CHDO AGREEMENT WITH CITY OF AVONDALE AND NEWTOWN CDC.PDF
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CHDO Agreement with Newtown Community Development Corp and City of Avondale
AGREEMENT
BETWEEN
MARICOPA COUNTY
ADMINISTERED BY ITS
HUMAN SERVICES DEPARTMENT
AND
NEWTOWN COMMUNITY DEVELOPMENT CORPORATION
A COMMUNITY HOUSING DEVELOPMENT ORGANIZATION
AND
CITY OF AVONDALE
Agreement Amount: $796,326
Agreement Start Date: _March 27, 2024________
Agreement Termination Date: December 31, 2026
Agreement Number:
ALN Number: 14.239, HOME Investment Partnerships Program leave
UEI CHDO K5HLK49NLDH8
UEI Administrator: GDTNM5BLN9Y4
This Agreement “Agreement” is entered into between Maricopa County, administered by its
Human Services Department (hereinafter referred to as the “County”), Newtown Community
Development, a Community Housing Development Organization (hereinafter referred to as the
“CHDO”), and the City of Avondale (hereinafter referred to as the “Administrator”). The CHDO,
the Administrator, and the County are collectively referred to in this Agreement as the “Parties”
and individually as a “Party.”
The County shall provide financial reimbursement in the amount listed above, subject to the terms
of this Agreement and the availability of funds. The Agreement Amount constitutes the County’s
entire participation and obligation in the performance and completion of all work to be performed
under this Agreement.
The CHDO and the Administrator for, and in consideration of the covenants and conditions set
forth in this Agreement, shall provide and perform the services set forth in this Agreement. The
Parties agree all rights and obligations of the Parties shall be governed by the terms of this
Agreement and its exhibits, attachments, and appendices, including any Subcontracts,
Amendments, or Change Orders as set forth in this Agreement and in:
Section 1 – General Provisions:
Section 2 – Special Provisions:
Section 3 – Work Statement:
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CHDO Agreement with Newtown Community Development Corp and City of Avondale
Section 4 – Compensation:
Section 5 – Attachments
This Agreement contains all the terms and conditions agreed to by the Parties. No other
understandings, oral or otherwise, regarding the subject matter of this Agreement shall be
deemed to exist or to bind any of the Parties to this Agreement. Nothing in this Agreement shall
be construed as consent to any lawsuits, or waiver of any defenses in a lawsuit brought against
Maricopa County, the CHDO, or the Administrator in any state or federal court.
[Signatures contained on following page]
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CHDO Agreement with Newtown Community Development Corp and City of Avondale
IN WITNESS, the Parties have approved and signed this Agreement:
APPROVED BY:
MARICOPA COUNTY
Jack Sellers, Chairman Date
Board of Supervisors
APPROVED BY:
CITY OF AVONDALE (Administrator)
City Manager Date
Attested to:
Clerk, Board of Supervisors Date
Attested to:
City Clerk Date
IN ACCORDANCE WITH A.R.S. §§ 11-201
AND 11-251, THIS AGREEMENT HAS BEEN
REVIEWED
BY
THE
UNDERSIGNED
ATTORNEY WHO HAS DETERMINED THIS
AGREEMENT IS PROPER IN FORM AND
WITHIN THE POWERS AND AUTHORITY OF
GRANTED TO MARICOPA COUNTY UNDER
THE LAWS OF THE STATE OF ARIZONA.
IN ACCORDANCE WITH A.R.S. § 9-240, THIS
AGREEMENT HAS BEEN REVIEWED BY
THE UNDERSIGNED ATTORNEY WHO HAS
DETERMINED
THIS
AGREEMENT
IS
PROPER IN FORM AND WITHIN THE
POWERS AND AUTHORITY GRANTED TO
THE CITY OF AVONDALE UNDER THE
LAWS OF THE STATE OF ARIZONA.
Approved as to form:
Deputy County Attorney Date
Approved as to form:
Attorney for the City of Avondale Date
APPROVED BY:
NEWTOWN COMMUNITY DEVELOPMENT,
an Arizona nonprofit corporation (CHDO)
Stephanie Brewer Date
Executive Director
.
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CHDO Agreement with Newtown Community Development Corp and City of Avondale
SECTION 1
GENERAL PROVISIONS
Section 1
General Provisions
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CHDO Agreement with Newtown Community Development Corp and City of Avondale
1.0
PURPOSE
Through this Agreement, affordable single-family housing will be made available to the
residents of Maricopa County. The purpose of this Agreement is to provide the CHDO with
funding to acquire land from the City of Avondale and construct three (3) single-family
homes. The new homes will be included in Newtown’s Community Land Trust Program
(CLT) program designated for low- to moderate income households. The County shall
provide the CHDO and the Administrator with U.S. Department of Housing and Urban
Development (HUD) HOME Investment Partnerships Program funds for the provision of
HOME activities as identified in Section 3 (Work Statement).
2.0
NOTICES
All notices to be given pursuant to this Agreement will be delivered to the individuals and
addresses listed below. Notices may be delivered via certified or registered mail (postage
prepaid), overnight courier, or via email.
For Lead Agency: Maricopa County
Human Services Division
Representative Jamie Macfarlane, Program Manager, Housing and Community
Development Division
Phone: 602-506-5813
E-mail : Jamie.Macfarlane@maricopa.gov
Address: 234 North Central Avenue, Third Floor, Phoenix, Arizona 8500
For Administrator: City of Avondale
Representative: Chris Lopez, Director, Neighborhood and Family Services
Representative: Regina Marette, Housing and Community Development Manager
Phone: 623-333-2726
E-mail: rmarette@avondaleaz.gov
Address: 995 E. Riley Dr., Avondale, Arizona 85323
For CHDO: Newtown Community Development Corporation
Representative: Stephanie Brewer Executive Director
Phone: (480) 517-1589
E-mail: stephanie@newtowncdc.org
Address: 2106 E Apache Blvd, Suite 112 Tempe, AZ 85281
3.0
TERM OF AGREEMENT
This Agreement shall be effective upon approval and signature by all of the Parties. The
Term of this Agreement shall commence upon the signature of the last signer (“Agreement
Start Date”) and terminate on the Agreement Termination Date listed on page 1 of this
Agreement.
4.0
RENEWAL
This Agreement may be renewed by a written amendment, provided, however, that the
CHDO and the Administrator are in full compliance with all terms and conditions of this
Agreement. Under A.R.S. § 11-952, no renewal may exceed the duration of the previous
agreement. The CHDO shall notify the County and Administrator in writing of its intent to
extend the Agreement term at least thirty (90) calendar days prior to the expiration of the
original Agreement term, or any additional terms thereafter.
5.0
AMENDMENTS
Section 1
General Provisions
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CHDO Agreement with Newtown Community Development Corp and City of Avondale
5.1
All Amendments to this Agreement shall be in writing and approved/signed by all of
the Parties. Maricopa County Board of Supervisors shall be responsible for
approving all Amendments for Maricopa County.
5.2
The County may amend this Agreement, provided that such amendments make
specific reference to this Agreement and are executed in writing and signed by a
duly authorized representative of each of the Parties. Such amendments shall not
invalidate this Agreement nor relieve or release the County, the CHDO, or the
Administrator from their obligations under this Agreement.
6.0
ADMINISTRATIVE CHANGE ORDERS
6.1
The Chairman of the Board of Supervisors is authorized upon the recommendation
of the Human Services Department Director and Legal Counsel to make changes
within the general scope of the Agreement on behalf of the County through
Administrative Change Orders. Administrative Change Orders shall be approved
and fully executed by the Chairman of the Board of Supervisors and the authorized
representatives of the CHDO and Administrator.
6.1.1 Administrative Change Orders may address any of the following areas:
6.1.1.1 Modifications to the project timeline if the last day of the project
timeline is within the Agreement term;
6.1.1.2 Modifications to Budget line items if the Agreement Amount remains
unchanged;
6.1.1.3 Modifications required by federal, state, or County regulations,
ordinances, or policies; and
6.1.1.4 Modifications to Administrative requirements such as changes in
reporting periods, frequency of reports, or report formats required
by HUD or local regulations, policies, or requirements; and
6.2
It is the responsibility of the CHDO and the Administrator to ensure the latest
documents are consulted and followed.
7.0
ACRONYMS AND DEFINITIONS
Acronyms and Definitions found under 2 C.F.R. §§ 200.0 & 200.1 are incorporated by
reference
8.0
EFFECT
To the extent that the Special Provisions are in conflict with the General Provisions, the
Special Provisions shall control. To the extent that the Work Statement and the Special or
General Provisions are in conflict, the Work Statement shall control. To the extent that the
Compensation Provisions are in conflict with the General Provisions, Special Provisions or
Work Statement, the Compensation Provisions shall control. Nothing in this Agreement shall
operate to increase the Operating Budget without a written amendment to this Agreement
9.0
TERMINATION
9.1
Pursuant to A.R.S. § 38-511, the County may cancel this Agreement, without penalty
or further obligation, within three years after execution of this Agreement, if any
person significantly involved in initiating, negotiating, securing, drafting or creating
this Agreement on behalf of the County is, at any time while this Agreement or any
extension of this Agreement is in effect, is or becomes an employee or agent of any
other party to this Agreement in any capacity or consultant to any other party to this
Agreement with respect to the subject matter of this Agreement.
9.2
Additionally, pursuant to A.R.S. § 38-511, the County may recoup any fee or
commission paid or due to any person significantly involved in initiating, negotiating,
Section 1
General Provisions
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CHDO Agreement with Newtown Community Development Corp and City of Avondale
securing, drafting, or creating this Agreement on behalf of the County from any other
party to this Agreement arising as the result of this Agreement. A cancellation notice
made under this Subparagraph shall be effective when the recipient receives a
written notice of cancellation unless the notice specifies a later date.
9.3
A Party may terminate this Agreement at any time by giving the other Parties at least
sixty (60) calendar days prior notice in writing (unless terminated by the County
under the Availability of Funds provision). The notice shall be given by either
personal delivery or by registered or certified mail, postage prepaid and return
receipt requested to the persons at the addresses set forth on page 5 of this
Agreement.
9.4
The County has the right to terminate this Agreement upon twenty-four (24) hours’
notice when the County deems the health or welfare of the service recipients are
endangered or the CHDO’s and/or the Administrator’s non-compliance jeopardizes
funding source financial participation. If not terminated by one of the above methods,
then this Agreement will terminate upon the expiration of the Term of this Agreement
stated on page 1 of this Agreement.
9.5
In accordance with 2 C.F.R. § 200.340 et. seq, the County may suspend or terminate
this Agreement if either the CHDO or the Administrator violates, or both, violate any
term or condition of this Agreement or if either the CHDO or the Administrator fails,
or both fail, to maintain a good faith effort to carry out the purpose of this Agreement.
9.6
The Parties may terminate this Agreement for convenience in accordance with 2
C.F.R. § 200.340 The Parties shall agree upon the termination conditions including
the effective date of the termination. The Party initiating the termination shall notify
the other Parties in writing stating the reasons for such termination.
10.0
DEFINITIONS
As used throughout this Agreement, the following terms shall have the following meanings:
10.1
Administrator means the Party responsible for administering this Agreement. The
City is responsible for administering this Agreement.
10.2
Annual Action Plan means the annual plan submitted by the County (as the lead
agency of the Maricopa HOME Consortium) to HUD, which describes the
Consortium’s annual program goals.
10.3
Assistant Director means the Director of the Housing and Community
Development Division within the Maricopa County Human Services Department.
10.4
Beneficiary means a person or household that meets the income requirements of
24 C.F.R. § 92.203 subject to the restriction on assistance to students enrolled in an
institution of higher education, as described in 24 C.F.R. § 5.612.
10.5
Board of Supervisors (BOS) means the Maricopa County Board of Supervisors.
10.6
CHDO is a Community Housing Development Organization, a private non-profit
organization that meets the requirements under 24 C.F.R. Part 92.300.
10.7
CHDO Project Proceeds means funds resulting from the sale of CHDO developed
homeownership housing; permanent financing of a CHDO project that is used to pay
off a CHDO-financed construction loan; the principal and interest payments from a
loan to a buyer of CHDO-developed homeownership housing; or sale of CHDO-
sponsored rental housing to a second non-profit. For purposes of this Agreement,
the CHDO may retain project proceeds for use in HOME-eligible or other housing
activities which benefit low-income families, as required by 24 C.F.R. § 92.300.
CHDO proceeds that are retained by the CHDO are not subject to the requirements
of the HOME regulations unless the funds are recaptured because the housing no
longer meets the affordability requirements. Once the CHDO proceeds are used,
there are no further HOME requirements.
Section 1
General Provisions
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CHDO Agreement with Newtown Community Development Corp and City of Avondale
10.8
Commitment or Commit to a Specific Local Project shall have the same meaning
as set forth in 24 C.F.R. § 92.2 (1) and (2), respectively.
10.9
County means Maricopa County.
10.10 Department means the Maricopa County Human Services Department, Housing
and Community Development Division as Lead Agency.
10.11 Developer/Subcontractor means either a non-profit or for-profit organization
carrying out HOME-related project activities as described in the written agreement
between the County and the Developer.
10.12 Director means the Director of the Maricopa County Human Services Department.
10.13 Division means the Housing and Community Development Division of the Maricopa
County Human Services Department.
10.14 Fidelity Bond means a bond to indemnify the CHDO against losses resulting from
fraud or lack of integrity, honesty, or fidelity of one or more employees, officers, or
other persons holding a position of trust.
10.15 Five-Year Consolidated Plan means the HUD required Consolidated Plan
submitted by the County as the Lead Agency for the Maricopa HOME Consortium.
10.16 HOME means the HOME Investment Partnerships Program.
10.17 HUD means U.S. Department of Housing and Urban Development.
10.18 Lead Agency or Department means the Maricopa County Human Services
Department, Housing and Community Development Division.
10.19 Low-income families means families whose annual incomes do not exceed 80
percent of the median income for the area, as determined by HUD, with adjustments
for smaller and larger families, except that HUD may establish income ceilings higher
or lower than 80 percent of the median for the area on the basis of HUD findings that
such variations are necessary because of prevailing levels of construction costs or
fair market rents, or unusually high or low family incomes. An individual does not
qualify as a low-income family if the individual is a student who is not eligible to
receive Section 8 assistance under 24 C.F.R. § 5.612.
10.20 Minority Business Enterprise (MBE) means an entity that is majority owned or
controlled by a socially and economically disadvantaged individual as described
by Public Law 95-507.
10.21 Net Proceeds means the amount remaining after deducting non-HOME debt and
closing costs from the sale of a HOME funded asset, obligation, or loan.
10.22 Payment Bond means a bond executed to assure payment as required by law of
all persons performing work or providing materials in the execution of work provided
in this Agreement.
