R-06-04-13-10E5 - 4/13/2006RESOLUTION NO. R -06-04-13-10E5
WHEREAS, the City of Round Rock has been awarded grant funds
which may be spent for the provision of certain services authorized
under the U.S. Department of Housing and Urban Development Community
Development Block Grant Program, and
WHEREAS, the City of Round Rock wishes to assist qualified
homeowners in the minor rehabilitation of their residence by providing.
a non-interest bearing loan to pay a contractor for labor, materials
and equipment to be utilized in the rehabilitation, and
WHEREAS, the City Council desires to enter into a Community
Development Block Grant - Community Housing Repair Program Homeowner
Agreement with Shameika and Minnie Brown for the rehabilitation of Lot
31, Block R, Greenslopes at Lakecreek Section 10B, also known as 1314
E. Logan Street ("Property"), and
WHEREAS, the City Council desires to enter into a Community
Development Block Grant - Community Housing Repair Program Contractor
Agreement with All Tex Building & Restoration, Inc. for the
rehabilitation of the Property, Now Therefore
BE IT RESOLVED BY THE COUNCIL OF THE CITY OF ROUND ROCK, TEXAS,
That the Mayor is hereby authorized and directed to execute on
behalf of the City, a Community Development Block Grant - Community
Housing Repair Program Homeowner Agreement with Shameika and Minnie
Brown, and a Community Development Block Grant - Community Housing
Repair Program Contractor Agreement with All Tex Building &
Restoration, Inc., a copy of said agreements being attached hereto as
Exhibit "A" and Exhibit "B" and incorporated herein for all purposes.
@PFDesktop\:: ODMA/WORLDOX/O:/WDOX/RESOLUTI/R60413E5.WPD/sc
The City Council hereby finds and declares that written notice of
the date, hour, place and subject of the meeting at which this
Resolution was adopted was posted and that such meeting was open to the
public as required by law at all times during which this Resolution and
the subject matter hereof were discussed, considered and formally acted
upon, all as required by the Open Meetings Act, Chapter 551, Texas
Government Code, as amended.
RESOLVED this 13th day of April, 2006.
T ST:
WELL, ayor
Ci y of Round Rock, Texas
CHRISTINE R. MARTINEZ, City Secr-tary
2
COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) -
COMMUNITY HOUSING REPAIR PROGRAM HOMEOWNER AGREEMENT
This CDBG Community Housing Repair Program Homeowner Agreement (Agreement), is
made this day of , 2006, between the City of Round Rock, Texas, 221 East Main
Street, Round Rock, Texas ("CITY"), and Shameika Brown and Minnie Brown, 1314 E. Logan
Street, Round Rock, Texas, 78664, (collectively, "HOMEOWNER").
RECITALS
WHEREAS, the CITY has been awarded grant funds which maybe 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 non-interest bearing loan to pay a contractor for labor, materials and
equipment to be utilized in the rehabilitation; and
WHEREAS, HOMEOWNER has qualified for the rehabilitation of Lot 31, Block "R",
Greenslopes at Lake Creek -Section Ten -B, a Subdivision in Williamson County, Texas,
according to the map or plat thereof recorded in Cabinet G, Slide 130, Plat Records of
Williamson County, Texas, also known as 1314 E. Logan Street, as specified in the Statement of
Work, 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:
1.1
ARTICLE 1
GENERAL REQUIREMENTS
CITY will pay a contractor, by separate agreement attached hereto and incorporated herein as
Exhibit "C" ("Contractor's Agreement"), $8,366.00 ("Contract Price") for labor, materials and
equipment utilized in the rehabilitation of HOMEOWNER's above -referenced property, as
specified in the Statement of Work. 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 $15,000.00.
1.3 The loan awarded is forgivable provided the terms of this Agreement are met.
00091450
EXHIBIT
"A"
ARTICLE 2
HOMEOWNER'S RESPONSIBILITIES
2.1 HOMEOWNER has qualified for a non-interest bearing loan 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".
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 In order for the loan to be forgiven, the HOMEOWNER shall retain ownership of the
residence rehabilitated for at least five (5) years from the date of the Real Estate Lien Note and
Deed of Trust securing the loan awarded attached hereto and incorporated herein as Exhibits
"D" and "E". Should the residence be sold prior to the expiration of the five (5) years, CITY
will be reimbursed the full amount of the award, $8,366.00, as per the requirements of the Real
Estate Lien Note.
2.4 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.
2.5 All property taxes on the property are paid up to date, including CITY, County and applicable
School District Taxes.
2.6 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.
2.7 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 Minor Home
Repair 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,
2
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 known of
the existence of the subject act(s) or failure(s) to act.
3.5 LIEN. HOMEOWNER agrees that a lien shall be placed against the property for a period of
five (5) years after the work performed by the contractor has been approved by the
Construction Advisor.
3.6 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.
3.7 CHANGE ORDERS. HOMEOWNER expressly agrees that no material changes or
alterations in the Statement of Work or Contract Price provided above will be made unless in
writing, mutually agreed by HOMEOWNER, the contractor and authorized by CITY.
3.8 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.
3.9 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.
3.10 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.
3
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.
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.
4
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 arguments 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:
Statement of Work (Exhibit "A")
HUD Section 8 Income Limits (Exhibit "B")
Contractor's Agreement (Exhibit "C")
Real Estate Lien Note (Exhibit "D")
Deed of Trust (Exhibit "E")
This Agreement is effective as of the date first written above.
HOMEOWNER: CITY:
City of Round Rock
Name
Minnie Brown Title
5
EXHIBIT "A"
STATEMENT OF WORK
Contractor Signature
Bid Due Date: 1/24/2006
PROJECT TYPE: Minor Rehabilitation
Manual Spec Quantity Unit
BATHROOM #1
LL
(/)
LO0
W
N
o 0
ai a) ai
ENTIRE TUB SURROUND.
TS
c
a)
O
(0 =
C U L
a) O•C
0 — (0
E g.,N O
W 9-'
N (' VD OO
U II
C 0 a) C
CO a) ca
a) cL a) a. 0 a)
F- X V
= 0RI ws
cn 17 c7)
Eo
mites c
Q (0 C -'X
O .2 0 3 .2 a)
co
o 2
z 0
D 0
O CC
Ct 0W
cc CO
J
CO
F- h- 0
U
Ili W
F -W OCC
Z CC CC W
WQ as
ELECTRICAL
a) a)
0) 0
c = Q
U Q)
_ 0)
O 0
> c)_5
r' -N (0
X LL
7
U
LL 0ct
Q
CL m 3
Qa) � C
a)0c0
a)(1
L a3
CO
a) (0 (0
U
+- O a) a)
.C.-) 1:5
EXTERIOR
1314 E. Logan St.
Monday, December 05, 2005
Q
w
w
Q Q
w w w w
r r T T
MQ 0 Q
w M ,---
‘--
-J
0
F—
a
w
0
wrt•
c W
O N
W
I— W
Q
0 LI-
E
LO CC
w 0
O LL
a)
a) _.c N N'0 c)0 O
= 0c — 'c
as L O O t0 N X O To 0
c
c O O> o' _c c_c to a) c c
L O a)
�+ y U a) LO �i (-5
N N w O
m O U .c = .L _ O O--3 (6 ` 'V
U a) a
a76 a °' a°i ÷6,-c m� L L
on. m°., �axiv- o >> 1:6 ii;
2 \Q' O U a) 0 C U U U O
O Oz
a) c a LL as ca j as �O/ as - U LL 0
+O, w. > O (6 • .c a .c a 11 (l c c o —
c . O a) O a) v) a) ' a) a) o O ca N
a) 0 O U a) _7_ 7 !Y N -O r) IY »- 0 3
a>)s•c a) av) u_ a= c� m
d 3 o a a•O (UC a) .c > c ° 0 O lL
o c .. a) v) Y 0. 0 0 0 CD
EC O 00 d' @ X a),_.s 2 a c0
O to N° W O N p° 5 E TO U
W m .Q 0 I— c U 0 0 fA -o > O Q O c
I— RQg
W 11) co LI ti co Q)
c 0
E ca
0 oS c
0.CO—
t6
m 0
L Q
N
co 0
c
O
Round Rock, 7X
Monday, December 05, 2005
N
w
N
2
0)
W
W U)
J = >. m
gw�u
QO
CC w Y f-
W W O O W
UOOU
QQ
J • W 2 J
CL UU CL
CCCC0ma
w
c*')
co
0
M
C
E
t j m C tU
II
0> " _c a) 0 Z' N E y to c • co
— ap 0 -0 vi w. _0
.- 0 0 N _U .. V a) E N °) 0 0
0 C) L O. W cu .E -3 0— 0 0 o ca c)
1<r-7, a) 0 > El 13 '10 a o)— ) •
.60
a�>Q CKU)° o ma) ma) 0o
0 w 'x • D fl. 0 = Y ca U
_ aj — o co n L
c
a _) = o m e c0 (0 � E Y o a) a) a) �`
N ,, �' a'5 c 0 o N 0 c ..r as 0 x a)
CC a) -,-,1- , = y a 3 co �a o n
ani 3 F= `ocaa))ao aniwc�
ca
- cow o p� ° 0 N ig cn o - r,
0"m = �Yo a)cfCcn U°oc
W fto ° .3N 0 o aw 0 0L 0O
U aT.= CM a Y0 3To �0irn
Q n— _moo m 0Y� x o v, a)
CC E�°� aIaw O U? .�Z ;7:. U)
cp c)nm3cati W Ocn.o
U
w
Q H U
= e- Z e- M et H
r- .- Y n -- in
a
0
H
Round Rock, TX
Monday, December 05, 2005
EXHIBIT "B"
INCOME LIMITS
MAXIMUM INCOME CHART
Household Size
Maximum Income (80% of the Area Median)
1 person
$39,800
2 persons
$45,500
3 persons
$51,200
4 persons
$56,900
5 persons
$61,450
6 persons
$66,000
7 persons
$70,550
8 persons
$75,100
Source: U.S. Department of Housing & Urban Development. These income figures are
subject to change annually.
Effective February 11, 2005
EXHIBIT "C"
CONTRACTOR'S AGREEMENT
COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) -
COMMUNITY HOUSING REPAIR PROGRAM CONTRACTOR AGREEMENT
This CDBG Community Housing Repair Program Contractor Agreement (Agreement), is made
this day of , 2006, between the City of Round Rock, Texas, 221 East Main Street,
Round Rock, Texas ("CITY"), and ALL TEX BUILDING & RESTORATION, INC., 12711
Woodcreek Drive, Willis, Texas 77317 ("CONTRACTOR").
RECITALS
WHEREAS, CITY has been awarded grant funds which may be spent by 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 non-interest bearing loan to pay CONTRACTOR for labor, materials and
equipment to be utilized in the rehabilitation; and
WHEREAS, CITY will pay CONTRACTOR for labor, materials and equipment to be utilized in
the rehabilitation of Lot 31, Block "R", Greenslopes at Lake Creek -Section Ten -B, a Subdivision of
Williamson County, Texas, according to the map or plat thereof recorded in Cabinet G, Slide 130, Plat
Records of Williamson County, Texas, also known as 1314 E. Logan Street, Round Rock, Texas, as
specified in the Statement of Work, 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,
CITY and CONTRACTOR agree as follows:
ARTICLE 1
GENERAL REQUIREMENTS
1.1 CITY will pay CONTRACTOR $8,366.00 ("Contract Amount"). Funds will not be used to
pay the homeowner or members of its family.
1.2 Payment will be made by CITY for all work described in the Statement of Work after it is
found to be satisfactorily completed and inspected by the Construction Advisor, as defined in
the City of Round Rock Minor Home Repair Program Policies and Procedures, and the CITY
Inspector. If CONTRACTOR is requesting payments of the Contract Amount prior to the
completion of all work described in the Statement of Work, CONTRACTOR will submit a
performance bond to CITY as part of this Agreement. CITY will pay CONTRACTOR for
work in accordance with CITY'S Prompt Payment Policy, as defined in the City of Round
Rock Minor Home Repair Program Policies and Procedures.
1.3 CONTRACTOR will not deviate from the work described in the Statement of Work without a
change order from CITY. Any such change order will be included in an amendment to this
00096177
Agreement. The Contract Amount and any change orders will not exceed a total of
$15,000.00.
1.4 All work specified in the Statement of Work will be satisfactorily completed within ninety (90)
days from the date of the Notice to Proceed.
ARTICLE 2
CONTRACTOR'S RESPONSIBILITIES
2.1 CONTRACTOR will ensure that all work performed under this Agreement is permitted and
inspected by CITY's Building Inspection Division. CONTRACTOR agrees to be duly
licensed under CITY ordinances and State laws and be responsible for obtaining the building
permit.
2.2 CONTRACTOR understands that it is solely responsible for meeting the terms and conditions
of this Agreement. If CONTRACTOR fails to properly perform or complete any of the work
specified in the Statement of Work, CONTRACTOR will not receive funding for any work
that is found to be improperly performed or incomplete.
2.3 CONTRACTOR understands that a performance bond is required as part of this Agreement if
CONTRACTOR is requesting payments of the Contract Amount prior to the completion of all
work described in the Statement of Work.
2.4 CONTRACTOR understands that the job will be inspected by a CITY Inspector and
Construction Advisor before any funds will be paid out.
2.5 CITY will provide a Notice to Proceed to CONTRACTOR to commence work.
CONTRACTOR agrees to start work within thirty (30) calendar days after receipt of the
Notice to Proceed. If CONTRACTOR fails to commence work within thirty (30) days from the
date on the Notice to Proceed, CITY will have the right to terminate this Agreement, by
providing a written notice of termination to CONTRACTOR.
2.6 CONTRACTOR agrees to complete the work within ninety (90) days from the date of the
Notice to Proceed. If completion is delayed for reasons beyond the CONTRACTOR's control,
CONTRACTOR will provide timely notice to CITY of the reasons for such delay. If such
good cause is claimed by CONTRACTOR, it will be CONTRACTOR'S obligation to
substantiate its claim by adequate documentation.
2.7 CONTRACTOR affirms that it has not been debarred from performing federal contract work.
ARTICLE 3
OTHER PROGRAM REQUIREMENTS
3.1 PERMITS AND CODES. CONTRACTOR agrees to secure and pay for all necessary permits
and licenses required for CONTRACTOR'S performance and to adhere to applicable local
2
codes and requirements whether or not covered by the Statement of Work, including any
CONTRACTOR registration requirements.
3.2 DISCRIMINATION. CONTRACTOR 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.
3.3 WARRANTY. CONTRACTOR agrees to provide a full one-year warranty to the
homeowner, said warranty will extend to subsequent owners of the property to be improved.
The warranty will provide that improvements hardware, and fixtures of whatever kind or
nature installed or constructed on said property by the CONTRACTOR are of good quality
and free from defects in workmanship or materials or deficiencies subject to the warranty
provided in this paragraph. CONTRACTOR and CITY agree, however, that the warranty set
forth in this paragraph will apply only to such deficiencies and defects as to which
homeowner or subsequent owners will have given written notice by certified mail to the
CONTRACTOR, at its principal place of business, within one (1) year from the date of the
final inspection and acceptance by the CITY Inspector that all work under the Agreement has
been completed.
3.4 BID. CONTRACTOR acknowledges that it has prepared the CONTRACTOR'S Bid,
attached hereto and incorporated herein as Exhibit "B" and that such Bid is accurate and
consistent as to the name of CONTRACTOR, scope of work that the CONTRACTOR will
under -take, and price. CONTRACTOR acknowledges the performance requirement
established in the Statement of Work and warrants that all work undertaken will conform to
said specifications.
3.5 REMOVAL OF DEBRIS. Upon completion of work CONTRACTOR agrees to remove all
construction debris and surplus material from the property and leave the property in a neat
and clean condition.
3.6 SUBCONTRACTORS. CONTRACTOR agrees that all the warranties contained herein will
apply to all work performed under this Agreement, including that performed by any
Subcontractors.
3.7 FRAUDULENT ACTS. CONTRACTOR nor any of its officers, partners, owners, agents,
representatives, employees, subcontractors or parties in interest has in any way colluded,
conspired, connived or agreed, directly or indirectly with any other Bidder, firm, or person to
submit a collusive or sham Bid in connection with CONTRACTOR for which the Bid has
been submitted or to refrain from bidding in connection with this Agreement, or has in any
manner, directly or indirectly, sought by agreement or collusion or communication or
conference with any other Bidder, firm, or person to fix any overhead, profit, or cost element
of the Bid price or the Bid price of any other Bidder, or to secure through any collusion,
conspiracy, connivance, or unlawful agreement, any advantage against CITY or any person
interested in this Agreement; and the price or prices quoted are fair and proper and are not
3
tainted by any collusion, conspiracy, connivance or unlawful agreement on the part of
CONTRACTOR or any of its agents, representatives, owners, employees, or parties in
interest.
3.8 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.
3.9 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.
3.10 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 known of
the existence of the subject act(s) or failure(s) to act.
3.11 INDEMNIFICATION. CONTRACTOR 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
the fault of CONTRACTOR, or CONTRACTOR's agents, employees or subcontractors, in
the performance of CONTRACTOR's obligations under this Agreement, no matter how, or
to whom, such loss may occur. Nothing herein will be deemed to limit the rights of CITY or
CONTRACTOR (including, but not limited to the right to seek contribution) against any
third party who may be liable for an indemnified claim.
3.12 CHANGE ORDERS. CONTRACTOR expressly agrees that no material changes or
alterations in the Statement of Work or price provided above will be made unless in writing,
mutually agreed by the homeowner, CONTRACTOR and authorized by CITY.
3.13 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.
3.14 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.
3.15 PUBLIC INFORMATION ACT. The CITY is governed by the Texas Public Information
4
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.
3.16 PERFORMANCE. In performing this Agreement, CONTRACTOR will comply with all
local, state and federal laws.
3.17 LIEN WAIVERS. CONTRACTOR agrees to protect, defend, and indemnify homeowner and
CITY from any claims for unpaid work, labor, or materials with respect to CONTRACTOR'S
performance. Final payment will not be paid until the CONTRACTOR has delivered to
CITY complete release of all liens for work completed arising out of CONTRACTOR'S
performance or a receipt in full, covering all labor and materials for which a lien could be
filed or a bond satisfactory to the homeowner and CITY indemnifying him against any lien.
3.18 REPORTING REQUIREMENTS. CONTRACTOR agrees to submit a Substitute W9 Form,
attached hereto and incorporated herein as Exhibit "C" to fulfill reporting requirements with
the Internal Revenue Service.
ARTICLE 4
SUSPENSION AND TERMINATION
4.1 If CONTRACTOR fails to fulfill in a timely and proper manner its obligations under this
Agreement, or violates any of the terms or conditions of this Agreement, then the
CONTRACTOR will have ten (10) days from the date it receives written notice from CITY
directing it to cure or correct the defects. If CONTRACTOR fails to cure or correct the
defects, CITY will have the right to terminate this Agreement and to select a substitute
CONTRACTOR. If the expense of finishing the work exceeds the amount of this Agreement,
CONTRACTOR will pay the difference to CITY. Should CONTRACTOR 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 CONTRACTOR the amount sought by HUD for reimbursement, up to the full amount
of funds CONTRACTOR received from CITY.
4.2 CONTRACTOR will not be relieved of the liability to CITY for damages sustained by the
CITY by virtue of any breach of this Agreement by CONTRACTOR. CITY may withhold
payment to CONTRACTOR until the amount of monetary damages due CITY from
CONTRACTOR is determined.
4.3 If CITY becomes aware of any CONTRACTOR 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
CONTRACTOR, 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.
5
ARTICLE 5
PAYMENTS
5.1 For work completed by CONTRACTOR, as described in the Statement of Work, CITY
agrees to pay CONTRACTOR the Contract Amount after the work is found to be
satisfactorily completed and is inspected by the Construction Advisor and CITY Inspector, in
accordance with the CITY'S Prompt Payment Policy; or if a performance bond is present,
CITY agrees to make payments to CONTRACTOR of the Contract Amount prior to the
completion of all work described in the Statement of Work, in accordance with CITY'S
Prompt Payment Policy.
ARTICLE 6
ATTORNEY'S FEES
6.1 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 7
VENUE AND REMEDIES
7.1 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 8
SUCCESSORS AND ASSIGNS
8.1 CITY and CONTRACTOR, 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 CONTRACTOR will assign, sublet, or transfer any interest in this Agreement
without the written consent of the other.
ARTICLE 9
ENUMERATION OF CONTRACT DOCUMENTS
9.1 This Agreement represents the entire and integrated agreement between CITY and
CONTRACTOR for the work specified in Exhibit "A" and supersedes all prior negotiations,
representations or arguments either written or oral. This Agreement may be amended only by
written instrument signed by CITY and CONTRACTOR. The Agreement contains the
following exhibits attached to and incorporated in this Agreement for all purposes:
(1) Statement of Work (Exhibit "A");
(2) Bid (Exhibit "B"); and
(3) Substitute W9 Form (Exhibit "C").
6
ARTICLE 10
ACKNOWLEDGMENT
10.1 The above warranties are in addition to, and not in limitation of, any and all other rights and
remedies to which CITY and the homeowner, or subsequent owners, may be entitled, at law
or in equity, and will survive the conveyance of title, delivery of possession of the property,
or other final settlement made by the homeowner and will be binding on the undersigned
notwithstanding any provision to the contrary contained in any instrument heretofore, and
thereafter executed by the homeowner.
This Agreement is effective as of the date first written above.
CONTRACTOR: CITY:
ALL TEX BUILDING & RESTORATION, INC. City of Round Rock
Name
res ja-
Name
Title Title
7
EXHIBIT "A"
STATEMENT OF WORK
z
Bid Due Date: 1/24/2006
I(75
Or c F-
,J O
.a'w-04
c
CCS co
0 co
Manual Spec Quantity Unit
BATHROOM #1
w
0
w
2 a 0
O) d) O) r
ENTIRE TUB SURROUND.
o 2
z 0
D 0
O CC
IY0
CCw
D 03J
CO
1- ~ o
U
W
�
W 0o
wQ CL. EL
c
z a)
2 te+
a) c L 3
O -- U —
—
U E
E E t N O -0
a) Ts
U _ 0 C m
N a. ')
0 X
C o w (1 _n2N
U r
as O O a) i
= 1:2E X � O0
0
j >o � .'t ix 2
U > N "a N 0 )
— 'E .11.2, 0) 2 2
E as ii c c 0)
2V;ami 3
a) m 0- .x — u
0 0 3 V, a) (9 c
N M
ELECTRICAL
0) O
c Q
O U 0
a v)
CU C
> 0)•
N C 5
•N tB
3
lL o c
(0 Q
Q � C
Y
U rL.
O co
L n3
m w..
77 Ua_a2 0
w
1--
w
Round Rock, TX
1314 E. Logan St.
Monday, December 05, 2005
W
N
w
r
w
w
0
M
W
J
0
1—
d
W
0
w
W
ON
W W
t— w
Q
0 W
0c
WO
0 LL.
w
a) c
Q 0
ton .� •+�� y U 'C — .O c c
a) 0 co
= 0 " cSf C U 7) w a) N 3 o (II
C r O rn 0)c`o„v > � c c 0
O .' - Q. O O ,.. O U U °zS U
C O O> ,—)Ts O cp C t U) a) C C — C O C
Zi) U y =o,� N N ,L •O 5 .0 C f6 N 0) 0)
> (6 e U Q a) a) U a) �. 0' U °� C N c
a) O a +- x d) O ( W' N L- p Y co a)
00 0. G 0 a) (A -9 ( a) >O > °6 >O (0 .� p
=3 o (a cC 0000 07 (7>fU U
45 O O C O. LL c O (B a) ( 'O U L.L. O O 0 0 O
0 w > (9 c0 t a -c Q O D. C c 0— o c ;._,
C ... O 0 0 N v) a) Q) _O a) cv O N 0
> 0 c a0i a Dct 03 T:7) (X a) -45
0 3 c3s"n �
�� Ur (� aLT ) (� •c ---,3
�U � Lao E 7
CL 3 Lu ca Oa O U o) .0 (7) 00 OO LO LL `y a) '- O 0
a) 0 -8_45 (13 c— > c x c O cu o_ 0
c ..a) a)n 0 o=0 a) a)> ca —r
LO m O a 0. 0 x O Y t -a 0 C O 2 c c6 0
�- Ir .0
� c
ce 't • • cc • o o am w 3 Qv Q aa a) rn�a
0 m=� �>a 0 w °omoo =Eoc0i 3.3 co=aa))�-'a0)
W m—.n 0I-cv 0 O(A-0s 0<-2 Oc 5rna)oa)
H
Q
WLt) co t` co a)o Z
Round Rock, TX
1314 E. Logan St.
Monday, December 05, 1005
Manual Spec Quantity Unit Enter Bid
w
A
w
L
m
/
6
ors
w ¥
o Pti6D
/ -ƒ_L
2 <o
u)J<oe
wwyw2
m• ®00/
O 0wo0
,JmW®4
W OQ<w
CLCCC9a3Ct
0 f -o
- c
1) 2 ( 2
E-° 22% co
0-ƒ�o. 2E Q
2 OS @ o\0- :
a)gaEn
13.wl E
Is 7 Q 7 IX 0 0 2
%'ƒ\ ask 0
a o i, o % E /
£ w E c m
ƒƒƒƒ ƒ¥f
a) CL : 2 \
E § E § 0 c -
: E w g 0£ o %
%a)q/ k�?
w e o 2 a o 0
�U a�f�2�f
/ CO
IQ u 2c) k
ƒ
k w
ƒ t oi
w
m
O
/
Round Rock, TX
\
f
\
Monday, December 05, 2005
EXHIBIT "B"
BID
Bid Due Date: 1/24/2006
Minor Rehabilitation
PROJECT T
•
p U
C _r c)
7
BATHROOM #1
tL
CO
Oi
ENTIRE TUB SURROUND.
