2008-26953 ResoRESOLUTION NO. 2008-26953
A RESOLUTION OF THE MAYOR AND THE CITY
COMMISSION RETROACTIVELY APPROVING THE
ATTACHED HOME INVESTMENT PARTNERSHIPS
(HOME) PROGRAM AGREEMENT BETWEEN THE CITY
OF MIAMI BEACH AND MIAMI BEACH COMMUNITY
DEVELOPMENT CORPORATION, A FLORIDA NOT-FOR-
PROFIT CORPORATION (MBCDC), IN THE AMOUNT OF
$192,481 OF HOME PROGRAM FUNDS FROM FISCAL
YEAR 2006/2007 TO CONTINUE AN AFFORDABLE
HOUSING REHABILITATION PROGRAM AND PROVIDE
RENTAL HOUSING FOR INCOME-ELIGIBLE
PARTICIPANTS IN THE ALLEN HOUSE APARTMENTS,
LOCATED AT 2001 WASHINGTON AVENUE, MIAMI
BEACH, FLORIDA; FURTHER APPROVING AONE-TIME
ONLY ASSIGNMENT OF THIS AGREEMENT TO MBCDC:
THE ALLEN, LLC, A NOT-FOR-PROFIT ENTITY
CREATED BY MBCDC AS A SUCCESOR IN INTEREST IN
TITLE TO THE PROPERTY LOCATED AT 2001
WASHINGTON AVENUE, MIAMI BEACH, FLORIDA.
WHEREAS, on February 18, 1992, the City was designated by the U.S.
Department of Housing and Urban Development (HUD) as a Participating Jurisdiction to
receive funds through the HOME Investment Partnerships (HOME) Program under 24
CFR 92; and
WHEREAS, the City has established a HOME Investment Partnerships Program
(HOME Program) under the rules of the U.S. Department of Housing and Urban
Development (U.S. HUD), which provides financial assistance for the purpose of
providing affordable housing within the City; and
WHEREAS, on April 8, 1993, the Mayor and City Commission approved
Resolution No. 93-20756, designating Miami Beach Community Development
Corporation (MBCDC) as a qualified Community Housing Development Organization
(CHDO) under the HOME Program; and
WHEREAS, in accordance with the HOME Program regulations, the City must
reserve a minimum of fifteen (15%) percent of each fiscal year's HOME allocation for a
CHDO set-aside for investment in housing to be developed, sponsored or owned by a
designated CHDO; and
WHEREAS, on July 12, 2006, the City Commission adopted Resolution No.
2006-26253 adopting the City's One-Year Action Plan for Federal funds for FY
2006/2007, which included the budget for the HOME Program; and
WHEREAS, the HOME Program budget for FY 2006/2007 included an
inadvertently uncommitted $192,481 of funding to provide assistance for rehabilitation
initiatives to upgrade the housing stock in the City of Miami Beach; and
WHEREAS, HUD funds must be committed within 24 months after the last day of
the month in which HUD notifies the participating jurisdiction of HUD's execution of the
HOME Investment Partnership Agreement; otherwise HUD can reduce or recapture
funding; and
WHEREAS, HUD officially notified the City of Miami Beach of its 2006/2007
allocation on October 4, 2006; and
WHEREAS, the 2006/2007 funds had to be allocated by the City by no later than
October 31, 2008; and
WHEREAS, on October 28, 2008, City staff requested an extension of time from
HUD within which to formally allocate the uncommitted $192,481 HOME funds from FY
2006/2007; and
WHEREAS, HUD rejected the City's request for an extension of time and
informed staff that the funds were in jeopardy of being recaptured if an agreement was
not executed by October 31, 2008; and
WHEREAS, in an effort to keep these jeopardized HOME funds within the City,
the funds were allocated to MBCDC, the City's Certified CHDO, on an emergency basis
(pursuant to City Code Sec 2-396), and an agreement was signed on October 30, 2008
between the City and MBCDC; and
WHEREAS, MBCDC will apply this allocation to fill the existing funding gap in the
rehabilitation of The Allen House, located at 2001 Washington Avenue, which was
purchased with City Redevelopment Agency non-TIF funding sources allocated to
MBCDC by the City Commission for the purpose of providing funds to MBCDC in
connection with its purchase of three properties located within the City Center RDA, The
Allen House, located at 2001 Washington Avenue was one of the three properties; and
WHEREAS, The Allen House will provide 39 units of rental housing to income
qualified elderly recipients and has received City CDBG facade improvement funding,
and private financing, in addition to the aforementioned City Redevelopment funding for
acquisition; and
WHEREAS, on November 19, 2008 the Loan Review Committee recommended
retroactive approval of the commitment of the FY 2006/07 HOME funds in the amount of
$192,481 to MBCDC for the rehabilitation of The Allen House Apartments; and
WHEREAS, MBCDC has created anot-for-profit entity, MBCDC: The Allen, LLC
which is successor in interest to MBCDC and has assumed all interest and title to the
Allen and MBCDC is the sole member of MBCDC: The Allen, LLC.
NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY
COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City
Commission ratify, pursuant to City Code 2-396m the attached HOME Investment
Partnerships (HOME) Program Agreement with Miami Beach Community Development
Corporation (MBCDC), providing $192,481 of HOME Program funds from Fiscal Year
2006/07 to MBCDC for the rehabilitation of The Allen House Apartments, located at
2001 Washington Avenue, Miami Beach, to provide rental units for income-eligible
elderly participants and further approving aone-time-only assignment of this agreement
to MBCDC: The Allen, LLC, anot-for-profit entity created by MBCDC as successor in
interest in title to the property located at 2001 Washington Avenue.
PASSED AND ADOPTED THIS 10th
ATTEST:
~.ctia ~ Pc,~c~
CITY CLERK
Robert Parcher
DAY OF December , 2008.
AYOR
Matti Herrera Bower
T:WGENDA\2008\December 10\Consent\HOME 2006 Allocation The Allen Reso.doc
APPROVED AS TO
FORM & LANGUAGE
~ FOR E~FCUTION
i Z Og
at
COMMISSION ITEM SUMMARY
Condensed Title:
A resolution retroactively approving a HOME Program Agreement with MBCDC in the amount of $192,481 from FY
2006/07, for rehabilitation of The Allen House Apartments, a 39-unit rental building that will provide housing for income-
eligible elderly participants at 2001 Washington Avenue.
Key Intended Outcome Supported:
Increase availability of workforce/affordable housing.
Supporting Data (Surveys, Environmental Scan, etc.):
Based on the 2007 Customer Satisfaction Survey, affordable housing was a concern for 82% of those surveyed.
Issue:
Shall the City provide $192,481 of HOME Program funds to MBCDC for the rehabilitation of The Allen House Apartments,
a rental housing project for income-eligible elderly participants?
item Summary~rcecommenaat~on:
The City receives an annual allocation of HOME funds from HUD for the purpose of expanding the supply of housing for
persons meeting the HOME Program income criteria. This program requires the City to set aside a minimum of 15
percent of its annual allocation for a particular type ofnot-for-profit organization called a Community Housing Development
Organization (CHDO). The CHDO is required to use these funds for housing development activities in which the CHDO is
the owner, sponsor, or developer of the housing. MBCDC was officially certified and designated as a CHDO by HUD in
1993 and continues to be the City's Certified CHDO.
The City's FY 2006/2007 HOME allocation was dedicated to provide assistance for rehabilitation initiatives to upgrade the
housing stock in the City, and included $192,481 which remained inadvertently uncommitted. HUD funds must be
committed within 24 months after the last day of the month in which HUD notifies the participating jurisdiction of HUD's
execution of the HOME Investment Partnership Agreement; otherwise HUD can reduce or recapture funding. HUD
officially notified the City of Miami Beach of its 2006/2007 allocation on October 4, 2006. As such, the funds had to be
allocated by the City by no later than October 31, 2008. On October 28, 2008, City staff requested an extension of time
from HUD within which to formally allocate the uncommitted $192,481 HOME funds from FY 2006/2007. HUD rejected the
City's request for an extension of time and informed staff that the funds were in jeopardy of being recaptured if an
agreement was not executed by October 31, 2008.
