HomeMy WebLinkAboutCC RES 96-381
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RESOLUTION NO. 96-38
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
TUSTIN, CALIFORNIA, AUTHORIZING ENTERING IN TO
SEPARATION AGREEMENTS BETWEEN THE COUNTY OF ORANGE
AND THE CITY OF TUSTIN TO SEPARATE AND TRANSFER
COMMUNITY DEVELOPMENT BLOCK GRANT AND HOME PROGRAM
FUNDS FROM THE COUNTY TO THE CITY.
WHEREAS, the County of Orange and City of Tustin have
previously entered into various agreements relating to the
administration of the federal Community Development Block
Grant (CDBG) Urban County Program and HOME Programs funds
allocated to the city through the County of Orange; and
WHEREAS, the County administered the City's CDBG Program
through June 30 ,1994, and has, to date, continued to
administer CDBG funds granted to the City for Fiscal Years 91-
92, 92-93 and 93-94 (Program Years 1'7, 18 and 19) and HOME
funds granted to the City for Fiscal Years 92-93 and 93-94
(Program Years 18 and 19); and
WHEREAS, federal regulations allow the separation of a
Metropolitan city's CDBG Program from the CDBG Program of the
County as an Urban County, as well as HOME Program funds
allocated to a jurisdiction under the Urban County program,
for the administration of the any unobligated grant funds; and
WHEREAS, the Tustin became a Metropolitan City under the
federal regulation on July 1, 1994, and is now a Metropolitan
City; and
WHEREAS, the County and City desire to transfer
obligations and responsibility for unobligated funds and any
future program income from the County to the City.
· WHEREAS, the City, as of this date, has unexp~nded and
unobligated funds of approximately $250,324.78, including
Community Development Block Grant monies (approximately
$60,324.78) and HOME Program funds ($190,000); and
WHEREAS, actual fund balances, as of March 31, 1996, to
be transferred to the City will be determined by City staff in
coordination with County personnel; and
WHEREAS, County and city staff have developed Separation
Agreements that would formally separate the City from the
County with regards to administration of CDBG and HOME funds
allocated to the City under the Urban County program, and
request that the U. S. Department of Housing and Urban
Development transfer unobligated funds from the county's
Letter of Credit to the City's Letter, of Credit.
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Resolution No. 96-38
Page 2
NOW THEREFORE BE IT RESOLVED, the City Council of the
City of Tustin resolves as follows:
Section 1: The Separation Agreements between the County
of Orange and the City of Tustin transferring approximately
$250,324.78 of unobligated CDBG Program funds (approximately
$60,324.78 or the amount of the fund balance as of March 31,
1996) and HOME Program funds ($190,000) from the County of
Orange Letter of Credit to the City of Tustin Letter of
Credit, attached as EXHIBIT "A" and EXHIBIT "B" and
incorporated herein by reference, is hereby approved by the
Tustin City Council.
Section 2: The Director of Community Development is
hereby authorized and directed to execute said Separation
Agreements for and on behalf of the City of Tustin.
Section 2: The City Clerk shall certify to the adoption
of this Resolution and shall file a copy of said application
with the minutes of this City Council meeting.
PASSED and ADOPTED by the City Council of Tustin this
15th day of April, 1996.
ela Stoker
y Clerk
STATE OF CALIFORNIA )
COUNTY OF ORANGE )
CITY OF TUSTIN )
Mayor
SS
CERTIFICATION FOR RESOLUTION NO. 96-38
PAMELA STOKER, City Clerk and ex-officio Clerk of the City
Council of the City of Tustin, California, does hereby certify
that the whole number of the members of the City Council of
the City of Tustin is five; that the above and foregoing
Resolution No. 96-38 was duly adopted at a regular meeting of
the Tustin City Council, held on the 15th day of April, 1996.
COUNCILMEMBER AYES:
COUNCILMEMBER NOES: None
COUNCILMEMBER ABSTAINED:
None
COUNCI LMEMBER: ABSENT:
LA STOKER
Clerk
PR: kd\CCRESOS\96-38, pr
Worley, Doyle, Saltarelli, Thomas
EXHIBIT "A"
COM24IlNITY DEVELOPMENT BLOCK GRA/~T PROGRA/~
SEPARATION AGREEMENT WITH METROPOLITAN
CITY OF TUSTIN
DRAFT
THiS AGREEMENT entered into between the CITY OF TUSTIN
(hereinafter referred to as "City") and the COUNTY OF ORANGE
(hereinafter referred to as "County") this day of ,.
