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2000-23843 RESO RESOLUTION NO. 2000-23843 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE THE ATTACHED HOME INVESTMENT PARTNERSHIPS (HOME) PROGRAM AGREEMENT WITH THE MIAMI BEACH COMMUNITY DEVELOPMENT CORPORATION (MBCDC), PROVIDING FOUR HUNDRED THOUSAND DOLLARS ($400,000) OF PREVIOUSL Y COMMITTED FISCAL YEAR 1999/2000 HOME PROGRAM FUNDS FOR THE ACQUISITION AND REHABILITATION OF THE SABRINA APARTMENTS, LOCATED AT 1551 PENNSYLVANIA AVENUE, MIAMI BEACH, TO PROVIDE TWENTY (20) RENTAL UNITS FOR INCOME-ELIGIBLE TENANTS IN ACCORDANCE WITH THE HOME PROGRAM REQUIREMENTS; FURTHER, APPROVING A ONE-TIME ONL Y ASSIGNMENT OF THIS AGREEMENT TO MBCDC: SABRINA AP ARTMENTS, INC., A NOT -FOR-PROFIT ENTITY TO BE CREATED BY MBCDC AS A SUCCESSOR IN INTEREST IN TITLE TO THE SABRINA APARTMENTS, AND UNDER THIS AGREEMENT. WHEREAS, the City has established a HOME Investment Partnerships Program (HOME Program) under the rules ofthe U.S. Department of Housing and Urban Development (HUD), which provides financial assistance for the purpose of providing affordable housing within the City; and WHEREAS, on April 8, 1993, the Mayor and City Commission approved Resolution No. 93-20756, designating Miami Beach Community Development Corporation (MBCDC) as a qualified Community Housing Development Organization (CHDO) under the HOME Program; and WHEREAS, in accordance with the HOME Program regulations, the City must reserve a minimum of fifteen (15) percent of each fiscal year's HOME allocation for a CHDO set-aside for investment in housing to be developed, sponsored or owned by CHDOs; and WHEREAS, on September 17, 1999, the City adopted Resolution No. 99-23286, authorizing a HOME Program Agreement with MBCDC which reserved $600,000 from the City's HOME Program allocation from fiscal year 1999/2000 for eligible CHDO projects; and WHEREAS, MBCDC has submitted a request to the City to utilize $400,000 of the previously allocated fiscal year 1999/2000 CHDO funds toward the acquisition and rehabilitation cost of the Sabrina Apartments, located at 1551 Pennsylvania A venue, Miami Beach, for the provision of20 rental units for income-eligible tenants under the rules of the HOME Program; and WHEREAS, on March 2, 2000, the City's Loan Review Committee recommended that the City Commission approve $400,000 of HOME Program funds for the acquisition and rehabilitation of the Sabrina Apartments, located at 1551 Pennsylvania Avenue, Miami Beach, for the purpose of providing rental housing for income-eligible individuals and families; and WHEREAS, the Owner intends to create a not-for-profit entity which will assume all interest and title to the Sabrina Apartments and be a successor in interest to MBCDC pursuant to this Agreement; and WHEREAS, accordingly, the City herein agrees and consents to a one-time only assignment of this Agreement to MBCDC: Sabrina Apartments, Inc. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City Clerk are hereby authorized to execute the attached HOME Investment Partnerships (HOME) Program agreement with the Miami Beach Community Development Corporation (MBCDC), providing Four Hundred Thousand Dollars ($400,000) of previously committed fiscal year 1999/2000 HOME program funds for the acquisition and rehabilitation of the Sabrina Apartments, located at 1551 Pennsylvania Avenue, Miami Beach, to provide twenty (20) rental units for income-eligible tenants in accordance with the HOME Program requirements; further, approving a one-time only assignment of this Agreement to MBCDC: Sabrina Apartments, Inc., a not-for-profit entity to be created by MBCDC as a successor in interest in title to the Sabrina Apartments, and under this Agreement. PASSED AND ADOPTED THIS 12th DAY OF April , 2000 ATTEST: e ikut f cL{d,,- CITY CLERK 114 M OR F:\DDHP\$ALL \BETH\9900CH00. PRO\ 1551 PENN\ 155 I RESO APPROVED A.S, TO ""')'''~1. & LANG -, r'~ KJvi . '.;;UAbE 8J fOR EXECUTtON / '2t~(j(iiltl-. d I '~"n.9V :> } C', 'Z/ _~ '~. -0 Dm~ CITY OF MIAMI BEACH CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH, FLORIDA 33139 http:\\ci.miami-beach.f1.us TO: FROM: SUBJECT: COMMISSION MEMORANDUM NO. 2 ~ l -00 Mayor Neisen O. Kasdin and Members of the City Commission Lawrence A. Levy ~ City Manager DATE: April 12, 2000 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE THE A TT ACHED HOME INVESTMENT PARTNERSHIPS (HOME) PROGRAM AGREEMENT WITH THE MIAMI BEACH COMMUNITY DEVELOPMENT CORPORATION (MBCDC), PROVIDING FOUR HUNDRED THOUSAND DOLLARS ($400,000) OF PREVIOUSLY COMMITTED FISCAL YEAR 1999/2000 HOME PROGRAM FUNDS FOR THE ACQUISITION AND REHABILITATION OF THE SABRINAAP ARTMENTS, LOCATED AT 1551 PENNSYLVANIA AVENUE, MIAMI BEACH, TO PROVIDE TWENTY (20) RENTAL UNITS FOR INCOME-ELIGIBLE TENANTS IN ACCORDANCE WITH THE HOME PROGRAM REQUIREMENTS; FURTHER, APPROVING A ONE-TIME ONL Y ASSIGNMENT OF THIS AGREEMENT TO MBCDC: SABRINA APARTMENTS, INC., A NOT -FOR-PROFIT ENTITY TO BE CREATED BY MBCDC AS A SUCCESSOR IN INTEREST IN TITLE TO THE SABRINA APARTMENTS, AND UNDER THIS AGREEMENT. ADMINISTRATION RECOMMENDATION Adopt the Resolution. ANALYSIS The City has received an annual allocation of HOME Investment Partnerships (HOME) Program funds from the U.S. Department of Housing and Urban Development (U.S. HUD) since 1992 for the purpose of expanding the supply of housing for persons meeting the income criteria of the HOME Program. The HOME Program requires the City, in its capacity as a participating jurisdiction, to set aside a minimum of 15 percent of its annual allocation for a particular type of not-for-profit organization called a Community Housing Development Organization (CHDO). The CHDO is required to use these funds for housing development activities in which the CHDO is either the owner, sponsor or developer of the housing. The Miami Beach Community Development Corporation (MBCDC) was designated as a CHDO in 1993. F:\DDHP\$ALL\MIGUELL\ I ~51 COMM,MEM AGENDA ITEM C. 1 F DATE~ Commission Memorandum April 12, 2000 MBCDC Sabrina Apartments Agreement Page 2 On September 17, 1999, the City entered into a HOME Program agreement with MBCDC in the amount of $600,000, which was approved by City Commission Resolution No. 99-23286. These funds may be used for the acquisition and rehabilitation of affordable rental housing or other eligible activities. Project site and transaction details are subject to review by the Loan Review Committee. MBCDC has entered into a Contract for Sale and Purchase in the amount of $760,000 for a vacant 20 unit apartment building named Sabrina Apartments, located at 1551 Pennsylvania Avenue, Miami Beach. The building is a two-story Art Deco building located within the Art Deco Historic District of South Beach and was constructed in 1947. The apartments are located two blocks west of Washington Avenue and one block south of Lincoln Road. The 20 one-bedroom apartments occupy a total area of approximately 10,640 square feet. According to the report from the architects, Insight Design, Inc., there are four units which contain 400 square feet. Each of the other 16 units have an area of 491 square feet. All units meet or exceed the minimum City requirement of 400 square feet. MBCDC is proposing to retain the 20 units. Since the average size of the units is less than 550 square feet, MBCDC will be need to comply with the procedures for non-conforming buildings to obtain appropriate permits and variances, if required. MBCDC has obtained site control and proceeded to have the facility inspected by a structural engineer. The structural engineer's report stated that no major structural deficiencies were found. The floor grade of the first level of the building is above the base