In an effort to keep these funds within the City, and after conferring with the City Attorney's Office, the funds were allocated
to MBCDC, the City's Certified CHDO, on an emergency basis (pursuant to City Code Sec 2-396). An agreement was
signed on October 30, 2008, between the City and MBCDC. MBCDC will apply this allocation to fill the funding gap in the
rehabilitation of the Allen House, located at 2001 Washington Avenue. This building will provide 39 units of rental housing
to income qualified elderly recipients and has received City Redevelopment funding for acquisition, City CDBG facade
improvement funding, and private financing.
Furthermore, for every project MBCDC develops, a separate ownership entity is created. In the case of The Allen House,
MBCDC: The Allen, LLC. a Florida not-for-profit limited liability company, was created to own the property. However,
funding allocations were awarded to MBCDC, snot-for-profit Florida corporation, which is the sole member of MBCDC:
The Allen, LLC. Therefore, an assignment of the Agreement from MBCDC, Inc. to MBCDC: The Allen, LLC., is necessary
to ensure the City is contracting directly with the legal owner of the property in question.
Advisory Board Recommendation:
On 11 /19/08 the Loan Review Committee unanimously retroactively approved the Agreement for allocation of HOME funds
to MBCDC for the rehabilitation of The Allen House Apartments.
Financial Information:
Source of Funds: Amount Account Approved
1 $192,481 151-5235
2
OBPI Total
Financial Impact Summary:
Gi clerk's Office Le islative Trackin
Anna Parekh
Sign-Offs:
Department Director Assistant ity Ma ger City Manager
Anna Parekh Hilda Fernandez
i :w~tNUA~UUa~uecember 7O~GOnsentUloME 2006 Allocation The Allen &Cfmmary.doc / /
AGENDA ITEM ~ ~"
„~ MI~MIBEACH DATE ~"" ~-~
m MIAMIBEACH
City of Miami Beach, 1700 Convention Center Drive, Miami Beach, Florida 33139, vaww.miamibeachfl.gov
COMMISSION MEMORANDUM
TO: Mayor Matti Herrera Bower and Members of the City ommission
FROM: Jorge M. Gonzalez, City Manager
DATE: December 10, 2008
SUBJECT: A RESOLUTION OF THE MAYOR AND THE CITY COMMISSION
RETROACTIVELY APPROVING THE ATTACHED HOME
INVESTMENT PARTNERSHIPS (HOME) PROGRAM AGREEMENT
BETWEEN THE CITY OF MIAMI BEACH AND MIAMI BEACH
COMMUNITY DEVELOPMENT CORPORATION, A FLORIDA NOT-
FOR-PROFIT CORPORATION (MBCDC), IN THE AMOUNT OF
$192,481 OF HOME PROGRAM FUNDS FROM FISCAL YEAR
2006/2007 TO CONTINUE AN AFFORDABLE HOUSING
REHABILITATION PROGRAM AND PROVIDE RENTAL HOUSING
FOR INCOME-ELIGIBLE PARTICIPANTS IN THE ALLEN HOUSE
APARTMENTS, LOCATED AT 2001 WASHINGTON AVENUE, MIAMI
BEACH, FLORIDA; FURTHER APPROVING AONE-TIME ONLY
ASSIGNMENT OF THIS AGREEMENT TO MBCDC: THE ALLEN, LLC,
A NOT-FOR-PROFIT ENTITY CREATED BY MBCDC AS A
SUCCESOR IN INTEREST IN TITLE TO THE PROPERTY LOCATED
AT 2001 WASHINGTON AVENUE, MIAMI BEACH, FLORIDA.
ADMINISTRATION RECOMMENDATION
Adopt the Resolution.
ANALYSIS
The City of Miami Beach has received an annual allocation of HOME funds from the U.S.
Department of Housing and Urban Development (HUD) since 1992 for the purpose of
expanding the supply of housing for persons meeting the income criteria of the HOME
Program. The HOME Program requires the City, in its capacity as a participating jurisdiction,
to set aside a minimum of 15 percent of its annual allocation for a particular type of not-for-
profit organization called a Community Housing Development Organization (CHDO). The
CHDO is required to use these funds for housing development activities in which the CHDO
is the owner, sponsor, or developer of the housing. MBCDC was officially certified and
designated as a CHDO by HUD in 1993 and continues to be the City's Certified CHDO.
On July 12, 2006, the Mayor and City Commission approved Resolution No. 2006-26253,
adopting the City's One-Year Action Plan for Federal funds for FY 2006/2007, which
included the budget for the HOME Investment Partnership (HOME) Program. This budget
included an inadvertently uncommitted $192,481 of funding to provide assistance for
rehabilitation initiatives to upgrade the housing stock in the City of Miami Beach.
Page 2 of 2
HOME 2006 Funds
HUD funds must be committed within 24 months after the last day of the month in which
HUD notifies the participating jurisdiction of HUD's execution of the HOME Investment
Partnership Agreement; otherwise HUD can reduce or recapture funding. HUD officially
notified the City of Miami Beach of its 2006/2007 allocation on October 4, 2006. As such,
the funds had to be allocated by the City by no later than October 31, 2008. On October 28,
2008, City staff requested an extension of time from HUD within which to formally allocate
the uncommitted $192,481 HOME funds from FY 2006/2007. HUD rejected the City's
request for an extension of time and informed staff that the funds were in jeopardy of being
recaptured if an agreement was not executed by October 31, 2008.
In an effort to keep these funds within the City, and after conferring with the City Attorney's
Office, the funds were allocated to MBCDC, the City's Certified CHDO, on an emergency
basis (pursuant to City Code Sec 2-396). An agreement was signed on October 30, 2008
between the City and MBCDC.
MBCDC will apply this allocation to fill the funding gap in the rehabilitation of the Allen
House, located at 2001 Washington Avenue. This building will provide 39 units of rental
housing to income qualified elderly recipients and has received City Redevelopment funding
for acquisition, City CDBG facade improvement funding, and private financing.
For every project MBCDC develops, a separate ownership entity is created. In the case of
The Allen House, MBCDC: The Allen, LLC. a Florida not-for-profit limited liability company,
was created to own the property. However, funding allocations were awarded to MBCDC, a
not-for-profit Florida corporation, which is the sole member of MBCDC: The Allen, LLC.
Therefore, an assignment of the Agreement from MBCDC, Inc. to MBCDC: The Allen, LLC.,
is necessary to ensure the City is contracting directly with the legal owner of the property in
question.
CONCLUSION
The Administration recommends that the Mayor and City Commission of the City of Miami
Beach, Florida, authorize the ratification of the HOME Investment Partnership Program
(HOME) Agreement, between the City of Miami Beach and MBCDC, providing $192,481
from Fiscal Year 2006/2007 HOME funds for rehabilitation of the Allen House which will
provide affordable housing to income eligible elderly participants, and further authorize
execution of a one-time only assignment of this agreement to MBCDC: The Allen, LLC, a
not-for-profit entity created by MBCDC as successor in interest in title to the property located
at 2001 Washington Avenue, Miami Beach, Florida.
JMG/HMF/AP
T:\AGENDA\2008\December 10\Consent\HOME 2006 Allocation The Allen Memo.doc
HOME PROGRAM AGREEMENT
THIS AGREEMENT, entered into this 30 day of October, 2008, by and between the CITY OF
MIAMI BEACH, a Florida municipal corporation, having its principal office at 1700 Convention
Center Drive, Miami Beach, Florida, (hereinafter referred to as the City), and the MIAMI BEACH
COMMUNITY DEVELOPMENT CORPORATION, anot-for-profit Florida corporation, with offices
located at 945 Pennsylvania Avenue, Miami Beach, Florida (hereinafter referred to as "MBCDC").
WITNESSETH:
WHEREAS, on February 18,1992, the Citywas designated bythe United States Department
of Housing and Urban Development (HUD) as a participating jurisdiction for the receipt of funds as
provided under the HOME Investment Partnerships Program under 24 CFR PART 92, as amended
(HOME Program); and
WHEREAS, the City has entered into an agreement with HUD for the purpose of conducting
an affordable housing program with federal financial assistance under the HOME Program; and
WHEREAS, on April 8, 1993, the Mayor and City Commission approved Resolution No.
