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Agenda 06/28/2016 Item #16D17 6/28/2016 16.D.17. t-1 EXECUTIVE SUMMARY Recommendation to approve two State Housing Initiative Partnership Sponsor Agreements between Collier County and Big Cypress Housing Corporation,contract award$500,000,for rental rehabilitation and Community Assisted and Supported Living, Inc., contract award $412,500 for the administration of rental acquisition. OBJECTIVE: To continue to promote affordable housing strategies for low- to moderate-income persons through the State Housing Initiatives Partnership Program. CONSIDERATIONS: The William E. Sadowski Affordable Housing Act provides additional funding to local communities to promote and advance affordable housing initiatives. Funds are generated through documentary stamp tax on real estate transactions.Under the State Housing Initiatives Partnership(SHIP) program, Collier County and the City of Naples receive funds from the State of Florida through the Florida Housing Finance Corporation to undertake eligible activities. The SHIP Local Housing Assistance Plan(LHAP) identifies eligible strategies and serves as a guideline for the use of all SHIP funds. Rental Acquisition and Rehabilitation will assist in preserving the rental inventory and assist in reducing declines in property values that result from deterioration. Rental Acquisition will assist in increasing availability of rentals, a need that has been identified in the LHAP and discussed at the housing workshop. Staff advertised a grant application cycle on February 29,2016 with a 21-day submittal period to secure a n for-profit or a non-profit organization to implement the Rental Rehabilitation/Rental Acquisition strategy. Community and Human Services (CHS) received three applications in response, from Big Cypress Housing Corporation (BCHC), Collier Affordable Rentals, and Community Assisted and Supported Living, Inc. (CASL). On April 11,a review panel interviewed the applicants and recommended award to CASL and BCHC. SHIP Sponsor Agreement with Big Cypress Housing Corporation: BCHC operates as a non-profit community development corporation providing services to South and Southwest Florida residents of low-to-moderate income. BCHC owns and operates affordable rental developments throughout the area.BCHC plans to rehabilitate the property located at 104 Anhinga Circle, in Immokalee for a total interior and exterior rehabilitation of 40 units. BCHC will carry out the rehabilitation through procurement of a general contractor or specialty trades,perform the overall contract management and shall perform technical and administrative work involving the repair and renovation of the rental properties. The $500,000 award is in the form of a loan, all of which will be secured by a note and mortgage against the property.Half of the loan($250,000)will be disbursed once the agreement is in place.The second half will be disbursed when BCHC has demonstrated expenditure of the first half of the funds.A Land Use Restriction will also be placed on the property. SHIP Sponsor Agreement with Community Assisted and Supported Living,Inc.: CASL has operated as a non-profit throughout Southwest Florida for the last 20 years. CASL owns and operates over 20 rental units in Collier County. The Agreement provides for CASL to acquire two properties to be used for affordable rental in Collier County and is designed to assist income-eligible special needs renters.The total award is$412,500.Funds will be wired at the time of closing. In addition, Collier County CHS will secure a note and mortgage against the property to ensure all funds are protected. Packet Page-1389- 6/28/2016 16.D.17. FISCAL IMPACT: Funds are available within SHIP Grant Fund 791, Project Nos. 33331, 33429, and 33467. The proposed action does not have an impact on the General Fund due to a recent notification of state funding which will provide future administration through FY17. LEGAL CONSIDERATIONS: This item has been approved for form and legality and requires a majority vote for Board approval.-JAB GROWTH MANAGEMENT IMPACT: These projects will allow the County to expand affordable housing opportunities for its citizens and further the goals of the Housing Element of the Collier County Growth Management Plan. RECOMMENDATION: That the Board of County Commissioners approves and authorizes the Chairman to sign State Housing Initiative Partnership Sponsor Agreements with Big Cypress Housing Corporation and Community Assisted and Supported Living,Inc. Prepared By:Raynesha Hudnell,Grant Coordinator,Community and Human Services Attachments: 1.Big Cypress Housing Corporation Agreement 2.Big Cypress Housing Corporation Promissory Note and Mortgage 3.Big Cypress Housing Corporation—Land Use Restriction Agreement 4.Community Assisted and Supported Living Agreement • Packet Page-1390- 6/28/2016 16.D.17. COLLIER COUNTY Board of County Commissioners Item Number: 16.16.D.16.D.17. Item Summary: Recommendation to approve two State Housing Initiative Partnership Sponsor Agreements between Collier County and Big Cypress Housing Corporation, contract award $500,000,for rental rehabilition and Community Assissted and Supported Living, Inc., contract award $412,500 for the administration of rental acquisition. Meeting Date: 6/28/2016 Prepared By Name: HudnellRaynesha Title: Grants Coordinator,Community&Human Services 6/6/2016 5:36:28 PM Submitted by Title: Grants Coordinator,Community&Human Services Name: HudnellRaynesha 6/6/2016 5:36:30 PM Approved By Name: TownsendAmanda Title:Division Director-Operations Support,Public Services Department Date: 6/8/2016 9:10:35 AM Name: LopezMaggie Title: Supervisor-Accounting, Community&Human Services Date: 6/10/2016 11:57:40 AM Name:AlonsoHailey Title: Operations Analyst,Public Services Department Date: 6/10/2016 3:47:26 PM Name: GrantKimberley Title:Division Director-Cmnty&Human Svc,Community&Human Services Date: 6/13/2016 11:26:40 AM Packet Page-1391- 6/28/2016 16.D.17. Name: SonntagKristi Title:Manager-Federal/State Grants Operation,Community&Human Services Date: 6/14/2016 4:31:21 PM Name: BelpedioJennifer Title:Assistant County Attorney,CAO General Services Date: 6/14/2016 4:55:58 PM Name: CarnellSteve Title:Department Head-Public Services,Public Services Department Date: 6/15/2016 10:21:32 AM Name: RobinsonErica Title:Accountant, Senior,Grants Management Office Date: 6/17/2016 8:49:02 AM Name: BelpedioJennifer Title:Assistant County Attorney,CAO General Services Date: 6/20/2016 1:51:19 PM Name: KlatzkowJeff Title: County Attorney, Date: 6/20/2016 2:50:29 PM Name: StanleyTherese Title:Manager-Grants Compliance,Grants Management Office Date: 6/20/2016 2:53:20 PM Name: CasalanguidaNick Title: Deputy County Manager,County Managers Office Date: 6/20/2016 5:13:02 PM Packet Page-1392- • 6/28/2016 16.D.17. Grant-SHIP FY 2014-2015 Activity: -Rental Rehabilitation SPONSOR: -Big Cypress Housing Corporation DUNS#-064723252 CSFA#- 52.901 AGREEMENT BETWEEN COLLIER COUNTY AND BIG CYPRESS HOUSING CORPORATION THIS AGREEMENT is made and entered into this day of , 2016, by and between Collier County, a political subdivision of the State of Florida, ("COUNTY" or Grantee")having its principal address as 3339 E. Tamiami Trail, Suite 211,Naples FL 34112, and Big Cypress Housing Corporation a private not-for-profit corporation existing under the laws of the State of Florida, having its principal office 19308 SW 380th Street, Florida City, FL 33034 ("SPONSOR"). WHEREAS, the COUNTY is the recipient of State Housing Initiatives Partnership Program (SHIP) Program funds; and WHEREAS, pursuant to the SHIP Program, the COUNTY is undertaking certain activities to primarily benefit persons or households earning not greater than 50% of median annual income adjusted for family size; and WHEREAS, the Fiscal Years 2013-2016 Local Housing Assistance Plan, as amended, was adopted by the Board of County Commissioners on April 23, 2013, Resolution No. 2013-94 (16.D.5) and further amended on March 22, 2016 Resolution No 2016-58 (Item 11D) and WHEREAS, the COUNTY and the SPONSOR desire to provide rental rehabilitation in accordance with this Agreement and the aforementioned Local Housing Assistance Plans;and NOW, THEREFORE, in consideration of the mutual promises and covenants herein contained, it is agreed by the Parties as follows: I. DEFINITIONS AND PURPOSE A. DEFINITIONS Terms shall be as defined in the State Housing Incentives Partnership (SHIP) Program, Florida Statute 420.9071 and Chapter 67-37 of the Florida Administrative Code, and any amendments thereto (also referred as the SHIP Program). B. PURPOSE 1 Packet Page -1393- 6/28/2016 16.D.17. The purpose of this Agreement is to state the terms and conditions under which the SPONSOR will implement the Scope of Service summarized in Section II of this Agreement. II. SCOPE OF SERVICE The SPONSOR shall, in a satisfactory and proper manner as determined by the COUNTY, perform the necessary tasks to administer and implement the described services herein incorporated by reference as Exhibits B — C (Rental Rehabilitation Project Requirements and Budget Narrative) in accordance with the terms and conditions of Requests for Applications, Rental Rehabilitation/Rental Rehabilitation and Acquisition or Acquisition, State Housing Initiatives Partnership Funding Cycle Fiscal Years 2014-2015 and 2015-2016 SPONSOR'S Application dated March 21,2016. III. SPECIAL GRANT CONDITIONS A. Within 30 days of the execution of this Agreement,the SPONSOR must deliver to CHS for approval a detailed project schedule for the implementation through completion of the project to include staff assignment. B. The following resolutions and policies must be adopted, if not previously adopted, by the SPONSOR's governing body within 60 days of contract execution: 1. Affirmative Fair Housing Policy 2. Procurement Policy including Code of Conduct 3. Affirmative Action Policy 4. Conflict of Interest Policy 5. Equal Opportunity Policy 6. Sexual Harassment Policy 7. Procedures for meeting the requirements set forth in Section 504 of the Rehabilitation Act of 1973,as amended(29 U.S.C. 794) 8. Fraud Policy 9. Tenant Waitlist Policy 10. Tenant Grievance Policy 11. Tenant Guidelines(Income) IV. TIME OF PERFORMANCE This Agreement shall be in effect from June 1, 2016 through June 30, 2017 for FY 14-15 funding, and all services required hereunder shall be completed in accordance with the schedule set forth in Exhibit B (Rental Rehabilitation Project Requirements). This agreement must remain in effect throughout the development process of the Project and is terminated upon completion of acquisition and rehabilitation, rehabilitation and initial lease-up of all units, including all SHIP-assisted units. 2 Packet Page-1394- 6/28/2016 D17.1 16. . V. AGREEMENT AMOUNT It is expressly agreed and understood that the total amount to be disbursed by the COUNTY for p Y g the use by the SPONSOR during the term of the Agreement shall not exceed FIVE HUNDRED THOUSAND DOLLARS ($500,000.00). The budget identified for the Project shall be as follows Line Item Description SHIP Funds Project Component One: Rehabilitation to rental $500,000.00 units. (Maximum$30,000.00 per unit) TOTAL $500,000.00 Modifications to the "Budget and Scope" may only be made if approved in advance by the COUNTY. Budgeted fund shifts between cost categories and activities shall not be more than 10% and does not signify a change in scope. Fund shifts that exceed 10% of a cost category and activity shall only be made with Board approval. All services specified in Section II. Scope of Services shall be performed by SPONSOR employees, or shall be put out to competitive bidding under a procedure acceptable to the COUNTY and State requirements. The SPONSOR shall enter into contract for improvements with the lowest, responsive and qualified bidder. Contract administration shall be handled by the SPONSOR and monitored by CHS, which shall have access to all records and documents related to the project. The County will secure the awarded amount with a note and mortgage. The Note will bear interest at 0%percent interest per year. If the SPONSOR complies with the terms and conditions of this Agreement, then the lien established by the Mortgage shall expire as set forth in the Mortgage. If the SPONSOR offers the Property for sale before fifteen (15) years after the SPONSOR's receipt of the Certificate of Occupancy, or at any other time when there are existing mortgages on the Property funded under the SHIP program, then the SPONSOR must give a right of first refusal (ROFR) for a 90 day period, to experienced non-profit organizations, reasonably approved by the County for purchase of the Property, at the then current market value, for continued occupancy by eligible persons. The 90 day right of first refusal period begins when a legal advertisement appears in a local newspaper of general circulation or other method authorized by statute or regulation offering the Property for sale to non-profit organizations. County approval of any nonprofit organization submitting an offer of the full requested sale price or any other offer considered in the sole determination of the SPONSOR to be reasonable, will be based on the criteria listed in the affordable multi-family rental housing development strategy sponsor selection criteria, in the County's FY 2013-2016 SHIP Local Housing Assistance Plan. If either(a)the 90-day right of first refusal period expires and the SPONSOR is not then a party to an active contract for purchase and sale of the Property, with an eligible 3 Packet Page -1395- 6/28/2016 16.D.17. nonprofit organization, reasonably approved by the County; or (b) a contract for purchase and fi sale of the Property is entered into by the SPONSOR and an eligible nonprofit organization, reasonably approved by the County, within such 90-day ROFR period but terminated by either party pursuant to the terms thereof subsequent to the 90-day period then the SPONSOR can offer the property for the fair market value for continued occupancy with eligible tenants. The County shall provide an initial loan disbursement of$250,000 for rehabilitation activities and will reconcile actual expenditures reported to the funds disbursed to the Sponsor based on the properly completed Invoice with an accompany Al A or equivalent documentation. Once the initial loan disbursement is reconciled and expended by the Sponsor, the Sponsor shall submit a final loan request for $250,000 until all funds are disbursed not to exceed $500,000. All funds are secured by a promissory note and mortgage signed prior to the disbursement of any funds to secure the funds. Should the SPONSOR fail to perform the promissory note will be due and payable for the amount disbursed to date. Any funds disbursed to the Sponsor that are not expended or were determined tohave been expended for unallowable costs shall be considered overpayment to the Sponsor. The County shall recoup such overpayments. In the event an overpayment is identified after the end of the contract and no further invoice is due, the Sponsor shall remit the overpayment to the County via check. The County shall release a check in the amount of$250,000 upon entering an agreement with SPONSOR for Rental Rehabilitation funds and secure a 0% subordinate mortgage and forgivable note for the rehabilitation. Thereafter the SPONSOR will request a second loan disbursement upon submission and approval by CHS of SPONSOR'S AIA documentation that shows funds have been expensed properly and in a timely manner for the initial loan disbursement. The SPONSOR shall ensure the performance of this Agreement. The second loan disbursement for rehabilitation will not occur if the SPONSOR fails to perform the minimum level of service required by this Agreement. Final reconciliation invoices are due no later than 90 days after the end of this Agreement. No disbursements will be made until approved by CHS and the Collier County Clerk of Courts for grant compliance and adherence to any and all applicable local, state or federal requirements. The second loan disbursement will be made upon receipt of a properly completed invoice and in compliance with §218.70, Florida Statutes, otherwise known as the "Local Government Prompt Payment Act." The COUNTY reserves the right to withhold any future loan disbursements as a result of incomplete or altered invoices, inadequately documented expenses, or expenses for items and services the COUNTY deems not to be usual, customary and reasonable expenses related to improvements of the Project. Additionally, the COUNTY reserves the right to not pay any contractor, subcontractor,material men or supplier wherein a dispute arises. The COUNTY shall provide the second loan disbursement for the rehabilitation work performed based on the SPONSOR'S delivery to the COUNTY (i) an invoice, and subsequent documents to support the first loan disbursement to include but not limited to (ii) AIA 0703, (iii) second loan disbursement request, (iv) the delivery of an executed Partial Release of Lien or Final Release of Lien for the work associated with the application for second loan disbursement, and (v) such other documentation and information as reasonably requested by 4 1 . Packet Page -1396- 1 6/28/2016 16.D.17. the COUNTY. All disbursements by the COUNTY will be made to the SPONSOR who shall be responsible for paying the Contractor. Notwithstanding anything herein to the contrary,the COUNTY shall have no obligation to fund the work if(i)the SPONSOR is in default under the terms of this Agreement or any other agreement between the SPONSOR and the COUNTY, or (ii) the request includes items not in a budget approved by the COUNTY. The COUNTY has the right, to be exercised in its sole and absolute discretion, to delay funding of the work until such time that it receives a title endorsement from a nationally recognized title insurance company providing that the Property and the improvements thereon, are free from construction liens, if applicable. The SPONSOR shall comply with Chapter 713, Florida Statutes in all respects. VI. NOTICES Notices required by this Agreement shall be in writing and delivered via mail (postage prepaid), commercial courier, or personal delivery or sent by facsimile or other electronic means. Any notice delivered or sent as aforesaid shall be effective on the date of delivery or sending. All notices and other written communications under this Agreement shall be addressed to the individuals in the capacities indicated below, unless otherwise modified by subsequent written notice. COLLIER COUNTY ATTENTION: Raynesha Hudnell, Grant Coordinator Collier County Government Community and Human Services 3339 E Tamiami Trial, Suite 211 Naples,Florida 34112 Email to: RayneshaHudnell@a,Colliergov.net Phone: 239-252-5312 SPONSOR ATTENTION: Steve Kirk,President Big Cypress Housing Corporation 19308 SW 380th Street,POB 343529 Florida City,FL 33034 Email to: Stevekirk@ruralneighborhoods.org Phone: 305-242-2142 VII. GENERAL CONDITIONS A. GENERAL COMPLIANCE The SPONSOR agrees to comply with the requirements as outlined in Section 420.907 of the Florida Statutes and Chapter 67-37 of the Florida Administrative Code, The SPONSOR also agrees to comply with all other applicable state and local laws, regulations, and policies governing the funds provided under this Agreement. The SPONSOR agrees to utilize funds available under this Agreement for Rental Rehabilitation. 5 Packet Page-1397- 6 41 6/28/2016 16.D.17. B. CODE OF ETHICS AND CONDUCT The SPONSOR shall comply with the Code of Ethics and Conduct for Construction Professionals developed by Construction Management Association of America(CMAA). Adhering to this code of ethics is critical to demonstrating ethical conduct within the construction industry. This code of ethics is not intended to replace, but rather to supplement, any code of ethics that the SPONSOR already uses in their organization. C. INDEPENDENT CONTRACTOR Nothing contained in this Agreement is intended to, or shall be construed in any manner, as creating or establishing the relationship of employer/employee between the parties. The SPONSOR shall at all times remain an "independent contractor" with respect to the services to be performed under this Agreement. The COUNTY shall be exempt from payment of all Unemployment Compensation, FICA, retirement benefits, life and/or medical insurance and Workers' Compensation Insurance, as the SPONSOR is an independent SPONSOR. D. WORKERS' COMPENSATION The SPONSOR, its contractors and subcontractors, shall provide Workers' Compensation Insurance coverage for all of its employees involved in the performance of this contract. E. INSURANCE The SPONSOR shall furnish a Certificate of Insurance naming Collier County as an additional insured with general liability limits of at least$1,000,000 per occurrence in accordance with Exhibit A. F. INDEMNIFICATION To the maximum extent permitted by Florida law, the SPONSOR shall indemnify and hold harmless Collier County, its officers, agents and employees from any and all claims, liabilities, damages, losses, costs, and causes of action which may arise out of an act, or omission, including, but not limited to, reasonable attorneys' fees and paralegals' fees, to the extent caused by the negligence, recklessness, or intentionally wrongful conduct of the SPONSOR or any of its agents, officers, servants, employees, contractors, patrons, guests, clients, licensees, invitees, or any persons acting under the direction, control, or supervision of the SPONSOR in the performance of this Agreement. This indemnification obligation shall not be construed to negate, abridge or reduce any other rights or remedies which otherwise may be available to an indemnified party or person described in this paragraph. The SPONSOR shall pay all claims and losses of any nature whatsoever in connection therewith and shall defend all suits in the name of the COUNTY and shall pay all costs (including attorney's fees) and judgments which may issue there-on. This Indemnification shall survive the termination and/or expiration of this Agreement. This section does not pertain to any incident 6 Packet Page -1398- '� 6/28/2016 16.D.17. arising from the sole negligence of Collier County. The foregoing indemnification shall not constitute a waiver of sovereign immunity beyond the limits set forth in Section 768.28,Florida Statutes. G. GRANTOR RECOGNITION The SPONSOR agrees that all notices, informational pamphlets, press releases, advertisements, descriptions of the sponsorships of the Program, research reports and similar public notices prepared and released by the SPONSOR for, on behalf of, and/or about the Program shall include the statement: "FINANCED BY FLORIDA HOUSING FINANCING COPORATION (FHFC) AND COLLIER COUNTY COMMUNITY AND HUMAN SERVICES DIVISION" and shall appear in the same size letters or type as the name of the SPONSOR. This design concept is intended to disseminate key information regarding the development team as well as Equal Housing Opportunity to the general public. Construction signs shall comply with applicable COUNTY codes. H. AMENDMENTS The COUNTY and/or SPONSOR may amend this Agreement, at any time, provided that such amendments make specific reference to this Agreement, and are executed in writing, signed by a duly authorized representative of each organization, and approved by the Grantee's governing body. Such amendments shall not invalidate this Agreement, nor relieve or release the Grantee or SPONSOR from its obligations under this Agreement. The COUNTY may, in