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EDI Special Grant with The London House, LLC ?S 'Y 19 liop6o 3 ECONOMIC DEVELOPMENT INITIATIVE (EDI) SPECIAL PROJECT GRANT BETWEEN THE CITY OF MIAMI BEACH AND THE LONDON HOUSE, LLC This Agreement made and entered into this 1/ `d ay of MIL- , 2011, by and between the CITY OF MIAMI BEACH, a Florida municipal corporation having its principal office at 1700 Convention Center Drive, Miami Beach, Florida, 33139 (hereinafter referred to as "City "), and MBCDC: THE LONDON LLC, a not -for profit corporation whose sole member it Development r in M by it ri al office at is Miami Beach Community Corporation o (MBCDC) having its principal Y 9 p 945 Pennsylvania Avenue, Miami Beach, Florida, 33139 (hereinafter referred to as "Provider "). WHEREAS, Congressional Grants are authorized each year in the annual U.S. Department of Housing and Urban Development (HUD) appropriation and conference report or Congressional Record; and WHEREAS, Congress authorizes a specific level of funding to a designated grantee, to undertake a particular activity cited in the appropriation; and WHEREAS, on November 19, 2008, the City's Loan Review Committee recommended that the City Manager or his designee submit a HUD Economic Development Initiative (EDI) Special Project Grant application for the renovation of The London House Apartments, located at 1965 and 1975 Washington Avenue, Miami Beach, FL, two multi - family rental buildings that will provide housing to 30 income- qualified households; and WHEREAS, on December 10th, 2008, the Mayor and City Commission approved Resolution No. 2008 - 26954, approving and authorizing the City Manager or his designee to submit the grant application for funding, in an amount not to exceed $514,500, and further authorized the Mayor and the City Clerk to execute an agreement between HUD and the City, and an agreement between the City and MBCDC: The London LLC: and WHEREAS, the following agreement provides EDI funds, in the amount of $411,600, to MBCDC: The London LLC to rehabilitate The London House Apartments. NOW, THEREFORE, in consideration of the mutual benefits contained herein, the City and Provider agree as follows: Section 1. Agreement Documents: Agreement documents shall consist of this Agreement and three (3) attachments, all of which are incorporated by reference into this Agreement: • Attachment I - Statement of Work and contains a description of the Project. • Attachment II - Budget Summary. • Attachment III - Applicable Federal Regulations. • Attachment IV - US HUD /City of Miami Beach Grant Agreement Section 2. Statement of Work: The Provider agrees to implement the Project in accordance with Attachments I and II, and as summarized as follows: 1 The London House Apartments To rehabilitate the interior and exterior for the renovation of The London House Apartments, located at 1965 and 1975 Washington Avenue, Miami Beach, Florida, a two multi - family rental buildings that will provide housing to 30 income - qualified households. Section 3. Agreement Amount: The City agrees to make available FOUR HUNDRED ELEVEN THOUSAND SIX HUNDRED DOLLARS ($411,600.00) for use by the Provider during the term of the Agreement (hereinafter, the aforestated amount including, without limitation, any additional amounts included thereto as a result of a subsequent amendment(s) to the Agreement, shall be referred to as the "Funds "). Section 4. Alterations: Any proposed alterations in the Project including, without limitation, the Budget in Attachment II, shall first be submitted by provider, and must be reviewed and approved in writing, by the City Manager; which approval if granted at all, shall be at his /her sole reasonable judgment and discretion. Section 5. Method of Payment and Reporting Requirements: The Provider agrees to submit quarterly Project progress reports to the City throughout the Term of this Agreement. The Provider also agrees to submit, on September 30, 2015, a comprehensive final report covering the agreed -upon Project objectives, activities, and expenditures including, but not limited to, performance data on client feedback with respect to the goals and objectives outlined in Attachment I. Attachment III contains reporting forms to be used in fulfillment of this requirement. Other reporting requirements may be required by the City Manager in the event of Project changes; the need for additional information or documentation arises; and /or legislative amendments are enacted. The Provider shall be informed, in writing, if any changes become necessary. Reports and /or requested documentation not received by the due date shall be considered delinquent and may be considered by the City, at its sole discretion, as cause for default and termination of this Agreement, pursuant to Section 12 hereof and, in addition thereto, may be considered as cause for withholding and /or suspension of future EDI grant payments to Provider. Section 6. Monitoring: The City, at its discretion, shall schedule no less than one (1) annual on -site monitoring visit with the Provider to evaluate the progress of the Project, and /or to provide technical assistance. At the City's sole option, discretion, a desk top review of the activities may be conducted in lieu of an on- site visit if, and only if, the Provider has had a satisfactory on -site review in a previous Project year. Section 7. Additional Conditions and Compensation - It is expressly understood and agreed by the parties hereto that the Funds to be used by Provider, as contemplated by this Agreement, originate from EDI grant funds from HUD and must be implemented in full compliance with all of HUD's rules and regulations. It is expressly understood and agreed that in the event of curtailment or non - production of said Federal funds, the financial sources necessary to continue to pay the Provider all or any portions of the Funds contemplated herein will not be available, and that this Agreement will thereby automatically terminate effective 2 as of the time that it is determined by the City, in its sole discretion and judgment, that said Funds are no longer available. In the event of such termination, the Provider agrees that it will not look to, nor seek to hold the City, nor any individual member of the City Commission and /or City Administration, personally liable for the performance of this Agreement, and the City shall be released from and any further liability to Provider under the terms of this Agreement. Section 8. Compliance with Local, State and Federal Regulations - The Provider agrees to comply with all applicable Federal regulations as they may apply to Project administration and to carry out each activity in compliance with the laws and regulations as described in 24 CFR 570 Subpart K, as same may be amended from time to time. Additionally, the Provider will comply with all State and local (City and County) laws and ordinances hereto applicable. It shall be the Provider's sole and absolute responsibility to continually familiarize itself with any and all such applicable Federal, State, County, and City regulations, laws, and /or ordinances. Section 9. Restrictions for Certain Resident Aliens - Certain newly legalized alized alien s, as described in 24 CFR Part 49, are not eligible to apply for benefits under covered activities funded by the EDI Program. "Benefits" under this section means financial assistance, public services, jobs, and access to new or rehabilitated housing and other facilities made available under activities funded by the EDI Program. "Benefits" do not include relocation services and payments to which displaces are entitled by law. Section 10. Assignment /Subcontract: No part of this Agreement may be assigned or subcontracted without the prior written consent of the City, which consent, if given at all, shall be at the City's sole discretion and judgment. Section 11. Term: Provided all partners hereto have fully executed same, this Agreement shall be deemed to have commenced on January 1, 2011 (Commencement Date), and terminate on September 30, 2015, with the understanding that, at the end of the Term, the City Commission has the authority to reappropriate any remaining unused funds. Section 12. Termination of Agreement: 12.1 Termination for Convenience: The City and Provider agree that this Agreement may be terminated, for convenience and without cause, by the City, upon written notice to Provider, at least thirty (30) days prior to the effective date of such termination. In the event of such termination for convenience, the City shall cease any payments to Provider for costs resulting from obligations which were not properly incurred before the effective date of termination. Provider shall be solely responsible for immediately returning an unused or unapproved Funds as of the date of termination and shall also be solely responsible for submitting a final report, as provided in Section 5 hereof, detailing all Program objectives, activities and expenditures (up to the effective date of the termination). Said final report shall be due within five (5) working days following the effective date of termination. Upon timely receipt of Provider's final report, the City, at its sole discretion, shall determine the amount (if any) of any 3 additional portion of the Fund to be returned to the City as a result of any unused or incomplete Project items, and /or items not satisfactorily performed, and shall provide Provider with written notice of any monies due. Said additional monies shall be due and payable immediately upon receipt of such notice by Provider. Notwithstanding the preceding, the City reserves any and all legal rights and remedies it may have with regard to recapture of all or any portion of the Funds, or any assets acquired or improved in whole or in part with said Funds. 