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2500 - Rosemead Housing Development Corporation - HOME Funds CITY OF ROSEMEAD AND ROSEMEAD HOUSING DEVELOPMENT CORPORATION HOME FUNDS COMMITMENT AGREEMENT FOR IMPLEMENTATION OF CERTAIN PROGRAMS THIS HOME FUNDS COMMITMENT AGREEMENT (this "Agreement") is entered into as of July 25, 2017, by and between the CITY OF ROSEMEAD, a municipal corporation (hereinafter referred to as the "City"), and ROSEMEAD HOUSING DEVELOPMENT CORPORATION, a California non-profit corporation (hereinafter referred to as"RHDC"). RECITALS: A. Pursuant to the HOME Investment Partnerships Act, the Department of Housing and Urban Development ("HUD") has allocated regular HOME funds to the City for the purpose of expanding the City's supply of decent, safe, sanitary and affordable housing for low to moderate-income families. B. The City receives annual HOME allocation from HUD and desires to commit a portion of its HOME funds for implementation of certain HOME funded programs providing affordable housing opportunities. C. The City desires to commit $173,53 of its FY 2017-18 HOME funds, as well as approximately $540,000 of carryover funds prior to FY 2017-18 plus all loan payoffs received during the FY 2017-18 to RHDC and RHDC desires to accept such commitment of funds for the implementation of the City's Owner-Occupied Rehabilitation Loan Program and Mortgage Assistance Program(collectively"Programs"). NOW,THEREFORE, THE PARTIES DO HEREBY AGREE AS FOLLOWS Section 1. Purpose of this Agreement The City and RHDC desire to enter into this Agreement to acknowledge the above recitals and to provide for the commitment of a portion of its HOME funds by the City to RI IDC and the acceptance of such commitment by RI IDC. Section 2. Commitment of Funds Subject to the terms of this Agreement, the City agrees to provide to RHDC and RHDC agrees to accept from the City regular HOME funds (totaling $173,53 of its FY 2017-18 HOME funds, as well as approximately $540,000 of carryover funds prior to FY 2017-18 plus all loan payoffs received during the FY 2017-18) for the Programs: • Owner-Occupied Rehabilitation Loan Program (approximately $523,503) • Mortgage Assistance Program (approximately $190,000) Section 3. Expenditure of Funds RHDC agrees to expend the funds received pursuant to Section 2 for the purpose of increasing, improving, or preserving affordable housing in the City by providing the Programs in full compliance with the requirements of the HOME Investment Partnerships Act (at Title II of the Cranston-Gonzalez National Affordable Housing Act, as amended, 42 U.S.C. 12701 et seq.) and HUD Regulations (at 24 CFR Part 92), as now in effect and as may be amended from time to time, and all other applicable laws and regulations, including without limitation, the Davis- Rosemead I lousing Development Corporation DOME Funds Commitment Agreement Page 2 of 4 Bacon Act (40 U.S.C. 276a-276a-5), the Contract Work Hours and Safety Standards Act (40 U.S. C. 327-332), the Federal requirements set forth in 24 CFR Part 5, Subpart A. applicable provisions of the Title VI of the Civil Rights Act of 1964 (42 U.S.C. 2000d-2000d-4), the Fair Housing Act (42 U.S.C. 3601 et seq.), E.O. 11063 (3 CFR, 1959-1963 Comp., p 652) and HUD regulations issued pursuant thereto. RHDC agrees to expend $148,857 by July 31, 2020. Section 4. Non-liability of Officials and Employees RHDC covenants and agrees for itself, its successors and assigns that there shall be no discrimination against or segregation of any person, or group of persons, on account of race, color, creed, religion, marital status, sex, age, national origin or ancestry in the sale, lease, sublease, transfer, use occupancy, tenure or enjoyment of the lands, rights-of-way or implements finance pursuant to this Agreement, nor shall RHDC, or any person claiming under or through it, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number use or occupancy of tenants, lessees, subtenants. sublessess, or vendees of the lands, rights-of-way or improvements. RHDC shall refrain from restricting the rental, sale, or lease of the lands, rights-of-way or improvements on the basis of race, color, creed, religion, marital status, age, sex, national origin, or ancestry of any person. All such deeds, leases or contracts for the sale, lease, sublease or other transfer of the rights —of-way, lands or improvements shall contain or be subject to substantially the following non- discrimination or non-segregation clauses: A. In deeds: "The grantee herein covenants by and for itself, its successors and assigns, and all persons claiming under or thorough them, that there shall be no discrimination against or segregation of, any person or group of person on account of race, color, creed, religion, sex marital status, age, national origin, or ancestry in the sale, lease, sublease, transfer, use occupancy, tenure or enjoyment of the land herein conveyed, nor shall the grantee itself or any persons claiming under or through it, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessees, or vendees on the land herein conveyed. The foregoing covenants shall run with the land.' B. In leases: "The lessee herein covenants by and for itself, its successors and assigns. and all persons claiming under or through them, and this lease is made and accepted upon and subject to the following conditions: "[hat there shall be no discrimination against or segregation of any person or group of persons, on account of race, color, creed, religion, marital status, age, sex, national origin, or ancestry. in the leasing, subleasing, transferring, use, occupancy, tenure or enjoyment of the land herein leased nor shall the lessee itself, or any person claiming under or through it, establish or permit such practice or practices of discrimination or segregation with reference to the selection, location number, use or occupancy of tenants, lessees. sublessees, subtenants, or vendees on the land herein leased." Section 6. Future Cooperation The parties hereto agree to take all appropriate steps and execute any documents which may reasonable be necessary or convenient to implement the intent of this Agreement. 2 Rosemead Housing Development Corporation HOME Funds Commitment Agreement Page 3 of 4 Section 7. Supersedes Prior Agreement This Agreement supersedes all prior agreements or understandings between the City and RHDC regarding the subject matter of this Agreement. Section S. Records Each party shall maintain books and records regarding its duties pursuant to this Agreement. Such books and records shall be available for inspection by the officers and agents of the other party at all reasonable times. Section 9. Law Governments This Agreement is made in the State of California under the constitution and laws of the State of California, and is to be so construed. Section 10. Amendments This Agreement may be amended at any time, and from time to time, by an agreement executed by both parties to this Agreement. Section 11. Termination Either Party may terminate this Agreement with or without cause upon thirty (30) days prior written notice to the other Party. At such time, CITY shall be entitled to reimbursement for all unexpended Funds. To this end, RHDC shall maintain records of all of its Eligible Expenses and the draw-down of the Funds to pay for such expenses. CITY shall have a right to review all such records upon forty-eight(48) hours prior written notice to RHDC. IN WITNESS WHEREOF, the CITY and RHDC have executed this Agreement to be executed by their duly authorized representatives. This Agreement is effective as of July 25, 2017. CITY OF ROSEMEAD ROSEMEAD HOUSING DEVELOPMENT CORPORATION By: / ,' By: —_ Polly Low ,(/ Polly Low Mayor President Attest: Attest: �>,4, By: 7/j7 .= By: /f r/ Marc Donohue Marc Donohue City Clerk Secretary 3 Rosemead Housing Development Corporation HOME Funds Commitment Agreement Page 4 of 4 Approved as to Form: Approved as to Form: By: �`r OL -i By: Asetc, _ Race Ricsyr Burke, Wi i..•�s & Sorensen, I P Burke, -I .•ms& Sorensen, LLP City Attorney Corporation Attorney 4 CITY OF ROSEMEAD AND ROSEMEAD HOUSING DEVELOPMENT CORPORATION HOME FUNDS COMMITMENT AGREEMENT FOR IMPLEMENTATION OF CERTAIN PROGRAMS THIS HOME FUNDS COMMITMENT AGREEMENT (this "Agreement") is entered into as of May 10, 2016, by and between the CITY OF ROSEMEAD, a municipal corporation (hereinafter referred to as the "City"), and ROSEMEAD HOUSING DEVELOPMENT CORPORATION, a California non-profit corporation (hereinafter referred to as "RHDC"). RECITALS: A. Pursuant to the HOME Investment Partnerships Act, the Department of Housing and Urban Development ("HUD") has allocated regular HOME funds to the City for the purpose of expanding the City's supply of decent, safe, sanitary and affordable housing for low to moderate-income families. B. The City receives annual HOME allocation from HUD and desires to commit a portion of its HOME funds for implementation of certain HOME funded programs providing affordable housing opportunities. C. The City desires to commit $160,919 of its FY 2016-17 HOME funds, as well as approximately $654,000 of carryover funds prior to FY 2016-17 plus all loan payoffs received during the FY 2016-17 to RHDC and RHDC desires to accept such commitment of funds for the implementation of the City's Owner-Occupied Rehabilitation Loan Program and Mortgage Assistance Program (collectively "Programs"). NOW, THEREFORE, THE PARTIES DO HEREBY AGREE AS FOLLOWS Section 1. Purpose of this Agreement The City and RHDC desire to enter into this Agreement to acknowledge the above recitals and to provide for the commitment of a portion of its HOME funds by the City to RHDC and the acceptance of such commitment by RHDC. Section 2. Commitment of Funds Subject to the terms of this Agreement, the City agrees to provide to RHDC and RHDC agrees to accept from the City regular HOME funds (totaling $160,919 of its FY 2016-17 HOME funds, as well as approximately $654,000 of carryover funds prior to FY 2016-17 plus all loan payoffs received during the FY 2016-17) for the Programs: • Owner-Occupied Rehabilitation Loan Program (approximately $674,919) • Mortgage Assistance Program (approximately $140,000) Rosemead Housing Development Corporation HOME Funds Commitment Agreement Page 2 of 4 Section 3. Expenditure of Funds RHDC agrees to expend the funds received pursuant to Section 2 for the purpose of increasing, improving, or preserving affordable housing in the City by providing the Programs in full compliance with the requirements of the HOME Investment Partnerships Act (at Title II of the Cranston-Gonzalez National Affordable Housing Act, as amended, 42 U.S.C. 12701 et seq.) and HUD Regulations (at 24 CFR Part 92), as now in effect and as may be amended from time to time, and all other applicable laws and regulations, including without limitation, the Davis-Bacon Act (40 U.S.C. 276a-276a- 5), the Contract Work Hours and Safety Standards Act (40 U.S. C. 327-332), the Federal requirements set forth in 24 CFR Part 5, Subpart A, applicable provisions of the Title VI of the Civil Rights Act of 1964 (42 U.S.C. 2000d-2000d-4), the Fair Housing Act (42 U.S.C. 3601 et seq.), E.O. 11063 (3 CFR, 1959-1963 Comp., p 652) and HUD regulations issued pursuant thereto. RHDC agrees to expend $148,857 by July 31, 2020. Section 4. Non-liability of Officials and Employees RHDC covenants and agrees for itself, its successors and assigns that there shall be no discrimination against or segregation of any person, or group of persons, on account of race, color, creed, religion, marital status, sex, age, national origin or ancestry in the sale, lease, sublease, transfer, use occupancy, tenure or enjoyment of the lands, rights-of-way or implements finance pursuant to this Agreement, nor shall RHDC, or any person claiming under or through it, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number use or occupancy of tenants, lessees, subtenants, sublessees, or vendees of the lands, rights-of-way or improvements. RHDC shall refrain from restricting the rental, sale, or lease of the lands, rights-of-way or improvements on the basis of race, color, creed, religion, marital status, age, sex, national origin, or ancestry of any person. All such deeds, leases or contracts for the sale, lease, sublease or other transfer of the rights —of-way, lands or improvements shall contain or be subject to substantially the following non-discrimination or non-segregation clauses: A. In deeds: The grantee herein covenants by and for itself, its successors and assigns, and all persons claiming under or thorough them, that there shall be no discrimination against or segregation of, any person or group of person on account of race, color, creed, religion, sex marital status, age, national origin, or ancestry in the sale, lease, sublease, transfer, use occupancy, tenure or enjoyment of the land herein conveyed, nor shall the grantee itself or any persons claiming under or through it, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessees, or vendees on the land herein conveyed. The foregoing covenants shall run with the land." 7 Rosemead Housing Development Corporation HOME Funds Commitment Agreement Page 3 of 4 B. In leases: "The lessee herein covenants by and for itself, its successors and assigns, and all persons claiming under or through them, and this lease is made and accepted upon and subject to the following conditions: That there shall be no discrimination against or segregation of any person or group of persons, on account of race, color, creed, religion, marital status, age, sex, national origin, or ancestry, in the leasing, subleasing, transferring, use, occupancy, tenure or enjoyment of the land herein leased nor shall the lessee itself, or any person claiming under or through it, establish or permit such practice or practices of discrimination or segregation with reference to the selection, location number, use or occupancy of tenants, lessees, sublessees, subtenants, or vendees on the land herein leased." Section 6. Future Cooperation The parties hereto agree to take all appropriate steps and execute any documents which may reasonable be necessary or convenient to implement the intent of this Agreement. Section 7. Supersedes Prior Agreement This Agreement supersedes all prior agreements or understandings between the City and RHDC regarding the subject matter of this Agreement. Section 8. Records Each party shall maintain books and records regarding its duties pursuant to this Agreement. Such books and records shall be available for inspection by the officers and agents of the other party at all reasonable times. Section 9. Law Governments This Agreement is made in the State of California under the constitution and laws of the State of California, and is to be so construed. Section 10. Amendments This Agreement may be amended at any time, and from time to time, by an agreement executed by both parties to this Agreement. Section 11. Termination Either Party may terminate this Agreement with or without cause upon thirty (30) days prior written notice to the other Party. At such time, CITY shall be entitled to reimbursement for all unexpended Funds. To this end, RHDC shall maintain records of all of its Eligible Expenses and the draw-down of the Funds to pay for such expenses. CITY shall have a right to review all such records upon forty-eight (48) hours prior written notice to RHDC. 3 Rosemead Housing Development Corporation HOME Funds Commitment Agreement Page 4 of 4 IN WITNESS WHEREOF, the CITY and RHDC have executed this Agreement to be executed by their duly authorized representatives. This Agreement is effective as of July 1, 2016. CITY OF ROSEMEAD ROSEMEAD HOUSING DEVELOPMENT CORPORATION BY: K1 � '/ Sandra Armenta / Sandra Armenta Mayor President Attest: Attest: By: By: Ericka Hernandez Ericka Hernandez Interim City Clerk Interim Secretary Approved as to Form: Approved as to Form: By: ( m/ By: . t. _ �� ache) Richman Rachel Richman Burke, Williams & Sorensen, LLP Burke, Williams & Sorensen, LLP City Attorney Corporation Attorney 4 0 0 ROSEMEAD HOUSING DEVELOPMENT CORPORATION STAFF REPORT TO: THE HONORABLE PRESIDENT AND DIRECTORS FROM: JEFF ALLRED, EXECUTIVE DIRECTOqfi DATE: JUNE 23, 2009 SUBJECT: REVIEW AND APPROVAL OF CONTRACT WITH CITY OF ROSEMEAD FOR IMPLEMENTATION OF CERTAIN HOME FUNDED PROGRAMS SUMMARY The City is required to commit its HOME funds for particular affordable housing activities within 24 months after HUD's appropriation of the entitlement allocation. To comply with this requirement, the City desires to contract with the Rosemead Housing Development Corporation (RHDC) to administer certain HOME funded programs. Staff Recommendation Staff recommends that the Board take the following actions: 1. Approve a contract with the City of Rosemead for the implementation of: • Owner - Occupied Rehabilitation Loan Program, and • Mortgage Assistance Program; and 2. Authorize the Mayor to execute the contract on behalf of the City. ANALYSIS The City of Rosemead is required to commit 90% of its annual HOME allocations for particular affordable housing activities within 24 months after HUD's appropriation of the entitlement allocation. The City desires to contract with RHDC to administer the HOME funded Owner - Occupied Rehabilitation Loan Program and Mortgage Assistance Program. By contracting with RHDC for the implementation of these programs, the City's HOME funds would be committed and the City would avoid the risk of losing any funds. The programs would still be implemented by City staff. LEGAL REVIEW The attached Contract has been reviewed and approved by the RHDC Attorney. PUBLIC NOTICE PROCESS This item has been noticed through the regular agenda notification process. ITEM NO. _2 APPROVED FOR CITY COUNCIL AGENDA: • City Council Report June 23, 2009 Page 2 of 2 Prepared by: Michelle G. Ramirez Economic Development ministrator S City Manager Attachment A — Proposed Contract it • 0 0 CITY OF ROSEMEAD AND ROSEMEAD HOUSING DEVELOPMENT CORPORATION HOME FUNDS COMMITMENT AGREEMENT FOR IMPLEMENTATION OF CERTAIN PROGRAMS THIS HOME FUNDS COMMITMENT AGREEMENT (this "Agreement ") is entered into as of June 26, 2009, by and between the CITY OF ROSEMEAD, a municipal corporation (hereinafter referred to as the "City "), and ROSEMEAD HOUSING DEVELOPMENT CORPORATION, a California non - profit corporation (hereinafter referred to as "RHDC "). RECITALS: A. Pursuant to the HOME Investment Partnerships Act, the Department. of Housing and Urban Development ( "HUD ") has allocated regular HOME funds to the City for the purpose of expanding the City's supply of decent, safe, sanitary and affordable housing for low to moderate - income families. B. The City receives annual HOME allocation from HUD and desires to commit a portion of its HOME funds for implementation of certain HOME funded programs providing affordable housing opportunities. C. The City desires to commit $1,294,932 of its HOME funds, as well as any carryover funds prior to FY 2008 -09, to RHDC and RHDC desires to accept such commitment of funds for the implementation of the City's Owner- Occupied Rehabilitation Loan Program and Mortgage Assistance Program (collectively "Programs ") in conformance with HUD rule 24 CFR Part 92. NOW, THEREFORE, THE PARTIES DO HEREBY AGREE AS FOLLOWS Section 1. Purpose of this Agreement