HomeMy WebLinkAbout102621 NEIGHBOR TO NEIGHBOR - CONTRACT - AGREEMENT MISC - NEIGHBOR TO NEIGHBOR (6)RECIPIENT CONTRACT FOR
AFFORDABLE HOUSING FUNDS
THIS CONTRACT is entered into this LI day of;;'(, ��>>�!u� , 20r'Yby and between
THE CITY OF FORT COLLINS, COLOR -ADO, a municipal corporation (hereinafter referred to as
"the City") and NEIGHBOR TO NEIGHBOR, INC. (N2N), a Colorado non-profit corporation,
(hereinafter referred to as "the Recipient).
WITNESSETH:
WHEREAS, Recipient is a private, non-profit corporation, regulated by Section 501(c)(3) of
the Internal Revenue Code; and
WHEREAS, the City desires to provide N2N with Affordable Housing Funds to rehabilitate
several affordable housing properties which serve very low income families of Fort Collins, and
believes that funding the Recipient will further this objective; and
WHEREAS, providing housing for very low income families through the efforts of the
Recipient fttrthers the City's overall housing program goals; and
WHEREAS, the parties hereto desire to set forth their respective commitments and
understandings in achieving the above -stated objective.
NOW, THEREFORE, in consideration of the mutual promises of the parties and other good
and valuable consideration, it is agreed as follows:
I. WORK TO BE PERFORMED BY RECIPIENT.
The Recipient will replace flooring in eight properties which provide affordable housing
which will be occupied only by families earning at or below 50% of Fort Collins Area Median
Income (AMI). In consideration of the performance of said work by Recipient, the City will provide
affordable housing funding in the amount established in Paragraph 2 hereof, which funds shall be
used for rehabilitation of those certain real properties located in the City of Fort Collins, County of
Larimer, State of Colorado, more particularly described in Exhibit "A" attached hereto and
incorporated herein by this reference (the "Property").
2. PAYMENT.
In consideration of the rehabilitation of the properties and the continued provision of
affordable housing by the Recipient, the City agrees to loan to the Recipient the sum of Thirty three
thousand six hundred and no/I 00 dollars ($33,600.00), as a due on sale loan with a five percent (5%)
simple interest charge. The Recipient shall repay the loan from the City in the event of sale of the
Property. The City's obligation to provide funding under this Contract shall terminate on December
EXHIBIT B
Deed Restriction
RECORDED AT REQUEST OF: The City of Fort Collins
WHEN RECORDED RETURN TO: Advance Planning Department
City of Fort Collins
P. O. Box 580
Fort Collins CO 80522-0580
AGREEINIENT OF RESTRICTIVE COVENANTS AFFECTING REAL PROPERTY
THIS AGREEMENT OF RESTRICTIVE COVENANTS AFFECTING REAL
PROPERTY ("Agreement") is executed by and between the CITY OF FORT COLLINS, a
Colorado municipal corporation ("City''), and NEIGHBOR TO NEIGHBOR, INC.
("Developer"), with reference to the following:
A. Developer is the owner of that certain real property (the "Property") located in
the City of Fort Collins. County of Larimer, State of Colorado, more particularly described in
Exhibit "A" attached hereto and incorporated herein by this reference (the "Property").
B. The City and Developer have entered into a "Recipient Contract" under the
Affordable Housing Program, dated concerning the rehabilitation of the
Properties listed ("Project"), with the implementation of this Agreement to provide restrictive
covenants for affordable housing upon completion of rehabilitation.
NOW, THEREFORE, in consideration of the foregoing and for good and valuable
consideration, receipt and sufficiency of which is acknowledged by the parties, the City and
Developer hereby agree as follows:
I17
ARTICLE 1. DEFINITIONS
The definitions of terms in the Recipient Contract shall be used as definitions of terms
in this Agreement.
ARTICLE 2. TERM; RECORDATION; BINDING EFFECT
The term of this Agreement shall be five (5) years, commencing upon the Project
Completion. unless such teen is extended or earlier terminated. This Agreement shall be
recorded as a restrictive covenant in the Office of the Larimer County. Colorado, Clerk and
Recorder. This Agreement, and the terms and conditions hereof, shall run with the land and
shall be binding upon and inure to the benefit of the parties hereto. and their respective
successors and assigns, as provided herein.
