97-22313 RESO
Resolution No. 97-22313
A RESOLUTION OF THE MAYOR AND CITY COMMISSION
OF THE CITY OF MIAMI BEACH, FLORIDA, AMENDING THE
CITY'S FISCAL YEAR 1996/97 ONE-YEAR ACTION PLAN
COMPONENT OF THE CONSOLIDATED PLAN, ADOPTED
ON JULY 3, 1996, PERTAINING TO THE HOME INVESTMENT
PARTNERSHIPS PROGRAM, REDUCING THE PROPOSED
NOTICE OF FUNDING AVAILABILITY (NOFA), UNDER
PROJECT COSTS FOR ACQUISITION AND
REHABILITATION, FROM $1,035,906 TO $285,906; AND
AUTHORIZING THE MAYOR AND CITY CLERK TO
EXECUTE A HOME INVESTMENT PARTNERSHIPS
PROGRAM AGREEMENT, SUBSTANTIALLY IN THE FORM
OF EXHIBIT "A" ATTACHED TO THE CONCILIATION
AGREEMENT, WITH DOUGLAS GARDENS COMMUNITY
MENTAL HEALTH CENTER OF MIAMI BEACH, INC., TO
PROVIDE FOR THE COMMITMENT OF EXCLUSIVELY
UNCOMMITTED HOME INVESTMENT PARTNERSHIPS
PROGRAM FUNDS IN THE AMOUNT OF SEVEN HUNDRED
AND FIFTY THOUSAND DOLLARS ($750,000) FOR THE
MAYFAIR PROJECT, EXCLUSIVELY FOR THE ACQUISITION
OF THE PROPERTY AT 1960 PARK AVENUE, MIAMI
BEACH, SAID RESOLUTION NOT TO BECOME EFFECTIVE
UNLESS AND UNTIL DOUGLAS GARDENS COMPLIES WITH
THE CONDITIONS SET FORTH IN PARAGRAPHS 3B(a), (b),
AND (c) AND THEIR RESPECTIVE SUBPARTS OF THE
CONCILIATION AGREEMENT.
WHEREAS, on July 3, 1996, the Mayor and City Commission adopted the fi~,ccl
year 1996/97 One-Year Action Plan component of the Consolidated Plan; and
WHEREAS, on May 29, 1996, Douglas Gardens Community Mental Health Centel'
of Miami Beach, Inc. (Douglas Gardens) filed a complaint with the U.S. Department cf
Housing and Urban Development (U.S. HUD) styled Douglas Gardens Community Melltc!
Health Center of Miami Beach. Inc. v. City of Miami Beach C.D.. et aI., U.S. HUD Case !\Ic.
04-96-0292-8 (the Lawsuit); and
WHEREAS, on January 22, 1997, the Mayor and City Commission adopted
Resolution No. 97-22269, approving and authorizing the Mayor and City Clerk to executf~
the Conciliation Agreement by and between the City of Miami Beach, Douglas Gardens
Community Mental Health Center of Miami Beach, Inc. and U.S. HUD, in settlement of tho
Lawsuit; and
WHEREAS, the terms of the Conciliation Agreement stipulate that the City sl1al
consider the adoption of a "Settlement Award Resolution," amending the fiscal year
1996/97 One-Year Action Plan component of the Consolidated Plan as it pertains to thll~
HOME Investment Partnerships Program, reducing the proposed Notice of Funcin!1)
Availability (NOFA), under Project Costs for Acquisition and Rehabilitation, flOfl
$1,035,906 to $285,906, and authorizing the Mayor and City Clerk to execute a HOMI:
Investment Partnerships Program Agreement, substantially in the form of Exhibit "A'
attached to the Conciliation Agreement, with Douglas Gardens to provide for thll~
commitment of exclusively uncommitted HOME Investment Partnerships Program fund;
in the amount of Seven Hundred and Fifty Thousand dollars ($750,000) for the Ma~fa,r
Project, exclusively for the acquisition of the property at 1960 Park Avenue, Miami Bec,d,
said resolution not to become effective unless and until Douglas Gardens complies witl!l
the conditions set forth in paragraphs 3B(a), (b), and (c) and their respective subpart:; d
the Conciliation Agreement; and
WHEREAS, pursuant to U.S. HUD regulations at CFR 91-105 and CFR 91-505, and
the City's Citizen Participation Plan, as revised and amended on April 5, 1995, all
amendment to the One-Year Action Plan component of the Consolidated Plan requires thct
a thirty (30) day period be provided for public comment, and that two (2) public hearing;
be held to receive public input on any proposed amendment; and
WHEREAS, a Notice of Public Comment Period was advertised on January 3C,
1997, for comments to be accepted until March 3, 1997; and
WHEREAS, on February 11, 1997 and March 5, 1997, respectively, two required
public hearings were held by the Economic and Community Development Division of thll~
City's Development, Design and Historic Preservation Department, and the Mayor and Cit l
Commission, respectively, to receive public input on the amendments to the One-Year
Action Plan component of the Consolidated Plan.
NOW THEREFORE, BE IT DULY RESOLVED by the Mayor and City Commissiol
of the City of Miami Beach, Florida, that the City's fiscal year 1996/97 One-Year Actio 1
Plan component of the Consolidated Plan, adopted on July 3, 1996, is amended pertaininq
to the HOME Investment Partnerships Program, reducing the proposed Notice of Funcin!l
Availability (NOFA), under Project Costs for Acquisition and Rehabilitation, frofl
$1,035,906 to $285,906, the NOFA to be issued by the City by the end of fiscal yealr
1996/97; and the Mayor and City Clerk are hereby authorized to execute a HOML:
Investment Partnerships Program Agreement, substantially in the form of Exhibit "A'
attached to the Conciliation Agreement, with Douglas Gardens to provide for tht,~
commitment of exclusively uncommitted HOME Investment Partnerships Program fund;
in the amount of Seven Hundred and Fifty Thousand dollars ($750,000) for the Mayfa r
Project, exclusively for the acquisition of the property at 1960 Park Avenue, Miami Beact,
said resolution not to become effective unless and until Douglas Gardens complies witll
the conditions set forth in paragraphs 38(a), (b), and (c) and their respective subpart:; cf
the Conciliation Agreement.
Approved and Adopted, this 1.!.!!.... day
-"~
Attest:
Qo ~r p ~
Robert Parcher, City Clerk
F:\DDHP\CH\RESO\APAMNDDG.F tE~
APPROVED AS 1"0
FORM & lANGU~GE
& FOR EXEcur'Ot II
111 ~.
City Attorney
Lf.Z-: "l!12
CITY OF MIAMI BEACH
CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH FLORIDA 33139
TO:
COMMISSION MEMORANDUM NO. ~7
Mayor Seymour Gelber and
Members of the City Commission
DATE:
March 5, 1 39"
Jose Garcia_pedrosa)l ,
City Manager ...
THREE RESOLUTIO S OF THE MAYOR AND CITY COMMISSION OF
THE CITY OF MIAMI BEACH, FLORIDA: A "CERTIFICATE OF
CONSISTENCY RESOLUTION"; A "SETTLEMENT AWARD
RESOLUTION"; AND A "CONSOLIDATED PLAN RESOLUTION"; ALL IN
ACCORDANCE WITH THE TERMS OF THE CONCILIATION AGREEME.:NT
BY AND BETWEEN THE CITY, DOUGLAS GARDENS. COMMUNIIT'"
MENTAL HEALTH CENTER OF rytlAMI BEACH, INC. AND U.S. HUD, IN
SETTLEMENT OF THE LAWSUIT STYLED DOUGLAS GARDEN:~
COMMUNITY MENTAL HEALTH CENTER OF MIAMI BEACH. INC. V~
CITY OF MIAMI BEACH. C.D.. ET AL. HUD CASE NO. 04-96-0292-8.
RECOMMENDA liON:
FROM:
SUBJECT:
Approve the resolutions.
BACKGROUND:
On May 29, 1996, Douglas Gardens Community Mental Health Center of Miami Beach
Inc, (Douglas Gardens) filed a complaint with the Department of Housing and Urban
Development (U.S. HUD) , styled Douglas Gardens Community Mental Health Cente'. of
Miami Beach. Inc. v. City of Miami Beach C.D.. et ai, U.S. HUD Case No. 04-96-029~:-8
alleging violations of the Fair Housing Act, as amended, 42 U.S.C. 993601-3619 (1939:1
involving the proposed "Mayfair Project" to be located at the Mayfair Hotel, 1960 Pari:
Avenue, Miami Beach, Florida.
On June 18, 1996, the City retained Steel Hector & Davis LLP (special legal counsel) k,
represent the City. Special legal counsel engaged in settlement negotiations for thE!!
above-referenced lawsuit interacting with the U.S. HUD, Office of Fair Housing ane:
Enforcement Center, and Douglas Gardens under the conciliation provisions of the Fai"
Housing Act.
On January 22,1997, the City Commission adopted Resolution No. 97-22269, approvin~1
and authorizing the Mayor and City Clerk to execute the Conciliation Agreement by ane I
AGENDA ITEM RJn.-
DATE 3-liTI_
COMMISSION MEMORANDWJI
MARCH 5, 19~'7
PAGE 2
between the City of Miami Beach, Douglas Gardens Community Mental Health CentE'!r (If
Miami Beach, Inc. and U.S. HUD, in settlement of the lawsuit styled Douglas Garden~
Community Mental Health Center of Miami Beach. Inc. v. City of Miami Beach C.D.. et a...
U.S. HUD case no. 04-96-0292-8; authorizing the Mayor and City Clerk to execute a 1
Escrow Agreement for retention and delivery of the General Release and Joint Stipula:io 1
of Dismissal with Prejudice pertaining to said lawsuit as to the City; authorizing the firm c f
Steel Hector & Davis LLP, as special legal couQsel for the City, to execute the Joirt
Stipulation of Dismissal with Prejudice and the Second Joint Stipulation with Prejudice; and
further authorizing the Mayor, City Clerk, and Steel Hector & Davis LLP to execute any and
all related documents, subject to review by the City Attorney's Office and Steel Hectc r ~(
Davis LLP, in full and final settlement of this matter.
