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HomeMy WebLinkAboutCC 3 COMMERCIAL REHAB 2-5-90DATE: TO: FEBRUARY 51 1990 WILLIAM A. HUSTON, C= MANAGER COMMUNITY DEVELOPMENT DEPARTMENT CONSENT CALENDAR NO. 3 2-5-90 Inter - Com FROM: PROPOSED CONTRACTS WITH THE COUNTY OF ORANGE FOR PROVISION OF COMMERCIAL REHABILITATION, REHABILITATION SUBJECT: OF PRIVATE PROPERTIES, AND PUBLIC FACILITIES AND IMPROVEMENTS - 15TH YEAR HOUSING AND COMMUNITY DEVELOPMENT PROGRAM. RECOMMENDATION It is recommended that the City Council approve the attached contracts as submitted. BACKGROUND Enclosed are the proposed contracts between the City of Tustin and the County of Orange which implements the City's 15th Year Housing and Community Development (HCD) Block Grant Application described as follows: ° Commercial Rehabilitation (N15.6) Commercial Rehabilitation (015.6) ° Rehabilitation of Private Properties (015.1) Public Facilities and Improvements - Orange Street Improvements (015.5) On December 19, 1988 the City Council approved the City's 15th Year HCD application which recommended HCD funds be allocated to: Commercial Rehabilitation, Rehabilitation of private properties, and Public Facilities and Improvements. The Orange County Board of Supervisors approved the City's 15th Year HCD application on May 17, 1989 specific in the following dollar amounts: $20,000 for Commercial Rehabilitation (N15.6) ° $20,000 for Commercial Rehabilitation (015.6) ° $50,000 for Rehabilitation of Private Properties (015.1) $45,000 for Public Facilities and Improvements - Orange Street Improvements The Commercial Rehabilitation funds ($40,000) will be utilized for low-interest loans, grants or rebates up to $2,000 each to businesses in the Old Town/E1 Camino Real, First Street Specific Plan area, and Newport Avenue starting at El Camino Real northerly to First Street for minor exterior improvements, beautification and seismic reinforcement. City Council Report Proposed Contracts February 5, 1990 Page 2 The project will benefit low and moderate income residents of the area which will be documented by the City prior to making a funding commitment to each business. The Rehabilitation of Private Properties funds ($50,000) will be utilized to implement the City's Housing Rehabilitation Program which will provide low interest loans, deferred payment loans, grants or rebates for home improvement of privately owned properties in the City's target area and spot housing rehabilitation within the City's boundaries in accordance with the County's Home Improvement Program. The Public Facilities and Improvements funds ($45,000) will be utilized to construct and install Phase I street improvements, gutters, street lights and water mains in the Orange Street (High School) area within the City's target area. The City Attorney has reviewed the attached contracts and finds them acceptable. Beth Schoemann Associate Planner BS:CAS:kbc Attachments: Contract No.s Itc Christine A. Shiqgleton Director of Community Development C40834 C40879 C40835 C40665 Community Development Department 1 2 3 4 5 6 7 8 10 11 y,�gE�, COUNTY and CITY previously entered into a Cooperation Agreement, dated December 8, 1987 in which both parties agreed to cooperate in the undertaking, ,or assist in the undertaking, of community development and housing assistance COUNTY OF ORANGE ENVIRONMENTAL MANAGEMENT AGENCY HOUSING AND COMMUNITY DEVELOPMENT CONTRACT TITLE OF PROJECT: Tustin: Commercial Rehabilitation (015.6) MEMORANDUM OF CONTRACT entered into this 19 BY AND BETWEEN and Contract C40835 day of CITY OF TUSTIN, a municipal corporation, hereinafter referred to as CITY, COUNTY OF ORANGE, a political subdivision of the State of California and recognized Urban County under the Federal Housing and Community Development Act of 1974 (Public Law 93-383), as amended, hereinafter referred to as COUNTY.- 12] i 14 15 16 17 18 19 20 21 22 23 24 25 lactivities, and WHEREAS, the CITY has submitted to the COUNTY an application for funding of a project hereinafter described, and WHEREAS, the COUNTY has entered into a separate agreement dated August 15, 1989 with the U.S. Department of Housing and Urban Development (hereinafter referred to as HUD) to fund said project under the Housing and Community Development Act of 1974 (Public Law 93-383) , as amended. NOW, THEREFORE, IT IS AGREED by and between the parties that the following provisions as well as all applicable Federal, State and County laws and regulations including the attached SPECIAL PROVISIONS, identified as EXHIBIT "A", is part of this Contract. 26 apply: 27 28 1. For the PURPOSES OF THIS CONTRACT the following definitions shall -1- 1 2 3 4 5 6 7 8 9 10 i 14 15 16 17 18 19 20 21 22 23 Contract C40835 a. Project Manager: The party responsible for, but whose responsibility is not limited to the following: Contracting, monitoring and implementing the project through completion. b. Construction Bid Package: A package of bidding documents which includes proposal, bidding instructions, contract documents, detailed estimated costs and plans and specifications for a construction project, all prepared in accordance with applicable Federal regulations. c. Director: The Director of the Orange County Environmental Management Agency (hereinafter referred to as EMA) or his designee. d. Reimbursable Basis: The CITY will provide the funds for the project and submit proof of payment to the COUNTY, whereby upon approval, the COUNTY will forward Community Development Block Grant_. (hereinafter referred to as CDBG) funds to repay the CITY. 2. It is understood that the CITY will act as PROJECT MANAGER for the project described as: Commercial Rehabilitation (015.6). CITY will eligibly utilize CDBG funds for low-interest loans, grants or rebates of up to $2,000.00 (Two Thousand Dollars and no/100) each to businesses in the Old Town E1 Camino Real and First Street Specific Plan areas, and Newport Avenue starting at E1 Camino Real northerly to 1st Street for minor exterior improvements and beautification (see attached map, EXHIBIT "B", which is part of this Contract). The project will benefit low- and moderate -income residents of the area which will be documented by the CITY prior to making a funding commitment to each business. 3. It is agreed by all parties that the project shall be completed and all 24 funds provided through this Contract shall be expended on eligible project activities rior to December 31, 1990. Invoices for all approved project costs funded by the Block 26 Grant under this Contract shall be submitted within 180 days after the above date. The 27 date forro ect completion and p j p expenditure of all funds may be extended at the 28 discretion of the DIRECTOR, on a year -by -year basis u to a maximum Y Y -Y P period of five (5) -2- 1 2 3 4 5 6 7 8 9 10 11 12 J 14 15 16 17 18 19 20 21 22 23 24 Contract C40835 total years, through written notification to the CITY. In the event of such an extension, the deadline for submittal of invoices shall be 180 days after the new completion date. 4. CITY agrees: a. Any proposed amendment to this Contract shall be submitted to and approved by the COUNTY, prior to commencement by CITY of any activity covered by said amendment. b. To submit any and all third -party contracts proposed for funding through this Contract to DIRECTOR for review and approval prior to award of such contracts by CITY. C. To be responsible for design and inspection, including funding the costs related to those activities, unless funding for design and inspection activities is ,provided for in Section 5.a. of this Contract. d. To submit the Construction Bid Package for this project to DIRECTOR for review prior to advertising for bids on the construction contract or prior to award of ' such a contract if an alternative method of award is used. CITY shall not advertise for I bids until DIRECTOR has approved Construction Bid Package. CITY shall construct project in accordance with the Construction Bid Package which DIRECTOR approved unless prior written approval is received from DIRECTOR for modification therefrom. e. To comply with CDBG Program Regulations, as may be periodically revised by HUD, Office of Management and Budget, or other Federal agencies, and including laws and policies applicable to the CDBG Program. f. That the project shall be implemented and appropriately maintained for itCommunity Development purposes as defined by applicable HUD provisions to ensure maximum 25 _ easible benefit and utilization of the project by low- and moderate -income persons. 