Program Year 2020-21 HOME CHDO IGA
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Page 1 of 52
CHDO Agreement with Newtown Community Development and the City of Chandler
AGREEMENT
BETWEEN
MARICOPA COUNTY
ADMINISTERED BY ITS
HUMAN SERVICES DEPARTMENT
NEWTOWN COMMUNITY DEVELOPMENT CORPORATION
A COMMUNITY HOUSING DEVELOPMENT ORGANIZATION,
AND
THE CITY OF CHANDLER
Agreement Amount: $212,987
Agreement Start Date: ____________
Agreement Termination Date: September 30, 2023
Agreement Number:
CFDA Number: 14.239, HOME Investment Partnerships Program
DUNS Number CHDO: 022225143
DUNS Number Administrator: 077524981
This Agreement (“Agreement”) is entered between Maricopa County, administered by its Human
Services Department (“County”), Newtown Community Development, Corporation, a Community
Housing Development Organization (“CHDO”), and the City of Chandler (“Administrator”). The
CHDO, the Administrator, and the County collectively are 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. 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
Section 4 – Compensation
Section 5 – Attachments
Lead Agency: Maricopa County
Representative: Rachel Milne, Assistant Director, Housing and Community Development Division
Phone: 602-372-1528
E-mail : Rachel.Milne@maricopa.gov
Address: 234 North Central Avenue, Third Floor, Phoenix, Arizona 85004
Page 2 of 52
CHDO Agreement with Newtown Community Development and the City of Chandler
Administrator: City of Chandler
Representative: Karin Bishop
Phone: 480-782-4353
E-mail: karin.bishop@chandleraz.gov
Address: Mail Stop 600; P.O. Box 4008; Chandler, Arizona 85244-4008
CHDO: Newtown Community Development Corporation
Representative: Stephanie Brewer, Executive Director
Phone: 480-517-1589
E-mail: stephanie@newtowncdc.org
Address:2106 East Apache Boulevard, Suite 112, Tempe, Arizona 85281
Notice under this Agreement shall be given by either personal delivery or registered or certified
mail, postage prepaid and return receipt requested, to the persons at the addresses set forth
above and shall be effective upon receipt if personally delivered and three (3) business days after
being placed in the U.S. Mail, properly addressed, with sufficient postage, if sent by registered or
certified mail. Business days means Monday through Friday, unless recognized as a federal or
State of Arizona holiday.
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 on the following page]
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CHDO Agreement with Newtown Community Development and the City of Chandler
IN WITNESS, the Parties have approved and signed this Agreement:
APPROVED BY:
MARICOPA COUNTY
Jack Sellers, Chairman, Board of Supervisors
____________________________________
Date
APPROVED BY:
CITY OF CHANDLER (Administrator)
Joshua Wright, Acting City Manager
____________________________________
Date
Attested to:
_
Clerk of the Board Date
Attested to:
_
City Clerk Date
IN ACCORDANCE WITH A.R.S. §§ 11-201 11-
251, AND 11-952, THIS AGREEMENT HAS
BEEN REVIEWED BY THE UNDERSIGNED
ATTORNEY WHO HAS DETERMINED IT IS
PROPER IN FORM AND WITHIN THE
POWERS AND AUTHORITY GRANTED TO
MARICOPA COUNTY UNDER THE LAWS OF
THE STATE OF ARIZONA.
IN ACCORDANCE WITH A.R.S. §§ 9-240 AND
11-952, THIS AGREEMENT HAS BEEN
REVIEWED
BY
THE
UNDERSIGNED
ATTORNEY WHO HAS DETERMINED IT IS
PROPER IN FORM AND WITHIN THE
POWERS AND AUTHORITY GRANTED TO
THE CITY OF CHANDLER 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 Chandler Date
APPROVED BY:
NEWTOWN COMMUNITY DEVELOPMENT,
an Arizona nonprofit corporation (CHDO)
Stephanie Brewer Date
Executive Director
Execution of the Agreement has been
authorized by the corporate resolution number
__________ dated _______________, 2021.
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CHDO Agreement with Newtown Community Development and the City of Chandler
SECTION 1
GENERAL PROVISIONS
MARICOPA COUNTY HUMAN SERVICES DEPARTMENT
Section 1
General Provisions
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CHDO Agreement with Newtown Community Development and the City of Chandler
1.0
PURPOSE
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
TERM
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.
3.0
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. The County shall notify the CHDO and Administrator in writing of its intent to
extend the Agreement term at least thirty (30) calendar days prior to the expiration of the
original Agreement term, or any additional terms thereafter.
4.0
AMENDMENTS
4.1
All Amendments to this Agreement shall be in writing and signed by the Parties and
be requested to the County no later than ninety (90) days prior to contract expiration.
4.2
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 and shall neither relieve nor release the County, the
CHDO, or the Administrator from their obligations under this Agreement.
5.0
TERMINATION
5.1
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. 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, 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 paragraph shall be effective when the recipient receives a written notice of
cancellation unless the notice specifies a later date.
5.2
Pursuant to A.R.S. § 38-511, the Administrator 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 Administrator is at any time while the
Agreement or any extension of the Agreement is in effect, 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. Additionally,
pursuant to A.R.S § 38-511, the Administrator may recoup any fee or commission
paid or due to any person significantly involved in initiating, negotiating, securing,
drafting or creating this Agreement on behalf of the Administrator from any other
party to this Agreement arising as the result of this Agreement. A cancellation notice
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CHDO Agreement with Newtown Community Development and the City of Chandler
made under this paragraph shall be effective when the recipient receives a written
notice of cancellation unless the notice specifies a later date.
5.3
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 registered or certified mail, postage prepaid and return receipt
requested to the persons at the addresses set forth on pages 1 and 2 of this
Agreement.
5.4
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 non-compliance of the CHDO or the Administrator (or both)
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.
5.5
In accordance with 2 C.F.R. Part 200, Subpart D, 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.
5.6
The Parties may terminate this Agreement for convenience in accordance with 2
C.F.R. Part 200, Subpart D. 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.
6.0
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.
7.0
DEFINITIONS
As used throughout this Agreement, the following terms shall have the following meanings:
7.1
Administrator means the Party responsible for administering this Agreement. The
Administrator s responsible for administering this Agreement.
7.2
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.
7.3
Assistant Director means the Director of the Housing and Community
Development Division within the Maricopa County Human Services Department.
7.4
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.
7.5
Board of Supervisors (BOS) means the Maricopa County Board of Supervisors.
7.6
CHDO is a community housing development organization, a private non-profit
organization that meets the requirements under 24 C.F.R. Part 92.300.
7.7
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-
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CHDO Agreement with Newtown Community Development and the City of Chandler
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.
7.8
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.
7.9
County means Maricopa County.
7.10
Department means the Maricopa County Human Services Department, Housing
and Community Development Division as Lead Agency.
7.11
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.
7.12
Director means the Director of the Maricopa County Human Services Department.
7.13
Division means the Housing and Community Development Division of the Maricopa
County Human Services Department.
7.14
Five-Year Consolidated Plan means the HUD required Consolidated Plan
submitted by the County as the Lead Agency for the Maricopa HOME Consortium.
7.15
HOME means the HOME Investment Partnerships Program.
7.16
HUD means U.S. Department of Housing and Urban Development.
7.17
Lead Agency or Department means the Maricopa County Human Services
Department, Housing and Community Development Division.
7.18
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.
7.19
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.
7.20
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.
7.21
Performance Bond means a bond executed to secure fulfillment of all of the
CHDO's obligations under this Agreement.
7.22
Project 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. §§ 92.2(2)(A) and 92.2(2)(B).