ANAL YSIS:
The terms of the Conciliation Agreement stipulate that the City shall consider the adopt or
of three resolutions at the March 5, 1997 City'Commission meeting: a "Certificate 0
Consistency Resolution"; a "Settlement Award Resolution"; and a "Consolidated Piar
Resolution".
Certificate of Consistency Resolution
The "Certificate of Consistency Resolution" authorizes the City Manager to issue a
Certificate of Consistency with the City's adopted Consolidated Plan to Douglas Gardens
for the "Mayfair Project" as described in Douglas Gardens' "Response to the City's RFP
for CDBG funding fo~ FY 1996/1997 [Program Year 22]," dated March 15, 1996 (CDBG
RFP Proposal #7) (the "Mayfair Project"), which is located at 1960 Park Avenue, Miami
Beach, Florida.
Settlement Award Resolution
The "Settlement Award Resolution" amends the text of the fiscal year 1996/97 One-Year
Action Plan component of the Consolidated Plan, as it pertains to the HOME Investment
Partnerships Program, reducing the proposed Notice of Funding Availability (NOFA), under
Project Costs for Acquisition and Rehabilitation, from $1,035,906 to $285,906, the NOFA
to be issued by the City by the end of fiscal year 1996/97.
This Resolution also authorizes the Mayor and City Clerk to execute a HOME Investment
Partnerships Program Agreement, substantially in the form of Exhibit "A" attached to the
Conciliation Agreement, with Douglas Gardens to provide for the commitment of
exclusively uncommitted HOME Investment Partnerships Program funds in the amount <jf
Seven Hundred and Fifty Thousand dollars ($750,000) for the Mayfair Project, exclusively
COMMISSION MEMORANDUv1
MARCH 5, . 9~7
PAGE 3
for the acquisition of the property at 1960 Park Avenue, Miami Beach, said resolution not
to become effective unless and until Douglas Gardens complies with the conditions Sl!t
forth in paragraphs 3B(a), (b), and (c) and their respective subparts of the Conciliatiol
Agreement.
Consolidated Plan Resolution
...
...
The "Consolidated Plan Resolution" amends the text of the Three -Year Consolidated PIa,
for Federal Funds for Fiscal Years 1995/96, 1996/97 and 1997/98 (Consolidated Plan,
as it pertains to the approval of Special Needs Housing on a case-by-case basis, and th.~
funding of SRO units, as follows:
1.) The language "when there is community support" shall be removed from th~
sentence, "Special needs housing can be considered on a case-by-case basis wile 1
there is community support," which appears at page v of the Plan; the languagl~
"and community support" shall be removed from the sentence, "All SRO, emergenc l
shelter and homeless initiatives will require a Plan Consistency Review as outlinel j
earlier and community support," which appears at page 6-17 of the Plan; the wonj
"both" and the language "and community support" shall be removed from thH
sentence, 'Without both an approved Consistency Review and community suppor t
no project will be approved," which appears at page 6-17 of the Plan; the language
"when there is community support" shall be removed from the sentence, "Spe,:::ic' I
needs housing will be considered on a case-by-case basis when there is commUl'~,r
support," which appears at page 7-55 of the Plan; and the language "when them is
community support" shall be removed from the sentence, "Special needs housin~11
can be considered on a case-by-case basis when there is community suppcrt,1
which appears at page 3 of the Commission Memorandum No. 645-95, dated Jul~'
26, 1995, attached as an appendix to the Plan; and
2.) The City's Consolidated Plan is amended as it pertains to the funding of single ro:m ii
occupancy (SRO) units, by removing the following language:
"No shelter or SRO units will be funded due to the substantial commitments in thE!SE.
areas made in previous years," which appears at pages iv and v of the Plan; line
shelter, or SRO units will be funded due \0 the substantial commitments in thesE
areas made in previous years," which appears at page 3 of the Commiss or
Memorandum No. 645-95, dated July 26, 1995, attached as an appendix to thE
Plan; and "The Consolidated Plan modification proposed will not allow em)
additional shelters or SRO units in the future," which appears at page 8 of thE
Commission Memorandum No. 645-95, dated July 26, 1995, attached as ar
appendix to the Plan.
COMMISSION MEMORANDLM
MARCH 5, 1997
PAGE 4
In accordance with U.S. HUD regulations at CFR 91-105 and CFR 91-505, and the City's
Citizen Participation Plan, revised and amended on April 5, 1995, an amendment to the
Consolidated Plan and/or the One-year Action Plan component of the Consolidated Plan
requires that a 3D-day period be provided for the public to comment on the proposed
change, and that two public hearings be held to receive public input on any proposed
amendment. ..
...
A Notice of Public Comment Period was advertised on January 30, 1997, for comments
to be accepted until March 3, 1997. The first required public hearing was held by the
Economic and Community Development Division of the Development, Design and Historic
Preservation Department on February 11, 1997. Resolution No. 97-22276, adopted
February 5, 1997, called for the required second public hearing to be held by the MaYJr
and City Commission at the March 5, 1997 City Commission meeting at 11 :00 a.m.
CONCLUSION:
The Administration recommends that the Mayor and City Commission adopt the thwe
attached Resolutions: a "Certificate of Consistency Resolution"; a "Settlement Awa'd
Resolution"; and a "Consolidated Plan Resolution"; all in accordance with the terms of the
Conciliation Agreement by and between the City, Douglas Gardens Community Mental
Health Center of Miami Beach, Inc. and U.S. HUD, in settlement of the lawsuit stylE!d
Douglas Gardens Community Mental Health Center of Miami Beach. Inc. v. City of Miami
Beach. C.D.. et al. U.S. HUD Case No. 04-96-0292-8.
JGP/H~MDC/CAH
f:\\\CH\RESO\DG3RESO.ME oM
PROJECT AGREEMENT
THIS AGREEMENT, entered into this 1.l. day of July ,1997, by and between the CITY OF MIAII'''I
BEACH, a Florida municipal corporation, having its principal office at 1700 Convention Center Drive,
Miami Beach, Florida, (hereinafter referred to as City), and the DOUGLAS GARDENS COMMUI'~llY
MENTAL HEALTH CENTER OF MIAMI BEACH, INC., a Florida Not-for-Profit Corporation, wi,th
offices located at 701 Lincoln Road, Miami Beach, Florida, (hereinafter referred to as DGCMHC I.
WITNESSETH:
WHEREAS, the U.S. Department of Housing and Urban Development (HUD) has iSiUl!d
rules providing for the utilization of Federal funds in the provision of affordable housing fOI' Ie w
income persons under the HOME Investment Partnerships Act (HOME); and
WHEREAS, the City has established a HOME Investment Partnerships Program under the
HUD rules, which provides financial assistance for the purpose of providing affordable housing wit~ in
the City; and
WHEREAS, the City has determined the necessity for providing affordable housing in the C ty
through its Consolidated Plan, which was adopted by Resolution No. 95-21670, on July 26, 1995 and
its One-Year Action Plan for Federal Funds for FY 1996/97 Federal Funds adopted by Resolution
No. 96-22046 on July 3, 1996; and
WHEREAS, DGCMHC warrants and represents that it possesses the legal authority to Hnt~r
into this Agreement, by way of a resolution, motion, or similar action that has been duly adoptHd Jr
passed as an official act of the DGCMHC governing body, authorizing the execution of tt is
Agreement, including all understandings and assurances contained herein, and authorizinrl tllle
person identified as the official representative of DGCMHC to act in connection with this Agreernelt
and to provide such additional information as may be required; and
WHEREAS, it is acknowledged and agreed that funds to be granted to DGCMHC derive froTl
Federal funds appropriated to the City by HUD, for the uses and purposes herein referred to an j,
accordingly, it is acknowledged and agreed that this Agreement is entered into in compliance by tile
parties with all applicable provisions of Federal, State and local laws, statues, rules and regulat on s.
NOW, THEREFORE, in consideration of the mutual promises contained herein, the partins
hereto agree as follows:
ARTICLE I
DEFINITIONS
As used in this Agreement the terms listed below shall have the following meanings:
(a) HOME: HOME Investment Partnerships Program, 24 CFR Part 92, as amended.
(b) HUD: United States Department of Housing and Urban Development or any success)r
agency.
(c) Funds: HOME Program funds.
(d) Terms defined in the HOME Investment Partnerships Program Final Rule, 24 CFR Part 9~,
September 16, 1996, and any amendments thereto: Any term defined in the HOME Investrne,t
Partnerships Program Rule, not otherwise defined in this Agreement, shall have the meaninn s ~t
forth in said rule.
1
'-.
(e) Commence construction: work shall be considered to have commenced when, in the opnicm
of the City, a full complement of workers and equipment is present at the site of the Project to
diligently incorporate materials and equipment into the structure throughout the day on each full
working day, weather permitting.
(f) HOME Assisted Units: A term that refers to the number of units within a HOME projec:t f)r
which rent, occupancy, and/or resale restrictions apply.
ARTICLE II
ALLOCATION OF HOME FUNDS
The City agrees to allocate HOME funds to DGCMHC in the amount of Seven-Hundred Fillty
Thousand Dollars ($750,000) (referred to herein as the "HOME Funds" or the "Funds"). The Funds
will be used by DGCMHC solely for the acquisition of the Mayfair Hotel, located at 1960 Pa-k
Avenue, Miami Beach, Florida, a three-story building consisting of 42 zero-bedroom units. DGCIJII-C
currently leases the Mayfair Hotel and is providing rental housing for its low and very-low incon e
clients. The Mayfair Hotel will continue in its present use and will be rehabilitated by DGCMH:; us
more fully described in the Scope of Services (Exhibit A), and Budget (Exhibit B), attached heret).
DGCMHC agrees that it will execute a Restrictive Covenant with the City that will detai tI e
restrictions imposed upon DGCMHC, in consideration for the Funds provided for the Mayfair I-oll'!!,
that will be recorded in the Official Records of Dade County Florida.
ARTICLE III
PROGRAM INCOME
DGCMHC agrees that any program income generated from the use of HOME funds und ~r
this Agreement, will be identified and prorated in accordance with the HOME Regulations, 24 CF R
Part 92, as amended.
