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HomeMy WebLinkAboutContracts & Agreements_76-2009_CCv0001.pdf JOINT AGREEMENT FOR STATE OF CALIFORNIA NEIGHBORHOOD STABILIZATION PROGRAM FUNDS This Agreement is made and entered into this 9th day of June, 2009, by and between the County of San Bernardino, of the State of California, hereinafter referred to as "COUNTY," and the City of Redlands, a city within the COUNTY, hereinafter referred to as "CITY." WHEREAS, the State of California Department of Housing and Community Development (HCD) received an allocation of Neighborhood Stabilization Program (NSP) funds as part of H.R. 3221, known as the Housing and Economic Recovery Act (HERA), herein referred to as "ACT" for the purposes of addressing the issues with vacant foreclosed homes and providing affordable housing opportunities for low- to moderate-income families (LMMI); and, WHEREAS, HCD subsequently allocated NSP funds to"CITY"; and, WHEREAS, CITY has requested COUNTY to apply for and administer HCD NSP funds on its behalf and COUNTY agrees to apply for, administer and be responsible for HCD NSP funds on CITY'S behalf-, and, WHEREAS, the execution of this Agreement is necessary to implement the administration and expenditure of the HCD NSP funds in accordance with the HCD NSP requirements. NOW THEREFORE, in consideration of the mutual covenants herein set forth and the mutual benefits to be derived therefrom, the parties agree as follows: 1. 2ENERAL This Joint Agreement is required by HCD and gives COUNTY authority to apply for, receive, implement, and administer HCD NSP funds for eligible activities in the eligible targeted areas of CITY, and any program income generated from the expenditure of such funds. COUNTY is responsible for ensuring funds are spent on eligible activities in eligible areas. 2. TERM The term of this Agreement shall be the later of. (1) expenditure of State NSP funds provided under this agreement along with program Income and the completion of the activities funded with NSP funds; or (2) April 30, 2012, unless an earlier date of termination Is fixed by HCD or the U.S. Department of Housing and Urban Development, ("HUD"). The Intent Is for this Agreement to remain in effect until all HCD NSP funds covered under the terms of this Agreement, and any income generated from the expenditure of such funds, are expended, and the funded activities are completed. This Agreement may not be terminated and neither party may withdraw from this Agreement while it remains in effect. Page 1 of 9 3. PREPARATION OF APPLICATION COUNTY, by and through its Department of Community Development and Housing (CDH), subject to approval of COUNTY Board of Supervisors, and in accordance with HCD's agreement requirements, will be responsible for preparing and submitting to HCD all necessary applications for HCD NSP funds. Application to HCD includes the preparation and processing of the application, compliance with Citizen Participation requirements as well as any other items HCD requests related to HCD NSP regulations. 4. ELIGIBLE PROGRAMS CITY has requested COUNTY to implement the following NSP-eligible activities: 1. Down Payment Assistance (NSP-1) which provides down payment assistance to purchaser-occupants of foreclosed properties. 2. Affordability Gap (NSP-3) which is a soft second mortgage to purchaser-occupants of foreclosed properties. 3. Acquisition, Rehabilitation and Resale (NSP-4)which is the acquisition, rehabilitation and resale of significantly damaged homes in heavily impacted neighborhoods. 5. BUDGET/PROGRAM SUMMARY The Budget/Program Summary, attached hereto as Exhibit 2 of 2 is the initial allocation of HCD NSP funds as requested by CITY for eligible programs and activities. CITY and COUNTY anticipate changes, modifications and/or additions may need to be made to the budget in order to avoid having one program activity under funded while another activity is not being utilized. The CITY Manager or his or her designee shall be authorized to act on behalf of the CITY and the Director of CDH, or his or her designee, shall be authorized to act on behalf of the COUNTY in order to make any changes necessary to meet NSP program needs. Written authorization by both CITY (through the CITY Manager) and COUNTY (through the Director of CDH) is required in order for there to be any changes, modifications and/or additions to the Budget/Program Summary. In order to implement and carry out its duties pursuant to this Agreement, COUNTY will utilize the maximum amount available for administration of the HCD NSP funding, which is five per cent (5%) or $33,615. The remaining grant amount of $638,698 will be allocated on the CITY's behalf for eligible programs. As programs and projects are implemented, COUNTY will receive up to eight per cent (8%) of the amount allocated to programs as an activity deliver fee to help offset the expenses directly associated with implementation of NSP activities. HCD NSP grant amount: $672,313 Loan Administration Fee (5%): $ 615 Funds allocated to program activities: $638,698 Page 2 of 9 6. COMPLIANCE WITH FINAL PROGRAMS AND PLANS COUNTY and CITY shall comply in all respects with final HCD NSP application and plan, as well as any implementing regulations and guidelines. 7. COMPLIANCE WITH ACT AND REGULATIONS COUNTY and CITY shall comply with all applicable requirements of ACT and its regulations, in utilizing basic grant funds under ACT, and shall take all actions necessary to assure compliance with COUNTY certifications required by Section 104(b) of Title I of the Housing and Community Development Act of 1974, as amended. COUNTY and CITY will comply with the provisions of the National Environmental Policy Act of 1969 (NEPA), the California Environmental Quality Act (CEQA), Title VI of the Civil Rights Act of 1964, Title VIII of the Civil Rights Act of 1968, Executive Order 11988, e In. SctioI.09.of Title tie I-of-ACT,I the he .Fair Housing-Act', and other applicable federal laws and regulations. CITY agrees that HCD NSP funding for activities in or in support of CITY are prohibited if CITY does not affirmatively further fair housing within its own jurisdiction or impedes COUNTY actions to comply with its fair housing certification. (CITY certifies that it has fair housing programs in place.) 