7.23
Public Agency has the meaning prescribed by A.R.S. § 11-951.
7.24
Subcontract means any agreement entered into by the CHDO with a third party for
professional services for performance of any of the work or provision of any of the
services covered by this Agreement.
7.25
Subcontractor means an entity funded through the CHDO to provide any work or
services required by the Work Statement.
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CHDO Agreement with Newtown Community Development and the City of Chandler
7.26
Vendor means an entity funded through the CHDO to provide services required by
the Work Statement.
7.27
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 Section 8 assistance under 24
C.F.R. § 5.612.
7.28
Work Statement means the section of this Agreement that contains a description
of services to be delivered pursuant to this Agreement.
7.29
Women’s Business Enterprise (WBE) means an entity in which a woman has
majority ownership and control.
8.0
GENERAL REQUIREMENTS
8.1
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.
8.2
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.
8.3
The CHDO and the Administrator are independent contractors in the performance
of work and the provision of services under this Agreement.
8.4
The CHDO and the Administrator shall comply with the regulations 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 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. For purposes of this
provision, the terms "substantial interest" and "relative" shall have the meanings
prescribed by A.R.S. § 38-502.
9.0
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
30 calendar days after receipt of this Agreement unless the CHDO and the Administrator
have received a written waiver of this requirement from the County.
10.0
ASSIGNMENT AND SUBCONTRACTING
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.
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CHDO Agreement with Newtown Community Development and the City of Chandler
11.0
AVAILABILITY OF FUNDS
11.1
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, 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.
11.2
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
paragraph at least ten (10) calendar days in advance.
12.0
BUDGET ADJUSTMENTS
12.1
Any requests for reasonable budget adjustments must be submitted ninety (90)
calendar days prior to the expiration of this Agreement. Requests for adjustments to
this Agreement must be supported by documentation.
12.2
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 Order approved and fully executed by the Chairman of the
Board of Supervisors and the CHDO’s authorized Representative and the
Administrator’s authorized Representative and defined in Section 2 (Special
Provisions), Paragraph 19.0 (Administrative Change Orders and Addendums). If a
budget change is necessary that either increases or decreases the Agreement
amount, then the County shall follow Section 1 (General Provisions), Paragraph 4.0
(Amendments) of this Agreement to amend the Agreement.
13.0
DISPUTES
13.1
Except as may otherwise be provided for in this Agreement, any dispute arising out
of this Agreement that is not resolved between the Parties within a reasonable period
of time, which shall not exceed one hundred twenty (120) calendar days, shall be
submitted in accordance with the following dispute resolution process:
13.1.1 Notice of the specific grounds of a dispute shall be in writing and filed with
the Assistant Director within ten (10) business days from the date the CHDO
and the Administrator knew or should have known of the basis of the dispute.
13.1.2 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.
13.1.3 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.
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CHDO Agreement with Newtown Community Development and the City of Chandler
13.1.4 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.
14.0
DEFAULT AND REMEDIES FOR NONCOMPLIANCE
14.1
Notwithstanding anything to the contrary, this paragraph shall not be deleted or
superseded by any other provision of this Agreement.
14.2
This Agreement may be immediately terminated by the County if either the CHDO
or the Administrator defaults by failing to perform any objectives, or breaches any
obligations under this Agreement, or any events occur 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 with the specified time frame.
14.3
Failure to comply with the requirements of this Agreement and all the 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:
14.3.1 Nonperformance of any obligations;
14.3.2 Noncompliance with any applicable federal, state, or local laws, rules, or
regulations, including HUD guidelines, policies, or directives;
14.3.3 Unauthorized expenditure of funds;
14.3.4 Violation of the applicable affordability period;
14.3.5 Improper disposition of recaptured proceeds;
14.3.6 Improper disposition of Project Income;
14.3.7 Noncompliance with applicable financial record requirements, accounting
principles, or standards established by 2 C.F.R. Part 200, and
14.3.8 Noncompliance with recordkeeping, record retention, or reporting
requirements.
14.4
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:
14.4.1 All 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.
14.4.2 Not be relieved of any liability or responsibility associated with the Special
Provision or Work Statement.
14.4.3 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 in
this Agreement shall be construed to limit or terminate any right or remedy
available under contract or rule.
14.4.4 Waiver of a breach or default of any terms, covenants, or conditions of this
Agreement or any federal, state, or local laws, rules, or regulations shall
not operate as a waiver of any subsequent breach of the same or any other
terms, covenants, conditions, laws, rules, or regulations.
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CHDO Agreement with Newtown Community Development and the City of Chandler
14.5
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
acts by them or their employees, officials, successors, assigns, contractors, or
subcontractors that resulted in any wrongdoing (intentional or unintentional); misuse
or misappropriation of funds; the incorrect or improper disposition of funds; any
violations of any federal, state, or local laws, rules, or regulations; or the breach of
any certifications or warranties provided in this Agreement.
15.0
SEVERABILITY
Any provisions of this Agreement that are 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.
16.0
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 follow Section 1 (General Provisions), Paragraph 4.0
(Amendments), of this Agreement.
17.0
NON-LIABILITY
The County and its agents, representatives, officials, officers, directors, employees,
volunteers, departments, agencies, boards, committees, and commissions shall not be
liable for any act or omission by the CHDO, the Administrator, or Vendor or any agents,
representatives, officials, officers, directors, employees, volunteers, departments, agencies,
boards, committees, or commissions 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,
committees, and commissions be liable for purchases or contracts made by the CHDO, the
Administrator, Vendor or any agents, representatives, officials, officers, directors,
employees, volunteers, departments, agencies, boards, committees, or commissions of the
CHDO, the Administrator, or the Vendor, in connection with this Agreement.
18.0
INDEMNIFICATION
18.1
To the extent permitted by law, the CHDO and the Administrator shall, and shall
cause any of their Subcontractors, to indemnify, defend, save and hold harmless
the County, any jurisdictions or agencies issuing any permits for any work arising
out of this Agreement, and their respective agents, representatives, officials,
officers, directors, employees, volunteers, departments, agencies, boards,
committees, and commissions (hereafter referred to as “Indemnitee”) from and
against any and all claims, demands, actions, liabilities, damages, losses,
judgments, or expenses (including court costs, attorney and expert fees, and costs
of claim processing, investigation, and litigation) (hereafter referred to as “Claims”):
A.) that either directly or indirectly are caused by, arise from, or relate to breach of
this Agreement by the CHDO, the Administrator, and any of their Subcontractors,
or any of the agents, representatives, officials, officers, directors, employees,
volunteers, departments, agencies, boards, committees, or commissions of the
CHDO, the Administrator, and any of their Subcontractors; and B.) for bodily injury
or personal injury (including death), or loss or damage to tangible or intangible
property that are either directly or indirectly caused by, arise from, or relate to, or
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CHDO Agreement with Newtown Community Development and the City of Chandler
are alleged to be caused by, arise from, or relate to, in whole or in part, the
negligent or willful acts or omissions of the CHDO, the Administrator, and any of
their Subcontractors, or any of the agents, representatives, officials, officers,
directors, employees, volunteers, departments, agencies, boards, committees, or
commissions of the CHDO, the Administrator, and any of their Subcontractors. This
indemnity includes any claims or amount arising out of or recovered under the
Workers’ Compensation Law or arising out of the failure of the CHDO, the
Administrator, or any of their Subcontractors to conform to any federal, state, or
local laws, statutes, ordinances, rules, regulations, or court decrees. It is the
specific intention of the Parties that the Indemnitee shall, in all instances, except
for Claims arising solely from the negligent or willful acts or omissions of the
Indemnitee, be indemnified by the CHDO, the Administrator, and any of its
Subcontractors from and against any and all claims. It is agreed that the CHDO,
the Administrator, and any of their Subcontractors will be responsible for primary
loss investigation, defense, and judgment costs where this indemnification is
applicable.