its discretion, amend this Agreement to conform with federal, state or local governmental guidelines, policies and available funding amounts, or for other reasons. If such amendments result in a change in the funding, the scope of services, or schedule of the activities to be undertaken as part of this Agreement, such modifications will be incorporated only by written amendment signed by both Grantee and SPONSOR. Expiration of Agreement: If the SPONSOR does not complete the project within the time period, the COUNTY Manager or designee may grant a cumulative time extension of no more than 180 days and modify any subsequent project work plans to reflect the extension. SUSPENSION OR TERMINATION Either party may terminate this Agreement, at any time, by giving written notice to the other party of such termination, and specifying the effective date thereof, at least 90 days before the effective date of such termination. In the event of any termination for convenience, all finished or unfinished documents, data, reports or other materials 7 C, Packet Page -1399- • 6/28/2016 16.D.17. prepared by the SPONSOR under this Agreement shall, at the option of the COUNTY, become the property of the COUNTY. The COUNTY may also suspend or terminate this Agreement, in whole or in part, if the SPONSOR materially fails to comply with any term of this Agreement, or with any of the rules, regulations or provisions referred to herein, in addition to other remedies as provided by law. If through any cause, the SPONSOR shall fail to fulfill in a timely and proper manner its obligations under this Agreement, or violates any of the covenants, agreements, or stipulations of this Agreement, the COUNTY shall thereupon have the right to terminate this Agreement or suspend loan disbursements in whole or part by giving written notice to the SPONSOR of such termination or suspension of loan disbursements and specify the effective date thereof, at least five (5) working days before the effective date of termination or suspension. See Section VII. G. — Corrective Action for escalation steps leading to suspension or termination for non-compliance. If loan disbursements are withheld, Community and Human Services Division staff shall specify in writing the actions that must be taken by the SPONSOR as a condition precedent to resumption of loan disbursements and shall specify a reasonable date for compliance. Sufficient cause for suspension of loan disbursements shall include,but not be limited to: * Ineffective use of funds. * Failure to comply with Section II, Scope of Service of this Agreement. * Failure to submit periodic reports as determined by the COUNTY. J. PURCHASING All purchasing for services and goods, including capital equipment, shall be made by purchase order or by a written contract and in conformity with the thresholds of Collier County Purchasing Policy. Purchasing Threshold Policy Dollar Range($) Quotes Under$3K 1 Written Quote $3K to $50K 3 Written Quotes Request for Proposal (RFP) Above$50K Invitation for Bid(IFB) VIII. ADMINISTRATIVE REQUIREMENTS A. RECORDS TO BE MAINTAINED The SPONSOR shall maintain all records required by the COUNTY that are pertinent to the activities to be funded under this Agreement as established in Exhibit B (Rental Rehabilitation Project Requirements). B. RETENTION 8 Packet Page-1400- �� 6/28/2016 16.D.17. The SPONSOR shall retain all records pertinent to expenditures incurred under this Agreement for a period of five (5) fiscal years after the funds have been expended and accounted for, provided applicable audits have been released. Notwithstanding the above, if there is litigation, claims, audits,negotiations or other actions that involve any of the records cited and that have started before the expiration of the five-year period, then such records must be retained until completion of the actions and resolution of all issues, or the expiration of the ten-year period,whichever occurs later. C. DISCLOSURE The SPONSOR shall maintain records in accordance with Florida's Public Information Law(F.S. 119). D. CLOSEOUTS The SPONSOR's obligation to the COUNTY shall not end until all closeout requirements are completed. Activities during this closeout period shall include,but not be limited to: disposing of program assets (including the return of all unused materials, equipment, program income balances, and receivable accounts to the COUNTY), close out monitoring and determining the custodianship of records. In addition to the records retention outlined in Section VIII.B, the SPONSOR shall comply with Section 119.021 Florida Statutes regarding records maintenance, preservation and retention. A conflict between state and federal law records retention requirements will result in the more stringent law being applied such that the record must be held for the longer duration. Any balance of unexpended funds which have been disbursed must be returned to the County. Any funds paid in excess of the amount to which the SPONSOR is entitled under the terms and conditions of this Agreement must be refunded to the COUNTY. The SPONSOR shall also produce records and information that complies with Section 215.97, Florida Single Audit Act. At the time of closeout, if not already done, the County shall secure a note and mortgage on the property for the amount of SHIP funds invested. The SPONSOR shall be responsible for ongoing reporting, subject to onsite monitoring, tenant income qualification activities and continued use for a period of 15 years. E. AUDITS AND INSPECTIONS 1. Audits Pursuant to Florida Statute 215.97(6) (Florida Single Audit Act), in the event that the SPONSOR expends a total amount of State awards equal to or in excess of$500,000 in any fiscal year of such SPONSOR, the SPONSOR must have a State single or project-specific audit for such fiscal year in accordance with Section 215.97, Florida Statutes; applicable rules of the Executive Office of the Governor and the Comptroller, and Chapter 10.650,Rules of the Auditor General. In connection with these audit requirements, the SPONSOR shall ensure that the audit complies with the requirements of Section 215.97(7), Florida Statutes. This includes submission of a reporting package as defined by Section 215.97(2)(d), Florida Statutes, and Chapter 10.650, Rules of the Auditor General. The financial reporting 9 C' Packet Page -1401- 6/28/2016 16.D.17. package must be delivered to the COUNTY within 45 days after delivery of the financial reporting package to the SPONSOR but no later than 180 days after the SPONSOR's fiscal year end. Submit the financial reporting package and Exhibit G to the Grant Coordinator. If the SPONSOR expends less than $500,000 in State awards in its fiscal year, an audit conducted in accordance with the provisions of Section 215.97,Florida Statutes,is not required. In the event that the SPONSOR expends less than $500,000 in State awards in its fiscal year and elects to have an audit conducted in accordance with the provision of Section 215.97, Florida Statutes, the cost of the audit must be paid from non-State funds. 2. Inspections The SPONSOR'S records with respect to any matters covered by this Agreement shall be made available to the COUNTY and/or the FHFC at any time during normal business hours, as often as the COUNTY or the FHFC deems necessary, to audit, examine,and make excerpts or transcripts of all relevant data. F. MONITORING The SPONSOR agrees that CHS will carry out no less than one (1) annual on-site monitoring visit and evaluation activities as determined necessary for a period of fifteen (15) years. At the COUNTY's discretion, a desk top review of the activities may be conducted in lieu of an on-site visit. The continuation of this Agreement is dependent upon satisfactory evaluations. The SPONSOR shall, upon the request of CHS, submit information and status reports required by CHS to enable CHS to evaluate said progress and to allow for completion of reports required. The SPONSOR shall allow CHS to monitor the SPONSOR on site. Such site visits may be scheduled or unscheduled as determined by CHS. The COUNTY will monitor the performance of the SPONSOR based on goals and performance standards as stated with all other applicable federal, state and local laws, regulations, and policies governing the funds provided under this Agreement. Substandard performance, as determined by the COUNTY, will constitute noncompliance with this Agreement. If corrective action is not taken by the SPONSOR within a reasonable period of time after being notified by the COUNTY, contract suspension or termination procedures will be initiated. The SPONSOR agrees to provide the COUNTY, or the COUNTY's internal auditor(s) access to all records related to performance of activities in this agreement. G. CORRECTIVE ACTION Corrective action plans may be required for noncompliance, nonperformance, or unacceptable performance under this Agreement. Penalties may be imposed for failures to implement or to make acceptable progress on such corrective action plans. In order to effectively enforce Resolution 2013-228, Community and Human Services (CHS) Division has adopted an escalation policy to ensure continued compliance by recipients, SPONSORS, or any entity receiving grant funds from CHS. CHS's policy 10 Packet Page-1402- 6/28/2016 16.D.17. for escalation for non-compliance is as follows: 1. Initial non-compliance may result in Findings or Concerns being issued to the entity and will require a corrective action plan be submitted to the Division within 15 days following the monitoring visit. • Any pay requests that have been submitted to the Division for payment will be held until the corrective action plan has been submitted. • CHS will be available to provide Technical Assistance (TA) to the entity as needed in order to correct the non-compliance issue. 2. If in the case an Entity fails to submit the corrective action plan in a timely manner to the Division, the Division may require a portion of the awarded grant amount be returned to the Division. • The Division may require upwards of five percent (5%) of the awarded amount be returned to the Division, at the discretion of the CHS Director. • The entity may be considered in violation of Resolution 2013-228. 3. If in the case an Entity continues to fail to correct the outstanding issue or repeats an issue that was previously corrected, and has been informed by the Division of their substantial non-compliance,by certified mail;the Division may require a portion of the awarded grant amount be returned to the Division. • The Division may require upwards of ten percent (10%) of the awarded amount be returned to the Division,at the discretion of the CHS Director. • The entity will be considered in violation of Resolution 2013-228 4. If in the case after repeated notification the Entity continues to be substantially non-compliant, the Division may recommend the contract or award be terminated. • The Division will make a recommendation to the Board of County Commissioners to immediately terminate the agreement or contract. The Entity will be required to repay all funds disbursed by the County for project that was terminated. The entity will be considered in violation of Resolution No. 2013-228 If in the case the Entity has multiple agreements with the Division and is found to be non-compliant, the above sanctions may be imposed across all awards at the Director's discretion. H. DISBURSEMENT PROCEDURES Packet Page-1403- 6/28/2016 16.D.17. The Sponsor will retain a Licensed General Contractor, Architect and/or . Inspector who will perform a review and inspection of the Project prior to each additional disbursement following the initial loan disbursement, verifying that the costs claimed are allowable, unit rehabilitation is satisfactory, and reports are timely as outlined under the provisions of this Agreement. Failure to submit required progress reports in accordance with Exhibit D may result in disbursement delays as determined by Community and Human Services. I. PROGRESS REPORTS The SPONSOR shall submit regular Quarterly Progress Report (Exhibit F) to the COUNTY in the form,content and frequency required by the COUNTY. IX. CIVIL RIGHTS COMPLIANCE The SPONSOR agrees that no person shall, on the ground of race, creed, color, religion, national origin, sex, handicap, familial status, marital status or age be excluded from the benefits of, or be subjected to discrimination under any activity carried out by the SPONSOR in performance of this Agreement. Upon receipt of evidence of such discrimination, the COUNTY shall have the right to terminate this Agreement. The SPONSOR will take affirmative action to ensure that all employment practices are free from such discrimination. Such employment practices include but are not limited to the following: hiring, upgrading, demotion, transfer, recruitment or recruitment advertising, layoff, termination, rate of pay or other forms of compensation, and selection for training, including apprenticeship. The SPONSOR agrees to post in conspicuous places, available to employees and applicants for employment, notices setting forth the provisions of this nondiscrimination clause. X. PROHIBITED ACTIVITY The SPONSOR is prohibited from using funds provided herein or personnel employed in the administration of the program for: political activities; sectarian or religious activities; lobbying, political patronage, and nepotism activities. XI. SEVERABILITY OF PROVISIONS If any provision of this Agreement is held invalid, the remainder of this Agreement shall not be affected thereby, if such remainder would then continue to conform to the terms and requirements of applicable law. XII. AVAILABILITY OF FUNDS The parties acknowledge that the Funds originate from SHIP grant funds from FHFC and must be implemented in full compliance with all of SHIP rules and regulations and any agreement between COUNTY and FHFC governing FHFC funds pertaining to this Agreement. In the event of curtailment or non-production of said state funds, the financial sources necessary to continue to pay the SPONSOR all or any portions of the funds will not be available, In that event, the COUNTY may terminate this Agreement, which termination shall be effective as of 12 Packet Page-1404- 6/28/2016 16.D.17. the date that it is determined by the County Manager or designee, in his-her sole discretion and judgment, that the funds are no longer available. In the event of such termination, the SPONSOR agrees that it will not look to, nor seek to hold the COUNTY, nor any individual member of the County Commissioners and/or County Administration, personally liable for the performance of this Agreement, and the COUNTY shall be released from any further liability to the SPONSOR under the terms of this Agreement. XIII. DEFAULTS,REMEDIES,AND TERMINATION This Agreement may also be terminated for convenience by either the County or the SPONSOR, in whole or in part, by setting forth the reasons for such termination, the effective date, and, in the case of partial terminations, the portion to be terminated. However, if in the case of a partial termination, the County determined that the remaining portion of the award will not accomplish the purpose for which the award was made, the County may terminate the award in its entirety. The following actions or inactions by the SPONSOR shall constitute a Default under this Agreement: A. Failure to comply with any of the rules, regulations or provisions referred to herein, or such statutes, regulations, executive orders, and SHIP guidelines, policies or directives as may become applicable at any time; B. Failure, for any reason, of the SPONSOR to fulfill, in a timely and proper manner, its obligations under this Agreement; C. Ineffective or improper use of funds provided under this Agreement; D. Submission, by the SPONSOR to the COUNTY, of reports that are incorrect or incomplete in any material respect. E. Submission by the SPONSOR of any false certification; F. Failure to materially comply with any terms of this Agreement; G. Failure to materially comply with the terms of any other agreement between the County and the SPONSOR relating to the project. In the event of any default by the SPONSOR under this Agreement, the County may seek any combination of one or more of the following remedies: 1. Require specific performance of the Agreement, in whole or in part; 2. Require the use of,or change in,professional property management; 3. Require immediate repayment by the SPONSOR to the County of all SHIP funds the SPONSOR has received under this Agreement; 4. Apply sanctions, if determined by the County to be applicable; 13 Packet Page -1405- 6-7) 6/28/2016 16.D.17. 5. Stop all payments,until identified deficiencies are corrected; 6. Terminate this Agreement by giving written notice to the SPONSOR of such termination and specifying the effective date of such termination. If the Agreement is terminated by the County as provided herein, the SPONSOR shall have no claim of payment or claim of benefit for any incomplete project activities undertaken under this Agreement. XIV. OPPORTUNITIES FOR RESIDENTS To the greatest extent feasible, lower-income residents of the project areas shall be given opportunities for training and employment; and to the greatest feasible extent eligible business concerns Iocated in or owned in substantial part by persons residing in the project areas shall be awarded contracts in connection with the project.The SPONSOR is encouraged to comply with Section 3 of the Housing and Community Development Act of 1968. XV. OPPORTUNITIES FOR SMALL AND MINORITY/WOMEN OWNED BUSINESS ENTERPRISES The SPONSOR will use its best efforts to afford small businesses, minority business enterprises, and women's business enterprises the maximum practicable opportunity to participate in the performance of this contract. As used in this contract, the terms "small ,^ business"means a business that meets the criteria set forth in section 3(a) of the Small Business Act, as amended (15 U.S.C. 632), and "minority and women's business enterprise" means a business at least fifty-one (51) percent owned and controlled by minority group members or women. For the purpose of this definition, "minority group members" are Afro-Americans, Spanish-speaking, Spanish surnamed or Spanish-heritage Americans, Asian-Americans, and American Indians. The SPONSOR may rely on written representations by businesses regarding their status as minority and female business enterprises, in lieu of an independent investigation. XVI. AFFIRMATIVE ACTION The SPONSOR agrees that it shall be committed to carry out pursuant to the COUNTY's specifications an Affirmative Action Program in keeping with the principles as provided in President's Executive Order 11246 of September 24, 1966. The COUNTY shall provide Affirmative Action guidelines to the SPONSOR to assist in the formulation of such program. Prior to the award of funds, the SPONSOR shall submit for approval, a plan for an Affirmative Action Program. The Affirmative Action Program will need to be updated throughout the fifteen year affordability period and must be re-submitted to County within 30 days of each update/modification. XVII. CONFLICT OF INTEREST The SPONSOR covenants that no person under its employ who presently exercises any functions or responsibilities in connection with the Project, has any personal financial interest, 14C'1" ,\ Packet Page -1406- 6/28/2016 16.D.17. direct or indirect, in the Project areas or any parcels therein, which would conflict in any manner or degree with the performance of this Agreement and that no person having any conflict of interest shall be employed by or subcontracted by the SPONSOR. The SPONSOR covenants that it will comply with all provisions of FL 287.057 "Conflict of Interest", and 2 CFR 200.318, and any additional State and County statutes, regulations, ordinance or resolutions governing conflicts of interest. Any possible conflict of interest on the part of the SPONSOR or its employees shall be disclosed, in writing, to CHS provided,however,that this paragraph shall be interpreted in such a manner so as not to unreasonably impede the statutory requirement that maximum opportunity be provided for employment of and participation of low and moderate-income residents of the project target area. The SPONSOR will notify the COUNTY, in writing, and seek COUNTY approval, prior to entering into any contract with an entity owned, in whole or in part, by a covered person or an entity owned or controlled, in whole or in part, by the SPONSOR. The COUNTY may review the proposed contract to ensure that the contractor is qualified and that the costs are reasonable. Approval of an identity of interest contract will be in the COUNTY's sole discretion. This provision is not intended to limit the SPONSOR's ability to self-manage the projects using its own employees. XVIII.INCIDENT REPORTING If services to clients are to be provided under this agreement, the SPONSOR and any subcontractors shall report knowledge or reasonable suspicion of abuse,neglect, or exploitation F of a child, aged person, or disabled adult to the County. XIX. RELIGIOUS ORGANIZATIONS State funds may be used by religious organizations or on property owned by religious organizations only in accordance with requirements set in Florida Statue, Chapter 196.011,The SPONSOR shall comply with First Amendment Church/State principles as follows: A. It will not discriminate against any employee or applicant for employment on the basis of religion and will not limit employment or give preference in employment to persons on the basis of religion. B. It will not discriminate against any person applying for public services on the basis of religion and will not limit such services or give preference to persons on the basis of religion. C. It will retain its independence from Federal, State and Local Governments and may continue to carry out its mission, including the definition,practice and expression of its religious beliefs, provided that it does not use direct State funds to support any inherently religious activities, such as worship,religious instruction or proselytizing. D. The funds shall not be used for the acquisition, construction or rehabilitation of structures to the extent that those structures are used for inherently religious activities. Where a structure is used for both eligible and inherently religious activities, SHIP 15 Packet Page -1407- nio 6/28/2016 16.D.17. funds may not exceed the cost of those portions of the acquisition, construction or rehabilitation that are attributable to eligible activities in accordance with the cost accounting requirements applicable to SHIP funds in this part. Sanctuaries, chapels, or other rooms that a SHIP funded religious congregation uses as its principal place of worship,however, are ineligible for SHIP funded improvements. XX. NATURAL DISASTER In the event of a natural disaster, this Agreement may be suspended or terminated and funds transferred to recovery activities as determined by the COUNTY. Funds subject to this provision shall be those that are not contractually committed for construction, design or other such third party private vendors. XXI. ENFORCEMENT OF AGREEMENT The benefits of this Agreement shall inure to, and may be enforced by the COUNTY for the duration of the Agreement,whether or not the COUNTY shall continue to be the holder of the Mortgage, whether or not the Project loan may be paid in full, and whether or not any bonds issued for the purpose of providing funds for the project are outstanding. The SPONSOR warrants that it has not, and will not, execute any other agreement with provisions contradictory to, or in opposition to, the provisions hereof, and that, in any event, the requirements of this Agreement are paramount and controlling as to the rights and obligations herein set forth and supersede any other requirements in conflict herewith. However, this shall not preclude the COUNTY from subordinating its loan to construction financing. XXII. ACQUISITION,RELOCATION,AND DISPLACEMENT: The SPONSOR acknowledges that the SPONSOR will bear sole responsibility for any costs or reimbursements, legal or otherwise, from person or persons claiming that they have been involuntarily displaced by the acquisition of real property associated with development of the Project. XXIII. COPYRIGHTS AND PATENTS If this Agreement results in a book or other copyright materials or patent materials, The SPONSOR may copyright or patent such, but Collier COUNTY and the State of Florida reserve a royalty-free, nonexclusive, and irrevocable license to reproduce, publish or otherwise use such materials and to authorize others to do so. XXIV. FORCE MAJURE The SPONSOR covenants and agrees that subject to matters of force majeure the work shall be completed on or before Twelve (12) months from the date of this Agreement. This Agreement shall be amended between the COUNTY and the SPONSOR when all permits have been issued to set forth and determine the date of commencement of the work. Matters of force majeure shall include, but not necessarily be limited to bonafide weather disturbances, strikes, shortages of material, governmental delays, exclusive of those caused by or as a result of the fault of the Construction Manager, and those matters over which the Construction Manager has no control. Force maj cure shall not be construed to reduce the obligation of the SPONSOR to timely 16 Packet Page-1408- 6/28/2016 16.D.17. complete the project because of the failure of contractors and subcontractors to timely complete their work,unless such delay is within the definition of the term force maj eure. XXV. COUNTERPARTS OF THE AGREEMENT This Agreement, consisting of thirty (30) enumerated pages and the exhibits and attachments referenced herein, shall be executed in two counterparts, each of which shall be deemed to be an original,and such counterparts will constitute one and the same instrument. IN WITNESS WHEREOF,the SPONSOR and the County,have each,respectively, by an authorized person or agent,hereunder set their hands and seals on the date first written above. ATTEST: DWIGHT E.BROCK,CLERK BOARD OF COUNTY COMMISSIONERS OF COLLIER COUNTY,FLORIDA ,Deputy Clerk By: DONNA FIALA, CHAIRMAN Dated: (SEAL) Date Big Cypress Housing Corporation By: Signature Steve Kirk,President Date Approved as to form and legality: �`t11 Jennifer A. Belpedio u Assistant County Attorney 17 Packet Page -1409- 6/28/2016 16.D.17. A EXHIBIT A { INSURANCE REQUIREMENTS The SPONSOR shall furnish to Collier County, c/o Community and Human Services Division, 3339 E. Tamiami Trail, Suite 211, Naples, Florida 34112, Certificate(s) of Insurance evidencing insurance coverage that meets the requirements as outlined below: 1. Workers' Compensation as required by Chapter 440,Florida Statutes. 