidding or renegotiating contracts for construction, materials, equipment or services, except when such assistance is required to complete services called for in paragraph 6.2.2.5. 2.1.11 Providing any type of property surveys or related professional services needed for the transfer of interests in real property and field surveys for design purposed and any necessary surveys and staking to enable Contractor(s) to proceed with their work; and providing other special field surveys. 2.1.12 Preparation of operating, maintenance and staffing manuals to supplement Basic Services under paragraph 1.7.3. 2.1.13 Preparation of a set of reproducible record prints of drawings showing those significant changes made during the construction process, based on the marked up prints, drawings and other data furnished by Contractor(s) and Resident Project Representative to Engineer. Prior to preparation of record drawings the Engineer and Owner will mutually agree on which changes are considered significant. 2.1.14 Preparing to serve or serving as a consultant or witness for Owner in any litigation, arbitration or other legal or administrative proceeding involving the Project (except for assistance in consultations which is included as part of Basic Services under paragraphs 1.2.3 and 1.4.2). 2.1.15 Additional services required in connection with the Project, including services required which were not furnished by Owner in accordance with Section 3, and services not otherwise provided for in this Agreement. 2.2 REQUIRED ADDITIONAL SERVICES When required by the Contract Documents in circumstances beyond Engineer's control, Engineer shall fumish or obtain from others, as circumstances require during construction Additional Services of the types listed in paragraphs 2.2.1 through 2.2.6, inclusive (except to the extent otherwise provided in Exhibit A "Further Description of Basic Services and Related Matters"). These services are not included as part of Basic Services. Engineer shall advise Owner promptly of need for required additional services. If the Owner is in agreement, Owner shall provide authorization to Engineer for such Additional Services, which will be paid for by Owner as indicated in Section 5. 2.2.1 Services in connection with work directive changes and change orders to reflect changes requested by Owner if the resulting change in compensation for Basic Services is not commensurate with the addition services rendered. 2.2.2 Services in making revisions to Drawings and Specifications occasioned by the Owner's acceptance of substitutions proposed by Contractor(s); and services after the award of each contract in evaluation and determining the acceptability of an unreasonable or excessive number of substitutions proposed by Contractor. 2.2.3 Services resulting from significant delays, changes or price increases occurring as a direct or indirect result of material, equipment or energy shortages. 2.2.4 Additional or extended services during construction made necessary by (1) work damaged by fire or other cause during construction, (2) a significant amount of defective or neglected work of any Contractor, (3) acceleration of the progress schedule involving services beyond normal working hours, and (4) default by any Contractor. 2.2.5 Services (other than Basic Services during the Operation Phase) in connection with any partial utilization of any part of the Project by Owner, prior to Substantial Completion. 2.2.6 Evaluating an unreasonable or extensive number of claims submitted by Contractor(s) or others in connection with the work. Owner shall do the following in a timely a manner so as not to delay the services of Engineer: 3.1 Designate in writing a person to act as Owners representative with respect to the services to be rendered under this Agreement. Such person shall have complete authority to transmit instructions, receive information, interpret and define Owner's policies and decisions with respect of Engineer's services for the Project. 3.2 Provide all criteria and full information as to Owners requirements for the Project, including design objectives and constraints, space, capacity and performance requirements, flexibility and expandability, and any budgetary limitations; and furnish copies of all design and construction standards which Owner will require to be included in the Drawings and Specifications. 3.3 Assist Engineer by placing at Engineers disposal all available information pertinent to the Project including previous reports and any other data relative to design or construction of the Project. 3.4 Furnish to Engineer, as required for performance of Engineers Basic Services (except to the extent provided otherwise in Exhibit A "Further Description of Basic Services and Related Matters"), the following: 3.4.1 Data prepared by or services of others, including without limitation; borings, probings and subsurface explorations, hydrographic surveys, laboratory tests and inspections of samples, materials and equipment; 3.4.2 appropriate professional interpretations of all of the foregoing; 3.4.3 environmental assessment and impact statements; 3.4.4 property, boundary, easement, and right-of-way, topographic, and utility surveys and related office computations and drafting; 3.4.5 property descriptions; 3.4.6 zoning, deed and other land use restriction; and 3.4.7 other special data or consultation not covered in Section 2; all of which Engineer may use and rely upon in performing services under this Agreement. 3.5 Provide engineering surveys to establish reference points for construction (except to the extent provided otherwise in Exhibit A "Further Description of Basic Services and Related Matters") to enable Contractor(s) to proceed with the layout of the work. 3.6 Arrange for access to and make all provisions for Engineer to enter upon public and private property as required for Engineer to perform services under this Agreement. 3.7 Examine all studies, reports, sketches, Drawings, Specifications, proposals and other documents presented by Engineer, obtain advice of an attorney, insurance counselor and other consultants as Owner deems appropriate for such examination and render in writing decisions pertaining thereto within a reasonable time so as not to delay the services of Engineer. 3.8 Furnish approvals and permits from all governmental authorities having jurisdiction over the project and such approvals and consents from others as may be necessary for completion of the Project. Engineer will assist the Owner in the preparation of said permits. 3.9 Provide such accounting, independent cost estimating and insurance counseling services as may be required for the Project, such legal services as Owner may require or Engineer may reasonably request with regard to legal issues pertaining to the Project including any that may be raised by Contractor(s), such auditing service as Owner may require to ascertain how or for what purpose any Contractor has used the moneys paid under the construction contract, and such inspection services as Owner may require to ascertain that Contractor(s) are complying with any law, rule, regulation, ordinance, code or order applicable to their furnishings and performing the work. 3.10 If Owner designates a person to represent Owner as the site who is not Engineer or Engineer's agent or employee, the duties, responsibilities and limitations of authority of such other person and the effect thereof on the duties and responsibilities of Engineer and the Resident Project Representative (and any assistants) will be set forth in an exhibit that is to be identified, attached to and made a part of this Agreement before such services begin. 3.11 If more than one prime contract is to be awarded for construction, materials, equipment and services for the entire Project, designate a person or organization to have authority and responsibility for coordinating the activities among the various prime contractors. 3.12 Furnish to Engineer data or estimated figures as to Owner's anticipated costs for services to be provided by others for Owner (such as services pursuant to paragraphs • 0 3.7 through 3.11, inclusive and other costs of the types referred to in paragraph 1.2.6) so that Engineer may make the necessary findings to support opinions of probable Total Project Costs. 3.13 Attend the pre -bid conference, bid opening, pre -construction conferences, construction progress and other job related meetings and substantial completion inspections and final payment inspections. 3.14 Give prompt written notice to Engineer whenever Owner observes or otherwise becomes aware of any development that affects the scope or timing of Engineer's services, or any defect or nonconformance in the work of any Contractor. 3.15 Furnish, or direct Engineer to provide, Additional Services as stipulated in paragraph 2.1 of this Agreement or other services as required. 3.16 During the Operational Phase, the Owner will document all warranty items brought to the Contractor's attention in writing to the Engineer. 3.17 Bear all costs incident to compliance with the requirements of this Section 3. 3.18 During the Construction Phase, provide and pay for the services of a materials testing laboratory to perform the testing requirements as stated in the technical specifications. 4.1 The provisions of this Section 4 and the various rates of compensation for Engineer's services provided for elsewhere in this Agreement have been agreed to in anticipation of the orderly and continuous progress of the Project through completion of the Construction Phase. Engineer's obligation to render services hereunder will extend for a period, which may reasonably be required for the design, award of contracts, construction and initial operation of the Project including extra work and required extensions thereto. If in Exhibit A "Further Description of Basic Services and Related Matters specific periods of time for rendering services are set forth or specific dates by which services are to be completed are provided and if such dates are exceeded through no fault of Engineer, all rates, measures and amounts of compensation provided herein shall be subject to equitable adjustment. 4.2 Omitted. 4.3 Upon written authorization from Owner, Engineer shall proceed with the performance of the services called for in the Design Development Phase, and shall submit preliminary design documents and a revised opinion of probable Total Project Costs within the stipulated period indicated in paragraph 3 of Exhibit A "Further Description of Basic Services and Related Matters". 4.4 After acceptance by Owner of the Design Development Phase documents, indicating any specific modifications or changes in the general scope, extent or character of the Project desired by Owner, and upon written authorization from Owner, Engineer shall proceed with the performance of the services called for in the Construction Documents Phase; and shall deliver Contract Documents and a revised opinion of probable Total Project Costs for all work of Contractor(s) on the Project within the stipulated period indicated in paragraph 4 of Exhibit A "Further Description of Basic Services and Related Matters". 4.5 Engineer's services under the Design Development and Construction Documents shall each be considered complete at the earlier of (1) the date when the submissions for that phase have been accepted by Owner or (2) thirty days after the date when such submissions are delivered to Owner for final acceptance, plus in each case such additional time as may be required for obtaining approval of governmental authorities having jurisdiction to approve the design of the Project. 4.6 After acceptance by Owner of the Engineer's Drawings, Specifications and Construction Documents Phase documentation including the most recent opinion of probable Total Project Cost and upon written authorization to proceed, Engineer shall proceed with performance of the services called for in the Bidding or Negotiating Phase. This Phase shall terminate and the services to be rendered thereunder shall be considered complete upon commencement of the Construction Phase or upon cessation of negotiations with prospective Contractor(s) except as may otherwise be required to complete their services called for in paragraph 6.2.2.5). 4.7 The Construction Phase will commence with the execution of the prime contract to be executed for the work of the Project or any part thereof, and will terminate the date of the final inspection. Construction Phase services may be rendered at different times in respect of separate prime contracts if the Project involves more than one prime contract. 4.8 The Operational Phase will commence during the Construction Phase and will terminate one year after the date of Substantial Completion of the prime contract for construction, materials and equipment on which substantial completion is achieved. 4.9 If Owner has requested significant modifications or changes in the general scope, extent or character of the Project, the time of performance of Engineer's services shall be adjusted equitably. 4.10 If Owner fails to give prompt written authorization to proceed with any phase of services after completion of the immediately preceding phase, or if the Construction Phase has not commenced within 180 calendar days (plus such additional time as may be required to complete the services called for under paragraph 6.2.2.5) after completion of the Final Design Phase, Engineer may, after giving seven days written notice to Owner, suspend services under this Agreement. 4.11 If Engineer's services for design or during construction of the Project are delayed or suspended in whole or in part by Owner for more than three months for reasons beyond Engineer's control, Engineer shall on written demand to Owner (but without termination of this Agreement) be paid as provided in paragraph 4.1.1. If such delay or suspension extends for more than one year for reasons beyond Engineer's control, or if Engineer for any reason is required to render Construction Phase services in respect of any prime contract for construction, materials or equipment more than 60 days after Substantial Completion is achieved under that contract, the various rates of compensation provided for elsewhere in this Agreement may be subject to equitable adjustment. 4.12 In the event that the work designed or specified by Engineer is decided to be furnished or performed under more than one prime contract, the Engineer will be compensated in accordance with paragraph 5.1.2. 5.1 Omutted. 5.1.1 For Basic Services. Owner shall pay Engineer for Basic Services rendered under Section 1 (as amended and supplemented by Exhibit A "Further Description of Basic Services and Related Matters") as follows: 5.1.1.1 A lump sum in the amount of nineteen thousand six hundred dollars ($ 19,600.00). Progress payments for Basic Services in each phase shall total the following percentages of the total basic compensation payable: Design Development Phase (30%) $ 5,880.00 Construction Documents Phase (45%) $ 8,820.00 Bidding Phase (05%) $ 980.00 Construction Phase (15%) $ 2,940.00 Operational Phase (05%) $ 980.00 Total Compensation for Basic Services $ 19-600.00 5.1.1.2 Should the Engineer's Preliminary Construction Cost Estimate or the lowest bona fide proposal or bid amount exceed the amount in section 5.1 as available for construction, the Engineer may be required at the discretion of the Owner to amend the design to bring the construction cost estimate or bid amount within the amount specified without additional cost to the Owner. 5.1.1.3 If the work is not carried on after Construction Document Phase and drawings, specifications and Construction Documents are completed and approved, the Owner will pay the Engineer through the Construction Documents Phase in accordance with Section 5.1.1 above; or, if the bids have been received, the Owner will pay the Engineer eighty percent (80%) of the fee as specified in Section 5.1.1.1. 5.1.1.4 The ENGINEER'S responsibility to provide Basic Services for the Construction Phase under this Agreement commences with the award of the Contract for Construction and terminates sixty (60) days after a) the actual date of Substantial Completion. Services provided after this date shall be considered Additional Services with the compensation due in accordance with Subparagraph 5.1.2 of this Agreement and shall require OWNER'S written authorization. 5.1.2 For Additional Services. Owner shall pay Engineer for Additional Services rendered under Section 2 as follows: On an hourly basis, using Standard Office Billing Rates and Categories identified in paragraph 5.5 of this Agreement. 5.1.2.1 Resident Project Services. For Services of Engineers Resident Project Representative (and assistants) fumished under paragraph 1.6.2.1., compensation shall be computed as follows: On an hourly basis, using Standard Office Billing Rates and Categories identified in paragraph 5.5 of this Agreement. 5.1.2.2 Professional Associates and Consultants. For services and Reimbursable Expenses of independent professional associates and consultants employed by Engineer to render Additional Services pursuant to paragraph 2.1 or 2.2, the amount billed to Engineer therefor times a factor of 1.10. 5.1.3 For Reimbursable Expenses. In addition to payments provided for in paragraphs 5.1.1 and 5.1.2, Owner shall pay Engineer the actual costs of all Reimbursable Expenses incurred in connection with all Basic and Additional Services. 5.1.4 The term 'Reimbursable Expenses" has the meaning assigned in paragraph 5.4. 5.2 TIMES OF PAYMENTS. 5.2.1 Engineer shall submit monthly statement for Basic and Additional Services rendered and for Reimbursable Expenses incurred. The statements will be based upon Engineers estimate of the proportion of the total services actually completed at the time of billing. Owner shall make prompt monthly payments in response to Engineers monthly statements. 5.3 OTHER PROVISIONS CONCERNING PAYMENTS. 5.3.1 Invoices for basic and additional services shall be mailed on or before the first (1st) of the month and shall be payable on or before the fifteenth (15th) of the month. 5.4. Reimbursable Expenses are in addition to compensation for Basic and Additional Services and include expenses incurred by the Engineer and Engineers employees and consultants in the interest of the Project, as identified in the following clauses. 