HOME Agreement - ARM of Save the Family Foundation of Arizona
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SUBRECIPIENT GRANT AGREEMENT
between
CITY OF CHANDLER
and
AFFORDABLE RENTAL MOVEMENT OF SAVE THE FAMILY
for the
HOME INVESTMENT PARTNERSHIPS PROGRAM
(HOME) Contract No. __________
THIS SUBRECIPIENT GRANT AGREEMENT IS MADE this ____ day of
______________, 2025 (this “Agreement”), by and between the City of Chandler, hereinafter
referred to as “Chandler,” and The A.R.M. of Save the Family Foundation of Arizona, an Arizona
nonprofit corporation, hereinafter referred to as “Developer,” located at 125 E University Dr.,
Mesa AZ 85201. Chandler and Developer are sometimes referred to in this Agreement
collectively as the “Parties”, or individually as a “Party”.
This Agreement will remain in effect through September 30, 2025, unless sooner
terminated, extended or otherwise amended in accordance with the terms of this Agreement.
RECITALS
WHEREAS, Chandler is the recipient of U.S. Department of Housing and Urban
Development (“HUD”) HOME Investment Partnerships Program Funds (“HOME Program
Funds”) pursuant to an Intergovernmental Agreement (“IGA”) with Maricopa County as part of
Chandler’s participation in the Maricopa County HOME Consortium.
WHEREAS, Chandler solicited grant applications from non-profit entities to help meet
its goals, including Chandler’s 5-Year Consolidated Plan to utilize HOME Program Funds to
increase the affordable housing stock within Chandler.
WHEREAS, Developer has submitted a proposal for use of HOME Program Funds for
an eligible project under HOME regulations.
WHEREAS, Developer is being awarded HOME Program Funds to be used to provide
two permanent affordable rental housing units in Chandler, Arizona, as authorized under Title II
of the Cranston-Gonzalez National Affordable Housing Act of 1990 that would include the
acquisition, rehabilitation and rental of single family dwelling units to qualified low- to moderate-
income renters in Chandler. The $558,482 of HOME Program Funds provided to Developer
under this agreement include $276,482.00 for Program Year (“PY”) 2021 and $282,000 for PY
2022 (the “HOME Funds”).
AGREEMENT
NOW, THEREFORE in consideration of the mutual covenants and obligations herein
contained, including the Attachments, and subject to the terms and conditions stated herein, the
Parties understand and agree as follows:
SECTION 1. – GENERAL CONDITIONS
1. Title and paragraph headings are for convenient reference and are not a part of this
Agreement.
2. In the event of conflict between the terms of this Agreement and any terms or conditions
contained in any attached documents, the terms in this Agreement control.
3. No waiver or breach of any provision of this Agreement constitutes a waiver of a
subsequent breach of the same or any other provision hereof, and no waiver is effective
unless made in writing.
4. Chandler’s failure to act with respect to a breach by Developer does not waive its right to
act with respect to subsequent or similar breaches. The failure of Chandler to exercise or
enforce any right or provision does not constitute a waiver of such right or provision.
5. The Parties agree that this Agreement will be construed and enforced according to the
laws of the State of Arizona.
6. Should any provisions, paragraphs, sentences, words or phrases contained in this
Agreement be determined by a court of competent jurisdiction to be invalid, illegal or
otherwise unenforceable under the laws of the State of Arizona or Chandler, such
provisions, paragraphs, sentences, words or phrases will be deemed modified to the
extent necessary in order to conform with such laws, or if not modifiable to conform with
such laws, then they will be deemed severable, and in either event, the remaining terms
and provisions of this Agreement will remain unmodified and in full force and effect.
7. Developer will not delegate or assign the obligations undertaken pursuant to this
Agreement to any other person or agency unless Chandler first consents, in writing, to
the performance or assignment of such service or any part thereof by another person or
agency.
8. The Agreement is binding upon the Parties hereto, their heirs, executors, legal
representative, successors and assigns.
9. Uniform Administrative Requirements. The requirements of 2 CFR part 200 apply to this
Agreement except for the following provisions: 200.311, 200.312, 200.329, 200.333, and
200.334. The provisions of 2 CFR 200.305 apply as modified by 92.502(c). If there is a
conflict between definitions in 2 CFR part 200 and 24 CFR part 92, the definitions in 24
CFR part 92 govern.
10. Chandler may make unilateral administrative changes to the Agreement in any one or
more of the following areas upon providing Developer written notice:
a. Work Statement activities reflecting changes in Federal, State, Chandler
regulations, policies, or requirements; and
b. Administrative requirements such as changes in reporting periods, frequency of
reports, or report formats required by Funding Source or Chandler regulations,
policies, or requirements. It is the responsibility of Developer to ensure the latest
documents are consulted and followed.
A. DEFINITIONS
As used throughout this Agreement, the following terms have the following meanings:
1. “Agreement” means this Agreement entered into between Chandler and Developer,
including Exhibits and/or Attachments listed therein. It includes all formal changes to
any of those documents by addendum, change order, or other modification.
2. “Agreement Expiration” means the day after the last day of the Period of Affordability
for all units purchased pursuant to this Agreement.
3. “Developer Fee” means the amount of money Chandler agrees to pay and Developer
agrees to accept as payment in full for management of the process related to the
acquisition and/or rehabilitation of the units.
4. “Eligible Costs” means costs for the activities specified in Attachment A for which
HOME Funds are budgeted, provided that such costs are incurred in connection with the
activity which is eligible under the HOME Program and conform to all HOME Program
requirements.
5. “Environmental Requirements” means the requirements described in 24 CFR part 58.
6. “Eligible Renter” means an individual who meets income and other requirements as
defined in 24 CFR part 92.
7. “HUD” means the U.S. Department of Housing and Urban Development.
8. “HOME Funds” means the $558,482 of HOME Program Funds awarded to Developer
pursuant to this Agreement in addition to any associated Program Income.
9. “HOME Program” means the HOME Investment Partnership Program as defined in 24
CFR part 92 as it currently exists and as it may be modified in the future.
10. “HOME Program Funds” means funds made available to Chandler under 24 CFR part
92 through allocations and reallocations, plus all repayments and interest or other return
on investment of these funds.
11. “HOME-assisted Unit” means those units designated as HOME-assisted pursuant to 24
CFR part 92.
12. “Low-Income Family” or “Low-Income Household” means a household whose annual
income does not exceed 80 percent of the median income for the area, as determined by
HUD.
13. “Very Low Income” means a household whose annual household income does not
exceed 50 percent of the median income for the area, as determined by HUD.
14. “Period of Affordability” means the number of years during which the Property is
subject to HOME requirements as specified herein. The Period of Affordability is fifteen
(15) years from the initial lease effective date in accordance with HOME Program
requirements.
15. “Program Income” means the income received by Developer or Chandler directly
generated from the use of HOME Funds or matching contributions, including proceeds
from the sale of real property acquired, rehabilitated or constructed with HOME Funds.
16. “Project” means the purchase and, if necessary, rehabilitation of two HOME-assisted
units as provided for in this Agreement.
17. “Project Completion” means that all necessary title transfer requirements and
construction work have been performed; the Project is in compliance with the HOME
Program requirements; the final drawdown has been disbursed; and all Project completion
information has been delivered to Chandler, as provided for under this Agreement.
18. “Records” means all pertinent books, documents, papers, accounts, reports, files,
applications, sales contracts, waiting lists, income examinations, and all other records
relating to the Project.
19. “Work” means the services and activities enumerated in Attachments A of this
Agreement.
B. PURPOSE
The purpose of this Agreement is to provide HOME funding from Chandler to Developer for the
acquisition and rehabilitation of two (2) single-family housing units (the “Property”) for rental
to eligible Low-Income Households. All work tasks performed under this Agreement will be
performed in essentially the same manner proposed in the grant applications as received by
Chandler on November 23, 2020 and December 1, 2021. Developer’s grant applications are
considered a part of this Agreement and are hereby incorporated by reference. If there are any
conflicts between the grant applications and this Agreement, this Agreement controls.
C. USES OF FUNDS
1. Developer will use HOME Funds under this Agreement to acquire and rehabilitate two
single-family housing units for use as permanent affordable rental homes within the boundaries
of Chandler, Arizona. Development costs include the actual cost of acquisition and rehabilitation
of existing structures, on-site improvements in keeping with the improvements of standard
surrounding properties, carrying costs, and related soft costs including but not limited to
financing fees, affirmative and fair marketing, staff and overhead costs directly related to
carrying out the project (project-specific costs), and developer fees.
2. It is expressly understood by the Parties hereto that this Agreement has been negotiated
and executed in anticipation of receipt of HOME Program funds by Chandler from HUD via the
Maricopa County HOME Consortium and per the Maricopa County per the Intergovernmental
Agreement executed on June 28, 2023 and that therefore, the terms, conditions and sums payable
under this Agreement are subject to any changes or limitations which may be required by HUD
and the HOME Program regulations. Notwithstanding any other provisions of this Contract, any
payment to Developer by Chandler under this Agreement is contingent upon the actual receipt of
funds from HUD.
SECTION 2. – HOME PROJECT REQUIREMENTS:
1. Eligible Properties. Developer can use HOME Funds only to acquire properties approved
by Chandler. Eligible properties:
a) Must be located in the HOME Target Area identified in Developer’s applications
based on the housing market analysis provided by Developer.
b) Must receive environmental clearance from Chandler prior to acquisition, except that
the developer may execute a purchase option subject to environmental clearance.
c) Must have only one dwelling unit on site; acquisition of two-family or other mixed
owner-rental properties require Chandler advance approval in writing and compliance
with HOME rental restrictions.
d) Must be unoccupied or meet the voluntary sale requirements of the Uniform
Relocation Act.
2. Property Standards - Developer will carry out all HOME-assisted activities in accordance
with applicable laws, codes, and other requirements relating to housing safety, quality,
and habitability, in order to sell, rent, or redevelop such homes and properties, including
compliance with 24 CFR 92.251 as relates to Property Standards and Housing Quality
Standards (HQS), Accessibility Standards under 24 CFR 92.251(b)(iv) or such standards
as are subsequently adopted or implemented including the National Standards for the
Physical Inspection of Real Estate (NSPIRE), as applicable.
3. Expenditure and Obligation Requirements
a) Developer agrees to expend 100% of HOME Funds under this Agreement no later
than September 30, 2025.
b) Developer agrees to identify all properties to be assisted under this Agreement no later
than June 30, 2025. The following obligation standards will be applied to units
acquired under this Agreement:
i) Funds for Property acquisition are obligated by Developer entering into a valid
purchase and sale agreement with the seller of the Property in compliance with all
HOME requirements.
ii) Funds for rehabilitation are obligated by completing a detailed set of plans and
specifications (work write-up) and completing a detailed rehabilitation cost
estimate based upon those specifications. Such cost estimate may include up to a
15% contingency for change orders.
iii)
For a Property that has met the requirements above, the total obligation amount
will include the per-unit or prorated estimates of soft costs, developer fee and
selling costs based on the cost assumptions in Attachment A.
iv)
Developer must report fund obligations on a monthly basis or when requests for
reimbursements are made, whichever occurs sooner.
c) If Developer does not meet the expenditure or obligation dates, Developer must
submit to Chandler, a written plan specifying the actions that will be taken to bring
the Project into compliance, including anticipated obligation and expenditure dates.
Chandler will make the final decision as to what action to take, including, but not
limited to, granting an extension of time for completion of the Project, cancelling this
Agreement and/or recapturing some or all of the HOME Funds provided under this
Agreement. In no case may Chandler provide extensions beyond deadlines imposed
by HUD, if any.
4. Affordability Requirements
a) The housing that is acquired with HOME Funds must be single family dwelling-units,
leased to qualifying Low-Income Families who maintain the housing as their principal
residence throughout the fifteen-year Period of Affordability.
b) Recapture provisions will be used to ensure compliance with the Period of
Affordability required by HUD at 24 CFR 92.254.
c) HOME Funds will be secured by a Declaration of Affirmative Land Use Restrictive
Covenants for HOME Fund Proceeds (“Declaration”) (Attachment B), a Promissory
Note (“Note”) (Attachment C) and a Deed of Trust (“DOT”) (Attachment D) securing
the HOME investment and naming Chandler as beneficiary.
d) Developer must enter into a lease with the tenant that complies with 24 CFR 92.253
in all HOME-assisted units.
e) Units assisted under this Agreement must be affordable to low-income renters.
Renter’s monthly rent shall not exceed the maximum HOME rent limits determined
under 24 CFR 92.252. Developer is responsible for housing expenses which may
include principal, interest, property taxes, home insurance, and HOA fees.
f) The income of each tenant must be determined initially in accordance with 24 CFR
92.203.
5. Outreach Activities
a)
Developer will engage in various outreach activities to recruit potential renters,
verify income eligibility, and provide supportive human services during renter’s
tenancy.
b) Developer will follow affirmative marketing guidelines established by the Maricopa
County HOME Consortium whenever marketing projects consisting of five or more
units to ensure outreach to those least likely to apply for project occupancy.