floodplain elevation required by the Federal Emergency Management Agency (FEMA) of 8 feet above NGVD. A Phase 1 Environment Review was also conducted which identified possible petroleum product contamination from improperly abandoned heating oil tanks on the subject property and an adjacent property. As a requirement of funding, the Owner will mitigate any hazardous conditions identified in the Phase 1 report. The Owner has provided a recent appraisal indicating that the property has been appraised for $760,000 in "as is" condition. The closing to acquire the property is scheduled for May 24, 2000. MBCDC has requested to utilize funds in the amount of $400,000, out of the $600,000 HOME Program funds previously committed by the City, for the acquisition of the property. MBCDC has received $60,000 of the $400,000 for project site control in accordance with the HOME Program regulations. The $360,000 balance of the $760,000 purchase price will be financed by the Seller. MBCDC has applied to the Local Initiatives Support Corporation (USC) for funding to later take out the Seller's loan. MBCDC plans to pursue other public and private funds for the balance of financing needed for the project. The proposed scope of work, based on a preliminary evaluation, includes the following: replace wall mounted AlC units with a central H.V.A.C. system; replace electrical system; replace existing windows; provide new kitchenettes; refurbish/replace bathroom fixtures; refinish woodwork; provide A.D.A. accessibility as required; upgrade fire alarm and detection system; convert basement into laundry room; refinish/re-plaster ceiling and wall areas as needed; re-Iandscape entry; and provide and install security features as necessary. F:\DDHP\$ALL\MIGUELL\ l.5.5ICOMM.MEM Commission Memorandum April 12, 2000 MBCDC Sabrina Apartments Agreement Page 3 On March 2, 2000, the Loan Review Committee reviewed and recommended approval by the City Commission of MBCDC's funding request for the Sabrina Apartments. The Administration recommends that the Mayor and City Commission authorize the Mayor and City Clerk to execute the attached HOME Investment Partnerships (HOME) Program agreement with the Miami Beach Community Development Corporation (MBCDC), providing Four Hundred Thousand Dollars ($400,000) of previously committed fiscal year 1999/2000 HOME program funds for the acquisition and rehabilitation of the Sabrina Apartments, located at 1551 Pennsylvania A venue, Miami Beach, to provide twenty (20) rental units for income-eligible tenants in accordance with the HOME Program requirements; further, approving a one-time only assignment of this Agreement to MBCDC: Sabrina Apartments, Inc., a not-for-profit entity to be created by MBCDC as a successor in interest in title to the Sabrina Apartments, and under this Agreement. ~ fLlt"'-~ LAL/CMC/RM/MDC/BS F:\DDHP\$ALL\MIGUELL\1 S51COMM.MEM HOME PROGRAM AGREEMENT 1~ 1\' I THIS AGREEMENT. entered into this /,)-, day otIpn ,2000, by and between the.CrrV OF MIAMI BEACH, a Florida municipal corporation, having its principal office at 1700 Convention Center Drive, Miami Beach, Florida, (City), and MIAMI BEACH COMMUNITY DEVELOPMENT CORPORATION, INC., a Florida Not-for-Profit Corporation, with offices located at 1205 Drexel A venue, Miami Beach, Florida (hereinafter referred to as Owner). WITNESSETH: WHEREAS, on February 18, 1992, the City \vas designated by the U.S. Department of Housing and Urban Development (HUD) as a Participating Jurisdiction for the receipt of funds through the HOME Investment Partnerships (HOME) Program under 24 CFR 92; and WHEREAS, the City has entered into an agreement with HUD for the purpose ofconductirg an affordable housing program with federal financial assistance under the HOME Program; and WHEREAS, on April 8, 1993, the Mayor and City Commission, approved Resolution No, 93-20756, designating Owner as a qualified Community Housing Development Organization (CHDO) under the HOME Program; and WHEREAS, on September 17, 1999, the City adopted Resolution No. 99-23286, authorizing a HOME Program Agreement with Owner which reserved $600,000 from the City's fiscal year 1999/2000 HOME Program allocation for eligible CHDO projects; and WHEREAS, Owner has submitted a request to the City to utilize $400,000 of the previously allocated fiscal year 1999/2000 CHDO funds for a CI-IDO project to acquire and rehabilitate the Sabrina Apartments, located at 1551 Pennsylvania A venue; and WHEREAS, on March 2, 2000, the City's Loan Review Committee reviewed anJ recommended approval by the City Commission of Owner's funding request: and WHEREAS, Owner warrants and represents that it possesses the legal authority to enter inu this Agreement, by way of a resolution that has been duly adopted as an official act of the Board c f Directors, authorizing the execution of this Agreement, including all understandings and assurances contained herein, and authorizing the person(s) identified as their official representative(s) to execute this Agreement and any other documents which may be necessary to implement this project: and WHEREAS, Owner intends to create a not-for-profit entity which will assume all intere~;t and title to the Sabrina Apartments and be a successor in interest to MBCDC pursuant to this Agreement; and 1 WHEREAS, accordingly, the City herein agrees and consents to a one-time only assignm:nt of this Agreement to MBCOC: Sabrina Apartments, Inc. NOW, THEREFORE, in consideration of the mutual promises contained herein, the parties hereto agree as follows: ARTICLE I DEFINITIONS As lIsed in this Agreement the terms listed below shall have the following meanings: (a) HOME Program: HOME Investment Pmtnerships Program. as set t~)rth in 24 CFR Part <J2. as amended. (b) HUD: United States Department of Housing & Urban Development or any successor agency. (c) Funds: HOME Program funds. (d) CHDO: Community Housing Development Organization as detined in the HOME Investment Partnerships Program, 24 CFR, Part 92, as amended, and CPO Notice 94-02. (e) Ten11s defined in the HOME Investment Partnerships Program Final Rule, 24 CFR Part S'2, and any amendments thereto, not otherwise defined in this Agreement, shall have the meaning ~,et forth in said Rule. (e) HOME Assisted Units: A term that refers to the number of units in a project assisted with HOME Program funds for which rent, occupancy, and resale/recapture restrictions apply. ARTICLE II ALLOCATION OF HOME FUNDS In consideration of the perfon11ance by Owner of its role and responsibilities set forth in tl1 is Agreement, the City agrees to provide a conditional grant of HOME Program funds to Owner in the amount of Four Hundred Thousand Dollars ($400,000) (Funds) from previously allocated~fiscal year 199912000 CHDO set-aside funds. The Funds will be utilized by Owner for a CHDO project that provides for the acquisition, rehabilitation and operation of the building named Sabrina Apartments, located at 1551 Pennsylvania Avenue, Miami Beach, that will provide 20 rental units for income qualitied families and individuals. Owner will acquire and rehabilitate the building as more fully described in the Scope of Services (Exhibit A) and Budget (Exhibit B). Owner will maintain required HOME Program rent and occupancy limitations for a minimum period of 10 years (the AtTordability Period) commencing with the issuance of the final approved Certificate of Completion by the City's Building Department' 2 tl)llmving the planned rehabilitatiulL ARTICLE III PROCEF.DS FROM HOME INVESTMENT In accordance with the 24 CFR Part 92.300 (a)(2), Owner may retain the proceeds li'om thl~ investment of its C1-roo set aside funds for use in other housing activities