2. Commercial General Liability including products and completed operations insurance in the amount of$1,000,000 per occurrence and $2,000,000 aggregate. Collier County must be shown as an additional insured, with respect to this coverage. 3. Automobile Liability Insurance covering all owned, non-owned and hired vehicles used in connection with this contract in an amount not less than $1,000,000 combined single limit for combined Bodily Injury and Property Damage. Collier County shall be named as an additional insured. DESIGN STAGE(IF APPLICABLE) In addition to the insurance required in 1 — 3 above, a Certificate of Insurance must be provided as follows: 4. Professional Liability Insurance in the name of the SPONSOR or the licensed design professional employed by the SPONSOR, in an amount not less than $1,000,000 per occurrence/$1,000,000 aggregate, providing for all sums which the SPONSOR and/or the design professional shall become legally obligated to pay as damages for claims arising out of the services performed by the SPONSOR or any person employed by the SPONSOR, in connection with this contract. This insurance shall be maintained for a period of two (2)years after the certificate of Occupancy is issued. Collier County shall be named as an additional insured. CONSTRUCTION PHASE(IF APPLICABLE) In addition to the insurance required in 1 — 4 above, the SUBRECIPEINT shall provide or cause its Subcontractors to provide original certificates indicating the following types of insurance coverage prior to any construction: 5. Completed Value Builder's Risk Insurance on an"All Risk" basis in an amount not less than one hundred (100%) percent of the insurable value of the building(s) or structure(s). The policy shall be in the name of Collier County and the SPONSOR. 6. In accordance with the requirements of the Flood Disaster Protection Act of 1973 (42 U.S.C. 4001),the SPONSOR shall assure that for activities located in an area identified 18 Packet Page -1410- 6/28/2016 16.D.17. by the Federal Emergency Management(FEMA) as having special flood hazards, flood insurance under the National Flood Insurance Program is obtained and maintained as a condition of financial assistance for acquisition or construction purposes (including rehabilitation). OPERATION/MANAGEMENT PHASE(IF APPLICABLE) After the Construction Phase is completed and occupancy begins,the following insurance must be kept in force throughout the duration of the loan and/or contract: 7. Workers' Compensation as required by Chapter 440,Florida Statutes. 8. Commercial General Liability including products and completed operations insurance in the amount of$1,000,000 per occurrence and $2,000,000 aggregate. Collier County must be shown as an additional insured with respect to this coverage. 9. Automobile Liability Insurance covering all owned, non-owned and hired vehicles used in connection with this contract in an amount not less than $1,000,000 combined single limit for combined Bodily Injury and Property Damage. Collier County as an additional insured. 10. Property Insurance coverage on an "All Risk" basis in an amount not less than one hundred(100%) of the replacement cost of the property. Collier County must be shown as a Loss payee with respect to this coverage A.T.I.M.A. 11. Flood Insurance coverage for those properties found to be within a flood hazard zone for the full replacement values of the structure(s) or the maximum amount of coverage available through the National Flood Insurance Program(NFIP). The policy must show Collier County as a Loss Payee A.T.I.M.A. 1 Packet Pagg e -1411- `�� 6/28/2016 16.D.17. EXHIBIT B I` RENTAL REHABILITION PROJECT REQUIREMENTS The Project is for the rehabilitation of existing affordable residential rental housing in accordance with the SHIP Program and the Collier County LHAP FY 2013-2016. The SPONSOR shall perform the following activity under this agreement: a) Rehabilitate existing rental property 1) Affordability of SHIP -Assisted Units: For the duration of the Affordability Period(15 years), as defined in the Note and Mortgage/Land Use Restriction Agreement(LURA) of even date, a minimum of forty(40)units in the Project shall be SHIP-Assisted units. All SHIP-Assisted units in the Project shall be fixed and rented or held available for rental on a continuous basis to persons or families who, at the commencement of occupancy shall have a verified annual income that does not exceed 50% of the Area Median Income (AMI), as defined by the Department of Housing and Urban Development(HUD). Rents on these units shall be restricted to the SHIP Program rent limits. Maximum eligible income and rent limits are revised annually and are available from the COUNTY. The SPONSOR covenants that a minimum of forty (40) of the units will be rented to income- eligible tenants as defined by the Department of Housing and Urban Development (HUD). All units carry rent and occupancy restrictions until June 1, 2031, which remain in force regardless of transfer of ownership and shall be in accordance with the LURA( incorporated by reference) and Section V of this agreement. SHIP-Assisted units shall be reserved for and rented to households which qualify for the following: SHIP-Assisted Units According to Income Limits Income Limits Number SHIP-Assisted Units <50% -Very Low 40 Total of Units(Minimum) 40 *Units divided into income category according to SHIP-Assisted units under affordability period. This Agreement incorporates, by reference, terms and conditions described in the Mortgage and Note of even date and any other agreements enforcing the SHIP requirements associated with said Mortgage and Note. The budget for the Project is estimated to be ($500,000.00) (FIVE HUNDRED DOLLARS), is provided by the COUNTY through the SHIP PROGRAM. Project construction will commence and be completed as defined, and set forth in the affordable housing development schedule 20ejek Packet Page-1412- 6/28/2016 16.D.17. incorporated by reference. In no event will rehabilitation commence later than 120 days from the date of this agreement nor will rehabilitation be completed later than 24 months from the date of this agreement. Rehabilitation will progress in accordance with the construction schedule submitted by the SPONSOR to obtain financing. 2.) Compliance: The SPONSOR shall determine and verify the income eligibility of tenants in accordance with HUD Section 8 housing assistance programs in 24 CFR Part 5 for the Project. Income shall be calculated by annualizing verified sources of income for the household as the amount of income to be received by a household, during the 12 months, following the effective date of the determination. The Annual Gross Income, as defined in Section 420.9071(4), F.S, must be used and the SHIP Program income limits cannot be exceeded. The SPONSOR shall maintain complete and accurate income records pertaining to each tenant occupying a SHIP-assisted unit. Onsite inspections will be conducted annually upon reasonable prior written notice to verify compliance with tenant income, rents and the minimum property standards as stated in Section 420.907-420.9079, Florida Statutes and Rule 67-37, Florida Administrative Code, as they may be amended from time to time. 3.) Restriction on Use: The SPONSOR is required to comply with all applicable program requirements of the State Housing Initiatives Partnership (SHIP) Program, including but not limited to Section 420.907-420.9079, Florida Statutes and Rule 67-37, Florida Administrative Code. Any or all of these regulations may, but are not required to, be specifically set forth in any additional loan documents executed in connection with the Loan. The SPONSOR shall include such language as the County may require in any agreements with prospective tenants of the Project, or any portion,thereof to evidence such requirements. 4.) Default of Subordinate Mortgage: The Subordinate Mortgage and Note shall provide that a default shall occur if: a. Sale; if proceeds are not sufficient to pay off the mortgage note,then the property owner (not-for-profit or for profit)may contact the County regarding a settlement amount of the SHIP loan. b. Title transfer, either voluntarily or by operation of law, divested of title by judicial sale, levy or other proceedings,including foreclosure or Deed in Lieu. c. Refinance;a refinance of the first mortgage may be approved without repayment if the request is submitted in writing and the refinance is at a lower fixed rate,with no cash out, in accordance with the"Subordination Policy". d. Property will no longer serve the intended target population. e. Repayment of the loan is required in full when any of the aforementioned conditions is met. Other defaults that may trigger repayment, if not cured within any applicable cure or notice period following a monitoring: 21 P3 Packet Page -1413- 6/28/2016 16.D.17. f. Lack of compliance by the SPONSOR with the State statutes or County Codes, which has not been corrected within thirty days of written notice from the County; g. The SPONSOR has not begun to offer not less than (40) affordable rental housing to extremely— low income families and individuals, in accordance with the provisions of Part 1 of Exhibit B on or before, (June 30,2018); h. The SPONSOR abandons, and/or ceases to use the Property as affordable rental housing to tenants,without the prior written approval of the County; Subject to the rights of USDA Rural Development as First Mortgagee, and Florida Housing as Second Mortgagee, the outstanding Loan balance shall become due and payable upon default of this Agreement,the Mortgage or the Note, if not cured within any applicable cure or notice period. 5. Assurance of Public Purpose: The SPONSOR covenants that if the SPONSOR is unable or unwilling to develop the property in accordance with the terms and conditions incorporated herein, no lease, sale, or title transfer to any third party shall occur prior to giving the COUNTY, a 90 (Ninety) day notification, during which time the COUNTY shall have the right, solely at the COUNTY'S discretion, to purchase or find another SPONSOR to purchase the Project, in order to carry out the eligible activities of the SHIP Program, for an amount not to exceed the amount of funds provided by the COUNTY through the Program. 6. Affirmative Marketing: The SPONSOR shall adopt appropriate procedures for affirmatively marketing the SHIP-assisted units. Affirmative marketing consists of good faith efforts to provide information and otherwise to attract to the available housing, eligible persons from all racial, ethnic and gender groups in the housing market area. The SPONSOR shall be required to use affirmative fair housing marketing practices in soliciting renters, determining eligibility, concluding transactions, and affirmatively further fair housing efforts. The SPONSOR must maintain a file containing all marketing efforts (i.e. copies of newspaper ads, memos of phone calls, copies of letters, etc.) to be available for inspection on request by the COUNTY. The SPONSOR must provide a description of intended actions that will inform and otherwise attract eligible persons from all racial, ethnic, and gender groups in the housing market of the available housing. The SPONSOR must provide the COUNTY with an assessment of the affirmative marketing program. Assessment must include: a)methods used to inform the public and potential renters about federal fair housing laws and affirmative marketing policy, b) methods used to inform and solicit applications from persons in the housing market who are not likely to apply without special outreach; and c) records describing actions taken by the participating entity and/or owner to affirmatively market units; and records to assess the results of these actions. 7, Tenant Leases and Protections: Tenants applying for rental housing units shall be qualified on a first-qualified, first-served basis. Tenants must be income-eligible and must occupy the rental unit as a primary residence. The SPONSOR shall comply with the provisions of the Florida Landlord Tenant Act defined in Chapter 83 Part II of the Florida Statutes, SHIP Program, and COUNTY requirements,which prohibit certain lease terms. All tenant leases for assisted units shall be expressly subordinate to the Mortgage and shall contain clauses, among others, wherein each individual lessee: A. Agrees that the household income, household composition and other eligibility requirements shall be deemed substantial and material obligations of the tenancy; that 22 Packet Page-1414- P, 6/28/2016 16.D.17. the tenant will comply promptly with all requests for information with respect thereto from the SPONSOR or the COUNTY, and that tenant's failure to provide accurate information about household income or refusal to comply with a request for information with respect thereto shall be deemed a violation of a substantial obligation of his/her tenancy; and B. Agrees not to sublease to any person or family who does not meet income qualifications as determined,verified, and certified by the SPONSOR; and C. States that the rental unit is the primary residence of the tenant; and D. Agrees that the lease shall be for a one-year period, unless other terms are mutually agreed upon by the SPONSOR and tenant. The SPONSOR will submit to the County, a copy of the tenant/owner lease agreement. Prior to signing by the tenant, the lease will be reviewed for compliance with affirmative marketing, tenant selection and SHIP provisions stated in Section 420.907-420.9079,Florida Statues and Rule 67-37, Florida Administrative Code. 8. Project Requirements: The SPONSOR agrees to not undertake any activity that may adversely affect historic or environmental sensitivity of the site and to mitigate any findings identified in an environmental assessment. The SPONSOR agrees that in the event that the Project is located in a �-.. Designated Flood Zone, all government requirements for construction in a flood zone shall be satisfied. The SPONSOR shall develop and submit to CHS,within 30 days of contract execution,a rehabilitation schedule to include the following: Project rehabilitation will commence and be completed in accordance with the schedule submitted and in no event will rehabilitation commence later than 120 days from the date of this Agreement nor will the project be completed later than 24 months from the execution date of this agreement. Further, "project completion date" will mean issuance of all certificates of occupancy and completion of initial lease-up. TENTATIVE SCHEDULE (Not a Condition of Disbursement) Initial Plans and Permitting Approvals August 30,2016 Bid Solicitation October 1,2016- Initial subcontractor bids (BCHC projects multiple bids to be awarded due completed. to types of rehabilitation work to be performed) Exterior/Interior Work Commenced September 30, 2016 Construction Completed No later than June 30,2018 9. Property Standards: The SPONSOR attests that the Project will meet the standards of the Florida Building Code and all applicable local codes, standards,ordinances, and zoning ordinances ^ at the time of project completion and throughout the duration of the affordability period. The Project will also meet the accessibility requirements at 24 CFR part 8,which implements Section 504 of the 23 Packet Page -1415- 0 6/28/2016 16.D.17. Rehabilitation Act of 1973 (29 U.S.C. 794) and covered multifamily dwellings, as defined at 24 CFR 100.201, and the design and construction requirements at 24 CFR 100.205,which implement the Fair Housing Act(42 U.S.C. 3601-3619). In accordance with the Local Housing Assistance Plan, a sponsor shall follow each SHIP Program strategy program requirements below: Energy Efficient Best Practices: Section 420.9075(3)(d),F.S. defines Energy Efficient Best Practices as: Innovative design, green building principles,storm resistant construction or other elements that reduce long term costs relating to maintenance,utilities or insurance. Collier County requires the use or inclusion,when appropriate, of the following: energy star appliances;low-E windows; additional insulation(for increased R-value); ceramic tile;tank-less water heater; 14 and 15 SEER air conditioning units; stucco; florescent light bulbs; and impact resistant windows and doors. 10. Property Management: The COUNTY reserves the right to require the SPONSOR to enter into a contract with a property management firm approved by the COUNTY, for professional management services for the Property providing for leasing,collection of rents,maintenance and repair of Property,and other property management tasks as the COUNTY may require. Such contract shall stipulate that the contract will not be amended or terminated without prior written consent of the COUNTY. 24 Packet Page -1416- � '` 6/28/2016 16.D.17. EXHIBIT C Budget Narrative Rental Rehabilitation The total SHIP allocation to the SPONSOR for the Rental Rehabilitation,Program shall not exceed • ONE MILLION DOLLARS ($500,000.00). Sources for these funds are as follows: .:Fiscal Xear; R ental Rehab Total 2014-2015 $500,000.00 $500,000.00 Total Fundis $5'00,000 00. $500,000.00 Uses of these funds are as follows: Funds shall be disbursed in the following manner for the following uses: 1. Rehabilitation expenditure per dwelling unit: The expenditure per dwelling unit may not exceed$ 30, 000 2. Rehabilitation expenditure per property shall not exceed$500,000. 3. The initial disbursement will be issued following execution of agreement. 4. Sponsor shall provide proof of expenditures to equal the initial loan disbursement prior to receiving the second loan disbursement. 25 1::N\Packet Page -1417-. 6/28/2016 16.D.17. EXHIBIT D REPORTS Report Title Documentation Required Due Date Quarterly Report Progress report detailing 10 days after the end of the accomplishments calendar quarter Invoice for Loan Disbursement Exhibit E and all necessary 30 days after the end of the Reconciliation supporting documentation preceding month Loan Disbursement Request Exhibit E,Promissory Note and 2x during grant period(initial Mortgage(initial request) request 30 days following grant execution) Insurance Proof of coverage in accordance Annually within 30 days after with Exhibit A/Declaration page renewal SPONSOR Audit Audit report,Management Within 9 months after the end of Letter and Exhibit G the SPONSOR fiscal year through 2031 Quarterly Operating Statement Revenue and Expense and all 10 days after the end of the necessary supporting calendar quarter documentation as requested Tenant/Lease Agreement Lease Submit prior to signing by first tenant and any addendums or changes thereafter through the period of affordability Special Grant Policies See Section III(B) Within 60 days of contract execution Project Schedule See Section III (A) Within 30 days of contract execution 26 Packet Page-1418- 6/28/2016 16.D.17. EXHIBIT "E" COLLIER COUNTY COMMUNITY AND HUMAN SERVICES REQUEST FOR LOAN DISBURSEMENT . SECTION I: REQUEST FOR DISBURSEMENT Sponsor Name: Big Cypress Housing Corporation Sponsor Address: 19308 SW 380th Street,Florida City,FL 33034 Project Name: Main Street Village Project No: Disbursement Request# Total Disbursement : Period of Availability: The Agency has incurred the indebtedness listed below between and SECTION II: STATUS OF FUNDS 1. Grant Amount Awarded $0.00 2. Sum of Past Claims Paid on this Account $0.00 3. Total Grant Amount Awarded Less Sum Of Past Claims Paid on this Account $0.00 .-. 4. Amount of Previous Unpaid Requests 5. Amount of Today's Request 6. Current Grant Balance(Initial Grant Amount Awarded Less Sum of all requests) $0.00 I certify that this request for disbursement has been made in accordance with the terms and conditions of the Agreement between the COUNTY and us as the SPONSOR. To the best of my knowledge and belief, all grant requirements have been followed. Signature Date Title Authorizing Grant Authorizing Grant Coordinator Accountant Supervisor Department Director (approval required$15,000 and above) (approval required$15,000 and above) 27 Packet Page-1419- 6/28/2016 16.D.17. EXHIBIT"F" QUARTERLY PROGRESS REPORT Complete form for preceding quarter and submit to Community and Human Services staff by the 10th of the following quarterly month. Status Report for the Quarter Ending: Submittal Date: Project Name: Project Number: SPONSOR: Big Cypress Housing Corporation Contact Person: Telephone: Fax: E-mail: PROPERTY UNIT DATA Number of units under rehab this period Number of units completed this period Number of units completed to date EXPENDITURE DATA Amount of funds expended this period Amount of funds expended to date New Contracts executed this period Name of Contractor Address Amount of Contract Income Date Client Income Category Income Amount What events/actions are scheduled for the next month? Identify any issues that may cause delay in meeting scheduled expenditure deadline dates. Date Signature 28 Packet Page-1420- 6/28/2016 16.D.17. eti°1 EXHIBIT "G" ANNUAL AUDIT MONITORING REPORT monitorCircular 2 CFR 200.500 requires Collier County to .. federal awards to determine if SPONSOR are ....WitlieStabliShed...andiCr000.1.t.00etitS:;::,AcCoroingly;p0ippf.;0?untyHroquires,1110t.all appropriate documentation ••• ...." • • . •• .