HomeMy WebLinkAboutIowa Department of Economic Development-1/11/2010 (2)IOWA DEPARTMENT OF ECONOMIC DEVELOPMENT
COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) PROGRAM
DISASTER RECOVERY PROPERTY ACQUISITION CONTRACT
CDBG CONTRACT NUMBER: 08-DRHB-222
EFFECTIVE DATE: November 4, 2009
AWARD AMOUNT: $261,180
END DATE: November 4, 2012
THIS COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM ("CDBG") DISASTER RECOVERY
CONTRACT is made by and between the IOWA DEPARTMENT OF ECONOMIC DEVELOPMENT, 200 East Grand Avenue,
Des Moines, Iowa 50309 ("Department" or "IDED") and the City of Waterloo ("Recipient"), effective as of the date stated above.
WHEREAS, the Department is designated to receive, administer, and disburse CDBG funds; and
WHEREAS, the Department received funds under the Consolidated Appropriations Act, 2009 (Public Law 110-329)
under the CDBG program; and
WHEREAS, the Department desires to disburse grant funds to the Recipient for eligible purposes primarily benefiting
low and moderate income persons, eliminating slums and blight, or meeting community development needs having particular
urgency; and
WHEREAS, the Recipient submitted an application for funding to the Department and the Department has approved the
application; and
WHEREAS, in approving the application the Department has relied upon the representations of proposed Project
activities; management and financial condition of the Recipient; investment of other Project funds; and other material information
contained therein; and
WHEREAS, the Recipient has certified to the Department that the primary purpose for obtaining CDBG funds is to
primarily benefit low and moderate income persons, eliminate slums and blight, or meet community development needs having a
particular urgency;
NOW, THEREFORE, the Recipient accepts this grant upon the terms and conditions set forth in this Contract. In
consideration of the mutual promises contained in this Contract and other good and valuable consideration, it is agreed as follows:
ARTICLE 1
DEFINITIONS
As used in this Contract, the following terms shall apply:
1.1 ACT. "Act" means Title I of the Housing and Community Development Act of 1974 as amended (42 U.S.C. 5301 et seq.) and the
regulations now or hereafter promulgated thereunder and the guidance now or hereafter disseminated with respect thereto.
1.2 ACTIVITY. "Activity" is a discrete item of work as determined to be eligible under 24 CFR Part 570.482. Activities are line
items in the budget and have specific performance targets.
1.3 ALLOWABLE COSTS. "Allowable Costs" are those costs which are identified on Attachment A, Program Description and
Budget; Attachment B, Application; and consistent with Federal regulations and the Program Rules.
1.4 COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM (CDBG). "Community Development Block Grant Program"
means the grant program authorized by Title I of the Housing and Community Development Act of 1974, as amended.
1.5 CONSOLIDATED APPROPRIATIONS ACT. "Consolidated Appropriations Act" means the Consolidated Security, Disaster
Assistance, and Continuing Appropriations Act of 2009 (Pub.L. 110-329).
1.6 CONTRACT EXPIRATION DATE. "Contract Expiration Date" means the date the Contract ceases to be in force and effect.
The Contract expires upon the occurrence of one of the following: a) the Recipient fulfills the conditions and Project activities agreed to
Contract Number: 08-DRHB-222
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herein as of the end date stated above; or b) the Contract is terminated by the Department due to any default under Article 9.1; or c) the
Contract is terminated in accordance with provisions set forth in Sections 8 and 9 of the General Provisions, Attachment C of this Contract.
1.7 CONTRACT. "Contract" means this Contract and all of the notes, leases, assignments, mortgages, and similar documents referred
to in the Contract and all other instruments or documents executed by the Recipient or otherwise required in connection with the Contract,
including the CDBG grant application together with any related submittal documents.
1.8 FAIR MARKET VALUE. "Fair Market Value" means a value based upon fair market value of the property to be acquired.
1.9 GRANT. "Grant" means the award of CDBG funds to the Recipient for Project activities.
1.10 HUD. "HUD" means the U.S. Department of Housing and Urban Development.
1.11 LOW- AND MODERATE -INCOME FAMILIES. "Low- and Moderate -Income Families" means those families earning no
more than 80 percent of the higher of the median family income of the county or the statewide nonmetropolitan area as determined by the
latest U.S. Department of Housing and Urban Development, Section 8 income guidelines. Unrelated individuals living together shall be
considered as one-person families for this purpose.
1.12 LOW- AND MODERATE -INCOME PERSONS. "Low and Moderate Income Person" means a member of a low- and
moderate -income family as defined above.
1.13 PROGRAM. "Program" means the Community Development Block Program for Disaster Recovery authorized pursuant to the
Program Rules.
1.14 PROGRAM INCOME. "Program Income" shall have the meaning for such term set forth in 24 CFR 570.500(a), as modified by
the Program Rules.
1.15 PROGRAM RULES. "Program Rules" means the Act, as modified by the Consolidated Appropriations Act, and the regulations
now or hereafter promulgated thereunder and the guidance now or hereafter disseminated with respect thereto including but not limited to
HUD Notices published in the Federal Register on September 11, 2008, December 19, 2008, February 13, 2009 and August 14, 2009, and
any additional HUD Notices or other guidance that may be disseminated.
1.16 PROJECT. "Project" means the totality of work, services, and activities to be performed or accomplished by the Recipient as
described in this Contract and the CDBG application approved by the Department.
1.17 REVOLVING LOAN FUND. "Revolving Loan Fund" shall have the meaning set forth in Section 12 of HUD Notice Docket FR -
5250 -N-01, published in the Federal Register on 9/11/08, as may be further modified by the Program Rules.
1.18 SPECIAL HAZARD FLOOD AREA. "Special Hazard Flood Area" means an area designated as a special hazard flood area on
the most recent National Flood Insurance Program map.
1.19 SUBRECIPIENT. "Subrecipient" means an entity operating under an agreement or contract with the Recipient to carry out and
activity as approved by IDED.
1.20 URA. "URA" means the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, as amended.
ARTICLE 2
FUNDING
2.1 FUNDING SOURCE. The source of funding for the Grant is a Federal appropriation for the Program.
2.2 RECEIPT OF FUNDS. All payments under this Contract are subject to receipt by the Department of sufficient Federal funds for
the CDBG program. Any termination, reduction or delay of CDBG funds to the Department shall, at the option of the Department, result in
the termination, reduction or delay of CDBG funds to the Recipient.
2.3 PRIOR COSTS. If any Recipient has received written approval from the Department to incur certain costs prior to the Effective
Date of this Contract, then said written approval and the terms and conditions therein are incorporated herein and made a part of this Contract
by this reference as if fully set forth; provided, however, that no such costs incurred prior to May 27, 2008 shall be reimbursed. Any such
costs incurred prior to the Effective Date of this Contract are subject to the Special Conditions and General Conditions of this Contract.
2.4 DISBURSEMENT OF LESS THAN THE TOTAL AWARD AMOUNT. If the total award amount has not been requested by
the Recipient within ninety (90) days after the Contract Expiration Date, then the Department shall be under no obligation for further
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disbursement. The Department may allow access to funds after this time for allowable costs associated with the conduct of the audits
required in Article 2.0 of the General Provisions, Attachment C to this Contract.
ARTICLE 3
TERMS OF GRANT
3.1 TIME OF PERFORMANCE. The services of the Recipient are to commence as of the Effective Date and shall be undertaken in
such a manner as to assure their timely and expeditious completion. All of the services required hereunder shall be completed on or before
the End Date.
3.2 MAXIMUM PAYMENTS. It is expressly understood and agreed that the maximum amounts to be paid to the Recipient by the
Department for any item of work or service shall conform to the budget as presented in Attachment A, "Program Description and Budget." It
is further understood and agreed that the total of all payments to the Recipient by the Department for all work and services required under
this Contract shall not exceed the Award Amount unless modified by written amendment of this Contract as provided for in Section 1.0 of the
General Provisions, Attachment C of this Contract.
3.3 LOCAL EFFORT REQUIREMENTS. The Recipient agrees to provide local cash contribution to the Project as defined in the
"Local" column of the budget shown on Attachment A, "Program Description and Budget." Expenditures above this level, necessary to
complete the statement of work and services, shall be paid with local funds. Reports of the local funds expended shall be included in the
Request for Payment/Activity Status Report specified in Article 8.1(b), "Reports." The Department Does Not Agree to allow a delay in the
contribution of local cash . When a delay is allowed, the delay shall be until the specified date or until two-thirds of the grant amount has
been drawn down, whichever come first, at which time no further Federal funds may be drawn down until sufficient local cash has been
expended to attain the ratio of Federal to local funds specified on the Attachment A.