26 g. To maintain accounting records, official files, and other evidence 27 pertaining to costs incurred as required by all applicable HUD regulations, and all of 28 these shall be accessible for the purposes of monitoring, audits, reporting and I _3_. 1 2 3 4 5 6 7 Al 9 10 11 1`4Supervisors may require the CITY _to reimburse COUNTY any funds that it determines to be improperly expended or not expended on the project in a timely manner based on Contract C40835 examinations by duly authorized representatives of COUNTY or HUD. These records shall be kept available at CITY's office during the project's contract period and thereafter for three (3) years from the date of final CITY receipt of HUD CDBG funds through this (Contract. h. That DIRECTOR shall periodically evaluate the CITY's progress in complying with the terms of this Contract. CITY shall cooperate fully during such monitorings. DIRECTOR shall report the findings of each monitoring to the CITY and Orange County Board of Supervisors. If it is determined by the Board of Supervisors that CITY performance or progress on performance is unsatisfactory, the Board of Supervisors may withhold further funding on the project pending resolution of the unsatisfactory condition(s), or may terminate this Contract. In addition, the Board of 1%. 14 15 16' 17 18 19 20 21 22 23 24 2r u 26 27 28 Japplicable CDBG Program Regulations. i. That if it is determined by HUD that funds were not expended in compliance with the applicable Federal laws and regulations, CITY will refund to COUNTY within ninety 90 days thereafter such sums as were determined by HUD to have been improperly expended. j. When the project is completed, all unexpended funds remaining will be returned to the COUNTY as soon as practicable, but in any event, within 180 days thereafter. DIRECTOR may then reallocate returned funds to another Urban County project (s) previously approved by the Board of Supervisors. Returned funds as such, may be allocated by the DIRECTOR up to the lesser amount of ten percent (10%) of total Contract funds provided herein Section 5.a. or Ten Thousand Dollars ($10,000.00). k. Should the COUNTY receive returned funds from other Urban County projects, funding for this Contract, upon proof of anticipated cost overruns, may be increased at the discretion and upon written authorization of the DIRECTOR up to the lesser amount of ten percent (10%) of total Contract funds provided herein Section 5.a. -4- Contract C40835 1 or Ten Thousand Dollars ($10,000.00). 2 1. To assume responsibility for compliance with the California 3 Environmental Quality Act (CEQA) and to provide COUNTY with necessary information to 4 comply with the National Environmental Policy Act (NEPA) prior to commencing project 5 implementation. This may include, when applicable, CITY preparation of NEPA 6 documentation in coordination with County staff. 7 5. Project Funding: 8 a. Project will be financed under this Contract as follows: 9 Loans, Grants or Rebates $20,000.00 (Twenty Thousand Dollars and 10 no/100). 11 Total CDBG Funds $20,000.00 (Twenty Thousand Dollars and 13 14 15 16 17' 18 19 20 21 22 23 24 ;I ll 2' 26 27 28 '10/100). b. COUNTY shall not be responsible for any costs which exceed the approved CDBG funding amount as referenced in Section 5.a. unless otherwise provided in advance as referenced in Section 4.k. c. Payment by the COUNTY to the CITY shall be on a reimbursable basis unless CITY has been authorized and issued cash advances by COUNTY under this Contract. d. Cash advances requested by the CITY under this Contract shall be made by the COUNTY to the CITY if the following conditions are met: (1) The CITY has demonstrated to DIRECTOR through certification in a form prescribed by DIRECTOR and subsequently through performance, its willingness and capacity to establish CITY financial procedures that will minimize the time elapsing between the receipt of funds and proper disbursement of such funds. (2) The CITY certifies to DIRECTOR, that the CITY's financial anagement system meets the standards for fund control and accountability prescribed in ► Office of Management and Budget Circular No. A-102, as amended from time to time. (3) The CITY complies with the cash advance procedures required by financial procedures of EMA. These procedures require that upon written receipt of 1 2 3 4 5 6 7 8 9 10 any applicable statutes, rules or regulations of HUD, including Office of Management and 11 Budget Circular No. A-102, the latter shall prevail. 6. CITY must inform the DIRECTOR (through periodic reports requested by EMA staff) of any income generated by the expenditure of CDBG funds received by the CITY; and that per applicable Federal requirements, certain program income must be paid to the COUNTY (e.g., interest earned on CDBG cash advances); and/or, the CITY may retain such program income only if that program income is used exclusively for eligible activities, I Contract C40835 I funds from the COUNTY, the CITY shall disburse payment(s) to vendor(s) within five ( 5) working days and submit evidence of such disbursement(s) (i.e., warrant copies, etc.) to the COUNTY. If the CITY is subsequently found, by DIRECTOR, to be in noncompliance with Section 5.d. (1) through Section 5.d. (3) , CITY shall be paid on a reimbursable basis. e. Reimbursable basis payments, as referred to in Section 5.c. above, and/or cash advances described in Section 5.d. above, shall be made in accordance with EMA financial procedures. In the event of conflict between EMA financial procedures and ki 10 14 15 16 17 18 19 20 21 22 23 241 25 L 26 27 28 at the discretion of the DIRECTOR, and in accordance with all CDBG requirements as may then apply. a. CITY shall keep and maintain appropriate records on the use of any such program income as may be required by EMA staff since the COUNTY has the responsibility of monitoring and reporting program income to HUD. b. In the event of CITY close-out or change in status of the participating CITY in the Urban County CDBG Program, any program income at that time or received* subsequent to the close-out or change in status shall be paid by CITY to the COUNTY rithin 90 days thereafter. 7. Any proposed modification or change in use of real property acquired or improved in whole or in part by CDBG funds from that planned at the time of the acquisition or improvement, including disposition, must b,-� reported by CITY to the -6- 11 21 3I4 5 6 7 8 9 10 11 1 loll 14 15 16 17 19 20 21 22 23 2411 Tz Contract C40835 1 COUNTY and receive COUNTY concurrence thereto in advance of implementing the modification or change in use. a. Should the disposition, sale or transfer of such real property acquired or improved in whole or in part using CDBG funds result in a use which does not qualify under CDBG Regulations, the COUNTY shall be reimbursed by CITY in an amount equal to the current fair market value (less any portion thereof attributable to expenditures of non- CDBG funds) . b. Any program income generated from the disposition, transfer or sale of such property prior'to or subsequent to the CITY close-out or change in status of the CITY in the Urban County CDBG Program may be either used by CITY for other specific eligible activities in the CITY or paid to the COUNTY for other eligible Urban County activities, as determined in advance of the expenditure at the discretion of the COUNTY. 8. CITY shall obtain an annual audit performed in accordance with OMB Circular I A128 and forward a copy to DIRECTOR. DIRECTOR shall have the right to ensure that inecessary corrective actions are made by the CITY for any audit findings pertinent to ICITY handling of funding attributable to the CDBG Program per Federal requirements. 