HomeMy WebLinkAboutCity of Cedar Falls - Home Investment Prtnership Program Consortium Cooperation AgreementHOME INVESTMENT PARTNERSHIP PROGRAM
CONSORTIUM COOPERATION AGREEMENT
FEDERAL FISCAL YEARS 2022, 2023 AND 2024
(October 1, 2022 to September 30, 2025)
City Program Years
(July 1, 2022 to June 30, 2025)
THIS CONSORTIUM COOPERATION AGREEMENT is entered into by and between
the City of Cedar Falls, a Municipal Corporation in Black Hawk County, Iowa (sometimes
hereinafter referred to as the "City") and the City of Waterloo, a Municipal Corporation in Black
Hawk County, Iowa (hereinafter referred to as the "Lead Entity") for the purpose of continuing a
HOME Consortium pursuant to the HOME Investment Partnerships Act (hereinafter referred to
as the "HOME Program"); Title II of the Cranston -Gonzales National Affordable Housing Act,
as amended (42 U.S.C. 12701 et seq.) (hereinafter referred to as the "Act").
WHEREAS, Section 216(2) of the Act provides that a consortium of geographically
contiguous units of general local government is considered a unit of general local government for
purposes of the Home Investment Partnerships Program if the Secretary of the U.S. Department
of Housing and Urban Development (hereinafter referred to as "HUD") determines that the
consortium has sufficient authority and administrative capability to carry out the purposes of the
Act on behalf of its member jurisdictions and will direct its activities to the alleviation of housing
problems within States; and,
WHEREAS, in accordance with Section 217(b)(3) of the Act, HUD will include, as
jurisdictions eligible to receive allocations of HOME funds by formula, approved consortia of
units of general local government; and,
WHEREAS, the City of Cedar Falls, Iowa, and the City of Waterloo, Iowa, desire to
enter into a HOME Program Consortium Agreement for the purpose of expanding the supply of
decent, safe, sanitary and affordable housing for low and moderate -income residents.
NOW, THEREFORE, in consideration of these mutual covenants, the City of Cedar
Falls, Iowa, and the City of Waterloo, Iowa do hereby agree as follows:
SECTION 1. DEFINITIONS -ABBREVIATIONS
1.1 "City" shall mean - the City of Cedar Falls, an Iowa Municipal Corporation.
1.2 "Lead Entity" shall mean - the City of Waterloo, an Iowa Municipal Corporation.
1.3 "HUD" shall mean - the U.S. Department of Housing and Urban Development.
1.4 "Act" shall mean - the Cranston -Gonzales National Affordable Housing Act, as amended
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(42 U.S.C. 12701 et seq.).
1.5 "HOME Program" shall mean - the program conducted under the provision of the
Cranston -Gonzales National Affordable Housing Act, Title II, Subtitle A - HOME
Investment Partnerships Program (P.L. 101-625) and the Code of Federal Regulations
(24 CFR Part 92).
1.6 "HOME Funds" shall mean - HOME Program Entitlement Grant Funds awarded by the
Secretary of HUD to the Consortium in accordance with the allocation formula prescribed by
HUD.
1.7 "Consortium" or "HOME Consortium" shall mean - a consortium of geographically
contiguous units of general local government, which HUD treats as a single unit of local
government under the HOME Program, formed for the purpose of furthering the objectives of
the HOME Program. Under this Agreement, the cities of Cedar Falls and Waterloo comprise
the HOME Consortium.
1.8 "Housing Unit or Units" shall mean - decent, safe, sanitary and affordable housing developed
or assisted with HOME Funds pursuant to this Agreement.
1.9 "Qualification Period" shall mean - the Federal Fiscal Years for which the HOME
Consortium is to qualify to receive allocations as a participating jurisdiction in the HOME
Program.
SECTION 2. RESPONSIBILITIES OF THE PARTIES
2.1 Pursuant to this Agreement, the City and the Lead Entity agree to cooperate to undertake
or to assist in undertaking housing assistance activities for the HOME Program.
2.2 The Lead Entity shall act in a representative capacity for all member units of general
local government, or the Consortium members, for the purposes of the HOME Program.
2.3 The Lead Entity shall assume overall responsibility for ensuring that the Consortium's
HOME Program is carried out in compliance with the requirements of the HOME
Program, including requirements concerning a Consolidated Submission of Community
Planning and Development Programs ("Consolidated Plan") in accordance with HUD
regulation in 24 CFR Parts 91 and 92.
2.3.1 This Agreement does not contain a provision for veto or other restriction that
would allow any member unit of local government to obstruct the implementation of the
Consortium's approved Consolidated Plan.
2.3.2 The 5- Year Consolidated Plan document shall be prepared by Lead Entity in
collaboration with staff from City. If a consulting firm is hired to prepare said document,
Lead Entity and City will come to a mutually acceptable agreement to split the cost of the
consulting firm.
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2.3.3 Lead Entity and City agree that necessary adjustments to the Consolidated Plan
development process will be made when necessary as required by the United States
Department of Housing and Urban Development, including, but not limited to, any
Consolidated Plan process.