3.4 ADMINISTRATION. This Contract shall be administered in accordance with 261 Iowa Administrative Code, Chapter 23 and all
applicable State and Federal laws and regulations, including the Iowa Community Development Block Grant Management Guide, which has
been distributed by IDED to the Recipient, to the extent applicable to the Program and not in conflict with the Program Rules.
ARTICLE 4
PERFORMANCE TARGET ACHIEVEMENT
4.1 PERFORMANCE TARGETS. By the Contract End Date, the Recipient shall have accomplished the activities and performance
targets as described in Attachment A, "Program Description and Budget," and as further elaborated in Attachment B, CDBG Disaster
Recovery Fund Application.
4.2 CALCULATION OF PROJECT COMPLETION. The Department has the final authority to assess whether the Recipient has
met their performance targets at the Contract End Date. The Department shall determine completion according to the performance targets set
forth in Attachment A, "Program Description and Budget." The Department reserves the right to monitor and measure at any time during
and after the Contract term the achievement of the performance targets.
ARTICLE 5
USE OF FUNDS
5.1 GENERAL. The Recipient shall perform in a satisfactory and proper manner, as determined by the Department, the work
activities and services as written and described in the approved grant proposal (Attachment B) as summarized in the Recipient's approved
Community Development Block Grant Program Description and Budget (Attachment A).
5.2 PROGRAM INCOME. Unless otherwise agreed to in a signed amendment to this Contract, proceeds generated from the use of
CDBG funds are considered program income when the total amount of any CDBG program income received by the Recipient in a fiscal year
exceeds $25,000, at which time the entire $25,000 and excess are considered program income. Prior to the Contract End Date, all program
income shall be expended prior to requesting additional CDBG funds. Program income received by the Recipient after the Contract End
Date shall be returned to the Department unless the Recipient has submitted, and the Department has approved, a re -use plan. Any CDBG
proceeds derived from an approved Revolving Loan Fund are considered program income, regardless of the amount received in any year.
5.3 BUDGET REVISIONS. Budget revisions, which would result in increases of budgeted line item amounts in excess of ten percent
(10%) or ten thousand dollars ($10,000), whichever is less, shall be subject to prior approval of the Department through the contract
amendment process. Budget line item decreases which would lower the Recipient's performance level required under this Contract must also
be approved by the Department through the amendment process. Budget revisions shall be compatible with the terms of this Contract and of
such a nature as to qualify as an allowable cost. These provisions shall not be construed as allowing administrative costs to exceed the limits
provided in Article 5.6. Budget revisions requested during the final ninety (90) days of the Contract period will be approved by the
Department only if it determines that the revisions are necessary to complete Project activities.
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5.4 PROHIBITION ON USE OF FUNDS. The funds provided under this Contract shall not be used for activities reimbursable by or
for which funds are made available by the Federal Emergency Management Agency or the Army Corps of Engineers. In addition, none of
the funds provided under this Contract may be used as the required match, share or contribution for any other federal program.
5.5 DUPLICATION OF BENEFITS. 42 U.S.C. 5155 provides that any federal agency administering any program providing
financial assistance to person, business concerns or other entities suffering losses as a result of a major disaster or emergency, shall assure
that no such person, business concern, or other entity will receive such assistance with respect to any part of such loss as to which it has
received financial assistance under any other federal program or from insurance or any other source (the "Duplication of Benefits Rules").
IDED will work with the Recipient to review projects undertaken pursuant to this Contract to assure compliance with the Duplication of
Benefits Rules as a condition to disbursing funds to the Recipient.
5.6 ADMINISTRATIVE COST LIMITATIONS. Federal funds used for reasonable administrative costs, as allowed under Federal
and State regulations, shall be limited to two percent (2%) of the total CDBG funds as specified in the Attachment A. Program income
received by the Recipient during the Contract period is subject to the two percent (2%) administrative cost limitation. Total administrative
costs (Federal) on the Project shall not exceed two percent (2%) of total Project Budget. Project delivery costs allocable to a specific address,
including but not limited to inspections, title searches and reviews under the Duplication of Benefits Rules as provided in Section 5.5 hereof,
are not included in administrative costs for purposes of this section.
5.7 DISASTER RECOVERY REQUIREMENT. Use of all funds pursuant to this Contract shall be for necessary expenses related
to disaster relief, long-term recovery and restoration of infrastructure, housing and economic revitalization in areas covered by the
declarations of major disaster under Title IV of the Robert T. Stafford Disaster Relief and Emergency Act (42 U.S.C., Section 5721 et Seq.)
designated Disaster No. 1763 (the "Disaster").
5.8 FAIR MARKET VALUE. The Fair Market Value of any property purchased pursuant to an Activity must be derived from a
methodology that results in a reasonable determination of the fair market value of such property. The use of such methodology shall be
subject to the prior written approval of IDED. If such methodology is determined by use of appraisals, any such appraisals shall comply with
the appraisal requirements of the URA at 49 CFR 24.103.
5.9 HAZARDOUS MATERIALS. The Recipient shall not acquire or include in properties acquired under this Contract properties
contaminated with hazardous materials. The Recipient shall seek information from property owners and from other sources on the use and
presence of contaminants affecting the property, from owners of such property that are or were industrial or commercial, or from owners
properties adjacent to such industrial or commercial properties. A contaminated property must be certified clean and be approved for
acquisition by the Department in its sole discretion prior to its acquisition under this Contract.
5.10 PURCHASE AND TITLE. The Recipient shall, and shall require any Subrecipient to, maintain adequate records of purchases
including the address, appraised value and purchase offer amount and shall make such records available to the Department. Each contract to
purchase property under this Contract shall require that such property be sold and conveyed to the Recipient, free and clear of liens, with
marketable title. A Title Guaranty Certificate or title opinion shall be obtained with respect to each such property.
5.11 REMOVAL OF EXISTING BUILDINGS. Existing buildings and other structures located on acquired property that, in the sole
discretion of the Department, are determined to be incompatible with the use of property after acquisition must be removed by demolition or
relocation to an area outside the applicable Special Hazard Flood Area within ninety (90) days of the acquisition of such property. The
Department may extend the period for such demolition or relocation in the sole discretion of the Department.
5.12 USE OF PROPERTY AFTER ACQUISITION. After property is acquired, the following requirements apply:
a. Any property acquired pursuant to this Contract that is located in a Special Hazard Flood Area shall be dedicated and
maintained in perpetuity for a use that is compatible with open space, recreational, or wetlands management practices. Except as
provided in the Robert T. Stafford Disaster Relief and Emergency Assistance Act, as amended (the "Disaster Act"), no new
structure may be erected on such property and no subsequent application for federal disaster assistance may be made for any
purpose. Such property may be leased to owners of adjacent property or other parties, with such lease to be limited to the uses set
forth above, in return for a maintenance agreement. In the event such property is sold, a deed restriction or covenant running with
the land must require that the property be dedicated and maintained for the uses set forth above in perpetuity.
b. No funds under this Contract may be used to make a payment (including any loan assistance payment) to a person for
repair, replacement or restoration for damage to any personal, residential, or commercial property if that person at any time has
received federal flood disaster assistance that was conditional on the person first having obtained flood insurance under applicable
federal law and the person has subsequently failed to obtain and maintain flood insurance as required under applicable federal law
on such property.
c. The Recipient shall notify property owners receiving disaster assistance that triggers the flood insurance purchase
requirement set forth in subsection b of this section that such property owners have a statutory responsibility to notify any
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transferee of the requirement to obtain and maintain flood insurance, and that the transferring owner may be liable if he or she fails
to do so. These duties include:
(i) In the event of a transfer of any property described in this section, the transferor shall, not later than the date on
which such transfer occurs, notify the transferee in writing of the requirements to (A) obtain flood insurance in
accordance with applicable federal law with respect to such property, if the property is not so insured as of the date on
which such property is transferred; and (B) maintain flood insurance in accordance with applicable federal law, which
written notification shall be contained in the deed or other document evidencing the transfer of ownership of the property.
(ii) If the transferor of such property fails to provide notice as described in this subsection c and, subsequent to the
transfer of such property (A) the transferee fails to obtain or maintain flood insurance in accordance with applicable
federal law, with respect to such property; (B) such property is damaged by a flood disaster; and (C) federal disaster relief
assistance is provided for the repair, replacement, or restoration of such property as a result of such damage, then the
transferor shall be required to reimburse the Federal Govemment in an amount equal to the amount of federal disaster
release assistance provided with respect to such property.
