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HomeMy WebLinkAbout2008-08-06 PacketCITY OF UKIAH CITY COUNCIL AGENDA Regular Meeting CIVIC CENTER COUNCIL CHAMBERS 300 Seminary Avenue Ukiah, CA 95482 August 6, 2008 6:00 p.m. ROLL CALL 2. PLEDGE OF ALLEGIANCE 3. PROCLAMATIONS/INTRODUCTIONS/PRESENTATION a. Proclamation Recognizing Cal Fire and Others for Rece Mendocino Lightning Fire Complex b. Proclamation Recognizing Extraordinary Efforts on the Months of June and July Firefighting Efforts in the Part of Police and Fire through the c. Proclamation for the Opening of the Arbor on Main Project d. Airport Manager Introduction to City Council 4. PETITIONS AND COMMUNICATIONS 5. APPROVAL OF MINUTES a. Regular Minutes of July 16, 2008 RIGHT TO APPEAL DECISION Persons who are dissatisfied with a decision of the City Council may have the right to a review of that decision by a court. The City has adopted Section 1094.6 of the California Code of Civil Procedure, which generally limits to ninety days (90) the time within which the decision of the City Boards and Agencies may be judicially challenged. 7. CONSENT CALENDAR The following items listed are considered routine and will be enacted by a single motion and roll call vote by the City Council. Items may be removed from the Consent Calendar upon request of a Councilmember or a citizen in which event the item will be considered at the completion of all other items on the agenda. The motion by the City Council on the Consent Calendar will approve and make findings in accordance with Administrative Staff and/or Planning Commission recommendations. a. Amendment No. One to Agreement between the City of Ukiah and County of Mendocino for Employee Parking within Ukiah Parking District Executed on August 29, 2007. b. Amendment No. One to Agreement between the City of Ukiah and County of Mendocino for Grand Jury and Juror Parking within Ukiah Parking District Executed on August 29, 2007. c. Rejection of Claim for Damages Received from Marilyn Marshall and Referral to Joint Powers Authority, Redwood Empire Municipal Insurance Fund d. Award Purchase of Deep Ripping Scarification of Percolation Ponds at the Wastewater Treatment Plant to Gregg Simpson Trucking at the Unit Price of $3,547.32 Per Pond for a Total Amount of $10,641.96 8. AUDIENCE COMMENTS ON NON-AGENDA ITEMS The City Council welcomes input from the audience. If there is a matter of business on the agenda that you are interested in, you may address the Council when this matter is considered. If you wish to speak on a matter that is not on this agenda, you may do so at this time. In order for everyone to be heard, please limit your comments to three (3) minutes per person and not more than ten (10) minutes per subject. The Brown Act regulations do not allow action to be taken on audience comments in which the subject is not listed on the agenda. 9. PUBLIC HEARINGS (6:15 PM) a. Introduction of the Ordinance Adding Section 4502.5 to Division 5, Chapter 7, Article 2 of the Ukiah City Code, Prohibiting Smoking Within Certain City Owned Parks and/or City Sponsored Events, and Introduction of the Resolution Designating Parks Where Smoking Is Prohibited 10. UNFINISHED BUSINESS a. Adoption of Ordinance Amending the City of Ukiah's Fire-Only PERS Contract to 3% @ 55 b. Discussion and Direction Regarding Implementation of the Remedial Action Plan for the Corporation Yard Underground Storage Tank Cleanup 11. NEW BUSINESS a. Proposal to Amend by Resolution the Mendocino Council of Governments (MCOG's) Joint Powers Agreement Appointment Procedure to Expand Eligibility for the Countywide Seat b. Designation of Voting Delegate and Alternates for 2008 League of California Cities Annual Conference -September 24-27, 2008 c. A Resolution Opposing Fiscally Irresponsible State Budget Decisions that Would "Borrow" Local Government, Redevelopment and Transportation Funds d. Award of Bid for Purchase of a CCTV Camera Truck for Sewer Maintenance to CUES. Inc. and Approval of a Budget Amendment in the Amount of $165,489.66 e. Award of Bid to Turf Star, Inc. for the Purchase of Seven Pieces of Parks/ Golf Maintenance Equipment In the Amount of $156,486.88 f. Adoption of Resolution (1) Approving Application and Contract Execution for Funding Downpayment Assistance and Housing Rehabilitation from the CalHome Program and Authorizing Execution of Grant Agreement and any Amendments thereto with the State of California for the Purposes of this Grant; and (2) Authorizing City Manager to Negotiate and Execute Agreement with Community Development Commission of Mendocino County for Grant Administration g. Award of Professional Services Agreement to LACO Associates in an Amount Not to Exceed $9,500 for Preparation of Bid Documents for the Orr Street Bridge Deck Replacement 12. COUNCIL REPORTS 13. CITY MANAGER/CITY CLERK REPORTS 14. CLOSED SESSION -Closed Session may be held at any time during or before the meeting a. Conference with Labor Negotiator (Govt. Code_§54957.6) Agency Representative: Jane Chambers, City Manager Employee Organization: Fire Unit 15. ADJOURNMENT Please be advised that the City needs to be notified 72 hours in advance of a meeting if any specific accommodations or interpreter services are needed in order for you to attend. The City complies with ADA requirements and will attempt to reasonably accommodate individuals with disabilities upon request. Materials related to an item on this Agenda submitted to the City Council after distribution of the agenda packet are available for public inspection at the front counter at the Ukiah Civic Center, 300 Seminary Avenue, Ukiah, CA 95482, during normal business hours, Monday through Friday, 7:30 am to 5:00 pm. I hereby certify under penalty of perjury under the laws of the State of California that the foregoing agenda was posted on the bulletin board at the main entrance of the City of Ukiah City Hall, located at 300 Seminary Avenue, Ukiah, California, not less than 72 hours prior to the meeting set forth on this agenda. Dated this 1s~ day of August, 2008. Linda C. Brown, City Clerk 3a PROC TION MENDOCINO LIGHTNING COMPLEX FIRES WFIEREAS, On June 20~^, ;vendocino County and the City of Gkiah verse threatened by over I29 fires that were started as a insult of a lightning storm, which became known as the Mendocinu Lightning Complex Fires. Between Jvne 20~h and July 18~^, over 2Qi0 personnel responded and honorably dist9npvished themselves by pc dornung acts of exceptional service. and of critical fire and protection importance to the Ukiah community, the County of 'Mendocino and the State of California; and W k-IEREAS, Anderson Valley Volunteer Fve Department member, Robert Roland tragically died while fighting the Mendocino Lightning Complex Fires; and WHEREAS, during the Mendocino LighMUig Complex Fires, 129 fires consumed over 53,000 acres of vital wild land areas, destroyed one residence and one out building and caused 47 firefighter injuries; and WHF,REAS, CALFIRF. Mendocino Li nit Chief Marc Romero and CALFIRE 1'cam 4 (nddent Commander Joe Waterman coordinated the fire fighting response from the CALFIRE Mendocino Cnit, other CALFIRE resources including a total of 917 CALFIRE personnel; and WHEREAS, CALFIRE Team 4 and the Office of Emergency Services mordinaled the response of Federal, State and Local resources including 1733 additional Personnel; and WI lEREAS, 119 Fire Engines, S Helicopters, 38 Water Menders, I~ Dozers, and 1 Fixed Wing Aircraft were allocated to fight the Mendocino Lightning Complex Fires; and WHEREAS, the estimated cos[ of the Mendocino Lightning Complex fires cost over ^47390,000 dollars to fight; ti~OW,'fHEREFORE, I, Douglas F. Crane, Mayor o[ the City o[ Ukiah, on behalf of my fellow City Councilmembers, Phi] Baldwin, Mari Rodin, John McCowen, and Renj ~Ihomas hereby proclaim that these efforts arc greatly appreciated by the City of Ukiah and iLs residents, and have ensured the safety of our community in the hest tradition of the fire service. Signed and sealed, this 6~^ day of August, in [he year Two Thousand and Light. /Aixglax I: ('r~nv,.Vayor PROCLAMATION 3B UKIAH DEPARTMENT OF PUBLIC SAFETY WHEF2EA5, durhrg the Months of June and Iuly, 200$ the members of the Ukiah Public Safety Department honorably distinguished themselves by performing arts of excepfional service and of critical police, fire and medical protection importance to the Gkiah community, and the State of California; and WFIERFAS, Firefighter Inger Mattern, Engiueer Pat Gazrelt, Captain John Corippo, and Battalion Chief Kevin Jennings provided emergency fire protection sewice to the community of Santz Cruz, during the Summit Fire Incident; and WHt1RFAS, Firefighter F:ric Singleton, Acting Engineer Rob Iiamseier, Acting Captain Becky Srhwengir and Rattalion Chill Chuck Yates provided emergency [ire protection services to the community of Paradise in Rutti County, during the Humboldt Fire louden[; and WFIERP:AS, members of the Ukiah Police Department and the Detective Diyisiun, including Uetertives Chris I crng, Sam Marsh, Glen Stark, Mariano Guzman, and Sergeant David McQueary, served multiple search warrants and identified and arrested seven suspecLS within }g hours following a counter of a Ukiah Citizen and an unmlated attempted murder gang related stabbing incident which occurred within a single 24 hour period; and WHEREAS, Firefighter F:d Ruffles, Engineer I'at Garrett and Acting Captain Kirk'1'homsen provided fire protection services to the Mendocno County community, during the inifial hours the ~4endocino Lightning Complex Incident Fires, and then were ro-assigned to provide emergency fire proMCtion services to thi Rutte County Community during [hr Butte Fire Fncidint; and WHl!REAS, during Hte Mendocino Lightning Complex Pir~s, Volunteer Firefighter Cesar Rodriguez, I~ire[igh[er Berman Moore, and Captain John Corippo, lead by Task Force Leader Battalion Chie(Kevin Jennings provided immediate emergency task form fire protection services to [he greater Ukiah region; Rattalion Chief Chuck Yates provided emergency fire protection services to Mendocino County, acting as a forward obsewer; Engineer Mike S[iwart provided emergency fire protection services to Mendocino County, acfing as a Communications Supervisoq Volunteer Firefighter Nancy Sawyer provided emirgency fire protection support services to Mendocino Cuu ntv, acting in the Command Center; Dispatcher Tanya Schillinsky provided emergency fire protection support servims to Mendocino County, acting as a Dispatcher al the Command Center; Dispatcher Jemmy Pollard provided fire protection and medical dispatching services to the Mendocino County rommunity, acfing as a Dispatcher, Gty Mechanics Craig Klaisreq Dave Kirsh, Chris Walker and Dave Rurnham, provided emergency fire protection suppnR services to Mendocino Counts, maintaining critical fire apparatus; and W [ IEREAS, members of the Ukiah Pohm Departinent provided law enforcement services, and assisted in the development of imergency evacuafion procedures and plans for the citizens of the County of Mindorinds inland area during the evacuations associated with the Mendocino Lightning Complex Fires; and WHEREAS, due to the existing (ire acfivity and county-wide draw down of personnel and resources, the members of the L'kiah Fire Ueputment staffed additional initial attack resources to protect the inland Mendocino County region during the Red Plag conditions on June 28~" and June 29i°; and WI}EREAS, Firefighter Uusfin McNabb, Pngineer Pat Garrett and Acting Captain Reeky Schwinger relieved Ukiah personnel at the Rutte Fire Incident, and provided emergency fire protection services to the Rutte County Community during the Bulle Fire Incident; and WI IEREAS, City o(Ukiah Voluneer Firefighters Gran[ Armslrong,'Fylir Rushby, Fernando Hirnandez,'Fucker Mattern, Ryan Nelson, Taylor'Fodd and Chase McPhail have been hired as seasonal firefighters by CALI9RI:, to protect our cummmritiCS throughout this fire season; and WHF:RF.AS, each and every member of the Ukiah Public Safety Departments, including GER'r beam members and Volunteers, devoted countless huua to ensure staffing within the City of Ukiah to continue to provide the highest levels of emergency police, fire and medical sewice for the Ukiah Community during these critial incidents; NOW, TI IEREFORE, (, Douglas F. Crane, Mayor of the Ci[y of Ukiah, on behalf of my fellow City Councilmemhers, hereby proclaim that these iffortr reflect the highest values o(the Ukiah Departmint u(Public Safety to ensure the safety of our fellow citizens and fellow Fire Fighters, Police Officers and Dispatchers, to perform their duties with professionalism, and provide vital servims to the community they have bean intrusted to serve. Signed and sealed, this 6~^ day of August, in the year Two "Thousand and Fight. Douglas E Crane, Mayor CITY OF UKIAH CITY COUNCIL MINUTES Regular Meeting CIVIC CENTER COUNCIL CHAMBERS 300 Seminary Avenue Ukiah, CA 95482 July 16, 2008 6:00 p.m. Interviews for the Parks, Recreation, and Golf Commission took beginning at 5:40 PM. 7 2. ROLL CALL Ukiah City Council met at a Regular Meeting legally noticed on, July 11, 2008. Mayor Cran was taken with the following Councilme~C Baldwin, and Mayor Crane. Councilmemfl~ers Chambers, City Attorney Rapport, Program/G Electrical Utility Director Grandi, Director of I and Deputy City Clerk Currie. PLEDGE OF ALLEGIANCE 3. PROCLAMATIONS/IN a. Presentation County totFt' Progratti/Grant Comrriur Foi award to ~l Anton Stadi~t4t, .:None. 5. `ROYAL OF MINA! a. Halc b. Reg M/S Baldvr 2, 2008, as 6. nt Awl Ukiah of 5a Foundation of Mendocino Mills fltttroduced Greg Nelson, Board Member of the idocino'~punty. Mr. Nelson presented the $5,000 grant the corr>~~"lion of two new community rooms located at ~ttlar Minutes of June 25, 2008 ei3 of July 2, 2008 to approve the Adjourned Regular Minutes of June 25, 2008, and July Motion carried by an all AYES voice vote of the members present. 7. CONSENT CALENDAR M/S Rodin/McCowen to approve the Consent Calendar items 7a through 7e: a. Report of Disbursements for the Month of June 2008 b. Approval of Publishing Services by Ukiah Daily Journal for Fiscal Year 2008/2009, in the Amount of 6.25 per Column Inch for the First Insertion and 4.26 per Column room 4 fGly T8, 2008, the notice,.for which being led the meeting to order'at 6:01 pm. Roll present: Thomas, McCcm!en, Rodin, ent: Non~.Staff present: City Manager nlniGfratot Mills, Chief Dewey, Interim riuhiGy & General Services Sangiacomo, cc ~nbvoa Pagc 1 of 5 Inch for Additional Insertions of the Same Advertisement, Plus aNon-Optional $3.00 per Online Ad Charge c. Authorization for City Manager to Negotiate and Execute Lease Renewal Agreement for Rusty Bowl BMX d. Award of Bid To Waste Management Inc. for the Rental and Service of Portable Toilets at Various City Locations and Dates e. Rejection of Claim for Damages Received from James Maki and William and Rachel Maki and Referral to Joint Powers Authority, Redwood Empire Municipal Insurance Fund Motion carried by the following roll call vote: AYES: Councilmembers Thomas, McCowen, and Mayor Crane. NOES: None. ABSENT: Councilmembers Rodin and Baldwin. ABSTAIN: None M/S Rodin/McCowen determining the two Closed Session items: Conference with Real Property Negotiator (Gov't Code Section 54956.8) Property: APN 180-110-11 Agency Negotiator: Jane Chambers, City Manager Negotiating parties: To be determined Under negotiation: Price and terms of payment Conference with Legal Counsel -Anticipated Litigation (Gov't Code Section 54956.9) could not be placed on the agenda within the 72 hour requirement and that action needs to be taken before the next City Council meeting and to add the items to the agenda. Motion carried by the following roll call vote: AYES: Councilmembers Thomas, McCowen, Rodin, Baldwin, and Mayor Crane. NOES: None. ABSENT: None. ABSTAIN: None. 8. AUDIENCE COMMENTS ON NON-AGENDA ITEMS 6:11:20 PM None. 9. PUBLIC HEARINGS 10. UNFINISHED BUSINESS 6:16:11 PM a. Appointments to the Airport Commission for Term Expirations and Adoption of Resolution Making the Appointments Mayor Crane presented the item. Recommended Action(s): 1) Make nominations and appointments and 2) Adopt a Resolution making appointment to the Airport Commission. Public Comment opened at 6:19 pm Public Speaking to the Item: Dottie Deerwester, Airport Commission Chairperson. Public Comment closed at 6:21 pm Jeffrey Sloan was nominated by Councilmember Thomas. Councilmember Baldwin passed on the nomination. Carl Steinmann was nominated by Councilmember Rodin. CC 7/16/08 Page 2 of 5 6:23:21 PM M/S McCowen/Thomas to approve the nominations and adopt the resolution appointing Sloan and Steinman to the Airport Commission. Motion carried by the following roll call vote: AYES: Councilmembers Thomas, McCowen, Rodin, Baldwin, and Mayor Crane. NOES: None. ABSENT: None. ABSTAIN: None. b. Appointment to the Parks, Recreation, and Golf Commission and Adoption of Resolution Making the Appointment 6:24:33 PM Recommended Action(s): 1) Interview Parks, Recreation, and Golf Commission Applicant prior to the City Council Meeting, 2) Make a nomination and appointment, and 3) Adopt a Resolution making appointment to the Parks, Recreation, and Golf Commission. Tami Bartolomi was nominated by Councilmember Thomas to fill an unexpired term. M/S Thomas/Rodin to approve the nomination and adopt the resolution appointing Tami Bartolomi to the Parks, Recreation, and Golf Commission. Motion carried by the following roll call vote: AYES: Councilmembers Thomas, McCowen, Rodin, Baldwin, and Mayor Crane. NOES: None. ABSENT: None. ABSTAIN: None. c. Nomination and Appointment of Planning Commissioner to Replace Commission Member Anderson 6:25:25 PM Recommended Action 1) Councilmember Baldwin nominate a replacement for Planning Commission Anderson and 2) City Council vote on the nomination. Linda Sanders was nominated by Councilmember Baldwin to fill an unexpired term. M/S Baldwin/McCowen to approve the nomination and appointment of Linda Sanders to the Planning Commission. Motion carried by the following roll call vote: AYES: Councilmembers Thomas, McCowen, Rodin, Baldwin, and Mayor Crane. NOES: None. ABSENT: None. ABSTAIN: None. d. Police Department Strategic Planning Process Update 6:26:18 PM Chief Dewey presented the item. Recommended Action: Informational only, no action by Council is required. An annual Public Safety Department report will be submitted to City Council. e. Continuation of City Council Strategic Planning Efforts, Initiated April 2007 through September 2007 City Manager Chambers presented the item. Recommended Action(s): Councilmembers to discuss the next steps to take in the Strategic Planning Process and to Direct Staff with regard to proceeding with work toward a program and operations budget, a capital improvements budget, and sub-committee and work study sessions. By Consensus, City Council requested the wording be updated on Goal 1A, Objectives, bullet point 2 and 3 to include employees and council and Goal 1 B, Objectives, bullet point 6 remove wording "Fire Department". cc ~nbios Page 3 of 5 Item Continued 6:58:50 PM 11. NEW BUSINESS a. Approve the Letter of Agreement Between City of Ukiah and Northern California Power Agency to Provide Services for the Lake Mendocino Hydroelectric Power Plant in the Amount of $100,000 6:59:43 PM Interim Electrical Utility Director Grandi presented the item. Recommended Action: City Council to approve the Letter of Agreement and authorize the City Manager to execute the Agreement. M/S Rodin/McCowen to approve the Recommended Action. Motion carried by the following roll call vote: AYES: Councilmembers Thomas, McCowen, Rodin, Baldwin, and Mayor Crane. NOES: None. ABSENT: None. ABSTAIN: None. b. Authorize the Executive Director/City Manager to Negotiate and Execute a Contract for Financial Advisory Services for the City of Ukiah and the Ukiah Redevelopment Agency with Public Financial Management, Inc. 7:11:59 PM Director of Community & General Services Sangiacomo presented the item. Recommended Action: Authorize the City Manger/Executive Director to negotiate and execute a professional services agreement for financial advisory services from PFM, Inc. M/S Rodin/Baldwin to adopt the Recommended Action. Motion carried by the following roll call vote: AYES: Councilmembers Thomas, McCowen, Rodin, Baldwin, and Mayor Crane. NOES: None. ABSENT: None. ABSTAIN: None. c. Discussion Pertaining to the City Of Ukiah's 2008 Voluntary Water Conservation Program and Approval to Implement 7:28:31 PM Public Works Director/City Engineer Eriksen presented the item. Recommended Action(s): Approve implementation of 2008 voluntary water conservation program. Public Comment opened at 7:47 pm Public Speaking to the Item: Joe Scriven Public Comment closed at 7:49 pm Public Comment reopened at 8:04:21 pm Public Speaking to the Item: Linda Sanders Public Comment closed at 8:05 pm M/S McCowen/Rodin to approve the Recommended Action and staff to investigate rate structures. Motion carried by the following roll call vote: AYES: Councilmembers Thomas, McCowen, Rodin, and Baldwin. NOES: Mayor Crane. ABSENT: None. ABSTAIN: None. 12. COUNCIL REPORTS 8:14:37 PM Councilmember Baldwin reported on a report from the consultant for the Round Valley Indian Tribes to the Inland Water and Power Commission which encourages support of plan to resolve the water struggle between the Eel River and Russian River water entities. CC 7/16/08 Page 4 of 5 Councilmember Baldwin requested the item be added to the August 6, 2008, agenda. City Manager Chambers suggested it be discussed at the July 22, 2008, Water Workshop Study Session. 13. CITY MANAGER/CITY CLERK REPORTS 8:18:43 PM City Manager Chambers clarified the past practice of posting agendas to the City Web Site. Staff will post all study sessions/workshops to the City Web Site and public comment will be annotated as a regular part of the agenda. City Manager Chambers reported on an available grant opportunity for water conservation. Staff plans to apply for the grant for water leak detection. If funds are received, the topic will be agendized at a future meeting. Formal action to recognize the fire fighting effort will be on the August 6, 2008, agenda. There is no interest from City Council in an electronic timer for the Council Chambers. City Manager Chambers will be working with staff regarding updating the telephone numbers on the City web site. City Manager Chambers asked Council if there was an interest in attending the League of California Cities meeting in Long Beach. Break 8:29 pm Reconvened to City Council and Recessed to Ukiah Redevelopment Agency at 8:35 pm Reconvened to City Council and Recessed to Closed Session at 8:38 pm 14. CLOSED SESSION a. Conference with Real Property Negotiator (Gov't Code Section 54956.8) Property: APN 180-110-11 Agency Negotiator: Jane Chambers, City Manager Negotiating parties: To be determined Under negotiation: Price and terms of payment b. Conference with Legal Counsel -Anticipated Litigation (Gov't Code Section 54956.9) Reconvened in Open Session at 9:45 pm with no reportable action. 15. ADJOURNMENT The meeting adjourned to the Adjourned Regular Meeting of July 30, 2008 at 9:00 a.m., 9:45 pm. JoAnne M. Currie, Deputy City Clerk CC 7/] 6/08 Page 5 of 5 ITEM NUMBER: 7a DATE: August 6, 2008 AGENDA SUMMARY REPORT SUBJECT: AMENDMENT NO. ONE TO AGREEMENT BETWEEN THE CITY OF UKIAH AND COUNTY OF MENDOCINO FOR EMPLOYEE PARKING WITHIN UKIAH PARKING DISTRICT EXECUTED ON AUGUST 29, 2007. SUMMARY: The CITY operates Municipal Parking District #1 for the purpose of providing off- street parking within its downtown commercial district. The County has requested of the CITY the monthly permitted use of a maximum of sixty-nine (69) spaces within the parking district in order to provide parking for County employees working within the City of Ukiah's downtown area. Term of this Agreement shall be one (1) year commencing July 15t, 2008 and ending June 30, 2009. This agreement may be extended for additional terms if mutually agreed by both parties. Termination: This agreement may be terminated upon sixty (60) days notice as set forth in Section 8 (Notices) of the Agreement. All other terms and provisions of the Agreement remain in full force and effect. Recommended Action(s): Approve renewal of agreement with the County of Mendocino for downtown employee parking and authorize City Manager to execute agreement. Alternative Council Policy Option(s): 1. Determine agreement requires revision and remand to staff with direction. 2. Determine approval of agreement is inappropriate at this time and do not move to approve. Citizens advised: N/A Requested by: City Council Prepared by: Jan Newell, Finance Controller; Trent Taylor, Comm. Captain Coordinated with: Paul Cayler, County of Mendocino Attachments: Amendment No. One Agreement between City of Ukiah and County of Mendocino; 2007-08 Agreement between the City of Ukiah and Mendocino County for Employee Parking within Ukiah Parking District Approved: /{~(jyh,t ~-~'~. Ja ~ Chambers, City Manager Attachment # Amendment No. One to Agreement between the City of Ukiah and the County of Mendocino for Employee Parking within Ukiah Parking District No. One Executed on August 29, 2007 This is Agreement Amendment No One to an Agreement between the City of Ukiah, hereinafter "CITY", and the County of Mendocino, hereinafter "COUNTY", for Employee Parking within Ukiah Parking District No. One executed on August 29, 2007. RECTIALS: A. CITY operates Municipal Parking District No. One for the purpose of providing off=street public parking with the downtown commercial district. B. CITY and COUNTY executed a parking agreement for the provision of sixty-nine (69) parking spaces in the parking district for the purpose of providing parking to COUNTY employees working in the downtown commercial district. C. Per Section 2 of the aforementioned Agreement, the Agreement expires on June 30, 2008, unless extended for additional terms if mutually agreed by both parties. D. Per Section 4 of the aforementioned Agreement, the Agreement maybe terminated upon one hundred eighty (180) days written notice by either party for any reason. E. CITY is evaluating making substantial modifications to the method and regulation of parking in the Municipal Parking District No. One in the immediate future, therefore the CITY desires to extend the term of the existing Agreement while maintaining flexibility to make changes to Municipal Parking District No. One AGREEEMENT: NOW, THEREFORE IT IS MUTUALLY AGREED BY THE PARTIES THAT THE PARKING AGREEMENT EXECUTED ON AUGUST 29, 2007, BE AMENDED AS FOLLOWS: The term of this Agreement shall be extending one (1) year commencing July 1, 2008 and expiring June 30, 2009. 2. CITY and COUNTY may terminate this agreement with sixty (60) days notice as set forth in Section 8 (Notices) of the Agreement. All other terms and provisions of the Agreement remain in full force and effect. Amendment No. 1 to Employee Parking Agreement Executed on August 29, 2007 Page 1 of 2 CITY OF UKIAH: City Manager Jane Chambers Date: COUNTY OF MENDOCINO: Chief Executive Officer Tom Mitchell Date: Approved As To Form: Jeanine B. Nadel, COUNTY COUNSEL By: Approved As To Insurance Requirements: Kristin McMenomey, RISK MANAGER By: Amendment No. 1 to Employee Parking Agreement Executed on August 29, 2007 Page 2 of 2 Attachment # Z COUNTY OF MENDOCINO AGREEMENT BETWEEN THE CITY OF UKIAH AND MENDOCINO COUNTY FOR EMPLOYEE PARKING WITHIN UKIAH PARKING DISTRICT #1 This Agreement is entered into this 29`h day of August 2007, by and between the COUNTY OF MENDOCINO, a political subdivision of the State of California, hereinafter referred to as "COUNTY; and the CITY OF UKIAH, hereinafter referred to as "CITY". WITNESSETH RECITALS: A. CITY operates Municipal Parking District #1 for the purpose of providing off-street public parking within its downtown commercial district. B. COUNTY has requested CITY the monthly permitted use of a maximum of sixty-nine (69) parking spaces within the parking district in order to provide parking for County employees working within the city of Ukiah's downtown area. C. CITY desires to provide said spaces pursuant to the terms of this Agreement. NOW, THEREFORE, IN CONSIDERATION of the terms, covenants, and conditions herein expressed, to be kept and performed by the parties hereto, IT IS MUTUALLY AGREED BY THE PARTIES AS FOLLOWS: Permitted Parkino. CITY does hereby agree, and COUNTY does hereby hire from CITY the parking spaces necessary to provide parking as described in Paragraph B, of Recitals, in this agreement within the areas of Parking District #9 desighated on the diagram attached hereto as Exhibit "A", incorporated herein by this reference. lndividua{ employees may elect to park in additional locations within Parking district #1 subject to avai{ability and prevailing rates, provided the employee agrees to and does pay the CITY the difference between the prevailing monthly rate and the $15.00 paid by the COUNTY. 2. Term. The term of this Agreement shall be one (1) year commencing July 151, 2007 and ending June 30, 2008. This agreement may be extended for additional terms if mutually agreed to by both parties. 3. Fee. The COUNTY shall pay for the spaces provided to its employees under the terms of this Agreement the rate of $15.00 per month for each employee the COUNTY requests the CITY to issue permits. The COUNTY shall pay the CITY fees in advance as follows: In the month of December, March, June and September the CITY shall bill the COUNTY, in advance, for quarters January, April, July, October for the actual number of permits held by COUNTY employees: 4. Termination. This agreement may be terminated upon one hundred (180) days written notice by either party for any reason. 5. Use. COUNTY or its permitted assignees, shall comply with all applicable local codes and ordinances in connection with the use of permitted parking spaces during the term of this agreement. COUNTY and CITY shall take all necessary steps to assure that COUNTY'S employees utilize the designated parking provided by this agreement. Waiver. No waiver by any party hereto of any breach of any term or condition of this agreement is to be construed as a waiver of any subsequent break or as a modification of any term of this agreement. 7. Remedy for Breach. In the event that COUNTY should fail, refuse, or neglect to pay when due any installment of fees, or fail or refuse to keep, perform, or observe any covenant, agreement, or condition of this agreement, CITY shall have the right to terminate this Agreement immediately. 8. Notices. Whenever notice is permitted or required under this Agreement, it shall be deemed given when personally served or when deposited in the United States mail with proper first class postage affixed thereto and addressed as follows: City of Ukiah County of Mendocino Attn: City Manager Attn: Chief Executive Officer Candace Horsley Albert P. Beltrami 300 Seminary Avenue 501 Low Gap Road, Room 1010 Ukiah, CA 95482 Ukiah, CA 95482 9. Leoal Proceedinos. Any legal action between the parties concerning this agreement shall be filed in the State Court in Mendocino County with subject matter jurisdiction, each party waiving any objections they may have to venue in Mendocino County. 10. Blindino Effect. This agreement benefits and is binding upon both parties, their successors, legal representatives, and assigns. 11. Counteroarts. This agreement may be executed in any number of counterparts which taken together shall constitute the same agreement. IN WITNESS THEREOF, the parties hereto, by their duly authorized representatives, have affixed their hands on the day and year this Agreement first above written. CITY OF UKIAH: By , City Manager Candace Ho~sl y Date APPROVED AS TO FORM: Jeanine B. Nadel COU B._ Beltrami APPROVED AS TO INSURANCE REQUIREMENTS: Kristgn McMenomey, RISK MANAGER COUNTY OF MENDOCINO: ^oo^ ^^~^ RECElV~D JUN 2 s zoos m a ~:.~ ~ ~ s . ' HENRY ~ ~~~. ~~~fo.a p . SM1TH ... ._ a • f-1 D ,~o . •F. W 4 W F tYo 6 ' CHURCH ~ ~ ~~.~ S7EPH~N50N w ~ . JW( 3 CLAY SEMINARY N~. • N' Y • + a Y cn X ITEM NUMBER: 7b DATE: August 6, 2008 AGENDA SUMMARY REPORT SUBJECT: AMENDMENT NO. ONE TO AGREEMENT BETWEEN THE CITY OF UKIAH AND COUNTY OF MENDOCINO FOR GRAND JURY AND JUROR PARKING WITHIN UKIAH PARKING DISTRICT EXECUTED ON AUGUST 29, 2007. SUMMARY: The City operates Municipal Parking District #1 for the purpose of providing off- street public parking within its downtown commercial district. The County has requested of the City the monthly permitted use of nineteen (19) parking spaces within Parking Lot C., bounded by Main, Smith, Mason and Standley Streets, within the City of Ukiah Parking District #1, in order to provide parking for Grand Jurors to the Mendocino County Courts. County has further requested the day use of available spaces on an as needed basis within the Parking District in order to provide parking for jurors called to duty by the Mendocino County Clerks. Term of this Agreement shall be one (1) year commencing July 15t, 2008 and ending June 30, 2009. This agreement may be extended for additional terms if mutually agreed by both parties. Termination: This agreement may be terminated upon sixty (60) days notice as set forth in Section 8 (Notices) of the Agreement. All other terms and provisions of the Agreement remain in full force and effect. Recommended Action(s): Approve renewal of agreement with the County of Mendocino for Grand Jury and Juror Parking within Ukiah Parking District. Alternative Council Policy Option(s): 1. Determine agreement requires revision and remand to staff with direction. 2. Determine approval of agreement is inappropriate at this time and do not move to approve. Citizens advised: N/A Requested by: City Council Prepared by: Jan Newell, Finance Controller, Trent Taylor, Comm. Captain Coordinated with: Paul Cayler, County of Mendocino Attachments: Amendment No. One Agreement between City of Ukiah and County of Mendocino; 2007-08 Agreement between the City of Ukiah and Mendocino for Grand Jury and Juror Parking within Ukiah Parking District Approved: ~' -'/~- ~"~"~'n-"~- ne Chambers, City Manager Attachment # ~ Amendment No. One to Agreement between the City of Ukiah and the County of Mendocino for Grand Jury and Juror Parking within Llkiah Parking District No. One Executed on August 29, 2007 This is Agreement Amendment No. One to an Agreement between the City of Ukiah, hereinafter "CITY", and the County of Mendocino, hereinafter "COUNTY", for Grand Jury and Juror Parking within Ukiah Parking District No. One executed on August 29, 2007. RECTIALS: A. CITY operates Municipal Parking District No. One for the purpose of providing off-street public parking with the downtown commercial district. B. C[TY and COUNTY executed a parking agreement for the provision of Grand Jury and Juror parking spaces in the parking district for the purpose of providing pazking to COUNTY employees working in the downtown commercial district. C. Per Section 2 of the aforementioned Agreement, the Agreement expires on .Tune 30, 2008, unless extended for additional terms if mutually agreed by both parties. D. Per Section 4 of the aforementioned Agreement, the Agreement may be terminated upon one hundred eighty (180) days written notice by either party for any reason. E. CITY is evaluating making substantial modifications to the method and regulation of parking in the Municipal Parking District No. One in the immediate future, therefore the CITY desires to extend the term of the existing Agreement while maintaining flexibility to make changes to Municipal Parking District No. One AGREEMENT: NOW, THEREFORE IT IS MUTUALLY AGREED BY THE PARTIES THAT THE PARKING AGREEMENT EXECUTED ON AUGUST 29, 2007, BE AMENDED AS FOLLOWS: The term of this Agreement shall be extending one (1) year commencing July 1, 2008 and expiring June 30, 2009. CITY and COUNTY may terminate this Agreement with sixty (60) days notice as set forth in Section 8 (Notices) of the Agreement_ All other terms and provisions of the Agreement remain in full force and effect. Amendment No. 1 to Juror Parking Agreement Executed on August 29, 2007 Page 1 of 2 _ __ _ _._ CITY OF UKIAH: City Manager Jane Chambers Date: COUNTY OF MENDOCINO: Chief Executive Officer Tam Mitchell Date: Approved As To Form: Jeanine B. Nadel, COUNTY COUNSEL By: Approved As To Insurance Requirements: Kristin McMenomey, RISK MANAGER By: Amendment No. 1 to Juror Parking Agreement Executed on August 29, 2007 Page 2 of 2 Attachment # ~ AGREEMENT BETWEEN THE CITY OF UKIAH AND COUNTY OF MENDOCINO FOR GRAND JUROR AND JUROR PARKING WITHIN UKIAH PARKING DISTRICT #1 THIS AGREEMENT is made and entered into effective August 29, 2007, by and between the CITY OF UKIAH, a municipal corporation, hereinafter referred to as "City"; and the County of Mendocino, hereinafter referred to as "County". RECITALS: A. City operates Municipal Parking District #1 for the purpose of providing off-street public parking within its downtown commercial district. B. County has requested of City the monthly permitted use of nineteen (19) parking spaces within Parking Lot C, bounded by Main, Smith, Mason, and Standley Streets, within City of Ukiah Parking District #1, in order to provide parking for Grand Jurors to the Mendocino County Courts. County is further requesting the day use of available spaces on an as needed basis within the Parking District in order to provide parking for jurors called to duty by the Mendocino County Courts (Courts). C. City desires to provide said spaces pursuant to the terms of this Agreement AGREEMENT NOW, THEREFORE, IN CONSIDERATION of the terms, covenants, and conditions herein expressed, to be kept and performed by the parties hereto, IT IS MUTUALLY AGREED BY THE PARTIES AS FOLLOWS: Permitted Parking. City does hereby agree, and County does hereby hire from City the parking spaces necessary to provide parking as described in Paragraph B, of Recitals, in this Agreement within the areas of Parking District #1 designated on the diagram attached hereto as Exhibit "A", incorporated herein by this reference. County, at County's expense agrees to furnish permits to jurors, which shall be displayed in prominent view from the front window of any vehicle utilizing said permit. At any time a juror fails to display such permit as provided by County, City may issue a citation to said juror for violation of applicable parking regulations. 2. Term. The term of this Agreement shall be one (1) year commencing on July 1, 2007 and ending June 30, 2008. This Agreement may be extended for additional terms if mutually agreed to by both parties. 3. Fee. A. The County shall pay for the spaces provided to its Grand Jurors under the terms of this Agreement the semi-annual rate of $1596. The County shall pay City fees in advance as follows: by March 1 and September 1 for each succeeding six month period thereafter. The County shall furnish to City, on a monthly basis, printed reports of the number of jurors called and City shall bill County on a quarterly basis at the rate of $1.00 per day perjuror. 4. Termination. This Agreement may be terminated upon one hundred (180) days written notice by either party for any reason. 5. Use. County or its permitted assignees, shalt comply with ali applicable focal codes and ordinances in connection with the use of permitted parking spaces during the term of this Agreement. County and City shall take aif necessary steps to assure that County's jurors utilize the designated parking provided by this Agreement. 6. Waiver. No waiver by any party hereto of any breach of any term or condition of this Agreement is to be construed as a waiver of any subsequent breach or as a modification of any term of this Agreement. 7, Remedv for Breach. In the event that County should fail, refuse, or neglect to pay when due any installment of fees, or fail or refuse to keep, perform, or observe any covenant, agreement, or condition of this Agreement, City shall have the right to terminate this Agreement immediately. 8. Notices. Whenever notice is permitted or required under this Agreement, it shall be deemed given when personally served or when deposited in the United States mail with proper first class postage affixed thereto and addressed as follows: City of Ukiah County of Mendocino Attn: City Manager Atth: Chief Executive Officer Candace Horsley Albert P. Beltrami 300 Seminary Avenue 501 Low Gap Road, Room 1010 Ukiah, CA 95,482 Ukiah, CA 95482 9. Legal Proceedings. Any legal action between the parties concerning this Agreement shall be filed in the State Court in Mendocino County with subject matter jurisdiction, each party waiving any objections they may have to venue in Mendocino County. 10. Biindino Effect. This Agreement benefits and is binding upon both parties, their successors, legal representatives, and assigns of. 11. Counterparts. This Agreement may be executed in any number of counterparts which taken together shall constitute the same Agreement. IN WITNESS THEREOF, the parties hereto have executed this Agreement at the date a~, ~ r ;' ,{ place indicated below. ~„„7~~., ,,. CITY OF U4CIAH: BV~ CityTvfanager Candace Hord(ey ~~S-~7~ Date APPROVED AS TO FORM: Jeanine B. Nadel COUNTY COUNSEL By: COUNTY OF MENDOCINO: By Chi xecutiv Officer Atbe P. Beltrami ~ - 2~q ~-07 Date APPROVED AS TO INSURANCE REQUIREMENTS: Kristin McM-elnfome~y,. RISKt,MANAGER T a a_ ~5 u ? ~ i- f.. Q.' ti : F- N r YJ W N ~ j' a~. O ~. W ~ pW 3. R~cF~vE JUN 2 s Zoos r~ '9KIAH HENRY -SMITH CHURCH ' STEPHENSON CLAY SEMINARY ~~ s ~~ s . ~' . ~~. ~~~~a. ~. e 3~ m N N Y ITEM NO. ~~ MEETING DATE: August 6. 2008 AGENDA SUMMARY REPORT SUBJECT: REJECTION OF CLAIM FOR DAMAGES RECEIVED FROM MARILYN MARSHALL AND REFERRAL TO JOINT POWERS AUTHORITY, REDWOOD EMPIRE MUNICIPAL INSURANCE FUND A claim from Marilyn Marshall was received by the City of Ukiah on July 10, 2008 alleging damages when a tree limb fell onto her parked vehicle on Church Street (between School and State Streets). Pursuant to City policy, it is recommended the City Council reject this claim as stated and refer it to the Redwood Empire Municipal Insurance Fund (REMIF). RECOMMENDED ACTION: Reject claim for damages received from Marilyn Marshall and refer it to the Joint Powers Authority, Redwood Empire Municipal Insurance Fund. ALTERNATIVE COUNCIL POLICY OPTIONS: Alternative action not advised by the City's Risk Manager. Citizen Advised: Yes Requested by: Claimant Prepared by: Sue Goodrick, Risk Manager/Budget Officer Coordinated with: Jane Chambers, City Manager Attachments: 1. Claim of Marilyn Marshall, pages 1-3. APPROVED: ' ~~ ~ J e Chambers, City Manager CC. File With: City Clerk City of Ukiah 300 Seminary Avenue Ukiah, CA 95482 ~~~f~ /ti'1,4,~ y' p ~ ~~' ~~ ~~R MONEY OR DAMAGES AGAINST THE CITY OF UKIAH A claim must be presented, as prescribed by the Government Code of the State of acting on his/her behalf and shall show the following: RESERVE FOR FILING STAMP CLAIM NO . ~ ~~~' ~c~c~adr~ ~ JUL 1 0 2008 rnia, rson If additional space Is needed to provide your information, please attach sheets, identifying the paragraph(s) being answered. 1. Name and Post Office address of the Name of Claimant: Post Office Addres 2. Post Office address to which the person presenting the claim desires notices to be sent: Name of Addressee: S~hfe- Telephoner/~~) ~~_-•~.~73 Post Office Address: ~ ~ ~~~ ~ 3. The date, place and other circumstances of the occurrence or transaction which gave rise to the claim asserted. Date of Occurrence: Time of Occurrence: '/® Location: C ~~ / j'vl l 0 Y .~ a.~"L°-ST. Circumstan s giving rise to this claim: ~ ~• ~ Z - ~, Yf 1J~S~ ` h, ~~~ - , 4. General description of the indebtedness, obligation, injury, damage or loss incurred so far as it may be known at ~ tjme of the presentation of the claim. e O a n . i G~DiI» The Qameor name of the public employee or employes causing the injury, damage, or loss, if known. /-._ ...- + /I^~/= _SsA1J~YlIO VOJ"N ~I7~//.' ~I' Page 1 of 3 Revised 12/2006 6 If amount claimed totals less than 510,000: The amount claimed if it totals less than ten thousand dollars ($10,000) as of the date of presentation of the claim, including the estimated amount of any prospective injury, damage, or loss, insofar as it may be known at the time of the presentation of the claim, together with the basis of computation of the amountclaimed. /' 'Amounf Claimed and basis for computation: ~ ~ ~~~ , ~ /1~~ 3& ,1/ _SC1i If amount claimed ex eeds;10,000: if the amount claimed exceeds ten thousand dollars ($10,000), no dollar -~••amount shaFl-be metuded~in-tlie claim. However, it shall indicate whether the claim would be a limited civil case. A limited civil case is one where the recovery sought, exclusive of attorney fees, interest and court costs does not exceed $25,000. An unlimited civil case is one in which the recovery sought is more than $25,000. (See CCP § , 86. ) Limited Civil Case ~ Unlimited Civil Case You are required to provide the information requested above, plus your signature on page 3 of this form, in order to comply with Government Code §910. In addition, in order 1o conduct a timely investigation and possible resolution of your claim, the city requests that you answer the following questions. 7. Claimant(s) Date(s) of Birth: / O ie_ ~1~1 8. Name, address and telephone number of any witnesses to the occurrence or transaction w gave rise to the claim asserted: \ I ~ ~~ fl;.~wrr~i~~s.~rti ltrt~rlfnr.~n'1 nti- ~J1Calb~_ d . C.SS tl~ed. ,' 9. If the claim involves medical treatment for a claimed injury, please provide the name, address and telephone number pf any doctors or hospitals providing treatment: !f applicable, please attach any medical bills or reports or similar documents supporting your claim. 10. If the claim relates to an automobile accident: Claimant(s) Auto Ins. Co.: Telephone: Address: Insurance Policy No.: Insurance BrokedAgenti Telephone: Claimant's Veh. Lic. No.: ~ Vehicle Make/Year;. ' Claimant's Drivers Lic. No.: ~ LT Q 2 ~9 / Expiration: fj- ///-/j Q y or similar documents supporting your Page 2 of 3 Revised 12/2006 READ C For all accident claims, place on following diagram name of streets, including North, East, South, and West; indicate place of accident by "X" and by showing house numbers or distances to street corners. If /Agency Vehicle was involved, designate by letter "A" location of (Agency Vehicle when you first saw it, and by "B" location of yourself or your vehicle when you first saw C/ O ~~ CURB %/ /, l _ ~~~ ---~-~ Warning: Presentation of a false claim with the intent to defraud is a felony (Penal Code §72). Pursuant to CCP §1038, the /Agency may seek to recover all costs of defense in the event an action is filed which is later determined not to have been brought in good faith and with reasonable cause. r, Signatur~>' j Date ~ ~~ Y AREFULLY /Agency Vehicle; location of /Agency vehicle at time of accident by "A-1" and location of yourself or your vehicle at the time of the accident by "8-1"and the point of impact by "X." NOTE: if diagrams below do not fit the situation, attach hereto a proper diagram signed by claimant. SIDEWALK ~ ~ ~ CURB ~ ~ ~C Page 3 of 3 Revised 12/2006 ITEM NO: 7d MEETING DATE: August 6, 2008 AGENDA SUMMARY REPORT SUBJECT: AWARD PURCHASE OF DEEP RIPPING SCARIFICATION OF PERCOLATION PONDS AT THE WASTEWATER TREATMENT PLANT TO GREGG SIMPSON TRUCKING AT THE UNIT PRICE OF $3,547.32 PER POND FOR A TOTAL AMOUNT OF $10,641.96 Submitted for the City Council's consideration and action is staff's recommendation that the purchase of services to provide deep ripping scarification of percolation ponds at the Wastewater Treatment Plant be awarded to Gregg Simpson Trucking in the amount of $3547.32 per pond for a total of $10,641.96. The service will be used by the City's Wastewater Treatment Plant to scarify the bottoms of percolation ponds #1, 2, and 3. The ponds are scarified on an annual basis to maintain the percolation rate needed to assure adequate capacity for discharge of treated effluent to the ponds at all times. The City issued a Request for Bid through the Purchasing Department in accordance with City policy. The Request for Bid was sent to firms on the Qualified Bidders List and to the Builder's Exchange and was posted to the City's web site. Responses were received from ten firms. Gregg Simpson Trucking was the low bidder at $10,641.96. Refer to attached bid summary table for a complete listing of the bid amounts. RECOMMENDED ACTION: Award the purchase of deep ripping scarification of percolation ponds at the Wastewater Treatment Plant to Gregg Simpson Trucking in the amount of $3547.32 per pond for a total of $10,641.96. ALTERNATIVE COUNCIL OPTIONS: Reject all bids and provide direction to Staff. FUNDING: Amount Budgeted $10,641.96 Account Number Additional Funds Requested 612-3580-250-006 N/A Citizens Advised: Requested by: Ann Burck, Water-Utilities-Project Engineer Prepared by: William Pounders, Wastewater Treatment Plant Supervisor Coordinated with: Jane Chambers, City Manager Attachments: Bid Results table Approved: ~,l ~-C`-lti~N""""~-- ne Chambers, City Manager Attachment # YI C O ~w m 0 4 G A r 3 of N M tD V n N O v N N t d a N rn c ~N R L 7 0. F R Y 7 O 'v m rn 0 Z Z m m v ITEM NO. 9a DATE: August 6. 2008 AGENDA SUMMARY REPORT SUBJECT: INTRODUCTION OF THE ORDINANCE ADDING SECTION 4502.5 TO DIVISION 5, CHAPTER 7, ARTICLE 2 OF THE UKIAH CITY CODE, PROHIBITING SMOKING WITHIN CERTAIN CITY OWNED PARKS AND/OR CITY SPONSORED EVENTS, AND INTRODUCTION OF THE RESOLUTION DESIGNATING PARKS WHERE SMOKING IS PROHIBITED. The purpose of this ordinance is to reduce the risk of fire and/or smoking related safety issues, reduce smoking related litter and pollution, and protect the right of nonsmokers to breathe smoke free air within certain city owned parks and/or city sponsored events. The proposed ordinance is an addition to Chapter Seven of the Ukiah City Code pertaining to no smoking. For the purpose of the ordinance the definition of smoking is as follows: Inhaling, exhaling, burning or carrying any lighted cigar, cigarette, weed, plant or other combustible substance in any manner or in any form. The penalty for a violation of Chapter Seven is a fine. Continued on Page 2 RECOMMENDED ACTION: 1. Pass a motion to introduce the Ordinance and Resolution by title only. 2. Request that the City Clerk read the Ordinance and Resolution by title only. 3. Pass a motion to introduce the Ordinance and Resolution. ALTERNATIVE COUNCIL POLICY OPTIONS: 1. Provide alternative direction to staff. Citizen Advised: N/A Requested by: Parks, Recreation and Golf Commission Prepared by: Sage Sangiacomo, Community/General Services Director and Katie Merz, Community Services Supervisor Coordinated with: Jane Chambers, City Manager and David Rapport, City Attorney Attachments: 1. Ordinance 2. Resolution 3. City Code Chapter 7 APPROVED: Ja Chambers, City Manager There are existing park locations where smoking and smoking related litter have become a considerable concern to health and safety. Ukiah is a dry climate and is home to a variety of tree and plant species as well as historic structures. The element of fire and fire hazard is a great health and safety concern. In addition, the parks maintenance staff spend a significant amount of time cleaning and removing cigarette butts. With the reduction of smoking related litter the parks maintenance staff could redirect their time to park beautification and maintenance. The proposed Ordinance (Attachment #1) and the proposed Resolution (Attachment #2) have been reviewed by the Parks, Recreation and Golf Commission as well as the City Attorney. The item was first discussed with the Commission in late 2007 where meeting discussions included locations, ordinance language, health and safety concerns and so forth. The Commission reviewed language from neighboring City's and District's where smoking is prohibited in parks. Some of these include the City of Willits, City of Santa Rosa, Town of Windsor, and City of Arcata. The Commission has recommended that City Council adopt the ordinance and resolution as presented here. The Museum Guild and the Ukiah Police Department in collaboration with the Parks Maintenance Division have expressed concern for the safety of the Sun House facility in regards to fire danger. Likewise these groups have reported excessive cigarette litter at the Carpenter Hudson Park location. Both the Museum Guild and the Ukiah Police Department recommend the adoption of the Ordinance and Resolution to address these critical concerns. The proposed locations as specified in the Resolution include Carpenter Hudson Park, Alex R Thomas Plaza and the Sports Field Area at the Ukiah Sports Complex. In each of these locations anon-smoker is impacted by smoking in these small park areas. For example a nonsmoker viewing a sporting event at the Sports Complex is directly impacted by an individual smoking in the bleachers or dug-out. Therefore, the proposed Resolution limits smoking at the Ukiah Sports Complex to the parking lot. Likewise, the Alex R Thomas Plaza and the Carpenter Hudson Park are small areas where smoke travels and impacts all users at those locations. In a continued effort to solicit community input, staff has noticed this public hearing in the Ukiah Daily Journal on Friday July 25 and Saturday July 26. Staff is recommending the introduction of the Ordinance adding section 4502.5 to Division 5, Chapter 7, Article 2 of the Ukiah Gity Code, Prohibiting Smoking within Certain City Owned Parks and/or City Sponsored Events. Staff is also recommending the introduction of the Resolution Designating Parks where Smoking is Prohibited. Both the Ordinance and Resolution will return to Council on August 20 for proposed adoption, or Council may remit to staff with further direction. Attachment # __ /_ ORDINANCE NO. ORDINANCE OF THE CITY COUNCIL OF THE CITY OF UKIAH ADDING SECTION 4502.5 TO DIVISION 5, CHAPTER 7, ARTICLE 2 OF THE UKIAH CITY CODE, PROHIBITING SMOKING WITHIN CERTAIN CITY OWNED PARKS AND/OR CITY SPONSORED EVENTS. The City Council of the City of Ukiah hereby ordains as follows: SECTION ONE. FINDINGS: The City Council finds that the prohibition of smoking in enclosed and unenclosed areas within certain City owned parks and/or City sponsored events is necessary to protect public health and safety. The purpose of this ordinance is to: 1. Reduce the risk of fire and/or smoking related safety issues; 2. Reduce smoking-related litter and pollution; and 3. Protect the right of nonsmokers to breathe smoke-free air, and recognize that the need to breathe smoke-free air shall have priority over the desire to smoke. SECTION TWO. SECTION 4502.5 IS HEREBY ADDED TO ARTICLE 2 OF CHAPTER 7 OF DIVISION 5 OF THE UKIAH CITY CODE TO READ AS FOLLOWS: 4502.5: APPLICATION OF CHAPTER TO CITY-OWNED PARKS AND/OR CITY SPONSORED EVENTS: Smoking is prohibited in certain areas, whether enclosed or unenclosed, within any City owned parks and/or City sponsored events where designated as non- smoking areas by resolution of the City Council. The prohibition shall apply upon adoption of the resolution and the posting of signs in one or more prominent locations within the park and/or event area containing substantially the following: "SMOKING PROHIBITED BY UCC SECTION 4502.5" or "NO SMOKING [UCC SECTION 4502.5]." SECTION THREE 1. COMPLIANCE WITH CEQA. The City Council finds that this ordinance is not subject to the California Environmental Quality Act ("CEQA") pursuant to Sections 15060(c)(2) (the activity will not result in a direct or reasonably 1 foreseeable indirect physical change in the environment), 15061(b)(3) (there is no possibility the activity in question may have a significant effect on the environment. 2. SEVERABILITY. If any provision of this ordinance or the application thereof to any person or circumstance is held invalid, the remainder of the ordinance and the application of such provision to other persons or circumstances shall not be affected thereby. The City Council hereby declares that it would have adopted this Ordinance and any section, subsection, sentence, clause or phrase thereof irrespective of the fact that any one or more sections, subsections, sentences, clauses or phrases be declared unconstitutional or otherwise invalid. 3. EFFECTIVE DATE. This Ordinance shall be published as required by law in a newspaper of general circulation in the City of Ukiah, and shall become effective thirty (30) days after its adoption. Introduced by title only on , 2008, by the following roll call vote: AYES: NOES: ABSENT: ABSTAIN: Adopted on , 2008, by the following roll call vote: AYES: NOES: ABSENT: ABSTAIN: Douglas F. Crane, Mayor ATTEST: Linda Brown, City Clerk Attachment # ~- RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF UKIAH DESIGNATING PARKS WHERE SMOKING IS PROHIBITED. WHEREAS, 1. The City Council has adopted Ordinance No. ,which has added Section 4502.5 to the Ukiah City Code ("UCC"); and 2. UCC §4502.5 authorizes the City Council to enact one or more resolutions designating City Parks and/or City sponsored events, where smoking is prohibited in both enclosed and unenclosed areas within the park and/or event; and 3. The City Council has determined that it will protect the public health and safety to prohibit smoking in the parks designated herein, because smoking in these parks has posed an undue risk of fire and/or smoking related safety concerns, smoking-related litter and pollution, and nonsmokers breathing second hand smoke; NOW, THEREFORE, BE IT RESOLVED as follows: Smoking shall be prohibited in the following designated park areas within the City: Alex R. Thomas Plaza. Smoking shall be prohibited within the Alex R. Thomas Plaza. For purposes of this paragraph, the "Plaza," refers to the area located in Ukiah and bordered by Clay Street to the south, Standley Street to the north, State Street to the west and School Street to the east. The Plaza extends through and includes all sidewalks adjacent to the Plaza lawn areas to the curb of the streets specified herein. Carpenter Hudson Park. Smoking shall be prohibited within the Carpenter Hudson Park. Carpenter Hudson Park includes the park area at 431 S. Main Street. The no smoking designation for Carpenter-Hudson Park will include the entire park area containing landscaping, pathways, benches, out buildings as well as the area surround the Grace Hudson Museum building, and the Sun House building. Smoking shall be prohibited in all spaces outside of the parking lot. Ukiah Sports Complex. Smoking shall be prohibited at the Ukiah Sports Complex located at River Road Exit. The no smoking designation for the Ukiah Sports Complex includes the gated sports area with fields, bleachers, tables, bathrooms, concessions and out buildings. Smoking shall be prohibited in all spaces outside of the parking lot. This resolution becomes effective on and after the effective date of the ordinance. PASSED AND ADOPTED by the Ukiah City Council on 2008, by the following roll call vote: AYES: NOES: ABSTAIN: ABSENT: Douglas F. Crane, Mayor ATTEST: Linda Brown, City Clerk 2 Page 1 of $ Attachment # CHAPTER 7 NO SMOKING ARTICLE 1. TITLE, FINDINGS AND DEFINITIONS 31 4500: TITLE: This Chapter shall be known as the NO SMOKING CHAPTER of the Ukiah City Code. (Ord. 760, adopted 1981) 4501: LEGISLATIVE FINDING: A. Numerous studies have found that tobacco smoke is a major contributor to indoor air pollution and that breathing environmental tobacco smoke is a cause of disease, including lung cancer, in nonsmokers. B. Health hazards induced by breathing environmental tobacco smoke include lung cancer, heart disease, respiratory infection, decreased respiratory function, bronchoconstriction and bronchospasm. C. The American Medical Association, former U.S. Surgeon Generals C. Everett Koop, M.D. and Antonia Movello, Health and Human Services, Dr. Louis Sullivan, have publicly denounced the tobacco industry for targeting children, teens, women and members of racial and ethnic minority groups in its advertising and promotions and have called for local, State and Federal action to prevent the tobacco industry from targeting these individuals, especially youth. D. Based on the weight of available scientific evidence, the U.S. Environmental Protection agency (EPA) has concluded that the widespread exposure to environmental tobacco smoke in the United States presents a serious and substantial public health impact. E. The purposes of this Chapter are to: 1. Protect the public health and welfare by prohibiting smoking in public places and places of employment; 2. Guarantee the right of nonsmokers to breathe smoke-free air, and recognize that the need to breathe smoke-free air shall have priority over the desire to smoke; and 3. Reduce access of persons under eighteen (18) years of age to tobacco products by restricting their access to tobacco products. (Ord. 760, adopted 1981; amd. Ord. 942, §1, adopted 1993) 4501.5: DEFINITIONS: The following words shall have the following meanings whenever used in this Chapter: BAR. An area which is devoted to the serving of alcoholic beverages for consumption by http://66.113.195.234/CA/Ukiah/docbar.htm 1!24!2008 Page 2 of 8 guests on the premises and in which the serving of food is only incidental to the consumption of such beverages. Although a restaurant may~contain a bar, the term "bar" shall not include the restaurant dining area. A "bar", for the purpose of this definition, does not include any establishment where tobacco smoke can filter into a restaurant through a passageway, ventilation system or any other means. BUSINESS. Any sole proprietorship, partnership, joint venture, corporation or other business entity formed for profit-making purposes, including retail establishments where goods or services are sold as well as professional corporations and other entities where legal, medical, dental, engineering, architectural or other professional services are delivered. CITY. The City of Ukiah. EMPLOYEE. Any person who is employed by any employer and any person who volunteers his or her services for a nonprofit entity. EMPLOYER. Any person, partnership, association, corporation or nonprofit entity, which employs one or more persons for compensation. ENCLOSED AREA. All space between a floor and ceiling which is enclosed on all sides by solid walls or windows (exclusive of door or passage ways) which extend from the floor to the ceiling, including all space therein screened by partitions which do not extend to the ceiling or are not solid. PLACE OF EMPLOYMENT. Any enclosed area under the control of an employer which employees normally frequent during the course of employment, including but not limited to, work areas, employee lounges and rest rooms, conference and class rooms, employee cafeterias and hallways. A private residence is not a "place of employment" unless it is used as a child care or health care facility. PUBLIC PLACE. Any enclosed area to which the public is invited or in which the public is permitted, including but not limited to banks, educational facilities, health facilities, Laundromats, public transportation facilities, reception areas, restaurants, retail food production and marketing establishments, retail service establishments, retail stores, theaters and waiting rooms. A private residence is not a "public place". RESTAURANT. Any coffee shop, cafeteria, sandwich stand, private and public school cafeteria, and any other eating establishment which gives or offers for sale food to the public, guests or employees, as well as kitchens in which food is prepared on the premises for serving elsewhere, including catering facilities, except that the term "restaurant" shall not include a cocktail lounge or tavern if said cocktail lounge or tavern is a "bar" as defined in this Section. RETAIL TOBACCO STORE. A retail store utilized primarily for the sale of tobacco products and accessories and in which the sale of other products is merely incidental. SELF-SERVICE MERCHANDISING. Open promotional displays of tobacco products and point-of-purchase tobacco promotional displays to which the public has direct access without the assistance of an employee. SMOKING: Inhaling, exhaling, burning or carrying any lighted cigar, cigarette, weed, plant or hrip://66.113.195.234/CA/Ukiah/docbaz.htm 1(24!2008 Page 3 of 8 other combustible substance in any manner or in any form. SPORTS ARENA: The enclosed portions of sports pavilions, gymnasiums, health spas, boxing arenas, swimming pools, roller and ice rinks, bowling alleys and other similar places where members of the general public assemble either to engage in physical exercise, participate in athletic competition or witness sports events. TOBACCO VENDING MACHINE. Any electronic or mechanical device or appliance the operation of which depends upon the insertion of money, whether in coin or paper currency, or other things representative of value, which dispenses or releases a tobacco product. TOBACCO PRODUCT. Any tobacco cigarette, cigar, pipe tobacco, smokeless tobacco, snuff or any other form of tobacco which maybe utilized for smoking, chewing, inhalation or other manner of ingestion. VENDOR-ASSISTED. Only a store employee has access to the tobacco product and assists the customer by supplying the product. The customer does not take possession of the product until it is purchased. (Ord. 942, §1, adopted 1993) ARTICLE 2. PROHIBITION OF SMOKING IN CITY OWNED FACILITIES 32 4502: APPLICATION OF CHAPTER TO CITY-OWNED FACILITIES: Smoking is prohibited in ali places of employment and public places owned by the City. (Ord. 942, §1, adopted 1993) ARTICLE 3. PROHIBITION OF SMOKING IN ENCLOSED PLACES AND IN PLACES OF EMPLOYMENT 33 4503: PROHIBITION OF SMOKING IN ENCLOSED PLACES AND IN PLACES OF EMPLOYMENT: Smoking shall be prohibited in all public places within the City, including the following places: A. Elevators. B. Buses, taxicabs and other means of public transit under authority of the City, and ticket, boarding and waiting areas of public transit depots. C. Rest rooms. D. Service lines. E. Retail stores. F. All areas available to and customarily used by the general public in all businesses and http;//66.1 13.195.234/CA/Ukiah/docbaz,htm 1 /24/2008 Page 4 of 8 nonprofit entities patronized by the public, including but not limited to attorneys offices and other offices, banks, laundromats, hotels and motels. G. Restaurants. H. Public areas of galleries, libraries and museums, when open to the public. I. Any facility which is primarily used for exhibiting any motion picture, stage, drama, lecture, musical recital or other similar performance. J. Sports arenas and convention halls. K. Every room, chamber, pace of meeting or public assembly, including school buildings under the control of any board, council, commission, committee, including joint committees, or agencies or any political subdivision of the State during such time as a public meeting is in progress, to the extent such place is subject to the jurisdiction of the City. L. Waiting rooms, hallways, wards and rooms of health facilities, including but not limited to hospitals, clinics, physical therapy facilities, doctors' offices and dentists' offices. (Ord. 942, §1, adopted 1993) ARTICLE 4. REGULATION OF SMOKING IN PLACES OF EMPLOYMENT 34 4504: REGULATION OF SMOKING {N PLACES OF EMPLOYMENT: A. It shall be the responsibility of employers to provide asmoke-free work place for all employees, but employers are not required to incur any expense to make structural or other physical modifications. B. Within ninety (90) days of the effective date of the amendments to Chapter 7, Division 5 of this Code, each employer having an enclosed place of employment located within the City shall adopt, implement, make known and maintain a written smoking policy which shall contain the following requirements: Smoking shall be prohibited in all enclosed facilities within a place of employment without exception. This includes common work areas, auditoriums, classrooms, conference and meeting rooms, private offices, elevators, hallways, medical facilities, cafeterias, employee lounges, stairs, rest rooms, company owned or leased vehicles, and all other enclosed facilities. C. The smoking policy shall be communicated to all employees within three (3) weeks of its adoption. D. All employers shall supply a written copy of the smoking policy, upon request, to any existing or prospective employee. E. 1t shall be unlawful and constitute a violation of this Chapter for any employer to fail to adopt the policy required by this Section or for any person to violate the policy. (Ord. 942, §1, http://66.113.195.234/CA/Ukiah/docbar.htm 1/24(2008 Page 5 of 8 adopted 1993) 4504.5: TOBACCO VENDING MACHINES: Except as otherwise provided in this Section, no person, business or tobacco retailer shall locate, install, keep, maintain or use or permit the location, installation, keeping, maintenance or use on his, her or its premises any tobacco vending machine for the purpose of selling or distributing any tobacco product. Cigarette vending machines located in areas from which children under eighteen (18) years of age are prohibited shall be exempt from this restriction. Any cigarette vending machine located in such an area must be placed thirty feet (30') or greater from the entrance to such an establishment. Any tobacco vending machine in use on the effective date of this Article shall be removed within thirty (30) days after the effective date of the amendments to this Chapter. (Ord: 942, §1, adopted 1993} 4504.6: SELF-SERVICE MERCHANDISING PROHIBITED: It shall be unlawful for any person, business or tobacco retailer to sell, permit the sale, offer for sale or display for safe tobacco products by means of self-service merchandising or by means other than vendor-assisted sales. Cartons of cigarettes, mufti-container packages of smokeless tobacco, cigars and pipe tobacco are exempt from this regulation. (Ord. 942, §1, adopted 1993) 4504.7: SALE OF TOBACCO PRODUCTS TO MINORS: A. Any person, business, tobacco retailer or other establishment subject to this Article shall post plainly visible signs at the point of purchase of tobacco products which state: THE SALE OF TOBACCO PRODUCTS TO PERSONS UNDER EIGHTEEN YEARS OF AGE IS PROH{B{TED BY LAW, PHOTO ID IS REQUIRED. The letter of said sign should be at least one-quarter inch (1/4") high B. No person, business, tobacco retailer or owner, manager or operator of any establishment subject to this Article shall sell, offer to sell or permit to be sold any tobacco product to an individual without requesting and examining identification establishing the purchaser's age as eighteen (18) years or greater unless the seller has some reasonable basis for determining the buyer's age. (Ord. 942, §1, adopted 1993) 4505: AREAS WHERE SMOKING IS NOT REGULATED: A. Notwithstanding any other provision of this Chapter to the contrary, the following areas shall not be subject to the smoking restrictions of this Chapter: 1. Bars. Bars which are not physically attached to any other business are exempt from the smoking restrictions contained in this Chapter. Bars that are physically attached to a building or buildings containing restaurants or other businesses shall not be subject to smoking restrictions; provided, the following: a. The bar area is not the principal waiting area for the restaurant; http://66.113.195.234/CA/Ukiah/docbaz.htm 1 /24/2008 Page 6 of 8 b. Restaurant patrons do not have to walk through the bar to gain access into the restaurant; c. The bar and the restaurant have separate ventilation systems; and d. Persons under twenty one (21) years of age are prohibited from the bar area. 2. Private residences, except when used as a child care or health care facility. Single person businesses conducted from private residences shall not be subject to smoking restrictions. 