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Backup Documents 06/13/2017 Item #11B ORIGINAL DOCUMENTS CHECKLIST & ROUTING SLIP 1B TO ACCOMPANY ALL ORIGINAL DOCUMENTS SENT TO THE BOARD OF COUNTY COMMISSIONERS OFFICE FOR SIGNATURE Print on pink paper. Attach to original document. The completed routing slip and original documents are to be forwarded to the County Attorney Office at the time the item is placed on the agenda. All completed routing slips and original documents must be received in the County Attorney Office no later than Monday preceding the Board meeting. **NEW** ROUTING SLIP Complete routing lines#1 through#2 as appropriate for additional signatures,dates,and/or information needed. If the document is already complete with the exception of the Chairman's signature,draw a line through routing lines#1 through#2,complete the checklist,and forward to the County Attorney Office. Route to Addressee(s) (List in routing order) Office Initials Date 1. Michelle Rubbo Community&Human _ Services 31/7 2. Jennifer County Belpedio AttorneyOffice tY \r1\( '(/>1 CAVck\—` 3. BCC Office Board of County Commissioners 4. Minutes and Records Clerk of Court's Office } 6AC (('1 (Z:OSpm PRIMARY CONTACT INFORMATION Normally the primary contact is the person who created/prepared the Executive Summary. Primary contact information is needed in the event one of the addressees above,may need to contact staff for additional or missing information. Name of Primary Staff Tomas Calderon Phone Number 252-4220 Contact/ Department Agenda Date Item was 6/13/17 I i1 Approved by the BCC Type of Document Fourth Amendment to Developer Number of Original 3 Attached Agreement between Collier County and Documents Attached Habitat for Humanity a PO number or account number if document is to be recorded INSTRUCTIONS & CHECKLIST 1 Initial the Yes column or mark"N/A"in the Not Applicable column,whichever is Yes N/A(Not appropriate. (Initial) A • e 1. Does the document require the chairman's original signature? TC tamp OK if Original is NOT required 2. Does the document need to be sent to another agency for additional signatures? If yes, N provide the Contact Information(Name;Agency;Address;Phone)on an attached sheet. 3. Original document has been signed/initialed for legal sufficiency. (All documents to be TC signed by the Chairman,with the exception of most letters,must be reviewed and signed by the Office of the County Attorney. 4. All handwritten strike-through and revisions have been initialed by the County Attorney's N/A Office and all other parties except the BCC Chairman and the Clerk to the Board 5. The Chairman's signature line date has been entered as the date of BCC approval of the TC document or the final negotiated contract date whichever is applicable. 6. "Sign here"tabs are placed on the appropriate pages indicating where the Chairman's TC signature and initials are required. 7. In most cases(some contracts are an exception),the original document and this routing slip TC should be provided to the County Attorney Office at the time the item is input into SIRE. Some documents are time sensitive and require forwarding to Tallahassee within a certain time frame or the BCC's actions are nullified. Be aware of your deadlines! 8. The document was approved by the BCC on 6/13/17 and all changes made during the TC meeting have been incorporated in the attached document. The County Attorney's Office has reviewed the changes,if applicable. �► 9. Initials of attorney verifying that the attached document is the version approved .; e TC BCC,all changes directed by the BCC have been made,and the document is re.,.y fort' Chairman's signature. 1 I:Forms/County Forms/BCC Forms/Original Documents Routing Slip WWS Original 9.03.04,Revised 1.26.05,Revise. .. , '-vised 11/30/12 1 18 MEMORANDUM Date: June 20, 2017 To: Tomas Calderon, Grants Coordinator Community & Human Services From: Ann Jennejohn, Deputy Clerk Board Minutes & Records Department Re: Closeout of Neighborhood Stabilization Program (NSP) 1 amending the associated Developer Agreements with Habitat for Humanity of Collier County Attached please find two original copies of the agreement referenced above (Item #11B), approved by Collier County Board of County Commissioners on June 13, 2017. If you have questions or if I can be of any additional assistance, please feel free to call me at 252-8406. Thank you. Attachments (2) 1 1 NEIGHBORHOOD STABILIZATION PROGRAM 1 FOURTH AMENDMENT TO DEVELOPER AGREEMENT BETWEEN COLLIER COUNTY AND HABITAT FOR HUMANITY OF COLLIER COUNTY,INC. CFDA:14.218 This Amendment, made and entered into this V 1- day of , 2017, to the subject agreement shall be by and between the parties to the original Agreement, Habitat for Humanity of Collier County, Inc. EIN 59-1834379 (d/b/a Habitat for Humanity), authorized to do business in the State of Florida, whose business address is 1145 Tamiami Trail E. Naples, FL 34113, (hereinafter called the Developer) and Collier County, a political subdivision of the State of Florida, Collier County, (hereinafter called the "County or Grantee"). RE: NEIGHBORHOOD STABILIZATION PROGRAM B-08-UN-12-0003 In order to continue the services provided for in the original Agreement document referenced above,the parties agree to amend the Agreement as follows: Words Struck Through are deleted; Words Underlined are added: (Dollar amounts have original underlines) RECITALS WHEREAS,the GRANTEE is the recipient of Neighborhood Stabilization Program Funds from the U.S. Department of Housing and Urban Development(HUD); and WHEREAS, on April 24, 2012, the