10.23 Performance Bond means a bond executed to secure fulfillment of all of the
CHDO's obligations under this Agreement.
10.24 Projects means rehabilitation or new construction as described in a legally binding
agreement between the CHDO and the prospective owners or beneficiaries of the
HOME funds for which all necessary financing has been secured and budgeted and
for which an acquisition, construction, or rehabilitation schedule has been
established and underwriting has been completed and otherwise complies with 24
C.F.R. Part 92.2(2) and 92.2 (A) and (B).
10.25 Public Agency has the meaning prescribed by A.R.S. § 11-951.
10.26 Subcontract means any agreement entered into by the CHDO with a third party for
professional services performance of any of the work or provision of any of the
services covered by this Agreement.
10.27 Subcontractor means an entity funded through the CHDO to provide any work or
services required by the Work Statement.
Section 1
General Provisions
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CHDO Agreement with Newtown Community Development Corp and City of Avondale
10.28 Vendor means an entity funded through the CHDO to provide services required by
the Work Statement.
10.29 Very low-income families means low-income families whose annual incomes do
not exceed 50 percent of the median family income for the area, as determined by
HUD with adjustments for smaller and larger families, except that HUD may
establish income ceilings higher or lower than 50 percent of the median for the area
on the basis of HUD findings that such variations are necessary because of
prevailing levels of construction costs or fair market rents, or unusually high or low
family incomes. An individual does not qualify as a very low-income family if the
individual is a student who is not eligible to receive Housing Choice Voucher
assistance under 24 C.F.R. § 5.612.
10.30 Work Statement means the section of this Agreement that contains a description
of services to be delivered pursuant to this Agreement.
10.31 Women’s Business Enterprise (WBE) means an entity in which a woman has
majority ownership and control.
11.0
GENERAL REQUIREMENTS
11.1
The terms of this Agreement shall be construed in accordance with Arizona law and
the applicable regulations of the United States Department of Housing and Urban
Development (HUD). Any lawsuit arising out of this Agreement shall be brought in
the appropriate court in Maricopa County, Arizona.
11.2
The CHDO and the Administrator shall, without limitation, obtain and maintain all
licenses, permits, and authority necessary to do business, render services, and
perform work under this Agreement, and they shall comply with all laws regarding
unemployment insurance, disability insurance, and workers’ compensation.
11.3
The CHDO and the Administrator are independent contractors in the performance
of work and the provision of services under this Agreement.
11.4
The CHDO and the Administrator shall comply with the provisions of 2. C.F.R. 200
and 2 C.F.R 570.611 prohibiting a conflict of interest, and not make any payments,
either directly or indirectly, to any person, partnership, corporation, trust, or other
organization that has a substantial interest in the Parties’ organization(s) or with
which the Parties (or one of their directors, officers, owners, trust certificate holders,
or relatives) have a substantial interest, unless the Parties make full written
disclosure of the proposed payments to the County and have received written
approval for the payments.
11.5
For purposes of this provision, the terms "substantial interest" and "relative" shall
have the meanings prescribed by A.R.S. § 38-502.
12.0
ACCEPTANCE OF FUNDS
The CHDO and the Administrator hereby agree to the receipt of funds under the terms of
this Agreement and agree to execute and return a signed Agreement to the County within
thirty (30) days after receipt of this Agreement unless the CHDO and the Administrator have
received a written waiver of this requirement from the County.
13.0
ASSIGNMENT AND SUBCONTRACTING
13.1
No right, liability, obligation, or duty under this Agreement may be assigned,
delegated, or subcontracted, in whole or in part, without the prior written approval of
the County. The CHDO and the Administrator shall bear all liability under this
Agreement, even if it is assigned, delegated, or subcontracted, in whole or in part,
unless the County agrees otherwise.
Section 1
General Provisions
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CHDO Agreement with Newtown Community Development Corp and City of Avondale
13.2
In accordance with 2 C.F.R. §200.331, the CDHO and Administrator may make a
“Subaward” as a pass-through entity for the purpose of carrying out a portion of the
federal award. The CDHO and Administrator will make determinations classifying
recipients of federal funds as a Subrecipient or a Subcontractor.
13.3
The CDHO and Administrator’s rate for the job shall not exceed that of the
Subrecipient’s rate, as bid in the pricing section, unless the CDHO and or
Administrator is willing to absorb any higher rates, or the County has approved the
increase. The Subcontractor’s invoice shall be invoiced directly to the CDHO and
or Administrator, who in turn shall pass through the costs to the County, without
mark-up. A copy of the Subcontractor’s invoice must accompany the CDHO and
or Administrator’s invoice.
13.4
CDHO and Administrator must ensure any Subaward recipient or subcontractor is
compliant with all and general federal grant requirements, including reporting
requirements
14.0
AVAILABILITY OF FUNDS
14.1
The provisions of this Agreement relating to the payment for services shall become
effective when funds assigned for the purpose of compensating the CHDO and the
Administrator, as provided in this Agreement, actually are available to the County for
disbursement. The County shall be the sole authority in determining the availability
of funds under this Agreement and the County shall keep the CHDO and the
Administrator fully informed as to the availability of funds.
14.2
If any action is taken by any state agency, federal department, or any other agency
or instrumentality to suspend, decrease, or terminate its fiscal obligation under or in
connection with this Agreement, then the Parties may amend, suspend, decrease,
or terminate their obligations under or in connection with this Agreement. In the event
of termination, the County shall be liable for payment only for services rendered prior
to the effective date of the termination, provided that such services performed are in
accordance with the provisions of this Agreement. The County shall give written
notice of the effective date of any suspension, amendment, or termination under this
section at least ten (10) calendar days in advance.
15.0
BUDGET ADJUSTMENTS
15.1
Any requests for reasonable budget adjustments must be submitted ninety (90) days
prior to the expiration of this Agreement. Requests for adjustments to this Agreement
must be supported by documentation.
15.2
The CHDO and the Administrator must receive prior written approval from the
County to move funds from one budget activity line item to another. Budget
adjustments that do not change the Agreement Amount may be documented by an
Administrative Change approved and fully executed by the Chairman of the Board
of Supervisors and the CHDO and the Administrator’s authorized Representatives
as defined in Section 1 (General Provisions), Paragraph 6.0 (Administrative
Change Orders). If a budget adjustment is necessary that either increases or
decreases the Agreement amount, then the County shall follow Section 1 (General
Provisions), Paragraph 5.0 (Amendments) of this Agreement to amend the
Agreement.
16.0
DISPUTES
16.1
Except as may otherwise be provided for in this Agreement, the Parties may attempt
to informally resolve any dispute arising out of this Agreement for a reasonable
period of time, which shall not exceed one hundred twenty (120) calendar days.
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CHDO Agreement with Newtown Community Development Corp and City of Avondale
Disputes which are not resolved in that time period shall be submitted in accordance
with the following formal dispute resolution process:
16.1.1 If a dispute cannot be resolved informally, then the CHDO and the
Administrator shall notify the Department in writing by mailing notice of the
dispute to the Assistant Director within ten (10) business days from expiration
of the informal dispute resolution process described in Subparagraph 16.1
above
16.1.2 The Assistant Director shall respond in writing to the CHDO and the
Administrator within fourteen (14) business days. The decision of the
Assistant Director shall be final and conclusive unless, within seven (7)
business days after the date the CHDO and the Administrator are served
with the decision, the CHDO and the Administrator file a written notice of
appeal with the Human Services Department Director.
16.1.3 The Human Services Department Director shall provide the CHDO and the
Administrator with a written response within fourteen (14) business days
following receipt of the notice of appeal. The decision of the Director shall be
final and not appealable.
16.1.4 Pending a final decision from the Director, the CHDO and the Administrator
shall diligently proceed with their performance of this Agreement in
accordance with the Assistant Director’s decision.
17.0
DEFAULT AND REMEDIES FOR NONCOMPLIANCE
17.1
Notwithstanding anything to the contrary, this section shall not be deleted or
superseded by any other provision of this Agreement.
17.2
This Agreement may be immediately terminated by the County if either the CHDO
or the Administrator defaults by failing to perform any objective, or breaches any
obligation under this Agreement, or any event occurs that jeopardizes the CHDO’s
or the Administrator’s ability to perform any of their obligations under this Agreement.
The County reserves the right to have the services provided by persons other than
the CHDO or the Administrator if either the CHDO or the Administrator is unable or
fails to provide required services within the specified time frame.
17.3
Failure to comply with the requirements of this Agreement and all applicable
federal, state, or local laws, rules, and regulations may result in suspension or
termination of this Agreement, the return of unexpended funds (less just
compensation for work satisfactorily completed that, to date, has not been paid),
the reimbursement to the County by the CHDO and the Administrator of any funds
improperly expended, or the recovery of funds improperly acquired.
Noncompliance with this Agreement includes but is not limited to:
17.3.1 Nonperformance of any obligations required by this Agreement;
17.3.2 Noncompliance with any applicable federal, state, or local laws, rules, or
regulations, including HUD guidelines, policies, or directives;
17.3.3 Unauthorized expenditure of funds;
17.3.4 Violation of the applicable affordability period;
17.3.5 Improper disposition of recaptured proceeds;
17.3.6 Improper disposition of project proceeds;
17.3.7 Noncompliance with applicable financial record requirements, accounting
principles, or standards established by OMB Uniform guidance 2 C.F.R. §§
200, et seq; and
17.3.8 Noncompliance with recordkeeping, record retention, or reporting
requirements.
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17.4
Notwithstanding the suspension or termination of this Agreement, or the final
determination of the proper disposition of funds, the CHDO and the Administrator
shall, without intent to limit or with restrictions, be subject to the following:
17.5
All awards for funding shall be immediately revoked, and any approvals related to
the project described in the Special Provision or Work Statement shall be deemed
revoked and canceled. Thereby, any entitlements to compensation after
suspension or termination of this Agreement are similarly revoked and unavailable.
17.5.1 Not be relieved of any liability or responsibility associated with the Special
Provision or Work Statement.
17.5.2 Acknowledge that suspension or termination of this Agreement does not
affect or terminate any rights against the CHDO and the Administrator at
the time of suspension or termination, or that may accrue later. Nothing
herein shall be construed to limit or terminate any right or remedy available
under contract or rule.
17.5.3 Waiver of a breach or default of any term, covenant, or condition of this
Agreement or any federal, state, or local law, rule, or regulation shall not
operate as a waiver of any subsequent breach of the same or any other
term, covenant, condition, law, rule, or regulation.
17.6
The CHDO and the Administrator shall, upon notice or with knowledge obtained by
the CHDO, the Administrator, or others, take any and all proactive actions
necessary, and provide any and all applicable remedies to address and correct any
act by themselves, and any and all of their agents, representatives, officers, officials,
directors, them or their employees, volunteers, officials, successors, assigns, or
Subcontractors, that resulted in any wrongdoing (intentional or unintentional);
misuse or misappropriation of funds; the incorrect or improper disposition of funds;
any violation of any federal, state, or local law, rule, or regulation; or the breach of
any certification or warranty provided in this Agreement.
18.0
SEVERABILITY
Any provision of this Agreement that is determined to be invalid, void, or illegal by a court
shall in no way affect, impair, or invalidate any other provision of this Agreement, and the
remaining provisions shall remain in full force and effect.
19.0
STRICT COMPLIANCE
The County’s acceptance of the CHDO’s and the Administrator’s performance that is not in
strict compliance with the terms of this Agreement, shall not be deemed to waive the
requirements of strict compliance for all future performance. All changes in performance
obligations under this Agreement shall be in writing and signed by all the Parties
20.0
NON-LIABILITY
The County and its agents, representatives, officials, officers, directors, employees,
volunteers, departments, agencies, boards, and commissions shall not be liable for any act
or omission by the CHDO, the Administrator, or any and all agent, representative, official,
officer, director, employee, volunteer, department, agency, board, or commission of the
CHDO, the Administrator, or Vendor occurring in the performance of this Agreement, nor
shall the County and its agents, representatives, officials, officers, directors, employees,
volunteers, departments, agencies, boards, and commissions be liable for purchases or
contracts made by the CHDO, the Administrator, Vendor or any agent, representative,
official, officer, director, employee, volunteer, department, agency, board, or commissions
of the CHDO, the Administrator, or the Vendor, in connection with this Agreement.
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21.0
GENERAL INDEMNIFICATION
21.1
To the fullest extent permitted by law, and to the extent that claims, damages,
losses, or expenses are not covered and paid by insurance purchased by the
CHDO and the Administrator, the CHDO and Administrator shall defend,
indemnify, and hold harmless the County, its agents, representatives, officers,
directors, officials, and employees from and against all claims, damages, losses,
and expenses (including, but not limited to reasonable attorneys' fees, court costs,
expert witness fees, and the costs and attorneys' fees for appellate proceedings)
arising out of the negligent acts, errors, omissions, of the CHDO, the Administrator,
their agents, representatives, employees, or subcontractors relating to the
performance of this Agreement.
21.2
The CHDO 's and Administrator’s duty to defend, indemnify, and hold harmless
the County, its agents, representatives, officers, directors, officials, and employees
shall arise in connection with any claim, damage, loss, or expense that is
attributable to bodily injury, sickness, disease, death, or injury to, impairment of, or
destruction of tangible property, including loss of use resulting therefrom, caused
by negligent acts, errors or omissions, in the performance of this Agreement, but
only to the extent caused by the negligent acts or omissions of the CHDO, the
Administrator, a subcontractor, anyone directly or indirectly employed by them, or
anyone for whose acts they may be liable, regardless of whether or not such claim,
damage, loss, or expense is caused in part by a party indemnified here under.
21.3
The amount and type of insurance coverage requirements set forth herein will in
no way be construed as limiting the scope of the indemnity in this section.
21.4
Notwithstanding the foregoing to the contrary, the CHDO and Administrator are not
liable for the negligence or willful misconduct of County or any of the indemnitee.
22.0
OFFSHORE PERFORMANCE OF WORK PROHIBITED
Due to security and identity protection concerns, direct services under this Agreement
shall be performed within the borders of the United States. Any services that are described
in the specifications or scope of work that directly serve the State of Arizona or its clients
and may involve access to secure or sensitive data or personal client data or development
or modification of software for the State shall be performed within the borders of the United
States. Unless specifically stated otherwise in the specifications, this definition does not
apply to indirect or “overhead” services, redundant back-up services or services that are
incidental to the performance of this Agreement. The provision applies to work performed
by Subcontractors at all tiers.
23.0
TECHNICAL ASSISTANCE
The County shall provide reasonable technical assistance to the CHDO and the
Administrator to assist in complying with state and federal laws and regulations, and
accountability for diligent performance and compliance with the terms and conditions of this
Agreement and all applicable laws, regulations, and standards. However, this assistance in
no way relieves the CHDO and the Administrator of full responsibility and accountability for
their actions and performance in compliance with the terms of this Agreement.