9. 'Neither COUNTY nor any officer nor employee thereof shall be responsible for any damage or liability occurring by reason of any action or omission of CITY or its agents, associates, contractors, subcontractors, materialmen, laborers, or any other persons, firms, or corporations furnishing or supplying work service, materials, or supplies in connection with CITY's performance of this Contract and from any and all claims and losses accruing or resulting to any persons, firm or corporation for personal) I injuries or property damage resulting from or as a consequence of, CITY's performance of this Contract under or in connection with any work, authority or jurisdiction delegated 1 •.o CITY under this Contract. It is also understood and agreed that. pursuant to 26 California Government Code Section 895.4, CITY shall fully indemnify, defend and hold 27 COUNTY harmless from any liability imposed for injury (as defined by California 28 Government Code Section 810.8) occurring by reason of any action or omission of CITY -7- Contract C40835 i i 1 under or in connection with any work, authority or jurisdiction delegated to CITY under 2 this Contract. CITY shall act in an independent capacity and not as officers, employees 3 or agents of COUNTY. 4 10. Neither CITY nor any officer nor employee thereof shall be responsible for 5 any damage or liability occurring by reason of any action or omission of COUNTY, its 6 agents, associates, contractors, subcontractors, materialmen, laborers, or any other 7 persons, firms, or corporations furnishing or supplying work, service, materials, or 8 supplies in connection with COUNTY's performance of this Contract and from any and all 9 claims and losses accruing or resulting to any persons, firm or corporation for personal 10 injuries or property damage resulting from or as a consequence of COUNTY's performance 11 of this Contract under or in connection with any work, authority or jurisdiction 12 delegated to COUNTY under this Contract. It is also understood and agreed that, ill pursuant to California Government Code Section 895.4, COUNTY shall fully indemnify, 14 defend and hold CITY harmless from any liability imposed for injury (as defined by 15 California Government Code Section 810.8) occurring by reason of any action or omission 16 of COUNTY under or in connection with any work, authority or jurisdiction delegated to 17 COUNTY under this Contract. COUNTY shall act in an independent capacity and not as 18 officers, employees or agents of CITY. 19 11. Where contract funds are withheld, and at the request and expense of CITY, 20 COUNTY will accept securities equivalent to the amount withheld. Such substituted 21 security, meeting the requirements of Government Code Section 4590, shall be deposited 22 with COUNTY, or with a State or Federally chartered bank as escrow agent. If security 23 is deposited with an escrow agent, it shall be covered by an escrow agreement. 24 12. In the event of CITY's failure to comply with the provisions of this 25 -"ontract, COUNTY may withhold or require CITY reimbursement of funds, and/or terminate 26 this Contract, and/or allocate funds / previously assigned to this Contract to another 27 eligible project(s) within the Urban County. 28 /// 1 2 3 4 5 6 7 8 9 10 11 12 Contract C408351 IN WITNESS WHEREOF, CITY has caused this Contract to be executed by its Mayor and attested by its Clerk; COUNTY has caused this Contract to be executed by the Chairman of the Board of Supervisors and certified by Clerk of the Board, all having been duly authorized by the City Council of CITY and the Orange County Board of Supervisors. Dated: ATTEST: City Clerk 14 15 Dated: 16 17 SIGNED AND CERTIFIED THAT A COPY OF 18 THIS DOCUMENT HAS BEEN DELIVERED TO THE CHAIRMAN OF THE BOARD. 19 20 LINDA D. RUTH Clerk of the Board of Supervisors 21 of Orange County, California 22 APPROVED AS ,TO FORM: ADRIAN KUYPER, COUNTY COUNSEL 23 ORANGE COUNTY, CALIFORNIA 24 By 2 /CD 2� FW: bjgWP8-4 (C40835) 27 11/27/89 28 CITY OF TUSTIN By Mayor COUNTY OF ORANGE, a political subdivision of the State of California By Chairman of the Board of Supervisors COUNTY ATTACHMENT r �. ua�r '�r�"r•�r� �. T .1[ �. •.....S.t�� ,..,,. - %._ ►..�NR�!lY(Y .17 _ r r .......^• q. �..` do 1 17 To 9-4 ' ... �.•.. .... ,�• / (�7C,;�� r. it lr...t .. • .. ...r . wt r 'ice '.: ...t:`•�` i.' 1~I� 1"-'• ' �.{ , S•�'� , •./'N. �••y��•.y; .rte. '� �.1. •i',.'~•••••,:.k��Y1� i ti � A�• ... _J4t�.::1.....HoeNod ..:� A_ sun• § �. 7 ' �'; %•• 1J '� I '`� :'� Is Ire C 1 \ ,lop ,� ``•• �� , Commercial Rehabilitation Project Area First: Street, Newport Avenue e and E1 Camino Real Cold town) S ^C 1 2 3 4 5 6 7� 8 9 10 11 COUNTY OF ORANGE ENVIRONMENTAL MANAGEMENT AGENCY HOUSING AND COMMUNITY DEVELOPMENT CONTRACT TITLE OF PROJECT: Tustin: Commercial Rehabilitation (N15.6) 19 MEMORANDUM OF CONTRACT entered into this BY AND BETWEEN and Contract No. C40665 day of CITY OF TUSTIN, a municipal corporation, hereinafter referred to as CITY, COUNTY OF ORANGE, a political subdivision of the State of California and recognized Urban County under the Federal Housing and Community Development Act of 1974 (Public Law 93-383) , as amended, hereinafter referred to as COUNTY. WHEREAS, COUNTY and CITY previou$ly entered into a Cooperation Agreement, dated December 8, 1987 in which both parties agreed to cooperate in the undertaking, 1` or assist in the undertaking, of community development and housing assistance 14 activities, and 15 WHEREAS, the CITY has submitted to the COUNTY an application for funding 16 of a project hereinafter described, and 17 WHEREAS, the COUNTY has entered into a separate agreement dated 18 July 12, 1988 with the U.S. Department of Housing and Urban Development (hereinafter 19 referred to as HUD) to fund said project under the Housing and Community Development Act 20 of 1974 (Public Law 93-383), as amended. 21 NOW, THEREFORE,__IT IS AGREED b and between the y parties that the following 22 provisions as well as all applicable Federal, State and County laws and regulations 23 including the attached SPECIAL PROVISIONS, identified as EXHIBIT "A", is part of this 24 Contract. 25 I 1. For the PURPOSES OF THIS CONTRACT the following definitions shall 2b ' apply: 27 28 1 2 3 4 5 6 7 8 9 10 11 15 16 17 is 19 20 Contract No. C40665 a. Project Manager: The party responsible for, but whose responsibility is not limited to the following: Contracting, monitoring and implementing the project through completion. b. Construction Bid Package: A package of bidding documents which includes proposal, bidding instructions, contract documents, detailed estimated costs and plans land specifications for a construction project, all prepared in accordance with I applicable Federal regulations. c. Director: The Director of the Orange County Environmental Management J Agency (hereinafter referred to as EMA) or his designee. d. Reimbursable Basis: The CITY will provide the funds for the project and submit proof of payment to the COUNTY, whereby upon approval, the COUNTY will forward Community Development Block Grant -,.(hereinafter referred to as CDBG) funds to repay the CITY . 2. It is understood that the CITY will act as PROJECT MANAGER for the project 11 described as: Commercial Rehabilitation (N15.6) . CITY will eligibly utilize CDBG fundE for low-interest loans, grants or rebates of up to $2,000.00 (Two Thousand Dollars and no/100) each to businesses in the E1 Camino Real and First Street Specific Plan areas, and*Newport Avenue starting at E1 Camino Real northerly to lst Street for minor exterior improvements and beautification (see attached map, EXHIBIT "B",, which is part of this Contract). The project will benefit low- and moderate -income residents of the area 21 which will be documented by the CITY prior to making a funding commitment to each 22 business. 