HomeMy WebLinkAboutLANEY WALKER DEVELOPMENT CORP. - 2016 HOME AGREEMENT_ $62,973.50 _ 1029 SUMMER STREET CONTRACT
Between
AUGUSTA, GEORGIA
And
LANEY-WALKER DEVELOPMENT
In the amount of
$62,973.50
Sixty-Two Thousand Nine Hundred Seventy-Three Dollars & 00/100
For Fiscal Year 2016
Providing Funding From
HOME INVESTMENT PARTNERSHIPS PROGRAM
"1029 Summer Street— Single Family "
THIS AGREEMENT ("Contract"), is made and entered into as of the I CI‘ day of Ja a
2016 ("the effective date") by and between Augusta, Georgia, a political subdivision of the State
of Georgia, acting through the Housing and Community Development Department (hereinafter
referred to as "AHCD")—with principal offices at 925 Laney Walker Blvd., 2nd Floor, Augusta,
Georgia 30901, as party of the first part (hereinafter called "Augusta"), and Laney-Walker
Development Corporation., a developer, organized pursuant to the Laws of the State of Georgia
(hereinafter called "Laney-Walker") as party in the second part.
WITNESSETH
WHEREAS, Augusta is qualified by the U.S. Department of Housing and Urban Development
(hereafter called HUD) as a HOME Program Participating Jurisdiction, and Augusta has received
HOME Investment Partnerships Act (hereinafter called HOME or the HOME Program) funds
from HUD for the purpose of providing and retaining affordable housing for eligible families; as
defined by HUD; and
WHEREAS, Laney-Walker will be involved in HOME eligible activities; and
WHEREAS, Augusta wishes to increase homeownership opportunities and preserve and
increase the supply of affordable housing for HOME Program eligible low and moderate income
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families through eligible uses of it HOME Program grant funds, as described in the Augusta-
Richmond County Consolidated Plan 2014-2018; and the Year 2016 Annual Action Plan; and
WHEREAS, Augusta wishes to enter into a contractual agreement with Laney-Walker for the
administration of HOME eligible affordable housing development activities; and
WHEREAS, this activity has been determined to be an eligible HOME activity according to 24
CFR 92.504(c)(13), and will meet one or more of the national objectives and criteria outlined in
Title 24 Code of Federal Regulations, Part 92 of the Housing and Urban Development
Regulations.
WHEREAS, Laney-Walker has been selected and approved through a solicitation process for
development partners to assist in the redevelopment of Laney Walker/Bethlehem communities.
WHEREAS, Laney-Walker has agreed to provide services funded through this contract free
from political activities, religious influences or requirements; and
WHEREAS, Laney-Walker has requested and Augusta has approved a total of$62,973.50 in
loan/grant funds to perform eligible activities as described in Article I below;
NOW, THEREFORE, the parties of this agreement for the consideration set forth below, do
here and now agree to the following terms and conditions:
ARTICLE I. SCOPE OF SERVICES
A. Scope of Services
a. Project Description
Laney-Walker agrees to utilize approved HOME funds to support project related
costs associated with 1029 Summer Street, a Single Family housing unit. This project
is the construction of an affordable housing effort which involves development and
construction of a new single family unit within the Eleventh Street Community.
Under this agreement:
i. Perform new construction services for a single family unit.
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ii. Perform all required and requested marketing and advertising activities;
in accordance with "Fair Housing" regulations
iii. All projects are to posses the following components:
1. Evidence of additional financing resources "Leveraging"
2. Evidence of Site Control
3. At the time of sales, evidence that a qualified homebuyer has been
identified, received and completed a comprehensive home buying
education course(s) and pre-purchase housing counseling program;
prior to the completion of the assigned home.
B. Use of Funds
HOME Program funds shall be used by Laney-Walker for the purposes and objectives
stated in Article 1, Scope of Services, and Exhibit"A" of this Agreement. The use of
HOME funds for any other purpose(s) is not permitted. The following summarizes the
proposed uses of funds under this agreement:
a. Construction Costs
An amount not to exceed $ 62,973.50 in a loan/grant shall be expended by Laney-Walker
from year 2016 HOME Program funds for construction costs related to the development
of an affordable single family unit in the Eleventh Street Community. The design and
specifications must be approved by AHCD prior to construction (Exhibit A). Funds will
be used to assist with the cost of all construction related fees. This unit will be
constructed by Laney-Walker and made available for purchase by HOME Program
eligible low and moderate income homebuyers.
The address for this project is:
i. 1029 Summer Street, Augusta , Georgia 30901
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C. Program Location and Specific Goals to be Achieved
Laney-Walker shall conduct project development activities and related services in its
project area(also known as the Heritage Pine Community) that incorporates the
following boundaries: James Brown Blvd. on the West; 12th Street on the East;
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Wrightsboro Road on the South; and Laney Walker Blvd on the North and its designated
geographic boundaries approved by AHCD.
D. Project Eligibility Determination
It has been determined that the use of HOME Program funds by Laney-Walker will be in
compliance with 24 CFR Part 92. Notwithstanding any other provisions of this contract,
LWDC shall provide activities and services as described in the description of the project,
including use of funds, its goals and objectives, tasks to be performed and a detailed
schedule for completing the tasks for this project as provided in Exhibit A of this
contract.