12.2 Termination for Cause: Notwithstanding Subsection 12.1 above, the City may also place the Provider in default of this Agreement, and may terminate this Agreement for cause. "Cause" shall include, but not be limited to, the following: a. Failure to comply and /or perform in a material way, as same shall be determined by the City Manager, in his sole discretion and judgment, in accordance with the terms of this Agreement, or any Federal, State, County or City law, or regulation. b. Submitting reports to the City which are late, incorrect, or incomplete in any material respect. c. Implementation of this Agreement, for any reason, is rendered impossible or infeasible. d. Failure to respond in writing to any concerns raised by the City, including substantiating documents when required /requested by the City. e. Any evidence of fraud, mismanagement, and /or waste, as determined by the City's monitoring and applicable HUD rules and regulations. The City shall notify the Provider in writing when the Provider has been placed in default. Such notification shall include: (i) actions taken by or to be taken by the City, such as withholding of payments; (ii) actions to be taken by the Provider as a condition precedent to curing the default; and (iii) a reasonable cure period, which shall be no more than thirty (30) days from notification date. In the event the Provider fails to cure such default within the aforestated cure period, this Agreement shall be considered terminated for cause by the City, without further notice to Provider, and Provider shall be solely responsible for repayment to the City of all or any portion of the Funds disbursed to Provider under this Agreement. Said monies shall be immediately due and payable by Provider. Notwithstanding the preceding, the City reserves any and all legal rights and remedies it may have with regard to recapture of all or any portion of the Funds, or any assets acquired or improved in whole or in part with said Funds. 12.3 Termination for Lack of Funds: In addition to the other termination provisions of this Agreement including, without limitation, Section 7 hereof, in the event of curtailment of, or regulatory constraints placed on the Funds by HUD, this Agreement will terminate, effective as of the time that it is determined by the City Manager that such Funds are no longer available. Costs of the Provider resulting from obligations incurred after a termination are not allowable unless the City Manager expressly 4 authorizes them in writing, whether in the notice of termination or subsequent thereto. Other costs after termination which are necessary and not reasonably avoidable must also be authorized by the City Manager in writing and shall only be allowable if, in the sole discretion of the City Manager: a. The costs resulted from obligations which were properly incurred before the effective date of termination, were not in anticipation of it, and are noncancelable; and b. The costs would be allowable if the Agreement expired normally at the end of its Term. Section 13. Equal Employment Opportunities: The Provider shall comply with equal employment opportunities as stated in Executive Order 11246, entitled "Equal Employment Opportunity" as amended Executive Order 11375, and as supplemented in Department of Labor regulations. Section 14. Program Income: Any "Program Income (as such term is defined under applicable Federal regulations) gained from any activity of the Provider funded by EDI funds shall be reported to the City and utilized by the Provider for the Project during the Term of this Agreement. Section 15. Religious Organization or Owned Property: EDI funds may be used by religious organizations or on property owned by religious organizations only with prior written approval from the City Manager and only in accordance with requirements set in 24 CFR §570.200(j). The Provider shall comply with First Amendment Church /State principles, as follows: a. 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. b. It will not discriminate against any person applying for public services on the basis of religion and will not limit such services or give preference to persons on the basis of religion. c. It will retain its independence from Federal, State, and local governments, and may continue to carry out its mission, including the definition, practice, and expression of its religious beliefs, provided that it does not use direct EDI funds to support any inherently religious activities, such as worship, religious instruction, or proselytizing. d. The funds received under this Agreement shall not be used for the acquisition, construction, or rehabilitation of structures to the extent that those structures are used for inherently religious activities. Where a structure is used for both eligible and inherently religious activities, EDI funds may not exceed the cost of those portions of the acquisition, construction, or rehabilitation that are attributable to eligible activities in accordance with the cost accounting requirements applicable to EDI funds in this part. Sanctuaries, chapels, or other rooms that a EDI - funded religious congregation uses as its principal place of worship, however, are ineligible for EDI - funded improvements. 5 Section 16. Reversion of Assets: In the event of a termination of this Agreement, or upon expiration of the Agreement, the Provider shall immediately transfer to the City any Funds on hand at the time of termination or expiration, and any account receivable attributable to the use of Funds. Any real property under the Provider's control that was acquired or improved in whole or in part with EDI funds (including EDI funds provided to the Provider in the form of a loan) in excess of $25,000 must either: a. Be used to meet one of the national objectives in 24 CFR 570.208 (formerly section 570.901) until five years after expiration of the Term of this Agreement, or for such longer period of time as determined to be appropriate by the City and as memorialized by the City and Provider in an amendment to this Agreement or such instrument as the City, at its discretion, determines appropriate; or b. If not used in accordance with the above subsection (a), the Provider shall pay to the City an amount equal to the current market value of the property less any portion of the value attributable to expenditures of non- EDI funds for the acquisition of, or improvement to, the project. Section 17. Conformity to HUD regulations: The Provider agrees to abide by guidelines set forth by HUD for the administration and implementation of the EDI Program, including applicable Uniform Administrative Requirements set forth in 24 CFR 570.502, and applicable federal laws and regulations in 24 CFR 570.600, et seq. In this regard, the Provider agrees that duly authorized representatives of HUD shall have access to any books, documents, papers and records of the Provider that are directly pertinent to this Agreement for the purpose of making audits, examinations, excerpts and transcriptions. The Provider shall comply with the requirements and standards of OMB Circular No. A -122, "Cost Principles for Non - profit Organizations ", or OMB Circular No. A -21, "Cost Principles for Educational Institutions" as applicable. The Provider shall comply with the following provisions of the Uniform Administrative requirements of OMB Circular A -110 (implemented at 24 CFR Part 84, "Uniform Administrative Requirements for Grants and Agreements With Institutions of Higher Education, Hospitals, and Other Non - Profit Organizations ") or the related EDI provision, as specified in this section: a. Hassle Subpart A - "General "; b. Subpart B - "Pre -Award Requirements ", except for . 84.12, "Forms for Applying for Federal Assistance "; c. Subpart C - "Post -Award Requirements ", except for: (1) Section 84.22, "Payment Requirements" - Grantees shall follow the standards of . 