• ...... ......•••••, ,• ••:•,, . . is.o0r0 00.rogge:Ogyoutlot?r#0000*.cornp ...„.,.................. ,•:z:.:.:;:.:; . ;. .... ..•.• . . . •••••.- •.•• • •••.....••....... ••••••••••••. compliance. ....... ...... ..: , . ..:..r...., • .determining Federal awards expended in a fiscal year, the entity must consider all sourcesFederal,awardstased,..: ....bi7ivvheo:the.4611Vity,f010 .0.t&thef ederal:aWaid-:occurk,..InOlUdinganyfederal',4Ward..p.rOstideq::411bOlilerdetihtYilheir.;•i • determination of amounts of Federal awards expended shall be in accordance with the guidelines established by.... .............. IlCircular A;.1•33;:•:Idi.fiadelleara.;-ibeqinniria-before:Decernber16.;:-.:2014,end::6tablished by 2 CFR Part 200. Subpart Audit entsi1,for,.'fiadal;c.yeare'beciinnino.:•cp;•or!;•afteripecertib Or 26, 2014. This form may be used tomonitor '.'.:FlarideSihbleAUdit;Aet-•-•(Stattiteli597);:requirements...y..,:,.... •• . SPONSOR . . ................................... .... . .. :•:,, . . ... . . Name . .. . ... . .. . 1:11YY• ••i ............. ............. .......... Last Date of Fiscal Year(MPJ1/DD/YY) ..... ..,........ ""-"" .............................. .................... .......... .. Total Federal Financial Assistance Expended Total State FinancaI Assistance Expended during most during most recently completed FIscal Year recently completed Fiscal Year ... . ..... ..... ... . ........ . . . . . .... .. •....... . . . • . ................................ .... . ........... ............. •••••''.!: •-• • Check A or B. Check C if applicable. • • The federal/state..-experiditure.threShold:.for our..f.iscat..yoar,-6riding as indicated above has been met and a n • Circular A-133 or:2• CFR Part•200,: Subpart-F.:Single:Audit. has-..beencompleted..-Orwill be completed by • • • • ::.• Copies of the audit report!nd.:manageoent.t!tter:al.o..attachedor.,wiltbepn71ded.w..,!thin. 9 . . : days of completion. . • .•::•:•-: :. : : •• •••: ••• .... ...; • • We are to the tequirementsia•OMB Circtilar.A-1,33 . . ......, . ...:.... : .• Subpart:F because . • • ;. ;,..•::, •:: . • •;.:Q. :0 Didnot exceedthe expenditure thresholdfor.thefiecal year indicated above•• . • •.. •,• • .. •• . 0...;Are•a for-profit organization • : •... ... • ..• ......... :.....:: • . •• • ...;........::: . . . . . . 0• Are.exerript.fOrother.reasons:explain.:•••• • . • • •••• .• • • • '• 'An audited financial statement is attached and if applicable,-thelndependent auditor s.manegernent:lOtter:,•:!.. ••• •.•• ..•: .•• •• •:• ••:• . ; .„.•• . . .•:•:: .•;•••,.. • •;•:. ••: ..•.•••• :• •••:• .......::;;. ••• :•: ..; ..:„ : : :-; •••;•• ..• : . ••••:••••;..• .. . ..•".:..• • •...• •••: •• •••.. •• , . .. ••... . . • • Findings were noted,.a current Status Update of the responses and•correctiya.actiOnsplan is included Separate; from the written response.proVided.within.the audit report..While:We understand that the audit rePort•containS:a ..'.0 ":. written response to•the.finding(s)., we ere.requesting-.an.updated•status of the correctiveaction(s) being•taken. •••• -• Please;do:not provide just•a.copy of thewrittenresponse•from y your.audit report, unless it includes details of. • ..the actions, procedures, policies,etc. implemented and when it was.or,will be implemented. ••;::.;•..:.:• .„:.;;.;.... Certification Statement • • • •••• ...... ........••• ••.......... • ...:".. ....... . ..•. , . ..... ... . ..:. . • ..„:. ....;,.;.. ...... ........ ....... Signature Date Print Name and Title 29 Packet Page -1421- (-9) \-9 6/28/2016 16.D.17. EXHIBIT"H" COLLIER COUNTY CONSTRUCTION REHAB PROGRAM MANUAL OF PRACTICE SELECTIVE REHAB PROCEDURES as may be amended from time to time, REFERENCE DATE: JUNE 24,2014 ITEM# 16D.1 PAGE LEFT BLANK INTENTIONALLY 30 Packet Page -1422- -• 6/28/2016 16.D.17. STATE HOUSING INITIATIVES PARTNERSHIP (SHIP) PROGRAM PROMISSORY NOTE Borrower: Big Cypress Housing Corporation 140 Anhinga Circle Immokalee FL 34142 (Property Address) (City) (State) (Zip) 1. BORROWER(S) PROMISE TO BAY: 'I/We promise to pay Five Hundred Thousand and 00/100 Dollars ($500,000.00) (this amount will be called "principal") to the order of Collier County-SHIP or to any other holder of this Note (the "Lendee"), whose address is 3339 E. Tamiami Trail, Nanles, Florida 34112. I/We understand thethe Lender may transfer the Promissory Note. The Le-der or anyone who takes this Note by transfer and who is entitled to receive payments under this Note will be called the "Note Holder". 2. INTEREST: Interest on this Note shall be zero percent (0%) per annum; except that if I/We fail to pay this Note as required, the interest rate shall be twelve percent (121e per annum from the date when payment of this Note is due until I/We pay it in full. 3. PATAMNTS: Payment in full is due upon sale, title transfer; refinance of the property or property will no longer serve the intended target population within the fifteen year term. If sold, title transferred, refinanced, or property will no longer serve the intended target population after the fifteen year term, no repayment is required. As long as the borrower continues to own and occupy the assisted property during the tern of the mortgage, then the loan will not have to be repaid. My/Our total payment shall be U.S. 8500,000.00. 4. BORROWER'S RIGHT TO PREPAY: I/We have the right to make payments of principal at any time before they are due. A payment of principal only is known as a "prepayment". When I/We make a prepayment, I/we will tell the Note Holder in writing that I/we am doing so. I/We may rake a full prepaymeet or eartial prepayment charge. The Note Holder will use all cf my prepayments to reduce the amount of the principal that 1 owe under this Note. If I/We make a partial prepaynent, there will be no charges in the OLS date or in the amount of my monthly payment unless the Note Bolder agrees in writing //oes to chose changes. :f I/We make a partial prepayment, there will be cc prepayment penalty adhering to or associated with such prepayment 5. LOAN CHARGES: if a law, which applies to this loan and which sets maximum loan charges, is finally interpreted so that the interest or other loan charges collected or to be collected in connection with this loan exceed the permitted limits; then (i) any such loan charges shall be reduced by the amount necessary to reduce the charges to the.permitted limit; and. (ii) any suns already collected from me which exceeded permitted limits will be refunded to ma/us. The Note Holder may choose to make this refund by reducing the principal that I/We owe under this Vote or by making a direct payment to me/us. If a refund reduces principal, the reduction will be treated as a partial prepayment. 5. SUBORDINATION: Lender and Borrower acknowledge and agree that this Security Instrument is subject and subordinate in all respects to the liens, terms, covenants and conditions of the Fiest Deed of Trust and to all advances heretofore made or which may hereafter berade pursuaet to the First Deed of Trust including all sums advanced for the purpose of (a) protecting or further securing the lien of the First Deed of Wrest, curing defaults by the Borrower under the First Deed of Trust or for any other purpose expressly oermitted by the First Deed of ''rust or 00) constructing, renovating, repairing, furnishing, fixteting or equipping the Property. The terms and provisions of the First Deed, of Trust are paramount and controlling, and they supersede any other terms and provisions hereof in conflict therewith. In the event of a foreclosure or deed in lieu of foreclosure of the First Deed of Trust, any provisions herein or any provisions in any other collateral agreement restricting the use of the Property to low or moderate income households or otherwise restricting the Boerewer's ability tosell the Property shall have no further force or effect on subsequent owners or purchasers of the Property. Any person, including his successors or assigns (other than the Borrower ox a related entity of the Borrowei), receiving title to the Property through a foreclosure or deed in lieu of foreclosure of the First peed of Trust shall receive title to the Property free and clear from such restrictions. Further, if the Senior Lien Holder acquires title to the Property pursuant to a deed in lieu of foreclosure, the lien of this Security Instrument shall automatically teeninate epon the Senior lien Holder's acquisition of title, provided that (i) the Lender has been given written. notice of a: default under the First Deed of Trust and (ii) the. Lender shall not have cured the default under the First Deed of Trust within. the 30-day period provided in.such notice sent to the Len0er. /om 7. BORROWER(S) FAILURE TO PAY AS REQUESTED: (A) Default 1 Packet Page -1423- If I/we do not pay the full amount as required in Section 3 above, I/we wi 6/28/2016 16.D.17. default. If I am in default, the Note Holder may bring about any actions not prohibited by applicable law and require me/us to pay the Note Holder's cost and expenses as described in {B) below. (B) Payment of Note Holder's Cost and Expenses If the Note Holder takes such actions as described above, the Note Bolder will have the right to be paid back for all of its costs and expenses, including, but not limited to, reasonable attorneys' fees. 8: GIVING OF NOTICES: Unlees applicable law required a different method, any notice that must be given to sae/us under the Note will be given by delivering it or by mailing it by first class mail to me at the Property Address on Page 1 or at a different address if I/we give the Note Bolder a notice of my/our different address. Any notice that must be given to the Note Holder under this Note will be given by muslin: it,by first class mail to the Note Holder at the address stated in Section 3(A) or at a different address if I/we have been given a notice of that different address. 9. OBLIGATIONS OF PERSONS UNDER THIS NOTE: If more than one person signs this Nate, each person is fully and personally obligated to keep all of the promises made in this Note, including the promise to pay the full amount owed. Any person who- is a guarantor, surety or endorser of this Note is also obligated to do these things. Any person, who takes over these obligations, including the obligations of a guarantor, surety or endorser of this Note, is also obligated to keep all of the promises made in this Note. The Note Holder may enforce its rights under this Note against each person individna)ly ox against all of us together. This means that any one'af us may be required to pay all of the amounts owed under this Note. 10. SALVERS: I and any other person who has obligations under this Note waive the rights of presentment and notice of dishonor: "Presentment" means the right to require the Note Holder to demand payment of amounts due. "Notice of Dishonor" means the right to require the Note Holder to give notice to other persons that amounts due have not been paid. 11. UNIFORM SECURED NOTE: This Note is a uniform instrument with limited variations in some jurisdictions. In addition to the protection given to the Note Holder under this Note, a Mortgage, Deed of Trust or Security Deed (the "Security Instrument"), dated the same date as this Note, protects the Note Holder from possible losses which might result if I/we do not keep the promises which I/we make in this Note. That Security Instrument describes how and under what conditions I/we may be required to make immediate payment in full of all amounts I/we owe under this Note. Some of those conditions are described as follows: Transfer of the Property or a Beneficial Interest ir. Borrower. If all er any part, !� cf the property or any interest in it is sold or transferred (or if a beneficial. interest in Borrower is sold or transferred And Borrower is not a natural person) without Lender's prior written consent, Lender may, at its option, require immediate payment in full or all sums secured by this Security Instrument. However; this cption shall not be exercised by Lender if exercise is prohibited by federal law as of the date of this Security Instrument. If Lender exercises this option, Lender shall give Borrower notice of acceleration. The notice shall provide a period of not less than thirty (30) days from the data the notice is delivered or mailed, within which Borrower must pay all sums secured by this Security Instrument. If Borrowers) fail to pay these suss prior to the. expiration of this period, Lender may invoke any remedies permitted by this Security Instrument without further notice or demand on Borrower. Notwithstanding the above, the Lender's rights to collect and apply the insurance proceeds hereunder sail be subject and sabordirate to the rights of the Senior Lien Holder to collect and apply such proceeds in accordance with the 'First Deed of Trust. 12. This note is governed and construed in accordance with the Laws of the State of Florida. WITNESS THE RAND(S) AND SEALS) OF THE UNDERSIGNED. Borrower - Date Co-Borrower Date RETURN TO: Collier County Community & Human Services Division SHIP PURCHASE ASSISTANCE PROGRAM 3339 E. Tami.am, Trail, Building H, Suite 211 ,•""\ Naples, Florida 34112 2 Packet Page -1424- 6/28/2016 16.D.17. Prepared by and Return to:Raynesha Hudnell Collier County Community&Human Services Division 3339 E.Tamiami Trail,Building H.Suite 211 Naples,Florida 34112 STATE HOUSING INITIATIVES PARTNERSHIP (SHIP) PROGRAM SECOND MORTGAGE THIS SECOND MORTGAGE("Security Instrument-)is given on day of ,2016. The Second Mortgagor is: Sig Cypress Housing Corporation, a SPONSOR ("Borrower"). This Security Instrument is given to Collier County- SHIP ("Lender"),%Mich is organized and existing under the laws of the United States of Arneric:a,arid whose address is 3339 E. Ts.;n' Trail, Naples, Florida 34112. Borrower owes Lender the sum of Five Hundred Thousand and 00/100 Dollars ($500,000.00). This debt is evidenced by Borrower's Note dated the same date as this Security Instrument('Second Mortgage),which does not provide for monthly payments.The full debt,if not paid earlier,is due upon sale,title transfer,refinance of the property or property will no longer serve the intended tartlet population within the fifteen year term. If sold title transferred refinancedor property will no longer serve the intended target population after the fifteen year term,no repayment is required As long as the borrower continues to own arid occupy the assisted property during the term of the mortgage,then the loan will not have to be repaid. This Security Instrument secures to Lender.(a)the repayment of the debt evidenced by the Note,with interest and all renewals,extensions and modifications:(b)the payment of all other sums,with interest advanced under paragraph 7 to protect the security of the Security Instrument;and(0)the performance of Borrower's covenants and agreements under this Security Instrument and the Note. For this purpose, Borrower does hereby second mortgage,grant and convey to Lender the following described property located In Collier County,Florida. As more particularly described as:Roberts Ridge Tract B and which has the address of: ("Property Address"): 140 Anhinaa Circle Immokalee FL 34142 (Address) (City) (State) (Zip) TOGETHER WITH all the improvements now or hereafter erected on the property,and all easements,rights,appurtenances,rents, royalties,mineral,oil and gas rights and profits,water rights and stock arid all fixtures now or hereafter a part of the property. All replacements and additions shell also be covered by the Security Instrument. All of the foregoing is referred to in this Security Instrument as the"Property'. BORROWER COVENANTS that Borrower is lawfully seized of the estate hereby conveyed and has the right to mortgage,grant arid convey the Property and that the Property is unencumbered,except for encumbrances of record. Borrower warrants and will defend generally the title to the Property against all claims and demands,subject to any encumbrances of record. THIS SECURITY INSTRUMENT combines uniform covenants for national use and non-uniform covenants with limited variation by jurisdiction to constitute a uniform security instrument covering real property. UNIFORM COVENANTS. Borrower arid Lender covenant and agree as follows: 1. Payment of Principal and Interest;Prepayment and Late Charges. Borrower shall promptly pay when due the principal of and interest on the debt evidenced by the Note. 2. Taxes. The Mortgagor will pay all taxes,assessments,sewer rents or water rates prior to the accrual of any penalties or interest thereon. The Mortgagor shall pay or cause to be paid,as the same respectively become due,(A)(1)all taxes arid governmental charges of any kind whatsoever which may at any time be lawfully assessed or levied against or with respect to the Property,(2)all utility and other charges, including"service charges',incurred or imposed for the operation,maintenance,use,occupancy,upkeep and improvement of the Property,and (3)all assessments or other governmental charges that may lawfully be paid in installments over a period of years,the Mortgagor shall be obligated under the Mortgage to pay or cause to be paid only such installments as are required to be paid during the term of the Mortgage,and shall,promptly after the payment of any of the foregoing,forward to Mortgagee evidence of such payment. 3. Application of Payments, Unless applicable law provides otherwise all payments received by Lender shall be applied first,to interest due and,to principal due and last,to any late charges due under the Note. 4. Charges;Liens. Borrower shall pay all taxes,assessments charges,fines and impositions attributable to the Property which may attain priority over this Security Instrument,and leasehold payments or ground rents,if any. Borrower shall promptly furnish to Lender all notices of amounts to be paid under this paragraph,and all receipts evidencing the payments. Borrower shall promptly discharge any lien which has priority over this Security Instrument unless Borrower(a)agrees in writing to the payment of the obligation secured by the lien in a manner acceptable to Lender(b)contests in good faith the lien by,or defends against enforcement of the lien in,legal proceedings which in the Lender's opinion operate to prevent the enforcement of the lien:or(c)secures from the holder of the lien an agreement satisfactory to Lender subordinating the lien to this Security Instrument if Lender determines that any part of the Property is subject to a lien which may attain priority over the Security Instrument,Lender may give Borrowers notice identifying the lien. Borrower shall satisfy the lien or take one or more of the actions set forth above within 10 days of the giving of notice. 6. Hazard or Property Insurance Borrower shall keep the improvements now existing or hereafter erected on the Property insured against loss by tire,hazards included within the term"extended coverage"and any other hazards,including floods or flooding,for which Lender requires Insurance.This Insurance shall be maintained in the amounts and for the periods that Lender requires. The insurance carrier providing the insurance shall be chosen by Borrower subject to Lender's approval which shall not be unreasonably withheld. If Borrower fails to maintain coverage described above,Lender may,at Lender's option,obtain coverage to protect Lenders rights in the Property in accordance with paragraph 7. At all times that the Note is outstanding,the Mortgagor shall maintain insurance with respect to the Premises against such risks and for such amounts as are customarily insured against and pay,as the same become due and payable all premiums in respect thereto, including,but not limited to, Insurance protecting the interests of the Mortgagor and Mortgagee against loss or damage to the Premises by fire,lightning,and other casualties customarily insured against(including boiler explosion,if appropriate),with a uniform standard extended coverage endorsement,including debris removal coverage. Such insurance at all times to be in an amount not less than the full replacemerit cast of the Premises,exclusive of footings and foundations. All insurance policies and renewals shall be acceptable to Lender and shall include a standard mortgage clause. Lender shall have the right to hold the policies and renewals If Lender requires Borrower shall promptly give to Lender all receipts of paid premiums and renewal notices In the event of loss,Borrower shall give prompt notice to the insurance carrier and Lancer Lender may make proof of loss if not made promptly by Borrower. Unless Lender and Borrower otherwise agree in writing,insurance proceeds shall be applied to restoration or repair of the Property damaged,if the restoration or repair is economically feasible and Lender's security is not lessened. If the restoration or repair is not economically feasible or Lender's security would be lessened,the insurance proceeds shall be applied to the sums secured by the Security Instrument,whether or not then due,with any excess paid to Borrower. If Borrower abandons the Property,or does not answer within 30 days a notice from Lender that the insurance carrier has offered to settle a claim,then Lender may collect the Insurance proceeds. Lender may use the proceeds to repair or restore the Property or to pay sums secured by this Security Instrument,whether or not then due The 30-day period will begin when the notice is mailed. Unless Lender and Borrower otherwise agree in writing,any application of proceeds to principal shall not extend or postpone the due date of the monthly payments referred to in paragraph 1 or change the amount of the payments. If under paragraph Packet Page -1425- _ 6/28/2016 16.D.1 7. 