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HomeMy WebLinkAboutResolution - 2009-R0456 - Agreement - TX DHCA - Texas NSP, HERA-2008 - 11/05/2009Resolution No. 2009-x0456 November 5, 2009 item No. 5.1.1 RESOLUTION BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK: THAT the Mayor of the City of Lubbock BE and is hereby authorized and directed to execute for and on behalf of the City of Lubbock an Agreement, by and between the City of Lubbock and the Texas Department of Housing and Community Affairs (TDHCA), from the Texas -Neighborhood Stabilization Program (Texas -NSP) and the Housing and Economic Recovery Act of 2008 (HERA-2008), and related documents. Said Agreement is attached hereto and incorporated in this Resolution as if fully set forth herein and shall be included in the minutes of the Council. Passed by the City Council this 5th day of November , 2009. TOM MARTIN, MAYOR ATTEST: Rebec Garza, City Secretary IAPPROVED AS TO CONTENT: Bill How&i8n, Jr. Community Development Di APPROVED AS TO FORM: A ims, sis ity orney gs/ccdocs/res-Texas-Neighborhood Stabilization Prog &f-lousing&Economic Act 2008-I'DHCA 10.21.04 Resolution No. 2010-RO456 TEXAS DEPARTMENT OF HOUSING AND COMMUNITY AFFAIRS CONTRACT NO. 77090000160 TEXAS NEIGHBORHOOD STABILIZATION PROGRAM STATE OF TEXAS } COUNTY OF TRAVIS j SECTION 1 PARTIES TO CONTRACT This contract and agreement ("Contract") is made and entered into by and between the Texas Department of Housing and Community Affairs, an agency of the State of Texas, referred to as the ("Department"), and the City of Lubbock, referred to as the ("Contractor".) The parties have severally and collectively agreed and by the execution are bound to the mutual obligations and to the performance and accomplishment of the described tasks. SECTION 2. CONTRACT PERIOD This Contract shall commence on September 1", 2009 (Start Date), and shall terminate on November 30, 2010 (End Date), unless otherwise specifically provided by the terms of this Contract. SECTION 3. CONTRACTOR PERFORMANCE The Contractor shall conduct, in a satisfactory manner as determined by the Department, one or more activities under the Neighborhood Stabilization Program ("NSP"), under the Housing and Economic Recovery Act of 2008 ("HERA"). The Contractor shall perform all activities in accordance with the terms of the Performance Statement, referred to as Exhibit A; the Budget, referred to as Exhibit B; the Project Implementation Schedule, referred to as Exhibit C; the Applicable Laws and Regulations, referred to as Exhibit D; the Certifications, referred to as Exhibit E; the assurances, certifications, and all other statements made by the Contractor in its application for the project funded under this Contract; and with all other terms, provisions, and requirements set forth in this Contract. The Contractor shall ensure that the persons to benefit from the activities described in Exhibit A, Performance Statement, of this Contract are receiving the services or benefits promised herein before submitting the Project Completion Report to the Department. If the persons to benefit from the activities described in Exhibit A are not receiving the services or benefits, the Contractor is liable to repay to the Department any associated disallowed costs. The Contractor shall ensure that the persons or households receiving services or benefits are eligible to participate in the activities described in Exhibit A. The Contractor shall adhere to the Project Implementation Schedule timelines for key project activities as shown in Exhibit C, The Department may require the Contractor to submit written justification for any Contract activity that is not completed by the end of the month specified on the schedule in Exhibit C. SECTION 4. DEPARTMENT OBLIGATIONS A. Measure of Liability In consideration of full and satisfactory performance of the activities referred to in Section 3 of this Contract, the Department shall be liable for actual and reasonable costs incurred by the Contractor Page 1 of 15 during the Contract period for performances rendered under this Contract by the Contractor, subject to the limitations set forth in this Section 4. 1. The Department's obligations under this Section 4 are contingent upon the actual receipt of adequate state or federal funds to meet Department's liabilities under this Contract. If adequate funds are not available to make payments under this Contract, Department shall notify the Contractor in writing within a reasonable time after such fact is determined. Department shall terminate this Contract and will not be liable for failure to make payments to the Contractor under this Contract. 2. The Department shall not be liable to the Contractor for any costs incurred by the Contractor, or any portion thereof, which has been paid to the Contractor or is subject to payment to the Contractor, or has been reimbursed to the Contractor or is subject to reimbursement to the Contractor by any source other than the Department or the Contractor. 3. The Department shall not be liable to the Contractor for any costs incurred by the Contractor which are not allowable costs, as set forth in Section 6 (A) and (B) of this Contract. 4. The Department shall not be liable to the Contractor for any costs incurred by the Contractor or for any performances rendered by the Contractor which are not strictly in accordance with the terms of this Contract, including the terms of Exhibit A, Exhibit B, Exhibit C, Exhibit D, and Exhibit E of this Contract. 5. The Department shall not be liable to the Contractor for any costs incurred by the Contractor in the performance of this Contract which have not been billed to the Department by the Contractor within sixty (60) days following termination of this Contract unless otherwise provided for in the Certificate of Expenditures referred to in Section 8 (C) of this Contract. 6. The Department shall not be liable for costs incurred or performances rendered by the Contractor before commencement of this Contract or after termination of this Contract, unless the Contractor receives written approval from the Department and they are specifically identified in Exhibit A, Performance Statement and Exhibit B, Budget, of this Contract. 7. The Department shall not be liable for costs incurred and reserved on the Certificate of Expenditures if such costs are not billed to the Department within (90) ninety days after the Contract's termination date. An exception will be made for the reserved funds for the final 5% administrative drawdown for programmatic closure. Audit funds reserved on the Certificate of Expenditures eligible for reimbursement under the provisions of Section 19 of this Contract shall be billed to the Department within twelve months after the end of the Contractor's fiscal year that follows the termination date of this Contract. The Department shall deobligate all reserved funds not requested under this subsection. The Department shall not be liable for any costs, whether or not funds were reserved, if otherwise eligible costs cannot be adequately supported and reimbursed prior to March 3, 2013. B. Excess Payments The Contractor shall refund to the Department any sum of money which has been paid to the Contractor by the Department, which the Department determines has resulted in overpayment to the Contractor, or which the Department determines has not been spent by the Contractor strictly in accordance with the terms of this Contract. Such refund shall be made by the Contractor to the Department within thirty (30) working days after such refund is requested by the Department. Page 2 of 15 C. Limit of Liability Notwithstanding any other provision of this Contract, the total of all payments and other obligations incurred by the Department under this Contract shall not exceed the sum of Two Million One Hundred Sixty -Three Thousand Ninety and no/100 Dollars ($2,163,090.00). SECTION 5. METHOD OF PAYMENT A. The Contractor shall submit to the Department in Travis County, Texas, a properly completed electronic request for funds and support documentation as required and as specified by Department as often as actually needed. The Department shall determine the reasonableness of each amount requested and shall not make disbursement of any such payment until the Department has reviewed and approved such Request. Administrator agrees to attend Implementation Training prior to the disbursement of any funds under this contract and prior to the closing of any loan. B. The Texas NSP is a reimbursement -based program; however, the Contractor may make a request, in writing, for the advancement of funds due to extenuating circumstances. Any advancement request is subject to the approval of the Department and shall be limited to the minimum amounts needed for effective operation of programs under this Contract, and shall be timed as closely as possible to be in accord with actual cash requirements. The Contractor shall establish procedures to minimize the time elapsing between the transfer of funds from the Department to the Contractor and shall ensure that such funds are disbursed as soon as administratively possible. C. Notwithstanding the provisions of Section 5 (A) of this Contract, it is