HomeMy WebLinkAbout1999-293
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RESOLUTION NO: 1999-293
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RESOLUTION OF THE MAYOR AND COMMON COUNCIL
APPROVING AND AUTHORIZING EXECUTION OF A HOME
AGREEMENT BETWEEN THE CITY OF SAN BERNARDINO AND
NEIGHBORHOOD HOUSING SERVICES OF THE INLAND EMPIRE
(NHSI) FOR THE CONTINUATION OF THE HOMEBUYER'S
EDUCATION PROGRAM IN AN AMOUNT NOT-TO-EXCEED $80,000
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THE MAYOR AND COMMON COUNCIL ACTING ON BEHALF OF THE
REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO DOES HEREB
RESOLVE, DETERMINE, AND ORDER AS FOLLOWS:
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SECTION 1. The Mayor is hereby authorized and directed to execute on behalf of the
City an Agreement between the City and Neighborhood Housing Services of the Inland Empire
Inc., (NHSI) in order to allocate the sum of $80,000 from the HOME Investment Partnership Act
Fund to NHSI to implement the Home Buyer Education Program as per the provisions of the
Agreement, a copy of which is attached hereto, marked Exhibit "A" and incorporated herein by
reference as though fully set forth at length.
SECTION 2. The Mayor is hereby authorized to make minor corrections, additions, and
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clarifications to the Agreement, provided said changes are not substantive in nature, and do not
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increase the monetary impact to the City.
SECTION 3. The authorization to execute the above referenced Agreement is rescinded
if the parties to the Agreement fail to execute it within sixty (60) days of the passage of this
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resolution.
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1999-293
1
RESOLUTION OF THE MAYOR AND COMMON COUNCIL
APPROVING AND AUTHORIZING EXECUTION OF A HOME
AGREEMENT BETWEEN THE CITY OF SAN BERNARDINO AND
NEIGHBORHOOD HOUSING SERVICES OF THE INLAND EMPIRE
(NHSI) FOR THE CONTINUATION OF THE HOMEBUYER'S
EDUCATION PROGRAM IN AN AMOUNT NOT -TO-EXCEED $80,000
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6 I HEREBY CERTIFY that the foregoing resolution was duly adopted by the Mayor and
7 Common Council of the City of San Bernardino at a joint regular meeting thereof, held
8 on 15th
day of November
, 1999 by the following vote, to wit:
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10 COUNCIL MEMBERS: AYES
ESTRADA x
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LIEN X
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MCGINNIS x
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SCHNETZ X
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VACANT - 5th Ward
15 ANDERSON X
16 MILLER
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NAYS
ABSTAIN
ABSENT
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(2"r~,1 h.~
~;k
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The foregoing resolution is hereby approved thisLll2lay of November
,1999.
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Approved as to form and Legal Content:
James F. Penman, City Attorney
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1999-293
CITY OF SAN BERNARDINO
ECONOMIC DEVELOPMENT AGENCY
HOME INVESTMENT PARTNERSHIP ACT PROGRAM
AGREEMENT
THIS AGREEMENT is entered into effective as of the 1" day of November 1999, at San
Bernardino, California, between the CITY OF SAN BERNARDiNO, a municipal corporation,
referred to as "City", and Neiehborhood Housine Services ofthe Inland Emoire. Inc., a nonprofit
community service organization, referred to as "NHSI". City and NHSI agree as follows:
1. RECITALS
(a) NHSI has requested financial assistance from City for fiscal year 1999/2000 from
funds available through the U.S. Department of Housing and Urban Development-
HOME Investment Partnership Act Program, referred to as "HOME Program".
(b) NHSI represents that the expenditures authorized by this Agreement are for the
Homebuver Education Proeram which is a valid and eligible housing development
purpose, as defined in 24 CFR, Part 92 in accordance with federal law and
regulations, and that all funds granted under this Agreement will be used for no
purpose other than those purposes specifically authorized. The specific purpose and
scope of services of this particular grant are set forth in Exhibit "A", attached hereto
and incorporated into this Agreement as though fully set forth herein.
(c) NHSI will comply with applicable uniform administrative requirements, as described
in 24 CFR, Part 92.