-o
z
2 - L
ELECTRICAL
a) a)
0) o
c
(o a)
L 0)
.p U c
> C3) 5
CV TA -
a3
X LL..
ias
O &
Q
Q
as
U
Q
a) L
a) 11>
5— - -
E a) v cu
Lu. v
-L.) IDc
•
w
N
T
r�
r -
r
£ u
a)c
a 8-X
U 0)
_c
0
CL r5• 0
0000)
O 3 0:a
c
-a--)
0 (J)
o
0)
O 0 >,
(U • 1CL
0)
v1- c D
w
9 D(0-0 . 0<-2.. 0
0 N.
w
w
d
cci
(Y)
LU
J
0
F-
w
U
W •
tY
CCw
ON
U.1 u7
F- w
_U 1L
O Er
w0
0w
w
0
cri
a)
U • ci c 0) 0
- -L
C 0 v) "u) 0)
0)e x
ccui n) c
Q7 a • w
L
a Q — cu "o
p a) d) -c 0 a) 0- t� cd-- xa)o (u[ra)L
• a) v) o. > to 4,
00, W 0 p is u L 0
CQ. -Cn. Cr 0 0
U) 0 A a) a) .) ) (T o (t
0 fY L D p) � Qy 4 c) 3
o _
-i _ c _. > c ?C
0a 75 Qc.=a)a) C
az _c s- a >
x .- c T +- Q. V c O
w�� 0=� �0
' ao o
O c 0 T
o 8o5 EO
co
w
r-
r�
c
a
z
w
N
Q
w
Q
1
0
w 6
�1—J�
O<.JLL
tl
wQO
1.i
wLL0pw
UO<
wOa <w
tYor0mCr
Q
w
l()
•0 °E
�mo Q --0. 03E m m2
o o0 g.-Ctoa 8 CE= mLva
w D a U h5 m 0 a) E U Z7
0. -� = O y rn
1QH «C as a� > m -s.-
cu Qza 2 o m •
Cr) 'X MDQ 0 2a> _o -�L'm
L m I a) o Q— Q m V1 Q_2
Cl II U m m Q O C >(
0 C F- o m C �, E .SC a) o U
C) t6 C g ZI Vi V •' a) s
x iL Ty w C KO n81 UmOQ
C 03 ----. -0 m 2atm md�
C .0 5 L C -, '� �� U
E u& 2CD m L f- o— m 3 o a) ay c0
E 0�oo as mu°mn�,• ft 7.--7
cr N Cn -=3 aJ o Ste. 4.) , m Lo 0 z c
wcco .g c.) --
c
U Q Q 3"st 10- °0
O C n t] I
U a .S.: w c M E n 3
"0 -C
> jU tit Q:�� 0 X
=L1 Q OCO 30 U? iiia 1-111 -(2 It W
Q W Z
t- Z r 10
EXHIBIT "C"
SUBSTITUTE W9 FORM
Form W-9
(Rev. November 2005)
Department of the Treasury
Internal Revenue Service
Request for Taxpayer
Identification Number and Certification
Give form to the
requester. Do not
send to the IRS.
Print or type
See Specific Instructions on page 2.
Name (as shown on your income tax return)
Aj1 Tc_.?‹. But( c1 i ---J
.
r- ilA.l un
�_
Business name, if different from above
S -
Check appropriate
0 Partners
0 Exempt from backup
withholding
■ IndividuaV Corporation
box Sole
Other 10.hip El Oth
proprietor
Address (number, street, and apt. or suite no.)
\,-�Macreeke_ D (----
Requester's name and address (optional)
City, state, and ZIP code
F '--2-131
i\\ s '
List account number(s) here (optional)
Part I Taxpayer Identification Number (TIN)
Enter your T1N in the appropriate box. The 11N provided must match the name given on Line 1 to avoid
backup withholding. For individuals, this is your social security number (SSN). However, for a resident
alien, sole proprietor, or disregarded entity, see the Part I instructions on page 3. For other entities, it is
your employer identification number (EIN)_ If you do not have a number, see How to get a TIN on page 3.
Note. If the account is in more than one name, see the chart on page 4 for guidelines on whose
number to enter.
Part 11
Certification
Social security number
1 1 - 1 4- 1 1
or
Employer identification number
�-I01-/ I ,I( 131 0 1110
Under penalties of perjury, I certify that:
1. The number shown on this form is my correct taxpayer identification number (or I am waiting for a number to be issued to me), and
2. 1 am not subject to backup withholding because: (a) 1 am exempt from backup withholding, or (b) I have not been notified by the Internal
Revenue Service (IRS) that I am subject to backup withholding as a result of a failure to report all interest or dividends, or (c) the IRS has
notified me that I am no longer subject to backup withholding, and
3. I am a U.S. person (including a U.S. resident alien).
Certification instructions. You must cross out item 2 above if you have been notified by the IRS that you are currently subject to backup
withholding because you have failed to report all interest and dividends on your tax return. For real estate transactions, item 2 does not apply.
For mortgage interest paid, acquisition or abandonment of secured property, cancellation of debt, contributions to an individual retirement
arrangement (IRA), and generally, payments other than interest and dividends, you are not required to sign the Certification, but you must
provide your correct TIN. (See the instructions on page 4.)
Sign signature of
T
Here U.S. person IP -r / f
Purpose of Form
A person who is required to file an information return with the
IRS, must obtain your correct taxpayer identification number
(TIN) to report, for example, income paid to you, real estate
transactions, mortgage interest you paid, acquisition or
abandonment of secured property, cancellation of debt, or
contributions you made to an IRA.
U.S. person. Use Form W-9 only if you are a U.S. person
(including a resident alien), to provide your correct TIN to the
person requesting it (the requester) and, when applicable, to:
1. Certify that the TIN you are giving is correct (or you are
waiting for a number to be issued),
2. Certify that you are not subject to backup withholding, or
3. Claim exemption from backup withholding if you are a
U.S. exempt payee.
In 3 above, if applicable, you are also certifying that as a
U.S. person, your allocable share of any partnership income
from a U.S. trade or business is not subject to the
withholding tax on foreign partners' share of effectively
connected income.
Note. If a requester gives you a form other than Form W-9 to
request your TIN, you must use the requester's form if it is
substantially similar to this Form W-9.
For federal tax purposes, you are considered a person if you
are:
Date ► ?-t `-' L1f ®KJ
• An individual who is a citizen or resident of the United
States,
• A partnership, corporation, company, or association
created or organized in the United States or under the laws
of the United States, or
• Any estate (other than a foreign estate) or trust. See
Regulations sections 301.7701-6(a) and 7(a) for additional
information.
Special rules for partnerships. Partnerships that conduct a
trade or business in the United States are generally required
to pay a withholding tax on any foreign partners' share of
income from such business. Further, in certain cases where a
Form W-9 has not been received, a partnership is required to
presume that a partner is a foreign person, and pay the
withholding tax. Therefore, if you are a U.S. person that is a
partner in a partnership conducting a trade or business in the
United States, provide Form W-9 to the partnership to
establish your U.S. status and avoid withholding on your
share of partnership income.
The person who gives Form W-9 to the partnership for
purposes of establishing its U.S. status and avoiding
withholding on its allocable share of net income from the
partnership conducting a trade or business in the United
States is in the following cases:
• The U.S. owner of a disregarded entity and not the entity,
Cat. No. 10231X
Form W-9 (Rev. 11-2005)
EXHIBIT "D"
REAL ESTATE LIEN NOTE
REAL ESTATE LIEN NOTE
(Minor Home Repair Program)
Date: , 2006
Maker (whether one or more): SHAMEIKA BROWN AND MINNIE BROWN
Maker's Mailing Address (including county):
Shameika Brown and Minnie Brown
1314 E Logan Street
Round Rock, Texas, 78664
Williamson County
Payee: CITY OF ROUND ROCK, TEXAS
1. Place for Payment (including county):
CITY OF ROUND ROCK
Attn: Minor Home Repair Program Manager
221 East Main Street
Round Rock, Texas 78664
Williamson County
or any other place that Payee may designate in writing.
2. Principal Amount:
EIGHT THOUSAND THREE HUNDRED SIXTY-SIX AND NO/100 DOLLARS
($8,366.00)
3. Annual Interest Rate on Unpaid Principal from Date: The highest interest rate allowed
by law will be charged on this Note if a Default has been declared by the Note Holder as
stated in Paragraph 9 of this Note.
4. Maker's Promise to Pay
a. Purpose This Note implements requirements applicable to assistance furnished by Payee
to Maker under a program to help eligible families with minor home repairs being carried
out by Payee, which, for certain loans may use grant funds furnished by HUD through the
CDBG program. The Payee has assisted the Maker with respect to rehabilitation of the
Property, for use as the Maker's principal residence.
00091649
b. Promise to Pay Maker promises to Pay to the order of Payee at the place for payment and
according to the terms of payment the principal amount plus interest, if any, plus other
charges at the rates stated above.
5. Terms of Payment:
a. Subsidy Repayment Obligation Principal In return for assistance Maker has received
with respect to rehabilitation of the Property, Maker promises to pay the Principal
Amount as stated in Paragraph 2 to the order of Payee, payment of Principal under this
Note will be initially deferred and if necessary payable as stated in this Paragraph. The
total Principal Amount shall be due and payable on the date of an event of Default as
stated in Paragraph 9.
b. Deferral and Payment of Principal The outstanding principal balance of this Note shall
remain the same as the amount stated in Paragraph 2 until five (5) years from the date of
this Note. If the Property is sold, leased or there is a transfer of title of the property,
including transfer by contract for deed, within the five (5) years from the date of this
Note, Maker shall repay the principal loan amount to Payee. If there is no sale, lease, or
transfer of title of the Property within five (5) years from the date of this Note, the loan
shall be forgiven.
6. Security for Payment and Obligations:
a. In addition to the protections given to the Note Holder under this Note, this Note is
secured by a subordinated deed of trust, of even date, from Maker to Stephan L. Sheets,
Trustee, that conveys the Property as described below in trust (collectively, the
"Subordinate Security Instrument").
b. The lien securing this Note shall remain subordinate to the indebtedness evidenced by
one or more Notes payable to the Financial Institution as defined below, which Notes are
secured by the Senior Lien as defined below, and as renewed, extended, re -amortized, or
otherwise adjusted from time to time; provided, however, that the renewal, extension, or
other credit extension does not constitute an increase in the unpaid principal balance of
the Financial Institution's indebtedness.
c. The Subordinate Security Instrument describes the conditions under which Maker may be
required to make immediate payment in full of all amounts Maker owes under this Note.
One of those conditions set forth therein is that if all or any part of the Property or any
interest in it (including a beneficial interest) is sold or transferred without compliance
with the terms of this Note and the Subordinate Security Instrument, the Note Holder will
require immediate payment in full of all sums secured by the Subordinate Security
Instrument. In the event of such a sale, or in the event of any other Default under this
Note or the Subordinate Security Instrument, the Note Holder may give the Maker Notice
of Default and acceleration under Paragraph 9 of this Note.
2
7. Additional Definitions:
a. "Bona Fide Net Resale Proceeds" means the amount calculated by the Note Holder by
subtracting from the contract sales price between the Maker and the proposed buyer for
the Property the amounts due on the Closing Date on any "Senior Liens" and on
"Maker's Other Liens", and also subtracting the amount of any reasonable and
customary sales expenses paid by the Maker in connection with the sale, each as
determined by the Note Holder. If any part of the contract sales price for the Property is
paid in the form of a promissory Note, or any thing of value other than lawful money of
the United States, the Note Holder is hereby authorized to assign a fair market value
thereto. Maker agrees to accept such thing of value at such assigned fair market value as
part of maker's equity, or to allow it to be retained by the Note Holder as Alternate
Principal, as the Note Holder in its sole discretion may determine.
b. "Closing Date" means the date of closing of Maker's sale of the Property to a buyer, or
if there is no formal closing, the date on which the conveyance (deed) is recorded.
c. "Minor Home Repair Payment Activity" means any loan made by Payee using either
CDBG funds or other funds to assist a Homeowner with payment funds for minor repairs
on a home.
d. "Financial Institution" means MORTGAGE ELECTRONIC REGISTRATION
SYSTEMS, INC.
e. "CDBG" means Community Development Block Grant program.
f. "HUD " means the United States Department of Housing and Urban Development.
g.
"Maker's Other Liens" means unpaid liens or other charges that Maker authorized, or
allowed to exist against the Property since the date of this Note. Such liens may include,
for example, liens for money borrowed to finance additional improvements, home equity
lines of credit, and other voluntary liens, liens for unpaid taxes, special assessments,
water, sewer, and other utility charges, mechanics' liens, and other liens and charges
arising by operation of law; and judgment or other creditor's liens, any of which may
affect the amount of the sales proceeds, Maker hereby authorizes Note Holder to
determine, in Note Holder's sole discretion, the amount by which these liens or charges
reduce the Bond Fide Net Resale Proceeds for the Property, and to reduce the amount
payable to Maker as maker's equity by an equal amount.
h. "Note Holder" means the lender of any authorized party who takes this Note by
assignment and is entitled to receive amounts due under this Note.
i. "Property" means the certain real property described on Exhibit "A" attached to this
Note and by this reference incorporated in it.
3
j. "Senior Lien Note" means another Note in the original principal amount of $97,972.00,
of the 25th of July 2003, executed by Maker, payable to the order of Financial Institution,
and fully described in the Senior Lien.
k. "Senior Lien" means a deed of trust recorded or to be recorded in the real property
records of Williamson County, Texas.
1. "Subordinate Security Instrument" means the instruments identified in Paragraph 7.a.
8. Maker's Right to Prepay
Maker may make a full prepayment or partial prepayments without paying any prepayment
or interest charge. In the event of prepayment, the Note Holder will use all of Maker's
prepayments to reduce the amount of Principal that Maker owes under this Note.
9. Default
a. Events of Default Any of the following events shall constitute a Default under this Note,
as of the date of the Notice of Default under Paragraph 10:
i. Rental during term of Note. If the Maker rents or leases (including an oral lease)
the Property to any person or entity during the term of this Note, the Maker is in
Default under this Note.
ii. Failure to Occupy Property as Principal Residence during the term of the Note.
If all Makers are continuously absent from the Property for a period of more than
thirty (30) days, or move substantially all their personal possessions out of the
Property, without the written consent of the Note Holder, the Makers shall be deemed
not to be occupying the Property as their Principal Residence and shall be in Default
under this Note.
iii. Any Transfer of the Property. Any transfer of the Property or any interest therein
(including a beneficial interest) within five (5) years of the signing of this Note is a
Default under this Note. Maker authorizes the Note Holder to determine, in its sole
discretion, whether a transfer of a portion of the Property, or a partial interest therein,
or any other reason has an effect on the value of the Note Holder's interest substantial
enough to be considered a transfer for purposes of this Paragraph 9. Maker will mail,
certified mail, return receipt requested, or deliver notice of any proposed transfer and
a copy of the sales contract to the Note Holder at least fourteen (14) calendar days
before the proposed Closing Date, at the Place for Payment as stated in Paragraph 1
or any other place that Payee may designate in writing.
iv. The Property or Maker is not Eligible under CDBG. The Maker is in default
under this Note, if:
4
(1)
at the time the Note was signed by Maker, the Property:
(a) did not become the principal residence of the Maker; or
(b) was in an area identified by the Federal Emergency Management Agency as
having a special flood hazard, or, if the Property is in a flood hazard area,
flood insurance had not been obtained by Maker;
(2) at the time Maker purchased the Property, the Maker's household was not a low-
income family as stated at 24 CFR §92.217 at the later of (a) Maker's occupancy
of the Property, or (b) at the time the Principal is advanced; or
(3)
at the time Maker purchased the Property, any employee, agent, consultant,
officer, or elected or appointed official who exercises or has exercised any
functions or responsibilities with respect to activities assisted with CDGB funds
or who are in a position to participate in a decision making process or gain inside
information with regard to these activities, has obtained a financial interest or
benefit from a Minor Home Repair Payment Activity, or has an interest in any
contract, subcontract, or agreement with respect thereto, or the proceeds
thereunder, either for themselves or those with whom they have family or
business ties, during their tenure or for one year thereafter as stated at the conflict
of interest provisions of 24 C.F.R. §92.356.
v. Any Default under the Note or the Subordinate Security Instrument:
(1) If there is an uncured default in payment of any part of principal or interest of the
Financial Institution's $97,972.00 Note or in observance of any obligations or
covenants of any instruments securing it, the debt evidenced by this $8,366.00
Note shall immediately become payable at the option of Payee at the end of the
cure period.
(2) If Maker defaults in the payment of this Note or in the performance of any
obligation in any instrument securing or collateral to it, and the default continues
after Payee gives Maker notice of the default and the time within which it must be
cured by Maker, as may be required by law or by written agreement, then Payee
may declare the unpaid principal balance and earned interest on this Note
immediately due.
(3) If Maker fails to perform any of Maker's obligations in this Note or in the
instruments securing it, Payee may perform those obligations and be reimbursed
by Maker, on demand, at the place where this Note is payable for any amounts so
paid, including attorney's fees, plus interest on those amounts from the date of
payment at the annual interest rate on the matured, unpaid amount. The amount to
be reimbursed shall be secured by all instruments securing this Note.
5
vi. Any Refinancing of the Senior Lien Note. If either the Senior Lien Note is
refinanced or the Maker's equity interest in the property pursuant to Art. 16 § 50(a)(6)
of the Texas Constitution is financed and the refinancing or financing is without
Payee's prior written approval, the outstanding principal balance and accrued interest
if any, of this Note shall be due and payable as described in Paragraph 5.
vii. Maker's Fraud or Misrepresentation. Any willful misstatement of, or failure to
disclose, a material fact by Maker relating to his or her eligibility for assistance with
respect to the Property under the Minor Home Repair program under the CDBG
program is a Default under this Paragraph. Recovery against the Maker responsible
for the fraud or misrepresentation is not limited to the proceeds of sale of the
Property, but may include personal judgment and execution thereon to the full extent
authorized by law. Maker represents that all statements contained in the Application
for this loan with the City of Round Rock are true and correct.
b. Notice of Default and Amount Due If Maker is in Default, the Note Holder may send
Maker a written notice stating the reason Maker is in Default and telling Maker to pay
immediately: (i) the full amount of Principal then due on this Note, (ii) all of the interest
that Maker owes, and that will accrue until paid, on that amount, and (iii) all of the Note
Holder's costs and expenses reimbursable under Paragraph 9.c.
c. Payment of Note Holder's Costs and Expenses If the Note Holder has notified Maker to
pay immediately in full under Paragraph 10 and this Note or any instrument securing or
collateral to it is given to an attorney for collection or enforcement, or if suit is brought
for collection or enforcement, or if it is collected or enforced through probate,
bankruptcy, or other judicial proceeding, then Note Holder has the right to be repaid from
the proceeds of foreclosure for all of its costs and expenses in enforcing this Note to the
extent not prohibited by applicable law. Those expenses include, for example, all costs of
collection and enforcement, including reasonable attorney's fees and court costs, in
addition to other amounts due. Reasonable attorney's fees shall be 10% of all amounts
due unless either party pleads otherwise.
d. No Waiver By Note Holder Even if, at a time when Maker is in Default, the Note Holder
does not require Maker to pay immediately in full under Paragraph 10, the Note Holder
will still have the right to do so if Maker is in Default for the same reason, or for another
reason, at a later time.
10. Giving of Notices
Unless applicable law requires a different method, any notice that must be given to Maker
under this Note will be given by delivering it or by mailing it by first class mail to Maker at
the Property Address above, or at a different address if Maker gives the Note Holder a notice
of Maker's different address.
6
Any notice that must be given to the Note Holder under this Note will be given by mailing it
by first class mail to the Note Holder at the Place for Payment stated in Paragraph 1, or at a
different address, if Maker is given a notice of that different address.
11. Obligations of Persons under this Note
If more than one person signs this Note, each person is fully obligated to keep all of the
promises made in this Note, including the promise to pay the full amount owed from the
proceeds of sale of the Property. Any person who is a guarantor, surety or endorser of the
Note is also obligated to the same extent. Any person who takes over these obligations,
including the obligations of a guarantor, surety or endorser of this Note, is also obligated to
keep all of the promises made in this Note. The Note Holder may enforce its rights under this
Note against each person individually or against all of the persons signing the Note together.
12. Maximum Interest on the Debt
Interest on the debt evidenced by this Note shall not exceed the maximum amount of
nonusurious interest that may be contracted for, taken, reserved, charged, or received under
law; any interest in excess of that maximum amount shall be credited on the principal of the
debt or, if that has been paid, refunded. On any acceleration or required or permitted
prepayment, any such excess shall be canceled automatically as of the acceleration or
prepayment or, if already paid, credited on the principal of the debt or, if the principal of the
debt has been paid, refunded. This provision overrides other provisions in this and all other
instruments concerning the debt.
13. Waivers
Maker and any person who has obligations under this Note waive all demands for payment,
presentations for payment, notices of intention to accelerate maturity, notices of acceleration
of maturity, protests, notices of protest, the rights of presentment, and notice of dishonor to
the extent not prohibited by applicable law "Presentment" means Maker's right to require the
Note Holder formally to demand payment of amounts due. "Notice of dishonor" means the
right to require the Note Holder to give notice to other persons that amounts due have not
been paid.
14. Release and Satisfaction
This Note shall be deemed satisfied and Maker shall be entitled to a release of the
Subordinate Security Instrument upon payment of a reasonable fee, as determined by the
Note Holder, for preparation and recordation of the release under the circumstances
described in Paragraph 15, upon full prepayment under Paragraph 8, upon payment of all
amounts due upon Default under Paragraph 9, or upon recordation of a deed -in -lieu of
foreclosure.
7
15. Governing Law
To the extent not inconsistent therewith, this Note and the Subordinate Security Instrument
shall be governed by the law of the State and local jurisdiction in which the Property is
located.
Each Maker is responsible for all obligations represented by this Note.
When the context requires singular nouns and pronouns include the plural.
EXECUTED AND DELIVERED as of the ay and year first above written.
�z
SH • BROWN
flfi)y
MINNIE BROWN
ATTACHED EXHIBIT "A" - Legal Description of Property
PLEASE RETURN TO:
Sheets & Crossfield, P.C.
309 E. Main St.
Round Rock, Texas 78664
8
EXHIBIT "A"
Lot 31, Block "R", Greenslopes at Lake Creek -Section Ten -B, a Subdivision of
Williamson County, Texas, according to the map or plat thereof recorded in
Cabinet G, Slides 130-131, Plat Records of Williamson County, Texas.
9
EXHIBIT "E"
DEED OF TRUST
DEED OF TRUST
(Minor Home Repair Program)
NOTICE OF CONFIDENTIALITY RIGHTS: IF YOU ARE A NATURAL PERSON,
YOU MAY REMOVE OR STRIKE ANY OF THE FOLLOWING INFORMATION
FROM THIS INSTRUMENT BEFORE IT IS FILED FOR RECORD IN THE PUBLIC
RECORDS: YOUR SOCIAL SECURITY NUMBER OR YOUR DRIVER'S LICENSE
NUMBER.
Date: , 2006
Grantor (whether one or more): SHAMEIKA BROWN AND MINNIE BROWN
Grantor's Mailing Address (including county):
Shameika Brown and Minnie Brown
1314 E Logan Street
Round Rock, Texas, 78664
Williamson County
Trustee: Stephan L. Sheets
Trustee's Mailing Address (including county):
Stephan L. Sheets
309 East Main
Round Rock, Texas 78664
Williamson County, Texas
Beneficiary: City of Round Rock, Texas, a Texas corporation
Beneficiary's Mailing Address (including county):
City of Round Rock
Attn: Minor Home Repair Program Manager
221 East Main
Round Rock, Texas 78664
Williamson County, Texas
Note(s)
Date: , 2006
Amount: $8,366.00
00091605
Maker (whether one or more): SHAMEIKA BROWN AND MINNIE BROWN
Payee: CITY OF ROUND ROCK, TEXAS, a Texas corporation
Final Maturity Date: As provided in the Note.
Terms of Payment (optional): As provided in the Note.
Property (including any improvements):
The certain real property more particularly described on Exhibit "A" attached to this
Deed of Trust and by this reference incorporated in it, all fixtures and improvements
situated thereon and all rights, titles and interests appurtenant thereto.
Prior Lien(s) (including recording information):
The liens securing another note in the original principal amount of $97,972.00 of the 25th
of July 2003, executed by Grantor, payable to the order of MORTGAGE ELECTRONIC
REGISTRATION SYSTEMS, INC. (herein "Financial Institution"), including without
limitation the liens evidenced by that certain deed of trust and security agreement, of
even date, executed by Grantor in favor of Financial Institution and recorded in the real
property records of Williamson County, Texas.