SECTION 3. – METHOD OF PAYMENT
Chandler agrees to reimburse Developer for the acquisition and rehabilitation costs for eligible
properties upon submission of a proper request for payment, including supporting
documentation. The final request for payment must be submitted to Chandler no later than 30
days before September 30, 2025, in order to meet federal grant requirements. Funds spent after
this date will not be reimbursed. Payment will be made using the following procedures:
1. Prior to each close of escrow, the developer will provide to Chandler the estimated
settlement statement, sales contract and copy of home inspection.
2. Each HOME-eligible Property will be acquired using Developer’s resources (cash or
loans) or project proceeds, if any.
3. During the development process Developer will pay for rehabilitation, and other related
and allowable development costs using Developer’s resources.
4. Chandler will pay HOME Funds to Developer for acquisition costs upon receipt of
Developer’s request for reimbursement, the purchase contract, the market
assessment/analysis, the appraisal, the final settlement statement showing the acquisition,
the properly executed Declaration, Promissory Note and Deed of Trust, and any other
documents Chandler deems necessary at the time of closing.
5. Developer will receive payment for its total allowable rehabilitation and development
costs, including the agreed upon developer fee, at the time of the unit is occupied by an
eligible tenant and upon presentation of sufficient supporting documentation including,
but not limited to, rehabilitation invoices and proof of payment, initial and final
underwriting, HOME rental completion report, tenant application, income certification
and all other cross cutting reporting requirements. The Developer must submit non-
federal match contribution to the purchase and rehabilitation of the unit and Certification
of Match on the form in Attachment E.
6. Payments will be made for eligible HOME related expenses actually incurred by
Developer and will not exceed actual cash requirements. In addition, Chandler reserves
the right to liquidate funds available under this Agreement for costs incurred by Chandler
on behalf of Developer.
7. Chandler reserves the right to inspect records and project sites to determine that
reimbursement and compensation requests are reasonable. Chandler also reserves the
right to hold payment until adequate documentation has been provided and reviewed.
8. Project expenses (excluding developer fee) will be paid based on vouchers for actual
allowable, necessary expenses incurred or paid. Requests for payment must be submitted
by Developer on forms specified by Chandler, with adequate and proper documentation
of eligible costs incurred in compliance with 24 CFR 92.206 and necessary for HUD IDIS
disbursement requirements. All such expenses will be in conformance with the approved
Project budget. Budget revision and approval is required prior to payment of any expenses
not conforming to the project budget as indicated in Attachment A. Program Income
must be expended before requesting HOME Funds.
9. Developer may submit a final invoice upon completion of all work under this Agreement.
Final payment will be made after Chandler has determined that all services have been
rendered, files and documentation delivered, and units have been placed in service in full
compliance with HOME regulations.
SECTION 4. – GRANT ADMINISTRATION
In accordance with federal regulations, including 24 CFR part 92, Chandler is responsible for
ensuring the administration of HOME Funds in accordance with all program requirements,
including but not limited to:
1. Inspections - Conducting progress inspections of work completed and review of project
files and information to protect its interests in the Project and will provide information to
Developer regarding any progress inspections or monitoring to assist it in ensuring
compliance. Chandler’s review and approval of the work will relate only to overall
compliance with the general requirements of this Agreement and HOME requirements.
2. Disbursements - Managing all draws of HOME Funds from HUD and payment of valid
and properly documented draw requests from Developer, disbursing funds to Developer,
and clearly and promptly describing any identified deficiencies that prevent a
disbursement or portion of a disbursement from being approved.
3. Reporting to Maricopa County via IDIS in a manner as required by the Maricopa County
Consortium.
4. Providing Developer with reasonable technical assistance regarding requirements for the
Project, including any changes in HOME regulations or program limits that affect the
project, including but not limited to income limits.
5. Monitoring Developer for timely compliance with the HOME requirements through
reports and on-site visits.
6. Environmental Review - Performing the environmental review, decision making, and
action under the National Environmental Policy Act (NEPA) of 1969, 42 U.S.C. 4321, et
seq., and the other provisions of the law that would apply to HUD were HUD to undertake
such projects as Federal projects in accordance with 24 CFR part 58. Chandler assumes
the responsibilities for the Request for Release of Funds, if applicable. The Parties further
agree that the provision of any funds to the project is conditioned on Chandler’s
determination to proceed with, modify, or cancel the project based on the results of any
environmental review.
a) Developer agrees not to commit or incur any expenditure for HOME activities
until this environmental review process has been completed. Should it be
determined that Developer has incurred expenses in violation of the NEPA
requirements, Developer will be responsible for the full costs of expenditures and
repayment of any related reimbursement.
b) Developer agrees to provide all necessary assistance to Chandler in completing
the environmental review process.
7. Providing technical assistance to Developer on a continuing basis.
8. Holding liens on any properties purchased with HOME funds.
SECTION 5. – FINANCIAL RECORDS
1. Developer’s accounting system and financial records must comply with the applicable
requirements and standards of 2 CFR part 200. Such systems shall be subject to
monitoring from time to time by Chandler or HUD.
2. Developer will adhere to applicable audit requirements as described and in accordance
with 2 CFR part 200, including 2 CFR 200.302 “Financial Management” and 2 CFR
200.303 “Internal Controls.” In addition, Developer must provide annual audited
financial statements or required single audit reports as applicable.
3. Developer shall adhere to procurement procedures established pursuant to 2 CFR part
200, Subpart D, which shall ensure that materials and services are obtained in a cost-
effective manner.
SECTION 6. – PROJECT PROCEEDS
All proceeds generated from Developer development activities are project proceeds and subject
to the project proceeds requirements set forth in HOME Program regulations. Project proceeds
must be tracked by Developer. Documentation supporting the amount of project proceeds
received and expended must be submitted on the periodic progress report, if requested by
Chandler. Project proceeds must be expended by Developer to acquire additional properties
under this Agreement or returned to Chandler. Developer must return any remaining project
proceeds to Chandler upon Agreement Expiration and submission of final report.
SECTION 7. – REPAYMENT OF FUNDS
Developer will adhere to the repayment of investment requirements set forth in 24 CFR 92.503.
If, during the Period of Affordability, the unit(s) no longer meet applicable affordability
requirements, all funds must be repaid to Chandler in accordance with 24 CFR 92.503.
SECTION 8. – REPORTS/RECORD RETENTION
1. Project Reports - Reports as required or requested by Chandler must be submitted not less
than quarterly. Such reports include, as appropriate, project setup/completion report,
quarterly progress reports, project proceed reports, MBE/WBE information, Section 3
information, program income reports, match reports, performance reports and other HUD
required reporting data. Progress reports shall include acquisition, rehabilitation, and
tenant eligibility data. Developer will collect and maintain Project beneficiary
information pertaining to household size, income, race, and the presence of female headed
households in order to determine low-income benefit in a cumulative and individual
manner as required by HUD.
2. Access- Chandler and the federal government or their representatives must have access
for purposes of monitoring, auditing, and examining performance, to books, documents
and papers, and the right to examine records. However, nothing herein may be construed
to require access to any privileged or confidential information as set forth in federal or
state law.
3. Administration (Records/Reports and Incorporation by Reference): Developer must
maintain records in accordance with 24 CFR 92.508 for six (6) years after all HOME
requirements have been satisfied, including the Period of Affordability, and will submit
to Chandler upon request, the following records and reports:
a) Records demonstrating that participating citizens served under this Agreement
meet the income and other criteria required by federal law and that no unlawful
discrimination occurs in the solicitation or selection process of lower income
persons or group; and that no conflict of interest exists. Records pertaining to
income eligibility, property standards, affordable rents, lease requirements and
affirmative marketing activities must be kept on a continuing basis throughout the
period of affordability.
b) Project Closeout- Developer’s obligation to Chandler shall not end until all close-
out requirements are completed. Activities during this close-out period shall
include, but are not limited to: making final payments, accounting for use of funds,
provision of all reports and records required by Chandler.
SECTION 9. – DEVELOPER OBLIGATIONS:
1. Comply with the following laws and implementing regulations related to non-
discrimination: The Fair Housing Act (42 U.S.C. 3601-19) and implementing regulations
at 24 CFR part 100 et seq.; Executive Order 11063, as amended by Executive Order
12259 (3 CFR, 1959-1963 Comp., p. 652 and 3 CFR, 1980 Comp., p. 307) (Equal
Opportunity in Housing Programs) and implementing regulations at 24 CFR part 107;
Title VI of the Civil Rights Act of 1964 (42 U.S.C. 2000d-2000d-4) (Nondiscrimination
in Federally Assisted Programs) and implementing regulations at 24 CFR part 1; the Age
Discrimination Act of 1975 (42 U.S.C. 6101-6107) and implementing regulations at 24
CFR part 146; section 504 of the Rehabilitation Act of 1973 (29 U.S.C. 794) and
implementing regulations at 24 CFR part 8; title II of the Americans with Disabilities Act,
42 U.S.C. 12101 et seq.; 24 CFR part 8; Executive Order 11246, as amended by Executive
Orders 11375, 11478, 12086, and 12107 (3 CFR, 1964-1965 Comp., p. 339; 3 CFR, 1966-
1970 Comp., p. 684; 3 CFR, 1966-1970 Comp., p. 803; 3 CFR, 1978 Comp., p. 230; and
3 CFR, 1978 Comp., p. 264, respectively) (Equal Employment Opportunity Programs)
and implementing regulations at 41 CFR chapter 60; Executive Order 11625, as amended
by Executive Order 12007 (3 CFR, 1971-1975 Comp., p. 616 and 3 CFR, 1977 Comp.,
p. 139) (Minority Business Enterprises); Executive Order 12432 (3 CFR, 1983 Comp., p.
198) (Minority Business Enterprise Development); and Executive Order 12138, as
amended by Executive Order 12608 (3 C.F.R., 1977 Comp., p. 393 and 3 C.F.R., 1987
Comp., p. 245) (Women's Business Enterprise); E.O. 13166 and HUD’s final “Guidance
to Federal Financial Assistance Recipients Regarding Title VI Prohibition Against
National Origin Discrimination Affecting Limited English Proficient (LEP) Persons.”
2. Make all determinations of eligibility for housing that is assisted with HOME Funds in
accordance with the HOME eligibility requirements and without regard to actual or
perceived sexual orientation, gender identity, or marital status.
3. Comply with drug-free workplace requirements in Subpart B of 2 CFR 2429, which
adopts the government-wide implementation (2 CFR part 182) of sections 5152-5158 of
the Drug-Free Workplace Act of 1988 (Pub. L. 100-690, Title V, Subtitle D; 41 U.S.C.
701-707).
4. Adopt and implement an affirmative marketing and minority outreach procedure that
complies with 24 CFR 92.351.
5. Abide by the Uniform Relocation Assistance and Real Property Acquisition Policies Act
of 1970, 42 U.S.C. 4601, et seq., and the implementing regulations at 49 CFR part 24 as
they apply to this HOME Program. See 24 CFR 92.353.
6. Abide by the Davis-Bacon Act, 40 U.S.C. 276a, et seq., for projects that include 12 or
more HOME-assisted units.
7. Abide by the Contract Work Hours and Safety Standards Act, 40 U.S.C. 3701, et seq.
8. Comply with the prohibitions against the use of lead-based paint pursuant to the Lead
Based Paint Poisoning Prevention Act (42 U.S.C. 4821-4846), the Residential Lead-
Based Paint Hazard Reduction Act of 1992 (42 U.S.C. 4851-4856) and the implementing
regulations set forth at 24 CFR 35.
9. Comply with HOME conflict of interest provisions at 2 CFR 200.317, 2 CFR 200.318
and 24 CFR 92.356, which include, but are not limited to, the following:
a) Developer will maintain a written code or standards or conduct that governs the
performance of its officers, employees or agents engaged in the award and
administration of contracts supported by federal funds.
b) No employee, officer, or agent of Developer will participate in the selection, or in
the award, or administration of, a contact supported by federal funds if a conflict
of interest, real or apparent would be involved. Such a conflict would arise when
the employee, officer, or agent, any member of his or her immediate family, his
or her partner, or an organization which employs or is about to employ any of the
parties indicated herein, has a financial or other interest in or a tangible personal
benefit from a firm considered for a contract.
c) No covered persons who exercise or who have exercised any functions or
responsibilities with respect to HOME-assisted activities, or who are in a position
to participate in a decision-making process or gain inside information with regard
to such activities, may obtain a financial interest in any contract, subcontract, or
agreement with respect to the HOME-assisted activity, or with respect to the
proceeds from the HOME-assisted activity, either for themselves or those with
whom they have business or immediate family ties, during their tenure or for a
period of one (1) year thereafter. For purposes of this paragraph, a “covered
person” includes any person who is an employee, agent, consultant, officer, or
elected or appointed official of Chandler, Developer, or any designated public
agency.
10. Comply with the provisions of the Violence Against Women Act (“VAWA”), as amended
(42 U.S.C. 13925 and 42 U.S.C. 14043e et seq.), HUD’s implementing regulations at 24
CFR part 5, subpart L and 24 CFR 92-359. Developer will be required to certify
compliance. In addition to any other provisions of VAWA that may apply to Developer’s
operations, Developer is required to report to Chandler the existence of any applicable
laws or policies that impose penalties based on requests for law enforcement or
emergency assistance or based on criminal activity that occurred at a covered property.