8. CONFLICT OF INTEREST CITY and COUNTY shall comply with all applicable federal and state laws, regulations and policies governing conflict of interest, including state conflict of interest regulations found in California Government Code Sections 1090, 1126, 87100 et seq., federal conflict of interest regulations found in 24 CFR 570.611, 85.36, and 84.42, and any other applicable policies, rules and regulations related to conflict of interest. Any person who is an employee, agent, consultant, officer, elected or appointed official of the CITY, who exercises any functions or responsibilities with respect to HCD NSP funded activities identified in this Agreement and who is in a position to participate in a decision making process or gain inside information with regard to activities identified in this Agreement, may not obtain a financial interest or benefit from the HCD NSP assisted activities identified in this Agreement or any related contract, subcontract, or agreement, either for themselves, an immediate family member or business partner, during his/her tenure. CITY shall maintain written standards of conduct governing the performance of its employees engaged in the award and administration of contracts. 9. POLICIES CITY and COUNTY each have and are enforcing the following policies: (1) policies prohibiting the use of excessive force by law enforcement agencies within its jurisdiction against any Individuals engaged in non-violent civil rights demonstrations; and (2) a policy of enforcing applicable state and local laws against physically barring entrance to, or exit from, a facility or location which is the subject of such non-violent civil rights demonstrations. Page 3 of 9 10. INDEMNIFICATION CITY agrees to indemnify, defend and hold harmless COUNTY and its respective authorized officers, employees, agents and volunteers from any and all claims, actions, losses, damages, and/or liability arising out of this Agreement from any cause whatsoever, including the acts, errors or omissions and for any costs or expenses incurred by COUNTY on account of any claim therefore, except where such indemnification is prohibited by law. Without limiting the foregoing Indemnification, CITY shall Indemnify and hold harmless COUNTY and its respective authorized officers, employees, agents and volunteers from any liability, claims, losses, demands, and actions incurred by COUNTY as a result of the determination by HUD or HCD or their successors that activities undertaken by CITY under,the program(s) fail to comply_with any laws, regulations,or policies applicable thereto. COUNTY shall, indemnify, defend, and hold CITY, its officers, agents, volunteers, and employees, harmless from and against any loss, liability, claim, or damage that may arise from any negligent act or omission by COUNTY, its officers, agents, and employees. 11. INSURANCE REQUIREMENTS Without in any way affecting the indemnity herein provided and in addition thereto, CITY shall either provide evidence of a self insurance program satisfactory to County or secure and maintain throughout the Agreement the following types of insurance with limits as shown: Additional Insured, — All policies, except for the Workers' Compensation, Errors and Omissions and Professional Liability policies, shall contain endorsements naming the County and its officers, employees, agents and volunteers as additional insureds with respect to liabilities arising out of the performance of services hereunder. The additional insured endorsements shall not limit the scope of coverage for the County to vicarious liability but shall allow coverage for the County to the full extent provided by the policy. Such additional insured coverage shall be at least as broad as Additional Insured (Form B)endorsement form ISO, CG 2010.1185. Waiver of Subrogation Rights — The CITY shall require the carriers of required coverages to waive all rights of subrogation against the County, its officers, employees, agents, volunteers, contractors and subcontractors. All general or auto liability insurance coverage provided shall not prohibit the CITY and CIlYs employees or agents from waiving the right of subrogation prior to a loss or claim. The CITY hereby waives all rights of subrogation against the County. Policies Primary and Non-Contributory — All policies required herein are to be primary and non-contributory with any insurance or self-insurance programs carded or administered by the County. Severability of Interests — The CITY agrees to ensure that coverage provided to meet these requirements is applicable separately to each insured and there Will be no cross Page 4 of 9 liability exclusions that preclude coverage for suits between the CITY and the County or between the County and any other insured or additional insured under the policy. Proof of Coverage — The CITY shall furnish Certificates of Insurance to the County Department administering the contract evidencing the insurance coverage, including endorsements, as required, prior to the commencement of performance of services hereunder, which certificates shall provide that such insurance shall not be terminated or expire without thirty (30) days written notice to the Department, and CITY shall maintain such Insurance from the time CITY commences performance of services hereunder until the completion of such services. Within fifteen (15) days of the commencement of this contract, the CITY shall furnish a copy of the Declaration page for all applicable policies and will provide complete certified copies of the policies and endorsements immediately upon request. Acceptability of Insurance Carrier — Unless otherwise 'approved by Risk "Management, insurance shall be written by insurers authorized to do business in the State of California and with a minimum "Best" Insurance Guide rating of"A-VI 1". Deductibles and Self-Insured Retention — Any and all deductibles or self-insured retentions in excess of$10,000 shall be declared to and approved by Risk Management. Failure to Procure Coverage — In the event that any policy of insurance required under this contract does not comply with the requirements, is not procured, or is canceled and not replaced, the County .has the right but not the obligation or duty to cancel the contract or obtain insurance if it deems necessary and any premiums paid by the County will be promptly reimbursed by the CITY or County payments to the CITY will be reduced to pay for County purchased insurance. Insurance Review — Insurance requirements are subject to periodic review by the County. The Director of Risk Management or designee is authorized, but not required, to reduce, waive or suspend any insurance requirements whenever Risk Management determines that any of the required insurance is not available, is unreasonably priced, or is not needed to protect the interests of the County. In addition, if the Department of