Other Exceptions to Conveyance and Warranty:
1. Note dated of even date herewith, between Grantor and Beneficiary (the "Note"). All
obligations and covenants in the Note shall terminate on the date Beneficiary, in its
sole discretion, issues a release of all present and future rights to establish or enforce
the Deed of Trust lien that secures the Note. The release shall be in such form as to
enable it to be recorded in the real property records of Williamson County, Texas;
and
2. Easements, rights-of-way, and prescriptive rights, whether of record or not; all
presently recorded instruments that affect the Property; taxes for 2005, the payment
of which Grantor assumes; and subsequent assessments for that and prior years due to
change in land usage, ownership, or both, the payment of which Grantor assumes.
For value received and to secure payment of the Note, Grantor conveys the Property to Trustee
in trust. Grantor warrants and agrees to defend the title to the Property. If Grantor performs all
the obligations and covenants in the Note and pays the Note according to its terms, this Deed of
Trust shall have no further effect, and Beneficiary shall release it at Grantor's expense.
2
Grantor's Obligations
Grantor agrees to:
1. keep the Property in good repair and condition;
2. pay all taxes and assessments on the Property when due;
3. preserve the lien's priority as it is established in this Deed of Trust;
4. maintain, if applicable in a form acceptable to Beneficiary, an insurance policy that:
a. provides flood insurance at any time the Property is in a flood hazard area; and
b. contains such other coverage as Beneficiary may reasonably require;
5. deliver the insurance policy to Beneficiary and deliver renewals to Beneficiary at
least ten days before expiration;
6. keep any buildings occupied as required by the insurance policy;
7. if this is not a first lien, pay all prior lien notes that Grantor is personally able to pay
and abide by all prior lien instruments;
8. if all or any part of the Property or an interest in it (including a beneficial interest) is
sold or transferred without compliance with the terms of the Note and this Deed of
Trust, immediately pay in full to Beneficiary all sums secured by this Deed of Trust;
and
9. comply at all times with the terms, representations, and conditions of the Note.
Beneficiary's Rights
1. Beneficiary may appoint in writing a substitute or successor trustee, succeeding to all
rights and responsibilities of Trustee.
2. If the proceeds of the Note are used to pay any debt secured by prior liens,
Beneficiary is subrogated to all of the rights and liens of the holders of any debt so
paid.
3. If applicable, Beneficiary may apply any proceeds received under the insurance
policy either to reduce the Note or to repair or replace damaged or destroyed
improvements covered by the policy.
4. If Grantor fails to perform any of Grantor's obligations, Beneficiary may perform
those obligations and be reimbursed by Grantor on demand at the place where the
Note is payable for any sums so paid, including attorney's fees, plus interest on those
sums from the dates of payment at the rate stated in the Note for matured, unpaid
amounts. The sum to be reimbursed shall be secured by this Deed of Trust.
5. If Grantor defaults on the Note, or if Grantor fails to perform any of Grantor's
obligations, or if all or any part of the Property or an interest in it (including a
beneficial interest) is sold or transferred without compliance with the terms of the
Note and this Deed of Trust, or if default occurs on a prior lien note or other
instrument, and the default continues after Beneficiary gives Grantor notice of the
default and the time within which it must be cured, as may be required by law or by
written agreement, then Beneficiary may:
a. declare the unpaid principal balance and carried interest on the Note immediately
due;
3
b. request Trustee to foreclose this lien, in which case Beneficiary or Beneficiary's
agent shall give notice of the foreclosure sale as provided by the Texas Property
Code as then amended; and
c. purchase the Property at any foreclosure sale by offering the highest bid and then
have the bid credited on the Note.
6. If the Grantor defaults on the Note or fails to perform any of Grantor's obligations
under this Deed of Trust, the Beneficiary shall provide the Financial Institution, a
prior lienholder, with copies of all correspondence transmitted to Grantor regarding
the default or notice of acceleration.
Trustee's Duties
If requested by Beneficiary to foreclose this lien, Trustee shall:
1. either personally or by agent give notice of the foreclosure sale as required by the
Texas Property Code as then amended;
2. sell and convey all or part of the Property to the highest bidder for cash with a general
warranty binding Grantor, subject to prior liens and to other exceptions to conveyance
and warranty;
3. from the proceeds of the sale, pay, in this order:
a. expenses of foreclosure, including a commission to Trustee of five (5) percent of
the bid;
b. to Beneficiary, the full amount of principal, interest, attorney's fees, and other
charges due and unpaid;
c. any amounts required by law to be paid before payment to Grantor; and
d. to Grantor, any balance; and
4. if the prior lien has not been released, give written notice to Financial Institution that
Grantor is in default under this Deed of Trust and a copy of the notice of foreclosure
sale given Grantor.
General Provisions
1. If any of the Property is sold under this Deed of Trust, Grantor shall immediately
surrender possession to the purchaser. If Grantor fails to do so, Grantor shall become
a tenant at sufferance of the purchaser, subject to an action for forcible detainer.
2. If Grantor transfers any part of the Property without Trustee's prior written consent,
Trustee may declare the Note secured by this Deed of Trust immediately payable and
invoke any remedies provided in this Deed of Trust for default. If the Property is
residential real property containing fewer than five dwelling units or a residential
manufactured home occupied by Grantor, exceptions to this provision are limited to
(a) a subordinate lien or encumbrance that does not transfer rights of occupancy of the
Property; (b) creation of a purchase -money security interest for household appliances;
(c) transfer by devise, descent, or operation of law on the death of a co -Grantor; (d)
grant of a leasehold interest of three years or less without an option to purchase; (e)
transfer to a spouse or children of Grantor or between co -Grantors; (f) transfer to a
4
relative of Grantor on Grantor's death; and (g) transfer to an inter vivos trust in which
Grantor is an remains a beneficiary and occupant of the Property.
3. Recitals in any Trustee's deed conveying the Property will be presumed to be true.
4. Proceeding under this Deed of Trust, filing suit for foreclosure, or pursuing any other
remedy will not constitute an election of remedies.
5. This lien shall remain superior to liens later created even if the time of payment of all
or part of the Note is extended or part of the Property is released.
6. If any portion of the Note cannot be lawfully secured by this Deed of Trust, payments
shall be applied first to discharge that portion.
7. Grantor assigns to Beneficiary all sums payable to or received by Grantor from
condemnation of all or part of the Property, from private sale in lieu of condemnation,
and from damages caused by public works or construction on or near the Property.
After deducting any expenses incurred, including attorney's fees, Beneficiary may
release any remaining sums to Grantor or apply such sums to reduce the Note.
Beneficiary shall not be liable for failure to collect or to exercise diligence in
collecting any such sums.
8. Following the maturity of the above described Financial Institution loan, Grantor
assigns to Beneficiary absolutely, not only as collateral, all present and future rent
and other income and receipts from the Property. Prior to such maturity Borrower's
rights shall not arise under this paragraph 7. Leases are not assigned. Grantor
warrants the validity and enforceability of the assignment. Grantor may as
Beneficiary's licensee collect rent and other income and receipts as long as Grantor is
not in default under the Note or this Deed of Trust. Grantor will apply all rent and
other income and receipts to payment of the Note and performance of this Deed of
Trust, but if the rent and other income and receipts exceed the amount due under the
Note and Deed of Trust, Grantor may retain the excess. If Grantor defaults in
payment of the Note or performance of this Deed of Trust, Beneficiary may terminate
Grantor's license to collect and then as Grantor's agent may rent the Property if it is
vacant and collect all rent and other income and receipts. Beneficiary neither has nor
assumes any obligations as lessor or landlord with respect to any occupant of the
Property. Beneficiary may exercise Beneficiary's rights and remedies under this
paragraph 7 without taking possession of the Property. Beneficiary shall apply all rent
and other income and receipts collected under this paragraph 7 first to expenses
incurred in exercising Beneficiary's rights and remedies and then to Grantor's
obligations under the Note and this Deed of Trust in the order determined by
Beneficiary. Beneficiary is not required to act under this paragraph 7, and acting
under this paragraph 7 does not waive any of Beneficiary's other rights or remedies. If
Grantor becomes a voluntary or involuntary bankrupt, Beneficiary's filing a proof of
claim in bankruptcy will be tantamount to the appoint of a receiver under Texas law.
9. Interest on the debt secured by this Deed of Trust shall not exceed the maximum
amount of nonusurious interest that may be contracted for, taken, reserved, charged,
or received under law; any interest in excess of that maximum amount shall be
credited on the principal of the debt or, if that has been paid, refunded. On any
acceleration or required or permitted prepayment, any such excess shall be canceled
automatically as of the acceleration or prepayment or, if already paid, credited on the
5
principal of the debt or, if the principal of the debt has been paid, refunded. This
provision overrides other provisions in this and all other instruments concerning the
debt.
10. Grantor represents that this Deed of Trust and the Note are given as security for
money provided for home repairs on the Property.
11. Except where otherwise required or permitted by the Beneficiary in connection with a
transfer on death, divorce, legal separation, or legal incapacity of a Grantor as
provided in the Note, the Note and this Deed of Trust may not be assumed.
12. If Grantor fails to pay any part of principal or interest secured by a prior lien or liens
on the Property when it becomes payable or defaults on any prior lien instrument, the
debt secured by this Deed of Trust shall immediately become payable at the option of
Beneficiary.
13. Beneficiary and Grantor acknowledge and agree that this Deed of Trust is subject and
subordinate in all respects to the liens, terms, covenants and conditions of the prior
lien and to all advances heretofore made or which may hereafter be made pursuant to
the prior lien, including all sums advanced for the purpose of (a) protecting or further
securing the lien of the prior lien or (b) constructing, renovating, repairing,
furnishing, fixturing or equipping the Property. The terms and provisions of the prior
lien are paramount and controlling, and they supersede any other terms and
provisions of this Deed of Trust in conflict therewith. In the event of a foreclosure or
deed in lieu of foreclosure of the prior lien, any provisions herein or any provision in
any collateral agreement restricting the use of the Property to low or moderate income
households or otherwise restricting the Grantor's ability to sell the Property shall have
no further force or effect on subsequent owners or purchasers of the Property. Any
person, including his successors or assigns (other than the Grantor or a person or
entity related to the Grantor), receiving title to the Property through foreclosure or
deed in lieu of foreclosure of the prior lien shall receive title to the Property free and
clear from such restrictions. Further, if the Financial Institution acquires title to the
Property pursuant to a deed in lieu of foreclosure, the lien of this Deed of Trust shall
automatically terminate upon the Financial Institution's acquisition of title, provided
that (i) the Beneficiary has been given written notice of a default under the prior lien
and (ii) the Beneficiary (or another party acting on its behalf) shall not have cured the
default under the prior lien, or diligently pursued curing the default as determined by
the Financial Institution, within the sixty-day period provided in such notice sent to
the Beneficiary.
14. To the extent not inconsistent therewith, this Deed of Trust and the Note shall be
governed by the laws of Texas and the local jurisdiction in which the Property is
located.
15. When the context requires, singular nouns and pronouns include the plural.
16. The term "Note" includes all sums secured by this Deed of Trust.
17. This Deed of Trust shall bind, inure to the benefit of, and be exercised by successors
in interest of all parties.
18. If Grantor and Maker are not the same person, the term "Grantor" shall include
Maker.
6
EXECUTED AND DELIVERED as of the date first above written.
MINNIE BROWN
ATTACHED EXHIBIT "A" - Legal Description of Property
ACKNOWLEDGMENT
STATE OF TEXAS
COUNTY OF WILLIAMSON 2
This instrument was acknowledged before me on this the Z 3 day of 4.)6A./.
2006 by Shameika Brown.
MARGARITA B. LOPEZ
MY COMMISSION EXPIRES
March 6, 2007
STATE OF TEXAS
COUNTY OF WILLIAMSON
Notary Pu s lic, State of Texas
ACKNOWLEDGMENT
This instrument was acknowledged before me on this the 23 day of
2006 by Minnie Brown.
MARGARITA B. LOPEZ
MY COMMISSION EXPIRES
March 6, 2007
2q .
Notary Public, State of Texas
7
PLEASE RETURN TO:
City of Round Rock
Attn: Minor Horne Repair Program Manager
221 East Main
Round Rock, Texas 78664
8
EXHIBIT "A"
(Legal Description of Property)
The Property (including any improvements) referred to in this agreement is described as
follows:
Lot 31, Block "R", Greenslopes at Lake Creek -Section Ten -B, a
Subdivision of Williamson County, Texas, according to the map or plat
thereof recorded in Cabinet G, Slide 130, Plat Records of Williamson
County, Texas.
9
COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) -
COMMUNITY HOUSING REPAIR PROGRAM CONTRACTOR AGREEMENT
This CDBG Community Housing Repair Program Contractor Agreement (Agreement), is made
this day of , 2006, between the City of Round Rock, Texas, 221 East Main Street,
Round Rock, Texas ("CITY"), and ALL TEX BUILDING & RESTORATION, INC., 12711
Woodcreek Drive, Willis, Texas 77317 ("CONTRACTOR").
RECITALS
WHEREAS, CITY has been awarded grant funds which may be spent by 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 non-interest bearing loan to pay CONTRACTOR for labor, materials and
equipment to be utilized in the rehabilitation; and
WHEREAS, CITY will pay CONTRACTOR for labor, materials and equipment to be utilized in
the rehabilitation of Lot 31, Block "R", Greenslopes at Lake Creek -Section Ten -B, a Subdivision of
Williamson County, Texas, according to the map or plat thereof recorded in Cabinet G, Slide 130, Plat
Records of Williamson County, Texas, also known as 1314 E. Logan Street, Round Rock, Texas, as
specified in the Statement of Work, 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,
CITY and CONTRACTOR agree as follows:
ARTICLE 1
GENERAL REQUIREMENTS
1.1 CITY will pay CONTRACTOR $8,366.00 ("Contract Amount"). Funds will not be used to
pay the homeowner or members of its family.
1.2 Payment will be made by CITY for all work described in the Statement of Work after it is
found to be satisfactorily completed and inspected by the Construction Advisor, as defined in
the City of Round Rock Minor Home Repair Program Policies and Procedures, and the CITY
Inspector. If CONTRACTOR is requesting payments of the Contract Amount prior to the
completion of all work described in the Statement of Work, CONTRACTOR will submit a
perfonnance bond to CITY as part of this Agreement. CITY will pay CONTRACTOR for
work in accordance with CITY'S Prompt Payment Policy, as defined in the City of Round
Rock Minor Home Repair Program Policies and Procedures.
1.3 CONTRACTOR will not deviate from the work described in the Statement of Work without a
change order from CITY. Any such change order will be included in an amendment to this
00096177
1
EXHIBIT
BII
Agreement. The Contract Amount and any change orders will not exceed a total of
$15,000.00.
1.4 All work specified in the Statement of Work will be satisfactorily completed within ninety (90)
days from the date of the Notice to Proceed.
ARTICLE 2
CONTRACTOR'S RESPONSIBILITIES
2.1 CONTRACTOR will ensure that all work performed under this Agreement is permitted and
inspected by CITY's Building Inspection Division. CONTRACTOR agrees to be duly
licensed under CITY ordinances and State laws and be responsible for obtaining the building
permit.
2.2 CONTRACTOR understands that it is solely responsible for meeting the terms and conditions
of this Agreement. If CONTRACTOR fails to properly perform or complete any of the work
specified in the Statement of Work, CONTRACTOR will not receive funding for any work
that is found to be improperly performed or incomplete.
2.3 CONTRACTOR understands that a performance bond is required as part of this Agreement if
CONTRACTOR is requesting payments of the Contract Amount prior to the completion of all
work described in the Statement of Work.
2.4 CONTRACTOR understands that the job will be inspected by a CITY Inspector and
Construction Advisor before any funds will be paid out.
2.5 CITY will provide a Notice to Proceed to CONTRACTOR to commence work.
CONTRACTOR agrees to start work within thirty (30) calendar days after receipt of the
Notice to Proceed. If CONTRACTOR fails to commence work within thirty (30) days from the
date on the Notice to Proceed, CITY will have the right to terminate this Agreement, by
providing a written notice of termination to CONTRACTOR.
2.6 CONTRACTOR agrees to complete the work within ninety (90) days from the date of the
Notice to Proceed. If completion is delayed for reasons beyond the CONTRACTOR's control,
CONTRACTOR will provide timely notice to CITY of the reasons for such delay. If such
good cause is claimed by CONTRACTOR, it will be CONTRACTOR'S obligation to
substantiate its claim by adequate documentation.
2.7 CONTRACTOR affirms that it has not been debarred from performing federal contract work.
ARTICLE 3
OTHER PROGRAM REQUIREMENTS
3.1 PERMITS AND CODES. CONTRACTOR agrees to secure and pay for all necessary permits
and licenses required for CONTRACTOR'S performance and to adhere to applicable local
2
codes and requirements whether or not covered by the Statement of Work, including any
CONTRACTOR registration requirements.
3.2 DISCRIMINATION. CONTRACTOR 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.
3.3 WARRANTY. CONTRACTOR agrees to provide a full one-year warranty to the
homeowner, said warranty will extend to subsequent owners of the property to be improved.
The warranty will provide that improvements hardware, and fixtures of whatever kind or
nature installed or constructed on said property by the CONTRACTOR are of good quality
and free from defects in workmanship or materials or deficiencies subject to the warranty
provided in this paragraph. CONTRACTOR and CITY agree, however, that the warranty set
forth in this paragraph will apply only to such deficiencies and defects as to which
homeowner or subsequent owners will have given written notice by certified mail to the
CONTRACTOR, at its principal place of business, within one (1) year from the date of the
final inspection and acceptance by the CITY Inspector that all work under the Agreement has
been completed.
3.4 BID. CONTRACTOR acknowledges that it has prepared the CONTRACTOR'S Bid,
attached hereto and incorporated herein as Exhibit "B" and that such Bid is accurate and
consistent as to the name of CONTRACTOR, scope of work that the CONTRACTOR will
under -take, and price. CONTRACTOR acknowledges the performance requirement
established in the Statement of Work and warrants that all work undertaken will conform to
said specifications.
3.5 REMOVAL OF DEBRIS. Upon completion of work CONTRACTOR agrees to remove all
construction debris and surplus material from the property and leave the property in a neat
and clean condition.
3.6 SUBCONTRACTORS. CONTRACTOR agrees that all the warranties contained herein will
apply to all work performed under this Agreement, including that performed by any
Subcontractors.
3.7 FRAUDULENT ACTS. CONTRACTOR nor any of its officers, partners, owners, agents,
representatives, employees, subcontractors or parties in interest has in any way colluded,
conspired, connived or agreed, directly or indirectly with any other Bidder, firm, or person to
submit a collusive or sham Bid in connection with CONTRACTOR for which the Bid has
been submitted or to refrain from bidding in connection with this Agreement, or has in any
manner, directly or indirectly, sought by agreement or collusion or communication or
conference with any other Bidder, firm, or person to fix any overhead, profit, or cost element
of the Bid price or the Bid price of any other Bidder, or to secure through any collusion,
conspiracy, connivance, or unlawful agreement, any advantage against CITY or any person
interested in this Agreement; and the price or prices quoted are fair and proper and are not
3
tainted by any collusion, conspiracy, connivance or unlawful agreement on the part of
CONTRACTOR or any of its agents, representatives, owners, employees, or parties in
interest.
3.8 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.
3.9 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.
3.10 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 known of
the existence of the subject act(s) or failure(s) to act.
3.11 INDEMNIFICATION. CONTRACTOR 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
the fault of CONTRACTOR, or CONTRACTOR's agents, employees or subcontractors, in
the performance of CONTRACTOR's obligations under this Agreement, no matter how, or
to whom, such loss may occur. Nothing herein will be deemed to limit the rights of CITY or
CONTRACTOR (including, but not limited to the right to seek contribution) against any
third party who may be liable for an indemnified claim.
3.12 CHANGE ORDERS. CONTRACTOR expressly agrees that no material changes or
alterations in the Statement of Work or price provided above will be made unless in writing,
mutually agreed by the homeowner, CONTRACTOR and authorized by CITY.
3.13 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.
3.14 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.
3.15 PUBLIC INFORMATION ACT. The CITY is governed by the Texas Public Information
4
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.
3.16 PERFORMANCE. In performing this Agreement, CONTRACTOR will comply with all
local, state and federal laws.
3.17 LIEN WAIVERS. CONTRACTOR agrees to protect, defend, and indemnify homeowner and
CITY from any claims for unpaid work, labor, or materials with respect to CONTRACTOR'S
performance. Final payment will not be paid until the CONTRACTOR has delivered to
CITY complete release of all liens for work completed arising out of CONTRACTOR'S
performance or a receipt in full, covering all labor and materials for which a lien could be
filed or a bond satisfactory to the homeowner and CITY indemnifying him against any lien.
3.18 REPORTING REQUIREMENTS. CONTRACTOR agrees to submit a Substitute W9 Form,
attached hereto and incorporated herein as Exhibit "C" to fulfill reporting requirements with
the Internal Revenue Service.
ARTICLE 4
SUSPENSION AND TERMINATION
4.1 If CONTRACTOR fails to fulfill in a timely and proper manner its obligations under this
Agreement, or violates any of the terms or conditions of this Agreement, then the
CONTRACTOR will have ten (10) days from the date it receives written notice from CITY
directing it to cure or correct the defects. If CONTRACTOR fails to cure or correct the
defects, CITY will have the right to terminate this Agreement and to select a substitute
CONTRACTOR. If the expense of finishing the work exceeds the amount of this Agreement,
CONTRACTOR will pay the difference to CITY. Should CONTRACTOR 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 CONTRACTOR the amount sought by HUD for reimbursement, up to the full amount
of funds CONTRACTOR received from CITY.
4.2 CONTRACTOR will not be relieved of the liability to CITY for damages sustained by the
CITY by virtue of any breach of this Agreement by CONTRACTOR. CITY may withhold
payment to CONTRACTOR until the amount of monetary damages due CITY from
CONTRACTOR is determined.
4.3 If CITY becomes aware of any CONTRACTOR 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
CONTRACTOR, 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.
5
ARTICLE 5
PAYMENTS
5.1 For work completed by CONTRACTOR, as described in the Statement of Work, CITY
agrees to pay CONTRACTOR the Contract Amount after the work is found to be
satisfactorily completed and is inspected by the Construction Advisor and CITY Inspector, in
accordance with the CITY'S Prompt Payment Policy; or if a performance bond is present,
CITY agrees to make payments to CONTRACTOR of the Contract Amount prior to the
completion of all work described in the Statement of Work, in accordance with CITY'S
Prompt Payment Policy.
ARTICLE 6
ATTORNEY'S FEES
6.1 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 7
VENUE AND REMEDIES
7.1 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 8
SUCCESSORS AND ASSIGNS
8.1 CITY and CONTRACTOR, 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 CONTRACTOR will assign, sublet, or transfer any interest in this Agreement
without the written consent of the other.
ARTICLE 9
ENUMERATION OF CONTRACT DOCUMENTS
9.1 This Agreement represents the entire and integrated agreement between CITY and
CONTRACTOR for the work specified in Exhibit "A" and supersedes all prior negotiations,
representations or arguments either written or oral. This Agreement maybe amended only by
written instrument signed by CITY and CONTRACTOR. The Agreement contains the
following exhibits attached to and incorporated in this Agreement for all purposes:
Statement of Work (Exhibit "A");
Bid (Exhibit "B"); and
Substitute W9 Fonn (Exhibit "C").
6
ARTICLE 10
ACKNOWLEDGMENT
10.1 The above warranties are in addition to, and not in limitation of, any and all other rights and
remedies to which CITY and the homeowner, or subsequent owners, may be entitled, at law
or in equity, and will survive the conveyance of title, delivery of possession of the property,
or other final settlement made by the homeowner and will be binding on the undersigned
notwithstanding any provision to the contrary contained in any instrument heretofore, and
thereafter executed by the homeowner.
This Agreement is effective as of the date first written above.
CONTRACTOR: CITY:
ALL TEX BUILDING & RESTORATION, INC. City of Round Rock
Name
Name
firesae.4.--t
Title
Title
7
EXHIBIT "A"
STATEMENT OF WORK
Contractor Signature
Bid Due Date: 1/24/2006
PROJECT TYPE: Minor Rehabilitation
Quantity Unit
z
BATHROOM #1
'L'L^
vI
0 0
Oi Oi Oi
ENTIRE TUB SURROUND.