parties entered into a Neighborhood Stabilization Program 1, Developer Agreement, which has been subsequently amended multiple times; and WHEREAS, the Parties desire to amend Section 11, Terms and Conditions of the Funding, Section III, Project Requirements, Section V. Disbursement of Funds, and Exhibits A, A3 and B by the addition of NSP 1 funding in support of closing out the grant. WITNESSSETH II. Terms and Conditions of the Funding A. Funding Amount — NSP-1 Funds in the amount of One Hundred Ninety Eight Thousand and 00/100 Dollars Eight Hundred Thirty Thousand One Hundred Ninety Five 00/100 Dollars ($830,195)are obligated for use in compliance with this agreement, as reflected in the budget in Exhibit B. * * * 1 1 Ei 4. Eligible Activities—Funds may be used for the NSP-1 eligible activities that are checked below. The number of properties listed is a minimum and is not intended to provide a limit on the number of properties that may be acquired through this Agreement: Acquisition minimum of 2 abandoned or foreclosed single- family properties Fl Rehabilitation/reconstruction #26 acquired abandoned or foreclosed El New construction #10 vacant properties B. Cost Limits—All uses of NSP funds are subject to the approval of the GRANTEE. 1. Cost Limits on Individual Properties—The cost and assistance limits checked below apply to every property assisted with NSP-1 funds under this agreement, unless otherwise approved by GRANTEE. ® Developer fee allowed for rehabilitation/reconstruction and $5,500.00 new construction for properties acquired thru 2014 ® Developer fee for properties acquired for acquisition in 2017 $ 0.00 and thereafter * * * * * D . Use of Funds—NSP-1 funds obligated under this agreement may be used as follows: 1. No Commitment or Expenditure Prior to Environmental Clearance—This obligation of NSP-1 funds is conditional upon satisfactory completion of environmental review under 24 CFR Part 58 as provided in Section VIII. Notwithstanding any provision of this Agreement, the parties hereto agree and acknowledge that this Agreement does not constitute a commitment of funds or site approval, and that such commitment of funds or approval may occur only upon satisfactory completion of environmental review and receipt by GRANTEE of a release of funds from the U.S. Department of Housing and Urban Development under 24 CFR Part 58. The parties further agree that the provision of any funds to the project is .conditioned on GRANTEE's determination to proceed with, modify or cancel the project based on the results of environmental review. Further,the DEVELOPER will not undertake or commit any funds to physical or choice-limiting actions, including property acquisition, demolition, movement, rehabilitation, conversion, repair or construction prior to the environmental clearance, and understands that violation of this provision may result in the denial of any funds under the agreement. 2. No acquisitions may occur without environmental clearance, and determination of the applicability of URA provisions. E. Eligible Properties — Properties must meet the following conditions to be considered_eligible under this Agreement. 1. Must be located in an NSP-1 Target Area as identified in Exhibit A-9. 2. Must have no substantial adverse environmental factors as determined by an environmental review. 3. Must be owner occupied,with a fee simple transfer unless approved by the Grantee. 13. 4. Must be unoccupied and have no personal possessions on site, unless GRANTEE approves acquisition of an occupied property and stipulates compliance with relocation requirements in Section VIII. 5. Must be eligible for acquisition under NSP-1 as foreclosed or abandoned or vacant. F. Activity Limitations — In implementing projects, DEVELOPER shall undertake only those activities permitted by this agreement, and comply with all provisions of this agreement, including the project requirements in Section III, as they may be modified by HUD. 1. Acquisition — No acquisitions may occur without environmental clearance, and determination of the applicability of URA provisions. III. Project Requirements H Sale and Occupancy—All of the properties made available under this Agreement shall be used with respect to: 1. Buyer Qualification — All buyers of NSP-1-assisted units shall be individuals and families whose incomes do not exceed 120% of area median income (referred to as "low-, moderate- and middle-income", or LMMI). DEVELOPER shall verify and document income eligibility of all buyers in compliance with 570.203(a) definition of income. a. Low-Income Set-Aside (if applicable) — If applicable, the DEVELOPER must expend at least the amount of set-aside funding identified in Exhibit A of this Agreement to create permanent housing for households with incomes at or below 50% of area median. The DEVELOPER may choose to expend more than the set-aside amount from NSP-1 funds allocated within Eligible Uses A and B, but within the total NSP-1 award covered by this agreement, and doing so will not require an amendment to this Agreement. 2. Counseling Requirement—Each NSP-1-assisted homebuyer is required to complete at least ei*fit hours of homebu er counselin. from a HUD-a..roved housin counseling agency or a counselor approved by the GRANTEE. 3. First Mortgage — DEVELOPER must ensure that homebuyers obtain a mortgage loan from a lender who agrees to comply with the bank regulators' guidance for non- traditional mortgages. DEVELOPER is prohibited from permitting homebuyers to obtain subprime mortgages for which such mortgages are inappropriate. 