18.2
To the extent permitted by law, the County and the CHDO shall, and shall cause
any of their Subcontractors, to indemnify, defend, save and hold harmless the City,
any jurisdictions or agencies issuing any permits for any work arising out of this
Agreement, and their respective agents, representatives, officials, officers,
directors, employees, volunteers, departments, agencies, boards, committees,
and commissions (hereafter referred to as “Indemnitee”) from and against any and
all claims, demands, actions, liabilities, damages, losses, judgments, or expenses
(including court costs, attorney and expert fees, and costs of claim processing,
investigation, and litigation) (hereafter referred to as “Claims”): A.) that either
directly or indirectly are caused by, arise from, or relate to breach of this Agreement
by the CHDO, the County, and any of their Subcontractors, or any of the agents,
representatives, officials, officers, directors, employees, volunteers, departments,
agencies, boards, committees, or commissions of the CHDO, the County, and any
of their Subcontractors; and B.) for bodily injury or personal injury (including death),
or loss or damage to tangible or intangible property that are either directly or
indirectly caused by, arise from, or relate to, or are alleged to be caused by, arise
from, or relate to, in whole or in part, the negligent or willful acts or omissions of
the CHDO, the County, and any of their Subcontractors, or any of the agents,
representatives, officials, officers, directors, employees, volunteers, departments,
agencies, boards, committees, or commissions of the CHDO, the County, and any
of their Subcontractors. This indemnity includes any claims or amount arising out
of or recovered under the Workers’ Compensation Law or arising out of the failure
of the CHDO, the County, or any of their Subcontractors to conform to any federal,
state, or local laws, statutes, ordinances, rules, regulations, or court decrees. It is
the specific intention of the Parties that the Indemnitee shall, in all instances,
except for Claims arising solely from the negligent or willful acts or omissions of
the Indemnitee, be indemnified by the CHDO, the County, and any of its
Subcontractors from and against any and all claims. It is agreed that the CHDO,
the County, and any of their Subcontractors will be responsible for primary loss
investigation, defense, and judgment costs where this indemnification is
applicable.
19.0
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
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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.
20.0
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. Part 200. 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 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.
21.0
AUDIT DISALLOWANCES
21.1
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.
21.2
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.
22.0
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.
23.0
CLEAN AIR ACT
If the total face value of this Agreement exceeds $100,000, then the CHDO and the
Administrator agree to comply with all regulations, standards, and orders issued under the
Clean Air Act of 1970, as amended (42 U.S.C. § 7401, et seq.), to the extent any are
applicable by reason of performance of this Agreement.
24.0
RELIGIOUS ACTIVITIES
The CHDO and the Administrator agree that none of their costs and none of the costs
incurred by any Vendors will include any expenses for any religious activities.
25.0
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 activities, or
to further the election or defeat of any candidates for public office.
26.0
COVENANT AGAINST CONTINGENT FEES
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
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commission, percentage, brokerage, or contingent fee. For breach or violation of this
warranty, the County may immediately terminate this Agreement without liability.
27.0
SAFEGUARDING OF PARTICIPANT INFORMATION
The use or disclosure by any Party of any information concerning an applicant for, or
recipient of, services under this Agreement is directly limited to the purpose of this
Agreement. The CHDO and the Administrator and their agents shall safeguard the
confidentiality of this information as required by federal and state law. The CHDO and the
Administrator shall include a clause to this effect in all Subcontracts.
28.0
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 it.
29.0
COPYRIGHTS
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, use, and authorize others to use all copyrighted
material and all material that can be copyrighted as a result of this Agreement.
30.0
PATENTS
Any discoveries or inventions 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.
31.0
AGREEMENT COMPLIANCE MONITORING
31.1
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-calendar
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.
31.2
The County shall request information for monitoring/audit per Office of Management
and Budget (OMB) Uniform Guidance 2 C.F.R. Part 200, to include:
31.2.1 Financial Management 2 C.F.R. § 200.302
31.2.2 Internal Controls 2 C.F.R. § 200.303
31.2.3 Bonds 2 C.F.R. § 200.304
31.2.4 Payment and Financial Reporting 2 C.F.R. § 200.305
31.2.5 Cost Sharing or Matching 2 C.F.R. § 200.306
31.2.6 Program Income 2 C.F.R. § 200.307
31.2.7 Revision of Budget and Program Plans 2 C.F.R. § 200.308
31.2.8 Period of Performance 2 C.F.R. § 200.309
31.2.9 Insurance Coverage 2 C.F.R. § 200.310
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31.2.10
Record Retention and Access 2 C.F.R. § 200.334
31.2.11
Procurement Standards 2 C.F.R. § 200.318
31.2.12
Indirect Costs 2 C.F.R. § 200.414
31.2.13
Compensation-Personal Services 2 C.F.R. § 200.430
31.2.14
Audit Requirements 2 C.F.R. § 200.501-200.517
32.0
CONTINGENCY RELATING TO OTHER CONTRACTS AND GRANTS
32.1
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.
32.2
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
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.
32.3
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" paragraph contained in this Agreement.
33.0
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.
34.0
RECOGNITION OF DEPARTMENT SUPPORT
The CHDO and the Administrator will give recognition to the County and the funding source
for their support when either the CHDO or the Administrator (or both) publish materials that
are (or release public information that is) paid for either in whole or in part with funds received
by the CHDO and the Administrator under this Agreement.
35.0
INSURANCE
35.1
The CHDO and the Administrator, shall purchase and maintain the 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++6 or
higher. In lieu of State of Arizona licensing, the stipulated insurance may be
purchased from a company that is or companies that 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.
35.2
All insurance required under this Agreement shall be maintained in full force and
effect until all work or service required to be performed under the terms of this
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.
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35.3
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.
35.4
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.
35.5
The insurance policies may provide coverage that contains deductibles or self-
insured retentions. The CHDO and the Administrator shall be solely responsible
for the deductible and self-insured retention.
35.6
The County reserves the right to request and to receive, within 10 business days,
certified copies of any or all of the insurance certificates required under this
Agreement. The County shall not be obligated to review either policies or
endorsements (or both) or to advise the CHDO and the Administrator of any
deficiencies in such policies and endorsements, and such receipt shall not relieve
either the CHDO or the Administrator from, or be deemed a waiver of the County’s
right to insist on strict fulfillment of the CHDO’s and the Administrator‘s obligations
under this Agreement.
35.7
The insurance policies required by this Agreement, except Workers’
Compensation, shall name the County and its agents, representatives, officials,
officers, directors, employees, volunteers, departments, agencies, boards,
committees, and commissions as Additional Insureds.
35.8
The policies required under this Agreement, except Workers’ Compensation, shall
contain waivers of transfer of rights of recovery (subrogation) against the County
and its agents, representatives, officials, officers, directors, employees, volunteers,
departments, agencies, boards, committees, and commissions for any claims
arising out of the work or service of either the CHDO or the Administrator (or both).
35.9
The CHDO’s and the Administrator’s policies shall stipulate that the insurance
afforded the CHDO and the Administrator shall be primary insurance and that any
insurance carried by the County and its agents, representatives, officials, officers,
directors, employees, volunteers, departments, agencies, boards, committees, or
commissions shall be excess and not contributory insurance, as provided by
A.R.S. § 41-621.
35.10 Coverage provided by the CHDO and the Administrator shall not be limited to the
liability assumed under the Indemnification provisions of this Agreement.
