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HomeMy WebLinkAbout07.A- City Manager RESOLUTION 2013-52 DOC ID: 2470 H CITY OF SAN BERNARDINO—REQUEST FOR COUNCIL ACTION Public Hearing From: Allen Parker M/CC Meeting Date: 06/03/2013 Prepared by: Lisa Connor, (909) 663-1044 Dept: City Manager Ward(s): All Subject: Resolution of the Mayor and Common Council of the City of San Bernardino Approving the Amendment to the 2010-2015 Consolidated and 2012-2013 Action Plans and Allocating $2,360,000 in Home Investment Partnership Act Funds for Single Family Housing Rehabilitation Program ($1,400,000), Homebuyer Assistance and Education Service Program ($880,000) and Mobile Home Grant Repair Program ($80,000); and $150,000 in Community Development Block Grant Funds for Single Family Beautification Loan/Grant Program ($100,000) and Elderly/Special Needs Minor Repair Grant Program ($50,000). (#2470) Current Business Registration Certificate: Not Applicable Financial Impact: Account Budgeted Amount: There is no fiscal impact to the City's General Fund. The $2,360,000 is available in HOME and$150,000 is available in CDBG Program Funds. Account No. <<Insert Account No.>> Account Description: <<Insert Account Description Balance as of. <<Insert Date>> Balance after approval of this item: <<Insert Amount>> Please note this balance does not indicate available funding. It does not include non-encumbered reoccurring expenses or expenses incurred,but not yet processed. The hearing remains open. Motion: Continue to June 17, 2013. Synopsis of Previous Council Action: May 3, 2010 adopted Resolution 2010-100, approving the 2010-2015 Five Year Consolidated Plan May 7, 2012 adopted Resolution 2012-82 approving the 2012-2013 Annual Action Plan Background: The Consolidated Plan is a comprehensive five-year strategy that addresses how entitlement cities intend to use and leverage federal funds such as Community Development Block Grant ("CDBG"), HOME Investment Partnership Act Grant ("HOME") and Emergency Shelter Grant ("ESG"). On May 3, 2010, the Mayor and Common Council adopted the Five-Year Consolidated Plan and Annual Action Plan that to guides the City and identifies certain needs to be addressed incrementally for the 2010-2015 period. The above referenced Plans and Federal application for funds were subsequently submitted by the City and approved by the U.S. Department of Housing and Urban Development Department ("HUD") on September 28, 2010. The 2012-2013 Annual Plan was approved by the Updated: 5/30/2013 by Shauna Britton H Packet Pg.112 11 7.A 2470 Mayor and Common Council on May 7, 2012 for submission and was approved by HUD on August 2,2012. The intent of this process is to ensure that cities are meeting HUD mandates and are establishing goals and objectives that provide decent housing, a suitable living environment and expanded economic opportunities targeted primarily to low- and moderate-income persons. The 2012-2013 Action Plan depicts a year-to-year Plan outlining the goals, objectives and resources to be allocated incrementally to address the needs identified in the Five-Year Consolidated Plan. Moreover, the Five-Year Plan identifies community development, housing, infrastructure, homeless and public service needs and how those needs will be addressed using anticipated resources from Federal CDBG,HOME,and ESG funds, State, County and local resources. Current Issue• In order to continue carrying out the housing functions, and meet its goal statements in the approved Five -Year Consolidated and 2012-2013 Action Plans and comply with the U. S. Department of Housing and Urban Development (HUD) grant program requirements, staff is requesting authorization and consent to implement the following needed housing programs by allocating $2,360,000 in unprogrammed Federal HOME and $150,000 in CDBG funds. The proposed reallocation of funds is required to assist the City in meeting its housing goals in the approved Plans, and HUD, in a letter dated May 1, 2013, to the City (attached) notified the City of the need to have funds committed and expended. Additionally, the proposed reallocation of CDBG funds will not impact current funding for the Public Services programs or City funded program. The proposed housing activities to be implemented and funded under individual agreements with identified non-profit housing services provider are: Activity 1: Single Family Housing Rehabilitation Program. The Owner-Occupied Housing Improvement Program is a city-wide program that will provide low-income (80% AMI) households in single family residences funds up to $30,000 to address health and safety and code violations on their principal residence. If necessary to bring the property up to code, funding up to $50,000 may be provided with approval by the City Manager. The assistance is in the form of a loan at 0% interest repayable at the time of sale, transfer of title, refinance with cash-out, if the property is no longer owner-occupied or at the end of 30 years. Eligibility for HOME funds will be determined on a per project basis. Ten Percent (10%) of the allocated fund will be use for program administrative costs. This Program was previously funded with Redevelopment Agency low and moderate income housing funds, and proposed to be replaced with HOME Funds. RDA Low and Moderate income housing funds is no longer available as a result of the dissolution of the Redevelopment Agency pursuant to state law. The Program is administered by Neighborhood Housing Services of the Inland Empire (NHSIE) for the areas east of the 215 Freeway ($700,000) and Inland Development Corporation for area west of the 215 Freeway ($700,000). The program activities are very much needed as it has been used to successfully address code and deferred maintenance issues on behalf of homeowners throughout the City. Location: Citywide. Budget: $1, 400,000 in HOME funds Updated: 5/30/2013 by Shauna Britton H Packet Pg. 113 7.A 2470 Activity 2: Homebuyer Assistance Program and Homebuyer Education Service - This program is designed to assist qualified first-time homebuyers with the purchase of a home within the City limits. Eligible properties can include condominiums, town homes, and single-family detached homes. The Homebuyer Assistance Program provides financial assistance (of up to 10 percent of the purchase price) that may go towards down payment and closing costs. The homes purchased under this program may be located in any census tract in the City, as long as the dwelling is used as the homebuyer's principal residence and the home remains affordable for a period of not less than twenty (20) years ($800,000). The Homebuyer Assistance Program will be implemented, in-house by Staff. As a condition of receiving the Homebuyer Assistance Program fund, eligible homebuyers are required to attend a 16 hours homebuyer education program on property maintenance,budgeting and requirement for buying and selling homes. The Homebuyer Education Service will be implemented under an $80,000 Agreement with Neighborhood Services of the Inland Empire. Location: Citywide Budget: $880,000 in HOME funds Activity 3: Mobile Home Grant Repair Program- Although the compact nature of mobile homes generally reduces maintenance costs, the cost of maintenance as unit's age and deteriorate can overextend a lower or moderate income household's budget. The Mobile Home Grant Repair Program is proposed to be administered Neighborhood Housing Services of the Inland Empire (NHSIE). The program provides grants up to $5,000 for mobile home repairs. Location: Citywide Budget: $80,000 in HOME funds Activity 4: Single-Family Beautification Loan/Grant Program-The Single-Family Exterior Beautification Program assists homeowners who are occupying their dwellings and whose incomes do not exceed 80 percent of the median income. The program provides financial assistance of up to $10,000 to homeowners for exterior improvements to their property. As a condition of receiving this assistance, property owners are required to attend a "Preventative Maintenance" class conducted by one of the City's local non-profit partners, Inland Housing Development Corporation, Inc. (IHDC). This program will be funded with CDBG Funds. Location: Citywide Budget: $100,000 in CDBG funds Activity 5: Elderly/Special Needs Minor Repair Grant Program (Old Timers Grant)- The Old Timers Foundation, a local non-profit corporation, performs minor and emergency home repairs for low income homeowners (80 percent and below median income). Repairs cannot exceed $1,000 per housing unit. Seniors (60 years or older), disabled persons or recipients of SSI are eligible for this program. Qualified repairs include: plumbing (i.e., sink fixtures), replacing of C Updated: 5/30/2013 by Shauna Britton H Packet Pg. 114 7.A 2470 doors, screens, and window glass, and minor electrical repairs. Outreach for the program is conducted at various Senior Centers throughout the City, and by word-of-mouth Location: Citywide Budget: $50,000 in CDBG funds In compliance with the substantial amendment definition of the Citizen Participation Plan in the approved Five-Year Consolidated Plan, 24 CFR 91.105 HOME implementing regulation, the general public were afforded the opportunity to review and provide oral and/or written comments to the proposed substantial Plans Amendment. Public notices announcing the Plans Amendment and summary of proposed funding and activities were published in the San Bernardino Sun Newspaper on April 17, 2013 and May 16, 2013. Any public comments received will be incorporated into the Plans Amendment;however,to date,no comments were received by Staff. Environmental Impact: The requested action is exempt under Section 15332 of the California Environmental Quality Act ("CEQA") and 24 CFR 58.34(a)(3) of the National Environmental Protection Act ("NEPA") guidelines because the propose action is required for federal programs administration and compliance. Separate environmental clearances will be processed for each project as they become identified and processes for funding.. Fiscal Impact: There is no fiscal impact to the City's General Fund. The $2,360,000 is available in Federal HOME and$150,000 in Federal CDBG Grant Program Funds. City Attorney Review: Supporting Documents: Reso 2010-2015 Consolidated Action Plan Amendment (DOCX) HUD letter May 1, 2013 (PDF) Reso NHSIE SF Rehab $700,000 HOME (DOCX) Agmt NHSIE Rehab Loan Prgm (DOCX) Exhibits NHSIE Rehab Loan Program (PDF) Reso IHDC SF Rehab $700,000 HOME (DOCX) Agmt IHDC Rehab Loan Prgm (DOCX) Exhibits IHDC Rehab Loan Prgm (PDF) Reso NHSIE HAP &Education$880,000 HOME (DOCX) Agmt NHSIE Homebyer Ed (DOCX) Reso NHSIE Mobilehome Grant$80,000 HOME (DOCX) Agmt NHSIE Mobile Home Prgm (DOCX) Reso Oldtimers Elderly$50,000 CDBG (DOCX) Agmt Oldtimers Elderly Repair Prgm (DOC) Exhibits Oldtimers Elderly Repair Prgm (PDF) Reso IHDC SF Beaut Loan Grant Agmt (DOCX) Agmt IHDC SF Ext Beaut Prgm (DOCX) Exhibits IHDC SF Ext Beaut Prgm (PDF) Updated: 5/30/2013 by Shauna Britton H Packet Pg. 115 1 RESOLUTION NO. r _ E 2 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO APPROVING THE AMENDMENT TO THE 2010-2015 E 3 CONSOLIDATED AND 2012-2013 ACTION PLANS AND ALLOCATING $2,360,000 a IN HOME INVESTMENT PARTNERSHIP ACT FUNDS FOR SINGLE FAMILY 0 4 HOUSING REHABILITATION PROGRAM ($1,400,000), HOMEBUYER r 5 ASSISTANCE AND EDUCATION SERVICE PROGRAM ($880,000) AND MOBILE HOME GRANT REPAIR PROGRAM ($80,000); AND $150,000 IN COMMUNITY 6 DEVELOPMENT BLOCK GRANT FUNDS FOR SINGLE FAMILY BEAUTIFICATION LOAN/GRANT PROGRAM ($100,000) AND a. 7 ELDERLY/SPECIAL NEEDS MINOR REPAIR GRANT PROGRAM ($50,000) d �a 8 WHEREAS, the City of San Bernardino (the "City") is an entitlement jurisdiction and 6 9 annually receives certain federal funds under the United States Department of Housing and Urban v 10 N Development's ("HUD") HOME Investment Partnership Act ("HOME") and Community M 11 Development Block Grant (CDBG) programs; and N ui 12 WHEREAS, on May 3, 2010, the Mayor and Common Council of the City of San W 13 Bernardino approved the City's 2010-2015 Consolidated Plan; and r- 0 14 WHEREAS, on May 7, 2012, the Mayor and Council approved the 2012-2013 Action Plan 15 that is required to guide and identify needs which the City will address incrementally for the 2010- �. 16 E 2015 period; and -0 17 d WHEREAS, the Mayor and Council desires to amend the City's 2010-2015 Consolidated a 18 Plan and the 2012-2013 Action Plan by allocating $2,360,000 of HOME funds for Single Family —_° a 19 Housing Rehabilitation Program ($1,400,000), Homebuyer Assistance and Education Service 0 :r 20 Programs ($880,000) and Mobile Home Grant Repair Program ($80,000); and d 21 WHEREAS, the Mayor and Council desires to amend the City's 2010-2015 Consolidated 0 22 Plan and the 2012-2013 Action Plan by allocating $150,000 of CDBG funds for Single Family c 23 ul Beautification Loan/Grant Program ($100,000), and Elderly/ Special Needs Minor Repair Program c 24 N ($50,000) ° 0 25 N WHEREAS, in compliance with the substantial amendment definition of the Citizen 0 Cn W 26 Participation Plan in the approved 2010-2015 Consolidated and 2012-2013 Action Plans, 24 CFR _ 27 0 91.105 HOME implementing regulation and 24 CFR 570.302 CDBG implementation regulation, the E 28 general public was afforded the opportunity to review and provide oral and/or written comments to Y Q 1 C:\dm,mmts and settings\hanna_gNowl settings\temp\minutctraq\sanbemardinmit yca@ sanbemardinmityce.igm2.wm\work\amchmmts\4856.dm, Packet 1 the proposed substantial Plans Amendment, with public notice announcing the Plans Amendment E 2 and summary of proposed funding and activities published in the San Bernardino Sun Newspaper d E 3 on April 17, 2013 and May 16, 2013; and a 4 WHEREAS, in compliance with the California Environmental Quality Act ("CEQA") and N 5 the National Environmental Policy Act ("NEPA") guidelines, the amendments to the City's 2010- 6 2015 Consolidated Plan and the 2012-2013 Action Plan and allocation of CDBG and HOME federal a 7 funds is determined to be exempt actions pursuant to Section 15332 of the CEQA Guidelines and 24 8 CFR 58.34(a)(3) of NEPA Guidelines because the proposed action is required for federal programs 0 N 9 administration and compliance. o U 10 NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COMMON ri ll COUNCIL OF THE CITY OF SAN BERNARDINO,AS FOLLOWS: N 12 Section 1. The Mayor and Council hereby approves the following amendments to the W v 13 City's 2010-2015 Consolidated Plan and the 2012-2013 Action Plan: c 14 a. An allocation of$2,360,000 of HOME funds for Single Family Housing Rehabilitation N d 15 Program ($1,400,000), Homebuyer Assistance and Education Service Programs ($880,000) and c 16 Mobile Home Grant Repair Program ($80,000). E 17 b. An allocation of$150,000 of CDBG funds for Single Family Beautification Loan/Grant a 18 Program ($100,000), and Elderly/Special Needs Minor Repair Program ($50,000). a. 19 Section 2. The Mayor and Council finds and determines that the amendment to the o w 20 City's 2010-2015 Consolidated Plan and the 2012-2013 Action Plan and allocations of HOME and a a� 21 CDBG Funds is exempt, pursuant to Section 15332 of the CEQA Guidelines and 24 CFR 22 58.34(a)(3) of the NEPA Guidelines because the proposed actions are required for federal programs 0 23 administration and compliance. 0 24 Section 3. This Resolution shall take effect upon the date of its adoption. c 0 25 0 rn 26 w 27 28 � r a 2 { CAmuments and servings\hanna_gi\local settings\temp\minutetraq\anbemardi,mitycaGa mnbemardmontyca.igm2.com\work\anachments\4856.dmx packet Pg.7 I7 1 E RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF E 2 SAN BERNARDINO APPROVING THE AMENDMENT TO THE 2010-2015 3 CONSOLIDATED AND 2012-2013 ACTION PLANS AND ALLOCATING $2,360,000 a IN HOME INVESTMENT PARTNERSHIP ACT FUNDS FOR SINGLE FAMILY 75 4 HOUSING REHABILITATION PROGRAM ($1,400,000), HOMEBUYER ASSISTANCE AND EDUCATION SERVICE PROGRAM ($880,000) AND MOBILE 5 HOME GRANT REPAIR PROGRAM ($80,000); AND $150,000 IN COMMUNITY DEVELOPMENT BLOCK GRANT FUNDS FOR SINGLE FAMILY 6 BEAUTIFICATION LOAN/GRANT PROGRAM ($100,000) AND 0. 7 ELDERLY/SPECIAL NEEDS MINOR REPAIR GRANT PROGRAM ($50,000) as 8 I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Mayor and o 9 Common Council of the City of San Bernardino at a meeting thereof, held v 10 on the day of , 2013, by the following vote to wit: T 11 Council Members: Ayes Nays Abstain Absent N vi 12 MARQUEZ 13 JENKINS c 14 VALDIVIA A 15 SHORETT c 16 KELLEY E 17 JOHNSON 18 MCCAMMACK a c ca a 19 r- 0 w 20 Georgeann Hanna, City Clerk a d 21 22 The foregoing resolution is hereby approved this day of 92013 0 c 0 23 U LO T CD 24 Patrick J. Morris, Mayor o City of San Bernardino c 25 Approved as to form: o tn James F. Penman, 26 City Attorney 27 28 By: Q 3 ,y y CAdocuments and settings\hmm_gi\local settings\temp\minute q�sanbemardinocitym @sanbe=,dinmityca igm2.com\work�.tt chmmts 4g56.docx Packet P9:118 i 'PTNEN �� q U.S.Department of Housing and Urban Development Los Angeles Field Office Region °G9 Ilh�ll�Q�= � Ix °tNOE�F 611 W. 6 Street, Suite 1100 Los Angeles, CA 90017 MAY 1 2013 Y E Allen Parker, City Manager City of San Bernardino E ATTN: Brandon Mims a� 300 North "D" Street, Sixth Floor San Bernardino, CA 92418 y 3 Dear Mr. Parker: rn a. Subject: HOME Program 2011 Fund Commitment/2008 Expenditure Deadline d Please be advised that our records indicate that the City is in danger of missing two 6 HOME program deadlines, relating to commitment and expenditure, which occur on July 31, c 2013 and August 31, 2013,respectively. If not committed within the applicable 24-month 0 period, and not expended within the 60-month period, the funds will be de-obligated. T The HOME Program statute provides that funds are available to participating N jurisdictions (PJs) for commitment to affordable housing for a period of 24 months after the last Ui day of the month in which the Department of Housing and Urban Development(HUD) notifies W the PJ of HUD's execution of the HOME Investment Partnerships Grant Agreement. This provision is implemented by regulation at 24 CFR 92.500(d). 0 N The HOME Program regulation also provides that HOME funds are available for expenditure for a period of 60 months after the last day of the month in which the Department of Housing and Urban Development(HUD)notifies the PJ of HUD's execution of the HOME Investment Partnerships Grant Agreement. This provision is also implemented by regulation at 24 CFR 92.500(d). o x Enclosed is a copy of the applicable page of the Deadline Compliance Status Report which identifies the cumulative commitment and expenditure requirement amounts through E March 31, 2013, as well as the amounts committed and expended by the City, as reported in r IDIS, through the date of the report. The report shows a commitment shortfall of$2,291,936 and Q an expenditure shortfall of$615,944 for your jurisdiction. This information is updated monthly on the HOME website at: http://www.hud.gov/offices/cpd/affordablehousing/reports/#dcr. Packet Pt:919 Apr A Prior to the requirement deadlines,we are giving the City the opportunity to update IDIS r correct ously recorded and to with any commitments and expenditures not pr of activities may negatively�impac your ability E errors in IDIS. Please note that any cancellation to meet your requirements. E a For more information on these requirements refer to HUD Notice CPD 07-06, Commitment,CHDO Reservation, and Expenditure Deadline istance, please c ontactnArnold Siso Program. If you have any questions or require ass OME y Community Planning &Development Representative at(213) 534-2560, or via email at y arnold.c.sison @hud.gov. a Sincerely, a� a a_ 0 N C O U William Vasquez, Director CN Office of Community Planning ; And Development N vi Enclosure w M r O N r A O I L d r 0 i = S E t U t4 a Packet pg. 120' W W � U) 7 d0 a S-1 N C A q � n�' O ` O O O N r- V9, w w H 69 eA 60 64 Vol N m 40 M W 69 O m L N V N N N Wf Of LO M C4 04 w m U) Wl. 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Q. z + + at cn q'V-L 1 RESOLUTION NO. 2 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO APPROVING AND AUTHORIZING THE CITY MANAGER TO d 3 EXECUTE AN AGREEMENT BY AND BETWEEN THE CITY OF SAN BERNARDINO E 4 AND NEIGHBORHOOD HOUSING SERVICES OF THE INLAND EMPIRE, INC., FOR THE IMPLEMENTATION OF THE SINGLE FAMILY HOUSING REHABILITATION a 5 PRORGRAM FOR THE AREA EAST OF THE 215 FREEWAY IN THE AMOUNT OF $700,000 IN HOME INVESTMENT PARTNERSHIP ACT FUNDS. 6 N WHEREAS, the City of San Bernardino (the "City") is an entitlement jurisdiction and N 7 annually receives certain federal funds under the United States Department of Housing and Urban 8 a 9 Development's ("HUD") HOME Investment Partnership Act ("HOME") and Community w 10 Development Block Grant(CDBG)programs; and N 0 WHEREAS, on May 3, 2010, the Mayor and Common Council adopted Resolution 2010- 0 11 .. 12 100, approving the City's 2010-2015 Consolidated Plan; and M WHEREAS, on May 7, 2012, the Mayor and Council adopted Resolution 2012-82, N 13 approving the 2012-2013 Action Plan that is required to guide and identify needs the City which W 14 ^ will address incrementally for the 2010-2015 period; and 15 C 0 WHEREAS, earlier on May 20, 2013, the Mayor and Council approved and amended the v, 16 > City's 2010-2015 Consolidated Plan and the 2012-2013 Action Plan by allocating $1,400,000 of W 17 W HOME funds for Single Family Housing Rehabilitation Program to be implemented in part by 0 18 = Neighborhood Housing Services of the Inland Empire, Inc. (NHSIE), for the area east of the 215 0 19 0 Freeway; and fl- 20 WHEREAS, NHSIE is a non-profit organization that provides housing rehabilitation 21 services in the City and San Bernardino County; and U_ 22 W co WHEREAS, under terms of the Single Family Housing Rehabilitation Agreement in 23 = Z 24 ("Agreement"), NHSIE will assist the City in providing deferred rehabilitation loans to income 0 CD 25 eligible households to address code related deficiencies and bring the homes to habitable standards W w meeting and exceeding the health and safety code. Rehabilitation work will include but will not be E 26 limited to roof replacement, electrical and plumbing, heating and cooling system replacement, a 27 28 replacement of windows and doors; and installation of new landscape; and 1 Ct\documents and settings\hanna_gNocal settings\temp\minutetmq\sanbernardinocityca @sanbemardinocityca.igm2.com\work\attachmcnts\4902.docx Packet��• ��Z' I WHEREAS, in compliance with the California Environmental Quality Act ("CEQA") and 2 the National Environmental Policy Act ("NEPA") guidelines, the authorization and execution of the ,. c 3 Agreement is determined to be an exempt action pursuant to Section 15332 of the CEQA Guidelines E c 4 and 24 CFR 58.34(a)(3) of NEPA Guidelines because the proposed action is required for federal m E a 5 programs administration and compliance. w c 6 NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COMMON N 7 COUNCIL OF THE CITY OF SAN BERNARDINO,AS FOLLOWS: c 8 Section 1. The Mayor and Council hereby approves $700,000 in HOME funds for the a 9 Single Family Housing Rehabilitation Program Implementation Agreement with NHSIE and 10 authorizes the City Manager to execute the Agreement, attached and incorporated herein as Exhibit y c 0 11 "A". V N 12 Section 2. The Mayor and Council finds and determines that authorization and 0 13 execution of the Agreement is exempt, pursuant to Section 15332 of the CEQA Guidelines and 24 `" vi w 14 CFR 58.34(a)(3) of the NEPA Guidelines because the proposed action is required for federal 15 programs administration and compliance. c 0 16 Section 3. This Resolution shall take effect upon its adoption. 17 /// w 2 18 /// i 0 0 19 0 0 ti 20 21 U- 22 /// co W 23 Z 24 25 as 26 27 28 2 C:\documents and settings\hanna_gAlocal settings\temp\minutetraq\sanbernardinocityca @sanbemardinocityca.igm2.com\work\attachments\4902.docx 123 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SA 1 BERNARDINO APPROVING AND AUTHORIZING THE CITY MANAGER T 2 EXECUTE AN AGREEMENT BY AND BETWEEN THE CITY OF SAN BERNARDINO AND NEIGHBORHOOD HOUSING SERVICES OF THE INLAND EMPIRE, INC., FOR 3 THE IMPLEMENTATION OF THE SINGLE FAMILY HOUSING REHABILITATION E PRORGRAM FOR THE AREA EAST OF THE 215 FREEWAY IN THE AMOUNT O = 4 $700,000 IN HOME INVESTMENT PARTNERSHIP ACT FUNDS. E a 5 2 6 I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Mayor and y 7 Common Council of the City of San Bernardino at a meeting thereof, in 8 held on the day of , 2013,by the following vote to wit: a. Council Members: Ayes Nays N Abstain Absent 9 0 10 MARQUEZ .N c 11 JENKINS 12 VALDIVIA M SHORETT o 13 N Ui KELLEY 14 -- JOHNSON 15 MC CAMMACK 16 17 W 2 18 Georgeann Hanna, City Clerk = 0 0 19 c 20 The foregoing resolution is hereby approved this day of 32013 21 UL 22 Patrick J. Morris, Mayor in W City of San Bernardino (n 23 Approved as to form: z 24 James F. Penman, City Attorney 25 d E 26 By. 27 Q 28 3 a ,! C9documents and settings\hanna_gi\local settings\temp\minutetraq\sanbernardinocityca @sanbernardinocityca.igm2.com\work\attachm f ents\4902.docx acket Pa. 124': 7.A.d CITY OF SAN BERNARDINO SINGLE FAMILY RESIDENCE REHABILITATION LOAN PROGRAM HOME SUBRECIPIENT AGREEMENT THIS SINGLE FAMILY RESIDENCE REHABILITATION LOAN PROGRAM HOME SUBRECIPIENT AGREEMENT (the "Agreement") is made and entered into this day of June 2013 (the "Effective Date"), by and between the NEIGHBORHOOD HOUSING -Ea SERVICES OF THE INLAND EMPIRE (NHSIE) a California non-profit corporation (the "Contractor") and the CITY OF SAN BERNARDINO (the "City"), a municipal corporation. a The City and the Contractor agree as follows: RECITALS WHEREAS, the City administers a single family residence rehabilitation loan program which loans funds (the "Rehabilitation Loan Program") to low-moderate income homeowners who reside in the City of San Bernardino (the "City"), in the County of San Bernardino (the a "County"), in the State of California (the "State") to permit such homeowners to undertake certain housing rehabilitation and correction work, including, without limitation, asbestos and lead containing materials abatement work, handicap accessibility improvements and utility 0 energy improvements to single family residential dwelling units owned and occupied by such N low-moderate homeowners; and U? M WHEREAS, the City desires-to execute a three (3) year agreement with the Contractor, renewable annually by the City in its sole discretion and subject to the appropriation by the United States Department of Housing and Urban Development("HUD"); and E WHEREAS, the City desires to allocate an amount not to exceed the sum of Seven a Hundred Thousand Dollars ($700,000) annually of HOME Partnership Act Funds, in accordance o with the terms, the covenants and the conditions of this Agreement, which amount may be increased by the City in the event the minimum number of required Loans is exceeded by the Contractor for any given year; and D W WHEREAS, the Rehabilitation Loan Program promotes and expands the supply of = affordable housing in the City and fosters the elimination and prevention of blight in areas east of z w the I-215 Freeway; and E a NOW, THEREFORE, IN CONSIDERATION OF THE RECITALS MENTIONED ABOVE, THE MUTUAL PROMISES OF THE CITY AND OF THE CONTRACTOR IN THIS E AGREEMENT AND FOR OTHER GOOD AND VALUABLE CONSIDERATION, THE RECEIPT AND SUFFICIENCY OF WHICH ARE HEREBY ACKNOWLEDGED BY THE a CITY AND BY THE CONTRACTOR, THE CITY AND THE CONTRACTOR AGREE AS FOLLOWS: 1 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2013\4.19.13 NHSIE Rehab Loan Program Agreement Packet Pg. 125 Section 1. DEFINITIONS OF CERTAIN TERMS. In addition to the words and phrases, which are defined in the Recitals of this Agreement and/or in this Agreement, the following words and terms shall have the meaning set forth below: "County Recorder's Office" means and refers to the County Recorder's Office for the County of San Bernardino, State of California. c "Deed of Trust"means and refers to the Deed of Trust and Assignment of Rents securing E the obligations of the Note and encumbering the Home. The Deed of Trust must be d executed and acknowledged by the Qualified Homeowner and shall be recorded by or for the City in the County Recorder's Office. The Deed of Trust shall be subordinate to the R Senior Deed of Trust. The Deed of Trust must be substantially similar to the Deed of Trust attached hereto and incorporated herein by this reference as Exhibit"B". U) "Environmental Laws" mean and refer to all applicable federal, state, municipal and local c laws, statutes, codes, ordinances, rules, regulations, orders and judgments relating to the protection or clean-up of the environment, the use, treatment, storage, transportation, generation, manufacture, processing, distribution, handling or disposal of, or emission, CU discharge or other release or threatened release of hazardous substances, the preservation or protection of waterways, groundwater, drinking water, air, wildlife, plants or other natural resources, the health and safety of persons, or the protection of the health and 0 safety of employees, now or hereafter existing, as the same may be amended,modified or N supplemented from time to time, including, without limitation: the Clean Air Act, as "' amended, 42 U.S.C. Section 7401 et seq.; the Federal Water Pollution Control Act, as o amended, 33 U.S.C. Section 1251 et seq.; the Resource Conservation and Recovery Act N Ui of 1976, as amended, 42 U.S.C. Section 6901 et seq.; the Comprehensive Environment Response, Compensation and Liability Act of 1980, as amended (including the Superfund Amendments and Reauthorization Act of 1986, "CERCLA"), 42 U.S.C. Section 9601 et E seq.; the Toxic Substances Control Act, as amended, 15 U.S.C. Section 2601 et seq.; the a Occupational Safety and Health Act, as amended, 29 U.S.C. Section 651, the Emergency o Planning and Community Right-to-Know Act of 1986, 42 U.S.C. Section 11001 et seq.; the Safe Drinking Water Act, as amended, 42 U.S.C. Section 300f et seq.; the California Health and Safety Code (Section 25100 et seq., § 25249.5 et seq., Section 39000 et seq.); the California Water Code(Section 13000 et seq.); the California Environmental Quality w Act ("CEQA"); the California Public Resources Code; all comparable state and local = laws, laws of other jurisdictions or orders and regulations; and any and all common law z w requirements, rules and bases of liability regulating, relating to or imposing liability or E standards of conduct concerning pollution or protection of human health or the a environment, as now or may at any time hereafter be in effect. E "City Manager" means and refers to the City Manager of the City and his or her authorized representatives. Q "General Contractor Agreement" means and refers to the Single Family Residence Rehabilitation Loan Program General Contractor Agreement by and between the Qualified Homeowner and the contractor identified therein (the "General Contractor") as 2 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2013\4.19.13 NHSIE Rehab loan Program Agreement Packet Pg. 126 7.A.d approved, in writing, by the Contractor. The General Contractor Agreement relates, without limitation, to the construction, the installation and the completion by the General Contractor of the Work described in the General Contractor Agreement. The General Contractor Agreement shall be executed by and between the Qualified Homeowner and the General Contractor and shall be accepted, in writing, by the Contractor. The General Contractor Agreement shall be substantially similar to the General Contractor Agreement attached hereto and incorporated herein by this reference as "Exhibit"E". E "Hazardous Substances" mean and refer to any pollutant, contaminant, waste and any toxic, carcinogenic, reactive, corrosive, ignitable, flammable or infectious chemical, Q chemical compound or substance or otherwise hazardous wastes, toxic or contaminated substances or similar materials, including, without limitation, any quantity of asbestos, urea formaldehyde, PCBs, radon gas, lead, lead-based paint, crude oil or any fraction thereof, all forms of natural gas, petroleum products, by-products or derivatives, N radioactive substances, methane, hydrogen sulfide or materials, pesticides, waste waters, or sludges, any of the above of which are subject to regulation, control or remediation 2 under any Environmental Laws. $ a� "Home" means and refers to the land and the single-family dwelling unit located thereon ° in the Target Area within the City, owned by the Qualified Homeowner and resided in by the Qualified Homeowner as its principal residence. v N "Homeowner's Release and Waiver" means and refers to the Homeowner's Release and 'A? M Waiver, as executed by the Qualified Homeowner and the Contractor. The Homeowner's o Release and Waiver provides, without limitation, that the Contractor shall be permitted to N display yard signs at the Qualified Homeowner's Home and that the Contractor shall be permitted to photograph or videotape the Qualified Homeowner's Home. The Homeowner's Release and Waiver shall be substantially similar to the Homeowner's E Release and Waiver attached hereto and incorporated herein by this reference as Exhibit a- «F" c 0 "Improvements" mean and refer to the following types of eligible improvements to the Qualified Homeowner's Home that will be permitted under the Program: (i) roof repairs (D and re-roof or overlay, (ii) exterior and interior painting, including, without limitation, w lead testing, (iii) drought tolerant landscaping (irrigation system, with hydro seeds, sod or = artificial turf), (iv) window replacement, (v) carpet replacement and/or finished flooring ? replacement, (vi) HVAC system, (vii) electrical work, (viii) sewer repair or sewer a� installation (the "Sewer Repairs"), (ix) termite repairs, (x) exterior concrete hardscape a such as sidewalks, driveways, curbs, gutters, hand railings or ramps, (xi) door or window screens repairs or replacements, (xii) tub, shower, toilet repairs or replacements, (xiii) E foundation or structural repairs, (xiv) fencing or (xv) installation of alternative energy U sources, including, without limitation, solar panels. The Improvements must relate to Q health and safety code violations (i.e.,blown sewer lines, septic tank destruction, etc.). In connection with each Loan Application for Sewer Repairs, the City shall have the right to determine whether or not such Sewer Repairs shall be made from funds disbursed by 3 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2013\4.19.13 NHSIE Rehab Loan Program Agreement Packet Pg. 127 7.A.d the City from Loan Funds under the Program or from grant funds disbursed by the City to an applicant under the Single Family Beautification Grant Program, or under any other then-existing grant program. Should the City determine that the Sewer Repairs will need to be disbursed by the City from grant funds pursuant to the Single Family Beautification Grant Program, or any other then-existing grant program, the Contractor shall advise the applicant, in writing, that the applicant will need to prepare, to execute and to submit a new grant application to the Contractor under the Single Family Beautification Grant Program, or under any other then-existing grant program, which grant application, E without limitation, shall request the City to make a grant to the applicant to permit the applicant to make and to complete the Sewer Repairs. a "Laws" mean and refer to all federal, state, municipal and local laws, statutes, codes, ordinances, regulations, rules, orders or judgments, now or hereafter in effect, as amended from time to time, including, without limitation, the Environmental Laws, all applicable building, plumbing, mechanical, electrical and health and safety codes and c City ordinances. a "Lead Based Paint Acknowledg ent" means and refers to the "Lead Based Paint Acknowledgment of Receipt" as executed by the Qualified Homeowner and by the General Contractor. The Lead Based Paint Acknowledgment acknowledges receipt by the Qualified Homeowner of the Lead Based Paint Pamphlet from the General 0 Contractor. The Lead Based Paint Acknowledgment is attached hereto and incorporated N herein by this reference as Exhibit"G". M "Lead-Based Paint Disclosure"means and refers to the "Lead Based Paint Disclosure"by N Ui and between the Qualified Homeowner and the General Contractor. The Lead Based Paint Disclosure is to be executed by the General Contractor and by the Qualified 0� Homeowner and is attached hereto and incorporated herein by this reference as Exhibit E «H" a c "Loan"means and refers to each loan transaction approved, granted and made by the City to or for the benefit of the Qualified Homeowner in accordance with this Agreement. Each Loan shall be evidenced by a Note and secured by a Deed of Trust encumbering the Home owned by the Qualified Homeowner to whom the Loan has been made by the City. w Each Loan made by the City to the Qualified Homeowner may not exceed the lesser of: U)(i) $30,000 or(ii) twenty-five percent (25%) of the then fair market value of the Home as Z r determined by a licensed appraiser approved by the City (the "Loan Amount"), without E the prior written approval of the City Manager. If necessary to bring the property to Q code, funding up to $50,000 may be provided with the approval of the City Manager or designee. The Loan shall be subordinate to the Senior Loan. The Qualified Homeowner E shall pay all amounts that exceed the Loan Funds paid by the City to or for the benefit of the Qualified Homeowner under the Program to enable the Qualified Homeowner to a complete the Improvements in connection with the Qualified Homeowner's Home. For each year during the term of this Agreement, the Contractor will attempt to approve, complete,process and finalize up to twenty-two (22) Loans. 4 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2013\4.19.13 NHSIE Rehab Loan Program Agreement Packet Pg. 128 "Loan Application"means and refers to the Single Family Residence Rehabilitation Loan Program Application as fully completed and executed by the Qualified Homeowner. The Loan Application shall be submitted by the Qualified Homeowner to the Contractor and the Contractor shall verify that the Loan Application is complete. Each Loan Application I shall contain the information relating to the Qualified Homeowner and the proposed use of the Loan Funds by the Qualified Homeowner together with a current preliminary title report or other proof of title acceptable to the City for the Home. The Contractor shall require all Qualified Homeowners to complete the Loan Application substantially similar E to the Loan Application attached hereto and incorporated by reference as Exhibit"I." Q "Loan Disbursement Account" means and refers to the reimbursement of cost associated m with the rehabilitation work, which the Contractor shall present with receipt and supporting documentation to the City for disbursement from the Loan Funds in connection with the approval, granting and making of such loan by the City to the in Qualified Homeowner under the Program, in accordance with this Agreement. c �o "Loan Documents" mean and refer to the following: (i) the Loan Application, (ii) the Loan Services Agreement, (iii) the Maintenance Agreement Covenant, (iv) the cc Homeowner's Release and Waiver, (v) the Note, (vi) the Deed of Trust, (vii) the issuance a of a title policy in favor of the City in the amount of the Loan Funds approved by the City from a title company acceptable to the City, and (viii) this Agreement and such other v agreements, documents, instruments, guarantees and/or certifications evidencing, N securing, guaranteeing, relating to or in connection with the Loan to the Qualified 'r? Homeowner, the Loan Funds and/or the Loan Disbursement Account. The Loan c Documents shall be subordinate to the Senior Loan Documents. N C6 W "Loan Funds" mean and refer to the funds delivered by the City to or for the benefit of a W Qualified Homeowner in connection with the Loan that the City has approved and made a, to the Qualified Homeowner in accordance with this Agreement. Each Loan made by the a City to the Qualified Homeowner may not exceed the Loan Amount, without the prior o written approval of the City Manager . The Qualified Homeowner shall timely pay all -J amounts that exceed the Loan Funds paid by the City to or for the benefit of the Qualified Homeowner under the Program in order to construct, install, perform and/or complete the Improvements in connection with the Qualified Homeowner's Home. w Fn x "Low-Moderate Income Housing Funds" mean and refer to the HOME Funds that the Z City intends to use to make the Loan to or for the benefit of the Qualified Homeowner in E accordance with this Agreement and HOME regulation and guidelines. The City and the a Contractor will offer the Loan to a Qualified Homeowner who earns not more than 80% C of the current annual median income for the San Bernardino County area, adjusted for E family size (as those terms are defined by U. S. Department of Housing and Urban Development ("HUD") as further illustrated in Exhibit"A" of this Agreement (the "2013 a Income Limits") and are subject to annual adjustments. "Maintenance Agreement Covenant" means and refers to the "Residential Property Maintenance Agreement Containing Covenants Affecting Real Property (Single Family 5 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2013\4.19.13 NHSIE Rehab Loan Program Agreement Packet Pg. 129 Residence Rehabilitation Loan Program) by and between the City and the Qualified Homeowner. The Maintenance Agreement Covenant provides, without limitation, for maintenance-related duties and obligations to be performed and completed by the Qualified Homeowner in connection with the Qualified Homeowner's Home. The Maintenance Agreement Covenant shall be executed and acknowledged by and between the City and the Qualified Homeowner, and must be in recordable form for recordation by the Contractor or by the City in the County Recorder's Office. The Maintenance Agreement Covenant must be substantially similar to the Maintenance Agreement E Covenant attached hereto and incorporated herein by this reference as Exhibit"K". d E Q "Maintenance Class" means and refers to the Maintenance Class provided by and conducted by the Contractor pursuant to the Homebuyer Education Program Agreement, dated as of , 2013, by and between the City and the Contractor. The Qualified Homeowner is required to attend the Maintenance Class after the City has approved the Cn Loan to a Qualified Homeowner. In the Maintenance Class, the Qualified Homeowner shall learn, without limitation, to properly maintain the Qualified Homeowner's Home a. and/or the Improvements to be constructed, installed, performed and completed thereon. d �a "Note" means and refers to the Promissory Note Secured by Deed of Trust in the amount of the Loan made by the City to and for the benefit of the Qualified Homeowner. The Note shall be executed by the Qualified Homeowner and the obligations of the Note shall c U be secured by the Deed of Trust. The outstanding principal balance of the Note shall N accrue simple interest at the rate of three percent (3%) per annum. No periodic payments M of principal and interest, or of interest-only shall be due and payable by the Qualified o Homeowner to the City during the term of the Note. The outstanding principal amount of `„ the Note, all accrued and unpaid interest and all other fees, charges and amounts due W under the Note, under the Deed of Trust and under the other Loan Documents (the "Loan Payoff') shall be payable by the Qualified Homeowner to the City on the date that: (i) E the Qualified Homeowner is in default under the Loan Documents, subject to any n applicable cure period, (ii) the Qualified Homeowner refinances the Loan, or (iii) on the o date that the Qualified Homeowner sells, conveys or transfers the Home to an -°I unauthorized third person in violation of the Loan Documents; provided, however, if the .�f0c Qualified Homeowner remains the fee owner of the Home for a period of ten (10) years from the date that the Deed of Trust is recorded in the County Recorder's Office, the w Loan shall be forgiven and discharged by the City, the City shall record a reconveyance = or release of the Deed of Trust in the County Recorder's Office and the Qualified Z w Homeowner shall have no further duty or obligation to pay to the City the Loan Payoff. a� The Note shall be substantially similar to the Note attached hereto and incorporated a herein by this reference as Exhibit"L". E "Project" means and refers to the construction, the installation and/or the completion of the Improvements from the use of the Loan Funds. a "Program" means and refers to the program created, administered and maintained by or for the City in connection with the Loan, the disbursement by the City to the Contractor of the Loan Funds to or for the benefit of each Qualified Homeowner in accordance with 6 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2013\4.19.13 NHSIE Rehab Loan Program Agreement Packet Pg. 130 this Agreement and the performance and completion by the Contractor of the Services. The Contractor shall offer the Program to Qualified Homeowners residing in the area east of the I-215 freeway during the term of this Agreement. The Contractor shall offer the Program on an as-needed, first-come, first-served basis, to Qualified Homeowners in this Area of the City for the term of this Agreement. However, in case of an emergency, of an urgent need or of a life-threatening situation, the Contractor may process a Loan r Application ahead of other Loan Applications subject to the approval by the City Manager. .� c "Qualified Homeowner" means and refers to a person or household (i) which owns and Q occupies its Home as its principal residence within the Target Area for at least twelve (12) continuous months preceding the date of submission of its Loan Application to the Contractor, (ii) has a personal or household income level, adjusted for family size, during the twelve (12) months preceding the date of submission of its Loan Application to the Contractor within the ranges of income for low-moderate income households, adjusted for family size, as set forth in Exhibit "A", (iii) must complete, execute and submit the Loan Application to the Contractor, (iv) must agree to attend the Maintenance Class conducted by the Contractor, (v)must agree to live in its Home, as its principal residence, 2 for not less than ten (10) years after the recordation of the Deed of Trust and the Maintenance Agreement Covenant in the County Recorder's Office, (vi) must execute and acknowledge, where appropriate, all Loan Documents, (vii) must agree to agree to v maintain its Home pursuant to the Maintenance Agreement Covenant for a period of ten N (10) years following the recordation of such Maintenance Agreement Covenant in the M i County Recorder's Office, and (viii) who must not have received any grant or any loan o from the City for a period of ten (10) years prior to the submission by the Qualified N Homeowner to the City and/or to the Contractor of the Loan Application. On a case-by- Ui case basis, the City Manager of the City, in its sole and absolute discretion, may waive W this one 12-month residency requirement. E a "Senior Deed of Trust" means and refers to the senior deed of trust executed and o acknowledged by the Qualified Homeowner. The Senior Deed of Trust secures the -°� obligations of the Senior Promissory Note and of the Senior Loan and encumbers the Home. d w "Senior Lender" means and refers to an institutional lender, including, without limitation, i any bank, savings bank, savings and loan association, insurance company, credit union or ? other lender licensed to conduct business in the State of California, approved by the City E in its sole and absolute discretion and making the Senior Loan to the Qualified a Homeowner. c a� E "Senior Loan" means and refers to the loan made by the Senior Lender to the Qualified Homeowner. The Senior Loan is evidenced by the Senior Promissory Note and is a secured by the Senior Deed of Trust encumbering the Home owned by the Qualified Homeowner. 7 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2013\4.19.13 NHSIE Rehab Loan Program Agreement Packet Pg. 131 7Ad "Senior Loan Documents" mean and refer to the Senior Promissory Note, the Senior Deed of Trust and all other instruments, documents, agreements, guarantees and/or certificates evidencing, securing, guaranteeing or relating to the Senior Loan. "Senior Promissory" means and refers to the Senior Promissory Note executed by the Qualified Homeowner in favor of the Senior Lender. The Senior Promissory Note is r secured by the Senior Deed of Trust, which Senior Deed of Trust encumbers the Home a) owned by the Qualified Homeowner. E 0) "Services" mean and refer, without limitation, to the Program origination, the Q preparation, execution and delivery of the Loan Documents, the Loan Fund disbursement control, related accounting, Work monitor (course of construction builder contract) services and other services to be provided by the Contractor to or for the benefit of the City in accordance with this Agreement. The various elements of the Services are more Cn fully set forth in the "Scope of Services" attached hereto as Exhibit"C." For each year of the Agreement, the Contractor will attempt to approve, complete, process and finalize up M to ten (10) Loans to Qualified Homeowners in the Target Area. a. as w "Target Area" means and refers to the area east of the I-215 freeway, in which the City has instructed the Contractor to offer the Program to Qualified Homeowners to better maximize the effectiveness of the Loan Funds. In the absence of specific direction from c0 the City Manager, the Contractor shall offer the Program on an as-needed, first-come, N first-served basis, to Qualified Homeowners within the Area. However, in the case of an M emergency, of an urgent need or of a life-threatening situation, the Contractor may c process a Loan Application subject to the approval of the City Manager. `V vi W "Work" means and refers, without limitation, to the Improvements, or any part thereof, to W be constructed, installed, performed and/or completed by a state-licensed General E Contractor on or in connection with a Home pursuant to the terms, covenants and a. conditions of the General Contractor Agreement. Only the Improvements and/or the o items of Work set forth in the General Contractor Agreement shall be authorized for payment by the Contractor, up to the maximum amount authorized under the terms of the Program for such Improvements, or any part thereof. Any costs of Improvements and/or of Work in excess of the maximum amount of the Program (which are not the fault of w such General Contractor) shall be paid for by the Qualified Homeowner unless approved = in writing by the City Manager. Z E a► Section 2. PERFORMANCE BY CONTRACTOR AND BY CITY. The a Contractor and the City agree to perform the terms, covenants and conditions of this Agreement. a E Section 3. SCOPE OF SERVICES. The Contractor agrees to provide the Services to the City as set forth herein, as described in the Scope of Services. Promptly following the date a of approval of this Agreement by the governing board of the City, the Contractor, without limitation, shall or will continue to: 8 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2013\4.19.13 NHSIE Rehab Loan Program Agreement Packet Pg. 132 (A) use the general form of the Loan Application in connection with an application by a Qualified Homeowner for the approval by the City to the Qualified Homeowner of the Loan under the Program in accordance with this Agreement. The applicant for the Loan must submit to the Contractor federal and state income tax returns filed by the applicant with the appropriate taxing authorities for the past two (2) years which tax returns must be acceptable to the Contractor in its sole and absolute discretion; c a� (B) subject to the completion of the tasks described in Section 3(A) above, continue E the process of receiving and reviewing Loan Applications and provide the Services as a provided for in the Agreement. The Contractor shall offer the Program to Qualified Q Homeowners on an as-needed, first-come, first-served basis; provided, however, in the FU case of an emergency, of an urgent need or of a life-threatening situation, the Contractor may process a Loan Application ahead of other Loan Applications subject to the approval of the City Manager; (C) transmit a copy of a completed set of the Loan Documents to the City, together with a recommendation from the Contractor to the City to approve the Loan Application and the Loan to the Qualified Homeowner. Each acceptance of a Loan Application by co the City shall be evidenced by the signature of the City Manager of the Loan Documents, where designated. All Loan Documents shall be executed, acknowledged, where designated, and completed by the Qualified Homeowner and by the Contractor; U N (D) no fees, charges or expenses shall be payable by any applicant to the Contractor M ' or to the City for a Loan, nor shall the Contractor charge a Qualified Homeowner for any c cost or service in connection with the origination or subsequent administration of the N Loan during the time the Improvements and/or the Work is constructed, installed, performed and/or completed at the Home, except for the Maintenance Class fee payable to the Contractor, or as authorized under the Program by the City Manager; E L a (E) upon confirmation by the Contractor that the Loan Documents for the Program o are executed and complete and that the Deed of Trust and the Maintenance Agreement Covenant (and any other documents to be recorded in the County Recorder's Office) are ready for recordation in the County Recorder's Office. The Contractor shall coordinate the issuance of the policy of title insurance in favor of the City by the title insurance w company with the recordation of the Deed of Trust and of the Maintenance Agreement = Covenant; Z r E (F) deliver a fully executed and acknowledged, where designated, original set of the a Loan Documents for each Loan (except for the Deed of Trust and for the Maintenance Agreement Covenant which documents shall be recorded by the Contractor on behalf of E the City in the County Recorder's Office)to the City upon request for reimbursement; a (G) verify that Loan Funds are used to pay a state-licensed General Contractor and/or state-licensed subcontractor for the Improvements and/or for the Work constructed, installed, performed and/or completed at the Home pursuant to the General Contractor Agreement (less a ten percent (10%) retention pending completion of the Improvements 9 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2013\4.19.13 NHSIE Rehab Loan Program Agreement Packet Pg. 133 and/or of the Work and final executed written release of all mechanics and materials liens from the General Contractor and/or from all subcontractors); (H) prepare and maintain a Loan Funds reimbursement ledger for all payments authorized and made by the Contractor to the General Contractors and/or to the subcontractors for the account and debit to each Qualified Homeowner under each Loan made by the City to or for the benefit of the Qualified Homeowner in accordance with this Agreement. Such ledger shall show each payment by date and reference the E particular Loan, the Loan Documents and the name of the Qualified Homeowner to E which it corresponds. Such ledger shall also include a monthly starting and ending a balance for the Loan, a final reconciliation of the adjusted balance of each Loan upon the completion of the Improvements and/or of the Work, and such other accounting information as the City Manager may request. A copy of such ledger shall be submitted to the City Manager each month with the first such monthly submittal due on the first day rn of the next month following the date of the initial Loan Funds approval by the Contractor and/or the City; a Z (I) No Improvements and/or Work shall be authorized for payment by the Contractor 2 unless the Loan Documents are complete and the Contractor has received a fully executed copy of the General Contractor Agreement by and between the General Contractor and the Qualified Homeowner. Once the Improvements and/or the Work has 0 commenced on a particular Home, neither the Qualified Homeowner, the General N Contractor nor the subcontractor shall authorize an amendment or modification of such "? contract to include any item of Work, which is not eligible for payment using the Loan c Funds under the terms and conditions of the Loan under the Program. Each such contract by and between the General Contractor and the Qualified Homeowner, the General Ui Contractor and the subcontractor, and/or the subcontractor and the Qualified Homeowner shall include a section, which recites the words of the first two (2) sentences of this a, Section 3(I). a. (J) Contractor at its expense shall provide a dedicated and trained staff member to � administer the Services and the Program described in this Agreement for the term of this Agreement; d W (K) The Contractor represents, warrants and covenants that the Contractor shall = reserve membership on the Contractor's board of directors to one(1) or more individuals Z who reside in the City of San Bernardino, County of San Bernardino, State of California, E as required by applicable Laws, City, or as necessary, for the term of this Agreement. a m Section 4. TIME OF PERFORMANCE OF SERVICES. The Services to be E performed hereunder by the Contractor shall be undertaken and completed in such sequence as to assure expeditious completion and to best carry out the purposes of the Program and this a Agreement. All Services required hereunder shall begin upon the execution of this Agreement. Section 5. TERM OF AGREEMENT. This Agreement shall take effect upon the approval by the governing board of the City and the complete execution by the parties (the 10 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2013\4.19.13 NHSIE Rehab Loan Program Agreement Packet Pg. 134 , "Effective Date"). The Agreement shall remain in effect through June 30, 2016, subject to annual approval by the City in its sole discretion and the appropriation by the United States ' Department of Housing and Urban Development("HUD"). Section 6. COMPENSATION PAYABLE BY CITY TO CONTRACTOR. (A) The City shall annually compensate the Contractor for the performance of the Services using the HOME Funds in accordance with the following schedule: E d 10% of the Loan Funds disbursed Annual Program Administration Fee for a by the Contractor not to exceed an CONTRACTOR m annual amount of $70,000 N $630,000 Single Family Residence Rehabilitation Loan Program 700 000 � a. (B) From and after the Effective Date of this Agreement and for the remaining term of this Agreement, the Program Administration Fee payable by the City to the Contractor as compensation for Services performed by the Contractor under this Agreement shall be paid by the City directly to the Contractor upon receipt by the City of a corrected invoice and the Loan v Funds disbursement ledger(the "Loan Funds Disbursement Ledger")which shows all Loan Fund N payments authorized by the City and disbursed by the Contractor to the General Contractors M and/or to the subcontractors under this Agreement for which the Contractor has not been paid by c the City. The Contractor may not invoice the City more than once per month for the Loan Funds Ui disbursed by the Contractor under this Agreement and the City shall pay to the Contractor the correct amount identified on the invoice within thirty (30) calendar days after the receipt by the City of the following: (i) a corrected invoice, and (ii) the Loan Funds Disbursement Ledger. The E Program Administration Fee shall be 10% of the Loan Funds disbursed by the Contractor under a. this Agreement and shall not exceed Seventy Thousand Dollars ($70, 000), in the aggregate, for o any given year. (C) Notwithstanding the foregoing, in the event the Contractor exceeds twenty -two (22) Loans in any given year, additional Loan Funds will need to be procured in order to fund w any additional Loans made by the Contractor under this Agreement. The City will exercise its = reasonable efforts to amend this Agreement, in writing, and to obtain additional Loan Funds to ? fund additional Loans, in excess of twenty-two (22) Loans, by the Contractor for that year. The E City makes no warranty, no representation and no covenant to the Contractor that the City will a be able to obtain any additional Loan Funds to fund any additional Loans under this Agreement. E Section 7. PERSONNEL OF CONTRACTOR. The Contractor represents that it has, or will secure at its own expense, all personnel required to perform the Services. All of the a Services required hereunder will be performed by persons who are either employed by or under the supervision and control of the Contractor, and all personnel engaged in the Services shall be fully competent and qualified to perform such Services. 11 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2013\4.19.13 NHSIE Rehab Loan Program Agreement Packet Pg. 135 Section 8. INDEPENDENT CONTRACTOR. All acts of the Contractor and all others acting on behalf of the Contractor relating to the performance of this Agreement, shall be performed as independent contractors and not as agents, officers, or employees of the City. The Contractor has no authority to bind or incur any obligation on behalf of the City. The Contractor has no authority or responsibility to exercise any right or power vested in the City. No agent, officer, or employee of the City shall be considered an agent or employee of the Contractor. It is r understood by both the Contractor and the City that this Agreement shall not under any circumstance be construed or considered to create an employer-employee relationship or a joint E venture as between the Contractor and the City. The Contractor is and at all times during the Term of this Agreement shall represent and conduct itself as an independent contractor and not Q as an agent or employee of the City. The Contractor shall be responsible to the City only for the requirements and results specified in this Agreement, and except as expressly provided in this Agreement, shall not be subject to control by the City with respect to the physical action or activities of the Contractor in fulfillment of this Agreement. The Contractor has control over the in manner and means of performing the Services under this Agreement so long as consistent with the requirements of the Program. The Contractor is permitted to provide services to others during the same period Services are provided to the City under this Agreement. If necessary, the Contractor has the responsibility for employing other persons or firms to assist the Contractor in fulfilling the terms and obligations under this Agreement. If in the performance of this Agreement any third persons are retained as subcontractors by the Contractor, such persons shall be entirely and exclusively under the direction, supervision, and control of the Contractor. All U terms of employment including hours, wages, working conditions, discipline, hiring, and N discharging or any other term of employment or requirements of law shall be determined by the M Contractor. The Contractor hereby agrees to indemnify, defend (if requested by City), protect c and hold the City harmless from any and all claims that may be made against the City or based N upon any contention by any employee of the Contractor or by any third party that an employer- W employee relationship or joint venture exists between any person or entity and the City, by reason of the performance of any of the Services under this Agreement. a, L a Section 9. COMMERCIAL GENERAL LIABILITY INSURANCE, o AUTOMOBILE INSURANCE, WORKERS' COMPENSATION INSURANCE, � EMPLOYER'S LIABILITY INSURANCE, ERRORS AND OMISSIONS AND PROFESSIONAL LIABILITY INSURANCE. W (A) The Contractor shall obtain and keep in force during the term of this Agreement, i at its sole cost and expense, the following insurance policies: (i) a commercial general liability z policy of insurance with coverage at least as broad as "Insurance Services Office Commercial E a� General Liability Form (G0001)", in the amount of One Million Dollars ($1,000,000) combined Q single limit per occurrence, naming the City and the City and the elected officials, officers, employees, attorneys and agents of each of them as additional insureds (collectively, the E "Additional Insureds") with said insurance covering comprehensive general liability including, but not limited to, contractual liability, assumed contractual liability under this Agreement, acts a of subcontractors, premises-operations, explosion, collapse and underground hazards, if applicable, broad form property damage, and personal injury including libel, slander and false arrest, (ii) comprehensive automobile liability insurance covering owned, non-owned and hired vehicles by or for the Contractor, combined single limit in the amount of One Million Dollars 12 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2013\4.19.13 NHSIE Rehab Loan Program Agreement Packet Pg. 136 r 7.A.d ($1,000,000) per occurrence, naming the Additional Insureds as additional insureds on each automobile insurance policy, (iii) workers' compensation insurance in such insurance coverage amounts as statutorily required, or similar insurance in form and amounts required by law, and employer's liability insurance, combined single limit in the amount of One Million Dollars ($1,000,000), and (iv) errors and omissions and professional liability, combined single limit in the amount of One Million Dollars ($1,000,000)per occurrence. a� (B) Any and all insurance policies required hereunder shall be obtained from insurance companies admitted in the State of California and rated at least A: XII in the most e=, current Best's Key Rating Insurance Guide. In no event shall the Contractor be permitted or Q entitled to assign to any third party rights of action, which the Contractor may have against the ri City. All said insurance policies shall provide that they may not be canceled unless the City receive written notice of cancellation at least thirty (30) calendar days prior to the effective date of cancellation. Any and all insurance obtained by the Contractor shall be primary to and shall not be contributing with any insurance carried by the City or by the City whose insurance shall be considered excess insurance only. Any insurance which the City and/or City may otherwise a. carry, including self insurance, for all purposes of this Agreement shall be separate and apart from the requirements of this Agreement. Legal counsel for the City must approve each CU insurance policy required in Section 10(A) of this Agreement. The Contractor waives subrogation and agrees that the Contractor, the City are co-insured. The insurer shall have no right of subrogation, against the City or against any of the other Additional Insureds. The c0 Additional Insureds shall be named as additional insureds on each insurance policy. N (C) All insurance which the Contractor shall carry or maintain pursuant to this Section c 10 shall be in such form, for such amounts, for such periods of time as the City may require or N ui approve. Ui (D) The Contractor shall deliver or cause to be delivered to the City concurrently E upon the execution of this Agreement an endorsement of the insurance policies required in this a Section 10(A) of this Agreement evidencing the existence of the insurance coverage required by o the City under Section 10(A) of this Agreement and shall also deliver, no later than thirty (30) -J calendar days prior to the expiration of any insurance policy, a certificate of insurance evidencing each renewal policy covering the same risks. The City may request the Contractor to provide, and the Contractor shall immediately provide, additional or greater insurance, in such w amounts and with such deductibles as reasonably determined by the City, at the cost and expense = of the Contractor. z E Section 10. INDEMNIFICATION. a _ (A) The Contractor agrees to indemnify, defend with legal counsel reasonably E acceptable to the City, protect and hold the City and their respective elected officials, directors, officers, members, managers, consultants, contractors, employees, agents and attorneys, and the a successors and assigns of each of them (singularly and collectively, the "Indemnified Parties" which defined term shall also includes the City), harmless from and against all actions, causes of action, claims, demands, liabilities, damages, losses, liabilities, obligations, judgments, suits, costs, expenses and fees (including, without limitation, reasonable attorneys' fees, court costs 13 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2013\4.19.13 NHSIE Rehab Loan Program Agreement Packet Pg. 137 7.A.d and expert fees of any nature whatsoever), now or hereafter arising from or related to: (i) any act or omission of the Contractor and/or of any of the Contractor's directors, officers, members, managers, consultants, contractors, subcontractors, materialmen, laborers, any other person or entity furnishing or supplying work, services, goods, or supplies in connection with the performance of this Agreement, employees and agents, and the successors and/or assigns of each of them (singularly and collectively, the "Indemnifying Parties" which defined term shall also w include the Contractor), in performing, or failing to perform, its obligations hereunder, (ii) any default by the Contractor under this Agreement, subject to any applicable cure period, (iii) any E violation by any of the Indemnifying Parties of any Laws, (iv) any warranty or representation c made by the Contractor to the City in this Agreement that is or becomes false and untrue, (v) a death, bodily injury and/or personal injury to any person, (vi) any destruction, loss or damage to 7V real property or personal property, (vii) the presence of any Hazardous Substances at, on, in, above, under or about any Home owned by a Qualified Homeowner resulting, directly or indirectly, from the acts or omissions of any Indemnifying Parties, and/or (viii) the aggravation of any environmental condition by any Indemnifying Parties at, on, in, above,under or about any Home owned by a Qualified Homeowner. Without limiting the Contractor's indemnification of the Indemnified Parties, the Contractor shall provide and maintain, at its sole cost and expense during the term of this Agreement, the insurance described in Section 10(A) of this Agreement. Such insurance shall be provided by insurer(s) satisfactory to the City and evidence of such insurance satisfactory to the City shall be delivered to the City Manager no later than the effective date of this Agreement. 0 N (B) The City shall indemnify, defend (if requested by the Contractor) and hold "' harmless the Contractor, its agents, officers, and employees, from all claims, loss, demands and o y liability for damages for personal injury, bodily injury Y or property damage suffered by reason of N any act or omission of the City or any of its officers or employees or agents under this Ui Agreement except where such action or omission giving rise to such a claim is caused by or is the result of an action, omission or request of the Contractor and/or of any of the other E Indemnifying Parties, or is alleged to arise out of the execution of this Agreement. The a provisions of Section 1 l(A) and Section l l(B) shall survive the execution, delivery, c performance, expiration or early termination of this Agreement. � Section 11. DEFAULTS AND BREACH - GENERAL. The failure or delay by of either party to perform any material term or provision of this Agreement shall constitute a default w hereunder; provided, however, that if the party who is otherwise claimed to be in default by the = other party commences to cure, correct or remedy the alleged default within thirty (30) calendar Z days after receipt of written notice specifying such default and shall diligently complete such E cure, correction or remedy, such party shall not be deemed to be in default hereunder. A default a shall also occur under this Agreement whenever a representation and/or warranty made in this Agreement is or becomes false or untrue. A default shall also occur under this Agreement E whenever a party files, or has filed against it, a petition in bankruptcy, is or becomes insolvent, is unable to pay its debts as they mature, assigns its assets for the benefit of creditors, or a receiver, a trustee or custodian is appointed by a court to exercise control over all or substantially all of the assets of the party and such receiver, trustee or custodian is not discharged by the court within sixty (60) calendar days after said appointment date. The party which may claim that a default has occurred shall give written notice of default to the party in default specifying the alleged 14 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2013\4.19.13 NHSIE Rehab Loan Program Agreement Packet Pg. 138 7.A.d default. Delay in giving such notice shall not constitute a waiver of any default nor shall it change the time of default; provided, however, the injured party shall have no right to exercise any remedy for a default hereunder without delivering the written default notice as specified herein. Any failure or delay by a party in asserting any of its rights and remedies as to any default shall not operate as a waiver of any default or of any rights or remedies associated with a default, and the rights and remedies of the parties are cumulative and the exercise by either party r of one or more of such rights or remedies shall not preclude the exercise by it, at the same or different times, of any other rights or remedies for the same default or any other default by the -Ea other party. In the event that a default of either party may remain uncured for more than thirty (30) calendar days following written notice, as provided above, a "breach" shall be deemed to a have occurred. In the event of a breach, the party who is not in default shall be entitled to �a terminate this Agreement and seek any appropriate remedy or damages by initiating legal proceedings. If any action or proceeding is brought to enforce the terms hereof or declare rights hereunder, it shall be brought in the Superior Court of the County of San Bernardino, San Bernardino District, State of California. The governing law to be applied in any such action or proceeding shall be the law of the State of California. The prevailing party in any such legal proceedings shall be entitled to recover as an element of its costs of bringing such suit, and not as part of its damages, its reasonable attorneys' fees, court costs, expert witness fees and consultant fees and costs. The costs, salary and expenses of the City Attorney and members of his office in such action or proceeding on behalf of the City shall be considered as "attorneys' fees" for purposes of this Section. 