24.0
SINGLE AUDIT ACT REQUIREMENTS
The CHDO and the Administrator are subject to the federal audit requirements of the Single
Audit Act of 1984, as amended (Pub. L. No. 98-502) (codified at 31 U.S.C. §§ 7501, et seq.).
The CHDO and the Administrator shall comply with 2 C.F.R. §§ 200, et seq. Upon
completion, such audits shall be made available for public inspection. Audits shall be
submitted within the twelve (12) months following the close of the fiscal year. The CHDO
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and the Administrator shall take corrective actions within six (6) months after the date of
receipt of the reports. The County shall consider sanctions as described in 2 C.F.R. §
200.505 if it is determined by HUD or the County that either the CHDO or the Administrator
(or both) is not in compliance with the audit requirements.
25.0
AUDIT DISALLOWANCES
25.1
The CHDO and the Administrator shall, upon written notice, reimburse the County
for any payments made under this Agreement that are disallowed by a federal, state,
or County audit in the amount of the disallowance. Court costs and attorney and
expert fees incurred will be specifically identified as applicable to the recovery of the
disallowed costs in question.
25.2
If the County determines that a cost for which payment has been made is a
disallowed cost, then the County will notify the CHDO and the Administrator in writing
of the disallowance and the required course of action, which shall be at the option of
the County, either to adjust any future claim submitted by the CHDO and the
Administrator by the amount of the disallowance or to require immediate repayment
of the disallowed amount by the CHDO and the Administrator issuing a check
payable to the County.
26.0
STAFF AND VOLUNTEER TRAINING
The County may make available to the CHDO and the Administrator the opportunity to
participate in any applicable training activities conducted by the County.
27.0
LOBBYING
27.1
No federal appropriated funds have been paid or will be paid by or on behalf of the
CHDO and the Administrator to any person for influencing or attempting to influence
an officer or employee of any agency, a member of Congress, an officer or employee
of Congress, or an employee of a member of Congress in connection with the
awarding of any federal agreement, the making of any federal grant, the making of
any federal loan, the entering into of any cooperative agreement, and the extension,
continuation, renewal, amendment, or modification of any federal agreement, grant,
loan, or cooperative agreement.
27.2
If any funds, other than federal appropriated funds, have been paid or will be paid to
any person for influencing or attempting to influence an officer or employee of any
agency, a member of Congress, an officer or employee of Congress, or an employee
of a member of Congress in connection with any federal agreement, grant, loan or
cooperative agreement, then the CHDO and the Administrator shall complete and
submit OMB Form-LLL, titled "Disclosure of Lobbying Activities," in accordance with
its instructions and 31 U.S.C. § 1352
28.0
RELIGIOUS ACTIVITIES
The CHDO and the Administrator agree that none of their costs and none of the costs
incurred by any Vendor will include any expense for any religious activity.
29.0
POLITICAL ACTIVITY PROHIBITED
None of the funds, materials, property, or services contributed by the County, the CHDO, or
the Administrator under this Agreement shall be used for any partisan political activity, or to
further the election or defeat of any candidate for public office.
30.0
COVENANT AGAINST CONTINGENT FEES
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The CHDO and the Administrator warrant that no person or entity has been employed or
retained to solicit or secure this Agreement upon an agreement or understanding for a
commission, percentage, brokerage, or contingent fee. For breach or violation of this
warranty, the County may immediately terminate this Agreement without liability.
31.0
CONFIDENTIAL INFORMATION
31.1
Any information obtained in the course of performing this Agreement may include
information that is proprietary or confidential to the County. This provision
establishes the CHDO and the Administrator’s obligation regarding such
information.
31.2
The CHDO and the Administrator shall establish and maintain procedures and
controls that are adequate to assure that no information contained in its records
and/or obtained from the County or from others in carrying out its functions (services)
under the Agreement shall be used by or disclosed by it, its agents, officers, or
employees, except as required to efficiently perform duties under the Agreement, or
as required by the Arizona Public Records Act. The CHDO and the Administrator’s
procedures and controls at a minimum must be the same procedures and controls
it uses to protect its own proprietary or confidential information. If, at any time during
the duration of the Agreement, the County determines that the procedures and
controls in place are not adequate, the CHDO and the Administrator shall institute
any new and/or additional measures requested by the County within fifteen (15)
calendar days of the written request to do so.
31.3
Any requests to the CHDO and the Administrator for County proprietary or
confidential information shall be referred to the County for review and approval, prior
to any dissemination
32.0
SAFEGUARDING OF PARTICIPANT INFORMATION
32.1
The CHDO and Administrator shall observe and abide by all applicable State of
Arizona and federal statues, rules, and regulations regarding the use or disclosure
of information including, but not limited to, information concerning applicants for and
recipients of contracted services. To the extent permitted by law, the CHDO and
Administrator shall release information to the County Department, Attorney
General’s Office, or other designated agency as required by the County by the terms
of this Agreement or by law.
32.2
The CHDO and Administrator shall comply with the requirements of the Arizona
Address Confidentiality Program, A.R.S. §§ 41-161, et seq. The Department will
advise the CHDO and Administrator as to applicable policies and procedures
adopted for such compliance.
32.3
The CHDO and Administrator understands that client information collected under
this Agreement is private and the use or disclosure of such information, when not
directly connected with the administration of the CHDO and Administrator's
responsibilities with respect to services provided under this Agreement, is
prohibited unless written consent is obtained from such person receiving service.
33.0
RIGHTS IN DATA
The Parties shall have the use of data and reports resulting from this Agreement without
cost or other restriction, except as otherwise provided by law or applicable regulation. Each
Party shall supply the other Parties, upon request, any available information that is relevant
to this Agreement and to the performance hereunder it.
34.0
COPYRIGHTS
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CHDO Agreement with Newtown Community Development Corp and City of Avondale
If this Agreement results in a book or other written material, then the author is free to
copyright the work, but the County reserves a royalty-free, nonexclusive, perpetual, and
irrevocable license to reproduce, publish, or otherwise use, and to authorize others to use
all copyrighted material and all material that can be copyrighted as a result of this
Agreement.
35.0
PATENTS
Any discovery or invention arising out of, or developed in the course of, work aided by this
Agreement shall be promptly and fully reported to the County for determination as to whether
patent protection on such invention or discovery shall be sought and how the rights in the
invention or discovery, including rights under any patent issued on such invention or
discovery, shall be disposed of and administered in order to protect the public interest.
36.0
AGREEMENT COMPLIANCE MONITORING
36.1
The County will monitor the CHDO’s and Administrator’s compliance for fiscal and
programmatic performance under the terms and conditions of this Agreement and
applicable regulations promulgated by the HUD and Maricopa County. On-site visits
for compliance monitoring may be made by either the County or its grantor agencies
(or by both the County and its grantor agencies) at any time during the CHDO's and
Administrator’s normal business hours, announced or unannounced. For auditing
purposes, the County shall provide the CHDO and Administrator with a 30-day
advance notice of proposed on-site visit. During an on-site visit, the CHDO and
Administrator shall make all of their records and accounts related to work performed
under this Agreement available to the County for inspection and copying.
36.2
The County shall request information for monitoring/audit per Office of Management
and Budget (OMB) Uniform Guidance 2 C.F.R. § 200, to include:
36.2.1
Financial Management 2 C.F.R. § 200.302
36.2.2
Internal Controls 2 C.F.R. § 200.303
36.2.3
Bonds 2 C.F.R. § 200.304
36.2.4
Payment and Financial Reporting 2 C.F.R. § 200.305
36.2.5
Cost Sharing or Matching 2 C.F.R. § 200.306
36.2.6
Program Income 2 C.F.R. § 200.307
36.2.7
Revision of Budget and Program Plans 2 C.F.R. § 200.308
36.2.8
Period of Performance 2 C.F.R. § 200.309
36.2.9
Insurance Coverage 2 C.F.R. § 200.310
36.2.10 Record Retention and Access 2 C.F.R. § 200.334 - 200.338
36.2.11 Procurement Standards 2 C.F.R. § 200.318
36.2.12 Indirect Costs 2 C.F.R. § 200.414
36.2.13 Compensation-Personal Services 2 C.F.R. § 200.430
36.2.14 Audit Requirements 2 C.F.R. § 200.501-200.517
37.0
CONTINGENCY RELATING TO OTHER CONTRACTS AND GRANTS
37.1
The CHDO and the Administrator shall, during the term of this Agreement,
immediately inform the Lead Agency in writing of any other agreement or grant,
including any other agreement or grant awarded by the County, where the award
may affect either the direct or indirect costs being paid or reimbursed under this
Agreement. Failure by either the CHDO or the Administrator (or both) to notify the
County of such award shall be considered a violation of this Agreement and the
County may immediately terminate this Agreement without liability.
37.2
The County may request, and the CHDO and the Administrator will provide within a
reasonable time, which shall not exceed ten (10) business days, a copy of such other
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agreement or grant, when in the opinion of the County the award of the Agreement
or grant may affect the costs being paid or reimbursed under this Agreement.
37.3
If the County determines that the award to either the CHDO or the Administrator (or
both) of such other agreement or grant has affected the costs being paid or
reimbursed under this Agreement, then the County will prepare an amendment to
this Agreement effecting a cost adjustment. If either the CHDO or the Administrator
(or both) disputes the proposed cost adjustment, then the dispute shall be resolved
pursuant to the "Disputes" section contained in this Agreement.
38.0
MINIMUM WAGE REQUIREMENTS
The CHDO and the Administrator warrant that they shall pay all of their employees who are
engaged in either performing work or providing services under the terms of this Agreement
not less than the minimum wage specified under Section 206(a)(1) of the Fair Labor
Standards Act of 1938, as amended (29 U.S.C. §§ 201, et seq.), by law and regulation, and,
as applicable, Executive Order 13658, as amended, and as specified by Arizona law.
39.0
RECOGNITION OF DEPARTMENT SUPPORT
The CHDO and the Administrator will give recognition to the County and the funding source
for their support when the CHDO publishes materials that are (or releases of public
information that is) paid for either in whole or in part with funds received by the CHDO or the
Administrator (or both) under this Agreement.
40.0
INSURANCE
40.1
The CHDO and the Administrator, shall purchase and maintain at a minimum,
insurance stipulated in this Agreement from a company or companies duly licensed
by the State of Arizona and possessing a current A.M. Best, Inc. rating of B++ or
higher. In lieu of State of Arizona licensing, the stipulated insurance may be
purchased from a company or companies, which are authorized to do business in
the State of Arizona, provided that such insurance company or companies meet
the approval of the County. The form of any insurance policies and forms must be
acceptable to the County.
40.2
All insurance required herein shall be maintained in full force and effect until all
work or service required to be performed under the terms of the Agreement is
satisfactorily completed and formally accepted. Failure to do so may, at the sole
discretion of the County, constitute a material breach of this Agreement.
40.3
In the event that the insurance required is written on a claims-made basis, CHDO
and the Administrator warrants that any retroactive date under the policy shall
precede the effective date of this Agreement and either continuous coverage will be
maintained, or an extended discovery period will be exercised for a period of two
years beginning at the time work under this Agreement is completed.
40.4
The CHDO’s and the Administrator’s insurance shall be primary insurance as
respects the County, and any insurance or self-insurance maintained by the
County shall not contribute to it.
40.5
Any failure to comply with the claim reporting provisions of the insurance policies
or any breach of an insurance policy warranty shall not affect coverage afforded
under the insurance policies to protect the County.
40.6
The insurance policies may provide coverage that contains deductibles or self-
insured retentions. Such deductible or self-insured retentions (or both) shall not be
applicable with respect to the coverage provided to the County under those
policies. The CHDO and the Administrator shall be solely responsible for the
deductible and self-insured retention and the County, at its option, may require the
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CHDO and the Administrator to secure payment of such deductibles or self-insured
retentions by a surety bond or an irrevocable and unconditional letter of credit.
40.7
The insurance policies required by this Agreement, except Workers’
Compensation and Errors and Omissions, shall name County, its agents,
representatives, officers, directors, officials, and employees as additional insureds
or additional loss payees as applicable.
40.8
The policies required hereunder, except Errors and Omissions, shall contain a
waiver of transfer of rights of recovery (subrogation) against County, its agents,
representatives, officers, directors, officials, and employees for any claims arising
out of the CHDO and the Administrator’s work or service.
40.9
If available, the insurance policies required by this Agreement may be combined
with Commercial Umbrella Insurance policies to meet the minimum limit
requirements. If a Commercial Umbrella insurance policy is utilized to meet
insurance requirements, the Certificate of Insurance shall indicate which lines the
Commercial Umbrella Insurance covers.
40.10 Commercial General Liability:
40.10.1
Commercial General Liability (CGL) insurance and, if necessary,
Commercial Umbrella insurance with a limit of not less than $2,000,000
for each occurrence, $4,000,000 Products/Completed Operations
Aggregate, and $4,000,000 General Aggregate Limit. The policy shall
include coverage for premises liability, bodily injury, broad form property
damage, personal injury, products and completed operations and
blanket contractual coverage, and shall not contain any provisions which
would serve to limit third party action over claims. There shall be no
endorsement or modifications of the CGL limiting the scope of coverage
for liability arising from explosion, collapse, or underground property
damage
40.11 Errors and Omissions/Professional Liability Insurance
40.11.1
Errors and Omissions (Professional Liability) insurance which will insure
and provide coverage for errors or omissions, or professional liability of
the architect engaged by the CHDO or the Administrator for the Project,
or both, with limits of no less than $2,000,000 for each claim.
40.12 Builder’s Risk (Property) Insurance
40.12.1
CHDO and the Administrator shall purchase and maintain, on a
replacement cost basis, Builders’ Risk insurance and, if necessary,
Commercial Umbrella insurance in the amount of the initial Agreement
amount, as well as subsequent modifications thereto for the entire work
at the site. Such Builders’ Risk insurance shall be maintained until final
payment has been made or until no person or entity other than County
has an insurable interest in the property required to be covered,
whichever is earlier. This insurance shall include interests of County, the
CHDO and the Administrator, and all subcontractors and sub‐
subcontractors in the work during the life of the Agreement and course
of construction and shall continue until the work is completed and
accepted by County. For new construction projects, CHDO and the
Administrator agrees to assume full responsibility for loss or damage to
the work being performed and to the structures under construction. For
renovation construction projects, the CHDO and the Administrator agree
to assume responsibility for loss or damage to the work being performed
at least up to the full Agreement amount, unless otherwise required by
the Agreement documents or amendments thereto. Builders’ Risk
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CHDO Agreement with Newtown Community Development Corp and City of Avondale
insurance shall be on a special form and shall also cover false work and
temporary buildings and shall insure against risk of direct physical loss
or damage from external causes including debris removal, and
demolition occasioned by enforcement of any applicable legal
requirements and shall cover reasonable compensation for architect’s
service and expenses required as a result of such insured loss and other
“soft costs” as required by the Agreement. Builders’ Risk insurance must
provide coverage from the time any covered property comes under the
CHDO and the Administrator’s control and/or responsibility, and
continue without interruption during construction, renovation, or
installation, including any time during which the covered property is
being transported to the construction installation site and while on the
construction or installation site awaiting installation. The policy will
provide coverage while the covered premises or any part thereof are
occupied. Builders’ Risk insurance shall be primary, and any insurance
or self‐insurance maintained by the County is not contributory. If the
Agreement requires testing of equipment or other similar operations, at
the option of County, the CHDO and the Administrator will be
responsible for providing property insurance for these exposures under
a Boiler and Machinery insurance policy or the Builders’ Risk Insurance
policy
40.13 Workers’ Compensation:
40.13.1
Workers’ Compensation insurance to cover obligations imposed by
federal and state statutes having jurisdiction of the CHDO and the
Administrator’s employees engaged in the performance of the work or
services under this Agreement; and Employer’s Liability insurance of not
less than $1,000,000 for each accident, $1,000,000 disease for each
employee, and $1,000,000 disease policy limit.