23 3. It is agreed by all parties that the project shall be completed and all 24 funds provided through .this Contract shall be expended on eligible project activities 25 rior to December 31, 1990. Invoices for all approved project costs funded by the Block 26 Grant under this Contract shall be submitted within 180 days after the above date. The 27 date for project completion and expenditure of all funds may be extended at the 28 discretion of the DIRECTOR, on a year -by -year basis up to a maximum period of five (5) I -2- i 1 2 3 4 5 6 7 8 9 101 Contract No. C40665 total years, through written notification to the CITY. In the event of such an extension, the deadline for submittal of invoices shall be 180 days after the new completion date. 4. CITY agrees: a. Any proposed amendment to this Contract shall be submitted to and approved by the COUNTY, prior to commencement by CITY of any activity covered by said amendment. b. To submit any and all third -party contracts proposed for funding through this Contract to DIRECTOR for review and approval prior to award of such contracts by CITY. 11 C. To be responsible for design and inspection, including funding the costs 1 related to those activities, unless funding for design and inspection activities is 1.3 14 15 16 provided for in Section 5.a. of this Contract. d. To submit the Construction Bid Package for this project to DIRECTOR for review prior to advertising for bids on the construction contract or prior to award of such a contract if an alternative method of award is used. CITY shall not advertise for 17 bids until DIRECTOR has approved Construction Bid Package. CITY shall construct project 18 in accordance with the Construction Bid Package which DIRECTOR approved unless prior 19 written approval is received from DIRECTOR for modification therefrom. 20 e. To comply with CDBG Program Regulations, as may be periodically revised 21 by HUD, Office of Management and Budget, or other Federal agencies, and including laws 22 and policies applicable 'to the CDBG Program. 23 f. That the project shall be implemented and appropriately maintained for i 24 Community Development purposes as defined by applicable HUDrovisions to ensure e maximum 25 'easible benefit and utilization of the project by low- and moderate -income persons. 26 g. To maintain accounting records, official files, and other evidence 27 pertaining to costs incurred as required by all applicable HUD regulations, and all of 28 these shall be accessible for theur oses of monitoring, audits re P P g porting and i I -3- 1 2� 3 41 5 6 7 8 9 10 11 -1 2 Supervisors may require the CITY_to reimburse COUNTY any funds that it determines to be 1� improperly expended or not expended on the project in a timely manner based on 14 applicable CDBG Program Regulations. 15 i. That if it is determined by HUD that funds were not expended in 16 compliance with the applicable Federal laws and regulations, CITY will refund to COUNTY 17 within ninety 90 days thereafter such sums as were determined by HUD to have been 18 improperly expended. 19 j. When the project is completed, all unexpended funds remaining will be 20 returned to the COUNTY as soon as practicable, but in any event, within 180 days 21 thereafter. DIRECTOR may then reallocate returned funds to another Urban County 22 project (s) previously approved by the Board of Supervisors. Returned funds as such, may 23 be allocated by the DIRECTOR up to the lesser amount of ten percent (10%) of total 24 Contract funds provided herein Section 5.a. or Ten Thousand Dollars ($10,000.0o). 25 k. Should the COUNTY receive returned funds from other Urban County 26 projects, funding for this Contract, upon proof of anticipated cost overruns, may be 27 increased at the discretion and upon written authorization of the DIRECTOR up to the 28 lesser amount of ten percent (10%) of total Contract funds provided herein Section 5.a. -4- Contract No. C40665 Iexaminations by duly authorized representatives of COUNTY or HUD. These records shall I be kept available at CITY' s office during the project's contract period and thereafter for three (3) years from the date of final CITY receipt of HUD CDBG funds through this Contract. h. That DIRECTOR shall periodically evaluate the CITY's progress in complying with the terms of this Contract. CITY shall cooperate fully during such monitorings. DIRECTOR shall report the findings of each monitoring to the CITY and Orange County Board of Supervisors. If it is determined by the Board of Supervisors that CITY performance or progress on performance is unsatisfactory, the Board of Supervisors may withhold further funding on the project pending resolution of the unsatisfactory condition(s), or may terminate this Contract. In addition, the Board of 1 2 3 4 5 6 7 8 9 10 11 i- 14 15 16 17 18 19 20 21 22 23 241 o Contract No. C40665 or Ten Thousand Dollars ($10,,000.00). 1. To assume responsibility for compliance with the California Environmental Quality Act (CEQA) and to provide COUNTY with necessary information to comply with the National Environmental Policy Act (NEPA) prior to commencing project implementation. This may include, when applicable, CITY preparation of NEPA documentation in coordination with County staff. 5. Project Funding: a. Project will be financed under this Contract as follows: Loans,, Grants or Rebates no/100) . Total CDBG Funds no/100) . $20,000.00 (Twenty Thousand Dollars and $20,000.00 (Twenty Thousand Dollars and b. COUNTY shall not be responsible for any costs which exceed the approved CDBG funding amount as referenced in Section 5.a. unless otherwise provided in advance las referenced in Section 4.k. c. Payment by the COUNTY to the CITY shall be on a reimbursable basis unless CITY has been authorized and issued cash advances by COUNTY under this Contract. d. Cash advances requested by the CITY under this Contract shall be made by the COUNTY to the CITY if the following conditions are met: (1) The CITY has demonstrated to DIRECTOR through certification in a form prescribed by DIRECTOR and subsequently through performance, its willingness and capacity to establish CITY financial procedures that will minimize the time elapsing between the receipt of funds and proper disbursement of such funds. (2) The CITY certifies to DIRECTOR, that the CITY's financial management system meets the standards for fund control and accountability prescribed in 2t Office of Management and Budget Circular No. A-102, as amended from time to time. 27 (3) The CITY complies with the cash advance procedures required by 28 financial procedures of EMA. These procedures require that upon written receipt of 1 2 3 4 5 6 7 8 al 10 any applicable statutes, rules or regulations of HUD, including Office of Management and 11 Budget Circular No. A-102, the latter shall prevail. 1?" 6. CITY must inform the DIRECTOR (through periodic reports requested by EMA staff) of any income generated by the expenditure of CDBG funds received by the CITY; and that per applicable Federal requirements, certain program income must be paid to the COUNTY (e.g., interest earned on CDBG cash advances); and/or, the CITY may retain such program income only.if.that program income is used exclusively for eligible activities, at the discretion of the DIRECTOR, and in accordance with all CDBG requirements as may Contract No. C40665 f unds from the COUNTY, the CITY shall disburse payment(s) to vendor(s) within five ( 5) working days and submit evidence of such disbursement (s) (i.e., warrant copies, etc.) to Ithe COUNTY. If the CITY is subsequently found, by DIRECTOR, to be in noncompliance with Section 5.d . (1) through Section 5.d . (3) , CITY shall be paid on a reimbursable basis. e. Reimbursable basis payments, as referred to in Section 5.c. above, and/or cash advances described in Section 5.d. above, shall be made in accordance with EMA financial procedures. In the event of conflict between EMA financial procedures and 10 14 15 16 171 I:I 19 20 21 22 23 then apply. a. CITY shall keep and maintain appropriate records on the use of any such program income as may be required by EMA staff since the COUNTY has the responsibility of monitoring and reporting program income to HUD. b. In the event of CITY close-out or change in status of the participating CITY in the Urban County CDBG Program, any program income at that time or received 24subsequent to the close-out or change in status shall be paid by CITY to the COUNTY 25 •i thi n 90 days thereafter. 