The City and RHDC desire to enter into this Agreement to acknowledge the above recitals and to provide for the commitment of a portion of its HOME funds by the City to RHDC and the acceptance of such commitment by RHDC consistent with HUD rule 24 CFR Part 92. Section 2. Commitment of Funds Under HUD guidelines and subject to the terms of this Agreement, the City agrees to provide to RHDC and RHDC agrees to accept from the City regular HOME funds, totaling $1,294,932, as well as any carryover funds prior to FY 2008 -09, for the following HUD compliant Programs: • Owner- Occupied Rehabilitation Loan Program • Mortgage Assistance Program 0 1 Rosemead Housing Development Corporation HOME Funds Commitment Agreement Page 2 of 5 Section 3. Expenditure of Funds A. RHDC agrees to expend the funds received pursuant to Section 2 for the purpose of increasing, improving, or preserving affordable housing in the City by providing the Programs in full compliance with the requirements of the HOME Investment Partnerships Act (at Title II of the Cranston - Gonzalez National Affordable Housing Act, as amended, 42 U.S.C. 12701 et seq.) and HUD Regulations (at 24 CFR Part 92), as now in effect and as may be amended from time to time, and all other applicable laws and regulations, including without limitation, the Davis -Bacon Act (40 U.S.C. 276a- 276a -5), the Contract Work, Hours and Safety Standards Act (40 U.S. C. 327 -332), the Federal requirements set forth in 24 CFR Part 5, Subpart A, applicable provisions of the Title VI of the Civil Rights Act of 1964 (42 U.S.C. 2000d- 2000d -4), the Fair Housing Act (42 U.S.C. 3601 et seq.), E.O. 11063 (3 CFR, 1959 -1963 Comp., p 652) and HUD regulations issued pursuant thereto. RHDC agrees to expend at least the stated amount of funds for the above listed programs by the following dates: $324,453 by July 31, 2010 $237,334 by July 31, 2011 $347,305 by July 31, 2013 $385,840 by July 31, 2014 B. RHDC shall maintain and, at reasonable times and places, make available to the City such records, accounts, including property, personnel, and financial records, the City and /or State and Federal agencies deem necessary to assure a proper accounting for all HOME Program Funds. Section 4. Enforcement of the Agreement A. RHDC shall provide a means of enforcement of the affordable housing requirements that may include liens on real property, deed restrictions or covenants running with the land. B. Repayment of HOME funds must be made in full if the housing does not meet the affordability requirements for the specified time period. Section 5. Indemnification and Hold Harmless RHDC agrees to indemnify, defend and hold harmless City, its officers, officials, employees and agents ( "City ") from and against, any and all liabilities, claims, actions, causes of action, proceedings, suits, damages, judgments, liens, levies, costs and expenses of whatever nature, including reasonable attorneys' fees and disbursements (collectively, "Claims "), which City may suffer or incur or to which City may become subject by reason of or arising out of any injury to or death of any person(s), damage to property, loss of use of property, economic loss or otherwise occurring as a result of any negligent or willfully wrongful acts or omissions of RHDC, its officers, employees, agents, or subcontractors committed arising under this Agreement. 2 0 0 Rosemead Housing Development Corporation HOME Funds Commitment Agreement Page 3 of 5 Section 6. Non - Discrimination RHDC covenants and agrees for itself, its successors and assigns that there shall be no discrimination against or segregation of any person, or group of persons, on account of race, color, creed, religion, marital status, sex, age, national origin or ancestry in the sale, lease, sublease, transfer, use occupancy, tenure or enjoyment of the lands, rights -of -way or implements finance pursuant to this Agreement, nor shall RHDC, or any person claiming under or through it, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number use or occupancy of tenants, lessees, subtenants, sublessess, or vendees of the lands, rights -of -way or improvements. RHDC shall refrain from restricting the rental, sale, or lease of the lands, rights -of -way or improvements on the basis of race, color, creed, religion, marital status, age, sex, national origin, or ancestry of any person. All such deeds, leases or contracts for the sale, lease, sublease or other transfer of the rights —of -way, lands or improvements shall contain or be subject to substantially the following non - discrimination or non - segregation clauses: A. In deeds: 'The grantee herein covenants by and for itself, its successors and assigns, and all persons claiming under or thorough them, that there shall be no discrimination against or segregation of, any person or group of person on account of race, color, creed, religion, sex marital status, age, national origin, or ancestry in the sale, lease, sublease, transfer, use occupancy, tenure or enjoyment of the land herein conveyed, nor shall the grantee itself or,any persons claiming under or through it, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessees, or vendees on the land herein conveyed. The foregoing covenants shall run with the land." B. In leases: "The lessee herein covenants by and for itself, its successors and assigns, and all persons claiming under or through them, and this lease is made and accepted upon and subject to the following conditions: That there shall be no discrimination against or segregation of any person or group of persons, on account of race, color, creed, religion, marital status, age, sex, national origin, or ancestry, in the leasing, subleasing, transferring, use, occupancy, tenure or enjoyment of the land herein leased nor shall the lessee itself, or any person claiming under or through it, establish or permit such practice or practices of discrimination or segregation with reference to the selection, location number, use or occupancy of tenants, lessees, sublessees, subtenants, or vendees on the land herein leased." 3 0 0 Rosemead Housing Development Corporation HOME Funds Commitment Agreement Page 4 of 5 Section 7. Termination and Reimbursement of Unexpended Funds Either Party may terminate this Agreement with or without cause upon thirty (30) days prior written notice to the other Party. At such time, City shall be entitled to reimbursement for all unexpended Funds. To this end, RHDC shall maintain records of all of its Eligible Expenses and the draw -down of the Funds to pay for such expenses. City shall have a right to review all such records. RHDC shall be required to reimburse the City for the use of funds that are not Eligible Expenses pursuant to Title 24 CFR Part 92. Section 8. Future Cooperation The parties hereto agree to take all appropriate steps and execute any documents which may reasonable be necessary or convenient to implement the intent of this Agreement. Section 9. Term The term of this Agreement shall be from the date of execution until July 31, 2014, unless amended by written agreement of the parties or terminated as provided in this Agreement Section 10. Supersedes Prior Agreement This Agreement supersedes all prior agreements or understandings between the City and RHDC regarding the subject matter of this Agreement. Section 11. Records Each party shall maintain books and records regarding its duties pursuant to this Agreement. Such books and records shall be available for inspection by the officers and agents of the other party at all reasonable times. Section 12. Law This Agreement is made in the State of California under the constitution and laws of the State of California, and is to be so construed. Section 13. Amendments This Agreement may be amended at any time, and from time to time, by written agreement executed by both parties to this Agreement. E Rosemead Housing Developm•Corporation • HOME Funds Commitment Agreement Page 5 of 5 IN WITNESS WHEREOF, the CITY and RHDC have executed this Agreement on June 26, 2009. CITY OF ROSEMEAD BY: MargafZt Clark Mayor Attest: B)C AN "A C - 01104' Gloria Molleda City Clerk Approved as to Form: VA9� Burke, Williams & Sorensen, LLP City Attorney ROSEMEAD HOUSING DEVELOPMENT CORPORATION BY: / / / ��� Margaret lark President Attest: By: &=rn Gloria Molleda Secretary Approved as to Form: By: Joe ontes Burke, Williams & Sorensen, LLP Corporation Attorney 0 0 C+,f cites c • CITY OF ROSEMEAD, 2005 -2006 ANNUAL CAPER REPORT CDBG AND HOME PROGRAMS The CPMP First Consolidated Annual Performance and Evaluation Report (CAPER) includes narrative responses to CAPER questions that recipients of Community Development Block Grant (CDBG) and HOME Investment Partnerships Act (HOME) Grantees must respond to each year as part of the year end close out of the Consolidated Plan. NARRATIVE STATEMENT The Consolidated Plan CAPER report is a summary of the progress toward meeting the goals and objectives that were outlined in the Consolidated Plan (CP) and its Annual Action Plans. This report addresses the period of July 1, 2005 through June 30, 2006. The Annual Action Plan was submitted to the Department of Housing and Urban Development (HUD) in May 2005. The Consolidated Plan and its Action Plans: 1) identify needs and problems; 2) analyze market conditions and resources; 3) set priorities and adopt strategies for addressing identified activities and goals for programs in the coming fiscal year. ASSESSMENT OF FIVE -YEAR GOALS AND OBJECTIVES In Fiscal Year 2005 -2006, The City received $1,320,401 in CDBG funds and $546,809 in HOME funds. The following table outlines the Action Plan objectives and shows how the activities undertaken in FY 2005 -2006 support the objectives of the community: First Program Year CAPER r', Version 1.2 • 4t w oL '; 3 > U o QM O N O U❑ O N J O O N U o U o C. m a o O C L Q N LO .0. d C -O a) c O NM m U a)3U O ❑ a)cN N a) O T m a) O O` C m N C V O O U O@ N V (u E N (6 O! O C J w o_ U Z N V F� F U U U N U ( T C t N o'E m 3 o d m O a) L S E aE c a) U O D 'V 0 Ol oc C L aso .- mo Q c ❑ U oc O N L N N CO fa O m N w a3 u _N c'D a) o c L) N C Y O E N C U m a w w p, d C U = 0 L O a)' ❑ a O 01 U O L V) y a) w E N L L O U ❑ O O C Q C�-o� F- cu (7vv�U� 0�mSO.E a) QU) =) .O N LO N o Q Z a la) O Q Z O Z Q (7 CO J L o Q 3 U a) (D ° ° LO o a) ❑ o N 0-1 n M C� a) -(D Q C U < Q } u Z }� O w 2 2 S x 2 x x x w d J � Q LLJ W n Z Y N N 2 N S c c c y O o °- '(D o o d =� c @ v o = w tq a) EmEO a) E % % L C E @ O L :_ L O W n) d O o N D N w O_c_ a a E o. CL wows 0] O Q' a) J J a. > U) U C O U C O U N c 0 7 w a U `m a� r E Of O a` LL s C O N m 7 W a Q U m a) E p 0 a LL W 5 O N D 2 D U O N (D o c a 3` p p C O O 6 m N N U U o Q) E a Z O'p p O C — O N O U O yk N C .U+ C O C T — a co O a C -pa o E`Dm C Co Via) r p U O N E 'O C O U r N' N Q a) d 41 O O T O (a 'p O U 6 N t U �a�Q NU a�0 oaE Nn3 Q �a) a ) U C c o 0 a� J Q n a) =1 J U z Q(D W 3 C N @ t Z N �O E�api u�0 �U)2� p E Q J W N U �o�� roams in (7 O J J 0 2 2 2 2 O W 0 aLU W W Z O W N E E ro c° v E c° U U O Ir W W Vim- Ljj h a E m m Ix > mm mQ 2:=% - w aE E — m m - E> E> o O 0 O x0000 s C O N m 7 W a Q U m a) E p 0 a LL 0 0 f C O N V w w a Q U `m N E OI O LL w > M m OD (D o D U °o m o M v 2 N O N M T O) 'O I� 0 EOm E C yj TN 0 00 O v01 O r � @ N C E� O O. N N O O 1 w C y- 0 0 0 Z U O O a s N U of y N L N o O C N C N N O C N O oU Q) _ @ (0 C O) N L N O) 0 Q �O N C � C 0 N U C L CO a .0 w O d O) C p )yA C w .- N In V) C .O w U Q 0 0 0 C O N N 0 N N (U N N (U 0)� 0 O U 0- 0 O O 0 2 O O Q T C U 0 2 E T N O) C � � J Q 0 O V J C O N Z < N Q (.D Cn W 0 0) tq U C U O 0 0 U m N 0 o)-C- U C N 0 M N V C V 0 M N V N .-0 N -5 0 .0 U a' U) O o0 ) Z O' OC 0 O r O m Z < w Y n N O 0 U O O O O � � O 0 Yj 0 C5 n0V J m CL pw2= S 2 2 mow¢ any 'z vi c� z ul J Q U U = m a� 2 g in W U U 0 U) m F- 0 Cn Cn N i- O U w m L O T ° N O S co ar in i = aLL 0 f C O N V w w a Q U `m N E OI O LL 0 0 CL d U C N .y N Q d f0 t 0 rz a d a 3 LL W I O 0 N O O N } LL N 0 O a` U C m N Q N O) f6 O) 0 O N N Y .j Y U Q I M M H 0 u All s s w a U M E M rn 0 LL 0 LEVERAGING RESOURCES U Other Public and Private Resources to address needs identified in the plan for FY 2005- 2006 (figures are rounded) are: Program, - CDBG "Other Sources T-- Z P TALS Res. Rehabilitation 174,459 12,950 187,409 Rebates, grants, loans Family Counseling 36,876 2,215 39,091 TOTAL 211,335 15,165 226,500 MANAGING THE PROCESS The City of Rosemead has organized Community Development to be responsible for the planning, development and implementation of its Community Development Block Grant (CDBG) and HOME programs. Community Development, in addition to the above grant administration, administers a Department of Justice Grant and a Redevelopment Agency funded Commercial Rehabilitation program. Collectively, these funds provide the following programs: • Residential Rehabilitation Program • Commercial Rehabilitation and Economic Development Loan Program • HOME Development Program • Public Service Agency Program • Mortgage Assistance Program • CDBG Capital Improvement Program Funds are also used for specific community development projects including Code Enforcement, ADA improvements, lead testing and remediation, assistance to the homeless and to battered women. First Program Year CAPER 6 Version 1.2 CITIZEN PARTICIPATION The City published its Notice regarding CAPER on September 15, 2006. Previous public comments regarding the program were included in the City's 2005 -2006 Annual Action Plan. INSTITUTIONAL STRUCTURE OVERCOMING GAPS IN INSTITUTIONAL STRUCTURES In order to eliminate gaps in institutional structures and to enhance coordination, the City remains actively involved with outside agencies and regional governmental entities, especially in the area of economic development. In FY 2005 -2006, the City was an active member of the following intergovernmental organizations: San Gabriel Valley Commerce and Cities Consortium; San Gabriel Council of Governments; the Southern California Association of Governments; California League of Cities; Contract Cities. In the area of economic development, the City works with and /or is a participating entity with the following: 1) the Regional Business Assistance Network, 2) the Chamber of Commerce, 3) the San Gabriel Valley Community Development Corporation. In the area of homelessness, the City participates with the Los Angeles Homeless Services Authority (LAHSA) for SPA 3 and with the East San Gabriel Homeless Coalition, as part of the regional Continuum of Care. MONITORING The City of Rosemead ensures compliance with programming and planning requirements in a number of ways, including performance monitoring, financial monitoring, Davis -Bacon compliance and Environmental Review Compliance. For subrecipients, the City has a subrecipient agreement that is used to measure agency compliance. Monitoring includes on -site visits, interviews, telephone contacts and reports. The City of Rosemead conducted on -site visits and follow -up with each of its public service agencies in FY 2005 -2006. The City of Rosemead received a HUD Best Practice award in 1998 for its monitoring program for subrecipients (PSA's). The City operates in accordance with the monitoring plan developed for CDBG and HOME programs, including an annual single audit in conformance with OMB Circular A -133. There were no findings pertaining to the CDBG and HOME program in the audit for FY 2004 -2005. The audit for FY 2005 -2006 is currently in progress. First Program Year CAPER 7 Version 1.2 0 0 In addition, the City's CDBG and HOME programs were monitored by the U.S. Department of Housing and Urban Development (HUD) in August 2004. The monitoring included CDBG eligibility, compliance with National Objectives, Program progress, Cost allowability, Subrecipients and contracts, overall management systems, HOME program review, Citizen Participation, environmental assessment, Lead Based Paint abatement. There were no findings. All project costs are paid on a reimbursement basis, rather than paid in advance. A request for reimbursement must have appropriate documentation attached to verify all expenditures. A current report of program activities for PSA's also accompanies each draw down request. These materials provide the data necessary to input data into the IDIS system. Collecting this data during the program year is helpful in reviewing performance goals on an on -going basis and in compiling year -end reports. All applicable CDBG and HOME program projects are monitored regarding their conformance with Davis -Bacon requirements. In addition, the City checks with the state board to ensure all contractors selected are licensed. The debarred list from HUD's home page is also used. Performance is tracked and reported as stated above. Any discrepancies are addressed with the appropriate entities. Records on performance are kept in the project file. Each budgeted project is first reviewed for compliance with the National Environmental Protection Agency regulations (NEPA). California Environmental Quality Act (CEQA) regulations may also apply. Projects that are community service in nature are exempt from NEPA. In FY 2005 -2006, the City completed environmental reviews for its infrastructure projects, as well as for ongoing programs such as code enforcement, residential rehabilitation. and others. LEAD BASED PAINT EVALUATE AND REDUCE LEAD BASED PAINT HAZARDS The City is currently operating an education program with clients served under CDBG rehabilitation programs. The program includes informing clients of the dangers of lead - based paint and of the possibility that their home may contain lead -based paint. In FY 1997 -1998, the City began using new pamphlets in a variety of languages in order to reach broader representation. All contractors in all programs are prohibited from using lead -based paint in their work. Staff received HUD training in the September2000 lead rule and also in safe work practices. The City implemented its lead testing and Lead remediation programs in FY 2001 -2002. 