ARTICLE II. BUDGET AND METHOD OF PAYMENT
Laney-Walker will be compensated in accordance with this Article II, Budget and Method of
Payment, that specifically identifies the use of HOME funds and any other project funding as
represented in Article II. C. 2 of this Agreement. Laney-Walker will carry out this project with
implementation oversight provided by AHCD. Laney-Walker agrees to perform the required
services under the general coordination of AHCD. In addition, and upon approval by Augusta,
Laney Walker Development Corp. may engage the services of outside professional services,
consultants, and contractors to help carry out the program and project.
A. Funds
Augusta shall designate and make HOME Program funds available in the following
manner:
a. Augusta agrees to pay Laney-Walker a maximum of$ 62,973.50 under this
agreement for project expenses incurred as outlined in ARTICLE I, Scope of
Services, subject to Laney-Walker compliance with all terms and conditions
of this agreement and the procedures for documenting expenses and activities
as set forth in ARTICLE V.
b. The method of payment shall be on a reimbursement basis. The
Reimbursement Form can found in Appendix B. For invoicing, Laney-Walker
will include documentation showing proof of payment in the form of a
cancelled check attached with its respective invoice and completed
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reimbursement form that includes amount requested, amount remaining and
specific line item names that relate to the contract budget found in Appendix
A.
c. AHCDD will monitor the progress of the project and Laney-Walker
performance on a weekly basis with regards to the production and overall
effectiveness of the project.
d. Upon the termination of this agreement, any unused or residual funds
remaining shall revert to Augusta and shall be due and payable on such date of
the termination and shall be paid no later than thirty (30) days thereafter.
e. Funds may not be transferred from line item to line item in the project budget
without prior written approval of Augusta thru AHCDD.
f. The use of funds described in this agreement is subject to the written approval
of the U. S. Department of Housing and Urban Development.
g. Laney-Walker will provide proof of additional financing.
h. This Agreement is based upon the availability of HOME Program funds. 0\te
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B. Project Financing
AHCDD will fund a fifty percent (50%) of the total construction costs of a single
project. The project financing breakdown is as follows:
a. This agreement will consist of a 50% loan and a 50% grant which of that will be
repaid at the time of closing.
b. LWDC agrees to repay(to AHCD) 50% of the HOME funding amount
($31,486.75) at closing.
c. LWDC agrees to retain 50% of the HOME funding ($31,486.75) to be utilized as
part of a future HOME project.
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C. Timetable for Completion of Project Activities
Laney-Walker shall obligate the designated HOME Program funds within six months
of the date of execution of this Agreement. Based on the budget outlined in D below,
Laney-Walker will provide a detailed outline of critical project milestones and
projected expenditures during the course of the development project as Exhibit B.
These documents will become an official part of the contractual agreement and
provide the basis for overall project performance measurements.
a. Liquidated Damages
i. Laney-Walker shall complete this project no later than 150 Days from
the effective date of the Notice To Proceed. unless otherwise approved
by Director ofAHCD. The penalty for non-completion is $200 a day
for every day over the stated deadline.
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D. Project Budget: Limitations
Laney-Walker shall be paid a total consideration of$62,973.50 for full performance
of the services specified under this Agreement. Any cost above this amount shall be
the sole responsibility of Laney-Walker. It is also understood by both parties to this
contract that the funding provided under this contract for this specific project shall be
the only funds provided by Augusta- unless otherwise agreed to by Augusta and
Laney-Walker.
Laney-Walker shall adhere to the following budget in the performance of this
contract:
Construction $ 62,973.50
Total Project Activity Cost $ 62,973.50
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ARTICLE III. RESALE/RECAPTURE PROVISIONS [24 CFR 92.254(5)]
The Resale/Recapture Provisions in this Article III shall ensure compliance with the HOME
Program "Period of Affordability"requirements pursuant to 24 CFR 92.254(a)(4). 24 CFR
92.254 required that Augusta, its subrecipients, and CHDOs follow certain resale/recapture
restrictions with regard to its HOME-funded homebuyer program. Each property sold to a
homebuyer will remain affordable for the duration of the affordability period or Augusta will use
the recapture option.
If the eligible homebuyer(who received down payment assistance [HOME Program] or other
development subsidy funds from Augusta) sells their property, then AHCDD shall capture the
HOME funds which will ensure that the recaptured HOME Program funds are reinvested in other
affordable housing in Augusta for low and moderate-income persons. This shall be accomplished
through deed restrictions, property liens, and contractual obligations, as described in Article I.B
of this Agreement.
ARTICLE IV. TERM OF CONTRACT
The term of this Agreement shall commence on the date when this agreement is executed by
Augusta and Laney-Walker(whichever date is later) and shall end at the completion of all
program activities, within the time specified in Article I. D, or in accordance with Article VII:
Suspension and Termination.
ARTICLE V: DOCUMENTATION AND PAYMENT
A. This is a pay-for-performance contract and in no event shall Augusta provide advance
funding to Laney-Walker or any subcontractor hereunder. All payments will be made to
Laney-Walker unless otherwise requested by Laney Walker.
B. Laney-Walker shall maintain a separate account and accounting process for HOME
funding sources.
C. Laney-Walker shall not use these funds for any purpose other than the purpose set forth
in this Agreement
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D. Subject to Laney-Walker compliance with the provisions of this Agreement, Augusta
agrees to reimburse all budgeted costs allowable under federal, state, and local
guidelines.