which benetit low-incol11l? families. ARTICLE IV SPECIAL PROVISIONS APPLICABLE TO FUNDS PROVIDED UNDER THE HOMI~ PROGRAM Owner expressly agrees to the following terms and conditions in confonnity \'lith the 110ME Program Final Rule. (a) Repayment of Funds. The Funds (which definition shall include the allocation of any additional funds that may be provided by the City in the future as a result of an amendment or modification of this Agreement) shall be repaid in their entirety if the HOME units do not meet th:: affordability requirements for the required time period in accordance with the terms of this Agreement and the HOME Program Regulations. Any violation of these requirements may, at th:: City's option, result in the entire amount of the Funds, as indicated in Article II or as subsequently amended or modified, being returned and/or otherwise repaid by Owner to the City, and same shall be considered and treated as an event of default resulting in the City's termination for cause of tll<: Agreement, pursuant to Article XXVI herein. The City reserves the right to review the affordability requirements, as set forth herein. Concurrent with its execution of this Agreement and/or any projects pursuant to this Agreement, Owner shall ewcute a Mortgage and Note in the form,lt provided by the City, incorporating the terms of this section, which shall be recorded in the Oftici,ll Records of Miami-Dade County Florida. (b) Rent Limitation. HOME assisted rental units will bear rents in accordance with 24 CFR 92.252, as published from time-to-time by I-IUD. The City shall provide a HOME Program rent schedule annually to Owner. (c) Rent schedule and utility allowances. In accordance with 24 CI.'R 92.252(b)(c) and (d), the City must review and approve rents and the monthly utility allowances proposed by th: owner prior to initial occupancy. Owner must re-examine and document the income of each tenant living in the HOME assisted units annually. The maximum monthly rent must be recalculated by Owner and reviewed and approved by the City annually. Any increase in rents for HOME-assisted units is subject to the provisions of outstanding leases and, in any event. the owner must provide th:: tenant with not less than 30 days written notice before implementing any rent increase. (d) Owner shall comply with all applicable federal regubtions as they may apply u 3 restrictions and limitations regarding real property under Owner's control acquired or improvcd i 1 whole or in part with [[OMI.: funds. (e) The Project must provide safe, sanitary, and decent residential housing t'or incom.: eligible tenants (i.e., persons \vhose income is within specific income levels set forth by HUr)), (0 Income Targeting. Owner shall maintain written documentation that conclusi\cL demonstrates that the project assisted in whole or in par1 with HOME funds provides benetit to very- low income households (annual income does not exceed 50 percent of the median family income for the area) and low-income households (annual income does not exceed 80 percent of the median income for the area) as required. (g) Records: O"mer shall maintain all records sufficient to meet the requirements of 2.+ CFR 92.508(a)(2) program records, 92.508(a)(3) project records, 92.508(a)(5) other Federal requirements records, 92.508(a)(6) progr~lln administration records. All records required herein shall be retained and made accessible as provided in 24 CFR 92,508 (c) and (d) and Florida Statutes Chapter 119. (i) Property Standards. For the duration of this Agreement and any amendments heretc, housing that is assisted with HOME funds, must meet all applicable local codes, rehabilitation standards, ordinances and zoning ordinances at the time of project completion. The City shall conduct annual or bi-annual, as required. on-site inspections of the project to assure compliance with housing codes. The City may select a sample of the units in the project to satisfy the inspection requirements. (j) Environmental Review. For the Project described in the Scope of Services (Exhibit /\l. attached hereto, Owner shall obtain a Phase I, Environmental Assessment. and agree to mitigate an:' hazardous conditions identitied therein, (k) Affirmative Marketing. In order to provide persons in the housing market area with a range of housing choice, regardless of race, color, religion, sex, handicap, l~lmilial status. or national origin. Owner agrees to administer the 1.IOME Program in a manner that \vill affirmativel: further the purposes of Title VI of the Civil Rights Act of ] 964 at 24 CFR I, the Fair Housing .\ct at 24 eFR 100 and Executive Order 11063 at 24 eFR 107. O\vner will submit its written procedure, that implement these requirements for review and approval by the Ctty, (1) Tenant and Participant Protection. O",ner agrees that the lease to be executed \\ith the tenants of rental housing will be in accordance with 24 CFR Part 92.253. Furthermore, if HUtvlL assistance is provided to a CHOO, the CHOO must adhere to a bir lease and grievance procedur<; approved by the eity and provide a plan for and follow a program of tenant participation in management decisions (24 CFR Part 92.303). (m) CHDO Capabilities. Owner. as a CIIDO. agrees that it will function as an owner of 4 th~ Proj~ct anu that it shall ha\~ d'kctiv~ management control, (n) Change in Status, Owner agrees to advise the City in writing \vithin thirty (30) delYs of any organizationaL operational or legal status changes made by Owner that affect documents that were submitted by O\'mer to obtain C[-[DO status. ARTICLE V ELIGIBLE COSTS Owner agrees that eligible costs for the Project under this Agreement are limited to those eligible costs as outlined in 24 CFR Part 92.206 of the HOME Program regulations. ARTICLE VI DISBURSEMENT OF FUNDS (I) The Funds shall be used by Owner for acquisition of real property. (2) Any payment due under the temlS of this Agreement may be withheld pending the receipt 2.nd approval by the City of all reports and documents which Owner is required to submit to the City pursuant to the terms of this Agreement or any amendments thereto. (3) No payments will be made without evidence of appropriate insurance required by this Agreement. Such evidence must be on file with the City. (4) Owner understands and agrees that disbursement requests for funds under this Agreem:nt are only to be requested when the funds are needed for payment of eligible costs. The amount of each request must be limited to the amount needed. ARTICLE VII SUBCONTRACTS (a) Owner shall use its best dforts to include a statement in all subcontracts that it executes lwt the subcontractor shall hold the City harmless against all claims of whatever natun: arising out nf the subcontractor's performance of work under this Agreement to the extent allowed by law. (b) If Owner subcontracts. a copy of the executed subcontract must be I()[\varded to the ('it> within ten (10) days after execution. ARTICLE VIII CONDITIONS OF SERVICE (a) As a condition of these services. Owner agrees to comply with the HOME Program Fi nal Rule. 24 eFR Part 92. and any Amendments or Notices issued pursuant thereto. 