18 homes were tested for lead -based paint in FY 2005 -2006. Of that number, 12 had lead paint that required remediation. The City has First Program Year CAPER 8 Version 1.2 remediated a total of 39 homes since 2001 -2002. IiOUSINGs r 777 ; , _: z•, AFFIRMATIVELY FURTHERING FAIR HOUSING As a recipient of Community Development Block Grant (CDBG) funds, the City of Rosemead is required to develop a fair housing program with specific actions and procedures which will have an impact on preventing, reducing or eliminating housing discrimination and other barriers to equal housing choice based on race, color, religion, sex, national origin, ancestry, familial status or physical or mental handicap. As part of this requirement, the City undertook a study to analyze impediments to fair housing which exist in the City of Rosemead. Impediments are defined as: • Any actions, omissions, or decisions taken because of race, color, religion, sex, disability, familial status or national origin which restrict housing choices or the availability of housing choices; or ■ Any actions, omissions, or decisions which have the effect of restricting housing choices or the availability of housing choices on the basis of race, color, religion, sex, disability, familial status or national origin. Based on the conclusions of the impediment study, if the CDBG grantee takes lawful steps to eliminate identified impediments to fair housing choice within its jurisdiction, the grantee will be determined to have taken affirmative actions to further fair housing. The results of the City's Analysis of Impediments (AI) showed the following: • The City has racially and ethnically segregated housing patterns; • Low income whites have broader geographic distribution than do low income minorities; • An audit of ten (10) apartment complexes and four (4) sales demonstrated that minorities and children when seeking housing in Rosemead may face differential treatment 40% of the time; • There is a need for more affordable housing in Rosemead. There were no reported issues for individuals /families with disabilities. As a result of the AI, the City adopted the following actions to carry out recommendations First Program Year CAPER 9 Version 1.2 0 0 of the report: • Encourage the development of housing through the Rosemead Housing Development Corporation; • Revise the Housing Element to contain policies and programs specific to fair housing goals and objectives; ■ Asa prerequisite for any recipient receiving locally administered housing assistance funds, recipients will acknowledge their understanding of fair housing law and affirm their commitment to the law; • Require evidence from builders that the Open Housing Policy is being observed by periodically reviewing affirmative marketing goals and implementation; • Continue and expand fair housing outreach through periodic seminars and workshops; • Continue the regular fair housing audits of the City so that the City has a good understanding of the extent of housing discrimination and can measure the success of existing fair housing efforts and develop new strategies where necessary; • Assist state and federal fair housing enforcement agencies by investigating and testing fair housing complaints. In FY 2005 -2006, the City implemented the following actions to support these activities: First Program Year CAPER 10 Version 1.2 0 0 FAIR HOUSING RECOMMENDED ACTIONS AND ACTIVITIES UNDERTAKEN Recommended Actions Activity Encourage housing development City and RCC along with RHDC completed 72 units of senior rental housing. Project fully occupied in 2004 -2005. Staff inspected units in 2005 -2006 for ongoing compliance with HOME requirements. Revise Housing Element Housing Element was updated in November 2000 and includes a section on policies and programs under Fair Housing. Fair housing policies continued in Housing Element update of 2000. Housing Element approved by the State Understanding of Fair Housing Law Contracts for rehabilitation and applicable covenants were revised in January 1997 to enforce understanding of fair housing law. Fair Housing held workshops and distributed literature for outreach in FY 2005 -2006 Fair Housing Audits The Fair Housing Council conducted testing as part of the 2005 Al and follows up on discrimination complaints with audits /testing Federal Fair Housing Enforcement The City contracts with the Housing Rights Center to provide these services. In FY 2005 -2006, there were 6 discrimination inquiries. 15 discrimination cases were opened. 6 were counseled. Analysis of Impediments In FY 2005 -2006, the City contracted with Housing Rights Center to complete its updated Al as part of its 2005 -2010 Consolidated Plan. The Al is complete and results are mentioned above. The City's provider gave landlord /tenant information and provided other fair housing services to 208 persons in FY 2005 -2006, of which 96 were extremely low income. Approximately 111 were Hispanic, 17 were American Indian or Alaskan, 11 were American Indian /Alaskan and Black, 71 were American Indian /Alaskan and White, 47 were Asian, 0 was Asian and White, 18 were Other, 1 was Pacific Islander, 38 were White and 5 were Black/African- American. First Program Year CAPER 11 Version 1.2 E AFFORDABLE HOUSING The following table represents a comparison of accomplishments with proposed goals for providing affordable housing, including the number of extremely low -, low- income and moderate - income households that were assisted during the reporting period. GOALS FOR AFFORDABLE ACCOMPLISHMENTS . TYPES OF HOUSING 2005 -2006 'HOUSEHOLDS SERVED . Construct 72 units of senior housing Construction complete Seniors below 60% of median income Create non -CDBG funded First Time Ongoing program. Non- 80% - 120% of Home Buyer Program. Funded CDBG. Closed escrow median income through Community Development on 0 properties Commission Create HOME - funded Mortgage Program created. 0 -80% of median Assistance Program Closed escrow. on 0 (Low to Moderate) properties Operate Residential Rehabilitation 14 grants, 5 emergency 13 extremely low Program grants and 2 deferred income, 8 at very loan, 2 Rebates low income and 2 at low income Continue support for Section 8 Ongoing contract for 75% at up to 30% housing Section 8 services with of median income LACDC and 25% at up to 50% of median SECTION 215: The City of Rosemead assisted in the creation of 0 home ownership units. No new homeowners in 2005 -2006, due to high housing market prices. "WORST -CASE NEEDS" Worst case housing needs are defined as low- income renter households who pay more than half their income for rent, live in seriously substandard housing (which included homeless people) or have been involuntarily displaced. The City of Rosemead served the worst -case needs in FY 2005 -2006 by providing the following: More than 50% of rent: Contracted with County for Section 8 assistance; People for People (non -CDBG funded) provided assistance with food and clothing for families. Substandard Housing: Contracted with County for Section 8 assistance; provided residential rehabilitation program (see table above). First Program Year CAPER 12 Version 1.2 0 Involuntarily Displaced: There was no City involuntary displacement; contracted with County for Section 8 assistance. It should be noted that many other service providers within the City who do not receive CDBG funds provide assistance to households with high rent burdens, living in substandard conditions (including homeless) or who have been involuntarily displaced. The City of Rosemead offers rehabilitation assistance to owner - occupied single family units. Grants, emergency grants and deferred loans are available to handicapped households. Eligible improvements include retrofit activities. In FY 2005 -2006, the City of Rosemead served 8 handicapped /disabled households through its Residential Rehabilitation Program. PUBLIC HOUSING STRATEGY There is no public housing in the City of Rosemead. This section does not apply. The City contracts with the County of Los Angeles for Section 8 assistance. BARRIERS TO AFFFORDABLE HOUSING ACTIONS TO ELIMINATE BARRIERS TO AFFORDABLE HOUSING There were no major policy changes undertaken in FY 2005 -2006. In 1996, the City undertook the following actions to eliminate barriers to affordable and fair housing: • The City updated the Housing Element to include: 1) flag lot subdivisions, 2) density bonus lots, 3) added a planned development ordinance which permits lot areas and yards less than those allowed in regular residential zones, 4) a "mansionization" ordinance for units over 2,500 sq. ft. of livable space in order to maximize land use, 5) an ordinance allowing for residential mixed use. • The City updated its Housing Element in 2000 to continue these and to look at adding a HOME - funded First Time Home Buyer program for people below 80% of median income. The City's Housing Element was approved by the State of First Program Year CAPER 13 Version 1.2 W • California. The City adopted and implemented a HOME - funded First Time Home Buyer program in 2001 -2002. Since that time, the City has closed 5 HOME - funded loans. The City began a General Plan Amendment in 2003 -2004 and continuing into 2005 -2006 aimed at updating zoning to implement the affordable housing and economic development goals of the Housing Element and Consolidated Plan. In FY 1998 -1999, the Rosemead Community Development Commission implemented a First Time Home Buyer program to be funded through the Agency's 20% Housing Set Aside fund. As of the end of FY 2005 -2006, the Agency had closed 0 escrows. Over the period of the 2000 -2005 Consolidated Plan, the RCDC has closed 7 loans. 11 loans have closed since program inception. HOME /AMERICAN DREAM DOWN PAYMENT INITIATIVE (ADDI) The City does not receive ADDI funds. This section does not apply to the City of Rosemead. HOME NARRATIVE STATEMENT HOME funding was programmed to administrative expense, CHDO set - aside, Mortgage Assistance to new homebuyers and construction of new affordable housing. As noted earlier, market prices and rising interest rates have combined to stall the City's HOME - funded Mortgage Assistance Program, as well as its RDA funded Home Buyer Program. The City, in June 2006 revised the program to increase the amount of trust deed assistance, increase the affordability period, increase the recapture of HOME funds used for downpayment assistance. In FY 2006 -2007, the City will request an increase in the maximum allowable purchase price from HUD. MBENVBE OUTREACH The City has conducted outreach for both minority and women home ownership, as well as to minority business and women -owned business enterprises (MBENVBE). In addition, the City's contractor has a subcontract with a woman -owned business for provision of CDBG and HOME services. The City has also conducted outreach to all Fannie Mae Community lenders and to all Real Estate financing entities in the Rosemead area. The City held a Home Ownership Fair on Saturday, June 17, 2006 and invited local lenders and MBENVBE firms, as well as conducted outreach through the City's non - profit organizations and through the School District. First Program Year CAPER 14 Version 1.2 0 0 HOME MATCH REPORT City has excess match from land acquisition and is a 0 match community. SURPLUS FROM URBAN RENEWAL GRANTS, GRANT FUNDS RETURNED TO LINE OF CREDIT, INCOME FROM FLOAT - FUNDED ACTIVITIES The City does not have Urban Renewal Grants, no funds have been returned to the line of credit and there are currently no float- funded activities. OTHER FORMS OF INVESTMENT The City of Rosemead does not use atypical loans or grant instruments of non - conforming loan guarantees. HOME RECAPTURE PROVISIONS IN MORTGAGE ASSISTANCE PROGRAM HOME regulations at 24 CFR 92.254, Section (B) (ii) require that the participating jurisdiction "recoups all or a portion of the HOME assistance to the home buyers if the housing does not continue to be the principal residence of the family for the duration of the period of affordability." In accordance with this requirement, the City requires the repayment of HOME funds during the 15 year affordability period, along with a declining interest rate penalty and a pro -rata equity share provision. At the end of the mortgage period, only HOME funds invested must be repaid. INSPECTION RESULTS The City has completed two (2) HOME - funded rental projects: Garvey Senior Apartments and Los Girasoles. As part of the City's ongoing monitoring requirements, both projects must supply annual rental verifications and the City conducts an annual habitability inspection. The City's annual rental verification reviews and inspections for both projects were completed October 20, 2005. The following findings were noted: expired batteries in smoke alarms. Correction were made by November 17, 2005. CONTINUUM OF CARE NARRATIVE The City is a member of the Continuum of Care and provided demographic and other materials to the Continuum during the Super NOFA process. The City is also a member of the San Gabriel Valley Homeless Consortium. There were no new Federal resources obtained during the year from the Continuum of Care SuperNOFA by the City. The City of Rosemead is not eligible for Emergency Shelter Grant (ESG) funds. First Program Year CAPER 15 Version 1.2 0 • The City works with public agencies and others to ensure that citizens who come into the City looking for services are referred to those who can assist them. In addition, the City provides funding to People for People who provide services to the homeless and to those at -risk of homelessness, as well as to Wings, which provides services to battered women and children including shelter for those who would otherwise be homeless. Homelessness The following activities were undertaken to address priority needs of homeless individuals and families: • Worked with the Rosemead Community Development Commission and the Housing Development Corporation in the planning process for construction of 72 units of affordable housing. The units were completed in FY 2005 -2006 and were fully occupied as of March 2004. • Worked with the Los Angeles Community Development Commission and the East L.A. Community Corporation in the development of 14 units of affordable family rental housing. • Continued to work with the Los Angeles Community Development Commission (LACDC) to provide needed affordable housing in the area of Section 8 Vouchers. • Updated its resource listing in order to improve its working relationship with agencies and to continue to identify partners in the Continuum of Care. • Participated in the Continuum of Care's service update during the SuperNOFA process. • Participated with the San Gabriel Valley Homeless Consortium. • Provided funding to People for People, a non - profit provider located in San Gabriel, who provides assistance to the homeless and to those at -risk of homelessness in the City of Rosemead. • Provided funding to Wings, a non - profit provider who provides assistance to homeless battered women and children in the City of Rosemead. Unsheltered Homeless Count In April 2005, City staff conducted an unsheltered homeless count. This count was an update of the City's 2004 unsheltered homeless count. Surveys consisted of visual inspection of sites and interviews with persons encountered at sites. The count was conducted by the Grants Coordinator with assistance from the Sheriffs Department. Sites were identified by a coalition that included Community Development, Code Enforcement and the Sheriffs Department. First Program Year CAPER 16 Version 1.2 0 o Twenty (20) sites were identified. Of the sites surveyed, seven (7) persons were encountered and interviewed. Of these people, all seven (7) claimed to be homeless and unsheltered. Tenure of homelessness ranged from one (1) week to 10 years. There were no homeless families with children. All were offered services and /or shelter and printed information was given to interviewees. To assist the homeless and those at risk of homelessness, the City has the following resources: Assistance, General People for People. A non - profit social service that provides food and clothing to individuals and families in need, including homeless or at risk of homelessness. Call 211. Provides information and referral services to persons, including the homeless. Shelter Hotline: Provides information on locations for cold wet weather shelter. California Youth Crisis Line: Provides information to homeless youth in crisis regarding available services. Assistance, Medical East Valley Community Health Center. Provides free immunizations, medical examinations, HIV testing and low cost health services. Shelters and Emergency Housing YWCA -- Wings. Provides emergency housing for battered women and their children Salvation Army. Provides motel vouchers for emergency housing. First Program Year CAPER 17 Version 1.2 0 9 COMM UNITY'DEVELOPMENT.. ;# y ' COMMUNITY DEVELOPMENT GRANTEE EFFORTS IN CARRYING OUT PLANNED ACTIONS IN 2005 -2006 ACTION PLAN. The City of Rosemead continues to carry out its programs as identified in its HUD - approved Consolidated Plan. To date, the City has pursued all funding sources, including Rosemead Community . Development Commission (RCDC) funds, to complete programming as outlined in the Consolidated Plan and as reflected in its Annual Action Plan. The City has provided all requested certifications for consistency in HUD programs, in a fair and impartial manner for applications from other entities which it stated it would support and the City did not hinder Consolidated Plan implementation through either willful action or through inaction. CDBG SELF EVALUATION The City has worked with community agencies, internal departments, the general public and others as it has developed and refined its "larger picture" through the Consolidated Plan. As the City has become more familiar with this long term planning tool, the City becomes better able to plan strategically for the future. IMPACT ON IDENTIFIED NEEDS The City's programs are making an impact on those areas where it has identified needs in its Consolidated Plan, especially in the areas of youth services, meals for the elderly, infrastructure improvements and rehabilitation. In the area of rehabilitation, the City sees a need for continuing commitment to its aging housing stock and to the new units that will need rehabilitation in the future. In terms of youth services, the City is being proactive in assisting the community, which has identified the need for after - school activities, multi- cultural training and peer conflict resolution as ways to address youth violence, gang activity and "latch -key" children. As these children mature, these services will be needed for the next "generation" of children in order to continue to address these needs for this special population. In terms of senior nutrition services, the City (along with its non -CDBG funded Paratransit Program) can see that it is successfully able to ensure adequate nutrition and mobility for its aging population. Many of these people are living longer, and living independently longer, in part because of these services. The demand for these services may become even greater in the future because the current population will continue to age and use these services, even as a new generation of elderly begins to need services. In infrastructure improvements, the City has seen a gain of ten (10) years in the life of its current streets through its pavement management program, thereby First Program Year CAPER 18 Version 1.2 0 0 maintaining the infrastructure that allows commercial development to thrive and contributing to the appeal of the City to residents. BARRIERS TO FULFILLING STRATEGIES The greatest barriers to fulfilling strategies have been the environmental review process, which imposes greater environmental reporting burdens than the California Environmental Quality Act (CEQA). Inter - governmental cooperation, especially with other federal agencies in the past, was a barrier to fulfilling the City's goal of a neighborhood center and 72 units of affordable senior housing. The City received approval from the Army Corps to have the term of the lease extended for a portion of the site in FY 2002 -2003. This extension had been in progress for 3 years. Another barrier has been the unfamiliarity of other agencies with HUD requirements and Executive Orders, such as Executive Order 12372. STATUS OF GRANT PROGRAMS All grant programs are in progress. New programs that have not yet been implemented either have obtained environmental clearance or are in the planning process. Project timelines were due for completion by end of current Consolidated Plan in FY 2005 -2006 and, as such, only