40.13.2
CHDO and Administrator waive all rights against County and its agents,
representatives, officials, officers, directors, employees, volunteers,
departments, agencies, boards, and commissions for recovery of
damages to the extent these damages are covered by the Worker’s
Compensation and Employer’s Liability, or commercial umbrella liability
insurance obtained by the CHDO and the Administrator pursuant to this
Agreement
40.14 Certificates of Insurance:
40.14.1
Within ten (10) calendar days following the closing of construction
financing for the Project, the CHDO and the Administrator shall furnish
the County with valid and complete Certificates of Insurance, or formal
endorsements as required by the Agreement in the form provided by the
County, issued by CHDO and the Administrator’s insurer(s), as evidence
that policies providing the required coverage, conditions and limits
required by this Agreement are in full force and effect. Such certificates
shall identify this Agreement number and title.
40.15 In the event any insurance policy(ies) required by this Agreement is (are) written
on a claims-made basis, coverage shall extend for two years past completion and
acceptance of CHDO and the Administrator’s work or services and as evidenced
by annual certificates of insurance.
40.16 If a policy does expire during the life of the Agreement, a renewal certificate must
be sent to County 15 calendar days prior to the expiration date.
40.17 Certificate holder shall be identified as:
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CHDO Agreement with Newtown Community Development Corp and City of Avondale
Maricopa County
c/o Risk Management
301 W Jefferson St., Suite 910
Phoenix, AZ 85003
40.18 Cancellation and Expiration Notice
40.18.1
Applicable to all insurance policies required within the insurance
requirements of this Agreement, the CHDO and Administrator’s
insurance shall not be permitted to expire, be suspended, be canceled,
or be materially changed for any reason without 30 days prior written
notice to Maricopa County. The CHDO and Administrator must provide
Maricopa County, within ten business days of receipt, if they receive
notice of a policy that has been or will be suspended, canceled,
materially changed for any reason, has expired, or will be expiring. Such
notice shall be sent directly to Maricopa County Human Services
Department and shall be mailed, or delivered to 234 N. Central Avenue,
Phoenix, AZ 85004, or emailed to the Human Services representative
noted in the Agreement.
40.19 Exceptions:
40.19.1
In the event the CHDO, the Administrator, or a sub-contractor is a public
entity, the Insurance Requirements shall not apply to such public entity.
Such public entity shall provide a Certificate of Self-Insurance equal to:
40.19.1.1 General Aggregate: $3,000,000
Each Occurrence Limit: $1,000,000
40.19.1.2 Mail COI to:
Maricopa County
c/o Risk Management
301 W Jefferson St., Suite 910
Phoenix, AZ 85003
41.0
BONDING
41.1
The CHDO shall not receive any initial reimbursements under this Agreement in an
amount greater than the CHDO's bonding limit.
41.2
The CHDO shall provide the Lead Agency with documentation of required bonding.
41.3
The CHDO and the Administrator shall have fidelity bonding of not less than the
maximum amount of cash on hand or an amount equal to the initial reimbursement,
whichever is greater.
41.4
Bonding requirements shall prevail throughout the term of this Agreement.
42.0
GRIEVANCE PROCEDURE
The CHDO and the Administrator shall establish a system through which applicants for, and
recipients of, services may present grievances and may make appeals about eligibility and
other aspects of the CHDO’s and the Administrator’s work under this Agreement. The
grievance procedure shall include provisions for notifying the applicants for, and recipients
of, services of their eligibility or ineligibility for service and their right to appeal to the County
if the grievance is not satisfied at the CHDO’s and the Administrator’s level. This system
shall include protest procedures for decisions related to contract awards and requests for
reasonable accommodations for persons with disabilities.
43.0
NONDISCRIMINATION, EQUAL OPPORTUNITY AND EQUAL ACCESS
43.1
CHDO and the Administrator shall comply with all provisions and requirements of
Arizona Executive Order 2009-09 including flow down of all provisions and
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requirements to any subcontractors. Executive Order 2009-09 supersedes
Executive order 99-4 and amends Executive order 75-5 and may be viewed and
downloaded at the Arizona State Library Research website:
(http://azmemory.azlibrary.gov/cdm/singleitem/collection/execorders/id/680/rec/1)
which is hereby incorporated into this Agreement as if set forth in full herein. In
connection with any service or other activity under this Agreement, CHDO and
Administrator shall not discriminate against any employee, client, or any other
individual in any way, including, not limited to, because of that person’s age, race,
creed, color, religion, sex, disability, or national origin.
43.2
The CHDO and the Administrator, in connection with any service or other activity
under this Agreement, shall not in any way, discriminate against any person on the
grounds of race, color, religion, sex, national origin, age, disability, political affiliation
or belief. The CHDO and the Administrator shall include this clause in all of its
Subcontracts. Refer to Paragraph 17.0, (Default and Remedies for Noncompliance).
44.0
EQUAL EMPLOYMENT OPPORTUNITY
44.1
The CHDO and the Administrator shall not discriminate against any employee or
applicant for employment because of race, age, disability, color, religion, sex, or
national origin.
44.2
The CHDO and the Administrator shall each take affirmative action to ensure
applicants are employed and that employees are treated during employment without
regard to their race, age, disability, color, religion, sex, or national origin. Such action
shall include but is not limited to the following: employment, upgrading, demotion or
transfer, recruitment, or recruitment advertising, lay-off or termination, rates of pay
or other forms of compensation, and selection for training, including apprenticeship.
The CHDO and the Administrator will, in all solicitations or advertisements for
employees placed by or on behalf of the CHDO and the Administrator, state that it
is an Equal Opportunity or Affirmative Action employer.
44.3
The CHDO and the Administrator shall, to the extent the following provisions apply,
comply with:
44.3.1 Title VI and VII of the Civil Rights Act of 1964, as amended (42 U.S.C. §§
2000a, et seq.);
44.3.2 the Rehabilitation Act of 1973, as amended (29 U.S.C. §§ 701, et seq.);
44.3.3 the Age Discrimination in Employment Act of 1967, as amended (29 U.S.C.
§§ 621, et seq.);
44.3.4 the Americans With Disabilities Act of 1990 (42 U.S.C. §§ 12101, et seq.);
and
44.3.5 Arizona Executive Order 2009-09, as amended, et seq. which mandates that
all persons shall have equal access to employment opportunities.
44.4
The CHDO and the Administrator shall include the above-listed provisions in every
subcontract or purchase order, specifically or by reference. The inclusion of these
provisions are binding and a requirement of this Agreement
45.0
DISABILITY REQUIREMENTS
The CHDO and the Administrator agrees that any electronic or information technology
offered under this Agreement shall comply with A.R.S. §§41-2531 and 41-2532 and section
508 of the Rehabilitation Act of 1973, which requires that employees and members of the
public shall have access to and use of information technology that is comparable to the
access and use by employees and members of the public who are not individuals with
disabilities.
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46.0
UNIFORM ADMINISTRATIVE REQUIREMENTS
The CHDO and the Administrator agree to comply with all applicable provisions of Title 2,
Subtitle A, Chapter II, Part 200—UNIFORM ADMINISTRATIVE REQUIREMENTS, COST
PRINCIPLES, AND AUDIT REQUIREMENTS FOR FEDERAL AWARDS contained in Title
2 C.F.R. § 200, et seq.
47.0
FINANCIAL MANAGEMENT
47.1
The CHDO and Administrator agree to maintain an adequate accounting system
that provides for appropriate grant accounting (including calculation of program
income).
47.2
The CHDO and Administrator shall comply with accounting principles and
procedures required to utilize adequate internal controls and maintain necessary
source documentation for all costs incurred, as well as any applicable federal laws
and regulations
47.3
The CHDO and Administrator shall establish and maintain separate, interest-bearing
bank accounts for money provided under this Agreement, or an accounting system
that assures the safeguarding and accountability of all money and assets provided
under this Agreement. No part of the money deposited in such bank account shall
be commingled with other funds or money belonging to the CHDO or the
Administrator (or both). All interest earned on such an account shall be disposed of
in a manner specified by the County in accordance with applicable state and federal
regulations. The CHDO and Administrator shall provide a signed bank account
agreement authorizing the County to obtain information about the account.
47.4
The CHDO and Administrator shall ensure accounting system used shall be in
accord with generally accepted accounting principles.
48.0
RETENTION OF RECORDS
48.1
This provision applies to all financial and programmatic records, supporting
documents, statistical records, and other records of the CHDO and the Administrator
that are related to this Agreement.
48.2
The CHDO and the Administrator shall retain all records related to this Agreement
for a minimum of six (6) years after final payment or until after the resolution of any
audit questions, which could be more than six (6) years, whichever is longer, or for
the period of affordability imposed by deed restrictions. The County, federal and
state auditors, and any other persons duly authorized by the County, shall have full
access to, and the right to examine, copy, and make use of any and all of the records.
49.0
ADEQUACY OF RECORDS
If the CHDO’s and the Administrator’s books, records, and other documents related to this
Agreement are not sufficient to support and document that allowable services were provided
to eligible participants, then the CHDO and the Administrator shall reimburse the County for
the services not supported and documented.
50.0
COMPETITIVE BID REQUIREMENTS
50.1
Equipment
The CHDO and the Administrator shall obtain all equipment to be utilized under this
Agreement and purchased with funds provided under this Agreement at the lowest
practical cost in accordance with the following competitive bidding system:
50.1.1 Procurements in excess of $300, but less than $1,000, require oral price
quotations from two or more vendors. The CHDO and the Administrator shall
keep and maintain a record of the vendors’ verbal quotations. The CHDO’s
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CHDO Agreement with Newtown Community Development Corp and City of Avondale
and the Administrator’s award shall be made to the lowest bidder meeting
specification requirements concerning price, conformity to specifications,
and other purchasing factors.
50.1.2 Procurements exceeding an aggregate amount of $1,000 shall be approved
by the County. At least three (3) bidders shall be solicited to submit written
quotations. The CHDO and the Administrator’s shall solicit written quotations
by issuing a Request for Quotation to at least three (3) vendors. The award
shall be made to the lowest bidder meeting specification requirements
concerning price, conformity to specifications, and other purchasing factors.
50.2
Supplies
The CHDO and the Administrator shall obtain all supplies to be utilized under this
Agreement and purchased with funds provided under this Agreement at the lowest
practical cost and in accordance with a system of written quotes whenever the price
is expected to be greater than $300, unless the CHDO and the Administrator obtain
the County’s prior written approval to purchase supplies by an alternate method.
50.3
Minority, Women, and Small Business Enterprises
The CHDO and the Administrator shall take affirmative steps to provide an
opportunity for minorities, women, and small businesses to compete in the
procurement of equipment and supplies under this Agreement.
50.4
Funding source requirements relating to competitive bid procedures may supersede
any or all subparts of this clause and will be specified in the Special Provisions
section of this Agreement.
51.0
PROPERTY
51.1
Any property furnished or purchased under the terms of this Agreement shall be
utilized, maintained, repaired, and accounted for in accordance with instructions
furnished by the County and shall revert to the County upon termination of this
Agreement unless the County determines otherwise. The costs to repair such
property are the responsibility of the CHDO and the Administrator within the limits
budgeted under this Agreement. Repair costs beyond the budgeted amount shall be
approved by the County.
51.2
Any CHDO and Administrator property furnished or purchased pursuant to the terms
of the Agreement shall be utilized, maintained, repaired, and accounted for by the
CHDO and Administrator. Repair costs of such property shall be the responsibility
of the CHDO and the Administrator.
51.3
The CHDO and the Administrator shall maintain property and equipment inventory
records that clearly identify properties and equipment purchased, improved, or
sold. Properties and equipment retained shall continue to meet eligibility criteria
and shall conform to the use of property and equipment
52.0
IMMIGRATION LAWS AND REGULATIONS
52.1
Federal Immigration and Nationality Act
52.1.1 The CHDO and the Administrator understand and acknowledge the
applicability of the Immigration Reform and Control Act of 1986 (IRCA). The
CHDO and the Administrator agree to comply with the IRCA in performing
under this Agreement and to permit the other Parties to inspect personnel
records to verify such compliance.
52.1.2 The CHDO and the Administrator warrant compliance with the Federal
Immigration and Nationality Act (FINA) and all other federal immigration
laws and regulations related to the immigration status of their employees.
The CHDO and the Administrator shall obtain statements from their
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CHDO Agreement with Newtown Community Development Corp and City of Avondale
Subcontractors certifying compliance and shall furnish the statements to
the Assistant Director upon request. These warranties shall remain in effect
through the term of this Agreement. The CHDO and the Administrator and
their subcontractors shall also maintain Employment Eligibility Verification
forms (I-9) as required by the U.S. Department of Labor’s Immigration and
Control Act for all employees performing work under the Agreement. I-9
forms are available for download at USCIS.GOV.
52.1.3 The County may request verification of compliance for any employee or
subcontractor performing work under this Agreement. Should the County
either suspect or find that the CHDO or the Administrator (or both) or any
of their subcontractors are not in compliance, then the County may pursue
any and all remedies allowed by law, including, but not limited to
suspension of work, termination of this Agreement for default, and
suspension or debarment (or both) of the CHDO or the Administrator (or
both). All costs necessary to verify compliance are the responsibility of the
CHDO, the Administrator, and their subcontractor(s).