(iii) The notification requirements of this section apply to personal, commercial or residential property for which
federal disaster relief assistance made available in a flood disaster area has been provided, prior to the date on which the
property is transferred, for repair, replacement or restoration of such property, if such assistance was conditioned upon
obtaining flood insurance in accordance with applicable federal law with respect to such property.
d. For purposes of this section, the term "Federal disaster relief assistance" applies to HUD or other federal assistance for
disaster relief in "flood disaster areas," and the term "flood disaster area" has the meaning given such term in Section 582(d)(2) of
the National Flood Insurance Reform Act of 1994, as amended, and includes an area receiving a presidential declaration of a major
disaster or emergency as a result of flood conditions.
5.13 ONE-FOR-ONE REPLACEMENT REQUIREMENTS WAIVERS. The following requirements are waived for the activities
described:
a. the One-for-one replacement requirements pursuant to 42 U.S.C. Section 5304(d)(2) and (d)(3), and 24 CFR 42.375(a) do
not apply for lower-income dwelling units (as defined in 24 CFR 42.305) which were (i) damaged by the covered disaster, (ii) for
which CDBG funds are used for conversion or demolition, and (iii) which are not suitable for rehabilitation.
b. Relocation assistance requirements pursuant to 42 U.S. C. Section 5304(d)(2)(A) and 24 CFR 42.350 do not apply to
activities under this Contract, to the extent that such requirements differ from the requirements of the URA and the regulations
under 49 CFR Part 24, for activities involving buyouts and other activities covered by the URA and related to disaster recovery
activities assisted by the funds under this Contract.
c. The requirements of 49 CFR 24.101(b)(2)(i) - (ii) do not apply to activities under this Contract to the extent that they
apply to an arm's length voluntary purchase carried out by a person who does not have the power of eminent domain, in connection
with the purchase and occupancy of a principal residence by that person.
5.14 COMPLIANCE WITH PROGRAM RULES. All activities conducted and services performed pursuant to this contract shall be
conducted and performed in compliance with the Program Rules.
ARTICLE 6
CONDITIONS TO DISBURSEMENT OF FUNDS
Unless and until the following conditions have been satisfied, the Department shall be under no obligation to disburse to the Recipient any
amounts under this Contract:
6.1 CONTRACT EXECUTED. The Contract shall have been properly executed and, where required, acknowledged.
6.2 COMPLIANCE WITH ENVIRONMENTAL AND HISTORIC PRESERVATION REQUIREMENTS. Funds shall not be
released under this Contract for non-exempt activities until the Recipient has satisfied the environmental review and release of funds
requirements set forth in 24 CFR Part 58, "Environmental Review Procedures for the Community Development Block Grant Program", and
summarized in the Iowa Community Development Block Grant Management Guide, each to the extent applicable to the Program and not in
conflict with the Program Rules. In addition, construction contracts for non-exempt activities shall not be executed and construction shall not
begin prior to providing the Department with documentation of the Recipient's compliance with Section 106 of the National Historic
Preservation Act and 36 CFR Part 800, "Protection of Historic Properties." The Recipient shall comply with any Programmatic Agreement
between the Iowa Department of Economic Development and the Iowa State Historic Preservation Office, applicable to any activities
included in this contract. The Recipient shall comply with any lead agency agreement between FEMA and IDED applicable to any activity
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included in this contract. If a property being acquired is located in an area designated as a special flood hazard area on the most current flood
advisory maps of the Federal Emergency Management Agency (FEMA), additional environmental review must be performed that complies
with the requirements of 24 CFR Part 55 and Executive Order 11988.
6.3 PERMITS AND LICENSES. The Department reserves the right to withhold funds until the Department has reviewed and
approved all material, such as permits or licenses from other state or Federal agencies, which may be required prior to Project
commencement.
6.4 EXCESSIVE FORCE POLICY. The Department, prior to release of funds under this Contract, shall review and approve the
Recipient's policy on protecting individuals engaged in nonviolent civil rights demonstrations from the use of excessive force by law
enforcement agencies within its jurisdiction, and enforcing state and local laws against physically barring entrance to or exit from a facility or
location which is the subject of such nonviolent civil rights demonstrations within its jurisdiction, consistent with the provisions of Section
906 of the National Affordable Housing Act of 1990 and Subsection 104(1) of the Housing and Community Development Act of 1974, as
amended.
6.5 SUBRECIPIENT AGREEMENTS. If the Recipient intends to contract with a Subrecipient, prior to release of funds under this
Contract and prior to the Recipient entering into a Subrecipient agreement, the Recipient shall seek and obtain the Department's review and
approval of the Recipient's proposed Subrecipient agreement.
6.6 DOCUMENTS REQUIRED FOR DISBURSEMENT FOR A SPECIFIC ACTIVITY. For each activity number listed in
Attachment A to the Contract, the Recipient shall be required to supply a closing package for each property to include, but not limited to:
Consent and Release Form
Program eligibility affidavit
Insurance affidavit
Voluntary Statement for property acquisition (Tab G of application)
Ownership Affidavit (Tab H of application)
Proof of Fair Market Valuation
Documentation to substantiate that any property related to a specific activity is substantially damaged
Request for a duplication of benefits check.
ARTICLE 7
REPRESENTATIONS AND WARRANTIES OF RECIPIENT
To induce the Department to make the Grant referred to in this Contract, the Recipient represents, covenants and warrants that:
7.1 AUTHORITY. The Recipient is duly authorized and empowered to execute and deliver the Contract. All required actions on the
Recipient's part, such as appropriate resolution of its governing board for the execution and delivery of the Contract, have been effectively
taken.
7.2 FINANCIAL INFORMATION. All financial statements and related materials concerning the Project provided to the Department
are true and correct in all material respects and completely and accurately represent the subject matter thereof as of the Effective Date of the
statements and related materials, and no material adverse change has occurred since that date.
7.3 APPLICATION. The contents of the application the Recipient submitted to the Department for CDBG funding is a complete and
accurate representation of the Project as of the date of submission and there has been no material adverse change in the organization,
operation, or key personnel of the Recipient since the date the Recipient submitted its CDBG Disaster Recovery Fund application to the
Department.
7.4 CLAIMS AND PROCEEDINGS. There are no actions, lawsuits or proceedings pending or, to the knowledge of the Recipient,
threatened against the Recipient affecting in any manner whatsoever their rights to execute the Contract or the ability of the Recipient to
make the payments required under the Contract, or to otherwise comply with the obligations of the Contract. There are no actions, lawsuits
or proceedings at law or in equity, or before any govemmental or administrative authority pending or, to the knowledge of the Recipient,
threatened against or affecting the Recipient or any property involved in the Project.
7.5 PRIOR AGREEMENTS. The Recipient has not entered into any verbal or written contracts, agreements or arrangements of any
kind which are inconsistent with the Contract.
7.6 EFFECTIVE DATE. The covenants, warranties and representations of this Article are made as of the Effective Date of this
Contract and shall be deemed to be renewed and restated by the Recipient at the time of each advance or request for disbursement of funds.
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ARTICLE 8
COVENANTS OF THE RECIPIENT
8.1 AFFIRMATIVE COVENANTS. Until the Project has been closed out, audited, and approved by IDED, the Recipient covenants
with IDED that:
(a) PROJECT WORK AND SERVICES. The Recipient shall perform the work and services detailed in the CDBG
Attachment A by the Contract End Date.
(b) REPORTS. The Recipient shall prepare, review and sign the requests and reports as specified below in the form and
content specified by the Department. The Recipient shall review all Requests for Payment and verify that claimed expenditures are
allowable costs. The Recipient shall maintain documentation adequate to support the claimed costs.
REPORT DUE DATE
1. Request for Disaster Recovery Payment/ As funds are needed (original and three copies)
Activity Status Report
2. Updates to the Applicant/Recipient Disclosure Report As needed due to changes
3. Final Request for Disaster Recovery Payment/
Activity Status Report
4. Section 3 Report (if applicable)
5. Form 3-D, Final Accomplishments and
Equal Opportunity Data (if applicable)
Within 60 days of Contract Expiration Date
Within 60 days of Contract Expiration Date
Within 60 days of Contract Expiration Date
6. Audit Report (if applicable) Within 30 days of audit completion
7. Other reports as required by IDED and the Program Rules As needed
The Department reserves the right to require more frequent submission of the Activity Status Report than as shown above if, in the
opinion of the Department, more frequent submissions would help improve the Recipient's CDBG program.
(c) RECORDS. The Recipient shall maintain books, records, documents and other evidence pertaining to all costs and
expenses incurred and revenues received under this Contract in sufficient detail to reflect all costs, direct and indirect, of labor,
materials, equipment, supplies, services and other costs and expenses of whatever nature, for which payment is claimed under this
Contract. The Recipient shall maintain books, records and documents in sufficient detail to demonstrate compliance with the
Contract and shall maintain these materials for a period of five (5) years beyond the date upon which the final audit of the Project is
accepted by IDED. Records for non -expendable property acquired under this Contract shall be retained for a five (5) year period
after the final disposition of property. Records shall be retained beyond the prescribed period if any litigation or audit is begun or if
a claim is instituted involving the grant or agreement covered by the records. In these instances, the records shall be retained until
the litigation, audit or claim has been finally resolved.