11. Comply with Section 106 of the Victims of Trafficking and Violence Protection Act of
2000 and not:
a) engage in severe forms of trafficking in persons;
b) procure a commercial sex act; or
c) use forced labor in the performance of the Contract.
12. Environmental Laws:
a) Perform any Developer responsibilities pursuant to NEPA, Environmental
Review Procedures for Entities Assuming HUD Environmental Review
Procedures pursuant to 24 CFR part 58, Notice CPD-01-11 HOME Environmental
Review Requirements and all conditions required in the process of the
environmental assessment.
b) Comply with applicable standards, orders or regulations issued pursuant to the
Clean Air Act (42 U.S.C. 7401-7671q) and the Federal Water Pollution Control
Act, as amended (33 U.S.C. 1251-1387). Violations must be reported to the
Chandler, HUD, and the San Francisco Regional Office of the Environmental
Protection Agency (EPA).
c) In accordance with the requirements of the Flood Disaster Protection Act of 1973,
42 U.S.C. 4001 et seq., assure that for activities located in an area identified by
the Federal Emergency Management Agency 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. In the case of housing, the homeowner must obtain and maintain flood
insurance as a condition of funding, or funds may not be utilized.
d) Observe all mandatory standards and policies relating to energy efficiency that
are contained in the State energy conservation plan issued in compliance with the
Energy Policy and Conservation Act (42 U.S.C. 6201 et seq.).
e) Should archaeological remains be encountered during ground disturbing
activities, cease work in the area of discovery and notify Chandler immediately.
Work in the area of discovery will not resume until the significance of the
discovery has been assessed and the environmental clearance updated.
f) Procurement of Recovered Materials:
i. In accordance with Section 6002 of the Solid Waste Disposal Act, as
amended by the Resource Conservation and Recovery Act, procure items
designated in guidelines of the EPA at 40 CFR part 247 that contain the
highest percentage of recovered materials practicable, consistent with
maintaining a satisfactory level of competition. Developer must procure
items designated in the EPA guidelines that contain the highest percentage
of recovered materials practicable unless Developer determines that such
items: (1) are not reasonably available in a reasonable time period; (2) fail
to meet reasonable performance standards, which will be determined the
basis of the guidelines of the National Institute of Standards and
Technology, if applicable to the item, or (3) are only available at an
unreasonable price.
ii. Paragraph (i) of this clause will apply to items purchased under this contract
where: (1) Developer purchases in excess of $10,000 of the item under this
contract; or (2) during the preceding Federal fiscal year, Developer: (i)
purchased any amount of the items for use under a contract that was funded
with Federal appropriations and was with a Federal agency or a State
agency or agency of a political subdivision of a State; and (ii) purchased a
total of in excess of $10,000 of the item both under and outside that
contract.
g) Comply with the Historic Preservation requirements set forth in the National
Historic Preservation Act of 1966, 54 U.S.C. 300101 et seq., as amended and the
procedures set forth in 36 CFR part 800, Advisory Council on Historic
Preservation Procedures for Protection of Historic Properties, insofar as they
apply to the performance of this Agreement. In general, this requires concurrence
from the State Historic Preservation Office for all rehabilitation and demolition of
historic properties that are fifty (50) years old or older or that is listed or eligible
for the National Register of Historic places or included on any state or local
historic property inventory or any archaeological findings.
13. Ensure that any construction contractor posts a construction labor and material payment
bond and performance bond for the total amount of the rehabilitation contract that will
ensure payment of all rehabilitation costs of the improvements.
14. Abide by the requirements of 41 CFR 60-1.4(b) which are incorporated herein by
reference. These regulations prohibit discrimination against all individuals based on their
race, color, religion, sex, sexual orientation, gender identity, national origin, or for
inquiring about, discussing or disclosing compensation. Moreover, these regulations
require that covered prime contractors and subcontractors take affirmative action to
employ and advance in employment individuals without regard to race, color, religion,
sex, sexual orientation, gender identity or national origin. Developer agrees to be bound
to these equal opportunity requirements with respect to its own employment practices and
will include the provisions of 41 CFR 60-1.4(b) in any contract or subcontract unless
exempted by rules, regulations, or orders of the Secretary of Labor issued pursuant to
section 204 of Executive Order 11246 of September 24, 1965, so that such provisions
will be binding upon each contractor, subcontractor or vendor.
15. Contracting With Small and Minority Businesses, Women's Business Enterprises, And
Labor Surplus Area Firms:
Pursuant to national and Chandler policy to award a fair share of contracts to small and
minority businesses, women's business enterprises, and labor surplus area firms, take
affirmative steps to assure that small and minority businesses, women’s business
enterprises, and labor surplus area firms are utilized when possible as sources of supplies,
equipment, construction, and services. Such affirmative steps include the following:
a) Placing qualified small and minority businesses and women's business enterprises
on solicitation lists;
b) Assuring that small and minority businesses, and women's business enterprises
are solicited whenever they are potential sources;
c) Dividing total requirements, when economically feasible, into smaller tasks or
quantities to permit maximum participation by small and minority businesses, and
women's business enterprises;
d) Establishing delivery schedules, where the requirement permits, which encourage
participation by small and minority businesses, and women's business enterprises;
e) Using the services and assistance, as appropriate, of such organizations as the
Small Business Administration and the Minority Business Development Agency
of the Department of Commerce; and
f) Developer will submit a signed affidavit attesting to its efforts to ensure
subcontracts are awarded to small business firms, minority firms, women’s
business enterprises, and labor surplus area firms and will provide copies of
pertinent documents showing these efforts.
g) Include affirmative steps, a) through f) in any subcontract.
16. Give all notices and comply with all federal, state and local laws, ordinances, rules,
building codes, regulations and lawful orders of any public authority bearing on the
performance of activities pursuant to this Agreement. If Developer observes that any of
the Agreement documents conflict with any laws, statutes, building codes or regulations,
it shall promptly notify Chandler, in writing, and any necessary changes will be
accomplished by appropriate written modification. Developer will bear all costs
associated with any failure to perform work in accordance with applicable laws,
ordinances, rules, building codes or regulations.
17. Acknowledge the contribution of the HOME Program in all published literature,
brochures, programs, flyers, etc., during the term of the Agreement.
18. “Section 3” Compliance. Developer must direct economic and employment opportunities
to low- and very low-income persons, particularly those who are recipients of government
assistance for housing in accordance with 24 CFR pt. 75. Developer must report its
compliance efforts on forms approved by Chandler and found within its Section 3 Policies
and Procedures, which includes Section 3 Worker Certifications and Section 3 Business
Concern Certifications. Chandler’s Section 3 Policies and Procedures, including
approved forms, can be found at https://www.chandleraz.gov/sites/default/files/City-of-
Chandler-2023-Manuel-Section-3-Handbook-with-Forms-May-2023.pdf. Developer
must also certify that it has prioritized opportunities according to order provided in
subsections (a) and (b) below and report on its qualitative efforts under subsection (c)
below. DEVELOPER MUST INCLUDE SECTION 3 REQUIREMENTS IN ALL
SUBCONTRACTS AND REQUIRE ALL SUBCONTRACTORS TO REPORT
SECTION 3 WORKERS, SECTION 3 HOURS WORKED, CERTIFY IT HAS
PRIORITIZED OPPORTUNITIES ACCORDING TO THE ORDER PROVIDED IN
SUBSECTIONS (A) AND (B) BELOW, AND REPORT ON ITS QUALITATIVE
EFFORTS UNDER SUBSECTION (C) BELOW. Section 3 does not apply to material
supply contracts.
a) Employment and Training of Section 3 workers. Developer and Subcontractor(s)
will use their best efforts to provide employment and training opportunities
generated by the public housing financial assistance to Section 3 workers in the
following order of priority:
i.
to residents of the public housing projects for which the public housing
financial assistance is expended;
ii. to residents of other public housing projects managed by the public housing
authority that is providing the assistance or for residents of Section 8-assisted
housing managed by the public housing authority;
iii. to participants in YouthBuild programs; and
iv. to low- and very low-income persons residing within the metropolitan area
(or nonmetropolitan county) in which the assistance is expended.
b) Subcontracts with Section 3 Business Concerns. Developer and Subcontractor(s)
will use their best efforts to award subcontracts to business concerns that provide
economic opportunities to Section 3 workers in the following order of priority:
i.
to Section 3 business concerns that provide economic opportunities for
residents of the public housing projects for which the assistance is provided;
ii. to Section 3 business concerns that provide economic opportunities for
residents of other public housing projects or Section-8 assisted housing
managed by the public housing authority that is providing the assistance;
iii. to YouthBuild programs; and
iv. to Section 3 business concerns that provide economic opportunities to
Section 3 workers residing within the metropolitan area (or nonmetropolitan
county) in which the assistance is provided.
c) Section 3 Qualitative Efforts. Developer and Subcontractor(s) will engage in the
outreach efforts to generate job applicants who are Section 3 workers, which efforts
may include:
i.
providing training or apprenticeship opportunities;
ii.
providing technical assistance to help Section 3 workers compete for jobs
(e.g., resume assistance, coaching);
iii. providing or connecting Section 3 workers with assistance in seeking
employment including: drafting resumes, preparing for interviews, and
finding job opportunities connecting residents to job placement services;
iv. holding one or more job fairs;
v.
providing or referring Section 3 workers to services supporting work
readiness and retention (e.g., work readiness activities, interview clothing,
test fees, transportation, childcare);
vi. providing assistance to apply for attend community college, a four-year
educational institution, or vocational or technical training;
vii. assisting Section 3 workers to obtain financial literacy training or coaching;
viii. engaging in outreach efforts to identify and secure bids from Section 3
business concerns;
ix. providing technical assistance to help Section 3 business concerns understand
and bid on contracts;
x. dividing contracts into smaller jobs to facilitate participation by Section 3
business concerns;
xi. providing bonding assistance, guaranties, or other efforts to support viable
bids from Section 3 business concerns;
xii. promoting use of business registries designed to create opportunities for
disadvantaged and small businesses; and
xiii. outreach, engagement, or referrals with the state one-stop system as defined
in Section 121(e)(2) of the Workforce Innovation and Opportunity Act.
d) Developer agrees to take appropriate action, as provided in an applicable provision
of the subcontract or in this Section 3 clause, upon a finding that a subcontractor is
in violation of the Section 3 Regulations. Developer will not subcontract with any
subcontractor where Developer has notice or knowledge that the subcontractor has
been found in violation of the Section 3 Regulations.
e) Noncompliance with HUD’s regulations in 24 CFR 75 may result in sanctions,
termination of this contract for default, and debarment or suspension from future
HUD-assisted contracts.
19. Build America, Buy America (BABA). Developer must comply and must cause its
agents, contractors and subcontractors to comply with the requirements of the Build
America, Buy America (BABA) Act, 41 USC 8301 note, and all applicable rules and
notices, as may be amended, if applicable to the Grantee’s infrastructure project. Pursuant
to HUD’s Notice, “Public Interest Phased Implementation Waiver for FY 2022 and 2023
of Build America, Buy America Provisions as Applied to Recipients of HUD Federal
Financial Assistance” (88 FR 17001), any funds obligated by HUD on or after the
applicable listed effective dates, are subject to BABA requirements, unless excepted by a
waiver.
SECTION 10. – DEVELOPER CERTIFICATIONS:
1. Developer possesses legal authority to execute this Agreement.
2. Developer’s governing body has duly adopted or passed as an official act, a resolution,
motion, or similar action authorizing the person identified as the official representative of
Developer to execute this Agreement and to comply with the terms of this Agreement.
3. Developer is familiar with and will comply with 24 CFR part 92 governing activities
funded with HOME dollars.
4. In accordance with the OMB guidelines at 2 CFR 180 that implement Executive Orders
12549 (3 CFR part 1986 Comp., p. 189) and 12689 (3 CFR part 1989 Comp., p. 235),
“Debarment and Suspension,” neither Developer, nor its principals is presently debarred,
suspended proposed for debarment, declared ineligible, or voluntarily excluded from
participation in the transaction evidenced by this Agreement by any federal department,
and agrees to comply with the requirements of 2 CFR 180 and 2 CFR 2424.
5. Byrd Anti-Lobbying Certification (31 U.S.C. 1352)
a) No Federal appropriated funds have been paid or will be paid, by or on behalf of
Developer, 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 contract, 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 and Federal
contract, grant, loan, or cooperative agreement.
b) Each contractor tier must certify to the tier above that it will not and has not used
Federal appropriated funds to pay any person or organization or influencing or
attempting to influence an officer or employee of any agency, a member of
Congress, officer or employee of Congress, or an employee of a member of
Congress in connection with obtaining any Federal contract, grant or any other
award covered by 31 U.S.C. 1352.
c) 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 in connection with this Federal contract, grant,
loan, or cooperative agreement, Developer must complete and submit Standard
Form LLL, "Disclosure Form to Report Lobbying", in accordance with its
instructions. Such disclosures are forwarded from tier to tier up to the non-Federal
award.