ARTICLE IV
SPECIAL PROVISIONS APPLICABLE TO FUNDS PROVIDED UNDER THE HOME PROGHAII'~
DGCMHC expressly agrees to the following terms and conditions in conformity with tI e
HOME Program Final Rule, 24 CFR Part 92.503(b).
(a) Affordability Period. The period of time HOME assisted units must remain afforcab e
is in accordance with 24 CFR 92.252 (rental housing) or 24 CFR 92.254 (homeownership housin~),
as applicable, beginning after project completion. The Funds, in accordance with the Scope )f
Services (Exhibit A) and Budget (Exhibit B), shall be repaid to the City in the event the housing dOl !,s
not meet the affordability requirements for the required time period in accordance with 24 :;F R
92.252 (rental housing) or 24 CFR 92.254 (homeownership housing), as applicable.
(b) Repayment of Funds; Transfer of Title. The Funds (which definition shall includE~ tI e
allocation of any additional funds that may be provided by the City in the future as a result of c n
amendment or modification of this Agreement) shall be repaid in their entirety if the HOME unils ( 0
not meet the affordability requirements for the required time period, in accordance with the terms )f
this Agreement and the Regulations. Any violation of the affordability requirements may, at the Cit~ s
option, result in the entire amount of the Funds, as indicated in Article II or as subsequently amendE d
or modified, to be returned and/or otherwise repaid by DGCMHC to the City, and same shall te
considered and treated as an Event of Default pursuant to Article XXVI herein. The City reservf!S
the right to review the affordability requirements, as set forth herein. Concurrent with its executkn
2
of this Agreement and/or any projects pursuant to this Agreement, DGCMHC shall execulte a
Restrictive Covenant incorporating the terms of this section.
(c) Rent Limitation. HOME assisted rental units will bear rents in accordance with 24 CF ~
92.252.
(d) Rent schedule and utility allowances. In accordance with 24 CFR 92.252(b)(c) ard
(d), the City must review and approve rents and the monthly utility allowances proposed by the ownl!r
prior to initial occupancy. DGCMHC must re-examine and document the income of each tenant livir g
in the HOME assisted units at least annually. The maximum monthly rent must be recalculated t. y
DGCMHC and reviewed and approved by the City annually.
(e) DGCMHC shall comply with all applicable federal regulations as they may apply 0
restrictions and limitations regarding real property under DGCMHC's control acquired or improvE d
in whole or in part with HOME funds. The Funds shall be subject to all of the terms and condi1ior s
of the HOME Program, 24 CFR Part 92, and any amendments thereto.
(f) Projects must provide safe, sanitary, and decent residential housing for low-income ar d
very low-income persons (Le., a person whose income is within specific income levels set fon h IIY
U.S. HUD).
(g) Income Targeting. DGCMHC shall maintain written documentation that conclusively
demonstrates that each project assisted in whole or in part with HOME funds provides benefit.o
very-low (families whose annual incomes that do not exceed 50 percent of the median family incon 'e
for the area) and low-income (families whose annual incomes do not exceed 80 percent of the
median income for the area) as determined by HUD.
(h) Records: DGCMHC shall maintain all records sufficient to meet the requirements of ::4
CFR 92.508(a)(2) program records, 92.508(a)(3) project records, 92.508(a)(5) other Fedel al
requirements records, 92.508(a)(6) program administration records. All records required herein shill
be retained and made accessible as provided in 24 CFR 92.508 (c) and (d) and Florida Sta':utl'~s
Chapter 119.
G) 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, rehabilitatilm
standards, ordinances and zoning ordinances at the time of project completion. An owner of ren al
housing assisted with HOME funds must maintain the housing in compliance with all applicable Gtcte
and local housing quality standards and code requirements and if there are no such standar:ls:>r
code requirements, the housing must meet the housing quality standards in 24 CFR 982.401. TIe
owner of rental housing assisted with HOME funds will maintain the housing in compliance wit1 tIe
applicable housing quality standards and local housing code requirements for the duration of this
agreement and any amendments hereto. The City shall conduct annual or bi-annual, as reqllire d,
on site inspections of rental projects to determine compliance with housing codes. The City mclY
select a sample of the units in the project to satisfy the inspection requirements.
(k) Maximum and Minimum Amount of HOME Subsidy Per Unit. The minimum amOl nt
of HOME funds that can be invested is $1,000 times the number of HOME assisted units, and t,e
maximum amount of HOME subsidy is limited to the amounts listed in Exhibit C. The number of
HOME units to be provided for each project or activity are specified in the Scope of Services (E<hi ~it
A), attached hereto.
3
(I) Environmental Clearance. For each activity or project described in the Scope II)f
Services (Exhibit A), attached hereto, for which a location has not yet been identified, immediate y
after a site is identified by DGCMHC, DGCMHC shall obtain the City's written environmE~nt 31
clearance statement and shall agree in writing to comply with any and all requirements as may te
set forth in the Site Environmental Clearance Statement.
(m) Affirmative Marketing. DGCMHC agrees to implement the City's adopted affirmati\ e
marketing procedures and requirements for rental and homebuyer projects containing 5 or nOI' e
HOME-assisted housing units as set forth in 24 CFR 92.351.
(n) Tenant and Participant Protections. DGCMHC agrees that the lease to be exec.lte d
with the tenants of rental housing must be in accordance with 24 CFR 92.253. DGCMHC ag"eE s
to adhere to and develop a fair lease and grievance procedure which will provide a plan for ar d
follow a program of tenant participation in management decisions, to be submitted to the Citf fi)r
approval, no later than 60 days from the date of this Agreement.
(0) Religious organizations. HOME funds may not be provided to primarily religiOl s
organizations for any activity including secular activities. In addition, HOME funds may not be lIse d
to rehabilitate or construct housing owned by primarily religious organizations or to assist prirr ari y
religious organizations in acquiring housing
ARTICLE V
ELIGIBLE COSTS
DGCMHC agrees that eligible costs for the project under this Agreement are limited to tllm e
eligible costs as outlined in 24 CFR 92.206 of the HOME Program regulations.
ARTICLE VI
DISBURSEMENT OF FUNDS
(1) The City shall issue a check made out to DGCMHC in the amount of $750,000 solely for tt e
acquisition cost of the Mayfair Hotel, as permitted under the Budget (Exhibit B).
(2) Any payment due under the terms of this Agreement may be withheld pending the receipt ar d
approval by the City of all reports and documents which DGCMHC is required to submit to the Ci:y
pursuant to the terms of this Agreement or any amendments thereto.
(3) No payments will be made without evidence of appropriate insurance required by th IS
Agreement. Such evidence must be on file with the City.
(4) DGCMHC understands and agrees that disbursement request of funds under this Agreernelt
are only to be requested when the funds are needed for payment of eligible costs. The amount )f
each request must be limited to the amount needed.
(5) The City desires to enter into this Agreement only if in so doing it can retain the rig1t )f
approval over the disbursement of HOME funds for the individual real estate transad< n
contemplated herein. DGCMHC shall be required to submit all necessary documentation rekati' e
to the aforestated transactions to the City's Economic and Community Development Division f)r
review fifteen (15) days prior to the disbursement of HOME funds for the individual transaction.
4
(6) Cancellations of projects or site transactions with disbursements: If a project or si'e
transaction is cancelled, whether voluntarily by DGCMHC or otherwise, an amount equal tc tte
HOME funds disbursed by the City for the transaction, must be repaid to the City. The City shall t e
immediately notified, in writing, of a project or site cancellation and all funds disbursed by the Ci y
shall be repaid to the City within 15 days of the date of project or site cancellation.
ARTICLE VII
SUBCONTRACTS
(a) DGCMHC shall use its best efforts to include a statement in all subcontracts that it executE s
that the subcontractor shall hold the City harmless against all claims of whatever nature arisin~1 Olt
of the subcontractor's performance of work under this Agreement to the extent allowed by law.
(b) If DGCMHC subcontracts, a copy of the executed subcontract must be forwarded to the Ci y
within ten (10) days after execution.
ARTICLE VIII
CONDITIONS OF SERVICES
(a) As a condition of these services, DGCMHC agrees to comply with the HOME Program Fin 31
Rule, 24 CFR Part 92, and any Amendments or Notices issued pursuant thereto.
(b) DGCMHC agrees to comply with the requirements of Executive Orders 11625 and 1~~4~ 2
concerning Minority Business Enterprise and 12138 Women's Business Enterprise whic h
encourage the use of minority and women's business enterprises, to the maximum extent possibkl,
in connection with HOME-funded activities.
(c) DGCMHC agrees to comply with the Displacement, Relocation and Acquisition requiremen s
in accordance with the Uniform Relocation Assistance and Real Property Acquisition Poli,eiES
Act of 1970 (URA) (42 U.S.C. 4201-4655) and 49 CFR Part 24.
(d) DGCMHC agrees to comply with all of the following federal laws, executive orders, ar d
regulations pertaining to fair housing and equal opportunity.
(1) Title VI ofthe Civil Rights Act of 1964, As Amended (42 U.S.C. 2000d) -- States th,~t
no person may be excluded from participation in, denied the benefits of, or subjecte,j . 0
discrimination under any program or activity receiving federal financial assistance on the basis,)f
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" ("2
U.S.C. 3601) and its implementing regulations at 24 CFR Part 100-115 -- Prohibits discriminClticn
in the sale or rent of units in the private housing market against any person on the basis of raC"l,
color, religion, sex, national origin, familial status or handicap.
3) Equal Opportunity in Housing (Executive Order 11063, As Amended by Executive C rdl!r
12259) and implementing regulations at 24 CFR Part 107 -- Prohibits discrimination in housirg or
residential property financing related to any federally assisted activity against individuals on the bas s
of race, color, religion, sex or national origin.
4) Age Discrimination Act of 1975, As Amended (42 U.S.C. 6101) and its implementirg
5
regulations at 24 CFR Part 146 -- Prohibits age discrimination in programs receiving federal financi 31
assistance.
5) Equal Employment Opportunity, Executive Order 11246, As Amended and is
implementing regulations at 41 CFR Part 60 -- Prohibits discrimination against any employee' lr
applicant for employment because of race, color, religion, sex, or national origin. Provisions 0
effectuate this prohibition must be included in all construction contracts exceeding $10,000.