(d) ACCESS TO RECORDS/INSPECTIONS. The Recipient shall, without prior notice and at any time, permit HUD or its
representatives, the General Accounting Office or its representatives, and the Department, its representatives or the State Auditor to
examine, audit and/or copy (i) any plans and work details pertaining to the Project, (ii) all of the Recipient's books, records and
accounts, and (iii) all other documentation or materials related to this Contract; the Recipient shall provide proper facilities for
making such examination and/or inspection.
(e) USE OF GRANT FUNDS. The Recipient shall expend funds received under the Contract only for the purposes and
activities described in its CDBG Application, this Contract and as approved by the Department.
(f) DOCUMENTATION. The Recipient shall deliver to IDED, upon request, (i) copies of all contracts or agreements
relating to the Project, (ii) invoices, receipts, statements or vouchers relating to the Project, (iii) a list of all unpaid bills for labor
and materials in connection with the Project, and (iv) budgets and revisions showing estimated Project costs and funds required at
any given time to complete and pay for the Project.
(g) NOTICE OF PROCEEDINGS. The Recipient shall promptly notify IDED of the initiation of any claims, lawsuits or
proceedings brought against the Recipient.
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(h) INDEMNIFICATION. The Recipient shall indemnify and hold harmless the Department, its officers and employees
from and against any and all claims or losses accruing or resulting from any and all claims of subcontractors, laborers and any other
person, firm or corporation furnishing or supplying work, services, materials or supplies in connection with the performance of this
Contract (singularly, a "Vendor" and collectively, "Vendors") and from any and all claims and losses accruing or resulting from
any person, firm or corporation who may be injured or damaged by the Recipient in the performance of this Contract, including but
not limited to claims under worker's compensation acts, claims of damages because of bodily injury including personal injury,
sickness or disease, injury to or destruction of tangible property including but not limited to loss of use therefrom; and from claims
arising out of negligent errors, omissions or acts of the Recipient. The Recipient shall require that any Subrecipient or Vendor
provide such indemnification to the Department in addition to the indemnification provided by the Recipient.
(i) NOTICE TO DEPARTMENT. In the event the Recipient becomes aware of any material alteration in the Project,
initiation of any investigation or proceeding involving the Project, or any other similar occurrence, the Recipient shall promptly
notify the Department.
(j) CERTIFICATIONS. The Recipient certifies and assures that the Project will be conducted and administered in
compliance with all applicable Federal and State laws, regulations and orders. Certain statutes are expressly made applicable to
activities assisted under the Act by the Act itself while other laws not referred to in the Act may be applicable to such activities by
their own terms. The Recipient certifies and assures compliance with the applicable orders, laws and implementing regulations,
including but not limited to, the following, as modified by the waivers and alternative requirements contained in the Program
Rules:
(i) Financial Management guidelines issued by the U.S. Office of Management and Budget, OMB Circular A-133
("Single Audit Act Amendment of 1996"), OMB Circular A-122 ("Cost Principles for Nonprofit Organizations"), OMB
Circular A-87 ("Principles for Determining Costs Applicable to Grants and Contracts with State, Local and Federally
recognized Indian Tribal Governments").
(ii) Title I of the Housing and Community Development Act of 1974 as amended (42 U.S.C. 5301 et seq.); and
regulations which implement these laws, as modified by the waivers and alternative requirements published in the
Federal Register on September 11, 2008.
(iii) Title VI of the Civil Rights Act of 1964 as amended (Public Law 88-352; 42 U.S.C. 2000d et seq.); Title VIII
of the Civil Rights Act of 1968 as amended (Public Law 90-284; 42 U.S.C. 3601 et seq.); the Iowa Civil Rights Act of
1965; Chapter 19B.7, 2003 Code of Iowa, and Iowa Executive Order #34, dated July 22, 1988; Iowa Code Chapter 216,
Presidential Executive Order 11063, as amended by Executive Order 12259; Presidential Executive Order 11246, as
amended; Section 504 of the Vocational Rehabilitation Act of 1973 as amended (29 U.S.C. 794); the Age Discrimination
Act of 1975 as amended (42 U.S.C. 6101 et seq.); the Americans with Disabilities Act, as applicable, (P. L. 101-336, 42
U.S.C. 12101-12213); and related Civil Rights and Equal Opportunity statutes; and regulations which implement these
laws.
(iv) Fair Housing Act, Public Law 90-284;. The Public Fair Housing Act is part of Title VIII of the Civil Rights Act
of 1968 as amended (42 U.S.C. 3601 et seq.); Section 109 of the Title I of the Housing and Community Development Act
of 1974, as amended; Section 3 of the Housing and Urban Development Act of 1968 as amended (12 U.S.C. 1701u); and
regulations which implement these laws.
(v) Department of Housing and Urban Development regulations governing the CDBG program, 24 Code of
Federal Regulations, Part 570.
(vi) Section 102 of the Department of Housing and Urban Development Reform Act of 1989 (P.L. 101-235), and
implementing regulations.
(vii) Lead Based Paint Poisoning Prevention Act (42 U.S.C. 4821 - 4846), as amended, and implementing regulations.
(viii) Davis -Bacon Act, as amended (40 U.S.C. 276a - 276a-5), where applicable under Section 110 of the Housing
and Community Development Act of 1974, as amended; Contract Work Hours and Safety Standards Act (40 U.S.C. 327
et seq.); the Copeland Anti -Kickback Act (18 U.S.C. 874); and regulations which implement these laws.
(ix)
National Environmental Policy Act of 1969 and implementing regulations.
(x) Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, as amended, (URA)(42
U.S.C. 4601 - 4655) and implementing regulations; Section 104(d) of the Housing and Community Development Act of
1974, as amended, governing the residential antidisplacement and relocation assistance plan; Section 105(a)(11) of the
Document Prepared by: Pat Roberts CDBG Disaster Recovery Property Acquisition Contract Format
Approved November 2009
Contract Number: 08-DRHB-222
Page 9of15
Housing and Community Development Act of 1974, as amended, governing optional relocation assistance, each as
modified and/or waived by the Program Rules.
(xi) Administrative rules adopted by the Iowa Department of Economic Development, 261 Iowa Administrative
Code, Chapter 23, to the extent applicable to the Program and not in conflict with the Program Rules.
(xii) Financial and Program Management guidelines issued by the Iowa Department of Economic Development: the
Iowa CDBG Management Guide and the IDED Audit Guide, to the extent applicable to the Program and not in conflict
with the Program Rules.
(xiii) Government -wide Restriction on Lobbying Certification [Section 319 of Public Law 101-121] and
implementing regulations.
(xiv) Fair Labor Standards Act and implementing regulations.
(xv) Hatch Act (regarding political partisan activity and Federally funded activities) and implementing regulations.
(xvi) Citizen participation, hearing and access to information requirements found under sections 104(a)(2) and
104(a)(3) of Title I of the Housing and Community Development Act of 1974, as amended, and as modified by the
waivers and alternative requirements published in the Federal Register on September 11, 2008.
(xvii) Subsection 104(1) of Title I of the Housing and Community Development Act of 1974, as amended, regarding
the prohibition of the use of excessive force in nonviolent civil rights demonstrations and the enforcement of state and
local laws on barring entrance to or exit from facilities subject to such demonstrations.
(xviii) Drug -Free Workplace Act.
(k) MAINTENANCE OF INSURANCE. The Recipient shall, and shall require and any subrecipient to, purchase and
maintain insurance (or maintain self-insurance that, in the sole discretion of the Department, is adequate to fully protect the
Department and the State of Iowa) to protect the Department and the State of Iowa from any claims arising out of this Contract or
the properties acquired as a result of this Contract, from liability for any reason for which the Department is indemnified pursuant
to this Section 8.1. The Recipient shall require any Subrecipient to name the Recipient and the Department as a mortgagee and/or
an additional loss payee, as appropriate, and the Recipient shall name the Department as a mortgagee and/or an additional loss
payee, as appropriate. Copies of all such insurance policies shall be submitted to the Department.
8.2 NEGATIVE COVENANTS. During the Contract term the Recipient covenants with IDED that it shall not, without the prior
written disclosure to and prior written consent of IDED, directly or indirectly:
(a) ASSIGNMENT. Assign its rights and responsibilities under this Contract.
(b) ADMINISTRATION. Discontinue administration activities under the Contract.