5 (b) Owner agrees to comply vvith the requirements 01' Lxecutive Orders Ilb25 and 12-t~_~ concerning Minority Business Enterprise and 12138 Women's Business Entuprise which encourage the use of minority and women's business enterprises, to the maximum extent possible, in connection with I lOME-funded activities, (c) Owner agrees to comply with the requirements of the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 (URA) (42 U.S.c. 4201-4655) and 49 eFR Part 24. The Owner acknowledges having received the HUD Manual entitled "All the Right t'v[oves: Relocation and Assistance [n I-lUD Programs" and HUD Handbook 1378 and will comply with all requirements contained therein. (d) Owner agrees to comply with all of the following kderallaws, executive orders, and regulations pertaining to bir housing and equal opportunity. (I) Title VI of the Civil Rights \ct of 1964, As Amended (42 u.s.e. 2000d) -- pertaining to discrimination under any program or activity receiving federal financial assistance on the basi:) of race, color, or national origin. Its implementing regulations may be tt)lll1d in 28 erR Part 1. (2) Title VIII of the Civil Rights Act of 1968, As Amended the "Fair- Housing Act" (4:: U.S.c. 360 I) and its implementing regulations at 24 eFR Part 100-115 -- Prohibiting discrimination in the sale or rental of units in the private housing market. (3) Equal Opportunity in Housing (Executive Order 11063, as amended by Executivl~ Order 12259) and implementing regulations at 24 eFR Part 107 -- Prohibiting discrimination in housing or residential property financing related to any federally assisted activity. (4) Age Discrimination Act of 1975, As Amended (42 U.S.c. 6101) and its implementing regulations at 24 eFR Part 146 -- Prohibiting age discrimination in programs receiving federal tinancial assistance. 5) Equal Employment Opportunity, Executive Order 11246, As Amended and it; implementing regulations at 41 CFR Pat1 60 -- Prohibiting discrimination against any employee 0[' applicant for employment Provisions to effectuate this prohibition must be included in ~tll construction contracts exceeding 'j; 10,000. (e) Owner agrees to comply with the requirements of Section 3 of the Housing and Urban Development Act of 1968 (12 u.s.e. 1701u) n Requires that, to the greatest extent feasible, opportunities for training and employment arising from I-laME funded projects will be provided to low-income persons residing in the program service area; and, to the greatest extent kasible. contracts for work to be performed in connection with HOME funded projects will be avvarded to business concerns that are located in, or owned by persons residing in the program service area. (0 Owner will ensure that all units in a project assisted vvith HOME funds comply with th: 6 Lcad Bascd Paint Poisoning Prcnntion Act (.+:2 use -+:-\21. el) ~lI1d its impkmcntlIlg rcgulatiun:; at 2-+ CFR 35, (g) Owner agrees to comply with the Federal Labor Standards Provisions. as d~scribed i1 HUD Handbook 134-+-1 (Federal Labor Standards Compliance in Housing and Communit.,: Development Programs). (h) Owner agrees to comply with the requirements 01'24 CFR part 24 regarding debarment and suspensIOn. ARTICLE IX TERM OF AGREEMENT This Agreement shall be effecti ve upon execution by both parties and shall terminate at thl~ conclusion of the 10 year period of affordability as specified in 24 CFR 92.252 (affordable rental housing). ARTICLE X TERMINA TION The City and Owner agree that this Agreement may be terminated by the City, in whole or in part, for cause (as defined in Article XXVI herein and in accordance with the provisions of 2-~ CFR Part 85.43) or for convenience (as defined in Article XXVTl and in accordance with tht~ provisions 01'24 CFR, Part 85.4-+). A written notification shall be required at least thirty (30) daY'; prior to the effective date of such termination, and shall include the reason for the termination (if 1'0 ~ cause), the effective date. and in the case of a partial termination, the actual portiones) to be terminated. ARTICLE XI AMENDMENTS Any alterations. variations. modifications or waivers of any provisions of this Agreement including an increased allocation of funds. shall only be valid when they have been reduced te writing and signed by the City and Owner. ARTICLE XII CONFLICT OF INTEREST (a) Owner shall comply with the standards contained within 24 CFR Part 92.356 which state~ that no owner, developer or sponsor of a project assisted with HOME funds (or onicer. employee, agent or consultant of the owner, developer or sponsor) whether private-for-profit or non-profit. may occupy a HOME-assisted affordable housing unit in a project. This provision does not apply to all employee or agent of the owner or developer of a rental housing project who occupies a HOME- assisted unit as the project manager or maintenance worker. Exceptions may be granted by the Cit: in accordance with 24 CFR Part 92.356(1)(2). 7 (b) Owner shall disclose any possible conllicts of interest or apparent improprieties of any part> that is covered by the above standards. Owner shall make such disclosure in writing to the Cit> immediately upon Owner's discovery of such possible connict. The City will then render an opinion which shall be binding on all parties. (c) Related Parties. Owner shall report to the City the name, purpose, and any other relevant infoffi1ation in connection with any related-party transaction. This includes, but is not limited to, a for-protit subsidiary or affiliate organization, an organization with overlapping boards of directors, or an organization for which an officer of the Owner is responsible for appointing memberships. Owner 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 in the required Annual Report. ARTICLE XIII INDEMNIFICATION AND INSURANCE Owner, through an insurance carrier, shall indemnify and hold harmless the City from any and all claims, liabilities, losses, and causes of action which may arise out of an act, omission, negligence or misconduct on the part of Owner or any of its agents, servants, employees, contractors, patrons, guests, clients, or invitees. Owner, through its insurance carrier, shall pay all claims ancl losses of any nature whatsoever in connection therewith and shall defend all suits in the mm1e of th~: City, when applicable, and shall pay all costs and judgements which may issue thereon. Owner shall maintain during the term of this Agreement, the insurance specified below. (1) General Liability: $500,000 combined single limit for bodily injury and property damage, for each occurrence. (2) Contractual Liability: the policy must include coverage to cover the above indemnification, (3) Automobile and vehicle coverage in the amount of $500,000 per occurrence shall be required when the use of automobiles and other vehicles are involved in any way in the performance of the Agreement, including non-owned automobile coverage. (4) Workers' Compensation Coverage as per statutory limits of the State of Florid"L (5) Builders Risk/Comprehensive Fire and Hazard Insurance: Owner 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 satist~lctory to the City. (6) Flood Insurance: If the noor grade of the tirst level of the building is determined to be below the base noodplain elevation required by the Federal Emergency Management Agency (FEMA) of 8 ~ ket above NG V D. Ov"ner shall deliver to the City evidence satist~lctor) t\) the City that ll1\..' premises arc covered by tload insurance supplied by the Federal Insurance Administration to the maximum amount available, all as provided in the Flood Disaster Protection .\et .01' llyn. CIS amended, together with appropriate endorsement. Owner agrees that the City shall have the ri.