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INTEROFFICE MEMORANDUM
Date: June 6, 2023
To: The Honorable Mayor and City Council
Through: Ronald Burton, City Manager
From: Pam Langford, Assistant City Manager - Operations
RE: P. R. # 23186
Introduction:
The intent of this Agenda Item is to seek the City Council's approval of P. R. #23186 for the
2021 Home Investment Partnerships American Rescue Plan Program(HOME-ARP) allocations.
Housing and Urban Development allocated$1,000,453.00 to Port Arthur.
Resolution#23-074 allocated $850,385.00 of HOME-ARP funding to five (5) nonprofit
organizations. The remaining $150,000.00 of funding will cover administrative and professional
service expenses.
Background of the HOME-ARP Grant:
Resolution#23-074 allocated HOME-ARP funding to the following organizations: The
Salvation Army - $50,000.00; Catholic Charities of Southeast Texas- $105,018.00; Family
Services of Southeast Texas- $60,000.00; Tender Loving Care Dba Legacy Community
Development Corporation- $260,000.00 for rehabilitation of 19 Affordable Rental Units and
$375,367.00 for Tenant-Based Rental Assistance.
Budget Impact:
The 2021 HOME-ARP is the funding source.
Recommendation:
It is recommended that City Council approve P. R. #23186.
P. R. #23186
05/23/2023 M. Essex
Page 1 of 3
RESOLUTION NUMBER
A RESOLUTION AUTHORIZING THE CITY MANAGER TO ENTER INTO FIVE(5)
HOME-ARP CONTRACTS WITH THE FOLLOWING ORGANIZATIONS—
CATHOLIC CHARITIES($105,018.00),THE SALVATION ARMY($50,000.00),
FAMILY SERVICES OF SOUTHEAST TEXAS($60,000.00),AND TWO WITH TENDER
LOVING CARE CENTER FOR CHILDREN DBA LEGACY COMMUNITY
DEVELOPMENT CORPORATION-$260,000.00-REHABILITATION OF RENTAL
UNITS AND$375,367.00 FOR TENANT-BASED RENTAL ASSISTANCE.
WHEREAS,to address the need for homelessness assistance and supportive services,
Congress appropriated $5 billion in ARP funds to be administered through HOME to perform
four activities that must primarily benefit qualifying individuals and families who are homeless,
at risk of homelessness, or in other vulnerable populations. These activities include (1)the
development and support of affordable housing, (2)tenant-based rental assistance (TBRA), (3)
the provision of supportive services; and(4)the acquisition and development of non-congregate
shelter units; and,
WHEREAS,the City Council, by its adoption of Resolution 23-074, approved HOME-
ARP funding to The Salvation Army- $50,000.00 for Supportive Services; Catholic Charities of
Southeast Texas - $105,018.00 for Supportive Services; Legacy Community Development
Corporation- $260,000.00 for rehabilitation of 19 Affordable Rental Units and$375,367.00
Tenant Based Rental Assistance; Family Services of Southeast Texas, Inc. - $60,000.00 for
Supportive Services; and,
WHEREAS,the City Council must designate an official to sign all documents
concerning the contracts for the 2021 HOME-ARP grant.
NOW,THEREFORE,BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
PORT ARTHUR,TEXAS:
THAT the City Manager is authorized to execute contracts between Catholic Charities,the
Salvation Army, Family Services of Southeast Texas,Inc., and Tender Loving Care Dba Legacy
Community Development Corporation,Attachments"A—E."
THAT the City Manager is designated to sign all documents in connection with the contracts.
THAT a copy of the caption of this Resolution be spread upon the minutes of the City Council.
P. R. # 23186
05/23/2023 M. Essex
Page 2 of 3
READ,ADOPTED,AND APPROVED this day of
A. D.,2023 at a Regular Meeting of the City Council of the City of Port Arthur.
Texas by the following vote: AYES:
MAYOR
COUNCILMEMBERS
NOES:
Thurman"Bill"Bartie,Mayor
ATTEST:
SHERRI BELLARD
CITY SECRETARY
AP OVED FOR
FORM:
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ls
VAL TIZE O
CITY ATTORNEY
APPROVED FOR ADMINISTRATION:
RON BURTON,CITY MANAGER
APPROVED FOR AVAILABILITY OF S:
A1 C�:
KANDY DANIEIjF ANCE DIRECT
P. R. #23186
05/23/2023 M. Essex
Page 3 of 3
ATTACHMENT `A'
CITY OF PORT ARTHUR
HOME INVESTMENT PARTNERSHIP GRANT PROGRAM FOR
HOME-ARP CONTRACT FOR A
NON-PROFIT SUBRECIPIENT
STATE OF TEXAS §
CITY OF JEFFERSON §
SECTION 1. PARTIES TO THE CONTRACT
This contract and agreement are made and entered into by and between the City of Port
Arthur, Texas (hereinafter called the "City") acting herein by its Mayor and City Manager, duly
authorized by Resolution of the City Council of the City of Port Arthur and The Salvation Army,
Jefferson County, Texas (hereinafter called "Subrecipient") acting herein by its President/CEO,
duly authorized by its Board of Directors. The parties hereto agree, by the execution hereof,
that they are bound to the mutual obligations and to the performance and accomplishment of
the tasks described herein.
WITNESSETH THAT:
WHEREAS, the American Rescue Plan went into effect on March 11, 2021, and
included funding for the HOME Investment Partnership Grant; and,
WHEREAS, the City of Port Arthur made an application for HOME Investment
Partnership Grant American Rescue Plan (HOME-ARP) Entitlement funds from the U. S.
Department of Housing and Urban Development, herein referred to as "HUD," under Title I of
the Housing and Community Development Act of 1974, as amended, Public Law 93-383; and,
WHEREAS, The City of Port Arthur has been awarded ONE MILLION FOUR
HUNDRED FIFTY-THREE AND 00/100 Dollars ($1,000,453) in HOME-ARP Entitlement funds;
and,
WHEREAS, the City of Port Arthur is undertaking certain activities to develop a
viable community by providing decent housing, a suitable living environment, and expanding
economic opportunities principally for HOME-ARP Qualifying Populations, as described in the
HOME-ARP Program applications; and,
WHEREAS, THE Subrecipient has requested funds from the City for the benefit
of HOME-ARP Qualifying Populations; and,
WHEREAS, the City and Subrecipient desire to enter into an Agreement in
accordance with 24 Code of Federal Regulations (CFR) Part 92 and the HOME-ARP Notice,
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A
Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal
Awards to provide the Subrecipient a sub-award from HOME-ARP funds to carry out Project
activities in compliance with the HOME-ARP Program application; and,
WHEREAS, the Subrecipient's use and benefit of HOME-ARP funds is contingent
upon execution of funding approval Agreement by the City and HUD; and,
WHEREAS, the funding and other City administration of this agreement shall be
through the City of Port Arthur Community Development Department; and,
WHEREAS, Exhibits A, B, and C are essential to this Agreement, attached
hereto, and incorporated herein by reference.
NOW, THEREFORE, in consideration of the mutual covenants, promises, and representations
contained herein, the parties hereto agree as follows:
ARTICLE I
WHEREAS CLAUSES
The WHEREAS clauses set forth above are incorporated herein by reference and made
a part of this Agreement.
ARTICLE II
DEFINITIONS
1. The City means the City of Port Arthur.
2. The "Subrecipient" means The Salvation Army.
3. "HUD" means Department of Housing and Urban Development.
4. "HOME-ARP" means HOME Investments Partnership Program American Rescue Plan.
5. "HOME Administrator" means the Grants Manager.
6. "HOME-ARP Notice" means HUD's Notice CPD-21-10.
7. "HOME Regulations" refers to Federal regulations CFDA 14.239.
8. "AMI" means the Area Median Income for the City of Port Arthur.
9. "FMR" means the Fair Market Rent for the City of Port Arthur.
10. "City approval" means the written approval of the City of Port Arthur.
11. "Allocated Sum" refers to the total amount of the budget allocated for this project as
shown in Exhibit "A."
12. Business Day(s) shall mean Monday to Friday and do not include public holidays and
weekends.
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ARTICLE III
STATEMENT OF WORK
1. Project: Subrecipient shall utilize HOME-ARP Funds to perform the scope of
services set forth in Exhibit A of this Agreement ("Project") for the City in full and
complete accordance with this Agreement.
2. Schedule: The Subrecipient shall perform the Project in accordance with the
schedule and deadlines set for in Exhibit A. The Subrecipient shall provide case
management, Food services, Rental and Utility Assistance, and Travel services to
qualifying clients of the HOME-ARP Grant.
ARTICLE IV
BUDGETS
In consideration of the provision of services by the Subrecipient, the City is
allocating an amount of$50,000 ("Allocated Sum") towards the Project described in Article III
above. Additional requirements of the Project shall be as described in Exhibit A, attached
hereto, and incorporated by reference. The Allocated Sum is to be requested within a period of
twenty-four (24) months from the Effective Date of this Agreement.
The City and the Subrecipient may agree to revise the budget in accordance with
HOME-ARP regulations and existing City policies. Expenditures reimbursed with HOME-ARP
funds shall be limited to eligible activities as determined by the City for the Project as described
in Article III.
ARTICLE V
TERM OF AGREEMENT
1. The term of this Agreement ("Term") shall commence on the last date signed by
the Parties below ("Effective Date") and shall remain in full force and effect for two (2)
years unless earlier terminated as provided herein in Article XIII.
2. Upon written request on letterhead from the SUBRECIPIENT, the Term may be
extended up to two (2) months past the expiration date upon approval from the City
Council. The letter must be dated and signed before the expiration of the Agreement
by a person with signature authorization.
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ARTICLE VI
FUNDING
Funding Delivery: The HOME-ARP funding shall be delivered to the Subrecipient or the
Subrecipient's vendor in accordance with the terms of this Agreement.
Eligible expenditures made during the Term of this Agreement shall be reimbursed
pursuant to the terms of this Agreement. Notwithstanding the foregoing, funding may be
suspended in the event Quarterly Performance Reports (Exhibit C, attached hereto) are not
timely submitted to the City.
Reimbursement by the City of the Allocated Sum to the SUBRECIPIENT shall be
submitted quarterly using the forms attached as Exhibit C, Request for HOME-ARP
Reimbursement, and Quarterly Performance Report. Payment requests must comply with the
applicable requirements of 2 CFR Part 200 and must meet the following criteria:
1. The SUBRECIPIENT shall submit to the City, through the Community Development
Department, any and all documents requested by the City verifying the request for
payment, herein "Verifying Documents." Verifying Documents may include, but are not
limited to:
a. When HOME-ARP reimbursement is sought for salaries or related benefits for
employees, individual timesheets must be kept. Benefits may only be claimed for the
portion of the salary being requested. Timesheets must identify funding sources for
the employee. HOME-ARP and other activities undertaken by the employee must be
documented on the timesheet with the date, times, and the number of hours worked.
Timesheets must differentiate between hours charged to HOME-ARP and hours not
charged to HOME-ARP and must document the specific HOME-ARP-related activity
worked on and the date and the number of hours worked. Timesheets must be
signed by the employee and an individual with signatory authority pursuant to the
governing documents of the Subrecipient (i.e., corporate bylaws or resolution), and
all applicable canceled checks (front and Back) or a bank statement, if the canceled
checks are not legible, are required. Include the employee's name and the eligible
gross wages and benefits being requested for reimbursement for each employee. If
health or other benefits are being reimbursed, proof of those items must be included
in the invoice.
b. When reimbursement is sought for services or materials, a copy of the applicable
invoice or receipt for materials or services for each eligible expense. Invoices must
include a description of the materials or services purchased. A cost is eligible for the
HOME-ARP Program only if the cost is necessary to the overall completion of the
Project. If there is a disagreement between the Parties regarding whether an item
was necessary to the overall completion, the final decision shall be made by the City.
Documentation of eligible costs shall include a copy of the front and back of the
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canceled check, bank statement, or credit card statement used in payment,
reconciled to the applicable expense.
c. When direct payment to the vendor is sought for services or materials, a copy of
the applicable invoice or sales contract for each eligible expense is required.
2. The City shall, in its sole discretion, determine if the Verifying Documents or any
portion of them are acceptable and in strict compliance with the purpose and laws stated
herein and approve them for payment. If the City determines there are any errors in the
Verifying Documents, the City shall notify the Subrecipient. The Subrecipient shall
submit corrected Verifying Documents within ten (10) working days of receipt of the
notice. Payment shall not be made for any Verifying Documents that contain errors, as
determined by the City.
3. Upon determination by the City that Verifying Documents are approved, the City will
initiate the payment process. The City reserves the right to delay any payment request
for Verifying Documents containing errors until such errors are corrected to the
satisfaction of the City.
4. If any costs are disallowed up to five (5) years after the expiration of this Agreement or
until HUD closes out the Project, whichever occurs later, and the City is forced to
reimburse the HOME-ARP Program or HUD, then the Subrecipient shall reimburse the
City for the said costs.
5. Within ten (10) days after Project completion, the Subrecipient shall submit the final
request for payment for all eligible expenditures not previously invoiced. The City shall
not be responsible for payments of any charges, claims, or demands of the Subrecipient
not received within the said ten (10) day period; however, such time may be extended at
the City's discretion not to exceed a period of thirty (30) days, provided the delay in its
submission is not caused by any fault or negligence of the Subrecipient.
ARTICLE VII
NOTICES
Unless and to the extent otherwise provided in this Agreement, all notices, demands,
requests for approvals, and other communications which are required to be given by either
party to the other shall be in writing and shall be deemed given and delivered on the date
delivered in person to the authorized representative of the recipient provided below, upon the
expiration of five (5) days following the date mailed by Registered or Certified Mail, Postage
Prepaid, Return Receipt Requested to the authorized representative of the recipient at the
address provided below, or upon the date delivered by overnight courier (signature required) to
the authorized representative of the recipient at the address provided below.
Mary E. Essex
444 4th Street
Port Arthur, Texas 77640
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ARTICLE VIII
GENERAL COMPLIANCE
The Subrecipient agrees to comply with all applicable Federal, State, and local laws and
regulations which govern the funds provided under this Agreement.
ARTICLE IX
PUBLIC RECORDS
The Subrecipient agrees to comply with all applicable Federal, State, and local laws and
regulations which govern the funds provided under this agreement.
ARTICLE X
RETENTION AND ACCESSIBILITY OF RECORDS
A. The Subrecipient must establish and maintain sufficient records, as determined by City, to
account for the expenditure and use of HOME-ARP funds.
B. Subreccipient shall give the City, the Comptroller General of the United States, or any of their
duly authorized representatives access to and the right to examine all books, accounts, records,
reports, files, and other papers, things or property belonging to or in use by Subrecipient pertaining
to this contract. Such rights to access shall continue as long as the records are retained by
Subrecipient. The Subrecipient agrees to maintain such records in an accessible location.
C. All records pertinent to this contract shall be retained by Subrecipient for five (5) years following
the date of termination of this contract or submission of the final close-out report, whichever is
later, with the following exceptions:
1. If any litigation, claim, or audit is started before the expiration of the five (5) year period and
extends beyond the five (5)year period, the records will be maintained until all litigation, claims, or
audit findings involving the records have been resolved.
2. Records relating to real property acquisition or long-term lease shall be retained for a period
equal to the useful life of any repairs made with HOME-ARP funds.
ARTICLE XI
INDEPENDENT CONTRACTOR
Nothing contained in this Agreement is intended to or shall be construed in any manner,
as creating or establishing the relationship of employer/employee between the parties. The
Subrecipient shall at all times remain an independent contractor with respect to the services to
be performed under this Agreement. The City shall be exempt from payment of all
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unemployment compensation, FICA, retirement, life and/or medical insurance, and workers'
compensation insurance.
ARTICLE XII
AMENDMENTS
Except as otherwise provided for herein, this Agreement may not be modified, amended,
or extended orally. This Agreement may be amended only by a written instrument executed by
the governing bodies of both parties. The City and the SUBRECIPIENT may amend this
Agreement at any time provided that such amendments make specific reference to this
Agreement and are executed in writing and approved by the governing bodies of each party.
The City may, at its discretion, amend this Agreement to conform with Federal, State, or local
governmental guidelines, policies, or available funding amounts or for other reasons. If such
amendments result in a change in the funding, the scope of services, or the schedule of
activities to be undertaken as part of this Agreement, such modifications will be incorporated
only by written amendments signed by authorized representatives from both the City and the
Subrecipient.
ARTICLE XIII
SUSPENSION AND TERMINATION
1. Termination:
a. Either party may terminate this Agreement without cause at any time by giving at
least a thirty (30) day written notice to the other party of such termination. The
City may terminate this Agreement with a cause immediately upon written notice
to the Subrecipient. Cause shall include, but is not limited to, SUBRECIPIENT's
failure to strictly comply with 24 CFR § 92.505, all applicable Federal, State, and
local laws, rules, and regulations, default on any of the terms and conditions of
this Agreement, or any substandard performance by the SUBRECIPIENT as
defined herein. Substandard performance shall be any performance indicated by
Verifying Documents but not reflected in the actual performance of the Project. In
the event of substandard performance, the CITY shall notify the SUBRECIPIENT
in writing of such substandard performance. The SUBRECIPIENT shall take
corrective action within a reasonable time, but in no event later than forty-five (45)
days from receipt of the notice from the City.
b. In the event of any termination, all finished or unfinished documents, data,
studies, surveys, maps, models, photographs, reports, or other materials
prepared by the Subrecipient under this Agreement shall, at the option of the City,
become the property of the City, and the Subrecipient shall be entitled to receive
just and equitable compensation for any satisfactory work completed on such
documents or materials prior to the termination.
c. In the event of termination, the City shall not make payment for any additional
costs incurred after the effective date of termination. All work completed prior to
the effective date of the termination may be reimbursed pursuant to the terms of
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the Agreement, provided that all required documents are submitted to the City
within thirty (30) days of the date of termination.
d.
2. Suspension: In lieu of termination upon a finding of cause, as defined in this
article, the City may suspend this Agreement and withhold any payment of the
Allocated Sum until such time as the Subrecipient is found to be in compliance by
the City.
ARTICLE XIV
DOCUMENTATION/RECORD KEEPING/ADMINISTRATIVE REQUIREMENTS
1. Maintenance of Records:
a. The Subrecipient shall maintain all records required by Federal
regulations specified in 2 CFR Part 200 that are pertinent to the
Project herein funded by the Allocated Sum. Such records shall
include, but are not limited to:
(1) Application requesting Project funding.
(2) Executed Subrecipient Agreement approving the
Project, including any amendments to the Agreement.
(3) Records providing a full description of each activity
undertaken.
(4) Records demonstrating eligibility of work performed to
be paid by the Allocated Sum.
(5) Records documenting the acquisition, improvement,
use, or disposition of real property acquired or
improved with the Allocated Sum, if applicable.
(6) Records documenting compliance with the Fair
Housing and Equal Opportunity components of the
HOME Program, if applicable.
(7) Financial records as required by 24 CFR § 92.505, 2
CFR Part 200, and all Financial Management
standards as specified in this agreement.
(8) Copy of Request for HOME-ARP Reimbursement and
Quarterly Performance Reports submitted as required
herein.
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b. The Subrecipient shall maintain client data demonstrating client
eligibility for services provided. Such data shall include, but not be
limited to, the client's name, address, race or ethnic group, age,
income level, head of household status (gender and marital status),
Social Security number, number of bedrooms, tenant contribution,
monthly gross rent, percentage of the median, size of household,
type of contract, status, contract end date, any other basis for
determining eligibility, amounts of rent and security deposit
subsidies provided and calculations of the eligible amounts, actions
undertaken to comply with equal opportunity and fair housing
requirement, and any other applicable data the City may direct from
time to time. Such information shall be made available to the City
for review upon request.
c. Subrecipient will create, maintain, and allow inspection of records
demonstrating the income of all clients served, using the annual
income definition adopted by the City, in accordance with 24 CFR §
5.609(b)(9) (Section 8 definition of household income).
d. Subrecipient will create, maintain, and allow inspection of records
demonstrating all clients served are eligible for HOME-ARP
assistance based on the requirements of the ARP and Section IV of
the HOME-ARP Notice. All clients served must meet the criteria of
the Qualifying Populations in the Section IV.A(1), (2), (3), and (4):
(1) Homeless, as defined in 24 CFR 91.5;
(2) At-risk of homelessness, as defined in 24 CFR 91.5;
(3) Fleeing, or attempting to flee, domestic violence, dating
violence, sexual assault, stalking, or human trafficking as defined by
HUD in 24 CFR 5.2003;
(4) Other populations where providing supportive services or
assistance under section 212(a) of NAHA (42 U.S.C. 12742(a))
would prevent the family's homelessness or would serve those with
the greatest risk of instability as defined in Section IV.A. (4) (1) and
(2) of the HOME-ARP Notice
e. Subrecipient will create, maintain, and allow inspection of records
demonstrating compliance with the conflict of interest requirement of 24
CFR § 92.356.
f. Subrecipient shall create, maintain, and allow inspection of records
demonstrating compliance with debarment and suspension
requirements in 2 CFR part 2424.
g. Subrecipient will create, maintain, and allow inspection of records
demonstrating compliance with affirmative marketing and minority
outreach requirements of 24 CFR § 92.351.
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h. Subrecipient will create, maintain, and allow inspection of records
demonstrating compliance with the applicable uniform administrative
requirements required by Section VIII.D. of the HOME-ARP Notice.
i. Subrecipient will create, maintain, and allow inspection of records
demonstrating compliance with records of emergency transfers
requested under 24 CFR 5.2005 and 24 CFR 92.359 pertaining to
victims of domestic violence, dating violence, sexual assault, or
stalking, including data on the outcomes of those requests.
j. Subrecipient will create, maintain, and allow inspection of records
demonstrating compliance with all other requirements of this
Agreement.
k. Subrecipient will create, maintain, and allow inspection of records
demonstrating that each household qualifying as homeless, records
that meet the requirements in 24 CFR 576.500(b)(1), (2), (3), or (4), as
applicable.
1. Subrecipient will create, maintain, and allow inspection of records
demonstrating that each household qualifying as "at risk of homelessness"
records that meet the requirements in 24 CFR 576.500 ( c )(1) or (2), as
applicable, and include the following documentation of annual income:
(1) Income evaluation form containing the minimum requirements
specified by HUD and completed by the Subrecipient; and
(2) Source documents for the assets held by the household and
income received over the most recent period for which representative data
is available before the date of the evaluation (e.g., wage statement,
unemployment compensation statement, public benefits statement, bank
statement);
(3) To the extent that the source documents are unobtainable, a
written statement by the relevant third party (e.g., employer, government
benefits administrator) or the written certification by the Subrecipient's
intake staff of the oral verification by the relevant third party of the income
the household received over the most recent period for which
representative data is available; or
(4) To the extent that the source documents and third-party
verification are unobtainable, the written certification by the household of
the amount of income the household received for the most recent period
representative of the income that the household is reasonably expected to
receive over the 3-month period following the evaluation.
2. Retention of Records: The Subrecipient shall retain all records pertinent to
expenditures incurred under this Agreement for a period of five (5) years
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after the termination of all activities funded under this Agreement or after
the resolution of all Federal audit findings, whichever occurs later. Records
for nonexpendable property acquired with funds under this Agreement
shall be retained for five (5) years after the final disposition of such
property. Records for any displaced person must be kept for five (5) years
after he/she has received the final payment.
3. Access to Records: The City and the Comptroller General of the United
States or any of their authorized representatives shall have the right of
access to any pertinent books, documents, papers, or other records of
grantees and subgrantees which are pertinent to the grant in order to make
audits, examinations, excerpts, and transcripts. The right of access shall
last as long as any record is required to be retained. The Subrecipient, its
employees, or agents shall provide access during the Term to all related
records and documents for accounts placed with the Subrecipient by the
City at reasonable times to the City, its employees, or agents.
"Reasonable" shall be construed according to the circumstances but
ordinarily shall mean during normal business hours of 8:00 a.m. to 5:00
p.m. Central Standard Time, Monday through Friday. "Agents" shall
include, but not be limited to, auditors retained by the City.
ARTICLE XV
RECORD-KEEPING DISPLACEMENT, RELOCATION, AND REAL PROPERTY
ACQUISITION
Subrecipienet shall create, maintain, and allow inspection of records demonstrating compliance
with the requirements of 24 CFR 92.353 and the provisions of Section VII.F. of the HOME-ARP
Notice regarding displacement, relocation, and real property acquisition, including but not
limited to:
1. Project occupancy lists identifying the name and address of all persons occupying the real
property on the date described in 24 CFR 92.353(c)(2)(i)(A) and occupying the property upon
completion of the project;
2. Lists of all individuals or families occupying hotels and motels and other nonresidential
properties acquired, rehabilitated, and/or demolished and newly constructed to become HOME-
ARP NCS or HOME-ARP rental housing that qualify for assistance under the HOME-ARP
Notices as members of a qualifying population, as well as records indicating whether such
persons were assisted by the HOME-ARP program by the participating jurisdiction following the
closure of the nonresidential properties because of the HOME-ARP activities
3. Lists of all individuals or families occupying HOME-ARP NCS that were converted during the
required use period that qualify for assistance under the HOME-ARP Notice, as well as records
indicating whether moving costs or advisory services were provided as part of HOME-ARP
administrative costs or under the HOME-ARP supportive services activity in Section VI.D of the
HOME-ARP Notice, and records indicating whether such persons were assisted by the HOME-
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ARP program by the participating jurisdiction following the conversion of the HOME-ARP NCS
units.
ARTICLE XVI
HOME-ARP SUPPORTIVE SERVICES REQUIREMENTS AND PROVISIONS
Subrecipient shall disburse the Allocated Sum through a HOME-ARP Supportive Services
program that Subrecipient shall design and administer in accordance with this Article and in
compliance with all requirements under Section VI.D of the HOME-ARP Notice, all other
applicable provisions of the federal regulations, and any other laws.
1. Subrecipient shall provide supportive services, as defined in Section VI.D(3)(a) and
(b), set forth below:
a. McKinney-Vento Supportive Services under HOME-ARP are adapted from the
services listed in section 401(29) of the McKinney-Vento Act.
b. HOME-ARP Homeless Prevention Services provided must be included in the list
of eligible supportive services as outlined in Section VI.D(4)(c)(i) in the HOME-ARP
Notice
2. Each household selected to receive assistance must consent in writing for his or her
files to be inspected, copied, and audited by the City, HUD, or any of their agents or
employees and must waive any confidentiality requirements that may otherwise be
breached as a direct or indirect result of any such inspection, copying, or audit.
ARTICLE XVII
AUDITS/MONITORING
1. In the event that the Subrecipient expends Seven-Hundred-Fifty-Thousand and
00/100 Dollars ($750,000.00) or more in Federal awards in its fiscal year, the Subrecipient
must have a single or program-specific audit conducted in accordance with the provisions of
Title 2 Code of Federal Regulations (CFR) Part 200, as revised. In determining the Federal
awards expended in its fiscal year, the Subrecipient shall consider all sources of Federal
awards, including Federal resources received from the City. The determination of amounts of
Federal awards expended should be in accordance with the guidelines established by Title 2
CFR Part 200, as revised. An audit of the Subrecipient conducted by the Auditor General in
accordance with the provision 2 CFR Part 200, as revised, will meet the requirements of this
part.
2. In connection with the audit requirements addressed in Paragraph 1 above, the
Subrecipient shall fulfill the requirements relative to audit responsibilities as provided in 2 CFR
Part 200, as revised.
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3. If the SUBRECIPIENT expends less than Seven-Hundred-Fifty-Thousand and 00/100
Dollars ($750,000.00) in Federal awards in its fiscal year, an audit conducted in accordance
with the provisions of 2 CFR Part 200, as revised, is not required. In the event that the
Subrecipient expends less than Seven-Hundred-Fifty-Thousand and 00/100 Dollars
($750,000.00) in Federal awards in its fiscal year and elects to have an audit conducted in
accordance with the provisions of 2 CFR Part 200, as revised, the cost of the audit must be
paid from non-Federal resources.
4. In addition to reviews of audits conducted in accordance with 2 CFR Part 200, as
revised, monitoring procedures may include, but not be limited to, on-site visits by the City
and/or HUD; limited-scope audits as defined by 2 CFR Part 200, as revised; submittal and
review of financial statements; and/or other procedures. By entering into this Agreement, the
Subrecipient agrees to comply and cooperate with any monitoring procedures/processes
deemed appropriate by the City and/or HUD. In the event the City and/or HUD determines that
a limited-scope audit of the Subrecipient is appropriate, the Subrecipient agrees to comply with
any additional instructions provided by the City and/or HUD to the Subrecipient regarding such
audit. The Subrecipient further agrees to comply and cooperate with any inspections, reviews,
investigations, or audits deemed necessary by the Chief Financial Officer or Auditor General.
5. Inspector General: In those instances where state funding is involved, the
Subrecipient and its subcontractors must agree to cooperate with the inspector general in any
investigation, audit, inspection, review, or hearing. By entering into this Agreement, the
Subrecipient certifies it understands and will comply with this provision.
6. If the Subrecipient is not subject to the audit requirements found at 2 CFR Part 200,
Subpart F, a financial report in accordance with FAS Statement No. 117, Financial Statement
of Not-for-Profit Organizations, as amended, shall be submitted to the City within thirty (30)
days after the end of its fiscal year.
7. Monitoring provides information for making an informed judgment about program
effectiveness and management efficiency, as well as identifying internal weaknesses that may
contribute to fraud or abuse. The monitoring procedures established for the Subrecipient may
include, but are not limited to, on-site visits by the City or HUD; limited-scope audits as defined
by 2 CFR Part 200, as revised; submittal and review of financial management statements as
defined by FAS Statement No. 117, performance reports; and other procedures as determined
necessary.
8. By entering into this Agreement, the Subrecipient agrees to comply and cooperate
with any monitoring procedures/processes deemed appropriate by the City and/or HUD. In the
event the City or HUD determines that more than a limited-scope audit of the Subrecipient is
appropriate, the Subrecipient agrees to comply with any additional instructions provided by the
City or HUD to the Subrecipient regarding such audit. The Subrecipient further agrees to
comply and cooperate with any inspections, reviews, investigations, or audits deemed
necessary by the City, Chief Financial Officer, or Auditor General. 9. A copy of the audit or
financial management report must be provided to the Community Development Department
within thirty (30) days after receipt by the Subrecipient.
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ARTICLE XVIII
PERFORMANCE, SUBCONTRACTS, AND AMENDMENTS
1. Performance Monitoring: The City shall monitor the performance of the Subrecipient
against goals, performance standards, and requirements herein. Substandard performance, as
determined by the City, in its sole and absolute discretion, shall constitute noncompliance of
this Agreement. If such substandard performance is not corrected by the Subrecipient within a
reasonable time period, as determined by the City, after being notified by the City of it, in
accordance with Article XIII, contract suspension or termination procedures may be initiated
and enforced in accordance with regulations set forth in 2 CFR Part 200, Subpart D, and Article
XIII herein. In no case shall a reasonable period of time to begin the correction of substandard
performance be shorter than seven (7) days or longer than ninety (90) days unless otherwise
provided herein. Notwithstanding the foregoing, the City hereby agrees that any cure of any
default made or tendered by the Subrecipient's investor limited partner (or their affiliates, or
their successors or assigns) shall be deemed to be a cure by the Subrecipient and shall be
accepted or rejected on the same basis as if made or tendered by Subrecipient.
2. Reporting requirements: The Subrecipient will inform the monitoring agent secured by
HUD that the City must receive a copy of all documents relating to the monitoring and
compliance of the Project.
3. Laws: The Subrecipeint shall not enter into any contracts or subcontracts in the
performance of this Agreement without the written consent of the City. All contracts or
subcontracts made by the Subrecipient to carry out the Project shall be made in accordance
with all applicable Federal, State, and local laws, rules, and regulations stipulated in this
Agreement and in strict accordance with all terms, covenants, and conditions in this
Agreement. Any worker's services contracted hereunder shall be specified by written contract
or agreement and shall be subject to each article set forth in this Agreement.
4. Subcontract Monitoring: The Subrecipient shall monitor all subcontracted services on
a regular basis to assure contract compliance. Results of monitoring efforts shall be
summarized in written reports and supported with documented evidence of follow-up actions
taken to correct areas of noncompliance. Such summaries and documents shall be submitted
to the City with each Request for HOME Reimbursement and Quarterly Performance Report to
be reported to HUD.
5. Prior City Approvals: The following includes, but is not limited to, activities that require
the prior written approval of the City to be eligible for payments:
a. All requests for proposals/qualifications, bid packages, proposed advertisements, and
procurement documentation for services prior to award.
b. The initiation of new activities not covered by this Agreement or changes in the
location or the deletion of any activity/activities.
c. Any service(s) or activity/activities other than those described in Article III above.
d. Any proposed revisions to this Agreement.
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e. Requests to utilize remaining funds should there be a surplus after work is
substantially completed. Requests must be made in writing and signed by an individual with
signatory authority.
ARTICLE XIX
AWARD DELIVERY
HOME-ARP Funds will be awarded as a grant pursuant to the terms of the Agreement
Subrecipient shall be required to enter into a Land Use Restrictive Agreement (LURA) for a
period of 15 years, and such agreement shall be recorded in the Public Records the City The
Allocated Sum shall be secured by a twenty (20) years deferred mortgage and promissory note
on the real property on which the Project is located.
ARTICLE XX
REPAYMENT OF LOAN
1. All HOME-ARP funds are subject to repayment in the event the Project does not meet
the requirements as outlined in this Agreement.
2. It is understood that upon the completion of the Project, any HOME-ARP funds
reserved but not expended under this Agreement will revert to the CITY.
3. Funds will remain a deferred loan for the period of twenty (20) years, at which time the
loan may be forgiven or extended in the sole discretion of the City for another term. Sale of the
property to another party may occur only with the approval of the City, and the purchaser shall
assume all obligations of the Subrecipient under this Agreement, the note and mortgage, and
the deed covenants. Provisions in those documents will provide for the extinguishment of the
requirements only in the event of a third-party foreclosure or deed in lieu of foreclosure.
ARTICLE XXI
CONTRACT LIABILITY
The City shall not be liable to any person, firm, or corporation who contracts with, or provides
goods or services to, the Subrecipient in connection with the services as agreed to perform
hereunder or for debts or claims accruing to such parties against the Subrecipient; and there is
no contractual relationship either expressed or implied between the City and any other person,
firm, or corporation supplying any work, labor, services, goods, or materials to the Subrecipient
as a result of the Subrecipient's services to the City hereunder.
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ARTICLE XXII
PROGRAM INCOME
The Subrecipient shall record the receipt and expenditure of Program Income, as defined in 24
CFR § 92.503(a) ("Program Income"), as part of the financial transactions of the grant-funded
Project. The use of Program Income by the Subrecipient shall comply with the requirements set
forth in 24 CFR § 92.503. The Subrecipient may use Program Income during the Term of this
Agreement for activities permitted under this Agreement and shall reduce requests for
additional funds by the amount of any such Program Income on hand. The Subrecipient shall
submit a detailed accounting of the receipt and use of Program Income as indicated in Exhibit
C, attached hereto and incorporated herein, in conjunction with quarterly reporting that is
required. All unused Program Income with interest shall be returned to the City at the end of the
Term. The City shall return these monies to HUD.
ARTICLE XXIII
REVERSION OF ASSETS
Upon expiration or termination of this Agreement, the Subrecipient shall transfer to the City any
Allocated Sum that has not been specifically allocated for the Project pursuant to this
Agreement, as specified in 24 CFR § 92.504(c)(2)(vii).
ARTICLE XXIV
INDEMNIFICATION
The Subrecipient shall defend, hold harmless, and indemnify the City and all of its officers,
agents, and employees, whether current or former, from and against any and all actions,
claims, liabilities, losses, damages, costs, attorney's fees, charges, or expenses of whatever
kind or nature which the City may sustain, suffer, incur, or be required to pay by reason of the
loss of any monies paid to the Subrecipient resulting out of fraud, defalcation, dishonesty, or
failure of the Subrecipient to comply with the Housing and Community Development Act of
1974 and its regulations; or arising out of any act, action, neglect, or omission during the
performance of this Agreement, any part thereof, or work performed hereunder, whether direct
or indirect; or by reason or result of injury caused by the Subrecipient's or subcontractor's willful
or negligent maintenance or supervision of the property or work performed; or by reason of a
judgment over and above the limits provided by the insurance required under Article XXV of
this Agreement; or by any defect in the condition or construction of the Project if the Project
was inspected and accepted by the Subrecipient; whether or not due to, or caused by
negligence of the City or any of its agents and employees. Only a final adjudication judgment
finding the City solely negligent shall excuse the performance of this provision by the
Subrecipient. The Subrecipient shall pay all costs and fees related to this obligation and its
enforcement by the City. This Article XXIV shall survive any termination, cancellation, or
expiration of this Agreement.
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ARTICLE XXV
INSURANCE
1. The Subrecipient shall procure and maintain, for the duration of this Agreement,
insurance against claims for injuries to persons or damages to property which may arise from
or in connection with the Subrecipient's operation and use of any real property and any
building, shelter, or similar structures thereon (hereinafter referred to as "Premises"). The cost
of such insurance shall be borne by the Subrecipient.
2. The Subrceipient shall not enter or occupy the Premises until it has obtained all
insurance required herein and such insurance has been approved by the City as provided
herein.
3. The Subrecipient shall furnish certificate(s) of insurance on the form required by the
City to the City. The certificate(s) shall clearly indicate the Subrecipient has obtained insurance
of the type, amount, and classification required for strict compliance with this Agreement and
that no reduction in coverage or in limits, suspension, or cancellation of the insurance shall be
effective without thirty (30) days prior written notice as provided below. The certificate(s) shall
be signed by a person authorized by that insurer to bind coverage on its behalf. The City
reserves the right to require complete, certified copies of all required policies at any time. Each
insurance policy required by this Agreement shall be endorsed to state that coverage shall not
be suspended, voided, canceled, reduced in coverage or in limits, except after thirty (30) days
prior written notice by Certified Mail, Return Receipt Requested, has been given to the City to
the attention of the Pasco City Community Development Director. In the event the insurance
coverage expires prior to the termination or end of this Agreement, a renewal certificate shall
be issued thirty (30) days prior to the expiration date. Compliance with the foregoing
requirements shall not relieve the Subrecipient of the liability and obligations under this
Agreement. Neither approval by the City or a failure to disapprove insurance certificates or
policies furnished by the Subrecipient shall release the Subrecipient of full responsibility for all
liability or its obligations under this Agreement.