ARTICLE 9
DEFAULT AND REMEDIES
9.1 EVENTS OF DEFAULT. The following shall constitute Events of Default under this Contract:
(a) MATERIAL MISREPRESENTATION. If at any time any representation, warranty or statement made or furnished to
the Department by, or on behalf of the Recipient in connection with this Contract or to induce the Department to make a grant to
the Recipient shall be determined by the Department to be incorrect, false, misleading or erroneous in any material respect when
made or furnished and shall not have been remedied to the Departments satisfaction within thirty (30) days after written notice by
the Department is given to the Recipient.
(b) NONCOMPLIANCE. If there is a failure by the Recipient to comply with any of the covenants, terms or conditions
contained in this Contract.
(c) CONTRACT EXPIRATION DATE. If the Project, in the sole judgment of the Department, is not completed on or
before the Contract Expiration Date.
(d) MISSPENDING. If the Recipient expends Grant proceeds for purposes not described in the CDBG Disaster Recovery
Fund application, this Contract, or as authorized by the Department.
Document Prepared by: Pat Roberts CDBG Disaster Recovery Property Acquisition Contract Format
Approved November 2009
Contract Number: 08-DRHB-222
Page l0 of 15
(e) INSURANCE. If loss, theft, damage or destruction of any substantial portion of the property of the Recipient occurs for
which there is either no insurance coverage or for which, in the opinion of the Department, there is insufficient insurance coverage.
This provision applies to Activity Number(s) .
9.2 NOTICE OF DEFAULT. IDED shall issue a written notice of default providing therein a fifteen (15) day period in which the
Recipient shall have an opportunity to cure, provided that cure is possible and feasible.
9.3 REMEDIES UPON DEFAULT. If, after opportunity to cure, the default remains, IDED shall have the right, in addition to any
rights and remedies available to it to do one or more of the following:
(a) exercise any remedy provided by law,
(b) require immediate repayment of up to the full amount of funds disbursed to the Recipient under this Contract plus
interest.
9.4 FAILURE TO MEET PERFORMANCE TARGETS. If the Recipient is determined by the Department to be in default of this
Contract due to meeting less than one hundred percent (100%) of its Performance Targets, the Department may require full Grant repayment
or, at its discretion, the Department may require partial repayment of Grant proceeds which allows partial credit for the performance targets
which have been met, or the Department may require other remedies that the Department determines to be appropriate.
ARTICLE 10
INCORPORATED DOCUMENTS
10.1 DOCUMENTS INCORPORATED BY REFERENCE. The Recipient shall comply with the terms and conditions of the
following documents which are hereby incorporated by reference:
10.2
govern:
1. Attachment A, "Program Description and Budget."
2. Attachment B, "CDBG Disaster Recovery Fund Application."
3. Attachment C, "CDBG Program General Provisions," dated November 20, 2009.
ORDER OF PRIORITY. In the event of a conflict between documents of this Contract, the following order of priority shall
1. Articles 1 through 11 herein.
2. Attachment C, "CDBG Program General Provisions," dated November 20, 2009.
3. Attachment A, "Program Description and Budget."
4. Attachment B, "CDBG Disaster Recovery Fund Application."
10.3 SUPERSEDING AUTHORITY. Notwithstanding any provision herein to the contrary, in the event of any provision of this
Contract, including Attachments A, B and C, conflicts with any of the Program Rules, such conflicting provisions shall be of no
force and effect, the Program Rules shall apply in lieu thereof as though fully set forth herein.
ARTICLE 11
MISCELLANEOUS
11.1 LIMIT ON GRANT PROCEEDS ON HAND. The Recipient shall request Project funds only as needed and shall not have more
than five hundred dollars ($500.00) of Grant proceeds, including earned interest, on hand for a period of longer than ten (10) working days,
after which time any surplus amount shall be returned to the Department.
11.2 BINDING EFFECT. This Contract shall be binding upon and shall inure to the benefit of the Department and Recipient and their
respective successors, legal representatives and assigns. The obligations, covenants, warranties, acknowledgments, waivers, agreements,
terms, provisions and conditions of this Contract shall be jointly and severally enforceable against the parties to this Contract.
11.3 SURVIVAL OF CONTRACT. If any portion of this Contract is held to be invalid or unenforceable, the remainder shall be valid
and enforceable. The provisions of this Contract shall survive the execution of all instruments herein mentioned and shall continue in full
force until the Project is completed as determined by the Department.
11.4 GOVERNING LAW. This Contract shall be interpreted in accordance with the laws of the State of Iowa, and any action relating
to the Contract shall only be commenced in the Iowa District Court for Polk County or the United States District Court for the Southern
District of Iowa.
Document Prepared by: Pat Roberts CDBG Disaster Recovery Property Acquisition Contract Format
Approved November 2009
Contract Number: 08 -DRI -IB -222
Page 11 of 15
11.5 NOTICES. Whenever this Contract requires or permits any notice or written request by one party to another, it shall be in writing,
enclosed in an envelope, addressed to the party to be notified at the address heretofore stated (or at such other address as may have been
designated by written notice), properly stamped, sealed and deposited in the United States Mail. Any such notice given hereunder shall be
deemed delivered upon the earlier of actual receipt or two (2) business days after posting. The Department may rely on the address of the
Recipient set forth heretofore, as modified from time to time, as being the address of the Recipient..
11.6 WAIVERS. No waiver by the Department of any default hereunder shall operate as a waiver of any other default or of the same
default on any future occasion. No delay on the part of the Department in exercising any right or remedy hereunder shall operate as a
waiver thereof. No single or partial exercise of any right or remedy by the Department shall preclude future exercise thereof or the exercise
of any other right or remedy.
11.7 LIMITATION. It is agreed by the Recipient that the Department shall not, under any circumstances, be obligated financially
under this Contract except to disburse funds according to the terms of the Contract.
11.8 HEADINGS. The headings in this Contract are intended solely for convenience of reference and shall be given no effect in the
construction and interpretation of this Contract.
11.9 INTEGRATION. This Contract contains the entire understanding between the Recipient and the Department and any
representations that may have been made before or after the signing of this Contract, which are not contained herein, are nonbinding, void
and of no effect. None of the parties have relied on any such prior representation in entering into this Contract.
11.10 COUNTERPARTS. This Contract may be executed in any number of counterparts, each of which shall be deemed to be an
original, but all of which together shall constitute one and the same instrument.
IN WITNESS WHEREOF, the parties have executed this Contract as of the Effective Date first stated.
RECIPIENT:, ity of Waterloo
BY:7� /, r. it. -9 l l 6-46+- . l..il r i�-Lde{�
ayor Typed or Printed Name and Title (J
City of Waterloo
City Hall - 715 Mulberry St.
Waterloo, IA 50703
4.4
IOWA DEPARTMENT OF ECONOMIC DEVELOPMENT:
BY:
Timothy R. Waddell, Division Administrator
Document Prepared by: Pat Roberts CDBG Disaster Recovery Property Acquisition Contract Format
Approved November 2009
IOWA CDBG DISASTER RECOVERY FUND PROGRAM DESCRIPTION & BUDGET
ATTACHMENT A
Name of Recipient: Waterloo
Contract Number: 08-DRHB-222
Date: November 4, 2009
TIVITYDESCRIPTI . •
44604. Oli:440:0040.44
---------ii
O * • ::• ft •
UDGET
Activity 1: 1 Acquisition.
4 properties
$43,962 project delivery costs
Urgent Need
191,442.00
Activity 2: 75 Clearance / Demolition
2
$8,346 project delivery costs
Urgent Need
36,346.00
Activity3: 81 Relocation
2
$6,468 project delivery costs
Urgent Need
28,168.00
GENERAL ADMINISTRATION 181
5,224.00
TOTAL BUDGET:
261,180.00
a \BCFARecipients\Disaster\08DRHB\Waterloo - 222\2008 DRHB Attach A - Waterloo 222
CDBG Acquisition / Demolition Application
rt-fek to -Or
Iowa Department of Economic Development
200 East Grand Avenue
Des Moines, IA 50309-1819
CDBG Property Acquisition / Demolition Application and Instructions
Project Applications must be completed in this MS Excel format and emailed to: patrick.roberts@iowalifechanging.com Save as
"Applicant Name, CDBG Prop Acq Appl." IDED will work with you to ensure your application is correct and complete, which may
require multiple revisions. When we have deemed the application to be correct and complete, mail 2 paper copies of the final
application packet, including the property survey sheet and all required attachments and supporting documentation, to:
Iowa Department of Economic Development
Attn: Patrick Roberts
200 East Grand Avenue
Des Moines, IA 50309
Property Acquisition Project Application Version - June 2009
Tab A
Page 1
CDBG Acquisition / Demolition Application
I. Applicant Information
A. Applicant/Community Name
B. Address
City, State, Zip Code
City of Waterloo
715 Mulberry Street
Waterloo IA, 50703
C. Point of Contact (POC) Name
for Project
POC Title
POC Agency
POC Email
Aric Schroeder
City Planner
City of Waterloo
aric.schroede r@waterloo-ia.o rq
POC PO Box and Zip Code
POC Street Address
POC City, State and ZIP
POC Phone
n/a
715 Mulberry Street
Waterloo IA, 50703
(319) 291-4366
Alternate Point of Contact Name
(or Authorized Rep)