expressly understood and agreed by the parties that payments under this Contract are contingent upon the Contractor's full and satisfactory performance of its obligations under this Contract. D. It is expressly understood and agreed by the parties that any right or remedy provided for in this Section 5 or in any other provision of this Contract shall not preclude the exercise of any other right or remedy under this Contract or under any provision of law, nor shall any action taken in the exercise of any right or remedy be deemed a waiver of any other rights or remedies. Failure to exercise any right or remedy shall not constitute a waiver of the right to exercise that or any other right or remedy at any time. SECTION 6. UNIFORM ADMINISTRATIVE REQUIREMENTS COST PRINCIPLES, TEXAS NSP NOFA AND PROGRAM INCOME A. If the Contractor is a governmental entity, except as specifically modified by law or the provisions of this Contract, the Contractor shall comply with the Regulations in Exhibit D and, for matters not addressed therein, with 24 C.F.R. Part 85, "Administrative Requirements for Grants and Cooperative Agreements to State, Local and Federally Recognized Indian Tribal Governments" (referred to as the "Common Rule") as modified by the rules promulgated by the Department of the Governor under the Uniform Grant and Contract Management Act (TEX. GOVT. CODE ANN. Chapter 783; referred to as "UGCMS."), in performing this Contract. The allowability of costs incurred for performances rendered shall be determined in accordance with Department of Management and Budget (OMB) Circular A-87, as supplemented by UGCMS and this Contract. B. If the Contractor is a nonprofit organization, except as specifically modified by law or the provisions of this Contract, the Contractor shall comply with the Regulations in Exhibit D and, for matters not addressed therein, with 24 G.F.R. Part 84, "Uniform Administrative Requirements for Grants and Agreements with Institutions of Higher Education, Hospitals and other Nonprofit Organizations" (referred to as the "Common Rule") in performing this Contract. The allowability of costs incurred for performances rendered shall be determined in accordance with Department of Management and Budget (OMB) Circular A-122, as supplemented by this Contract. Page 3of15 C. Contractor may not retain program income (as defined at 24 CFR 570.500) of any kind, however derived, under this contract, including the retention of program income to fund other eligible Texas NSP activities. Program income or revenue received by a private individual, developer or other entity must also be returned to the Department. Contractor shall comply with the requirements of 24 C.F.R. 570.489(e) to account for program income, repayments, and recaptured funds related to activities financed in whole or in part with funds provided under this contract. Contractor shall provide reports of program income as requested by Department. Program income derived under this contract must be submitted to Department within seven (7) business days of receipt. D. Contractor shall comply with the provisions of the Texas NSP NOFA published in the Texas Register [34 TexReg 2174] and the NSP Federal Register Notice [Docket No. FR -5255-N-01] published in the Federal Register at 73 FR 58330. SECTION 7. RETENTION AND ACCESSIBILITY OF RECORDS A. The Contractor shall maintain fiscal records and supporting documentation for all expenditures of funds made under this Contract in a manner which conforms to OMB Circular A-87 or A-122, as applicable, 24 CFR Section 570.490 of the Regulations in Exhibit D, and this Contract. Such records must include data on the racial, ethnic, and gender characteristics of persons who are applicants for, participants in, or beneficiaries of the funds provided under this Contract. The Contractor shall retain such records, and any supporting documentation, for therg eater of: (i) three years after close-out of the HUD grant to the state of Texas (not the closeout of this Contract); (ii) if notified by the Department in writing, the date that the final audit is accepted with all audit issues resolved to the Department's satisfaction, or (iii) a date consistent with the period required by other applicable laws and regulations as described in 24 CFR 570.487 and 570.488. B. The Contractor shall give the United States Department of Housing and Urban Development, the Inspector General, the General Accounting Department, the Auditor of the State of Texas, an Department or agency of the State of Texas, and the Department, or any of their duly authorized representatives, access to and the right to examine all books, accounts, records, reports, files, and other papers, things, or property belonging to or in use by the Contractor pertaining to this Contract. Such rights to access shall continue as long as the records are retained by the Contractor. The Contractor agrees to maintain such records in an accessible location and to provide citizens reasonable access to such records consistent with the Texas Public Information Act. C. The Contractor shall include the substance of this Section 7 in all subcontracts. SECTION 8. REPORTING REQUIREMENTS A. The Contractor shall submit to the Department such reports on the operation and performance of this Contract as may be required by the Department including but not limited to the reports specified in this Section 8. B. The Contractor shall submit to the Department no later than the tenth day of the month after the end of each calendar month of the Contract period specified in Section 2, a Monthly Progress Report of the progress, in a format prescribed by the Department, of all activities performed pursuant to Exhibit A, Performance Statement, and of the expenditures and obligations of funds by budget category made pursuant to Exhibit B, Budget, of this Contract. Monthly reports are due until one hundred percent (100%) of Contract funds are obligated for specific Texas NSP activities. Quarterly Progress Reports shall be due on the twentieth day of the month after the end of each calendar quarter after the one hundred percent (100%) obligation requirement has been met and Monthly Progress Reports are no longer required. The Quarterly Progress Report shall be in a format prescribed by the Department and shall include all such activities, expenditures, and obligations made or performed under this Contract during the previous calendar quarter. Page 4 of 15 C. The Contractor shall submit a Certificate of Expenditures to the Department no later than sixty (60) days after the Contract termination date or at the conclusion of all Contract activities as determined by the Department. The Certificate of Expenditures shall be in a format prescribed by the Department and shall be accompanied by a final Project Completion Report of all activities performed under this Contract. D. In addition to the limitations on liability otherwise specified in this Contract, it is expressly understood and agreed by the parties that if the Contractor fails to submit to the Department in a timely and satisfactory manner any report required by this Contract, the Department may, at its sole option and in its sole discretion, withhold any or all payments otherwise due or requested by the Contractor. If the Department withholds such payments, it shall notify the Contractor in writing of its decision and the reasons therefore. Payments withheld pursuant to this paragraph may be held by the Department until such time as the delinquent obligations for which funds are withheld are fulfilled by the Contractor. E. The Contractor is required to immediately report to the Department any incident of misapplication of NSP funds associated with this Contract. SECTION 9. MONITORING The Department reserves the right to perform periodic on-site monitoring of the Contractor's compliance with the terms and conditions of this Contract, and of the adequacy and timeliness of the Contractors performances under this Contract. After each monitoring visit, the Department shall provide the Contractor with a written report of the monitor's findings. If the monitoring reports note deficiencies in the Contractor's performances under the terms of this Contract, the monitoring report shall include requirements for the timely correction of such deficiencies by the Contractor. Failure by the Contractor to take action specified in the monitoring report may be cause for suspension or termination of this Contract, as provided in Sections 17 and 18 of this Contract. SECTION 10. INDEPENDENT CONTRACTOR It is expressly understood and agreed by the parties that the Department is contracting with the Contractor as an Independent Contractor, and that the Contractor, as such, agrees to the extent allowed by law to hold the Department harmless and to indemnify the Department from and against any and all claims, demands, and causes of action of every kind and character which may be asserted by any third party occurring or in any way incident to, arising out of, or in connection with the services to be performed by the Contractor under this Contract. SECTION 11. SUBCONTRACTS A. Except for subcontracts to which the federal labor standards requirements apply, the Contractor may