E. All purchases of capital equipment, goods and services shall comply with the
procurement procedures of OMB Circular A-110 "Uniform Administrative Requirements
for Grant Agreements with Institutions of Higher Education, Hospitals and other Non-
Profit Organizations" as well as the procurement policy of Augusta.
F. Requests by Laney-Walker for payment shall be accompanied by proper documentation
and shall be submitted to AHCDD, transmitted by a cover memo, for approval no later
than their(30) calendar days after the last date covered by the request. For purposes of
this section, proper documentation includes: "Reimbursement Request Form" supplied by
HCD, copies of invoices, receipts, other evidence of indebtedness, budget itemization and
description of specific activities undertaken. Invoices shall not be honored if received by
AHCDD later than sixty (60) calendar days after expiration date of Agreement. The
reimbursement request form is in Appendix B.
G. Laney-Walker shall maintain an adequate financial system and internal fiscal controls
H. The homebuyer subsidy will be determined after the amount of the buyer's permanent
mortgage has been determined.
I. Unexpended funds shall be retained by Augusta. Upon written request, Augusta may
consider the reallocation of unexpended funds to eligible projects proposed by Laney-
Walker.
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ARTICLE VI. REPAYMENT/PROGRAM INCOME
A. Augusta will be responsible for monitoring the reuse of the proceeds.
B. Any real property under Laney-Walker control that was acquired or improved in whole or
in part with HOME funds in excess of$25,000 must either:
a. Be used to meet one of the national objectives in 24 CFR 570.208 for at least five
years after the expiration of this Agreement; or
b. Be disposed of in a manner that results in Augusta being reimbursed in the
amount of the current fair market value of the property, less any portion of the
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value attributable to expenditures of non-HOME funds for acquisition of, or
improvement to, the property.
C. Any HOME funds invested in housing that does not meet the affordability requirements
for the period specified in §92.252 or §92.254, as applicable, must be repaid by Laney-
Walker.
D. Any HOME funds invested in a project that is terminated before completion, either
voluntarily or otherwise,must be repaid by Laney-Walker.
E. If Laney-Walker is found to be in non-compliance with the HOME Program laws and
regulations as described in 24 CFR Part 92, the organization will be required to reimburse
Augusta for the funding associated with the noncompliance issues.
ARTICLE VII. RECORD KEEPING, REPORTING AND MONITORING
REQUIREMENTS
Laney-Walker shall carry out its HOME assisted activities in compliance with all HOME
Program laws and regulations described in 24 CFR Part 92 Subpart E (Program Requirements),
Subpart F (Project Requirements), and Subpart H (Other Federal Requirements). These
compliance activities include,but are not limited to:
a. Maximum acquisition prices [24 CFR 92.205A.2]
b. Maximum per unit HOME Program subsidy amount [Section 221(d)(3)]
c. Combined affordability of assisted units
d. Income eligibility of assisted unites
e. Inspection of the homebuyer units to comply with HUD required Property Standards
f. Acquisition, Displacement and Relocation Requirements [24 CFR 92.353]
g. Environmental Review
h. Lead-based Paint Abatement
i. Property Value [Section 203(b) Limits]
To document low and moderate-income benefits required in 24 CFR 570.200(a)(2). Laney-
Walker shall maintain records that document all clients served with HOME funds. In addition,
Laney-Walker shall document each client's race, family size, annul household income, and
whether or not the family is female-headed. Augusta shall supply"Income Verification" forms
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which, when completed by those clients served by Laney-Walker, shall provide the information
and verification described above.
Laney-Walker shall prepare and submit reports relative to this project to Augusta at Augusta's
request. Augusta shall supply Laney-Walker with the following report forms and require the
same to be completed as requested by Augusta: "Monthly Services", "Quarterly Progress",
"Quarterly Financial" and "Annual Report". Further explanation and report due dates are found
in Appendix B below.
Laney-Walker shall maintain books and records in accordance with generally accepted
accounting principles. Documents shall be maintained in accordance with practices that
sufficiently and properly reflect all expenditure of funds provided by Augusta under this
Agreement.
Laney-Walker shall make all records for this project available to Augusta, the U.S. Department
of Housing and Urban Development, the Comptroller General of the United States, or any of
their duly authorized representatives for the purpose of making audits, examinations, excerpts
and transcriptions.
In compliance with OMB Circular A-110 regarding retention and custodial requirements for
records, Laney-Walker shall maintain financial records, supporting documents, statistical
records, and all other records pertinent to this Agreement for a period of three years, with the
following qualifications:
a. If any litigation, claim or audit is started before the expiration of the 3-year
period, the records shall be retained until all litigation, claims, or audit findings
involving the records have been resolved.
b. Records for non-spendable personal property acquired with HOME grant
funds shall be retained for three years after its final disposition. Non-
expendable personal property means tangible personal property having a
useful life of more than one year and an acquisition cost of$300 or more per
unit.
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In connection with the expenditure of federal funds, Laney-Walker shall provide to Augusta and
organization—wide audited financial statement consisting of a balance sheet, income statement
and a statement of changes in its financial position. All documents shall be prepared by certified
public accountant. Such financial disclosure information shall be filed with Augusta within one
hundred fifty(150) calendar days after the close of Laney-Walker's fiscal year. Laney-Walker is
responsible for any cost associated with the audit. Failure to comply may result in the
reallocation of funding and termination of the contract. Laney-Walker shall supply, up on
request, documentation maintained in accordance with practices which sufficiently and properly
reflect all expenditures of funds provided by Augusta under this Agreement.