52.2
Arizona Law
52.2.1 The CHDO and the Administrator warrant that they will comply with A.R.S. §
41-4401 (E-Verify requirements) and further acknowledge:
52.2.1.1
That CHDO and the Administrator and their Subcontractors and
Vendors, if any, warrant their compliance with all federal
immigration laws and regulations that relate to their employees
and their compliance with A.R.S. § 23-214;
52.2.1.2
A breach of a warranty under Section 48.2.1 above shall be
deemed a material breach of this Agreement and the County may
immediately terminate this Agreement without liability; and
52.2.1.3
The County and any contracting government entities retain the
legal right to inspect the papers and employment records of any
employees of the CHDO and Administrator and their
Subcontractors and Vendors who work on this Agreement to
ensure that the CHDO and the Administrator and their
Subcontractors and Vendors are complying with the warranty
provided under Section 47.2.1 above and that the CHDO and the
Administrator agree to make all papers and employment records
of such employee(s) available during normal working hours in
order to facilitate such an inspection.
53.0
EMPLOYMENT DISCLAIMER
53.1
This Agreement is not intended to constitute, create, give rise to, or otherwise
recognize a joint venture agreement, partnership, or other formal business
association or organization of any kind amongst the Parties, and the rights and
obligations of the Parties shall be only those expressly set forth in this Agreement.
53.2
The Parties agree that no individuals performing activities under this Agreement on
behalf the either CHDO or the Administrator (or both) are to be considered a County
employee, and no rights of County civil service, County retirement, or County
personnel rules shall accrue to such individuals. The CHDO and the Administrator
each shall have total responsibility for all its salaries, wages, bonuses, retirement,
withholdings, workers’ compensation, occupational disease compensation,
unemployment compensation, other employee benefits, and all taxes and premiums
appurtenant thereto concerning such individuals and shall defend and hold the
County harmless with respect thereto.
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CHDO Agreement with Newtown Community Development Corp and City of Avondale
53.3
The County agrees that no individual performing under this Agreement on behalf of
County may be considered a CHDO or Administrator agent, employee, or
representative and that no rights of the CHDO and Administrator civil service,
retirement, or personnel rules shall accrue to or apply to any such individual. The
County shall have total responsibility for all salaries, wages, bonuses, retirement,
withholdings, workers’ compensation, occupational disease compensation,
unemployment compensation, other employee benefits, and all taxes and premiums
appurtenant thereto concerning such individuals and the County shall indemnify,
defend, and hold harmless the CHDO and Administrator with respect thereto.
54.0
CERTIFICATION REGARDING DEBARMENT, SUSPENSION, INELIGIBILITY AND
VOLUNTARY EXCLUSION
54.1
The CHDO and Administrator, by signing this Agreement, have the authority to bind
the CHDO and the Administrator to the terms of this Certification. The CHDO and
the Administrator, defined as the primary participant in accordance with 2 CFR Part
180, both certify to the best of their knowledge and belief that they and their
principals:
54.1.1 are not presently debarred, suspended, proposed for debarment, declared
ineligible, or voluntarily excluded from covered transactions by any federal
department or agency;
54.1.2 have not, within a 3-year period preceding this Agreement, been convicted
of or had a civil judgment rendered against them for (1) the commission of
fraud or a criminal offense in connection with obtaining, attempting to obtain,
or performing a public (federal, state, or local) transaction or contract under
a public transaction; (2) the violation of any federal or state antitrust statutes,
or (3) commission of embezzlement, theft, forgery, bribery, falsification or
destruction of records, making false statements, or receiving stolen property;
54.1.3 Are not presently indicted or otherwise criminally or civilly charged by a
governmental entity (federal, state, or local) with the commission of any of
the offenses enumerated in Sub-subparagraph 50.1.2 above: and
54.1.4 Have not, within a 3-year period preceding this Agreement, had one or more
public transactions (federal, state, or local) terminated for cause or default;
54.1.5 shall immediately notify the County if, at any time during the term of this
Agreement, they are debarred, suspended, declared ineligible, or voluntarily
excluded from participation. The County may pursue available remedies in
the event of such occurrence, including immediate termination of this
Agreement; and
54.1.6 shall not enter into a subcontract or sub-recipient agreement with any person
or organization that is debarred, suspended, declared ineligible, or
voluntarily excluded from participation. The County may pursue available
remedies in the event of such occurrence, including immediate termination
of this Agreement.
54.2
The CHDO and the Administrator shall include, without modification, this
Certification’s language, titled “Certification Regarding Debarment, Suspension,
Ineligibility, and Voluntary Exclusion – Lower Tier Covered Transactions,” in all
agreements with other contractors, in all lower tier covered transactions, and in all
solicitations for lower tier covered transactions related to this Agreement.
54.3
Should the CHDO and the Administrator not be able to provide this Certification, an
explanation as to why shall be immediately provided to the County, Attention:
Housing and Community Development Assistant Director, 234 North Central
Avenue, Third Floor, Phoenix, Arizona 85004.
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CHDO Agreement with Newtown Community Development Corp and City of Avondale
55.0
CONTRACTOR EMPLOYEE WHISTLEBLOWER RIGHTS AND REQUIREMENT TO
INFORM EMPLOYEES OF WHISTLEBLOWER RIGHTS
55.1
The CHDO and the Administrator agree that this Agreement and employees
working on this Agreement will be subject to the whistleblower rights and remedies
in the pilot program on contractor employee whistleblower protections established
at 41 U.S.C. § 4712 by Section 828 of the National Defense Authorization Act for
Fiscal Year 2013 (Pub. L. 112–239) and Section 3.908 of the Federal Acquisition
Regulation;
55.2
The CHDO and the Administrator shall inform their employees in writing, in the
predominant language of the workforce, of employee whistleblower rights and
protections under 41 U.S.C. § 4712, as described in Section 3.908 of the Federal
Acquisition Regulation. Documentation of such employee notification must be kept
on file by the CHDO, and the Administrator and copies provided to the County upon
request; and
55.3
The CHDO and the Administrator shall insert the substance of this clause,
including this Subparagraph, in all Subcontracts over the simplified acquisition
threshold ($250,000 as of September 2021).
56.0
SURVIVAL
The indemnification, hold harmless, defense, and non-liability provisions of this Agreement
shall have full force and effect notwithstanding any other provisions in this Agreement and
shall survive the termination or expiration of this Agreement
57.0
FORCE MAJEURE
57.1
The Parties shall not be held liable for failure of performance, nor incur any liability
to the other Parties on account of any loss or damage resulting from any delay or
failure to perform all or any part of this Agreement if such delay or failure is caused
by events, occurrences, or causes beyond the reasonable control and without
negligence of the Parties. Such events, occurrences, or causes will include Acts
of God/Nature (including fire, flood, earthquake, storm, hurricane, or other natural
disaster), war, invasion, act of foreign enemies, hostilities (whether war is declared
or not), civil war, riots, rebellion, revolution, insurrection, military or usurped power
or confiscation, terrorist activities, nationalization, government sanction, lockout,
blockage, embargo, labor dispute, strike, pandemic, and interruption or failure of
electricity or telecommunication service.
57.2
Each Party, as applicable, shall give the other Party(ies) notice of its inability to
perform and particulars in reasonable detail of the cause of the inability. Each Party
must use best efforts to remedy the situation and remove, as soon as practicable,
the cause of its inability to perform or comply.
57.3
The Party asserting Force Majeure as a cause for non-performance shall have the
burden of proving that reasonable steps were taken to minimize delay or damages
caused by foreseeable events, all non-excused obligations were substantially
fulfilled, and the other Party(ies) was/were timely notified of the likelihood or actual
occurrence that would justify such an assertion, so that other prudent precautions
could be contemplated.
58.0
UNIQUE ENTITY IDENTIFIER (UEI) AND SYSTEM FOR AWARD MANAGEMENT
The CHDO and Administrator shall each have a valid Unique Entity Identifier (UEI) number
and an active profile in the federal System for Award Management, or SAM.gov.
Documentation of the UEI Number must be included in all project files. The CHDO and
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CHDO Agreement with Newtown Community Development Corp and City of Avondale
Administrator must remain current with their registration throughout the term of the
Agreement. CHDO and Administrator and subcontractors will not receive a subaward until
that entity has provided its UEI number. 2 C.F.R. § 25.300; Appendix A to 2 C.F.R. § 25.
59.0
UYGHUR FORCED LABOR PREVENTION ACT (UFLPA)
59.1
The CHDO and Administrator warrants and certifies that they do not currently, and
agrees for the duration of the agreement that it will not, use:
59.1.1 The forced labor of ethnic Uyghurs in the People’s Republic of China.
59.1.2 Any goods or services produced by the forced labor of ethnic Uyghurs in
the People’s Republic of China.
59.1.3 Any contractors, subcontractors or suppliers that use the forced labor or
any goods or services produced by the forced labor of ethnic Uyghurs in
the People’s Republic of China.
59.2
If the CHDO or Administrator, or both, becomes aware during the term of the
Agreement that the CHDO or Administrator, or both, is not in compliance with this
paragraph, the CHDO and Administrator shall notify the County within five
business days after becoming aware of the noncompliance. Failure of the CHDO
and Administrator to provide a written certification that the CHDO or Administrator,
or both, has remedied the noncompliance within one hundred eighty (180) days
after notifying the public entity of its noncompliance, this Agreement shall terminate
unless the Term of this Agreement shall end prior to said one hundred eighty (180)
day period.
60.0
PROVISIONS REQUIRED BY LAW
Each and every provision of law and any clause required by law to be in this Agreement
will be read and enforced as though it were included herein and, if through mistake or
otherwise any such provision is not inserted, or is not correctly inserted, then upon the
application of either party, this Agreement will promptly be physically amended to make
such insertion or correction.
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CHDO Agreement with Newtown Community Development Corp and City of Avondale
SECTION 2
SPECIAL PROVISIONS
Section 2
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CHDO Agreement with Newtown Community Development Corp and City of Avondale
1.0
STANDARDS
The CHDO and the Administrator shall perform the work and provide the services
identified in the Work Statement and the CHDO and the Administrator shall immediately
notify the County whenever the CHDO or the Administrator is (or both are) unable to, or
anticipates an inability to, perform any of the work, or provide any of the services required
by the terms of this Agreement. The CHDO and the Administrator acknowledge that any
inability to perform the work and provide the services, or comply with the standards, set
forth in this Agreement may subject the CHDO or the Administrator (or both) to the
remedies provided in the Default and Remedies for Noncompliance established in the
General Provisions.
2.0
COMPLIANCE WITH LAWS, RULES & REGULATIONS
This Agreement and the Parties to it are subject to all applicable federal, state, or local
laws, rules, and regulations. The CHDO and the Administrator shall comply with all
applicable laws, rules, and regulations, without limitation to those designated within this
Agreement. Refer to Paragraph 17.0, (Default and Remedies for Noncompliance)
provided in Section 1 (General Provisions).
3.0
COMPLIANCE WITH REQUIREMENTS REGARDING ELIGIBILITY FOR PUBLIC
BENEFITS
3.1
The CHDO and the Administrator shall comply with state and other laws regarding
eligibility for public benefits, including A.R.S. §§ 1-501 and 1-502, which state that
public benefits shall only be provided to eligible applicants who are citizens of the
United States, or are Qualified Non-Citizens:
3.1.1 All applicants authorized to receive public benefits must provide
documentation of their lawful presence in the United States through a
verification process.
3.1.2 All eligible applicants must also execute an affidavit stating that the
documentation provided during the verification process to prove citizenship
or qualified non-citizen is true.
3.1.3 The Affidavit Demonstrating Lawful Presence in the United States or similar
form shall be used to document compliance with requirements listed above.
3.1.4 Maricopa County and its subcontracted entities are required to report
“discovered violations” of federal immigration law.
3.1.5 Federal public benefits are defined in A.R.S. § 1-501 as any grant, contract,
loan, professional license, or commercial license provided by an agency of
the United States or by appropriated funds of the United States; and any
retirement, welfare, health, disability, public or assisted housing,
postsecondary education, food assistance, unemployment benefit, or any
other similar benefit for which payments or assistance are provided to an
individual, household, or family eligibility unit by an agency of the United
States or by appropriated funds of the United States.
3.1.6 State or local public benefits are defined in A.R.S. § 1-502 as any grant,
contract, loan, professional license, or commercial license provide by an
agency of the state or local government or by appropriated funds of a state
or local government; and any retirement, welfare, health, disability, public
or assisted housing, postsecondary education, food assistance,
unemployment benefit, or any other similar benefit for which payments or
assistance are provided to an individual, household, or family eligibility unit
by an agency of a state or local government or by appropriated funds of a
state or local government.
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3.2
Programs, services, or assistance (such as soup kitchens, crisis counseling and
intervention, and short-term shelter) that meet the following conditions are exempt
from A.R.S. §§ 1-501 and 1-502:
3.2.1 deliver in-kind services at the community level, including through public or
private nonprofit agencies;
3.2.2 do not condition the provision of assistance, the amount of assistance
provided, or the cost of assistance provided on the individual recipient’s
income or resources; and
3.2.3 are necessary for the protection of life or safety.
4.0
AUDIT REQUIREMENTS
In accordance with A.R.S. § 11-624, the CHDO and the Administrator each shall, at their
own expense, file with the County March 31st of each year, either:
4.1
Audited financial statements prepared in accordance with federal single audit
requirements, or
4.2
financial statements of the HOME Program prepared in accordance with generally
accepted accounting principles audited by an independent certified public
accountant.
5.0
SPECIAL FEDERAL AND PROJECT PROVISIONS
5.1
In accordance with HUD HOME Program regulations, the CHDO and the
Administrator agree to use HOME funds pursuant to the Five-Year Consolidated
Plan and the Annual Action Plan as approved by HUD and all requirements of 24
C.F.R. § 92. The CHDO and the Administrator will require that this requirement is
included in the award documents for all subawards at all tiers (including
Subcontracts, subgrants, and agreements under grants, loans, and cooperative
agreements) and that all Subcontractors and Vendors shall certify and disclose
accordingly. The Annual Action Plan is hereby incorporated by reference into this
Agreement. The project activities are described in Section 3 (Work Statement).
The CHDO and the Administrator shall be responsible for providing reports of all
activities related to the Work Statement. The CHDO and the Administrator agree
to submit to the County the following reports:
5.1.1 Project Proceeds Reports: due quarterly with supporting documentation
and with each Request for Reimbursement.
5.1.2 Quarterly Performance Reports: due on the 15th of January, April, July,
and October of the preceding three (3) months (i.e., the July report covers
the months of April, May, and June). Reports shall address all project
activities described in the Work Statement. Failure to submit timely
Quarterly Performance Reports will result in suspension of reimbursement
of funds requested until all reports are brought current.
5.1.3 Request for Reimbursements: The Request for Reimbursement Form
must include all supporting documentation, a Match Log, and Summary of
Project Proceeds/Recaptured Funds Report. The CHDO will complete the
documents and submit them to the Administrator for approval. The
Administrator will forward the Request for Reimbursement and all
supporting documentation to the County for payment.