two (2) projects are behind schedule — alley paving and the reconstruction of Virginia Street. While some major goals may be moving slower than anticipated due to construction delays, most programs are on target. The City is timely in its CDBG expenditures. The City, in the past, was not timely in its HOME expenditures, principally because the HOME funds were too restrictive for use in the City's residential rehabilitation program. The City has been timely in its commitments and expenditures over the last three (3) years. The City budgeted a portion of its HOME funds to its new First Time Home Buyer program. This has resulted in better utilization of HOME funds; however, current home prices and rising interest rates have effectively halted program implementation as families are priced out of the market (see Table on page 5). In addition, the HOME maximum ceiling for purchase is below the City's median housing cost. The City anticipates that it will carry out a HUD - approved market study to raise the ceiling in order to be able to assist more households in FY 2006 -2007. The City also partnered with the County of Los Angeles in June 2002 for construction of additional affordable housing within the City's supervisorial district. The funds included HOME entitlement and HOME CHDO funds. In FY 2003, the City partnered with the Montebello Housing Development Corporation for future construction of 6 first time home buyer units in the City of Montebello. That project did not move forward and funds have been deobligated. In FY 2005 -2006, the City created a multi - family rehabilitation area for its Zapopan Target Area. This project moved forward in FY 2005 -2006; however, the City has not had success in this program since high and low HOME rents are substantially lower than what landlords can charge in the private rental market, even for substandard units. First Program Year CAPER 19 Version 1.2 PERFORMANCE OUTCOMES AND MEASUREMENT In the past, the City has used quantifiable goals and objectives as part of its Consolidated Plan process. Beginning with the 2005 -2010 Consolidated Plan cycle, the City has created quantifiable performance outcome measures for its projects. This will help determine the success of projects in creating change within the community over time. See individual project discussions regarding specific performance outcome measures. GRANT DISBURSEMENTS The City has been on IDIS since 1996 and there have been no problems with grant disbursements, although there have been issues with IDIS. The hotline has provided ongoing and invaluable assistance in resolving most of these issues. The City currently is not having problems with IDIS except for those occasioned by the system's existing architecture and when the system is "down" or unavailable. ADJUSTMENTS AND IMPROVEMENTS The City reallocated funds in order to provide full funding to projects ready to move forward and to encourage timely expenditure of funds. Changes to Program Obiectives There were no changes to Program Objectives during the reporting period. Assessment of Efforts to Carry Out Planned Objectives The City already addresses this section in the Assessment Section, pages 1 -5; Affordable Housing, page 12 -15; Community Development/Other Actions, page 18; Leveraging Resources, page 6; Self Evaluation, page 18 -23. This includes funds committed for different categories of housing needs, including total CDBG funds involved in the program and other public and private funds involved in the project. Funds not Used for National Obiectives There were no funds used that did not meet one of the three (3) national objectives for the CDBG program. Anti - Displacement and Relocation There was no displacement of business properties as a result of rehabilitation activities. There was no residential or business displacement as a result of acquisition or demolition of real property. First Program Year CAPER 20 Version 1.2 0 0 Low /Mod Job Activities The City continued outreach as part of its economic development program (adopted in FY 1996- 1997). The City operates commercial rehabilitation programs under both the Rosemead Community Development Commission (RCDC) and the City. The programs are funded by RDA and CDBG respectively. In FY 2005 -2006, the City completed two (2) and had two (2) Redevelopment- funded commercial rehabilitation projects under construction. Low /Mod Limited Clientele Activities The City served limited clientele in the presumed eligible category for its homeless programs, ADA and senior nutrition programs. CDBG public service recipients use a means test for households /persons who are not presumed eligible. Program Income Received There was no income to revolving funds or to float- funded activities; there was no income from sale of real property or prior period adjustments. No loans were written off. There are no CDBG- funded parcels for sale and no lump sum drawdown payments were made. Program income received was posted to the IDIS system and drawn down prior to the draw of new CDBG funds. Prior Period Adjustments There were no disallowed costs or prior period adjustments. Lump Sum Agreements There were no lump sum agreements or draw downs during the reporting period. Loans The City made two (2) CDBG- funded deferred loans in FY 2005 -2006 for residential rehabilitation. First Program Year CAPER 21 Version 1.2 Cl Housing Rehabilitation • The following residential units (as described elsewhere in this report) were rehabilitated during FY 2005 -2006: Type of Program ' # Units CDBG Public' Private Completed Funds. Funds Rebate 2 12,950 0 12,950 Grant 14 94,454 0 0 Emergency Grant 5 7,875 0 0 Deferred Loan 2 57,180 0 0 TOTAL 23 172,459 0 12,950 Neighborhood Revitalization Strategy Area The City does not have a Revitalization Strategy Area. The City does have two (2) special target areas within its low- moderate block groups. Target area #1 is known as the Zapopan Target Area and Target Area #2 is known as the Jess Gonzalez Target Area. The strategy for the area includes the following: targeted pro- active code enforcement (CDBG), additional policing (non- CDBG), multi - family rehabilitation (HOME), single - family rehabilitation (CDBG), neighborhood clean ups (non- CDBG), commercial rehabilitation and economic development in surrounding corridors (CDBG, Redevelopment). ANTI - POVERTY STRATEGY The City relies on cooperation from a wide range of services and agencies directed at helping people become self - sufficient, such as the LACDC's Family Self- Sufficiency Program. The Community Development Division is a partner through its provision of funds for community development, housing production, low or no cost residential improvements, economic development loan program and public service agency program. These programs providejob opportunities, affordable housing, residential improvements including ADA and weatherization, food for the needy, improved commercial properties, counseling and other public services. In FY 2005 -2006, the City provided the following: First Program Year CAPER 22 Version 1.2 Anti- Poverty Strategy Activity- • Services provided ' •' Family Counseling Continued program. 2 RDA funded projects closed, Commercial Rehabilitation 2 under construction First Time Home Buyer Program (non -CDBG) 0 First Time Home Buyer Program (HOME) 0 Rosemead High School Completed 23 rehabilitation projects for low -to- Residential Rehabilitation moderate income households. YWCA Wins Served 15,813 meals to seniors Senior Nutrition Continue to contract for Section 8 services Section 8 (non -CDBG) Family Self- Sufficiency (non -CDBG) Continue to support Self- Sufficiency through IACDC NON = HOMELESS S' RECIALriNEEDS The City identified the following actions in its Annual Action Plan: ACTIONS TO ADDRESS OBSTACLES TO MEETING UNDERSERVED NEEDS SPECIAL NEEDS. The special needs populations include the frail elderly, youth, the disabled, those in need of counseling. The City supports these populations through its 15% public service cap. In FY 2005 -2006, the following agencies received CDBG monies and assisted the following numbers of persons /households: PUBLIC SERVICE AGENCIES #OF RESIDENTS SERVED Family Counseling 30 Rosemead School District - -Peer Mediation /Conflict Resolution 79 Senior Nutrition 15,813 meals People for People 771 Rosemead High School 12 West San Gabriel Valley YMCA 0 YWCA Wins 14 In addition, the City uses County Proposition "A" funds for its Paratransit program. This program provides transportation opportunities in order to eliminate transportation barriers to seniors and to the disabled. This completes the FY 2005 -2006 Consolidated Annual Performance and Evaluation Report for the City of Rosemead. First Program Year CAPER 23 Version 1.2 0 0 0 0 CITY OF ROSEMEAD,DRAFT 20042005 ANNUAL CAPER REPORT CDBG AND HOME PROGRAMS 3� i z tir Xdro "f .q (ii t xzd vtaa G'EIVERAL n k _. The CPMP Fifth Consolidated Annual Performance and Evaluation Report (CAPER) includes 'narrative responses to CAPER questions that recipients of Community Development Block Grant (CDBG) and HOME Investment Partnerships Act (HOME) Grantees must respond to each year as part of the year end close out of the Consolidated Plan. NARRATIVE STATEMENT The Consolidated Plan CAPER report is a summary of the progress toward meeting the goals and objectives that were outlined in the Consolidated Plan (CP) and its Annual Action Plans. This report addresses the period of July 1, 2004 through June 30, 2005. The Annual Action Plan was submitted to the Department of Housing and Urban Development (HUD) in May 2004. The Consolidated Plan and its Action Plans: 1) identify needs and problems; 2) analyze market conditions and resources; 3) set priorities and adopt strategies for addressing identified activities and goals for programs in the coming fiscal year. ASSESSMENT OF FIVE -YEAR GOALS AND OBJECTIVES The following table outlines the Action Plan objectives and shows how the activities undertaken in FY 2004 -2005 support the objectives of the community: Fifth Program Year CAPER 1 Version 1.2 0 0 LV El w ) \ LL / \2� \ 30 0 C) C14 �(2 / \\ \) / \�@) / \$ / }) ) o = f\ E co ', .0 7 C w /m)2 &Q& })& ( \k:� \�60 ® _ƒ �k [ ) 0 \ - \ 0 k\ \�� } (D0 e\ _c ca - \\ Em \® �-c §k \f { \ CD m |(m2 =@ - -)))2 to = - ,0232 ( ®o S \ \ {4 \\ \ \i�)) {k) \\ {S ®«k &�37) ®,&� ¥ a$) a\ a$$)$±0 <m /5 / {E226/ \@ m ` 4 z r < z z0 \ /§ {< a < , _ / w w 0 \ §2 = _ _ _ 7: �§ ( - - $« k §\ E « 0 \® - ® - - � 2* - ®_ _ «,rk `- \ \\ \ E / \ }\ / \, / ) § CL ] ) } E \ / / /o /]. § 3 LV El w ) \ LL Ll � . 2 \CN LX) co ¥ G to E ) \¢ k \ / ° .a– a) A < z 0 –E a }CD � ���� _ \( co _ a, \\ /,U /; >! :? k \�]�\ ( )a) ®Ea)I -)\ < )§)_ »._ D < <o § §k�2� ` + {p/{# /§§e 20Q. k ( \ \ z ) § 8 * . - � f { { Z, 0 0 §j c 0 §0 LJ B2 2 / 8 \0\_ ZE \: , > ! ` 2c 26 ( k§ \ k/ \\ – /\ CO Egad± E3 2 5E � ) 5 \ LL 0 0 / It ± \ / ( LL \ } \/@� CO LO § 2))`k d * LO LO ® })2\ \ \ } \$ ƒ \R� \} 0 V1 4= o a } ) 2 LL L) o , )af ¥ m ~ )q \ ®L® ( )} _ - \r \` » - _ #{ §) - -- [ f( §# \§■| /&a«f #> :f < 32 »¥2/ 2 - }■3r4 cu U) < \ \ 0-1 J § ` m § aus!2 E� .0k co \m\� /e» \ \ m ow < \O §CO W ) ° °S ( ( §22 = _ M: , _ IL i § §E z 2 � § S g § 4 E ® ® 2k ) !® k) 3 /f \ �_ !, §{ -E / E m .k\ S ¥ E± /ƒ 3 = / It ± \ / ( LL ✓A O CL` m U C w N .y Q m a� m 0 m v C 7 LL W LO O O N V O O N } LL m 0) O CL a> U C m N N N Q a) m m 0 0 2 c N N U Q I a� cu H 11 LJ N C O V1 a w a U m d } E N 0 0 a` r r LL 0 LJ N C O V1 a w a U m d } E N 0 0 a` r r LL 0 LEVERAGING RESOURCES Other Public and Private Resources to address needs identified in the plan for FY 2004- 2005 (figures are rounded) are: Program CDBG Other Sources 'TOTALS San Gabriel Blvd. 265,126.47 1,603,094.50 1,868,221 ADA Res. Rehabilitation 211,003 9,375 220,378 Rebates, grants, loans Family Counseling 38,647.96 1,352 39,999.96 Senior Nutrition 81,380.41 17,172.18 98,552.59 TOTAL 596,157.84 1,630,993.68 2,227,151.55 MANAGING THE PROCESS The City of Rosemead has organized Community Development to be responsible for the planning, development and implementation of its Community Development Block Grant (CDBG) and HOME programs. Community Development, in addition to the above grant administration, administers a Department of Justice Grant and a Redevelopment Agency funded Commercial Rehabilitation program. Collectively, these funds provide the following programs: • Residential Rehabilitation Program • Commercial Rehabilitation and Economic Development Loan Program • HOME Development Program • Public Service Agency Program • Mortgage Assistance Program • CDBG Capital Improvement Program Funds are also used for specific community development projects including Code Enforcement, ADA improvements, lead testing and remediation, assistance to the homeless and to battered women. Fifth Program Year CAPER 6 Version 1.2 0 0 CITIZEN PARTICIPATION The City published its Notice regarding CAPER on September 14, 2005. The City received the following public comment: Previous public comments regarding the program were included in the City's 2004 -2005 Annual Action Plan. INSTITUTIONAL STRUCTURE OVERCOMING GAPS IN INSTITUTIONAL STRUCTURES In order to eliminate gaps in institutional structures and to enhance coordination, the City remains actively involved with outside agencies and regional governmental entities, especially in the area of economic development. In FY 2004 -2005, the City was an active member of the following intergovernmental organizations: San Gabriel Valley Commerce and Cities Consortium; San Gabriel Council of Governments; the Southern California Association of Governments; California League of Cities; Contract Cities. In the area of economic development, the City works with and /or is a participating entity with the following: 1) the Regional Business Assistance Network, 2) the Chamber of Commerce, 3) the San Gabriel Valley Community Development Corporation. In the area of homelessness, the City participates with the Los Angeles Homeless Services Authority (LAHSA) for SPA 3 and with the East San Gabriel Homeless Coalition, as part of the regional Continuum of Care. MONITORING The City of Rosemead ensures compliance with programming and planning requirements in a number of ways, including performance monitoring, financial monitoring, Davis -Bacon compliance and Environmental Review Compliance. For subrecipients, the City has a subrecipient agreement that is used to measure agency compliance. Monitoring includes on -site visits, interviews, telephone contacts and reports. The City of Rosemead conducted on -site visits and follow -up with each of its public service agencies in FY 2004 -2005. The City of Rosemead received a HUD Best Practice award in 1998 for its monitoring program for subrecipients (PSA's). The City operates in accordance with the monitoring plan developed for CDBG and HOME programs, including an annual single audit in conformance with OMB Circular A -133. There were no findings pertaining to the CDBG and HOME program in the audit for FY Fifth Program Year CAPER 7 Version 1.2 0 0 2002 -2003. The audit for FY 2004 -2005 is currently in progress. In addition, the City's CDBG and HOME programs were monitored by the U.S. Department of Housing and Urban Development (HUD) in August 2004. The monitoring included CDBG eligibility, compliance with National Objectives, Program progress, Cost allowability, Subrecipients and contracts, overall management systems, HOME program review, Citizen Participation, environmental assessment, Lead Based Paint abatement. There were no findings. All project costs are paid on a reimbursement basis, rather than paid in advance. A request for reimbursement must have appropriate documentation attached to verify all expenditures. A current report of program activities for PSA's also accompanies each draw down request. These materials provide the data necessary to input data into the IDIS system. Collecting this data during the program year is helpful in reviewing performance goals on an on -going basis and in compiling year -end reports. All applicable CDBG and HOME program projects are monitored regarding their conformance with Davis -Bacon requirements. In addition, the City checks with the state board to ensure all contractors selected are licensed. The debarred list from HUD's home page is also used. Performance is tracked and reported as stated above. Any discrepancies are addressed with the appropriate entities. Records on performance are kept in the project file. Each budgeted project is first reviewed for compliance with the National Environmental Protection Agency regulations (NEPA). California Environmental Quality Act (CEQA) regulations may also apply. Projects that are community service in nature are exempt from NEPA. In FY 2004 -2005, the City completed environmental reviews for its infrastructure projects, as well as for ongoing programs such as code enforcement, residential rehabilitation. and others. LEAD BASED PAINT EVALUATE AND REDUCE LEAD BASED PAINT HAZARDS The City is currently operating an education program with clients served under CDBG rehabilitation programs. The program includes informing clients of the dangers of lead - based paint and of the possibility that their home may contain lead -based paint. In FY 1997 -1998, the City began using new pamphlets in a variety of languages in order to reach broader representation. All contractors in all programs are prohibited from using lead -based paint in their work. Staff received HUD training in the September2000 lead rule and also in safe work practices. The City implemented its lead testing and Lead Fifth Program Year CAPER 8 Version 1.2 0 0 remediation programs in FY 2001 -2002. 