85.20(b)(7) and 85.21 in making payments to sub - recipients; (2) Section 84.23, "Cost Sharing and Matching "; 6 (3) Section 84.24, "Program Income" - In lieu of 84.24, EDI sub - recipients shall follow 570.504; (4) Section 84.25, "Revision of Budget and Program Plans "; (5) Section 84.32, "Real Property" - In lieu of. 84.32, EDI sub - recipients shall follow 570.505; Section 84.34 "Equipment" - In lieu of the disposition provisions of ( ) (), P p g 84.34(g), the following applies: a. In all cases in which equipment is sold, the proceeds shall be program income (pro -rated to reflect the extent to which EDI funds were used to acquire the equipment); and b. Equipment not needed by the sub - recipient for EDI activities shall be transferred to the recipient for the EDI program or shall be retained after compensating the recipient; (7) Section 84.51(b), (c), (d), (e), (f), (g), and (h), "Monitoring and Reporting Program Performance "; (8) Section 84.52, "Financial Reporting "; (9) Section 84.53(b), "Retention and access requirements for records ". Section 84.53(b) applies with the following exceptions: a. The retention period referenced in 84.53(b) pertaining to individual EDI activities shall be four years; and b. The retention period starts from the date of submission of the annual performance and evaluation report, as prescribed in 24 CFR 91.520, in which the specific activity is reported on for the final time rather than from the date of submission of the final expenditure report for the award; (10) Section 84.61, "Termination" - In lieu of the provisions of 84.61, EDI subrecipients shall comply with 570.503(b)(7); and d. Subpart D - "After- the -Award Requirements" - except for. 84.71, "Closeout Procedures ". e. Labor Requirements (1) Davis -Bacon and Related Acts (40 USC 267(A) -7) Section 18. Sponsorships: The Provider agrees that all notices, informational pamphlets, press releases, advertisements, descriptions of the sponsorship of the Project, research reports, and similar public notices prepared and released by the Provider for, on behalf of, and /or about the Project, shall include the statement: "FUNDED BY THE CITY OF MIAMI BEACH COMMUNITY ECONOMIC DEVELOPMENT INITIATIVE SPECIAL PROJECT PROGRAM" 7 In written materials, the words "CITY OF MIAMI BEACH ECONOMIC DEVELOPMENT INITIATIVE SPECIAL PROJECT FUNDS ADMINISTERED BY THE CITY OF MIAMI BEACH OFFICE OF REAL ESTATE, HOUSING AND COMMUNITY DEVELOPMENT" shall appear in the same size letters or type as the name of the Provider. Section 19. Examination of Records: The Provider shall maintain sufficient records in accordance with 24 CFR 570.502 and 570.506 to determine compliance with the requirements of this Agreement, the Community Development Block Grant Program and Section 108 Loan Program, and all applicable laws and regulations. This documentation shall include, but not be limited to, the following: a. Books, records and documents in accordance with generally accepted accounting principles, procedures and practices, which sufficiently and properly reflect all revenues and expenditures of funds provided directly or indirectly by this Agreement, including matching funds and Program Income. These records shall be maintained to the extent of such detail as will properly reflect all net costs, direct and indirect labor, materials, equipment, supplies and services, and other costs and expenses of whatever nature for which reimbursement is claimed under the provisions of this Agreement. b. Time sheets for split- funded employees, which work on more than one activity, in order to record the EDI activity delivery cost by Project and the non -EDI related charges. c. How the Statutory National Objective(s) as defined in 24 CFR 570.208 and the eligibility requirement(s) under which funding has been received, have been met. These also include special requirements such as necessary and appropriate determinations as defined in 24 CFR 570.209, income certifications, and written Agreements with beneficiaries, where applicable. The Provider is responsible for maintaining and storing all records pertinent to this Agreement in an orderly fashion in a readily accessible, permanent and secured location for a period of four (4) years after expiration of this Agreement, with the following exception: if any litigation, claim or audit is started before the expiration date of the four year period, the records will be maintained until all litigation, claims or audit findings involving these records are resolved. The City shall be informed in writing after closeout of this Agreement, of the address where the records are to be kept. Section 20. Audits and Inspections: At any time during normal business hours, and as often as the City (and /or Federal Government representatives) may deem necessary, the Provider shall make available all records, documentation, and any other data relating to all matters covered by the Agreement for review, inspection or audit. Audits shall be conducted annually and shall be submitted to the City 180 days after the end of the Provider's fiscal year. The Provider shall comply with the requirements and standards of OMB A -133, "Audits of Institutions of High 8 Education and Other Non - Profit Institutions" (as set forth in 24 CFR Part 45), or OMB Circular A -128, "Audits of State and Local Governments" (as set forth in 24 CFR Part 44), as applicable. If this Agreement is closed -out prior to the receipt of an audit report, the City reserves the right to recover any disallowed costs identified in an audit after such closeout. Section 21. Indemnification /Insurance Requirements: The Provider shall indemnify and hold harmless the City, its officers, employees and agents, from any and all claims, liability, losses and causes of action which may arise out of an act, omission, negligence or misconduct on the part of the Provider or any of its agents, officers, servants, employees, contractors, patrons, guests, clients, licensees or invitees pursuant to this Agreement and /or the Project. The Provider 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 (including attorney's fees) and judgments which may issue thereon. This Indemnification shall survive the termination and /or expiration of this Agreement. The Provider shall not commence any work and /or services pursuant to this Agreement until all insurance required under this Section has been obtained and the City's Risk Manager has approved such insurance. 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 automatically terminate and become null and void, and the City shall have no obligation under the terms and conditions hereof. The Provider shall maintain and carry in full force during the Term of this Agreement, and /or throughout the duration of the Project contemplated herein, whichever is longer, the following insurance: a. General Liability Policy with coverage for Bodily Injury and Property Damage, in the amount of $1,000,000 single limit, subject to adjustment for inflation. The policy must include coverage for contractual liability to cover the above indemnification. b. Worker's Compensation and Employers Liability, as required pursuant to Florida Statutes. c. Automobile and vehicle coverage shall be required when the use of automobiles and other vehicles are involved in any way in the performance of the Agreement. Limits for such coverage shall be in the amount of $500,000, subject to adjustment for inflation. d. The City of Miami Beach shall be named as an additional insured under all such insurance contracts. e. Thirty- (30) day written notice of cancellation or substantial modification of the insurance coverage must be given to the City's Risk Manager by the Provider and its insurance company. f. The insurance must be furnished by insurance companies authorized to do business in the State of Florida, and approved by the City's Risk Manager. The companies must be rated no Tess than "B +" as to management, and not less than "Class VI" as to strength by the latest edition of Best's Insurance Guide, published by A.M. Best Company, 9 Oldwick, New Jersey, or its equivalent, subject to the approval of the City's Risk Manager. g. Original Certificates of Insurance for the above coverage must be submitted to the City's Risk Manager for approval prior to any work commencing. These certificates will be kept on file in the Office of the Risk Manager, Third Floor City Hall. Compliance with the foregoing requirements shall not relieve the Provider of the liabilities and obligations under this Section or under any other portion of this Agreement. The City shall have the right to obtain from the Provider specimen copies of the insurance policies, in the event that submitted Certificates of Insurance are inadequate to ascertain compliance with required coverage. Section 22. Conflict of Interest: The Provider covenants that no person under its employ who presently exercises any functions or responsibilities in connection with Community Development funded activities has any personal financial interests, direct or indirect, in this Agreement. The Provider covenants that in the performance of this Agreement, no person having such conflicting interest shall be employed. The Provider covenants that it will comply with all provisions of 24 CFR 570.611 "Conflict of Interest ", and the Federal, State, County and City of Miami Beach statutes, regulations, ordinances or resolutions governing conflicts of interest. The Provider shall disclose, in writing, to the City any possible conflicting interest or apparent impropriety that is covered by the above provisions. This disclosure shall occur immediately upon knowledge of such possible conflict. The City will then render an opinion, which shall be binding on both parties. Section 23. 