4. All insurance policies shall be issued by responsible companies authorized to do
business under the laws of the State of Texas, have an "A" policyholders' rating, have a
financial rating of at least Class VIII in accordance with the most current Best's Key Rating
Guide, and shall be satisfactory to the City. All policies of insurance required by this Agreement
shall be primary insurance with respect to the City, its officials, agents, and employees. Any
insurance or self-insurance maintained by the City, its officials, agents, or employees shall be
in excess of the Subrecipient's insurance and shall not contribute to it. All policies of insurance
required by this Agreement, except workers' compensation, shall specifically provide that the
City shall be an "additional insured" under the policy and shall contain a Severability of
Interests provision. All insurance policies required herein and all provisions hereof shall apply
to all operations, activities, or use by the Subrecipient or by anyone employed by or contracting
with the Subrecipient, and it is the Subrecipient's responsibility to ensure that any contractor,
subcontractor, or anyone directly or indirectly employed by any of them complies with those
insurance provisions and that the City is an "additional insured" on such policies. Any
deductibles or self-insured retentions must be declared to and approved by the City and are the
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responsibility of the Subrecipient. The minimum types and limits of coverage to be carried by
the Subrecipient shall be as follows:
a. Workers' Compensation and Employer's Liability:
If the Subrecipient falls under the State of Texas Workers' Compensation law, the Subrecipient
shall provide coverage for all employees. The coverage shall be for the statutory limits in
compliance with the applicable State and Federal laws. The policy must include employer's
liability with a limit of One Hundred Thousand and 00/100 Dollars ($100,000.00) for each
accident. The insurer shall agree to waive all rights of subrogation against the City, its officials,
agents, and employees.
b. Comprehensive General Liability:
Shall include premises and/or operations, broad form property damage, independent
contractor, contractual liability, and fire legal liability, and shall be written on an "occurrence
basis." In the event Subrecipient is only able to secure coverage on a "claims-made basis," the
Subrecipient shall be obligated, by virtue of this Agreement, to maintain tail coverage in effect
with no less limits of liability, nor any more restrictive terms and/or conditions, for a period of
three (3) years from expiration or termination of this Agreement.
c. Bodily injury and personal injury, including death:
• $1,000,000.00 each person;
• $2,000,000.00 aggregate;
• $1,000,000.00 each occurrence;
• $2,000,000.00 aggregate.
ARTICLE XXVI
NONASSIGNABILITY
The Subrecipient may not assign this Agreement without the prior written consent of the City.
ARTICLE XXVII
HEADINGS
All articles and descriptive headings of paragraphs in this Agreement are inserted for
convenience only and shall not affect the construction or interpretation hereof.
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ARTICLE XXVIII
CONTRACT EXECUTION
This Agreement may be executed in whole or in part, and each fully executed part shall be
deemed an original instrument.
ARTICLE XXVIX
COMPLIANCE
The Subrecipient agrees to comply with any City or State civil rights ordinances; Title XI of the
Civil Rights Act of 1964, as amended; Title XIII of the Civil Rights Act of 1968, as amended;
Section 109 of Title I of the Housing and Community Development Act of 1974; the Americans
with Disabilities Act of 1990; the Age Discrimination Act of 1975; and Executive Orders 11063
and 11246, as amended by Executive Orders 11375 and 12086.
ARTICLE XXX
UNIFORM ADMINISTRATIVE REQUIREMENTS
The Subrecipient shall comply with 24 CFR § 92.505, and adhere to accounting principles and
procedures required therein, utilize adequate internal controls, and maintain necessary source
documentation for all costs incurred. The Subrecipient shall administer the Project in
conformance with Section VIII.D. of the HOME-ARP Notice, as amended.
ARTICLE XXXI
NONDISCRIMINATION
The Subrecipient will not discriminate against any employee or applicant for employment
because of race, color, creed, religion, ancestry, national origin, sex, disability, other
handicaps, age, marital status, or status with regard to public assistance. To the extent
Subrecipient has employees, the Subrecipient will take affirmative action to ensure that all
employment practices prohibit such discrimination. Such employment practices include but are
not limited to, the following: hiring, upgrading, demotion, transfer, recruitment or recruitment
advertising, lay-off, termination, rates of pay or other forms of compensation, and selection for
training, including apprenticeship. The Subrecipient agrees to post in conspicuous places,
available to employees and applicants for employment, notices setting forth the provisions of
this nondiscrimination clause.
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ARTICLE XXXII
REHABILITATION ACT OF 1973, SECTION 504
The Subrecipient agrees to comply with any Federal regulations issued pursuant to compliance
with Section 504 of the Rehabilitation Act of 1973 (29 United States Code of Law (U.S.C.) §
794) which prohibits discrimination against the handicapped in any Federally assisted program.
The City shall provide the Subrecipient with any guidelines necessary for compliance with that
portion of the regulations during the term of this Agreement.
ARTICLE XXXII!
LABOR STANDARDS
The Subrecipient agrees to comply with the requirements of the Secretary of Labor in accordance
with the Davis-Bacon Act, as amended (48 CFR§22.403-1); the provisions of contract work hours
and the Safety Standards Act (40 USC § 3701, et seq. and 48 CFR § 22.403-1, 22.403-3); the
Copeland "Anti-Kickback"Act (48 CFR § 22.403-2; 18 U.S.C. § 874, et seq.; 40 U.S.C. § 3141, et
seq., formerly cited as 40 U.S.C. §§ 276a, 327-333); and all other applicable Federal, State, and
local laws and regulations pertaining to labor standards insofar as such acts apply to the
performance of this Agreement. The Subrecipient shall maintain documentation that demonstrates
compliance with an hour and wage requirements of this part. Such documentation shall be made
available to the CITY for review upon request.
ARTICLE XXXIV
HUD ACT OF 1968, SECTION 3
1. Compliance with the provisions of Section 3 of the HUD Act of 1968, the regulations set forth
in 24 CFR Part 75, and applicable rules and orders issued hereunder prior to the execution of
this Agreement shall be a condition of the Federal financial assistance provided under this
Agreement and is binding upon the City, the Subrecipient, and any subcontractors. Failure to
fulfill these requirements shall subject the City, the Subrecipient, and any subcontractors, their
successors, and assigns to those sanctions specified by the agreement through which Federal
assistance is provided. The Subrecipient certifies and agrees that no contractual or other
disability exists which would prevent compliance with these requirements.
2. The Subrecipient agrees to send to each labor organization or representative of workers with
whom it has a collective-bargaining agreement or contract or understanding, if any, a notice
advising the said labor, organization, or workers' representative or its commitments under the
Section 3 clause, and shall post copies of the notice in conspicuous places available to
employees and applicants for employment or training.
3. The Subrecipient will include the Section 3 clause in every subcontract and will take
appropriate action pursuant to the subcontract upon finding that the subcontractor is in violation
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of regulations issued by the City or the Federal government. The Subrecipient will not
subcontract with any sub-contractor where it has notice or knowledge that the latter has been
found in violation of regulations under 24 CFR Part 75 and will not let any subcontract unless
the subcontractor has first provided it with a preliminary statement of ability to comply with the
requirements of these requirements.
ARTICLE XXXV
HATCH ACT
The Subrecipient agrees that no funds provided, nor personnel employed under this
Agreement, shall be in any way or any extent engaged in the conduct of political activities in
violation of 5 U.S.C. § 1501 et seq. as subsequently amended.
ARTICLE XXXVI
CONFLICT OF INTEREST
The Subrecipient covenants that it presently has no financial interest and shall not acquire
financial interest, direct or indirect, which would conflict in any manner or degree with the
performance of services required under this Agreement. The Subrecipient further covenants
that in the performance of this Agreement, no person having such a financial interest shall be
employed or retained by the Subrecipient or subcontractor hereunder, except for services
performed. These conflict of interest provisions apply to any person who is a person, agent,
consultant, officer, or elected official or appointed official of the City or of any designated public
agencies or SUBRECIPIENTS that are receiving funds under this Agreement.
ARTICLE XXXVII
RELIGIOUS ORGANIZATION
The Subrecipient agrees that funds provided under this Agreement will not be utilized for
religious activities, to promote religious interests, or for the benefit of a religious organization in
accordance with the Federal regulations specified in 24 CFR § 5.109.
ARTICLE XXXVIII
LEAD-BASED PAINT
The Subrrecipient agrees that any construction or rehabilitation of residential structures, with
assistance provided under this Agreement, shall be subject to the HUD Lead-Based Paint
Regulations at 24 CFR § 92.355. Such regulations pertain to all HUD-assisted housing and
require that all owners, prospective owners, and tenants for properties constructed prior to
1978 be properly notified that such properties may include lead-based paint. Such notification
21II' age
shall point out the hazards of lead-based paints and explain the symptoms, treatment, and
precautions that should be taken when dealing with lead-based poisoning.
ARTICLE XXXVIX
ENVIRONMENTAL CONDITIONS
1. Air and Water: Subrecipient agrees to comply with the following regulation insofar as they
apply to the performance of this Agreement: a. Clean Air Act, 42 U.S.C.§ 7401, et seq.
b. Federal Water Pollution Control Act, as amended; 33 U.S.C. § 1251, et seq., as amended;
and 33 U.S.C. § 1318, relating to inspection, monitoring, entry, reports, and information, as well
as other requirements specified in the said Sections 114 and 308 and all regulations and
guidelines issued thereunder.
c. Environmental Protection Agency Regulations pursuant to 40 CFR Part 50, et seq., as
amended.
d. National Environmental Policy Act of 1969, as amended, 42 U.S.C. § 4331, et seq.
e. HUD Environmental Review Procedures (24 CFR Part 58).
2. Flood Disaster Protection: In accordance with requirements of the Flood Disaster Protection
Act of 1973 (42 U.S.C. § 4001, et seq.), the SUBRECIPIENT shall obtain and maintain flood
insurance under the National Flood Insurance Program for any activities located in an area
identified by the Federal Emergency Management Act as having special flood zones.
ARTICLE XL
HISTORIC PRESERVATION
The Subrecipient agrees to comply with the historic preservation requirements set forth in the
National Historic Preservation Act of 1966, as amended (54 U.S.C. § 300101, et seq. (formerly
cited as 16 U.S.C. § 470)), and the procedures set forth in 36 CFR Part 800, Advisory Council
on Historic Preservation Procedures, for protection of historic properties insofar as they apply
to the performance of this Agreement. In general, this requires concurrence from the State
Historic Preservation Officer for rehabilitation and demolition
of all properties built fifty (50) years ago to assess how the activity could affect a historic
property listed in or eligible for the National Register of Historic Places.
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ARTICLE XLI
CONTINUITY OF SERVICE
1. The Subrecipient may not change the eligible use of the Units, the method of providing
service by excluding properties or persons currently covered, sell or transfer the Units except in
connection with the sale of the Project to an entity that assumes the Subrecipient obligations
under this Agreement and the mortgage and note, or vacate the Units without the CITY's
permission, until the expiration of this Agreement.
2. If the City and the Subrecipient determine, after consultation with the affected citizens, that it
is appropriate to change the use of the property to a use which does not qualify under
Paragraph 1 of this article, the Subrecipient may retain or dispose of the property for the
changed use after the City HOME is reimbursed in the amount of the Allocated Sum. During
the term of the Agreement, the Subrecipient shall give a first right of refusal to eligible nonprofit
organizations for the purchase of the Unit at the current market value so that the Unit may
continue to be occupied by eligible persons as set forth in the mortgage and note.
3. Following the reimbursement of the Allocated Sum in accordance with Paragraph 2 of this
article, the property will no longer be subject to any Program requirements.
ARTICLE XLII
NONEXPENDABLE PROPERTY
Any nonexpendable personal property acquired by the Subrecipient under this project shall be
subject to the provisions of the Housing and Community Development Act of 1974 and its
regulations, including, but not limited to, the provisions on the use and disposition of property
for a period of five (5) years after purchase.
ARTICLE XLIII
REAL PROPERTY PROTECTIONS
1. The City may have inspections of the premises performed by the City, or on its behalf, for
structural integrity and safety.
2. Other than as provided in Exhibit A, the Subrecipient shall not mortgage or otherwise
encumber title to the said real property by utilizing the said real property as collateral for any
type of lien, note, mortgage, debt obligation, or security agreement without prior written
notification to the HOME Administrator.
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ARTICLE XLIV
MAINTENANCE OF PREMISES
The Subrecipient is required to maintain the real property and structures located thereon in a
condition that meets all current housing, safety, and health standards as required by all
applicable federal, state, and local laws, rules, and regulations.
ARTICLE XLV
MISCELLANEOUS
1. Entire Agreement: This Agreement represents the entire agreement between the parties
and supersedes any and all prior agreements, negotiations, or understandings, written or
oral, relating to the matters set forth herein. Prior agreements, negotiations, or
understandings, if any, shall have no force or affect whatsoever on this Agreement. All
parties hereto agree that if any part, term, or covenant of this Agreement is held to be
illegal, unenforceable, or in conflict with any applicable Federal, State, or local laws or
regulations, such part shall be severable, with the remainder of this Agreement valid and
enforceable.
2. Sovereign Immunity: Nothing in this Agreement shall be construed in any way to waive
the sovereign immunity of the City.
3. Applicable Law: This Agreement, when not governed by Federal law, shall be governed
by and interpreted in accordance with the laws of the State of Texas.
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APPROVED IN FORM:
Val Tizeno
City Attorney
CITY OF PORT ARTHUR
Ron Burton
City Manager
ATTEST:
Sherri Bellard
City Secretary
THE SALVATION ARMY
Major Ken Fagan
Corps Officer
Date
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EXHIBIT A
Performance Statement
The Salvation Army
Subrecipient shall carry out the following HOME-ARP activities:
The Subrecipient shall provide case management, Food services, Rental and Utility
Assistance, and Travel services to qualifying clients of the HOME-ARP Grant.
The Subrecipient will use its 2350 I-10 East, Beaumont, Texas facility to serve the HOME-ARP clients.
Timesheets must identify all funding sources for the employees. HOME-ARP and other activities
undertaken by the Subrecipient must be documented on the timesheets with the date, times, and the
number of hours worked and a brief description of what activity/task performed. Timesheets must be
submitted and signed by both employee and supervisor. Timesheets must differentiate between hours
charged to HOME-ARP and hours not charged to HOME-ARP and must document the specific HOME-
ARP-related activity worked on, not just the number of hours worked.
Food Services—Clients accessing Salvation Army's emergency shelter will receive breakfast and dinner
daily at the rate of$2.50. Non-shelter clients can shop in the food pantry weekly on Tuesdays and
Thursdays for$8.00 per food bag.
The following information is required from the applicant:
1. The Salvation Army Assistance Application
2. Government-issued Identification or Driver's License
3. Social Security Card
4. Proof of Qualifying Population
Case Management—Clients are required to receive weekly case management after staying (3)
consecutive days in the emergency shelter. This service is also available for non-residents seeking
assistance from the Salvation Army. HOME-ARP funds will pay the salary for case management with
Port Arthur residents.
Rent and Utility Assistance—Port Arthur residents can access the funding by applying for the Salvation
Army's rental and utility assistance program. Clients may apply and receive up to $900.00 of rental
assistance once annually. Applicants may apply and receive up to $150.000 for utility assistance
annually.
Applicants must complete and submit the following documentation:
1. The Salvation Army Assistance Application
2. Government-issued Identification
3. Social Security Card
4. Proof of Qualifying Population
5. Copy of most recent utility bill
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6. Verification that the applicant has not received assistance or has been approved to receive
assistance through another program or provider
Provide documentation that the families or individuals meet the definition of a HOME-ARP qualifying
participant according to HUD's Notice: CPD-21-10. Utility and rental payments must follow the
guidelines in CPD-21-10.
Utility payments: HOME-ARP funds may pay for up to 24 months of utility payments per program
participant, per service, including up to 6 months of utility payments in arrears per service. A partial
payment of a utility bill counts as one month. This assistance may only be provided if the program
participant or a member of the same household has an account in his or her name with a utility company
or proof of responsibility to make utility payments. Eligible utility services are gas, electric, water, and
sewage. No program participant shall receive more than 24 months of utility assistance within any 3-
year period.
Rental payments: Rental payments cannot be provided unless the rent does not exceed the Fair Market
Rent established by HUD, as provided under 24 CFR part 888, and complies with HUD's standard of
rent reasonableness as established under 24 CFR 982.507.
Each program participant receiving financial assistance for rental payments must have a legally binding,
written lease for the rental unit unless the assistance is solely for rental arrears. The lease must be
between the owner and the program participant. Where the financial assistance is solely for rental
arrears, an oral agreement may be accepted in place of a written lease if the agreement gives the program
participant an enforceable leasehold interest under state law and the agreement and rent owed are
sufficiently documented b the owner's financial records, rent ledgers, or canceled checks.
Rental assistance must comply with all the requirements of Notice: CPD 21-10.
Travel—HOME-ARP will reimburse the Salvation Army at the rate of $0.655 per mile to transport Port
Arthur residents to the Salvation Army at 2350 I-10 East, Beaumont, Texas, or for other needed services.
The Salvation Army must document the name of the client served,the beginning and ending
odometer readings, and the purpose of the travel.
Complete and submit the following documentation for each client:
1. Government-issued Identification
2. Social Security Card
3. Fleeing Domestic Violence Certification, Homeless Certification, or proof of income
4. Proof of residency in Port Arthur, Texas
5. Verification that the applicant has not received assistance or has been approved to receive
assistance through another program or provider
All receipts and copies of canceled checks must be attached to a reimbursement statement.
Subrecipient shall utilize Fifty-Thousand and No/100 Dollars($50,000.00) of contract funds to complete
these activities.
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EXHIBIT B
Budget
The Salvation Army
Activity Contract Other TOTAL
Funds Funds FUNDS
1. Food Services $ 6,000.00 $ 6,000.00
2. Case Management $14,000.00 $14,000.00
3. Rent and Utility Assistance $28,000.00 $28,000.00
TOTAL FUNDS $50,000.00 S50,000.00
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EXHIBIT C
REIMBURSEMENT STATEMENT
Salvation Army
HOME-ARP
Reporting Period
Contract Funds
Activity Amount Requested Balance
1. Food Services $ $ $
2. Rental Assistance $ $ $
3. Utility Assistance $ $ $
4. Case Management $ $ $
TOTAL REQUEST $
Contract Amount $50,000.00
Total Expended: ($ )
(Current invoices+previous invoices)
Remaining Balance $
Executor Director Date
Please include copies of invoices and canceled checks. Timesheets must identify all funding sources
for the employee. HOME-ARP and other activities undertaken by the employee must be
documented on the timesheets with the date,times, and the number of hours worked and a brief
description of what activity/task related to HOME-ARP. Timesheets must be submitted and
signed by both employee and supervisor.
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2023 HOME-ARP INCOME VERIFICATION FORM
NAME:
ADDRESS:
AGE:
RACE: You may check one or more of the boxes below for the race:
Ethnicity White Black] Asian American Native American BlacklAfrican Other
African Indian/Alaskan Hawaiian/Other Indian/ American and Multi-
American Native Pacific Islander Alaskan White Race
Native
and White
Hispanic
Non-
Hispanic
Ethnicity:check either Hispanic or Non-Hispanic
Eligible participant's total family income cannot exceed the following income limits based on family size:
Each participant must live in the City of Port Arthur,Texas.
Please check the appropriate box:
*FY 22 Household Size
Income 1 Person 2 Persons 3 Persons 4 Persons 5 Persons 6 Persons 7 Persons 8 Persons
Level
Extremely $16,350 $18,700 $21,050 $23,350 $25,250 $27,100 $29,000 $30,850
Low(30%of
AMI)
Very Low $27,300 $31,200 $35,100 $38,950 $42,100 $45,200 $48,300 $51,450
(50%of
•
AMI)
9 or more family members add$2,200 per child
HOME-ARP Qualifying Populations
1. Homeless—as defined in 24 CFR 91.5 Homeless(1), (2),(3)
2.At risk of homelessness—as defined in 24 CFR 91.5 At risk of homelessness
3. Fleeing,or attempting to flee, domestic violence,dating violence,sexual assault,stalking,or human trafficking—as
defined by
the U.S. Department of Housing and Urban Development(HUD)
4.Other Populations—those who do not qualify under the other three QP definitions but meet one of the Other Populations
criteria identified in Section IV of the HOME-ARP Notice.
Household Type (select one): Single-non-elderly; Elderly; Single Parent;Two Parents; other
I certify that the foregoing is true and accurate to the best of my knowledge:
Signature Date
Please attach a copy of each person's Social Security Card,Identification Card,
*Income source documentation(wage statement,unemployment compensation,public benefits,bank statements,etc).
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EXHIBIT D
The Applicable Laws and Regulations
Subrecipient shall comply with all federal, state, and local laws and regulations applicable to the
activities and performances rendered by Subrecipient under this contract including,but not limited to,the
laws and regulations specified in Section I through IV of this Exhibit D.
CIVIL RIGHTS
The Fair Housing Act(42 U.S.C. 3601-20) and implementing regulations at 24 CFR part 10;
Executive Order 11063, as amended by Executive Order 11063, as amended by Executive Order
12259 (3 CFR, 1958-1963 Comp., 652 and 3 CFR, 1980 Comp., p. 307) (Equal Opportunity in
Housing and implementing regulations at 24 CFR, Part 107; and title VI of the Civil Rights Act
of 1964 (42 U.S.C. 2000d) (Nondiscrimination on Federally Assisted Programs) and
implementing regulations issued at 24 CFR,Part 1;
Executive Order 11063, as amended by Executive Order 12259, and 24 CFR part 107,
"Nondiscrimination and Equal Opportunity in Housing under Executive order 11063 or 24
CFR, Part 107 shall be a proper basis for the imposition of sanctions specified in 24 CFR
107.60;
The prohibition against discrimination on the basis of age under the Age Discrimination Act of
1975 (42 U.S.C. 6101-07) and implementing regulations at 24 CFR, Part 146, and the
prohibitions against discrimination against handicapped individuals under Section 504 of the
Rehabilitation Act of 1973 (29 U.S.C. 794) and implementing regulations at 24 CFR, Part 8;
The requirements of Executive Orders 1246 (3 CFR 1964-65, Comp.,p. 339) (Equal
Employment Opportunity) and the implementing regulations issued at 4I CFR,
Chapter 60.
The requirements of Executive Orders 11625 and 12432 (concerning Minority Business
Enterprise), and 12138 (concerning Women's Business Enterprise). Consistent with HUD's
responsibilities under these Orders, each applicant must make efforts to encourage the use of
minority and women's business enterprises in connection with HOME funded activities. Each
Contractor must prescribe procedures acceptable to the City to establish activities to ensure the
inclusion,to the maximum extent possible, of minorities and women, and entities owned by
minorities and women. The Contractor/Subcontractor will be required to identify contracts which
have been bid by minority owned, women owned, and/or small disadvantaged businesses.
The Age Discrimination Act of 1975 (42 U.S.C., Section 6101 et seq.);
Section 504 of the Rehabilitation Act of 1973 (29 U.S.C., Section 794)and "Nondiscrimination
Based on Handicap in Federally-Assisted Programs and Activities of the Department of Housing
and Urban Development", 24 CFR, Part 8. By signing this contract, Contractor understands and
agrees that the activities funded herein shall be operated in accordance with 24 CFR, Part 8; and
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the Architectural Barriers Act of 1968 (42 U.S.C., Section 4151 et. seq.), including the use of a
telecommunications device for deaf persons(TDDs)or equally effective communication system.
II. ENVIRONMENTAL STANDARDS
Environmental Review Procedures for Title I Community Development Block Grant
Programs, 24 CFR Part 58, as amended in 47 Fed. Reg. 15750 (April 12, 1982);
24 CFR Part 51, Environmental Criteria and Standards.
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P. R. #23186
05/23/2023 M. Essex
Page 4 of 3
ATTACHMENT "B"
CITY OF PORT ARTHUR
HOME INVESTMENT PARTNERSHIP GRANT PROGRAM FOR
HOME-ARP CONTRACT FOR A
NON-PROFIT SUBRECIPIENT
STATE OF TEXAS §
CITY OF JEFFERSON §
SECTION 1. PARTIES TO THE CONTRACT
This contract and agreement are made and entered into by and between the City of Port
Arthur, Texas (hereinafter called the "City") acting herein by its Mayor and City Manager, duly
authorized by Resolution of the City Council of the City of Port Arthur and Catholic Charities of
Southeast Texas, Jefferson County, Texas (hereinafter called "Subrecipient") acting herein by
its President/CEO, duly authorized by its Board of Directors. The parties hereto agree, by the
execution hereof, that they are bound to the mutual obligations and to the performance and
accomplishment of the tasks described herein.
WITNESSETH THAT:
WHEREAS, the American Rescue Plan went into effect on March 11, 2021, and
included funding for the HOME Investment Partnership Grant; and,
WHEREAS, the City of Port Arthur made an application for HOME Investment
Partnership Grant American Rescue Plan (HOME-ARP) Entitlement funds from the U. S.
Department of Housing and Urban Development, herein referred to as "HUD," under Title I of
the Housing and Community Development Act of 1974, as amended, Public Law 93-383; and,
WHEREAS, The City of Port Arthur has been awarded ONE MILLION FOUR
HUNDRED FIFTY-THREE AND 00/100 Dollars ($1,000,453) in HOME-ARP Entitlement funds;
and,
WHEREAS, the City of Port Arthur is undertaking certain activities to develop a
viable community by providing decent housing, a suitable living environment, and expanding
economic opportunities principally for HOME-ARP Qualifying Populations, as described in the
HOME-ARP Program applications; and,
WHEREAS, THE Subrecipient has requested funds from the City for the benefit
of HOME-ARP Qualifying Populations; and,
WHEREAS, the City and Subrecipient desire to enter into an Agreement in
accordance with 24 Code of Federal Regulations (CFR) Part 92 and the HOME-ARP Notice,
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Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal
Awards to provide the Subrecipient a sub-award from HOME-ARP funds to carry out Project
activities in compliance with the HOME-ARP Program application; and,
WHEREAS, the Subrecipient's use and benefit of HOME-ARP funds is contingent
upon execution of funding approval Agreement by the City and HUD; and,
WHEREAS, the funding and other City administration of this agreement shall be
through the City of Port Arthur Community Development Department; and,
WHEREAS, Exhibits A, B, and C are essential to this Agreement, attached
hereto, and incorporated herein by reference.
NOW, THEREFORE, in consideration of the mutual covenants, promises, and representations
contained herein, the parties hereto agree as follows:
ARTICLE I
WHEREAS CLAUSES
The WHEREAS clauses set forth above are incorporated herein by reference and made
a part of this Agreement.
ARTICLE II
DEFINITIONS
1. The City means the City of Port Arthur.
2. The "Subrecipient" means Catholic Charities of Southeast Texas.
3. "HUD" means Department of Housing and Urban Development.
4. "HOME-ARP" means HOME Investments Partnership Program American Rescue Plan.
5. "HOME Administrator" means the Grants Manager.
6. "HOME-ARP Notice" means HUD's Notice CPD-21-10.
7. "HOME Regulations" refers to Federal regulations CFDA 14.239.
8. "AMI" means the Area Median Income for the City of Port Arthur.
9. "FMR" means the Fair Market Rent for the City of Port Arthur.
10. "City approval" means the written approval of the City of Port Arthur.
11. "Allocated Sum" refers to the total amount of the budget allocated for this project as
shown in Exhibit "A."
12. Business Day(s) shall mean Monday to Friday and do not include public holidays and
weekends.
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ARTICLE III
STATEMENT OF WORK
1. Project: Subrecipient shall utilize HOME-ARP Funds to perform the scope of
services set forth in Exhibit A of this Agreement ("Project") for the City in full and
complete accordance with this Agreement.
2. Schedule: The Subrecipient shall perform the Project in accordance with the
schedule and deadlines set for in Exhibit A. The Subrecipient shall provide case
management, housing counseling, mental health counseling, assistance to
qualifying clients to obtain federal, State, and local benefits, transportation, and
credit repair to address the supportive service needs of the HOME-ARP clients.
HOME-ARP funding will cover the cost of salaries, equipment, and operating
costs.
ARTICLE IV
BUDGETS
In consideration of the provision of services by the Subrecipient, the City is
allocating an amount of$105,018 ("Allocated Sum") towards the Project described in Article III
above. Additional requirements of the Project shall be as described in Exhibit A, attached
hereto, and incorporated by reference. The Allocated Sum is to be requested within a period of
twenty-four (24) months from the Effective Date of this Agreement.
The City and the Subrecipient may agree to revise the budget in accordance with
HOME-ARP regulations and existing City policies. Expenditures reimbursed with HOME-ARP
funds shall be limited to eligible activities as determined by the City for the Project as described
in Article III.
ARTICLE V
TERM OF AGREEMENT
1. The term of this Agreement ("Term") shall commence on the last date signed by
the Parties below ("Effective Date") and shall remain in full force and effect for two (2)
years unless earlier terminated as provided herein in Article XII.
2. Upon written request on letterhead from the SUBRECIPIENT, the Term may be
extended up to two (2) months past the expiration date upon approval from the City
Council. The letter must be dated and signed before the expiration of the Agreement
by a person with signature authorization.
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ARTICLE VI
FUNDING
Funding Delivery: The HOME-ARP funding shall be delivered to the Subrecipient or the
Subrecipient's vendor in accordance with the terms of this Agreement.
Eligible expenditures made during the Term of this Agreement shall be reimbursed
pursuant to the terms of this Agreement. Notwithstanding the foregoing, funding may be
suspended in the event Quarterly Performance Reports (Exhibit C, attached hereto) are not
timely submitted to the City.
Reimbursement by the City of the Allocated Sum to the SUBRECIPIENT shall be
submitted quarterly using the forms attached as Exhibit C, Request for HOME-ARP
Reimbursement, and Quarterly Performance Report. Payment requests must comply with the
applicable requirements of 2 CFR Part 200 and must meet the following criteria:
1. The SUBRECIPIENT shall submit to the City, through the Community Development
Department, any and all documents requested by the City verifying the request for
payment, herein "Verifying Documents." Verifying Documents may include, but are not
limited to:
a. When HOME-ARP reimbursement is sought for salaries or related benefits for
employees, individual timesheets must be kept. Benefits may only be claimed for the
portion of the salary being requested. Timesheets must identify funding sources for
the employee. HOME-ARP and other activities undertaken by the employee must be
documented on the timesheet with the date, times, and the number of hours worked.
Timesheets must differentiate between hours charged to HOME-ARP and hours not
charged to HOME-ARP and must document the specific HOME-ARP-related activity
worked on and the date and the number of hours worked. Timesheets must be
signed by the employee and an individual with signatory authority pursuant to the
governing documents of the Subrecipient (i.e., corporate bylaws or resolution), and
all applicable canceled checks (front and Back) or a bank statement, if the canceled
checks are not legible, are required. Include the employee's name and the eligible
gross wages and benefits being requested for reimbursement for each employee. If
health or other benefits are being reimbursed, proof of those items must be included
in the invoice.
b. When reimbursement is sought for services or materials, a copy of the applicable
invoice or receipt for materials or services for each eligible expense. Invoices must
include a description of the materials or services purchased. A cost is eligible for the
HOME-ARP Program only if the cost is necessary to the overall completion of the
Project. If there is a disagreement between the Parties regarding whether an item
was necessary to the overall completion, the final decision shall be made by the City.
Documentation of eligible costs shall include a copy of the front and back of the
canceled check, bank statement, or credit card statement used in payment,
reconciled to the applicable expense.
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c. When direct payment to the vendor is sought for services or materials, a copy of
the applicable invoice or sales contract for each eligible expense is required.
2. The City shall, in its sole discretion, determine if the Verifying Documents or any
portion of them are acceptable and in strict compliance with the purpose and laws stated
herein and approve them for payment. If the City determines there are any errors in the
Verifying Documents, the City shall notify the Subrecipient. The Subrecipient shall
submit corrected Verifying Documents within ten (10) working days of receipt of the
notice. Payment shall not be made for any Verifying Documents that contain errors, as
determined by the City.
3. Upon determination by the City that Verifying Documents are approved, the City will
initiate the payment process. The City reserves the right to delay any payment request
for Verifying Documents containing errors until such errors are corrected to the
satisfaction of the City.
4. If any costs are disallowed up to five (5) years after the expiration of this Agreement or
until HUD closes out the Project, whichever occurs later, and the City is forced to
reimburse the HOME-ARP Program or HUD, then the Subrecipient shall reimburse the
City for the said costs.
5. Within ten (10) days after Project completion, the Subrecipient shall submit the final
request for payment for all eligible expenditures not previously invoiced. The City shall
not be responsible for payments of any charges, claims, or demands of the Subrecipient
not received within the said ten (10) day period; however, such time may be extended at
the City's discretion not to exceed a period of thirty (30) days, provided the delay in its
submission is not caused by any fault or negligence of the Subrecipient.
ARTICLE VII
NOTICES
Unless and to the extent otherwise provided in this Agreement, all notices, demands,
requests for approvals, and other communications which are required to be given by either
party to the other shall be in writing and shall be deemed given and delivered on the date
delivered in person to the authorized representative of the recipient provided below, upon the
expiration of five (5) days following the date mailed by Registered or Certified Mail, Postage
Prepaid, Return Receipt Requested to the authorized representative of the recipient at the
address provided below, or upon the date delivered by overnight courier (signature required) to
the authorized representative of the recipient at the address provided below.
Mary E. Essex
444 4th Street
Port Arthur, Texas 77640
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ARTICLE VIII
GENERAL COMPLIANCE
The Subrecipient agrees to comply with all applicable Federal, State, and local laws and
regulations which govern the funds provided under this Agreement.
ARTICLE IX
PUBLIC RECORDS
The Subrecipient agrees to comply with all applicable Federal, State, and local laws and
regulations which govern the funds provided under this agreement.
ARTICLE X
RETENTION AND ACCESSIBILITY OF RECORDS
A. The Subrecipient must establish and maintain sufficient records, as determined by City, to
account for the expenditure and use of HOME-ARP funds.
B. Subreccipient shall give the City, the Comptroller General of the United States, or any of their
duly authorized representatives access to and the right to examine all books, accounts, records,
reports, files, and other papers, things or property belonging to or in use by Subrecipient pertaining
to this contract. Such rights to access shall continue as long as the records are retained by
Subrecipient. The Subrecipient agrees to maintain such records in an accessible location.
C. All records pertinent to this contract shall be retained by Subrecipient for five (5) years following
the date of termination of this contract or submission of the final close-out report, whichever is
later, with the following exceptions:
1. If any litigation, claim, or audit is started before the expiration of the five (5) year period and
extends beyond the five (5)year period, the records will be maintained until all litigation, claims, or
audit findings involving the records have been resolved.
2. Records relating to real property acquisition or long-term lease shall be retained for a period
equal to the useful life of any repairs made with HOME-ARP funds.
ARTICLE XI
INDEPENDENT CONTRACTOR
Nothing contained in this Agreement is intended to or shall be construed in any manner
as creating or establishing the relationship of employer/employee between the parties. The
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Subrecipient shall at all times remain an independent contractor with respect to the services to
be performed under this Agreement. The City shall be exempt from payment of all
unemployment compensation, FICA, retirement, life and/or medical insurance, and workers'
compensation insurance.
ARTICLE XII
AMENDMENTS
Except as otherwise provided for herein, this Agreement may not be modified, amended,
or extended orally. This Agreement may be amended only by a written instrument executed by
the governing bodies of both parties. The City and the SUBRECIPIENT may amend this
Agreement at any time provided that such amendments make specific reference to this
Agreement and are executed in writing and approved by the governing bodies of each party.
The City may, at its discretion, amend this Agreement to conform with Federal, State, or local
governmental guidelines, policies, or available funding amounts or for other reasons. If such
amendments result in a change in the funding, the scope of services, or the schedule of
activities to be undertaken as part of this Agreement, such modifications will be incorporated
only by written amendments signed by authorized representatives from both the City and the
Subrecipient.
ARTICLE XIII
SUSPENSION AND TERMINATION
1. Termination:
a. Either party may terminate this Agreement without cause at any time by giving at
least a thirty (30) day written notice to the other party of such termination. The
City may terminate this Agreement with a cause immediately upon written notice
to the Subrecipient. Cause shall include, but is not limited to, SUBRECIPIENT's
failure to strictly comply with 24 CFR § 92.505, all applicable Federal, State, and
local laws, rules, and regulations, default on any of the terms and conditions of
this Agreement, or any substandard performance by the SUBRECIPIENT as
defined herein. Substandard performance shall be any performance indicated by
Verifying Documents but not reflected in the actual performance of the Project. In
the event of substandard performance, the CITY shall notify the SUBRECIPIENT
in writing of such substandard performance. The SUBRECIPIENT shall take
corrective action within a reasonable time, but in no event later than forty-five (45)
days from receipt of the notice from the City.
b. In the event of any termination, all finished, or unfinished documents, data,
studies, surveys, maps, models, photographs, reports, or other materials
prepared by the Subrecipient under this Agreement shall, at the option of the City,
become the property of the City, and the Subrecipient shall be entitled to receive
just and equitable compensation for any satisfactory work completed on such
documents or materials prior to the termination.
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c. In the event of termination, the City shall not make payment for any additional
costs incurred after the effective date of termination. All work completed prior to
the effective date of the termination may be reimbursed pursuant to the terms of
the Agreement, provided that all required documents are submitted to the City
within thirty (30) days of the date of termination.
d.
2. Suspension: In lieu of termination upon a finding of cause, as defined in this
article, the City may suspend this Agreement and withhold any payment of the
Allocated Sum until such time as the Subrecipient is found to be in compliance by
the City.