4. Affordability Period —All NSP-1-assisted units must adhere to the affordability provisions as listed in Exhibit A-2, which is based upon the total amount of NSP-1 funds provided per unit. a. Affordability periods must be enforced utilizing a mortgage, promissory note and,where applicable,deed restriction. b. The Affordability Period is a minimum standard, and DEVELOPER may propose a longer Affordability Period. NSP1 Note and Mortgage — For any units that are to be owner-occupied, the DEVELOPER shall assure that any Notes and Mortgages recorded for NSP1 118 ' buyers should be in compliance with the GRANTEE's Substantial Amendment to its Consolidated Plan. 5. NSP1 Note and Mortgage - For any units that are to be owner-occupied, the DEVELOPER shall assure that any Notes and Mortgages recorded for NSP1 buyers should be in compliance with the GRANTEE's Substantial Amendment to its Consolidated Plan, in the form prescribed by or acceptable to the GRANTEE. Property Acquisition— If any foreclosed-upon homes or residential properties are to be acquired with NSP-1 funds,the DEVELOPER will acquire property with NSP-1 funds at a minimum discount of one percent from fair market value for each residential property. This requirement applies to foreclosed properties purchased with NSP-1 funds, and the discount must be taken from the current market appraised value as described in the NSP- 1 NOFA. 1 Eligible properties—HERA and NSP-1 limits the properties that are eligible for assistance to certain locations and types of properties (depending on the Eligible Use) Eligible property types and locations are listed in Exhibit A. If the DEVELOPER has proposed to undertake any activities subject to the NSP-1 Low-Income Set-Aside,these activities may only be undertaken on foreclosed or abandoned residential property. 2 Prohibition against eminent domain—The DEVELOPER will not undertake any involuntary acquisition of property with NSP-1 funds without prior written consent of the GRANTEE and written opinion of counsel that such acquisition is lawful. 3 Appraisal —Appraisals funded with NSP-1 funds are required for all foreclosed properties. Exceptions to this requirement may be approved by the GRANTEE. a. NSP-1 requires appraisals to be performed with respect to the NSP-1 funded acquisition of foreclosed upon homes and residential properties, even though they may be considered voluntary under the URA. The GRANTEE further requires an appraisal for all NSP-1-assisted acquisitions of property to ensure cost reasonableness. b. The URA appraisal requirements of 49 CFR 24.103 must be met. For acquisitions which meet the applicable voluntary acquisition requirements of 49 CFR 24.101(b), the DEVELOPER must ensure that the owner is informed in writing of what it believes to be the market value of the property, and that the DEVELOPER will not acquire the property if negotiations fail to result in a an amicable agreement (see 49 CFR 24.101(b)(1) & (b)(2)). c. The appraisal must have been completed within 60 days of the offer made for the property (an initial offer can be made, subject to the completion of the appraisal within 60 days of a final offer). 4 Occupied properties - If the project is occupied at the time of commitment, the Developer will comply with the relocation requirements of 24 CFR 570.606 118 5. Purchase Discounts - HERA requires all NSP1 assisted acquisitions of foreclosed property to be at a discount from the current market appraised value of the property, taking into account its current condition, and such shall ensure that the DEVELOPER is paying below market value for the home or property. A minimum discount of 1 percent less than the current market appraised value for each property purchased with NSP1 funds is required for all acquisitions funded with NSP1. The address, appraised value, purchase offer amount, and discount amount of each foreclosed property purchase must be documented in the DEVELOPER's records. * * * * V. Disbursement of Funds Requests for payment of developer fees must be submitted by the DEVELOPER on forms specified by the GRANTEE, with adequate and proper documentation. The DEVELOPER agrees to submit requests for payment in a timely manner in the form and times directed by the GRANTEE. Requests for Wire Transfer for acquired properties must be submitted by the DEVELOPER to the GRANTEE with adequate and proper documentation five (5) days prior to closing IN WITNESS WHEREOF, the Grantee and the Developer, have each, respectively, by an authorized person or agent, hereunder set their hands and seals on the date and year first written above. ATTEST: .: BOA'Ai OUNTY COMMISSIONERS OF DWIGHT E. BROCC,CLERK COLL R UNTY,FLORID' Guat, • SOC B �� o , puty Clerk PENNY LOR, C t4 •N Attett o.c`airman's rsO,,t1atit3,''9nly. Date: �0\ Ir Dated: W 1' (SEAL) HABITAT FOR HUMANITY OF COLLIER COUNTY, INC. / Approved as to form and legality L(S Ct g. �7F�tow, c- v Date: , /_2(•(120/I- Asps tuttt Count tturney �7\<'1 5\'d Item# Agenda /,,.,�b��� Date l5/ Date Redd --- Deputy ler k , 11B EXHIBIT A. Project Description GENERAL Developer will be provided ownership in certain real property acquired by the Grantee for the purpose of rehabilitation or redevelopment for disposition to NSP-eligible persons or families. The transferred 2012-2014 thirty six (36) properties associated with this Agreement consist of twenty- s i x (26) single-family residential dwelling units, and ten (10) vacant residential parcels. The properties associated with this Agreement are more particularly described in Exhibit A-1. All costs associated with the transfer