(e) DGCMHC agrees to comply with the requirements of Section 3 of the Housing and Urballn
Development Act of 1968 (12 U.S.C. 1701u) -- Requires that, to the greatest extent feasibl~,
opportunities for training and employment arising from HOME will be provided to low-income pemor s
residing in the program service area; and, to the greatest extent feasible, contracts for work t:> t e
performed in connection with HOME will be awarded to business concerns which are located in Ilr
owned by persons residing in the program service area.
(f) DGCMHC will ensure that all units in a project assisted with HOME funds comply with it e
Lead Based Paint Poisoning Prevention Act (42 U.S.C. 4821, et) and its implementing regulalior s
at 24 CFR 35.
(g) DGCMHC agrees to comply with the Federal Labor Standards Provisions, as describud n
HUD Handbook 1344-1 (Federal Labor Standards Compliance in Housing and Communiy
Development Programs) - Applies to all projects with 12 or more HOME-assisted units, regarc Ie! s
of whether HOME funds are used for construction or other costs.
(h) DGCMHC agrees to comply with the requirements of 24 CFR part 24 regarding debarr1lent
and suspension.
ARTICLE IX
TERM OF AGREEMENT
This Agreement shall be effective upon execution by both parties and shall end a1 tt e
conclusion of the ten (10) year period of affordability as specified in 24 CFR 92.252 (affordable mnt31
housing).
ARTICLE X
TERMINATION
The City and DGCMHC agree that this Agreement may be terminated by the City in who e
or in part, for cause (as more specifically defined in Article XXVI herein) or for convenienc'3, n
accordance with the provisions of 24 CFR, Part 85.44. A written notification shall be requirEidlt
least thirty (30) days prior to the effective date of such termination, and shall include the reaS01 f'lr
the termination (if for cause), the effective date, and in the case of a partial termination, the ac:tu31
portion to be terminated. Notwithstanding the language set forth herein, the City's reason:; for
terminating the Agreement for convenience, in whole or in part, shall not be arbitrary or capriciou ).
ARTICLE XI
AMENDMENTS
Any alterations, variations, modifications or waivers of any provisions to this Agreemer t,
including an increased allocation of funds, shall only be valid when they have been producE~d n
writing and duly signed by both parties hereto. Any changes which do not substantially change t~e
6
Scope of Services or increase the total amount payable under this Agreement, shall be valid or Iy
when reduced to writing and signed by the City Administration and DGCMHC.
ARTICLE XII
CONFLICT OF INTEREST
(a) DGCMHC shall comply with the standards contained within 24 CFR Part 92.356 which s'atllls
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 or non-profit, mlY
occupy a HOME-assisted affordable housing unit in a project. This provision does not apply 10 un
employee or agent of the owner or developer of a rental housing project who occupies a HOM:-
assisted unit as the project manager or maintenance worker. Exceptions may be granted by the C ty
in accordance with 24 CFR Part 92.356(f)(2).
(b) DGCMHC shall disclose any possible conflicts of interest or apparent improprieties of any I)arty
that is covered by the above standards. DGCMHC shall make such disclosure in writing to the C ty
immediately upon DGCMHC's discovery of such possible conflict. The City will then rendE~r un
opinion which shall be binding on all parties.
(c) Related Parties. DGCMHC shall report to the City the name, purpose, and any other releva1t
information in connection with any related-party transaction. This includes, but is not limited to, a
for-profit subsidiary or affiliate organization, an organization with overlapping boards of directors, ar d
an organization for which DGCMHC is responsible for appointing memberships. DGCMHC shall
report this information to the City upon forming the relationship or, if already formed, shall report it
immediately. Any supplemental information shall be reported to the City required Progress Repol.
ARTICLE XIII
INDEMNIFICATION AND INSURANCE
DGCMHC, through an insurance carrier, shall indemnify and hold harmless the City frorr any
and all claims, liabilities, losses, and causes of action which may arise out of an act, omis:;i01,
negligence or misconduct on the part of DGCMHC or any of its agents, servants, emplo~ee 5,
contractors, patrons, guests, clients, or invitees. DGCMHC, through its insurance carrier, shal puy
all claims and losses of any nature whatsoever in connection therewith and shall defend all su ts n
the name of the City, when applicable, and shall pay all costs and judgements which may i:;sl e
thereon.
DGCMHC shall maintain during the term of this Agreement, the insurance specified below.
(1) General Liability: $1,000,000 combined single limit for bodily injury and property damagE~, f lr
each occurrence.
(2) Contractual Liability: the policy must include coverage to cover the above indemnification.
(3) Automobile and vehicle coverage in the amount of $1,000,000 per occurrence shall be requirE d
when the use of automobiles and other vehicles are involved in any way in the performance of tt e
Agreement, including non-owned automobile coverage.
(4) Workers' Compensation Coverage as per statutory limits of the State of Florida.
7
(5) Builders Risk/Comprehensive Fire and Hazard Insurance: Full replacement cost of the project.
DGCMHC shall deliver to the City the original policy of Builder's Risk and Comprehensive Fire and
Hazard Insurance in completed value form with extended coverage in the amount of the full insurable
value of the Project upon completion of construction, issued by a company satisfactory to the City.
(6) Flood Insurance: DGCMHC shall deliver to the City evidence satisfactory to the City that the
premises are covered by flood insurance supplied by the Federal Insurance Administration to tie
maximum amount available, all as provided in the Flood Disaster Protection Act of 197~" i.IIS
amended, together with appropriate endorsement. DGCMHC agrees that the City shall haVE! tI e
right to take any action necessary to continue said insurance in full force.
DGCMHC shall submit to the City an ORIGINAL Certificate of Insurance for the above coveragE.
The City of Miami Beach shall be named as an additional insured - to the extent of its
insurable interest on all policies required herein.
All insurance coverage shall be approved by the City's Risk Manager prior to the releal;e)f
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, t~IS
Agreement shall become null and void, and the City shall have no obligation under the terms thme)f
unless a written extension of this thirty (30) day requirement is secured from the Risk Managnr.
ARTICLE XIV
REPORTS
(1) ProQress Reports. DGCMHC agrees to submit monthly progress reports to the Cit~,
describing the status of each project and achievement of the project objectives as provided hHre' n
and in the Scope of Services (Exhibit A), attached hereto. The progress reports shall be subm ittEd
no later than 10 days after the end of each month until such time as all funds are expended 0., f >r
rental projects, until the project is fully occupied.
It will be the responsibility of DGCMHC to notify the City in writing, of any actions, law, or event, th .3t
will impede or hinder the success of the projects and activities as provided in this Agreement. Aft ~r
such notification the City will take whatever actions it deems appropriate to ensure the succe:;s )f
the program.
(2) Tenant and Rent Schedule Certification.
a. DGCMHC shall submit to the City for approval the proposed rents for the HOI\i E
units and, if applicable, the monthly allowances for utilities and services to be paid by the tellar t.
The City shall approve submitted rents if such rents comply with applicable Federal standards, >r
if HUD has approved same.
b. DGCMHC shall provide the City with the initial tenant list, and any and ,III
subsequent updates, amendments and modifications thereto, with documentation for all tenar ts n
the HOME units confirming family size, income, financial classification, ethnicity, and the amount )f
the HOME rent. This report will continue to be required for the full period of affordability hereundE r,
beginning on the date of issuance of a Final Certification of Occupancy for the project.
c. Annually, DGCMHC shall deliver to the City's Housing and Comm In ty
8
Development Division, by November 1 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 1~it
through September 30th). The report will continued to be required for the full 10-year pericd of
affordability hereunder beginning on the date of issuance of a Final Certificate of Completion fol' t~e
project.
(3) Other reports as may be required by the City to demonstrate compliance with any of t~ e
terms of this Agreement.
If the required reports described above are not submitted to the City or are not completud n
the manner acceptable to the City, the City may withhold further payments until they are compl,eted
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 administration and/o. tt e
comptroller of the United States may deem necessary, there shall be made available to the Ci:y
administration and/or representatives of the comptroller to audit, examine and make audits of j III
contracts, invoices, materials, payrolls, records of personnel, conditions of employment and oth ~r
data relating to all matters covered by this Agreement. If during the course of a monitoring, the Ci I:y
determines that any payments made to DGCMHC do not constitute an allowable expenditure, tt e
City will have the right to deduct/reduce those amounts from their related invoices. DGCMHC mu 5t
maintain records necessary to document compliance with the provisions of this Agreement.
ARTICLE XVI
COMPLIANCE WITH LOCAL STATE AND FEDERAL REGULATIONS
DGCMHC agrees to comply with all applicable Federal regulations as they may ap~lly ::0
program administration. Additionally, DGCMHC will comply with all State and local laws allld
ordinances hereto applicable.
ARTICLE XVII
ADDITIONAL CONDITIONS
(a) Title and paragraph headings are for convenient reference and are not a part 0' tt is
Agreement.
(b) In the event of conflict between the terms of this Agreement and any terms or conditio 1S
contained in any attached document, the terms in this Agreement shall rule.
(c) No waiver or breach of any provision of this Agreement shall constitute a waiver of a1Y
subsequent breach of the same or any other provision hereof, and no waiver shall be effecti le
unless made in writing.
ARTICLE XVIII
ACCESS TO RECORDS
DGCMHC, agrees to allow access during normal business hours to all financial records to
9
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 0
insure compliance with applicable accounting and financial standards. DGCMHC shall allow ac~el,S
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 Cit {.
ARTICLE XIX
SEVERABILITY OF PROVISIONS
If any provision of this Agreement is held invalid, the remainder of this Agreement shall n)t
be affected thereby if such remainder would then continue to conform to the terms and requiremen:s
of applicable law.
ARTICLE XX
PROJECT PUBLICITY
DGCMHC agrees that any news release or other type of publicity pertaining to the acquisitic n
of 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 Economic and Comm.mi l:y
Development Division of the Development, Design and Historic Preservation Department and tt e
entity which provided funds for the Project.