~ht to take any action necessary to continue said insurance in full force. Owner shall submit to the City an ORIGINAL Certiticate oflnsurance for the above coverage with the City 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 release of any funds under this Agreement. Further, in the event evidence of such insurance is not forwarded to the City's Risk Manager within thirty (30) days after the execution of this Agreement. this Agreement shall become null and void, and the City shall have no obligation under the terms thereof unless a written extension of this thirty (30) day requirement is secured from the Risk Manager. ARTICLE XIV REPORTS (l) Progress Reports. Owner agrees to submit monthly progress reports to the City, describl ng the status of the Project and achievement of objectives as provided herein and in the Scope of Services (Exhibit A) and Budget (Exhibit B), attached hereto. The progress reports shall be submitted no later than 10 days after the end of each month until such time as all funds are expended or, for rental projects, until the project is fully occupied. It will be the responsibility of Owner to notify the City in writing, of any actions. law, or event, that will impede or hinder the completion projects ancl activities as provided in this Agreement. After such notification. the City will take whatever actions it deems appropriate to ensure the Sllccess of the program. (2) Tenant and Rent Schedule Certification, a. Owner shall submit to the City for approval the proposed rents 1'01' the HOl\lE Llr it:-; and. if applicable, the monthly allowances tor utilities and services to be paid by the tena~1L The City shall approve submitted rents if such rents comply with applicable Federal standards, or ir llUD has approved same. b. Owner shall provide the City with the initial tenant list. and any and all subsequ\:nt updates, amendments and moditications thereto. with clocumentation 1'01' all tenants in the HOi\lL- units confirming t~1tl1ily size. income. tinancial classification, ethnicity. HOME rents charged and other information the City may require to fultill its reporting requirements to BUD, This report v,ill continue to be required for the full period of affordability hereunder beginning on the date of issuance ofa Final Certification of Completion for the Project. The initial report shall be due \\ithin thirty (30) days of project lease-up, 9 c. Annually, ()\vner shall deliver to the City's Ilousing and C0l11munity Devel\lpnlent Division, by October 3\ st of each calendar year, its signed report in torm and substance acceptabk to the City. to include names ot' tenants, unit type, family size and income, rents chargeeL ~llld occupancy/vacancy Llctor oteach unlt tor the prior tiscal year (October 1st through September 3Uth), The report will continued to be required for the full IO-vear period of affordability hereurder beginning on the date of issuance of a Final Certiticate of Completion for the project (3) Other reports as may be required by the City to demonstrate compliance with any of the tems of this Agreement. I l' the required rep0l1s described above are not submitted to the City or are not completed in the manner acceptable to the City, the City may withhold further payments until they are compklt:d or may take any other action as the City may deem appropriate. ARTICLE XV AUDIT AND INSPECTIONS At any time during nonnal business hours and as often as the City administration and/or the Comptroller of the Currency of the United States may deem necessary, there shall be made avaibble to the City administration and/or representatives of the Comptroller to audit. examine and m3.ke audits of all contracts, invoices, materials, payrolls, records of personnel, conditions of emploYl11 ent and other data relating to all matters covered by this Agreement. Ifduring the course OLl monitOling visit, the City determines that any payments made to Ovvner do not constitute an allowiJ ble expenditure, the City will have the right to deduct those amounts Ii'om their related invoices. Ovvne1' must maintain records necessary to document compliance with the provisions of this :'\greement ARTICLE XVI COMPLIANCE WITH LOCAL STATE AND FEDERAL RI~GULATIONS Owner agrees to comply with all applicable Federal regulations as they may apply to program administration. Additionally, Owner will comply with all State and locallavvs and ordinances hereto applicable. ARTICLE XVII ADDITIONAL CONDITIONS (a) Title and paragraph headings are for convenient reference and are 1H)[ a part uf tillS Agreement. (b) In the event of connict between the terms of this Agreement and any terms or conditions contained in any attached document, the terms in this Agreement shall rule (C) No waiver or breach of any provision o!'this Agreement shall constitute a waiver o!'an:, subsequent breach of the same or any other provislon hereof, and no waiver shall be effective unless made in writing, 10 ARTICLE XVIII ACCESS TO RECORDS Owner, agrees to allow access during normal business hours to all financial l\~cords tll authorized Federal, State or City representatives and agrees to provide such assistance as may be necessary to facilitate tinancial audit by any of these representatives when deemed necessary to insure compliance with applicable accounting and tinancial standards. Owner shall allow aCCt:ss during normal business hours to all other records, forms, files, and documents which have been generated in performance of this Agreement and to those personnel as may be designated by the ell), ARTICLE XIX SEVERABILITY OF PROVISIONS If any provision of this Agreement is held invalid. the remainder of this Agreement shall Lut be affected thereby if such remainder would then continue to conform to the terms and requirements of applicable law. ARTICLE XX PROJECT PUBLICITY Owner agrees that any news release or other type of publicity pertaining to the project as stated herein must recognize the City as the recipient funded by the United States Department of Housing and Urban Development, and that the Program is administered by the City's Communt) and Economic Development Department, which is the entity providing funds for the Project. ARTICLE XXI DRUG-FREE WORKPLACE Owner agrees to administer in good t~lith, a policy to ensure that it complies with the Dn;g- Free Workplace Act requirements under 24 CFR Part 24, Subpart F, and will ensure that the workplace is free from the unlawful manufacture. distribution, dispensing, possession or use of drugs or alcohol. ARTICLE XXII NONDEI,EGABI..(;: Owner agrees that the obligations undertaken pursuant to this Agreement shall nut be delegated or assigned to any other person or linn unless the City shall tirst consent in \'vriting to the performance or assignment of such service or any part thereof by another person or firm, ARTICLE XXIII SUCCESSORS AND ASSIGNS Owner agrees that this Agreement shall be binding upon the parties herein. their heirs. executors, legal representatives. successors, and assigns, 1 1 ARTICLE XXIV INDI~PENDENT CONTRACTOR Owner and its employees and agents shall be deemed to be independent contractors and not agents or employees of the City, and shall not attain any rights or bendits under the Civil Service or Pension Ordinances of the City. or any rights generally afforded classified or undassi'ied employees; further he/she shall not be deemed entitled to the Florida Workers' Compensalion benefits as an employee of the City. ARTICLE XXV ASSIGNMENT This Agreement may not be assigned or transferred by Chvner without the prior \\Tiuen consent of the City thereto, which consent shall not be unreasonably withheld. It shall be deened a default of this Agreement in the event that Owner does not strictly comply with the procedures established herein for obtaining City consent to assignment or transfer as detined by this Paragraph. In the event such consent is not obtained, in the manner prescribed herein, the City shall be entided 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%) perc ent ownership in its stock by pledge, sale, or otherwise; or if Owner makes an assignment for the bendit of its creditors, or uses this Agreement as security or collateral