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 the same shall lie in Miami -Dade County, Florida. This Agreement shall be governed by, and construed in accordance with, the laws of the State of Florida, both substantive and remedial, without regard to principles of conflict of laws. The exclusive venue for any litigation arising out of this Agreement shall be Miami -Dade County, Florida, if in state court, and the U.S. District Court, Southern District of Florida, if in federal court. BY ENTERING INTO THIS AGREEMENT, CITY AND PROVIDER EXPRESSLY WAIVE ANY RIGHTS EITHER PARTY MAY HAVE TO A TRIAL BY JURY OF ANY CIVIL LITIGATION RELATED TO, OR ARISING OUT OF, THIS AGREEMENT. Section 24. Notices: All notices required under this Agreement shall be sent to the parties at the following address: City: Anna Parekh, Director Office of Real Estate, Housing and Community Development City of Miami Beach 1700 Convention Center Drive Miami Beach, FL 33139 10 Provider: Roberto Datorre, Manager MBCDC: The London, LLC 945 Pennsylvania Avenue Miami Beach, FL 33139 Section 25. Limitation of Liability: The City desires to enter into this Agreement only if in so doing the City can place a limit on 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 $10,000. Provider hereby expresses its willingness to enter into this Agreement with Provider's recovery from the City for any damage action for breach of contract to be limited to a maximum amount of $10,000, Tess the amount of all funds actually paid by the City to Provider pursuant to this Agreement. Accordingly, Provider hereby agrees that the City shall not be liable to Provider for damages in an amount in excess of $10,000, which amount shall be reduced by the amount of the funding actually paid by the City to Provider pursuant to this Agreement, for any action or claim for breach of contract arising out of the performance or nonperformance of any obligations imposed upon the City by this Agreement. Nothing contained in this subparagraph or elsewhere in this Agreement is in any way intended to be a waiver of the limitation placed upon City's liability as set forth in Florida Statutes, Section 768.28. Section 26. This Agreement shall be binding upon all parties hereto and their respective heirs, executors, administrators, successors and assigns. [REMAINDER OF THIS PAGE LEFT INTENTIONALLY BLANK] 11 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. MBCDC: THE LONDON, LLC. a Florida limited liability company By: Managing `'er s Signature llo 9. on. (L -- Print Name Witness I Sign ture / / 7 t ,Tw i1 /1 Print � e Signature 41 Irrnora 41 '• 4 (1121 . 7) C Print Name CITY OF MIAMI BEACH a Florida Municipal corporation ATTEST: i la , 4,t4 (t Poi' dd., AO/ Z. 1 . _.4. / ' .:i City Clerk Mayo 4 ` O02-F 0(2-0 t Matti Herrera Bower, Mayor Print Name Print Name and Title F: \RHCD \$ALL \HSG -CD \Brian \Miami Beach CDC \The London doc APPROVED AS TO FORM & LANGUAGE & FnR EX CUTION 12 2- -14-11 At :id A wl , . . Ab fe., Date op p www.sunbiz.org - Department of State Page 1 of 2 FLORIDA DEPARTMENT OF STATE sr a < -�a DivisioN OF CORP0RA1I0 Home Contact Us E- Filing Services Document Searches Forms Help Previous on List Next on List Return To List y Name � � � > Entity Name Search h Events No Name History Submit Detail by Entity Name Florida Limited Liability Company MBCDC: THE LONDON LLC • Filing Information Document Number L07000036016 FEI /EIN Number 208918917 Date Filed 04/04/2007 State FL Status ACTIVE Effective Date 04/04/2007 Last Event LC AMENDED AND RESTATED ARTICLES Event Date Filed 05/19/2008 Event Effective Date NONE Principal Address CIO MIAMI BEACH CDC 945 PENNSYLVANIA AVE., 2ND FLOOR MIAMI BEACH FL 33139 US Changed 05/19/2008 Mailing Address 0/0 MIAMI BEACH CDC 945 PENNSYLVANIA AVE., 2ND FLOOR MIAMI BEACH FL 33139 US Changed 05/19/2008 Registered Agent Name & Address DATORRE, ROBERTO C/0 MIAMI BEACH CDC 945 PENNSYLVANIA AVE., 2ND FLOOR MIAMI BEACH FL 33139 US Manager /Member Detail Name & Address Title MGRM MIAMI BEACH COMMUNITY DEVELOPMENT CORP 945 PENNSYLVANIA AVENUE, 2ND FLOOR MIAMI BEACH FL 33139 US Annual Reports Report Year Filed Date http: / / www.sunbiz.org/ scripts /cordet.exe? action= DETFIL &inc_doc_number= L070000360... 2/10 /2011 LONDON HOUSE APARTMENTS PHASE 1 — PROJECT NARRATIVE 1965 WASHINGTON AVE The London House Apartments, a contributing structure in the National Register Miami Beach Architectural District located at 1965 — 1975 Washington Avenue the structure is situated in the Museum Historic District, it was built in 1948 as a two and three- story, Miami Modern apartment hotel building it was designed by Robert M. Little. The Building now serves as a rental apartment building with 8 studio apartments and 2 one bedroom apartments, MBCDC has retained Architecture Works to redesign the building and reduce the density to 6 larger units in a combination of studios 1, 2 and 3 bedroom apartments. When finished The London House Apartments Phase 1 will have 10 units that will serve low - income work force household families meeting the national and local objective of providing larger housing units to serve low income households. The building was purchased by Miami Beach Community Development Corporation in 2007 with funds from the City of Miami Beach Redevelopment Agency. Rehabilitation of the London House Phase 1 will include the exterior rehabilitation of the original historic elements, such as the facade, the complete ground level terrace with ornaments, the second and third -floor open walkways and new exterior windows and doors. A significant aspect of the renovation includes the effort to provide one, two and three bedroom apartments to serve low income families. The complete interior rehabilitation includes new H /VAC systems, electrical and plumbing systems. Structural rehabilitation will also be part of the scope of work for this project including concrete work at tie - beams and columns and new framing where needed also a new roof system will be installed and the whole structure will be retrofitted to meet the protocol for high velocity hurricane zones as described in the South Florida Building Code. These units will provide affordable housing to low- income families of Miami Beach. The sidewalk areas and outdoor recreation areas will be constructed so that manual and powered wheelchairs can navigate them easily and encourage residents to venture out into their neighborhood. The project will promote both energy efficiency and construction efficiency. Additionally, the project will use insulated window glazing and gas hydronic heat to further promote conservation. All exterior walls and ceilings will be insulated to meet or exceed code requirements and interior tenant separation walls will receive sound insulation. Other areas in which energy conscious design features will be implemented are: water closets at all toilets will be 1.6 gallon fixtures. The faucets will have built -in flow restrictors to lower water consumption. All of the appliances will be of an energy savings type as well. Energy efficient light fixtures and corresponding bulbs will be used as much as possible as well as energy efficient appliances. IMBCDC: LONDON HOUSE APARTMENTS - LINE ITEM BUDGET 3/3/20111 BUDGET PHASE 1 PHASE 2 SOURCES 4,794,389.00 1,579,989.88 3,214,399.12 Fiscal Years 2011,12,13 2013,14 USES TOTAL 1965 WASHINGTON 1975 WASHINGTON SOFT COSTS ACQUISITION CLOSING COSTS 21,852.00 0.00 21,852.00 OTHER CLOSING COSTS 5,000.00 5,000.00 0.00 CONSTRUCTION INTEREST 70,000.00 0.00 70,000.00 INSPECTION FEES 10,000.00 3,500.00 6,500.00 APPRAISAL 2,500.00 875.00 1,625.00 SURVEY 400.00 200.00 200.00 ARCHITECTURAL FEES 120,000.00 40,000.00 80,000.00 ARCHITECTURAL FEES RE DESIGN 50,000.00 30,000.00 20,000.00 ENGINEERING 3,000.00 1,000.00 2,000.00 ENVIROMENTAL 10,000.00 5,000.00 5,000.00 INSURANCE BUILDER'S RISK 50,000.00 17,500.00 32,500.00 LEGAL EXPENSES 3,000.00 1,000.00 2,000.00 PERMITS FEE 10,000.00 3,500.00 6,500.00 PROPERTY TAXES 61,181.00 21,413.00 39,768.00 EXTERMINATING 1,200.00 0.00 1,200.00 I SITE UTILITIES 15,000.00 5,000.00 10,000.00 CONTINGENCIES 16,000.00 16,000.00 0.00 CONSULTING 6,000.00 2,000.00 4,000.00 DEV. FEES & PROJECT MANAGEMENT 573,181.00 100,000.00 473,181.00 TOTAL SOFT COSTS 1,028,314.00 251,988.00 776,326.00 HARD COSTS GENERAL COND. SUPERINTENDENT 96,000.00 33,600.00 62,400.00 GENERAL COND. PROJECT MANAGER 65,000.00 22,750.00 42,250.00 GENERAL LABOR 35,000.00 12,250.00 22,750.00 TELEPHONE 2,400.00 840.00 1,560.00 TEMPORARY POWER / UTILITIES 3,200.00 1,120.00 2,080.00 SMALL TOOLS 3,500.00 1,225.00 2,275.00 WATER & ICE 1,040.00 364.00 676.00 MOBILIZATION & SET UP 4,500.00 1,575.00 2,925.00 TRUCK & AUTO ALLOWANCE 9,100.00 3,185.00 5,915.00 PERFORMANCE BOND 60,000.00 21,000.00 39,000.00 BLUE PRINTS REPRODUCTIONS 700.00 245.00 455.00 CLEANING FINAL CLEANING 6,500.00 2,275.00 4,225.00 DUMPSTERS 14,000.00 5,000.00 9,000.00 QUALITY CONTROL PUNCH LIST 3,500.00 1,225.00 2,275.00 TEMPORARY TOILETS 1,350.00 472.50 877.50 THRESHOLD INSPECTOR 15,000.00 7,000.00 8,000.00 MATERIAL TESTING 2,500.00 875.00 1,625.00 JOBSITE SIGN 650.00 0.00 650.00 MAIN OFFICE COURIER SERVICE 400.00 140.00 260.00 OSHA REQUIEREMENTS 3,750.00 1,750.00 2,000.00 SELECTIVE DEMOLITION 29,500.00 10,325.00 19,175.00 FINAL GRADING 2,650.00 927.50 1,722.50 COMPACTION & SOIL DENSITY TEST 2,950.00 1,032.50 1,917.50 TERMITE CONTROL SOIL PREP 1,700.00 595.00 1,105.00 HELICAL PILES 0.00 0.00 0.00 WATER FIRE LINE 15,500.00 6,500.00 9,000.00 WATER NEW 2" SERVICE 6,750.00 2,750.00 4,000.00 FENCES & GATES 9,000.00 3,000.00 6,000.00 IRRIGATION 4,950.00 1,950.00 3,000.00 LANDSCAPING 15,500.00 5,500.00 10,000.00 CONCRETE