R99-75 AUTHORIZING ADDENDA TO AGREEMENTS

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' HOME PROGRAM -1995 -1996 COMMUNITY HOUSING DEVELOPMENT ORGANIZATION (CHDO) AGREEMENT This Agreement entered into by and between the Ciry of Decatur, illinois, hereinafter called the "City",and the Neighborhood Housing Development Corporation, organized under the laws of the State of Illinois, hereinafter called "NHDC". WHEREAS, the City has entered into an agreement with the U. S. Oepartment of Housing and Urban Development, hereinafter called "HUD", for the pu�pose of conducting a HOME Program, and;whe�eas the City, as a condition of recennng HOME funds must reserve fifteen percent(15%) of the funds for housing to be developed or owned by a Community Housing Development Organization, hereinafter called"CH00", and;whereas the City may commit additional HOME funds for CHDO projects; and whereas NHDC has been identified as a CHDO, subject to the terms and conditions stated below; and whereas NHOC submitted a proposal dated 2/4/99 and identified as Exhibit A(attached hereto)to construct new housing II units and requested a grant of HOME funds not to exceed $500,000 to fund the activityr unde�the stated i proposal (Exhibit A). NOW, THEREFORE, the parties in consideration thereto mutually agree and covenant as follows: I 1. NHOC may receive up to $500,000 from the City unde�the HOME Program ($301,242.50 from I PY95 and $198,757.50 from PY96) to implement the proposed new construction. The proposed I funding will be dispersed based upon actual project expenditures, for a total not to exceed the grant I amount of$500,000. 2. NHDC shall use the funds as outtined in the proposal dated 2/4/99 (Exhibit A) for eligible costs of - predevelopment, acquisition, rehabilitation, soft costs and other eligible items associated witt�the projects. All additional sources of funds for the project must be confirmed prior to the start of the project. 3. NHOC shall provide the City with monthly progress reports and monthty financial reports. a. Monthly reports shall be submitted to the City by the fifth (Sth)working day of the succeeding calendar month. b. Reimbursements to NHDC will be made upon receipt by the City of the monthly progress and financial reports and all suppor4ng documentation. Supporting documentation shall , include, but not be limited to: 1) Lien waivers, canceled checks and receipts for payment. , c. NHDC shall submit Pay Requests,with proper supporting documentation,to the City on the 10th day of the month and the 25th day of the month. 4. NHDC shall maintain a proper accounting system, HUD approved for the HOME funds. a. A separate account shall be established specifically for the HOME Program funds. � b. Program income shall be identified separately and used prior to additional reimbursements I by the City. , c. Proper accounting shall be verified by an Annual Audit conducted by an independent, I qualified auditor. Results of the Annual Audit shall be submitted to the City within 30 days after completion of the audit. ! 5. NHDC shall adhere to all the requirements established by the federal government, State of Illinois, and the City as mandated in the applicable regulatio�s, laws, codes and ordinances. 6. NHDC shall have the discretion to select appropriate projects as identified in its proposal dated ' 2/4/99 (Exhibit A) and as determined by its Board of Directors and set policies associated with the ' development that are not in conflict with those identified in (5.) above. a. NHDC shall submit its projects to the City for approval which would include proposed construction schedule, cost estimate and project location. NHDC shall submit documentation to the City for approval of i —_- __ ;