ARTICLE XIV
DOCUMENTATION/RECORD KEEPING/ADMINISTRATIVE REQUIREMENTS
1. Maintenance of Records:
a. The Subrecipient shall maintain all records required by Federal
regulations specified in 2 CFR Part 200 that are pertinent to the
Project herein funded by the Allocated Sum. Such records shall
include, but are not limited to:
(1) Application requesting Project funding.
(2) Executed Subrecipient Agreement approving the
Project, including any amendments to the Agreement.
(3) Records providing a full description of each activity
undertaken.
(4) Records demonstrating eligibility of work performed to
be paid by the Allocated Sum.
(5) Records documenting the acquisition, improvement,
use, or disposition of real property acquired or
improved with the Allocated Sum, if applicable.
(6) Records documenting compliance with the Fair
Housing and Equal Opportunity components of the
HOME Program, if applicable.
(7) Financial records as required by 24 CFR § 92.505, 2
CFR Part 200, and all Financial Management
standards as specified in this agreement.
(8) Copy of Request for HOME-ARP Reimbursement and
Quarterly Performance Reports submitted as required
herein.
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b. The Subrecipient shall maintain client data demonstrating client
eligibility for services provided. Such data shall include, but not be
limited to, the client's name, address, race or ethnic group, age,
income level, head of household status (gender and marital status),
Social Security number, number of bedrooms, tenant contribution,
monthly gross rent, percentage of median, size of household, type
of contract, status, contract end date, any other basis for
determining eligibility, amounts of rent and security deposit
subsidies provided and calculations of the eligible amounts, actions
undertaken to comply with equal opportunity and fair housing
requirement, and any other applicable data the City may direct from
time to time. Such information shall be made available to the City
for review upon request.
c. Subrecipient will create, maintain, and allow inspection of records
demonstrating the income of all clients served, using the annual
income definition adopted by the City, in accordance with 24 CFR §
5.609(b)(9) (Section 8 definition of household income).
d. Subrecipient will create, maintain, and allow inspection of records
demonstrating all clients served are eligible for HOME-ARP
assistance based on the requirements of the ARP and Section IV of
the HOME-ARP Notice. All clients served must meet the criteria of
the Qualifying Populations in the Section IV.A(1), (2), (3), and (4):
(1) Homeless, as defined in 24 CFR 91.5;
(2) At-risk of homelessness, as defined in 24 CFR 91.5;
(3) Fleeing, or attempting to flee, domestic violence, dating
violence, sexual assault, stalking, or human trafficking as defined by
HUD in 24 CFR 5.2003;
(4) Other populations where providing supportive services or
assistance under section 212(a) of NAHA (42 U.S.C. 12742(a))
would prevent the family's homelessness or would serve those with
the greatest risk of instability as defined in Section IV.A. (4) (1) and
(2) of the HOME-ARP Notice
e. Subrecipient will create, maintain, and allow inspection of records
demonstrating compliance with the conflict of interest requirement of 24
CFR § 92.356.
f. Subrecipient shall create, maintain, and allow inspection of records
demonstrating compliance with debarment and suspension
requirements in 2 CFR part 2424.
g. Subrecipient will create, maintain, and allow inspection of records
demonstrating compliance with affirmative marketing and minority
outreach requirements of 24 CFR § 92.351.
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h. Subrecipient will create, maintain, and allow inspection of records
demonstrating compliance with the applicable uniform administrative
requirements required by Section VIII.D. of the HOME-ARP Notice.
i. Subrecipient will create, maintain, and allow inspection of records
demonstrating compliance with records of emergency transfers
requested under 24 CFR 5.2005 and 24 CFR 92.359 pertaining to
victims of domestic violence, dating violence, sexual assault, or
stalking, including data on the outcomes of those requests.
j. Subrecipient will create, maintain, and allow inspection of records
demonstrating compliance with all other requirements of this
Agreement.
k. Skubrecipient will create, maintain, and allow inspection of records
demonstrating that each household qualifying as homeless, records
that meet the requirements in 24 CFR 576.500(b)(1), (2), (3), or (4), as
applicable.
1. Subrecipient will create, maintain, and allow inspection of records
demonstrating that each household qualifying as "at risk of homelessness"
records that meet the requirements in 24 CFR 576.500 ( c )(1) or (2), as
applicable, and include the following documentation of annual income:
(1) Income evaluation form containing the minimum requirements
specified by HUD and completed by the Subrecipient; and
(2) Source documents for the assets held by the household and
income received over the most recent period for which representative data
is available before the date of the evaluation (e.g., wage statement,
unemployment compensation statement, public benefits statement, bank
statement);
(3) To the extent that the source documents are unobtainable, a
written statement by the relevant third party (e.g., employer, government
benefits administrator) or the written certification by the Subrecipient's
intake staff of the oral verification by the relevant third party of the income
the household received over the most recent period for which
representative data is available; or
(4) To the extent that the source documents and third-party
verification are unobtainable, the written certification by the household of
the amount of income the household received for the most recent period
representative of the income that the household is reasonably expected to
receive over the 3-month period following the evaluation.
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2. Retention of Records: The Subrecipient shall retain all records pertinent to
expenditures incurred under this Agreement for a period of five (5) years
after the termination of all activities funded under this Agreement or after
the resolution of all Federal audit findings, whichever occurs later. Records
for nonexpendable property acquired with funds under this Agreement
shall be retained for five (5) years after the final disposition of such
property. Records for any displaced person must be kept for five (5) years
after he/she has received the final payment.
3. Access to Records: The City and the Comptroller General of the United
States or any of their authorized representatives shall have the right of
access to any pertinent books, documents, papers, or other records of
grantees and subgrantees which are pertinent to the grant in order to make
audits, examinations, excerpts, and transcripts. The right of access shall
last as long as any record is required to be retained. The Subrecipient, its
employees, or agents shall provide access during the Term to all related
records and documents for accounts placed with the Subrecipient by the
City at reasonable times to the City, its employees, or agents.
"Reasonable" shall be construed according to the circumstances but
ordinarily shall mean during normal business hours of 8:00 a.m. to 5:00
p.m. Central Standard Time, Monday through Friday. "Agents" shall
include, but not limited to, auditors retained by the City.
ARTICLE XV
RECORD-KEEPING DISPLACEMENT, RELOCATION, AND REAL PROPERTY
ACQUISITION
Subrecipienet shall create, maintain, and allow inspection of records demonstrating compliance
with the requirements of 24 CFR 92.353 and the provisions of Section VII.F. of the HOME-ARP
Notice regarding displacement, relocation, and real property acquisition, including but not
limited to:
1. Project occupancy lists identifying the name and address of all persons occupying the real
property on the date described in 24 CFR 92.353(c)(2)(i)(A) and occupying the property upon
completion of the project;
2. Lists of all individuals or families occupying hotels and motels and other nonresidential
properties acquired, rehabilitated, and/or demolished and newly constructed to become HOME-
ARP NCS or HOME-ARP rental housing that qualify for assistance under the HOME-ARP
Notices as members of a qualifying population, as well as records indicating whether such
persons were assisted by the HOME-ARP program by the participating jurisdiction following the
closure of the nonresidential properties because of the HOME-ARP activities
3. Lists of all individuals or families occupying HOME-ARP NCS that were converted during the
required use period that qualify for assistance under the HOME-ARP Notice, as well as records
indicating whether moving costs or advisory services were provided as part of HOME-ARP
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administrative costs or under the HOME-ARP supportive services activity in Section VI.D of the
HOME-ARP Notice, and records indicating whether such persons were assisted by the HOME-
ARP program by the participating jurisdiction following the conversion of the HOME-ARP NCS
units.
ARTICLE XVI
HOME-ARP SUPPORTIVE SERVICES REQUIREMENTS AND PROVISIONS
Subrecipient shall disburse the Allocated Sum through a HOME-ARP Supportive Services
program that Subrecipient shall design and administer in accordance with this Article and in
compliance with all requirements under Section VI.D of the HOME-ARP Notice, all other
applicable provisions of the federal regulations, and any other laws.
1. Subrecipient shall provide supportive services, as defined in Section VI.D(3)(a) and
(b), set forth below:
a. McKinney-Vento Supportive Services under HOME-ARP are adapted from the
services listed in section 401(29) of the McKinney-Vento Act.
b. HOME-ARP Homeless Prevention Services provided must be included in the list
of eligible supportive services as outlined in Section VI.D(4)(c)(i) in the HOME-ARP
Notice
2. Each household selected to receive assistance must consent in writing for his or her
files to be inspected, copied, and audited by the City, HUD, or any of their agents or
employees and must waive any confidentiality requirements that may otherwise be
breached as a direct or indirect result of any such inspection, copying, or audit.
ARTICLE XVII
AUDITS/MONITORING
1. In the event that the Subrecipient expends Seven-Hundred-Fifty-Thousand and
00/100 Dollars ($750,000.00) or more in Federal awards in its fiscal year, the Subrecipient
must have a single or program-specific audit conducted in accordance with the provisions of
Title 2 Code of Federal Regulations (CFR) Part 200, as revised. In determining the Federal
awards expended in its fiscal year, the Subrecipient shall consider all sources of Federal
awards, including Federal resources received from the City. The determination of amounts of
Federal awards expended should be in accordance with the guidelines established by Title 2
CFR Part 200, as revised. An audit of the Subrecipient conducted by the Auditor General in
accordance with the provision 2 CFR Part 200, as revised, will meet the requirements of this
part.
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2. In connection with the audit requirements addressed in Paragraph 1 above, the
Subrecipient shall fulfill the requirements relative to audit responsibilities as provided in 2 CFR
Part 200, as revised.
3. If the SUBRECIPIENT expends less than Seven-Hundred-Fifty-Thousand and 00/100
Dollars ($750,000.00) in Federal awards in its fiscal year, an audit conducted in accordance
with the provisions of 2 CFR Part 200, as revised, is not required. In the event that the
Subrecipient expends less than Seven-Hundred-Fifty-Thousand and 00/100 Dollars
($750,000.00) in Federal awards in its fiscal year and elects to have an audit conducted in
accordance with the provisions of 2 CFR Part 200, as revised, the cost of the audit must be
paid from non-Federal resources.
4. In addition to reviews of audits conducted in accordance with 2 CFR Part 200, as
revised, monitoring procedures may include, but not be limited to, on-site visits by the City
and/or HUD; limited-scope audits as defined by 2 CFR Part 200, as revised; submittal and
review of financial statements; and/or other procedures. By entering into this Agreement, the
Subrecipient agrees to comply and cooperate with any monitoring procedures/processes
deemed appropriate by the City and/or HUD. In the event the City and/or HUD determines that
a limited-scope audit of the Subrecipient is appropriate, the Subrecipient agrees to comply with
any additional instructions provided by the City and/or HUD to the Subrecipient regarding such
audit. The Subrecipient further agrees to comply and cooperate with any inspections, reviews,
investigations, or audits deemed necessary by the Chief Financial Officer or Auditor General.
5. Inspector General: In those instances where state funding is involved, the
Subrecipient and its subcontractors must agree to cooperate with the inspector general in any
investigation, audit, inspection, review, or hearing. By entering into this Agreement, the
Subrecipient certifies it understands and will comply with this provision.
6. If the Subrecipient is not subject to the audit requirements found at 2 CFR Part 200,
Subpart F, a financial report in accordance with FAS Statement No. 117, Financial Statement
of Not-for-Profit Organizations, as amended, shall be submitted to the City within thirty (30)
days after the end of its fiscal year.
7. Monitoring provides information for making an informed judgment about program
effectiveness and management efficiency, as well as identifying internal weaknesses that may
contribute to fraud or abuse. The monitoring procedures established for the Subrecipient may
include, but are not limited to, on-site visits by the City or HUD; limited-scope audits as defined
by 2 CFR Part 200, as revised; submittal and review of financial management statements as
defined by FAS Statement No. 117, performance reports; and other procedures as determined
necessary.
8. By entering into this Agreement, the Subrecipient agrees to comply and cooperate
with any monitoring procedures/processes deemed appropriate by the City and/or HUD. In the
event the City or HUD determines that more than a limited-scope audit of the Subrecipient is
appropriate, the Subrecipient agrees to comply with any additional instructions provided by the
City or HUD to the Subrecipient regarding such audit. The Subrecipient further agrees to
comply and cooperate with any inspections, reviews, investigations, or audits deemed
necessary by the City, Chief Financial Officer, or Auditor General. 9. A copy of the audit or
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financial management report must be provided to the Community Development Department
within thirty (30) days after receipt by the Subrecipient.
ARTICLE XVIII
PERFORMANCE, SUBCONTRACTS, AND AMENDMENTS
1. Performance Monitoring: The City shall monitor the performance of the Subrecipient
against goals, performance standards, and requirements herein. Substandard performance, as
determined by the City, in its sole and absolute discretion, shall constitute noncompliance of
this Agreement. If such substandard performance is not corrected by the Subrecipient within a
reasonable time period, as determined by the City, after being notified by the City of it, in
accordance with Article XIII, contract suspension or termination procedures may be initiated
and enforced in accordance with regulations set forth in 2 CFR Part 200, Subpart D, and Article
XIII herein. In no case shall a reasonable period of time to begin the correction of substandard
performance be shorter than seven (7) days or longer than ninety (90) days unless otherwise
provided herein. Notwithstanding the foregoing, the City hereby agrees that any cure of any
default made or tendered by the Subrecipient's investor limited partner (or their affiliates, or
their successors or assigns) shall be deemed to be a cure by the Subrecipient and shall be
accepted or rejected on the same basis as if made or tendered by Subrecipient.
2. Reporting requirements: The Subrecipient will inform the monitoring agent secured by
HUD that the City must receive a copy of all documents relating to the monitoring and
compliance of the Project.
3. Laws: The Subrecipeint shall not enter into any contracts or subcontracts in the
performance of this Agreement without the written consent of the City. All contracts or
subcontracts made by the Subrecipient to carry out the Project shall be made in accordance
with all applicable Federal, State, and local laws, rules, and regulations stipulated in this
Agreement and in strict accordance with all terms, covenants, and conditions in this
Agreement. Any worker's services contracted hereunder shall be specified by written contract
or agreement and shall be subject to each article set forth in this Agreement.
4. Subcontract Monitoring: The Subrecipient shall monitor all subcontracted services on
a regular basis to assure contract compliance. Results of monitoring efforts shall be
summarized in written reports and supported with documented evidence of follow-up actions
taken to correct areas of noncompliance. Such summaries and documents shall be submitted
to the City with each Request for HOME Reimbursement and Quarterly Performance Report to
be reported to HUD.
5. Prior City Approvals: The following includes, but is not limited to, activities that require
the prior written approval of the City to be eligible for payments:
a. All requests for proposals/qualifications, bid packages, proposed advertisements, and
procurement documentation for services prior to award.
b. The initiation of new activities not covered by this Agreement or changes in the
location or the deletion of any activity/activities.
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c. Any service(s) or activity/activities other than those described in Article III above.
d. Any proposed revisions to this Agreement.
e. Requests to utilize remaining funds should there be a surplus after work is
substantially completed. Requests must be made in writing and signed by an individual with
signatory authority.
ARTICLE XIX
AWARD DELIVERY
HOME-ARP Funds will be awarded as a grant pursuant to the terms of the Agreement
Subrecipient shall be required to enter into a Land Use Restrictive Agreement (LURA) for a
period of 15 years, and such agreement shall be recorded in the Public Records the City The
Allocated Sum shall be secured by a twenty (20) years deferred mortgage and promissory note
on the real property on which the Project is located.
ARTICLE XX
REPAYMENT OF LOAN
1. All HOME-ARP funds are subject to repayment in the event the Project does not meet
the requirements as outlined in this Agreement.
2. It is understood that upon the completion of the Project, any HOME-ARP funds
reserved but not expended under this Agreement will revert to the CITY.
3. Funds will remain a deferred loan for the period of twenty (20) years, at which time the
loan may be forgiven or extended in the sole discretion of the City for another term. Sale of the
property to another party may occur only with the approval of the City, and the purchaser shall
assume all obligations of the Subrecipient under this Agreement, the note and mortgage, and
the deed covenants. Provisions in those documents will provide for the extinguishment of the
requirements only in the event of a third-party foreclosure or deed in lieu of foreclosure.
ARTICLE XXI
CONTRACT LIABILITY
The City shall not be liable to any person, firm, or corporation who contracts with, or provides
goods or services to, the Subrecipient in connection with the services as agreed to perform
hereunder or for debts or claims accruing to such parties against the Subrecipient; and there is
no contractual relationship either expressed or implied between the City and any other person,
firm, or corporation supplying any work, labor, services, goods, or materials to the Subrecipient
as a result of the Subrecipient's services to the City hereunder.
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ARTICLE XXII
PROGRAM INCOME
The Subrecipient shall record the receipt and expenditure of Program Income, as defined in 24
CFR § 92.503(a) ("Program Income"), as part of the financial transactions of the grant-funded
Project. The use of Program Income by the Subrecipient shall comply with the requirements set
forth in 24 CFR § 92.503. The Subrecipient may use Program Income during the Term of this
Agreement for activities permitted under this Agreement and shall reduce requests for
additional funds by the amount of any such Program Income on hand. The Subrecipient shall
submit a detailed accounting of the receipt and use of Program Income as indicated in Exhibit
C, attached hereto and incorporated herein, in conjunction with the quarterly reporting that is
required. All unused Program Income with interest shall be returned to the City at the end of the
Term. The City shall return these monies to HUD.
ARTICLE XXIII
REVERSION OF ASSETS
Upon expiration or termination of this Agreement, the Subrecipient shall transfer to the City any
Allocated Sum that has not been specifically allocated for the Project pursuant to this
Agreement, as specified in 24 CFR § 92.504(c)(2)(vii).
ARTICLE XXIV
INDEMNIFICATION
The Subrecipient shall defend, hold harmless, and indemnify the City and all of its officers,
agents, and employees, whether current or former, from and against any and all actions,
claims, liabilities, losses, damages, costs, attorney's fees, charges, or expenses of whatever
kind or nature which the City may sustain, suffer, incur, or be required to pay by reason of the
loss of any monies paid to the Subrecipient resulting out of fraud, defalcation, dishonesty, or
failure of the Subrecipient to comply with the Housing and Community Development Act of
1974 and its regulations; or arising out of any act, action, neglect, or omission during the
performance of this Agreement, any part thereof, or work performed hereunder, whether direct
or indirect; or by reason or result of injury caused by the Subrecipient's or subcontractor's willful
or negligent maintenance or supervision of the property or work performed; or by reason of a
judgment over and above the limits provided by the insurance required under Article XXV of
this Agreement; or by any defect in the condition or construction of the Project if the Project
was inspected and accepted by the Subrecipient; whether or not due to, or caused by
negligence of the City or any of its agents and employees. Only a final adjudication judgment
finding the City solely negligent shall excuse the performance of this provision by the
Subrecipient. The Subrecipient shall pay all costs and fees related to this obligation and its
enforcement by the City. This Article XXIV shall survive any termination, cancellation, or
expiration of this Agreement.
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ARTICLE XXV
INSURANCE
1. The Subrecipient shall procure and maintain, for the duration of this Agreement,
insurance against claims for injuries to persons or damages to property which may arise from
or in connection with the Subrecipient's operation and use of any real property and any
building, shelter, or similar structures thereon (hereinafter referred to as "Premises"). The cost
of such insurance shall be borne by the Subrecipient.
2. The Subrceipient shall not enter or occupy the Premises until it has obtained all
insurance required herein and such insurance has been approved by the City as provided
herein.
3. The Subrecipient shall furnish certificate(s) of insurance on the form required by the
City to the City. The certificate(s) shall clearly indicate the Subrecipient has obtained insurance
of the type, amount, and classification required for strict compliance with this Agreement and
that no reduction in coverage or in limits, suspension, or cancellation of the insurance shall be
effective without thirty (30) days prior written notice as provided below. The certificate(s) shall
be signed by a person authorized by that insurer to bind coverage on its behalf. The City
reserves the right to require complete, certified copies of all required policies at any time. Each
insurance policy required by this Agreement shall be endorsed to state that coverage shall not
be suspended, voided, canceled, reduced in coverage or in limits, except after thirty (30) days
prior written notice by Certified Mail, Return Receipt Requested, has been given to the City to
the attention of the Pasco City Community Development Director. In the event the insurance
coverage expires prior to the termination or end of this Agreement, a renewal certificate shall
be issued thirty (30) days prior to the expiration date. Compliance with the foregoing
requirements shall not relieve the Subrecipient of the liability and obligations under this
Agreement. Neither approval by the City or a failure to disapprove insurance certificates or
policies furnished by the Subrecipient shall release the Subrecipient of full responsibility for all
liability or its obligations under this Agreement.
4. All insurance policies shall be issued by responsible companies authorized to do
business under the laws of the State of Texas, have an "A" policyholders' rating, have a
financial rating of at least Class VIII in accordance with the most current Best's Key Rating
Guide, and shall be satisfactory to the City. All policies of insurance required by this Agreement
shall be primary insurance with respect to the City, its officials, agents, and employees. Any
insurance or self-insurance maintained by the City, its officials, agents, or employees shall be
in excess of the Subrecipient's insurance and shall not contribute to it. All policies of insurance
required by this Agreement, except workers' compensation, shall specifically provide that the
City shall be an "additional insured" under the policy and shall contain a Severability of
Interests provision. All insurance policies required herein and all provisions hereof shall apply
to all operations, activities, or use by the Subrecipient or by anyone employed by or contracting
with the Subrecipient, and it is the Subrecipient's responsibility to ensure that any contractor,
subcontractor, or anyone directly or indirectly employed by any of them complies with those
insurance provisions and that the City is an "additional insured" on such policies. Any
deductibles or self-insured retentions must be declared to and approved by the City and are the
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responsibility of the Subrecipient. The minimum types and limits of coverage to be carried by
the Subrecipient shall be as follows:
a. Workers' Compensation and Employer's Liability:
If the Subrecipient falls under the State of Texas Workers' Compensation law, the Subrecipient
shall provide coverage for all employees. The coverage shall be for the statutory limits in
compliance with the applicable State and Federal laws. The policy must include employer's
liability with a limit of One Hundred Thousand and 00/100 Dollars ($100,000.00) for each
accident. The insurer shall agree to waive all rights of subrogation against the City, its officials,
agents, and employees.
b. Comprehensive General Liability:
Shall include premises and/or operations, broad form property damage, independent
contractor, contractual liability, and fire legal liability, and shall be written on an "occurrence
basis." In the event Subrecipient is only able to secure coverage on a "claims-made basis," the
Subrecipient shall be obligated, by virtue of this Agreement, to maintain tail coverage in effect
with no less limits of liability, nor any more restrictive terms and/or conditions, for a period of
three (3) years from expiration or termination of this Agreement.
c. Bodily injury and personal injury, including death:
• $1,000,000.00 each person;
• $2,000,000.00 aggregate;
• $1,000,000.00 each occurrence;
• $2,000,000.00 aggregate.
ARTICLE XXVI
NONASSIGNABILITY
The Subrecipient may not assign this Agreement without the prior written consent of the City.
ARTICLE XXVII
HEADINGS
All articles and descriptive headings of paragraphs in this Agreement are inserted for
convenience only and shall not affect the construction or interpretation hereof.
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ARTICLE XXVIII
CONTRACT EXECUTION
This Agreement may be executed in whole or in part, and each fully executed part shall be
deemed an original instrument.
ARTICLE XXVIX
COMPLIANCE
The Subrecipient agrees to comply with any City or State civil rights ordinances; Title XI of the
Civil Rights Act of 1964, as amended; Title XIII of the Civil Rights Act of 1968, as amended;
Section 109 of Title I of the Housing and Community Development Act of 1974; the Americans
with Disabilities Act of 1990; the Age Discrimination Act of 1975; and Executive Orders 11063
and 11246, as amended by Executive Orders 11375 and 12086.
ARTICLE XXX
UNIFORM ADMINISTRATIVE REQUIREMENTS
The Subrecipient shall comply with 24 CFR § 92.505, and adhere to accounting principles and
procedures required therein, utilize adequate internal controls, and maintain necessary source
documentation for all costs incurred. The Subrecipient shall administer the Project in
conformance with Section VIII.D. of the HOME-ARP Notice, as amended.
ARTICLE XXXI
NONDISCRIMINATION
The Subrecipient will not discriminate against any employee or applicant for employment
because of race, color, creed, religion, ancestry, national origin, sex, disability, other
handicaps, age, marital status, or status with regard to public assistance. To the extent
Subrecipient has employees, the Subrecipient will take affirmative action to ensure that all
employment practices prohibit such discrimination. Such employment practices include but are
not limited to, the following: hiring, upgrading, demotion, transfer, recruitment or recruitment
advertising, lay-off, termination, rates of pay or other forms of compensation, and selection for
training, including apprenticeship. The Subrecipient agrees to post in conspicuous places,
available to employees and applicants for employment, notices setting forth the provisions of
this nondiscrimination clause.
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ARTICLE XXXII
REHABILITATION ACT OF 1973, SECTION 504
The Subrecipient agrees to comply with any Federal regulations issued pursuant to compliance
with Section 504 of the Rehabilitation Act of 1973 (29 United States Code of Law (U.S.C.) §
794) which prohibits discrimination against the handicapped in any Federally assisted program.
The City shall provide the Subrecipient with any guidelines necessary for compliance with that
portion of the regulations during the term of this Agreement.
ARTICLE XXXIII
LABOR STANDARDS
The Subrecipient agrees to comply with the requirements of the Secretary of Labor in accordance
with the Davis-Bacon Act, as amended (48 CFR§ 22.403-1); the provisions of contract work hours
and the Safety Standards Act (40 USC § 3701, et seq. and 48 CFR § 22.403-1, 22.403-3); the
Copeland "Anti-Kickback"Act (48 CFR § 22.403-2; 18 U.S.C. § 874, et seq.; 40 U.S.C. § 3141, et
seq., formerly cited as 40 U.S.C. §§ 276a, 327-333); and all other applicable Federal, State, and
local laws and regulations pertaining to labor standards insofar as such acts apply to the
performance of this Agreement. The Subrecipient shall maintain documentation that demonstrates
compliance with an hour and wage requirements of this part. Such documentation shall be made
available to the CITY for review upon request.
ARTICLE XXXIV
HUD ACT OF 1968, SECTION 3
1. Compliance with the provisions of Section 3 of the HUD Act of 1968, the regulations set forth
in 24 CFR Part 75, and applicable rules and orders issued hereunder prior to the execution of
this Agreement shall be a condition of the Federal financial assistance provided under this
Agreement and is binding upon the City, the Subrecipient, and any subcontractors. Failure to
fulfill these requirements shall subject the City, the Subrecipient, and any subcontractors, their
successors, and assigns to those sanctions specified by the agreement through which Federal
assistance is provided. The Subrecipient certifies and agrees that no contractual or other
disability exists which would prevent compliance with these requirements.
2. The Subrecipient agrees to send to each labor organization or representative of workers with
whom it has a collective-bargaining agreement or contract or understanding, if any, a notice
advising the said labor, organization, or workers' representative or its commitments under the
Section 3 clause, and shall post copies of the notice in conspicuous places available to
employees and applicants for employment or training.
3. The Subrecipient will include the Section 3 clause in every subcontract and will take
appropriate action pursuant to the subcontract upon finding that the subcontractor is in violation
20Ii'
of regulations issued by the City or the Federal government. The Subrecipient will not
subcontract with any sub-contractor where it has notice or knowledge that the latter has been
found in violation of regulations under 24 CFR Part 75 and will not let any subcontract unless
the subcontractor has first provided it with a preliminary statement of ability to comply with the
requirements of these requirements.
ARTICLE XXXV
HATCH ACT
The Subrecipient agrees that no funds provided, nor personnel employed under this
Agreement, shall be in any way or any extent engaged in the conduct of political activities in
violation of 5 U.S.C. § 1501 et seq. as subsequently amended.
ARTICLE XXXVI
CONFLICT OF INTEREST
The Subrecipient covenants that it presently has no financial interest and shall not acquire
financial interest, direct or indirect, which would conflict in any manner or degree with the
performance of services required under this Agreement. The Subrecipient further covenants
that in the performance of this Agreement, no person having such a financial interest shall be
employed or retained by the Subrecipient or subcontractor hereunder, except for services
performed. These conflict of interest provisions apply to any person who is a person, agent,
consultant, officer, or elected official or appointed official of the City or of any designated public
agencies or SUBRECIPIENTS that are receiving funds under this Agreement.
ARTICLE XXXVII
RELIGIOUS ORGANIZATION
The Subrecipient agrees that funds provided under this Agreement will not be utilized for
religious activities, to promote religious interests, or for the benefit of a religious organization in
accordance with the Federal regulations specified in 24 CFR § 5.109.
ARTICLE XXXVIII
LEAD-BASED PAINT
The Subrrecipient agrees that any construction or rehabilitation of residential structures, with
assistance provided under this Agreement, shall be subject to the HUD Lead-Based Paint
Regulations at 24 CFR § 92.355. Such regulations pertain to all HUD-assisted housing and
require that all owners, prospective owners, and tenants for properties constructed prior to
1978 be properly notified that such properties may include lead-based paint. Such notification
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shall point out the hazards of lead-based paints and explain the symptoms, treatment, and
precautions that should be taken when dealing with lead-based poisoning.
ARTICLE XXXVIX
ENVIRONMENTAL CONDITIONS
1. Air and Water: Subrecipient agrees to comply with the following regulation insofar as they
apply to the performance of this Agreement: a. Clean Air Act, 42 U.S.C.§ 7401, et seq.
b. Federal Water Pollution Control Act, as amended; 33 U.S.C. § 1251, et seq., as amended;
and 33 U.S.C. § 1318, relating to inspection, monitoring, entry, reports, and information, as well
as other requirements specified in the said Sections 114 and 308 and all regulations and
guidelines issued thereunder.
c. Environmental Protection Agency Regulations pursuant to 40 CFR Part 50, et seq., as
amended.
d. National Environmental Policy Act of 1969, as amended, 42 U.S.C. § 4331, et seq.
e. HUD Environmental Review Procedures (24 CFR Part 58).
2. Flood Disaster Protection: In accordance with requirements of the Flood Disaster Protection
Act of 1973 (42 U.S.C. § 4001, et seq.), the SUBRECIPIENT shall obtain and maintain flood
insurance under the National Flood Insurance Program for any activities located in an area
identified by the Federal Emergency Management Act as having special flood zones.
ARTICLE XL
HISTORIC PRESERVATION
The Subrecipient agrees to comply with the historic preservation requirements set forth in the
National Historic Preservation Act of 1966, as amended (54 U.S.C. § 300101, et seq. (formerly
cited as 16 U.S.C. § 470)), and the procedures set forth in 36 CFR Part 800, Advisory Council
on Historic Preservation Procedures, for protection of historic properties insofar as they apply
to the performance of this Agreement. In general, this requires concurrence from the State
Historic Preservation Officer for rehabilitation and demolition
of all properties built fifty (50) years ago to assess how the activity could affect a historic
property listed in or eligible for the National Register of Historic Places.
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ARTICLE XLI
CONTINUITY OF SERVICE
1. The Subrecipient may not change the eligible use of the Units, the method of providing
service by excluding properties or persons currently covered, sell or transfer the Units except in
connection with the sale of the Project to an entity that assumes the Subrecipient obligations
under this Agreement and the mortgage and note, or vacate the Units without the CITY's
permission, until the expiration of this Agreement.
2. If the City and the Subrecipient determine, after consultation with the affected citizens, that it
is appropriate to change the use of the property to a use which does not qualify under
Paragraph 1 of this article, the Subrecipient may retain or dispose of the property for the
changed use after the City HOME is reimbursed in the amount of the Allocated Sum. During
the term of the Agreement, the Subrecipient shall give a first right of refusal to eligible nonprofit
organizations for the purchase of the Unit at the current market value so that the Unit may
continue to be occupied by eligible persons as set forth in the mortgage and note.
3. Following the reimbursement of the Allocated Sum in accordance with Paragraph 2 of this
article, the property will no longer be subject to any Program requirements.
ARTICLE XLII
NONEXPENDABLE PROPERTY
Any nonexpendable personal property acquired by the Subrecipient under this project shall be
subject to the provisions of the Housing and Community Development Act of 1974 and its
regulations, including, but not limited to, the provisions on the use and disposition of property
for a period of five (5) years after purchase.
ARTICLE XLIII
REAL PROPERTY PROTECTIONS
1. The City may have inspections of the premises performed by the City, or on its behalf, for
structural integrity and safety.
2. Other than as provided in Exhibit A, the Subrecipient shall not mortgage or otherwise
encumber title to the said real property by utilizing the said real property as collateral for any
type of lien, note, mortgage, debt obligation, or security agreement without prior written
notification to the HOME Administrator.
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ARTICLE XLIV
MAINTENANCE OF PREMISES
The Subrecipient is required to maintain the real property and structures located thereon in a
condition that meets all current housing, safety, and health standards as required by all
applicable federal, state, and local laws, rules, and regulations.
ARTICLE XLV
MISCELLANEOUS
1. Entire Agreement: This Agreement represents the entire agreement between the parties
and supersedes any and all prior agreements, negotiations, or understandings, written or
oral, relating to the matters set forth herein. Prior agreements, negotiations, or
understandings, if any, shall have no force or affect whatsoever on this Agreement. All
parties hereto agree that if any part, term, or covenant of this Agreement is held to be
illegal, unenforceable, or in conflict with any applicable Federal, State, or local laws or
regulations, such part shall be severable, with the remainder of this Agreement valid and
enforceable.
2. Sovereign Immunity: Nothing in this Agreement shall be construed in any way to waive
the sovereign immunity of the City.
3. Applicable Law: This Agreement, when not governed by Federal law, shall be governed
by and interpreted in accordance with the laws of the State of Texas.
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APPROVED IN FORM:
Val Tizeno
City Attorney
CITY OF PORT ARTHUR
Ron Burton
City Manager
ATTEST:
Sherri Bellard
City Secretary
CATHOLIC CHARITIES OF
SOUTHEAST TEXAS
Carolyn Fernandez
President/CEO
Date
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EXHIBIT A
Performance Statement
Catholic Charities of Southeast Texas
Subrecipient shall carry out the following HOME-ARP activities:
The Subrecipient shall provide case management, housing search, and counseling,
mental health counseling, assistance to qualifying clients to obtain federal, State, and
local benefits, transportation, and credit repair to address the supportive service needs
of the HOME-ARP program participant. HOME-ARP funding will cover the cost of
salaries, transportation, and food for program participants.
The Subrecipient will use its facility at 3959 Gulfway Drive in Port Arthur, Texas, to serve the HOME-
ARP clients.
Timesheets must identify all funding sources for the employees. HOME-ARP and other activities
undertaken by the Subrecipient must be documented on the timesheets with the date,times, and the
number of hours worked and a brief description of what activity/task performed. Timesheets must be
submitted and signed by both employee and supervisor. Timesheets must differentiate between hours
charged to HOME-ARP and hours not charged to HOME-ARP and must document the specific HOME-
ARP-related activity worked on, not just the number of hours worked.
Travel—HOME-ARP will reimburse Catholic Charities at the rate of $0.655 per mile to transport Port
Arthur residents for any needed services. Catholic Charities must document the name of the client
served,the beginning and ending odometer readings, and the purpose of the travel. HOME-ARP
will pay the cost of bus passes for program participants.
Complete and submit the following documentation for each client:
1. Government-issued Identification
2. Social Security Card
3. Fleeing Domestic Violence Certification, Homelesss Certification, or proof of income
4. Proof of residency in Port Arthur, Texas
5. Verification that the applicant has not received assistance or has been approved to receive
assistance through another program or provider
All receipts and copies of canceled checks must be attached to a reimbursement statement.
Subrecipient shall utilize One Hundred Five-Thousand and Eighteen and No/100 Dollars ($105,018.00)
of contract funds to complete these activities.
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EXHIBIT B
Budget
Catholic Charities of Southeast Texas
Activity Contract Other TOTAL
Funds Funds FUNDS
Salaries, $105,018.00 $50,620.00 $155,638.00
Travel, Food,
Purchase Identification Cards
TOTAL FUNDS $105,018.00 $50,620.00 $155,638.00
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EXHIBIT C
REIMBURSEMENT STATEMENT
Catholic Charities
HOME-ARP
Reporting Period
Contract Funds
Activity Amount Requested Balance
1. Salaries, Travel,
Purchase Identification Cards,
Food $105,018.00 $ $
TOTAL REQUEST $
Contract Amount $105,018.00
Total Expended: ($ )
(Current invoices + previous invoices)
Remaining Balance $
Executor Director Date
Please include copies of invoices and canceled checks. Timesheets must identify all funding sources
for the employee. HOME-ARP and other activities undertaken by the employee must be
documented on the timesheets with the date, times, and the number of hours worked and a brief
description of what activity/task related to HOME-ARP. Timesheets must be submitted and
signed by both employee and supervisor.
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2023 HOME-ARP INCOME VERIFICATION FORM
NAME:
ADDRESS:
AGE:
RACE: You may check one or more of the boxes below for the race:
Ethnicity White Black/ Asian American Native American BlacklAfrican Other
African IndianlAlaskan Hawaiian/Other Indian/ American and Multi-
American Native Pacific Islander Alaskan White Race
Native
and White
Hispanic
Non-
Hispanic
Ethnicity:check either Hispanic or Non-Hispanic
Eligible participant's total family income cannot exceed the following income limits based on family size:
Each participant must live in the City of Port Arthur,Texas.