CELLS 25,000.00 10,000.00 15,000.00 PRECAST CONCRETE 2,250.00 500.00 1,750.00 GUNITE RESTORATION 39,900.00 19,900.00 20,000.00 CONCRETE FLOORING (GYPCRETE) 37,400.00 13,090.00 24,310.00 STRUCTURAL STEEL 17,200.00 6,020.00 11,180.00 MISCELANEOUS STEEL GUARDRAILS 28,000.00 20,000.00 8,000.00 RAILINGS 15,000.00 5,000.00 10,000.00 ROUGH CARPENTRY 200,000.00 90,000.00 110,000.00 TRIM CARPENTRY 8,750.00 3,062.50 5,687.50 CABINETRY / VANITIES 55,500.00 20,000.00 35,500.00 WATERPROOFING CAULKING 4,500.00 1,500.00 3,000.00 ROOFING 103,000.00 26,000.00 77,000.00 METAL DOORS & FRAMES 6,580.00 2,580.00 4,000.00 WOOD DOORS & FRAMES 8,000.00 2,000.00 6,000.00 ENTRANCE DOORS 5,000.00 3,000.00 2,000.00 WINDOWS 155,000.00 52,000.00 103,000.00 ROOF HATCH 980.00 0.00 980.00 HARDWARE 12,700.00 3,700.00 9,000.00 MIRRORS / MEDICINE CABINETS 4,000.00 1,000.00 3,000.00 STUCCO & MOLDINGS 50,000.00 20,000.00 30,000.00 GYPSUM WALLBOARD SYSTEMS 242,000.00 95,000.00 147,000.00 FIRE RATING 16,000.00 6,000.00 10,000.00 CERAMIC TILE AT BATHROOMS 22,000.00 4,500.00 17,500.00 CERAMIC TILE AT LIVING AREAS 160,000.00 70,000.00 90,000.00 WINDOW SILLS 16,000.00 6,000.00 10,000.00 BASEBOARDS 27,000.00 7,000.00 20,000.00 PAINTING 30,000.00 8,000.00 22,000.00 SIGNAGE 500.00 150.00 350.00 MAILBOXES 750.00 0.00 750.00 CLOSET WIRE SHELVING 4,500.00 1,500.00 3,000.00 TOILET ACCES. (ADA BATHROOMS) 3,200.00 1,200.00 2,000.00 TOILET ACCES. (STANDARD) 8,000.00 1,000.00 7,000.00 RENTAL EQUIPMENT 62,050.00 21,717.50 40,332.50 KITCHEN APPLIANCES 80,000.00 20,000.00 60,000.00 ELEVATOR 169,000.00 0.00 169,000.00 FIRE PROTECTION / SPRINKLERS 165,000.00 57,750.00 107,250.00 PLUMBING 250,000.00 100,000.00 150,000.00 FIRE EXTINGUISHERS 1,430.00 430.00 1,000.00 H /VAC 188,000.00 37,600.00 150,400.00 ELECTRICAL 298,000.00 104,300.00 193,700.00 FIRE ALARM SYSTEM 110,000.00 38,500.00 71,500.00 LIABILITY INSURANCE 3,810.98 1,810.98 2,000.02 CONTRACTOR'S OVERHEAD 204,878.00 71,707.30 133,170.70 CONTRACTOR'S FEE 128,606.02 45,012.10 83,593.90 SUB TOTAL HARD COSTS 3,386,075.00 1,148,001.88 2,238,073.12 Contingency 230,000.00 130,000.00 100,000.00 TOTAL HARD COSTS 3,616,075.00 1,278,001.88 2,338,073.12 TOTAL DEVELOPMENT COSTS 4,644,389.00 TOTALS / PHASE 1,529,989.88 3,114,399.12 SOURCES AMOUNT PHASE 1 PHASE 2 OCED CDBG 408,482.00 134,500.00 273,982.00 CITY OF MIAMI BEACH RDA 102,582.00 0.00 102,582.00 US HUD EDI 411,600.00 67,910.88 343,689.12 CMB HOME 11/12 634,064.00 0.00 634,064.00 NSP 3 1,327,579.00 1,327,579.00 0.00 HISTORIC TAX CREDIT 950,000.00 0.00 950,000.00 COUNTY G.O. BONDS 0.00 0.00 0.00 BANK 810,082.00 0.00 810,082.00 TOTAL OTHER SOURCES 4,644,389.00 1,529,989.88 3,114,399.12 NOTES: PHASE 1 CONSTRUCTION TIME 12 MONTHS (48 WEEKS) FUNDS SECURED AFTER NSP APP. PHASE 2 CONSTRUCTION 16 MONTHS (64 WEEKS) AFTER SECURING FUNDING CDBG AGREEMENT October 1, 2010 to September 30, 2011 ATTACHMENT IV APPLICABLE FEDERAL REGULATIONS NON - DISCRIMINATION AND EQUAL ACCESS No person in the United States shall on the grounds of race, color, national origin, religion or sex be excluded, denied benefits or subjected to discrimination under any program funded in whole or in part by CDBG funds. The Provider must take measures to ensure non - discriminatory treatment, outreach and access to program resources. This applies to employment and contracting, as well as to marketing and selection of program participants. Fair Housing and Equal Opportunity The Provider must comply with all the following Federal laws, executive orders and regulations pertaining to fair housing and equal opportunity. They are summarized below: • Title VI of the Civil Rights Act of 1964, As Amended (42 USC 2000d et seq. ): States that no person may be 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. The regulations implementing the Title VI Civil Rights Act provisions for HUD programs may be found in 24 CFR Part 1. • The Fair Housing Act (42 USC 3601- 3620): Prohibits discrimination in the sale or rental of housing, the financing of housing or the provision of brokerage services against any person on the basis of race, color, religion, sex, national origin, handicap of familial status. Fair Housing Act implementing regulations may be found in 24 CFR Part 100 -115. • Equal Opportunity in Housing (Executive Order 11063, as amended by Executive Order 12259): Prohibits discrimination against individuals on the basis of race, color, religion, sex or national origin in the sale, rental, leasing or other disposition of residential property, or in the use or occupancy of housing assisted with Federal funds. Equal Opportunity in Housing regulations may be found in 24 CFR Part 107. • Age Discrimination Act of 1975, As Amended (42 USC 6101): Prohibits age discrimination in programs receiving Federal financial assistance. Age Discrimination Act regulations may be found in 24 CFR Part 146. • Section 109 of Title I of the Housing and Community Development Act of 1974: Requires that no person shall be excluded from participation in, denied the benefits of, or be subjected to discrimination under any program or activity funded with CDBG funds on the basis of race, color, religion, national origin or sex. Affirmative Marketing The Provider must adopt affirmative marketing procedures and requirements for all CDBG- assisted housing with five or more units. Requirements and procedures must include: Page 1 of 8 • Methods for informing the public, owners and potential tenants about fair housing laws and the Provider's policies (for example: use of the Fair Housing logo or equal opportunity language); • A description of what owners and /or the Provider will do to affirmatively market housing assisted with CDBG funds; • A description of what owners and /or the Provider will do to inform persons not likely to apply for housing without special outreach; • Maintenance of records to document actions taken to affirmatively market CDBG- assisted units and to assess marketing effectiveness; and • A description o f how efforts will be assessed essed and what corrective c ive actions will be taken where requirements are not met. Handicapped Accessibility The CDBG regulations also require adherence to the three following regulations governing the accessibility of Federally assisted buildings, facilities and programs. • Americans with Disabilities Act (42 USC 12131; 47 USC 155, 201, 218 and 225): Provides comprehensive civil rights to individuals with disabilities in the areas of employment, public accommodations, state and local government services and telecommunications. The Act, also referred to as the ADA, also states that discrimination includes the failure to design and construct facilities (built for first occupancy after January 26, 1993) that are accessible to and usable by persons with disabilities. The ADA also requires the removal of architectural and communication barriers that are structural in nature in existing facilities. Removal must be readily achievable, easily accomplishable and able to be carried out without much difficulty or expense. • Fair Housing Act: Multi- family dwellings must also meet the design and construction requirements at 24 CFR 100.205, which implement the Fair Housing Act (42 USC 3601 -19) • Section 504: Section 504 of the Rehabilitation Act of 1973 prohibits discrimination in federally assisted programs on the basis of handicap. Section 504 imposes "qualified to ensure that qualified individuals with handicaps" have access to programs and activities that receive Federal funds. Under Section 504, recipients and subrecipients are not required to take actions that create unique financial and administrative burdens or after the fundamental nature of the program. For any Provider principally involved in housing or social services, all of the activities of the agency -- not only those directly receiving Federal assistance -- are covered under Section 504. Contractors or vendors are subject to Section 504 requirements only in the work they do on behalf of the Provider or the City. The ultimate beneficiary of the Federal assistance is not subject to Section 504 requirements. • The Architectural Barriers Act of 1968 (42 USC 4151 - 4157): Requires certain Federal and Federally- funded buildings and other facilities to be designed, constructed or altered in accordance with standards that ensure accessibility to, and use by, physically handicapped people. Page 2 of 8 11. EMPLOYMENT AND CONTRACTING The Provider must comply with the regulations below governing employment and contracting opportunities. These concern equal opportunity, labor requirements and contracting /procurement procedures. Equal Opportunity The Provider must comply with the following regulations that ensure equal opportunity for employment and contracting. • Equal Employment Opportunity, Executive Order 11246, as amended: 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. Implementing regulations may be found at 41 CFR Part 60. • Section 3 of the Housing and Urban Development Act of 1968: Requires that, to the greatest extent feasible, opportunities for training and employment arising from CDBG funds will be provided to low- income persons residing in the program service area. Also, to the greatest extent feasible, contracts for work (all types) to be performed in connection with CDBG will be