1996.
W I T N E S S E T H:
WZ4EREAS, the County of Orange has entered into contracts with
the United States of America through its Department of Housing and
Urban Deve!oDment (HUD) to execute the County's Community
Development Block Grant (CDBG) Program under the Housing and
Community Development Act of 1974, as amended (hereinafter referred
to as "Act"); and
WHEREAS, on September 5, 1990, the County and City entered
into a CocDeration Agreement for Fiscal Years 91-92, 92-93 and 93-
94, the period of July 1, 1991 through June 30, 1994 (Program Years
17, 18 and 19, respectively), in which both parties agreed to
cooperate to undertake or assist in the undertaking of community
development and housing assistance programs; and
WHEREAS, the County and the City have previously entered into
Implementation Agreements (County Contract Nos. C41057, C41187,
C41518, C41520, C41466, and C41467) to carry out specific community
development activities; and
WHEREAS, the City, as of this date, has unexpended Community
Development Block Grant funds totalling $60,324.78. This amount
consists of $5,323.76 in Contract No. C41057; $29,074.91 in
COntract No. C41187; $11,876.50 in Contract No. C41518; $10,000.00
in Contract No. 41520; $3,271.44 in Contract No. C41466; and
$778.17 in Contract No. C41467; and
WHEREAS, the Act, as amended, allows the separation of a
Metropolitan City's CDBG Program from.the CDBG Program of the
County as an Urban County for the administration of any unexpended
grant funds; and
WHEREAS, the City became a Metropolitan City under the Act on
July 1, 1994, and is now a Metropolitan City and administers its
own entitlement Community Development Block Grant Program; and
WHEREAS, the County administered the City's CDBG Program
through June 30, 1994, and has, to date, continued to administer
funds granted to the City for Fiscal Years 91-92, 92-93 and 93-94
(Program Years 17, 18 and 19); and
WHEREAS, the County and City desire to transfer obligations
and responsibility for unexpended funds and any [u'- '
Lure program
income, derived therefrom in accordance with Section 106 (C) (3) o~
the Housing and Urban Rural Recovery Act of 1983, from uhe County
to the City.
NOW THEREFORE, the parties agree as follows:
1. Community Development Block Grant funds of $60,324.78,
which consist of the unob!igated funds in Contract No.s C4!057,
C41187, C41518, C41520, C4!466, and C41467 shall be transferred
from the County to the City. This Agreement shall constitute a
request to HUD to transfer ~his amount of Community Development
Block Grant funds from the Urban County's Letter of credit to the
City's Letter of Credit, as soon as practicable by HUD.
2. The City, upon transfer of these funds to the City's
Letter of Credit by HUD, shall accept all obligations and
responsibilities to HUD for the expenditure of the unobligated
funds stated herein. These obligations include, but a_~ not
limited to the Housing and Community Development Act of 1974,
(Public Law 93-383) as amended; the Regulations of the Department
of Housing and Urban Development relating to Community Development
Block Grants (Title 24, Chapter V, Part 570 of the Code of Federal
Regulation commencing with Section 570.1); and the assurances (HUD
Form No. 7068); and any audit/monitoring findings and program
reporting.
3. The City further agrees to carry out all activities
formerly agreed to be carried out by the County, as set forth in
the above Contract Numbers. Said activities to be carried out with
the transferred funds which are the subject of the Separation
Agreement. Transferred funds may be reallocated by the City to
carry out new eligible activisies, in accordance with federal
regulations (Title 24, Chapter V, Part 570, Section 570.305) and
all other applicable requirements.
4. The County agrees that it accepts all obligations and
responsibilities to HU~ for the expenditures and unliquidated
obligations associatpd with the activities listed in the above
contracts prior to the effective date of the transfer of funds to
City. All audit and monitoring findings associated with those
expenditures and obligations remain with County.
5. The City is entitled to any unobligated program income
which may result from the activities carried out with these
transferred funds.
6. The City agrees to fully indemnify, defend and save
harmless the County against any and all loss, damage, liability,
claim, demand, suite or cause of action resulting from injury or
harm to any person or property arising out of or in any way
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connected with the performance of this Agreement, excepting only
such injury or harm as may be caused solely and exclusively by the
fault or negligence of the County.
'7. This Agreement shall not have any force or effect until
approved by HUD and the monies transferred.
IN WITNESS WHEREOF, the parties have executed this agree~nent
on the year and day first above wrinten.