3. Retail tobacco stores. 4. Restaurants, hotel and motel conference or meeting rooms and public and private assembly rooms while these places are being used for private functions. 5. Hotel and motel rooms rented to guests. 6. Semi-private or private rooms and wards in hospitals, if all occupants agree. 7.On a stage when smoking is part of the stage production. B. Notwithstanding any other provision of this Section, any owner, operator manager or other person who controls any establishment described in this Section may declare that entire establishment as a nonsmoking establishment, or may designate certain rooms as no smoking areas. It shall be unlawful and constitute a violation of this Chapter for any person to smoke in violation of any policy adopted under this subsection B; provided, signs ~, declaring the area a 'No Smoking Area are conspicuously posted in that area as required by Section 4506 of this Chapter. (Ord. 942, §1, adopted 1993) ARTICLE 5. POSTING REQUIRED 35 4506: POSTING OF SIGNS: The owner, operator, manager or other person having control shall post in conspicuous locations "No Smoking" signs with letters of not less than one inch (1 ") in height or the international "No Smoking" symbol (consisting of a pictorial representation of a burning cigarette enclosed in a red circle with a red bar across it) in every room, building or other place where smoking is regulated by this Chapter. Such signs shall also be posted at the exterior entrances on all businesses regulated by this Chapter. (Ord. 942, §1, adopted 1993) ARTICLE 6. ENFORCEMENT 3s 4507: ENFORCEMENT: A. Enforcement of this Article shall be implemented by the Mendocino County Department of Public Health, acting as the City Health Department pursuant to the agreement between the City and Mendocino County dated February 15, 1952. http://66.113.195.234/CA/Ukiah/docbar.htm 1124!2008 Page 7 of 8 B. Any citizen who desires to register a complaint under this Chapter may initiate enforcement with the Mendocino County Department of Public Health. C. The Public Health Department shall require, while an establishment is undergoing otherwise mandated inspections, a "self-certification" from the owner, manager, operator or other person having control of such establishment that all requirements of this Article have been complied with. D. Any owner, manager, operator or employee of any establishment regulated by this Article may inform persons violating this Article of the appropriate provisions thereof. (Ord. 942, §1, adopted 1993) 4507.1: PENALTY FOR VIOLATING CHAPTER: A. It shall be unlawful for any person who owns, manages, operates or otherwise controls the use of any premises subject to regulation under this Chapter to fail to comply with any of its provisions. B. It shall be unlawful for any person to smoke in any area where smoking is prohibited by the provision of this Chapter. C. Any person who violates any provision of this Chapter shall be guilty of an infraction, punishable by: 1. A fine not exceeding one hundred dollars ($100.00) for a first violation. 2. A fine not exceeding two hundred dollars ($200.00) for a second violation of this Chapter within one year. 3. A fine not exceeding five hundred dollars ($500.00) for each additional violation of this Chapter within one year. D. A private right of action is hereby created. Any person may bring an action against any person described in subsections A or B of this Section. In addition to any other remedies provided by faw a Court hearing such an action may enjoin any person or business from violating any provision of this Chapter andlor award a statutory penalty not to exceed five hundred dollars ($500.00) for each violation. (Ord. 942, §1, adopted 1993) 4507.2: NONRETALIATION: No person or employer shall discharge, refuse to hire or in any manner retaliate against any employee or applicant for employment because such employee or applicant exercises any right to a smoke free environment afforded by this Chapter. (Ord. 942, §1, adopted 1993) 4507.3: PUBLIC EDUCATION: The Mendocino County Department of Public Health shall engage in a continuing program to explain and clarify the purposes and requirements of this Chapter to citizens affected by it, and to guide owners, operators and managers in their compliance with it. Such programs may http://66.113.195.234/CA/Ukiah/docbar.hhn 1!24/2008 Page 8 of 8 include publication of a brochure for affected businesses and individuals explaining the provisions of this Chapter. (Ord. 942, §1, adopted 1993) 4507.4: OTHER APPLICABLE LAWS: This Article shall not be interpreted or construed to permit smoking where it is otherwise restricted by other applicable laws. (Ord. 942, §1, adopted 1993) ARTICLE 7. FORCE AND EFFECT 4508: NO PREEMPTION: This Chapter shall not be interpreted to permit smoking where it is otherwise restricted by law. (Ord. 760, adopted 1981) s7 4509: SEVERABILITY: If any provision of this Article or the application thereof to any person or circumstance is held invalid, such invalidity shall not affect other provisions or applications of this Article which can be given effect without the invalid provisions or application, and to this end the provisions of this Article are severable. (Ord. 760, adopted 1981) http://66.113.195.234/CA/Ukiatildocbaz.htm 1/24!2008 ITEM NO 10a DATE: August6.2008 AGENDA SUMMARY REPORT SUBJECT: ADOPTION OF ORDINANCE AMENDING THE CITY OF UKIAH'S FIRE- ONLY PERS CONTRACT TO 3% @ 55 At its July 2, 2008 meeting, the City Council adopted a Resolution of Intention to Authorize Amendment to the contract between the Board of Administration of the Public Employees' Retirement System (PERS) and the City Council of the City of Ukiah to provide Section 21363.1 - 3% @ 55 benefits for its Fire-Only members, with all costs covered by the Fire Unit employees. The Ordinance authorizing the amendment was introduced at the July 2, 2008 Council meeting. Upon final adoption of the Ordinance by Council, the proposed contract amendment will become effective on or about September 7, 2008. Staff recommends adoption of the Ordinance authorizing amendment of the Fire-Only PERS Contract to provide 3% @ 55 benefits, effective September 7, 2008. RECOMMENDED ACTION: Adopt Ordinance Authorizing an Amendment to the Fire-Only Contract Between the City Council of the City of Ukiah and the Board of Administration of the California Public Employees' Retirement System. ALTERNATIVE COUNCIL POLICY OPTIONS: 1. Do not adopt Ordinance and provide direction to Staff. 2. Refer to Staff for further information. Citizen Advised: N/A Requested by: City of Ukiah Flre Unit Prepared by: Melody Harris, Director of Human Resources Coordinated with: Jane Chambers, City Manager Attachments: 1. Ordinance Authorizing Amendment to PERS Fire-Only Contract 2. Amendment to Contract v APPROVED: `- ~ Ja Chambers, City Manager 3: MO U W SR3@55adoptortl Aflachment # ORDINANCE NO. AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF UKIAH AUTHORIZING AN AMENDMENT TO THE CONTRACT BETWEEN THE CITY COUNCIL OF THE CITY OF UKIAH AND THE BOARD OF ADMINISTRATION OF THE CALIFORNIA PUBLIC EMPLOYEES' RETIREMENT SYSTEM. The City Council of the City of Ukiah does ordain as follows Section 1. An amendment to the contract between the City Council of the City of Ukiah and the Board of Administration, California Public Employees' Retirement System is hereby authorized, a copy ofsaid amendment being attached hereto, marked "Exhibit", and by such reference made a part hereof as though herein set out in full. Section 2. The Mayor of the City Council is hereby authorized, empowered, and directed to execute said amendment for and on behalf of said Agency. Section 3. This Ordinance shall become effective thirty (30) days after the date of its adoption, and prior to the expiration of ten (10) days from the passage thereof shall be published as required by law in the Ukiah Daily Journal, a newspaper of general circulation, published and circulated in the City of Ukiah and thenceforth and thereafter the same shall be in full force and effect. Introduced by title only on July 2, 2008, by the following roll call vote: AYES: Councilmembers Thomas, McCowen, Baldwin, and Mayor Crane NOES: None ABSENT: Councilmember Rodin ABSTAIN: None Adopted on August 6, 2008, by the following roll call vote: AYES: NOES: ABSENT: ABSTAIN: Douglas F. Crane, Mayor Attest: Linda C. Brown, City Clerk 3:\mou\PERE3CSSFireOrd Vii,, c~Exs EXHIBIT Califomia Public Employees' Retirement System AMENDMENT TO CONTRACT Between the Board of Administration California Public Employees' Retirement System and the City Council City of Ukiah The Board of Administration, California Public Employees' Retirement System, hereinafter referred to as Board, and the governing body of the above public agency, hereinafter referred to as Public Agency, having entered into a contract effective August 1, 1962, and witnessed June 4, 1962, and as amended effective January 1, 1973, January 2, 1983, June 30, 1992, May 7, 1999, November 8, 1999, October 5, 2002, October 12, 2003 and May 8, 2005 which provides for participation of Public Agency in said System, Board and Public Agency hereby agree as follows: A. Paragraphs 1 through 15 are hereby stricken from said contract as executed effective May 8, 2005, and hereby replaced 6y the following paragraphs numbered 1 through 15 inclusive: 1. All words and terms used herein which are defined in the Public Employees' Retirement Law shall have the meaning as defined therein unless otherwise specifically provided. "Normal retirement age" shall mean age 55 for local miscellaneous members, age 55 for local fire members and age 50 for local police members. ~~ C;iJL V~ I'~J f ~i~~~ L,~\i 11eJI! lii:_ 2. Public Agency shall participate in the Public Employees' Retirement System from and after August 1, 1962 making its employees as hereinafter provided, members of said System subject to all provisions of the Public Employees' Retirement Law except such as apply only on election of a contracting agency and are not provided for herein and to all amendments to said Law hereafter enacted except those, which by express provisions thereof, apply only on the election of a contracting agency. 3. Employees of Public Agency in the following classes shall become members of said Retirement System except such in each such class as are excluded by law or this agreement: a. Local Fire Fighters (herein referred to as local safety members); b. Local Police Officers (herein referred to as local safety members); c. Employees other than local safety members (herein referred to as local miscellaneous members). 4. In addition to the classes of employees excluded from membership by said Retirement Law, the following classes of employees shall not becrome members of said Retirement System: NO ADDITIONAL EXCLUSIONS 5. The percentage of final compensation to be provided for each year of credited prior and current service for local miscellaneous members in employment before and not on or after October 12, 2003 shall be determined in accordance with Section 21354 of said Retirement Law, subject to the reduction provided therein for service prior to December 31, 1982, termination of Social Security, for members whose service has been included in Federal Social Security (2% at age 55 Full and Modified). 6. The percentage of final compensation to be provided for each year of credited prior and current service far local miscellaneous members in employment on or after October 12, 2003 shalt be determined in accordance with Section 21354.5 of said Retirement Law, subject to the reduction provided therein for service prior to December 31, 1982, termination of Social Security, for members whose service has been included in Federal 5ocia15ecurity (2.7% at age 55 Full and Modified). -sr~•F UV {t!1~1Ji_~(~t{CI:_~1 Jii V~._.. ~f~~V ! 7. The percentage of final compensation to be provided for each year of credited prior and current service as a local fire member shall be determined in accordance with Section 21363.1 of said Retirement Law (3% at age 55 Fuli). 8. The percentage of final compensation to be provided for each year of credited prior and current service as a local police member shall be determined in accordance with Section 21362.2 of said Retirement Law (3% at age 50 Full). 9. Public Agency elected and elects to be subject to the following optional provisions: a. Section 20042 (One-Year Final Compensation). b. Section 20965 (Credit for Unused Sick Leave). c. Section 21573 (Third Level of 1959 Survivor Benefits) for local miscellaneous members and local fire members only. d. Sections 21624, 21626 and 21628 (Post-Retirement Survivor Allowance). e. Section 2D516 (Employees Sharing Cost of Additional Benefits): Section 20042 (One-Year -Final Compensation); Section 20965 (Credit for Unused Sick Leave); and Sections 21624, 21626 and 21628 (Post-Retirement SurvivorAllowance). From and after January 2, 1983 the safety employees of Public Agency shall be assessed an additional 1% of their compensation for a total contribution rate of 1D% pursuant to Government Code Section 20516. f. Section 21024 (Military Service Credit as Public Service). g. Section 20503 (To Remove the Exclusion of Employees Who are Paid on an Hourly, Per Diem, or Weekly Basis While Being Employed on a Temporary, Emergency or Seasonal Basis, Prospectively from November 8, 1999). h. Section 21574 (Fourth Level of 1959 Survivor Benefits) for local police members only. 'ALL-F ~L GG i~l~ i W; ,P: ~,.; ~: r 10. Removal of the exclusion of "Employees Who are Paid on an Hourly, Per Diem or Weekly Basis While Being Employed on a Temporary, Emergency or Seasonal Basis", pursuant to Section 20503, is declarative of agency's previous interpretation and does not mandate any new classes of employees into membership. 11. Public Agency, in accordance with Govemment Code Section 20790, ceased to be an "employer" for purposes of Section 20834 effective on January 2, 1983. Accumulated contributions of Public Agency shall be fixed and determined as provided in Govemment Code Section 20834, and accumulated contributions thereafter shall be held by the Board as provided •in Government Code Section 20834. 12. Public Agency shall contribute to said Retirement System the contributions determined by actuarial valuations of pdor and future service liability wfth respect to local miscellaneous members and local safety members of said Retirement System. 13. Public Agency shall also contribute to said Retirement System as follows: a. Contributions required per covered member on account of the 1959 Survivor Benefds provided under Section 21573 of said Retirement Law. (Subject to annual change.) In addition, all assets and liabilities of Public Agency and its employees shall be pooled in a single account, based on term insurance rates, for survivors of all local miscellaneous members and local fire members. b. Contributions required per covered member on account of the 1959 Survivor Benefds provided under Section 21574 of said Retirement Law. (Subject to annual change.) In addition, all assets and liabilities of Public Agency and its employees shall be pooled in a single account, based on term insurance rates, for survivors of all local police members. c. A reasonable amount, as fixed by the Board, payable in one installment within 80 days of date of contract to cover the costs of administering said System as it affects the employees of Public Agency, not including the costs of special valuations or of the periodic investigation and valuations required by law. d. A reasonable amount, as fixed by the Board, payable in one installment as the occasions arise, to cover the costs of special valuations on account of employees of Public Agency, and costs of the periodic investigation and valuations required by law. 14. Contributions required of Public Agency and its employees shall be subject to adjustment by Board on account of amendments to the Public Employees' Retirement Law, and on account of the experience under the Retirement System as determined by the periodic investigation and valuation required by said Retirement Law. 15. Contributions required of Public Agency and its employees shall be paid by Public Agency to 'the Retirement System within fifteen days after the end of the period to which said contributions refer or as may be prescribed by Board regulation. If more or less than the correct amount of contributions is paid for any period, proper adjustment shall be made in connection with subsequent remittances. Adjustments on account of errors in contributions required of any employee may be made by direct payments between the employee and the Board. B. This amendment shall be effective on the day of , BOARD OF ADMINISTRATION ,,~ ~~, PUBLIC EMPLOYEES' RETIR ~IiENT"SYSTEM . ~..., . ^~ t, , LORI MCGAE~TLAND, CHIEF EMPLOY.L~2;SERVICES DIVISION PUBLIC: EMPLOYEES' RETIREMENT SYSTEM CITY COUNCIL CITY OF UKIAH BY PRESIDING OFFICER ,,{ :~.•:;'.- irt ` J .~ ``i~ :J, e. ~>; n?.~ V .^i J~yia >.~•- ; t Wine's ` a"te _ ~,..; A~test: Clerk AMENDMENT ER#OM1&5 PERSCCN•752A (Rev. 10105) ITEM NO. iob DATE: August 6, 2008 AGENDA SUMMARY REPORT SUBJECT: DISCUSSION AND DIRECTION REGARDING IMPLEMENTATION OF THE REMEDIAL ACTION PLAN FOR THE CORPORATION YARD UNDERGROUND STORAGE TANK CLEANUP SUMMARY: On June 4, 2008 staff brought forward the issue of how to proceed with the contamination related to the underground storage tanks removed from the corporation yard in July 1997. Although the discussion identified many issues associated with this project, staff is unclearwith the direction that the City Council would like to proceed with this project. Since that meeting staff has done investigation into the issues that were discussed. Also staff has received a proposal from LACO Associates for the work. This proposal was unsolicited so staff has spent a limited amount of time reviewing it. Staff believes that the Council needs to provide direction to solicit proposals from all available vendors if we intend to change our consultant at this time. Staff has attempted to combine the comments of the Council to formulate the recommended action. This recommendation is an attempt to satisfy all concerned parties and give all eligible contractors who perform this type of work the opportunity to compete for those portions of this project. It should be noted that staff estimates that the process will take two years to accomplish with the formal bidding of the construction items. HISTORY: As part ofthe continued work at the Corporation Yard, EBA Engineering (EBA) submitted a Remedial Action Plan (RAP) to the North Coast Regional Water Quality Control Board (NCRWQCB) Continue on Page 2 RECOMMENDED ACTION: 1) Direct the City Manager to negotiate an amendment to the existing EBA agreement for the services as approved by the California Underground Storage Tank Cleanup Fund. 2) Direct staff to work with the City Attorney and the Purchasing Department to identify which tasks should be formally bid and proceed with that process. ALTERNATIVE COUNCIL POLICY OPTIONS: Direct Staff to issue a request for proposal to select a consultant to administer the RAP Citizen Advised: N / A Requested by: Tim Eriksen, Director of Public Works /City Engineer Prepared by: Tim Eriksen, Director of Public Works /City Engineer Coordinated with: Jane Chambers, City Manager, Rick Seanor, Deputy Director of Public Works Attachments: 1. November 5, 2007 letter from NCRWQCB 2. Cost Estimate/Scopes of Work from EBA Engineering APPROVED: I J n Chambers, City Manager Page 2 DISCUSSION AND DIRECTION REGARDING IMPLEMENTATION OF THE REMEDIAL ACTION PLAN FOR THE CORPORATION YARD UNDERGROUND STORAGE TANK CLEANUP in June 2007 to address the contamination related to the underground storage tanks removed from the corporation yard in July 1997. The NCRWQCB responded with a letter dated November 5, 2007 accepting the scope of work identified in the RAP. Subsequently, EBA submitted a request for pre- approval of the corrective action costs to the State Underground Storage Tank (UST) Cleanup Fund. On April 30, 2008, the State UST Cleanup Fund notified staff that the total costs for completing the work identified in the RAP were pre-approved as eligible for reimbursement. At the June 4, 2008 three options were discussed. 1. The first option was to proceed with EBA as our consultant and use the contractors that were provided and approved in the Pre Approval document. This process would take approximately a year to complete. 2. The second option was to have staff take the lead on this project and prepare requests for bids for the various scopes of work identified in the RAP. Since the particular scopes of work involve highly technical processes and complex equipment purchases and installation, staff anticipates, given current workload, that it would require approximately four years to complete the entire scopes of work identified in the RAP. 3. The last option was to provide an RFP for a new consultant. EBA provided a cost estimate for completing the various scopes of work identified in the RAP, which was presented at the June 4 meeting. EBA has the staff resources and technical background to complete this work within aone-year period. In addition, with EBA's expertise in submitting reimbursement requests, the City has received a total reimbursement of $557,420 from the State UST Cleanup Fund. The City has been pre-approved for completing the RAP and anticipates full reimbursement from the State UST Cleanup Fund. In addition, the City has pollution liability insurance coverage for the Corporation Yard. Staff therefore expects full reimbursement of all expenses related to this project. Attachment # 1. California Regional Water Quality Control Board North Coast Region John W. Corbett, Chairman vvww.waferboards.ea.gov/northcoasi Linda S. Adams 5550 Skylane Boulevard, Suke A Santa Rosa, Califomla 95403 Amold Secretary/or Phone: (877) 721-9203 (toll free) • Office: rT07) 57&2220 • FAX: (707) 52&0135 Schwarzenegger Environmental Protection Governor November 5, 2007 RECEIVED Mr. Richard Seanor NOU - 6 2DD7 City of Ukiah Department of Public Works CITY OF UKIAH 300 $eminafy DrIVe DEPT. OF PUBLIC WORKS Ukiah, CA 95482 Dear Mr. Seanor: Subject: Comments on Remedial Action Plan File: Ukiah City Corporation Yard, 1320 Airport Road, Ukiah, CA, Case No. 1TMC201 Regional Water Board staff has reviewed the following documents submitted by EBA Engineering (EBA) for the subject site: 1. Report of Investigation, dated April 23, 2007; 2. Remedial Action Plan (RAP), dated June 2007; 3. Second Quarter 2007 Monitoring and Sampling Report, dated October 19, 2007. Staffs comments regarding the status of the site investigation and the proposed RAP are presented below. Status of the Site Investigation The Report of Investigation (Report) documents the installation of five shallow and four deeper-zone groundwater monitoring wells that were proposed in the December 2005 Feasibility Study and Corrective Action Plan (F5/CAP). The Report states that access to adown-gradient property has been denied for the installation of four monitoring wells that were proposed in the FS/CAP. Subsurtace investigation at the down-gradient property, including the installation of the proposed off-site monitoring wells, appears to be critical to define the extent of groundwater contamination and to assess the potential impacts to nearby sensitive receptors, such as water supply wells. We encourage the City of Ukiah to complete an access agreement for the installation of these wells as quickly as possible to ensure the protection of sensitive potential off-site receptors of groundwater contamination. Please report to our staff the status of negotiations for an access agreement to complete the off-site well installations within thirty days of the date of this letter. 2. Interim Remedial Action Plan Proposal The RAP specifies the system design and implementation plan for the dual-phase extraction (DPE) and ozone sparging (OS) remediation systems that were Ms. Richard Seanor -2- November 5, 2007 Ukiah Department of Public Works recommended in the December 2005 FS/CAP to remove contaminant mass and to control contaminant migration. The RAP includes a plan to discharge treated extracted groundwater to the City of Ukiah's sanitary sewer system. EBA proposes the following scope of work to implement the selected remedial alternatives: a. Completion of a geophysical survey to characterize preferential pathways within the geological formation to help identify the optimal target locations and depths for the proposed DPE and OS wells; b. Installation of the DPE and OS remedial systems, including: (1} seven additional DPE welts; (2) seventeen additional OS wells; (3) associated trenching, piping, and remediation system components; c. Collection, and laboratory bench-scale testing, of soil samples to assess the potential mobilization of constituents of concern under oxidative conditions; d. Collection and analysis of groundwater samples to complete eligibility requirements for General Waste Discharge Requirement Order No. R1-200(i- 0107 for the treatment of soils and groundwater by chemical oxidation; e. Preparation and submittal of a Notice of Intent application for coverage under Order No. R1-2006-0107. Regional Water Board staff concurs with the scope of work presented in the June 2007 RAP. Please inform our staff of the field schedule at least ten days prior to commencing with the work. You may contact me at (707) 576-2469 if you have any questions or comments. Sincerely, y'„„~ ~,Co~l~ Jim Taschler Environmental Scientist 71 o507_JAT_UkiahCorpYard03.let. doc cc: Mr. Wayne Briley, Mendocino County Health Dept., 501 Low Gap Road, Room 1326, Ukiah, CA 95482 Mr. Matthew Earnshaw, EBA Engineering, 825 Sonoma Avenue, Santa Rosa, CA 95404 Mr. Dave Lohse, City of Ukiah Planning and Building Planning Department, 300 Seminary Avenue, Ukiah, CA 95482 Mr. Gary L. Akerstrom, Redwood Business Park of Ukiah, 425 Talmage Road, Ukiah, CA 95482 Ms. Candace Horsley, City Manager, Ukiah Civic Center, 300 Seminary Avenue, Ukiah, CA 95482 California Environmental Protection A4encv o.......d..d o....... Attachment # 2- ENG/NEER/NG C/V/C 8 ENV/RONMENTAC ENG/NEERS May 28, 2008 Mr. Rick Seanor City of Ukiah Department of PublicWorks 300 Seminary Drive Ukiah, CA 95482 SUBJECT: COST ESTIMATE FOR F,NVIRONMENTAL SERVICES REMEDIATION SYSTEM INSTALLATION 1320 AIRPORT ROAD UKiAH, CALIFORNIA EBA Project No. 07-1434 Deaz Mr. Seanor: Please find enclosed a cost estimate for implementation of the recommendations including within EBA Engineering's (EBA) Remedial Action Ptun (RAP) dated June 2007. The North Coast Regional Water Quality Control Board (NCRWQCB) in a letter dated November 5, 2007 approved the RAP. The following sections include a brief discussion of the scopes of work as well as a cost estimate summary. Please refer to EBA's RAP for a more detailed description of the approved scopes. SCOPES OF WORK The scopes of work outlined in the RAP have been subdivided into the following seven phases as listed below. Phase 1: Dual Phase Extraction (APE) l Ozone Sparge (OS) Well Installation and Geophysical Study - Phase f includes the installation of 7 DPE wells and 12 ozone Sparge (OS) wells. Phase l also includes the performance of a geophysical survey in an effort to identify discrete shallow water beazing zones. Phase 2: Bench Testing and Reporting -Phase 2 includes bench testing to evaluate the potential effects of in-situ chemical oxidation (ISCO) using ozone. Phase 2 also includes the preparation of a Notice of Intent (NOI) for the NCRWQCB Waste Discharge Requirement Order No. R1-2006-0107, permit fees and public notification process. Phase 3: Remediation System Permitling/Construction/Installation -Phase 3 includes permitting, construction and installation of the DPElOS remediation system. Remedial system components include a 25-horse power (HP) liquid ring pump (LRP) with control panel, thermal i a~o.w,niau uu,n /~om r+.au~~,~na~ao.m~mla~x mw~ 825 Sonoma Avenue, $uite C Santa Rosa, California 95404 X707) 54.1-0764 FAX 1707) 544.0666 Also in Southern California oxidi2er (thermox) unit, moisture sepazaror tanks, water storage tank, particulate filters, liquid-phase granular activated carbon (GAC) vessels, liquefied propane gas (LPG) tank, OS generator and control panel, 5-HP LRP vacuum air stripper, groundwater sump area with sump pump, and miscellaneous piping, wiring and controls. Also includes new electrical service to aboveground compound. Phase 4: Remediation System Startup/Operations and Maintenance (O&M) -Phase 4 includes remediation system startup, regular scheduled O&M, GAC changeouts, and utilities. Phase 5: System Installation Report -After completion of the system installation, EBA will prepaze a system installation report (SIR) that will document the construction of the system. This report will be submitted to the NCRWQCB. Phase 6: Quarterly Monitoring and Reporting -Ongoing quarterly monitoring and reporting will be provided for four monitoring events. These reports will also be submitted to the NCRWQCB. Phase 7: Soil Disposal - A lump sum amount separated for the disposal of all soil generated as part of Phases I and 3. COST ESTIMATE SUMMARY Cost for the completion of the scope of work as detailed above is $782,247.48. Should you have any questions or comments regarding this cost estimate, please contact EBA at (707)544-0784. Sincerely, EB~ ENGINEERII~,(~ Matthew J~jF~atzt§h~w, P.G. Senior Geologist 1 4n.\mi1UA lRU4 Corp 1'mJLL'omU'ogcv,cm:IXFY.Jix J~~./~I Ehr:/NffRlh'G ~'.~~~ ''•i`/ LEONARD M. OSBOaN - Ci. 36573 ASSOCIATES CHRISTOPHER JOWATT•PG TiH6/CfG2415 _ FRANK R. RICK NSR I ~G 7428 ~ ~ ~ ~ RONALD C. CFIANEV, Ph.D CE 2'3JF7/Ci 00934 July 25, 2008 City of Ukiah 300 Seminary Avenue Ukiah, California 95482 / 6883.01 ~~O / O/~v J G,~ f~~ Attention: Rick Seanor, City Engineer C7' /(J ~J ~ / Subject: Proposal -Environmental Remediation Services f ~ ~~~ J ~ / City of Ukiah Corporation Yard -UST Release / 1320 Airport Road, Ukiah, California f F~Q~ole~l~` Dear Mr. Seanor: Thank you again for our meeting of several weeks past and sharing with John Bergenske and me your current situation with respect to the subject site. We understand you are satisfied with your current level of professional help on this project; however, as we made reference to in our conversation, LACO is in a position to offer you several unique advantages: • Our accomplishments in cleaning up underground storage tank (UST) releases include installing and operating a system similar as what has been proposed for the subject site. This work was performed at an active service station in Eureka, California, with a methyl tertiary butyl ether (MTBE) plume that extends 300 feet offsite, and we achieved over 75 percent reduction to target levels in less than three months and our total fixed price cost to c%se the site is $500,000. This project is funded by private insurance. • We own the equipment necessary to implement the approved Remedial Action Plan (RAP) dated June 27, 2007, prepared by EBA Engineering. Specifically, atrailed-mounted dual-phase extraction unit, truck-mounted air/ozone injection unit, and several skid mounted air/ozone injection units. • Over the last 20 years LACO has performed over $20 million of work reimbursed through the Cleanup Fund and has worked with regional boards to close over 120 sites. We will use these capacities to help you move the Corporation Yard UST release down the pathway to closure towards No Further Action status. Through our review of the case file and conversation with regional board case worker Jim Eureka: 21 W. 4th Street P.0. Box 1023 Eureka, California 95502 707-443-5054 FAX 707-443-0553 Ukiah: 101C N. State Street Ukiah, California 95482 707-462-0222 FAX 707-462-0223 SOD-515-5054 www.lacoassociates.com Proposal -Environmental Remediation Services City of Ukiah Corporation Yard; I.ACO Project No. 6883.01 July 25, 2008 Page 2 Taschler, we understand the leak was "discovered" in 1992 and corrective actions have been ongoing since. According to the State "Geotracker" website, nearly $0.6 million has been reimbursed out of a possible $1.5 million allocated per site. You recently had the Cleanup Fund pre-approve nearly $0.7 million to perform the next phase of cleanup. This brings the anticipated total to be reimbursed after completion of the pre-approved scope of work to about $1.3 million in approximately one year. Here is the potential breakdown: • The existing pre-approval indicates approximately $60 thousand per year is required for ongoing groundwater monitoring and reporting. • The latest report indicated the offsite extent of the plume is not defined. This will require more drilling and sampling work at a cost which I speculate will be over $100 thousand. • The unknown downgradient extent of the plume may produce other cleanup requirements such as protecting surface and domestic water supplies from impact by the plume. • If the cleanup goes beyond one year, operation and maintenance costs will accrue. Given the system operational requirements, these will likely be over $75 thousand per year. Thus, two years from now the possibility of exceeding the $1.5 million cap with several hundred thousand dollars of additional corrective action work required to close the site becomes real and brings forth the end of Cleanup Fund reimbursements. This means the City will need to drawn on other fund sources and even go to a prevailing wage situation because the Cleanup Fund claim has ended. Our offer is to enter into a contract with the City in order to implement the approved RAP. Included in this proposal is apre-approval package with a work scope designed to implement the RAP and perform one year of verification monitoring. Our cost estimate is just under $520 thousand, or over $150 thousand less than the amount currently pre-approved by the Cleanup Fund. We can do this by using our own equipment on the project rather than having you purchase equipment which will likely be used less than two years, completing your reimbursement requests at no charge, and because of our nearly decade-long experience in working with in-situ chemical oxidation cleanup method we are forgoing the bench scale test which we confirmed with Regional Board regulators is nota requirement . Proposal -Environmental Remediation Services City of Ukiah Corporation Yard; LACO Project No. 6883.01 July 25, 2008 Page 3 We appreciate your welcoming us to the Ukiah community and we look forward to .developing a strong working relationship. We will continue to be a possibility for help going forward and look for ways to increase the value of our offers. Thank you for consideration of this proposal and please contact me if you have concerns and/or questions. Sincerely, LACO Associates ~~~ ~ Christopher J. Watt, CEG Environmental Services Director ~W79 P:\6800\6683.01 City of Ukiah Corp Yard\Pre-Approval\Proposal_LETTER.doc July 25, 2008 State Water Resources Control Board Division of Clean Water Programs Underground Storage Tank Cleanup Fund Post Office Box 944212 Sacramento, California 94244-2120 Attention: Mr. David Charter Subject: Pre-approval Request, Implementation of Remedial Action Ptan City of Ukiah Corporation Yazd, 1320 Airport Road, Ukiah, California USTCF Claim No. 018034 Dear Mr. Charter: I am requesting cost pre-approval for implementation of the attached Remedial Action Plan, prepared by EBA Engineering, June, 2007, and approved by the North Coast Regional Water Quality Control Board (NCRWQCB) in a letter of correspondence dated November 5, 2007. Enclosed are the following: 1. California Underground Storage Tank Cleanup Fund Cost Pre-approval Request 2. A cost estimate for implementation of the Remedial Action Plan (RAP) 3. Subcontractor Bid Request documents and copies of Subcontractor Bids 4. Complete signed copy of the approved RAP 5. Copy of oversight agency (NCRWQCB) approval of RAP Pre-Approval #1 Estimated system permitting, construction, start-up, and O & M cost: $ 517,695.26 Implementation Schedule Pre-Approval #I • July 2008 • September 2008 • October 2008 • November 2008 • November 2008 • December 2008 • December 2008 -January 2009 • January 2009 • January -December 2009 Submit pre-approval request #1 Receive pre-approval letter from Fund Scheduling, permitting, and coordination Ozone spazge well installation Extraction well installation Infrastructure construction Start-up test Submit as-built report Quarterly monitoring and reporting I am looking forward to moving this project along towards closure and would greatly appreciate a timely review and response of this submittal. Please call my consultant, Christopher W att of LACO Associates at (707) 443-5054, with any questions regarding this submittal. Pre-approval Request, Implementation of Remedial Action Plan City of Ukiah Corporation Yard, Laco Project 6883.01 Jnly 25, 2008 Page 2 Sincerely, Richard J. Seanor City of Ukiah Department of Public Works Attachments P:\6800\6883.01 Ciry of Ukiah Corp Yard\Pre-Approval\PreApproval_RequesLdoc MA/I tNG ADDRESS: PHYSICAL ADDRESS: STATE WATER RESOURCES CONTROL STATE WATER RESOURCES CONTROL DIVISION OF FINANCIAL ASSISTANCE DIVISION OF FINANCIAL ASSISTANCE UST CLEANUP FUND UST CLEANUP FUND P.O. BOX 944212 1001 I STREET SACRAMENTO, CA 942442120 SACRAMENTO, CA 95814 COST PRE-APPROVAL REQUEST (Complete form, enclose required items, sign, date, and return) Mail to: USTCF, PO Box 944212, Sacramento, CA 94244 or Fax to: (916) 341-5806 I. CLAIM INFORMATION Claim No. 018034 County or Regional Board: Nonn coast Ree;onal water ouaGro connnl Boara Claimant: City of Ukiah Corrooration Yard Contact Person: Richard J. Seanor Phone: (7071463-6296 Address: 300 Seminary Avenue Ukiah. Califomia 95482-5400 Consultant: Laco Associates (ATTN• C. Wattl Address: 21 W 4'h Street Eureka. CA 95501 II. TYPE OF REQUEST (check appropriate boxes) Fax: (707)463-6204 E-mail: rseanor(a cityofukiah.com Phone: (707)443-5054 Fax: (7071443-0553 E-maiL_ wattc(c~lacoassociates us ^ Pre-Approval $517,695.26 Amount Requested ^ 3-Bid Review $ Preferred Bid (if applicable) ^ The Cleanup Fund is authorized to transmit pre-approval information to my consultant. THE FOLLOWING DOCUMENTS ARE REQUIRED FOR THE SPECIFIED REQUEST. ALL DOCUMENTS REQUESTED MUST BE SUBMITTED OR THE REOUEST(Sl WILL BE RETURNED UNPROCESSED. A. Request for Pre-Anoroval of Proposed Costs -The following items are required before review and determination will be made by Fund Staff 1. X_A complete signed copy of the proposed Investigation Workplan or Corrective Action Plan (CAP) (as defined and required by Article 1 I, Chapter 16, California Underground Storage Tank Regulations). Corrective Action Plans must include the required feasibility study and chosen cos[-effective alternative. 2. X A signed copy of the oversight agency approval letter for the Workplan/CAP. 3. X_A complete copy of the Request for Bids, including all attachments. 4. X_Complete copies of all bids (including subcontractor bids) and other correspondence submitted in response to the Request for Bids. 5. X A time schedule, if not part of bid documents, anticipated for project initiation and duration. 6. X A detailed project budget, which includes breakdowns of staff/task hour with associated estimated totals. B. Three-Bid Review/Bvaluation/Determination -Fund staff will assist any claimant requesting an evaluation of bids upon request. The following information must be submitted - 1, 2, 3, and 4 as described in Item A above. III. CERTIFICATION 1 certify [rnderpenalty ofperjury that all information submitted with this regaest is complete and accurate and in accordance with all applicable laws and reguladions. I %arther certi/} that the irnrk rryuested under thispre- upprnrul has not been implemented. Marst be sipped by claimant or person desi Hated on the Power ofAttornev orm. Signature Printed Name Date i .. _ - _. Remediadon Cost Esdmale IACO Project No. 6883.01 lJkian Corporation Yard UPFJOzoce DPE and Ozone Uai[s rvamber of events Number of units Rate Cost er eves Total Cost Cope 1 (Scheduling/CaordlnaHodPermittissg) Task 200 -SCHEDULING/COORDINATION/PERh11TTING Pro'ed Mara er N ui rnenl ro<urement meetin and schedul' hour 1 30 E 1'_0.00 $ 3,600.00 5 3,600.00 Princi al (Dnllin file review and ro'ect status hour I 3 E 145.00 E 435.00 E 435.00 SlaffGeolo ~s[ re<oratmclion meetin revuew drillin file hour I 8 5 9000 $ 720.00 E T_O.W Assistant Geolo 'st I[ (asseralble drillin file corahudion dots hour I 6 E 77.00 E 462.00 $ 462 00 SlaffGeolo'sl ll eview drill file coatruction dots hour I 4 S 90.00 E 360.00 T 36000 Senior Technician II H&S Ian, bark drillin locations noti USA hour I IO E x0.00 E 800.00 E 80000 Vehicle mark drillin locations da I I S 60.00 E 60.00 E D0.00 Pervtir fee extraction wells see attached Merdocirw Co fee schedule each 1 7 S 390.00 E 2,730.00 E ?,730.00 Permit fee ozoce s a wells see attached Mendocirm Coun fee schedule each I 12 S 390.00 E 4,660.00 f 4,680.00 Clerical D finalize arvJ subrrut nnits hour I B S 55.00 E 440.00 E 440.00 MCA MD Air uali nnil each I 1 f 950.00 T 950.00 T 950.00 GWDR Perrrsi[Fees CRW Border ra. Rl-2006DI07 Fach I 1 S 3.684.20 E 7,684.20 T 3684.'_0 Environtcenlal Scientist re action of air rali mtit a lication hour I 6 S 5_.00 E 43_' 00 E 43_'.00 Senior Technician 111 (rrabe/demobeltraveUsa le harldlin hour I B S 80.00 E 64000 E D40.00 Senior'fechnician HI measure D'fW/ low-How ur a and sa le hour 1 $ 80.00 E 160.00 E 16000 WwNrole u w/controller da 1 1 E 6500 S 65.00 E 65.00 De th to water meter da I 1 E '_5.00 S ?500 E '_5.00 Field meters fVl'c IORP/Ecw/DO da 1 1 E 05.00 S 1_'500 5 1]5.00 Gloves/sMn distilled water/decon se Ca I 1 S '_5.00 S X5.00 E ?5.00 Vehicle da I 1 S 60.00 5 60.00 S 60.00 GWDR Aral sis see attached Al ha Labs cote#080723 2 LS I 1 E 8L00 S 751.00 S 751.00 Envirormlemal Scientist re amtion of Re ort of Waste Dischar erGWDR hour I 30 S 72.00 E '_,160.00 S '_,160.00 GWDR ublic ratification nailm advertisin LS I I E 200.00 8 '_00.00 S '_0000 Wastewater Discha Permit Ci of Ukiaha lication fees each I 1 S 325.00 S 7?5.00 T 325.00 Envimmmntal $cientisl re oration of wastewater discha a emtila lication hour I E 7200 $ 144.00 E 144.00 Environmental Scientist re amtion ofencmachment rnJ1a lication and traRc safe Ian hour I 16 E T_o0 S 1,15200 E 1,152.00 Sub Total S '_4,077._'0 Sub marku S 1968.03 Total Task 200 T 36,001.27 Scope 2 (InstaReHOn) Tale 201 - latall 7 4" Emaeoon Wens Pm-ec[ Mara r Ill ro ect mare ernent asM schedWin hour I 5 E L'0.00 E 60000 S 600.00 HSA Drill d with crew see attached Weeks Drillin &. co an note LS' I 1 S '__',586.00 S 2'_,586.00 S '_'_,586.00 Staff Geolo 'st ll (Extraction well iatallation oversi h[ hour I 40 S 90.00 S 7,600.00 E 3,600.00 PID urchase for ro eel MiniRAE 3000 kit LS I I 8 4,325.00 E 4,]'_5.00 E 4,325.00 Vehicle da I 5 E 60.00 E 300.00 S 300.00 decon seta da I 4 E 10000 E 60000 E 400.00 Utili Clearance each I I E 40000 S 400.00 E 400.00 2 man surve crew hour I 8 S 15500 S 1'40.00 % 1?4000 55- DOT waste drum each I 8 8 s5 UO $ 440.00 E 440.00 Soil Charactemation TPH BTEX - 5 's - 1,2 DCA b 8260B+etwore sa lers and harldlm rack 1 35 S 159.00 8 5 56500 f 5,565.00 Soil Charac[ervation TPHd b 8015 each 1 35 S 60.00 Y 2,100.00 T ? 100.00 Sub Total S 41,55600 Sub marku E 1,149.75 Total Tak 201 T 42 705.75 Tak 202 -Imtall 12 Omn¢ s a ob Pro ect Mana er III ( ro ed mare men] artd schedulin hour I 5 E 1'_0.00 S 600.00 S 600.00 DP Drill d with crew see attached Laco Associates Gore LS I I 8 u 943.00 E I I?43.00 E 11,943.00 Stag Geolo 'st II Ozone s a well installation oversi [ hour I ;6 E 90 00 5 4,]"'0.00 E 4,330.00 Ozone s ar ints (see attached Kerfoor Techralo 'es rice uo[e each I C S 375.00 E 4,500.00 S 4,500.00 Mobil¢arion LS I 1 E 1,50000 S 1,500.00 E 1,500.00 Vehicle da I 5 E 60.00 5 300.00 S 30000 Utili Clearance each I I 8 400.00 E 400.00 S 400.00 2 man surve crew hour I B E 155.00 E 1,24000 E 1=00.00 55- DOT waste drum each 1 S 5500 8 110.00 E 110.00 Total Tak 202 5 24 U.Oo Tak 203 - Infrastructure Coatrcefion Project Mara er Ill (Pm~ed mans ement and scbeduli hour I 5 8 120.00 8 60000 S 600.00 Rernediation mtiora Technician Observe Imnbin electrical, and a ui rrenr installation hour I L'0 E 80.00 S 9,60000 8 9,600.00 Vehicle da I IS S D000 E 900.00 S 900.00 Staff Scientis! Cons[mction Mans ement hour I 24 E 90.00 E '_,16000 S 2,16000 Subcontractor lumbin ,electrical, construction, ucri ferain [S I t E BI,I IB.UO E 61,118.00 E 61,118.00 Sub total E 94,378.00 sun marku $ 13,167]0 TotalTak203 S 106 5.70 Tak 204- DPE and Omce 5 stem Imtall UPE Unit (taco - LRB with ThertraVCatal is oxidizer la ro arse monrh I I E 10,000.00 8 IO,00000 S 10,000.00 DPE unit connections narufold and stin rs ser I I E 2,500.00 E '_,50000 S '_,500.00 Well heade ui nenl and Parrs LS I I 5 1,00000 E 1,000.00 E I,000.UO Ozone Generation Unit (See attached Calton S stems uote each I 1 S 79,0]9.00 E 39,079.00 E ]9,079.00 GAC Vessels See attached Rain for Rent uote month I I S 5,362.50 S 5,762.50 E 536'_.50 Waste Dischar ~e TOtaliter and connections each I I E 150.00 8 150.00 E 15000 Baker rank 500 xl) momh 1 I E 70000 S 300.W 8 300.00 Sub Total E 58,391.50 Page 1 of 3 P:\680016803.01 Cily of Ukiah Corp Yard\Pre-Approval\Cosl Estimate Remediation Cost Estimate LACO Pmjac[ No- 6687 01 Ukian Corporation Yard UPI.'Ozore Number Number Units of eveata of uvirs Rnte Cost evevt Total Coat Sub marku E 6911._'7 Total Task 204 S 65 102.73 Scope 3 (Star)-up/reporting) Task 205 -S stem Start U & O HmlzaHov Omve Pm-act Mara cr III Pro act mane men[ and schedulin hour I 6 E 1'0.00 S T0.00 % ]'0.00 Senior S stew rotor hour I 80 E 80.00 E 6,400.00 E 6,400.00 Remedia[ion mliorts Technician assist with s stem stare-u , va or mOnitodn hour I 60 E ]2.00 E 4,J?0.00 E 4,320.00 Emhnnmental Scientist start-u s ort hour I 10 $ ]2.00 S ]?0.00 $ ]20.00 VeFJcle week I 10 $ 60.00 E 600.00 E 6W.00 Utilities 20 Kw/hour month I I E ],000.00 E 7,D00.00 E 7,000.00 Vacuum Gau es LS I I T 100.00 S 100.00 E 100.00 Wastewater dischar are Si5 TP -83608 Fub Lbt-TOW Pb EPA ]431 see atuchetl Al ha lab me NO80]31 q each 1 6 f 16200 $ 1,093.00 S 1092.00 Va rMortitorin (BTEX/MTBE T0.1E, iNMFBE t0.JM+tdlar bu Nsm amchm Air TOxiu ote each I 10 E '-95.00 E ?,950.00 S ],95000 Sub total E D,90200 Sub Marku E 1,2]].25 Tohl Tank 205 S 25,179.25 Teak 206 As BWIt Re rt Pro eel Mane r HI Pro eel mars meet and review ' hour I 4 I 1'000 E 460 00 8 480.00 StaffGeolo sl^ re art amdon hour I a0 f 90.00 $ 3,600.00 E 3,600.00 Senior Technician fI table & fi re amdon hour I 4 E 80.00 E 320.OD E 3'0.00 Senior Defter II fable & fi re oration hour I 4 S 65.00 E '_60.00 I ?60.00 Princi al re on review hour I Y 145.00 $ ?90.00 S 290011 Clerccal^ hour 1 3 S 55.00 8 165.00 S 16500 Tohl Tssk 204 S 5 115.00 Total - Coordination/ ertrdttin ,Installation Start-u , Re ordn $ 295,562.66 co a (System O&M) Pro'ect Mara r III Pro'ect trees men[ end schedulin hour I_' _ i 13000 S '_40.00 E 3,680.00 Senior S stems emmr rmbe/derttobe/[raveL'sa le handlin hour I' B S 80.00 E 64000 4 ],680.00 Senior S sterru O emtor s stem check and maintewnce va or sam le collection h L' , our 8 S 6000 E 640A0 E ],680.00 Senior S s[erre emtor waste chameterimlion hour 1' 1 8 80.00 E 80.00 E 960.00 Staff Geolo st 11 Assist with rreintewnce ' hour I' _ q 94D0 $ 180.00 4 ?,16000 Vehicle da I'_ _ I 60.00 8 120.00 S 1440.00 DPE Unit Loco - LRB with TherrwUCalal is ozid¢er lus ro one) month I b E 10,000.00 E 60,000.00 8 60,000.00 GAC filter vessels rental see attached Rain for Ren[ note) month I 6 E I ]5.00 8 1,05000 E 1,050.00 GAC fiber carbon re lacemenl see attached Rain for Rent note LS 1 I E 5,60200 E 5,60'.00 E 5,603 DO Wastewater Discha a Fees see attached Ci of Ukiah Sewer rate schedule month I ti S 4000.00 E ?4,000.00 E 24,000.00 Utilities (20 Kw/hom see attached Ci of Ukiah ElecMc rate schedule month I 6 E 4,00000 E '_4,000.00 S ?4,00000 cope (Performance MOWtorivg) Pro eel Maw r IB Pro act mans errent and schedulin hour I' E 1'000 8 340.OD E 2,880.00 Senior Technician Hl mobe/derrobe/travel/sa le harWlin hour I2 8 I 8000 E 640.00 E ] 680.00 Senior Technician III treasure DTW/ low-Flow a and sa le) hour L' 8 S BO.OD E 640.00 , 8 ],680.00 Duwrthole w/controller da 12 I S 65.00 E 65.00 E ]80.00 De [h ro water treter da I_' 1 S '_5.00 E 25.00 S 300.00 Field meters WFe iORP/ECw/DO da IJ I $ CS.DO % I_'S.00 Y I S00.00 Gloves/strip distilled water/decon seN ' ' , da 1 I 8 _5.00 S _'5.00 S 500. Vehicle da 12 $ 60.00 S 120.00 $ 1440.00 TPH EE"1'F.X - 5 Ox s - 1,2 DCA 82608 each I'_ B E 129.00 8 1,032.00 I 12784.00 7PE1d b 8015 each 12 8 $ 60.00 S 480.00 E 5,]60.00 Wastewater dischm eaw1515 TP -8?608 Full List~Toul Pb EPA )431 Nsm anachdA WWb nom p080121 q each 14 3 $ 182.00 $ 546.00 $ 6,552.00 Va ravel sla'IBTE%/MfBE TO-I S, TNh4B16 T03M+tdly ba '(see anachcd Air Toxics note each 12 _ S 295.D0 $ 590.00 j ],080.00 Sub Total 8 31,]]6.00 Sub marku $ 4,]66.40 Pro eel Mane er III Pm'ect mars rrenl artd review how I 5 $ 1'0.00 8 600.00 E 600.00 SNET Geolo s[II re rc re am[ion hour I 40 E 90.00 E 3,600.00 E 3,600.00 Senior Technician II (table & fi re re oration ham I 3 E ]200 E 216 00 E 216.00 Senior Dmfler II (table & fi rc amdon hour I E 6500 S 130 00 I 130.00 Princi al re nn review hour I E 145.00 E ?90.00 8 _'90.00 ClericalH hour I 3 E 1900 E 1]]00 E 1]].00 Cope 1 (Verificafion Monitoring) Pro'ecl Maw er III (Pro'ect mane amen[ and schedulin) hour 4 8 L'000 S '_40.00 E 960 00 Page 2 of 3 P:\6800\6863.01 City of Ukiah Carp Yard\Pre-Approval\Cost Estimate Remediafion Cost Estimate LACO Project No. 6687.01 Ukian Corporation Yard DPP/Oconr ' ' Uoils Number of events Numher of units Rate Cost Total Cost S enior Technician HI mobe/dertabe/taveUsa~ le handlin hour 4 8 S 80.00 E 64oYo0 E 2,560.00 S enior Technician III measure DTW/ low-flow ur a and sa le hour 4 8 E 80.00 $ 640.00 S 2,560.00 D ownhole u w/conwller da 4 1 E 6500 E 65.00 E _'60.00 D e th to water meter da 4 I E ?5.00 S ?5.00 E 100.00 Fi eld meters }I/Te /DRF/Ecw/DO da 4 I E ^5.00 S I?5.00 E 500.00 G loves/strin distilled water/decon seta da 4 I E '_5.00 S ?5.00 S 100.00 V T ehicle PH - 5 O - 1,2 OCA 6 9260B da each 4 4 I 8 S 65.00 E 129.00 8 65.00 E 1,03? W Y '_60.00 f 412800 T PHdb 9015 each 4 B S fi0.00 S 480.00 E 19?0.00 S ub To[el E 6,Oa8.00 S P ub marku ro'ect Mane r BI Pro ect masm ment and review hour 4 f L'S.00 f 907'_0 S 500.00 S 1,000.00 S taff Geolo ~s[lI re d re action hour '_4 I 9000 E ?,160.00 % 4,J?000 S enior Technician^fable&fi reaction hour B E ]2.00 E 5]600 E I,IS'_00 S enior Darter B table & fi re oration) hour 4 E 6].00 $ '_68.00 E 536.00 Ju nior Technician EDF re cation and u load hour I E 55.00 S 55.00 E 110.00 P rinci al Re rt review and ro ect status hour _ I S 179.00 S 119.00 S '_]B.00 C lerical H hour 3 f 59.00 S 17].00 S 354.00 Total Remedial Costs $ 517,695.26 Page 3 of 3 P:\6800\6883.01 Ciry of Ukiah Corp Yartl\Pre-Approval\COSI Estimate ITEM NO: 11a MEETING DATE: August 6, 2008 AGENDA SUMMARY REPORT SUBJECT: PROPOSAL TO AMEND BY RESOLUTION THE MENDOCINO COUNCIL OF GOVERNMENTS (MCOG's) JOINT POWERS AGREEMENT APPOINTMENT PROCEDURE TO EXPAND ELIGIBILITY FOR THE COUNTYWIDE SEAT A proposal is being made to amend by resolution the Mendocino Council of Governments (MCOG's) Joint Powers Agreement to provide for greater flexibility in making future County appointments. RECOMMENDED ACTION: Adopt Resolution amending joint powers agreement expanding eligibility for the Countywide Seat ALTERNATIVE COUNCIL OPTIONS: Take no action. Citizens Advised: Requested by: John McCowen, Councilmember, and MCOG Prepared by: Linda Brown, City Clerk Coordinated with: Attachments: Letter from MCOG Proposed Resolution, and Joint Powers Agreement, Exhibit A Approved: , ~~ ~~~/~..C~t~.-- Ja~'Chambers, City Manager attachment # MENDOCINO COUNCIL OF GOVERNMENTS MCOG 367 North State Street-Suite 206--Ukiah--California--95482 July 7, 2008 Attn. Linda Brown Executive Assistant & City Clerk City of iJkiah 300 Seminary Ave. Ukiah, CA 95482 PHILLIP~. DOW, EXECUTIVc DIRECTOR Telephone 707-463-1859 Fax 707-463-2212 www. me ndot i nocog. org Re: Proposed Amendment to MCOG Dear Ms. Brown: Joint Powers Agreement On May 5, 2008, MCOG's Boazd of Directors unanimously agreed to amend the Joint Powers Agreement (JPA) in order to expand eligibikty for the countywide sent on the Council. The Board directed staffto circulate the enclosed amendment text, in the form of a sample resolution, to the five parties to MCOG's Joint Powers Agreement, for approval by resolution of each of their legislative bodies. The JPA states as follows: 10. This agreement may be amended at any time by the parties to the agreement. In order for such an amendment to take effect, it must be approved by Resolutions adopted by the respective legislative bodies of each of the parties to this agreement. We request that the City Council, as a party to MCOG's Joint Powers Agreement, consider this matter at the Heart available opportunity, according to your customary agenda procedures. I have enclosed our sample resolution, which has been reviewed and approved as to form by County Counsel, for your use and reference. I will be glad to provide this in electronic form. If there aze any questions, you are welQome to contact me at 463-1859 or by email to orthj@dow-associates.com, or at the address on this letterhead. Thank you for your assistance and cooperation. ', Sincerely, 2~(/`--~ ane Deputy Director for Administration Enclosure: Sample Resolution RESOLUTION NO. 2008- Attachment 2 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF UKIAH APPROVING AN AMENDMENT TO THE JOINT POWERS AGREEMENT OF THE COUNCIL OF GOVERNMENTS WHEREAS, • The Mendocino Council of Governments (MCOG) was formed by a Joint Powers Agreement (attached as Exhibit A) in 1972 and amended in 1978, 1993 and 1994, by the Cities of Fort Bragg, Point Arena, Willits and Ukiah, and the County of Mendocino to serve as the Regional Transportation Planning Agency and other regional purposes; and • MCOG's Board of Directors consists of seven members including one countywide elected official, for which position five elected local government officials qualify; and • MCOG's Board of Directors proposes expanding eligibility for the countywide representative, so as to preclude any future difficulty in filling the position; and • The Joint Powers Agreement states that it may be amended at any time by the parties to the agreement, and in order for such an amendment to take effect, it must be approved by resolutions adopted by the respective legislative bodies of each of the parties to this agreement; and • Upon full execution of an amendment, MCOG shall prepare and file a notice of amendment with the California Secretary of State in accord with California Government Code Section 6503.5; therefore, be it RESOLVED,THAT: 1) City of Ukiah agrees that MCOG's Joint Powers Agreement Section 4 shall be deleted in its entirety and shall read as follows: "MCOG shall have a BOARD OF DIRECTORS consisting of seven members. The City Council of each of the four incorporated cities in Mendocino County (the cities of Fort Bragg, Point Arena, Willits and Ukiah) shall annually appoint one of its members to serve as a member of the MCOG Board of Directors. The Board of Supervisors of the County of Mendocino shall annually appoint two of its members plus one public appointee to serve as members of the MCOG Board of Directors. In selecting the public appointee, the Board of Supervisors shall give first preference to a countywide elected official. If a countywide elected official does not apply for the position, then the Board of Supervisors may appoint any registered voter of Mendocino County who has an interest in regional transportation issues. Each elected member of the MCOG Board of Directors shall serve only so long as he or she holds Page 1 oft the appropriate elective office, and each member shall serve at the pleasure of their respective appointing authority. "MCOG has adopted its own bylaws as allowed by the aniendment of 1993. "The appointing authority, for each regular member it appoints, may appoint an alternate member to serve in place of the regular member when the regular member is absent or disqualified from participating in a meeting of the Council of Governments. Agency alternates must be an elected official." 2) City of Ukiah agrees that all other terms and conditions set forth in MCOG's Joint Powers Agreement of 1972 as amended in 1978, 1993 and 1994 shall remain in full force and effect. PASSED AND ADOPTED this 6th day of August, 2008, by the following roll call vote: AYES: NOES: ABSTAINING: ABSENT: Douglas F. Crane, Mayor Approved: David Rapport, City Attorney ATTEST: Linda C. Brown, City Clerk Page 2 of 2 MCOG-JPA Amendment 2008 Exhibit A 10 Pages JOINT POWERS AGREEMENT AMENDD4ENT CREATING THE MENDOCINO COUNCIL OF GOVERNMENTS This is an Amendment to a Joint Powers Agreement executed in 1972 by the CITIES OF FORT BRAGG, POINT ARENA, UKIAH, and WILLITS, and the COUNTY OF DiENDOCINO, that Agreement being the legal basis for the Mendocino County and Cities Area Planning Council (MCCPC). This Amendment changes the name to MENDOCINO COUNCIL OF GOVERNMENTS (MCOG), clarifies the powers and purposes of the agency, and establishes a new BOARD OF DIRECTORS. By this Amendment, the above Agreement is changed to read in its entiretey as follows: This AGREEMENT is made by and among the incorporated CITIES OF FORT BRAGG, POINT ARENA, UKIAH, and WILLITS, municipal corporations of the State of California, acting through their respective City Councils, and the COUNTY OF MENDOCINO a body politic and corporate subdivision of the State of California, acting through the Board of Supervisors (hereinafter referred to as PARTIES), as follows: WHEREAS, Sections 6500 et seq., of the California Government Code (Title 1, Division 7, Chapter 5, Article 1)' provide for agreements between two or more public agencies to jointly exercise any power common to the contracting parties; and, WHEREAS, the parties hereto recognize that Mendocino County-is changing from an isolated, rural area to a developed area with continuing expansion of its incorporated cities and formerly underdeveloped areas; and, WHEREAS, by reason of this growth, governmental problems affecting incorporated and unincorporated areas jointly are frequently arising and are expected to~increase in the near future; and, " WHEREAS, it is necessary and desirable that a single regional agency be created with authority to (1) assist and advise on such problems, and (2) in specified functional areas, develop plans and approve or disapprove,' in whole or in part, projects to which such plans apply; ,and, WHEREAS, existence of such an agency, and action by it upon certain transportation matters, and economic development matters, appear necessary in order for the PARTIES to qualify for allocation of needed funds from the State and Federal Governments. ..................... . -z Joint Powers Agreement M<~ndocino Council of Governments NOW, THEREFORE, IT IS AGREED AS FOLLOWS: 1. The Mendocino County and Cities Area Planning Council (MCCPC) is hereby reconstituted as the MENDOCINO COUNCIL OF GOVERNMENTS (MCOG), which is hereby created and established pursuant to Sections 6500 et seq., of the California Government Code (Title 1, Division 7, Chapter 5, Article 1). 2. MCOG shall have the power to serve the following general purposes, which are advisory only: a, provide a regular forum to facilitate discussion and the exchange of information on matters of mutual interest to the parties to this agreement, b. serve as a vehicle for the joint sponsorship of informational workshops and training programs related to problems for local governments in Mendocino County, and c, advise and assist the parties to this agreement in their efforts to deal with problems which they have in common, or which transcend jurisdictional boundaries. 3. MCOG shall have the power to serve the following specific purposes: a. act as the transportation planning agency for Mendocino County, as designated by the Secretary of the Business and Transportation Agency of the State of California, b. undertake economic development planning for Mendocino County, and c. any other specific power, including regional planning in other functional areas besides transportation and economic development, which has•been expressly authorized by Resolutions adopted by the respective bodies. of each of the parties to this agreement: Nothing contained herein shall be construed as limiting in any manner the power of any of the respective parties or other public entities in the County to initiate and complete a local project within their reppective jurisdictions. It is understood, however, the recommendations of the MCOG may be considered by agencies of the State or Federal Government in providing financial or other assistance to such a project. The MCOG shall take no action to preclude or discourage any -3 Joint Powers Agreement Mendocino Council of Governments direct appeal by any entity to any State, or Federal Agency for financial or other assistance in that entity's program before, during or after consideration of the proposal by the MCOG. _ 4. MCOG shall have a BOARD OF DIRECTORS consisting of seven members. The City Council of each of the four incorporated cities in Mendocino County .