ARTICLE XXI
DRUG-FREE WORKPLACE
DGCMHC agrees to administer, in good faith, a policy to ensure that it complies with tt e
Drug-Free Workplace Act requirements under 24 CFR Part 24, Subpart F, and will ensure that tt e
workplace is free from the unlawful manufacture, distribution, dispensing, possession or u~.,e )f
drugs or alcohol.
ARTICLE XXII
NONDELEGABLE
DGCMHC agrees that the obligations undertaken pursuant to this Agreement shall not t e
delegated or assigned to any other person or firm unless the City shall first consent in writing to tt e
performance or assignment of such service or any part thereof by another person or firm.
ARTICLE XXIII
SUCCESSORS AND ASSIGNS
DGCMHC agrees that this Agreement shall be binding upon the parties herein, their heir;,
executors, legal representatives, successors, and assigns.
ARTICLE XXIV
INDEPENDENT CONTRACTOR
DGCMHC and its employees and agents shall be deemed to be independent contractors ar d
not agents or employees of the City, and shall not attain any rights or benefits under the Civil Selvic e
or Pension Ordinances of the City, or any rights generally afforded classified or unclass ifiE d
employees; further he/she shall not be deemed entitled to the Florida Workers' Compensatic n
benefits as an employee of the City.
10
ARTICLE XXV
ASSIGNMENT
This Agreement may not be assigned or transferred by DGCMHC without the prior wr'itten
consent of the City thereto, which consent shall not be unreasonably withheld. It shall be deemfld
a default of this Agreement in the event that DGCMHC does not strictly comply with the procec unlS
established herein for obtaining City consent to assignment or transfer as defined by this Paragrapl.
In the event such consent is not obtained, in the manner prescribed herein, the City shall be en':itlfid
to declare a default, cancel this Agreement, and resort to its rights and remedies against the
defaulting party. In the event the Provider transfers an interest of more than one (1 %) percelt
ownership in its stock by pledge, sale, or otherwise; or if DGCMHC makes an assignment for the
benefit of its creditors, or uses this Agreement as security or collateral for any loan; or if the Pro'lid ~r
is involved in any bulk transfer of its business or assets, then in that event each of the fore~oing
actions shall also be deemed an assignment of this Agreement and shall require the City's pri Jr
written consent. A merger, dissolution, consolidation, conversion, liquidation or appointment 01 a
receivership for DGCMHC, shall be deemed an assignment of this Agreement and will requim tie
prior written consent of the City thereto. Nothing herein contained shall be construed to prevelt
DGCMHC from mortgaging the Mayfair Hotel property for $200,000 to the Hamilton Bank, N.A., aId
for $50,000 to Dade County, Florida, or the refinancing of either such loans.
ARTICLE XXVI
EVENTS OF DEFAULT
The City may place DGCMHC in default of this Agreement and may suspend or termina.e
this Agreement in whole or in part for cause, as prescribed in Article X herein. "Cause" shall includ~,
but not be limited to, the following:
(a) Failure to comply and/or perform in accordance with any of the terms and condi'ions
of this Agreement, or any Federal, State or local regulation;
(b) Submitting any required report to the City which is late, incorrect, or incomplete ir allY
material respect after notice and reasonable opportunity to cure, as set forth n
subparagraph (h) hereof, has been given by the City to DGCMHC;
(c) Implementation of this Agreement, for any reason is rendered impossible >r
infeasible;
(d) Failure to respond in writing within thirty (30) days of notice of same from City tc allY
concems raised by the City, including providing substantiating documentation WhE n
requested by the City;
(e) Any evidence of fraud, waste or mismanagement as determined by the Cit~ s
monitoring of project(s) under this Agreement, or any violation of applicable HU D
rules and regulations;
(f) DGCMHC's insolvency or bankruptcy;
(g) An assignment or transfer of this Agreement or any interest therein which does n >t
comply with the procedures set forth in Article XXIX herein;
(h) Failure to comply and/or perform in accordance with the affordability requiremEmt),
11
and/or an unauthorized transfer of title of its HOME projects.
In the event of a default the City may, thirty (30) days after mailing to DGCMHC a notice II)f
such default as set forth herein, automatically cancel and terminate this Agreement without liaiJiliy
to any party to this Agreement. If the default complained of is not fully and satisfactorily cured with n
thirty (30) days of DGCMHCs' receipt of such notice of default to DGCMHC, at the expiration of sa d
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 DGCMHC is diligently pursuing curative efforts) th s
Agreement may, at the City's sole option and discretion, be deemed automatically canceled ard
terminated, and the City fully discharged from any and all liabilities, duties and terms arising OLt cf,
or accruing by virtue of this Agreement.
ARTICLE XXVII
ADDITIONAL REMEDIES
In the event of a default, the City shall additionally be entitled to bring any and all legal and/or
equitable actions which it deems to be in its best interest, in Dade County, Florida, in ordnr . 0
enforce the City's rights and remedies against the defaulting party. The City shall be entitle d . 0
recover all costs of such actions, including reasonable attomey's fees. To the extent allowed by la",
the defaulting party waives its right to jury trial and its right to bring permissive counterclaims again;t
the City in any such action.
ARTICLE XXVIII
MAINTENANCE AND RETENTION OF RECORDS
DGCMHC agrees that it will maintain all records required pursuant to 24 CFR Part 92. SOd,
in an orderly fashion in a readily accessible, permanent and secured location, and that it will prepal e
and submit all reports necessary to assist the City in meeting record keeping and rep01ir g
requirements thereunder.
(1) Records shall be maintained for a period of five years after the closeout of funds under th s
Agreement except as provided herein (2), (3) and (4).
(2) If any litigation, claim, negotiation, audit or other action has been started before the re~;lulilr
expiration date, the records must be retained until completion of the action and resolution (If c II
issues which arise from it, or until the end of the regular period specified in paragraph (1), which'~Vi!r
is later;
(3) Records regarding project requirements that apply for the duration of the period uf
affordability, as well as the written agreement and inspection and monitoring reports must te
retained for five years after the affordability period terminates;
(4) Records covering displacements and acquisition must be retained for at least five years afh!r
the date by which the persons displaced from the property and all persons whose property s
acquired for the project have received the final payment to which they are entitled in accordance wi! h
24 CFR 92.353.
ARTICLE XXIX
LIMITATION OF LIABILITY
The City desires to enter into this Agreement only if in so doing the City can place a lim ten
the City's liability for any cause of action for money damages due to an alleged breach by the Ci y
12
of this Agreement, so that its liability for any such breach never exceeds the sum of $1,000,00).
DGCMHC hereby expresses its willingness to enter into this Agreement with DGCMHCs recov€!')'
from the City for any damage action for breach of contract to be limited to a maximum amountjf
$1,000,000. Accordingly, and notwithstanding any other term or condition of this Agreemert,
DGCMHC hereby agrees that the City shall not be liable to DGCMHC for damages in an amOL nt In
excess of $1,000,000, 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 contcim,d
in this paragraph or elsewhere in this Agreement is in any way intended to be a waiver of tie
limitation placed upon the City's liability as set forth in Florida Statutes, Section 768.28.
ARTICLE XXX
VENUE
This Agreement shall be enforceable in Dade County, Florida, and if legal action is nece5,sal-Y
by either party with respect to the enforcement of any or all terms or conditions herein, exclusive
venue for the enforcement of same shall lie in Dade County, Florida.
ARTICLE XXXI
ADDITIONAL CONDITIONS AND COMPENSATION
It is expressly understood and agreed by the parties hereto that monies contemplated by tt is
Agreement to be used for the Funds, originated from grants of federal HOME lnvestmelt
Partnerships Program funds, and must be implemented with all of the applicable rules and regulatie,n
of the U.S. Department of Housing and Urban Development. It is expressly understood and agrel',d
that in the event of curtailment or non-production of said Federal grant funds, that the financ al
sources necessary to continue to pay the Provider the Funds will not be available and tha1 tt is
Agreement will thereby terminate effective as of the time it is determined that said funds are 110
longer available. In the event of such determination, DGCMHC agrees that it will not look to, n)r
seek to hold liable, the City or any individual member of the City Commission thereof, personal y f)r
the performance of this Agreement and all parties hereto shall be released from further liability I~ach
to the other under the terms of this Agreement. Notwithstanding the foregoing, nothing in this A1ic Ie
is intended to supersede the provisions of that certain Conciliation Agreement, dated Januar{17,
1997, in settlement of the case styled Douglas Gardens Community Mental Health Center of 1\l'lialnl
Beach. Inc. v. City of Miami Beach. etc., et aI., HUD Case No. 04-96-0292-B.
ARTICLE XXXII
ACCESSIBILITY LAWS COMPLIANCE
DGCMHC agrees to adhere to and be governed by the following accessibility requirem'mt s:
(a) Architectural Barriers Act of 1968, As Amended (42 U.S.C. 4151) and its implemel1ting
regulations at 35 CFR Part 107 -- States that public (Le., those intended to be accessible to the
general public) buildings and conveyances financed with federal funds are designed, construGtej,
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 regula':ions
at 24 CFR Part 8 - Prohibits discrimination in federally assisted programs on the basis of hanclicup
and imposes requirements to ensure that "qualified individuals with handicaps" have acceBS:O
programs and activities that receive federal funds.
(c) Title VIII ofthe Civil Rights Act of 1968, As Amended the "Fair Housing Act" (42 U.S.'I.~.
3601) and its implementing regulations at 24 CFR Part 100-115.
13
DGCMHC must complete and submit the City's Disability Non-Discrimination Affida\it
(Affidavit), a copy of which is attached hereto and incorporated herein as Exhibit D. In tte
event DGCMHC fails to execute the City's Affidavit, or is found to be in non-compliance wi h
the provisions of the Affidavit, the City may impose such sanctions as it may determine 0
be appropriate, including but not limited to, withholding of payments to DGCMHC unde" tt e
Agreement until compliance and/or cancellation, termination or suspension of the Agreerne lt
in whole or in part. In the event the City cancels or terminates the Agreement pursuant 0
this Article, DGCMHC shall not be relieved of liability to the City for damages sustained by
the City by virtue of DGCMHC's breach of the Agreement.