5.1.4 HOME Setup Reports: due within one (1) year after the date this
Agreement is fully executed. According to 24 C.F.R. § 92.250 (b): Before
Setup Reports are submitted, the CHDO and the Administrator must
evaluate
the
project
in
accordance
with
guidelines
that
the
Owner/Developer has adopted for determining a reasonable level of profit
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CHDO Agreement with Newtown Community Development Corp and City of Avondale
or return on Owner’s or Developer’s investment in a project and must not
commit or invest any more HOME funds, alone or in combination with other
governmental assistance, than are necessary to provide quality affordable
housing that is financially viable for a reasonable period (at a minimum, the
period of affordability in accordance with 24 C.F.R. §§ 92.252 and 92.254)
and that will not provide a profit or return on the Owner’s or Developer’s
investment that exceeds the CHDO’s and the Administrator’s established
standards for the size, type, and complexity of the project.
5.1.5 HOME Completion Report: due no later than sixty (60) days after final
payment is requested. The HOME Completion Report must include all
required documents as described in this Agreement. Within ten (10)
business days after receipt of the HOME Completion Report, the County
will enter project completion data into the HUD Exchange Integrated
Disbursement and Information System (IDIS). The date the HOME
Completion Report is entered into IDIS is the date the affordability period
commences for each activity.
5.1.6 Initial Request for Reimbursement form: with required documentation
for each activity is due within 45 (forty-five) days after submitting a HOME
Setup Report.
5.1.7 Other HUD: required reporting data as applicable.
6.0
PROJECT PROCEEDS
Project proceeds may be retained and used by the CHDO and the Administrator for
HOME-eligible or other housing activities that benefit low-income families. The CHDO will
submit a Project Proceeds report with each request for reimbursement, and upon request
of the County.
7.0
PROGRAM INCOME
All Program Income generated from this Agreement shall be used to fund either the
acquisition or rehabilitation (or both) of additional HOME eligible properties to be sold to
qualified low-income families as defined in 24 C.F.R. § 92. The HOME requirements shall
continue to apply if the CHDO receives and uses Program Income, even if the Program
Income funds are earned and expended after the expiration of this Agreement.
8.0
REAL PROPERTY ACQUIRED OR IMPROVED WITH HOME FUNDS
Upon expiration of this Agreement, any real property under the CHDO’s control that was
acquired or improved in whole or in part with HOME funds must be occupied by low- or
very-low-income households (or both) and in compliance with HOME occupancy limits and
must meet the requirements to qualify as affordable housing subject to encumbrances and
obligations described in any applicable recorded deed restrictions. The option to use deed
restrictions must include period of affordability set forth in 24 C.F.R. §§ 92.252 and 92.254.
9.0
DE-OBLIGATION
9.1
The County may de-obligate funds under this Agreement under any one or more
of the following circumstances upon written notice to the CHDO and the
Administrator:
9.1.1 The CHDO and the Administrator complete performance under the Work
Statement without using all funds provided by the County under this
Agreement;
9.1.2 The County’s original allocation was a loan, and the CHDO and the
Administrator paid the loan;
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9.1.3 A Program activity under the Work Statement is cancelled or changed for
reasons other than non-performance; or
9.1.4 This Agreement has been terminated.
9.1.5 The NEPA Environmental Review is not approved.
10.0
REDUCTION IN FUNDS
10.1
The County, through an Amendment, may reduce Agreement funds under either
of the following circumstances:
10.1.1 The County determines that the CHDO and the Administrator failed to
utilize the funds provided by this Agreement in compliance with the terms
and conditions outlined herein; or
10.1.2 The CHDO and the Administrator failed to perform in accordance with
Section 3 (Work Statement) and identified timelines.
11.0
REPAYMENT OF FUNDS
The CHDO and the Administrator agree to repay funds under this Agreement for
noncompliance with the terms of this Agreement. Repayment shall be in accordance with
the terms of this Agreement or the requirement of applicable laws and regulations,
including continuing use compliance. Repayment of funds is required by HUD for failed
projects during the period of affordability for projects financed under this Agreement. The
County may specify in writing the terms of the repayment or alternative terms in lieu of
repayment. However, in no case shall repayment or alternative terms be accomplished
later than sixty (60) days following the written determination by the County of
noncompliance.
12.0
ADMINISTRATIVE REQUIREMENTS
12.1
The County is responsible for ensuring HUD HOME Program funds are
administered in accordance with the HOME regulations, 24 C.F.R. §§ 92, et seq.
The County shall monitor the CHDO’s and the Administrator’s activities to ensure
compliance with the following:
12.1.1 FINANCIAL RECORDS: accounting system and financial records comply
with the applicable requirements and standards of 2 C.F.R. §§ 200, et seq.
and are subject to monitoring from time to time by either the County or by
HUD.
12.1.1.1
The CHDO and the Administrator agree to adhere to accounting
principles and procedures, to utilize adequate internal controls,
and maintain necessary source documentation for all costs
incurred. The CHDO and the Administrator further agree to
maintain an adequate accounting system that provides for
appropriate grant accounting (including calculation of project
proceeds).
12.1.1.2
The CHDO and the Administrator shall adhere to applicable
audit requirements as described in, and in accordance with, 2
C.F.R. §§ 200, et seq. In addition, the CHDO and the
Administrator must provide annual single-audit reports or
annual audited financial statements to the County.
12.1.1.3
The CHDO and the Administrator shall adhere to the repayment
of investment requirements set forth in 24 C.F.R. § 92.503. Any
HOME Funds invested in housing that do not meet the
affordability requirements for the period specified in either 24
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CHDO Agreement with Newtown Community Development Corp and City of Avondale
C.F.R. § 92.252 or § 92.254, as applicable, must be repaid in
accordance with 24 C.F.R. § 92.503(b)(3).
12.1.2 DOCUMENTATION AND RECORD KEEPING
12.1.2.1
Records to be Maintained: The CHDO and the Administrator
shall maintain all records required by the federal regulations
specified in 24 C.F.R. § 92.508 that are pertinent to the activities
to be funded under this Agreement. Such records shall include,
but not be limited to, records:
12.1.2.1.1
Demonstrating that the CHDO is and remains a
qualified CHDO;
12.1.2.1.2
Providing a full description of each activity
undertaken and its impact;
12.1.2.1.3
Required to determine the eligibility of activities;
12.1.2.1.4
Demonstrating compliance with environmental
review requirements;
12.1.2.1.5
Required
to
document
the
acquisition,
improvement, use, or disposition of real property
acquired or improved with HOME assistance
(Properties retained shall continue to meet
eligibility criteria);
12.1.2.1.6
Demonstrating citizen participation;
12.1.2.1.7
Demonstrating compliance regarding acquisitions,
displacement,
relocation,
and
replacement
housing;
12.1.2.1.8
Demonstrating continuing compliance for all
activities
and
compliance
with
recapture
provisions of the affordability standards;
12.1.2.1.9
Documenting compliance with the fair housing and
equal opportunity components of the HOME
Program;
12.1.2.1.10 Required by 24 C.F.R. § 570.502, 2 C.F.R. §§ 200,
et seq., and OMB Circulars;
12.1.2.1.11 Other records necessary to document compliance
with HOME Program requirements;
12.1.2.1.12 Documenting compliance with Section 3 of the
Housing and Urban Development Act of 1968 and
implementing regulations at 24 C.F.R. §135
12.1.2.1.13 Demonstrating compliance with deeds of trust,
promissory notes, and forgivable loans;
12.1.2.1.14 Supporting that the CHDO and the Administrator
have maintained client data demonstrating all
clients served have met the income and other
criteria required by federal law and that no unlawful
discrimination occurs in the solicitation or selection
process of low-income persons or groups and that
no conflict of interest exists, as described in 24
C.F.R. § 92.356;
12.1.2.1.15 Documenting compliance with underwriting and
subsidy layering requirements, including the
requirement that the CHDO and the Administrator
will not invest any more HOME funds in
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CHDO Agreement with Newtown Community Development Corp and City of Avondale
combination with other federal assistance than is
necessary to provide affordable housing, as
described in 24 C.F.R. § 92.250 and further
described in HUD Notice CPD 15-11; and,
12.1.2.1.16 Demonstrating compliance with federal, state, and
local laws and regulations, including compliance
with A.R.S. §§ 1-501 and 1-502.
12.1.2.2
Outcome Measures – The CHDO and the Administrator shall
maintain data that supports the accomplishment of the desired
outcomes as indicated in the Work Statement.
12.1.2.3
Disclosure – The CHDO and the Administrator understand that
client information collected under this Agreement is private and
the use or disclosure of such information, when not directly
connected with the administration of the County’s or the
CHDO’s and the Administrator’s responsibilities with respect to
services provided under this Agreement, is prohibited unless
written consent is obtained from such person receiving service.
12.1.2.4
Program Activity Reports – Such reports as required by the
County including, but not limited to, HOME Setup/Completion
Reports, Quarterly Performance Reports, Quarterly Project
Proceeds Reports, Match Reports, MBE/WBE information, and
other HUD-required reporting data, as applicable, shall be
submitted at the completion of each Program that is described
under the Work Statement.
12.1.2.5
Audits and Inspections – All of the CHDO’s and the
Administrator records with respect to any matters covered by
this Agreement shall be made available to the County, its
designees, and the federal government, at any time during
normal business hours, as often as the County deems
necessary, to audit, examine, and make excerpts or transcripts
of all relevant data. Any relevant deficiencies noted in audit
reports shall be addressed by the CHDO and the Administrator
within 45 days after receipt by the CHDO and the Administrator.
Failure of the CHDO and the Administrator to comply with the
above audit requirements shall constitute a violation of this
Agreement and may result in the withholding of future
payments. The Annual Audit requirement is applicable to all
levels of funding received by the CHDO and the Administrator
under this Agreement, even if the level of funding is less than
the current thresholds cited in 2 C.F.R. § 200.501.
12.1.2.6
Performance Monitoring – The County and the Administrator
will monitor the CHDO to determine whether HOME funded
activities are implemented and administered in accordance with
all applicable federal requirements and gauge performance of
the CHDO against goals and performance standards required
in this Agreement. The CHDO shall assure that all required files
and documentation are available at scheduled monitoring. The
failure of the CHDO to administer, implement, and perform as
determined by federal regulations and by the County shall
constitute
non-compliance
with
this
Agreement.
Non-
Section 2
Special Provisions
Page 35 of 53
CHDO Agreement with Newtown Community Development Corp and City of Avondale
compliance is a violation of this Agreement and may result in
the withholding of future payments.
13.0
ENVIRONMENTAL REVIEW CONDITIONS
13.1
Completion of the Environmental Review Record (ERR) is mandatory before taking
any physical action on a site or entering into choice-limiting contracts. Only exempt
activities such as administration may be taken and reimbursed by the County prior
to receiving a written release of HOME funds to the CHDO and the Administrator.
Exempt activities described in 24 C.F.R. § 58.34(a)(1)-(11) are activities that
generally have no physical impact on the environment. If federal funds are involved
in an activity, then neither federal nor non-federal funds may be expended or
committed by contract (conditional or not) for property acquisition, rehabilitation,
conversion, lease, repair, or construction activities until either HUD or the County
provides the CHDO and Administrator with written authorization based on approval
of an ERR.
13.2
An option agreement (to purchase land or a single-family residence) on a proposed
site or property is allowable prior to the completion of the environmental review if
the option agreement is contingent upon a HUD authorization to use funds based
on the completion of the ERR. The cost of the option must be a nominal portion of
the purchase price.
13.2.1 The CHDO and the Administrator agree to comply with: The National
Environmental Policy Act of 1969 (P.L. 91-190) pursuant thereto 40 C.F.R.
Parts 1500 – 1508; Environmental Review Procedures for Entities
Assuming HUD Environmental Responsibilities pursuant thereto Title 24
C.F.R. Part 58, Subpart A; and all conditions required in the process of the
environmental assessment.
13.2.1.1
Clean Air Act, 42 U.S.C. § 7401, et seq., as amended.
13.2.1.2
Federal Water Pollution Control Act, as amended, 33 U.S.C. §§
1251, et seq, as amended, Section 1318 relating to inspection,
monitoring, entry, reports, and information, and all regulations
and guidelines issued thereunder.
13.2.1.3
Environmental Protection Agency (EPA) regulations pursuant to
40 C.F.R. § 50, as amended.
13.2.1.4
The CHDO and the Administrator agree to comply with
conditions set forth by the Maricopa County Air Quality
Department or other County agencies, as required.
13.2.1.5
Flood Disaster Protection - In accordance with the requirements
of the Flood Disaster Protection Act of 1973 (42 U.S.C. § 4001),
the CHDO and the Administrator shall ensure that for activities
located in an area identified by FEMA as having special flood
hazards, flood insurance under the National Flood Insurance
Program is obtained and maintained as a condition of financial
assistance for acquisition or construction purposes. The CHDO
and the Administrator shall require the homeowner to obtain
and maintain flood insurance as a condition of funding, or funds
shall not be utilized.
13.2.1.6
Historic Preservation - The CHDO and the Administrator shall
comply with the Historic Preservation requirements set forth in
the National Historic Preservation Act of 1966 (16 U.S.C. § 470)
and the procedures set forth in 36 C.F.R. § 800, Advisory
Council on Historic Preservation Procedures for Protection of
Section 2
Special Provisions
Page 36 of 53
CHDO Agreement with Newtown Community Development Corp and City of Avondale
Historic Properties, insofar as they apply to the performance of
this Agreement.
13.2.1.7
Release of Funds (ROF) - No funds may be encumbered prior
to the completion of the Environmental Review. The ERR must
be completed before any funds are obligated. Funding is also
conditioned upon the completion of the ERR of every activity
site by address. The responsibility for certifying the appropriate
ERR and ROF shall rest with the County. It is the responsibility
of the CHDO and the Administrator to notify the County and to
refrain from making any commitments and expenditures on a
site until a ROF has been issued by the County. Failure to meet
these conditions will mean that requested funds will not be
disbursed.
14.0
ADDITIONAL CERTIFICATIONS, WARRANTIES, AND AGREEMENTS
14.1
The CHDO agrees to undertake the same obligations as the County has
undertaken to HUD pursuant to the County’s Annual Action Plan (included in this
Agreement by reference) and shall adhere to the federal Certifications reference
below, including Attachment 1 - Certification for a Drug-Free Workplace (HUD form
50070) and Attachment 2 - Certification of Payments to Influence Federal
Transactions (HUD form 50071). The CHDO and the Administrator shall hold the
County harmless, defend, and indemnify the County against any damages or other
liabilities that the County may incur with respect to HUD as a result of any failures
on the part of the CHDO and the Administrator.
14.2
The CHDO and the Administrator agree:
14.2.1 To ensure that the total HOME investment in each unit does not exceed
the maximum per unit subsidy (24 C.F.R. § 92.250) for the area in which
the property is located. This limit is updated annually. Refer to Section 5,
Attachment 3, of this Agreement.