subcontract for performances described in this Contract without obtaining the Department's prior written approval. The Contractor shall only subcontract for performances described in this Contract to which the federal labor standards requirements apply after the Contractor has submitted a Subcontractor Eligibility form, as specified by the Department, for each such proposed subcontract, and the Contractor has obtained the Department's prior written approval, based on the information submitted, of the Contractor's intent to enter into such proposed subcontract. The Contractor, in subcontracting for any performances described in this Contract, expressly agrees that in entering into such subcontracts, the Department is in no way liable to the Contractor's subcontractor(s). B. In no event shall any provision of this Section 11, specifically the requirement that the Contractor obtain the Department's prior written approval of a subcontractor's eligibility, be construed as relieving the Contractor of the responsibility for ensuring that the performances rendered under all subcontracts are rendered so as to comply with all of the terms of this Contract, as if such performances rendered Page 5 of 15 were rendered by the Contractor. The Department's approval under Section 11 does not constitute adoption, ratification, or acceptance of the Contractors or subcontractors performance. The Department maintains the right to insist upon the Contractor's full compliance with the terms of this Contract, and by the act of approval under Section 11, the Department does not waive any right of action which may exist or which may subsequently accrue to the Department under this Contract. C. The Contractor shall comply with 24 GFR Section 84 or 85, as applicable, this Contract and all applicable federal, state and local laws, regulations, and ordinances for making procurements under this Contract. D. The Contractor shall maintain a retainage in the amount of five percent (5%) of each construction or rehabilitation subcontract entered into by the Contractor until the Department determines that the Federal labor standards requirements applicable to each such subcontract have been satisfied. SECTION 12. CONFLICT OF INTEREST A. The Contractor shall ensure that no employee, Department, or agent of the Contractor shall participate in the selection, or in the award or administration of a subcontract supported by funds provided if a conflict of interest, real or apparent, would be involved. Such conflict of interest would arise when: 1) The employee, Department, or agent; 2) any member of his or her immediate family; 3) his or her ,partner; or, 4) any organization which employs, or is about to employ any of the above, has a financial or other interest in the firm or person selected to perform the subcontract. The Contractor shall comply with Chapter 171, Texas Local Government Code and 24 C.F.R. 570.489(h) of the federal regulations. B. In all cases not governed by Subsection (A) of this Section, no persons specified in subsection (C) of this Section who exercise or have exercised any functions or responsibilities with respect to the activities assisted under this Contract or any other NSP contract or who are in a position to participate in a decision making process or gain inside information with regard to such activities, may obtain a financial interest or benefit from the activity, or have an interest or benefit from the activity, or have any interest in any contract, subcontract or agreement with respect thereto, or the proceeds thereunder, either for themselves or those with whom they have family or business ties during their tenure or for one year thereafter. C. The conflict of interest provisions of Subsection (B) apply to any person who is an employee, agent, consultant, Department, or elected official or appointed official of the Contractor or of a subcontractor of the Contractor. D. The Contractor shall include the substance of this section in all subcontracts. SECTION 13. NONDISCRIMINATION RELIGIOUS ACTIVITY AND FAITH -BASED ORGANIZATIONS A. The Contractor shall ensure that no person shall on the ground of race, color, national origin, religion, sex, age, or handicap be excluded from participation in, be denied the benefits of, or be subjected to discrimination under or be denied access to any program or activity funded in whole or in part with funds made available under this Contract. B. Organizations that are religious or faith -based are eligible, on the same basis as any other organization, to participate in this program and activities funded under this Contract. The Contractor receiving funds under this Contract shall not discriminate against an organization on the basis of the organizations' religious character or affiliation. None of the performances rendered by the Contractor under this Contract shall involve, nor shall any portion of the funds received by the Contractor under this Contract, be used to engage in inherently religious activities. Funds made available under this Contract may not be used for the acquisition, construction, or rehabilitation of structures to the extent Page 6 of 15 that those structures are used for inherently religious activities. Funds made available under this Contract may be used for the acquisition, construction, or rehabilitation of structures only to the extent that those structures are used for conducting eligible activities. Where a structure is used for both eligible and inherently religious activities, funds made available under this Contract may not exceed the cost of those portions of the acquisition, construction, or rehabilitation that are attributable to eligible activities in accordance with the cost accounting requirements applicable to funds provided under this Contract. The Contractor shall comply with the regulations promulgated by the U.S. Department of Housing and Urban Development on faith -based activities at 24 CFR Sec. 570.2000). SECTION 14. LEGAL AUTHORITY A. The Contractor assures and guarantees that the Contractor possesses the legal authority to enter into this Contract, receive funds authorized by this Contract, and to perform the services the Contractor has obligated itself to perform. B. The person or persons signing and executing this Contract on behalf of the Contractor, or representing themselves as signing and executing this Contract on behalf of the Contractor, do hereby warrant and guarantee that he, she or they have been duly authorized by the Contractor to execute this Contract on behalf of the Contractor and to validly and legally bind the Contractor to all terms, performances, and provisions set forth. C. The Department shall have the right to suspend or terminate this Contract if there is a dispute as to the legal authority of either the Contractor or the person signing this Contract to enter into this Contract or to render performances. The Contractor is liable to the Department for any money it has received from the Department for performance of the provisions of this Contract, if the Department has suspended or terminated this Contract for reasons enumerated in this Section 14. SECTION 15. LITIGATION AND CLAIMS The Contractor shall give the Department immediate notice in writing of 1) any action, including any proceeding before an administrative agency, filed against the Contractor arising out the performance of any subcontract, and 2) any claim against the Contractor, the cost and expense of which the Contractor may be entitled to be reimbursed by the Department. Except as otherwise directed by the Department, the Contractor shall furnish immediately to the Department copies of all pertinent papers received by the Contractor with respect to such action or claim. The Contractor shall provide a notice to the Department within 30 days upon filing under any bankruptcy or financial insolvency provision of law. SECTION 16. CHANGES AND AMENDMENTS A. Except as specifically provided otherwise in this Contract, any alterations, additions, or deletions to the terms of this Contract shall be by amendment in writing and executed by both parties to this Contract. S. It is understood and agreed by the parties that performances under this Contract must be rendered in accordance with HERA, Texas statutes, the rules of the Department, assurances and certifications made to the Department by the Contractor, and the assurances and certifications made to the United States Department of Housing and Urban Development by the State of Texas with regard to the operation of the NSP Program. The Department may from time to time during the period of performance of this Contract issue guidance statements which serve to interpret or clarify the Department's position on performance requirements under this Contract. C. In the event relevant federal or state law changes during the term of this Contract, Contractor agrees to negotiate in good faith with the Department to amend the affected terms of this Contract to conform to the new law. Page 7 of 15 D. Notwithstanding Subsection A of this Section 16, the Contractor may make transfers of funds between or among budget categories of Exhibit B, Budget, without requiring an amendment to this Contract, or otherwise requiring the Department's