awarded to business concerns that are located in or owned by persons residing in the program service area. • Minority/Women's Business Enterprise: Under Executive Orders 11625, 12432 and 12138, the City and the Provider must prescribe procedures acceptable to HUD for a minority outreach program to ensure the inclusion, to the maximum extent possible, of minorities and women, and entities owned by minorities and women, in all contracts (see 24 CFR 85.36(e)). Labor Requirements The Provider must comply with certain regulations on wage and labor standards. In the case of Davis -Bacon and the Contract Work Hours and Safety Standards Acts, every contract for construction (in the case of residential construction, projects with eight or more units) triggers the requirements. • Davis -Bacon and Related Acts (40 USC 276(A) -7): Ensures that mechanics and laborers employed in construction work under Federally- assisted contracts are paid wages and fringe benefits equal to those that prevail in the locality where the work is performed. This act also provides for the withholding of funds to ensure compliance, and excludes from the wage requirements apprentices enrolled in bona fide apprenticeship programs. • Contract Work Hours and Safety Standards Act, as amended (40 USC 327 -333): Provides that mechanics and laborers employed on Federally- assisted construction jobs are paid time and one -half for work in excess of 40 hours per week, and provides for the payment of liquidated damages where violations occur. This act also addresses safe and healthy working conditions. • Copeland (Anti- Kickback) Act (40 USC 276c): Governs the deductions from paychecks that are allowable. Makes it a criminal offense to induce anyone employed on a Federally assisted project to relinquish any compensation to which he /she is entitled, and requires all contractors to submit weekly payrolls and statements of compliance. Page 3 of 8 • Fair Labor Standards Act of 1938, As Amended (29 USC 201, et. seq.: Establishes the basic minimum wage for all work and requires the payment of overtime at the rate of at least time and one -half. It also requires the payment of wages for the entire time that an employee is required or permitted to work, and establishes child labor standards. Contracting and Procurement Practices The CDBG program is subject to certain Federal procurement rules. In addition, the City and the Provider must take measures to avoid hiring debarred or suspended contractors or subrecipients and conflict -of- interest situations. Each is briefly discussed below. • Procurement: For the City, the procurement standards of 24 CFR 85.36 apply. For non-profit p organizations receiving CDBG funds, the procurement requirements at 24 CFR Part 84 apply. • Conflict of Interest: The CDBG regulations require grantees (the City), state recipients and subrecipients (the Provider) to comply with two different sets of conflict -of- interest provisions. The first set of provisions comes from 24 CFR Parts 84 and 85. The second, which applies only in cases not covered by 24 CFR Parts 84 and 85, is set forth in the CDBG regulations. Both sets of requirements are discussed below. - The provisions at 24 CFR 85.36 and 24 CFR 84.42 apply in the procurement of property and services by grantees (the City), state recipients, and subrecipients (the Provider). These regulations require the City and the Provider to maintain written standards governing the performance of their employees engaged in awarding and administering contracts. At a minimum, these standards must: - Require that no employee, officer, agent of the City or the Provider shall participate in the selection, award or administration of a contract supported by CDBG if a conflict -of- interest, either real or apparent, would be involved; - Require that employees, officers and agents of the City or the Provider not accept gratuities, favors or anything of monetary value from contractors, potential contractors or parties to subagreements; and - Stipulate provisions for penalties, sanctions or other disciplinary actions for violations of standards. A conflict would arise when any of the following has a financial or other interest in a firm selected for an award: - An employee, agent or officer of the City or the Provider; - Any member of an employee's, agent's or officer's immediate family; - An employee's, agent's or officer's partner; or - An organization that employs or is about to employ an employee, agent or officer of the City or the Provider. - The CDBG regulations at 24 CFR 570.611 governing conflict -of- interest apply in cases not covered by 24 CFR 85.36 and 24 CFR 84.42. These provisions cover employees, agents, consultants, officers and elected or appointed officials of the grantee (the City), state recipient or subrecipient (the Provider). The regulations state that no person covered who exercises or has exercised any functions or responsibilities with respect to CDBG activities or who is in a position to participate in decisions or gain inside information: Page 4 of 8 - May obtain a financial interest or benefit from a CDBG activity; or - Have an interest in any contract, subcontract or agreement for themselves or for persons with business or family ties. This requirement applies to covered persons during their tenure and for one year after leaving the grantee (the City), the state recipient or subrecipient (the Provider) entity. Upon written request, exceptions to both sets of provisions may be granted by HUD on a case -by -case only after the City has: - Disclosed the full nature of the conflict and submitted proof that the disclosure has been made public; and - Provided a legal opinion from the City stating that there would be no violation of state or local law if the exception were granted. • Debarred contractors: In accordance with 24 CFR Part 5, CDBG funds may not be used to directly or indirectly employ, award contracts to or otherwise engage the services of any contractor or subrecipient during any period of debarment, suspension or placement of ineligibility status. The City should check all contractors, subcontractors, lower -tier contractors or subrecipients against the Federal publication that lists debarred, suspended and ineligible contractors. III. ENVIRONMENTAL REQUIREMENTS The City is responsible for meeting a number of environmental requirements, including environmental reviews, flood insurance, and site and neighborhood standards. Environmental Review The City is responsible for undertaking environmental reviews in accordance with the requirements imposed on "recipients" in 24 CFR 58. Reviews must be completed, and Requests for Release of Funds (RROF) submitted to HUD before CDBG funds are committed for non - exempt activities. Private citizens and organizations may object to the release of funds for CDBG projects on certain procedural grounds relating to environmental review (see 24 CFR 58.70 - 58.77). To avoid challenges, grantees (the City) and subrecipients (the Provider) should be diligent about meeting procedural requirements. Flood Insurance Section 202 of the Flood Disaster Protection Act of 1973 (42 USC 4106): Requires that CDBG funds shall not be provided to an area that has been identified by the Federal Emergency Management Agency (FEMA) as having special flood hazard, unless: The community is participating in the National Flood Insurance Program, or it has been Tess than a year since the community was designated as having special flood hazards; and Flood insurance is obtained. IV. LEAD -BASED PAINT On September 15, 1999, the "Requirements for Notification, Evaluation and Reduction of Lead -Based Paint Hazards in Federally Owned Residential Property and Housing Receiving Federal Assistance; Final Rule" was published within title 24 of the Code of Federal Regulations as part 35 (24 CFR 35). The regulation was issued under sections 1012 and 1013 of the Residential Lead -Based Paint Hazard Reduction Act of 1992, which is Title X (ten) of the Housing and Community Development Act of 1992. Sections Page 5 of 8 1012 and 1013 of Title X amended the Lead -Based Paint Poisoning Prevention Act of 1971, which is the basic law covering lead -based paint in federally associated housing. The regulation sets hazard reduction requirements that give much greater emphasis to reducing lead in house dust. Scientific research has found that exposure to lead in dust is the most common way young children become lead poisoned. Therefore, the new regulation requires dust testing after paint is disturbed to make sure the home is lead - safe. Specific requirements depend on whether the housing is being disposed of or assisted by the federal government, and also on the type and amount of financial assistance, the age of the structure, and whether the dwelling is rental or owner occupied. On April 22, 2008, the EPA issued a rule requiring the use of lead -safe practices and other actions aimed at preventing lead poisoning to protect against the hazards created by exposure to lead dust in existing structures built prior to 1978. Under the rule, all contractors performing renovation, repair and painting projects that disturb lead -based paint in homes, child care facilities, and schools built before 1978 must be certified and follow specific work