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CM-2023-112 - 5/19/2023COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) - COMMUNITY HOUSING REPAIR AND REHABILITATION HOMEOWNER AGREEMENT This CDBG CommV`ast Housing Repair and Rehabilitation Homeowner Agreement (Agreement), is made this day of �, 2'1, between the CITY OF ROUND ROCK, Texas, 22Main Street, Round R ck, Texas (CITY), and Raul and Yolinda Rodriguez, whose address is 506 Edwards Drive, Round Rock, Texas 78664, Texas (collectively the HOMEOWNER). RECITALS WHEREAS, the CITY has been awarded grant funds which may be spent by the CITY for the provision of certain services authorized under the U.S. Department of Housing and Urban Development (HUD) Community Development Block Grant (CDBG) Program; and WHEREAS, CITY wishes to assist qualified homeowners in the minor rehabilitation of their residence by providing a grant to pay a contractor for labor, materials and equipment to be utilized in the rehabilitation; and WHEREAS, HOMEOWNER has qualified for the rehabilitation of CHAPEL HILL NORTH SEC 1, BLOCK D, LOT 33, a subdivision in Williamson County, Texas, also known as 506 Edwards Drive, Round Rock, Texas 78664, as specified in the Work Write -Up Bid Document, attached hereto and incorporated herein as Exhibit "A". NOW THEREFORE, for and in consideration of the mutual promises and covenants set forth herein, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the CITY and HOMEOWNER agree as follows: ARTICLE 1 GENERAL REQUIREMENTS 1.1 CITY will pay a contractor, by separate agreement attached hereto and incorporated herein as Exhibit "C" (Contractor's Agreement), $21,710.00, (Contract Price) for labor, materials and equipment utilized in the rehabilitation of HOMEOWNER's above -referenced property, as specified in the Work Write -Up Bid Document. Funds will not be used to pay HOMEOWNER or members of its family. 1.2 The Contract Price and any approved change orders will not total more than $27,137.50. ARTICLE 2 HOMEOWNER'S RESPONSIBILITIES 2.1 HOMEOWNER has qualified for a grant under the Low to Moderate Income guidelines as set forth in Section 8, Income Limits established and amended annually by HUD, attached hereto and incorporated herein as Exhibit "B". 4859-2950-6916.ss2 CA+ 2023 412- 2.2 HOMEOWNER has resided in and been the owner(s) of the residence to be rehabilitated for at least one (1) year prior to the submission of its application. 2.3 The residence to be rehabilitated is not located in a flood zone area as defined in CITY's Flood Insurance Map, produced by the Federal Emergency Management Agency, or if it is located in a flood zone, HOMEOWNER has sufficient flood insurance, which HOMEOWNER will keep current for at least five (5) years after receiving the award. 2.4 All property taxes on the property are paid up to date, including CITY, County and applicable School District Taxes. 2.5 The residence is not under a Contract for Deed, or any similar purchase agreement, in which HOMEOWNER does not obtain legal title until final payment is made. HOMEOWNER has not received HUD Program assistance for the preceding five (5) years. 2.6 HOMEOWNER understands and agrees that the work performed by contractor will be inspected by the Construction Advisor, as defined in the City of Round Rock Housing Repair and Rehabilitation Program Policies and Procedures, and a City Inspector before any funds are paid out and the rehabilitation is completed. ARTICLE 3 OTHER PROGRAM REQUIREMENTS 3.1 DISCRIMINATION. HOMEOWNER will not exclude any person from participation in, deny the benefits of or subject the person to discrimination under any of the contractor's activities while receiving federal financial assistance on the grounds of race, color, religion, sex, national origin, age or disability. 3.2 INTEREST OF MEMBERS, OFFICERS, EMPLOYEES OF PUBLIC BODY, MEMBERS OF LOCAL GOVERNING BODY, OR OTHER PUBLIC OFFICIALS. No member, officer, or employee of CITY, or its designees or agents, no member of the City Council, and no other public official of CITY during his/her tenure or for one (1) year thereafter, will have any interest, direct or indirect, in any contract or subcontract, or the proceeds thereof, for work to be performed in connection with the program assisted under this Agreement. 