35.11 The CHDO and the Administrator shall have coverage in effect at all times during
the term of this Agreement in an amount that is adequate to protect the County
and its agents, representatives, officials, officers, directors, employees, volunteers,
departments, agencies, boards, committees, and commissions and equipment
funded under this Agreement against such losses as are set forth below. The
CHDO and the Administrator shall each name the County and its agents,
representatives, officials, officers, directors, employees, volunteers, departments,
agencies, boards, committees, or commissions as additional insured parties. The
CHDO and the Administrator shall each provide the County with documentation of
insurance coverage by furnishing the County a certificate of insurance or a certified
copy of the insurance policy or other documentation.
35.12 The following types and amounts of insurance are required as a minimum:
35.12.1
Workers' Compensation according to statutory limits.
35.12.2
Unemployment Insurance as required by Arizona Law.
35.12.3
Public Liability, Bodily Injury, and Property Damage:
35.12.3.1
General Liability, each occurrence, $1,000,000; and
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35.12.3.2
Property Damage $1,000,000; or combined single
limit each occurrence $1,000,000.00 minimum 3
Automobile and Truck Liability with minimum limits
of $1,000,000.00 per occurrence.
35.12.4
Standard minimum deductible amounts are allowable. Any
deductible amounts are the responsibility of the CHDO and the
Administrator and reimbursements, if any, under this Agreement
are subject to regulatory provisions of the funding source(s) of this
Agreement.
35.12.5
Property or equipment purchased or furnished through funds
provided under this Agreement shall be fully insured for the
purchase or replacement cost of such property or equipment.
35.13 Certificates of Insurance:
35.13.1
Upon execution of this Agreement, the CHDO and the Administrator
shall furnish the County with valid and complete certificates of
insurance or formal endorsements as required by the Agreement,
issued by the CHDO’s 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 by number and title.
35.13.2
Prior to commencing either work or services under this
Agreement, the CHDO and the Administrator shall have insurance
in effect as required by this Agreement in the form provided by
the County, issued by the CHDO’s and the Administrator’s
insurer(s), as evidence that policies providing the coverage,
conditions, and limits required by this Agreement are in full
force and effect. Such certificates shall be made available to the
County within ten (10) business days after this Agreement has
been fully executed by the Parties. BY SIGNING THIS
AGREEMENT, THE CHDO AND THE ADMINISTRATOR AGREE
TO THIS REQUIREMENT AND THAT FAILURE TO MEET THIS
REQUIREMENT WILL RESULT IN CANCELLATION OF THIS
AGREEMENT.
35.13.3
In the event any insurance policies required by this Agreement are
written on a “claims made” basis, coverage shall extend for two
years past completion and acceptance of the CHDO’s and the
Administrator’s work or services and as evidenced by annual
Certificates of Insurance.
35.13.4
If a policy does expire during the life of this Agreement, then a
renewal certificate must be sent to the County fifteen (15) business
days prior to the expiration date.
35.14 Cancellation and Expiration Notice:
Insurance required under this Agreement shall not be permitted to expire, be
canceled, or be materially changed without thirty (30) business day’s prior, written
notice to the County.
35.15 Subcontractors:
Either the CHDO’s and the Administrator’s certificate(s) shall include all
Subcontractors as insureds under its (their) policies or the CHDO and the
Administrator shall furnish to the County separate certificates for each
Subcontractor. All coverages for Subcontractors shall be subject to the minimum
requirements identified above.
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35.16 Approval:
Any modifications or variations from the insurance requirements in this Agreement
must have prior approval from the County whose decision shall be final. Such
action will not require a formal amendment and must be approved by both Parties.
35.17 Exceptions:
In the event the CHDO, the Administrator, or a Subcontractor is a public entity, the
Insurance Requirements shall not apply to such public entity. Such public entity
shall provide a Certificate of Self-Insurance.
36.0
BONDING
36.1
The CHDO shall not commence performance or receive any reimbursements under
this Agreement until such time as an assurance of performance (performance bond)
shall have been provided in the full amount of this Agreement.
36.2
Any performance bond shall be from a company with a rating not less than B++ and
shall be in form acceptable to the Maricopa County Attorney.
36.3
The CHDO shall provide the County with documentation of required bonding.
36.4
Nothing contained in this paragraph shall limit the ability of the CHDO to provide
multiple assurances provided that the total assured amount shall be not less than
the full amount of this Agreement.
37.0
GRIEVANCE PROCEDURE
The CHDO and the Administrator shall establish a system through which applicants for, and
recipients of, services may present grievances and may take 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.
38.0
NONDISCRIMINATION
The CHDO and the Administrator, in connection with any services or other activities 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 their Subcontracts.
39.0
EQUAL EMPLOYMENT OPPORTUNITY
39.1
The CHDO and the Administrator shall not discriminate against any employees or
applicants for employment because of race, age, disability, color, religion, sex, or
national origin.
39.2
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.
39.3
The CHDO and the Administrator shall, to the extent the following provisions apply,
comply with:
39.3.1 Title VI and VII of the Civil Rights Act of 1964, as amended (42 U.S.C. §
2000a, et seq.);
39.3.2 the Rehabilitation Act of 1973, as amended (29 U.S.C. § 701, et seq.);
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39.3.3 the Age Discrimination in Employment Act of 1967, as amended (29 U.S.C.
§ 621, et seq.);
39.3.4 the Americans With Disabilities Act of 1990 (42 U.S.C. § 12101, et seq.); and
39.3.5 Arizona Executive Order 2009-09, as amended, which mandates that all
persons shall have equal access to employment opportunities.
40.0
DISABILITY REQUIREMENTS
The CHDO and the Administrator agree that any electronic or information technology offered
under this Agreement shall comply with 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.
41.0
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 2 C.F.R. Part 200.
42.0
FINANCIAL MANAGEMENT
The CHDO shall establish and maintain a separate, interest-bearing bank account 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
account shall be disposed of in a manner specified by the County in accordance with
applicable state and federal regulations. The CHDO shall provide a signed bank account
agreement authorizing the County to obtain information about the account. If an accounting
system is used, then it shall be in accordance with generally accepted accounting principles.
43.0
RETENTION OF RECORDS
43.1
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.
43.2
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.
44.0
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.
45.0
COMPETITIVE BID REQUIREMENTS
45.1
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:
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45.1.1 Procurements less than $3,000 (micro-purchases) are exempt from needing
competitive quotes.
45.1.2 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 award shall be made to the lowest bidder meeting
specification requirements concerning price, conformity to specifications,
and other purchasing factors.
45.2
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.
45.3
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.
45.4
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.
46.0
PROPERTY
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.
47.0
IMMIGRATION LAWS AND REGULATIONS
47.1
Federal Immigration and Nationality Act
47.1.1 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.
47.1.2 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
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.
47.1.3 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
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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).
47.2
Arizona Law
47.2.1 The CHDO and the Administrator warrant that they will comply with A.R.S. §
41-4401 (e-verify requirements) and further acknowledge that:
47.2.2 The 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;
47.2.3 A breach of a warranty under Sub-subparagraphs 47.2.1 and 47.2.2 above
shall be deemed a material breach of this Agreement and the County may
immediately terminate this Agreement without liability; and
47.2.4 The County and any contracting government entities retain the legal right to
inspect the papers and employment records of any employees of CHDO and
the 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
Sub-subparagraphs 47.2.1 and 48.7.2 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.
48.0
GOVERNOR’S EXECUTIVE ORDER NO. 88-26
The CHDO and the Administrator are required to use the Arizona Taxonomy of Human
Services for reporting and contracting purposes.
49.0
EMPLOYMENT DISCLAIMER
49.1
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.
49.2
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.