practices to prevent lead contamination. This rule (40 CFR Part 745) is enforced as of April 22, 2010. The rule must be executed by all sub - contractors. PROPERTY EXEMPT FROM LEAD -BASED PAINT REGULATION. • Housing built since January 1, 1978, when lead paint was banned for residential use; • Housing exclusively for the elderly or people with disabilities, unless a child under age 6 is expected to reside there; • Zero - bedroom dwellings, including efficiency apartments, single -room occupancy housing, dormitories or military barracks; • Property that has been found to be free of lead -based paint by a certified lead -based paint inspector; • Property where all lead -based paint has been removed; • Unoccupied housing that will remain vacant until demolished; • Non - Residential property; and • Any rehabilitation or housing improvement that does not disturb a painted surface. TYPES OF HOUSING SUBJECT TO 24 CFR 35 • Federally -Owned housing being sold; • Housing receiving a federal subsidy that is associated with the property, rather than with the occupants (project -based assistance); • Public housing; • Housing occupied by a family (with a child) receiving tenant -based subsidy (such as a voucher or certificate); • Multifamily housing for which mortgage insurance is being sought; and • Housing receiving federal assistance for rehabilitation, reducing homelessness, and other special needs. If you want copies of the regulation or have general questions, you can call the National Lead Information Center at (800) 424 -LEAD, or TDD (800) 526 -5456 for the hearing impaired. You can also download the regulation and other educational materials at http: / /www.hud.gov /offices /lead /index.cfm. For further information, you may call HUD at (202) 755 -1785, ext. 104, or e -mail HUD at lead regulations ©hud.gov. Page 6 of 8 V. DISPLACEMENT, RELOCATION, ACQUISITION AND REPLACEMENT OF HOUSING CDBG projects involving acquisition, rehabilitation or demolition may be subject to the provisions of the Uniform Relocation Act (UDA). Demolition or conversion of units with CDBG funds may trigger section 104 (d) (also known as the "Barney Frank Amendment" requirements.) VI. COMPLIANCE WITH NATIONAL OBJECTIVE The Provider will ensure and maintain evidence that activities assisted with CDBG funds from the City of Miami Beach comply with the primary National Objective, "Benefit to Low and Moderate Income Persons" and will provide services or activities that benefit at least 51% low and moderate income persons. A low or moderate - income household is defined as: a household having an income equal to, or less than, the limits cited below. Individuals who are unrelated but are sharing the same household shall each be considered as one - person households. Low and Moderate Household Income Limits Effective 05/14/2010) (Source: U.S. ( )( Department of Housing & Urban Development) (Note: Low - Income (80% of Median Income), Low - Income (50 % of (30% ), Very ( /o o Median Income), Extremely Low (30 /o of Median Income) US HUD INCOME LIMITS Household Size Extremely Low Very Low - Income Low - Income 30% of Median 50% of Median 80% of Median 1 Person $14,800 $24,650 $39,400 2 Person $16,900 $28,150 $45,000 3 Person $19,000 $31,650 $50,650 4 Person $21,100 $35,150 $56,250 5 Person $22,800 $38,000 $60,750 6 Person $24,500 $40,800 $65,350 7 Person $26,200 $43,600 $69,750 8 Person $27,900 $46,400 $74,250 Page 7 of 8 LOW /MODERATE INCOME DATA SOUTHERN TARGET AREA Census Tract Total L/M Persons Total Persons % Low /Mod 40.00 -5 310 448 69.20 41.01 -1 614 757 81.11 41.01 -2 2,137 4,002 53.40 41.01 -3 810 1,511 53.61 42 10,042 13,736 73.11 43 6,728 9,582 70.21 44 10,774 13,244 81.35 45 1,768 2,307 76.64 TOTAL 33,183 45,587 73% L/M NORTHERN TARGET AREA Census Tract Total L/M Persons % ons Total Persons /o Low /Mod 39.01 -1 603 1,036 58.20 39.01 -2 620 836 74.16 39.01 -3 407 468 86.97 39.01 -4 518 772 67.10 39.01 -5 1,593 2,256 70.61 39.01 -6 1,581 2,240 70.58 39.02 -1 704 897 78.48 39.02 -2 876 1,187 73.80 39.02 -3 211 211 100.00 39.02 -4 1,564 2,097 74.58 39.05 -2 2,408 3,346 71.97 39.05 -4 2,401 3,071 78.18 TOTAL 8,677 12,000 72% L/M F : \RHCD \$ ALL \HSG CD \BRIANM \CONTRACTS \10- 11 \Attachment IV CDBG.doc Page 8 of 8 FY 2008 EDI- SPECIAL PROJECT NO. B- 08 -SP -FL -0543 GRANT AGREEMENT This Grant Agreement between the Department of Housing and Urban Development (HUD) and City of Miami Beach (the Grantee) is made pursuant to the authority of Public Law 110 -161 (Consolidated Appropriations Act, 2008) and a listing of certain specific Economic Development Initiative Special Projects specified in the Congressional Record of December 17, 2007. The amount shown below is 98.00% of the amount specified in the Congressional Record of December 17, 2007, because of a 2.00% reduction mandated by the Act. The Grantee's application, as may be amended by the provisions of this Grant Agreement, is hereby incorporated into this Agreement. In reliance upon and in consideration of the mutual representations and obligations hereunder, HUD and the Grantee agree as follows: Subject to the provisions of the Grant Agreement, HUD will make grant funds in the amount of $514,500 available to the Grantee. The Grantee agrees to abide by the following: ARTICLE I. HUD Requirements. The Grantee agrees to comply with the following requirements for which HUD has enforcement responsibility. A. The grant funds will only be used for activities described in the application, which is incorporated by reference and made part of this Agreement as may be modified by Article VII (A) of this Grant Agreement. , B. EQUAL OPPORTUNITY REQUIREMENTS The grant funds must be made available in accordance with the following: 1. For projects involving housing, the requirements of the Fair Housing Act (42 U.S.C. 3601 -20) and implementing regulations at 24 CFR Part 100; Executive Order 11063 (Equal Opportunity in Housing) and implementing regulations at 24 CFR Part 107. 2. The requirements of Title VI of the Civil Rights Act of 1964 (42 U.S.C. 2000d) (Nondiscrimination in Federally Assisted Programs) and implementing regulations issued at 24 CFR Part 1. 3. The prohibitions against discrimination on the basis of age under the Age Discrimination Act of 1975 (42 U.S.C. 6101 -07) and implementing regulations at 24 CFR Part 146, and the prohibitions against discrimination against handicapped individuals under section 504 of the Rehabilitation Act of 1973 (29 U.S.C. 794) and implementing regulations at 24 CFR Part 8. 4. The requirements of 24 CFR 5.105(a) regarding equal opportunity as well as the requirements of Executive Order 11246 (Equal Employment Opportunity) and the implementing regulations issued at 41 CFR Chapter 60. 5. For those grants funding construction covered by 24 CFR 135, the requirements of section 3 of the Housing and Urban Development Act of 1968, (12 U.S.C. 1701u) which requires that economic opportunities generated by certain HUD financial assistance shall, to the greatest extent feasible, be given to low- and very low- income persons and to businesses that provide economic opportunities for these persons. 6. The requirements of Executive Orders 11625 and 12432 (concerning Minority Business Enterprise), and 12138 concerning Women's Business Enterprise). Consistent with HUD's responsibilities under these Orders, the Grantee must make efforts to encourage the use of minority and women's business enterprises in connection with grant funded activities. See 24 CFR Part 85.36(e), which describes actions to be taken by the Grantee to assure that minority business enterprises and women business enterprises are used when possible in the procurement of property and services. 7. Where applicable, Grantee shall maintain records of its efforts to comply with the requirements cited in Paragraphs 5 and 6 above. C. ENVIRONMENTAL REVIEW REQUIREMENTS. 1. If the Grantee is a unit of general local government, a State, an Indian Tribe, or an Alaskan Native Village, the Grantee agrees to assume all of the responsibilities for environmental review and decision- making and actions, as specified and required in regulations issued by the Secretary pursuant to the Multifamily Housing Property Disposition Reform Act of 1994 and published in 24 CFR Part 58. 