6. Developer will comply with Executive Order 13279 (Equal Protection of the Laws for
Faith-Based and Community Organizations), 67 FR 77141, 3 CFR, 2002 Comp., p. 258
and 24 CFR 5.109. Developer agrees that funds provided under this Agreement will not
be utilized for inherently religious activities prohibited by 24 CFR 570.200(j), such as
worship, religious instruction, or proselytization.
7. Nonsegregated Facilities:
a) By execution of this Contract or subcontract, or the consummation of this material
supply agreement, as appropriate, Developer, certifies that it does not and will not
maintain or provide for employees any segregated facilities at any of its
establishments, and that it does not and will not permit employees to perform their
services at any location under its control where segregated facilities are
maintained. Developer agrees that a breach of this certification is a violation of
the Equal Opportunity clause in this contract.
b) As used in this certification, the term segregated facilities means any waiting
rooms, work areas, restrooms and washrooms, restaurants and other eating areas,
timeclocks, locker rooms and other storage or dressing areas, parking lots,
drinking fountains, recreation or entertainment areas, transportation, and housing
facilities provided for employees which are segregated by explicit directive or are
in fact segregated on the basis of race, creed, color, or national origin, because of
habit, local custom, or otherwise.
c) Developer further agrees that (except where it has obtained identical certifications
from proposed subcontractors for specific time periods) identical certifications
will be obtained from proposed subcontractors prior to the award of
subcontractors exceeding $10,000 which are not exempt from the provisions of
the Equal Opportunity clause; that it will retain such certifications in its files; and
that it will forward the following notice to such proposed subcontractors (except
where the proposed subcontractors have submitted identical certifications for
specific time periods):
Notice to Prospective Subcontractors of Requirement for Certifications of
Nonsegregated Facilities. A Certification of Nonsegregated Facilities must be
submitted prior to the award of a subcontract exceeding $10,000 which is not
exempt from the provision of the Equal Opportunity clause. The certification may
be submitted either for each subcontract or for all subcontracts during a period
(i.e., quarterly, semiannually, or annually).
d) Note: The penalty for making false statements in offers is prescribed in Title 18
U.S.C. 1001.
8. Developer acknowledges that A.R.S. § 41-4401 prohibits Chandler from awarding a
contract to any contractor who fails, or whose subcontractors fail, to comply with A.R.S.
§ 23-214(A). Therefore, Developer agrees it and each subcontractor it uses warrants their
compliance with all federal immigration laws and regulations that relate to their
employees and their compliance with A.R.S. § 23-214(A). A breach of this warranty will
be deemed a material breach of the Agreement and may be subject to penalties up to and
including termination of the Agreement. Chandler retains the legal right to inspect the
papers of any Developer’s or Subcontractor’s employee who provides services under this
Agreement to ensure that Developer and Subcontractor comply with the warranty under
this provision. Developer will execute the State Contractor Employment Verification
Form in Attachment F.
9. No Forced Uyghur Labor: By entering into this Agreement, Developer certifies that
Developer is not currently engaged in, and agrees for the duration of this Agreement, not
to engage in the forced labor of ethnic Uyghurs in the People’s Republic of China,
including utilizing any goods or services produced by the forced labor of ethnic Uyghurs
and/or utilizing any contractors, subcontractors, or suppliers that use the forced labor or
any goods or services produced by the forced labor of ethnic Uyghurs, as defined by
A.R.S. § 35-394.
10. No Israel Boycott: By entering this Agreement, Developer certifies that Developer is not
currently engaged in, and agrees for the duration of the Agreement, not to engage in a
boycott of Israel as defined by state statute.
SECTION 11. – OTHER APPLICABLE REQUIREMENTS:
1. Developer may not charge servicing, origination or other fees for the costs of
administering the HOME program, except that a nominal application fee may be charged
to discourage frivolous applications in an amount that is not an undue impediment to a
low-income family’s participation.
2. The Immigration and Naturalization Reform Act of 1986, specifically as it relates to
employment and client services, and such other provisions as may be applicable.
3. The Copeland "Anti Kick Back" Act (18 U.S.C. 874, 40 U.S.C. 3145) as supplemented
by 29 CFR, part 3.
4. The Architectural Barriers Act of 1968 (42 U.S.C. 4151), the Americans with Disabilities
Act (42 U.S.C. 12131; 47 U.S.C. 155, 201, 218, and 225), and the Uniform Federal
Accessibility Standards FED STD 795 (April, 1988) subject to the exceptions contained
in 41 CFR, subpart 101 19.604.
5. Contractor Employee Whistleblower Rights and Requirement to Inform Employees of
Whistleblower Rights (Nov. 2023):
a. This Agreement and employees working on it 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 and FAR 3.900 through 3.905.
b. Developer must inform its 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 FAR 3.900 through 3.905.
c. Developer will insert the substance of this clause, including this paragraph c., in all
subcontracts over the simplified acquisition threshold.
6. Preference for Domestic Procurement. Pursuant to 2 CFR 200.322, to the greatest extent
practicable, Developer will purchase, acquire, or use goods, products or materials
produced in the United States (including but not limited to iron, aluminum, steel, cement
and other manufactured products).
7. Indebtedness to Internal Revenue Service or Other Public Entity:
a. Any judgment, lien, levy, or outstanding amount owed to the Internal Revenue
Service, State, County, City, or other public entity by Developer constitutes an event
of default or breach of this Contract, unless previously approved by the City in
writing, and will constitute sufficient reason for termination of this Contract by the
City.
b. Prior to entering into and during the time period covered by this Contract, Developer
must disclose any information related to the preceding paragraph. This disclosure
requirement also includes the immediate reporting of breaches in payback
arrangements or breaches in other agreements related to the above. Failure to comply
with any disclosure provision in this Section constitutes a default.
8. Prohibition on Certain Telecommunications Equipment: Developer is prohibited from
obligating or expending funds to (i) procure or obtain; (ii) extend or renew a contract to
procure or obtain; or (iii) enter into a contract to procure or obtain equipment, services or
systems that use covered telecommunications equipment or services as a substantial or
essential component of any system, or as critical technology as part of any system.
Covered telecommunications equipment is telecommunications equipment produced by
Huawei Technologies Company or ZTE Corporation (or any subsidiary or affiliate of
such entities) and such other entities described in 2 CFR 200.216.
9. Federal Funding Accountability and Transparency Act (FFATA): Developer will comply
with the requirements of 2 CFR part 25 Universal Identifier and System for Award
Management (SAM). Developer must have a Unique Entity Identifier in SAM in
accordance with 2 CFR part 25, including appendix A. Developer will also comply with
the provisions of FFATA which includes requirements on executive compensation, and
2 CFR part 170 Reporting Subaward and Executive Compensation Information.
SECTION 12. – INDEMNIFICATION:
Developer agrees to indemnify, defend, save and hold harmless Chandler and its officers,
officials, agents and employees (collectively “Indemnitee”) from any and all claims, actions,
liabilities, damages, losses or expenses (including court costs, attorneys’ fees and costs of claim
processing, investigation and litigation) (collectively “Claims”) caused or alleged to be caused,
in whole or in part, by the wrongful, negligent or willful acts, or errors or omissions of Developer
or any of its owners, officers, directors, agents, employees, or subcontractors in connection with
this Agreement. This indemnity includes any claim or amount arising out of or recovered under
workers’ compensation law or on account of the failure of Developer to conform to any federal,
state or local law, statute, ordinance, rule, regulation or court decree. Developer must indemnify
Indemnitee from and against any and all Claims, except those arising solely from Indemnitee’s
own negligent or willful acts or omissions. Developer is responsible for primary loss
investigation, defense and judgment costs where this indemnification applies. In consideration of
the award of this Agreement, Developer agrees to waive all rights of subrogation against
Indemnitee for losses arising from or related to this Agreement. The obligations of Developer
under this provision survive the termination or expiration of this Agreement.
6. ACTIVITY COMPLETION:
1. Upon the final payment to Developer by Chandler, the HOME activity shall be considered
complete. Upon completion of the scope of work, all unspent HOME resources shall be
returned to Chandler for reallocation. Developer shall continue to be responsible for
compliance activities for the Period of Affordability as required by the HOME Program.
2. Developer shall provide an annual report to Chandler that details the status of each
Property, including owner occupancy, any refinancing or lien activity, and if a resale has
occurred evidence that the subsequent purchaser meets HOME Program requirements.
SECTION 13 - NOTICE:
All written communication between Developer and Chandler shall be sent to the below Contact
Persons:
DEVELOPER: Affordable Rental Movement of Save the Family Foundation of Arizona
Name/Title: Allisia Fiorini, Chief Housing Development Officer
Address:
125 E. University Drive, Mesa, AZ 85201
Phone:
480-466-7664
Email:
allisia.fiorini@savethefamily.org
CHANDLER: City of Chandler
Name/Title:
Karin Bishop, Community Development Senior Program Manager
Address:
235 S. Arizona Avenue, Chandler, AZ 85225
Phone:
480-782-4353
Email:
karin.bishop@chandleraz.gov
SECTION 14. – INSURANCE REQUIREMENTS:
1. Developer must procure insurance under the terms and conditions and for the amounts
of coverage set forth against claims that may arise from or relate to performance of the
work under this Agreement by Developer and its agents, representatives, employees, and
subcontractor. Developer and any subcontractors must maintain this insurance until all
of their obligations have been discharged, including any warranty periods under this
Agreement. These insurance requirements are minimum requirements for this Agreement
and in no way limit the indemnity covenants contained in this Agreement. Chandler in no
way warrants that the minimum limits stated are sufficient to protect Developer from
liabilities that might arise out of the performance of the work under this Agreement by
Developer, Developer’s agents, representatives, employees, or subcontractors. Developer
is free to purchase such additional insurance as may be determined necessary.
General.
2. At the same time as execution of this Agreement, Developer will furnish Chandler a
certificate of insurance on a standard insurance industry ACORD form. The ACORD
form must be issued by an insurance company authorized to transact business in the State
of Arizona possessing a current A.M. Best, Inc. rating of A-7, or better and legally
authorized to do business in the State of Arizona with policies and forms satisfactory to
Chandler. Provided, however, the A.M. Best rating requirement shall not be deemed to
apply to required Workers’ Compensation coverage.
3. Developer and any of its subcontractors shall procure and maintain, until all of their
obligations have been discharged, including any warranty periods under this Agreement
are satisfied, the insurances set forth below.
4. The insurance requirements set forth below are minimum requirements for this
Agreement and in no way limit the indemnity covenants contained in this Agreement.
5. Failure to demand evidence of full compliance with the insurance requirements in this
Agreement or failure to identify any insurance deficiency will not relieve Developer from,
nor will it be considered a waiver of its obligation to maintain the required insurance at
all times during the performance of this Agreement.
6. Use of Subcontractors: If any work is subcontracted in any way, Developer must execute
a written contract with each subcontractor containing the same Indemnification Clause
and Insurance Requirements as Chandler requires of Developer in this Agreement.
Developer is responsible for executing the Agreement with the subcontractors and
obtaining Certificates of Insurance and verifying the insurance requirements.
7. Minimum Scope and Limits of Insurance. Developer shall provide coverage with limits
of liability not less than those stated below.
Commercial General Liability-Occurrence Form.
Developer must maintain “occurrence” form Commercial General Liability insurance
with a limit of not less than $2,000,000 for each occurrence, $4,000,000 aggregate. Said
insurance must also include coverage for products and completed operations, independent
subcontractors, personal injury and advertising injury. If any Excess insurance is utilized
to fulfill the requirements of this paragraph, the Excess insurance must be “follow form”
equal or broader in coverage scope than underlying insurance.
Automobile Liability.
Developer must maintain Business/Automobile Liability insurance with a limit of
$1,000,000 each accident on all owned, hired, and non-owned vehicles assigned to or
used in the performance of Developer’s work or services under this Agreement. If any
Excess or Umbrella insurance is utilized to fulfill the requirements of this paragraph, the
Excess or Umbrella insurance must be “follow form” equal or broader in coverage scope
than underlying insurance.
Workers Compensation and Employers Liability Insurance.
Developer must maintain Workers Compensation insurance to cover obligations imposed
by federal and state statutes having jurisdiction of its employees engaged in the
performance of work or services under this Agreement and must also maintain
Employers’ Liability insurance of not less than $1,000,000 for each accident and
$1,000,000 disease for each employee.
Builders’ Risk Insurance (During rehabilitation).
Unless otherwise waived by Chandler, Developer will provide, or cause its Contractor to
provide, Builders Risk insurance for the construction of the Project in an amount equal to
the full Project construction cost.
a.
Coverage shall be written on a special causes of loss (all risk) form, replacement
cost value basis and shall include coverage for soft costs, flood and earth movement.
b.
If the policy is purchased by the general contractor or construction manager at
risk, the Borrower must also be a named insured under the policy.
c.
The policy must provide coverage from the time any covered Property becomes
the responsibility of the Borrower, and continue without interruption during construction,
renovation, or installation, including any time during which the covered Property is being
transported to the construction/installation site, or awaiting installation, whether on or off
site.
d.