prior written approval provided that: 1. The cumulative dollar amount of all transfers among direct budget categories is equal to or less than ten percent (10%) of the total amount of this Contract as specified in Section 4 (C); 2. The transfer will not change the scope or objective of the projects funded under this Contract; and 3. The Contractor submits a budget revision report to the Department, on a form specified by the Department, simultaneously with the submission of the Contractor's first request for payment following any such transfers made in accordance with this Subsection D. E. Any proposed amendments to the terms of the Contract shall be submitted in writing to the Department. Amendments reducing beneficiaries or activities, due to extenuating or unforeseeable circumstances, may be allowed as approved by the Executive Director. The Executive Director, at his discretion and in coordination with the Contractor, may increase a contract budget amount by no more than 25% of the current award, and/or increase the number of activities or beneficiaries based on the availability of Texas NSP funds, the performance in the implementation of a Contractor's current contract, and available time. F. The administration of the Contract is subject to the provisions of the Texas NSP NOFA as published in the Texas Register [34 TexReg 2174] which has not been modified to coincide with the NSP Bridge Notice as codified in the Federal Register [Docket No. FR -5255-N-02] and published in the Federal Register at 73 FR 58330. A proposed amendment to the Contract which exceeds the parameters of the Texas NSP NOFA but conforms to the requirements of the NSP Bridge Notice will be vetted through the amendment process and may be allowed, modified or disapproved at the discretion of the Executive Director. SECTION 17. SUSPENSION Notwithstanding the provisions of TEX. GOVT. CODE ANN. Chapter 2251, in the event the Contractor fails to comply with any term of this Contract, the Department may, upon written notification to the Contractor, suspend this Contract in whole or in part and withhold further payments to the Contractor, and prohibit the Contractor from incurring additional obligations of funds under this Contract, Contractor acknowledges that it does not have a right to suspension as a pre -requisite to the exercise of Department's rights under Section 18, below. SECTION 18. TERMINATION A. The Department shall have the right to terminate this Contract at any time before the date of completion specified in Section 2 of this Contract whenever the Department determines that the Contractor has failed to comply with any term of this Contract. The Department shall notify the Contractor in writing no later than the thirtieth (30th) day preceding the date of termination of the reasons for such termination and the effective date of such termination. B. Either of the parties to this Contract shall have the right to terminate this Contract when both parties agree that the continuation of the activities funded under this Contract would not produce beneficial results commensurate with the further expenditure of funds; provided that both parties agree, in writing, upon the termination conditions, including the effective date of such termination. C. Upon termination or receipt of notice to terminate, whichever occurs first, the Contractor shall cancel, withdraw, or otherwise terminate any outstanding orders or subcontracts related to the Page 8of15 performance of this Contract or the part of this Contract to be terminated and shall cease to incur costs thereunder. The Department shall not be liable to the Contractor for costs incurred by Contractor after termination or receipt of notice to terminate. D. Notwithstanding any exercise by the Department of its right of suspension under Section 17 of this Contract, or of early termination pursuant to this Section 18, the Contractor shall not be relieved of any liability to the Department for damages due to the Department by virtue of any breach of this Contract by the Contractor. The Department may withhold payments to the Contractor until such time as the exact amount of damages due to the Department from the Contractor is agreed upon or is otherwise determined. SECTION 19. AUDIT A. The Contractor shall arrange for the performance of an annual financial and compliance audit of funds received and performances rendered under this Contract, subject to the following conditions and limitations; 1. (a) Audit Required -Federal Awards. Contractors expending $500,000 or more in Federal financial assistance for any fiscal year, beginning with fiscal years ending January 31, 2004 and after, shall have a single audit conducted in accordance with the Single Audit Act Amendments of 1996, 31 U.S.C. 7501, and OMB Circular No. A-133 - Revised as of June 27, 2003, "Audits of States, Local Governments, and Non -Profit Organizations." Alternatively, Department may require a program specific audit for certain situations and when the Single Audit Act does not apply. For purposes of this Section 19, "Federal financial assistance" means assistance that non- Federal entities receive or administer in the form of grants, loans, loan guarantees, property (including donated surplus property), cooperative agreements, interest subsidies, insurance, food commodities, direct appropriations, and other assistance, but does not include amounts received as reimbursement for services rendered to individuals as described in OMB Circular A-133 §_.205 (h) and §_205 (i). The term includes awards of Federal financial assistance received directly from Federal agencies, or indirectly through other units of State and local government. (b) Audit Required -State Financial Assistance. Contractors that expended $500,000 or more in total State Financial Assistance for any fiscal year, beginning with fiscal years ending January 31, 2004 and after, shall have a single or program specific audit conducted for that year in accordance with provisions of the State of Texas Single Audit Circular and the Uniform Grant Management Standards (UGMS) as adopted June 2004. For purposes of this Section 19, "State Financial Assistance" (or cost reimbursement Contract) means assistance that non -state entities receive or administer in the form of grants, loans, loan guarantees, property (including donated surplus property), cooperative agreements, interest subsidies, insurance, food commodities, and other assistance, but does not include amounts received as an reimbursement for services rendered to individuals as described in sec. _.205 (f). "State Financial Assistance" (or cost reimbursement Contract) is received directly from state awarding agencies or indirectly from pass- through entities under a federal block grant. State financial assistance also does not include federal awards as defined by OMB Circular A-133. 2. Audit Expenses. Notwithstanding Section 4, the Contractor shall utilize funds budgeted under this Contract to pay for that portion of the cost of such audit services properly allocable to the activities funded by the Department under this Contract, provided however that the Department shall not make payment for the cost of such audit services until the Department has received a satisfactory audit report and invoice, as determined by the Department, from the Contractor; the invoice submitted for reimbursement should clearly show the percentage of cost relative to the total single audit cost of the audit services. Therefore, when submitting a request for audit fees reimbursement, the Contractor shall submit an invoice that clearly shows the total cost of the audit and the corresponding prorated charge per funding source. In addition, when applicable, an explanation shall be submitted with the reimbursement request supporting why the percentage of Page 9 of 15 audit fee charges exceeds the percentage amount of NSP funds expended of the total funds expended by the Contractor. 3, The Contractor shall submit one (1) copy of the report of such audit to the Department within thirty (30) days after the completion of the audit, but no later than nine (9) months after the end of the Contractor's audit period (i.e., after the Contractor's fiscal year end). The Contractor shall ensure that the audit report is made available for public inspection within thirty (30) days after completion of the audit. Audits performed under Subsection A of this Section 19 are subject to review and resolution by the Department or its authorized representative. The Contractor shall ensure the Audit Report submitted include either in the report or as part of the cover letter, auditor and contractor contact information, including contact person, mailing address, telephone„ fax number and e-mail address. The Contractor shall ensure the Audit Report submitted also includes the submission of the CPA Management Letter if a Management Letter was issued to the Contractor by it's CPA firm. Failure by the Contractor to submit a completed single audit package as described in the audit requirements by the required due date could affect funding for all existing Contracts, eligibility to apply under the NSP Program, and the issuance of new Contracts for funding awards. 