Please check the appropriate box:
*FY 22 Household Size
Income 1 Person 2 Persons 3 Persons 4 Persons 5 Persons 6 Persons 7 Persons 8 Persons
Level
Extremely $16,350 $18,700 $21,050 $23,350 $25,250 $27,100 $29,000 $30,850
Low(30%of
AMI)
Very Low $27,300 $31,200 $35,100 $38,950 $42,100 $45,200 $48,300 $51,450
(50%of
AMI)
Low(80%of $43,650 $49,850 $56,100 $62,300 $67,300 $72,300 $77,300 $82,250
AMI
9 or more family members add$2,200 per child
HOME-ARP Qualifying Populations
1. Homeless—as defined in 24 CFR 91.5 Homeless(1), (2), (3)
2.At risk of homelessness—as defined in 24 CFR 91.5 At risk of homelessness
3. Fleeing,or attempting to flee,domestic violence,dating violence,sexual assault,stalking,or human trafficking—as
defined by
the U.S. Department of Housing and Urban Development(HUD)
4. Other Populations—those who do not qualify under the other three QP definitions but meet one of the Other Populations
criteria identified in Section IV of the HOME-ARP Notice.
Household Type (select one): Single-non-elderly; Elderly;Single Parent;Two Parents; other
I certify that the foregoing is true and accurate to the best of my knowledge:
Signature Date
Please attach a copy of each person's Social Security Card,Identification Card,
*Income source documentation(wage statement,unemployment compensation,public benefits,bank statements,etc).
29 I c
EXHIBIT D
The Applicable Laws and Regulations
Subrecipient shall comply with all federal, state, and local laws and regulations applicable to the
activities and performances rendered by Subrecipient under this contract, including,but not limited to,
the laws and regulations specified in Section I through IV of this Exhibit D.
CIVIL RIGHTS
The Fair Housing Act(42 U.S.C. 3601-20)and implementing regulations at 24 CFR part 10;
Executive Order 11063, as amended by Executive Order 11063, as amended by Executive Order
12259 (3 CFR, 1958-1963 Comp., 652 and 3 CFR, 1980 Comp.,p. 307) (Equal Opportunity in
Housing and implementing regulations at 24 CFR, Part 107; and title VI of the Civil Rights Act
of 1964 (42 U.S.C. 2000d) (Nondiscrimination on Federally Assisted Programs) and
implementing regulations issued at 24 CFR, Part 1;
Executive Order 11063, as amended by Executive Order 12259, and 24 CFR part 107,
"Nondiscrimination and Equal Opportunity in Housing under Executive order 11063 or 24
CFR, Part 107 shall be a proper basis for the imposition of sanctions specified in 24 CFR
107.60;
The prohibition against discrimination on the basis of age under the Age Discrimination Act of
1975 (42 U.S.C. 6101-07) and implementing regulations at 24 CFR, Part 146, and the
prohibitions against discrimination against handicapped individuals under Section 504 of the
Rehabilitation Act of 1973 (29 U.S.C. 794)and implementing regulations at 24 CFR, Part 8;
The requirements of Executive Orders 1246 (3 CFR 1964-65, Comp.,p. 339) (Equal
Employment Opportunity) and the implementing regulations issued at 4I CFR,
Chapter 60.
The requirements of Executive Orders 11625 and 12432 (concerning Minority Business
Enterprise), and 12138 (concerning Women's Business Enterprise). Consistent with HUD's
responsibilities under these Orders, each applicant must make efforts to encourage the use of
minority and women's business enterprises in connection with HOME funded activities. Each
Contractor must prescribe procedures acceptable to the City to establish activities to ensure the
inclusion,to the maximum extent possible, of minorities and women, and entities owned by
minorities and women. The Contractor/Subcontractor will be required to identify contracts which
have been bid by minority owned, women owned, and/or small disadvantaged businesses.
The Age Discrimination Act of 1975 (42 U.S.C., Section 6101 et seq.);
Section 504 of the Rehabilitation Act of 1973 (29 U.S.C., Section 794) and "Nondiscrimination
Based on Handicap in Federally-Assisted Programs and Activities of the Department of Housing
and Urban Development", 24 CFR, Part 8. By signing this contract, Contractor understands and
agrees that the activities funded herein shall be operated in accordance with 24 CFR, Part 8; and
30IPage
the Architectural Barriers Act of 1968 (42 U.S.C., Section 4151 et. seq.), including the use of a
telecommunications device for deaf persons (TDDs) or equally effective communication system.
II. ENVIRONMENTAL STANDARDS
Environmental Review Procedures for Title I Community Development Block Grant
Programs, 24 CFR Part 58, as amended in 47 Fed. Reg. 15750 (April 12, 1982);
24 CFR Part 51, Environmental Criteria and Standards.
31IPage
P. R. #23186
05/23/2023 M. Essex
Page 5 of 3
ATTACHMENT "C"
CITY OF PORT ARTHUR
HOME INVESTMENT PARTNERSHIP GRANT PROGRAM FOR
HOME-ARP CONTRACT FOR A
NON-PROFIT SUBRECIPIENT
STATE OF TEXAS §
CITY OF JEFFERSON §
SECTION 1. PARTIES TO THE CONTRACT
This contract and agreement are made and entered into by and between the City of Port
Arthur, Texas (hereinafter called the "City") acting herein by its Mayor and City Manager, duly
authorized by Resolution of the City Council of the City of Port Arthur and Tender Loving Care
Center for Children dba Legacy Community Development Corporation, Jefferson County,
Texas (hereinafter called "Subrecipient") acting herein by its President/CEO, duly authorized by
its Board of Directors. The parties hereto agree, by the execution hereof, that they are bound to
the mutual obligations and to the performance and accomplishment of the tasks described
herein.
WITNESSETH THAT:
WHEREAS, the American Rescue Plan went into effect on March 11, 2021, and
included funding for the HOME Investment Partnership Grant; and,
WHEREAS, the City of Port Arthur made an application for HOME Investment
Partnership Grant American Rescue Plan (HOME-ARP) Entitlement funds from the U. S.
Department of Housing and Urban Development, herein referred to as "HUD," under Title I of
the Housing and Community Development Act of 1974, as amended, Public Law 93-383; and,
WHEREAS, The City of Port Arthur has been awarded ONE MILLION FOUR
HUNDRED FIFTY-THREE AND 00/100 Dollars ($1,000,453) in HOME-ARP Entitlement funds;
and,
WHEREAS, the City of Port Arthur is undertaking certain activities to develop a
viable community by providing decent housing, a suitable living environment, and expanding
economic opportunities principally for HOME-ARP Qualifying Populations, as described in the
HOME-ARP Program applications; and,
WHEREAS, THE Subrecipient has requested funds from the City for the benefit
of HOME-ARP Qualifying Populations; and,
WHEREAS, the City and Subrecipient desire to enter into an Agreement in
accordance with 24 Code of Federal Regulations (CFR) Part 92 and the HOME-ARP Notice,
Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal
Awards to provide the Subrecipient a sub-award from HOME-ARP funds to carry out Project
activities in compliance with the HOME-ARP Program application; and,
WHEREAS, the Subrecipient's use and benefit of HOME-ARP funds is contingent
upon execution of funding approval Agreement by the City and HUD; and,
WHEREAS, the funding and other City administration of this agreement shall be
through the City of Port Arthur Community Development Department; and,
WHEREAS, Exhibits A, B, and C are essential to this Agreement, attached
hereto, and incorporated herein by reference.
NOW, THEREFORE, in consideration of the mutual covenants, promises, and representations
contained herein, the parties hereto agree as follows:
ARTICLE I
WHEREAS CLAUSES
The WHEREAS clauses set forth above are incorporated herein by reference and made
a part of this Agreement.
ARTICLE II
DEFINITIONS
1. The City means the City of Port Arthur.
2. The "Subrecipient" means Tender Loving Care Center for Children dba Legacy
Community Development Corporation.
3. "HUD" means Department of Housing and Urban Development.
4. "HOME-ARP" means HOME Investments Partnership Program American Rescue Plan.
5. "HOME Administrator" means the Grants Manager.
6. "HOME-ARP Notice" means HUD's Notice CPD-21-10.
7. "HOME Regulations" refers to Federal regulations CFDA 14.239.
8. "AMI" means the Area Median Income for the City of Port Arthur.
9. "FMR" means the Fair Market Rent for the City of Port Arthur.
10. "City approval" means the written approval of the City of Port Arthur.
11. "Allocated Sum" refers to the total amount of the budget allocated for this project as
shown in Exhibit "A."
12. Business Day(s) shall mean Monday to Friday and do not include public holidays and
weekends.
ARTICLE III
STATEMENT OF WORK
1. Project: Subrecipient shall utilize HOME-ARP Funds to perform the scope of
services set forth in Exhibit A of this Agreement ("Project") for the City in full and
complete accordance with this Agreement.
2. Schedule: The Subrecipient shall perform the Project in accordance with the
schedule and deadlines set for in Exhibit A.
ARTICLE IV
BUDGETS
In consideration of the provision of services by the Subrecipient, the City is
allocating an amount of$260,000 ("Allocated Sum") towards the Project described in Article III
above. Additional requirements of the Project shall be as described in Exhibit A, attached
hereto, and incorporated by reference. The Allocated Sum is to be requested within a period of
twenty-four (24) months from the Effective Date of this Agreement.
The City and the SUBRECIPIENT may agree to revise the budget in accordance
with HOME-ARP regulations and existing City policies. Expenditures reimbursed with HOME-
ARP funds shall be limited to eligible activities as determined by the City for the Project as
described in Article III.
ARTICLE V
TERM OF AGREEMENT
1. The term of this Agreement ("Term") shall commence on the last date signed by
the Parties below ("Effective Date") and shall remain in full force and effect for two (2)
years unless earlier terminated as provided herein in Article XIII.
2. Upon written request on letterhead from the Subrecipient, the Term may be
extended up to two (2) months past the expiration date upon approval from the City
Council. The letter must be dated and signed before the expiration of the Agreement
by a person with signature authorization.
ARTICLE VI
FUNDING
Funding Delivery: The HOME-ARP funding shall be delivered to the Subrecipient or the
Subrecipient's vendor in accordance with the terms of this Agreement.
Eligible expenditures made during the Term of this Agreement shall be reimbursed
pursuant to the terms of this Agreement. Notwithstanding the foregoing, funding may be
suspended in the event Quarterly Performance Reports (Exhibit C, attached hereto) are not
timely submitted to the City.
Reimbursement by the City of the Allocated Sum to the SUBRECIPIENT shall be
submitted quarterly using the forms attached as Exhibit C, Request for HOME-ARP
Reimbursement, and Quarterly Performance Report. Payment requests must comply with the
applicable requirements of 2 CFR Part 200 and must meet the following criteria:
1. The SUBRECIPIENT shall submit to the City, through the Community Development
Department, any and all documents requested by the City verifying the request for
payment, herein "Verifying Documents." Verifying Documents may include, but are not
limited to:
a. When HOME-ARP reimbursement is sought for salaries or related benefits for
employees, individual timesheets must be kept. Benefits may only be claimed for the
portion of the salary being requested. Timesheets must identify funding sources for
the employee. HOME-ARP and other activities undertaken by the employee must be
documented on the timesheet with the date, times, and the number of hours worked.
Timesheets must differentiate between hours charged to HOME-ARP and hours not
charged to HOME-ARP and must document the specific HOME-ARP-related activity
worked on and the date and the number of hours worked. Timesheets must be
signed by the employee and an individual with signatory authority pursuant to the
governing documents of the Subrecipient (i.e., corporate bylaws or resolution), and
all applicable canceled checks (front and Back) or a bank statement, if the canceled
checks are not legible, are required. Include the employee's name and the eligible
gross wages and benefits being requested for reimbursement for each employee. If
health or other benefits are being reimbursed, proof of those items must be included
in the invoice.
b. When reimbursement is sought for services or materials, a copy of the applicable
invoice or receipt for materials or services for each eligible expense. Invoices must
include a description of the materials or services purchased. A cost is eligible for the
HOME-ARP Program only if the cost is necessary to the overall completion of the
Project. If there is a disagreement between the Parties regarding whether an item
was necessary to the overall completion, the final decision shall be made by the City.
Documentation of eligible costs shall include a copy of the front and back of the
canceled check, bank statement, or credit card statement used in payment,
reconciled to the applicable expense.
c. When direct payment to the vendor is sought for services or materials, a copy of
the applicable invoice or sales contract for each eligible expense is required.
2. The City shall, in its sole discretion, determine if the Verifying Documents or any
portion of them are acceptable and in strict compliance with the purpose and laws stated
herein and approve them for payment. If the City determines there are any errors in the
Verifying Documents, the City shall notify the Subrecipient. The Subrecipient shall
submit corrected Verifying Documents within ten (10) working days of receipt of the
notice. Payment shall not be made for any Verifying Documents that contain errors, as
determined by the City.
3. Upon determination by the City that Verifying Documents are approved, the City will
initiate the payment process. The City reserves the right to delay any payment request
for Verifying Documents containing errors until such errors are corrected to the
satisfaction of the City.
4. If any costs are disallowed up to five (5) years after the expiration of this Agreement or
until HUD closes out the Project, whichever occurs later, and the City is forced to
reimburse the HOME-ARP Program or HUD, then the Subrecipient shall reimburse the
City for the said costs.
5. Within ten (10) days after Project completion, the SUBRECIPIENT shall submit the final
request for payment for all eligible expenditures not previously invoiced. The City shall
not be responsible for payments of any charges, claims, or demands of the Subrecipient
not received within the said ten (10) day period; however, such time may be extended at
the City's discretion not to exceed a period of thirty (30) days, provided the delay in its
submission is not caused by any fault or negligence of the Subrecipient.
ARTICLE VII
NOTICES
Unless and to the extent otherwise provided in this Agreement, all notices, demands,
requests for approvals, and other communications which are required to be given by either
party to the other shall be in writing and shall be deemed given and delivered on the date
delivered in person to the authorized representative of the recipient provided below, upon the
expiration of five (5) days following the date mailed by Registered or Certified Mail, Postage
Prepaid, Return Receipt Requested to the authorized representative of the recipient at the
address provided below, or upon the date delivered by overnight courier (signature required) to
the authorized representative of the recipient at the address provided below.
Mary E. Essex
444 4th Street
Port Arthur, Texas 77640
ARTICLE VIII
GENERAL COMPLIANCE
The Subrecipient agrees to comply with all applicable Federal, State, and local laws and
regulations which govern the funds provided under this Agreement.
ARTICLE IX
PUBLIC RECORDS
The Subrecipient agrees to comply with all applicable Federal, State, and local laws and
regulations which govern the funds provided under this agreement.
ARTICLE X
RETENTION AND ACCESSIBILITY OF RECORDS
A. The Subrecipient must establish and maintain sufficient records, as determined by City, to
account for the expenditure and use of HOME-ARP funds.
B. Subreccipient shall give the City, the Comptroller General of the United States, or any of their
duly authorized representatives access to and the right to examine all books, accounts, records,
reports, files, and other papers, things or property belonging to or in use by Subrecipient pertaining
to this contract. Such rights to access shall continue as long as the records are retained by
Subrecipient. The Subrecipient agrees to maintain such records in an accessible location.
C. All records pertinent to this contract shall be retained by Subrecipient for five (5) years following
the date of termination of this contract or submission of the final close-out report, whichever is
later, with the following exceptions:
1. If any litigation, claim, or audit is started before the expiration of the five (5) year period and
extends beyond the five (5) year period, the records will be maintained until all litigation, claims, or
audit findings involving the records have been resolved.
2. Records relating to real property acquisition or long-term lease shall be retained for a period
equal to the useful life of any repairs made with HOME-ARP funds.
ARTICLE XI
INDEPENDENT CONTRACTOR
Nothing contained in this Agreement is intended to or shall be construed in any manner,
as creating or establishing the relationship of employer/employee between the parties. The
Subrecipient shall at all times remain an independent contractor with respect to the services to
be performed under this Agreement. The City shall be exempt from payment of all
unemployment compensation, FICA, retirement, life and/or medical insurance, and workers'
compensation insurance.
ARTICLE XII
AMENDMENTS
Except as otherwise provided for herein, this Agreement may not be modified, amended,
or extended orally. This Agreement may be amended only by a written instrument executed by
the governing bodies of both parties. The City and the SUBRECIPIENT may amend this
Agreement at any time provided that such amendments make specific reference to this
Agreement and are executed in writing and approved by the governing bodies of each party.
The City may, at its discretion, amend this Agreement to conform with Federal, State, or local
governmental guidelines, policies, or available funding amounts or for other reasons. If such
amendments result in a change in the funding, the scope of services, or the schedule of
activities to be undertaken as part of this Agreement, such modifications will be incorporated
only by written amendments signed by authorized representatives from both the City and the
Subrecipient.
ARTICLE XIII
SUSPENSION AND TERMINATION
1. Termination:
a. Either party may terminate this Agreement without cause at any time by giving at
least a thirty (30) day written notice to the other party of such termination. The
City may terminate this Agreement with a cause immediately upon written notice
to the Subrecipient. Cause shall include, but is not limited to, SUBRECIPIENT's
failure to strictly comply with 24 CFR § 92.505, all applicable Federal, State, and
local laws, rules, and regulations, default on any of the terms and conditions of
this Agreement, or any substandard performance by the SUBRECIPIENT as
defined herein. Substandard performance shall be any performance indicated by
Verifying Documents but not reflected in the actual performance of the Project. In
the event of substandard performance, the CITY shall notify the SUBRECIPIENT
in writing of such substandard performance. The SUBRECIPIENT shall take
corrective action within a reasonable time, but in no event later than forty-five (45)
days from receipt of the notice from the City.
b. In the event of any termination, all finished or unfinished documents, data,
studies, surveys, maps, models, photographs, reports, or other materials
prepared by the Subrecipient under this Agreement shall, at the option of the City,
become the property of the City, and the Subrecipient shall be entitled to receive
just and equitable compensation for any satisfactory work completed on such
documents or materials prior to the termination.
c. In the event of termination, the City shall not make payment for any additional
costs incurred after the effective date of termination. All work completed prior to
the effective date of the termination may be reimbursed pursuant to the terms of
the Agreement, provided that all required documents are submitted to the City
within thirty (30) days of the date of termination.
d.
2. Suspension: In lieu of termination upon a finding of cause, as defined in this
article, the City may suspend this Agreement and withhold any payment of the
Allocated Sum until such time as the Subrecipient is found to be in compliance by
the City.
ARTICLE XIV
DOCUMENTATION/RECORD KEEPING/ADMINISTRATIVE REQUIREMENTS
1. Maintenance of Records:
a. The Subrecipient shall maintain all records required by Federal
regulations specified in 2 CFR Part 200 that are pertinent to the
Project herein funded by the Allocated Sum. Such records shall
include, but are not limited to:
(1) Application requesting Project funding.
(2) Executed Subrecipient Agreement approving the
Project, including any amendments to the Agreement.
(3) Records providing a full description of each activity
undertaken.
(4) Records demonstrating eligibility of work performed to
be paid by the Allocated Sum.
(5) Records documenting the acquisition, improvement,
use, or disposition of real property acquired or
improved with the Allocated Sum, if applicable.
(6) Records documenting compliance with the Fair
Housing and Equal Opportunity components of the
HOME Program, if applicable.
(7) Financial records as required by 24 CFR § 92.505, 2
CFR Part 200, and all Financial Management
standards as specified in Exhibit B.
(8) Copy of Request for HOME-ARP Reimbursement and
Quarterly Performance Reports submitted as required
herein.
b. The Subrecipient shall maintain client data demonstrating client
eligibility for services provided. Such data shall include, but not be
limited to, the client's name, address, race or ethnic group, age,
income level, head of household status (gender and marital status),
Social Security number, number of bedrooms, tenant contribution,
monthly gross rent, percentage of the median, size of household,
type of contract, status, contract end date, any other basis for
determining eligibility, amounts of rent and security deposit
subsidies provided and calculations of the eligible amounts, actions
undertaken to comply with equal opportunity and fair housing
requirement, and any other applicable data the City may direct from
time to time. Such information shall be made available to the City
for review upon request.
c. Subrecipient will create, maintain, and allow inspection of records
demonstrating the income of all clients served, using the annual
income definition adopted by the City, in accordance with 24 CFR §
5.609(b)(9) (Section 8 definition of household income).
d. Subrecipient will create, maintain, and allow inspection of records
demonstrating all clients served are eligible for HOME-ARP
assistance based on the requirements of the ARP and Section IV of
the HOME-ARP Notice. All clients served must meet the criteria of
the Qualifying Populations in the Section IV.A(1), (2), (3), and (4):
(1) Homeless, as defined in 24 CFR 91.5;
(2) At-risk of homelessness, as defined in 24 CFR 91.5;
(3) Fleeing, or attempting to flee, domestic violence, dating
violence, sexual assault, stalking, or human trafficking as defined by
HUD in 24 CFR 5.2003;
(4) Other populations where providing supportive services or
assistance under section 212(a) of NAHA (42 U.S.C. 12742(a))
would prevent the family's homelessness or would serve those with
the greatest risk of instability as defined in Section IV.A. (4) (1) and
(2) of the HOME-ARP Notice
e. Subrecipient will create, maintain, and allow inspection of records
demonstrating compliance with the conflict of interest requirement of 24
CFR § 92.356.
f. Subrecipient shall create, maintain, and allow inspection of records
demonstrating compliance with debarment and suspension
requirements in 2 CFR part 2424.
g. Subrecipient will create, maintain, and allow inspection of records
demonstrating compliance with affirmative marketing and minority
outreach requirements of 24 CFR § 92.351.
h. Subrecipient will create, maintain, and allow inspection of records
demonstrating compliance with the applicable uniform administrative
requirements required by Section VIII.D. of the HOME-ARP Notice.
i. Subrecipient will create, maintain, and allow inspection of records
demonstrating compliance with records of emergency transfers
requested under 24 CFR 5.2005 and 24 CFR 92.359 pertaining to
victims of domestic violence, dating violence, sexual assault, or
stalking, including data on the outcomes of those requests.
j. Subrecipient will create, maintain, and allow inspection of records
demonstrating compliance with all other requirements of this
Agreement.
k. Subrecipient will create, maintain, and allow inspection of records
demonstrating that each household qualifying as homeless, records
that meet the requirements in 24 CFR 576.500(b)(1), (2), (3), or (4), as
applicable.
1. Subrecipient will create, maintain, and allow inspection of records
demonstrating that each household qualifying as "at risk of homelessness"
records that meet the requirements in 24 CFR 576.500 ( c )(1) or (2), as
applicable, and include the following documentation of annual income:
(1) Income evaluation form containing the minimum requirements
specified by HUD and completed by the Subrecipient; and
(2) Source documents for the assets held by the household and
income received over the most recent period for which representative data
is available before the date of the evaluation (e.g., wage statement,
unemployment compensation statement, public benefits statement, bank
statement);
(3) To the extent that the source documents are unobtainable, a
written statement by the relevant third party (e.g., employer, government
benefits administrator) or the written certification by the Subrecipient's
intake staff of the oral verification by the relevant third party of the income
the household received over the most recent period for which
representative data is available; or
(4) To the extent that the source documents and third-party
verification are unobtainable, the written certification by the household of
the amount of income the household received for the most recent period
representative of the income that the household is reasonably expected to
receive over the 3-month period following the evaluation.
2. Retention of Records: The Subrecipient shall retain all records pertinent to
expenditures incurred under this Agreement for a period of five (5) years
after the termination of all activities funded under this Agreement or after
the resolution of all Federal audit findings, whichever occurs later. Records
for nonexpendable property acquired with funds under this Agreement
shall be retained for five (5) years after the final disposition of such
property. Records for any displaced person must be kept for five (5) years
after he/she has received the final payment.
3. Access to Records: The City and the Comptroller General of the United
States or any of their authorized representatives shall have the right of
access to any pertinent books, documents, papers, or other records of
grantees and subgrantees which are pertinent to the grant in order to make
audits, examinations, excerpts, and transcripts. The right of access shall
last as long as any record is required to be retained. The Subrecipient, its
employees, or agents shall provide access during the Term to all related
records and documents for accounts placed with the Subrecipient by the
City at reasonable times to the City, its employees, or agents.
"Reasonable" shall be construed according to the circumstances but
ordinarily shall mean during normal business hours of 8:00 a.m. to 5:00
p.m. Central Standard Time, Monday through Friday. "Agents" shall
include, but not be limited to, auditors retained by the City.
ARTICLE XV
RECORD-KEEPING DISPLACEMENT, RELOCATION, AND REAL PROPERTY
ACQUISITION
Subrecipienet shall create, maintain, and allow inspection of records demonstrating compliance
with the requirements of 24 CFR 92.353 and the provisions of Section VII.F. of the HOME-ARP
Notice regarding displacement, relocation, and real property acquisition, including but not
limited to:
1. Project occupancy lists identifying the name and address of all persons occupying the real
property on the date described in 24 CFR 92.353(c)(2)(i)(A) and occupying the property upon
completion of the project;
2. Lists of all individuals or families occupying hotels and motels and other nonresidential
properties acquired, rehabilitated, and/or demolished and newly constructed to become HOME-
ARP NCS or HOME-ARP rental housing that qualify for assistance under the HOME-ARP
Notices as members of a qualifying population, as well as records indicating whether such
persons were assisted by the HOME-ARP program by the participating jurisdiction following the
closure of the nonresidential properties because of the HOME-ARP activities
3. Lists of all individuals or families occupying HOME-ARP NCS that were converted during the
required use period that qualify for assistance under the HOME-ARP Notice, as well as records
indicating whether moving costs or advisory services were provided as part of HOME-ARP
administrative costs or under the HOME-ARP supportive services activity in Section VI.D of the
HOME-ARP Notice, and records indicating whether such persons were assisted by the HOME-
ARP program by the participating jurisdiction following the conversion of the HOME-ARP NCS
units.
ARTICLE XVI
HOME-ARP TBRA REQUIREMENTS AND PROVISIONS
SUBRECIPIENT shall disburse the Grant monies through a HOME-ARP TBRA program
that SUBRECIPIENT shall design and administer in accordance with this Article and to the
extent not provided otherwise in this Agreement, in compliance with all requirements under
Section VI.0 of the HOME-ARP Notice, all other applicable provisions of the federal
regulations, and any other laws.
SUBRECIPIENT shall promulgate a written HOME-ARP TBRA program, including
tenant-selection criteria and rental-assistance contracts, and related administrative forms. As
appropriate, the written program may adopt pertinent provisions of this Article by reference to a
Section or sub-Section without repeating them verbatim. The rental assistance contracts and
other forms used to implement the HOME-ARP TBRA program shall meet the requirements for
a "Section 8 Rental Certificate Program" under 24 CFR Part 888 and 24 CFR Part 982.
The TBRA program shall include the following requirements and provisions:
1. SUBRECIPIENT shall use a waiting list to identify and prioritize eligible
households for HOME-ARP TBRA.
2. SUBRECIPIENT shall serve clients that meet the definition of"Qualifying
Population" as defined in Section IV.A(1), (2), (3), and (4)
3. At all times while receiving HOME-ARP TBRA, the selected tenants must reside
in, and the assisted lease premises must be located within Port Arthur, Texas.
4. SUBRECIPIENT shall create and maintain records of compliance with the
housing quality standards, lease terms (including copies of all executed leases),
minimum tenant contributions, actions taken to affirmatively further fair housing, and
all other requirements of the HOME-ARP TBRA program.
5. The Grant monies may not be used to further subsidize the rent of units already
receiving another form of rent subsidy (i.e., public housing or Section 8).
6. The HOME-ARP TBRA program may include assistance with security deposits as
provided in 24 CFR § 92.209(j) and may not exceed the equivalent of two (2) months'
rent for the rental unit. Any refunds of security deposits upon the termination of a
lease, or at any other time, may be paid to the tenant and need not be refunded to
SUBRECIPIENT.
7. SUBRECIPIENT shall enter into a written rental assistance contract complying
with 24 CFR § 92.209 and 24 CFR § 92.253 with each eligible tenant before
disbursing rental or security deposit assistance funds. The term of each rental
assistance contract must begin on the first day of the term of the tenant's lease and
must terminate on termination of the lease.
8. Each lease must not be for less than one (1) year unless by mutual agreement of
the tenant and the owner. No lease may contain any of the following terms, and each
lease must affirmatively negate all of these terms either in the body of the lease or by
means of an attached addendum that controls notwithstanding any contrary
provisions of the lease:
a. Agreement by the tenant to be sued, to admit guilt, or to a judgement in favor
of the owner in a lawsuit brought in connection with the lease;
b. Agreement by the tenant that the owner may take, hold, or sell personal
property of household members without notice to the tenant and a court decision on the
rights of the parties. This prohibition, however, does not apply to an agreement by the
tenant concerning disposition of personal property remaining in the housing unit after the
tenant has moved out of the unit. The owner may dispose of this personal property in
accordance with state law;
c. Agreement by the tenant not to hold the owner or the owner's agents legally
responsible for any action or failure to act, whether intentional or negligent;
d. Agreement of the tenant that the owner may institute a lawsuit without notice to
the tenant;
e. Agreement by the tenant that the owner may evict the tenant or household
members without instituting a civil court proceeding in which the tenant has the
opportunity to present a defense or before a court decision on the rights of the parties;
f. Agreement by the tenant to waive any right to a trial by jury;
g. Agreement by the tenant to waive the tenant's right to appeal, or to otherwise
challenge in court, a court decision in connection with the lease; and
h. Agreement by the tenant to pay attorney's fees or other legal costs even if the
tenant wins in a court proceeding by the owner against the tenant. The tenant,
however, may be obligated to pay costs if the tenant loses.
i. Mandatory supportive services Agreement by the tenant (other than a tenant
in transitional housing) to accept supportive services that are offered.
9. Each lease must provide that the owner may not terminate the tenancy or refuse to renew
the lease of the tenant except for serious or repeated violation of the terms and conditions of
the lease; for violation of the applicable federal, state, or local law; for completion of the
tenancy period, if the tenancy is "transitional housing" or for other good cause Each lease must
provide that to terminate or refuse to renew the tenancy, the owner must serve written notice
upon the tenant specifying the grounds for the action at least 30 days before the termination of
the tenancy.
10. SUBRECIPIENT shall require each owner that is a party to a lease to adopt written tenant-
selection criteria that:
a. Are consistent with the purpose of providing housing for very low-income and low-
income households;
b. Are reasonably related to the HOME-ARP TBRA program eligibility and the
applicant's ability to perform the obligations of the lease;
c. Give reasonable consideration to the housing needs of households that would have a
federal preference under 24 CFR § 92.209(c)(2);
d. Provide for the selection of tenants from a written waiting list in the chronological
order of their application, insofar as is practicable; and
e. Give prompt written notification to any rejected applicant of the grounds for any
rejection.
11. Neither the City nor SUBRECIPIENT shall be a party to any lease for which assistance is
given under the HOME-ARP TBRA program. The compliance of any lease with the provisions
of this Agreement shall not connote approval or endorsement of the lease by the City or by the
Subrecipient but means only that the lease does not bar the tenant from qualifying for HOME-
ARP TBRA. The HOME-ARP TBRA program shall provide that the tenant's TBRA will be
discontinued if the tenant is evicted by judicial process for cause under the terms of the lease.
12. The rent subsidy for any rental unit paid with Grant monies may not exceed the difference
between the rent standard established by the City for the unit size and thirty percent (30%) of
the monthly adjusted income of the family of the tenant, in accordance with 24 CFR §
92.209(h)(1). The SUBRECIPIENT shall use FY2022 Fair Market Rents by Unit Bedrooms for
the City of Port Arthur Metropolitan Area is attached to this Agreement in Exhibit C.
13. The rent to be paid under each lease must be reasonable, based on rents that are charged
for comparable unassisted rental units. The City shall establish rent standards for various unit
sizes in accordance with 24 CFR § 92.209(h)(3) and shall advise SUBRECIPIENT of the rent
standards applicable from time to time.
14. Housing for which assistance is received under the HOME-ARP TBRA program must meet
and be maintained in accordance with the following standards:
a. The housing quality standards in Section VI.C.9 of the HOME-ARP Notice;
b. Accessibility requirements in the regulations referenced in 24 CFR § 5.105(a), which
implement the Fair Housing Act and Section 504 of the Rehabilitation Act of 1973; and
c. All applicable state and City housing codes and ordinances.
15. SUBRECIPIENT, shall conduct inspections of each rental unit before approving assistance
pp 9
under the HOME-ARP TBRA program, and at least annually thereafter, during the term of the
rental assistance contract to ensure these standards are met. If any rental unit for which
HOME-ARP TBRA assistance is being given falls below these standards, the City shall
promptly notify SUBRECIPIENT, the tenant, and the owner of the housing of the specific
matters needing correction and shall give a reasonable time (generally ranging from twenty-
four (24) hours for violations that are an imminent health or safety threat, to thirty (30) days for
other problems) for the deficiencies to be corrected. If the deficiencies are not corrected within
the time allowed, the HOME-ARP TBRA Grant monies shall be suspended for that rental unit
until the deficiencies are corrected to the satisfaction of the City. This HOME-ARP TBRA
contract may also be canceled if the deficiencies continued unabated.
16. Each tenant selected to receive assistance must consent in writing for his or her files to be
inspected, copied, and audited by the City, HUD, or any of their agents or employees, and must
waive any confidentiality requirements that may otherwise be breached as a direct or indirect
result of any such inspection, copying, or audit.
17. SUBRECIPIENT shall verify all factors relating to a family's eligibility for HOME-ARP TBRA
that have not already been verified by the City at the time of the application. The verification will
be by means of third-party verification and review of primary documents provided by the
applicant or applicant certification.
ARTICLE XVII
AUDITS/MONITORING
1. In the event that the Subrecipient expends Seven-Hundred-Fifty-Thousand and
00/100 Dollars ($750,000.00) or more in Federal awards in its fiscal year, the Subrecipient
must have a single or program-specific audit conducted in accordance with the provisions of
Title 2 Code of Federal Regulations (CFR) Part 200, as revised. In determining the Federal
awards expended in its fiscal year, the Subrecipient shall consider all sources of Federal
awards, including Federal resources received from the City. The determination of amounts of
Federal awards expended should be in accordance with the guidelines established by Title 2
CFR Part 200, as revised. An audit of the Subrecipient conducted by the Auditor General in
accordance with the provision 2 CFR Part 200, as revised, will meet the requirements of this
part.
2. In connection with the audit requirements addressed in Paragraph 1 above, the
Subrecipient shall fulfill the requirements relative to audit responsibilities as provided in 2 CFR
Part 200, as revised.
3. If the SUBRECIPIENT expends less than Seven-Hundred-Fifty-Thousand and 00/100
Dollars ($750,000.00) in Federal awards in its fiscal year, an audit conducted in accordance
with the provisions of 2 CFR Part 200, as revised, is not required. In the event that the
Subrecipient expends less than Seven-Hundred-Fifty-Thousand and 00/100 Dollars
($750,000.00) in Federal awards in its fiscal year and elects to have an audit conducted in
accordance with the provisions of 2 CFR Part 200, as revised, the cost of the audit must be
paid from non-Federal resources.
4. In addition to reviews of audits conducted in accordance with 2 CFR Part 200, as
revised, monitoring procedures may include, but not be limited to, on-site visits by the City
and/or HUD; limited-scope audits as defined by 2 CFR Part 200, as revised; submittal and
review of financial statements; and/or other procedures. By entering into this Agreement, the
Subrecipient agrees to comply and cooperate with any monitoring procedures/processes
deemed appropriate by the City and/or HUD. In the event the City and/or HUD determines that
a limited-scope audit of the Subrecipient is appropriate, the Subrecipient agrees to comply with
any additional instructions provided by the City and/or HUD to the Subrecipient regarding such
audit. The Subrecipient further agrees to comply and cooperate with any inspections, reviews,
investigations, or audits deemed necessary by the Chief Financial Officer or Auditor General.
5. Inspector General: In those instances where state funding is involved, the
Subrecipient and its subcontractors must agree to cooperate with the inspector general in any
investigation, audit, inspection, review, or hearing. By entering into this Agreement, the
Subrecipient certifies it understands and will comply with this provision.
6. If the Subrecipient is not subject to the audit requirements found at 2 CFR Part 200,
Subpart F, a financial report in accordance with FAS Statement No. 117, Financial Statement
of Not-for-Profit Organizations, as amended, shall be submitted to the City within thirty (30)
days after the end of its fiscal year.
7. Monitoring provides information for making an informed judgment about program
effectiveness and management efficiency, as well as identifying internal weaknesses that may
contribute to fraud or abuse. The monitoring procedures established for the Subrecipient may
include, but are not limited to, on-site visits by the City or HUD; limited-scope audits as defined
by 2 CFR Part 200, as revised; submittal and review of financial management statements as
defined by FAS Statement No. 117, performance reports; and other procedures as determined
necessary.
8. By entering into this Agreement, the Subrecipient agrees to comply and cooperate
with any monitoring procedures/processes deemed appropriate by the City and/or HUD. In the
event the City or HUD determines that more than a limited-scope audit of the Subrecipient is
appropriate, the Subrecipient agrees to comply with any additional instructions provided by the
City or HUD to the Subrecipient regarding such audit. The Subrecipient further agrees to
comply and cooperate with any inspections, reviews, investigations, or audits deemed
necessary by the City, Chief Financial Officer, or Auditor General. 9. A copy of the audit or
financial management report must be provided to the Community Development Department
within thirty (30) days after receipt by the Subrecipient.
ARTICLE XVIII
PERFORMANCE, SUBCONTRACTS, AND AMENDMENTS
1. Performance Monitoring: The City shall monitor the performance of the Subrecipient
against goals, performance standards, and requirements herein. Substandard performance, as
determined by the City, in its sole and absolute discretion, shall constitute noncompliance of
this Agreement. If such substandard performance is not corrected by the Subrecipient within a
reasonable time period, as determined by the City, after being notified by the City of it, in
accordance with Article XIII, contract suspension or termination procedures may be initiated
and enforced in accordance with regulations set forth in 2 CFR Part 200, Subpart D, and Article
XIII herein. In no case shall a reasonable period of time to begin the correction of substandard
performance be shorter than seven (7) days or longer than ninety (90) days unless otherwise
provided herein. Notwithstanding the foregoing, the City hereby agrees that any cure of any
default made or tendered by the Subrecipient's investor limited partner (or their affiliates, or
their successors or assigns) shall be deemed to be a cure by the Subrecipient and shall be
accepted or rejected on the same basis as if made or tendered by Subrecipient.