Policy shall contain a waiver of subrogation in favor of Chandler.
e.
Developer is responsible for the payment of all policy deductibles.
All Risk Property Insurance (Upon completion of rehabilitation).
Developer will maintain or cause the Property Manager to maintain in effect property
insurance for all improvements, sufficient to satisfy the requirements of all lenders, and
including buildings, unattached structures, fencing, swimming pools, and other
equipment. Policy shall include 100% replacement cost coverage.
Other Insurance.
Other insurance may be required depending on the condition of the properties, scope of
work and results of the environmental assessments. Additional coverages may include
Professional Liability (Errors and Omissions), Contractor’s Pollution Liability, Pollution
Legal Liability, Pollution Legal Liability for Disposal Site Operator
8. Additional Policy Provisions Required.
Self-Insured Retentions or Deductibles. Any self-insured retentions and deductibles must
be declared and approved by Chandler. If not approved, Chandler may require that the
insurer reduce or eliminate any deductible or self-insured retentions with respect to
Chandler, its officers, officials, agents, employees, and volunteers.
A. Developer’s insurance must contain broad form contractual liability coverage.
B. Developer’s insurance coverage must be primary insurance with respect to
Chandler, its officers, officials, agents, and employees. Any insurance or self-
insurance maintained by Chandler, its officers, officials, agents, and employees
shall be in excess of the coverage provided by Developer and must not contribute
to it.
C. Developer’s insurance must apply separately to each insured against whom a
claim is made or suit is brought, except with respect to the limits of the insurer’s
liability.
D. Coverage provided by Developer must not be limited to the liability assumed
under the indemnification provisions of this Agreement.
E. The policies must contain a severability of interest clause and waiver of
subrogation against Chandler, its officers, officials, agents, and employees, for
losses arising from work performed by Developer for Chandler.
F. Developer, its successors and or assigns, are required to maintain Commercial
General Liability insurance as specified in this Agreement for a minimum period
of three (3) years following completion and acceptance of the work. Developer
must submit a Certificate of Insurance evidencing Commercial General Liability
insurance during this three (3) year period containing all the Agreement insurance
requirements, including naming the City of Chandler, its agents, representatives,
officers, directors, officials and employees as Additional Insured as required.
G. If a Certificate of Insurance is submitted as verification of coverage, Chandler
will reasonably rely upon the Certificate of Insurance as evidence of coverage,
but this acceptance and reliance will not waive or alter in any way the insurance
requirements or obligations of this Agreement.
9. Insurance Cancellation During Term of Agreement.
A. If any of the required policies expire during the life of this Agreement, Developer
must forward renewal or replacement Certificates to Chandler within ten (10) days after
the renewal date containing all the required insurance provisions.
B. Each insurance policy required by the insurance provisions of this Agreement shall
provide the required coverage and shall not be suspended, voided, or canceled except
after thirty (30) days prior written notice has been given to Chandler, except when
cancellation is for non-payment of premium, then ten (10) days prior notice may be given.
Such notice shall be sent directly to:
City of Chandler
Neighborhood Resources - Community Development
Mail Stop 600
P.O. Box 4008
Chandler, Arizona 85244-4008
If any insurance company refuses to provide the required notice, Developer or its
insurance broker shall notify Chandler of any cancellation, suspension, non-renewal of
any insurance within seven (7) days of receipt of insurers’ notification to that effect.
10. City as Additional Insured. The policies are to contain, or be endorsed to contain, the
following provisions:
A. The Commercial General Liability and Automobile Liability policies are to contain,
or be endorsed to contain, the following provisions: the City of Chandler, its officers,
officials, agents, and employees are additional insureds with respect to liability arising
out of activities performed by, or on behalf of, Developer including the City’s general
supervision of Developer; Products and Completed operations of Developer; and
automobiles owned, leased, hired, or borrowed by Developer.
B. Chandler, its officers, officials, agents, and employees must be additional insureds to
the full limits of liability purchased by Developer even if those limits of liability are in
excess of those required by this Agreement.
SECTION 15. – REVERSION OF ASSETS:
1. Upon Agreement Expiration, Developer will transfer all remaining funds or other assets
relating to the HOME Investment Partnerships Program to Chandler. A written letter of
intent to terminate must be submitted to Chandler a minimum of thirty (30) days prior to
termination of the Agreement. All unencumbered funds as of the date specified in the
“Agreement Term” paragraph (on page one) of this Agreement shall be returned to
Chandler.
2. The use and disposition of real property and equipment under this Agreement shall be in
compliance with the requirements of 24 CFR 92.504(c)(2)(vii), which include but are not
limited to the following:
a) Developer must transfer to Chandler any HOME Funds on hand and any accounts
receivable attributable to the use of funds under this Agreement at the time of
expiration, cancellation, or termination, unless otherwise specified.
b) Real property under Developer’s control that was acquired or improved, in whole
or in part, with funds under this Agreement must be used in accordance with the
HOME application for the period consistent with the continued affordability
requirements.
3. If Developer declares bankruptcy or ceases operation for any reason, ownership of all
assets, including real property and equipment that were acquired, in whole or in part, with
HOME Funds under this Agreement immediately revert back to Chandler.
SECTION 16. – DEFAULTS AND REMEDIES:
1. The existence or occurrence of any one or more of the following events will constitute an
event of default (individually, “Event of Default”) under this Agreement.
a. Developer’s material failure, after the expiration of any applicable notice and
cure period, to comply with any term of this Agreement, or with any of the rules,
regulations, or provisions referred to herein.
b. Borrower’s failure to make available for rental all of the Units at the Property
solely for the purpose of providing affordable housing pursuant to this
Agreement during the required periods. Developer’s failure to operate the
properties as affordable housing in accordance with HOME regulations for the
duration of the Period of Affordability.
c. Developer’s failure to, within five (5) days of knowledge of same, remove, insure
or bond off any lien, encumbrance or other matter affecting the title to the Property
that has not been approved by Chandler in writing.
d. The failure of the Property to pass the inspection for compliance as required by
this Agreement, the failure of Developer to submit any report(s) due on or before
the due date as required by this Agreement, or disapproval of the report(s)
pursuant to the terms of this Agreement.
e. Developer transfers any right or obligation under this Agreement without
Chandler’s prior written consent.
2. In the event of a default Chandler may:
a. Declare Developer ineligible for any further participation in City of
Chandler agreements, in addition to other remedies as provided by law.
b. Withhold HOME Funds until such time as the Developer is found to have
cured the Event of Default, returned to compliance with any rule or
regulation or is otherwise adjudicated to be in compliance.
c. Demand repayment of the entire principal balance of the applicable Note
and any other amounts owed to Chandler under this Agreement together
with interest at the rate of 10% per annum from the date the payment is due
until paid and, upon Chandler’s notice to Developer of such an Event of
Default, the City will have the right, but not the obligation, to withhold any
disbursement of HOME Funds, enter on the Property, complete the
rehabilitation required by this Agreement, foreclose the applicable Deed(s)
of Trust, take action permitted under this Agreement, exercise all rights and
remedies to enforce the security interest granted to Chandler and enforce all
its other rights and remedies under the Agreement and/or available to it at
law or in equity.
3. If Developer terminates this Agreement or is no longer in operation, Developer agrees to
coordinate the transfer of properties and/or assets subject to this Agreement back to
Chandler or another designated agent.
SECTION 17. – SUSPENSION AND TERMINATION:
1. In accordance with 2 CFR 200, subpart D, Chandler may suspend or terminate this
Agreement if Developer violates any term or condition of this Agreement or if Developer
fails to maintain a good faith effort to carry out the purpose of this Agreement. In the
event of such termination or suspension, all funds awarded to developer pursuant to this
agreement will immediately be deemed revoked and canceled. In the event of termination,
developer is entitled to receive just and equitable compensation for any work
satisfactorily completed prior to the date of termination.
2. Either Party may terminate this contract in whole, or from time to time in part, for the
convenience by providing written notification setting forth the reason for the termination,
the effective date and, in the case of partial termination, the portion to be terminated. If
the Chandler determines that a partial termination will reduce or modify the Agreement
such that it will not accomplish the purposes for which the Agreement was made, then
Chandler may terminate the Agreement in its entirety. Upon receipt of a notice of
termination from Chandler, Developer will: (1) immediately discontinue all services
affected (unless the notice directs otherwise), and (2) deliver to Chandler all information,
reports, papers, and other materials accumulated or generated in performing the contract,
whether completed or in process.
3. If the termination is for the convenience, Chandler will be liable only for payment for
services rendered before the effective date of the termination.
4. If the termination is due to the failure of Developer to fulfill its obligations under the
Agreement (DEFAULT), Chandler may (1) require Developer to deliver to it, in the
manner and to the extent directed by Chandler, any work described in the Notice of
Termination; (2) take over the work and prosecute the same to completion by contract of
otherwise, and Developer will be liable for any additional cost incurred by Chandler; and
(3) withhold any payments to Developer, for the purpose of set-off or partial payment, as
the case may be, of amounts owned by Chandler to Developer. Any dispute will be
decided by the Contracting Officer.
5. This Agreement is subject to termination pursuant to A.R.S. § 38-511.
SECTION 18. – ATTACHMENTS
A
Work Statement
B
Declaration of Affirmative Land Use Restrictive Covenants for HOME Fund
Proceeds
C
HOME Program Secured Promissory Note
D
HOME Program Deed of Trust and Assignment of Rents
E
MATCH Certification
F
State Contractor Employment Verification Form
IN WITNESS WHEREOF, the Parties have executed this Agreement as of the date first written
above.
DEVELOPER:
CITY OF CHANDLER
By: _________________________
By: _________________________
Title: __________________________
Title: ________________________
Date: ___________________________
Date: ________________________
APPROVED AS TO FORM:
_____________________________
City Attorney
ATTEST:
_____________________________
City Clerk
ATTACHMENT A
WORK STATEMENT
Acquisition and/or Rehabilitation of Single-Family Rental Housing
HOME Investment Partnerships Program
• Program Year 2021 and 2022
1. Affordable Rental Movement of Save the Family Foundation of Arizona (A.R.M.), acting in the
capacity of a developer to purchase and rehabilitate one (1) new permanent affordable rental
home in the City of Chandler for PY 2021 and one (1) new permanent affordable rental home
in the City of Chandler for PY 2022. The Parties agree to execute an addendum at the time the
property is identified. An Addendum to this Agreement identifying individual properties by
street address will be executed before funding is made available regarding each property. Funds
will be paid to A.R.M. only after it has met the commitment requirements as set forth in 24
C.F.R. § 92.2 (1) and (2), respectively, and is prepared to commence rehabilitation within twelve
months.
• Funds for rehabilitation are obligated by completing a detailed set of specifications (work write-
up) and completing a detailed rehabilitation cost estimate based upon those specifications. The
cost estimate may include a contingency for construction change orders. The City of Chandler
must inspect each property prior to occupancy and at project completion to ensure compliance
with applicable standards and codes. Each 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. ARM will be responsible for all maintenance,
insurance, and expenses incurred on behalf of the dwelling unit(s) acquired. Copies of the final
inspection report must be retained in the project files and submitted to Chandler. The appraised
value of the dwelling unit(s) after rehabilitation must not exceed 95% of the median area
purchase price for single-family homes.
• A.R.M. will utilize HOME funds for the purchase and minor rehabilitation of one home to be
rented for income eligible residents. A.R.M. will ensure that eligible beneficiaries do not exceed
the current Maricopa County HOME Income Limits. A.R.M. will not exceed the HOME
Maximum Subsidy Limits and the annual HOME Rent Limits, including utilities.
• A.R.M. currently has 16 permanent affordable rental homes. Affordable rental property is a high
priority goal in the City of Chandler’s Consolidated Plan.
• Type of assistance/activity to be provided with HOME funds: Acquisition and Rehabilitation of
Rental Housing and the creation of a permanent, affordable rental home.
• Methods and instruments used for ensuring affordability: Recapture provision. The HOME
funds will be secured by an Affirmative Land Use Restrictive Agreement (LURA), Deed of
Trust and Promissory Note naming the City of Chandler as the Beneficiary in order to secure
any funds provided as reimbursement for acquisition costs. The County utilizes a recapture
provision that will require the HOME funds to be repaid in full by either A.R.M. or the City if
the unit is determined to be no longer eligible. Funds to be repaid will be based on the entire
amount of HOME subsidy that was originally used to purchase and rehabilitate the unit. All
units are secured by a LURA, Deed of Trust and Promissory Note.
• A.R.M. must provide a 25% non-federal match to the HOME funds utilized.
• Anticipated use of Program Income: No Program Income is anticipated.