0 U N Section 12. NONDISCRIMINATION. During the Contractor's performance of the 10 M Services, the Contractor shall not discriminate on the grounds.of race, religion, creed, color, c national origin, age, ancestry, physical handicap, medical condition, marital status, sex, or sexual orientation in the performance of the Services, including, without limitation, in the selection and W retention of employees, General Contractors and subcontractors and the procurement of materials and equipment, except as provided in Section 12940 of the California Government Code. E L a. Section 13. CONFLICT OF INTEREST. The Contractor warrants, by execution of a this Agreement, that it has no interest, present or contemplated, in the Program or in any Home benefited thereby or Work performed on any Home using the Loan and the Loan Funds. The Contractor further warrants that it owns or possesses no interest in real property, business interests or owner of income (other than such amounts of compensation payable by the City to w the Contractor for the Services under this Agreement) that will be affected by the Program or, _ alternatively, if such interest exists or arises the Contractor will promptly file with the City an Z affidavit disclosing any such interest. E a Section 14. AMENDMENTS. All amendments to this Agreement shall be subject to the approval of both parties in the sole discretion of each of them, mutual and in writing. The E City Manager of the City is authorized to make non-substantive changes, clarifications, U corrections to the Agreement, including budget line item adjustments, provided such actions are Q approved by legal counsel for the City and do not increase the City's monetary annual appropriation to the Contractor as approved by the governing board of the City. 15 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2013\4.19.13 NHSIE Rehab Loan Program Agreement Packet Pg. 139 Section 15. TERMINATION. (A) This Agreement may be terminated for any reason by either party who is not then in default upon ten (10) calendar days prior written notice to the other party. In such event, the Contractor shall be entitled to receive compensation for Services pro-rated through the date of such termination,provided that the Services have been rendered. r _ a� (B) In the event of a termination of the Agreement as a result of a breach, the rights E and duties of the parties shall be as set forth in Section 12. a (C) In the event of any termination of this Agreement, the Contractor shall promptly return all Loan Funds that have been disbursed by the City to the Contractor with the exception of any Loan Funds that have been properly disbursed by the Contractor to or for the benefit of one or more Qualified Homeowners under this Agreement, without charge or expense to the N City. a. Section 16. ASSIGNMENT. It is mutually understood and agreed that this Agreement shall be binding upon the City and its successors and assigns and upon the Contractor and its successors and assigns. The City may assign this Agreement, without obtaining the prior :a consent or approval of the Contractor. The Contractor may not assign this Agreement without obtaining the prior written consent of the City, which written consent may be given or withheld v by the City in its sole and absolute discretion. Any assignment or attempt to assign this N Agreement by the Contractor shall be void. M *01 Section 17. NOTICES. Communications, notices, bills, invoices or reports required N CD by this Agreement shall be in writing and shall be deemed to have been given when actually W delivered, if given by hand delivery or transmitted by overnight courier service, or if mailed, three (3) business days after being deposited in the United States mail, postage prepaid, to the a, address noted below: a _ R City Contractor City of San Bernardino Neighborhood Housing Services of Attention: City Manager the Inland Empire, Inc. 300 North"D" Street, Sixth floor Attention: Director CO San Bernardino, California 92401 1390 North"D" Street Z Phone: (909) 663-1044 San Bernardinoe, California E Fax: (909) 888-9413 92405Phone: (909) 884-6891 Q Fax: (909) 884-6893 as Either party may change its address for receipt of written notice by notifying the other party in writing of a new address for delivering notice to such party. a 16 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2013\4.19.13 NHSIE Rehab Loan Program Agreement Packet Pg.-140 Section 18. REPRESENTATION AND WARRANTY OF CONTRACTOR. The Contractor hereby represents and warrants to the City as follows: (A) The Contractor is a California nonprofit corporation duly organized, existing, and authorized to transact business in California; Y (B) the corporate charter and by-laws of the Contractor authorize the Contractor to provide the Services to the City and the governing board and membership of the Contractor have -a previously taken all action necessary to authorize the execution of this Agreement by the Contractor; a (C) the Contractor is qualified to perform the Services and shall timely perform and complete the Services in a professional manner. Section 19. LOAN FUNDS AND LOAN DOCUMENTS ARE THE PROPERTY c OF THE CITY. The Loan Documents for each Loan are the property and asset of the City. The Contractor has no property interest in any such Loan Documents and the Contractor shall v not transfer, assign or pledge as collateral or claim any other security interest in any such Loan Documents. All of the Loan Documents are the property of the City, and the Contractor shall °- maintain all such Loan Documents in its possession as confidential consumer business records of the Qualified Homeowner. All Loan Funds disbursed by the City to the Contractor for the v benefit of a Qualified Homeowner are the property of the City until paid by the Contractor to the N General Contractor upon the completion of the Work at the Home for the account of the M Qualified Homeowner under the applicable Loan Documents. c N Section 20. NON-ELIGIBILITY OF HOMEOWNER. The Qualified Homeowner must file a W Loan Application with the Contractor should the Qualified Homeowner intend to construct, to install and/or to complete the Project with Loan Funds. Once the City has approved the Loan a, Application for the Qualified Homeowner and for the benefit of the Qualified Homeowner under a` this Agreement, the Qualified Homeowner now or hereafter shall have no right to apply for and c to receive any other loan offered by the City to the general public under any loan program, until _J ten (10) years after the date that the City has been paid the last of the loan Funds to the Contractor for the benefit of the Qualified Homeowner under this Agreement. W Section 21. GENERAL PROVISIONS. This Agreement constitutes the sole = agreement between the parties. All prior conversations, agreements or representations relating Z hereto are integrated in this Agreement. No oral agreement, representation or warranty shall be a, binding upon the parties. If any provision of this Agreement shall be invalid, illegal or a unenforceable, the validity, legality and enforceability of the remaining portions of this Agreement shall not in any way be affected or impaired thereby. Failure of any party to enforce E any provision of this Agreement shall not constitute a waiver of the right to compel enforcement of the same provision or any remaining provisions of this Agreement. Headings at the beginning a of each section or subsection are solely for the convenience of the parties and are not a part of this Agreement. Whenever required by the context of this Agreement, the singular shall include the plural and the masculine shall include the feminine and vice versa. This Agreement shall not be construed as if it had been prepared by one of the parties, but rather as if all parties had 17 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2013\4.19.13 NHSIE Rehab Loan Program Agreement Packet pg. 141 prepared the same. Unless otherwise indicated, all references to sections are to this Agreement. All exhibits referred to in this Agreement are attached hereto and incorporated herein by this reference. If the date on which any action is required to be performed under the terms of this Agreement is not a business day, the action shall be taken on the next succeeding business day. This Agreement may be executed in one or more counterparts each of which shall be an original but all of which together shall constitute but one original Agreement. This Agreement may be executed by facsimile signatures, and each facsimile counterpart when taken together shall be E deemed an original Agreement. -0 CD E a C .a a d 0 o C 0 U N M O - N N W W E L a M 0 .j .0 0 s a� W 0) M z .r E a� a C 4) E t ca r a 18 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2013\4.19.13 NHSIE Rehab Loan Program Agreement Packet Pg. 142 IN WITNESS WHEREOF, the Contractor and the City have caused this Agreement to be duly executed on the date first above written. CITY w c d City of San Bernardino, -Ea a municipal corporation Q Dated: By: c �a Allen Parker, City Manager 3 N Approved as to Form: JAMES F. PENMAN, City Attorney M o By: 0 U N CONTRACTOR T M Ir- CDP ' Neighborhood Housing Services of the Inland 04 vi Empire, Inc., w a California non-profit corporation w E L a c �a Date: By: 0 J .G Name: 0 Title: W x z Date: By: E Name: a Title: E U t6 r Q 19 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2013\4.19.13 NHSIE Rehab Loan Program Agreement Packet Pg. 143 EXHIBIT"A" 2013 Income Limits c d E c m E Q c ns N c R a m 0 c O L) N u2 M r O N W E M L t� O L a c ca O J R N w W_ Z N x w c as E U ns w a 20 P1Agendas\Agenda Attachments\Agenda AttachmentA Agrmts-Amend 2013\4.19,13 NHSIE Rehab Loan Program Agreement Packet Pg. 144 .e YEAR 2013 INCOME LIMITS RIVERSIDE & SAN BERNARDINO COUNTIES 30% 50% 60% 80% HOUSIZEOLD MEDIAN MEDIAN MEDIAN MEDIAN INCOME INCOME INCOME INCOME E FAMILY Extremely Very 60% Q SIZE Low Low Median Low 1 $13,400 $22,300 $261760 $35,700 2 $15;300 $255500 $30,600 $40,800 in 3 $17,200 $28,700 $34,440 $45,900 4 $19,100 $31,850 $38,220 $503950 a 5 $20,650 $34,400 $41,280 $55,050 6 $221,200 $36,950 $44,340 $59,150 0 7 1 $23,700 $39,500 $47,400 $63,200 0 8 $25,250 $42,050 $50,460 $67,300 N M r O N W E tC L 0 L a c a 0 � I t � I W U) x z W r X W u c a) E t U f0 a-+ r Q Packet Pg. 145 EXHIBIT"B" Deed of Trust C a> E c d E a N Y N 3 to u. a) Y m O N C O U N 9 Cl) r O N W tY E m L CP O L- a. C m O s ca s m W cn x z N Y :Q x w c d E s V Y Y Q 21 P:1Agendas\Agenda AttachmentAAgcnda AttacbmentsWgnnts-Amend 201314.19.13 N14S1B Rehab Loan Program Agreement Packet Pg.146 .................... ... Recording Requested By: When Recorded Mail To: CITY OF SAN BERNARDINO c 201 N "E" STREET, SUITE 301 E SAN BERNARDINO, CA 92401-1507 c as E ATTN: HOUSING DIVISION a DEED OF TRUST WITH ASSIGNMENTS OF RENTS N cn THIS DEED OF TRUST, made, ((Date)) between, «PirmarysFirstName» «Pirmarysl-astName», and «JointFirstName» «JolntLastName» herein called TRUSTOR, a whose address isc<Addressl», «City», «State» «PostalCode», in which First American Title , .� herein called TRUSTEE, and the City of San Bernardino, a municipal corporation, herein called BENEFICIARY, Trustor irrevocably grants, transfers and assigns to Trustee in Trust, with Power of Sale that property in City of San Bernardino, County of San Bernardino, State of N California, described as: o U l-otDiscribtion». The legal description of the property is attached hereto and N incorporated herein by this reference as Exhibit"A". 0 Together with the rents, issues and profits thereof, SUBJECT, HOWEVER, to the right, power and authority given to and conferred upon Beneficiary to collect and apply such rents, w issues and profits. W E For the Purpose of Securing: 1. Payment of the sum of $ «Amount» with interest thereon according to the terms of a promissory note or notes of even date herewith made by ° Trustor, payable to order of the Beneficiary, and extensions or renewals thereof (singularly and a. collectively, the "Note"); 2. The Performance of each agreement of Trustor incorporated by J reference or contained herein or reciting it is so secured; 3. Payment of additional sums and interest thereon which may hereafter be loaned to Trustor, or his or her successors or assigns, when evidenced by a promissory note or notes reciting that they are secured by this Deed of Trust. w Cn X To protect the security of this Deed of Trust, and with respect to the property above Z described, Trustor agrees: w (1) To keep said property in good condition and repair; not to remove or demolish w any building thereon; to complete or restore promptly and in good and workmanlike manner any building which may be constructed, damaged or destroyed thereon and to pay when due all claims for labor performed and materials furnished therefore; to comply with all laws affected said property or requiring any alterations or improvements to be made thereon; not to commit or permit waste thereof; not to commit, suffer or permit any act upon said property in violation of a law; to cultivate, irrigate, fertilize, fumigate, prune and do all other acts which from the character or use of said property may be reasonably necessary, the specific enumerations herein not excluding the general. 1 Packet Pg. 147 (2) To provide, maintain and deliver to Beneficiary fire insurance satisfactory to and with loss payable to Beneficiary. The amount collected under any fire or other insurance policy may be applied by Beneficiary upon any indebtedness secured hereby and in such order as Beneficiary may determine, or at option of Beneficiary the entire amount so collected or any part thereof may be released to Trustor. Such application or release shall not cure or waive any default or notice of default hereunder or invalidate any act done pursuant to such notice. E (3) To appear in and defend any action or proceeding purporting to affect the = security hereof or the rights or powers of Beneficiary or Trustee; and to pay all costs and E expenses, including cost of evidence of title and attorneys' fees in a reasonable sum, in any a such action or proceeding in which Beneficiary or Trustee may appear, and in any suit brought by Beneficiary to foreclose this Deed of Trust. (4) To pay: at least ten days before delinquency all taxes and assessments affecting said property, including assessments on appurtenant water stock; when due, all encumbrances, charges and liens, with interest, on said property or any part thereof, which appear to be prior or o superior hereto; all costs, fees and expenses of this Deed of Trust. a a� r Should Trustor fail to make any payment or to do any act as herein provided, then Beneficiary or Trustee, but without obligation so to do and without notice to or demand upon .y Trustor and without releasing Trustor from any obligation hereof, may: make or do the same in o such manner and to such extent as either may deem necessary to protect the security hereof, U Beneficiary or Trustee being authorized to enter upon said property for such purposes; appear in and defend any action or proceeding purporting to affect the security hereof or the rights or M powers of Beneficiary or Trustee; pay, purchase, contest or compromise any encumbrance, o charge or lien which in the judgment of either appears to be prior or superior hereto; and, in N exercising any such powers, pay necessary expenses, employ counsel and pay his reasonable LU fees. The costs, salary and expenses of the City Attorney and members of his office in W enforcing this deed of trust on behalf of the Beneficiary shall be considered as "attorneys' fees" E for the purposes of this paragraph. E 0 L- (5) To pay immediately and without demand all sums so expended by Beneficiary or Trustee, with interest from date of expenditure at the amount allowed by law in effect at the date o hereof, and to pay for any statement provided for by law in effect at the date hereof regarding -' the obligation secured hereby an amount demanded. b the Beneficiary not to exceed the 9 Y Y Y Y � maximum allowed by law at the time when said statement is demanded. w (6) That any award of damages in connection with any condemnation for public use N of or injury to said property or any part thereof is hereby assigned and shall be paid to z Beneficiary who may apply or release such moneys received by him in the same manner and w with the same effect as above provided for disposition of proceeds of fire or other insurance. X W (7) That by accepting payment of any sum secured hereby after its due date, Beneficiary does not waive his right either to require prompt payment when due of all other E sums so secured or to declare default for failure so to pay. U f9 Y (8) That at any time or from time to time,without liability therefore and without notice, a upon written request of Beneficiary and presentation of this Deed of Trust and said note for endorsement, and without affecting the personal liability of any person for payment of the indebtedness secured hereby, Trustee may: reconvey any part of said property; consent to the 2 _ Packet Pg..148 :A.e making of any map or plat thereof; join in granting any easement thereon; or join any extension agreement or any agreement subordinating the lien or charge hereof. (9) That upon written request of Beneficiary stating that all sums secured hereby have been paid, and upon surrender of this Deed and said note to Trustee for cancellation and retention and upon payment of its fees, Trustee shall reconvey, without warranty, the property d then held hereunder. The recitals in such reconveyance of any matters or facts shall be E conclusive proof of the truthfulness thereof. The grantee in such reconveyance may be c described as "the person or persons legally entitled thereto." Five years after issuance of such E full reconveyance, Trustee may destroy said note and this Deed of Trust (unless directed in a such request to retain them). t° (10) That as additional security, Trustor hereby gives to and confers upon Beneficiary the right, power and authority, during the default by Trustor in payment of any indebtedness in secured hereby or in performance of any agreement hereunder, to collect and retain either in person, by agent, or by a receiver to be appointed by a court, and without regard to the v adequacy of any security for the indebtedness hereby secured, enter upon and take possession ° of said property or any part thereof, in his own name sue for or otherwise collect such, rents, d issues, and profits, including those past due and unpaid, and apply the same, less costs and expenses of operation and collection, including reasonable attorneys' fees, upon any .N indebtedness secured hereby, and in such order as Beneficiary application thereof as aforesaid, o shall not cure or waive any default hereunder or invalidate any act done pursuant to such notice. U N (11) That upon default by Trustor in payment of any indebtedness secured hereby or M in performance of any agreement hereunder, Beneficiary may declare all sums secured hereby o immediately due and payable by delivery to Trustee of written declaration of default and demand for sale and or written notice of default and of election to cause to be sold said w property, which notice Trustee shall cause to be filed for record. Beneficiary also shall deposit W with Trustee this Deed of Trust, said note and all documents evidencing expenditures secured E hereby. After the lapse of such time as may then be required by law following the recordation of said notice of default, and notice of sale having been given as then required by law, Trustee, o without demand on Trustor, shall sell said property at the time and place fixed by it in said notice . of sale, either as a whole or in separate parcels, and in such order as it may determine, at public c auction to the highest bidder for cash of lawful money of the United States, payable at time of -' sale. Trustee may postpone sale of all or any portion of said property by public announcement at such time and place of sale, and from time to time thereafter may postpone such sale by public announcement at the time fixed by the proceeding postponement. Trustee shall deliver w to such purchaser its deed conveying the property so sold, but without any covenant or warranty, express, or implied. The recitals in such deed of any matters or facts shall be z conclusive proof of the truthfulness thereof. Any person, including Trustor, Trustee, or r Beneficiary as hereinafter defined, may purchase at such sale. After deducting all costs, fees and expenses of Trustee and of this Deed of Trust, including cost of evidence of title in w connection with sale, Trustee shall apply the proceeds of sale to payment of: all sums expended : under the terms hereof, not then repaid, with accrued interest at the amount allowed by law in E effect at the date hereof; all other sums then secured hereby; and the remainder, if any, to the person or persons legally entitled thereto. o a (12) Beneficiary, or any successor in ownership of any indebtedness secured hereby, may from time to time, by instrument in writing, substitute a successor or successors to any Trustee named herein or acting hereunder, which instrument, executed by the Beneficiary and duly acknowledged and recorded in the office of the recorder of the county or counties where 3 Packet Pg. 149' 7.A.e said property is situated, shall be conclusive proof of proper substitution of such successor Trustee or Trustees, who shall, without conveyance from the Trustee predecessor, succeed to all its title, estate, rights, powers and duties. Said instrument must contain the name of the original Trustor, Trustee and Beneficiary hereunder, the book and pages where this Deed of Trust is recorded and the name and address of the new Trustee. C (13) That this Deed of Trust applies to inure to the benefit of, and binds all parties E hereto, their heirs, legatees, devisees, administrators, executors, successors and assigns. The C term Beneficiary shall mean the owner and holder, including pledges, of the note secured E hereby, whether or not named as Beneficiary herein. In this Deed of Trust, whenever the Q context so requires, the masculine gender includes the feminine and/or neuter, and the singular number includes the plural. (14) That Trustee accepts this Deed of Trust when this Deed of Trust, duly executed N and acknowledged, is made a public record as provided by law. Trustee is not obligated to notify any party hereto of pending sale under any other Deed of Trust or of any action or _a proceeding in which Trustor, Beneficiary or Trustee shall be a party unless brought by Trustee. °- V d Beneficiary may charge for a statement regarding the obligation secured hereby, o provided the charge thereof does not exceed the maximum allowed by laws. y C The undersigned Trustor, requests that a copy of any notice of default and any notice of 0 sale hereunder be mailed to him or her at his or her address hereinbefore set forth. N M O N Signature of Trustor LU E M L M 0 L a. c 0 m W W CO x z N r t X W r C d E t U lC w Q 4 Packet pg.150 STATE OF CALIFORNIA COUNTY OF SAN BERNARDINO ON 20 , before me, personally appeared Sig naturePrimarysname» E M _ «Sig naturejointname» E who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) a is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the a instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. in I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. 0 0 Signature c.) N to M O N Ui W Q' E l4 L 0 L- a. 0 J N t W_ U) Z N .r X W c a F a 5 Packet pg. 161 i 7;A� Do Not Record REQUEST FOR FULL RECONVEYANCE d TO: FIRST AMERICAN TITLE TRUSTEE:. E The undersigned is the legal owner and holder of all indebtedness secured by the within E Deed of Trust. All sums secured by said Dees( of Trust have been fully paid and satisfied; and a you are hereby requested and directed, on payment to you of any sums owing to you under the terms of said Deed of Trust, to cancel all evidences of indebtedness, secured by said Deed of Trust, delivered to you herewith, together with the said Deed of Trust, and to reconvey, without warranty, to the parties designated by the terms of said Deed of Trust, all the estate now held by in you under the same. _ Dated 6 By: o U N By: M N Please mail Reconveyance to: C6 W W E Do not lose or destroy this Deed of Trust OR THE NOTE which it secures. Both originals must M, be delivered to the Trustee for cancellation before reconveyance will be made. a c M 0 R 4) W W co x z N w t k W _ d E s ca a 6 ' Packet Pg. 152; i Provisions for Deed of Trust (Due on Sale Provisions) In the event that the Trustor should sell, transfer, or otherwise convey the real property securing the Note, whether voluntarily or by operation of law, or as a result of the death of the d Trustor, and whether by deed, contract of sale, or otherwise, or the agreement to do so, at any E time within the first ten (10) years after the execution by the Trustor of the Note, or the c refinancing by the Maker of the loan evidenced by the Note and secured by this Deed of Trust E or of a note and deed of trust encumbering the property described in Exhibit "A" and senior to Q the Note and to the Deed of Trust, then all obligations secured by the Note, irrespective of the maturity dates expressed therein, shall, at the option of the Beneficiary become immediately due and payable. 3 Cn In the event that the real property securing the Note which is now or hereafter may be encumbered by this Deed of Trust shall cease to be the Trustor's primary residence, irrespective a of the maturity dates expressed in the Note, shall, at the option of the Beneficiary, immediately a become due and payable. In the event that the Trustor shall further encumber the real property securing the Note, N or otherwise cause a reduction in priority which this Deed of Trust securing the Note enjoys as o of the date of its recordation, then all obligations secured by the Note, irrespective of the U maturity dates express therein, shall, at the option of the Beneficiary, immediately become due and payable. vi Initials: L E L 0 L Q. 0 0 J t4 t W_ N Z N t X W G d E s c� a 7 Packet Pg. 153 I EXHIBIT"A" Legal Description d E C d E _ 4 Cn _ m CL m 0 N _ O U N M O N W 0' E I O a c O J t4 t O w _W CO Z N w+ k W _ d E t v co r+ Q 4835-4625-0244.4 Packet leg. 154 7.A.e EXHIBIT"C" Scope of Services .r d E _ d E Q R c r N 3 _ cv a a� �a 0 N _ O U N M O N ui W I, R tm O L- 0. _ l4 O J R W_ N S Z N r X W _ O E t V RS Q Packet Pg. 155 7.A.e EXHIBIT"C" SCOPE OF SERVICES (Description of Program) A. Contractor's Administration Annual Fee E The City shall annually compensate the Contractor an amount not to exceed the total sum of Seventy Thousand Dollars ($70,000) for the administration and the implementation of the E Program herein and for the Services rendered under this Agreement, subject to the annual approval and appropriation by the United States Department of Housing and Urban Development ("HUD"). to 7 Notwithstanding the foregoing,in the event the Contractor exceeds twenty-two (22)Loans in any given year,additional Loan Funds will need to be procured in order to fund any additional Loans o made by the Contractor under this Agreement. The City will exercise its reasonable efforts to 0. amend this Agreement,in writing, and to obtain additional Loan Funds to fund additional Loans, in excess of twenty-two (22) Loans, by the Contractor for that year. The City makes no warranty,no representation and no covenant to the Contractor that the City will be able to obtain any additional Loan Funds to fund any additional Loans under this Agreement. 0 From and after the Effective Date of this Agreement and for the remaining term of this M Agreement, the Program Administration Fee payable by the City to the Contractor as c compensation for the Services performed by the Contractor under this Agreement shall be paid by the City directly to the Contractor upon receipt by the City of a corrected invoice and the Loan Funds Disbursement Ledger which shows all Loan Fund payments authorized by the City and disbursed by the Contractor to the General Contractors and/or to the subcontractors under E this Agreement for which the Contractor has not been paid by the City. The Contractor may not o invoice the City more than once per month for the Loan Funds disbursed by the Contractor under a` this Agreement and the City shall pay to the Contractor the correct amount identified on the invoice within thirty (30) calendar days after the receipt by the City of the following: (i) a 0 corrected invoice, and(ii)the Loan Funds Disbursement Ledger. w B. Single Family Residence Rehabilitation Loan Program(the"Program") ($630,000) Z The Contractor shall accept the Loan Applications from respective Qualified Homeowner applicants to determine income and improvement eligibility (see Exhibit"A"to this Agreement), x to determine equity in the Home and to verify ownership and length of ownership by obtaining a w preliminary title report or other pertinent documentation from a reputable title company. The c Contractor shall offer the Program to Qualified Homeowners in the Target Area on an as needed, E first-come, first-served basis. However, in the case of an emergency, of an urgent need or of a life-threatening situation, the Contractor may process a Loan Application ahead of other Loan a Applications subject to the approval by the City Manager. The Improvements allowed under the Program are described in Section"C"below of this Scope of Services. ` 22 PAAgendaMgenda Attachmen(AAgenda Attachments\Agmits-Amend 201314.19.13 NHSIE Rehab Loan Program Agreement Packet pg. 166' C. Eligible Improvements Permitted under the Program The following types of Improvements are permitted in connection with the Program: (i) roof repairs and re-roof or overlay, (ii) exterior and interior painting, including, without limitation, lead testing, (iii) drought tolerant landscaping (irrigation system, with hydro seeds, sod or artificial turf), (iv) window replacement, (v) carpet replacement and/or finished flooring replacement, (vi) HVAC system, (vii) electrical work, (viii) Sewer Repairs, (ix) termite repairs, a (x) exterior concrete hardscape such as sidewalks, driveways, curbs, gutters, hand railings or ramps, (xi) door or window screens repairs or replacements, (xii) tub, shower, toilet repairs or a replacements, (xiii) foundation or structural repairs, (xiv) fencing or (xv) installation of � alternative energy sources, including, without limitation, solar panels. The Improvements must relate to health and safety code violations (i.e.,blown sewer lines, septic tank destruction,etc.). y The maximum amount of the Loan permitted under the Program is the Loan Amount per Home, without the prior written approval of the City Manager. r- 0. v D. Applicant EIigibility Requirements for the Program 1. Qualified Homeowner must be an owner and occupant of the Home as its principal y residence, for a minimum period of 12 months preceding the application date; on a case-by-case 0 basis, and depending on the circumstances, this requirement may be waived by the City Manager or designee; the Contractor shall obtain evidence of ownership and length of ownership and residency. c N 2, Qualified Homeowner must execute and complete a Loan Application and must deliver w and submit the Loan Application, as fully executed and completed, to the Contractor. The Contractor shall receive, review, verify and approve or reject the Loan Application. If the Loan E Application is not acceptable to the Contractor, the Contractor shall notify the applicant in writing within ten (10) business days from the receipt by the Contractor of the Loan Application a and the Contractor shall provide the applicant with the reasons for the rejection by the Contractor. C 3. Qualified Homeowner must have a personal or household income level, adjusted for family size, during the twelve (12) months preceding the date of submission of the Loan w Application to the Contractor within the ranges of income for low-moderate income households, U) adjusted for family size, as set forth in Exhibit"A"to this Agreement. Z N 4. Qualified Homeowner must agree to: (i) attend the Maintenance Class, (ii) live in the Qualified Homeowner's Home,as its principal residence, for not less than ten(10)years after the w recordation of the Maintenance Agreement Covenant in the County Recorder's Office, and (iii) to maintain the Home in accordance with the Maintenance Agreement Covenant for not less than ten (10) years after the recordation of the Maintenance Agreement Covenant in the County Recorder's Office. a 5. Qualified Homeowner must execute and acknowledge, where appropriate, the Loan Documents. The Qualified Homeowner, without limitation, shall execute and notarize the Deed 1. 23 PAAgendas\Agenda AttachmentslAgenda Attachments"grmts-Amend 201314.19.13 NHSIE Rehab Loan Program Agreement Pac6t.pg. 157 of Trust and the Maintenance Agreement Covenant and the Contractor or the City shall record, or shall cause the recordation of,the Deed of Trust and the Maintenance Agreement Covenant in the County Recorder's Office. 6. Qualified Homeowner must not have received any grant or loan from the City for a period of ten (10) years prior to the submission by the Qualified Homeowner to the Contractor and/or to the City of the Loan Application. E a� E. Guidelines E a The Contractor shall conduct, administer, implement, comply with and perform the following guidelines in connection with the Program: 1. The Contractor shall administer and implement the Program herein and shall utilize the rn applicable and pertinent sections of the City's Loan Policies and Procedures Manual for guidance on processing and packaging all Loans under this Agreement, if applicable, under the direction of the City Manager. R 2. The Contractor shall accept the Loan Applications from respective Qualified Homeowner applicants to determine location, income and improvement eligibility, to determine equity in the 0 U Home, and to verify ownership and length of ownership by obtaining a preliminary title report or other pertinent documentation from a reputable title company. The Contractor shall offer the M Program to Qualified Homeowners in the Target Area on an as needed, first-come, first-served c basis. However, in the case of an emergency, of an urgent need or of a life-threatening situation, N the Contractor may process a Loan Application on an urgent basis ahead of other Loan LU Applications subject to the approval of the City Manager. W E 3. The Contractor shall inspect eligible Homes and properties to determine the type of o health and safety and code violation repair work needed, including asbestos and lead-based paint removal, the age and overall condition of the Home and to ensure that all Homes repaired or improved under the Program when completed are aesthetically pleasing and in compliance with all Laws. CU a) 4. The Contractor shall prepare and complete Work write-ups, cost estimates, and bid W packages for the Improvements to be constructed, installed, performed and completed for each Qualified Homeowner's Home. Z U) 5. The Contractor shall ensure that all Improvements and/or Work constructed, installed, X performed and/or completed in connection with the Qualified Homeowner's Home shall be w constructed, installed, performed and completed by pre-qualified State licensed General Contractors and/or State licensed subcontractors. The Contractor shall also require that each E General Contractor and/or subcontractor constructing, installing, performing and/or completing the Improvements and/or the Work in connection with the Qualified Homeowner's Home under a the Program shall possess a current business license in the City and shall possess a current license with the State of California Contractor's License Board. The Contractor shall be required, whenever feasible,to obtain a minimum of three(3) bids from General Contractors for 24 P:1Agendas\Agenda Attachments\Agenda Attachments\Agmits-Amend 2013\4.19.13 NHSIE Rehab Loan Program Agreement Racket Pg.158 all Improvements and/or for all Work to be constructed,installed,performed and/or completed in connection with the Qualified Homeowner's Home. All bids shall be made available by the Contractor to the Qualified Homeowner for review. All Improvements and/or Work constructed, installed, performed and/or completed by General Contractors and/or by subcontractors in connection with the Qualified Homeowner's Home shall be approved and authorized by the Qualified Homeowner, and shall be completed within a specified timeframe acceptable to the Qualified Homeowner and the General Contractors and/or the subcontractors. E c d 6. The Contractor shall solicit bids for the construction, installation,performance and/or the E completion of the Improvements and/or of the Work in connection with the Qualified Homeowner's Home from a list of pre-approved General Contractors. The Contractor shall assist the Qualified Homeowners with the selection of a General Contractor, and shall assist the co Qualified Homeowner in connection with the execution of the General Contractor Agreement, in including, without limitation, a determination as to the scope of the Improvements and/or of the scope of Work to be constructed, installed, performed and/or completed by the General Contractor, any schedule of performance, other schedules, conduct pre-construction and walk- through conferences. 7. Prior to the execution of the General Contractor Agreement and prior to any funding by the Contractor of any Loan Funds to the General Contractor for the proposed Improvements 0 and/or Work to be constructed, installed, performed and/or completed, the Contractor and the members of the City application review committee (the "Application Review Committee") T appointed and assigned by the City to approve, administer and oversee the construction, the c installation, the performance and/or the completion of the Improvements and/or of the Work N Ui shall meet on one or more occasions to discuss the Improvements and/or the Work to be constructed, installed, performed and/or completed in connection with the Qualified W Homeowner's Home and the methodology used or to be used to identify, quantify and assist the E Qualified Homeowner. 0 a 8. The Contractor and the Qualified Homeowner must review, approve, execute and acknowledge, where designated, the Loan Docuuments. The Loan Documents shall include, without limitation, the following: (i) the Note, which shall be executed by the Qualified Homeowner in favor of the City and (ii) the Deed of Trust and the Maintenance Agreement Covenant which Deed of Trust and Maintenance Agreement Covenant must be executed and w acknowledged,where designated,by the City and by the Qualified Homeowner and each must be Fn x recorded by the Contractor or by the City in the County Recorder's Office. The General z Contractor and/or any subcontractor cannot commence the construction, the installation, the U' performance and/or the completion of the Improvements and/or of the Work in connection with a x Qualified Homeowner's Home until: (i) the Loan Documents have been executed and w acknowledged, where appropriate, by the City and by the Qualified Homeowner, and (ii) all CD recordable instruments, documents and/or agreements in connection with the Loan, including, E without limitation, the Deed of Trust and the Maintenance Agreement Covenant have been recorded by or for the Contractor or the City in the County Recorder's Office. a 9. The General Contractor shall obtain one or more permits as required by applicable Laws to construct,install,perform and/or complete the Improvements and/or the Work at the Qualified 25 PAAgendaAAgenda Attachments\Agenda Attachments\Agrmts-Amend 2013\4.19.13 NHS1E Rehab Lout Program Agreement Packet Rg,159 Homeowner's Home. At the time that the Contractor submits an invoice to the City for payment of all or a portion of the Loan Funds in connection with the Loan made by the City to the Qualified Homeowner,the Contractor shall provide the City with a copy of each permit that is or will be required to construct, to install, to perform and/or to complete the Improvements and/or the Work in connection with the Qualified Homeowner's Home. The City shall have no obligation to pay any invoice submitted by the Contractor to the Qualified Homeowner until the City has received and approved each permit issued for the Improvements and/or for the Work -Ea completed by the General Contractor and/or by the subcontractor and identified in the invoice. E 10. The Contractor shall inspect and monitor the Improvements and/or the Work while in progress and shall supervise the payment invoice procedures to ensure that all General Contractors and subcontractors are meeting obligations and that progress payments and retentions are paid in a timely manner. I L The Contractor shall receive and collect from the General Contractors and/or from the subcontractors an executed lien release under one of the following lien releases, as appropriate: (i) an unconditional waiver and release upon progress payment, or (ii) an unconditional waiver and release upon final payment. The Contractor shall not make the final payment of the remaining Loan Funds to any General Contractor until the General Contractor and/or all c subcontractors have executed and the Contractor has received the conditional waiver and release C U upon final payment or the unconditional waiver and release upon final payment. N 12. The Contractor shall coordinate final inspection and payment of the General Contractor o Agreement retention with the Qualified Homeowner, with the General Contractor and with the N City. The contract retention shall not be paid by the Contractor to the General Contractors and/or to the subcontractors until all time periods for filing liens have expired and no liens have been filed under applicable Laws. E L 13. Prior to the payment by the Contractor of the Loan Funds, or any portion thereof, to the a General Contractor, for the construction, for the installation, for the performance and/or for the completion of the Improvements and/or of the Work in connection with a Qualified ,°� Homeowner's Home, the Contractor shall notify the City that the Contractor has received an invoice for payment. Within ten (10) business days from receipt by the Contractor of the invoice, the Contractor and the City shall inspect and approve the Improvements and/or the w Work identified in the invoice and constructed, installed, performed and/or completed by the General Contractor and/or by any subcontractor. The Contractor shall not pay any such invoice z for the construction, installation, performance and/or completion of the Improvements and/or of the Work until the Contractor and the City have inspected and approved, in writing, the x Improvements and/or the Work constructed, installed, performed and/or completed by the w General Contractor and/or by any subcontractors. The City reserves the right to approve payment of an invoice in circumstances when no physical inspection is needed as determined by E the City in its sole and absolute discretion(i.e.,fumigation for termites). r Q 14. The Contractor shall maintain accurate records for inspection by the City concerning income and program occupancy of all persons obtaining assistance from the Contractor pursuant to this Agreement including, but not limited to, the Loan Application and the other Loan 26 PAAgendas\Agcnda AttachmentsUgenda Attachments\Agrmfs-Amend 201314,19.13 NHSIE Rehab Loan Program Agreement Packet Pg. 160 i 7.A.e Documents, proof of ownership, income verification, comparables or appraisals and/or Work write-ups. The original Loan Documents shall be executed and acknowledged, where appropriate,by the City and by the Qualified Homeowner, shall be for the benefit of the City and shall be transmitted by the Contractor to City in connection with each Loan made by the City to the Qualified Homeowner. C 15. The Contractor shall also provide quarterly reports to the City, or as otherwise required by the City,upon the request of the City Manager to the Contractor. E 16. From time to time, the City and the Contractor shall coordinate inspection of the 4 Improvements and/or of the Work at the Qualified Homeowner's Home to ensure that the Improvements and/or the Work are performed, installed, constructed and completed in a good N workmanlike manner and in accordance with all applicable Laws. 17. The Contractor shall provide any and all services required by the City Manager or designee, in order to effectively implement and complete the Services under this Agreement. a. 18. Prior to the disbursement by the City of the Loan Funds, or any portion thereof,to, or for the benefit of,the Qualified Homeowner pursuant to the Loan that has been awarded by the City to the Qualified Homeowner, the Contractor must fully comply with, verify and confirm, to the 0 satisfaction of the City, that all tasks, matters, items, events, and conditions listed on the checklist(the "Checklist") have been fully performed and satisfied,unless specifically waived in T writing by the City in connection with such Loan. The Checklist shall not be interpreted to limit r or to restrict the Agreement, in any manner whatsoever. The Checklist is attached hereto and N incorporated herein by this reference as Exhibit"D". w W E rn 0 L a. ca 0 J .Q t9 .c m W U) z N X W r+ C d E t V R Q 27 P:1Agendas\Agenda Attachments\Agenda AttachmentsUgmits-Amend 201314.19.13 NHSIE Rehab Loan Program Agreement Packet Pg. 161 EXHIBIT"D" Cheddist c d E c m E Q c N .a N c a as m 6 N _ O U N M_ O N N W w E cv L O L- a. O J t9 Z d Ix W_ N Z N .Q t X W c d E t U Rf a+ n+ Q 28 P:\Agendas\AgendaAttaclimeiits\Agenda Attachments\Agrmts-Amend 241314,19.13 NHSIE Rehab Loan ProgramAgreement Packet_Pg.162' s 7.A.e REHABILITATION LOAN APPLICATION APPROVAL CHECKLIST Date of Review: Homeowner(s) name: ' r Property Address: d Loan Amount: c IHDC Due Diligence: a Qualified Homeowner Verification: Resided at residence for at least one (1) year Attended Maintenance Class on: Maintenance Covenant Agreement complete Affordable Housing Covenants complete (if necessary) Income eligibility verified M Subject Property Equity Determination: Property profile/encumbrances - Debt 1 Equity Ratio: Property appraisal conducted; appraisal amount: $ 0 Loan amount percentage of appraised property value: % N Property Profile: Name(s) on grant application MUST match the one(s) N listed as "Owner" or"Co-owner" on property profile UJ Preliminary title report (or other pertinent documentation) Legal owner &signatory on Covenant Agreement & Grant Agreement E Property Eligibility Verification: a Parcel Map ("Exhibit A") Located within Target Area (if applicable) 0 Verification property located in City of San Bernardino 0 Eligible Improvements: w Scope of Work consistent with "Eligible Improvements" (see list on reverse side) z Construction Bids: 1. Name of contractor: High Bid Amount: $ w 2. Name of contractor: Middle Bid Amount: $ 3. Name of contractor. Low Bid Amount: $ E w a 4825-7688-3718.1 1 Packet Pg. 163, 7.A.e Eligible Improvements List: Roofing Exterior and interior paint Drought tolerant landscaping Windows Flooring HVAC system C Electrical work a Sewer repairs < Termite repairs Exterior hardscape N Door& window screens ; Tub, shower and toilet CO Foundation or structural repairs M Fencing a Alternative energy source installation d M �o N C O U N CO r O N W O L. a c 0 0 cc a� W U) x z N Q L X W C d E t V O r-+ Q 4825-7688-3718.1 z Packet Pg. 164 EXHIBIT "E" General Contractor Agreement E a� E a 2 N 3 CO _ tC CL d 0 N _ O U N rf� M ® C6 O N W w E RS L tM O L a c O w W U) M z N .O M X W _ E s ca Q 29 P:\Agendas\Agenda AttachmentslAgenda Attachments\Agmits-Amend 2013\4.19.13 NHSIE Rehab Loan Program Agreement Packet Pg. "16� �n n. PAW Single Family Rehabilitation Loan Program Neighborhood Housing Services of the Inland Empire SINGLE FAMILY REHABILITATION LOAN PROGRAM GENERAL CONTRACTOR AGREEMENT c File No: «FileNo» E a Owner(s): Rehab Address: N THIS AGREEMENT is made this day of by and between hereinafter called the"Owner(s)" hereinafter called the"Contractor". R CL WITNESSETH, that the Contractor and the Owner(s) for the consideration stated herein agree as follows: M 6 1. RECITALS: This Agreement is made and entered into with respect to the following facts: o U a) That the City of San Bernardino (the "City") has a program to help low-moderate income resident-owners of single family homes (which shall not include any duplex, triplex or four-plex T dwellings) make certain improvements to their homes, called the Single Family Rehabilitation o Loan Program; and, N b) Neighborhood Housing Services of the Inland Empire (the "NHSIE') has contracted with the City to administer said rehabilitation loan program, pursuant to applicable laws; and, W c) Owner has determined to participate in such program by causing certain improvements to be E made to his/her property, and has qualified for a grant to undertake such improvements; and, d) Contractor attests that its company is properly licensed and fully qualified to perform the work 0 proposed to be accomplished in this Agreement, under terms and conditions hereinafter set = forth; and, o e) Owner and the Contractor acknowledge and agree that the NHSIE and the City are third party beneficiaries of this Agreement, consistent with the NHSIE mission of housing rehabilitation. s as a: 2. CONSIDERATION: THE UNDERSIGNED CONTRACTOR proposes to furnish labor and materials, w complete in accordance with the specifications attached hereto as Exhibit "A"and incorporated herein by this reference for the sum of ($ ), with payments to be made z within ninety (90) calendar days from the completion of the work, subject to any additions and deductions as provided herein. x w 3. WORK: Contractor agrees to complete all work in accordance with the contract documents, all applicable laws, and in a workmanlike manner, according to generally acceptable, standard building practices. Any alteration or deviation from the attached specifications will be executed only upon written consent of the property Owner(s), the Contractor, and the NHSIE. All materials are guaranteed r to be as specified. No extra charges or costs will be paid. Contractor will be solely liable if he/she a has neglected to properly evaluate the extent of the rehabilitation work. The performance under this Agreement is subject to forced delays when due to strikes, accidents or acts of God. (Wor 4. INDEMNIFICATION: The Contractor agrees to indemnify, defend and hold harmless the NHSIE, the City and their authorized officers, members, directors, employees, agents, contractors, 1 Packet Pg. 166' Single Family Rehabilitation Loan Program subcontractors and volunteers (collectively, the "Indemnified Parties")from any and all claims, actions, losses, damages, suits, fees (including, without limitation, reasonable attorneys' fees, court costs, expert witness fees and consultant fees), obligations and/or liabilities (singularly, a "Claim" and collectively, the "Claims"), now or hereafter arising out of this Agreement from any cause whatsoever, including acts, errors or omissions of any person and for any costs or expenses incurred by the NHSIE, by the City and/or by any of the other Indemnified Parties on account of any Claim therefore, d except where such indemnification is prohibited by law. This indemnification provision shall survive E the execution, the performance, the termination and the expiration of this Agreement. d E 5. INSURANCE: Without in anyway affecting the indemnity herein provided and in addition thereto, Q the Contractor shall secure and maintain throughout the term of Agreement, and shall continue one (1) year after the performance by the Contractor of the work under this Agreement, the following types of 2 insurance: N a. Workers' Compensation — a program of Workers' Compensation insurance or State- approved Self Insurance Program in amount or form to meet all applicable requirements of the c Labor Code of the State of California, including Employer's Liability with $1,000,000 limits, covering all persons providing services on behalf of the Contractor and all risks to such persons under this Agreement. o b. Comprehensive General and Automobile Liability Insurance — This coverage to include, c without limitation, comprehensive general liability policy of insurance with coverage at least as L) broad as "Insurance Services Office Commercial General Liability Form (G0001), in the amount N not less than $1,000,000 combined single limit per occurrence, with said insurance covering M comprehensive general liability including, but not limited to, contractual liability, assumed c contractual liability under this Agreement, acts of subcontractors, premises-operations, explosion, collapse and underground hazards, if applicable, broad form property damage, w bodily injury and personal injury including libel, slander and false arrest and automobile liability W coverage on owned, hired and non-owned vehicles. E �a L c. Errors and Omissions Liability Insurance — Combined single limits of $1,000,000 and $2,000,000 in the aggregate or Professional Liability insurance with limits of at least = $1,000,000 per claim or occurrence. o 6. ADDITIONAL NAMED INSURED, PRIMARY INSURANCE AND BEST'S KEY RATING: All policies, except for the Workers' Compensation, the Errors and Omissions and the Professional Liability policies shall contain additional endorsements naming the NHSIE, the City and the other w Indemnified Parties as additional named insureds with respect to liabilities arising out of the performance of the services hereunder. All insurance obtained by the Contractor shall be primary to z and shall not be contributing with any insurance carried by the NHSIE, by the City and/or by any of the other Indemnified Parties. All insurance policies required under this Agreement shall be obtained from insurance companies admitted in the State of California and rated at least A: XII in the most current w Best's Key Rating Insurance Guide. c d 7. WAIVER OF SUBROGATION OF RIGHTS: Except for Errors and Omissions Liability, the E Contractor shall require the insurance carriers of the above required coverage's to waive all rights of subrogation against the NHSIE, against the City and against the other Indemnified Parties. a 8. PROOF OF COVERAGE: Contractor shall immediately furnish certificates of insurance to the NHSIE and to the City evidencing the insurance coverage, including endorsements, above required prior to the commencement of performance of the services hereunder, which certificates shall provide that such insurance shall not be terminated or expire without thirty (30) calendar days prior written 2 Packet Pg. 167 7.A.e Single Family Rehabilitation Loan Program notice to the NHSIE and to the City, and the Contractor shall maintain such insurance from the time the Contractor commences performance of services hereunder until one (1) year after the completion of such services. Within sixty (60) calendar days after the commencement of this Agreement, the Contractor shall furnish the NHSIE and the City with certified copies of the policies and all endorsements. _ 9. INSURANCE REVIEW: The above insurance requirements are subject to review by the NHSIE. E _ 10. ACCEPTANCE & START: The bid and proposal shall be accepted by the Owner(s) and by the E NHSIE within sixty (60) calendar days from the date established by the NHSIE for its receipt, provided Q that no work shall be commenced by the Contractor until a written Notice to Proceed has been issued by the Owner(s). Work will begin no later than ten (10) calendar days after the Notice to Proceed is issued. Contractor will not assign this Agreement without the prior written consent of the Owner(s) and of the NHSIE. Any request for assignment shall be addressed to the NHSIE. in 11. PERMITS: Contractor shall procure all City of San Bernardino and all other governing authority M permits and licenses, including a municipal business license, and shall pay all charges and fees for the same, and shall give all notices necessary and incidental to the due and lawful prosecution of the work as it separately pertains to each party. Permits and licenses required for corresponding elements of the work to be performed shall be obtained prior to commencing such work and all associated costs 5 are specifically included in the contract amounts. o U 12. CHANGE ORDERS: No change in the work, as described in the Work Write-up, shall be made except upon the mutual written consent of the Owner(s), the Contractor and the NHSIE. Contractor is not authorized to deviate from the Work Write-up or specifications unless so directed in writing by the N NHSIE. Any Change Orders shall describe the nature of the additional work, the estimated time for completion thereof, and the compensation to be paid to the Contractor for the performance of same. LU 13, OWNER(S) EXPECTATIONS: Owner(s) will permit the Contractor to use existing utilities at no m cost, such as lighting, heating, power and water, as needed to carry out the work. Owner(s) will o cooperate with the Contractor to facilitate work performance, including the removal and replacement of a rugs, coverings, miscellaneous household goods and furniture as necessary, unless otherwise noted. 0 14. CONTRACTOR EXPECTATIONS: Contractor will keep the premises clean and orderly during the course of the daily work and will remove all debris at the completion of the work. Materials and equipment which belong to the Contractor shall be removed from the premises. Work should be planned so that the Owner(s) are not forced to relocate during the rehabilitation work, except under w unusual circumstances. x Z 15. COMPLETION: Contractor agrees to satisfactorily complete all the work within forty-five (45) calendar days from the noticed start date. The parties agree that time is of the essence in this Agreement. w 16. LIEN RELEASES: Contractor shall promptly pay all valid bills and charges for material, labor, or otherwise in connection with or arising out of the construction, and shall hold the Owner(s) of the property free and harmless against all liens and claims of lien for labor and material, or either, filed against the property or any part thereof, and from and against all expense and liability in connection Q therewith, including, but not limited to, court costs and attorneys' fees resulting or arising there from. Should any liens or claim of lien be filed for record against the property, or should the Owner(s) receive notice of any unpaid bill or charge in connection with the construction, the Contractor shall forthwith either pay and discharge the same and cause the same to be released of record, or shall furnish the Owner(s) with proper indemnity either by satisfactory corporate surety bond or satisfactory 3 Packet Pg. 168' Single Family Rehabilitation Loan Program title policy, which indemnity shall also be subject to approval of the Lien Holder. Contractor shall furnish the Owner(s) and the NHSIE with affidavits and satisfactory releases of liens or claims for any liens from subcontractors, laborers and suppliers for completed work or installed materials. 17. NON-EXECUTION: In the event that the Owner(s) will not execute the End of Project Work Release, the NHSIE reserves the right to authorize payment to the Contractor for the work completed. The NHSIE and the Contractor must certify that all of the Contractor's work has been performed in a E professional, workmanlike manner, and has adhered to the property specification standards. Upon the written approval by the NHSIE, a payment request will be forwarded to the City for release of said E funds. 2 _ 18. WARRANTY: Contractor will guarantee work for a period of one (1) year from the date of the final N written acceptance of all work required by the Agreement. Furthermore, the Contractor shall furnish 3 the Owner(s), in care of the NHSIE, with copies of all manufacturers' and suppliers' written co guarantees and warranties covering materials and equipment furnished under this Agreement. Contractor will allow the NHSIE access to examine and to inspect all rehabilitation work. NHSIE shall a have the right, but not the obligation, at all reasonable times, to inspect the books and records of the Contractor pertaining to the work and to the materials which are the subject of this Agreement. •o 19. NOTICES: Notices pursuant to this Agreement shall be given by personal service to the person, or by deposit in the custody of the US Postal Service, within a sealed envelope containing the notices, 0 postage pre-paid, and addressed as listed below. Such notice shall be deemed to be received within forty-eight (48) hours from the time of mailing, if mailed as provided above. The following information shall be used for mailed correspondence and communications related to this Agreement: r 0 N 20. LEAD BASE PAINT ACKNOWLEDGEMENT AND LEAD BASE PAINT DISCLOSURE: Prior to w the commencement of the work: (i) the Contractor shall deliver to the Owner the Lead Base Paint W Disclosure and the Lead Base Paint Acknowledgement, (ii)the Owner shall execute and date the Lead E Base Paint Acknowledgement and the Lead Base Paint Disclosure, and (iii) the Contractor shall deliver to both the NHSIE and to the City the Lead Base Paint Acknowledgement and the Lead Base c a` Paint Disclosure, as executed by the Owner. �a OWNER INFORMATION: CONTRACTOR DBA: � R m (Owner's Name) (Contractor's Name) w co x Z (Rehab Address) (Mailing Address) :5 (City) (State) (Zip Code) (City) (State) (Zip Code) w d (Telephone) w (FAX) a PROJECT ADMINISTRATOR: Neighborhood Housing Services of the Inland Empire(NHSIE) 1390 North D Street San Bernardino, CA 92405 4 Packet Pg. 169 7 A.e Single Family Rehabilitation Loan Program Telephone: (951) 341-6511 FAX: (951) 341-6514 - - - - - - - - - - - - - - - - - - - - - -- - - - - - - - - - - - - - - - - - - - - - - - - - ACCEPTANCE AND SIGNATURES CONTRACTOR: Date: E OWNER(S): Date: _ E ! C THE ABOVE AGREEMENT HAS BEEN REVIEWED AND APPROVED For NHSIE: Date: n r �o _ O U N U? M O N N W 0' E to L I � O L a c m O J t d W_ N Z N r t x w c d E t Q 5 Packet Pg.,170 Single Family Rehabilitation Loan Program Exhibit"K Work Specifications r CD E c (D E Q w y 7 N _ Rf a d M 0 0) 0 U N U2 M O N ui W w E M L 0) 0 L- a. c c� 0 J t6 Q' W_ Cn M Z y a� S X W C E .0 V Rf r Q Packet Pg. 171 . . .. . . .. . ... . . . . . . . . . . . . . . . . . . . . .. . . . . ... . ........._..... F 7.A.e EXHIBIT"F" Homeowner's Release and Waiver C CD -Ea c a� E a Y C 2 N 3 to C M G. 'a d M .O O N C O ui U N M O N W w E R3 L O L- a. C Cu O J R d w W N m Z N r .0 X W C d E U tC Q 30 PAAgendas\Agenda Attachments\Agenda AttachmentAAgmits-Amend 2013\4.19.13 NHSIE Rehab Loan Prograin Agreement Packet Pg. 172 f I NHSIE NEIGHBORHOOD HOUSING SERVICES OF THE INLAND EMPIRE,INC Neighborhood Housing Services of the Inland Empire , I c d 1390 North D Street San Bernardino, CA 92405/Phone(909)884-6891/Fax(909)884-8899/ www.NHSIE.or a c R SINGLE FAMILY RESIDENCE REHABILIATION LOAN PROGRAM HOMEOWNER'S RELEASE AND WAIVER N c a. d Y I, s Owner of the property located at: o Print Your Name to C San Bernardino, California do hereby approve and L) Address N T grant Inland Housing Development Corporation(NHSIE)the following: r 0 N PERMISSION TO PHOTOGRAPH LU 1. The undersigned hereby grants Permission to NHSIE to photograph or video tape the property, 2- rn residence, and other out buildings, such as garages, sheds, etc. for the purpose of inspection records, l2 job progress, before-and-after shots, and for file documentation. I understand and approve that this o J material may also be utilized for presentations, displays, advertisements or publicity to further 0 Agency and/or NHSIE housing programs. 2. I waive any rights with respect to compensation or damages for use of photographs,media and videos U) X related to the property. y 4 Z X w Owner's Signature Redevelopment Specialist d E: Date: Date: a PAAgendaAAgenda Attachments\8xhibits\2010\7.19.10 WISIE Rehab Loan Homeowners Release and Waiver Packet pg. 1?3 EXHIBIT"G" Lead Base Paint Acknowledgement r _ O E c d E Q r _ rn o. I as w 0 0 U N M O N N W W E m L O I- IL _ ca O J c0 t d W_ N Z N w 72 X W r C d E t V ca r+ r Q *4ftW 31 P:1Agendas\Agenda Attachments\Agenda Attachments\Agnnts-Amend 201314.19.13 NHSIE Rehab Loan Program Agreement Packet Pg. 174 .._...... ...... .. . .. ... ...... .. 7.A.e Lead Base Paint Pamphlet — Acknowledgement of Receipt Confirmation of Receipt of Lead Pamphlet ! ❑ 1 have received a copy of the pamphlet, Renovate Right:Important Lead Hazard Information for E Families, Child Care Providers and Schools informing me of the potential risk of the lead hazard exposure from renovation activity to be performed in my dwelling unit. I received this pamphlet a before the work began. c � Printed name of recipient Date a Signature of recipient .� Self—Certification Option(for tenant-occupied dwellings only)— If the lead pamphlet was delivered but a tenant signature was not obtainable, you may check the appropriate box below. 0 ❑ Refusal to sign—I certify that I have made a good faith effort to deliver the pamphlet, N Renovate Right:Important Lead Hazard Information for Families, Child Care Providers, M and Schools, to the rental dwelling unit listed below at the date and time indicated and N that the occupant refused to sign the confirmation of receipt. I further certify that I have left a copy of the pamphlet at the unit with the occupant. ❑ Unavailable for signature—I certify that I have made a good faith effort to deliver E the pamphlet, Renovate Right:Important Lead Hazard information for Families, Child Care providers and Schools, to the rental dwelling unit listed below and that the occupant o was unavailable to sign the confirmation or receipt. I further certify that I have left a copy of the pamphlet at the unit by sliding it under the door. o J t9 Printed name of person certifying Attempted delivery date, and Time lead pamphlet delivery. Cn X Z Signature of person certifying lead pamphlet delivery W X w c m Unit Address E Note Regarding Mailing Option—As an alternative to delivery in person,you may mail the lead a pamphlet to the owner and/or tenant. Pamphlet must be mailed at least 7 days before renovation (Document with a certificate of mailing from the post office). NAgendaAAgenda AttachmentsTxhibits1201017.19.10 NHSIE Rehab Loan LBP Acknowledgement Packet Pg."A 75 i EXMIT"H" Lead Base Paint Disclosure w _ a) E _ d E a r _ N 3 CO C t6 a as m V 6 N C O U N M r O N C6 W tY E O L O L a. ca O J .0 d W_ N 2 Z N r X W w C 0 E t U ca a 32 P:1AgendasiAgenda Attachments\Agenda AttachmentslAgrmts-Amend 201314.19.13 NHSIE Rehab Loan Program Agreement Packet ft.176 Lead Base Paint Pamphlet— Acknowledgement of Receipt Confirmation of Receipt of Lead Pamphlet ❑ 1 have received a copy of the pamphlet, Renovate Right:Important Lead Hazard Information for c Families, Child Care Providers and Schools informing me of the potential risk of the lead hazard I exposure from renovation activity to be performed in my dwelling unit. I received this pamphlet W before the work began. a r c w Printed name of recipient Date Signature of recipient a Self–Certification Option(for tenant-occupied dwellings only)— If the lead pamphlet was delivered but a tenant signature was not obtainable, you may check the N appropriate box below. o ❑ Refusal to sign — 1 certify that I have made a good faith effort to deliver the pamphlet, Renovate Right: Important Lead Hazard Information for Families, Child Care Providers, and - Schools, to the rental dwelling unit listed below at the date and time indicated and that the r occupant refused to sign the confirmation of receipt. I further certify that I have left a copy of the N pamphlet at the unit with the occupant. LU El Unavailable for signature — I certify that I have made a good faith effort to deliver the pamphlet, Renovate Right: Important Lead Hazard information for Families, Child Care providers and Schools, to the rental dwelling unit listed below and that the occupant was unavailable to sign o the confirmation or receipt. I further certify that I have left a copy of the pamphlet at the unit by a sliding it under the door. o J R t Printed name of person certifying Attempted delivery date; and Time lead pamphlet delivery. w x Signature of person certifying lead pamphlet delivery N X W c Unit Address E Note Regarding Mailing Option--As an alternative to delivery in person, you may mail the lead a pamphlet to the owner and/or tenant. Pamphlet must be mailed at least 7 days before renovation (Document with a certificate of mailing from the post office), P:1Hgendas\Agenda Attachments\Exhibits=1017.191 0 Oldtimers Mobile Home Grant Program General Contractors Agreement/LBP Acknowledgement Packet Pg. 177 To: Owners,Tenants and Purchasers of Housing Construction before 1978 Re: NOTIFICATION: Watch Out For Lead-Based Paint Poisoning This property was constructed before 1978. There is a possibility it contains lead-based paint. Please read the following information concerning lead-based paint poisoning. E Sources of Lead Based Paint a� The interiors of older homes and apartments often have Iayers of lead-based paint on the walls, E ceilings,window sills, doors and door frames. Lead-based paint and primers may also have been used on outside porches, railings, garages, fire escapes and lamp posts. When the paint chips, flakes or p eels off, there may be a real danger for babies and young children. Children may eat N paint chips or chew on painted railings,window sills or other items when parents are not around. N Children can also ingest lead even if they do not specifically eat paint chips. For example, when , children play in an area where there are loose paint chips or dust particles on their hands, put _R their hands into their mouths,and ingest a dangerous amount of lead. °- Hazards of Lease-Based Paint _ Lease poisoning is dangerous — especially to children under the age of seven (7). It can N eventually cause mental retardation,blindness and even death. v Symptoms of Lead-Based Paint Poisoning n Has your child been especially cranky or irritable? Is he or she eating normally?Does your child t have stomach aches and vomiting? Does he or she complain about headaches? Is your child N unwilling to play? These may be signs of lead poisoning. Many times though, there are no w symptoms at all. Because there are no symptoms does not mean that you should not be concerned if you believe your child has been exposed to lead-based paint. E L Advisability and Availability of Blood Lead Level Screening ° a If you suspect that your child has eaten chips of paint or someone told you this, you should take your child to the doctor or clinic for testing. If the test shows that your child has an elevated 0 blood lead level, treatment is available. Contact your doctor or local health department for help or more information. Lead screening and treatment are available through the Medicaid Program for those who are eligible. If your child is identified as having an elevated blood lead level, you should immediately notify the Community Development or other agency to which you or your co landlord is applying for rehabilitation assistance so the necessary steps can be taken to test your Z unit for lead-based paint hazards. If your unit does have lad-based paint, you may be eligible for w assistance to abate that hazard. X w Precautions to Take to Prevent Lead-Based Paint Poisoning You can avoid lead-based paint poisoning by performing some preventive maintenance. Look at the walls, ceilings, doors, door frames and window sills. Are there places where the paint is peeling, flaking,chipping, or powdering? If so,there are some things you can do immediately to a protect your child: (a) Cover all furniture and appliances; (b) Dust containing lead can be a health hazard. DO NOT vacuum loose paint. Sweep and damp mop; P.\Agendas\Agenda Attachments\Exhibits\2010\7.19.10 IHDC LBP Disclosure Packet-0 0 178 7.A.e (c) Sweep up all pieces of paint and plaster and put them in a paper bag or wrap them in newspaper. Put these packages in the trash can. DO NOT BURN THEM; (d) Do not leave paint chips on the floor or in window wells. Damp mop floors and window sills in and around the work area to remove all dust and paint particles. Keeping these areas clear of paint chips, dust and dirt is easy and very important,and; w (e) Do not allow loose paint to remain within your children's reach since children may pick a loose paint off the lower part of the walls. E a� Homeowner Maintenance and Treatment of Lead-Based Paint Hazards As a homeowner, you should take the necessary steps to keep your home in good shape. Water leaks from faulty plumbing, defective roofs and exterior holes or breaks may admit rain and C dampness into the interior of your home. These conditions damage walls and ceilings and cause paint to peel, crack or flake. These conditions should be corrected immediately. Before repainting, all surfaces that are peeling, cracking, chipping or loose should be thoroughly cleaned by scraping or blushing the loose paint from the surface, then repainted with two (2) coats of non-leaded paint. Instead of scraping and repainting, the surface may be covered with other material such as wallboard, gypsum or paneling. Beware that when lead-based paint is removed by scraping or sanding, a dust is created which may be hazardous. The dust can enter the body ° either by breathing it or swallowing it. The use of heat or paint removers could create a vapor or U) fume which may cause poisoning if inhaled over long period of time. Whenever possible, the 0 removal of lead based paint should take place when there are no children or pregnant women on the premises. Simply painting over defective lead based paint surfaces does not eliminate the M hazard. Remember that you as an adult play a major role in the prevention of lead poisoning. c Your actions and awareness about the lead problem can make a big difference. N vi w Tenant and Homebuyer Responsibilities X You should immediately notify the management office or the agency through which you are E purchasing your home if the unit has flaking, chipping, powdering or peeling paint, water leaks o from plumbing, or a defective roof. You should cooperate with that office's efforts to repair the 0- unit. M 0 I have received a copy of the Notice entitled:Protect Your Family From Lead in Your Home. as tY W Co x Homeowner's Signature 1HDC Z :2 M X w a) E ¢ PAAgendas\Agenda Attachments\Exhibits\201017.19.10 EDC LBP Disclosure Racket Pg. n 7,A.e EXHIBIT"I" Loan Application c a� E c d E Q c to 3 CO G cC a a� �a 0 c 0 U N M O N W w E L 0 L- a. c m 0 J 0 t 0 W_ N Z N r+ t k W a+ G d E .t: V 0 Q 33 P:AAgendaslAgenda Attachments\Agenda Attachments\Agnnts-Amend 2013\4.19.13 NHSIB Rehab Loan Program Agreement Packet Pg. 180 For Office Use ONLY Application Mailed out on: City Of San Bernardino-Neighborhood Housing Services of the Inland Empire Services,Inc. (NHSIE) Single Family Residence Rehabilitation Loan Program Application Applicant's Name(Last,First,MI) Applicant's Date of Birth m Applicant's Spouse's Name or Co-Applicant Co-Applicant's Date of Birth -Ea c a� E Street Address Applicant's Phone Number Q (Office Use Only) Map Verification City/Zip Date: Initials: DO YOU HAVE ANY NOTICE OF VIOLATION WITH THE CITY OF SAN BERNARDINO CODE ENFORCEMENT N OR ANY OTHER CITY AGENCIES YES IF YES PROVIDE COPY. NO a. Years lived in residence: List all persons living in residence other than you: M Name Relationship Age Em Io ed Yes No _ 0 U! _ O U N t? M O income must be shown in income section.Must show proof of income to qualify.written verification must be forwarded with application. N L�LTIY €OUJHQt, 0' --=- -- .-- -- =. - W AFDC Social Security SSI/SSP Disability Em to ment Food Stam s E Unem to ment Ins Pension/Retire Alimony rn 0 Child Summit Other/Real Prop. _ Total Monthly Income: $ Total Annual Income $ 0 J 2013 Income Level Number of Persons Per Household (Subject to annual change) 1 2 3 4 5 6 7 8 Household Annual Income May Not Exceed: w 80%Median Income 355700 40,800 45,900 50,950 55,050 59,150 63,200 67,300 z N r Ethnicity: (Please check all that apply) Optional X Sr. Citizen(s)-60 or older Female Head of Household Disabled One or More w Hispanic Asian/Pacific American Indian c Black White,Non-Hispanic Other E I certify under penalty of perjury that the information provided above is correct to the best of my knowledge. I .2 understand that the inclusion of any willful misrepresentation on this form constitutes ground for rejection of this application and recapture of any financial benefit I may have received. I authorize the NHSIE and or the City of L"n Bernardino to examine and to verify any and all information provided in this application. Date: Utgnature PAAgendas\Agenda Atfachments\Exhibits�201017.19.10 IHDC Rehab Loan Application Packet Pg. 181 EXHIBIT"J" Loan Services Agreement d E a� E Q �a c N to c ff3 O. 