ARTICLE XXXIII
NOTICES
All notices shall be sent to the parties at the following addresses, with copies tc tt e
Office of the City Attorney:
City:
Harry S. Mavrogenes, Assistant City Manager
City of Miami Beach
1700 Convention Center Drive
Miami Beach, FL 33139
DGCMHC:
Daniel T. Brady, Executive Director
DGCMHC
701 Lincoln Road
Miami Beach, FL 33139
14
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed I,y
their duly authorized official(s) on the day and date first above indicated.
DOUGLAS GARDENS COMMUNITY MENTAIL
HEALTH CENTER OF MIAMI BEACH, I~(",
a Florida not-for-profit corporation
WIT~ESJ ..'< lei
.1_1. k:;Jl.C?
~~
~~1I0Y
g. € ') t' r... ,"-- S v c, ('<: :2 V t '<... ~ 'P ,-- e <
Printed Name and Tit e
of Authorized Signatoy
ATTEST:
CITY OF MIAMI BEACH
a Florida Municipal corporation
e~o f~~
City Clerk
/'N
t;L:
Vice May >r
f:bs:dougarde.homeagr.fin
APPROVED AS TO
FORM & lANGUAGE
& FOR EXECUTION
Itt~ ~
15
EXHIBIT A
SCOPE OF SERVICES
THE MAYFAIR HOTEL
1960 Park Avenue, Miami Beach, Florida 33139
The Mayfair Hotel is a three-story building with forty-two efficiency/hotel size reside'1ti:i1
units, each with its own bathroom. The building is currently used to provide rental housir g
for low and very-low income DGCMHC clients. DGCMHC will utilize City of Miami Be!ac h
HOME funds solely for the purchase of the Mayfair Hotel building located at 1960 Pa'k
Avenue, Miami Beach. The Mayfair Hotel is currently leased and operated by DGCM He.
Once the building is acquired, DGCMHC will rehabilitate the building, will own and opera e
the building and maintain its current usage. Necessary clinical, medical and suppc rt
services for the residents will be provided off-site at the DGCMHC office, within wal-<.ir g
distance of the Mayfair Hotel. There will be on-site property management.
SCOPE OF WORK
The Scope of Work shall consist of the rehabilitation of the existing 3-story hotel buil,jir g
and the adjoining site. The work shall include:
1. Pool restoration or fill-in
2. Landscaping
3. Structural repairs of spalled concrete
4. Exterior painting
5. Window replacement
6. Hurricane shutters, if required
7. Air Conditioning replacement (central)
8. Handicap access to two units (or the number required to meet the accessil>ili:y
requirements of the Fair Housing Act and Section 504)
9. Fire sprinkler upgrade to current standards, as required, and pipe concealment
10. Electrical upgrades and removal of abandoned conduit, wiring, devices, etc.
11. Bathroom renovations
12. Corridor door replacement if required (to comply with Fire Code)
13. Cable or master antenna TV system
14. New carpeting
15. Front desk/office
16. New air conditioning at lobby
17. Front entry awning replacement or removal
The project shall meet all applicable local codes, rehabilitation standards, ordinances ar d
zoning ordinances at the time of project completion.
HOME-ASSISTED UNITS
Once rehabilitated, the Mayfair building shall provide a minimum of 20 HOME-assisted
zero-bedroom units. The HOME units shall remain fixed throughout the term of the pro. ect.
The units shall carry rents in accordance with 24 CFR part 92.252 and CPD Notice 94-0 I
or otherwise approved by HUD. The HOME units must meet the affordability requireml~n s
for not less than 10 years, beginning after project completion. Rents and utili'y
adjustments (if applicable) must be approved by the City.
The HOME Program income set-aside requirements apply at the time HOME assistance
is initially provided and over the 1 O-year period of affordability. Ninety percent (18 units)
of the designated HOME units must initially be occupied by tenants who have annu31
incomes that are 60% of the area median income or less. At least twenty percent 01 tt- e
HOME units (4 of the 18 units) must be occupied by very-low income tenants (persons Nill h
incomes that are 50% or less of median income). These very-low income tenants rlu it
occupy the units with the Low HOME rents. The remaining two units may be occupie1j t y
tenants with annual incomes between 60% and 80% of median.
After the project is initially occupied, DGCMHC is required to maintain occupancy of uni s
in accordance with the HOME Program requirements, 24 CFR part 92.252. Restrict or s
on occupancy and HOME rents must be maintained throughout the 10-year period I)f
affordability commencing with the issuance of the Certificate of Completion. Rent ar d
occupancy restrictions shall be enforced through a deed restriction. DGCMHC w II
negotiate a lease with each tenant in accordance with 24 CFR part 92.253 and will rn-
examine tenants incomes annually to ensure that tenants continue to meet t~e
requirements of the HOME Program.
PROJECT IMPLEMENTATION SCHEDULE
Action Steps
Timeline
1. Complete purchase contract
2. Award contract to architect
3. Obtain pending funding
4. Apply for building permits
5. Secure remaining financing
6. Close on building
7. Commence construction
8. Complete construction
February 1997
March 1997
March 1997
May 1997
June 1997
June 1997
July 1997
February 1998
EXHIBIT B
BUDGET
/I. PROJECT COST PRO FORMA
A. SOURCES
F~ Home Lmln Bank NiP Grant
MO COBG 'ge.
County ceo -Housing '96
County CBO'97
City MB HOME
MD TI1J$f/ HOME'96
Knight Foundation
St2te ESG
Hamilton Bank @6% for 6 year.s
SunTrust@8.5% for 5 ycar.s
A1. Total funds Available
Knlght-Riddlll' Found2tion
Metro-Oade Disc:retiona/y
Total Funding
B.USes
B1. Total Acquisition Cost
PurcholGe price Iandlbuilding
(amort)
(amort)
AcfuaJ Cons/ruction Cost
Estimated at $10.700 per unit
incfudes bllilding pennit fees and construdlon insuranca
Col'ltlgency
B2. Toal Construc:tb1 Cost
G6nt1ral Development Costs
U!glll Costs
Operating Reserves
(to cover '#&cancy losses due to renovation)
Constnldion Interest
environmental
Taxes
An:hitec:t's Fee
Appraisal
Survey and Structural
83. Total General Ocwloprnent Soft Costs
Closing Costs
FUlandng Costs
84. TobJ Rnilncia' COGts
C. PROJECT COST (Sub-Total)
01. OTHER DE\IE1.0PMEN't COSTS
Dev/Consulting fee
E. TOTAL P~OJECT COST
Rllmalni'l9 Funding gap:
PRO.IE( T FUNDING
SOU ~CES USES
$273.000
$50,000
$6g,OOO
$65.300
$750,000
$50.000
$25,000
$148,000
$200,000
$SO,OOO
$1,680.JOO
$50,000
$25.560
$1.755,~O
Committed
Committed
Committad
Committed
CQrnmitted
Committed
Committed
Committed
Committed
CommJtted
pending
pending
$1,180,000
$450,000
$17.882
$467.882
$10.000
$10.000
$6.000
53,000
$2.578
$35,000
$:2.400
$3,000
$71,978
~.OOO
$6,000
$26,000
S1,7~5,860
$10,000
$1.755,880
$75.560
'f/~"i-("~7
UPdat~r-
Douglas Gardens
(Operating Pro Forma)
Number of units 42
Annual Rent Schedule Units Rent/mo Monthly Annual Target Population
Primary Care beds 18 390 $7,020 $84,240
Primary Care Grant beds 2 353 $706 $8,472 Homeless Mentall',I1II
HUD Shelter Plus Care 5yr grant 22 425 $9,350 $112,200 'Homeless 50% of AM
Gross Potential Income 42 ~ $204,912
,
Less vacancy/collection 5% $10,246
Net Operating Income $194,666
Rates of annual increase: Rents 3% Expenses: 5%
Year
1 2 3 4 5 6 7
Gross Income $204,912 $211,059 $217,391 $223,913 $230,630 $237,549 $244,676
(Less 5% vacancy) $10,246 $10,553 $10,870 $11,196 $11,532 $11,877 $12,234
Effective Gross Income $194,666 $200,506 $206,522 $212,717 $219,099 $225,672 $232,442
(Less expenses @$3,224/u) $135,409 $142,179 $149,288 $156,753 $164,590 $172,820 $181,461
Net Operating Income $59,257 $58,327 $57,233 $55,964 $54,508 $52,852 , $50,981
(Less Dept)
Hamilton Loan $39,775 $39,775 $39,775 $39,775 $39,775 $39,775 $0
Sun Trust Loan $12,310 $12,310 $12,310 $12,310 $12,310
Sun Trust FHL fees $2,750 $2,750 $2,750 $2,750 $2,750 $2,750 $2,750
Total Dept $54,835 $54,835 $54,835 $54,835 $54,835 $42,525.0 $2,750
Net Cash Flow $4,442 $3,492 $2,398 $1,129 ($327) $10,327 $48,231
Dept Service Ratio 1.08 1.06. 1.04 1.02 0.99 5.12
8 9 10 11 12 13 14
Gross Income $252,016 $259,576 $267,364 $275,385 $283,646 $292,156 $300,920
(Less 5% vacancy) $12,601 $12,979 $13,368 $13,769 $14,182 $14,608 $15,046
Effective Gross Income $239,415 $246,598 $253,995 $261,615 $269,464 $277,548 $285,874
(Less expenses) $190,534 $200,061 $210,064 $220,567 $231,595 $243,175 $255,334
Net Operating Income $48,881 $46,537 $43,932 $41,048 $37,868 $34,373 $30,540
(Less Dept)
Mortgage $0 $0 $0 $0 $0 $0 $0
Sun Trust FHL fees $2,750 $2,750 $2,750 $2,750 $2,750 $2,750 $2,750
Total Dept $2,750 $2,750 $2,750 $2,750 $2,750 $2,750 $2,750
Net Cash Flow $46,131 $43,787 $41,182 $38,298 $35,118 $31,623 $27,790
15 16 17 18 19 20
Gross Income $309,948 $319,246 $328,824 $338,688 $348,849 $359,314
(Less 5% vacancy) $15,497 $15,962 $16,441 $16,934 $17,442 $17,966
Effective Gross Income $294,450 $303,284 $312,382 $321,754 $331,407 $341,349
(Less expenses) $268,101 $281,506 $295,581 $310,360 $325,878 $342,172
Net Operating Income $26,350 $21,778 $16,802 $11,394 $5,529 ($823)
(Less Dept)
li10rtgage $0 $0 $0 $0 $0 $0
Sun Trust FHL fees $1,425 $1,425 $1,425 $1,425 $1,425 $1,425
Total Dept $1,425 $1,425 $1,425 $1,425 $1,425 $1,425
Net cash flow $24,925 $20,353 $15,377 $9,969 $4,104 ($2,248)
tl Cf7