Open Records Disclosure: Laney Walker's records related to this Agreement and the services to
be provided under the agreement may be a public record subject to Georgia's Open Records Act
(O.C.G.A. §50-18-70). Laney Walker agrees to comply with the Open Records Act should a
request be submitted to it. Further, Laney-Walker agrees to comply with the provision of the
Open Meetings Law and the following compliance measures will be taken:
a. Laney-Walker will provide notice to the Augusta Chronicle and the Augusta Focus or
the Metro Courier of its regular board meeting schedule and of any special called
meetings except emergency meetings;
b. Laney-Walker will post notices of its meetings in a public place at the meeting sites
and it will keep a written agenda, minutes, attendance, and voting record for each
meeting and make the same available for inspections by the press, the public and the
Grantee, subject to the provision of the Open Meetings Law.
c. The press, public, and the Grantee shall not be denied admittance to Laney-Walker's
board meetings, except for such portions of the meeting as may be closed pursuant to
the Open Meetings Law.
d. Laney-Walker shall provide the Grantee a tentative annual schedule of the Board of
Director's meetings. Publications and minutes of each meeting shall be submitted to
Grantee within 30 days after each meeting.
ARTICLE VIII. ADMINISTRATIVE REQUIREMENTS
Laney-Walker agrees to comply with the conflict of interest provisions contained in 24 CFR
85.36, 570.611, OMB Circular A- 110 and OMB circular A- 102 as appropriate.
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This conflict of interest provisions applies to any person who is an employee, agent, consultant,
officer, or elected official or appointed official of Laney-Walker. No person described above
who exercises, may exercise or has exercised any functions or responsibilities with
responsibilities with respect to the HOME activities supported under this contract; or who are in
a position to participate in a decision-making process or gain inside information with regard to
such activities, may obtain any financial interest or benefit from the activities. Or have a
financial interest in any contract, sub-contract, or agreement with respect to the contract
activities either for themselves or those whom they have business or family ties, during their
tenure or for one year thereafter. For the purpose of this provision, "family ties", as defined in
the above cited volume and provisions of the Code of Federal Regulations, include those related
as Spouse, Father, Mother, Father-in-law, Mother-in-law, Step-parent, Children, Step-children,
Brother, Sister, Brother-in-law, Sister-in-law, Grandparent, Grandchildren of the individual
holding any interest in the subject matter of this Agreement. Laney-Walker in the persons of
Directors, Officers, Employees, Staff, Volunteers and Associates such as Contractors, Sub-
contractors, and Consultants shall sign and submit a Conflict of Interest Affidavit. (Affidavit
form attached as part in parcel to this Agreement)
Laney-Walker shall comply with the requirements and standards of OMB Circular A-122 "Cost
Principles for Non-Profit Organizations" and 24 CFR Part 570.502(b), "Applicability of Uniform
Administrative Requirements.''
Augusta may, from time to time, request changes to the scope of this agreement and obligations
to be performed hereunder by Laney-Walker. In such instances, Laney-Walker shall consult with
AHCD/Augusta on any changes that will result in substantive changes to this Agreement. All
such changes shall be made via written amendments to this Agreement and shall be approved by
the governing bodies of both Augusta and Laney-Walker.
Statutes, regulations, guidelines and forms referenced throughout this Agreement are listed in
Appendix D and are attached and included as part of parcel to this Agreement.
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ARTICLE IX. OTHER REQUIREMENTS
A. Laney-Walker agrees that it will conduct and administer HOME Program activities in
conformity with Pub. L. 88-352, "Title VI of the Civil Rights Act of 1964", and with
Pub. L. 90-284 "Fair Housing Act:, and that it will affirmatively further fair housing. One
suggested activity is to use the fair housing symbol and language in Laney-Walker's
publications and/or advertisements. (24 CFR 570.601).
B. Laney-Walker agrees that the ownership in the housing assisted units must meet the
definition of"homeownership" in §92.2.
C. Laney-Walker agrees to comply with 24 CFR Part I, which provides that no person shall
be excluded from participation in this project on the grounds of race, color, national
origin, or sex; or be subject to discrimination under any program or activity funded in
whole or in part with federal funds made available pursuant to the Act.
D. Laney-Walker agrees that in instances in which there is construction work over$2,000
financed in who or in part with Laney Walker Bond funds, HOME funds, and/or NSP
funds under this Agreement, Laney-Walker will adhere to the Davis-Bacon Act (40
U.S.0 276), as amended, which requires all laborers and mechanics working on the
project to be paid not less than prevailing wage-rates as determined by the Secretary of
Labor. By reason of the foregoing requirement, the Contract Work Hours and Safety
Standards Act (40 U.S.C. 327 et seq.) also applies. These requirements apply to the
rehabilitation of residential property only if such property contains eight or more units.
(24 CFR 570.603).
E. No person employed in the work covered by this contract shall be discharged or in any
way discriminated against because he or she has filed any complaint or instituted or
caused to be instituted any proceeding or has testified or is about to testify in any
proceeding under or relating to the labor standards applicable hereunder to his or her
employer.