CiTY OF TUSTIN
COUNTY OF ORANGE
Jim Ports, Mayor
Dated:
Title
Dated:
ATTEST:
City Clerk
County Clerk
APPROVED AS TO FORM:
City Attorney
County Counsel
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FT
EXHIBIT "B"
HOME PROGRAM
SEPAR3%TION AGREEMENT WITH METROPOLITAlq
CITY OF TUSTIN
THIS AGREEMENT entered into between
(hereinafter referred to as "City") and
(hereinafter referred to as "County") this.
1996.
the CiTY OF TUSTIN
the COUNTY OF O~ANGE
day of ,
W i T N E S S E T H:
WHEREAS, the County of Orange has enuered into contracts with
the United States of America through its Department of Housing and
Urban Development (HUD) to execute nhe County's HOME Invesmment
Partnership (HOME) Program under Titles I and ii of the Cranston-
Gonza!ez National Affordable Housing Act, as amended (hereinafter
referred to as "the Act"); and
WHEREAS, on October 10, 1993, the County and City entered into
a Cooperanion Agreement in which both parties agreed to cooperate
to undertake or assist in the undertaking of ccmmunity development
and housing assistance; and
WHEREAS, the County and the City have previcusly entered into
Implementation Agreements (County Connract Nos. C41246 and C41537)
to carry out specific activities; and
WHEREAS, the City, as of this date, has unexpended HOME
Program funds totalling $190,000. This amount consists of $120,000
in Contract No. C41246; and $70,000 in Contract No. C41537; and
WHEREAS, the Act, as amended, allows the separation of a
Metropolitan City's Program from the Program of nhe County as an
Urban County for the administration of any unexpended grant funds;
and
WHEREAS, the City became a Metropolitan City on July 1, 1994,
and is now a Metropolitan City; and
W~iEREAS, the County has, to date, continued to administer
funds granted to the City for Fiscal Years 92-93 and 93-94 (Program
Years 18 and 19); and
~EREAS, the County and City desire to transfer obligations
and responsibility for unexpended funds from the County to the
City.
NOW THEREFORE, the parties agree as follows:
!. HOME Program funds of $190,000 which consist of the
unobligated funds in Contract Nos. C41246 and C41537 shall be
transferred from the County to the City. This Agreement shall
constitute a request to HUD to transfer this amounE of }tOME Program
funds from the Urban County's Letter of credit to the City's Letter
of Credit, as soon as practicable by HUD.
2. The City, upon transfer of these funds to the City's
Letter of Credit by HUD, shall accept all obligations and
responsibilities to HUD for the expenditure of the unobligated
funds stated herein. These obligations include, but are not
limited to the HOME Investment Partnership Act: Titles i and ii of
the Cranston-Gonzalez National Affordable Housing Act and Community
Developmen5 Act of 1974, (Public Law 101-625), as amended, and any
audiz/moni~oring findings and program reporting.
3. The City further agrees to carry out all activities
formerly agreed to be carried out by the County, as set forth in
the above Contract Numbers. Said activities to be carried out with
the transferred funds which are the subject of the Separation
Agreement. Transferred funds may be rea!!ocated by the City to
carry out new eligible activities, in accordance with the Act and
all other aoD!icable requirements.
4. The County agrees that it accepts all obligations and
responsibilities to HUD for the expenditures and unliquidated
obligations.associated with the activities listed in the above
contracts prior to the effective date of the nransfer of funds to
City. All audit and monitoring findings associated with those
expenditures and obligations remain with County.
5. The City is entitled to any unobligated program income
which may result from the activities carried out with these
transferred funds.
6. The City agrees to fully indemnify, defend and save
harmless the County against any and all loss, damage, liability,
claim, demand, suite or cause of action resulting from injury or
harm to any person or property arising out of or in any way
connected with the performance of this Agreement, excepting only
such injury or harm as may be caused solely and exclusively by the
fault or negligence of the County.
7. This Agreement shall not have any force or effect until
approved by HUD and the monies transferred.
IN WITNESS WHEREOF, the parties have executed this agreement
on the year and day first above written.
CITY OF TUSTIN
COUNTY OF ORANGE
Jim Potts, Mayor
Title
Dated:
Dated:
ATTEST:
City Clerk
County Clerk
APPROVED AS TO FORM:
City Attorney
Counny Counsel
PR: br: kd\cdbg96\HOMEsep2, agr
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