50.0
CERTIFICATION REGARDING DEBARMENT, SUSPENSION, INELIGIBILITY, AND
VOLUNTARY EXCLUSION
50.1
The undersigned individuals, by signing and submitting this Agreement, indicate that
they have the authority to certify the CHDO and the Administrator to the terms,
representations, and warranties of this Certification. The CHDO and the
Administrator, defined as the primary participant in accordance with 2 C.F.R. Part
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376, both certify to the best of their knowledge and belief that they and their
principals:
50.1.1 are not presently debarred, suspended, proposed for debarment, declared
ineligible, or voluntarily excluded from covered transactions by any federal
department or agency;
50.1.2 have not, within a 3-year period preceding this Agreement, been convicted
of or had a civil judgment rendered against them for 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; violation of any federal or state antitrust statutes, or
commission of embezzlement, theft, forgery, bribery, falsification or
destruction of records, making false statements, or receiving stolen property;
50.1.3 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 Subparagraph 50.1.2) of this certification;
50.1.4 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;
50.1.5 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
50.1.6 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.
50.2
The CHDO and the Administrator shall include, without modification, this
Certification’s language, titled “Certification Regarding Debarment, Suspension,
Ineligibility, and Voluntary Exclusion” in all agreements with other contractors, in all
lower tier covered transactions, and in all solicitations for lower tier covered
transactions in accordance with 45 C.F.R. Part 76.
50.3
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.
51.0
CONTRACTOR EMPLOYEE WHISTLEBLOWER RIGHTS AND REQUIREMENT TO
INFORM EMPLOYEES OF WHISTLEBLOWER RIGHTS
51.1
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;
51.2
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
Section 1
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CHDO Agreement with Newtown Community Development and the City of Chandler
51.3
The CHDO and the Administrator shall insert the substance of this clause,
including this paragraph, in all subcontracts over the simplified acquisition
threshold ($250,000 as of June 2021).
52.0
WRITTEN CERTIFICATION IN ACCORDANCE WITH A.R.S. § 35-393.01
If the CHDO and Administrator engage in for-profit activity and have 10 or more
employees, and if this Agreement has a value of $100,000 or more, then the CHDO and
Administrator certify they are not currently engaged in, and agree for the duration of this
Agreement not to engage in, a boycott of goods or services from Israel. This certification
does not apply to a boycott prohibited by 50 U.S.C. § 4842 or a regulation issued pursuant
to 50 U.S.C. § 4842.
53.0
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.
54.0
LOBBYING
54.1
No federal appropriated funds have been paid or will be paid by or on behalf of the
CHDO or Administrator (or both) 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.
54.2
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 or Administrator (or both) shall complete
and submit OMB Form-LLL, titled "Disclosure of Lobbying Activities," in accordance
with its instructions and 31 U.S.C. § 1352.
Page 24 of 52
CHDO Agreement with Newtown Community Development and the City of Chandler
SECTION 2
SPECIAL PROVISIONS
MARICOPA COUNTY
HUMAN SERVICES DEPARTMENT
Section 2
Special Provisions
Page 25 of 52
CHDO Agreement with Newtown Community Development and the City of Chandler
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
anticipate(s) 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.
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 a sworn 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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CHDO Agreement with Newtown Community Development and the City of Chandler
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
The CHDO and the Administrator each shall, at their own expense, file with the Human
Services Department, Housing and Community Development Division by March 30th of
each year, either audited financial statements prepared in accordance with federal single
audit requirements, or 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. Part 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 to provide 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 Lead Agency 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
or return on owner’s or developer’s investment in a project and must not
Section 2
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CHDO Agreement with Newtown Community Development and the City of Chandler
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) calendar 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
PROGRAM INCOME 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, as outlined in
24 C.F.R. Part 92. The CHDO and the Administrator will submit a Project Proceeds report
with each request for reimbursement.
7.0
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 a period of affordability set forth in 24 C.F.R. §§ 92.252 and
92.254.
8.0
DE-OBLIGATION
8.1
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:
8.1.1 The CHDO and the Administrator complete performance under the Work
Statement without using all funds provided by the County under this
Agreement;
8.1.2 The County’s original allocation was a loan and the CHDO and the
Administrator paid the loan;
8.1.3 A Program activity under the Work Statement is cancelled or changed for
reasons other than non-performance; or
8.1.4 This Agreement has been terminated.
9.0
REDUCTION IN FUNDS
9.1
The County, through an Amendment, may reduce Agreement funds under either
of the following circumstances:
Section 2
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CHDO Agreement with Newtown Community Development and the City of Chandler
9.1.1 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
9.1.2 The CHDO and the Administrator failed to perform in accordance with
Section 3 (Work Statement) and identified timelines.
10.0
REPAYMENT OF FUNDS
The CHDO and the Administrator shall repay funds that are defined as unallowable costs
under applicable laws and regulations. This repayment obligation extends to, but is not
limited to, questioned costs identified in either a monitoring review or Single-Audit report.
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 one hundred eighty (180)
calendar days following the written determination by the County of noncompliance.
11.0
ADMINISTRATIVE REQUIREMENTS
11.1
The County is responsible for ensuring HUD HOME Program funds are
administered in accordance with the HOME regulations, 24 C.F.R. Part 92. The
County shall monitor the CHDO’s and the Administrator’s activities to ensure
compliance with the following:
11.1.1 FINANCIAL RECORDS: accounting system and financial records comply
with the applicable requirements and standards of 2 C.F.R. Part 200. and
are subject to monitoring from time to time by the either the County or by
HUD.
11.1.1.1
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).
11.1.1.2
The CHDO and the Administrator shall adhere to applicable
audit requirements as described in, and in accordance with,
2 C.F.R. Part 200. In addition, the CHDO and the
Administrator must provide annual single-audit reports or
annual audited financial statements to the County.
11.1.1.3
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 C.F.R. § 92.252 or § 92.254, as applicable, must
be repaid in accordance with 24 C.F.R. § 92.503(b)(3).
11.1.2 DOCUMENTATION AND RECORD KEEPING
11.1.2.1
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:
11.1.2.1.1
Demonstrating that the CHDO is and
remains a qualified CHDO;
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CHDO Agreement with Newtown Community Development and the City of Chandler
11.1.2.1.2
Providing a full description of each activity
undertaken and its impact;
11.1.2.1.3
Required to determine the eligibility of
activities;
11.1.2.1.4
Demonstrating
compliance
with
environmental review requirements;
11.1.2.1.5
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);
11.1.2.1.6
Demonstrating citizen participation;
11.1.2.1.7
Demonstrating
compliance
regarding
acquisitions, displacement, relocation, and
replacement housing;
11.1.2.1.8
Demonstrating continuing compliance for all
activities and compliance with recapture
provisions of the affordability standards;
11.1.2.1.9
Documenting compliance with the fair
housing and equal opportunity components
of the HOME Program;
11.1.2.1.10
Required by 24 C.F.R. § 570.502, 2 C.F.R.
Part 200, and OMB Circulars;
11.1.2.1.11
Other records necessary to document
compliance
with
HOME
Program
requirements;
11.1.2.1.12
Documenting compliance with Section 3 of
the Housing and Urban Development Act of
1968 and implementing regulations at 24
C.F.R. § 75.19, regardless of whether
Section
3
language
is
included
in
subrecipient or other agreements;
11.1.2.1.13
Demonstrating compliance with deeds of
trust, promissory notes, and forgivable loans;
11.1.2.1.14
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;
11.1.2.1.15
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 combination with other federal
assistance than is necessary to provide
affordable housing, as described in 24
Section 2
Special Provisions
Page 30 of 52
CHDO Agreement with Newtown Community Development and the City of Chandler
C.F.R. § 92.250 and further described in
HUD Notice CPD 15-11; and
11.1.2.1.16
Demonstrating compliance with federal,
state, and local laws and regulations,
including compliance with A.R.S. §§ 1-501
and 1-502.