for the aforementioned properties from Grantee to Developer shall be borne by Developer. The Developer shall acquire a minimum of two (2) for purchase and redevelopment of abandoned, vacant or foreclosed upon properties in order to sell rent or redevelop such properties IIB EXHIBIT A-3. Developer Fee GENERAL Developer shall invest its own funds to complete the rehabilitation or development of the properties acquired prior to 20 1 7 associated with this Agreement thereby assuming risk associated with the project. To compensate Developer for such risk, and for providing NSP-1 related goods and services, such as, but not necessarily limited to, residential rehabilitation, eligible buyer identification, and final disposition, Developer shall be paid a developer fee for those properties rehabilitated prior to 2017. The Developer shall receive no $0.00 developer fee for those properties acquired under this agreement in 2017 and thereafter. AMOUNT Grantee shall pay Developer a Five Thousand Five Hundred and 00/100 Dollars ($5,500) developer fee for each of the thirty six (3 6) properties provided in 2012-2014 that were developed and/or rehabilitated and Zero ($.00) for properties acquired in 2 0 1 7 and t h e r e a ft e r associated with this Agreement. The maximum combined developer fee and acquisition cost paid by Grantee to Developer through this Agreement shall be One Hundred and Ninety Eight Thousand 00/100 Dollars ($198,000) and Six Hundred Thirty Two Thousand One Hundred Ninety Five and 00/100 Dollars ( $631,195); this amount represents a cumulative of developer fees and acquisition cost paid paid for each of the properties associated with this Agreement prior to 2017. METHOD OF PAYMENT Grantee shall pay Developer the developer fee per property upon final sale to an income-eligible person or household for those properties rehabilitated prior to 2017 and no developer fee shall be paid for those properties acquired from 2017 and thereafter. To secure payment for Developer fees, Developer shall submit to Grantee the following supporting materials in a format acceptable to Grantee for Developer fee reimbursement: 1. Sales Contract 2. Title Commitment 3. Preliminary Closing Disclosure (unsigned) 4. Warranty Deed 5. HUD-1 Settlement Statement 6. Proof of funds transfer a. i.e. evidence of wire transfers 7. Bank Accounts statements detailing funds transfer 8. Appraisal 9. Property Insurance Binder 10. Attestation form to be provided by Grantee 11. Land Use Restriction Agreement 12. Certificate of Occupancy(CO) III 118 13. Sweat Equity Agreement 14. Income Certification 15. Wire Instructions 16. Home Buyers Education Certificate Exhibit A-9. Census Tracts The Collier County NSP Allocation will target the following three(3)areas for economic and housing redevelopment: East Collier, South Collier and Central Collier EAST COLLIER TARGET AREA Foreclosure Vacancy Max Census Needs Risk Index Index Tract Index Score Score Score 0104.14 20 1 20 0104.13 20 1 20 0104.12 20 1 20 0112.02 20 1 20 Average Max Index Score 20.00 SOUTH COLLIER TARGET AREA Foreclosure Vacancy Max Census Needs Risk Index Index Tract Index Score Score Score 0105.04 20 19 20 0106.02 19 15 19 0106.01 19 19 19 0106.04 19 15 19 0106.03 20 16 20 0105.02 20 17 20 0108.01 19 18 19 0107.02 19 14 19 0108.02 20 8 20 0108.03 19 1 19 0111.01 20 1 20 Average Max Index Score 19.45 CENTRAL COLLIER TARGET AREA Foreclosure Vacancy Max Census Needs Risk Index Index Tract Index Score Score Score 0104.06 20 12 20 0104.08 19 16 19 1 1B 0105.03 20 18 20 0104.11 20 15 20 0104.09 20 18 20 0104.10 20 19 20 Population shifts during the most recent decennial census caused the U.S. Census Bureau to split the census tract of 104.09 into two completely new census tracts, 104.19 and 104.20. This split dissolved the original census tract of 104.09,thus removing completely and replacing it with the new designations. The boundaries of the NSP 3 target areas will not change and no additional target areas are being added by this modification. Also, the recently published NSP close out guidelines allow for demolition to be listed as a separate activity. The Action Plan is proposed to be modified is proposed to be modified to add demolition as an eligible activity. Finally, there are modifications to goals (property counts by category, for example) and they are proposed in order to provide the County with flexibility to meet the compliance and expenditure requirements of the program. 1 1 B EXHIBIT B. Budget GENERAL Developer will be provided ownership in thirty six (3 6) properties acquired by the Grantee for the purpose of rehabilitation or redevelopment for disposition to NSP-eligible persons or families. The DEVELOPER shall acquire a minimum of two (2) additional properties per amended agreement. The Grantee shall pay the Developer Six Hundred Thirty Two Thousand One Hundred Ninety Five and 00/100 Dollars ($632,195) for acquisition activities associated with this agreement for those properties acquired in 2017 and thereafter. BUDGET Grantee shall pay Developer a Five Thousand Five Hundred and 00/100 Dollars ($5,500) developer fee for each of the thirty six (36) rehabilitated/land bank properties associated with this Agreement prior to 2017. The maximum combined developer fee paid by Grantee to Developer through this Agreement shall be One Hundred Ninety Eight Thousand and 00/100 Dollars ($198,000) this amount represents a cumulative of developer fees paid for each of the properties associated with this Agreement for all properties rehabilitated prior to 2017. The Developer shall be paid Six Hundred Thirty Two Thousand One Hundred Ninety Five and 00/100 Dollars ($632,195.00) for the cost associated with the acquisition of a minimum of two (2) properties. For those properties acquired through this agreement,the County shall wire funds for the acquisition at closing to the title company. DEVELOPER shall provide GRANTEE the following documents five (5)days prior to closing. 