(the Cities of Fort Bragg, Point Arena, Ukiah and Willits) shall each appoint one of it's members to serve as a member of the MCOG Board of Directors. The Board of Supervisors of the County of Mendocino shall appoint two of it's members plus one other countywide elected official to serve as members of the MCOG Board of Directors. Each member of the tQCOG Board of Directors shall serve only so long as he or she holds the appropriate elective office, and each shall serve at the pleasure of their respective appointing authority. The Board of Directors shall adopt its own by-laws as deemed necessary. The Chairman of the blCCPC at the time of reconstitution shall be the first Chairman of the MCOG Board of Directors. 5. in addition to the incorporated Cities mentioned in this Agreement, any other City which may hereafter be incorporated within the boundaries of Mendocino County, and which may desire to participate in the activities of this Council of Governments may do so by executing this agreement without prior approval or ratification of the named parties herein and shall thereafter be bound by all of the terms and conditions of this agreement as of the date of execution, and shall have all of the rights of the named Cities in relation to the provisions of this Agreement, including the right to appoint a member to the MCOG Board of Directors. 6. The undersigned parties to this agreement pledge full cooperation, and agree to appoint members to the MCOG Board of Directors as specified above and to assign individuals to serve as members of any P4COG committee(s) or sub-committee(s) who shall act for and on behalf of ,their Cities or the County in any or all matters which shall come before MCOG, subject to any necessary and legal approval of their acts by the legislative bodies of such Cities and the County. 7. There shall be no costs incurred by the parties to this agreement pursuant hereto, except; (a) costs for those transportation planning activities included in an approved work program, and (b) costs for those administrative activities related to the allocation of. Transportation Development Act (SB 325) funds. =4 Joint Powers Agreement Mendocino Council of Governments 8. The County Treasurer shall be the depositary and shall have custody of all funds of MCOG from whatever source and shall hold and disburse such monies in accord with Section 6505.5. There shall be strict accountability by all parties and by MCOG of all funds. MCOG shall contract with a certified public accountant to make an annual audit. The minimum requirements of such an audit shall be those prescribed by the State Controller for special districts under Section 26909 of the Government Code and shall conform to generally accepted auditing standards. Where an audit is made, a report thereof shall be filed as public records with each of the contracting parties to the agreement and also with the County Auditor-Controller. The cost of the audit shall be borne by MCOG (Section 6505.) 9. This. agreement shall be effective for a period of one year and shall be automatically renewed from year to year thereafter unless and until one of the parties hereto, by Resolution of its legislative body, terminates its consent to the exercise of these joint powers herein agreed upon, and gives written .notice of such to MCOG at least ninety days prior to the end of the annual term. In the event of such notice of termination,. MCOG shall have continuing authority to~act upon all applications filed with it prior to receipt of said ninety day notice of termination and shall take-such action in regard thereto as is required under the laws, regulations and policies established by the particular state or federal agency to whom such applications have been made. Upon the conclusion of such action and expiration of said ninety day natice period, following receipt of said notice, this agreement shall be automatically renewed for another annual term without the withdrawn entity as,a party to the agreement, and without a member of the Board of Directors appointed by the withdrawn entity. Once any entity has filed proper notice of withdrawal, there shall be a single sixty day period, during which any remaining Party or Parties to the agreement may also file a. ninety day notice of withdrawal, regardless of the expiration date of ,the annual term. 10. This agreement may be amended at any time by the parties to the agreement. Zn order for such an amendment to take effect, it must be approved by Resolutions adopted by the respective legislative bodies of each of the parties to this agreement. 11. This amendment shall take effect upon (1) its execution by the legislative body of each of the parties to the above Joint Powers Agreement, such execution occuring by Resolution of the respective legislative ~.g Joint Powers Agreeme..,; Mendocino Council of Governments bodies, and (2) receipt of a letter from the Secretary of the Business and Transportation Agency of the State of California, officially designating the Mendocino Council of Governments as the transportation planning agency for Mendocino County according to Section 29532 (b) of the, Government Code of the State of California. 12. MCOG shall prepare and file a notice of this agreement, or any amendment thereto, with the Office of the Secretary of State in accord with Section 6503.5. CITY OF FORT BRAGG: ~;,~ ayor f Approved;~~~ -~. Attest: City Attorney CITY OF POINT ARENA: ,~,~ / ?~ 7 ate ~~~i City Clerk C -~~t~iP~~,r~:C /9~d~ Date • ~~ ~-`--,1 t1 Approved: ~ - Attest: -~n~Xn y Atto e City.Clerk CITY OF UKIA~~ce!:o~~l~~~LGt-~) ~02 Mayor D e Approved: Attest: ~~, ~~P,D,/~~,,.J CITY OF WILLITS: /' ~ ~~-~~~~- ~ - y - 7 y yor Date /' // ~ . Approved: ~ ~ ~ Attest: ~ ~~Y ' Ci , Attorney City iyt-rsYz G -6 ~'oint Powers Agreeme.. Mendocino Council of Governments COUNTY OF MENDOCINO: ^-/j~.ftL/~Z{-- Cha~rman Board obi Supervisors Approved: ~,_, (p~ n~~t,~_ C unty Counse jaj Date Attest: ,~c~a[_ ~, C c of the Board i. revision IV1/93 AMENDMENT JOINT POWERS AGREEMENT OF THE MENDOCINO COUNCIL OF GOVERNMENTS THIS is an Amendment to the Joint Powers Agreement (JPA) executed in 1972, as amended in 1978 by the CITIES OF FORT BRAGG, POINT ARENA, WILLITS AND UKIAH, and the COUNTY OF MENDOCINO for the MENDOCINO COUNCIL OF GOVERNMENTS (MCOG). Section 4. shall be deleted in its entirity and shall read as follows: MCOG shall have a BOARD OF DIRECTORS consisting of seven members. The City Council of each of the four incorporated cities in Mendocino County (the cities of Fort Bragg, Point Arena, Willits and Ukiah) shall each appoint one of it's members to serve as a member of the MCOG Board of Directors. The Board of Supervisors of the County of Mendocino shall appoint iwo of it's members plus one other countywide elected official to serve as members of the MCOG Board of Directors. Each member of the MCOG Board of Directors shall serve only so long as he or she holds the appropriate elective office, and each shall serve at the pleasure of their respective appointing authority. The Board of Directors shall adopt its own by-laws as deemed necessary.- Section 5. shall be amended to read as follows: b. In the event of conflict amongst the members to the MCOG relative to specific issues, individual resolutions may be requested from each of the member agencies to be directed back to the MCOG for review and final action. ,. Section 6. shall be amended to read as follows: The undersigned parties to this agreement pledge full cooperation, and agree to appoint members to the MCOG Board of Directors as specified above. The MCOG shall assign individuals to serve as members of any MCC1G committee (s) who shall act for and on behalf of their member agencies in any or all matters. which shall come before MCOG, subject to any necessary and legal. approval of their acts by the legislative bodies of said member agencies. MCOG JPA Amendment Page 2 Section 7. shall be deleted in its entirity and shall. read as follows: The MCOG acting as the Regional Transportation Planning Agency for Mendocino County shall be .administered in accordance with the Transportation Development Act. Funding for this function shall consist of Local Transportation Funds, State Transit Assistance Furids and any federal or state grants. Any other function(s) identified in Section 3 of this agreement must have a correlating funding source for administrative reimbursement. - Section 8. shall replace the position of County Treasurer with County Auditor. All other terms and conditions set forth in the Agreement of 1972 as amended in 1978 shall remain in full farce and effect. CITY OF FORT BRAGG: Attorney DATE: f l3~ I q`f" ATTEST: 1~ 1/+'~ City Clei CITY OF POINT ARENA; DATE: Mayor Approved: ~ ATTEST: _,~~~ Ci Atto ey ity Clerk CITY OF WILL CITY OF UKIAH: Approved: DATE: A' Deputy City DATE>/_{~.! ", ATTEST: /99~ V ' COUNTY OF MENDOCINO: _ .1,! D,[i ~=uxsx.¢~OATE: •:~•'h ~l ~ ~' • „~, Chairman, B r f Supervisors - ', ~ ,, Approved: ~?il, ATTEST: _ ~+~- ~.~«., ~~~.__ County Counsel Clerk 4f,the aar revision 8/29194 AMENDMENT JOINT POWERS AGREEMENT OF THE MENDOCINO COUNCIL OF GOVERNMENTS THIS is an Amendment to the Joint Powers Agreement (JPA) executed in 1972, as amended in 1978 arid again in 1993 by the CITIES OF FORT BRAGG, POINT ARENA, WILLITS AND UKIAH, and the COUNTY OF MENDOCINO for the MENDOCINO COUNCIL OF GOVERNMENTS (MCOG). Section 4. shall be amended to include the following paragraph: The appointing authority, for each regular member it appoints, may appoint an alternate member to serve in place of the regular member when the regular member is absent or disqualified from participating in a meeting of the Council of Governments. Agency alternates must be an elected official. All other terms and conditions set forth in the Agreement of 1972 as amended in 1978 and 1993 shall remain in full force and effect. JPA Amendment August 29,1994 Revision Page 2 CITY OF FORT BRAGQ~~T.~~~GGlll/ QL~~DATE: / //p S Mayor Approved: ATTEST: ~ ~G~-~ C Attorney City Cle CITY OF POINT ARENA: Approved: CITY OF WILLITS: Approved: CITY OF UKIAH: Approved: ,'DATE: . I / 2 ,' 11 /~ ATTEST. ~ ~-~~~ 'City Clerk . ' DATE: ~ -~o - 9~5~ ATTEST:~/~r~?F/~ a City Clerk ATTEST': COUNTY OF MENDOCINO: ~ ~ _ ATE: ~ - a- 9S' Chairman, oa~~~i~ of'Supervis s Approved: (~_ " y " " " ~ ATTEST: ~.c .~e-.s~ County Counsel erk f the Board ITEM NO: 11b MEETING DATE: August 6, 2008 AGENDA SUMMARY REPORT SUBJECT: DESIGNATION OF VOTING DELEGATE AND ALTERNATES FOR 2008 LEAGUE OF CALIFORNIA CITIES ANNUAL CONFERENCE - SEPTEMBER 24-27, 2008 The League of California Cities 2008 Annual Conference is scheduled for September 24-27, 2008 in Long Beach. On Saturday, September 27 the League holds its Annual Business meeting where membership considers and takes action on resolutions that establish League policy. The League is requesting the City Council designate a voting delegate and, if desired, up to two voting delegate alternates to participate in this meeting. Staff is requesting Council designate a voting delegate and alternate(s) for the 2008 League Annual Conference and authorize the City Manager to submit the Voting Delegate/Alternate Form (Attachment 1) on their behalf. The City Manager has registered to attend the annual conference and could serve as the City's voting delegate, if appointed by Council. RECOMMENDED ACTION: Designate a voting delegate and alternate(s) for the 2008 League Annual Conference and authorize the City Manager to submit the Voting Delegate/Alternate Form (Attachment 1) on their behalf. ALTERNATIVE COUNCIL POLICY OPTIONS: Citizens Advised: N/A Requested by: League of California Cities Prepared by: Linda Brown, City Clerk Coordinated with: Jane Chambers, City Manager Attachments: 1 -Letter from League of California Cities dated June 13, 2008, Voting Procedures for 2008, & Voting Delegate/Alternates Form lam" , Approved: 2~~4 '~ e Chambers, City Manager 40o 6.Snu rr ~ r. a.~~u n iu. CA 95814 ~~. r~ i ~ ~ ~~s-a2oo ie (91r r~8-H 240 ] ; ';, ~.E ~CJ~~E - CSI C ALIFORNIA ~~~~:. (~ I T I l~ S Please review this memo carefully. New procedures were adopted in 2006 regarding designation of voting delegates and alternates and voting at the Annual Conference. June 13, 2008 TO: Mayors, City Managers and City Clerks RE: DESIGNATION OF VOTING DELEGATES AND ALTERNATES League of California Cities Annual Conference -September 24-27, Long Beach The League's 2008 Annual Conference is scheduled for September 24-27 in Long Beach. An important part of the Annual Conference is the Annual Business Meeting, scheduled for 8:30 a.m., September 27, at the Long Beach Convention Center. At this meeting, the League membership considers and takes action on resolutions that establish League policy. In order to vote at the Annual Business Meeting, your city council must designate a voting delegate. In the event that the designated voting delegate is unable to serve in that capacity, your city may appoint up to two alternate voting delegates. In 2006, the ability to appoint up to two alternates was the result of approval of a League bylaws amendment that increased the number of voting delegate altemates from one to two. Please complete the attached Voting Delegate form and return it to the League's office no later than September 5, so that voting delegate/alternates records may be established prior to the conference. At the conference, voting delegate forms may be returned to the Voting Delegate Desk located in the conference registration area. Please note the following procedures that are intended to ensure the integrity of the voting process at the Annual Business Meeting. Action by Council Required. Consistent with League bylaws, a city's voting delegate and up to two alternates must be designated by the city council. When completing the attached Voting Delegate form, please attach either a copy of the council resolution that reflects the council action taken, or have your city clerk or mayor sign the form affirming that the names provided are those selected by the city council. Please note that designating the voting delegate and altemates must be done by city council action and cannot be accomplished by individual action of the mayor or city manager alone. Conference Registration Required. The voting delegate and alternates must be registered to attend the conference. At least one must be present at the Business Meeting and in possession of voting card in order to cast a vote. Voting delegates and altemates -more- LEAGUE 1400 K Street, Suite 400 • Sacramento, California 95814 Phone: 916.658.8200 Fax: 916.658.8240 Of CALIFORNIA www.cacities.org CITIES Annual Conference Voting Procedures 2008 Annual Conference 1. One City One Vote. Each member city has a right to cast one vote on matters pertaining to League policy. 2. Designating a City Voting Representative. Prior to the Annual Conference, each city council may designate a voting delegate and up to two altemates; these individuals are identified on the Voting Delegate Form provided to the League Credentials Committee. 3. Registering with the Credentials Committee. The voting delegate, or altemates, may pick up the city's voting card at the Voting Delegate Desk in the conference registration area. We encourage voting delegates and altemates to sign in at the Voting Delegate Desk so that they may receive a special stamp on their name badge and thus be admitted to the voting area at the Business Meeting. 4. Signing Initiated Resolution Petitions. Curly those individuals who are voting delegates (or altemates) and who have picked up their city's voting card by providing a signature to the Credentials Committee at the Voting Delegate Desk may sign petitions to initiate a resolution. 5. Voting. To cast the city's vote, a city official must have in his or her possession the city's voting card and be registered with the Credentials Committee. The voting card maybe transferred freely between the voting delegate and alternates, but may not be transferred to another city official who is not either a voting delegate or alternate. 6. Voting Area at Business Meeting. At the Business Meeting, individuals with the voting card will sit in a separate area. Admission will be limited to those individuals with a special stamp on their name badge identifying them as a voting delegate or alternate. If the city's voting delegate and altemates wish to sit together, all should sign in at the Voting Delegate desk and obtain the special stamps on their badges. Resolving Disputes. In case of dispute, the Credentials Committee will determine the validity of signatures on petitioned resolutions and the right of a city official to vote at the Business Meeting. LEAGUE OF GALI>;ORNIA CITIES CITY: 2008 ANNUAL CONFERENCE VOTING DELEGATE/ALTERNATE FORM Please complete this form and return it to the League office by September 5, 2008. Forms not sent by this deadline may be submitted to the Voting Delegate Desk located in the Annual Conference Registration Area. Your city council may designate one voting delegate and up to two alternates. In order to vote at the Annual Business Meeting, voting delegates and alternates must be designated by your city council. Please attach the council resolution as proof of designation. As an alternative, the Mayor or City Clerk may sign this form, affirming that the designation reflects the action taken by the council. Please note: Voting delegates and alternates will be seated in a separate area at the Annual Business Meeting. Admission to this special area will be limited to individuals (voting delegates and alternates) who are identified with a specia] stamp on their conference badge. If your city's voting delegate and alternates wish to sit together at the Business Meeting, they are all encouraged to sign in at the Voting Desk in order to obtain the identifying stamp that will admit them to the special voting area. 1. VOTING DELEGATE Name: Title: 2. VOTING DELEGATE -ALTERNATE 3. VOTING DELEGATE -ALTERNATE Name: Name: Title: Title: PLEASE ATTACH COUNCIL RESOLUTION DESIGNATING VOTING DELEGATE AND ALTERNATES. ATTEST (I affirm that the information provided reflects action by the city council to designate the voting delegate and alternate.) Name: Phone: Title: Date: Please complete and return by September 5 to: League of California Cities ATTN: Mary McCullough 1400 K Street Sacramento, CA 95814 FAX: (916) 658-8240 AC2008 V otingDelegateLettecdoc ITEM NO: 11c MEETING DATE: August 6, 2008 AGENDA SUMMARY REPORT SUBJECT: A RESOLUTION OPPOSING FISCALLY IRRESPONSIBLE STATE BUDGET DECISIONS THAT WOULD "BORROW" LOCAL GOVERNMENT, REDEVELOPMENT AND TRANSPORTATION FUNDS The League of California Cities is requesting that all members consider adoption of the attached "Resolution Opposing Fiscally Irresponsible State Budget Decisions That Would "Borrow" Local Government, Redevelopment and Transportation Funds". If adopted, the Resolution will be mailed to Ukiah State legislators, the League, and the Governor, in order to express our community's interests and concerns with regard to further take-away of local city funds. The Council may wish to consider joining other League members in this effort to protest the taking away of further local funds, especially in light of the fact that the League web- site indicates some $3.3 million dollars of local Ukiah funds have already been taken by the State of California. These funds would have provided for services to Ukiah residents. RECOMMENDED ACTION: Adopt the proposed Resolution. ALTERNATIVE COUNCIL POLICY OPTIONS: Take no action. Citizens Advised: N/A Requested by: League of California Cities Prepared by: Jane Chambers, City Manager Coordinated with: Attachments: 1 League of California Cities Budget Talking Points 2 City of Ukiah Proposed Resolution Approved: `/' '~n.~ one Chambers, City Manager Attachment # ~_ f1 ~J ~ ~ r 1400 K Street, Suite 400 • Sacramento, California 95814 1- Phone: (916) 658-8200 Fax: (916) 658-8240 ~ ~i ~ 7~, I I I~ ~I:~A i -~ www.cacities.org ~:1T1 ES Budget Talking Points PRIMARY MESSAGE: It's time for the state to cut up its local government credit card once and for all THE BOTTOM LINE: The state should balance its budget with state revenues. SPECIFIC MESSAGES: Cities are facing many of the same budget challenges as the state-dropping tax revenue and rising energy costs and we must balance our budget with our own revenues. The state needs to close the budget deficit with state revenues, not by borrowing local and transportation revenues. Borrowing is fiscally irresponsible so cut up the credit card. Borrowing or taking local government (including redevelopment) and transportation funds deepens the structural deficit and harms local services. California voters believe it is wrong for the state to seize local government and transportation funds. A resounding majority of California voters supported local property tax protection in 2004 (84%) and transportation protection in 2006 (77%). In 1952, the voters approved a constitutional amendment providing for tax increment financing for redevelopment, not balancing the state budget. The state has the tools to produce a balanced budget. The state has a variety of viable options to achieve a balanced budget, by increasing effciencies, cutting spending, and increasing revenues. The current budget situation is not a "severe state fiscal hardship" warranting the borrowing of local government and transportation funds through provisions in Props. 1A and 42. And there are no "loan" or seizure provisions at all in Article XVI, Section 16 of the California Constitution, adopted by the voters in 1952, providing for tax increment f nancing. Two balanced budgets (the Governor's and the Budget Conference Committee) have been proposed without raiding local government funds and transportation funds. A compromise is within reach. Keep Local Funds Local! Balance the state budget with state funds -not local government and transportation funds that are needed for vital community services, infrastructure and community revitalization. Attachment 2 RESOLUTION NO.2008- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF UHIAH OPPOSING FISCALLY IRRESPONSIBLE STATE BUDGET DECISIONS THAT WOULD "BORROW" LOCAL GOVERNMENT, REDEVELOPMENT AND TRANSPORTATION FUNDS WHEREAS, on July 1, 2008 the State Legislature missed its Constitutional budget deadline; and WHEREAS, both the Governor and the Legislative Budget Conference Committee have recommended balanced budgets without resorting to "loans" or seizures of local government property tax, redevelopment tax increment and transportation sales tax funds; and WHEREAS, in 1952 the voters of California approved n 1952 the voters approved Article XVI, Section 16 of the California Constitution, providing for tax increment financing for community revitalization-not balancing the state budget, and the voters never authorized the legislature to take or "borrow" community redevelopment funds for state programs; and WHEREAS, in 2004 by an 84% margin of approval the voters of California approved Proposition lA and sent a loud and unambiguous message to state leaders that they should stop the destructive and irresponsible practice of taking local government funds to finance the state budget and paper over the state deficit; and WHEREAS, in 2006 by a 77% margin of approval the voters of California also approved Proposition lA, providing similaz protections to transportation funding for state and local transportation projects, including important street maintenance and public transit programs; and WHEREAS, both ballot measures allow the Governor to declare a "severe state of fiscal hazdship" and "borrow" these funds if they are repaid in three years with interest, but the Governor believes it would be irresponsible to "borrow" such funds because it would deepen the state's structural deficit and cripple local government and transportation services; and WHEREAS, refusal by the Legislature to carryout its constitutional obligation to compromise on a balanced budget is not a "severe state of fiscal hardship" and would not justify reductions in critical local services, community revitalization programs and infrastructure maintenance at a time when cities are struggling to balance their own budgets during this economic down turn; and WHEREAS, city investments in infrastructure, affordable housing and basic public safety and other community services will create needed jobs and speed our economic recovery; and WHEREAS, the Legislature should balance the state budget with state revenues and respect the overwhelming support of voters for not using local property taxes, redevelopment tax increment and transportation sales tax funds to fund the day-to-day operating cost of state programs; and WHEREAS, it would be the height of fiscal irresponsibility to paper over the state structural deficit with more borrowing, and Californians deserve state leaders who will tell them honestly what needs to be done to produce a balanced budget; and WHEREAS, it is time for the state of California to cut up its local government credit cards and deal with the budget deficit in a straightforward way. Balance the state budget with state funds. NOW, THEREFORE, BE IT RESOLVED, that the City of Ukiah hereby opposes any and all efforts by state government to "borrow" or seize local tax funds, redevelopment tax increment and transportation sales tax funds by the state government to finance state operations. Such a move would be fiscally irresponsible for the state and hamper effective local services and infrastructure investments. RESOLVED FURTHER, that the Mayor/City Manager is hereby directed to send this resolution and communicate this Council's strong and unswerving opposition on this matter to our Legislators and the Governor along with an expression of our continued appreciation for the Governor's and any supportive legislators' steadfast opposition to further borrowing or seizure of these Funds. PASSED AND ADOPTED this 6th day of August, 2008, by the following roll call vote: AYES: NOES: ABSTAIN: ABSENT: Douglas F. Crane, Mayor ATTEST: Linda C. Brown, City Clerk ITEM NO. 11d DATE: August 6, 2008 AGENDA SUMMARY REPORT SUBJECT: AWARD OF BID FOR PURCHASE OF A CCTV CAMERA TRUCK FOR SEWER MAINTENANCE TO CUES, INC. AND APPROVAL OF A BUDGET AMENDMENT IN THE AMOUNT OF $165,489.66. Submitted for the City Council's consideration and action is staffs recommendation to award the purchase of a CCTV camera truck in the amount of $165,489.66 to CUES, Inc. The bid was obtained through the HGAC buying program approved by City Council as a means of obtaining competitive pricing of equipment without soliciting competitive bids. The City of Ukiah has approximately 1 '/2 years left to complete the televising of 414,000 feet of sewer main line to comply with the River Watch consent agreement. In order to accomplish the requirement a minimum of 4,500 feet of sewer needs to be televised per week. The existing CCTV camera truck was given to the City several years ago, when the camera system was purchased from CUES. Vehicle maintenance records indicate the department has spent over $15,000.00 in parts and labor in maintaining the vehicle since it was acquired with the camera. The truck currently needs a new air compressor because the existing one is out of compliance and the manufacturer recommends updating the software because of the extensive computer problems. (Continued on Pape 2) RECOMMENDED ACTION: Approve award of bid to CUES, Inc. for the purchase of a CCTV Camera Truck and approval of a budget amendment in the amount of $165,489.66 for the purchase. ALTERNATIVE COUNCIL POLICY OPTION: Do not authorize the award and provide direction to Staff for alternative action. - _. FUNDING: Amount Budgeted From Acct. No. To Acct. No Addl. Funds Requested $0 698 698.3948.800.000 $165,489.000 Citizens Advised: N/A Requested by: Ann Burck, Interim W/S Operations Superintendent Prepared by: Dan Hunt, Acting Water and Sewer Field Operations Supervisor Coordinated with: Tim Eriksen, Public Works Director and Jane Chambers, City Manager Attachments: 1) Fleet Vehicle Justification 2) HCAG Contract Worksheets (2 pages) APPROVED: G C~K~GV'Y~--L--- /Jhne Chambers, City Manager The City and District have until 01/13/2010 to complete the televideo inspection of the sewer collection system. Last year, the City Manager decided not to budget for a new sewer camera truck and do the inspection in-house, but to budget for a contractor to do the work. Also, the two Sewer Attendants that operated the City's camera truck left. The W/S Supervisor did not train anyone else to operate the truck because there were other priorities and he was told that a contractor would do the inspections. W/S Maintenance staff contacted several companies that do these inspections and only found two that were willing to come to Ukiah. There is apparently more than enough work to keep these companies busy. One company charges $360 per hour and could do 3,000 feet per 8-hour day. There are 414,000 linear feet of sewer out of 460,000 feet total left to be inspected. It would take this company 138 days to complete the work at an estimated cost of $400,000. The second company said they could inspect 70,000 feet per year for $0.59 per foot. It would take this company six years to complete the inspections at a cost of $244,250. Currently Brien Jones, recently trained to operate the camera truck, inspects 2,000 feet (minimum) per day. Working 8 hours a day for 3 days a week, the City could finish inspecting the entire sewer collection system by January 2010. However, the existing camera truck has so many problems it's difficult to keep it in operation. Therefore, staff requesting the purchase a new CCTV camera truck from CUES, Inc. and completion of the inspection of the City and District sewer systems by the City Sewer Maintenance staff. This will incur less cost, less time, meet the River Watch settlement deadline, increase staff knowledge of the sewer system, and provide the Sewer Maintenance staff with necessary equipment for ongoing sewer maintenance operations. Funds are available in the Sewer Equipment Replacement Fund, account #698.3510.800.000 Approval of a budget amendment to transfer funds from the Sewer Equipment Replacement Fund (698) in the amount of $165,489.66 into the Water System Maintenance Fund, account #820.3948.800.000 is also requested. Attachment # / cct~ o f l~~ca ~l Fleet Vehicle Justification Proposed Vehicle: CCTV Camera Truck Department: Public Works, Sewer Maintenance Department Area of use: Televising Sewer Main Lines, Sewer Laterals Prepared by: Dan Hunt, Acting W&S Field Operations Supervisor 1 VEHICLE PURPOSE Need for vehicle within Department fleet The City of Ukiah has approximately 1 Yz years left to complete the televising of 414,000 feet of sewer main line to comply with the River Watch consent agreement. In order to accomplish the requirement we need to televise a minimum of 4,500 feet per week. Cost for a new camera truck with all of the necessary equipment needed would be approximately $166,000.00 2 REPLACEMENT JUSTIFICATION 2.1 Current Vehicle Description, Mileage, Funding Source and Market Value Vehicle # 2635 is a 1991 Ford Utilimaster Camera truck It is unknown what the mileage is on this vehicle. Due to the condition of the vehicle the City's mechanic believes it to be 132,400. Trade-in value of this vehicle is estimated to be $20,000 dollars. And the open market value is estimated to be about $30,000.00 to $40,000.00 dollars. Vehicle Reolacement Justification 2.2 Maintenance Costs __ Overall Condition, Maintenance Costs, Out of Service Time, Parts Availability, and Associated Safety Issues __ Overall Mechanical Condition: The vehicle is in poor mechanical condition, it is constantly in the shop for repairs or it is repaired in the field by the W & S crew. Maintenance Costs: Vehicle maintenance records indicate the department has spent over $15,000.00 in parts and labor in maintaining the vehicle since it was purchased. The truck currently needs a new air compressor because the existing one is out of compliance and the manufacturer recommends updating the soft ware because of the amount of computer problems we have had. The cost for these two repairs $21,000.00 Out of Service Time: The vehicle has been out of service on an average of 1 day per week. Parts Availability: According to the City mechanics, because this truck was built from bits and pieces, parts are not available. For example, the truck was built on a motor home chassis, vehicle started with a manual transmission and was changed to an automatic, and someone changed it to a four wheel drive, just to name a few of the modifications. Associated Safety Issues: Onboard air compressor out of state compliance. Page 2 7/30/2008 Vehicle Replacement Justification 2.3 Shared Resources ____ Define any resources currently available within the City of Ukiah fleet which could be utilized for this purpose. __ A review of the City fleet was conducted and no other vehicle exists for this purpose. 3 PROPOSED VEHICLE SPECIFICATIONS Proposed Vehicle Specifications Specifications for the vehicle listed below are for a new 2008 CUES Camera Truck in conjunction with the H-GAC Cooperative Purchasing Program: The program was established to allow governmental and qualifying non-profit entities to obtain commonly needed services -including purchasing. H-GAC conforms to the requirements of state statutes that are applicable to competitive bids (IFBs) and competitive proposals (RFPs). No product or service is offered by H-GAC that has not been subjected to either a competitive bid or competitive proposal process. 3.1 New Camera Truck Specifications: STANDARD EQUIPMENT Equipment to be supplied: DRW with Malti-Conductor TV Inspection Equipment Each camera, camera transporter, and external light head to be supplied on this specification must be labeled and listed as a minimum by a Nationally Recognized Testing Laboratory (NRTL) to the applicable Standard for Safety for Closed Circuit Television Equipment, UL 2044, 2nd edition, 11 /9/01. A listing report must be supplied that certifies the aforementioned equipment is acceptable as defined by 29 CFR 1910.399 and required by 29 CFR 1910.303(a). Self-certification or certification by a laboratory that is not an NRTL will be deemed unacceptable. NRTL labeled and listed equipment shall be supplied as required by the FEDOSHA memorandum, dated September 25, 2005, page 3, Section on Compliance, prepared by John L Henshaw, Assistant Secretary of Occupational Safety and Health. Page 3 7/30/2008 Vehicle Replacement Justification Cnmpnnent LI$t: TV DRW HI-CUBE 12' GAS TV DRW Hi-Cube Van Gas (12,000 GVWR) with Automatic Transmission and 12' Load space Pass Through To Control Room DRW TV Hi-Cube Van Equipment to include: 2 Amber Electronic Strobe Warning Beacons -Roof Mount with on/off switch in Cab 2 Adjustable Floodlights Rear of Vehicle Area Illumination -Mounted Inside of Rear Doors 1 Front and Rear Mounted LED Arrow boards 1 Standard Drivers Seat with Seatbelt and Sun visor 1 Standard Passenger Seat with Seatbelt and Sun visor 1 12 Volt Light, Cab Area 1 Back-Up Alarm 1 Cab Air Conditioner I AM/FM Radio TV DRW Hi-Cube Van Power Package to include: 1 6000 Watt, 120 Volt, 60 Hz Commercial Grade Generator, Gasoline Powered with Electric Start 1 Generator Remote Start/Stop Cable Assembly I Generator Storage Compartment with a Lockable External Access Door I Commercial Power Supply Receptacle, 25' Cord and Plug 1 Electric Supply Center with Circuit Breaker Box, Commercial Power and Generator Power Connectors Automatic Power Transfer Switch System Engineering Panel, Power Distribution System Rack Mount to include: 1 Voltage Readout, Power Supply 1 Hertz Readout, Power Supply for 60Hz 1 Generator Hour Readout 1 Remote Generator StarUStop Control Switch DRW TV Hi-Cube Van Control Room Interior to Include: I 13,500 Air Conditioner Roof Mount with 5600 BTU Heat Strip 1 Lonseal Lonplate Flooring 1 Kemlite Surface Wall Covering 1 Kemlite Ceiling Covering 1 Bulkhead Wall with Passage Door From Control Room To Equipment Room with "Safety Plus Visual" Viewing Window 1 Ergonomic (angled) Placement of Main Controllers in desktop with recessed housing 1 EVO H above Desk Mounted Control Console for Electronic Equipment 1 Desktop/work area 1 Storage Cabinet 1 12V Courtesy Light with 15 Minute Timer located at rear door area Page 4 7/30/2008 Vehicle Replacement Justification 110 Volt Fluorescent Light Fixture Electrical Outlet with Dual Receptacles Fire Extinguisher with Bracket, 10 BC Rating Operators Chair With Castors Padded Bench Seat with Storage Side Entry Door DRW TV Hi-Cube Van Equipment Room Interior to Include: 1 Lonseal Lonplate Flooring 1 Kemlite Covered Walls and Ceiling 1 Insulated Tapered Roof 1 Climate controlled Breaker Box/Electronics Storage Area with locking positive Latches 1 Electrical Outlet with Dual Receptacles 1 110 Volt Fluorescent Light Fixture 1 Down hole Pole Mounting Bracket Assembly on rear doors 1 12V Courtesy Light with 15 Minute Timer located at rear door area I Workbench with Lonseal Lonplate Covered Worktop, bui]t-in Sink, 20 gallon Wash down System and upper Cabinet. 1 Retractable Hose Reel with 25' Water Hose and Nozzle 1 5 Drawer Tool Chest with Workbench Mounted on Top of Workbench and TV Reel 1 Storage for Roll Up Signs Rear Video Monitor 17" LCD Flat screen to include: I Video Monitor 17" LCD Flat screen, NTSC/PAL Color Standards I Cable Assembly -Video Monitor to Monitor in control room 1 Monitor mount bracket OZ III Pan, Tilt, and Zoom Camera System to include: 1 Solid State Color Sewer TV Camera with a Pan & Rotate Camera Head, 40:1 Zoom Ratio, IOx Optical Zoom, 4x Digital Zoom, NTSC Color Standard, 4x Light Integration 1 Camera Lighting System, built in for 6" Relined through 30" Pipe I Camera Transportation and Storage Case Color TV Power Control Unit-Multi Conductor Rack Mount, NTSC Color Standard to include: 1 TV Camera Remote Optical Focus Control 1 TV Camera Automatic Iris Remote Control TV Camera Light head Intensity Control w/Meter Camera Test Cable Assembly 17" LCD Flat Screen Color Industrial TV Monitor, NTSC/PAL Color Standards, Built-in Speakers Combination VCR/DVD Player/Recorder System to include: 1 Rack Mount for VCR/DVD 1 Sony RDR VX500 VCR/DVD player/recorder 1 Cable Assembly - DVD to Power Control Unit Page 5 7/30/2008 Vehicle Replacement Justification Audio Recording Microphone Cable Assembly - to Power Control Unit 1 Pipeline Data Collection & Real Time Video Capture System, Rack Mount, to include: 1 Motherboard w/775 Socket and 945P Chipset 1 Genuine Intel Dual Core E4400 ALLENDALE 2GHZ 1 1 GB of DDR2 (Double Data Rate) RAM, 675 MHz 1 PCI Video Capture Board for MPEGI/2/4 Video Capture with Hardware Compression 1 Video Graphics Cazd, Supporting up to 256MB, 16x PCI-Express I LAN, On Board Network Connection, Intel 82547E ] 10 / 100 / 1000 8 USB 2.0 Ports (6 on Rear, 2 on Front) 1 SoundBlaster Compatible, On Board Sound 1 DVD +/- RW DVD Burner 16x / CD-RW 40x Internal 2 250 GB (7,200 RPM) SATA Hard Drives 1 450 Watt ATX Power Supply 1 19" Rack Mountable Video Character Generator & Titter 1 Industrial Hardened Case with Air Filtering, Vibration Dampening Hard Drive Mounts, Peripheral, Cards Support Bar, 19" Rack 1 101 Key Enhanced Heavy Duty Keyboard 1 Optical PS2/USB Mouse 1 SVGA Multimedia Monitor w/ Speakers 17" 1 Desk top Color Ink Jet Printer, 600x300 dpi, 512K 1 Windows XP Professional Operating System 1 GRANITE XP Inspection Edition Version 3.x Software 1 User Guide, Hard-copy 1 User Guide, CD 2 Viewer Editions shall be included at no extra charge 1 Combination TV Transmission & Tow Cable Assembly to include: I 1000' Multi Conductor Platinum Kevlar Fiber Armored Cable, .375" Diameter 1 Kevlaz Armored Cable Terminal Connector l Stainless Steel bullet connection - Seld repairable- no scotch cast 1 Cable Strain Relief 1 Electric Motor Drive Television Cable Reel to include: 1 Power Level Wind 1 Footage Meter with Local Counter and Remote Counter 1 Transmission Control at V iewing Station 1 Local Reel Mount Electrical & Mechanical Control 1 Sealed Continuous Contact Collector Assembly 1 Controller Cable Reel/Power Winch Motor 1 Auto Pay out 1 Self-propelled Compact Steerable Camera Transporter, Wheel Driven, to Include: 1 Steerable Unit Designed to Turn 360 Degrees Within Its Own Radius 1 Set of Rubber Wheels to inspect 6" Pipe 1 Set of Rubber Wheels to inspect 8" Pipe 1 Set of Rubber Wheels to inspect 10" - 15" Pipe Page 6 7/30/2008 Vehicle Replacement Justification 1 Two Speed Transmission to Maximize Torque in Larger Diameter Pipe with Manual Shifter on Camera Carrier. 1 The Unit Shall Have Forward, Free Wheel, and Powered Reverse Capabilities 1 All Six (6) Wheel Drive Transporter Assembly to Include Motor and Enclosed Drive Train I Joystick Control for Full Proportional Steering of Transporter 1 Tip-up Rear 12-pin Connector 1 Transporter Control Unit 1 Set Steel Wheels 6" Pipe Size 1 Set Steel Wheels 8" Pipe Size 1 Set Steel Wheels 10-15" Pipe Size 1 Cable Mauhole Guide System to include: 1 TV Invert Pulley Assemblies 6 Quick Coupling Extension Poles 1 Manhole Adapter Hooks 1 Manhole Top Roller Assembly 1 Equipment retrieval tool 1 TV Inspection Accessories Package to include: 1 TV Maintenance Tool Kit I Set Manual Operation, Instruction and Maintenance TV 1 Manual Spare Parts, TV 1 Video Training Tape, TV Systems Operating Procedures I Video Training Tape, System Trouble Shooting Procedures 1 Video Training Tape, TV Cable Repair Procedures 3 Days of Training 1 Delivery 4 ALTERNATIVE FUEL AND CARB REGULATIONS 4.1 Alternative Fuels Availability Proposed Vehicle Alternative Fuels Availability Staff continues to research the feasibility of deploying alternative fuel marked. While many alternative fuel vehicles are now available, their deployment for this type of vehicle is not yet practical. Page 7 7/30/2008 Vehicle Replacement Justification 4.2 CARB STANDARDS __ CARB STANDARDS [Replace this text with a description of the research conducted CARB Regulations.] CARB regulations do apply to this purchase Page 8 7/30/2008 A'hac'~men ~~~ ~- _~_~rC.~-~~~ CONTRACT PRICING WORKSHEET Contract ~ Date ft , J/ `, J SC.01-08 6/4/2008 For Standard Equipment Purchases No.: Prepared: i TJYis Fantt atartlt bt ~t~~"`e~gt~~Cfot , ~'b,Tsed'r~ d391~1p 1b6 Prm}ese Order, with copy Co H-QAC `Tbe$-inlC ,~rec ~tai'klRC'at . ° 1SGde'i0nft: Please type or print legibly. Buying :City of Ukiah Agency: Contractor: :CUES, InC contact ;Mary Parker Person: Prepared :Robin Guthrie By: Phone: ;707-467-2825 Phone: :800-327-7791 pax: Fax: '407-425-1569 pmaa: ~moarkerna.cityofukiah.com Emaa: ': robinp(a~cuesinc.com Product code: GOtI oescdption: i Sewer Inspection for DRW Van ~,~'"~'~` ~ „r :~ L y ]leGi , tMG. C{W[t31IG4t ~ -. ~.r~v ~N. ~.x xY , ~ $72,676.00 ~~ $~(tte t3}tfi4u lC6de is description if applieabh:. Y - .N,a~ s.Y v.. Description Cost Description Cost OZ III camera in lieu of mainline camera $4,415.00 Granite XP Upgrade $19.500.00 side door $800.00 padded bench seat $495.00 Evolution II Interior $3,260.00 Compact Steerable Pipe Ranger Transporter $22,500.00 less Ultra Shorty Transporter -$5,450.00 kemlite wall covering $1,200.00 URW Chassis -Gas $24,682.00 workbench in equipment room $1.650.00 ~ 17" rear monitor $1,475.00 Subtotal from Additional Sheet(s): ~ washdown system $1,050.00 Subtotal B: $75,577.00 l7HpObYnAEtlOptio~A'~bw~sC~t~ .c;Y,'.,t,+,~,yG s (Nd.C:(JIf]JIAh113lIC~t Opha$49TE,kfWfiY1~1,'w~~.~-.,,~ .. Y`ma. ~! }~` ~.' ,,I`~, Description Cost Description Cost storage cabinet $250.00 Steel Wheels, 6". 8" 10' Sets $4.414.00 auto payout $2,050.00 DVD in lieu of VCR $200.00 work top on TV reel $450.00 Subtotal From Additional Sheet(s): $3,450.00 LED front and rear arrowboards $1,777.00 Subtotal C: i $12,591.00 Check: Total cost of Unpublished Options (C) cannot exceed 25% of the total of the Base Unit[ For this transaction the percentage is: 8% Price plus Published Options (A+B). D. Other Chat l;tems 1VaI~Itemfrfd :4havr;{egg. fAStaBsiiom ~ T~+'Gt '!`x1~~ ~ ' Description Cost Description Cost delivery 2200 Subtotal D: 2200 Total Cost Before Mg Aabte'Fradal(o { tiu-ce Allawaoeee I~1i&~® nts{ilrt73+G4D) i $163,044. ~ Quantity Ordered: ~ X Subtotal ofA+B+C+D: 163044 = Subtotal E: i $163,044.00 .8-GAC Fee4tlia .u m ~Y` 6tr[Ei4t~se, j. .; '. Subtotal F: ; $2.445.66 . Tnde•Ius! t~her el~itr}~tes~f 5 , •% ~ .:', ,, ~ ~'~' ' " '- Description Cost Description Cost ~ubtotal G: 0 ~e~!`tr61'~'@'E 6~-9~(iil)' '.... "~,ga,i~t~~RI`~B~fYS@~t1CC ~'rt-~'i-G~: $165,489.66 _~_~r'" __' CONTRACT PRICING WORKSHEET r For Standard Equipment Purchases Contract SCOT-OS No.: Date 6/4/2008 Prepared: 7Ydt~'~rtnAl~aaF~i~$j',~1,prdta~tVSp'~d6toPsrrlteaebrACryr~bTi~t»pj+teH-GAC ?8i41rF-G?f4'~„ ,~re3'If~Ir~td'~~$t»r+lg6~"",' l~ugerti;,pytast~peoe'prirttiegt"tily. saying City of Ukiah Agency: ' Contractor: ?CUES contact Mary Parker Person: Prepared :Robin Guthrie ey: Phone: ;707-467-2825 Phone: :800-327-7791 Fax: Fax: ;407-425-1569 emaa: mparker(ct~.cityofukiah.com emaa: robino(~cuesinc.com Product I C od e Description: ~/i y~- .w • p ~ ~ ~ .i ~'~a~ ~Pxb ~,; -'$ " '~~ " `~x~ F)ption Ctti'le m description if applicable. r i ..: e ... ..ie x ,.<... ...r , ~ ~ a .. Description Cost Description Cost ~ Subtotal From Additional Sheet(s): ~ Subtotal B: ' 0 }~ ~{ y~~~~[ '( > v n .. d Description Cost Description ? Cost 5 draw high quality tool chest 975 roll up sign storage 475 ~ IightweighVhigh strength cable assembly 1000 1000 Subtotal From Additional Sheet(s): ~ eq room non skid flooring 1000 Subtotal C: 3450 Check: Total cost of Unpublished Options (C) cannot cxeeed 25% of the total of the Base Unit': Price plus Published Options (A+B). For this transaction the percentage is: .Other Cost Iters Not I~mixed Ailave`{t5~. I''rag~t, ~ ~'E~~ Description Cost Description Cost Subtotal D: ' 0 7btstCastBetoreNry 7',~41ik~r~ll)i~egp "(~i~ ,~'~li) 's 345 Quantity Ordered: ~ X Subtotal of A + B + C + D: 3450 = Subtotal E: 0 ~, : . H-cec ~~ ~~ ~ _ ` Subtotal F: '. e . Trado-Ltt: / Oise t Description Cost Description Cost Subtotal C: 0 Deilveay Date:: . ~#. T~ta1 Parchase Price (E+F+G): 0° ITEM NO. 11e DATE: August 6 2008 AGENDA SUMMARY REPORT SUBJECT: AWARD OF BID TO TURF STAR, INC. FOR THE PURCHASE OF SEVEN PIECES OF PARKS/ GOLF MAINTENANCE EQUIPMENT IN THE AMOUNT OF $156,486.88 Staff is requesting authorization to purchase seven pieces of maintenance equipment in the amount of $156,486.88 for the City of Ukiah Parks and Golf Maintenance Divisions. The seven pieces include: Groundsmaster 4wd mower (1), Greensmaster mower (2), Top Dresser (1), Pro Core (1), Soil Reliever (1) and Greensmaster walk-behind mower (1). Each piece of equipment is detailed in the replacement justification sheets included as Attachment #1. Of the seven pieces identified there are five needed to replace existing units which have deteriorated past the point of repair and/or maintenance has become too costly to continue use. The remaining two units include the Greensmaster walk behind and the Soil Reliever. The Greensmaster walk behind mower will allow staff to maintain golf greens during the wet seasons when heavy equipment can not be utilized but golf play can continue. With this unit the golf greens can be maintained year round thus increasing access to the golf Continued on Page 2 RECOMMENDED ACTION: Approve award of bid to Turf Star, Inc. for the purchase of seven pieces of Parks/Golf maintenance equipment in the amount of $156,486.88. ALTERNATIVE COUNCIL POLICY OPTIONS: 1. Reject all bids and remand to staff with direction. FUNDING: Amount Budgeted Account Number Additional Funds Requested $49,744.25 698.6001.800.000 N/A $24,337.44/ year for five years 695.6120.255.001 N/A Citizen Advised: N/A Requested by: N/A Prepared by: Sage Sangiacomo, Community/General Services Director, Katie Merz Community Services Supervisor Coordinated with: Mary Horger, Purchasing Supervisor Attachments: #1 Replacement Justification Sheets #2 Bid Specifications for Golf Course Maintenance Equipment #3 Equipment Allocation Table APPROVED: `-~ J~n Chambers, City Manager course and increasing play. The new Soil Reliever will increase water absorption and will ensure proper water distribution and reduce water loss in both park and golf locations. Requests for bids were sent out to all three manufacturers of this type of equipment. (Attachment #2) Bids were returned by all three vendors. Turf Star Inc. was the overall lowest bidder that could supply all of the requested pieces of equipment. (Attachment #3) Bid Summary Table Turf Star Inc. $156,486.88 Reed E ui ment Co $157,246.04 H.V. Carter Co Incomplete Bid During the past three years the Community Services Department has spent in excess of $16,420 on garage labor and over $18,094 in parts; with a combined impact of over $34,500 on our budget. In addition, work time has been lost due to equipment break-down or malfunction. Staff members spend a considerable amount of time repairing equipment and working with equipment that is unsafe. At this time the current Greensmaster and Pro Core unit are not operable while the Groundsmaster and the second Greensmaster units spend considerable amount of time undergoing maintenance. To continue to perform mowing while the Greensmaster unit is inoperable, the Golf Division has been leasing a piece of equipment at a rate of $2,200 per month. The seven units identified are the minimum necessary for efficient management and operation of the golf and park turf areas. Staff and supervisors from the Parks Maintenance Division, the Golf Maintenance Division, the Public Works Garage Equipment and Vehicle Maintenance team, as well as the Golf Pro all unanimously recommend the purchase of this equipment The Park Recreation and Golf Commission supports the purchase of the equipment. Commissioner Don Rones and Commissioner Julie Dunn support this purchase as representatives of the golf community. Attachment # ~ cuy dfu~. Maintenance Equipment Justification Proposed Equipment: Model #30410, Toro Groundsmaster 4000 4wd mower, or, equivalent Department: Community Service Area of use: City Parks and Golf Course Prepared by: Sage Sangiacomo 1 EQUIPMENT PURPOSE Need for equipment within Department fleet This unit is a rotary mower. This unit is used for the Golf Course "rough". This unit is used for turf areas by the Parks Division 2 REPLACEMENT JUSTIFICATION 2.1 Current Equipment Description, Mileage, Funding Source and Market Value Equipment #5401 is a Grounds Master 4000 D. This unit was purchased by the golf fund. This piece of equipment has been used 400- 500 hours a year since it's date in service of 2001. With over 2540 hours logged this Grounds Master and over $11k spent on maintenance in the past three years it was by far our most expensive piece of equipment to keep in working order. The market value of this unit is unknown, but limited given the age and condition. Vehicle Replacement Justification 2.2 Maintenance Costs Overall Condition, Maintenance Costs, Out of Service Time, Parts Availability, and Associated Safety Issues Overall Mechanical Condition: Overall mechanical condition is poor and it's continued operation is limited. Equipment #5401 has over 2540 hours logged this and over $11 k spent on maintenance in the past three years. Maintenance Costs: During the past three years alone the department has spent over $10,595 in garage labor (163 hours) fees. In addition, over $1, 000 was spent on Golf Crew labor. These amounts do not factor in the expense of parts. Out of Service Time: With increased mechanical failures the unit spends a considerable amount of time undergoing maintenance. Parts Availability: Parts are still available for this model year. Associated Safety Issues: 2.3 Shared Resources Define any resources currently available wkhin the City of Ukiah fleet which coukf be ufllired for this purpose. The unit will be shared between Parks and Golf. A review of the City fleet was conducted and no comparable equipment exists for this purpose. 3 PROPOSED VEHICLE SPECIFICATIONS 3.1 Model #30410, Toro Goundsmaster 4000 4wd mower, or equivalent Specifications Unit Groundsmaster Page 2 7/30/2008 Vehicle Replacement Justification Engine: 4-cylinder, liquid-cooled, turbo-charged diesel. 122 cu. In. (2.0 liter) Displacement. 60 hp (44.8 kW) gross, 58 hp (43.3 kW) net and 117 ft.- Ibs. torque at governed speed of 2,600 rpm. 8 quart (7.6 liter) Oil Capacity. Fuel Capacity: 19 gallons (72 liters) diesel fuel. Traction Drive: Full-time, bi-directional, hydrostatic, closed-loop, 4WD transmission. Variable displacement piston pump with servo control powers fixed displacement piston motors which drive signle reduction planetary gear assemblies at each front wheel. Parallel hydraulic flow powers fixed displacement piston motor which drives mechanical axle in rear. 2WD in forward (transport) range. Ground Speed: Transport: 0-15 mph forward, 0-9 mph reverse. Mow: 0-8 mph forward, 0-4 mph reverse. Tires: Front: 26 x 12-12, 6-ply tubeless Multi-Trac. Rear: 20 x 10-10, 6-ply tubeless Multi-Trac. Steering: Power steering with dedicated power source. Steering wheel tilts to desired operator position. Gauges: Hour meter, fuel gauge, engine temperature gauge. Indicator lights for high temperature, oil pressure, alternator and glow plugs. Audible alarm for low oil pressure and high coolant temperature. Controls: Tilt steering, ignition switch, throttle, foot-operated traction pedal, lockable individual brake pedals, parking brake lock, mow/transport speed selector switch, individual deck IifVlower levers, counterbalance adjustment, tow valve, cup holder, toolbox, radio holder and 12-volt power outlet. Cutting Decks: Tvpe -Three rear discharge rotary cutting decks. Width of cut -Overall: 132", Front: 62", Wings: 42", Overlap: 7" Mowino rate -Mows up to 10.6 acres/h at 8 mph. Deck drive -Direct-mounted hydraulic motor into spindle. Remaining spindle(s) driven by individual B-section Kevlar belt. Quick-release belt covers. Construction -Welded steel with steel channel and plate reinforcements. Height of Cut - 1-5" in .5" increments. Ground Following - 6" anti-scalp cups on each blade, adjustable skids on each deck, 4 anti-scalp rollers on front deck and 1 on each wing. Protection - Bi-directional, impact absorption device on each wing deck. Spindles - 1.25" diameter spindle shafts, 9" diameter conical ductile iron housing, and 2 greaseable tapered roller bearings. INCLUDE THE FOLLOWING OPTIONS: • Qty: 1 each, Model 30621 Air Ride Suspension Kit • Qty: 1 each, Model 30622 Grammer Air Ride Seat • Qty: 1 each, Model 108-1450 Atomic Blade (Set of 7) Unit Groundsmaster Page 3 7/30/2008 _ Vehicle Replacement Justification ALTERNATIVE FUEL AND CARB REGULATIONS 3.2 Alternative Fuels Availability Proposed Vehicle Akemative Fuels Availability Staff continues to research the feasibility of using alternative fuel vehicles and maintenance equipment, however no alternatives have been found at this time. 3.3 CARB STANDARDS CARB STANDARDS According to the California Air Resources Board CARB regulations apply to diesel off-road vehicles that are self propelled that are 25 horse power or over. This unit meets the CARB standards based on the regulation specifications and fleet size. The City of Ukiah is classified under the "small fleet" regulation. Beginning in 2015, each year, the regulation requires each small fleet to meet the fleet average emission rate target for particulate matter (PM) or apply the highest level verified diesel emission control system to 20 percent of its horsepower. Small fleets can reduce their PM emissions either by applying exhaust retrofits that capture pollutants before they are emitted to the air, or by accelerating turnover of fleets to newer, cleaner engines. Small fleets need to report to ARB beginning August 1, 2009. Annually thereafter, they need to report any changes to their fleet. Unit Groundsmaster Page 4 7/30/2008 cixy ofuk~,a.H. Maintenance Equipment Justification Proposed Equipment: 2 UNITS: Model #04356, Toro Greensmaster 3100 mower, or, equivalent Department: Community Service Area of use: City Parks and Golf Course Prepared by: Sage Sangiacomo 1 EQUIPMENT PURPOSE Nesd for equipment within Department fleet 2 precision cutting units. One unit will be used for greens and the other unit will be used for tees and collars. The amount of hours for use and usage requires 2 units. 2 REPLACEMENT JUSTIFICATION 2.1 Current Equipment Description, Mirage, Funding Source and Market Value Purchased by the golf fund. Unit 1: Equipment #5442 is a Greens Master 3050. Currently used to mow greens. This piece of equipment has been used 420- 450 hours a year since it was purchased in 1999. Over 4, 386 hours logged. Unit 2: Equipment #5432 is a Greens Master 3000. Currently used to mow tees and collars. This piece of equipment has been used approximately 380 hours a year since it was purchased in 1993. Over 5, 686 hours logged. Toro, the manufacturer, is no longer producing the Greens Master 3050 and the Green Master 3000 which makes is more difficult to secure parts. The market value of these units is unknown, but limited given the age and condition of the equipment. Vehicle Replacement Justification 2.2 Maintenance Costs Overall Condkion, Maintenance Coats, Out of Service Time, Parts Availability, and Associated Safety Issues Overall Mechanical Condition: Unit 1: Equipment #5442, over 4, 386 hours logged this Greens Master is unreliable with increased mechanical failures and spends a considerable amount of time undergoing maintenance. Unit 2: Equipment #5432, over 5, 686 hours logged this Greens Master has exceeded it's lifetime. The unit is currently out of operation and is no longer economically viable to repair with an initial estimated repair cost over $6, 000. Maintenance Costs: During the past three years alone the department has spent over $1, 885 in garage labor (29 hours) fees. In addition, over $1,000 was spent on Golf Crew labor. These amounts do not factor in the expense of parts. Out of Service Time: Unit 1: Equipment #5442, increased mechanical failures and spends a considerable amount of time undergoing maintenance. Unit 2: Equipment #5432, The unit is currently out of operation Parts Availability Toro, the manufacturer, is no longer producing the Greens Master 3050 and the Green Master 3050 which makes is more difficult to secure parts. Associated Safety Issues: Potential buyers should be made aware of the age of this equipment and it may not meet current safety standards. 2.3 Shared Resources Define any resources currently available within the City of Ukiah fleet which cook! be utilized for this purpose. __ Both units have a specific purpose related to golf operations and has not been proven to be of use to any other department. In addition, a review of the City fleet was conducted and no comparable equipment exists for this purpose. 3 PROPOSED VEHICLE SPECIFICATIONS Unit Greensmaster: Page 2 7/30/2008 Vehicle Replacement Justification 3.1 Model #04356, Toro Greensmaster 3100 mower, or, equivalent Specifications Two (2) Each, Model #04356, Toro Greensmaster 3100, or equivalent. Type of Cutter: Three 21" reels. Height of Cut: HOC range: 1/8" - 3/4 " Optional Bedknives: Bedknife Blade Thickness Micro-Cut Bedknife 5/64" Tournament Bedknife (SPA std.) 3/32" Lo-Cut Bedknife (04408 & 04406 std.) 1/8" High-Cut Bedknife 3/16" Fairway Bedknife 1/4" HOC and Roller Front Roller: Micrometer hand adjustment; 1 turn = .025" HOC Adjustment: change. Rear Roller SPA Cutting Units: 4 fixed hole positions. Left-hand shoulder bolt has eccentric to provide rear roller leveling. Rear Roller 4-Bolt Adiustment: Cutting Units: adjustable swing arm to also provide for rear roller leveling. Reel/Frame: Reels are 5" diameter. High carbon steel blades, RC-42-48. Reel blades are welded to 5 stamped steel spiders. Welded cutting unit frame. Bedknife and Single Point Adiustment (SPA) Models: Replaceable single Bedbar: edged, high carbon steel bedknife austempered to RC 48-55, fastened to a machined cast iron bedbar. The bedbar pivots on 4 rubber bushings. The left end has an eccentric pivot bolt for leveling. 4-Bolt Adiustment Models: Opposed screw adjustment, replaceable bedknife. Clip Frequency and Model: 11-Blade: 04406, 04450; Inches (max.l:.18"; Cuts per Optimum HOC Meter: 217; Optimum HOC Ranae: 1/8-7/32" Range: Bedknife to Reel SPA Models: Bedknife adjusts against reel with a single point Adjustment: control knob containing detents of .001" bedknife movement for each indexed position. 4-Bolt Models: Opposed screw adjusts bedknife to reel. Reel Drive: Each reel is powered by a quick disconnect gear type motor with displacement of .43 cu. In./rev. Rollers: Front and rear rollers are 2" diameter with regreaseable water pump type bearings. Front rollers must be ordered separate. Unit Greensmaster: Page 3 7/30/2008 Vehicle Replacement Justification INCLUDE THE FOLLOWING OPTIONS: • Qty: 6 each, Model 04611 11 Blade Reels DPA (Dual Point Adjust) • Qty: 2 each, Model 04627 Wide Wielhe Rollers Set of 3 (Aluminum) • Qty: 2 each, Model 105-3848 Light Kit ALTERNATIVE FUEL AND CARB REGULATIONS 3.2 Alternative Fuels Availability Proposed Vehicle Alternative Fuels Availability Staff continues to research the feasibility of deploying alternative fuel equipment. However at this time no alternative fuel equipment has been identified at this time. 3.3 CARB STANDARDS CARB STANDARDS CARB regulations do not apply to this purchase Unit Greensmaster: Page 4 7/30/2008 Cttl~ of itl~~ah Maintenance Equipment Replacement Justification Proposed Equipment: Model #044507 Toro Top Dresser 2500, or equivalent, Department: Community Service Area of use: City Parks and Golf Course Prepared by: Parks/Golf Staff EQUIPMENT PURPOSE Need for equipment within Department fleet __ This unit applies material over seed or turf (top dressing). It can be used for applying materials such as soils, compost, fertilizer and so on. On the golf course this unit is used after verta cutting or arkcation to apply sand and is essential for healthy greens. In parks this unit is used for over seeding and maintaining level surfaces such as ~ playing fields. In both applications it is essential to maintaining even surfaces, thus preventing holes and ruts, and maintaining safety at parks and golf locations. 2 REPLACEMENT JUSTIFICATION 2.1 Current Vehicle Description, Mileage, Funding Source and Market Value Equipment #5870 is a Turtco Mete-r-matic top dresser that was purchased by the golf fund. This piece of equipment has been used 50-60 hours a year since it was ~ purchased in 1987. The market value of this unit is unknown, but limited given the age and condition. Vehicle Replacement Justification 2.2 Maintenance Costs Overall Condition, Maintenance Costs, Out of Service Time, Parts Availability, and Associated Safety Issues _----- - -- ---------- --j Overall Mechanical Condition: The unit is no longer working in that iYs not capable of applying an even layer of material. Maintenance Costs: Vehicle maintenance records indicate the department has spent $1,940 dollars in labor, maintaining equipment #5870 in just the last three years. Out of Service Time: The unit spends a considerable amount of time undergoing maintenance. Parts Availability: Most parts are still available for this model year. Associated Safety Issues: Potential buyers should be made aware of the age of this equipment and it may not meet current safety standards. This unit does not have a breaking system and has a manual on/off switch. Both of these present a potential safety risk to personnel operating the equipment. 2.3 Shared Resources Define any resources currently available within the City of Ukiah fleet which could be utilized for this purpose. This unit has been identified to have a need in both Parks and Golf Divisions. In addition, the unit could be utilized in other City Departments that maintain open space such as the Airport. A review of the City fleet was conducted and no comparable equipment exists for this purpose. Unit Top Dresser Page 2 7/29/2008 VehiGe Replacement Justification 3 PROPOSED VEHICLE SPECIFICATIONS 3.1 Model #044507 Toro Top Dresser 2500, or equivalent, Specifications One (1) Each Hopper Capacity: 25 cubic feet Spreading Width Belt: Application Rate: Height: Width: Length: Weight: *All Wheel Drive *Ground-Powere~ 60 inches Seamless Fully variable, light to heavy 42.5" 73" 101.5" 4,454 lbs. i Hydraulic Drive INCLUDE THE FOLLOWING OPTIONS: • Qty: 1 each, Model 106-9680 Hydraulic Brake Kit • Qty: 1 each, Model 51-0110 Transmission Filter Kit • Qty: 1 each, Model 106-9699 Jack Stand Kit ALTERNATIVE FUEL AND CARB REGULATIONS 3.2 Alternative Fuels Availability Proposed Vehicle Alternative Fuels Availability i Staff continues to research the feasibility of using alternative fuel vehicles and maintenance equipment, however no alternatives have been found at this time. ~ 3.3 CARB STANDARDS CARB STANDARDS Unit Top Dresser Page 3 7/29/2008 Vehicle Replacement Justification CARB regulations do not apply to this purchase. Unit Top Dresser Page 4 7/29/2008 c~t~ o f i~l~~a h Maintenance Equipment Replacement Justification Proposed Equipment: Model #09200 Toro Pro Core 648, or equivalent Department: Community Service Area of use: City Parks and Golf Course Prepared by: Sage Sangiacomo 1 EQUIPMENT PURPOSE Need for equipment within Department fleet ~ This unit is used to aerate greens, tees and turf. The unit punches holes to the desired depth to allow air, water, and root expansion. The unit is essential for healthy turf. This unit will be utilized by both Parks and Golf Divisions. 2 REPLACEMENT JUSTIFICATION 2.1 Current Equipment Description, Mileage, Funding Source and Market Value ~ Equipment #5731 is a Ryan GA30 Greens Aerator was purchased by the golf fund. This piece of equipment has been used 100-150 hours a year since it was purchased in 1989. With over 2713 hours logged this piece of equipment has deteriorated past the point of repairs and is no longer in service. The market value of this unit is unknown, given the age and condition (not operable). Vehicle Replacement Justification 2.2 Maintenance Costs Overall Condition, Maintenance Costs, Out of Service Time, Parts Availability, and Associated Safety Issues Overall Mechanical Condition: Equipment #5731 has over 2713 hours logged this piece of equipment has deteriorated past the point of repairs and is no longer in service. Maintenance Costs: During the past three years alone the department has spent over $3, 300 in garage labor (44 hours) and Golf Crew labor. Out of Service Time: The unit spends a considerable amount of time undergoing maintenance. The unit has been not operable since March 2008. Parts Availability: Limited availability on parts for this model year. Associated Safety Issues: Potential buyers should be made aware of the age of this equipment and it may not meet current safety standards. 