Risk Management determines that heretofore unreasonably priced or unavailable types of insurance coverage or coverage limits become reasonably priced or available, the Director of Risk Management or designee is authorized, but not required, to change the above insurance requirements to require additional types of insurance coverage or higher coverage limits, provided that any such change is reasonable in light of past claims against the County, inflation, or any other item reasonably related to the County's risk. Any change requiring additional types of insurance coverage or higher coverage limits must be made by amendment to this contract. CITY agrees to execute any such amendment within thirty (30)days of receipt. Any failure, actual or alleged, on the part of the County to monitor or enforce compliance with any of the insurance and indemnification requirements will not be deemed as a waiver of any rights on the part of the County. Page 5 of 9 The CITY agrees to provide insurance set forth in accordance with the requirements herein. If the CITY uses existing coverage to comply with these requirements and that coverage does not meet the specified requirements, the CITY agrees to amend, supplement or endorse the existing coverage to do so. The type(s)of insurance required is determined by the scope of the contract services. Without in anyway affecting the indemnity herein provided and in addition thereto, the CITY shall secure and maintain throughout the contract term the following types of insurance with limits as shown: Workers' Compensation/Employers Liability — A program of Workers' Compensation insurance or a state-approved, self-insurance program in an amount and form to meet all applicable requirements of the Labor Code of the State of California, including Employer's Liability with $250,000 limits covering all persons including volunteers providing services on behalf Of the CITY and all risks to such persons under this contract. If CITY has no employees, it may certify or warrant to the County that is does not currently have any employees or individuals who are defined as "employees" under the Labor Code and the requirement for Workers' Compensation coverage will be waived by the County's Director of Risk Management. Commercial/General Liability. Insurance — The CITY shall carry General Liability Insurance covering all operations performed by or on behalf of the CITY providing coverage for bodily injury and property damage with a combined single limit of not less than one million dollars ($1,000,000), per occurrence. The policy coverage shall include: (a) Premises operations and mobile equipment. (b) Products and completed operations. (c) Broad form property damage (including completed operations). (d) Explosion, collapse and underground hazards. (e) Personal Injury. (0 Contractual liability. (g) $2,000,000 general aggregate limit. Automobile Liability Insurance — Primary insurance coverage shall be written on ISO Business Auto coverage form for all owned, hired and non-owned automobiles or symbol 1 (any auto). The policy shall have a combined single limit of not less than one million dollars ($1,000,000)for bodily injury and property damage, per occurrence. If the CITY is transporting one or more non-employee passengers in performance of contract services, the automobile liability policy shall have a combined single limit of two million dollars ($2,000,000) for bodily injury and property damage per occurrence. If the CITY owns no autos, a non-owned auto endorsement to the General Liability policy described above Is acceptable. Umbrella Liability Insurance —An umbrella (over primary) or excess policy may be used to comply with limits or other primary coverage requirements. When used, the umbrella policy shall apply to bodily injury/property damage, personal injury/advertising injury and shall include a "dropdown" provision providing primary coverage for any liability not covered by the primary policy. The coverage shall also apply to automobile liability. Page 6 of 9 In addition, if the Risk Manager determines that heretofore unreasonably priced or unavailable types of insurance coverage or coverage limits become reasonably priced or available, the Risk Manager is authorized, but not required, to change the above insurance requirements, to require additional types of insurance coverage or higher coverage limits, provided that any such change is reasonable in light of past claims against COUNTY, inflation, or any other item reasonably related to the County's risk. Any such reduction or waiver for the entire term of the Contract and any change requiring additional types of insurance coverage or higher coverage limits must be made by amendment to this Contract. CITY agrees to execute any such amendment within 30 days of receipt. 12. DISPOSITION OF PROGRAM INCOME Any program income (defined as net iincome directly generated from the use of HCD NSP funds) generated by the expenditure of HCD NSP funds received for eligible activities will be considered program income of the County's NSP programs even if it is generated by activities undertaken within or by CITY. COUNTY will track expenditures and program income received directly related to CITY HCD NSP funds separately from other COUNTY funds. Program income will be spent by COUNTY on NSP-eligible activities as authorized by the HCD NSP program. 13. DISPOSITION OF REAL PROPERTY COUNTY and CITY do not anticipate purchasing or owning any properties utilizing HCD NSP funds. 14. CITY SUBJECT TO SUBRECIPIENT REQUIREMENTS Pursuant to 24 CFR 570.501(b), CITY is subject to the same requirements applicable to subrecipients for other HUD programs, including the requirements of 24 CFR 570.503 for a written agreement, containing at a minimum, certain provisions. The provisions contained in Sections 16 through 18 address these minimum requirements, unless addressed in other provisions of this Agreement. 15. RECORDS AND REPORTS CITY agrees to prepare and submit program progress reports and other reports as required by HCD or COUNTY pursuant to NSP requirements and guidelines. CITY shall retain such records and supporting documentation as are required by HCD or COUNTY for a period of five (5)years after the termination of this Agreement. 16. UNIFORM ADMINISTRATIVE REQUIREMENTS CITY and COUNTY each agree to adhere to the Uniform Administrative Requirements identified in 24 CFR 570.602, including, but not limited to, the requirements and standards of OMB Circular No. A-87 and OMB Circular A-128. Page 7 of 9 17. OTHER PROGRAM REQUIREMENTS CITY and COUNTY each agree to carry out all activities pursuant to this Agreement in compliance with all Federal laws and regulations described in 24 CFR 570,600 though 570.614 (excluding 570-604 and 24 CFR, part 52). 