for any loan; or if the Provider is involved in any bulk transfer of its business or assets, then in that event each of the foregoing acti Jns shall also be deemed an assignment of this Agreement and shall require the City's prior written consent. A merger, dissolution, consolidation, conversion, liquidation or appointment of a receivership for Owner, shall be deemed an assignment of this Agreement and will require the prior written consent of the City thereto, ARTICLE XXVI TERMINATION FOR CAliSE The City may place Owner in dehmlt of this Agreement and may suspend or terminate Ihis Agreement. in whole or in part, lor caLIse, as prescribed in Article X herein. "Cause" shall include. but not be limited to, the tollowing: (a) Owner's bilure to (i) diligently pursue additional Project tinancing and tl) close lln the acquisition of the Project within 60 days from the date of execution of this Agreement: or (i i I commence work within thirty (30) days from the date of issuance of the Notice to Proceed: ur I iii) diligently pursue construction and timely complete the project by securing a Final Certiticatl: of Completion within twelve (12) months from the elate of execution of this Agreement. Work shall be considered to have commenced and be in acti\e progress when. in the :iu!.: opinion of the City, a full complement of workers and equipment is present at the site to diligentl:- incorporate materials and equipment into the structure throughout the day on each full \\orking day. weather permitting. 12 (b) (hvner's t~lilure tu comply with applicable building. lil\:, lik saktv, housillg and /lJning Ll\\; rules. regulations and COlleS, (C) Owner's default on any of the terms and conditions or the note. mortgage. or other loai1 document executed by Owner in bvor of a Lender. (el) Owner's failure to maintain the insurance required by the C'ity and/or Lender. (e) Failure to comply and/or perform in accordance with any of the terms and conditions or this Agreement. or any Federal, State or local regulation, (f) Submitting any required report to the City which is late. incorrect, or in5=ompkte in an:- material respect after notice and reasonable opportunity to cure, as set forth in subparagraph (11) hereof. has been given by the City to Owner. (g) Implementation of this Agreement, for any reason is rendered impossible or infeasible. (h) Failure to respond in writing within thirty (30) days of notice of same from City to an:,' concerns raised by the City, including providing substantiating documentation when requested b:, the City. (i) Any evidence of fraud, waste or mismanagement as determined by the City's monitoring 01' project( s) under this Agreement, or any violation of applicable HUD rules and regulations. (j) Owner's insolvency or bankruptcy. (k) An assignment or transfer of this Agreement or dilY interest therein which does not comply with the procedures set forth in Article XXV herein. (I) Claims oflien not satislied or bonded-oIl in accordance with Florida Statutes. within60 day~; from the date of filing or any such lien. (m) Failure to comply and/or pert(xm in accordance with the affordability requin:men.ts, and/lll' an unauthorized transfer of title of its HOI'vIE projects. If the default complained of is not fully and satisElctorily cured within thirty (30) days 01' receipt of such notice of debult to Owner, at the expiration or said thirty (30) day period (or such additional period of time, as permitted by the City, in its sole discretion, as required to cure such dd~lult, in the event Owner is diligently pursuing curative efforts) this Agreement may, at the City'~ sole option and discretion, be deemed automatically canceled and terminated, and the City full) discharged from any and all liabilities. duties and terms arising out of, or accruing by virtue of thi~ Agreement. In the event of a default for cause, the City may, at its option, avail itself of any and all remedies pursuant to 24 eFR Part 85.43, as amended li'om time to time, including suspension, ill whole or in part, of Owner's grant award(s): recapture of the Funds. as set f<.)["[h herein: and any otheI remedies that may be legally available. 13 ARTICLE XXVII TF:RMINATION FOR CONVENIENCE Notwithstanding Article XXVI above, Owner herein consents that the City may terminale this Agreement, in whole or in part, for convenience, as set forth in 24 CFR Part 85.-+-L ARTICLE XXVIII ADDITIONAL REMEDIF:S in the event of a default and termination for cause, the City shall be entitled to bring any au.! all legal and/or equitable actions which it deems to be in its best interest, in Dade County, florid,l, in order to enforce the City's rights and remedies against the det~lL1lting party, The City shall be entitled to recover all costs of such actions, including reasonable attorney's fees. To the exte 1t allowed by law, the defaulting party waives its right to jury trial and its right to bring permissive counterclaims against the City in any such action. ARTICLE XXIX MAINTENANCE AND RETENTION OF RECORDS Owner agrees that it will maintain all records required pursuant to 24 CFR Part 92.508, in an orderly fashion in a readily accessible, pelmanent and secure location, and that it will prepare and submit all reports necessary to assist the City in meeting record keeping and reporting requirements thereunder. (I) Records shall be maintained for a period of five years after the closeout of funds under this Agreement except as provided herein (2), (3) and (4). (2) If any litigation, claim, negotiation, audit or other action has been started before the regular expiration date, the records must be retained until completion of the action and resolution of all issues which arise from it, or until the end of the regular period specitied in paragraph (I). whichever is later; (3) Records regarding project requirements that apply for the duration of the period l)f atIordability, as well as the written agreement and inspection and monitoring repo;ts must he retained for five years after the affordability period terminates; (4) Records covering displacements and acquisition must be retained for at least Ii vc years afkr the date by which the persons displaced Ii'om the property and all persons whose property is acquir<:d for the project have received the tinal payment to which they are entitled in accordance with 24 CFR Part 92.353. ARTICLF: XXX LIMITATION OF LIABILITY The City lksires to enter into this Agreement only if in so doing the City can place a limit 14 on th~ City's liability [tH' any callse ofactiun !tH'llloney dal11a~!es due tu ,\11 alk~ed bIT,leh by the Cit\ uf this Agr~~m~nt. so that its liability for any sllch breach never exceeds the sum of $.WO.()()(). Owner hereby expresses its willingness tu enter into this !