(d) NHSI will carry out each activity, program and/or project in compliance with all
federal laws and regulations as set forth in 24 CFR, Part 92, with the following
exceptions, (i) the NHSI does not assume the environmental responsibilities of the
City as described in 24 CFR, Part 92.352; (ii) the NHSI does not assume the City's
responsibilities for initiating the review process under Executive Order Number
12372.
(e) NHSI will comply with the requirements set forth in the Uniform Relocation
Assistance and Real Property Acquisition Policy Act of I970, as amended, referred
to as "URA", 49 CFR, Part 24 in accordance with federal regulations when
attempting to or acquiring any building or parcel of land. NHSI will be required to
obtain written approval from the Executive Director referred to as "Director" or
designee, of the Economic Development Agency referred to as "EDA" of the City
of San Bernardino, the administrative entity appointed by the City, referred to as
"Director" prior to any activity taking place within the confines ofURA 49 CFR, Part
24, as amended.
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2. PAYMENTS
City shall reimburse NHSI for allowable costs, if applicable, incurred under the scope of this
Agreement and applicable federal regulations, which have not been paid, on, Neighborhood
Housing Services Inc's behalf. Reimbursement will be made at least on a monthly basis,
with the total of all such payments and/or reimbursements not to exceed Eiehtv Thousand
Dollars ($80,000).
3. TERM
This Agreement shall commence November 1. 1999, and terminate October 31. 2000. The
Executive Director of the EDA is hereby authorized, with the concurrence of the other parties
to this Agreement, to extend for a period not to exceed ninety (90) days, in order to complete
the project(s) and other obligations required to be performed herein.
4. USE OF FUNDS: BUDGET: TRAVEL LIMITATION
(a) The funds paid to NHSI shall be used by it solely for the purposes set forth in
Paragraph I(b) of this Agreement, and in accordance with the program budget
submitted by NHSI to EDA for review and approval.
(b) No travel expenses for out-of-state travel shall be included in this Program unless
specifically listed in the budget as submitted and approved, and all travel expenses
to be funded from funds provided hereunder shall be specifically identified as travel
expense, which shall be negotiated between the Director, or designee, and NHSI as
listed in the budget. Any travel expenses incurred by NHSI above the budgeted
amount or for out-of-state travel shall not be eligible for reimbursement unless the
prior written approval of the Director, or designee, has been obtained.
(c) Funds shall be used for purposes authorized by the HOME Program only, and no
portion of the funds granted hereby shall be used for any purpose not specifically
authorized by this Agreement.
(d) NHSI shall be allowed, with the prior written approval of the Director, to modify the
budget during the first three (3) quarters of the term of this Agreement, so long as
NHSI is in compliance with Section "2" of this Agreement at the time of submission
of the budget modification request. A variation in the itemization of costs as set forth
in the proposed budget submitted to EDA, not to exceed ten percent (10%) shall be
allowed, provided that the prior written approval of the Director is obtained, it being
understood that the total amount of the grant shall not be varied thereby.
(e) The parties intend that grant funds be utilized within the time period covered by this
Agreement, and entitlement to any funds not expended or obligated shall revert to the
City. No reserve for the future shall be established with the fund except as may be
authorized to meet commitments made for services provided during the period of this
Agreement, but not yet paid for at the conclusion of this Agreement.
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(f) NHSI shall remain in compliance with all state, federal and local laws prior to the
receipt of any reimbursement hereunder. This includes, but is not limited to, all laws
and regulations relative to the form of organization, local business licenses and any
laws and regulations specific to the business and activity carried out by NHSI.
Reimbursement shall not be made to NHSI which is not operating in compliance with
all applicable laws. Reimbursements may be subsequently paid, at the direction of
the Executive Director for reimbursement costs incurred during the period when
compliance is achieved before expiration of this Agreement.
5. ACCOUNTING: AUDIT
(a) Prior to the final payment under this Agreement, and at such other times as may be
requested by the Executive Director, NHSI shall submit to the Director an accounting
of the proposed and actual expenditures of all revenues from whatever source
accruing to the organization for the fiscal year ending June 30. 2000 and 2001.