F. Laney-Walker agrees that in accordance with the National Environmental Policy Act of
1969 and 24 CFR part 58, it will cooperate with Augusta/AHCD in complying with the
NEPA Act and regulations, and that no activities will be undertaken until notified by
Augusta/AHCDD that the activity is in compliance with the Act and regulations. Prior to
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beginning any project development activity, an environmental review must be conducted
by the Augusta-Richmond County Planning Department. (24 CFR 570.604)
G. Consistent with the Flood Disaster Protection Act of 1973 (42 U.S.0 4001-4128), J&B
agrees that Laney Walker Bond funds, HOME funds, and/or NSP funds shall not be
expended for acquisition or construction in an area identified by the Federal Emergency
Management Agency(FEMA) as having special flood hazards (representing the 100-year
floodplain). Exceptions will be made if the community is participating in the National
Flood Insurance Program or less than a year has passed since FEMA notification and
flood insurance has been obtained in accordance with section 102(a) of the Flood
Disaster Protection Act of 1973.
H. Laney-Walker agrees to take all reasonable steps to minimize displacement of persons as
a result of HOME assisted activities. Any such activities with HOME funds, and/or NSP
funds will be conducted in accordance with the Uniform Relocation Assistance and Real
property Acquisition Policies Act of 1970 (URA) and the Housing and Community
Development Act of 1974 (24 CFR 570.606).
I. Laney-Walker agrees to comply with Executive Order 11246 and 12086 and the
regulations issued pursuant thereto (41 CFR 60) which provides that no person shall be
discriminated against on the basis of race, color, religion, sex or national origin. Laney-
Walker will in all solicitations or advertisements for employees placed by or on behalf of
Laney-Walker state that all qualified applicants will receive consideration for
employment without regard to race, color, religion, sex, national origin or familial status.
J. Laney-Walker will not discriminate against any employee or applicant for employment
because of race, color, religion, sex, national origin, or familial status. Laney-Walker will
take appropriate action to ensure that applicants are employed, and that employees are
treated fairly during employment, without regard to their race, color, religion, sex,
national origin, or social status.
K. Laney Walker agrees to post in conspicuous places, available to employees and
applicants for employment, notices to be provided by Augusta setting forth the provisions
of this nondiscrimination clause. Except as prohibited by law or the March 14, 2007
Court Order in the case Thompson Wrecking, Inc. v. Augusta, Georgia, Civil Action No.
1:07-CV-019 (S.D. GA 2011). ANY LANGUAGE THAT VIOLATES THIS COURT
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ORDER IS VOIDABLE BY THE AUGUSTA GOVERNMENT. J&B agrees to
comply with any federally mandated requirements as to minority and women owned-
business enterprises.
L. Laney Walker agrees the low and moderate income persons residing within Augusta-
Richmond County and that contract for work in connection with the project be awarded
to eligible businesses which are located in or owned in substantial part by persons
residing in Augusta-Richmond County. (24 CFR 570.697)
M. In accordance with Section 92.355 of the HOME Regulations and Section 571.608 of the
CDBG Regulations, Laney-Walker agrees to comply with the Lead Based Paint
Poisoning Prevention Act pursuant to prohibition against the use of lead based paint in
residential structures and to comply with 24 CFR 570.608 and 24 CFR 35 with regard to
notification of the hazards of lead based paint poisoning and the elimination of lead based
paint hazards.
N. Laney-Walker agrees to comply with 254 CFR 570.609 with regards to the direct or
indirect use of any contractor during any period of debarment, suspension or placement in
ineligible status. No contract will be executed until such time that the debarred,
suspended, or ineligible contractor has been approved and reinstated by AHCD.
O. In accordance with 24 CFR part 24, subpart F, Laney-Walker agrees to administer a
policy to provide a drug-free workplace that is free from illegal use, possession, or
distribution of drugs or alcohol by its beneficiaries as required by the Drug Free
Workplace Act of 1988.
P. Any publicity generated by Laney-Walker for the project funded pursuant to this
Agreement, during the term of this Agreement or for one year thereafter, will make
reference to the contribution of Augusta-Richmond County in making the project
possible. The words "Augusta-Richmond County Department of Housing and
Community Development" will be explicitly stated in any and all pieces of publicity;
including but not limited to flyers, press releases, posters,brochures,public service •
announcements, interviews, and newspaper articles.
Q. In accordance with 24 CFR 85.43, if Laney-Walker fails to expend its grant funds in a
timely manner, such failure shall constitute a material failure to comply with this
Agreement and invoke the suspension and termination provisions of ARTICLE VII. For
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purposes of this Agreement, timely expenditure of funds means Laney-Walker shall
obligate and expend its funds as designated under ARTICLE II.C.
R. Laney-Walker shall comply with all applicable laws, ordinances and codes of the federal,
state, and local governments and shall commit to trespass on any public or private
property in performing any of the work embraced by this contract. Laney-Walker agrees
to obtain all necessary permits for intended improvements or activities.
S. Laney-Walker shall not assign any interest in this contract or transfer any interest in this
same without the prior written approval of Augusta.
T. Laney-Walker agrees to comply with the prohibitions against discrimination on the basis
of age under the Age Discrimination Act of 1975 (42 U.S.0 6101-07) and handicaps
under section 504 of the Rehabilitation Act of 1973 (29 U.S.0 794) and implementing
regulations at 24 CFR Part 8. For purposes of the emergency shelter grants program, the
term dwelling units in 24 CFR Part 8 shall include sleeping accommodations.
U. Indirect costs will only be paid if Laney-Walker has an indirect cost allocation plan
approved by the Augusta/AHCDD prior to the execution of this Contract.