2. OBJECTIVES AND OUTCOMES:
OBJECTIVE
OUTCOMES
AVAILABILIT
Y/
ACCESSIBILIT
Y
AFFORDABILITY
SUSTAINABILITY
DECENT
HOUSING
Single-Family
Housing Rehab
and Emergency
Rehab,
Homebuyer
Assistance
Homebuyer Activities,
Acquisition/Rehab of rental
housing, acquisition/New
Construction of rental
housing, Expansion of
assisted rental units in the
private marketplace
Housing Activities in a
targeted revitalization
area
3. LOGIC MODEL: PERFORMANCE INDICATORS:
INPUTS/RESOURCE
S
In order to accomplish
proposed activities, the
Subrecipient will need
the following:
ACTIVITI
ES
In order to
address the
issue, the
Subrecipient
will conduct
the
following
activities:
OUTPUTS
Once completed,
these activities will
produce the
following:
OUTCOMES
When
completed,
these activities
will lead to the
following
changes:
IMPACT
Long term
changes:
HOME funding
Purchase
and
rehabilitate
two single
family unit
homes for a
household at
or below
60% of the
Expand affordable
housing
opportunities
Safe and
decent housing
for a low-
income
household.
Stable
neighborhoods
Area
Median
Income
4. PROPOSED BENEFICIARIES:
Targeted Population by
Income Level
Number of
Households
Total
Number of
Units
Number of HOME
Assisted Units in
program (if rental)
Households at or below 50%
Households at or below 60%
2
2
2
Households at or below 80%
TOTAL
2
2
2
5. PERFORMANCE REPORTING GOALS/TIMELINE OF ACTIVITIES:
PY 2021 MILESTONES
COMPLETION
DATE
PY 2022 MILESTONES
COMPLETION
DATE
City of Chandler’s
Developer Agreement with
A.R.M. of Save the Family
01/30/25
City’s Developer
Agreement with A.R.M. of
Save the Family
01/30/25
Market Study
02/01/25
Market Study
02/01/25
Underwriting
02/15/25
Underwriting
02/15/25
Secure Financing
02/15/25
Secure Financing
02/15/25
Environmental Review
03/15/25
Environmental Review
03/15/25
Obtain Site Control
03/15/25
Obtain Site Control
03/15/25
Work write-ups and bid
selection
03/16/25
Work write-ups and bid
selection
03/16/25
Rehabilitation Complete
04/01/25
Rehabilitation Complete
04/01/25
Final Close-out/Project
Completion Form
Submitted to the City
04/15/25
Final Close-out/Project
Completion Form
Submitted to the City
04/15/25
Any change to the Timeline will need to be approved by the City
ATTACHMENT B
DECLARATION OF AFFIRMATIVE
LAND USE RESTRICTIVE COVENANTS
FOR HOME LOAN PROCEEDS
1
WHEN RECORDED, RETURN TO: City of Chandler
Neighborhood Services Department
Mail Stop # 600, P.O. Box 4008
Chandler, AZ 85244-4008
DECLARATION OF AFFIRMATIVE LAND USE
RESTRICTIVE COVENANTS FOR HOME LOAN PROCEEDS
THIS DECLARATION OF AFFIRMATIVE LAND USE RESTRICTIVE
COVENANTS FOR HOME LOAN PROCEEDS dated this _____ day of _____________,
202___ (this "Declaration"), is made and granted by THE A.R.M. OF SAVE THE FAMILY
FOUNDATION OF ARIZONA, an Arizona nonprofit corporation, who at the time this
Declaration is recorded is the owner of the real property described herein ("Owner"), to the CITY
OF CHANDLER, an Arizona municipal corporation ("City"), as a further inducement to City to
provide certain HOME funds necessary for the acquisition and improvement of said real property
and to assure that the real property will be used, operated and maintained for the purposes for
which the HOME funds are provided by and through City.
RECITALS:
WHEREAS, Owner and City have entered into a Subrecipient Grant Agreement dated
____________________ whereby the City has agreed to provide funding pursuant to the HOME
Investment Partnerships Program ("HOME"), established under Title II of the Cranston-Gonzales
National Affordable Act of 1990, to Owner to be used for the acquisition of real property to be
used as a rental housing unit(s) located at __________________________, Chandler, Arizona
(the “Property”), legally described as follows:
LEGAL DESCRIPTION; and
WHEREAS, City is a participant in the Maricopa HOME Consortium, a "Participating
Jurisdiction" as that term is used and described in the HOME federal regulations found at 24
CFR Part 92; and
WHEREAS, City, as a participant in the Maricopa HOME Consortium, has agreed to
administer agreements between the Consortium and designated entities conducting HOME
activities within City's local boundaries; and
WHEREAS, in order for Owner to purchase the Property as a rental housing unit(s), it is
necessary for Owner to make and declare the certain covenants in this Declaration, which are
intended to be certain deed restrictions upon the Property running to the benefit of City, as the
agency responsible for administering said funds.
DECLARATION:
NOW, THEREFORE, in consideration of the Property being funded with HOME funds
2
provided by and through City, and the covenants and conditions herein contained, and other good
and valuable consideration, the receipt and sufficiency of which is acknowledged, Owner
declares, covenants and agrees as follows:
1. Antidiscrimination Restrictions. Owner shall not illegally or unconstitutionally
discriminate against or segregate any person or group of persons on account of gender, marital
status, race, age, disability, color, religion, creed, national origin or ancestry in the sale, lease,
sublease, transfer, use, occupancy, tenure or enjoyment of the Property, nor shall the Owner
establish or permit any such practice or practices of discrimination or segregation with reference
to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessees or
vendees in the Property.
2. Affordability Restrictions. During the period of time commencing on the date of the
initial lease effective date and continuing for fifteen (15) years thereafter (hereinafter referred to
as the "Period of Affordability"), the Owner, and its successors and assigns as the City approves
in writing, will use the Property solely to provide affordable housing to families at or below 80%
of area median income for the Phoenix-Mesa-Scottsdale Metropolitan Statistical Area (“AMI”)
as established by the United States Department of Housing and Urban Development ("HUD")
and otherwise comply with the requirements of the HOME Program (24 CFR Part 92) and the
provisions of this Section 2.
a.
The rent charged for the Property will not exceed the lesser of:
(i)
The fair market rent for existing housing for comparable units in the area
as established by HUD under 24 CFR 888.111 less the monthly allowance for
utilities and services (excluding telephone) to be paid by tenant; or
(ii)
A rent that does not exceed thirty percent (30%) of the adjusted income of
a family whose gross income equals sixty-five percent (65%) of the AMI as
determined by HUD, with adjustment for number of bedrooms in the unit, except
that HUD may establish income ceilings higher or lower than the sixty-five percent
(65%) of the median for the area on the basis of prevailing levels of construction cost
or fair market rents, or unusually high or low family incomes.
b.
The Property may not be refused for leasing by a holder of a certificate of family
participation under 24 CFR 882 (Rental Certificate Program) or a rental voucher under 24
CFR 887 (Rental Voucher Program), or to the holder of a comparable document
evidencing participation in a Section 8 tenant based assistance program because of the
status of the prospective tenant as a holder of such certificate of family participation,
rental voucher, or comparable Section 8 tenant-based assistance document; and
c.
For purposes of this Declaration, the terms “family” and “families” have the same
meaning given those terms in 24 CFR Part 5. For the purposes of this Declaration, a
family’s income will be determined in accordance with 24 CFR 5.609.
3
3. In addition, Owner agrees to maintain the Property and grounds in accordance with
Housing Quality Standards or such standards as are subsequently adopted or implemented
including the National Standards for the Physical Inspection of Real Estate (NSPIRE), as
applicable, and in compliance with Chapter 30 (Neighborhood Preservation Code) of the
Chandler City Code, annually recertify tenant income and inspect project units, and maintain
project records and tenant files to demonstrate compliance with HOME requirements under 24
CFR Part 92
4. Notwithstanding the limitations in paragraph 2 above, upon foreclosure by a lender or
other transfer of title in lieu of foreclosure, the Period of Affordability will be suspended if the
foreclosure by a senior lender or other transfer of title in lieu of senior lender foreclosure
recognizes any contractual or legal rights of public agencies, nonprofit sponsors, or others to take
actions that would avoid termination of low-income affordability. However, if at any time
following transfer by foreclosure or transfer of title in lieu of foreclosure, but still during the term
of the Period of Affordability, the owner of record prior to the foreclosure or transfer of title in
lieu of foreclosure, or any newly formed entity that includes the former owner or those with
whom the former owner has or had family business ties, obtains an ownership interest in the
project or Property, the Period of Affordability shall be revived according to its original terms.
6. Covenants Run with the Land; Binding Effect. Owner intends, and further declares and
covenants as follows:
a.
During the term of this Declaration, all of the covenants and restrictions set
forth in this Declaration regulating and restricting the use, occupancy and transfer
of the Property
i.
are covenants running with the Property, encumbering the Property,
binding upon Owner’s successors in title and all subsequent owners and
operators of this Property;
ii.
are not merely personal covenants of Owner, but are contractual in
nature, and are intended to be binding upon Owner, its successors and
assigns, and all future owners or operators of the Property; and
iii.
will bind the Owner and its and their respective successors and
assigns during the term of this Declaration.
b.
That any and all requirements of the laws of the State of Arizona to be
satisfied in order for the provisions of this Declaration to constitute deed
restrictions and covenants running with the land shall be deemed to be satisfied in
full, and any requirements for privity of estate or title are intended to be satisfied
hereby, or in the alternative, that an equitable servitude has been created to ensure
that these restrictions will run with the land; and
c.
That while the provisions of this Declaration are in effect, each and every
contract, deed or other instrument hereinafter executed conveying title or other
interest in the Property, or any portion thereof, will expressly provide that such
covenants contained herein shall survive and be effective regardless of whether
4
such contract, deed, or other instrument hereafter executed conveying title or other
interest in the Property, or any portion thereof, provides that such conveyance is
subject to this Declaration.
5.
Amendments. This Declaration shall not be modified, amended or supplemented
except upon the express written agreement of Owner and City. Owner hereby expressly agrees to
enter into all amendments of this Declaration which, in the opinion of City, are reasonably
necessary or desirable for maintaining compliance under the HOME Program.
6.
Notices. If applicable, all notices, requests, demands and consents to be made or
that may be made hereunder to Owner or City shall be in writing and shall be delivered by hand
or sent by registered mail or certified mail, postage prepaid, return receipt requested, through the
United States Postal Service to the following addresses:
To OWNER:
Affordable Rental Movement of Save the Family Foundation of Arizona
Allisia Fiorini, Chief Housing Development Officer
125 E. University Drive, Mesa, AZ 85201
To CITY:
City of Chandler
Neighborhood Resources - Community Development
Mail Stop 600
P.O. Box 4008
Chandler, Arizona 85244-4008
Owner or City may, by notice given hereunder, designate any further or different address to
which any subsequent notice, certification or other communication shall be sent.
7.
Governing Law. This Agreement shall be governed by the laws of the State of
Arizona and, where applicable, the laws of the United States of America.
8.
Release. Upon the expiration of the term hereof, the City agrees to promptly
execute and deliver to Owner, a release of this Declaration duly executed and in recordable form
for filing in the County Recorder’s Office. Nothing herein shall prohibit Owner and City from
voluntarily entering into any written agreement to release this Declaration prior to the date of
automatic expiration or to extend the period upon which such automatic expiration shall occur.
IN WITNESS WHEREOF, Owner has caused this Declaration to be signed as of the date
first written above.
THE A.R.M. OF SAVE THE FAMILY FOUNDATION OF ARIZONA, an Arizona nonprofit
corporation
By: _____________________________
5
Title: Chief Executive Officer
Date: __________________________
STATE OF ARIZONA
)
) ss.
County of Maricopa
)
On this ___ day of ________________, 202___, before me personally appeared
__________________________, whose identity was proven to me on the basis of satisfactory
evidence to be the person who he or she claims to be, and acknowledged that he or she signed the
above/attached document.
IN WITNESS WHEREOF, I hereunto set my hand and official seal.
Notary Public
My Commission Expires:
____________________
1
ATTACHMENT C
PROMISSORY NOTE
1
CITY OF CHANDLER HOME PROGRAM
PERMANENT AFFORDABLE RENTAL PROGRAM
SECURED PROMISSORY NOTE
AMOUNT
Chandler, Arizona
DATE
FOR VALUE RECEIVED, The A.R.M. of Save the Family Foundation of Arizona, an
Arizona nonprofit corporation whose principal address is 125 E. University Drive, Mesa, AZ 85201
(the “Maker”) promises to pay to the City of Chandler, Arizona, a municipal corporation (the
“Holder”), at Neighborhood Resources, Community Development and Resources Division, Mail
Stop 600, P.O. Box 4008, Chandler, AZ 85244-4008 or at such other place as the Holder may from
time-to-time designate, in lawful money of the United States of America, the principal sum of
__________________, or such lesser amount actually disbursed (the “Loan”). The Loan funds are
from the HOME Investment Partnerships Program as defined in the Subrecipient Grant Agreement
of even date herewith between the Holder and the Maker (the “Agreement”). The Loan will be
repaid in accordance with the terms and conditions set forth below:
1. Capitalized Terms. Unless defined herein, all capitalized terms have the meaning assigned
under the Agreement.
2. Security. The sums advanced under this Note shall be used to purchase the Property located at
______________________________________________, Chandler, Arizona, as more fully
described in Exhibit 1 (the “Property”). Payment of this Note will be secured by a deed of trust
(the “Deed of Trust”) from the Maker to Holder to be recorded against the Property in the Office
of the County Recorder of Maricopa County, State of Arizona.