(b) Financial records shall be maintained by NHSI in accordance with generally accepted
accounting principles, and in a manner which permits City to trace the expenditures
of funds to source documentation. All books and records of NHSI are to be kept
open for inspection by the City, its officers or agents, and by any representative of
the United States Department of Housing and Urban Development authorized to
audit HOME programs, at any time during the business day.
(c) Standards for financial management systems and financial reporting requirements
established by 24 CFR, Parts 85.20 and 85.22 shall be fully complied with by NHSI.
NHSI acknowledges that the funds provided are federal funds.
(d) NHSI's financial management system shall provide for accurate, current and complete
disclosure of the financial results of the program sponsored by this Agreement. It is
the responsibility of NHSI to adequately safeguard all assets of the program, and
NHSI shall assure that they are used solely for authorized purposes.
(e) NHSI will be required to submit an audited financial statement during the monitoring
visit by the City.
6. SERVICES AVAILABLE TO RESIDENTS: MONITORING AND REPORTING
PROGRAM PERFORMANCE.
The services ofNHSI shall be made available to residents and inhabitants of the City of San
Bernardino unless otherwise noted in Exhibit "A". No person shall be denied service
because of race, color, national origin, creed, religion, sex, marital status, or physical
handicap. NHSI shall comply with Affirmative Action guidelines in its employment
practices. NHSI shall also monitor the program's activities and submit written reports
quarterly, or more often if requested, to the Executive Director or designee, in accordance
with 24 CFR, Part 85.41 (c)(d) and Part 85.21. Failure to provide such quarterly
performance reports may prevent the processing by EDA of NHSI's requests for
reimbursement, and may justify temporary withholding as provided for in Paragraph" 11"
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hereof. City and EDA reserve the right to waive such breach, without prejudice to any other
of its rights hereunder, upon a fmding by the Executive Director or designee that such failure
was due to extraordinary circumstances and that such breach has been timely cured without
prejudice to the City and EDA.
7. PROCUREMENT PRACTICES: CONFLICT OF INTEREST
NHSI shall comply with procurement procedures and guidelines established by 24 CFR, Part
85.36 (d)(l), NHSI "Procurement Standards". In addition to the specific requirements of 24
CFR, Part 85, NHSI shall maintain a code or standards of conduct which shall govern the
performance of its officers, employees or agents in contracting with and expending the
federal grant funds made available to NHSI under this Agreement. NHSI's officers,
employees or agents shall neither solicit nor accept gratuities, favors, or anything of
monetary value from contractors or potential contractors. To the extent permissible by state
law, rules, and regulations, the standards adopted by NHSI shall provide for penalties,
sanctions or other disciplinary actions to be applied for violations of such standards by either
the NHSI's officers, employees or agents, or by contractors or their agents. NHSI shall
provide a copy of the code or standards adopted, to City forthwith. All procurement
transactions without regard to dollar value shall be conducted in a manner so as to provide
maximum open and free competition. The NHSI shall be alert to organizational conflicts of
interest or non-competitive practices among contractors which may restrict or eliminate
competition or otherwise restrain trade. NHSI agrees to adhere to conflict of interest
provisions set forth in 24 CFR Part 92 and to the procurement rules specified in 24 CFR, Part
85.36, in its expenditure of all funds received under this Agreement.
8. ANTI-KICK BACK PROVISIONS: EOUAL EMPLOYMENT OPPORTUNITY
All contracts for construction or repair using funds provided under this Agreement shall
include a provision for compliance with the Copeland "Anti-Kick Back" Act (I8 U.S.C. 874)
as supplemented in Department of Labor Regulations (29 CFR, Part 3). This Act provides
that each contractor or subgrantee shall be prohibited from inducing, by any means, any
person employed in the construction, completion or repair of public work, to give up any part
of the compensation to which he/she is otherwise entitled. NHSI shall report all suspected
or reported violations to EDA. All contracts in excess of$10,000.00 entered into by NHSI
using funds provided under this Agreement shall contain a provision requiring compliance
with Equal Employment Opportunity provisions established by Executive Order Number
11246, as amended and 24 CFR, Part 135, Section 135.38.