18 homes were tested for lead -based paint in FY 2004 -2005. Of that number, 12 had lead paint that required remediation. The City has remediated a total of 27 homes since 2001 - 2002. ERA AFFIRMATIVELY FURTHERING FAIR HOUSING As a recipient of Community Development Block Grant (CDBG) funds, the City of Rosemead is required to develop a fair housing program with specific actions and procedures which will have an impact on preventing, reducing or eliminating housing. discrimination and other barriers to equal housing choice based on race, color, religion, sex, national origin, ancestry, familial status or physical or mental handicap. As part of this requirement, the City undertook a study to analyze impediments to fair housing which exist in the City of Rosemead. Impediments are defined as: ■ Any actions, omissions, or decisions taken because of race, color, religion, sex, disability, familial status or national origin which restrict housing choices or the availability of housing choices; or • Any actions, omissions, or decisions which have the effect of restricting housing choices or the availability of housing choices on the basis of race, color, religion, sex, disability, familial status or national origin. Based on the conclusions of the impediment study, if the CDBG grantee takes lawful steps to eliminate identified impediments to fair housing choice within its jurisdiction, the grantee will be determined to have taken affirmative actions to further fair housing. The results of the City's Analysis of Impediments (AI) showed the following: • The City has racially and ethnically segregated housing patterns; • Low income whites have broader geographic distribution than do low income minorities; • An audit of ten (10) apartment complexes and four (4) sales demonstrated that minorities and children when seeking housing in Rosemead may face differential treatment 40% of the time; • There is a need for more affordable housing in Rosemead. There were no reported issues for individuals /families with disabilities. Fifth Program Year CAPER 9 Version 1.2 9 0 As a result of the Al, the City adopted the following actions to carry out recommendations of the report: • Encourage the development of housing through the Rosemead Housing Development Corporation; • Revise the Housing Element to contain policies and programs specific to fair housing goals and objectives; ■ Asa prerequisite for any recipient receiving locally administered housing assistance funds, recipients will acknowledge their understanding of fair housing law and affirm their commitment to the law; • Require evidence from builders that the Open Housing Policy is being observed by periodically reviewing affirmative marketing goals and implementation; • Continue and expand fair housing outreach through periodic seminars and workshops; • Continue the regular fair housing audits of the City so that the City has a good understanding of the extent of housing discrimination and can measure the success of existing fair housing efforts and develop new strategies where necessary; ■ Assist state and federal fair housing enforcement agencies by investigating and testing fair housing complaints. In FY 2004 -2005, the City implemented the following actions to support these activities: Fifth Program Year CAPER 10 Version 1.2 0 0 FAIR HOUSING RECOMMENDED ACTIONS AND ACTIVITIES UNDERTAKEN Recommended Actions Activity Encourage housing development City and RCC along with RHDC completed 71 units of senior rental housing Revise Housing Element Housing Element was updated in November 2000 and includes a section on policies and programs under Fair Housing. Fair housing policies continued in Housing Element update of 2000. Housing Element approved by the State Understanding of Fair Housing Law Contracts for rehabilitation and applicable covenants were revised in January 1997 to enforce understanding of fair housing law. Fair Housing held neighborhood visits and distributed literature for outreach Fair Housing Audits The Fair Housing Council conducted testing as part of the 2000 Al and follows up on discrimination complaints with audits /testing Federal Fair Housing Enforcement The City contracts with the Housing Rights Center to provide these services. In FY 2004 -2005, there were 14 discrimination inquiries. 7 discrimination cases were opened. 5 were counseled and 2 were referred to DFEH. Analysis of Impediments In FY 2004 -2005, the City contracted with Housing Rights Center to complete its updated Al as part of its 2005 -2010 Consolidated Plan. That Al is in progress. The City's provider gave landlord /tenant information and provided other fair housing services to 194 persons in FY 2004 -2005, of which 83 were extremely low income. Approximately 133 were Hispanic, 8 were American Indian or Alaskan, 10 were American Indian /Alaskan and Black, 96 were American Indian /Alaskan and White, 27 were Asian, 1 was Asian and White, 32 were Other, 2 were Pacific Islander, 18 were White. Fifth Program Year CAPER 11 Version 1.2 0 AFFORDABLE HOUSING 0 The following table represents a comparison of accomplishments with proposed goals for providing affordable housing, including the number of extremely low -, low- income and moderate - income households that were assisted during the reporting period. GOALS FOR AFFORDABLE ACCOMPLISHMENTS TYPES OF. HOUSING :. 2004 -2005 HOUSEHOLDS SERVED Construct 72 units of senior housing Construction complete Seniors below 60% of median income Create non -CDBG funded First Time Ongoing program. Non- 80% - 120% of Home Buyer Program. Funded CDBG. Closed escrow median income through Community Development on 0 properties Commission Create HOME - funded Mortgage Program created. 0 -80% of median Assistance Program Closed escrow on 0 (Low to Moderate) properties Operate Residential Rehabilitation 13 grants, 10 15 extremely low Program emergency grants and income, 7 very low 3 deferred loan, 2 income and 6 at Rebates low income Continue support for Section 8 Ongoing contract for 75% at up to 30% housing Section 8 services with of median income LACDC and 25% at up to 50% of median SECTION 215: The City of Rosemead assisted in the creation of 0 home ownership units. No new homeowners in 04 -05, due to high housing market. "WORST -CASE NEEDS" Worst case housing needs are defined as low- income renter households who pay more than half their income for rent, live in seriously substandard housing (which included homeless people) or have been involuntarily displaced. The City of Rosemead served the worst -case needs in FY 2004 -2005 by providing the following: More than 50% of rent: Contracted with County for Section 8 assistance; People for People (non -CDBG funded) provided assistance with food and clothing for families. Substandard Housing: Contracted with County for Section 8 assistance; provided residential rehabilitation program (see table above). Fifth Program Year CAPER 12 Version 1.2 0 0 Involuntarily Displaced: There was no City involuntary displacement; contracted with County for Section 8 assistance. It should be noted that many other service providers within the City who do not receive CDBG funds provide assistance to households with high rent burdens, living in substandard conditions (including homeless) or who have been involuntarily displaced. The City of Rosemead offers rehabilitation assistance to owner - occupied single family units. Grants, emergency grants and deferred loans are available to handicapped households. Eligible improvements include retrofit activities. In FY 2004 -2005, the City of Rosemead served 6 handicapped /disabled households through its Residential Rehabilitation Program. PUBLIC HOUSING STRATEGY There is no public housing in the City of Rosemead. This section does not apply. The City contracts with the County of Los Angeles for Section 8 assistance. BARRIERS TO AFFFORDABLE HOUSING ACTIONS TO ELIMINATE BARRIERS TO AFFORDABLE HOUSING There were no major policy changes undertaken in FY 2004 -2005. The City, along with the Community Development Commission and the Rosemead Housing Development Corporation completed its development of 71 units of affordable housing. In 1996, the City undertook the following actions to eliminate barriers to affordable and fair housing: The City updated the Housing Element to include: 1) flag lot subdivisions, 2) density bonus lots, 3) added a planned development ordinance which permits lot areas and yards less than those allowed in regular residential zones, 4) a "mansionization" ordinance for units over 2,500 sq. ft. of livable space in order to maximize land use, 5) an ordinance allowing for residential mixed use. Fifth Program Year CAPER 13 Version 1.2 0 0 The City updated its Housing Element in 2000 to continue these and to look at adding a HOME - funded First Time Home Buyer program for people below 80% of median income. The City's Housing Element was approved by the State of California. The City adopted and implemented a HOME - funded First Time Home Buyer program in 2001 -2002. Since that time, the City has closed X HOME - funded loans. The City began a General Plan Amendment in 2003 -2004 and continuing into 2004 -2005 aimed at updating zoning to implement the affordable housing and economic development goals of the Housing Element and Consolidated Plan. In FY 1998 -1999, the Rosemead Community Development Commission implemented a First Time Home Buyer program to be funded through the Agency's 20% Housing Set Aside fund. As of the end of FY 2004 -2005, the Agency had closed 0 escrows. Over the period of the 2000 -2005 Consolidated Plan, the RCDC has closed 7 loans. 11 loans have closed since program inception. HOME /AMERICAN DREAM DOWN PAYMENT INITIATIVE (ADDI) The City does not receive ADDI funds. This section does not apply to the City of Rosemead. HOME NARRATIVE STATEMENT HOME funding was programmed to administrative expense, CHDO set - aside, Mortgage Assistance to new homebuyers, construction of new affordable housing. The City closed 2 loans under its Mortgage Assistance program for $80,000. As noted earlier, market prices and rising interest rates have combined to stall the City's HOME - funded Mortgage Assistance Program, as well as its RDA funded Home Buyer Program. MBE/WBE OUTREACH The City has conducted outreach for both minority and women home ownership, as well as to minority business and women -owned business enterprises (MBE/WBE). In addition, the City's contractor has a subcontract with a woman -owned business for provision of CDBG and HOME services. The City has also conducted outreach to all Fannie Mae Community lenders, as well as to all Real Estate financing entities, in the Rosemead area. The City held a Home Ownership Fair on Saturday, June 11, 2005 and invited local lenders and MBE/WBE firms, as well as conducted outreach through the City's non - profit organizations and through the School District. Fifth Program Year CAPER 14 Version 1.2 0 0 HOME MATCH REPORT City has excess match from land acquisition and is a 0 match community. INSPECTION RESULTS The City has completed two (2) HOME - funded rental projects: Garvey Senior Apartments and Los Girasoles. As part of the City's ongoing monitoring requirements, both projects must supply annual rental verifications and the City conducts an annual habitability inspection. HOMELESS x CONTINUUM OF CARE NARRATIVE The City is a member of the Continuum of Care and provided demographic and other materials to the Continuum during the Super NOFA process. The City is also a member of the San Gabriel Valley Homeless Consortium. There were no new Federal resources obtained during the year from the Continuum of Care Super NOFA by the City. The City of Rosemead is not eligible for Emergency Shelter Grant (ESG) funds. The City works with public agencies and others to ensure that citizens who come into the City looking for services are referred to those who can assist them. In addition, the City provides funding to People for People who provide services to the homeless and to those at -risk of homelessness, as well as to Wings, which provides services to battered women and children including shelter for those who would otherwise be homeless. Homelessness The following activities were undertaken to address priority needs of homeless individuals and families: • Worked with the Rosemead Community Development Commission and the Housing Development Corporation in the planning process for construction of 71 units of affordable housing. The units were completed in FY 2004 -2005 and were fully occupied as of March 2004. Worked with the Los Angeles Community Development Commission and the East L.A. Community Corporation in the development of 14 units of affordable family rental housing. ■ Continued to work with the Los Angeles Community Development Commission (LACDC) to provide needed affordable housing in the area of Section 8 Vouchers. Fifth Program Year CAPER 15 Version 1.2 0 9 • Updated its resource listing in order to improve its working relationship with agencies and to continue to identify partners in the Continuum of Care. • Participated in the Continuum of Care's service update during the Super NOFA process. • Participated with the San Gabriel Valley Homeless Consortium. • Provided funding to People for People, a non - profit provider located in San Gabriel, who provides assistance to the homeless and to those at -risk of homelessness in the City of Rosemead. • Provided funding to Wings, a non - profit provider who provides assistance to homeless battered women and children in the City of Rosemead. Unsheltered Homeless Count In April 2005, City staff conducted an unsheltered homeless count. This count was an update of the City's 2004 unsheltered homeless count. Surveys consisted of visual inspection of sites and interviews with persons encountered at sites. The count was conducted by the Grants Coordinator with assistance from the Sheriffs Department. Sites were identified by a coalition that included Community Development, Code Enforcement and the Sheriffs Department. Twenty (20) sites were identified. Of the sites surveyed, seven (7) persons were encountered and interviewed. Of these people, all seven (7) claimed to be homeless and unsheltered. Tenure of homelessness ranged from one (1) week to 10 years. There were no homeless families with children. All were offered services and /or shelter and printed information was given to interviewees. To assist the homeless and those at risk of homelessness, the City has the following resources: Assistance, General People for People. A non - profit social service that provides food and clothing to individuals and families in need, including homeless or at risk of homelessness. Infol-ine. Provides information and referral services to persons, including the homeless. Shelter Hotline: Provides information on locations for cold wet weather shelter. Fifth Program Year CAPER 16 Version 1.2 0 0 Homeless Outreach Programs. Provides information and referral services to homeless populations. California Youth Crisis Line: Provides information to homeless youth in crisis regarding available services. LOVE, Inc. A Clearinghouse of churches and church volunteers who 'provide transportation, food, shelter and referral services. Assistance, Medical East Valley Community Health Center. Provides free immunizations, medical examinations, HIV testing and low cost health services. Shelters and Emergency Housing YWCA -- Wings. Provides emergency housing for battered women and their children Salvation Army. Provides motel vouchers for emergency housing. COMMUNITY DEVELOPMENT GRANTEE EFFORTS IN CARRYING OUT PLANNED ACTIONS IN 2004 -2005 ACTION PLAN. The City of Rosemead continues to carry out its programs as identified in its HUD - approved Consolidated Plan. To date, the City has pursued all funding sources, including Community Development Commission (RCDC) funds, to complete programming as outlined in the Consolidated Plan and as reflected in its Annual Action Plan. The City has provided all requested certifications for consistency in HUD programs, in a fair and impartial manner for applications from other entities which it stated it would support and the City did not hinder Consolidated Plan implementation through either willful action or through inaction. Fifth Program Year CAPER 17 Version 1.2 0 0 CDBG SELF EVALUATION The City has worked with community agencies, internal departments, the general public and others as it has developed and refined its "larger picture" through the Consolidated Plan. As the City has become more familiar with this long term planning tool, the City becomes better able to plan strategically for the future. IMPACT ON IDENTIFIED NEEDS The City's programs are making an impact on those areas where it has identified needs in its Consolidated Plan, especially in the areas of youth services, meals for the elderly, infrastructure improvements and rehabilitation. In the area of rehabilitation, the City sees a need for continuing commitment to its aging housing stock and to the new units that will need rehabilitation in the future. In terms of youth services, the City is being proactive in assisting the community, which has identified the need for after - school activities, multi- cultural training and peer conflict resolution as ways to address youth violence, gang activity and "latch -key" children. As these children mature, these services will be needed for the next "generation" of children in order to continue to address these needs for this special population. In terms of senior nutrition services, the City (along with its non -CDBG funded Paratransit Program) can see that it is successfully able to ensure adequate nutrition and mobility for its aging population. Many of these people are living longer, and living independently longer, in part because of these services. The demand for these services may become even greater in the future because the current population will continue to age and use these services, even as a new generation of elderly begins to need services. In. infrastructure improvements, the City has seen again often (10) years in the life of its current streets through its pavement management program, thereby maintaining the infrastructure that allows commercial development to thrive and contributing to the appeal of the City to residents. BARRIERS TO FULFILLING STRATEGIES The greatest barriers to fulfilling strategies have been the environmental review process, which imposes greater environmental reporting burdens than the California Environmental Quality Act (CEQA). Inter - governmental cooperation, especially with other federal agencies in the past was a barrier to fulfilling the City's goal of a neighborhood center and 71 units of affordable senior housing. The City received approval from the Army Corps to have the term of the lease extended for a portion of the site in FY 2002 -2003. This extension had been in progress for 3 years. Another barrier has been the unfamiliarity of other agencies with HUD requirements and Executive Orders, such as Executive Order 12372. STATUS OF GRANT PROGRAMS All grant programs are in progress. New programs that have not yet been implemented Fifth Program Year CAPER 18 Version 1.2 • o either have obtained environmental clearance or are in the planning process. Project timelines are due for completion by end of current Consolidated Plan in FY 2004 -2005 and, as such, no programs are currently behind schedule. While some major goals may be moving slower than anticipated due to construction delays, most programs are on target. The City is timely in its CDBG expenditures. The City, in the past, was not timely in its HOME expenditures, principally because the HOME funds were too restrictive for use in the City's residential rehabilitation program. The City has been timely in its commitments and expenditures over the last three (3) years. The City budgeted a portion of its HOME funds to its new First Time Home Buyer program. This has resulted in better utilization of HOME funds; however, current home prices and rising interest rates have effectively halted program implementation as families are priced out of the market (see Table on page 5). In addition, the HOME maximum ceiling for purchase is below the City's median housing cost. The City anticipates that it will carry out a HUD - approved market study to raise the ceiling in order to be able to assist more households. The City also partnered with the County of Los Angeles in June 2002 for construction of additional affordable housing within the City's supervisorial district. The funds included HOME entitlement and HOME CHDO funds. In FY 2003, the City partnered with the Montebello Housing Development Corporation for future construction of 6 first time home buyer units in the City of Montebello. That project did not move forward and funds will be reallocated to other projects. In FY 2004 -2005, the City created a multi - family rehabilitation area for its Zapopan Target Area. This project will move forward in FY 2005 -2006. PERFORMANCE OUTCOMES AND MEASUREMENT In the past, the City has used quantifiable goals and