2.3.4 The Lead Entity shall initiate the 5-Year Consolidated Plan and Annual Action
Plans in IDIS for Lead Entity and City, and submit to HUD on IDIS. Annual reporting
(CAPER) will be completed by each entity separately in IDIS.
2.4 The Lead Entity and/or City if necessary, shall secure from the State of Iowa a written
certification that the Consortium will direct its activities to the alleviation of housing
problems within the State of Iowa.
2.5 The Lead Entity shall submit to HUD the required HOME Consortia qualification
documents including required certifications and a fully executed Consortium Cooperation
Agreement.
2.6 The Lead Entity and the City shall act affirmatively to further fair housing by:
2.6.1 Employing affirmative marketing procedures in the advertising and marketing
of Housing Units, and
2.6.2 Conforming to the non-discrimination provisions hereinafter set forth.
2.7 Lead Entity, after approval by City, is hereby authorized to amend this Consortium
Agreement, on behalf of the Consortium, for the purpose of adding new members to the
Consortium.
2.7.1 Should it become necessary to change the language of this Agreement to meet
HUD approval, without making major changes and without altering the intent of the
Agreement, such changes may be made administratively with written consent of the
Consortium staff.
2.7.2 This Agreement may be amended for purposes other than those described in 2.7
and 2.7.1 above by written Agreement of the Lead Entity and City.
2.8 Lead Entity and City each shall be solely responsible for such individual financial and/or
legal responsibilities which may arise from participation as a member of this Consortium.
2.9 Lead Entity and City each shall be solely responsible for the administration of their
respective HOME Programs including:
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2.9.1 The development of Housing Units within their respective jurisdictions, and the
use of any public or private funds or loans, or other means of financial
assistance.
2.9.2 Additionally, any real or personal property acquired pursuant to this Agreement
shall be acquired and maintained in the name of the individual Consortium
member performing the acquisition.
2.9.3 Members will abide by their own local codes and standards but acknowledge
that in federally funded projects, they are subject to the regulations for
addressing lead -paint hazards.
2.10 Match obligations will be met for City by using carryover match funds reported by Lead
Entity and reported at the end of the fiscal year. If City completes a project with contributing
match it may be reported to the Lead Entity during the request for reimbursement.
2.11 Program Income generated by Lead Entity or City with HOME funds will be accounted
for in IDIS reporting and used for eligible activities by each agency separately.
2.12 It is the City's responsibility to assure compliance with all HOME requirements during
project implementation and the affordability period. The Lead Entity has the right to monitor
projects compliance. City will submit to Lead Entity the Environmental Review (ER) for each
HOME project, and Lead Entity will approve the ER, before said project begins by City.
2.13 City and Lead Entity will follow the regulations of the HOME Final Rule of 2013.
SECTION 3. PROVISIONS OF THE AGREEMENT
3.1 Lead Entity and City agree that the Consortium start date shall be July 1, 2022, and that
they, and any new members added to this Consortium, pursuant to Section 2.7 above,
shall establish July 1 through June 30 as their respective fiscal year for the following
Federal programs: 1) the Community Development Block Grant under Title I of the
Housing and Community Development Act of 1974, as amended (PL 93-383), 2) the
Home Investment Partnership Program under Title II of the Cranston -Gonzalez National
Affordable Housing Act, as amended, (PL 101-625), 3) the Emergency Shelter Grant
Program under Subtitle B of Title IV of the Stewart B. McKinney Homeless Assistance
Act of 1988, as amended (PL 100-628), and 4) the Housing Opportunities for Persons
With Aids Program under Title II of the Cranston -Gonzalez National Affordable Housing
Act, as Amended, (PL 101-625), as applicable.
3.2 Though this Agreement may be amended, no Consortium member, including any new
member added pursuant to Section 2.7 above, may withdraw from this Agreement while
it remains in effect. A member desiring to terminate the Agreement and its participation
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in the Waterloo HOME Consortium may do so by giving no less than 6 months prior
written notice. The notice must be sent to the Lead Entity at the addresses appearing on
the signature page and the notice must specify the effective date of the termination. The
Agreement will terminate on the effective date specified in the notice.
3.3 For the Lead Entity and City, this Agreement is made and entered into pursuant to:
3.3.1 Iowa Code, Chapter 364 (2015), entitled "Powers and Duties of Cities".
3.4 The parties to this Agreement shall not, in the performance of this Agreement,
discriminate or permit discrimination in violation of Federal or other laws or local
ordinances because of race, color, handicap, familial status, sex, age, political or religious
opinions, affiliations or national origin.
SECTION 4. DISTRIBUTION OF HOME FUNDS
4.1 Lead Entity shall be the recipient of each annual allocation of HOME Funds awarded to
the Consortium by HUD and shall secure such funds in a manner prescribed by HUD.
4.2 For each annual allocation of HOME Funds, funds will be disbursed as follows:
4.2.1 10% of the entire annual HOME allocation will go to Lead Entity for allowable
administration/planning costs of the HOME Program.