3.3 PROHIBITION OF BONUS OR COMMISSION. The assistance provided under this Agreement will not be used in payment of any bonus or commission for the purpose of obtaining CITY approval of the application for such assistance. 3.4 STATUTE OF LIMITATIONS. As between the parties to this Agreement, as to all acts or failures to act by either party to this Agreement, any applicable statute of limitations will commence to run and any alleged cause of action will be deemed to have accrued in any and all events when the party commencing said cause of action knew or should have 2. known of the existence of the subject act(s) or failure(s) to act. 3.5 INDEMNIFICATION. HOMEOWNER will defend, indemnify, and hold CITY, its successors, assigns, officers, employees and elected officials harmless from and against all suits, actions, legal proceedings, claims, demands, damages, costs, expenses, attorney's fees, and any and all other costs or fees arising out of, or incident to, concerning or resulting from this Agreement, no matter how, or to whom, such loss may occur. Nothing herein will be deemed to limit the rights of CITY or HOMEOWNER (including, but not limited to the right to seek contribution) against any third party who may be liable for an indemnified claim. 3.6 CHANGE ORDERS. HOMEOWNER expressly agrees that no material changes or alterations in the Work Write -Up Bid Document or Contract Price provided above will be made unless in writing, mutually agreed to by HOMEOWNER and the CONTRACTOR, and authorized by CITY. 3.7 TERMS. All references in this Agreement to any particular gender are for convenience only and will be construed and interpreted to be of the appropriate gender. For the purposes of this Agreement the term "will" is mandatory. 3.8 SEVERABILITY. Should any provision in this Agreement be found or deemed to be invalid, this Agreement will be construed as not containing such provision, and all other provisions which are otherwise lawful will remain in full force and effect, and to this end the provisions of this Agreement are declared to be severable. 3.9 PUBLIC INFORMATION ACT. The City of Round Rock is governed by the Texas Public Information Act, Chapter 552 of the Texas Government Code. This Agreement and all written information generated under this Agreement may be subject to release under this Act. ARTICLE 4 SUSPENSION AND TERMINATION 4.1 If HOMEOWNER fails to fulfill in a timely and proper manner their obligations under this Agreement, or violates any of the terms or conditions of this Agreement, then HOMEOWNER will have ten (10) days from the date it receives written notice from CITY directing it to cure or correct the defects or failures to comply. Should HOMEOWNER fail to make corrections as directed by CITY, and such breach of contract results in a violation of federal law or regulation for which CITY receives a demand of reimbursement of grant funds from HUD or its successor, CITY may terminate this Agreement immediately, and may recover from HOMEOWNER the amount sought by HUD for reimbursement, up to the full amount of the award. 4.2 HOMEOWNER will not be relieved of the liability to the CITY for damages sustained by CITY by virtue of any breach of this Agreement by HOMEOWNER. 3. 4.3 If CITY becomes aware of any HOMEOWNER activity which could jeopardize CITY's position with HUD and cause CITY to return CDBG funds or other federal funds received by CITY, CITY may take appropriate action, including injunctive relief against HOMEOWNER, to terminate or prevent the activity. Failure of CITY to exercise this right will not constitute a waiver by CITY of its right to demand payment or to seek any other relief in law or in equity to which it may be entitled. ARTICLE 5 ATTORNEY'S FEES 5.1 Any party to this Agreement who prevails in any legal proceedings between the parties regarding this Agreement will be entitled to recover court