93-20756, designating Miami Beach Community Development Corporation (MBCDC) as a qualified
Community Housing Development Organization (CHDO) under the HOME Program; and
WHEREAS, the City has determined the necessity for providing affordable housing in the
City through the Fiscal Year 2006/2007 One-Year Action Plan for Federal funds, adopted by
Resolution No. 2006-26253 on July 12, 2006; and
WHEREAS, MBCDC warrants and represents that it possesses the legal authority to enter
into this Agreement, by way of a resolution, motion, or similar action that has been duly adopted or
passed as an official act of the MBCDC governing body, authorizing the execution of this
Agreement, including all understandings and assurances contained herein, and authorizing the
person identified as the official representative of MBCDC to actin connection with this Agreement
and to provide such additional information as maybe required; and
WHEREAS, it is acknowledged and agreed that funds to be granted to MBCDC derive from
Federal funds appropriated to the City by HUD for the uses and purposes herein referred to and,
accordingly, it is acknowledged and agreed that this Agreement is entered into in compliance by
MBCDC with all applicable provisions of Federal, State and local laws, statutes, rules and
regulations.
NOW, THEREFORE, in consideration of the mutual promises contained herein, the parties
hereto agree as follows:
ARTICLE I
DEFINITIONS
As used in this Agreement the terms listed below shall have the following meanings as defined in
the HOME Investment Partnerships Program Final Rule, 24 CFR Part 92, and any amendments
thereto:
(a) HOME Program: HOME Investment Partnerships Program, Final Rule, 24 CFR Part 92, as
amended;
Page 1 of 18
(b) HUD: United States Department of Housing and Urban Development or any successor
agency;
(c) CHDO: Community Housing Development Organization as defined in the HOME Program;
(d) Funds: HOME Program funds;
(e) HOME Assisted Units: A term that refers to the number of units in a project assisted with
HOME Program funds for which rent, occupancy, and resale/recapture restrictions apply.
(f) Project: One or more buildings on a single site or multiple sites that are under common
ownership, management, and financing and are to be assisted with HOME funds as a single
undertaking. For the purposes of this Agreement, the "Project" referenced herein shall refer
to the Allen House Apartments, located 2001 Washington Avenue.
ARTICLE II
ALLOCATION OF HOME FUNDS
In consideration for the performance by MBCDC of its role and responsibilities set forth in this
Agreement, the City will provide One Hundred Ninety-Two Thousand, Four Hundred Eighty One
Dollars ($192,481) (Funds), from its Fiscal Year 2006/2007 HOME allocation to MBCDC to be used
for eligible CHDO project that provides for the rehabilitation of the apartment building know as the
Allen House Apartments, located at 2001 Washington Avenue, Miami Beach, that will provide 39
units of rental housing for income qualified persons (the Project). MBCDC will rehabilitate the Project
as more fully described in the Scope of Services (Exhibit A) and Budget (Exhibit B) attached hereto.
MBCDC will maintain required HOME Program rent and occupancy limitation fora minimum period
of 30 years (the Affordability Period).
ARTICLE III
PROCEEDS FROM HOME INVESTMENT
In accordance with the HOME Final Rule, as amended, at 24 CFR PART 92.300(a)(2), MBCDC may
retain the proceeds resulting from the CHDO's investment of its CHDO set aside funds for use in
other housing activities which benefit low-income families. However, any recapture of HOME funds
for housing not meeting the affordability requirements of 24 CFR PART 92.254(a)(5)(ii), will be
considered Program income and will be repaid in accordance with the requirements of 24 CFR
PART 92.503.
ARTICLE IV
SPECIAL PROVISIONS APPLICABLE TO FUNDS
PROVIDED UNDER THE HOME PROGRAM
MBCDC expressly agrees to the following terms and conditions in conformity with the HOME
Program:
(a) Repayment of Funds. The Funds (which definition shall include the allocation of
any additional funds that may be provided by the City in the future as a result of an amendment or
modification of this Agreement) shall be repaid in their entirety if the Project HOME units do not meet
the affordability requirements for the required time period in accordance with the terms of the
Affordability Period, this Agreement and the HOME Program. Any violation of these requirements
may, at the City's option, result in the entire amount of the Funds, as indicated in Article II or as
Page 2 of 18
subsequently amended or modified, being returned and/or otherwise repaid by MBCDC to the City,
and same shall be considered and treated as an event of default resulting in the City's termination
for cause of the Agreement, pursuant to Article XXVI herein. The City reserves the right to review
the affordability requirements, as set forth herein. Concurrent with its execution of this Agreement,
MBCDC shall execute a Mortgage and Note against the property at 2001 Washington Avenue,
Miami Beach, FL, in the format provided by the City, incorporating the terms of this article, which
shall be recorded in the Official Records of Miami-Dade County Florida. The affordability
requirements and the Affordability Period shall apply without regard to the term of any loan or
mortgage or the transfer of ownership. They must be imposed by deed restrictions, covenants
running with the land, or other mechanisms approved by HUD, except that the affordability
restrictions may terminate upon foreclosure or transfer in lieu of foreclosure.
(b) Rent Limitation. HOME assisted rental units will bear rents in accordance with 24 CFR
92.252, as published from time-to-time by HUD. The City shall provide a HOME Program rent
schedule annually to MBCDC.
(c) Rent schedule and utility allowances. In accordance with 24 CFR 92.252(b)(c) and
(d), the City must review and approve rents and the monthly utility allowances proposed by the
MBCDC prior to initial occupancy. MBCDC must re-examine and document the income of each
tenant living in the HOME assisted units annually. The maximum monthly rent must be recalculated
by MBCDC and reviewed and approved by the City annually. Any increase in rents for HOME-
assisted units is subject to the provisions of outstanding leases and, in any event, the MBCDC must
provide the tenant with not less than 30 days written notice before implementing any rent increase.
(d) MBCDC shall comply with all applicable federal regulations as they may apply to
restrictions and limitations regarding real property under MBCDC's control acquired or improved in
whole or in part with HOME funds.
(e) The Project must provide safe, sanitary, and decent residential housing for income
eligible tenants (i.e., persons whose income is within specific income levels set forth by HUD).
(f) Income Targeting. MBCDC shall maintain written documentation that conclusively
demonstrates that the Project assisted in whole or in part with HOME funds provides benefit tovery-
lowincome households (annual income does not exceed 50 percent of the median family income for
the area) and low-income households (annual income does not exceed 80 percent of the median
income for the area) as required.
(g) Records: MBCDC shall maintain all records sufficient to meet the requirements of 24
CFR 92.508(a)(2) Program Records, 92.508(a)(3) Project Records. 92.508(a)(5) (other Federal
requirements records,) 92.508(a)(6) program administration records. All records required herein
shall be retained and made accessible as provided in 24 CFR 92.508 (c) and (d) and Florida
Statutes Chapter 119.
(i) Property Standards. For the duration of this Agreement and any amendments hereto,
housing that is assisted with HOME funds, must meet all applicable local codes, rehabilitation
standards, ordinances and zoning ordinances at the time of project completion. The City shall
conduct annual or bi-annual, as required, on-site inspections of the Project to assure compliance
with housing codes. The City may select a sample of the units in the Project to satisfy the inspection
requirements.
Q) Environmental Review. For the Project described in the Scope of Services (Exhibit A),
attached hereto, MBCDC shall obtain a Phase I, Environmental Assessment for the project, and
Page 3 of 18
agree to mitigate any hazardous conditions identified therein.
(k) Affirmative Marketing. In order to provide persons in the housing market area with a
range of housing choice, regardless of race, color, religion, sex, handicap, familial status, or national
origin, MBCDC agrees to administer the HOME Program in a manner that will affirmatively further
the purposes of Title VI of the Civil Rights Act of 1964 at 24 CFR 1, the Fair Housing Act at 24 CFR
100 and Executive Order 11063 at 24 CFR 107. MBCDC will submit its written procedures that
implement these requirements for review and approval by the City.
(I) Tenant and Participant Protection. MBCDC agrees that the lease to be executed with
the tenants of rental housing will be in accordance with 24 CFR Part 92.253. Furthermore, if HOME
assistance is provided to a CHDO, the CHDO must adhere to a fair lease and grievance procedure
approved by the City and provide a plan for and follow a program of tenant participation in
management decisions (24 CFR Part 92.303).