21 the Property is acquired by Lender,Borrowers right to any insurance policies and proceeds resulting from damage to the Property prior to the acquisition shall pass to Lender to the extent of the sums secured by this Security Instrument immediately prior to the acquisition, 6. Occupancy,Preservation,Maintenance and Protection of the Property;Borrowers Loan Application,Leaseholds. Borrower shall occupy,establish,and use the Property as Borrower's principal residence within slaty days after the execution of this Security Instrument and shall continue to occupy the Property as Borrower's principal residence for at least one year after the date of occupancy,unless Lender otherwise agrees in wrifmg,which consent shall not be unreasonably withheld,or unless extenuating circumstances exist which are beyond Borrower's control. Borrower shall not destroy damage or impair the Property,allows the Property to deteriorate,or commit waste on the Property.Borrower shah be in default if any forfeiture action or proceeding,whether civil or criminal,is begun that in Lender's good faith judgment could result in forfeiture of the Property or otherwise materially impair the lien created by this Security Instrument or Lender's security Interest Borrower may cure such a default and reinstate,as provided in paragraph 18,by causing the action or proceeding to be dismissed with a ruling that,in Lender's good faith determination,precludes forfeiture of the Borrower's interest in the Property or other material impairment of the Dien created by this Security instrument or Lender's security interest Borrower shall also be in default if Borrower,during the loan application process,gave materially false or inaccurate information or statements to Lender(or failed to provide Lender with any material information)in connection with the loan evidenced by the Note,including,but not limited to,representations concerning Borrower's occupancy of the Property as a principal residence. If this Security Instrument is on leasehold,Borrower shall comply with ali the provision Otte lease. If Borrower acquires fee title to the Property,the leasehold and the fee title shall not merge unless Lender agrees to the merger in writing. 7. Protection of Lender's Rights in the Property. If Borrower fails to perform the covenants and agreements contained in this Security Instrument,or there is a legal proceeding that may significemtly affect Lender's rights in the Property(such as a proceeding In bankruptcy,probate,for condemnation or forfeiture or to enforce laws or regulations),then Lender may do and pay for whatever Is necessary to protect the value of the Property and Lender's rights in the Property. Lender's actions may include paying any sums secured by a lien which has priority over this Security instrument,appearing in court,paying reasonable attorneys'fees and entering on the Property to make repairs. Although Lender may take action under this paragraph 7,lender does not have to do so. My amounts disbursed by Lender under this paragraph 7 shall become additional debt of Borrower secured by this Security Instrument. Unless Borrower and Lender agree to other terms of payment these amounts shall bear interest from the date of disbursement at the Note rate and shall be payable,with interest,upon notice from Lender to Borrower requesting payment. 8. Mortgage Insurance. If Lender required mortgage insurance as a condition of making the loan secured by this Security Instrument,Borrower shall pay the premiums required to maintain the mortgage insurance in effect. If,for any reason,the mortgage insurance coverage required by Lender lapses or ceases to be in effect,Bcrrower shall pay tee premiums required to obtain coverage substantially equivalent to the mortgage Insurance previously in effect,at a cost substantially equivalent to the cost to Borrower of the mortgage insurance previously In effect from an alternate mortgage insurer approved by Lender. If substantially equivalent mortgage insurance coverage is not available,Borrower shall pay to Lender each month a sum equal to one-twelfth of the yearly mortgage insurance premium being paid by Borrower when the insurance coverage lapsed or ceased to be in effect. Lender will accept,use and retain:these payments as a loss reserve in lieu of mortgage insurance: Loss reserve payments may no longer be required,at the option of Lender,If mortgage insurance coverage(in the amount and for the period that Lender requires)provided by an insurer approved by Lender again becomes available and is obtained. Borrower shall pay the premiums required to maintain mortgage insurance in effect,or to provide a loss reserve,until the requirement for mortgage insurance ends in accordance with any written agreement between Borrower and Lender or applicable law. 9. Inspection. Lender or its agent may make reasonable entries upon and inspections of the Property. Lender shall give Borrower notice at the time of or prior to art inspection specifying reasonable cause for the inspection. 10. Condemnation. The proceeds of any award or claim for damages,direct or consequential,in connection with any condemnation or other taking of any part of the Property,or for conveyance In lieu of condemnation,are hereby assigned and shall be paid to Lender. In the event of a total taking of the Properly,the proceeds shall be applied to the sums secured by this Security Instrument,whether or not then due, with any excess paid to Borrower. In the event of a partial taking of the Property,in which the fair market value of the Property immediately before the taking is equal to or greater than the amount of the sums secured by this Security Instrument immediately before the taking,unless Borrower and Lender otherwise agree in writing,the sums secured by this Security Instrument shall be reduced by the amount of the proceeds multiplied by the following fraction:(a)the total amount of the sums secured Immediately before the taking,divided by(b)the fair market value of the Property immediately before the taking. Any balance shall be paid to Borrower, In the event of a partial taking of the Property in which the fair market value of the Property immediately before the taking is less than the amount of the sums secured immediately for the taking, unless Borrower and Lender otherwise agree in writing or unless applicable law otherwise provides,the proceeds shall be applied to the sums secured by this Security Instrument whether or not the sums are then due. Unless Lender and Borrower otherwise agree in wilting,any application of proceeds to principal shall not extend or postpone the due date of the monthly payments referred to in paragraphs 1 or change the amount of such payments. 11. Borrower Not Released,Forbearance by Lender Not a Waiver. Extension of the time for payment or modification of amortization of the sums secured by this Security Instrument granted by Lender to any successor In interest of Borrower shall not operate to release the liability of the original Borrower or Borrower's successors in interest Lender shall not be required to commence proceedings against any successor in interest or refuse to extend time for payment or otherwise modify amortization of the sums secured by this Security Instrument by reason of any demand made by the original Borrower or Borrower's successors in interest. Any forbearance by Lender in exercising any right or remedy shell not be a waiver of or preclude the exercise of any right er remedy, 12. Successors and Assigns Bound;Joint and Several Liability;Co-Signers. The covenants and agreements of this Security Instrument shall bind and benefit the successors and assigns of Lender and Borrower,subject to the Provisions of paragraph 17. Borrower's covenants and agreements shall be joint and several. Any Borrower who co-signs this Security Instrument but does not execute the Note;(a)is co-signing this Security Instrument only to mortgage,grant and convey that Borrower's interest in the Property under the terms of this Security Instrument(b)is not personalty obligated to pay the sums secured by this Security Instrument; and(c)agrees that Lender and any other Borrower may agree to extend,modify,forbear or make any accommodations with regard to the terms of this Security Instrument or the Note without that Borrower's consent. 13. Loan Charges. If the loan secured by this Security Instrument is subject to a law which sets maximum loan charges,and that law is finally interpreted so that the interest or other loan charges collected or to be collected in connection with the loan exceed the permitted limits,then:(a)any such loan charge shall be reduced by the amount necessary to reduce the charge to the permitted limit;and(b)any sums already collected from Borrower which exceeded permitted limits will be refunded to Borrower. Lender may choose to make this refund by reducing the principal owed under the Note or by making a direct payment to Borrower. If a refund reduces principal,the reduction will be treated as a partial prepayment without any prepayment charge under the Note. 14. Notices. Any notice to Borrower provided for in this Security Instrument shall be given by delivering it or by mailing it by first class mail unless applicable law required use of another method. The notice shall be directed to the Property Address or any other address Borrower designates by notice to Lender. Any notice to Lender shall be given to Borrower or Lender when given as provided in this paragraph. 15. Governing Law;Severability.This Security Instrument shall be governed by federal law and the law of the jurisdiction in which the Property is located. In the event that any provision or clause of this Security Instrument or the Note conflicts with applicable law,such conflict shall not affect other provisions of this Security Instrument or the Note which can be given effect without the conflicting provision, To this end the provisions of this Security Instrument and the Note are declared to be severable. 16. Borrower's Copy. Borrower shall be given one conformed copy of the Note and of this Security Instrument. 17. Transfer of the Property or a Beneficial interest in Borrower. If all or any part of the Property or any interest In It is sold or transferred(or if a beneficial interest in Borrower is sold or transferred and Borrower is not a natural person)without Lender's prior written consent,Lender may,at its option,require immediate payment in full of all sums secured by this Security instrument However,this option shall not be exercised by Lender if exercise Is prohibited by federal law as of the date of this Security Instrument If Lender exercised this option,Lender shall give Borrower notice of acceleration. The notice shall provide a period of not less than 30 days from the date the notice is delivered or mailed within which Borrower must pay all sums secured by this Security instrument If Borrower fails to pay these sums prior to the expiration of this period,Lender may Invoke any remedies permitted by this Security Instrument without further notice or demand on Borrower. 18. Borrower's Right to Reinstate, If Borrower meets certain conditions,Borrower shall have the right to have enforcement of this Security Instrument discontinued at any time prior to the earlier of:(a)5 days(or such other period as applicable law may specify for reinstatement)before sale of the Property pursuant to any power of sale contained in this Security Instrument or(b)entry of a judgment enforcing this Security Instrument Those conditions are that Borrower.(a)pays Lender all sums which then would be due under this Security Instrument and the Note as if no acceleration had occurred;(b)cures and default of any other covenants or agreements;(c)pays all expenses Incurred in enforcing this Security Instrument,Including,but not limited to,reasonable attorneys fees;and(d)lakes such action as Lender may reasonably require to assure that the lien of this Secure.r^etn,,'n * I*^.rare,inhte In the Property and Borrowers obligation to pay the sums Packet Page-1426- 6/28/2016 16.D.17. secured by this Security Instrument shall continue unchanged, Upon reinstatement by Borrower,this Security Instrument and the obligations secured hereby shall remain fully effective as if no acceleration had occurred. However,this right to reinstate shall not apply in the case of acceleration under paragraph 17. 19. Sale of Note;Change of Loan Servicer. The Note or a partial interest in the Note(together with this Security Instrument)may be sold one or more limes without prior notice to Borrower. A sale may result in a change in the entity(known as the"Loan Servicer")that collects monthly payments due under the Note and this Security Instrument. There also may be one or more changes of the Loan Servicer unrelated to a sale of the Note. If there is a change of the Loan Servicer,Borrower will be given written notice of the change in accordance with paragraph 14 and applicable law. The notice will state the name and address of the new Loan Servicer and the address to which payments should be made. The notice will also contain any other information required by applicable law. 20. Hazardous Substances. Borrower shall not pause or permit the presence,use,disposal,storage,or release of any Hazardous Substances on or in the Property. Borrower shall not do,nor allow anyone else to do,anything affecting the Property that is in violation of any Environmental Law. The preceding two sentences shall not apply to the presence,use,or storage on the Property of small quantities of Hazardous Substances that are generally recognized to be appropriate to normal residential uses and to maintenance of the Property. Borrower shall promptly give Lender written notice for any investigation,claim,demand,lawsuit or other action by any governmental or regulatory agency or private party involving the Property and any Hazardous Substance or Environmental Law of which Borrower has actual knowledge. If Borrower learns,or is notified by any governmental or regulatory authority,that any removal or other remediation of any Hazardous Substance affecting the Property is necessary.Borrower shall promptly take all necessary remedial actions in accordance with Environmental Law, As used in this paragraph 20,"Hazardous Substances"are those substances defined as toxic or hazardous substances by Environmental Law and the following substances: gasoline,kerosene,other flammable or toxic petroleum products,toxic pesticides and herbicides,volatile solvents.materials containing asbestos or formaldehyde,arid radioactive materials. As used in this paragraph 20,"Environmental Lava means federal laws and laws of the jurisdiction where the Property is located that relate to health,safety or environmental protection. 21. Acceleration;Remedies. Lander shall give notice to Borrower prior to acceleration following Borrowers breach of any covenant or agreement in this Security Instrument(but not prior to acceleration under paragraph 17 unless applicable law provides otherwise). The notice shall specify; (a)the default;(b)the action required to cure the default;(c)a date,not less than 30 days from the date the notice is given to Borrower,by which the default must be cured;and(d)that failure to cure the default on or before the date specified in the notice may result in acceleration of the sums secured by this Security Instrument,foreclosure by judicial proceeding and sale of the Property.The notice shall further inform Borrower of the right to reinstate after acceleration and the right to assert in the foreclosure preceding the non-existence of a default or any other defense of Borrower to acceleration and foreclosure. If the default is not cured on or before the date specified in the notice, Lender,at its option,may require immediate payment in full of all sums secured by this Security Instrument without further demand arid may foreclose this Security Instrument by judicial proceeding. Lender shall be entitled to collect all expenses incurred in pursuing the remedies provided in this paragraph 21,including,but not limited to,reasonable attorneys fees and costs of the title evidence, 22. Release. Upon payment of all sums secured by this Security Instrument,Lender shall release this Security Instrument,without charge,to Borrower. Borrower shall pay any recordation costs. 23.Attorneys'Fees. As used in this Security Instrument and the Note,"attorneysfees"shall include any attorneys'fees awarded by an appellate court. 24. Riders to this Security Instrument If one or more riders ere executed by Borrower and recorded together with this Security Instrument,the covenants and agreements of each such rider shall be incorporated into and shall amend and supplement the covenants and agreements of this Security Instrument as if the areas)were a part of this Security Instrument. (Cher*Applicable Box) LI Adjustable Rate Rider 0 Rate Improvement Rider CI Condominium Rider 0 Graduated Payment Rider 0 14 Family Rider LI Second Horne Rider 0 Balloon Rider ID Biweekly Payment Rider 0 Planned Unit Development Rider Li Other(s)(specify SIGNING BELOW,Borrower accepts and agrees to the terms and covenants contained in this Security Instrument and in any rider(s)executed by Borrower and recorded with it. Signed,sealed and delivered in the presence of Signature: Signature: Steve Kirk Address: 140 Anhinga Circle aremoka.lee, FL 341,42 STATE OF FLORIDA COUNTY OF COLLIER I hereby certify that, Big Cypress Housing Corporation personally appeared to me known to be the person(s) described in and who executed the foregoing instrument and acknowledged before me that(He/she/they)executed The same for the purpose therein expressed. WITNESS my hand and official seal in the County and State aforesaid this day of ,2016. My Commission Expires; (Seal) Notary Public's Signature Notary's Printed Name Packet Page -1427- 6/28/2016 16.D.17. LAND USE RESTRICTION AGREEMENT This LAND USE RESTRICTION AGREEMENT (hereinafter called the "Agreement") is made and entered into as of this day of , 2016 between BIG CYPRESS HOUSING CORPORATION (hereinafter called the "SPONSOR") and COLLIER COUNTY, a political subdivision of the State of Florida(hereinafter called the"County") for property located at: 140 ANHINGA CIRCLE,IMMOKALEE, FL 34142 PREAMBLE WHEREAS, the County has agreed under certain conditions to issue a deferred forgivable loan using SHIP funds to provide financing for preservation of affordable rental housing for very low and low-income persons located at 140 Anhinga Circle, Immokalee, FL 34142 in Collier County, to be occupied by eligible persons as described in the Rental Rehabilitation Project Requirements (Big Cypress Housing Corporation Rental Rehabilitation project)" hereinafter called"the Project", Exhibit B in the project agreement signed on ; and WHEREAS, in addition to any other requirements the County may impose incident to its mortgage, the Owner has agreed that all housing units shall be leased, rented or made available on a continuous basis for rental to very low and low-income persons as described in the Rental Rehabilitation Project Requirements; WHEREAS, this Land Use Restriction is intended to ensure that the property be used in accordance with the SHIP program. NOW, THEREFORE, in consideration of the mutual covenants set forth herein and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the County and the Owner do hereby contract and agree as follows: AGREEMENT ARTICLE I. RENTAL HOUSING RESTRICTIONS 1.1 Occupancy Forty (40) units of the seventy-nine (79) housing units must be set-aside for households who upon initial occupancy of units must have annual gross incomes equal to or below eighty percent(50%)for the Collier County Statistical Areas. 1.2 Income/Eligibility The SPONSOR shall determine and verify the income eligibility of tenants annually in accordance with HUD 24 CFR Part 5 for the Project. Income shall be calculated by annualizing verified sources of income for the household as the amount of income to be received by a household, during the 12 months following the effective date of the determination. The Annual Gross Income, as defined in Section 420.9071(4), F.S., must be used and the SHIP Program income limits cannot be exceeded for each individual household size. The SPONSOR shall maintain complete and accurate income records pertaining to each tenant occupying a SHIP-assisted unit. Onsite inspections will be conducted annually by Collier County's Community and Human Services' Compliance Division upon reasonable prior written notice to verify compliance with tenant income, rents and the minimum property standards as stated in Section 420.907-420.9079, Florida FY 2016 SHIP BIG CYPRESS HOUSING CORPORATION Page 1 of 5 Packet Page-1428- 0 C Statutes and Rule 67-37, Florida Administrative Code, as they may be a1.6/28/2016 16.D.17. time to time(www.floridahousing.org) 1.3 SHIP Affordability All housing units are subject to affordability limits established for SHIP-assisted rental units on an annual basis. 1.4 Long-term Affordability The SHIP funds are subject to recapture during the affordability period if the property is sold, transferred, or otherwise conveyed. If the project is offered for sale prior to the end of the affordability period, the Project shall be subject to the right of first refusal for purchase at the current market value minus grant award by eligible nonprofit organizations that would provide continued occupancy by 50% and below AMI tenants. The County shall have ninety (90) days from the date of notification of intent to sell by the Owner to identify an eligible non-profit. 