.a
co
Z 0
D 0
O Ce
CC
D w
D COM
J
I— H 0
W w0
�W Oa
Z CC CI W
WQ as
c :Q
O a) O O .t
2
= _c (7)o y
ca c - O. v
a) O o C V 3 co U a) M
— as
U 3 O U c
N Z,
O > O)-6
N O O .c +
N V L ... 0)
N
U N O C C --, CLL
c—a a N 0
R.
ca m
c cmc a) �asQ
_ N
• Q Q i) u, (a c; CC cp
Q Q' a)
E E Z U QY ` O
ca —. o O U 1 0 0
`C c co U L
OL O Y c a) (a—
U ,cn 0 v) Uo Aa)` Ti. 3
c rn L W m,_
E mit . c c 0) Q �YY
El � �3 vmcaca fX
O 0 3 a) 0 c , U a .O 2
W
I—
N—
N— N ch W tt W
M
etc4
Round Rock, TX
Monday, December 05, 2005
2
w
q
w
w
w
/ / 6
w
-J
0
A
0_
&
0
w .
w
/ƒ
0E
5 C
dE
w w
0 7
¥
a . a
.$ F§ o% ' / o k
= 2 0 j a E k "ii k k § 7 E k
n® , �: E ® «» c c o S 05 7
£ o f =§ u) d o@ c c 7 .- a c-
�k ,off 222 2kak o a@—
m§ — 2 E� a 3 J= k f 13ƒ
> 3 ill o Q k a. 2 m 2®— c
§ 2 Cl k x° 2 a Lt t g �06 _ o% cu e
f ° e° E / ai o> — k ° @— 2
a / % a) E °°° S 0 5 0 5-% o
o a) c 6 L.L. co 2@ o■- U o o 0) oC G
c 0CD0 maw '0-%2 O% ¥±�\®
> • o 0 o 0 o qƒ f 0 Ce 2 f t R q 2 44- c) E
§f c§ \ 1.7 ^2 c6 =_g2 2= 7
& R @@ o o 0 %.c 2 R. - 1 k.- 8 f
E 4U?/ \ate= /\x% \o mCUo2/
O � 5Q±� x@+f X200 c/ °°a5— \
II c • k� ƒƒ%® /O33 S' §£moo
cc± k •a @ 6 m 7 = a )' / o\ a t [
O ) ° $ A w§ 3§ 5 E § 5$ % ¥ t
� m_3 0wc5 ocn-� o4�e Oc �2l±3 \
0
« )
X in 42 0 CO m $ > $
/
Round Rock, TV
1314 E. Logan ,St.
Q
2
w
N
w
2
O)
w cA
-J
UJ
QO
cnwQO1--
awYF-Z
w O U W
wu_00w
U0�0U
(d)Z0CQ
LU
WOcr<W
CC CC 0 03 0C
stall ceramic tile around
Z N
r Z r,
w
(f)
0
E
N E a) o t
o "- O =• a) C
m o -O u) 0 3
U O E(D a U a
a) O ] = cn
.10 'O Q -0 Q O) N
11
`)-Y ' t0 LL p U
ai vcy, " :1:-.) a) a) o
c U
2 ai n U 3 oar n
o a1 o a.: a� U
,� m cfl a) m W
a)c co 0. o c
0 n*=3V' IL �O
o Y 'O C X 0
v) 1')a
im3as . z OcQo
0
1.0
Y
Ct
z
L
a
1
Monday, December 05, 2005
EXHIBIT "B"
BID
zi lid
Cii
*y
V
Q
w*Ze" ri
rC
AS
:a
i s.. is
4 L
X
i 1
Bid Due Date:
k
co
--t o coccatcon
Lt
0)
O
EC)
r o
0)
ENTIRE TUB SURROUND.
LL
0)
Q
Lt)
7,
c
P-om 0)
r B) o
alca
o -� u CO v a)
CO p ED
o(� (p E O U c
r >
o - o c c M_. ca
ca
iv ai. a) u-.
tn
c aa)) . '
ti_ m
at -i-ii a3 a) 01U I.<
F ce x UU a) • ca
as tc�-' �o tu yr
_ a)
if_
p �.r� S,aiQ47' 23 t� vat2 2mo a
2 U.� t'J c
rc?H
O
Q Ea
it!
W
ZIC
i
w
Q
T
0
. 0)
c —
m
o a.
s
w
c>
O.. 3
a)
c
1.1
(VII
m c
i~
X
Llt uy
0 >w
8-x
0
cu
0400)
O 3 .o
0 >+
IP.0) 0
Q Q L2
O Q a. p 0)
0) Q 4)
(U Q
L.) c
Q
ad
Q
W
W
-J
U
F-
Q.
W
U
W
c
o N
W W
F- W
Q EL`
O LL
5 cc
WD
C� LL
ac v �' 0) o 0
4.--
0v -c Ta—
o `* a)
c 0 iq '� 112
0)c c ui a3 v � � c T Scorn
c
Q3 0) a3 O Q3 c ` c 0 co .c
moo- ma-� 2 cm0o)0
CL G3 � 0 a3 3 a U o --E: cv, ,.,; � m
'- x 0 p (U CC L i
�°m -9 . >> o m oo`c„ °
u0rnc tUai as z, is m -o
as 0 c ._. v 0 O 0 U= 0 (d to 0
LLcuzQ tr`I� uo o�rnOL
c -a .c a� Xu aai (n c t} �r a�.c ° o
0ir1- fr--� o 'if-) Ti --m to
Li a a3 *' 3 (¢ 43 (1
CT.3..:+ 0 s--- 0 -Cr
O (°3 c f!i Q 0 : LL L (A 8 0
_v Q L� X Q `� [� Ri O U O
X 0- r T i CJ E O N 3 t� (6
ill Et R3 I to (0
Q Q]
L
im
ain o°S "5go as •
— 0d 0
o 5(oa>aa)
Q
i
M�
0
w
Y
• 0
E • O
CT
c3)
1 -rF-
a)>QIll .�
B.0)tf
co
o
trQcn
a_Xict
c t13
E tr 112
� w a
w t,
Cryo
1 U a; -•c
QEtt�
S�O
0
r
0i
co
°u
u) c▪ r < o
F-
• wYF-Z
U U
w 9: o o w
U oIxoU
ill
w OLi1 f_
c:<w
OrCrC9mCr
D
L
tD p tt7
E:
U N
(a •� V
c). w E
ton 2 N
0 0
U _
to c171 C
ca to
vLa) c
ryC m
c
0 m o
cCO E
�(` ca tx Arco ca
=4.Q , 9 co ; 0_a
> ww
z -r— Z " ch
w
Y J
r
w
cci
E
cu
ol
a 0
751
U
o N-
c)
• 0 .
to'tao) o ,i
— 0
o
U — 0 Q
0)0LL
Q
,-Uo
o 0
w 0
0 35
Z g0
• o c nif;
U
1
1
EXHIBIT "C"
SUBSTITUTE W9 FORM
Form W-9
(Rev. November 2005)
Department of the Treasury
Internal Revenue Service
Request for Taxpayer
Identification Number and Certification
Give form to the
requester. Do not
send to the IRS.
N
cu
c
0
• e
es 0
0
A.
rn
Name (as shown on your income tax return)
AA( A( c);,-, Pes-i-o r
Business name, f different from above
Part I
div
Check appropriate box: ❑ Sole 1proprietor et corporation 0 Partnership ❑Other ►
Address (number, street, and apt. or suite no.)
�i 1 iia C ^eela r'
City, state, and ZIP code
List account numbers) here (optional)
1--1withholding
from backup
withholding
Requester's name and address (optional)
Taxpayer Identification Number (TIN)
Enter your TIN in the appropriate box. The TIN provided must match the name given on Line 1 to avoid
backup withholding. For individuals, this is your social security number (SSN). However, for a resident
alien, sole proprietor, or disregarded entity, see the Part I instructions on page 3. For other entities, it is
your employer identification number (EIN). If you do not have a number, see How to get a TIN on page 3.
Note. If the account is in more than one name, see the chart on page 4 for guidelines on whose
number to enter.
Part II
Certification
Social security number
1 1.1-1+1 1 1
or
Employer identification number
aIo1-/ 1t1,131o(I10
Under penalties of perjury, I certify that:
1. The number shown on this form is my correct taxpayer identification number (or 1 am waiting for a number to be issued to me), and
2. 1 am not subject to backup withholding because: (a) I am exempt from backup withholding, or (b) 1 have not been notified by the Internal
Revenue Service (IRS) that I am subject to backup withholding as a result of a failure to report all interest or dividends, or (c) the IRS has
notified me that I am no longer subject to backup withholding, and
3. I am a U.S. person (including a U.S. resident alien).
Certification instructions. You must cross out item 2 above if you have been notified by the IRS that you are currently subject to backup
withholding because you have failed to report all interest and dividends on your tax return. For real estate transactions, item 2 does not apply.
For mortgage interest paid, acquisition or abandonment of secured property, cancellation of debt, contributions to an individual retirement
arrangement (IRA), and generally, payments other than interest and dividends, you are not required to sign the Certification, but you must
provide your correct TIN. (See the instructions on page 4.)
Sign
Here
Signature of
U.S. person ►
Purpose of Form
A person who is required to file an information return with the
IRS, must obtain your correct taxpayer identification number
(TIN) to report, for example, income paid to you, real estate
transactions, mortgage interest you paid, acquisition or
abandonment of secured property, cancellation of debt, or
contributions you made to an IRA.
U.S. person. Use Form W-9 only if you are a U.S. person
(including a resident alien), to provide your correct TIN to the
person requesting it (the requester) and, when applicable, to:
1. Certify that the TIN you are giving is correct (or you are
waiting for a number to be issued),
2. Certify that you are not subject to backup withholding, or
3. Claim exemption from backup withholding if you are a
U.S. exempt payee.
In 3 above, if applicable, you are also certifying that as a
U.S. person, your allocable share of any partnership income
from a U.S. trade or business is not subject to the
withholding tax on foreign partners' share of effectively
connected income.
Note. If a requester gives you a form other than Form W-9 to
request your TIN, you must use the requester's form if it is
substantially similar to this Form W-9.
For federal tax purposes, you are considered a person if you
are:
Date ►
d-b-LI/ok,
• An individual who is a citizen or resident of the United
States,
• A partnership, corporation, company, or association
created or organized in the United States or under the Taws
of the United States, or
• Any estate (other than a foreign estate) or trust. See
Regulations sections 301.7701-6(a) and 7(a) for additional
information.
Special rules for partnerships. Partnerships that conduct a
trade or business in the United States are generally required
to pay a withholding tax on any foreign partners' share of
income from such business. Further, in certain cases where a
Fomi W-9 has not been received, a partnership is required to
presume that a partner is a foreign person, and pay the
withholding tax. Therefore, if you are a U.S. person that is a
partner in a partnership conducting a trade or business in the
United States, provide Form W-9 to the partnership to
establish your U.S. status and avoid withholding on your
share of partnership income.
The person who gives Form W-9 to the partnership for
purposes of establishing its U.S. status and avoiding
withholding on its allocable share of net income from the
partnership conducting a trade or business in the United
States is in the following cases:
• The U.S. owner of a disregarded entity and not the entity,
Cat. No.
10231X Form W-9 (Rev. 11-2005)
DATE: April 6, 2006, 2006
SUBJECT: City Council Meeting - April 13, 2006
ITEM: *10.E.5. Consider a resolution authorizing the Mayor to execute a Community
Development Block Grant - Community Housing Repair Program
Homeowner Agreement with Shameika Brown and Minnie Brown, and a
Community Development Block Grant - Community Housing Repair
Program Contractor Agreement with All Tex Building & Restoration,
Inc. for the minor rehabilitation of Lot 31, Block R, Greenslopes at
Lakecreek, Section 10B, also known as 1314 E. Logan Drive.
Department: Planning
Staff Person: Mona Ryan, Community Development Coordinator
Justification:
This property requires upgrades and repairs to bring it to minimum code standards.
Funding:
Cost:
Source of funds:
$8,366.00
CDBG HUD Entitlement Fund
Outside Resources: N/A
Background Information:
The contractor will be paid directly by the City of Round Rock from the CDBG HUD Entitlement
Fund. The major work to be done on this property is replacement of the HVAC unit, the water
heater, and bathroom repairs.
Public Comment:
All public notice and hearing requirements throughout the development of the action plan have
been complied with by the City and the US Department of Housing and Urban Development and
are available for review.
EXECUTED
DOCUMENTS
FOLLOW
COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) -
COMMUNITY HOUSING REPAIR PROGRAM HOMEOWNER AGREEMENT
This CDBG Community Housing Repair Program Homeowner Agreement (Agreement), is
made this /3 day of ap&cL, 2006, between the City of Round Rock, Texas, 221 East Main
Street, Round Rock, Texas ("CITY"), and Shameika Brown and Minnie Brown, 1314 E. Logan
Street, Round Rock, Texas, 78664, (collectively, "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 non-interest bearing loan to pay a contractor for labor, materials and
equipment to be utilized in the rehabilitation; and
WHEREAS, HOMEOWNER has qualified for the rehabilitation of Lot 31, Block "R",
Greenslopes at Lake Creek -Section Ten -B, a Subdivision in Williamson County, Texas,
according to the map or plat thereof recorded in Cabinet G, Slide 130, Plat Records of
Williamson County, Texas, also known as 1314 E. Logan Street, as specified in the Statement of
Work, 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:
1.1
ARTICLE 1
GENERAL REQUIREMENTS
CITY will pay a contractor, by separate agreement attached hereto and incorporated herein as
Exhibit "C" ("Contractor's Agreement"), $8,366.00 ("Contract Price") for labor, materials and
equipment utilized in the rehabilitation of HOMEOWNER's above -referenced property, as
specified in the Statement of Work. 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 $15,000.00.
1.3 The loan awarded is forgivable provided the terms of this Agreement are met.
00091450
E-010-01443 -/065
ARTICLE 2
HOMEOWNER'S RESPONSIBILITIES
2.1 HOMEOWNER has qualified for a non-interest bearing loan 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".
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 In order for the loan to be forgiven, the HOMEOWNER shall retain ownership of the
residence rehabilitated for at least five (5) years from the date of the Real Estate Lien Note and
Deed of Trust securing the loan awarded attached hereto and incorporated herein as Exhibits
"D" and "E". Should the residence be sold prior to the expiration of the five (5) years, CITY
will be reimbursed the full amount of the award, $8,366.00, as per the requirements of the Real
Estate Lien Note.
2.4 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.
2.5 All property taxes on the property are paid up to date, including CITY, County and applicable
School District Taxes.
2.6 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.
2.7 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 Minor Home
Repair 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,
2
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 known of
the existence of the subject act(s) or failure(s) to act.
3.5 LIEN. HOMEOWNER agrees that a lien shall be placed against the property for a period of
five (5) years after the work performed by the contractor has been approved by the
Construction Advisor.
3.6 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.
3.7 CHANGE ORDERS. HOMEOWNER expressly agrees that no material changes or
alterations in the Statement of Work or Contract Price provided above will be made unless in
writing, mutually agreed by HOMEOWNER, the contractor and authorized by CITY.
3.8 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.
3.9 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.
3.10 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.
3
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.
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.
4
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 arguments 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:
Statement of Work (Exhibit "A")
HUD Section 8 Income Limits (Exhibit "B")
Contractor's Agreement (Exhibit "C")
Real Estate Lien Note (Exhibit "D")
Deed of Trust (Exhibit "E")
This Agreement is effective as of the date first written above.
HOMEOWNER:
CITY:
Minnie Brown
Th yo2
Title
5
EXHIBIT "A"
STATEMENT OF WORK
Contractor Name
Contractor Signature
Bid Due Date: 1/24/2006
PROJECT TYPE: Minor Rehabilitation
tfj x
C �" 0)
acl
co
cv J '12 t 7
g W -a 4 N
c(^
1 _ � a, (v
0
V) r (� co
Quantity Unit
4
t
BATHROOM #1
w
N
0 0 v6
rn rn 0
ENTIRE TUB SURROUND.
0)
Z 0
: 0
O c
ct 0
rL w
coo
co J
CO J
Fes- F-0
wwO
rfQ i0
Z IX Et W
wQ as
-to
c
a) a)
L. = L c = a
U
_� c c U =3 Cr) U _N
.-- o — N (0 '�' .� CA
U o c6 E 3 o U c
E
L �+ > o .F,
2 O 0 p c �,
a) 0- ' m N -5--
tzU
c U a) Q
C as N ca a) N
E �. E ��,, UalC o
N ` o w (9 a) U Y • U co H
U O as U L
L 7 C Of
ti
E mC •Q ) 22. 3 V m a) c
t�� cc�Tca
c
61
ri•—mowCe
ox
��mCu
Round Rock, TV
1314 E. Logan St.
W o
N M W Tr W
cc
0
EE
W
H
W
w
T
N
y
•3 co
no ; s
d 0 X
O
c -c
N E _U
W C 0.
O a) U a)
O 5
ca)a,
U 4+ (n
CD n
46O a.
7 Q. (0
O O >,
(0 • a) Q a)
_O d s U
U 1- C U
<0
Q
w
r
C 0)
�
C C t (q
_ O •T
a) .O U
L C
a ::r)
• U • ca
(0
LL (0 (0
tasc-
a) d "C
Li a o
o o 3 c
2 a • C (0
x a)+4.t
W a'3
0 a) o i
W o 2 p O
to
0u)ts
Q
w
M
W
J
0
1-
w
U
w .
ct W
O N
W W
F- W
Q
U u_
oc
wo
O (i
Nc 7/5
x
a)
a)C
U
N (0 w
a) a •3 1.1)
> >
o 0 U >
U
Qalc
O a)
(0 (0
co -L a)�
c a� a)
jo 0
O
O O 0) a)
2 Q C
0) 0
d
EO U
o <
T
Q
w
(n
c')
Q
w
U o
0 0 >
CO =
Round Rock, TX
0
es
w
w
N
0)
O
W (n
victQOI:-
wYF-Z
wu-0OW
Q0e‘00
CL
eL
Ocr<w
CCxOmor
0
C
z
2
a)
E
a)
U
ca
N
C
i=
v
E
a)
0.2
w
LC)
CD
M
w
M
0
E
>, co 'O o
• o 2 6i o -Cmc
ca &• --2 3yc
CO U a) E U N a) o
ID
+_ 0 la o
O o cu -r)
Eu_
o 'E ▪ • a) .0 . S
j 0. ca NOa `OmoC '
> EX oa) O (A U c P V`
�c 000 - c O
y � ca cn ao
o a)
0 fl 3a- u - -(5 - 0
a)D 3 7j* Ow m
o X
a3io�
E c0a.� c� Z
CO coit = Ocao
0
�' Y
1-
0
H
Monday, December 05, 2005
Round Rock, TV
EXHIBIT "B"
INCOME LIMITS
MAXIMUM INCOME CHART
Household Size
Maximum Income (80% of the Area Median)
1 person
$39,800
2 persons
$45,500
3 persons
$51,200
4 persons
$56,900
5 persons
$61,450
6 persons
$66,000
7 persons
$70,550
8 persons
$75,100
Source: U.S. Department of Housing & Urban Development. These income figures are
subject to change annually.
Effective February 11, 2005
EXHIBIT "C"
CONTRACTOR'S AGREEMENT
COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) -
COMMUNITY HOUSING REPAIR PROGRAM CONTRACTOR AGREEMENT
This CDBG Community Housing Repair Program Contractor Agreement (Agreement), is made
this day of , 2006, between the City of Round Rock, Texas, 221 East Main Street,
Round Rock, Texas ("CITY"), and ALL TEX BUILDING & RESTORATION, INC., 12711
Woodcreek Drive, Willis, Texas 77317 ("CONTRACTOR").
RECITALS
WHEREAS, CITY has been awarded grant funds which may be spent by 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 non-interest bearing loan to pay CONTRACTOR for labor, materials and
equipment to be utilized in the rehabilitation; and
WHEREAS, CITY will pay CONTRACTOR for labor, materials and equipment to be utilized in
the rehabilitation of Lot 31, Block "R", Greenslopes at Lake Creek -Section Ten -B, a Subdivision of
Williamson County, Texas, according to the map or plat thereof recorded in Cabinet G, Slide 130, Plat
Records of Williamson County, Texas, also known as 1314 E. Logan Street, Round Rock, Texas, as
specified in the Statement of Work, 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,
CITY and CONTRACTOR agree as follows:
ARTICLE 1
GENERAL REQUIREMENTS
1.1 CITY will pay CONTRACTOR $8,366.00 ("Contract Amount"). Funds will not be used to
pay the homeowner or members of its family.
1.2 Payment will be made by CITY for all work described in the Statement of Work after it is
found to be satisfactorily completed and inspected by the Construction Advisor, as defined in
the City of Round Rock Minor Home Repair Program Policies and Procedures, and the CITY
Inspector. If CONTRACTOR is requesting payments of the Contract Amount prior to the
completion of all work described in the Statement of Work, CONTRACTOR will submit a
performance bond to CITY as part of this Agreement. CITY will pay CONTRACTOR for
work in accordance with CITY'S Prompt Payment Policy, as defined in the City of Round
Rock Minor Home Repair Program Policies and Procedures.
1.3 CONTRACTOR will not deviate from the work described in the Statement of Work without a
change order from CITY. Any such change order will be included in an amendment to this
00096177
Agreement. The Contract Amount and any change orders will not exceed a total of
$15,000.00.
1.4 All work specified in the Statement of Work will be satisfactorily completed within ninety (90)
days from the date of the Notice to Proceed.
ARTICLE 2
CONTRACTOR'S RESPONSIBILITIES
2.1 CONTRACTOR will ensure that all work performed under this Agreement is permitted and
inspected by CITY's Building Inspection Division. CONTRACTOR agrees to be duly
licensed under CITY ordinances and State laws and be responsible for obtaining the building
permit.
2.2 CONTRACTOR understands that it is solely responsible for meeting the terms and conditions
of this Agreement. If CONTRACTOR fails to properly perform or complete any of the work
specified in the Statement of Work, CONTRACTOR will not receive funding for any work
that is found to be improperly performed or incomplete.
2.3 CONTRACTOR understands that a performance bond is required as part of this Agreement if
CONTRACTOR is requesting payments of the Contract Amount prior to the completion of all
work described in the Statement of Work.
2.4 CONTRACTOR understands that the job will be inspected by a CITY Inspector and
Construction Advisor before any funds will be paid out.
2.5 CITY will provide a Notice to Proceed to CONTRACTOR to commence work.
CONTRACTOR agrees to start work within thirty (30) calendar days after receipt of the
Notice to Proceed. If CONTRACTOR fails to commence work within thirty (30) days from the
date on the Notice to Proceed, CITY will have the right to terminate this Agreement, by
providing a written notice of termination to CONTRACTOR.
2.6 CONTRACTOR agrees to complete the work within ninety (90) days from the date of the
Notice to Proceed. If completion is delayed for reasons beyond the CONTRACTOR's control,
CONTRACTOR will provide timely notice to CITY of the reasons for such delay. If such
good cause is claimed by CONTRACTOR, it will be CONTRACTOR'S obligation to
substantiate its claim by adequate documentation.
2.7 CONTRACTOR affirms that it has not been debarred from performing federal contract work.
ARTICLE 3
OTHER PROGRAM REQUIREMENTS
3.1 PERMITS AND CODES. CONTRACTOR agrees to secure and pay for all necessary permits
and licenses required for CONTRACTOR'S performance and to adhere to applicable local
2
codes and requirements whether or not covered by the Statement of Work, including any
CONTRACTOR registration requirements.
3.2 DISCRIMINATION. CONTRACTOR 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.
3.3 WARRANTY. CONTRACTOR agrees to provide a full one-year warranty to the
homeowner, said warranty will extend to subsequent owners of the property to be improved.
The warranty will provide that improvements hardware, and fixtures of whatever kind or
nature installed or constructed on said property by the CONTRACTOR are of good quality
and free from defects in workmanship or materials or deficiencies subject to the warranty
provided in this paragraph. CONTRACTOR and CITY agree, however, that the warranty set
forth in this paragraph will apply only to such deficiencies and defects as to which
homeowner or subsequent owners will have given written notice by certified mail to the
CONTRACTOR, at its principal place of business, within one (1) year from the date of the
final inspection and acceptance by the CITY Inspector that all work under the Agreement has
been completed.
3.4 BID. CONTRACTOR acknowledges that it has prepared the CONTRACTOR'S Bid,
attached hereto and incorporated herein as Exhibit "B" and that such Bid is accurate and
consistent as to the name of CONTRACTOR, scope of work that the CONTRACTOR will
under -take, and price. CONTRACTOR acknowledges the performance requirement
established in the Statement of Work and warrants that all work undertaken will conform to
said specifications.
3.5 REMOVAL OF DEBRIS. Upon completion of work CONTRACTOR agrees to remove all
construction debris and surplus material from the property and leave the property in a neat
and clean condition.
3.6 SUBCONTRACTORS. CONTRACTOR agrees that all the warranties contained herein will
apply to all work performed under this Agreement, including that performed by any
Subcontractors.
3.7 FRAUDULENT ACTS. CONTRACTOR nor any of its officers, partners, owners, agents,
representatives, employees, subcontractors or parties in interest has in any way colluded,
conspired, connived or agreed, directly or indirectly with any other Bidder, firm, or person to
submit a collusive or sham Bid in connection with CONTRACTOR for which the Bid has
been submitted or to refrain from bidding in connection with this Agreement, or has in any
manner, directly or indirectly, sought by agreement or collusion or communication or
conference with any other Bidder, firm, or person to fix any overhead, profit, or cost element
of the Bid price or the Bid price of any other Bidder, or to secure through any collusion,
conspiracy, connivance, or unlawful agreement, any advantage against CITY or any person
interested in this Agreement; and the price or prices quoted are fair and proper and are not
3
tainted by any collusion, conspiracy, connivance or unlawful agreement on the part of
CONTRACTOR or any of its agents, representatives, owners, employees, or parties in
interest.