(m) CHDO Capabilities. MBCDC, as a CHDO, agrees that it will function as an owner of
the Project and that it shall have effective management control.
(n) Change in Status. MBCDC agrees to advise the City in writing within thirty (30) days of
any organizational, operational or legal status changes made by MBCDC that affect documents that
were submitted by MBCDC to obtain CHDO status.
ARTICLE V
ELIGIBLE COSTS
MBCDC agrees that eligible costs for the Project under this Agreement are limited to those
eligible costs as outlined in 24 CFR Part 92.206 of the HOME Program.
ARTICLE VI
METHOD OF PAYMENT
The Funds shall be used by MBCDC solely for rehabilitation of the Project.
(2) Any payment due under the terms of this Agreement maybe withheld pending the receipt
and approval by the City of all reports and documents which MBCDC is required to submit to the City
pursuant to the terms of this Agreement or any amendments thereto.
(3) No payments will be made without evidence of appropriate insurance required by this
Agreement. Such evidence must be on file with the City.
(4) MBCDC understands and agrees that disbursement requests for funds under this
Agreement are only to be requested when such funds are needed for payment of eligible costs. The
amount of each request must be limited to the amount needed.
ARTICLE VII
SUBCONTRACTS
(a) MBCDC shall include a statement in all subcontracts that it executes that the subcontractor
shall hold the City harmless against all claims of whatever nature arising out of the subcontractor's
performance of work under this Agreement to the extent allowed by law.
Page 4 of 18
(b) If MBCDC subcontracts, a copy of the executed subcontract must be forwarded to the City
within ten (10) days after execution.
ARTICLE VIII
CONDITIONS OF SERVICES
(a) As a condition of the services and obligations contemplated by this Agreement, MBCDC
agrees to comply with the regulations of the HOME Program.
(b) MBCDC agrees to comply with the requirements of Executive Orders 11625 and 12432
concerning Minority Business Enterprise and 12138 Women's Business Enterprise which
encourage the use of minority and women's business enterprises, to the maximum extent possible,
in connection with HOME-funded activities.
(c) MBCDC agrees to complywith the Displacement, Relocation, and Acquisition requirements
in accordance with the Uniform Relocation Assistance and Real Property Acquisition Policies
Act of 1970 (URA) (42 U.S.C. 4201-4655) and 49 CFR Part 24.
(d) MBCDC agrees to comply with all of the following federal laws, executive orders and
regulations pertaining to fair housing and equal opportunity:
(1) Title VI of the Civil Rights Act of 1964, As Amended (42 U.S.C. 2000d) -- States
that no person maybe excluded from participation in, denied the benefits of, or subjected to
discrimination under any program or activity receiving federal financial assistance on the
basis of race, color, or national origin. Its implementing regulations may be found in 28 CFR
Part 1.
(2) Title VIII of the Civil Rights Act of 1968, As Amended the "Fair Housing Act" (42
U.S.C. 3601) and its implementing regulations at 24 CFR Part 100-115 -- Prohibits
discrimination in the sale or rent of units in the private housing market against any person on
the basis of race, color, religion, sex, national origin, familial status or handicap.
(3) Equal Opportunity in Housing (Executive Order 11063, As Amended by Executive
Order 12259) and implementing regulations at 24 CFR Part 107 --Prohibits discrimination in
housing or residential property financing related to any federally assisted activity against
individuals on the basis of race, color, religion, sex or national origin.
(4) Age Discrimination Act of 1975, As Amended (42 U.S.C. 6101) and its
implementing regulations at 24 CFR Part 146 -- Prohibits age discrimination in programs
receiving federal financial assistance.
(5) Equal Employment Opportunity, Executive Order 11246, As Amended and its
implementing regulations at 41 CFR Part 60 --Prohibits discrimination against any employee
or applicant for employment because of race, color, religion, sex, or national origin.
Provisions to effectuate this prohibition must be included in all construction contracts
exceeding $10,000.
(e) MBCDC agrees to comply with the requirements of Section 3 of the Housing and Urban
Development Act of 1968 (12 U.S.C. 1701 u) -which requires that, to the greatest extent feasible,
opportunities for training and employment arising from HOME will be provided to low-income
persons residing in the program service area, and, to the greatest extent feasible, contracts forwork
to be performed in connection with HOME will be awarded to business concerns which are located
in or owned by persons residing in the program service area.
Page 5 of 18
(f) MBCDC will ensure that all units in a project assisted with HOME funds comply with the
Lead Based Paint Poisoning Prevention Act (42 U.S.C. 4821, et) and its implementing regulations
at 24 CFR PART 35.
(g) MBCDC agrees to comply with the Federal Labor Standards Provisions, as described in
HUD Handbook 1344-1 (Federal Labor Standards Compliance in Housing and Community
Development Programs) -- Applies to all projects with 12 or more HOME-assisted units, regardless
of whether HOME funds are used for construction or other costs.
ARTICLE IX
TERM OF AGREEMENT
This Agreement shall become effective on October 30, 2008, and shall terminate at the conclusion
of the 30 year Affordability Period as specified in 24 CFR 92.252 (affordable rental housing).
ARTICLE X
TERMINATION
The City and MBCDC agree that this Agreement may be terminated in whole or in part, for cause,
(as defined in Article XXVI herein and in accordance with the provisions of 24 CFR Part 85.43) or for
convenience (as defined in Article XXVII and in accordance with the provisions of 24 CFR, Part
85.44). A written notification shall be required at least thirty (30) days prior to the effective date of
such termination, and shall include the reason for the termination (if for cause), the effective date,
and in the case of a partial termination, the actual portion to be terminated.
ARTICLE XI
AMENDMENTS
Any alterations, variations, modifications or waivers of this Agreement shall only be valid when they
have been reduced to writing and duly signed by both parties hereto. Any changes which do not
substantially change the scope of the Agreement or increase the total amount payable under this
Agreement, shall be valid only when reduced to writing and approved and signed by the City,
through the City Manager, and MBCDC.
ARTICLE XII
CONFLICT OF INTEREST
(a) MBCDC shall complywith the standards contained in 24 CFR Part 92.356 which states that
no owner, developer or sponsor of a project assisted with HOME funds (or officer, employee, agent
or consultant of the owner, developer or sponsor) whether private for profit ornon-profit (including a
CHDO when acting as an owner, developer or sponsor) may occupy aHOME-assisted affordable
housing unit in a project. This provision does not apply to an owner-occupant of single- family
housing or to an employee or agent of the owner or developer of a rental housing project who
occupies a HOME assisted unit as the project manager or maintenance worker. Exceptions maybe
granted by the City in accordance with 24 CFR Part 92.356(f)(2).
(b) MBCDC shall disclose any possible conflicts of interest or apparent improprieties of any
party that is covered by the above standards. MBCDC shall make such disclosure in writing to the
City immediately upon MBCDC's discovery of such possible conflict. The City will then render an
opinion, which shall be binding on all parties.
(c) Related Parties. MBCDC shall report to the City the name, purpose, and any other relevant
information in connection with any related-party transaction. This includes, but is not limited to, a
Page 6 of 18
for-profit or nonprofit subsidiary or affiliate organization, an organization with overlapping Board of
Directors, and an organization for which MBCDC is responsible for appointing memberships.
MBCDC shall report this information to the City upon forming the relationship or, if already formed,
shall report it immediately.
ARTICLE XIII
INDEMNIFICATION AND INSURANCE
MBCDC shall indemnify and hold harmless the City from any and all claims, liabilities, losses, and
causes of action which may arise out of an act, omission, negligence or misconduct on the part of
MBCDC or any of its agents, servants, employees, contractors, patrons, guests, clients, or invitees.
MBCDC, shall pay all claims and losses of any nature whatsoever in connection therewith and shall
defend all suits in the name of the City, when applicable, and shall pay all costs and judgements
which may issue thereon.