14.2.2 To ensure that the period of affordability imposed on the project reflects the
per unit subsidy limit. The minimum affordability period is five years for
HOME subsidies of less than $15,000 per unit; ten years for subsidies of
$15,000 to $40,000; and 15 years for subsidies greater than $40,000.
14.2.3 To ensure that the annual Homeownership Value Limits are not exceeded.
HOME funds for homebuyer assistance or single-family rehabilitation
projects must have an initial purchase price that does not exceed 95% of
the median purchase price for Maricopa County. These limits apply to
homeownership units assisted with HOME funds for the following single-
family activity types: new housing construction for resale; homebuyer
assistance; acquisition with rehabilitation for resale; and owner-occupied
housing rehabilitation. This limit is updated annually. Refer to Attachment
3, of this Agreement.
14.2.4 To utilize and make available the HOME funds in conformity with the non-
discrimination and equal opportunity requirements set out in the HUD
regulations in the National Housing Affordability and Stability Act (24 C.F.R.
§§ 92.350-92.454), which include:
14.2.5 Implementation of the Fair Housing Act, (42 C.F.R. §§ 3601-3620), and
implementing regulations at 24 C.F.R. § 100 (discriminatory conduct under
the Fair Housing Act), Executive Order 11063 (Equal Opportunity in
Housing) as amended by Executive Order 12259 (leadership and
coordination of fair housing in federal programs) (3 C.F.R. §§ 1958-1963
Section 2
Special Provisions
Page 37 of 53
CHDO Agreement with Newtown Community Development Corp and City of Avondale
Comp., p. 652 and 3 C.F.R. § 1980, Comp. p. 307) and implementing
regulations at 24 C.F.R. Part 107 (nondiscrimination and equal opportunity
in housing under Executive Order 11063), and Title VI of the Civil Rights
Act of 1964 (42 U. S. C. §§ 2000d, et seq.), and implementing regulations
at 24 C.F.R. Part 1 (Nondiscrimination in Federally Assisted Programs of
HUD);
14.2.6 Affirmatively further fair housing, which includes taking appropriate actions
to overcome the effects of any impediments identified in the County’s
“Analysis of Impediments to Fair Housing Choice” and maintain records
reflecting any actions taken in regard to fair housing;
14.2.7 Adhere to Executive Order 13166 (Improving Access to Services for
Persons with Limited English Proficiency) in accordance with Title VI of the
Civil Rights Act of 1964;
14.2.8 Implementation of the prohibitions against discrimination on the basis of
age under the Age Discrimination Act of 1975 (42 U.S.C. §§ 6101, et seq.)
and the regulations at 24 C.F.R. § 146 (nondiscrimination on the basis of
age in HUD programs or activities receiving federal financial assistance);
14.2.9 Implementation of the prohibitions against discrimination on the basis of
handicap under Section 504 of the Rehabilitation Act of 1973 (29 U.S.C.
§§ 794, et seq.) and implementing regulations at 24 C.F.R. § 8
(nondiscrimination based on handicap in federally assisted programs and
activities of HUD) and the Americans with Disabilities Act 1990 (42 U.S.C.
§§ 12101, et seq.);
14.2.10
Adhere to the requirements of the Executive Order 11246 (Equal
Employment Opportunity) and the regulations issued under the Order
at 41 C.F.R. Chapter 60 (3 C.F.R. §§ 1964-65, Comp, p. 339);
14.2.11
Implementation of the requirements of Section 3 of the Housing and
Urban Development Act of 1968 (12 U.S.C. § 1702u) (Employment
Opportunities for Business and Lower Income Persons in Connection
with Assisted Activities);
14.2.12
Implementation of the requirements of Executive Orders 11625 and
12432 regarding MBE development and 12138 regarding WBE, and
Regulations S. 85.36 (e) and of Section 281 of the National Housing
Affordability and Stability Act; and
14.2.13
Implementation of the requirements of the HUD 246 Rule (24 C.F.R.
Part 5 Final Rule 5863) to ensure equal access to housing and services
regardless of gender identity.
14.3
The CHDO and the Administrator agree that they will prepare and adopt
acceptable procedures and requirements for affirmatively marketing units in the
HOME Activities, when HOME Program-assisted housing contains five (5) or more
rental units, by providing information about the availability of HOME Program-
assisted units that are vacant at the time of completion or that later become vacant.
The CHDO and the Administrator shall make good faith efforts to provide
information and to otherwise attract eligible persons from all racial, ethnic, and
gender groups in the housing market to the available housing during the period of
affordability. These procedures and requirements are not applicable when units
are occupied by families referred from a Public Housing Authority's (PHA) waiting
list, or to families receiving tenant-based rental assistance provided from HOME
funds.
14.4
HOME funds may not be used for operations or modernization of public housing
projects financed under the Housing Act of 1937.
Section 2
Special Provisions
Page 38 of 53
CHDO Agreement with Newtown Community Development Corp and City of Avondale
14.5
The County, as the Participating Jurisdiction, assumes all the responsibilities for
environmental review, decision making, and action under the National
Environmental Policy Act of 1969 (42 U.S.C. § 4321) and the other provisions of
the law that would apply to HUD were HUD to undertake such Activities as Federal
Activities in accordance with 24 C.F.R. § 58 (environmental review procedures for
entities assuming HUD environmental responsibilities). The County will assume
the responsibility for the Request for the Release of Funds. The CHDO and the
Administrator agree not to commit or incur expenditures for HOME activities until
this environmental review process has been completed. Should it be determined
that the CHDO and the Administrator have incurred expenses in violation of the
NEPA requirements, the CHDO and the Administrator will be responsible for the
full costs for such expenditures and repayment of any related reimbursements.
The CHDO and the Administrator shall provide all necessary assistance to the
County in completing this environmental review process.
14.6
The CHDO and the Administrator agree to comply with the acquisition and
relocation requirements of the Uniform Relocation Assistance and Real Property
Acquisition Policies Act of 1970 (URA) (42 U.S.C. §§ 4291-4655) and the
governmental implementing regulations at 49 C.F.R. Part 24; and follow a
residential anti-displacement and relocation assistance plan required under
§104(d) of the Housing and Community Development Act of 1974, as amended, in
connection with any activity assisted with funding as they apply to the HOME
Program.
14.7
The CHDO and the Administrator shall comply with the Davis-Bacon Act (40
U.S.C. §§ 276a, et seq.), Contract Work Hours and Safety Standards Act (40
U.S.C. §§ 327, et seq.) related acts, and the provisions of 24 C.F.R. § 24 regarding
Government Debarment and Suspension as they apply to this HOME Program.
14.8
The CHDO and the Administrator shall comply with the Flood Disaster Protection
Act of 1973 (42 U.S.C. §§ 4001, et seq.) as they apply to this HOME Program.
14.9
The CHDO and the Administrator shall comply with the Drug-Free Workplace Act
of 1988 as it applies to the HOME Program.
14.10 Housing assisted with HOME Program funds constitutes HUD-assisted housing for
the purposes of the Lead-Based Paint Poisoning Prevention Act (42. U.S.C. §§
4801, et seq.) and is therefore subject to 24 C.F.R. § 35.
14.11 No person who is an employee, agent, consultant, officer or elected official, or
appointed official who exercises or has exercised any functions or responsibilities
with respect to activities assisted with HOME funds or who is in a position in a
decision making process or gains inside information with regard to these activities,
may obtain a financial interest or benefit from a HOME-assisted activity, either for
himself/herself or those whom the person has family or business ties, during
his/her tenure or for one year thereafter.
15.0
SUBCONTRACTS AND VENDORS
15.1
Approvals – Unless expressly authorized in this Agreement, exempt activities such
as architectural, engineering, and administration may not be undertaken and
reimbursed by the County prior to receipt of HUD Request Release of Funds.
Exempt activities described in 24 C.F.R. § 58.34(1)(1)-(11) are activities that
generally have no physical impact on the environment. Otherwise, the CHDO and
the Administrator shall not expend or commit federal or non-federal funds by
contract (conditional or not) for property acquisition, rehabilitation, conversion,
lease, repair, or construction activities, until HUD has provided written
authorization based on approved ERR. Any pre-Agreement costs entered into by
Section 2
Special Provisions
Page 39 of 53
CHDO Agreement with Newtown Community Development Corp and City of Avondale
Subcontract with any agency or individual in the performance of this Program that
are not exempt activities without Release of Funds (ROF) from the County prior to
the execution of such Agreement.
15.2
UEI Number – All Subcontractors shall have a valid UEI number and an active
profile in the federal System for Award Management, or SAM. CHDO and
Administrator and subcontractors will not receive a subaward until that entity has
provided its UEI number. 2 C.F.R. § 25.300; Appendix A to 2 C.F.R. § 25.
15.3
Fees – The CHDO and the Administrator and all Subcontractors under this
Agreement shall not charge servicing, origination, or other fees for the costs of
administering the HOME Program, except as permitted by 24 C.F.R. §
92.214(b)(1).
15.4
Selection Process – The CHDO and the Administrator shall ensure that all
subcontracts in the performance of this Agreement are awarded on a fair and open
competitive basis. Executed copies of all subcontracts shall be forwarded to the
County along with documentation, if requested, concerning the selection process.
15.5
Section 3 of the Housing and Urban Development Act of 1968 – The CHDO and
the Administrator shall include the Section 3 clause in every subcontract and shall
take appropriate action pursuant to the subcontract upon a finding that a
Subcontractor is in violation of regulations issued by HUD. The CHDO and the
Administrator shall not subcontract with any entity where either the CHDO or the
Administrator has (or both have) notice or knowledge that the entity has been
found in violation of the regulations under 24 C.F.R. § 135 The CHDO and the
Administrator have the responsibility of determining Section 3 eligibility.
15.6
Monitoring – The CHDO and the Administrator shall monitor/review all
subcontracted services to assure contract compliance. Results of monitoring
efforts shall be summarized in Quarterly Performance Reports and supported with
documented evidence, if requested, of follow-up actions taken to correct areas of
noncompliance.
16.0
THE COUNTY CERTIFIES
16.1
That a public purpose is served by the County contracting for activities identified
in Section 3 (Work Statement).
16.2
That the HOME Program funds designated for the Work Statement activities
constitute reasonable and prudent assistance.
17.0
THE ADMINISTRATOR AGREES TO:
17.1
Complete and submit to the County all Environmental Reviews (ERs) in a timely
manner.
17.2
Provide technical assistance to the CHDO on a continuing basis.
17.3
Approve all Requests for Reimbursement, review all requests for Amendments,
and make recommendations to the County in a timely manner.
17.4
Monitor timely implementation of the CHDO’s project, including encumbrance
obligations, and make recommendations for compliance.
17.5
Keep the Maricopa HOME Consortium informed of progress toward goals.
17.6
Serve as the lien holder for all real estate developed, if applicable.
17.7
At the completion of the project, provide a closed-out memo detailing the on-going
HOME requirements and responsibilities for the affordability period.
18.0
PROGRAM COMPLETION
Section 2
Special Provisions
Page 40 of 53
CHDO Agreement with Newtown Community Development Corp and City of Avondale
18.1
Upon completion of the Agreement activities, any Agreement funds not expended
shall be retained by the County for reallocation as defined by the Maricopa HOME
Consortium Policies and Procedures.
18.2
The disposition of any property purchased during the term of this Agreement shall
follow Section 1 (General Provisions), Paragraph 47.0 (Property).
18.3
The CHDO and the Administrator shall continue to be responsible for compliance
activities until all HOME Program requirements and contractual obligations are
met, including affordability restrictions. The CHDO’s and the Administrator’s
obligations shall not end until all close-out requirements are completed. The
County will notify the CHDO and the Administrator in writing that a Completion
Report is due to the County within sixty (60) days after one of the following
occurrences:
18.3.1 Funds have been expended for the activity;
18.3.2 The Work Statement has been completed;
18.3.3 This Agreement has expired; or
18.3.4 The Agreement has otherwise been terminated.
18.4
Following the receipt and approval of the Completion Report for each activity, the
County will notify the CHDO and the Administrator in writing that each activity is
closed. In compliance with 24 C.F.R. § 92.502(d), all project completion data shall
be entered into IDIS by the County within 120 days after the final drawdown.
Project completion means projects have all necessary title transfer and
construction work completed, projects comply with HOME requirements including
property standards set forth at 24 C.F.R. § 92.251, the final draw has been
disbursed, and the projection completion data has been entered into IDIS.
18.5
For the purposes of a rental project, the following shall apply:
18.5.1 The project shall be completed when the site receives a Certificate of
Occupancy;
18.5.2 It is not required for a beneficiary to be identified for the project to be
considered complete. Vacant rental units may be marked as vacant when
completion data is entered into IDIS.
18.5.3 If any rental unit remains unoccupied six (6) months after the date of project
completion, the CHDO and the Administrator must provide the County
information about marketing efforts to place occupants in the unit and, if
appropriate, an enhanced plan for marketing the unit so that it is leased as
quickly as possible.
18.5.4 Within eighteen (18) months after the date of project completion, if efforts
to market the unit are unsuccessful and the unit is not occupied by an
eligible beneficiary (or beneficiaries), the CHDO and the Administrator shall
be required to repay all HOME funds invested in the unit.
19.0
FAILURE TO MAKE PROGRESS
19.1
The failure of the CHDO and the Administrator to make progress according to the
Work Statement may result in the termination of this Agreement, de-obligation of
funds, or recapture of funds. The CHDO and the Administrator agree to meet with
the County at the site at which the funded activity is to take place to discuss
progress and allow the County to provide technical assistance if:
19.1.1 The CHDO and the Administrator fail to complete an Environmental Review
pursuant to Section 2 (Special Provision) Paragraph 12.0 (Environmental
Review Conditions) within one hundred and eighty (180) calendar days
after the date this Agreement is executed;
Section 2
Special Provisions
Page 41 of 53
CHDO Agreement with Newtown Community Development Corp and City of Avondale
19.1.2 The CHDO and the Administrator fail to commit funds to a specific local
project in accordance with the terms of this Agreement within eighteen (18)
months after the date of full execution of this Agreement. Commit for the
purposes of this paragraph shall have the same meaning as in 24 C.F.R. §
92.2(2)(i)-(iii).
19.1.3 The CHDO and the Administrator fail to expend HOME funds in
performance of project activities in accordance with the terms of this
Agreement within twenty-four (24) months after the date of full execution of
this Agreement.
19.1.4 Within six (6) months after the date of project completion, if a unit remains
unoccupied, then the CHDO and the Administrator must provide the County
information about current marketing efforts and, if appropriate, an
enhanced plan for marketing the unit so that it is leased as quickly as
possible. Within 18 months from the date of project completion, if efforts to
market the unit are unsuccessful and the unit is not occupied by an eligible
tenant, then HUD will require repayment of all HOME funds invested in the
unit. A unit that has not served a low- or very low-income household has
not met the purpose of the HOME program. Therefore, the costs associated
with the unit are ineligible. This tracking provides the County with early
notice of any units at risk of going unoccupied as described in 24 C.F.R. §
92.252.