4. Notwithstanding the requirements after paragraphs "A-1 through 3" of this Section 19, the Contractor shall submit within 60 days after its fiscal year end an Audit Certification Form (ACF) or a similar statement. The ACF or statement will include information indicating if the Contractor has or has not met the $500,000 expenditure threshold that will require a Single Audit Report in accordance with the Uniform Grant Management Standards, Subpart C -Post Award Requirements, Section _.26 Audit, item (d), If the Contractor did not exceed the threshold, the Contractor shall include with the ACF or statement, a list of all open Department Contracts providing financial assistance and the corresponding activity. Failure by the Contractor to submit an ACF or a similar statement or failure to submit a completed single audit package as described in the audit requirements by the required due date could affect funding for all existing Contracts, eligibility to apply under the NSP, and the issuance of new Contracts for funding awards. 5. Chapter 2105, Texas Government Code, requires that all subrecipients of federal block grants be included under the provisions of the Uniform Grant and Contract Management Standards." The Uniform Grant and Contract Management Standards (UGMS) (D) sec. .400 requires "Recipients who are required to have a single audit and receive state or federal awards for more than one state agency shall have a state single audit coordinating agency. The governor's Department shall designate a state single audit coordinating agency based upon the state awarding agency that provides the predominant amount of direct funding to a recipient and other factors, as appropriate, to ensure equitable and manageable workloads." Further, it is the Contractor's responsibility to make this request to the governor's Department pursuant to Title 1, Texas Administrative Code §5.167(c)(2), "To have a state single audit coordinating agency designated a recipient must submit a written request to the Governor's Budget and Planning Department, P.O. Box 12428, Austin, Texas 78711. This request must list the state agencies providing financial assistance with the grant amounts for the year to be audited and indicate that the governing body has authorized the initiation of the single audit." B. Notwithstanding Subsection A of this Section 19, the Department reserves the right to conduct an annual financial and compliance review of funds received and performances rendered under this Contract. The Contractor agrees to permit the Department or its authorized representative to audit the Contractor's records and to obtain any documents, materials, or information necessary to facilitate such review. C. The Contractor understands and agrees that it shall be liable to the Department for any costs disallowed pursuant to financial and compliance audit(s) of funds received under this Contract. The Contractor further understands and agrees that reimbursement to the Department of such disallowed Page 10 of 15 costs shall be paid by the Contractor from funds which were not provided or otherwise made available to the Contractor under this Contract. D_ The Contractor shall take such action to facilitate the performance of such audit or audits conducted pursuant to this Section 19 as the Department may require of the Contractor. Contractor shall establish written standard operating procedures and internal controls to include the timely procurement of a CPA firm to start and complete the year end single audit report if applicable, in order to comply with contractual and regulatory requirements. The Department shall not release any funds for any costs incurred by the Contractor under this Contract until the Department has received a copy of any audit report required by this Section 19. E. The Contractor shall procure audit services through an open, competitive process at least once every four years. The auditor shall retain working papers and reports for a minimum of three years after the date of issuance of the auditor's report to the auditee. Audit working papers shall be made available upon request to the Department at the completion of the audit, as a part of a quality review, to resolve audit findings, or to carry out oversight responsibilities consistent with the purposes of this part. Access to working papers includes the right to obtain copies of working papers, as is reasonable and necessary. F. Contractor understands that acceptance of funds under this Contract acts as acceptance of the authority of the State Auditor's Department, or any successor agency, to conduct an audit or investigation in connection with those funds. Contractor further agrees to cooperate fully with the State Auditors Department or its successor in the conduct of the audit or investigation, including providing all records requested. Contractor will ensure that this clause concerning the authority to audit funds received indirectly by subcontractors through Contractor and the requirement to cooperate is included in any subcontract it awards. SECTION 20. ENVIRONMENTAL CLEARANCE REQUIREMENTS A. The environmental effects of each activity carried out with funds provided under this contract must be assessed in accordance with the provisions of the Texas NSP NOTA, National Environmental Policy Act of 1969 (NEPA) and the related activities listed in HUD's implementing regulations at 24 C.F.R. Parts 50, 51, 55 and 58_ Each such activity must have an environmental review completed and support documentation prepared complying with the National Environmental Policy Act of 1969 and regulations at 24 C.F.R. Parts 50, 51, 55 and Part 58. No funds may be requested or committed to an activity before the completion of the environmental review process, including the requirements of 24 C.F.R. §58.6, and written clearance has been provided by the Department. B. If funds are provided under this contract to a unit of general local government, the Contractor is delegated authority as the Responsible Entity (RE) and makes all environmental clearance determinations. The Department assumes the role of HUD pursuant to 24 CFR Part 58, "Subpart H — Release of Funds for Particular Projects" and is responsible for reviewing and approving the Request for Release of Funds and granting the recipient the Authority to Use Grant Funds. C. A non-governmental entity (nonprofit or quasi -governmental organization) is not delegated authority to become an RE and make environmental determinations and therefore, shall assist Department in completing the environmental review by providing all relevant documentation needed to perform an environmental review, or carry out mitigating measures required, or selecting an alternate property for assistance. D. Environmental assessments must be satisfactory to Department. This contract is conditional in nature and does not grant Contractor legal claim to any Texas NSP funds for a specific project or site until the environmental review process is approved by Department. The agreement to provide funds to the project is conditional on Department's determination to proceed with, modify or cancel the project based on the results of an environmental review. Page 11 of 15 E. Funds provided under this contract may not be used in connection with acquisition or rehabilitation or new construction of housing located in an area identified by the Federal Emergency Management Agency (FEMA) as having special flood hazards, unless the locality in which the site is located is participating in the National Flood Insurance Program (NFIP) or less than a year has passed since FEMA notification regarding such hazards, and flood insurance is obtained as a condition of approval of the commitment. Contractor must determine if the locality participates in the NFIP during the preliminary stages of the environmental clearance process. F. Conditional Commitment of Funds. Contractors may enter into an agreement for the conditional commitment of Texas NSP funds for a specific project prior to the completion of the environmental review process. The Contractor must ensure that any such agreement does not provide any party with a legal claim to any amount of NSP funds to be used for the specific project or site unless and until the site has received environmental clearance. The following language is acceptable in an otherwise appropriately drafted agreement and must be included in any contract to conditionally acquire residential property for the purposes of the NSP: Notwithstanding any provision of this Agreement, the parties hereto agree and acknowledge that this Agreement does not constitute a commitment of funds or site approval, and that such commitment of funds or approval may occur only upon satisfactory completion of environmental review and receipt by the [Contractor] of a release of funds from the U.S. Department of Housing and Urban Development [or the State of Texas] under 24 CFR Part §58. The parties further agree that the provision of any funds to the project is conditioned on the [Contractor's] determination to proceed with, modify or cancel the project based on the results of an environmental review. SECTION 21. CITIZEN PARTICIPATION REQUIREMENTS A. Contractors that are units of general local government