18 AMENDMENTS This writing with any attachments embodies the whole of this Agreement. There are no oral agreements. Except as herein provided, any amendments or modifications to this Agreement shall not be valid unless in writing. 19. NOTICES All notices shall be served in writing and shall be deemed to have served five (5) days after deposit in the United States mail, first class, postage prepaid to the following: COUNTY: County of San Bernardino Department of Community Development and Housing 290 North D Street, Sixth Floor San Bernardino, CA 92415-0040 Attn: Mitch Slagerman, Director With a copy to: County Counsel County of San Bernardino 385 North Arrowhead Avenue, Fourth Floor San Bernardino, CA 92415-0140 Attn: Ruth E. Stringer, County Counsel CITY: City of Redlands P.O. Box 37 3005 Cajon Street Redlands, CA 92373-1505 Attn: N. Enrique Martinez Each party may change contact information so long as notice is provided In writing to the other party. The parties may also agree on other or additional forms of communication of notices so long as any changes are reduced to writing and executed by the authorized individuals. 20. AUTHORIZED OFFICERS Except as stated in Section 5 with respect to budget/program changes, any nonmaterial changes in the form of amendments may be made by the chief executive officers (defined as the individuals holding the positions at the time of the need for an amendment)so long as such changes are reduced to writing. Page 8 of 9 21. COUNTERPART EXECUTION This Agreement may be executed in counterparts. When executed, each counterpart shall be deemed an original irrespective of the date of execution. Said counterparts shall together constitute one and the same Agreement. 22. EFFECTIVE-DATES This Agreement shall be effective for all purposes when this Agreement and like Agreements have been executed by COUNTY and CITY, properly submitted to HCD, the grantor, by the designated deadline, and approved by HCD. IN WITNESS WHEREOF, the parties have caused this Agreement to be executed as of the day and year written above. COUNTY OF SAN BERNARDINO CITY OF REJ)LANDS By: By: GARY C. OVITT, Chairman JON HARRISON, MAYOR Board of Supervisors DATED: DATED: may 27, 2oog By: ATTEST MARK H. UFFER, County Administrative Officer By: DATED: LO IE PO City YZER`� Clerk APPROVED AS TO LEGAL FORM RUTH E. STRINGER COUNTY COUNSEL By: Dated: MICHELLE D. BLAKEMORE Principal Assistant County Counsel for CDH SIGNED AND CERTIFIED THAT A COPY OF By: THIS DOCUMENT HAS BEEN DELIVERED TO THE CHAIRMAN OF THE BOARD Dated: DENA M. SMITH Clerk of the Board of Supervisors of the County of San Bernardino By: Page 9 of 9 EXHIBIT 1 of 2 COUNTY OF SAN BERNARDINO-CITY OF REDLANDS JOINT AGREEMENT FOR STATE OF CALIFORNIA NEIGHBORHOOD STABILIZATION PROGRAM FUNDS INSURANCE INVENTORY WORKERS' COMPENSATION/EMPLOYERS' LIABILITY INSURANCE Name of Insurance Company: Effective Dates: Employer's Liability Limit$ Certificate of insurance Attached Yes No: On File wl CDH COMPREHENSIVE GENERAL AND AUTOMOBILE LIABILITY INSURANCE Name of Contractor's General Insurance Company: Limits of Liability Effective Dates: Per Occurrence$ Additional Insured Endorsement Attached—Yes— No: On File w/CDH Annual Aggregate $ Certificate of Insurance Attached—Yes—No: On File w/CDH Name of Contractor's Automobile Liability Insurance Company: Limits of Liability Effective Dates: Per Person $ Per Accident$ Damage Liability Combined Single Limit$ ERRORS AND OMISSIONS LIABILITY INSURANCE Name of Contractor's Insurance Company: Limits of Liability Effective Dates: Per Occurrence$ Additional Insured Endorsement Attached Yes—No: On File w/CDH Annual Aggregate$ Certificate of Insurance Attached Yes— No: On File w/CDH PROFESSIONAL LIABILITY INSURANCE Name of Contractor's Insurance Company: Limits of Liability Effective Dates: Per Occurrence$ Additional Insured Endorsement Attached Yes—No: On File w/CDH Annual Aggregate$ Certificate of Insurance Attached Yes—No: On File w/CDH Page 1 of 1 EXHIBIT 2 OF 2 COUNTY OF SAN BENARDINO-CITY OF REDLANDS JOINT AGREEMENT FOR STATE OF CALIFORNIA NEIGHBORHOOD STABILIZATION PROGRAM FUNDS BUDGET/PROGRAM SUMMARY The CITY has been awarded $672,313 in HCD NSP funds. Of this amount, COUNTY will utilize the maximum amount available for administration of the HCD NSP, which is five percent (5%) or $33,615. The remaining grant amount of $638,698 will be allocated for eligible programs. As programs and projects are implemented, COUNTY will receive up to eight percent (8%) of the amount allocated to programs as an activity deliver fee to help offset the expenses directly associated with implementation of NSP activities. Modifications, changes and additions of eligible NSP activities may be made with the.written approval of both CITY and COUNTY. CITY has requested COUNTY budget the following amounts to HCD NSP eligible activities: Total Activity Activity Activity Activity NSP Activity Description Budget Delivery% Dollars Delivery Dollars Affordability Gap which is a soft second mortgage to purchaser-occupants of foreclosed properties. $613,698 8% $568,239 $45,459 Acquisition, Rehabilitation and Resale which — is the acquisition, rehabilitation and resale of significantly damaged homes in heavily $ 25,000 8% $ 23,149 $ 1,851 impacted neighborhoods Page 1 of 1 k. FOR COUNTY USE ONLY New Vendor Code Dept. Contract Number Chance SC ECDA Cancel County Department Dept. Orgn. Contractor's License No. Community Development and Housing ECD ECD County Department Contract Representative Telephone Total Contract Amount County of San Bernardino I Mitch Slagerman, Director (909)388-0808 N/A FAS Contract Type Revenue El Encumbered El Unencumbered Y Other: Cooperation Aareement CONTRACT TRANSMITTAL if not encumbered or revenue contract type,provide reason: Zero dollar contract Commodity Code Contract Start Date Contract End Date Original Amount Amendment Amount June 9, 2009 April 30, 2012 N/A N/A Fund Dept. Organization Appr. Obj/Rev Source GRC/PROJ/JOB No. Amount I I N/A Project Name Estimated Payment Total by Fiscal Year HCD(NSP) FY Amount I/D FY Amount I/D City-County Cooperation oreement CONTRACTOR City of Redlands Federal ID No. or Social Security No. N/A Contractor's Representative N. Enrique Martinez , City Manager Address P. O. Box 3005, 35 Cajon St., Redlands, CA 92373-1505 Phone (909)798-7500 Nature of Contract: (Briefly describe the general terms of the contract) The State of