11.1.2.2
Outcome Measures – The CHDO and the Administrator
shall maintain data that supports the accomplishment of the
desired outcomes as indicated in the Work Statement.
11.1.2.3
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.
11.1.2.4
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.
11.1.2.5
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.
11.1.2.6
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 ensure that all required files and documentation
are available at scheduled monitoring visits. The failure of
the CHDO to administer, implement, and perform as
determined by federal regulations and by the County shall
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CHDO Agreement with Newtown Community Development and the City of Chandler
constitute non-compliance with this Agreement. Non-
compliance is a violation of this Agreement and may result
in the withholding of future payments.
12.0
ENVIRONMENTAL REVIEW CONDITIONS
12.1
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 HUD or both HUD and the
County provides the CHDO and Administrator with written authorization based on
approval of an ERR.
12.2
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.
12.2.1 The CHDO and the Administrator agree to comply with: The National
Environmental Policy Act of 1969 (P.L. 91-190) pursuant to 40 C.F.R. §§
1500 – 1508; Environmental Review Procedures for Entities Assuming
HUD Environmental Responsibilities pursuant thereto Title 24 C.F.R. Part
58, Subpart A; CPD Notice 01-11 HOME Environmental Review
Requirements; and all conditions required in the process of the
environmental assessment.
12.2.2 Air and Water - The CHDO and the Administrator shall comply with the
following requirements insofar as they apply to the performance of this
Agreement:
12.2.2.1
Clean Air Act, 42 U.S.C. § 7401, et seq., as amended.
12.2.2.2
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.
12.2.2.3
Environmental
Protection
Agency
(EPA)
regulations
pursuant to 40 C.F.R. Part 50, as amended.
12.2.2.4
The CHDO and the Administrator agree to comply with
conditions set forth by the Air Quality Department or other
County agency, as required.
12.2.2.5
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
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CHDO Agreement with Newtown Community Development and the City of Chandler
maintain flood insurance as a condition of funding, or funds
shall not be utilized.
12.2.2.6
Historic Preservation - The CHDO and the Administrator
shall comply with the Historic Preservation requirements set
forth in the National Historic Preservation Act of 1966 (54
U.S.C. § 300101, et seq.) and the procedures set forth in 36
C.F.R. § 800, Advisory Council on Historic Preservation
Procedures for Protection of Historic Properties, insofar as
they apply to the performance of this Agreement.
12.2.2.7
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 also is 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.
13.0
ADDITIONAL CERTIFICATIONS, WARRANTIES, AND AGREEMENTS
13.1
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 damage or other
liability that the County may incur with respect to HUD as a result of any failure on
the part of the CHDO and the Administrator.
13.2
The CHDO and the Administrator agree:
13.2.1
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 Attachment 3 of this Agreement.
13.2.2
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.
13.2.3
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.
Section 2
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CHDO Agreement with Newtown Community Development and the City of Chandler
This limit is updated annually. Refer to Attachment 3 of this
Agreement.
13.2.4
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:
13.2.5
Implementation of the Fair Housing Act, (42 U.S.C. § 3601, et seq.),
and implementing regulations at 24 C.F.R. Part 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)
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);
13.2.6
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;
13.2.7
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;
13.2.8
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. Part 146
(nondiscrimination on the basis of age in HUD programs or activities
receiving federal financial assistance);
13.2.9
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. Part 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.);
13.2.10
Implementation of the requirements of Section 3 of the Housing and
Urban Development Act of 1968 (12 U.S.C. § 1701u) (Employment
Opportunities for Business and Lower Income Persons in
Connection with Assisted Activities);
13.2.11
Implementation of the requirements of Executive Orders 11625 and
12432 regarding MBE development and 12138 regarding WBE,
and 24 C.F.R. § 85.36 (e) and of Section 281 of the National
Housing Affordability and Stability Act; and
13.2.12
Implementation of the requirements of 24 C.F.R § 5.106 Equal
access in accordance with the individual’s gender identity in
community planning and development programs.
13.3
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-
Section 2
Special Provisions
Page 34 of 52
CHDO Agreement with Newtown Community Development and the City of Chandler
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.
13.4
HOME funds may not be used for operations or modernization of public housing
projects financed under the Housing Act of 1937.
13.5
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. Part 58 (environmental review procedures
for entities assuming HUD environmental responsibilities). The County will assume
the responsibilities for the Request for 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.
13.6
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. §§ 4601-4655) 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.
13.7
The CHDO and the Administrator shall comply with the Davis-Bacon Act (40
U.S.C. § 3141, et seq.), Contract Work Hours and Safety Standards Act (40 U.S.C.
§ 3701, et seq.) related acts, and the provisions of 24 C.F.R. Part 24 regarding
Government Debarment and Suspension as they apply to this HOME Program.
13.8
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.
13.9
The CHDO and the Administrator shall comply with the Drug-Free Workplace Act
of 1988 as it applies to the HOME Program.
13.10 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. §,
4851) and is therefore subject to 24 C.F.R. Part 35.
13.11 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.
Section 2
Special Provisions
Page 35 of 52
CHDO Agreement with Newtown Community Development and the City of Chandler
14.0
SUBCONTRACTS AND VENDORS
14.1
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
(RROF). Exempt activities described in 24 C.F.R. § 58.34(a)(1)-(12) 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 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.
14.2
DUNS Number – All Subcontractors shall have a valid DUNS number and an active
profile in the federal System for Award Management, or SAM.
14.3
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).
14.4
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.
14.5
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. § 75.19. The CHDO and the
Administrator have the responsibility of determining Section 3 eligibility.
14.6
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.
15.0
THE COUNTY CERTIFIES
15.1
That a public purpose is served by the County contracting for activities identified
in Section 3 (Work Statement).
15.2
That the HOME Program funds designated for the Work Statement activities
constitute reasonable and prudent assistance.
16.0
THE ADMINISTRATOR AGREES TO
16.1
Complete and submit to the County all Environmental Reviews (ERs) in a timely
manner.
16.2
Provide technical assistance to the CHDO on a continuing basis.
16.3
Approve all Requests for Reimbursement, review all requests for Amendments,
and make recommendations to the County in a timely manner.
16.4
Monitor timely implementation of the CHDO’s project, including encumbrance
obligations, and make recommendations for compliance.
Section 2
Special Provisions
Page 36 of 52
CHDO Agreement with Newtown Community Development and the City of Chandler
16.5
Keep the Maricopa HOME Consortium informed of progress toward goals.
16.6
Serve as the lien holder for all real estate developed, if applicable.
16.7
At the completion of the project, provide a close out memo detailing the on-going
HOME requirements and responsibilities for the affordability period.
17.0
PROGRAM COMPLETION
17.1
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.
17.2
The disposition of any property purchased during the term of this Agreement shall
follow Section 1 (General Provisions), Paragraph 46.0 (Property).
17.3
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:
17.3.1 Funds have been expended for the activity;
17.3.2 The Work Statement has been completed;
17.3.3 This Agreement has expired; or
17.3.4 The Agreement has otherwise been terminated.
17.4
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.
17.5
For the purposes of a rental project, the following shall apply:
17.5.1 The project shall be completed when the site receives a Certificate of
Occupancy;
17.5.2 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.
17.5.3 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.
17.5.4 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.
18.0
FAILURE TO MAKE PROGRESS
18.1
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
Section 2
Special Provisions
Page 37 of 52
CHDO Agreement with Newtown Community Development and the City of Chandler
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:
18.1.1 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;
18.1.2 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).