objectives as part of its Consolidated Plan process. Beginning with the 2005 -2010 Consolidated Plan cycle, the City is in the process of creating quantifiable performance outcome measures for its projects. This will help determine the success of projects in creating change within the community over time. Performance outcomes will be included in the new Consolidated Plan, in accordance with federal requirements. GRANT DISBURSEMENTS The City has been on IDIS since 1996 and there have been no problems with grant disbursements, although there have been issues with IDIS. The hotline has provided ongoing and invaluable assistance in resolving most of these issues. The City currently is not having problems with IDIS except for those occasioned by the system's existing architecture and when the system is "down" or unavailable. ADJUSTMENTS AND IMPROVEMENTS The City reallocated funds in order to provide full funding to projects ready to move forward and to encourage timely expenditure of funds. Fifth Program Year CAPER 19 Version 1.2 0 0 Changes to Program Obiectives There were no changes to Program Objectives during the reporting period. Assessment of Efforts to Carry Out Planned Objectives The City already addresses this section in the Assessment Section, pages 1 -6; Affordable Housing, page 12 -15; Other Actions, page 17; Leveraging Resources, page 6; Self Evaluation, page 18 -22. This includes funds committed for different categories of housing needs, including total CDBG funds involved in the program and other public and private funds involved in the project. Funds not Used for National Objectives There were no funds used that did not meet one of the three (3) national objectives for the CDBG program. Anti - Displacement and Relocation There was no displacement of business properties as a result of rehabilitation activities. There was no residential or business displacement as a result of acquisition or demolition of real property. Low /Mod Job Activities The City continued its outreach as part of its economic development program (adopted in FY 1996 - 1997), a presentation to the Rosemead Chamber of Commerce. The City operates commercial rehabilitation programs under both the Rosemead Community Development Commission (RCDC) and the City. The programs are funded by RDA and CDBG respectively. In FY 2004 -2005, the City had two (2) Redevelopment- funded commercial rehabilitation projects under construction, for a total of seven (7) commercial projects during the Consolidated Plan period. Low /Mod Limited Clientele Activities The City served limited clientele in the presumed eligible category for its homeless programs, ADA and senior nutrition programs. CDBG public service recipients use a means test for households /persons who are not presumed eligible. Program Income Received There was no income to revolving funds or to float- funded activities; there was no income from sale of real property or prior period adjustments. No loans were written off. There are Fifth Program Year CAPER 20 Version 1.2 0 0 no CDBG- funded parcels for sale and no lump sum drawdown payments were made. Program income received was posted to the IDIS system and drawn down priorto the draw of new CDBG funds. Prior Period Adjustments There were no disallowed costs or prior period adjustments. Lump Sum Agreements There were no lump sum agreements or draw downs during the reporting period. Housing Rehabilitation The following residential units (as described elsewhere in this report) were rehabilitated during FY 2004 -2005: Type of Program # Unit's CDBG,.. Public Funds Private Funds Completed Rebate 2 9,375 0 9,375 Grant 13 79,775 0 0 Emergency Grant 10 16,853 0 0 Deferred Loan 3 211,003 0 0 TOTAL 28 317,006 0 9,375 Neighborhood Revitalization StrategV Area The City does not have a Revitalization Strategy Area. The City does have a special target area within its low- moderate block groups. This target area is known as the Zapopan Target Area. The strategy for the area includes the following: targeted pro- active code enforcement (CDBG), additional policing (non - CDBG), multi - family rehabilitation (HOME), single - family rehabilitation (CDBG), neighborhood clean ups (non - CDBG), commercial rehabilitation and economic development in surrounding corridors (CDBG, Redevelopment). Since its adoption, the City has completed the following: • Initiated 161 code enforcement cases. Closed 144 code enforcement cases. • Code Enforcement Rehab. Initiated 68 cases. Closed 32 cases. Fifth Program Year CAPER 21 Version 1.2 0 0 • Held 2 Neighborhood Watch meetings • Created and adopted the multi - family rehabilitation program • Provided one economic development loan • Have 2 commercial rehabilitation cases in progress. ANTI - POVERTY STRATEGY The City relies on cooperation from a wide range of services and agencies directed at helping people become self- sufficient, such as the LACDC's Family Self- Sufficiency Program. The Community Development Division is a partnerthrough its provision of funds for community development, housing production, low or no cost residential improvements, economic development loan program and public service agency program. These programs provide job opportunities, affordable housing, residential improvements including ADA and weatherization, food for the needy, improved commercial properties, counseling and other public services. In FY 2004 -2005, the City provided the following: Anti-poverty Strategy Activity Services provided Continued program. two (2) Redevelopment- funded Commercial Rehabilitation commercial rebates in progress. First Time Home Buyer Program (non -CDBG) Continued program. Closed escrow on 0 loans First Time Home Buyer Program (HOME) Closed escrow on 0 properties Completed 28 rehabilitation projects for low -to- Residential Rehabilitation moderate income households. Served 18,405 meals to seniors Senior Nutrition Continue to contract for Section 8 services Section 8 (non -CDBG) Family Self- Sufficiency (non -CDBG) Continue to support Self- Sufficiency through LACDC NON-HOMELESS•SPECIAfi,NEEDS' The City identified the following actions in its Annual Action Plan: ACTIONS TO ADDRESS OBSTACLES TO MEETING UNDERSERVED NEEDS SPECIAL NEEDS. The special needs populations include the frail elderly, youth, the disabled, those in need of counseling. The City supports these populations through its 15% public service cap. In FY 2004 -2005, the following agencies received CDBG monies and assisted the following numbers of persons /households: Fifth Program Year CAPER 22 Version 1.2 0 0 PUBLIC SERVICE AGENCIES # OF RESIDENTS. SERVED Boys & Girls Club 175 Family Counseling 137 Rosemead School District - -Peer Mediation /Conflict Resolution 186 Senior Nutrition 18,405 meals Peo le for Peo le 2,269 Rosemead Sheriffs Youth Team 19 West San Gabriel Valley YMCA 23 YWCA Wins 54 In addition, the City uses County Proposition "A" funds for its Paratransit program. This program provides transportation opportunities in order to eliminate transportation barriers to seniors and to the disabled. Fifth Program Year CAPER 23 Version 1.2 0 0 0 0 CITY OF ROSEMEAD HOME INVESTMENT PARTNERSHIPS PROGRAM PARTICIPATING JURISDICTIONS COMMITMENT AGREEMENT THIS Agreement is made and entered into this 12`h day of July 2005, by and between the City of Rosemead, hereinafter referred to as "City," and the Rosemead Community Development Commission, hereinafter referred to as the "RCDC." WITNESSETH THAT: WHEREAS, City and RCDC desire to cooperate to undertake, or assist in undertaking, the development of housing through the use of HOME Investment Partnership Funds, as authorized by the Housing and Community Development Act of 1992, as amended, hereinafter referred to as 'Act;" and WHEREAS, the terms and provisions of this Agreement are fully authorized under State and local law, and that this Agreement provides full legal authority for the City to assist in undertaking the development of the project through provision of HOME funds within the boundaries of the RCDC; NOW, THEREFORE, the parties agree as follows: 1. The City and the RCDC agree to cooperate to undertake, or assist in undertaking, the development of affordable housing. 2. The City hereby authorizes the RCDC to perform, or cause to be performed, those acts necessary to implement the development of affordable housing by for persons of low income, which will be funded from the City's federal Fiscal Year 2003 HOME Program funds in the amount of $271,999. Said project to be mutually agreeable by the City and RCDC. 3. The City and RCDC in the performance of this Agreement shall take all actions necessary to assure compliance with the provisions of the National Environmental Policy Act of 1969, Title VI of the Civil Rights Act of 1964, Title VII of Civil Rights Act of 1968, Section 3 of the Housing and Urban Development Act of 1968, as amended, The Fair Housing Act, the Act, and all other applicable laws and regulations. Specific HOME requirements are outlined in Exhibit "A" to this Agreement and are incorporated in the Agreement 1 as set forth in the Exhibit. 4. City and RCDC agree that RCDC shall be the lead agency for the development of the project and compliance with HOME requirements regarding environmental review, labor compliance, affordability restrictions. City shall serve as funding and monitoring partner. 5. RCDC shall ensure that the project is marketed in accordance with the City's Affirmative Marketing Plan. 6. This Agreement shall be effective for the period of time required for the development of the property and expenditure of all HOME Program funds obligated for the property identified in paragraph 2, above. In no event shall this Agreement be terminated before June 30, 2008 except as a result of action by the United States Department of Housing and Urban Development. This Agreement may be amended from time to time, where mutually beneficial, for additional funding for the development of affordable housing. In the performance of this Agreement, the RCDC shall cause City to be named as an additional insured under any and all general liability policies obtained by RCDC with respect to the Project. 8. The RCDC must comply with Federal Lobbyist Requirements and ensure that all persons and /or subcontractors acting on behalf of the RCDC will comply with the Lobbyist Requirements. 9. This Agreement supersedes any and all other agreements, either oral or in writing, between the parties hereto and contains all the covenants and agreements between the parties with respect. to the conditions of said services and funding in any manner whatsoever. Each party to this Agreement acknowledges that no representations, inducements, promises or agreements, orally or otherwise, have been made by any party, or anyone acting on behalf of any party, which are not embodied herein, and that no. other agreement or amendment hereto shall be effective unless executed in writing and signed by both City and RCDC. 10, This Agreement shall be governed by and construed in accordance with the laws of the State of California, all applicable federal statutes and regulations as amended, and all applicable local laws. 11. The invalidity in whole or in part of any provision of this agreement shall not void or affect the validity of any other provisions of this Agreement. 3 0 0 IN WITNESS WHEREOF, the governing bodies of the parties hereto have authorized this Agreement to be executed by their respective chief executive officers and attested by the executive officer - clerks thereof as of the day, month and year first above written. CITY OF ROSEMEAD ROSEMEAD COMMUNITY DEVELOPMENT COMMISSION ATTEST: CITY CCEKK- 3 By EXECUTIVE DIRECTOR 0 0 EXHIBIT "A" TO COMMITMENT AGREEMENT Compliance Subrecipient agrees that it undertakes hereby the same obligations to the City that the City has undertaken to HUD pursuant to City's application and certifications. The obligations undertaken by Subrecipient include, but are not limited to, the obligation to comply with all Federal laws and regulations described in Subparts H. and K of 24 CFR Part 92 and specifically with each of the following: The 1990 National Affordable Housing Act and the Housing and Community Development Act of 1987; Final Rule and Technical Amendment to Final Rule of the Department of Housing and Urban Development relating to HOME Investment Partnerships Program (Title 24, Chapter V, Part 92 of the Code of.Federal Regulations commencing with Section 92.1) dated September 16, 1996 and May 28, 1997; and any subsequent applicable HOME regulations issued by HUD; . Regulations of the Department of Housing and Urban Development relating to environmental review procedures for the HOME Program(Title 24, Subtitle A, Part 58 of the Code of Federal Regulations, commencing at Section 58.1), except that Subrecipient does not assume City's environmental responsibilities. Requirements of the Fair Housing Act (42 U.S.C. 3601 -20) and implementing regulations at 24 CFR Part 100; Executive Order 11063, as amended by Executive Order 12259 (Equal Opportunity in Housing) and implementing regulations at 24 CFR Part 107; Title VI of the Civil Rights Act of 1964 (Public Law 88 -352) and implementing regulations issued at 24 CFR Part 1; Prohibitions against discrimination on the basis of age under the Age Discrimination Act of 1975 (42 U.S.C. 6101 -07) and implementing regulations at 24 CFR Part 146, and the prohibitions against discrimination against handicapped individuals under section 504 of the Rehabilitation Act of 1973 (29 U.S.C. 974) and implementing regulations at 24 CFR Part 8; Requirements of Executive Order 11246 (Equal Employment Opportunity) and the implementing regulations issued at 41 CFR chapter 60; Requirements of Section 3 of the Housing and Urban Development Act of 1968 (12 U.S.C. 1701 u), the purpose of which is to ensure that the employment and other economic opportunities generated by Federal financial assistance. for housing and community development programs shall, to the greatest extent feasible, be directed toward low- and very low- income persons, particularly those who are recipients of government assistance for housing; The requirements of Executive Orders 11625 and 12432 (concerning Minority Business Enterprise) and 12138 (concerning Women's Business Enterprise); The Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 and regulations, as amended, implementing regulations at 49 CFR Part 24, and the requirements of 24 CFR 92.353; Administrative regulations, including, but not limited to, applicable sections of Department of Housing and Urban Development regulations located at: The following sections of 24 CFR Part 85 entitled "Uniform Administrative Requirements for Grants and Cooperative Agreements to State, Local, and Federally Recognized Indian Tribal Governments" and referred to as the "Common Rule'; 85.6, 85.12, 85.20, 85.22, 85.26, 85.35, 85.36, 85.44, 85.51, and 85.52; OMB Circular A -87 entitled "Cost Principles Applicable to Grants and Contracts with State and Local Governments'; 24 CFR Part 44.and OMB Circular No. A -133; The following section of OMB Circular A -110 entitled "Grants and Agreements with Institutions of Higher Education, Hospitals, and Other Non- Profit Organizations ": Attachment B; Attachment F; Attachment H, paragraph 2; and Attachment O; OMB Circular A -122 entitled "Cost Principles for Non - Profit Organizations'; The following laws and regulations relating. to preservation of historic places: Public Law 89 -665 the Archaeological and Historical Preservation Act of 1974 (Public Law 93 -291), and Executive Order 11593 including the procedures prescribed by the Advisory Council on Historic Preservation in 36 Code of Federal Regulations, Part 800; The Labor Standards Regulations set forth in Section 92.354 of 24 CFR Part 92; The Architectural Barriers Act of 1968 (42 U.S.C. Section 4151) and the . Americans' with Disabilities Act of 1990 (ADA); The Hatch Act relating to the conduct of political activities (Chapter 15 of Title 5, U.S.C.); 15. The Flood Disaster Protection Act of 1973 (Public Law 93 -234 and the regulations adopted pursuant thereto) 24 CFR Chapter X Subpart B; The Clean Air Act (42 U.S.C. Section 1857 et seq.) and the Federal Water Pollution Control Act, as amended (33 U.S.C. Section 1251 et seq.) and the regulations adopted pursuant thereto (40 CFR Part 15); Section 401(b) of the Lead -Based Paint Poisoning Prevention Act (42 U.S.C. 482 et seq) and 24 CFR part 35; and Provisions of 24 CFR Part 24 regarding use of debarred, suspended, or ineligible contractors or subrecipients. Subrecipient further agrees to comply with environmental, procurement, construction, and other guidelines provided by City, including City HOME Information Memos which may be issued periodically during the term of this contract. Subrecipient further agrees to incorporate City's "Special Federal Provisions" in all construction bid documents and conditions in the City's Affirmative Marketing Plan and Minority & Women's. Businesses Outreach Statement in all contracts. Subrecipient shall obtain any necessary permits and licenses that may be necessary for its performance of this contract. Failure to meet established performance goals and standards and/ or non - compliance with applicable rules and regulations shall constitute non - compliance with the terms of this contract. The City is entitled to use one or more of the following remedies for non- compliance: temporarily withhold cash payments pending correction of deficiencies by Subrecipient; disallow all or part of the cost of the activity or action not in compliance; wholly or partly suspend or terminate the current award for the Subrecipient's program; withhold further awards for the program; and/ or take other remedies.that may be legally available. Availability of Funds/ Modifications Funding of this contract is contingent on the availability of HOME funds and continued Federal authorization for program activities, and is subject to amendment or termination due to lack of funds or authorization. Subcontracts Subrecipients shall incorporate the same or substantially equivalent requirements as are contained in this contract in all subcontracts which utilize any HOME funds. Subrecipient, by entering into any such subcontract for performance of any portion of its HOME program, is not relieved of its responsibilities to City as set forth in this contract. Authority to Bind By entering into this contract, the Subrecipient certifies it is qualified and licensed to conduct business in the State of California. Non - Discrimination/ Grievance Procedures Subrecipient will ensure that every effort is make to provide equal opportunity to every potential minority and women's business vendor, contractor and subcontractor. Standard of Conduct/ Conflict of Interest and Lobbying No member, officer or employee of the Subrecipient or its designee or agents, no member of the governing body of the locality in which the program is situated, and no other public official of such locality or localities who exercises any functions or responsibilities with respect to the program during his /her tenure or for one year thereafter, shall have any interest, direct or indirect, in any contract or subcontract, or the process thereof, for work to be performed in connection with the program activities assisted under this contract. By entering into this