INCOME
Annual Rent Schedule
Primary Care Grant beds
HUD Shelter Plus Care Syr grant
Gross Potential Income
Less vacancy/collection
(A) INCOME
No of units:
OPERATING EXPENSES
Accounting and Legal
Advertising ,Licenses
Insurance, various
Workman's Camp
Repair and Maintenance
Utilities{12*431month)
Utilities common space
Landscaping
Pool Service
Exterminator & Trash
,Water and sewer
. Replacement Reserve
Subtotal
Payro/l-
Desk Clerk
Maintenance
Housekeeping
Facility Manager
Fringe Benefits at 16%
Tota! Personnel Costs
Total Operating Costs
Operating costs per unit
NET OPERATING INCOME
(A) Income
(8) Expenses
Net Operating Income
DEPT SERVICE COVERAGE
(A) Net Operating Income
(8) Annual Dept Service
(e) Dept Service Coverage
Supportive Services
Units Rent/mo Monthly
20 400 $8,000
22 417 $9,174
42 $17,174
5%
42
Per Unit
$300
596
143
29
29
180
191
FTE Annual
1 $15,600
0.5 $15,600
o $10,500
1 $25,000
$3,224
Annual
$96,000
$110,088
$206,088
$10,304
Monthly Annual
167 $2,000
67 $800
1250 $15,000
325 $3 ,900
1050 $12,600
2086 $25,032
501 $6,006
100 $1,200
100 $1,200
630 $7,560
669 $8,022
417 $5,000
$88,320
$15,600
$0
$0
$25,000
$6.496
$47,096
$135,416
$195,784
$135,416
$60,368
$55,636
ECONOMI : V1AB/UTY
(Operatinq Pro Forma)
Target Population
Homeless Mentally III
Homeless 50% of AM'I
to be funded
through servicas:
$7,800
$10,500
(AJI funded through the Homeless Trust, Medicaid
and other sources)
(See Cost Sharing Budget for further details)
$195,78-1
$135,416
$60,368
1.09
PARTICIPATING
JURISDICTION
MIAMI BEACH
EXHIBIT C
HOME PROGRAM
MAXIMUM PER-UNIT SUBSIDY LIMITS
REGION 04 FIELD OFFICE: 29 JACKSONVillE, Fl
STATE EFFICIENCY. 1 BR
ABBREV
2BR
3BR
FL $60,180 $68,984
$83,884
$108,517
· O-bedroom includes efficiency units and single room occupancy (SRO) units
Effective 1996
481:R
$119,119
EXHIBIT D
DISABILITY DISCRIMINATION AFFIDAVIT
DISAI3ILITY NONDISCRIMINATION AFFIDA YIT
CONTRACT REFERENCE
NAlvffi OF FIRl'vf, CORPORATION, OR ORGAN1ZATION)OCJ~ {f:m)(PJ5 0.t It~
AUTHORLZED AGENT COMPLETING AFFIDAVIT: J.fNtCL ~~
POSITION ~€oJI1I1~ ~IL- PHONE NlJNillER (~ G?;/ ~J -
I,~~~
J being duly first swom state:
That the above named firm, corporation or organization is in compliance with and agrees to con inue to
comply with, and assure that any subcontractor, or third party contractor under this project com Jlies with
all applicable requirements of the laws listed below including, but not limited to, those provision;
pertaining to en'lployment, 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 47 U.S.C. Sections 225 and 611 including Tille I, Employment; Title II, Public Se:vi :es; Titic
III, Public Accommodations and Services Operated by Private Entities; Title IV, Telecommul1.ic ttions; 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.
SUBSCRIBED AND SWORN TO (or a.fflrmed) before me on
.-------..
by J )::In le.I-F)rc./ d ()
(Affiant) --
prcs.:nted ~ -() r,,;[)n a II-J Yl no cU ()
- (TyJX f idcntific.:llion)
O )'
J21.{o.. ~, guru fLi
.___ (Signa ure 0 Notary) )
l) -e I.,tt."l... R. \.Jt IYle'.ne 7
(print or Stamp Name of Notary)
~
as identification.
-~- 54432(~)
(Serial Nwnber)
IQpr I' I, dL1Y')
(Expiration Dale)
,",it;U", OEL TAl t JII~ENEZ
~'i:~' ~~ MY COMM""c.',1ON . CC u..,an
:.: ~.; h;J\"~
~ ~j EXPIRES: Apl:. 1, 2000
.... ." "" Bonded ThN NoII,ry I'1l11ic lJnde/WllIII8
Notary Public
l-L
(Slate)
NOlary Seal
The City of Miami Beach will not award a CDntracl to any finn, corporation or organization that fails to CDmplete u1d submit this
A1lidavit with the firm, corporation or organizalion's bid or proposal or fails to have this Al1idavit on file with the Ci )' of MiaJlll
Beach.
EXHIBIT E
RESTRICTIVE COVENANT
This instrument prepared by:
Office of the City Attorney
City of Miami Beach
1700 Convention Center Drive
Miami Beach, Florida 33139
(Space reserved for Clerk of Court)
RESTRICTIVE COVENANT
Douglas Gardens Community Mental Health Center (Owner), their successors h ~irs
and assigns, as owner of the following property, hereby agrees and covenants that the
following property located at 1960 Park Avenue in the City of Miami Beach, Dade C,)U lty,
Florida (City) and legally described as:
The northern 105.19 feet of the eastern 120 feet of Lot 1, Block H, Miami Be 3ch
Improvement Company Ocean Front Property Re-Subdivision, as recorded in Plat
Book 6, Page 102 of the Public Records of Dade County, Florida; address: l' 360
Park Avenue, Miami Beach, Florida 33139 (Subject Property)
shall be subject to the following recapture provisions, covenants and restrictions:
a. HOME Investment Partnerships Program subsidy funds in the amount of Be'L,ren
Hundred-Fifty Thousand Dollars ($750,000) were utilized toward the acquisi'ion
of the Subject Property which is being acquired by the Owner in order to pm\ ide
affordable rental housing in accordance with 24 CFR Part 92, HOME Inve~trrent
Partnerships Program (HOME), as same shall be amended from time to t me
(Project).
It is acknowledged by the parties hereto that the Subject Property must be u~ ec as
an affordable rental property throughout the Affordability Period, as same is dl~filled
in paragraph (c) herein, and the tenants thereof must qualify under the c.Jr/ent
applicable rules set forth by the U.S. Department of Housing and Urban
Development during this period.
b. The Owner must obtain the prior written consent of the Mayor and City Commiss ion
prior to the resale or transfer of the Subject Property, which consent shall n01 be
unreasonably withheld. The City reserves the right to review compliance wit~ all
affordability requirements, as cited in paragraph (a.) above.
Notwithstanding the foregoing, in the event of a transfer of the Subject Propert} by
foreclosure or deed in lieu of foreclosure, prior to said occurrence, Owner tler ein
grants to the City the right of first refusal to purchase the Subject Property.
c. In the event the Subject Property is sold or title to the same is otherwise transfer'ed
without prior written consent, as set forth in paragraph (b) above, and prior Ito :he
end of ten (10) years (the Affordability Period) from the date of issuance of a Fi 1al
Certificate of Occupancy for the apartment building on the Subject Property to be
rehabilitated and used pursuant to the Project, the Owner shall return to thE" City,
the full HOME subsidy funds applied toward this transaction, at the time of any
resale closing or other such transfer of title of the Subject Property. If U. elet
proceeds from such sale are less than the full amount of the HOME subsidy funds,
as set forth above, the City shall recapture whatever net proceeds are availablE' to
be used for qualified eligible activities in providing affordable housing and, at its
option, avail itself of any and all legal and/or equitable remedies to recaptUl'e:he
remaining balance of said funds, including such remedies as are set forth i1 t1at
certain Agreement executed between the parties, dated , 1937,
and as same may be amended from time to time.
d. This Restrictive Covenant is and shall be subordinate to the following mort~lapes
which may now or hereafter encumber the Subject Property: $200,000 tDhe
Hamilton Bank, NA, and $50,000 to Dade County, Florida. In the even': cf a
foreclosure and sale of the Subject Property or receipt of a deed in Ii au of
foreclosure pursuant to a default under said aforestated mortgages, this Restrict ive
Covenant shall be null and void and of no further force and effect.
The foregoing covenants and restrictions shall be considered and constru3d as
covenants and restrictions recorded against the Subject Property, and the same shall b nd
all persons claiming ownership of all or any portion of the Subject Property. The OWler
hereby acknowledges and agrees that the City is a beneficiary of this Restrict Ive
Covenant, and the Owner shall not release or amend this Restrictive Covenant witho'.lthe
prior written consent of the City.
Invalidation of any portion of these covenants by a Court of competent jurisdict on
shall in no way affect any of the other covenants which shall remain in full force and E!ffect.
THIS SPACE INTENTIONALLY LEFT BLANK
2
IN WITNESS WHEREOF, the Owner has hereunto caused these present:; t,,) be
signed in its name, attested by respective witnesses on this cia), of
,1997.
WITNESSES:
OWNER:
Douglas Gardens Community
Mental Health Center
Print Name:
Print Name:
By:
Authorized Signatory
Address: 701 Lincoln Road
Miami Beach, FL 3313~1
STATE OF FLORIDA
)
)
)
SS:
COUNTY OF DADE
I HEREBY CERTIFY, that on this day, before me, an officer duly authorizec ir the
State and County aforesaid to take acknowledgements, personally ap~:e;lred
of the Douglas Gardens Comml.nity
Mental Health Center, a Florida corporation, and that she/he acknowledged executl n~ the
foregoing document, freely and voluntarily. Said person is _ personally know to ml~, or
_ has produced (specify type of identification, Le., driver's license and number, sta'e of
issue, etc.) and who _ did, or _ did not, take an oath.