'v d r f0 .O to C O v N T M T 0 N C6 w w E to L O L a �a 0 s ru x W x z x w u c m E t Q 34 P:1Agendas\Agenda AttaehmenWAgenda AttachmentMgrmts-Amend 201314.19.13 NHSIE Rehab Lomi Program Agreement Packet Tag. 182 -.:.__.. NHSIE Neighborhood Housing Services NEIGHBORHOOD of the HOUSING SERVICES Inland Empire, Inc. Of THE INLAND EMPIRE,INC d E 1390 North D Street/San Bernardino,CA 92405/Phone 909-884-6891/Fax 909-884-8899/ry miflisie.ore c W E Q Single Family Residence Rehabilitation Loan Program LOAN SERVICES AGREEMENT Cn R Owner Name{s} Owner Address: a M CONGRATULATIONS! You have been awarded the Single Family Residence Rehabilitation Loan (the "Loan") under and pursuant to the Single Family Residence Rehabilitation Loan Program (the "Program") from the City of San Bernardino (the "City") in c concert with the Neighborhood Housing Services of the Inland Empire, Inc. (the "NHSIE"). 0 The Loan is deferred (meaning there are no payments); however it does accrue simple 9 C4 interest at the rate of three (3) percent per annum, until the occurrence of a transfer of title to the property securing the note, or if you refinance the original loan to use equity or if you sell the N property then repayment will become due and payable. The Loan is evidenced by the promissory vi note (the "Note") and secured by the deed of trust with assignment of rents (the "Deed of Trust") encumbering your home. E The Loan is being made by the City to you under the Single Family Residence o Rehabilitation Loan Program and is in an amount not to exceed $ (except as a` provided for in Section 5 of the Program Qualifications and Guidelines below). 0 J NHSIE is authorized by the City to administer the Program. Priority is given on an as- M needed, first-come, first-served basis to applicants who have completed necessary paperwork. However, in the case of an emergency, of an urgent need or of a life-threatening situation, the W NHSIE may process a Loan application (the "Loan Application") ahead of other Loan Applications. W Focus of the work will be to the exterior beautification (curb appeal) of the home and of the front Z yard landscaping within limitations. Please be aware that with restricted funds it is not possible to do everything that everyone wants and it is not possible to address all deficiencies, code and/or safety items with this Loan. In order to serve as many homes as possible, work priorities will be x decided by the NHSIE on an individual basis. For example, appliance repairs, backyard patios, or W custom items are not covered; front landscaping, roof replacement,fences may be covered. E PROGRAM QUALIFICATIONS & GUIDELINES: Applicants must understand and agree to the following: a 1. Assistance is available to low-moderate income eligible owner-occupants who live in the City of San Bernardino; I PMgendas\Agenda Attachments\Exhibits1201017.19.101ffDC Rehab Loan Services Agreement Packet-,Pg.- 183 SINGLE FAMILY RESIDENCE REHABILITATION LOAN AGREEMENT 2. Homeowner must complete the Loan Application and the Maintenance Needs Application Document and must submit to the NHSIE the Loan Application, the Maintenance Needs Application Document and necessary qualifying verifications, as requested; 3. Homeowners must own their home and occupy it as their principal residence for a minimum of one (1) year prior to the submission of the Loan Application and of the Maintenance Needs Application Document to the NHSIE; E c 4. Personal household Income level, adjusted for family size, during the twelve (12) months preceding the date of submission of the Loan Application and the Maintenance Needs Q Application Document must not exceed 80% of county median for low-moderate income 2 households (the"low-moderate income"), as determined by the HUD income guidelines for families, as adjusted from time to time; all household sources of income earned from persons who are eighteen years and older and who reside in the household as their principal residence shall be considered; c R 5. The Loan shall be evidenced by a Promissory Note Secured by Deed of Trust (the "Note") a in the amount of the Loan and secured by a Deed of Trust and Assignment of Rents (the d "Deed of Trust") encumbering the home. The Loan made by the City to the homeowner may not exceed the lesser of: (i) $25,000 or (ii) twenty-five percent (25%) of the then fair y market value of the home as determined by a licensed appraiser approved by the City; c U 6. Final determination as to the Scope of Work(as defined below) rests with the NHSIE N Redevelopment Specialist, based upon need, extent of work, urgency of situation, M code violations, funding availability and other issues, N 7. Homeowners must continue to upkeep their improved property after the work is done, and W show their commitment by signing the RESIDENTIAL PROPERTY MAINTENANCE S AGREEMENT CONTAINING COVENANTS AFFECTING REAL PROPERTY (Single E Family Residence Rehabilitation Loan Program) (the"Covenant Agreement"); o 8. Homeowners must execute and acknowledge all Loan Documents (as defined in the r Single Family Residence Rehabilitation Loan Program Agreement (the "Rehabilitation c Loan Program Agreement"); 9. Homeowners must not have received a loan or grant from the City for the past ten (10) W years, all loans made by the City, if any, to the homeowner must be paid in full by the w homeowner, and the homeowner must have repaid all grant amounts owned by the = homeowner to the City under any prior grant program resulting from the homeowner's Z N breach under such grant program; 10. Homeowner must agree to attend and must attend a maintenance class conducted by the W NHSIE in connection with the maintenance and upkeep by the homeowner of the home; W E 11.Homeowners must promise to continue living in their home for ten (10)years after the date that the Deed of Trust is recorded in the official records of the county recorder's office for the County of San Bernardino, State of California (the "County Recorder's Office"). If the a home is sold or refinanced within ten (10) years after the recordation of the Deed of Trust and the Covenant Agreement in the County Recorder's Office, or if the home is no longer the primary residence of the homeowner, the homeowner at such time must pay the full 2 Packet Pg.184 SINGLE FAMILY RESIDENCE REHABILITATION IRAN AGREEMENT I i Loan amount to the City. A copy of your Covenant Agreement will be recorded in the j County Recorder's Office and sent to the City as a permanent record. '• H/O Initials SCOPE of WORK: NHSIE will schedule an appointment in your home. During the visit, the NHSIE Redevelopment Specialist will inquire as to your needs, observe the outside of the structure, and determine what work can best be accomplished under the Program. One or more inspections may be necessary, depending on each situation. Photos of the property will be taken -0 and a Work Write-up (the "Scope of Work") will be prepared. You will be asked to sign a waiver for the photos and to authorize placement of a NHSIE sign and an City sign in your front yard, to a remain during the construction. The work on your home will be scheduled in the coming weeks. c Role of NHSIE 1. NON-PROFIT ADMINISTRATOR: NHSIE is a private, non-profit 501(c)(3) corporation, which N provides down-payment and housing assistance programs, homeownership education, and is committed to reducing neighborhood blight and improving the condition of local housing via o. several beautification programs. NHSIE has contracted with the City to implement and to administer the City's Program. 6 2. WORK PERFORMANCE: The Owner will enter into a general contractor agreement (the = "General Contractor Agreement") with a general contractor approved by the NHSIE (the L) "General Contractor'). The General Contractor shall complete the Scope of Work in N accordance with the General Contractor Agreement. The General Contractor, without M limitation, shall hire one (1) or more subcontractors, arrange for materials or supply deliveries, o and/or initiate whatever is reasonably necessary to accomplish the Scope of Work in a timely N and professional manner. w W 3. MODIFICATIONS: The NHSIE Redevelopment Specialist may from time-to-time make E modifications in materials, labor or materials as deemed appropriate for the progress of the Scope of Work. o a. 4. AUTHORITY TO NHSIE: Homeowner authorizes the NHSIE staff to issue orders and/or c instructions as necessary to initiate and to continue the work, generally based upon the Work Write-up. In the absence of the homeowner, the NHSIE will issue such instructions needed to carry out the work and progress towards completion; to stop work when such work appears to be in violation of code, health and safety matters, or when the work or situation could lead to w obvious injury of persons or property; to stop work that would significantly alter the Scope of Fn Work, or exceed the project budget or Program limits; and to make decisions considered in Z the best interest of the homeowner and/or the City. :a 5. TECHNICAL SERVICES: NHSIE does not charge the homeowner for technical services and w will continue to provide in-progress inspections on site at no cost to the homeowner. The NHSIE will make every effort to see that contractors, subcontractors and suppliers provide appropriate materials and deliver services of good quality. The NHSIE can neither assume E liability for, nor guarantee contractor or subcontractor work quality, or failure to adequately perform on site. a 6. RESOLUTION OF DISPUTES: Upon written notice from the homeowner or the contractor, the NHSIE will arrange to meet with the contractor, the subcontractor or the supplier most directly responsible for the work in question, as well as with the homeowner. The parties will 3 Packet Pg. 185 7.A.e SINGLE FAMILY RESIDENCE REHABILITATION LOAN AGREEMENT discuss, examine, decide upon, and approve the disputed issue before it proceeds further. ;. NHSIE will make reasonable efforts to help the parties resolve the matter. In the absence of resolution, the City has the final determination as to outcome. H10 Initials Homeowner(s') Responsibilities i i c 1. COOPERATION: Homeowner agrees to cooperate fully with the NHSIE, the assigned E contractors, the sub-contractors and the suppliers during the construction process so that the c work may progress as scheduled. E a 2. PAPERWORK: It is the homeowner's responsibility to review, approve and sign various 2 documents (i.e. the Write-up, Scope-of-Work), major change-orders, job completion, and r_ invoices. Timeliness is of the essence. n 3. UTILITIES & INSURANCE: Homeowner agrees to make electric, water and other utilities T available to support the construction activity without charge. Homeowner also agrees to include the in-progress work and materials under their homeownership insurance policy. a W 4. ACCESS: Homeowner is responsible for providing regular, safe access to work site as discussed and pre-arranged at the beginning of the project. The homeowner or a responsible o adult should be available during the work day to respond to questions. No work will be done when children (under 18) are home alone at the site. The homeowner should provide for and protect animals and pets by keeping them away from the work site. Aggressive or dangerous N animals should be chained or removed from site during construction. NHSIE is not responsible to move furniture or owner's belongings. Small or personal items should be put away, o covered, and/or removed from the work site by the homeowner. NHSIE staff will be courteous N and treat homeowner's property with respect; however, the NHSIE accepts no liability for w broken, lost or damaged personal property, furniture, appliances, vehicles, plants, or animals. S H/O Initials E M L 5. PROJECT DELAYS: NHSIE has the right to stop work and to move on to another client if o there are substantial, continued or unwarranted delays due to the homeowner involvement, . over-eagerness, or interference. Any financial liabilities incurred up to that point are those of o the homeowner alone. R 6. CONCERNS: As Program administrator, the NHSIE is the homeowner's primary contact during the job. Please direct any issues, concerns, or questions to the NHSIE Redevelopment W Specialist as soon as possible. NHSIE will contact contractors, subcontractors or suppliers to address your stated concerns. However, once materials are installed in place, the ability to Z make changes, repairs or replacement is not likely, and could involve other direct costs to the homeowner, which extend beyond the scope of the Loan. X W General Provisions c a� 1. Homeowner agrees to hold harmless and indemnify the NHSIE, the City, and their employees, E members, officers, directors, agents, employees, contractors, sub-contactors and consultants, in connection with acts performed by them or omissions that occur under this Covenant Q Agreement and/or which would reasonably be associated with consultation, technical advice, property inspection, and construction activities done in good faith. 4 Packet Pg=186 9 SINGLE FAMILY RESIDENCE REHABILITATION LOAN AGREEMENT 2. Homeowner agrees and authorizes the NHSIE staff to obtain and/or to provide specific reports, property title and tax searches, building code inspection reports, property appraisals, termite reports, hazardous certifications, repair specifications, cost estimates, contractors bids, and to initiate inspections and/or materials deemed necessary to adequately perform the job. NHSIE provides regular progress reports to various agencies, such as the City. ° I 3. Whenever the pronouns "I", "my", me" are used in this Agreement, they shall mean "we", E "our", and "us" respectively, if more than one homeowner is responsible. _ d AUTHORIZATION AND ACCEPTANCE OF AGREEMENT a In connection with this Loan, in reference to proposed construction services, I hereby declare that I (we) meet the Program qualifications, understand the guidelines, and accept the terms N described above. I (Vile) further support and authorize the NHSIE, the City and their designated � staff, contractors and/or subcontractors to access and to inspect my property during normal C business hours, to monitor, to supervise, to act as technical assistant, and to perform all necessary construction activities, for the beautification of my property, which is located at: a San Bernardino, CA Y M Owner Signature: Co-Owner: o N C Date: Date: v • N u2 M T 0 N For: Neighborhood Housing Services of the inland Empire, Inc. W M By: Date: E L 0 L a c 0 0 J t0 s d Neighboi rks- W CHARTERED MEMBER = Z y t X W C CD E t v r Q 5 Packet Pg. 187 7.A.e EXHIBIT"K" Maintenance Agreement Covenant _ d E _ d E a w N O _ CL a� 0 N _ O U N M r O N ui W E M i O L tL _ O J R tY W_ Z N w t X W _ of E t V t9 a+ a 35 PAAgendas\Agenda Attachments\Agenda Attachments\Agrmts-Aniend 201314.19.13 NHS1E Rehab Loan Program Agreement Packet pg, 188 RECORDING REQUESTED BY AND WHEN RECORDED MAIL TO: City of San Bernardino Attn.: City Manager 201 North"E" Street, Suite 301 San Bernardino, California 92401 } (Space Above Line Reserved For Use By Recorder) E Recording Fee Exempt Pursuant to Government Code Section 6103 a RESIDENTIAL PROPERTY MAINTENANCE AGREEMENT CONTAINING COVENANTS N AFFECTING REAL PROPERTY Single Family Residence Rehabilitation Loan Program a a� THIS RESIDENTIAL PROPERTY MAINTENANCE AGREEMENT CONTAINING COVENANTS AFFECTING REAL PROPERTY (the "Covenant") is made and entered into as '6 of ,_2013, by and between THE CITY OF SAN BERNARDINO, a municipal o corporation(the"City") and (the "Owner") and this Covenant relates to the following facts set forth in Recitals: M RECITALS: N vi WHEREAS, the undersigned is/are the Owner of that certain improved real property W located in the City of San Bernardino, State of California, and more particularly described in E Exhibit"A"attached hereto and incorporated herein by this reference(the"Property"); and rn 0 WHEREAS, the City and the Neighborhood Housing Services Of The Inland Empire, a _ Inc., a California non-profit corporation (the "Contractor") executed, delivered and entered into 0 the Single Family Residence Rehabilitation Loan Program Agreement (the "Rehabilitation Loan _j Program Agreement"), dated ,2013; and as WHEREAS, pursuant to the Rehabilitation Loan Program Agreement the City has agreed W to make separate loans to Qualified Homeowners (as defined therein) in accordance with and Z pursuant to the terms, covenants and conditions of the Rehabilitation Loan Program Agreement; w and X WHEREAS, in accordance with and pursuant to the Rehabilitation Loan Program w Agreement and the Program (as defined in the Rehabilitation Loan Program Agreement), the E City has determined that the Owner is eligible to receive a Loan(as defined in the Rehabilitation Loan Program Agreement) from the City to enable the Owner to construct, to install, to perform v and to complete the Improvements(as defined therein)at the Property; and a WHEREAS, as a condition to the making of the Loan by the City to the Owner, the Owner must execute and acknowledge, where appropriate, the Loan Documents (as defined in the Rehabilitation Loan Program Agreement) including the execution and acknowledgment by 1 PAAgendas\Agenda Attachments\Exbibits\2010\7.19.10 NHS1E Rehab Loan Maint Cov Agreement Packet Pg. 189 7.A.e the Owner of this Covenant which Covenant shall be recorded in the County Recorder's Office (as defined below). NOW, THEREFORE, IN CONSIDERATION OF THE RECITALS MENTIONED ' ABOVE, FOR THE APPROVAL AND FOR THE MAKING OF THE LOAN BY THE CITY TO THE OWNER AND FOR SUCH OTHER GOOD AND VALUABLE CONSIDERATION, a THE RECEIPT AND SUFFICIENCY OF WHICH ARE HEREBY ACKNOWLEDGED BY THE OWNER AND BY THE CITY, THE OWNER AND THE CITY COVENANT AND AGREE AS FOLLOWS: a Section 1. Definitions of Certain Terms. As used in this Covenant, the following words and terms shall have the meaning as provided in the Recitals or in this Section 1 unless the ' specific context of usage of a particular word or term may otherwise require: in c Adjusted Family Income. The words "Adjusted Family Income" mean the anticipated a total annual income (adjusted for family size)of each individualized or family residing or treated as residing in the Property as calculated in accordance with Treasury Regulation 1.167(k) — 3 (b)(3) under the Code, as adjusted, based upon family size in accordance with the household o income adjustment factors adjusted and amended from time to time, pursuant to Section 8 of the c United States Housing Act of 1937,as amended. v N County Recorder's Office. The words "County Recorder's Office" mean the official M records of the county recorder for the County of San Bernardino, State of California. N vi Covenant. The word "Covenant" means this "Residential Property Maintenance W Agreement Containing Maintenance Covenants Affecting Real Property" by and between the Owner and the City. M rn O Covenant Term. The words "Covenant Term" shall have the meaning set forth in `a Section 5. o J Low-Moderate Income Family. The words "Low-Moderate Income-Family" means persons and families whose income does not exceed 80 percent of area median income, adjusted for family size by the department in accordance with adjustment factors adopted and amended w from time to time by the United States Department of Housing and Urban Development pursuant = to Section 8 of the United States Housing Act of 1937. N r :2 Owner. The word"Owner" means the owner of the Property(e.g.: all persons identified x as having property ownership interest vested in the Property). w d Successor-In-Interest. The words "Successor-In-Interest"mean and refer to the person E or household, which may acquire the Property from the Owner at any time during the Covenant Term by purchase, assignment, transfer or otherwise. The Successor-In-Interest shall be bound Q by each of the covenants, conditions and restrictions of this Covenant. 2 MAgendaAAgenda Attachments\Exthibits\2010\7.19.10 NHSIE Rehab Loan Maint Cov Agreement Packet Pg.190' The titles and headings of the sections of this Covenant have been inserted for convenience of reference only and are not to be considered a part hereof and shall not in any way modify or restrict the meaning of any of the terms or provisions hereof. Section 2. Acknowledgments and Representations of the Owner. The Owner hereby acknowledges and represents that, as the date of execution of this Covenant: E a (a) the total household income for the Owner does not exceed the maximum amount permitted as Adjusted Family Income for a Low-Moderate Income Family adjusted for family size; c t» (b) the Owner intends to occupy the Property after the date of execution of this = Covenant as the principal place of residence for a term of at least ten (10) years following the a date of recordation of this Covenant in the County Recorder's Office and the Owner has not entered into any arrangement and has no present intention to rent (without the prior written consent of the City), sell, transfer or assign the Property to any third party during the Covenant o Term so as to frustrate the purpose of this Covenant; 0 U (c) the Owner has no present intention to lease or rent any room or sublet or rent a N portion of the Property to any relative of the Owner or to any third person at any time during the M Covenant Term. N vi Section 3. Maintenance Condition of the Property. The Owner, for itself, its w successors and assigns,hereby covenants and agrees that: E L (a) The exterior area of the Property, which are subject to public view (e.g.: all c improvements, paving, walkways, landscaping, and ornamentation) shall be maintained in good a. repair and a neat, clean and orderly condition, ordinary wear and tear excepted. In the event that c at any time during the term of the Covenant Term,there is an occurrence of an adverse condition on any area of the Property which is subject to public view in contravention of the general maintenance standard described above (a "Maintenance Deficiency") then the City shall notify the Owner in writing of the Maintenance Deficiency and give the Owner thirty (30) calendar w days from the date of such notice to cure the Maintenance Deficiency as identified in the notice. _ The words "Maintenance Deficiency" include without limitation the following inadequate or N nonconforming property maintenance conditions and/or breaches of single family dwelling residential property use restrictions: x W + failure to properly maintain the windows, structural elements, and painted exterior surface areas of the dwelling unit in a clean and presentable manner; E �o • failure to keep the front and side yard areas of the Property free of accumulated Q debris, appliances, inoperable motor vehicles or motor vehicle parts, or free of storage of lumber, building materials or equipment not regularly in use on the Property; 3 P:\Agendas\Agenda Attachments\Exhibits\2010 17.19.10 NHSIE Rehab Loan Maint Cov Agreement Packet Pg. '191 • failure to regularly mow lawn areas or permit grasses planted in lawn areas to exceed nine inches(9") in height, or failure to otherwise maintain the landscaping in a reasonable condition free of weed and debris; • parking of any commercial motor vehicle in excess of 7,000 pounds gross weight :. anywhere on the Property, or the parking of motor vehicles, boats, camper shells, trailers, recreational vehicles and the like in any side yard or on any other parts of the Property which are not covered by a paved and impermeable surface; E a • the use of the garage area of the dwelling unit for purposes other than the parking of motor vehicles and the storage of personal possessions and mechanical equipment of persons residing in the Property. U) In the event the Owner fails to cure or commence to cure the Maintenance Deficiency within the time allowed, the City may thereafter conduct a public hearing following transmittal a of written notice thereof to the Owner ten(10) calendar days prior to the scheduled date of such public hearing in order to verify whether a Maintenance Deficiency exists and whether the Owner has failed to comply with the provision of this Section 3(a). If, upon the conclusion of a o public hearing, the City makes a finding that a Maintenance Deficiency exists and that there o appears to be non-compliance with the general maintenance standard, as described above, U thereafter the City shall have the right to enter the Property (exterior areas only) and perform all acts necessary to cure the Maintenance Deficiency, or to take other action at law or equity the M City may then have to accomplish the abatement of the Maintenance Deficiency. Any sum N expended by the City for the abatement of a Maintenance Deficiency as authorized by this Section 3(a) shall become a lien on the Property. If the amount of the lien is not paid within thirty (30) calendar days after written demand for payment by the City to the Owner, the City E shall have the right to enforce the lien in the manner as provided in Section 3(c). rn 0 (b) Graffiti which is visible from any public right-of-way which is adjacent or a. contiguous to the Property shall be removed by the Owner from any exterior surface of a c structure or improvement on the Property by either painting over the evidence of such vandalism with a paint which has been color-matched to the surface on which the pain is applied, or graffiti may be removed with solvents, detergents or water as appropriate. In the event that graffiti is placed on the Property (exterior areas only) and such graffiti is visible from an adjacent or w contiguous public right-of-way and thereafter such graffiti is not removed within seventy-two = (72) hours following the time of its application; then in such event and without notice to the y Owner, the City shall have the right, but not the obligation, to enter the Property and to remove the graffiti. Notwithstanding any provision of Section 3(a)to the contrary, any sum expended by x the City for the removal of graffiti from the Property as authorized by this Section 3(b) shall `" become a lien on the Property. If the amount of the lien is not paid within thirty (30) calendar days after written demand for payment by the City to the Owner, the City shall have the right to E enforce its lien in the manner as provided in Section 3(c), o a (c) The parties hereto further mutually understand and agree that the rights conferred upon the City under this Section 3 expressly include the power to establish and enforce a lien or other encumbrance against the Property in the manner provided under Civil Code Sections 2924, 2924b and 2924c in the amount as reasonably necessary to restore the Property to the 4 P:1AgendaAAgenda AttachmentsTxhibits\2010\7.19.10 NHSIE Rehab Loan Maint Cov Agreement Packet Pg. 192' maintenance standard required under Section 3(a) or Section 3(b), including attorneys' fees and costs of the City associated with the abatement of the Maintenance Deficiency or the removal of graffiti and the collection of the costs of the City in connection with such action. In any legal proceeding for enforcing such a lien against the Property,the prevailing party shall be entitled to recover its attorneys' fees and costs of suit. The provisions of this Section 3 shall be a covenant , running with the land for the Covenant Term and shall be enforceable by the City in its discretion, cumulative with any other rights or powers granted by the City under applicable law. _ Nothing in the foregoing provisions of this Section 3 shall be deemed to preclude the Owner from making any alterations, additions, or other changes to any structure or improvement or a landscaping on the Property, provided that such changes comply with the zoning and R 2 development regulations of the City of San Bernardino and other applicable law. o dl (d) Any lien in favor of the City as may arise under this Section 3 will not become in effective until such time as the City records a "Notice of Lien" in the official records of San = Bernardino County which references this Section 3 of this Covenant. Any lien in favor of the a City created pursuant to this Section 3 shall be subject to the lien or charge of any mortgage, deed of trust or other financing or security instrument made in good faith and for value in favor of an institutional lender prior to the date of such Notice of Lien. In the event of a foreclosure of — such a deed of trust or other lien which predates such Notice of Lien, or in the event of an o acceptance of a deed in lieu of foreclosure, the City lien evidenced by such a Notice of Lien v which has accrued up to the date of foreclosure or the acceptance of a deed in lieu of foreclosure N shall be extinguished, and the foreclosure purchaser or deed in lieu grantee shall take title in the M Property free of the City lien evidenced by the Notice of Lien; provided however, any such N successor of a security interest in the Property during the Covenant Term shall be subject a new vi lien of the City arising under of this Section 3 for all charges that may accrue under this Section UJ 3 subsequent to the foreclosure or deed given in lieu of foreclosure during the Covenant Term. E L Section 4. Covenants to Run With the Land. The Owner and the City hereby c declare their specific intent that the covenants, reservations and restrictions set forth herein are a part of a plan for the promotion and preservation of affordable single family housing within the o territorial jurisdiction of the City and that each shall be deemed covenants running with the land and shall pass to and be binding upon the Property and each Successor-In-Interest of the Owner in the Property for the Covenant Term. The Owner hereby expressly assumes the duty and obligation to perform each of the covenants and to honor each of the reservations and restrictions w set forth in this Covenant. Each and every contract, deed or other instrument hereafter executed = covering or conveying the Property or any interest therein shall conclusively be held to have N been executed, delivered and accepted subject to such covenants, reservations, and restrictions, regardless of whether such covenants, reservations and restrictions are set forth in such contract, deed or other instrument. w r d Section 5. Covenant Term. The words "Covenant Term" mean and refer to the E .c period of time when this Covenant shall be in effect. Following its recordation, this Covenant w shall be in effect for ten (10) years thereafter. This Covenant shall run with land and shall be a enforceable by the City. Section 6. Governing Law. This Covenant shall be governed by the laws of the State of California. 5 P:1Agendas\Agenda AttachmentsTxhibits\201017.19.10 NHSTE Rehab Loan Maint Cov Agreement I I Section 7. Amendment. This Covenant may be amended only by a written instrument executed by the Owner(or the Successor-In-Interest,as applicable)and by the City. Section 8. Attorneys' Fees. In the event that the City brings an action to enforce any condition or covenant, representation or warranty in this Covenant or otherwise arising out of this Covenant,the prevailing party in such action shall be entitled to recover from the other party E reasonable attorneys' fees to be fixed by the court in which a judgment is entered, as well as the a costs of such suit. For the purposes of this Section 8, the words "reasonable attorneys' fees" in a the case of the City include the salaries, costs and overhead of the lawyers employed in the Office of the City Attorney of the City of San Bernardino. Section 9. 5everability. If any provision of this Covenant shall be declared invalid, � I inoperative or unenforceable by final judgment or decree of a court of competent jurisdiction such invalidity or unenforceability of such provision shall not affect the remaining parts of this a. Covenant which are hereby declared by the parties to be severable from any other part which is found by a court to be invalid or unenforceable. Section 10. Time is of the Essence. For each provision of this Covenant which states a specific amount of time within which the requirements thereof are to be satisfied,time shall be c0 deemed to be of the essence. N Section 11. Notice. Any notice required to be given under this Covenant shall be o given by the City or by the Owner, as applicable, by personal delivery or by First Class United v States mail at the addresses specified below or at such other address as may be specified in LU writing by the parties hereto: W E n: If to the City: City of San Bernardino 0 Attention: City Manager a` 300 North D Street, 6th Floor San Bernardino, California 92401 � Phone: (909) 663-1044 as If to the Owner: w San Bernardino, CA 9240 z Phone(909) s Notice shall be deemed given five (5) calendar days after the date of mailing to the party, or, if w personally delivered, when received by the City Manager or the Owner, as applicable. Each party may change its address by notifying the other party, in writing,of the party's new address. E Section 12. Recitals. The Recitals set forth in this Covenant are true and correct and .2 are incorporated herein by this reference. 6 P:\Agendas\AgeiidaAttachments\Exhibits\2010\7.19.10 NH51E Rehab Loan Maint Cov Agreement Pack t Pg.194 ._.........._............. ........ 7.A.e I i IN WITNESS WHEREOF, the Owner and the City have caused this Covenant to be signed, acknowledged and attested on their behalf by duly authorized representatives in counterpart original copies which shall upon execution by all of the parties be deemed to be one original document,all as of the date first written above. OWNER E c d Date: By: a r Print: _ N By: c Print: 0 a m CITY i 0 City of San Bernardino = 0 U N Date: By: T Allen Parker, City Manager N vi w [ALL SIGNATURES MUST BE NOTARIZED] E 0 L 0 Approved as to Form: `a 0 J By: James F. Penman, City Attorney W x z N r .Q t X w c d E t U f6 a+ Q 7 P:1Agendas\Agenda Attachments\Exhibits12010\7.19.10 NHSIE Rehab Loan Maint Cov Agreement Packet Pg.1g5 EXHIBIT"A" Legal Description of the Property C 0 E C m E a C w N 3 N C tC a a� R 0 N C 0 U N �t> M O N ui W w E c6 L 0 L- a. C w 0 J c0 t W_ N M Z N r X W :.; C 0 E t V r Q 8 P:1AgendaslAgenda Attachments\ExhibitOO10 17.19.10 NHSIE Rehab Loan Maint Cov Agreement Packet,Pg. 196 i EXHIBIT"L" Promissory Note _ CD E Q E a R c rn _ a v m c� 0 N _ O U N M O N C6 W w E to L O L CL _ cc O J f9 d W_ to 2 Z N X W .i+ C O E t v f0 r+ r.+ a 36 P:\Agendas\Agenda Attachtnents\Agenda Aitachments\Agrmts-Amend 2013\9.19.13 NHSIE Rehab Loan Program Agreement Packet Pg. 197 CITY OF SAN BERNARDINO PROMISSORY NOTE (the "Note") SECURED BY DEED OF TRUST (Deferred Loan - Single Family Residence Rehabilitation Loan Program) d NOTE: This Note requires repayment of the principal sum, plus interest, plus attorneys' fees, court costs and other fees and amounts due under this Note and the other City Loan Documents (as defined below) (the "Loan Amount"), a if certain events occur. UJ $«Amount» Place: The City of San Bernardino co 201 North "E" Street, Suite 301 San Bernardino, CA 92401 ((HusbandFirstName)> «LastName» c WifeFirstName» «LastName» «Addressl» ((City)) «State», «PostalCode» Date: «Date» N U2 FOR VALUE RECEIVED, the undersigned maker ("Maker") jointly and severally o promise(s) to pay to the City of San Bernardino, a municipal corporation (the "City"), or N order, the principal sum of ((Writtenamount)) ($«Amount»), to pay interest on the unpaid w principal amount of this Note and to pay attorneys' fees, court costs, fees and other amounts due under this Note and the other City Loan Documents (the "City Loan"), as E follows: 0- a The Note shall have a term of years commencing on the date of this Note and ending on (the "Maturity Date"). On the Maturity Date, 0 the Loan Amount shall be due and payable by the Maker to the City. a Interest on this Note shall accrue at the rate of Three Percent (3%) simple interest w per annum, commencing upon the date of this Note. All payments of principal and all in interest accruing thereon shall be deferred until the occurrence of one of the following z events: (i) a transfer of title to the property (the "Property") securing this Note (as (A described in the Due on Sale Provisions below) (except for a transfer of title by the Maker to an approved Successor-In-Interest, by the Maker, within ten (10) years after the w execution date of this Note, (ii) the Property is no longer the primary residence of the Maker, and/or (iii) the Maker refinances the City Loan (the "City Loan Refinancing") evidenced by this Note and secured by the deed of trust with assignment of rents, of even date herewith, as executed and acknowledged by the Maker, as trustor, in favor of the City, as beneficiary (the "Deed of Trust") and/or the Maker refinances the Senior Loan and a secured by the Senior Deed of Trust (the "Senior Loan Refinancing"). :1Agendas\Agenda Attachments\Exhibits\2010 17.19.10 NHSIE Rehab Loan Promissory Note I?1CIceg.'!98 I 7.A.e Payments shall be made to the City in lawful money of the United States of America at the principal office of the City, 201 North "E" Street, Suite 301, San Bernardino, California 92401, or at such other place as may from time to time be designated by the City. All payments on this Note shall be applied first to all attorneys' fees, court costs, fees and other amounts due under this Note and under the Deed of Trust, then to the accrued and unpaid interest due on the Note and then to the principal 0 due on this Note. Principal may be prepaid in whole or in part at any time without penalty. a In no event shall the total interest and late charges, if any, payable hereunder exceed the maximum amount of interest permitted under the usury laws of the State of California. This Note is secured by the Deed of Trust of even date signed by Maker naming the City as Beneficiary, and duly filed for record in the office of the County Recorder of the County of San Bernardino. If this Note is not paid when due, whether at maturity or by acceleration, or if it is collected through bankruptcy, probate, or other legal or quasi-legal proceeding whether 0 before or after maturity, the Maker agrees to pay all costs of collection, including, but not N limited to, reasonable attorneys' fees and court costs. M T 0 Should the Maker, at any time after the date of this Note, be in default or breach of N Ui any of the terms or conditions of any of the following: (i) this Note, (ii) the Deed of Trust, (iii) the Residential Property Maintenance Agreement Containing Covenants Affecting Q� Real Property (Single Family Residence Rehabilitation Loan Program) (the "Maintenance E CU Agreement"), executed and acknowledged by and between the Maker and the City, (iv) o any other instruments, documents or agreements evidencing, securing, guaranteeing or a relating to the loan evidenced by the Note and secured by the Deed of Trust encumbering the Property (collectively, the "City Loan Documents"), and/or(v) the Senior Loan Documents, or any one of them, the entire unpaid principal balance of this Note, all accrued and unpaid interest thereon and all attorneys' fees, court costs, fees and amounts due under this Note and the other City Loan Documents shall, at w the option of the City, and without demand or notice, become immediately due and U) payable. z U) r Due on Sale Provisions: s X W In the event that the Maker should sell, transfer, or otherwise convey the real property securing this Note, whether voluntarily or by operation of law, or as a result of the E death of the Maker, and whether by deed, contract of sale, or otherwise, or the agreement to do so, at any time within the first ten (10) years after the execution by the Maker of this a Note, other than a sale, transfer or conveyance to a Successor-In-interest who has been approved in writing by the City, or the refinancing by the Maker of the City Loan and/or of the Senior Loan, then all obligations secured by this Note, irrespective of the maturity 2 Packet Pg. 199 7.A.e dates expressed herein, shall, at the option of the City, immediately become due and payable. In the event that the Property securing this Note which now or hereafter may be I encumbered by the Deed of Trust shall cease to be the Maker's primary residence, then all obligations secured by this Note, irrespective of the maturity dates expressed herein, shall, at the option of the City, immediately become due and payable. -Ea _ d In the event that the Maker shall further encumber the Property securing this Note, E or otherwise cause a reduction in priority which the Deed of Trust securing this Note enjoys as of the date of its recordation, then all obligations secured by this Note, irrespective of the maturity dates expressed herein, shall, at the option of the City, immediately become due and payable. None of the provisions hereof and none of the City's rights or remedies hereunder on account of any past or future default shall be deemed to have been waived by any indulgence granted by the City to the Maker. Maker hereby waives demand, protest, and notice of demand and protest, and the Maker hereby waives, to the extent authorized by law, any and all homestead and other 0 exemption rights that otherwise would apply to the debt evidenced by this Note. N lC! The Maker has executed this Note as of its date. o N "Maker" W W E L O L a R 0 J to L U W_ N 2 Z N X W _ d E s U f6 w Q 3 Packet Pg.200 1 RESOLUTION NO. 2 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO APPROVING AND AUTHORIZING THE CITY MANAGER TO 3 EXECUTE AN AGREEMENT BY AND BETWEEN THE CITY OF SAN BERNARDINO E 4 AND INLAND HOUSING DEVELOPMENT CORPORATION, INC., FOR THE _ IMPLEMENTATION OF THE SINGLE FAMILY HOUSING REHABILITATION E 5 PROGRAM FOR THE AREA WEST OF THE 215 FREEWAY IN THE AMOUNT OF a $700,000 IN HOME INVESTMENT PARTNERSHIP ACT FUNDS. 6 N 7 WHEREAS, the City of San Bernardino (the "City") is an entitlement jurisdiction and annually receives certain federal funds under the United States Department of Housing and Urban 8 a. Development's ("HUD") HOME Investment Partnership Act ("HOME") and Community 9 10 Development Block Grant(CDBG) programs; and o N 11 WHEREAS, on May 3, 2010, the Mayor and Common Council adopted Resolution 2010- v 100, approving the City's 2010-2015 Consolidated Plan; and 12 WHEREAS, on May 7, 2012, the Mayor and Common Council adopted Resolution 2012- o 13 N 14 82, approving the 2012-2013 Action Plan that is required to guide and identify which needs the W City will address incrementally for the 2010-2015 period;and 15 WHEREAS, earlier on May 20, 2013, the Mayor and Council approved and amended the 0 16 > City's 2010-2015 Consolidated Plan and the 2012-2013 Action Plan by allocating $1,400,000 of W 17 w HOME funds for Single Family Housing Rehabilitation Program to be implemented in part by M 18 = Neighborhood Housing Services of the Inland Empire, Inc., for the area east of the 215 Freeway and 19 20 Inland Housing Development Corporation, Inc., for the area west of the 215 Freeway; and 21 WHEREAS, the Inland Housing Development Corporation, Inc., (IHDC) is a non-profit 22 organization that provides housing rehabilitation services in the City and in the City and County of N 23 Riverside; and 24 WHEREAS, under terms of the Single Family Housing Rehabilitation Agreement 0 ("Agreement"), IHDC will assist the City in providing deferred rehabilitation loans to income 25 26 eligible households to address code related deficiencies and bring the homes to habitable standards E 27 meeting and exceeding the health and safety code. Rehabilitation work will include but will not be a 28 1 Ct\documents and settings\hanna_gi\local settings\temp\minutetraq\sanbernardinocityca @mnbemardinocityca.igm2.com\work\attachments\4858.docx PaCik4t f.2Q 1 limited to roof replacement, electrical and plumbing, heating and cooling system replacement, 2 replacement of windows and doors; and installation of new landscape; and w 3 WHEREAS, in compliance with the California Environmental Quality Act ("CEQA") and 4 the National Environmental Policy Act("NEPA") guidelines, the authorization and execution of the E 5 Agreement is determined to be an exempt action pursuant to Section 15332 of the CEQA Guidelines a 6 and 24 CFR 58.34(a)(3) of NEPA Guidelines because the proposed action is required for federal 2 U) 7 programs administration and compliance. rn 8 NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COMMON a 9 COUNCIL OF THE CITY OF SAN BERNARDINO,AS FOLLOWS: 10 Section 1. The Mayor and Common Council hereby approves $700,000 in HOME 5 11 funds for the Single Family Housing Rehabilitation Program Implementation Agreement with U N 12 Inland Housing Development Corporation, Inc., and authorizes the City Manager to execute the M 13 Agreement, attached and incorporated herein as Exhibit"A". N vi 14 Section 2. The Mayor and Council finds and determines that authorization and 15 execution of the Agreement is exempt, pursuant to Section 15332 of the CEQA Guidelines and 24 0 16 CFR 58. 34(a)(3) of the NEPA Guidelines because the proposed action is required for federal as 17 programs administration and compliance. W M 18 Section 3. This Resolution shall take effect upon its adoption. _ 0 0 19 0 0 20 .s� 21 22 N U 23 O 24 w 25 a� E 26 27 28 2 1 l�+f C:\documents and settings\hamia_gi\local settings\temp\minutetraq\sanbemardinocityca @sanbemardinocityca.igm2.com\work\attachments\4858.docx =� Cke' Pg.2�2: 7.A fi RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SA 1 BERNARDINO APPROVING AND AUTHORIZING THE CITY MANAGER T 2 EXECUTE AN AGREEMENT BY AND BETWEEN THE CITY OF SAN BERNARDINO AND INLAND HOUSING DEVELOPMENT CORPORATION, INC., FOR THE 3 IMPLEMENTATION OF THE SINGLE FAMILY HOUSING REHABILITATIO PROGRAM FOR THE AREA WEST OF THE 215 FREEWAY IN THE AMOUNT O 4 $700,000 IN HOME INVESTMENT PARTNERSHIP ACT FUNDS a 5 i r 6 I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Mayor and N 7 Common Council of the City of San Bernardino at a meeting thereof, held on in 8 the day of , 2013, by the following vote to wit: a. 9 Council Members: Ayes Nays Abstain Absent 10 MARQUEZ o 11 JENKINS 0 12 VALDIVIA M 13 SHORETT N KELLEY Ui 14 JOHNSON 15 MCCAMMACK g 16 az 17 w Georgeann Hanna, City Clerk E 18 x 0 19 The foregoing resolution is hereby approved this day of 92013 c 0 20 64 .a 21 Patrick J. Morris, Mayor 22 City of San Bernardino U 23 °x 0 24 Approved as to form: 25 James F. Penman, City Attorney E 26 27 By. a 28 3 CAdocuments and settings\hannagi\local settings\temp\minutetraq\sanbernardinocityca@ sanbemardinocityca.igm2.com\work\attachments\4858.docx 7.A.g CITY OF SAN BERNARDINO SINGLE FAMILY RESIDENCE REHABILITATION LOAN PROGRAM HOME SUBRECIPIENT AGREEMENT THIS SINGLE FAMILY RESIDENCE REHABILITATION LOAN PROGRAM HOME SUBRECIPIENT AGREEMENT (the "Agreement") is made and entered into this day of June 2013 (the "Effective Date"), by and between the RIVERSIDE HOUSING -Ea DEVELOPMENT CORPORATION, dba INLAND HOUSING DEVELOPMENT CORPORATION, a California non-profit corporation (the "Contractor") and the CITY OF SAN a BERNARDINO (the "City"), a municipal corporation. The City and the Contractor agree as follows: c N RECITALS c WHEREAS, the City administers a single family residence rehabilitation loan program a which loans funds (the "Rehabilitation Loan Program") to low-moderate income homeowners 2 who reside in the City of San Bernardino (the "City"), in the County of San Bernardino (the "County"), in the State of California (the "State") to permit such homeowners to undertake certain housing rehabilitation and correction work, including, without limitation, asbestos and 0 lead containing materials abatement work, handicap accessibility improvements and utility energy improvements to single family residential dwelling units owned and occupied by such low-moderate homeowners; and 0 WHEREAS, the City desires to execute a three (3) year agreement with the Contractor, w renewable annually by the City in its sole discretion and subject to the appropriation by the United States Department of Housing and Urban Development("HUD"); and E C. a WHEREAS, the City desires to allocate an amount not to exceed the sum of Seven Hundred Thousand Dollars ($700,000) annually of HOME Partnership Act Funds, in accordance with the terms, the covenants and the conditions of this Agreement, which amount may be increased by the City in the event the minimum number of required Loans is exceeded by the Contractor for any given year; and 0 WHEREAS, the Rehabilitation Loan Program promotes and expands the supply of r affordable housing in the City and fosters the elimination and prevention of blight; and Q NOW, THEREFORE, IN CONSIDERATION OF THE RECITALS MENTIONED ABOVE, THE MUTUAL PROMISES OF THE CITY AND OF THE CONTRACTOR IN THIS E AGREEMENT AND FOR OTHER GOOD AND VALUABLE CONSIDERATION, THE Y RECEIPT AND SUFFICIENCY OF WHICH ARE HEREBY ACKNOWLEDGED BY THE Q CITY AND BY THE CONTRACTOR, THE CITY AND THE CONTRACTOR AGREE AS FOLLOWS: 1 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2010\7.19.10 IHDC Rehab Loan Program Agreement Packet Pg.204 7.A.g Section 1. DEFINITIONS OF CERTAIN TERMS. In addition to the words and phrases, which are defined in the Recitals of this Agreement and/or in this Agreement, the following words and terms shall have the meaning set forth below: "County Recorder's Office" means and refers to the County Recorder's Office for the County of San Bernardino, State of California. c d "Deed of Trust"means and refers to the Deed of Trust and Assignment of Rents securing -Ea the obligations of the Note and encumbering the Home. The Deed of Trust must be executed and acknowledged by the Qualified Homeowner and shall be recorded by or for a the City in the County Recorder's Office. The Deed of Trust shall be subordinate to the Senior Deed of Trust. The Deed of Trust must be substantially similar to the Deed of Trust attached hereto and incorporated herein by this reference as Exhibit`B". N "Environmental Laws" mean and refer to all applicable federal, state, municipal and local laws, statutes, codes, ordinances, rules, regulations, orders and judgments relating to the _o protection or clean-up of the environment, the use, treatment, storage, transportation, a. generation, manufacture, processing, distribution, handling or disposal of, or emission, discharge or other release or threatened release of hazardous substances, the preservation or protection of waterways, groundwater, drinking water, air, wildlife, plants or other c natural resources, the health and safety of persons, or the protection of the health and c0 safety of employees, now or hereafter existing, as the same may be amended,modified or supplemented from time to time, including, without limitation: the Clean Air Act, as amended, 42 U.S.C. Section 7401 et seq.; the Federal Water Pollution Control Act, as c amended, 33 U.S.C. Section 1251 et seq.; the Resource Conservation and Recovery Act N of 1976, as amended, 42 U.S.C. Section 6901 et seq.; the Comprehensive Environment w Response, Compensation and Liability Act of 1980, as amended(including the Superfund Amendments and Reauthorization Act of 1986, "CERCLA"), 42 U.S.C. Section 9601 et a� seq.; the Toxic Substances Control Act, as amended, 15 U.S.C. Section 2601 et seq.; the a Occupational Safety and Health Act, as amended, 29 U.S.C. Section 651, the Emergency Planning and Community Right-to-Know Act of 1986, 42 U.S.C. Section 11001 et seq.; 0 the Safe Drinking Water Act, as amended, 42 U.S.C. Section 300f et seq.; the California Health and Safety Code (Section 25100 et seq., § 25249.5 et seq., Section 39000 et seq.); the California Water Code (Section 13000 et seq.); the California Environmental Quality Act ("CEQA"); the California Public Resources Code; all comparable state and local = laws, laws of other jurisdictions or orders and regulations; and any and all common law requirements, rules and bases of liability regulating, relating to or imposing liability or a standards of conduct concerning pollution or protection of human health or the environment, as now or may at any time hereafter be in effect. E "City Manager" means and refers to the City Manager of the City and his or her U authorized representatives. a "General Contractor Agreement" means and refers to the Single Family Residence Rehabilitation Loan Program General Contractor Agreement by and between the Qualified Homeowner and the contractor identified therein (the "General Contractor") as 2 P:\P.gendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2010\7.19.10 1HDC Rehab Loan Program Agreement Packet Pg. 205 7.A.g approved, in writing, by the Contractor. The General Contractor Agreement relates, without limitation, to the construction, the installation and the completion by the General Contractor of the Work described in the General Contractor Agreement. The General Contractor Agreement shall be executed by and between the Qualified Homeowner and the General Contractor and shall be accepted, in writing, by the Contractor. The General Contractor Agreement shall be substantially similar to the General Contractor Agreement attached hereto and incorporated herein by this reference as "Exhibit "E". E V "Grant" means and refers to a grant, now or hereafter made by the City, to the Qualified Homeowner, to permit the Qualified Homeowner to construct, to install and/or to E complete the Grant Improvements from the use of the Grant Funds. "Grant Application" means and refers to the application for a grant, as fully completed N and executed by the Qualified Homeowner. The Grant Application shall be submitted by the Qualified Homeowner to the Contractor and the Contractor shall verify that the Grant , Application is complete. Each Grant Application shall contain the information relating to t=o the Qualified Homeowner and the proposed use of the Grant Funds by the Qualified a Homeowner together with a current preliminary report or other proof of title acceptable to the City of the Home. 6 to "Grant Funds" mean and refer to the grant funds disbursed, or to be disbursed, by the c0 City or by the Contractor, to, or for the benefit of, the Qualified Homeowner, in connection with the Grant, to permit the Qualified Homeowner to construct, to install and n to complete the Grant Improvements. c N "Grant Improvements" mean and refer to those repairs and improvements to the Home W for which the Grant Funds shall be used by or for the benefit of the Qualified X Homeowner. E rn a "Hazardous Substances" mean and refer to any pollutant, contaminant, waste and any toxic, carcinogenic, reactive, corrosive, ignitable, flammable or infectious chemical, � chemical compound or substance or otherwise hazardous wastes, toxic or contaminated substances or similar materials, including, without limitation, any quantity of asbestos, urea formaldehyde, PCBs, radon gas, lead, lead-based paint, crude oil or any fraction v thereof, all forms of natural gas, petroleum products, by-products or derivatives, ° x radioactive substances, methane, hydrogen sulfide or materials, pesticides, waste waters, E or sludges, any of the above of which are subject to regulation, control or remediation a under any Environmental Laws. Y _ "Home" means and refers to the land and the single-family dwelling unit located thereon E in the Target Area within the City, owned by the Qualified Homeowner and resided in by the Qualified Homeowner as its principal residence. Q "Homeowner's Release and Waiver" means and refers to the Homeowner's Release and Waiver, as executed by the Qualified Homeowner and the Contractor. The Homeowner's Release and Waiver provides,without limitation, that the Contractor shall be permitted to 3 P:\Agendas\Agenda Attachments\Agenda AttachmentsWgrmts-Amend 2010\7.19.10 IHDC Rehab Loan Program Agreement packet,Pg:206' display yard signs at the Qualified Homeowner's Home and that the Contractor shall be permitted to photograph or videotape the Qualified Homeowner's Home. The Homeowner's Release and Waiver shall be substantially similar to the Homeowner's Release and Waiver attached hereto and incorporated herein by this reference as Exhibit «F„ "Improvements" mean and refer to the following types of eligible improvements to the Qualified Homeowner's Home that will be permitted under the Program: (i) roof repairs E and re-roof or overlay, (ii) exterior and interior painting, including, without limitation, lead testing, (iii) drought tolerant landscaping(irrigation system,with hydro seeds, sod or Q artificial turf), (iv) window replacement, (v) carpet replacement and/or finished flooring replacement, (vi) HVAC system, (vii) electrical work, (viii) sewer repair or sewer installation (the "Sewer Repairs"), (ix) termite repairs, (x) exterior concrete hardscape N such as sidewalks, driveways, curbs, gutters, hand railings or ramps, (xi) door or window z screens repairs or replacements, (xii) tub, shower, toilet repairs or replacements, (xiii) , foundation or structural repairs, (xiv) fencing or (xv) installation of alternative energy _c sources, including, without limitation, solar panels. The Improvements must relate to °- health and safety code violations (i.e.,blown sewer lines, septic tank destruction, etc.). In connection with each Loan Application for Sewer Repairs, the City shall have the right to determine whether or not such Sewer Repairs shall be made from funds disbursed by 0 the City from Loan Funds under the Program or from grant funds disbursed by the City to an applicant under the Single Family Beautification Grant Program, or under any other u2 then-existing grant program. Should the City determine that the Sewer Repairs will need to be disbursed by the City from grant funds pursuant to the Single Family Beautification N Grant Program, or any other then-existing grant program, the Contractor shall advise the W applicant, in writing, that the applicant will need to prepare, to execute and to submit a Ix new grant application to the Contractor under the Single Family Beautification Grant a� Program, or under any other then-existing grant program, which grant application, a without limitation, shall request the City to make a grant to the applicant to permit the applicant to make and to complete the Sewer Repairs. to "Laws" mean and refer to all federal, state, municipal and local laws, statutes, codes, CD ordinances, regulations, rules, orders or judgments, now or hereafter in effect, as amended from time to time, including, without limitation, the Environmental Laws, all applicable building, plumbing, mechanical, electrical and health and safety codes and r City ordinances. Q "Lead Based Paint Acknowledgment" means and refers to the "Lead Based Paint v Acknowledgment of Receipt" as executed by the Qualified Homeowner and by the General Contractor. The Lead Based Paint Acknowledgment acknowledges receipt by the Qualified Homeowner of the Lead Based Paint Pamphlet from the General a Contractor. The Lead Based Paint Acknowledgment is attached hereto and incorporated herein by this reference as Exhibit"G". 4 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2010\7.19.10 1HDC Rehab Loan Program Agreement Packet Pg. 207 "Lead Based Paint Disclosure"means and refers to the "Lead Based Paint Disclosure"by and between the Qualified Homeowner and the General Contractor. The Lead Based Paint Disclosure is to be executed by the General Contractor and by the Qualified Homeowner and is attached hereto and incorporated herein by this reference as Exhibit «H„ "Loan"means and refers to each loan transaction approved, granted and made by the City to or for the benefit of the Qualified Homeowner in accordance with this Agreement. E Each Loan shall be evidenced by a Note and secured by a Deed of Trust encumbering the Home owned by the Qualified Homeowner to whom the Loan has been made by the City. Q Each Loan made by the City to the Qualified Homeowner may not exceed the lesser of- (i) $30,000 or(ii) twenty-five percent (25%) of the then fair market value of the Home as determined by a licensed appraiser approved by the City (the "Loan Amount"), without N the prior written approval of the City Manager. If necessary to bring the property to code, funding up to$50,000 may be provided with the approval of the City Manager or , designee. The Loan shall be subordinate to the Senior Loan. The Qualified Homeowner shall pay all amounts that exceed the Loan Funds paid by the City to or for the benefit of ° the Qualified Homeowner under the Program to enable the Qualified Homeowner to R complete the Improvements in connection with the Qualified Homeowner's Home. For each year during the term of this Agreement, the Contractor will attempt to approve, complete,process and finalize up to twenty-two (22) Loans. 0 "Loan Application"means and refers to the Single Family Residence Rehabilitation Loan Program Application as fully completed and executed by the Qualified Homeowner. The c Loan Application shall be submitted by the Qualified Homeowner to the Contractor and N the Contractor shall verify that the Loan Application is complete. Each Loan Application W shall contain the information relating to the Qualified Homeowner and the proposed use S of the Loan Funds by the Qualified Homeowner together with a current preliminary title E report or other proof of title acceptable to the City for the Home. The Contractor shall a require all Qualified Homeowners to complete the Loan Application substantially similar to the Loan Application attached hereto and incorporated by reference as Exhibit"I." 0 �a "Loan Disbursement Account" means and refers to a separate custodial deposit account, which the Contractor shall establish with an FDIC-insured depository institution for the receipt and disbursement of the Loan Funds in connection with the approval, granting and = making by the City to the Qualified Homeowner of the Loan under the Program in accordance with this Agreement. Such deposit account agreement among the Contractor, a the City and such depository institution shall be in a form and substance as reasonably satisfactory to the City. The Contractor shall create and maintain a separate Loan Disbursement Account for each Loan approved, granted and made by the City to or for E the benefit of each Qualified Homeowner. No other funds of the Contractor shall be deposited or co-mingled in the Loan Disbursement Account. The Contractor shall serve Q as the trustee of the City in the administration of all of the Loan Funds or deposit in each Loan Disbursement Account, including any interest as may accrue thereon. 5 PAAgendas\Agenda Attachments\Agenda Attach ments\Agrmts-Am end 2010\7.19.10 IHDC Rehab Loan Program Agreement Packet Pg. 208 "Loan Documents" mean and refer to the following: (i) the Loan Application, (ii) the Loan Services Agreement, (iii) the Maintenance Agreement Covenant, (iv) the Homeowner's Release and Waiver, (v) the Note, (vi) the Deed of Trust, (vii) the issuance of a title policy in favor of the City in the amount of the Loan Funds approved by the City from a title company acceptable to the City, and (viii) this Agreement and such other agreements, documents, instruments, guarantees and/or certifications evidencing, securing, guaranteeing, relating to or in connection with the Loan to the Qualified Homeowner, the Loan Funds and/or the Loan Disbursement Account. The Loan �E Documents shall be subordinate to the Senior Loan Documents. E "Loan Funds" mean and refer to the funds delivered by the City to or for the benefit of a Qualified Homeowner in connection with the Loan that the City has approved and made to the Qualified Homeowner in accordance with this Agreement. Each Loan made by the N City to the Qualified Homeowner may not exceed the Loan Amount, without the prior written approval of the City Manager. The Qualified Homeowner shall timely pay all amounts that exceed the Loan Funds paid by the City to or for the benefit of the Qualified 2 Homeowner under the Program in order to construct, install, perform and/or complete the a Improvements in connection with the Qualified Homeowner's Home. 2 "Loan Services Agreement" means and refers to the Single Family Residence c Rehabilitation Loan Program Loan Services Agreement by and between the Qualified v Homeowner and the Contractor. The Loan Services Agreement, without limitation, notifies the Qualified Homeowner that the City has made, or has agreed to make, the T Loan to the Qualified Homeowner, restates and certifies the Program qualifications and guidelines, identifies the role of the Contractor and restates the Qualified Homeowner's N duties and responsibilities under the Program. The Loan Services Agreement must be W executed by the Qualified Homeowner and by the Contractor and must be substantially W similar to the Loan Services Agreement attached hereto and incorporated herein by this E reference as Exhibit"J". a _ R "Low-Moderate Income Housing Funds" mean and refer to the HOME Funds that the 0 City intends to use to make the Loan to or for the benefit of the Qualified Homeowner in -4 accordance with this Agreement and HOME regulation and guidelines. The City and the Contractor will offer the Loan to a Qualified Homeowner who earns not more than 80% v of the current annual median income for the San Bernardino County area, adjusted for = family size (as those terms are defined by U. S. Department of Housing and Urban r Development("HUD") as further illustrated in Exhibit "A" of this Agreement (the "2013 a Income Limits") and are subject to annual adjustments. r d "Maintenance Agreement Covenant" means and refers to the "Residential Property E Maintenance Agreement Containing Covenants Affecting Real Property (Single Family r Residence Rehabilitation Loan Program) by and between the City and the Qualified a Homeowner. The Maintenance Agreement Covenant provides, without limitation, for maintenance-related duties and obligations to be performed and completed by the Qualified Homeowner in connection with the Qualified Homeowner's Home. The Maintenance Agreement Covenant shall be executed and acknowledged by and between 6 P:\Agendas\AgendaAttachments\AgendaAttachments\Agnnts-Amend 2010\7.19.10 IHDC Rehab Loan Program Agreement Packet'Pg.209'° the City and the Qualified Homeowner, and must be in recordable form for recordation by the Contractor or by the City in the County Recorder's Office. The Maintenance Agreement Covenant must be substantially similar to the Maintenance Agreement Covenant attached hereto and incorporated herein by this reference as Exhibit "K". "Maintenance Class" means and refers to the Maintenance Class provided by and conducted by the Contractor pursuant to the Homebuyer Education Program Agreement, dated as of , 2013, by and between the City and the Contractor. The Qualified a Homeowner is required to attend the Maintenance Class after the City has approved the d Loan to a Qualified Homeowner. In the Maintenance Class, the Qualified Homeowner Q shall learn, without limitation, to properly maintain the Qualified Homeowner's Home < and/or the Improvements to be constructed, installed, performed and completed thereon. "Note" means and refers to the Promissory Note Secured by Deed of Trust in the amount Cn of the Loan made by the City to and for the benefit of the Qualified Homeowner. The Note shall be executed by the Qualified Homeowner and the obligations of the Note shall be secured by the Deed of Trust. The outstanding principal balance of the Note shall a a accrue simple interest at the rate of three percent (3%) per annum. No periodic payments of principal and interest, or of interest-only shall be due and payable by the Qualified a Homeowner to the City during the term of the Note. The outstanding principal amount of the Note, all accrued and unpaid interest and all other fees, charges and amounts due v under the Note, under the Deed of Trust and under the other Loan Documents (the "Loan Payoff') shall be payable by the Qualified Homeowner to the City on the date that: (i) the Qualified Homeowner is in default under the Loan Documents, subject to any c applicable cure period, (ii) the Qualified Homeowner refinances the Loan, or (iii) on the N date that the Qualified Homeowner sells, conveys or transfers the Home to an W unauthorized third person in violation of the Loan Documents; provided, however, if the W Qualified Homeowner remains the fee owner of the Home for a period of ten (10) years E from the date that the Deed of Trust is recorded in the County Recorder's Office, the a` Loan shall be forgiven and discharged by the City, the City shall record a reconveyance or release of the Deed of Trust in the County Recorder's Office and the Qualified 0 Homeowner shall have no further duty or obligation to pay to the City the Loan Payoff. The Note shall be substantially similar to the Note attached hereto and incorporated d herein by this reference as Exhibit"L". v 0 x "Project" means and refers to the construction, the installation and/or the completion of the Improvements from the use of the Loan Funds and of the Grant Improvements from a the use of the Grant Funds. r d "Program" means and refers to the program created, administered and maintained by or E for the City in connection with the Loan, the disbursement by the City to the Contractor r of the Loan Funds to or for the benefit of each Qualified Homeowner in accordance with a this Agreement and the performance and completion by the Contractor of the Services. The Contractor shall offer the Program to Qualified Homeowners in the specific Target Area during the term of this Agreement. The Contractor shall offer the Program on an as-needed, first-come, first-served basis, to Qualified Homeowners in the Target Area 7 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2010\7.19.10 1HDC Rehab Loan Program Agreement Packet Pg.210 within the City for the term of this Agreement. However, in case of an emergency, of an urgent need or of a life-threatening situation, the Contractor may process a Loan Application ahead of other Loan Applications subject to the approval by the City Manager. "Qualified Homeowner" means and refers to a person or household (i) which owns and occupies its Home as its principal residence within the Target Area for at least twelve (12) continuous months preceding the date of submission of its Loan Application to the E Contractor, (ii) has a personal or household income level, adjusted for family size, during the twelve (12) months preceding the date of submission of its Loan Application to the a Contractor within the ranges of income for low-moderate income households, adjusted ; for family size, as set forth in Exhibit "A", (iii) must complete, execute and submit the Loan Application to the Contractor, (iv) must agree to attend the Maintenance Class N conducted by the Contractor, (v) must agree to live in its Home, as its principal residence, N for not less than ten (10) years after the recordation of the Deed of Trust and the Maintenance Agreement Covenant in the County Recorder's Office, (vi) must execute o and acknowledge, where appropriate, all Loan Documents, (vii) must agree to agree to a maintain its Home pursuant to the Maintenance Agreement Covenant for a period of ten (10) years following the recordation of such Maintenance Agreement Covenant in the V County Recorder's Office, and (viii) who must not have received any grant or any loan from the City for a period of ten (10) years prior to the submission by the Qualified v Homeowner to the City and/or to the Contractor of the Loan Application. On a case-by- case basis, the City Manager of the City, in its sole and absolute discretion, may waive this one 12-month residency requirement. 0 N "Senior Deed of Trust" means and refers to the senior deed of trust executed and W acknowledged by the Qualified Homeowner. The Senior Deed of Trust secures the 9 obligations of the Senior Promissory Note and of the Senior Loan and encumbers the E Home. a` c "Senior Lender" means and refers to an institutional lender, including, without limitation, any bank, savings bank, savings and loan association, insurance company, credit union or other lender licensed to conduct business in the State of California, approved by the City in its sole and absolute discretion and making the Senior Loan to the Qualified v Homeowner. X A., "Senior Loan" means and refers to the loan made by the Senior Lender to the Qualified a Homeowner. The Senior Loan is evidenced by the Senior Promissory Note and is secured by the Senior Deed of Trust encumbering the Home owned by the Qualified Homeowner. �a "Senior Loan Documents" mean and refer to the Senior Promissory Note, the Senior a Deed of Trust and all other instruments, documents, agreements, guarantees and/or i certificates evidencing, securing, guaranteeing or relating to the Senior Loan. 8 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2010\7.19.10 IHDC Rehab Loan Program Agreement 7.A.g "Senior Promissory Note' means and refers to the Senior Promissory Note executed by the Qualified Homeowner in favor of the Senior Lender. The Senior Promissory Note is secured by the Senior Deed of Trust, which Senior Deed of Trust encumbers the Home owned by the Qualified Homeowner. "Services" mean and refer, without limitation, to the Program origination, the preparation, execution and delivery of the Loan Documents, the Loan Fund disbursement control, related accounting, Work monitor (course of construction builder contract) E services and other services to be provided by the Contractor to or for the benefit of the City in accordance with this Agreement. The various elements of the Services are more E fully set forth in the "Scope of Services" attached hereto as Exhibit"C." For each year of the Agreement, the Contractor will attempt to approve, complete, process and finalize up to ten(10) Loans to Qualified Homeowners in the Target Area. "Target Area" means and refers to the specific area, areas, neighborhood or neighborhoods in the City, in which the City has instructed the Contractor to offer the Program to Qualified Homeowners to better maximize the effectiveness of the Loan a. Funds. In the absence of specific direction from the City Manager, the Contractor shall ' offer the Program on an as-needed, first-come, first-served basis, to Qualified Homeowners within the Target Area. However, in the case of an emergency, of an urgent need or of a life-threatening situation, the Contractor may process a Loan 0 Application subject to the approval of the City Manager. N U? "Work"means and refers, without limitation, to the Improvements, or any part thereof, to 0 be constructed, installed, performed and/or completed by a state-licensed General N Contractor on or in connection with a Home pursuant to the terms, covenants and w conditions of the General Contractor Agreement. Only the Improvements and/or the items of Work set forth in the General Contractor Agreement shall be authorized for a� payment by the Contractor, up to the maximum amount authorized under the terms of the a. Program for such Improvements, or any part thereof. Any costs of Improvements and/or of Work in excess of the maximum amount of the Program (which are not the fault of 0 such General Contractor) shall be paid for by the Qualified Homeowner unless approved in writing by the City Manager. Section 2. PERFORMANCE BY CONTRACTOR AND BY CITY. The ° Contractor and the City agree to perform the terms, covenants and conditions of this Agreement. .