3.8 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.
3.9 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.
3.10 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 known of
the existence of the subject act(s) or failure(s) to act.
3.11 INDEMNIFICATION. CONTRACTOR 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
the fault of CONTRACTOR, or CONTRACTOR's agents, employees or subcontractors, in
the performance of CONTRACTOR'S obligations under this Agreement, no matter how, or
to whom, such loss may occur. Nothing herein will be deemed to limit the rights of CITY or
CONTRACTOR (including, but not limited to the right to seek contribution) against any
third party who may be liable for an indemnified claim.
3.12 CHANGE ORDERS. CONTRACTOR expressly agrees that no material changes or
alterations in the Statement of Work or price provided above will be made unless in writing,
mutually agreed by the homeowner, CONTRACTOR and authorized by CITY.
3.13 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.
3.14 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.
3.15 PUBLIC INFORMATION ACT. The CITY is governed by the Texas Public Information
4
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.
3.16 PERFORMANCE. In performing this Agreement, CONTRACTOR will comply with all
local, state and federal laws.
3.17 LIEN WAIVERS. CONTRACTOR agrees to protect, defend, and indemnify homeowner and
CITY from any claims for unpaid work, labor, or materials with respect to CONTRACTOR'S
performance. Final payment will not be paid until the CONTRACTOR has delivered to
CITY complete release of all liens for work completed arising out of CONTRACTOR'S
performance or a receipt in full, covering all labor and materials for which a lien could be
filed or a bond satisfactory to the homeowner and CITY indemnifying him against any lien.
3.18 REPORTING REQUIREMENTS. CONTRACTOR agrees to submit a Substitute W9 Form,
attached hereto and incorporated herein as Exhibit "C" to fulfill reporting requirements with
the Internal Revenue Service.
ARTICLE 4
SUSPENSION AND TERMINATION
4.1 If CONTRACTOR fails to fulfill in a timely and proper manner its obligations under this
Agreement, or violates any of the terms or conditions of this Agreement, then the
CONTRACTOR will have ten (10) days from the date it receives written notice from CITY
directing it to cure or correct the defects. If CONTRACTOR fails to cure or correct the
defects, CITY will have the right to terminate this Agreement and to select a substitute
CONTRACTOR. If the expense of finishing the work exceeds the amount of this Agreement,
CONTRACTOR will pay the difference to CITY. Should CONTRACTOR 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 CONTRACTOR the amount sought by HUD for reimbursement, up to the full amount
of funds CONTRACTOR received from CITY.
4.2 CONTRACTOR will not be relieved of the liability to CITY for damages sustained by the
CITY by virtue of any breach of this Agreement by CONTRACTOR. CITY may withhold
payment to CONTRACTOR until the amount of monetary damages due CITY from
CONTRACTOR is determined.
4.3 If CITY becomes aware of any CONTRACTOR 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
CONTRACTOR, 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.
5
ARTICLE 5
PAYMENTS
5.1 For work completed by CONTRACTOR, as described in the Statement of Work, CITY
agrees to pay CONTRACTOR the Contract Amount after the work is found to be
satisfactorily completed and is inspected by the Construction Advisor and CITY Inspector, in
accordance with the CITY'S Prompt Payment Policy; or if a performance bond is present,
CITY agrees to make payments to CONTRACTOR of the Contract Amount prior to the
completion of all work described in the Statement of Work, in accordance with CITY'S
Prompt Payment Policy.
ARTICLE 6
ATTORNEY'S FEES
6.1 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 7
VENUE AND REMEDIES
7.1 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 8
SUCCESSORS AND ASSIGNS
8.1 CITY and CONTRACTOR, 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 CONTRACTOR will assign, sublet, or transfer any interest in this Agreement
without the written consent of the other.
ARTICLE 9
ENUMERATION OF CONTRACT DOCUMENTS
9.1 This Agreement represents the entire and integrated agreement between CITY and
CONTRACTOR for the work specified in Exhibit "A" and supersedes all prior negotiations,
representations or arguments either written or oral. This Agreement maybe amended only by
written instrument signed by CITY and CONTRACTOR. The Agreement contains the
following exhibits attached to and incorporated in this Agreement for all purposes:
(1) Statement of Work (Exhibit "A");
(2) Bid (Exhibit "B"); and
(3) Substitute W9 Form (Exhibit "C").
6
ARTICLE 10
ACKNOWLEDGMENT
10.1 The above warranties are in addition to, and not in limitation of, any and all other rights and
remedies to which CITY and the homeowner, or subsequent owners, may be entitled, at law
or in equity, and will survive the conveyance of title, delivery of possession of the property,
or other final settlement made by the homeowner and will be binding on the undersigned
notwithstanding any provision to the contrary contained in any instrument heretofore, and
thereafter executed by the homeowner.
This Agreement is effective as of the date first written above.
CONTRACTOR: CITY:
ALL TEX BUILDING & RESTORATION, INC. City of Round Rock
Name
Name
Title Title
7
EXHIBIT "A"
STATEMENT OF WORK
Contractor Name
Contractor Signature
Bid Due Date: 1/24/2006
PROJECT TYPE: Minor Rehabilitation
L.
Q
ti
z
BATHROOM #1
ENTIRE TUB SURROUND.
0 0 o
o 2
z 0
D 0
O CC
CC 0
1Y W
D m
(/) J
CO J
Q Li j
I— I—o
U
W
WQ .0
Z CC c W
WQ as
C
o -o °' a)
` L
co = a
U
• cc� 3 CO0a)
O --
U(o O U C
E >o).6
E L Y O a N C
• O p -.1a• ` •(n to
m N� a 5 a)W
X (o a� V
c U N a) c • LL. O Q
cow' O a)N U a
U r
• cia o U 2, Q Q' a)
I- c2 E Y 8 a Y c
X O O U a) Qj co
j
Ti O :) �— co2 U L
U > N -o tq U O L Q
C O cn 2 a) (1)
- a) o Y Y
E�, a)3 C1 Ua)mm Ct
_O
W
F--
N M W w
W
iLt
Q
Round Rock, TX
1314 E. Logan St.
Monday, December 05, 2005
w
N
w
w
W w
✓ r
w
r
w
J
0
F-
a
w
0
W
W
N
W W
F- W
Q
C.) U_
WO
Ow
c
a) - Cl)a� v c' rn o v C 0
u) U a) :.. _ -C a) a) co
co _c=o 030) ccocoo >� c°) o= as
oIii cl >in C a) C USS
C O y 3 C a) a) C = C p N C
a N
on g
C a) C a) Q.O- N a) Q3a U UN `CL N^
-0 a)
0> aseaha�ao- c
u)m a)v o vax)�-9 n..>m` oo °` CD "-a
p Cl. CK +-' ' a) a) o)00°0
O >O a) m O a O
=3 o c0C-- U0 V V 0= 0 c`a `
`- O a) C a LL co = as o O "0 LL O o `
cY > ami v ai s of a �� 0 m �t a? 2 0
>m 00a)D �� p rn� iii03 ataa))�aQ-
a).n C a) av7 �- aO cv - a� 0 �-
>, cn r. bo E
ED.
3 Lu m v C:1 -
45
0O U .0 "0 00 =•
0O LCL .) r o YO
2 o Q O C 9 C_ >c).<
p "C �' cv O V O
C . a) cn a) Q C) O a) a) 6 — L
3 c0 X ) .L p D o C a) 3 m m
7 -2 fJ
_ • V c6 D 3 8 a).' W Q p a) r
L.
cv d
2 co c15 0H c Ili(.9c 0inv> OQo a) O c >� �"- m
N— > a) a) O o
W
W OD 0 ti CO 0) 0
a
Round Rock, TV
tc
1
Monday, December 05, 1005
N
2
ai
W U)
m
W J LL
QO
�WYZ
LL
CC CC CD co CC
W LLOOo O W
W
0
Y
• Ja
o -o
`o w c E
15 3: w�' o ��N° • as
_2o v. 76 00 0 E w 0
as U n E a) �L o 3 u) c
2 o 0` o' -..7.; m° 'o N .- O O
a) 13
a_ a W a _� ° > (A ti
= Q~ •.0 N O> 3 a Q O Q o)— .•
a) i Q to Q' to a) a) a C U
U W X -a a 0 2 W LL `O
2 4) Y a co a °
co 2 m a= o ot� 0
apII O ca c N (3 EY+� c X O•V
w a) a) +..
ct NW �� v) �.c a) (aX m
0 3� U O a
c a0i 2 0 D c a) 2 a) c 3 0 a. .0
0y Cc3 R„-. occ-• - awcLL
°& as _ $(Ts 0m a) a) cLL
o OW o 0- _0 o a°i y co v)ao � � CLM°
a
vmuwj = �.-o S a) c.° mLo 0 o a)
`•C O C
W10 ° _0 3`r) o O a V. LLU•-O
U a •= w c� E YD 3 011 OLL �
> nU io ce wso ° 0 x w cn a)
2aac O m3o U? Eco.LC,� z na)o5
0 W v)m3cot� ill
> ,_ H 0
N. in
r -
Round Rock, TV
Monday, December 05, 2005
EXHIBIT "B"
BID
k
Bid Due Date: 1/24/2006
ngg
ti
knr
BATHROOM #1
I u.
0 co
�J
q
t)
ENTIRE TUB SURROUND.
rio
w
(NI
0
c
z a) a) a)
2 -Q _
ta
• c 73 O
�0 3 v
U_ fa L
f[1 (0 E Q co t=
m �� 0) M D
O - 0.S x
ij
r-
• sa• 0pN en a) c tIF j (0 O N O Q 4
- �Q� X0
= p8pX`� 0V m • (II
0 v_
_Q
) •0 ) 0 cb N E •E
2 0) O La) ..1 a) i i
c Q.fCvm
T.
; -----QX m3� tJ Lawn Q:
O.
n 3 23 a C9 c ir5a._o c _0
0 w
w W
f-
`— ty r")w w
w w
N
i 0 0.
Q
N
3 v
Q as c
a
0x
a) m
c�
CU N 0
a� as
✓ c o
O v 0 0)
U v n,—
•U
E
0 0)
c
0) fl
0l-
0.
'
>. 02.
0
0
0. 0)
0
N
v O
c c)
i0
d
Li
✓
1
I Cr -
10
Q w w
�+e
J
0
/7 -
UJ w
0
Lit •
O N
Hw
Q �
L0cc0 LI -
5 cc
LI!
0�
0
_0 c
02 0
0 ami 0) 0 o C
C 0 v) '(n C 3 E 0)
c c.c 6 v cco a vo2i (n
v ca v o cv) c•
I
L 0 c t6 w 0 5 L � to 0) c�
L 4) L3. — i "(J .i '-:-
s_ 0
Q. 0 'U to 3 a = U1
.ejx Cp N LY qL U °4 0a
ucc v sc
Cavin� a > aQN To I:.�mc' 0 C'0 0 V j 0= M0
11. c A c . Er O iL O O 02 _ 0
u) (U ' v Q) v c L C7 0 .0 O
La) N f0 cu M a Q) +f-. 2 (t9
LL cam++_ s- -- ( Cc
O V N C ii O LLL '- ; O Y
'� 0 c_ > c x . co � ' 0 0
N ay > cD cu O,_L
LUQ t��0 Q Z toe- v L
O LY d) AD 0. a) T- 0 aial (�_',L ii
c
o ul ofcD o> OQ ,,$) v v v ma v
Q Q
O r. coo) to >
w
N
r
O
W
t -
z
[so
0
Q
w
N
¢ 2
L
v
(4079
E
crL
CCI
71-1. Li! II
uu)i O
C- tZ
L7-
1112- c
C c
-0
q�J O
UP
c c
L M
to
CO
3 0
ry
0i
w fn
o
caCC40f-
tr w
iEOo
• LL O jj
o OtQU
• ZEC
nw0a<CL
w
[rCCOma
G9 00 y 0) EE wwtl
U
t_ -
E
t al 2
5 wTA
--O 0
O twit
• L.
y o c
QX)0 2L
Q)asxv
o • -0Q
O a) c
Q) LL
t4 O
o.
LL U O
(9 to
41)
LJCa0
1
nhr, 05, 2005
EXHIBIT "C"
SUBSTITUTE W9 FORM
Form W-9
(Rev. November 2005)
Department of the Treasury
Internal Revenue service
Request for Taxpayer
Identification Number and Certification
Give form to the
requester. Do not
send to the IRS.
.44
a0
g
W
A
Name (as shown on your income tax re(txn)
Business name, if different from above
Check appropriate box ❑ In
prom sCorporation ❑ Partnership IDOther I.
1-.-1 withholding from backup
withholding
Address (number, street, and apt. or suite no.)
City, state, and ZIP code
U1/4).1\\ c T -7)3I-
Requester's name and address (optional)
List account number(s) here (optional)
Part I
Taxpayer Identification Number (TIN)
Enter your TIN in the appropriate box. The TIN provided must match the name given on Line 1 to avoid
backup withholding. For individuals, this is your social security number (SSN). However, for a resident
alien, sole proprietor, or disregarded entity, see the Part 1 instructions on page 3. For other entities, it is
your employer identification number (EIN). If you do not have a number, see How to get a T1N on page 3.
Note. If the account is in more than one name, see the chart on page 4 for guidelines on whose
number to enter.
Part II
Certification
Social security number
114-1+I11
Or
Employer identification number
J10
Under penalties of perjury, I certify that:
1. The number shown on this form is my correct taxpayer identification number (or I am waiting for a number to be issued to me), and
2. 1 am not subject to backup withholding because: (a) I am exempt from backup withholding, or (b) I have not been notified by the Internal
Revenue Service (IRS) that I am subject to backup withholding as a result of a failure to report all interest or dividends, or (c) the IRS has
notified me that I am no longer subject to backup withholding, and
3. I am a U.S. person (including a U.S. resident alien).
Certification instructions. You must cross out item 2 above if you have been notified by the IRS that you are currently subject to backup
withholding because you have failed to report all interest and dividends on your tax return. For real estate transactions, item 2 does not apply.
For mortgage interest paid, acquisition or abandonment of secured property, cancellation of debt, contributions to an individual retirement
arrangement (IRA), and generally, payments other than interest and dividends, you are not required to sign the Certification, but you must
provide your correct TIN. (See the instructions on page 4.)
Skin Signature of
Here U.S. person ►
Purpose of Form
A person who is required to file an information return with the
IRS, must obtain your correct taxpayer identification number
(flN) to report, for example, income paid to you, real estate
transactions, mortgage interest you paid, acquisition or
abandonment of secured property, cancellation of debt, or
contributions you made to an IRA.
U.S. person. Use Form W-9 only if you are a U.S. person
(including a resident alien), to provide your correct TIN to the
person requesting it (the requester) and, when applicable, to:
1. Certify that the TIN you are giving is correct (or you are
waiting for a number to be issued),
2. Certify that you are not subject to backup withholding, or
3. Claim exemption from backup withholding if you are a
U.S. exempt payee.
In 3 above, if applicable, you are also certifying that as a
U.S. person, your allocable share of any partnership income
from a U.S. trade or business is not subject to the
withholding tax on foreign partners' share of effectively
connected income.
Note. If a requester gives you a form other than Form W-9 to
request your TIN, you must use the requester's form if it is
substantially similar to this Form W-9.
For federal tax purposes, you are considered a person if you
are:
Date ►-/ ®k
• An individual who is a citizen or resident of the United
States,
• A partnership, corporation, company, or association
created or organized in the United States or under the laws
of the United States, or
• Any estate (other than a foreign estate) or trust. See
Regulations sections 301.7701-6(a) and 7(a) for additional
information.
Special rules for partnerships. Partnerships that conduct a
trade or business in the United States are generally required
to pay a withholding tax on any foreign partners' share of
income from such business. Further, in certain cases where a
Form W-9 has not been received, a partnership is required to
presume that a partner is a foreign person, and pay the
withholding tax. Therefore, if you are a U.S. person that is a
partner in a partnership conducting a trade or business in the
United States, provide Form W-9 to the partnership to
establish your U.S. status and avoid withholding on your
share of partnership income.
The person who gives Form W-9 to the partnership for
purposes of establishing its U.S. status and avoiding
withholding on its allocable share of net income from the
partnership conducting a trade or business in the United
States is in the following cases:
• The U.S. owner of a disregarded entity and not the entity,
Cat. No. 10231X Form W-9 (Rev. 11-2005)
EXHIBIT "D"
REAL ESTATE LIEN NOTE
REAL ESTATE LIEN NOTE
(Minor Home Repair Program)
Date: , 2006
Maker (whether one or more): SHAMEIKA BROWN AND MINNIE BROWN
Maker's Mailing Address (including county):
Shameika Brown and Minnie Brown
1314 E Logan Street
Round Rock, Texas, 78664
Williamson County
Payee: CITY OF ROUND ROCK, TEXAS
1. Place for Payment (including county):
CITY OF ROUND ROCK
Attn: Minor Home Repair Program Manager
221 East Main Street
Round Rock, Texas 78664
Williamson County
or any other place that Payee may designate in writing.
2. Principal Amount:
EIGHT THOUSAND THREE HUNDRED SIXTY-SIX AND NO/100 DOLLARS
($8,366.00)
3. Annual Interest Rate on Unpaid Principal from Date: The highest interest rate allowed
by law will be charged on this Note if a Default has been declared by the Note Holder as
stated in Paragraph 9 of this Note.
4. Maker's Promise to Pay
a. Purpose This Note implements requirements applicable to assistance furnished by Payee
to Maker under a program to help eligible families with minor home repairs being carried
out by Payee, which, for certain loans may use grant funds furnished by HUD through the
CDBG program. The Payee has assisted the Maker with respect to rehabilitation of the
Property, for use as the Maker's principal residence.
00091649
b. Promise to Pay Maker promises to Pay to the order of Payee at the place for payment and
according to the terms of payment the principal amount plus interest, if any, plus other
charges at the rates stated above.
5. Terms of Payment:
a. Subsidy Repayment Obligation Principal In return for assistance Maker has received
with respect to rehabilitation of the Property, Maker promises to pay the Principal
Amount as stated in Paragraph 2 to the order of Payee, payment of Principal under this
Note will be initially deferred and if necessary payable as stated in this Paragraph. The
total Principal Amount shall be due and payable on the date of an event of Default as
stated in Paragraph 9.
b. Deferral and Payment of Principal The outstanding principal balance of this Note shall
remain the same as the amount stated in Paragraph 2 until five (5) years from the date of
this Note. If the Property is sold, leased or there is a transfer of title of the property,
including transfer by contract for deed, within the five (5) years from the date of this
Note, Maker shall repay the principal loan amount to Payee. If there is no sale, lease, or
transfer of title of the Property within five (5) years from the date of this Note, the loan
shall be forgiven.
6. Security for Payment and Obligations:
a. In addition to the protections given to the Note Holder under this Note, this Note is
secured by a subordinated deed of trust, of even date, from Maker to Stephan L. Sheets,
Trustee, that conveys the Property as described below in trust (collectively, the
"Subordinate Security Instrument").
b. The lien securing this Note shall remain subordinate to the indebtedness evidenced by
one or more Notes payable to the Financial Institution as defined below, which Notes are
secured by the Senior Lien as defined below, and as renewed, extended, re -amortized, or
otherwise adjusted from time to time; provided, however, that the renewal, extension, or
other credit extension does not constitute an increase in the unpaid principal balance of
the Financial Institution's indebtedness.
c. The Subordinate Security Instrument describes the conditions under which Maker may be
required to make immediate payment in full of all amounts Maker owes under this Note.
One of those conditions set forth therein is that if all or any part of the Property or any
interest in it (including a beneficial interest) is sold or transferred without compliance
with the terms of this Note and the Subordinate Security Instrument, the Note Holder will
require immediate payment in full of all sums secured by the Subordinate Security
Instrument. In the event of such a sale, or in the event of any other Default under this
Note or the Subordinate Security Instrument, the Note Holder may give the Maker Notice
of Default and acceleration under Paragraph 9 of this Note.
2
7. Additional Definitions:
a. "Bona Fide Net Resale Proceeds" means the amount calculated by the Note Holder by
subtracting from the contract sales price between the Maker and the proposed buyer for
the Property the amounts due on the Closing Date on any "Senior Liens" and on
"Maker's Other Liens", and also subtracting the amount of any reasonable and
customary sales expenses paid by the Maker in connection with the sale, each as
determined by the Note Holder. If any part of the contract sales price for the Property is
paid in the form of a promissory Note, or any thing of value other than lawful money of
the United States, the Note Holder is hereby authorized to assign a fair market value
thereto. Maker agrees to accept such thing of value at such assigned fair market value as
part of maker's equity, or to allow it to be retained by the Note Holder as Alternate
Principal, as the Note Holder in its sole discretion may determine.
b. "Closing Date" means the date of closing of Maker's sale of the Property to a buyer, or
if there is no formal closing, the date on which the conveyance (deed) is recorded.
c. "Minor Home Repair Payment Activity" means any loan made by Payee using either
CDBG funds or other funds to assist a Homeowner with payment funds for minor repairs
on a home.
d. "Financial Institution" means MORTGAGE ELECTRONIC REGISTRATION
SYSTEMS, INC.
e. "CDBG" means Community Development Block Grant program.
f. "HUD " means the United States Department of Housing and Urban Development.
g.
"Maker's Other Liens" means unpaid liens or other charges that Maker authorized, or
allowed to exist against the Property since the date of this Note. Such liens may include,
for example, liens for money borrowed to finance additional improvements, home equity
lines of credit, and other voluntary liens, liens for unpaid taxes, special assessments,
water, sewer, and other utility charges, mechanics' liens, and other liens and charges
arising by operation of law; and judgment or other creditor's liens, any of which may
affect the amount of the sales proceeds, Maker hereby authorizes Note Holder to
determine, in Note Holder's sole discretion, the amount by which these liens or charges
reduce the Bond Fide Net Resale Proceeds for the Property, and to reduce the amount
payable to Maker as maker's equity by an equal amount.
h. "Note Holder" means the lender of any authorized party who takes this Note by
assignment and is entitled to receive amounts due under this Note.
i. "Property" means the certain real property described on Exhibit "A" attached to this
Note and by this reference incorporated in it.
3
j. "Senior Lien Note" means another Note in the original principal amount of $97,972.00,
of the 25th of July 2003, executed by Maker, payable to the order of Financial Institution,
and fully described in the Senior Lien.
k. "Senior Lien" means a deed of trust recorded or to be recorded in the real property
records of Williamson County, Texas.
1. "Subordinate Security Instrument" means the instruments identified in Paragraph 7.a.
8. Maker's Right to Prepay
Maker may make a full prepayment or partial prepayments without paying any prepayment
or interest charge. In the event of prepayment, the Note Holder will use all of Maker's
prepayments to reduce the amount of Principal that Maker owes under this Note.
9. Default
a. Events of Default Any of the following events shall constitute a Default under this Note,
as of the date of the Notice of Default under Paragraph 10:
i. Rental during term of Note. If the Maker rents or leases (including an oral lease)
the Property to any person or entity during the term of this Note, the Maker is in
Default under this Note.
ii. Failure to Occupy Property as Principal Residence during the term of the Note.
If all Makers are continuously absent from the Property for a period of more than
thirty (30) days, or move substantially all their personal possessions out of the
Property, without the written consent of the Note Holder, the Makers shall be deemed
not to be occupying the Property as their Principal Residence and shall be in Default
under this Note.
iii. Any Transfer of the Property. Any transfer of the Property or any interest therein
(including a beneficial interest) within five (5) years of the signing of this Note is a
Default under this Note. Maker authorizes the Note Holder to determine, in its sole
discretion, whether a transfer of a portion of the Property, or a partial interest therein,
or any other reason has an effect on the value of the Note Holder's interest substantial
enough to be considered a transfer for purposes of this Paragraph 9. Maker will mail,
certified mail, return receipt requested, or deliver notice of any proposed transfer and
a copy of the sales contract to the Note Holder at least fourteen (14) calendar days
before the proposed Closing Date, at the Place for Payment as stated in Paragraph 1
or any other place that Payee may designate in writing.
iv. The Property or Maker is not Eligible under CDBG. The Maker is in default
under this Note, if:
4
(1) at the time the Note was signed by Maker, the Property:
(a) did not become the principal residence of the Maker; or
(b) was in an area identified by the Federal Emergency Management Agency as
having a special flood hazard, or, if the Property is in a flood hazard area,
flood insurance had not been obtained by Maker;
(2) at the time Maker purchased the Property, the Maker's household was not a low-
income family as stated at 24 CFR §92.217 at the later of (a) Maker's occupancy
of the Property, or (b) at the time the Principal is advanced; or
(3) at the time Maker purchased the Property, any employee, agent, consultant,
officer, or elected or appointed official who exercises or has exercised any
functions or responsibilities with respect to activities assisted with CDGB funds
or who are in a position to participate in a decision making process or gain inside
information with regard to these activities, has obtained a financial interest or
benefit from a Minor Home Repair Payment Activity, or has an interest in any
contract, subcontract, or agreement with respect thereto, or the proceeds
thereunder, either for themselves or those with whom they have family or
business ties, during their tenure or for one year thereafter as stated at the conflict
of interest provisions of 24 C.F.R. §92.356.
v. Any Default under the Note or the Subordinate Security Instrument:
(1) If there is an uncured default in payment of any part of principal or interest of the
Financial Institution's $97,972.00 Note or in observance of any obligations or
covenants of any instruments securing it, the debt evidenced by this $8,366.00
Note shall immediately become payable at the option of Payee at the end of the
cure period.