MBCDC shall provide a General Liability Policy with coverage for Bodily Injury and Property
Damage, in the amount of $500,000 per occurrence (the policy must include coverage for
contractual liability to cover the above indemnification); and the City of Miami Beach shall be named
as an additional insured followed by the statement: "This coverage is primary to all other
coverage carried by the City covering this specific agreement only." MBCDC shall hold proof
of Workers' Compensation Coverage as per statutory limits of the State of Florida.
Automobile and vehicle coverage shall be required when the use of automobiles and othervehicles
are involved in any way in the performance of the Agreement.
MBCDC shall submit to the Cityan ORIGINAL Certificate of Insurance.
All insurance coverage shall be approved by the City's Risk Manager prior to the release of any
funds under this Agreement. Further, in the event evidence of such insurance is not forwarded to
the City's Risk Manager within thirty (30) days after the execution of this Agreement, this Agreement
shall become null and void, and the City shall have no obligation under the terms thereof unless a
written extension of this thirty (30) day requirement is secured from the Risk Manager.
ARTICLE XIV
REPORTS
(1) Progress Reports. Owner agrees to submit monthly progress reports to the City, describing
the status of the Project and achievement of objectives as provided herein and in the Scope of
Services (Exhibit A) and Budget (Exhibit B), attached hereto. The progress reports shall be
submitted no later than ten days after the end of each month until such time as all funds are
expended or, for rental projects, until the Project is fully occupied.
It will be the responsibility of Owner to notify the City in writing, of any actions, law, or event,
that will impede or hinder the completion projects and activities as provided in this Agreement. After
such notification, the City will take whatever actions it deems appropriate to ensure the success of
the program.
(2) Tenant and Rent Schedule Certification.
a. Owner shall submit to the Cityfor approval the proposed rents for the HOME units
and, if applicable, the monthly allowances for utilities and services to be paid by the tenant. The City
shall approve submitted rents if such rents comply with applicable Federal standards, or if HUD has
Page 7 of 18
approved same.
b. MBCDC shall provide the City with the initial tenant list, and any and all subsequent
updates, amendments and modifications thereto, with documentation for all tenants in the HOME
units confirming family size, income, financial classification, ethnicity, HOME rents charged and
other information the City may require to fulfill its reporting requirements to HUD. This report will
continue to be required throughout the Affordability Period hereunder. The initial report shall be due
within thirty (30) days of Project lease-up.
c. Annually, MBCDC shall deliver to the City's Housing and Community Development
Division, by October 31 st of each calendar year, its signed report in form and substance acceptable
to the City, to include names of tenants, unit type, family size and income, rents charged, and
occupancy/vacancy factor of each unit for the prior fiscal year (October 1st through September
30th). The report will continued to be required throughout the Affordability Period hereunder
beginning on the date of issuance of a Final Certificate of Completion for the project.
(3) Other reports as may be required by the City to demonstrate compliance with any of the
terms of this Agreement.
If the required reports described above are not submitted to the City or are not completed in the
manner acceptable to the City, the City may withhold further payments until they are completed or
may take any other action as the City may deem appropriate.
ARTICLE XV
AUDIT AND INSPECTIONS
At any time during normal business hours and as often as the City and/or the comptroller of the
United States may deem necessary, there shall be made available to the City and/or representatives
of the comptroller to audit, examine and make audits of all contracts, invoices, materials, payrolls,
records of personnel, conditions of employment and other data relating to all matters covered by this
Agreement. If during the course of a monitoring, the City determines that any payments made to
MBCDC do not constitute an allowable expenditure, the City will have the right to deduct/reduce
those amounts from their related invoices. MBCDC must maintain records necessary to document
compliance with the provisions of this Agreement.
ARTICLE XVI
COMPLIANCE WITH LOCAL. STATE AND FEDERAL REGULATIONS
MBCDC agrees to comply with all applicable Federal regulations as they may apply to program
administration. Additionally, MBCDC will complywith all State and local laws and ordinances hereto
applicable.
ARTICLE XVII
ADDITIONAL CONDITIONS
(a) It is expressly understood and agreed by the parties hereto that monies contemplated by this
Agreement to be used for the compensation, originated from grants of HOME Program funds and
must comply with all applicable HUD rules and regulations.
It is expressly understood and agreed that in the event of curtailment or non-production of said
federal grant funds, that the financial sources necessary to continue to pay MBCDC compensation
will not be available and that this Agreement will thereby terminate effective as of the time that it is
determined that said funds are no longer available.
Page 8 of 18
In the event of such determination, MBCDC agrees that itwill not look to, nor seek to hold liable, the
City or any individual member of the City Commission thereof personally for the performance of this
Agreement and all of the parties hereto shall be released from further liability each to the other
under the terms of this Agreement.
(b) Title and paragraph headings are for convenient reference and are not a part of this
Agreement.
(c) In the event of conflict between the terms of this Agreement and any terms or conditions
contained in any attached document, the terms in this Agreement shall rule.
(d) No waiver or breach of any provision of this Agreement shall constitute a waiver of any
subsequent breach of the same or any other provision hereof, and no waiver shall be effective
unless made in writing.
ARTICLE XVIII
ACCESS TO RECORDS
MBCDC, agrees to allow access during normal business hours to all financial records to authorized
Federal, State or City representatives and agrees to~provide such assistance as may be necessary
to facilitate financial audit by any of these representatives when deemed necessary to insure
compliance with applicable accounting and financial standards. MBCDC shall allow access during
normal business hours to all other records, forms, files, and documents which have been generated
in performance of this Agreement, to those personnel as may be designated by the City.
ARTICLE XIX
SEVERABILITY OF PROVISIONS
If any provision of this Agreement is held invalid, the remainder of this Agreement shall not be
affected thereby if such remainder would then continue to conform to the terms and requirements of
applicable law.
ARTICLE XX
PROJECT PUBLICITY
MBCDC agrees that any news release or other type of publicity pertaining to the project as stated
herein must recognize the City as the recipient funded by the United States Department of Housing
and Urban Development administered by the Housing and Community Development Division of the
Neighborhood Services Department and the entity which provided funds for the Project.
ARTICLE XXI
DRUG-FREE WORKPLACE
MBCDC agrees to administer, in good faith, a policy to ensure that it complies with the Drug-Free
Workplace Act requirements under 24 CFR Part 24, Subpart F, and will ensure that the workplace is
free from the unlawful manufacture, distribution, dispensing, possession or use of drugs or alcohol.
ARTICLE XXII
NONDELEGABLE
MBCDC agrees that the obligations undertaken pursuant to this Agreement shall not be delegated
or assigned to any other person or firm unless the City shall first consent in writing to the
performance or assignment of such service or any part thereof by another person or firm.
Page 9 of 18
ARTICLE XXIII
SUCCESSORS AND ASSIGNS
MBCDC agrees that this Agreement shall be binding upon the parties herein, their heirs, executors,
legal representatives, successors, and assigns.
ARTICLE XXIV
INDEPENDENT CONTRACTOR
MBCDC and its employees and agents shall be deemed to be independent contractors and not
agents or employees of the City, and shall not attain any rights or benefits under the Civil Service or
Pension Ordinances of the City, or any rights generally afforded classified or unclassified
employees; further he/she shall not be deemed entitled to the Florida Workers' Compensation
benefits as an employee of the City.
ARTICLE XXV
ASSIGNMENT
This Agreement may not be assigned or transferred by MBCDC without the prior written consent of
the City thereto. It shall be deemed a default of this Agreement in the event that MBCDC does not
strictly comply with the procedures established herein for obtaining City consent to assignment or
transfer as defined by this Article. In the event such consent is not obtained, in the manner
prescribed herein, the City shall be entitled to declare a default, cancel this Agreement, and resort to
its rights and remedies against the defaulting party. In the event MBCDC transfers an interest of
more than one (1 %) percent ownership in its stock by pledge, sale, or otherwise; or if MBCDC
makes an assignment for the benefit of its creditors, or uses this Agreement as security or collateral
for any loan; or if MBCDC is involved in any bulk transfer of its business or assets, then in that event
each of the foregoing actions shall also be deemed an assignment of this Agreement and shall
require the City's priorwritten consent. A merger, dissolution, consolidation, conversion, liquidation
or appointment of a receivership for MBCDC, shall be deemed an assignment of this Agreement
and will require the prior written consent of the City thereto.