2.3 Shared Resources Define any resources currently available within the City of Ukiah fleet which This unit will be used by both the Golf and Parks Divisions. A review of the City fleet was conducted and no comparable equipment exists for this purpose. 3 PROPOSED VEHICLE SPECIFICATIONS 3.1 Model #09200 Toro Pro Core 648, or equivalent, Specifications One (1) Each, Unit Pro Core Page 2 7/29/2008 Vehicle Replacement Justification Coring: Width: 48" Depth: Down to 4" Head: Heavy-duty crank shaft with six "I-beam" tine arms Depth control: TrueCore System for full-time, automatic contour following. Hole Spacing: Detent 1: 1.5" 16,000 sq. ft./hr. max Detent 2: 2.0" 21,350 sq. ft./hr. max Detent 3: 2.5" 26,700 sp. ft./hr. max Detent 4: 3.0" 32,000 sq. ft./hr. max Productivity: Able to aerate 18-6500 sq ft greens in about 7 hrs at 2" hole spacing Speed 8 Direction: Forward: 0-3.5 mph, Reverse: 0-2.0 mph, fully variable Tines/Diameter: Needle tines: 3/16", 5/16" Solid tines: 3/8", 7/16", 1/2", 5/8" Side-eiecttines: 1/4", 1/2", 5/8", 3/4" Hollow tines: 3/8", 1/2"*, 1/2", 5/8"*, 5/8" *Extended hollow or side eject tine, 1/2" or 5/8", required for 4" aeration depth. Tine Holders: 3-tine: 2.6" lateral spacing 4-tine: 2" lateral spacing Mini-tine: 1.6" lateral spacing Mini-tine: 1.33" lateral spacing, one row of six Needle-tine: 1.6" lateral spacing Controls: Ignition switch, throttle, choke, parking brake, traction lever for forward and reverse, coring head raise/lower switch, selector knob for aeration spacing, TrueCore ground following switch, system reset, and aeration depth selector. Engine: Model: Kohler 2-cylinder, air-cooled, gasoline Rating: 23 HP (17.2 kW) @ 3000 rpm Displacement: 41 cu. In. Noise: Operator ear: 82 dB Capacities: Fuel: 7.5 gal. Enoine oil w/filter: 2 qt. Hydraulic oil: 3.0 gal. Electrical: Battery: 12 volt, 300 cold cranking amps @ 0 deg. F Instrumentation: Hour/tachometer Controller: Micro-processor logic control for troubleshooting Tires: Front & rear: 20 x 10-10, 2 ply rated, smooth tread, tubeless Brakes: Service: Dynamic through hydrostatic transmission Parking: Hand-actuated on handle Dimensions: O ve ra I l length : 104.5" Overall width: 50" Unit Pro Core Page 3 7/29/2008 Vehicle Replacement Justification Height w/head raised: 45.0" Wheel base: 44.5" Ground clearance: 4.75" Weight (less fuel): 1,590 lbs. Drive Train: Patented 3-wheel drive Series/Parallel, hydrostatic, closed loop INCLUDE THE FOLLOWING OPTIONS: • Qty: 3 each, Model 09736 Mini Tine Head Kit (2 rows of 5) • Qty: 3 each, Model 09796 4-Tine'/<" Head Kit • Oty: 2 each, Model 110-4361 Turf Guard for 4 Tine Head • Qty: 1 each, Model 110-4362 Turt Guard for 4 Tine Head • Qty: 2 each, Model 110-4365 Turt Guard for 5 Tine Head • Qty: 1 each, Model 110-4366 Turf Guard for 5 Tine Head • Qty: 24 each, Model 104-9876 5/8" HD Side Eject Tines • Qty: 1 each, Model 09220 Windrow Kit • Qty: 1 each, Model 09225 Tire Scrapers • Qty: 1 each, Model 09234 Rear Roller Kit • Qty: 1 each, Model 99-6166-01 Counterweight-Front • Qty: 60 each, Model 108-9108 Quad Tine 1/4" Coring Tine • Qty: 24 each, Model 108-9167 1/2" HD Side Eject Tines • Qty: 60 each, Model 108-9235 Titan Solid Tine 1/4" Round ALTERNATIVE FUEL AND CARB REGULATIONS 3.2 Alternative Fuels Availability Proposed Vehicle Alternative Fuels Availability_ _ Staff continues to research the feasibility of using alternative fuel vehicles and maintenance equipment, however no alternatives have been found at this time. I Unit Pro Core Page 4 7/29/2008 Vehicle Replacement Justifcation 3.3 CARB STANDARDS CARB STANDARDS ----_ --- --- ----- -- ----_-I CARB regulations do not apply to this purchase. i Unit Pro Core Page 5 7/29/2008 cuy ofuki,a~. Maintenance Equipment Replacement Justification Proposed Equipment: Model #SR72, Southern Green Soil Reliever Deep Tine Aerifier 3 pt., or equivalent Department: Community Service Area of use: City Parks and Golf Course Prepared by: Parks/ Golf Staff 1 VEHICLE PURPOSE ------------------ Need for equipment within Department fleet This unit can penetrate 10 inches into the soil reducing compaction. It is typically used j in large scale areas such as fairways and rough, but can also be used for greens and tees. With regular use of this unit, the soil can absorb water more efficiently. This unit ~ is necessary to ensure proper distribution of water, reduce puddling, reduce evaporation and water loss. 2 PROPOSED VEHICLE SPECIFICATIONS 2.1 -Model #SR72, Southern Green Soil Reliever Deep Tine Aerifier 3 pt., or equivalent, Specifications One (1) Each, Machine Weight 2000 lbs. (without P.T.O. or Optional Equipment): Working Width: 72" Working Depth (adjustable): 1" - 16" Hole Spacing (on machine): • Large tines 3/4" & greater: 5" • Small tines 1/2" shank: 3-1/3" Capacity -Greens: 1.8,000 Sq. Ft. per hour Recommended Tractor Size: from 35 - 55 HP Recommended Lift Capacity: 2800+ lbs. Vehicle Replacement Justification (at all lift ends) Recommended Counter Weight: 300 - 500 lbs. (on the front of the tractor) Recommended P.T.O. Speed: up to 500 RPM (while operating) Actual Working Speed 08- 1.2 M.P.H. @400 P.T.O. R.P.M. (varies with hole spacing): Lift System: Standard 3 Point Creeper gear is not required for 4-inch patterns. ALTERNATIVE FUEL AND CARB REGULATIONS 2.2 Alternative Fuels Availability Proposed Vehicle Akernative Fuels Availabili ~, --- -- Staff continues to research the feasibility of using alternative fuel vehicles and maintenance equipment, however no alternatives have been found at this time. i i 2.3 CARB STANDARDS CARE STANDARDS CARB regulations do not apply to this purchase. Unit: Soil Reliever Page 2 7/29/2008 cuy ofur~. Maintenance Equipment Replacement Justification Proposed Equipment: Model #04052, Toro Greensmaster 1000 Series Walk-Behind Mower, or equivalent Department: Community Service Area of use: City Parks and Golf Course Prepared by: Parks/Golf Staff 1 EQUIPMENT PURPOSE Need for equipment within bepaRment fleet This unit is needed to manage greens during wet conditions when the heavy ~ equipment can not be utilized. With this unit golf greens can be maintained year-round 'i thus increasing access to the golf course and increasing play. i ----- ---- - -- ------- ----------I 2 PROPOSED EQUIPMENT SPECIFICATIONS 2.1 Model #04052, Toro Greensmaster 1000 Series Walk-Behind Mower, or equivalent, Specifications One (1) Each, Engine: Kawasaki 4-cycle, 3.7 hp (2.7kW), air-cooled OHV engine, 3600 rpm, Displacement: 7.57 cu. In (124 cc). Cast iron cylinder sleeve. Output shaft speed is 1800 rpm. Electronic ignition with integral lighting coil. Maximum noise suppression muffler. 83 dB(A) at operator's ear. Fuel capacity: 2.64 quarts regular grade unleaded gasoline Traction and Engine to countershaft drive: two "A" section V-belts. Timing Implement Drive: belts from countershaft to differential, drive drum and reel. Ground speed: Mowing speed: 1.3 mph to 3.5 mpg. Transport speed (max): 5.3 mph Differential: Peerless Series 100 Clutches: Traction: inside belt idler. Reel: jaw type. Vehicle Replacement Justification 2.3 CARB STANDARDS CARB regulations do not apply to this purchase. Unit: Greensmastertyalk-behind Page 3 7/29/2008 Rttachment # CITY of UKIAH 300 Seminary Avenuc 14 Pages total Ukiah CA. 95482 Phone 707-463-6233, Faz 707-4G3-6234 REQUEST FOR BID FAX RESPONSE WILL BE ACCEPTED RETURN THIS FORM DATE: 3/3/2008 THIS IS NOT AN ORDER REQ. NO. E2a902 BIDS WILL BE RF.CEIVGD UNTIL TO: 1:30 p.m., March 11th, 2008 AT THk: OFFICE OP TH F: PURCIIASIVG SUPERVISOR 300 SEMINARI' AVE. CI'CY of UKIAH BY: Mary I lorger I?IDS ARE REQl1FS'rED FOR TIIE FOLLOWING ITEMS. ALL BIDS SHALL BE E.O.B. UKIAH, CA. QEANTITY DESCRIPTION l!NIT PRICF, EXTENDED PRICE ITEM #l: 1 each Model #30410, Toro Groundsmaster 4000 4wd mower, or equivalent , as per attached City of Ukiah equipment specification. If offering equivalent, state manufacturer and model: /nclude the following options: I each Model 30621 Air Ride Suspension Kit 1 each Model 30622 Grammer Air Ride Seat I each Model 108-1450 Atomic Blade (Set of 7) ITEM #2: 2 each Model #04356, Toro Greensmaster 3100 mower, or equivalent , as per attached City of Ukiah equipment specitcation. If offering equivalent, state manufacturer and model: /nelude the following options: 6 each Model 04611, I 1 Blade Reels DPA (Dual Point Adjust) 2 each Model 04627, Wide Wielhe Rollers Set of 3 (Aluminum) 2 each Model 105-3848, Light Kit TERMS: NET 30 DEL. TO: F.O.B. UKIAH LEAD TIME .4 RO: COMPANY NAME: TORE: NAME: PHONE: F'AX: DATE: CONTINUED NEXT PAGE TERMS: 1. Right is reserved to reject any and all bids. 2. Right is reserved to accept separate items unless specifically denied by bidtler. 3. Right is reserved to reject a bid from any bidder who has previously failed to pertonn adequately for the City of Ukiah. 4. In CASE OF DEFAULT, the City of Ukiah may procure the items quoted on from other sources and hold the original bidder liable for any increased costs. 5. The price, terms, delivery point, and delivery date may intlividually or collectively be the basis of the awarding of the bid. 6. ALL BIDS MUST BE SIGNED. 7. In submitting the bid, bidder agrees that the bid shall remain open and may not be revoked or withdrawn for 60 days from the bid due date, unless a different time period is specified in RFB. 8. Bidder agrees to perform according to its bid, if the City's acceptance is communicated to the bidder within the time specified in number 7 above. CITY of UKIAH 300 Seminary Avenue Ukiah CA. 95482 Phone 707-463-6233,1°ax 707-463-6234 REQUEST FOR BID FAX RESPONSE WILL BE ACCEPTED RETURN THIS FORM DATE: 3/3/2008 THIS IS NOT AN ORDER REQ. NO. E28902 - RIDS WILL BE RECEIVED UNTIL TO: 1:30 p.m., March 11th, 2008 A'1 TI IE OFFICE OF THE: PURCII.4SIVG SUPERVISOR 300 SF_bIIhARY AVF'_ CI IY orU61AH BY: Mary Horgcr BIDS net Re ~~uESrED EoR rRE Pou.owlNC Ircros. ALL BIDS SHALL BE F.O.B. UKIAH, CA. QCANTITY DESCRIPTION UNIT PRICt; EXTENDED PRICE ITEM #3: 1 each Model #44507, Toro Top Dresser 2500, or equivalent, as per attached City of Ukiah equipment specification. If offering equivalent, state manufacturer and model: Include thefollowing options: 1 each Model 106-9680, Hydraulic Brake Kit - 1 each Model 51-0110, Transmission Filter Kit - 1 each Model 106-9699, Jack Stand Kit - ITEM #4: I each Model #09200, Toro Pro Core 648, or equivalent, as per attached City of Ukiah equipment specification. If offering equivalent, state manufacturer and model: Include the following options: 3 each Model 09736, Mini Tine Head Kit (2 rows of 5) - 3 each Model 09796 4-Tine 3/4" Head Ki[ 2 each Model 1 10-4361, Turf Guard fro 4 Tine Head - 1 each Model 110-4362. Turf Guard for 4 Tine head - 2 each Model 1 10-4365, Turf Guard for 5 Tine Head - I each Model 110-4366 Turf Guard for 5 Tine Head - 24 each Model 104-9876, 5/8" HD Side Eject Tines - I each Model 09220, Windrow Kit - CONTINUED NEXT PAGE - 1 r,Nms TERMS: NET 30 1. Right is reserved to reject any and all bids. DF,L.'1'O: 2. Right is reserved to accept separate items unless specifically denied by bidder. F.O.B. UKIAH 3. Right is reserved to reject a bid from any bidder who has previously failed to pedorm LF,AD TMF, ARO: adequately for the City of Ukiah. COMPANY' NA!NE: 4. In CASE OF DEFAULT, the City of Ukiah may procure the items quoted on from other sources and hold the original bidder liable for any increased costs. SIGNATUUE: 5. The price, terms, delivery point, and delivery date may individually or collectively be the PAINT N.aME: basis of the awarding of the bid. TITLE: 6. ALL BIDS MUST BE SIGNED. PHONE: 7. In submitting the bid, bidder agrees that the bid shall remain open and may not be revoked F:~X: or withdrawn for 60 days from the bid due date, unless a different time period is specified O.a'rt;o in RFB. 8. Bidder agrees to pertorm according to its bid, if the City's acceptance is communicated to the bidder within the time specified in number 7 above. CITY of UKIAH 300 Seminary Avenue Ukiah CA. 95482 Phone 707-463-6233. Fax 707-463-6234 REQUEST FOR BID FAX RESPONSE WILL BE ACCEPTED RETURN THIS FORM DATE: 3/3/2008 THIS IS NOT AN ORDER REQ. NO. E26902 - BIDS WILL RE RECEI VED UN'tll, TO: 1:30 p.m., March 11th, 2008 AT'rHE OPFIC80h TIT[ Pl!RCHASING SUPERVISOR 300 SGMI~ARY AVF.. CITY ofCKl AlI BY: Man' Ilorger BIDS ARF REQUESTED FOR TIIE FOLLOWING I'T'EMS'. ALL BIDS SHALL BE F.O.B. UKIAH, CA. QtANTITY DESCRIPTION CN I'r PRICE EXTENDED PRICE 1 each Model 09225, Tire Scrapers I each Model 09234 Rear Roller Kit - 1 each Model99-6166-01 Counterweight-Front - 60 each Model 108-9108 Quad Tine I /4" Coring Tine - 24 each Model 108-9767, 1/2" HD Side Eject Tines - 60 each Model 108-9235 Titan Solid Tine I /4" Round - ITEM #5: - 1 each Model SR72, Southern Green Soil Reliever, orequivalent, as per attached City of Ukiah equipment specification. If offering equivalent, state manufacturer and model: Subtotal: Tax (7.75%): Freight: GRAND TOTAL: Please list Finance Options below: TF.R~1S: TERMS: NET $~ 1. Right is reserved to reject any and all bids. DF:1.. TO: 2. Right is reserved to accept separate items unless specifically denied by bidder. F.O.B. UKIAH 3. Righ[ is reserved to reject a bid from any bidder who has previously failed to pertonn LEAD TIMF: ARO: atlequately for the Ciry of Ukiah_ COYIPA\Y' NAME: 4. In CASE OF DEFAULT, the City of Ukiah may procure the items quoted on from other sources and hold the original bidder liable for any increased costs. SIGNATURE: 5. The price, terms, delivery point, and delivery date may individually or collectively be the PRI9'I'tiAME: basis of the awarding of the bid. TITLE: 6. ALL BIDS MUST BE SIGNED. PIiDNE: 7. In submitting the bid, bidder agrees that the bid shall remain open and may not be revoked F'.aX: or withdrawn for 60 days from the bid due date, unless a different time period is specified nnTE: in RFB. 8. Bidder agrees to pertorm according to its bid, if the City's acceptance is _ communicated to the bidder within the time specified in number 7 above. Page 1 of 13 CITY OF UKIAH EQUIPMENT SPECIFICATION #E28902, Revision 1 SPECIFICATION FOR SIX (6) NEW EQUIPMENT ITEMS FOR GOLF COURSE MAINTENANCE The City of Ukiah invites bids for furnishing six (6) new equipment items for golf course maintenance. The following specifications shall be considered minimum. All deviations from these specifications shall be described in the bid. There will be no trade-ins involved in this bid. Bidder shall, as indicated on the Request for Bid form, state the total price for each piece of equipment as specified (including any options and accessories), sales tax, destination charges and any other applicable fees or charges, FOB the City of Ukiah. Only bids from manufacture authorized dealers will be considered. GENERAL INSTRUCTIONS TO BIDDERS Each bidder shall attach to his bid a complete detailed description of the unit he proposes to furnish. All equipment catalogued as standard shall be furnished and included in the purchase price of the unit. The total price shall include all equipment, accessories and optional items. In making its selection, the City will consider all factors relating to the equipment including operating performance, operator comfort, safety, service and parts availability as well as cost. The equipment furnished under these specifications is to carry the standard warranty offered to the general public. Please provide a complete detailed description of the standard warranty for each item with the bid. Extended warranty options should also be included with bid. Warranty will start upon the acceptance of the completed unit by the City of Ukiah. Vendor/Dealer shall be responsible for transportation and associated costs from the City facility to the designated warranty repair facility and return to the City's facility for the unit bid throughout the entire warranty period including extensions. Each bidder is requested to provide a list of warranty and service agencies in the Northern California area that provide warranty and service work for the equipment being presented for bid. Page 2 of 13 Each bidder will be required to provide a list of references of other golf courses using equipment being offered. References provided are to be located within a 100 mile radius of the City of Ukiah. The City may request, if deemed necessary, demonstration units to evaluate the equipment being offered in Vendor's bid response. If this is requested, vendor is to supply the demonstration equipment at no additional cost to the Ciry. At the option of the City of Ukiah, the successful bidder shall be required to provide up to eight (8) hours of safety and operation training and eight (8) hours of mechanic training. Vendor/Dealer shall be responsible for vehicle/equipment compliance with all applicable codes, regulations, laws, etc., governing such vehicle/equipment at the time of delivery. Acceptance of such vehicle/equipment by the City of Ukiah shall not relieve bidder of the responsibility of items that do not meet such requirements. Should any of these specifications conflict with any code, regulation, law, etc., the bidder shall notify the City of Ukiah before manufacturing starts. Bidder shall not be held responsible for changes required by codes, laws, regulations, etc., to equipment after the time of delivery. Vendor/Dealer shall be responsible for licensing the vehicle/equipment as required by the State of California, and Mendocino County. The unit shall be delivered with a temporary registration. Owner documents shall reflect the owner as the City of Ukiah, 300 Seminary Avenue, Ukiah, California 95482. Bidder shall provide for each unit all operator and service manuals, as well as for all accessories. The manuals provided shall be current and of the same model provided to the City, not for "similar" models. Two (2) operator manuals shall be provided. They City shall not accept the vehicle/equipment until all the conditions of this specification are met. The time period of terms and conditions of payment shall not begin until after the City has accepted the purchase. The City reserves the right to reject any or all bids and to determine which bid, in its opinion, will best serve the needs and requirements of the City. The successful bidder shall supply the equipment fully equipped and ready for service at the time of delivery. Page 3 of 13 EQUIPMENT ITEM # 1: One (1) Each, Model #30410, Toro Groundsmaster 4000 4wd mower, or equivalent. Engine: 4-cylinder, liquid-cooled, turbo-charged diesel. 122 cu. In. (2.0 liter) Displacement. 60 hp (44.8 kW) gross, 58 hp (433 kW) net and 117 ft.-Ibs. torque at governed speed of 2,600 rpm. 8 quart (7.6 liter) Oil Capacity. Fuel Capacity: 19 gallons (72 liters) diesel fuel. Traction Drive: Full-time, bi-directional, hydrostatic, closed-loop, 4WD transmission. Variable displacement piston pump with servo control powers fixed displacement piston motors which drive signle reduction planetary gear assemblies at each front wheel. Parallel hydraulic flow powers fixed displacement piston motor which drives mechanical axle in rear. 2WD in forward (transport) range. Ground Speed: Transport: 0-15 mph forward, 0-9 mph reverse. Mow: 0-8 mph forward, 0-4 mph reverse. Tires: Front: 26 x 12-12, 6-ply tubeless Multi-Trac. Rear: 20 x ]0-10. 6-ply tubeless Multi-Trac. Steering: Power steering with dedicated power source. Steering wheel tilts to desired operator position. Gauges: Hour meter, fuel gauge, engine temperature gauge. Indicator lights for high temperature, oil pressure, alternator and glow plugs. Audible alarm for low oil pressure and high coolant temperature. Controls: Tilt steering, ignition switch, throttle, foot-operated traction pedal, lockable individual brake pedals, parking brake lock, mow/transport speed selector switch, individual deck lift/lower levers, counterbalance adjustment, tow valve, cup holder, toolbox, radio holder and 12-volt power outlet. Cutting Decks: TYpC -Three rear discharge rotary cutting decks. Width ofcut-Overall: 132", Front: 62", Wings: 42", Overlap: T' Mowinc rate -Mows up to 10.6 acres/h at 8 mph. Deck drive -Direct-mounted hydraulic motor into spindle. Remaining spindle(s) driven by individual B-section Kevlar belt. Quick-release belt covers. Construction -Welded steel with steel channel and plate reinforcements. Page 4 of 13 Heieht of Cut- I-5" in .Y' increments. Ground Followine - 6" anti-scalp cups on each blade, adjustable skids on each deck, 4 anti-scalp rollers on front deck and 1 on each wing. Protection - Bi-directional, impact absorption device on each wing deck. Spindles - 1.2Y' diameter spindle shafts, 9" diameter conical ductile iron housing, and 2 greaseable tapered roller bearings. INCLUDE THE FOLLOWING OPTIONS: • Qty: 1 each, Model 30621 Air Ride Suspension Kit • Qty: 1 each, Model 30622 Grammer Air Ride Seat • Qty: 1 each, Model 108-1450 Atomic Blade (Set of 7) Page 5 of 13 EQUIPMENT ITEM # 2: Two (2) Each, Model #04356, Toro Greensmaster 3100, or equivalent. Type of Cutter: Three 2 L" reels. Height of Cut: HOC range: 1/8" - 3/4 " Optional Bedknives: Bedknife Blade Thickness Micro-Cut Bedknife 5/64" Tournament Bedknife (SPA std.) 3/32" Lo-Cut Bedknife (04408 & 04406 std.) 1/8" High-Cut Bedknife 3/16" Fairway Bedknife 1/4" HOC and Roller Front Roller: Micrometer hand adjustment; 1 turn = .025" HOC Adjustment: change. Rear Roller SPA Cuttine Units: 4 fixed hole positions. Left-hand shoulder bolt has eccentric to provide rear roller leveling. Rear Roller 4-Bolt Adiustment: Cutting Units: adjustable swing arm to also provide for rear roller leveling. Reel/Frame: Reels are Y' diameter. High carbon steel blades, RC-42-48. Reel blades are welded to 5 stamped steel spiders. Welded cutting unit frame. Bedknife and Sinele Point Adiustment (SPA Models: Replaceable single Bedbar: edged, high carbon steel bedknife austempered to RC 48-55, fastened to a machined cast iron bedbar. The bedbar pivots on 4 rubber bushings. The left end has an eccentric pivot bolt for leveling. 4-Bolt Adiustment Models: Opposed screw adjustment, replaceable Bedknife. Clip Frequency and Model: 11-Blade: 04406, 04450; Inches (maxJ:.l8"; Cuts ner Optimum HOC Meter: 217; Optimum HOC Ranee: 1/8-7/32" Range: Bedknife to Reel SPA Models: Bedknife adjusts against reel with a single point Adjustment: control knob containing detents of .001" Bedknife movement for each indexed position. 4-Bolt Models: Opposed screw adjusts Bedknife to reel. Reel Drive: Each reel is powered by a quick disconnect gear type motor with displacement of .43 cu. In./rev. Page 6 of 13 Rollers: Front and rear rollers are 2" diameter with regreaseable water pump type bearings. Front rollers must be ordered separate. INCLUDE THE FOLLOWING OPTIONS: • Qty: 6 each, Model 0461 1 11 Blade Reels DPA (Dual Point Adjust) • Qty: 2 each, Model 04627 Wide Wielhe Rollers Set of 3 (Aluminum) • Qty: 2 each, Model 105-3848 Light Kit Page 7 of 13 EQUIPMENT ITEM # 3: One (1) Each, Model #044507 Toro Top Dresser 2500, or equivalent. Hopper Capacity: 25 cubic feet Spreading Width: 60 inches Belt: Seamless Application Rate: Fully variable, light to heavy Height: 42.5" Width: 73" Length: 101.5" Weight: 4,454 lbs. *All Wheel Drive *Ground-Powered Hydraulic Drive INCLUDE THE FOLLOWING OPTIONS: • Qty: 1 each, Model 106-9680 Hydraulic Brake Kit • Qty: 1 each, Model 51-0110 Transmission Filter Kit • Qty: 1 each, Model 106-9699 Jack Stand Kit Page 8 of 13 EQUIPMENT ITEM # 4: One (1) Each, Model #09200 Toro Pro Core 648, or equivalent. Coring: Width: 48" Depth: Down to 4" Head: Heavy-duty crank shaft with six "1-beam" tine arms Depth control TrueCore System for full-time, automatic contour following. Hole Spacing: Detent I : 1.5" 16,000 sq. ft./hr. max Detent 2: 2.0" 21,350 sq. ft./hr. max Detent 3: 2.5" 26,700 sp. ft./hr. max Detent 4: 3.0" 32,000 sq. ft./hr. max Productivity: Able to aerate 18-6500 sq ft greens in about 7 hrs at 2" hole spacing Speed & Direction: Forward: 0-3.5 mph, Reverse: 0-2.0 mph, fully variable Tines/Diameter: Needle tines: 3/16", 5/16" Solid tines: 3/8", 7/16", 1/2", 5/8" Side-eject tines: 1/4", 1/2", 5/8", 3/4" Hollow tines: 3/8", 1/2"*, 1/2", 5/8"*, 5/8" *Extended hollow or side eject tine, 1/2"or 5/8 ", required for 4" aeration depth. Tine Holders: 3-tine: 2.6" lateral spacing 4-tine: 2" lateral spacing Mini-tine: 1.6" lateral spacing Mini-tine: 1.33" lateral spacing, one row of six Needle-tine: 1.6" lateral spacing Controls: Ignition switch, throttle, choke, parking brake, traction lever for forward and reverse, coring head raise/lower switch, selector knob for aeration spacing, TrueCore ground following switch, system reset, and aeration depth selector. Engine: Model: Kohler 2-cylinder, air-cooled, gasoline Ratin¢: 23 HP (17.2 kW) @ 3000 rpm Displacement: 41 cu. [n. Noise: Operator ear: 82 dB Capacities: Fuel: 7.5 gal. Engine oil w/filter: 2 qt. Page 9 of 13 Hydraulic oil: 3.0 gal. Electrical: Battery: 12 volt, 300 cold cranking amps @ 0 deg. F Instrumentation: Hour/tachometer Controller: Micro-processor logic control for troubleshooting Tires: Front & rear: 20 x 10-] 0, 2 ply rated, smooth tread, tubeless Brakes: Service: Dynamic through hydrostatic transmission Parking: Hand-actuated on handle Dimensions: Overall length: 104.5" Overall width: 50" Height w/head raised: 45.0" Wheel base: 44.5" Ground clearance: 4.75" Weight (less fuel): 1,590 lbs. Drive Train: Patented 3-wheel drive Series/Parallel, hydrostatic, closed loop INCLUDE THE FOLLOWING OPTIONS: • Qty: 3 each, Model 09736 Mini Tine Head Kit (2 rows of 5) • Qty: 3 each, Model 09796 4-Tine'/a' Head Kit • Qty: 2 each, Model 110-4361 Turf Guard for 4 Tine Head • Qty: leach, Model 1 10-4362 Turf Guard for 4 Tine Head • Qty: 2 each, Model 110-4365 Turf Guard for 5 Tine Head • Qty: 1 each, Model 110-4366 Turf Guard for 5 Tine Head • Qty: 24 each, Model 104-9876 5/8" HD Side Eject Tines • Qty: i each, Model 09220 Windrow Kit • Qty: 1 each, Model 09225 Tire Scrapers • Qty: 1 each, Model 09234 Rear Roller Kit • Qty: I each, Model 99-6166-01 Counterweight-Front Page 10 of 13 • Qty: 60 each, Model 108-9108 Quad Tine 1/4" Coring Tine • Qty: 24 each, Model 108-9167 1/2" HD Side Eject Tines • Qty: 60 each, Model L08-9235 Titan Solid Tine 1/4" Round Page 11 of 13 EQUIPMENT ITEM # 5: One (1) Each, Model #SR72, Southern Green Soil Reliever Deep Tine Aerifer 3 pt., or equivalent. Machine Weight 2000 lbs. (without P.T.O. or Optional Equipment): Working Width: 72" Working Depth (adjustable): 1" -16" Hole Spacing (on machine): • Large tines 3/4" & greater: 5" • Small tines 1/2" shank: 3-1/3" Capacity -Greens: 18,000 Sq. Ft. per hour Recommended Tractor Size: from 35 - 55 HP Recommended Lift Capacity: 2800+ lbs. (at all lift ends) Recommended Counter Weight: 300 - 500 lbs. (on the front of the tractor) Recommended P.T.O. Speed: up to 500 RPM (while operating) Actual Working Speed .08 - 1.2 M.P.H. @400 P.T.O. R.P.M. (varies with hole spacing): Lift System: Standard 3 Point Creeper gear is not required for 4-inch patterns. Page 12 of 13 EQUIPMENT ITEM # 6: One (1) Each, Model #04052, Toro Greensmaster 1000 Series Walk-Behind Mower., or equivalent. Engine: Kawasaki 4-cycle, 3.7 hp (2.7kW), air-cooled OHV engine, 3600 rpm, Displacement: 7.57 cu. In (124 cc). Cast iron cylinder sleeve. Output shaft speed is 1800 rpm. Electronic ignition with integral lighting coil. Maximum noise suppression muffler. 83 dB(A) at operator's ear. Fuel capacity: 2.64 quarts regular grade unleaded gasoline Traction and Engine to countershaft drive: two "A" section V-belts. Timing Implement Drive: belts from countershaft to differential, drive drum and reel. Ground speed: Mowing speed: 1.3 mph to 3.5 mpg. Transport speed (max): 5.3 mph Differential: Peerless Series 100 Clutches: Traction: inside belt idler. Reel: jaw type. Brake: Service/parking-band type. Traction Drum: Dual cast aluminum, 7.5" diameter. Controls: Engine mounted; recoil starter, choke. Handle mounted: on/off switch, throttle lever, traction engage lever, service/park brake lever. Frame mounted: reel drive engage lever. Safety devices: neutral interlock system, servicing/park brake, enclosed drive system. Optional: Operator Presence Control. Handle: Loop style: 1" diameter with easy pull pin height adjustment, operator selected. Transport Tires/ Two quick detachable pneumatic tires, 3.00x3.25-6. 15 psi fire Kickstand: pressure. Kickstand is standard, wheels are optional. Reel Construction: 5" diameter, l 1 carbon steel blades welded to 5 stamped steel spiders. Optional 8 blade. Width of cut: 2 P' Height of cut: 5/64" to 1" Page 13 of 13 Gip: Standard 1 1 Blade: 16" (w/Clip Kit: .25") Optional 8 Blade:.23" (w/Clip Kit: .34") Bedknife/Bedbar: Dual screw "click" adjustment to reel. Bedknife is high carbon austempered steel. Tournament bedknife standard. Grass Basket: Patented design: molded polyethylene, baffled and vented for high efficiency collection. Front Roller: Aluminum Wiehle roller standard; 2" diameter, .200 spacing Weight: 208 Ibs w/aluminum Wiehle roller, kickstand and grass basket, Without transport tires and groomer. Certification: Certified to meet ANSI specifications B71.4-2004 and European Community (CE) specifications with required kits installed. Revisions: Revision 1, 3/5/08, MH: Added one additional piece of equipment, resulting in six (6) items total. 77ais changed the total amount of pages of the specification, including three page bid sheet, from 14 to 16 pages. END OF SPECIFICATION. Attachment # 3 BID TABULATION , GOLF COURSE MAINTENANCE EQUIPMENT BID OPENING: 1:30 PM, MARCH 11, 2008 Turf Star Parka Golf ITEM qI: Unit Extentletl I ModeId304I0,1'orO Groundamasrer 40004wd mower, or egniw/enr, $43,94000 $43940.00 PerY/Golf Split as per aaached City of Gkiah eyuipmenl specification. 50/50 If oRering <quivalenl, stale manufacturer and model: Incude rheldlowing aprions: 1 Mode130G21 Air Ride Suspension Kit § 5]5.00 8 5]5.00 1 Mode130G22 Grammer Air Ride Seat § 58100 $ 581.00 1 Model 108-1450 Atomic Blade (SG Of ]) § 12800 E 128.00 3ublalel $ 45,224.00 $22612.00 §226120 ITEY_rkS 2 Model p0435G, Toro Gmensmaster 3100 mower, nr egnivNen(, as per attached $ 15,55500 $ 31,11000 ParUGOlf Split Ciry of Ukiah equlpmem speufiwtion. /1ne If oRering equivalenq state manufacturer ana model: lndude rhelollowing opeiom: G Mode104G11, 11 Blade Reels DPA (Duel POmt Adjust) $ 1,59000 $ 9,540.00 2 Mode104G2], Wide Wielhe Rollers Set oft (Aluminum) $ ]16.00 E 1,432.00 2 Model 105-1848, Light Kit § 1]4.00 E 348.00 Sublolal $ 42,430 00 $0 00 542.430.0 ITEM q3: 1 ModelJF4450J, Toro Top Dresser 2500, or equiva/enr, as per mtached g 6,8]9.00 $ 8,8]900 Park/GOlf Split Ciry of Ukiah equipment specfication. 50/50 Ir ortering <gnivm<vt, ewm mannra<Inrer ana moa<l: Include Ae/ llnwing oyriona: I Mode1106-9680, Hydraulic drake Kit $ 20800 $ 208.00 I Mode151-0110, Transmission Pdtu Kll $ 10.00 E 10.00 I Model 106-9699, lack Stand KIl b 110.00 E 11000 Sublolal E 9,20].00 56603.50 $46035 ITEM k4: 1 Mode1809200, Toro Pro Core 648, or equivalem,aa per attached $ 1],532.00 $ 1],53200 ParklGOlr Split Gry of Ukiah equipment apecfiwnon. 5n5 ((oRering equivvlent, state manufacturer ana moael: lnAude that /lowing npriuns: 3 Model 09936, Mini Tine rlcad Kit (2 rows of 5) $ 210.00 E 630.00 3 Model 09]964-Tee 3/4" Hcad Kit 3 210.00 E 830.00 2 Mode1110-03G 1,'furf Guard fro4 Tine Head 5 36.00 E ]2.00 1 Model 110-03Q, TUrf Guard for4Tine head § 50.00 8 50.00 2 Model 110-0365, Turf Guard far 5 Tine Head $ 41 00 $ 82.00 I Model 110-4366 Turf Guard for 5 Tine Head g 5300 $ 53.00 24 Mode1104-98]6,5/8"HD Sidc Ejea Tines $ 305 $ ]3.20 I Ma1e109220, Windrow Kit $ 34100 $ 341.00 I NodeI 09225, Tire Scrapers $ ]8.00 $ ]8.00 I Mode109234 Rear Roller Kit $ 53]00 $ 53700 I Model 99-6166-01 Counterweight-Prom $ 26500 § 26500 GO Mode1106-9108 Quad Tine l/4"Coring Tlne $ 466 E 2]9.60 24 Model 108-9'16], 12" HD Side Eject Lees § 466 5 111.84 60 Mode) 108-92351'6an Solld Tine I/4" Round g 9.38 E 202.60 Subtotal E 20,93]44 §5,234.36 515,]03.0 ITEM p5: 1 Model $R]2,Southern Geen Soil Reliever, or equivalent, as per $2],433.00 $ 2],43300 PartJGOlf Split etmched City of L'kiah equipment spetifiwlion 50150 Ir ort<dng <gnroal<nl, ante mnnnrn<tn.<r ana moea: snbmlai $ 2],43300 513,]165 $13,]165 ITEM q6: I Model 04052, Toro Greensmascer 1000 Series Walk-Behind Mower No Charge $ - PaM1/GOII Split or equivalenS es per attached City of Ukiah equipment specification. OH00 If oRering equivalrnt, alat<mannfechver ana model: Subtotal $0 $0.00 $0.00 Subtotal: $145,231.44 $4Q1fi636 $99,06508 Tax $ 11,255.44 $ 3,SR69 $ 16P.50 TDTAL: St56p86.88 $49,]44.8 5106,]4262 60 months 29]325Imo $945.13/mo $2028.12/mo 5.18% $1134L56lyear 32433]<4/year ITEM NO. llf DATE: Auaust 6 2008 UKIAH CITY COUNCIL AGENDA SUMMARY REPORT SUBJECT: ADOPTION OF RESOLUTION (1) APPROVING APPLICATION AND CONTRACT EXECUTION FOR FUNDING DOWNPAYMENT ASSISTANCE AND HOUSING REHABILITATION FROM THE CALHOME PROGRAM AND AUTHORIZING EXECUTION OF GRANT AGREEMENT AND ANY AMENDMENTS THERETO WITH THE STATE OF CALIFORNIA FOR THE PURPOSES OF THIS GRANT; AND (2) AUTHORIZING CITY MANAGER TO NEGOTIATE AND EXECUTE AGREEMENT WITH COMMUNITY DEVELOPMENT COMMISSION OF MENDOCINO COUNTY FOR GRANT ADMINISTRATION SUMMARY: Council is requested to adopt a Resolution authorizing an application for $800,000 in CalHome Program funds, not to exceed $400,000 for the First-Time Homebuyer Mortgage Assistance Program and $400,000 for the Owner-Occupied Housing Rehabilitation Assistance Program. Continued on page 2. RECOMMENDED ACTION: That the City Council (1) adopts a Resolution authorizing submittal of application to California State Department of Housing and Community Development funding down payment assistance and housing rehabilitation from CalHome Program and authorizing execution of a grant agreement and any amendments hereto with the State of California for the purposes of this grant; and (2) authorizing the City Manager to negotiate and execute an agreement with the Community Development Commission of Mendocino County for grant administration. (3) Approve Down Payment Assistance Guidelines for the City of Ukiah First Time Homebuyers Program. ALTERNATIVE AGENCY POLICY OPTION: Decline to proceed, or modify application Citizen Advised: Low and Moderate Income Housing Advisory Committee Requested by: N/A Prepared by: Cathleen Moller, Economic Development Manager Coordinated with: Sage Sangiacomo, Community /General Services Director and Jane Chambers, City Manager Attachments: 1. Resolution 2. CalHome Program application (excluding attachments) 3. CalHome Program Guidelines .~ APPROVED: ~ ' ' a~ Jars Chambers, City Manager It is estimated that 15 loans to assist low-income individuals in the City of Ukiah with home purchase or. repair could be funded by the CalHome allocation. The recent decline in housing prices makes the mortgage assistance program particularly timely. The 2008 City of Ukiah Housing Conditions Survey also supports the need for housing rehabilitation. The CalHome application is due by August 15, 2008. The maximum that can be requested is $800,000. Council is also requested to authorize the City Manager to negotiate a sub recipient agreement with Community Development of Mendocino County (CDC) for all grant administration including, but not limited to, completion of the CalHome Program grant application, conduct all reporting, monitoring and inspections through out the life of the project. A program of the State Department of Housing and Community Development (HCD), HOME provides funding to cities, counties and nonprofit community housing development organizations (CHDOs) for projects and programs in support of housing rehabilitation, acquisition, tenant-based rental assistance, new construction, acquisitionlrehabilitation, and predevelopment loans. Activities must benefit "lower-income" renters or owners, defined as those individuals earning 80% of Area Median Income in Mendocino County or less. State HOME regulations require a resolution for approval of application submittal to the State Department of Housing and Community Development (HCD). This year's HOME Notice of Funding Availability (NOFA) was issued on ,tune 2, 2008 with applications due to the State Department of Housing and Community Development (HCD) by August 15, 2008. This year's NOFA has a limited amount of total funding available. A maximum of $4,000,000 is available for rental projects not using 9°I° tax credits, $2,000,000 for projects using 9°!o tax credits, $800,000 for program activities, and $200,000 for the American Dream Initiative. In recent years, competition for the HCD HOME program funding has increased substantially. But because owner-occupied rehabilitation assistance and down payment assistance have been identified as the greatest needs for Ukiah amongst the eligible activities for this application, it is worth attempting to secure funds to try to address the imminent community need. CDC on behalf of the County is applying for the maximum amount available under the Program Activities component. The following is requested: Owner-Occupied Housing Rehabilitation (OOR) Program Activity Delivery - OOR Program First Time Homebuyers (FTHB) Program Activity Delivery -FTHB Program General Administration Total $296,400 $93,600 $364,650 $25,350 $20,000 $800,000 RESOLUTION ATTACHMENT1 RESOLUTION OF THE UKIAH CITY COUNCIL AUTHORIZING THE SUBMITTAL OF AN APPLICATION TO THE CALIFORNIA DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT FOR FUNDING UNDER THE CALHOME PROGRAM; THE EXECUTION OF A STANDARD AGREEMENT IF SELECTED FOR SUCH FUNDING AND ANY AMENDMENTS THERETO; AND ANY RELATED DOCUMENTS NECESSARY TO PARTICIPATE IN THE CALHOME PROGRAM. WHEREAS, the City of Ukiah, a political subdivision of the State of California, wishes to apply for and receive an allocation of funds through the CALHOME Program; and WHEREAS, The California Department of Housing and Community Development (hereinafter referred to as "HCD") has issued a Notice of Funding Availability ("NOFA") for the CalHome Program established by Chapter 84, Statues of 2000 (SB 1656 Alarcon), and codified in Chapter 6 (commencing with Section 50650) of part 2 of Division 31 of the Health and Safety Code (the "statute"). Pursuant to the statute, HCD is authorized to approve funding allocations utilizing monies made available by the State Legislature to the CalHome Program, subject to the terms and conditions of the statute and the CalHome Program Regulations adopted by HCD in April 2004; and WHEREAS, first time mortgage assistance and housing rehabilitation programs will implement the General Plan Housing Elements; and WHEREAS, the City of Ukiah wishes to submit an application to obtain from HCD an allocation of CalHome funds in the amount of $900,000. NOW, THEREFORE, BE IT RESOLVED by the City of Ukiah City Council as follows: Section 1: The Gity of Ukiah shall submit to HCD an application to participate in the CalHome Program in response to the NOFA issued on April 18, 2008 which will request a funding allocation for the following activities, located in the incorporated area of Ukiah: Owner-Occupied Housing Rehabilitation (OOR) Program $ 296,400 Activity Delivery - OOR Program $ 93,600 First Time Homebuyers (FTHB) Program $ 364,650 Activity Delivery -FTHB Program $ 25,350 General Administration $ 20,000 Total $ 800,000 Section 2: if the application for funding is approved, the City of Ukiah hereby agrees to use the CalHome funds for eligible activities in the manner presented in the application as approved by HCD and in accordance with program regulations cited above. It also may execute any and all other instruments necessary or required by HCD for participation in the CalHome Program. Section 3: The City Manager or designee is hereby authorized and directed to act on the City's behalf in all matters pertaining to the is application, the Standard Agreement, and all other documents required by HCD for participating in the CalHome Program, and any amendments thereto. Section 4: If the application is approved, the City Manager or designee is authorized to enter into and sign the grant agreement and any amendments thereto with the State of California for the purposes of this grant. Section 5: The Executive Director or designee of the Community Development Commission of Mendocino County is hereby authorized and directed to act on the City's behalf in all matters pertaining to this application. PASSED AND ADOPTED this 15'" day of August, 2008, by the following roll call vote: AYES: NOES: ABSTAIN: ABSENT: Douglas F. Crane, Mayor ATTEST: Linda Brown, City Clerk Attachment # 2 -'/ 2008-2009 CALHOME APPLICATION GENERAL PROGRAM: MORTGAGE ASSISTANCE OWNER-OCCUPIED REHABILITATION ~~~~ Submitted by: City of Ukiah 300 Seminary Ave. Ukiah, CA 95482 COPY OF FULL APPLICATION z-z CalHome Program Application for General Program Funding NOFA Mortgage Assistance *Owner-Occupied Rehabilitation California Department of Housing and Community Development Financial Assistance Division P.O. Box 952054, Sacramento, CA 94252-2054 Or 3 ' ~ r 1800 3'" Street, MS 390-2 ~ ~ ~~, ~~~y-~., Sacramento, CA 95811 916-327-3846 '-~'~ This application, if approved for funding, will be a part of your Standard Agreement with the Department of Housing and Community Development (HCD). In order to be considered for funding, all sections of this application, including attachments and exhibits, must be complete and accurate. Application forms must not be modified. No facsimiles, incomplete applications, or application revisions will be accepted prior to, or after the application deadline. Applications must meet all eligibility requirements upon submission. Applications containing material internal inconsistencies will not be rated and ranked. Use Exhibit A, Attachment Checklist, as an aid in completing the application. HCD must receive in its office a complete original application in a three ring binder no later than 5:00 P.M. Wednesday. June 25.2008. For purpose of this NOFA, this will be a Program NOFA which will include first-time homebuyer mortgage assistance activities and owner-occupied activities. A separate CalHome Project NOFA to support the development of new homeownership housing has been released separately. Please note: applicants are eligible to apply for both a CalHome Program Grant and/or a CalHome Project Grant. However, a household may have only one CalHome lien on it. SECTION I. APPLICATION SUMMARY: A. Name of Applicant: City of Ukiah B. Applicant Address: 300 Seminary Avenue City: Ukiah Zip Code: C. Chief Executive Name and Title: Jane Chambers. City Manager D. Contact Person Name and Title: Cathleen Moller, Economic Development Manaaer E. Phone Number: XXXXXXXX FAX: XXXXXXX E-Mail: cmoller(rDcitvofukiah.com F. Proposed Activity: You may apply for one or two program activities, the aggregate amount of both activities may not exceed the maximum application amount, and the amount for any one activity may not be less than the minimum activity amount, as specified in the NOFA. The maximum amount is $900,000 for most jurisdictions or 1.5 Million for High Population Areas. Only apply for the amount that you know you can use. Recipients who do not use at least 95% of their funds will be penalized in future funding rounds for not meeting pertormance goats. Localities shall only be eligible to apply for an award of CalHome funds for a local program within its jurisdictional boundaries. A nonprofit corporation may propose programs in a county or counties in which they have operated a housing program within the past 4 years, or in a county or counties for which the nonprofit corporation has an existing 523 technical assistance services agreement with the United States Department of Agriculture. CalHome General Program Funding Application (2008) 1 Of 10 Z-3 Activity: Submit Appropriate No.of CalHome County or Counties of Census Tracts if Attachment Number Assisted Units Activity Proposing 100% Rural Pr osed Activit 1. FTHB Mortgage Assistance 8 Mendocino Pro ram 2.Owner-Occupied 7 Mendocino Rehabilitation Pro ram Total 15 ' If your activity is located entirely within a rural census tract or non-metro county as defined in the CalHome Program Regulations and you want to receive consideration for the rural set-aside, you must provide the census tract or tracts or list the non-metro county information in the table above. If the proposed area is rural, applicants must indicate census tract numbers in order to receive consideration under the rural set-aside. Projects in rural census tracts must document that their project is located in a rural area. Follow the steps outlined below to determine if your proposed project is located in a rural area, and to document this rural area status. Projects located in the following counties do not have to provide documentation of their rural status, and will be considered rural applicants: Alpine, Amador, Calaveras, Colusa, Del Norte, Glenn, Humboldt, Inyo, Lake, Lassen, Mariposa, Mendocino, Modoc, Mono, Nevada, Plumas, Sierra, Siskiyou, Tehama, Trinity and Tuolumne. If your site is not located within one of the listed counties, below are two alternate ways to qualify: Alternative 1: Rural Housing Services (RHS) Eligible Area -With an established address, go to the USDA Rural Development website to qualify if the site is RHS-eligible. http://www.rurdev.usda.gov/rhs/ Once on the website, look to the right hand side of this page and click on "Income and Property Eligibility". On the page that follows, under "Property Eligibility", click on your project type (Multifamily) and follow the instructions so that you may enter your project address. If your project is RHS-eligible, you will be able to print a map indicating that the project is eligible. Submit this documentation with your application. If your project is not listed as RHS eligible, or if you do not yet have a site address, go to Step 2. Alternative 2, Step 1: Small City Status - Is your project located within or adjoining a city with a population of 40,000 or less that is not part of aCensus-designated urbanized area? Go to the State Department of Finance website at to verify the city's population estimate. If the city has a population of 40,000 or less, print the page of Table E-1 which indicates this, and go to Step 3. If the city is more than 40,000, STOP. Your project may not located in a rural area. Proceed to Step 2 to confirm if your area is rural or not. Step 2: Census Map - If the proposed project is located in an incorporated city of 40,000 or less, or in the unincorporated area adjoining that small city, the project may be considered rural if the project's census tract is not designated "as an urbanized area" or "part of an urbanized area." a) Go to the Census Bureau's 2000 Census website at this location: http //www.census.oov/main/www/cen2000.html b) Under "Access Data by Geography" select the "street address" link (regardless of whether the project has an established address). c) On the subsequent screen, enter the project's address or that of another nearby property located within the same census tract (as close to the project as possible). Select "Go" and additional information will display at the bottom of the page. d) Select "Census Tract" in the Geographies section of the enhanced screen and select "Map It." GalHome General Program Funding Application (208) 2 of 10 2-~ e) Print the census tract map provided and yourjurisdiction's population estimate from Table E-1, (see Step 1 above), and submit these two documents with the application. The map may show the census tract as "urban" according to the legend provided with the map. However, the census tract will only be considered urban if the map includes bold face type with a "UA" designation. If the map includes no such designation, or shows the census tract as urban but has a "UC" designation, the census tract is still considered rural. If you tried all three of these alternatives and the end result shows that your project is not classified as rural, but you believe that it should be considered rural, or if you have other questions, problems, or concerns in determining rural designation pursuant to the above process, please contact Christina DiFrancesco at (916) 322- 0918. G. Proposed Grant Amount: '$900,000 * If the grant request is over $900,000 (up to $1,500,000), the city, county or nonprofit will need to provide the following: The name of the city or unincorporated areas of counties with a population of over 400,000. If a County operates their programs in the small cities within the county as well as the unincorporated areas, we will allow the aggregate population of the unincorporated areas plus these small cities to be combined for determining the maximum award amount only where we have letters/resolutions from the included small cities verifying the County's authority to operate with the cities. A list of cities and unincorporated areas of counties in California with population over 400,000 is included in this application labeled Exhibit D. Please provide the required documentation as Attachment 3. H. Brief Description of Each Program Activity Applied for: Activity 1: First Time Homebuyer Mortgage Assistance Program SECTION II. LEGISLATIVE REPRESENTATIVES: A form is included in this application labeled Exhibit B. Please complete the information on this form and attach as Attachment 5. SECTION III. GOVERNING BOARD RESOLUTION: Attach the resolution, duly executed by the governing board of the local public agency or nonprofit corporation, granting authority to make an application to HCD for a funding commitment from the CalHome Program. Label as Attachment 6 Governing Board Resolution. Please review the sample resolution which is included in this application package as Exhibit C. Be sure that the resolution authorizes a signatory for submittal of this application and the resolution is an action of the governing body of the applicant. If someone signs the application other than the person authorized in the resolution, submit evidence that shows that the person signing has the authorization to sign. Such evidence could be in the form of an ordinance or code, or an opinion from the applicant's legal counsel. Include such authorization with Attachment 6. CalHome General Program Funding Application (2008) 3 of 10 Activity 2: Owner-Occupied Rehabilitation Program CalHome funds wilt be used to provide second mortgaoes to eligible low-income homeowners in order to make necessary home repairs to address severe health and safety issues existing in Ukiah homes while orioritiziny energv efficiency to make homes safe and to reduce energv costs Y Z 5~ SECTION IV. APPLICANT INFORMATION: A. The applicant is a (check one):[X] city [ ]County [ ]City and County [ ]Nonprofit Corporation 1. If a Nonprofit Corporation, Submit copies of: IRS approval of 501(c) (3) status: as Attachment 7a Secretary of State Letter of Good Standing: as Attachment 7b Articles of Incorporation: as Attachment 7c Bylaws: as Attachment 7d List of names of Board of Directors as Attachment 7e Financial Statements (for the last 2 fiscal years, one of which must be must be audited): as Attachment 7f SECTION V. ACTIVITY ATTACHMENT: Applicants must complete at least one attachment: Attachment 1, First-Time Homebuyer Mortgage Assistance, or Attachment 2, Owner-Occupied Rehabilitation Program These attachments are part of this application. At least one must be completed and must be included or the application will not be complete and will be ineligible for funding consideration. CalHome General Program Funding Application (2008) 4 of lQ ~~ Y SECTION VI. APPLICANT CERTIFICATION AND COMMITMENT OF RESPONSIBILITY: As the official designated by the governing body, I hereby certify that if approved by HCD for a CalHome Program funding allocation, the City of Ukiah assumes the responsibilities specified in the CalHome Program Regulations and certifies that: A. It possesses the legal authority to apply for the allocation and to execute their proposed program or project; B. Be fore committing funds to a homebuyer/homeowner, it will evaluate the funding eligibility in accordance with CalHome Program Regulations and will not invest any more CalHome funds in combination with other governmental assistance than is necessary to provide affordable housing; C. The Applicant does not have any unresolved audit findings for prior HCD or federally-funded housing or community development projects or programs. D. There are no pending lawsuits that would impact the implementation of this program or project. E. It will comply with all statutes and regulations governing the CalHome Program. F. The information, statements, and attachments contained in this application are, to the best of my knowledge and belief, true and correct. G. It has the ability to perform the duties for the activity(s) applied for in accordance with Section 7718 of the CalHome Program Regulations. I authorize the Department of Housing and Community Development to contact any agency, whether or not named in this application, which may assist in determining the capability of the Applicant. All information contained in this application is acknowledged to be public information. (This certification must be signed by the person authorized in the Resolution) *Signature: Type Name: Jane Chambers Date: "Must be signed by authorized signatory per the resolution. Title: City Manager CalHome General Program Funding Application (2008) 5 of ]0 2~~ EXHIBIT A Attachment Checklist Please tab each attachment required by the application and place the attachments behind the completed application in a three rinse binder according to the corresponding number listed. below. Check if Included Att. No. Attachment Title X 1 Program: First-time Homebuyer Mortgage Assistance Program X Ex. 1-1 FTHB Histor and Ex erience Descri lion X 2 Program: Owner-Occupied Rehabilitation Program X Ex. 2-1 OOR Histo and Ex erience Descri tion NA 3 Documentation regarding population over 400,000 for requesting funds over $900,000 u to $1,500,000 X 4 Additional Documentation X 4a Homebu er Education Plan X 5 Le islative List X 6 Copy of Resolution authorizing this application. As atime-saver, the Resolution may also authorize execution of the contract and other documents needed to rocess a loan Bonus-A Green Build Self Certification Bonus-B Universal Desi n Standards NA Nonprofit corporations must provide the following information: NA 7a IRS a royal of 501 c 3 status NA 7b Copy of current certification of 501(c)(3) status with Secretary of State that is less than one ear old NA 7c Co of Articles of Incor oration NA 7d Co of B laws NA 7e List of officers and Board of overnin bod of A licant NA 7f Financial Statements one of the last 2 ears must be audited CalHome General Program Funding Application (2008) 6 of 10 Exhibit B 2 - LEGISLATIVE REPRESENTATIVES Indicate all Legislators who represent any portion of the proposed service area. If you have vacancies in your legislative seats, please list your district number and district address. A. Members of the State Assembly: District number: 1 District number: Name: Pattv Ber District Address: 50 D Street Suite 450 City: Santa Rosa Zip Code: 95404 B. Members of the State Senate: District number: Name: Patricia Wiaains District Address: 200 S. School St. P.O. Box 785 City: Ukiah Zip Code: 95482 Name: _ District Address: City: Zip Code District number: Name District Address: City: Zip Code C. Members of the U.S. House of Representatives: District number: Name: Mike Thompson District Address: 430 N. Franklin St. P.O. Box 2208 City: Fort Bragg Zip Code: 95482 District number: Name District Address: City: Zip Code: CalHOme General Program Funding Application (2008) 7 of 10 CalHome Program Application Z Attachment 1 First-Time Homebuyer Mortgage Assistance Program This Application form is for homebuyer mortgage assistance to first-time homebuyers of new or existing homes, or for purchase of existing homes to be rehabilitated by the homebuyer. An applicant may only apply for funds under this attachment when it will be providing the services required in Section 7729 of the program regulations. SECTION 1. APPLICANT INFORMATION Name: Citv of Ukiah SECTION 11. FIRST-TIME HOMEBUYER PROGRAM EXPERIENCE A. Provide the following information for each year of first-time homebuyer program operation for 12 consecutive months, by calendar year. Applicant organizations should only list those homebuyer units for which they provided the mortgage assistance services. YEAR PERMANENT FINANCING FUNDING SOURCE(S) NO.OF PURCHASE ESCROWS UNDERWRITTEN AND CLOSED AVERAGE AMOUNT OF ASS{STANCE PROVIDED PER BUYER 2007 2006 CDBG, Local Agency financing 2 $170,000 2005 2004 2003 2002 2001 zooo 1999 199$ B. For years 2004 through 2007, provide a narrative of applicant's history and experience with the proposed activity, including evidence of program operation for each year listed: e.g., board resolution authorizing the program; award letters; program financial pages from annual audit, annual reports or other evidence that will demonstrate program operation. (Attach as Exhibit 1-1) 2008 CalHome General Progam Funding Application 2-~ o Exhibit 1-1 First-Time Homebuyer Mortgage Assistance Program History and Experience Description The City of-Ukiah proposes the funding of a Downpayment Assistance Program (DAP) as part of its First-Time Homebuyer Mortgage Assistance Program to assist eligible low and very low- income people purchase homes in Ukiah. The Community Development Commission of Mendocino County (CDC), which will be administering the proposed program for the City, has been operating a DAP in the county since 1998. Housing education will also be provided by CDC, which since 1998 has provided homebuying counseling to over 150 Mendocino County residents. The last time the City of Ukiah provided DAP loans to homebuyers was in 2006, when the City used CDBG funds to make two $70,000 DAP loans to public housing tenants purchasing their units through a public housing homeownership program. This program, created by the CDC, made single-family public housing units available to TIG, LTIG, and ELTIG individuals. CDC is implementing the second phase of this homeownership program in 2009, which will make an additional five homes available to lower income Ukiah residents. Although CalHome funds will not be used exclusively for this program, it is expected that the availability of these units combined with limited affordable homeownership opportunities in Ukiah will make the demand for CalHome DAP high. At least eight homebuyers will be assisted with the 2008 CalHome funds, and all eight of these will be TIG or LTiG households. We expect the average purchase price to be $223,000; the average CalHome loan will be $60,000; the average Federal HOME loan will be $70,000; the average owner contribution will be $6,700; and the average bank loan will be $83,000. Letters of commitment from list banks . Given the rising cost of land and the lack of economies of scale in rural housing construction, affordable housing new construction is not happening in Ukiah without significant subsidies and thus cannot address the severe need for homeownership opportunities for lower income families. Thus, CalHome funds are absolutely necessary if the City of Ukiah is to be able to continue to provide affordable homeownership opportunities for lower income households, while improving their financial situation through equity and reducing the need for continued rental assistance. SECTION III. LOAN UNDERWRITING EXPERIENCE ~ ~ 1f A. For the years 2004 through 2007, the total number of homebuyer loans applicant has underwritten and closed, which included preparation of loan documents and escrow instructions. # 2 SECTION IV. LOAN SERVICING EXPERIENCE A. For the years 2004 through 2007, the total number of homebuyer loans closed for which the applicant was the named beneficiary on the loan documents. # 2 B. As of the CalHome NOFA issuance date, the total number of homeowner loans in the applicant's portfolio. # 2 C. Number of loans identified in B. above that are being directly serviced by the applicant. # D. Number of loans identified in B. above that are being serviced by a third party. # 0 E. As of the CalHome NOFA issuance date, the total number of homebuyer loans the applicant is servicing for another entity. # 0 F. If there are zero loans identified in C, D and E, submit a narrative identifying how loans will be serviced, how the servicing activities will be funded or provided and the procedures for implementing loan servicing operations. In addition to the narrative, attach either: 1) a budget that provides an identified source of financing, for a period of at least 5 years, for contracting loan servicing with a third party who is in the business of loan servicing; 2) a commitment letter from a third party, who is in the business of loan servicing, willing to provide loan servicing at no cost to the applicant; or 3) the resume of a current employee(s) of the applicant that describes the employee(s)'s experience in homeowner loan servicing. (Attach as Exhibit 1-2) SECTION V. PROGRAM TARGETING A. Number of homebuyers to be assisted with this application for CalHome funds # 8 B. Program will be operated entirely within a federally defined Qualified Census Tract(sllocated In AgpendlX B In the tralnlnq manual (ONLY MARK YES IF ALL HOMES TO BE ASSISTED WITH CALHOME FUNDS Yes No X Federally defined Qualified Census tract(s) No. C. Program will be operated TED Y MARK YES IF AL4 HOMES TO BE ASSISTED WITH HERE): Yes No X Attach a redevelopment area map and indicate program Location on the map. (Attach as Exhibit 1- 3) D. Nonprofit corporations must list the county or counties in which the program wilt be operated. county/counties NA 2008 CalHome General Program Funding Application - 2 - ___. _._ ..__. 2-IZ E. Provide the data source used to project sales price: Mendocino County General Plan, Housing Element Technical Appendix: page 2-23. SECTION VI. FINANCING AND AFFORDABILITY A. Proposed Permanent Financing (other than CalHome) (check all that apply): [Xj Conventional [X] FHA [ X ] CaIHFA [X] USDA-Rural Development [X] Federal HOME [ ]Redevelopment Agency [X] Other Describe the financing structure, first mortgage and any subordinate financing in addition to ralHnma that will finance the purchase of the orooerties. Source of Financin Pro osed Lien Position Conventional, FHA, CaIHFA, USDA 1 Federal HOME 3 Local Public Agency -CDC -Ind. Development Account (IDA) 4 B. Projected Average Housing Cost and Affordability; 1. Expected Average Sales Price, Less Homebuyer Equity: $223.000 2. Less Average CalHome Mortgage Assistance to be given: $60.000 3. Less Average Other Mortgage Assistance to be received, if any: $80.000 4. Average First Mortgage: $83.000 5. Estimated Monthly Payment on First Mortgage (PITT): $608 6. Annual Income Needed to Support above Payment $2A,320 (Based on the homebuyer paying 30% of gross annual income for PITT) SECTION VII. CONTRIBUTED LABOR PROGRAMS - Self-Help, Volunteer Labor and Youth Construction Training Labor. lmoortant Note: Only complete this section, if the applicant meets the two-year minimum experience requirement for operation of a program, a minimum of 500 hours of onsite contributed construction labor per assisted unit must be provided, and that financed purchase of homes involving this type of construction or developed homes involving this type of construction and the entire program will be restricted to units involving this type of construction. A. Check if project involves any of the following types of contributed onsite construction labor: 1. Self-Help labor: No. of hours of guaranteed self-help onsite construction labor per unit: Yes No X hrs 2. Volunteer labor: Yes No X No. of hours of guaranteed volunteer onsite construction labor per unit: hrs 3. A youth construction skills training program: Yes No X 2008 CalHome General Program Funding Application - 3 - Z-~3 Mendocino County General Plan Housing Element Technical Appendix Source: U.S. Census, 1990 and 2000. TABLE 2-25 REGIONAL MEDIAN HOME VALUES Median Value Percent County 1990 2000 Chan e 9 Glenn $67,400 $94,900 41% Humboldt $88,000 $133,500 52% lake $93,300 $122,600 31°l0 , Mendocino $123,900 $170,200 37% Sonoma $201,400 $273,200 36% Tehama $68,700 $103,000 50% Trinity $81,800 $112,000 37°!° Table 2-26 shows median home sales prices for 2002 in various areas of the County. Housing prices in the County have continued to increase from 2000 Census figures. The most expensive housing markets were located along the coast in resort locations such as Mendocino and in Redwood Valley, while the northern area of the County had the least expensive sales prices. The Town of Mendocino had the highest median sales price in 2002. The northern inland area of the County is considerably less expensive than the rest of the County. Housing markets in the southern inland areas varied depending on the region. Redwood Valley is one of the most expensive housing markets in the inland areas, with a median home sales price of $250,000, compared to the Willits or Hopland areas at $160,000 and $150,000 respectively. TABLE 2-26 MEDIAN SALES PRICES BY AREA MENDOCINO COUNTY Area' Median Home Sales Price2 North County Covelo $82,000 Laytonville $90,000 South Inland County Hopland $150,000 Redwood Valley $250,000 Ukiah $223,000 Willits $160,000 Coastal Area Fort Bragg $210,000 Gualala $230,000 Mendocino $480,000 Point Arena $150,000 Notes. 1. Areas based on U.S. Postal Zip Codes. 2. Sales, April 2002. 