(2) If Maker defaults in the payment of this Note or in the performance of any
obligation in any instrument securing or collateral to it, and the default continues
after Payee gives Maker notice of the default and the time within which it must be
cured by Maker, as may be required by law or by written agreement, then Payee
may declare the unpaid principal balance and earned interest on this Note
immediately due.
(3) If Maker fails to perform any of Maker's obligations in this Note or in the
instruments securing it, Payee may perform those obligations and be reimbursed
by Maker, on demand, at the place where this Note is payable for any amounts so
paid, including attorney's fees, plus interest on those amounts from the date of
payment at the annual interest rate on the matured, unpaid amount. The amount to
be reimbursed shall be secured by all instruments securing this Note.
5
vi. Any Refinancing of the Senior Lien Note. If either the Senior Lien Note is
refinanced or the Maker's equity interest in the property pursuant to Art. 16 § 50(a)(6)
of the Texas Constitution is financed and the refinancing or financing is without
Payee's prior written approval, the outstanding principal balance and accrued interest
if any, of this Note shall be due and payable as described in Paragraph 5.
vii. Maker's Fraud or Misrepresentation. Any willful misstatement of, or failure to
disclose, a material fact by Maker relating to his or her eligibility for assistance with
respect to the Property under the Minor Home Repair program under the CDBG
program is a Default under this Paragraph. Recovery against the Maker responsible
for the fraud or misrepresentation is not limited to the proceeds of sale of the
Property, but may include personal judgment and execution thereon to the full extent
authorized by law. Maker represents that all statements contained in the Application
for this loan with the City of Round Rock are true and correct.
b. Notice of Default and Amount Due If Maker is in Default, the Note Holder may send
Maker a written notice stating the reason Maker is in Default and telling Maker to pay
immediately: (i) the full amount of Principal then due on this Note, (ii) all of the interest
that Maker owes, and that will accrue until paid, on that amount, and (iii) all of the Note
Holder's costs and expenses reimbursable under Paragraph 9.c.
c. Payment of Note Holder's Costs and Expenses If the Note Holder has notified Maker to
pay immediately in full under Paragraph 10 and this Note or any instrument securing or
collateral to it is given to an attorney for collection or enforcement, or if suit is brought
for collection or enforcement, or if it is collected or enforced through probate,
bankruptcy, or other judicial proceeding, then Note Holder has the right to be repaid from
the proceeds of foreclosure for all of its costs and expenses in enforcing this Note to the
extent not prohibited by applicable law. Those expenses include, for example, all costs of
collection and enforcement, including reasonable attorney's fees and court costs, in
addition to other amounts due. Reasonable attorney's fees shall be 10% of all amounts
due unless either party pleads otherwise.
d. No Waiver By Note Holder Even if, at a time when Maker is in Default, the Note Holder
does not require Maker to pay immediately in full under Paragraph 10, the Note Holder
will still have the right to do so if Maker is in Default for the same reason, or for another
reason, at a later time.
10. Giving of Notices
Unless applicable law requires a different method, any notice that must be given to Maker
under this Note will be given by delivering it or by mailing it by first class mail to Maker at
the Property Address above, or at a different address if Maker gives the Note Holder a notice
of Maker's different address.
6
Any notice that must be given to the Note Holder under this Note will be given by mailing it
by first class mail to the Note Holder at the Place for Payment stated in Paragraph 1, or at a
different address, if Maker is given a notice of that different address.
11. Obligations of Persons under this Note
If more than one person signs this Note, each person is fully obligated to keep all of the
promises made in this Note, including the promise to pay the full amount owed from the
proceeds of sale of the Property. Any person who is a guarantor, surety or endorser of the
Note is also obligated to the same extent. Any person who takes over these obligations,
including the obligations of a guarantor, surety or endorser of this Note, is also obligated to
keep all of the promises made in this Note. The Note Holder may enforce its rights under this
Note against each person individually or against all of the persons signing the Note together.
12. Maximum Interest on the Debt
Interest on the debt evidenced by this Note shall not exceed the maximum amount of
nonusurious interest that may be contracted for, taken, reserved, charged, or received under
law; any interest in excess of that maximum amount shall be credited on the principal of the
debt or, if that has been paid, refunded. On any acceleration or required or permitted
prepayment, any such excess shall be canceled automatically as of the acceleration or
prepayment or, if already paid, credited on the principal of the debt or, if the principal of the
debt has been paid, refunded. This provision overrides other provisions in this and all other
instruments concerning the debt.
13. Waivers
Maker and any person who has obligations under this Note waive all demands for payment,
presentations for payment, notices of intention to accelerate maturity, notices of acceleration
of maturity, protests, notices of protest, the rights of presentment, and notice of dishonor to
the extent not prohibited by applicable law "Presentment" means Maker's right to require the
Note Holder formally to demand payment of amounts due. "Notice of dishonor" means the
right to require the Note Holder to give notice to other persons that amounts due have not
been paid.
14. Release and Satisfaction
This Note shall be deemed satisfied and Maker shall be entitled to a release of the
Subordinate Security Instrument upon payment of a reasonable fee, as determined by the
Note Holder, for preparation and recordation of the release under the circumstances
described in Paragraph 15, upon full prepayment under Paragraph 8, upon payment of all
amounts due upon Default under Paragraph 9, or upon recordation of a deed -in -lieu of
foreclosure.
7
15. Governing Law
To the extent not inconsistent therewith, this Note and the Subordinate Security Instrument
shall be governed by the law of the State and local jurisdiction in which the Property is
located.
Each Maker is responsible for all obligations represented by this Note.
When the context requires singular nouns and pronouns include the plural.
EXECUTED AND DELIVERED as of the ay and year first above written.
/r
SH a BROWN
MINNIE BROWN
ATTACHED EXHIBIT "A" - Legal Description of Property
PLEASE RETURN TO:
Sheets & Crossfield, P.C.
309 E. Main St.
Round Rock, Texas 78664
8
EXHIBIT "A"
Lot 31, Block "R", Greenslopes at Lake Creek -Section Ten -B, a Subdivision of
Williamson County, Texas, according to the map or plat thereof recorded in
Cabinet G, Slides 130-131, Plat Records of Williamson County, Texas.
9
EXHIBIT "E"
DEED OF TRUST
DEED OF TRUST
(Minor Horne Repair Program)
NOTICE OF CONFIDENTIALITY RIGHTS: IF YOU ARE A NATURAL PERSON,
YOU MAY REMOVE OR STRIKE ANY OF THE FOLLOWING INFORMATION
FROM THIS INSTRUMENT BEFORE IT IS FILED FOR RECORD IN THE PUBLIC
RECORDS: YOUR SOCIAL SECURITY NUMBER OR YOUR DRIVER'S LICENSE
NUMBER.
Date: , 2006
Grantor (whether one or more): SHAMEIKA BROWN AND MINNIE BROWN
Grantor's Mailing Address (including county):
Shameika Brown and Minnie Brown
1314 E Logan Street
Round Rock, Texas, 78664
Williamson County
Trustee: Stephan L. Sheets
Trustee's Mailing Address (including county):
Stephan L. Sheets
309 East Main
Round Rock, Texas 78664
Williamson County, Texas
Beneficiary: City of Round Rock, Texas, a Texas corporation
Beneficiary's Mailing Address (including county):
City of Round Rock
Attn: Minor Home Repair Program Manager
221 East Main
Round Rock, Texas 78664
Williamson County, Texas
Note(s)
Date: , 2006
Amount: $8,366.00
00091605
Maker (whether one or more): SHAMEIKA BROWN AND MINNIE BROWN
Payee: CITY OF ROUND ROCK, TEXAS, a Texas corporation
Final Maturity Date: As provided in the Note.
Terms of Payment (optional): As provided in the Note.
Property (including any improvements):
The certain real property more particularly described on Exhibit "A" attached to this
Deed of Trust and by this reference incorporated in it, all fixtures and improvements
situated thereon and all rights, titles and interests appurtenant thereto.
Prior Lien(s) (including recording information):
The liens securing another note in the original principal amount of $97,972.00 of the 25th
of July 2003, executed by Grantor, payable to the order of MORTGAGE ELECTRONIC
REGISTRATION SYSTEMS, INC. (herein "Financial Institution"), including without
limitation the liens evidenced by that certain deed of trust and security agreement, of
even date, executed by Grantor in favor of Financial Institution and recorded in the real
property records of Williamson County, Texas.
Other Exceptions to Conveyance and Warranty:
1. Note dated of even date herewith, between Grantor and Beneficiary (the "Note"). All
obligations and covenants in the Note shall terminate on the date Beneficiary, in its
sole discretion, issues a release of all present and future rights to establish or enforce
the Deed of Trust lien that secures the Note. The release shall be in such form as to
enable it to be recorded in the real property records of Williamson County, Texas;
and
2. Easements, rights-of-way, and prescriptive rights, whether of record or not; all
presently recorded instruments that affect the Property; taxes for 2005, the payment
of which Grantor assumes; and subsequent assessments for that and prior years due to
change in land usage, ownership, or both, the payment of which Grantor assumes.
For value received and to secure payment of the Note, Grantor conveys the Property to Trustee
in trust. Grantor warrants and agrees to defend the title to the Property. If Grantor performs all
the obligations and covenants in the Note and pays the Note according to its terms, this Deed of
Trust shall have no further effect, and Beneficiary shall release it at Grantor's expense.
2
Grantor's Obligations
Grantor agrees to:
1. keep the Property in good repair and condition;
2. pay all taxes and assessments on the Property when due;
3. preserve the lien's priority as it is established in this Deed of Trust;
4. maintain, if applicable in a form acceptable to Beneficiary, an insurance policy that:
a. provides flood insurance at any time the Property is in a flood hazard area; and
b. contains such other coverage as Beneficiary may reasonably require;
5. deliver the insurance policy to Beneficiary and deliver renewals to Beneficiary at
least ten days before expiration;
6. keep any buildings occupied as required by the insurance policy;
7. if this is not a first lien, pay all prior lien notes that Grantor is personally able to pay
and abide by all prior lien instruments;
8. if all or any part of the Property or an interest in it (including a beneficial interest) is
sold or transferred without compliance with the terms of the Note and this Deed of
Trust, immediately pay in full to Beneficiary all sums secured by this Deed of Trust;
and
9. comply at all times with the terms, representations, and conditions of the Note.
Beneficiary's Rights
1. Beneficiary may appoint in writing a substitute or successor trustee, succeeding to all
rights and responsibilities of Trustee.
2. If the proceeds of the Note are used to pay any debt secured by prior liens,
Beneficiary is subrogated to all of the rights and liens of the holders of any debt so
paid.
3. If applicable, Beneficiary may apply any proceeds received under the insurance
policy either to reduce the Note or to repair or replace damaged or destroyed
improvements covered by the policy.
4. If Grantor fails to perform any of Grantor's obligations, Beneficiary may perform
those obligations and be reimbursed by Grantor on demand at the place where the
Note is payable for any sums so paid, including attorney's fees, plus interest on those
sums from the dates of payment at the rate stated in the Note for matured, unpaid
amounts. The sum to be reimbursed shall be secured by this Deed of Trust.
5. If Grantor defaults on the Note, or if Grantor fails to perform any of Grantor's
obligations, or if all or any part of the Property or an interest in it (including a
beneficial interest) is sold or transferred without compliance with the terms of the
Note and this Deed of Trust, or if default occurs on a prior lien note or other
instrument, and the default continues after Beneficiary gives Grantor notice of the
default and the time within which it must be cured, as may be required by law or by
written agreement, then Beneficiary may:
a. declare the unpaid principal balance and carried interest on the Note immediately
due;
b. request Trustee to foreclose this lien, in which case Beneficiary or Beneficiary's
agent shall give notice of the foreclosure sale as provided by the Texas Property
Code as then amended; and
c. purchase the Property at any foreclosure sale by offering the highest bid and then
have the bid credited on the Note.
6. If the Grantor defaults on the Note or fails to perform any of Grantor's obligations
under this Deed of Trust, the Beneficiary shall provide the Financial Institution, a
prior lienholder, with copies of all correspondence transmitted to Grantor regarding
the default or notice of acceleration.
Trustee's Duties
If requested by Beneficiary to foreclose this lien, Trustee shall:
1. either personally or by agent give notice of the foreclosure sale as required by the
Texas Property Code as then amended;
2. sell and convey all or part of the Property to the highest bidder for cash with a general
warranty binding Grantor, subject to prior liens and to other exceptions to conveyance
and warranty;
3. from the proceeds of the sale, pay, in this order:
a. expenses of foreclosure, including a commission to Trustee of five (5) percent of
the bid;
b. to Beneficiary, the full amount of principal, interest, attorney's fees, and other
charges due and unpaid;
c. any amounts required by law to be paid before payment to Grantor; and
d. to Grantor, any balance; and
4. if the prior lien has not been released, give written notice to Financial Institution that
Grantor is in default under this Deed of Trust and a copy of the notice of foreclosure
sale given Grantor.
General Provisions
1. If any of the Property is sold under this Deed of Trust, Grantor shall immediately
surrender possession to the purchaser. If Grantor fails to do so, Grantor shall become
a tenant at sufferance of the purchaser, subject to an action for forcible detainer.
2. If Grantor transfers any part of the Property without Trustee's prior written consent,
Trustee may declare the Note secured by this Deed of Trust immediately payable and
invoke any remedies provided in this Deed of Trust for default. If the Property is
residential real property containing fewer than five dwelling units or a residential
manufactured home occupied by Grantor, exceptions to this provision are limited to
(a) a subordinate lien or encumbrance that does not transfer rights of occupancy of the
Property; (b) creation of a purchase -money security interest for household appliances;
(c) transfer by devise, descent, or operation of law on the death of a co -Grantor; (d)
grant of a leasehold interest of three years or less without an option to purchase; (e)
transfer to a spouse or children of Grantor or between co -Grantors; (f) transfer to a
4
relative of Grantor on Grantor's death; and (g) transfer to an inter vivos trust in which
Grantor is an remains a beneficiary and occupant of the Property.
3. Recitals in any Trustee's deed conveying the Property will be presumed to be true.
4. Proceeding under this Deed of Trust, filing suit for foreclosure, or pursuing any other
remedy will not constitute an election of remedies.
5. This lien shall remain superior to liens later created even if the time of payment of all
or part of the Note is extended or part of the Property is released.
6. If any portion of the Note cannot be lawfully secured by this Deed of Trust, payments
shall be applied first to discharge that portion.
7. Grantor assigns to Beneficiary all sums payable to or received by Grantor from
condemnation of all or part of the Property, from private sale in lieu of condemnation,
and from damages caused by public works or construction on or near the Property.
After deducting any expenses incurred, including attorney's fees, Beneficiary may
release any remaining sums to Grantor or apply such sums to reduce the Note.
Beneficiary shall not be liable for failure to collect or to exercise diligence in
collecting any such sums.
8. Following the maturity of the above described Financial Institution loan, Grantor
assigns to Beneficiary absolutely, not only as collateral, all present and future rent
and other income and receipts from the Property. Prior to such maturity Borrower's
rights shall not arise under this paragraph 7. Leases are not assigned. Grantor
warrants the validity and enforceability of the assignment. Grantor may as
Beneficiary's licensee collect rent and other income and receipts as long as Grantor is
not in default under the Note or this Deed of Trust. Grantor will apply all rent and
other income and receipts to payment of the Note and performance of this Deed of
Trust, but if the rent and other income and receipts exceed the amount due under the
Note and Deed of Trust, Grantor may retain the excess. If Grantor defaults in
payment of the Note or performance of this Deed of Trust, Beneficiary may terminate
Grantor's license to collect and then as Grantor's agent may rent the Property if it is
vacant and collect all rent and other income and receipts. Beneficiary neither has nor
assumes any obligations as lessor or landlord with respect to any occupant of the
Property. Beneficiary may exercise Beneficiary's rights and remedies under this
paragraph 7 without taking possession of the Property. Beneficiary shall apply all rent
and other income and receipts collected under this paragraph 7 first to expenses
incurred in exercising Beneficiary's rights and remedies and then to Grantor's
obligations under the Note and this Deed of Trust in the order determined by
Beneficiary. Beneficiary is not required to act under this paragraph 7, and acting
under this paragraph 7 does not waive any of Beneficiary's other rights or remedies. If
Grantor becomes a voluntary or involuntary bankrupt, Beneficiary's filing a proof of
claim in bankruptcy will be tantamount to the appoint of a receiver under Texas law.
9. Interest on the debt secured by this Deed of Trust shall not exceed the maximum
amount of nonusurious interest that may be contracted for, taken, reserved, charged,
or received under law; any interest in excess of that maximum amount shall be
credited on the principal of the debt or, if that has been paid, refunded. On any
acceleration or required or permitted prepayment, any such excess shall be canceled
automatically as of the acceleration or prepayment or, if already paid, credited on the
5
principal of the debt or, if the principal of the debt has been paid, refunded. This
provision overrides other provisions in this and all other instruments concerning the
debt.
10. Grantor represents that this Deed of Trust and the Note are given as security for
money provided for home repairs on the Property.
11. Except where otherwise required or permitted by the Beneficiary in connection with a
transfer on death, divorce, legal separation, or legal incapacity of a Grantor as
provided in the Note, the Note and this Deed of Trust may not be assumed.
12. If Grantor fails to pay any part of principal or interest secured by a prior lien or liens
on the Property when it becomes payable or defaults on any prior lien instrument, the
debt secured by this Deed of Trust shall immediately become payable at the option of
Beneficiary.
13. Beneficiary and Grantor acknowledge and agree that this Deed of Trust is subject and
subordinate in all respects to the liens, terms, covenants and conditions of the prior
lien and to all advances heretofore made or which may hereafter be made pursuant to
the prior lien, including all sums advanced for the purpose of (a) protecting or further
securing the lien of the prior lien or (b) constructing, renovating, repairing,
furnishing, fixturing or equipping the Property. The terms and provisions of the prior
lien are paramount and controlling, and they supersede any other terms and
provisions of this Deed of Trust in conflict therewith. In the event of a foreclosure or
deed in lieu of foreclosure of the prior lien, any provisions herein or any provision in
any collateral agreement restricting the use of the Property to low or moderate income
households or otherwise restricting the Grantor's ability to sell the Property shall have
no further force or effect on subsequent owners or purchasers of the Property. Any
person, including his successors or assigns (other than the Grantor or a person or
entity related to the Grantor), receiving title to the Property through foreclosure or
deed in lieu of foreclosure of the prior lien shall receive title to the Property free and
clear from such restrictions. Further, if the Financial Institution acquires title to the
Property pursuant to a deed in lieu of foreclosure, the lien of this Deed of Trust shall
automatically terminate upon the Financial Institution's acquisition of title, provided
that (i) the Beneficiary has been given written notice of a default under the prior lien
and (ii) the Beneficiary (or another party acting on its behalf) shall not have cured the
default under the prior lien, or diligently pursued curing the default as determined by
the Financial Institution, within the sixty-day period provided in such notice sent to
the Beneficiary.
14. To the extent not inconsistent therewith, this Deed of Trust and the Note shall be
governed by the laws of Texas and the local jurisdiction in which the Property is
located.
15. When the context requires, singular nouns and pronouns include the plural.
16. The term "Note" includes all sums secured by this Deed of Trust.
17. This Deed of Trust shall bind, inure to the benefit of, and be exercised by successors
in interest of all parties.
18. If Grantor and Maker are not the same person, the term "Grantor" shall include
Maker.
6
EXECUTED AND DELIVERED as of the date first above written.
MINNIE BROWN
ATTACHED EXHIBIT "A" - Legal Description of Property
ACKNOWLEDGMENT
STATE OF TEXAS
COUNTY OF WILLIAMSON
This instrument was acknowledged before me on this the Z 3 day of 4,644(0
2006 by Shameika Brown.
MARGARITA B. LOPEZ
MY COMMISSION EXPIRES
March 6, 2007
1
Notary Public, State of Texas
ACKNOWLEDGMENT
STATE OF TEXAS
COUNTY OF WILLIAMSON
This instrument was acknowledged before me on this the 23 day of
2006 by Minnie Brown.
MARGARITA B. LOPEZ
MY COMMISSION EXPIRES
March 6, 2007
Vi'lakvakt.
Notary Public, State of Texas
7
PLEASE RETURN TO:
City of Round Rock
Attn: Minor Home Repair Program Manager
221 East Main
Round Rock, Texas 78664
8
EXHIBIT "A"
(Legal Description of Property)
The Property (including any improvements) referred to in this agreement is described as
follows:
Lot 31, Block "R", Greenslopes at Lake Creek -Section Ten -B, a
Subdivision of Williamson County, Texas, according to the map or plat
thereof recorded in Cabinet G, Slide 130, Plat Records of Williamson
County, Texas.
9
COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) -
COMMUNITY HOUSING REPAIR PROGRAM CONTRACTOR AGREEMENT
This CDBG Community Housing Repair Program Contractor Agreement (Agreement), is made
this /3 day of apiva_. 2006, between the City of Round Rock, Texas, 221 East Main Street,
Round Rock, Texas ("CITY"), and ALL TEX BUILDING & RESTORATION, INC., 12711
Woodcreek Drive, Willis, Texas 77317 ("CONTRACTOR").
RECITALS
WHEREAS, CITY has been awarded grant funds which may be spent by 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 non-interest bearing loan to pay CONTRACTOR for labor, materials and
equipment to be utilized in the rehabilitation; and
WHEREAS, CITY will pay CONTRACTOR for labor, materials and equipment to be utilized in
the rehabilitation of Lot 31, Block "R", Greenslopes at Lake Creek -Section Ten -B, a Subdivision of
Williamson County, Texas, according to the map or plat thereof recorded in Cabinet G, Slide 130, Plat
Records of Williamson County, Texas, also known as 1314 E. Logan Street, Round Rock, Texas, as
specified in the Statement of Work, 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,
CITY and CONTRACTOR agree as follows:
ARTICLE 1
GENERAL REQUIREMENTS
1.1 CITY will pay CONTRACTOR $8,366.00 ("Contract Amount"). Funds will not be used to
pay the homeowner or members of its family.
1.2 Payment will be made by CITY for all work described in the Statement of Work after it is
found to be satisfactorily completed and inspected by the Construction Advisor, as defined in
the City of Round Rock Minor Home Repair Program Policies and Procedures, and the CITY
Inspector. If CONTRACTOR is requesting payments of the Contract Amount prior to the
completion of all work described in the Statement of Work, CONTRACTOR will submit a
performance bond to CITY as part of this Agreement. CITY will pay CONTRACTOR for
work in accordance with CITY'S Prompt Payment Policy, as defined in the City of Round
Rock Minor Home Repair Program Policies and Procedures.
1.3 CONTRACTOR will not deviate from the work described in the Statement of Work without a
change order from CITY. Any such change order will be included in an amendment to this
00096177
E -O4, -O41-13- )06$
Agreement. The Contract Amount and any change orders will not exceed a total of
$15,000.00.
1.4 All work specified in the Statement of Work will be satisfactorily completed within ninety (90)
days from the date of the Notice to Proceed.
ARTICLE 2
CONTRACTOR'S RESPONSIBILITIES
2.1 CONTRACTOR will ensure that all work performed under this Agreement is permitted and
inspected by CITY's Building Inspection Division. CONTRACTOR agrees to be duly
licensed under CITY ordinances and State laws and be responsible for obtaining the building
permit.
2.2 CONTRACTOR understands that it is solely responsible for meeting the terms and conditions
of this Agreement. If CONTRACTOR fails to properly perform or complete any of the work
specified in the Statement of Work, CONTRACTOR will not receive funding for any work
that is found to be improperly performed or incomplete.
2.3 CONTRACTOR understands that a performance bond is required as part of this Agreement if
CONTRACTOR is requesting payments of the Contract Amount prior to the completion of all
work described in the Statement of Work.
2.4 CONTRACTOR understands that the job will be inspected by a CITY Inspector and
Construction Advisor before any funds will be paid out.
2.5 CITY will provide a Notice to Proceed to CONTRACTOR to commence work.
CONTRACTOR agrees to start work within thirty (30) calendar days after receipt of the
Notice to Proceed. If CONTRACTOR fails to commence work within thirty (30) days from the
date on the Notice to Proceed, CITY will have the right to terminate this Agreement, by
providing a written notice of termination to CONTRACTOR.
2.6 CONTRACTOR agrees to complete the work within ninety (90) days from the date of the
Notice to Proceed. If completion is delayed for reasons beyond the CONTRACTOR's control,
CONTRACTOR will provide timely notice to CITY of the reasons for such delay. If such
good cause is claimed by CONTRACTOR, it will be CONTRACTOR'S obligation to
substantiate its claim by adequate documentation.