5.4.1 Expenses in connection with authorized out-of-town travel; long-distance communications; and fees paid for securing approval of authorities having jurisdiction over the Project. Expenses for automobile travel during the performance of basic services shall be considered incidental. For private automobile travel beyond performance of basic services mileage will be reimbursed at $0.365/mile. 5.4.2 Expense of reproductions, postage and handling of Drawings, Specifications and other documents, photographic materials and developing expense, long-distance phone calls, and faxes. 5.4.3 If authorized in advance by the Owner, expense of overtime work requiring higher than regular rates. 5.4.4 Expense of renderings, models and mock-ups requested by the Owner. 5.4.5 Expense of additional insurance coverage or limits, including professional liability insurance, requested by the Owner in excess of that normally carried by the Engineer and Engineer's consultants. 5.5 The following table of Standard Office Billing Rates shall be in effect where applicable under paragraph 5.1.2 and 5.1.2.1 of this Agreement: Principal Professional Engineer Engineer In Training Resident Project Representative CAD Operator/drafter Clerical $ 170.00 per hour $ 151.00 per hour $ 88.00 per hour $ 79.00 per hour $ 65.00 per hour $ 61.00 per hour If requested by Owner, the Engineer will submit a list of employees, their appropriate title and billing rates prior to authorization of services that will be compensated by the Standard Office Billing Rates in paragraph 5.5. C� • 6.1 CONSTRUCTION COST The construction cost of the entire Project (herein referred to as "Construction Cost") means the total cost to Owner of those portions of the entire Project designed and specified by Engineer, but it will not include Engineer's compensation and expenses, the cost of land, rights -of -way, or compensation for or damages to properties, nor will it include Owner's legal, accounting, insurance counseling or auditing services, or interest and financing charges incurred in connection with the Project or the cost of other services to be provided by others to Owner pursuant to paragraphs 3.7 through 3.11, inclusive. (Construction Cost is one of the items comprising Total Project Costs which is defined in paragraph 1.2.4.) 6.2 OPINIONS OF COST 6.2.1 Since the Engineer has no control over the cost of labor, materials, equipment or services furnished by others, or over the Contractor(s)' methods of determining prices, or over competitive bidding or market conditions, Engineer's best judgment as an experienced and qualified professional, familiar with the construction industry; but Engineer cannot and does not guarantee that proposals, bids or actual Total Project or Construction Costs will not vary from opinions of probable cost prepared by Engineer. If prior to the Bidding or Negotiating Phase Owner wishes greater assurance as to Total Project or Construction Costs, Owner shall employ an independent cost estimator as provided in paragraph 3.9. 6.2.2 If a Construction Cost limit is established by written agreement between Owner and Engineer and specifically set forth in this Agreement as a condition thereto, the following will apply: 6.2.2.1 The acceptance by Owner at any time during the Basic Services of a revised opinion of probable Total Project or Construction Costs in excess of the then established cost limit will constitute a corresponding revision in the Construction Cost limit to the extent indicated in such revised opinion. 6.2.2.2 Any Construction Cost limit so established will include a contingency of four percent (4%) unless another amount is agreed upon in writing. 6.2.2.3 Engineer will be permitted to determine what types of materials, equipment and component systems are to be included in the Drawings and Specifications and to make reasonable adjustments in the general scope, extent and character of the Project to 0 . bring it within the cost limit. 6.2.2.4 If the Bidding or Negotiating Phase has not commenced within six months after completion of the Final Design Phase, the established Construction Cost limit will not be binding on Engineer, and Owner shall consent to an adjustment in such cost limit commensurate with any applicable change in the general level of prices in the construction industry between the date of completion of the Final Design Phase and the date on which proposals or bids are sought. 6.2.2.5 If the lowest bona fide proposal or bid exceeds the established Construction Cost limit, Owner shall (1) give written approval to increase such cost limit, (2) authorize negotiating or re -bidding the Project within sixty (60) days, or (3) cooperate in revising the Projects general scope, extent or character to the extent consistent with the Project's requirements and with sound engineering/architectural practices. In the case of (3), Engineer shall modify the Contract Documents as necessary to bring the Construction Cost within the cost limit. No compensation will be made for services in making such modifications per paragraph 5.1.1.2 The providing of such service will be the limit of Engineer's responsibility in this regard and, having done so, Engineer shall be entitled to payment for services in accordance with this Agreement and will not otherwise be liable for damages attributable to the lowest bona fide proposal or bid exceeding the established Construction Cost. 7.1 TERMINATION. This Agreement may be terminated by either party upon thirty (30) days prior written notice to the other party in the event of substantial failure by the other party to fulfill its obligations under this Agreement through no fault of the terminating party. 7.2 REUSE OF DOCUMENTS. All documents including Drawings and Specifications prepared or furnished by Engineer (and Engineers independent professional associates and consultants) pursuant to this Agreement are instruments of service in respect of the Project. The ownership and property interest therein shall be granted to the Owner when the Project is completed. Engineer shall supply a set of reproducible record drawings for the Owner in accordance with Section 1.3.6. Owner may make and retain copies for information and reference in connection with the use and occupancy of the Project by Owner and others; however, such documents are not intended or represented to be suitable for reuse by Owner or others on extensions of the Project or on any other project. Any reuse by Owner without written verification or adaptation by Engineer for the specific purpose intended will be at Owner's sole risk and without liability or legal exposure to Engineer, or to Engineers independent professional associates or consultants, and Owner shall indemnify and hold harmless Engineer and Engineer's independent professional associates and consultants from all claims, damages, losses and expenses including attorneys' fees arising out of or resulting therefrom. Any such verification or adaptation will entitle Engineer to further compensation at rates to be agreed upon by Owner and Engineer. 7.3 INSURANCE During term of this agreement, Engineer shall maintain levels of insurance as described in Exhibit D. 7.3.1 Engineer shall procure and maintain insurance for protection from claims under worker's compensation acts, claims for damages because of bodily injury, sickness or disease or death of any and all employees or of any person other than such employees, and from claims or damages because of injury to or destruction of property including loss of use resulting therefrom. 7.4 CONTROLLING LAW This Agreement is to be governed by the law of the principal place of business of Owner. 7.5 SUCCESSORS AND ASSIGNS 7.5.1 Owner and Engineer each is hereby bound and the partners, successors, executors, administrators and legal representatives of Owner and Engineer (and to the extent permitted by paragraph 7.5.2 the assigns of Owner and ENGINEER) are hereby bound to the other party to this Agreement and to the partners, successors, executors, administrators and legal representatives (and said assigns) of such other party, in respect of all covenants, agreements and obligations of this Agreement. 7.5.2 Neither Owner nor Engineer shall assign, sublet or transfer any rights under or interest in (including, but without limitation, moneys that may become due or moneys that are due) this Agreement without the written consent of the other, except to the extent that any assignment, subletting or transfer is mandated by law or the effect of this limitation may be restricted by law. Unless specifically stated to the contrary in any written consent to an assignment, no assignment will release or discharge the assignor from any duty or responsibility under this Agreement. Nothing contained in this paragraph shall prevent Engineer from employing such independent professional associates and consultants, as Engineer may deem appropriate to assist in the performance of basic services hereunder. 7.5.3 Nothing under this agreement shall be construed to give any rights or benefits in this Agreement to anyone other than Owner and Engineer, and all duties and responsibilities undertaken pursuant to this Agreement will be for the sole and exclusive benefit of Owner and Engineer and not for the benefit of any other party. 7.6 DISPUTE RESOLUTION The parties will attempt in good faith to resolve any controversy or claim arising out of or relating to this agreement promptly by negotiation between senior executives of the parties who have authority to settle the controversy. The disputing party shall give the other party written notice of the dispute. Within ten days after receipt of said notice, the receiving party shall submit to the other a written response. The notice and response shall include (a) a statement of each party's position and a summary of the evidence and arguments supporting its position, and (b) the name and title of the executive who will represent that party. The executive shall meet at a mutually acceptable time and place within twenty days of the date of the disputing party's notice and thereafter as often as they reasonably deem necessary to exchange relevant information and to attempt to resolve the dispute. If the controversy or claim has not been resolved within thirty days of the meeting r� L of the senior executives, the parties shall endeavor to settle the dispute by mediation under the Center for Public Resources Model Procedure for Mediation of Business Disputes or pursue amicable termination. If the matter has not been resolved pursuant to the aforesaid mediation procedure within sixty days of the commencement of such procedure, (which period may be extended by mutual agreement), or if either party will not participate in such procedure, the parties shall pursue amicable termination. 0 0 8.1 This Agreement is subject to the following special provisions. 8.2 The following Exhibits are attached to and made a part of this Agreement: 8.2.1 Exhibit A "Further Descriptions of Basic Services and Related Matters" consists of 3-pages. 8.2.2 Exhibit B "Duties, Responsibilities and Limitations of Authority of Resident Project Representative" consists of B-pages. 8.2.3 Exhibit C "Project Organizational Chart and Communication" consists of 1page. 8.2.4 Exhibit D 'Insurance" consists of 1 page. 8.2.5 Exhibit E "Design Concept Memorandum" consists of 2 pages. 8.3 This Agreement (consisting of 41 pages) together with the Exhibits and schedules identified above constitutes the entire agreement between Owner and Engineer and supersedes all prior written or oral understandings. This Agreement and said Exhibits and schedules may only be amended, supplemented, modified or cancelled by a duly executed written instrument. IN WITNESS WHEREOF, the parties hereto have made and executed this Agreement as of the day and year first above written. ENGINEER: HUITT- OLLARS, INC. President (SEAL) City Attorney • 0 EXHIBIT A FURTHER DESCRIPTION OF Engineer BASIC SERVICES AND RELATED MATTERS This is an Exhibit attached to, made a part of and incorporated by reference with the Agreement made on December A. 9010between The City of La Porte, Texas (OWNER) and Huitt-Zollars, Inc. (ENGINEER) providing for professional services. The Basic Services of Engineer as described in Section 1 of the Agreement are amended or supplemented as indicated below and the time periods for the performance of certain services as indicated in Section 4 of the Agreement are stipulated as indicated below. 2. Omitted 3. During the Design Development Phase Engineer shall: a. Provide document sets to Owner as outlined in paragraph 1.3.5. b. Attend up to one (1) meeting with City staff to discuss progress and direction of the work. After the meeting Engineer shall circulate for approval a set of minutes that outline the key topics discussed and any decisions, directions, etc. agreed upon by Owner and Engineer. The Design Development Phase Services will be completed and Contract Documents and Engineer's opinion of costs submitted within twenty-one (21) days following written authorization from Owner to Engineer to proceed with that phase of services. 4. During the Construction Documents Phase Engineer shall: Prepare construction documents ready for bidding, including the following tasks: a. Construction drawings will be prepared at appropriate scale and include: Cover Sheet/Area Maps Site Plan with Profile Detail Sheets b. Concurrent with the development of design drawings, the Engineer will develop contract documents and specifications. Final specifications will be presented to Owner for approval. C. Attend up to one (1) meeting with City staff to discuss project and direction of the work. After the meeting Engineer shall circulate for approval a set of minutes that outline the key topics discussed and any decisions, directions, etc. agreed upon by Owner and Engineer. d. Make formal submittal of Drawings, Specifications and Contract Documents for the Owner's review at the following completion stages: Pre -Final - 90 % of Detailed Design provide 3 sets. Final -100% of Detailed Design provide 5 sets. e. The Engineer will develop a final 'Total Probable cost" estimate. f. Provide document sets to Owner as outlined in Paragraph 1.4.5. The Construction Document Phase Services will be completed and the Report submitted within fourteen (14) calendar days following written authorization from Owner to Engineer to proceed with that phase of services. 5. During the Bidding or Negotiating Phase Engineer shall: a. Assist Owner in conducting any pre -bid conferences as required by City of La Porte Ordinance No. 1476-A. The Engineer shall review. the Equipment: and Experience Statements submitted by the Contractor, check references and prepare a written report and recommendation based on their findings. The Engineer shall not be responsible for evaluating the financial statement submitted by Contractors. The Bidding or Negotiating Phase Services will be completed per terms of paragraph 4.6. 6. During the Construction Phase Engineer shall: a. During the Construction Phase the Engineer shall make visits to the site at intervals appropriate to the various stages of construction. After contractor has submitted construction schedules, the Owner and Engineer will mutually agree on key stages of construction that will warrant and require visits by Engineer. The Construction Phase Services will be completed per terms of paragraph 4.7. • • .■ . A LISTING OF THE DUTIES, RESPONSIBILITIES AND LIMITATIONS OF AUTHORITY OF THE RESIDENT PROJECT REPRESENTATIVE. This is an Exhibit attached to, made a part of and incorporated by reference with the Agreement made on Dpremher Q,�between The City of La Porte, Texas (OWNER) and Huitt-Zollars, Inc. (ENGINEER) providing for professional services. Owner may furnish a Resident Project Representative (RPR), assistants and other field staff to assist Engineer in observing performance of the work of Contractor. Through more extensive on -site observations of the work in progress and field checks of materials and equipment by the RPR and assistants, Engineer shall endeavor to provide further protection for Owner against defects and deficiencies in the work of Contractor; but, the furnishing of such services will not make Engineer responsible for or give Engineer control over construction means, methods, techniques, sequences or procedures or for safety precautions or programs, or responsibility for Contractors failure to perform the Work in accordance with the Contract Documents and in particular the specific limitations set forth in paragraph 1.6 of the Agreement are applicable. The duties and responsibilities of the RPR are limited to those of Engineer in Engineer's agreement with the Owner and in the construction Contract Documents, and are further limited and described as follows: A. General RPR is Engineer's agent at the site, will act as directed by and under the supervision of Engineer, and will confer with Engineer regarding RPR's actions. RPR's dealings in matters pertaining to the on -site work shall in general be with Engineer and Contractor keeping Owner advised as necessary. RPR's dealings with subcontractors shall only be through or with the full knowledge and approval of Contractor. RPR shall generally communicate with Owner with the knowledge of and under the direction of Engineer. B. Duties and Responsibilities of RPR 1. Schedules: Review the progress schedule, schedule of Shop Drawing submittals and schedule of values prepared by Contractor and consult with Engineer concerning acceptability. 2. Conferences and Meetings: Attend meetings with Contractor, such as pre -construction 3. Liaison: conferences, progress meetings, job conferences and other project - related meetings, and prepare and circulate copies of minutes thereof. a. Serve as Engineer's liaison with Contractor, working principally through Contractor's superintendent and assist in understanding the intent of the Contract Documents; and assist Engineer in serving as Owner's liaison with Contractor when Contractors operations affect Owner's on -site operations. b. Assist in obtaining from Owner additional details or information, when required for proper execution of the Work. 4. Shop Drawings and Samples: a. Record date of receipt of Shop Drawings and samples. b. Receive samples, which are furnished at the site by Contractor, and notify Engineer of availability of samples for examination. C. Advise Engineer and Contractor of the commencement of any Work requiring a Shop Drawing or sample if the submittal has not been approved by Engineer. 