19.2
The County will terminate this Agreement and recapture funds, if the CHDO and
the Administrator do not perform the activities described in the Work Statement of
this Agreement. The County, in its sole discretion, may forgo providing technical
assistance and require repayment of funds as outlined in this Agreement under
Section 2, Paragraph 11.0, or terminate the Agreement for cause under Section 1,
Paragraph 9.0.
20.0
REVERSION OF ASSETS
20.1
Unexpended funds must be de-obligated and returned to the County for
reallocation. At the expiration of this Agreement, the County, upon
recommendation of the Maricopa HOME Consortium staff, may reallocate any
unencumbered funds per the Consortium reallocation policy, as stated in the
Maricopa
HOME
Consortium
Intergovernmental
Three-year
Cooperative
Agreement. A written letter to de-obligate funds will be sent to the CHDO from the
County a minimum of ninety (90) calendar days prior to termination of this
Agreement.
21.0
VIOLENCE AGAINST WOMEN REAUTHORIZATION ACT OF 2013
The CHDO and the Administrator must comply with VAWA 2013, which applies to all victims
of domestic violence, dating violence, sexual assault, and stalking, regardless of sex,
gender identity, or sexual orientation, and which must be applied consistent with all
nondiscrimination and fair housing requirements. The CHDO must give a Notice of
Occupancy Rights to tenants and applicants to ensure they are aware of their rights under
VAWA, maintain an emergency transfer plan, and document incidents of domestic
violence, dating violence, sexual assault, and stalking.
Page 42 of 53
CHDO Agreement with Newtown Community Development Corp and City of Avondale
SECTION 3
WORK STATEMENT
Section 3
Work Statement
Page 43 of 53
CHDO Agreement with Newtown Community Development Corp and City of Avondale
MARICOPA COUNTY
HOME Investment Partnerships Program
Program Year 2023
UEI: CHDO K5HLK49NLDH8
UEI: Administrator: GDTNM5BLN9Y4
Type of Property: Single Family Residential
1.0
FUNDING
CHDO 2023
HOME
FUNDS
MATCH
OTHER
RESOURCES
TOTAL
BUDGET
$796,326
$192,500 (WISH)
$400,000 (NSP PI)
ARPA funds
$1,750,000
$3,138,826
2.0
SCOPE OF WORK
Newtown CDC (CHDO), acting in the capacity of a Developer, will acquire land and
construct three (3) single-family homes in Avondale, AZ. The Legacy Avondale Infill
Housing Redevelopment Project-Phase 3-consists of a total of six (6) newly constructed,
single-family detached dwellings on City owned land. The site is in a Qualified Census
Track at 305 and 309 East Hill Drive, Avondale, Arizona 85323. The two lots will be
consolidated and re-platted into six lots to accommodate the new homes. The land will be
sold to Newtown at closing. The new homes will be included in Newtown’s Community
Land Trust Program (CLT) program and remain affordable per 24 CFR 92. Funds will be
paid to the CHDO only after the CHDO has met the commitment requirements as set forth
in 24 CFR 92.2 (1) and (2) respectively and is prepared to commence construction within
twelve months.
3.0
OBJECTIVES AND OUTCOMES:
OBJECTIVE
OUTCOMES
AVAILABILITY/
ACCESSIBILITY
AFFORDABILITY
SUSTAINABILITY
DECENT
HOUSING
Single-Family
Housing Rehab
and Emergency
Rehab,
Homebuyer
Assistance
Homebuyer Activities,
Acq./Rehab of rental
housing, Acq./New
Construction of rental
housing, Expansion of
assisted rental units in the
private marketplace
Housing Activities in a
targeted revitalization
area
Section 3
Work Statement
Page 44 of 53
CHDO Agreement with Newtown Community Development Corp and City of Avondale
4.0
LOGIC MODEL: PERFORMANCE INDICATORS
OUTPUTS
INPUTS/
RESOURCES
ACTIVITIES
PARTICIPATION
OUTCOMES
OBJECTIVES
Development
staff, funding,
contractors
Develop 3
units of CHDO
housing, in a
project of 6
units to be held
in the CLT
Three CHDO
households
Increased
affordable housing
for low- to
moderate-income
families. Increased
homeownership.
Improved
neighborhoods
and quality of life.
Decent and
affordable
housing.
5.0
PERFORMANCE REPORTING GOALS/TIMELINE OF ACTIVITIES
MILESTONES: Tasks to be Performed
COMPLETION
DATE
Application/market study
02/2024
Execute third party agreement with County and City
of Avondale for HOME funds
02/2024
Development Plan Approved-City of Avondale
05/31/2024
Environmental Review approval
03/30/2024
Submit complete application for construction permits
06/30/2024
RFP for construction activities
10/31/2024
Homeownership counseling/buyer preparation
10/31/2025
Construction of project
11/30/2024
Sale of Unit (Pre-sale and during construction)
12/31/2025
Homebuyer financing secured
10/31/2025
Certificate of Occupancy
11/30/2025
Final Close-out /Project Completion Form
12/31/2025
Any change to the Timeline will need to be approved by the County.
Section 3
Work Statement
Page 45 of 53
CHDO Agreement with Newtown Community Development Corp and City of Avondale
6.0
ACTIVITY BUDGET SUMMARY:
ACTIVITY
HOME CHDO
FUNDS
OTHER
RESOURCES
TOTAL
ACTIVITY
BUDGET
Construction Hard Costs
$636,326
$1,546,326
$2,182,652
Hard Cost Contingency
$300,000
$300,000
Architect and Engineering Fees,
Survey, Permit, Legal Fees, title
and
recording,
insurance,
reserves
$103,674
$103,674
Developer Fee
$160,000
$200,000
$360,000
Match Wish Funds
$192,500
$192,500
TOTALS
$796,326
$2,342,500
$3,138,826
(1)
Cash match dedicated to this Project only.
Note: A total of $3,000 per activity will be withheld from the total amount of HOME funds
obligated to each activity/address. $1,500 may be reimbursed upon completion of
rehabilitation/new construction (Certificate of Occupancy) and a signed purchase contract
with a qualified buyer. The final $1,500 will be reimbursed when a completion form is
submitted by the CHDO to the County.
7.0
ACTIVITY MATCH:
AMOUNT
FORM OF MATCH
SOURCE
$192,500
Cash
WISH Funds
8.0
SALES PRICE:
(1)
To ensure the homes are affordable for the target income group, the sales price
shall be calculated so that each buyer’s monthly housing expenses (including
principal, interest, property taxes, and home insurance) does not exceed 35% of
the buyer’s gross monthly household income, unless there are documented
compensating factors. In addition, the housing will have a purchase price for the
type a single unit of single-family housing that does not exceed 95% of the median
purchase price for the area as described in 24 C.F.R. § 92.254 (a)(2). Refer to
Section 5 (Attachments), Attachment 3 to this Agreement.
(2)
The buyer may obtain a mortgage loan with a fixed term and interest rate and
lender fees may not exceed 5% of the mortgage amount. The income of the buyer
shall be determined according to the requirements at 24 C.F.R. § 92.203.
9.0
CHDO PROJECT PROCEEDS:
All proceeds generated from the CHDO development activities shall be considered Project
proceeds and subject to the Project proceeds requirements set forth in HOME Program
regulations. Project proceeds shall be tracked by the CHDO and reported to the
Administrator. Documentation supporting the amount of Project proceeds received and
Section 3
Work Statement
Page 46 of 53
CHDO Agreement with Newtown Community Development Corp and City of Avondale
expended shall be submitted to the Administrator and the County. Project proceeds shall
be retained and expended by the CHDO for construction of additional properties under
this Agreement, or for other HOME-eligible activities with prior approval from the
Administrator and the County.
10.0
CONVERSION TO RENTAL:
If the newly constructed home has not been sold to an eligible homebuyer within nine (9)
months after the receipt of a Certificate of Occupancy, it must be converted to a HOME
rental unit that complies with all HOME requirements for the period of affordability
applicable to such rental units, according to 24 C.F.R. § 92.254(a)(3). If the vacant
property is not converted, then HOME funds must be repaid to the County.
Page 47 of 53
CHDO Agreement with Newtown Community Development Corp and City of Avondale
SECTION 4
COMPENSATION
Section 4
Compensation
Page 48 of 53
CHDO Agreement with Newtown Community Development Corp and City of Avondale
1.0
COMPENSATION
1.1
The CHDO and the Administrator will only utilize HOME funds to pay for eligible
activities and costs of those activities permitted in 24 C.F.R. § 92.300 and not
specifically prohibited under 24 C.F.R. § 92.214 (Prohibited Activities and Fees).
1.2
The CHDO and the Administrator shall be reimbursed utilizing the Assistance
Listing Number (ALN): 14.239, HOME Investment Partnerships Program provided
to the County through the U.S. Department of Housing and Urban Development
(HUD).
1.3
Subject to the availability and authorization of funds for the explicit purposes set
forth below, the County will pay the CHDO and the Administrator compensation for
services as indicated in the following subparagraphs. The County will not be liable
for any contracts entered into by the CHDO and Administrator in anticipation of
receiving payments under the Agreement.
1.4
The CHDO and the Administrator shall not retain any funds drawn down in excess
of immediate cash needs (to be used within 15 days after draw down) to cover
subsequent requests for reimbursement. Any excess funds must be returned to
the County within 30 days after receipt. The CHDO and the Administrator also must
return to the County any interest that is earned on these funds that are drawn down
and not expended for eligible costs within 15 days after the funds have been draw
down.
2.0
METHOD OF PAYMENT
2.1
The CHDO and the Administrator agree to submit reimbursement requests utilizing
the approved Reimbursement Request Form to the County, along with the Match
Log Certification Form. The CHDO and the Administrator may request funds only
after the CHDO and the Administrator have satisfied the funding contingencies and
federal Environmental Review conditions and have a written agreement in place
for Project activities..
2.2
The CHDO and the Administrator may not request disbursement of funds under
this Agreement until the funds are needed for payment of eligible costs. The
amount of each request must be limited to the amount needed. Program income
must be disbursed before the CHDO and the Administrator requests funds from
the County.
2.3
The County agrees to reimburse the CHDO and the Administrator for actual
allowable costs incurred, upon certification of HUD Environmental Release of
Funds and submittal by the CHDO and the Administrator of an itemized statement
of actual expenditures incurred, supported by appropriate documentation.
2.4
The CHDO and the Administrator shall submit to the County a Request for
Reimbursement of all expenditures within the same fiscal year in which the
expenditures are incurred. The fiscal year runs July 1st through June 30th, and all
Requests for Reimbursement shall be submitted no later than July 15th for the
preceding fiscal year
2.5
Reimbursement by the County is not to be construed as final in the event that HUD
disallows reimbursement for the Program or any portion thereof.
2.6
The County shall reimburse the CHDO and the Administrator on a Net zero (0
payment standard.
2.7
All requests for reimbursement shall be submitted
to:HSDFINANCE@MARICOPA.GOV
2.8
The CHDO and Administrator shall comply with all requirements under 2 C.F.R.
200.415, incorporated herein by reference.
Section 4
Compensation
Page 49 of 53
CHDO Agreement with Newtown Community Development Corp and City of Avondale
3.0
TIMELINESS
The CHDO and Administrator shall submit Requests for Reimbursements to the County
at least quarterly, provided CHDO and Administrator has expended at least $1,000.
4.0
REIMBURSEMENT
The County shall:
4.1
provide financial assistance in an amount not to exceed Seven hundred ninety-
six thousand, three hundred and twenty-six dollars and zero cents ($796,326)
subject to the terms of this Agreement and availability of funds.
4.1.1 Review the claim for reimbursement to ensure compliance with applicable
requirements pursuant to the Agreement. The approval of payment based
on a claim for reimbursement is at the County’s discretion.
4.1.2 Notify the CHDO and Administrator of any deficiencies in the claim for
reimbursement and itemize what additional information, if any, is needed.
4.1.3 Conduct, if, in the opinion of the County it is necessary, an inspection of
the Project.
4.1.4 Disburse all funds for which and to the extent of approval of the submitted
claim for reimbursement in the manner, amount, increment, and
timeframe determined at County’s discretion.
5.0
FINAL REIMBURSEMENT UPON AGREEMENT TERMINATION
5.1
Upon termination of this Agreement at the date identified on page 1 of this
Agreement, or as may be amended, the CHDO and the Administrator shall submit
the final reimbursement request.
5.1.1 This request shall be submitted no later than 30 days after the termination
date except as noted immediately below.
5.1.2 If the termination date is between June 10th and June 30th, then the final
reimbursement request shall be submitted by July 10th.
5.1.3 The final progress report, and any other required reports that may be
applicable such as the Project proceeds report, shall be submitted with the
final reimbursement request.
Page 50 of 53
CHDO Agreement with Newtown Community Development Corp and City of Avondale
SECTION 5
ATTACHMENTS
Section 5
Attachments
Page 51 of 53
CHDO Agreement with Newtown Community Development Corp and City of Avondale
Attachment 1
Section 5
Attachments
Page 52 of 53
CHDO Agreement with Newtown Community Development Corp and City of Avondale
Attachment 2
Section 5
Attachments
Page 53 of 53
CHDO Agreement with Newtown Community Development Corp and City of Avondale
Attachment 3
HOME Maximum Per-Unit Subsidy Limits
This limit determines the maximum amount of HOME funds that may be invested on a per-unit
basis in HOME-assisted housing projects as of April 7 ,2023.
Bedroom
Size
Maximum HOME per unit subsidy limit
0 Bedroom
$173,011
1 Bedroom
$198,331
2 Bedrooms
$241,176
3 Bedrooms
$312,005
4 Bedrooms
$342,482
5 Bedrooms
$342,482
Please request updated HOME maximum per unit investment limits from the Maricopa County
Housing and Community Development Division on an annual basis, as these limits are adjusted
annually by the U.S. Department of Housing & Urban Development (HUD). For current Maricopa
HOME Consortium limits, refer to additional Maricopa County Information Bulletins here:
https://www.maricopa.gov/3893/Funding-Notices-Bulletins More information can be found here:
https://www.hudexchange.info/resource/2315/home-per-unit-subsidy/
HOME Homeownership Value Limits (95% Limits)
Community Housing Development Organizations using HOME funds for homeownership
assistance for new housing construction for resale must have an initial purchase price that does
not exceed 95% of the median purchase price for Maricopa County which is $432,000 as of July
1, 2023.
Please request updated HOME Homeownership Value Limits from the Maricopa County Housing
and Community Development Division on an annual basis, as these limits are adjusted annually
by the U.S. Department of Housing & Urban Development (HUD), or go to either
www.maricopa.gov/3893 or HUD’s website for the updated versions each year.