ARTICLE XXVI
TERMINATION FOR CAUSE
The City may place MBCDC in default of this Agreement and may suspend or terminate this
Agreement, in whole or in part, for cause, as prescribed in Article X herein. "Cause" shall include
the following:
(a) MBCDC's failure to comply and/or perform in accordance with any of the terms and
conditions of this Agreement, or any Federal, State or local regulation.
(b) MBCDC's failure to maintain the insurance required by the City.
(c) Submitting any required report to the City which is late, incorrect, or incomplete in any
material respect after notice and reasonable opportunity to cure, as set forth in subparagraph (e)
hereof, has been given by the City to MBCDC.
(d) Implementation of this Agreement, for any reason is rendered impossible or infeasible.
(e) Failure to respond in writing within thirty (30) days of notice of same from City to any
concerns raised by the City, including providing substantiating documentation when requested by
the City;
Page 10 of 18
(f) Any evidence of fraud, waste or mismanagement as determined by the City's monitoring of
project(s) under this Agreement, or any violation of applicable HUD rules and regulations;
(g) MBCDC's insolvency or bankruptcy;
(h) An assignment or transfer of this Agreement or any interest therein which does not comply
with the procedures set forth in Article XXV herein;
(i) Failure to comply and/or perform in accordance with the affordability
requirements, and/or an unauthorized transfer of title to its HOME Projects.
If the default complained of is not fully and satisfactorily cured within thirty (30) days of receipt of
such notice of default to MBCDC, at the expiration of said thirty (30) day period (or such additional
period of time, as permitted by the City, in its sole discretion, as required to cure such default in the
event MBCDC is diligently pursuing curative efforts) this Agreement may, at the City's sole option
and discretion, be deemed automatically canceled and terminated, and the City fully discharged
from any and all liabilities, duties and terms arising out of, or accruing by virtue of the Agreement. In
the event of a default for cause, the City may, at its option, avail itself of any and all remedies
pursuant to 24 CFR Part 85.43, as amended from time to time, including suspension, in whole or in
part, of MBCDC's Funds, as set forth herein, and any other remedies that maybe legally available.
ARTICLE XXVII
TERMINATION FOR CONVENIENCE
Notwithstanding Article XXVI above, MBCDC herein consents that the City may terminate this
Agreement, in whole or in part, for convenience, as set forth in 24 CFR Part 85.44. In the event of
termination for convenience, MBCDC shall immediately return any unused funds (as of the date of
termination) to the City.
ARTICLE XXVIII
ADDITIONAL REMEDIES
In the event of a default and termination for cause, the City shall also be entitled to bring any and all
legal and/or equitable actions which it deems to be in its best interest, in Miami-Dade County,
Florida, in order to enforce the City's rights and remedies against the defaulting party. The City shall
be entitled to recover all costs of such actions, including reasonable attorney's fees. To the extent
allowed by law, the defaulting party waives its right to jury trial and its right to bring permissive
counterclaims against the City in any such action.
ARTICLE XXIX
MAINTENANCE AND RETENTION OF RECORDS
MBCDC agrees that it will maintain all records required pursuant to 24 CFR Part 92.508, in an
orderly fashion in a readily accessible, permanent and secured location, and that it will prepare and
submit all reports necessary to assist the City in meeting record keeping and reporting requirements
thereunder.
(1) Records shall be maintained for a period of five years after the closeout of Funds under this
Agreement except as provided herein (2), (3) and (4).
(2) If any litigation, claim, negotiation, audit or other action has been started before the regular
expiration date, the records must be retained until completion of the action and resolution of all
Page 11 of 18
issues which arise from it, or until the end of the regular period specified in paragraph (1), whichever
is later;
(3) Records regarding Project requirements that apply for the duration of the Affordability
Period, as well as the written agreement and inspection and monitoring reports, must be
retained for five years after the Affordability Period terminates;
(4) Records covering displacements and acquisition must be retained for at least five years after
the date by which the persons displaced from the property and all persons whose property is
acquired for the project have received the final payment to which they are entitled in accordance
with 24 CFR Part 92.353.
ARTICLE XXX
LIMITATION OF LIABILITY
The City desires to enter into this Agreement only if in so doing the City can place a limit on the
City's liability for any cause of action for money damages due to an alleged breach by the City of this
Agreement, so that its liability for any such breach never exceeds the sum of $192,481 less any
amounts actually distributed by the City to MBCDC. MBCDC hereby expresses its willingness to
enter into this Agreement with MBCDC's recovery from the City for any damage action for breach of
contract to be limited to a ma~amum amount of $192,481 less any amounts actually distributed by
the City to MBCDC. Accordingly, and notwithstanding any other term or condition of this Agreement,
MBCDC hereby agrees that the City shall not be liable to MBCDC for damages in an amount in
excess of $192,481, for any action or claim for breach of contract arising out of the performance or
non-performance of any obligations imposed upon the City by this Agreement. Nothing contained in
this paragraph or elsewhere in this Agreement is in any way intended to be a waiver of the limitation
placed upon the Citys liability as set forth in Florida Statutes, Section 768.28.
ARTICLE XXXI
VENUE
This Agreement shall be enforceable in Miami-Dade County, Florida, and if legal action is necessary
by either party with respect to the enforcement of any or all of the terms or conditions herein,
exclusive venue for the enforcement of same shall be in Miami-Dade County, Florida.
ARTICLE XXXII
ADDITIONAL CONDITIONS AND COMPENSATION
It is expressly understood and agreed by the parties hereto that monies contemplated by this
Agreement to be used for the compensation, originated from grants of federal HOME Investment
Partnerships Program funds, and must be implemented with all of the applicable rules and
regulation of the U.S. Department of Housing and Urban Development. It is expressly understood
and agreed that in the event of curtailment or non-production of said federal grant funds, that the
financial sources necessary to continue to pay the Provider compensation will not be available and
that this Agreement will thereby terminate effective as of the time it is determined that said funds are
no longer available. In the event of such determination, MBCDC agrees that it will not look to, nor
seek to hold liable, the City or any individual member of the City Commission thereof, personally for
the performance of this Agreement and all parties hereto shall be released from further liability each
to the other under the terms of this Agreement.
Page 12 of 18
ARTICLE XXXIII
ACCESSIBILITY LAWS COMPLIANCE
MBCDC agrees to adhere to and be governed by the following accessibility requirements:
(a) Architectural Barriers Act of 1968, As Amended (42 U.S.C.4151) and its implementing
regulations at 35 CFR Part 107 -- States that public (i.e., those intended to be accessible to the
general public) buildings and conveyances financed with federal funds are designed, constructed, or
altered to provide accessibility to the physically handicapped.
(b) Section 504 of the Rehabilitation Act of 1973 (29 U.S.C. 794) and implementing
regulations at 24 CFR Part 8 -- Prohibits discrimination in federally assisted programs on the basis
of handicap and imposes requirements to ensure that "qualified individuals with handicaps" have
access to programs and activities that receive federal funds.
(c) Title VIII of the Civil Rights Act of 1968, As Amended the "Fair Housing Act" (42 U.S.C.
3601) and its implementing regulations at 24 CFR Part 100-115.
MBCDC must complete and submit the City's Disability Non-Discrimination Affidavit (Affidavit), a
copy of which is attached hereto and incorporated herein as Exhibit C. In the event MBCDC fails to
execute the City's Affidavit, or is found to be in non-compliance with the provisions of the Affidavit,
the City may impose such sanctions as it may determine to be appropriate, including but not limited
to, withholding of payments to MBCDC under the Agreement until compliance and/or cancellation,
termination or suspension of the Agreement in whole or in part. In the event the City cancels or
terminates the Agreement pursuant to this Article, MBCDC shall not be relieved of liability to the City
for damages sustained by the City by virtue of MBCDC's breach of the Agreement.
ARTICLE XXXIV
NOTICES
All notices shall be sent to the parties at the following addresses:
City: Hilda M. Fernandez, Assistant City Manager
City of Miami Beach
1700 Convention Center Drive
Miami Beach, FL 33139
MBCDC: Roberto Datorre, President
.Miami Beach Community Development Corporation
945 Pennsylvania Avenue
Miami Beach, FL 33139
Page 13 of 18
with copies to: Annette Ayala
Housing and Community Development
City of Miami Beach
1700 Convention Center Drive
Miami Beach, FL 33139
or such address and to the attention of such other person as the City or MBCDC may from time to
time designate by written notice to the other.