\greemcnt with O"'ner's recov~ry li'olll !he City for any damage action for breach of contract to b~ limit~d to a maximum amount of $-WO,()()() Accordingly, and notwithstanding any other term or condition or this Agreement. Ovvner hereby agrees that the City shall not be liable to Owner for damag~s in an amount in excess of $400,0()(). for any action or claim for breach of contract arising out of the performance or non-p~rformance of any obligations imposed upon the City by this Agreement. Nothing contained in this paragraph or elsewhere in this Agreement is in any way intended to be a waiver of the limitation placed upon the City's liability as set forth in Florida Statutes, Section 76R.2R. ARTICLE XXXI VENUE This Agreement shall be enforc..:able in Miami-Dade County, Florida, and if legal action is necessary by either patty with respect to the enforcement of any or all terms or conditions herein. exclusive venue for the enforcement of same shall lie in Miami-Dade County, Florida. ARTICLE XXXII ADDITIONAL CONDITIONS AND COMPENSATION It is expressly understood and agreed by the parties hereto that monies contemplated by this Agreement to be used for the Funds, originated from grants of federal HOrviE lnvestnwnt Partnerships Program funds, and must be implemented with all of the applicable rules and regulatiJn of the U.S. Department of Housing and Urban Development. It is expressly understood and agreed that in the event of curtailment or non-production of said Federal grant funds, that the financial sources necessary to continue to pay the Owner the Funds will not be available and that this Agreement will thereby terminate effective as of the time it is determined that said funds are ~10 longer available. In the event of such detem1ination, Owner agrees that it will not look to, nor sed\. to hold liable, the City or any individual member of the City Commission thereof, personally Il,r the perll)rmance of this Agreement and all parties hereto shall he released from further liability each tu the other under the terms uf this Agreement. ARTICLE XXXIII ACCESSIBILITY LA WS COMPLIANCE Owner agrees to adhere to and be governed by thc following accessibility requiremcnts: (a) Architectural Barriers Act of 1968, As Amcnded (42 U.S.c. 4151) and its implemcnti 10; regulations at 35 eFR Part 107 -- Public buildings and conveyances linanced with federal funds must be designed, constructed, or altered to provide accessibility to the physically handicapped. (b) Section 504 of the Rehabilitation Act of 1973 (29 use 7(4) and implementing regulations at 24 CFR Part g -- Prohibits discrimination in t"ederally assisted programs on the ba:;is of handicap and impuses requirements to ensure that "qualitied individuals with handicaps" ha\e 1 5 access to programs and activities that receive federal funds. (c) Title VIII of the Civil Rights Act of 1968, As Amended the "Fair Housing Act" (.+2 U .S.c. 3601) and its implementing regulations at 24 CFR Part 100-115. Owner must complete and submit the City's Disability Non-Discrimination Affidavit (Anidavit), a copy of which is attached hereto and incorporated herein as Exhibit C. In the event Owner fails to execute the City's Affidavit, or is found to be in non-compliance with the provisic,ns of the Affidavit, the City may impose such sanctions as it may determine to be appropriate, including but not limited to, withholding of payments to Owner under the Agreement until compliance and/or cancellation, termination or suspension of the Agreement in whole or in part. In the event the City cancels or terminates the Agreement pursuant to this Article, Owner shall not be relieved of liability to the City for damages sustained by the City by virtue of Owner's breach of the Agreement ARTICLE XXXIV NOTICES All notices shall be sent to the parties at the following addresses: If to the City: City of Miami Beach 1700 Convention Center Drive. 3rd Floor Miami Beach, FL 33139 Attn: (1) City Attorney's Oftice and (2) Housing Director [f to Owner: Roberto Datorre MBCDC 1205 Drexel Ave., 2nd Floor Miami Beach, FL 33139 or to such address and to the attention of such other person as the City or Owner may from time to time designate by written notice to the other. 16 IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by their duly authorized official(s) on the day and date tirst above indicated. MIAMI BEACH COMMUNITY DEVELOPMENT CORPORATION a Florida not-far-profit corporation '),4 Authorized Signatory ATTEST: /-,. ' " , \ --.., <' -<\11 ~y \c-, DC{t{ {e I -Y{ e~:~ rl~ (yA; Printed Name and Title of Authorized Signatory ecretary ATTEST: CITY OF MIAMI BEACH a Florida Municipal corporation f2tluJ~ P cucLL'\ City Clerk ~! Mayor F' DDHPISALL\BETHI99UOCHDO.PROI1551 PENN\ 1551110ME,AGR .APPROVED f\S 10 FORlv; & LANGUAGE .& fOR EXECUTION ~:(~/ ))t!~ 17 EXHIBIT A SCOPE OF SERVICES SCOPE OF SERVICES I, NamdAddre:ss uf Projt:ct: Sabrina Apartlllt:nts I :is I Pennsylvania Ave:nue i'vliami Beaeh, FI 33139 , Legal Description: Lot 14, Block 59, of Lincoln Subdivision, according to the Plat thereof, recorded in Plant Book 9, Page 69, of the public Records of Miami-Dade County, Florida. 3. Building and Site Characteristics MBCDC has entered into a Contract f(Jr Sale and Purchase in the amount uf $760,000 fur an apartment building named Sabrina Apartments. located at 155\ Pennsylvania Avenue:. i'vliami BeadL Ihe buildin;! is vaeant. The 2-story, 20 unit apm1rnent building is an Art Deco building located within the /\rt Decu Historic District of South Beach. The building was eonstructed in 1947 and is located two blocks west of Washington A venue and one block south of L.incoln Road. The 20 one-bedroom apanments oecupy a total are[, of approximately 10,640 square teet. According to the repon from the architects, Insight Design, Inc" there are four units which contain 400 square teet. Each of the other 16 units have an area of 491 square feet. AlIll1its are in excess of the minimum City requirement of400 square teet. MBCDC is proposing to rdain the 20 u.lits and to rehabilitate the building with a minimum of changes to the room layout. Since the average size of tht: units is less than 550 square feet, a waiver will need to be obtained from the City, MBCDC has obtained site control and proceeded to have the htcility inspected by a structural t:ngineeL Tht: structural engineer's report stated that no major structural deficiencies were found. A Phase I Environment Review was also conducted which identitied possible petroleum product contamination from improptrly abandoned heating oil tanks on adjacent propelties. As a requirement of funding, the Owner will mitigate any hazardous conditions identitied in the Phase I report. The Ovvner has provided a recent appraisal indicating that the property has been appraised for $760,000 in "as is" condition. 4, Upon completion of the Pruject, all units will be HOME-assisted and carry restricted rellt and tenant income restrictions for the duration uf the I O-year affordability period, 5, Proposed Elements ut'Constructiun l'he proposed scope ohvork. based lll1 a preliminary evaluation. includes the following: replace \.\allllhlUllled A/C units with a centralllVA,C system; replace electrical system~ replace existing windO\vs: provide ne\\ kitchenettes; refurbish/replace bathroom tixtures~ retinish wood finishes~ provide kD,A. accessibility as required~ upgrade fire alarm and detection system~ convert basement into laundry room: relinish/re-plasrcr ceil ing and wall areas as needed; re-Iandscape enti.y; and prov ide security teatures as necessary. 