contract, the Subrecipient certifies compliance with 24 CFR Part 87: No Federal appropriated funds have been paid or will be.paid, by or on behalf of the Subrecipient , to any person for influencing or attempting to. influence.ah officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with the awarding of any Federal contract, the making of any Federal grant, the making of any Federal loan, the entering into of any cooperative agreement, and the extension, continuation, renewal, amendment, or modification of any Federal contract, grant, loan, or cooperative agreement. If any funds other than Federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a Member of congress, an officer or employee of Congress, or an employee of a Member of congress in connection with this Federal contract, grant, loan, or cooperative agreement, the Subrecipient shall complete and submit Standard Form -LL, "Disclosure Form to Report Lobbying ", in accordance with its instructions, and other Federal disclosure forms as requested. The Subrecipient shall require that the language of this certification be included in the award documents for all sub awards at all tiers (including subcontracts, subgrants, and contracts under grants, loans, and cooperative agreements) and that all subrecipients shall certify and disclose accordingly. (Including subcontracts, sub grants, and contracts under grants, loans, and cooperative agreements) and that all subrecipients shall certify and disclose accordingly. Fiscal Control The Subrecipient shall be responsible for the internal control and monitoring of fiscal and programmatic /operational goals and procedures. The Subrecipient shall establish such fiscal controls and fund accounting procedures as required by Federal regulations, or as may be deemed necessary by HUD and City to assure the proper disbursal of, and accounting for, funds paid to the Subrecipient under the HOME Program. Funds shall be disbursed in accordance with CFR 92.502 (Cash and Management Information System; disbursement of HOME funds). The Subrecipient is responsible for requesting HOME funds from City in accordance with HOME regulations. City agrees to make payments upon certification and submittal of a statement of actual costs incurred (or to be incurred within 30 days of drawn down). Payment by City is not to. be construed as final in the event HUD disallows reimbursement for the project or any portion thereof. Certain reasonable back -up documentation as specified by the City shall be submitted by Subrecipient with request for payment. The Subrecipeint shall be liable for all amounts which are determined to be due by HUD including, but not limited to, disallowed costs which are the result of Subrecipient's or its contractors conduct under this contract. Subrecipient shall be notified in writing and shall be permitted to respond regarding any controversy or proceeding between City and HUD arising from this contract. • • All financial transactions must be supported by complete and verifiable source documents. Records shall provide a clear audit trail. Reversion of Assets Upon expiration of this contract, Subrecipient shall transfer to the City any HOME funds on hand at the time of expiration and any accounts receivable attributable to the use of HOME funds. Contract Responsibility for Monitoring and Records HUD, the City, designated representatives of the City, and other appropriate officials shall have access to all personnel records, management information, and fiscal data of the Subrecipient and any agency or contractor with whom the Subrecipient executes a subcontract necessary to carry out any HOME project for monitoring purposes. The Subrecipient shall respond in a timely manner to all identified corrective action needs as a result of HUD, City, or other monitoring. The Subrecipient shall submit to City all required reports and monitoring corrective action plans on a timely basis, as delineated by the City Records shall be maintained as follows: Subrecipient agrees to .retain all records specified in this agreement; project records specified in Section 92.508 (a)(3); and federal requirements records specified in section 92.508(a)(5); Subrecipeint agrees to retain all pertinent records, including financial records, until advised by the City that further retention is unnecessary. The current HUD requirement is 5 years. Records shall be open and available for inspection by auditors and /or other staff assigned by HUD and /or the City during the normal business hours of the Subrecipient. If there is ongoing litigation or an audit involving the Subrecipient's or the City's records, the Subrecipient will retain the records until the resolution of such litigation or audit and written notice by the City that such records may be disposed of. Requests for Technical Assistance Subrecipient shall refer to City any regulatory or procedural questions regarding operation of its HOME project(s). All formal requests for technical assistance shall be submitted in writing. Requests should specify the problem area, particular assistance being requested, and proposed solution if applicable. Informal questions regarding day - to -day program operation may be directed to the assigned staff person. 0 • HOME PROGRAM Specific Conditions Table of Contents Per -Unit Subsidy Housing Quality Standards Affirmative Marketing Plan Minority and Women's Businesses Outreach Statement Per -Unit Subsidy The amount of HOME funds that may be expended may not exceed the maximum per -unit subsidy limits as set forth in Sections 221 (d) (3) and 221.514 (c) of the National Housing Act. However, in no event may the maximum subsidy exceed the actual development costs of the HOME- assisted units based on their proportionate share of the total development cost. Affirmative Marketing Plan The Subrecipient will abide by and comply with the following conditions of the City's Affirmative Marketing Plana Such conditions shall be included in any contract documents implementing HOME activities. Affirmative Marketing Program Subrecipient shall carry out an affirmative program to attract tenants, regardless of sex, of all minority and majority groups to the housing for rental. An affirmative marketing program shall be in effect for the entire time of HOME operation. Equal Employment Opportunity Subrecipient shall maintain a non - discriminatory hiring policy in recruiting from both minority and majority groups, including both sexes, for staff engaged in the rental of properties. Office Traininq Subrecipient shall instruct all employees and agents in writing and orally in the policy of nondiscrimination and fair housing. EEO Notice (Office) Subrecipient shall prominently display in all offices in which rental activity pertaining to the program takes place the HUD - approved Fair Housing Poster and include in any printed material used in connection with said rentals, the HUD - approved Equal Housing Opportunity logo or slogan or statement. EEO Notice (Property) Subrecipient shall post in a conspicuous position on the property a sign displaying prominently either the HUD - approved Equal Housing Opportunity logo or slogan or statement. Nondiscrimination The City shall periodically review Subrecipient actions to ensure compliance with Equal Housing Opportunity provisions, in conjunction with program monitoring activities. Where Subrecipient fails to live up to an affirmative marketing obligations, appropriate action, available under program regulations and /or applicable laws will betaken to enforce compliance. 0 TO: HONORABLE MAYOR AND MEMBERS ROSEMEAD CITY COUNCIL FROM: BILL MCITY MANAGER DATE: JULY 5, 2005 SUBJECT: APPROVAL OF PARTNERSHIP WITH THE ROSEMEAD COMMUNITY DEVELOPMENT COMMISSION FOR USE OF HOME FUNDS In Fiscal Year 1996, the City of Rosemead became an entitlement jurisdiction for HOME funds. HOME funds are federal funds restricted to the creation of affordable housing: Under this program, the City is entitled to a formula share of HOME funds. The City's annual allocation is a little over $500,000 per year. Of the total amount, 15% must be set aside for Community Development Housing Organizations (CHDO's). Since 1996, the City was successful in using HOME funds in the acquisition and construction of the Garvey senior housing project and in the development of a regional affordable housing development in the unincorporated county area (Los Girasoles development). However, with rising real estate prices, the City has had difficulty in finding eligible projects in which to expend the funds. HOME funds are highly restrictive and must be obligated for expenditure within twenty -four (24) months of receipt, of funds or they are subject to recapture by the federal government. Background and Discussion The City has created the Garvey Senior Housing apartments, the Mortgage Assistance Program (MAP) and the Housing Development Fund using HOME funds. Of the funds set aside by the City for the Housing Development Fund, $271,999 must be committed by July 31, 2005 or they will be recaptured by the U.S. Department of Housing and Urban Development (HUD). The City proposes to partner with the Rosemead Community Development Commission in the development of a,project using HOME funds. Under the HOME regulations, the RCDC will have one year from the time of commitment to develop and move forward.on a project. Development funds could also be committed at a future date to an ongoing project, such as the City and Commission's multi - family rehabilitation. program. f JUL 12' 2005 ITEM No. o o Attached for your review and consideration is the proposed commitment agreement between the City and the Rosemead Community Development Commission. RECOMMENDATION: 1. That the City approve the partnership with the Rosemead Community Development Commission; and 2. Authorize the City Manager or designee to execute all agreements. HOME Partnership, 2 CITY OF ROSEMEAD HOME INVESTMENT PARTNERSHIPS PROGRAM PARTICIPATING JURISDICTIONS COMMITMENT AGREEMENT THIS Agreement is made and entered into this 12`h day of July 2005, by and between the City of Rosemead, hereinafter referred to as "City," and the Rosemead Housing Development Corporation, hereinafter referred to as the "RCDC." WITNESSETH THAT: WHEREAS, City and RCDC desire to cooperate to undertake, or assist in undertaking, the development of housing through the use of HOME Investment Partnership Funds, as authorized by the Housing and Community Development Act of 1992, as amended, hereinafter referred to as "Act;" and WHEREAS, the terms and provisions of this Agreement are fully authorized under State and local law, and that this Agreement provides full legal authority for the-City to assist in undertaking the development of the project through provision of HOME funds within the boundaries of the RCDC; NOW, THEREFORE, the parties agree as follows: 1. The City and the RCDC agree to cooperate to undertake, or assist in undertaking, the development of affordable housing. 2. The City hereby authorizes the RCDC to perform, or cause to be performed, those acts necessary to implement the development of affordable housing by for persons of low income, which will be funded from the City's federal Fiscal Year 2003 HOME Program funds in the amount of $271,999. Said project to be mutually agreeable by the City and RCDC. 3. The City and RCDC in the performance of this Agreement shall take all actions necessary to assure compliance with the provisions of the National Environmental Policy Act of 1969, Title VI of the Civil Rights Act of 1964, Title VII of Civil Rights Act of 1968, Section 3 of the Housing and Urban Development Act of 1968, as amended, The Fair Housing Act, the Act, and all other applicable laws and regulations. Specific HOME requirements are outlined in Exhibit "A" to this Agreement and are incorporated in the Agreement 1 as set forth in the Exhibit. 4. City and RCDC agree that RCDC shall be the lead agency for the development of the project and compliance with HOME requirements regarding environmental review, labor compliance, affordability restrictions. City shall serve as funding and monitoring partner. 5. RCDC shall ensure that the project is' marketed in accordance with the City's Affirmative Marketing Plan. . 6. This Agreement shall be effective for the period of time required for the development of the property and expenditure of all HOME Program funds obligated for the property identified in paragraph 2, above. In no event shall this Agreement be terminated before June 30, 2008 except as a result of action by the United States Department of Housing and Urban Development. This Agreement may be amended from time to time, where mutually beneficial, for additional funding for the development of affordable housing. 7. In the performance of this Agreement, the RCDC shall cause City to be. named as an additional insured under any and all general liability policies obtained by RCDC with respect to the Project. 8. The RCDC must comply with Federal Lobbyist Requirements and ensure that all persons and /or subcontractors acting on behalf of the RCDC will comply with the Lobbyist Requirements. , 9. This Agreement supersedes any and all other agreements, either oral or in writing, between the parties hereto and contains all the covenants and agreements between the parties with respect to the conditions of said services and funding in any manner whatsoever. Each party to this Agreement acknowledges that no representations, inducements, promises or agreements, orally or otherwise, have been made by any party, or anyone acting on behalf of any party, which are not embodied herein, and that no other agreement or amendment hereto shall be effective unless executed in writing and signed by both City and RCDC. 10. This Agreement shall be governed by and construed in accordance with the laws of the State of California, all applicable federal statutes and regulations as amended, and all applicable local laws. 11. The invalidity in whole or in part of any provision of this agreement shall not void or affect the validity of any other provisions of this Agreement. 2 El IN WITNESS WHEREOF, the goveming bodies of the parties hereto have authorized this Agreement to be executed by their respective chief executive officers and attested by the executive officer - clerks thereof as of the day, month and year first above written. CITY OF ROSEMEAD ROSEMEAD COMMUNITY DEVELOPMENT COMMISSION Z „=210 ATTEST: CITY CLERK By EXECUTIVE DIRECTOR EXHIBIT "A" TO COMMITMENT AGREEMENT Compliance Subrecipient agrees that it undertakes hereby the same obligations to the City that the City has undertaken to HUD pursuant to City's application and certifications. The obligations undertaken by Subrecipient include, but are not limited to, the obligation - to comply with all Federal laws and regulations described in Subparts H and K of 24 CFR Part 92 and specifically with each of the following: The 1990 National Affordable Housing Act and the Housing and Community Development Act of 1987; Final Rule and Technical Amendment to Final Rule of the Department of Housing and Urban Development relating to HOME Investment Partnerships Program (Title 24, Chapter V, Part 92 of the Code of Federal Regulations commencing with Section 92.1) dated September 16, 1996 and May 28, 1997; and any subsequent applicable HOME regulations issued by HUD; Regulations of the Department of Housing and Urban Development relating tc environmental review procedures for the HOME Program(Title 24, Subtitle A, Part 58 of the Code of Federal Regulations, commencing at Section 58.1), except that Subrecipient does not assume City's environmental responsibilities. Requirements of the Fair Housing Act (42 U.S.C. 3601 -20) and implementing regulations at 24 CFR Part 100; Executive Order 11063, as amended by Executive Order 12259 (Equal Opportunity in Housing) and implementing regulations at 24 CFR Part 107; Title VI of the Civil Rights Act of 1964 (Public Law 88 -352) and implementing regulations issued at 24 CFR Part 1; Prohibitions against discrimination on the basis of age under the Age Discrimination Act of 1975 (42 U.S.C. 6101 -07) and implementing.regulations at 24 CFR Part 146, and the prohibitions against discrimination against handicapped individuals under section 504 of the Rehabilitation Act of 1973 (29 U.S.C. 974) and implementing regulations at 24 CFR Part 8; Requirements of Executive Order 11246 (Equal Employment Opportunity) and the implementing regulations issued at 41 CFR chapter 60; Requirements of Section 3 of the Housing and Urban Development Act of 1968 (12 U.S.C. 1701 u), the purpose of which is to ensure that the employment and other economic opportunities generated by Federal financial assistance for housing and community development programs shall, to'the greatest extent feasible, be directed toward low- and very low- income persons, particularly those who are recipients of government assistance for housing; The requirements of Executive Orders 11625 and 12432 (concerning Minority Business Enterprise) and 12138 (concerning Women's Business Enterprise); The Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 and regulations, as amended; implementing regulations at 49 CFR Part 24, and the requirements of 24 CFR 92.353; Administrative regulations, including, but not limited to, applicable sections of. Department of Housing and Urban Development regulations located at: The following sections of 24 CFR Part 85 entitled "Uniform Administrative Requirements for Grants and Cooperative Agreements to State, Local, and Federally Recognized Indian Tribal Governments" and referred to as the "Common Rule'; 85.6, 85.12', 85.20, 85.22, 85.26, 85.35, 85.36, 85.44, 85.51, and 85.52; OMB Circular A -87 entitled "Cost Principles Applicable to Grants and Contracts with State and Local Governments'; 24 CFR Part 44 and OMB Circular No. A -133; The following section of OMB Circular A -110 entitled "Grants and Agreements with Institutions of Higher Education, Hospitals, and Other Non - Profit Organizations ": Attachment B; Attachment F; Attachment H, paragraph 2; and Attachment O; OMB Circular A -122 entitled "Cost Principles for Non - Profit Organizations'; The following laws and regulations relating to preservation of historic places: Public Law 89 -665 the Archaeological and Historical Preservation Act of 1974 (Public Law 93 -291), and Executive Order 11593 including the procedures prescribed by the Advisory Council on Historic Preservation in 36 Code of Federal Regulations, Part 800, The Labor Standards Regulations set forth in Section 92.354 of 24 CFR Part 92; The Architectural Barriers Act of 1968 (42 U.S.C. Section 4151) and the Americans' with Disabilities Act of 1990 (ADA); The Hatch Act relating to the conduct of political activities (Chapter 15 of Title 5, U.S.C.); 15. The Flood Disaster Protection Act of 1973 (Public Law 93 -234 and the regulations adopted pursuant thereto) 24 CFR Chapter X Subpart B; The Clean Air Act (42 U.S.C. Section 1857 et seq.) and the Federal Water Pollution Control Act, as amended (33 U.S.C. Section 1251 et seq.) and the regulations adopted pursuant thereto (40 CFR Part 15); . Section 401(b) of the Lead -Based Paint Poisoning Prevention Act (42 U.S.C. 482 et seq) and 24 CFR part 35; and Provisions of 24 CFR Part 24 regarding use of debarred, suspended, or ineligible contractors or subrecipients. Subrecipient