Alt POC Title
Alt POC Agency
Alt POC Email
Adam Poll
, Associate Planner
City of Waterloo
adam.pollAwaterloo-ia.orj
Alt POC PO Box and Zip Code
Alt POC Street Address
Alt POC City, State and ZIP
Alt POC Phone
n/a
715 Mulberry Street
Waterloo IA, 50703
(319) 291-4366
D. Federal Tax ID#/ FEIN
E. DUNS Number
F. FIPS Code
42-6005327
07-584-1684
013-82425-00
G. County Name
H. US Congressional District(s)
H. State Legislative Districts
Senate
House
Black Hawk
1
11
22
I. Descriptive Project Title
2008 City of Waterloo CDBG Property Acquisition Project
J. Description of Project Location (i.e., Neighborhood, Subdivision, Geographic Boundaries, Directions, etc.)
The project consists of multiple commercial and residential properties in the City of Waterloo, with commercial properties primarily
located in the downtown area and residential properties primarily located along Hogle Street with other residential properties scattered
throughout the City.
IL Project Description
A. Describe the project to be undertaken:
This project will mitigate future flood losses in several areas of the City of Waterloo, which are low-lying flood -prone areas. The
properties sustained significant damages during the floods of 2008 and would be susceptible to similar future floods.
B. Scope of Work Summary only
Provide a brief description of the proposed project and work to be accomplished.
The City will acquire 23 properties, with 8 commercial properties, 14 homes and 2 vacant lots (one property has both a commercial
business and a home). Of the 14 homes, 7 are owner -occupied. Of the 23 properties, 4 of the properties are in the Zone A 100 -year
floodplain, 18 are in the Zone B 500 -year floodplain, and one is not in the floodplain. This project will alleviate the continued repair
costs to the City and residents to these flood prone areas. Properties within the 100 -year floodplain will be used as open space, while
other structures will be demolished and have to potential to be rebuilt in a manner designed to be flood proofed.
Property Acquisition Project Application Version - June 2009
Tab A
Page 2
CDBG Acquisition / Demolition Application
C. Property / Neighborhood Redevelopment plan
For those properties that will involve rehabilitation, briefly describe the plan. (list proposed rehab properties on tab C1)
n/a
D. Applicant will contract for administration (name entity) or Applicant will administer grant (describe Administrative capacity)
Applicant will administer grant. The applicant has adequate staffing levels and resources to properly administer the grant.
E. Summary of number of properties (by property type) , including values
# of SFR Owner Occupied 8 Value of SFR owner Occupied $463,140.00
# of SFR Rental 6 Value of SFR Rental $277,452.00
# of Commercial Properties 7 Value of Commercial Properties $3,274,524.00
# of vacant lots 2 Value of Vacant lots $11,160.00
Total # of Properties 23
TOTAL $4,026,276.00
III. Project Location
A. Use Tab C to list Individual Property Details for Properties to be acquired and demolished
Use Tab C1 to list Individual Property Details for Properties that will involve acquisition and rehabilitation.
B. National Flood Insurance Program (NFIP)
1. Is the City/County participating in the NFIP?
If "Yes", provide the following:
NFIP Community ID # 190025
2. Is the project located in a Special Flood Hazard Area?
C. Attach the required Maps and Photographs
Yes
Yes
Yes
Yes
Yes
Yes
Yes
FIRM with project sites clearly indicated
City or county map with project sites clearly indicated
Parcel map with project sites clearly indicated (include HMGP buyouts)
Tax Assessor's card for each property
Labeled photographs showing all four (4) sides of each structure... in monitoring file.
IV. Discussion of Project Alternatives - Proposed Project & 2 Alternatives:
A. Project descriptions and impacts (both beneficial and detrimental):
Do Nothing Alternative:
If nothing is done to alleviate the flooding problem, the area will continue to sustain flood damages, resulting in further damage to the
structures, low property values, increased costs to the City, and continued loss of services.
Proposed Project:
This project provides for the City to acquire 23 properties with 14 homes, 8 commercial properties and 2 vacant lots (one property has
both a commercial business and a home), allowing the flood prone structures to be removed. The properties in the 100 -year floodplain
will be converted in perpetuity to green space, restoring the floodplain to its natural function. The City will be saved repair costs
resulting from clean-up and eliminated services to the area. The loss of property taxes on these structures are less than the
anticipated expenses for flood damages. The remaining flood prone properties will be demolished and if any structures are built in
their place, they will be elevated or flood proofed. Many of the residents of these properties plan to relocate within the area.
Other Feasible Altemative (include estimated cost):
Elevation of the residential structures is an altemative to acquisition, but does not completely solve the problem. While the structures
and contents may be better protected from floodwaters, access issues and risk of personal injury and death remain. Also, the elevation
may not protect the structures and occupants from severe flood events. The estimated cost for elevating the residential structures is
around $30,000 per home, or $420,000. The commercial structures cannot be elevated. Flood proofing would be another option, but in
most cases, it would be cost prohibitive to do so.
Property Acquisition Project Application Version - June 2009
Tab A
Page 3
B.
CDBG Acquisition / Demolition Application
Justification for choosing the proposed project - discuss how the proposed project is the most practical, effective, and
environmentally sound alternative of the alternatives.
Elevating or flood proofing the existing structures does not address the flooding problem as well as acquisition does. The structures
and their inhabitants remain at risk. The City would be required to maintain infrastructure and services to the area and possibly provide
rescue in the event of a severe flood event, which the City has experienced in the past. Acquisition allows for the flood prone structures
to be removed, and any new structures built in these areas to be built in a manner to be elevated or flood proofed thereby preventing
future City expenditures at these properties. Furthermore, it relieves a strain on the City budget following each event and allows the
City to discontinue services to areas in the 100 -year floodplain. Homeowners and other affected individuals will not face regular
disruptions in their lives. Lost property tax revenues are minimal when compared to continued expenses.
c, Describe how the proposed project best fits within the overall development plan for the community.
The acquisition project fits with the community's goal of improving the quality of living for the residents by safe redevelopment of
currently underutilized properties. In addition areas in the 100 -year flood plain will create more green space and recreational areas for
residents and visitors. Acquisition does not conflict with any other section of the Comprehensive Land Use Plan and is consistent with
the Downtown Redevelopment Master Plan and Hazard Mitigation Plan.
D. Describe how the proposed project compliments the HMGP buyouts.
The proposed project creates an avenue for the City to resolve many of the flooding issues for the residential properties that were not
covered under the HGMP buyouts. In addition, this program would allow the City to address flooding issues with several of the flood
prone commercial properties, as they also were not covered under the HMGP buyout. Many of these property owners have not been
eligible for other assistance programs so this program is their best option for recovery from the flooding.
V. Project Compliance Assurances
A. Code Compliance:
Will the project meet all applicable written codes and standards for the local jurisdiction?
(Attach a copy of the local codes and standards)
El
13
Building
Public Notification
Yes
Yes
Zoning
Other Types
Identify necessary permits or variances/exemptions:
Building: Demolition Permit
Construction: n/a
Public Notifications: n/a
Yes
National Objective to be Met (check one):
Primarily Benefits Persons of Low and Moderate Income
To address this objective, 51% or more of the persons benefiting from a proposed activity must have incomes at or below 80% of the
area median income.
Urgent Need
To address this objective, the applicant must certify that the proposed activity is designed to alleviate existing conditions that pose a
serious and immediate threat to the health and welfare of the community and that are recent in origin or that recently became urgent.
Elimination of Slum or Blight
To address this objective, the application must document the extent or seriousness of deterioration in the area to be assisted showing a
clear adverse effect on the well-being of the area or community and illustrating that the proposed activity will alleviate or eliminate the
conditions causing the deterioration.
Property Acquisition Project Application Version - June 2009
Tab A
Page 4
CDBG Acquisition / Demolition Application
VI. Project Cost Information
A. Budget Line Items
Complete Tab D, Property Acquisition Budget
B. Estimated Project Cost Share
Include any budget source documents such as bid quotes/sheets, contractors estimates, etc., with the paper application.
Funding Sources
Funding Amount
% of Total Cost
Federal — CDBG
$5,670,076
100.00%
State
$0
0.00%
Local
$0
0.00%
Total Proposed Project Cost
$5,670,076
100.00%
Basis for Fair Market Valuation of Properties (should match that of HMGP program)
Pre -disaster Fair Market Value was established as 120% of the Tax Assessed value for each property, which was determined to be an
estimated appropriate amount after a comparison review of several appraisals. However, the methodology for determining the final
FMV will be an appraisal for each property in the application, which will be completed for each property as part of the closing sequence.