3. Sales, June 2001. Source: Dataquick, October 2002. Revised December 14, 2004 Page 2-23 Name of program: Z-r~ No. of hours of guaranteed youth construction training onsite construction labor per unit, provided by participants age 16 to 24 years old only: _ hrs 4. If the answer to A. 1, 2 or 3 above is yes, indicate the minimum number of onsite construction labor hours er unit to be provided by the homebuyer: _hrs B. Describe the criteria for participation in your contributed labor program. (Attach as Exhibit 1-4) C. Attach a copy of the agreement form used for the contributed labor program. (Attach as Exhibit 1- 4a) D. Provide description of activities performed by contributed labor participants. (Attach as Exhibit 1- 4b) E. Provide description of activities normally contracted out. (Attach as Exhibit 1-4c) F. What percentage of total onsite construction labor per unit will be performed by contributed labor: Plea~e provide evidence of previous administration of the type of contributed labor program proposed in this application. This could include, but not be limited to, the nonprofit corporation charter or a copy of the board resolution authorizing the program supported by documentation of completed projects; or copies of contracts with contributed labor participants. (Attach as Exhibit 1-4d) SECTION VIII . HOMEBUYER EDUCATION A. Does the applicant currently provide homebuyer education classes? Yes No X If not, describe arrangements for providing homebuyer education in Attachment 4-Additional Documentation. SECTION IX. BONUS POINTS -NEW POLICY OBJECTIVES A. Targeting energy efficient homeownershia: Bonus points will be given in the scoring of this application for applicants that use their mortgage assistance loans exclusively for transactions where the units purchased are energy efficient. The Department is encouraging the use of Green Building features. Applicants will self certify their activity on Form 3A and confirm that items 2, 3, 4, 5, 6, 7, 10, 11, 12, & 13 are included in the units to be constructed, and that at least two of the remaining items (1,8 & 9) will also be included in the units to be constructed. (Attach as Bonus Exhibit A) Yes No X B. Taraetina homeownershia units that meet universal design standards: Bonus points will be given in the scoring of this application for applicants that use their mortgage assistance loans exclusively for home purchase transactions where the units purchased are developed or improved by meeting the following universal design standards: 2008 CalHome General Program Funding Application - 4 - Z-~s • Provide at least one no-step entrance with beveled threshold. This may be at the front, side or back of the unit. • Make doorways throughout the unit at least 32 inches wide and hallways at least 36 inches clear width. • Reinforce walls around the toilet, bathtub and shower stall in order that grab bars may be added at a later time, if needed. • Install light switches and electrical controls no higher than 48 inches and electrical plugs no lower than 15 inches above the floor. • Install lever handles on all doors and plumbing fixtures. (Attach as Bonus Exhibit B) Yes No X 2008 CalHome General Program Funding Application - 5 - 2 ~/~ Green Building Self-Certification Check List Form 3A The Department is encouraging the use of Green Building features. Anew bonus category has been added to this NOFA to reward developers that use energy efficient products that will enhance new units. Therefore, this new bonus opportunity has been developed and included in this NOFA. Applicants must self certify that items 2, 3, 4, 5, 6, 7, 10, 11, 12, & 13 are included in the units to be constructed, and that at least two of the remaining items (1,8 & 9) will also be included in the units to be constructed. Additionally, appliances that are customarily provided with the units, such as hot water heaters and dishwashers, or heating/cooling systems, should all meet the ENERGY STAR® standards. Current Requirement Applicant Certification Check Off Column Site 1. Use plant and tree species that require low Two of three of items water use in sufficient quantities and install #1, 8, or 9 must be met irrigation system using only low-flow drip, for Bonus Consideration bubblers, or low-flow sprinklers. Materials and Resources 2. Use engineered lumber X a. Beams and Headers Essential for Bonus b. Wood I-Joists or web trusses for floors and consideration ceilin s 3. Use Oriented Strand Board (OSB) Essential for Bonus X a. Floor, Wall and Roof sheathin consideration 4. Provide effective air sealing. X a. Seal sole plates. b. Seal exterior penetrations at plumbing, Essential for Bonus consideration electrical and other penetrations. c. Seal top plate penetrations at plumbing, electrical, cable and other penetrations. d. Weather-strip doors and attic access openings. e. Seal penetrations in interior equipment closets and rooms. f. Seal around bathtub drain penetrations in raised floors. 5. Install and flash windows in compliance with Essential for Bonus X window installation rotocols. Consideration 6. EXterior Doors Essential for Bonus X a. Insulated or solid core. consideration b. Flush, paint or stain grade shall be metal clad or have hardwood faces. c. Factory primed on six sides with a one year warrant . 7. Select durable non-combustible roofing X materials which carry athree-year contractor Essential for Bonus installation guarantee. Consideration Ener Efficient 8. Install ENERGY STAR® Ceiling Fans in Two of three of items X living areas and all bedrooms; install a whole #t, a, or s must be met house fan with insulated louvers; or install an for Bonus consideration economizer. 9. Install ENERGY STAR® appliances in each rwo of three of items X #1, 8, or 9 must be met 2008 CalHOme General Program Funding Application _ 6 _ 2-/ 7 unit, including but not limited to; for Bonus Consideration a. Dishwashers b. Refrigerators c. Clothes washers 10. Install gas storage water heater with an X Energy Factor (EF) of 0.62 or greater and a Essential for Bonus capacity of at least 30 gallons for one- and two- consideration bedroom units and 40 gallons for three- bedroom units or lar er. Water Efficienc 11. Use water saving fixtures or flow restrictors. X a. Kitchen and Service Areas < 2 gallons per Essential for Bonus minute (gpm). consideration b. Bathroom Sinks < = 1.5 gallons per minute (gPm) c. Showers and Bathtubs < = 2.5 gallons per minute m . Indoor Environmental Qualit 12. Use Low-VOC paint and stain. X a. Flat interior wall/ceiling paints & stains < Essential for Bonus 50gp1 VOCs. Consideration b. Non-flat wall/ceiling paints & stains <150gp1 VOCs. 13. Floor coverings X a. Light and medium traffic areas shall have vinyl Essential for Bonus or linoleum at least 3/32" in thickness. consideration b. Heavy traffic areas shall have vinyl or linoleum at least 1/8" in thickness. c. Carpet shall comply with U.S. Department of Housing and Urban Development/Federal Housing Administration UM 44C, or alternatively, cork, bamboo, linoleum, or hardwood floors shall be provided in all other floor areas. 2008 CalHome General Program Funding Application - 7 - 2 -ice CalHome Program Application Attachment II Owner-Occupied Rehabilitation Program This Application form is for rehabilitation of owner-occupied homes. An applicant may only apply for funds under this attachment when it will be providing the services required in Section 7733 and Section 7735 of the program regulations. SECTION I. APPLICANT INFORMATION Name: Citv of Ukiah SECTION II.OWNER-OCCUPIED REHABILITATION PROGRAM EXPERIENCE A. Provide the following information for each year of owner-occupied rehabilitation program operation for 12 consecutive months, by calendar year. Applicant organizations should only list those rehabilitated units for which they provided the rehabilitation services including loan underwriting and escrow clcsing. YEAR FUNDING SOURCE(S) NO.OF HOME REHABILITATIONS COMPLETED NO.OF ESCROWS CLOSED BY APPLICANT ORGANIZATION AVERAGE AMOUNT OF ASSISTANCE PROVIDED PER OWNER 2007 2006 2005 2004 2003 2002 1(~ 1` 2001 2000 1999 1998 B. For years 2004 through 20067, provide a narrative of applicant's history and experience with the proposed activity, including evidence of program operation for each year listed: e.g., board resolution authorizing the program; award letters; program financial pages from annual audit, annual reports or other evidence that will demonstrate program operation. (Attach as Exhibit 2-1) 2008 CalHome General Program Funding Application - g - 2 -~ 9 Exhibit 2-1 Owner Occupied Rehabilitation Program History and Experience Description The City of Ukiah proposes funding of a Housing Rehabilitation Program for single-family owner-occupied units to assist targeted income group households by providing necessary repairs to make their homes safe and sanitary. Due to recent depreciation of sales prices and limited new homeownership opportunities, few people are selling their homes. There is also a lack of new development, driven both by restricted build-out potential in the City and the dire state of the housing credit market. In addition, given the City's aged housing, many homes lack energy efficient insulation, and/or have poor heating/cooling systems or inadequate plumbing. This, combined with rising energy costs, is creating extreme hardships for low income households, resulting in them becoming unable to keep their homes in safe and sanitary condition. Living in these substandard conditions poses an imminent threat to the health, safety, and well-being of targeted income group households. The proposed Housing Rehabilitation Program will provide financing in the form of Below Market Interest Rate loans to homeowners based on their ability to pay. The housing rehab program will address severe health and safety issues existing in Ukiah homes, while prioritizing energy efficiency to make homes safe and to reduce energy costs. Through the financing provided, the City can create safe, sanitary and energy-efficient homes in a manner affordable to residents. The ('o;nmunity Development Commission of Mendocino County (CDC) will administerthe proposed rehab program for the City of Ukiah through its Memorandum of Understanding. CDC has been administering Housing Rehab programs in Mendocino County since the 1970s, and still administers the County of Mendocino's Housing Rehab Program funded through CDBG Program Income. CDC is currently implementing a CDBG Program Income funded Rehabilitation that will lead to the reconstruction of 25 units of affordable rental housing. The 2008 City of Ukiah Housing Conditions Survey stated that renovation, rehabilitation and maintenance of the existing housing stock should be a key component of the City's housing plan (pg. 36). The proposed Housing Rehabilitation program would finance rehabilitation that addresses the seriousness of this substandard state of housing by creating safe, sanitary, energy-efficient, and quality affordable housing for targeted income group households. SECTION III. LOAN UNDERWRITING EXPERIENCE 2' 2 ~ A. For the years 20034 through 2007, the total number of homeowner rehabilitation loans applicant has underwritten and closed, which included preparation of loan documents and escrow instructions. # SECTION IV. LOAN SERVICING EXPERIENCE A. For the years 2004 through 2007, the total number of all types of homeowner rehabilitatior loans closed for which the applicant was the named beneficiary on the loan documents. # B. As of the CalHome NOFA issuance date, the total number of homeowner rehabilitation loans in the applicant's portfolio. # C. Number of loans identified in B. above that are being directly serviced by the applicant. # D. Number of loans identified in B. above that are being serviced by a third party. fJ E. As of the CalHome NOFA issuance date, the total number of homeowner loans the applicant is servicing for another entity. # F. If there are zero loans identified in C, D and E, submit a narrative identifying how loans will be serviced, how the servicing activities will be funded or provided and the procedures for implementing loan servicing operations. In addition to the narrative, attach either: 1) a budget that provides an identified source of financing, for a period of at least 5 years, for contracting loan servicing with a third party who is in the business of loan servicing; 2) a commitment letter from a third party, who is in the business of loan servicing, willing to provide loan servicing at no cost to the applicant; or 3) the resume of a current employee(s) of the applicant that describes the employee(s)'s experience in homeowner loan servicing. (Attach as Exhibit 2-2) SECTION V. PROGRAM TARGETING A. Number of homeowners to be assisted with this application for CalHome funds #7 B. Program will be operated entirely within a federally defined Qualified Census Tract(s1(oNLY MARK YES IF ALL HOMES TO BE ASSISTED WITH CALHOME FUNDS SHALL BE LOCATED IN THE AREA(S) IDENTIFIED HERE): Yes No X Federally defined Qualified Census tract(s) No. C. Program will be operated entirely within a desilanated redeveloament area under the IUrISdICtIOn Of a IOCaI Redevelopment AOenCV (ONLY MARK VES IF ALL HOMES TO BE ASSISTED WITH CALHOME FUNDS SHALL BE LOCATED IN THE AREA(S) IDENTIFIED HERE): Yes No Attach a redevelopment area map and indicate program location on the map. (Attach as Exhibit 2- 3) D. Nonprofit corporations must list the county or counties in which the program will be operated. County/counties 2008 CalHome General Progam Funding Application " 9' SECTION VII. FINANCING ~' 2 / A. Proposed Financing (other than CalHome) (check all that apply): [ ]Federal HOME [ j Redevelopment Agency (]Other Describe the financing structure for any subordinate financing to be provided in addition to the CalHome loan. Do not list the CalHome loan: *Note: Assume the existence of a first mortgage. 2008 CalHome General Program Funding Application - 10 - Attachment 3 PROGRAM GUIDELINES llf attachment 3 updated I. THE PROGRAM ................................. II. LIMITS ................................................... III. RESALE-ASSUMPTIONS ................... ............................................................ 6 ........................................................... 6 .......................................................... 7 IV. SPECIAL CIRCUMSTANCES ................................................................................................. 7 V. ELIGIBILITY .................................................................................:....................................... 8 CONFLICT OF INTEREST .......................................................................................:.................. 8 FIRST-TIME HOMEBUYER ........................................................................................................ 8 VI. INCOME .................................................................................................................................... 9 INCOME INCLUSIONS ................................................................................................................ 10 INCOME EXCLUSIONS ............................................................................................................... 11 VII. TENANTS ..............................................................................................................................14 VIII. LEASE OPTIONS .................................................................................................................14 IX. PROPERTY ............:................................................... 1. LOCATION ................................................................. 2. OCCUPANCY ............................................................. 3. TITLE ........................................................................ 4. CONDITION ............................................................... X. TYPES OF FINANCING AND TERMS ........:.............. MAXIMUM LOAN AMOUNT ................................................. DEFERRED PAYMENT LOANS (DPLS) ............................... BELOW MARKET INTEREST RATE (BMIR) LOANS ............. DETERMINING ELIGIBILITY ................................................ DETERMINING LOAN AMOUNTS _____.... XI. LOAN DOCUMENTS ................... .........................................................14 ......................................................... 14 ......................................................... 14 ......................................................... 14 ......................................................... 14 .........................................................14 .........................................................14 ......................................................... 15 ......................................................... 15 ......................................................... 15 ........................................................ 15 ................................................................15 XII. CLOSING COSTS ................................................................................................................. 15 X ....................................................................................................................................................16 XIV. OCCUPANCY REQUIREMENTS ..................................................................................16 XV. TRANSFER OF TITLE ..........................................................................................................16 XVI. HOUSING COUNSELING ............................................................................................... 17 2. INDIVIDUAL DEVELOPMENT ACCOUNTS .....................................................................17 XVII. APPLICANT SELECTION AND LOAN CLOSING ............................................................ 17 A. LOAN COMMITTEE .............................................................................................................. 17 Ukiah DAP Guidelines Revised 8.08 Page 4 1. Purpose .............................................................................................................. ..............17 2. Composition ....................................................................................................... ..............17 3. Meetings ............................................................................................................ .............. 18 4. Action ................................................................................................................. .............. i 8 B. APPLICATION PROCESSING ................................................................................. .............. 18 C. APPLICATION SELECTION .................................................................................... .............. 18 D. LOAN APPROVAL ................................................................................................ .............. 19 E. LOAN CLOSING ................................................................................................... .............. 19 F. APPEALS ............................................................................................................. .............. 19 XVIII. INSURANCE .................................................................................................. ..............19 A. HAZARD INSURANCE ............................................................................................ .............. 19 B. FLOOD INSURANCE ............................................................................................. ............... 19 XIX. DELINQUENCIES, DEFAULTS AND FORECLOSURES .................................................. 20 A. POLICY ...............................................................................................................................20 XX. AFTER-PURCHASE PROPERTY MAINTENANCE ............................................................20 A. POLICY ...................................................................................................................................20 B. PROCEDURE ...........................................................................................................................20 XXI. REUSE PLAN ...................................................................................................................... 21 XXII. AMENDMENTS ...................................................................................................................21 XXIII. RELOCATION POLICY .....................................................................................................21 XXIV. AFFIRMATIVE MARKETING/EQUAL OPPORTUNITY ................................................... 24 AFFIRMATIVE ACTION .................................................................................................................. 24 EQUAL OPPORTUNITY .................................................................................................................. 24 XXV. INSPECTION PROCEDURES ...........................................................................................25 Attachment A .................................................................................................................... Loan Documents Attachment B ..................................................................................................................... HOME Program Income Reuse Plan Attachment C ..................................................................................................................... Income and Subsidy Limits .................................................................................................... Ukiah DAP Guidelines Revised 8.08 Page rJ THE PROGRAM The Ciry of Ukiah, hereinafter referred to as the "City," has entered into a contractual relationship with the California Department of Housing and Community Development ("HCD") to administer one or more HCD-funded homebuyer programs. The homebuyer program described herein (the "Program') is designed to provide assistance to eligible homebuyers in purchasing homes, also referred to herein as "housing units", located within the incorporated area of the City of Ukiah, as described in Section 2.1. The Program provides this assistance in the form of deferred payment "silent" second priority loans as "Gap" financing toward the purchase price and closing costs of affordable housing units that will be occupied by the homebuyers. The Program will be administered by the Community Development Commission of Mendocino County (the "CDC"). The City of Ukiah Down Payment Assistance Program (DAP) will make below market interest rate deferred loans to qualifying low-income first-time homebuyers to purchase homes in the incorporated area of the City of Ukiah. Participants must qualify by not having owned a home in the last three years, must qualify under low-income guidelines and occupy the unit as their principal residence. The DAP loans may include closing costs, unless not eligible under the requirements of the original funding source. The buyers will be required to make a minimum contribution of four percent (4%) for the city program. At least half of the buyer's share must be from his or her own funds; the remaining half may come from gift funds. Applicants must attend Housing Counseling Sessions given by The Community Development Commission of Mendocino County (CDC). The City will impose certain requirements on each assisted purchase: At transfer of title to the first-time homebuyer, the home must pass Section 8 Housing Quality Standards as determined by a staff inspector. A Community Development Housing Inspector will perform the inspection. This requirement will be part of the purchase offer. The DAP loan(s) will be recorded on the purchased property directly behind the primary purchase financing. Primary financing must be with a conventional lender. 3. Repayment of the loan(s) will be required upon sale (except for approved assumptions, see below), transfer of title (except for approved transfers, see below), if the property is no longer the primary residence or after 30 years. The principal plus three percent annual interest will be repaid. 4. A document restricting resale and ensuring affordability for at least 5-15 years will be recorded. DAP loans cannot be used for refinancing of existing loans. II. LIMITS In an attempt to address the needs of a variety of low-income persons, some limits are designed into the program. Maximum purchase price will be limited to FHA limits. For HOME-funded DAP loans, the acquisition price will not exceed the amount published in the current NOFA, or approved by HUD. The Maximum Purchase Price/After-Rehabilitation Value Limit for 2008 is Ukiah DAP Guidelines Revised 8.08 Page 6 $389,500.1 The total loan(s) amount from the DAP program must be less than the financing from the primary lender, at a maximum of forty nine percent (49%) of the total financing package, and the maximum limit will be revised to reflect current market conditions. The true limiting factor will be income status, and the limited size of a first mortgage that a family may obtain. The income limits for the program will be those published by HUD for Mendocino County. Specifically, the limits are 80% of median income adjusted for family size. Assistance will be limited to those families qualifying as "lower-income " III. RESALE-ASSUMPTIONS: A recorded document will contain provisions restricting resale. Fora 5-15-year period for the City, these conditions will apply: A. Any purchaser of the property must be a qualifying low-income household that will reside in the property. B. The sale price must permit the low-income purchaser to maintain affordability. C. There must be a fair return on investment to the seller. The minimum periods of affordability are specified in the following table, and shall comply with the other requirements of 24 CFR Sections 92.252, 92.254, 92.255 and 92.258. Amount of HOME Assistance Activity Minimum Period of Affordabili in Years Less than $15,000 FTHB 5 $15,000 - $40,000 FTHB 10 More than $40,000 FTHB 15 No additional HOME assistance may be provided during the period starting one year following the filing of the Project Completion Report through end of the affordability period. When these terms are met, DAP loan(s) may be assumable. The new purchaser must execute an assumption agreement confirming agreement with the terms of the DAP loan. If these terms are not met, the DAP loan funds will be recaptured to the local DAP account(s). The homeowner may recover the initial investment. However, assumptions are not allowed if not eligible under the funding source of the loan(s). Proceeds from sales will be recycled into eligible activities with the same regulations and procedures of the original funding source. IV. SPECIAL CIRCUMSTANCES A. Flood plain: Units in the 100-year flood plain will not be eligible. B. Lead Paint: Lead-base paint requirements for properties constructed prior to 1978 will be addressed prior to purchase. These requirements include: requirement 1 2008 NOFA Appendix D, "Maximum Purchase Price/After-Rehabilitation Value Limits," 4/29/08. Ukiah DAP Guidelines Revised 8.08 Page 7 that lead-base paint notification be given to purchasers. The pamphlet "Protect your Family from Lead in the Home" will be given to purchasers. Please contact the CDC office for the most current information regarding Lead Based Paint and home purchases. C. Notice to Sellers: It will be a requirement that an acquisition notice containing the items below be provided to seller prior to making the purchase offer: the purchaser has no power of eminent domain and, therefore, will not acquire the property if negotiations fail to result in an amicable agreement; an estimate of the fair market value of the property; if an acquisition notice will not be provided prior to the purchase offer, a provision that the seller may withdraw from the agreement after this information is provided. D. Tenant-Occupied Properties: Tenant occupied properties will not be eligible, unless the tenant is the first-time homebuyer making the purchase. A rental property must be vacant for a minimum of 120 days to be an eligible property. V. ELIGIBILITY CONFLICT OF INTEREST No member of the City of Ukiah City Council and no other official, employee or agent of City of Ukiah, and the Community Development Commission of Mendocino County, who exercises policy, decision-making functions, or responsibilities in connection with the planning and implementation of the program shall directly or indirectly be eligible for this program, unless the application for assistance has been reviewed and approved according to applicable California Department of Housing and Community Development (HCD) guidelines and federal HOME Regulations at 24 CFR 92.356. This ineligibility shall continue for one year after an individual's relationship with the City of Ukiah government and/or the Community Development Commission of Mendocino County ends. FIRST-TIME HOMEBUYER "First-time homebuyer" means an individual or individuals or an individual and his or her spouse who have not owned a home during the three-year period before the purchase of a home with assistance, except that the following individual or individuals may not be excluded from consideration as a first-time homebuyer under the definition: A displaced homemaker who, while a homemaker, owned a home with his or her spouse or resided in a home owned by the spouse. A displaced homemaker is an adult who has not, within the preceding two years, worked on a full-time basis as a member of the labor force for a consecutive twelve-month period and who has been unemployed or underemployed, experienced difficulty in obtaining or upgrading employment and worked primarily without renumeration to care for his or her home and family; 2. A single parent who, while married, owned a home with is or her spouse or resided in a home owned by a spouse. A single parent is an individual who is unmarried or legally separated from a spouse and has one or more minor children for whom the individual has custody or joint custody or is pregnant; and Ukiah DAP Guidelines Revised 8.08 Page 3. An individual or individuals who owns or owned, as a principal residence during the three-year period before the purchase of a home with HOME assistance, a dwelling unit whose structure is: A. Not permanently affixed to a permanent foundation in accordance with local or state regulations; or B. Not in compliance with state, local, or model building codes and cannot be brought into compliance with such codes for less than the cost of constructing a permanent structure. C. By definition, the housing must be single-family housing (1- to 4-family residence, condominium unit, cooperative unit, combination manufactured home and lot, or manufactured home lot). Individual funding sources may have a definition of applicable housing that may be more restrictive; if so, then that definition will apply if that funding source is used. 4. Ownership is defined as one's exclusive right of possessing, enjoying, and disposing of real property, including both possession and title. VI. INCOME To receive First time HOME BUYER assistance, households must have incomes at or below 80% of the Mendocino County Median Income adjusted for household size, as reported by the US Department of Housing and Urban Development. The income limits for Mendocino County are included in Attachment C. Family members as determined under our program guidelines include: 1. Unbom children of pregnant women; 2. Children in joint custody arrangements who are present in the household 50% or more of the time; 3. Temporarily absent family members who are still considered family members. For example, 1. a family member who is working in another state on assignment; 2. family members in the hospital or rehabilitation facility for periods of limited or fixed duration. 4. Persons permanently confined to a hospital or nursing home. The family decides if such persons are included or not when determining family size for income limits. If such persons are included, they must not be listed as the head, co-head, or spouse on the lease, but may be listed as other adult family member. If the family chooses to include the permanently confined person as a member of the household, include the income received by these persons in calculating family income. 5. Adult students living away from home. If the adult student is counted as a member of the household for income limits, the first $480 of the student's income must be counted in the family's income. Note, however, that the $480 limit does not apptyto a student who is the head of household or spouse (their full income must be counted) 6. Children who are in the process of being adopted. Count adoption assistance Ukiah DAP Guidelines Revised 8.08 Page 9 payments in excess of $480 per adopted child. Subject to the exemptions allowed in the "Technical Guide for Determining Income and Allowances for the HOME Program, Third Edition, 2005," all persons in residence are considered household members for purposes of income edibility. Family members as determined under our program guidelines exclude: 1. Foster Children 2. Live-in aides and children of Live-in aids 3. Children being pursued for legal custody or adoption who are not currently living with the household. 4. A child who is subject to ashared-custody agreement in which the child resides with the household less than 50% of the time. Calculation of Income. Income is defined as monetary benefits from any source whatsoever, before deductions or exemptions, anticipated to be received during the twelve months following application for a grant. If all or part of income is derived from irregular employment or includes earnings from occasional overtime work, such income received during the preceding twelve months will be used as a basis to anticipate income for the succeeding twelve months. The income of the applicant includes the income of the head of household and any other person or persons who are on title and permanently reside in the same dwelling unit. The household's income includes; Income INCLUSIONS Income is determined at the time of initial occupancy of property or at the time the DAP funds are invested, whichever is the latter. Income is projected for the next 12 months. Sources included as income are derived from 24 CFR 5.609 paragraph (b) of the Code of Federal Regulations (April 1, 2004) and include: a) Income from wages, salaries, tips, etc. The full amount, before any payroll deductions, of wages and salaries, overtime pay, commissions, fees, tips and bonuses, and other compensation for personal services. b) Business Income. The net income from the operation of a business or profession. Expenditures for business expansion or amortization of capital indebtedness shall not be used as deductions in determining net income. An allowance for depreciation of assets used in a business or profession may be deducted, based on straight-line depreciation, as provided in Internal Revenue Service regulations. Any withdrawal of cash or assets from the operation of a business or profession will be included in income, except to the extent the withdrawal is reimbursement of cash or assets invested in the operation by the family. c) Interest & Dividend Income. Interest, dividends, and other net income of any kind from real or personal property. Expenditures for amortization of capital indebtedness shall not be used as deductions in determining net income. An allowance for depreciation is permitted only as authorized in number 2 (above). Any withdrawal of cash or assets from an investment will be included in income, except to the extent the withdrawal is reimbursement of cash or assets invested by the family. Where the family has net family assets in excess of $5,000, annual income shat! include the greater of the actual income Ukiafi DAP Guidelines Revised 8.08 Page derived from all net family assets or a percentage of the value of such assets based on the current passbook savings rate, as determined by HUD. d) Retirement & Insurance Income. The full amount of periodic amounts received from Social Security, annuities, insurance policies, retirement funds, pensions, disability or death benefits, and other similar types of periodic receipts, including slump-sum amount or prospective monthly amounts for the delayed start of a periodic amount (except as provided in number 14 of Income Exclusions). e) Unemployment & Disability Income. Payments in lieu of earnings, such as unemployment and disability compensation, worker's compensation, and severance pay (except as provided in number 3 of Income Exclusions). f) Welfare Assistance. Welfare assistance payments made under the Temporary Assistance for Needy Families (TANF) program are included in annual income: Qualify as assistance under the TANF program definition at 45 CFR 260.31; and Are otherwise excluded from the calculation of annual income per 24 CFR 5.609(c). If the welfare assistance payment includes an amount specifically designated for shelter and utilities that is subject to adjustment by the welfare assistance agency in accordance with the actual cost of shelter and utilities, the amount of welfare assistance income to be included as income shall consist of: the amount of the allowance or grant exclusive of the amount specifically designated for shelter or utilities; plus the maximum amount that the welfare assistance agency could in fact allow the family for shelter and utilities. If the family's welfare assistance is reduced from the standard of need by applying a percentage, the amount calculated under 24 CFR 5.609 shall be the amount resulting from one application of the percentage. g) Alimony, Child Support, 8~ Gift Income. Periodic and determinable allowances, such as alimony and child support payments, and regular contributions or gifts received from organizations or from persons not residing in the dwelling. h) Armed Forces Income. All regular pay, special day and allowances of a member of the Armed Forces (except as provided in number g of Income Exclusions). Adjusted income is derived from HUD or U.S. Census Sources of income derived from 24 CFR 5.609 paragraph (b) of the Code of Federal Regulations (April 1, 2004) exclude: Income EXCLUSIONS a) Income of Children. Income from employment of children (including foster children) under the age of 18 years. b) Foster Care Payments. Payments received for the care of foster children or foster adults (usually persons with disabilities, unrelated to the tenant family, who are unable to live alone). c) Inheritance and Insurance Income. Lump-sum additions to family assets, such as inheritances, insurance payments (including payments under health and accident insurance and worker's compensation), capital gains and settlement for personal or property losses (except as provided in number 5 of Income Inclusions). d) Medical Expense Reimbursements. Amounts received by the family that are specifically for, or in reimbursement of, the cost of medical expenses for any family member. e) Income of Live-in Aides. Income of a live-in aide (as defined in 24 CFR 5.403). Ukiah DAP Guidelines Revised 8.08 Page ~ ~ f) Disabled Persons. Certain increases in income of a disabled member of qualified families residing in HOME-assisted housing or receiving HOME tenant-based rental assistance (24 CFR 5.671(a)). g) Student Financial Aid The full amount of student financial assistance paid directly to the student or to the educational institution. h) Armed Forces Hostile Fire Pay. The special pay to a family member serving in the Armed Forces who is exposed to hostile fire. i) Self-Sufficiency Program Income. a. Amounts received under training programs funded by HUD. b. Amounts received by a person with a disability that are disregarded for a limited time for purposes of Supplemental Security Income eligibility and benefits because they are set aside for use under a Plan to Attain Self-Sufficiency (PASS). c. Amounts received by a participant in other publicly assisted programs that are specifically for, or in reimbursement of, out-of-pocket expenses incurred (special equipment, clothing, transportation, childcare, etc.) and which are made solely to allow participation in a specific program. d. Amounts received under a resident service stipend. A resident service stipend is a modest amount (not to exceed $200 per month) received by a resident for performing a service for the PHA or owner, on a part-time basis, that enhances the quality of life in the development. Such services may include, but are not limited to, fire patrol, hall monitoring, lawn maintenance, resident initiatives coordination, and serving as a member of the PHA's governing board. No resident may receive more than one such stipend during the same period of time. e. Incremental earnings and benefits resulting to any family member from Participation in qualifying state or local employment training programs (including training not affiliated with a local government) and training of a family member as resident management staff. Amounts excluded by this provision must be received under employment training programs with clearly defined goals and objectives, and are excluded only for the period during which the family member participates in the employment training program. j) Gifts. Temporary, nonrecurring, or sporadic income (including gifts). k) Reparations. Reparation payments paid by a foreign government pursuant to claims filed under the laws of that government by persons who were persecuted during the Nazi era. I) Income from Full-time Students. Earnings in excess of $480 for each full-time student 18 years old or older (excluding the head of household or spouse). m) Adoption Assistance Payments. Adoption assistance payments in excess of $480 per adopted child. n) Social Security &SSI Income. Deferred periodic amounts from SSI and Social Security benefits that are received in a lump sum amount or in prospective monthly amounts. o) Property Tax Refunds Amounts received by the family in the form of refunds or rebates under state or local law for property taxes paid on the dwelling unit. p) Home Care Assistance. Amounts paid by a state agency to a family with a member who has a developmental disability and is living at home to offset the cost of services and equipment needed to keep this developmentally disabled family member at home. q) Other Federal Exclusions. Amounts specifically excluded by any other federal statute from consideration as income for purposes of determining eligibility or benefits under a category of assistance programs that includes assistance under any program to which the exclusions of 24 CFR 5.609(c) apply, including: The value of the allotment made under the Food Stamp Act of 1977; Ukiah DAP Guidelines Revised 8.08 Page 12 • Payments received under the Domestic Volunteer Service Act of 1973 (employment through VISTA, Retired Senior Volunteer Program, Foster Grandparents Program, youthful offender incarceration alternatives, senior companions); • Payments received under the Alaskan Native Claims Settlement Act; • {ncome derived from the disposition of funds to the Grand River Band of Ottawa Indians; • Income derived from certain submarginal land of the United States that is held in trust for certain Indian tribes; • Payments or allowances made under the Department of Health and Human Services' Low-Income Home Energy Assistance Program; • Payments received under the Maine Indian Claims Settlement Act of 1980 (25 U.S.C. 1721); The first $2,000 of per capita shares received from judgment funds awarded by the Indian Claims Commission or the U.S. Claims Court and the interests of individual Indians in trust or restricted lands, including the first $2,000 per year of income received by individual Indians from funds derived from interests held in such trust or restricted lands; • Amounts of scholarships funded under Title IV of the Higher Education Act of 1965, including awards under the Federal workstudy program or under the Bureau of Indian Affairs student assistance programs; • Payments received from programs funded under Title V of the Older Americans Act of 1985 (Green Thumb, Senior Aides, Older American Community Service Employment Program); • Payments received on or after January 1, 1989, from the Agent Orange Settlement Fund or any other fund established pursuant to the settlement in the In Re Agent Orange product liability litigation, M.D.L. No. 381 (E.D.N.Y.); • Earned income tax credit refund payments received on or after January 1, 1991, including advanced earned income credit payments; The value of any child care provided or arranged (or any amount received as payment for such care or reimbursement for costs incurred for such care) under the Child Care and Development Block Grant Act of 1990; • Payments received under programs funded in whole or in part under the Job Training Partnership Act (employment and training programs for Native Americans and migrant and seasonal farm workers, Job Corps, veterans employment programs, state job training programs and career intern programs, AmeriCorps); Payments by the Indian Claims Commission to the Confederated Tribes and Bands of Yakima Indian Nation or the Apache Tribe of Mescalero Reservation; Allowances, earnings, and payments to AmeriCorps participants under the National and Community Service Act of 1990; Any allowance paid under the provisions of 38 U.S.C. 1805 to a child suffering from spina bifida who is the child of a Vietnam veteran; Any amount of crime victim compensation (under the Victims of Crime Act) received through crime victim assistance (or payment or reimbursement of the cost of such assistance) as determined under the Victims of Crime Act because of the commission of a crime against the applicant under the Victims of Crime Act; and Allowances, earnings, and payments to individuals participating in programs Ukiah DAP Guidelines Revisetl 6.08 Page 13 under the Workforce Investment Act of 1998. VII. TENANTS Tenant-occupied units are not eligible for this program, with the exception of tenants wishing to purchase their single-family unit through the DAP program. This option would only be available if all other qualifications apply (location, condition of property and income). VIII. LEASE OPTIONS Under certain circumstances lease option purchases are allowed under the DAP program. The contract must be entered into within the time frame allowed in the grant, and must close within the allowable time frames. IX. PROPERTY To be eligible for program financing, properties must comply with the following criteria: Location Units to be purchased with DAP funds must be located in the incorporated area of the City of Ukiah, excluding portions subject to flooding. The City reserves the option of completing the "eight step" process for areas subject to flooding, converting to exempt status, and including these areas at the discretion of the Community Development Manager. 2. Occupancy This program is for first time homebuyers (see definition). This is for a principal residence, owner occupied. 3. Title Property owners shall hold land in fee title. 4. Condition To qualify, the home must meet local building codes. X. TYPES OF FINANCING AND TERMS Maximum Loan Amount Maximum total assistance with DAP funds will be revised to reflect current market conditions, but cannot exceed forty-nine percent (49%) of the total financing on the property. Total indebtedness against property will not exceed 100% for the entire term of the loan(s). Maximum loan amount for HOME assistance cannot exceed the per-unit dollar limits (221(d) (3) limits), established by HUD under 24 C.F.R. 92.250. Please see Attachment Ukiah DAP Guidelines Revised 8.08 Page 'I 4 C for current HOME-assisted loan limits. For all Deferred Payment Loans (DPLs) A DPL is a loan secured by a deed of trust with no payback required until the borrower sells or transfers title or discontinues residence in the dwelling during the affordability period. When specific circumstances occur, the DPL becomes immediately due and payable. Payments may be made voluntarily on a DPL. Below Market Interest Rate (BM/R) Loans DPL loans secured by a deed of trust will bear a fixed simple interest rate of Three per cent (3%) per annum on the unpaid principal balance. The term of all loans will be for 30 years unless a longer period is deemed necessary to protect the integrity of the loan. There will be no prepayment penalty. Determining Eligibility Applicants must have incomes below 80% of the median income for Mendocino County adjusted for family size. Affordability is based upon an applicant qualifying for a first mortgage payment typically of no more than 35% of gross income applied to housing costs, unless differing from the requirements of the applicable funding source (this may be reviewed and adjusted on a case by case basis). Housing costs include mortgage payments on the subject property, real estate taxes and insurance (PITT). Determining Loan Amounts DAP loan amount(s) should be decided on the criteria of minimum amount necessary to make the home buying possible. This ensures the maximum number of eligible homebuyers may be assisted through the program. Primary financing must be with a conventional lender and must be for the maximum amount possible. Besides this, the program will have a standard household debt/income ratio maximum of 35% for primary financing, unless differing from the requirements of the applicable funding source (this may be reviewed on a case by case basis. The overall debUincome ratio is not to exceed 50% (this may also be reviewed on a case by case basis and subject to the requirements of the applicable funding source). XI. LOAN DOCUMENTS Examples of all loan documents are to be found in Attachment A. XII. CLOSING COSTS Closing costs incurred during the processing of a loan application will normally be paid by the applicant out of loan proceeds. These costs, which may vary among applications, may include: credit report fee(s), appraisal fee, title insurance fee, escrow fee, pest control report fees, and recording fees and other miscellaneous fees. These may be part of the DAP loan, if allowed Ukiah DAP Guidelines Revised 8.08 Page 'I 5 under the guidelines of the original funding source. However, it is preferred that closing costs be paid from the buyer's contribution to the purchase. XIII. SECURITY Property to be purchased shall act as security for the loan(s). All loans shall be secured by a Promissory Note and Deed of Trust, which shall be recorded. The DAP loan(s) will serve in a junior lien position(s). Lien position of the loan(s) from DAP will depend on the position requirements of the particular funding source. XIV. OCCUPANCY REQUIREMENTS A. Owner-Occupants In the event that an owner-occupant sells, transfers title, or discontinues residence in the rehabilitated property for any reason, the loan is due and payable. 2. If, however, the owner-occupant who qualifies for DAP financing dies, and if the heir to the property lives in the house and is income-eligible, the heir may be permitted, upon approval of the city to assume the loan at the rate and terms he or she qualifies for under current participation guidelines, dependent on whether allowable by the funding source. 3. If the owner-occupant who qualifies for DAP financing dies and the heir is not income-eligible, the loan is due and payable. 4. If the owner-occupant who qualifies for DAP financing dies and the heir is not income-eligible, but he or she chooses to rent the unit to low-income families and agrees to comply with owner-investor restrictions, the heir may be permitted, upon approval of the city to assume the loan at the same rate and terms offered investors under can-ent program guidelines. If the heir does not comply with investor restrictions, the loan is due and payable. 5. If an owner wants to convert the property to any commercial or non-residential use, the loan is due and payable. Verification of owner-occupant status will be required on an annual basis and will require the homebuyer to submit such items as property tax statements showing homeownership exemption and insurance policies. XV. TRANSFER OF TITLE A transfer of title will automatically result in the loan being due and payable except when: a. A transfer where the spouse becomes an owner of the property. b. A transfer resulting from a decree of dissolution of marriage, legal separation agreement, or from an incidental property settlement Ukiah DAP Guidelines Revised 8.08 Page ~ t) agreement by which the spouse becomes an owner of the property; or c. A transfer into an inter vivos trust in which the homebuyer is and will remain the beneficiary and occupant of the property. XVI. HOUSING COUNSELING Home buyer Education Learning Program (HELP) CDC will provide a series of housing counseling seminars. The program is a HUD-approved seminar consisting of 5 modules. 1. Budgeting for your home purchase 2. Shopping for your home 3. Shopping for your lender 4. Now you are ready to close 5. How to care for your home after closing The five modules cover, but are not limited to, the following: preparing for homeownership; available financing and credit analysis; loan closing and homebuyer responsibilities; home maintenance and budgeting for mortgage payments and other expenses; the impact of refinancing on the long-term; and financial health of the homebuyer. A certificate of successful completion of homebuyer education shall be issued to each prospective homeowner 2. Individual Development Accounts Qualified individuals and families who successfully complete HELP may be eligible for up to $15,000 in matching funds. Please contact the CDC office for details. XVII. APPLICANT SELECTION AND LOAN CLOSING A. Loan Committee Purpose The function of the Loan Committee will be to review and act on applications recommended by program staff for financing. The Committee shall review applications in terms of: eligibility, compliance with all program requirements, and consistency of staff recommendations regarding loan terms and type(s) of assistance to be provided. 2. Composition The Committee will consist of two members of the Community Development Commission of Mendocino County Board of Commissioners and the Executive Director of the Community Development Commission of Mendocino County. Ukiah DAP Guidelines Revised 8.08 Page ~ 7 3. Meetings The Loan Committee shall meet periodically to review and act on applications. A quorum shall exist and all minutes shall be recorded. A quorum is a simple majority of the full committee. 4. Action Action of the Loan Committee shall be by majority vote. B. Application Processing Staff shall gather any necessary financial information to determine applicant eligibility and repayment ability. An application consists of: 1. An application form containing financial and household information regarding the potential homeowners. 2. A form containing necessary income and household information. All applicants over the age of 18 years of age will have their income verified by use of one or more of the following forms. a. Request for Verification of Employment b. Verification of Public Assistance c. Three years Income tax information (1040s, etc.) d. Benefit letters for sources of public assistance or pensions 3. Credit evaluations and income, employment and mortgage verifications as obtained by staff. 4. Preliminary Title Report and Appraisal of current market value will be required. C. Application Selection A Loan Committee Report (LCR) will be prepared for all loan applications determined by staff to be eligible for DAP loan(s). The LCR and the application will be brought before the Loan Committee for approval. General lending criteria that will be used to assist in evaluating the applications of eligible applicants for financial assistance will include: The ability and willingness of an applicant to repay the primary loan. The housing debt/income ratio is not to exceed 35% except on acase-by-case basis, or if differing from the requirements of the applicable funding source. All existing liabilities and new housing payment ratios are not to exceed 50%, except on acase-by-case basis. AI{ recommendations for loans shall be developed by the Community Ukiah DAP Guidelines Revised B.oB Page ~ $ Development Manager orhis/her designee(s) and submitted to the Loan Committee. The Community Development Manager's (or designee's) recommendations shall be submitted in written form and shall propose the terms of the loan, interest rate, special conditions, and whether the loan should be approved or denied. All applications shall be submitted for consideration regardless of whether the recommendation is for approval or denial. D. Loan Approval All DAP Loans must be approved by the Loan Committee. In order to obtain DAP financing, applicants must meet all property and income eligibility guidelines and Housing Counseling Programs in effect at the time of loan approval. Applicants will be provided written notification of approval or denial. Reason for denial wilt be provided to the applicants in writing. An appropriate funding cut off point established for each review period will determine the number of applications that may be approved for funding at that particular time. Qualified applications not selected for funding during one review period will be automatically reconsidered during a subsequent period E. Loan Closing The Community Development Manager or Staff will provide the execution of all necessary loan documents to submit to the Title Company. F. Appeals Objections by any applicant as to policy, procedures, method of operation or decisions by the Program CDC staff or Loan Committee will be referred to the Executive Director. The Executive Director will schedule a hearing for the applicant and establish hearing procedures. Decisions of the Loan Committee will be based upon its interpretation of the Program Policies and Administrative Procedures. XVIII. INSURANCE A. Hazard Insurance The borrower shall maintain hazard insurance on the property for the duration of the loan(s). This insurance must be an amount adequate to cover all encumbrances on the property. The insurer must identify the City of Ukiah as Loss Payee for the amount of the loan(s). Proof of insurance shalt be provided to the CDC. B. Flood Insurance Properties in Flood Prone areas are not eligible for DAP financing. In the event the property is designated a "flood prone" area after purchase, owners agree to purchase flood insurance. This policy must endorse the City of Ukiah as Ukiah DAP Guidelines Revised B.DB Page 'I 9 additional-insured. XIX. DELINQUENCIES, DEFAULTS AND FORECLOSURES A. Policy DAP loans are deferred payment loans. Payments may be made on a voluntary basis, but are not required unless the applicant defaults on the terms of the loan. In those incidences The City of Ukiah acknowledges that circumstances beyond a borrower's control may temporarily limit his/her ability to meet loan terms. The City of Ukiah desires to be flexible enough so that in cases of: death of a family member, loss of job, divorce and major illness loan terms may be modified. While the City of Ukiah, in this policy, outlines a system that can accommodate crises that restrict borrowers' ability to meet loan terms, it should in no way be misunderstood. Loan terms must be fulfilled. The City of Ukiah will pursue all legal means to ensure fulfillment of loan terms. XX. AFTER-PURCHASE PROPERTY MAINTENANCE A. Policy ALL DAP Loans require the borrower: 1. To protect and preserve said property and to maintain it in good condition and repair; 2. Not to remove, demolish or materially alter any building or any improvement thereon. 3. To complete or restore promptly and in good workmanlike manner any building or improvement that may be constructed, damaged or destroyed thereon and pay when due all costs incurred therefore; and to comply with all of the terms of any loan agreement between Trustor and Beneficiary; 4. Not to commit or permit waste of the property; 5. To comply with all laws, covenants, conditions or restrictions affecting the property; 6. To cultivate, irrigate, fertilize, fumigate, prune and do all other acts that from the character or use of said property may be reasonably necessary, the specific enumerations herein not excluding the general. These conditions help assure that the property does not revert to a substandard state. B. Procedure When the City of Ukiah becomes aware that property is not being properly maintained it shall: 1. Provide the borrower in writing: Ukiah DAP Guidelines Revised 8.08 Page 2~ a. a list of needed repairs or maintenance items b. a recommendation as to a solution to the deficiencies c. a request that the repairs be performed within 60 days 2. At the end of the 60-day period, City of Ukiah staff shall inspect the property. If the needed repairs have not been performed, staff shall set an appointment with the borrower to discuss why maintenance has not been performed. 3. Following the visit and inspection, the borrower will be given 60 days to make the necessary repairs. The borrower will be given written notice at the start of this phase that if repairs are not performed within 60 days the borrower will be considered to be in default. 4. If repairs are not performed within 60 days of the notice outlined in Item 3, the City of Ukiah may begin foreclosure proceedings. XXI. REUSE PLAN All repayments of loan principal and interest shall be deposited to separately maintained reuse accounts. Funds in the reuse accounts shall only be used for eligible activities as defined by the original funding source and shall only be used in eligible areas as defined by the original Standard Agreement. Reuse Plans for different funding sources are in Attachment B. XXII. AMENDMENTS Amendments to these Policies and Procedures may be made by the City and will be submitted to the California Department of Housing and Community Development for approval. Where changes in the guidelines would adversely affect program applications already under review, such applications will be evaluated under the guidelines in effect at the time of application. XXIII. RELOCATION POLICY RESIDENTIAL ANTI-DISPLACEMENT AND RELOCATION ASSISTANCE PLAN CITY OF UKIAH The jurisdiction will replace all occupied and vacant occupiable low/moderate-income dwelling units demolished or converted to a use other than as low/moderate-income housing as a direct result of activities assisted with funds provided under the Housing and Community Development Act of 1974, as amended, as described in 24 CFR 470.606 (b) (1) and 24 CFR 92. All replacement housing will be provided within three years of the commencement of the demolition or rehabilitation relating to conversion. Before obligating or expending funds that will directly result in such demolition or conversion, the jurisdiction will make public and submit to the Department the following information in writing: Ukiah DAP Guidelines Revised 8.08 Page 21 1. A description of the proposed assisted activity; 2 The general location on a map and approximate number of dwelling units by size (number of bedrooms) that will be demolished or converted to a use other than as low/moderate-income dwelling units as a direct result of the assisted activity; 3. A time schedule for the commencement and completion of the demolition or conversion; 4. The general location on a map and approximate number of dwelling units by size (number of bedrooms) that will be provided as replacement dwelling units. 5. The source of funding and a time schedule for the provision of replacement dwelling units; S. The basis for concluding that each replacement dwelling unit will remain aloes/moderate- income dwelling unit for at least 5 years from the date of initial occupancy. The jurisdiction will provide relocation assistance to each low/moderate-income household displaced by the demolition of housing or by the conversion of a low/moderate-income dwelling to another use as a direct result of assisted activities. Consistent with the goals and objectives of activities assisted under the Act, the jurisdiction will take the following steps to minimize the displacement of persons from their homes: A. Steps to Minimize or Prevent Displacement 1. Use available funds to provide seed money grants or loans, long-term mortgage loans at favorable rates, or capital grants to tenant groups of multi-family buildings to help them convert to cooperatives. 2. Stage rehabilitation of assisted housing to allow tenants to remain during and after rehabilitation, working with empty building or groups or empty units first so they can be rehabilitated first and tenants moved in before rehab on occupied units or building is begun. 3. Establish temporary relocation facilities in order to house families whose displacement will be of short duration, so they can move back to their neighborhoods after rehabilitation or new construction. 4. Evaluate housing codes and rehabilitation standards in reinvestment areas to prevent their placing undue financial burden on long-established owners or on tenants of multi- family buildings. 5. Provide counseling via Government ornon-profit organizations to assist homeowners and renters to understand the range of assistance that may be available to help them in staying in the area in the face of revitalization pressures. 6. Shift the concentrated demand generated by intense investment in one or two neighborhoods to other neighborhoods by: (a) targeting public improvements into several other neighborhoods with potential for revitalization; (b) conduction of advertising Ukiah DAP Guidelines Revised 8.08 Page 22 campaigns to attract interest in other neighborhoods. B. Steps to Assist Displaced Persons to Remain in their Present Neighborhood 1. Provide lower-income housing in the neighborhood through HUD housing programs; purchase units as is; rehabilitate vacant units; 2. Give Priority in assisted housing units in the neighborhood to area residents facing displacement. 3. Target Section 8 existing program certificated to households being displaced, and recruit area landlords to participate in the program. 4. Provide counseling and referral services to assist displacees find alternate housing in the neighborhood. 5. Work with area landlords and real estate brokers to locate vacancies for household facing displacement. C. Steps to Otherwise Mitigate Adverse Effects of Displacement 1. Use of public funds, such as CDBG funds, to pay moving costs and provide relocation payments, or require private developers to provide compensation to persons displaced by development activities. 2. Give displacees priority in obtaining subsidized housing units. 3. Provide counseling and referral services to assist displacees to locate elsewhere in the community or metropolitan area. D. Additional Procedures for Acquisition ofSingle-Family Homes (HOME funds) When the jurisdiction uses HOME funds fo obtain asingle-family home, or to provide financial assistance in such a transaction, the URA and its implementing regulations (49 CFR part 24) will be adhered to. Policies and Procedures described in HUD Handbook 1378, Chapters 1 through 6 and Chapter 8 will be implemented, and those specific to the HOME program described on pages 8-17 through 8-23, will be followed. 