1. Invoice from Developer 2. Appraisal 3. Sales Contract 4. URA, if necessary 5. Preliminary Closing Disclosure 6. Title Commitment 7. Warranty Deed 8. Deed Restriction 9. Environmental Clearance 10. Property Insurance 11. Wire Instructions 12. Additional Documents, as requested 1113 The amount of wire transfer shall be no more than than the actual cost of the property acquistion. The GRANTEE 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. The Developer understands $632,195.00 added to the agreement in 2017 is subject to recapture by HUD at any given time. In the event that the Developer has placed a contract on a property/ies and there are no funds available to the Grantee at the time of wire the Developer is solely responsible to the seller and the Grantee is not subject to any payment to the seller or the Developer. ORIGINAL DOCUMENTS CHECKLIST & ROUTING SLIP I. I TO ACCOMPANY ALL ORIGINAL DOCUMENTS SENT TO THE BOARD OF COUNTY COMMISSIONERS OFFICE FOR SIGNATURE Print on pink paper. Attach to original document. The completed routing slip and original documents are to be forwarded to the County Attorney Office at the time the item is placed on the agenda. All completed routing slips and original documents must be received in the County Attorney Office no later than Monday preceding the Board meeting. **NEW** ROUTING SLIP Complete routing lines#1 through#2 as appropriate for additional signatures,dates,and/or information needed. If the document is already complete with the exception of the Chairman's signature,draw a line through routing lines#1 through#2,complete the checklist,and forward to the County Attorney Office. Route to Addressee(s) (List in routing order) Office Initials Date 1. Michelle Rubbo Community& Human Services ilq g-- 5 .31/17 2. Jennifer Belpedio County Attorney Office %C 0\`-7 3. BCC Office Board of County 'PC b/� Commissioners 47 �O`C��!-"l 4. Minutes and Records Clerk of Court's Office ---al) qi9 119 tiL5prn PRIMARY CONTACT INFORMATION Normally the primary contact is the person who created/prepared the Executive Summary. Primary contact information is needed in the event one of the addressees above,may need to contact staff for additional or missing information. Name of Primary Staff Tomas Calderon Phone Number 252-4220 Contact/ Department Agenda Date Item was 6/13/17 ✓ rtIIY Approved by the BCC Type of Document Seventh Amendment to Developer Number of Original 3 Attached Agreement between Collier County and Documents Attached Habitat for Humanity ISS-7' 3 PO number or account number if document is to be recorded INSTRUCTIONS & CHECKLIST Initial the Yes column or mark"N/A"in the Not Applicable column,whichever is Yes N/A(Not appropriate. (Initial) Applicable) 1. Does the document require the chairman's original signator OK `'v' TC Stamp OK if Original is NOT required 2. Does the document need to be sent to another agency for additional signatures? If yes, N/A provide the Contact Information(Name;Agency;Address;Phone)on an attached sheet. 3. Original document has been signed/initialed for legal sufficiency. (All documents to be TC signed by the Chairman,with the exception of most letters,must be reviewed and signed by the Office of the County Attorney. 4. All handwritten strike-through and revisions have been initialed by the County Attorney's N/A Office and all other parties except the BCC Chairman and the Clerk to the Board 5. The Chairman's signature line date has been entered as the date of BCC approval of the TC document or the fmal negotiated contract date whichever is applicable. 6. "Sign here"tabs are placed on the appropriate pages indicating where the Chairman's TC signature and initials are required. 7. In most cases(some contracts are an exception),the original document and this routing slip TC should be provided to the County Attorney Office at the time the item is input into SIRE. Some documents are time sensitive and require forwarding to Tallahassee within a certain time frame or the BCC's actions are nullified. Be aware of your deadlines! 8. The document was approved by the BCC on 6/13/17 and all changes made during the TC meeting have been incorporated in the attached document. The County Attorney's Office has reviewed the changes,if applicable. 9. Initials of attorney verifying that the attached document is the version approved by the BCC,all changes directed by the BCC have been made, and the document is ready for th c.. Chairman's signature. I:Forms/County Forms/BCC Forms/Original Documents Routing Slip WWS Original 9.03.04,Revised 1.26.05,Revised 2.24.05;Revised 11/30/12 1 18 MEMORANDUM Date: June 20, 2017 To: Tomas Calderon, Grants Coordinator Community & Human Services From: Ann Jennejohn, Deputy Clerk Board Minutes & Records Department Re: Closeout of Pro ram Neighborhood Stabilization g g (NSP) 3 amending the associated Developer Agreements with Habitat for Humanity of Collier County Attached please find two original copies of the agreement referenced above (Item #11B), approved by Collier County Board of County Commissioners on June 13, 2017. If you have questions or if I can be of any additional assistance, please feel free to call me at 252-8406. Thank you. Attachments (2) 1 1 13 NEIGHBORHOOD STABILIZATION PROGRAM 3 SEVENTH AMENDMENT TO DEVELOPER AGREEMENT BETWEEN COLLIER COUNTY AND HABITAT FOR HUMANITY OF COLLIER COUNTY,INC. CFDA: 14.218 THIS AMENDMENT, made and entered into on this\3-*-day of�u - 2017, to the subject agreement shall be by and between the parties to the original Agreement, Habitat for Humanity of Collier County, Inc, (d/b/a/ Habitat for Humanity), authorized to do business in the State of Florida, whose business address is 11145 Tamiami Trail E Naples FL 34113, (hereinafter called the "Developer") and Collier County, a political subdivision of the State of Florida, Collier County,Naples (hereinafter called the"County"). Statement of Understanding RE: NEIGHBORHOOD STABILIZATION PROGRAM B-11UN-12-0003 In order to continue the services provided for in the original Agreement document referenced above,the parties agree to amend the Agreement as follows: Words Struck Through are deleted; Words Underlined are added: (Dollar amounts have original underlines) WITNESSETH: WHEREAS, the GRANTEE is the recipient of Neighborhood Stabilization Program Funds from the U.S. Department of Housing and Urban Development(HUD); and WHEREAS, the DEVELOPER has submitted a letter of intent, dated December 2, 2011 and incorporated herein by reference,for use of funds for an NSP-3-eligible PROJECT; WHEREAS, the Agreement has been subsequently amended multiple times; and WHEREAS, the Parties desire to further amend the agreement to add funding, revising the Exhibits and increasing the number of properties acquired in order to facilitate grant closeout; and NOW, THEREFORE in consideration of the mutual covenants and obligations herein contained, including the Attachments, and subject to the terms and conditions hereinafter stated, the parties hereto understand and agree as follows: II. Terms and Conditions of the Funding A. Funding Amount — NSP-3 Funds in the amount of • It -.. - . •_ _. Five Thousand Seven Hundred Forty Nine and 00/100 Dollars ($3,495,749) Four Million Ninety Nine Thousand Forty Two and 00/100 Dollars ($4,099,042) are obligated for use in compliance with this agreement. The County will require Three Hundred Eight-Eight Thousand and 00/100 Dollars ($388,000) of the original allocation be returned to the County by Habitat for Humanity from the proceeds of sale of NSP3 properties. The County will award the Program Income generated from the return of sales proceeds in the amount of Three Hundred Eighty-Eight Thousand and 00/100 Dollars ($388,000) to Habitat for Humanity to continue to carry out the NSP3 Program as required by this agreement. In addition up to Forty Thousand and 00/100 Dollars ($40,000) are obligated from NSP 1 for the purpose of paying developer fees associated with this amendment, as reflected in the budget in Exhibit B. 11B 1. These amounts represent an allocation of the GRANTEE's total NSP-3 funding contingent upon DEVELOPER performance and not an entitlement to a certain grant amount, and shall only be disbursed for approved projects and costs. 2. Approved budget—The approved budget is attached to this agreement as Exhibit B.It is understood and agreed that funds will be used according to the approved budget. It is understood and agreed that funds will be used according to the approved budget (Exhibit B). Developer has the authority to reallocate $25,000 per income category, but shall not expend less than the Low Income Set Aside allocation of$1,068,041. Should the Developer determine that the reallocation is necessary, a prior notification and written approval shall be dully signed by the Developer and the Director of CHS. Reallocations above $25,000 between Income categories will require prior Grantee approval. B. Use of Funds—NSP-3 funds obligated under this agreement may be used as follows: 2. Eligible Activities — Funds may be used for the NSP-3 eligible activities that are checked below. The number of properties listed is a minimum and is not intended to provide a limit on the number of properties that may be acquired through this Agreement: • Acquisition 27-31 abandoned or foreclosed single-family properties • 2017-Acquisition 1- abandoned or foreclosed single-family property • Rehabilitation/reconstruction # acquired abandoned or foreclosed • New Construction # vacant properties * * ****** C. Cost Limits—All uses of funds are subject to the approval of the GRANTEE. 1. Cost Limits on Individual Units — The cost and assistance limits checked below apply to every unit assisted with NSP-3 funds under this agreement: ® Developer fee allowed per dwelling unit for those properties $10,000 acquired through 2014 El Developer fee allowed per dwelling unit for those units acquired $_0 in 2017 or after Z Maximum NSP reimbursement per dwelling for those units acquired in 2017 and thereafter$ 215,293. D. Deadlines — Timely completion of the work specified in this agreement is an integral and essential part of performance. The NSP-3 funds are subject to Federal deadlines and failure to comply could result in the loss of the Federal funds. By the acceptance and execution of this agreement, it is understood and agreed by the DEVELOPER that the PROJECT will be completed as expeditiously as possible and that the DEVELOPER will make every effort to ensure that the project will proceed and will not be delayed. Failure to meet these deadlines can result in cancellation of this contract and the revocation of NSP-3 funds. 