9. PREVAILING WAGE REQUIREMENT
Any construction contracts awarded by NHSI using funds provided under this Agreement
in excess of$2,000.00 shall include a provision for compliance with the Davis-Bacon Act
[40 U.S.C. 276(a) to 276(a)(7)] and as supplemented by Department of Labor Regulations
(29 CFR, Part 3). Under this Act, contractors shall be required to pay wages to laborers and
mechanics at a rate not less than the minimum wages specified in a wage determination made
by the Secretary of Labor. In addition, contractors shall place a copy of the current
prevailing wage determination issued by the Department of Labor in each solicitation and
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the award of a contract shall be conditioned upon the acceptance of the wage determination.
NHSI shall report all suspected or reported violations to EDA.
I o. APPROVAL OF CITY OF ANY CHARGES: USE OF PROGRAM INCOME
(a) City and EDA hereby requires NHSI to notify the EDA in writing, of its intent to
charge a fee for any service, the provision of which is assisted pursuant to the
Agreement. City requires NHSI to obtain the prior written approval of EDA for any
charges or fees to be charged by NHSI for such services, and of any rules and
regulations governing the provision of services hereunder.
(b) Program income represents gross income received by the NHSI directly generated
from the use of funds provided hereunder. Such earnings include interest earned on
advances and may include, but will not be limited to, income from service fees, sale
of commodities, usage and rental fees for real or personal property using the funds
provided by this Agreement. As to such income, it shall be first applied to eligible
program activities, before requests for reimbursement and, in the use, shall be subject
to all applicable provisions of this Agreement. Income not so applied shall be
remitted to EDA. NHSI shall remit all unspent program income to the EDA within
thirty (30) days subsequent to the end of the program year, if applicable.
11. TEMPORARY WITHHOLDING
The Executive Director or designee, ofthe EDA is authorized to temporarily withhold the
payment of funds to NHSI when the Director determines that any violation of this Agreement
has occurred. Funds shall be withheld until the violation is corrected to the satisfaction of
the Director. NHSI shall have the right to appeal the decision of the Director to the Mayor
and Common Council. The sole grounds for such appeal shall be that no violation of the
Agreement has occurred. NHSI shall file such appeal within fifteen (15) days after such first
withholding. The Mayor and Common Council shall set a date for the hearing of such appeal
which is within thirty (30) days following the date of filing.
12. RECORDS RETENTION
Financial records, supporting documents, statistical records, and all other records pertaining
to the use of the funds provided under this Agreement shall be retained by NHSI for a period
of three (3) years, at a minimum, and in the event oflitigation, claim or audit, the records
shall be retained until all litigation, claim or audit findings involving the records, have been
fully resolved. Records for non-expendable property acquired with federal funds provided
under this Agreement shall be retained for three (3) years after the final disposition of such
property.
B. PROPERTY MANAGEMENT STANDARDS
Non-expendable personal property, for the purposes of this Agreement, is defined as tangible
personal property, purchased in whole or in part with federal funds, which has useful life or
more than one (1) year and an acquisition cost of one-thousand dollars ($1,000.00) or more
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per unit. Real property means land, including land improvements, structures and
appurtenances thereto, excluding movable machinery and equipment. Non-expendable
personal property and real property purchased with or improved by funds provided under this
Agreement shall be subject to the property management standards set forth in 24 CFR, Part
85.32.
14. TERMINATION FOR CAUSE
(a) City reserves the right to terminate this Agreement in accordance with 24 CFR, Part
85.43, and any and all grants and future payments under this Agreement, in whole
or in part, at any time before the date of completion of this Agreement whenever City
determines that the NHSI has materially failed to comply with the terms and
conditions of this Agreement. In the event City seeks to terminate this Agreement
for cause, EDA shall promptly notify the NHSI in writing of the proposed
termination and the reasons therefore, together with the proposed effective date.
NHSI shall be given an opportunity to appear before the Mayor and Common
Council at the time at which the Mayor and Common Council are to consider such
recommended termination, and shall be given a reasonable opportunity to show cause
why, if any exists, the Agreement should not be terminated for cause. Upon
determination by the Mayor and Common Council that the contract should be
terminated for cause, notice thereof, including reasons for the determination, shall
promptly be mailed to the NHSI, together with information as to the effective date
of the termination. Such notice may be given orally at that hearing. The
determination of the Mayor and Common Council as to cause shall be final.