shall provide for and encourage citizen participation, particularly by low and moderate income persons who reside in areas in which the funds provided under this Contract are used, in accordance with Section 570.486 of the Regulations and this Contract; B. The Contractor shall hold a public hearing concerning any activities proposed to be added, deleted, or substantially changed, as determined by the Department, from the activities specified in Exhibit A, Performance Statement, of this Contract; C. Prior to the programmatic closure of this Contract, the Contractor shall hold a public hearing to review its performance under this Contract; D. For each public hearing scheduled and conducted by the Contractor under this section, the Contractor shall comply with the following requirements: 1. Notice of each hearing shall be published in the non -legal section of a newspaper having general circulation in the Contractor's jurisdiction at least seventy-two (72) hours prior to each scheduled hearing. The published notice shall include the date, time, and location of each hearing and the topics to be considered at each hearing. The published notice shall be printed in both English and Spanish, if appropriate. The Department shall accept articles published in such newspapers which satisfy the content and timing requirements of this subsection. In addition, the Contractor shall prominently post such notices in public buildings and distributed to interested community groups. 2. If any substantial changes are being requested concerning the activities included in this Contract, the public hearings shall be held after 5 p.m. on a weekday or on a Saturday or Sunday. Page 12 of 15 The hearings must be conducted at a location convenient to potential or actual beneficiaries, with accommodation for the handicapped. 3. When a significant number of non-English speaking residents can reasonably be expected to participate in a public hearing, the Contractor shall provide an interpreter to accommodate the needs of the non-English speaking residents. E. Notwithstanding the provisions of Section 7 of this Contract, the Contractor shall retain documentation of the public hearing notices, a list of the attendees at each hearing, and minutes of each hearing held in accordance with this section for a period of three (3) years after the termination of this Contract. The Contractor shall make such records available to the public in accordance with TEX. GOVT. CODE ANN. Chapter 552. F. Complaint Procedures. All Contractors shall maintain written citizen complaint procedures that provide a timely written response to complaints and grievances. Such procedures shall comply with the Department's requirements. The Contractor shall ensure that its citizens are aware of the location and hours at which they may obtain a copy of the written procedures and the address and phone number for submitting complaints. SECTION 22. SPECIAL CONDITIONS A. The Department shall not release any funds for any costs incurred by the Contractor under this Contract until the Department has received a copy of the Contractor's previous fiscal year audit report or certification from the Contractor that its fiscal control and fund accounting procedures are adequate to assure the proper disbursal of and accounting for funds provided under this Contract. The Department shall specify the content and form of such certification. B. The Department shall not be liable to the Contractor for any costs incurred by the Contractor under this Contract until the Department receives a properly completed Depository/Authorized Signatories Form, as specified by the Department, from the Contractor. C. In accordance with Section 18 of this Contract, the Department shall terminate all or part of this Contract nine (9) months after the commencement date specified in Section 2, in order to recapture Contract funds that were not obligated by the Contractor for specific Texas NSP activities according to the Nine -Month Milestone requirements, as specified in Exhibit C. D. Notwithstanding Section 4(A) (6), the Contractor shall be allowed, upon written approval of the Department, to incur costs prior to the commencement date specified in Section 2. Such costs may only be incurred for activities described in Exhibit A, Performance Statement, provided that these activities meet the requirements of 24 C.F.R. Part 570, Subpart I and 24 C.F.R. Part 58, E. By execution of the Agreement and only if Contractor is a business under Chapter 2264 of the Texas Government Code, Contractor certifies that Contractor, or a branch, division, or department of Contractor does not and will not knowingly employ an undocumented worker, where "undocumented worker" means an individual who, at the time of employment, is not lawfully admitted for permanent residence to the United States or authorized under law to be employed in that manner in the United States, If, after receiving a public subsidy, Contractor, or a branch, division, or department of Contractor is convicted of a violation under 8 U.S.0 Section 1324a(f), Contractor shall repay the amount of the public subsidy with interest, at the rate and according to the other terms provided by an agreement under Tex. Gov't Code Section 2264.053, not later than the 120th day after the date TDHCA notifies Contractor of the violation. F. TDHCA may not accept a bid or award a contract that includes proposed financial participation by a person who, during the five-year period preceding the date of the bid or award, has been convicted of violating a federal law in connection with a contract awarded by the federal government for relief, Page 13 of 15 recovery, or reconstruction efforts as a result of Hurricane Rita, as defined by Section 39.459, Utilities Code, Hurricane Katrina, or any other disaster occurring after September 24, 2005; or assessed a penalty in a federal civil or administrative enforcement action in connection with a contract awarded by the federal government for relief, recovery, or reconstruction efforts as a result of Hurricane Rita, as defined by Section 39.459, Utilities Code, Hurricane Katrina, or any other disaster occurring after September 24, 2005. G. Prior to occupation, Contractor shall ensure that all housing units pass a Housing Quality Standards Inspection. H. All ownership units must be inspected by an independent professional inspector commissioned by the purchasing household. The private inspector must be licensed by the Texas Real Estate Commission. The independent inspection must cover major building systems and components, including foundation and structure, housing interior and exterior, and the roofing, plumbing, electrical, and heating systems. The independent inspector must provide a copy of the inspection report to the purchasing household, the Contractor and the Department. The Contractor or Department may disapprove the unit based on information contained in the independent inspection. SECTION 23. DEBARMENT A. By signing this Contract, the Contractor certifies that it will not award any funds provided under this Contract to any party which is debarred, suspended or otherwise excluded from or ineligible for participation in federal assistance programs under Executive Order 12549 and 24 CFR Part 24. The Contractor shall receive the certification provided by the Department from each proposed subcontractor under this Contract and its principals. B. By signing this Contract, the Contractor certifies that it is not debarred, suspended or otherwise excluded from or ineligible for participation in federal assistance programs under Executive Order 12549 and 24 CFR Part 24. Further, the Contractor is required to immediately report to the Department if it is debarred, suspended or otherwise excluded from or ineligible for participation in federal assistance programs under Executive Order 12549 and 24 CFR Part 24, SECTION 24. POLITICAL AID AND LEGISLATIVE INFLUENCE PROHIBITED A. None of the funds provided under this Contract shall be used for influencing the outcome of any election, or the passage or defeat of any legislative measure. This prohibition shall not be construed to prevent any official or employee of the Contractor from furnishing to any member of its governing body upon request, or to any other local or state official or employee or to any citizen information in the hands of the employee or official not considered under law to be confidential information. Any action taken against an employee or official for supplying such information shall subject the person initiating the action to immediate dismissal from employment. B. No funds provided under this Contract may be used directly or indirectly to hire employees or in any other way fund or support candidates for the legislative, executive, or judicial branches of government of the Contractor, the State of Texas, or the government of the United States. SECTION 25. ORAL AND WRITTEN AGREEMENTS A. All oral and written agreements between the parties to this Contract relating to the subject matter of this Contract that were made prior to the execution of this Contract have been reduced to writing and are contained in this Contract. B. The attachments enumerated and denominated below are