26 7. Any proposed modification or change in use of real property acquired or 27 improved in whole or in part by CDBG funds from that planned at the time of the 28 acquisition or improvement, including disposition, must be reported by CITY to the 1 2 3 4 5 6 7 8 9 10 11 1 1., 14 15 16 17 18 19 20 21 22 23 24 ! 25 Contract No. C40665 (COUNTY and receive COUNTY concurrence thereto in advance of implementing the modification or change in use. a. Should the disposition, sale or transfer of such real property acquired or improved in whole or in part using CDBG funds result in a use which does not qualify funder CDBG Regulations, the COUNTY shall be reimbursed by CITY in an amount equal to the current fair market value (less any portion thereof attributable to expenditures of non- CDBG funds) . b. Any program income generated from the disposition, transfer or sale of such property prior to or subsequent to the CITY close-out or change in status of the CITY in the Urban County CDBG Program may be either used by CITY for other specific eligible activities in the CITY or paid to the COUNTY for other eligible Urban County activities, as determined in advance of the expenditure at the discretion of the COUNTY. 8.. CITY shall obtain an annual audit performed in accordance with OMB Circular A128 and forward a copy to DIRECTOR. DIRECTOR shall have the right to ensure that necessary corrective actions are made by the CITY for any audit findings pertinent to CITY handling of funding attributable to the CDBG Program per Federal requirements. 9. Neither COUN'T'Y nor any officer nor employee thereof shall be responsible for any damage or liability occurring by reason of any action or omission of CITY or its agents, associates, contractors, subcontractors, materialmen, laborers, or any other persons, firms, or corporations furnishing or supplying work service, materials, or supplies in connection with CITY's performance of this Contract and from any and all claims and losses accruing or resulting to any persons, firm or corporation for personal injuries or property damage resulting from or as a consequence of, CITY's performance of this Contract under or in connection with any work, authority or jurisdiction delegated `.o CITY under this Contract. It is also understood and agreed that, pursuant to 2b California Government Code Section 895.4, CITY shall fully indemnify, defend and hold 27 COUNTY harmless from any liability imposed for injury (as defined by California 28 Government Code Section 810.8) occurring by reason of any action or omission of CITY I� -7- 1 2 3 4 5 6 7 8 9 10 11 M01 17 18 19 20 21 22 23 241 25 20 27 28 Contract No. C40665 under or in connection with any work, authority or jurisdiction delegated to CITY under this Contract. CITY shall act in an independent capacity and not as officers, employees or agents of COUNTY. 10. Neither CITY nor any officer nor employee thereof shall be responsible for any damage or liability occurring by reason of any action or omission of COUNTY, its agents, associates, contractors, subcontractors, materialmen, laborers, or any other persons, firms, or corporations furnishing or supplying work, service, materials, or supplies in connection with COUNTY's performance of this Contract and from any and all claims and losses accruing or resulting to any persons, firm or corporation for personal injuries or property damage resulting from or as a consequence of COUNTY's performance of this Contract under or in connection wlith any work, authority or jurisdiction I U delegated to COUNTY under this Contract. It is also understood and agreed that, pursuant to California Government Code Section 895.4, COUNTY shall fully indemnify, defend and hold CITY harmless from any liability imposed for injury (as defined by California Government Code Section 810.8) occurring by reason of any action or omission of COUNTY under or in connection with any work, authority or jurisdiction delegated to COUNTY under this Contract. COUNTY shall act in an independent capacity and not as l officers, employees or agents of CITY. 11. Where contract funds are withheld, and at the request and expense of CITY, COUNTY will accept securities equivalent to the amount withheld. Such substituted security, meeting the requirements of Government Code Section 4590, shall be deposited with COUNTY, or with a State or Federally chartered bank as escrow agent. If security is deposited with an escrow agent, it shall be covered by an escrow agreement. 12. In the event of CITY's failure to comply with the provisions of this .ontract, COUNTY may withhold or require CITY reimbursement of funds, and/or terminate this Contract, and/or allocate funds previously assigned to this Contract to another eligible project(s) within the Urban County. -8- 1 2 3 4 5 6 7 8 9 10 11 12 ZJ 14 15 16 17 18 19 20 21 22 APPROVED AS TO FORM: 23 ADRIAN RUYPER, COUNTY COUNSEL ORANGE COUNTY, CALIFORNIA 24 ByA�'t- 25 /CD f' �-- Contract No. C40665 IN WITNESS WHEREOF, CITY has caused this Contract to be executed by its Mayor and attested by its -Clerk; COUNTY has caused this Contract to be executed by the Chairman of the Board of Supervisors and certified by Clerk of the Board, all having been duly authorized by the City Council of CITY and the Orange County Board of Supervisors. Dated: ATTEST: ' City Clerk I Dated: SIGNED AND CERTIFIED THAT A COPY OF THIS DOCUMENT HAS BEEN DELIVERED TO THE CHAIRMAN OF THE -BOARD. LINDA D. RUTH Clerk of the Board of Supervisors of Orange County, California 26 27 28 FW:bjgWP8-4 (C40665) 11/27/89 CITY OF TUSTIN By Mayor COUNTY OF ORANGE, a political subdivi; the State of California By Chairman of the Board of Supervisors COUNTY -9- N I I HCHMENT • • • U-1 7 ..._ ' ► �. ,jam' ;" �:. ;;� :;: t :L: �� �—�! r ,• I t J ♦� ♦ _ /� �... ` ` ` •\-N f •..•• f = Nff••MW t M••h ••1 ��.. �o `lam- ♦� i tf,� i ..',� .,, •i i ♦ / k�•�`"� �'� �:.Y,•. �' Y �: • w• r n-.. •' i. j,, 'ortt `r_'l�jf•�1 •t• '; ! f��r,'.•,•',;,� ."�'• •'i :� ^,} :.: \r w. • N at � \/ :• ,�.: :r' 1•��,:.{ � ��• ,t.Tl .� %•.'ALT' '.��/•C.� ,;.♦ •h \ 1001 4 440 Of AJ a dell If of 41 ,,••fi�t iV 1�.. t '�1 ; • •.1•r1. �.��.�r.i. 1♦:•�. r... .�.•i:.�•+•'• 1 �7!(.>a:1 3� ►f /. ,. �.,_.1.•.+ ('♦• ,/ "',..ifs: te;-• / .lam•. G �..,4. �}�f^ .w..'I�� t �•r� a••�.: •�. r «. ��a• $ , +. � \tib _,,�,•,�'•� •♦ , �'►i � '1} fall 2.,f~ :il• ,,:��T � 1 �----, ' 1 V. • �C 0mmerc al Rehabilitation Project •r;.e � ct Area . First: Street Newport Avenue and E1 Camino Real Cold town) 1 2 3 41 5 6 7 E:11I 9 10 11 1nJ 1J 14 15 16 17 18 19 20 21 22 23 24 25 Contract No. C40879 II COUNTY OF ORANGE ENVIRONMENTAL MANAGEMENT AGENCY HOUSING AND COMMUNITY DEVELOPMENT CONTRACT TITLE OF PROJECT: Tustin: Rehabilitation of Private Properties (015.1) MEMORANDUM OF CONTRACT entered into this day of , 19 BY AND BETWEEN and CITY OF TUSTIN, a municipal corporation, hereinafter referred to as CITY. COUNTY OF ORANGE, a political subdivision of the State of California and recognized Urban County under the Federal Housing and Community Development Act of 1974 (Public Law 93-383) , as amended, hereinafter referred to as COUNTY. IWHEREAS, COUNTY and CITY previously entered into a Cooperation Agreement, dated December 8, 1987 in which both parties agreed to cooperate in the undertaking, or assist in the undertaking, of community development and housing assistance activities, and WHEREAS, the CITY has submitted to the'COUNTY an application for funding of a project hereinafter described, and WHEREAS, the COUNTY has entered into a separate agreement dated August 15, 1989" with the U.S. Department of Housing and Urban Development (hereinafter designated as HUD) to fund said project under the Housing and Community -Development Act of 1974 (Public Law 93-383) , as amended (hereinafter referred to as ACT) . WHEREAS, the COUNTY has established a Home Improvement Program and has entered into individual agreements to administer said program with HUD, California State Department of Housing and Community Development and a local lending institution (s) , and 26 WHEREAS, the CITY has requested COUNTY to implement the CITY's housing and 27 Community Development Project entitled Housing Rehabilitation and funded from Block 28 Grant funds ($50,000.00) for (015.1) . • -1 1 2. 