(b) In the event of any termination whether for cause or for convenience, NHSI shall
forthwith provide to the Development Department of EDA any and all
documentation needed by the EDA to establish a full record of all monies received
by NHSI and to document the uses of same.
15. TERMINATION FOR CONVENIENCE
City or NHSI may terminate this Agreement in whole or in part provided both parties agree
that the continuation of the program would not produce beneficial results commensurate with
further expenditure of funds. In such event, the parties shall agree upon the termination
conditions, including the effective date and, in the case of partial terminations, the portion
to be terminated. The NHSI shall not incur new obligations for the terminated portion after
the effective date and shall cancel as many outstanding obligations as possible. EDA shall
allow NHSI full credit for the EDA's share of the non-cancelable obligations properly
incurred by the NHSI prior to termination.
16. REVERSION OF ASSETS
NHSI agrees that upon expiration of this Agreement, the NHSI shall transfer to the EDA any
and all HOME funds not used at the time of expiration and any accounts receivable
attributable to the use of HOME funds. NHSI agrees that any real property under its control,
which was acquired or improved, in whole or in part, with HOME funds in excess of $500.00
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be disposed of in a manner which results in the City being reimbursed in the amount of the
current fair market value of the property less any portion thereof attributable to expenditure
of, or improvement to, the property by NHSI. Such reimbursement is not required after the
period of time specified in "3" above.
17. INSURANCE
Without limiting NHSI's indemnification of Agency or City, NHSI shall provide and
maintain at its own expense during the term of this Agreement the following program( s) of
insurance covering its operation hereunder.
Comprehensive General and Automobile Liability Insurance. NHSI shall obtain general
liability insurance on a per occurrence basis with a combined single limit of one million
dollars ($1,000,000); and automobile liability insurance for owned, hired and non-owned
vehicles on a per occurrence basis with a combined single limits of one million dollars
($1,000,000). Additional insured endorsements are required for general and automobile
liability policy coverage.
Other requirements and acceptable proof of insurance:
1. All insurance coverage must be maintained throughout the duration of this
Agreement.
2. Insurance companies must have an A.M. Best Rating of B+ VII or better.
3. Acceptable Proof ofInsurance:
A. ACCORD Certificate ofInsurance listing all coverage, limits, deductibles and
insurers; and blanket endorsements for all applicable coverage if agent has
authority to issue it; or
B. Binders of insurance for all coverage. Agents must confirm that policy
endorsements have been ordered from the respective insurance companies.
Upon issuance, policy endorsements and a corresponding Certificate of
Insurance listing all insurers and coverage must be submitted to the City and
Agency.
NOTE: Insurance binders are only valid for 30 days and may need to be reissued if
the policy endorsements are still pending. Binders may be issued for a maximum of
three, thirty (30) day periods.
NHSI shall furnish certified copies of all policies and endorsements to the City and
Agency, evidencing the insurance coverage above required, five business days prior
to the commencement of performance of Services hereunder, which certificates
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shall provide that such insurance shall not be terminated or expire without thirty (30)
day prior written notice to the City and Agency, and shall maintain such insurance
from the time NHSI commences performance of Services hereunder, until the
completion of such services.
All policies, with respect to the insurance coverage required above, shall contain
additional insured endorsements naming the City and Agency, and their officers,
agents, employees and volunteers as additional name insured, with respect to
liabilities arising out ofthe performance of Services hereunder.
18. HOLD HARMLESS
NHSI agrees to indemnify, save and hold harmless the City and the EDA and their
employees and agents from all liabilities and charges, expenses (including counsel fees),
suits or losses, however occurring, or damages, arising or growing out of the use of or receipt
of funds paid under this Agreement and all operations under this Agreement. Payments
under this Agreement are made with the understanding that the City and the EDA are not
involved in the performance of services or other activities of the NHSI. NHSI and its
employees and agents are independent contractors and not employees or agents of City and
the EDA. The costs, salary and expenses of the City Attorney and members of his office in
enforcing this contract on behalf of the City shall be considered as "counsel fees" for the
purposes of this paragraph.