V. If applicable, Laney-Walker shall obtain prior written approval from the Grantee for any
travel outside the State of Georgia with funds provided under this contract. All Federal
Travel Regulations are applicable (41 CFR Part 301).
W. All housing unites [rehabilitated, reconstructed, or newly constructed] and assisted with
HOME Program funds must, before occupancy, meet the Property Standards specified at
25 CFR 92.25. The Property Standards at 24 CFR 92.251 require that the homes
receiving funds must meet the HUD Section 8 Housing Quality Standards [HQS]. All
housing assisted under this Agreement is "new construction"by HOME Programs
definition and therefore must meet the local building codes for new housing in Augusta-
Richmond County, as applicable.
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ARTICLE X. SUSPENSION AND TERMINATION
A. In the event Laney-Walker materially fails to comply with any terms of this agreement,
including the timely completion of activities as described in the timetable and/or
contained in ARTICLE II.C, Augusta may withhold cash payments until Laney-Walker
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cures any breach of the agreement. If Laney-Walker fails to cure the breach, Augusta
may suspend or terminate the current award of funds. Laney-Walker will not be eligible
to receive any other funding.
B. Notwithstanding the above, Laney-Walker shall not be relieved of its liability to Augusta
for damages sustained as a result of any breach of this agreement. In addition, to any
other remedies it may have at law or equity, Augusta may withhold any payments to
Laney-Walker for the purposes of offsetting the exact amount of damages once
determined.
C. In the best interest of the project and to better serve the people in the target areas and
fulfill the purposes of the Laney Walker/ Bethlehem Revitalization project, either party
may terminate this Agreement upon giving thirty(30) days notice in writing of its intent
to terminate, stating its reasons for doing so. In the event Augusta terminates this
Agreement, Augusta shall pay Laney-Walker for documented committed eligible costs
incurred prior to the date of notice of termination.
D. Notwithstanding any termination or suspension of this Agreement, Laney-Walker shall
not be relieved of any duties or obligations imposed on it under this Agreement with
respect to HOME Program funds previously disbursed or income derived therefrom.
ARTICLE XI. NOTICES
Whenever either party desires to give notice unto the other, such notice must be in writing, sent
by certified United States mail, return receipt requested, addressed to the party for whom it is
intended, at the place last specified, and the place for giving of notice shall remain such until it
shall have been changed by written notice.
Augusta will receive all notice at the address indicated below:
Office of the Administrator
Municipal Building
535 Telfair Street, Suite 910
Augusta, GA 30901
Augusta Housing and Community Development Department Page 17
With copies to:
Augusta Housing and Community Development Department
925 Laney Walker Blvd., 2°a Floor
Augusta, GA 30901
Laney-Walker will receive all notices at the address indicated below:
Laney Walker Development Corporation
851 Laney-Walker Blvd.
Augusta, Georgia 30901
ARTICLE XII: INDEMNIFICATION
Laney-Walker will at all times hereafter indemnify and hold harmless Augusta, its officers,
agents and employees, against any and all claims, losses, liabilities, or expenditures of any kind,
including court costs, attorney fees and expenses, accruing or resulting from any or all suits or
damages of any kind resulting from injuries or damages sustained by any person or persons,
corporation or property, by virtue of the performance of this Agreement. By execution of this
agreement, Laney-Walker specifically consents to jurisdiction and venue in the Superior Court of
Richmond County, Georgia and waives any right to contest jurisdiction or venue in said Court.
Should it become necessary to determine the meaning or otherwise interpret any work, phrase or
provision of this Agreement, or should the terms of this Agreement in any way be the subject of
litigation in any court of laws or equity. It is agreed that the laws of the State of Georgia shall
exclusively control the same.
The parties hereto do agree to bind themselves, their heirs, executors, administrators, trustees,
successors and assigns, all jointly and severally under the terms of this Agreement.
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ARTICLE XIII. INSURANCE AND BONDING
Laney-Walker shall acquire adequate insurance coverage to protect all contract assets from loss
or damage resulting from theft, fraud or physical damage. All policies and amounts of coverage
shall be subject to approval by Augusta. Additionally, Laney-Walker shall procure and provide
for approval by Augusta a blanket fidelity bond in the amount of at least$100,000.00 covering
Augusta Housing and Community Development Department Page 18
all personnel of Laney-Walker handling or charged with the responsibility for handling funds
and property pursuant to this contract. Laney-Walker shall procure and provide, for approval by
Augusta, comprehensive general liability insurance in the amount of at least $1,000,000.00
insuring the Grantee and adding as named insured the City of Augusta, the Mayor,
Commissioners, and Augusta's officers, agents, members, employees, and successors.
Additionally, Laney-Walker shall procure officers and directors liability insurance under policies
to be approved by Augusta. All of the above policies shall provide that no act or omission of the
grantee, its agents, servants, or employees shall invalidate any insurance coverage required to be
provided by Laney-Walker hereunder shall be cancelable without at least fifteen (15) days
advance written notice to the Grantee. All insurance policies required hereunder or copies thereof
shall be promptly submitted for approval by Augusta.
ARTICLE XIV. PRIOR AND FUTURE AGREEMENTS
This Document incorporates and includes all prior negotiations, correspondence, conversations,
agreements or understandings applicable to the matters contained herein and the parties agree
that there are no commitments, agreements, or understandings concerning the subject matter of
this agreement that are not contained in this document. Accordingly, it is agreed that no
deviation from the terms hereof shall be predicated upon any prior representations or agreements
whether oral or written. Augusta is not obligated to provide funding of any kind to Laney-Walker
beyond the term of this Agreement.