ARTICLE 3. RESTRICTED UNITS
a. During the Period of Affordability, all Project units will be held for rental in a
manner which qualifies the Project as affordable housing.
b. During the Period of Affordability. the Developer will comply requirements
concerning_ tenant and participant protections.
C. Notwithstanding anything contained in this Article to the contrary, the
Developer shall have the right to make the units subject to more restrictive rental restrictions
than those provided for in the Recipient Contract.
ARTICLE 4. INSPECTION
The Developer shall cooperate fully with City in undertaking and operating the Project
and shall afford reasonable access to the Project during normal working hours upon twenty four
(? l) hours written notice from the City.
ARTICLE 5. DEFAULVENFORCEMENT
Failure or delay by the Developer to perform any term or provision of this Agreement
constitutes a default under this Agreement provided, however, the Developer shall not be
deemed to be in default if the Developer cures, corrects or remedies such default within sixty
(60) days after receipt of a notice from the City of the default. The City may not institute
proceedings against the Developer in default until the time for cure, correction, or remedy of a
default has expired. Subject to the obligations of the City to first provide the notice of default
and allow the opportunity to cure as provided above, in the event of a default, the City may
declare the Developer ineligible for any further participation in future City Agreements, in
addition to other remedies as provided by law; and may withhold the Grant and/or Loan funds
until such time as the default is cured. Upon any default of the Developer under this
Agreement, the City may seek specific performance of this Agreement.
ARTICLE 6. EFFECT OF COVENANTS
The City- is deemed beneficiary of the terms and provisions of this Agreement and of the
restrictions and covenants running with the land for and in its own right and for the purpose of
protecting the interests of the community and other parties, public or private, in whose favor and for
whose benefit the covenants running with the land have been provided. The covenants in favor of
the City shall run without regard to whether the City has been, remains, or is an owner of any land or
interest therein in the Project.
ARTICLE 7. GENERAL PROVISIONS.
a. Concurrent Remedy. No right or remedy herein conferred on or reserved to City is
exclusive of any other right or remedy herein or by law or equity provided or permitted; but each
shall be cumulative of every other right or remedy given hereunder or now or hereafter existing by
law or in equity or by statute or otherwise, and may be enforced concurrently therewith or from time
to time.
b. Waiver. No covenant or condition of this Agreement can be waived except by the
written consent of the party to be charged, signed by the appropriate authorities of that party.
Forbearance or indulgence by one party in any regard whatsoever shall not constitute a waiver of the
covenant or condition to be performed by the other party. A waiver of one covenant or condition by
one party does not grant or imply a waiver of any other covenant or condition to be performed by the
other party. Each party shall be entitled to invoke any remedy available to it under this Agreement or
by law or in equity despite said forbearance or indulgence.
C. Entire Agreement and Amendments. This Agreement integrates all of the terms and
conditions mentioned herein, or incidental hereto, and supersedes all negotiations and previous
agreements between the parties with respect to all or any part of the subject matter hereof. All
references herein to this Agreement shall mean and include the Exhibits hereto unless the context
otherwise requires. All amendments and modifications hereto must be in writing and signed by the
appropriate authorities of the City and the Developer.
d. Severability. If any term, provision, covenant, or condition of this Agreement is held
by a court of competent jurisdiction to be invalid, void, or unenforceable, the remainder of this
Agreement shall not be affected thereby to the extent such remaining provisions are not rendered
impractical to perform taking into consideration the purposes of this Agreement. In the event that all
or any portion of this Agreement is found to be unenforceable, this Agreement or that portion which
is found to be unenforceable shall be deemed to be a statement of intention by the parties; and the
parties further agree that in such event, and to the maximum extent permitted by law, they shall take
12
all steps necessary to comply with such procedures or requirements as may be necessary in order to
make valid this Agreement or that portion which is found to be unenforceable.
e. Venue. If either party to this Agreement initiates any legal or equitable action to
enforce the terms of this Agreement, to declare the rights of the parties under this Agreement, or
which relates to this Agreement in anv manner, City and the Developer agree that the proper venue
for any such action is the Larimer County, Colorado District Court.
f. Authority of Signatories to Bind Principals. The persons executing this Agreement
on behalf of their respective principals represent that they have been authorized to do so and that they
thereby bind the principals to the terms and conditions of this Agreement.
g. Notices and Demands Between the Parties. All notices and demands between the City
and the Developer shall be in writing and shall be given either by (i) personal service, (ii) delivery by
reputable document delivery service such as Federal Express that provides a receipt showing date
and time of delivery, or (iii) mailing in the United States mail, certified mail, postage prepaid, return
receipt requested, addressed to the Developer as follows:
Developer's Address:
Neighbor to Neighbor. Inc.