18.1.3 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.
18.1.4 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.
18.2
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 1 (General Provisions), Paragraph 5.0 (Termination), or terminate the
Agreement for cause under Section 1 (General Provisions), Paragraph 5.0
(Termination).
19.0
GENERAL CONDITIONS
19.1
Administrative Change Orders – 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 City. Administrative Change Orders may address any of
the following areas:
19.1.1 Administrative Change Orders may address any of the following areas:
19.1.1.1
Modifications to the project timeline if the last day of the
project timeline is within the Agreement term;
19.1.1.2
Modifications to Budget line items if the Agreement Amount
remains unchanged;
19.1.1.3
Modifications required by federal, state, or County
regulations, ordinances, or policies;
Section 2
Special Provisions
Page 38 of 52
CHDO Agreement with Newtown Community Development and the City of Chandler
19.1.1.4
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
19.1.1.5
Modifications to Administrative requirements such as
changes in reporting periods, frequency of reports, or report
formats required by HUD or by local regulations, policies, or
requirements.
19.1.2 It is the responsibility of the City to ensure the latest documents are
consulted and followed.
19.2
Addenda:
19.2.1 The CHDO and the Administrator shall submit to the County an Addendum
when each property has been identified and will be acquired by the CHDO
and the Administrator for rehabilitation activities under this Agreement. A
sample Addendum is attached as Attachment 4; and
19.2.2 All Addenda shall be integrated into this Agreement.
19.3
It is the responsibility of the CHDO and the Administrator to ensure the latest
documents are consulted and followed.
20.0
REVERSION OF ASSETS
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 39 of 52
CHDO Agreement with Newtown Community Development and the City of Chandler
SECTION 3
WORK STATEMENT
MARICOPA COUNTY
HUMAN SERVICES DEPARTMENT
Section 3
Work Statement
Page 40 of 52
CHDO Agreement with Newtown Community Development and the City of Chandler
MARICOPA COUNTY
HOME Investment Partnerships Program
Work Statement
Program Year 2020
DUNS Number CHDO:
022225143
DUNS Number Administrator:077524981
Project:
Newtown-Chandler Community Land Trust Acquisition/Resale
Type of Property:
Single Family Residential
1.0
FUNDING
CHDO 2020
HOME
FUNDS
CASH MATCH
OTHER
RESOURCES
TOTAL
BUDGET
$212,987
$860,280
$1,073,267
2.0
SCOPE OF WORK
2.1
Project Description: Acting in the capacity of a developer, the CHDO will acquire
and rehabilitate two (2) single-family houses in Chandler. The property will be
acquired with CHDO’s line of credit, following completion of environmental review
requirements. This is a scattered-site homeownership project and will target zip
codes 85224, 85225, and 85226 to be supplemented by the specific street
address. Parties agree to execute an Addendum once properties are identified.
Addenda to this Agreement identifying individual properties by street address for
participation in the Newtown-Chandler Community Land Trust Program (CLT) will
be executed before funding is made available. Funds will be paid to CHDO and
the Administrator only after the CHDO and the Administrator have met the
Commitment requirements as set forth in 24 C.F.R. § 92.2 (1) and (2), respectively,
and are prepared to commence construction within twelve months.
2.2
Project Purpose: The Project will create homeownership opportunities for low-
income households, which is a high priority in the Consolidated Plan. The
completed units shall be sold through the CHDO’s (CLT) program in which the
buyer purchases the improvements only and enters into a 99-year CLT Ground
Lease with the CHDO. The CLT Ground Lease contains provisions that require the
housing to be used as the buyer’s principal residence and restricts resale/transfer
only to Low-Income buyers. In addition, the CLT Ground Lease has a shared-
appreciation provision that limits the sale price of the housing and helps ensure
affordability for future buyers.
2.3
Project Beneficiaries: Two (2) first-time homebuyers at or below 80% of the area
median income level. The CHDO will secure affordability through the Resale
Provisions. The CHDO shall ensure the beneficiaries are income-eligible and
comply with 24 C.F.R. § 92.203(d)(1). The eligible buyer will be required to
complete an approved homebuyer education class and homeownership
counseling. The homeownership counseling services provided must meet the
definition of housing counseling as defined at 24 C.F.R. Part 5.100. The content
and process of housing counseling must meet the standards outlined in 24 C.F.R.
part 214. Eligible buyers also will be required to complete a CLT orientation, at
which time the ground lease, resale restrictions, shared equity, and all other
provisions of the CLT program shall be fully explained.
Section 3
Work Statement
Page 41 of 52
CHDO Agreement with Newtown Community Development and the City of Chandler
2.4
Project Staff: The CHDO shall maintain staff qualified to perform the duties of the
project. The CHDO shall immediately notify the Administrator and the County
regarding any changes in staff committed to the CHDO project. The Administrator
and the County reserve the right to review the qualifications of new staff committed
to the CHDO project after the execution of this Agreement. The CHDO will be
responsible for all communications with the Administrator and the Maricopa HOME
Consortium, providing all updates and as requested. In addition, any complaints
will be the responsibility of the CHDO.
2.5
Subcontractors: The CHDO, as the developer on this project, will oversee every
aspect of the project. This oversight includes, but is not limited to, day-to-day
operations; preparing budgets; managing the budget, timeline, and change orders;
issuing a Request for Proposal and selecting the general contractor and
Subcontractors. The CHDO shall select subcontractors in accordance with the
Administrative Requirements of this Agreement. The CHDO shall contract with
responsible and qualified subcontractors to perform the duties of the project. The
CHDO shall verify the qualifications of each subcontractor through license
verification, references, and SAM.gov.
2.6
Funds for rehabilitation are obligated by completing a detailed set of plans and
specifications (work write-up) and completing a detailed construction/rehabilitation
cost estimate based upon those specifications. Such cost estimate may include a
contingency for construction change orders of up to 15% for rehabilitation and up
to 5% for new construction. The property must be free from any defects that pose
a danger to the health and safety of occupants and must meet written rehabilitation
standards and local codes and ordinances at project completion. Copies of the
final inspection must be retained in the project files and provided to the County
upon submitting a completion report.
2.7
Period of Affordability: Resale provisions will be used to ensure compliance with
the Period of Affordability required by HUD at 24 C.F.R. § 92.254. The affordability
restrictions will be secured by a CLT Ground Lease and a Declaration of
Affirmative Land Use Restrictions.
2.8
The completed units shall be sold through the CLT program in which the buyer
purchases the improvements only and enters into a 99-year CLT Ground Lease
with the CHDO. The CLT Ground Lease shall contain provisions that require the
housing to be used as the buyer’s principal residence and restricts resale/transfer
only to Low-income families. In addition, the CLT Ground Lease has a shared-
appreciation provision that limits the sale price of the housing and helps ensure
affordability for future buyers. A Memorandum of Ground Lease and Right of First
Refusal shall be recorded. A Performance Deed of Trust also shall be recorded
and name the CHDO as the beneficiary. The foregoing ensures that the CHDO is
notified in the event the owner of the improvements attempts to either refinance or
transfer the property.
2.9
The shared-appreciation provision conforms to Maricopa HOME Consortium
Recapture/Resale Provisions: The “Fair Return” for leasehold properties is defined
as the lessee’s purchase price, plus 25% of the lessee’s share of the increase in
leasehold value at time of resale based on a leasehold valuation performed by a
duly licensed appraiser.