5. Review of Work, Rejection of Defective Work, Inspections and Tests: a. Conduct on -site observations of the Work in progress to assist Engineer in determining if the Work is in general proceeding in accordance with the Contract Documents. b. Report to Engineer whenever RPR believes that any Work is unsatisfactory, faulty or defective or does not conform to the Contract Documents, or has been damaged, or does not need the requirements of any inspection, test or approval required to be made; and advise Engineer of Work the RPR believes should be corrected or rejected or should be uncovered for observation, or requires special testing, inspection or approval. C. Verify that tests, equipment and systems startups and LI • operating and maintenance training are conducted in the presence of appropriate personnel, and that Contractor maintains adequate records thereof; and observe, record and report to Engineer appropriate details relative to the test procedures and startups. d. Accompany visiting inspectors representing public or other agencies having jurisdiction over the Project, record the results of these inspections and report to Engineer. 6. Interpretation of Contract Documents: Report to Engineer when clarifications and interpretations of the Contract Documents are needed and transmit to Contractor clarifications and interpretations as issued by Engineer. 7. Modifications: Consider and evaluate Contractor's suggestions for modifications in Drawings or Specifications and report with RPR's recommendations to Engineer. Transmit to Contractor decisions as issued by Engineer. 8. Records: a. Maintain at the job site orderly files for correspondence, report of job conferences, Shop Drawings and samples, reproductions of original Contract Documents including all Work Directive Changes, Addenda, Change Orders, Field Orders, additional Drawings issued subsequent to the execution of the Contract, Engineer's clarifications and interpretations of the Contract Documents, progress reports, and other Project related documents. b. Keep a diary or log book, recording Contractor hours on the job site, weather conditions, data relative to questions of Work Directive, Change Orders or changed conditions, list of job site visitors, daily activities, decisions, observations in general, and specific observations in more detail as in the case of observing test procedures; and send copies to Engineer. C. Record names, addresses and telephone numbers of all Contractors, subcontractors and major suppliers of materials and equipment. • • 9. Reports: a. Furnish Engineer periodic reports as required of progress schedule and schedule of Shop Drawing and sample submittals. b. Consult with Engineer in advance of scheduled major tests, inspections or start of important phases of the Work. C. Draft proposed Change Orders and Work Directive Changes, obtaining backup material from Contractor and recommend to Engineer Change Orders, Work Directive Changes, and Field Orders. d. Report immediately to Engineer and Owner upon the occurrence of any accident. 10. Payment Requests: Review applications for payment with Contractor for compliance with the established procedure for their submission and forward with recommendations to Engineer, noting particularly the relationship of the payment requested to the schedule of values, Work completed, and materials and equipment delivered at the site but not incorporated in the Work. 11. Certificates, Maintenance and Operation Manuals: During the course of the Work, verify that certificates, maintenance and operation manuals and other data required to be assembled and furnished by Contractor are applicable to the items actually installed and in accordance with the Contract Documents, and have this material delivered to Engineer for review and forwarding to Owner prior to final payment for the Work. 12. Completion: a. Before Engineer issues a Certificate of Substantial Completion, submit to Contractor a list of observed items requiring completion or correction. b. Conduct final inspection in the company of Engineer, Owner, and Contractor and prepare a final list of items to be • 11 completed or corrected. C. Observe that all items on final list have been completed or corrected and make recommendations to Engineer concerning acceptance. C. Limitations of Authority Resident Project Representative: 1. Shall not authorize any deviation from the Contract Documents or substitution of materials or equipment, unless authorized by Engineer. 2. Shall not exceed limitations of Engineer's authority as set forth in the Agreement or the Contract Documents. 3. Shall not undertake any of the responsibilities of Contractor, subcontractors or Contractors superintendent. 4. Shall not advise on, issue directions relative to or assume control over any aspect of the means, methods, techniques, sequences or procedures of construction unless such advice or directions are specifically required by the Contract Documents. 5. Shall not advise on, issue directions regarding, or assume control over safety precautions and programs in connection with the Work. 6. Shall not accept Shop Drawing or sample submittals from anyone other then Contractor. 7. Shall not authorize Owner to occupy the Project in whole or in part. 8. Shall not participate in specialized field or laboratory tests or inspections conducted by others except as specifically authorized by Engineer. • • EXHIBIT C COMMUNICATION This is an Exhibit attached to, made a part of and incorporated by reference with the Agreement made on nPnPmherg,9o09 between The City of La Porte, Texas (OWNER) and Huitt-Zollars, Inc. (Engineer) providing for professional services. All correspondence shall include City of La Porte Project Number. All correspondence regarding this Agreement for Professional Services and fee invoicing from Engineer to Owner shall be addressed as follows: City of La Porte Attention: Stephen Barr, Director Parks and Recreation Department 1322 S. Broadway La Porte, TX 77571 Delivery Address: 1322 S. Broadway La Porte, TX 77571 Deliveries related to project design and construction shall be sent to: City of La Porte Attention: Stephen Barr, Director Parks and Recreation Department 1322 S. Broadway La Porte, TX 77571 All correspondence from Owner to Engineer shall be addressed to: Huitt-Zollars, Inc. Attention: Gregory Wine, P.E. 1500 Dairy Ashford, Suite 200 Houston, Texas 77077-3858 • EXHIBIT D INSURANCE This is an exhibit attached to, made a part of and incorporated by reference into the Agreement made on December 9. 9009 be een the City of La Porte (Owner) and Huitt-Zollars, Inc. (Engineer) providing for professional services. Section 7.3 of the Agreement is amended and supplemented to include the following agreement of the parties: The limits of liability for the insurance required by paragraph 7.3 of the Agreement are as follows: By ENGINEER: 1. Worker's Compensation Statutory 2. Employers Liability $1,000,000 3. General Liability General Aggregate $500,000 Each Occurrence (Bodily Injury and Property Damage) $1,000,000 4. Excess Umbrella Liability General Aggregate $500,000 5. Automobile Liability $500,000 6. Professional Liability Each Occurrence $250,000 Aggregate $500,000 D-1 EXHIBIT E DESIGN CONCEPT MEMORANDUM This is an exhibit made a part of and incorporated by reference into the Agreement made on nPnPmhar g, 9009 between the City of La Porte (Owner) and Huitt- Zollars, Inc. (Engineer) providing for professional services. Engineer Supports & Install Prefabricated Steel Pedestrian Bridge over Little Cedar Bayou Park PROJECT OVERVIEW: Engineer shall provide professional services to evaluate the proposed site and design structural supports for installation of an Owner -provided 10' by 165' (nominal) single span (Steadfast) prefabricated steel pedestrian bridge over Little Cedar Bayou at its intersection with South 3ro Street right of way. The City of La Porte, in conjunction with the Harris County Office of Housing and Economic Development, will purchase and install a prefabricated steel bridge at the site described above. Funding for this project is shared by Harris County and the City of La Porte. The project includes the investigation of the site, utilization of the Bridge Engineer's plans and specifications, evaluation of floodway requirements, and other considerations to develop footings and supports for the bridge. The selected firm will monitor construction of the footings and supports, as well as the actual prefabricated bridge final assembly and installation. Time is of the essence for this project. The prefabricated bridge must be installed and operational prior to April 30, 2003. ANTICIPATED PROFESSIONAL SERVICES: The City intends to engage the services of a professional firm to develop the design of footings and installation of the prefabricated bridge at the site. The anticipated scope of work will, at a minimum, include the following: Evaluate Subsurface Conditions and other Factors Relating to Design — After review of bridge engineered plans and specifications for loading, etc., Engineer shall investigate through the use of soil samples, etc. to determine proper loading requirements to design footings and supports for the bridge. Architect shall consider applicable utility siting for the proposed design, including electrical and water components that may be on site. Engineer shall consider special requirements for the site, located in City of La Porte right of way, and assure that the resulting design meets all City, County and State requirements, rules, and procedures required for design and installation. Develop Preliminary Design - Upon authorization, Engineer shall produce preliminary design for the project for consideration by City/County Project Administrator review. Develop Final Design - Upon approval of the preliminary design, Engineer shall proceed with final design details, including site requirements for piers and other considerations to be determined. • E-1 • Monitor Installation of Supports for Bridge - Engineer shall provide a project administrator/ or other personnel as required, to monitor construction of bridge supports and of subsequent bridge installation, to assure that the construction/installation is in compliance with applicable procedures, rules, and requirements of the City, Harris County, and the bridge manufacturer. m Other Services — as agreed to by the City, County, and Engineer. Note: The- successful provider will be required to fill out Debarment, Lower Tier Debarment, and Lobbying Certifications per Harris County requirements. This project also requires a 15% Disadvantaged Business Enterprise goal. END OF DOCUMENT E-2 PURCHASE ORDER ORGANIZATION NAME Mgt Sery - Off. of Econ. Dev. - 2037 PURCHASE ORDER NO. PO 4663 VENDOR NO. DATE CONTRACT AWD. DATE CONTRACT B BOND APPR. DATE REQUEST NO. TERMS OF PAYMENT EST. DELIVERY DATE N%%T_EXN3'00rHARRIS COUNTY AUDITOR c/o ACCOUNTS PAYABLE V CITY OF LAPORTE WATER S H C HOUSING & COMMUNITY DEVELOPN7 1001 PRESTON, SUITE 800 ATTN JOHN JOERNS H 8410 LANTERN POINT DR I HOUSTON, TEXAS 77002 E 604 W FAI RMONT P KWY I HOUS TON , TX 77054 L (713) 755-6573 N LA PORTE , TX 77571 P L All vendors doing business with Hams County should D provide the Taxpayer Identification Number or Social T T Security Number as applicable. Failure to provide this 16 0 information may result in a delay in payment and/or back-up withholding as required by the Internal Revenue PH I LL I PS , DEREK (713) 7 4 7 - 013 2 Service. 0001 1.00 LT AGREEMENT BETWEEN HARRIS COUNTY AND THE CITY OF 150,000 150,000.00 LA PORTE FOR THE PEDESTRIAN BRIDGE PROJECT WILL WILL BENEFIT INDIVIDUALS WHO RESIDE WITHIN THE CITY OF WHOM AT LEAST 515 ARE FROM LOW TO MODERATE INCOME HOUSEHOLDS ALL It. ACCORDANCE WITH AGREEMENT WHICH IS HERE REFERRED TO AND MADE A PART HEREOF AS IF ATTACHED. APPROVED IN COMMISSIONERS COURT OCTOBER 22, 2002 i I NOT VALID, UNLESS APPROVED BY THE HARRIS COUNTY PURCHASING AGENT ICCIIA U/`C f%CTUIC DIID/`UA CC f%DnCD IC f%CDTICl/`ATIf%U DV TUC UAODIC rd"M 'ry FLIKUHASE ORDER OTAL 150,000.00 AUDITOR THAT FUNDS, IN THE AMOUNT OF THE PURCHASE ORDER TOTAL, ARE RCHASE ORDER CONTACT: AVAILABLE. ANITA DUKE ADDITIONAL TERMS AND CONDITIONS ON REVERSE (713) 7 5 5 - 4 64 4 JACK McCOWN, HARRIS COUNTY PURCHASING AGENT COUNTY AUDITOR'S FORM 3501 (REV. WM) ORIGIN L 0 • • 0 REQUEST FOR CITY COUNCIL AGENDA ITEM Agenda Date Requested: December 2 2002 Requested By: .1 hn -Inernin Department: Report: Resolution: Ordinance: X Exhibits: Ordinance 2002- Exhibits: Exhibits: Aiparoariation Source of Funds: Account Number: Amount Budgeted: Amount Requested: Budgeted Item: YES NO SUMMARY & RECOMMENDATION This Ordinance would give the authority to a justice or judge of a municipal court to require a defendant to discharge previously assessed court fines or costs through performance of community service work and whereby community service may be imposed as a condition of an order of deferred disposition. It shall be the official policy of the City of La Porte to establish a community service program as authorized by the provisions of the Texas Code of Criminal Procedure Article 45.54 and 45.521. Community service work ordered by the Municipal Court shall be performed only for a governmental entity or non-profit organization that provides services to the general public that enhance social welfare and the general well-being of the community. Action Required by Council: Ordain Ordinance No. 2002-_ establishing a Community Service Program for the City of La Porte. D D Date ORDINANCE NO. 2002-�bDD AN ORDINANCE ESTABLISHING A COMMUNITY SERVICE PROGRAM FOR THE CITY OF LA PORTEy FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW1 AND PROVIDING AN EFFECTIVE DATE HEREOF. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE: Section 1. The City Council hereby adopts Texas Code of Criminal Procedure Article 45.521, whereby authority is given to a justice or judge of a municipal court to require a defendant to discharge previously assessed court fines or costs through performance of community service work, and Texas Code of Criminal Procedure Article 45.54, whereby community service may be imposed as a condition of an order of deferred disposition. Texas Code of Criminal Procedure Articles 45.521 and 45.54 are incorporated by reference in this section, and made a part of this section as fully as if copied at length in this section; a copy is on file in the office of the City Secretary. Section 2. It shall be the official policy of the City of La Porte to establish a community service program as authorized by the above referenced provisions of the Texas Code of Criminal Procedure. Pursuant to said code, community service work ordered by the Municipal Court shall be performed only for a governmental entity or non-profit organization that provides services to the general public that enhance social welfare and the general well- being of the community. Section 3. The Judge of the Municipal Court of the City of La Porte is hereby authorized to administer the community service program created by this ordinance in any such manner that comports with the conditions and requirements of the Texas Code of Criminal Procedure. ATTEST: Q-0am" 0 "6k. Mart a A. Gillett City Secretary Section 4. The City Council officially finds, determines, recites, and declares that a sufficient written notice of the date, hour, place and subject of this meeting of the City Council was posted at a place convenient to the public at the City Hall of the City for the time required by law preceding this meeting, as required by the Open Meetings Law, Chapter 551, Texas Government Code; and that this meeting has been open to the public as required by law at all times during which this ordinance and the subject matter thereof has been discussed, considered and formally acted upon. The City Council further ratifies, approves and confirms such written notice and the contents and posting thereof. Section S. This Ordinance shall be effective from and after its passage and approval, and it is so ordered. PASSED AND APPROVED, this day of ." ' 2002. CITY OF LA PORTE By: No man L. Malone Mayor 2 ASKINS & ARMSTRONG, P.C. ATTORNEYS AT LAW Fil) 702 W. FAIRMONT PARKWAYP. O. BOX 1218 'NOVNOy 2 6 2002 LA PORTE, TEXAS 77572-1218 KNOX W. ASKINS JOHN D. ARMSTRONG CHARLES R. HUBER, JR. BOARD CERTIFIED . CIVIL TRIAL LAW TEXAS BOARD OF LEGAL SPECIALIZATION CLARK T. ASKINS November 25, 2002 Mr. John Joerns Acting City Manager City of La Porte, Texas RE: Proposed Community Service Ordinance Dear Mr. Joerns: ASSlI'E .jPHON'E '281 471-1886 _—_ TELfO•P.IE'R 281 4 71 -204 7 E-MAIL: kwaskins@aol.com iohn-a(rDswbell.net crhuber(fswbell.net ctaskins0swbell.net Enclosed for your review please find draft ordinance implementing a Community Service program, as per our prior discussion. I have previously provided a copy of same to Judge Ditta of the La Porte Municipal Court. Thank you, and should you have any questions please do not hesitate to contact me at my office. Sincerely, A� A"" Clark Askins Assist. City Atty. Enclosures REQUEST FOR CITY COUNCIL AGENDA ITEM Agenda Date Requested: December 9 2002 Requested By: S. Gillett Department: Public Works IT Report: Resolution: Ordinance: XX Exhibits: Ordinance Exhibits: Enforcement Resort Exhibits: Appropriation Source of Funds: N/A Account Number: N/A Amount Budgeted: N/A Amount Requested: N/A Budgeted Item: YES NO SUMMARY & RECOMMENDATION On November 11, 2002, the City Council conducted a workshop on the proposed enforcement of the Solid Waste Ordinance. At the workshop, staff recommended amendment of the Ordinance to provide for a more progressive fine schedule for violation. As written, the Ordinance provides for a fine "not to exceed $2,000.00". The proposed amendment provides for increasing fines for repeat violations, as follows. First Violation: $100.00 Second Violation: $250.00 Third Violation: Up to $2,000.00 The proposed change will allow for a more progressive fine schedule, and also provide for the payment of a fine without court appearance. The attached Enforcement Report outlines the steps to be taken to enforce the Ordinance. It is anticipated that enforcement can begin on January 1, 2003. Action Required by Council. Approve Ordinance No. 96-2139A amending Chapter 58 of the Code of Ordinances. Approved for City Council Agenda /W ,�V/zv zo 9R John Jo Ming City Manager Date ORDINANCE NO. 96-2139A AN ORDINANCE AMENDING CHAPTER 58, "SOLID WASTE", OF THE CODE OF ORDINANCES OF THE CITY OF LA PORTEy PROVIDING THAT ANY PERSON VIOLATING THE TERMS OF THIS ORDINANCE SHALL BE DEEMED GUILTY OF A MISDEMEANOR AND UPON CONVICTION SHALL BE FINED A SUM NOT TO EXCEED ONE HUNDRED DOLLARS ($100.00) FOR THE FIRST OFFENSE, TWO HUNDRED FIFTY DOLLARS ($250.00) FOR THE SECOND OFFENSE, AND TWO THOUSAND DOLLARS ($2,000.00) FOR THE THIRD OR ANY SUBSEQUENT OFFENSE, AND EACH DAY OF VIOLATION SHALL BE DEEMED A SEPARATE OFFENSEy FINDING COMPLIANCE WITH THE OPEN MEETINGS LAWy AND PROVIDING AN EFFECTIVE DATE HEREOF. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE: Section 1. Chapter 58, "Solid Waste", Section 29, "Penalty for Violation of Article", of the Code of Ordinances is hereby amended, and shall hereafter read as follows, to -wit: "SECTION 29. PENALTY FOR VIOLATION OF ARTICLE. Any individual, as that term is defined in Section 1.07(26), Texas Penal code, who shall violate any provision of this ordinance, shall be guilty of a misdemeanor and upon conviction shall be fined in an amount not to exceed the following: (1) one hundred dollars ($100.00), upon conviction for the first offense; (2) two hundred fifty dollars ($250.00), upon conviction for the second offense; (3) two thousand dollars ($2,000.00), upon conviction for the third or any subsequent offense. Each day of any violation shall be deemed a separate offense." Section 2. The City Council officially finds, determines, recites, and declares that a sufficient written notice of the date, hour, place and subject of this meeting of the City Council was posted at a place convenient to the public at the City Hall of the City for the time required by law preceding this meeting, as required by the Open Meetings Law, Chapter 551, Texas Government Code; and that this meeting has been open to the public as required by law at all times during which this ordinance and the subject matter thereof has been discussed, considered and formally acted upon. The City Council further ratifies, approves and confirms such written notice and the contents and posting thereof. Section 3. This Ordinance shall be effective fourteen (14) days after its passage and approval. The City Secretary shall give notice of the passage of this ordinance by causing the caption hereof to be published in the official newspaper of the City of La Porte at least twice within ten (10) days after the passage of this ordinance. PASSED AND APPROVED, this* day of Ne.'elmal, 2002. ATTEST: Mar a A. Gillett City Secretary APPROVED: 16e4' v+h ark T. Askins Assistant City Attorney C T OF LA PORTE By: Orman t. M alb r fe Mayor 2 SOLID WASTE ORDINANCE ENFORCEMENT REPORT In accordance with discussion held at the City Council Workshop on November 11, 2002 and discussions with the City Prosecutor, the following steps are proposed to begin enforcement of the Solid Waste Ordinance. o January 2003 — Begin new database to track violations by address. Enforcement will be one random zone per cycle, or approximately every 15 days. Inspection of selected zone at least 6 days prior to scheduled pickup. ® First Offence — Door hanger placed identifying the violation and consequences of repeat violations. Personal contact to be made if possible. o Second Offence — Warning letter sent certified and regular mail identifying the violation, and consequences of repeat violations. Personal contact to be made if possible. o Third Offence — Citation issued. Delivered personally if possible. If resident not available, or refuses citation, turned over to Municipal Court for service by City Marshall. Violation subject to $100.00 fine under proposed amendment to Ordinance. m Fourth Offence— Citation issued. Delivered personally if possible. If resident not available, or refuses citation, turned over to Municipal Court for service by City Marshall. Violation subject to $250.00 fine under proposed amendment to Ordinance. o Fifth Offence — Citation issued. Delivered personally if possible. If resident not available, or refuses citation, turned over to Municipal Court for service by City Marshall. Violation subject up to $2,000.00 fine under proposed amendment to Ordinance. • 0 REQUEST FOR CITY COUNCIL AGENDA ITEM Agenda Date Requested: December 9.2002 Requested By: S. Gillett tl Department: Public Works Report: Resolution: Ordinance: XX Exhibits: Ordinance Exhibits: Eneineer's Recommendation Exhibits: Bid Tabulation Appropriation Source of Funds: Series 2002 Bond Account Number: 043 Amount Budgeted: 3,109,621 Amount Requested: 3,108,621 Budgeted Item: YES SUMMARY & RECOMMENDATION Sealed Bids, from prequalified contractors, were received on November 18,2002 for the construction of the Little Cedar Bayou Wastewater Treatment Plant Solids Handling Improvement Project. Seven contractors were prequalified, and five bids were received. This Project is part of the Series 2002 General Obligation Bond Fund. Low bid was received from Craig Sheffield & Austin, Inc. in the amount of. $2,945,500. A total of $3,108,621 is available for the construction of this Project. It is recommended that the City award the bid to Craig, Sheffield & Austin, Inc. in the amount of $2,945,500, and additionally authorize a contingency of $163,121. Action Required by Council: Approve an ordinance authorizing the Acting City Manager to execute a contract with Craig, Sheffield & Austin, Inc. for the Construction of the Little Cedar Bayou Wastewater Treatment Plant Solids Handling Improvement Project in the amount of $2,945,500.00, and additionally authorize a contingency in the amount of $163,121.00. Approved for City Council Agenda 60�t- Joh cting City Manager O D _ Date ORDINANCE NO. 2002-� b0� AN ORDINANCE APPROVING AND AUTHORIZING A CONTRACT BETWEEN THE CITY OF LA PORTE AND CRAIG, SHEFFIELD & AUSTIN, INC., FOR THE LITTLE CEDAR BAYOU WASTEWATER TREATMENT PLANT SOLIDS HANDLING IMPROVEMENT PROJECTI APPROPRIATING $2,945,500.00 PLUS A CONTINGENCY OF $163,121.00, TO FUND SAID CONTRACTy MAKING VARIOUS FINDINGS AND PROVISIONS RELATING TO THE SUBJECTI FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW1 PROVIDING AN EFFECTIVE DATE HEREOF. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE: Section 1. The City Council hereby approves and authorizes the contract, agreement, or other undertaking described in the title of this ordinance, in substantially the form as shown in the document which is attached hereto and incorporated herein by this reference. The City Manager is hereby authorized to execute such document and all related documents on behalf of the City of La Porte. The City Secretary is hereby authorized to attest to all such signatures and to affix the seal of the City to all such documents. City Council appropriates the sum of $2,945,500.00 plus a contingency of $163,121.00, from Fund 043 to fund said contract. Section 2. The City Council officially finds, determines, recites, and declares that a sufficient written notice of the date, hour, place and subject of this meeting of the City Council was posted at a place convenient to the public at the City Hall of the City for the time required by law preceding this meeting, as required by the Open Meetings Law, Chapter 551, Texas Government Code; and that this meeting has been open to the public as required by law at all times during which this ordinance and the subject matter thereof has been discussed, considered and formally acted upon. The City Council further ratifies, approves and confirms such written notice and the contents and posting thereof. • • Section 3. This Ordinance shall be effective from and after its passage and approval, and it is so ordered. PASSED AND APPROVED, this 9th day of December, 2002. ATTEST: c-/ho�,)Ao- O,Ao MartIV A. Gillett City Secretary APPROVED: Knox W. Askins City Attorney CITY OF LA PORTE By: Ndrmant. Malone Mayor F, • • 1800 West Loop South, Suite 1550 Houston, Texas 77027 tel: 713 850-1921 fax: 713 850-9114 November 27, 2002 Steve Gillett Director of Public Works City of La Porte 2963 North 23rd Street P.O. Box 1115 La Porte, Texas 77572-1115 Subject: Little Cedar Bayou WWTP Sludge Handling Facilities Improvements Bid Award Dear Mr. Gillett: Attached to this letter is the bid tabulation for the Little Cedar Bayou wastewater treatment plant (WWTP) Sludge Handling Facilities Improvements. The apparent low bidder, based on the bid award as described below, is Craig, Sheffield & Austin, Inc. (CSA). We have reviewed the bids and see no irregularities. However, there was a small mathematical error in their bid. The base bid written in the proposal by CSA was $2,434,000, but the tabulated amount of the base bid items is actually $2,430,000. This discrepancy does not affect the ranking of the bidders. In addition, we have spoken with CSA, and they are comfortable with the base bid at $2,430,000. The bid tabulation attached includes a summation of the base bid and extra unit price items 1, 2, 5, 6, and 7. CSA is the apparent low bidder for this project, which includes two,12-roll belt filter presses and associated polymer systems; demolition of the third blower and addition of a new third blower; and construction of the sludge loading bay cover. The total bid price for these items is $2,945,500. To summarize, CDM recommends that the City of La Porte award the bid for the Little Cedar Bayou WWTP Sludge Handling Facilities Improvements to CSA for the base bid plus extra unit price items 1, 2, 5, 6, and 7 for a total bid price of $2,945,500. P:U.a Porte-196631Fnal Design0d PhaseMAd award letter.doc 1127102 C consuitinq • engineerinq • construction • operations Steve Gillett November 27, 2002 Page 2 Please review this information and call me at (713) 850-1921 if you have any questions or need any additional information. Very truly yours, /0/� 've"etl-- Rodney W. Chapin, P.E., DEE Principal Camp Dresser & McKee Inc. cc: Camille Sowells, CDM File P:1La Porte - 198631Fnal Design\Bid PhaseNbid award le8er.doc 1127/02 C City of La Porte Little Cedar Bayou WWTP Solids Handling Facilities Improvements Bid Tabulation Bid Item Cajun I CSA I Industrial TX I LEM I T81C Base Bid ------------------------------------------------------------------------------ 1.MOBILIZATION I I I I --------------------h----------------------h--------------------- h---------------------+--------------------- $ 150,000 ; $ 150,000 ; $ 150,000 ; $ 150,000 ; $ 150,000 2. TRENCH SAFETY -r------------'-'--'-'--r_____________________-r___-__-------_-'-----T-_----__-----_--___-- $ 15,000 1 $ 1,000 1 $ 5,000 I $ 1,000 I $ 5,000 -------------------------------------------------------------------- -_ 3. CONTROL GROUND/SURFACE WATER --------------------«----------------------«----------------------F----------------------~--------------------- $_ 8,000 1 $ 1,000 1 $ 2,000 1 $ 10,000 1 $ 5,000 ________________ 4. DEMOLITION OF RASMAS PUMPS -------------------------------------------------------------------------------- ______ --__________________________---..L_____________-------- $ 10,000 $ 2,000 '- $ 10,000 1 $ 40,000 1 $ 10,000 ---------------------4----------------------F----------------------1----------------------,1---------------------- 100,000 5. INSTALL NEW RASMAS PUMPS $ 40,000 ; $ 60,000 1 $ 140,000 ; $ 120,000,1 $ -------------------------------------------------------------------------------- 6. CONSTRUCT 2 AEROBIC DIGESTERS -------------------;-------------� -----;----------------------; $-------------------;--------------- ---- 1 450,000 1 $ 508,000 1 600,000 1 $ 600,000 _____________M___________-_-- 7. MODIFICATION OF EXISTING DIGESTERS------------------------- ___-____1 _231,000 _________-L___-----_________-___ - 10,000 } $ 10,000 F $ 40,000 1 $25,0001,$__________ 15,000 ----- -- ------------------------------------------------ 8. INSTALL 2 DIGESTED SLUDGE PUMPS --------------- - ---------------- ---------------- $ 80,000 ; $ 80,000 ; $ 120,000 ; $ 121,000 ; $ 50,000 -------------------------------'----------------_-'-__--'_-------_-------------- 9. INSTALL 2 THICKENED SLUDGE PUMPS --'--""'-""-'-----r-----'-------_----_---r------------------'---r---'--------------'-'Y----_--'-----------'- $ 80,000 1 $ 80,000 1 $ 130,000 1 $ 120,000 1 $ 50,000 10. REHABILITATE GRAVITY THICKENER $ 40,000 1 $ 40,000 I $ 35,000 1 $ 30,000 1 $ 20,000 __ ----_-____-_ 11. CONSTRUCT DEWATERING BLDG. _ ___ _ _ ______________ ----------------------------------------------------- -- - - - ----'--'------------L------------------'---L_------_-_________-_--L------'-------___--_-J"----___--__________-_ $_________450_000 1 $450_000 1 $375_000 '-$ _________550,000 1 $ 390,000 - F h F +--------------------- 5,000 $ 2,000 12. DEMO EXISTING PLANT PROCESS WATER PUMPS $ 5,000 ; $ 2,000 ; $ 2,000 ; $ ; 13. INSTALL NEW PLANT PROCESS WATER PUMPS $ 28,000 1 $ 30,000 1 $ 38,000 1 $ 30,000 I $ 20,000 14. DEMO 2 PD BLOWERS $ 5,000 I $ 1.0221 ' 4,000�---------------'----- -------------------------------------------------------------------___________ 15. INSTALL 2 175 HP MULTI--STAGE-CENTRIFUGAL BLOWERS -------------------------------------------------------------------------------- ------------------L---------------------000 -L--------------4,000y------------- $---95,000 -1 $ 100,000 1 $ 120,000 I $ 137,000 1 $ 100,000 ------------------ � ---- 1 --- ----- 275-,000 180,000 $ 400,000 16. MISC. YARD PIPING 17. MISC. ELECTRICAL AND INSTRUMENTATION $ 100,000 , $ 413,06615 $ , $ , $ 450,000 I $ 550,000 1 $ 560,000.1 $ 500,000 I $ 550,000 18. MISC. GRADING, DRAINAGE, SEEDING -------------------------------------------------------------------------------- $ 20,000_$10,000 : $20,000 1 $63,000 1 $60_000 ---------------- 1 1 --------------------1 1 -__-_________---------E- F--------_____________Y--------- _____-__-----,4-___--------_________- Totat Base Bid $ 2,817,000 , $ 2,430,000 ; $ 2,534,000 ; $ 2,686,000 ; $ 2,537,000 Extra Unit Prices ---------------------------'-'--- - -- - ------------------------ 1. 12 ROLL BELT FILTER PRESS W/POLYMER SYSTEM ' ---------------------L--------------------- L---------------------a--------------------'i-------------------- $ 203,000 1 $ 226,000 1 $ 230,000 1 $ 246,000 ; $ 250,00 2.12 ROLL BELT FILTER PRESS W/POLYMER SYSTEM ___-F----------------------1----------------______-I-_______---___________Y_-------____________' $ 203,000 ; $ 226,000 1 $ 230,000 ; $ 246,000 ; $ 250,000 --_--_____- 3. 8 ROLL BELT FILTER PRESS W/POLYMER SYSTEM $_ 192,000 I $ 171,000 1 $ 170,000 I $ 215,000 I $ 200,000 4. 8 ROLL BELT FILTER PRESS W/POLYMER SYSTEM L----------------------L---------------------y-------------_______-•F_---_-_______'_____-_ $ 192,000 1 $ 171,000 1 $ 170,000 I $ 215,000 1 $ 200,000 5. DEMO ONE PD BLOWER $ 2,000 ; $ 500 ; $ 1,000 ; $ 1,0001s 2,000 _________________ 6._INSTALL 125 HP MULTI _STAGE CENTRIFUGAL B_LO_ WER $40_000_F $ 48_000_$44_000 $48,000i$35,000 7 INSTALL CANOPY OVER TRUCK LOADING BAY ____-__ ___________ $ 15_000 I $ 15,000 1 $ 25,000 1 $ 36 000 I $ 20,000 _-_--________L----------------------L------------------'---L------------_--------y----_-___-______-____ 1 1 1 1 Basis for Award Base Bid, Alternates 1, 2, 5, 6, 7 is 3,280,000 $ 2,946,500 1' $ 3,064,000 $ 3,263,000 , $ 3,094,000 0 • Due to the volume of this contract, a copy is available for your review in the City Secretary's Office .F i • L: J CONSENT AGENDA • • m • REQUEST FOR CITY COUNCIL AGENDA ITEM Agenda Date Requested: December 9 2002 Requested By: S. Gillett _54W�6 Department: Public Works Report: X Resolution: _Ordinance: Exhibits: Bid Tabulation & Bidders List Exhibits: Appropriation Source of Funds: Various Account Number: Various Amount Budgeted: $423,000.00 Amount Requested: $385,128.00 Budgeted Item: YES Exhibits: SUMMARY & RECOMMENDATION Sealed bids #0873 — Heavy Equipment were opened and read on November 21, 2002. Bid requests were mailed to seventeen (17) vendors with five (5) returning bids. Low bids meeting specifications were submitted as follows: ITEM 1. Excavator (R) 2. Street Broom (R) Vendor Hi -Way Equipment R.B. Everett 3. Sewer Cleaner (A) Underground 4. Chip Speader (R) R.B. Everett LESS OPTIONAL BID TRADE IN TOTAL $183,688 ($6,000) $183,668 (Not recommended) $30,255 N/A $29,900 N/A 151,305 $10,000 Total $ 30,255 $ 29,900 141 305 $385,128 The optional trade-in price offered for the Excavator is inadequate, and is not recommended. Adequate funds are budgeted in the Motor Pool Replacement Fund and the Street Division Operating budget. Action Required by Council: Award bids for Heavy Equipment to low bidder for each item. Approved for City Council Agenda Joh oe , Acting City Manager Date BID TABULATION BID # 0873 - HEAVY EQUIPMENT HI -WAY R.B. R.B. KINLOCH DESCRIPTION QTY EQUIPMENT CO., INC. EVERETT & COMPANY EVERETT & COMPANY UNDER- GROUND, INC. EQUIPMENT & SUPPLY TROJAN TOOL MFG. 1) Excavating Machine Optional Trade-in Allowance 1 $183,668.00 ($6,000.00) No Bid No Bid No Bid No Bid Total Item #1 $177,668.00 2) Hydrostatic Self -Contained Street Broom 1 $31,272.00 $30,255.00 No Bid No Bid No Bid Option - Auxiliary Gutter Broom $2,120.00 $2,700.00 Total Item #2 w/Option $33,392.00 $32,956.00 3) Trailer Mounted Sewer Cleaner 1 No Bid No Bid $29,900.00 $33,840.00 No Bid ALTERNATE 4) Hydrostatic Self -Propelled Chip Spreader 1 $144,400.00 $151,305.00 $151,305.00 No Bid No Bid No Bid Option - Variable Width Spreader $2,120.00 $37,182.00 $8,235.00 Optional Trade-in Allowance $0.00 ($10,000.00) ($10,000.00) otal Item #4 w/Option & Trade-in $146,620.00 $178,487.00 $149,540.00 Information reflects pricing only and other factors may be included in the evaluation process • is • BIDDER'S LIST SEALED BID #0873 - HEAVY EQUIPMENT A-TEX EQUIPMENT COMPANY 700 OATES ROAD HOUSTON, TX 77087 DIXIE SURPLUS MACHINERY, INC P.O. BOX 639 POLLOCK, LA 71467 HI -WAY EQUIPMENT PO BOX 14174 HOUSTON, TX 