2. Reporting requirements: The Subrecipient will inform the monitoring agent secured by
HUD that the City must receive a copy of all documents relating to the monitoring and
compliance of the Project.
3. Laws: The Subrecipeint shall not enter into any contracts or subcontracts in the
performance of this Agreement without the written consent of the City. All contracts or
subcontracts made by the Subrecipient to carry out the Project shall be made in accordance
with all applicable Federal, State, and local laws, rules, and regulations stipulated in this
Agreement and in strict accordance with all terms, covenants, and conditions in this
Agreement. Any worker's services contracted hereunder shall be specified by written contract
or agreement and shall be subject to each article set forth in this Agreement.
4. Subcontract Monitoring: The Subrecipient shall monitor all subcontracted services on
a regular basis to assure contract compliance. Results of monitoring efforts shall be
summarized in written reports and supported with documented evidence of follow-up actions
taken to correct areas of noncompliance. Such summaries and documents shall be submitted
to the City with each Request for HOME Reimbursement and Quarterly Performance Report to
be reported to HUD.
5. Prior City Approvals: The following includes, but is not limited to, activities that require
the prior written approval of the City to be eligible for payments:
a. All requests for proposals/qualifications, bid packages, proposed advertisements, and
procurement documentation for services prior to award.
b. The initiation of new activities not covered by this Agreement or changes in the
location or the deletion of any activity/activities.
c. Any service(s) or activity/activities other than those described in Article III above.
d. Any proposed revisions to this Agreement.
e. Requests to utilize remaining funds should there be a surplus after work is
substantially completed. Requests must be made in writing and signed by an individual with
signatory authority.
ARTICLE XIX
AWARD DELIVERY
HOME-ARP Funds will be awarded as a grant pursuant to the terms of the Agreement
Subrecipient shall be required to enter into a Land Use Restrictive Agreement (LURA) for a
period of 15 years, and such agreement shall be recorded in the Public Records the City The
Allocated Sum shall be secured by a twenty (20) years deferred mortgage and promissory note
on the real property on which the Project is located.
ARTICLE XX
REPAYMENT OF LOAN
1. All HOME-ARP funds are subject to repayment in the event the Project does not meet
the requirements as outlined in this Agreement.
2. It is understood that upon the completion of the Project, any HOME-ARP funds
reserved but not expended under this Agreement will revert to the CITY.
3. Funds will remain a deferred loan for the period of twenty (20) years, at which time the
loan may be forgiven or extended in the sole discretion of the City for another term. Sale of the
property to another party may occur only with the approval of the City, and the purchaser shall
assume all obligations of the Subrecipient under this Agreement, the note and mortgage, and
the deed covenants. Provisions in those documents will provide for the extinguishment of the
requirements only in the event of a third-party foreclosure or deed in lieu of foreclosure.
ARTICLE XXI
CONTRACT LIABILITY
The City shall not be liable to any person, firm, or corporation who contracts with, or provides
goods or services to, the Subrecipient in connection with the services as agreed to perform
hereunder or for debts or claims accruing to such parties against the Subrecipient; and there is
no contractual relationship either expressed or implied between the City and any other person,
firm, or corporation supplying any work, labor, services, goods, or materials to the Subrecipient
as a result of the Subrecipient's services to the City hereunder.
_ARTICLE XXII
PROGRAM INCOME
The Subrecipient shall record the receipt and expenditure of Program Income, as defined in 24
CFR § 92.503(a) ("Program Income"), as part of the financial transactions of the grant-funded
Project. The use of Program Income by the Subrecipient shall comply with the requirements set
forth in 24 CFR § 92.503. The Subrecipient may use Program Income during the Term of this
Agreement for activities permitted under this Agreement and shall reduce requests for
additional funds by the amount of any such Program Income on hand. The Subrecipient shall
submit a detailed accounting of the receipt and use of Program Income as indicated in Exhibit
C, attached hereto and incorporated herein, in conjunction with quarterly reporting that is
required. All unused Program Income with interest shall be returned to the City at the end of the
Term. The City shall return these monies to HUD.
ARTICLE XXIII
REVERSION OF ASSETS
Upon expiration or termination of this Agreement, the Subrecipient shall transfer to the City any
Allocated Sum that has not been specifically allocated for the Project pursuant to this
Agreement, as specified in 24 CFR § 92.504(c)(2)(vii).
ARTICLE XXIV
INDEMNIFICATION
The Subrecipient shall defend, hold harmless, and indemnify the City and all of its officers,
agents, and employees, whether current or former, from and against any and all actions,
claims, liabilities, losses, damages, costs, attorney's fees, charges, or expenses of whatever
kind or nature which the City may sustain, suffer, incur, or be required to pay by reason of the
loss of any monies paid to the Subrecipient resulting out of fraud, defalcation, dishonesty, or
failure of the Subrecipient to comply with the Housing and Community Development Act of
1974 and its regulations; or arising out of any act, action, neglect, or omission during the
performance of this Agreement, any part thereof, or work performed hereunder, whether direct
or indirect; or by reason or result of injury caused by the Subrecipient's or subcontractor's willful
or negligent maintenance or supervision of the property or work performed; or by reason of a
judgment over and above the limits provided by the insurance required under Article XXV of
this Agreement; or by any defect in the condition or construction of the Project if the Project
was inspected and accepted by the Subrecipient; whether or not due to, or caused by
negligence of the City or any of its agents and employees. Only a final adjudication judgment
finding the City solely negligent shall excuse the performance of this provision by the
Subrecipient. The Subrecipient shall pay all costs and fees related to this obligation and its
enforcement by the City. This Article XXIV shall survive any termination, cancellation, or
expiration of this Agreement.
ARTICLE XXV
INSURANCE
1. The Subrecipient shall procure and maintain, for the duration of this Agreement,
insurance against claims for injuries to persons or damages to property which may arise from
or in connection with the Subrecipient's operation and use of any real property and any
building, shelter, or similar structures thereon (hereinafter referred to as "Premises"). The cost
of such insurance shall be borne by the Subrecipient.
2. The Subrceipient shall not enter or occupy the Premises until it has obtained all
insurance required herein and such insurance has been approved by the City as provided
herein.
3. The Subrecipient shall furnish certificate(s) of insurance on the form required by the
City to the City. The certificate(s) shall clearly indicate the Subrecipient has obtained insurance
of the type, amount, and classification required for strict compliance with this Agreement and
that no reduction in coverage or in limits, suspension, or cancellation of the insurance shall be
effective without thirty (30) days prior written notice as provided below. The certificate(s) shall
be signed by a person authorized by that insurer to bind coverage on its behalf. The City
reserves the right to require complete, certified copies of all required policies at any time. Each
insurance policy required by this Agreement shall be endorsed to state that coverage shall not
be suspended, voided, canceled, reduced in coverage or in limits, except after thirty (30) days
prior written notice by Certified Mail, Return Receipt Requested, has been given to the City to
the attention of the Pasco City Community Development Director. In the event the insurance
coverage expires prior to the termination or end of this Agreement, a renewal certificate shall
be issued thirty (30) days prior to the expiration date. Compliance with the foregoing
requirements shall not relieve the Subrecipient of the liability and obligations under this
Agreement. Neither approval by the City or a failure to disapprove insurance certificates or
policies furnished by the Subrecipient shall release the Subrecipient of full responsibility for all
liability or its obligations under this Agreement.
4. All insurance policies shall be issued by responsible companies authorized to do
business under the laws of the State of Texas, have an "A" policyholders' rating, have a
financial rating of at least Class VIII in accordance with the most current Best's Key Rating
Guide, and shall be satisfactory to the City. All policies of insurance required by this Agreement
shall be primary insurance with respect to the City, its officials, agents, and employees. Any
insurance or self-insurance maintained by the City, its officials, agents, or employees shall be
in excess of the Subrecipient's insurance and shall not contribute to it. All policies of insurance
required by this Agreement, except workers' compensation, shall specifically provide that the
City shall be an "additional insured" under the policy and shall contain a Severability of
Interests provision. All insurance policies required herein and all provisions hereof shall apply
to all operations, activities, or use by the Subrecipient or by anyone employed by or contracting
with the Subrecipient, and it is the Subrecipient's responsibility to ensure that any contractor,
subcontractor, or anyone directly or indirectly employed by any of them complies with those
insurance provisions and that the City is an "additional insured" on such policies. Any
deductibles or self-insured retentions must be declared to and approved by the City and are the
responsibility of the Subrecipient. The minimum types and limits of coverage to be carried by
the Subrecipient shall be as follows:
a. Workers' Compensation and Employer's Liability:
If the Subrecipient falls under the State of Texas Workers' Compensation law, the Subrecipient
shall provide coverage for all employees. The coverage shall be for the statutory limits in
compliance with the applicable State and Federal laws. The policy must include employer's
liability with a limit of One Hundred Thousand and 00/100 Dollars ($100,000.00) for each
accident. The insurer shall agree to waive all rights of subrogation against the City, its officials,
agents, and employees.
b. Comprehensive General Liability:
Shall include premises and/or operations, broad form property damage, independent
contractor, contractual liability, and fire legal liability, and shall be written on an "occurrence
basis." In the event Subrecipient is only able to secure coverage on a "claims-made basis," the
Subrecipient shall be obligated, by virtue of this Agreement, to maintain tail coverage in effect
with no less limits of liability, nor any more restrictive terms and/or conditions, for a period of
three (3) years from expiration or termination of this Agreement.
c. Bodily injury and personal injury, including death:
• $1,000,000.00 each person;
• $2,000,000.00 aggregate;
• $1,000,000.00 each occurrence;
• $2,000,000.00 aggregate.
ARTICLE XXVI
NONASSIGNABILITY
The Subrecipient may not assign this Agreement without the prior written consent of the City.
ARTICLE XXVII
HEADINGS
All articles and descriptive headings of paragraphs in this Agreement are inserted for
convenience only and shall not affect the construction or interpretation hereof.
ARTICLE XXVIII
CONTRACT EXECUTION
This Agreement may be executed in whole or in part, and each fully executed part shall be
deemed an original instrument.
ARTICLE XXVIX
COMPLIANCE
The Subrecipient agrees to comply with any City or State civil rights ordinances; Title XI of the
Civil Rights Act of 1964, as amended; Title XIII of the Civil Rights Act of 1968, as amended;
Section 109 of Title I of the Housing and Community Development Act of 1974; the Americans
with Disabilities Act of 1990; the Age Discrimination Act of 1975; and Executive Orders 11063
and 11246, as amended by Executive Orders 11375 and 12086.
ARTICLE XXX
UNIFORM ADMINISTRATIVE REQUIREMENTS
The Subrecipient shall comply with 24 CFR § 92.505, and adhere to accounting principles and
procedures required therein, utilize adequate internal controls, and maintain necessary source
documentation for all costs incurred. The Subrecipient shall administer the Project in
conformance with Section VIII.D. of the HOME-ARP Notice, as amended.
ARTICLE XXXI
NONDISCRIMINATION
The Subrecipient will not discriminate against any employee or applicant for employment
because of race, color, creed, religion, ancestry, national origin, sex, disability, other
handicaps, age, marital status, or status with regard to public assistance. To the extent
Subrecipient has employees, the Subrecipient will take affirmative action to ensure that all
employment practices prohibit such discrimination. Such employment practices include but are
not limited to, the following: hiring, upgrading, demotion, transfer, recruitment or recruitment
advertising, lay-off, termination, rates of pay or other forms of compensation, and selection for
training, including apprenticeship. The Subrecipient agrees to post in conspicuous places,
available to employees and applicants for employment, notices setting forth the provisions of
this nondiscrimination clause.
ARTICLE XXXII
REHABILITATION ACT OF 1973, SECTION 504
The Subrecipient agrees to comply with any Federal regulations issued pursuant to compliance
with Section 504 of the Rehabilitation Act of 1973 (29 United States Code of Law (U.S.C.) §
794) which prohibits discrimination against the handicapped in any Federally assisted program.
The City shall provide the Subrecipient with any guidelines necessary for compliance with that
portion of the regulations during the term of this Agreement.
ARTICLE XXXII!
LABOR STANDARDS
The Subrecipient agrees to comply with the requirements of the Secretary of Labor in accordance
with the Davis-Bacon Act, as amended (48 CFR § 22.403-1); the provisions of contract work hours
and the Safety Standards Act (40 USC § 3701, et seq. and 48 CFR § 22.403-1, 22.403-3); the
Copeland "Anti-Kickback"Act (48 CFR § 22.403-2; 18 U.S.C. § 874, et seq.; 40 U.S.C. § 3141, et
I seq., formerly cited as 40 U.S.C. §§ 276a, 327-333); and all other applicable Federal, State, and
local laws and regulations pertaining to labor standards insofar as such acts apply to the
performance of this Agreement. The Subrecipient shall maintain documentation that demonstrates
compliance with an hour and wage requirements of this part. Such documentation shall be made
available to the CITY for review upon request.
ARTICLE XXXIV
HUD ACT OF 1968, SECTION 3
1. Compliance with the provisions of Section 3 of the HUD Act of 1968, the regulations set forth
in 24 CFR Part 75, and applicable rules and orders issued hereunder prior to the execution of
this Agreement shall be a condition of the Federal financial assistance provided under this
Agreement and is binding upon the City, the Subrecipient, and any subcontractors. Failure to
fulfill these requirements shall subject the City, the Subrecipient, and any subcontractors, their
successors, and assigns to those sanctions specified by the agreement through which Federal
assistance is provided. The Subrecipient certifies and agrees that no contractual or other
disability exists which would prevent compliance with these requirements.
2. The Subrecipient agrees to send to each labor organization or representative of workers with
whom it has a collective-bargaining agreement or contract or understanding, if any, a notice
advising the said labor, organization, or workers' representative or its commitments under the
Section 3 clause, and shall post copies of the notice in conspicuous places available to
employees and applicants for employment or training.
3. The Subrecipient will include the Section 3 clause in every subcontract and will take
appropriate action pursuant to the subcontract upon finding that the subcontractor is in violation
of regulations issued by the City or the Federal government. The Subrecipient will not
subcontract with any sub-contractor where it has notice or knowledge that the latter has been
found in violation of regulations under 24 CFR Part 75 and will not let any subcontract unless
the subcontractor has first provided it with a preliminary statement of ability to comply with the
requirements of these requirements.
ARTICLE XXXV
HATCH ACT
The Subrecipient agrees that no funds provided, nor personnel employed under this
Agreement, shall be in any way or any extent engaged in the conduct of political activities in
violation of 5 U.S.C. § 1501 et seq. as subsequently amended.
ARTICLE XXXVI
CONFLICT OF INTEREST
The Subrecipient covenants that it presently has no financial interest and shall not acquire
financial interest, direct or indirect, which would conflict in any manner or degree with the
performance of services required under this Agreement. The Subrecipient further covenants
that in the performance of this Agreement, no person having such a financial interest shall be
employed or retained by the Subrecipient or subcontractor hereunder, except for services
performed. These conflict of interest provisions apply to any person who is a person, agent,
consultant, officer, or elected official or appointed official of the City or of any designated public
agencies or SUBRECIPIENTS that are receiving funds under this Agreement.
ARTICLE XXXVII
RELIGIOUS ORGANIZATION
The Subrecipient agrees that funds provided under this Agreement will not be utilized for
religious activities, to promote religious interests, or for the benefit of a religious organization in
accordance with the Federal regulations specified in 24 CFR § 5.109.
ARTICLE XXXVIII
LEAD-BASED PAINT
The Subrrecipient agrees that any construction or rehabilitation of residential structures, with
assistance provided under this Agreement, shall be subject to the HUD Lead-Based Paint
Regulations at 24 CFR § 92.355. Such regulations pertain to all HUD-assisted housing and
require that all owners, prospective owners, and tenants for properties constructed prior to
1978 be properly notified that such properties may include lead-based paint. Such notification
shall point out the hazards of lead-based paints and explain the symptoms, treatment, and
precautions that should be taken when dealing with lead-based poisoning.
ARTICLE XXXVIX
ENVIRONMENTAL CONDITIONS
1. Air and Water: Subrecipient agrees to comply with the following regulation insofar as they
apply to the performance of this Agreement: a. Clean Air Act, 42 U.S.C.§ 7401, et seq.
b. Federal Water Pollution Control Act, as amended; 33 U.S.C. § 1251, et seq., as amended;
and 33 U.S.C. § 1318, relating to inspection, monitoring, entry, reports, and information, as well
as other requirements specified in the said Sections 114 and 308 and all regulations and
guidelines issued thereunder.
c. Environmental Protection Agency Regulations pursuant to 40 CFR Part 50, et seq., as
amended.
d. National Environmental Policy Act of 1969, as amended, 42 U.S.C. § 4331, et seq.
e. HUD Environmental Review Procedures (24 CFR Part 58).
2. Flood Disaster Protection: In accordance with requirements of the Flood Disaster Protection
Act of 1973 (42 U.S.C. § 4001, et seq.), the SUBRECIPIENT shall obtain and maintain flood
insurance under the National Flood Insurance Program for any activities located in an area
identified by the Federal Emergency Management Act as having special flood zones.
ARTICLE XL
HISTORIC PRESERVATION
The Subrecipient agrees to comply with the historic preservation requirements set forth in the
National Historic Preservation Act of 1966, as amended (54 U.S.C. § 300101, et seq. (formerly
cited as 16 U.S.C. § 470)), and the procedures set forth in 36 CFR Part 800, Advisory Council
on Historic Preservation Procedures, for protection of historic properties insofar as they apply
to the performance of this Agreement. In general, this requires concurrence from the State
Historic Preservation Officer for rehabilitation and demolition
of all properties built fifty (50) years ago to assess how the activity could affect a historic
property listed in or eligible for the National Register of Historic Places.
ARTICLE XLI
CONTINUITY OF SERVICE
1. The Subrecipient may not change the eligible use of the Units, the method of providing
service by excluding properties or persons currently covered, sell or transfer the Units except in
connection with the sale of the Project to an entity that assumes the Subrecipient obligations
under this Agreement and the mortgage and note, or vacate the Units without the CITY's
permission, until the expiration of this Agreement.
2. If the City and the Subrecipient determine, after consultation with the affected citizens, that it
is appropriate to change the use of the property to a use which does not qualify under
Paragraph 1 of this article, the Subrecipient may retain or dispose of the property for the
changed use after the City HOME is reimbursed in the amount of the Allocated Sum. During
the term of the Agreement, the Subrecipient shall give a first right of refusal to eligible nonprofit
organizations for the purchase of the Unit at the current market value so that the Unit may
continue to be occupied by eligible persons as set forth in the mortgage and note.
3. Following the reimbursement of the Allocated Sum in accordance with Paragraph 2 of this
article, the property will no longer be subject to any Program requirements.
ARTICLE XLII
NONEXPENDABLE PROPERTY
Any nonexpendable personal property acquired by the Subrecipient under this project shall be
subject to the provisions of the Housing and Community Development Act of 1974 and its
regulations, including, but not limited to, the provisions on the use and disposition of property
for a period of five (5) years after purchase.
ARTICLE XLIII
REAL PROPERTY PROTECTIONS
1. The City may have inspections of the premises performed by the City, or on its behalf, for
structural integrity and safety.
2. Other than as provided in Exhibit A, the Subrecipient shall not mortgage or otherwise
encumber title to the said real property by utilizing the said real property as collateral for any
type of lien, note, mortgage, debt obligation, or security agreement without prior written
notification to the HOME Administrator.
ARTICLE XLIV
MAINTENANCE OF PREMISES
The Subrecipient is required to maintain the real property and structures located thereon in a
condition that meets all current housing, safety, and health standards as required by all
applicable federal, state, and local laws, rules, and regulations.
ARTICLE XLV
MISCELLANEOUS
1. Entire Agreement: This Agreement represents the entire agreement between the parties
and supersedes any and all prior agreements, negotiations, or understandings, written or
oral, relating to the matters set forth herein. Prior agreements, negotiations, or
understandings, if any, shall have no force or affect whatsoever on this Agreement. All
parties hereto agree that if any part, term, or covenant of this Agreement is held to be
illegal, unenforceable, or in conflict with any applicable Federal, State, or local laws or
regulations, such part shall be severable, with the remainder of this Agreement valid and
enforceable.
2. Sovereign Immunity: Nothing in this Agreement shall be construed in any way to waive
the sovereign immunity of the City.
3. Applicable Law: This Agreement, when not governed by Federal law, shall be governed
by and interpreted in accordance with the laws of the State of Florida.
ARTICLE XLVI
CONSTRUCTION/REHABILITATION PROVISIONS
1. SUBRECIPIENT shall commence construction within four (4) months from the Effective
Date of this Agreement and shall complete construction within twenty-four (24) months of the
Agreement's Effective Date as defined herein. Timely completion of the work specified in this
Agreement is an integral and essential part of the performance. The expenditure of HOME-
ARP funds is subject to federal deadlines and could result in the loss of federal funds. By
acceptance and execution of this Agreement, it is understood and agreed by the
SUBRECIPIENT that the Project will be completed as expeditiously as possible and that
SUBRECIPIENT will make every effort to ensure that the Project will proceed without delay.
Failure to meet these deadlines set forth in Exhibit A can result in the cancellation of this
Agreement and revocation of HOME-ARP funds.
SUBRECIPIENT shall cause appropriate provisions to be inserted in all contracts or
subcontracts relative to the work tasks required by this Agreement in order to ensure that the
Project will be completed according to the timetable set forth herein and as specifically set forth
in Exhibit A. In addition, because this Project is subject to ongoing compliance periods, the
SUBRECIPIENT will ensure continued
compliance with HOME-ARP requirements. This includes ongoing property standards,
occupancy, and rental-limits compliance.
In the event that SUBRECIPIENT is unable to meet the above schedule or complete the
above services because of delays resulting from causes beyond its reasonable control,
including but not limited to acts of God, fires, floods, explosions, riots, wars, hurricanes,
sabotage terrorism, vandalism, accidents, restraint of government, governmental acts,
injunctions, war, strikes or labor disputes, embargoes, pandemics, government orders, or any
other force majeure event, untimely review and approval by the City and other governmental
authorities having jurisdiction over the Project, or other delays not caused by the
SUBRECIPIENT, the City shall grant reasonable extension of time for completion of the work. It
shall be the responsibility of the SUBRECIPIENT to notify the City promptly in writing whenever
a delay is anticipated or experienced and to inform the City of all facts and details related to the
delay.
2. SUBRECIPIENT agrees that all housing constructed with HOME-ARP funds shall meet all
applicable State and local construction codes and zoning ordinances at the time of Project
completion. SUBRECIPIENT will ensure that all applicable permits are obtained prior to work
commencing.
3. No HOME-ARP Project funds will be advanced, and no costs can be incurred until the City
has conducted an environmental review of the proposed Project site as required under 24 CFR
Part 58. The environmental review may result in a decision to proceed with, modify, or cancel
the Project. Notwithstanding any provision of this Agreement, the Parties hereto agree and
acknowledge that this Agreement does not constitute a commitment of funds or site approval
and that such commitment of funds or approval may occur only upon satisfactory completion of
environmental review and receipt by the City of a release of funds from HUD under 24 CFR
Part 58. Further, the SUBRECIPIENT will not undertake or commit any funds to be physical or
choice-limiting actions, including property acquisition, demolition, movement, rehabilitation,
conversion, repair, or construction prior to the environmental clearance, and must indicate that
the violation of this provision may result in the denial of any funds under the Agreement.
4. It is understood and agreed by the parties hereto that this Agreement and the
disbursement of funds pursuant to this Agreement are governed by the provisions of 24
CFR Part 92, the HOME Program, including the 2013 HOME Final Rule and any
amendments thereto; that the parties hereto agree to abide by the applicable provisions of
said HOME Program; that references to specific sections of 24 CFR Part 92 and the 2013
HOME Final Rule, herein do not limit the applicability of other sections that are not
specifically mentioned herein; and that in the event of any conflict between any provision
herein and the requirements of 24 CFR Part 92 and the 2013 HOME Final Rule, said
federal requirements shall take precedence.
5. Approval and commitment of HOME-ARP funds may occur only upon successful completion
of an identified project, secured financing for the project, a budget, schedule, underwriting,
subsidy layering, construction is scheduled to begin within twelve (12) months, and an
environmental review and receipt by the City of a release of funds from HUD under 24 CFR
Part 58.
6. SUBRECIPIENT will ensure that any expenditure of HOME-ARP funds will be in compliance
with the requirements at 24 CFR § 92.206 and the HOME-ARP Notice and acknowledges that
HOME-ARP funds will only be provided as reimbursement for eligible costs incurred, including
actual expenditures or invoices for work completed.
7. In the selection of occupants for Project units, SUBRECIPIENT shall comply with all non-
discrimination requirements of 24 CFR § 92.350. If the Project consists of five (5) or more units,
the SUBRECIPIENT will implement affirmative marketing procedures as required by 24 CFR §
92.351.
8. If any project under this Agreement involves the construction or rehabilitation of twelve (12)
or more HOME-ARP-assisted units, SUBRECIPIENT shall comply with the provisions of the
Davis-Bacon Act (40 U.S.C. § 3141—§ 3148, formerly cited as 40 U.S.C. § 276a to 276a-7).
9. SUBRECIPIENT shall establish procurement procedures to ensure that materials and
services are obtained in a cost-effective manner. When procuring for services to be provided
under this Agreement, SUBRECIPIENT shall comply at a minimum with the nonprofit
procurement standards at 2 CFR Part 200 (formerly cited as 24 CFR § 84.40-84.48).
10. Before committing funds to the Project, City will ensure that an evaluation of the Project is
complete including, but not limited to, an underwriting review, assessment of SUBRECIPIENT
capacity and fiscal soundness, examination of the neighbor-market conditions, and assurance
that there is adequate need for the Project in accordance with 24 CFR Part 92 and the 2013
HOME Final Rule. The City will also ensure prior to signing the said contract with
SUBRECIPIENT that the SUBRECIPEINT has adequate development capacity and fiscal
soundness in conformance with 24 CFR Part 92 and the 2013 HOME Final Rule.
11. Prior to commencing any work, SUBRECIPIENT is responsible for clearing all contractor(s)
and subcontractor(s) through HUD's system for identifying businesses and individuals that
have been debarred or are otherwise ineligible to be paid with federal funds in compliance with
24 CFR § 92.350.
12. HOME-ARP-assisted units must meet and be maintained with the property standards in
Section VI.B.11 in the HOME-ARP Notice at project completion and throughout the compliance
period.
13. Housing must meet accessibility requirements of 24 CFR Part 8, which implements Section
504 of the Rehabilitation Act of 1973 (29 U.S.C. § 794), and Titles II and III of the Americans
with Disabilities Act (42 U.S.C. §§ 12131-12189) implemented at 28 CFR Parts 35 and 36, as
applicable. Covered multifamily dwellings, as defined at 24 CFR § 100.201, must also meet the
design and construction requirements at 24 CFR § 100.205, which implements the Fair
Housing Act.
14. Where relevant, the housing must be constructed to mitigate the impact of potential
disasters in accordance with state and local codes, ordinances, or other State and local
requirements, or such requirements as HUD may establish.
15. City must ensure that the construction contract and construction documents describe the
work to be undertaken in adequate detail so that inspections can be conducted. The City will
review and approve written cost estimates for construction and determine that costs are
reasonable.
16. The City must conduct progress and final inspections of construction to ensure that work is
done in accordance with the applicable codes, the construction contract, and construction
documents.
17. Housing projects and activities will be monitored with on- site inspections on a day to day
basis as follows to ensure compliance with Federal, State, local codes, ordinances, regulations
and standards: 1 . On- site inspections and monitoring of construction activities are conducted
on a periodic basis as needed by certified and qualified City staff to ensure homes are
developed and provided in compliance with the following Building Codes: IRC 2012, IPC 2012,
NEC 2011, IECC 2012 and IFC 2012, IMC 2012, ADA 2012 and all such associated codes that
shall be complied with in producing. In addition, the most current specifications, codes,
ordinances, regulations and standards will be enforced. 2. Written documentation of
construction progress, including pictures of the phases of construction are required. 3. Critical
inspections are conducted as follows: a. Footings, Termite Treatments & Foundations b.
Framing c. Roofing d. Plumbing e. Electrical f. Mechanical g. Sheetrock h. Painting & Trim i.
Installation of exterior siding ( or brick veneer), j. Installation of cabinets and flooring k.
Landscaping 1. 4. Funds are not disbursed until phases of construction are inspected by
Certified Inspectors, authorized representatives from the Housing and Neighborhood
Revitalization Division, the CHDO and the Contractor in attendance. 5. CHDOs and Vendors
performance are evaluated and reviewed prior to execution of agreements and annually. 6.
Other inspections will be provided as required.
APPROVED IN FORM:
Val Tizeno
City Attorney
CITY OF PORT ARTHUR
Ron Burton
City Manager
ATTEST:
Sherri Bellard
City Secretary
TENDER LOVING CARE DBA
LEGACY COMMUNITY DEVELOPMENT CORPORATION
Vivian Ballou
Executive Director
Date
EXHIBIT A
Performance Statement
Legacy Community Development Corporation
Subrecipient shall carry out the following HOME-ARP activities:
The Subrecipient shall provide HOME-ARP funds to rehabilitate nineteen (19) single-
family units.
The units are located at:
1. 549 Gulfway Drive—Units A and B
2. 737 11 th Street
3. 800 10th Street
4. 808 10th Street—Units A, B, C, and D
5. 2547 9th Street—Units A and B
6. 2838 15th Street—Units A and B
7. 2848 15th Street—Units A and B
8. 2929 18th Street—Units A, B, C, and D
9. 2741 19th Street
All receipts and copies of canceled checks must be attached to a reimbursement statement.
Subrecipient shall complete these activities by utilizing Two Hundred Sixty Thousand and No/100
Dollars ($260,000.00) of contract funds.
EXHIBIT B
Budget
Legacy Community Development Corporation
Activity Contract Other TOTAL
Funds Funds FUNDS
1. Rehabilitation $260,000.00 $260,000.00
And Insurance
TOTAL FUNDS $260,000.00 $260,000.00
EXHIBIT C
REIMBURSEMENT STATEMENT
Legacy Community Development Corporation
HOME-ARP
Reporting Period
Contract Funds
Activity Amount Requested Balance
Rehabilitation and S260,000.00 $ $
Insurance
TOTAL REQUEST $
Contract Amount $260,000.00
Total Expended: ($ )
(Current invoices+ previous invoices)
Remaining Balance $
Executor Director Date
Please include copies of invoices and canceled checks.
2023 HOME-ARP INCOME VERIFICATION FORM
NAME:
ADDRESS:
AGE:
RACE: You may check one or more of the boxes below for the race:
Ethnicity White Black/ Asian American Native American Black/African Other
African Indian/Alaskan HawaiianlOther Indian/ American and Multi-
American Native Pacific Islander Alaskan White Race
Native
and White
Hispanic
Non-
Hispanic
Ethnicity:check either Hispanic or Non-Hispanic
Eligible participant's total family income cannot exceed the following income limits based on family size:
Each participant must live in the City of Port Arthur,Texas.
Please check the appropriate box:
*FY 22 Household Size
Income 1 Person 2 Persons 3 Persons 4 Persons 5 Persons 6 Persons 7 Persons 8 Persons
Level
Extremely $16,350 $18,700 $21,050 $23,350 $25,250 $27,100 $29,000 $30,850
Low(30%of
AMI)
Very Low $27,300 $31,200 $35,100 $38,950 $42,100 $45,200 $48,300 $51,450
(50%of
AMI)
Low Income $43,650 $49,850 $56,100 $62,300 $67,300 $72,300 $77,300 $82,250
(80%)of
AMI
9 or more family members add$2,200 per child
HOME-ARP Qualifying Populations
1. Homeless—as defined in 24 CFR 91.5 Homeless(1), (2), (3)
2.At risk of homelessness—as defined in 24 CFR 91.5 At risk of homelessness
3. Fleeing,or attempting to flee,domestic violence,dating violence,sexual assault,stalking, or human trafficking—as
defined by
the U.S. Department of Housing and Urban Development(HUD)
4.Other Populations—those who do not qualify under the other three QP definitions but meet one of the Other Populations
criteria identified in Section IV of the HOME-ARP Notice.
Household Type (select one): Single-non-elderly; Elderly; Single Parent; Two Parents; other
I certify that the foregoing is true and accurate to the best of my knowledge:
Signature Date
Please attach a copy of each person's Social Security Card,Identification Card,
*Income source documentation(wage statement,unemployment compensation,public benefits,bank statements,etc).
EXHIBIT D
The Applicable Laws and Regulations
Subrecipient shall comply with all federal, state, and local laws and regulations applicable to the
activities and performances rendered by Subrecipient under this contract including, but not limited to,the
laws and regulations specified in Section I through IV of this Exhibit D.
I. CIVIL RIGHTS
The Fair Housing Act(42 U.S.C. 3601-20) and implementing regulations at 24 CFR part 10;
Executive Order 11063, as amended by Executive Order 11063, as amended by Executive Order
12259 (3 CFR, 1958-1963 Comp., 652 and 3 CFR, 1980 Comp., p. 307) (Equal Opportunity in
Housing and implementing regulations at 24 CFR, Part 107; and title VI of the Civil Rights Act
of 1964 (42 U.S.C. 2000d) (Nondiscrimination on Federally Assisted Programs) and
implementing regulations issued at 24 CFR, Part 1;
Executive Order 11063, as amended by Executive Order 12259, and 24 CFR part 107,
"Nondiscrimination and Equal Opportunity in Housing under Executive order 11063 or 24
CFR, Part 107 shall be a proper basis for the imposition of sanctions specified in 24 CFR
107.60;
The prohibition against discrimination on the basis of age under the Age Discrimination Act of
1975 (42 U.S.C. 6101-07)and implementing regulations at 24 CFR, Part 146, and the
prohibitions against discrimination against handicapped individuals under Section 504 of the
Rehabilitation Act of 1973 (29 U.S.C. 794) and implementing regulations at 24 CFR, Part 8;
The requirements of Executive Orders 1246(3 CFR 1964-65, Comp.,p. 339) (Equal
Employment Opportunity) and the implementing regulations issued at 4I CFR,
Chapter 60.
The requirements of Executive Orders 11625 and 12432 (concerning Minority Business
Enterprise), and 12138 (concerning Women's Business Enterprise). Consistent with HUD's
responsibilities under these Orders, each applicant must make efforts to encourage the use of
minority and women's business enterprises in connection with HOME funded activities. Each
Contractor must prescribe procedures acceptable to the City to establish activities to ensure the
inclusion, to the maximum extent possible, of minorities and women, and entities owned by
minorities and women. The Contractor/Subcontractor will be required to identify contracts which
have been bid by minority owned,women owned, and/or small disadvantaged businesses.
The Age Discrimination Act of 1975 (42 U.S.C., Section 6101 et seq.);
Section 504 of the Rehabilitation Act of 1973 (29 U.S.C., Section 794) and "Nondiscrimination
Based on Handicap in Federally-Assisted Programs and Activities of the Department of Housing
and Urban Development", 24 CFR, Part 8. By signing this contract, Contractor understands and
agrees that the activities funded herein shall be operated in accordance with 24 CFR, Part 8; and
•
the Architectural Barriers Act of 1968 (42 U.S.C., Section 4151 et. seq.), including the use of a
telecommunications device for deaf persons (TDDs) or equally effective communication system.
II. ENVIRONMENTAL STANDARDS
Environmental Review Procedures for Title I Community Development Block Grant
Programs, 24 CFR Part 58, as amended in 47 Fed. Reg. 15750 (April 12, 1982);
24 CFR Part 51, Environmental Criteria and Standards.
P. R. #23186
05/23/2023 M. Essex
Page 6 of 3
ATTACHMENT "D"
CITY OF PORT ARTHUR
HOME INVESTMENT PARTNERSHIP GRANT PROGRAM FOR
HOME-ARP CONTRACT FOR A
NON-PROFIT SUBRECIPIENT
STATE OF TEXAS §
CITY OF JEFFERSON §
SECTION 1. PARTIES TO THE CONTRACT
This contract and agreement are made and entered into by and between the City of Port
Arthur, Texas (hereinafter called the "City") acting herein by its Mayor and City Manager, duly
authorized by Resolution of the City Council of the City of Port Arthur and Tender Loving Care
Center for Children dba Legacy Community Development Corporation, Jefferson County,
Texas (hereinafter called "Subrecipient") acting herein by its President/CEO, duly authorized by
its Board of Directors. The parties hereto agree, by the execution hereof, that they are bound to
the mutual obligations and to the performance and accomplishment of the tasks described
herein.
WITNESSETH THAT:
WHEREAS, the American Rescue Plan went into effect on March 11, 2021, and
included funding for the HOME Investment Partnership Grant; and,
WHEREAS, the City of Port Arthur made an application for HOME Investment
Partnership Grant American Rescue Plan (HOME-ARP) Entitlement funds from the U. S.
Department of Housing and Urban Development, herein referred to as "HUD," under Title I of
the Housing and Community Development Act of 1974, as amended, Public Law 93-383; and,
WHEREAS, The City of Port Arthur has been awarded ONE MILLION FOUR
HUNDRED FIFTY-THREE AND 00/100 Dollars ($1,000,453) in HOME-ARP Entitlement funds;
and,
WHEREAS, the City of Port Arthur is undertaking certain activities to develop a
viable community by providing decent housing, a suitable living environment, and expanding
economic opportunities principally for HOME-ARP Qualifying Populations, as described in the
HOME-ARP Program applications; and,
WHEREAS, THE Subrecipient has requested funds from the City for the benefit
of HOME-ARP Qualifying Populations; and,
11P :
WHEREAS, the City and Subrecipient desire to enter into an Agreement in
accordance with 24 Code of Federal Regulations (CFR) Part 92 and the HOME-ARP Notice,
Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal
Awards to provide the Subrecipient a sub-award from HOME-ARP funds to carry out Project
activities in compliance with the HOME-ARP Program application; and,
WHEREAS, the Subrecipient's use and benefit of HOME-ARP funds is contingent
upon execution of funding approval Agreement by the City and HUD; and,
WHEREAS, the funding and other City administration of this agreement shall be
through the City of Port Arthur Community Development Department; and,
WHEREAS, Exhibits A, B, and C are essential to this Agreement, attached
hereto, and incorporated herein by reference.