2.10
Declaration of Affirmative Land Use Restrictions: Upon sale to an eligible buyer, a
Declaration of Affirmative Land Use Restrictive Covenant for HOME Project shall
be executed between the Administrator and the CHDO and recorded against the
land to secure the Period of Affordability as required by HUD. The Period of
Affordability is based on the total amount of HOME funds invested in the housing.
Section 3
Work Statement
Page 42 of 52
CHDO Agreement with Newtown Community Development and the City of Chandler
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
4.0
LOGIC MODEL: PERFORMANCE INDICATORS
INPUTS/
RESOURCES
OUTPUTS
OUTCOMES
OBJECTIVES
ACTIVITIES
PARTICIPATION
CHDO staff,
funding,
contractors
Acquisition,
rehabilitation,
and resale
Two households
Increased
affordable housing
for low- income
families. Increased
homeownership.
Improved
neighborhoods
and quality of life.
Decent
housing.
5.0
PERFORMANCE REPORTING GOALS/TIMELINE OF ACTIVITIES
MILESTONES: Tasks to be Performed
COMPLETION
DATE
Application/market study
12/06/2019
Execute third party agreement for HOME funds
07/15/2021
Site selection
03/31/2022
Environmental Review approval
03/31/2022
Homeownership counseling/buyer preparation
04/30/2022
Acquisition
03/31/2022
Work write-ups and bid selection
04/30/2022
Homebuyer financing secured
04/30/2022
Rehabilitation
04/30/2022
Resale of properties to homeowners
04/30/2022
Final Close-out /Project Completion Form
03/31/2022
Any change to the Timeline will need to be approved by the County.
Section 3
Work Statement
Page 43 of 52
CHDO Agreement with Newtown Community Development and the City of Chandler
6.0
ACTIVITY BUDGET SUMMARY:
ACTIVITY
PY2020
HOME
FUNDS
Additional
Sources
TOTAL
ACTIVITY
BUDGET
Acquisition
$212,987
$511,543
$724,530
Land
$4,028
$4,028
Inspections, title, appraisal
$1,611
$1,611
Legal fees
$4,833
$4,833
Rehabilitation construction cost
$140,700
$140,700
Development Costs: Loan interest,
taxes, insurance, utilities, resale title &
closing, realtor fees.
$60,300
$60,300
Developer Fee (address specific project
delivery)
$93,265
$93,265
Down Payment Assistance
$44,000
$44,000
TOTALS
$212,987
$860,280
$1,073,267
6.1
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.
6.2
Additional Sources: CHDO Line of Credit and cash.
7.0
ACTIVITY MATCH:
AMOUNT
FORM OF MATCH
SOURCE
$162,000
WISH/IDEA Funds
Federal Home Loan Bank of
San Francisco
8.0
SALES PRICE:
8.1
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 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 Attachment 3 to this Agreement.
8.2
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:
9.1
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
Section 3
Work Statement
Page 44 of 52
CHDO Agreement with Newtown Community Development and the City of Chandler
proceeds received and expended shall be submitted to the Administrator and the
County. Project proceeds shall be retained and expended by the CHDO for either
the construction of additional properties under this Agreement or other HOME-
eligible activities, in both cases with prior approval from the Administrator and the
County.
10.0
CONVERSION TO RENTAL:
If the acquired property under this Agreement has not been sold to an eligible homebuyer
within nine (9) months after the receipt of a Certificate of Occupancy, then 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 the HOME funds must be repaid to the County.
Page 45 of 52
CHDO Agreement with Newtown Community Development and the City of Chandler
SECTION 4
COMPENSATION
MARICOPA COUNTY
HUMAN SERVICES DEPARTMENT
Section 4
Compensation
Page 46 of 52
CHDO Agreement with Newtown Community Development and the City of Chandler
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 Catalog of
Federal Domestic Assistance (CFDA): 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 rendered as indicated in the following paragraphs.
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 calendar days after drawdown) 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 those 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. Requests for reimbursement must be made using the request
for payment incorporated in this Agreement.
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 request funds from the
County.
2.3
The County agrees to reimburse the CHDO 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. 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. The County shall reimburse the CHDO and the
Administrator on a Net 0 payment standard.
3.0
TIMELINESS
3.1
A Request for Reimbursement shall be submitted by the CHDO and Administrator
by the 15th calendar day of the month following the month close out in which the
expenditure occurred.
3.2
All requests for reimbursement of expenditures must be submitted 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 by the
CHDO and Administrator no later than July 30th for the preceding fiscal year.
3.3
All requests for reimbursements shall be submitted by the CHDO and the
Administrator to: HSDFINANCE@MARICOPA.GOV.
Section 4
Compensation
Page 47 of 52
CHDO Agreement with Newtown Community Development and the City of Chandler
4.0
REIMBURSEMENT
4.1
The County shall provide financial reimbursement for services performed by the
CHDO, not to exceed the amounts listed on page 1 of this Agreement and the
availability of of funds.
4.2
The County shall reimburse the CHDO on a net “0” payments standard.
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 calendar 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 48 of 52
CHDO Agreement with Newtown Community Development and the City of Chandler
SECTION 5
ATTACHMENTS
MARICOPA COUNTY
HUMAN SERVICES DEPARTMENT
Section 5
Attachments
Page 49 of 52
CHDO Agreement with Newtown Community Development and the City of Chandler
Attachment 1
Section 5
Attachments
Page 50 of 52
CHDO Agreement with Newtown Community Development and the City of Chandler
Attachment 2
Section 5
Attachments
Page 51 of 52
CHDO Agreement with Newtown Community Development and the City of Chandler
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 June 4, 2020.
Bedroom
Size
Maximum HOME per unit subsidy limit
0 Bedroom
$ 153,314
1 Bedroom
$ 175,752
2 Bedrooms
$ 213,718
3 Bedrooms
$ 276,482
4 Bedrooms
$ 303,490
5 Bedrooms
$ 303,490
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 $313,000 as of July
1, 2020.
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.
Section 5
Attachments
Page 52 of 52
CHDO Agreement with Newtown Community Development and the City of Chandler
Attachment 4
ADDENDUM
TO THE AGREEMENT BETWEEM
MARICOPA COUNTY
ADMINISTERED BY ITS HUMAN SERVICES DEPARTMENT,
NEWTOWN CDC, AND THE CITY OF CHANDLER
ACTIVITY:
Newtown-Chandler Community Land Trust
Acquisition/Resale
Single Family Residential
CONTRACT START DATE:
CONTRACT END DATE:
CONTRACT NUMBER:
ACTIVITY FUNDING AMOUNT:
I.
The purpose of this Addendum is to identify the property(ies) acquired for Project activities.
II.
Pursuant to the Agreement Section 2 (Special Provisions), Paragraph 19.0 (General Conditions),
of the Parties’ Agreement, the following property is identified for purchase: ______________ [Insert
street address(es) and Maricopa County tax parcel number(s)].
III.
All other terms of the Agreement not amended by this Addendum shall remain in full force and
effect as approved.
IV.
The Parties have authorized the undersigned to execute this Addendum on their behalf.
V.
This Addendum shall be effective upon approval and signature by the Parties.
IN WITNESS, the Parties have approved and signed this Addendum.
MARICOPA COUNTY
_____________________________________
Chairman, Board of Supervisors Date
CITY OF CHANDLER (Administrator)
_____________________________________
City Manager Date
ATTESTED TO:
_____________________________________
Clerk of the Board Date
ATTESTED TO:
_____________________________________
City Clerk Date
APPROVED AS TO FORM:
_____________________________________
Deputy County Attorney Date
APPROVED AS TO FORM:
_____________________________________
Attorney for the City of Chandler Date
NEWTOWN
COMMUNITY
DEVELOPMENT
CORPORATION (CHDO)
_____________________________________
Executive Director Date