1.5 Housing Standards Rental Units assisted with SHIP funds shall be maintained in compliance with local building code requirements for the duration of the affordability period. The Owner shall cooperate with the County by allowing on-site inspection of SHIP-assisted units for compliance with local code requirements ARTICLE II. CONSIDERATION The County has authorized and issued a deferred forgivable loan in the amount of Five Hundred Thousand ($500,000) to the Owner as an inducement to the Owner to operate the units in the Project for the benefit of low-income households whose incomes are equal to or less than eighty (80%) percent of median annual gross income for the MSA for a period of fifteen (15) years following the issuance of the Certificate of Occupancy. In consideration of the issuance of the loan by the County for the foregoing purposes, the County and Owner have entered into this Agreement. ARTICLE III. RELIANCE In performing its duties hereunder, the County may rely upon statements and certifications of the Owner, believed to be genuine and to have been executed by the proper person or persons, and upon audits of the books and records of the Owner pertaining to occupancy of the Project. In addition, the Florida Housing Finance Corporation may consult with counsel, and the opinion of such counsel shall be full and complete authorization and protection with respect to any action taken or suffered by the County in good faith and in conformity with the opinion of such counsel. The Owner may rely upon certification of low-income households reasonably believed to be genuine and to have been executed by the proper person or persons. ARTICLE IV. TERM This Agreement shall become effective upon its execution and shall remain in full force and effect for a period of fifteen (15) years from the date of the completion of the rehabilitation of the Project as confirmed by final inspection by the building department and/or issuance of a final certification of occupancy. ARTICLE V. INSURANCE The Owner shall insure the property for the full replacement cost for the duration of the Land Use Restriction Agreement. Any such policy must be issued by a company acceptable to the FY 2016 SHIP BIG CYPRESS HOUSING CORPORATION Page 2of5 Packet Page-1429- e County, include the County as an additional insured and provide for at least thi 6/28/2016 16.D.17. notice prior to cancellation. ARTICLE VI. DAMAGE,DESTRUCTION OF THE PROJECT Subject to the superior rights of the holder of any first mortgage, in the event that the Project is damaged or destroyed,the Owner shall deposit with the County any insurance proceeds and shall promptly commence to rebuild, replace, repair or restore the Project in such manner as is consistent with the Loan Documents. The County shall make any such insurance proceeds available to provide funds for such restoration work. In the event the Owner fails to commence or to complete the rebuilding, repair, replacement or restoration of the Project after notice from the County,the County shall have the right, in addition to any other remedies granted in the Loan Documents or at law or in equity,to repair, restore, rebuild or replace the Project so as to prevent the occurrence of a default hereunder. ARTICLE VII. SALE, TRANSFER OR REFINANCING OF THE PROJECT OR DISSOLUTION OF CORPORATION The loan for the Project hereunder as to both principal and interest shall be assumable upon project sale, transfer or refinancing or dissolution of the Owner's Corporation if the proposed Owner of the Project is an eligible nonprofit organization (approved by the County) and agrees to maintain all set asides and other requirements of the SHIP Loan Documents for the period originally specified. In the event the above-stated conditions are not met, the loan for the Project hereunder as to both principal and interest shall be due in full upon the sale, transfer or refinancing of the Project. Notwithstanding, payment of principal and interest in full, these restrictions shall remain in full force and effect for the term of this Agreement. ARTICLE VIII. ENFORCEMENT/DEFAULT The benefits of this Agreement shall inure to, and may be enforced by the COUNTY for the duration of the Agreement, whether or not the COUNTY shall continue to be the holder of the Mortgage, whether or not the Project loan may be paid in full, and whether or not any bonds issued for the purpose of providing funds for the project are outstanding. The SPONSOR warrants that it has not, and will not, execute any other agreement with provisions contradictory to, or in opposition to, the provisions hereof, and that, in any event, the requirements of this Agreement are paramount and controlling as to the rights and obligations herein set forth and supersede any other requirements in conflict herewith. However, this shall not preclude the COUNTY from subordinating its loan to construction financing. If the Owner defaults in the performance of its obligations under this Agreement or breaches any covenant, agreement or warranty of the Owner set forth in this Agreement, and if such default remains uncured for a period of thirty (30) days after notice thereof shall have been given by the County to the Owner (or for an extended period approved by the County if such default stated in such notice can be corrected, but not within such thirty (30) day period, and if the Owner commences such correction within such thirty (30) day period, and thereafter diligently pursues the same to completion within such extended period), then the County may take any lawful action, whether for specific performance of any covenant in this Agreement or such other remedy as may be deemed most effective by the County to enforce the obligations of the Owner with respect to the Project. If a default by the Owner under this Agreement is not timely cured, FY 2016 SHIP BIG CYPRESS HOUSING CORPORATION Page 3 of 5 Packet Page-1430- the County may institute foreclosure proceedings against the Project, but only as pr 6/28/2016 16.D.17. Mortgage. r—. Notwithstanding any of the foregoing, the County will have the right to seek specific performance of any of the covenants and requirements of this Agreement concerning the rehabilitation and operation of the Project. ARTICLE IX. RECORDING AND FILING Upon execution and delivery by the parties hereto, the County shall cause this Agreement and all amendments and supplements hereto to be recorded and filed in the official public records of Collier County. ARTICLE X. COVENANTS TO RUN WITH THE LAND This Agreement and the covenants contained herein shall run with the land and shall bind, and the benefits shall inure to, respectively, the Owner and the County and their respective successors and assigns during the Term of this Agreement. ARTICLE XI. GOVERNING LAW This Agreement shall be governed by and construed in accordance with the laws of the State of Florida,with respect to both substantive rights and with respect to procedures and remedies. ARTICLE XII. ATTORNEY'S FEES AND COSTS In the event of any legal action to enforce the terms of this Agreement, each party shall bear its own attorney's fees and costs. ARTICLE XIII. NOTICE AND EFFECT Any notice required to be given hereunder shall be given by personal delivery, by registered mail or by registered expedited service at the addresses specified below or at such other addresses as may be specified in writing by the parties hereto, and any such notice shall be deemed received on the date of delivery if by personal delivery or expedited delivery service, or upon actual receipt if sent by registered mail. FOR THE COUNTY FOR THE OWNER Kimberley Grant, Steve Kirk, President Community and Human Services Department Big Cypress Housing Corporation 3339 East Tamiami Trail Bldg H Suite 211 19308 SW 380th Street Naples, Florida 34113 Naples,Florida 33034 (239) 252-2273 (305) 242-2142 ATTEST: DWIGHT E. BROCK, CLERK BOARD OF COUNTY COMMISSIONERS OF COLLIER COUNTY, FLORIDA , Deputy Clerk By: Donna Fiala, Chairman Dated: (SEAL) Date FY 2016 SHIP BIG CYPRESS HOUSING CORPORATION Page 4 of 5 Packet Page-1431- ` 6/28/2016 16.D.17. BIG CYPRESS HOUSING CORPORATION By: Signature Steve Kirk,President Date Approved as to form and legality: Jennifer A. Belpedio Assistant County Attorney A. FY 2016 SHIP BIG CYPRESS HOUSING CORPORATION Page 5 of 5 Packet Page -1432- 6/28/2016 16.D.17. Grant-SHIP FY 2014-2015/2015-2016 Activity: -Rental Acquisition SPONSOR: - Community Assisted and Supported Living D.B.A.Renaissance Manor,Inc. DUNS#- 940621519 CSFA#- 52.901 AGREEMENT BETWEEN COLLIER COUNTY AND COMMUNITY ASSISTED AND SUPPORTED LIVING D.B.A. RENAISSANCE MANOR,INC. THIS AGREEMENT is made and entered into this day of , 2016, by and between Collier County, a political subdivision of the State of Florida, ("COUNTY" or Grantee") having its principal address as 3339 E. Tamiami Trail, Suite 211, Naples FL 34112, and Community Assisted and Supported Living,Inc.D.B.A. Renaissance Manor,Inc a private not-for- profit corporation existing under the laws of the State of Florida,having its principal office 1693 Main Street,Suite A, Sarasota,FL 34236 ("SPONSOR"). �-� WHEREAS, the COUNTY is the recipient of State Housing Initiatives Partnership Program (SHIP)Program funds; and WHEREAS, pursuant to the SHIP Program, the COUNTY is undertaking certain activities to primarily benefit persons or households earning not greater than 80% of median annual income adjusted for family size; and WHEREAS, the Fiscal Years 2013-2016 Local Housing Assistance Plan, as amended, was adopted by the Board of County Commissioners on April 23, 2013, Resolution No. 2013-94 (16.D.5) and further amended on March 22,2016 Resolution No. 2016-58 (Item 11D) and WHEREAS, the COUNTY and the SPONSOR desire to provide rental acquisition as in accordance with this Agreement and the aforementioned Local Housing Assistance Plans; and NOW, THEREFORE, in consideration of the mutual promises and covenants herein contained, it is agreed by the Parties as follows: I. DEFINITIONS AND PURPOSE A. DEFINITIONS Terms shall be as defined in the State Housing Incentives Partnership (SHIP) Program, Section 420.9071, Florida Statutes and Chapter 67-37 of the Florida Administrative Code,and any amendments thereto (also referred as the SHIP Program). 1 Packet Page-1433- 11) 6/28/2016 16.D.17. B. PURPOSE The purpose of this Agreement is to state the covenants and conditions under which the SPONSOR will implement the Scope of Service summarized in Section II of this Agreement. II. SCOPE OF SERVICE The SPONSOR shall, in a satisfactory and proper manner as determined by the COUNTY, perform the necessary tasks to administer and implement the described services herein incorporated by reference as Exhibits B — C (Rental Acquisition Project Requirements and Budget Narrative) in accordance with the terms and conditions of Requests for Applications, Rental Rehabilitation/Rental Rehabilitation and Acquisition or Acquisition, State Housing Initiatives Partnership Funding Cycle Fiscal Years 2014-2015 and 2015-2016 SPONSOR's Application dated March 21, 2016. III. SPECIAL GRANT CONDITIONS A. Within 30 days of the execution of this Agreement,the SPONSOR must deliver to CHS for approval a detailed project schedule for the implementation through completion of the project to include staff assignment. B. The following resolutions and policies must be adopted, if not previously adopted, by the SPONSOR's governing body within 60 days of contract execution: 1. Affirmative Fair Housing Policy 2. Procurement Policy including Code of Conduct 3. Affirmative Action Policy 4. Conflict of Interest Policy 5. Equal Opportunity Policy 6. Sexual Harassment Policy 7. Procedures for meeting the requirements set forth in Section 504 of the Rehabilitation Act of 1973, as amended (29 U.S.C. 794) 8. Fraud Policy 9. Tenant Waitlist Policy 10. Tenant Grievance Policy 11. Tenant Guidelines(Income) IV. TIME OF PERFORMANCE This Agreement shall be in effect from June 1, 2016 through June 30, 2017 for FY 14-15 funding June 1, 2016 through June 30, 2018 for FY 15-16 funding, and all services required hereunder shall be completed in accordance with the schedule set forth in Exhibit B (Rental Acquisition Project Requirements). This agreement must remain in effect throughout the development process of the Project and is terminated upon completion of acquisition and rehabilitation,rehabilitation and initial lease-up of all units, including all SHIP-assisted units. 2 Packet Page -1434I ja - i 6/28/2016 16.D.17. kA V. AGREEMENT AMOUNT It is expressly agreed and understood that the total amount to be disbursed by the COUNTY for the use by the SPONSOR during the term of the Agreement shall not exceed FOUR HUNDRED TWELVE THOUSAND FIVE HUNDRED ($412,500). The budget identified for the Project shall be as follows Line Item Description SHIP Funds Project Component One: Acquisition of rental $412,500 property. (Maximum is$300,000 per property.) TOTAL $412,500 Modifications to the `Budget and Scope" may only be made if approved in advance by the COUNTY. Budgeted fund shifts between cost categories and activities shall not be more than 10% and does not signify a change in scope. Fund shifts that exceed 10% of a cost category and activity shall only be made with Board approval. All services specified in Section II. Scope of Services shall be performed by SPONSOR employees, or shall be put out to competitive bidding under a procedure acceptable to the COUNTY and State requirements. Contract administration shall be handled by the SPONSOR and monitored by CHS, which shall have access to all records and documents related to the project. The County will secure the awarded amount with a note and mortgage. The Note will bear interest at 0% percent interest per year and forgivable after 15 years if all SHIP terms and conditions are met. If the SPONSOR complies with the terms and conditions of this Agreement, then the lien established by the Mortgage shall expire as set forth in the Mortgage. If the SPONSOR offers the Property for sale before fifteen (15) years after the SPONSOR's receipt of the Certificate of Occupancy, or at any other time when there are existing mortgages on the Property, funded under the SHIP program, then the SPONSOR must give a right of first refusal (ROFR) for a 90 day period, to experienced non-profit organizations, reasonably approved by the County for purchase of the Property, at the then current market value, for continued occupancy by eligible persons. The 90 day right of first refusal period begins when a legal advertisement appears in a local newspaper of general circulation or other method authorized by statute or regulation offering the Property for sale to non-profit organizations. County approval of any nonprofit organization submitting an offer of the full requested sale price or any other offer considered in the sole determination of the SPONSOR to be reasonable, will be based on the criteria listed in the affordable multi-family rental housing development strategy sponsor selection criteria, in the County's FY 2013-2016 SHIP Local Housing 3 Packet Page -1435- CACP 6/28/2016 16.D.17. Assistance Plan, Either (a) the 90-day right of first refusal period expires and the SPONSOR is not then a party to an active contract for purchase and sale of the Property, with an eligible nonprofit organization, reasonably approved by the County; or (b) a contract for purchase and sale of the Property is entered into by the SPONSOR and an eligible nonprofit organization, reasonably approved by the County, within such 90-day ROFR period but terminated by either party pursuant to the terms thereof subsequent to the 90-day period. The County shall wire funds and secure a 0% subordinate mortgage and forgivable for the acquisition at closing to the title company. The SPONSOR shall provide CHS closing disclosures seven (7) days prior to closing and submit final ALTA and Title Insurance to CHS the same day of closing. No wire transfer will be made until approved by CHS and the Collier County Clerk of Courts for grant compliance and adherence to any and all applicable local, state or federal requirements. Wire transfer will be made upon receipt of closing disclosures and in compliance with §218.70, Florida Statutes, otherwise known as the "Local Government Prompt Payment Act." The amount of wire transfer shall be not more than$300,000. The COUNTY reserves the right to deny payment of incomplete or altered closing disclosures, inadequately documented expenses, or expenses for items and services the COUNTY deems not to be usual, customary and reasonable expenses related to of the Project. VI. NOTICES Notices required by this Agreement shall be in writing and delivered via mail (postage prepaid), commercial courier, or personal delivery or sent by facsimile or other electronic means. Any notice delivered or sent as aforesaid shall be effective on the date of delivery or sending. All notices and other written communications under this Agreement shall be addressed to the individuals in the capacities indicated below, unless otherwise modified by subsequent written notice, COLLIER COUNTY ATTENTION: Raynesha Hudnell, Grant Coordinator Collier County Government Community and Human Services 3339 E Tamiami Trial, Suite 211 Naples,Florida 34112 Email to: RayneshaHudnell@Colliergov.net Colliergov.net Phone: 239-252-5312 SPONSOR ATTENTION: Scott Eller, CEO Community Assisted and Supported Living D.B.A Renaissance Manor,Inc. 1401 16th Street Sarasota,FL 34236 Email to: Scott.Eller@Renaissancemanor.org Phone: 941-225-2373 4 Packet Page -1436- 6/28/2016 16.D.17. VII. GENERAL CONDITIONS A. GENERAL COMPLIANCE The SPONSOR agrees to comply with the requirements as outlined in Section 420.907 of the Florida Statutes and Chapter 67-37 of the Florida Administrative Code. The SPONSOR also agrees to comply with all other applicable state and local laws, regulations, and policies governing the funds provided under this Agreement. The SPONSOR agrees to utilize funds available under this Agreement for Rental Rehabilitation. B. CODE OF ETHICS AND CONDUCT The SPONSOR shall comply with the Code of Ethics and Conduct for Construction Professionals developed by Construction Management Association of America (CMAA). Adhering to this code of ethics is critical to demonstrating ethical conduct within the construction industry. This code of ethics is not intended to replace, but rather to supplement, any code of ethics that the SPONSOR already uses in their organization. C. INDEPENDENT CONTRACTOR Nothing contained in this Agreement is intended to,or shall be construed in any manner, as creating or establishing the relationship of employer/employee between the parties. The SPONSOR shall at all times remain an "independent contractor" with respect to the services to be performed under this Agreement. The COUNTY shall be exempt from payment of all Unemployment Compensation, FICA, retirement benefits, life and/or medical insurance and Workers' Compensation Insurance, as the SPONSOR is an independent SPONSOR. D. WORKERS' COMPENSATION The SPONSOR, its contractors and subcontractors, shall provide Workers' Compensation Insurance coverage for all of its employees involved in the performance of this contract. E. INSURANCE The SPONSOR shall furnish a Certificate of Insurance naming Collier County as an additional insured with general liability limits of at least $1,000,000 per occurrence in accordance with Exhibit A. F. INDEMNIFICATION To the maximum extent permitted by Florida law, the SPONSOR shall indemnify and hold harmless Collier County, its officers, agents and employees from any and all claims, liabilities, damages, losses, costs, and causes of action which may arise out of an act, or omission, including, but not limited to, reasonable attorneys' fees and paralegals' fees, to the extent caused by the negligence, recklessness, or intentionally 5 Packet Page -1437- CA( 6/28/2016 16.D.17. wrongful conduct of the SPONSOR or any of its agents, officers, servants, employees, contractors, patrons, guests, clients, licensees, invitees, or any persons acting under the direction, control, or supervision of the SPONSOR in the performance of this Agreement. This indemnification obligation shall not be construed to negate, abridge or reduce any other rights or remedies which otherwise may be available to an indemnified party or person described in this paragraph. The SPONSOR shall pay all claims and losses of any nature whatsoever in connection therewith and shall defend all suits in the name of the COUNTY and shall pay all costs (including attorney's fees) and judgments which may issue there-on. This Indemnification shall survive the termination and/or expiration of this Agreement. This section does not pertain to any incident arising from the sole negligence of Collier County. The foregoing indemnification shall not constitute a waiver of sovereign immunity beyond the limits set forth in Section 768.28,Florida Statutes. G. GRANTOR RECOGNITION The SPONSOR agrees that all notices, informational pamphlets, press releases, advertisements, descriptions of the sponsorships of the Program, research reports and similar public notices prepared and released by the SPONSOR for, on behalf of, and/or about the Program shall include the statement: "FINANCED BY FLORIDA HOUSING FINANCING COPORATION (FHFC) AND COLLIER COUNTY COMMUNITY AND HUMAN SERVICES DIVISION" and shall appear in the same size letters or type as the name of the SPONSOR. This design concept is intended to disseminate key information regarding the development team as well as Equal Housing Opportunity to the general public. Construction signs shall comply with applicable COUNTY codes. H. AMENDMENTS The COUNTY and/or SPONSOR may amend this Agreement, at any time, provided that such amendments make specific reference to this Agreement, and are executed in writing, signed by a duly authorized representative of each organization, and approved by the Grantee's governing body. Such amendments shall not invalidate this Agreement, nor relieve or release the Grantee or SPONSOR from its obligations under this Agreement. The COUNTY may, in its discretion, amend this Agreement to conform with federal, state or local governmental guidelines, policies and available funding amounts, or for other reasons. If such amendments result in a change in the funding, the scope of services, or schedule of the activities to be undertaken as part of this Agreement, such modifications will be incorporated only by written amendment signed by both Grantee and SPONSOR. Expiration of Agreement: If the SPONSOR does not complete the project within the 6 Packet Page -1438- CACI 6/28/2016 16.D.17. time period, the COUNTY Manager or designee may grant a cumulative time extension of no more than 180 days and modify any subsequent project work plans to reflect the extension. SUSPENSION OR TERMINATION Either party may terminate this Agreement, at any time, by giving written notice to the other party of such termination, and specifying the effective date thereof, at least 90 days before the effective date of such termination. In the event of any termination for convenience, all finished or unfinished documents, data, reports or other materials prepared by the SPONSOR under this Agreement shall, at the option of the COUNTY, become the property of the COUNTY. The COUNTY may also suspend or terminate this Agreement,in whole or in part, if the SPONSOR materially fails to comply with any term of this Agreement, or with any of the rules, regulations or provisions referred to herein, in addition to other remedies as provided by law. If through any cause, the SPONSOR shall fail to fulfill in a timely and proper manner its obligations under this Agreement, or violates any of the covenants, agreements, or stipulations of this Agreement, the COUNTY shall thereupon have the right to terminate this Agreement or suspend payment in whole or part by giving written notice to the SPONSOR of such termination or suspension of payment and specify the effective date thereof, at least five (5)working days before the effective date of termination or suspension. See Section VII. G. — Corrective Action for escalation steps leading to suspension or termination for non-compliance. If payments are withheld, Community and Human Services Division staff shall specify in writing the actions that must be taken by the SPONSOR as a condition precedent to resumption of payments and shall specify a reasonable date for compliance. Sufficient cause for suspension of payments shall include,but not be limited to: Ineffective use of funds. Failure to comply with Section II, Scope of Service of this Agreement. * Failure to submit periodic reports as determined by the COUNTY. J. PURCHASING All purchasing for services and goods, including capital equipment, shall be made by purchase order or by a written contract and in conformity with the thresholds of Collier County Purchasing Policy. Purchasing Threshold Policy Dollar Range($) Quotes Under$3K 1 Written Quote $3K to $50K 3 Written Quotes Request for Proposal (RFP) Above $50K Invitation for Bid(IFB) 7 Packet Page -1439- 6/28/2016 16.D.17. VIII. ADMINISTRATIVE REQUIREMENTS A. RECORDS TO BE MAINTAINED The SPONSOR shall maintain all records required by the COUNTY that are pertinent to the activities to be funded under this Agreement as established in Exhibit"B" (Rental Acquisition Project Requirements). B. RETENTION The SPONSOR shall retain all records pertinent to expenditures incurred under this Agreement for a period of five (5) fiscal years after the funds have been expended and accounted for, provided applicable audits have been released. Notwithstanding the above, if there is litigation, claims, audits,negotiations or other actions that involve any of the records cited and that have started before the expiration of the five-year period, then such records must be retained until completion of the actions and resolution of all issues,or the expiration of the ten-year period,whichever occurs later. C. DISCLOSURE The SPONSOR shall maintain records in accordance with Florida's Public Information Law(F.S. 119). D. CLOSEOUTS The SPONSOR's obligation to the COUNTY shall not end until all closeout requirements are completed, Activities during this closeout period shall include,but not be limited to: making final payments, disposing of program assets (including the return of all unused materials, equipment, program income balances, and receivable accounts to the COUNTY), close out monitoring and determining the custodianship of records. In addition to the records retention outlined in Section VIII.B, the SPONSOR shall comply with Section 119.021 Florida Statutes regarding records maintenance, preservation and retention. A conflict between state and federal law records retention requirements will result in the more stringent law being applied such that the record must be held for the longer duration. Any balance of unobligated funds which have been advanced or paid must be returned to the County. Any funds paid in excess of the amount to which the SPONSOR is entitled under the terms and conditions of this Agreement must be refunded to the COUNTY. The SPONSOR shall also produce records and information that complies with Section 215.97, Florida Single Audit Act. At the time of closeout, if not already done, the County shall secure a note and mortgage on the property for the amount of SHIP funds invested. The SPONSOR shall be responsible for ongoing reporting, subject to onsite monitoring, tenant income qualification activities and continued use for a period of 15 years. E. AUDITS AND INSPECTIONS 1, Audits Pursuant to Florida Statute 215.97(6) (Florida Single Audit Act), in the event that 8 Packet Page -1440- t A 6/28/2016 16.D.17. the SPONSOR expends a total amount of State awards equal to or in excess of$500,000 in any fiscal year of such SPONSOR, the SPONSOR must have a State single or project-specific audit for such fiscal year in accordance with Section 215.97, Florida Statutes; applicable rules of the Executive Office of the Governor and the Comptroller, and Chapter 10.650,Rules of the Auditor General. In connection with these audit requirements, the SPONSOR shall ensure that the audit complies with the requirements of Section 215.97(7), Florida Statutes. This includes submission of a reporting package as defined by Section 215.97(2)(d), Florida Statutes, and Chapter 10.650, Rules of the Auditor General. The financial reporting package must be delivered to the COUNTY within 45 days after delivery of the financial reporting package to the SPONSOR but no later than 180 days after the SPONSOR's fiscal year end. Submit the financial reporting package and Exhibit F to the Grant Coordinator. If the SPONSOR expends less than $500,000 in State awards in its fiscal year, an audit conducted in accordance with the provisions of Section 215.97, Florida Statutes,is not required. In the event that the SPONSOR expends less than $500,000 in State awards in its fiscal year and elects to have an audit conducted in accordance with the provision of Section 215.97, Florida Statutes, the cost of the audit must be paid from non-State funds. 