� E Section 3. SCOPE OF SERVICES. The Contractor agrees to provide the Services a Y to the City as set forth herein, as described in the Scope of Services. Promptly following the date of approval of this Agreement by the governing board of the City, the Contractor, without E limitation, shall or will continue to: w a (A) cause the Loan Disbursement Account to be established, or maintained, and the general form of an FDIC - insured deposit account agreement acceptable to the City to be fully executed by the Contractor, by the depository institution and by the City within thirty(30) calendar days following the date of approval of this Agreement; 9 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 20 1 0\7.19.10 1HDC Rehab Loan Program Agreement Packet Pg. 212 7.A.g B use the general form of the Loan Application in connection with an application b ( ) g Pp pp Y a Qualified Homeowner for the approval by the City to the Qualified Homeowner of the Loan under the Program in accordance with this Agreement. The applicant for the Loan must submit to the Contractor federal and state income tax returns filed by the applicant with the appropriate taxing authorities for the past two (2) years which tax returns must be acceptable to the Contractor in its sole and absolute discretion; E (C) subject to the completion of the tasks described in Section 3(A) and in Section 3(B) above, continue the process of receiving and reviewing Loan Applications and E provide the Services as provided for in the Agreement. The Contractor shall offer the Program to Qualified Homeowners in the Target Area on an as-needed, first-come, first- served basis; provided, however, in the case of an emergency, of an urgent need or of a N life-threatening situation, the Contractor may process a Loan Application ahead of other Loan Applications subject to the approval of the City Manager; Cn (D) transmit a copy of a completed set of the Loan Documents to the City Manager of a. the City, together with: (i) a recommendation from the Contractor to the City to approve 2 fu the Loan Application and the Loan to the Qualified Homeowner, and (ii) a request from the Contractor to the City for a transfer of the Loan Funds by the City for the account of the Qualified Homeowner. The City Manager shall either authorize the funding of such 0 Loan or reject the request for funding on behalf of the City within ten (10) business days of receipt from the Contractor. Any rejection of a Loan Application shall be in writing 2 and shall state the reasons for such action. Each acceptance of a Loan Application by the o City shall be evidenced by the signature of the Executive Director of the Loan N Documents, where designated. All Loan Documents shall be executed, acknowledged, w where designated, and completed by the Qualified Homeowner and by the Contractor, and the disbursement of Loan Funds by the City to or for the benefit of the Qualified E Homeowner shall occur within sixty(60) calendar days following the date of submission a by the Contractor to the City Manager of the funding request, or the Loan Documents shall be of no further force or effect; (E) no fees, charges or expenses shall be payable by any applicant to the Contractor or to the City for a Loan, except from the Loan Funds, nor shall the Contractor charge a L) Qualified Homeowner for any cost or service in connection with the origination or = subsequent administration of the Loan during the time the Improvements and/or the Work is constructed, installed, performed and/or completed at the Home, except for the Q Maintenance Class fee payable to the Contractor, or as authorized under the Program by w the City Manager; a E (F) instruct the City Manager to transfer the Loan Funds for the account of each Qualified Homeowner to the Loan Disbursement Account as set forth in Section 3(D), a above,upon confirmation by the Contractor that the Loan Documents for the Program are executed and complete and that the Deed of Trust and the Maintenance Agreement Covenant (and any other documents to be recorded in the County Recorder's Office) are ready for recordation in the County Recorder's Office. The Contractor shall coordinate 10 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2010\7.19.101HDC Rehab Loan Program Agreement Packet Pg. 213 the issuance of the policy of title insurance in favor of the City by the title insurance company with the recordation of the Deed of Trust and of the Maintenance Agreement Covenant; (G) deliver a fully executed and acknowledged, where designated, original set of the Loan Documents for each Loan (except for the Deed of Trust and for the Maintenance Agreement Covenant which documents shall be recorded by the Contractor on behalf of the City in the County Recorder's Office) to the City upon request of funding and transfer E of the Loan Funds for the account of the Qualified Homeowner to the Loan Disbursement d Account; E Q (H) verify that no Loan Funds are disbursed from the Loan Disbursement Account for c the account of a Qualified Homeowner except: (i) to pay a state-licensed General N Contractor and/or state-licensed subcontractor for the Improvements and/or for the Work Cn constructed, installed, performed and/or completed at the Home pursuant to the General , Contractor Agreement (less a ten percent (10%) retention pending completion of the W Improvements and/or of the Work and final executed written release of all mechanics and a. materials liens from the General Contractor and/or from all subcontractors). No disbursement of the Loan Funds from the Loan Disbursement Account shall be :a authorized for any building materials or equipment items which are not physically N delivered at the Home before the date of payment of such Loan Funds to the General v Contractor and/or to the subcontractor; or (ii) to pay a Loan title fee or cost amount expressly authorized in writing by the City Manager; T M r O (I) prepare and maintain a Loan Funds disbursement ledger for all payments N authorized and made by the Contractor to the General Contractors and/or to the W subcontractors for the account and debit to each Qualified Homeowner under each Loan W made by the City to or for the benefit of the Qualified Homeowner in accordance with E this Agreement. Such ledger shall show each payment by date and reference the a. particular Loan, the Loan Documents and the name of the Qualified Homeowner to C which it corresponds. Such ledger shall also include a monthly starting and ending 0 balance for the Loan Disbursement Account, a final reconciliation of the adjusted balance of each Loan upon the completion of the Improvements and/or of the Work, and such other accounting information as the City Manager may request. A copy of such ledger v shall be submitted to the City Manager each month with the first such monthly submittal = due on the first day of the next month following the date of the initial deposit of the Loan Funds by the Contractor and/or the City into the Loan Disbursement Account; a (J) No Improvements and/or Work shall be authorized for payment by the Contractor 0 unless the Loan Documents are complete and the Contractor has received a fully E executed copy of the General Contractor Agreement by and between the General Contractor and the Qualified Homeowner. Once the Improvements and/or the Work has a commenced on a particular Home, neither the Qualified Homeowner, the General Contractor nor the subcontractor shall authorize an amendment or modification of such contract to include any item of Work, which is not eligible for payment using the Loan Funds under the terms and conditions of the Loan under the Program. Each such contract 11 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2010\7.19.10 IHDC Rehab Loan Program Agreement Packet,Pg.21 by and between the General Contractor and the Qualified Homeowner, the General Contractor and the subcontractor, and/or the subcontractor and the Qualified Homeowner shall include a section, which recites the words of the first two (2) sentences of this Section 3(J). (K) Contractor at its expense shall provide a dedicated and trained staff member to administer the Services and the Program described in this Agreement for a minimum of 2 working days per week for the term of this Agreement; such staff member shall be E located in an City-designated and supplied work area. E (L) The Contractor represents, warrants and covenants that the Contractor shall reserve membership on the Contractor's board of directors to one(1) or more individuals who reside in the City of San Bernardino, County of San Bernardino, State of California, as required by applicable Laws, City, or as necessary, for the term of this Agreement. co Section 4. TIME OF PERFORMANCE OF SERVICES. The Services to be performed hereunder by the Contractor shall be undertaken and completed in such sequence as to FL assure expeditious completion and to best carry out the purposes of the Program and this Agreement. All Services required hereunder shall begin upon the execution of this Agreement. 6 Section 5. TERM OF AGREEMENT. This Agreement shall take effect upon the v approval by the governing board of the City and the complete execution by the parties (the "Effective Date"). The Agreement shall remain in effect through June 30, 2016, subject to annual approval by the City in its sole discretion and the appropriation by the United States o Department of Housing and Urban Development("HUD"). N vi W Section 6. COMPENSATION PAYABLE BY CITY TO CONTRACTOR. W E (A) The City shall annually compensate the Contractor for the performance of the a. Services using the HOME Funds in accordance with the following schedule: r_ 0 J $70,000 Annual Program Administration Fee for Contractor a $630,000 Single Family Residence Beautification Grant v Program = 700 000 Total a (B) From and after the Effective Date of this Agreement, unless otherwise revised by City, the Program Administration Fee payable by City to the Contractor as E compensation for Services performed by the Contractor under this Agreement shall be paid directly to the Contractor upon receipt by City of a corrected invoice. City shall pay a to the Contractor the correct amount identified on the invoice within thirty (30) calendar days after the receipt by City. The Program Administration Fee under this Agreement and shall not exceed Seventy Thousand Dollars ($70,000) in the aggregate, for any given 12 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2010\7.19.10 IHDC Rehab Loan Program Agreement 0 acket Pg.215"` year, payable in twelve (12) equal monthly installments of$5,833.33 during the term of this Agreement. (C) Notwithstanding the foregoing, in the event the Contractor exceeds twenty -two (22) Loans in any given year, additional Loan Funds will need to be procured in order to fund any additional Loans made by the Contractor under this Agreement. The City will exercise its reasonable efforts to amend this Agreement, in writing, and to obtain additional Loan Funds to fund additional Loans, in excess of twenty-two (22) Loans, by the Contractor for that year. The E City makes no warranty, no representation and no covenant to the Contractor that the City will be able to obtain any additional Loan Funds to fund any additional Loans under this Agreement. a �a Section 7. PERSONNEL OF CONTRACTOR. The Contractor represents that it has, or will secure at its own expense, all personnel required to perform the Services. All of the y Services required hereunder will be performed by persons who are either employed by or under the supervision and control of the Contractor, and all personnel engaged in the Services shall be fully competent and qualified to perform such Services. R a Section 8. INDEPENDENT CONTRACTOR. All acts of the Contractor and all others acting on behalf of the Contractor relating to the performance of this Agreement, shall be performed as independent contractors and not as agents, officers, or employees of the City. The Contractor has no authority to bind or incur any obligation on behalf of the City. The Contractor 0 has no authority or responsibility to exercise any right or power vested in the City. No agent, officer, or employee of the City shall be considered an agent or employee of the Contractor. It is understood by both the Contractor and the City that this Agreement shall not under any c circumstance be construed or considered to create an employer-employee relationship or a joint N venture as between the Contractor and the City. The Contractor is and at all times during the W Term of this Agreement shall represent and conduct itself as an independent contractor and not Ix as an agent or employee of the City. The Contractor shall be responsible to the City only for the E requirements and results specified in this Agreement, and except as expressly provided in this a Agreement, shall not be subject to control by the City with respect to the physical action or activities of the Contractor in fulfillment of this Agreement. The Contractor has control over the 0 manner and means of performing the Services under this Agreement so long as consistent with the requirements of the Program. The Contractor is permitted to provide services to others during the same period Services are provided to the City under this Agreement. If necessary, the v Contractor has the responsibility for employing other persons or firms to assist the Contractor in = fulfilling the terms and obligations under this Agreement. If in the performance of this Agreement any third persons are retained as subcontractors by the Contractor, such persons shall a be entirely and exclusively under the direction, supervision, and control of the Contractor. All terms of employment including hours, wages, working conditions, discipline, hiring, and discharging or any other term of employment or requirements of law shall be determined by the E Contractor. The Contractor hereby agrees to indemnify, defend (if requested by City), protect a and hold the City harmless from any and all claims that may be made against the City or based a upon any contention by any employee of the Contractor or by any third party that an employer- employee relationship or joint venture exists between any person or entity and the City, by reason of the performance of any of the Services under this Agreement. 13 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2010\7.19.10 IHDC Rehab Loan Program Agreement Pay °Pg.216 7.A.g Section 9. PAYMENT OF AND TRANSFER OF LOAN FUNDS TO LOAN DISBURSEMENT ACCOUNT. The City shall promptly honor each request by the Contractor for the City to transfer Loan Funds to the Contractor who will in turn deposit the Loan Funds to the Loan Disbursement Account to fund each approved Loan as submitted by the Contractor to the City under Section 3(D). Within sixty (60) calendar days following receipt of each request for remittance of the Loan Funds, the City shall transfer by bank check to the Contractor such Loan Funds to use as provided herein. E Section 10. COMMERCIAL GENERAL LIABILITY INSURANCE, AUTOMOBILE INSURANCE, WORKERS' COMPENSATION INSURANCE, Q EMPLOYER'S LIABILITY INSURANCE, ERRORS AND OMISSIONS AND PROFESSIONAL LIABILITY INSURANCE. c N (A) The Contractor shall obtain and keep in force during the term of this Agreement, at its sole cost and expense, the following insurance policies: (i) a commercial general liability , policy of insurance with coverage at least as broad as "Insurance Services Office Commercial a General Liability Form (G0001)", in the amount of One Million Dollars ($1,000,000) combined single limit per occurrence, naming the City and the City and the elected officials, officers, employees, attorneys and agents of each of them as additional insureds (collectively, the "Additional Insureds") with said insurance covering comprehensive general liability including, but not limited to, contractual liability, assumed contractual liability under this Agreement, acts 0 of subcontractors, premises-operations, explosion, collapse and underground hazards, if applicable, broad form property damage, and personal injury including libel, slander and false M arrest, (ii) comprehensive automobile liability insurance covering owned, non-owned and hired vehicles by or for the Contractor, combined single limit in the amount of One Million Dollars N vi ($1,000,000) per occurrence, naming the Additional Insureds as additional insureds on each w automobile insurance policy, (iii) workers' compensation insurance in such insurance coverage X amounts as statutorily required, or similar insurance in form and amounts required by law, and E employer's liability insurance, combined single limit in the amount of One Million Dollars a ($1,000,000), and (iv) errors and omissions and professional liability, combined single limit in the amount of One Million Dollars ($1,000,000)per occurrence. J (B) Any and all insurance policies required hereunder shall be obtained from insurance companies admitted in the State of California and rated at least A: XII in the most current Best's Key Rating Insurance Guide. In no event shall the Contractor be permitted or = entitled to assign to any third party rights of action, which the Contractor may have against the City. All said insurance policies shall provide that they may not be canceled unless the City a receive written notice of cancellation at least thirty (30) calendar days prior to the effective date w of cancellation. Any and all insurance obtained by the Contractor shall be primary to and shall not be contributing with any insurance carried by the City or by the City whose insurance shall be considered excess insurance only. Any insurance which the City and/or City may otherwise a carry, including self insurance, for all purposes of this Agreement shall be separate and apart Q from the requirements of this Agreement. Legal counsel for the City must approve each insurance policy required in Section 10(A) of this Agreement. The Contractor waives subrogation and agrees that the Contractor, the City are co-insured. The insurer shall have no 14 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2010\7.19.10 IHDC Rehab Loan Program Agreement Packet Pg. 217 7.A.g right of subrogation, against the City or against any of the other Additional Insureds. The Additional Insureds shall be named as additional insureds on each insurance policy. (C) All insurance which the Contractor shall carry or maintain pursuant to this Section 10 shall be in such form, for such amounts, for such periods of time as the City may require or approve. c m (D) The Contractor shall deliver or cause to be delivered to the City concurrently E upon the execution of this Agreement an endorsement of the insurance policies required in this Section 10(A) of this Agreement evidencing the existence of the insurance coverage required by E the City under Section 10(A) of this Agreement and shall also deliver, no later than thirty (30) calendar days prior to the expiration of any insurance policy, a certificate of insurance evidencing each renewal policy covering the same risks. The City may request the Contractor to N provide, and the Contractor shall immediately provide, additional or greater insurance, in such amounts and with such deductibles as reasonably determined by the City, at the cost and expense , of the Contractor. @ a Section 11. INDEMNIFICATION. w (A) The Contractor agrees to indemnify, defend with legal counsel reasonably acceptable to the City, protect and hold the City and their respective elected officials, directors, 0 officers, members, managers, consultants, contractors, employees, agents and attorneys, and the successors and assigns of each of them (singularly and collectively, the "Indemnified Parties" which defined term shall also includes the City), harmless from and against all actions, causes of action, claims, demands, liabilities, damages, losses, liabilities, obligations, judgments, suits, N costs, expenses and fees (including, without limitation, reasonable attorneys' fees, court costs W and expert fees of any nature whatsoever), now or hereafter arising from or related to: (i) any act W or omission of the Contractor and/or of any of the Contractor's directors, officers, members, E managers, consultants, contractors, subcontractors, materialmen, laborers, any other person or a. L entity furnishing or supplying work, services, goods, or supplies in connection with the performance of this Agreement, employees and agents, and the successors and/or assigns of each of them (singularly and collectively, the "Indemnifying Parties" which defined term shall also include the Contractor), in performing, or failing to perform, its obligations hereunder, (ii) any CD default by the Contractor under this Agreement, subject to any applicable cure period, (iii) any violation by any of the Indemnifying Parties of any Laws, (iv) any warranty or representation = made by the Contractor to the City in this Agreement that is or becomes false and untrue, (v) death, bodily injury and/or personal injury to any person, (vi) any destruction, loss or damage to Q real property or personal property, (vii) the presence of any Hazardous Substances at, on, in, above, under or about any Home owned by a Qualified Homeowner resulting, directly or indirectly, from the acts or omissions of an y Indemnifying Parties, and/or (viii) the aggravation E of any environmental condition by any Indemnifying Parties at, on, in, above,under or about any r Home owned by a Qualified Homeowner. Without limiting the Contractor's indemnification of Q the Indemnified Parties, the Contractor shall provide and maintain, at its sole cost and expense during the term of this Agreement, the insurance described in Section 10(A) of this Agreement. Such insurance shall be provided by insurer(s) satisfactory to the City and evidence of such 15 P:�Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2010\7.19.10 1HDC Rehab Loan Program Agreement Packet Pg. 218 insurance satisfactory to the City shall be delivered to the City Manager no later than the effective date of this Agreement. (B) The City shall indemnify, defend (if requested by the Contractor) and hold harmless the Contractor, its agents, officers, and employees, from all claims, loss, demands and liability for damages for personal injury, bodily injury or property damage suffered by reason of any act or omission of the City or any of its officers or employees or agents under this Agreement except where such action or omission giving rise to such a claim is caused by or is E the result of an action, omission or request of the Contractor and/or of any of the other Indemnifying Parties, or is alleged to arise out of the execution of this Agreement. The a provisions of Section 11(A) and Section 11(B) shall survive the execution, delivery, performance, expiration or early termination of this Agreement. Section 12. DEFAULTS AND BREACH - GENERAL. The failure or delay by either party to perform any material term or provision of this Agreement shall constitute a default , hereunder; provided, however, that if the party who is otherwise claimed to be in default by the other party commences to cure, correct or remedy the alleged default within thirty (30) calendar a days after receipt of written notice specifying such default and shall diligently complete such �? cure, correction or remedy, such party shall not be deemed to be in default hereunder. A default shall also occur under this Agreement whenever a representation and/or warranty made in this Agreement is or becomes false or untrue. A default shall also occur under this Agreement 0 whenever a party files, or has filed against it, a petition in bankruptcy, is or becomes insolvent, is unable to pay its debts as they mature, assigns its assets for the benefit of creditors, or a receiver, n trustee or custodian is appointed by a court to exercise control over all or substantially all of the o assets of the party and such receiver, trustee or custodian is not discharged by the court within N sixty (60) calendar days after said appointment date. The party which may claim that a default w has occurred shall give written notice of default to the party in default specifying the alleged It default. Delay in giving such notice shall not constitute a waiver of any default nor shall it a) change the time of default; provided, however, the injured party shall have no right to exercise a any remedy for a default hereunder without delivering the written default notice as specified herein. Any failure or delay by a party in asserting any of its rights and remedies as to any default shall not operate as a waiver of any default or of any rights or remedies associated with a @ default, and the rights and remedies of the parties are cumulative and the exercise by either party CD of one or more of such rights or remedies shall not preclude the exercise by it, at the same or different times, of any other rights or remedies for the same default or any other default by the = other party. In the event that a default of either party may remain uncured for more than thirty (30) calendar days following written notice, as provided above, a "breach" shall be deemed to a have occurred. In the event of a breach, the party who is not in default shall be entitled to terminate this Agreement and seek any appropriate remedy or damages by initiating legal W proceedings. If any action or proceeding is brought to enforce the terms hereof or declare rights E hereunder, it shall be brought in the Superior Court of the County of San Bernardino, San Bernardino District, State of California. The governing law to be applied in any such action or a proceeding shall be the law of the State of California. The prevailing party in any such legal proceedings shall be entitled to recover as an element of its costs of bringing such suit, and not as part of its damages, its reasonable attorneys' fees, court costs, expert witness fees and consultant fees and costs. The costs, salary and expenses of the City Attorney and members of his office in 16 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2010\7.19.101HDC Rehab Loan Program Agreement Packet Pg. 219 such action or proceeding on behalf of the City shall be considered as "attorneys' fees" for purposes of this Section. Section 13. NONDISCRIMINATION. During the Contractor's performance of the Services, the Contractor shall not discriminate on the grounds of race, religion, creed, color, national origin, age, ancestry, physical handicap, medical condition, marital status, sex, or sexual orientation in the performance of the Services, including, without limitation, in the selection and retention of employees, General Contractors and subcontractors and the procurement of materials E and equipment, except as provided in Section 12940 of the California Government Code. E Section 14. CONFLICT OF INTEREST. The Contractor warrants, by execution of this Agreement, that it has no interest, present or contemplated, in the Program or in any Home benefited thereby or Work performed on any Home using the Loan and the Loan Funds. The 2 Contractor further warrants that it owns or possesses no interest in real property, business N interests or owner of income (other than such amounts of compensation payable by the City to the Contractor for the Services under this Agreement) that will be affected by the Program or, alternatively, if such interest exists or arises the Contractor will promptly file with the City an a. affidavit disclosing any such interest. R •a Section 15. AMENDMENTS. All amendments to this Agreement shall be subject to c the approval of both parties in the sole discretion of each of them, mutual and in writing. The c0 City Manager of the City is authorized to make non-substantive changes, clarifications, corrections to the Agreement, including budget line item adjustments, provided such actions are T approved by legal counsel for the City and do not increase the City's monetary annual appropriation to the Contractor as approved by the governing board of the City. N vi w Section 16. TERMINATION. E (A) This Agreement may be terminated for any reason by either party who is not then a in default upon ten (10) calendar days prior written notice to the other party. In such event, the C Contractor shall be entitled to receive compensation for Services pro-rated through the date of such termination, provided that the Services have been rendered. d (B) In the event of a termination of the Agreement as a result of a breach, the rights and duties of the parties shall be as set forth in Section 12. _ r (C) In the event of any termination of this Agreement, the Contractor shall promptly a return all Loan Funds that have been disbursed by the City to the Contractor with the exception r of any Loan Funds that have been properly disbursed by the Contractor to or for the benefit of one or more Qualified Homeowners under this Agreement, without charge or expense to the E City. a Section 17. ASSIGNMENT. It is mutually understood and agreed that this Agreement shall be binding upon the City and its successors and assigns and upon the Contractor and its successors and assigns. The City may assign this Agreement, without obtaining the prior consent or approval of the Contractor. The Contractor may not assign this Agreement without 17 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2010\7.19.10 1HDC Rehab Loan Program Agreement Packet�g 220' 7.A.g obtaining the prior written consent of the City, which written consent may be given or withheld by the City in its sole and absolute discretion. Any assignment or attempt to assign this Agreement by the Contractor shall be void. Section 18. NOTICES. Communications, notices, bills, invoices or reports required by this Agreement shall be in writing and shall be deemed to have been given when actually delivered, if given by hand delivery or transmitted by overnight courier service, or if mailed, three (3) business days after being deposited in the United States mail, postage prepaid, to the E address noted below: E a City Contractor City of San Bernardino Riverside Housing Development r Attention: City Manager Corporation dba Inland Housing 300 North D Street, 6th Floor Development Corporation cn San Bernardino, California 92401 Attention: Director Phone: (909) 663-1044 4250 Brockton Ave a. Fax: (909) 888-9413 Riverside, California 92501 Phone: (951) 341-0170 Fax: (951) 341-0171 0 to C Either party may change its address for receipt of written notice by notifying the other c°v party in writing of a new address for delivering notice to such party. M Section 19. REPRESENTATION AND WARRANTY OF CONTRACTOR. The N Contractor hereby represents and warrants to the City as follows: vi W W (A) The Contractor is a California nonprofit corporation duly organized, existing, and E authorized to transact business in California; rn a _ (B) the corporate charter and by-laws of the Contractor authorize the Contractor to 0 provide the Services to the City and the governing board and membership of the Contractor have previously taken all action necessary to authorize the execution of this Agreement by the Contractor; U O (C) the Contractor is qualified to perform the Services and shall timely perform and = complete the Services in a professional manner. a� a Section 20. LOAN FUNDS AND LOAN DOCUMENTS ARE THE PROPERTY OF THE CITY. The Loan Documents for each Loan are the property and asset of the City. E The Contractor has no property interest in any such Loan Documents and the Contractor shall not transfer, assign or pledge as collateral or claim any other security interest in any such Loan a Documents. All of the Loan Documents are the property of the City, and the Contractor shall maintain all such Loan Documents in its possession as confidential consumer business records of the Qualified Homeowner. All Loan Funds disbursed by the City to the Contractor for the benefit of a Qualified Homeowner are the property of the City until paid by the Contractor to the 18 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2010\7.19.10 IHDC Rehab Loan Program Agreement Packet Pg.221 7.A.g General Contractor upon the completion of the Work at the Home for the account of the Qualified Homeowner under the applicable Loan Documents. Section 21. NON-ELIGIBILITY OF HOMEOWNER. The Qualified Homeowner must file a Loan Application and a Grant Application with the Contractor should the Qualified Homeowner intend to construct, to install and/or to complete the Project with both the Loan Funds and with the Grant Funds. Once the City: (i) has approved the Loan Application for the Qualified Homeowner and has disbursed the Loan Funds to the Contactor for the benefit of the Qualified E Homeowner under this Agreement, and(ii) has approved the Grant Application for the Qualified Homeowner and has disbursed the Grant Funds to the Contractor for the benefit of the Qualified Q Homeowner, or has rejected the Grant Application, the Qualified Homeowner now or hereafter shall have no right to apply for and to receive any other loan or grant being offered by the City to the general public under any loan or grant program, including, without limitation, any grant s being offered by the City under the Mobile Home Grant Program Agreement, or any other loan, until ten (10) years after the date that the Contractor has paid the last installment of the Loan to , the City for the benefit of the Qualified Homeowner under this Agreement and until ten (10) years after the date that the City has been paid the last of the Grant Funds to the Contractor for a the benefit of the Qualified Homeowner under this Agreement, if applicable. Further, if the Qualified Homeowner files only a Loan Application with the Contractor and the Loan Application is approved by the City, the Qualified Homeowner will have no right now or hereafter to apply for and to receive any loan or grant offered by the City until ten (10) years 0 after the date that the Contractor has paid the Loan in full. N Section 22. GENERAL PROVISIONS. This Agreement constitutes the sole c agreement between the parties. All prior conversations, agreements or representations relating N hereto are integrated in this Agreement. No oral agreement, representation or warranty shall be w binding upon the parties. If any provision of this Agreement shall be invalid, illegal or W unenforceable, the validity, legality and enforceability of the remaining portions of this E Agreement shall not in any way be affected or impaired thereby. Failure of any party to enforce a any provision of this Agreement shall not constitute a waiver of the right to compel enforcement of the same provision or any remaining provisions of this Agreement. Headings at the beginning J of each section or subsection are solely for the convenience of the parties and are not a part of this Agreement. Whenever required by the context of this Agreement, the singular shall include the plural and the masculine shall include the feminine and vice versa. This Agreement shall not U be construed as if it had been prepared by one of the parties, but rather as if all parties had ° x prepared the same. Unless otherwise indicated, all references to sections are to this Agreement. All exhibits referred to in this Agreement are attached hereto and incorporated herein by this a reference. If the date on which any action is required to be performed under the terms of this .. Agreement is not a business day, the action shall be taken on the next succeeding business day. This Agreement may be executed in one or more counterparts each of which shall be an original E but all of which together shall constitute but one original Agreement. This Agreement may be executed by facsimile signatures, and each facsimile counterpart when taken together shall be Q deemed an original Agreement. 19 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2010\7.19.10 IHDC Rehab Loan Program Agreement Packet Pg. 222 IN WITNESS WHEREOF, the Contractor and the City have caused this Agreement to be duly executed on the date first above written. CITY _ d City of San Bernardino, E a municipal corporation E Q �a Dated: By: Allen Parker, City Manager y .c rn Approved as to Form: JAMES F. PENMAN, City Attorney a- a� w By. 0 U CONTRACTOR n M Riverside Housing Development Corporation dba N Inland Housing Development Corporation, W a California non-profit corporation W E rn L a Date: By: 0 Name: �a Title: U O r Date: By: Q Name: Title: a E w a 20 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2010\7.19.10 IHDC Rehab Loan Program Agreement Packet Pg.223' EXHIBIT "A" 2013 Income Limits _ N E _ a� E Q w r .o _ M a a� M 0 to _ O U N M O N Cn W tY E a _ �a 0 J N d U N X W _ E U f� Q 21 P:1Agendas\Agenda Aftachments\Agenda Attachments\Agrmts-Amend 2010\7.19.10 THDC Rehab Loan Program Agreement Packet Pg.224 YEAR 2013 INCOME LIMITS RIVERSIDE & SAN BERNARDINO COUNTIES HOUSEHOLD 30% 50% 60% 80% MEDIAN MEDIAN MEDIAN MEDIAN SIZE INCOME INCOME INCOME INCOME E FAMILY Extremely Very 60% a SIZE Low Low Median Low r 1 $13,400 $22,300 $261760 $35,700 2 $15,300 $25,500 $30,600 $405800 3 $17,200 $28,700 $34,440 $455900 co 4 $19,100 $31,850 $381220 $505950 a. 5 $20,650 $34,400 $41,280 $551050 6 $221200 $36,950 $445340 $59,150 7 $235700 $39,500 $47,400 $63,200 y 8 $25,250 $42,050 1 $50,460 $67,340 N M O N N W w E L a c o 0 J t6 t U t x W C E t v t4 Q i i i i i Packet Pg.225 EXHIBIT°B" Deed of Trust r as E W E Q �o r c N to a m c� 6 N _ O U N M N Ui W w E O L a M O J N d U N s x w _ 0 E ca r Q 22 P:1Agendas\Agenda Attachments\Agenda AttachmentslAgrmts-Amend 201017.19.10 T DC Rehab Loan Program Agreement Packet Pg.226! Recording Requested By: When Recorded Mail To: CITY OF SAN BERNARDINO 201 N "E"STREET, SUITE 301 d SAN BERNARDINO, CA 92401-1507 E >3 c d ATTN: HOUSING DIVISION Q w DEED OF TRUST WITH ASSIGNMENTS OF RENTS r y .Q 3 THIS DEED OF TRUST, made, ((Date)) between, 0irmarysFirstName» �> «PirmarysLastName», and «JointFirstName» «JointLastName» herein called TRUSTOR, c whose address is«Addressl», «City», ((State)) «PostalCode», in which First American Title , a herein called TRUSTEE, and the City of San Bernardino, a municipal corporation, herein called BENEFICIARY, Trustor irrevocably grants, transfers and assigns to Trustee in Trust, with Power of Sale that property in City of San Bernardino, County of San Bernardino, State of California, described as: 0 «LotDiscribtion>>. The legal description of the property is attached hereto and incorporated herein by this reference as Exhibit"A". M r Together with the rents, issues and profits thereof, SUBJECT, HOWEVER, to the right, N power and authority given to and conferred upon Beneficiary to collect and apply such rents, w issues and profits. For the Purpose of Securing:, 1. Payment of the sum of $ «Amount)> with interest rn thereon according to the terms of a promissory note or notes of even date herewith made by n. Trustor, payable to order of the Beneficiary, and extensions or renewals thereof (singularly and collectively, the "Note"); 2. The Performance of each agreement of Trustor incorporated by reference or contained herein or reciting it is so secured; 3. Payment of additional sums-and interest thereon which may hereafter be loaned to Trustor, or his or her successors or assigns, when evidenced by a promissory note or notes reciting that they are secured by this Deed of Trust. _ To protect the security of this Deed of Trust, and with respect to the property above r described, Trustor agrees: t X W (1) To keep said property in good condition and repair; not to remove or demolish any building thereon; to complete or restore promptly and in good and workmanlike manner any E building which may be constructed, damaged or destroyed thereon and to pay when due all claims for labor performed and materials furnished therefore; to comply with all laws affected said property or requiring any alterations or improvements to be made thereon; not to commit or a permit waste thereof; not to commit, suffer or permit any act upon said property in violation of law; to cultivate, irrigate, fertilize, fumigate, prune and do all other acts which from the character or use of said property may be reasonably necessary, the specific enumerations herein not excluding the general. 1 P:1 Agendasl AgendaAttachments'Exhibits1201017.19.101HDC Rehab Loan Deed of Trust Packet Pg.227 (2) To provide, maintain and deliver to Beneficiary fire insurance satisfactory to and with loss payable to Beneficiary. The amount collected under any fire or other insurance policy may be applied by Beneficiary upon any indebtedness secured hereby and in such order as Beneficiary may determine, or at option of Beneficiary the entire amount so collected or any part r thereof may be released to Trustor. Such application or release shall not cure or waive any default or notice of default hereunder or invalidate any act done pursuant to such notice. E c d (3) To appear in and defend any action or proceeding purporting to affect the a security hereof or the rights or powers of Beneficiary or Trustee; and to pay all costs and expenses, including cost of evidence of title and attorneys' fees in a reasonable sum, in any such action or proceeding in which Beneficiary or Trustee may appear, and in any suit brought .2 by Beneficiary to foreclose this Deed of Trust. 3 (4) To pay: at least ten days before delinquency all taxes and assessments affecting said property, including assessments on appurtenant water stock; when due, all encumbrances, charges and liens, with interest, on said property or any part thereof, which appear to be prior or -o superior hereto; all costs, fees and expenses of this Deed of Trust. V Should Trustor fail to make any payment or to do any act as herein provided, then y Beneficiary or Trustee, but without obligation so to do and without notice to or demand upon o Trustor and without releasing Trustor from any obligation hereof, may: make or do the same in such manner and to such extent as either may deem necessary to protect the security hereof, Beneficiary or Trustee being authorized to enter upon said property for such purposes; appear M in and defend any action or proceeding purporting to affect the security hereof or the rights or N powers of Beneficiary or Trustee; pay, purchase, contest or compromise any encumbrance, charge or lien which in the judgment of either appears to be prior or superior hereto; and, in W exercising any such powers, pay necessary expenses, employ counsel and pay his reasonable fees. The costs, salary and expenses of the City Attorney and members of his office in E enforcing this deed of trust on behalf of the Beneficiary shall be considered as "attorneys' fees" a for the purposes of this paragraph. 0 J (5) To pay immediately and without demand all sums so expended by Beneficiary or Trustee, with interest from date of expenditure at the amount allowed by law in effect at the date hereof, and to pay for any statement provided for by law in effect at the date hereof regarding the obligation secured hereby any amount demanded by the Beneficiary not to exceed the o maximum allowed by law at the time when said statement is demanded. _ (6) That any award of damages in connection with any condemnation for public use of or injury to said property or any part thereof is hereby assigned and shall be paid to w Beneficiary who may apply or release such moneys received by him in the same manner and with the same effect as above provided for disposition of proceeds of fire or other insurance. Z (7) That by accepting payment of any sum secured hereby after its due date, Beneficiary does not waive his right either to require prompt payment when due of all other a sums so secured or to declare default for failure so to pay. (8) That at any time or from time to time, without liability therefore and without notice, upon written request of Beneficiary and presentation of this Deed of Trust and said note for endorsement, and without affecting the personal liability of any person for payment of the 2 P:1Agendas\Agenda Attachments\Exhibits1201017.19.10 IHDC Rehab loan Deed of Trust Packet Og:22t . 7.A.h indebtedness secured hereby, Trustee may: reconvey any part of said property; consent to the making of any map or plat thereof; join in granting any easement thereon; or join any extension agreement or any agreement subordinating the lien or charge hereof. (9) That upon written request of Beneficiary stating that all sums secured hereby r have been paid, and upon surrender of this Deed and said note to Trustee for cancellation and retention and upon payment of its fees, Trustee shall reconvey, without warranty, the property E then held hereunder. The recitals in such reconveyance of any matters or facts shall be conclusive proof of the truthfulness thereof. The grantee in such reconveyance may be a described as "the person or persons legally entitled thereto." Five years after issuance of such full reconveyance, Trustee may destroy said note and this Deed of Trust (unless directed in such request to retain them). N (10) That as additional security, Trustor hereby gives to and confers upon Beneficiary in the right, power and authority, during the default by Trustor in payment of any indebtedness secured hereby or in performance of any agreement hereunder, to collect and retain either in person, by agent, or by a receiver to be appointed by a court, and without regard to the adequacy of any security for the indebtedness hereby secured, enter upon and take possession of said property or any part thereof, in his own name sue for or otherwise collect such, rents, °- issues, and profits, including those past due and unpaid, and apply the same, less costs and expenses of operation and collection, including reasonable attorneys' fees, upon any 0 indebtedness secured hereby, and in such order as Beneficiary application thereof as aforesaid, shall not cure or waive any default hereunder or invalidate any act done pursuant to such notice. 0 (11) That upon default by Trustor in payment of any indebtedness secured hereby or N in performance of any agreement hereunder, Beneficiary may declare all sums secured hereby vi immediately due and payable by delivery to Trustee of written declaration of default and W demand for sale and or written notice of default and of election to cause to be sold said property, which notice Trustee shall cause to be filed for record. Beneficiary also shall deposit �, with Trustee this Deed of Trust, said note and all documents evidencing expenditures secured a` hereby. After the lapse of such time as may then be required by law following the recordation of M said notice of default, and notice of sale having been given as then required by law, Trustee, without demand on Trustor, shall sell said property at the time and place fixed by it in said notice @ of sale, either as a whole or in separate parcels, and in such order as it may determine, at public auction to the highest bidder for cash of lawful money of the United States, payable at time of sale. Trustee may postpone sale of all or any portion of said property by public announcement o at such time and place of sale, and from time to time thereafter may postpone such sale by = public announcement at the time fixed by the proceeding postponement. Trustee shall deliver to such purchaser its deed conveying the property so sold, but without any covenant or warranty, express, or implied. The recitals in such deed of any matters or facts shall be conclusive proof of the truthfulness thereof. Any person, including Trustor, Trustee, or Beneficiary as hereinafter defined, may purchase at such sale. After deducting all costs, fees 0 and expenses of Trustee and of this Deed of Trust, including cost of evidence of title in connection with sale, Trustee shall apply the proceeds of sale to payment of: all sums expended 2 under the terms hereof, not then repaid, with accrued interest at the amount allowed by law in Q effect at the date hereof; all other sums then secured hereby; and the remainder, if any, to the person or persons legally entitled thereto. (12) Beneficiary, or any successor in ownership of any indebtedness secured hereby, may from time to time, by instrument in writing, substitute a successor or successors to any 3 PAAgendasWgenda Attachments\Exhibits\2010\7.19.10 IHDC Rehab Loan Deed of Trust Packet Pg. 229 Trustee named herein or acting hereunder, which instrument, executed by the Beneficiary and duly acknowledged and recorded in the office of the recorder of the county or counties where said property is situated, shall be conclusive proof of proper substitution of such successor Trustee or Trustees, who shall, without conveyance from the Trustee predecessor, succeed to all its title, estate, rights, powers and duties. Said instrument must contain the name of the original Trustor, Trustee and Beneficiary hereunder, the book and pages where this Deed of E Trust is recorded and the name and address of the new Trustee. E C 0 (13) That this Deed of Trust applies to inure to the benefit of, and binds all parties Q hereto, their heirs, legatees, devisees, administrators, executors, successors and assigns. The term Beneficiary shall mean the owner and holder, including pledges, of the note secured hereby, whether or not named as Beneficiary herein. In this Deed of Trust, whenever the y context so requires, the masculine gender includes the feminine and/or neuter, and the singular number includes the plural. Cn (14) That Trustee accepts this Deed of Trust when this Deed of Trust, duly executed a and acknowledged, is made a public record as provided by law. Trustee is not obligated to d notify any party hereto of pending sale under any other Deed of Trust or of any action or proceeding in which Trustor, Beneficiary or Trustee shall be a party unless brought by Trustee. :2 0 0 Beneficiary may charge for a statement regarding the obligation secured hereby, 0 provided the charge thereof does not exceed the maximum allowed by laws. N The undersigned Trustor, requests that a copy of any notice of default and any notice of sale hereunder be mailed to him or her at his or her address hereinbefore set forth. N C6 W M Signature of Trustor E, L CL �o 0 J R W V O N Q X W C G1 E t v r+ Q 4 P:\Agendas\AgendaAttachments\Exhibits\2010\7.19.10 iHDC Rehab Loan Deed of Trust Packet Pg. 230 STATE OF CALIFORNIA COUNTY OF SAN BERNARDINO ON , 20 , before me, r personally appeared ((Sig naturePrimarysname)) _ « »Signaturejointname Q I who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the y instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the a foregoing paragraph is true and correct. WITNESS my hand and official seal. c N C O V Signature N M V O N N W M E 0) a _ 0 0 J O d U O 2 X r m E a 5 P:Wgendas\Agenda Attachments\Exhibits\2010\7.19.101HDC Rehab Loan Deed of Trust Packet Pg.231 Do Not Record REQUEST FOR FULL RECONVEYANCE c ; as TO: FIRST AMERICAN TITLE TRUSTEE: E a� The undersigned is the legal owner and holder of all indebtedness secured by the within E Deed of Trust. All sums secured by said Deed of Trust have been fully paid and satisfied; and you are hereby requested and directed, on payment to you of any sums owing to you under the terms of said Deed of Trust, to cancel all evidences of indebtedness, secured by said Deed of r Trust, delivered to you herewith, together with the said Deed of Trust, and to reconvey, without warranty, to the parties designated by the terms of said Deed of Trust, all the estate now held by cn you under the same. _ Dated a w w M 0 N By. c0 N T By: Cn o N Please mail Reconveyance to: w E rn Do not lose or destroy this Deed of Trust OR THE NOTE which it secures. Both originals must a` be delivered to the Trustee for cancellation before reconveyance will be made. 0 J c0 s d V O t X W _ d E U R Q 6 PAAgendas\Agenda Attachments\Exh1b1tsV010\7.19.10 IHDC Rehab Loan Deed of Trust Packet Pg.232' Provisions for Deed of Trust (Due on Sale Provisions) In the event that the Trustor should sell, transfer, or otherwise convey the real property securing the Note, whether voluntarily or by operation of law, or as a result of the death of the 0 Trustor, and whether by deed, contract of sale, or otherwise, or the agreement to do so, at any E time within the first ten (10) years after the execution by the Trustor of the Note, or the refinancing by the Maker of the loan evidenced by the Note and secured by this Deed of Trust E or of a note and deed of trust encumbering the property described in Exhibit "K and senior to the Note and to the Deed of Trust, then all obligations secured by the Note, irrespective of the maturity dates expressed therein, shall, at the option of the Beneficiary become immediately N due and payable. i rn In the event that the real property securing the Note which is now or hereafter may be encumbered by this Deed of Trust shall cease to be the Trustor's primary residence, irrespective of the maturity dates expressed in the Note, shall, at the option of the Beneficiary, immediately become due and payable. In the event that the Trustor shall further encumber the real property securing the Note, or otherwise cause a reduction in priority which this Deed of Trust securing the Note enjoys as c0 of the date of its recordation, then all obligations secured by the Note, irrespective of the maturity dates express therein, shall, at the option of the Beneficiary, immediately become due and payable. M 0 N N Initials: W E rn L a c a 0 J t W W V N w X W C E t V Q 7 P:\Agendas\AgendaAttachments\Exhibits\2010\7.19.10 IHDC Rehab Loan Deed of Trust PackefPg.233 7.A.h EXHIBIT"A" Legal Description C m E a _ m E Q m _ ca N N C CL as .r ns 0 N 0 U N 42 M O N N w w E O L a _ �a 0 J m U O N w t x w u m E ns Q 4835-4625-0244.4 $ Packet Pg.234 7.A.h EXHIBIT"C" Scope of Services C c a) E C i w E Q �a c N .Q 7 C t9 a d 0 c , o � U N L? M Cl N � t W E CD L a c c� 0 J tII t d U D 2 N t x w c 0 E �a Q , 1 Packet Pg. 235 I EXHIBIT"C" SCOPE OF SERVICES (Description of Program) A. Contractor's Administration Annual Fee r c d The City shall annually compensate the Contractor an amount not to exceed the total sum of c Seventy Thousand Dollars ($70,000) for the administration and the implementation of the W Program herein and for the Services rendered under this Agreement, subject to the annual Q approval and appropriation by the United States Department of Housing and Urban Development �a r ('HUD"). r N .Q Notwithstanding the foregoing, in the event the Contractor exceeds twenty-two (22) Loans in any given year, additional Loan Funds will need to be procured in order to fund any additional Loans made by the Contractor under this Agreement. The City will exercise its reasonable efforts to a. amend this Agreement,in writing, and to obtain additional Loan Funds to fund additional Loans, in excess of twenty-two (22) Loans, by the Contractor for that year. The City makes no warranty,no representation and no covenant to the Contractor that the City will be able to obtain o any additional Loan Funds to fund any additional Loans under this Agreement. 0 U From and after the Effective Date of this Agreement and for the remaining term of this (4 Agreement, the Program Administration Fee payable by the City to the Contractor as M compensation for the Services performed by the Contractor under this Agreement shall be paid by the City directly to the Contractor upon receipt by the City of a corrected invoice and the N Ui Loan Funds Disbursement Ledger which shows all Loan Fund payments authorized by the City W W and disbursed by the Contractor to the General Contractors and/or to the subcontractors under this Agreement for which the Contractor has not been paid by the City. The Contractor may not OF invoice the City more than once per month for the Loan Funds disbursed by the Contractor under �- this Agreement and the City shall pay to the Contractor the correct amount identified on the o invoice within thirty (30) calendar days after the receipt by the City of the following: (i) a J corrected invoice, and (ii)the Loan Funds Disbursement Ledger. a� U B. Single Family Residence Rehabilitation Loan Program (the"Program") ($630,000) _ N r The Contractor shall accept the Loan Applications from respective Qualified Homeowner applicants to determine income and improvement eligibility(see Exhibit"A"to this Agreement), W to determine equity in the Home and to verify ownership and length of ownership by obtaining a preliminary title report or other pertinent documentation from a reputable title company. The E Contractor shall offer the Program to Qualified Homeowners in the Target Area on an as needed, first-come, first-served basis. However, in the case of an emergency, of an urgent need or of a a life-threatening situation, the Contractor may process a Loan Application ahead of other Loan Applications subject to the approval by the City Manager. The Improvements allowed under the Program are described in Section"C"below of this Scope of Services. 23 P:1Agendas\Agenda AttaclimentsWgenda Attachments\Agmrts-Amend 20I017.19.10 THDC Rehab Loan Program Agreement Packet Pg.236' C. Eligible Improvements Permitted under the Program The following types of Improvements are permitted in connection with the Program: (i) roof repairs and re-roof or overlay, (ii) exterior and interior painting, including, without limitation, lead testing, (iii) drought tolerant landscaping (irrigation system, with hydro seeds, sod or artificial turf), (iv) window replacement, (v) carpet replacement and/or finished flooring replacement, (vi) HVAC system, (vii) electrical work, (viii) Sewer Repairs, (ix) termite repairs, (x) exterior concrete hardscape such as sidewalks, driveways, curbs, gutters, hand railings or = ramps, (xi) door or window screens repairs or replacements, (xii) tub, shower, toilet repairs or E replacements, (xiii) foundation or structural repairs, (xiv) fencing or (xv) installation of a alternative energy sources, including, without limitation, solar panels. The Improvements must r relate to health and safety code violations (i.e.,blown sewer lines, septic tank destruction, etc.). r In connection with each Loan Application for Sewer Repairs, the City shall have the right to CO determine whether or not such Sewer Repairs shall be made from funds disbursed by the City f>•om Loan Funds under the Program or from grant funds disbursed by the City to an applicant a under the Single Family Beautification Grant Program, or under any other then existing grant 0 program. Should the City determine that the Sewer Repairs will need to be disbursed by the City M from grant funds pursuant to the Single Family Beautification Grant Program, or any other then o existing grant program, the Contractor shall advise the applicant, in writing, that the applicant c will need to prepare,to execute and to submit a new grant application to the Contractor under the U Single Family Beautification Grant Program, or under any other then existing grant program, N which grant application, without limitation, shall request the City to make a grant to the applicant T to permit the applicant to make and to complete the Sewer Repairs. N vi The maximum amount of the Loan permitted under the Program is the Loan Amount per Home, Ui without the prior written approval of the City Manager. E rn L D. Applicant Eligibility Requirements for the Program °- c 0 1. Qualified Homeowner must be an owner and occupant of the Home as its principal J residence, for a minimum period of 12 months preceding the application date; on a case-by-case basis, and depending on the circumstances, this requirement may be waived by the City Manager or designee; the Contractor shall obtain evidence of ownership and length of o ownership and residency. _ w 2. Qualified Homeowner must execute and complete a Loan Application and must deliver s and submit the Loan Application, as fully executed and completed, to the Contractor. The w Contractor shall receive, review, verify and approve or reject the Loan Application. If the Loan Application is not acceptable to the Contractor, the Contractor shall notify the applicant in E writing within ten (10) business days fiom the receipt by the Contractor of the Loan Application and the Contractor shall provide the applicant with the reasons for the rejection by the Q Contractor. 3. Qualified Homeowner must have a personal or household income level, adjusted for family size, during the twelve (12) months preceding the date of submission of the Loan 24 P:1Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 201017.14.10 rHDC Rehab Loan Program Agreement Packet Pg.'237 Application to the Contractor within the ranges of income for low-moderate income households, adjusted for family size,as set forth in Exhibit"A"to this Agreement. 4. Qualified Homeowner must agree to: (i) attend the Maintenance Class, (ii) live in the Qualified Homeowner's Home,as its principal residence, for not less than ten(10)years after the recordation of the Maintenance Agreement Covenant in the County Recorder's Office, and (iii) , to maintain the Home in accordance with the Maintenance Agreement Covenant for not less than ten (10) years after the recordation of the Maintenance Agreement Covenant in the County Recorder's Office. a 5. Qualified Homeowner must execute and acknowledge, where appropriate, the Loan Documents. The Qualified Homeowner, without limitation, shall execute and notarize the Deed of Trust and the Maintenance Agreement Covenant and the Contractor or the City shall record, or shall cause the recordation of, the Deed of Trust and the Maintenance Agreement Covenant in in the County Recorder's Office. = l � l a 6. Qualified Homeowner must not have received any grant or loan from the City for a period of ten (10) years prior to the submission by the Qualified Homeowner to the Contractor and/or to the City of the Loan Application. o N _ E, Guidelines 0 N The Contractor shall conduct, administer, implement, comply with and perform the following T guidelines in connection with the Program: N vi 1. The Contractor shall administer and implement the Program herein and shall utilize the UJ applicable and pertinent sections of the City's Loan Policies and Procedures Manual for guidance on processing and packaging all Loans under this Agreement, if applicable, under the rn direction of the City Manager. a. �a 0 2. The Contractor shall accept the Loan Applications from respective Qualified Homeowner applicants to determine location, income and improvement eligibility, to determine equity in the s Home,and to verify ownership and length of ownership by obtaining a preliminary title report or 0� other pertinent documentation from a reputable title company. The Contractor shall offer the o Program to Qualified Homeowners in the Target Area on an as needed, first-come, first-served = basis. However,in the case of an emergency, of an urgent need or of a life-threatening situation, the Contractor may process a Loan Application on an urgent basis ahead of other Loan Applications subject to the approval of the City Manager. w a.: 3. The Contractor shall inspect eligible Homes and properties to determine the type of _ health and safety and code violation repair work needed,including asbestos and lead-based paint removal, the age and overall condition of the Home and to ensure that all Homes repaired or a improved under the Program when completed are aesthetically pleasing and in compliance with all Laws. 25 P:\AgendasUgendaAttachments\Agcnda Attachments\Agmts-Amend 201017.19.10IHDC Rehab Loan Program Agreement Packet Pg.238 4. The Contractor shall prepare and complete Work write-ups, cost estimates, and bid packages for the Improvements to be constructed, installed, performed and completed for each Qualified Homeowner's Home. S. The Contractor shall ensure that all Improvements and/or Work constructed, installed, performed and/or completed in connection with the Qualified Homeowner's Home shall be constructed, installed, performed and completed by pre-qualified State licensed General d Contractors and/or State licensed subcontractors. The Contractor shall also require that each General Contractor and/or subcontractor constructing, installing, performing and/or completing E the Improvements and/or the Work in connection with the Qualified Homeowner's Home under a the Program shall possess a current business license in the City and shall possess a current �? license with the State of California Contractor's License Board. The Contractor shall be required, whenever feasible, to obtain a minimum of three (3) bids from General Contractors for all Improvements and/or for all Work to be constructed,installed,performed and/or completed in CO connection with the Qualified Homeowner's Home. All bids shall be made available by the Contractor to the Qualified Homeowner for review. All Improvements and/or Work constructed, a installed, performed and/or completed by General Contractors and/or by subcontractors in connection with the Qualified Homeowner's Home shall be approved and authorized by the Qualified Homeowner, and shall be completed within a specified timeframe acceptable to the o Qualified Homeowner and the General Contractors and/or the subcontractors. c 0 U 6. The Contractor shall solicit bids for the construction, installation,performance and/or the N completion of the Improvements and/or of the Work in connection with the Qualified M Homeowner's Home from a list of pre-approved General Contractors. The Contractor shall o assist the Qualified Homeowners with the selection of a General Contractor, and shall assist the vi Qualified Homeowner in connection with the execution of the General Contractor Agreement, LU including, without limitation, a determination as to the scope of the Improvements and/or of the scope of Work to be constructed, installed, performed and/or completed by the General a, Contractor, any schedule of performance, other schedules, conduct pre-construction and walk- a through conferences. c J 7. Prior to the execution of the General Contractor Agreement and prior to any funding by the Contractor of any Loan Funds to the General Contractor for the proposed Improvements and/or Work to be constructed, installed, performed and/or completed, the Contractor and the o members of the City application review committee (the "Application Review Committee") _ appointed and assigned by the City to approve, administer and oversee the construction, the w installation, the performance and/or the completion of the Improvements and/or of the Work shall meet on one or more occasions to discuss the Improvements and/or the Work to be w constructed, installed, performed and/or completed in connection with the Qualified Homeowner's Home and the methodology used or to be used to identify, quantify and assist the Qualified Homeowner. M 8. The Contractor and the Qualified Homeowner must review, approve, execute and Q acknowledge, where designated, the Loan Documents. The Loan Documents shall include, without limitation, the following: (i) the Note, which shall be executed by the Qualified Homeowner in favor of the City and (ii) the Deed of Trust and the Maintenance Agreement 26 P-MgendasUgenda Attachments\Agenda AttachmentslAgmits-Amend 201017.14.101HDC Rehab Loan Program Agreement Packet Pg_2 99 Covenant which Deed of Trust and Maintenance Agreement Covenant must be executed and acknowledged,where designated,by the City and by the Qualified Homeowner and each must be recorded by the Contractor or by the City in the County Recorder's Office. The General Contractor and/or any subcontractor cannot commence the construction, the installation, the performance and/or the completion of the Improvements and/or of the Work in connection with a Qualified Homeowner's Home until: (i) the Loan Documents have been executed and acknowledged, where appropriate, by the City and by the Qualified Homeowner, and (ii) all recordable instruments, documents and/or agreements in connection with the Loan, including, _ without limitation, the Deed of Trust and the Maintenance Agreement Covenant have been recorded by or for the Contractor or the City in the County Recorder's Office. Q �a y 9. The General Contractor shall obtain one or more permits as required by applicable Laws r to construct,install,perform and/or complete the Improvements and/or the Work at the Qualified Homeowner's Home. At the time that the Contractor submits an invoice to the City for payment of all or a portion of the Loan Funds in connection with the Loan made by the City to the Qualified Homeowner, the Contractor shall provide the City with a copy of each permit that is or a will be required to construct, to install, to perform and/or to complete the Improvements and/or the Work in connection with the Qualified Homeowner's Home. The City shall have no obligation to pay any invoice submitted by the Contractor to the Qualified Homeowner until the o City has received and approved each permit issued for the Improvements and/or for the Work o completed by the General Contractor and/or by the subcontractor and identified in the invoice. v N 10. The Contractor shall inspect and monitor the Improvements and/or the Work while in M progress and shall supervise the payment invoice procedures to ensure that all General N Contractors and subcontractors are meeting obligations and that progress payments and vi retentions are paid in a timely manner. W 11. The Contractor shall receive and collect from the General Contractors and/or from the subcontractors an executed lien release under one of the following lien releases, as appropriate: a (i) an unconditional waiver and release upon progress payment, or (ii) an unconditional waiver o and release upon final payment. The Contractor shall not make the final payment of the remaining Loan Funds to any General Contractor until the General Contractor and/or all subcontractors have executed and the Contractor has received the conditional waiver and release upon final payment or the unconditional waiver and release upon final payment. 0 12. The Contractor shall coordinate final inspection and payment of the General Contractor Agreement retention with the Qualified Homeowner, with the General Contractor and with the City. The contract retention shall not be paid by the Contractor to the General Contractors w and/or to the subcontractors until all time periods for filing liens have expired and no liens have been filed under applicable Laws. E s 13. Prior to the payment by the Contractor of the Loan Funds, or any portion thereof, to the Q General Contractor, for the construction, for the installation, for the performance and/or for the completion of the Improvements and/or of the Work in connection with a Qualified Homeowner's Home, the Contractor shall notify the City that the Contractor has received an invoice for payment. Within ten (10) business days from receipt by the Contractor of the 27 P:\Agendas\AgendaAttaclinients\Agenda Attachments\Agrmts-Amend 201017.19.101Hr)C Kebab Loan Program Agreement Packet 09.240 - invoice, the Contractor and the City shall inspect and approve the Improvements and/or the Work identified in the invoice and constructed, installed, performed and/or completed by the General Contractor and/or by any subcontractor. The Contractor shall not pay any such invoice for the construction, installation, performance and/or completion of the Improvements and/or of the Work until the Contractor and the City have inspected and approved, in writing, the Improvements and/or the Work constructed, installed, performed and/or completed by the r General Contractor and/or by any subcontractors. The City reserves the right to approve E payment of an invoice in circumstances when no physical inspection is needed as determined by the City in its sole and absolute discretion(i.e.,fumigation for termites). E a 14. The Contractor shall maintain accurate records for inspection by the City concerning income and program occupancy of all persons obtaining assistance from the Contractor pursuant to this Agreement including, but not limited to, the Loan Application and the other Loan Documents, proof of ownership, income verification, comparables or appraisals and/or Work in write-ups. The original Loan Documents shall be executed and acknowledged, where = appropriate,by the City and by the Qualified Homeowner, shall be for the benefit of the City and a shall be transmitted by the Contractor to City in connection with each Loan made by the City to the Qualified Homeowner. o 15. The Contractor shall also provide quarterly reports to the City, or as otherwise required by the City,upon the request of the City Manager to the Contractor. U N 16. From time to time, the City and the Contractor shall coordinate inspection of the M Improvements and/or of the Work at the Qualified Homeowner's Home to ensure that the N Nftw Improvements and/or the Work are performed, installed, constructed and completed in a good N workmanlike manner and in accordance with all applicable Laws. W 17. The Contractor shall provide any and all services required by the City Manager or a, designee, in order to effectively implement and complete the Services under this Agreement, n. c 0 18. Prior to the disbursement by the City of the Loan Funds, or any portion thereof,to, or for the benefit of, the Qualified Homeowner pursuant to the Loan that has been awarded by the City to the Qualified Homeowner, the Contractor must fully comply with, verify and confirm, to the satisfaction of the City, that all tasks, matters, items, events, and conditions listed on the checklist(the "Checklist")have been fully performed and satisfied,unless specifically waived in = writing by the City in connection with such Loan. The Checklist shall not be interpreted to limit or to restrict the Agreement, in any manner whatsoever. The Checklist is attached hereto and incorporated herein by this reference as Exhibit"D". w Y 19. The Contractor shall designate and shall provide a Contractor staff member to administer the Program from a work area supplied by the City for a minimum of two (2) days a week for the term of the Agreement. a 28 PAAgendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 201017.19.10 IHDC Rehab Loan Program Agreement Packet Pg.241 EXHIBIT"D" Checklist d E v _ as E Q Y _ N 7 N _ R a d r R 6 N _ O U N 1f) M O ui W w E L a R 0 a� U d 2 N r L X W r+ _ E V c0 a 29 P:1Ageitdas\Agenda Attachments\Agenda AttaclunentslAgrmts-Amend 201017.19.101HDC Rehab Loan Program Agreement Packet Pg.242 7.A.h REHABILITATION LOAN APPLICATION APPROVAL CHECKLIST Date of Review: Homeowner(s) name: Property Address: d Loan Amount: d IHDC Due Diligence: a Qualified Homeowner Verification: Resided at residence for at least one (1) year Attended Maintenance Class on: Maintenance Covenant Agreement complete Affordable Housing Covenants complete (if necessary) Income eligibility verified M Subject Property Equity Determination: Property profile/encumbrances - Debt/ Equity Ratio: Property appraisal conducted; appraisal amount: $ 0 Loan amount percentage of appraised property value: % N M Ownership Verifica tion: o Property Profile: Name(s) on grant application MUST match the one(s) N listed as "Owner" or"Co-owner" on property profile Preliminary title report (or other pertinent documentation) W Legal owner& signatory on Covenant Agreement & Grant Agreement E L a Property Eligibility Verification: Parcel Map ("Exhibit A") Located within Target Area (if applicable) M Verification property located in City of San Bernardino U Eligible Improvements: _ Scope of Work consistent with "Eligible Improvements" (see list on reverse side) s X W Construction Bids: 1. Name of contractor: High Bid Amount: $ 2. Name of contractor: Middle Bid Amount: $ 3. Name of contractor: Low Bid Amount: $ r a 1 P:\Agendas\Agenda Attachments\Exhibits\201017.19.10 MC Rehab Loan Checklist Packet Pg.243 7.A.h Eligible Improvements List: Roofing Exterior and interior paint Drought tolerant landscaping Windows Flooring HVAC system a Electrical work Sewer repairs Termite repairs N Exterior hardscape Door &window screens , Tub, shower and toilet Foundation or structural repairs a Fencing Alternative energy source installation � 0 c 0 U N 4n Cl) N to W tY E �1 L IL M 0 J R L N ix U N w .Q K W C d E v ca r w Q 2 PAAgendaslAgenda Attaciunents\Exhibits\2010 17.19.10 IHDC Rehab Loan Checklist Picket Pg.244 EXHIBIT"E" General Contractor Agreement w _ a� E _ d E a _ r N 7 N _ t6 a m R 0 N _ O U N I? M O N fn W Q' E L a 0 R s CD U N .Q t k W _ d E v t6 Q 30 P:\Agendas\Agenda Attachments\Agenda Attaclmients\Agnnts-Amend 2010\7.19.10 51DC Rehab Loan Program Agreement Packet Pg.245 7 A.h IHDC Single Family Residence Rehabilitation Loan Program GENERAL CONTRACTOR AGREEMENT 4833-5380-6342 Inland Housing Development Corporation SINGLE FAMILY RESIDENCE REHABILITATION LOAN PROGRAM c GENERAL CONTRACTOR AGREEMENT E File No: «FileNo» a E a Owner(s): Rehab Address: r THIS AGREEMENT is made this day of by and between hereinafter called the "Owner(s)" hereinafter called the"Contractor". a. WITNESSETH, that the Contractor and the Owner(s) for the consideration stated herein agree d as follows: o o 1. RECITALS: This Agreement is made and entered into with respect to the following facts: o U a) That the City of San Bernardino (the "City") has a program to help low-moderate income N resident-owners of single family homes make certain improvements to their homes, called the M Single Family Residence Rehabilitation Loan Program; and, N b) Riverside Housing Development Corporation dba Inland Housing Development Corporation (the `IHDCIHDC') has contracted with the City to administer said housing rehabilitation WW program, pursuant to applicable laws; and, -- c) Owner has determined to participate in such program by causing certain improvements to be E made to his/her property, and has qualified for a loan to undertake such improvements; and, li d) Contractor attests that its company is properly licensed and fully qualified to perform the work proposed to be accomplished in this Agreement, under terms and conditions hereinafter set J forth; and, e) Owner and the Contractor acknowledge and agree that the IHDC and the City are third party = beneficiaries of this Agreement, consistent with the IHDC mission of housing rehabilitation. U 2. CONSIDERATION: THE UNDERSIGNED CONTRACTOR proposes to furnish labor and materials, °x complete in accordance with the specifications attached hereto as Exhibit "A"and incorporated herein r by this reference for the sum of ($ ), with payments to be made within ninety (90) calendar days from the completion of the work, subject to any additions and w deductions as provided herein. d 2. WORK: Contractor agrees to complete all work in accordance with the contract documents, all E applicable laws, and in a workmanlike manner, according to generally acceptable, standard 0 building practices. Any alteration or deviation from the attached specifications will be executed a only upon written consent of the property Owner(s), the Contractor, and the IHDC. All materials are guaranteed to be as specified. No extra charges or costs will be paid. Contractor will be solely liable if he/she has neglected to properly evaluate the extent of the rehabilitation work. The 0 performance under this Agreement is subject to forced delays when due to strikes, accidents or acts of God. This Agreement constitutes the entire agreement between the Owner, Contractor, IHDC and City as to the subject matter hereof. 