77221 MUSTANG TRACTOR PO BOX 1373 HOUSTON, TX 77251-1373 RUSH EQUIPMENT 10100 NORTH LOOP EAST HOUSTON, TX 77029 SOUTHWEST TEAM SUPPLY P.O. BOX 282 JUNCTION, TX 76849 TROJAN TOOL MANUFACTURING 910 CURTIN ST HOUSTON, TX 77018 VACSOURCE 1700 S HWY 14 GREER, SC 29650 WOWCO EQUIPMENT 5430 HWY 146 BAYTOWN, TX 77520 CHAMBER OF COMMERCE PO BOX 996 LA PORTE TX 77572-0996 CARRUTH DOGGETT 926 N SAM HOUSTON PKWY EAST HOUSTON, TX 77032 DIXEQUIP, INC 4323 BILLY LANE FRESNO, TX 77545 KINLOCH EQUIPMENT & SUPPLY P.O. BOX 4919 PASADENA, TX 77502 R. B. EVERETT PO BOX 7300 PASADENA, TX 77508 SLABACH ENTERPRISES/VACSTAR P.O. BOX 814 KALONA, IA 52247 T. G. INDUSTRIES, INC. PO BOX 109 ARMSTRONG, IA 50514 UNDERGROUND 1617 GARDEN RD PEARLAND, TX 77581 VAC-TRON EQUIPMENT 27137 S HWY 33 OKAHUMPKA, FL 34762 BAYSHORE PUBLISH DATES: NOVEMBER 3, 2002 NOVEMBER 10, 2002 C� REQUEST -FOR CITY COUNCIL AGENDA ITEM Agenda Date Requested: December 9, 2002 Requested By: Susan Kelley Department: Administrative Services Report: Resolution: Ordinance: Exhibits: Pricing of Motorola Equipment Exhibits: Exhibits: Appropriation Source of Funds: Various Account Number: Various Amount Budgeted: $17,288 Amount Requested: $17,025.17 Budgeted Item: 0 NO SUMMARY & RECOMMENDATION This fiscal year, various departments budgeted for Motorola portable and mobile radios. Historically, when the combined estimated cost exceeded $15,000, the City of La Porte utilized our interlocal agreement with H-GAC to purchase the items. This process saves City staff the time and expense of formal bidding, as well as expedites delivery. The total expenditure, including a 1.75% administrative fee, would be $17,025.17. Departmental costs are as follows: EMS Division $ 2,976.34 Fire Department $ 5,641.02 Police Patrol $ 6,700.54 Solid Waste $ 1,138.18 Water Production $ 569.09 Total $17,025.17 Sufficient funds have been budgeted in each departmental account for these items. Staff Recommendation Staff recommends award of radio purchase to Houston -Galveston Area Council in the amount of $17,025.17. Action Required by Council: Award purchase of radios to H-GAC. O} a Joh n cting City Manager Date • 0 H-GAC RADIO PURCHASE DIVISION/DEPT QTY TYPE UNIT COST TOTAL COST EMS 3 JT1000 VHF Portable Radio $992.113 $2,976.34 w/Remote Speaker Microphone Fire Suppression 15 Minitor IV Voice Activated Pagers $376.068 $5,641.02 Police Patrol 2 MTS2000 Portable Radios, 800 MHz $3,350.270 $6,700.54 Smartzone System Software Pkg., Rapid Rate Charger & Remote Speaker Microphone Solid Waste Division 2 CDM 750 Mobile Radios $569.090 $1,138.18 Water Production 1 CDM 750 Mobile Radios $569.090 $569.09 TOTAL COST OF ALL RADIOS $17,025.17 REQUEST FOR CITY COUNCIL. AGENDA ITEM Agenda Date Requested: December 9, 2002 Requested By: Susan Kelley XJJI.Pi(XJ�e. Department: Administrative Services Report: Resolution: Ordinance: Exhibits: Bid Tabulation Exhibits: .Bidders List Appropriation Source of .Funds: Inventory Acct Account Number: 001-0000-120-0100 Amount Budgeted: Amount Requested: $85,591.31 Budgeted Item: ED NO SUMMARY & RECOMMENDATION Advertised sealed bids # 0871 for water and sewer supplies were opened and read on November 11, 2002. Bid requests were mailed to six (6) area suppliers with six (6) returned bids Municipal Pipe did not meet specifications of Item #2 — Clamps & Couplings. Low bids meeting specifications were submitted as follows: Municipal Pipe Item # 1- Service Material & .Brass $13,408.48 Item # 4 Gate Valves $8,663.70 Item # 5 Ductile Fittings, C.I. Concrete $11,367.51 Total $33,439.69 Golden Triangle Pipe Item # 2 Clamps & Couplings $6,325.55 Item # 7 Fire Hydrants $11,285.00 Total $17,610.55 Hughes Supply Item # 3 Adapters & PVC Fittings $10,127.97 U.S. Filter Item # 6 Water Meters $24,413.10 The City decided years ago to standardize to Sensus meters only. U.S. Filter is the regional distributor for Sensus. Using estimated yearly quantities, the total cost would be $ 85,591.31. This cost is a five percent (5%) increase over last year's pricing. Staff Recommendation Staff recommends award of water and sewer supplies to low bidders meeting specifications in the amount of $85,591.31. The items will be purchased for warehouse inventory throughout the year, and distributed as needed. Funds have been budgeted by the water and sewer divisions. Action Required by Council: Award Bid #0871 — Water and Sewer Supplies in the amount of $85,591.31 as specified above. Approved for City Council Agenda Joh erns, i ity Manager O� Date BID # 0871 WATER & SEWER SUPPLIES Golden Municipal Triangle Act Pipe & Hughes DESCRIPTION Pipe Pipe Supply Supply MDN US Filter ITEM # 1A - SERVICE MATERIAL 1. 314" x 1/8" Meter Gasket 1000 $0.06 $0.08 $0.09 $0.09 $0.05 NB 2. 1" x 1/8" Meter Gasket 100 $0.09 $0.11 $0.12 $0.12 $0.08 NB 3. 314" Meter Coupling w/gasket 350 $2.40 $2.40 $2.64 $2.75 $1.65 NB 4.1"Meter Coupling w/gasket 10 $2.90 $3.70 $3.98 $4.21 $2.23 N8 5.314" Curb Stop compliron wllockwing 40 $10.50 $10.60 $10.58 $10.24 $11.15 NB 6. 1" Curb Stop compfiron w/lockwing 73 $18.50 $18.95 $18.84 $18.25 $20.55 NB 7. 2* Curb Stop compfiron w/lockwing 12 $60.30 $66.90 $65.85 $59.45 $70.67 NB 8. 314" Curb Stop ironliron w/lockwing 15 $8.85 $8.90 $8.98 $8.66 $9.89 NB 9. 1" Curb Stop ironlron w/lockwing 14 $15.60 $15.80 $15.94 $15.27 $17.44 NB 10. 3/4" Corporation cc/compression 2 $9.00 $8.90 $8.95 $8.60 $9.83 NB 11. 1" Corporation cc/compression 72 $13.00 $13.25 $13.46 $13.00 $14.86 NB 12.2" Corporation ccico,pressoin 18 $53.00 $55.75 $57.18 $55.31 $63.16 NB 13.314" x 1" Tapping Bushing cc thread 10 $3.27 $3.95 $3.98 $3.24 $9.95 NB 14. 314" - 3 Part Union comp/comp 71 $4.73 $4.95 $4.86 $4.69 $5.32 NB 15. 1" - 3 Part Union comp/comp 105 $5.40 $5.25 $5.58 $5.36 $6.06 NB 16. 1" x 3/4" - 3 Part Union comp/comp 20 $5.40 $5.35 $5.66 $5.44 $6.24 NB 17.2" - 3 Part Union comp/comp 3 $19.70 $22.60 $23.08 $22.13 $24.68 NB 18.3/4" Male Adaptor compfiron 7 $3.94 $3.95 $3.98 $3.84 $4.38 NB 19. 1" Male Adaptor compfiron 25 $4.59 $4.40 $4.76 $4.55 $5.20 NB 20.2"Male Adaptor compfiron 19 $17.15 $17.10 $17.18 $16.63 $18.98 NB 21.3/4" Female Adaptor compfiron 10 $2.39 $4.25 $4.28 $4.04 $4.61 NB 22. 1" Female Adaptor compfiron 11 $4.74 $6.10 $5.76 $5.49 $6.27 NB 23. 2' Female Adaptoroomp/iron 14 $17.90 $17.75 $17.95 $17.38 $19.84 NB 24.314" Brass Gate Valve 4 $2.75 $4.90 $12.87 $9.00 $5.09 NB 25.1" Brass Gate Valve 2 $4.00 $5.90 $16.50 $11.15 $7.09 NB 26.1-112" Brass Gate Valve 2 $10.00 $8.95 $29.41 $14.05 $16.50 NB 27.2" Brass Gate Valve 4 $30.90 $12.95 $36.50 $17.35 $17.87 NB 28. r x 3/4" Meter Riser wllockwing 10 $24.00 $23.50 $25.28 $23.02 $26.28 NB 29. 9" x 314" Meter Riser w/lockwing 2 $25.00 $24.00 $26.15 $23.31 $26.62 NB 30.3/4" x 1" U-Brench w/lockwing 69 $32.00 $31.95 $28.95 $32.42 $31.93 NB 6-1/2" center SUB -TOTAL ITEM #1A $10,249.30 $10,434.45 $10,604.53 $10,428.00 $10,955.66 NB ITEM # IB- BRASS FITTINGS & COUPLINGS 1. 3/4" Brass Coupling 10 $0.95 $1.80 $2.15 $1.81 $0.99 NB 2. 314* Brass 90 Degree Ell 4 $1.98 $2.05 $2.45 $2.04 $1.22 NB 3. 2" Brass 90 Degree Ell 15 $5.29 $10.50 $12.87 $10.84 $6.08 NB 4. 314" x 314" Brass Tee ironfiron 2 $1.80 $2.50 $3.06 $2.55 $1.50 NB 5. 314" x 1" Brass Bushing 43 $0.98 $1.80 $2.15 $1.81 $0.99 NB 6. 3/4" x 1-1/4" Brass Bushing 50 $1.80 $3.00 $3.67 $3.38 $2.02 NB 7. 1" x 2" Brass Bushing 4 $3.80 $5.25 $6.45 $5.38 $3.83 NB 8.1-1/2" x 2" Brass Bushing 2 $2.90 $5.25 $6.45 $5.38 $3.18 NB 9. 3/4" x Close All Thread Nipple 4 $0.91 $0.75 $0.78 $0.79 $1.23 NB 10. 3/4" x 2" Brass Nipple 9 $0.85 $0.85 $0.98 $0.99 $1.55 NB 11. 3/4" x 4" Brass Nipple 6 $1.85 $1.45 $1.70 $1.72 $2.71 NB 12.314" x 6" Brass Nipple 4 $3.20 $2.10 $2.47 $2.52 $3.96 NB 13. 1" x Close All Thread Nipple 4 $1.99 $1.00 $1.14 $1.17 $1.82 NB 14.1" x 2" Brass Nipple 2 $1.29 $1.20 $1.40 $1.42 $2.24 NB 15. 1" x 4" Brass Nipple 2 $2.34 $2.10 $2.45 $2.50 $3.93 NB 16. 1" x 6" Brass Nipple 7 $3.90 $3.05 $3.61 $3.69 $5.78 NB 17.1-1/2" x 4" Brass Nipple 10 $3.85 $3.65 $4.32 $4.39 $6.89 NB 18.1-1/2" x 6" Brass Nipple 4 $5.40 $5.35 $6.36 $6.49 $10.18 NB 19. 2" x 2" Brass Nipple 4 $2.78 $2.90 $3.40 $3.10 $5.44 NB 20.2" x 4" Brass Nipple 26 $4.75 $4.65 $5.54 $5.33 $8.86 NB 21.2" x 6" Brass Nipple 56 $7.00 $6.85 $8.14 $7.88 $13.09 NB 22. 2" x 3/4" Reducer 7 $6.00 $14.25 $17.68 $14.76 $6.74 NB 23.1" Brass Plug 5 $0.75 $2.30 $2.45 $2.04 $0.94 NB 24. 3/4" Brass Plug 16 1 $0.60 1 $1.55 $1.53 $1.28 $0.71 NB SUB -TOTAL ITEM#1B $973.29 1 $1,217.35 1 $1,457.28 1 $1,340.01 1 $1,543.30 1 NB Golden Municipal Triangle Act Pipe & Hughes MON DESCRIPTION OTY Pipe Pipe Supply Supply Enterprises US Filter ITEM #1C -SERVICE SADDLES 1. 2" x 1" Tapping Saddle PVC 315 17 $15.39 $15.40 $15.88 $14.69 $16.42 $15.88 2.3'x 1' Tapping Saddle AC 315 6 $15.50 $15.15 $17.28 $15.05 $16.82 $15.66 3. 4' x 314" Tapping Saddle AC 315 10 $15.54 $15.55 $16.98 $16.11 $18.00 $16.03 4.4" x 1" Tapping Saddle AC 315 4 $15.60 $15.55 $16.98 $16.11 $18.00 $16.03 5. 6" x 314" Tapping Saddle AC 315 1 $17.70 $18.05 $19.38 $18.75 $20.95 $18.65 6. 6" x 1" Tapping Saddle AC 315 18 $18.08 $18.05 $19.38 $18.75 $20.95 $18.65 7.8" x 1" Tapping Saddle AC 315 22 $21.45 $21.45 $23.78 $22.25 $24.87 $22.15 8. 12' x1" Tapping Saddle AC 315 7 $27.12 $27.10 $29.85 $28.13 $31.44 $27.98 9. 6"x2" Tapping Saddle AC 315 6 $21.18 $21.15 $23.78 $21.97 $24.55 $21.85 10. 8" x2" Tapping Saddle AC 315 6 $25.50 $25.50 $27.98 $26.44 $29.55 $26.30 11. 12' x 2" Tapping Saddle AC 315 5 $34.50 $34.15 $38.18 $34.53 $38.59 $35.26 12. 16" x 2" Tapping Saddle AC 315 2 $78.00 $75.85 $81.74 $74.91 $83.72 $78.25 SUB -TOTAL ITEM #1 C $2,185.89 $2,177.30 $2,376.63 $2,221.16 $2,482.32 $2,247.55 ITEM # 1 TOTAL $13,408.48 $13,829.10 $14,438.44 $13,989.17 $14,981.28 - $2,247.55 ITEM # 2 A REDI CLAMPS SMITH BLAIR 244 1. 3/4" x 3" Redl Clamp 4 $10.41 $10.40 $12.81 $6.07 $4.85 $10.75 2. 314" x 6" Red! Clamp 3 $22.03 $22.00 $27.08 $12.85 $9.15 $22.73 3. 1" x 3" Redi Clamp 3 $11.02 $11.00 $13.55 $6.43 $5.13 $11.37 4. 1" x 6' Redi Clamp 5 $22.19 $22.20 $27.28 $12.94 $9.39 $22.89 5. 1-1/4' x 3" Red! Clamp 3 $11.30 $11.30 $13.89 $6.63 $5.41 $11.65 6. 1-1/4" x 6" Redi Clamp 3 $22.53 $22.50 $27.71 $13.18 $9.94 $23.24 7. 1-1/2" x 3" Red! Clamp 3 $11.61 $11.60 $14.27 $6.77 $5.67 $11.98 8. 1-112" x 6" Redi Clamp 3 $22.89 $22.90 $28.15 $13.35 $11.12 $23.62 SMITH BLAIR 245 1.2" x 3" Redi Clamp 3 $3.96 $4.90 $4.87 $3.92 $6.20 $4.08 2. 2" x 6" Redi Clam 2 $7.16 $7.50 $8.82 $7.08 $11.26 $7.40 SUB -TOTAL ITEM # 2 A $482.93 $486.20 $593.84 $292.53 $246.73 $498.26 ITEM #2B - FULL CIRCLE CLAMPS SMITH BLAIR 226 1.2.35 - 2.63 x 7.5" 72 $23.13 $22.90 $28.15 $21.74 $27.39 $23.62 2.2.35 - 2.63 x 12" 2 $40.00 $40.65 $49.96 $32.79 $43.67 $41.93 3.3.46 - 3.70 x10" 1 $40.00 $38.50 $47.33 $28.87 $45.75 $39.70 4.3.73 - 4.00 x 12" 1 $46.50 $46.45 $57.10 $37.21 $48.40 $47.92 5.3.96 - 4.25 x 7.5' 14 $29.77 $28.85 $35.48 $21.77 $45.25 $29.78 6.3.96 -4.25 x 12 10 $50.58 $49.05 $60.28 $35.31 $48.40 $50.59 7.4.45 - 4.73 x 7.5" 1 $30.82 $29.85 $36.74 $21.77 $37.68 $30.82 8.4.74 -5.14 x 7.5" 1 $31.00 $30.90 $38.03 $24.39 $37.68 $31.90 9.4.74 - 5.14 x 12" 3 $52.28 $50.65 $62.30 $35.77 $48.40 $52.28 10.4.95 - 5.35 x 7.5" 2 $32.24 $31.25 $38.42 $24.39 $37.68 $32.24 11.4.95 - 5.35 x 12" 4 $55.00 $58.45 $65.58 $35.77 $48.40 $55.03 12.6.56 - 6.96 x 7.5" 1 $36.84 $35.70 $43.91 $24.73 $32.82 $36.84 13.6.56 - 6.96 x 12" 1 $59.35 $57.55 $70.74 $37.15 $54.19 $59.36 14.6.84 - 7.24 x 7.5" 4 $37.65 $36.50 $44.87 $30.98 $32.82 $37.65 15.6.84 - 7.24 x 12 2 $60.22 $58.35 $71.78 $40.44 $54.19 $60.22 16. 7.05 - 7.45 x 7.5 10 $38.22 $37.05 $45.54 $30.98 $32.82 $38.22 17.7.05 - 7.45 x12" 3 $61.21 $59.30 $72.95 $40.44 $54.19 $61.21 18.7.45 - 7.85 x 7.5 3 $39.20 $38.00 $46.72 $30.98 $32.82 $39.20 19.8.54 - 8.94 x 10" 1 $56.98 $57.00 $70.05 $36.74 $51.75 $58.79 20.8.99 - 9.39 x 7.5" 3 $44.11 $43.65 $53.68 $29.64 $31.10 $45.04 21.8.99 - 9.39 x 12" 2 $70.64 $69.90 $85.97 $39.83 $51.75 $72.14 22.9.27 - 9.67 x 7.5" 6 $46.00 $44.65 $54.88 $29.35 $31.10 $46.04 23.9.27 - 9.67 x 10" 1 $59.00 $60.00 $73.81 $36.83 $51.25 $61.93 24.9.27 - 9.67 x 12" 2 $71.00 $71.45 $87.85 $42.34 $51.75 $71.72 25. 11.75 -12.15 x 12" 1 $87.00 $87.65 $107.76 $55.00 $63.46 $90.42 25.13.40 -13.80 x 15" 1 $121.00 $121.60 $149.46 $66.02 $79.25 $125.42 26. 14.38 -15.13 x 15" 1 $196.90 $200.00 $292.00 $132.98 $249.26 $205.28 SUB -TOTAL ITEM #2 B $5,520.73 $5,444.60 $6,714.64 $4,247.82 $5,658.36 $5,590.69 ITEM # 2C'- DRESSER COUPLINGS SMITH BLAIR 411 1. 314" Dresser Coupling 4 $12.30 $12.00 $14.78 $12.98 $13.49 $12.41 2. 1' Dresser Coupling 2 $12.80 $12.45 $15.31 $13.61 $13.97 $12.84 3.1-1/4" Dresser Coupling 2 $12.90 $13.00 $16.03 $14.59 $14.64 $13.42 4. 1- 1/2 " Dresser coupling 2 $16.00 $15.55 $19.14 $16.81 $17.46 $16.05 5. 2" Dresser Coupling 15 1 $17.39 $17.65 1 $21.48 1 $21.51 1 $35.24 1 18.20 SUB -TOTAL ITEM #2 C $393.45 $394.75 1 $482.28 1 $464.59 1 $674.70 1 $407.26 ITEM #2 TOTAL 1 $6,397.11 1 $6.325.551 $7,790.76 * $5,004.941 $6,579.79 1 $6,496.21 Golden Municipal Triangle Act Pipe & Hughes MDN ITEM # 3A - RUBBER ADAPTORS Pipe Pipe Supply Supply Enterpriej US Filter FERNCO OR APPROVED EQUAL 1.4"PVC x 4" PVC 54 $1.99 $1.95 $1.98 $1.89 $2.15 NB 2. 4" PVC x 4" Clay 11 $1.99 $1.95 $1.98 $1.89 $2.15 NB 3. 4" PVC x 4" Concrete 39 $2.00 $1.95 $1.98 $1.89 $2.15 NB 4.6" PVC x 4" PVC 2 $4.69 $4.70 $4.84 $4.42 $5.25 NB 5. 9' PVC x 6" PVC 29 $4.30 $4.25 $4.46 $4.05 $4.60 NB 6. 6" PVC x 6" Clay 12 $4.30 $4.25 $4.46 $4.05 $4.60 NB 7.6" PVC x 6" Concrete 47 $4.40 $4.50 $4.46 $4.16 $4.95 NB 8. 8* PVC x 8" PVC 10 $6.63 $6.40 $6.84 $6.26 $7.43 NB 9. 8" PVC x 8" Clay 15 $6.63 $6.40 $6.84 $6.26 $7.43 NB 10. Is" PVC x 8"Concrete 25 $6.63 $6.40 $6.84 $6.26 $7.43 NB 11. 10" PVC x 10" PVC 22 $9.41 $8.90 $9.28 $8.81 $10.33 NB 12. 10" VPC x 10" Clay 20 $9.41 $8.90 $9.28 $8.81 $10.33 NB 13.10" PVC x 10" Concrete 2 $9.41 $8.90 $9.28 $8.81 $10.33 NB 14. 12" PVC x 12" Clay 6 $10.80 $10.50 $11.10 $10.28 $12.05 NB 15. 12" PVC x 12" Concrete 2 $10.80 $10.50 $11.10 $10.28 $12.05 NB 16. 15" PVC x 15" Clay 2 $18.50 $18.00 $18.95 1 $16.75 $79.23 NB SUB - TOTAL ITEM 1113 A $1,468.77 $1,429.55 $1,485.10 $1,383.35 $1,736.23 NB ITEM #3B. - SEWER FITTINGS & SADDLES 1. 4" Coupling 181 $0.46 $0.60 $0.56 $0.57 $0.55 NB 2. 6" x 4" Reducer 51 $2.35 $2.65 $2.74 $2.78 $2.69 NB 3.6" 45 Degree Ell 4 $2.70 $3.25 $3.38 $3.41 $3.30 NB 4. 6" Cleanout w/plug 15 $7.00 $8.50 $8.78 $8.66 $8.52 NB 5. 6" x 4" Gasketed Saddle Tee w/ss bands 31 $15.00 $9.75 $11.89 $6.28 $11.63 NB 6. 8" x 4" Gasketed Saddle Tee Was bands 30 $16.00 $10.80 $15.58 $8.81 $15.23 NB 7. 1W x 4" Gasketed Saddle Tee wlss bands 4 $19.20 $12.60 $16.59 $9.58 $16.12 NB 8. 12" x 4" Gasketed Saddle Tee w/ss bands 5 $20.00 $13.10 $18.49 $9.81 $17.97 NB 9. Universal Saddle 112 $18.90 $19.75 $17.10 $19.00 $29.85 NB 11. 8" x 6" Gasketed Saddle Tee w/ss bands 2 $18.90 $13.80 $18.98 $9.08 $18.53 NB 12. 6" x 6" Coupling 2 $1.65 $2.00 $2.08 $2.10 $2.02 NB SUB - TOTAL # 3 B $3,598.61 $3,370.00 $3,338.44 $3,085.20 $4,733.80 NB ITEM #3C.- DWV FITTINGS & LUBES 1. 4" Coupling 140 $0.99 $1.15 $1.01 $1.18 $1.40 NB 2. 4" 16 Degree Ell 88 $2.88 $2.95 $2.48 $2.90 $3.48 NB 3. 4" 45 Degree Ell 80 $1.70 $2.10 $1.78 $2.06 $2.45 NB 4. 4" 90 Degree Ell 118 $2.20 $2.60 $2.23 $2.56 $3.08 NB 5.4" Slip Cap 80 $3.85 $2.50 $2.38 $2.65 $7.29 NB 6.4" x 4" x 4" Tee 143 $3.40 $4.00 $3.46 $4.02 $4.77 NB 7.4" Cleanout w/ plug 198 $2.60 $3.85 $2.78 $3.25 $3.87 NB 8. 4" Plug only 78 $0.60 $0.75 $0.97 $1.13 $1.58 NB 9. PVC Glue (qt can) 60 $3.40 $3.50 $4.18 $4.00 $7.85 NB 10. PVC Primer (qt can) 48 $3.60 $3.50 $3.36 $4.00 $7.85 NB 11. PVC Lubricant (qt can) 12 $1.95 $1.95 $1.58 $2.06 $4.75 NB 12. Taicote 5 gallon can 0 $0.00 $0.00 SUB- TOTAL ITEM # 3 C $2,543.64 $2,889.60 $2,507.50 $2,862.50 $4,121.29 NB ITEM #3D: POLYETHELENE/PLASTIC MBX 1. 3/4" CTS Service Tubing 200 PSI 1000 $0.14 0.12 $0.12 $0.14 $0.11 NB 2. 1" CTS Service Tubing 200 PSI 2400 $0.19 0.18 $0.18 $0.18 $0.19 NB 3. 2" CTS Service Tubing 200 PSI 100 $0.55 0.60 $0.58 $0.63 $0.65 NB 4. Single Plastic Meter Box w/ lid 156 $8.00 7.35 $7.85 $7.22 $8.13 NB 5. Dual Plastic Meter Box w/ lid 25 $8.00 7.35 $7.85 $7.22 $8.13 NB 6. Single Plastic Lids only 170 $2.50 2.90 $3.72 $3.33 $3.30 NB 7. Commercial Jumbo Meter Box wl lid 17 $15.00 1 16.00 1 $17.78 1 $17.00 1 $18.75 NB SUB- TOTAL ITEM # 3 D $2,779.00 1 2,707.35 1 $2,965.51 1 $2,796.92 1 $2,982.28 NB ITEM # 3 TOTAL $10,390.02 1 10,396.50 1 $10,296.551 $10,127.97 1 $13,573.60 1 NB Golden Municipal Triangle Act Pipe & Hughes MON DESCRIPTION QTY Pipe Pipe Supply Supply Enterprises US Filter ITEM #4: GATE VALVES 1. 2" Cl Screw type 16 $117.00 $125.00 NB NB NB $132.95 2. 4" MJ w/Aquagrip system 5 $270.00 $269.25 NB NB NB $283.75 3. 6" MJ w/Aquagrip system 13 $340.90 $342.00 NB NB NB $360.35 4. 8" MJ w/Aqua rip system 2 1 $505.00 $505.00 NB NB NB $533.80 ITEM #4 TOTAL $8,663.70 $8,802.25 NB NB NB $9,298.10 ITEM # 5A. - DUCTILE FITTINGS W/ACC 1. 4" 45 Degree Ell 1 $25.00 $58.50 $48.92 $52.53 $67.98 NB 2. 4" 90 Degree Ell 1 $26.00 $60.15 $50.18 $53.79 $69.48 NB 3.6" x 7" Solid Sleeve 2 $32.00 $73.00 $60.32 $64.80 $84.01 NB 4.6" x 12" Solid Sleeve 2 $42.00 $80.00 $65.78 $73.77 $92.64 NB 5.8" x 7" Solid Sleeve 2 $37.00 $99.50 $81.95 $88.32 $114.44 NB 6. 8" x 17 Solid Sleeve 1 $55.00 $108.10 $89.85 $97.47 $148.56 NB 7.6" 90 Degree Ell 4 $39.00 $80.95 $66.58 $73.33 $117.44 NB 8.6: 45 Degree Ell 4 $31.00 $77.75 $64.18 $69.85 $90.01 NB 9.8" 90 Degree Ell 4 $52.00 $115.90 $97.78 $105.68 $135.06 NB 10.8" 45 Degree Ell 4 1 $47.00 $111.00 $93.20 1 $100.63 $129.06 NB SUB - TOTAL # 5 A $1,004.00 $2,274.15 $1,892.01 $2,055.53 $2,754.48 NB ITEM #5B CAST IRON FITINGS W/ACC 1. 4" Cleanout Shoe 9 $24.30 $25.75 $26.65 $31.58 $31.97 NB 2. 18" x 24 " Valve Box 61 $12.25 $12.35 $11.08 $12.00 $24.00 NB 3. 24* x 36" Valve Box 35 $16.90 $17.50 $17.68 $18.00 $24.00 NB 4. Valve Box Lid only 24 $3.99 $3.75 $4.98 $3.89 $3.56 NB 5.23-1/2" Manhole Ring & Cover 28 $112.00 $103.10 $106.00 $95.00 $117.56 NB 6. 23-1/2" Manhole Ring & Cover w/City Logo 30 $120.00 $112.35 $118.00 1 $130.00 $128.24 NB SUB -TOTAL # 5 B $8,389.21 $7,944.90 $8,162.05 $8,299.58 $9,816.05 NB ITEM # 5C: CONCRETE MISCELLAENOUS 1. 3" Concrete Riser 48 $8.50 $9.50 $10.50 $14.78 $13.50 NB 2. Concrete Double Meter Box Lid only 10 $10.30 $12.00 $15.98 $15.21 $21.25 NB SUB - TOTAL # 5 C $511.00 $576.00 $663.80 $861.54 $860.50 NB ITEM # 5D. - MISCELLAENOUS 1. Hydralock 15 $90.00 $205.00 $98.48 $110.00 $142.45 NB 2. 