ARTICLE XV. LEGAL PROVISIONS DEEMED INCLUDED
Each and every provision of any law or regulations and clause required by law or regulation to
be inserted in this Agreement shall be deemed to be inserted herein and this Agreement shall be
read and enforced as though it were included herein and if, through mistake or otherwise, any
such provision is not inserted or is not correctly inserted, then upon application of either party
this Agreement shall forthwith be amended to make such insertion.
ARTICLE XVI. DISCLAIMER
Any and all language in this agreement pertaining to HUD regulations and/or the utilizations of
HOME funding is deemed voidable when utilizing Laney Walker Bond funds in its entirety.
Augusta Housing and Community Development Department Page 19
However, if there are any federal funds utilized by this project, including Homebuyer Subsidy
funds, this Agreement will be enforceable in its entirety.
ARTICLE XVII. COUNTERPARTS
This Agreement is executed in two (2) counterparts-each of which shall be deemed an original
and together shall constitute one and the same Agreement with one counterpart being delivered
to each party hereto.
IN WITNESS WHEREOF,the parties have set their hands and seals as of the date first written
above:
ATTEST: AUGUSTA, GEORGIA
(Augus .
SEAL,,,.....K.. ...- -TM- --:
.. By.
,I 40.111:67144, 4+4441 i Hardie D. ' , r. Date
�Y t� ' /,/ e, ' 5 As Its Mayor
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1 thorne 'ser, Jr. Date
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114
ATTEST: LANEY WALKER DEVELOPMENT CORP.
(Grantee)
SEAL:
I• .%;# ���
By:
Its:
40./.. -6)4_,_
(Plain witness)
Augusta Housing and Community Development Department Page 20
APPENDIX "A"
PROJECT DEVELOPMENT AND MANAGEMENT PROCEDURES
1. Augusta through the Housing and Community Development Department agrees to
provide up to $64,595.00 in Fiscal Year 2016HOME Program funds to Laney-Walker.
These funds will support new construction with the production of approximately one (1)
affordable single-family residential unit in connection with the continuation of 1029
Summer Street.
2. AHCD must review and approve all residential design plans, project specifications and
total development cost for each residential development project before work is
commenced and before funds can be released for payment reimbursement. Construction
payments will be released to Laney-Walker in accordance with the attached drawdown
schedule and budget.
3. AHCD will provide the lots on which all new affordable homes are to be built under this
agreement and in connection with the Laney-Walker/Bethlehem Revitalization Project.
4. With AHCD approval, Laney-Walker may use funds under this agreement for the
following purposes:
a. To support development costs as outlined in Item 6 below.
5. Completion delays, remedies, and penalties.
a. If the Contractor fails to complete the work within the time frame specified in the
contract, plus any authorized delays, AHCD may:
i. Terminate the contractor in accordance with the "Provisions for Augusta
Housing and Community Development Department (AHCD)" clause of
this contract.
ii. Assess liquidated damages of Two Hundred Dollars ($200) per working
day from the schedule of completion to the date of final acceptance of the
project. The total amount of liquidated damages will be deducted from the
total contract price, plus any change order amounts.
b. The contractor shall not be charged with liquidated damages for any delays in the
completion of the work due:
i. To any acts of the Federal, State, or City/County Government; including
controls or restrictions upon or requisitioning of materials, equipment,
tools or labor by reason of war, National Defense, or any other National,
State, or City/County emergency.
ii. To any acts of the Owner that hinder the progress of the work;
iii. To cause not reasonable foreseeable by the parties in this contract at the
time the execution of the contract which are beyond the control and
without the fault or negligence of the Contractor; including but not
restricted to acts of God; acts of the public enemy; acts of another
contractor in the performance of some other contract with the owner; fires;
Augusta Housing and Community Development Department Page 21
floods; epidemics; quarantine restrictions; strikes; freight embargoes; and
weather or unusual severity such as hurricanes, tornadoes, cyclones, and
other extreme weather conditions; and
iv. To any delay of the subcontractor occasioned by any other causes
specified in subparagraphs A and B above. Provided, however, that the
contractor promptly(within 10 days) notifies AHCD in writing of the
cause of the delay. If the facts show the delay to be properly excusable
under the terms of this contract, AHCD shall extend the contract time by a
period commensurate with the period of authorized delay to the
completion of the work as whole; in the form of an amendment to this
contract.
6. Construction Costs and Requirements
a. The amount that can be used to pay for development costs will be indentified on a
project-by-project basis. In no case will this amount exceed the maximum per unit
amount defined at 24 CFR 92.250
b. AHCD will provide construction management for the project to ensure that
construction work is being carried out in accordance with plans, specifications
and the project budget.
c. Laney-Walker must make sure contractors obtain and post all permits on job site.
Prior to releasing final payment on each house, Laney-Walker must also secure a
Certificate of Occupancy from the contractor that has been issued by the
Department of Licenses and Inspections.
d. Laney-Walker must collect progress and final lien releases from the contractor,
subcontractors, and material suppliers prior to making a payment to a contractor.
e. AHCD or its agent may continually inspect each house for contract compliance
and to determine the percent of completion prior to processing a draw request and
releasing payment. AHCD may choose not to release payments if the work being
performed is not of acceptable quality to AHCD and if the house is not being built
or rehabilitated in accordance with plans and specifications, or if the project is not
on schedule.