19. AMENDMENT
This Agreement may be amended or modified only by written agreement signed by both
parties, and failure on the part of either party to enforce any provision of this Agreement
shall not be construed as a waiver of the right to compel enforcement of any provision or
provlSlons.
20. ASSIGNMENT
This Agreement shall not be assigned by NHSI without the prior written consent of City.
21. NOTICES
All notices herein required shall be in writing and delivered in person or sent certified mail,
postage prepaid, addressed as follows:
AS TO CITY:
SUB RECIPIENT:
City of San Bernardino
Economic Development Agency
201 North "E" Street, Suite 301
San Bernardino, CA 92401
Edward F. Moncrief, Executive Director
Neighborhood Housing Services
of the Inland Empire, Inc.
1390 North "D" Street
San Bernardino, California 92405
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22. EVIDENCE OF AUTHORITY
NHSI shall provide to EDA evidence in the form of a certified copy of minutes of the
governing body ofNHSI, or other adequate proof, that this Agreement has been approved
in all its detail by the governing body of the NHSI, that the person(s) executing it are
authorized to act on behalf ofNHSI, and that this Agreement is a binding obligation on
NHSI.
23. CERTIFICATION OF ASSURANCE
NHSI shall comply with the program requirements attached hereto as Exhibit "C", which are
incorporated by reference as though fully set forth at length and made a part of this
Agreement by execution of all certifications and assurances of the HOME program.
24. ENTIRE AGREEMENT
This Agreement and any document or instrument attached hereto or referred to herein
integrates all terms and conditions mentioned herein or incidental hereto, and supersedes all
negotiations and prior writing in respect to the subject matter hereof. In the event of conflict
between the terms, conditions or provisions of this Agreement, and any such document or
instrument, the terms and conditions of the Agreement shall prevail.
25. NO THIRD PARTY BENEFICIARIES
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No third party shall be deemed to have any rights hereunder against any of the parties hereto
as a result of this Agreement.
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IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the date and
year first herein above written.
CITY OF SAN BERNARDINO
Executive Director/CEO
~........L. ;t ~H- <'--
resident of the Board
JUDITH A LES, Mayor
City of n ernardino
~4~
Secretary
RA~RK~i~
City of San Bernardino
Approved as to form and
legal content:
JAMES F. PENMAN, City Attorney
By:
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EXHIBIT A
SCOPE OF SERVICES
I. Funds will be used to implement and manage a Homebuyer Education Program for families
purchasing properties within the boundaries of the City of San Bernardino. NHSI shall give
priority to homebuyers participating in the City/Agency ARR-MAP Programs.
2. The Program shall consist of, but not limited to, preparation of materials and conducting
classes on homeownership that includes credit repair, home maintenance, mortgage lender
requirements, default and foreclosure knowledge, etc.
3. The cost per family, to be reimbursed under this Agreement shall not exceed $350.
4. The total amount of funding to be available under this Agreement shall not exceed $80,000.
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EXHIBIT B
Services
Capital Improvements
Other
TOTAL
$80,000
$80,000
Planning Concepts
Design & Engineering
Advertisement for Bids
Bid Open
Award of Contract
Begin Construction
50% Construction
Complete Construction
Project Completion
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EXHIBIT C
CITY OF SAN BERNARDINO
DEVELOPMENT DEPARTMENT
"Certification and Assurance"
(To Accompany HOME Agreement)
I, Edward F. Moncrief. Executive Director
(Name and Title of Official)
Neighborhood Housing Services of the Inland Empire. Inc.
(Name of Agency/Organization)
1390 North "D" Street San Bernardino. California 92405
(Address of Agency/Organization)
, of the
located at
do hereby
make the following certification and assurance to accompany the HOME Agreement between
Neighborhood Housing Services of the Inland Empire. Inc.
(Name of Agency/Organization)
and the
City of San Bernardino:
a) Certify that the information booklet for HOME Program requirements has been read and
understood, and
b)
Assure that the Neighborhood Housing Services of the Inland Empire. Inc.
(Name of Agency/Organization)
will
comply with all governing requirements as stipulated herewith in the performance of the HOME
Agreement.
Signature of Official
//-/a- 1'7
Date
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