further agrees to comply with environmental, procurement, construction, and other guidelines provided by City, including City HOME Information Memos which may be issued periodically during the term of this contract. Subrecipient further agrees to incorporate City's "Special Federal Provisions" in all construction bid documents and conditions in the City's Affirmative Marketing Plan and Minority & Women's Businesses Outreach Statement in all contracts. Subrecipient shall obtain any necessary permits and licenses that may be necessary for its performance of this 'contract. Failure to meet established performance goals and standards, and/ or non - compliance with applicable rules and regulations shall constitute non - compliance with the terms of this contract. The City is entitled to use one or more of the following remedies for non- compliance: temporarily withhold cash payments pending correction of deficiencies by Subrecipient; disallow all or part of the cost of the activity or action not in compliance; wholly or partly suspend or terminate the current award for the Subrecipient's program; withhold further awards for the program; and/ or take other remedies that may be legally available. Availability of Funds/ Modifications Funding of this contract is contingent on the availability of HOME funds and continued Federal authorization for program activities, and is subject to amendment or termination due to lack of funds or authorization. Subcontracts Subrecipients shall incorporate the same or substantially equivalent requirements as are contained in this contract in all subcontracts which utilize any HOME funds. Subrecipient, by entering into any such subcontract for performance of any portion of its HOME program, is not relieved of its responsibilities to City as set forth in this contract. Authority to Bind By entering into this contract, the Subrecipient certifies it is qualified and licensed to conduct business in the State of Califomia. Non - Discrimination/ Grievance Procedures Subrecipient will ensure that every effort is make to provide equal opportunity to every potential minority and women's business vendor, contractor and subcontractor. Standard of Conduct/ Conflict of Interest and Lobbying No member, officer or employee of the Subrecipient or its designee or agents, no. member of the goveming body of the locality in which the program is situated, and no other public official of such locality or localities who exercises any functions or responsibilities with respect to the program during his /her tenure or for one year thereafter, shall have any interest, direct or indirect, in any contract or subcontract, or the 0 • process thereof, for work to be performed in connection with the program activities assisted under this contract. By entering into this contract, the Subrecipient certifies compliance with 24 CFR Part 87: No Federal appropriated funds have been paid or.will be paid, by or on behalf of the Subrecipient' , to any person. for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with the awarding of any Federal contract, the making of any Federal grant, the making of any Federal loan, the entering into of any cooperative agreement, and the extension, continuation, renewal, amendment, or modification of any Federal contract, grant, loan, or cooperative agreement. If any funds other than Federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a Member of congress, an officer or employee of Congress, or an employee of a Member of congress in connection with this Federal contract, grant, loan, or cooperative agreement, the Subrecipient shall complete and submit Standard Form -LL, "Disclosure Form to Report Lobbying ", in accordance with its instructions, and other Federal disclosure forms as requested. The Subrecipient shall require that the language of this certification be included in the award documents for all sub awards at all tiers (including subcontracts, subgrants, and contracts under grants, loans, and cooperative agreements) and that all subrecipients shall certify and disclose accordingly. (Including subcontracts, sub grants, and contracts under grants, loans, and cooperative agreements) and that all subrecipients shall certify and disclose accordingly. Fiscal Control The Subrecipient shall be responsible for the internal control and monitoring of fiscal and programmatic /operational goals and procedures. The Subrecipient shall establish such fiscal controls and fund accounting procedures as required by Federal regulations, or as may be deemed necessary by HUD and City to assure the proper disbursal of, and accounting for, funds paid to the Subrecipient under the HOME Program. Funds shall be disbursed in accordance with CFR 92.502 (Cash and Management Information System; disbursement of HOME funds). The Subrecipient is responsible for requesting HOME funds from City in accordance with HOME regulations. City agrees to make payments upon,certification and submittal of a statement of actual costs incurredf (or to be incurred within 30 days of drawn down). Payment by City is not to be construed as final in the event HUD disallows reimbursement for the project or any portion thereof. Certain reasonable back -up documentation as specified by the City shall be submitted by Subrecipient with request for payment. The Subrecipeint shall be liable for all amounts which are determined to be due by HUD including, but not limited to, disallowed costs which are the result of Subrecipient's or its contractors conduct under this contract. Subrecipient shall be notified in writing and shall be permitted to respond regarding any controversy or proceeding between City and HUD arising from this contract. All financial transactions must be supported by complete and verifiable source documents. Records shall provide a clear audit trail. Reversion of Assets Upon expiration of this contract, Subrecipient shall transfer to the City any HOME funds on hand at the time of expiration and any accounts receivable attributable to the use of HOME funds. Contract Responsibility for Monitoring and Records HUD, the City, designated representatives of the City, and other appropriate officials shall have access to all personnel records, management information, and fiscal data of the Subrecipient and any agency or contractor with whom the Subrecipient executes a subcontract necessary to carry out any HOME project for monitoring purposes. The Subrecipient shall respond in a timely manner to all identified corrective action needs as a result of HUD, City, or other monitoring. The Subrecipient shall submit to City all required reports and monitoring corrective action plans on a timely basis, as delineated by the City Records shall be maintained as follows: Subrecipient agrees to retain all records specified in this agreement; project records specified in Section 92.508 (a)(3); and federal requirements records specified in section 92.508(a)(5); Subrecipeint agrees to retain all pertinent records, including financial records, until advised by the City that further retention is unnecessary. The current HUD requirement is 5 years. Records shall be open and available for inspection by auditors and /or other staff assigned by HUD and /or the City during the normal business hours of the Subrecipient. If there is ongoing litigation or an audit involving the Subrecipient's or the City's records, the Subrecipient will retain the records until the resolution of such litigation or audit and written notice by the City that such records may be disposed of. Requests for Technical Assistance Subrecipient shall refer to City any regulatory or procedural questions regarding operation of its HOME project(s). All formal requests for technical assistance shall be submitted in writing. Requests should specify the problem area, particular assistance being requested, and proposed solution if applicable. Informal questions regarding day - to -day program operation may be directed to the assigned staff person. 0 • HOME PROGRAM Specific Conditions Table of Contents Per -Unit Subsidy Housing Quality Standards Affirmative Marketing Plan Minority and Women's Businesses Outreach Statement Per -Unit Subsidy The amount of HOME funds that may be expended may not exceed the maximum per -unit subsidy limits as set forth in Sections 221 (d) (3) and 221.514 (c) of the National Housing Act. However, in no event may the maximum subsidy exceed the actual development costs of the HOME - assisted units based on their proportionate share of the total development cost. Affirmative Marketing Plan The Subrecipient will abide by and comply with the following conditions of the City's Affirmative Marketing Plan. Such conditions shall be included in any contract documents implementing HOME activities. Affirmative Marketing Program Subrecipient shall carry out an affirmative program to attract tenants, regardless of sex, of all minority and majority groups to the housing for rental. An affirmative marketing program shall be in effect for the entire time of HOME operation. Equal Employment Opportunity 'Subrecipient shall maintain a non - discriminatory hiring policy in recruiting from both minority and majority groups, including both sexes, for staff engaged in the rental of properties. Office Traininq Subrecipient shall instruct all employees and agents in writing and orally in the policy of nondiscrimination and fair housing. EEO Notice (Office) Subrecipient shall prominently display in all offices in which rental activity pertaining to the program takes place the HUD - approved Fair Housing Poster and include in any printed material used in connection with said rentals, the HUD - approved Equal Housing Opportunity logo or slogan or statement. EEO Notice (Property) Subrecipient shall post in a conspicuous position on the property a sign displaying prominently either the HUD - approved Equal Housing Opportunity logo or slogan or statement. Nondiscrimination The City shall periodically review Subrecipient actions to ensure compliance with Equal Housing Opportunity provisions, in conjunction with program monitoring activities. Where Subrecipient fails to live up to an affirmative marketing obligations, appropriate action, available under program regulations and /or applicable laws will be taken to enforce compliance. COUNTY OF LOS ANGELES HOME INVESTMENT PARTNERSHIPS PROGRAM PARTICIPATING JURISDICTIONS COOPERATION AGREEMENT THIS Agreement is made and entered into this 25th day of June 2002, by and between the City of Rosemead, hereinafter referred to as "City," and the County of Los Angeles, hereinafter referred to as the "County." WITNESSETH THAT: WHEREAS, City and County desire to cooperate to undertake, or assist in undertaking, the development of multi - family housing through the use of HOME Investment Partnerships Program (`1-IOME'), as authorized by the Housing and Community Development Act of 1992, as amended , hereinafter referred to as "Act;" and WHEREAS, the City and the County are designated by the U.S. Department of Housing and Urban Development ( "HUD ") as Participating Jurisdictions under the HOME Program, and the Act and HOME Regulations 24 CFR 92.201(a)(2) permit two contiguous local Participating Jurisdictions to enter into a cooperation agreement to conduct eligible activities which serve residents of both jurisdictions; and WHEREAS, the terms and provisions of this Agreement are fully authorized under State and local law, and that this Agreement provides full legal authority for the City to assist in undertaking the development of the project through provision of HOME funds within the boundaries of the County; NOW, THEREFORE, the parties agree as follows: 1. The City and the County agree to cooperate to undertake, or assist in undertaking, the development of affordable housing and that such undertaking would mutually benefit and serve the residents of both jurisdictions. 2. The City hereby authorizes the County to perform, or cause to be performed, those acts necessary to implement the development of affordable housing by the East LA Community Corporation, a California non - profit public benefit corporation ( "Developer "), for persons of low income, which will be funded from the City's federal Fiscal Year 2000 HOME Program funds in the amount of $422,100. Said funds are broken down into the following sources: $159,300 1 ORIGINAL CHDO funds and $262,800 in Entitlement funds. Said funds shall be used for the exclusive purpose of developing the residential real estate located in the unincorporated area of the County containing eleven (11) dwelling units for rental located at and commonly known as 952 S. Record Avenue, Los Angeles, California ( "Project ") 3. County warrants to the City that the Developer meets all the qualifications of a Community Housing Development Organization (CHDO) as defined by the Act and the HOME regulations. 4. The City and County shall ensure that any development which is assisted using HOME program funds in this agreement must comply with all of the following federal laws, executive orders, and regulations pertaining to fair housing and equal opportunity, as set forth in 24 CFR part 5, subpart A. Title VI of the Civil Rights Act of 1964, As Amended (42 U.S.C. 2000d); Title VIII of the Civil Rights Act of 1968, As Amended "the Fair Housing Act" (42 U.S.C. 3601); Equal Opportunity in Housing (Executive Order 11063, As Amended); Architectural Barriers Act of 1968, As Amended (42 U.S.C. 4151); Age Discrimination Act of 1975, As Amended (42 U.S.C. 6101); Equal Employment Opportunity Programs, Executive Order 11246, As Amended; Section 504 of the Rehabilitation Act of 1973; Title II of the Americans With Disabilities Act; Section 3 of the Housing and Urban Development Act of 1968; Lead -Based Paint Poisoning. Prevention Act (42 U.S.C. 4821 et seq.), 24 CFR part 35, and 24 CFR 982.4010); Davis -Bacon Act (40 U.S.C. 276a); Uniform Relocation Assistance and Real Property Acquisition Policies Act (42 U.S.C. 4201 -4655) and 49 CFR part 24; HOME Affirmative Marketing requirements; HOME Conflict of Interest provisions; Executive Orders 11625, 12432, and 12138 (Community Business Enterprise); Department of Interior and Related Agencies Appropriations Act, known as the Byrd Amendments, and HUD's 24 CFR Part 87; California Drug -Free Workplace Act of 1990. 5. City and County agree that County shall be the lead agency for the development of the project and shall ensure compliance with HOME requirements regarding environmental review, labor compliance, affordability restrictions and monitoring requirements. City shall serve as a funding partner. 6. The City and County acknowledge that the Project is consistent with their most recent Consolidated Plans, as approved by HUD. 7. The City and County shall ensure that the project serves low- income residents from both the City and County jurisdictions. The County shall ensure that the Developer affirmatively markets the project and specifically conducts outreach 2 a • to the residents of both jurisdictions who are eligible tenants for the project. 8. This Agreement shall be effective for the period of time required for the development of the property and expenditure of all HOME Program funds obligated for the property identified in paragraph 2, above. In no event shall this Agreement be terminated before June 30, 2003, except as a result of action by HUD, 9. The City and County agree that HOME Program funding for any activities in or in support of any cooperating City that does not affirmatively further fair housing within its own jurisdiction, or that impedes the County action to comply with its fair housing certification, is, prohibited. io . In the performance of this Agreement, the County shall cause City to be named as an additional insured under any and all general liability policies obtained by County or East Los Angeles Community Corporation with respect to the Project. 11. The County must comply with Federal Lobbyist Requirements and ensure that all persons and /or subcontractors acting on its behalf will comply with the Lobbyist Requirements. 12. This Agreement supersedes any and all other agreements, either oral or in writing, between the parties hereto and contains all the covenants and agreements between the parties with respect to the conditions of said services and funding in any manner whatsoever. Each party to this Agreement acknowledges that no representations, inducements, promises or agreements, orally or otherwise, have been made by any party, or anyone acting on behalf of any party, which are not embodied herein, and that no other agreement or amendment hereto shall be effective unless executed in writing and signed by both City and County. 13. This Agreement shall be governed by and construed in accordance with the laws of the State of California, all applicable federal statutes and regulations as amended, and all applicable local laws. 14. This Agreement may be terminated at any time by either party upon thirty (30) days prior notice in writing to the other party. 15. Either upon the completion or termination of this agreement, the County shall within sixty (60) days return any unexpended HOME funds to the City. 16. The Community Development Commission of the County of Los Angeles ( "Commission ") shall administer this agreement on behalf of the County. 3 17. The County reserves the right to determine the disposition of any program income, including the County taking possession of said program income for further use for affordable housing.. 18. The County shall be responsible for enforcing the affordability requirements of the project, including the tenant occupancy monitoring, lease requirements, inspection for maintenance of Housing Qualify Standards, and any other applicable HOME requirements. All project records shall be retained by the County, which shall provide the City with copies of any project records, reports and monitoring information the City requests. 19. The HOME funds under this agreement shall continue to be part of the City HOME formula allocation from HUD, and the City shall be responsible for meeting all HUD requirements it engenders, including but not limited to IDIS set up, Commitment, Expenditure, CHDOs, match liability, etc. 20. The County shall ensure that the project complies with subsidy layering standards and does not exceed HOME maximum subsidy limits. 21. The County shall be responsible for dealing with any disputes that arise with the Developer regarding the project and the HOME funds under this agreement, and any disputes between the City and the County shall be mediated by a third party acceptable to both. 22. The invalidity in whole or in part of any provision of this agreement shall not void or affect the validity of any other provisions of this Agreement. 0 IN WITNESS WHEREOF, the governing bodies of the parties hereto have authorized this Agreement to be executed by their respective chief executive officers and attested by the executive officer- clerks thereof as of the day, month and year first above written. CITE F �I� COUNTY OF LOS ANGELES B By OG[/ rlos Jackson, Executive Director Community Development Commission ATTEST: , ounty of Los Angeles qRROPINow City Clerk &•�___ G ___� ..p QI U Vf�ape�ise�s -- By .7// - BY! Deputy APPROVED AS TO FORM: APPROVED AS TO FORM: GLog9 w. Pc�c�t City Attorney ���������. GLI NN County Counsel By By. De ty J