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by
their duly authorized officials on the day and date first above indicated.
MIAMI BEACH COMMUNITY DEVELOPMENT CORPORATION,
a Florida not-for-profit corporation
ATTEST:
Autho zed igna cry
Roberto Datorre. President
Name, Title of Authorized Signatory
CITY OF MIAMI BEACH
a Florida Municipal corporation
ATTEST:
~~`'~ _
City Clerk
ut or' ed Signa ry
Jorge M. Gonzalez, City Manager
I do hereby certify that the above
and foregoing is a true and correct
copy of the origem~ al thereo0f
~n1Y~ rSila ens SSla L:J
CITY CLERK the City
of ~~ni Florida
BY ~~LA.t~A
Partnership Agreement.doc
Page 14 of 18
APPROVED AS TO
FORM & LANGUAGE
& FOR EXECUTION
~r. ~
~ 2$ ~
1 OR16 8
EXHIBIT A
SCOPE OF SERVICES
1. Address of Project: 2001 Washington Avenue
Miami Beach, FI 33139
2. Building and Site Characteristics:
The Allen Apartment Hotel was built in 1940, designed by architect Henry Hohauser. It is designated
Historic in the Miami Beach Historic Properties database, and it's considered an streamline moderne
building located within the Museum Historic District and the National Register Architectural district.
MBCDC acquired the property in 2007 and is now in the process of obtaining building permits as
well as financing to repair the structure and utilize it as an affordable housing project to House
Elderly residents.
3. Proposed Elements of Construction:
The proposed scope of work includes a new roof, new H/VAC unit, new kitchen cabinets for all units,
and other related rehabilitation work. Funds may also be used for allowable soft costs such as
permits, consulting and project administration fees.
Page 15 of 18
EXHIBIT B
BUDGET - Proforma 10/7/08 Attached
Page 16 of 18
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EXHIBIT C
CERTIFICATIONS
Page 17 of 18
CITY OF MIAMI BEACH
CERTIFICATION REGARDING LOBBYING
Name of Recipient: CITY OF MIAMI BEACH
Name of Sub-recipient: MIAMI BEACH COMMUNITY DEVELOPMENT CORPORATION
Grant Program Name: HOME PROGRAM
Funding Year : 2006/2007
Date: October 30, 2008
The undersigned certifies, to the best of his or her knowledge and belief, that:
No Federal appropriated funds have been paid or will be paid, by or on behalf of the undersigned,
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 any 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 any Federal contract, grant, loan, or
cooperative agreement.
If any funds other than Federal appropriated funds have been paid or will be paid to any person for
influencing or attempting to influence an officer or employee of any agency, a Member of
Congress, an officer or employee of Congress, or any employee of a Member of Congress in
connection with this Federal contract, grant, loan, or cooperative agreement, the undersigned shall
complete and submit Standard Form-LLL, "Disclosure Form to Report Lobbying", in accordance
with its instructions.
The undersigned shall require that the language of this certification be included in the award
documents for all sub-awards at all tiers (including sub-contracts, sub-grants, and contracts under
grants, loans, and cooperative agreements) and that all individuals receiving sub-awards shall
certify and disclose accordingly.
Name of Organization: Miami Beach Community Development Corporation
Signatur
/o ~~uo8'
Date
Roberto Datorre
Print Name of Authorized Signatory
President
Print Title of Authorized Signatory
CITY OF MIAMI BEACH
CERTIFICATION REGARDING DRUG-FREE WORKPLACE REQUIREMENTS
Name of Recipient: CITY OF MIAMI BEACH
Name of Sub-recipient: MIAMI BEACH COMMUNITY DEVELOPMENT CORPORATION
Grant Program Name: HOME PROGRAM
Funding Year : 2006/2007
Date: October 30, 2008
The Provider shall insert in the space provided below the site(s) expected to be used for the performance
of work under the grant covered by the certification:
Place of Performance (include street address, city, county, state, zip code for each site):
The Allen House Apartments
2001 Washington Avenue
Miami Beach, FL 33161
Name of Organization: Miami Beach Community Development Corporation
Signature
~ ~ ~aa lZoo ~
Date
Roberto Datorre
Print Name of Authorized Signatory
President
Print Title of Authorized Signatory
2
CITY OF MIAMI BEACH
ACKNOWLEDGEMENT OF DISABILITY NONDISCRIMINATION AFFIDAVIT
CONTRACT REFERENCE HOME PROGRAM. Fiscal Year 2006/2007
NAME OF ORGANIZATION Miami Beach Community Development Corporation
AUTHORIZED AGENT COMPLETING AFFIDAVIT Roberto Datorre
POSITION President PHONE NUMBER (305) 538-0090
I, Roberto Datorre, being duly first sworn state:
That the above named form, corporation or organization is in compliance with and agrees to
continue to comply with, and assure that any subcontractor, or third party contractor under this
project complies with all applicable requirements of the laws listed below including, but not limited
to, those provisions pertaining to employment, provision of programs and services, transportation,
communications, access to facilities, renovations, and new construction.
The Americans with Disabilities Act of 1990 (ADA): Pub. L. 101-336, 104 Stat 327, 42 U.S.C.
12101-12213 and 547 U.S.C. Sections 225 and 611 including Title I, Employment; Tittle II,
Public Services; Title III, Public Accommodations and Services Operated by Private Entities;
Title 1V, Telecommunications; and Title V, Miscellaneous Provisions.
The Rehabilitation Act of 1973: 29 U.S.C. Section 794.
The Federal Transit Act, as amended: 49 U.S.C. Section 1612.
The Fair Housing Act as amended: 42 U.S.C. Section 3601-3631.
Signatur
Date
t ~ 130 /Zoo
SUBSCRIBED AND SWORN TO (or affirmed) before me on
1 o J 3a I ~l d O d' by
(Date)
~, O $J ~ 2 7~ ~ ~ ~D /C /~- ~ He/She is personally known to me or has
(Affiant)
presented
(Type of identification)
G~/
(Sign tore of Notary)
~Ie,Cr.~~ e S ~- a V 1 /~Z1~,Q
(Print or Stamp Name of Notary)
Notary Public ~ (State) Notary Seal
as identification.
ay~ ~
",»~•, MERCEDES A. ROVIRO8A
(Serial Number) %a: '~ C~M~SStON ~ ~ 546085
;;.~„ ~; EXPIRES: August 28, 2010
RF,C~" BaidedTtsuNaWyPubleUrgorwrlMn
(Expiration Date)
The City of Miami Beach will not award a contract to any firm, corporation or organization that fails to complete
and submit this Affidavit with the firm, corporation or organization's bid or proposal or fails to have this Affidavit
on file with the City of Miami Beach.
CITY OF MIAMI BEACH
CERTIFICATION OF HOME PROGRAM-FUNDED CONSTRUCTION/REHABILITATION
PROJECTS
If the Provider anticipates using HOME funds for construction or rehabilitation, the following
federal and City of Miami Beach requirements must be acknowledged:
A. All construction or rehabilitation plans and specifications for the project must be approved by the city's
departments of Planning, Neighborhood Services, Public Works, Building, Code Compliance, and Fire. If the
project is located in the Miami Beach Architectural District, or affects a building listed or eligible for listing
on the National Register of Historic Places, all plans and specifications must be approved by the State
Historic Preservation Office (SHPO), in accordance with the Memorandum of Understanding between the
SHPO and the City.
B. The City shall not be obligated to pay any funds to the project prior to the completion by the City of an
environmental review of the project, and said review is approved by any government agencies as may be
required by law.
C. The Provider will assure all wages paid to construction workers by it or its subcontractors are in compliance
with federal, state and local labor requirements. The Provider agrees to include in the construction bid
specifications in connection with this agreement the applicable Federal Wage Determination assigned to this
project by HUD. The Provider must also inform his contractor/subcontractors that they will be required to
submit documents after acity-conducted pre-construction conference and prior to construction. Weekly
and/or monthly reports must be submitted thereafter, as required by the federal government.