2.7 CONTRACTOR affirms that it has not been debarred from performing federal contract work.
ARTICLE 3
OTHER PROGRAM REQUIREMENTS
3.1 PERMITS AND CODES. CONTRACTOR agrees to secure and pay for all necessary permits
and licenses required for CONTRACTOR'S performance and to adhere to applicable local
2
codes and requirements whether or not covered by the Statement of Work, including any
CONTRACTOR registration requirements.
3.2 DISCRIMINATION. CONTRACTOR 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.
3.3 WARRANTY. CONTRACTOR agrees to provide a full one-year warranty to the
homeowner, said warranty will extend to subsequent owners of the property to be improved.
The warranty will provide that improvements hardware, and fixtures of whatever kind or
nature installed or constructed on said property by the CONTRACTOR are of good quality
and free from defects in workmanship or materials or deficiencies subject to the warranty
provided in this paragraph. CONTRACTOR and CITY agree, however, that the warranty set
forth in this paragraph will apply only to such deficiencies and defects as to which
homeowner or subsequent owners will have given written notice by certified mail to the
CONTRACTOR, at its principal place of business, within one (1) year from the date of the
final inspection and acceptance by the CITY Inspector that all work under the Agreement has
been completed.
3.4 BID. CONTRACTOR acknowledges that it has prepared the CONTRACTOR'S Bid,
attached hereto and incorporated herein as Exhibit "B" and that such Bid is accurate and
consistent as to the name of CONTRACTOR, scope of work that the CONTRACTOR will
under -take, and price. CONTRACTOR acknowledges the performance requirement
established in the Statement of Work and warrants that all work undertaken will conform to
said specifications.
3.5 REMOVAL OF DEBRIS. Upon completion of work CONTRACTOR agrees to remove all
construction debris and surplus material from the property and leave the property in a neat
and clean condition.
3.6 SUBCONTRACTORS. CONTRACTOR agrees that all the warranties contained herein will
apply to all work performed under this Agreement, including that performed by any
Subcontractors.
3.7 FRAUDULENT ACTS. CONTRACTOR nor any of its officers, partners, owners, agents,
representatives, employees, subcontractors or parties in interest has in any way colluded,
conspired, connived or agreed, directly or indirectly with any other Bidder, firm, or person to
submit a collusive or sham Bid in connection with CONTRACTOR for which the Bid has
been submitted or to refrain from bidding in connection with this Agreement, or has in any
manner, directly or indirectly, sought by agreement or collusion or communication or
conference with any other Bidder, firm, or person to fix any overhead, profit, or cost element
of the Bid price or the Bid price of any other Bidder, or to secure through any collusion,
conspiracy, connivance, or unlawful agreement, any advantage against CITY or any person
interested in this Agreement; and the price or prices quoted are fair and proper and are not
3
tainted by any collusion, conspiracy, connivance or unlawful agreement on the part of
CONTRACTOR or any of its agents, representatives, owners, employees, or parties in
interest.
3.8 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.
3.9 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.
3.10 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 known of
the existence of the subject act(s) or failure(s) to act.
3.11 INDEMNIFICATION. CONTRACTOR 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
the fault of CONTRACTOR, or CONTRACTOR's agents, employees or subcontractors, in
the performance of CONTRACTOR'S obligations under this Agreement, no matter how, or
to whom, such loss may occur. Nothing herein will be deemed to limit the rights of CITY or
CONTRACTOR (including, but not limited to the right to seek contribution) against any
third party who may be liable for an indemnified claim.
3.12 CHANGE ORDERS. CONTRACTOR expressly agrees that no material changes or
alterations in the Statement of Work or price provided above will be made unless in writing,
mutually agreed by the homeowner, CONTRACTOR and authorized by CITY.
3.13 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.
3.14 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.
3.15 PUBLIC INFORMATION ACT. The CITY is governed by the Texas Public Information
4
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.
3.16 PERFORMANCE. In performing this Agreement, CONTRACTOR will comply with all
local, state and federal laws.
3.17 LIEN WAIVERS. CONTRACTOR agrees to protect, defend, and indemnify homeowner and
CITY from any claims for unpaid work, labor, or materials with respect to CONTRACTOR'S
performance. Final payment will not be paid until the CONTRACTOR has delivered to
CITY complete release of all liens for work completed arising out of CONTRACTOR'S
performance or a receipt in full, covering all labor and materials for which a lien could be
filed or a bond satisfactory to the homeowner and CITY indemnifying him against any lien.
3.18 REPORTING REQUIREMENTS. CONTRACTOR agrees to submit a Substitute W9 Form,
attached hereto and incorporated herein as Exhibit "C" to fulfill reporting requirements with
the Internal Revenue Service.
ARTICLE 4
SUSPENSION AND TERMINATION
4.1 If CONTRACTOR fails to fulfill in a timely and proper manner its obligations under this
Agreement, or violates any of the terms or conditions of this Agreement, then the
CONTRACTOR will have ten (10) days from the date it receives written notice from CITY
directing it to cure or correct the defects. If CONTRACTOR fails to cure or correct the
defects, CITY will have the right to terminate this Agreement and to select a substitute
CONTRACTOR. If the expense of finishing the work exceeds the amount of this Agreement,
CONTRACTOR will pay the difference to CITY. Should CONTRACTOR 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 CONTRACTOR the amount sought by HUD for reimbursement, up to the full amount
of funds CONTRACTOR received from CITY.
4.2 CONTRACTOR will not be relieved of the liability to CITY for damages sustained by the
CITY by virtue of any breach of this Agreement by CONTRACTOR. CITY may withhold
payment to CONTRACTOR until the amount of monetary damages due CITY from
CONTRACTOR is determined.
4.3 If CITY becomes aware of any CONTRACTOR 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
CONTRACTOR, 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.
5
ARTICLE 5
PAYMENTS
5.1 For work completed by CONTRACTOR, as described in the Statement of Work, CITY
agrees to pay CONTRACTOR the Contract Amount after the work is found to be
satisfactorily completed and is inspected by the Construction Advisor and CITY Inspector, in
accordance with the CITY'S Prompt Payment Policy; or if a performance bond is present,
CITY agrees to make payments to CONTRACTOR of the Contract Amount prior to the
completion of all work described in the Statement of Work, in accordance with CITY'S
Prompt Payment Policy.
ARTICLE 6
ATTORNEY'S FEES
6.1 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 7
VENUE AND REMEDIES
7.1 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 8
SUCCESSORS AND ASSIGNS
8.1 CITY and CONTRACTOR, 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 CONTRACTOR will assign, sublet, or transfer any interest in this Agreement
without the written consent of the other.
ARTICLE 9
ENUMERATION OF CONTRACT DOCUMENTS
9.1 This Agreement represents the entire and integrated agreement between CITY and
CONTRACTOR for the work specified in Exhibit "A" and supersedes all prior negotiations,
representations or arguments either written or oral. This Agreement may be amended only by
written instrument signed by CITY and CONTRACTOR. The Agreement contains the
following exhibits attached to and incorporated in this Agreement for all purposes:
(1) Statement of Work (Exhibit "A");
(2) Bid (Exhibit "B"); and
(3) Substitute W9 Form (Exhibit "C").
6
ARTICLE 10
ACKNOWLEDGMENT
10.1 The above warranties are in addition to, and not in limitation of, any and all other rights and
remedies to which CITY and the homeowner, or subsequent owners, may be entitled, at law
or in equity, and will survive the conveyance of title, delivery of possession of the property,
or other final settlement made by the homeowner and will be binding on the undersigned
notwithstanding any provision to the contrary contained in any instrument heretofore, and
thereafter executed by the homeowner.
This Agreement is effective as of the date first written above.
CONTRACTOR:
ALL TEX BUILDING & RESTORATION, INC.
CITY:
Name
Pr eS�
Title
kolAyDR,
Title
7
EXHIBIT "A"
STATEMENT OF WORK
Contractor Name
Contractor Signature
Bid Due Date: 1/24/2006
PROJECT TYPE: Minor Rehabilitation
• •
• ( X
c F-
rnY co
?fit, J o M
• W -p 4.' N
C
( CC (co N
3r Cr) 0 co
C/] •— f�
•
v
W
Quantity Unit
BATHROOM #1
ENTIRE TUB SURROUND.
N M
ELECTRICAL
w
ri
r
0
0
0
w
CO
- J
-J
Q w
U
W OU
H
O �
� w
EXTERIOR
ti
a
Round Rock, TX
Monday, December 05, 2005
2
w
q
.$
/
k1cr)
mco 0
co s-
0 D -
k
2
§±
k2
a a
0
Lf
o al
CO
UJ
w
X
to
w
F A
O0)
&@3
a 0
o. _c
®@ 0
M. 2
Ce
> C a .
0202
Uo@=
/ 0
U (
(2 0.
cu
0 o w
§ k R w
0 i-cf
(0
w
w w w
(0.
/ Q
C"-)
L
-J
U
1-
a
w
0
w .
w
�w
0E
3 C
0E
a)» c o
c§ ._ \k
@ c E
��2� °2
ƒ w co 2 0
a
k/ (.7)� 5
aE 3m £ k
0$ƒƒtcoetQL
e
u)-9 0. >0 m
% 0/._ 0 0_ 0 k
, co 2 0. aCri E
kƒEL /f ƒ�\ //
a2 _Q
/k%/ ��0 /L
0
\ % f \ 0 o . /
#222 8a5 £o
ƒ 04 04\® �0=3 3-
m « £ a 1:3 a
o w o 0 0@ 2\
ƒag2� 0<,2 do
% co 0)
2� k
@=E $
05 7
=c ,c
m k ■
ƒ$2 o
2�
o�%@
0)
% 0
o ®0o
±±.c
CO 2 _ f
a) CD
0 _° o
0)»�%f
\/C/
/oayat
m >-0
/)
0
Round Rock, TX
w
N
• o
co w
U Cia
2 Q F
>Qcn
a Cr)IIo
Q
.7 'X W •;,7,
c0=a
E?3
a as Lu a)
.= awcr -o
w o U
�o
a •�
j
EXHIBIT "B"
BID
ti
Bid Due Date: 1/24/2006
sem. c H
�ett a 0
!• tj .F
d-
ctt c
7 crD 0 c
PROJECT TYPE
BATHROOM #1
T2T o
0) 0i
ENTIRE TUB SURROUND.
0
Z
cc
cc
(1)
co
W
� Q
Z EY
<
vl
0
O
0
tit
in
J
Qui
f- o
U
_0
X W
as
V
c
a a) v
L az a
as a =a
ay acU 3 tOua)
m
0 I m E a a c
'� 3 s a > 0)-i5
CO � u) 2 -0 c� -
a) o�4 a 0)
CO .�- % 3 N
, x Li_
x U
c U a) c m= Li_ t}7 Q
as ri) (t7 0 N U
cr
Q� if) <CC 91
f- o� t�.1 Q x i C
()`c�S' 3 c
c'Q m4 0- u
'm ca? U Ln
LE
3
.i
Q
6- 133
U a(o as - -6
r
N
th
Er
0
E2
W
f -
X
W
Round Rock, TX
w
N
r
1
¢ ¢
w w
�-- r
c
> 0)
CL3
3a)
c
was
U m0)-0
832 m :E)
w
LU
.c
o C- j "r^C
a. 0
Q) a)
C
� � v
gyp"0 al
if 2
o
a)Ca
0 a) 0 a)
3 a) :8-
0 + U)
2 as
CI o. o n.
occ a 0
c Q) 0- 4)
U#� Cc 0
40
w
C]
M
w
0
H
a
w
U
LIJ -
ON
LU w
LU
ULei
cr
wp
CI Ll
(.
0
M
w
r
:
t�C) i O — OC t!
0 y c — c �. 0 N CO
C CO U) ts Q`) :,a
0) 4^CD ca 3.
C C.0 U) N C� V U� 4)
= Q) — U) a) O a) c C t6 w_C
m 0 `'- c` N as -c p 2 co< a) 0) co
- a) Q ._ (lg i 7.5c c L 0)
[tem. 00a)30. — �co�La)
QJ 744:?; Ca LY 6- L 75C Y Q) ai C-
-3 X_y p L a)
co o c- 0 u 0 0 U= V d
C
L-
a)
LL 0 p a) cr (13 co o Si m i ±,-- S o
ti. Q m - Ti,ar co a) 0.
y:+ s- _ 0 . C c
�- U f!1 Q i L CO
ma o �— m0)0_0 ,,.
0) —
�IILd i1''� � �O � uc0o
x -C _ a u co 3 ca
t-1-1_—. U) cp 0 S — � cc .0
0 0 o a 0 a� m LD 1- a) 0)n .
LU 0 ._ 0 E d o RS > C7
C1tA- o<;: t: U c S. 0)u) 0 CO CD
a a -:
°OCOo X
LU
N
0
CV
(
et
2
Ei
/ V
z
CU p Tvi 0)
E )
ULn' N ..
0...4.1 E
LY Q) o m
U
Q)• 0 Q
c os
q '� C co
L
Y N C
1"-t, 1:3 C m
CC
0) (l O
S2
ca
05 --'CD
i] 3 —
E
Cdcy)tLli
0LOo U
2
w
z
}}
i t
LLL
z
LU
v
Cg
C
a
riV
O 0
�— 0)..•
wLL
i;0 a_ I-2
0) O•()
n) co X (1)
C — a.
N + 0) O LL
CD COofl
LLU o
Li_co
0) 3cn
0 ao
EXHIBIT "C"
SUBSTITUTE W9 FORM
F., W-9
(Rev. November 2005)
Department of the Treasury
Internal Revenue Service
Request for Taxpayer
Identification Number and Certification
Give form to the
requester. Do not
send tO the IRS.
Print or type
See Specific instructions on page 2.
Name (as shown on your income tax return)
MI i Bim`,( e‘ � 2€ S-4-01- f3r\
Business name, if different from above
Sim
Check appropriate
►
Exempt from backup
IndividuaVj Corporation . Partnership ❑ Other
withholding
box: Sole proprietor (�
Address (number, street, and apt. or suite no.)
\ - )I� Cneele, t::-
Requester's name and address (optional)
City. state, and ZIP code
w-- \ S 'V —773 ( ir
List account number(s) here (optional)
Part I Taxpayer Identification Number (TIN)
Enter your TIN in the appropriate box. The TIN provided must match the name given on Line 1 to avoid
backup withholding. For individuals, this is your social security number (SSN). However, for a resident
alien, sole proprietor, or disregarded entity, see the Part I instructions on page 3. For other entities, it is
your employer identification number (EIN). If you do not have a number, see How to get a 71N on page 3.
Note. If the account is in more than one name, see the chart on page 4 for guidelines on whose
number to enter.
Part 11
Certification
Social security number
1l I+III
or
Employer identNication number
Under penalties of perjury, I certify that:
1. The number shown on this form is my correct taxpayer identification number (or 1 am waiting for a number to be issued to me), and
2. I am not subject to backup withholding because: (a) 1 am exempt from backup withholding, or (b) I have not been notified by the Internal
Revenue Service (IRS) that I am subject to backup withholding as a result of a failure to report all interest or dividends, or (c) the IRS has
notified me that 1 am no longer subject to backup withholding, and
3. I am a U.S. person (including a U.S. resident alien).
Certification instructions. You must cross out item 2 above if you have been notified by the IRS that you are currently subject to backup
withholding because you have failed to report all interest and dividends on your tax return. For real estate transactions, item 2 does not apply.
For mortgage interest paid, acquisition or abandonment of secured property, cancellation of debt, contributions to an individual retirement
arrangement (IRA), and generally, payments other than interest and dividends, you are not required to sign the Certification, but you must
provide your correct TIN. (See the instructions on page 4.)
Sign Signature of
Here U.S. person ►
Purpose of Form
A person who is required to file an information return with the
IRS, must obtain your correct taxpayer identification number
(TIN) to report, for example, income paid to you, real estate
transactions, mortgage interest you paid, acquisition or
abandonment of secured property, cancellation of debt, or
contributions you made to an IRA.
U.S. person. Use Form W-9 only if you are a U.S. person
(including a resident alien), to provide your correct TIN to the
person requesting it (the requester) and, when applicable, to:
1. Certify that the TIN you are giving is correct (or you are
waiting for a number to be issued),
2. Certify that you are not subject to backup withholding, or
3. Claim exemption from backup withholding if you are a
U.S. exempt payee.
In 3 above, if applicable, you are also certifying that as a
U.S. person, your allocable share of any partnership income
from a U.S. trade or business is not subject to the
withholding tax on foreign partners' share of effectively
connected income.
Note. If a requester gives you a form other than Form W-9 to
request your TIN, you must use the requester's form if it is
substantially similar to this Form W-9.
For federal tax purposes, you are considered a person if you
are:
Date ► �/ / ®�
• An individual who is a citizen or resident of the United
States,
• A partnership, corporation, company, or association
created or organized in the United States or under the laws
of the United States, or
• Any estate (other than a foreign estate) or trust. See
Regulations sections 301.7701-6(a) and 7(a) for additional
information.
Special rules for partnerships. Partnerships that conduct a
trade or business in the United States are generally required
to pay a withholding tax on any foreign partners' share of
income from such business. Further, in certain cases where a
Form W-9 has not been received, a partnership is required to
presume that a partner is a foreign person, and pay the
withholding tax. Therefore, if you are a U.S. person that is a
partner in a partnership conducting a trade or business in the
United States, provide Form W-9 to the partnership to
establish your U.S. status and avoid withholding on your
share of partnership income.
The person who gives Form W-9 to the partnership for
purposes of establishing its U.S. status and avoiding
withholding on its allocable share of net income from the
partnership conducting a trade or business in the United
States is in the following cases:
• The U.S. owner of a disregarded entity and not the entity,
Cat. No. 10231X Form W-9 (Rev. 11-2005)
SEE BELOW FOR IMPORTANT INFORMATION ABOUT YOUR RIGHT OF
RECISSION
Notice to Customer Required by Federal Law:
You have entered into a transaction under the City of Round Rock Minor Home Repair Program
on February 23, 2006, which may result in a lien, mortgage, or other security interest on your
home. You have a legal right under federal law to cancel this transaction, if you desire to do so,
without any penalty or obligation, within three (3) business days from the above date or any later
date on which all material disclosures required under the Truth in Lending Act have been given to
you. If you so cancel the transaction, any lien, mortgage, or other security interest on your home
arising from this transaction is automatically void. You are also entitled to receive a refund of any
down payment or other consideration if you cancel. If you decide to cancel this transaction, you
may do so by notifying:
MONA RYAN
MINOR HOME REPAIR PROGRAM MANAGER
221 EAST MAIN STREET
ROUND ROCK, TEXAS 78664
by mail or telegram sent no later than midnight of February 28, 2006. You may also use another
form of written notice identifying the transaction if it is delivered to the above address, not later
than the date given.
This notice may be used for that purpose by dating and signing below.
I HEREBY CANCEL THIS TRANSACTION
SIGNATURE(S) DATE
EFFECT OF RESCISSION: When a customer exercises his/her right to rescind he/she is
not liable for any finance or other charges, and any security interest becomes void upon such a
rescission. Within ten (10) days after receipt of a notice of rescission, the creditor shall return to
the customer any money or property given as earnest money, down payment, or otherwise, and
shall take any action necessary or appropriate to reflect the termination of any security interest
created under this transaction. If the creditor has delivered any property to the customer, the
customer may retain possession of it. Upon the performance of the creditor's obligations under
this section, the customer shall tender the property to the creditor, except that if return of the
property in kind would be impracticable or inequitable, the customer shall tender its reasonable
value. Tender shall be made at the location of the property or at the residence of the customer, at
the option of the customer. If the creditor does not take possession of the property within then
(10) days after tender by the customer, ownership of the property vests in the customer, without
obligations on his/her part to pay for it.
I ACKNOWLEDGE RECEIPT OF TWO COPIES OF THIS NOTICE
Homeowner
Witness
Print Name: 40A)ns
P?—p18
Date
Date
2
REAL ESTATE LIEN NOTE
(Minor Home Repair Program)
Date: , 2006
Maker (whether one or more): SHAMEIKA BROWN AND MINNIE BROWN
Maker's Mailing Address (including county):
Shameika Brown and Minnie Brown
1314 E Logan Street
Round Rock, Texas, 78664
Williamson County
Payee: CITY OF ROUND ROCK, TEXAS
1. Place for Payment (including county):
CITY OF ROUND ROCK
Attn: Minor Home Repair Program Manager
221 East Main Street
Round Rock, Texas 78664
Williamson County
or any other place that Payee may designate in writing.
2. Principal Amount:
EIGHT THOUSAND THREE HUNDRED SIXTY-SIX AND NO/100 DOLLARS
($8,366.00)
3. Annual Interest Rate on Unpaid Principal from Date: The highest interest rate allowed
by law will be charged on this Note if a Default has been declared by the Note Holder as
stated in Paragraph 9 of this Note.
4. Maker's Promise to Pay
a. Purpose This Note implements requirements applicable to assistance furnished by Payee
to Maker under a program to help eligible families with minor home repairs being carried
out by Payee, which, for certain loans may use grant funds furnished by HUD through the
CDBG program. The Payee has assisted the Maker with respect to rehabilitation of the
Property, for use as the Maker's principal residence.
00091649
R''04."04/4 340e
b. Promise to Pay Maker promises to Pay to the order of Payee at the place for payment and
according to the terms of payment the principal amount plus interest, if any, plus other
charges at the rates stated above.
5. Terms of Payment:
a. Subsidy Repayment Obligation Principal In return for assistance Maker has received
with respect to rehabilitation of the Property, Maker promises to pay the Principal
Amount as stated in Paragraph 2 to the order of Payee, payment of Principal under this
Note will be initially deferred and if necessary payable as stated in this Paragraph. The
total Principal Amount shall be due and payable on the date of an event of Default as
stated in Paragraph 9.
b. Deferral and Payment of Principal The outstanding principal balance of this Note shall
remain the same as the amount stated in Paragraph 2 until five (5) years from the date of
this Note. If the Property is sold, leased or there is a transfer of title of the property,
including transfer by contract for deed, within the five (5) years from the date of this
Note, Maker shall repay the principal loan amount to Payee. If there is no sale, lease, or
transfer of title of the Property within five (5) years from the date of this Note, the loan
shall be forgiven.
6. Security for Payment and Obligations:
a. In addition to the protections given to the Note Holder under this Note, this Note is
secured by a subordinated deed of trust, of even date, from Maker to Stephan L. Sheets,
Trustee, that conveys the Property as described below in trust (collectively, the
"Subordinate Security Instrument").
b. The lien securing this Note shall remain subordinate to the indebtedness evidenced by
one or more Notes payable to the Financial Institution as defined below, which Notes are
secured by the Senior Lien as defined below, and as renewed, extended, re -amortized, or
otherwise adjusted from time to time; provided, however, that the renewal, extension, or
other credit extension does not constitute an increase in the unpaid principal balance of
the Financial Institution's indebtedness.
c. The Subordinate Security Instrument describes the conditions under which Maker may be
required to make immediate payment in full of all amounts Maker owes under this Note.
One of those conditions set forth therein is that if all or any part of the Property or any
interest in it (including a beneficial interest) is sold or transferred without compliance
with the terms of this Note and the Subordinate Security Instrument, the Note Holder will
require immediate payment in full of all sums secured by the Subordinate Security
Instrument. In the event of such a sale, or in the event of any other Default under this
Note or the Subordinate Security Instrument, the Note Holder may give the Maker Notice
of Default and acceleration under Paragraph 9 of this Note.
2
7. Additional Definitions:
a. "Bona Fide Net Resale Proceeds" means the amount calculated by the Note Holder by
subtracting from the contract sales price between the Maker and the proposed buyer for
the Property the amounts due on the Closing Date on any "Senior Liens" and on
"Maker's Other Liens", and also subtracting the amount of any reasonable and
customary sales expenses paid by the Maker in connection with the sale, each as
determined by the Note Holder. If any part of the contract sales price for the Property is
paid in the form of a promissory Note, or any thing of value other than lawful money of
the United States, the Note Holder is hereby authorized to assign a fair market value
thereto. Maker agrees to accept such thing of value at such assigned fair market value as
part of maker's equity, or to allow it to be retained by the Note Holder as Alternate
Principal, as the Note Holder in its sole discretion may determine.
b. "Closing Date" means the date of closing of Maker's sale of the Property to a buyer, or
if there is no formal closing, the date on which the conveyance (deed) is recorded.
c. "Minor Home Repair Payment Activity" means any loan made by Payee using either
CDBG funds or other funds to assist a Homeowner with payment funds for minor repairs
on a home.
d. "Financial Institution" means MORTGAGE ELECTRONIC REGISTRATION
SYSTEMS, INC.
e. "CDBG" means Community Development Block Grant program.
f. "HUD " means the United States Department of Housing and Urban Development.
g.
"Maker's Other Liens" means unpaid liens or other charges that Maker authorized, or
allowed to exist against the Property since the date of this Note. Such liens may include,
for example, liens for money borrowed to finance additional improvements, home equity
lines of credit, and other voluntary liens, liens for unpaid taxes, special assessments,
water, sewer, and other utility charges, mechanics' liens, and other liens and charges
arising by operation of law; and judgment or other creditor's liens, any of which may
affect the amount of the sales proceeds, Maker hereby authorizes Note Holder to
determine, in Note Holder's sole discretion, the amount by which these liens or charges
reduce the Bond Fide Net Resale Proceeds for the Property, and to reduce the amount
payable to Maker as maker's equity by an equal amount.
h. "Note Holder" means the lender of any authorized party who takes this Note by
assignment and is entitled to receive amounts due under this Note.
i. "Property" means the certain real property described on Exhibit "A" attached to this
Note and by this reference incorporated in it.