NOW, THEREFORE, in consideration of the mutual covenants, promises, and representations
contained herein, the parties hereto agree as follows:
ARTICLE I
WHEREAS CLAUSES
The WHEREAS clauses set forth above are incorporated herein by reference and made
a part of this Agreement.
ARTICLE II
DEFINITIONS
1. The City means the City of Port Arthur.
2. The "Subrecipient" means Tender Loving Care Center for Children dba Legacy
Community Development Center.
3. "HUD" means Department of Housing and Urban Development.
4. "HOME-ARP" means HOME Investments Partnership Program American Rescue Plan.
5. "HOME Administrator" means the Grants Manager.
6. "HOME-ARP Notice" means HUD's Notice CPD-21-10.
7. "HOME Regulations" refers to Federal regulations CFDA 14.239.
8. "AMI" means the Area Median Income for the City of Port Arthur.
9. "FMR" means the Fair Market Rent for the City of Port Arthur.
10. "City approval" means the written approval of the City of Port Arthur.
11. "Allocated Sum" refers to the total amount of the budget allocated for this project as
shown in Exhibit "A."
12. Business Day(s) shall mean Monday to Friday and do not include public holidays and
weekends.
2IIJa L
ARTICLE III
STATEMENT OF WORK
1. Project: Subrecipient shall utilize HOME-ARP Funds to perform the scope of
services set forth in Exhibit A of this Agreement ("Project") for the City in full and
complete accordance with this Agreement.
2. Schedule: The Subrecipient shall perform the Project in accordance with the
schedule and deadlines set for in Exhibit A.
ARTICLE IV
BUDGETS
In consideration of the provision of services by the Subrecipient, the City is
allocating an amount of$375,367 ("Allocated Sum") towards the Project described in Article III
above. Additional requirements of the Project shall be as described in Exhibit A, attached
hereto, and incorporated by reference. The Allocated Sum is to be requested within a period of
twenty-four (24) months from the Effective Date of this Agreement.
The City and the SUBRECIPIENT may agree to revise the budget in accordance
with HOME-ARP regulations and existing City policies. Expenditures reimbursed with HOME-
ARP funds shall be limited to eligible activities as determined by the City for the Project as
described in Article III.
ARTICLE V
TERM OF AGREEMENT
1. The term of this Agreement ("Term") shall commence on the last date signed by
the Parties below ("Effective Date") and shall remain in full force and effect for two (2)
years unless earlier terminated as provided herein in Article XII.
2. Upon written request on letterhead from the Subrecipient, the Term may be
extended up to two (2) months past the expiration date upon approval from the City
Council. The letter must be dated and signed before the expiration of the Agreement
by a person with signature authorization.
3IP �� ,
ARTICLE VI
FUNDING
Funding Delivery: The HOME-ARP funding shall be delivered to the Subrecipient or the
Subrecipient's vendor in accordance with the terms of this Agreement.
Eligible expenditures made during the Term of this Agreement shall be reimbursed
pursuant to the terms of this Agreement. Notwithstanding the foregoing, funding may be
suspended in the event Quarterly Performance Reports (Exhibit C, attached hereto) are not
timely submitted to the City.
Reimbursement by the City of the Allocated Sum to the SUBRECIPIENT shall be
submitted quarterly using the forms attached as Exhibit C, Request for HOME-ARP
Reimbursement, and Quarterly Performance Report. Payment requests must comply with the
applicable requirements of 2 CFR Part 200 and must meet the following criteria:
1. The SUBRECIPIENT shall submit to the City, through the Community Development
Department, any and all documents requested by the City verifying the request for
payment, herein "Verifying Documents." Verifying Documents may include, but are not
limited to:
a. When HOME-ARP reimbursement is sought for salaries or related benefits for
employees, individual timesheets must be kept. Benefits may only be claimed for the
portion of the salary being requested. Timesheets must identify funding sources for
the employee. HOME-ARP and other activities undertaken by the employee must be
documented on the timesheet with the date, times, and the number of hours worked.
Timesheets must differentiate between hours charged to HOME-ARP and hours not
charged to HOME-ARP and must document the specific HOME-ARP-related activity
worked on and the date and the number of hours worked. Timesheets must be
signed by the employee and an individual with signatory authority pursuant to the
governing documents of the Subrecipient (i.e., corporate bylaws or resolution), and
all applicable canceled checks (front and Back) or a bank statement, if the canceled
checks are not legible, are required. Include the employee's name and the eligible
gross wages and benefits being requested for reimbursement for each employee. If
health or other benefits are being reimbursed, proof of those items must be included
in the invoice.
b. When reimbursement is sought for services or materials, a copy of the applicable
invoice or receipt for materials or services for each eligible expense. Invoices must
include a description of the materials or services purchased. A cost is eligible for the
HOME-ARP Program only if the cost is necessary to the overall completion of the
Project. If there is a disagreement between the Parties regarding whether an item
was necessary to the overall completion, the final decision shall be made by the City.
Documentation of eligible costs shall include a copy of the front and back of the
canceled check, bank statement, or credit card statement used in payment,
reconciled to the applicable expense.
4IPage
c. When direct payment to the vendor is sought for services or materials, a copy of
the applicable invoice or sales contract for each eligible expense is required.
2. The City shall, in its sole discretion, determine if the Verifying Documents or any
portion of them are acceptable and in strict compliance with the purpose and laws stated
herein and approve them for payment. If the City determines there are any errors in the
Verifying Documents, the City shall notify the Subrecipient. The Subrecipient shall
submit corrected Verifying Documents within ten (10) working days of receipt of the
notice. Payment shall not be made for any Verifying Documents that contain errors, as
determined by the City.
3. Upon determination by the City that Verifying Documents are approved, the City will
initiate the payment process. The City reserves the right to delay any payment request
for Verifying Documents containing errors until such errors are corrected to the
satisfaction of the City.
4. If any costs are disallowed up to five (5) years after the expiration of this Agreement or
until HUD closes out the Project, whichever occurs later, and the City is forced to
reimburse the HOME-ARP Program or HUD, then the Subrecipient shall reimburse the
City for the said costs.
5. Within ten (10) days after Project completion, the SUBRECIPIENT shall submit the final
request for payment for all eligible expenditures not previously invoiced. The City shall
not be responsible for payments of any charges, claims, or demands of the Subrecipient
not received within the said ten (10) day period; however, such time may be extended at
the City's discretion not to exceed a period of thirty (30) days, provided the delay in its
submission is not caused by any fault or negligence of the Subrecipient.
ARTICLE VII
NOTICES
Unless and to the extent otherwise provided in this Agreement, all notices, demands,
requests for approvals, and other communications which are required to be given by either
party to the other shall be in writing and shall be deemed given and delivered on the date
delivered in person to the authorized representative of the recipient provided below, upon the
expiration of five (5) days following the date mailed by Registered or Certified Mail, Postage
Prepaid, Return Receipt Requested to the authorized representative of the recipient at the
address provided below, or upon the date delivered by overnight courier (signature required) to
the authorized representative of the recipient at the address provided below.
Mary E. Essex
444 4th Street
Port Arthur, Texas 77640
5JPage
ARTICLE VIII
GENERAL COMPLIANCE
The Subrecipient agrees to comply with all applicable Federal, State, and local laws and
regulations which govern the funds provided under this Agreement.
ARTICLE IX
PUBLIC RECORDS
The Subrecipient agrees to comply with all applicable Federal, State, and local laws and
regulations which govern the funds provided under this agreement.
ARTICLE X
RETENTION AND ACCESSIBILITY OF RECORDS
A. The Subrecipient must establish and maintain sufficient records, as determined by City, to
account for the expenditure and use of HOME-ARP funds.
B. Subreccipient shall give the City, the Comptroller General of the United States, or any of their
duly authorized representatives access to and the right to examine all books, accounts, records,
reports, files, and other papers, things or property belonging to or in use by Subrecipient pertaining
to this contract. Such rights to access shall continue as long as the records are retained by
Subrecipient. The Subrecipient agrees to maintain such records in an accessible location.
C. All records pertinent to this contract shall be retained by Subrecipient for five (5) years following
the date of termination of this contract or submission of the final close-out report, whichever is
later, with the following exceptions:
1. If any litigation, claim, or audit is started before the expiration of the five (5) year period and
extends beyond the five (5) year period, the records will be maintained until all litigation, claims, or
audit findings involving the records have been resolved.
2. Records relating to real property acquisition or long-term lease shall be retained for a period
equal to the useful life of any repairs made with HOME-ARP funds.
ARTICLE XI
INDEPENDENT CONTRACTOR
Nothing contained in this Agreement is intended to or shall be construed in any manner
as creating or establishing the relationship of employer/employee between the parties. The
Subrecipient shall at all times remain an independent contractor with respect to the services to
be performed under this Agreement. The City shall be exempt from payment of all
6IPaLc
unemployment compensation, FICA, retirement, life and/or medical insurance, and workers'
compensation insurance.
ARTICLE XII
AMENDMENTS
Except as otherwise provided for herein, this Agreement may not be modified, amended,
or extended orally. This Agreement may be amended only by a written instrument executed by
the governing bodies of both parties. The City and the SUBRECIPIENT may amend this
Agreement at any time provided that such amendments make specific reference to this
Agreement and are executed in writing and approved by the governing bodies of each party.
The City may, at its discretion, amend this Agreement to conform with Federal, State, or local
governmental guidelines, policies, or available funding amounts or for other reasons. If such
amendments result in a change in the funding, the scope of services, or the schedule of
activities to be undertaken as part of this Agreement, such modifications will be incorporated
only by written amendments signed by authorized representatives from both the City and the
Subrecipient.
ARTICLE XIII
SUSPENSION AND TERMINATION
1. Termination:
a. Either party may terminate this Agreement without cause at any time by giving at
least a thirty (30) day written notice to the other party of such termination. The
City may terminate this Agreement with a cause immediately upon written notice
to the Subrecipient. Cause shall include, but is not limited to, SUBRECIPIENT's
failure to strictly comply with 24 CFR § 92.505, all applicable Federal, State, and
local laws, rules, and regulations, default on any of the terms and conditions of
this Agreement, or any substandard performance by the SUBRECIPIENT as
defined herein. Substandard performance shall be any performance indicated by
Verifying Documents but not reflected in the actual performance of the Project. In
the event of substandard performance, the CITY shall notify the SUBRECIPIENT
in writing of such substandard performance. The SUBRECIPIENT shall take
corrective action within a reasonable time, but in no event later than forty-five (45)
days from receipt of the notice from the City.
b. In the event of any termination, all finished or unfinished documents, data,
studies, surveys, maps, models, photographs, reports, or other materials
prepared by the Subrecipient under this Agreement shall, at the option of the City,
become the property of the City, and the Subrecipient shall be entitled to receive
just and equitable compensation for any satisfactory work completed on such
documents or materials prior to the termination.
c. In the event of termination, the City shall not make payment for any additional
costs incurred after the effective date of termination. All work completed prior to
the effective date of the termination may be reimbursed pursuant to the terms of
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the Agreement, provided that all required documents are submitted to the City
within thirty (30) days of the date of termination.
d.
2. Suspension: In lieu of termination upon a finding of cause, as defined in this
article, the City may suspend this Agreement and withhold any payment of the
Allocated Sum until such time as the Subrecipient is found to be in compliance by
the City.
ARTICLE XIV
DOCUMENTATION/RECORD KEEPING/ADMINISTRATIVE REQUIREMENTS
1. Maintenance of Records:
a. The Subrecipient shall maintain all records required by Federal
regulations specified in 2 CFR Part 200 that are pertinent to the
Project herein funded by the Allocated Sum. Such records shall
include, but are not limited to:
(1) Application requesting Project funding.
(2) Executed Subrecipient Agreement approving the
Project, including any amendments to the Agreement.
(3) Records providing a full description of each activity
undertaken.
(4) Records demonstrating eligibility of work performed to
be paid by the Allocated Sum.
(5) Records documenting the acquisition, improvement,
use, or disposition of real property acquired or
improved with the Allocated Sum, if applicable.
(6) Records documenting compliance with the Fair
Housing and Equal Opportunity components of the
HOME Program, if applicable.
(7) Financial records as required by 24 CFR § 92.505, 2
CFR Part 200, and all Financial Management
standards as specified in this agreement.
(8) Copy of Request for HOME-ARP Reimbursement and
Quarterly Performance Reports submitted as required
herein.
b. The Subrecipient shall maintain client data demonstrating client
eligibility for services provided. Such data shall include, but not be
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limited to, the client's name, address, race or ethnic group, age,
income level, head of household status (gender and marital status),
Social Security number, number of bedrooms, tenant contribution,
monthly gross rent, percentage of the median, size of household,
type of contract, status, contract end date, any other basis for
determining eligibility, amounts of rent and security deposit
subsidies provided and calculations of the eligible amounts, actions
undertaken to comply with equal opportunity and fair housing
requirement, and any other applicable data the City may direct from
time to time. Such information shall be made available to the City
for review upon request.
c. Subrecipient will create, maintain, and allow inspection of records
demonstrating the income of all clients served, using the annual
income definition adopted by the City, in accordance with 24 CFR §
5.609(b)(9) (Section 8 definition of household income).
d. Subrecipient will create, maintain, and allow inspection of records
demonstrating all clients served are eligible for HOME-ARP
assistance based on the requirements of the ARP and Section IV of
the HOME-ARP Notice. All clients served must meet the criteria of
the Qualifying Populations in the Section IV.A(1), (2), (3), and (4):
(1) Homeless, as defined in 24 CFR 91.5;
(2) At-risk of homelessness, as defined in 24 CFR 91.5;
(3) Fleeing, or attempting to flee, domestic violence, dating
violence, sexual assault, stalking, or human trafficking as defined by
HUD in 24 CFR 5.2003;
(4) Other populations where providing supportive services or
assistance under section 212(a) of NAHA (42 U.S.C. 12742(a))
would prevent the family's homelessness or would serve those with
the greatest risk of instability as defined in Section IV.A. (4) (1) and
(2) of the HOME-ARP Notice
e. Subrecipient will create, maintain, and allow inspection of records
demonstrating compliance with the conflict of interest requirement of 24
CFR § 92.356.
f. Subrecipient shall create, maintain, and allow inspection of records
demonstrating compliance with debarment and suspension
requirements in 2 CFR part 2424.
g. Subrecipient will create, maintain, and allow inspection of records
demonstrating compliance with affirmative marketing and minority
outreach requirements of 24 CFR § 92.351.
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h. Subrecipient will create, maintain, and allow inspection of records
demonstrating compliance with the applicable uniform administrative
requirements required by Section VIII.D. of the HOME-ARP Notice.
i. Subrecipient will create, maintain, and allow inspection of records
demonstrating compliance with records of emergency transfers
requested under 24 CFR 5.2005 and 24 CFR 92.359 pertaining to
victims of domestic violence, dating violence, sexual assault, or
stalking, including data on the outcomes of those requests.
j. Subrecipient will create, maintain, and allow inspection of records
demonstrating compliance with all other requirements of this
Agreement.
k. Subrecipient will create, maintain, and allow inspection of records
demonstrating that each household qualifying as homeless, records
that meet the requirements in 24 CFR 576.500(b)(1), (2), (3), or (4), as
applicable.
1. Subrecipient will create, maintain, and allow inspection of records
demonstrating that each household qualifying as "at risk of homelessness"
records that meet the requirements in 24 CFR 576.500 ( c )(1) or (2), as
applicable, and include the following documentation of annual income:
(1) Income evaluation form containing the minimum requirements
specified by HUD and completed by the Subrecipient; and
(2) Source documents for the assets held by the household and
income received over the most recent period for which representative data
is available before the date of the evaluation (e.g., wage statement,
unemployment compensation statement, public benefits statement, bank
statement);
(3) To the extent that the source documents are unobtainable, a
written statement by the relevant third party (e.g., employer, government
benefits administrator) or the written certification by the Subrecipient's
intake staff of the oral verification by the relevant third party of the income
the household received over the most recent period for which
representative data is available; or
(4) To the extent that the source documents and third-party
verification are unobtainable, the written certification by the household of
the amount of income the household received for the most recent period
representative of the income that the household is reasonably expected to
receive over the 3-month period following the evaluation.
2. Retention of Records: The Subrecipient shall retain all records pertinent to
expenditures incurred under this Agreement for a period of five (5) years
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after the termination of all activities funded under this Agreement or after
the resolution of all Federal audit findings, whichever occurs later. Records
for nonexpendable property acquired with funds under this Agreement
shall be retained for five (5) years after the final disposition of such
property. Records for any displaced person must be kept for five (5) years
after he/she has received the final payment.
3. Access to Records: The City and the Comptroller General of the United
States or any of their authorized representatives shall have the right of
access to any pertinent books, documents, papers, or other records of
grantees and subgrantees which are pertinent to the grant in order to make
audits, examinations, excerpts, and transcripts. The right of access shall
last as long as any record is required to be retained. The Subrecipient, its
employees, or agents shall provide access during the Term to all related
records and documents for accounts placed with the Subrecipient by the
City at reasonable times to the City, its employees, or agents.
"Reasonable" shall be construed according to the circumstances but
ordinarily shall mean during normal business hours of 8:00 a.m. to 5:00
p.m. Central Standard Time, Monday through Friday. "Agents" shall
include, but not be limited to, auditors retained by the City.
ARTICLE XV
RECORD-KEEPING DISPLACEMENT, RELOCATION, AND REAL PROPERTY
ACQUISITION
Subrecipienet shall create, maintain, and allow inspection of records demonstrating compliance
with the requirements of 24 CFR 92.353 and the provisions of Section VII.F. of the HOME-ARP
Notice regarding displacement, relocation, and real property acquisition, including but not
limited to:
1. Project occupancy lists identifying the name and address of all persons occupying the real
property on the date described in 24 CFR 92.353(c)(2)(i)(A) and occupying the property upon
completion of the project;
2. Lists of all individuals or families occupying hotels and motels and other nonresidential
properties acquired, rehabilitated, and/or demolished and newly constructed to become HOME-
ARP NCS or HOME-ARP rental housing that qualify for assistance under the HOME-ARP
Notices as members of a qualifying population, as well as records indicating whether such
persons were assisted by the HOME-ARP program by the participating jurisdiction following the
closure of the nonresidential properties because of the HOME-ARP activities
3. Lists of all individuals or families occupying HOME-ARP NCS that were converted during the
required use period that qualify for assistance under the HOME-ARP Notice, as well as records
indicating whether moving costs or advisory services were provided as part of HOME-ARP
administrative costs or under the HOME-ARP supportive services activity in Section VI.D of the
HOME-ARP Notice, and records indicating whether such persons were assisted by the HOME-
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ARP program by the participating jurisdiction following the conversion of the HOME-ARP NCS
units.
ARTICLE XVI
HOME-ARP TBRA REQUIREMENTS AND PROVISIONS
SUBRECIPIENT shall disburse the Grant monies through a HOME-ARP TBRA program
that SUBRECIPIENT shall design and administer in accordance with this Article and to the
extent not provided otherwise in this Agreement, in compliance with all requirements under
Section VI.0 of the HOME-ARP Notice, all other applicable provisions of the federal
regulations, and any other laws.
SUBRECIPIENT shall promulgate a written HOME-ARP TBRA program, including
tenant-selection criteria and rental-assistance contracts, and related administrative forms. As
appropriate, the written program may adopt pertinent provisions of this Article by reference to a
Section or sub-Section without repeating them verbatim. The rental assistance contracts and
other forms used to implement the HOME-ARP TBRA program shall meet the requirements for
a "Section 8 Rental Certificate Program" under 24 CFR Part 888 and 24 CFR Part 982.
The TBRA program shall include the following requirements and provisions:
1. SUBRECIPIENT shall use a waiting list to identify and prioritize eligible
households for HOME-ARP TBRA.
2. SUBRECIPIENT shall serve clients that meet the definition of "Qualifying
Population" as defined in Section IV.A(1), (2), (3), and (4)
3. At all times while receiving HOME-ARP TBRA, the selected tenants must reside
in, and the assisted lease premises must be located within Port Arthur, Texas.
4. SUBRECIPIENT shall create and maintain records of compliance with the
housing quality standards, lease terms (including copies of all executed leases),
minimum tenant contributions, actions taken to affirmatively further fair housing, and
all other requirements of the HOME-ARP TBRA program.
5. The Grant monies may not be used to further subsidize the rent of units already
receiving another form of rent subsidy (i.e., public housing or Section 8).
6. The HOME-ARP TBRA program may include assistance with security deposits as
provided in 24 CFR § 92.209(j) and may not exceed the equivalent of two (2) months'
rent for the rental unit. Any refunds of security deposits upon the termination of a
lease, or at any other time, may be paid to the tenant and need not be refunded to
SUBRECIPIENT.
7. SUBRECIPIENT shall enter into a written rental assistance contract complying
with 24 CFR § 92.209 and 24 CFR § 92.253 with each eligible tenant before
12 ( Page
disbursing rental or security deposit assistance funds. The term of each rental
assistance contract must begin on the first day of the term of the tenant's lease and
must terminate on termination of the lease.
8. Each lease must not be for less than one (1) year unless by mutual agreement of
the tenant and the owner. No lease may contain any of the following terms, and each
lease must affirmatively negate all of these terms either in the body of the lease or by
means of an attached addendum that controls notwithstanding any contrary
provisions of the lease:
a. Agreement by the tenant to be sued, to admit guilt, or to a judgment in favor of
the owner in a lawsuit brought in connection with the lease;
b. Agreement by the tenant that the owner may take, hold, or sell personal
property of household members without notice to the tenant and a court decision
on the rights of the parties. This prohibition, however, does not apply to an
agreement by the tenant concerning the disposition of personal property
remaining in the housing unit after the tenant has moved out of the unit. The
owner may dispose of this personal property in accordance with state law;
c. Agreement by the tenant not to hold the owner or the owner's agents legally
responsible for any action or failure to act, whether intentional or negligent;
d. Agreement of the tenant that the owner may institute a lawsuit without notice to
the tenant;
e. Agreement by the tenant that the owner may evict the tenant or household
members without instituting a civil court proceeding in which the tenant has the
opportunity to present a defense or before a court decision on the rights of the
parties;
f. Agreement by the tenant to waive any right to a trial by jury;
g. Agreement by the tenant to waive the tenant's right to appeal, or to otherwise
challenge in court, a court decision in connection with the lease; and
h. Agreement by the tenant to pay attorney's fees or other legal costs even if the
tenant wins in a court proceeding by the owner against the tenant. The tenant,
however, may be obligated to pay costs if the tenant loses.
i. Mandatory supportive services Agreement by the tenant (other than a tenant
in transitional housing) to accept supportive services that are offered.
9. Each lease must provide that the owner may not terminate the tenancy or refuse to renew
the lease of the tenant except for serious or repeated violation of the terms and conditions of
the lease; for violation of the applicable federal, state, or local law; for completion of the
tenancy period, if the tenancy is "transitional housing" or for other good cause Each lease must
provide that to terminate or refuse to renew the tenancy, the owner must serve written notice
13 I I' age
upon the tenant specifying the grounds for the action at least 30 days before the termination of
the tenancy.
10. SUBRECIPIENT shall require each owner that is a party to a lease to adopt written tenant-
selection criteria that:
a. Are consistent with the purpose of providing housing for very low-income and low-
income households;
b. Are reasonably related to the HOME-ARP TBRA program eligibility and the
applicant's ability to perform the obligations of the lease;
c. Give reasonable consideration to the housing needs of households that would have a
federal preference under 24 CFR § 92.209(c)(2);
d. Provide for the selection of tenants from a written waiting list in the chronological
order of their application, insofar as is practicable; and
e. Give prompt written notification to any rejected applicant of the grounds for any
rejection.
11. Neither the City nor SUBRECIPIENT shall be a party to any lease for which assistance is
given under the HOME-ARP TBRA program. The compliance of any lease with the provisions
of this Agreement shall not connote approval or endorsement of the lease by the City or by the
Subrecipient but means only that the lease does not bar the tenant from qualifying for HOME-
ARP TBRA. The HOME-ARP TBRA program shall provide that the tenant's TBRA will be
discontinued if the tenant is evicted by judicial process for cause under the terms of the lease.
12. The rent subsidy for any rental unit paid with Grant monies may not exceed the difference
between the rent standard established by the City for the unit size and thirty percent (30%) of
the monthly adjusted income of the family of the tenant, in accordance with 24 CFR §
92.209(h)(1). The SUBRECIPIENT shall use FY2022 Fair Market Rents by Unit Bedrooms for
the City of Port Arthur Metropolitan Area is attached to this Agreement in Exhibit C.
13. The rent to be paid under each lease must be reasonable, based on rents that are charged
for comparable unassisted rental units. The City shall establish rent standards for various unit
sizes in accordance with 24 CFR § 92.209(h)(3) and shall advise SUBRECIPIENT of the rent
standards applicable from time to time.
14. Housing for which assistance is received under the HOME-ARP TBRA program must meet
and be maintained in accordance with the following standards:
a. The housing quality standards in Section VI.C.9 of the HOME-ARP Notice;
b. Accessibility requirements in the regulations referenced in 24 CFR § 5.105(a), which
implement the Fair Housing Act and Section 504 of the Rehabilitation Act of 1973; and
c. All applicable state and City housing codes and ordinances.
15. SUBRECIPIENT, shall conduct inspections of each rental unit before approving assistance
under the HOME-ARP TBRA program and at least annually thereafter, during the term of the
rental assistance contract to ensure these standards are met. If any rental unit for which
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HOME-ARP TBRA assistance is being given falls below these standards, the City shall
promptly notify SUBRECIPIENT, the tenant, and the owner of the housing of the specific
matters needing correction and shall give a reasonable time (generally ranging from twenty-
four (24) hours for violations that are an imminent health or safety threat, to thirty (30) days for
other problems) for the deficiencies to be corrected. If the deficiencies are not corrected within
the time allowed, the HOME-ARP TBRA Grant monies shall be suspended for that rental unit
until the deficiencies are corrected to the satisfaction of the City. This HOME-ARP TBRA
contract may also be canceled if the deficiencies continued unabated.
16. Each tenant selected to receive assistance must consent in writing for his or her files to be
inspected, copied, and audited by the City, HUD, or any of their agents or employees, and must
waive any confidentiality requirements that may otherwise be breached as a direct or indirect
result of any such inspection, copying, or audit.
17. SUBRECIPIENT shall verify all factors relating to a family's eligibility for HOME-ARP TBRA
that have not already been verified by the City at the time of the application. The verification will
be by means of third-party verification and review of primary documents provided by the
applicant or applicant certification.
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ARTICLE XVII
AUDITS/MONITORING
1. In the event that the Subrecipient expends Seven-Hundred-Fifty-Thousand and
00/100 Dollars ($750,000.00) or more in Federal awards in its fiscal year, the Subrecipient
must have a single or program-specific audit conducted in accordance with the provisions of
Title 2 Code of Federal Regulations (CFR) Part 200, as revised. In determining the Federal
awards expended in its fiscal year, the Subrecipient shall consider all sources of Federal
awards, including Federal resources received from the City. The determination of amounts of
Federal awards expended should be in accordance with the guidelines established by Title 2
CFR Part 200, as revised. An audit of the Subrecipient conducted by the Auditor General in
accordance with the provision 2 CFR Part 200, as revised, will meet the requirements of this
part.
2. In connection with the audit requirements addressed in Paragraph 1 above, the
Subrecipient shall fulfill the requirements relative to audit responsibilities as provided in 2 CFR
Part 200, as revised.
3. If the SUBRECIPIENT expends less than Seven-Hundred-Fifty-Thousand and 00/100
Dollars ($750,000.00) in Federal awards in its fiscal year, an audit conducted in accordance
with the provisions of 2 CFR Part 200, as revised, is not required. In the event that the
Subrecipient expends less than Seven-Hundred-Fifty-Thousand and 00/100 Dollars
($750,000.00) in Federal awards in its fiscal year and elects to have an audit conducted in
accordance with the provisions of 2 CFR Part 200, as revised, the cost of the audit must be
paid from non-Federal resources.
4. In addition to reviews of audits conducted in accordance with 2 CFR Part 200, as
revised, monitoring procedures may include, but not be limited to, on-site visits by the City
and/or HUD; limited-scope audits as defined by 2 CFR Part 200, as revised; submittal and
review of financial statements; and/or other procedures. By entering into this Agreement, the
Subrecipient agrees to comply and cooperate with any monitoring procedures/processes
deemed appropriate by the City and/or HUD. In the event the City and/or HUD determines that
a limited-scope audit of the Subrecipient is appropriate, the Subrecipient agrees to comply with
any additional instructions provided by the City and/or HUD to the Subrecipient regarding such
audit. The Subrecipient further agrees to comply and cooperate with any inspections, reviews,
investigations, or audits deemed necessary by the Chief Financial Officer or Auditor General.
5. Inspector General: In those instances where state funding is involved, the
Subrecipient and its subcontractors must agree to cooperate with the inspector general in any
investigation, audit, inspection, review, or hearing. By entering into this Agreement, the
Subrecipient certifies it understands and will comply with this provision.
6. If the Subrecipient is not subject to the audit requirements found at 2 CFR Part 200,
Subpart F, a financial report in accordance with FAS Statement No. 117, Financial Statement
of Not-for-Profit Organizations, as amended, shall be submitted to the City within thirty (30)
days after the end of its fiscal year.
16I
7. Monitoring provides information for making an informed judgment about program
effectiveness and management efficiency, as well as identifying internal weaknesses that may
contribute to fraud or abuse. The monitoring procedures established for the Subrecipient may
include, but are not limited to, on-site visits by the City or HUD; limited-scope audits as defined
by 2 CFR Part 200, as revised; submittal and review of financial management statements as
defined by FAS Statement No. 117, performance reports; and other procedures as determined
necessary.
8. By entering into this Agreement, the Subrecipient agrees to comply and cooperate
with any monitoring procedures/processes deemed appropriate by the City and/or HUD. In the
event the City or HUD determines that more than a limited-scope audit of the Subrecipient is
appropriate, the Subrecipient agrees to comply with any additional instructions provided by the
City or HUD to the Subrecipient regarding such audit. The Subrecipient further agrees to
comply and cooperate with any inspections, reviews, investigations, or audits deemed
necessary by the City, Chief Financial Officer, or Auditor General. 9. A copy of the audit or
financial management report must be provided to the Community Development Department
within thirty (30) days after receipt by the Subrecipient.
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ARTICLE XVIII
PERFORMANCE, SUBCONTRACTS, AND AMENDMENTS
1. Performance Monitoring: The City shall monitor the performance of the Subrecipient
against goals, performance standards, and requirements herein. Substandard performance, as
determined by the City, in its sole and absolute discretion, shall constitute noncompliance of
this Agreement. If such substandard performance is not corrected by the Subrecipient within a
reasonable time period, as determined by the City, after being notified by the City of it, in
accordance with Article XIII, contract suspension or termination procedures may be initiated
and enforced in accordance with regulations set forth in 2 CFR Part 200, Subpart D, and Article
XIII herein. In no case shall a reasonable period of time to begin the correction of substandard
performance be shorter than seven (7) days or longer than ninety (90) days unless otherwise
provided herein. Notwithstanding the foregoing, the City hereby agrees that any cure of any
default made or tendered by the Subrecipient's investor limited partner (or their affiliates, or
their successors or assigns) shall be deemed to be a cure by the Subrecipient and shall be
accepted or rejected on the same basis as if made or tendered by Subrecipient.
2. Reporting requirements: The Subrecipient will inform the monitoring agent secured by
HUD that the City must receive a copy of all documents relating to the monitoring and
compliance of the Project.
3. Laws: The Subrecipeint shall not enter into any contracts or subcontracts in the
performance of this Agreement without the written consent of the City. All contracts or
subcontracts made by the Subrecipient to carry out the Project shall be made in accordance
with all applicable Federal, State, and local laws, rules, and regulations stipulated in this
Agreement and in strict accordance with all terms, covenants, and conditions in this
Agreement. Any worker's services contracted hereunder shall be specified by written contract
or agreement and shall be subject to each article set forth in this Agreement.
4. Subcontract Monitoring: The Subrecipient shall monitor all subcontracted services on
a regular basis to assure contract compliance. Results of monitoring efforts shall be
summarized in written reports and supported with documented evidence of follow-up actions
taken to correct areas of noncompliance. Such summaries and documents shall be submitted
to the City with each Request for HOME Reimbursement and Quarterly Performance Report to
be reported to HUD.
5. Prior City Approvals: The following includes, but is not limited to, activities that require
the prior written approval of the City to be eligible for payments:
a. All requests for proposals/qualifications, bid packages, proposed advertisements, and
procurement documentation for services prior to award.
b. The initiation of new activities not covered by this Agreement or changes in the
location or the deletion of any activity/activities.
c. Any service(s) or activity/activities other than those described in Article III above.
d. Any proposed revisions to this Agreement.
18 I 1' c
e. Requests to utilize remaining funds should there be a surplus after work is
substantially completed. Requests must be made in writing and signed by an individual with
signatory authority.
ARTICLE XIX
AWARD DELIVERY
HOME-ARP Funds will be awarded as a grant pursuant to the terms of the Agreement
Subrecipient shall be required to enter into a Land Use Restrictive Agreement (LURA) for a
period of 15 years, and such agreement shall be recorded in the Public Records the City The
Allocated Sum shall be secured by a twenty (20) years deferred mortgage and promissory note
on the real property on which the Project is located.
ARTICLE XX
REPAYMENT OF LOAN
1. All HOME-ARP funds are subject to repayment in the event the Project does not meet
the requirements as outlined in this Agreement.
2. It is understood that upon the completion of the Project, any HOME-ARP funds
reserved but not expended under this Agreement will revert to the CITY.
3. Funds will remain a deferred loan for the period of twenty (20) years, at which time the
loan may be forgiven or extended in the sole discretion of the City for another term. Sale of the
property to another party may occur only with the approval of the City, and the purchaser shall
assume all obligations of the Subrecipient under this Agreement, the note and mortgage, and
the deed covenants. Provisions in those documents will provide for the extinguishment of the
requirements only in the event of a third-party foreclosure or deed in lieu of foreclosure.
ARTICLE XXI
CONTRACT LIABILITY
The City shall not be liable to any person, firm, or corporation who contracts with, or provides
goods or services to, the Subrecipient in connection with the services as agreed to perform
hereunder or for debts or claims accruing to such parties against the Subrecipient; and there is
no contractual relationship either expressed or implied between the City and any other person,
firm, or corporation supplying any work, labor, services, goods, or materials to the Subrecipient
as a result of the Subrecipient's services to the City hereunder.
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ARTICLE XXII
PROGRAM INCOME
The Subrecipient shall record the receipt and expenditure of Program Income, as defined in 24
CFR § 92.503(a) ("Program Income"), as part of the financial transactions of the grant-funded
Project. The use of Program Income by the Subrecipient shall comply with the requirements set
forth in 24 CFR § 92.503. The Subrecipient may use Program Income during the Term of this
Agreement for activities permitted under this Agreement and shall reduce requests for
additional funds by the amount of any such Program Income on hand. The Subrecipient shall
submit a detailed accounting of the receipt and use of Program Income as indicated in Exhibit
C, attached hereto and incorporated herein, in conjunction with quarterly reporting that is
required. All unused Program Income with interest shall be returned to the City at the end of the
Term. The City shall return these monies to HUD.
ARTICLE XXIII
REVERSION OF ASSETS
Upon expiration or termination of this Agreement, the Subrecipient shall transfer to the City any
Allocated Sum that has not been specifically allocated for the Project pursuant to this
Agreement, as specified in 24 CFR § 92.504(c)(2)(vii).
ARTICLE XXIV
INDEMNIFICATION
The Subrecipient shall defend, hold harmless, and indemnify the City and all of its officers,
agents, and employees, whether current or former, from and against any and all actions,
claims, liabilities, losses, damages, costs, attorney's fees, charges, or expenses of whatever
kind or nature which the City may sustain, suffer, incur, or be required to pay by reason of the
loss of any monies paid to the Subrecipient resulting out of fraud, defalcation, dishonesty, or
failure of the Subrecipient to comply with the Housing and Community Development Act of
1974 and its regulations; or arising out of any act, action, neglect, or omission during the
performance of this Agreement, any part thereof, or work performed hereunder, whether direct
or indirect; or by reason or result of injury caused by the Subrecipient's or subcontractor's willful
or negligent maintenance or supervision of the property or work performed; or by reason of a
judgment over and above the limits provided by the insurance required under Article XXV of
this Agreement; or by any defect in the condition or construction of the Project if the Project
was inspected and accepted by the Subrecipient; whether or not due to, or caused by
negligence of the City or any of its agents and employees. Only a final adjudication judgment
finding the City solely negligent shall excuse the performance of this provision by the
Subrecipient. The Subrecipient shall pay all costs and fees related to this obligation and its
enforcement by the City. This Article XXIV shall survive any termination, cancellation, or
expiration of this Agreement.
20II) ,
ARTICLE XXV
INSURANCE
1. The Subrecipient shall procure and maintain, for the duration of this Agreement,
insurance against claims for injuries to persons or damages to property which may arise from
or in connection with the Subrecipient's operation and use of any real property and any
building, shelter, or similar structures thereon (hereinafter referred to as "Premises"). The cost
of such insurance shall be borne by the Subrecipient.
2. The Subrceipient shall not enter or occupy the Premises until it has obtained all
insurance required herein and such insurance has been approved by the City as provided
herein.