3 4 5 6 7 8 9 10 11 Contract) as approved and amended from time to time by the Board of Supervisors. All rehabilitation of single family residential units will benefit low- and moderate -income Il families and rehabilitation of multi -family residential units will principally benefit Contract No. C40879 NOW, THEREFORE, IT IS MUTUALLY AGREED by and between the parties that the following provisions listed as well as all applicable Federal, State and County laws and regulations including the attached SPECIAL PROVISIONS, identified as Exhibit "A", and Exhibits "B" and "C", are part of this Contract. 1. The COUNTY will administer CITY Community Development Block Grant Rehabilitation funds to implement the Housing Rehabilitation Project described herein as project, which will provide low-interest loans, deferred payment loans, grants or rebates for home improvement of privately owned properties in the CITY's target area and spot housing rehabilitation within the CITY's boundaries (see attached map, Exhibit "B"), in accordance with the COUNTY's Home Improvement Program (see Exhibit "C" of this 1�- 1„ 14 15 16 1? 18 19 20 21 22 23 24 25 26 27 28 (minimally 51%) low- and moderate -income families. 2. The total project funds available for loans, grants and rebates and administrative costs hereinafter provided for in Section 5 of this Contract will not exceed Fifty Thousand Dollars and no/100 ($50,000.00). 3. The CITY agrees to advertise the program and to provide outreach efforts to prospective clients on an ongoing basis to promote loans, grants and rebates from available project funds. It is agreed by all parties that the project shall be completed and all funds provided through this Contract shall be expended on eligible project activities prior to December 31, 1990. The date for project completion and expenditure of all funds may be extended by the Director of the Orange County Environmental Management Agency or his designee through written notification to the 4. The CITY agrees to provide appropriate office space to the COUNTY, as needed for the project, including use of a desk and a telephone. 5. The CITY agrees to pay up to 20% administrative charges from project funds -2- i a 3 4 5 6 7 8 9 10 11 10 13 14 15 16 17 is 1s 20 ai 22 23 24 25, 26 27 28 Contract No. C40879 identified in Section 2 of this Contract. When the project is completed, any remaining unexpended administrative funds, not to exceed 20% of the total project funding amount, will be allocated to the Countywide Rehabilitation Administration account. 6. Whenever available and feasible, funds may also be used to administer the CITY's HUD 312 Program. Other funding sources once approved by the Board of Supervisors for the Home Improvement Program may be added to this agreement by mutual consent of the Director of COUNTY'S Environmental Management Agency and the CITY. 7. All program income pursuant to 24 CFR 570.506(c) which may be derived from funding through this contract will be allocated to and will be used to further the Countywide Rehabilitation Program. 8. Neither COUNTY nor any officer nor employee thereof shall be responsible `or any damage or liability occurring by reason of any action or omission of CITY or its agents, associates, contractors, subcontractors, materialmen, laborers, or any other persons, firms, or corporations furnishing or supplying work service, materials, or supplies in connection with CITY's performance of this Contract and from any and all claims and losses accruing or resulting to any persons, firm or corporation for personal injuries or property damage resulting from or as a consequence of, CITY's performance of this Contract under or in connection with any work, authority or jurisdiction delegated to CITY under this Contract. It is also understood and agreed that, pursuant to California Government Code Section 895.4, CITY shall fully indemnify, defend and hold COUNTY harmless from any liability imposed for injury (as defined by California Government Code Section 810.8) occurring by reason of any action or omission of CITY under or in connection with any work, authority or jurisdiction delegated to CITY under this Contract. CITY gall act in an independent capacity and not as officers, employees or agents of COUNTY. 9. Neither CITY nor any officer nor employee thereof shall be responsible for any damage or liability occurring by reason of any action or omission of COUNTY, -3- Contract No. C40879 1 its agents, associates, contractors, subcontractors, materialmen, laborers, or any 2 other persons, firms, or corporations furnishing or supplying work, service, 3 materials, or supplies in connection with COUNTY's performance of this Contract and 4 from any and all claims and losses accruing or resulting to any persons, firm or 5 corporation for personal injuries or property damage resulting from or as a consequence 6 of COUNTY's performance of this Contract, under or in connection with any work, 7 authority or jurisdiction delegated to COUNTY under this Contract. It is also 8 understood and agreed that, pursuant to California Government Code Section 895.4, COUNTY 9 shall fully indemnify, defend and hold CITY harmless from any liability imposed for 10 injury (as defined by California Government Code Section 810.8),F occurring by reason of 11 any action or omission of COUNTY under or, in connection with any work, authority or jurisdiction delegated to COUNTY under this Contract. COUNTY shall act in an 13 independent capacity and not as officers, employees or agents of CITY. 14 10. In the event of CITY's failure to comply with the provisions of this 15 Contract, COUNTY may withhold funds and/or terminate this Contract and allocate 16 funds previously assigned to this Contract to another eligible project(s) within the 17 Urban County. 18 19 20 21 22 23 24 2. • �/ 26 r 27 ! 28 I -4- 1 2 3 4 5 6 7 8 9 10 11 12 11-0 14 15 Contract No. C40879 IN WITNESS WHEREOF, CITY has caused this Contract to be executed by its Mayor and attested by its Clerk; COUNTY has caused this Contract to be executed by the Chairman of the Board of Supervisors and certified by Clerk of the Board, all having (been duly authorized by the City Council sof CITY and the Orange County Board of Supervisors. Dated: I Dated: City Clerk 16 17 SIGNED AND CERTIFIED THAT A COPY OF 18 THIS DOCUMENT HAS BEEN DELIVERED TO THE CHAIRMAN OF THE BOARD. 19 20 LINDA D. RUTH 21 Clerk of the Board of Supervisors 22 of Orange County, California 23 APPROVED AS TO FORM: ADRIAN RUYPER, COUNTY COUNSEL 24 ORANGE COUNTY, CALIFORNIA 25 26 711 `^� JMH:bjgWP8-5 (C40879) 28 11/09/89 CITY OF TUSTIN By Mayor COUNTY OF ORANGE, a political subdivision of the State of California By Chairman of the Board of Supervisors COUNTY -5- I 74 0 757_na CDBG TARGET AREAS 3� k06 Contract No. C40834 COUNTY OF ORANGE ENVIRONMENTAL MANAGEMENT AGENCY HOUSING AND COMMUNITY DEVELOPMENT CONTRACT I 1 TITLE OF PROJECT: Tustin: Public Facilities and Improvements - Orange Street Improvements (015.5) 2 MEMORANDUM OF CONTRACT entered into this day of , 3 19 4 BY AND BETWEEN 5 CITY OF TUSTIN, a municipal corporation, 6 hereinafter referred to as CITY, 7 and 8 COUNTY OF ORANGE, a political subdivision of the State of California and recognized Urban County 9 under the Federal Housing and Community Development Act of 1974 (Public Law 93-383) , as 10 amended, hereinafter referred to as COUNTY. i 11 AREAS, COUNTY and CITY previou$ly entered into a Cooperation Agreement, dated December 8, 1987 in which both parties agreed to cooperate in the undertaking, ill 14 15 16 17 18 19; 20 21 22 23 241 1 2F 2b 27 28 11 or assist in the undertaking, of community development and housing assistance l activities , and WHEREAS, the CITY has submitted to the COUNTY an application for funding of a project hereinafter described, and WHEREAS, the COUNTY