9 I Packet Pg.246 P•1AnpndaclAnPnria Attar•.hmQntrNFYhihita\941417 19 in IHnn(;anp.ml Cnntrartnrc Anraamant 7.Ah IHDC Single Family Residence Rehabilitation Loan Program GENERAL CONTRACTOR AGREEMENT 4833-5380-6342 4. INDEMNIFICATION: The Contractor agrees to indemnify, defend and hold harmless the Owner, IHDC, the City and their authorized officers, members, directors, employees, agents, contractors, subcontractors and volunteers (collectively, the "Indemnified Parties") from any and all claims, actions, losses, damages, suits, fees (including, without limitation, reasonable attorneys'fees, court costs, expert witness fees and consultant fees), obligations and/or liabilities (singularly, a"Claim" and collectively, the "Claims"), now or hereafter arising out of this Agreement from any cause whatsoever, including acts, errors or omissions of any person and for any costs•or expenses incurred by the IHDC, by the City and/or by any of the other Indemnified Parties on account of any Claim therefore, except d where such indemnification is prohibited by law. This indemnification provision shall survive the execution, the performance, the termination and the expiration of this Agreement. a 5. INSURANCE: Without in anyway affecting the indemnity herein provided and in addition thereto, the Contractor shall secure and maintain throughout the term of Agreement, and shall continue one (1) year after the performance by the Contractor of the work under this Agreement, the following types of N insurance: a. Workers' Compensation— a program of Workers' Compensation insurance or State-approved Self Insurance Program in amount or form to meet all applicable requirements of the Labor Code of the a State of California, including Employer's Liability with $1,000,000 limits, covering all persons providing services on behalf of the Contractor and all risks to such persons under this Agreement. b. Comprehensive General and Automobile Liability Insurance—This coverage to include, without o limitation, comprehensive general liability policy of insurance with coverage at least as broad as c "Insurance Services Office Commercial General Liability Form (G0001), in the amount not less 0 than $1,000,000 combined single limit per occurrence, with said insurance covering comprehensive general liability including, but not limited to, contractual liability, assumed n contractual liability under this Agreement, acts of subcontractors, premises-operations, explosion, collapse and underground hazards, if applicable, broad form property damage, bodily injury and N personal injury including libel, slander and false arrest and automobile liability coverage on owned, w hired and non-owned vehicles. 0� c. Errors and Omissions Liability Insurance— Combined single limits of$1,000,000 and $2,000,000 in E the aggregate or Professional Liability insurance with limits of at least $1,000,000 per claim or rn occurrence. a c a 6. ADDITIONAL NAMED INSURED, PRIMARY INSURANCE AND BEST'S KEY RATING: All policies, except for the Workers' Compensation, the Errors and Omissions and the Professional o Liability policies shall contain additional endorsements naming the Owner, IHDC, the City and the W other Indemnified Parties as additional named insured with respect to liabilities arising out of the v performance of the services hereunder. All insurance obtained by the Contractor shall be primary to = and shall not be contributing with any insurance carried by the IHDC, by the City and/or by any of the N other Indemnified Parties. All insurance policies required under this Agreement shall be obtained from insurance companies admitted in the State of California and rated at least A: XIl in the most current c Best's Key Rating Insurance Guide. w c 7. WAIVER OF SUBROGATION OF RIGHTS: Except for Errors and Omissions Liability, the Contractor shall require the insurance carriers of the above required coverage's to waive all rights of U subrogation against the IHDC, against the City and against the other Indemnified Parties. a 8. PROOF OF COVERAGE: Contractor shall immediately furnish certificates of insurance to the IHDC and to the City evidencing the insurance coverage, including endorsements, above required prior to the commencement of performance of the services hereunder, which certificates shall provide that such insurance shall not be terminated or expire without thirty (30) calendar days prior written notice to the IHDC and to the City, and the Contractor shall maintain such insurance from the time the Contractor commences performance of services hereunder until one (1) year after the completion of such services. Within sixty (60) calendar days after the commencement of this Agreement, the 2 1 Packet Pg. 247 P•1Ananriac\AnanrN Af1nrhmantc\FYhihiW9 in\7 154 If)IHnC C;Rnarn[Cnnfrarfnrc Anraamanf 7 A. Ifll)C Single Family Residence Rehabilitation Loan Program GENERAL CONTRACTOR AGREEMENT 4833-5380-6342 Contractor shall furnish the IHDC and the City with certified copies of the policies and all endorsements. 9. INSURANCE REVIEW:The above insurance requirements are subject to review by the IHDC. 10. ACCEPTANCE & START: The bid and proposal shall be accepted by the Owner(s) and by the IHDC within sixty (60) calendar days from the date established by the IHDC for its receipt, provided that no work shall be commenced by the Contractor until a written Notice to Proceed has been issued by the Owner(s). Work will begin no later than ten (10) calendar days after the Notice to Proceed is -� issued. Contractor will not assign this Agreement without the prior written consent of the Owner(s) and of the IHDC. Any request for assignment shall be addressed to the IHDC. E Q 7i 11. PERMITS: Contractor shall procure all City of San Bernardino and all other governing authority permits and licenses, including a municipal business license, and shall pay all charges and fees for the N same, and shall give all notices necessary and incidental to the due and lawful prosecution of the work as it separately pertains to each party. Permits and licenses required for corresponding elements of the work to be performed shall be obtained prior to commencing such work and all associated costs are specifically included in the contract amounts. a 12. CHANGE ORDERS: No change in the work, as described in the Work Write-up, shall be made o except upon the mutual written consent of the Owner(s), the Contractor and the IHDC. Contractor is not authorized to deviate from the Work Write-up or specifications unless so directed in writing by the 0 IHDC. Any Change Orders shall describe the nature of the additional work, the estimated time for o completion thereof, and the compensation to be paid to the Contractor for the performance of same. No waiver of any term or conditions of this Agreement shall be a continuing waiver thereof. n M r 13. OWNER(S) EXPECTATIONS: Owner(s) will permit the Contractor to use existing utilities at no N cost, such as lighting, heating, power and water, as needed to carry out the work. Owner(s) will vi cooperate with the Contractor to facilitate work performance, including the removal and replacement of m rugs, coverings, miscellaneous household goods and furniture as necessary, unless otherwise noted. E rn 14. CONTRACTOR EXPECTATIONS: Contractor will keep the premises clean and orderly during the fi course of the daily work and will remove all debris at the completion of the work. Materials and c equipment which belong to the Contractor shall be removed from the premises. Work should be _J planned so that the Owner(s) are not forced to relocate during the rehabilitation work, except under unusual circumstances. 15. COMPLETION: Contractor agrees to satisfactorily complete all the work within forty-five (45) calendar days from the noticed start date. The parties agree that time is of the essence in this — Agreement. w .E r 16. LIEN RELEASES: Contractor shall promptly pay all valid bills and charges for material, labor, or w otherwise in connection with or arising out of the construction, and shall hold the Owner(s) of the property free and harmless against all liens and claims of lien for labor and material, or either, filed against the property or any part thereof, and from and against all expense and liability in connection a therewith, including, but not limited to, court costs and attorneys' fees resulting or arising there from. Should any liens or claim of lien be filed for record against the property, or should the Owner(s) Q receive notice of any unpaid bill or charge in connection with the construction, the Contractor shall forthwith either pay and discharge the same and cause the same to be released of record, or shall furnish the Owner(s) with proper indemnity either by satisfactory corporate surety bond or satisfactory title policy, which indemnity shall also be subject to approval of the Lien Holder. Contractor shall furnish the Owner(s) and the IHDC with affidavits and satisfactory releases of liens or claims for any liens from subcontractors, laborers and suppliers for completed work or installed materials. 3 Packet Pg.248 PAAnandaclAnanda AffarhmanfgNFYhihR.gMin17 19 10 1Hh('rp.naral rr)nfrarfnrc AnrAAMP..nf IHDC Single Family Residence Rehabilitation Loan Program GENERAL CONTRACTOR AGREEMENT 4833-5380-6342 17. NON-EXECUTION: In the event that the Owner(s) will not execute the End of Project Work Release, the IHDC reserves the right to authorize payment to the Contractor for the work completed. The IHDC and the Contractor must certify that all of the Contractor's work has been performed in a professional, workmanlike manner, and has adhered to the property specification standards. Upon the written approval by the IHDC, a payment request will be forwarded to the City for release of said funds. 18. WARRANTY: Contractor will guarantee work for a period of one (1) year from the date of the final d written acceptance of all work required by the Agreement. Furthermore, the Contractor shall furnish the Owner(s), in care of the IHDC, with copies of all manufacturers' and suppliers' written guarantees and warranties covering materials and equipment furnished under this Agreement. Contractor will E allow the IHDC access to examine and to inspect all rehabilitation work. IHDC shall have the right, but not the obligation, at all reasonable times, to inspect the books and records of the Contractor pertaining to the work and to the materials which are the subject of this Agreement. N 19. NOTICES: Notices pursuant to this Agreement shall be given by personal service to the person, rn or by deposit in the custody of the US Postal Service, within a sealed envelope containing the notices, postage pre-paid, and addressed as listed below. Such notice shall be deemed to be received within a. forty-eight (48) hours from the time of mailing, if mailed as provided above. The following information shall be used for mailed correspondence and communications related to this Agreement: o N OWNER INFORMATION: CONTRACTOR DBA: 0 (Owner's Name) (Contractor's Name) N 0 (Rehab Address) (Mailing Address) W (City) (State) (Zip Code) T a (City) (State) (Zip Code) (Telephone) o m (FAX) PROJECT ADMINISTRATOR: Inland Housing Development Corporation (IHDC) 4250 Brockton Ave — Riverside, CA 92501 Telephone: (951) 341-6511 t FAX: (951) 341-6514 w 20. LEAD BASE PAINT ACKNOWLEDGEMENT AND LEAD BASE PAINT DISCLOSURE: Prior to the commencement of the work: (i) the Contractor shall deliver to the Owner the Lead Base Paint Disclosure and the Lead Base Paint Acknowledgement, (ii)the Owner shall execute and date the Lead r Base Paint Acknowledgement and the Lead Base Paint Disclosure, and (iii) the Contractor shall Q deliver to both the IHDC and to the City the Lead Base Paint Acknowledgement and the Lead Base Paint Disclosure, as executed by the Owner. _ _ .. _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ ACCEPTANCE AND SIGNATURES CONTRACTOR: Date: E 4 Packet Pg. 249 PAAnPnrlaslAnPnrin AftarhmPntclr-Yhihifa19MM71Q 1n IHnn(;Pnaral rnntrantnrCAnrPPMAnt 7.A.h IHDC Single Family Residence Rehabilitation Loan Program GENERAL CONTRACTOR AGREEMENT 4833-5380-6342 OWNER(S): Date: THE ABOVE AGREEMENT HAS BEEN REVIEWED AND APPROVED For IHDC: Date: _ d E � 4 C � I co _ a m 0 N _ O � U N O M O N to W w E s.. a 0 J R t N U O fA X W _ d E t V to Q Packet Pg.250 PAAnPndaslAnRnda AltachmentclFYhihitc\901 017 19 10 Nnn TPnprn1 Cnntrartnrc Anrpamant IHDC Single Family Residence Rehabilitation Loan Program GENERAL CONTRACTOR AGREEMENT 4833-5380-6342 CExhibit"A" Work Specifications c d E c d E Q r c r N 3 C 1C a d M -o VJ C O U N 119 M O N ui W w E L a. c M 0 J M M tv U D 2 N t K W C O E s c>3 r Q 6 Packet Pg.251 PAAnendac\Ananrla AtfarhmanficlFYhlhifcl9(liM7 1A 1f1 iHDr rpnPral Cnnfranfnrc Anraamant EXHIBIT"F" Homeowner's Release and Waiver c m E _ d E Q ca N fn _ t6 a w ca 0 N 0 U N T M i O N to W 0: E TL a _ ca 0 J Rf d U N .r t K W w _ E V rC Q 31 P:1AgendaslAgenda AttachmentslAgenda AttachmentslAgrmts-Amend 201017.19.I0 IHDC Rehab Loan Program Agreement Packet Pg. 252 7.A.h Inland Housing Development Corporation 4250 Brockton Avenue,Riverside, CA 92501/Phone 951341-6511/Fax 951-341-6514/www.rhdc.us d E SINGLE FAMILY BEAUTIFICATION GRANT PROGRAM _ a HOMEOWNER'S RELEASE AND WAIVER c° r 2 N Owner of the property located at: `n Print Your Name a a. San Bernardino, California do hereby approve and Address grant Riverside Housing Development Corporation, dba Inland Housing Development Corporation c ("IHDC"), a California non-profit corporation,the following: v N PERMISSION TO PHOTOGRAPH 0 N 1. The undersigned hereby grants Permission to IHDC to photograph or video tape the property, W residence, and other out buildings, such as garages, sheds, etc. for the purpose of inspection records, E job progress, before-and-after shots, and for file documentation. I understand and approve that this a. _ material may also be utilized for presentations, displays, advertisements or publicity to further o J Agency and/or IHDC housing programs. 2. I waive any rights with respect to compensation or damages for use of photographs,media and videos tY related to the property. _ Owner's Signature Redevelopment Specialist w r Date: Date: E E Q PAAgendaMgenda Attachments\Exhibits1201017.19.101HDC Beautification Grant Homeowners Release&Waiver Packet Pg.253 . .......... ......... ... . . ... ............... - —..-.. ..... .. _._..- EXHIBIT"G" Lead Base Paint AeImowledgement r c as E a� E Q _ r N 3 to _ R a d 0 N _ 0 U N M O N C6 W tY E a ca 0 J c0 Z d U O 2 N X W C d E t V tC Q 32 P:\Agendas\Agenda Attaclmients\Agenda Attachments\Agnnts-Amend 2010\7.19.10IH©C Rehab Loan Program Agreement Packet Pg.254 Lead Base Paint Pamphlet - Acknowledgement of Receipt Confirmation of Receipt of Lead Pamphlet ❑ I have received a copy of the pamphlet, Renovate Right:Important Lead Hazard Information for Families, Child Care Providers and Schools informing me of the potential risk of the lead hazard E exposure from renovation activity to be performed in my dwelling unit. I received this pamphlet C before the work began. a Printed name of recipient Date Signature of recipient a Self-Certification Option (for tenant-occupied dwellings only)— If the lead pamphlet was delivered but a tenant signature was not obtainable, you may check the appropriate box below. U) El Refusal to sign — I certify that I have made a good faith effort to deliver the pamphlet, c i Renovate Right: Important Lead Hazard Information for Families, Child Care Providers, and N Schools, to the rental dwelling unit listed below at the date and time indicated and that the M occupant refused to sign the confirmation of receipt. l further certify that I have left a copy of the N pamphlet at the unit with the occupant. w ❑ Unavailable for signature — I certify that I have made a good faith effort to deliver the W pamphlet, Renovate Right: Important Lead Hazard information for Families, Child Care providers E tM and Schools, to the rental dwelling unit listed below and that the occupant was unavailable to sign a the confirmation or receipt. I further certify that I have left a copy of the pamphlet at the unit by Isliding it under the door. 0 CD Printed name of person certifying Attempted delivery date;and Time lead pamphlet delivery. w Signature of person certifying lead pamphlet delivery X W C d E Unit Address r a Note Regarding Mailing Option—As an alternative to delivery in person, you may mail the lead pamphlet to the owner and/or tenant. Pamphlet must be mailed at least 7 days before renovation (Document with a certificate of mailing from the post office). P:Wgendas\Agenda AttachmentslExhibits=1017.19.10 Oldtimers Mobile Home Grant Program General Contractors Agreement/LBP Acknowledgement Parke#Pg.255 EXHIBIT "H" Lead Base Paint Disclosure r c d E c d E a 2 C �o w N 7 C t6 a m w ctz �o N C O U N O ® M O N C6 W tY E tT L a c ca O J O s a� U N t x w c CD E L) .r a 33 P:1Agendas\Agenda Attachments\Agenda AttaclunentslAgrmts-Amend 201017.19.10 iHDC Rehab Loan Program Agreement Packet Pg.256 Lead Base Paint Pamphlet -- Acknowledgement of Receipt Confirmation of Receipt of Lead Pamphlet ❑ I have received a copy of the pamphlet, Renovate Right:Important Lead Hazard Information for Families, Child Care Providers and Schools informing me of the potential risk of the lead hazard E exposure from renovation activity to be performed in my dwelling unit. I received this pamphlet E before the work began. a R Printed name of recipient Date Signature of recipient a Self–Certification Option (for tenant-occupied dwellings only)— If the lead pamphlet was delivered but a tenant signature was not obtainable, o you may check the appropriate box below. ❑ Refusal to sign--I certify that I have made a good faith effort to deliver the pamphlet, Renovate Right:Important Lead Hazard Information for Families, Child Care Providers, and Schools, to the rental dwelling unit listed below at the date and time indicated and that the occupant refused to sign the confirmation of receipt. I further certify that I have N left a copy of the pamphlet at the unit with the occupant. w ❑ Unavailable for signature—I certify that I have made a good faith effort to deliver W the pamphlet, Renovate Right:Important Lead Hazard information for Families, Child E Care providers and Schools, to the rental dwelling unit listed below and that the occupant a was unavailable to sign the confirmation or receipt. I further certify that I have left a copy of the pamphlet at the unit by sliding it under the door. 0 d I Printed name of person certifying Attempted delivery date; and Time lead pamphlet delivery. o x Signature of person certifying lead pamphlet delivery X w a� E Unit Address Q Note Regarding Mailing Option—As an alternative to delivery in person,you may mail the lead pamphlet to the owner and/or tenant. Pamphlet must be mailed at least 7 days before renovation (Document with a certificate of mailing from the post office). 1 P:1Agendas\Agenda AttachmentsTxhibits�2010 17.19.10 IHDC Lead Based Paint Acknowledgement Packet Pg.257 EXHIBIT"I" Loan Application r E a� E Q _ i N c R a d r 0 N _ O U N NO N C6 W w E L a _ �a O J Q cC t d U N .G t x w as E s Q 34 P:1Agendas\Agenda AttachmentslAgenda Attachments\Agrmts-Amend 201017.19.10 IHDC Rehab Loan Program Agreement packet Pg.258 For Office Use ONLY Application Mailed out on: 'y Of San Bernardino- Inland Housing Development gle Family Residence Rehabilitation Loan Program Application Corporation (IHDC) Applicant's Name(Last,First,Ml) Applicant's Date of Birth c Applicant's Spouse's Name or Co-Applicant Co-Applicant's Date of Birth v c Street Address Applicant's Phone Number E (Office Use Only) Q Map Verification City/Zip Date: Initials: y DO YOU HAVE ANY NOTICE OF VIOLATION WITH THE CITY OF SAN BERNARDINO CODE ENFORCEMEN'. OR ANY OTHER CITY AGENCIES YES IF YES PROVIDE COPY, NO c Years lived in residence: List all persons living in residence other than you: a Em to ed Name Relationship Age yes No a 0 c 0 U N T M income must be shown in income section.Must show proof of income to qualify.Written verification must be forwarded with application. c MONTHLY HOUSEHOLD GROSS INCOME v AFDC Social Security SSI/SSP W rx Disabilit Em to ment Food Stam s E Unem to ment Ins Pension/Retire Alimonyrn Child Su ort Other/Real Pro L. a c Total Monthly Income: $ Total Annual Income $ o J M 2013 Income Level Number of Persons Per Household (Subject to annual change) l 2 3 4 5 6 7 8 U Household Annual Income May Not Exceed: _ 120%Median income 35,700 1 40,800 45,900 50,950 55,050 59,150 63,200 67,300 Ethnicity: (Please check all that apply)Optional w Sr.Citizens)-60 or older Female Head of Household Disabled One or More Hispanic Asian/Pacific American Indian E Black White,Non-Hispanic Other R I certify under penalty of perjury that the information provided above is correct to the best of my knowledge. I a understand that the inclusion of any willful misrepresentation on this form constitutes ground for rejection of this application and recapture of any financial benefit I may have received. I authorize the IHDC and or the City of Sa "irnardino to examine and to verify any and all information provided in this application. Date: olgnature .1PAAgcndas\Agenda Attachments\Exhibits\2010\7.19.101HDC Rehab Loan Applicationt Packet Pg.259' QBXHIBIT"J" Loan Services Agreement r C (D E C 0 E a r C ca N .Q 7 U) C M a as M 6 N C O V N M O N ui W w E L a C M 0 J W t d lY V Cl 2 N r .Q t X W C E V Q 35 P:\Agendas\Agenda Attacliments\Agenda Attachments\Agmits-Amend 2010\7.19.101HDC Reliab Loan Program Agreement Packet Pg.260 Inland Housing Development Corporation d 4250 Brockton Ave/Riverside,CA 92501 /Phone 951-341-6511 /Fax 951-341-6514/www.rhdc.us -Ea c Single Family Residence Rehabilitation Loan Program E LOAN SERVICES AGREEMENT to 3 Owner Names} Owner Address: M CONGRATULATIONS You have been awarded the Single Family Residence a Rehabilitation Loan (the "Loan") under and pursuant to the Single Family Residence Rehabilitation Loan Program (the "Program") from Citythe City of San Bernardino (the "City") in a concert with the Riverside Housing Development Corporation dba Inland Housing a Development Corporation(the "IHDCIHDC'). o U The Loan is deferred (meaning there are no payments); however it does accrue simple N interest at the rate of three (3) percent per annum, until the occurrence of a transfer of title to the M property securing the note, or if you refinance the original loan to use equity or if you sell the o property then repayment will become due and payable. The Loan is evidenced by the promissory N note (the "Note") and secured by the deed of trust with assignment of rents (the "Deed of Trust") w encumbering your home. E The Loan is being made by the City to you under the Single Family Residence Rehabilitation Loan Program and is in an amount not to exceed $ (except as 0. provided for in Section 5 of the Program Qualifications and Guidelines below). o J IHDC is authorized by the City to administer the Program. Priority is given on an as- needed, first-come, first-served basis to applicants who have completed necessary paperwork. However, in the case of an emergency, of an urgent need or of a life-threatening situation, the IHDC may process a Loan application (the "Loan Application") ahead of other Loan Applications. _ Focus of the work will be to the exterior beautification (curb appeal) of the home and of the front yard landscaping within limitations. Please be aware that with restricted funds it is not possible to do everything that everyone wants and it is not possible to address all deficiencies, code and/or x safety items with this Loan. In order to serve as many homes as possible, work priorities will be W decided by the IHDC on an individual basis. For example, appliance repairs, backyard patios, or C custom items are not covered; front landscaping, roof replacement,fences may be covered. E PROGRAM QUALIFICATIONS & GUIDELINES: Applicants must understand and agree to the a following: 1. Assistance is available to low-moderate income eligible owner-occupants who live in the City of San Bernardino; P:\Agendas\Agenda Attachments\Exhibits12010\7.19.10 IMC Loan services Agreement Packet Pg.261 SINGLE FAMILY RESIDENCE REHABILITATION LOAN AGREEMENT 2. Homeowner must complete the Loan Application and the Maintenance Needs Application Document and must submit to the IHDC the Loan Application, the Maintenance Needs Application Document and necessary qualifying verifications, as requested; 3. Homeowners must own their home and occupy it as their principal residence for a minimum of one (1) year prior to the submission of the Loan Application and of the Maintenance Needs Application Document to the IHDC; E 4. Personal household Income level, adjusted for family size, during the twelve (12) months ' preceding the date of submission of the Loan Application and the Maintenance Needs E Application Document must not exceed 80% of county median for low-moderate income Q households (the"low-moderate income"), as determined by the HUD income guidelines for families, as adjusted from time to time; all household sources of income earned from o persons who are eighteen years and older and who reside in the household as their principal residence shall be considered; cn 5. The Loan shall be evidenced by a Promissory Note Secured by Deed of Trust (the "Note") 2 in the amount of the Loan and secured by a Deed of Trust and Assignment of Rents (the "Deed of Trust") encumbering the home. The Loan made by the City to the homeowner may not exceed the lesser of: (i) $25,000 or (ii) twenty-five percent (25%) of the then fair :2 market value of the home as determined by a licensed appraiser approved by the City; O &. Final determination as to the Scope of Work (as defined below) rests with the Redevelopment Specialist, based upon need, extent of work, urgency of situation, code violations, funding availability and other issues Ir- 0 N 7. Homeowners must continue to upkeep their improved property after the work is done, and vi show their commitment by signing the RESIDENTIAL PROPERTY MAINTENANCE UJ AGREEMENT CONTAINING COVENANTS AFFECTING REAL PROPERTY (Single Family Residence Rehabilitation Loan Program) (the"Covenant Agreement"); E L a. 8. Homeowners must execute and acknowledge all Loan Documents (as defined in the Single Family Residence Rehabilitation Loan Program Agreement (the `Rehabilitation Loan Program Agreement"); CD 9. Homeowners must not have received a loan or grant from the City for the past ten (10) years, all loans made by the City, if any, to the homeowner must be paid in full by the = homeowner, and the homeowner must have repaid all grant amounts owned by the , homeowner to the City under any prior grant program resulting from the homeowner's breach under such grant program; x w 10. Homeowner must agree to attend and must attend a maintenance class conducted by Neighborhood Housing Services of the Inland Empire, Inc. in connection with the E maintenance and upkeep by the homeowner of the home; r 11.Homeowners must promise to continue living in their home for ten (10) years after the date a that the Deed of Trust is recorded in the official records of the county recorder's office for the County of San Bernardino, State of California (the "County Recorder's Office"). If the home is sold or refinanced within ten (10)years after the recordation of the Deed of Trust and the Covenant Agreement in the County Recorder's Office, or if the home is no longer 4816-2660-5062.1 2 Packet Pg.262 SINGLE FAMILY RESIDENCE REHABILITATION LOAN AGREEMENT the primary residence of the homeowner, the homeowner at such time must pay the full Loan amount to the City. A copy of your Covenant Agreement will be recorded in the County Recorder's Office and sent to the City as a permanent record. H14 Initials SCOPE of WORK: IHDC will schedule an appointment in your home. During the visit, the IHDC r Redevelopment Specialist will inquire as to your needs, observe the outside of the structure, and determine what work can best be accomplished under the Program. One or more inspections E may be necessary, depending on each situation. Photos of the property will be taken and a Work Write-up (the "Scope of Work")will be prepared. You will be asked to sign a waiver for the photos E and to authorize placement of an IHDC sign and an City sign in your front yard, to remain during the construction. The work on your home will be scheduled in the coming weeks. Role of IHDC Cn 1. NON-PROFIT ADMINISTRATOR: IHDC is a is a community based not-for-profit = corporation which works to revitalize neighborhoods throughout Riverside and San a Bernardino Counties by improving the quantity, quality, and condition of affordable housing opportunities available for low income households. IHDC has contracted with the City to implement and to administer the City's Program. a 0 y 2. WORK PERFORMANCE: The Owner will enter into a general contractor agreement (the c "General Contractor Agreement") with a general contractor approved by the IHDC (the U "General Contractor"). The General Contractor shall complete the Scope of Work in C4 accordance with the General Contractor Agreement. The General Contractor, without M limitation, shall hire one (1) or more subcontractors, arrange for materials or supply deliveries, N and/or initiate whatever is reasonably necessary to accomplish the Scope of Work in a timely vi and professional manner. W W 3, MODIFICATIONS: The IHDC Redevelopment Specialist may from time-to-time make E modifications in materials, labor or materials as deemed appropriate for the progress of the a Scope of Work. R 0 J 4. AUTHORITY TO IHDC: Homeowner authorizes the IHDC staff to issue orders and/or instructions as necessary to initiate and to continue the work, generally based upon the Work Write-up. In the absence of the homeowner, the IHDC will issue such instructions needed to carry out the work and progress towards completion; to stop work when such work appears to 0 be in violation of code, health and safety matters, or when the work or situation could lead to = obvious injury of persons or property; to stop work that would significantly alter the Scope of w Work, or exceed the project budget or Program limits; and to make decisions considered in s the best interest of the homeowner and/or the City. w 5. TECHNICAL SERVICES: IHDC does not charge the homeowner for technical services and E will continue to provide in-progress inspections on site at no cost to the homeowner. The E IHDC will make every effort to see that contractors, subcontractors and suppliers provide r appropriate materials and deliver services of good quality. The IHDC can neither assume Q liability for, nor guarantee contractor or subcontractor work quality, or failure to adequately perform on site. 6. RESOLUTION OF DISPUTES: Upon written notice from the homeowner or the contractor, the IHDC will arrange to meet with the contractor, the subcontractor or the supplier most 4816-2660-5062.1 3 Packet Pg. 263 SINGLE FAMILY RESIDENCE REHABILITATION LOAN AGREEMENT directly responsible for the work in question, as well as with the homeowner. The parties will discuss, examine, decide upon, and approve the disputed issue before it proceeds further. IHDC will make reasonable efforts to help the parties resolve the matter. In the absence of resolution, the City has the final determination as to outcome. H/O Initials Homeowner(s') Responsibilities r d 1. COOPERATION: Homeowner agrees to cooperate fully with the IHDC, the assigned -Ea contractors, the sub-contractors and the suppliers during the construction process so that the work may progress as scheduled. E 2. PAPERWORK: It is the homeowner's responsibility to review, approve and sign various documents (i.e. the Write-up, Scope-of-Work), major change-orders, job completion, and 2 invoices. Timeliness is of the essence. co 3. UTILITIES & INSURANCE: Homeowner agrees to make electric, water and other utilities = available to support the construction activity without charge. Homeowner also agrees to _° include the in-progress work and materials under their homeownership insurance policy. as w 4. ACCESS: Homeowner is responsible for providing regular, safe access to work site as discussed and pre-arranged at the beginning of the project. The homeowner or a responsible y adult should be available during the work day to respond to questions. No work will be done o when children (under 18) are home alone at the site. The homeowner should provide for and protect animals and pets by keeping them away from the work site. Aggressive or dangerous LO animals should be chained or removed from site during construction. IHDC is not responsible A to move furniture or owner's belongings. Small or personal items should be put away, N covered, and/or removed from the work site by the homeowner. IHDC staff will be courteous vi and treat homeowner's property with respect; however, the IHDC accepts no liability for broken, lost or damaged personal property, furniture, appliances, vehicles, plants, or animals. H/O Initials E L a 5. PROJECT DELAYS: IHDC has the right to stop work and to move on to another client if there are substantial, continued or unwarranted delays due to the homeowner involvement, over- 0 eagerness, or interference. Any financial liabilities incurred up to that point are those of the homeowner alone. _ a� 6. CONCERNS: As Program administrator, the IHDC is the homeowner's primary contact during o the job. Please direct any issues, concerns, or questions to the IHDC Redevelopment = Specialist as soon as possible. IHDC will contact contractors, subcontractors or suppliers to w address your stated concerns. However, once materials are installed in place, the ability to make changes, repairs or replacement is not likely, and could involve other direct costs to the w homeowner, which extend beyond the scope of the Loan. a� General Provisions 1. Homeowner agrees to hold harmless and indemnify the IHDC, the City, and their employees, Q members, officers, directors, agents, employees, contractors, sub-contactors and consultants, in connection with acts performed by them or omissions that occur under this Covenant Agreement and/or which would reasonably be associated with consultation, technical advice, property inspection, and construction activities done in good faith. 4816-2660-5062.1 4 Packet Pg.264 SINGLE FAMILY RESIDENCE REHABILITATION LOAN AGREEMENT 2. Homeowner agrees and authorizes the IHDC staff to obtain and/or to provide specific reports, property title and tax searches, building code inspection reports, property appraisals, termite reports, hazardous certifications, repair specifications, cost estimates, contractor's bids, and to initiate inspections and/or materials deemed necessary to adequately perform the job. IHDC provides regular progress reports to various agencies, such as the City. 3. Whenever the pronouns "I", "my", "me" are used in this Agreement, they shall mean "we", "our", and"us" respectively, if more than one homeowner is responsible. -Ea d AUTHORIZATION AND ACCEPTANCE OF AGREEMENT E In connection with this Loan, in reference to proposed construction services, I hereby declare that I (we) meet the Program qualifications, understand the guidelines, and accept the terms r described above. I (We) further support and authorize the IHDC, the City and their designated staff, contractors and/or subcontractors to access and to inspect my property during normal N business hours, to monitor, to supervise, to act as technical assistant, and to perform all necessary construction activities, for the beautification of my property, which is located at: San Bernardino, CA °" w Owner Signature: Co-Owner: ° 0 Date: Date: 0 N M O N For: Inland Housing Development Corporation w By: Date: B rn L a _ ca 0 J t0 t V O N w 72 .L X W _ d E U f4 rr .t+ Q 4816-2660-5062.1 5 EXHIBIT "K" Maintenance Agreement Covenant r d E aD E a �a r N .Q 7 _ R a m c� 0 N _ O U N M O N to W w E TL a _ to O ca a� U 0 N w .a X W .a: _ E V Q 36 P;1Agendas\Agenda Attachmentsk&genda Attachments\Agnnts-Amend 201017.19.10 IE1DC Rehab Loan Program Agreement Packet Pg. 266 RECORDING REQUESTED BY AND WHEN RECORDED MAIL TO: City of San Bernardino Attn.: City Manager 201 North`B" Street, Suite 301 San Bernardino,California 9240.1 d (Space Above Line Reserved For Use By Recorder) Recording Fee Exempt Pursuant to Government Code Section 6103 a RESIDENTIAL PROPERTY MAINTENANCE AGREEMENT o CONTAINING COVENANTS AFFECTING REAL PROPERTY in Single Family Residence Rehabilitation Loan Program a THIS RESIDENTIAL PROPERTY MAINTENANCE AGREEMENT CONTAINING COVENANTS AFFECTING REAL PROPERTY (the "Covenant") is made and entered into as of ,_2013, by and between the CITY OF SAN BERNARDINO, a municipal o corporation(the"City")and (the "Owner") and this Covenant relates to the following o facts set forth in Recitals: N 1A RECITALS: M 0 N WHEREAS, the undersigned is/are the Owner of that certain improved real property 6 located in the City of San Bernardino, State of California, and more particularly described in W Exhibit"A"attached hereto and incorporated herein by this reference(the"Property"); and E L WHEREAS, the City and the Riverside Housing Development Corporation dba Inland = Housing Development Corporation, a California non-profit corporation (the "Contractor") o executed, delivered and entered into the Single Family Residence Rehabilitation Loan Program Agreement(the"Rehabilitation Loan Program Agreement"), dated ,2013; and WHEREAS,pursuant to the Rehabilitation Loan Program Agreement the City has agreed o to make separate loans to Qualified Homeowners (as defined therein) in accordance with and = pursuant to the terms, covenants and conditions of the Rehabilitation Loan Program Agreement; w and s X w WHEREAS, in accordance with and pursuant to the Rehabilitation Loan Program Agreement and the Program (as defined in the Rehabilitation Loan Program Agreement), the E City has determined that the Owner is eligible to receive a Loan(as defined in the Rehabilitation Loan Program Agreement) fiom the City to enable the Owner to construct, to install, to perform Q and to complete the Improvements(as defined therein)at the Property; and WHEREAS, as a condition to the making of the Loan by the City to the Owner, the Owner must execute and acknowledge, where appropriate, the Loan Documents (as defined in the Rehabilitation Loan Program Agreement) including the execution and acknowledgment by 1 f PAAgendas\Agenda Attachments\Exhibits12010 17.19.10 MC Rehab Loan Maint Cov.Agreementt Packet the Owner of this Covenant which Covenant shall be recorded in the County Recorder's Office (as defined below). NOW, THEREFORE, IN CONSIDERATION OF THE RECITALS MENTIONED ABOVE, FOR THE APPROVAL AND FOR THE MAKING OF THE LOAN BY THE CITY TO THE OWNER AND FOR SUCH OTHER GOOD AND VALUABLE CONSIDERATION, THE RECEIPT AND SUFFICIENCY OF WHICH ARE HEREBY ACKNOWLEDGED BY THE OWNER AND BY THE CITY, THE OWNER AND THE CITY COVENANT AND = AGREE AS FOLLOWS: E Q Section 1. Definitions of Certain Terms. As used in this Covenant, the following w words and terms shall have the meaning as provided in the Recitals or in this Section 1 unless the o specific context of usage of a particular word or term may otherwise require: to Adjusted Family Income. The words "Adjusted Family Income" mean the anticipated total annual income (adjusted for family size) of each individualized or family residing or treated a as residing in the Property as calculated in accordance with Treasury Regulation 1.167(k) — 3 (b)(3) under the Code, as adjusted, based upon family size in accordance with the household income adjustment factors adjusted and amended from time to time,pursuant to Section 8 of the o United States Housing Act of 1937, as amended. o U County Recorder's Office. The words "County Recorder's Office" mean the official Cq records of the county recorder for the County of San Bernardino, State of California. M 0 N Covenant. The word "Covenant" means this "Residential Property Maintenance vi Agreement Containing Maintenance Covenants Affecting Real Property" by and between the W Owner and the City. E TL Covenant Term. The words "Covenant Term" shall have the meaning set forth in . Section 5. o J Low-Moderate Income Family. The words "Low-Moderate Income-Family" means persons and families whose income does not exceed 80 percent of area median income, adjusted rr for family size by the department in accordance with adjustment factors adopted and amended o from time to time by the United States Department of Housing and Urban Development pursuant = to Section 8 of the United States Housing Act of 1937. w t Owner. The word"Owner"means the owner of the Property (e.g.: all persons identified w as having property ownership interest vested in the Property). E Successor-In-Interest. The words "Successor-In-Interest" mean and refer to the person or household, which may acquire the Property from the Owner at any time during the Covenant a Term by purchase, assignment, transfer or otherwise. The Successor-In-Interest shall be bound by each of the covenants, conditions and restrictions of this Covenant. 2 PAAgendas\Agenda Attachments\Eshibits\2010\7.I9.I0 IHDC Rehab Loan Maint Cov.Agreementt packet Pg.26 The titles and headings of the sections of this Covenant have been inserted for convenience of reference only and are not to be considered a part hereof and shall not in any way modify or restrict the meaning of any of the terms or provisions hereof. Section 2. Acknowledgments and Representations of the Owner. r The Owner hereby acknowledges and represents that, as the date of execution of this Covenant: _ a� (a) the total household income for the Owner does not exceed the maximum amount a permitted as Adjusted Family Income for a Low-Moderate Income Family adjusted for family c size; N (b) the Owner intends to occupy the Property after the date of execution of this U Covenant as the principal place of residence for a term of at least ten (10) years following the � date of recordation of this Covenant in the County Recorder's Office and the Owner has not a entered into any arrangement and has no present intention to rent (without the prior written consent of the City), sell, transfer or assign the Property to any third party during the Covenant Term so as to frustrate the purpose of this Covenant; o N _ (c) the Owner has no present intention to lease or rent any room or sublet or rent a v portion of the Property to any relative of the Owner or to any third person at any time during the Covenant Term. M N Section 3. Maintenance Condition of the Property. The Owner, for itself, its vi successors and assigns,hereby covenants and agrees that: W (a) The exterior area of the Property, which are subject to public view (e.g.: all co improvements, paving, walkways, landscaping, and ornamentation) shall be maintained in good a _ repair and a neat, clean and orderly condition, ordinary wear and tear excepted. In the event that o at any time during the term of the Covenant Term,there is an occurrence of an adverse condition on any area of the Property which is subject to public view in contravention of the general maintenance standard described above (a "Maintenance Deficiency") then the City shall notify the Owner in writing of the Maintenance Deficiency and give the Owner thirty (30) calendar o days from the date of such notice to cure the Maintenance Deficiency as identified in the notice. _ The words "Maintenance Deficiency" include without limitation the following inadequate or w nonconforming property maintenance conditions and/or breaches of single family dwelling residential property use restrictions: w • failure to properly maintain the windows, structural elements,and painted exterior surface areas of the dwelling unit in a clean and presentable manner; Q • failure to keep the front and side yard areas of the Property flee of accumulated debris, appliances, inoperable motor vehicles or motor vehicle parts, or flee of storage of lumber, building materials or equipment not regularly in use on the Property; 3 P:\Agendas\Agenda Attachments Txhibits120I0\7.I4.101HDC Rehab Loan Maint Cov.Agreementt Packet P9.269 • failure to regularly mow lawn areas or permit grasses planted in lawn areas to exceed nine inches (9') in height, or failure to otherwise maintain the landscaping ' in a reasonable condition free of weed and debris; • parking of any commercial motor vehicle in excess of 7,000 pounds gross weight I anywhere on the Property, or the parking of motor vehicles, boats, camper shells, trailers,recreational vehicles and the like in any side yard or on any other pants of the Property which are not covered by a paved and impermeable surface; d E • the use of the garage area of the dwelling unit for purposes other than the parking a of motor vehicles and the storage of personal possessions and mechanical equipment of persons residing in the Property. r I N In the event the Owner fails to cure or commence to cure the Maintenance Deficiency within the time allowed, the City may thereafter conduct a public hearing following transmittal of written notice thereof to the Owner ten (10) calendar days prior to the scheduled date of such a public hearing in order to verify whether a Maintenance Deficiency exists and *hether the d Owner has failed to comply with the provision of this Section 3(a). If, upon the conclusion of a M public hearing, the City makes a finding that a Maintenance Deficiency exists and that there y appears to be non-compliance with the general maintenance standard, as described above, c thereafter the City shall have the right to enter the Property (exterior areas only) and perform all acts necessary to cure the Maintenance Deficiency, or to take other action at law or equity the City may then have to accomplish the abatement of the Maintenance Deficiency. Any sum expended by the City for the abatement of a Maintenance Deficiency as authorized by this N Section 3(a) shall become a lien on the Property. If the amount of the lien is not paid within w thirty (30) calendar days after written demand for payment by the City to the Owner, the City W shall have the right to enforce the lien in the manner as provided in Section 3(c). E rn L (b) Graffiti which is visible from any public right-of-way which is adjacent or = contiguous to the Property shall be removed by the Owner from any exterior surface of a J structure or improvement on the Property by either painting over the evidence of such vandalism with a paint which has been color-matched to the surface on which the pain is applied,or graffiti . may be removed with solvents, detergents or water as appropriate. In the event that graffiti is placed on the Property (exterior areas only) and such graffiti is visible from an adjacent or o contiguous public right-of-way and thereafter such graffiti is not removed within seventy-two = (72) hours following the time of its application; then in such event and without notice to the Owner, the City shall have the right, but not the obligation,to enter the Property and to remove x the graffiti. Notwithstanding any provision of Section 3(a)to the contrary, any sum expended by w the City for the removal of graffiti from the Property as authorized by this Section 3(b) shall become a lien on the Property. If the amount of the lien is not paid within thirty (30) calendar E days after written demand for payment by the City to the Owner, the City shall have the right to enforce its lien in the manner as provided in Section 3(c). a (c) The parties hereto further mutually understand and agree that the rights conferred upon the City under this Section 3 expressly include the power to establish and enforce a lien or other encumbrance against the Property in the manner provided under Civil Code Sections 2924, 2924b and 2924c in the amount as reasonably necessary to restore the Property to the 4 P:1Agendas\Agenda Attachments%xhibits1201017.19.101HDC Rehab Loan Maint Cov.Agreementt Packet Pg.270 ............................... . . 7.A.h maintenance standard required under Section 3(a) or Section 3(b), including attorneys' fees and costs of the City associated with the abatement of the Maintenance Deficiency or the removal of graffiti and the collection of the costs of the City in connection with such action. In any legal proceeding for enforcing such a lien against the Property, the prevailing party shall be entitled to recover its attorneys' fees and costs of suit. The provisions of this Section 3 shall be a covenant running with the land for the Covenant Term and shall be enforceable by the City in its discretion, cumulative with any other rights or powers granted by the City under applicable law. E Nothing in the foregoing provisions of this Section 3 shall be deemed to preclude the Owner c from making any alterations, additions, or other changes to any structure or improvement or E landscaping on the Property, provided that such changes comply with the zoning and Q development regulations of the City of San Bernardino and other applicable law. w c r (d) Any lien in favor of the City as may arise under this Section 3 will not become Q effective until such time as the City records a "Notice of Lien" in the official records of San Bernardino County which references this Section 3 of this Covenant. Any lien in favor of the = City created pursuant to this Section 3 shall be subject to the lien or charge of any mortgage, a deed of trust or other financing or security instrument made in good faith and for value in favor of an institutional lender prior to the date of such Notice of Lien. In the event of a foreclosure of such a deed of trust or other lien which predates such Notice of Lien, or in the event of an o acceptance of a deed in lieu of foreclosure, the City lien evidenced by such a Notice of Lien o which has accrued up to the date of foreclosure or the acceptance of a deed in lieu of foreclosure shall be extinguished, and the foreclosure purchaser or deed in lieu grantee shall take title in the Property free of the City lien evidenced by the Notice of Lien; provided however, any such M successor of a security interest in the Property during the Covenant Term shall be subject a new N lien of the City arising under of this Section 3 for all charges that may accrue under this Section N 3 subsequent to the foreclosure or deed given in lieu of foreclosure during the Covenant Term. Section 4. Covenants to Run With the Land. The Owner and the City hereby a� declare their specific intent that the covenants, reservations and restrictions set forth herein are a part of a plan for the promotion and preservation of affordable single family housing within the c territorial jurisdiction of the City and that each shall be deemed covenants running with the land and shall pass to and be binding upon the Property and each Successor-In-Interest of the Owner in the Property for the Covenant Term. The Owner hereby expressly assumes the duty and obligation to perform each of the covenants and to honor each of the reservations and restrictions o set forth in this Covenant. Each and every contract, deed or other instrument hereafter executed _ covering or conveying the Property or any interest therein shall conclusively be held to have w been executed, delivered and accepted subject to such covenants, reservations, and restrictions, regardless of whether such covenants, reservations and restrictions are set forth in such contract, w deed or other instrument. E Section 5. Covenant Term. The words "Covenant Term" mean and refer to the period of time when this Covenant shall be in effect. Following its recordation, this Covenant shall be in effect for ten (10) years thereafter. This Covenant shall run with land and shall be a enforceable by the City and by the City of San Bernardino, as the successor public City to the City. 5 PAAgendas\Agenda AttachmentsNExhibits 1201017.19.10 THDC Rehab Loan Maint Cov.Agrecmentt Pack et_Pg.271 Section 6. Governing Law. This Covenant shall be governed by the laws of the State of California. ' Section 7. Amendment. This Covenant may be amended only by a written instrument executed by the Owner(or the Successor-In-Interest,as applicable)and by the City. I Section S. Attorneys' Fees. In the event that the City brings an action to enforce any condition on or covenant, representation or warranty in this Covenant or otherwise arising out of this Covenant, the prevailing parry in such action shall be entitled to recover from the other party reasonable attorneys' fees to be fixed by the court in which a judgment is entered, as well as the a costs of such suit. For the purposes of this Section 8, the words "reasonable attorneys' fees" in w the case of the City include the salaries, costs and overhead of the lawyers employed in the Office of the City Attorney of the City of San Bernardino. � 3 to Section 9. Seyerability. If any provision of this Covenant shall be declared invalid, inoperative or unenforceable by final judgment or decree of a court of competent jurisdiction a such invalidity or unenforceability of such provision shall not affect the remaining parts of this Covenant which are hereby declared by the parties to be severable from any other part which is found by a court to be invalid or unenforceable. o N C Section 10. Time is of the Essence. For each provision of this Covenant which states c°� a specific amount of time within which the requirements thereof are to be satisfied,time shall be N deemed to be of the essence, M o Section 11. Notice. Any notice required to be given under this Covenant shall be v given by the City or by the Owner, as applicable, by personal delivery or by First Class United W States mail at the addresses specified below or at such other address as may be specified in E writing by the patties hereto: rn a If to the City: City of San Bernardino c Attention: City Manager 201 North"E" Street, Suite 301 San Bernardino, California 92401 Phone: (909) 663-1044 v 0 x If to the Owner: w San Bernardino, CA 9240 w Phone(909) E Notice shall be deemed given five (5) calendar days after the date of mailing to the party, or, if personally delivered, when received by the City Manager of the or the Owner, as applicable. Each party may change its address by notifying the other party, in writing, of the patty's new a address. Section 12. Recitals. The Recitals set forth in this Covenant are true and correct and are incorporated herein by this reference. 6 P:\AgendaMgenda Attachments\Eshibits\2010\7.14.101HDC Rehab Loan Maint Cov.Agreementt PacketRg.272 IN WITNESS WHEREOF, the Owner and the City have caused this Covenant to be signed, acknowledged and attested on their behalf by duly authorized representatives in counterpart original copies which shall upon execution by all of the parties be deemed to be one original document,all as of the date first written above. OWNER r _ a� E a Date: By: d E Q Print: �a r _ �o By: co Print: ' CITY d City of San Bernardino ° 6 N _ O U Date: By: N Allen Parker, City Manager M 0 N [ALL SIGNATURES MUST BE NOTARIZED] W E rn Approved as to Form: ti M O By: M City Attorney U N L X W _ d E V R Q 7 NAgendaAAgenda Attachments\Fxhibits1201017.19.101HDC Rehab Loan Maint Cov.Agreementt Packet Pg. 273 QEXHIBIT"A" Legal Description of the Property c a� E _ O E Q _ 2 r U c a d 6 N _ O U N LC1 M r O N Yi w w E L a _ m O J c0 t N U O 2 w x w a: a� E ca a 8 P:\Agendas\Agenda Attachments\Exhibits12010\7.19.10 IHDC Rehab Loan Maint Cov.Agreementt Packet Pg.274 EXHIBIT"L" Promissory Note r _ d E a) E a _ w N O N _ R a m R 0 N C O U N 4n M O N to W 0: E i CL _ 0 J O d U O N x w m E t ca Q 37 P:\Agendas\Agenda Attachments\Agenda Attachments\Agnnts-Amend 2010\7.19.10 IHDC Rehab Loan Program Agreement Packet ft'.275 7.A.h I CITY OF SAN BERNARDINO PROMISSORY NOTE (the "Note") SECURED BY DEED OF TRUST (Deferred Loan - Single Family Residence Rehabilitation Loan Program) NOTE: This Note requires repayment of the principal sum, plus interest, plus attorneys' fees, court costs and other fees and amounts due under this Note and the other City Loan Documents (as defined below) (the "Loan Amount"), if certain events occur. a $((Amount» Place: The City of San Bernardino 201 North "E" Street, Suite 301 San Bernardino, CA 92401 a «NusbandFirstName» «LastName» «WifeFirstName» «LastName» ° ((Address9)) ° y C ((City)) (c State)), ((PostalCode)) Date: (<Date» N FOR VALUE RECEIVED, the undersigned maker ("Maker") jointly and severally M promise(s) to pay to the City of San Bernardino, a municipal corporation (the "City"), or o order, the principal sum of ((Writtenamount)) ($((Amount))), to pay interest on the unpaid N principal amount of this Note and to pay attorneys' fees, court costs, fees and other w amounts due under this Note and the other City Loan Documents (the "City Loan"), as follows: E 0) L a The Note shall have a term of years commencing on the date of o this Note and ending on (the "Maturity Date"). On the Maturity Date, the Loan Amount shall be due and payable by the Maker to the City. s Interest on this Note shall accrue at the rate of Three Percent (3%) simple interest per annum, commencing upon the date of this Note. All payments of principal and all = interest accruing thereon shall be deferred until the occurrence of one of the following w events: (i) a transfer of title to the property (the "Property") securing this Note (as described in the Due on Sale Provisions below) (except for a transfer of title by the Maker w to an approved Successor-In-Interest, by the Maker, within ten (10) years after the execution date of this Note, (ii) the Property is no longer the primary residence of the E Maker, and/or (iii) the Maker refinances the City Loan (the "City Loan Refinancing") evidenced by this Note and secured by the deed of trust with assignment of rents, of even 2 date herewith, as executed and acknowledged by the Maker, as trustor, in favor of the a City, as beneficiary (the "Deed of Trust") and/or the Maker refinances the Senior Loan and secured by the Senior Deed of Trust (the "Senior Loan Refinancing"). :\AgendasWgenda Attachments\Exhibits1201017.19.10 NHSIE Rehab Loan Promissory Note Packet Pg. 276 7.A.h Payments shall be made to the City in lawful money of the United States of America at the principal office of the City, 201 North "E" Street, Suite 301, San Bernardino, California 92401, or at such other place as may from time to time be designated by the City. All payments on this Note shall be applied first to all attorneys' fees, court costs, fees and other amounts due under this Note and under the Deed of Trust, then to the accrued and unpaid interest due on the Note and then to the principal due on this Note. Principal may be prepaid in whole or in part at any time without penalty. a In no event shall the total interest and late charges, if any, payable hereunder exceed the maximum amount of interest permitted under the usury laws of the State of r California. This Note is secured by the Deed of Trust of even date signed by Maker naming the City as Beneficiary, and duly filed for record in the office of the County Recorder of the County of San Bernardino. If this Note is not paid when due, whether at maturity or by acceleration, or if it is o collected through bankruptcy, probate, or other legal or quasi-legal proceeding whether before or after maturity, the Maker agrees to pay all costs of collection, including, but not ci limited to, reasonable attorneys' fees and court costs. N Should the Maker, at any time after the date of this Note, be in default or breach of any of the terms or conditions of any of the following: (i) this Note, (ii) the Deed of Trust, N Ui (iii) the Residential Property Maintenance Agreement Containing Covenants Affecting w o: Real Property (Single Family Residence Rehabilitation Loan Program) (the "Maintenance Agreement"), executed and acknowledged by and between the Maker and the City, (iv) 0) any other instruments, documents or agreements evidencing, securing, guaranteeing or a relating to the loan evidenced by the Note and secured by the Deed of Trust o encumbering the Property (collectively, the "City Loan Documents"), and/or (v) the Senior Loan Documents, or any one of them, the entire unpaid principal balance of this Note, all accrued and unpaid interest thereon and all attorneys' fees, court costs, fees and amounts due under this Note and the other City Loan Documents shall, at o the option of the City, and without demand or notice, become immediately due and = payable. w Due on Sale Provisions: w In the event that the Maker should sell, transfer, or otherwise convey the real property securing this Note, whether voluntarily or by operation of law, or as a result of the death of the Maker, and whether by deed, contract of sale, or otherwise, or the agreement a to do so, at any time within the first ten (10) years after the execution by the Maker of this Note, other than a sale, transfer or conveyance to a Successor-In-Interest who has been approved in writing by the City, or the refinancing by the Maker of the City Loan and/or of the Senior Loan, then all obligations secured by this Note, irrespective of the maturity 2 Packet Pg. 277 dates expressed herein, shall, at the option of the City, immediately become due and payable. In the event that the Property securing this Note which now or hereafter may be encumbered by the Deed of Trust shall cease to be the Maker's primary residence, then all obligations secured by this Note, irrespective of the maturity dates expressed herein, shall, at the option of the City, immediately become due and payable. In the event that the Maker shall further encumber the Property securing this Note, d or otherwise cause a reduction in priority which the Deed of Trust securing this Note a enjoys as of the date of its recordation, then all obligations secured by this Note, irrespective of the maturity dates expressed herein, shall, at the option of the City, r immediately become due and payable. None of the provisions hereof and none of the City's rights or remedies hereunder = on account of any past or future default shall be deemed to have been waived by any a indulgence granted by the City to the Maker. Maker hereby waives demand, protest, and notice of demand and protest, and the o Maker hereby waives, to the extent authorized by law, any and all homestead and other exemption rights that otherwise would apply to the debt evidenced by this Note. v N The Maker has executed this Note as of its date. M 0 "Maker" N vi W E rn L CL c 0 J 61 U N t X W :r C d E s U .r Q 3 Packet Pg.278 1 RESOLUTION NO. 2 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO APPROVING $880,000 IN HOME FUNDS FOR THE HOMEBUYER 3 ASSISTANCE ($800,000) AND HOMEBUYER EDUCATION SERVICES PROGRAM 4 ($80,000); AND AUTHORIZING THE CITY MANAGER TO EXECUTE AN E AGREEMENT BY AND BETWEEN THE CITY OF SAN BERNARDINO AND 5 NEIGHBORHOOD HOUSING SERVICES OF THE INLAND EMPIRE FOR THE a IMPLEMENTATION OF THE HOMEBUYER EDUCATION SERVICES PROGRAM. 6 WHEREAS, the City of San Bernardino (the "City") is an entitlement jurisdiction and 7 8 annually receives certain federal funds under the United States Department of Housing and Urban ra 9 Development's ("HUD") HOME Investment Partnership Act ("HOME") and Community Development Block Grant(CDBG)programs; and 10 - WHEREAS, on May 3, 2010, the Mayor and Common Council adopted Resolution 2010- 11 0 12 100, approving the City's 2010-2015 Consolidated Plan; and N T 13 WHEREAS, on May 7, 2012, the Mayor and Common Council adopted Resolution 2012- c 14 82, approving the 2012-2013 Action Plan that is required to guide and identify needs the City will w 15 address incrementally for the 2010-2015 period; and W 16 WHEREAS, earlier on May 20, 2013, the Council approved and amended the City's 2010- 2015 Consolidated Plan and the 2012-2013 Action Plan by allocating $880,000 of HOME funds for c 17 c the Homebuyer Assistance and Homebuyer Education Program; and o 18 19 WHEREAS, NHSIE Inc., is a non- profit organization that provides a Homebuyer Education 0 20 Services Program and has provided the services in the City and County in the past; and w WHEREAS, under terms of the Homebuyer Education Services Agreement ("Agreement"), a 21 Q NHSIE will provide homebuyer education in home maintenance, homebuyer coaching and literacy = 22 y education, and foreclosure prevention for$80,000; and = 23 0 WHEREAS, the homebuyer assistance program, which provides up to 10% of the home 24 purchase price in downpayment and closing cost assistance, for income eligible households will be 25 administered by Housing Department staff at a budget of$800,000; and 26 Y 27 WHEREAS, in compliance with the California Environmental Quality Act ("CEQA") and Q 28 the National Environmental Protection Act("NEPA") guidelines, the authorization and execution of 1 CAdocuments and settings\han _gi\local settings\temp\minutetraq\sanbemardinocityca @sanbemardinocityca.igm2.com\work\attachments\4859.docx Packet Pg. I this Agreement is determined to be an exempt action pursuant to Section 15332 of the CEQA 2 Guidelines and 24 CFR 58. 34(a)(3) of NEPA Guidelines because the propose action is required for 3 federal programs administration and compliance. E 4 NOW, THEREFORE, BE RESOLVED BY THE MAYOR AND COMMON = as 5 COUNCIL OF THE CITY OF SAN BERNARDINO,AS FOLLOWS: a 6 Section 1. The Mayor and Common Council hereby approves: $80,000 in 7 HOME funds for the Homebuyer Education Service Agreement with NHSIE, Inc. and authorize the 8 City Manager to execute the Agreement; and $800,000 in HOME funds for the Homebuyer a. 9 Downpayment Assistance Program to administered through the City. 10 Section 2. The Mayor and Common Council finds and determines that 6 11 authorization and execution of the Agreement is exempt, pursuant to Section 15332 of the CEQA o v 12 Guidelines and 24 CFR 58. 34(a)(3) of the NEPA Guidelines because the propose action is required 13 for federal programs administration and compliance. N 14 Section 3. This Resolution shall take effect upon its adoption. LU 15 /// w 2 0 16 0 0 17 0 0 0 18 /// "). 0 19 0 20 21 22 23 /// 0 0 m 24 r 25 /// E 26 r a 27 28 2 C\documents and settings\hanna_gi\local settings\temp\minutet raq\sanbernardinocityca@ sanbernardinocityca.igm2.com\work\attachments\4859.docx RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SA 1 BERNARDINO APPROVING $880,000 IN HOME FUNDS FOR THE HOMEBUYE 2 ASSISTANCE ($800,000) AND HOMEBUYER EDUCATION SERVICES PROGRAM ($80,000); AND AUTHORIZING THE CITY MANAGER TO EXECUTE AN AGREEMENT 3 BY AND BETWEEN THE CITY OF SAN BERNARDINO AND NEIGHBORHOO HOUSING SERVICES OF THE INLAND EMPIRE FOR THE IMPLEMENTATION OF E 4 THE HOMEBUYER EDUCATION SERVICES PROGRAM. 5 I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Mayor and Q 6 Common Council of the City of San Bernardino at a meeting w N 7 thereof, held on the day of , 2013,by the following vote to wit: Cn 8 Council Members: Ayes Nays Abstain Absent a 9 MARQUEZ a 10 JENKINS o 11 VALDIVIA o U 12 SHORETT N 13 KELLEY c N 14 JOHNSON w o: MCCAMMACK 15 W 2 0 16 = 0 17 Georgeann Hanna, City Clerk o 0 o w 18 = 0 19 The foregoing resolution is hereby approved this day of 12013 20 W a 21 Patrick J. Morris, Mayor = 22 City of San Bernardino W Fn 23 0 N 24 Approved as to Form: r 25 James F. Penman, City Attorney E U 26 r r+ Q 2�/p/ By: 28 S 3 C:\documents and settings\han _gi\local settings\temp\minutet raq\sanbemardinocityca@ sanbemardinocityca.igtn2.wm\work\attachments\4859.docx Packet Pg. 281 HOME SUBRECIPIENT AGREEMENT FOR HOMEBUYER EDUCATION PROGRAM (Neighborhood Housing Services of the Inland Empire,Inc.) THIS HOME SUBRECIPIENT AGREEMENT FOR HOMEBUYER EDUCATION PROGRAM ("Agreement") is made and entered into this day of May 2013, by and between the City San Bernardino, a municipal corporation (hereinafter referred to as "City"), and Neighborhood Housing Services of the Inland Empire, Inc. ("NHSIE") located at 1390 North "D" Street, San Bernardino, E California 92405. The parties agree as follows: E RECITALS Q _ WHEREAS, the City has received formula HOME Investment Partnership allocation annually from y the federal Department of Housing and Urban Development ("HUD") to carry out eligible activities in Cn accordance with federal program requirements at 24 CFR 92 (the "Program"), and �a WHEREAS, the City desires to allocate the sum of Eighty Thousand Dollars ($80,000) annually, of a. HOME Funds, for a period of three (3) years to NHSIE for the Homebuyer Education Program ("Program") operating expenses,per 24 CFR 92.208(a); and a 0 N WHEREAS, the City desires to execute a three (3) year Program Agreement with NHSIE, renewable v annually subject to the City receiving its annual Federal HOME Grant from HUD; and N tf) WHEREAS, NHSIE is desirous of participating in activities eligible under HOME, and further agrees c that the beneficiaries of its activities under the program and this Agreement, are or will be individuals N or families who meet the income eligibility guidelines at Title 24 CFR part 92.217; and w WHEREAS, the City deems the activities to be provided by NHSIE as consistent with and supportive w of the HOME Program and is consistent with the City's 2010-2015 Consolidated Plan and Housing Element; and E WHEREAS, the City will monitor and administer NHSIE to ensure compliance with all HOME _ Program requirements, and that NHSIE will comply with all program requirements under 24 CFR 92. W co x NOW, THEREFORE, THE PARTIES MUTUALLY AGREE AS FOLLOWS: Z E L CERTIFYING THE NON-PROFIT: Q a� A. Legal Status. The non-profit organization is organized under state or local laws, as evidenced E by a charter or articles of incorporation. No part of its net earnings inure to the benefit of any a member, founder, contributor, or individual, as evidenced by the same. The non-profit 4 organization must have a tax exemption ruling from the Internal Revenue Service ("IRS") under Section 501(c) of the Internal Revenue Code of 1986, as evidenced by a 501(c) certificate from the IRS. Also, the non-profit organization has among its purposes the provision of decent housing that is affordable to low-and moderate-income people, as evidenced by a statement in the organization's charter, articles of incorporation, by-laws or 1 CAdocuments and settings\hanna_gNocal settings\temp\minutetraq\sanbernardinocityca @sanbern dinocityea.igm2.com\work\attachments\4952.docx Packet Pg. 282 resolutions. B. Capacity. The non-profit organization conforms to the financial accountability standards of 24 CFR 84.21, "Standards for Financial Management Systems", as evidenced by a notarized statement by the organization's CEO or president, a CPA or a HUD-approved audit summary. NHSIE has a demonstrated capacity for carrying out activities assisted with HOME Funds and affordable housing programs through the stated experience of key staff members or contract(s) with consultants who have experience with related projects to train key staff. Also, NHSIE has shown a history of serving the community. C. Relationship with For-Profit Entities. NHSIE is not controlled nor receives directions from 0 individuals or entities seeking profit from the organization, as evidenced by the organization's Q by-laws or a memorandum of understanding. NHSIE may be sponsored or created by a for- profit entity, however: r .c 1. The for-profit entity's primary purpose does not include the development or management of housing, as evidenced in its by-laws; and a 2. NHSIE is free to contract for goods and services from vendor(s) of its own choosing, as d evidenced in its by-laws, charter or articles of incorporation. Il. SCOPE OF SERVICES AND COMPENSATION 0 U A. Amount of Grant: Pursuant to the conditions being met in Section I. above, the City agrees ,N to pay Eighty Thousand Dollars ($80,000) (the "Funds") annually subject to federal HOME M funds being available to the City for the Homebuyer Education Program, for a total compensation of Two Hundred Forty Thousand Dollars ($240,000), over a three (3) year w subject to HOME funds approval by HUD and City Council. a B. Use of Grant Funds: The Funds will be used to pay the operating expenses of NHSIE, including, but not limited to, the costs of salaries, wages, and other employee compensation and benefits; employee education, training; rent; utilities; taxes; insurance; equipment; materials and supplies and more specifically, to implement and administer the Homebuyer X Education Program depicted in Exhibit"A"herein. W in 1. Tasks to be performed: NHSIE shall develop, manage and support the Homebuyer ? Education Program for low-and moderate-income households through projects that a, include, but are not limited to, assistance to eligible homebuyers, marketing and a outreach services pertaining to the expansion, improvement, or preservation of low-and moderate-income housing (See Exhibit"A"). E 2. Schedule for Completion of Tasks/Term of Agreement: Upon execution of this Q Agreement, NHSIE agrees to provide the services outlined in the body of this Agreement commencing on May , 2013 through June 30, 2016, subject to and conditioned upon the City receiving its annual allocation of federal HOME funds for the term of this Agreement. Should the City no longer receive federal HOME Funds, particularly during the term of this Agreement, then this Agreement shall terminate and the parties shall have no further obligation to each other relative to this Agreement. 