2002-330~ - a
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ORDINANCE NO. rJ, OOa Ja °3O
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF DENTON, TEXAS,
APPROVING THE SECOND AMENDMENT TO THAT AGREEMENT BETWEEN THE
CITY OF DENTON AND THE DENTON AFFORDABLE HOUSING CORPORATION;
AUTHORIZING THE CITY MANAGER TO EXECUTE THE SECOND AMENDMENT AND
TO EXPEND FUNDS WITH RESPECT TO THE SECOND AMENDMENT; AND
PROVIDING FOR AN EFFECTIVE DATE.
WHEREAS, on October 17, 2000, the City Council entered into an Agreement with the
Denton Affordable Housing Corporation to provide certain services for the provision of
affordable housing under -the National Affordable Housing Act of 1990, as amended by the
Housing and Community Development Act of 1992, which Agreement was authorized by
Ordinance No. 2000-385; and
WHEREAS, on January 15, 2002, the City Council amended the contract with Denton
Affordable Housing Corporation to provide additional funding in accordance with their approval
of the 2001 Community Development Action Plan, which Amendment was authorized by
Ordinance No. 2002-033; and
WHEREAS, the City Council, by approving the 2002 Community Development Action
Plan, has authorized additional funding for ongoing activities of the Denton Affordable Housing
Corporation and the scope of work for the Denton Affordable Housing Corporation has
expanded; and
WHEREAS, the City Council deems it in the public interest to amend the Agreement
with the Denton Affordable Housing Corporation to provide for such additional funding to be
provided from funds made available by the U.S. Department of Housing and Urban
Development under the National Affordable Housing Act and to provide other changes as set
forth in the Second Amendment to the Agreement; NOW, THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. That the City Council herby approves the Second Amendment to the
Agreement between the City of Denton and the Denton Affordable Housing Corporation,
executed October 17, 2000, substantially in the form of the attached Exhibit "A" which is
incorporated herein for all purposes, and further authorized the City Manager to execute said
Second Agreement.
SECTION 2. That the City Council authorized the expenditure of funds for operating
costs and project funding for the Denton Affordable Housing Corporation, included in the
Second Amendment as an attached Exhibit "B", which includes additional funding in an amount
of $150,000.
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SECTION 3. That this ordinance shall become effective immediately upon its passage
and approval. {/Z //l ~f~ /n'
PASSED AND APPROVED this the 0 day of OGl%t~ykt '2002.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY: "J A
APPROVED AS TO LEGAL FORM:
HERBERT L. PROUTY, CITY ATTORNEY
BY:
Page 2
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SECOND AMENDMENT TO AGREEMENT BETWEEN
THE CITY OF DENTON AND THE
DENTON AFFORDABLE HOUSING CORPORATION
This Second Amendment to that certain Agreement between the City of Denton (hereinafter
referred to as "Denton") and the Denton Affordable Housing Corporation (hereinafter referred to
as "Contractor"), this Agreement hereinafter referred to as "Base Agreement", which is attached
hereto as Exhibit 1.
WHEREAS, by Ordinance No. 2000-385, Denton authorized its City Manager to execute
an Agreement with the Contractor to provide acquisition and renovation, and new construction
to promote affordable housing in the City of Denton in return for Denton providing an amount
not to exceed $192,167 for affordable housing projects described in the Work Statement,
Attachment A, attached to the Base Agreement; and
WHEREAS, the City Council has approved additional funding for the Contractor in
accordance with their approval of the 2002 Community Development Action Plan, and adequate
funding has been obtained form the U.S. Department of Housing and Urban Development:
NOW, THEREFORE, the parties hereto agree, and by the execution hereof are bound to
the mutual obligations and to the performance and accomplishment of the conditions hereinafter
described.
1.
That Section 2, "Responsibilities" of the Base Agreement, subsection A is amended to
read as follows:
A. Contractor hereby accepts the responsibility for the performance of all services
and activities described in the amended Work Statement attached hereto as
Attachment "A " and incorporated herein as if set forth at length, in accordance
with the amended Program Budget attached hereto as Attachment "B" and the
amended Schedule of Contract Activities attached hereto as Attachment "C" and
incorporated herein as if set forth at length, in as satisfactory and efficient manner
as determined by City in accordance with the terms herein.
2.
That the Base Agreement is hereby amended by substituting amended Attachments "A",
"B", and "C" which are attached hereto and incorporated herein for all purposes for the original
Attachments "A", "B", "C" of the Base Agreement.
S:~ ~vmrnU~ mubEl2NDA DDA CWC
3.
That save and except as amended hereby, the remaining sections, subsections, sentences
and clauses of the Base Agreement dated October 17, 2000 shall remain in full force and effect.
IN WITNESS of which this Second Amendment has been executed on this the
day of , 2002, by the duly authorized officials of the City and the Contractor.
CITY OF DENTON
MICHAEL A. CONDUFF a~r
CITY MANAGER
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
B
AP OVED AS TO LEGAL FORM:
HERBERT L. PROUTY, CITY ATTORNEY
BY: ~o,'o ~ ~'•v~G,l'x.~M~
DENTON AFFORDABLE HOUSING
CORPORATION
r~~firvr~u~~v~ C~
tINNIE MCADAMS
BOARD PRESIDENT
ATTEST:
B .
BOARD SEC ARY
Page 2
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ATTACHMENT "A"
WORK STATEMENT
Denton Affordable Housing Corporation
The Denton Affordable Housing Corporation ("DAHC") was developed to increase the supply of
affordable housing in the Denton area. The organization is designed to carry out the following
activities but is not limited to these: administration, rehabilitation, acquisition, new construction,
tenant-based rental assistance and public service programs.
Expenditure of City funds for housing projects is limited to projects within the city limits of
Denton. DAHC's projects and programs will primarily benefit low and moderate-income
households. Low and moderate income is defined as households below 80% of the area median
income.
The Affordable Homeownership Opportunity Program provides acquisition, renovation and sale
of single-family units. HOME funding in the amount of $314,550 will be used in the Program.
Proceeds from the sale of properties will be placed in the AHOP program funds to be used to
continue the program. No more than 10% of the HOME portion of the project sales proceeds
may be utilized for project delivery costs for the program. The HOME portion of the proceeds is
based on the percentage of HOME funds included in the project.
The Affordable Housing Construction Program provides funding to construct single-family units.
Properties suitable for single-family housing will be acquired through purchase or donation.
Units will be constructed in such a way as to make them affordable to low and moderate income
households. Units will be sold to HOME-eligible households. Not more than 10% of the total
funding amount may be used to assist buyers with down payment costs.
The Mockingbird Lane Project will culminate in the development of a minimum of 15 single-
family housing units on property donated to and acquired by the Denton Affordable Housing
Corporation. The project includes acquisition of property adjacent to the donated site off
Mockingbird Lane, project planning, site development, construction and sale of the single-family
units. An unspecified amount of HOME program proceeds retained by the DAHC from previous
projects may be used for the project. The Mockingbird Lane project will be completed within
four years from the date of this contract.
Page 3
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ATTACHMENT "B"
PROGRAM BUDGET
Affordable Housing Opportunity Program $314,550
Affordable Housing Construction Program $113,867
Mockingbird Lane Project - An unspecified amount of HOME proceeds may be used for this
project.
Page 4
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