California received an allocation of approximately $145,000,000 of Neighborhood Stabilization Program (NSP) funds from the U.S. Department of Housing and Urban Development and then subsequently allocated these funds to various cities throughout the State. The City of Redlands received an allocation of $672,313 and has requested the County to apply for, implement and administer these funds on its behalf. The attached Joint Agreement is required by the State of California Department of Housing and Community Development (HCD) in order for the County to apply for and administer HCD NSP funds on behalf of the City of Redlands. The Joint Agreement utilizes language which has been prescribed by HCD. Once entered, the Joint Agreement will remain in effect until the later of: (1) the expenditure of HCD NSP funds provided in this agreement along with program income and the completion of the activities funded with HCD NSP funds; or (2) three (3) years, The attached Agreement consists of 9 pages and 2 exhibits. (Attach this transmittal to afl contracts not prepared on the "Standard Contract"form.) Akproved as V Legal Form(sign in blue ink) Reviewed as to Contract Compliance Pres/en B99 for Signa re Ilk- 4 County Counsel Date Date 05- --2q - 2 C,�V� Date AuditorlController-Recorder Use0 0 Contract Database FAfn-�, Input Date Keyed By Revised 1/13/2009 Attachment B-4 Cooperation Agreement with City of Redlands JOINT AGREEMENT FOR STATE OF CALIFORNIA NEIGHBORHOOD STABILIZATION PROGRAM FUNDS This Agreement is made and entered into this gth day of June, 2009, by and between the County of San Bernardino, of the State of California, hereinafter referred to as "COUNTY," and the City of Redlands, a city within the COUNTY, hereinafter referred to as "CITY." WHEREAS, the State of California Department of Housing and Community Development (HCD) received an allocation of Neighborhood Stabilization Program (NSP) funds as part of H.R. 3221, known as the Housing and Economic Recovery Act (HERA), herein referred to as "ACT" for the purposes of addressing the issues with vacant foreclosed homes and providing affordable housing opportunities for low- to moderate-income families (LMMI); and, WHEREAS, HCD subsequently allocated NSP funds to "CITY"; and, WHEREAS, CITY has requested COUNTY to apply for and administer HCD NSP funds on its behalf and COUNTY agrees to apply for, administer and be responsible for HCD NSP funds on CITY'S behalf; and, WHEREAS, the execution of this Agreement is necessary to implement the administration and expenditure of the HCD NSP funds in accordance with the HCD NSP requirements. NOW THEREFORE, in consideration of the mutual covenants herein set forth and the mutual benefits to be derived therefrom, the parties agree as follows: 1. GENERAL This Joint Agreement is required by HCD and gives COUNTY authority to apply for, receive, implement, and administer HCD NSP funds for eligible activities in the eligible targeted areas of CITY, and any program income generated from the expenditure of such funds. COUNTY is responsible for ensuring funds are spent on eligible activities in eligible areas. 2. TERM The term of this Agreement shall be the later of: (1) expenditure of State NSP funds provided under this agreement along with program income and the completion of the activities funded with NSP funds; or (2) April 30, 2012, unless an earlier date of termination is fixed by HCD or the U.S. Department of Housing and Urban Development, ("HUD"). The intent is for this Agreement to remain in effect until all HCD NSP funds covered under the terms of this Agreement, and any income generated from the expenditure of such funds, are expended, and the funded activities are completed. This Agreement may not be terminated and neither party may withdraw from this Agreement while it remains in effect. Page 1 of 9 3. PREPARATION OF APPLICATION COUNTY, by and through Its Department of Community Development and Housing (CDH), subject to approval of COUNTY Board of Supervisors, and In accordance with HCD's agreement requirements, will be responsible for preparing and submitting to HCD all necessary applications for HCD NSP funds. Application to HCD Includes the preparation and processing of the application, compliance with Citizen Participation requirements as well as any other items HCD requests related to HCD NSP regulations. 4. ELIGIBLE PROGRAMS CITY has requested COUNTY to implement the following NSP-eligible activities: 1. Down Payment Assistance (NSP-1) which provides down payment assistance to purchaser-occupants of foreclosed properties. 2. Affordability Gap (NSP-3) which is a soft second mortgage to purchaser-occupants of foreclosed properties. 3. Acquisition, Rehabilitation and Resale (NSP-4)which is the acquisition, rehabilitation and resale of significantly damaged homes In heavily Impacted neighborhoods. 5. BUDGET/PROGRAM SUMY The Budget/Program Summary, attached hereto as Exhibit 2 of 2 is the Initial allocation of HCD NSP funds as requested by CITY for eligible programs and activities. CITY and COUNTY anticipate changes, modifications and/or additions may need to be made to the budget in order to avoid having one program activity under funded while another activity is not being utilized. The CITY Manager or his or her designee shall be authorized to act on behalf of the CITY and the Director of CDH, or his or her designee, shall be authorized to act on behalf of the COUNTY in order to make any changes necessary to meet NSP program needs. Written authorization by both CITY (through the CITY Manager) and COUNTY (through the Director of CDH) is required in order for there to be any changes, modifications and/or additions to the Budget/Program Summary. In order to implement and carry out its duties pursuant to this Agreement, COUNTY will utilize the maximum amount available for administration of the HCD NSP funding, which is five per cent (5%) or $33,615. The remaining grant amount of $638,698 will be allocated on the CITY's behalf for eligible programs. As programs and projects are. implemented, COUNTY will receive up to eight per cent (8%)of the amount allocated to programs as an activity deliver fee to help offset the expenses directly associated with Implementation of NSP activities. HCD NSP grant amount: $672,313 Loan Administration Fee (5%): S 33.x.,,5 Funds allocated to program activities: $638,698 Page 2 of 9 6. COMPLIANCElit ITH FINAL,PROGRAMS AND PLANS COUNTY and CITY shall comply In all respects with final HCD NSP application and plan, as well as any Implementing regulations and guidelines. 