1550 Blue Spruce
Fort Collins CO 30524
Notices personally delivered or delivered by document delivery service shall be deemed effective
upon receipt. Notices mailed shall be deemed effective on the fifth business day following deposit in
the United States mail. Such written notices and demands shall be sent in the same manner to such
other addresses as either party may from time to time designate by mail.
h. Assignment and Transfer.
a. The Developer shall have the right to sell, transfer, convey and assign the
Project and its rights and obligations under this Agreement at any time subject to the prior
written consent of the City, which consent shall not be unreasonably withheld, provided,
however, that such City consent shall not be required in connection with any of the
following:
(1) The conveyance or dedication of any portion of the Project to the City
or other appropriate governmental agencies, or the granting of easements or permits
to public utilities to facilitate the construction of the Project, or
(2) Subject to the rental and/or ownership restrictions set forth in Article 3
hereof, the rental or sale to affordability -qualified buyers of units in the Project, or
13
(3) The encumbering of the Project by Liens and Mortgages if subordinate
to this Agreement and authorized in the Agreement (as applicable) or this Agreement,
or
(4) The replacement of personal property or fixtures.
b. All of the terms, covenants and conditions of this Agreement shall be binding
upon the Developer and the permitted successors and assigns of the Developer. Whenever
the term "Developer" is used in this Agreement, such term shall include any other permitted
successors and assigns as herein provided.
h. Counterparts. This Agreement may be executed in counterparts, each of which shall
be deemed to be an original, and such counterparts shall constitute one and the same instrument.
14
IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date
first written hereinabove.
CITY: THE CITY OF FORT 4OLLINS, COLORADO,
a Municipal rpo ation
a�
Date: �� � � By:
Darin A. Atteberry
City Manager
ATTEST: APPRO . D AS TO FORM:
*.eA r--
City Clerk Deputy City Attorney
DEVELOPER: Neighbor to Neighbor, Inc.
Date: By:
Printed Name:
Title: Board President
ATTEST:
oard Secretary
15
STATE OF COLOR IDO )
)ss.
COUNTY OF LARIMER ) ��
Subscribed and sworn to before me this ` day of IK 20 b , by
Darin A. Atteberrti. as City Manager and Wanda Krajicek, as City Clerk of the City of Fort Collins,
Colorado, a Colorado municipal corporation. G O N
2q
WITNESS ✓IY HAND AND OFFICIAL SEAI.. [ S E `' NOTARY � `�
My commission expires: �9. PUBLIC
:Q
GF���-��P
l 6 V Gl�i
otary Public
STATE OF Colorado )
)ss.
COLTiTY OF Larimer )
S bscribed and sworn to before me this �J � day of /C.`e�/�t/� aG�� by
as Board President of Neighbor to Neighbor.
WITNESS MY HAND AND OFFICIAL SEAL.
My commission expires:
� 3 aoio
—r
r
otary Public
EXHIBIT C
Project Budget
Total funding amount: $33.600
Estimated funding for each property:
Azalea
$
2,400
Aztec
$
1.200
Clearview
$
21400
Coachlight
$20,400
Conifer (613)
$
1,200
Conifer (619)
$
1.200
Crabtree
$
2,400
Ponderosa
$
2,400
17
31. 2010. and shall be contingent upon full compliance by the Recipient with all terms and
conditions as set forth herein. The terms and conditions of the aforesaid loan are more particularly
set forth in the Deed Restriction attached hereto and incorporated herein as Exhibit "B", which Deed
Restriction shall be executed by the Recipient concurrently with the execution of this Contract.
3. .AFFORDABILITY.