3/4' x 4"- 1/7 T Bolt w/nuts (Corten) 20 $0.50 $0.60 $0.56 $0.58 $3.70 NB 3.3/4" x 4" -1/2" EYE -Bolts w/nuts 50 $0.75 $1.00 $1.06 $1.10 $2.12 NB 4. 5/8" ALL Thread Rods (10') 120 $0.49 $6.00 $4.80 $0.70 $1.44 NB 5.518" nuts 70 1 $0.10 $0.10 $0.06 1 $0.18 $0.35 NB SUB - TOTAL # 5 D $1,463.30 $3,864.00 $2,121.60 $1,813.20 $2,514.05 NB ITEM #5 TOTAL $11,367.51 $14,659.05 $12,839.46 $13,029.85 $15,945.08 NB ITEM #6A -WATER METERS 1.5/8" x 3/4"SENSUS SR li 96 NB NB NB NB NB $36.75 2. 1" SR Meter 8 NB NB NB NB NB $96.95 3. 1-1/2" SR Meter 2 NB NB NB NB NB $357.15 4. 2" Turbine Meter 1 NB NB NB NB NB $459.20 5. 2" Coum ound Meter 5 NB NB NB NB NB $1,105.00 SUB -TOTAL ITEM #6A NB NB NB NB NB $11,002.10 ITEM # 6 B- WATER METERS SENSUS SR 11(TR/PQ 1. 5/8" x 314" 48 NB NB NB NB NB $95.55 2. 1" SR Meter 8 NB NB NB NB NB $159.45 3. 1-1/2" SR Meter 2 NB NB NB NB NB $412.00 4. 2' Turbo Meter 1 NB NB NB NB NB $575.00 5. 2' Coum ound Meter 5 NB NB NB NB NB $1 230.00 SUB -TOTAL ITEM #68 $13,411.00 ITEM #6 TOTAL NB NB NB NB NB $24,413.10 ITEM # 7 FIRE HYDRANTS CENTURION 250 A-423W/AQUA GRIPA27 1. 4' Fire Hydrant 10 $872.00 $854.50 NB NB NB $928.90 2. 6 Fire Hydrant 1 $904.00 $890.00 NB NB NB $969.98 3. 6' Fire Hydrant 2 $945.00 $925.00 NB NB NB $1,011.05 TOTAL ITEM #7 $11,514.00 $11,285.00 NB NB NB $12,281.08 GRAND TOTAL 1 1 $61.740.82 $65,297.45 $45,365.21 $42,151.93 $51,079.75 $54,736.04 NOT ALL ITEMS MET SPECIFICATIONS "" NOT ALL SECTIONS OF THE ITEM WERE BID BIDDER'S LIST SEALED BID # 0871- WATER & SEWER SUPPLIES ACT PIPE & SUPPLY, INC. 8921 FREY ROAD HOUSTON, TX 77034 HUGHES SUPPLY, INC. 7022 EAST HAVEN BLVD HOUSTON, TX 77017 MUNICIPAL PIPE 6825 WALLISVILLE HOUSTON, TX 77020 CHAMBER OF COMMERCE P.O.BOX 996 LA PORTE TX, 77571 GOLDEN TRIANGLE PIPE P.O. BOX 20137 BEAUMONT, TX 77720 MDN ENTERPRISES P.O. BOX 1148 NEW CANEY, TX 77357 U.S.FILTER DISTRIBUTION 4053 HOMESTEAD ROAD HOUSTON TX, 77028 BAYSHORE SUN - PUBLISH DATES OCTOBER 27, 2002 NOVEMBER 3, 2002 N • 0 Agenda Date Requested: Requested By: Stephen L. Barr Department: Parks & Recreation' COUNCIL AGENDA ITEM Appropriation Source of Funds: Harris County Account Number: WA Amount Budgeted: N/A Exhibits: Bid Recap - Sealed Bid #0875 I Amount Requested: N/A Exhibits: Vendor's List I Budgeted Item: YES NO X Exhibits: Rid Tahnlatinn SUMMARY & RECOMMENDATION As you may recall, the City of La Porte, in conjunction with Harris County Department of Housing and Economic Development have agreed to place a pedestrian bridge over Little Cedar Bayou at its intersection with S. Yd Street. Advertised, sealed bids (#0875) for a Prefabricated Steel Pedestrian Bridge were opened and read on November 21, 2002. Bid requests were mailed to seven (7) vendors, one was requested after advertising, and six (6) vendors returned bids. Low bid meeting specifications was submitted by Steadfast Bridge Company with a bid of $94,158. The City will also contract with an engineer to design the footings and abutments for the bridge project. After design is completed, a contractor will construct the footings and abutments, and will install the prefabricated bridge on site. The project is expected to be completed by April 30, 2003. Staff recommends award of the bridge to Steadfast Bridge Company, low bidder meeting specifications. Funds to reimburse the City for the bridge will be provided by Harris County upon delivery. Action Required by Council: Consider awarding bid for the purchase of a Prefabricated Steel Pedestrian Bridge to Steadfast Bridge Company, low bidder meeting specifications. Approved for City Council Agenda aK�� Jo : J , Acting City Manager Date CITY OF LA PORTE INTEROFFICE MEMORANDUM NOVEMBER 22, 2002 —H .� lint i To: Stephen Barr, Director of Parks & Recreation NOV 22 �; 1,1111 9 From: Susan Kelley, Purchasing Manager P, ; Subject: Bid #0875 — Prefabricated Bridge Advertised, Sealed Bids #0875 — Prefabricated Bridge were opened and read on November 21, 2002. Bid requests were mailed to seven (7) vendors, one (1) was requested after advertising, with seven (7) returning bids. Copies of the bids are attached for your review. Purchasing will be happy to assist in the evaluation process, if requested. This bid may be placed on the agenda for the City Council meeting December 9, 2002. Please remember to submit your recommendation with an agenda request form to the City Secretary and Purchasing Manager by the prescribed time. The following items should be included: Bid tabulation and bidder's list as backup Date of requested council meeting Explanation of recommendation, other than apparent low bid Attachment: Bid Copies Bid Tabulation Bidder's List 0 0 17- 9 ',1 =I:444&-tli SEALED BID #0875 PREFABRICATED BRIDGE ACROW CORP OF AMERICA BIG R MANUFACTURING, LLC 396 WASHINGTON AVE P.O. BOX 1290 CARLSTADT, NJ 07072-2806 GREELEY, CO 80632-1290 BRIDGE AMERICA, INC 316 BROADWAY, SUTIE 100 P.O. BOX 907 ALEXANDRIA, MN 56308 MARINE BRIDGE & IRON 208 WEST CHURCH STREET UTICA, IN 47130 U.S. BRIDGE 201 WHEELING AVE P.O. BOX 757 CHAMBER OF COMMERCE P.O. BOX 996 LA PORTE, TX 77572-0996 CONTINENTAL BRIDGE 8301 STATE HWY 20 NORTH ALEXANDRIA, MN 56308 STEADFAST BRIDGE COMPANY 4021 GAULT AVENUE SOUTH FORT PAYNE, AL 35967 BAYSHORE PUBLISH DATES NOVEMBER 6, 2002 NOVEMBER 13, 2002 BID TABULATION - BID ##0875 - PREFABRICATED BRIDGE MARINE HUNTER - STEADFAST BRIDGE & CONTINENTAL ACROW KNEPSHIELD DESCRIPTION QTY BRIDGE BIG R MFG IRON BRIDGE CORP OF TX U.S. BRIDGE Prefabricated Bridge 1 $94,158.00 $97,490.00 $97,683.00 $99,850.00 $108,827.00 $110,918.00 $117,677.00 Information reflects pricing only and other factors may be included during the evaluation process r1 U U • REQUEST FOR CITY COUNCIL AGENDA ITEM Agenda Date Requested: 12/09/02 Requested By: Chief Richard - Reff Department: Notice Report: Resolution: Ordinance: Exhibits: Memo to John Joerns Exhibits: Bid #0872 Exhibits: Appropriation Source of Funds: Multiple Account Number: 001-5252-521-8023 Amount Budgeted: S4 .262 Amount Requested: Budgeted Item: YES NO SUMMARY && RECOMMENDATION The Police Firing Range was closed due to the damage the dirt backstop berm sustained due to the heavy rains. In an attempt to repair the berm it was determined that due to the previous years of use an environmental impact study was required. A study was conducted and it was determined that the berm area contained an excessive amount of lead which would require the berm to be disposed of in accordance to EPA and TNRCC guidelines. This would require the disposal of the berm as a hazardous material. After numerous meetings the guidelines for the remediation of the range were determined and a Request for Bids was submitted to (8) eight qualified venders, of which (4) four returned sealed bids for the remediation of the firing range. The bids were for the remediation of the berm and an option for the removal of the Live Fire House. Of the four venders submitting the bid Eagle Construction & Environmental Service was the low bidder for the remediation at $40,230.00 and the option of removal of the Live Fire House at $6,032.00 for a total of $46,262.00. Funds for the this Rem ediation project were not budgeted; however, TML has issued a check for $10,000.00 for the damage done to the Firing Range, $20,000.00 has been allotted from the Local Law Enforcement Block Grant of FY 2002, and $16,262.00 will be moved from the Law Enforcement Officers Standards and Education fund that is received from the State Comptroller to fund the remediation of the range. These funds will be moved into account 00 1 -5252-521-8023 to fund this project. It should be noted that this project is only for the remediation of the Police Firing Range and does not include the rebuilding that will be required. The rebuilding will become another issue to bring before Council after the remediation of the range is complete to EPA and TNRCC standards. Action Required by Council: Consider and approve the awarding of the bid to remediate the Police Firing Range to Eagle Construction & Environmental Services. Approved for City Council Agenda Joh eriry Manager Date La Porte Police Department 915 So 8'h Street LaPorte, Texas 77571 . 281-471-3810 Fax: 281-470-1590 Richard E. Reff Chief of Police 12/02/02 To: John Joerns, Acting City Manager From: Richard E. Reff, Chief of Police Subject: Remediation of the Police Firing Range John Joerns Acting City Manager This is forwarded as a briefing and status report on the remediation of the Police Firing Range. Due to the heavy rains of Tropical Storm Allison the Police Firing Range backstop berm and the Live Fire House were damaged. The berm was washed away to the degree that it was unsafe to fire without the possibility of round going over the berm. The range was subsequently shut down until this unsafe condition could be remedied. The Live Fire House also suffered damage due to the heavy range and it was also shut down for safety reasons. This damage was reported to TML along with the other damage the City suffered. TML was contacted and they allotted $10,000.00 for range repair once bids were submitted for the repair. The range remained in stasis until all of the paperwork was submitted and approved. When we then moved forward to repair the range we found out that due to the heavy usage the range had received in the past that an environmental impact study would have to be conducted. This was also recommended by TML. Garner Environmental did conduct a study and determined that our dirt berm contained excessive amount of lead that was in the ground and that the dirt berm had to be "remediated" as a hazardous material to a depth no less that 3 feet below the berm. Lengthy discussions occurred regarding the remediation requirements of EPA and the TNRCC starting with the need to encapsulate the berm material in concrete and transporting to a Hazardous Material Waste Disposal Site in Louisiana. Options were developed that met with TNRCC guidelines and a Request for bids were submitted to eight (8) qualified venders. Of those venders only four (4) submitted bids. The bid was for the remediation of the berm with an option for the removal of the Live Fire House. These bids were for the remediation and removal within the appropriate guidelines and not for the rebuilding of the berm or live fire house. Of the four venders Eagle Construction & Environmental Services were the low bidders with a total of $46,262.00 ($40,230.00 for remediation of the berm and $6,032.00 for the removal of the live fire house). Funding for this project will not effect our current budget as the funds will come from: $10,000.00 from TML that has been held by them for this specific purpose. $20,000.00 from FY 2002 Local Law Enforcement Block Grant Funds. $16,262.00 from existing Law Enforcement Officers Standards and Education funds that are received from the State Comptroller. (001-0000-202-0866). These funds will be moved to 001-5252-521-8023 to fund the remediation of the berm and removal of the live fire house. I have contacted TML and advised them that we have finally gone out for bids for the remediation and opened the bids on l 1 /18/02. TML Risk Management stated that they would process the check and forwarded it to us. The LEOSE funds are currently in our accounts and the LLEBG funds have been transmitted from the Bureau of Justice Assistance. The use of the LLEBG funds was presented to the Block Grant Advisory Board and the board approved the expenditure of $20,000.00 of those funds. The Bureau of Justice Assistance has additionally approved the expenditure as acceptable use of the funds. It should be noted that this remediation does not include the rebuilding of the berm, only the proper disposal of the material. The rebuilding will be a separate matter. I have already contacted the 100 Club regarding the possibility of them funding a bullet trap system as our range has historically and would continue to be available to the agencies in the area. This has received favorable comments and the Executive Director asked me to submit a proposal when we are ready. This bullet trap system could cost up to $80,000.00 but that will be unknown until we have some venders look over our site once the berm has been remediated. C CJ CITY OF LA PORTE INTEROFFICE MEMORANDUM NOVEMBER 21-, 2002 To: Chief Reff, Police Chief Sgt. Matt Daeumer, Police Sergeant From: Susan Kelley, Purchasing Manager X� Subject: Bid #0872 — Remediation of Dirt Berm Advertised, Sealed Bids #0872 — Remediation of Dirt Berm were opened and read on November 18, 2002. Bid requests were mailed to eight (8) vendors with four (4) returning bids. Copies of the bids are attached for your review. Purchasing will be happy to assist -in the evaluation process, if requested. This bid may be placed on the agenda for the City Council meeting on December 9, 2002. Please remember to submit your recommendation with an agenda request form to the City Secretary and Purchasing Manager by the prescribed time. The following items should be included: ➢ Bid tabulation and bidder's list as backup ➢ Date of requested council meeting ➢ Explanation of recommendation, other than apparent low bid Attachment: Bid Copies Bid Tabulation Bidder's List BID TABULATION BID #872 - REMEDIATION OF DIRT BERM EAGLE CONSTRUCTION & GBS USA ENVIRONMENTAL ENSOURCE ENVIRONMENTAL, ENVIRONMENTAL, DESCRIPTION QTY SERV CORPORATION INC. L.P. Remediation of Dirt Berm 1000 $40.23 $40.85 $45.00 $102.00 TOTAL $40,230.00 $40,850.00 $45,000.00 $102,000.00 OPTION Removal of Live Fire House 1 . $6,032.00 $11,600.00 $8,000.00 $6,300.00 Information reflects pricing only and other factors may be including during the evaluation process • U BIDDER'S LIST REMEDIATION OF DIRT BERM SEALED BID #0872 BACA INDUSTRIAL SERVICES CLEAN HARBORS P.O. BOX 1114 2202 GENOA RED BLUFF LA PORTE, TX 77571 HOUSTON, TX 77034 EAGLE CONSTRUCTION ENVIRO 1700 N EAST ST LA PORTE, TX 77571 GBS ENVIRONMENTAL 993 SHELDON RD CHANNELVIEW, TX 77530 ONYX ENVIRONMENTAL 1800 S HWY 146 BAYTOWN, TX 77520 CHAMBER OF COMMERCE P.O. BOX 996 LA PORTE TX 77572-0996 GARNER ENVIRONMENTAL 1717 W 13T" ST DEER PARK, TX 77536 KENT ENVIRONMENTAL SERVICES 2201 CENTER ST DEER PARK, TX 77536 USA ENVIRONMENTAL P.O. BOX 87687 HOUSTON, TX 77287 BAYSHORE PUBLISH DATES OCTOBER 6, 2002 OCTOBER 13, 2002 REQUEST FOR CITY COUNCIL AGENDA ITEM Agenda Date Requested: 12/09/02 Requested By: L. Ditta/A. Bird C�7 - �b Department: Municipal Court Report: Resolution: Ordinance: Exhibits: Bid Tabulation Exhibits: Bidders' List Exhibits: Appropriation Source of Funds: General Fund Account Number: 001-6064-512-8002 Account Number: 001-0000-202-1214 Amount Budgeted: $14,000 Amount Requested: $16,402 Budgeted Item: YES NO SUMMARY & RECOMMENDATION Advertised Sealed Bids #0874 — Remodeling/Renovation of Municipal Court were opened and read on November 21, 2002. Bid Requests were mailed to ten (10) vendors with two (2) returned bids. Option #1 was for securing bids for possible remediation work in the Court Room area. Due to the large variance of bids on Option #l, staff recommends not awarding Option 1 at this time. It would be more economically feasible to coordinate this project with the remediation of the Police Department in the near future. Low bid meeting specifications on the base bid of remodeling and Option #2 was submitted by Stonewall Constructors. Balance of funds will be provided through the Municipal Court Security Escrow, account #001-0000-202-1214. Staff Recommendation Staff recommends award of remodeling of Municipal Court, including Option #2, to Stonewall Constructors. Action Required by Council: Award Bid #0874 — Remodeling/Renovation of Municipal Court to Stonewall Constructors in the amount of $16,402. Date CITY OF LA PORTE INTEROFFICE MEMORANDUM NOVEMBER 21; 2002 To: Aimee Bird, Court Coordinator From: Susan Kelley, Purchasing Manager Subject: Bid #0874 — Remodeling/Renovation of Municipal Court Advertised, Sealed Bids #0874 — Remodeling/Renovation of Municipal Court were opened and read on November 21, 2002. Bid requests were mailed to ten (10) vendors with two (2) returning bids. Copies of the bids are attached for your review. Purchasing will be happy to assist in the evaluation process, if requested. This bid may be placed on the agenda for the City Council meeting on December 9, 2002. P.lease remember to submit your recommendation with an agenda request form to the City Secretary and Purchasing Manager by the prescribed time. The following items should be included: ➢ Bid tabulation and bidder's list as backup ➢ Date of requested council meeting ➢ Explanation of recommendation, other than apparent low bid Attachment: Bid Copies Bid Tabulation Bidder's List BID TABULATION- BID #0874 REMODELING/RENOVATION OF MUNICIPAL COURT DESCRIPTION QTY 3TUNEWALL CONSTRUCTORS COMMODORE CONSTRUCTION Remodeling/Renovation 1 $15,254.00 $21,500.00 Option #1 Removal/Replacement of Walls 1 $14,625.00 $2,850.00 Option #2 Repair Leaking Window & Paint 1 $1,148.00 $500.00 Storage Room Total Including Option #2 $16,402.00 $22,000.00 Total Including Both OptionsL 1 $31,027.001 $24,850.00 Information reflects pricing only and other factors may be included in the evaluation process • • BIDDER'S LIST SEALED BID #0874 REMODELING/RENOVATION OF MUNICIPAL COURT A QUALITY REMODELING 816 BOLSTER BAYTOWN, TX 77520 CHATHAM CONSTRUCTION CO 1617 CEDAR BAYOU RD BAYTOWN, TX ECONOCARE HOME REPAIR 15716 SOUTH BRENTWOOD CHANNELVIEW TX 77530 RUSH BRUSH PAINTING & CONTRACTING 8722 FAIRBROOK LN LA PORTE, TX 77571 VALLE SERVICES, INC P.O. BOX 87234 HOUSTON, TX 77287 CHAMBER OF COMMERCE P.O. BOX 996 . LA PORTE TX 77572-0996 CERTIFIED CONSTRUCTION SERVICES 914 WESTFALL PASADENA, TX 77506 CROFFORD CONSTRUCTION CO 6336 LONG DRIVE HOUSTON, TX 77087 RAZY'S CUSTOM REMODELING 1105 N COUNTRY CLUB SHOREACERS, TX 77571 U S A RESTORATION 3103NHWY146 BAYTOWN, TX 77520 COMMODORE CONSTRUCTION 55 LYERLY, SUITE 100 HOUSTON, TX 77022 BAYSHORE PUBLISH DATES NOVEMBER 6, 2002 NOVEMBER 13, 2002 0 REOUEST FOR CITY COUNCIL AGENDA ITEM Agenda Date Requested: De e 9 002 Requested By: John -Inern Department: X_ Report: Resolution: 4inance: Exhibits: Ordinance Exhibit: Credit Card Policy and Procedure Manual Exhibits: Auurouriation Source of Funds: Account Number: Amount Budgeted: Amount Requested: Budgeted Item: YES NO SUMMARY & RECOMMENDATION The City of La Porte currently has a relationship with two credit card companies: American Express and VISA. Prior to now, there has been no written policy regarding the use of these type city -issued credit cards; it was simply understood that they were to be used exclusively for the purposes of conducting official city business. The attached ordinance establishes a general credit card policy and directs the City Manager to prepare detailed policies and procedures related to the administration, use, and record keeping responsibilities. The Audit Committee reviewed these policies at their last meeting. Action Required by Council: Adopt Ordinance establishing general policies and directing City Manager to prepare detailed procedures for city issued credit cards. PZ oa Date ORDINANCE NO. 2002-a::�r 1q AN ORDINANCE ADOPTING A GENERAL CREDIT CARD POLICY AND DIRECTING THE CITY MANAGER TO ESTABLISH DETAILED POLICIES AND PROCEDURESy FINDING COMPLIANCE. WITH THE OPEN MEETINGS LAWy AND PROVIDING AN EFFECTIVE DATE HEREOF. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE: Section 1. PURPOSE. The City Council of the City of La Porte adopts this Ordinance to establish policies and procedures for the use of credit cards issued to City of La Porte officers and employees. Section 2. GENERAL POLICY. City credit cards are to be used by city officers and employees solely in connection with the performance of their public duties. City credit cards shall not be used for purchases of goods and equipment required to be purchased through the City Purchasing Department. Credit cardholders are responsible for all charges made on their credit card. Only the credit cardholder or a City staff member duly authorized in writing, may sign the credit card receipt. Cardholders are responsible for ensuring cards are secured at all times. Cardholders are responsible for any fraudulent use or misapplication of the card. Section 3. POLICIES, PROCEDURES AND RECORD KEEPING. The City Manager is hereby directed to prepare detailed policies and procedures related to the administration, use and record keeping responsibilities. These policies shall be submitted to the City Council's Audit Committee for approval, and for annual review thereafter, or when changes are proposed. 0 • Section 4. RESTRICTIONS AND EXEMPTIONS. Cardholders may not use a City credit card for the following: 1. Cash refunds or advances. 2. Any purchase of goods or services from a merchant type not considered prudent or of good judgment. 3. Any transaction amount greater than the cardholder's transaction limit. 4. Alcohol or liquor of any kind. Patronization of bars, drinking places and package liquor stores shall not be paid for with the credit card. 5. Separate, sequential, and component purchases, or transactions made with intent to circumvent City purchasing policy. 6. Any other purchase specifically excluded in the City purchasing policy. Section S. SUMMARY. As a public entity, the City is expected to be able to demonstrate to the public that it has spent their tax dollars wisely. All City credit card holders are responsible for insuring purchases made with their credit card will withstand the scrutiny of the press, public and internal audits. Therefore, the cardholder must make sure he or she has adequate documentation, including a clear explanation of the City purpose of each purchase or transaction. All cardholders are responsible for reviewing and understanding the credit card Policy 2 • i and Procedures, and the Purchasing and Travel Policies of the City, appropriate to their position. Section 6. OPEN MEETINGS LAW. The City Council officially finds, determines, recites, and declares that a sufficient written notice of the date, hour, place and subject of this meeting of the City Council was posted at a place convenient to the public at the City Hall of the City for the time required by law preceding this meeting, as required by the Open Meetings Law, Chapter 551, Texas Government Code; and that this meeting has been open to the public as required by law at all times during which this ordinance and the subject matter thereof -has been discussed, considered and formally acted upon. The City Council further ratifies, approves and confirms such written notice and the contents and posting thereof. Section 7. This Ordinance shall be effective from and after its passage and approval, and it is so ordered. PASSED AND APPROVED, this /"l" - day of VCLoniyI ATTEST: 4arThaWA.( Gillett City Secretary APP D• f Knox W. Askins City Attorney CITY F LA PORTE By: Norman L. Malone Mayor 2002. 3 • 0 City of La Porte Interoffice Memorandum To: Mayor and Council From: John E. Joerns, Acting City n r Date: November 27, 2002 Subject: Draft Credit Card Policy Attached for your review is the Final Draft of the Credit Card Policy and Procedure Manual. It was reviewed and approved by the Audit Committee on November 21 s'. They had no substantial c hanges a nd r equested t hat w e f orward i t t o e ach o f y ou f or y our c onsideration. Following your review, it will be placed on the next City Council Meeting Agenda as a Workshop item, followed by an ordinance adopting a credit card policy with reference to the Procedure Manual. Should you have any questions, comments, and/or need additional information, please feel free to contact Cynthia at ext. 265, or myself at ext. 222. Thank you for your continued support and consideration. • 40 Adopted December 9, 2002 City of La Porte, Texas CREDTI' CARD POLICY AND PROCEDURE MANUAL CITY OF LA PORTE CREDIT CARD POLICIES AND PROCEDURES I. DEFINITIONS City of La Porte Credit Card — A Visa, MasterCard, or other credit card that has the same properties as the aforementioned cards that has been appropriately obtained through the City's current Depository. The CLP Credit Card can be used only as established and designated by this policy. Bank Card Vendor — The issuing bank of the Credit card is the City's current Depository or its designee. Program Administrator — Coordinates and administers all aspects of the credit card Program for the City. The Program Administrator is responsible for setting up new accounts and handling requests. The Program Administrator is the contact point on administrative issues with the City's depository and/or Credit Card Vendor regarding the City's Credit Card Program. The Program Administrator is the Director of Finance or his designee. Accounting Division — Responsible for review and timely payment of invoices. Approving Official - Individual who is responsible for the review and approval of Credit Card Statements. A minimum of two Approving Officials is required, one being the Director of Finance or his designee. The second Approving Official is the Department Director or his designee. The Finance Departments Approving Official will be responsible for auditing the City of La Porte Statement of Accounts for all cardholders, and preparing a Quarterly Report to the Audit Committee. Department Representative — Individual who receives the monthly Statement of Account for the credit card and is generally not the cardholder. It is the responsibility of the Department Representative to reconcile the statement to all receipts received from the cardholder, to insure that all receipts and charge slips are attached and that the charges are properly documented. The Department representative is responsible for ensuring that the Departments Approving Official receives and approves the Check Requisition in a timely manner, and that it is forwarded to Accounts Payable within 7 days from receipt for processing. The Department Representative is appointed by the Department Director and is generally a Secretary or Administrative Assistant. Cardholder — Any Individual who has received, and is responsible for, a City of La Porte credit card. Eligible cardholders are limited to Executive Level employees and elected officials as designated by City Council. Authorizing Officile Individual who is responsible for th�auest and authorization of a City Credit Card, and the determination of the cardholders credit limit. In most cases, the Authorizing Official will be the City Manager. When the card requested is for the City Manager, the Authorizing O fficial w ill b e the M ayor, and approval b y t he C ity's Audit Committee is required. II. DUTIES, RESPONSIBILITIES & AUTHORITY A. Program Administration Administrator. The Program Administrator coordinates the City of La Porte Credit Card Program. Program Administrator serves as the contact point with the City's Depository Bank regarding any changes to Cardholder accounts. Administrator may recommend adjustments of individual Cardholder limits and may also recommend the suspension of the purchasing authority of any Cardholder based on abuse. Training. The Program Administrator is responsible for ensuring all cardholders are properly trained in the use of the credit card and that they have received and signed a copy of the Credit Card Policy. Any questions regarding appropriate use of the Credit Cards should be directed to the Program Administrator. Activity Review. The Program Administrator will regularly review all activity on City credit cards. Program Administrator has the authority to request information regarding any transaction or attempted transaction on a City credit card. B. Approving Officials: The Departmental Approving Official is charged with monitoring all aspects of individual credit cards for which they are responsible, and for ensuring that all transactions are properly documented. The Finance Department's Approving Official reviews all charges for propriety and approves all cardholder statements. Either Approving Official shall have the authority to recommend 1) changes to or 2) removal of a credit card, and is also an information source for all cardholders. This Official is responsible for ensuring that cardholder statements are re-routed to Accounts Payable in a timely manner. The Finance Departments Approving Official will be responsible for auditing the City of La Porte Statement of Accounts for all cardholders, and preparing a Quarterly Report to the Audit Committee. 2 C. Credit Cardhfler: • Charges. Cardholders are responsible for all charges made on their credit card. Only the credit cardholder may sign the credit card receipt. Credit Cards may not be loaned to other individuals for use, but may be used to reserve hotel rooms, rental cars, etc. for subordinate staff when required. Maintain cards in secured location. Cardholders are responsible for ensuring cards are secured at all times. Lost or Stolen Credit cards. Cardholders are responsible for immediately notifying the Program Administrator and their Approving Official if a card is lost or stolen. Fraudulent use or Misapplication of the card. Cardholders are responsible for immediately reporting any fraudulent use or misapplication of the credit card to the Program Administrator and their Department Approving Official. Charge dispute resolution. Cardholders are responsible for investigating and resolving any disputes and following the disputed charges procedures. Questionable Charges. Cardholders are responsible for ALL Charges made on their credit card. Questionable charges may be identified by either Approving Official and referred to the Program Administrator for resolution. Receipts/Charge Slips. Cardholders are responsible for ensuring that all receipts and charge slips are on the slip itself or form and retained in a secure location until matched with the statement. Changes in Employment Status. A cardholder is responsible for notifying their Department Approving Official and the Program Administrator regarding changes in their employment status (promotion, transfer, resignation, termination). If a cardholder's status with the City changes in such a manner that he/she is no longer an employee of the City, their credit card shall be turned in to the Department with notice of resignation. Cardholders are accountable and responsible for: -their Credit card. -following the established travel and entertainment procedures. -adherence to limits set for their card. D. Department Credit card Representative Cardholder Statements. The Department Representative will receive the monthly statement of account for their credit cards directly from the Bank Card Vendor. The Representative must reconcile the statement, attach receipts and charge slips and forward to their Approving Official in a timely manner. The Department Representative is also responsible for ensuring that cardholder statements are forwarded to Accounts Payable in a timely manner. 3 E. Finance DepAent • Activity Review. The Finance Department can review all charges made on City Credit cards. Finance has the authority to investigate and request information regarding any purchases made on a City credit card. Cardholder Statements. The Cardholder or Department Representative receives all cardholder statements, reconciles for accuracy, and prepares a Check Requisition. All appropriate documentation is attached, and the packet is forwarded to Accounts Payable for processing. After receipt of an approved Check Requisition, Accounts Payable will route through the Finance Approving Official, process for payment, and remit to the appropriate Vendor. III. POLICIES A. Personal Use: The credit card is to be used for City business only. B. Travel Policy and Limits: All City travel policies and procedures shall be followed when using the credit card system. The total amount of credit card charges shall not exceed credit limits established for each Cardholder. The Authorizing Official will establish credit limits. C. Documentation: The signed credit card charge slip, a cash register receipt, or invoice is required for each charge. If the credit card is used for travel, copies of receipts related to particular trips will need to be attached to the Travel Expense Report for the respective trip. The Documentation of Credit Card Expenditure Form (DCCE) must be used, but can be utilized for multiple charges. D. Restrictions: Credit Cards SHALL NOT be used for (1) Personal Items and/or expenses not related to the City; (2) Purchases of goods and/or services; (3) Contract Items; (4) Capital Items; (5) Alcoholic Beverages; and/or (6) any other non -business related expense. E. Credit Card Retrieval. In the event a cardholder changes employment status (resignation, termination, promotion, transfer, etc.) with the City, cards should ultimately be returned to the Program Administrator (Director of Finance). "Credit Card" should be included on the Human Resources Checklist of items returned to them. In the event of a resignation, it will be Human Resources responsibility to cut the card in half (in the presence of the employee), and return the card to the Program Administrator. If it is a termination, the card should be cut up in the presence of the employee by the highest-ranking City Official involved in the termination meeting; who will then advise Human Resources that it has been retrieved, and forward it to the Program Administrator. F. Fraudulent use or Misapplication of the Credit Card. In the event a Cardholder has used the card fraudulently, either Approving Official shall immediately report the misuse to the Program Administrator and retrieve card. 4 IV. PROCEDURES A. Obtaining a Credit card Prospective Cardholder. All City Credit Card Requests require the approval of the Authorizing Official and the City's Audit Committee. The Credit Card Request and Authorization Form (CCRA) should be completed and submitted to the Authorizing Official (City Manager) for Approval and forwarding to the City's Audit Committee. After their review and approval, the form remains with the Program Administrator who is responsible for securing/obtaining/issuing the Credit Card. When the card is received, the cardholder must sign off on the CCRA Form and the Credit Card Policy, which is then forwarded to Human Resources for placement in the employee's Personnel File. No cardholder will receive the credit card until the credit card policy has been reviewed and signed. Authorizing Official. The Authorizing Official determines the amount of the cardholders credit limit and must verify, sign and forward the form to the Program Administrator for forwarding to the City's Audit Committee. After their review and approval, the form remains with the Program Administrator who is responsible for securing/obtaining/issuing the Credit Card. When the card is received, the cardholder must sign off on the CCRA Form and the Credit Card Policy, which is then forwarded to Human Resources for placement in the employee's Personnel File. No cardholder will receive the credit card until the credit card policy has been reviewed and signed. Program Administrator. After these forms are complete and approved, the Program Administrator will then forward the information to the Depository Bank for card processing. Receipt of Credit card. The Program Administrator will contact the Cardholder when their credit card arrives. The Cardholder will then have to make arrangements to come to the Program Administrator's office to sign the appropriate forms, receive orientation of and sign for receipt of a credit card policy manual, and pick up their credit card. B. Using the Card 1. Verify the charges and sign the charge slip. 2. You s hould r eceive a c opy o f t he c harge s lip, a nd p ossibly a cash register receipt. Keep them in a secure place because they will be needed as backup and documentation of your transaction. 3. In order to comply with a 11 p olicies a nd p rocedures, t he f ollowing information needs to be noted: • Explanations o f any p urchases t hat m ay be perceived as being out of the ordinary. Cardholder may be contacted by Finance if they feel explanation is necessary. 