11 13 1. Project Expenditure Deadlines—All project activities and all expenditures of NSP-3 funds must be completed by May 23, 2018 March 11, 2018. If checked the additional deadlines apply to project expenditures: ® 50% of NSP-3 funds expended and drawn 03/11/2013 by • 100% of NSP-3 funds expended and drawn 03/11/2014 • 100%of NSP-3 Program Income in the amount of $215,293 expended and drawn 06/13/2018 * * * * * * * * E. Sale to Buyers—All units acquired under this agreement shall be sold to eligible buyers in accordance with the provisions of this section. Eligible Buyers—Eligible homebuyers must be determined to be income-eligible in compliance with the limit checked below. It is understood and agreed that funds will be used according to the approved budget(Exhibit B). Developer has the authority to reallocate $25,000 per income category,but shall not expend less than the Low Income Set Aside Allocation of$1,068,041. Should the Developer determine that the reallocation is necessary, a prior notification and written approval shall be duly signed by Developer and Director of CHS. Reallocation above $25,000 between income categories will require prior Grantee approval. 1. ® Middle Income— 81%-120%Area Median Income $1,138,000 ® Moderate Income—less than 80% of Area Median $1,613,000 Income ® Low Income—less than 50%of Area Median Income $1,068,041 V. Disbursement of Funds A. Project Expenses(excluding developer fee)shall be paid on vouchers for actual expenses incurred or paid for all those properties acquired through 2014 and shall be wire transferred at the time of closing for all those properties acquired in 2017 and thereafter. All such expenses shall be in conformance to the approved project budget. It is understood and agreed that funds will be used according to the approved budget(Exhibit B). Developer has the authority to reallocate $25,000 per income category, but shall not expend less than the Low Income Set Aside Allocation of$1,068,041. Should the Developer determine that the reallocation is necessary, a prior notification and written approval shall be duly signed by Developer and Director of CHS. Reallocation above $25,000 between income categories will require prior Grantee approval. B. Requests for payment, or for a wire transfer DEVELOPER shall provide GRANTEE the required documents five days prior to closing and must be submitted by the Developer on forms specified by the GRANTEE, with adequate and proper documentation of eligible 118 costs incurred in compliance with NSP3 and CDBG rules. The Developer agrees to submit requests for payment in a timely manner in the form and times directed by the GRANTEE. *************** G. The DEVELOPER may submit a final invoice upon completion. Final payment shall be made after the GRANTEE has determined that all services have been rendered,files and documentation delivered, and units have been placed in service in full compliance with NSP-3 regulations, including submission of a completion report and documentation of eligible occupancy, property standards and long-term use restrictions. For those properties acquired in 2017 and thereafter the DEVELOPER understands that in the event the funds are swept from the DRGR system and not available to the County there will be no repayment made to the DEVELOPER. ***************** Exhibits will follow in the page 11B EXHIBIT A. Project Description A. GENERAL Developer will be provided NSP -1 funds in the amount of Forty Thousand and 00/100 ($40,000) for developer fees paid in 2014 and NSP-3 funds in the amount of Four Million Ninety Nine Thousand Forty Two and 00/100 Dollars ($4,099,042) Three Million Four - . . -. _ - •.. . •. ._ _• - . •. _. -. _ . •. !! !! 9: . ($3,495,749). Such funds will be used to acquire eligible properties in the Grantees eligible target areas and to pay associated developer fees. **************** D. ELIGIBLE INCOME LEVELS OF BUYERS NSP-assisted property subject to the Agreement shall be used with respect to individuals and families whose income does not exceed 120 percent of area median income. However, not less than twenty-five (25) percent of the funds expended by Grantee in acquiring the properties subject to this Agreement shall be used to house individuals or families whose income do not exceed 50 percent of the area median income ("LH25 Requirement"). To ensure compliance with the NSP LH25 Requirement, DEVELOPER shall ensure that One Million Sixty Eight Thousand Forty One and 00/100 Dollars($1,068,041)be expended to comply with the LH25 Requirement. Original Requirement of($1,068,041)has been met. **************** 1 1 B EXHIBIT A-2.Disbursement AMOUNT Grantee shall pay Developer a Ten Thousand and 00/100 Dollars ($10,000) developer fee for each of the properties acquired through 2014 and $0.00 for those properties acquired in 2017 and thereafter this Agreement. The maximum combined developer fee paid by Grantee to Developer through this Agreement shall be Two Hundred Seventy Thousand and 00/100 Dollars ($270,000) from NSP 3 Funds, and ($40,000) Forty Thousand and 00/100 from NSP 1 funds for a total of Three Hundred Ten Thousand and 00/100 Dollars ($310,000); this amount represents a cumulative of developer fees paid for each of the properties acquired through this Agreement • prior to 2017. Grantee shall reimburse Developer a maximum One Hundred Fifty Thousand and 00/100 Dollars ($150,000) for each property acquired through 2014 and no more than Two Hundred Fifteen Thousand Two Hundred and Ninety Three and 00/100 Dollars ($215,293) for all properties acquired in 2017 and thereafter under this Agreement; however, such reimbursed amount may not exceed the actual cost of acquisition. The maximum combined reimbursement paid by Grantee