The Recipient will lease the Property to third parties (the "Occupants") who will occupy the
Property as personal residences. The Occupants must be families earning at or below 50% of Area
Median Income. The Recipient shall identify such low-income families and qualify and counsel
them to assume the responsibility of tenancy during the term of this Contract. The Property shall be
owned, in fee, by the Recipient, dedicated to occupancy for a period of not less than five (5) years
from the date of execution of the Deed Restriction by families meeting the income requirements
described above.
4. TERM.
The term of this Contract shall correspond to the term of the Deed Restriction described in
paragraph '' hereof.
5. PROJECT MONITORING.
The City will monitor the performance of the Recipient against the performance standards
required herein. Substandard performance as determined by the City will constitute default hereof
The Recipient shall maintain all eligibility documentation on the Occupants that supports the low-
income benefit criteria of such Occupants for a period of five (5) years from the date of occupancy.
6. PROGRAM INCOME.
Program income generated from the rental of this Property shall be used by Recipient to provide
housing for very low-income families.
7. TERMINATION/DEFAULT.
This Contract may be terminated by the City in the event of default by the Recipient. If the
Recipient dissolves its corporate status, becomes inactive, becomes insolvent, or otherwise fails to
comply with the terms of this Contract, Recipient maybe declared in default. In the event of default,
the Recipient shall remit to the City all monies heretofore paid by the City to Recipient under this
Contract.
8. INSURANCE.
Recipient agrees at all times to keep in full force and effect on the Property commercial
general liability insurance, fire and casualty insurance in an amount not to be less than the value of
all improvements on the Property.
9. COMPLIANCE WITH STATE IMMIGRATION LAW
SECTION 1.1 COMPLIANCE WITH LAWS
The Recipient, in performance of this Agreement, agrees to comply with all applicable
Federal, State and Local Laws and ordinances, and other policies and guidelines established for
the City of Fort Collins. Recipient agrees to comply with all provisions of the Americans with
Disabilities .Act and all regulations interpreting or enforcing such act.
SECTION 1.2 COMPLIANCE WITH C.R.S. § 24-76.5-103 (HB1023): Proof of Latin ful Presence
Recipient acknowledges that the City's Affordable Housing Funds are a "public benefit."
As such, the Recipient shall ensure compliance with C.R.S. § 24-76.5-103 of State statue by
performing the required verifications. Specifically, when required the Recipient shall ensure that:
a. If the public benefit provided by the funds flows directly to a natural person (i.e., not a
corporation, partnership, or other legally -created entity) 18 years of age or older, he/she must do
the followina:
(i) complete the affidavit attached to this Agreement as Exhibit "C".
(ii) attach a photocopy of the front and back of one of the following forms of identification: a
valid Colorado driver's license or Colorado identification card; a United States military card or
military dependent's identification card; a United States Coast Guard Merchant Mariner
identification card; or a Native American tribal document.
b. If an individual applying for the benefits identified herein executes the affidavit stating
that he/she is an alien lawfully present in the United States, Recipient shall verify hislher lawful
presence through the federal systematic alien verification or entitlement program, known as the
"SAVE Program," operated by the U.S. Department of Homeland Security or a successor
program designated by said department. In the event Recipient determines through such
verification process that the individual is not an alien lawfully present in the United States, the
Recipient shall not provide benefits to such individual with the City's Affordable Housing Funds.
City acknowledges that the Scope of Services provided by Recipient herein may fall
within several exceptions to the verification requirements of C.R.S. § 24-76.5-103 for non-
profits. For example. certain programs, services, or assistance such as. but not limited to, soup
kitchens, crisis counseling and intervention, short-term shelter or prenatal care are not subject to
the verification requirements of C.R.S. § 24-76.5-103.
SECTION 1.3 COMPLIANCE WITH C.R.S. § 8-17.5-101 (HB 1343): Prohibition Against
Employing Illegal Aliens
Recipient represents and agrees that:
As of the date of this Agreement:
Recipient does not kno%vingIv employ or contract with an illegal alien; and
Recipient has participated or attempted to participate in the basic pilot employment verification
program created in Public Law 208. 104th Congress, as amended, and expanded in Public Law
156, 108th Congress. as amended, administered by the United States Department of Homeland
Security (the "Basic Pilot Program") in order to verify that Recipient does not employ any illegal
aliens.