1. Unit occupied by home owner: The home owner will be notified in writing that the jurisdiction 2. Will not use its power of eminent domain to acquire the property. The homeowner will be informed in writing of the jurisdictions estimate of the fair market value to the property. These notices will be issued at the earliest possible date. 3. Unit occupied by tenant: The homeowner will receive the notifications stated above. In additions, the tenant will be issued a notice at the earliest possible date. The notice will include all information required under URA including a caution not to move prematurely, and information on relocation assistance. Information on comparable replacement units will be provided, as well as material on social services and housing programs. Upon moving, the tenants will be provided with moving expenses and rent differential, (per URA) where CDC Page 2.3 applicable. A notice informing tenants of the date they will be required to move will be issued. If a unit is vacant at the time of negotiation of sales, or becomes vacant later, any prospective tenant will be notified of the pending sale, informed that they may be required to move, and that they will not be entitled to relocation assistance. The issuing of all notices and the processing of relocation assistance will be the responsibility of the Community Development Commission of Mendocino County. XXIV. AFFIRMATIVE MARKETING/EQUAL OPPORTUNITY Affirmative Action The Downpayment Assistance Program will utilize affirmative marketing procedures. The purpose of these marketing procedures is to attract eligible persons to the program, without regard to race, color, national origin, sex, religion, familial status or disability. To insure that affirmative marketing goals are met, the following are required: 1. Inform the public about federal housing laws by displaying fair housing logo on generated materials, posting fair housing posters in visible public areas in CDC offices and providing fair housing information to all participants at housing counseling sessions. Copies of distributed fair housing materials will be kept in file by the CDC. 2. The CDC wits advertise the program via local newspapers and radio when possible. Also, information will be provided to local lenders, realtors, and title companies. 3. Outreach will be done annually to community groups and service organizations with the focus being on groups that serve those who are less likely to access information through the means listed previously (i.e. disabled, developmentally disabled, farmworkers, non-English speaking, etc. ). 4. Those responding to marketing efforts requiring special accommodations will be accommodated whenever possible (i.e. counseling with translators for non-English speakers, counseling with case workers for developmentally disabled, etc.). 5. Records detailing affirmative marketing efforts will be maintained by the CDC. These records will be assessed annually by the CDC and compared to most recent data. If it is found from this review that affirmative marketing efforts are under serving any populations of the City of Ukiah, then procedures will be developed to outreach to those populations. Equal Opportunity The CDC will keep accurate, up-to-date records of the following (as required by 24 CFR 107.30): 1. Race, ethnicity gender disability, and age of the target area residents; 2. The location of housing-related activities; 3. Demographic characteristics of all applicants and those who have been selected; 4. The efforts utilized to inform and recruit potential applicants; and 5. The criteria for selecting participants. The CDC will keep the following records for the most recent five year period, as required by 24 CFR CDC Page 24 92.598: 1. Data on applications received from each racial and ethnic group and single-headed households, and on those chosen to participate in or benefit from any program or activity funded in whole or in part with HOME funds or other funding sources; 2. Documentation of actions undertaken to meet the requirements of Section 3, when applicable; 3. Documentation of actions taken to affirmatively market the program; 4. Documentation of actions taken to comply with affirmative action procedures for projects with 5 or more units, when applicable, and 5. Documentation and data on the steps taken to implement the required outreach to MBE/WBEs, including data indicating the racial(ethnic or gender character of each business receiving aHOME-funded contract or subcontract of $25,000 or more; the amount of the contract or subcontract; and documentation of the steps taken to assure that MBE/W BEs are encouraged to obtain or compete for contracts and subcontracts as sources of supplies, equipment, construction and services, when applicable. XXV. INSPECTION PROCEDURES Inspections will be performed by Housing Inspectors of the Community Development Commission of Mendocino County. Housing Inspectors will inspect for the following: 1. Compliance with HOS standards 2. Compliance with local codes 3. Visual assessment for lead-based hazards Housing Inspectors have been trained in housing quality standards and local applicable codes. They have also been certified for conducting visual assessment for lead hazards. Inspections must be performed during the escrow period. All information in the inspection process is documented and provided to the buyer. All remedial actions must be taken and a final inspection with approval must be performed before a loan is approved. All properties eligible for purchase must meet health and safety code requirements at the time of occupancy and no later than six months after transfer of ownership. If the inspector finds that health and safety or code violations still exist, HOME DAP loans will not be provided. CDC Page 25 Page 1 of l Cathleen Moller From: Craig Schlatter [schlattc@cdchousing.org] Sent: Sunday, August 03, 2008 3:33 PM To: Cathleen Moller Subject: revised dap guidelines- HOME program Attachments: Ukiah DAP policy and procedure updated 8.08.doc Hi Cathleen, When preparing the Cib/s HOME application for downpayment assistance, I found additional requirements for the DAP guidelines that must be included. Please discard the previously submitted DAP guidelines and use the attached. One note for both sets of guidelines- each of these was approved by the City Council a few years ago. What is being submitted this time are revised versions reflecting recent changes in HOME regulations. i apologize for any inconvenience or confusion caused from submitting the previous DAP guidelines to you. Please let me know if you have any questions. Thanks much, Craig Craig Schlatter Community Development Manager Community Development Commission of Mendocino County 1076 North State Street Ukiah, CA 95482 (707)463-5462 X109 fax: (707)463-4188 s c h l a tt c @ cd c h o u s i n s. o rs CONFIDENTIALITY NOTICE: This communication and any documents, files or previous a-mail messages attached to it, constitute an electronic communication within the scope of the Electronic Communication Privaty Act, 18 USCA 2510. This communication may contain non-public, confidential or le9aily privileged Information intended for the sole use of the designated recipient (s). The unlawful interception, use or disclosure of such information Is strictly prohibited under 16 USCA 2511 and any applicable laws. If you are not the intended recipient or have received this communication in error, please notify the sender immediately by repty a-mail or by telephone at 1.707.4635462 EM. 109 and delete all copies of this communication, including attachments, without reading them or saving them to disk. Thank you. 8/4/2008 ITEM NO. Amended 11f DATE: August 6, 2008 UKIAH CITY COUNCIL AGENDA SUMMARY REPORT SUBJECT: ADOPTION OF RESOLUTION (1) AUTHORIZING THE CITY OF UKIAH COUNCIL TO SUBMIT AN APPLICATION TO THE CALIFORNIA STATE DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT FOR FUNDING UNDER THE HOME INVESTMENT PARTNERSHIPS PROGRAM; AND IF SELECTED, TO EXECUTE A STANDARD AGREEMENT, ANY AMENDMENTS THERETO, AND ANY RELATED DOCUMENTS NECESSARY TO PARTICIPATE IN THE HOME INVESTMENT PARTNERSHIPS PROGRAM; (2) AUTHORIZING CITY MANAGER TO NEGOTIATE AND EXECUTE AGREEMENT WITH COMMUNITY DEVELOPMENT COMMISSION OF MENDOCINO COUNTY FOR HOME PROGRAM ADMINISTRATION; AND (3) APPROVING THE DOWN PAYMENT ASSISTANCE AND OWNER OCCUPIED HOUSING REHABILITATION GUIDELINES FOR THE FUNDED PROGRAMS. SUMMARY: In response to the 2008 Notice of Funding Availability ("NOFA") in the Home Investment Partnerships Program (HOME) of grant funding for an Owner-Occupied Housing Rehabilitation (OOR) program and First-Time Homebuyers (FTHB) down payment assistance program (DAP) for persons and families of low-income, the City Council is requested to approve submittal of an application for grant funding to provide this assistance to eligible low income residents in the City of Ukiah. Continued on Page 2 RECOMMENDED ACTION: That the City Council: (1) Authorize the City Manager to negotiate and execute an agreement with the Community Development Commission of Mendocino County for grant administration, and (2) Adopt a resolution which (1) Approves an application and contract execution for funding down payment assistance and housing rehabilitation from the CalHome Program and authorizing execution of a grant agreement and any amendments thereto with the State of California for the purposes of this grant; and (2 Approves Down Payment Assistance and Owner Occupied Housing Rehabilitation guidelines for the funded programs. ALTERNATIVE COUNCIL POLICY OPTION: Do not approve the recommended action and provide staff with direction. Citizen Advised: Requested by: N/A Prepared by: Cathleen Moller, Economic Development Manager Coordinated with: N/A Attachments: 1. Draft Resolution 2. Draft Program Applications 3. Down Payment Assistance & Owner Occupied Housing Rehabilitation Guidelines APPROVED: ~ ~ C~ J e Chambers, City Manager The 2008 Ukiah Housing Conditions Survey found that 45% of Ukiah homes were in need of minor or substantial rehabilitation and recommended that renovation, rehabilitation and maintenance of the existing housing stock be a key component of the City's housing plan. Additionally, with limited build-out potential and the falling prices of Ukiah homes, there has been increased demand for affordable homeownership in Ukiah. The City Council is requested to approve guidelines for the down payment assistance and the Owner Occupied Housing Rehabilitation portions of this program, which would provide at least five loans to qualified first time homebuyers in the City of Ukiah. Council is also requested to authorize the City Manager to negotiate and sign on behalf of the City an Agreement with Community Development Commission of Mendocino County for grant administration, to be funded by the HOME program, if approved. It is estimated that an allocation provided by HOME will provide up to 10 loans to low-income Ukiah residents for housing rehabilitation and down payment assistance. A program of the State Department of Housing and Community Development (HCD), HOME provides funding to cities, counties and nonprofit community housing development organizations (CHDOs) for projects and programs in support of housing rehabilitation, acquisition, tenant-based rental assistance, new construction, acquisition/rehabilitation, and predevelopment loans. Activities must benefit "lower-income" renters or owners, defined as those individuals earning 80% of Area Median Income in Mendocino County or less. State HOME regulations require a resolution for the approval of application submittal to the State Department of Housing and Community Development (HCD). This year's HOME NOFA was issued on June 2, 2008 with applications due to the State Department of Housing and Community Development (HCD) by August 15, 2008. A maximum of $4,000,000 is available for rental projects not using 9% tax credits, $2,000,000 for projects using 9% tax credits, $800,000 for program activities, and $200,000 for the American Dream Initiative. In recent years, competition for the HCD HOME program funding has increased substantially. But because owner-occupied rehabilitation assistance and down payment assistance have been identified as the greatest needs for Ukiah among the eligible activities for this application, it is a risk worth taking to try to address the imminent community need. CDC on behalf of the County is applying for the maximum amount available under the Program Activities component. The following is requested: Owner-Occupied Housing Rehabilitation (OOR) Program $296,400 Activity Delivery - OOR Program $93,600 First Time Homebuyers (FTHB) Program $364,650 Activity Delivery -FTHB Program $25,350 General Administration $20,000 Total $800,000 2 ATTACHMENT #1 RESOLUTION NO. 08- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF UKIAH AUTHORIZING THE SUBMITTAL OF AN APPLICATION TO THE CALIFORNIA STATE DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT FOR FUNDING UNDER THE HOME INVESTMENT PARTNERSHIPS PROGRAM; AND IF SELECTED, THE EXECUTION OF A STANDARD AGREEMENT, ANY AMENDMENTS THERETO, AND OF ANY RELATED DOCUMENTS NECESSARY TO PARTICIPATE IN THE HOME INVESTMENT PARTNERSHIPS PROGRAM. WHEREAS: 1. The California Department of Housing and Community Development (the "Department") is authorized to allocate HOME Investment Partnerships Program ("HOME") funds made available from the U.S. Department of Housing and Urban Development ("HUD"); and 2. HOME funds are to be used for the purposes set forth in Title II of the Cranston- Gonzalez National Affordable Housing Act of 1990, in federal implementing regulations set forth in Title 24 of the Code of Federal Regulations, Part 92, and in Title 25 of the California Code of Regulations, commencing with section 8200; and 3. On June 2, 2008, the Department issued a 2008 Notice of Funding Availability announcing the availability of funds under the HOME program (the "NOFA"); and 4. In response to the NOFA, the City of Ukiah ("City" or "Applicant"), a political subdivision of the State of California (the "Applicant"), wishes to apply to the Department for and receive an allocation of HOME funds. NOW, THEREFORE, BE IT RESOLVED by the City of Ukiah City Council as follows: Section 1 The City Manager or her designee is authorized to submit on behalf of the City an application for the following activities and programs in the following amounts eligible for funding under the NOFA (collectively, "the Program"): Owner-Occupied Housing Rehabilitation (OOR) Program $296,400 Activity Delivery - OOR Program $93,600 First Time Homebuyers (FTHB) Program $364,650 Activity Delivery-FTHB Program $25,350 General Administration $20,000 Total $800,000 OOR and FTHB activities shall be located in the incorporated area of the City of Ukiah. Section 2 If the application for funding is approved, then the Applicant hereby agrees to use the HOME funds for eligible activities in the manner presented in its application, including the Down Payment Assistance and Owner-Occupied Housing Rehabilitation Guidelines, all as approved by the Department in accordance with the statutes and regulations cited above. Section 3 The City Manager is authorized to execute on behalf of the City a standard agreement with the Department, any amendments thereto, and any and all other documents or instruments necessary or required by the Department or HUD for participation in the HOME program. Section 4 The Community Development Commission of Mendocino County ("CDC"), and its Executive Director or his/her designee(s), on terms and conditions as stated in the agreement for contract administration between the City and the CDC, is authorized to act on the City's behalf in all matters pertaining to this program, including executing all other documents and reports as necessary or required by the Department of Housing and Community Development or HUD for participation in the HOME grant program. Passed and adopted by the City Council of the City Ukiah on July 6, 2008 by the following roll call vote: AYES: NOES: ABSTAIN: ABSENT: Mayor Douglas Crane ATTEST: Linda Brown, City Clerk 2 Attachment # a California Department of Housing and Community Development ~SrNG 9 Application Summary • ~ aW 3 ° ®.. ~; ~G 0 aF HOME Investment Partnerships Program " ~~° LA. ilcant Information Applicant Name: City of Ukiah Address: 200 Seminary Avenue City: Ukiah County: Mendocino Entity Type: O cH~o O city/county Zip Code: 95482 PJ/Consortia Member Applicant's Website Address www.cityofukiah.com LB. Authorized Representative Information ^ Mr. ^~ Ms. ^ Mrs. ^ Other First Name: Jane MI: Last Name: Chambers Job Title: City r ~ _ _ _ ^ aiedt Mthe information In thisarea is the same as Applicaht and go to the next section Address: ,_ City: Zip Code: Phone: (707) 463-6213 Ext: Fax: X707) 463-6204 e-mail address ichambersCa~CitvofUkiah.com I.C. Applicant Contact Information ^ Check if the same as Authorized Representative and go to nett section ^~ Mr. ^ Ms. ^ Mrs. ^ Other First Name: Craig MI: Last Name: Schlatter Job Title Community Development Mar Contact's Organization Community Development Commission of Mendocino County Address: 1076 North State St City: Ukiah Zip Code: 95482 Phone: (707) 463-5462 Ext: 109 Fax: (707) 463-4188 Email: schlatlcCa cdchousino.org HOME Summary Application (Rev. 6/2008) Page 1 Q R a y O O O O ° y ° O V3 O V3 ° ~ _ o o H ° o 0 ° N V 7 0 0 D o v> e» > z . U a W O C O O O r ~ O O ~ O O O ~ O O ~ m Q ° O A m c~ O O W > N ~ o c o z cn i» _ o ~ aad z~ a N O O w O O O O ~ ~ j N p O O LL C W ~ ~ p ~ o m m o z . r~ ~ ~ ~ E ~ ~ ~ ~ a d a N U m ~ r N # W ~ O d o a ~ d a i ui N N T C C °' O U ao 3 Z E _ m C p E m a E m c T N m ~ ~ O) a ~ 4. U c ~ a~ a o ~- E C O U ~ E m O T 2 2 m a m o O ._ N ° E u, N Q L ~ T N U ~ c ~ LL a ~ ~ a~ E a U E m ~ = O ~ J C U m m C H U O Q c ~ c a~ U m 3 ~ o E ~ Q O F- ti U Q d ~ W w w o0 0 o r N 1f7 0 f"7 ffl C 7 a O o A A V U C C ~ A m m O O v ~ E E l~0 1`6 O O a a N C ~ ~ C O N U ~ N . '- E o ~ m a O E o y m G N m E o~` 2 Q U ~ ~~i m ~ `m ~ ~ C J J ~- C ~ p~ U C O O ~ ~ 0 0 o m o C N p NM O p ~ % N c _ Q ,o O " ~ = E ~ ` m a o W S E A m y G U Q o c ~ O C N C - O O ~ O o U ~ a C m ~? N c U ~ G O c 'a ~_ .E a ~' m O -O in m ~ ~ m ~ a E ~ ° ~ E 0 m.. .am ca C N O O Q o~ ~ E> c C a; a m d d ~ - m d m~ cn m o_ a d ° c s 3 c y w `~ ~~~'m ~ [ w m C U > ~ O ~ d N ' ~ C C O ~ C m T o ~ o o Q V c ~ o~m o Q E c ~ ~ .... G 'O O J m N n m c y c Q w o c ? o ~ E E E ~ m~~Q m m ~ O ~ Qj L O N ~ m ~ ZI t0. C > v CO ~ T O d ui ~ E ~ d U O C O m ~ a N ~ ~ ~ U C m ~ p m N Q Q N t0 V m ~ O CO G ~ m 'O C O "' O C ~ ~ E ~ =o o m o U J 'O t.. L.. p C y a`> ti o m E ~ m E y ,~ o° w d 7 C N O. C C m C 'y O J ~ 0 0 r a ~ ~' C ~ F w y d y U N N d d ~ .C _ N C J R ~ o o->.~ E 3 w ~ >.E~Q c O. m Ul 2~ U m ~ E c ~ m n Q ~ c ~ ~ ° O m a p o m O 2 U F O .O Q N 'NO N~ y N m H~ Q m ~ a Q N M ~c 0 E Q 0 N Q m Jo Q LL U Q ~I O ~ J Ip cn u V N N D7 t0 a O 0 N O m a 0 0 N PART A ' From the list in Table VI, enter the designated number for any target populations that will be served by your project. 2. This includes the American Dream Program HOME Summary Application (Rev. 6/2008) Page 4 PART A APPLICATION SUMMARY ~. Le~isiative RepreserYtative ~nfotmation District # First Name Last Name Assembl 1 Patt Ber Senate 2 Patricia Wi ins Con ress 1 Mike Thompson District # First Name Last Name Assembl Senate Con ress Last 1. ^ Physically Disabled 2. ^ Persons with AIDS 3. ^ Youths 4. ^ Single Adults 5. ^ Single Men 6. ^ Single Women 7. ~ Families 8. ^ Farmworker 9. ^ Seniors 10. ^ Mentally III 11. ^ Veterans 13. ^ Victims of Domestic Violence 12. ^ Substance Abusers 14. ^ Dually-Diagnosed 15. ^ Homeless 16. ^ Other HOME Summary Application (Rev. 6/2008) Page 5 Part B PROGRAM APPLICATION Applicant Name City of Ukiah Section I. Program Activity Complete a separate Part B Program Application for each different proposed activity. Submit HOME FTHB and American Dream activities on the same Part B application form. Chart 1 Select activit ou area I in for. [ ]Tenant Based Rental Assistance [X] First-Time Homebuyer Program (TBRA) [X] Homebuyer Assistance [ ]Owner Occupied Rehabilitation [ ] Infill New Construction ( ]American Dream FTHB Program (PJ and Consortia can only apply for American Dream funds) Section II. Program Description A. Provide a brief narrative below describing the proposed activity and how the funds will be used, (location, use of funds, units proposed, income levels, funding sources, type of loan). Chart 2 The City of Ukiah (the "City') proposes the funding of a Downpayment Assistance Program (DAP) as part of its First-Time Homebuyer Mortgage Assistance Program to assist eligible low and very low-income individuals purchase homes in incorporated areas of Ukiah. The Community Development Commission of Mendocino County (CDC), which is the Housing Authority for Ukiah and Mendocino County and which has been operating a DAP in Mendocino County since 1997, will administer the program for the City through its existing MOU. Over the last 10 years, CDC has underwritten and closed 57 DAP loans for first-time homebuyers in Mendocino County and Ukiah. Concurrently, CDC has operated a home buying education program, which since 1998 has provided homeownership education to over 150 Mendocino County residents. Between 2004 and 2007, the CDC underwrote and closed loans for 10 first-time homebuyers in Mendocino County and Ukiah. This was done using traditional financing with subordinate financing from HOME, CDBG, and public housing authority funds. Although the DAP program is still active, it is only supported through CDBG Program Income. With the lack of economies of scale in rural housing construction and limited build-out potential, affordable housing new construction is not happening in Ukiah without significant subsidies. As a consequence, loan repayments generated by CDBG Program Income are woefully inadequate for the escalating demand for mortgage assistance and cannot address the severe need for homeownership opportunities for lower income families. Thus, HOME funds are absolutely necessary if the City is to be able to continue to provide affordable homeownership opportunities for HOME Program Application (Rev. 6/2008) lower income households, while improving their financial situation through equity and reducing need for continued rental assistance. At least five homebuyers will be assisted with the 2008 HOME funds, and all seven of these will be low or very low-income households. We expect the average purchase price to be $225,000; the average HOME loan will be $80,000; the average subordinate loan (HOME, CDBG, AHP, and Redevelopment Agency) will be $30,000; the average bank loan will be $115,000. If necessary, the borrower contribution would be up to $15,000, comprised of a borrower investment into an Individual Development Account and 3:1 matching funds provided by the Federal Home Loan Bank of San Francisco IDEA program or CDC agency funds. Mission Hills Mortgage, a local lender, has committed up to $575,000 in permanent financing for this program. In 2006, CDC implemented the Public Housing Homeownership Program, whereby low and very low-income public housing tenants were given the opportunity to purchase their single-family rental units. The CDC has successfully sold three homes under this program and currently has two more in escrow (out of five homes available in the program). In 2009, CDC plans to implement phase II of this program, making an additional five homes available to low-income first-time homebuyers in Ukiah. Although HOME funds would not be used exclusively for this program, it is anticipated that the availability of additional homes will increase demand for HOME funds. CDC also is partnering with the City of Ukiah to implement a Public Safety Homeownership program for qualified police, firefighters, and dispatchers within the City. Utilizing City of Ukiah redevelopment agency funds, new homes are being constructed (infill) to be sold to eli ible public safety officers in late 2008. B. All Applicants for FTHB Funds Prepare a marketing plan and attach as Exhibit B1. The marketing plan must include but is not limited to the following: Description of the planned use of HOME funds Plan for community-wide marketing, including targeted outreach to residents and tenants of public housing, trailer parks, and manufactured housing, and to other families assisted by public housing agencies. Description of actions taken to ensure suitability of families receiving HOME assistance to undertake and maintain homeownership. Section III. Program Team A. and their roles and responsibilities to implement the proposed program. Members include, but are not limited to, the applicant, administrative subcontractor, rehabilitation specialist, loan underwriters, and program service instructors. Include the person's phone number and a-mail address. Check the box in the last column if that person is acting as an administrative subcontractor. Chart 3 Name(s) Roles/responsibilities Phone. Email: Administrative Number. Address Subcontractor City Manager/authorized (707) jhambers@C Jane Chambers representative 463-6213 ityofUkiah.org HOME Program Application (Rev. 6/2008) Community/General Services (707) ssangiacomo Sage Sangiacomo Director/ City contact 467-5706 @CityofUkiah. com David Willoughby City Building Inspector/conducts / inspections for code violations, gives approval of corrected code violations Community Development Manager/ (707) schlattc@cdch / Housing Rehabilitation conducts final 463-5462 ousing.org Staff -CDC inspections/approvals, oversees contract administration Housing Rehabilitation Housing Rehabilitation Specialistl (707) / Staff -CDC conducts inspections, prepares 463-5462 ~, work write-u s, cost estimates Housing Rehabilitation Housing Loan SpecialisUloan {707) / Staff -CDC underwritin /loan servicin 463-5462 HOME Program Application (Rev. 6/2008) B. CHDO Role (CHDOs Only) -Check the appropriate box below and attach a narrative explaining how, in the administration of the proposed program activity, the CHDO will fulfill requirement of being the sole owner, sole general partner, or sole project developer. Provide any supporting documentation as Exhibit 62. This information will be used to assist the Department in ensuring that the CHDO meets the eligibility requirements specified in section 8204 (a) (2)(D) of the State Regulations. [ ]Sole Owner [ ]Sole General Partner [ ]Sole Project Developer a HOME Program Application (Rev. 6/2008) Section IV. Program Service Area Enter the eligible jurisdiction in which your activity is proposed to be completed. See Appendix A of the NOFA for a list of State HOME-eligible jurisdictions. See Appendix A-1 for a list of Participating Jurisdictions and Consortia eligible for the American Dream Program. CHDOs that intend to operate a State HOME program in multiple jurisdictions should identify each jurisdiction separately. CHDOs are only eligible to apply for aFirst-Time Homebuyer Infill New Construction Program. State Recipients with TBRA programs that will assist tenants to reside within their own jurisdiction should list their jurisdiction as "Jurisdiction #1". If tenants will also be assisted to reside in other HOME-eligible jurisdictions within the county, these jurisdictions should all be listed as "Jurisdiction #2". Chart 4 Pro ram Service Area Jurisdiction # 1 Cit of Ukiah Jurisdiction # 2 Jurisdiction # 3 Jurisdiction # 4 Section V. Program Performance The Department has compiled the Program Performance data for this section. You do not need to submit any data for this Section. See the Part B Program Application Instructions for more details. Section VI. Prior Experience with Programs Submit a Prior Experience summary using the Exhibits B3 and B4. Section VII. Program Community Need The Department has compiled the Community Need Data for this section. You do not need to submit any data for this Section. See the Part B Program Application Instructions for more details. Section VIII. Program Feasibility A. Program Guidelines -Complete the Program Guidelines Checklist in Exhibit 67 of the Application. Attach program guidelines and/or operating procedures to Exhibit B7. Indicate on the Program Guidelines Checklist the page number where the required items for your proposed activity can be found. Separate Guidelines for each program activity are now required. B. Owner-Occupied Rehabilitation Programs -The Department will obtain Census data on the number of overcrowded households by tenure and the age of the housing stock by tenure in the city or county. C. Tenant-Based Rental Assistance -overpayment by lower-income renter households as reflected in U.S. Census data. Note: although this factor is specified in the State HOME HOME Program Application (Rev. 6/2008) regulations, this data is not available from the U.S. Census. Therefore, all TBRA program applications will receive full points for this factor. D. First-Time Homebuyer Programs -Complete the Homebuyer Feasibility Worksheet, Exhibit B6 (Excel Document) Exhibit 61 MARKETING PLAN Required for all First-time Homebuyer Applicants Prepare a marketing plan and attach as behind this page. The marketing plan must include but is not limited to the following: • Description of the planned use of HOME funds Plan for community-wide marketing, including targeted outreach to residents and tenants of public housing, trailer parks, and manufactured housing, and to other families assisted by public housing agencies. • Description of actions taken to ensure suitability of families receiving HOME assistance to undertake and maintain homeownership. Marketing Plan still in development s HOME Program Application (Rev. 6/2008) Exhibit B2 CHDO ROLE AS SOLE DEVELOPER, SOLE OWNER, OR SOLE MANAGING GENERAL PARTNER Insert required description and supporting documentation behind this page. Not Applicable - No CHDO Role. HOME Program Application (Rev. 6/2008) Exhibit 63 Prior Experience with Programs -Same Activity A. List awards for affordable housing and community development programs administered by the applicant from HOME, local, State and other Federal funding sources in the last seven (7) years (2001 through 2007) for programs providing the same activity as is proposed in the application. Do not list awards received in 2008. Do not list awards received by jurisdictions other than the applicant. List no more than 10 awards. Award Year Funding Sources HOME, Federal, State, Local (Provide name of funds) Activity/Program Name (e.g. owner-occupied rehab or first- time homebuyer program) Location (City/County) Assisted Units Completed T.B.D. 2002 Local- Redevelopment FTHB City of Ukiah 2 2003 Local- Redevelopment FTHB City of Ukiah 2 2005 Local- Redevelopment FTHB City of Ukiah 2 HOME Program Application (Rev. 6/2008) Exhibit B4 Prior Experience with Programs -Different Activity B. List awards for affordable housing and community development programs administered by the applicant from HOME, local, State and other Federal funding sources in the last seven (7) years (2001 through 2007) for proorams different from the activity proposed in the application. Do not list awards received in 2008. Do not list awards received by jurisdictions other than the applicant. List no more than 10 awards. Chart 6 Award Year Funding Sources HOME, Federal, State, Local (Provide name of funds) Activity/Program Name (e.g. owner-occupied rehab. or First- time homebuyer program) Location (City/County) Assisted Units Completed 2004 Local- Redevelopment OOR City of Ukiah 1 Section IX. -State Objectives HOME Program Application (Rev. 6/2008) a) a) Program Capacity/Continuity - 75 points will be awarded to jurisdictions that applied for but did not receive HOME program activity funding in 2007, if the Department determines that the application was eligible, but that the application could not be funded because the score was below the funding cut-off. The jurisdiction is not required to apply for the same activity(s) in 2008 that was applied for in 2007. The applicant does not have to provide any data for this rating factor. The Department will make this determination using its own data. b) Green Building- 25 points will be awarded to applicants that commit to incorporating State of California Green Building/Energy Efficiency features into their OOR and infill new construction program activities. See attached self-certification checklist, Exhibit 65. HOME Program Application (Rev. 6/2008) 10 Exhibit B5 Green Building Self-Certification Checklist OOR Programs - In order to receive HOME State Objective points for Green Building, applicants must self certify that items 2, 3, 4, 5, 6, 7, 10, 11, 12, & 13 will be offered in the units to be rehabilitated if these items are within the scope of work of the particular OOR project and that at least two of the remaining items (1,8 & 9) will also be offered if these items are within the scope of work of the particular OOR project. Additionally, appliances that are customarily provided with the units, such as hot water heaters and dishwashers, or heating/cooling systems, should all meet the ENERGY STAR® standards. Documentation must be kept on file that these features were offered and declined, or offered and accepted for each household served under your program. Infill New Construction Projects - In order to receive HOME State Objective points for Green Building, applicants must self certify that items 2, 3, 4, 5, 6, 7, 10, 11, 12, & 13 will be included in the units to be constructed and that at least two of the remaining items (1, 8 ~ 9) will also be included in the units to be constructed. Additionally, appliances that are customarily provided with the units, such as hot water heaters and dishwashers, or heating/cooling systems, should all meet the ENERGY STAR® standards. Documentation must be kept on file that these features were incorporated for each household served under your program. Jurisdiction City of Ukiah Program Activity First Time Homebuyer Program -Not Applicable will participate in HOME Green Building as set forth above; will not participate in HOME Green Building. If you will not participate in Green Building, you do not need to complete the checklist below. Signature of Authorized Representative, Date HOME Program Application (Rev. 6/2008) 11 Part B PROGRAM APPLICATION Applicant Name City of Ukiah Section I. Program Activity Complete a separate Part B Program Application for each different proposed activity. Submit HOME FTHB and American Dream activities on the same Part B application form. Chart 1 Select activi ou area I in for: [ ]Tenant Based Rental Assistance [ ]First-Time Homebuyer Program (TBRA) [ ] Homebuyer Assistance [X] Owner Occupied Rehabilitation [ ] Infill New Construction [ ]American Dream FTHB Program (PJ and Consortia can only apply for American Dream funds) Section 11. Program Description A. Provide a brief narrative below describing the proposed activity and how the funds will be used, (location, use of funds, units proposed, income levels, funding sources, type of loan). rt,art ~ A 2008 Ukiah Housing Conditions Survey stated that renovation, rehabilitation and maintenance of the existing housing stock should be a key component of the City's housing plan (pg. 36). Because there has not been a housing rehabilitation program offered for Ukiah residents since the early 1990s, there are now "over 500 residential structures needing moderate or substantial repairs and 2,366 structures (61%) having atieast one repair in a key rating category" (pg. 10). Given that many Ukiah homes lack energy. efficient insulation, and/or have poor heating/cooling systems or inadequate plumbing, tfiis combined with rising energy costs is creating extreme hardships for low income households. As a result, the homeowners are unable to keep their homes in safe and sanitary condition. Living in These substandard conditions poses an imminent threat to the health, safety, and well-being of low-income households. Available to homeowners making 80% of Area Median Income or below and who reside in the incorporated area of Ukiah, the proposed Housing Rehabilitation Program will provide financing to homeowners in the form of Below Market Interest Rate loans based on their ability to pay. The housing rehab program will address severe health and safety issues existing in Ukiah homes, and will prioritize energy efficiency to reduce energy costs. Through the financing provided, the City can create safe, sanitary and energy-efficient homes in a manner affordable to residents. The Community Development Commission of Mendocino County (CDC) will administer the proposed rehab program for the City of Ukiah through its existing administrative HOME Program Application (Rev. 6/2008) subcontractor Memorandum of Understanding (MOU) (see Exhibit X). CDC has been administering Housing Rehab programs in Mendocino County since the 1970s, and still administers the County of Mendocino's Housing Rehab Program funded through CDBG Program Income. CDC is currently implementing a CDBG Program Income funded Rehabilitation that will lead to the reconstruction of 25 units of affordable rental housing (which utilized a 2003 CDBG project grant). Given the anticipated demand for a newly funded open grant, the City will focus only on single-family owner-occupied rehab for this round. The CDC also administers the HUD Capital Grant Program, which provides rehabilitation assistance for 157 public housing units throughout the county. B. All Applicants for FTHB Funds Prepare a marketing plan and attach as Exhibit 61. The marketing plan must include but is not limited to the following: • Description of the planned use of HOME funds Plan for community-wide marketing, including targeted outreach to residents and tenants of public housing, trailer parks, and manufactured housing, and to other families assisted by public housing agencies. Description of actions taken to ensure suitability of families receiving HOME assistance to undertake and maintain homeownership. Section III. Program Team A. Identify all program development/implementation team members and their roles and responsibilities to implement the proposed program. Members include, but are not limited to, the applicant, administrative subcontractor, rehabilitation specialist, loan underwriters, and program service instructors. Include the person's phone number and a-mail address. Check the box in the last column if that person is acting as an administrative subcontractor. Chart 3 Name(s) Roles/responsibilities Phone Email Administrative Number Address Subcontractor City Manager/authorized (707) jhambers@C Jane Chambers representative 463-6213 ityofUkiah.co m Community/General Services (707) ssangiacomo Sage Sangiacomo Director- City Contact 463-6221 @CityofUkiah. com David Willoughby City Building Inspector/conducts / inspections for code violations, gives approval of corrected code violations Community Development Manager/ (707) schlattc@cdch / Housing Rehabilitation conducts final 463-5462 ousing.org Staff -CDC inspections/approvals, oversees contract administration Housing Rehabilitation Housing Rehabilitation SpecialisU (707) / Staff -CDC conducts ins ections, re ares 463-5462 HOME Program Application (Rev. 6/2008) work write-ups, cost estimates Housing Rehabilitation Staff -CDC Housing Loan Specialist/loan underwriting/loan servicing (707) 463-5462 / B. CHDO Role (CHDOs Onlv) -Check the appropriate box below and attach a narrative explaining how, in the administration of the proposed program activity, the CHDO will fulfill requirement of being the sole owner, sole general partner, or sole project developer. Provide any supporting documentation as Exhibit 62. This information will be used to assist the Department in ensuring that the CHDO meets the eligibility requirements specified in section 8204 (a) (2)(D) of the State Regulations. [ ]Sole Owner [ ]Sole General Partner [ ]Sole Project Developer 3 HOME Program Application (Rev. 6/2008) Section IV. Program Service Area Enter the eligible jurisdiction in which your activity is proposed to be completed. See Appendix A of the NOFA for a list of State HOME-eligible jurisdictions. See Appendix A-1 for a list of Participating Jurisdictions and Consortia eligible for the American Dream Program. CHDOs that intend to operate a State HOME program in multiple jurisdictions should identify each jurisdiction separately. CHDOs are only eligible to apply for aFirst-Time Homebuyer Infill New Construction Program. State Recipients with TBRA programs that will assist tenants to reside within their own jurisdiction should list their jurisdiction as "Jurisdiction #1". If tenants will also be assisted to reside in other HOME-eligible jurisdictions within the county, these jurisdictions should all be listed as "Jurisdiction #2". Chart 4 Pro ram Service Area Jurisdiction # 1 Cit of Ukiah Jurisdiction # 2 Jurisdiction # 3 Jurisdiction # 4 Section V. Program Performance The Department has compiled the Program Performance data for this section. You do not need to submit any data for this Section. See the Part B Program Application Instructions for more details. Section VI. Prior Experience with Programs Submit a Prior Experience summary using the Exhibits 63 and B4. Section VII. Program Community Need The Department has compiled the Community Need Data for this section. You do not need to submit any data for this Section. See the Part B Program Application Instructions for more details. Section VIII. Program Feasibility A. Program Guidelines -Complete the Program Guidelines Checklist in Exhibit 67 of the Application. Attach program guidelines and/or operating procedures to Exhibit B7. Indicate on the Program Guidelines Checklist the page number where the required items for your proposed activity can be found. Separate Guidelines for each program activity are now required. B. Owner-Occupied Rehabilitation Programs -The Department will obtain Census data on the number of overcrowded households by tenure and the age of the housing stock by tenure in the city or county. C. Tenant-Based Rental Assistance -overpayment by lower-income renter households as reflected in U.S. Census data. Note: although this factor is specified in the State HOME HOME Program Application (Rev. 6/2008) regulations, this data is not available from the U.S. Census. Therefore, all TBRA program applications will receive full points for this factor. D. First-Time Homebuyer Programs -Complete the Homebuyer Feasibility Worksheet, Exhibit 66 (Excel Document) Exhibit 61 MARKETING PLAN Required for all First-time Homebuyer Applicants Prepare a marketing plan and attach as behind this page. The marketing plan must include but is not limited to the following: Description of the planned use of HOME funds Plan for community-wide marketing, including targeted outreach to residents and tenants of public housing, trailer parks, and manufactured housing, and to other families assisted by public housing agencies. • Description of actions taken to ensure suitability of families receiving HOME assistance to undertake and maintain homeownership. Not Applicable -Owner-Occupied Rehabilitation Program. 5 HOME Program Application (Rev. 6/2008) Exhibit B2 CHDO ROLE AS SOLE DEVELOPER, SOLE OWNER, OR SOLE MANAGING GENERAL PARTNER Insert required description and supporting documentation behind this page. Not Applicable - No CHDO Role. s HOME Program Application (Rev. 6/2008) Exhibit 63 Prior Experience with Programs -Same Activity A. List awards for affordable housing and community development programs administered by the applicant from HOME, local, State and other Federal funding sources in the last seven (7) years (2001 through 2007) for programs providing the same activity as is oroaosed in the application. Do not list awards received in 2008. Do not list awards received by jurisdictions other than the applicant. List no more than 10 awards. Award Year Funding Sources HOME, Federal, State, Local (Provide name of funds) Activity/Program Name (e.g. owner-occupied rehab or first- time homebuyer program) Location (City/County) Assisted Units Completed 2004 Local- Redevelopment OOR City of Ukiah 1 HOME Program Application (Rev. 6/2008) Exhibit B4 Prior Experience with Programs -Different Activity B. List awards for affordable housing and community development programs administered by the applicant from HOME, local, State and other Federal funding sources in the last seven (7) years (2001 through 2007) for programs different from the activity proposed in the application. Do not list awards received in 2008. Do not list awards received by jurisdictions other than the applicant. List no more than 10 awards. Chart 6 Award Year Funding Sources HOME, Federal, State, Local (Provide name of funds) ActivitylProgram Name (e.g. owner-occupied rehab. or First- time homebuyer program) Location (City/County) Assisted Units Completed T.B.D. 2002 Local- Redevelopment FTHB City of Ukiah 2 2003 Local- Redevelopment FTHB City of Ukiah 2 2005 Local- Redevelopment FTHB City of Ukiah 2 HOME Program Application (Rev. 6/2008) Section IX. -State Objectives a) a) Program Capacity/Continuity - 75 points will be awarded to jurisdictions that applied for but did not receive HOME program activity funding in 2007, if the Department determines that the application was eligible, but that the application could not be funded because the score was below the funding cut-off. The jurisdiction is not required to apply for the same activity(s) in 2008 that was applied for in 2007. The applicant does not have to provide any data for this rating factor. The Department will make this determination using its own data. b) Green Building- 25 points will be awarded to applicants that commit to incorporating State of California Green Building/Energy Efficiency features into their OOR and infill new construction program activities. See attached self-certification checklist, Exhibit B5. HOME Program Application (Rev. 6/2008) 9 Exhibit 65 Green Building Self-Certification Checklist OOR Programs - In order to receive HOME State Objective points for Green Building, applicants must self certify that items 2, 3, 4, 5, 6, 7, 10, 11, 12, & 13 will be offered in the units to be rehabilitated if these items are within the scope of work of the particular OOR project and that at least two of the remaining items (1,8 & 9) will also be offered if these items are within the scope of work of the particular OOR project. Additionally, appliances that are customarily provided with the units, such as hot water heaters and dishwashers, or heating/cooling systems, should all meet the ENERGY STAR® standards. Documentation must be kept on file that these features were offered and declined, or offered and accepted for each household served under your program. Infill New Construction Projects - In order to receive HOME State Objective points for Green Building, applicants must self certify that items 2, 3, 4, 5, 6, 7, 10, 11, 12, & 13 will be included in the units to be constructed and that at Least two of the remaining items (1, 8 & 9) will also be included in the units to be constructed. Additionally, appliances that are customarily provided with the units, such as hot water heaters and dishwashers, or heating/cooling systems, should all meet the ENERGY STAR® standards. Documentation must be kept on file that these features were incorporated for each household served under your program. Jurisdiction Citv of Ukiah Program Activity Owner-Occupied Rehabilitation X will participate in HOME Green Building as set forth above; will not participate in HOME Green Building. If you will not participate in Green Building, you do not need to complete the checklist below. Signature of Authorized Representative. Date HOME Program Application (Rev. 6/2008) 10 Current Requirement Applicant Certification Check Off Column Site 1. Use plant and tree species that require low Two of three of items water use in sufficient quantities and install #~ s, or s must be met irrigation System using only low-flow drip, for Bonus Consideration bubblers, or low-flow sprinklers. Materials and Resources 2. Use engineered lumber a. Beams and Headers Essential for Bonus X b. Wood I-Joists or web trusses for floors and consideration ceilin s 3. Use Oriented Strand Board (OSB) Essential for Bonus X a. Floor, Wall and Roof sheathin consideration 4. Provide effective air sealing. a. Seal sole plates. Essential for eonus b. Seal exterior penetrations at plumbing, consideration electrical and other penetrations. c. Seal top plate penetrations at plumbing, electrical, cable and other penetrations. d. Weather-strip doors and attic access openings. e. Seal penetrations in interior equipment closets and rooms. f. Seal around bathtub drain penetrations in raised floors. 5. Install and flash windows in compliance with Essential for Bonus ~( window installation rotocols. consideration 6. Exterior DOOfS Essential for Bonus a. Insulated or solid core. consideration b. Flush, paint or stain grade shall be metal X clad or have hardwood faces. c. Factory primed on six sides with a one year warrant . 7. Select durable non-combustible roofing materials which carry athree-year contractor Essential for Bonus Consideration X installation guarantee. Ener Effi cient 8. Install ENERGY STAR® Ceiling Fans in Two of three of items living areas and all bedrooms; install a whole #1, 8, or 9 must be met X house fan with insulated louvers; or install an for Bonus consideration economizer. 9. Install ENERGY STAR®appliances in each Two of three of items including but not limited to; unit #1, 8, or 9 must be met , a. Dishwashers for Bonus Consideration X b. Refrigerators c. Clothes washers 10. Install gas storage water heater with an Energy Factor (EF) of 0.62 or greater and a Essential for Bonus X Consideration HOME Program Application (Rev. 6/2008) 1 ~ capacity of at least 30 gallons for one- and two- bedroom units and 40 gallons for three- bedroom units or lar er. Water Efficienc 11. Use water saving fixtures or flow restrictors. a. Kitchen and Service Areas < 2 gallons per Essential for Bonus Consideration minute (gpm). X b. Bathroom Sinks <= 1.5 gallons per minute (9Pm) c. Showers and Bathtubs < = 2.5 gallons per minute m . Indoor Environmental Qualit 12. Use Low-VOC paint and stain. a. Flat interior wall/ceiling paints & stains < Essential for Bonus SOgpl VOCs. Consideration X b. Non-flat wall/ceiling paints & stains <150gp1 VOCs. 13. Floor coverings a. Light and medium traffic areas shall have Essential for Bonus Consideration vinyl or linoleum at least 3/32" in thickness. X b. Heavy traffic areas shall have vinyl or linoleum at least 1/8" in thickness. c. Carpet shall comply with U.S. Department of Housing and Urban DevelopmenUFederal Housing Administration UM 44C, or alternatively, cork, bamboo, linoleum, or hardwood floors shall be provided in all other floor areas. HOME Program Application (Rev. 6/2008) 12 Exhibit 67 INSTRUCTIONS FOR PROGRAM GUIDELINES CHECKLISTS Applicants for HOME Programs must submit their proposed Program Guidelines for the activity or activities identified in the HOME Application. Please note: • Separate Guidelines for each program activity are now required. • Please update your guidelines to address all elements required by this year's application (see below). • For First Time Homebuyer Program applications, applicants may consult the Homebuyer Program Sample Guidelines, found on the State HOME Program website: http://www.hcd.ca.oov/ca/Intro2SmplHmByr.doc • Indicate the page number where the Guideline requirements below, are found and write the Guideline Number (e.g. A1) in the margin of the guidelines themselves. • It is not necessary to highlight the text in the Guidelines. • The Department will review the Guidelines during the Application review timeframe, starting August 15, 2008. The Department will advise the Applicant of required changes by September 2008. This will allow the Department to issue program activity award letters in October 2008. It is our hope that approval of the guidelines at the same time as issuance of the award letters will result in fewer program activity start-up delays. Please use the following chart to identify which sections apply to which activities. For example, a homebuyer program with no plans to rehabilitate homes would submit a set of guidelines covering Sections A and B. If a homebuyer program wanted the flexibility to be able to also rehabilitate homes, it would submit a set of guidelines covering Sections A, B, and C. An OOR program would submit a set of guidelines covering sections A, B, C, and D Section: HOMEBUYER Program OOR Program Rental Rehabilitation Pro ram TBRA Program A X X X X B X X X C X (if rehab will be done with Ac uisition X X D X E X F X • Section A: Common Program Guidelines (required for all program applicants) • Section B: All Programs making loans (excludes TBRA activities) • Section C: All Programs involved with Rehabilitation • Section D: Owner-Occupied Rehabilitation • 'Section E: Rental Rehabilitation -Not Eligible under the 2008 NOFA • Section F: Tenant Based Rental Assistance HOME Program Application (Rev. 612008) 13 Section A: Common Program Guidelines (required of all activities) Number Provision in Guidelines Instruction Page Numbe s Al Income limits by household size (or Attach the most current Income limit Attachment reference an attachment containing from the NOFA. You don't need to re- A these limits). Include statement that submit to HCD if you swap Income the Part 5 (Section 8) method for limits when the new ones are published income determination will be used, annually. as described in the "Technical Guide for Determining Income and For FTHB programs, it is not possible to Allowances for the HOME Program, meet these requirements for income January 2005". verification and calculation using primary lender income/asset verification forms. The program operator must do their own verification of income and assets, and calculation of actual income after allowances. A2 Either a statement that properties constructed prior to 1978 will not be eligible for assistance or lead-based 7 paint requirements for properties constructed prior to 1978 will be addressed prior to purchase. These requirements include: a) Requirement that lead-based paint notification is given to purchasers; that this will be done by giving the purchaser "Protect Your Family From Lead In Your Home" pamphlet. Requirement that the purchase's file will have evidence that the pamphlet was given. b) Procedures that will ensure that the FTHB Checklist (see the Contract Management Manual) is complete and placed in the purchaser's file. c) Requirement that properties be inspected for defective q paint surfaces; guideline will name the position that will be responsible for completing the Visual Assessment; and HOME Program Application (Rev. 6/2008) 14 Number` Provision in Guidelines `Instruction Page tVumbe s If defective paint surfaces are found, requirement that they will be ro erl stabilized. A3 Conflict of Interest Provision. Provide your own conflict of interest policy that is consistent with the 1 federal HOME Regulations at 24 CFR 92.356. A4 Description of type of HOME Ensure that HOME assistance is 11 assistance to be provided (for loan provided in a manner consistent with programs: type of loan, interest rate, the State HOME Regulations at Section term, etc; for TBRA: security deposit, 8205(b)(1) and (2), including but not rental assistance, utility payments). limited to: loans except for grants for certain specified situations; deferred, no amortized payments; interest rate of zero to three percent; interest may be waived. For TBRA, indicate whether HOME funds will be used for ongoing rental assistance only, security deposit only, or utility payments in conjunction with either rental assistance or security deposit programs. Also indicate if you plan to use TBRA funds in other State HOME-eligible jurisdictions in the count . A5 A description of marketing and Seek approval from the Department for 1 participant selection process, any concentration of FTHB beneficiaries including income verification in the same subdivision, to avoid procedures. Describe how the possible findings regarding NEPA and program will be marketed. Describe marketing requirements. how eligibility and income verification will be done for borrower For all programs, describe proposed and tenant applicants. For Rental preferences/targeting, if any. Indicate Rehabilitation programs: describe whether unborn children will be counted method for ensuring that rental in family size determination (local property owners have the capacity to decision). Describe method of verifying manage rental property. income and procedures to ensure that 18 verification is current at the time HOME assistance is provided. For TBRA, annual recertification isn't required for security deposit programs.. HOME Program Application (Rev. 6/2008) 15 Number Provision in Guidelines Instruction Page Numbe s A6 Description of inspection procedures FHA inspections are no longer allowed; 3-4 and persons responsible for City/county staff or consultants must pertorming them. For Rehabilitation conduct all inspections for both 16 programs, provide procedures for HOMEBUYER and rehabilitation initial, interim, and final inspections. programs. If a consultant is utilized, the Identify the staff assigned to these City/County is still responsible for the specific roles. inspections and must oversee the consultant's work. The Notice of Completion for rehabilitation programs must be signed by the homeowner, not the cit /count staff nor the consultant. A7 List the maximum amount of HOME Attachment assistance per unit (or reference an A attachment containing these limits). A8 Description of how Fair Housing and Include the revisions made in the 2006 1 Affirmative Marketing requirements HOME Contract Manual, i.e. will be met. cities/counties are still required to gather race/ethnicity data but are no Ion er required to anal ze it annual) . A9 Subject to the exemptions allowed in 20 the "Technical Guide for Determining Income and Allowances for the HOME Program, Third Edition, 2005" statement that all persons in residence are considered household members for purposes of income eli ibilit . A10 Description of how Homebuyer Include description of method(s) to be N.A.- Education Requirements will be met used for providing homebuyer education FTHB for FTHB loans made after June 30, and topics to be covered. See State 2008. Regulation 8207.1 for basic requirements. This requirement applies to all HOME loans, including those funded from Program Income, Recaptured Funds, and all open grants not ust 2008 . HOME Program Application (Rev. 6/2008) 16 Section B: All Activities Making Loans (required for all applicants for First Time Homebuyer (Homebuyer), Owner-Occupied Rehabilitation (OOR), and Rental Rehabilitation and/or Acquisition activities) Number Provision in Guidelines Instruction Page. Numbe s B1 Description of how properties will The Guidelines must also state that for 3 meet health and safety code and the home to be eligible for the State local code requirements. HOME Program, there must be at least a. For Homebuyer acquisition- one code violation. The home is not only, properties must meet eligible if it only requires disabled health and safety code access improvements, or requirements at the time of weatherization. occupancy and no later than six months after Weatherization, emergency repairs and transfer of ownership. disabled access can only be paid with b. Homebuyer homes must HOME funds if these funds are also meet written standards incorporated in a program that meets all for rehabilitation no later rehabilitation standards. than two years from transfer of ownership. c. Written standards for rehabilitation include local 22 codes, ordinances, and zoning requirements. d. For Rehabilitation, properties must meet health and safety requirements and written standards for rehabilitation by project completion. e. Identify the specific local codes which will be used. The HOME program requires that ALL health and safety and code deficiencies be corrected. This means that the following types of activities are not allowed if health and safety or code violations still exist: disabled access improvements, emergency re airs, weatherization 62 Either a statement that tenant- Your Guidelines must include your 12, 22 occupied properties will not be policy and an attachment for seller eli ible or a statement that in those certification. HOME Program Application (Rev. 612008) 17 Current Requirement Applicant Certification Check Off Column Site 1. Use plant and tree species that require low rwo of three or items water use in sufficient quantities and install #1, 8, or 9 must be met irrigation system using only low-flow drip, for Bonus Consideration bubblers, or low-flow sprinklers. Materials and Resources 2. Use engineered lumber a. Beams and Headers Essential for Bonus b. Wood I-Joists or web trusses for floors and consideration ceilin s 3. Use Oriented Strand Board (OSB) Essential for Bonus a. Floor, Wall and Roof sheathin consideration 4. Provide effective air sealing. a. Seal sole plates. b. Seal exterior penetrations at plumbing Essemial for Bonus , electrical and other penetrations. consideration c. Seal top plate penetrations at plumbing, electrical, cable and other penetrations. d. Weather-strip doors and attic access openings. e. Seal penetrations in interior equipment closets and rooms. f. Seal around bathtub drain penetrations in raised floors. 5. Install and flash windows in compliance with Essential for Bonus window installation rotocols. consideration 6. Exterior Doors Essential for Bonus a. Insulated or solid core. consideration b. Flush, paint or stain grade shall be metal clad or have hardwood faces. c. Factory primed on six sides with a one year warrant . 7. Select durable non-combustible roofing materials which carry athree-year contractor Essential for Bonus installation guarantee. consideration Ener Efficienc 8. Install ENERGY STAR® Ceiling Fans in Two of treee of items living areas and all bedrooms; install a whole #1, 8, or 9 must be met house fan with insulated louvers; or install an for Bonus Consideration economizer. 