2 C:\documents and settings\harms_gi\local settings\temp\minutetraq\sanbemardinocityca@ sanbemardinocityca.igm2.com\work\attachments\4952.docx Packet Pg:283 7.A.j C. Other Program Requirements NHSIE must carry out each activity in compliance with all federal laws and regulations described in Subpart H of 24 CFR 92 and outlined hereinafter, except that NHSIE does not assume the City's responsibility for environmental review in Section 92.352 or the intergovernmental review process in Section 92.357. These federal laws and regulations must be complied with as follows: a. Equal Opportunity. No person shall be excluded from participation in, be denied the benefits of or be subjected to discrimination under any program or activity funded in whole or in part with HOME Funds. In addition, HOME Funds must be made available in accordance with all laws and regulations listed in Section 92.350(a). Q b. Fair Housing. In accordance with the certification made with its housing strategy, each participating jurisdiction must affirmatively further fair housing. Actions described in Section 570.904(c) of Title II of the Cranston-Gonzales National Affordable Housing Act will satisfy this requirement. c. Conflict of Interest. NHSIE will hereby comply with all requirements set forth regarding conflict of interest provisions as they apply in Section 92.356. a. a� w d. Debarment and Suspension. As required in Section 92.357, NHSIE will comply with a all debarment and suspension certifications. y _ 0 Hold Harmless. NHSIE agrees to indemnify, defend, and save harmless, the City, its officers, agents, and employees from any and all claims and losses accruing or resulting to N NHSIE or any and all contractors, subcontractors, materialmen, laborers and any other person, firm, or corporation furnishing or supplying work, services or supplies in N connection with the performance of this Agreement, and from any and all claims and losses w accruing or resulting to any person, firm, or corporation who may be injured or damaged by W NHSIE in the performance of this Agreement. Without limiting NHSIE's indemnification w of the City, NHSIE shall provide and maintain, at its own expense during the term of this 0) Agreement, the following program(s) of insurance covering its operation hereunder. Such insurance shall be provided by insurer(s) satisfactory to City and evidence of such programs E satisfactory to City shall be delivered to the City Manager or designee within ten (10) days of = the effective date of this Agreement. w General Liability: A program including, but not limited to, comprehensive general liability with a combined single limit of not less than One Million Dollars ($1,000,000) per a occurrence. Such insurance shall be primary to and not contributing with any other insurance maintained by the City, and shall name the City as an additional insured. Such insurance shall require the City be notified at least ten (10) days in advance of any change E or cancellation of said insurance. a r a D. Request for Disbursement of Funds 1. NHSIE may request the Funds monthly at the rate of$6,666.67, educating a minimum of 23 homebuyer($300 per homebuyer), on a reimbursement basis, for eligible costs, on a prorata basis, up to a maximum of Two Hundred Forty Thousand Dollars ($240,000) for the three (3) year term. The amount of each request will be limited to the amount 3 C:\documents and settings\henna_gi\local settings\temp\minutetraq\sanbemardinocityca@ mnbemardilocityca.igm2.com\work\attachments\4952.docx Packet Pg. 284 ., substantiated in the invoices submitted for costs incurred operating the Homebuyer Education Program. E. Records and Reports. 1. The City will require that NHSIE maintain the following records and reports in order to assist the City in meeting its record keeping and reporting requirements: d a. Records, including individual project and construction records and a running log demonstrating compliance with the applicable provisions of Section 92.508(2) of 0 the HOME Investment Partnership Program; and a Y b. Continuing compliance with the HOME Program shall be certified and reported to the City on a quarterly basis to comply with HOME reporting requirements; and rn c. Any other legal reports and/or records requested by the City to document the = provisions of all affordable housing projects or programs. a 54 2. NHSIE shall retain and provide access to all records for the period of five (5) years M from the date of this Agreement in accordance with the requirements of Section 'o 92.508(6)(c) and(d). o U III. GENERAL PROVISIONS: N T A. Enforcement of the Agreement. 0 N 1. The City, at its discretion, may terminate this Agreement, in whole or in part, by giving w NHSIE written notice in accordance with 24 CFR 85.44, which provides in part that suspension or termination may occur if NHSIE materially fails to comply with any term of w this Agreement. aD a m B. Monitoring E 0 x 1. The City, is responsible for managing the day-to-day operations of the HOME program; for w monitoring the performance of all entities receiving HOME Funds from the City to ensure in compliance with the requirements of Subpart K, 24 CFR 92, and for taking appropriate Z action when performance problems arise. a, a 2. Not less than annually, the City will review the activities of NHSIE, to assess compliance with the requirement of Subpart K, 24 CFR 92, as set forth in this Agreement. E U C. Notices. Any notice requirement set forth herein shall be deemed satisfied three (3) days after Q mailing of the notice first-class United States certified mail, postage prepaid, addressed to the appropriate party as follows: NHSIE: Neighborhood Housing Services of the Inland Empire, Inc. C/O Executive Director 1390 North"D" Street San Bernardino, CA 92405 4 CAdocuments and settings\henna_gi\local settings\temp\minutetraq\sanbernardinocityca @mnbernardimcityca.igm2.com\work\attachments\4952.docx Packk Pg.285' i CITY: City of San Bernardino City Manager 201 North"E" Street, Suite 301 San Bernardino, CA 92401 Such addresses may be changed by notice to the other party given in the same manner as provided above. c D. Attorney's Fees. In addition to any other remedies provided hereunder or available pursuant to law, if either party brings an action or proceeding to enforce, protect or establish any right or = remedy hereunder, the prevailing party shall be entitled to recover from the other party its costs of E suit and reasonable attorney's fees. The costs, salary and expenses of the City Attorney and a members of his office in enforcing the Agreement on behalf of the City shall be considered as "attorney's fees" for the purposes of this paragraph. 0 7 E. No Third Parties Benefited. This Agreement is made and entered into for the sole protection rn and benefit of the City, its successors and assigns, and NHSIE, its permitted successors and assigns, and no other person or persons shall have any right of action hereon. a as w F. City to File Notices. NHSIE irrevocably appoints, designates, and authorizes the City, as its agent (said City being coupled with an interest) to file at its option for record any notices of .N completion, cessation of labor, or any other notice that the City deems necessary or desirable to 0 protect its interest hereunder. N G. Actions. The City shall have the right to commence, appear in, or defend any action or M proceeding purporting to affect the rights, duties, or liabilities of the parties hereunder, or the N disbursement of any proceeds of the City allocation of HOME Funds. w H. Successors and Assigns. The terms hereof shall be binding upon and inure to the benefit of the -� successors and assigns of the parties hereto; provided, however, that no assignment of NHSIE's w CD rights hereunder shall be made, voluntarily or by operation of law, without the prior written consent of the City, and that any such assignment without said consent shall be void. 0 1. Construction of Words. Except where the context otherwise requires, words imparting the w singular number shall include the plural number and vice versa, words imparting persons shall = include firms, associations, partnerships and corporations, and words of either gender shall include Z the other gender. E a J. Partial Invalidity. If any provision of this Agreement shall be declared invalid, illegal, or unenforceable, the validity, legality, and enforceability of the remaining provisions hereof shall not E in any way be affected or impaired. w w Q K. Governing Law, This Agreement and any other instruments given pursuant hereto shall be construed in accordance with and be governed by the laws of the State of California and the pertinent HOME regulations. L. Amendment. This Agreement may not be changed orally, but only by agreement in writing signed by NHSIE and the City. 5 C:\documents and settings\harms_gi\local settings\temp\minutetmq\sanbemardinocityca@ sanbcmardinocityca.igm2.com\work\attachments\4952.docx Packet Pg.286 M. Approvals. Where an approval or submission is required under this Agreement, such approval or submission shall be valid for purposes of this Agreement only if made in writing. N. Captions and Headings. Captions and headings in this Agreement are for convenience of reference only, and are not to be considered in construing this Agreement. O. Entire Agreement. This Agreement shall be executed in triplicate, each of which is deemed to be an original. This Agreement is comprised of 7 pages inclusive of Exhibit"A",which constitutes the entire understanding and agreement of the parties. This Agreement integrates all of the terms and conditions mentioned herein or incidental hereto, and supersedes all negotiations or previous E agreements between the parties. a P. Authority. The individuals executing this Agreement and the instruments referenced herein on C behalf of NHSIE each represent and warrant that they have the legal power, right and actual authority to bind NHSIE to the terms and conditions hereof and thereof. R IN WITNESS WHEREOF the parties hereto have caused this Agreement to be executed the day and a year first above written. a� o NHSIE _ Neighborhood Housing Services of the Inland Empire, v Inc., a California non-profit corporation N M 0 By: N Ui Dawn Lee, Executive Director W CITY City of San Bernardino, a municipal corporation E 0 x By: w Allen Parker, City Manager Z E Approved as to Form and Legal Content: Q r c aD E By: James P. Penman, City Attorney a 6 CAdocuments and settings\hanna_gi\local settings\temp\minutetraq\sanbernardinocityca@ sanbemardinocityca.igm2.com\work\attachments\4952.doex Exhibit "A" 1. SCOPE OF WORK A. To provide homebuyer education classes for not less than 227 homebuyer per year as described and detailed in Section 2 below, and to provide homebuyer education classes to homebuyers referred by the City. B. To conduct off-site marketing and outreach of NHSIE's and the City's Homebuyer's Assistance Programs. NHSIE will provide outreach and marketing to both public and private sector entities. a) A total of not less than 9 businesses and/or organizations per year will be targeted. _ d C. To provide City/City with monthly reports detailing participants and families completing the Q Homebuyer Education Program, and the number of families purchasing a home within the City of w San Bernardino. r D. To fund at least 2 loans per month utilizing the City's Homebuyer's Assistance Program and W NHSIE's "Gimme 10" Program, or other programs available to qualified first time homebuyers to _ buy a home in the City of San Bernardino. a a� 2. HOMEBUYER EDUCATION c 0 A. Real Estate,Title and Escrow E. Homeowner's Insurance = ■ Explaining Real Estate Purchase Contract N Different Types of Insurance Companies 0 ■ Contingencies and Counteroffers N Different Types of Insurance Policies ■ Title Report 0 Coverage Needed Before Closing: Basic Five ■ Escrow Disclosures ■ Additional Coverage:Medical,Liability, ■ Escrow Fees Homeowner's Policy,Earthquake and Flood Insurance,etc. uj B. The Mortgage Process W • Types of Mortgage Loans F. Foreclosure Prevention • Getting Pre-qualified and Receiving a Loan 0 Avoiding Late Payments W Commitment ■ Responding to Collection Letters • The 1003 Application ■ Repayment Plans,Forbearances and Loan • Good Faith Estimate Modifications E E ■ Alternatives to Foreclosure = C. Home Inspections w ■ What is a Home Inspection? G. Fair Housing and Predatory Lending ■ Difference between an Inspection Report 0 Predatory Lending Z and an Appraisal 0 Fair Housing: Know Your Rights • Selecting a Home Inspector c • Addressing Health and Safety Issues H. Community Empowerment and Civic Participation .r ■ Getting Involved in Your Community y D. Home Maintenance and Preventative Care E Community Involvement Activities E ■ The Value of Home ■ Neighborhood Watch Programs Maintenance r ■ Basic Tools and Equipment for Maintenance ■ Heat,Venting and Air Conditioning ■ Plumbing System,Water Supply,Drains ■ Home Cleaning Methods 7 C:\docmnents and settings\hanna gAlocal settings\temp\minutetraq\sanbernardit wcityca @sanbemardinocityca.igm2.com\work\attachments\4952.docx 7.A.j w. c (D E a� E a a d .p to C O U N lf) M r O N C6 W W L CD CD E O W In Z E Q E S v co r Q 8 C:\documents and settings\hanna_gi\local settings\temp\minutetraq\sanbemardinocityca@ sanbernardinocityca.igm2.com\work\attachments\4952.docx Packet Pg.289 I RESOLUTION NO. 2 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO APPROVING AND AUTHORIZING THE CITY 3 MANAGER TO EXECUTE AN AGREEMENT BY AND BETWEEN THE 4 CITY OF SAN BERNARDINO AND NEIGHBORHOOD HOUSING E SERVICES OF THE INLAND EMPIRE FOR THE IMPLEMENTATION OF 5 THE MOBILE HOME GRANT REPAIR PROGRAM IN THE AMOUNT OF a $80,000 IN HOME PARTNERSHIP ACT FUNDS R 6 c WHEREAS, the City of San Bernardino (the "City") is an entitlement jurisdiction and W 7 8 annually receives certain federal funds under the United States Department of Housing and Urban 9 Development's ("HUD") HOME Investment Partnership Act ("HOME") and Community Development Block Grant(CDBG)programs; and 10 _ WHEREAS, on May 3, 2010, the Mayor and Common Council of the City of San 11 0 12 Bernardino ("Council") approved the City's 2010-2015 Consolidated Plan; and N In WHEREAS, on August 7, 2012, the Council approved the 2012-2013 Action Plan that is M 13 0 required to guide and identify needs the City will address incrementally for the 2010-2015 period; N 14 W and 15 W 16 WHEREAS, earlier on May 20, 2013, the Council approved and amended the City's 2010- 2015 Consolidated Plan and the 2012-2013 Action Plan by allocating $80,000 of HOME funds for o 17 0 the Mobile Home Grant Repair Program; and 18 WHEREAS, Neighborhood Housing Services of the Inland Empire Inc. (NHSIE), is a non- 19 profit organization that provides Mobile Home Repair services and has provided the services in the 20 0 City and County for several years; and 21 c WHEREAS, under terms of the Agreement, NHSIE will provide repairs such as but not M 22 W F5 limited to plumbing, minor electrical repair, replacing of doors, screens and window glasses; and = 23 Z 0 24 WHEREAS, in compliance with the California Environmental Quality Act ("CEQA") and the National Environmental Protection Act ("NEPA") guidelines, the authorization and execution of r- 25 5 26 this Agreement is determined to be an exempt action pursuant to Section 15332 of the CEQA r 27 Guidelines and 24 CFR 58. 34(a)(3) of NEPA Guidelines because the proposed action is required for a 28 federal programs administration and compliance. 1 C:\documents and settings\hanna_gAlocal settings\temp\minutetraq\sanbermrdinocityca@ sanbemardnwcityca.igm2.com\work\auachments\4860.docx Packet PO.290 El M 1 NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COMMON 2 COUNCIL OF THE CITY OF SAN BERNARDINO,AS FOLLOWS: 3 Section 1. The Council hereby approves $80,000 in HOME funds for the E 4 implementation of the Mobile Home Grant Repair Program with NHSIE, Inc., and authorizes the = as 5 City Manager to execute the Agreement. Q 6 Section 2. The Council finds and determines that authorization and execution of the c 7 Agreement is exempt, pursuant to Section 15332 of the CEQA Guidelines and 24 CFR 58. 34(a)(3) 8 of the NEPA Guidelines because the proposed action is required for federal programs administration o. 9 and compliance. 10 Section 2. This Resolution shall take effect upon its adoption. 0 11 /// o U 12 /// N 13 N 14 /// w 15 /// w 2 16 /// _ 0 0 17 0 0 18 c �a L 19 d E 20 /// d 21 c 2 22 /// W x 23 /// z 0 rn 24 r C 25 E t 26 a 27 28 2 C:\documents and settings\hanna g local settings\temp\minutet raq\sanhernardinocityca @sanbemardinocityca.igm2.com\work\attachments\4860.docx 1 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO APPROVING AND AUTHORIZING THE CITY 2 MANAGER TO EXECUTE AN AGREEMENT BY AND BETWEEN THE CITY OF SAN BERNARDINO AND NEIGHBORHOOD HOUSING 3 SERVICES OF THE INLAND EMPIRE FOR THE IMPLEMENTATION OF THE MOBILE HOME GRANT REPAIR PROGRAM IN THE AMOUNT OF E 4 $80,000 IN HOME PARTNERSHIP ACT FUNDS 5 Q 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 meeting 8 thereof,held on the day of , 2013,by the following vote to wit: �a 9 Council Members: Ayes Nays Abstain Absent 0- m 10 MARQUEZ 0 11 JENKINS 0 12 VALDIVIA N T SHORETT M 13 0 KELLEY N 14 w JOHNSON 15 w MCCAMMACK 2 16 z 0 0 17 0 18 Georgeann Hanna, City Clerk L 19 m The foregoing resolution is hereby approved this day of , 2013 c 20 0 d 21 0 22 Patrick J. Morris, Mayor Fn City of San Bernardino = 23 Z 0 24 Approved as to Form: c 25 26 James F. Penman w 27 City Attorney a 28 3 CA—ments and settings\hanna gNocal settings\temp\minutetraq\sanbemardinocityca@ sanbemardinocityca.igm2.com\work\attachments\4860.docx ` CITY OF SAN BERNARDINO MOBILE HOME GRANT PROGRAM THIS AGREEMENT FOR THE MOBILE HOME GRANT PROGRAM is made and entered into this 20th day of May 2013, by and between the NEIGHBORHOOD HOUSING SERVICES OF THE INLAND EMPIRE, INC., a California non-profit corporation (the "CONTRACTOR") and THE CITY OF SAN BERNARDINO (the "City") and is related to the facts set forth in the following RECITALS: _ d 1. The City has established housing improvement programs known as the "Mobile a Home Grant Program" (the "Program"). c 2. The purpose of the Program is to provide low-moderate-income homeowners (the "Qualified Homeowners") who reside in the City of San Bernardino (the "City"), co with a special source of grant funds to undertake certain mobile home rehabilitation = and correction work (including asbestos, and lead containing materials abatement a work, handicap accessibility improvements and building code deficiency corrections and certain exterior landscape and structural beautification improvements of mobile home residential dwelling units. o c 3. The Program promotes and expands the supply of affordable housing in the City and °> fosters the elimination and prevention of blight. N M 4. In order to administer and operate the Program the City desires to extend to the N CD CONTRACTOR Agreement for a three (3) years, subject to annual funding vi availability and the City hereby allocates the total sum of for the Mobile Home UJ Grant Program to be funded from the City's HOME Program. E a� NOW, THEREFORE, IT IS MUTUALLY AGREEMENT BY AND BETWEEN THE a. PARTIES AS FOLLOWS: E O Section 1. DEFINITIONS OF CERTAIN TERMS. In addition to the words and phrases, which are defined in the Recitals of this Agreement, the following words and terms shall 0 have the meaning set forth below: w x • "Program Boundaries" means and refers to specific neighborhoods or areas in the z r City, which the City has instructed CONTRACTOR to offer the Programs to E Qualified Homeowners and also on a Citywide basis. During the term of this <t Agreement and until receipt of further instruction by CONTRACTOR from the City c Manager, or authorized representatives, all Program Grants shall be originated for E Qualified Homeowners who reside in the City. w a • "City Manager" means and refers to the City Manager and authorized representatives. • "Home" means and refers to the land and the mobile home dwelling unit in which the Qualified Homeowner resides as its principal residence. 1 C:\documents and settings\ham _gi\local settings\temp\minutetraq\sanbernardinocityca@ sanbernardinocityca.igm2.com\work\attachments\4953.docx Pa6ket P .293 7.A.1 • "Program Grant Applicant" means and refers to the written application for a Program Grant, which has been signed by the Qualified Mobile Homeowner and verified by the CONTRACTOR to be complete. • "Mobile Home Grant Application" means and refers to a completed written application for a Program Grant, which has been executed by a Qualified Homeowner. Each Program Grant Application shall contain the information relating to the Qualified Homeowner and the proposed use of the Program Grant proceeds by the Qualified Homeowner together with a current preliminary title report or other Q proof of title acceptable to the City. The CONTRACTOR shall require all Qualified Homeowners to complete the application for the Program similar to the application attached hereto and incorporated by reference as Exhibit"D." U) • "Program Grant Disbursement Account" means and refers to the custodial deposit c account, which the CONTRACTOR shall establish with an FDIC-insured depository a institution for the receipt and disbursement of all City Fund proceeds under a Program Grant. Such deposit account agreement among the CONTRACTOR, the City and such depository institution shall be in a form and substance as reasonably .o satisfactory to the City. No other funds of the CONTRACTOR shall be deposited or o co-mingled in the Program Grant Disbursement Account. The CONTRACTOR shall serve as the trustee of the City in the administration of all City Funds or deposit in N the Program Grant Disbursement Account, including any interest as may accrue M thereon. N • "Program Grant Documents" means and refers collectively to each of the following documents executed by the Qualified Homeowner: (i) the Program Grant E Application; (ii) the Program Grant Agreement and the customary consumer grant 2 term disclosure documentation; E 0 The general form of Program Grant Documents (ii), and (iii), which shall be = completed and used in each Program Grant transaction are on file with the City and Z CONTRACTOR. 2 W • "Qualified Homeowner" means and refers to (1) a person or household which owns = and occupies a mobile home dwelling unit (a "Home") as its principal residence Z within the City for at least twelve (12) continuous months preceding the date of E, submission of its Mobile Home Program Grant Application to the CONTRACTOR; Q (2) has a personal or household income level, adjusted for family size, during the twelve (12) months preceding the date of submission of its Grant Application to the E City within the ranges of income for low- and moderate-income households, adjusted for family size, as set forth in Exhibit"A." a • HOME INVESTMENT PARTNERSHIPS PROGRAM ("HOME PROGRAM") as set forth at 24 Code of Federal Regulations, part 92, et. Seq., which will be used by the City to fund this Agreement, specifically, $80,000 annually for mobile Home Grant Program (the "City Mobile Grant Program"), to be offered by the 2 CAdocuments and settings\hanna_gNocal settings\t emp\minutetraq\sanbernardinocityca@ sanbernardinocityca.igm2.com\work\anachments\4953.docx Packet Pg. 294 CONTRACTOR to Qualified Homeowners who earn less than 80% of the current annual median income for the San Bernardino County area, adjusted for family size as published by the U.S. Department of Housing and Urban Development (HUD) as further illustrated in Exhibit "A" of this Agreement ("2013 Income Limits") and are subject to annual adjustments. w • "Services" means and refers to the Program Grant origination, City Fund disbursement control and related accounting and Work monitor (course of = construction builder contract) services to be provided by the CONTRACTOR to the City. The various elements of the Services are more fully set forth in the "Scope of Q Services" attached hereto as Exhibit"C." t° r • "Work" means and refers to the mobile work to be performed by a state-licensed general CONTRACTOR on each Home pursuant to the terms of a written agreement co by and between the Qualified Homeowner and such general CONTRACTOR. Only the items of Work set forth in such a contract shall be authorized for payment by the a CONTRACTOR, up to the maximum amount authorized under the terms of the Program Grant for such Work. Any costs of Work in excess of the maximum amount of the Program Grant (which are not the fault of such general o CONTRACTOR) shall be paid for by the Qualified Mobile Homeowner unless o approved in writing by the City Manager or authorized designee. v N Section 2. SERVICES OF CONTRACTOR. The City agrees to contract with the L M CONTRACTOR to perform the Services and the CONTRACTOR hereby agrees to accept such N contract and to perform the Services as set forth herein. vi W X Section 3. SCOPE OF SERVICES. CONTRACTOR agrees to provide the Services to E the City as set forth herein and as described in the Scope of Services attached as Exhibit "C" for the 0 Program. Promptly following the date of approval of this Agreement by the governing board of the a. a) City the CONTRACTOR shall or will continue to: o x (1) cause the Program Grant Disbursement Account to be established, or maintained, and the general form of an FDIC - insured deposit account agreement acceptable to the City 0 to be fully executed by the CONTRACTOR, the depository institution and the City within w_ thirty(30) days following the date of approval of this Agreement; N Z (2) continue to use the general form of a Program Grant Application for general use in a� connection with the Services and the origination of Program Grant as previously provided Q by the City. The CONTRACTOR shall designate a title insurance company acceptable to the City,which shall coordinate the issuance of a lender's policy of title insurance in favor of E the City at the time of recordation of the deed of trust under the Program Grant; w a (3) subject to the completion of the tasks described in paragraphs (1) and (2) above, continue the process of receiving and reviewing Program Grant Applications and provide the Services in accordance with the Scope of Services; 3 CAdocuments and settings\hanna_gi\local settings\temp\minutetraq\sanbernardinocityca@ sanbemardinocityca.igm2.com\work\attachmems\4953.docx Packet Pg.295 (4) transmit a copy of a completed set of Program Grant Documents, together with a recommendation of the CONTRACTOR to fund such Program Grant and a request for a transfer of City Funds for the account of the Qualified Homeowner, to the City Manager for authorization for funding. The City Manager shall either authorize the funding of such Program Grant or reject the request for funding on behalf of the City within ten (10) days of receipt from the CONTRACTOR. Any rejection of a Program Grant, Application shall be in writing and state the reasons for such action. Each acceptance of a Program Grant Application by the City shall be evidenced by the signature of the City Manager on the Program Grant Document. All Program Grant Documents shall be completed by the Qualified Homeowner and the CONTRACTOR, and the disbursement of City Funds on a each Program Grant shall occur within sixty (60) days following the date of submission of the funding request to the City Manager, or the Program Grant Agreement shall be of no further force or effect; co (5) no fees, charges or expenses shall be payable by any applicant for a Program Grant to the CONTRACTOR, except from City Funds, nor shall the CONTRACTOR charge a n Qualified Homeowner for any cost or service in connection with the origination or subsequent administration of a Program Grant during the time Work is performed at the Home, except for the Maintenance Class fee; or as authorized under the Program by the City o Manager = 0 U (6) instruct the City Manager to transfer City Funds for the account of each Qualified N Homeowner to the Program Grant Disbursement Account as set forth in subparagraph (5), M above, upon confirmation by the CONTRACTOR that Program Grant Documents for the N Program Grant are complete and The CONTRACTOR shall coordinate the issuance of the vi policy of title insurance in favor of the City by the title insurance copy with the recordation of the deed of trust; E E L (7) deliver a fully executed original set of Program Grant Documents for each Program o. Grant to the City upon request of funding and transfer of City Funds for the account of the E Qualified Homeowner to the Program Grant Disbursement Account; x0 d (8) verify that no City Funds are disbursed from the Program Grant Disbursement 0 Account for the account of a Qualified Homeowner except: (i) to pay a state-licensed w general CONTRACTOR for Work performed at the Home pursuant to a written agreement between such CONTRACTOR and the Qualified Homeowner (less a 10% retention pending Z completion of the Work and final release of all mechanics and materials liens); and no E disbursement of City Funds from the Program Grant Disbursement Account shall be Q authorized for any building materials or equipment items which are not physically delivered at the Home before the date of payment of such City Funds to the general CONTRACTOR; E or (ii) to pay a Program Grant title fee or cost amount expressly authorized in writing by the City Manager ; Q (9) prepare and maintain an City Funds disbursement ledger for all payments authorized and made by the CONTRACTOR to general CONTRACTORS for the account and debit to each Qualified Homeowner under each Program Grant. Such ledger shall show each 4 CAdocuments and settings\hanna gi\local settings\temp\minutetraq\sanbernardinocityca @sanbemardinocityca.igm2.com\work\attachments\4953.doex Pack',et Pg.296 payment by date and reference the particular Program Grant to which it corresponds. Such ledger shall also include a monthly starting and ending balance for the Program Grant Disbursement Account, a final reconciliation of the adjusted balance of each Program Grant upon the completion of the Work, and such other accounting information as City Manager may request. A copy of such ledger shall be submitted to the City Manager each month with the first such monthly submittal due on the first day of the next month following the date of the initial deposit of City Funds into the Program Grant Disbursement Account. (10) No Work shall be authorized for payment by the CONTRACTOR unless the Program Grant Documents are complete and the CONTRACTOR has received a fully a executed copy of the contract by and between the general CONTRACTOR and the Qualified Homeowner. Once the Work has commenced on a particular Home, neither the Qualified Homeowner nor the general CONTRACTOR shall authorize an amendment or modification of such contract to include any item of Work, which is not eligible for payment using City Funds under the terms and conditions of the Program and the Program Grant. Each such contract by and between the general CONTRACTOR and the Qualified Homeowner shall a include a section, which recites the words of the first two (2) sentences of this paragraph (10). a .o Section 4. TIME OF PERFORMANCE OF SERVICES. The Services to be = performed hereunder by the CONTRACTOR shall be undertaken and completed in such sequence L) as to assure expeditious completion and best carry out the purposes of the Program and this N Agreement. All Services required hereunder shall begin upon the execution of this Agreement. M Section 5. TERM OF AGREEMENT. This Agreement shall take effect upon N vi approval by the Mayor and Common Council and the complete execution by the parties. The W Agreement shall remain in effect through June 30, 2016. E a� L Section 6. COMPENSATION PAYABLE BY CITY TO CONTRACTOR. a. 0 E (a) The City shall compensate CONTRACTOR for the performance of the Services X using City funds in accordance with the following schedule: 0 $8,000 Program Administration for CONTRACTOR *) W x $72,000 Mobile Home Grant Program (HOME Fund) Z w E 80 000 a c (b) Program Administration sums payable by the City to the CONTRACTOR as E compensation for Services shall be paid by the City directly to the CONTRACTOR, payable in twelve (12) equal monthly installments of$666.67 during the Term of this Agreement. Q (c) Payment for Services will be made by the City as of the first day of each calendar month with the first such payment due on the first day of the next calendar month following the date of the complete execution of the Agreement by the parties. 5 C:\documents and settings\hanm_gi\local settings\temp\minutetraq\sanbernardinocityca@ mnbemardinocityca.igm2.com\work\attachments\4953.docx Packet Pg,29? ' Section 7. PERSONNEL OF CONTRACTOR. CONTRACTOR represents that it has, or will secure at its own expense, all personnel required to perform the Services. All of the Services required hereunder will be performed by persons who are either employed by or under the supervision and control of the CONTRACTOR, and all personnel engaged in the Services shall be fully qualified to perform such Services. Section S. INDEPENDENT CONTRACTOR. All acts of CONTRACTOR and all others acting on behalf of CONTRACTOR relating to the performance of this Agreement, shall be performed as independent CONTRACTORS and not as agents, officers, or employees of City. CONTRACTOR has no authority to bind or incur any obligation on behalf of City. Q CONTRACTOR has no authority or responsibility to exercise any right or power vested in the City. No agent, officer, or employee of the City shall be considered an employee of CONTRACTOR. It is understood by both CONTRACTOR and City that this Agreement shall not under any circumstance be construed or considered to create an employer-employee relationship or a joint venture as between the CONTRACTOR and the City. CONTRACTOR is and at all times during the Term of this Agreement shall represent and conduct itself as an independent CONTRACTOR a and not as an employee of the City. CONTRACTOR shall be responsible to the City only for the requirements and results specified in this Agreement, and except as expressly provided in this Agreement, shall not be subject to control by the City with respect to the physical action or o activities of CONTRACTOR in fulfillment of this Agreement. CONTRACTOR has control over c the manner and means of performing the Services under this Agreement so long as consistent with c°� the requirements of the Program. CONTRACTOR is permitted to provide services to others during N the same period Services are provided to the City under this Agreement. If necessary, M CONTRACTOR has the responsibility for employing other persons or firms to assist N CONTRACTOR in fulfilling the terms and obligations under this Agreement. If in the performance vi of this Agreement any third persons are retained as subcontractors by CONTRACTOR, such persons shall be entirely and exclusively under the direction, supervision, and control of CONTRACTOR. All terms of employment including hours,wages, working conditions, discipline, hiring, and discharging or any other term of employment or requirements of law shall be determined a by the CONTRACTOR. CONTRACTOR hereby agrees to indemnify, defend (if requested by o City), and hold the City harmless from any and all claims that may be made against the City or z based upon any contention by any employee of CONTRACTOR or by any third party that an employer-employee relationship exists between person and the City, by reason of the performance 0 of any of the Services under this Agreement. w Section 9. PAYMENT OF AND TRANSFER OF CITY FUNDS TO PROGRAM z ar GRANT DISBURSEMENT ACCOUNT. The City shall promptly honor each request by the E CONTRACTOR for the City to transfer City Funds to CONTRACTOR who will in turn deposit Q City Funds to the Program Grant Disbursement Account to fund each completed Program Grant as submitted by the CONTRACTOR under Section 3(5). Within ten (10) days following receipt of E each request for remittance of City Funds, the City shall transfer by bank check to the CONTRACTOR such City Funds to use as provided herein. a 6 C documents and settings\harms_gi\local settings\temp\minutetmq\sanberrwdinocityca@ sanbemardinmityca.igm2.com\work\attachments\4953.docx Packet Pg. 298 7.A.1 Section 10. COMMERCIAL GENERAL LIABILITY INSURANCE AND WORKMANS' COMPENSATION INSURANCE. (a) The CONTRACTOR shall obtain and keep in force during the term of this Agreement a commercial general liability policy of insurance with coverage at least as broad as "Insurance Services Office Commercial General Liability Form (G0001)", including but not limited to insurance against assumed contractual liability under this Agreement protecting the City, its E officers, attorneys, employees and agents, as additional insureds against claims for bodily injury, personal injury and property loss or damage based upon, involving or arising out of the Services provided by the CONTRACTOR. Such insurance shall be on occurrence basis providing single a limit coverage in an amount not less than One Million Dollars ($1,000,000) in the event of bodily injury, personal injury and property loss or damage to any number of persons per occurrence. All insurance to be carried by the CONTRACTOR shall be primary to and not contributing to any single insurance carried by the City whose insurance shall be considered excess insurance only. co (b) To the extent required by the law, the CONTRACTOR shall carry and maintain a workers' compensation or similar insurance in form and amounts required by law. M (c) All insurance which the CONTRACTOR shall carry or maintain pursuant to this o Section 10 shall be in such form, for such amounts, for such periods of time as the City may require c or approve and shall be issued by an insurance company or companies authorized to do business in California and which maintains during the term of the policy a"General Policy Holder's Rating" of N at least A (v), as set forth in the most current edition of "Best's Insurance Guide". In no M circumstance will the CONTRACTOR be entitled to assign to any third party rights of action, N which the CONTRACTOR may have against the City. All policies or endorsements issued by the vi respective insurers for commercial general liability insurance will name the City, its officers, W attorneys, employees and agents, as additional insureds and provide that: (i) any loss shall be E notwithstanding any act or failure to act or negligence of the CONTRACTOR or the City or any other person; (ii) no cancellation, reduction in amount, or material change in coverage thereof shall a be effective until at least thirty(30) days after receipt by the City of written notice thereof, and (iii) o the insurer shall have no right of subrogation against the City, its officers, agents, attorneys, or = employees. 0 (d) The CONTRACTOR shall deliver or cause to be delivered to the City concurrently W upon the execution of this Agreement an endorsement of its commercial general liability insurance policy evidencing the existence of the insurance coverage required by the City and shall also z deliver, no later than thirty (30) days prior to the expiration of any such policy, a certificate of a� insurance evidencing each renewal policy covering the same risks. a c Section 11. INDEMNIFICATION. CONTRACTOR shall indemnify (if requested by E City), defend and hold harmless the City, its officers, attorneys, agents and employees, from and against any and all claims, loss, demands and liability for damages for personal injury or property a damage suffered by reason of any act or omission of CONTRACTOR or CONTRACTOR'S employees, volunteers, agents or CONTRACTORS. City shall indemnify, defend (if requested by CONTRACTOR) and hold harmless the CONTRACTOR, its officers, and employees, from all claims, loss, demands and liability for damages for personal injury or property damage suffered by reason of any act or omission of the City or any of its officers or employees or agents, except where 7 CAdocuments and settings\ha _gi\local settings\temp\minutetraq\sanbernardinocitycaLsanbernardinocityca.igm2.com\work\attwinnents\4953.docx Packet Pg. 299 7.A.1 such action or omission giving rise to such a claim is caused by or is the result of an action, omission or request of CONTRACTOR or CONTRACTOR'S officers, or employees, or is alleged to arise out of the execution of this Agreement. The provisions of Section 11 shall survive the expiration or early termination of this Agreement. Section 12. DEFAULTS AND BREACH - GENERAL. Failure or delay by either Y party to perform any material term or provision of this Agreement shall constitute a default hereunder;provided however,that if the party who is otherwise claimed to be in default by the other = party commences to cure, correct or remedy the alleged default within thirty (30) calendar days E after receipt of written notice specifying such default and shall diligently complete such cure, a correction or remedy, such party shall not be deemed to be in default hereunder. The party, which may claim that a default has occurred, shall give written notice of default to the party in default, specifying the alleged default. Delay in giving such notice shall not constitute a waiver of any default nor shall it change the time of default; provided, however, the injured party shall have no ran right to exercise any remedy for a default hereunder without delivering the written default notice as = specified herein. Any failure to delay by a party in asserting any of its rights and remedies as to any a default shall not operate as a waiver of any default or of any rights or remedies associated with a default, and the rights and remedies of the parties are cumulative and the exercise by either party of one or more of such rights or remedies shall not preclude the exercise by it, at the same or different o times, of any other rights or remedies for the same default or any other default by the other party. c In the event that a default of either party may remain uncured for more than thirty (30) calendar c°� days following written notice, as provided above, a "breach" shall be deemed to have occurred. In N the event of a breach, the party who is not in default shall be entitled to terminate this Agreement M and seek any appropriate remedy or damages by initiating legal proceedings. If any action or N proceeding is brought to enforce the terms hereof or declare rights hereunder, it shall be brought in the Superior Court of the County of San Bernardino, San Bernardino District, State of California. o! The governing law to be applied in any such action or proceeding shall be the law of the State of a E California. The prevailing party in any such legal proceedings shall be entitled to recover as an , element of its costs of bringing such suit, and not as part of its damages, its reasonable attorneys' a. fees and costs. The costs, salary and expenses of the City Attorney and members of his office in E such action or proceeding on behalf of the City shall be considered as "attorneys' fees" for purposes = of this Section. 0 Section 13. NONDISCRIMINATION. During CONTRACTOR'S performance of the w Services, CONTRACTOR shall not discriminate on the grounds of race, religious creed, color, national origin, age, ancestry, physical handicap, medical condition, marital status, sex, or sexual z orientation in the selection and retention of employees and subcontractors and the procurement of a� materials and equipment, except as provided in Section 12940 of the California Government Code. a c Section 14. CONFLICT OF INTEREST. CONTRACTOR warrants, by execution of E this Agreement, that it has no interest, present or contemplated, in any Program Grant or R Beautification or Mobile Home Grant or any Home benefited thereby or Work performed on any a Home using a Program Grant. CONTRACTOR further warrants that it owns or possesses no interest in real property, business interests or owner of income (other than such amounts of compensation payable by the City to CONTRACTOR for the Services under this Agreement) that will be affected by the Program or, alternatively, if such interest exists or arises the CONTRACTOR will promptly file with the City an affidavit disclosing any such interest. 8 CAdocuments and settings\harms_gi\local settings\temp\minutet raq\sanbernardinocityca @sanbemardinocityca.igm2.com\work\attachments\4953.docx Packet Pg. 300 Section 15. AMENDMENTS. All amendments to this Agreement shall be subject to the approval of both parties in the sole discretion of each of them, mutual and in writing. The City Manager is authorized to make non-substantive changes, clarifications, corrections to the Agreement, including budget line item adjustments, provided such actions are approved by City Attorney and do not increase the City's monetary annual appropriation to the CONTRACTOR as approved by the Mayor and City Council. E c Section 16. TERMINATION. E a (a) This Agreement may be terminated for any reason by either party who is not then in default upon ten (10) days' prior written notice to the other party. In such event, the CONTRACTOR shall be entitled to receive compensation for Services pro-rated through the date of such termination, provided that the Services have been rendered. in (b) In the event of a termination of the Agreement as a result of a breach, the rights and a duties of the parties shall be as set forth in Section 12. �o (c) In the event of any termination of this Agreement, CONTRACTOR shall promptly o return all Program Grant Disbursements to the City without charge or expense to the City. _ 0 U Section 17. ASSIGNMENT. It is mutually understood and agreed that this Agreement N shall be binding upon the City and its successors and upon the CONTRACTOR and its successors. T Neither this Agreement, nor any part thereof, nor monies due or to become due thereunder, may be assigned by the CONTRACTOR without the prior written consent and approval of the City. The N N City and the CONTRACTOR hereby agree to the full performance of the covenants contained W herein. E a� L Section 18. NOTICES. Delivery of any notice, bill, invoice or report required by this a Agreement shall be sufficient if sent by one party to the other in the United States mail, postage E prepaid,to the address noted below: x0 d City Contractor 0 City of San Bernardino Neighborhood Housing Services of w Cn Attention: City Manager the Inland Empire, Inc. Z 201 North"E" Street, Suite 301 Attention: Executive Director San Bernardino, California 92401 1390 North"D" Street a San Bernardino, California 92405 Phone: (909) 884-6891 Fax: (909) 884-6893 t a 9 CAdocuments and settings\hanna_gNocal settings\temp\minutetraq\sanbemardinocityca @mnbernardinocityca.igm2.com\work\attachments\4953.docx E � T�v Section 19. REPRESENTATION AND WARRANTY OF CONTRACTOR. The CONTRACTOR hereby represents and warrants to the City as follows: (i) CONTRACTOR is a California nonprofit corporation duly organized, existing, and authorized to transact business in California; d (ii) the corporate charter and by-laws of the CONTRACTOR authorize the CONTRACTOR to provide the Services to the City and the governing board and membership of CONTRACTOR have previously taken all action necessary to authorize the execution of this Q Agreement by the CONTRACTOR; c (iii) the CONTRACTOR is qualified to perform the Services. Section 20. OTHER PROGRAM REQUIREMENTS. a 1. CONTRACTOR must carry out all activities in compliance with all federal laws and regulations described in Subpart H of 24 CFR 92 and outlined hereinafter, except that CONTRACTOR does not assume the City's responsibility for environmental review in Section o 92.352 or the intergovernmental review process in Section 92.357. These federal laws and c regulations must be complied with as follows: v N a. Equal Opportunity. No person shall be excluded from participation in, be denied M the benefits of, or be subjected to discrimination under any program or activity N funded in whole or in part with HOME funds. In addition, HOME funds must be vi made available in accordance with all laws and regulations listed in Section W 92.350(a). E as L b. Fair Housing. In accordance with the certification made with its housing a strategy, each participating jurisdiction must affirmatively further fair housing. o Actions described in Section 570.904(c) of Title 11 of the Cranston-Gonzales z National Affordable Housing Act will satisfy this requirement. 2� 0 c. Affirmative Marketing. CONTRACTOR must adopt affirmative marketing w procedures and requirements for HOME-assisted housing projects of five (5) Fn units or more, if applicable. These must include: Z w E 1. Methods for informing the public; a c 2. Requirements and practices that CONTRACTOR must adhere to in order to E carry out the City affirmative marketing procedures and requirements; w 3. Procedures used by CONTRACTOR to inform and solicit applications from a persons in the housing market area who are not likely to apply without special outreach; 10 CAdocuments and settings\hang_gi\local settings\temp\minutetraq\mnbemardinocityca@ sanbemardinocityca.igm2.com\work\attachments\4953.docx Packet Pg.302 4. A description of how CONTRACTOR will assess the success of affirmative marketing actions and what corrective actions will be taken where affirmative marketing requirements are not met. d. Displacement, Relocation, and Acquisition. Consistent with the other goals and objectives of this Subpart H of 24 CFR 92, CONTRACTOR must ensure that it has taken all reasonable steps to minimize the displacement of persons (families CD and individuals) as a result of any project assisted with HOME funds. Moreover, CONTRACTOR agrees that it will not undertake any project activity that will cause displacement of any homeowner in accordance with Section 92.353, a without the approval of the City. iE >_ w e. Conflict of Interest. CONTRACTOR will hereby comply with all requirements set forth regarding conflict of interest provisions as they apply in Section 92.356. f. Debarment and Suspension. As required in Section 92.357, CONTRACTOR a will comply with all debarment and suspension certifications. w g. Flood Insurance. Under the Flood Disaster Protection Act of 1973, HOME funds o may not be used with respect to the acquisition or rehabilitation of a project located in an area identified by the Federal Emergency Management City (FEMA) as having special flood hazards,unless: N M 1. The community in which the area is situated is participating in the National Flood Insurance Program, or less than a year has passed since FEMA N N notification regarding such hazards; and 2. Flood insurance is obtained as a condition of approval of the commitment. If E, the unit is located in an area identified by FEMA as having special flood a hazards, upon notification by the City or FEMA, CONTRACTOR is o responsible for assuring that flood insurance under the National Flood = Insurance Program is obtained and maintained on each unit assisted with Grant Funds. 0 5- W Section 21. PROGRAM GRANTS AND PROGRAM GRANT DOCUMENTS ARE THE PROPERTY OF THE CITY. Each Program Grant is the property and asset of the z City. The CONTRACTOR has no property interest in any such Program Grant and the E CONTRACTOR shall not transfer, assign or pledge as collateral or claim any other security interest in any such Program Grant. All of the Program Grant Documents are the property of the City, and c the CONTRACTOR shall maintain all such Program Grant Documents in its possession as E confidential consumer business records of the Qualified Homeowner and the City and upon the conclusion of this Agreement, all such Program Grant Documents shall be delivered by the .2 CONTRACTOR to the City. All City Funds deposited with the CONTRACTOR who will deposit said funds to the Program Grant Disbursement Account are the property of the City until paid by the CONTRACTOR for the account of a Qualified Homeowner under the applicable Program Grant Documents. 11 CAdocuments and settings\hanna_gNocal settings\temp\minutetraq\sanbernardim cit yca @sanbemardinocityca.igm2.com\work\attachments\4953.doex Packet Pg. 303 Section 22. GENERAL. This Agreement constitutes the sole agreement between the parties. All prior conversations, agreements or representations relating hereto are integrated in this Agreement. No oral agreement,representation or warranty shall be binding upon the parties. m E v c CD E a _ Cn _ a v d M 0 0 U N M T CI N W W E L IL a) E 0 m 0 2 w U) M z w E rn a w c d E U fC a+ Q 12 CAdocuments and settings\hanna_gi\local settings\temp\minutetraq\sanbernardinocit yea @sanbernardinocityea.igm2.com\work\attachments\4953.doex Packet Pg. 304 IN WITNESS WHEREOF, the CONTRACTOR and the City have caused this Agreement to be duly executed on the dates indicated below next to the authorized officers of each of them. This Agreement may be executed in counterparts, but this Agreement shall have no force or effect unless it has been fully executed by the parties. _ d CITY _ a� City of San Bernardino a w N Date: By: in Allen Parker, City Manager c� a v d r Approved as to Form: o 0 U N James P. Penman, City Attorney T NN N CONTRACTOR W Neighborhood Housing Services a� of the Inland Empire, Inc., n. 4) a California nonprofit corporation E o d 0 E Date: By: w Fn X Title: Executive Director Z r E rn a _ Date: By: E ca Title: a 13 CAdocuments and settings\hanna_gi\local settings\temp\minutetraq\sanbernardinocityca @sanbernardinocityca.igm2.com\work\attachments\4953.docx EXHIBIT "C" SCOPE OF SERVICES (Description of Program) A. CONTRACTOR'S Administration Costs t c W The City shall compensate CONTRACTOR the total sum of $80,000 for the administration and implementation of the Program herein and for services rendered under this Agreement. E CONTRACTOR shall bill the City monthly in equal installments of $666.67 up to the maximum Q amount of compensation stated herein. c B. Mobile Home Grant Program C0 1. The CONTRACTOR shall use the HOME funds to administer, implement and manage the = Mobile Home Grant Program providing grants of up to $5,000 per housing unit to income eligible a owner occupied single family mobile home units located within the City of San Bernardino (the "Mobile Home Grant Program"). (NOTE: Refer to Section 6(a) of this Agreement for specific Budget Line Items on how these funds are to be used). -6 2. Only Income Eligible Homeowners who have been cited by the City's Inspection Services °� Division, under Title 25 of the Mobile Home Park Act (the "Act"), or any other applicable N legislation or local codes, shall be eligible to participate in the Program (only units built after 1980 M are eligible for the grant program). This requirement will insure that only those owners requiring N work under the Act, or other laws, are assisted prior to all others, provided that the homeowner ui meets all other Program criteria. 3. CONTRACTOR shall determine income eligibility for all homeowners participating in the T Mobile Home Grant Program and shall insure that no homeowner's income exceeds the 80% of 0- median income for San Bernardino County (Exhibit "A") area. The improvements allowed under o the Program are described in"D"below of this Scope of Services. z a� *Income limits are subject to annual renewal. 0 W 4. Improvements include but are not limited to: Roof replacement (metal, aluminum, N x composition shingle, including carports and awnings); replacement of siding and skirting, patios z and porches, stair units (carpet and handrails), carport columns, water heaters, heater units, E Evaporator cooler units, ceilings paneling (interior), flooring repair and coverings (health and safety Q concern), handicap fixtures and units, appliances (limited to stovetops, wall ovens, exhaust hoods), doors and windows. The Maximum Grant permitted under the Program is $5,000 per unit. E s r Q C. Applicant Eligibility Requirements for the Program 1. Qualified Homeowner must be an owner occupant for a minimum period of one (1) year; on a case-by-case basis, and depending on the circumstances, this requirement may be waived by the 14 CAdocuments and settings\hanna_gi\local settings\temp\minutetraq\mnbernardinocityca@ mnbernardinocityca.igm2.com\work\anachments\4953.docx Packet Pg. 306 City Manager or designee; CONTRACTOR shall obtain evidence of ownership and length of residency. 2. Qualified Homeowner must complete a Program Application (see Exhibit "D" as an example) and meet the applicable income criteria(see Exhibit"A"). Z, 3. All Qualified Homeowners must agree to attend a Maintenance Class conducted by CONTRACTOR; to sign and notarize a Maintenance Covenant and agree to live in their home for = not less than one(1) year following recordation of the Maintenance Covenant. E Q D. Guidelines: c .r The CONTRACTOR shall conduct the Program in accordance with the following guidelines: 1. CONTRACTOR shall administer and implement the Program herein and shall utilize the = applicable and pertinent sections of the City's Rehabilitation Grant and Grant Policies and a Procedures Manual for guidance on processing and packaging all Grants and grants under this Agreement, if applicable under the direction of the City Manager. M 6 2. The CONTRACTOR shall process Program Applications on a first-come, first-served basis. c However, in case of emergency, or life threatening situation, the CONTRACTOR may process an application on an urgent basis subject to approval by the City Manager. loom%, U2 M 3. The CONTRACTOR shall inspect eligible properties to determine the type of health and N safety and code violation repair work needed, including asbestos and lead based paint removal, the N age and overall condition of the unit and to ensure that all units rehabilitated or improved under the LU Program when completed are aesthetically pleasing and in compliance with local, state and federal ordinances and laws. ai L a 4. The CONTRACTOR shall prepare and complete work write-ups, cost estimates, and bid o packages for the improvements for each property. _ a� 5. The CONTRACTOR shall ensure that all work performed on the Qualified Homeowner's 0 home is performed by pre-qualified State licensed contractors. The CONTRACTOR shall also w require that any contractor performing work under the Program possess a current business license in the City of San Bernardino and has a current license with the State of California contractor's Z y License Board. The CONTRACTOR shall be required, whenever feasible, to obtain a minimum of E three (3) bids for all work performed. All work performed by contractors shall be approved and Q authorized by the Qualified Homeowner, and shall be completed within a specified timeframe acceptable to Qualified Homeowner and contractors. E s v 6. The CONTRACTOR shall solicit bids for the rehabilitation work from a list of pre-approved a general contractors and assisting Qualified Homeowners with the selection of a contractor, and the execution of the contract between owner and contractor, including the Scope of Work and Schedule of Performance; schedule and conduct pre-construction and walk-through conferences, etc. 15 CAdocuments and settings\hanna gi\local settings\temp\minutetraq\sanbernardinocityca@ sanbemardinocityca.igm2.wm\work\attachments\4953.docx Packet Pg. 307 7. The CONTRACTOR shall inspect and monitor the rehabilitation work while in progress and supervise the payment invoice procedures to ensure that all contractors and subcontractors are meeting obligations and that progress payments and retentions are paid in a timely manner. 8. The CONTRACTOR shall coordinate final inspection and payment of the contract retention with the Qualified Homeowner and contractor. d 9. The CONTRACTOR shall maintain accurate records for inspection by the City concerning income and program occupancy of all persons obtaining assistances from the CONTRACTOR pursuant to this Agreement including, but not limited to, application, proof of ownership, income a verification, comparables or appraisals, work write-ups, contracts, promissory notes, deeds of trust, w etc. The original promissory note and deed of trust shall be for the benefit of the City and shall be r transmitted to City upon request for each Grant. 10. The CONTRACTOR shall also provide quarterly reports to the City, or as necessary, upon = the request of the City Manager. a d From time to time, the City and CONTRACTOR shall coordinate inspection site visits to ensure that the work being performed on a Qualified Homeowner's home is being performed in a good o workmanlike manner and in accordance with applicable codes (UBC, UPC, UMC,NEC and Health c and Safety) and City Ordinances. v N 11. The CONTRACTOR shall provide any and all services required by the City Manager or M designee, in order to effectively implement and complete the Services under this Agreement. N vi W W E as a d E 0 x a� 0 M w x z E rn Q c m E t U fC a+ r-. a L 16 C:\documents and settings\hat _gi\local settings\temp\minutet raq\sanbemardinocityca@ mnbernardinocityca.igm2.cwm\work\attachmentsk1953.docx Packet Pg.308 7.A.m 1 RESOLUTION NO. 2 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO APPROVING AND AUTHORIZING THE CITY MANAGER TO 3 EXECUTE THE CITYWIDE ELDERLY/SPECIAL NEEDS MINOR REPAIR GRANT PROGRAM IMPLEMENTATION AGREEMENT BY AND BETWEEN THE CITY OF 4 SAN BERNARDINO AND OLDTIMERS FOUNDATION, INC., IN THE AMOUNT OF E 5 $50,000 IN COMMUNITY DEVELOPMENT BLOCK GRANT FUNDS. 'a as E 6 WHEREAS, the City of San Bernardino (the "City") is an entitlement jurisdiction and `t 7 annually receives certain federal funds under the United States Department of Housing and Urban N .Q 8 Development's ("HUD") HOME Investment Partnership Act ("HOME") and Community in 9 Development Block Grant (CDBG)programs; and M a. 10 WHEREAS, on May 3, 2010, the Mayor and Common Council adopted Resolution 2010- a �a 11 100, approving the City's 2010-2015 Consolidated Plan; and o N C 12 WHEREAS, on May 7, 2012, the Mayor and Common Council adopted Resolution 2012- 0 13 82, approving the 2012-2013 Action Plan that is required to guide and identify needs the City will n M r 14 address incrementally for the 2010-2015 period; and ui 15 WHEREAS, earlier on May 20, 2013, the Council amended the City's 2010-2015 W 16 Consolidated Plan and the 2012-2013 Action Plan by allocating $50,000 of CDBG funds for the 0 0 17 Elderly/ Special Needs Minor Repair Program; and c 0 C 18 WHEREAS, the Oldtimers Foundation, Inc., is a non- profit organization that provides 0 19 Elderly/ Special needs minor repair program and have provided the services in the City and County L 0 20 for decades; and W y L d 21 WHEREAS, the Oldtimers Foundation, Inc., under terms of the Agreement will provide E w 22 repairs such as but not limited to plumbing, minor electrical repair, replacing of doors, screens and 0 0 N 23 window glasses; and 24 WHEREAS, in compliance with the California Environmental Quality Act ("CEQA") and 25 the National Environmental Protection Act("NEPA") guidelines, the authorization and execution of a 26 the this Agreement is determined to be an exempt from actions pursuant to Section 15332 of the 27 CEQA Guidelines and 24 CFR 58. 34(a)(3) of NEPA Guidelines because the propose action is LW 28 required for federal programs administration and compliance. 1 #' p y CAocuments and settings\hanna_gi\local settings\temp\minutet raq\sanbernardinocityca@ mnbemardinocityca.igm2.com\work\anachments\4862.docx P'acke't 1 NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COMMON 2 COUNCIL OF THE CITY OF SAN BERNARDINO,AS FOLLOWS: 3 Section 1. The Council hereby approves $50,000 in CDBG funds for the r 4 Elderly/Special Needs Minor Repair Grant Program Implementation Agreement with the Oldtimers E 5 Foundation, Inc, and authorizes the City Manager er to execute said Agreement. � E 6 Section 2. The Council finds and determines that authorization and execution of the Q r 7 Agreement is exempt,pursuant to Section 15332 of the CEQA Guidelines and 24 CFR 58. 34(a)(3) r N .Q 8 of the NEPA Guidelines because the propose action is required for federal programs administration 9 and compliance. a. 10 Section 3. This Resolution shall take effect upon its adoption. �a o c 12 /// 0 U 13 /// N M 14 /// ° N C6 15 /// W 16 m 17 0 0 0 18 19 a� 20 to L 21 /// E a+ 22 /// 0 0 N 23 24 E 25 26 27 28 2 p L +� C:\documents and settings\harms_gi\local settings\temp\minutetraq\sanbernardinocityca @sanbemardinocityca.igm2.com\work\attackmtents\4862.docx ,�1;;' 1 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO APPROVING AND AUTHORIZING THE CITY MANAGER TO 2 EXECUTE THE CITYWIDE ELDERLY/SPECIAL NEEDS MINOR REPAIR GRANT PROGRAM IMPLEMENTATION AGREEMENT BY AND BETWEEN THE CITY OF 3 SAN BERNARDINO AND OLDTIMERS FOUNDATION, INC., IN THE AMOUNT OF $50,000 IN COMMUNITY DEVELOPMENT BLOCK GRANT FUNDS. ; 4 d E 5 I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Mayor and E 6 Q Common Council of the City of San Bernardino at a meeting 7 thereof,held on the day of , 2013,by the following vote to wit: y 8 Council Members: Ayes Nays Abstain Absent 9 MARQUEZ CL 10 JENKINS 11 VALDIVIA o 12 SHORETT 13 KELLEY T M 14 JOHNSON � N 15 MCCAMMACK W 16 m 0 17 Georgeann Hanna, City Clerk c 0 C 18 CD LO The foregoing resolution is hereby approved this day of 52013. 19 L d 20 W N i 21 Patrick J. Morris, Mayor, E City of San Bernardino ,3 22 0 Approved as to Form: 23 James F. Penman, 24 City Attorney E 25 a 26 By: 27 28 3 Cldocuments and settings\han _gi\local settings\temp\minutetraq\sanbermrdinocityca @sanbemardinocityca.igm2.com\work\attachments\4862.docx Q CONTRACTOR SERVICES AGREEMENT MINOR GRANT REPAIR PROGRAM (ELDERLY/SPECIAL NEEDS) THIS CONTRACTOR SERVICES AGREEMENT MINOR GRANT REPAIR PROGRAM (ELDERLY/SPECIAL NEEDS) (hereinafter the "Agreement') is dated as of the E day of June 2013, (the "Effective Date") by and between the City of San Bernardino, a municipal corporation (hereinafter the "City"), and the Oldtimers Foundation, a California non- E 4 profit corporation (hereinafter the "Contractor"). The City and the Contractor are sometimes hereinafter individually referred to as "Party" and hereinafter collectively referred to as the C "Parties." RECITALS WHEREAS, the Parties desires to enter into an agreement entitled "Contractor Services Agreement Minor Grant Repair Program (Elderly/Special Needs)" (the "2013 Agreement'), dated as of the of June 2013, as amended, in which the Contractor, without limitation, agreed to perform and to assume responsibility for the obligations of the affordable housing grant administration and for the maintenance services described therein, subject to the terms, 0 U covenants and conditions set forth therein; and N WHEREAS, the Parties intend to execute, to deliver and to perform the terms, the c covenants and the conditions of this Agreement, including, without limitation, the performance N by the Contractor of the services described in this Agreement and in Exhibit"A" attached hereto UJ and incorporated herein by this reference(collectively,the "Services"); and E rn WHEREAS, the City desires to execute a one (1) year agreement with the Contractor, a` renewable annually for two (2) additional one (1) year extensions by the City in its sole discretion and subject to the appropriation by the United States Department of Housing and Urban Development ("HUD") through its Community Development Block Grant Program ("CDBG"); and W WHEREAS, the City intends to allocate an amount not to exceed the sum of Fifty Thousand Dollars ($50,000) annually with the CDBG (the "CDBG Fund") in accordance with E the terms, the covenants and the conditions of this Agreement,_which amount may be increased by the City in the event the minimum number of required Grants is exceeded by the Contractor o for any given year; and E Q WHEREAS, the Services to be provided by Contractor are intended to benefit low- income elderly and special needs owner-occupants of homes anywhere within the territorial .Ec jurisdiction of the City of San Bernardino (the "City") with minor home repairs. The City shall provide the funds necessary to the Contractor to provide the Services herein from its CDBG a 1 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2010/7.19.10-Oldtimers Elderly Special Needs Minor Repair Grant Agreemen Packet Pg. 312 Fund. For purposes of this Agreement, the words "elderly persons" or"senior citizen"mean and refers to persons or households where at least one (1) resident member is at least sixty—two (62) years of age as authorized by HUD . The words "low-income" mean and refer to the household income limits established under HUD guidelines. The words "owner-occupied housing unit" or "Owner-occupants of homes"refers to an owner-occupied housing unit as defined by HUD. v NOW, THEREFORE, IN CONSIDERATION OF THE RECITALS MENTIONED E ABOVE, THE MUTUAL PROMISES OF THE CITY AND OF THE CONTRACTOR IN THIS AGREEMENT AND FOR OTHER GOOD AND VALUABLE CONSIDERATION, THE E RECEIPT AND SUFFICIENTY OF WHICH ARE HEREBY ACKNOWLEDGED BY THE CITY AND BY THE CONTRACTOR, THE CITY AND THE CONTRACTOR AGREE AS FOLLOWS: OPERATIVE PROVISIONS in SECTION I ENGAGEMENT AND SERVICES OF THE CONTRACTOR w 1. Enp-agement of Contractor 4 U) _ The City hereby engages the Contractor, subject to the terms, the covenants and the 0 conditions set forth in this Agreement, to perform the Services set forth in Exhibit "A." N The Contractor agrees to perform the Services in accordance with the terms, the M Q covenants and the conditions of this Agreement. o N 2. Performance of the Contractor and Warrant of Authority LU The Contractor accepts the relationship of trust and confidence established between the E City and the Contractor by the terms of this Agreement. The Contractor covenants with the City to furnish its best skill,judgment and efforts and to cooperate with the City and with any other individual, contractor, subcontractor, or entity, whether or not contracted for by the Contractor or by the City in the performance of the Services. The Contractor covenants to use its best efforts to perform the duties and obligations of the Contractor under this Agreement in an efficient, expeditious and economical manner, consistent with w the best interests of the City. Contractor represents and warrants to the City that the Contractor has taken all corporate actions necessary to enter into this Agreement, to E perform and to be bound by this Agreement. 0 3. The Contractor's Personnel E, Q The Contractor shall provide professional, competent and experienced workers, administrative and management personnel to perform the Services. E v 4. The Contractor's Responsibilities for Costs and Expenses Q 2 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2010/7.19.10-Oldtimers Elderly Special Needs Minor Repair Grant Agreemen Packet Pg.313 7.A.n The Contractor shall be responsible for all costs and expenses incurred b the Contractor p p Y relative to and in connection with the performance of the Services, including, without limitation, payment of salaries,workers compensation insurance coverage, fringe benefits contributions, payroll taxes, withholding taxes and other taxes or levies, office overhead expense, travel expenses, telephone and other telecommunication expenses, and document reproduction expenses. c a� SECTION II E Q RESPONSIBILITIES OF THE CONTRACTOR c 1. Personnel Q The Services shall be performed by the Contractor under the direct supervision and control of the Contractor. The Contractor represents to the City that the Contractor possesses the professional and technical employees and personnel required to perform the Services. The City retains the Contractor on an independent contractor basis and the Contractor is not an employee of the City. The employees, personnel, contractors and/or subcontractors performing the Services, or any part thereof, on behalf of the Contractor shall at all times be under the Contractor's exclusive direction and control. The 0 U Contractor shall pay all expenses including, without limitation, salaries, fringe benefit contributions, payroll taxes, withholding taxes and other taxes or levies and all other M amounts due such employees, personnel, contractors or subcontractors or due any other o individual or entity(collectively, the "Performing Parties") as a result of the performance N by such Performing Parties, or any one of them, in connection with the performance of W the Services, or any part thereof, under this Agreement and, as required by one (1) or more federal, state, municipal and/or local laws, statutes, codes, ordinances, regulations, E rules, or orders, as amended from time to time (collectively, the "Laws"), which shall a` include, but not be limited to, Social Security taxes, income tax withholding, Q unemployment insurance and workers compensation insurance. 2. Cooperation/Project Administration W Contractor shall work closely and cooperate fully with the City Manager, including his or her designee (the "Project Administrator"), and any other agencies which may have E jurisdiction or interest in the Services. The Project Administrator will administer this Agreement. The Project Administrator, including his or her designee, shall be the contact person for the City for liaison with the Contractor, and shall review and give approval to E and for the Services as such Services are performed. Q w c CD 3. Project Manager E U Y 4 3 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2010/7.19.10-Oldtimers Elderly Special Needs Minor Repair Grant Agreemen Packet Pg. 314 The Contractor shall designate and assign a project manager (the "Project Manager"), who shall coordinate all phases of the Services herein. The Project Manager shall be available to the City at all reasonable times. The Contractor designates Jessie Fuentes, as its Project Manager. 4. Time of Performance a E The Services to be performed by Contractor under and pursuant to this Agreement shall be for a period of one (1) year, from June , 2013 through June 30, 2014 (the E "Completion Date"). The City Manager is authorized to extend the Completion Date for up to two (2) additional one (1) year term extensions (singularly and collectively, the "Term Extensions") after the Completion Date, subject to the approval by the City in its sole discretion and subject to the availability of the CDBG Fund. in 5. Report Materials a. At the Completion Date, and annually thereafter for any one (1) year extension of this 2 Agreement as provided therein, the Contractor shall deliver to the City all instruments, documents, agreements, data, studies, surveys, drawings, maps, models,photographs, and reports prepared by the Contractor or prepared by others for the use and/or the benefit of v the Contractor or otherwise provided to the Contractor by the City or by others under this Agreement (collectively, the "Report Materials"). The Report Materials shall be M considered the property of the City and shall be delivered to the City on the Completion c Date or earlier, if applicable, upon termination of the Agreement, or upon the termination N Ui of any Term Extensions. 