has entered into a separate agreement dated August 15, 1989 with the U.S. Department of Housing and Urban Development (hereinafter referred to as HUD) to fund said project under the Housing and Community Development Act of 1974 (Public Law 93-383) , as amended. NOW, THEREFORE, IT IS AGREED by and between the parties that the following provisions as well as all applicable Federal, State and County laws and regulations including the attached SPECIAL PROVISIONS, identified as EXHIBIT "A", is part of this I Contract. apply: 1. For the PURPOSES OF THIS CONTRACT the following definitions shall -1- 1 2 3 4 5 6 7 8 17 18 19 20 21 22 23 Contract No. C40834 a. Project Manager: The party responsible for, but whose responsibility is not limited to the following: Contracting, monitoring and implementing the project through completion. b. Construction Bid Package: A package of bidding documents which includes I proposal, bidding instructions, contract documents, detailed estimated costs and plans and specifications for a construction project, all prepared in accordance with applicable Federal regulations. c. Director: The Director of the Orange County Environmental Management Agency (hereinafter -referred to as EMA) or his designee. d. Reimbursable Basis: The CITY will provide the funds for the project and 1, .submit proof of payment to the COUNTY, whereby upon approval, the COUNTY will forward Community Development Block Grant (hereinafter referred to as CDBG) funds to repay the it CITY. 2. It is understood that the CITY will act as PROJECT MANAGER for the project described as: Public Facilities: (Orange Street) Street Improvements (015.5). The CITY will utilize funds to construct/install phase I street improvements, gutters, street lights and water mains in the Orange Street (High School) area within the City's target area (see attached map, EXHIBIT "B", which is part of this Contract) . 3. It is agreed by all parties that the project shall be completed and all funds provided through this Contract shall be expended on eligible project activities I prior to December 31, 1990. Invoices for all approved project costs funded by the Block Grant under this Contract shall be submitted within 180 days after the above date. The date for project completion and expenditure of all funds may be extended at the 24 discretion of the DIRECTOR, on a year -by -year basis up to a maximum period of five (5) 25 `otal years, through written notification to the CITY. In the event of such an 2t' extension, the deadline for submittal of invoices shall be 180 days after the new 27 completion date. 28 I. -2- 1 2 3 5 6 7 8 9 1;3 14 15 16 Contract No. C40834 4. CITY agrees: a. Any proposed amendment to this Contract shall be submitted to and approved by the COUNTY, prior to canmencement by CITY of any activity covered by said lamendment. b. To submit any and all third -party contracts proposed for funding through this Contract to DIRECTOR for review and approval prior to award of such contracts by CITY. c. To be responsible for design and inspection, including funding the costs related to those activities, unless funding for design and inspection activities is provided for in Section 5.a. of this Contract. d. To submit the Construction Bid Package for this project to DIRECTOR for review prior to advertising for bids on the construction contract or prior to award of such a contract if an alternative method of award is used. CITY shall not advertise for bids until DIRECTOR has approved Construction Bid Package. CITY shall construct project in accordance with the Construction Bid Package which DIRECTOR approved unless prior written approval is received from DIRECTOR for modification therefrom. 17 e. To comply with CDBG Program Regulations, as may be periodically revised 18 by HUD, Office of Management and Budget, or other Federal agencies, and including laws 19 and policies applicable to the CDBG Program. 20 f. That the project shall be implemented and appropriately maintained for 21 Community Development purposes as defined by applicable HUD provisions to ensure maximum 22 feasible benefit and utilization of the project by low- and moderate -income persons. 23 g. To maintain accounting records, official files, and other evidence 24 pertaining to costs incurred as required by all applicable HUD regulations, and all of i 25 hese shall be accessible for the purposes of monitoring, audits, reporting and 26 examinations by duly authorized representatives of COUNTY or HUD. These records shall 27 be kept available at CITY's office during the project's contract period and thereafter 28 for three (3) years from the date of final CITY receipt of HUD CDBG funds through this I -3- 1 2 3 Mi 5 6 7 8 I Contract. Contract No. C40834 h. That DIRECTOR shall periodically evaluate the CITY's progress in complying with the terms of this Contract. CITY shall cooperate fully during such monitorings. DIRECTOR shall report the findings of each monitoring to the CITY and Orange County Board of Supervisors. If it is determined by the Board of Supervisors that CITY performance or progress on performance is unsatisfactory, the Board of Supervisors may withhold further funding on the project pending resolution of the unsatisfactory condition(s), or may terminate this Contract. In addition, the Board of 9 Supervisors may require the CITY to reimburse COUNTY any funds that it determines to be 10 improperly expended or not expended on the project in a timely manner based on 11 applicable CDBG Program Regulations. 12_-- i. That if it is determined by HUD that funds were not expended in ,compliance with the applicable Federal laws and regulations. CITY will refund to COUNTY within ninety 90 days thereafter such sums as were determined by HUD to have been 11 improperly expended. 16 j. When the project is completed, all unexpended funds remaining will be 17 returned to the COUNTY as soon as practicable, but in any event, within 180 days 18 thereafter. DIRECTOR may then reallocate returned funds to another Urban County 19 project (s) previously approved by the Board of Supervisors. Returned funds as such, may 20 be allocated by the DIRECTOR up to the lesser amount of ten percent (10%) of total 21 Contract funds provided herein Section 5.a. or Ten Thousand Dollars ($10,000.00) . 22 k. Should the COUNTY receive returned funds from other Urban County 23 projects, funding for this Contract, upon proof of anticipated cost overruns, may be 24 increased at the discretion and upon written authorization of the DIRECTOR up to the 2511 -lesser amount of ten percent (10%) of total Contract funds provided herein Section 5.a. 2u or Ten Thousand Dollars ($10,000.00). 27 1. To assume responsibility for compliance with the California 28 Environmental Quality Act (CEQA) and to provide COUNTY with necessary information to -4- 1 2 3 4 5 6 7 8 9 10 11 12 b. COUNTY shall not be responsible for any costs which exceed the approved ,CDBG funding amount as referenced in Section 5.a. unless otherwise provided in advance as referenced in Section 4.k. Contract No. C40834 comply with the National Environmental Policy Act (NEPA) prior to ccmmencing project implementation. This may include, when applicable, CITY preparation of NEPA documentation in coordination with County staff. 