hereby made a part of this Contract, and constitute promised performances by the Contractor in accordance with Section 3 of this Contract: Page 14 of 15 1. Exhibit A, Performance Statement, 2 Pages 2. Exhibit B, Budget, 1 Page 3. Exhibit C, Project Implementation Schedule, 1 Page 4. Exhibit D, Applicable Laws and Regulations, 3 Pages 5. Exhibit E, Certifications, 3 Pages SECTION 26. VENUE For purposes of litigation pursuant to this Contract, venue shall lie in Travis County, Texas. WITNESS OUR HANDS EFFECTIVE SEPTEMBER 1sT, 2009. Tom Martin., Mayor Approved and accepted on behalf of the Texa partment of H sing and Uommui my Affairs. Michael Gerber, Executive Director Texas Department of Housing and Community Affairs This Contract is not effective unless signed by the Executive Director of the Texas Department of Housing and Community Affairs or by the Executive Director's authorized designee. ATTEST: ke-beka Garza City Secretary APPROVED AS TO CONTENT: Bill Howerton, Jr. Community Developme irector Page 15 of 15 APPROVED AS TO FORM: y S s Ass i ant City Attorney Resolution No. 2010-RO456 EXHIBIT A CONTRACT NO. 77490000160 PERFORMANCE STATEMENT City of Lubbock Contractor shall carry out the following activities in the target area(s) and specific neighborhoods identified in its Texas NSP Application. The persons to benefit from the activities described in this Performance Statement must be receiving service or a benefit from the use of the new or improved facilities and activities for the Contract obligations to be fulfilled. The Contractor shall ensure that the amount of funds expended for each activity described does not exceed the amount specified for such activity in Exhibit B, Budget. These activities shall directly benefit fifty-four (54) households, of which fifty- four (54) or one hundred percent (100%) are at or below 120% of area median income (AMI) per household size according to the most current NSP income limits as promulgated by the US Department of Housing and Urban Development (HUD). At least eight hundred sixty thousand and eighty-six dollars ($860,086) or not less than forty-one percent (41 %) of the non -administrative amount of the Texas NSP funds as specified in Exhibit B, Budget, will benefit households at or below fifty percent (50%) AMI through facilitating the purchase and/or redevelopment of foreclosed or abandoned homes or residential properties that will result in permanent housing. A. Financing Mechanisms Permanent Financing Contractor shall coordinate access to Texas NSP permanent mortgage financing for fourteen (14) households at or below 50%g of AMI at the time of homebuyer contract. Contractor shall accept homebuyer applications with required supporting documentation and determine initial income eligibility for the program. Homebuyer Assistance Contractor shall coordinate access to Texas NSP Homebuyer Assistance for fifty- four (54) households at or below 120% of the current AMI at the time of homebuyer contract. Texas NSP Homebuyer Assistance must be justified according to need and may not exceed thirty thousand dollars ($30,000) per household and may be combined with permanent financing for eligible households. Contractor shall accept homebuyer applications with required supporting documentation to justify the amount of assistance and determine initial income eligibility for the program. Fourteen (14) of the activities shall benefit households that are at or below fifty percent (50%) of the current AMI at the time of homebuyer contract. Forty (40) of the activities shall benefit households that are fifty-one percent (51%) to one hundred twenty percent (120%) of the current AMI at the time of homebuyer contract. Page 1 of 2 F. Administration Contractor shall ensure that the amount of the Department funds expended for all eligible project -related administration activities, including the required annual program compliance and fiscal audit does not exceed the amount specified for administration in Exhibit B, Budget. Page 2 of 2 Resolution No. 2010-80456 EXHIBIT B BUDGET TEXAS NSP CONTRACT NO. 77090000160 CITY OF LUBBOCK LINE CATEGORIES CONTRACT FUNDS OTHER FUNDS* TOTAL A Financing Mechanisms (use subcategories) Al Permanent Financing $ 1,060,086 -0- $ 1,060,086 A2 Hornebu erAssistance $ 1,000,000 -0- $ 1,000,000 B Purchase and Rehabilitation (use subcategorl") B1 Acquisition/Disposition B2 Rehabilitation/Reconstruction C ILand Bank D Demolition E Redevelopment (use subcategories) E1 Acquisition/Disposition E2 New Construction(permanent housing) E3 Public Facilities E4 Rehabilitation F Administration $ 103,004 -0- $ 103,004 G Other non -NSP eligible use Totals $ 2,163,090 -0- $ 2,163, 090 * Sources of other committed funds: 1) 2) 3) Page 1 of 1 EXHIBIT C PROJECT IMPLEMENTATION SCHEDULE TEXAS NSP CONTRACT NO. 77090000160 CITY OF LUBBOCK CONTRACT START DATE September 1, 2009 Page 1 of 1 CONTRACT END DATE November 30, 2010 1 1 2 1 3 4 5 6 7 8 9 110 11 12113114 15 MILESTONES AND THRESHOLDS Sep Oct NovDecJan FebMar Apr Ma Jun Jul AugjSep Oct Nov 3 -Month Milestone General Environmental Clearance X 6 -Month Milestone Acquisition 100% Obligated X Site-specific Environmental Clearance X Environmental Clearance if not tiering) X Addresses activities set-up in System X 9 -Month Milestone All contract funds 100% Obligated X 9 -Month Threshold Contract 30% Expended X 15 -Month Threshold Contract 100% Expended less reserved administration X CONTRACT START DATE September 1, 2009 Page 1 of 1 CONTRACT END DATE November 30, 2010 Resolution No. 2010-80456 EXHIBIT D THE APPLICABLE LAWS AND REGULATIONS The Contractor shall comply with the Act and Regulations specified in Section 3 of this Contract and with the OMB Circular and federal regulations specified in Section 6 of this Contract; Cash Management Improvement Act regulations (31 C.F.R. Part 205); and with all other federal, state, and local laws and regulations applicable to the activities and performances rendered by the Contractor under this Contract including but not limited to the laws, and the regulations promulgated thereunder specified in Section I through VI I of this Exhibit D. I. CIVIL RIGHTS Title VI of the Civil Rights Act of 1964, (42 U.S.C. Section 2000d et seq.); 24 C.F.R. Part 1, "Nondiscrimination in Federally Assisted Programs of the Department of Housing and Urban Development - Effectuation of Title VI of the Civil Rights Act of 1964"; Title VIII of the Civil Rights Act of 1968, "The Fair Housing Act of 1968" (42 U.S.G. Sec 3601 et seq.), as amended; Executive Order 11063, as amended by Executive Order 12259, and 24 C. F.R. Part 107, "Nondiscrimination and Equal Opportunity in Housing under Executive Order 11063". The failure or refusal of the Contractor to comply with the requirements of Executive Order 11063 or 24 C.F.R. Part 107 shall be a proper basis for the imposition of sanctions specified in 24 C.F.R. 107.60; The Age Discrimination Act of 1975 (42 U.S.C. Sec. 6101 et seq.); Section 504 of the Rehabilitation Act of 1973 (29 U.S.C. Sec. 794.) and "Nondiscrimination Based on Handicap in Federally -Assisted Programs and Activities of the Department of Housing and Urban Development", 24 C.F.R. Part 8. By signing this Contract, the Contractor understands and agrees that the activities funded shall be operated in accordance with 24 C.F.R. Part 8; and the Architectural Barriers Act of 1968 (42 U.S.C. Sec. 4151 et seq.), including the use of a telecommunications device for deaf persons (TDDs) or equally effective communication system. LABOR STANDARDS The Davis -Bacon Act, as amended (40 U.S.C. Secs. 276a - 276a-5); The Contract Work Hours & Safety Standards Act (40 U.S.C. 327 et seq.); The Copeland "Anti -Kickback" Act (18 U.S.C. Sec. 874). III. EMPLOYMENT OPPORTUNITIES Section 3 of the Housing and Urban Development Act of 1968 (12 U.S.C. Sec.1701 u). IV. LEAD-BASED PAINT Section 302 of the Lead -Based Paint Poisoning Prevention Act (42 U.S.C. Sec. 4831(b)) and the procedures established by the Department thereunder. Page 1 of 3 V. ENVIRONMENTAL LAW AND AUTHORITIES Environmental Review Procedures for Recipients assuming HUD Environmental Responsibilities, 24 CFR Part 58, as amended. In accordance with the provisions of law cited in §58.1(b), the responsible entity must assume the environmental responsibilities for projects under programs cited in §58.1(b), and in doing so must comply with the provisions of the National Environmental Policy Act of 1969, as amended and the Council on Environmental Quality regulations contained in 40 CFR parts 1500 through 1508. This includes responsibility for compliance with the applicable provisions and requirements of the Federal laws and authorities specified in §58.5 [below]. The responsible entity must certify that it has complied with the requirements that would apply to HUD under these laws and authorities and must consider the criteria, standards, policies and regulations of these laws and authorities. (a) Historic Properties (1) The National Historic Preservation Act of 1966 as amended (16 U.S.C. 470 et seq.), particularly sections 106 and 110 (16 U.S.G. 470 and 470h-2), except as provided in §58.17 for Section 17 projects. (2) Executive Order 11593, Protection and Enhancement of the