3. Term. The term of this Note begins on the effective date written above and continues through
the 15-year Period of Affordability, provided however, that no Event of Default has occurred
during the term. If an Event of Default occurs during the term of this Note, the Agreement will
terminate and the Loan will be immediately due and payable unless the Event of Default is
cured as provided herein. Upon Agreement Expiration, the Loan debt evidenced by this Note
will be forgiven in its entirety.
4. Prepayments. Maker shall have the right to prepay this Note, in whole, without penalty, discount,
or premium, subject to any applicable provisions or regulations related to repayment or recapture.
5. Event of Default. Upon the occurrence of an Event of Default as defined in the Agreement, the
entire outstanding principal balance, at the Holder’s option, will become immediately due and
payable. This option may be exercised at any time following any Event of Default. The failure
to exercise this option does not constitute a waiver of the right to exercise the option in any
subsequent Event of Default. Holder’s failure to exercise any other right or remedy hereunder
or under any agreement that secures the indebtedness does not affect any right or remedy and
no single or partial exercise of any right or remedy precludes any further exercise thereof.
6. Grace Period. Holder will not exercise any right or remedy because of any Event of Default of
Maker unless, in the event of a monetary default, Maker has failed to pay the outstanding sums
2
within a period of thirty (30) calendar days after the date of the notice that payment was due, or
in the event of a nonmonetary default, after Holder has given written notice to Maker, and Maker
has failed to cure the nonmonetary default within thirty (30) calendar days after the date of
notice; provided that if the nonmonetary default cannot be cured within thirty (30) calendar days
and Maker proceeds diligently with effort to cure the default within no more than sixty (60)
calendar days after notice, Holder will not exercise any right or remedy until the sixty (60) day
period expires. Notwithstanding the foregoing, Holder is not required to give any notice or allow
any part of the grace period if Maker has filed a petition in bankruptcy or for reorganization or
a bill in equity or otherwise initiated proceedings for the appointment of a receiver of its assets,
or if Maker has made an assignment for the benefit of creditors, or if a receiver or trustee is
appointed for Maker and the appointment or receivership is not terminated within forty-five
(45) days. With respect to any right to cure or cure period provided in this paragraph 6,
performance of a cure by an entity or partner of Maker has the same effect as would performance
by Maker.
7. Costs and Attorneys’ Fees. If Holder seeks legal advice to interpret or enforce the provisions
of this Note or the Agreement, Maker agrees to pay all reasonable costs and attorneys’ fees. If
any action is brought to enforce or interpret the provisions of this Note or the Agreement, the
prevailing party will be entitled to reasonable costs and attorneys’ fees.
8. Waiver and Consent. Maker and any endorser waives and agrees not to assert (a) any homestead
or exemption; (b) demand, diligence, grace, presentment, notice of dishonor, notice of
acceleration maturity protest and default; and (c) recourse to guaranty and suretyship defenses
(including without limitation, the right to require the Holder to bring an action on this Note), and
assents to any extension of time with respect to any payment due under this Note, to any
substitution or release of collateral, and to the addition or release of any party. No waiver of any
payment or other right under this Note may operate as a waiver of any other payment or right.
9. Governing Law, Jurisdiction, Venue, and Severability. This Note is made pursuant to, and will
be construed and governed by the laws of the State of Arizona and subject to the jurisdiction and
venue in a court located in Maricopa County. If any provision of this Note is construed or
interpreted by such court to be void, invalid or unenforceable, such decision will affect only those
provisions so construed or interpreted and will not affect the remaining provisions of this Note.
10. Time of Essence. Time is of the essence in the performance of each and every obligation of the
Maker hereunder.
11. Notice. Notice must be provided in accordance with the terms of the Agreement.
12. Binding Nature. The provisions of this Note shall be binding upon Maker and the heirs, personal
representatives, successors and assigns of Maker, and shall inure to the benefit of Holder and
any subsequent holder of all or any portion of this Note, and their respective successors and
assigns. Holder may from time-to-time transfer all or any part of its interest in this Note and
the Loan Documents, without notice to Maker
13. Exculpation. The personal liability of the Maker, and of any member of the Maker or any
officers of the Maker or such member and of any other person or entity, to pay the principal of
and interest on the debt evidenced by this Note shall be limited to (a) the real and personal
property of the Project and the Collateral, and (b) the rents, profits, issues, products and income
3
of the Project as they become due and payable, including any received or collected by or on
behalf of the Maker after an Event of Default and not applied to the payment of principal and
interest due under this Note or payment of utilities, taxes and assessments, insurance premiums
and ground rents, if any, on the Project and other reasonable and customary operating expenses
of the Project (but not including any fees or other payments of any kind or nature made to the
Maker or any affiliate or related entity of the Maker), except not including any amounts to the
extent that Maker did not have the legal right, because of a bankruptcy, receivership or similar
judicial proceeding, to direct the disbursement of such sums.
IN WITNESS WHEREOF, the undersigned has executed this Note effective as of the date
written above:
MAKER: THE A.R.M. OF SAVE THE FAMILY FOUNDATION OF ARIZONA, an Arizona
nonprofit corporation
By: _____________________________
Title: Chief Executive Officer
Date: __________________________
STATE OF ARIZONA
)
) ss.
County of Maricopa
)
On this ___ day of ________________, 202___, before me personally appeared
__________________________, whose identity was proven to me on the basis of satisfactory
evidence to be the person who he or she claims to be, and acknowledged that he or she signed the
above/attached document.
IN WITNESS WHEREOF, I hereunto set my hand and official seal.
Notary Public
My Commission Expires:
____________________
4
EXHIBIT 1
Legal Description
1
ATTACHMENT D
DEED OF TRUST
1
When recorded, mail to:
City of Chandler
Attn: Neighborhood Resources,
Community Resources
Mail Stop 600
P.O. Box 4008
Chandler, Arizona 85224-4008
CITY OF CHANDLER
HOME INVESTMENT PARTNERSHIPS PROGRAM
DEED OF TRUST AND ASSIGNMENT OF RENTS
DATE: ___________________
PROPERTY ADDRESS: __________________________________________, Chandler,
Arizona
TRUSTOR: The A.R.M. of Save the Family Foundation of Arizona, an Arizona nonprofit
corporation
TRUSTOR’S MAILING ADDRESS: 125 E. University Dr., Mesa, AZ 85201
BENEFICIARY: City of Chandler, an Arizona municipal corporation
BENEFICIARY’S ADDRESS: 235 S. Arizona Avenue, Chandler, Arizona 85225
TRUSTEE: Security Title Agency, 2415 E. Camelback Road, Suite 200, Phoenix, Arizona 85016
OBLIGATION SECURED: Promissory Note (Trustor to Beneficiary) dated DATE for Principal
Amount of AMOUNT, plus any subsequent amounts paid by Beneficiary to Trustor
Subject Real Premises (Legal Description):
INSERT LEGAL
1.
Conveyance. Trustor irrevocably grants and conveys to Trustee in trust, with power of
sale, the Subject Real Premises, subject to covenants, conditions, restrictions, rights of way and
easements of record, to be held as security for the payment by Trustor of the Obligations
Secured and for the performance of other obligations of Trustor as set forth in this Deed of Trust
and in the Subrecipient Grant Agreement for the HOME Investment Partnerships Program
executed by Trustor and Beneficiary dated DATE (the “Agreement”).
2. Appurtenances. Trustor grants, together with the Subject Real Premises, all buildings and
improvements now or hereafter erected thereon and all fixtures attached to or used in connection
with the Subject Real Premises (including, without limiting the generality of the foregoing, all
ventilating, heating, air conditioning, refrigeration, plumbing and lighting fixtures), together
2
with all leases, rents, issues, profits or income therefrom (hereinafter “Premises Income”),
subject, however, to the right power and authority hereinafter given to Beneficiary to collect
and apply such Premises Income.
3. Taxes, Assessments and Trust Expenses. Trustor will pay before delinquent all taxes and
assessments affecting the Subject Real Premises, all encumbrances, charges and liens, when
due, with interest, on Subject Real Premises or any part thereof, which appear to be prior or
superior hereto; all costs, fees and expenses of this trust and all lawful charges, costs and
expenses of any reinstatement of this Deed of Trust following a default.
4. Property Insurance. Trustor will, at Trustor’s expense, maintain in force All Risk Property
Insurance and extended coverage insurance in any amount of not less than the full replacement
value of any buildings which may exist on the Subject Real Premises with loss payable to
Beneficiary.
5. Liability Insurance. Trustor will, at Trustor’s expense, maintain in force policies of liability
insurance, with Beneficiary as an additional insured thereunder, insuring Trustor against any
claims resulting from the injury to or the death of any person or the damage to or the destruction
of any property belonging to any person by reason of Beneficiary’s interest hereunder or the
use and occupancy of Subject Real Premises by Trustor. Such insurance will be in the following
amounts:
a. $ 2,000,000 against any claim resulting from injury to or the death of any one person.
b. $ 4,000,000 against any claim resulting from injury to or deaths of any number of
persons from any one accident.
c. $ 2,000,000 against any claim resulting from the damage to or destruction of any
property belonging to any person.
6. Processing of Insurance Policies. Trustor will promptly deliver to Beneficiary the originals
or true and exact copies of all insurance policies required by this Deed of Trust. Trustor will
not do or omit to do any act which will in any way impair or invalidate any insurance policy
required by this Deed of Trust. All insurance policies will contain a written obligation of the
insurer to notify Beneficiary in writing at least 10 days prior to any cancellation thereof.
7. Indemnification of Trustee and Beneficiary. Trustor will hold Trustee and Beneficiary
harmless from and indemnify them for any and all claims raised by any third party, including
but not limited to claims secured by any liens or encumbrances placed on the Subject Real Premises,
against Trustee or Beneficiary resulting from their interests hereunder or the acts of Trustor.
Such indemnification includes reasonable attorneys’ fees and costs, including cost of evidence
of title.
8. Right of Beneficiary or Trustee to Pay Obligations of Trustor. If Trustor fails or fails or
refuses to pay any sums due to be paid by it under the provisions of this Deed of Trust, or fails
or refuses to take any action as herein provided, then Beneficiary or Trustee will have the right
to pay any such sum due to be paid by Trustor and to perform any act necessary. The amount
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of such sums paid by Beneficiary or Trustee for the account of Trustor and the cost of any such
action, together with interest thereon at the maximum legal contractual rate per annum, from
the date of payment until satisfaction, will be added to the Obligation Secured. The payment
of Beneficiary or Trustee of any such sums or the performance of any such action will be prima
facie evidence of the necessity, therefore.
9. Condemnation. Any award of damages in connection with any condemnation or injury to
any of the Subject Real Premises by reason of Public use or for damages for private trespass or
injury thereto are assigned in full and will be paid to Beneficiary, who use the proceeds to repair
and restore Subject Real Premises to substantially the same condition as existed prior to the
event causing such damage or destruction, or to relieve the condemnation, and thereafter operate
in accordance with the terms of the Agreement. Any remaining balance will be paid to Trustor
to use for purposes consistent with the Agreement as Program Income. Beneficiary may, at
Beneficiary’s option, appeal from any such award in the name of Trustor. Unless Trustor and
Beneficiary otherwise agree in writing, any application of such proceeds to principal will not
extend or postpone the due dates of any installment payments of the Obligation Secured or
change the amount of such payments.
10. Care of Premises. Trustor will take reasonable care of the Subject Real Premises and the
buildings thereon and will maintain them in good repair and condition as at the original date of
this Deed of Trust, ordinary depreciation expected and in accordance with the terms of the
Agreement. Trustor will commit or permit no waste and do no act which will unduly impair or
depreciate the value of the Subject Real Premises as required, but if any such act occurs, then
Beneficiary or Trustee, at their option, may make necessary repairs and add the cost thereof to
the Obligation Secured. Trustor will purchase and use on the Subject Real Premises the amount
of water to which it is or will be entitled and will not abandon any water rights, power rights or
any rights of whatever nature which are appurtenant to the Subject Real Premises. Trustor will
maintain the Subject Real Premises in accordance with all applicable laws, including the City
of Chandler Property Maintenance Code and Zoning Ordinances.
11. Right to Inspect Subject Real Premises. At all convenient and reasonable times, upon
prior notice to Trustor and in accordance with the Arizona Residential Landlord Tenant Act,
Beneficiary or Trustee has the right and license to go on and into the Subject Real Premises to
inspect it in order to determine whether the provisions of this Deed of Trust are being kept and
performed.
12. Event of Default. Each of the following will be considered an event of default of this Deed
of Trust:
a. The failure of Trustor to make any payment hereunder or under the Obligation Secured
on or before the due date thereof;
b. The failure of Trustor to perform any duty required by this Deed of Trust, the
Obligation Secured or the Agreement;
c. A default under the Agreement.