costs and reasonable attorney's fees from the non -prevailing party. ARTICLE 6 VENUE AND REMEDIES 6.1 This Agreement is governed by the laws of the State of Texas. Exclusive venue for any dispute arising under this Agreement is in Williamson County, Texas. ARTICLE 7 SUCCESSORS AND ASSIGNS 7.1 CITY and HOMEOWNER, respectively, bind themselves, their successors, assigns and legal representatives to the other party to this Agreement and to the successors, assigns and legal representatives of the other party with respect to all covenants of this Agreement. Neither CITY nor HOMEOWNER will assign, sublet, or transfer any interest in this Agreement without the written consent of the other. ARTICLE 8 ENUMERATION OF CONTRACT DOCUMENTS 8.1 This Agreement represents the entire and integrated agreement between CITY and HOMEOWNER for the work specified in Exhibit "A" and supersedes all prior negotiations, representations or agreements either written or oral. This Agreement may be amended only by written instrument signed by CITY and HOMEOWNER. The Agreement contains the following exhibits attached to and incorporated in this Agreement for all purposes: (1) Work Write -Up Bid Document (Exhibit "A") (2) HUD Section 8 Income Limits (Exhibit "B") (3) Contractor's Agreement (Exhibit "C") [Signatures are on the following page_] 4, This Agreement is effective as of the date first written above. HOMEOWNER: LiW/ R•.*.n Tfr� Raul Rodriguez 1 .. i� .I 1 r .►/ s �1 '.. - 5. CITY: City of Round Rock, Texas Laurie Hadle , ity Ma er EXHIBIT "A" WORK WRITE-UP BID DOCUMENT 6, Attachment A -Quote Sheet -Revision 1 Location 3 - RFO TR042623 Communitv Develooment Block Grant 1MAGt Hnma Ranaire Item S Repair Item Location Repair Item Scope of work Cost 1 HVAC HVAC/Furnace Replace outdoor AC unit. Contractor must calculate size of unit based on size of house_ House is 1099 sq. ft. Add code requ'red disconnect for AC unit. Add service GFCI outlet near AC unit (within 25 R of AC unit). Replace concrete pad. $ 12,625.00 Br ng entire cabinet up to code. Opening 12" from bottom and 12" from top. Replace AC air handler and furnace to include thermostat. 2 Roof Roof Replace total root $ 9,O85.07 3 6hrpagey 6hrmney $ 3,50990 FRAIGh TOTAL COST: S 25,210 w Note: Line item 3 has been removed from final award. TR Adjusted Total $ 21,710.00 Company Name: Farnum Enterprises, cnc dba B&O Construct on Contact Name: Paul Farnum Contact Email: Paul@bnoconstruc4on.com EXHIBIT "B" INCOME LIMITS FY 2022 MAXIMUM INCOME CHART Household Size Maximum Income 80% of the Area Median 1 person $61,800 2 persons $70,600 3 persons $79,540 4 persons $88,250 5 persons $95,350 6 persons $102,400 7 persons $109,450 8 persons $116,500 Source: U.S. Department of Housing & Urban Development. These income figures are subject to change annually. EXHIBIT "C" CONTRACTOR'S AGREEMENT City of Round Rock 11R,Z,OUND ROCK xA; Agenda Item Summary Agenda Number: Title: Consider executing a CDBG Community Housing Repair and Rehabilitation Homeowner Agreement with Raul Rodriguez and Yolinda Rodriguez for property at 506 Edwards Drive, Round Rock, Texas 78664. Type: City Manager Item Governing Body: City Manager Approval Agenda Date: 5/19/2023 Dept Director: Joe Brehm Cost: $21,710.00 Indexes: Attachments: LAF - CDBG Home Repair Homeowner Contract Raul and Yolinda Rodriguez, Homeower agreement 506 Edwards Drive Department: Community and Neighborhood Services Text of Legislative File CM-2023-212 Consider executing a CDBG Community Housing Repair and Rehabilitation Homeowner Agreement with Raul Rodriguez and Yolinda Rodriguez for property at 506 Edwards Drive. Mr. and Mrs. Rodriguez applied and met all the requirements to be eligible for the CDBG home repair program. Improvements to their home include replacement of HVAC system, and roof. The total cost of the project is expected to be $21,710.00 and not to exceed $27,137.50 with any necessary change orders. The selected contractor to do this work is Farnum Enterprises dba B&O Construction. Cost: $21,710.00 Source of Funds: CDBG Program Funds City of Round Rock Pagel of 1