Cultural Environment, May 13, 1971 (36 FR 8921), 3 CFR 1971-1975 Comp., p. 559, particularly section 2(c). (3) Federal historic preservation regulations as follows: (i) 36 CFR part 800 with respect to HUD programs other than Urban Development Action Grants (UDAG) and (ii) 36 CFR part 801 with respect to UDAG. (4) The Reservoir Salvage Act of 1960 as amended by the Archeological and Historic Preservation Act of 1974 (16 U.S.C. 469 et seq.), particularly section 3 (16 U.S.C. 469a-1). (b) Floodplain management and wetland protection (1) Executive Order 11988, Floodplain Management, May 24, 1977 (42 FR 26951), 3 CFR, 1977 Comp., p. 117, as interpreted in HUD regulations at 24 CFR part 55, particularly section 2(a) of the order (For an explanation of the relationship between the decision-making process in 24 CFR part 55 and this part, see §55.10 of this subtitle A.) (2) Executive Order 11990, Protection of Wetlands, May 24,1977 (42 FR 26961), 3 CFR, 1977 Camp., p. 121 particularly sections 2 and 5. (c) Coastal Zone Management (1) The Coastal Zone Management Act of 1972 (16 U.S.C. 1451 et seq.), as amended, particularly sections 307(c) and (d) (16 U.S.C. 1456(c) and (d)). (d) Sole source aquifers (1) The Safe Drinking Water Act of 1974 (42 U.S.C. 201, 300(f) et seq., and 21 U.S.C. 349) as amended; particularly section 1424(e)(42 U.S.C. 300h -3(e). (2) Sale Source Aquifers (Environmental Protection Agency -40 CFR part 149.) (e) Endangered species (1) The Endangered Species Act of 1973 (16 U.S.C. 1531 of seq.) as amended, particularly section 7 (16 U.S.C. 1536) Page 2 of 3 (f) Wild and scenic rivers (1) The Wild and Scenic Rivers Act of 1968 (16 U.S.C. 1271 et seq.) as amended, particularly sections 7(b) and (c) (16 U.S.C. 1278(b) and (c)). (g) Air guality (1) The Clean Air Act (42 U.S.C. 7401 et seq. ) as amended, particularly sections 176(c) and (d) (42 U.S.C. 7506(c) and (d)). (2) Determining Conformity of Federal Actions to State or Federal Implementation Plans (Environmental Protection Agency -40 CFR parts 6, 51, and 93). (h) Farmland protection (1) Farmland Protection Policy Act of 1981 (7 U.S.C. 4201 et seq.) particularly sections 1540(b) and 1541 (7 U.S.C. 4201(b) and 4202). (2) Farmland Protection Policy (Department of Agriculture -7 CFR part 658). (i) HUD environmental standards (1) Applicable criteria and standards specified in HUD environmental regulations (24 CFR part 51) other than the runway clear zone and clear zone notification requirement in 24 CFR 51.303(a)(3). (2) HUD Notice 79-33, Policy Guidance to Address the Problems Posed by Toxic Chemicals and Radioactive Materials, September 10, 1979. All properties that are being proposed for use must be free of hazardous materials, contamination, toxic chemicals and gases, and radioactive substances, where a hazard could affect the health and safety of occupants or conflict with the intended utilization of the property. The environmental review of non-residential property, (or multi -family housing with five or more dwelling units, including leasing) must include the evaluation of previous uses of the site or other evidence of contamination on or near the site, to ensure that the occupants of proposed sites are not adversely affected by any hazards. Particular attention must be given to any proposed site on or in the general proximity of such areas as dumps, landfills, industrial sites, or other locations that contain, or may have contained, hazardous wastes. The Contractor shall use current techniques by qualified professionals to undertake investigations determined necessary. 0) Environmental iustice (1) Executive Order 12898 of February 11, 1994 --- Federal Actions to Address Environmental Justice in Minority Populations and Low -Income Populations, (59 FR 7629), 3 CFR, 1994 Comp. p. 859. (k) Other requirements - See 24 CFR Part 58.6. VI. ACQUISITION/RELOCATION The Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 (42 U.S.C. Sec. 4601 et seq.), 24 C.F.R. Part 42, and 24 C.F.R. Section 570.606. VII. FAITH -BASED ACTIVITIES Executive Order 13279 of December 12, 2002 - Equal Protection of the Laws for Faith -Based and Community Organizations, (67 FR 77141). Page 3 of 3 Resolution No. 2010-RO456 EXHIBIT E CERTIFICATIONS WITH RESPECT TO THE EXPENDITURE OF FUNDS PROVIDED UNDER THIS CONTRACT, THE CITY OF LUBBOCK CERTIFIES THAT; (1) IT WILL MINIMIZE DISPLACEMENT OF PERSONS AS A RESULT OF ACTIVITIES ASSISTED WITH SUCH FUNDS; (2) THE PROGRAM WILL BE CONDUCTED AND ADMINISTERED IN CONFORMITY WITH THE CIVIL RIGHTS ACT OF 1964 (42 U.S.G. SEC. 2000a et seq.) AND THE FAIR HOUSING ACT (42 U.S.C. SEC 3901 et seq.), AND THAT IT WILL AFFIRMATIVELY FURTHER FAIR HOUSING, AS SPECIFIED BY THE DEPARTMENT; (3) IT WILL PROVIDE FOR PARTICIPATION, HEARINGS AND RESPECT TO ITS COMMUNITY SPECIFIED BY THE DEPARTMENT; OPPORTUNITIES FOR CITIZEN ACCESS TO INFORMATION WITH DEVELOPMENT PROGRAMS, AS (4) IT WILL NOT ATTEMPT TO RECOVER ANY CAPITAL COSTS OF PUBLIC IMPROVE-MENTS ASSISTED IN WHOLE OR IN PART WITH SUCH FUNDS BY ASSESSING ANY AMOUNT AGAINST PROPERTIES OWNED AND OCCUPIED BY PERSONS OF LOW AND MODERATE INCOME, INCLUDING ANY FEE CHARGED OR ASSESSMENT MADE AS A CONDITION OF OBTAINING ACCESS TO SUCH PUBLIC IMPROVEMENTS UNLESS (A) SUCH FUNDS ARE USED TO PAY THE PROPORTION OF SUCH FEE OR ASSESSMENT THAT RELATED TO THE CAPITAL COSTS OF SUCH PUBLIC IMPROVEMENTS THAT ARE FINANCED FROM REVENUE SOURCES OTHER THAN SUCH FUNDS; OR (B) FOR PURPOSES OF ASSESSING ANY AMOUNT AGAINST PROPERTIES OWNED AND OCCUPIED BY PERSONS OF MODERATE INCOME, THE CONTRACTOR CERTIFIES THAT IT LACKS SUFFICIENT FUNDS UNDER THIS CONTRACT TO COMPLY WITH THE REQUIREMENTS OF CLAUSE (A). (5) IN THE EVENT THAT DISPLACEMENT OF RESIDENTIAL DWELLINGS WILL OCCUR IN CONNECTION WITH A PROJECT ASSISTED WITH TEXAS NSP FUNDS, IT WILL FOLLOW A RESIDENTIAL ANTI DISPLACEMENT AND RELOCATION ASSISTANCE PLAN, AS SPECIFIED BY THE DEPARTMENT. (6) IT SHALL ADOPT AND ENFORCE A POLICY PROHIBITING THE USE OF EXCESSIVE FORCE BY LAW ENFORCEMENT AGENCIES WITHIN ITS JURISDICTION AGAINST ANY INDIVIDUAL ENGAGED IN NONVIOLENT CIVIL RIGHTS DEMONSTRATIONS AND 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 NONVIOLENT CIVIL RIGHTS DEMONSTRATION WITHIN ITS JURISDICTION. Page 1 of 3 (7) HB 1196 CERTIFICATION: Contractor certifies that it, or a branch, division, or department of Contractor does not and will not knowingly employ an undocumented worker, where "undocumented worker" means an individual who, at the time of employment, is not lawfully admitted for permanent residence to the United States or authorized under law to be employed in that manner in the United States. If, after receiving a public subsidy, Contractor, or a branch, division, or department of Contractor is convicted of a violation under 8 U.S.C. Section 1324a, Contractor shall repay the public subsidy with interest, at a rate of 5% per annum, not later than the 1201h day after the date TDHCA notifies Contractor of the violation. (8) SB 608 CERTIFICATION: Under Section 2261.053, Texas Government Code, Contractor certifies that it is not ineligible to receive this contract and acknowledges that this contract may be terminated and payment withheld if this certification is inaccurate. CERTIFICATION REGARDING LOBBYING FOR CONTRACTS, GRANTS, LOANS, AND COOPERATIVE AGREEMENTS CITY OF LUBBOCK CERTIFIES, TO THE BEST OF ITS KNOWLEDGE AND BELIEF, THAT: (1) NO FEDERAL APPROPRIATED FUNDS HAVE BEEN PAID OR WILL BE PAID, BY OR ON BEHALF OF THE UNDERSIGNED, TO ANY PERSON FOR INFLUENCING OR ATTEMPTING TO INFLUENCE AN DEPARTMENT OR EMPLOYEE OF AN AGENCY, A MEMBER OF CONGRESS, AN DEPARTMENT OR EMPLOYEE OF CONGRESS, OR AN EMPLOYEE OF A MEMBER OF CONGRESS IN CONNECTION WITH THE AWARDING OF ANY FEDERAL CONTRACT, THE MAKING OF ANY FEDERAL GRANT, THE MAKING OF ANY FEDERAL LOAN, THE ENTERING INTO OF ANY COOPERATIVE AGREEMENT, AND THE EXTENSION, CONTINUATION, RENEWAL, AMENDMENT, OR MODIFICATION OF ANY FEDERAL CONTRACT, GRANT, LOAN, OR COOPERATIVE AGREEMENT. (2) IF ANY FUNDS OTHER THAN FEDERAL APPROPRIATED FUNDS HAVE BEEN PAID OR WILL BE PAID TO ANY PERSON FOR INFLUENCING OR ATTEMPTING TO INFLUENCE A DEPARTMENT OR EMPLOYEE OF ANY AGENCY, A MEMBER OF CONGRESS, A DEPARTMENT OR EMPLOYEE OF CONGRESS, OR AN EMPLOYEE OF A MEMBER OF CONGRESS IN CONNECTION WITH THIS FEDERAL CONTRACT, GRANT, LOAN, OR COOPERATIVE AGREEMENT, THE UNDERSIGNED SHALL COMPLETE AND SUBMIT STANDARD FORM - LLL, "DISCLOSURE FORM TO REPORT LOBBYING", IN ACCORDANCE WITH ITS INSTRUCTIONS. (3) THE UNDERSIGNED SHALL REQUIRE THAT THE LANGUAGE OF THIS CERTIFICATION BE INCLUDED IN THE AWARD DOCUMENTS FOR ALL SUBAWARDS AT ALL TIERS (INCLUDING SUBCONTRACTS, SUBGRANTS, AND CONTRACTS UNDER GRANTS, LOANS, AND COOPERATIVE Page 2 of 3 AGREEMENTS) AND THAT ALL SUBRECIPIENTS SHALL CERTIFY AND DISCLOSE ACCORDINGLY. THIS CERTIFICATION IS A MATERIAL REPRESENTATION OF FACT ON WHICH RELIANCE WAS PLACED WHEN THIS TRANSACTION WAS MADE OR ENTERED INTO. SUBMISSION OF THIS CERTIFICATION IS A PREREQUISITE FOR MAKING OR ENTERING INTO THIS TRANSACTION IMPOSED BY SECTION 1352, TITLE 31, U.S. CODE. ANY PERSON WHO FAILS TO FILE THE REQUIRED CERTIFICATION SHALL BE SUBJECT TO A CIVIL PENALTY OF NOT LESS THAN $10,000 AND NOT MORE THAN $100,000 FOR EACH SUCH FAILURE. Page 3 of 3