9. Install ENERGY STAR®appliances in each Two of three of items unit, including but not limited to; #f, e, or 9 must be met a. Dishwashers for Bonus Consideration b. Refrigerators c. Clothes washers 10. Install gas storage water heater with an Energy Factor (EF) of 0.62 or greater and a Essential for Bonus Consideration HOME Program Application (Rev. 6/2008) 12 capacity of at least 30 gallons for one- and two- bedroom units and 40 gallons for three- bedroom units or lar er. Water Effic ienc 11. Use water saving fixtures or flow restrictors. a. Kitchen and Service Areas < 2 gallons per Essential for Bonus Consideration minute (gpm). b. Bathroom Sinks <= 1.5 gallons per minute (9Pm) c. Showers and Bathtubs < = 2.5 gallons per minute m . Indoor Environmental Qualit 12. Use Low-VOC paint and stain. a. Flat interior wall/ceiling paints R stains < Essential for Bonus SOgpl VOCs. Consideration b. Non-flat wall/ceiling paints & stains <150gp1 VOCs. 13. Floor coverings a. Light and medium traffic areas shall have Essential for Bonus vinyl or linoleum at least 3/32" in thickness. consideration b. Heavy traffic areas shall have vinyl or linoleum at least 1/8" in thickness. c. Carpet shall comply with U.S. Department of Housing and Urban DevelopmenUFederal Housing Administration UM 44C, or alternatively, cork, bamboo, linoleum, or hardwood floors shall be provided in all other floor areas. HOME Program Application (Rev. 6/2008) 13 Exhibit B7 INSTRUCTIONS FOR PROGRAM GUIDELINES CHECKLISTS Applicants for HOME Programs must submit their proposed Program Guidelines for the activity or activities identified in the HOME Application. Please note: • Separate Guidelines for each program activity are now required. • Please update your guidelines to address all elements required by this year's application (see below). • For First Time Homebuyer Program applications, applicants may consult the Homebuyer Program Sample Guidelines, found on the State HOME Program website: http //www hcd ca gov/ca/Intro2SmolHmBvr doc • Indicate the page number where the Guideline requirements below, are found and write the Guideline Number (e.g. A1) in the margin of the guidelines themselves. • It is not necessary to highlight the text in the Guidelines • The Department will review the Guidelines during the Application review timeframe, starting August 15, 2008. The Department will advise the Applicant of required changes by September 2008. This will allow the Department to issue program activity award letters in October 2008. It is our hope that approval of the guidelines at the same time as issuance of the award letters will result in fewer program activity start-up delays. Please use the following chart to identify which sections apply to which activities. For example, a homebuyer program with no plans to rehabilitate homes would submit a set of guidelines covering Sections A and B. If a homebuyer program wanted the flexibility to be able to also rehabilitate homes, it would submit a set of guidelines covering Sections A, B, and C. An OOR program would submit a set of guidelines covering sections A, B, C, and D Section: HOMEBUYER OOR Rental TBRA Program Program Rehabilitation Program P ram A X X X X B X X X C X (if rehab will be X X done with Ac uisition D X E ~( F X • Section A: Common Program Guidelines (required for all program applicants) • Section B: All Programs making loans (excludes TBRA activities) • Section C: All Programs involved with Rehabilitation • Section D: Owner-Occupied Rehabilitation • 'Section E: Rental Rehabilitation -Not Eligible under the 2008 NOFA • Section F: Tenant Based Rental Assistance HOME Program Application (Rev. 6/2008) 14 Section A: Common Program Guidelines (required of all activities) Number Provision in Guidelines Instruction Page. Number s Al Income limits by household size (or Attach the most current Income limit reference an attachment containing from the NOFA. You don't need to re- ', these limits). Include statement that submit to HCD if you swap Income i the Part 5 (Section 8) method for limits when the new ones are published income determination will be used, annually. as described in the "Technical Guide for Determining Income and For FTHB programs, it is not possible to Allowances for the HOME Program, meet these requirements for income January 2005". verification and calculation using primary lender income/asset verification forms. The program operator must do their own verification of income and assets, and calculation of actual income after allowances. A2 Either a statement that properties constructed prior to 1978 will not be eligible for assistance or lead-based paint requirements for properties constructed prior to 1978 will be addressed prior to purchase. These requirements include: a) Requirement that lead-based paint notification is given to purchasers; that this will be done by giving the purchaser "Protect Your Family From Lead In Your Home" pamphlet. Requirement that the purchase's file will have evidence that the pamphlet was given. b) Procedures that wilt ensure that the FTHB Checklist (see the Contract Management Manual) is complete and placed in the purchaser's file. c) Requirement that properties be inspected for defective paint surfaces; guideline will name the position that will be responsible for completing the Visual Assessment; and HOME Program Application (Rev. 6/2008) 15 Number -Provision in Guidelines Instruction Page Numbe s If defective paint surfaces are found, requirement that they will be ro erl stabilized. A3 Conflict of Interest Provision. Provide your own conflict of interest policy that is consistent with the federal HOME Regulations at 24 CFR 92.356. A4 Description of type of HOME Ensure that HOME assistance is assistance to be provided (for loan provided in a manner consistent with programs: type of loan, interest rate, the State HOME Regulations at Section term, etc; for TBRA: security deposit, 8205(b)(1) and (2), including but not rental assistance, utility payments). limited to: loans except for grants for certain specified situations; deferred, no amortized payments; interest rate of zero to three percent; interest may be waived. For TBRA, indicate whether HOME funds will be used for ongoing rental assistance only, security deposit only, or utility payments in conjunction with either rental assistance or security deposit programs. Also indicate if you plan to use TBRA funds in other State HOME-eligible jurisdictions in the count . A5 A description of marketing and Seek approval from the Department for participant selection process, any concentration of FTHB beneficiaries including income verification in the same subdivision, to avoid procedures. Describe how the possible findings regarding NEPA and program will be marketed. Describe marketing requirements. how eligibility and income verification will be done for borrower For all programs, describe proposed and tenant applicants. For Rental preferences/targeting, if any. Indicate Rehabilitation programs: describe whether unborn children will be counted method for ensuring that rental in family size determination (local property owners have the capacity to decision). Describe method of verifying manage rental property. income and procedures to ensure that verification is current at the time HOME assistance is provided. For TBRA, annual recertification isn't required for securit deposit pro rams. HOME Program Application (Rev. 6/2008) 16 Number Provision in Guidelines Instruction Page Numbe s A6 Description of inspection procedures FHA inspections are no longer allowed; and persons responsible for City/county staff or consultants must performing them. For Rehabilitation conduct all inspections for both programs, provide procedures for HOMEBUYER and rehabilitation initial, interim, and final inspections. programs. If a consultant is utilized, the Identify the staff assigned to these City/County is still responsible for the specific roles. inspections and must oversee the consultant's work. The Notice of Completion for rehabilitation programs must be signed by the homeowner, not the cit /count staff nor the consultant. A7 List the maximum amount of HOME assistance per unit (or reference an attachment containing these limits). A8 Description of how Fair Housing and Include the revisions made in the 2006 Affirmative Marketing requirements HOME Contract Manual, i.e. will be met. cities/counties are still required to gather race/ethnicity data but are no Ion er required to anal ze it annual) . A9 Subject to the exemptions allowed in the "Technical Guide for Determining Income and Allowances for the HOME Program, Third Edition, 2005" statement that all persons in residence are considered household members for purposes of income eli ibilit . A10 Description of how Homebuyer Include description of method(s) to be Education Requirements will be met used for providing homebuyer education for FTHB loans made after June 30, and topics to be covered. See State 2008. Regulation 8207.1 for basic requirements. This requirement applies to all HOME loans, including those funded from Program Income, Recaptured Funds, and all open grants not 'ust 2008 . HOME Program Application (Rev. 6/2008) 17 Section B: All Activities Making Loans (required for all applicants for First Time Homebuyer (Homebuyer), Owner-Occupied Rehabilitation (OOR), and Rental Rehabilitation and/or Acquisition activities) Number Provision in Guidelines Instruction Page 61 Description of how properties will The Guidelines must also state that for Number s meet health and safety code and the home to be eligible for the State local code requirements. HOME Program, there must be at least a. For Homebuyer acquisition- one code violation. The home is not only, properties must meet eligible if it only requires disabled health and safety code access improvements, or requirements at the time of weatherization. occupancy and no later than six months after Weatherization, emergency repairs and transfer of ownership. disabled access can only be paid with b. Homebuyer homes must HOME funds if these funds are also meet written standards incorporated in a program that meets all for rehabilitation no later rehabilitation standards. than two years from transfer of ownership. c. Written standards for rehabilitation include local codes, ordinances, and zoning requirements. d. For Rehabilitation, properties must meet health and safety requirements and written standards for rehabilitation by project completion. e. Identify the specific local codes which will be used. The HOME program requires that ALL health and safety and code deficiencies be corrected. This means that the following types of activities are not allowed if health and safety or code violations still exist: disabled access improvements, emergency re airs, weatherization B2 Either a statement that tenant- Your Guidelines must include your occupied properties will not be policy and an attachment for seller eli ible or a statement that in those certification. HOME Program Application (Rev. 6/2008) ~ g Number. Provision in Guidelines Instruction Page Numbe_s cases federal relocation requirements must be met. A unit being acquired is considered tenant- occupied unless the unit has been vacant for 3 months prior to the purchase agreement date. Note: HOME funds may be used as grants to pay for relocation costs when a unit is tenant occupied; submitting a relocation Ian is re wired. 63 Flood insurance is required for Guidelines must require that each file homes in 100 year flood zone. have documentation of flood zone status. Require an endorsement naming cit /count as additional insured. B4 Description of verification plan that Guidelines must require documentation funded homeowners will remain of ongoing owner-occupant status, i.e. owner-occupants. property tax statements showing homeownership exemption, insurance olicies, or site visits. B5 Include a statement that the If your program is restricted to individual acquisition price doesn't exceed homes or condominiums, use only the amount published in the NOFA or as "one family" column in the Maximum approved by HUD. The Guidelines Purchase Price/After-Rehabilitation may also reference an attachment Value Limit attachment of the Training which provides this information. Manual 66 Requirement that an acquisition notice containing the items listed below be provided to seller prior to making the purchase offer: a. The purchaser has no power of eminent domain and, therefore, will not acquire the property if negotiations fail to result in an amicable agreement; b. An estimate of the fair market value of the property; and c. If an acquisition notice will not be provided prior to the purchase offer, a provision that the seller may withdraw from the a reement after this HOME Program Application (Rev. 612008) 19 Number Provision in Guidelines Instruction Page Numbe s information is rovided. 67 Resale or recapture restrictions Explain whether the HOME and other including: loans will be resale or recapture a. All HOME loans must use the according to HOME requirements. See recapture method, unless the Section XVII. B of the HOME NOFA. property is in a Community Land Trust or in a co-operative ownership form. b. The loans must meet the requirements outlined in Section XVII. B of the HOME NOFA 68 For Homebuyer Programs, a It is OK to fully fund Owner Occupied description of method of determining Rehabilitation costs with HOME funds. amount of HOME assistance provided to a household. Explain the However, for FTHB loans, the HOME process for determining the loan is limited to the minimum amount minimum amount of HOME funds needed to ensure affordability based on necessary to ensure: the City/County's ratios, not the lenders a. affordability based on the ratios. specific circumstances of the borrower; Complete First-Time Homebuyer b. the proposed permanent Feasibility Analysis spreadsheet, which financing; and shows whether the program is feasible c. the proposed unit to be using the City/County's ratios and ac uired. available housin vices. B9 For Homebuyer and RR activities: a) a description of the required period of affordability per Section 8208 of the State HOME Regulations. b) a statement that no additional HOME assistance may be provided during the period starting one year following the filing of the Project Completion Report through end of the affordabilit period. HOME Program Application (Rev. 6/2008) 20 Section C: For Programs Involving Rehabilitation: Number Provision in Guidelines Instruction Page Numbe s C1 Description of process for The work write-up and written cost developing work write-ups and estimates must be broad enough in written cost estimates and persons scope to correct all code deficiencies. responsible for developing and/or reviewin them. C2 Description of method of determining The Guidelines must identify who will cost reasonableness. develop the work write-up and the in- house estimate of costs What are this person's qualifications to prepare the write-up and cost estimate? The work write-up cost estimate must be compared to the bids. Bids should be accepted only if the price is within 10% of the amount of the cost estimate, or the inspector provides a written ex lanation of the difference. C3 Contractor selection process To document debarment status, including bidding, contractor cities/counties are required to get selection, determination of debarment certifications and required contractor eligibility (federal and to print out/file the Internet page used state), and contractor award. for verifying that the contractor is not on the debarment list. C4 Description of eligible and ineligible Note: "Incipient" repair items are items. eligible. Incipient means that the fixture or system is functional now, but is likely to fail in a few years, i.e. a functioning but 30 year old water heater. Removable household appliances (stoves, dishwashers, refrigerators, wall air conditioners, etc.) are eligible only if the file contains documentation that the item needs to be replaced because of incipient failure and the item being replaced will be of moderate quality only. Owner may have medical conditions which warrant new or replacement appliances as listed above. C5 Whether or not general property Note: the federal HOME regulations improvements (GPI) will be allowed prohibit luxury items (e.g. pool and, if so, what t es and how much refurbishment, hot-tubs, etc. . HOME Program Application (Rev. 6/2008) 21 Number Provision in Guidelines Instruction :page Numbe s of the rehabilitation costs are allowed for GPI. C6 Description of method for estimating Guidelines must include one of three after-rehabilitation value prior to loan following methods: commitment. This value must not be 1. Estimates of value by the SR may higher than the Sales/Value Limits be used. The project files must published in the NOFA or as contain the estimate of value and otherwise approved by HUD. State document the basis for the value those limits or reference an estimates. attachment. 2. Appraisals can be licensed fee or staff appraisers. The project files must document the appraised value and the appraisal approach used. 3. Tax assessments for a comparable property located in the same neighborhood may be used to establish after-rehab value if the assessment is current and accurately reflects market value after rehab. Section D: For Owner Occupied Rehabilitation Only Number Provision in Guidelines Pa a Numbe s D1 A statement that the housing unit must be principal residence of the owner. HOME Program Application (Rev. 6/2008) 22 Section E: For Rental Rehabilitation Only -Not eligible under the 2008 NOFA €~ ~edreeaa-size o a ~ is ....,.,, •ti~.. ~ , rof~ ~noi .,f 0 ,n4 f V(I~AC ~~+....., viri ^vm~-^vrrrvrvrcvSorSmr+vc .~......L~n... i.~..~..,.,.1 .. ro4~ ern ~- ~d HOME Program Application (Rev. 6/2008) 23 Section F: For Tenant-Based Rental Assistance Programs Number Provision in Guidelines Instruction Page F1 Tenant selection policies and criteria. Describe preferences (if any), Numbe s marketing plan, and screening and selection process. It is OK to establish preferences for a population with specific characteristics, subject to the Department's approval, but it is not OK to limit the program to residents of a specific project. Preferences may not violate fair housin laws. F2 The area in which the TBRA can be You may allow units to be used. assisted in other State HOME eligible jurisdictions within the count . F3 Define whether the assistance will be For security and utility deposit provided to the owner that leases a unit programs, describe who gets to an assisted family or directly to the the deposit back and whether it family is in the form of a loan or a rant. F4 The term of the rental assistance. The property owner must offer a one year lease, but it is acceptable to receive a letter from the tenant agreeing to a month to month rental agreement, or a lease term of less than a ear. F5 Statement that the rent must be Program operators must reasonable based on rents that are evaluate each assisted unit to charged for comparable unassisted make sure that the rent is rental units in order for the lease to be reasonable in comparison to approved. comparable units. This evaluation must also occur if the rent increases during the term of the rental assistance. F6 The minimum tenant contribution. 10% of Gross monthly Income or 30% of Adjusted monthly income is recommended. F7 The jurisdiction's rent standard for each Provide as an attachment the unit size. Include the utility allowance to rent standard to be used. be used. Please see the HUD TBRA Model Guide book available HOME Program Application (Rev. 6/2008) 24 Number Provision in Guidelines Instruction Page Numbs s from your rep) for the allowed alternatives. If the rent standard is an exception rent allowed by the Housing Authority, provide documentation from the Housing Authority of these rents. Using your own survey methodology to determine the rent standard is very time consuming and expensive, and will not be allowed. F8 Statement that maximum subsidy cannot In the Certificate method, exceed the difference between the rent HOME pays the difference standard and 30 percent of the family's between the tenant's share and monthly adjusted income. the payment standard. Then tenant's rent is limited to 30% in the Voucher method and offers the tenant flexibility in the percentage of income it contributes to housing costs and the cost of the unit. F9 Income limits by household size and Be specific as to the income statement that at least 90 percent of limits for your program, e.g. 90 assisted families must have annual percent of units will be incomes which do not exceed 60 percent restricted to those with no more of median. than 60 percent of median, or all will be below 60 percent of median. F10 Statement that family income, rent, unit Attach a sample Tenant Lease condition, and family size will be or Addendum to the Property reexamined at least annually and Owner's regular lease. identification of the responsible individual(s). HOME Program Application (Rev. 6/2008) 25 Number Provision in Guidelines ' fns#ruction Page F11 Requirement that terminations of tenancy Numbe s" or failure to renew tenants' leases will only be permitted for the following reasons: a. Tenants have serious or repeated violations of the terms and conditions of the lease; b. Tenants violated applicable federal, state or local law; c. Tenants were part of a transitional housing program and completed their transitional housing period; or d. There is other "good cause" for terminating tenancy. F12 Statement that unit has been inspected Attach inspection form to be for LBP, and meets HQS and local code. used. F13 Description of inspection procedures and Be specific as to the person by individuals responsible for inspections. name or title who will do the ins ections. HOME Program Application (Rev. 6/2008) 25 ATTACHMENT A LOAN DOCUMENTS "PUBLIC AGENCY BUSINESS: FREE." This document is presented for recording pursuant to Gov. Code 6103. Community Development Commission of Mendocino County. RECORDING REQUESTED BY WHEN RECORDED MAIL TO: Community Development Commission 1076 North State Street Ukiah, CA 95482 CITY OF UKIAH DOWN PAYMENT ASSISTANCE LOAN DEED OF TRUST (HOME) THIS DEED OF TRUST CONTAINS PROVISIONS RESTRICTING ASSUMPTIONS RESALE AND RECAPTURE FEATURES THIS DEED OF TRUST is made this _ day of , 200_ between as Trustor; as Trustee and THE City of Ukiah, as Beneficiary. TRUSTOR, in consideration of the indebtedness recited and the trust created in this Deed of Trust, irrevocably grants and conveys to Trustee, in trust, with power of sale, the following described property located in the City of Ukiah, State of California: "This Deed of Trust is Junior and Subordinate to the Deed of Trust recording concurrently herewith for the benefit of (the Beneficiary)." Together with all the improvements now or hereafter erected on the property, which has the address of and all easements, rights, appurtenances, rents (subject, however, to the rights and authorities given in this Deed of Trust to Lender to collect and apply such rents), royalties, mineral, oil and gas rights and profits, water, water rights, and water stock, and all fixtures now or hereafter attached to the property, all of which, including replacements and additions thereto, shall be deemed to be and remain a part of the property covered by this Deed of Trust; and all of the foregoing, together with said property, are referred to in this Deed of Trust as the "Property." The loan evidenced by the Note and secured by this Security Instrument (the "Loan") is being made pursuant to (the Home Investment Partnerships Program and the regulations issued thereunder (Title II, the Cranston-Gonzalez National Affordable Housing Act, Public Law No. 101-625, 104 Stat. 4079 (1990), 24 C.F.R. Part 92) (the "Home Program")). TO SECURE to Lender (a) the repayment of the indebtedness evidenced by Borrower's note dated, and incorporated by reference in this Deed of Trust (the "Note") in the principal sum of ($XXXX) plus contingent interest on the principal sum in the amount and on the terms described in the Note; the payment of all other sums, with interest thereon, advanced to protect the security of this Deed of Trust; and the performance of the covenants and agreements of the Borrower contained in this Deed of Trust in the Note. Borrower covenants that Borrower is lawfully seised of the estate conveyed by this Deed of Trust and has the right to grant and convey the Property, that, with the exception of a prior deed of trust securing a loan in the principal amount of $XXXXX .Property is unencumbered, and that Borrower will warrant and defend generally the title to the Property against all claims and demands, subject to any declarations, easements or restrictions listed in a schedule of exceptions to coverage in any title insurance policy insuring Lender's interest in the Property. Borrower and Lender covenant and agree as follows: Payment of Principal and Interest. Borrower shall promptly pay when due the principal of and interest on the indebtedness evidenced by the Note. Occupancy. Borrower and his or her immediate family shall be the sole occupants of the Property conveyed by this Deed of Trust. This restriction includes, but is not limited to, prohibition of Borrower's renting or otherwise leasing the Property. Sale or Transfer of Property. Before sale or transfer of title, the Borrower, or the Borrower's representative, shall notify the Lender of his or her intention to sell or otherwise transfer title. Except as otherwise provided in this Deed of Trust, when Borrower transfers title, the entire Loan which is evidenced by the Note shall be immediately due and payable. Where title is transferred to or otherwise altered to include or favor a spouse or person signing the Note, and such spouse or person resides on the Property conveyed in this Deed of Trust and is independently eligible for assistance under the Program, the transfer or alteration in title shall not result in acceleration of the Loan evidenced by the Note. Similarly, when a spouse or person signing the Note takes title to the Property which secures this Deed of Trust by devise, descent or by operation of law upon the death of a joint tenant and such spouse or person resides on the Property and is independently eligible for assistance under the Program, the transfer of title shall not result in acceleration of the loan evidenced by the Note. Resale-Recapture Provisions. The following provisions restricting resale per HOME regulations will apply for a period of up to 15 years. This is known as the "affordability period". The net proceeds shall be repaid to the State Recipient. (City of Ukiah) to assist another first-time homebuyer to obtain a home within the City of Ukiah. The amount of the HOME subsidy repaid to the State Recipient (City of Ukiah), at sale, is called "net proceeds." Net proceeds includes the sales price minus loan repayment and closing costs. If the net proceeds are insufficient to repay both the HOME investment plus the homeowner's investment, the City of Ukiah may forgive a prorated share of the net proceeds based on the amount of time the homeowner occupied the unit during the afford ability period. When the net proceeds are not enough to repay the full HOME investment, the homeowner will not recover more than his or her investment. 5. Charoes; Liens. Borrower shall pay all taxes, assessments and other charges, fines and impositions attributable to the Property which may attain a priority over this Deed of Trust when due. Borrower shall promptly pay when due all installments or payments required by and comply with all obligations of any deed of trust that is prior to this Deed to Trust. 6. Hazard Insurance. Borrower shall keep the improvements now existing or hereafter erected on the Property insured against loss by fire, hazards included within the term "extended coverage", and such other hazards as Lender may require and in such amounts and for such periods as Lender may require. All insurance policies and renewals thereof shall be in form acceptable to Lender and shall include a standard mortgagee clause in favor of and in a form acceptable to Lender. Subject to the rights of the holder of a prior deed of trust, Lender shall have the right to hold the policies and renewals thereof, and Borrower shall promptly furnish to Lender all renewal notices and all receipts of paid premiums. In the event of loss, Borrower shall give prompt notice to the insurance carrier and Lender. Lender may make proof of loss, if not made promptly by Borrower. Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of the Property damaged, provided such restoration or repair is economically feasible and the security of this Deed of Trust is not thereby impaired. If such restoration or repair is not economically feasible, or if the security of this Deed of Trust would be impaired, the insurance proceeds shall be treated as if received from a sale of the Property, or, of that part of the Property damaged and shall be applied, in the manner described in Section 11 herein below, to the sums secured by this Deed of Trust. If the property is abandoned by Borrower, or if Borrower fails to respond to Lender within 30 days from the date notice is mailed by Lender to Borrower that the insurance carrier offers to settle a claim for insurance benefits, Lender is authorized to collect and apply the insurance proceeds at Lender's option either to restoration or repair of the Property or to the sums secured by this Deed of Trust. Subordination. Agency and Borrower acknowledge and agree that this Security Instrument is subject and subordinate in all respects to the liens, terms, covenants and conditions of the First Deed of Trust and to all advances heretofore made or which may hereafter be made pursuant to the First Deed of Trust including all sums advanced for the purpose of (a) protecting or further securing the lien of the First Deed of Trust, curing defaults by the Borrower under the First Deed of Trust, or for any other purpose expressly permitted by the First Deed of Trust or (b) constructing, renovating, repairing, furnishing, installing fixtures or equipping the Property. The terms and provisions of the First Deed of Trust are paramount and controlling, and they supersede any other terms and provisions hereof in conflict therewith. In the event of a foreclosure or deed in lieu of a foreclosure of the First Deed of Trust, or an assignment of the Deed of Trust to the Secretary of Housing and Urban Development, any provisions herein or any provisions in any other collateral agreement restricting the use of the Property to low or moderate income households or otherwise restricting the Borrower's ability to sell the Property shall have no further force or effect on subsequent owners or purchasers of the Property. Any person, including his successors or assigns (other than the Borrower or a related entity of the Borrower), receiving title to the Property through a foreclosure or deed in lieu of foreclosure of the First Deed of Trust shall receive title to the Property free and clear from such restrictions. Further, if the Senior Lien Holder acquires title to the Property pursuant to a deed in lieu of foreclosure, the lien of this Security Instrument shall automatically terminate upon the Senior Lien Holder's acquisition of title, provided that the Agency has been given written notice of a default under the First Deed of Trust and the Agency shall not have cured the default under the First Deed of Trust, or diligently pursued curing the default as determined by the Senior Lien Holder, within the 60-day period provided in such notice sent to the Agency. Preservation and Maintenance of Prooertv. Borrower shall keep the Property in good repair and shall not commit waste or permit impairment or deterioration of the Property. 9. Protection of Lender's Security. If Borrower fails to perform the covenants and agreements contained in this Deed of Trust, or if any action or proceeding is commenced which materially affects Lender's interest in the Property, including but not limited to, default on or foreclosure or a prior deed of trust, eminent domain, insolvency, code enforcement, or arrangements or proceedings involving a bankrupt or decedent, then Lender at Lender's option, upon notice to Borrower, make such appearances, disburse such sums and take such action as is necessary to protect Lender's interest including, but not limited to, disbursement of reasonable attorney's fees and entry upon the Property to make repairs. Any amounts disbursed by Lender pursuant to this Section 9, with interest thereon, shall become additional indebtedness of Borrower secured by this Deed of Trust. Unless Borrower and Lender agree to other terms of payment, such amounts shall be payable upon notice from Lender to Borrower requesting payment thereof, and shall bear interest from date of disbursement at the rate of 15 percent per annum, unless payment of interest at such rate would be contrary to applicable law, in which event such amounts shall bear interest at the highest rate permissible under applicable law. Nothing contained in this Section 9 shall require lender to incur any expense or take any action hereunder. 10. Inspection. Lender may make or cause to be made reasonable entries upon and inspections of the Property, provided that Lender shall give Borrower notice prior to any such inspection specifying reasonable cause therefor related to Lender's interest in the Property. 11. Condemnation. Subject to the rights of the holder of a prior deed of trust, the proceeds of any award or claim for damages, director or consequential, in connection with any condemnation or other taking of the Property, or part thereof, or for conveyance in lieu of condemnation, are hereby assigned and shall be paid to Lender. In the event of a total taking of the Property, the proceeds shall be treated as if received from a sale of the Property. 12. Forbearance by Lender Not a Waiver. Any forbearance by Lender in exercising any right or remedy hereunder, or otherwise afforded by applicable law, shall not be a waiver of or preclude the exercise of any such right or remedy. The procurement of insurance of the payment of taxes or other liens or charges by Lender shall not be a waiver of Lender's right to accelerate the maturity of the indebtedness secured by this Deed of Trust. 13. Remedies Cumulative. All remedies provided in this Deed of Trust are distinct and cumulative to any other right or remedy under this Deed of Trust or afforded by law or equity, and may be exercised concurrently, independently or successively. 14. Successors and Assigns Bound; Joint and Several Liability. The covenants and agreements contained in this Deed of Trust shall bind, and the rights hereunder shall inure to, the respective successors and assigns of Lender and Borrower, subject to the provisions of Section 17 hereof. All covenants and agreements of Borrower shall be joint and several. 15. Notice. Except for any notice required under applicable law to be given in another manner, (a) any notice to Borrower provided for in this Deed of Trust shall be given by mailing such notice by certified mail addressed to Borrower at the Property Address or at such other address as Borrower may designate by notice to Lender as provided in this Section 15; and (b) any notice to Lender shall be given by certified mail, return receipt requested, to Lender's addresses stated in this Deed of Trust or to such other address as Lender may designate by notice to Borrower as provided in this Section 15. Any notice provided for in this Deed of Trust shall be deemed to have been given to Borrower or Lender when given in the manner designated herein. 16. Governing Law; Severabilitv. This Deed of Trust shall be governed by the law of California. In the event that any provision or clause of this Deed of Trust or the Note conflicts with applicable law, such conflict shall not affect other provisions of this Deed of Trust or the Note which can be given effect without the conflicting provision, and to this end the provisions of the Deed of Trust and the Note are declared to be severable. 17. Transfer of the Prooertv. If all or any of the Property or an interest in it is sold or transferred by Borrower, excluding permitted transfers to a spouse or other person signing the Note in the manner described in Section 3 above, all the sums secured by this Deed of Trust shall be immediately due and payable. In the event of such an acceleration, Lender shall mail Borrower notice of the acceleration in accordance with Section 15 hereof. Such notice shall provide a period of not less than 30 days from the date the notice is mailed within which Borrower may pay the sums declared due. If Borrower fails to pay such sums prior to the expiration of such period, Lender may, without further notice or demand on Borrower, invoke any remedies permitted by law, including but not limited to power of sale. 18. Default by Borrower. Upon default by Borrower in payment of any indebtedness secured hereby or in performance of any agreement hereunder, Lender may declare all sums secured hereby immediately due and payable by delivery to Trustee of written declaration of default and demand for sale and of written notice of default and of election to cause to be sold said property, which notice Trustee shall cause to be filed for record. After the lapse of such time as may then be required by law following the recordation of said notice of default, and notice of sale having been given as then required by law, Trustee, without demand on Lender, shall sell said property at the time and place fixed by it in said notice of sale at public auction to the highest bidder for cash in lawful money of the United States, payable at the time of sale. 19. Borrower's Right to Reinstate. Notwithstanding Lender's acceleration of the sums secured by this Deed of Trust, Borrower shall have the right to have any proceedings begun by Lender to enforce covenants of this Deed of Trust relating to sums due and payable by Borrower discontinued at any time prior to five days before the Property is first scheduled for sale pursuant to the power of sale contained in this Deed of Trust or at any time prior to entry of a judgment enforcing this Deed of Trust, if: (a) Borrower pays Lender all sums which would be then due under this Deed of Trust, and (b) the Borrower pays all reasonable expenses incurred by Lender and Trustee in enforcing the covenants and agreements of Borrower contained in this Deed of Trust and in enforcing Lender's and Trustee's remedies, including but not limited to, reasonable attorney's fees; and ©Borrower takes such action as Lender may reasonably require to assure that the lien of this Deed of Trust, Lender's interest in the Property, and Borrower's obligation to pay the sums secured by this Deed of Trust shall continue unimpaired. Upon such payment and cure by Borrower, this Deed of Trust and the obligations secured hereby shall remain in full force and effect as if no acceleration had occurred. 20. Reconvevance. Upon payment of all sums secured by this Deed of Trust, Lender shall request Trustee to reconvey the Property and shall surrender this Deed of Trust and all notes evidencing indebtedness secured by this Deed of Trust to Trustee. Trustee shall reconvey the Property without warranty and without charge to the person or persons legally entitled thereto. Such person or persons shall pay all costs of recordation, if any. 21. Substitute Trustee. Lender, at Lender's option, may from time to time remove Trustee and appoint a successor trustee to any Trustee appointed under this Deed of Trust. Without conveyance of the Property, the successor trustee shall succeed to all the title, power and duties conferred upon the Trustee in this Deed of Trust and by applicable law. 22. Request for Notices. Borrower requests that copies of the notice of default and notice of sale be sent to Borrower's address which is the Property Address and to the Lender at: COMMUNITY DEVELOPMENT COMMISSION 1076 NORTH STATE STREET UKIAH, CA 95482 IN WITNESS THEREOF, Borrower has executed this Deed of Trust. rorrower Date Date State of California: City of Ukiah: ss. On (date), before me, the undersigned, a notary public for the state, personally appeared personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose names(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorize capacity (ies), and that by his/her/ their signature(s) on the instrument the person(s) acted, executed the instrument. WITNESS my hand and official seal. (Signature of Notary) (Seal of Notary) Name) My commission expires CITY OF UKIAH DOWN PAYMENT ASSISTANCE LOAN (HOME) PROMISSORY NOTE UKIAH, CALIFORNIA FOR VALUE RECEIVED, THE UNDERSIGNED, Borrower(s) promises to pay on order THE CITY OF UKIAH, Lender, the principal sum of ($XXXXX) with interest from the date of execution on the unpaid principal at the simple interest rate of Three percent (3) per annum, until paid or upon the sale of the property located at: which secures this promissory note on all that certain real property situated in the City of Ukiah, State of California and being more particularly described as follows: All notices shall be sent to the following agency which shall provide service on this loan: Community Development Commission of Mendocino County 1076 North State Street Ukiah, CA 95482 Maturity date on this Note includes sale of property; change of title; or when property ceases to be primary residence of loan recipient. Payment of both principal and accrued interest is deferred until the earlier of (1) The expiration of 30 years from the date of execution of this note by the Borrower(s), or (2) The voluntary or involuntary transfer of title to or any interest in the real property that is the security for this Note, except a transfer to a Borrower's surviving spouse, or (3) Borrower and his or her immediate family are no longer occupants of the Property, at which time the whole of the unpaid principal and interest, plus applicable fees, charges and penalties, is immediately due and payable in full, unless otherwise approved by the County in its absolute discretion. The City may approve loan assumption, at its option, only if subsequent purchasers or transferee of the property meet the eligibility requirements then in effect per the Home Investment Partnership Program (HOME) regulations, Title 25 California Code of Regulations. Should loan assumption be approved the new purchaser must execute an assumption agreement confirming the agreement with the terms of the DAP loan. The whole of the unpaid principal and interest, plus applicable fees, charges and penalties, shall also become immediately due and payable in full, at the option of the City should the real property described above be refinanced or further encumbered without the City's written consent. Failure of the City to exercise such option shall not constitute a waiver of such default, regardless of subsequent acceptance of any payment hereunder by the City. The undersigned reserves the right to prepay at any time all or any part of the principal amount of this Note, without the payment of penalties or premiums. All payments shall be credited first on interest then due, then on principal. Interest shall thereupon cease on principal so credited. This NOTE is secured by a Deed of Trust given to as trustee, and duly filed for record in Mendocino County Any notice to Borrower provided for in this Note shall be given by mailing such notice by certified mail addressed to Borrower at the Property Address stated, or to such other address as Borrower may designate by notice to the Lender. Any notice to the Lender shall be given by mailing such notice by certified mail, return receipt requested, to the Lender at the address stated in the first paragraph of this Note, or at such other address as may have been designated by notice to Borrower. This indebtedness evidenced by this Note is secured by a Deed of Trust and reference is made to the Deed of Trust for rights as to acceleration of the indebtedness evidenced by this Note, including Section 17, which provides as follows: "Transfer of the Property: Assumption. If all or any part of the Property or an interest therein is sold or transferred by Borrower, excluding permitted transfers to a spouse or other person signing the Note in the manner described in Section 3 of the Deed of Trust, all the sums secured by this Note shall be immediately due and payable. In the event of such acceleration, Lender shall mail Borrower notice of acceleration in accordance with Section 15 thereof. Such notice shall provide a period of not less than 30 days from the date the notice is mailed within which Borrower may pay the sum declared due. If Borrower fails to pay such sums prior to the expiration of such period, Lender may, without further notice or demand on Borrower, invoke any remedies permitted by law, including but not limited to power of sale." IN W ITNESS WHEREOF, this note has been duly executed by the undersigned as of its date. Borrower Dated: CDC Page 19 ATTACHMENT B HOME PROGRAM INCOME REUSE PLAN REUSE PLAN GOVERNING PROGRAM INCOME FROM HOME INVESTMENT PARTNERSHIPS PROGRAM (HOME)-ASSISTED ACTIVITIES FOR THE CITY OF UKIAH I. Purpose The purpose of this plan is to establish guidelines on the policies and procedures for the administration and utilization of program income received as a result of the activities funded under the State Home Investment Partnerships (HOME) Program. II. Need for Plan Governing Reuse of Program Income This Reuse Plan is intended to satisfy the requirements specified in federal statute and regulation at 24 CFR 92.503 (a). These statutory and regulatory sections permit a recipient to retain program income for HOME-eligible activities. Program Income Defined Program income is defined in federal regulation at 24 CFR 92.2 which specifies that program income means gross income received by the participating jurisdiction, State recipient, or a subrecipient directly generated from the use of HOME funds or matching contributions. When program income is generated by housing that is only partially assisted with HOME funds or matching funds, the income shall be prorated to reflect the percentage of HOME funds used. Program income definition (from the California Department of Housing and Community Development Program Management Manual [Revised 3/30/00]): "Program income definition: for the purposes of the CDC Page 20 HOME program, program income (PI) means the gross income received by the participating jurisdiction (PJ) or State Recipient, or by another party at the direction of the PJ or State Recipient (or its contractor subrecipient) which is directly generated from the use of HOME Program or match funds. Income from open and closed HOME Program contracts generated under loan or grant security documents of all HOME Program projects remains PI and retains that identity throughout. The following are some of the most common examples of PI in the HOME Program: 1) Payments of principal and interest on loans made using HOME Program funds 2) Interest earned on PI pending its disposition and on HOME Program funds held in a local account 3) Net proceeds for the disposition by sale or long-term lease of real property purchased or improved with HOME Program funds 4) Gross income from the use of rental or real property that has been constructed or improved with HOME Program funds and that is owned (in whole or in part) by the State Recipient/CHDO [Community Housing Development Organization] PI includes interest earned on HOME Program funds during the 15-day period between the State's receipt of new HOME Program funds from IDIS [the State] and actual disbursement of funds." IV. Program Income, Recaptured Funds and Affordability Periods HOME funds used to assist homebuyers have affordability requirements. The minimum affordability requirements based on the amount of HOME assistance as set by 24 CFR 92.254 are as follows: Under $15 000 5 years -~ $15 000 to $40 000 10 years Over $40 000 15 years ~ During the period of affordability, money paid back on the HOME assistance will be either program income or recapture funds. Funds are considered recaptured funds on a pro rata basis to reflect the number of years the homeowner has owned or occupied the housing when payment is made against the required affordability period (24 CFR 92.254(a)(5)(ii)(A)(2)). V. Program Income, Recaptured Funds and Administrative Costs Up to 10% of Program Income may be used for administration. 100% of Recaptured Funds must be invested in another HOME-eligible activity. VI. Reuses of Program Income and Recaptured Funds Program Income The City's program income will be used only to fund eligible HOME activities as specified in federal statute 24 CFR 92.205(a): 1) HOME funds may be used by a participating jurisdiction to provide incentives to develop and support affordable rental housing and homeownership affordability through the acquisition (including assistance to homebuyers), new construction, reconstruction, or rehabilitation of non- luxury housing with suitable amenities, including real property acquisition, site improvements, conversion, demolition, and other expenses, including financing costs, relocation expenses of any displaced persons, families, businesses, or organizations; to provide tenant-based rental CDC Page 21 assistance, including security deposits; to provide payment of reasonable administrative and planning costs; and to provide for the payment of operating expenses of community housing development organizations. The housing must be permanent or transitional housing. The specific eligible costs for these activities are set forth in 92.206 through 92.209. 2) Acquisition of vacant land or demolition must be undertaken only with respect to a particular housing project intended to provide affordable housing. 3) Conversion of an existing structure to affordable housing is rehabilitation, unless the conversion entails adding one or more units beyond the existing walls, in which case, the project is new construction for purposes of this part. 4) Manufactured housing. HOME funds may be used to purchase and/or rehabilitate a manufactured housing unit, or purchase the land upon which a manufactured housing unit is located. Except for existing, owner-occupied manufactured housing that is rehabilitated with HOME funds, the manufactured housing unit must, at the time of project completion, be connected to permanent utility hook-ups and be located on land that is owned by the manufactured housing unit owner or land for which the manufactured housing owner has a lease for a period at least equal to the applicable period of affordability. Program income must be disbursed from the State Recipient's local account for an eligible HOME Program activity prior to drawing down additional HOME Program funds. Up to 10 percent of PI dollars has to be spent on administrative and planning costs as per 24 CFR Section 92.206(d)(6). The City reserves to itself the options of utilizing program income to fund aHOME-eligible activity that has been written into a general allocation grant application; or, to amend an open HOME grant to include an additional HOME-eligible activity that will be funded from program income. Recaptured Funds Recaptured funds must be invested in any of the HOME-eligible activities listed above for Program Income except Recaptured Funds can not be used for administration costs. Program income received shall be substantially expended at the end of the Program Year. The City shall comply with all State HOME reporting requirements, including submittal of the required Annual Program Income Report. The City shall ensure that the use of program income under this under this Plan complies with all HOME program requirements. To ensure ongoing compliance with HOME requirements, the City shall utilize the latest available State HOME Program Grant Management Manual for guidance on compliance procedures and policies. Program income must be returned to the Department of Housing and Community Development after the Standard Agreement has expired. CDC Page 22 ATTACHMENT C MENDOCINO COUNTY INCOME LIMITS AND SUBISDY LIMITS CDC Page 23 INCOME LIMTS FOR ALL OF MENDOCINO COUNTY - 2008 Number of 1 2 3 4 5 6 7 8+ Persons in Household Income $30,150 $34,450 $38,750 $43,050 $46,500 $49,950 $53,400 $56,850 Limit Yearl SUBSIDY LIMTS FOR ALL OF MENDOCINO COUNTY- 2008 Number of Be in Household 0 1 2 3 4 Subsid Limit $110,872 $127,094 $154,546 $199,932 $219,464 CDC Page 24 CITY OF UKIAH OWNER-OCCUPIED HOUSING REHABILITATION PROGRAM GUIDELINES August 3, 2008 I. PROGRAM OUTREACH AND MARKETING All outreach efforts will be done in accordance with state and federal fair lending regulations to assure nondiscriminatory treatment, outreach and access to the Program. No person shall, on the grounds of age, ancestry, color, creed, physical or mental disability or handicap, marital or familial status, medical condition, national origin, race, religion, gender or sexual orientation be excluded, denied benefits or subjected to discrimination under the Program. The City will ensure that all persons, including those qualified individuals with handicaps have access to the Program. The Fair Housing Lender logo will be placed on all outreach materials. Fair housing marketing actions will be based upon a characteristic analysis comparison (census data may be used) of the Program's eligible area compared to the ethnicity of the population served by the Program (includes, separately, all applications given out and those receiving assistance) and an explanation of any underserved segments of the population. This information is used to show that protected classes (age, gender, ethnicity, race, and disability) are not being excluded from the Program. (For HOME, the Sponsor shall develop a Fair Housing Marketing Plan prior to project set up). Flyers or other outreach materials, in English and any other language that is the primary language of a significant portion of the area residents, will be widely distributed in the Program- eligible area and will be provided to any local social service agencies. CDC will work closely with local real estate agents and primary lenders to explain the Program requirements for eligible housing units and homeowners and to review Program processes. Local real estate agents and primary lenders will also be encouraged to have their customers participate in the Program. CDC will ensure that all property owners within the City are notified of program availability, their eligibility to participate, and application procedures. Such notification will include Press Releases and newspaper ads. CDC will also ensure bilingual materials are available for owners, In addition, the City shall ensure that bilingual staff will help the property owners understand all program and application materials and will be available to answer any questions. II. APPLICANT ELIGIBILITY A. Conflict of Interest No member of the City of Ukiah City Council, the Home Improvement Loan Committee, the Community Development Commission, officer or employee of the Community Development Commission during their tenure or for one year thereafter shall have any interest, direct or indirect in any 2 Home Improvement Program loan contract or the proceeds thereof, per 24 CFR 92.356. B. Income The maximum household income allowable to qualify for a Home Improvement Program loan is eighty percent of the median income (targeted income) for Mendocino County, as established by the California Department of Housing and Community Development. Eligible applicants will not have an annual gross income exceeding the levels established for "low-income" households adjusted by family size. The owner will be required to provide income documentation. Community Development Commission (CDC) program staff will determine whether applicants satisfy the income eligibility criteria. Income will be verified by evaluating applicants' income and assets through third-party verification. Income limits will be updated within 30 days of receipt from the California Department of Housing and Community Development. All applicant information obtained by CDC staff will be kept confidential. C. PROPERTY To be eligible for program financing, properties must comply with the following criteria: Location Units to be rehabilitated under the Program must be located in the incorporated area of the City of Ukiah excluding portions subject to flooding. The City reserves the option of completing the "eight step' process for areas subject to flooding, converting to exempt status, and including these areas at the discretion of the Community Development Manager. 2. Occuaancv Although there is no minimum length of ownership requirement under the program, an owner-occupant must reside in the unit prior to the processing of a loan application, and theowner's unit must he his/her principal residence. However, if in the opinion of the City Building Official, the unit as it exists is uninhabitable, this requirement may be waived by the Community Development Manager. 3. Title Property owners shall hold land in fee title. 4. Condition To qualify, the level of disrepair must include at least one code violation, such as roof, foundation, structural, plumbing, heating, electrical or an accumulation of deficiencies that constitute a threat to health and safety. Rehabilitation financing will be available to eligible property owners only when a reasonable expenditure of funds will enable a residential unit to be brought up to HUD Section 8 Housing Quality Standards. 5. Life Estate Applicants meeting all other eligibility criteria who hold a Life Estate on the property and reside on the property are eligible for a rehabilitation loan. Income eligibility will be determined by the income of the occupantlholder of the Life Estate. The holder of the Fee Simple Estate will be required to sign all loan documents. The loan conditions will provide that the loan is due and payable upon sale or transfer of the property and upon termination of the Life Estate of the current occupant. (In making loans to Life Estate holders CDC will regularly monitor such loans to verify the status of the occupant). 6. Living Trust Applicants meeting all other eligibility criteria and who currently reside on a property with a title held by a living trust are eligible for a rehabilitation loan. Income eligibility is determined by the income of the applicanUoccupant. Loan conditions are based on the continued occupancy of that specific occupant in the residence. II. PROPERTY INSPECTION CDC housing rehabilitation staff will be responsible for conducting initial, interim, and final property inspections for code compliance, with the assistance of an architect and City building inspector. The inspection will include CDC Housing Rehabilitation Staff (Rehab Staff) have initial interview with the property owner, or owner's representative, to identify known problems. 2. Rehab Staff perform walkthrough with property owner, or owner's representative, and an architect. 3. Architect and Rehab Staff develop work write-up and cost estimate. Preparation of Scope of Work and Cost Estimate The Housing Rehab staff will be responsible for inspecting property to identify violations of health, safety, and building codes. After conducting the initial interview, a detailed scope of work and specifications will be developed that addresses all violations of health, safety, and building codes, and provides (for properties constructed before 1978) for testing and abatement/removal of lead based paint, if necessary. If the property is not suitable for rehabilitation (no violations or rehabilitation is too substantial), or if the owner drops out of the program, a termination letter will be prepared and sent to the homeowner. Please see Section VIII, page 21 for detailed description of inspection process. II. REHABILITATION STANDARDS A. General Requirements Rehabilitation activity will consist of eligible improvements required to bring a residential dwelling unit up to HUD Section 8 Housing Quality Standards for decent safe and sanitary housing. Any rehabilitation work will comply with all pertinent standards of the various codes and ordinances adopted by the City of Ukiah including current State standards for residential energy conservation, the Uniform Housing Code and where applicable, local codes and ordinances. It shall be the responsibility of the Housing Rehabilitation Staff to determine the most cost effective and appropriate manner in which to complete the needed repairs of a dwelling. The purpose of the Home Improvement Program is to assure a living unit, which provides for a healthful environment and complete living facilities arranged and equipped for suitable and desirable living conditions commensurate with the type and quality of the property under consideration. To provide each living unit with space necessary for suitable living, sleeping, cooking and dining accommodations, as well as sanitary facilities: 1. Independent facilities shall be provided for each living unit except that common facilities such as laundry and storage space or heating may be provided for each property. 2. Each living unit shall contain provisions for each of the following: (a) A continuing supply of safe potable water. (b) Sanitary facilities and a safe method of sewage disposal. (c) Heating adequate for healthful and comfortable living conditions. (d) Domestic hot water. (e) Electricity for lighting and for electrical uses in the dwelling. 3. Clothes closet space should be provided with bedrooms or located conveniently nearby. 4. Exterior doors shall have keyed locks. 5. Attics and underfloor area shall have proper access and insulation as required by local codes. 6. Every dwelling shall be supplied with a means of disposal or removal of trash and garbage, which is inaccessible to rodents. B. Access to the Building Walks and steps shall be provided for all-weather access to the building and constructed so as to provide safety and reasonable durability. C. Grading Any deficiencies in proper grading or paving adjacent to the building shall be corrected to assure surface drainage away from foundations and basement walls. D. Unacceptable Features Features which are not ordinarily acceptable in any property and must be corrected where feasible are: 1. Buildings in which adequate attic and/or underfloor space ventilation has not been provided to prevent conditions conducive to dampness, decay, fungi and/or insect infestation and deterioration of the structure. 2. Buildings constructed on wood mudsills resting directly on the ground. 3. Crawl space vents with vent bottom less than 6 inches above the finish grade. 4. Foundations with top of stem wall less than 6 inches above finished grade. 5. Wood, siding, floors and/or door casings or sills in contact with ground. 6. Retaining walls shall be maintained in adequate repair and must be provided where necessary to protect the structure, driveway and walls and to prevent soil erosion. E. Structural Soundness All structural components of the dwelling shall be in sound condition and considered serviceable for the expected useful life of the rehabilitated building. Sagging floors, fireplaces, partitions, stairs, and exterior walls shall be restored if practicable to an acceptable level or plumb position, and supported or braced so as to prevent a recurrence of these conditions. Stair railings shall be rigid. Individual structural members in a seriously deteriorated condition shall be replaced. Loose or damaged joints between structural members shall be corrected. F. Inspections and Correction -Pest and Fungus A careful inspection by qualified persons will be made of each building and accessory structure on each property for evidence of actual or potential insect or rodent infestation or access channels. Defects in existing buildings, which permit the entrance of rodents, termites or other vermin will be corrected by appropriate preventive measures. Damaged or deteriorated structural members will be replaced. A number of preventive and protective measures against the several forms of infestation are: 1. Window or other openings near grade are to have snug fitting screens. 2. Exterior doors are to fit tightly and be flashed or caulked at sill. 3. Opening for pipes or ducts through floors or walls are to have tight fitting collars. 4. Cracks and crevices in foundations and aboveground walls may be effectively sealed by pointing with mortar or other approved materials. 5. Cracked, broken or decayed wood surfaces shall be replaced. 6. Appropriate chemical treatment of soil adjacent to foundations and within hollow masonry foundations and treatment of soil in enclosed spaces. 7. The Application of precautions or corrective actions recommended by licensed professional exterminators. G. Exterior and Interior Finishes Exterior and interior finishes shall assure that the building finishes will be adequate to: prevent the entrance or penetration of moisture and weather; protect from damage by decay, corrosion, insects and other destructive elements; provide reasonable durability and economy of maintenance. H. Exterior Appurtenances All exterior appurtenances or accessory structures, which serve no useful purpose, or those in a deteriorated condition which are not economically repairable, may be removed. Such structures include porches, terraces, 7 entrance platforms, garages, carports, walls, fences and miscellaneous sheds. I. Foundations All masonry or concrete foundation walls will be improved to a safe, and sound condition with the top of the wall not less than 6 inches above finish grade. All wood foundation posts, sills, girders and plates showing signs of rot, decay, infestation or structural failure shall be replaced with new suitable materials of proper design where practicable. J. Exterior Walls The Inspector shall conduct a "Visual Assessment" of all the dwelling unit's painted surfaces in order to identify deteriorated paint. All deteriorated paint will be stabilized in accordance with CFR 35.1330 (a) and (b); and a Clearance shall be made in accordance with CFR 35.1340. Wood siding materials and trim that are broken, split or damaged so as to permit the entrance of weather or that show signs of decay or insect infestation shall be replaced. Where required, all existing wood surfaces shall be suitably prepared for painting and shall receive at least one coat of prepared exterior house paint. New wood siding materials shall be protected by appropriate finishes. Composition sidings, including mineral surfaced fiberboard, mineral surfaced asphalt siding, asbestos-cement types, etc., which show deterioration, damage orjoint failure so as to permit the entrance of weather or adversely affect the appearance of the dwelling may be repaired, replaced or covered with new suitable siding materials.' K. Interior Walls and Ceilings 'Wherever deteriorated walls, ceilings, or other areas are suspected of containing asbestos materials, precautionary protective measures will be taken to protect workers and residents from harmful dust. These measures may include full abatement procedures as provided by trained personnel. Dwellings which were built prior to 1978 and are occupied by children under the age of seven will be evaluated to determine the existence of chipping or pealing lead-based paint. The occupants of all units rehabilitated through the program will receive aLead-Based Paint Warning advising parents of the possible need to have children evaluated for possible lead poisoning. In incidents where lead-based paint poisoning has been determined, or where problems are believed to be likely, HUD-approved abatement procedures will be followed in cooperation with the local Health Department. 8 1. All loose and broken gypsum board shall be renailed or replaced, if possible, and refinished. All loose and broken plaster shall be soundly patched and repaired. Where its deterioration is so extensive that patching is impractical, the entire wall or ceiling area shall be replastered or covered with acceptable drywall materials.2 z/ Ibid 2. All walls and ceilings shall be properly prepared and painted or shall receive other appropriate finish. 3.Interior doors, jambs and interior trim, which show excessive deterioration, abuse and patching shall be replaced. Existing and/or new interior millwork shall be properly prepared and receive protective finish. All broken or missing hardware shall be replaced. L. Kitchen Fixtures Countertop and backsplash shall be of approved durable and water-resistant materials. Where required, a new sink and fittings properly connected to hot and cold water supply and waste lines shall be installed. M. Finished Floors 1. Bathrooms/toilet compartments and kitchen floors shall be provided with approved underlayment, approved waterproof floor covering materials, and appropriate base mould. 