4.2.2 The annual HOME allocation will be allocated 72% to Lead Entity and 28% to
City unless an alternate mutually agreeable allocation formula is approved by
Lead Entity and City. Formula breakdown is based on HUD FY18 HOME
Consortium Share Report.
4.2.3 15% of each annual HOME allocation after 72/28 split goes to local Community
Housing Development Organization(s) (CHDO). The CHDO may use each
allocation in the corresponding jurisdiction. If the CHDO is unable to use the
City's allocation in City's jurisdiction it may be used in the Lead Entity's
jurisdiction. The Lead Entity will oversee the CHDO requirements. Please see
Appendix A for a sample breakdown of funding.
4.2.4 The allocation formula listed in 4.2.2 will be revised should additional members
be added to the HOME Consortium. The revised allocation formula must be
approved by Lead Entity and City before any additional members may be
added.
4.2.5 City may not expend HOME Funds for any administrative or planning
expenses.
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4.2.6 HOME Funds shall be allocated to City through correspondence when Lead
Entity receives Authority to Use Grant Funds from HUD.
4.3 Some members existing programs may need to be modified if carried out with HOME
funds, but the Consortium Activities do not impact CDBG-funded programs.
SECTION 5. TERM OF THE AGREEMENT/QUALIFICATION PERIOD
5.1 This Agreement shall be in full force and effect for a period of three years beginning on
October 1, 2022, and ending September 30, 2025, said period comprising the
Qualification Period, or until such time the HOME Funds are closed out as specified in
Section 5.3, below. City program years are July 1, 2022 to June 30, 2025.
By the date specified in HUD's consortia designation notices, the consortium lead entity
will notify each participating unit of general local government in writing of its right not
to participate for the successive three-year qualification periods.
The consortium will adopt any amendment to the agreement incorporating changes
necessary to meet the requirements for cooperation agreements set forth in a Consortia
Qualification Notice applicable for a subsequent three-year consortia qualification period,
and to submit the amendment to HUD as specified in the Consortia Qualification Notice
for that period, and that failure to comply will void the automatic renewal of the consortia
agreement.
5.2 The Federal fiscal years of this Agreement shall include FY 2022, 2023, and 2024.
5.3 Notwithstanding the above, this Agreement shall remain in effect until the HOME Funds
from each of the Federal Fiscal Years of the Qualification Period are closed out pursuant
to 24 CFR 92.507.
SECTION 6. AUTHORIZED REPRESENTATIVES
In further consideration of the mutual covenants herein contained, the parties hereto
expressly agree that for purposes of notice, including legal service of process, during the term of
this Agreement, and for the period of any applicable statute of limitations thereafter, the
following named individuals or their successors shall be authorized representatives of the parties:
(1) Quentin Hart, Mayor
City of Waterloo
715 Mulberry Street
Waterloo, Iowa 50703
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(2) Robert M. Green, Mayor
City of Cedar Falls
220 Clay Street
Cedar Falls, Iowa 50613
With copies to:
(3) Rudy D. Jones
Community Development Director
620 Mulberry Street
Waterloo, Iowa 50703
and
(4) Stephanie Sheetz
Director of Community Development
220 Clay Street
Cedar Falls, Iowa 50613
IN WITNESS WHEREOF, the parties have executed this Agreement as of the date
indicated below.
ATTEST:
City Clerk
City of Waterloo, Iowa
CITY OF WATERLOO:
Quentin Hart, Mayor
City of Waterloo, Iowa
a)- °zoo- ,90 doaa--
Date
ATTEST:
y of • R Falls, Iowa
Da e
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Date
CITY OF CEDAR FALLS
Robert M. Green, Mayor
City of Cedar Falls, Iowa
`*$/024/„
Date
Appendix A
Sample
Annual HOME Allocation $453,196.00
Waterloo Allocation 72%
$453,196.00
X .72
$326,301.00
X .10
$32,630.00
Cedar Falls Allocation 28%
Administration Fee Calculation
Allocation %
minus 10% Admin to Lead Entity
$32,630.00
$12,689.00
Total Admin to Lead Entity = $45,319.00
$453,196.00
X .72
$326,301.00
X .15
$48,945.00
CHDO Allocation Calculation
Allocation %
Min. CHDO Allocation
Total CHDO allocation =
$48,945.00
$19,034.00
$67,979.00
Net Allocations
$326,301.00 72% Allocation
- $32,630.00 Admin
- $48,945.00 CHDO
$244,726.00
Lead Entity
$453,196.00
X .28
$126,895.00
X .10
$12,689.00
$453,196.00
X .28
$126,895.00
X .15
$19,034.00
Allocation %
minus 10% Admin to Lead Entity
Allocation %
Min. CHDO Allocation
- Must be used in Lead Entity's jurisdiction
- May be used in City's jurisdiction. If no project is feasible funds may be
used in Lead Entity's jurisdiction.
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$126,895.00 28% Allocation
- $12,689.00 Admin
- $19,034.00 CHDO
$95,172.00
City