5 ® Any receipts for food items purchased at a restaurant or grocery store require a brief summary of the business purpose, name of business relationship and a list of those people in attendance. This includes all meal expenses not listed on a travel expense report that are related to training. This information should be recorded on the Documentation of Credit Card Expenditure (DCCE) Form. 4. General guidelines for use of credit cards for business meal purposes are: (1) Participants involving a City official(s) and an outside party, i.e. professional consultant, vendor, official form another city or professional association. Other attending city officials shall be of management level. (2) Participants involving the City Manager, a department head and/or other city officials and/or Mayor or City Councilperson. (3) Participants involving an established employee recognition program (i.e. employee of the quarter, manager of the year). 5. In the event of an emergency and the card has to be used to make a purchase, the cardholder should determine purchase needs and present their credit card to the vendor. Indicate to the vendor that this is a tax-exempt City purchase. Under these circumstances, the cardholder is responsible for coordinating returns with the vendor and ensuring that proper credit is made on their Credit card account. No cash refunds are allowed. C. Record -Keeping The Cardholder is responsible for retaining all charge slips and receipts or submitting them to their Credit Card Department Representative. Receipts need to be attached to the appropriate statement before submitting to Department Approving Official. If the charge is not recorded on the first statement after a purchase is made, retain the slips for the next statement. T he v edor should b e contacted to secure a copy of a missing receipt. C. If a receipt is Oted from the statement and either Apaing Official has not been alerted of the missing receipt, the cardholder will be notified. If the receipt is not received within 10 days, the Authorizing Official (City Manager) will be notified and the incident will be noted in the Quarterly Report to the Audit Committee. The cardholder also may be required to turn in their card for a 60-day probationary period. In order to retrieve the card after the probationary period, they will be required to receive credit card procedure training again. This is only after approval has been received from the Authorizing Official (City Manager) and/or Audit Committee to reissue the card. If any further violations occur, the card may be permanently cancelled. D. Cardholder Statement of Account and Payment Procedures The monthly Statements o f Account for a 11 C ity credit c ards w ill b e received b y Department Representative. Credit Card Statements are to be forwarded to Accounts Payable in a timely manner (within 7 days of receipt), signed and with all appropriate documentation. A notification will be sent to the cardholder and the Authorizing Official if a Check Requisition is not received by Accounts Payable within 10 days of receipt by the Department. If the statement is not received in Accounts Payable within 10 days of receipt the Authorizing Official will be notified. Repeated offenses may result in the cardholder being required to turn in their card for a 60-day period. In order to retrieve the card after the probationary period, they will be required to receive credit card training again. This is only after approval has been received from the Authorizing Official to reissue the card. If any further violations occur, the card may be permanently cancelled. Cardholder. Each Cardholder is responsible for maintaining receipts and reconciling statement when received or forwarding receipts to their Credit Card Department Representative. If credit card is used for travel, receipts will need to be duplicated and attached to Travel Expense Report and processed according to the Travel Policy. A minimum of two signatures is required on every statement. Be sure to attach only receipts for purchases listed on that particular statement. Credit Card Department Representative. When the Department Representative receives their statements, they will audit them by comparing all receipts to the itemized purchases listed on the statement. Clearly mark any disputed charges or lost receipts on your statement, and follow the procedures for disputed charges or for replacing lost receipt. In the absence of the Department Approving Official or designee, the Department Representative may sign statement as second required signature (see Signatures section). 7 Approving Oaals. Review all cardholder statemenWr propriety of purchases, proper general ledger account coding, cardholder signature, and attachment of all receipts and charge slips. Note any changes on the cardholder statement and sign each DCCE acknowledging approval of the transactions. If you discover an unauthorized purchase, you must contact the Program Administrator immediately. It is the (Department Approving Official's responsibility to ensure that all Cardholder Statements comply with the procedures and policies and are turned in to Finance in a timely manner (within 7 days of receipt). Signatures. All Check Requisitions for credit card payments require a minimum of two signatures (e.g. cardholder and approving official or cardholder and credit card department representative). The Check Requisition will be returned to the department if appropriate signatures are not included, and processing/payment will be further delayed. The following steps will be taken if the properly authorized check requisition is not received in a reasonable amount of time (within 7 days of receipt): the Department Approving Official and the Authorizing Official will be notified. T he c ardholder in ay a lso b e required t o t urn i n t heir c and for a 60-day period. In order to retrieve the card after the probationary period, they will be required to receive credit card training again. This is only after approval has been received from the City Manager to reissue the card. If any further violations occur, the card may be permanently cancelled. Finance (Department. The Accounts Payable Section will review and process the City of La Porte's Statements for all Cardholders. Finance will audit all Cardholders' Statements for receipts, charge slips, proper general ledger account coding and proper signatures. Statements and receipts will be kept on file behind the Check as a part of the Accounts Payable packet. F. Disputed Charges A charge is considered disputable if one of the following conditions exist: a. A transaction appears on the statement that you did not authorize. b. There is a difference between the amount authorized and the amount billed. c. A transaction on the statement was billed on a previous statement. d. The transaction is authorized but you are disputing the transaction. e. A credit voucher for the transaction has been received but the account has not been credited. f. Account has been charged but the services have not been received. g. Account has been charged but the services have been cancelled. If after the cardholder audits the statement he/she determines some charges are disputable, he/she will immediately investigate these charges to determine if any abuse has occurred or if the charges are valid. Anyone suspecting fraudulent use or misapplication of the card should report this immediately to the Program Administrator for investigation and appropriate action. E? Disputed Chas Procedures: • 1. Clearly mark any questionable charges on the Cardholders Statement of Account. 2. The Cardholder should then attempt to resolve the dispute directly with the credit card vendor. 3. The Program Administrator should be contacted if the Cardholder or Credit Card Department Representative is unable to resolve the dispute. 4. After the dispute has been resolved, the Cardholder should verify that the appropriate charges have been removed and credited (or charged) to their credit card account. G. Questionable Charges. Cardholders are responsible for ALL Charges made on their credit card. Questionable charges will be identified by either Approving Official and referred to the Program Administrator for resolution. If necessary, the Program Administrator will review with the City Manager to determine propriety and receive approval. Questionable Charges not agreed upon by the Program Administrator and City Manager will be identified and noted as such on the Quarterly Report to the Audit Committee for final resolution. H. Lost or Stolen Cards The City is financially liable for a credit card in the event it is lost or stolen and is subsequently used. However, once you have notified the Bank Card Vendor that your card is lost or stolen, the City is no longer liable for any purchases made with the card. Lost or Stolen Card Procedures: In the event your card is lost or stolen, the Cardholder must INOMWATELY: 1. Call the Bank Card Vendor's Customer Service Line (Southwest Bank of Texas), where representatives are available 24 hours a day. Lost or stolen cards will be replaced by the Bank Card Vendor. Customer Service 1-800-558-3424 Tell the representative the call is regarding a City of La Porte credit card. Always obtain the name of the Bank Card Vendor representative to whom you reported the lost or stolen card. 2. Notify your Department Approving Official that your credit card has been stolen or lost. 3. Call the Program Administrator. Program Administrator will submit proper forms to ensure lost or stolen credit card is cancelled and new card is ordered. • 0 H. Credit card Account Changes If changes are necessary to an existing credit card account, a Credit card Account Change form should be completed, the appropriate approvals obtained and a copy forwarded to the Program Administrator. The Program Administrator will contact the Cardholder if any additional information is needed. 1. Closing a Credit card Account In t he a vent t hat a n account must be closed, the Department Approving Official should notify the Program Administrator and Authorizing Official, and assist the Cardholder with the closing procedures detailed below. If the account must be closed immediately, e-mail the Program Administrator so they can verbally close the account with the Bank Card Vendor and then follow the procedures described below. Account Closing Procedures: 1. The Cardholder and the Approving Official must jointly complete the Credit Card Account Change form. 2. Cut the credit card in half and send it with the above form to the Program Administrator. 10 APPENDICES • I. Finance Form CCRA II. Finance Form DCCE Credit Card Request and Authorization Sample Completed Form CCRA Documentation of Credit Card Expenditures Sample Completed Form DCCE III. Finance Form CCAC Credit Card Account Change Sample Completed Form CCAC FLOWCHART OF CREDIT CARD PROCESS 11 SAIbIIME COMPLETED FORM ORA City of La Porte, Texas CREDIT CARD REQUEST AND AUTHORIZATION Employee/Official Name: John Edward Doe Position/Title: Director of Public Information Authorized Limit: $2,500.00 Date of Request: November 1, 2002 Cardholder Acknowledgement I hereby acknowledge receipt of the City of La Porte written Credit Card Policy, and certify that it has been reviewed with me. I understand that by accepting this card, I am aware that it is to be used ONLY for the purposes of official business for the City of La Porte and I accept full responsibility for its safekeeping. I further agree to abide by the City of La Porte Credit Card Policy and Procedures Manual, and understand that I may be personally liable for any unauthorized charges made by me and agree that any such charges may be deducted from my paycheck. Prospective Cardholder Date Authorizing Officer (City Manager) Department Approving Official Audit Committee Approval Program Administrator Approval Date Request Processed Date Card Issued Finance Form CCRA 12 11/01/02 SAM&E COMPLETED FORM *CE Please tape Receipt Here Please tape Receipt Here Documentation of Credit Card Expenditure WHO Name of Person(s) Present WHAT Amount and Explanation of Expenditure WHEN Date and Time WHERE Name of Vendor WHY Purpose of Expenditure Additional Information Note any specific details or explanation to further explain/justify expenditure. Be sure to attach documentation as necessitated. AO FAO Documentation of Credit Card Expenditure WHO John Doe, Jerry Whoman WHAT Lunch $18.95 WHEN November 15, 2002 1:30 p.m. WHERE Antonio's Pizza - La Porte WHY Staff Appreciation Additional Information See attached Memo from Fire Department regarding staff heroic effort Q0� FAO AO = Approving Official Finance Form DCCE 13 FAO = Finance Approving Official SAMSE COMPLETED FORM OAC City of La Porte, Texas CREDIT CARD ACCOUNT CHANGE Employee/Official Name: Position/Title: Authorized Limit: Date of Request: INDICATE TYPE OF CHANGE: NAME CHANGE FROM: TO: A UTHORIZED LIMIT FROM. - Authorizing Officer (City Manager) Department Approving Official TO: Program Administrator Acknowledgement Date Request Processed Finance FormCCRA 14 Date Card Issued 11/01/02 City of La Porte, Texas CREDIT CARD REQ VEST AND A UTIIORIZA TION Employee/Official Name: Position/Title: Authorized Limit: Date of Request: Cardholder Acknowledgement I hereby acknowledge receipt of the City of La Porte written Credit Card Policy, and certify that it has been reviewed with me. I understand that by accepting this card, I am aware that it is to be used ONLY for the purposes of official business for the City of La Porte and I accept full responsibility for its safekeeping. I further agree to abide by the City of La Porte Credit Card Policy and Procedures Manual, and understand that I may be personally liable for any unauthorized charges made by me and agree that any such charges may be deducted from my paycheck. Prospective Cardholder Date Authorizing Officer (City Manager) Department Approving Official Audit Committee Approval Program Administrator Approval Date Request Processed Date Card Issued Finance Form CCRA 11ro1/02 • • Documentation of Credit Card Expenditure WHO WHAT Please tape Receipt Here WHEN WHERE WHY Additional Information AO FAO Documentation of Credit Card Expenditure WHO WHAT Please tape Receipt Here WHEN WHERE WHY Additional Information AO FAO AO - Approving Official Finance FormDCCE FAO = Finance Approving Officid 0 • City of La Porte, Texas CREDIT CARD ACCOUNT CHANGE Employee/Official Name: Position/Title: Authorized Limit: Date of Request: INDICATE TYPE OF CHANGE: NAME CHANGE FROM: TO: AUTHORIZED LIMIT FROM. - Authorizing Officer (City Manager) Department Approving Official TO: Program Administrator Acknowledgement Date Request Processed Finance Form CCRA Date Card Issued 11/01/02 MEETING HANDOUTS December 3, 2003. Dear Mayor Malone, City Councilmembers, and Mr. Joerns, I would like to take this opportunity to express my families gratitude for the prompt, professional response that was given by the La Porte EMS, to save the life of my mother, Essie Pearl Dunham. On Monday morning, December 2, 2002, my mom felt very ill and was afraid she would collapse, having been battling her asthma for many days. She called my sister, then 911 and requested an ambulance. I was notified by our office that there was an ambulance dispatched to my parents house, something was wrong with my mother. When I arrived I found her sitting in her chair, struggling to breath, gasping that she could not breathe. I began to try to calm her down, assess her needs, and get her on oxygen as quickly as possible. Fortunately, the EMS supervisor, Joe Berry, was nearby and responded to the call. He immediately began patient assessment, and got the oxygen going, but mom kept telling us she could not breathe. Shortly thereafter, the ambulance with Paramedics Andrew Chalk and Jason P� go Peugeot arrived and they began their work, hooking up monitors, starting IV's, assembling drugs, and all the other things they have on board to keep patients alive. I think all four of us recognized that mom was in real trouble from the way she looked and was reacting, and without saying anything, the paramedics had already planned for the worse and were ready. Suddenly mom stopped gasping and collapsed in the chair, and the heart monitor showed her heart had stopped beating and was in ventricular fibrillation. We immediately lifted her to the floor and the crew placed the pads in position and administered a shock with the defibrillator, with no conversion. They shocked her a second time and her heart returned to normal rhythm and she began to breathe on her own again. We loaded her in the ambulance and with the help of volunteer firefighter Shawn Smith, we headed to the hospital. En route the paramedics continued administering drugs and when we got to the emergency room she was basically stable. Had it not been for the quick intervention with the defibrillator, and the quality care provided by the three paramedics, my mother would not have survived. Because of these highly trained folks at EMS, my mom is alive and well, recovering at the hospital. I have been in the Fire and Emergency Services business here in La Porte for a very long time, and I have witnessed the transformation of the old "load and go" days of ambulance services, to the current quick intervention on scene by paramedics with their MICU (Mobile Intensive Care Unit) ambulances, supported by our medical director and their medical protocols. The citizens of La Porte are indeed fortunate to have one of the finest EMS groups in the world looking out for them. I would also like to thank the Mayor, the City Council, and the City Administration for always finding a way to provide the funds necessary to support the Emergency Services needs of our community for all these years, and I am confident that they will do so in the future. I know the Fire, Police, and EMS has kind of been in the spotlight since the attacks on September 11 , and 1 know it is appreciated. But just remember, these folks "have been doing, are doing, and will continue doing" this job every single day, 24 hours a day, 365 days a year. Everyone should take the time to thank their elected officials and everyone in public service that makes it all happen, from saving a life, extinguishing a fire, picking up the garbage, or making sure we have water to drink. Again, my heartfelt thanks to those three guys I've worked next to for so many years that saved our mom's life, right before our very eyes, and of course thanks to God for looking over our shoulders and letting mom stay with us a while longer. Thanks fella's, and yes, it is VERY different when it's one of your own you have to work on. Sincerely, John "Champ" Dunham Assistant Fire Chief La Porte Fire Department