7. COMPLIANCE WITH ACT AND REGULATIONS COUNTY and CITY shall comply with all applicable requirements of ACT and Its regulations, In utilizing basic grant funds under ACT, and shall take all actions necessary to assure compliance with COUNTY certifications required by Section 104(b) of Title 1 of the Housing and Community Development Act of 1974, as amended. COUNTY and CITY will comply with the provisions of the National Environmental Policy Act of 1959 (NEPA), the California Environmental Quality Act (CEQA), Title VI of the Civil Rights Act of 1964, Title Vill of the Civil Rights Act of 1958, Executive Order 11988, Section f 00'of Titie11 of ACT, the'Pali Housing Act, and other applicable federal laws and regulations. CITY agrees that HCD NSP funding for activities In or in support of CITY are prohibited if CITY does not affirmatively further fair housing within its own jurisdiction or impedes COUNTY actions to comply with its fair housing certification. (CITY certifies that It has fair housing programs In place.) 8. CONFLICT OF INTEREST CITY and COUNTY shall comply with all applicable federal and state laws, regulations and policies governing conflict of Interest, including state conflict of interest regulations found in California Government Code Sections 1090, 1126, 87100 at seq., federal conflict of interest regulations found In 24 CFR 570.611, 85.38, and 84.42, and any other applicable policies, rules and regulations related to conflict of interest. Any person who is an employee, agent, consultant, officer, elected or appointed official of the CITY, who exercises any functions or responsibilities with respect to HCD NSP funded activities identified in this Agreement and who is In a position to participate In a decision making process or gain inside information with regard to activities identified in this Agreement, may not obtain a financial interest or benefit from the HCD NSP assisted activities Identified In this Agreement or any related contract, subcontract, or agreement, either for themselves, an Immediate family member or business partner, during his/her tenure. CITY shall maintain written standards of conduct governing the performance of its employees engaged in the award and administration of contracts. 9. POLICIES CITY and COUNTY each have and are enforcing the following policies: (1) policies prohibiting the use of excessive ford by law enforcement agencies within its jurisdiction against any individuals engaged in non-violent aril rights demonstrations; and (2) a policy of enforcing applicable state and local laws against physically barring entrance to, or exit from, a facility or location which Is the subject of such non-violent civil rights demonstrations. Page 3 of 9 10. INDEMNIFICATION CITY agrees to indemnify, defend and hold harmless COUNTY and its respective authorized officers, employees, agents and volunteers from any and all claims, actions, losses, damages, and/or liability arising out of this Agreement from any cause whatsoever, Including the ads, errors or omissions and for any costs or expenses Incurred by COUNTY on account of any claim therefore, except where such Indemnification Is prohibited by law. Without limiting the foregoing Indemnification, CITY shag indemnify and hold harmless COUNTY and Its respective authorized officers, employees, agents and volunteers from any Ilabli ty, claims, bases, demands, and actions incurred by COUNTY as a result of the determination by HUD or HCD or their successors that activities undertaken by CITY under the program(s) fail to cornp ly.with MY._laws, regulations or policies applicable thereto. COUNTY shall, indemnify, defend, and hold CITY, Its officers, agents, volunteers, and employees, harmless from and against any loss, liability, claim, or damage that may arise from any negligent act or omission by COUNTY, its officers, agents, and employees. 11. INSURANCE REQUIREMENTS Without in any way affecting the indemnity herein provided and in addition thereto, CITY shall either provide evidence of a self insurance program satisfactory to County or secure and maintain throughout the Agreement the following types of insurance with limits as shown: Additional Insured — All policies, except for the Workers' Compensation, Errors and Omissions and Professional Liability Aides, shall contain endorsements naming the County and its officers, employees, agents and volunteers as additional insureds with respect to liabilities arising out of the performance of services hereunder. The additional Insured endorsements shall not limit the scope of coverage for the County to vk,arlous liability but shall allow coverage for the County io the full extent provided by the policy. Such additional Insured coverage shall be at least as broad as Additional Insured (Form B)endorsement form ISO, CG 2010.1185. Waiver of Subrogation Rights — The CITY shall require the carriers of required coverages to waive all rights of subrogation against the County, its officers, employees, agents,volunteers, contractors and subcontractors. AN general or auto IWAIty insurance coverage provided shall not prohibit the CITY and CITY's employees or agents from waiving the right of subrogation prior to a loss or claim. The CITY hereby waives all rights of subrogation against the County. Polices Primary and Non-Ccmtributory — AN policies required herein are to be primary and non-contributory with any insurance or self-insurance programs carried or administered by the County. Severability of Interests — The CITY agrees to ensure that coverage provided to meet these requirements is applicable separately to each insured and there will be no moss Page 4 of 9 liability exclusions that preclude coverage for suits between the CITY and the County or between the County and any other Insured or additional Insured under the policy. Proof of Coverage — The CITY shall furnish Certificates of Insurance to the County Department administering the contract evidencing the Insurance coverage, Including endorsements, as required, prior to the commencement of performance of services hereunder,which certificates shall provide that such Insurance shall not be terminated or expire without thirty (30) days written notice to the Department, and CITY shall maintain such Insurance from the time CITY commences performance of services hereunder until the completion of such services. Within fifteen (15) days of the commencement of this contract, the CITY shall furnish a copy of the Declaration page for all applicable policies and will provide complete certified copies of the policies and endorsementi immediately upon request Acceptability of Insurance