6. City Policy a, L a The Contractor shall discuss and review all matters relating to the Services with the Q n Project Administrator a request in order to ensure that the Services proceed in a W J p q manner consistent with the goals and policies of the City and this Agreement. �., L V 7. Conformance to Applicable Requirements w N L The Services shall be performed by the Contractor, by all contractors and by all E subcontractors performing the Services, or any part thereof, in accordance with this Agreement and all Laws, including, without limitation, the requirements of all governing E bodies that have jurisdiction over the Parties and/or over the Services, or any part thereof. E C a D 8. Indemnification E s The Contractor agrees to indemnify, defend with legal counsel reasonably acceptable to the City, protect and hold the City and their respective elected officials, directors, a 4 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2010/7.19.10-Oldtimers Elderly Special Needs Minor Repair Grant Agreemen Packet?g.315 officers, members, managers, consultants, contractors, employees, agents and attorneys, and the successors and assigns of each of them (singularly and collectively, the "Indemnified Parties" which defined term shall also include the City), harmless from and against all actions, causes of action, claims, demands, liabilities, damages, losses, liabilities, obligations, judgments, suits, costs, expenses and fees (including, without limitation, reasonable attorneys' fees, court costs and expert fees of any nature whatsoever), now or hereafter arising from or related to: (i) any act or omission of the E Contractor and/or of any of the Contractor's directors, officers, members, managers, consultants, contractors, subcontractors, materialmen, laborers, any other person or entity a furnishing or supplying work, services, goods, or supplies in connection with the performance of this Agreement, employees and agents, and the successors and/or assigns of each of them (singularly and collectively, the "Indemnifying Parties" which defined term shall also include the Contractor), in performing, or failing to perform, its in obligations hereunder, (ii) any default by the Contractor under this Agreement, subject to any applicable cure period, (iii) any violation by any of the Indemnifying Parties of any 0. Laws, (iv) any warranty or representation made by the Contractor to the City in this Agreement that is or becomes false and untrue, (v) death, bodily injury and/or personal injury to any person, (vi) any destruction, loss or damage to real property or personal property, (vii) the presence of any hazardous substances at, on, in, above, under or about any home or structure where the Services are or were performed, in whole or in part, 0 U directly or indirectly, from the acts or omissions of any Indemnifying Parties and/or(viii) the aggravation of any environmental condition by any Indemnifying Parties at, on, in, M above, under or about the home or any structure where the Services are or were c performed, in whole or in part. Without limiting the Contractor's indemnification of the N Indemnified Parties, the Contractor shall provide and maintain, at its sole cost and expense during the term of this Agreement, the insurance described in this Agreement. W Such insurance shall be provided by insurer(s) satisfactory to the City and evidence of a, such insurance satisfactory to the City shall be delivered to the City Manager no later a. than the Effective Date of this Agreement; provided, however,the Contractor shall not be Q liable under this indemnification provision for any loss resulting from the sole negligent acts or willful misconduct of the City. L 9. Standard of Care; License w N L The Contractor represents and warrants to the City that the Contractor and the other E Performing Parties shall be fully qualified, shall comply with Agreement and are a authorized or permitted under all applicable Laws to perform the Services, and shall perform the Services in a skillful and competent manner. The Contractor including the a, other Performing Parties shall be responsible to the City for any errors or omissions in the Q execution of the duties of the Contractor and/or of the other Performing Parties under this Agreement and in the performance of the duties by the Contractor and/by the other E Performing Parties hereunder. The Contractor represents and warrants that the Contractor and all other Performing Parties engaged in the performance of the Services, or any part d 5 PAAgendas\Agenda AttachmentsWgenda Attachments\Agrmts-Amend 2010/7.19.10-Oldtimers Elderly Special Needs Minor Repair Grant Agreemen Packet Pg. 316 7.A.n thereof, have all licenses, permits, qualifications, and approvals of whatever nature that are legally required to practice their respective profession. The Contractor further represents and warrants that the Contractor and the other Performing Parties shall keep in effect all such licenses,permits, and other approvals during the term of this Agreement. 10. Insurance E The Contractor shall obtain and keep in force during the term of this Agreement, at its sole cost and expense, the following insurance policies: (i) a commercial general liability E policy of insurance with coverage at least as broad as "Insurance Services Office Commercial General Liability Form (G0001)", in the amount of One Million Dollars ($1,000,000) combined single limit per occurrence, naming the City and the elected Cn officials, officers, employees, attorneys and agents of each of them as additional insureds (collectively, the "Additional Insureds") with said insurance covering comprehensive general liability including, but not limited to, contractual liability, assumed contractual a. liability under this Agreement, acts of subcontractors, premises-operations, explosion, collapse and underground hazards, if applicable, broad form property damage, and CU personal injury including libel, slander and false arrest, (ii) comprehensive automobile 75 liability insurance covering owned, non-owned and hired vehicles by or for the Cn Contractor, combined single limit in the amount of One Million Dollars ($1,000,000) per 0 U occurrence, naming the Additional Insureds as additional insureds on each automobile insurance policy, (iii) workers' compensation insurance in such insurance coverage amounts as statutorily required, or similar insurance in form and amounts required by law, c and employer's liability insurance, combined single limit in the amount of One Million N Dollars ($1,000,000), and (iv) errors and omissions and professional liability, combined single limit in the amount of One Million Dollars ($1,000,000)per occurrence. W E T Any and all insurance policies required hereunder shall be obtained from insurance a` companies admitted in the State of California and rated at least A: XII in the most current Best's Key Rating Insurance Guide. In no event shall the Contractor be permitted or entitled to assign to any third party rights of action which the Contractor may have against 2�, the City. All said insurance policies shall provide that they may not be canceled unless Q the City receive written notice of cancellation at least thirty(30) calendar days prior to the w effective date of cancellation. Any and all insurance obtained by the Contractor shall be primary to and shall not be contributing with any insurance carried by the City whose E insurance shall be considered excess insurance only. Any insurance which the City may otherwise carry, including self insurance, for all purposes of this Agreement shall be separate and apart from the requirements of this Agreement. Legal counsel for the City E must approve each insurance policy required in this Agreement. The Contractor waives a subrogation and agrees that the Contractor, the City are co-insured. The insurer shall have no right of subrogation against the City, or against any of the other Additional Insureds. E The Additional Insureds shall be named as additional insureds on each insurance policy. w w Q 6 PAAgendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2010/7.19.10-Oldtimers Elderly Special Needs Minor Repair Orant Agreemen Packet Pg. 317 All insurance which the Contractor shall c or maintain pursuant to this Section shall �'Y p be in such form, for such amounts, for such periods of time as the City may require or approve. The Contractor shall deliver or cause to be delivered to the City concurrently upon the execution of this Agreement an endorsement of the insurance policies required in this -Ea Section evidencing the existence of the insurance coverage required by the City under this Section and shall also deliver, no later than thirty(30) calendar days prior to the expiration a of any insurance policy, a certificate of insurance evidencing each renewal policy covering the same risks. The Contractor shall include all contracting and/or subcontracting consultants, if any, as insured under the insurance policies of the Consultant or shall furnish separate certificates and endorsements for each contractor and/or subcontractor. All coverage for each C a. contractor and/or subcontractor shall be subject to the requirements stated herein. The City shall have the right to require the Contractor to provide additionally insurance coverage, in such coverage amounts and with such deductibles as reasonably requested by the City, at the sole cost and expense of the Contractor. 0 U 11. Prohibition Against Transfers N K) a. The Contractor shall not assign, sublease, hypothecate, or transfer this Agreement, or o ' any interest therein, directly or indirectly by operations of law without the prior written consent of the City. Any attempt to do so without the prior written consent of U1 the City shall be null and void, and any assignee, sub-lessee, hypothecate or -- transferee shall acquire no right or interest by reason of such attempted assignment, a, hypothecation, or transfer. a` L b. The sale, assignment, transfer, or other disposition of any of the issued and outstanding capital stock of the Contractor, if the Contractor is a corporation or of the interest of any general partner, interest of any member of a limited liability company, joint venture or syndicate member or co-tenant of the Contractor, if the Contractor is w a partnership, limited liability company, a joint venture or a syndicate or a co- tenancy, which shall result in changing the control of the Contractor, shall be deemed E an assignment of this Agreement. For purposes of this paragraph, "control" means the ownership of fifty percent (50%) or more of the voting power of the corporation of fifty percent (50%) or more of the voting power of a partnership, limited liability a, company, joint venture, syndicate or co-tenancy. a y c a� 12. Progress and Quarterly Reports E w Q 7 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2010/7.19.10-Oldtimers Elderly Special Needs Minor Repair Grant Agreemen Packet Pg. 318 The Contractor is responsible to keep the Project Administrator his or her duly authorized designee informed on a quarterly basis regarding the status and progress of the Services, activities performed and planned, and any meetings that have been scheduled or are desired relative to the Services or relative to this Agreement. The Contractor shall also provide written monthly reports on the Services provided herein to the Project w Administrator. Such reports will include,but are not limited to, the names, the addresses, the income, and the household size of all applicants obtaining assistance from the E Contractor and other demographic information as may be reasonably requested by the Project Administrator in the form provided for in Exhibit "B" attached hereto and E incorporated herein by this reference. As promptly as feasible, following the Effective Date, the Contractor shall prepare and deliver to the Project Administrator, from time to time, the written listing of the applicants for the Services. W 13. News Releases ' IL c No news releases, including photographs, public announcements, or confirmations of the same, of any part of the subject matter of this Agreement or any phase of the Services shall be made without prior written consent of the Project Administrator. 0 14. Scheduling ° U The Contractor shall schedule and coordinate the performance of the Services with the M Project Administrator. The Services hereunder shall be performed on an as-needed, first o come first serve basis, to all qualified homeowners except as otherwise required by the C6 City. LU 15. Deadlines/Ripht to Contract E L a. The Contractor's obligation hereunder is to perform and to complete the Services and to meet any deadlines set forth therein as required by the City and in compliance with this Agreement. The Contractor retains the right to contract for similar Services with any 2, other entity,public or private. a W SECTION III L d RESPONSIBILITIES OF THE CITY E 1. Cooperation E a� The City and the Contractor shall cooperate with each other relative to the provisions and a implementation of the Services. The Contractor will exercise its best efforts to approve, to complete, to process, to conduct and to finalize fifty (50) minor repair grants E (singularly, a"Grant" and collectively, the "Grants") for the elderly and/or for individuals U r with special needs. a 8 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2010/7.19.10-Oldtimers Elderly Special Needs Minor Repair Grant Agreemen Packet Pg.319 7.A.n Q SECTION IV COMPENSATION 1. Compensation = m E The City shall for the first year and for the Extension Terms, if any, compensate the w Contractor for the performance of the Services using the CDBG Fund in accordance with E the following schedule: 10% of the CDBG Fund disbursed Annual Program Administration Fee for by the Contractor under this CONTRACTOR Agreement not to exceed an annual amount of$5,000 CD a a $45,000.00 Annual Minor Grant Repair Program (Elderly/Special cc Needs) •o 50 000 _ N Notwithstanding the foregoing, in the event the Contractor exceeds fifty (50) Grants in M 0 any given year, additional grant funds (the "Grant Funds") will need to be procured in c order to fund any additional Grants made by the Contractor under this Agreement. The N Ui City will exercise its reasonable efforts to amend this Agreement, in writing, and to obtain additional Grant Funds to fund additional Grants, in excess of fifty (50) Grants, by W the Contractor for that year. The City makes no warranty, no representation and no a, covenant to the Contractor that the City will be able to obtain any additional Grant Funds a to fund any additional Grants under this Agreement. CL d 2. Payment of Compensation 21 From and after the Effective Date of this Agreement and for the remaining one (1) year W term of this Agreement, subject to the Term Extensions by the City as provided for in this Agreement, the Program Administration Fee payable by the City to the Contractor as E compensation for the Services performed by the Contractor under this Agreement shall be paid by the City directly to the Contractor upon receipt by the City of a corrected invoice and the CDBG Funds disbursement ledger (the "CDBG Funds Disbursement Ledger") E rn which shows all CDBG Fund payments authorized by the City and disbursed by the a Contractor to the architects, to the engineers, to the general contractors and/or to the d subcontractors under this Agreement for which the Contractor has not been paid by the E City. The Contractor may not invoice the City more than once per month for the CDBG Fund disbursed by the Contractor under this Agreement and the City shall pay to the Q 9 P:\P.gendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2010/7.19.10-Oldtimers Elderly Special Needs Minor Repair Grant Agreemen Packet Pg. 320 7.A.n Contractor the correct amount identified on the invoice within thirty (30) calendar days after the receipt by the City of the following: (i) a corrected invoice, in the form provided for in Exhibit `B" attached hereto and incorporated herein by this reference, (ii) the CDBG Funds Disbursement Ledger, (iii) evidence satisfactory to the City of the number of hours worked and the nature of the Services performed, and (iv) evidence satisfactory to the City evidencing the number of households assisted monthly. The Program Administration Fee shall be 10% of the CDBG Funds disbursed by the Contractor under E this Agreement and shall not exceed Five Thousand Dollars ($5,000), in the aggregate, for the first year of this Agreement, and for the Term Extensions, if any, by the City, as E a provided for in this Agreement. c �a 3. Withholding a. Disputed Sums: The City may withhold payment of any portion of the Program Administration Fee if payment is disputed by the City until resolution of the dispute with the Contractor. Such withholding by the City shall not be deemed to constitute a failure to pay by the City. The Contractor shall not discontinue the performance of the Services for a period of sixty (60) days from the date such payment is withheld hereunder. The Contractor shall have an immediate right to appeal to the City Manager with respect to withheld amounts, provided however, that any claim which 0 U the Contractor may have against the City shall be submitted in writing within the period of time allowed for the submission of claims against the City. M N b. Retention: The City shall have the right to retain an amount equal to ten percent (10%) of the payment (the "Retention") as invoiced by the Contractor until a period W of thirty (30) days following the Completion Date, or thirty (30) days after the expiration of the Term Extensions, if any, as provided for and in accordance with this E Agreement, at which time the Retention shall be remitted by the City to the a Contractor; provided that no event of default may then exist. The City shall have the CL right without further liability to the Contractor, to utilize the Retention to satisfy CD obligations of the City relative to the Services in the event the Contractor does not complete the Services in a manner that is satisfactory to the City and/or as required by this Agreement. W tn L Q1 SECTION V E EXPIRATION AND TERMINATION 'a 0 1. Termination a, a a. Termination by Written Notice of CitX: City may,by written notice to the Contractor, terminate the whole or any part of this Agreement at any time and without cause by E giving written notice to the Contractor of such termination. In the event of U termination without cause, the Contractor shall be compensated for the work Q 10 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2010/7.19.10-Oldtimers Elderly Special Needs Minor Repair Grant Agreemen Packet Pg. 321 performed up to that date of termination. Payment for work completed under this Agreement to the date of termination shall be made strictly on the basis of work actually completed by Contractor to the satisfaction of the City. In no event shall the total compensation to the Contractor for the Services performed under this Agreement exceed Five Thousand Dollars ($5,000), in the aggregate, for the first one (1) year term of this Agreement, and for the Term Extensions, if any, by the City as provided d for in the Agreement. The Contractor shall be entitled to no further compensation E after the effective date of any termination of this Agreement. d E a b. Termination by Contractor: Contractor may not terminate this Agreement except for r cause. U) c. Termination Upon Event of Default: In addition to any other available legal or M equitable rights or remedies, upon an Event of Default by the Contractor, the City C shall have the right to terminate this Agreement upon written notice to the Contractor. M CL Such termination shall be effective on the date that the notice of termination is given pursuant to Section VI, paragraph 6 below. 2. Events of Default C 0 U Each of the following events shall constitute an"Event of Default": N a. The Contractor shall fail to observe, perform or comply with any material term, o covenant, agreement or condition of this Agreement which is to be observed, N performed, complied with by the Contractor, if such failure to continue uncured for Ui three (3) calendar days, after the City gives the Contractor notice of any failure, and W specified the nature of such failure. E L a b. The Contractor shall commit any fraud, misrepresentation, breach of fiduciary duty, willful misconduct, or intentional or breach of any provision of this Agreement. C. The Contractor make a representation or warranty in this Agreement that becomes -(D false or untrue. w L 3. Cooperation Upon Termination E If this Agreement is terminated in any manner provided for herein, the Contractor shall provide to the City upon request by the City all unfinished or finished documents, data a, report, and/or drawings prepared by the Contractor for the providing of the Services, or a any part thereof, under this Agreement. Contractor further covenants to give good faith cooperation in the transfer of work to any other architect, engineer, contractor, E subcontractor or other individual or entity designated by the City to complete the provision of the Services, or any part thereof, following the termination of the Agreement a 11 P:\AgendasW,genda Attachments\Agenda Attachments\Agrmts-Amend 2010/7.19.10-Oldtimers Elderly Special Needs Minor Repair Grant Agreemen �4 Pa6ket Pg.322 and to participate at no cost to the City in such meetings as may be deemed necessary by the City to effectively accomplish the transfer. 4. Termination Date In addition to paragraphs 1 and 2 of Section V, this Agreement shall terminate upon the delivery of all documents required under Section I1.4 and either (i) the Completion Date, E or the expiration date of the Term Extensions, if any, as provided for and subject to this Agreement, or (ii) full payment by the City to the Contractor of the Program E Administration Fee under this Agreement, provided however, that the indemnification and the insurance provisions of this Agreement shall survive such termination date. VI c GENERAL PROVISIONS a. •a 1. Nondiscrimination by the Contractor During the Contractor's performance of the Services, the Contractor, its affiliates, subsidiaries, or holding companies, shall not discriminate on the grounds of race, 0 religion, creed, color, national origin, age, ancestry, physical handicap, medical N condition, marital status, sex, or sexual orientation in the performance by the Contractor M of the Services, including, without limitation, in the selection and retention of any c applicants, employees, general contractors and subcontractors and the procurement of N materials and equipment, except as provided in Section 12940 of the California w Government ent Code. Such nondiscrimination shall include, but not be limited to, the W following: employment, upgrading, demotion, transfers, recruitment, recruitment a� advertising, layoff, termination, rates of pay or other forms of compensation, and a selection for training, including apprenticeship. a aD 2. City's Riizhts to Employ Other Contractors L d The City reserves the right to employ other contractors and/or subcontractors in w connection with the performance and the completion of the Services, subject to the written reasonable approval of the City. E 3. Conflicts of Interest E a� a. The Contractor or its employees may be subject to the provisions of the California a Political Reform Act of 1974 (the "Act"), which: (i) requires such persons to disclose financial interests that may foreseeably be materially affected by the work performed E under this Agreement, and (ii) prohibits such persons from making, or participating in making, decisions that will foreseeably financially affect such interests. Q 12 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2010/7.19.10-Oldtimers Elderly Special Needs Minor Repair Grant Agreemen Packet Pg.323 b. If the Contractor is subject to the Act the Contractor shall conform to all requirements of the Act. The failure by the Contractor to conform to all requirements of the Act constitutes a material breach and is grounds for termination of this Agreement by the City. d 4. Subcontractor as The Contractor shall not subcontract any portion of the Services except as expressly a stated herein, without prior written consent of the City. Subcontracts, if any, shall �a contain a provision making them subject to all provisions stipulated in this Agreement. rn 5. Waiver cn No waiver of any default shall constitute a waiver of any other breach or default, whether of the same or any other covenant or condition. No waiver, benefit, privilege, or service voluntarily given or performed by other Parties shall give the other any contractual right 2 by custom, estoppels, or otherwise. 0 N _ 6. Notices ° U N All notices required hereunder shall be given in writing to the following addresses or M (aw, such other addresses as the parties may designate by written notice: c N To the City: City of San Bernardino w 300 North D Street, 6th Floor W San Bernardino, California 92401 E as Attn: City Manager a. L To the Contractor: Oldtimers Foundation 8572 Sierra Avenue Fontana, California 92335 Attn: Administrator w L Notice shall be deemed received as follows, depending upon the method of transmittal: E by facsimile, as of the date and time sent; by messenger, as of the date delivered; and by � U.S. Mail, certified, return receipt requested, as of 72 hours after deposit in the U.S. Mail. E 7. Authority to Enter Agreement a m The Contractor is a non-profit community services organization duly organized, validly s existing in good standing under the laws of the State of California and will continue to be so during the term of this Agreement. The Contractor has all requisite power and a 13 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2010/7.19.10-Oldtimers Elderly Special Needs Minor Repair Grant Agreement Packet Pg.324i authority to conduct its business and to execute and deliver, and to perform all of its obligations under this Agreement. Each Party warrants that the individuals who have signed this Agreement have the legal power, right and authority to enter into this Agreement so as to bind each respective party to perform the conditions contemplated herein. c d 8. Severability c a� If any portion of this Agreement is declared by a court of competent jurisdiction to be Q invalid or unenforceable, the remaining provisions of this Agreement shall continue in �a full force and effect. N .Q 9. Time is of the Essence co Time is of the essence in this Agreement, and all Parties agree to execute all documents and to proceed with due diligence to complete all covenants and conditions set forth herein. 0 10. Attorneys Fees and Costs N r- 0 U If any legal action or other proceeding is brought for the enforcement of this Agreement or because of an alleged dispute, breach, default, or misrepresentation in connection with �t an provisions of this Agreement, the successful or prevailing Party shall be entitled to c recover reasonable attorneys; fees and other court costs incurred in that action or Ui proceeding, in addition to any other relief to which it may be entitled. The costs, salary and expenses of the City Attorney and members of his office in enforcing this Agreement W on behalf of the City shall be considered"attorney's fees" for the purpose of this Section. a, L a L 11. Governing Law and Venue Q m This Agreement shall be construed in accordance with and governed by the laws of the State of California. Any lawsuit brought to enforce this Agreement shall be brought in the appropriate court in San Bernardino County, State of California. w N L 12. Days E W Any term in this Agreement referencing time, days, or period for performance shall be deemed to be calendar days and not workdays. a, a w 13. Entire Agreement E s This Agreement contains the entire agreement of the City and the Contractor and supersedes any prior or written statements or agreements between the City and the Q 14 P:\AgendasWgenda Attachments\Agenda Attachments\Agrmts-Amend 2010/7.19.10-Oldtimers Elderly Special Needs Minor Repair Grant Agreemen Packet Pg.325 Contractor. No supplement, modification, or amendment of this Agreement shall be binding unless executed in writing by both Parties. 14. Bindinp,on Assigns Each and all of the covenants and conditions of this Agreement shall be binding on and shall inure to the benefit of the successors and assigns of the respective parties. -Ea c d 15. Invalidity E Q The illegality of any provision of this Agreement shall not affect the remainder of this Agreement. rn 16. Counterparts ' c This Agreement may be signed in counterparts, each of which shall constitute an original and which collectively shall constitute one instrument. 2 17. Captions c 0 U The captions of the various articles and paragraphs of this Agreement are for the convenience and ease of reference only, and do not define, limit, augment, or describe the T scope, content, or intent of this Agreement or of any part or parts of this Agreement. c N 18. Construction W In all cases, the language in all parts of this Agreement shall be construed simply, a, according to its fair meaning and not strictly for or against any Party, it being agreed that a the Parties or their agents have all participated in the preparation of this Agreement. aD 19. Cooperation/Further Acts >, L d The Parties shall fully cooperate with one another in attaining the purposes of this w Agreement and, in connection therewith, shall take any such additional further acts and steps and sign any such additional instruments, documents and/or agreements as may be E necessary, appropriate and convenient as related thereto. 0 w 20. Suspension of Work E a� Q Notwithstanding any other provision in this Agreement to the contrary, the Services performed by the Contractor may be suspended by the City in whole or in part from time E to time, in any number of times, when determined by the City, in its sole discretion, that suspension is necessary and in the interest of the City. The Contractor shall comply a 15 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2010/7.19.10-Oldtimers Elderly Special Needs Minor Repair Grant Agreemen Packet Pg.326 I immediately with any written order by the City suspending the Services. The Services shall be suspended until receipt by the Contractor of a written Services commencement order from the City. Further, and notwithstanding any other provision of this Agreement to the contrary, any such suspension shall not relieve the Contractor of any of its obligations under this Agreement. Further, and notwithstanding any other provisions of this Agreement to the contrary, any such suspension shall be without any liability of the d City to the Contractor, and the Contractor shall not be entitled to any additional -Ea compensation as a result of such suspension. a 21. Incorporation of Recitals and Exhibits r R a. The "Recitals" are true and correct, constitute a material part hereof, and are hereby incorporated by reference herein as though fully set forth herein. CO b. The Exhibit "A" and the Exhibit "B" and "C" shall constitute a material part hereof, and are hereby incorporated by reference herein as though fully set forth herein. 2 22. References 0 N C All references to the Contractor shall include all personnel, employees, agents, C U contactors, and subcontractors of the Contractor, and the permitted successors and N assigns of the Contractor. M N vi W E CL ai w E r 0 a, Q u c aD E s �o w Q 16 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2010/7.19.10-Oldtimers Elderly Special Needs Minor Repair Grant Agreemen Packet ft,327 IN WITNESS WHEREOF, the Parties hereto have accepted and made and executed this Agreement upon the terms, conditions, and provisions set forth above as the Effective Date. City of San Bernardino, a municipal corporation E c d By: E Allen Parker, City Manager N .Q I � Approved as form: JAMES F. PENMAN, City Attorney a v d By: o c 0 v N Oldtimers Foundation, o a California non-profit corporation vi w w By: E Name: a` Title: a d L w L d E 0 E Q Qi E v ca r Q 17 P:\Agendas\Agenda Attachments\Agenda Attachments\Agrmts-Amend 2010/7.19.10-Oldtimers Elderly Special Needs Minor Repair Grant Agreemen Packet Pg.328' I 7.A.o i I EXHIBIT"A" Services w C m E C O E Q C cn C a. -O a� 6 N C O U N U? M O N C6 W E L CL L Nd 1.! L W N L E 0 x w C d E V Q 1 Q A V P:1Agendas\Agenda Attachments\Agenda AttachmentslAgnnts-Amend 201017.19.10-Oldtimers Elderly special Needs Minor Repair Grant Agreemen Packet Pg. 329 QEXHIBIT A SCOPE OF SERVICES AGENCY AND OLDTIMERS FOUNDATION AGREEMENT ELDERLY/SPECIAL NEEDS MINOR HOME REPAIR GRANT PROGRAM a The Contractor shall provide minor home repair services to lower income senior citizen (as defined in C below) homeowners within the City of San Bernardino in order to maintain the Q existing affordable single-family housing stock through compliance with municipal health and safety codes. The minor home repairs includes,but is not limited to the following: N Q A. ALLOWABLE REPAIRS Cn >r 1. Plumbing&Heating a Repair/Replace: Tank and commode pants, faucet washers, showerheads, outside water faucets, adjust lawn sprinkler heads. o N C Check/Maintain: Thermostats, swamp and water coolers (filters and motors replaced as v needed) kitchen & bathroom sinks for leaks, garbage disposals for foreign objects and debris. Unclog sink, shower, bath, toilet and laundry drains, cover and uncover turbines, M water heater replacement,minor heating and cooling systems malfunctions. N vi 2. Electrical � Repair and Replace: Switches, outlets, cartridge type fuses a Check and Maintain: Oven and range hood, fan and vents, bathroom vents for proper Q operational functions,existing smoke detectors. Install smoke detectors. W 1 L 3. CARPENTRY a w N Repair/Replace/Realign: Cabinet and door hinges, binding doors, damaged door hardware, worn and damaged window or door screens, broken windows. Build and install medical or handicapped ramps with handrails. Install hand-held bath or shower o rails. Floor joist and sheathing locations as needed. 12 4. GENERAL X X w r Repair/Replace: Towel racks, shower curtain rods, soap and toilet tissue holders, E window glass and door replacement,damaged floor tiles. Patch minor roof leaks. Install deadbolt or security locks on doors, windows, patio doors and windows. Install garage door springs, carpet,medical and or handicapped ramps. a Exhibit"A-1" 1')AeendaslAgenda A(tachmcitslLxhihits\2013\7 19 10-Oidtimers Eldert}..-Spcciat Needs Minor Grant Exhibit A Scope of Smices&Exhibit 13 Request ForMonthlk lmburte�ne33t_docl?4,4�rnda;',4�e^.-s,..-�^rM4�4oend�-Al lachmrnis4\=Ere3ke-rintri�2069i+2-21-9443Idt;ntar;-kanndafeaer<F�rmenN-S.:v�roi-Srro'rers-dae Packet Pg. 330 B. EXPENDITURES AND PROGRAM LIMITATIONS Agency funds will be used to reimburse Contractor for services and repair costs incurred under this Agreement. In no event shall the repair costs for any one single-family housing unit exceed $1,600. The Contractor shall charge their expenses in accordance with the hourly wage noted in Exhibit"B," Section 2. The Contractor shall be limited to E providing services to an eligible applicant not more than twice a year. Thereafter, an Q Applicant may not apply for additional assistance until three (3) years following the date 2 of the last assistance. Contractor will schedule its own staff to make necessary repairs in a timely manner. All work performed by Contractor shall be completed within 45 days 3 from date of commencement. The Contractor shall maintain accurate records for N inspection by the Agency of each applicant obtaining services by the Contractor. The contractor will provide all services, materials, pants, and labor required for the 'a performance of the minor home repairs necessary to maintain decent, safe, and sanitary residential units. Contractor shall submit monthly invoices with supporting documentation of expenditures to be maintained in Contractor's files, and made available N to Agency upon request, and such invoices shall be billed consistent with Exhibit "B" of o the Agreement. The Contractor shall provide assistance to a minimum of 50 households v per year. C14 M C. APPLICANT ELIGIBILITY REQUIREMENTS N vi 1. An applicant must be an owner occupant for a minimum period of 1 year; on a case-by- W case basis, and depending on the circumstances, this requirement may be waived by the E Interim Executive Director of the Agency or his/her designee; Applicant must provide evidence of ownership and length of residency. M 2. Applicant must complete a Grant Application and meet the applicable income criteria W (Exhibit "C"). The applicant's annual income shall not exceed 80% of the median income for San Bernardino County, The Agency shall provide the Contractor with the income limits for the current year. Contractor is required to use Exhibit "C" attached herein for all participants in the Program and to retain all applications in the possession of the Contractor's file. r 0 3. Applicant applying for the Program must be a senior, age 62 or above, or disabled, handicapped, or a recipient of S.S.I.; on a case-by-case basis, depending on the circumstances, this requirement may be waived by the Interim Executive Director of the w Agency or his/her designee. a� The Contractor shall maintain accurate records for inspection by the Agency concerning income and program eligibility of all persons obtaining assistance from the Contractor pursuant to this r Agreement. Q Exhibit"A-2" kAAeendas\A nd,A�chmeetss%Exhibits l20l3V.i9.10-Oldtimer ElderlySF,cial'Needs Minor GE nt Eehi it,A Scops,of n;i >y_Et M1t A ReggtA or\lgnihly; imh sMeDr.do ur, Packet Pg. 331 EXHIBIT"B" Form of Invoice C a> E C d E Q C v, C a m 0 Ul C O U N lA M r ® O N W w E LSJ L a L Q CD w L w L E Y O N r2 t X W C O E s V to r Q 19 P:\Agendas\Agenda AttachmentslAgenda AttachmentslAgnnts-Amend 2010 17.19.10-Oldtimers Elderly Special deeds Minor Repair Grant Agreemen Packet Pg.332 7.A.o EXHIBIT B CITY OF SAN BERNARDINO REQUEST FOR MONTHLY REIMBURSEMENT a� E a c a� Agency/Organization: Oldtimers Foundation-Fed.ID#95-6126109 a Address: 8572 Sierra Avenue,Fontana, CA 92335-3840 Reimbursement for the Month of- ,200 Invoice No.: n Amount of Reimbursement: a. Administration m a b. Job Service—Labor from Exhibit B a a c. Job Service—Material and Supplies from Exhibit B .y Total N rn The undersigned hereby certifies that the expenditures identified on the attached "Budget M Summary Form" are true and correct, and that said expenditures were incurred and paid within N the month designated above in accordance with the agreement identified herein. Evidence of all vi payments (bills and/or receipts and check copies) for each of the expenditures listed is attached M hereto. E as L a L (Authorized Signature) Q a� L (Type Name and Title) a W N L (Date) E O FOR OFFICE USE ONLY Reviewed by: r Approved by: �a Y Q Exhibit`B-1" PAAgendas\Agenda Attachments)Exhibits\2013\7.19.10-Oldtimers Elderly-Special Needs Minor Chant Exhibit A Scope of Services&Exhibit B Request for Monthly Imbursement.doo y REIMBURSEMENT REQUEST Budgeted Year to Date Balance A. EXPENDITURES Amount Current Month Cumulative Available 1. Wages-Administration a.Administrator/Acct.@$16.83/Irr. _ d b.Dispatcher @$9.50/hr Fringe Benefits E E a.Administrator/Accountant Q 2 b.Dispatcher Y _ Wages and Fringes Subtotal y 2. Consultant—Audit ' Cn 3.Travel miles @$0.55) R 4.Rent a 5.Payroll Service 6.Vehicle-Maintenance a 7.Auto and Misc.Insurance 8.Cell Phone and Radio ° U Total Maximum Program C4 Administration Expense (15 x$80,000) $12,000 0 N (owl 9.Job Service/Wages Ui a.Working Foreman hrs.x$17.00 w b.Maintenance Worker his.x$13.00 E m c.Material and Supplies o`- L Fringe Benefits to a a.Working Foreman b.Maintenance Worker L d Total Job Service/Labor ° w Total $80,000 10. Minimum Households Assisted Per E r Year at a Maximum of$1600 50 O B. #of Individuals Assisted Monthly #Female Head of Household: m 1. -#Low Income Level X 2. #Very Low Income Level w w Total 1+2=B a=i E U Please attach supporting invoices and documentation. Revised: 7/2010 w a Exhibit`B-2" P.%Agendas\Agenda Atiachments\ExhibitsUO13\7.19.10-Oldtimers Elderly-Special Needs Minar Grant Exhibit A Scope of Senices R E-xhibit B Request for Monthly 7mbuisement doc Packet Pg. 334 I EXHIBIT C City of San Bernardino OLDTIMERS FOUNDATION SENIOR CITIZEN MINOR REPAIR PROGRAM APPLICATION --2013/2014 YEAR d E c Applicant's Name(Last,First,MI) Social Security Number E Q Applicant's Name(Last,First,MI) Applicant's Date of Birth-Age c 1a Street Address Applicant's Phone Number San Bernardino City/Zip R a. a� Years at Residence: Number of Minor Children (If Applicable): o Household Size: o U Head of Household: ❑ Male ❑ Female List all persons living in residence other than ourself: N Em .lo ed w Name Relationship Age Social Securi # Yes NO E L a. L >Z NNd iL. L d All income of all household occupants must be shown here. Applicant must attach proof of income and w ownership. T W MONTHLY;HOUSEHOLD INCOME _ E AFDC $ Social Securi $ SSI/SSP Disability Insurance $ Employment $ Food Stamps 0 N Unemployment Ins. Pension Retirement Alimon Child Support Other Real rope x TOTAL ANNUAL W TOTAL MONTHLY INCOME: $ INCOME: $ C E Y W Q 2010 Income Level Number of Persons Per Household Exhibit"C-1" PAAgendaslAgenda Attacbments lExhibits12013\7.19.10.Oldtimers Elderly-Special Needs Minor Grant Eclvbit A Scope of Services&Exhibit R Request for Monthly]mbarsement.doc Packet Pg. 335 { 1 2 3 4 5 6 7 8+ Household Annual Income May Not Exceed: Lower Income 80% 35,700 1 40,800 1 45,900 50,950 55,050 59,150 63,200 67,300 c m Ethnicity: (Please check all that apply) E V C a> ❑ Sr. Citizen(s)-62 or Older ❑ Female Head of Household ❑ Disabled One or More E ❑ Black ❑ Hispanic ❑ Other ❑ American Indian ❑ White ❑ Asian or Pacific Islander 2 ca .r N I certify under penalty of perjury that the information provided above is correct to the best of my knowledge. I understand that the inclusion of any willful misrepresentation on this form constitutes ground for rejection of this application and recapture of any financial benefit I may have received. I authorize the Oldtimers Foundation to examine and verify any and all information provided = In this application. a v Date: Signature 'a Date: Signature o v N In M O N C6 W W E a� L CL .L- M Q 1 L d W L E r O Co ++ .Q t X W yi c d E t U R w Q Exhibit"C-2" PAAgendaMgenda Attachments\Erhlbits\2013\7.19.10.Oldlimers E1der15-Special Needs Minor Grant Exhibit A Scope of Services Exhibit 6 Request for Monthly Imbursement doc Packet Pg.336 L7.A.p 1 RESOLUTION NO. 2 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO APPROVING $100,000 IN COMMUNITY DEVELOPMENT BLOCK 3 GRANT FUNDS (CDBG) FOR THE SINGLE FAMILY BEAUTIFICATION LOAN/GRANT PROGRAM IMPLEMENTATION AGREEMENT WITH INLAND 4 HOUSING DEVELOPMENT CORPORATION, INC. (IHDC) AND AUTHORIZING THE E 5 CITY MANAGER TO EXECUTE THE AGREEMENT. E 6 WHEREAS, the City of San Bernardino (the "City") is an entitlement City and eligible to a �a 2 7 participate in the United States Department of Housing and Urban Development's ("HUD") and a 8 receive annual allocation HOME Investment Partnership Act Funds ("HOME") and Community 9 Development Block Grant; and a. 10 WHEREAS, on May 3, 2010, the Mayor and Common Council adopted Resolution 2010- 2 M 11 100, approving the City's 2010-2015 Consolidated Plan and on August 7, 2012, adopted Resolution 'o c 12 2012-82, approving the 2012-2013 Action Plan that is required to guide and identify needs the City v 13 will address incrementally for the 2010-2015 period; and M T 14 WHEREAS, earlier on May 20, 2013, the Council approves and amend the City's 2010- ..r N LU 15 2015 Consolidated Plan and the 2012-2013 Action Plan by allocating $100,000 of CDBG funds for w 16 Single Family Beautification Loan/Grant Program; and a� a 17 WHEREAS, the Inland Housing Development Corporation, Inc., (IHDC) is a non- profit L 18 organization that provides housing rehabilitation and beautification services in the City and in the = R O 19 City and County of Riverside; and -' 20 WHEREAS, under terms of the Agreement, IHDC will assist the City in providing exterior m U- 21 beautification loan / grant to eligible households for paint, replace window and doors, roof repair N U D 22 and install new landscape to homeowners; and = O N 23 WHEREAS, in compliance with the California Environmental Quality Act ("CEQA") and 24 the National Environmental Protection Act ("NEPA") guidelines, the authorization and execution of t 25 this Agreement is determine to be an exempt actions pursuant to Section 15332 of the CEQA r r Q 26 Guidelines and 24 CFR 58. 34(a)(3) of NEPA Guidelines because the propose action is required for 27 federal programs administration and compliance. 28 HI 1 pp iI Y CAdocuments and settings\hanna_gi\local settings\temp\minutet raq\sanbernardinocityca @sanbemardinocityca.igm2.com\work\attachments\4956.docx Papket Pg,_�;A337 7.A.p 1 NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COMMON 2 COUNCIL OF THE CITY OF SAN BERNARDINO AS FOLLOWS: 3 Section 1. The Mayor and Common Council hereby approves the Agreement (attached 4 as Exhibit A) allocating $100,000 in CDBG funds for the Single Family Beautification Loan/Grant "D 5 Program Implementation Agreement with Inland Housing Development Corporation, Inc. and E 6 authorizes the City Manager to execute the Agreement. a �a 7 Section 2. The Mayor and Common Council finds and determines that authorization N .Q 8 and execution of the Agreement is exempt, pursuant to Section 15332 of the CEQA Guidelines and 9 24 CFR 58. 34(a)(3) of the NEPA Guidelines because the propose action is required for federal a 10 programs administration and compliance. 11 Section 3. This Resolution shall take effect upon its adoption and execution in the o c 12 manner as required by the City Charter. v 13 /// M r 14 /// N vi 15 16 E Q 17 c 18 c 19 -Q' 20 m LL 21 co 22 = O to 23 24 25 d 26 27 28 2 CM—ments and settings\hamta_gi\local settings\temp\minutetraq\sanbemardinocityca @sanbemardinocityca.igm2.com\work\attachments\4956.docx RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN 1 BERNARDINO APPROVING $100,000 IN COMMUNITY DEVELOPMENT BLOCK 2 GRANT FUNDS (CDBG) FOR THE SINGLE FAMILY BEAUTIFICATION LOAN/GRANT PROGRAM IMPLEMENTATION AGREEMENT WITH INLAND 3 HOUSING DEVELOPMENT CORPORATION, INC. (IHDC) AND AUTHORIZING THE CITY MANAGER TO EXECUTE THE AGREEMENT. 4 d 5 I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Mayor and m 6 Common Council of the City of San Bernardino at a meeting thereof, a 7 held on the day of , 2013,by the following vote to wit: r 8 Council Members: Ayes Nays Abstain Absent 9 MARQUEZ DESJARDINS 10 VALDIVIA a 11 0 SHORETT = 12 °� KELLEY 13 N JOHNSON M T 14 MC CAMMACK N vi 15 16 E Georgeann Hanna, City Clerk Q 17 c 18 The foregoing resolution is hereby approved this day of 12013 0 19 J w 20 m 21 Patrick J. Morris, Mayor ai City of San Bernardino 0 22 = 0 23 24 Approved as to Form: James F. Penman, E 25 City Attorney r a 26 27 By: 28 3 C\documents and settings\harms_gi\local settings\temp\minutetraq\sanbemardinocityca@ sanbemardinocityca.igm2.com\work\attachments\4956.docx CITY OF SAN BERNARDINO SINGLE FAMILY BEAUTIFICATION LOAN/GRANT PROGRAM THIS AGREEMENT FOR THE SINGLE FAMILY BEAUTIFICATION LOAN/ GRANT PROGRAM is made and entered into this day of June 2013, by and between the RIVERSIDE HOUSING DEVELOPMENT CORPORATION, INC., dba INLAND HOUSING DEVELOPMENT CORPORATION, INC., SERVICES OF THE INLAND EMPIRE, INC., a California non-profit corporation (the "CONTRACTOR") and THE CITY OF SAN E BERNARDINO, a municipal corporation (the "City") and is related to the facts set forth in the following RECITALS: a 1. The City has established housing improvement program known as the "Single Family Beautification Loan/Grant Program" (the "Program"). in 2. The purpose of the Program is to provide low-moderate-income homeowners (the "Qualified Homeowners") who reside in the City of San Bernardino (the "City"), M a. with a special source of loan and grant funds of up to ten thousand ($10,000) to undertake certain housing rehabilitation and correction work(including asbestos, and lead containing materials abatement work, handicap accessibility improvements and building code deficiency corrections and certain exterior landscape and structural beautification improvements of owner-occupied single family residential dwelling 0 units. N 3. The Program promotes and expands the supply of affordable housing in the City and c fosters the elimination and prevention of blight. N vi W 4. In order to administer and operate the Program the City desires to extend to the W CONTRACTOR Agreement for a three (3) years, subject to annual funding E availability and the City hereby allocates the total sum of One Hundred Thousand a Dollars ($100,000) for the Single Family Beautification Loan/Grant Program to be funded from the City's Community Development Block Grant Funds (CDBG) m Program Citywide. X NOW, THEREFORE, IT IS MUTUALLY AGREED BY AND BETWEEN THE PARTIES U_ AS FOLLOWS: Cn U Section 1. DEFINITIONS OF CERTAIN TERMS. In addition to the words and = phrases, which are defined in the Recitals of this Agreement, the following words and terms shall E have the meaning set forth below: Q w a� • "Program Boundaries" means and refers to specific neighborhoods or areas in the E City, which the City has instructed CONTRACTOR to offer the Programs to Qualified Homeowners and also on a Citywide basis. During the term of this Q Agreement and until receipt of further instruction by CONTRACTOR from the City Manager, or authorized representatives, all Program Loans and Grants shall be originated for Qualified Homeowners who reside in the City. 1 CAdocuments and settings\hanna_gi\local settings\temp\minutetraq\mnbemardinocityca@ mnbemardinocityca.igm2.com\work\attachments\4954.docx Packet Pg. 340 7.A.q Q • "City Manager" means and refers to the City Manager of the City and his or her authorized representatives. • "Home" means and refers to the land and the single family dwelling unit in which the Qualified Homeowner resides as its principal residence. • "Program Loan" means and refers to each single family home improvement loan/grant of up to $10,000 transaction by and between a Qualified Homeowner and the City under the Program, to be originated and serviced by the CONTRACTOR as set forth in this Agreement. Each Program Loan may include a component, which is Q repayable as a loan by the Qualified Homeowner to the City for the structural interior rehabilitation improvements to the Home, and a component, which is a grant for the eligible exterior aesthetic amenities and landscape improvements, if any. For the purposes hereof, in a particular instance, a Program Loan to a Qualified Homeowner may thus include both a loan and grant component under the Program, or a loan and/or beautification grant component only, depending on the specific Home and the a Qualified Homeowner's needs. The terms and conditions of each Program Loan are described in the Scope of Services attached hereto as Exhibit "C." Each Program Loan shall be evidenced by the Program Loan Documents. o N C • "Program Loan Applicant"means and refers to the written application for a Program Loan, which has been signed by the Qualified Homeowner and verified by the CONTRACTOR to be complete. M 0 N • "Program Beautification Loan/Grant Application" means and refers to a completed 6 written application for a Program Loan or Grant, which has been executed by a W Qualified Homeowner. Each Program Beautification Loan/Grant Application shall E contain the information relating to the Qualified Homeowner and the proposed use of 0 the Program Loan or Grant proceeds by the Qualified Homeowner together with a a current preliminary title report or other proof of title acceptable to the City for the Home. The CONTRACTOR shall require all Qualified Homeowners to complete m the application for the Program similar to the application attached hereto and w incorporated by reference as Exhibit"D." U_ U • "Program Loan Disbursement Account" means and refers to the custodial deposit = account, which the CONTRACTOR shall establish with an FDIC-insured depository E institution for the receipt and disbursement of all City Fund proceeds under a a Program Loan. Such deposit account agreement among the CONTRACTOR, the City and such depository institution shall be in a form and substance as reasonably satisfactory to the City. No other funds of the CONTRACTOR shall be deposited or co-mingled in the Program Loan Disbursement Account. The CONTRACTOR shall serve as the trustee of the City in the administration of all City Funds or deposit in Q the Program Loan Disbursement Account, including any interest as may accrue thereon. • "Program Loan Documents" means and refers collectively to each of the following Idocuments executed by the Qualified Homeowner: (i) the Program Loan 2 CAdocuments and settings\hanna_gi\local settings\temp\minutet raq\mnbemardinocityca@ sanbemardinocityca.igm2.com\work\attwlunents\4954.docx Packet Pg. 341 Application; (ii) the Program Loan Agreement and the customary consumer loan term disclosure documentation; (iii) the promissory note of the Qualified Homeowner payable to the City and dated as of the date of initial disbursement of City Funds for the account of the Qualified Homeowner to the Program Loan Disbursement Account; (iv) the deed of trust on the Home which secures the repayment of the promissory note to the City; and (v) a policy of title insurance in favor of the City as lender insuring its security interest in the deed of trust. d E The general form of Program Loan Documents (ii), (iii), and (iv) which shall be completed and used in each Program Loan transaction are on file with the City and E CONTRACTOR. �o • "Qualified Homeowner" means and refers to (1) a person or household which owns and occupies a single family resident dwelling unit (a "Home") as its principal residence within the City for at least twelve (12) continuous months preceding the date of submission of its Beautification Loan/Grant Program or Mobile Home Program Grant Application to the CONTRACTOR; (2) has a personal or household income level, adjusted for family size, during the twelve (12) months preceding the date of submission of its Program Loan and Beautification Grant Application to the City within the ranges of income for low- and moderate-income households, adjusted for family size, as set forth in Exhibit "A." v N • Community Development Block Grant ("CDBG PROGRAM") as set forth at 24 M Code of Federal Regulations, part 570, et. Seq., which will be used by the City to c fund this Agreement, specifically, $100,000 annually for the Single Family N Beautification Grant Program (the "City Loan and Grant Program"), to be offered by W the CONTRACTOR to Qualified Homeowners who earn less than 80% of the current annual median income for the San Bernardino County area, adjusted for a, family size as published by the U.S. Department of Housing and Urban Development a` ., (HUD) as further illustrated in Exhibit "A" of this Agreement ("2013 Income Limits") and are subject to annual adjustments. m T X W • "Services" means and refers to the Program Loan origination, City Fund N disbursement control and related accounting and Work monitor (course of U construction builder contract) services to be provided by the CONTRACTOR to the = City. The various elements of the Services are more fully set forth in the "Scope of Services" attached hereto as Exhibit"C." a� a w • "Work" means and refers to the single family housing improvement and a=i beautification or mobile home work to be performed by a state-licensed general CONTRACTOR on each Home pursuant to the terms of a written agreement by and M between the Qualified Homeowner and such general CONTRACTOR. Only the < items of Work set forth in such a contract shall be authorized for payment by the CONTRACTOR, up to the maximum amount authorized under the terms of the Program Loan for such Work. Any costs of Work in excess of the maximum amount of the Program Loan (which are not the fault of such general CONTRACTOR) shall 3 CAdocuments and settings\harms_gi\local settings\temp\minutetraq\sanber rdinocityca@ mnbemardinocityca.igm2.com\work\attachments\4954.docx Packet Pg.342 be paid for by the Qualified Homeowner unless approved in writing by the City Manager or authorized designee. Section 2. SERVICES OF CONTRACTOR. The City agrees to contract with the CONTRACTOR to perform the Services and the CONTRACTOR hereby agrees to accept such contract and to perform the Services as set forth herein. d Section 3. SCOPE OF SERVICES. CONTRACTOR agrees to provide the Services to E the City as set forth herein and as described in the Scope of Services attached as Exhibit "C" for the Program. Promptly following the date of approval of this Agreement by the governing board of the E City the CONTRACTOR shall or will continue to: 2 _ �a (1) cause the Program Loan Disbursement Account to be established, or maintained, and the general form of an FDIC - insured deposit account agreement acceptable to the City to rn be fully executed by the CONTRACTOR, the depository institution and the City within thirty (30) days following the date of approval of this Agreement; a •a (2) continue to use the general form of a Program Beautification Loan/Grant Application for general use in connection with the Services and the origination of Program ° Beautification Loan/Grant as previously provided by the City. The CONTRACTOR shall designate a title insurance company acceptable to the City, which shall coordinate the o U issuance of a lender's policy of title insurance in favor of the City at the time of recordation N of the deed of trust under each Program Loan; M 0 (3) subject to the completion of the tasks described in paragraphs (1) and (2) above, N Ui continue the process of receiving and reviewing Program Loan Applications and provide the Services in accordance with the Scope of Services; W E rn (4) transmit a copy of a completed set of Program Loan Documents, together with a a` recommendation of the CONTRACTOR to fund such Program Loan and a request for a transfer of City Funds for the account of the Qualified Homeowner, to the City Manager for m authorization for funding. The City Manager shall either authorize the funding of such X Program Loan or reject the request for funding on behalf of the City within ten (10) days of LL receipt from the CONTRACTOR. Any rejection of a Program Beautification Loan/Grant, Application shall be in writing and state the reasons for such action. Each acceptance of a Program Beautification Loan/Grant, Grant Application by the City shall be evidenced by the signature of the City Manager of the Program Loan Documents. All Program Loan E Documents for each Program Loan shall be completed by the Qualified Homeowner and the a CONTRACTOR, and the disbursement of City Funds on each Program Loan shall occur within sixty (60) days following the date of submission of the funding request to the City E Manager, or the Program Loan Agreement shall be of no further force or effect; a (5) no fees, charges or expenses shall be payable by any applicant for a Program Loan to the CONTRACTOR, except from City Funds, nor shall the CONTRACTOR charge a Qualified Homeowner for any cost or service in connection with the origination or subsequent administration of a Program Loan during the time Work is performed at the 4 C:\documents and settings\han _gi\local settings\temp\minutetraq\sartb r dinocityca @sanbernardinocityca.igm2.com\work\attachments\4954.docx Packet Pg. 343 7.A.q Home, except for the Maintenance Class fee; or as authorized under the Program by the City Manager; (6) instruct the City Manager to transfer City Funds for the account of each Qualified Homeowner to the Program Loan Disbursement Account as set forth in subparagraph (5), above, upon confirmation by the CONTRACTOR that Program Loan Documents for the r Program Loan are complete and that the deed of trust is ready for recordation. The CONTRACTOR shall coordinate the issuance of the policy of title insurance in favor of the E City by the title insurance copy with the recordation of the deed of trust;(7) deliver a fully executed original set of Program Loan Documents for each Program Loan (except for Q the original deed of trust) to the City upon request of funding and transfer of City Funds for @ the account of the Qualified Homeowner to the Program Loan Disbursement Account; N (8) verify that no City Funds are disbursed from the Program Loan Disbursement Account for the account of a Qualified Homeowner except: (i) to pay a state-licensed general CONTRACTOR for Work performed at the Home pursuant to a written agreement between such CONTRACTOR and the Qualified Homeowner(less a 10%retention pending � completion of the Work and final release of all mechanics and materials liens); and no disbursement of City Funds from the Program Loan Disbursement Account shall be authorized for any building materials or equipment items which are not physically delivered at the Home before the date of payment of such City Funds to the general CONTRACTOR; 0 U or(ii) to pay a Program Loan title fee or cost amount expressly authorized in writing by the N C City Manager; M 0 N (9) prepare and maintain an City Funds disbursement ledger for all payments authorized W and made by the CONTRACTOR to general CONTRACTORS for the account and debit to -- each Qualified Homeowner under each Program Loan. Such ledger shall show each a� payment by date and reference the particular Program Loan to which it corresponds. Such a` ledger shall also include a monthly starting and ending balance for the Program Loan Disbursement Account, a final reconciliation of the adjusted balance of each Program Loan m upon the completion of the Work, and such other accounting information as City Manager x may request. A copy of such ledger shall be submitted to the City Manager each month with LL the first such monthly submittal due on the first day of the next month following the date of the initial deposit of City Funds into the Program Loan Disbursement Account. _ r (10) No Work shall be authorized for payment by the CONTRACTOR unless the E Program Loan Documents are complete and the CONTRACTOR has received a fully Q executed copy of the contract by and between the general CONTRACTOR and the Qualified Homeowner. Once the Work has commenced on a particular Home, neither the Qualified E Homeowner nor the general CONTRACTOR shall authorize an amendment or modification U of such contract to include any item of Work, which is not eligible for payment using City Q Funds under the terms and conditions of the Program and the Program Loan. Each such contract by and between the general CONTRACTOR and the Qualified Homeowner shall include a section, which recites the words of the first two (2) sentences of this paragraph (10). 5 C:\documents and settings\hanna_gi\local settings\temp\minutetraq\mnbernardinocityca@ sanbemardinocityca.igm2.com\work\attachments\4954.docx Packet Pg. 344 Section 4. TIME OF PERFORMANCE OF SERVICES. The Services to be performed hereunder by the CONTRACTOR shall be undertaken and completed in such sequence as to assure expeditious completion and best carry out the purposes of the Program and this Agreement. All Services required hereunder shall begin upon the execution of this Agreement. Section 5. TERM OF AGREEMENT. This Agreement shall take effect upon approval by the Mayor and Common Council and the complete execution by the parties. The Agreement shall remain in effect through June 30, 2016. E c d Section 6. COMPENSATION PAYABLE BY CITY TO CONTRACTOR. E Q m (a) The City shall compensate CONTRACTOR for the performance of the Services using City funds in accordance with the following schedule: (A) During the second year of this Agreement, AHS shall compensate the Contractor for the performance of the Services using the a. Low-Moderate Housing Funds in accordance with the following schedule: $15,000 Annual Program Administration ° Contractor c $85,000 Single Family Beautificatic 0 U Program (CDBG Fund) N U? 100 000 Total c N N W W E L a. (b) Program Administration sums payable by the City to the CONTRACTOR as compensation for Services shall be paid by the City directly to the CONTRACTOR, receipt by City m of a corrected invoice and the Grant Funds Disbursement Ledger (the "Grant Funds Disbursement x Ledger")which shows all Grant Fund payments authorized by City and disbursed by the Contractor LL to the General Contractors and/or to the subcontractors under this Agreement for which the `n Contractor has not been paid by City. City shall pay to the Contractor the correct amount identified on the invoice within thirty (30) calendar days after the receipt by City. The Program Administration Fee under this Agreement and shall not exceed Fifteen Thousand Dollars ($15,000) E in the aggregate, for any given year, payable in twelve (12) equal monthly installments of$1,250.00 Q during the Term of this Agreement. E (c) Payment for Services will be made by the City as of the first day of each calendar month with the first such payment due on the first day of the next calendar month following the date q of the complete execution of the Agreement by the parties. Section 7. PERSONNEL OF CONTRACTOR. CONTRACTOR represents that it has, or will secure at its own expense, all personnel required to perform the Services. All of the Services required hereunder will be performed by persons who are either employed by or under the 6 CAdocuments and settings\hanna_gi\local settings\temp\minutet raq\sanbernardim cityca @sanbemardinocityca.igm2.com\work\attachments\4954.docx Packet Pg.345 supervision and control of the CONTRACTOR, and all personnel engaged in the Services shall be fully qualified to perform such Services. Section 8. INDEPENDENT CONTRACTOR. All acts of CONTRACTOR and all others acting on behalf of CONTRACTOR relating to the performance of this Agreement, shall be performed as independent CONTRACTORS and not as agents, officers, or employees of City. CONTRACTOR has no authority to bind or incur any obligation on behalf of City. CONTRACTOR has no authority or responsibility to exercise any right or power vested in the City. -Ea No agent, officer, or employee of the City shall be considered an employee of CONTRACTOR. It is understood by both CONTRACTOR and City that this Agreement shall not under any E circumstance be construed or considered to create an employer-employee relationship or a joint venture as between the CONTRACTOR and the City. CONTRACTOR is and at all times during the Term of this Agreement shall represent and conduct itself as an independent CONTRACTOR and not as an employee of the City. CONTRACTOR shall be responsible to the City only for the N requirements and results specified in this Agreement, and except as expressly provided in this Agreement, shall not be subject to control by the City with respect to the physical action or o a. activities of CONTRACTOR in fulfillment of this Agreement. CONTRACTOR has control over the manner and means of performing the Services under this Agreement so long as consistent with the requirements of the Program. CONTRACTOR is permitted to provide services to others during the same period Services are provided to the City under this Agreement. If necessary, CONTRACTOR has the responsibility for employing other persons or firms to assist 0 CONTRACTOR in fulfilling the terms and obligations under this Agreement. If in the performance of this Agreement any third persons are retained as subcontractors by CONTRACTOR, such T persons shall be entirely and exclusively under the direction, supervision, and control of c CONTRACTOR. All terms of employment including hours, wages, working conditions, discipline, N hiring, and discharging or any other term of employment or requirements of law shall be determined W by the CONTRACTOR. CONTRACTOR hereby agrees to indemnify, defend (if requested by -- City), and hold the City harmless from any and all claims that may be made against the City or E based upon any contention by any employee of CONTRACTOR or by any third party that an a` employer-employee relationship exists between person and the City, by reason of the performance of any of the Services under this Agreement. m T X Section 9. PAYMENT OF AND TRANSFER OF CITY FUNDS TO PROGRAM w LOAN DISBURSEMENT ACCOUNT. The City shall promptly honor each request by the "' CONTRACTOR for the City to transfer City Funds to CONTRACTOR who will in turn deposit City Funds to the Program Loan Disbursement Account to fund each completed Program Loan as submitted by the CONTRACTOR under Section 3(5). Within ten (10) days following receipt of E each request for remittance of City Funds, the City shall transfer by bank check to the Q CONTRACTOR such City Funds to use as provided herein. E z Section 10. COMMERCIAL GENERAL LIABILITY INSURANCE AND U WORKMANS' COMPENSATION INSURANCE. Q (a) The CONTRACTOR shall obtain and keep in force during the term of this Agreement a commercial general liability policy of insurance with coverage at least as broad as "Insurance Services Office Commercial General Liability Form (G0001)", including but not limited \, to insurance against assumed contractual liability under this Agreement protecting the City, its 7 C9documents and settings\hamta_gi\local settings\temp\minutetraq\sanbernardinocityca @sanbe=rdinocityca.igm2.com\work\attachments\4954.docx Packet Pg. 346 officers, attorneys, employees and agents, as additional insureds against claims for bodily injury, personal injury and property loss or damage based upon, involving or arising out of the Services provided by the CONTRACTOR. Such insurance shall be on occurrence basis providing single limit coverage in an amount not less than One Million Dollars ($1,000,000) in the event of bodily injury, personal injury and property loss or damage to any number of persons per occurrence. All insurance to be carried by the CONTRACTOR shall be primary to and not contributing to any single insurance carried by the City whose insurance shall be considered excess insurance only. E (b) To the extent required by the law, the CONTRACTOR shall carry and maintain workers' compensation or similar insurance in form and amounts required by law. E (c) All insurance which the CONTRACTOR shall carry or maintain pursuant to this Section 10 shall be in such form, for such amounts, for such periods of time as the City may require or approve and shall be issued by an insurance company or companies authorized to do business in rn California and which maintains during the term of the policy a"General Policy Holder's Rating" of at least A (v), as set forth in the most current edition of "Best's Insurance Guide". In no circumstance will the CONTRACTOR be entitled to assign to any third party rights of action, "D which the CONTRACTOR may have against the City. All policies or endorsements issued by the 2 respective insurers for commercial general liability insurance will name the City, its officers, ° attorneys, employees and agents, as additional insureds and provide that: (i) any loss shall be notwithstanding any act or failure to act or negligence of the CONTRACTOR or the City or any c0 other person; (ii) no cancellation, reduction in amount, or material change in coverage thereof shall be effective until at least thirty (30) days after receipt by the City of written notice thereof; and (iii) the insurer shall have no right of subrogation against the City, its officers, agents, attorneys, or o employees. N vi W (d) The CONTRACTOR shall deliver or cause to be delivered to the City concurrently X upon the execution of this Agreement an endorsement of its commercial general liability insurance a� policy evidencing the existence of the insurance coverage required by the City and shall also a. deliver, no later than thirty (30) days prior to the expiration of any such policy, a certificate of insurance evidencing each renewal policy covering the same risks. m T X Section 11. INDEMNIFICATION. CONTRACTOR shall indemnify (if requested by UL City), defend and hold harmless the City, its officers, attorneys, agents and employees, from and U) against any and all claims, loss, demands and liability for damages for personal injury or property damage suffered by reason of any act or omission of CONTRACTOR or CONTRACTOR'S employees, volunteers, agents or CONTRACTORS. City shall indemnify, defend (if requested by E CONTRACTOR) and hold harmless the CONTRACTOR, its officers, and employees, from all Q claims, loss, demands and liability for damages for personal injury or property damage suffered by a reason of any act or omission of the City or any of its officers or employees or agents, except where E such action or omission giving rise to such a claim is caused by or is the result of an action, omission or request of CONTRACTOR or CONTRACTOR'S officers, or employees, or is alleged Q to arise out of the execution of this Agreement. The provisions of Section 11 shall survive the expiration or early termination of this Agreement. Section 12. DEFAULTS AND BREACH - GENERAL. Failure or delay by either party to perform any material term or provision of this Agreement shall constitute a default 8 C:\documents and settings\harms_gi\local settings\temp\minutetraq\sanbert tardinocityca @mnbemardinocityca.igm2.com\work\attachments\4954.docx Packet Pg. 347 7.A.q hereunder;provided however,that if the party who is otherwise claimed to be in default by the other party commences to cure, correct or remedy the alleged default within thirty (30) calendar days after receipt of written notice specifying such default and shall diligently complete such cure, correction or remedy, such party shall not be deemed to be in default hereunder. The party, which may claim that a default has occurred, shall give written notice of default to the party in default, specifying the alleged default. Delay in giving such notice shall not constitute a waiver of any default nor shall it change the time of default; provided, however, the injured party shall have no w right to exercise any remedy for a default hereunder without delivering the written default notice as E specified herein. Any failure to delay by a party in asserting any of its rights and remedies as to any default shall not operate as a waiver of any default or of any rights or remedies associated with a Q default, and the rights and remedies of the parties are cumulative and the.exercise by either party of one or more of such rights or remedies shall not preclude the exercise by it, at the same or different times, of any other rights or remedies for the same default or any other default by the other party. In the event that a default of either party may remain uncured for more than thirty (30) calendar N days following written notice, as provided above, a "breach" shall be deemed to have occurred. In the event of a breach, the party who is not in default shall be entitled to terminate this Agreement a a. and seek any appropriate remedy or damages by initiating legal proceedings. If any action or proceeding is brought to enforce the terms hereof or declare rights hereunder, it shall be brought in the Superior Court of the County of San Bernardino, San Bernardino District, State of California. ° The governing law to be applied in any such action or proceeding shall be the law of the State of c California. The prevailing party in any such legal proceedings shall be entitled to recover as an c0 element of its costs of bringing such suit, and not as part of its damages, its reasonable attorneys' fees and costs. The costs, salary and expenses of the City Attorney and members of his office in M such action or proceeding on behalf of the City shall be considered as "attorneys' fees" for purposes o of this Section. N vi w Section 13. NONDISCRIMINATION. During CONTRACTOR'S performance of the Ix Services, CONTRACTOR shall not discriminate on the grounds of race, religious creed, color, E national origin, age, ancestry, physical handicap, medical condition, marital status, sex, or sexual a. orientation in the selection and retention of employees and subcontractors and the procurement of CU materials and equipment, except as provided in Section 12940 of the California Government Code. m T X Section 14. CONFLICT OF INTEREST. CONTRACTOR warrants, by execution of LL this Agreement, that it has no interest, present or contemplated, in any Program Loan or Beautification or Mobile Home Grant or any Home benefited thereby or Work performed on any Home using a Program Loan. CONTRACTOR further warrants that it owns or possesses no interest in real property, business interests or owner of income (other than such amounts of E compensation payable by the City to CONTRACTOR for the Services under this Agreement) that a will be affected by the Program or, alternatively, if such interest exists or arises the CONTRACTOR will promptly file with the City an affidavit disclosing any such interest. E U CC Section 15. AMENDMENTS. All amendments to this Agreement shall be subject to the Q approval of both parties in the sole discretion of each of them, mutual and in writing. The City Manager is authorized to make non-substantive changes, clarifications, corrections to the Agreement, including budget line item adjustments, provided such actions are approved by City Attorney and do not increase the City's monetary annual appropriation to the CONTRACTOR as approved by the Mayor and City Council. 