2. Inspections �.., The SPONSOR'S records with respect to any matters covered by this Agreement shall be made available to the COUNTY and/or the FHFC at any time during normal business hours, as often as the COUNTY or the FHFC deems necessary, to audit, examine, and make excerpts or transcripts of all relevant data. F. MONITORING The SPONSOR agrees that CHS will carry out no less than one (1) annual on-site monitoring visit and evaluation activities as determined necessary for a period of fifteen (15) years. At the COUNTY's discretion, a desk top review of the activities may be conducted in lieu of an on-site visit. The continuation of this Agreement is dependent upon satisfactory evaluations. The SPONSOR shall, upon the request of CHS, submit information and status reports required by CHS to enable CHS to evaluate said progress and to allow for completion of reports required. The SPONSOR shall allow CHS to monitor the SPONSOR on site. Such site visits may be scheduled or unscheduled as determined by CHS. The COUNTY will monitor the performance of the SPONSOR based on goals and performance standards as stated with all other applicable federal, state and local laws, regulations, and policies governing the funds provided under this Agreement. Substandard performance, as determined by the COUNTY, will constitute noncompliance with this Agreement. If corrective action is not taken by the SPONSOR within a reasonable period of time after being notified by the COUNTY, contract suspension or termination procedures will be initiated. The SPONSOR agrees to provide the COUNTY, or the COUNTY's internal auditor(s) access to all records related to performance of activities in this agreement. 9 Packet Page-1441- 6/28/2016 16.D.17. G. CORRECTIVE ACTION Corrective action plans may be required for noncompliance, nonperformance, or unacceptable performance under this Agreement. Penalties may be imposed for failures to implement or to make acceptable progress on such corrective action plans. In order to effectively enforce Resolution 2013-228, Community and Human Services (CHS) Division has adopted an escalation policy to ensure continued compliance by recipients, SPONSORS, or any entity receiving grant funds from CHS. CHS's policy for escalation for non-compliance is as follows: 1. Initial non-compliance may result in Findings or Concerns being issued to the entity and will require a corrective action plan be submitted to the Division within 15 days following the monitoring visit. • Any pay requests that have been submitted to the Division for payment will be held until the corrective action plan has been submitted. • CHS will be available to provide Technical Assistance (TA) to the entity as needed in order to correct the non-compliance issue. 2. If in the case an Entity fails to submit the corrective action plan in a timely manner to the Division, the Division may require a portion of the awarded grant amount be returned to the Division. • The Division may require upwards of five percent (5%) of the awarded amount be returned to the Division, at the discretion of the CHS Director. • The entity may be considered in violation of Resolution 2013-228. 3. If in the case an Entity continues to fail to correct the outstanding issue or repeats an issue that was previously corrected, and has been informed by the Division of their substantial non-compliance,by certified mail;the Division may require a portion of the awarded grant amount be returned to the Division. • The Division may require upwards of ten percent (10%) of the awarded amount be returned to the Division, at the discretion of the CHS Director. • The entity will be considered in violation of Resolution 2013-228 4. If in the case after repeated notification the Entity continues to be substantially non-compliant, the Division may recommend the contract or award be terminated. • The Division will make a recommendation to the Board of County Commissioners to immediately terminate the agreement or contract. The Entity will be required to repay all funds disbursed by the County for project that was 10 Packet Page-1442- C 6/28/2016 16.D.17. tl terminated. The entity will be considered in violation of Resolution No. 2013-228 If in the case the Entity has multiple agreements with the Division and is found to be non-compliant, the above sanctions may be imposed across all awards at the Director's discretion. H. PROGRESS REPORTS The SPONSOR shall submit regular Quarterly Progress Report (Exhibit E) to the COUNTY in the form, content and frequency required by the COUNTY. IX. CIVIL RIGHTS COMPLIANCE The SPONSOR agrees that no person shall, on the ground of race, creed, color, religion, national origin, sex, handicap, familial status, marital status or age be excluded from the benefits of,or be subjected to discrimination under any activity carried out by the SPONSOR in performance of this Agreement. Upon receipt of evidence of such discrimination, the COUNTY shall have the right to terminate this Agreement. The SPONSOR will take affirmative action to ensure that all employment practices are free from such discrimination. Such employment practices include but are not limited to the following: hiring, upgrading, demotion, transfer, recruitment or recruitment advertising, layoff, termination, rate of pay or other forms of compensation, and selection for training, including apprenticeship. The SPONSOR agrees to post in conspicuous places, available to employees and applicants for employment,notices setting forth the provisions of this nondiscrimination clause.- X. PROHIBITED ACTIVITY The SPONSOR is prohibited from using funds provided herein or personnel employed in the administration of the program for: political activities; sectarian or religious activities; lobbying, political patronage, and nepotism activities. XL SEVERABILITY OF PROVISIONS If any provision of this Agreement is held invalid, the remainder of this Agreement shall not be affected thereby, if such remainder would then continue to conform to the terms and requirements of applicable law. XII. AVAILABILITY OF FUNDS The parties acknowledge that the Funds originate from SHIP grant funds from FHFC and must be implemented in full compliance with all of SHIP rules and regulations and any agreement between COUNTY and FHFC governing FHFC funds pertaining to this Agreement. In the event of curtailment or non-production of said state funds, the financial sources necessary to continue to pay the SPONSOR all or any portions of the funds will not be available. In that 11 Packet Page-1443- C40 6/28/2016 16.D.17. event, the COUNTY may terminate this Agreement, which termination shall be effective as of the date that it is determined by the County Manager or designee, in his-her sole discretion and judgment, that the funds are no longer available. In the event of such termination, the SPONSOR agrees that it will not look to, nor seek to hold the COUNTY, nor any individual member of the County Commissioners and/or County Administration, personally liable for the performance of this Agreement, and the COUNTY shall be released from any further liability to the SPONSOR under the terms of this Agreement. XIII. DEFAULTS,REMEDIES,AND TERMINATION This Agreement may also be terminated for convenience by either the County or the SPONSOR, in whole or in part, by setting forth the reasons for such termination, the effective date, and, in the case of partial terminations, the portion to be terminated. However, if in the case of a partial termination, the County determined that the remaining portion of the award will not accomplish the purpose for which the award was made, the County may terminate the award in its entirety. The following actions or inactions by the SPONSOR shall constitute a Default under this Agreement: A. Failure to comply with any of the rules, regulations or provisions referred to herein, or such statutes, regulations, executive orders, and SHIP guidelines, policies or directives as may become applicable at any time; B. Failure, for any reason, of the SPONSOR to fulfill, in a timely and proper manner, its obligations under this Agreement; C. Ineffective or improper use of funds provided under this Agreement; D. Submission, by the SPONSOR to the COUNTY, of reports that are incorrect or incomplete in any material respect. E. Submission by the SPONSOR of any false certification; F. Failure to materially comply with any terms of this Agreement; G. Failure to materially comply with the terms of any other agreement between the County and the SPONSOR relating to the project. In the event of any default by the SPONSOR under this Agreement, the County may seek any combination of one or more of the following remedies: 1. Require specific performance of the Agreement,in whole or in part; 2. Require the use of, or change in,professional property management; 3. Require immediate repayment by the SPONSOR to the County of all SHIP funds the SPONSOR has received under this Agreement; 12 Packet Page -1444- 6/28/2016 16.D.17. 4. Apply sanctions,if determined by the County to be applicable; 5. Stop all payments,until identified deficiencies are corrected; 6. Terminate this Agreement by giving written notice to the SPONSOR of such termination and specifying the effective date of such termination. If the Agreement is terminated by the County as provided herein, the SPONSOR shall have no claim of payment or claim of benefit for any incomplete project activities undertaken under this Agreement. XIV. OPPORTUNITIES FOR RESIDENTS To the greatest extent feasible, lower-income residents of the project areas shall be given opportunities for training and employment; and to the greatest feasible extent eligible business concerns located in or owned in substantial part by persons residing in the project areas shall be awarded contracts in connection with the project.The SPONSOR is encouraged to comply with Section 3 of the Housing and Community Development Act of 1968. XV. OPPORTUNITIES FOR SMALL AND MINORITY/WOMEN OWNED BUSINESS ENTERPRISES The SPONSOR will use its best efforts to afford small businesses, minority business enterprises, and women's business enterprises the maximum practicable opportunity to participate in the performance of this contract. As used in this contract, the terms "small business"means a business that meets the criteria set forth in section 3(a) of the Small Business Act, as amended (15 U.S.C. 632), and "minority and women's business enterprise" means a business at least fifty-one (51) percent owned and controlled by minority group members or women. For the purpose of this definition, "minority group members" are Afro-Americans, Spanish-speaking, Spanish surnamed or Spanish-heritage Americans, Asian-Americans, and American Indians. The SPONSOR may rely on written representations by businesses regarding their status as minority and female business enterprises, in lieu of an independent investigation. XVI. AFFIRMATIVE ACTION The SPONSOR agrees that it shall be committed to carry out pursuant to the COUNTY's specifications an Affirmative Action Program in keeping with the principles as provided in President's Executive Order 11246 of September 24, 1966. The COUNTY shall provide Affirmative Action guidelines to the SPONSOR to assist in the formulation of such program. Prior to the award of funds, the SPONSOR shall submit for approval, a plan for an Affirmative Action Program. The Affirmative Action Program will need to be updated throughout the fifteen year affordability period and must be re-submitted to County within 30 days of each update/modification. 13 1 Packet Page -1445- 3 6/28/2016 16.D.17. XVII. CONFLICT OF INTEREST The SPONSOR covenants that no person under its employ who presently exercises any functions or responsibilities in connection with the Project, has any personal financial interest, direct or indirect, in the Project areas or any parcels therein, which would conflict in any manner or degree with the performance of this Agreement and that no person having any conflict of interest shall be employed by or subcontracted by the SPONSOR. The SPONSOR covenants that it will comply with all provisions of FL 287.057 "Conflict of Interest", and 2 CFR 200.318, and any additional State and County statutes, regulations, ordinance or resolutions governing conflicts of interest. Any possible conflict of interest on the part of the SPONSOR or its employees shall be disclosed, in writing,to CHS provided,however,that this paragraph shall be interpreted in such a manner so as not to unreasonably impede the statutory requirement that maximum opportunity be provided for employment of and participation of low and moderate-income residents of the project target area. The SPONSOR will notify the COUNTY, in writing, and seek COUNTY approval, prior to entering into any contract with an entity owned, in whole or in part, by a covered person or an entity owned or controlled, in whole or in part, by the SPONSOR. The COUNTY may review the proposed contract to ensure that the contractor is qualified and that the costs are reasonable. Approval of an identity of interest contract will be in the COUNTY's sole discretion. This provision is not intended to limit the SPONSOR's ability to self-manage the projects using its own employees. XVIII. INCIDENT REPORTING If services to clients are to be provided under this agreement, the SPONSOR and any subcontractors shall report knowledge or reasonable suspicion of abuse, neglect, or exploitation of a child,aged person, or disabled adult to the County. XIX. RELIGIOUS ORGANIZATIONS State funds may be used by religious organizations or on property owned by religious organizations only in accordance with requirements set in Florida Statue, Chapter 196.011.The SPONSOR shall comply with First Amendment Church/State principles as follows: A. It will not discriminate against any employee or applicant for employment on the basis F g of religion and will not limit employment or give preference in employment to persons on the basis of religion. B. It will not discriminate against any person applying for public services on the basis of religion and will not limit such services or give preference to persons on the basis of religion. C. It will retain its independence from Federal, State and Local Governments and may continue to carry out its mission, including the definition, practice and expression of its religious beliefs, provided that it does not use direct State funds to support any 14 Packet Page -1446- 6/28/2016 16.D.17. inherently religious activities,such as worship,religious instruction or proselytizing. D. The funds shall not be used for the acquisition, construction or rehabilitation of structures to the extent that those structures are used for inherently religious activities. Where a structure is used for both eligible and inherently religious activities, SHIP funds may not exceed the cost of those portions of the acquisition, construction or rehabilitation that are attributable to eligible activities in accordance with the cost accounting requirements applicable to SHIP funds in this part. Sanctuaries, chapels, or other rooms that a SHIP funded religious congregation uses as its principal place of worship,however, are ineligible for SHIP funded improvements. XX. NATURAL DISASTER In the event of a natural disaster, this Agreement may be suspended or terminated and funds transferred to recovery activities as determined by the COUNTY. Funds subject to this provision shall be those that are not contractually committed for construction, design or other such third party private vendors. XXI. ENFORCEMENT OF AGREEMENT The benefits of this Agreement shall inure to, and may be enforced by the COUNTY for the duration of the Agreement, whether or not the COUNTY shall continue to be the holder of the Mortgage, whether or not the Project loan may be paid in full, and whether or not any bonds issued for the purpose of providing funds for the project are outstanding. The SPONSOR warrants that it has not, and will not,execute any other agreement with provisions contradictory to, or in opposition to, the provisions hereof, and that, in any event, the requirements of this Agreement are paramount and controlling as to the rights and obligations herein set forth and supersede any other requirements in conflict herewith. However, this shall not preclude the COUNTY from subordinating its loan to construction financing. XXII. ACQUISITION,RELOCATION,AND DISPLACEMENT The SPONSOR acknowledges that the SPONSOR will bear sole responsibility for any costs or reimbursements, legal or otherwise, from person or persons claiming that they have been involuntarily displaced by the acquisition of real property associated with development of the Project. XXIII. COPYRIGHTS AND PATENTS If this Agreement results in a book or other copyright materials or patent materials, The SPONSOR may copyright or patent such, but Collier COUNTY and the State of Florida reserve a royalty-free, nonexclusive, and irrevocable license to reproduce, publish or otherwise use such materials and to authorize others to do so, XXIV.FORCE MAJURE The SPONSOR covenants and agrees that subject to matters of force majeure the work shall be completed on or before Twelve (12) months from the date of this Agreement. This Agreement 15 Packet Page -1447- SAO 6/28/2016 16.D.17. shall be amended between the COUNTY and the SPONSOR when all permits have been issued to set forth and determine the date of commencement of the work. Matters of force majeure shall include,but not necessarily be limited to bonafide weather disturbances, strikes, shortages of material, governmental delays, exclusive of those caused by or as a result of the fault of the Construction Manager, and those matters over which the Construction Manager has no control. Force majeure shall not be construed to reduce the obligation of the SPONSOR to timely complete the project because of the failure of contractors and subcontractors to timely complete their work,unless such delay is within the definition of the term force majeure. XXV. COUNTERPARTS OF THE AGREEMENT This Agreement, consisting of twenty-eight (28) enumerated pages and the exhibits and attachments referenced herein, shall be executed in two counterparts, each of which shall be deemed to be an original,and such counterparts will constitute one and the same instrument, IN WITNESS WHEREOF,the SPONSOR and the County, have each, respectively,by an authorized person or agent,hereunder set their hands and seals on the date first written above. ATTEST: DWIGHT E. BROCK, CLERK BOARD OF COUNTY COMMISSIONERS OF COLLIER COUNTY,FLORIDA ,Deputy Clerk By: DONNA FIALA, CHAIRMAN Dated: (SEAL) DATE Community and Assisted and Supported Living D.B.A Renaissance Manor By: Scott Eller,President ji DA 1'E Approved as to form and legality: Jennifer A. Belpedio Assistant County Attorney px,-w 16 Packet Page-1448- 6/28/2016 16.D.17. EXHIBIT "A" INSURANCE REQUIREMENTS The SPONSOR shall furnish to Collier County, do Community and Human Services Division, 3339 E. Tamiami Trail, Suite 211, Naples, Florida 34112, Certificate(s) of Insurance evidencing insurance coverage that meets the requirements as outlined below: 1. Workers' Compensation as required by Chapter 440,Florida Statutes. 2. Commercial General Liability including products and completed operations insurance in the amount of$1,000,000 per occurrence and $2,000,000 aggregate. Collier County must be shown as an additional insured, with respect to this coverage. 1 3. Automobile Liability Insurance covering all owned, non-owned and hired vehicles used in connection with this contract in an amount not less than$1,000,000 combined single limit for combined Bodily Injury and Property Damage. Collier County shall be named as an additional insured. DESIGN STAGE(IF APPLICABLE) In addition to the insurance required in 1 — 3 above, a Certificate of Insurance must be provided as follows: 4. Professional Liability Insurance in the name of the SPONSOR or the licensed design professional employed by the SPONSOR, in an amount not less than $1,000,000 per occurrence/$1,000,000 aggregate, providing for all sums which the SPONSOR and/or the design professional shall become legally obligated to pay as damages for claims arising out of the services performed by the SPONSOR or any person employed by the SPONSOR, in connection with this contract. This insurance shall be maintained for a period of two (2) years after the certificate of Occupancy is issued. Collier County shall be named as an additional insured. CONSTRUCTION PHASE(IF APPLICABLE) In addition to the insurance required in 1 — 4 above, the SUBRECIPEINT shall provide or cause its Subcontractors to provide original certificates indicating the following types of insurance coverage prior to any construction: 5. Completed Value Builder's Risk Insurance on an "All Risk"basis in an amount not less than one hundred (100%) percent of the insurable value of the building(s) or structure(s). The policy shall be in the name of Collier County and the SPONSOR. 