3. The Subrecipient shall furnish certificate(s) of insurance on the form required by the
City to the City. The certificate(s) shall clearly indicate the Subrecipient has obtained insurance
of the type, amount, and classification required for strict compliance with this Agreement and
that no reduction in coverage or in limits, suspension, or cancellation of the insurance shall be
effective without thirty (30) days prior written notice as provided below. The certificate(s) shall
be signed by a person authorized by that insurer to bind coverage on its behalf. The City
reserves the right to require complete, certified copies of all required policies at any time. Each
insurance policy required by this Agreement shall be endorsed to state that coverage shall not
be suspended, voided, canceled, reduced in coverage or in limits, except after thirty (30) days
prior written notice by Certified Mail, Return Receipt Requested, has been given to the City to
the attention of the Pasco City Community Development Director. In the event the insurance
coverage expires prior to the termination or end of this Agreement, a renewal certificate shall
be issued thirty (30) days prior to the expiration date. Compliance with the foregoing
requirements shall not relieve the Subrecipient of the liability and obligations under this
Agreement. Neither approval by the City or a failure to disapprove insurance certificates or
policies furnished by the Subrecipient shall release the Subrecipient of full responsibility for all
liability or its obligations under this Agreement.
4. All insurance policies shall be issued by responsible companies authorized to do
business under the laws of the State of Texas, have an "A" policyholders' rating, have a
financial rating of at least Class VIII in accordance with the most current Best's Key Rating
Guide, and shall be satisfactory to the City. All policies of insurance required by this Agreement
shall be primary insurance with respect to the City, its officials, agents, and employees. Any
insurance or self-insurance maintained by the City, its officials, agents, or employees shall be
in excess of the Subrecipient's insurance and shall not contribute to it. All policies of insurance
required by this Agreement, except workers' compensation, shall specifically provide that the
City shall be an "additional insured" under the policy and shall contain a Severability of
Interests provision. All insurance policies required herein and all provisions hereof shall apply
to all operations, activities, or use by the Subrecipient or by anyone employed by or contracting
with the Subrecipient, and it is the Subrecipient's responsibility to ensure that any contractor,
subcontractor, or anyone directly or indirectly employed by any of them complies with those
insurance provisions and that the City is an "additional insured" on such policies. Any
deductibles or self-insured retentions must be declared to and approved by the City and are the
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responsibility of the Subrecipient. The minimum types and limits of coverage to be carried by
the Subrecipient shall be as follows:
a. Workers' Compensation and Employer's Liability:
If the Subrecipient falls under the State of Texas Workers' Compensation law, the Subrecipient
shall provide coverage for all employees. The coverage shall be for the statutory limits in
compliance with the applicable State and Federal laws. The policy must include employer's
liability with a limit of One Hundred Thousand and 00/100 Dollars ($100,000.00) for each
accident. The insurer shall agree to waive all rights of subrogation against the City, its officials,
agents, and employees.
b. Comprehensive General Liability:
Shall include premises and/or operations, broad form property damage, independent
contractor, contractual liability, and fire legal liability, and shall be written on an "occurrence
basis." In the event Subrecipient is only able to secure coverage on a "claims-made basis," the
Subrecipient shall be obligated, by virtue of this Agreement, to maintain tail coverage in effect
with no less limits of liability, nor any more restrictive terms and/or conditions, for a period of
three (3) years from expiration or termination of this Agreement.
c. Bodily injury and personal injury, including death:
• $1,000,000.00 each person;
• $2,000,000.00 aggregate;
• $1,000,000.00 each occurrence;
• $2,000,000.00 aggregate.
ARTICLE XXVI
NONASSIGNABILITY
The Subrecipient may not assign this Agreement without the prior written consent of the City.
ARTICLE XXVII
HEADINGS
All articles and descriptive headings of paragraphs in this Agreement are inserted for
convenience only and shall not affect the construction or interpretation hereof.
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ARTICLE XXVIII
CONTRACT EXECUTION
This Agreement may be executed in whole or in part, and each fully executed part shall be
deemed an original instrument.
ARTICLE XXVIX
COMPLIANCE
The Subrecipient agrees to comply with any City or State civil rights ordinances; Title XI of the
Civil Rights Act of 1964, as amended; Title XIII of the Civil Rights Act of 1968, as amended;
Section 109 of Title I of the Housing and Community Development Act of 1974; the Americans
with Disabilities Act of 1990; the Age Discrimination Act of 1975; and Executive Orders 11063
and 11246, as amended by Executive Orders 11375 and 12086.
ARTICLE XXX
UNIFORM ADMINISTRATIVE REQUIREMENTS
The Subrecipient shall comply with 24 CFR § 92.505, and adhere to accounting principles and
procedures required therein, utilize adequate internal controls, and maintain necessary source
documentation for all costs incurred. The Subrecipient shall administer the Project in
conformance with Section VIII.D. of the HOME-ARP Notice, as amended.
ARTICLE XXXI
NONDISCRIMINATION
The Subrecipient will not discriminate against any employee or applicant for employment
because of race, color, creed, religion, ancestry, national origin, sex, disability, other
handicaps, age, marital status, or status with regard to public assistance. To the extent
Subrecipient has employees, the Subrecipient will take affirmative action to ensure that all
employment practices prohibit such discrimination. Such employment practices include but are
not limited to, the following: hiring, upgrading, demotion, transfer, recruitment or recruitment
advertising, lay-off, termination, rates of pay or other forms of compensation, and selection for
training, including apprenticeship. The Subrecipient agrees to post in conspicuous places,
available to employees and applicants for employment, notices setting forth the provisions of
this nondiscrimination clause.
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ARTICLE XXXII
REHABILITATION ACT OF 1973, SECTION 504
The Subrecipient agrees to comply with any Federal regulations issued pursuant to compliance
with Section 504 of the Rehabilitation Act of 1973 (29 United States Code of Law (U.S.C.) §
794) which prohibits discrimination against the handicapped in any Federally assisted program.
The City shall provide the Subrecipient with any guidelines necessary for compliance with that
portion of the regulations during the term of this Agreement.
ARTICLE XXXII!
LABOR STANDARDS
The Subrecipient agrees to comply with the requirements of the Secretary of Labor in accordance
with the Davis-Bacon Act, as amended (48 CFR § 22.403-1); the provisions of contract work hours
and the Safety Standards Act (40 USC § 3701, et seq. and 48 CFR § 22.403-1, 22.403-3); the
Copeland "Anti-Kickback" Act (48 CFR § 22.403-2; 18 U.S.C. § 874, et seq.; 40 U.S.C. § 3141, et
seq., formerly cited as 40 U.S.C. §§ 276a, 327-333); and all other applicable Federal, State, and
local laws and regulations pertaining to labor standards insofar as such acts apply to the
performance of this Agreement. The Subrecipient shall maintain documentation that demonstrates
compliance with an hour and wage requirements of this part. Such documentation shall be made
available to the CITY for review upon request.
ARTICLE XXXIV
HUD ACT OF 1968, SECTION 3
1. Compliance with the provisions of Section 3 of the HUD Act of 1968, the regulations set forth
in 24 CFR Part 75, and applicable rules and orders issued hereunder prior to the execution of
this Agreement shall be a condition of the Federal financial assistance provided under this
Agreement and is binding upon the City, the Subrecipient, and any subcontractors. Failure to
fulfill these requirements shall subject the City, the Subrecipient, and any subcontractors, their
successors, and assigns to those sanctions specified by the agreement through which Federal
assistance is provided. The Subrecipient certifies and agrees that no contractual or other
disability exists which would prevent compliance with these requirements.
2. The Subrecipient agrees to send to each labor organization or representative of workers with
whom it has a collective-bargaining agreement or contract or understanding, if any, a notice
advising the said labor, organization, or workers' representative or its commitments under the
Section 3 clause, and shall post copies of the notice in conspicuous places available to
employees and applicants for employment or training.
3. The Subrecipient will include the Section 3 clause in every subcontract and will take
appropriate action pursuant to the subcontract upon finding that the subcontractor is in violation
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of regulations issued by the City or the Federal government. The Subrecipient will not
subcontract with any sub-contractor where it has notice or knowledge that the latter has been
found in violation of regulations under 24 CFR Part 75 and will not let any subcontract unless
the subcontractor has first provided it with a preliminary statement of ability to comply with the
requirements of these requirements.
ARTICLE XXXV
HATCH ACT
The Subrecipient agrees that no funds provided, nor personnel employed under this
Agreement, shall be in any way or any extent engaged in the conduct of political activities in
violation of 5 U.S.C. § 1501 et seq. as subsequently amended.
ARTICLE XXXVI
CONFLICT OF INTEREST
The Subrecipient covenants that it presently has no financial interest and shall not acquire
financial interest, direct or indirect, which would conflict in any manner or degree with the
performance of services required under this Agreement. The Subrecipient further covenants
that in the performance of this Agreement, no person having such a financial interest shall be
employed or retained by the Subrecipient or subcontractor hereunder, except for services
performed. These conflict of interest provisions apply to any person who is a person, agent,
consultant, officer, or elected official or appointed official of the City or of any designated public
agencies or SUBRECIPIENTS that are receiving funds under this Agreement.
ARTICLE XXXVII
RELIGIOUS ORGANIZATION
The Subrecipient agrees that funds provided under this Agreement will not be utilized for
religious activities, to promote religious interests, or for the benefit of a religious organization in
accordance with the Federal regulations specified in 24 CFR § 5.109.
ARTICLE XXXVIII
LEAD-BASED PAINT
The Subrrecipient agrees that any construction or rehabilitation of residential structures, with
assistance provided under this Agreement, shall be subject to the HUD Lead-Based Paint
Regulations at 24 CFR § 92.355. Such regulations pertain to all HUD-assisted housing and
require that all owners, prospective owners, and tenants for properties constructed prior to
1978 be properly notified that such properties may include lead-based paint. Such notification
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shall point out the hazards of lead-based paints and explain the symptoms, treatment, and
precautions that should be taken when dealing with lead-based poisoning.
ARTICLE XXXVIX
ENVIRONMENTAL CONDITIONS
1. Air and Water: Subrecipient agrees to comply with the following regulation insofar as they
apply to the performance of this Agreement: a. Clean Air Act, 42 U.S.C.§ 7401, et seq.
b. Federal Water Pollution Control Act, as amended; 33 U.S.C. § 1251, et seq., as amended;
and 33 U.S.C. § 1318, relating to inspection, monitoring, entry, reports, and information, as well
as other requirements specified in the said Sections 114 and 308 and all regulations and
guidelines issued thereunder.
c. Environmental Protection Agency Regulations pursuant to 40 CFR Part 50, et seq., as
amended.
d. National Environmental Policy Act of 1969, as amended, 42 U.S.C. § 4331, et seq.
e. HUD Environmental Review Procedures (24 CFR Part 58).
2. Flood Disaster Protection: In accordance with requirements of the Flood Disaster Protection
Act of 1973 (42 U.S.C. § 4001, et seq.), the SUBRECIPIENT shall obtain and maintain flood
insurance under the National Flood Insurance Program for any activities located in an area
identified by the Federal Emergency Management Act as having special flood zones.
ARTICLE XL
HISTORIC PRESERVATION
The Subrecipient agrees to comply with the historic preservation requirements set forth in the
National Historic Preservation Act of 1966, as amended (54 U.S.C. § 300101, et seq. (formerly
cited as 16 U.S.C. § 470)), and the procedures set forth in 36 CFR Part 800, Advisory Council
on Historic Preservation Procedures, for protection of historic properties insofar as they apply
to the performance of this Agreement. In general, this requires concurrence from the State
Historic Preservation Officer for rehabilitation and demolition
of all properties built fifty (50) years ago to assess how the activity could affect a historic
property listed in or eligible for the National Register of Historic Places.
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ARTICLE XLI
CONTINUITY OF SERVICE
1. The Subrecipient may not change the eligible use of the Units, the method of providing
service by excluding properties or persons currently covered, sell or transfer the Units except in
connection with the sale of the Project to an entity that assumes the Subrecipient obligations
under this Agreement and the mortgage and note, or vacate the Units without the CITY's
permission, until the expiration of this Agreement.
2. If the City and the Subrecipient determine, after consultation with the affected citizens, that it
is appropriate to change the use of the property to a use which does not qualify under
Paragraph 1 of this article, the Subrecipient may retain or dispose of the property for the
changed use after the City HOME is reimbursed in the amount of the Allocated Sum. During
the term of the Agreement, the Subrecipient shall give a first right of refusal to eligible nonprofit
organizations for the purchase of the Unit at the current market value so that the Unit may
continue to be occupied by eligible persons as set forth in the mortgage and note.
3. Following the reimbursement of the Allocated Sum in accordance with Paragraph 2 of this
article, the property will no longer be subject to any Program requirements.
ARTICLE XLII
NONEXPENDABLE PROPERTY
Any nonexpendable personal property acquired by the Subrecipient under this project shall be
subject to the provisions of the Housing and Community Development Act of 1974 and its
regulations, including, but not limited to, the provisions on the use and disposition of property
for a period of five (5) years after purchase.
ARTICLE XLIII
REAL PROPERTY PROTECTIONS
1. The City may have inspections of the premises performed by the City, or on its behalf, for
structural integrity and safety.
2. Other than as provided in Exhibit A, the Subrecipient shall not mortgage or otherwise
encumber title to the said real property by utilizing the said real property as collateral for any
type of lien, note, mortgage, debt obligation, or security agreement without prior written
notification to the HOME Administrator.
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ARTICLE XLIV
MAINTENANCE OF PREMISES
The Subrecipient is required to maintain the real property and structures located thereon in a
condition that meets all current housing, safety, and health standards as required by all
applicable federal, state, and local laws, rules, and regulations.
ARTICLE XLV
MISCELLANEOUS
1. Entire Agreement: This Agreement represents the entire agreement between the parties
and supersedes any and all prior agreements, negotiations, or understandings, written or
oral, relating to the matters set forth herein. Prior agreements, negotiations, or
understandings, if any, shall have no force or affect whatsoever on this Agreement. All
parties hereto agree that if any part, term, or covenant of this Agreement is held to be
illegal, unenforceable, or in conflict with any applicable Federal, State, or local laws or
regulations, such part shall be severable, with the remainder of this Agreement valid and
enforceable.
2. Sovereign Immunity: Nothing in this Agreement shall be construed in any way to waive
the sovereign immunity of the City.
3. Applicable Law: This Agreement, when not governed by Federal law, shall be governed
by and interpreted in accordance with the laws of the State of Texas.
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APPROVED IN FORM:
Val Tizeno
City Attorney
CITY OF PORT ARTHUR
Ron Burton
City Manager
ATTEST:
Sherri Bellard
City Secretary
Tender Loving Care Center for Children dba
Legacy Community Development Corporation
Vivian Ballou, Executive Director
Date
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EXHIBIT A
Performance Statement
Legacy Community Development Corporation
Subrecipient shall carry out the following HOME-ARP activities:
The Subrecipient shall provide Tenant Based Rental Assistance to qualifying
populations outlined in HUD's Notice: CPD-21-10. HOME-ARP will also pay for
administrative and operating expenses related to the program.
All receipts and copies of canceled checks must be attached to a reimbursement statement.
Subrecipient shall complete these activities by utilizing Three Hundred Seventy-Five Thousand Three
Hundred Sixty-Seven and No/100 Dollars ($375,367) of contract funds.
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EXHIBIT B
Budget
Legacy Community Development Corporation
Activity Contract Other TOTAL
Funds Funds FUNDS
Tenant-Based Rental Assistance $375,367.00 $375,367.00
And Operating Costs
TOTAL FUNDS $375,367.00 $375,367.00
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EXHIBIT C
REIMBURSEMENT STATEMENT
Tenant-Based Rental Assistance
HOME-ARP
Reporting Period
Contract Funds
Activity Amount Requested Balance
Tenant-Based Rental
Assistance/Operating Costs $375,367.00 $ $
TOTAL REQUEST $
Contract Amount $375,367.00
Total Expended: ($ )
(Current invoices + previous invoices)
Remaining Balance $
Executor Director Date
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2023 HOME-ARP INCOME VERIFICATION FORM
NAME:
ADDRESS:
AGE:
RACE: You may check one or more of the boxes below for the race:
Ethnicity White Black/ Asian American Native American Black/African Other
African Indian/Alaskan Hawaiian/Other Indian/ American and Multi-
American Native Pacific Islander Alaskan White Race
Native
and White
Hispanic
Non-
Hispanic
Ethnicity:check either Hispanic or Non-Hispanic
Eligible participant's total family income cannot exceed the following income limits based on family size:
Each participant must live in the City of Port Arthur,Texas.
Please check the appropriate box:
*FY 22 Household Size
Income 1 Person 2 Persons 3 Persons 4 Persons 5 Persons 6 Persons 7 Persons 8 Persons
Level
Extremely $16,350 $18,700 $21,050 $23,350 $25,250 $27,100 $29,000 $30,850
Low(30%of
AMI)
Very Low $27,300 $31,200 $35,100 $38,950 $42,100 $45,200 $48,300 $51,450
(50%of
AMI)
Low Income $43,650 $49,850 $56,100 $62,300 $67,300 $72,300 $77,300 $82,250
(80%of
AMI)
9 or more family members add$2,200 per child
HOME-ARP Qualifying Populations
1. Homeless—as defined in 24 CFR 91.5 Homeless(1),(2), (3)
2.At risk of homelessness—as defined in 24 CFR 91.5 At risk of homelessness
3. Fleeing,or attempting to flee,domestic violence, dating violence,sexual assault,stalking, or human trafficking—as
defined by
the U.S. Department of Housing and Urban Development(HUD)
4.Other Populations—those who do not qualify under the other three QP definitions but meet one of the Other Populations
criteria identified in Section IV of the HOME-ARP Notice.
Household Type (select one): Single-non-elderly; Elderly; Single Parent;Two Parents; other
I certify that the foregoing is true and accurate to the best of my knowledge:
Signature Date
Please attach a copy of each person's Social Security Card,Identification Card,
*Income source documentation(wage statement,unemployment compensation,public benefits,bank statements,etc).
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EXHIBIT D
The Applicable Laws and Regulations
Subrecipient shall comply with all federal, state, and local laws and regulations applicable to the
activities and performances rendered by Subrecipient under this contract including, but not limited to, the
laws and regulations specified in Section I through IV of this Exhibit D.
CIVIL RIGHTS
The Fair Housing Act(42 U.S.C. 3601-20)and implementing regulations at 24 CFR part 10;
Executive Order 11063, as amended by Executive Order 11063, as amended by Executive Order
12259 (3 CFR, 1958-1963 Comp., 652 and 3 CFR, 1980 Comp.,p. 307) (Equal Opportunity in
Housing and implementing regulations at 24 CFR, Part 107; and title VI of the Civil Rights Act
of 1964 (42 U.S.C. 2000d) (Nondiscrimination on Federally Assisted Programs) and
implementing regulations issued at 24 CFR, Part 1;
Executive Order 11063, as amended by Executive Order 12259, and 24 CFR part 107,
"Nondiscrimination and Equal Opportunity in Housing under Executive order 11063 or 24
CFR, Part 107 shall be a proper basis for the imposition of sanctions specified in 24 CFR
107.60;
The prohibition against discrimination on the basis of age under the Age Discrimination Act of
1975 (42 U.S.C. 6101-07)and implementing regulations at 24 CFR, Part 146, and the
prohibitions against discrimination against handicapped individuals under Section 504 of the
Rehabilitation Act of 1973 (29 U.S.C. 794)and implementing regulations at 24 CFR, Part 8;
The requirements of Executive Orders 1246 (3 CFR 1964-65, Comp.,p. 339) (Equal
Employment Opportunity) and the implementing regulations issued at 4I CFR,
Chapter 60.
The requirements of Executive Orders 11625 and 12432 (concerning Minority Business
Enterprise), and 12138 (concerning Women's Business Enterprise). Consistent with HUD's
responsibilities under these Orders, each applicant must make efforts to encourage the use of
minority and women's business enterprises in connection with HOME funded activities. Each
Contractor must prescribe procedures acceptable to the City to establish activities to ensure the
inclusion,to the maximum extent possible, of minorities and women, and entities owned by
minorities and women. The Contractor/Subcontractor will be required to identify contracts which
have been bid by minority owned, women owned, and/or small disadvantaged businesses.
The Age Discrimination Act of 1975 (42 U.S.C., Section 6101 et seq.);
Section 504 of the Rehabilitation Act of 1973 (29 U.S.C., Section 794)and "Nondiscrimination
Based on Handicap in Federally-Assisted Programs and Activities of the Department of Housing
and Urban Development",24 CFR, Part 8. By signing this contract, Contractor understands and
agrees that the activities funded herein shall be operated in accordance with 24 CFR, Part 8; and
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the Architectural Barriers Act of 1968 (42 U.S.C., Section 4151 et. seq.), including the use of a
telecommunications device for deaf persons(TDDs)or equally effective communication system.
II. ENVIRONMENTAL STANDARDS
Environmental Review Procedures for Title I Community Development Block Grant
Programs,24 CFR Part 58, as amended in 47 Fed. Reg. 15750 (April 12, 1982);
24 CFR Part 51, Environmental Criteria and Standards.
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P. R. #23186
05/23/2023 M. Essex
Page 7 of 3
ATTACHMENT "E"
CITY OF PORT ARTHUR
HOME INVESTMENT PARTNERSHIP GRANT PROGRAM FOR
HOME-ARP CONTRACT FOR A
NON-PROFIT SUBRECIPIENT
STATE OF TEXAS §
CITY OF JEFFERSON §
SECTION 1. PARTIES TO THE CONTRACT
This contract and agreement are made and entered into by and between the City of Port
Arthur, Texas (hereinafter called the "City") acting herein by its Mayor and City Manager, duly
authorized by Resolution of the City Council of the City of Port Arthur and Family Services of
Southeast Texas, Jefferson County, Texas (hereinafter called "Subrecipient") acting herein by
its President/CEO, duly authorized by its Board of Directors. The parties hereto agree, by the
execution hereof, that they are bound to the mutual obligations and to the performance and
accomplishment of the tasks described herein.
WITNESSETH THAT:
WHEREAS, the American Rescue Plan went into effect on March 11, 2021, and
included funding for the HOME Investment Partnership Grant; and,
WHEREAS, the City of Port Arthur made an application for HOME Investment
Partnership Grant American Rescue Plan (HOME-ARP) Entitlement funds from the U. S.
Department of Housing and Urban Development, herein referred to as "HUD," under Title I of
the Housing and Community Development Act of 1974, as amended, Public Law 93-383; and,
WHEREAS, The City of Port Arthur has been awarded ONE MILLION FOUR
HUNDRED FIFTY-THREE AND 00/100 Dollars ($1,000,453) in HOME-ARP Entitlement funds;
and,
WHEREAS, the City of Port Arthur is undertaking certain activities to develop a
viable community by providing decent housing, a suitable living environment, and expanding
economic opportunities principally for HOME-ARP Qualifying Populations, as described in the
HOME-ARP Program applications; and,
WHEREAS, THE Subrecipient has requested funds from the City for the benefit
of HOME-ARP Qualifying Populations; and,
WHEREAS, the City and Subrecipient desire to enter into an Agreement in
accordance with 24 Code of Federal Regulations (CFR) Part 92 and the HOME-ARP Notice,
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Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal
Awards to provide the Subrecipient a sub-award from HOME-ARP funds to carry out Project
activities in compliance with the HOME-ARP Program application; and,
WHEREAS, the Subrecipient's use and benefit of HOME-ARP funds is contingent
upon execution of funding approval Agreement by the City and HUD; and,
WHEREAS, the funding and other City administration of this agreement shall be
through the City of Port Arthur Community Development Department; and,
WHEREAS, Exhibits A, B, and C are essential to this Agreement, attached
hereto, and incorporated herein by reference.
NOW, THEREFORE, in consideration of the mutual covenants, promises, and representations
contained herein, the parties hereto agree as follows:
ARTICLE I
WHEREAS CLAUSES
The WHEREAS clauses set forth above are incorporated herein by reference and made
a part of this Agreement.
ARTICLE II
DEFINITIONS
1. The City means the City of Port Arthur.
2. The "Subrecipient" means Family Services of Southeast Texas.
3. "HUD" means Department of Housing and Urban Development.
4. "HOME-ARP" means HOME Investments Partnership Program American Rescue Plan.
5. "HOME Administrator" means the Grants Manager.
6. "HOME-ARP Notice" means HUD's Notice CPD-21-10.
7. "HOME Regulations" refers to Federal regulations CFDA 14.239.
8. "AMI" means the Area Median Income for the City of Port Arthur.
9. "FMR" means the Fair Market Rent for the City of Port Arthur.
10. "City approval" means the written approval of the City of Port Arthur.
11. "Allocated Sum" refers to the total amount of the budget allocated for this project as
shown in Exhibit "A."
12. Business Day(s) shall mean Monday to Friday and do not include public holidays and
weekends.
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ARTICLE III
STATEMENT OF WORK
1. Project: Subrecipient shall utilize HOME-ARP Funds to perform the scope of
services set forth in Exhibit A of this Agreement ("Project") for the City in full and
complete accordance with this Agreement.
2. Schedule: The Subrecipient shall perform the Project in accordance with the
schedule and deadlines set for in Exhibit A.
ARTICLE IV
BUDGETS
In consideration of the provision of services by the Subrecipient, the City is
allocating an amount of$60,000.00 ("Allocated Sum") towards the Project described in Article
III above. Additional requirements of the Project shall be as described in Exhibit A, attached
hereto, and incorporated by reference. The Allocated Sum is to be requested within a period of
twenty-four (24) months from the Effective Date of this Agreement.
The City and the Subrecipient may agree to revise the budget in accordance with
HOME-ARP regulations and existing City policies. Expenditures reimbursed with HOME-ARP
funds shall be limited to eligible activities as determined by the City for the Project as described
in Article III.
ARTICLE V
TERM OF AGREEMENT
1. The term of this Agreement ("Term") shall commence on the last date signed by
the Parties below ("Effective Date") and shall remain in full force and effect for two (2)
years unless earlier terminated as provided herein in Article XIII.
2. Upon written request on letterhead from the SUBRECIPIENT, the Term may be
extended up to two (2) months past the expiration date upon approval from the City
Council. The letter must be dated and signed before the expiration of the Agreement
by a person with signature authorization.
ARTICLE VI
FUNDING
Funding Delivery: The HOME-ARP funding shall be delivered to the Subrecipient or the
Subrecipient's vendor in accordance with the terms of this Agreement.
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Eligible expenditures made during the Term of this Agreement shall be reimbursed
pursuant to the terms of this Agreement. Notwithstanding the foregoing, funding may be
suspended in the event Quarterly Performance Reports (Exhibit C, attached hereto) are not
timely submitted to the City.
Reimbursement by the City of the Allocated Sum to the SUBRECIPIENT shall be
submitted quarterly using the forms attached as Exhibit C, Request for HOME-ARP
Reimbursement, and Quarterly Performance Report. Payment requests must comply with the
applicable requirements of 2 CFR Part 200 and must meet the following criteria:
1. The SUBRECIPIENT shall submit to the City, through the Community Development
Department, any and all documents requested by the City verifying the request for
payment, herein "Verifying Documents." Verifying Documents may include, but are not
limited to:
a. When HOME-ARP reimbursement is sought for salaries or related benefits for
employees, individual timesheets must be kept. Benefits may only be claimed for the
portion of the salary being requested. Timesheets must identify funding sources for
the employee. HOME-ARP and other activities undertaken by the employee must be
documented on the timesheet with the date, times, and the number of hours worked.
Timesheets must differentiate between hours charged to HOME-ARP and hours not
charged to HOME-ARP and must document the specific HOME-ARP-related activity
worked on and the date and the number of hours worked. Timesheets must be
signed by the employee and an individual with signatory authority pursuant to the
governing documents of the Subrecipient (i.e., corporate bylaws or resolution), and
all applicable canceled checks (front and Back) or a bank statement, if the canceled
checks are not legible, are required. Include the employee's name and the eligible
gross wages and benefits being requested for reimbursement for each employee. If
health or other benefits are being reimbursed, proof of those items must be included
in the invoice.
b. When reimbursement is sought for services or materials, a copy of the applicable
invoice or receipt for materials or services for each eligible expense. Invoices must
include a description of the materials or services purchased. A cost is eligible for the
HOME-ARP Program only if the cost is necessary to the overall completion of the
Project. If there is a disagreement between the Parties regarding whether an item
was necessary to the overall completion, the final decision shall be made by the City.
Documentation of eligible costs shall include a copy of the front and back of the
canceled check, bank statement, or credit card statement used in payment,
reconciled to the applicable expense.
c. When direct payment to the vendor is sought for services or materials, a copy of
the applicable invoice or sales contract for each eligible expense is required.
2. The City shall, in its sole discretion, determine if the Verifying Documents or any
portion of them are acceptable and in strict compliance with the purpose and laws stated
herein and approve them for payment. If the City determines there are any errors in the
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Verifying Documents, the City shall notify the Subrecipient. The Subrecipient shall
submit corrected Verifying Documents within ten (10) working days of receipt of the
notice. Payment shall not be made for any Verifying Documents that contain errors, as
determined by the City.
3. Upon determination by the City that Verifying Documents are approved, the City will
initiate the payment process. The City reserves the right to delay any payment request
for Verifying Documents containing errors until such errors are corrected to the
satisfaction of the City.
4. If any costs are disallowed up to five (5) years after the expiration of this Agreement or
until HUD closes out the Project, whichever occurs later, and the City is forced to
reimburse the HOME-ARP Program or HUD, then the Subrecipient shall reimburse the
City for the said costs.
5. Within ten (10) days after Project completion, the Subrecipient shall submit the final
request for payment for all eligible expenditures not previously invoiced. The City shall
not be responsible for payments of any charges, claims, or demands of the Subrecipient
not received within the said ten (10) day period; however, such time may be extended at
the City's discretion not to exceed a period of thirty (30) days, provided the delay in its
submission is not caused by any fault or negligence of the Subrecipient.
ARTICLE VII
NOTICES
Unless and to the extent otherwise provided in this Agreement, all notices, demands,
requests for approvals, and other communications which are required to be given by either
party to the other shall be in writing and shall be deemed given and delivered on the date
delivered in person to the authorized representative of the recipient provided below, upon the
expiration of five (5) days following the date mailed by Registered or Certified Mail, Postage
Prepaid, Return Receipt Requested to the authorized representative of the recipient at the
address provided below, or upon the date delivered by overnight courier (signature required) to
the authorized representative of the recipient at the address provided below.
Mary E. Essex
444 4th Street
Port Arthur, Texas 77640
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ARTICLE VIII
GENERAL COMPLIANCE
The Subrecipient agrees to comply with all applicable Federal, State, and local laws and
regulations which govern the funds provided under this Agreement.
ARTICLE IX
PUBLIC RECORDS
The Subrecipient agrees to comply with all applicable Federal, State, and local laws and
regulations which govern the funds provided under this Agreement.
ARTICLE X
RETENTION AND ACCESSIBILITY OF RECORDS
A. The Subrecipient must establish and maintain sufficient records, as determined by City, to
account for the expenditure and use of HOME-ARP funds.
B. Subreccipient shall give the City, the Comptroller General of the United States, or any of their
duly authorized representatives access to and the right to examine all books, accounts, records,
reports, files, and other papers, things or property belonging to or in use by Subrecipient pertaining
to this contract. Such rights to access shall continue as long as the records are retained by
Subrecipient. The Subrecipient agrees to maintain such records in an accessible location.
C. All records pertinent to this contract shall be retained by Subrecipient for five (5) years following
the date of termination of this contract or submission of the final close-out report, whichever is
later, with the following exceptions:
1. If any litigation, claim, or audit is started before the expiration of the five (5) year period and
extends beyond the five (5) year period, the records will be maintained until all litigation, claims, or
audit findings involving the records have been resolved.
2. Records relating to real property acquisition or long-term lease shall be retained for a period
equal to the useful life of any repairs made with HOME-ARP funds.
ARTICLE XI
INDEPENDENT CONTRACTOR
Nothing contained in this Agreement is intended to or shall be construed in any manner
as creating or establishing the relationship of employer/employee between the parties. The
Subrecipient shall at all times remain an independent contractor with respect to the services to
be performed under this Agreement. The City shall be exempt from payment of all
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unemployment compensation, FICA, retirement, life and/or medical insurance, and workers'
compensation insurance.
ARTICLE XII
AMENDMENTS
Except as otherwise provided for herein, this Agreement may not be modified, amended,
or extended orally. This Agreement may be amended only by a written instrument executed by
the governing bodies of both parties. The City and the SUBRECIPIENT may amend this
Agreement at any time provided that such amendments make specific reference to this
Agreement and are executed in writing and approved by the governing bodies of each party.
The City may, at its discretion, amend this Agreement to conform with Federal, State, or local
governmental guidelines, policies, or available funding amounts or for other reasons. If such
amendments result in a change in the funding, the scope of services, or the schedule of
activities to be undertaken as part of this Agreement, such modifications will be incorporated
only by written amendments signed by authorized representatives from both the City and the
Subrecipient.
ARTICLE XIII
SUSPENSION AND TERMINATION
1. Termination:
a. Either party may terminate this Agreement without cause at any time by giving at
least a thirty (30) day written notice to the other party of such termination. The
City may terminate this Agreement with a cause immediately upon written notice
to the Subrecipient. Cause shall include, but is not limited to, SUBRECIPIENT's
failure to strictly comply with 24 CFR § 92.505, all applicable Federal, State, and
local laws, rules, and regulations, default on any of the terms and conditions of
this Agreement, or any substandard performance by the SUBRECIPIENT as
defined herein. Substandard performance shall be any performance indicated by
Verifying Documents but not reflected in the actual performance of the Project. In
the event of substandard performance, the CITY shall notify the SUBRECIPIENT
in writing of such substandard performance. The SUBRECIPIENT shall take
corrective action within a reasonable time, but in no event later than forty-five (45)
days from receipt of the notice from the City.
b. In the event of any termination, all finished, or unfinished documents, data,
studies, surveys, maps, models, photographs, reports, or other materials
prepared by the Subrecipient under this Agreement shall, at the option of the City,
become the property of the City, and the Subrecipient shall be entitled to receive
just and equitable compensation for any satisfactory work completed on such
documents or materials prior to the termination.
c. In the event of termination, the City shall not make payment for any additional
costs incurred after the effective date of termination. All work completed prior to
the effective date of the termination may be reimbursed pursuant to the terms of
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the Agreement, provided that all required documents are submitted to the City
within thirty (30) days of the date of termination.
2. Suspension: In lieu of termination upon a finding of cause, as defined in this
article, the City may suspend this Agreement and withhold any payment of the
Allocated Sum until such time as the Subrecipient is found to be in compliance by
the City.
ARTICLE XIV
DOCUMENTATION/RECORD KEEPING/ADMINISTRATIVE REQUIREMENTS
1. Maintenance of Records:
a. The Subrecipient shall maintain all records required by Federal
regulations specified in 2 CFR Part 200 that are pertinent to the
Project herein funded by the Allocated Sum. Such records shall
include, but are not limited to:
(1) Application requesting Project funding.
(2) Executed Subrecipient Agreement approving the
Project, including any amendments to the Agreement.
(3) Records providing a full description of each activity
undertaken.
(4) Records demonstrating eligibility of work performed to
be paid by the Allocated Sum.
(5) Records documenting the acquisition, improvement,
use, or disposition of real property acquired or
improved with the Allocated Sum, if applicable.
(6) Records documenting compliance with the Fair
Housing and Equal Opportunity components of the
HOME Program, if applicable.
(7) Financial records as required by 24 CFR § 92.505,
2 CFR Part 200, and all Financial Management
standards as specified in this agreement.
(8) Copy of Request for HOME-ARP Reimbursement and
Quarterly Performance Reports submitted as required
herein.
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b. The Subrecipient shall maintain client data demonstrating client
eligibility for services provided. Such data shall include, but not be
limited to, the client's name, address, race or ethnic group, age,
income level, head of household status (gender and marital status),
Social Security number, number of bedrooms, tenant contribution,
monthly gross rent, percentage of median, size of household, type
of contract, status, contract end date, any other basis for
determining eligibility, amounts of rent and security deposit
subsidies provided and calculations of the eligible amounts, actions
undertaken to comply with equal opportunity and fair housing
requirement, and any other applicable data the City may direct from
time to time. Such information shall be made available to the City
for review upon request.
c. Subrecipient will create, maintain, and allow inspection of records
demonstrating the income of all clients served, using the annual
income definition adopted by the City, in accordance with 24 CFR §
5.609(b)(9) (Section 8 definition of household income).
d. Subrecipient will create, maintain, and allow inspection of records
demonstrating all clients served are eligible for HOME-ARP
assistance based on the requirements of the ARP and Section IV of
the HOME-ARP Notice. All clients served must meet the criteria of
the Qualifying Populations in the Section IV.A(1), (2), (3), and (4):
(1) Homeless, as defined in 24 CFR 91.5;
(2) At-risk of homelessness, as defined in 24 CFR 91.5;
(3) Fleeing, or attempting to flee, domestic violence, dating
violence, sexual assault, stalking, or human trafficking as defined by
HUD in 24 CFR 5.2003;
(4) Other populations where providing supportive services or
assistance under section 212(a) of NAHA (42 U.S.C. 12742(a))
would prevent the family's homelessness or would serve those with
the greatest risk of instability as defined in Section IV.A. (4) (1) and
(2) of the HOME-ARP Notice
e. Subrecipient will create, maintain, and allow inspection of records
demonstrating compliance with the conflict of interest requirement of 24
CFR § 92.356.
f. Subrecipient shall create, maintain, and allow inspection of records
demonstrating compliance with debarment and suspension
requirements in 2 CFR part 2424.
g. Subrecipient will create, maintain, and allow inspection of records
demonstrating compliance with affirmative marketing and minority
outreach requirements of 24 CFR § 92.351.
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h. Subrecipient will create, maintain, and allow inspection of records
demonstrating compliance with the applicable uniform administrative
requirements required by Section VIII.D. of the HOME-ARP Notice.
i. Subrecipient will create, maintain, and allow inspection of records
demonstrating compliance with records of emergency transfers
requested under 24 CFR 5.2005 and 24 CFR 92.359 pertaining to
victims of domestic violence, dating violence, sexual assault, or
stalking, including data on the outcomes of those requests.
j. Subrecipient will create, maintain, and allow inspection of records
demonstrating compliance with all other requirements of this
Agreement.
k. Subrecipient will create, maintain, and allow inspection of records
demonstrating that each household qualifying as homeless, records
that meet the requirements in 24 CFR 576.500(b)(1), (2), (3), or (4), as
applicable.