Plan for offering Replacement housing benefit (available for homeowners in the 100 year flood plain only)
n/a
To offer the Replacement Housing Benefit
1) The property must be located in a FEMA -identified regulatory floodplain or floodway, and
2) The property must be declared substantially damaged by the local authority having such jurisdiction, in accordance with criteria
promulgated by the NFIP.
Plan for offering moving assistance
n/a
Property Acquisition Project Application Version - June 2009
Tab A
Page 5
CDBG Acquisition / Demolition Application
VII. Work Schedule
A. List the major milestones for this project:
Task
Months from Award
Responsible Party
Start
Complete
Receive grant agreement
0
2
Project Manager
Confirm intent to participate with homeowners
1
3
Project manager, property owners
Section 106 process - historic review
2
31
Project Manager
Perform title searched, draft closing documents,
duplication of benefits review
2
27
Project Manager, City Attorney, IDED
Acquire property from home owners, legal and
closing activities
4
29
City Attorney, Project manager, authorized
representative, property owner
Record deed restrictions
6
33
Project manager, authorized representative, city staff
Bid contracts for demolition and debris removal
5
28
Authorized representative, city staff
Award contract demolition and asbestos
6
28
Authorized representative, city staff
Asbestos abatement
6
33
Asbestos Contractor
Demolish acquired structure, remove debris, cap
utilities, stabilize site
7
33
Demolition/debris contractor
Project close out
33
36
Project manager, IDED
Total Duration
36 Months
B. For property located in the 100 year flood plain, provide maintenance schedule for the useful life of the project and estimated
annual maintenance costs:
Once acquired, these properties will be maintained in perpetuity as green space in accordance with 44 CFR. Routine maintenance will
include grass cutting, trash removal, and maintaining the general appearance and use of the space. Average annual maintenance
costs are projected to be $500. The City of Waterloo assumes all responsibility and costs associated with the described maintenance.
VIII. List of Tabs: Following is a list of the corresponding tabs in this workbook.
Property Owner signature required
Property Owner signature required
Tab B Scope of Work
Tab C Property Data Sheet
Tab D Budget
Tab E Federal Assurances
Tab F Assurances for Property acquisition projects
Tab G Statement of Voluntary Transaction for Property Acquisition Projects
Tab H Ownership Affidavit
Tab I State of Iowa minority Impact Statement
Tab J Applicant / Recipient Disclosure (double click on form to fill in blanks)
Tab K Iowa W-9
Tab L Model Deed Restriction
Tab M Listing of attachments
Property Acquisition Project Application Version - June 2009
Tab A
Page 6
CDBG Acquisition / Demolition Application
IX. Certifications
To the best of my knowledge and belief, I certify that all data in this application packet is complete, true, and correct. The governing
body of the applicant has duly authorized this document and hereby applies for assistance as documented in this application. The
applicant understands that the project shall not proceed until FEMA approval is granted.
Signature of Chief Executive Officer Signature of Authorized Representative
Tim Hurley Aric Schroeder
Name of Chief Executive Officer Name of Authorized Representative
Mayor City Planner
Title Title
City of Waterloo City of Waterloo
Organization Organization
7/27/2009 7/29/2009
Date Date
(319) 291-4301 715 Mulberry Street
Phone Number PO Box #/Street Address
Waterloo IA, 50701
City, State and Zip
(319) 291-4366
Phone Number
aric.schroeder(cwaterloo-ia.orq
Email Address
Property Acquisition Project Application Version - June 2009
Tab A
Page 7
Contract Number: 08-DRHB-222
Page 12 of 15
ATTACHMENT C
GENERAL PROVISIONS
COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM
November 20, 2009
1.0 AMENDMENT.
(a) WRITING REQUIRED. The Contract may only be amended through written prior approval of IDED. Examples of
situations where amendments are required include extensions for completion of Project activities, changes to the Project including,
but not limited to, alteration of existing approved activities or inclusion of new activities.
(b) UNILATERAL MODIFICATION. Notwithstanding paragraph "a" above, IDED may unilaterally modify the Contract
at will in order to accommodate any change in the Act or the Program Rules or any change in the interpretation of the Act or the
Program Rules or any other applicable Federal, State or local laws, regulations, rules or policies. A copy of such unilateral
modification will be given to the Recipient as an amendment to this Contract.
(c) IDED REVIEW. IDED will consider whether an amendment request is so substantial as to necessitate reevaluating
IDED's original funding decision on the Project. An amendment will be denied if it substantially alters the circumstances under
which the Project funding was originally approved or if it does not meet requirements set forth in 261 Iowa Administrative Code,
Chapter 23, to the extent applicable to the Program and not in conflict with the Program Rules.
2.0 AUDIT REQUIREMENTS.
(a) SINGLE AUDIT. The Recipient shall ensure that an audit is performed in accordance with the Single Audit Act
Amendment of 1996 and OMB Circular A-133, as applicable, IDED's administrative rules for the CDBG program (261 Iowa
Administrative Code Chapter 23), and the Iowa CDBG Management Guide to the extent applicable to the Program and not in
conflict with the Program Rules.
(b) ADDITIONAL AUDIT. As a condition of the grant to the Recipient, IDED reserves the right to require the Recipient to
submit to a post Project completion audit and review in addition to the audit required above.
3.0 COMPLIANCE WITH LAWS AND REGULATIONS. The Recipient shall comply with all applicable State and Federal laws,
rules, ordinances, regulations and orders.
4.0 UNALLOWABLE COSTS. If IDED determines at any time, whether through monitoring, audit, closeout procedures or by other
means or process that the Recipient has expended funds which are unallowable, the Recipient will be notified of the questioned costs and
given an opportunity to justify questioned costs prior to IDED's final determination of the disallowance of costs. Appeals of any
determinations will be handled in accordance with the provisions of Chapter 17A, Iowa Code. If it is IDED's final determination that costs
previously paid by the IDED are unallowable under the terms of the Contract, the expenditures will be disallowed and the Recipient shall
repay to IDED any and all disallowed costs.
5.0 INTEREST EARNED. To the extent that interest is earned on advances of CDBG funds, this interest shall be retumed to IDED,
except that the Recipient may keep interest amounts of up to $100 per year for administrative expenses.
6.0 SUSPENSION. When the Recipient has failed to comply with the Contract, award conditions or standards, IDED may, on
reasonable notice to the Recipient, suspend the Contract and withhold future payments, or prohibit the Recipient from incurring additional
obligations of CDBG funds. Suspension may continue until the Recipient completes the corrective action as required by IDED. IDED may
allow such necessary and proper costs which the Recipient could not reasonably avoid during the period of suspension provided IDED
concludes that such costs meet the provisions of HUD regulations issued pursuant to OMB Circular A-87.
7.0 TERMINATION.
(a) FOR CAUSE. IDED may terminate the Contract in whole, or in part, whenever IDED determines that the Recipient has
failed to comply with the terms and conditions of the Contract.
(b) FOR CONVENIENCE. IDED, the Recipient may terminate the Contract in whole, or in part, when all parties agree
that the continuation of the Project would not produce beneficial results commensurate with the future disbursement of funds.
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(c) DUE TO REDUCTION OR TERMINATION OF CDBG FUNDING. At the discretion of IDED, the Contract may
be terminated in whole, or in part, if there is a reduction or termination of CDBG Federal block grant funds to the State.
8.0 PROCEDURES UPON TERMINATION.
(a) NOTICE. IDED shall provide written notice to the Recipient of the decision to terminate, the reason(s) for the
termination, and the effective date of the termination. If there is a partial termination due to a reduction in funding, the notice will
set forth the change in funding and the changes in the approved budget. The Recipient shall not incur new obligations beyond the
effective date and shall cancel as many outstanding obligations as possible. 1DED's share of noncancellable obligations which
IDED determines were properly incurred prior to notice of cancellation will be allowable costs.
(b) RIGHTS IN PRODUCTS. All finished and unfinished documents, data, reports or other material prepared by the
Recipient under the Contract shall, at IDED option, become the property of IDED.
(c) RETURN OF FUNDS. The Recipient shall return to IDED all unencumbered funds within one week of receipt of the
notice of termination. Any costs previously paid by IDED which are subsequently determined to be unallowable through audit,
monitoring, or closeout procedures shall be returned to IDED within thirty (30) days of the disallowance.
9.0 ENFORCEMENT EXPENSES. The Recipient shall pay upon demand any and all reasonable fees and expenses of the
Department, including the fees and expenses of their attorneys, experts and agents, in connection with the exercise or enforcement of any of
the rights of the Department under this Contract.