WITNESS my hand and official seal in the County and State last aforesctid this
day of , 1997.
Print of Stamp Name:
Notary Public, State of Florida at Large
Commission No.:
My Commission Expires:
F:\DDHP\BS\DOUGARDE\HOMECVNT.FIN
3
CITY OF
MIAMI
BEACH
CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH FLORIDA 33139
PLANNING, DESIGN & HISTORIC PRESERVATION DIVISION
August 4, 1997
PHONE (31 5) 673-7550
FAX (31 5) 673-7559
Daniel Brady
Executive Director
Douglas Gardens Community
Mental Health Center
701 Lincoln Road
Miami Beach, Florida 33139
Re: Douglas Gardens (Applicant)
Mayfair Hotel/1960 Park Avenue
Dear Mr. Brady:
In connection with the above, this letter shall confirm that the Division of Planning, De:dg 1,
and Historic Preservation is in receipt of a letter requesting the legalization of units located at ',9( 0
Park Avenue, Miami Beach, Florida, pursuant to Section 13-9 of the City of Miami Beach's Zonilg
Ordinance; however, as of this date, we are not in receipt ofa formal application. Receipt of 5U1 h
application does not guarantee that the Applicant shall be entitled to retain any illegal units.
Accordingly, after completion of the process of review required pursuant to the legalizati< n
procedure, the referenced units may be legalized, subject to certain conditions to be complied wit 1,
and/or the units may fail to receive such legalized status. In the event legalization is not grallte 1,
then the property in its entirety, including the illegal units, must be brought into compliance wib the
City's Zoning Ordinance.
In conclusion, we are unable to confirm, at this time, the outcome of the legalization pwce;s
and wanted to confirm to you the different, possible outcomes. The Applicant in signing this lett .~r
in no way waives any rights it may have as to thi ocess.
Receipt of this letter is hereby acknowledged
on this ~ day of August, 1997:
By:
~~"l.l... ~J...
. . . c:JUrt/l
f:\llllolasurlletten doug.. n.dh
. f
9 ZZ -31.3
This instrument prepared by: "
Raul Aguila, Deputy City Attorney
City of -Miami 'Beach
1700 Convention Center Dr.
Miami Beach, FL 33139
RELEASE OF RESTRICTIVE COVENANT
The CITY OF MIAMI BEACH releases DOUGLAS GARDENS COMMUNITY MENTAL HEALTH CENTER,
their successors and assigns from any and all obligations under the terms of that certain agreement
captioned: "RESTRICTIVE COVENANT', dated the 5 day of August, 1997, and recorded on the 6 day of
August, 1997 in the Official Records of Miami -Dade County at OR. 17741, Page 1835, et.seq., which
instrument affects the following described real property:
The northern 105.19 feet of the eastern 120 feet of Lot 1, Block H, Miami Beach
Improvement Company Oceanfront Property Re- Subdivision, as recorded in Plat
Book 6, Page 102 of the Public Records of Miami -Dade County, Florida; address:
1960 Park Avenue, Miami Beach, Florida 33139
And satisfies any and all obligations under the terms of such instrument and does hereby direct the Clerk of
the Circuit Court, Miami -Dade County, Florida to cancel such instrument'of record.
IN WITNESS WHEREOF, this instrument has been executed on this day of , 20�.
CITY OF MIAMI BEACH
By:
Jorge
M. G nza an r
17 ention enter Drive
Miami Beach, FL 33139
ATT T:
R BERT PARC ER, CITY CLERK
STATE OF FLORIDA )
SS:
COUNTY OF MIAMI -DADE) ,,aa
,. The fore 'oing instrument was acknowledged before me this day of in year
by „� �?��::Z , as of the City of Miami Beach, a
Florida municipal corporation, on behalf of the co poration.
Personally Known �/`�� OR d Identification
Type of Identification Produce`' ���P•• ” °••'�q ' %�
C� 29, 2 ; APPROVED AS TO
• �`� • ' FORM & LANGUAGE
':Pkr t or Stam Name:
• p & FOR EXECUTION
= #DDS837o1 "tary Public, State of Florida at Large
q 0 8 ded ` '•,°mmission No.:
,s
�, �, •a•..� <�� y Commission Expires:
y! - y ttorne Date
I' t
OFF
.. p
pEC. 774 . 18 15
This instrument prepared by:
Office of the City Attorney
City of Miami Bear_h 7 i:.3 J1_16t! t�? �,�r� Jb E:w:�
1700-Convention Center Drive
Miami Beach, Florida 33139 (Space reserved for Clerk 'of Court) -
RESTRICTIVE COVENANT
Douglas Gardens Community Mental Health Center (Owner) their successors, heirs
and assigns, as owner of the following property, hereby agrees and covenants that the
following property located at 1960 Park Avenue in the City of Miami Beach, Dade County,
Florida (City) and legally, described as'
The northern 105.19 feet of the eastern 120 feet of Lot 1, Block H, Miami Beach
Improvement Company Ocean Front Property Re- Subdivision, as recorded in Plat
Book 6, Page 102 of the Pubiic.Records of Dade County, Florida address:, 1-960
Park Avenue, Miami Beach, Florida 33139 (Subject Property)
shall be subject to the following recapture provisions, covenants and restrictions:
a. HOME Investment Partnerships Program subsidy funds in the amount of Seven
:Hundred -Fifty Thousand Dollars ($750,000) were utilized toward the acquisition
of the Subject Property which is being acquired by the Owner in order to provide
affordable rental housing in accordance with 24 CFR Part 92, HOME Investment
Partnerships Program (HOME), as same shall be amended from time to time
(Project).
It is acknowledged by the parties hereto that the Subject Property must be used as
an affordable rental property throughout the Affordability Period, as same is defined
in paragraph (c) herein, and the tenants thereof must qualify under the 'current
applicable rules set forth by the U.S. Department of Housing and Urban
Development during this period.
b. The Owner must obtain the prior written consent of the Mayor and City Commission
prior to the resale or transfer of the Subject. Property, which . shall not be
unreasonably withheld. The City reserves the right to review compliance with all
affordability requirements, as cited in paragraph (a.) above.
Notwithstanding the foregoing, in the event of a transfer of the Subject Property by
foreclosure or deed in lieu of foreclosure, prior to said occurrence, Owner herein
grants to the City the right of first refusal to purchase the Subject Property.
• ilip
i
41 18`�E
C. In the event the Subject Property is sold or title to the same is otherwise transferred
without prior written consent, as set forth in paragraph (b) above, and prior to the
end of ten (10) years (the Affordability Period) from the date of issuance of a Final
Certificate of Occupancy•for the apartment building on the Subject Property to be
rehabilitated and used pursuant to the Project, the Owner shall return to the City, .
the foil HOME subsidy funds applied toward this transaction, at the time of any
resale closing or other such transfer of title of the Subject Property. If the net
proceeds from such sale are less than the full amount of the HOME subsidy funds,
as set forth above, the City shall recapture whatever net proceeds are available to
be used for qualified eligible activities in providing affordable housing and, at its
option, avail itself of any and all legal and/or equitable remedies to recapture the
remaining balance of said funds, including such remedies as re set forth in that
certain Agreement executed between the parties, dated 1997,
and as same may be amended from time to time
d. This Restrictive Covenant is and shall be subordinate to the following mortgages
which may now or hereafter encumber the Subject Property: $200,000 to the
Hamilton Bank, NA, and $50,000 to Dade County, Florida. In the event of a
foreclosure and sale of the Subject Property or receipt of a deed in lieu of .
foreclosure pursuant to a default under said aforestated mortgages, this Restrictive
Covenant shall be null and void and of no further force and effect.
The foregoing covenants and restrictions shall be considered and construed as
covenants and restrictions recorded against the Subject Property,, and the same shall bind
all persons claiming ownership of all or any portion of the Subject Property. The Owner
hereby acknowledges and agrees that the City 'is a beneficiary of this Restrictive
Covenant, and the Owner shall not release or amend this Restrictive Covenant without the
prior written consent of the City.
Invalidation of any portion of these covenants by a Court of competent jurisdiction
shall in no way affect any of the other covenants which shall remain in full force and effect.
a
l
THIS SPACE INTENTIONALLY LEFT BLANK
• 2 '.
.s. :/•l+t r.V�KJr'tif:.l�vK:'F: .SL.i iK'-.1 - .•.. ._c.� )..�J'..'.�. Fig'•
i
Orr. �►1.8 7
REC. I TT41 3
IN" WITNESS WHEREOF, the Owner has hereunto caused these presents to be
signed in its name, attested by respective witnesses on this day of
1997.
WITNESSES: OWNER:
Douglas Gardens Community
/ •h'� ��'. -- Mental Health Center
Print Name:
Print Naris6. By: ZIM C- 1,65;m w_
Authorized Signatory
Address: 701 Lincoln Road
Miami Beach, FL 33139
STATE OF FLORIDA
SS.
COUNTY OF DADS )
HEREBY CERTIFY, that on this day, before me, an officer duly authorized in the
Stgt a d C unt aforesai to tae acknowledgements, personally . appeared
+^ e of the Douglas Gardens Community
Mental Health C ter, a Florida corporation, and that she/he acknowledged executing the
foregoing document, freely and voluntarily. Said person is impersonally know to me, or
has produced (specify type of identification, i.e., driver's license and number, state of
issue, etc. ) and who did, or did not, take an oath.
C LP VVITNESS y hand nd official seal in "the County and State last aforesaid this
. day of , 4997.
Print of Stamp Na
Notary Public, State of Florida at Large
Commission No.:
My Commission Expires:
OFFICiALNOTARY
MICHAEL H I�fALE comw
F 1DDHPOSTOUGARDEtHOMECVNTTIN ,' k �� Nu
CC536 825 5 P &" CoY1"S*N EXPPES
APR. 11,200
i 0
o N OFFOC1 RECO�
woe carrm, i � x
HARVEY RUV1N
Ci FRK G{itGU1T COURT 3
.5
- _ _ '!,f : -_ L''b. „• %'•_ .. - . ... -s�tl: 'r'
V