1. Subrecipient will create, maintain, and allow inspection of records
demonstrating that each household qualifying as "at risk of homelessness"
records that meet the requirements in 24 CFR 576.500 ( c )(1) or (2), as
applicable, and include the following documentation of annual income:
(1) Income evaluation form containing the minimum requirements
specified by HUD and completed by the Subrecipient; and
(2) Source documents for the assets held by the household and
income received over the most recent period for which representative data
is available before the date of the evaluation (e.g., wage statement,
unemployment compensation statement, public benefits statement, bank
statement);
(3) To the extent that the source documents are unobtainable, a
written statement by the relevant third party (e.g., employer, government
benefits administrator) or the written certification by the Subrecipient's
intake staff of the oral verification by the relevant third party of the income
the household received over the most recent period for which
representative data is available; or
(4) To the extent that the source documents and third-party
verification are unobtainable, the written certification by the household of
the amount of income the household received for the most recent period
representative of the income that the household is reasonably expected to
receive over the 3-month period following the evaluation.
2. Retention of Records: The Subrecipient shall retain all records pertinent to
expenditures incurred under this Agreement for a period of five (5) years
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after the termination of all activities funded under this Agreement or after
the resolution of all Federal audit findings, whichever occurs later. Records
for nonexpendable property acquired with funds under this Agreement
shall be retained for five (5) years after the final disposition of such
property. Records for any displaced person must be kept for five (5) years
after he/she has received the final payment.
3. Access to Records: The City and the Comptroller General of the United
States or any of their authorized representatives shall have the right of
access to any pertinent books, documents, papers, or other records of
grantees and subgrantees which are pertinent to the grant in order to make
audits, examinations, excerpts, and transcripts. The right of access shall
last as long as any record is required to be retained. The Subrecipient, its
employees, or agents shall provide access during the Term to all related
records and documents for accounts placed with the Subrecipient by the
City at reasonable times to the City, its employees, or agents.
"Reasonable" shall be construed according to the circumstances but
ordinarily shall mean during normal business hours of 8:00 a.m. to 5:00
p.m. Central Standard Time, Monday through Friday. "Agents" shall
include, but not limited to, auditors retained by the City.
ARTICLE XV
RECORD-KEEPING DISPLACEMENT, RELOCATION, AND REAL PROPERTY
ACQUISITION
Subrecipienet shall create, maintain, and allow inspection of records demonstrating compliance
with the requirements of 24 CFR 92.353 and the provisions of Section VII.F. of the HOME-ARP
Notice regarding displacement, relocation, and real property acquisition, including but not
limited to:
1. Project occupancy lists identifying the name and address of all persons occupying the real
property on the date described in 24 CFR 92.353(c)(2)(i)(A) and occupying the property upon
completion of the project;
2. Lists of all individuals or families occupying hotels and motels and other nonresidential
properties acquired, rehabilitated, and/or demolished and newly constructed to become HOME-
ARP NCS or HOME-ARP rental housing that qualify for assistance under the HOME-ARP
Notices as members of a qualifying population, as well as records indicating whether such
persons were assisted by the HOME-ARP program by the participating jurisdiction following the
closure of the nonresidential properties because of the HOME-ARP activities
3. Lists of all individuals or families occupying HOME-ARP NCS that were converted during the
required use period that qualify for assistance under the HOME-ARP Notice, as well as records
indicating whether moving costs or advisory services were provided as part of HOME-ARP
administrative costs or under the HOME-ARP supportive services activity in Section VI.D of the
HOME-ARP Notice, and records indicating whether such persons were assisted by the HOME-
11Mi- i� � ��
ARP program by the participating jurisdiction following the conversion of the HOME-ARP NCS
units.
ARTICLE XVI
HOME-ARP SUPPORTIVE SERVICES REQUIREMENTS AND PROVISIONS
Subrecipient shall disburse the Allocated Sum through a HOME-ARP Supportive Services
program that Subrecipient shall design and administer in accordance with this Article and in
compliance with all requirements under Section VI.D of the HOME-ARP Notice, all other
applicable provisions of the federal regulations, and any other laws.
1. Subrecipient shall provide supportive services, as defined in Section VI.D(3)(a) and
(b), set forth below:
a. McKinney-Vento Supportive Services under HOME-ARP are adapted from the
services listed in section 401(29) of the McKinney-Vento Act.
b. HOME-ARP Homeless Prevention Services provided must be included in the list
of eligible supportive services as outlined in Section VI.D(4)(c)(i) in the HOME-ARP
Notice
2. Each household selected to receive assistance must consent in writing for his or her
files to be inspected, copied, and audited by the City, HUD, or any of their agents or
employees and must waive any confidentiality requirements that may otherwise be
breached as a direct or indirect result of any such inspection, copying, or audit.
ARTICLE XVII
AUDITS/MONITORING
1. In the event that the Subrecipient expends Seven-Hundred-Fifty-Thousand and
00/100 Dollars ($750,000.00) or more in Federal awards in its fiscal year, the Subrecipient
must have a single or program-specific audit conducted in accordance with the provisions of
Title 2 Code of Federal Regulations (CFR) Part 200, as revised. In determining the Federal
awards expended in its fiscal year, the Subrecipient shall consider all sources of Federal
awards, including Federal resources received from the City. The determination of amounts of
Federal awards expended should be in accordance with the guidelines established by Title 2
CFR Part 200, as revised. An audit of the Subrecipient conducted by the Auditor General in
accordance with the provision 2 CFR Part 200, as revised, will meet the requirements of this
part.
2. In connection with the audit requirements addressed in Paragraph 1 above, the
Subrecipient shall fulfill the requirements relative to audit responsibilities as provided in 2 CFR
Part 200, as revised.
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3. If the SUBRECIPIENT expends less than Seven-Hundred-Fifty-Thousand and 00/100
Dollars ($750,000.00) in Federal awards in its fiscal year, an audit conducted in accordance
with the provisions of 2 CFR Part 200, as revised, is not required. In the event that the
Subrecipient expends less than Seven-Hundred-Fifty-Thousand and 00/100 Dollars
1 ($750,000.00) in Federal awards in its fiscal year and elects to have an audit conducted in
accordance with the provisions of 2 CFR Part 200, as revised, the cost of the audit must be
paid from non-Federal resources.
4. In addition to reviews of audits conducted in accordance with 2 CFR Part 200, as
revised, monitoring procedures may include, but not be limited to, on-site visits by the City
and/or HUD; limited-scope audits as defined by 2 CFR Part 200, as revised; submittal and
review of financial statements; and/or other procedures. By entering into this Agreement, the
Subrecipient agrees to comply and cooperate with any monitoring procedures/processes
deemed appropriate by the City and/or HUD. In the event the City and/or HUD determines that
a limited-scope audit of the Subrecipient is appropriate, the Subrecipient agrees to comply with
any additional instructions provided by the City and/or HUD to the Subrecipient regarding such
audit. The Subrecipient further agrees to comply and cooperate with any inspections, reviews,
investigations, or audits deemed necessary by the Chief Financial Officer or Auditor General.
5. Inspector General: In those instances where state funding is involved, the
Subrecipient and its subcontractors must agree to cooperate with the inspector general in any
investigation, audit, inspection, review, or hearing. By entering into this Agreement, the
Subrecipient certifies it understands and will comply with this provision.
6. If the Subrecipient is not subject to the audit requirements found at 2 CFR Part 200,
Subpart F, a financial report in accordance with FAS Statement No. 117, Financial Statement
of Not-for-Profit Organizations, as amended, shall be submitted to the City within thirty (30)
days after the end of its fiscal year.
7. Monitoring provides information for making an informed judgment about program
effectiveness and management efficiency, as well as identifying internal weaknesses that may
contribute to fraud or abuse. The monitoring procedures established for the Subrecipient may
include, but are not limited to, on-site visits by the City or HUD; limited-scope audits as defined
by 2 CFR Part 200, as revised; submittal and review of financial management statements as
defined by FAS Statement No. 117, performance reports; and other procedures as determined
necessary.
8. By entering into this Agreement, the Subrecipient agrees to comply and cooperate
with any monitoring procedures/processes deemed appropriate by the City and/or HUD. In the
event the City or HUD determines that more than a limited-scope audit of the Subrecipient is
appropriate, the Subrecipient agrees to comply with any additional instructions provided by the
City or HUD to the Subrecipient regarding such audit. The Subrecipient further agrees to
comply and cooperate with any inspections, reviews, investigations, or audits deemed
necessary by the City, Chief Financial Officer, or Auditor General. 9. A copy of the audit or
financial management report must be provided to the Community Development Department
within thirty (30) days after receipt by the Subrecipient.
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ARTICLE XVIII
PERFORMANCE, SUBCONTRACTS, AND AMENDMENTS
1. Performance Monitoring: The City shall monitor the performance of the Subrecipient
against goals, performance standards, and requirements herein. Substandard performance, as
determined by the City, in its sole and absolute discretion, shall constitute noncompliance of
this Agreement. If such substandard performance is not corrected by the Subrecipient within a
reasonable time period, as determined by the City, after being notified by the City of it, in
accordance with Article XIII, contract suspension or termination procedures may be initiated
and enforced in accordance with regulations set forth in 2 CFR Part 200, Subpart D, and Article
XIII herein. In no case shall a reasonable period of time to begin the correction of substandard
performance be shorter than seven (7) days or longer than ninety (90) days unless otherwise
provided herein. Notwithstanding the foregoing, the City hereby agrees that any cure of any
default made or tendered by the Subrecipient's investor limited partner (or their affiliates, or
their successors or assigns) shall be deemed to be a cure by the Subrecipient and shall be
accepted or rejected on the same basis as if made or tendered by Subrecipient.
2. Reporting requirements: The Subrecipient will inform the monitoring agent secured by
HUD that the City must receive a copy of all documents relating to the monitoring and
compliance of the Project.
3. Laws: The Subrecipeint shall not enter into any contracts or subcontracts in the
performance of this Agreement without the written consent of the City. All contracts or
subcontracts made by the Subrecipient to carry out the Project shall be made in accordance
with all applicable Federal, State, and local laws, rules, and regulations stipulated in this
Agreement and in strict accordance with all terms, covenants, and conditions in this
Agreement. Any worker's services contracted hereunder shall be specified by written contract
or agreement and shall be subject to each article set forth in this Agreement.
4. Subcontract Monitoring: The Subrecipient shall monitor all subcontracted services on
a regular basis to assure contract compliance. Results of monitoring efforts shall be
summarized in written reports and supported with documented evidence of follow-up actions
taken to correct areas of noncompliance. Such summaries and documents shall be submitted
to the City with each Request for HOME Reimbursement and Quarterly Performance Report to
be reported to HUD.
5. Prior City Approvals: The following includes, but is not limited to, activities that require
the prior written approval of the City to be eligible for payments:
a. All requests for proposals/qualifications, bid packages, proposed advertisements, and
procurement documentation for services prior to award.
b. The initiation of new activities not covered by this Agreement or changes in the
location or the deletion of any activity/activities.
c. Any service(s) or activity/activities other than those described in Article III above.
d. Any proposed revisions to this Agreement.
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e. Requests to utilize remaining funds should there be a surplus after work is
substantially completed. Requests must be made in writing and signed by an individual with
signatory authority.
ARTICLE XIX
AWARD DELIVERY
HOME-ARP Funds will be awarded as a grant pursuant to the terms of the Agreement
Subrecipient shall be required to enter into a Land Use Restrictive Agreement (LURA) for a
period of 15 years, and such agreement shall be recorded in the Public Records the City The
Allocated Sum shall be secured by a twenty (20) years deferred mortgage and promissory note
on the real property on which the Project is located.
ARTICLE XX
REPAYMENT OF LOAN
1. All HOME-ARP funds are subject to repayment in the event the Project does not meet
the requirements as outlined in this Agreement.
2. It is understood that upon the completion of the Project, any HOME-ARP funds
reserved but not expended under this Agreement will revert to the CITY.
3. Funds will remain a deferred loan for the period of twenty (20) years, at which time the
loan may be forgiven or extended in the sole discretion of the City for another term. Sale of the
property to another party may occur only with the approval of the City, and the purchaser shall
assume all obligations of the Subrecipient under this Agreement, the note and mortgage, and
the deed covenants. Provisions in those documents will provide for the extinguishment of the
requirements only in the event of a third-party foreclosure or deed in lieu of foreclosure.
ARTICLE XXI
CONTRACT LIABILITY
The City shall not be liable to any person, firm, or corporation who contracts with, or provides
goods or services to, the Subrecipient in connection with the services as agreed to perform
hereunder or for debts or claims accruing to such parties against the Subrecipient; and there is
no contractual relationship either expressed or implied between the City and any other person,
firm, or corporation supplying any work, labor, services, goods, or materials to the Subrecipient
as a result of the Subrecipient's services to the City hereunder.
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ARTICLE XXII
PROGRAM INCOME
The Subrecipient shall record the receipt and expenditure of Program Income, as defined in 24
CFR § 92.503(a) ("Program Income"), as part of the financial transactions of the grant-funded
Project. The use of Program Income by the Subrecipient shall comply with the requirements set
forth in 24 CFR § 92.503. The Subrecipient may use Program Income during the Term of this
Agreement for activities permitted under this Agreement and shall reduce requests for
additional funds by the amount of any such Program Income on hand. The Subrecipient shall
submit a detailed accounting of the receipt and use of Program Income as indicated in Exhibit
C, attached hereto and incorporated herein, in conjunction with quarterly reporting that is
required. All unused Program Income with interest shall be returned to the City at the end of the
Term. The City shall return these monies to HUD.
ARTICLE XXIII
REVERSION OF ASSETS
Upon expiration or termination of this Agreement, the Subrecipient shall transfer to the City any
Allocated Sum that has not been specifically allocated for the Project pursuant to this
Agreement, as specified in 24 CFR § 92.504(c)(2)(vii).
ARTICLE XXIV
INDEMNIFICATION
The Subrecipient shall defend, hold harmless, and indemnify the City and all of its officers,
agents, and employees, whether current or former, from and against any and all actions,
claims, liabilities, losses, damages, costs, attorney's fees, charges, or expenses of whatever
kind or nature which the City may sustain, suffer, incur, or be required to pay by reason of the
loss of any monies paid to the Subrecipient resulting out of fraud, defalcation, dishonesty, or
failure of the Subrecipient to comply with the Housing and Community Development Act of
1974 and its regulations; or arising out of any act, action, neglect, or omission during the
performance of this Agreement, any part thereof, or work performed hereunder, whether direct
or indirect; or by reason or result of injury caused by the Subrecipient's or subcontractor's willful
or negligent maintenance or supervision of the property or work performed; or by reason of a
judgment over and above the limits provided by the insurance required under Article XXV of
this Agreement; or by any defect in the condition or construction of the Project if the Project
was inspected and accepted by the Subrecipient; whether or not due to, or caused by
negligence of the City or any of its agents and employees. Only a final adjudication judgment
finding the City solely negligent shall excuse the performance of this provision by the
Subrecipient. The Subrecipient shall pay all costs and fees related to this obligation and its
enforcement by the City. This Article XXIV shall survive any termination, cancellation, or
expiration of this Agreement.
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ARTICLE XXV
INSURANCE
1. The Subrecipient shall procure and maintain, for the duration of this Agreement,
insurance against claims for injuries to persons or damages to property which may arise from
or in connection with the Subrecipient's operation and use of any real property and any
building, shelter, or similar structures thereon (hereinafter referred to as "Premises"). The cost
of such insurance shall be borne by the Subrecipient.
2. The Subrceipient shall not enter or occupy the Premises until it has obtained all
insurance required herein and such insurance has been approved by the City as provided
herein.
3. The Subrecipient shall furnish certificate(s) of insurance on the form required by the
City to the City. The certificate(s) shall clearly indicate the Subrecipient has obtained insurance
of the type, amount, and classification required for strict compliance with this Agreement and
that no reduction in coverage or in limits, suspension, or cancellation of the insurance shall be
effective without thirty (30) days prior written notice as provided below. The certificate(s) shall
be signed by a person authorized by that insurer to bind coverage on its behalf. The City
reserves the right to require complete, certified copies of all required policies at any time. Each
insurance policy required by this Agreement shall be endorsed to state that coverage shall not
be suspended, voided, canceled, reduced in coverage or in limits, except after thirty (30) days
prior written notice by Certified Mail, Return Receipt Requested, has been given to the City to
the attention of the Pasco City Community Development Director. In the event the insurance
coverage expires prior to the termination or end of this Agreement, a renewal certificate shall
be issued thirty (30) days prior to the expiration date. Compliance with the foregoing
requirements shall not relieve the Subrecipient of the liability and obligations under this
Agreement. Neither approval by the City or a failure to disapprove insurance certificates or
policies furnished by the Subrecipient shall release the Subrecipient of full responsibility for all
liability or its obligations under this Agreement.
4. All insurance policies shall be issued by responsible companies authorized to do
business under the laws of the State of Texas, have an "A" policyholders' rating, have a
financial rating of at least Class VIII in accordance with the most current Best's Key Rating
Guide, and shall be satisfactory to the City. All policies of insurance required by this Agreement
shall be primary insurance with respect to the City, its officials, agents, and employees. Any
insurance or self-insurance maintained by the City, its officials, agents, or employees shall be
in excess of the Subrecipient's insurance and shall not contribute to it. All policies of insurance
required by this Agreement, except workers' compensation, shall specifically provide that the
City shall be an "additional insured" under the policy and shall contain a Severability of
Interests provision. All insurance policies required herein and all provisions hereof shall apply
to all operations, activities, or use by the Subrecipient or by anyone employed by or contracting
with the Subrecipient, and it is the Subrecipient's responsibility to ensure that any contractor,
subcontractor, or anyone directly or indirectly employed by any of them complies with those
insurance provisions and that the City is an "additional insured" on such policies. Any
deductibles or self-insured retentions must be declared to and approved by the City and are the
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responsibility of the Subrecipient. The minimum types and limits of coverage to be carried by
the Subrecipient shall be as follows:
a. Workers' Compensation and Employer's Liability:
If the Subrecipient falls under the State of Texas Workers' Compensation law, the Subrecipient
shall provide coverage for all employees. The coverage shall be for the statutory limits in
compliance with the applicable State and Federal laws. The policy must include employer's
liability with a limit of One Hundred Thousand and 00/100 Dollars ($100,000.00) for each
accident. The insurer shall agree to waive all rights of subrogation against the City, its officials,
agents, and employees.
b. Comprehensive General Liability:
Shall include premises and/or operations, broad form property damage, independent
contractor, contractual liability, and fire legal liability, and shall be written on an "occurrence
basis." In the event Subrecipient is only able to secure coverage on a "claims-made basis," the
Subrecipient shall be obligated, by virtue of this Agreement, to maintain tail coverage in effect
with no less limits of liability, nor any more restrictive terms and/or conditions, for a period of
three (3) years from expiration or termination of this Agreement.
c. Bodily injury and personal injury, including death:
• $1,000,000.00 each person;
• $2,000,000.00 aggregate;
• $1,000,000.00 each occurrence;
• $2,000,000.00 aggregate.
ARTICLE XXVI
NONASSIGNABILITY
The Subrecipient may not assign this Agreement without the prior written consent of the City.
ARTICLE XXVII
HEADINGS
All articles and descriptive headings of paragraphs in this Agreement are inserted for
convenience only and shall not affect the construction or interpretation hereof.
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ARTICLE XXVIII
CONTRACT EXECUTION
This Agreement may be executed in whole or in part, and each fully executed part shall be
deemed an original instrument.
ARTICLE XXVIX
COMPLIANCE
The Subrecipient agrees to comply with any City or State civil rights ordinances; Title XI of the
Civil Rights Act of 1964, as amended; Title XIII of the Civil Rights Act of 1968, as amended;
Section 109 of Title I of the Housing and Community Development Act of 1974; the Americans
with Disabilities Act of 1990; the Age Discrimination Act of 1975; and Executive Orders 11063
and 11246, as amended by Executive Orders 11375 and 12086.
ARTICLE XXX
UNIFORM ADMINISTRATIVE REQUIREMENTS
The Subrecipient shall comply with 24 CFR § 92.505, and adhere to accounting principles and
procedures required therein, utilize adequate internal controls, and maintain necessary source
documentation for all costs incurred. The Subrecipient shall administer the Project in
conformance with Section VIII.D. of the HOME-ARP Notice, as amended.
ARTICLE XXXI
NONDISCRIMINATION
The Subrecipient will not discriminate against any employee or applicant for employment
because of race, color, creed, religion, ancestry, national origin, sex, disability, other
handicaps, age, marital status, or status with regard to public assistance. To the extent
Subrecipient has employees, the Subrecipient will take affirmative action to ensure that all
employment practices prohibit such discrimination. Such employment practices include but are
not limited to, the following: hiring, upgrading, demotion, transfer, recruitment or recruitment
advertising, lay-off, termination, rates of pay or other forms of compensation, and selection for
training, including apprenticeship. The Subrecipient agrees to post in conspicuous places,
available to employees and applicants for employment, notices setting forth the provisions of
this nondiscrimination clause.
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ARTICLE XXXII
REHABILITATION ACT OF 1973, SECTION 504
The Subrecipient agrees to comply with any Federal regulations issued pursuant to compliance
with Section 504 of the Rehabilitation Act of 1973 (29 United States Code of Law (U.S.C.) §
794) which prohibits discrimination against the handicapped in any Federally assisted program.
The City shall provide the Subrecipient with any guidelines necessary for compliance with that
portion of the regulations during the term of this Agreement.
ARTICLE XXXIII
LABOR STANDARDS
The Subrecipient agrees to comply with the requirements of the Secretary of Labor in accordance
with the Davis-Bacon Act, as amended (48 CFR § 22.403-1); the provisions of contract work hours
and the Safety Standards Act (40 USC § 3701, et seq. and 48 CFR § 22.403-1, 22.403-3); the
Copeland "Anti-Kickback"Act (48 CFR § 22.403-2; 18 U.S.C. § 874, et seq.; 40 U.S.C. § 3141, et
seq., formerly cited as 40 U.S.C. §§ 276a, 327-333); and all other applicable Federal, State, and
local laws and regulations pertaining to labor standards insofar as such acts apply to the
performance of this Agreement. The Subrecipient shall maintain documentation that demonstrates
compliance with an hour and wage requirements of this part. Such documentation shall be made
available to the CITY for review upon request.
ARTICLE XXXIV
HUD ACT OF 1968, SECTION 3
1. Compliance with the provisions of Section 3 of the HUD Act of 1968, the regulations set forth
in 24 CFR Part 75, and applicable rules and orders issued hereunder prior to the execution of
this Agreement shall be a condition of the Federal financial assistance provided under this
Agreement and is binding upon the City, the Subrecipient, and any subcontractors. Failure to
fulfill these requirements shall subject the City, the Subrecipient, and any subcontractors, their
successors, and assigns to those sanctions specified by the agreement through which Federal
assistance is provided. The Subrecipient certifies and agrees that no contractual or other
disability exists which would prevent compliance with these requirements.
2. The Subrecipient agrees to send to each labor organization or representative of workers with
whom it has a collective-bargaining agreement or contract or understanding, if any, a notice
advising the said labor, organization, or workers' representative or its commitments under the
Section 3 clause, and shall post copies of the notice in conspicuous places available to
employees and applicants for employment or training.
3. The Subrecipient will include the Section 3 clause in every subcontract and will take
appropriate action pursuant to the subcontract upon finding that the subcontractor is in violation
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of regulations issued by the City or the Federal government. The Subrecipient will not
subcontract with any sub-contractor where it has notice or knowledge that the latter has been
found in violation of regulations under 24 CFR Part 75 and will not let any subcontract unless
the subcontractor has first provided it with a preliminary statement of ability to comply with the
requirements of these requirements.
ARTICLE XXXV
HATCH ACT
The Subrecipient agrees that no funds provided, nor personnel employed under this
Agreement, shall be in any way or any extent engaged in the conduct of political activities in
violation of 5 U.S.C. § 1501 et seq. as subsequently amended.
ARTICLE XXXVI
CONFLICT OF INTEREST
The Subrecipient covenants that it presently has no financial interest and shall not acquire
financial interest, direct or indirect, which would conflict in any manner or degree with the
performance of services required under this Agreement. The Subrecipient further covenants
that in the performance of this Agreement, no person having such a financial interest shall be
employed or retained by the Subrecipient or subcontractor hereunder, except for services
performed. These conflict of interest provisions apply to any person who is a person, agent,
consultant, officer, or elected official or appointed official of the City or of any designated public
agencies or SUBRECIPIENTS that are receiving funds under this Agreement.
ARTICLE XXXVII
RELIGIOUS ORGANIZATION
The Subrecipient agrees that funds provided under this Agreement will not be utilized for
religious activities, to promote religious interests, or for the benefit of a religious organization in
accordance with the Federal regulations specified in 24 CFR § 5.109.
ARTICLE XXXVIII
LEAD-BASED PAINT
The Subrrecipient agrees that any construction or rehabilitation of residential structures, with
assistance provided under this Agreement, shall be subject to the HUD Lead-Based Paint
Regulations at 24 CFR § 92.355. Such regulations pertain to all HUD-assisted housing and
require that all owners, prospective owners, and tenants for properties constructed prior to
1978 be properly notified that such properties may include lead-based paint. Such notification
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shall point out the hazards of lead-based paints and explain the symptoms, treatment, and
precautions that should be taken when dealing with lead-based poisoning.
ARTICLE XXXVIX
ENVIRONMENTAL CONDITIONS
1. Air and Water: Subrecipient agrees to comply with the following regulation insofar as they
apply to the performance of this Agreement: a. Clean Air Act, 42 U.S.C.§ 7401, et seq.
b. Federal Water Pollution Control Act, as amended; 33 U.S.C. § 1251, et seq., as amended;
and 33 U.S.C. § 1318, relating to inspection, monitoring, entry, reports, and information, as well
as other requirements specified in the said Sections 114 and 308 and all regulations and
guidelines issued thereunder.
c. Environmental Protection Agency Regulations pursuant to 40 CFR Part 50, et seq., as
amended.
d. National Environmental Policy Act of 1969, as amended, 42 U.S.C. § 4331, et seq.
e. HUD Environmental Review Procedures (24 CFR Part 58).
2. Flood Disaster Protection: In accordance with requirements of the Flood Disaster Protection
Act of 1973 (42 U.S.C. § 4001, et seq.), the SUBRECIPIENT shall obtain and maintain flood
insurance under the National Flood Insurance Program for any activities located in an area
identified by the Federal Emergency Management Act as having special flood zones.
ARTICLE XL
HISTORIC PRESERVATION
The Subrecipient agrees to comply with the historic preservation requirements set forth in the
National Historic Preservation Act of 1966, as amended (54 U.S.C. § 300101, et seq. (formerly
cited as 16 U.S.C. § 470)), and the procedures set forth in 36 CFR Part 800, Advisory Council
on Historic Preservation Procedures, for protection of historic properties insofar as they apply
to the performance of this Agreement. In general, this requires concurrence from the State
Historic Preservation Officer for rehabilitation and demolition
of all properties built fifty (50) years ago to assess how the activity could affect a historic
property listed in or eligible for the National Register of Historic Places.
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ARTICLE XLI
CONTINUITY OF SERVICE
1. The Subrecipient may not change the eligible use of the Units, the method of providing
service by excluding properties or persons currently covered, sell or transfer the Units except in
connection with the sale of the Project to an entity that assumes the Subrecipient obligations
under this Agreement and the mortgage and note, or vacate the Units without the CITY's
permission, until the expiration of this Agreement.
2. If the City and the Subrecipient determine, after consultation with the affected citizens, that it
is appropriate to change the use of the property to a use which does not qualify under
Paragraph 1 of this article, the Subrecipient may retain or dispose of the property for the
changed use after the City HOME is reimbursed in the amount of the Allocated Sum. During
the term of the Agreement, the Subrecipient shall give a first right of refusal to eligible nonprofit
organizations for the purchase of the Unit at the current market value so that the Unit may
continue to be occupied by eligible persons as set forth in the mortgage and note.
3. Following the reimbursement of the Allocated Sum in accordance with Paragraph 2 of this
article, the property will no longer be subject to any Program requirements.
ARTICLE XLII
NONEXPENDABLE PROPERTY
Any nonexpendable personal property acquired by the Subrecipient under this project shall be
subject to the provisions of the Housing and Community Development Act of 1974 and its
regulations, including, but not limited to, the provisions on the use and disposition of property
for a period of five (5) years after purchase.
ARTICLE XLIII
REAL PROPERTY PROTECTIONS
1 . The City may have inspections of the premises performed by the City, or on its behalf, for
structural integrity and safety.
2. Other than as provided in Exhibit A, the Subrecipient shall not mortgage or otherwise
encumber title to the said real property by utilizing the said real property as collateral for any
type of lien, note, mortgage, debt obligation, or security agreement without prior written
notification to the HOME Administrator.
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ARTICLE XLIV
MAINTENANCE OF PREMISES
The Subrecipient is required to maintain the real property and structures located thereon in a
condition that meets all current housing, safety, and health standards as required by all
applicable federal, state, and local laws, rules, and regulations.
ARTICLE XLV
MISCELLANEOUS
1. Entire Agreement: This Agreement represents the entire agreement between the parties
and supersedes any and all prior agreements, negotiations, or understandings, written or
oral, relating to the matters set forth herein. Prior agreements, negotiations, or
understandings, if any, shall have no force or affect whatsoever on this Agreement. All
parties hereto agree that if any part, term, or covenant of this Agreement is held to be
illegal, unenforceable, or in conflict with any applicable Federal, State, or local laws or
regulations, such part shall be severable, with the remainder of this Agreement valid and
enforceable.
2. Sovereign Immunity: Nothing in this Agreement shall be construed in any way to waive
the sovereign immunity of the City.
3. Applicable Law: This Agreement, when not governed by Federal law, shall be governed
by and interpreted in accordance with the laws of the State of Texas.
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APPROVED IN FORM:
Val Tizeno
City Attorney
CITY OF PORT ARTHUR
Ron Burton
City Manager
ATTEST:
Sherri Bellard
City Secretary
FAMILY SERVICES OF SOUTHEAST TEXAS
Deborah Tomov
Executive Director
Date
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EXHIBIT A
Performance Statement
Family Services of Southeast Texas
Subrecipient shall carry out the following HOME-ARP activities:
The Subrecipient shall provide case management and crisis intervention to victims of
domestic violence. HOME-ARP funding will cover the cost of salaries and travel costs.
Timesheets must identify all funding sources for the employees. HOME-ARP and other activities
undertaken by the Subrecipient must be documented on the timesheets with the date, times, and the
number of hours worked and a brief description of what activity/task performed. Timesheets must be
submitted and signed by both employee and supervisor. Timesheets must differentiate between hours
charged to HOME-ARP and hours not charged to HOME-ARP and must document the specific HOME-
ARP-related activity worked on, not just the number of hours worked.
The costs for supplies, travel, and rental assistance must comply with the requirements of CPD-21-10.
Travel—HOME-ARP will reimburse Family Services at the rate of $0.655 per mile to transport Port
Arthur residents to the Family Services of Southeast Texas Emergency Shelter at 3550 Fannin Street,
Beaumont, Texas, or for other needed services. Family Services must document the name of the
client served,the beginning and ending odometer readings, and the purpose of the travel.
Complete and submit the following documentation for each client:
1. Government-issued Identification
2. Social Security Card
3. Fleeing Domestic Violence Certification
4. Proof of residency in Port Arthur, Texas
5. Verification that the applicant has not received assistance or has been approved to receive
assistance through another program or provider
All receipts and copies of canceled checks must be attached to a reimbursement statement.
Subrecipient shall utilize Sixty-Thousand and No/100 Dollars ($60,000.00) of contract funds to complete
these activities.
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EXHIBIT B
Budget
Family Services of Southeast Texas
Activity Contract Other TOTAL
Funds Funds FUNDS
1. Salaries $58,000.00 $58,000.00
2. Travel $ 2,000.00 $ 2,000.00
TOTAL FUNDS $60,000.00 $60,000.00
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EXHIBIT C
REIMBURSEMENT STATEMENT
Family Services of Southeast Texas
Reporting Period
Contract Funds
Activity Amount Requested Balance
1. Salaries, Travel $60,000.00 $ $
TOTAL REQUEST $
Contract Amount $60,000.00
Total Expended: ($ )
(Current invoices + previous invoices)
Remaining Balance $
Executor Director Date
Please include copies of invoices and canceled checks. Timesheets must identify all funding sources
for the employee. HOME-ARP and other activities undertaken by the employee must be
documented on the timesheets with the date, times, and the number of hours worked and a brief
description of what activity/task related to HOME-ARP. Timesheets must be submitted and
signed by both employee and supervisor.
All receipts and copies of canceled checks must be attached to a reimbursement statement.
7
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2023 HOME-ARP INCOME VERIFICATION FORM
NAME:
ADDRESS:
AGE:
RACE: You may check one or more of the boxes below for the race:
Ethnicity White Black/ Asian American Native American Black/African Other
African Indian/Alaskan Hawaiian/Other Indian/ American and Multi-
American Native Pacific Islander Alaskan White Race
Native
and White
Hispanic
Non-
Hispanic
Ethnicity:check either Hispanic or Non-Hispanic
Eligible participant's total family income cannot exceed the following income limits based on family size:
Each participant must live in the City of Port Arthur,Texas.
Please check the appropriate box:
*FY 22 Household Size
Income 1 Person 2 Persons 3 Persons 4 Persons 5 Persons 6 Persons 7 Persons 8 Persons
Level
Extremely $16,350 $18,700 $21,050 $23,350 $25,250 $27,100 $29,000 $30,850
Low(30%of
AMI)
Very Low $27,300 $31,200 $35,100 $38,950 $42,100 $45,200 $48,300 $51,450
(50%of
AMI)
9 or more family members add$2,200 per child
HOME-ARP Qualifying Populations
1. Homeless—as defined in 24 CFR 91.5 Homeless(1),(2), (3)
2.At risk of homelessness—as defined in 24 CFR 91.5 At risk of homelessness
3. Fleeing,or attempting to flee,domestic violence,dating violence,sexual assault,stalking, or human trafficking—as
defined by
the U.S. Department of Housing and Urban Development(HUD)
4.Other Populations—those who do not qualify under the other three QP definitions but meet one of the Other Populations
criteria identified in Section IV of the HOME-ARP Notice.
Household Type (select one): Single-non-elderly; Elderly; Single Parent;Two Parents; other
I certify that the foregoing is true and accurate to the best of my knowledge:
Signature Date
Please attach a copy of each person's Social Security Card,Identification Card,
*Income source documentation(wage statement,unemployment compensation,public benefits,bank statements,etc).
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EXHIBIT D
The Applicable Laws and Regulations
Subrecipient shall comply with all federal, state, and local laws and regulations applicable to the
activities and performances rendered by Subrecipient under this contract, including,but not limited to,
the laws and regulations specified in Section I through IV of this Exhibit D.
CIVIL RIGHTS
The Fair Housing Act(42 U.S.C. 3601-20) and implementing regulations at 24 CFR part 10;
Executive Order 11063, as amended by Executive Order 11063, as amended by Executive Order
12259 (3 CFR, 1958-1963 Comp., 652 and 3 CFR, 1980 Comp.,p. 307) (Equal Opportunity in
Housing and implementing regulations at 24 CFR, Part 107; and title VI of the Civil Rights Act
of 1964 (42 U.S.C. 2000d) (Nondiscrimination on Federally Assisted Programs)and
implementing regulations issued at 24 CFR, Part 1;
Executive Order 11063, as amended by Executive Order 12259, and 24 CFR part 107,
"Nondiscrimination and Equal Opportunity in Housing under Executive order 11063 or 24
CFR, Part 107 shall be a proper basis for the imposition of sanctions specified in 24 CFR
107.60;
The prohibition against discrimination on the basis of age under the Age Discrimination Act of
1975 (42 U.S.C. 6101-07)and implementing regulations at 24 CFR, Part 146, and the
prohibitions against discrimination against handicapped individuals under Section 504 of the
Rehabilitation Act of 1973 (29 U.S.C. 794) and implementing regulations at 24 CFR, Part 8;
The requirements of Executive Orders 1246 (3 CFR 1964-65, Comp.,p. 339) (Equal
Employment Opportunity) and the implementing regulations issued at 4I CFR,
Chapter 60.
The requirements of Executive Orders 11625 and 12432 (concerning Minority Business
Enterprise), and 12138 (concerning Women's Business Enterprise). Consistent with HUD's
responsibilities under these Orders, each applicant must make efforts to encourage the use of
minority and women's business enterprises in connection with HOME funded activities. Each
Contractor must prescribe procedures acceptable to the City to establish activities to ensure the
inclusion,to the maximum extent possible, of minorities and women, and entities owned by
minorities and women. The Contractor/Subcontractor will be required to identify contracts which
have been bid by minority owned, women owned, and/or small disadvantaged businesses.
The Age Discrimination Act of 1975 (42 U.S.C., Section 6101 et seq.);
Section 504 of the Rehabilitation Act of 1973 (29 U.S.C., Section 794) and "Nondiscrimination
Based on Handicap in Federally-Assisted Programs and Activities of the Department of Housing
and Urban Development", 24 CFR, Part 8. By signing this contract, Contractor understands and
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agrees that the activities funded herein shall be operated in accordance with 24 CFR, Part 8; and
the Architectural Barriers Act of 1968 (42 U.S.C., Section 4151 et. seq.), including the use of a
telecommunications device for deaf persons (TDDs) or equally effective communication system.
II. ENVIRONMENTAL STANDARDS
Environmental Review Procedures for Title I Community Development Block Grant
Programs, 24 CFR Part 58, as amended in 47 Fed. Reg. 15750 (April 12, 1982);
24 CFR Part 51, Environmental Criteria and Standards.
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