2. If the Grantee is a housing authority, redevelopment agency, academic institution, hospital, or other non - profit organization, the Grantee shall request the unit of general local government, Indian Tribe, or Alaskan Native Village, within which the project is located and which exercises land use responsibility, to assume all of the responsibilities for environmental review and decision - making as specified in paragraph C.1 above, and the Grantee shall carry out all of the responsibilities of a recipient under 24 CFR Part 58. D. Administrative requirements of OMB Circular A -133 "Audits of States, Local governments and Non - Profit Organizations." E. For State and Local Governments, the Administrative requirements of 24 CFR Part 85, including the procurement requirements of 24 CFR Part 85.36, and the requirements of OMB Circular A -87 regarding Cost Principles for State and Local Governments. For Non - Profits, the Administrative requirements of 24 CFR Part 84, including the procurement requirements of 24 CFR Part 84.40, and OMB Circular A- 122 regarding Cost Principles for Non - Profit Institutions. For Institutions of Higher Education the applicable OMB Circular regarding Cost Principles is A -21. F. The regulations at 24 CFR Part 87, related to lobbying, including the requirement that the Grantee obtain certifications and disclosures from all covered persons. G. The regulations at 24 CFR Part 21, regarding requirements for Drug- Free Workplace. H. The Uniform Relocation Act as implemented by regulations at 49 CFR Part 24. I. The Grantee will comply with all accessibility requirements under section 504 of the Rehabilitation Act of 1973 (29 U.S.C. 794) and implementing regulations at 24 CFR Part 8, where applicable. J. The regulations at 24 CFR Part 35, where applicable, regarding Lead -Based Paint Poisoning Prevention in Certain Residential Structures. K. The regulations at 24 CFR Part 5.109, where applicable, regarding Equal II � Participation of Religious Organizations in HUD Programs and Activities. ARTICLE II. Conditions Precedent to Draw Down. The Grantee may not draw down grant funds until the following actions have taken place: A. The Grantee has received and approved any certifications and disclosures required by 24 CFR 87.100 concerning lobbying. B. Any other conditions listed in Article VII (C) of this Grant Agreement. ARTICLE III. Draw Downs. A. A request by the Grantee to draw down grant funds under the Voice Response Access system or any other payment system constitutes a representation by the Grantee that it and all participating parties are complying with the terms of this Grant Agreement. B. The Grantee will be paid on an advance basis provided that the Grantee minimizes the time elapsing between transfer of the grant funds and disbursement for project purposes and otherwise follows the requirements of 24 CFR Part 85 or Part 84 and Treasury Circular 1075 (31 CFR Part 205). C. Before the Grant Agreement is signed, the Grantee may incur cost for activities which are exempt from environmental review under 24 CFR Part 58 and may charge the costs to the grant. ARTICLE IV. Progress Reports. A. The Grantee shall submit to the Grant Officer a progress report every six months after the effective date of the Grant Agreement. Progress reports shall consist of (1) a narrative of work accomplished during the reporting period and (2) a completed Financial Status Report - Faun 269 A. HUD may require additional information or increased frequency of reporting as described in Article VII ( C ). B. The performance reports must contain the information required under 24 CFR Part 85.40(b) (2) or 24 CFR Part 84.51(a), as applicable including a comparison of actual accomplishment to the objectives indicated in the approved application, the reasons for slippage if established objectives were not met, and additional pertinent information including explanation of significant cost overruns. C. No grant drawdowns will be approved for projects with overdue progress reports. ARTICLE V. Project Close -out. A. The grantee shall submit to the Grant Officer a written request to close -out the grant 30 days after the grantee has drawn down all funds and completed the activities described in the application, as may be amended. The final report shall consist of (1) a narrative of all work accomplished during the project period and (2) a completed Financial Status Report - Form 269 A covering the entire project period. HUD will then send the Close -out Agreement and Close -out Certification to the Grantee. At HUD's option, the Grantee may delay initiation of project close -out until the resolution of any HUD monitoring findings. If HUD exercises this option the Grantee must promptly resolve the findings. B. The Grantee recognizes that the close -out process may entail a review by HUD to determine compliance with the Grant Agreement by the Grantee and all participating parties. The Grantee agrees to cooperate with any review in any way possible, including making available records requested by HUD and the project for on -site HUD inspection. C. The Grantee shall provide to HUD the following documentation: 1. A Certification of Project Completion. 2. A Grant Close -out Agreement. 3. A final financial report giving the amount and types of project costs charged to the grant (that meet the allowability and allocability requirements of OMB Circular A -122, A -87 or A -21 as applicable, including the "necessary and reasonable" standard); a certification of the costs; and the amounts and sources of other project funds. 4. A final performance report providing a comparison of actual accomplishments with each of the project commitments and objectives in the approved application, the reasons for slippage if established objectives were not met and additional pertinent information including explanation of significant cost overruns. D. The Grantee agrees that the grant funds are allowable only to the extent that the project costs, meeting the standard of OMB Circular A -122, A -87 or A -21 as applicable, equal the grant amount plus other sources of project funds provided. E. When HUD has detennined that the grant funds are allowable, the activities were completed as described by the Grant Agreement, and all Federal requirements were satisfied, HUD and the Grantee will sign the Close -out Agreement and Close -out Certificate. F. The Close -out Agreement will include the Grantee's Agreement to abide by any continuing federal requirements. ARTICLE VI. Default. A default under this Grant Agreement shall consist of using grant funds for a purpose other than as authorized by this Agreement, any noncompliance with legislative, regulatory, or other requirements applicable to the Agreement, any other material breach of this Agreement, or any material misrepresentation in the application submissions. ARTICLE VII. Additional Provisions. A. Project Description. The project is as described in the application with the following changes: B. Changes or Clarification to the Application Related to Participating Parties: The Administrative Agent if any: C. Special Conditions: The Consolidated Appropriations Act, 2008 provides that no funds made available under the Act may be used to support any Federal, State or local projects that seek to use the power of eminent domain, unless eminent domain is employed only for a public use. For purposes of this provision, public use shall not be construed to include economic development that primarily benefits private entitites. U.S. Department of Housing City of Miami Beach. and Urban Development - ?' Matti Herrera Bower /26 9. . _ _ - / 01 ' Authorized Signature Auth rized Signature Robert Duncan _Mayor __-------- __--- .____ -- -- _ -- _ - - -_ Associate Deputy Assistant Secretary Title for Economic Development 5 &I lit/VC Date Date ATTEST t iatAll Sul. City Clerk Robert Parcher Print Name APPROVED AS TO FORM & LANGUAGE • FOR EX ' • ION ( t. e Assistance Award /Amendment U.S. Department of Housing and Urban Development Office of Administration 1. Assistance Instrument 2. Type of Action Cooperative Agreement X Grant X Award Amendment 3. Instrument Number 4. Amendment Number 5. Effective Date of this Action 6. Control Number B- 08 -SP -FL -0543 j 7. Name and Address of Recipient ; 8. HUD Administering Office City of Miami Beach CPD, EDI Special Project Division j 1700 Convention Center Drive 451 7th Street, SW, Rm 7146 Miami Beach, FL 33139 Washington, DC 20410 -7000 EIN: 59- 6000372 - - - -- .__ _._ -_ -. - - -- ._.__ 8a. Name of Administrator , 8b. Telephone Number 10. Recipient Project Manager 9. HUD Govemment Technical Representative Jorge M. Gonzalez 7 202 Garner Katressa L. arner - 08 -3773, Extension: 4701 III i 11. Assistance Arrangement i 12. Payment Method j 13. HUD Payment Office 1 ! Cost Reimbursement ! I - i Treasury Check Reimbursement Chief Financial Officier I I Cost Sharing [ I Advance Check i X Fixed Price I X I Automated C learinghouse ' 14. Assistance Amount T15. HUD Accounting and Apropriation Data — - - - 15 a. Appropriation Number 15b. Reservation Number Previous HUD Amount HUD Amount this Action $514,500.00 ! I EID 08 Total HUD Amount $514,500.00 Amount Previously Obligated _ Recipient Amount Obligation by this Action $514,500.00 Total Instrument Amount $514,500.00 Total Obligation t � 9 $514,500.00 , 16. Description to maintain affordable housing for low- income residents of Miami Beach, Florida This Award consists of the following items which are appended to and hereby made part of this Award: (A) Cover Page - HUD 1044 (B) Grant Agreement Special Conditions: Please contact Ubaldo Cazzoli - HUD Area Environmental Officer at 305 -536 -4652, Ubaldo_A._Cazzoli @hud.gov concerning environmental review. NO FUNDS may be committed to the project or drawn down prior to environmental release of funds approval. X 1 Re • i s required to sign and return three (3) copies of J 18. r . ) P 1 Recipient is not required to sign this document. this document to the HUD Administering Office. i r— i 19. Recipient (By Name): 20. HUD (By Name): z Mr. Jorge M. Gonzalez _._ . __F.__._ - _ _ _�_ - ._ ._ Robert Dunc. Signature & Title: [Date: - Signature and Title: ' —_ Date 1 '0 C Manager .� ADAS for Ec�n Deve opment W ? Lit) Prev Ed are •. .lete form HUD -1044 (8/90) Ref. Handbook 2210.17