10.0 CONFLICT OF INTEREST.
(a) GENERAL. Except for the use of CDBG funds to pay salaries and other related administrative or personnel costs, no
persons identified in paragraph (b) below who exercise or have exercised any functions or responsibilities with respect to CDBG
assisted activities or who are in a position to participate in a decision making process or gain inside information with regard to such
activities, may obtain a personal or financial interest or benefit from a CDBG assisted activity, or have an interest in any contract,
subcontract or agreement with respect thereto, or the proceeds thereunder, either for themselves or those with whom they have
family or business ties, during their tenure or for one year thereafter.
(b) PERSONS COVERED. The conflict of interest provisions described above apply to any person who is an employee,
agent, consultant, officer, or elected or appointed official of the Recipient, or of any designated public agencies, or subrecipients
which are receiving CDBG funds.
(c) CONFLICTS OF INTEREST. Chapter 68B, Code of Iowa, the "Iowa Public Officials Act", shall be adhered to by the
Recipient, its officials and employees.
11.0 USE OF DEBARRED, SUSPENDED, OR INELIGIBLE CONTRACTORS OR SUBRECIPIENTS. CDBG funds shall not
be used directly or indirectly to employ, award contracts to, or otherwise engage the service of, or fund any contractor or subrecipient during
any period of debarment, suspension, or placement in ineligible status under the provisions of 24 CFR Part 24 or any applicable law or
regulation of the Department of Labor.
12.0 CIVIL RIGHTS.
(a) DISCRIMINATION IN EMPLOYMENT. The Recipient shall not discriminate against any qualified employee or
applicant for employment because of race, color, religion, sex, national origin, age, or physical or mental disability. The Recipient
may take affirmative action to ensure that applicants are employed and that employees are treated without regard to their race,
color, religion, sex, national origin, age, or disability. Such action shall include but may not be limited to the following:
employment, upgrading, demotion or transfers; recruitment or recruitment advertising; lay-off or termination; rates of pay or other
forms of compensation; and selection for training, including an apprenticeship. The Recipient agrees to post notices setting forth
the provisions of the nondiscrimination clause in conspicuous places so as to be available to employees.
(b) CONSIDERATION FOR EMPLOYMENT. The Recipient shall, in all solicitations or advertisements for employees
placed by or on behalf of the Recipient, state that all qualified applicants will receive consideration for employment without regard
to race, color, religion, sex, national origin, age, disability, or familial status. Solicitation and Advertisement - The Recipient shall
list all suitable employment openings in the State Employment Service local offices.
c) CIVIL RIGHTS COMPLIANCE IN EMPLOYMENT. The Recipient shall comply with all relevant provisions of the
Iowa Civil Rights Act of 1965 as amended, Chapter 19B.7, 2003 Code of Iowa, Federal Executive Order 11246, as amended;
Title VI of the U.S. Civil Rights Act of 1964 as amended (42 U.S.C. Section 2000d et seq.), the Fair Labor Standards Act
(29 U.S.C. Section 201 et seq.), The Americans with Disabilities Act, as applicable, (P.L. 101-336, 42 U.S.C. 12101-12213),
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Section 504 of the Rehabilitation Act of 1973 as amended (29 U.S.C. Section 794), and the Age Discrimination Act of 1975 as
amended (42 U.S.C. Section 6101 et seq.). The Recipient will furnish all information and reports requested by the State of Iowa or
required by or pursuant to the rules and regulations thereof and will permit access to payroll and employment records by the State
of Iowa to investigate compliance with these rules and regulations.
(d) CERTIFICATION REGARDING GOVERNMENT -WIDE RESTRICTION ON LOBBYING. The Recipient
certifies, to the best of his or her knowledge and belief, that:
i) No Federal appropriated funds have been paid or will be paid, by or on behalf of the Recipient, to any person for
influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or
employee of Congress, or an employee of a Member of Congress in connection with the awarding of any Federal
contract, the making of any Federal grant, the making of any Federal loan, the entering into of any cooperative
agreement, and the extension, continuation, renewal, amendment, or modification of any Federal contract, grant, loan, or
cooperative agreement.
ii) If any funds other than Federal appropriated funds have been paid or will be paid to any person for influencing or
attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee, or an
employee of a Member of congress in connection with this Federal contract, grant, loan, or cooperative agreement, the
Recipient shall complete and submit Standard Form -LLL, "Disclosure Form to Report Federal Lobbying" in accordance
with its instruction.
iii) The Recipient shall require that the language of this certification be included in the award documents for all
subawards at all tiers (including subcontracts, subgrants, and contracts under grants, loans, and cooperative agreements)
and that all subrecipients shall certify and disclose accordingly.
This certification is a material representation of fact upon which reliance was placed when this transaction was made or
entered into. Submission of this certification is a prerequisite for making or entering into this transaction imposed by
section 1352, title 31, U.S. Code. Any person who fails to file the required certification shall be subject to a civil penalty
of not less than $10,000 and not more than $100,000 for each such failure.
(e) PROGRAM NONDISCRIMINATION. The Recipient shall conform with requirements of Title VI of the Civil Rights
Act of 1964 (42 U.S.C. 2000d et seq.) and HUD regulations issued pursuant thereto contained in 24 CFR Part 1. No person in the
United States shall on the basis of race, color, national origin, sex or religion or religious affiliation be excluded from participation
in, be denied the benefits of, or be subjected to discrimination under any program or activity funded in whole or in part with funds
made available through this Contract. Any prohibition against discrimination on the basis of age under the Age Discrimination Act
of 1975 (42 U.S.C. 6101 et. seq.) or with respect to an otherwise qualified individual with a disability as provided in the Americans
with Disabilities Act, as applicable, (P.L. 101-336, 42 U.S.C. 12101-12213) or Section 504 of the Rehabilitation Act of 1973
(29 U.S.C. Section 794) shall also apply to any such program or activity.
(0 FAIR HOUSING. The Recipient shall comply with Title VIII of the Civil Rights Act of 1968 (42 U.S.C. 3601 et seq.),
generally known as the Fair Housing Act, and with HUD regulations found at 24 CFR Part 107, issued in compliance with Federal
Executive Order 11063, as amended by Federal Executive Order 12259. The recipient shall also comply with Section 109, Title I
of the Housing and Community Development Act of 1974, as amended.
(g) SECTION 3 COMPLIANCE. The Recipient shall comply with provisions for training, employment, and contracting in
accordance with Section 3 of the Housing and Urban Development Act of 1968 (12 U.S.C. 1701u).
(h) NONCOMPLIANCE WITH 1'Hr, CIVIL RIGHTS LAWS. In the event of the Recipient's noncompliance with the
nondiscrimination clauses of this Contract or with any of the aforesaid rules, regulations, or requests, this Contract may be
canceled, terminated, or suspended either wholly or in part. In addition, the State of Iowa may take further action, imposing other
sanctions and invoking additional remedies as provided by the Iowa Civil Rights Act of 1965 (Chapter 216, Code of Iowa 1997) or
as otherwise provided by law.
(i) INCLUSION IN SUBCONTRACTS. The Recipient will include the provisions of the preceding paragraphs of Section
14 in every subcontract unless exempt by the State of Iowa, and said provisions will be binding on each subcontractor. The
Recipient will take such action with respect to any subcontract as the State of Iowa may direct as a means of enforcing such
provisions including sanctions for noncompliance. In the event the Recipient becomes involved in or is threatened by litigation
with a subcontractor or vendor as a result of such direction by the State of Iowa, the Recipient may request the State of Iowa to
enter into such litigation to protect the interests of the State of Iowa.
13.0 POLITICAL ACTIVITY. No portion of program funds shall be used for any partisan political activity or to further the election
or defeat of any candidate for public office. Neither the program nor the funds provided therefore, nor the personnel employed in the
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administration of this Contract, shall be in any way or to any extent, engaged in the conduct of political activities in contravention of The
Hatch Act (5 U.S.C. 15).
14.0 LIMIT ON RECOVERY OF CAPITAL COSTS. The Recipient will not attempt to recover any capital costs of public
improvements assisted in whole or part under this Contract by assessing any amount against properties owned and occupied by persons of
low and moderate income, including any fee charged or assessment made as a condition of obtaining access to such public improvements,
unless (i) funds received under this Contract are used to pay the proportion of such fee or assessment that relates to the capital costs of such
public improvements that are financed from revenue sources other than under Title I of the Housing and Community Development Act of
1974, as amended, or (ii) for purposes of assessing any amount against properties owned and occupied by persons of low and moderate
income who are not persons of very low income, the Recipient has certified to the Department that it lacks sufficient funds received under
Title I of the Housing and Community Development Act of 1974, as amended, to comply with the requirements of clause (i) above.
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6.0