D. The Provider agrees to comply with, and to assure that its subcontractors comply with, the federal Office of
Management and Budget (OMB) Circular Number A-102 Attachment E for programs funded in whole or in
part by HOME PROGRAM funds; with federal OMB Circular A-102 Attachment O for the procurement of
supplies, equipment, construction and services; and with Federal Management Circular A-87; or any other
applicable OMB circular.
E. Pursuant to Section 109 of the Act, the Provider specifically agrees that no person shall be denied the benefits
of the program on the grounds of race, color, sex, religion or national origin.
F. The Provider agrees, on its own behalf and on behalf of its contractors and subcontractors, to take affirmative
action in attempting to employ low income and minority persons, as mandated by law.
G. As required by OMB Circular Number A-102, and by Florida Statutes Section 287.055, professional services
must be competitively selected. The competitive selection process must include a public advertisement;
issuance of a request for proposal and a competitive review based on uniform criteria. Selection criteria must
consider the basic qualifications, professional competence, experience and suitability of each firm. Fees for
professional services must be requested as a fixed sum and not stated as a percentage of construction costs.
H. All documents, bid specifications, notices and construction drawings must be submitted for the review and
approval of the Neighborhood Services Department prior to public advertisement.
I. The bidding process for construction contracts must include a formal advertisement, published in The Miami
Review, Dodge Reports and The Miami Builder's Exchanee. This announcement must include the following:
1. The date, time and place that bid documents are available, and the same information for any pre-
bid conferences and receipt of bids.
2. The requirement of bid surety in the amount of ten percent (10%) of the bid, and a performance
and payment bond equal to 100% of the award.
4
3. A standard statement regarding the "in whole or in part" federal funding of the project and the
various applicable federal regulations.
J. The City reserves the right to be present at the time of bid openings. If City HOME Program monies are the
sole funding source, the City may require that bids be received and opened by the City's Procurement
Department.
K. The Provider agrees to submit to the City's Neighborhood Services Department all documentation of the steps
followed in the selection of professional services and construction contracts.
L. The Provider agrees to specify a time of completion and include a liquidated damage clause in all
construction contracts. Cost plus a percentage of cost, and percentage of construction cost contracts will not
be permitted.
M. If the Provider is awarded HOME Program funds, other conditions and requirements will be specified in the
funding agreement.
N. The Provider agrees that it will not start construction until an official "Notice to Proceed" has been issued.
O. Pursuant to 570.608 of the HOME Program Regulations, and the new provisions in the Economic and
Community Development Act of 1974 as amended, the Provider agrees to comply with the inspection,
notification, testing and abatement procedures concerning lead-based paint.
I hereby acknowledge that I have read the specific requirements contained in this
Certification, and that eligibility of my organization's project depends upon compliance with the
requirements contained in this document.
Name of Organization: Miami Beach Community Development Corporation
Si
io%/~~
Date
Roberto Datorre
Print Name of Authorized Signatory
President
Print Title of Authorized Signatory
5
CERTIFICATION OF
LEAD BASED PAINT REQUIREMENTS
APPLICABILITY:
A. The lead based paint rule applies to HOME Program funded housing activities involving construction,
purchase and rehabilitation.
B. The following housing rehabilitation activities are excepted:
1. Emergency repairs (but not lead based paint-related emergency repairs)
2. Weatherizing
3. Water and/or sewer hookups
4. Installation of security devices
Facilitation of tax exempt bond issuances for funds
Other single-purpose activities that do not include physical repairs or remodeling of
applicable surfaces
Other activities that do not involve applicable surfaces and do not exceed $3,000 per unit.
INSPECTION AND TESTING REQUIREMENTS:
The Provider shall be required to test the lead content of chewable surfaces of an apartment building
to be rehabilitated, if there is a family residing in one of the units with a child under seven years of age with
an identified elevated blood level condition (concentration of lead in blood of 25 micrograms per deciliter or
greater) and the building was constructed prior to 1978.
Chewable surfaces are defined as all exterior surfaces of a residential structure, up to five feet from
the floor or ground, such as: a wall, stairs, deck, porch, railing, windows or doors that are readily accessible
to children under seven years of age, and all interior surfaces of a residential structure.
Lead content shall be tested by using an x-ray fluorescence analyzer or other method approved by
HiJD. Test readings of 1 mg/cm or higher shall be considered positive for presence of lead based paint.
REQUIRED TREATMENT:
Treatment of lead based paint conditions must be included as part of the proposed rehabilitation work.
All chewable surfaces in any room found to contain lead based paint must be treated before final inspection
and approval of work. Similarly, all exterior chewable surfaces must be treated when they are found to
contain lead based paint.
Minimum treatment involves covering or removing the painted surfaces. Washing and repainting
without thorough removal or covering does not constitute adequate treatment. Covering can be achieved by
adding a layer of gypsum wallboard or fiberglass cloth barrier. Depending on the wall condition,
permanently attached, non-strippable wallpaper may be applied. Covering or replacing trim surfaces is also
permitted. Removal can be accomplished by scraping, heat treatment (infrared or coil type heat guns) or
6
chemicals. Machine sanding and propane torch use are not allowed.
I hereby acknowledge that I have read the specific requirements for lead based paint contained
in this Certification, and understand that my organization's project eligibility depends upon
compliance with the requirements contained in this document.
Name of Organization: Miami Beach Community Development Corporation
Signature
~ o ~3v ~joo Sl
Date
Roberto Datorre
Print Name of Authorized Signatory
President
Print Title of Authorized Signatory
7
CITY OF MIAMI BEACH
CERTIFICATION OF RELIGIOUS ORGANIZATION REQUIREMENTS
In accordance with First Amendment of the U.S. Constitution - "church/state principles", HOME
Program assistance may not, as a general rule, be provided to primarily religious entities for any secular or
religious activities.
Therefore, the following restrictions and limitations apply to any provider which represents that it is,
or may be deemed to be, a religious or denominational institution or an organization operated for religious
purposes which is supervised or controlled by or operates in connection with a religious or denominational
institution or organization.
A religious entity that applies for and is awarded HOME Program funds for public service activities
must agree to the following:
It will not discriminate against any employee or applicant for employment on the basis of religion and
will not limit employment or give preference in employment to persons on the basis of religion;
2. It will not discriminate against any person applying for such public services on the basis of religion
and will not limit such services or give preference to persons on the basis of religion;
3. It will provide no religious instruction or counseling, conduct no religious worship or services, engage
in no religious proselytizing, and exert no other religious influence in the provision of such public
services;
4. The portion of a facility used to provide public .services assisted in whole or in part under this
Agreement shall contain no sectarian or religious symbols or decorations; and
The funds received under this Agreement shall not be used to construct, rehabilitate, or restore any
facility which is owned by the Provider and in which the public services are to be provided. However,
minor repairs may be made if such repairs are directly related to the public services; are located in a
structure used exclusively for non-religious purposes; and constitute, in dollar terms, only a minor portion of
the HOME PROGRAM expenditure for the public services.
I hereby acknowledge that I have read the specific requirements contained in this Certification,
and that eligibility of my organization's project depends upon compliance with the requirements
contained in this document.
Name of Organization: Miami Beach Community Development Corporation
Signature
10 ~3~ ~~ ~
Date
Roberto Datorre
Print Name of Authorized Signatory
President
Print Title of Authorized Signatory
EXHIBIT D
AFFORDABILITY PERIODS AND HOME RENTS
HOME-assisted rental units carry rent and occupancy restrictions for varying length of
time, depending upon the average amount of HOME funds invested per unit:
ACTIVITY AVERAGE PER-UNIT HOME MINIMUM
AFFORDABILITY
$ PERIOD
Less than $15,000 /unit 5 years
Rehabilitation or Acquisition of Existing Housing $15,000 - $40,000 /unit
More than $40,000 /unit 10 years
15 years
Refinance of Rehabilitation Project Any $ amount 15 years
New Construction or Acquisition or New Any $ amount 20 years
Housing
Final FY 2009 FMRs By Unit Bedrooms
Efficiency One-Bedroom TWO Three-Bedroom Four-Bedroom
Bedroom
Final FY 2009 FMR $842 $953 $1,156 $1,479 $1,728
Page 18 of 18