Carrier — Unless otherwise approved by Risk Management, Insurance shall be written by Insurers authorized to do business In the State of California and with a minimum"Best" Insurance Guide rating of*A-VII". Deductibles and Self-Insured Retention — Any and all deductibles or self-insured retentions in excess of$10,000 shall be declared to and approved by Risk Management. Failure to Procure Coverage — In the event that any policy of Insurance required under this contract does not comply with the requirements, Is not procured, or Is canceled and not replaced, the County has the right but not the obligation or duty to cancel the contract or obtain Insurance if it deems necessary and any premiums paid by the County will be promptly reimbursed by the CITY or County payments to the CITY will be reduced to pay for County purchased insurance. Insurance Review — Insurance requirements are subject to periodic review by the County. The Director of Risk Management or designee Is authorized, but not required, to reduce, waive or suspend any insurance requirements whenever Risk Management determines that any of the required Insurance Is not available, Is unreasonably priced, or is not needed to protect the Interests of the County. In addition, if the Department of Risk Management determines that heretofore unreasonably priced or unavailable types of Insurance coverage or coverage limits become reasonably priced or available, the Director of PJsk Management or designee is authorized, but not required, to change the above insurance requirements to require additional types of insurance coverage or higher coverage limits, provided that any such change is reasonable In light of past claims against the County, inflation, or any other Item reasonably related to the County's risk. Any change requiring additional types of Insurance coverage or higher coverage limb must be made by amendment to this contract. CITY agrees to execute any such amendment within thirty (30)days of receipt. Any failure, actual or alleged, on the part of the County to monitor or enforce compliance with any of the insurance and Indemnification requirements will not be deemed as a waiver of any rights on the part of the County. Page 5 of 9 The CITY agrees to provide Insurance set forth in accordance with the requirements herein. If the CITY uses existing overage to comply with these requirements and that coverage does not meet the specified requirements, the CITY agrees to amend, supplement or endorse the existing coverage to do so. The type(s)of insurance required Is determined by the scope of the contract services. Without In anyway affecting the indemnity herein provided and In addition thereto, the CITY shall secure and maintain throughout the contract term the following types of Insurance with limits as shown: ::porkers' Comoensation/Emolovers Labiilty — A program of Workers' Compensation insurance or a state-approved, self-insurance program in an amount and form to meet all applicable requirements of the Labor Code of the State of Callfomia, Including Ewer's Liability with $250,000 limits ,covering all persons Including volunteers providing services on behalf of the CITY and all risks to such persons under this contract. If CITY has no employees, it may certify or warrant to the County that is does not currently have any employees or Individuals who are defined as "employees" under the Labor Code and the requirement for Workers'Compensation coverage will be waived by the County's Director of Disk Management Corn erclal/Generai Lability insurance — The CITY shall cavy General Liability Insurance covering all operations performed by or on behalf of the CITY providing coverage for bodily Injury and property damage with a combined single limit of not less than one million dollars ($1,000,000), per occurrence. The policy coverage shall Include: (a) Premises operations and mobile equipment (b) Products and completed operations. (c) Broad form property damage(including completed operations). (d) Explosion, collapse and underground hazards. (e) Personal Injury. (f) Contractual liability. (g) $2,000,000 general aggregate limit. Automobile Liability Insurance — Primary insurance coverage shall be written on ISO Business Auto overage form for all owned, hired and non-owned automobiles or symbol 1 (any auto). The-policy shall have a combined single limit of not less than one million dollars ($1,000,000)for bodily injury and property damage, per occurrence. If the CITY Is transporting one or more non-employee passengers In performance of contract services, the automobile liability policy shall have a combined single limit of two million dollars ($2,000,000) for bodily injury and property damage per occurrence. if the CITY owns no autos, a non-owned auto endorsement to the General Liability policy described above is acceptable. Umbrella Liability Insurance—An umbrella (over primwy) or excess policy may be used to comply with limits or otter primary coverage requirements. When used, the umbrella policy shall apply to bodily Injury/property damage, personal Injury/advertlsdng Injury and shall include a "dropdown' provision providing primary coverage for any liability not covered by the primary policy.The coverage shall also apply to automobile liability. Page 6 of g In addition, If the Risk Manager determines that heretofore unreasonably priced or unavailable types of insurance coverage or coverage limits become reasonably priced or available, the Risk Manager is authorized, but not required, to change the above Insurance requirements, to require additional types of Insurance coverage or higher coverage limits, provided that any such change Is reasonable In light of past claims against COUNTY, Inflation,or any other Item reasonably related to the County's risk. Any such reduction or waiver for the entire term of the Contract and any change requiring additional types of Insurance coverage or higher coverage limits must be made by amendment to this Contract. CITY agrees to execute any such amendment within 30 days of receipt 12. DISPOSITION PROGRAM INCOME Any program income (defined as not.income.,directly generated from the.use of HCD NSP funds) generated by the expenditure of HCD NSP funds received for eligible activities will be considered program income of the County's NSP programs even if It Is generated by activities undertaken within or by CITY. COUNTY will track expenditures and program income received directly related to CITY HCD NSP funds separately from other COUNTY funds. Program income will be spent by COUNTY on NSP-eligible activities as authorized by the HCD NSP program. 