9 C\documents and settings\hanna_gi\local settings\temp\minutetraq\sanbernardinocityca @sanbemardinocityca.igm2.com\work\attachments\4954.docx Packet Pg. 348 7.A. Section 16. TERMINATION. (a) This Agreement may be terminated for any reason by either party who is not then in default upon ten (10) days' prior written notice to the other party. In such event, the CONTRACTOR shall be entitled to receive compensation for Services pro-rated through the date of such termination, provided that the Services have been rendered. E (b) In the event of a termination of the Agreement as a result of a breach, the rights and d duties of the parties shall be as set forth in Section 12. Q (c) In the event of any termination of this Agreement, CONTRACTOR shall promptly C return all Program Loan Disbursements to the City without charge or expense to the City. Section 17. ASSIGNMENT. It is mutually understood and agreed that this Agreement shall be binding upon the City and its successors and upon the CONTRACTOR and its successors. Neither this Agreement, nor any part thereof, nor monies due or to become due thereunder, may be assigned by the CONTRACTOR without the prior written consent and approval of the City. The City and the CONTRACTOR hereby agree to the full performance of the covenants contained herein. 6 c Section 18. NOTICES. Delivery of any notice, bill, invoice or report required by this a U Agreement shall be sufficient if sent by one party to the other in the United States mail, postage N prepaid, to the address noted below: M 0 City Contractor N vi City of San Bernardino Inland Housing Development Ix Attention: City Manager Corporation, Inc., Inc. E 300 North D Street, 6th Floor Attention: Executive Director 5- San Bernardino, California 92401 4250 Brockton Avenue Riverside, California 92501 Phone: (951) 341-0170 00 Fax: (951) 341-0171 w U_ rn Section 19. REPRESENTATION AND WARRANTY OF CONTRACTOR. o x The CONTRACTOR hereby represents and warrants to the City as follows: E a (i) CONTRACTOR is a California nonprofit corporation duly organized, existing, and authorized to transact business in California; U (ii) the corporate charter and by-laws of the CONTRACTOR authorize the CONTRACTOR to provide the Services to the City and the governing board and membership of a CONTRACTOR have previously taken all action necessary to authorize the execution of this Agreement by the CONTRACTOR; (iii) the CONTRACTOR is qualified to perform the Services. 10 Cldocuments and settings\hanna_gi\local settings\temp\minutetraq\sanbe dinocityca@ sanbemardinocityca.igm2.wm\work\attachments\4954.docx Packet Pg. 349 7.A.q Section 20. OTHER PROGRAM REOUIREMENTS. 1. CONTRACTOR must carry out all activities in compliance with all federal laws and regulations and outlined hereinafter, except that CONTRACTOR does not assume the City's responsibility for environmental review. These federal laws and regulations must be complied with as follows: a. Equal Opportunity. No person shall be excluded from participation in, be denied the benefits of, or be subjected to discrimination under any program or activity E funded in whole or in part with HOME funds. In addition,HOME funds must be made available in accordance with all laws and regulations listed in Section 92.350(a). b. Fair Housing. In accordance with the certification made with its housing strategy, each participating jurisdiction must affirmatively further fair housing. Actions described in Section 570.904(c) of Title II of the Cranston-Gonzales National Affordable Housing Act will satisfy this requirement. a 6 N _ c. Displacement, Relocation, and Acquisition. Consistent with the other goals and 0 U objectives of this Subpart H of 24 CFR 92, CONTRACTOR must ensure that it has taken all reasonable steps to minimize the displacement of persons (families M and individuals) as a result of any project assisted with HOME funds. Moreover, c CONTRACTOR agrees that it will not undertake any project activity that will cause displacement of any homeowner in accordance with Section 92.353, W without the approval of the City. E T d. Conflict of Interest. CONTRACTOR will hereby comply with all requirements a. set forth regarding conflict of interest provisions as they apply in Section 92.356. a� m e. Debarment and Suspension. As required in Section 92.357, CONTRACTOR x will comply with all debarment and suspension certifications. U. U) f. Flood Insurance. Under the Flood Disaster Protection Act of 1973, HOME funds may not be used with respect to the acquisition or rehabilitation of a project w located in an area identified by the Federal Emergency Management City E (FEMA) as having special flood hazards,unless: Q 1. The community in which the area is situated is participating in the National E Flood Insurance Program, or less than a year has passed since FEMA notification regarding such hazards; and Q 2. Flood insurance is obtained as a condition of approval of the commitment. If the unit is located in an area identified by FEMA as having special flood hazards, upon notification by the City or FEMA, CONTRACTOR is responsible for assuring that flood insurance under the National Flood 11 CAdocuments and settings\hanna_gi\local settings\temp\minutetmq\sanbemardinocityca@ sanbernardinocityca.igm2.com\work\attachments\4954.docx Packet Pg. 350 Insurance Program is obtained and maintained on each unit assisted with Grant Funds. Section 21. PROGRAM LOANS AND PROGRAM LOAN DOCUMENTS ARE THE PROPERTY OF THE CITY. Each Program Loan is the property and asset of the City. The CONTRACTOR has no property interest in any such Program Loan and the CONTRACTOR shall not transfer, assign or pledge as collateral or claim any other security interest in any such Program Loan. All of the Program Loan Documents are the property of the City, and -Ea the CONTRACTOR shall maintain all such Program Loan Documents in its possession as d confidential consumer business records of the Qualified Homeowner and the City and upon the a conclusion of this Agreement, all such Program Loan Documents shall be delivered by the CONTRACTOR to the City. All City Funds deposited with the CONTRACTOR who will deposit said funds to the Program Loan Disbursement Account are the property of the City until paid by the CONTRACTOR for the account of a Qualified Homeowner under the applicable Program Loan Documents. ' Section 22. GENERAL. This Agreement constitutes the sole agreement between the parties. All prior conversations, agreements or representations relating hereto are integrated in this Agreement. No oral agreement, representation or warranty shall be binding upon the parties. 0 rn 0 U N 19 Cl) O N N W E >T L a 0 m m x W LL U D w E a E w a 12 C:\documents and settings\han _gi\local settings\temp\minutet raq\sanbernardinocityca @mnbernardinocityca.igm2.com\work\attachments\4954.docx h CONTRACTOR and the City have caused this Agreement to IN WITNESS WHEREOF, the CO y gr be duly executed on the dates indicated below next to the authorized officers of each of them. This Agreement may be executed in counterparts, but this Agreement shall have no force or effect unless it has been fully executed by the parties. w a� CITY E _ d City of San Bernardino E 7o _ �a r Date: By: Allen Parker, City Manager a m Approved as to Form: JAMES F. PENMAN, City Attorney 0 U By: N 0 M O CONTRACTOR `" C6 W Riverside Housing Development Corporation, Inc., a California nonprofit corporation, dba Inland Housing E Development Corp. a d M T X Date: By: U- Title: Executive Director o x E a� a Date: By: E Title: w a 13 CAdocuments and settings\hanna g local settings\temp\minutetraq\sanbernardinocityca @sanbemardinocityca.igm2.com\work\attachments\4954.doex 0 EXHIBIT "C" SCOPE OF SERVICES (Description of Program) A. CONTRACTOR'S Administration Costs r c a� The City shall compensate CONTRACTOR the total sum of $100,000 for the administration and E implementation of the Program herein and for services rendered under this Agreement. d CONTRACTOR shall bill the City monthly in equal installments of$1,250.00 up to the maximum E amount of compensation stated herein. ra _ B. Single Family Beautification Loan/Grant Program (the "Program") ($100,000) The CONTRACTOR shall conduct the Program in accordance with the following guidelines: Loan /Grant Program: On a case by case basis and only as approved and directed by the City Manager,to utilize the funds herein to provide Beautification Grants up to a maximum of $10,000 per property to Qualified Homeowners. (NOTE: Refer to Section 6(a) of this Agreement for specific Budget Line Items on how these funds are to be used). On a case-by-case basis, subject c to extenuating circumstances, the amounts herein may be exceeded, provided CONTRACTOR has o U obtained approval by the City Manager, or his/her authorized designee. The improvements allowed N under the Program are described in"D"below of this Scope of Services. M 0 N vi W C. Eligible Improvements Permitted under the Program E T The following types of improvements are permitted, but not limited to: a` Loan/Grant Program: Roof replacement; exterior painting including lead remediation; m landscaping including automatic sprinklers, grass seed and planting materials in accordance with X City Landscaping Guidelines; parkway enhancements such as stamped concrete, trees and UL landscape plantings; window replacement; driveway repairs or replacements; garage door replacement; wrought iron, vinyl, wood or block fencing. The Maximum Beautification Grant permitted under the Program is $10,000 per property. *1 E a� D. Applicant Eligibility Requirements for the Program a _ m 1. Qualified Homeowner must be an owner occupant for a minimum period of one (1) year; on E a case-by-case basis, and depending on the circumstances, this requirement may be waived by the City Manager or designee; CONTRACTOR shall obtain evidence of ownership and length of a residency. 2. Qualified Homeowner must complete a Program Application (see Exhibit "D" as an example) and meet the applicable income criteria(see Exhibit"A"). 14 0\documents and settings\hanna gNocal settings\temp\minutetraq\sanbernardinocityca @mnbemard mcityca.igm2.com\work\attachments\4954.docx ¢ "WW 7.A.q 3. All Qualified Homeowners must agree to attend a Maintenance Class conducted by CONTRACTOR; to sign and notarize a Maintenance Covenant and agree to live in their home for not less than one (1) year following recordation of the Maintenance Covenant. E. Guidelines: Y The CONTRACTOR shall conduct the Program in accordance with the following guidelines: E 1. CONTRACTOR shall administer and implement the Program herein and shall utilize the applicable and pertinent sections of the City's Rehabilitation Loan and Grant Policies and E Procedures Manual for guidance on processing and packaging all loans and grants under this Agreement, if applicable under the direction of the City Manager. Y N 2. The CONTRACTOR shall process Program Applications on a first-come, first-served basis. However, in case of emergency, or life threatening situation, the CONTRACTOR may process an c application on an urgent basis subject to approval by the City Manager. CL 3. The CONTRACTOR shall inspect eligible properties to determine the type of health and safety and code violation repair work needed, including asbestos and lead based paint removal, the age and overall condition of the unit and to ensure that all units rehabilitated or improved under the Program when completed are aesthetically pleasing and in compliance with local, state and federal 0 U ordinances and laws. " N 4. The CONTRACTOR shall prepare and complete work write-ups, cost estimates, and bid c packages for the improvements for each property. N vi W 5. The CONTRACTOR shall ensure that all work performed on the Qualified Homeowner's W home is performed by pre-qualified State licensed contractors. The CONTRACTOR shall also a, require that any contractor performing work under the Program possess a current business license in a. the City of San Bernardino and has a current license with the State of California contractor's License Board. The CONTRACTOR shall be required, whenever feasible, to obtain a minimum of m three (3) bids for all work performed. All work performed by contractors shall be approved and w authorized by the Qualified Homeowner, and shall be completed within a specified timeframe LL acceptable to Qualified Homeowner and contractors. `n U 0 6. The CONTRACTOR shall solicit bids for the rehabilitation work from a list of pre-approved = Y general contractors and assisting Qualified Homeowners with the selection of a contractor, and the E execution of the contract between owner and contractor, including the Scope of Work and Schedule Q of Performance; schedule and conduct pre-construction and walk-through conferences, etc. E 7. The CONTRACTOR shall inspect and monitor the rehabilitation work while in progress and supervise the payment invoice procedures to ensure that all contractors and subcontractors are a meeting obligations and that progress payments and retentions are paid in a timely manner. 1 8. The CONTRACTOR shall coordinate final inspection and payment of the contract retention with the Qualified Homeowner and contractor. 15 CAocuments and settings\hanna_gi\local settings\temp\minutetraq\sanbernardinocityca @sanbemardinocityca.igm2.com\work\attachments\4954.docx Packet P4.,154 , 9. The CONTRACTOR shall maintain accurate records for inspection by the City concerning income and program occupancy of all persons obtaining assistances from the CONTRACTOR pursuant to this Agreement including, but not limited to, application, proof of ownership, income verification, comparables or appraisals, work write-ups, contracts, promissory notes, deeds of trust, etc. The original promissory note and deed of trust shall be for the benefit of the City and shall be transmitted to City upon request for each loan. r d 10. The CONTRACTOR shall also provide quarterly reports to the City, or as necessary, upon E the request of the City Manager. Q From time to time, the City and CONTRACTOR shall coordinate inspection site visits to ensure that the work being performed on a Qualified Homeowner's home is being performed in a good workmanlike manner and in accordance with applicable codes (UBC, UPC, UMC,NEC and Health and Safety) and City Ordinances. CO 11. The CONTRACTOR shall provide any and all services required by the City Manager or designee, in order to effectively implement and complete the Services under this Agreement. as r 6 N _ O U N M O N Ui W W E L a �a d m Y X W LL Cn U C3 2 E Q _ m E s v Q 16 CAdocuments and settings\hanna_gi\local settings\temp\minutetraq\sanbenwdinocityca @sanbetnardinocityca.igm2.com\work\attachments\4954.docx r 4.r;.:..,. x EXHIBIT "A" 2013 Income Limits Y a� E _ a� E a m Y N 7 _ a w Y .p N _ O U N U? ® M O N N W tl E CD L a Y m X W LL to U N Y s x W _ CD E M v ca Y Y Q 21 P:1Agendas\Agenda Attachments\Agenda Attachinents\Agrmts-Amend 201017.19.10 IFIDC Rehab Loan Program Agreement Packet Pg. 356 ....:......................... YEAR 2013 INCOME LIMITS RIVERSIDE & SAN BERNARDINO COUNTIES HOUSEHOLD 30% 50% 60% 80% MEDIAN MEDIAN MEDIAN MEDIAN SIZE INCOME INCOME INCOME INCOME FAMILY Extremely Very 60% Low a SIZE Low Low Median a 2 1 $13,400 $221300 $26,760 $35,700 w 2 $15,300 $25,500 $30,600 $40,800 3 $17,200 $283700 $341,440 $45,900 4 $19,100 $31,850 $38,220 $50,950 CL 5 $20,650 $34,400 $41,280 $55,050 6 $225200 $36,950 $44,340 $59,150 7 $23,700 $39,500 $47,400 $63,200 N S $25,250 $42,050 $50,460 $67,300 0 N Ln rN M O N ui W W E L a m m T X W u- co U w w .c x W c m E v Ar .r Q Packet Pg.357 , EXHIBIT"C" Scope of Services r C d E C d E Q C N .Q Cn C R CL d O N C O U N M O N W E 0 L C. d.+ R d CO T x W LL Cn U 0 N L X W C O E m V t0 Q Packet Pg. 358 EXHIBIT "C" SCOPE OF SERVICES (Description of Program) A. CONTRACTOR'S Administration Costs The City shall compensate CONTRACTOR the total sum of$100,000 for the administration and implementation of the Program herein and for services rendered under this Agreement. E CONTRACTOR shall bill the City monthly in equal installments of$1,250.00 up to the maximum a amount of compensation stated herein. to B. Single Family Beautification Loan/Grant Program(the"Program") ($100,000) The CONTRACTOR shall conduct the Program in accordance with the following guidelines: _ a Loan /Grant Program: On a case by case basis and only as approved and directed by the City Manager,to utilize the funds herein to provide Beautification Grants up to a maximum of $10,000 per property to Qualified Homeowners. (NOTE: Refer to Section 6(a) of this Agreement o for specific Budget Line Items on how these funds are to be used). On a case-by-case basis, subject c to extenuating circumstances, the amounts herein may be exceeded, provided CONTRACTOR has U obtained approval by the City Manager, or his/her authorized designee. The improvements allowed under the Program are described in"D"below of this Scope of Services. M 0 N cli W W C. Eligible Improvements Permitted under the Program E rn L The following types of improvements are permitted,but not limited to: Loan/Grant Program: Roof replacement; exterior painting including lead remediation; m landscaping including automatic sprinklers, grass seed and planting materials in accordance with w City Landscaping Guidelines; parkway enhancements such as stamped concrete, trees and N landscape plantings; window replacement; driveway repairs or replacements; garage door o replacement; wrought iron, vinyl, wood or block fencing. The Maximum Beautification Grant = permitted under the Program is $10,000 per property. Y 72 D. Applicant EIigibility Requirements for the Program W 1. Qualified Homeowner must be an owner occupant for a minimum period of one(1) year; on a case-by-case basis, and depending on the circumstances, this requirement may be waived by the City Manager or designee; CONTRACTOR shall obtain evidence of ownership and length of 1° residency. a 2. Qualified Homeowner must complete a Program Application (see Exhibit "D" as an Icexample)and meet the applicable income criteria(see Exhibit"A"). 14 P:Agendas%Agenda AttachmentMgenda Allachments\Agrmis-Amend 261310-7-23-13 1HDC SP EXTERIOR BEA7AT Grant Programs-Contract Renewal Agrmt_docx Packet Pg.359 7.A.r i 3. All Qualified Homeowners must agree to attend a Maintenance Class conducted by CONTRACTOR; to sign and notarize a Maintenance Covenant and agree to live in their home for not less than one(1)year following recordation of the Maintenance Covenant. E. Guidelines: The CONTRACTOR shall conduct the Program in accordance with the following guidelines: a 1. CONTRACTOR shall administer and implement the Program herein and shall utilize the 0 applicable and pertinent sections of the City's Rehabilitation Loan and Grant Policies and a Procedures Manual for guidance on processing and packaging all loans and grants under this Agreement,if applicable under the direction of the City Manager. o N 2. The CONTRACTOR shall process Program Applications on a first-come, first-served basis. co However, in case of emergency, or life threatening situation, the CONTRACTOR may process an = application on an urgent basis subject to approval by the City Manager. a a d 3. The CONTRACTOR shall inspect eligible properties to determine the type of health and safety and code violation repair work needed, including asbestos and lead based paint removal, the o age and overall condition of the unit and to ensure that all units rehabilitated or improved under the c Program when completed are aesthetically pleasing and in compliance with local, state and federal U ordinances and laws. 4. The CONTRACTOR shall prepare and complete work write-ups, cost estimates, and bid N packages for the improvements for each property. vi w 5. The CONTRACTOR shall ensure that all work performed on the Qualified Homeowner's E home is performed by pre-qualified State licensed contractors. The CONTRACTOR shall also 0) require that any contractor performing work under the Program possess a current business license in a the City of San Bernardino and has a current license with the State of California contractor's M License Board. The CONTRACTOR shall be required, whenever feasible,to obtain a minimum of m three (3) bids for all work performed. All work performed by contractors shall be approved and w authorized by the Qualified Homeowner, and shall be completed within a specified timeframe N acceptable to Qualified Homeowner and contractors. o x 6. The CONTRACTOR shall solicit bids for the rehabilitation work from a list of pre-approved general contractors and assisting Qualified Homeowners with the selection of a contractor, and the execution of the contract between owner and contractor,including the Scope of Work and Schedule w of Performance; schedule and conduct pre-construction and walk-through conferences,etc. as 7. The CONTRACTOR shall inspect and monitor the rehabilitation work while in progress and supervise the payment invoice procedures to ensure that all contractors and subcontractors are meeting obligations and that progress payments and retentions are paid in a timely manner. a 8. The CONTRACTOR shall coordinate final inspection and payment of the contract retention with the Qualified Homeowner and contractor. 15 PAAgendas\Agcnda Attachmenis\Agenda AttachmentslAgrmts-Amend 2013\13-23-13 IIIDC SF EXCERTOR BEAUII Grant Programs-Contract Renmml Agrmt,docs Packet Pg.360' 7.A.r 9. The CONTRACTOR shall maintain accurate records for inspection by the City concerning income and program occupancy of all persons obtaining assistances from the CONTRACTOR pursuant to this Agreement including, but not limited to, application, proof of ownership, income verification, comparables or appraisals, work write-ups, contracts, promissory notes, deeds of trust, etc. The original promissory note and deed of trust shall be for the benefit of the City and shall be transmitted to City upon request for each loan. d 10. The CONTRACTOR shall also provide quarterly reports to the City, or as necessary, upon the request of the City Manager. Q From time to time, the City and CONTRACTOR shall coordinate inspection site visits to ensure '? that the work being performed on a Qualified Homeowner's home is being performed in a good workmanlike manner and in accordance with applicable codes (UBC,UPC,UMC,NEC and Health Q and Safety)and City Ordinances. U 11. The CONTRACTOR shall provide any and all services required by the City Manager or n. designee, in order to effectively implement and complete the Services under this Agreement. 0 0 U N M O N N W W E L a �a m m x W LL N V 2 to .a .0 x W _ E V w Q 16 PAAgendaslAgenda AttachmentsXAWnda Altachments\Agrmts-Amend 2013104-23-13 HIDC SF EXTERIOR BEALM Greet Programs-Contract Renewal Agrmt.do". Packet Pg.361 EXHIBIT "D" Program Application d E _ as E a r _ N 7 N _ tC a d Y a_ 0 c 0 U N T M NO N N w E L a R m CO T x w LL N v 0 x U) s x w a� E s a .rte Packet Pg. 362 For Office Use ONLY 7«�►-► Application Mailed out on: r of San Bernardino- Inland Housing Development -.1gle Family Beautification Grant Program Application Corporation(IHDC) Applicant's Name(Last,First,MI) Applicant's Date of Birth , _ d Applicant's Spouse's Name or Co-Applicant Co-Applicant's Date of Birth E Street Address Applicant's Phone Number Q (Office Use Only) _ City/Zip Map Verification `e Date: Initials: _ �a v, DO YOU HAVE ANY NOTICE OF VIOLATION WITH THE CITY OF SAN BERNARDINO CODE ENFORCEMENT co OR ANY OTHER CITY AGENCIES YES IF YES,PROVIDE COPY. NO , Years lived in residence: List all persons living in residence other than you: a. Name Relationship Age Ye Em to ed No 6 c 0 U N T income must be shown in income section.Must show proof of income to qualify.Written verification must be forwarded with application. c MONTHLY HOUSEHOLD GROSS INCOME N AFDC Social Security SSI/SSP W Disability Em to ment Food Stamps Unem to meat Ins Pension/Retire Alimony E rn Child Su ort Other/Real Prom a. Total Monthly Income: $ Total Annual Income $ a� m T 2010 Income Level(subject Number of Persons Per Household w to annual change) 1 2 3 4 5 6 7 8 LL Household Annual Income May Not Exceed: 0 80%Median Income 35,700 1 40,800 45,900 50,950 55,050 59,150 63,200 67,300 1 N w Ethnicity: (Please check all that apply) Optional t X Sr.Citizen(s)-60 or older Female Head of Household Disabled One or More w Hispanic Asian/Pacific American Indian Black White,Non-Hispanic Other E I certify under penalty of perjury that the information provided above is correct to the best of my knowledge. I w understand that the inclusion of any willful misrepresentation on this form constitutes ground for rejection of this Q application and recapture of any financial benefit I may have received. I authorize the Riverside Housing Development Corporation dba Inland Housing Development Corporation(the"IHDC") and/or the City of San Bernardino to examine and to verify any and all information provided in this application. Date: Signature Date: P:1Agendas\Agenda Attachments lSxhibits12010/7.19.101HDC Beautification Grant Program Application Packet Pg. 363 EXHIBIT"E" General Contractor Agreement r c E c E Q r rn c a d r 0 y C O U N M O N N w w E L a m m T x w LL CO U N w '.E x w c a� E s r Q 30 P:\Agendas\Agenda Attachments\Agenda AttachmenMAgrmts-Amend 201017.19.101HDC Reliab Loan Program Agreement Packet Pg.-364 Single Family Beautification Grant Program Inland Housing Development Corporation SINGLE FAMILY BEAUTIFICATION GRANT PROGRAM r GENERAL CONTRACTOR AGREEMENT File No: «FileNo» E Owner(s): a w Rehab Address: _ THIS AGREEMENT is made this day of by and between hereinafter called the"Owner(s)" hereinafter called the"Contractor". `" _ WITNESSETH, that the Contractor and the Owner(s) for the consideration stated herein agree as follows: r 1. RECITALS: This Agreement is made and entered into with respect to the following facts: y _ 0 a) That the City of San Bernardino (the "City") has a program to help low-moderate income resident-owners of single family homes (which shall not include any duplex, triplex or four-plex N dwellings) make certain improvements to their homes, called the Single Family Beautification M Grant Program; and, N b) Riverside Housing Development Corporation dba Inland Housing Development Corporation vi (the `IHDC') has contracted with the City to administer said housing beautification program, pursuant to applicable laws; and, c) Owner has determined to participate in such program by causing certain improvements to be E made to his/her property, and has qualified for a grant to undertake such improvements; and, a d) Contractor attests that its company is properly licensed and fully qualified to perform the work proposed to be accomplished in this Agreement, under terms and conditions hereinafter set m forth; and, e) Owner and the Contractor acknowledge and agree that the IHDC and the City are third party w beneficiaries of this Agreement, consistent with the IHDC mission of housing rehabilitation. Cn U 2. CONSIDERATION: THE UNDERSIGNED CONTRACTOR proposes to furnish labor and materials, _ complete in accordance with the specifications attached hereto as Exhibit "A"and incorporated herein by this reference for the sum of ($ 1, with payments to be made within ninety (90) calendar days from the completion of the work, subject to any additions and X deductions as provided herein. W r _ 3. WORK: Contractor agrees to complete all work in accordance with the contract documents, all applicable laws, and in a workmanlike manner, according to generally acceptable, standard building practices. Any alteration or deviation from the attached specifications will be executed only upon a written consent of the property Owner(s), the Contractor, and the IHDC. All materials are guaranteed to be as specified. No extra charges or costs will be paid. Contractor will be solely liable if he/she has neglected to properly evaluate the extent of the rehabilitation work. The performance under this Agreement is subject to forced delays when due to strikes, accidents or acts of God. 1 - P:1AgendasWgenda AttachmentslExhibits1201017.19.10 IHDC Beaut Grant General Contractor Agreement Packet Pg.365 Single Family Beautification Grant Program 4. INDEMNIFICATION: The Contractor agrees to indemnify, defend and hold harmless the IHDC, the City and their authorized officers, members, directors, employees, agents, contractors, subcontractors and volunteers (collectively, the "Indemnified Parties")from any and all claims, actions, losses, damages, suits, fees (including, without limitation, reasonable attorneys' fees, court costs, expert witness fees and consultant fees), obligations and/or liabilities (singularly, a "Claim" and collectively, the "Claims"), now or hereafter arising out of this Agreement from any cause whatsoever, including acts, errors or omissions of any person and for any costs or expenses incurred by the IHDC, a by the City and/or by any of the other Indemnified Parties on account of any Claim therefore, except E where such indemnification is prohibited by law. This indemnification provision shall survive the r_ execution, the performance, the termination and the expiration of this Agreement. E Q 5. INSURANCE: Without in anyway affecting the indemnity herein provided and in addition thereto, the Contractor shall secure and maintain throughout the term of Agreement, and shall continue one (1) year after the performance by the Contractor of the work under this Agreement, the following types of insurance: co a. Workers' Compensation — a program of Workers' Compensation insurance or State- 2 approved Self Insurance Program in amount or form to meet all applicable requirements of the 0- Labor Code of the State of California, including Employer's Liability with $1,000,000 limits, covering all persons providing services on behalf of the Contractor and all risks to such -a persons under this Agreement. a 0 b. Comprehensive General and Automobile Liability Insurance — This coverage to include, L) without limitation, comprehensive general liability policy of insurance with coverage at least as broad as"Insurance Services Office Commercial General Liability Form (G0001), in the amount M not less than $1,000,000 combined single limit per occurrence, with said insurance covering N comprehensive general liability including, but not limited to, contractual liability, assumed contractual liability under this Agreement, acts of subcontractors, premises-operations, W explosion, collapse and underground hazards, if applicable, broad form property damage, 0- bodily injury and personal injury including libel, slander and false arrest and automobile liability E coverage on owned, hired and non-owned vehicles. a a C. Errors and Omissions Liability Insurance — Combined single limits of $1,000,000 and m $2,000,000 in the aggregate or Professional Liability insurance with limits of at least x $1,000,000 per claim or occurrence. w LL N 6. ADDITIONAL NAMED INSURED, PRIMARY INSURANCE AND BEST'S KEY RATING: All policies, except for the Workers' Compensation, the Errors and Omissions and the Professional = Liability policies shall contain additional endorsements naming the IHDC, the City and the other w Indemnified Parties as additional named insureds with respect to liabilities arising out of the performance of the services hereunder. All insurance obtained by the Contractor shall be primary to x and shall not be contributing with any insurance carried by the IHDC, by the City and/or by any of the w other Indemnified Parties. All insurance policies required under this Agreement shall be obtained from a insurance companies admitted in the State of California and rated at least A: XII in the most current E Best's Key Rating Insurance Guide. U 7. WAIVER OF SUBROGATION OF RIGHTS: Except for Errors and Omissions Liability, the a Contractor shall require the insurance carriers of the above required coverage's to waive all rights of subrogation against the IHDC, against the City and against the other Indemnified Parties. 8. PROOF OF COVERAGE: Contractor shall immediately furnish certificates of insurance to the IHDC and to the City evidencing the insurance coverage, including endorsements, above required 2 P1AgendaMAgenda AttachmentsTxhibltsX2010\7.19.10 IHDC Beaut Grant General Contractor Agreement Packet-Pg. 366 7.A.r Single Family Beautification Grant Program prior to the commencement of performance of the services hereunder, which certificates shall provide that such insurance shall not be terminated or expire without thirty (30) calendar days prior written notice to the IHDC and to the City, and the Contractor shall maintain such insurance from the time the Contractor commences performance of services hereunder until one (1) year after the completion of such services. Within sixty (60) calendar days after the commencement of this Agreement, the Contractor shall furnish the IHDC and the City with certified copies of the policies and all endorsements. _ d E 9. INSURANCE REVIEW:The above insurance requirements are subject to review by the IHDC. _ E 10. ACCEPTANCE & START: The bid and proposal shall be accepted by the Owner(s) and by the a IHDC within sixty (60) calendar days from the date established by the IHDC for its receipt, provided that no work shall be commenced by the Contractor until a written Notice to Proceed has been issued by the Owner(s). Work will begin no later than ten (10) calendar days after the Notice to Proceed is issued. Contractor will not assign this Agreement without the prior written consent of the Owner(s) and N of the IHDC. Any request for assignment shall be addressed to the IHDC. c 11. PERMITS: Contractor shall procure all City of San Bernardino and all other governing authority permits and licenses, including a municipal business license, and shall pay all charges and fees for the same, and shall give all notices necessary and incidental to the due and lawful prosecution of the work :2 as it separately pertains to each party. Permits and licenses required for corresponding elements of y the work to be performed shall be obtained prior to commencing such work and all associated costs o are specifically included in the contract amounts. U N 12, CHANGE ORDERS: No change in the work, as described in the Work Write-up, shall be made M except upon the mutual written consent of the Owner(s), the Contractor and the IHDC. Contractor is N not authorized to deviate from the Work Write-up or specifications unless so directed in writing by the Ui IHDC. Any Change Orders shall describe the nature of the additional work, the estimated time for W completion thereof, and the compensation to be paid to the Contractor for the performance of same. E F 13. OWNER(S) EXPECTATIONS: Owner(s) will permit the Contractor to use existing utilities at no a cost, such as lighting, heating, power and water, as needed to carry out the work. Owner(s) will cooperate with the Contractor to facilitate work performance, including the removal and replacement of m rugs, coverings, miscellaneous household goods and furniture as necessary, unless otherwise noted. x w 14. CONTRACTOR EXPECTATIONS: Contractor will keep the premises clean and orderly during the U_ course of the daily work and will remove all debris at the completion of the work. Materials and o equipment which belong to the Contractor shall be removed from the premises. Work should be = planned so that the Owner(s) are not forced to relocate during the rehabilitation work, except under unusual circumstances. t X 15. COMPLETION: Contractor agrees to satisfactorily complete all the work within forty-five (45) "'. calendar days from the noticed start date. The parties agree that time is of the essence in this Agreement. E 16. LIEN RELEASES: Contractor shall promptly pay all valid bills and charges for material, labor, or a otherwise in connection with or arising out of the construction, and shall hold the Owner(s) of the property free and harmless against all liens and claims of lien for labor and material, or either, filed against the property or any part thereof, and from and against all expense and liability in connection therewith, including, but not limited to, court costs and attorneys' fees resulting or arising there from. Should any liens or claim of lien be filed for record against the property, or should the Owner(s) receive notice of any unpaid bill or charge in connection with the construction, the Contractor shall 3 P:\Agendas\AgendaAttachments\Exhibits\2010\7.19.10 IHDC Beaut Grant General Contractor Agreement Packet Pg. 367 7.A.r Single Family Beautification Grant Program forthwith either pay and discharge the same and cause the same to be released of record, or shall furnish the Owner(s) with proper indemnity either by satisfactory corporate surety bond or satisfactory title policy, which indemnity shall also be subject to approval of the Lien Holder. Contractor shall furnish the Owner(s) and the 11-IDC with affidavits and satisfactory releases of liens or claims for any liens from subcontractors, laborers and suppliers for completed work or installed materials. 17. NON-EXECUTION: In the event that the Owner(s) will not execute the End of Project Work Release, the IHDC reserves the right to authorize payment to the Contractor for the work completed. E The INDC and the Contractor must certify that all of the Contractor's work has been performed in a professional, workmanlike manner, and has adhered to the property specification standards. Upon the �E written approval by the IHDC, a payment request will be forwarded to the City for release of said funds. 18. WARRANTY: Contractor will guarantee work for a period of one (1) year from the date of the final written acceptance of all work required by the Agreement. Furthermore, the Contractor shall furnish Cn the Owner(s), in care of the IHDC, with copies of all manufacturers' and suppliers' written guarantees and warranties covering materials and equipment furnished under this Agreement. Contractor will a allow the IHDC access to examine and to inspect all rehabilitation work. IHDC shall have the right, but not the obligation, at all reasonable times, to inspect the books and records of the Contractor M pertaining to the work and to the materials which are the subject of this Agreement. 'o N C 19. NOTICES: Notices pursuant to this Agreement shall be given by personal service to the person, or by deposit in the custody of the US Postal Service, within a sealed envelope containing the notices, N postage pre-paid, and addressed as listed below. Such notice shall be deemed to be received within u? forty-eight (48) hours from the time of mailing, if mailed as provided above. The following information o shall be used for mailed correspondence and communications related to this Agreement: N vi 20. LEAD BASE PAINT ACKNOWLEDGEMENT AND LEAD BASE PAINT DISCLOSURE: Prior to W the commencement of the work: (i) the Contractor shall deliver to the Owner the Lead Base Paint E Disclosure and the Lead Base Paint Acknowledgement, (ii) the Owner shall execute and date the Lead rn Base Paint Acknowledgement and the Lead Base Paint Disclosure, and (iii) the Contractor shall a deliver to both the IHDC and to the City the Lead Base Paint Acknowledgement and the Lead Base Paint Disclosure, as executed by the Owner. m T X OWNER INFORMATION: CONTRACTOR DBA: LL co U (Owner's Name) (Contractor's Name) _ U) s (Rehab Address) (Mailing Address) w c as (City) (State) (Zip Code) (City) (State) (Zip Code) E (Telephone) Q (FAX) 4 P:1AgendaslAgenda Attachments\Exhibils1201017.19.10 IHDC Beaut Grant General Contractor Agreement Packet F'g 368'' .................................. 7.A.r Single Family Beautification Grant Program PROJECT ADMINISTRATOR: Inland Housing Development Corporation (IHDC) 4250 Brockton Ave Riverside, CA 92501 Telephone: (951) 341-6511 FAX: (951) 341-6514 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - r ACCEPTANCE AND SIGNATURES CONTRACTOR: Date: w E OWNER(S): Date: Q �o c �a rn THE ABOVE AGREEMENT HAS BEEN REVIEWED AND APPROVED a a� For IHDC: Date: a 0 c 0 U N O M O N N W w E L a 0 a� m r x w U. co U 2 y L x W C d E V t6 r Q 5 P:1 Agendas\AgendaAttachmentslExhibits 1201017.19.10 IHDC Beaut Grant General Contractor Agreement I!j Single Family Beautification Grant Program Exhibit"A' Work Specifications aD E _ 0 E Q r M _ a ,3 a� ca 0 c 0 U N 1f� M r O N W E L a. m T x w U- CO U D N rr .0 x W _ E v M Q 6 P:1Agendas\Agenda Attachments\Exhibits\201017.19.101HDC Beaut Grant General Contractor Agreement Packet Pg.370 i 7.A.r EXHIBIT "F" Homeowner's Release and Waiver C CD E v C m E a C co VJ 7 N C R a �a 6 to C O U N l(y M Q O N ui W w E CO L a m CO x w U- to U 0 x x w C a) E Q 31 P:\Agendas\Ageitda Attachments\Agenda Attachments\Agrmts-Amend 2010\7.19.101HDC Rehab Loan Program Agreement Packet Pg. 371 ' Inland Housing Development Corporation 4250 Brockton Avenue,Riverside,CA 92501/Phone 951341-6511/Fax 951-341-65141 www.rhdc.us d E SINGLE FAMILY BEAUTIFICATION GRANT PROGRAM Q HOMEOWNER'S RELEASE AND WAIVER w r N 3 I, Owner of the property located at: N Print Your Name a San Bernardino, California do hereby approve and w Address grant Riverside Housing Development Corporation, dba Inland Housing Development Corporation 0 ("IHDC"), a California non-profit corporation,the following: v N 4n PERMISSION TO PHOTOGRAPH 0 N 1. The undersigned hereby grants Permission to IHDC to photograph or video tape the property, W residence, and other out buildings, such as garages, sheds, etc. for the purpose of inspection records, E rn job progress, before-and-after shots, and for file documentation. I understand and approve that this a` material may also be utilized for presentations, displays, advertisements or publicity to further m Agency and/or IHDC housing programs. w 2. I waive any rights with respect to compensation or damages for use of photographs,media and videos in related to the property. x w Owner's Signature Redevelopment Specialist W r _ Date: Date: E a PAAgendas\Agenda Attacinnents\Exhibits\2010 17.19.101HDC Beautification Grant Homeowners Release&waiver Packet Pg.372 7.A.r QEXHIBIT"G" Lead Base Paint Acknowledgement r _ E _ m E a R r N 7 U) _ a m r R 0 N C O U N U2 M O N W W E TL a m T x w U. Cn U O N .Q x w _ a) E �a Q 32 P:1Agendas\Agenda AttachmcnOAgenda Attachments\Agrmts-Amend 201017.19.10 MC Rehab Loan Program Agreement Packet Pg. 373 7.A.r Lead Base Paint Pamphlet — Acknowledgement of Receipt Confirmation of Receipt of Lead Pamphlet ❑ I have received a copy of the pamphlet, Renovate Right:Important Lead Hazard Information for Families, Child Care Providers and Schools informing me of the potential risk of the lead hazard E exposure from renovation activity to be performed in my dwelling unit. I received this pamphlet E before the work began. Q Printed name of recipient Date rn M Signature of recipient a d Self--Certification Option(for tenant-occupied dwellings only)— M If the lead pamphlet was delivered but a tenant signature was not obtainable, you may check the .o appropriate box below. o ❑ Refusal to sign -- I certify that I have made a good faith effort to deliver the pamphlet, Renovate Right: Important Lead Hazard Information for Families, Child Care Providers, and Schools, to the rental dwelling unit listed below at the date and time indicated and that the occupant refused to sign the confirmation of receipt. I further certify that I have left a copy of the N pamphlet at the unit with the occupant. w ❑ Unavailable for signature — I certify that I have made a good faith effort to deliver the pamphlet, Renovate Right: Important Lead Hazard information for Families, Child Care providers E Iand Schools, to the rental dwelling unit listed below and that the occupant was unavailable to sign a the confirmation or receipt. I further certify that I have left a copy of the pamphlet at the unit by sliding it under the door. m r X W LL Printed name of person certifying Attempted delivery date; and rn Time lead pamphlet delivery. o x Signature of person certifying lead pamphlet delivery s X W Z.. E Unit Address I Note Regarding Mailing Option--As an alternative to delivery in person, you may mail the lead a pamphlet to the owner andlor tenant. Pamphlet must be mailed at least 7 days before renovation (Document with a certificate of mailing from the post office). P:1AgendaslAgenda Attachments\Exhibits1201017.19.10 Oldtimers Mobile Home Grant Program General Contractors Agreement/LBP Acknowledgement Packet Pg.374 7.A.r To: Owners,Tenants and Purchasers of Housing Construction before 1978 Re: NOTIFICATION: Watch Out For Lead-Based Paint Poisoning This property was constructed before 1978. There is a possibility it contains lead-based paint. Please read the following information concerning lead-based paint Poisoning. Sources of Lead Based Paint The interiors of older homes and apartments often have layers of lead-based paint on the walls, ceilings,window sills,doors and door frames. Lead-based paint and primers may also have been Q used on outside porches, railings, garages, fire escapes and lamp posts. When the paint chips, Y flakes or peels off, there may be a real danger for babies and young children. Children may eat paint chips or chew on painted railings,window sills or other items when parents are not around. Children can also ingest lead even if they do not specifically eat paint chips. For example, when in children play in an area where there are loose paint chips or dust particles on their hands, put = their hands into their mouths, and ingest a dangerous amount of lead. a d Hazards of Lease-Based Paint Lease poisoning is dangerous — especially to children under the age of seven (7). It can o eventually cause mental retardation,blindness and even death. o U Symptoms of Lead-Based Paint Poisoning Has your child been especially cranky or irritable? Is he or she eating normally?Does your child T have stomach aches and vomiting? Does he or she complain about headaches? Is your child N unwilling to play? These may be signs of lead poisoning. Many times though, there are no vi symptoms at all. Because there are no symptoms does not mean that you should not be concerned if you believe your child has been exposed to lead-based paint. E Advisability and Availability of Blood Lead Level Screening a If you suspect that your child has eaten chips of paint or someone told you this,you should take your child to the doctor or clinic for testing. If the test shows that your child has an elevated m blood lead level,treatment is available. Contact your doctor or local health department for help w or more information. Lead screening and treatment are available through the Medicaid Program N for those who are eligible. If your child is identified as having an elevated blood lead level, you v should immediately notify the Community Development or other agency to which you or your = landlord is applying for rehabilitation assistance so the necessary steps can be taken to test your Y unit for lead-based paint hazards. If your unit does have lad-based paint,you may be eligible for assistance to abate that hazard. t X w Y Precautions to Take to Prevent Lead-Based Paint Poisoning You can avoid lead-based paint poisoning by performing some preventive maintenance. Look at the walls, ceilings, doors, door flames and window sills. Are there places where the paint is I° peeling, flaking,chipping, or powdering? If so,there are some things you can do immediately to a protect your child: (a) Cover all furniture and appliances; (b) Dust containing lead can be a health hazard. DO NOT vacuum loose paint. Sweep and damp mop; P:1Agendas\Agenda AttachmentslBxhibits\2010 17.19.10 TNDC LBP Disclosure Packet Pg. 375 7.A.r (c) Sweep up all pieces of paint and plaster and put them in a paper bag or wrap them in newspaper. Put these packages in the hash can. DO NOT BURN THEM; (d) Do not leave paint chips on the floor or in window wells. Damp mop floors and window sills in and around the work area to remove all dust and paint particles. Keeping these areas clear of paint chips, dust and dirt is easy and very important, and; (e) Do not allow loose paint to remain within your children's reach since children may pick loose paint off the lower part of the walls. E V C Homeowner Maintenance and Treatment of Lead-Based Paint Hazards E As a homeowner, you should take the necessary steps to keep your home in good shape. Water a leaks from faulty plumbing, defective roofs and exterior holes or breaks may admit rain and dampness into the interior of your home. These conditions damage wails and ceilings and cause r paint to peel, crack or flake. These conditions should be corrected immediately. Before 3 repainting, all surfaces that are peeling, cracking, chipping or loose should be thoroughly cleaned by scraping or brushing the loose paint from the surface, then repainted with two (2) coats of non-leaded paint. Instead of scraping and repainting, the surface may be covered with other a. material such as wallboard, gypsum or paneling. Beware that when lead-based paint is removed V by scraping or sanding, a dust is created which may be hazardous. The dust can enter the body either by breathing it or swallowing it. The use of heat or paint removers could create a vapor or N fume which may cause poisoning if inhaled over long period of time. Whenever possible, the o removal of lead based paint should take place when there are no children or pregnant women on the premises. Simply painting over defective lead based paint surfaces does not eliminate the hazard. Remember that you as an adult play a major role in the prevention of lead poisoning. M Your actions and awareness about the lead problem can make a big difference. N vi Tenant and Homebuyer Responsibilities You should immediately notify the management office or the agency through which you are E purchasing your home if the unit has flaking, chipping, powdering or peeling paint, water leaks a from plumbing, or a defective roof. You should cooperate with that office's efforts to repair the unit. Co T I have received a copy of the Notice entitled: Protect Your Family From Lead in Your Home. w U. Cn U D Homeowner's Signature IHDC X w C d E Q P:1Agendas'Agenda Attachments\Exhibits1201017.19.10 MDC LBP Disclosure Packet P4.376 7.A.r EXHIBIT "H" Maintenance Agreement Covenant w _ a� E E a 2 _ r y 3 N _ n. w w 6 c 0 U N Cl) O N N w w E L a .r d m T x w U- m U 0 x w :a x w m E a Packet Pg. 377 RECORDING REQUESTED BY AND WHEN RECORDED MAIL TO: City of San Bernardino Attn.: City Manager 201 North"E"Street, Suite 301 San Bernardino, California 92401 E (Space Above Line Reserved For Use By Recorder) Recording Fee Exempt Pursuant to Government Code Section 6103 a �o RESIDENTIAL PROPERTY MAINTENANCE AGREEMENT N CONTAINING COVENANTS AFFECTING REAL PROPERTY Cn Single Family Beautification Grant Program a THIS RESIDENTIAL PROPERTY MAINTENANCE AGREEMENT CONTAINING a COVENANTS AFFECTING REAL PROPERTY (the "Covenant") is made and entered into as of , 2013, by and between THE CITY OF SAN BERNARDINO, a public body, N corporate and politic (the "City") and (the"Owner") and this Covenant relates to 0 the following facts set forth in Recitals: N lA RECITALS: N WHEREAS, the undersigned is/are the Owner of that certain improved real property w located in the City of San Bernardino, State of California, and more particularly described in W Exhibit"A"attached hereto and incorporated herein by this reference (the"Property");and E L a WHEREAS, the City and the Riverside Housing Development Corporation dba Inland Housing Development Corporation, a California non-profit corporation (the "Contractor") m executed, delivered and entered into the Single Family Beautification Grant Program Agreement (the`Beautification Grant Program Agreement"), dated ,2013;and W LL N WHEREAS, pursuant to the Beautification Grant Program Agreement the City has o agreed to make separate grants to Qualified Homeowners (as defined therein) in accordance with = and pursuant to the terms, covenants and conditions of the Beautification Grant Program Agreement;and x w WHEREAS, in accordance with and pursuant to the Beautification Grant Program Agreement and the Program (as defined in the Beautification Grant Program Agreement), the E City has determined that the Owner is eligible to receive a Grant(as defined in the Beautification Grant Program Agreement)from the City to enable the Owner to construct,to install,to perform a and to complete the Improvements(as defined therein) at the Property; and WHEREAS, as a condition to the making of the Grant by the City to the Owner, the Owner must execute and acknowledge, where appropriate, the Grant Documents (as defined in the Beautification Grant Program Agreement) including the execution and acknowledgment by 1 PAAgendas\Agenda Attachments\Fxhibits12010 17.19.10 MDC Beaut Grant Maint.Cov.Agreement Packet Pg.378 . . . ........ ... . . the Owner of this Covenant which Covenant shall be recorded in the County Recorder's Office (as defined below). NOW, THEREFORE, IN CONSIDERATION OF THE RECITALS MENTIONED ABOVE, FOR THE APPROVAL AND FOR THE MAKING OF THE GRANT BY THE CITY TO THE OWNER AND FOR SUCH OTHER GOOD AND VALUABLE CONSIDERATION, THE RECEIPT AND SUFFICIENCY OF WHICH ARE HEREBY ACKNOWLEDGED BY THE OWNER AND BY THE CITY, THE OWNER AND THE CITY COVENANT AND AGREE AS FOLLOWS: a Section 1. Definitions of Certain Terms. As used in this Covenant, the following words and terms shall have the meaning as provided in the Recitals or in this Section 1 unless the specific context of usage of a particular word or term may otherwise require: to Adjusted Family Income. The words "Adjusted Family Income" mean the anticipated total annual income (adjusted for family size) of each individualized or family residing or treated a as residing in the Property as calculated in accordance with Treasury Regulation 1.167(k) — 3 (b)(3) under the Code, as adjusted, based upon family size in accordance with the household income adjustment factors adjusted and amended from time to time,pursuant to Section 8 of the o United States Housing Act of 1937, as amended. o U County Recorder's Office. The words "County Recorder's Office" mean the official N records of the county recorder for the County of San Bernardino, State of California. T o Covenant. The word "Covenant" means this "Residential Property Maintenance N N Agreement Containing Maintenance Covenants Affecting Real Property" by and between the W Owner and the City. E L Covenant Term. The words "Covenant Term" shall have the meaning set forth in a Section 5. m Low-Moderate Income Family. The words "Low-Moderate Income-Family" means w persons and families whose income does not exceed 80 percent of area median income, adjusted U_ for family size by the department in accordance with adjustment factors adopted and amended U) from time to time by the United States Department of Housing and Urban Development pursuant = to Section 8 of the United States Housing Act of 1937. w Owner. The word "Owner"means the owner of the Property (e.g.: all persons identified w as having property ownership interest vested in the Property). c as Successor-In-Interest. The words "Successor-In-Interest"mean and refer to the person or household, which may acquire the Property from the Owner at any time during the Covenant r Term by purchase, assignment, transfer or otherwise. The Successor-In-Interest shall be bound a by each of the covenants, conditions and restrictions of this Covenant. 2 P:\Ageiidas\AgendaAttacliments\E--diibits\2010\7.19.10 IHDC Beaut Grant Maint.Cov.Agreement Packet Pg.379 The titles and headings of the sections of this Covenant have been inserted for convenience of reference only and are not to be considered a part hereof and shall not in any way modify or restrict the meaning of any of the terms or provisions hereof. Section 2. Acknowledgments and Representations of the Owner. c The Owner hereby acknowledges and represents that, as the date of execution of this E Covenant: c d E (a) the total household income for the Owner does not exceed the maximum amount a permitted as Adjusted Family Income for a Low-Moderate Income Family adjusted for family size; N (b) the Owner intends to occupy the Property after the date of execution of this to Covenant as the principal place of residence for a term of at least five (5) years following the date of recordation of this Covenant in the County Recorder's Office and the Owner has not a. entered into any arrangement and has no present intention to rent (without the prior written consent of the City), sell, transfer or assign the Property to any third party during the Covenant Term so as to frustrate the purpose of this Covenant; .y _ (c) the Owner has no present intention to lease or rent any room or sublet or rent a portion of the Property to any relative of the Owner or to any third person at any time during the � Covenant Term. N Section 3. Maintenance Condition of the Proerty. The Owner, for itself, its N successors and assigns,hereby covenants and agrees that: M a The exterior area of the Property, which are subject to public view e all E ( ) j p ( •g•� �' improvements, paving, walkways, landscaping, and ornamentation) shall be maintained in good °' repair and a neat, clean and orderly condition, ordinary wear and tear excepted. In the event that at any time during the term of the Covenant Term,there is an occurrence of an adverse condition m on any area of the Property which is subject to public view in contravention of the general w maintenance standard described above (a "Maintenance Deficiency") then the City shall notify U_ the Owner in writing of the Maintenance Deficiency and give the Owner thirty (30) calendar o days from the date of such notice to cure the Maintenance Deficiency as identified in the notice. x The words "Maintenance Deficiency" include without limitation the following inadequate or r nonconforming property maintenance conditions and/or breaches of single family dwelling residential property use restrictions: W • failure to properly maintain the windows, structural elements,and painted exterior E surface areas of the dwelling unit in a clean and presentable manner; r • failure to keep the front and side yard areas of the Property free of accumulated a debris, appliances, inoperable motor vehicles or motor vehicle parts, or free of storage of lumber, building materials or equipment not regularly in use on the Property; 3 P:1Agendas\Agenda Attacbments\Exhibits1201017.19.10110C Beaut Grant Maint.Cov,Agreement Packet Pg.380' • failure to regularly mow lawn areas or permit grasses planted in lawn areas to exceed nine inches (9")in height, or failure to otherwise maintain the landscaping in a reasonable condition free of weed and debris; • parking of any commercial motor vehicle in excess of 7,000 pounds gross weight m anywhere on the Property, or the parking of motor vehicles, boats, camper shells,_ trailers,recreational vehicles and the like in any side yard or on any other parts of E the Property which are not covered by a paved and impermeable surface; E • the use of the garage area of the dwelling unit for purposes other than the parking a of motor vehicles and the storage of personal possessions and mechanical equipment of persons residing in the Property. y .s= 3 In the event the Owner fails to cure or commence to cure the Maintenance Deficiency `o within the time allowed, the City may thereafter conduct a public hearing following transmittal of written notice thereof to the Owner ten(10) calendar days prior to the scheduled date of such o. public hearing in order to verify whether a Maintenance Deficiency exists and whether the _ Owner has failed to comply with the provision of this Section 3(a). If, upon the conclusion of a a public hearing, the City makes a finding that a Maintenance Deficiency exists and that there y appears to be non-compliance with the general maintenance standard, as described above, 0 thereafter the City shall have the right to enter the Property (exterior areas only) and perform all .. acts necessary to cure the Maintenance Deficiency, or to take other action at law or equity the Cn City may then have to accomplish the abatement of the Maintenance Deficiency. Any sum expended by the City for the abatement of a Maintenance Deficiency as authorized by this N Section 3(a) shall become a lien on the Property. If the amount of the lien is not paid within w thirty (30) calendar days after written demand for payment by the City to the Owner, the City 0: shall have the right to enforce the lien in the manner as provided in Section 3(c), E L a. (b) Graffiti which is visible fi•om any public right-of-way which is adjacent or 3 contiguous to the Property shall be removed by the Owner from any exterior surface of a m structure or improvement on the Property by either painting over the evidence of such vandalism x with a paint which has been color-matched to the surface on which the pain is applied, or graffiti W may be removed with solvents, detergents or water as appropriate. In the event that graffiti is uWi placed on the Property (exterior areas only) and such graffiti is visible from an adjacent or o contiguous public right-of-way and thereafter such graffiti is not removed within seventy-two = (72) hours following the time of its application; then in such event and without notice to the Owner, the City shall have the right, but not the obligation, to enter the Property and to remove x the graffiti. Notwithstanding any provision of Section 3(a)to the contrary, any sum expended by W the City for the removal of graffiti from the Property as authorized by this Section 3(b) shall become a lien on the Property. If the amount of the lien is not paid within thirty (30) calendar E days after written demand for payment by the City to the Owner, the City shall have the right to enforce its lien in the manner as provided in Section 3(c). Q (c) The parties hereto further mutually understand and agree that the rights conferred upon the City under this Section 3 expressly include the power to establish and enforce a lien or other encumbrance against the Property in the manner provided under Civil Code Sections 2924, 2924b and 2924c in the amount as reasonably necessary to restore the Property to the 4 P;1Agendas\Agenda Attachments\Exhibits120t0 17.19,10 UiDC Beant Grant Mai tit.Cov.Agreement Packet Pg.38'1 maintenance standard required under Section 3(a) or Section 3(b), including attorneys' fees and costs of the City associated with the abatement of the Maintenance Deficiency or the removal of graffiti and the collection of the costs of the City in connection with such action. In any legal proceeding for enforcing such a lien against the Property,the prevailing party shall be entitled to recover its attorneys' fees and costs of suit. The provisions of this Section 3 shall be a covenant running with the land for the Covenant Term and shall be enforceable by the City in its discretion, cumulative with any other rights or powers granted by the City under applicable law. Nothing in the foregoing provisions of this Section 3 shall be deemed to preclude the Owner from making any alterations, additions, or other changes to any structure or improvement or landscaping on the Property, provided that such changes comply with the zoning and Q development regulations of the City of San Bernardino and other applicable law. r (d) Any lien in favor of the City as may arise under this Section 3 will not become effective until such time as the City records a "Notice of Lien" in the official records of San rn Bernardino County which references this Section 3 of this Covenant. Any lien in favor of the City created pursuant to this Section 3 shall be subject to the lien or charge of any mortgage, a deed of trust or other financing or security instrument made in good faith and for value in favor of an institutional lender prior to the date of such Notice of Lien. In the event of a foreclosure of such a deed of trust or other lien which predates such Notice of Lien, or in the event of an -6 acceptance of a deed in lieu of foreclosure, the City lien evidenced by such a Notice of Lien c which has accrued up to the date of foreclosure or the acceptance of a deed in lieu of foreclosure U shall be extinguished, and the foreclosure purchaser or deed in lieu grantee shall take title in the Property free of the City lien evidenced by the Notice of Lien; provided however, any such M CD successor of a security interest in the Property during the Covenant Term shall be subject a new N lien of the City arising under of this Section 3 for all charges that may accrue under this Section w 3 subsequent to the foreclosure or deed given in lieu of foreclosure during the Covenant Term. W E Section 4. Covenants to Run With the Land. The Owner and the City hereby declare their specific intent that the covenants, reservations and restrictions set forth herein are part of a plan for the promotion and preservation of affordable single family housing within the territorial jurisdiction of the City and that each shall be deemed covenants running with the land 00 T and shall pass to and be binding upon the Property and each Successor-In-Interest of the Owner W in the Property for the Covenant Term. The Owner hereby expressly assumes the duty and U- obligation to perform each of the covenants and to honor each of the reservations and restrictions o set forth in this Covenant. Each and every contract, deed or other instrument hereafter executed x covering or conveying the Property or any interest therein shall conclusively be held to have been executed, delivered and accepted subject to such covenants, reservations, and restrictions, s regardless of whether such covenants, reservations and restrictions are set forth in such contract, W deed or other instrument. :. E Section 5. Covenant Term. The words "Covenant Term" mean and refer to the period of time when this Covenant shall be in effect. Following its recordation, this Covenant r shall be in effect for ten(10)years after the date of this Covenant. This Covenant shall run with a land and shall be enforceable by the City of San Bernardino. Section d. Governing Law. This Covenant shall be governed by the laws of the State of California. 5 P;\Agendas\Agenda Attachments\Exhibits\201017.19.1011 DC Beaut Grant Maint.Cov.Agreement Packet Pg.382 i 7.A.r Section 7. Amendment. This Covenant may be amended only by a written instrument executed by the Owner(or the Successor-In-Interest, as applicable) and by the City. Section 8. Attorneys'Fees. In the event that the City brings an action to enforce any condition or covenant, representation or warranty in this Covenant or otherwise arising out of this Covenant,the prevailing party in such action shall be entitled to recover from the other party reasonable attorneys' fees to be fixed by the court in which a judgment is entered, as well as the = costs of such suit. For the purposes of this Section 8, the words "reasonable attorneys' fees" in the case of the City include the salaries, costs and overhead of the lawyers employed in the a Office of the City Attorney of the City of San Bernardino. r Section 9. Severability. If any provision of this Covenant shall be declared invalid, 3 inoperative or unenforceable by final judgment or decree of a court of competent jurisdiction to such invalidity or unenforceability of such provision shall not affect the remaining parts of this Covenant which are hereby declared by the parties to be severable from any other part which is a found by a court to be invalid or unenforceable. Section 10. Time is of the Essence. For each provision of this Covenant which states N a specific amount of time within which the requirements thereof are to be satisfied, time shall be o deemed to be of the essence. L) N to Section 11. Notice. Any notice required to be given under this Covenant shall be M given by the City or by the Owner, as applicable, by personal delivery or by First Class United N States mail at the addresses specified below or at such other address as may be specified in w writing by the parties hereto: W E If to the City: City of San Bernardino a Attention: City Manager 3 201 North`B" Street, Suite 301 San Bernardino, California 92401 m Phone: (909) 663-1044 w LL U) If to the Owner: o San Bernardino, CA 9240 w Phone: (909) X w Notice shall be deemed given five (5) calendar days after the date of mailing to the party, or, if personally delivered, when received by the City Manager or the Owner, as applicable. Each party may change its address by notifying the other party, in writing, of the party's new address. Section 12. Recitals. The Recitals set forth in this Covenant are true and correct and a are incorporated herein by this reference. 6 PAAgendas\Agenda AttachmentsExhibits 1201017.19.10 IMC Beaut Grant Maint.Cov.Agreement Packet Pg.383 i I IN WITNESS WHEREOF, the Owner and the City have caused this Covenant to be signed, acknowledged and attested on their behalf by duly authorized representatives in counterpart original copies which shall upon execution by all of the parties be deemed to be one original document, all as of the date first written above. OWNER d E Date: By: a� E Q Print: w By: co Print: a d w CITY p N C City of San Bernardino N Date: By: N Allen Parker, City Manager vi w Ix [ALL SIGNATURES MUST BE NOTARIZED] T a c� Approved as to Form: m x w w co By: U City Attorney = x w Y E V .F+ Q 7 P:1AgendaslAgenda Altaciimcnts\Exliibits1201017.19.10111DC Beant Grant Maint.Cov.Agreement Packet Pg. 384 EXHIBIT "A" Legal Description of the Property _ d E v _ a) E a N 3 to _ tC a a� 0 N _ O U N u2 M O N ui w w E TL a. m T x w LL N U N a� .Q t x W i-� _ d E v O r+ Q 8 P:\Ageridas\AgciidnAttaclinieiitsTxliibits\2010\7.19.10 THDC Beaut Grant Maint.Cov.Agreement Packet Pg.385 EXHIBIT `tI" Maintenance Grant Needs Document c d E c d E Q , w C 2 N 7 C R a d w 0 c 0 U N M O N Ui W w E L a W M T x w LL CO U O 2 r x LU c m E v to w Q Packet Pg.386' Q Inland Housing Development Corporation I I 4250 Brockton Avenue,Riverside,CA 92501/Phone 951-341-6511/Fax 951-341-6514/www.rhdc.us i Maintenance Grant Needs Document � I (Please Include with your Application) a r I r N Homeowner Name: CO I Address: a l Telephone (Day): (Eve): cc 1 o City (*Mail Address): ZIP: 0 (* You must live in the City of San Bernardino to qualify for assistance) N LO ELIGIBLE IMPROVEMENTS: Please check items as needed. A IHDC Redevelopment o Specialist will determine improvements based on loan funding, evident need, program N guidelines, and code health and safety issues. Priority consideration will be given to most W pressing items, but limited to items below as determined by IHDC assessment. -- E 0) Exterior a Roof Replacement Termite Inspection m Driveway replacement Fencing x Exterior Painting Doors/Security Doors W UL Window replacement Garage Door replacement to Landsca in /Hardsca a Alternative Energy Sources v 0 Securit Li htin Other Automatic S rinklers Other N .r X W SIGNATURE: DATE :.. d E a P:AAgendaslAgenda Attachments\Exhibits1201017.19.10 IIMCBeant Grant\taint.Grant Needs Doc. Packet Pg.387 7.A.r EXHIBIT "J" Homeowner's Release and Waiver r I c E c m E Q R i r N .Q 3 C t6 CL d .r 0 N C O U N M O N N W a. E C1 L a m Co T w LL N U N L K W a.+ C d E Cy to r+ Q Packet Pg. 388 Inland Housing Development Corporation 4250 Brockton Avenue,Riverside, CA 92501 /Phone 951341-6511/Fax 951-341-6514/www.rhdc.us r d E SINGLE FAMILY BEAUTIFICATION GRANT PROGRAM Q HOMEOWNER'S RELEASE AND WAIVER _ r N .Q 7 i t, 1 Owner of the property located at: N Print Your Name San Bernardino, California do hereby approve and i Address o grant Riverside Housing Development Corporation, dba Inland Housing Development Corporation N C ("IHDC"),a California non-profit corporation, the following: N PERMISSION TO PHOTOGRAPH M o N 1. The undersigned hereby grants Permission to IHDC to photograph or video tape the property, w W residence, and other out buildings, such as garages, sheds, etc. for the purpose of inspection records, E job progress, before-and-after shots, and for file documentation. I understand and approve that this a material may also be utilized for presentations, displays, advertisements or publicity to further Agency and/or IHDC housing programs. m W 2. I waive any rights with respect to compensation or damages for use of photographs,media and videos U- related to the property. o Owner's Signature Redevelopment Specialist w Date: Date: d E Q PAAgendas\Agenda AttaclimentslExhibits1201017.19.101HDC Beautification Grant Homeowners Release&Waiver PaekefPg.389 EXHIBIT"K" Beautification Loan/Grant Application Approval Checklist w _ d c a� E Q �a w N N _ M a 2 �a �o N _ O U N U? N CD N W w E 01 i a. R m m T x w LL U) U 0 N s x W _ Q E t v ca »r w Q Packet Pg.390 7.A.G BEAUTIFICATION GRANT APPLICATION APPROVAL CHECKLIST Date of Review: Homeowner(s) name: Property Address: s Grant Amount: iv E a 1HDC Due Diligence: Y _ r N Qualified Homeowner Verification: Resided at residence for at least one (1) year Attended Maintenance Class on: Maintenance Covenant Agreement complete Income eligibility verified 0 N Subject Property Equity Determination: Property profile / encumbrances - Debt / Equity Ratio: Owne,nflflp Verification: N M Property Profile: Name(s) on grant application MUST match the one(s) tri listed as "Owner" or "Co-owner" on property profile � Preliminary title report (or other pertinent documentation) E Legal owner & signatory on Covenant Agreement & Grant Agreement ti w Property Eligibility Verification: m Parcel Map ("Exhibit A") W Located within Target Area (if applicable) N Verification property located in City of San Bernardino 0 Eligible Improvements: Scope of Work consistent with "Eligible Improvements" (see list on W reverse side) CD E Construction Bids: 1. Name of contractor: Job Cost Amount: $ a 2. Name of contractor: Job Cost Amount: $ 3. Name of contractor: Job Cost Amount: $ Amount of owner contribution: $ P.\Agendas\Agenda Attactunents\Exhibits12010 17.19.10 IHDC Grant Approval Checklist Packet Pg. 391' Eligible Improvements List: Window and front door replacement Driveway repairs, replacements, or enhancements Garage door replacement Exterior painting a Drought tolerant landscaping (front yard only): automatic sprinklers, grass seed, planting materials y Replace existing fence (front yard only): wrought iron, vinyl, wood, or block fencing = Parkway enhancements: stamped concrete, trees, landscape a plantings Any roof repairs or replacement Any sewer repairs or replacement (if equity in home and homeowners financial situation qualifies them for grant monies as 0 determined by Application Review Committee) N 42 M o N N W w E L a a Q CO T X W LL to U O 2 N w S X W i+ _ d E V to Y Q P:\Agendas\Agenda Attachments\Eshibits\2010\7.19.101HDC Grant Approval Checklist Packet Pg. 3'9'-2