3
j. "Senior Lien Note" means another Note in the original principal amount of $97,972.00,
of the 25th of July 2003, executed by Maker, payable to the order of Financial Institution,
and fully described in the Senior Lien.
k. "Senior Lien" means a deed of trust recorded or to be recorded in the real property
records of Williamson County, Texas.
1. "Subordinate Security Instrument" means the instruments identified in Paragraph 7.a.
S. Maker's Right to Prepay
Maker may make a full prepayment or partial prepayments without paying any prepayment
or interest charge. In the event of prepayment, the Note Holder will use all of Maker's
prepayments to reduce the amount of Principal that Maker owes under this Note.
9. Default
a. Events of Default Any of the following events shall constitute a Default under this Note,
as of the date of the Notice of Default under Paragraph 10:
i. Rental during term of Note. If the Maker rents or leases (including an oral lease)
the Property to any person or entity during the term of this Note, the Maker is in
Default under this Note.
ii. Failure to Occupy Property as Principal Residence during the term of the Note.
If all Makers are continuously absent from the Property for a period of more than
thirty (30) days, or move substantially all their personal possessions out of the
Property, without the written consent of the Note Holder, the Makers shall be deemed
not to be occupying the Property as their Principal Residence and shall be in Default
under this Note.
iii. Any Transfer of the Property. Any transfer of the Property or any interest therein
(including a beneficial interest) within five (5) years of the signing of this Note is a
Default under this Note. Maker authorizes the Note Holder to determine, in its sole
discretion, whether a transfer of a portion of the Property, or a partial interest therein,
or any other reason has an effect on the value of the Note Holder's interest substantial
enough to be considered a transfer for purposes of this Paragraph 9. Maker will mail,
certified mail, return receipt requested, or deliver notice of any proposed transfer and
a copy of the sales contract to the Note Holder at least fourteen (14) calendar days
before the proposed Closing Date, at the Place for Payment as stated in Paragraph 1
or any other place that Payee may designate in writing.
iv. The Property or Maker is not Eligible under CDBG. The Maker is in default
under this Note, if:
4
(1) at the time the Note was signed by Maker, the Property:
(a) did not become the principal residence of the Maker; or
(b) was in an area identified by the Federal Emergency Management Agency as
having a special flood hazard, or, if the Property is in a flood hazard area,
flood insurance had not been obtained by Maker;
(2) at the time Maker purchased the Property, the Maker's household was not a low-
income family as stated at 24 CFR §92.217 at the later of (a) Maker's occupancy
of the Property, or (b) at the time the Principal is advanced; or
(3) at the time Maker purchased the Property, any employee, agent, consultant,
officer, or elected or appointed official who exercises or has exercised any
functions or responsibilities with respect to activities assisted with CDGB funds
or who are in a position to participate in a decision making process or gain inside
information with regard to these activities, has obtained a financial interest or
benefit from a Minor Home Repair Payment Activity, or has an interest in any
contract, subcontract, or agreement with respect thereto, or the proceeds
thereunder, either for themselves or those with whom they have family or
business ties, during their tenure or for one year thereafter as stated at the conflict
of interest provisions of 24 C.F.R. §92.356.
v. Any Default under the Note or the Subordinate Security Instrument:
(1) If there is an uncured default in payment of any part of principal or interest of the
Financial Institution's $97,972.00 Note or in observance of any obligations or
covenants of any instruments securing it, the debt evidenced by this $8,366.00
Note shall immediately become payable at the option of Payee at the end of the
cure period.
(2) If Maker defaults in the payment of this Note or in the performance of any
obligation in any instrument securing or collateral to it, and the default continues
after Payee gives Maker notice of the default and the time within which it must be
cured by Maker, as may be required by law or by written agreement, then Payee
may declare the unpaid principal balance and earned interest on this Note
immediately due.
(3) If Maker fails to perform any of Maker's obligations in this Note or in the
instruments securing it, Payee may perform those obligations and be reimbursed
by Maker, on demand, at the place where this Note is payable for any amounts so
paid, including attorney's fees, plus interest on those amounts from the date of
payment at the annual interest rate on the matured, unpaid amount. The amount to
be reimbursed shall be secured by all instruments securing this Note.
5
vi. Any Refinancing of the Senior Lien Note. If either the Senior Lien Note is
refinanced or the Maker's equity interest in the property pursuant to Art. 16 § 50(a)(6)
of the Texas Constitution is financed and the refinancing or financing is without
Payee's prior written approval, the outstanding principal balance and accrued interest
if any, of this Note shall be due and payable as described in Paragraph 5.
vii. Maker's Fraud or Misrepresentation. Any willful misstatement of, or failure to
disclose, a material fact by Maker relating to his or her eligibility for assistance with
respect to the Property under the Minor Horne Repair program under the CDBG
program is a Default under this Paragraph. Recovery against the Maker responsible
for the fraud or misrepresentation is not limited to the proceeds of sale of the
Property, but may include personal judgment and execution thereon to the full extent
authorized by law. Maker represents that all statements contained in the Application
for this loan with the City of Round Rock are true and correct.
b. Notice of Default and Amount Due If Maker is in Default, the Note Holder may send
Maker a written notice stating the reason Maker is in Default and telling Maker to pay
immediately: (i) the full amount of Principal then due on this Note, (ii) all of the interest
that Maker owes, and that will accrue until paid, on that amount, and (iii) all of the Note
Holder's costs and expenses reimbursable under Paragraph 9.c.
c. Payment of Note Holder's Costs and Expenses If the Note Holder has notified Maker to
pay immediately in full under Paragraph 10 and this Note or any instrument securing or
collateral to it is given to an attorney for collection or enforcement, or if suit is brought
for collection or enforcement, or if it is collected or enforced through probate,
bankruptcy, or other judicial proceeding, then Note Holder has the right to be repaid from
the proceeds of foreclosure for all of its costs and expenses in enforcing this Note to the
extent not prohibited by applicable law. Those expenses include, for example, all costs of
collection and enforcement, including reasonable attorney's fees and court costs, in
addition to other amounts due. Reasonable attorney's fees shall be 10% of all amounts
due unless either party pleads otherwise.
d. No Waiver By Note Holder Even if, at a time when Maker is in Default, the Note Holder
does not require Maker to pay immediately in full under Paragraph 10, the Note Holder
will still have the right to do so if Maker is in Default for the same reason, or for another
reason, at a later time.
10. Giving of Notices
Unless applicable law requires a different method, any notice that must be given to Maker
under this Note will be given by delivering it or by mailing it by first class mail to Maker at
the Property Address above, or at a different address if Maker gives the Note Holder a notice
of Maker's different address.
6
Any notice that must be given to the Note Holder under this Note will be given by mailing it
by first class mail to the Note Holder at the Place for Payment stated in Paragraph 1, or at a
different address, if Maker is given a notice of that different address.
11. Obligations of Persons under this Note
If more than one person signs this Note, each person is fully obligated to keep all of the
promises made in this Note, including the promise to pay the full amount owed from the
proceeds of sale of the Property. Any person who is a guarantor, surety or endorser of the
Note is also obligated to the same extent. Any person who takes over these obligations,
including the obligations of a guarantor, surety or endorser of this Note, is also obligated to
keep all of the promises made in this Note. The Note Holder may enforce its rights under this
Note against each person individually or against all of the persons signing the Note together.
12. Maximum Interest on the Debt
Interest on the debt evidenced by this Note shall not exceed the maximum amount of
nonusurious interest that may be contracted for, taken, reserved, charged, or received under
law; any interest in excess of that maximum amount shall be credited on the principal of the
debt or, if that has been paid, refunded. On any acceleration or required or permitted
prepayment, any such excess shall be canceled automatically as of the acceleration or
prepayment or, if already paid, credited on the principal of the debt or, if the principal of the
debt has been paid, refunded. This provision overrides other provisions in this and all other
instruments concerning the debt.
13. Waivers
Maker and any person who has obligations under this Note waive all demands for payment,
presentations for payment, notices of intention to accelerate maturity, notices of acceleration
of maturity, protests, notices of protest, the rights of presentment, and notice of dishonor to
the extent not prohibited by applicable law "Presentment" means Maker's right to require the
Note Holder formally to demand payment of amounts due. "Notice of dishonor" means the
right to require the Note Holder to give notice to other persons that amounts due have not
been paid.
14. Release and Satisfaction
This Note shall be deemed satisfied and Maker shall be entitled to a release of the
Subordinate Security Instrument upon payment of a reasonable fee, as determined by the
Note Holder, for preparation and recordation of the release under the circumstances
described in Paragraph 15, upon full prepayment under Paragraph 8, upon payment of all
amounts due upon Default under Paragraph 9, or upon recordation of a deed -in -lieu of
foreclosure.
7
15. Governing Law
To the extent not inconsistent therewith, this Note and the Subordinate Security Instrument
shall be governed by the law of the State and local jurisdiction in which the Property is
located.
Each Maker is responsible for all obligations represented by this Note.
When the context requires singular nouns and pronouns include the plural.
EXECUTED AND DELIVERED as of the ay and year first above written.
iiiii
SH BROWN
MINNIE BROWN
ATTACHED EXHIBIT "A" - Legal Description of Property
PLEASE RETURN TO:
Sheets & Crossfield, P.C.
309 E. Main St.
Round Rock, Texas 78664
8
EXHIBIT "A"
Lot 31, Block "R", Greenslopes at Lake Creek -Section Ten -B, a Subdivision of
Williamson County, Texas, according to the map or plat thereof recorded in
Cabinet G, Slides 130-131, Plat Records of Williamson County, Texas.
9
111111111111111111111111111111111111111111111111111111111111 :TPGS
DEED OF TRUST
(Minor Home Repair Program)
2006061991
NOTICE OF CONFIDENTIALITY RIGHTS: IF YOU ARE A NATURAL PERSON,
YOU MAY REMOVE OR STRIKE ANY OF THE FOLLOWING INFORMATION
FROM THIS INSTRUMENT BEFORE IT IS FILED FOR RECORD IN THE PUBLIC
RECORDS: YOUR SOCIAL SECURITY NUMBER OR YOUR DRIVER'S LICENSE
NUMBER.
Date: � 3 , 2006
Grantor (whether one or more): SHAMEIKA BROWN AND MINNIE BROWN
Grantor's Mailing Address (including county):
Shameika Brown and Minnie Brown
1314 E Logan Street
Round Rock, Texas, 78664
Williamson County
Trustee: Stephan L. Sheets
Trustee's Mailing Address (including county):
Stephan L. Sheets
309 East Main
Round Rock, Texas 78664
Williamson County, Texas
Beneficiary: City of Round Rock, Texas, a Texas corporation
Beneficiary's Mailing Address (including county):
City of Round Rock
Attn: Minor Home Repair Program Manager
221 East Main
Round Rock, Texas 78664
Williamson County, Texas
Note(s)
Date:
Amount:
00091605
,e'-O(r O' ./3• !0‘5'
$8,366.00
Maker (whether one or more): SHAMEIKA BROWN AND MINNIE BROWN
Payee: CITY OF ROUND ROCK, TEXAS, a Texas corporation
Final Maturity Date: As provided in the Note.
Terms of Payment (optional): As provided in the Note.
Property (including any improvements):
The certain real property more particularly described on Exhibit "A" attached to this
Deed of Trust and by this reference incorporated in it, all fixtures and improvements
situated thereon and all rights, titles and interests appurtenant thereto.
Prior Lien(s) (including recording information):
The liens securing another note in the original principal amount of $97,972.00 of the 25th
of July 2003, executed by Grantor, payable to the order of MORTGAGE ELECTRONIC
REGISTRATION SYSTEMS, INC. (herein "Financial Institution"), including without
limitation the liens evidenced by that certain deed of trust and security agreement, reement of
even date, executed by Grantor in favor of Financial Institution and recorded in the real
property records of Williamson County, Texas.
Other Exceptions to Conveyance and Warranty:
1. Note dated of even date herewith, between Grantor and Beneficiary (the "Note"). All
obligations and covenants in the Note shall terminate on the date Beneficiary, in its
sole discretion, issues a release of all present and future rights to establish or enforce
the Deed of Trust lien that secures the Note. The release shall be in such form as to
enable it to be recorded in the real property records of Williamson County, Texas;
and
2. Easements, rights-of-way, and prescriptive rights, whether of record or not; all
presently recorded instruments that affect the Property; taxes for 2005, thea ent
p Ym
of which Grantor assumes; and subsequent assessments for that andrior years due to
p
change in land usage, ownership, or both, the payment of which Grantor assumes.
For value received and to secure payment of the Note, Grantor conveys the Property to Trustee
P y
in trust. Grantor warrants and agrees to defend the title to the Property. If Grantorp erforms all
the obligations and covenants in the Note and pays the Note according to its terms, this Deed of
Trust shall have no further effect, and Beneficiary shall release it at Grantor's expense.
2
Grantor's Obligations
Grantor agrees to:
1. keep the Property in good repair and condition;
2. pay all taxes and assessments on the Property when due;
3. preserve the lien's priority as it is established in this Deed of Trust;
4. maintain, if applicable in a form acceptable to Beneficiary, an insuranceolic that:
p Y
a. provides flood insurance at any time the Property is in a flood hazard area; and
b. contains such other coverage as Beneficiary may reasonably require;
5. deliver the insurance policy to Beneficiary and deliver renewals to Beneficiary at
least ten days before expiration;
6. keep any buildings occupied as required by the insurance policy;
7. if this is not a first lien, pay all prior lien notes that Grantor is personal) able to pay
pY
and abide by all prior lien instruments;
8. if all or any part of the Property or an interest in it (including a beneficial interest) is
sold or transferred without compliance with the terms of the Note and this Deed of
Trust, immediately pay in full to Beneficiary all sums secured by this Deed of Trust;
and
9. comply at all times with the terms, representations, and conditions of the Note.
Beneficiary's Rights
1. Beneficiary may appoint in writing a substitute or successor trustee, succeeding to all
rights and responsibilities of Trustee.
2. If the proceeds of the Note are used to pay any debt secured by prior liens,
Beneficiary is subrogated to all of the rights and liens of the holders of any debt so
paid.
3. If applicable, Beneficiary may apply any proceeds received under the insurance
policy either to reduce the Note or to repair or replace damaged or destroyed
g Y
improvements covered by the policy.
4. If Grantor fails to perform any of Grantor's obligations, Beneficiaryperform
those may
obligations and be reimbursed by Grantor on demand at thelace where the
Notep
is payable for any sums so paid, including attorney's fees, plus interest on those
sums from the dates of payment at the rate stated in the Note for matured, unpaid
amounts. The sum to be reimbursed shall be secured by this Deed of Trust.
5. If Grantor defaults on the Note, or if Grantor fails to perform anyof Grantor's
obligations,
g ons, or if all or any part of the Property or an interest in it (including a
beneficial interest) is sold or transferred without compliance with the terms of the
Note and this Deed of Trust, or if default occurs on a prior lien note or other
instrument, and the default continues after Beneficiary gives Grantor notice of the
default and the time within which it must be cured, as may be required bylaw
q or by
written agreement, then Beneficiary may:
a. declare the unpaid principal balance and carried interest on the Note immediately
Y
3
b. request Trustee to foreclose this lien, in which case Beneficiary or Beneficiary's
agent shall give notice of the foreclosure sale as provided by the Texas Property
p Y
Code as then amended; and
c. purchase the Property at any foreclosure sale by offering the highest bid and then
have the bid credited on the Note.
6. If the Grantor defaults on the Note or fails to perform any of Grantor's obligations
under this Deed of Trust, the Beneficiary shall provide the Financial Institution a
prior lienholder, with copies of all correspondence transmitted to Grantor regarding
g g
the default or notice of acceleration.
Trustee's Duties
If requested by Beneficiary to foreclose this lien, Trustee shall:
1. either personally or by agent give notice of the foreclosure sale as required bythe
Texasq
Property Code as then amended;
2. sell and convey all or part of the Property to the highest bidder for cash with ag eneral
warranty binding Grantor, subject to prior liens and to other exceptions to conveyance
and warranty;
3. from the proceeds of the sale, pay, in this order:
a. expenses of foreclosure, including a commission to Trustee of five (5)p ercent of
the bid;
b. to Beneficiary, the full amount of principal, interest, attorney's fees, and other
charges due and unpaid;
c. any amounts required by law to be paid before payment to Grantor; and
d. to Grantor, any balance; and
4. if the prior lien has not been released, give written notice to Financial Institution that
Grantor is in default under this Deed of Trust and a copy of the notice of foreclosure
sale given Grantor.
General Provisions
1. If any of the Property is sold under this Deed of Trust, Grantor shall immediately
surrender possession to the purchaser. If Grantor fails to do so, Grantor shall become
a tenant at sufferance of the purchaser, subject to an action for forcible detainer.
2. If Grantor transfers any part of the Property without Trustee'srior written consent,
,
Trustee may declare the Note secured by this Deed of Trust immediatelypayable and
pY
invoke any remedies provided in this Deed of Trust for default. If the Property is
P Y
residential real property containing fewer than five dwelling units or a residential
manufactured home occupied by Grantor, exceptions to thisp rovision are limited to
(a) a subordinate lien or encumbrance that does not transfer rights of occupancy of the
Property;g p y
(b) creation of a purchase -money security interest for household appliances;
(c) transfer by devise, descent, or operation of law on the death of a co -Grantor; (d)
grant of a leasehold interest of three years or less without an option tourchase•(e)p ,
transfer to a spouse or children of Grantor or between co -Grantors; transfer to a
4
relative of Grantor on Grantor's death; and (g) transfer to an inter vivos trust in which
Grantor is an remains a beneficiary and occupant of the Property.
3. Recitals in any Trustee's deed conveying the Property will beresumed to be true.
4. Proceedingp
under this Deed of Trust, filing suit for foreclosure, orursuin other
p g any
remedy will not constitute an election of remedies.
5. This lien shall remain superior to liens later created even if the time ofpaY ment of all
or part of the Note is extended or part of the Property is released.
6. If any portion of the Note cannot be lawfully secured by this Deed of Trust, payments
p Ym
shall be applied first to discharge that portion.
7. Grantor assigns to Beneficiary all sums payable to or received by Grantor from
condemnation of all or part of the Property, from private sale in lieu of condemnation,
and from damages caused by public works or construction on or near the Property.
After deducting any expenses incurred, including attorney's fees, Beneficiary ma Y
release any remaining sums to Grantor or apply such sums to reduce the Note.
Beneficiary shall not be liable for failure to collect or to exercise diligence in
collecting any such sums.
8. Following the maturity of the above described Financial Institution loan, Grantor
assigns to Beneficiary absolutely, not only as collateral, allp resent and future rent
and other income and receipts from the Property. Prior to such maturity Borrower's
rights shall not arise under this paragraph 7. Leases are not assigned. Grantor
warrants the validity and enforceability of the assignment. Grantor may as
Beneficiary's licensee collect rent and other income and as receipts long as Grantor is
P g
not in default under the Note or this Deed of Trust. Grantor will apply 1 all rent and
other income and receipts to payment of the Note and performance of this Deed of
Trust, but if the rent and other income and receipts exceed the amount due under the
Note and Deed of Trust, Grantor may retain the excess. If Grantor defaults in
payment of the Note or performance of this Deed of Trust, Beneficiary mayterminate
Grantor's license to collect and then as Grantor's agent may rent the Property if it is
p Y
vacant and collect all rent and other income and receipts. Beneficiary neither has nor
assumes any obligations as lessor or landlord with respect to any occupant of the
Property. Beneficiary may exercise Beneficiary's rights and remedies under this
paragraph 7 without taking possession of the Property. Beneficiary apply shall a 1 all rent
and other income and receipts collected under thisara a h 7 first to expenses
p �' p p s
incurred in exercising Beneficiary's rights and remedies and then to Grantor's
obligations under the Note and this Deed of Trust in the order determined
by
Beneficiary. Beneficiary is not required to act under thisara ra h 7, and acting
g p
under this paragraph 7 does not waive any of Beneficiary's other rights or remedies.
g If
Grantor becomes a voluntary or involuntary bankrupt, Beneficiary's filing proof
Y g a of
claim in bankruptcy will be tantamount to the appoint of a receiver under Texas law.
9. Interest on the debt secured by this Deed of Trust shall not exceed the maximum
amount of nonusurious interest that may be contracted for, taken, reserved, charged,
or received under law; any interest in excess of that maximum amount shall be
credited on the principal of the debt or, if that has beenaid refunded. On any
�
acceleration or required or permitted prepayment, any such excess shall be canceled
automatically as of the acceleration or prepayment or, if alreadyp aid, credited on the
5
principal of the debt or, if the principal of the debt has beenp aid refunded. This
provision overrides other provisions in this and all other instruments concerning the
debt.
10. Grantor represents that this Deed of Trust and the Note areiven as securityfor
g
money provided for home repairs on the Property.
11. Except where otherwise required or permitted by the Beneficiary in connection with a
transfer on death, divorce, legal separation, or legal incapacity of a Grantor as
P Y
provided in the Note, the Note and this Deed of Trust may not be assumed.
12. If Grantor fails to pay any part of principal or interest secured by a prior lien or liens
on the Property when it becomes payable or defaults on anyrior lien instrument, the
p
debt secured by this Deed of Trust shall immediately becomePoption able at the o tion of
Beneficiary.
13. Beneficiary and Grantor acknowledge and agree that this Deed of Trust is subject and
subordinate in all respects to the liens, terms, covenants and conditions of thep rior
lien and to all advances heretofore made or which may hereafter be madeP ursuant to
the prior lien, including all sums advanced for the purpose of(a)or further
protecting
securing the lien of the prior lien or (b) constructing, renovating,repairing,
p g,
furnishing, fixturing or equipping the Property. The terms andprovisions of the prior
lien
are paramount and controlling, and they supersede any other terms and
provisions of this Deed of Trust in conflict therewith. In the event of a foreclosure or
deed in lieu of foreclosure of the prior lien, any provisions herein or any provision in
any collateral agreement restricting the use of the Property to low or moderate income
households or otherwise restricting the Grantor's ability to sell the Property shall have
p Y
no further force or effect on subsequent owners or purchasers of the Property.
Any
person, including his successors or assigns (other than the Grantor oraperson or
entity related to the Grantor), receiving title to the Property through foreclosure or
deed in lieu of foreclosure of the prior lien shall receive title to the Property free and
p Y
clear from such restrictions. Further, if the Financial Institution acquires title to the
Property pursuant to a deed in lieu of foreclosure, the lien of this Deed of Trust shall
automatically terminate upon the Financial Institution's acquisition of title, provided
that (i) the Beneficiary has been given written notice of a default under thep rior lien
and (ii) the Beneficiary (or another party acting on its behalf) shall not have cured the
default under the prior lien, or diligently pursued curingthe default as determined
by
the Financial Institution, within the sixty-day periodrovided in such notice sent
p to
the Beneficiary.
14. To the extent not inconsistent therewith, this Deed of Trust and the Note shall be
governed by the laws of Texas and the local jurisdiction in which the Property is
located.
p Y
15. When the context requires, singular nouns and pronouns include thep lural.
16. The term "Note" includes all sums secured by this Deed of Trust.
17. This Deed of Trust shall bind, inure to the benefit of, and be exercised by successors
in interest of all parties.
18. If Grantor and Maker are not the same person, the term "Grantor" shall include
Maker.
6
EXECUTED AND DELIVERED as of the date first above written.
MINNIE BROWN
ATTACHED EXHIBIT "A" - Legal Description of Property
ACKNOWLEDGMENT
STATE OF TEXAS
COUNTY OF WILLIAMSON
This instrument was acknowledged before me on this the � 3 day of 4)6fizta
2006 by Shameika Brown.
MARGARITA B. LOPEZ
MY COMMISSION EXPIRES
March 6, 2007
STATE OF TEXAS
COUNTY OF WILLIAMSON
Notary Public, State of Texas
ACKNOWLEDGMENT
This instrument was acknowledged before me on this the
2006 by Minnie Brown.
MARGARITA B. LOPEZ
MY COMMISSION EXPIRES
March 6, 2007
ak 6.7,_
Notary Public, State of Texas
7
day of
r -
PLEASE RETURN TO:
City of Round Rock
Attn: Minor Home Repair Program Manager
221 East Main
Round Rock, Texas 78664
8
EXHIBIT "A"
(Legal Description of Property)
The Property (including any improvements) referred to in this agreement is described as
follows:
Lot 31, Block "R", Greenslopes at Lake Creek -Section Ten -B, a
Subdivision of Williamson County, Texas, according to the map or plat
thereof recorded in Cabinet G, Slide 130, Plat Records of Williamson
County, Texas.
9
FILED AND RECORDED
OFFICIAL PUBLIC RECORDS 2006061991
08/09/2006 04:25 PM
CARRILLO $48.00
NANCY E. RISTER, COUNTY CLERK
WILLIAMSON COUNTY, TEXAS