13. DISPOSITION OF REAL PROPERTY COUNTY and CITY do not anticipate purchasing or owning any properties utilizing HCD NSP funds. 14. CITY SUBJECT TO SUBRECIPIENT REQUIREMENTS Pursuant to 24 CFR 570.501(b), CITY is subject to the same requirements applicable to subreciplents for other HUD programs, including the requirements of 24 CFR 570.503 for a written agreement, containing at a minimum, certain provisions. The provisions contained In Sections 16 through 18 address these minimum requirements, unless addressed In other provisions of this Agreement. 15. RECORDS AND REPORTS CITY agrees to prepare and submit program progress reports and other reports as required by HCD or COUNTY pursuant to NSP requirements and guidelines. CITY shall retain such records and supporting documentation as are required by HCD or COUNTY for a period of five (5)years after the termination of this Agreement 16. UNIFORM ADMINISTRATIVE REQUIREMENTS CITY and COUNTY each agree to adhere to the Uniform Administrative Requirements Identified In 24 CFR 570.502, Including, but not limited to, the requirements and standards of OMS Circular No. A-87 and OMB Circular A-1 28. Page 7 of 9 17. OTHER PROGRAM REQUIREMENTS CITY and COUNTY each agree to carry out all activities pursuant to this Agreement In compliance with all Federal laws and regulations described In 24 CFR 570.600 though 570.614 (excluding 570-604 and 24 CFR, part 52). 18 AMENDMENTS This writing with any attachments embodies the whole of this Agreement. There are no oral agreements. Except as herein provided, any amendments or modifications to this Agreement shall not be valid unless In writing. 19. NOTICES AN notices shall be served in writing and shall be deemed to have served five (5) days after deposit in the United States mail,first class, postage prepaid to the following: COUNTY: County of San Bernardino Department of Community Development and Housing 290 North D Street, Sixth Floor San Bernardino, CA 92415-0040 Attn: Mitch Slagerman, Director With a copy to: County Counsel County of San Bernardino 385 North Arrowhead Avenue, Fourth Floor San Bernardino, CA 92415-0140 Attn: Ruth E. Stringer, County Counsel CITY: City of Redlands P.O. Box 37 3005 Cajon Street Redlands, CA 92373-1505 Attn: N. Enrique Martinez Each party may change contact information so long as notice Is provided In writing to the other party. The parties may also agree on other or additional forms of communication of notices so long as any changes are reduced to writing and executed by the authorized Individuals. 2o. AUTHORIZED OFFICERS Except as stated In Section 5 with respect to budget/program changes, any nonmaterial changes in the form of amendments may be made by the chief executive officers (defined as the Individuals holding the positions at the time of the need for an amendment)so long as such changes are reduced to writing. Page 8 of 9 21. COUNTERPART EXECUTION This Agreement may be executed In counterparts. When executed, each counterpart shall be deemed an original irrespective of the date of execution. Said counterparts shall together constitute one and the same Agreement 22. EFFECTIVE DATES This Agreement shall be effective for all purposes when this Agreement and like Agreements have been executed by COUNTY and CITY, properly submitted to HCD, the grantor, by the designated deadline, and approved by HCD. IN WITNESS WHEREOF, the parties have caused this Agreement to be executed as of the day and year written above. COU F SAN BE I O CITY OF REDLANDS f By. By.G Y C. ITT, ON HARRISON, MAYOR Board of pervisors DATE D: I ` DATED: May 27, 2009 By; ATTEST MARK H. OFFER, CounVMmInIstratIve Officer DATED:_�/ �' LO E PO , ity Clerk APPROVED AS TO LEGAL FORM RUTH E. STRINGER OUNTY COUNSEL . Dated: � ��MICHELE D. MORE Prindpal Ass t my Counsel for CDH SIGNED AND CERTIFIED THAT A COPY OF By. THIS DOCUME ELIVERED TO Op TA THE CHAIR Dated: DENA g Clerk of the tyd o � N i Page 9 of 9 I EXHIBIT 1 of 2 COUNTY OF SAN BERNARDINO -CITY OF REDLANDS JOINT AGREEMENT FOR STATE OF CALIFORNIA NEIGHBORHOOD STABILIZATION PROGRAM FUNDS INSURANCE INVENTORY WORKERS' COMPENSATION/EMPLOYERS' LIABILITY INSURANCE Name of Insurance Company: Effective Dates: Employer's Liability Limit$ Certificate of Insurance Attached Yes No: On File w/CDH COMPREHENSIVE GENERAL AND AUTOMOBILE LIABILITY INSURANCE Name of Contractor's General Insurance Company: Limits of Liability Effective Dates: Per Occurrence$ Additional Insured Endorsement Attached Yes No: On File w/CDH Annual Aggregate $ Certificate of Insurance Attached Yes No: On File w/CDH Name of Contractor's Automobile Liability Insurance Company: Limits of Liability Effective Dates: Per Person $ Per Accident$ Damage Liability$ Combined Single Limit$ ERRORS AND OMISSIONS LIABILITY INSURANCE Name of Contractor's Insurance Company: Limits of Liability Effective Dates: Per Occurrence$ Additional Insured Endorsement Attached Yes No: On File wl CDH Annual Aggregate$ Certificate of Insurance Attached Yes No: On File w/CDH PROFESSIONAL LIABILITY INSURANCE Name of Contractor's Insurance Company. Limits of Llabil Effective Dates: Per Occurrence S Additional Insured Endorsement Attached Yes r No., On File w/CDH Annual Aggregate$ Certificate of Insurance Attached Yes No: On File w/CDH Page 1 of 1 EXHIBIT 2 OF 2 COUNTY OF SAN BENARDINO -CITY OF REDLANDS JOINT AGREEMENT FOR STATE OF CALIFORNIA NEIGHBORHOOD STABILIZATION PROGRAM FUNDS BUDGET/PROGRAM SUMMARY The CITY has been awarded $672,313 In HCD NSP funds. Of this amount, COUNTY will utilize the maximum amount available for administration of the HCD NSP, which Is five percent (5%) or $33,615. The remaining grant amount of $638,698 will be allocated for eligible programs. As programs and projects are Implemented, COUNTY will receive up to eight percent (8%) of the amount allocated to programs as an activity deliver fee to help offset the expenses directly associated with Implementation of NSP activities. Modifications, changes and additions of eligible NSP activities may be, made with the,wriften approval of both CITY and COUNTY. CITY has requested COUNTY budget the following amounts to HCD NSP eligible activities: Activity NSP Activity Description Total Activity Act" Activity Delivery Budget Delivery% Dollars Dollars Affordability Gap which is a soft second mortgage to purchaser-occupants of foreclosed properties. $613,698 8% $568,239 $45,459 Acquisition, Rehabilitation and Resale which Is the acquisition, rehabilitation and resale of significantly damaged homes In heavily $ 25,000 8% $ 23,149 $ 1,851 Impacted neighborhoods Page 1 of 1