6. In accordance with the requirements of the Flood Disaster Protection Act of 1973 (42 U.S.C. 4001),the SPONSOR shall assure that for activities located in an area identified by the Federal Emergency Management(FEMA) as having special flood hazards, flood insurance under the National Flood Insurance Program is obtained and maintained as a condition of financial assistance for acquisition or construction purposes (including rehabilitation). 17 Packet Page -1449- 6/28/2016 16.D.17. OPERATION/MANAGEMENT PHASE(IF APPLICABLE) "4 After the Construction Phase is completed and occupancy begins, the following insurance must be kept in force throughout the duration of the loan and/or contract: 7. Workers' Compensation as required by Chapter 440,Florida Statutes. • 8. Commercial General Liability including products and completed operations insurance in the amount of$1,000,000 per occurrence and $2,000,000 aggregate. Collier County must be shown as an additional insured with respect to this coverage. 9. Automobile Liability Insurance covering all owned, non-owned and hired vehicles used ' in connection with this contract in an amount not less than$1,000,000 combined single limit for combined Bodily Injury and Property Damage. Collier County as an additional insured. 10. Property Insurance coverage on an "All Risk" basis in an amount not less than one hundred(100%) of the replacement cost of the property. Collier County must be shown as a Loss payee with respect to this coverage A.T.I.M.A. I 11. Flood Insurance coverage for those properties found to be within a flood hazard zone for the full replacement values of the structure(s) or the maximum amount of coverage available through the National Flood Insurance Program (NFIP). The policy must show Collier County as a Loss Payee A.T.I.M.A. ,--[ ti 18 OVA. Packet Page-1450- 6/28/2016 16.D.17. EXHIBIT B RENTAL ACQUISTION PROJECT REQUIREMENTS RENTAL ACQUISITION ONLY The Project is to be developed as affordable residential rental housing in accordance with the SHIP Program and the Collier County LHAP FY 2013-2016. The SPONSOR shall perform the following activity under this agreement: a) Acquire rental property 1) Affordability of SHIP -Assisted Units: For the duration of the Affordability Period (15 years), as defined in the Note and Mortgage/Land Use Restriction Agreement(LURA) of even date, a minimum of 4 units in the Project shall be SHIP-Assisted units. All SHIP-Assisted units in the Project shall be fixed and rented or held available for rental on a continuous basis to persons or families who, at the commencement of occupancy shall have a verified annual income that does not exceed 80% of the Area Median Income (AMI), as defined by the Department of Housing and Urban Development (HUD) and Florida Housing Finance Corporation. Rents on these units shall be restricted to the SHIP Program rent limits. Maximum eligible income and rent limits are revised annually and are available from the COUNTY. The SPONSOR covenants that all of the units will be rented to income-eligible tenants as defined by the Department of Housing and Urban Development (HUD). Income Limits will be restrictive to in accordance to HUD income limits for a minimum affordability period of fifteen (15) years from the. All units carry rent and occupancy restrictions until June 1, 2031, which remain in force regardless of transfer of ownership. SHIP-Assisted units shall be reserved for and rented to households which qualify for the following: SHIP-Assisted Units According to Income Limits Income Limits Number SHIP-Assisted Units 30%-Extremely Low 1 50%-Very Low 1 80% -Low 2 Total of Units (Minimum) 4 *Units divided into income category according to SHIP-Assisted units under affordability period. When units are occupied by two (2) applicants (roommates) each applicant's income will be evaluated individually based on 80% of the AMI, as defined by the Department of Housing and Urban Development. Both applicants portion of rent combined cannot exceed the SHIP Program rent limits. This Agreement incorporates, by reference, terms and conditions described in the Mortgage and Note of even date and any other agreements enforcing the SHIP requirements associated with said Mortgage and Note. The budget for the Project is estimated to be ($412,500) (FOUR HUNDRED TWELVE THOUSAND FIVE HUDNRED DOLLARS) is provided by the COUNTY through the 19 (2) Packet Page -1451- 6/28/2016 16.D.17. SHIP PROGRAM. Project acquisition will commence and be completed as defined and set forth in the affordable housing development schedule incorporated by reference. In no event will acquisition be completed later than 120 days from the date of this agreement. Acquisition will progress in accordance with the deliverable schedule submitted by the SPONSOR to obtain financing. The SPONSOR shall submit evidence of mortgagee title insurance prior to the closing of the County's acquisition loan, which conforms to.the following specifications: A paid title insurance policy, in form and content, with a company acceptable to the County, insuring that the Subordinate Mortgage Loan Documents (as defined in the Note) constitute a valid subordinate position lien on the Property,free and clear of all defects and encumbrances,and containing: . a) no survey exceptions, other than those heretofore approved by the County; b) coverage to the extent of any disbursement of the Loan together with a pending disbursements clause, in form and substance, satisfactory to the Lender and its counsel; and h' c) Zoning coverage—As applicable The SPONSOR shall provide evidence of annual renewals of insurance coverage during the period of affordability. 2.) Compliance: The SPONSOR shall determine and verify the income eligibility of tenants in accordance with HUD Section 8 housing assistance programs in 24 CFR Part 5 for the Project. Income shall be calculated by annualizing verified sources of income for the household as the amount of income to be received by a household, during the 12 months, following the effective date of the determination. The Annual Gross Income, as defined in Section 420.9071(4), F.S, must be used and the SHIP Program income limits cannot be exceeded. The SPONSOR shall maintain complete and accurate income records pertaining to each tenant occupying a SHIP-assisted unit. Onsite inspections will be conducted annually upon reasonable prior written notice to verify compliance with tenant income, rents and the minimum property standards as stated in Section 420.907-420.9079, Florida Statutes and Rule 67-37, Florida Administrative Code, as they may be amended from time to time. 3.) Restriction on Use: The SPONSOR is required to comply with all applicable program requirements of the State Housing Initiatives Partnership (SHIP) Program, including but not limited to Section 420.907-420.9079, Florida Statutes and Rule 67-37, Florida Administrative Code and Collier County Rehab Standards (Exhibit G). Any or all of these regulations may, but are not required to,be specifically set forth in any additional loan documents executed in connection with the Loan. The SPONSOR shall include such language as the County may require in any agreements with prospective tenants of the Project, or any portion,thereof to evidence such requirements. 4.) Default of Subordinate Mortgage: The Subordinate Mortgage and Notes shall provide that a default shall occur if: a. Sale; if proceeds are not sufficient to pay off the mortgage note, then the property owner (not-for-profit or for profit) may contact the County regarding a settlement amount of the SHIP loan. a Packet Page-1452- 1 ' 6/28/2016 16.D.17. b. Title transfer, either voluntarily or by operation of law, divested of title by judicial sale,levy or other proceedings,including foreclosure or Deed in Lieu. c. Refinance; a refinance of the first mortgage may be approved without repayment if the request is submitted in writing and the refinance is at a lower fixed rate, with no cash out,in accordance with the"Subordination Policy". d. Property will no longer serve the intended target population. e. Repayment of the loan is required in full when any of the aforementioned conditions is met,whichever occurs first. Other defaults may trigger repayment, if not cured within any applicable cure or notice period following a monitoring. f. Lack of compliance by the SPONSOR with the State statutes or County Codes, which has not been corrected within thirty days of written notice from the County; g. The SPONSOR has not begun to offer minimum of two (2) affordable rental housing to extremely low, very low and low income families and individuals, in accordance with the provisions of Part 1 of Exhibit B on or before, January 1,2017; h. The SPONSOR abandons, and/or ceases to use the Property as affordable rental housing to tenants,without the prior written approval of the County; 5. Assurance of Public Purpose: The SPONSOR covenants that if the SPONSOR is unable or unwilling to develop the property in accordance with the terms and conditions incorporated herein, no lease, sale, or title transfer to any third party shall occur prior to giving the COUNTY, a 90 (Ninety) day notification, during which time— the COUNTY shall have the right, solely at the COUNTY'S discretion, to purchase or find another SPONSOR to purchase the Project, in order to carry out the eligible activities of the SHIP Program, for an amount not to exceed the amount of funds provided by the COUNTY through the Program. 6. Affirmative Marketing: The SPONSOR shall adopt appropriate procedures for affirmatively marketing the SHIP-assisted units. Affirmative marketing consists of good faith efforts to provide information and otherwise to attract to the available housing, eligible persons from all racial, ethnic and gender groups in the housing market area. The SPONSOR shall be required to use affirmative fair housing marketing practices in soliciting renters, determining eligibility, concluding transactions, and affirmatively further fair housing efforts. The SPONSOR must maintain a file containing all marketing efforts (i.e. copies of newspaper ads, memos of phone calls, copies of letters, etc.) to be available for inspection on request by the COUNTY. The SPONSOR must provide a description of intended actions that will inform and otherwise attract eligible persons from all racial, ethnic, and gender groups in the housing market of the available housing. The SPONSOR must provide the COUNTY with an assessment of the affirmative marketing program. Assessment must 21 Packet Page -1453- 6/28/2016 16.D.17. include: a) methods used to inform the public and potential renters about federal fair housing laws and affirmative marketing policy, b) methods used to inform and solicit applications from persons in the housing market who are not likely to apply without special outreach; and c) records describing actions taken by the participating entity and/or owner to affirmatively market units; and records to assess the results of these actions. 7. Tenant Leases and Protections: Tenants applying for rental housing units shall be qualified on a first-qualified, first-served basis. Tenants must be income-eligible and must occupy the rental unit as a primary residence. The SPONSOR shall comply with the provisions of the Florida Landlord Tenant Act defined in Chapter 83 Part II of the Florida Statutes, SHIP Program, and COUNTY requirements,which prohibit certain lease terms. All tenant leases for assisted units shall be expressly subordinate to the Mortgage and shall contain clauses, among others, wherein each individual lessee: A. Agrees that the household income, household composition and other eligibility requirements shall be deemed substantial and material obligations of the tenancy; that the tenant will comply promptly with all requests for information with respect thereto from the SPONSOR or the COUNTY, and that tenant's failure to provide accurate information about household income or refusal to comply with a request for information with respect thereto shall be deemed a violation of a substantial obligation of his/her tenancy;and B. Agrees not to sublease to any person or family who does not meet income qualifications as determined,verified, and certified by the SPONSOR; and C. States that the rental unit is the primary residence of the tenant; and D. Agrees that the lease shall be for a one-year period, unless other terms are mutually agreed upon by the SPONSOR and tenant, E. Documentation of special needs. The SPONSOR will submit to the County, a copy of the tenant/owner lease agreement. Prior to the signing by the tenant, the lease will be reviewed for compliance with affirmative marketing, tenant selection and SHIP provisions stated in Section 420.907-420.9079, Florida Statues and Rule 67-37,Florida Administrative Code. 8. Project Requirements: The SPONSOR agrees to not undertake any activity that may adversely affect historic or environmental sensitivity of the site and to mitigate any findings identified in an environmental assessment. The SPONSOR agrees that in the event that the Project is located in a Designated Flood Zone, all government requirements for construction in a flood zone shall be satisfied. The SPONSOR shall develop and submit to CHS, within 30 days of contract execution, an acquisition schedule to include the following: Project acquisition will commence and be completed in accordance with the schedule submitted and in no event will acquisition commence later than 120 days from the date of this Agreement nor 22 Packet Page-1454- 3VD 6/28/2016 16.D.17. will the project be completed later than 12 months from the date of this agreement. Further, "project completion date" will mean issuance of all certificates of occupancy and completion of initial lease-up. TENTATIVE SCHEDULE Sites Identified/Site Due Diligence June 2016 Property Under Conditional Contract July 2016 Environmental Requirements Met/Residents August 2016 il Identified Property Acquired/Rehabilitation Performed as October-November 2016 Needed(CASL) Residents Moved in/Beneficiaries Reported June 30, 2017 9. Property Standards: The SPONSOR attests that the Project will meet the standards of the Florida Building Code and all applicable local codes, standards, ordinances, and zoning ordinances at the time of project completion and throughout the duration of the affordability period. The Project will also meet the accessibility requirements at 24 CFR part 8, which implements Section 504 of the Rehabilitation Act of 1973 (29 U.S.C. 794) and covered multifamily dwellings, as defined at 24 CFR 100.201, and the design and construction requirements at 24 CFR 100.205, which implement the Fair Housing Act(42 U.S.C. 3601-3619), in the event property rehabilitated at any time during affordability period. In accordance with the Local Housing Assistance Plan, a SPONSOR shall follow each SHIP Program strategy program requirements below: Energy Efficient Best Practices: Section 420.9075(3)(d), F.S. defines Energy Efficient Best Practices as: Innovative design, green building principles, storm resistant construction or other elements that reduce long term costs relating to maintenance,utilities or insurance in the event property rehabilitated at any time during affordability period. Collier County requires the use or inclusion, when appropriate, of the following: energy star appliances; low-E windows; additional insulation (for increased R-value); ceramic tile;tank-less water heater; 14 and 15 SEER air conditioning units; stucco; florescent light bulbs; and impact resistant windows and doors. 10. Property Management. The COUNTY reserves the right to require the SPONSOR to enter into a contract with a property management firm approved by the COUNTY, for professional management services for the Property providing for leasing, collection of rents,maintenance and repair of Property, and other property management tasks as the COUNTY may require in the event the SPONSOR is failing to meet tenant needs. Such contract shall stipulate that the contract will not be amended or terminated without prior written consent of the COUNTY. 23 Packet Page -1455- 6/28/2016 16.D.17. EXHIBIT C BUDGET NARRATIVE RENTAL ACQUISITION PROGRAM The total SHIP allocation to the SPONSOR for the Rental Acquisition,Program shall not exceed FOUR HUNDRED TWELVE THOUSAND FIVE DOLLARS ($412,500). Sources for these funds are as follows: Fiscal Year Rental Rehah 'otat 2014-2015 $300,000.00 $300,000.00 2015-2016 $112,500.00 $112,.500.00 Total Funds $412,500 00 ''$412,500 00 Uses of these funds are as follows: Funds shall be disbursed in the following manner for the following uses: 1. Acquisition expenditure shall not exceed$300,000 per property acquired. 2. Funds will be disbursed via wire transfer at the time of closing. 24 Packet Page -1456- 6/28/2016 16.0.17. EXHIBIT D REPORTS Report Title Documentation Required Due Date Quarterly Report Progress report detailing 30 days after the end of the accomplishments calendar quarter until June 30, 2017 and annually thereafter Insurance Proof of coverage in accordance Annually within 30 days after (Flood,Property,O&D) with Exhibit A/Declaration page renewal SPONSOR Audit Audit report,Management Within 9 months after the end of Letter and Exhibit F the SPONSOR fiscal year through 2031 Quarterly Operating Statement Revenue and Expense and all 10 days after the end of the necessary supporting calendar year documentation as requests Tenant/Lease Agreement Lease Submit prior to signing by first tenant and any addendums or changes thereafter through the period of affordability. Special Grant Policies See section III (B) Within 60 days of contract execution Project Schedule See section III(A) Within 30 days of contract execution 25 OVD Packet Page-1457- 6/28/2016 16.D.17. EXHIBIT"E" QUARTERLY PROGRESS REPORT Complete form for preceding quarter and submit to Community and Human Services staff by the IS`of the following quarterly month. Status Report for the Quarter Ending: Submittal Date: Project Name: Project Number: SPONSOR:Community Assisted&Supported Living,Inc. Contact Person: Telephone: Fax: E-mail: PROPERTY UNIT DATA Number of units under rehab this period Number of units completed this period Number of units completed to date EXPENDITURE DATA Amount of funds expended this period Amount of funds expended to date New Contracts executed this period Name of Contractor Address Amount of Contract Income Date Client Income Category Income Amount What events/actions are scheduled for the next month? Identify any issues that may cause delay in meeting scheduled expenditure deadline dates. Date Signature 26 Packet Page -1458- 0°1'D 6/28/2016 16.D.17. EXHII3IT"F" ANNUAL AUDIT MONITORING REPORT CirCtilar,2,0FR2Q0.660:irequireOP011ier.COuntytOmonitotSp9.NSpR...Of federelaWardSJOdeterniine:„.ifSpc).NSpRare' CCi-ripliant•WitkeStObliphedeUdit.reqUirernentp .ACCordingly,LO011ier!POunty:..reO0ireS,thotall.aPprOptiate-rdaCumeritattOri iprovided regarding... • • • .: • . • • .••• ..•.•••••-. • -•,: .... . ... . • • •••••.... ....• ;:'•':,........................... : . ............. . . ....,.... .., ... ...... ....,..••:....••. .....:•:: •... . ..,„......... In determining Federal awards jr)..0,f10001:'year,!:•thCentity., ripst!ponpider.:•ariisouroepof Federal awards based on when the activity related to the Federal award occurs, including,any Federal award provided by Collier County.fl determination•of•amOtintabfFederaVaWardd:,einendedhall be in accordance with the guidelines established by 0MB CirdUlarAtI33i1Offiical.,yearsbeoinnind,:before.:DeCeniberi26,,2014;•,aritUeStabliahed Audit Requirements, for fiscal years beginning on or after December 26, 2014. This form may be used to monitor Florida Single Audit Act(Statute 215.97) requirements. . . SPONSOR I .. .Name ..... ......................................................................................................................... .............................. . . ........... . . First Date of Fiscal Year(MM!DDIYY) ... ...Last Date of Fiscal Year(MM1DD/Y.Y)' .......... ............................. ...... ......................................................................................................................................................................... Total Federal Financial Assistance Expended . . . .,„••••••••. ...,.::.:••••••••:... ..... ... ......................................................................................... . .... Total State Financial',ASSip4Ose!.gXpe000.4441.1001#19tduring most recently completed Fiscal Year . recently completed Fiscal Year ..;•';:•:,•:f.! ...................................... ................. ........................ ................. . •• .................................................................................................................... ............. . . ............. . ............ ....• . ................... ...............!•'•..... . ... ......................... Check A or B. Check C if applicable. :.•:; expenditure-threshold for our fiscal Year::ending. as.indicated above has..peep..met,and i;a. • Circular•A-133,or.2 CFR. Part Subpart F Single Audit has been completed:orwill be completed by, . : •-•.•!.::•;:•.::•-:.•:•.:• Copies.Of:theaudit rePortand!management:letter are attached or will be provided within.30.. rws •.-••-,• days of completion:.s, ••• •••••,••• •••••:..•,: ••• ••• •••••., ••• • ...,••••• •.•• •• • "„:.. • " : ...:•••• • • • •• • •• • .. • . . ••...:,•!; We are not pri.bject.tO.Ihe•reqUireMentpof•PMB.CircularA-13aor 2CFR Part 200, ::••• •: !.Subport•F:.because'we.... .::• :••• • ••.,. ;• . ••••:•::... • • .." • •• .. • 10. Did.not exceed:the expenditure threshold pr.the.fipcal year indicated above: :• p..:Are a for-profit organization- U Are exempt for other reasons explain •• •i.• •:.• • •':•• -;...•• .." : ••• .. • •• •.: An auditedfinancial statement is attached and if applicable, the independent auditor's:management •• •••••• . • • .• .•• ••••••• •••• •••. • •.::•-•••• ••••••:• :••••••• •••• • ":.•••• • . :•••• .••••••.:: ..• • : . • ••• ••• : :....... •: .: • •.••::. • ••.... •• :•, ..• •••••••••:••• :..• ••• .••—•: • • ••• • ••• • •• ••• .••,•. ......,.. ••• • •• • •• .••••• •• • • • .. •• • • •...... .. • •• • • ••• • • • • : • • • .....:•• . . . . . . . . . . . . . . . . . .• • • • •• ... • .. • Findings Were noted,a cUttent:Status.Update ofthe•reSponses and•CorrectiVe:action:plan.is-inCluded.•separate.. ,• from the written repponse.ProVided.within.the audit report.While.We:understand.that the audit report contains a O Written response to the finding(s),.we are.requesting an updated;status of the corrective!action(s) being taken. •:.••• Please do not provide just a copy of the written response from your aildit report, unless it inclUdesydetailsOf •. :':'•:. the.actions, procedures,.policies,.etc..implemented arid when it was be implemented. .;. ;•:.: .. • .• ••.: ..... •• ••.• •• •: •• •••• ••i• •. • „ • „.. •• : •••—• •,-„••:... ••• .• • .•• . •• . . . . . . .. • :. . . ..... Certification Statement I hereby èertify that thç above information is true and .. . ... .. .. -•••••:::.. ... ..... ..... • .... •• .... . ...:........ .. ..... • ••—•• •, .••:,:: Signature Date Print Name and Title 27 (000 Packet Page -1459- 6/28/2016 16.D.17. EXHIBIT"G" r.z COLLIER COUNTY CONSTRUCTION REHAB PROGRAM MANUAL OF PRACTICE SELECTIVE REHAB PROCEDURES as may be amended from time to time. REFERENCE DATE: JUNE 24,2014 ITEM# 16D.1 PAGE LEFT BLANK INTENTIONALLY T1 " 1 28 Packet Page-1460- I