Recipient shall not knowingly employ or contract with an illegal alien to perform works
under this Agreement or enter into a contract with a subcontractor that fails to certify to Recipient
that the subcontractor shall not knowingly employ or contract with an illegal alien to perform
work under this Agreement.
Recipient shall continue to apply to participate in the Basic Pilot Program and shall in
writing verify same every three (3) months thereafter, until Recipient is accepted or the public
contract for services has been completed, whichever is earlier. The requirements of this section
shall not be required or effective if the Basic Pilot Program is discontinued.
Recipient is prohibited from using Basic Pilot Program procedures to undertake pre -employment
screening of job applicants while this Agreement is being performed.
If Recipient obtains actual knowledge that a subcontractor performing work under this
Agreement knowingly employs or contracts with an illegal alien, Recipient shall:
Notify such subcontractor and the City within three days that Recipient has actual knowledge that
the subcontractor is employing or contracting with an illegal alien; and
tr
Terminate the subcontract with the subcontractor if within three days of receiving the
notice required pursuant to this section the subcontractor does not cease employing or contracting
with the illegal alien; except that Recipient shall not terminate the contract with the subcontractor
if during such three days the subcontractor provides information to establish that the
subcontractor has not knowingly employed or contracted with an illegal alien.
Recipient shall comply with any reasonable request by the Colorado Department of Labor
and Employment (the "Department") made in the course of an investigation that the Department
undertakes or is undertaking pursuant to the authority_ established in Subsection 8-17.5-102 (5),
C.R.S.
4
If Recipient violates any provision of this Agreement pertaining to the duties imposed by
Subsection 8-17.5-102, C.R.S. the City may terminate this Agreement. If this Agreement is so
terminated, Recipient shall be liable for actual and consequential damages to the City arising out
of Contractor's violation of Subsection 8-17.5-102, C.R.S.
The City will notify the Office of the Secretary of State if Recipient violates this
provision of this Agreement and the City terminates the Agreement for such breach.
10. GENERAL PROVISIONS.
A. Notices. Communications and details concerning this Contract shall be directed to the
following Contract representatives:
City
Affordable Housing Program
Advance Planning Department
City of Fort Collins
P.O. Box 580
Fort Collins. CO 80522-0580
(970) 221-6376
Recipient
Wendie Robinson, Executive Director
Neighbor to Neighbor. Inc.
1550 Blue Spruce
Fort Collins. CO 80524
(970)484-7498
B. Independent Contractor. Nothing contained in this Contract is intended to, or shall be
construed in any manner, as creating or establishing the relationship of employer/employee between
the parties. The Recipient shall at all times remain an independent contractor with respect to the
services to be performed under this contract. The City shall be exempt from payment of all
unemployment compensation, FICA, retirement, life and/or medical insurance and workers
compensation insurance.
C . No Third Partv Beneficiaries. None of the terms or conditions of this Contract shall give
or allow any claim, benefit, or right of action by any third person not a party hereto.
D. No Co -Partnership. Nothing contained in this Contract is intended or shall be construed
as in any way establishing the relationship of co-partners or joint venturers between the parties hereto
or as construing the Recipient, including its agents and employees, as an agent of the City.
E. Indemnification. Recipient shall indemnify and save harmless and defend the City, its
officers, and employees, against all claims, liabilities, damages, fines, penalties, and costs arising
during or after the term of this Contract from any work done or provision made by Recipient, or
Recipient's employees, agents or subcontractors, arising out of or resulting from performance of this
Contract.
F. Entire Apreement/Governing Law. The provisions set forth in the Contract, and all
attachments of this Contract constitute the entire agreement between the parties hereto and no
statement. promise. conditions, understanding, inducement or representation, oral or written, express
or implied, which is not contained herein shall be binding or valid. This Contract shall be governed
under the laws of the State of Colorado.
G. Binding Effect/Assianability. This Contract shall be binding upon the parties hereto and
their respective successor and assigns. This Contract shall not be assigned or transferred by the
Recipient to any other party without the written consent of the City.