7. Permanent Financing and Sales Prices
a. The sales price of each home sold in accordance with this agreement must be
based on a formal appraisal. Unless otherwise agreed to by AHCD, the sales price
of each house shall not exceed the appraised value of the house.
b. The purchasers of houses constructed must meet the City of Augusta program
requirements
c. Buyers will be required to borrow no less than 75% of the sale prices of the house
from a private lending institution unless otherwise agreed to by AHCD.
Augusta Housing and Community Development Department Page 22
8. Augusta Housing and Community Development Department will deliver building lots, or
vacant buildings, free of encumbrances, and ready for building in accordance with local
zoning and land use regulations applicable to the location of the parcel being developed.
APPENDIX "B"
REPORTING REQUIRMENTS
Laney Walker shall submit to the Grantee the following reports for the term of this
Agreement.
1. Weekly Status Reports
a. Due by 10:00am Monday morning for the previous week. Report will
contain actual/estimated costs/date, issues and concerns. MS Project
schedule will be manually updated so that AHCD can input data to master
schedule.
2. Monthly/Quarterly Progress & Financial Reports
a. Due the 15th of the new quarter.
3. Annual Progress Report
a. Due 365 days from the effective date of this agreement
4. Audit/Financial Report
5. Grantee shall maintain files on each person assisted. Each file shall contain, but is
not restricted to, income data and verification for each person assisted; application
for services; record of services provided; amount of services provided;
documentation of costs for which assistance is provided; transportation log;
documentation of medical need regarding prescriptions; and any other document
that will provide proof of needed service(s) and subsequent provision of such
service(s) as allowed under this contract.
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APPENDIX "C"
FINANCING LETTER
Augusta Housing and Community Development Department Page 24
APPENDIX "D"
STATUTES (AVAILABLE ON REQUEST)
1. 24 CFR Part 92, HOME Investment Partnerships Program ("HOME")
2. OMB Circular A-110—Uniform Administrative Requirements for Grants and
Agreement with Institutions of Higher Education, Hospitals, and other Non-Profit
Organizations.
3. OMB Circular A-122 — Cost Principals for Non-Profit Organizations
4. OMB Circular A-133 —Audits of Institutions of Higher Education &other Non-
Profit Institutions
5. 40 USC 276 Davis-Bacon Act
6. 40 USC 327 Contract Work Hours and Safety Standard Act
7. Uniform Relocation Assistance and Real Property Acquisition Policies Act
8. Lead Based Paint Poisoning Prevention Act
9. 24 CFR 35—HUD Requirements for Notification, Evaluation and Reduction of
Lead-Based Paint Hazards in Housing Receiving Federal Assistance and
Federally-Owned Residential Property being sold, Final Rule
10. Augusta-Richmond County Procurement Policy
11. Conflict of Interest Affidavit.
FORMS
1. Reimbursement Form
Augusta Housing and Community Development Department Page 25
EXHIBIT "A"
CONSTRCUTION REQUIREMENTS
All construction projects shall comply with Federal, State, and Local codes and ordinances,
including, but not limited to, the following:
• "Standard Building Code", 2000 Edition, Southern Building Congress, International, Inc.,
Birmingham, Alabama.
• "Standard Plumbing Code", latest edition, Southern Building Congress, International,
Inc., Birmingham, Alabama.
• "Standard Mechanical Code", latest edition, Southern Building Congress, International,
Inc., Birmingham, Alabama.
• "National Electric Code", latest edition, National Fire Protection Association, Quiney,
Massachusetts.
• Model Energy Code, 1997, Council of American Building Officials
• "ADA Accessibility Guidelines for Buildings and Facilities", Department of Justice,
American with Disabilities Act of 1990.
• Williams-Steiger Occupational Safety and Health Act of 1970, Public Law 91-596.
• Part 1910- Occupational Safety and Health Standards, Chapter XVII of Title 29, Code of
Federal Regulations (Federal Register, Volume 37, Number 202, October 18, 1972).
• Part 1926- Safety and Health Regulations for Construction. Chapter XVII of Title 29,
Code of Federal Regulations (Federal Register, Volume 37, Number 243, December 16,
1972).
• Section 106 of the National Historic Preservation Act 916 U.S.C. 470f).
Project Review: All plans, specifications, work write-ups, projected cost estimates, punch lists or
other means of outlining work on a particular project will be submitted in writing to AHCD for
review and approval prior to bidding. AHCD Construction and Rehabilitation Inspectors will
review these items for compliance with new construction and/or rehabilitation standards and
materials used
Rehabilitation Standards: All rehabilitation work will comply with the "Uniform Physical
Condition Standards for HUD Housing." Workmanship and material standards will comply with
the Augusta-Richmond County Housing & Community Development Department Contractors
Manual and Performance Standards. A copy of this manual is provided to every contractor when
included on the AHCD Approved Contractors List.
Inspections: All projects will be inspected and approved by and AHCDD Construction and
Rehabilitation Inspector prior to release of the funds for that request.
Augusta Housing and Community Development Department Page 26
EXHIBIT "B"
PROJECT SCHEDULE OF COMPLETION
Laney-Walker must provide a completed schedule of completion as Exhibit"B" with appropriate
milestones within 10 to 15 days after the signing of this agreement. This schedule must be
provided in sufficient detail to permit AHCD to monitor and assess progress in connection with
the performance of this agreement.
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