to Developer through this Agreement shall be Three Million Two Hundred Twenty Five Thousand Seven Hundred Forty Nine and 00/100 Dollars ($3,225,749); Three Million Four Hundred Forty One Thousand Forty Two and 00/100 Dollars ($3,441,042,042) this amount represents a cumulative of reimbursements paid for each of the properties acquired through this agreement METHOD OF PAYMENT Grantee shall reimburse Developer a maximum One Hundred Fifty Thousand and 00/100 Dollars ($150,000) for each property acquired through this Agreement for those acquired through 2014 and Two Hundred Fifteen Thousand Two Hundred Ninety Three and 00/100 Dollars ($215,293) for those acquired in 2017; however, such reimbursed amount may not exceed the actual cost of acquisition. To secure payment following acquisition, Developer shall submit to Grantee the following supporting materials in a format acceptable to Grantee: 1. Sales Contract/Addendums(executed by both parties) 2. Title Commitment 3. Preliminary Closing Disclosure(unsigned) 4. Warranty Deed 5. HUD-1 Settlement Statement 6. Proof of funds transfer a. i.e. evidence of wire transfers 7. Bank account statements detailing funds transfer 8. Appraisal 9. Property Insurance Binder 10. Attestation form to be provided by Grantee 11. Land Use Restriction Agreement 12. Certificate of Occupancy(CO) 13. Sweat Equity Agreement 14. Income Certification 15. Wire Instructions 1 1 8 16. Home Buyers Education Certificate To secure wire transfer the Developer shall submit those documents listed below: 1. Sales Contract/Addendums(executed by both parties) 2. Title Commitment 3. Preliminary Closing Disclosure(unsigned) 4. Warranty Deed 5. Appraisal 6. Property Insurance Binder 7. Attestation form to be provided by Grantee 8. Certificate of Occupancy(CO), if new construction 9. Wire Instructions 10. Environmental Clearance 11. Flood Insurance Binder, if required 12. URA notification if required Grantee shall pay Developer one-half($5,000 of a total per property developer fee of$10,000) of the developer fee per property upon acquisition of such property and one-half($5,000 of a total per property developer fee of$10,000) at final sale to an income-eligible person or household for those properties acquired through 2014 and no developer fee shall be paid for those properties acquired from 2017 and therafter. The Developer understands that $215,293 added to the agreement in 2017 is subject to recapture by HUD at any given time. In the event that the Developer has placed a contract on a property/ies and there are no funds available to the Grantee at the time of wire that the Developer is solely responsible to the seller and the Grantee is not subject to any payment to the seller or the Developer. EXHIBIT B. Budget BUDGET Grantee shall pay Developer a Ten Thousand and 00/100 Dollars ($10,000) developer fee for each of the properties acquired through this Agreement for those properties acquired through 2014 and no developer fee $0.00 shall be paid for those properties acquired from 2017 and therafter. The maximum combined developer fee paid by Grantee to Developer through this Agreement shall be Three Hundred and Ten Thousand and 00/100 Dollars ($310,000) this amount represents a cumulative of developer fees paid for each of the properties acquired through this Agreement from NSP -1 and NSP-3. Grantee shall reimburse Developer a maximum One Hundred Fifty Thousand and 00/100 Dollars ($150,000) for each property acquired through 2014 and Two Hundred Fifteen Thousand Two Hundred Ninety Three and 00/100 Dollars ($215,293) for all properties acquired in 2017 and thereafter under this Agreement; however, such reimbursed amount may not exceed the actual cost of acquisition. The maximum combined reimbursement paid by Grantee to Developer through this Agreement shall be Forty Thousand and 00/100 ($40,000) for developer fees paid in 2014 from NSP -1 and Four Million Ninety Nine Thousand and Forty Two and 00/100 Dollars ($4,099,042) from NSP-3. Three Million Four Hundred Ninety Five Thousand Seven Hundred Forty1 18 Nine and 00/100 Dollars ($3,495,049); this amount re resents a cumulative of p reimbursements paid for each of the properties acquired through this agreement INCOME TARGETING Funds associated with this Agreement shall be spent within the following income targets. Line Item NSP-1 NSP-3 Amount Amount County Administration $388,415-$173,123 Habitat for Humanity Developer Fee $40,000 $270,000 Low-Income Set Aside(50%AMI) $971,042$1,068,041 51% AMI- 80% AMI $1,504,707$1,623,001 81% AMI- 120% AMI $750,000$1,138,000 TOTAL $40,000 $3,884,165 $4,272,165 It is understood and agreed tha funds will be used according to the approved budget. Developer has the authority to reallocate $25,000 per income category, but shall not expend less than the Low Income Set Aside allocation of$1,068,041. Should the DEVELOPER determine that the reallocation is necessary, a prior notification and written approval shall be duly signed by the DEVELOPER and the Director of CHS. Reallocations above $25,000 between income categories will require prior GRANTEE approval. ATTEST: BOARD OF •LINTY COMMISSIONERS Dwight E. Brock; Clerk of Courts COLL ' CO JNTY, FLORIDA By: s .00 . By: 4-1/L.."" Dates_-j6,t2r ;---4 Penny Ta' r Fel l s-� a f{pan's ChairwTo an C signature ate.; Date: Habitat for Humanity of Collier County, Inc. A Florio: not-for-profit corporation Print: _?„..ca 3• k-o ,i' Title: CEO Date: 5/Z LZ-01 Item# 11 Agenda -13-11 Date Approved as to form and legal: Date 17)..1qH-7 Recd Jennifer B. elpedio \\ Assistant County Attorney Deputy k "d