6, The following procedures rnust be followed, prior tu the coml11encel11t:nt o!. \\ork on the pr,l.lcct: (a) Each contractor and/or subcuntractor lTlust be found to be eligible to work on a federally funded project. The names submitted will be checked against the monthly listing "Consulidated List of Debarred. Suspended & Incligible Contractors and Grantees" published by the Federal Gllvernmtnl. (b) Since the Buildillg is nlore than 50 years old, Owncr's Architect or Engineer ( I) must obtain and :-;ubmit tn the City a Ictter indicating that the plans for thc project have becn revic\\cd by the Selle Historic Presel"\ation Onicer I SllPO) and that the propo~ed rehabilitatioJl is acceptable t,l thar ollie\?, and (2) Illust submit a cupy llfthe 50 year re-certitication fix the building, (c) A set of tinal approved plans and specitications fur the project appruved by the City's Buildin!j Department must be submillecl to the Housing Division of the City's Comlllunity/E':cunomic Deve lopment Department. (d) Building permits must bc obtained as required by applicable City Ordinance. Also. any other necessary permits ancl applicable approvals from any other governmental authorities must be obtained. if required. (e) A copy of the contract bet ween Owner and a licensed General Contractor must be subm itted to the City which includes commencement and completion dates. contract amount. scope of worh. Federal Labor Standards Pruv isions (H UD Form -H) I 0, if appl icable). and appl icable federa I regulations and standards. (t) The General Contractor selected must submit evidence prior to the commencement of \Ynrh. satisfactory to the City's Insurance Manager, of the following insurance coverage: 1) Liabilit:- insurance against claims arising out of accident or occurrence on the property, in a minimum amount of $1,000,000. The City of Miami Beach must be named as additional insured in the policy; and 2) Proof of worker's compensation coverage; and such other forms of insurance as the City's Risk Manager may reasonably require, (g) A revised cost breakdown. to include direct and indirect costs of the proposed work. based on thl: actual contract price. When the above requirements have been met, the Community/Economic Development Department and till? Building Department will jointly issue a "Notice to Proceed" on the project. If Owner nr contractor does not fully comply, or ifany work commences prior to the issuance of the Notice to Proceed, then such work may, at the discretion of the City. constituk a det~lldt under this ,\greement. Exception: Subject to the prior approval of the Community/Econulllic Development Department and the Building Department. emergency repairs can be undel1aken on the Project 7, Owner's General Contractor shall be responsible for compl iance with all pollution and asbestos contro standards ofth~ concerned governmelltal agellcies, It shall be thc l\mtractor's n.::spollsibility tu obtain requirel inspections from these agencies. 8, Federal regulations require that all tenants in housing rehabilitated with federal funds. be pmvidec with information on the following: that the property may contain lead-based paint: uf the hazards. sYll1ptonl' and treatment for ingestion of lead-based pail1t: of the precautions to be taken; of the availability orblood level screening for children under seven years of age: and that in the event lead-based paint is found in the prupeny, appropriate abatement procedures must be undertaken by owners, Copies of a brochure will be provided to Owner by the City, This information must be provided by O\vner to each tenant, and Owner must retain evidence of having provided this nutiticalion to the tenant in a tile for the life of this Agreement, 9, Alter the property has been rehabilitated, it must conform to the applicable codes, ordinances and statutes of the Cily and of Miami-Dade County, including, but Jlot limitedlo. the South Flnrida l3uilding Code. the Zoning Ordinance, and the Pmpeny Maintenance Standards I D. Owner agrees that it will devc:lop an aftirmative markding plan. with concurrenCl: frum the C it). that \vill comply with the City's adopted aftirmative marketing procedures and requirements for projecs containing 5 or more HOME-assisted housing units. Owner shall implement an affirmative marketing program that provides information to, and attracts eligible persons in the housing market. area to tl:e available housing receiving assistance from HOME funds, without n:gard to race, color, national origin, rei igion, sex. sexual orientation, handicap, marital status, fam iI iat status. or age. TIi e affirmative marketing requirements and procedures adopted by Owner shall incluck, hut nul necessarily be limited to, the following: a, Methods to promote greater choice of housing opportunities; b. Practices for marketing vacant units that will atlirmatively further fair housing (e.g" use c I' commercial media, use of comm unity contacts, LIse of the Eq ual Housing Opportun ity logotype c r slogan, and display of fair housing poster); c, Special outreach efforts to inform and solicit applications frum persons in the housing market area who are not likely to apply t()r the housing without special outreach and advertising effol1s (c.g" use of community organizations including, but not limited to: places of worship, employment center~;, community centers, fair housing groups, housing counseling agencies, community developmert corporations, and the Housing Authority of the City of Miami Beach). The City shall provide a li~t of potential outreach sources to Owner; d. Maintenance of records describing actions taken to aftirmatively market units and records to assess the results of these actions, illcl uding newspaper clippings of all vacant units advertised. copies 0 I' brochures, pamphlets, and articles used in advertising units, lists of community organizations used i,) disseminating information, records of referrals and the results of these referrals, and documentation of any other special outreach activities conducted. e. A certification that states that the Owner agrees to adhere to any corrective actions the City requires if affirmative marketing requirements are not met II, Project Development Schedule Closing Date Commence Construction Complete Construction Lease-up May 24, 2000 July 2000 January 200 I March 200 I EXHIBIT B BUDGET SOURCES AND USES OF FUNDS SABlUNA APARTMENTS 1551 PENNSYLVANIA AVENUE ESTIMATED SOURCES OF FUNDS CITY OF MIAMI BEACH (CHDO SET ASIDE) SELLER FINANCING,TO BE TAKEN OUT BY (LISC), AND (PERMANENT BANK LOAN) CITY OF MIAMI BEACH (NOFA) OTHER: FLA HOUSING FINANCE CORP., MIA.MI-DADE COUNTY, AHP MBCDC USES OF FUNDS ACQUISTION OF PROPERTY REHABILIT A nON PRE-DEVELOPMENT COSTS 400,000 360,000 500,000 200,000 2,649 1,462,649 760,000 550,000 152,649 1,462,649 EXHIBIT C DISABILITY DISCRIMINATION AFFIDAVIT .-\CKNOWLEDGEMENT OF OISABILITY NONDISCRIMINA nON AFFIDA VIT CONTRACT REFERENCE HOME. Fiscal Year 1999/2000 1'1.\:VIE OF FIR;"!. CORPORA nON. OR ORGANIZATION Miami Beach Community Development Corporation (MBCDC) .~LTHORIZED AGENT COMPLETING AFF[DA VIT Roberto Datorre POSITION President PHONE NUMBER (305 153S-0090 L Roberto Darorre " being duly first sworn state: That the above named form, corporation or organization is in compliance with and agrees to continue to comply \vith, and assure that any subcontractor, or third party contractor under this project complies with all applicable requirements of the laws listed below including, but not limited to, those provisions pertaining to employment, provision of programs and services, transportation, communications, access to facilities. renovations, and new construction. The Americans with Disabilities Act of 1990 (ADA): Pub. L. 101-336, 104 Stat 327,42 use 12101- 12213 and 547 use Sections 225 and 611 including Title I, Employment; Tittle II, Public Services; Title fII, Public Accommodations and Services Operated by Private Entities; Title IV, Telecommunications; and Title V, Miscellaneous Provisions. The Rehabilitation Act of 1973: 29 USC. Section 794. The Federal Transit Act, as amended: 49 USe. Section 1612. The Fair Housing Act as amended: 42 u.s.e Section 3601-363 I. Signature Date SUBSCRIBED AND SWORN TO (or affirmed) before me on (Date) by ( Affiant) He/She is personallv known (O:me or has . . presented as identification (Type of identification) (Signature of Notary) (Serial Number) (Print or Stamp Name of Notary) (Expiration Date) Notary Public (State) Notary Seal The City of Miami Beach will not award a contract to any fim1, corporation or organization that fails [0 complete and submit this Affidavit with the firm. corporation or organization's bid or proposal or fails (0 have this Affidavit on file with the City of Miami Beach.