5. Project Funding: a. Project will be financed under this Contract as follows: Design and Inspection $ 4,500.00 (Four Thousand Five Hundred Dollars and no/100) . Construction Dollars and no/100) . and no/100) . Total CDBG Funds $.40,500.00 (Forty Thousand Five Hundred $45,000.00 (Forty-five Thousand Dollars 17 18 19 20 21 22 23 24, c. Payment by the COUNTY to the CITY shall be on a reimbursable basis unless CITY has been authorized and issued cash advances by COUNTY under this Contract. d. Cash advances requested by the CITY under this Contract shall be made by the COUNTY to the CITY if the following conditions are met: (1) The CITY has demonstrated to DIRECTOR through certification in a form prescribed by DIRECTOR and subsequently through performance, its willingness and capacity to establish CITY financial procedures that will minimize the time elapsing between the receipt of funds and proper disbursement of such funds. (2) The CITY certifies to DIRECTOR, that the CITY's financial management system meets the standards for fund control and accountability prescribed in Office of Management and Budget Circular No. A-102, as amended from time to time. 2c. (3) The CITY complies with the cash advance procedures required by 27 financial procedures of EMA. These procedures require that upon written receipt of 28 funds from the COUNTY, the CITY shall disburse payment (s) to vendor(s) within five ( 5) -5- 1 2 3 4 5 6 7 8 9 10 11 6. CITY must inform the DIRECTOR 1,%V.; A; reports requested by EMA ' staff) of any income generated by the expenditure of CDBG funds received by the CITY; and that per applicable Federal requirements, certain program income must be paid to the COUNTY (e.g.,, interest earned on CDBG cash advances) ; and/or, the CITY may retain such program income only if that program income is used exclusively for eligible activities, Contract No. C40834 I working days and submit evidence of such disbursement (s) (i.e., warrant copies, etc.) to i Ithe COUNTY. If the CITY is subsequently found, by DIRECTOR, to be in noncompliance with Section 5.d.(1) through Section 5.d.(3), CITY shall be paid on a reimbursable basis. e. Reimbursable basis payments, as referred to in Section 5.c. above, and/or cash advances described in Section 5.d. above, shall be made in accordance with EMA financial procedures. In the event of conflict between EKk financial procedures and any applicable statutes, rules or regulations of HUD, including Office of Management and Budget Circular No. A-102, the latter shall prevail. ki 18 19 20 21 22 23 Iat -the discretion of the-- DIRECTOR, and in accordance with all CDBG requirements as may then apply. a. CITY shall keep and maintain appropriate records on the use of any such program income as may be required by EMA staff since the COUNTY has the responsibility of monitoring and reporting program income to HUD. b. In the event of CITY close-out or change in status of the participating CITY in the Urban County CDBG Program, any program income at that time or received subsequent to the close-out or change in status shall be paid by CITY to the COUNTY 241 within 90 days thereafter. 25 7. Any proposed modification or change in use of real property acquired or 26 improved in whole or in part by CDBG funds from that planned at the time of the 27 acquisition or improvement, including disposition, must be reported by CITY to the 28 COUNTY and receive COUNTY concurrence thereto in advance of implementing the -6 1 2 3 4 5 6 7 14 15 16 17' 18 19 20 21 22 23 24 ! Contract No. C40834 11 modification or change in use. a. Should the disposition, sale or transfer of such real property acquired or improved in whole or in part using CDBG funds result in a use which does not qualify under CDBG Regulations, the COUNTY shall be reimbursed by CITY in an amount equal to the current fair market value (less any portion thereof attributable to expenditures of non- j CDBG funds) . b. Any program income generated from the disposition, transfer or sale of such property prior to or subsequent to the CITY close-out or change in status of the CITY in the Urban County CDBG Program may be either used by CITY for other specific eligible activities in the CITY or paid to the COUNTY for other eligible Urban County activities, as determined in advance of the expenditure at the discretion of the COUNTY. 8. CITY shall obtain an annual audit performed in accordance with OMB Circular A128 and forward a copy to DIRECTOR. DIRECTOR shall have the right to ensure that 11 necessary corrective actions are made by the CITY for any audit findings pertinent to �I CITY handling of funding attributable to the CDBG Program per Federal requirements. 9. Neither COUNTY nor any officer nor employee thereof shall be responsible for { any damage or liability occurring by reason of any action or omission of CITY or its agents, associates, contractors, subcontractors, materialmen, laborers, or any other persons, firms, or corporations furnishing or supplying work service, materials, or supplies in connection with CITY's performance of this Contract and from any and all claims and losses accruing or resulting to any persons, firm or corporation for personal injuries or property damage resulting from or as a consequence of, CITY's performance of _. i I this Contract under.or in connection with any work, authority or jurisdiction delegated to CITY under this Contract. It is also understood and agreed that, pursuant to u 2F ''alif.ornia Government Code Section 895.4, CITY shall fully indemnify, defend and hold 26 COUNTY harmless from any liability imposed for injury (as defined by California 27 Government Code Section 810.8) occurring by reason of any action or omission of CITY 28 under or in connection with any work, authority or jurisdiction delegated to CITY under �i -7 1 2 3 4 5 6 7 8 9 10 11 delegated to COUNTY under this Contract. It is also understood and agreed that, pursuant to California Government Code Section 895.4, COUNTY shall fully indemnify, defend and hold CITY harmless from any liability imposed for injury (as defined by California Government Code Section 810.8) occurring by reason of any action or omission of COUNTY under or in connection with any work, authority or jurisdiction delegated to COUNTY under this -Contract. COUNTY shall act in an independent capacity and not as Contract No. C40834 Ithis Contract. CITY shall act in an independent capacity and not as officers, employees dor agents of COUNTY. 10. -Neither CITY nor any officer nor employee thereof shall be responsible for any damage or liability occurring by reason of any action or omission of COUNTY, its agents, associates, contractors, subcontractors, materialmen, laborers, or any other persons, firms, or corporations furnishing or supplying work, service, materials, or supplies in connection with COUNTY's performance of this Contract and from any and all claims and losses accruing or resulting to any persons, firm or corporation for personal injuries or property damage resulting from or as a consequence of COUNTY's performance of this Contract under or in connection with any work, authority or jurisdiction 19- L, 91, 14 15 16 17 18 19 20 21 22 23 24 2F1 26 27 28 officers, employees or agents of CITY. 11. Where contract funds are withheld, and at the request and expense of CITY, COUNTY will accept securities equivalent to the amount withheld. Such substituted security, meeting the requirements of Government Code Section 4590, shall be deposited with COUNTY, or with a State or Federally chartered bank as escrow agent. If security lis deposited with an escrow agent, it shall be covered by an escrow agreement. 12. In the event of CITY's failure to comply with the provisions of this Contract, COUNTY may withhold or require CITY reimbursement of funds, and/or terminate '-his Contract, and/or allocate funds previously assigned to this Contract to another eligible project(s) within the Urban County. ,-8- Contract No. C40834 1 IN WITNESS WHEREOF, CITY has caused this Contract to be executed by its Mayor 2 and attested by its Clerk; COUNTY has caused this Contract to be executed by the 3 Chairman of the Board of Supervisors and certified by Clerk of the Board, all having 4 been duly authorized by the City Council of CITY and the Orange County Board of 5 Supervisors., 6 7 8 Dated: 9 10 ATTEST: 11 1" City Clerk 13 14 15 Dated: 16 17 SIGNED AND CERTIFIED THAT A COPY OF 18 THIS DOCUMENT HAS BEEN DELIVERED TO THE CHAIRMAN OF THE BOARD. 19 20 LINDA D. RUTH Clerk of the Board of Supervisors 21 of Orange County, California 22 APPROVED AS TO FORM: ADRIAN RUYPER, COUNTY COUNSEL 23 ORANGE COUNTY, CALIFORNIA 24 By 2F y� /CD ti !/ c/, cam, ti i, 26 ij JMH: bjgWP8-4 (C40840) 27 11/13/89 28 CITY OF TUSTIN By Mayor COUNTY OF ORANGE, a political subdivision of the State of California By -9- COUNTY n f1 Pte-' I ...: «� r = Li J j vnnn i *Orange Street (Tustin High . g School) Area. (includes alleys•, not shown)