H. Fair Mean inu/Amendment/WaiveriInvalidation. The provisions of this Contract shall be
construed as to there fair meaning, and not for or against any party based upon any attributes to such
party of the source of the language in question. This Contract may be amended only by mutual
agreement of the parties set forth in writing. No waiver of any breach or default under this Contract
shall be a waiver of any other or subsequent breach or default. Invalidation of any specific provision
of this Contract shall not affect the validity of any other provision of this Contract.
6
IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date
first written herein above.
CITN
Date: �z Ilq b
TTEST:
City Clerk
RECIPIENT:
Date:
THE CITY OF FORT C �LINS, COLORADO
a Municipal Corpo at on
By:
FO�T�` Darin Atte . City Manager
O . 0
S�
L
C10
ORAOfl.
APPROVED S TO F RIVI:
Deputy Cit Morney
NEIGHBOR TO NEIGHBOR, INC.
a/k/a N2N
l l/
By:
Wendie Robinson. Executive Director
Bv:
President, Board of Director
7
STATE OF COLORADO )
)ss.
COUNTY OF LARI;vIER ) 11 t
Subscribed and sworn to before me this I day of rcQ(iyLt� 200� by Darin.
Atteberry, as City Manager and Wanda Krajicek, as City Clerk of the City of Fort Collins, Colorado,
a Colorado municipal corporation.
WITNESS MY HAND AND OFFICIAL SEAL.
My commission expires:
o
STATE OF C'OLORADO I
)ss.
COUNTY OF LARIMER )
Subscribed and sworn to before me this
by Wendie Robinson, as Executive Director and
Neighbor to Neighbor, Inc.
WITNESS MY HAND AND OFFICIAL SEAL.
My commission expires:
SEA soh>
NOTARY(
PUBLIC :r'
Notary Public
,zoos
day of AJ&OIX , 2eTT
oard President of
V notPublic
[ S �AREN�
��' • AC., O
80
Foy Co���
EXHIBIT A
Legal Description of Properties
1620 Azalea
Condominium Units C. D. G. and H. AZALEA CONDOMINIUMS, According to the
map recorded July 13, 1978 in Book 1873 at Page 395 and in accordance with and subject to
Condominium Declaration for Azalea Condominium Association Recorded July 13, 1978 in
Book 1873 at Page 396, County of Larimer, State of Colorado.
713 Aztec Drive
Lot 3, Less the NLY 26 ft thereof plus the NLY 39 ft of lot 2. GRANADA HEIGHTS
aka: 713 Aztec Drive.
1550 Blue Spruce
ALL OF COACHLIGHT PLAZA — FILING ONE, a subdivision in the City of Fort
Collins, according to the record plat thereof, County of Larimer, State of Colorado, now known
as THE REPLAT OF COACHLIGHT PLAZA, A PLANNED UNIT DEVELOPMENT, located
in a portion of the Northwest quarter of Section 1, Township 7 North, Range 69 West of the 61h
P.M., in the City of Fort Collins, County of Larimer, State of Colorado.
2404 Clearview
Lot 1. CLEARVIEW APARTMENTS, City of Fort Collins, County of Larimer, State of
Colorado
613 Conifer
Lot I of the Replat of Lots 1 and 2, EVERGREEN PARK THIRD FILING., County of
Larimer, State of Colorado.
619 Conifer
Lot 1B, Replat of Replat of Lot 1 and 2, EVERGREEN PARK THIRD FILING, City of
Fort Collins, County of Larimer, State of Colorado
2405-2413 Crabtree
POR TR D ALVN MILLER FOOTHILLS 1ST. FTC.
1041 Ponderosa
BEG AT PT WH BEARS S 89 45' E 205 FT FROM NW COR OF TR ;D% TH S 0 15'
W 81 FT, S 46 46' W 19.41 FT, S 43 14' E 69.83 FT, N 46 46' E 68.01 FT; TH ALG ARC 15
FT RAD CUR L, 12.16 FT, L/C N 23 30' 30" E 11.85 FT, N 0 15' E 72.36 FT ALG WRLY
RJW PONDEROSA DR; TH ALG ARC 15 FT RAD CUR L, 23,56 FT, L/C N 44 45' W 21.21
FT, N 89 45' W 73 FT TROB, ALVN L MILLER FOOTHILLS 1 IT, FTC.
we