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d. The sale or transfer of any interest in or any attempted sale or transfer of any interest
in the Subject Real Premises by Trustor without the written consent of Beneficiary;
e. The removal or attempted removal by Trustor of any property included in the Subject
Real Premises without the written consent of Beneficiary;
f. Abandonment of the Subject Real Premises by Trustor;
g. The filing, execution or occurrence of:
(1) A petition in bankruptcy by or against Trustor.
(2) A petition or answer seeking a reorganization, composition, readjustment,
liquidation, dissolution or other relief of the same or different kind under any provision
of the Bankruptcy Act.
(3) Adjudication of Trustor as a bankrupt or insolvent, or insolvency in the bankruptcy
equity sense.
(4) An assignment by Trustor for the benefit of creditors, whether by trust, mortgage
or otherwise.
(5) A petition or other proceedings by or against Trustor for the appointment of a
trustee, receiver, guardian, conservator or liquidator of Trustor with respect to all or
substantially all its property.
(6) Trustor’s dissolution or liquidation or the taking of possession of Trustor’s
property by any governmental authority in connection with dissolution or liquidation.
h. A determination by Beneficiary that the security of the Deed of Trust is inadequate or
in danger of being impaired or threatened from any cause whatsoever.
i. Cure Rights.
(1)
In the event of a monetary default, Beneficiary will not exercise any right or
remedy unless Trustor has failed to pay the outstanding sums within a period of thirty
(30) calendar days after the date of the notice that payment was due.
(2)
In the event of a nonmonetary default, Beneficiary will not exercise any right or
remedy unless, after written notice to Trustor, Trustor has failed to cure the
nonmonetary default within thirty (30) calendar days after the date of notice; provided
that if the nonmonetary default cannot be cured within thirty (30) calendar days and
Trustor proceeds diligently with effort to cure the default within no more than sixty (60)
calendar days after notice, Beneficiary will not exercise any right or remedy until the
sixty (60) day period expires.
(3)
Notwithstanding the foregoing, Beneficiary is not required to give any notice or
allow any part of the grace period if Trustor has filed a petition in bankruptcy or for
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reorganization or a bill in equity or otherwise initiated proceedings for the appointment
of a receiver of its assets, or if Trustor has made an assignment for the benefit of
creditors, or if a receiver or trustee is appointed for Trustor and the appointment or
receivership is not terminated within forty-five (45) days.
13. Acceleration. In the event of default by Trustor, Beneficiary may declare all sums secured
hereby immediately due and payable by delivery to Trustee of written notice setting forth the
nature thereof and of election to cause the Subject Real Premises to be sold under this Deed of
Trust. Beneficiary will also deposit with Trustee all documents evidencing the Obligation
Secured and any expenditures secured hereby.
14. Trustee’s Sale. Upon receipt of Beneficiary’s notice of election to cause the Subject Real
Premises to be sold, Trustee will, in accordance with all provisions of law, give notice of
Trustee’s Sale and, after the lapse of the required amount of time, sell the Subject Real Premises
at public auction, at the time and place specified in the Notice of Trustee’s Sale, to the highest
bidder of cash in lawful money of the United States, payable at the time of sale. Any persons,
including Trustor, Trustee or Beneficiary may purchase at the Trustee’s Sale. Trustee may
postpone or continue the sale by giving notice of postponement or continuance by public
declaration at the time and place last appointed for sale. Upon sale, Trustee will deliver to the
purchaser a Trustee’s Deed conveying the Subject Real Premises, but without any covenant or
warranty, expressed or implied.
15. Proceeds of Trustee’s Sale. After deducting all costs, fees and expenses of Trustee and
of this trust, including the cost of evidence of title in connection with the sale and reasonable
attorney’s fees, Trustee will apply the proceeds of sale to payment of all sums then secured
hereby and all other sums due under the terms hereof, including Beneficiary’s Share of
Appreciation in accordance with HOME Program regulations, with accrued interest, and the
remainder, if any, to the persons legally entitled thereto or as provided by Arizona Revised
Statutes, Title 33, Chapter 6.1, as amended.
16. Defaults on Prior Encumbrances. If there are mortgages upon the Subject Real Premises
or other encumbrances which are prior in time or prior in right, then Trustor promises to comply
with the terms of those prior mortgages or encumbrances. If Trustor fails to comply with such
terms and defaults on those mortgages or obligations, such default will also be considered a
default of this Deed of Trust, and Trustee or Beneficiary herein may advance the monies
necessary to remedy such defaults, and, if it does, such monies will be added to the Obligation
Secured and will bear the Maximum contractual legal rate of interest from the date monies are
tendered. Beneficiary may also proceed on this default by exercising the same remedies it has
on this Deed of Trust.
17. Deficiency Judgment. Unless prohibited by law, Beneficiary will be entitled to a
deficiency judgment against Trustor if the Trustee’s Sale yields an amount insufficient to fully
satisfy Trustor’s obligation hereunder. A.R.S. § 33-814.
18. Foreclosure and Other Remedies. In lieu of sale pursuant to the power of sale conferred
hereby, this Deed of Trust may be foreclosed in the same manner provided by law for the
foreclosure of mortgages on real property. Beneficiary will also have all other rights and
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remedies available hereunder and at law or in equity. All rights and remedies will be
cumulative.
19. Reinstatement After Default. Notwithstanding Beneficiary’s acceleration of sums
secured by this Deed of Trust, Trustor will have the right to have any proceedings begun by
Beneficiary to enforce this Deed Trust discontinued and to have the Deed of Trust reinstated at
any time before the day of the Trustee’s Sale or before the filing of a foreclosure action. In
order to have the Deed of Trust reinstated after default, the Trustor must:
a. Pay to Beneficiary the entire amount due under this Deed of Trust and the Obligation
Secured, other that such portion of the principal as would not be due had no default
occurred;
b. Cure all defaults or covenants or agreements of Trustor as contained in this Deed of
Trust or the Agreement;
c. Pay costs and expenses incurred by Beneficiary and Trustee in enforcing the terms of
this Deed of Trust and pursuing remedies;
d. Pay reasonable attorney’s fees actually incurred by Beneficiary and Trustee in
enforcing the terms of this Deed of Trust.
e. Pay the recording fee for any cancellation of notice of sale;
f. Pay the Trustee’s fees as permitted by law. Upon reinstatement, this Deed of Trust and
the obligation secured hereby will remain in full force and effect as if no acceleration
had occurred.
20. Assignment of Premises Income. As additional security, Trustor hereby gives Beneficiary
the right, power and authority, during the continuance of this Trust, to collect the property
income, reserving to Trustor the right, prior to any default by Trustor in payment of any
indebtedness secured hereby or in performance of any agreement hereunder, to collect and
retain such property income for use as described in the Agreement as it becomes due and
payable.
21. Right of Entry and Appointment of Receiver. Upon any Event of Default, Beneficiary
may at any time, without notice, either in person, by agent or by a receiver to be appointed by
a court, and without regard to the adequacy of any security for the indebtedness hereby secured,
and in accordance with the Arizona Residential Landlord Tenant Act, enter upon and take
possession of the Subject Real Premises or any part thereof; in its own name sue for or otherwise
collect such property income, including that past due and unpaid; and apply the same, less costs
and expenses of operation and collection, including reasonable attorney’s fees, upon any
indebtedness secured hereby, and in such order as Beneficiary may determine. The entering
upon and taking possession of the Subject Real Premises, the collection of such property income
and the application thereof, will not cure or waive any default or notice of Trustee’s Sale
hereunder or invalidate any act done pursuant to such notice.
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22. Acts of Trustee Affecting Subject Real Premises. At any time, without notice, upon
written request of Beneficiary and presentation of this Deed of Trust and the Obligation Secured
for endorsement, Trustee may, without liability, release and reconvey all or any part of the
Subject Real Premises, consent to the making and recording, or either, of any map or plat of all
or any part of the Subject Real Premises; join in granting any easement thereon; join in or
consent to any extension agreement or any agreement subordinating the lien, encumbrance or
charge hereof. Any such action by Trustee may be taken without affecting the personal liability
of any person for payment of the indebtedness secured hereby, without affecting the security
hereof for the full amount secured hereby on all property remaining subject hereto, and without
the necessity that any sum representing the value or any portion thereof of the property affected
by Trustee’s action be credited on the indebtedness.
23. Satisfaction of the Obligation. Upon written request of Beneficiary stating that all sums
secured hereby have been paid, and upon surrender of this Deed of Trust and the Obligation
Secured to Trustee for cancellation, and upon payment of Trustee’s fees, Trustee will release
and reconvey, without covenant or warranty, express or implied, the Subject Real Premises held
hereunder. The recitals in such reconveyance of any matters or facts will be conclusive proof
of the truthfulness thereof. The grantee in such reconveyance may be described as “the person
or persons legally entitled thereto.”
24. Notices. Copies of all notices and communications concerning this Deed of Trust will be
mailed to the parties at the addresses specified in this Deed of Trust. Any change of address
will be communicated to the other parties in writing. Any documents which may adversely
affect the rights of any party to this Deed of Trust will be dispatched by Certified Mail, Return
Receipt Requested.
25. Headings. The marginal or topical headings of the provisions herein are for convenience
only and do not define, limit or construe the contents of these provisions.
26. Interpretation. In this Deed of Trust, whenever the context so requires, masculine gender
includes the feminine and neuter, and the singular includes the plural and vice versa.
27. Applicable Law. This Deed of Trust is subject to and governed by the laws of the State of
Arizona, in particular the provisions of A.R.S. Title 33, Chapter 6.1, regardless of the fact that
one or more parties now is or may become a resident of a different state.
28. Waiver. Any waiver by any party of a breach of any provision of this Deed of Trust will
not operate or be construed as a waiver of any subsequent breach hereof.
29. Succession of Benefits. The provisions of this Deed of Trust will inure to the benefit of
and be binding upon the parties hereto, their heirs, personal representatives, conservators and
permitted assigns.
30. Successor Trustee. Beneficiary may appoint a Successor Trustee in the manner prescribed
by law. A Successor Trustee herein will, without conveyance from the predecessor Trustee,
succeed to all the predecessor’s title, estate, rights, powers and duties. Trustee may resign by
mailing or delivering notice thereof to Beneficiary and Trustor.
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31. Entire Agreement. The terms of this Deed of Trust constitute the entire agreement among
the parties and the parties represent that there are no collateral or side agreements not otherwise
provided for within the terms of this Deed of Trust.
32. Time of Essence. Time is of the essence in this Deed of Trust and every term, condition,
covenant and provision hereof.
33. Modification. No modification of this Deed of Trust will be binding unless evidenced by
an agreement in writing and signed by all parties.
34. Partial Invalidity. If any provision of this Deed of Trust is held to be invalid or
unenforceable all the remaining provisions will nevertheless continue in full force and effect
35. Nonrecourse Liability. The indebtedness secured by this Deed of Trust shall be
nonrecourse to Trustor.
SIGNATURES ON FOLLOWING PAGE
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BY SIGNING BELOW, the Trustor accepts and agrees to the terms and provisions contained
in this Deed of Trust executed by Trustor.
TRUSTOR: THE A.R.M. OF SAVE THE FAMILY FOUNDATION OF ARIZONA, an
Arizona nonprofit corporation
By: _____________________________
Title: ___________________________
Date: ___________________________
STATE OF ARIZONA
)
) ss.
County of Maricopa
)
On this ___ day of ________________, 202___, before me personally appeared
__________________________, whose identity was proven to me on the basis of satisfactory
evidence to be the person who he or she claims to be, and acknowledged that he or she signed
the above/attached document.
IN WITNESS WHEREOF, I hereunto set my hand and official seal.
Notary Public
My Commission Expires:
____________________
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ATTACHMENT E
MATCH CERTIFICATION
(Insert Match Certification Here)
1
ATTACHMENT F
State Contractor Employment Record Verification Form and Employee Verification Worksheet
To Be Completed by Contractor Prior to Execution of Contract
A.R.S. § 41-4401 requires as a condition of your contract verification of compliance by the
contractor and subcontractors with the Federal Immigration and Nationality Act (FINA), all other
Federal immigration laws and regulations, and A.R.S. § 23-214 related to the immigration status
of its employees.
By completing and signing this form the contractor shall attest that it and all subcontractors
performing work under the cited City/Town contract meet all conditions contained herein. Failure
to complete and submit this form and attached worksheet on or before the requested date to the
above cited address and/or falsification of any information provided herein shall be considered a
material breach of the contract.
Contract Number/ State Agency/Division
Name (as listed in the contract)
Street Name and Number
City: Zip Code:
I hereby attest that:
1. The contractor complies with the FINA, all other Federal immigration laws and
regulations, and A.R.S. § 23-214 related to the immigration status of those employees
performing work under this contract;
2. All subcontractors performing work under this contract comply with the FINA, all
other Federal immigration laws and regulations, and A.R.S. § 23-214 related to the
immigration status of their employees; and
3. The contractor has identified all contractor and subcontractor employees who perform
work under the contract on the attached Employee Verification Worksheet and has
verified compliance with FINA, all other Federal immigration laws and regulations, and
A.R.S. § 23-214.
Signature of Contractor (Employer) or Authorized Designee:
Printed Name:
Title:
Date (month/day/year):
___
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