2. Floors in other areas of the living unit which show excessive wear, shrinkage, cupping or other serious damage shall be, if possible, replaced or covered with acceptable finish flooring materials properly installed. Sound wood floors showing normal wear and discoloration may be refinished.3 3. Finish floors shall be appropriate to the use of the space, be in good condition, and provide low maintenance service life. N. Roof Drainage Each dwelling will have a controlled method of disposal of water from roofs where necessary to prevent damage to the building and property if possible. O. Roof All roofs and flashings shall be replaced or repaired to the extent necessary to protect the building against leakage. P. Gutters. Cornices and Exterior Details }/ Ibid. 10 Gutters, downspouts, eaves, rafter ends, fascias, soffits and cornices, mouldings, trim, etc., showing evidence of leakage, rust, decay or deterioration will be replaced with new materials suitably protected with paint or stain. Repairs shall be made with any necessary changes of existing design or with appropriate new design within reasonable limits to prevent recurrence of the deterioration. Q. Chimneys Chimneys, brickwork or fireplaces showing signs of deterioration should be repaired or replaced with appropriate materials if possible. R. Windows, Doors, and Other Oaenings Existing windows and doors, including their hardware, shall properly function and give evidence of continuing acceptable service. Defective glass or locking mechanisms shall be replaced or repaired. Windows and doors and their frames which show signs of decay, deterioration, excessive warping, racking or misalignment shall be replaced or repaired and adequately protected with paint and fleshings against further deterioration. S. Electrical Wiring When electrical services must be replaced, a 100-amp main service with a minimum of 4 branch circuits is required. Additional branch circuits shall be installed, as required, to service cooking ranges, clothes dryers, water heaters and other major appliances. A minimum of one outlet and one permanently installed overhead light fixtures or 2 outlets for each living room and each bedroom is required. Every other habitable room shall have at least one outlet and a source of natural or artificial light. An outlet may consist of one receptacle or two and must be permanently installed. Permanent light fixtures with wall- mount switches are required in kitchen and bath. T. Plumbing All plumbing fixtures shall be appropriately connected to approved drain, waste, vent, and supply lines. All leaking, deteriorated or clogged piping shall be replaced or restored to a condition which will provide safe and adequate service for the plumbing fixtures or equipment to which they are connected. U. Heating and Ventilation No unvented fuel-burning heater shall be permitted. All heating devices and appliances shall be of an approved type. Each living unit shall have properly vented domestic water heating equipment capable of adequately supplying hot water, as defined in U.P.C., with properly sized safety devices in place. V. Porches, Walks and Steas 11 All unsafe or unsound porches and steps will be removed or replaced and protected from deterioration with paint or other acceptable finish. Where required, approved handrails and guardrails shall be provided. W. Fences and Gates Dilapidated wood fencing which poses a health or safety hazard should be replaced. Wood fences which have missing pickets, boards, panels or which lean may have missing parts replaced with suitable materials. Sagging gates may be braced and those dragging on the ground may be rehung. X. Landscaping Brush which poses a fire hazard shall be removed. Trees that are undermining the structural integrity of the dwelling will be safety-pruned. All debris, lumber and trash shall be removed. Y. Painting and Decorating Where necessary, a protective and decorative finish coating shall provide: adequate resistance to weathering, protection of finished surfaces from moisture or corrosion, an attractive appearance, and reasonable durability. Where painted surfaces are in awell-maintained condition and not disturbed by the rehabilitation work, painting and decorating is not required. Z. Expansion of Dwelling Rehabilitation assistance may provide for the expansion of kitchen and bathroom facilities. An existing bedroom may be enlarged or an additional bedroom may be provided where it has been determined that a family is living in an overcrowded condition as defined by the Bureau of Census. For the purpose of adding a second bathroom, overcrowding is defined as five or more persons sharing the same home. AA. Kitchen Equipment Rehabilitation assistance may provide for the repair or purchase of a kitchen range and/or refrigerator if missing or unsafe. BB.Energy Conservation Measures Rehabilitation loans may be used to reduce energy consumption through the installation of: 1. Dual glazing; 12 2. Storm windows; 3. Attic, floor, and wall insulation; 4. Water heater blankets and timers; 5. Hot water pipe insulation; 6. Caulking and weatherstripping of doors and windows; and 7. Replacement of inefficient woodstoves (including flues and heat shields). CC. Incipient Violations Rehabilitation assistance may be used for rehabilitation work necessary to correct incipient, as well as actual violations of Housing Quality Standards. An incipient violation exists if it is thought that the physical condition of an element in the structure will deteriorate into an actual violation in the near future. DD. Buildinn Permits and Related Fees Rehabilitation assistance may provide funds to cover the cost of building permits and related fees that are required to carry out the proposed rehabilitation work when such fees are not waived. EE. Ineligible Costs Except as provided for herein, a rehabilitation loan shall not be used for 1. New construction, substantial reconstruction, expansion of the structure, or the finishing of unfinished spaces (except in documented overcrowded conditions). 2. Luxury items, materials, fixtures, equipment or landscaping of a type or quality which exceeds that customarily used in the locality for properties of the same general type and value as the property to be rehabilitated (General Property Improvements). 3. Appliances not required by Section 8 Housing Quality Standards. 4. Acquisition of land. 5. Penalty building permit fees. 6. Tenant-Occupied properties III. TYPES OF FINANCING AND TERMS A. Owner-Occupants Maximum Loan Amount An eligible owner may qualify for the full cost of the rehabilitation work needed to comply with Section 8 Housing Quality Standards. Maximum assistance with funds is $40,000. Total indebtedness against property will not exceed 90 13 percent of after-rehabilitation value. Rehabilitation costs for jobs may be supplemented with personal financing or with other loan or grant programs. 2. Deferred Payment Loans (DPLs) All loans will be deferred with no amortized payments and have a fixed simple interest rate of zero to three percent per annum. A DPL is a deferred interest loan secured by a deed of trust with no payback required until the borrower sells or transfers title or discontinues residence in the dwelling. When specific circumstances occur, the DPL becomes immediately due and payable. Payments may be made voluntarily on a DPL. 3. Determining Eligibility Owner-occupants with incomes below 80% of the median income for Mendocino County adjusted for family size are eligible for Deferred Payment Loans. On a case-by-case basis other hardship expenses such as medical costs and housing expenses in excess of 30% of the household's gross monthly income may be considered in determining the need for a DPL. The Loan Committee may adjust the interest rate from 3% to 0% to assure affordability. Affordability is based on 30% of gross income applied to housing costs. Housing costs include mortgage payments on the subject property, the housing rehabilitation loan payment, real estate taxes and insurance on the subject property. 4. Resale Assumptions A recorded document will contain provisions restricting resale. Fora 10-15-year affordability period (see table below), these conditions will apply: A. Any purchaser of the property must be a qualifying low-income household that will reside in the property. B. The sale price must permit the low-income purchaser to maintain affordability. C. There must be a fair return on investment to the seller. If these terms are not met, the Housing Rehab loan funds will be recaptured to the local Rehab account(s). The homeowner may recover the initial investment. Proceeds from sales will be recycled into eligible activities with the same regulations and procedures of the original funding source. The minimum periods of affordability are specified in the following table, and shall comply with the other requirements of 24 CFR Sections 92.252, 92.255 and 92.258. 14 Amount of HOME Assistance Activity Minimum Period of Affordabilit in Years Less than $15,000 Rehabilitation 10 $15,000 - $40,000 Rehabilitation 15 No additional HOME assistance may be provided during the period starting one year following the filing of the Project Completion Report through end of the affordability period. 5. Reconstruction Policy The reconstruction of existing low-income owner occupied single family residential structures may be authorized with prior State and Federal approval. Procedures shall be consistent with applicable State and Federal guidelines. Reconstruction financed with loan funds shall, with Loan Committee approval, be subject to the per unit maximum of HOME subsidy limits based on number of bedrooms. C. Closing Costs Closing costs incurred during the processing of a loan application will normally be paid by the applicant out of loan proceeds. These costs which may vary among applications, may include: credit report fee(s), appraisal fee, title insurance fee, lot book report fee, escrow fee, pest control report fees, and recording fees. Where warranted by income and monthly repayment capacity limitations, the Loan Committee may waive applicant repayment of all or a portion of the closing costs. Lower-Income applicants who are not approved for financial assistance will not be required to reimburse the City for costs associated with the processing of the application. D. Security Property to be rehabilitated shall act as security for the loan. All loans shall be secured by a Promissory Note and Deed of Trust, which shall be recorded. A junior deed of trust may be approved as security for a loan. Total liens of record against the property may not exceed 90% of the after rehabilitation value as determined by the Loan Committee based upon the estimate provided by Housing Rehabilitation staff. E. Transfer of Title All loans become immediately repayable in full when there is any transfer of title to the property, other than to a surviving spouse. The Community Development Manager may permit the same or revised terms if income criteria are met by the new property owner. 15 IV. OCCUPANCY REQUIREMENTS Every five years owner occupants will be required to submit to CDC the following verifications: (a) Proof of occupancy in the form of a copy of a current gas and electric bill. (b) Statement of unit's continued use as a residence. In the event that an owner-occupant sells, transfers title, or discontinues residence in the rehabilitated property for any reason, the loan is due and payable. (a) If, however, the owner-occupant who qualifies for financing dies, and if the heir to the property lives in the house and is income- eligible, the heir may be permitted, upon approval of the CDC to assume the loan at the rate and terms he or she qualifies for under current participation guidelines. (b) If the owner-occupant who qualifies for financing dies and the heir is not income-eligible, the loan is due and payable. (C) If the owner-occupant who qualifies for financing dies and his heir is not income-eligible, but he or she chooses to rent the unit to low- income families and agrees to comply with owner-investor restrictions, the heir may be permitted, upon approval of the CDC to assume the loan at the same rate and terms offered investors under current program guidelines. If the heir does not comply with investor restrictions, the loan is due and payable. If an owner-occupant wants to convert the rehabilitated property to a rental unit, he or she must notify the CDC in advance. If the CDC approves the conversion of an owner-occupied unit to a rental, the owner will be required to comply with the provisions of the investor guidelines, including rent limitation provisions and financing arrangements. If an owner wants to convert the rehabilitated property to any commercial or non-residential use, the loan is due and payable. V. OWNER PARTICIPATION OR SELF HELP LOANS The purpose of the Home Improvement Program is to improve the housing conditions of low-income residents. Three important considerations in achieving this purpose are: 1) the work should be done in a timely manner, 2) the work should meet certain basic standards of quality, and 3) work must comply with the rehabilitation standard established by the Program (Section 8 Housing Quality Standards). In situations where a home owner is also a construction contractor or can provide 16 references establishing a history of working in residential construction, the property owner may complete some or all of the tasks required to rehabilitate his/her property if he/she has the degree of skill required to perform the work involved. Self-help is usually appropriate for the accomplishment of tasks of an unskilled nature such as general clean up, demolition of small buildings, removal and disposal of debris, or for work which involves minimum use of costly materials and equipment, such as exterior and interior painting. Work of a skilled nature is appropriate only if the owner has a license to perform such tasks. Owners who participate in the Home Improvement Program on the basis of performing some or all of the work themselves, which is known as providing "owner participation" or "self-help," will be expected to comply with the guidelines outlined below. 1. Evaluation. An evaluation must be performed by the Housing Rehabilitation Specialist to determine the applicant's suitability for owner participation. The option to allow owners to do the work themselves may be provided at the sole discretion of the Housing Rehabilitation Staff. 2. Work write-ua and Cost Estimate. The owner, with verification of an accredited architect, will develop the work write-up and in-house estimate of costs. Housing Rehabilitation Staff will compare bids received on the work with the cost estimate. Bids will only be accepted if the price is within 10% of the amount of the cost estimate, or the inspector provides a written explanation of the difference. 3. Work Schedule. Borrowers approved to provide owner participation will be required to submit a detailed work schedule in accordance with deadlines established by the program. This work schedule must include the following: a. A complete list of materials, which will be required for the project. b. A precise cost estimate of materials to be purchased. This estimate must be based on actual costs and must be verified by an accredited architect or similar professional (engineer). c. A detailed list (company names, addresses, and telephone numbers) of places where materials are to be purchased. d. A specific list of individuals (contractors, subcontractors or laborers) who will be needed to assist the owner in completing the project. This list shall include contractors' license numbers, addresses, telephone numbers, and specific amounts to be paid. Owners are reminded that it is against program policy for any owner or member of the owner's immediate family to receive payment, either directly or indirectly, for housing rehabilitation work. e. A detailed time schedule showing the dates when work will be started, when work will be done on each task, and when all work will be completed. 17 Permits. It is the responsibility of the homeowner to contact the appropriate governmental offices to determine whether building permits or other permits will be required. Failure to do this may result in loan cancellation or demands that work be started over and corrected. Whatever local requirements prevail for permit issuances, the owner will be expected to comply with those requirements. The work being allowed by this program is for health and safety purposes. A building permit is mandatory for all code-related items. A copy of each permit must be forwarded to the Housing Rehabilitation Specialist and the original should be posted on the structure. Building permit fees, where applicable, are reimbursable items; therefore, they should be included in the original Work Schedule. When each code item is completed (such as electrical, plumbing) the Building Permit is signed off by the Building Inspector. A running copy of the card. showing sign-offs as they occur, shall be provided to the Housing Rehabilitation Specialist. 5. Disbursements. Any disbursements made from the owner's loan shall be done in accordance with the work schedule approved by the program. Any obligations incurred which are not in accordance with the work schedule may be denied for payment. Disbursements shall be authorized jointly by the homeowner and a duly authorized representative of the Home Improvement Program. All disbursements must be justified by original receipts that are legible, state the materials purchased or labor provided, and they must be otherwise traceable by the program. Disbursements will be for eligible materials only. 6. Prohibition Against Cash Refunds. Homeowners are reminded that it is a violation of program policy for cash refunds to be received for materials purchased or labor secured. In cases where materials are to be returned and cash is to be received, all cash must be immediately returned to the owner's escrow account. 7. Labor Summary Record. By allowing work to be done on an owner participation basis, it is expected that certain savings will result to the housing rehabilitation program and to the owner's loan. The method of keeping track of work being done is the "Participant Labor Summary Record." VI. APPLICANT SELECTION AND LOAN CLOSING A. Home Improvement Loan Committee Purpose The function of the Home Improvement Loan Committee will be to review and act on applications recommended by program staff for financing. The Committee shall review applications in terms of: eligibility, compliance with all program 18 requirements, consistency of staff recommendations regarding loan terms and type(s) of assistance to be provided. The Committee will also review the proposed loan package, and, if appropriate, recommend changes in loan terms and type(s) of assistance to be provided. 2. Composition The Committee will consist of one member of the Community Development Commission or person designated by the Commission, one person designated by the Mendocino County Board of Supervisors, and the Executive Director of the Community Development Commission of Mendocino County. 3. Meetings The Home Improvement Loan Committee shall meet periodically to review and act on applications. A quorum shall exist and all minutes shall be recorded. A quorum is a simple majority of the full committee. The Committee members shall be advised at least seven calendar days before the Committee meeting. 4. Action Action of the Home Improvement Loan Committee shall be by majority vote. B. Application Processing The Housing Rehabilitation Staff shall gather any necessary financial information to determine applicant eligibility and repayment ability. An application consists of: A form containing financial and household information regarding the property owner. Subject to the exemptions allowed in the "Technical Guide for Determining Income and Allowances for the HOME Program, Third Edition, 2005", all person in residence are considered household members for purposes of income eligibility. A form containing necessary household information when owner occupied are involved. Owner Occupant income will be verified by use of one or more of the following forms. a. Request for Verification of Employment b. Verification of Public Assistance c. Income tax information (1040s, etc.) d. Benefit letters for sources of public assistance or pensions e. Copies of recent benefit or pay checks Please note: The Part 5 (Section 8) method for income determination will be used, as described in the "Technical Guide for Determining Income and Allowances for the HOME Program, January 2005). 19 3. Credit evaluations and income, employment and mortgage verifications as obtained by staff. 4. A preliminary work write-up and cost estimate of required rehabilitation work as prepared by program staff and approved by applicant. 5. Title Report (Full or Limited Coverage) and Appraisal/Estimate of current market and after rehabilitation market values. The after-rehabilitation market value may not exceed $389,500.a At conclusion of rehabilitation, the value of the property must be assessed by one of the following two methods: a. Appraisals - by licensed fee or staff appraisers. The appraiser must document the appraised value and the appraisal approach utilized. b. Tax assessments - for a comparable property located in the same neighborhood. These may be used to establish after-rehab value if the assessment is current and accurately reflects market value after rehab. 6. Termite Inspections and clearances shall be obtained if deemed necessary. A contingency (depending on the complexity of the job) may be included in each loan. At the completion of rehabilitation, any unexpended funds will be applied to the loan principal. 8. Owners will receive information regarding rights as prescribed by law and an authorization form for signature which states that the owner understands that he/she may be inconvenienced by the rehabilitation work and that he/she agrees to authorize inspectors and workers to enter his/her living quarters during reasonable hours. C. Application Selection A Loan Committee Report (LCR) will be prepared for all loan applications determined by staff to be eligible for a housing rehabilitation loan. The LCR and the application will be brought before the Home Improvement Loan Committee for approval. General lending criteria that will be used to assist in evaluating the applications of eligible property owners for financial assistance will include: 4 2008 HOME NOFA, Appendix D: Maximum Purchase Price/After Rehabilitation Value Limit, 203 (b). 20 The ability and willingness of an applicant to repay a loan, as well as all existing liabilities, as evidenced by such criteria as income, credit history, necessary monthly expenses, and stability of income. 2. The economic feasibility of property rehabilitation such that a reasonable expenditure of funds will enable the correction of all major health and/or safety related items, with the rehabilitated property providing adequate collateral for a loan that is secured with a deed of trust. An eligible borrower may be considered for a subsequent loan, provided he/she has no delinquent payments longer than 10 days and otherwise meets program requirements and underwriting criteria. All recommendations for loans shall be developed by the Housing Rehabilitation Specialist and submitted to the Home Improvement Loan Committee. The Housing Rehabilitation Specialist's recommendations shall be submitted in written form and shall propose the terms of the loan, interest rate, special conditions, and whether the loan should be approved or denied. All applications shall be submitted for consideration regardless of whether the recommendation is for approval or denial. Please note: The maximum after-rehabilitation value for all homes assisted with housing rehabilitation funds cannot exceed $389,500.s D. Loan Aoaroval All Home Improvement Program Loans must be approved by the Home Improvement Loan Committee. In order to obtain financing, applicants must meet all property and income eligibility guidelines in effect at the time of loan approval. Applicants will be provided written notification of approval or denial. Reason for denial will be provided to the applicants in writing. An appropriate funding cut off point established for each review period will determine the number of applications that may be approved for funding at that particular time. Qualified applications not selected for funding during one review period will be automatically reconsidered during subsequent periods. Housing Preservation Revolving loans may be approved by the Community Development Commission Executive Director when the applicant is clearly eligible and when in the opinion of the Executive Director existing housing conditions pose a hazard to the health and safety of the applicant. E. Loan Closing A Home Improvement Loan Program applicant will have up to two weeks after Loan Committee approval to accept the offered terms and conditions. At the end of this period, the Executive Director may rescind the loan commitment. 5 2008 HOME NOFA, Appendix D: Maximum Purchase Price/After Rehabilitation Value Limit, 203 (b) . 21 The Housing Rehabilitation Staff will provide for the execution of all necessary loan documents and their recordation. F. A eals Objections by any applicant as to policy, procedures, method of operation or decisions by the Program CDC staff or Home Improvement Loan Committee will be referred to the Executive Director. The Executive Director will schedule a hearing for the applicant and establish hearing procedures. Decisions of the Home Improvement Loan Committee will be based upon its interpretation of the Program Policies and Administrative Procedures. VII. INSURANCE A.Hazard Insurance The borrower shall maintain hazard insurance on the property for the duration of the Home Improvement Loan(s). This insurance must be an amount adequate to cover all encumbrances on the property. The insurer must identify the Community Development Commission of Mendocino County as Loss Payee for the amount of the Home Improvement Loan(s). Proof of insurance shall be provided to the CDC. In the event the borrower fails to make the hazard insurance premium payments in a timely fashion, CDC, at its option, may make such payments. If CDC makes any such payments, CDC may, at its sole discretion, add such payments to the principal amount that the applicant is obligated to repay under this program. B. Flood Insurance In areas designated by the U.S. Department of Housing and Urban Development (HUD) as flood prone, the owner is required to maintain flood insurance in an amount adequate to secure the Home Improvement Loan. This policy must designate the Community Development Commission of Mendocino County as Loss Payee. The policy also must name the City of Ukiah as additional insured. The initial premium may be paid with Home Improvement Loan proceeds for the first year. VIII. GENERAL CONTRACTING PROCEDURES AND REQUIREMENTS A. Contractor Qualifications The Housing Rehabilitation Staff will maintain a list of all interested contractors who will be kept informed of upcoming bid proposals. All interested contractors must submit an application for approval. All contractors and subcontractors must have a current, valid California Contractor's License and shall provide such proof of insurance as may be required by CDC. 22 No contractors and subcontractors shall be on the debarred list. Housing Rehabilitation Staff will document debarment status by printing out debarment certifications and other evidence that contractors are not on the debarment list. To the maximum extent feasible, the program shall make every attempt to utilize local, small and minority contractors. B. Procurement Bidding for rehabilitation work will be done on a competitive basis with contracts being awarded to the lowest responsible and responsive bidder selected by the property owner. The Contract for rehabilitation will be between the property owner and the contractor. The Housing Rehabilitation Staff will assist the homeowner with the rehabilitation contract process including preparing contract documents and assisting in the procurement process. C. Inspections and Payments Where warranted by the size of the job and depending upon the contractor's credit line and number of jobs in progress, progress payments tied to the completion of various stages of rehabilitation work will be authorized. The number of payments to be made will be specified in the construction contract. Authorization of progress payments will require: 1. Inspection of the property by the City Building Inspector to insure that the completed work is in compliance with local building code standards. Inspection of the property by the Housing Rehabilitation staff to insure that the work being billed complies with the Contract Documents and Rehabilitation Standards. If the work is not found to be in substantial compliance, the payment amount will be delayed until compliance has been achieved. 2. Work must be in compliance with all local and uniform building codes, including Building Division 3 of Ukiah City Code, International Building Code, and California Building Code. (Please contact the City of Ukiah Building Department for more information on local codes). Work must also comply with written standards such as City zoning requirements and ordinances. 3. Following an inspection and approval by the Housing Rehabilitation Specialist and written approval by the Community Development Manager and property owner of the contractor's invoice and all work being billed, the payment amount will be calculated according to the contract provisions governing holdbacks. The payment check will be made out to the contractor. Final Payment (10% retention) is processed in the same general manner as progress payments. Upon written final acceptance of the work by the property 23 owner, the Housing Rehabilitation Specialist and the Community Development Manager, a Notice of Completion will be recorded on the property. Final Payment (10% retention) may be released following the receipt of a Release of Lien from the Contractor and waiting period of 31 days from the recordation of the Notice of Completion. D. General Contract Conditions and Specifications The General Conditions and Specifications of the Home Improvement Program shall be included in all contracts for housing rehabilitation. All change orders to the contract specifications require the signature of the owner, the Housing Rehabilitation Specialist, Community Development Manager and Finance Director. When there are disputes between the contractor and property owner over contract specifications, job scope or adequacy of performance, the Community Development Manager and Housing Rehabilitation Specialist will make the final determination of contract requirements; the Community Development Manager will have the authority to release final payment where there is substantial compliance with the contract. IX. TEMPORARY RELOCATION Owner occupants will be informed of their eligibility for temporary relocation if occupancy during rehabilitation constitutes a substantial danger to health and safety of occupant or public danger or is otherwise desirable because of the nature of the project. Relocated owner occupants will receive housing costs, payment for moving and related expenses and appropriate advisory services. X. COMPLAINT AND APPEAL PROCEDURE Note: The borrower will be required to follow the process outlined below. The borrower will be required to follow this process as a condition of receiving a loan. The process sets forth the steps for resolving home owner-contractor conflicts both during and after the completion of construction. Complaint and Appeal Procedure The Home Improvement Program acts as a lender for and a facilitator of the rehabilitation. The primary responsibility of the Housing Rehabilitation Specialist is to ensure that the rehabilitation process meets the procedural and substantive requirements of State and Federal regulations. The Housing Rehabilitation Specialist is not your agent or employee. You, the homeowner, have the primary responsibility of ensuring that the contractor completes the work in a satisfactory manner according to the specifications of the approved bid and in compliance with applicable building codes. While the CDC is 24 providing funds to make the repair of your home possible, the CDC is not responsible for enforcing your contract with the contractor you select to rehabilitate your home. The Building Inspector is responsible for inspecting the contractor's work for compliance with applicable building codes, but you are responsible for ensuring that work is completed to your satisfaction. This is an important distinction, because it is possible for rehabilitation work to comply with the minimum requirements of the building code but not comply with the terms of your contract or not be satisfactory with respect to your expectations. Instances may arise, however, in which a dispute or difference of opinion cannot be resolved strictly between the homeowner and the contractor. In such instances, the Housing Rehabilitation Specialist will mediate the dispute according to the following procedures. One condition of your loan is that you agree to abide by the following dispute resolution process. This process may be used at any time during or following the completion of construction. Before contacting the Housing Rehabilitation Specialist, you must first communicate your dispute to the contractor and attempt to have the contractor resolve your complaint. It will be helpful if you list your problems with the contractor's work in writing and give the contractor a copy of this list. We advise you to immediately communicate to your contractor any problems you may have with his or her work, as delay may increase the difficulty or expense involved in correcting the problem. STEP ONE: Submit a Written Complaint to the Housing Rehabilitation Specialist If you are unable to reach an acceptable resolution of your problem with the contractor, then you may request that the Housing Rehabilitation Specialist act as a mediator. If your problem involves a question of building code compliance, however, your dispute should be brought to the attention of the building inspector. Complete the Dispute Resolution form within five working days after you have requested the contractor to address your complaint. Your Housing Rehabilitation Specialist will respond in writing to your complaint within five working days after its receipt. The response will indicate the course of action the Housing Rehabilitation Specialist will take, which will include one or more of the following: • direct contact with contractor to correct the problem; • arrangement of a meeting to inspect the problem, with subsequent action to follow; • arrangement of a meeting between the Housing Rehabilitation Specialist, the homeowner, and the contractor to resolve the dispute; 25 • other action, as the Housing Rehab Specialist deems appropriate; or • no action STEP TWO: Contact Community Development Manager: If the written response and subsequent action of the Housing Rehabilitation Specialist are not satisfactory, you may contact the Community Development Manager, who is the CDC staff person in charge of the Home Improvement Program. You must file a written complaint with the CDC indicating what part or parts of your dispute were not, in your opinion, adequately addressed by the Housing Rehabilitation Specialist. This written complaint must be filed within five working days after you receive your written response from the Housing Rehabilitation Specialist. A written response from the Community Development Manager will be returned within five working days after your complaint is received. The response will explain the follow-up action that will be taken. The address at which to file your complaint with the Community Development Manager is: Community Development Manager Community Development Commission of Mendocino County 1076 North State Street Ukiah. CA 95482 STEP THREE: File a Claim with the American Arbitration Association If the written response and subsequent action of the Community Development Manager are not satisfactory, and the dispute may not otherwise be satisfactory resolved, the dispute must be submitted to the American Arbitration Association as provided in the General Conditions of the Contract Documents. XI. DELINQUENCIES, DEFAULTS AND FORECLOSURES A. Policv The Community Development Commission of Mendocino County acknowledges that circumstances beyond a borrower's control may temporarily limit his/her ability to meet loan terms. CDC desires to be flexible enough so that in cases of: death of a family member, loss of job, divorce and major illness loan terms may be modified. While the Community Development Commission of Mendocino County, in this policy, outlines a system that can accommodate crises that restrict borrowers' ability to meet loan terms, it should in no way be misunderstood. Loan terms must be fulfilled. The Community Development Commission of Mendocino County will pursue all legal means to ensure fulfillment of loan terms. 26 B. Procedure Thirty (30) day and sixty (60) day delinquencies. The Community Development Commission of Mendocino County shall send the borrower a letter noting the amount delinquent or performance default. This letter shall be followed by a telephone call reminding the borrower of the loan amount and due date or performance default. 2. Ninetv (90) day delinguency. CDC shall send a certified letter noting the amount delinquent or performance default. In this letter, a date and time shall be set for a meeting between the borrower and the Community Development Manager or designee. At this meeting the following will be discussed: - reasons for delinquency or default - any changes in the borrower's health, family circumstances or financial status that limits their repayment ability - amount in arrears. At conclusion of this meeting, the following will be determined: - how and when the amount in arrears will be paid; - how performance defaults will be remedied; - if a personal emergency (loss of a job, loss of spouse or co-borrower, serious illness) has restricted repayment ability. If because of such an emergency, the borrower cannot fulfill the term(s) of the loan or afford to pay the full monthly installment, the Community Development Manager may exercise one or more of the following options: a. Extend the time of payment or otherwise alter the terms of any of the indebtedness; b. Accept additional security therefore of any kind, including trust deeds or mortgages; c. Alter, substitute or release any property securing the indebtedness. Any action taken as a result of this meeting shall be documented and recorded in the required fashion. 3. If the borrower does not appear for the 90-day delinquency meeting, and does not contact the Community Development Division to reschedule the meeting, staff may immediately begin foreclosure proceedings. 27 4. Any borrower who participates in the process outlined in Item B and then becomes 90 days delinquent within two years of renegotiating their loan terms may be subject to immediate foreclosure. XII. AFTER-REHABILITATION PROPERTY MAINTENANCE A. Policv ALL Home Improvement Loans require the borrower: 1. To protect and preserve said property and to maintain it in good condition and repair; 2. Not to remove, demolish or materially alter any building or any improvement thereon, nor to change or alter either the terms and conditions of any existing lease of the premises, or the present character of use of said property; 3. To complete or restore promptly and in good workmanlike manner any building or improvement that may be constructed, damaged or destroyed thereon and pay when due all costs incurred therefore; and to comply with all of the terms of any loan agreement between Trustor and Beneficiary; 4. Not to commit or permit waste of the property; 5. To comply with all laws, covenants, conditions or restrictions affecting the property; 6. To cultivate, irrigate, fertilize, fumigate, prune and do all other acts that from the character or use of said property may be reasonably necessary, the specific enumerations herein not excluding the general. These conditions help assure that the property does not revert to a substandard state. B. Procedure When the Community Development Division becomes aware that rehabilitated property is not being properly maintained it shall: 1. Provide the borrower in writing: a. a list of needed repairs or maintenance items b. a recommendation as to a solution to the deficiencies c. a request that the repairs be performed within 60 days 2. At the end of the 60-day period, Housing Rehabilitation staff shall inspect the property. If the needed repairs have not been performed, staff shall 28 set an appointment with the borrower to discuss why maintenance has not been performed. If the borrower is unable to afford to make the needed repairs and if the repairs represent a new building deficiency not covered by the original rehabilitation, additional funds may be provided. 3. Following the visit and inspection, the borrower will be given 60 days to make the necessary repairs. The borrower will be given written notice at the start of this phase that if repairs are not performed within 60 days the borrower will be considered to be in default. 4. If repairs are not performed within 60 days of the notice outlined in Item 3, the Community Development Commission of Mendocino County may begin foreclosure proceedings. 29 XII. AMENDMENTS Amendments to these Policies and Procedures may be made by the City and will be submitted to the California Department of Housing and Community Development for approval. Where changes in the guidelines would adversely affect program applications already under review, such applications will be evaluated under the guidelines in effect at the time of application. Ref: Nov3a2.5 30 ATTACHMENT A MENDOCINO COUNTY INCOME LIMITS AND SUBISDY LIMITS 31 INCOME LIMTS FOR ALL OF MENDOCINO COUNTY - 2008 Number of 1 2 3 4 5 6 7 8+ Persons in Household Income Limit $30,150 $34,450 $38,750 $43,050 $46,500 $49,950 $53,400 $56,850 Yearl SUBSIDY LIMTS FOR ALL OF MENDOCINO COUNTY - 2008 Number of 0 1 2 3 4 Bedrooms in Household Subsid Limit $110,872 $127,094 $154,546 $199,932 $219,464 32 llf attachment 3 updated I. THE PROGRAM ....................................................................................................................... 6 II. LIMITS ........................................................................................................................................6 III. RESALE-ASSUMPTIONS ................... IV. SPECIAL CIRCUMSTANCES ............ .......................................................... 7 .................................................................... 7 V. ELIGIBILITY ................................................ ......................................................................... 8 CONFLICT OF INTEREST .................................. ........................................................................ 8 FIRST-TIME HOMEBUYER ................................ ........................................................................ 8 VI. INCOME ............................................................ ........................................................................ 9 INCOME INCLUSIONS .......................................... ...................................................................... 10 INCOME EXCLUSIONS ......................................... ...................................................................... 11 VII. TENANTS ........................................................ ......................................................................14 VIII. LEASE OPTIONS .................................................................................................................14 IX. PROPERTY ............................................................................................................................14 1. LOCATION .............................................................................................................................14 2. OCCUPANCY ......................................................................................................................... 14 3. TITLE ....................................................................................................................................14 4. CONDITION ........................................................................................................................... 14 X. TYPES OF FINANCING AND TERMS ...................................................................................14 MAXIMUM LOAN AMOUNT ............................................................................................................. 14 DEFERRED PAYMENT LOANS (DPLS) ........................................................................................... 15 BELOW MARKET INTEREST RATE (BMIR) LOANS ......................................................................... 15 DETERMINING ELIGIBILITY ............................................................................................................ 15 DETERMINING LOAN AMOUNTS .................................................................................................... 15 XI. LOAN DOCUMENTS .............................................................................................................15 XII. CLOSING COSTS .................................. X .......................................................... ................................................................15 ...............................................................16 XIV. OCCUPANCY REQUIREMENTS ..................................................................................16 XV. TRANSFER OF TITLE ..........................................................................................................16 XVI. HOUSING COUNSELING ...............................................................................................17 2. INDIVIDUAL DEVELOPMENT ACCOUNTS .....................................................................17 XVII. APPLICANT SELECTION AND LOAN CLOSING ............................................................17 A. LOAN COMMITTEE .............................................................................................................. 17 Ukiah DAP Guidelines Revised 8.08 Page 4 1. Purpose ................................. ............................ .................................................. 2. Composition ........................ ............. 17 ................................................................................ 3. Meetings ....................................... .............17 ...................................................................... 4. Action ............... ............. 18 ............. . .................................................................................... B. APPLICATION PROCESSING ............. 18 .................................................................................. C. APPLICATION SELECTION .. ............. 18 ................................................................................... D. LOAN APPROVAL ............. 18 ................................................................................................. E. LOAN CLOSING ......... ............. 19 ........................................................................................... F. APPEALS .............. .............19 ................................................................................................ ............. 19 XVIII. INSURANCE ............ ........................................................................................ ............19 A. HAZARD INSURANCE ......... . . ................................................................................... B. FLOOD INSURANCE ...... ............ 19 .......................................................................................... ............ 19 XIX. DELINQUENCIES, DEFAULTS AND FORECLOSURES ...................................... ............20 A. POLICY ................. .................................................................................................. ............20 XX. AFTER-PURCHASE PROPERTY MAINTENANCE ................................................ ............20 A. POLICY ................... .................................................................................................... B. PROCEDURE ... . ............20 .. ......................................................................................................... ............20 XXI. REUSE PLAN ............. ............................................................................................. ............ 21 XXII. AMENDMENTS ............. .......................................................................................... ............21 XXIII. RELOCATION POLICY ......................................................................................... ............21 XXIV. AFFIRMATIVE MARKETING/EQUAL OPPORTUNITY ....................................... ............24 AFFIRMATIVE ACTION ...... ................................................................................................. EQUAL OPPORTUNITY . ........... 24 ...................................................................................................... ........... 24 XXV. INSPECTION PROCEDURES ................................................................................ ...........25 Attachment A ..................................................... ......................................... Loan Documents ...................... Attachment B ..................................................................................................................... HOME Program Income Reuse Plan Attachment C ....................................................................... .............................................. Income and Subsidy Limits .................................................................................................... Ukiah DAP Guidelines Revised 8.08 Page 5 THE PROGRAM The City of Ukiah, hereinafter referred to as the "City," has entered into a contractual relationship with the California Department of Housing and Community Development ("HCD") to administer one or more HCD-funded homebuyer programs. The homebuyer program described herein (the "Program") is designed to provide assistance to eligible homebuyers in purchasing homes, also referred to herein as "housing units", located within the incorporated area of the City of Ukiah, as described in Section 2.1. The Program provides this assistance in the form of deferred payment "silent" second priority loans as "Gap" financing toward the purchase price and closing costs of affordable housing units that will be occupied by the homebuyers. The Program will be administered by the Community Development Commission of Mendocino County (the "CDC"). The City of Ukiah Down Payment Assistance Program (DAP) will make below market interest rate deferred loans to qualifying low-income first-time homebuyers to purchase homes in the incorporated area of the City of Ukiah. Participants must qualify by not having owned a home in the last three years, must qualify under low-income guidelines and occupy the unit as their principal residence. The DAP loans may include closing costs, unless not eligible under the requirements of the original funding source. The buyers will be required to make a minimum contribution of four percent (4%) for the city program. At least half of the buyer's share must be from his or her own funds; the remaining half may come from gift funds. Applicants must attend Housing Counseling Sessions given by The Community Development Commission of Mendocino County (CDC). The City will impose certain requirements on each assisted purchase: At transfer of title to the first-time homebuyer, the home must pass Section 8 Housing Quality Standards as determined by a staff inspector. A Community Development Housing Inspector will perform the inspection. This requirement will be part of the purchase offer. 2. The DAP loan(s) will be recorded on the purchased property directly behind the primary purchase financing. Primary financing must be with a conventional lender. 3. Repayment of the loan(s) will be required upon sale (except for approved assumptions, see below), transfer of title (except for approved transfers, see below), if the property is no longer the primary residence or after 30 years. The principal plus three percent annual interest will be repaid. 4. A document restricting resale and ensuring affordability for at least 5-15 years will be recorded. 5. DAP loans cannot be used for refinancing of existing loans. II. LIMITS In an attempt to address the needs of a variety of low-income persons, some limits are designed into the program. Maximum purchase price will be limited to FHA limits. For HOME-funded DAP loans, the acquisition price will not exceed the amount published in the current NOFA, or approved by HUD. The Maximum Purchase Price/After-Rehabilitation Value Limit for 2008 is Ukiah DAP Guidelines Revised 8.08 Page 6 $389,SOO.i The total loan(s) amount from the DAP program must be less than the financing from the primary lender, at a maximum of forty nine percent (49%) of the total financing package, and the maximum limit will be revised to reflect current market conditions. The true limiting factor will be income status, and the limited size of a first mortgage that a family may obtain. The income limits for the program will be those published by HUD for Mendocino County. Specifically, the limits are 80% of median income adjusted for family size. Assistance will be limited to those families qualifying as "lower-income." III. RESALE-ASSUMPTIONS: A recorded document will contain provisions restricting resale. Fora 5-15-year period for the City, these conditions will apply: A. Any purchaser of the property must be a qualifying low-income household that will reside in the property. B. The sale price must permit the low-income purchaser to maintain affordability. C. There must be a fair return on investment to the seller. The minimum periods of affordability are specified in the following table, and shall comply with the other requirements of 24 CFR Sections 92.252, 92.254, 92.255 and 92.258. Amount of HOME Activity Minimum Period of Assistance Affordabili in Years Less than $15,000 FTHB 5 $15,000 - $40,000 FTHB 10 More than $40,000 FTHB 15 No additional HOME assistance may be provided during the period starting one year following the filing of the Project Completion Report through end of the affordability period. When these terms are met, DAP loan(s) may be assumable. The new purchaser must execute an assumption agreement confirming agreement with the terms of the DAP loan. If these terms are not met, the DAP loan funds will be recaptured to the local DAP account(s). The homeowner may recover the initial investment. However, assumptions are not allowed if not eligible under the funding source of the loan(s). Proceeds from sales will be recycled into eligible activities with the same regulations and procedures of the original funding source. IV. SPECIAL CIRCUMSTANCES A. Flood plain: Units in the 100-year flood plain will not be eligible. B. Lead Paint: Lead-base paint requirements for properties constructed prior to 1978 will be addressed prior to purchase. These requirements include: requirement 1 2008 NOFA Appendix D, "Maximum Purchase Price/After-Rehabilitation Value Limits," 4!29/08. Ukiah DAP Guidelines Revised 8.08 Page 7 that lead-base paint notification be given to purchasers. The pamphlet "Protect your Family from Lead in the Home" will be given to purchasers. Please contact the CDC office for the most current information regarding Lead Based Paint and home purchases. C. Notice to Sellers: It will be a requirement that an acquisition notice containing the items below be provided to seller prior to making the purchase offer: the purchaser has no power of eminent domain and, therefore, will not acquire the property if negotiations fail to result in an amicable agreement; an estimate of the fair market value of the property; if an acquisition notice will not be provided prior to the purchase offer, a provision that the seller may withdraw from the agreement after this information is provided. D. Tenant-Occupied Properties: Tenant occupied properties will not be eligible, unless the tenant is the first-time homebuyer making the purchase. A rental property must be vacant for a minimum of 120 days to be an eligible property. V. ELIGIBILITY CONFLICT OF INTEREST No member of the City of Ukiah City Council and no other official, employee or agent of City of Ukiah, and the Community Development Commission of Mendocino County, who exercises policy, decision-making functions, or responsibilities in connection with the planning and implementation of the program shall directly or indirectly be eligible for this program, unless the application for assistance has been reviewed and approved according to applicable California Department of Housing and Community Development (HCD) guidelines and federal HOME Regulations at 24 CFR 92.356. This ineligibility shall continue for one year after an individual's relationship with the City of Ukiah government and/or the Community Development Commission of Mendocino County ends. FIRST-TIME HOMEBUYER "First-time homebuyer" means an individual or individuals or an individual and his or her spouse who have not owned a home during the three-year period before the purchase of a home with assistance, except that the following individual or individuals may not be excluded from consideration as a first-time homebuyer under the definition: A displaced homemaker who, while a homemaker, owned a home with his or her spouse or resided in a home owned by the spouse. A displaced homemaker is an adult who has not, within the preceding two years, worked on a full-time basis as a member of the labor force for a consecutive twelve-month period and who has been unemployed or underemployed, experienced difficulty in obtaining or upgrading employment and worked primarily without renumeration to care for his or her home and family; 2. A single parent who, while married, owned a home with is or her spouse or resided in a home owned by a spouse. A single parent is an individual who is unmarried or legally separated from a spouse and has one or more minor children for whom the individual has custody orjoint custody or is pregnant; and Ukiah DAP Guidelines Revised 8.08 Page 3. An individual or individuals who owns or owned, as a principal residence during the three-year period before the purchase of a home with HOME assistance, a dwelling unit whose structure is: A. Not permanently affixed to a permanent foundation in accordance with local or state regulations; or B. Not in compliance with state, local, or model building codes and cannot be brought into compliance with such codes for less than the cost of constructing permanent structure. C. By definition, the housing must be single-family housing (1- to 4-family residence, condominium unit, cooperative unit, combination manufactured home and lot, or manufactured home lot). Individual funding sources may have a definition of applicable housing that may be more restrictive; if so, then that definition will apply if that funding source is used. 4. Ownership is defined as one's exclusive right of possessing, enjoying, and disposing of real property, including both possession and title. VI. INCOME To receive First time HOME BUYER assistance, households must have incomes at or below 80% of the Mendocino County Median Income adjusted for household size, as reported by the US Department of Housing and Urban Development. The income limits for Mendocino County are included in Attachment C. Family members as determined under our program guidelines include: 1. Unborn children of pregnant women; 2. Children in joint custody arrangements who are present in the household 50% or more of the time; 3. Temporarily absent family members who are still considered family members. For example, 1. a family member who is working in another state on assignment; 2. family members in the hospital or rehabilitation facility for periods of limited or fixed duration. 4. Persons permanently confined to a hospital or nursing home. The family decides if such persons are included or not when determining family size for income limits. If such persons are included, they must not be listed as the head, co-head, or spouse on the lease, but may be listed as other adult family member. If the family chooses to include the permanently confined person as a member of the household, include the income received by these persons in calculating family income. 5. Adult students living away from home. If the adult student is counted as a member of the household for income limits, the first $480 of the student's income must be counted in the family's income. Note, however, that the $480 limit does not apply to a student who is the head of household or spouse (their full income must be counted) 6. Children who are in the process of being adopted. Count adoption assistance Ukiah DAP Guidelines Revised 8.08 Page g payments in excess of $480 per adopted child. Subject to the exemptions allowed in the "Technical Guide for Determining Income and Allowances for the HOME Program, Third Edition, 2005," all persons in residence are considered household members for purposes of income edibility. Family members as determined under our program guidelines exclude: 1. Foster Children 2. Live-in aides and children of Live-in aids 3. Children being pursued for legal custody or adoption who are not currently living with the household. 4. A child who is subject to ashared-custody agreement in which the child resides with the household less than 50% of the time. Calculation of Income. Income is defined as monetary benefits from any source whatsoever, before deductions or exemptions, anticipated to be received during the twelve months following application for a grant. If all or part of income is derived from irregular employment or includes earnings from occasional overtime work, such income received during the preceding twelve months will be used as a basis to anticipate income for the succeeding twelve months. The income of the applicant includes the income of the head of household and any other person or persons who are on title and permanently reside in the same dwelling unit. The household's income includes; Income INCLUSIONS Income is determined at the time of initial occupancy of property or at the time the DAP funds are invested, whichever is the latter. Income is projected for the next 12 months. Sources included as income are derived from 24 CFR 5.609 paragraph (b) of the Code of Federal Regulations (April 1, 2004) and include: a) Income from wages, salaries, tips, etc. The full amount, before any payroll deductions, 01 wages and salaries, overtime pay, commissions, fees, tips and bonuses, and other compensation for personal services. b) Business Income. The net income from the operation of a business or profession. Expenditures for business expansion or amortization of capital indebtedness shall not be used as deductions in determining net income. An allowance for depreciation of assets used in a business or profession may be deducted, based on straight-line depreciation, as provided in Internal Revenue Service regulations. Any withdrawal of cash or assets from the operation of a business or profession will be included in income, except to the extent the withdrawal is reimbursement of cash or assets invested in the operation by the family. c) Interest & Dividend Income. Interest, dividends, and other net income of any kind from real or personal property. Expenditures for amortization of capital indebtedness shall not be used as deductions in determining net income. An allowance for depreciation is permitted only as authorized in number 2 (above). Any withdrawal of cash or assets from an investment will be included in income, except to the extent the withdrawal is reimbursement of cash or assets invested by the family. Where the family has net family assets in excess of $5,000, annual income shall include the greater of the actual income Ukiah DAP Guidelines Revised 8.08 Page derived from all net family assets or a percentage of the value of such assets based on the current passbook savings rate, as determined by HUD. d) Retirement & Insurance Income. The full amount of periodic amounts received from Social Security, annuities, insurance policies, retirement funds, pensions, disability or death benefits, and other similar types of periodic receipts, including slump-sum amount or prospective monthly amounts for the delayed start of a periodic amount (except as provided in number 14 of Income Exclusions). e) Unemployment 8 Disability Income. Payments in lieu of earnings, such as unemployment and disability compensation, worker's compensation, and severance pay (except as provided in number 3 of Income Exclusions). f) Welfare Assistance. Welfare assistance payments made under the Temporary Assistance for Needy Families (TANF) program are included in annual income: • Qualify as assistance under the TANF program definition at 45 CFR 260.31; and • Are otherwise excluded from the calculation of annual income per 24 CFR 5.609(c). If the welfare assistance payment includes an amount specifically designated for shelter and utilities that is subject to adjustment by the welfare assistance agency in accordance with the actual cost of shelter and utilities, the amount of welfare assistance income to be included as income shall consist of: • the amount of the allowance or grant exclusive of the amount specifically designated for shelter or utilities; plus • the maximum amount that the welfare assistance agency could in fact allow the family for shelter and utilities. If the family's welfare assistance is reduced from the standard of need by applying a percentage, the amount calculated under 24 CFR 5.609 shall be the amount resulting from one application of the percentage. g) Alimony, Child Support, & Gift Income. Periodic and determinable allowances, such as alimony and child support payments, and regular contributions or gifts received from organizations or from persons not residing in the dwelling. h) Armed Forces Income. All regular pay, special day and allowances of a member of the Armed Forces (except as provided in number g of Income Exclusions). Adjusted income is derived from HUD or U.S. Census Sources of income derived from 24 CFR 5.609 paragraph (b) of the Code of Federal Regulations (April 1, 2004) exclude: Income EXCLUSIONS a) Income of Children. Income from employment of children (including foster children) under the age of 18 years. b) Foster Care Payments. Payments received for the care of foster children or foster adults (usually persons with disabilities, unrelated to the tenant family, who are unable to live alone). c) Inheritance and Insurance Income. Lump-sum additions to family assets, such as inheritances, insurance payments (including payments under health and accident insurance and worker's compensation), capital gains and settlement for personal or property losses (except as provided in number 5 of Income Inclusions). d) Medical Expense Reimbursements. Amounts received by the family that are specifically for, or in reimbursement of, the cost of medical expenses for any family member. e) Income of Live-in Aides. Income of a live-in aide (as defined in 24 CFR 5.403). Ukiah DAP Guidelines Revised 8.08 Page f) Disabled Persons. Certain increases in income of a disabled member of qualified families residing in HOME-assisted housing or receiving HOME tenant-based rental assistance (24 CFR 5.671(a)). g) Student Financial Aid The full amount of student financial assistance paid directly to the student or to the educational institution. h) Armed Forces Hostile Fire Pay. The special pay to a family member serving in the Armed Forces who is exposed to hostile fire. i) Self-Sufficiency Program Income. a. Amounts received under training programs funded by HUD. b. Amounts received by a person with a disability that are disregarded for a limited time for purposes of Supplemental Security Income eligibility and benefits because they are set aside for use under a Plan to Attain Self-Sufficiency (PASS). c. Amounts received by a participant in other publicly assisted programs that are specifically for, or in reimbursement of, out-of-pocket expenses incurred (special equipment, clothing, transportation, childcare, etc.) and which are made solely to allow participation in a specific program. d. Amounts received under a resident service stipend. A resident service stipend is a modest amount (not to exceed $200 per month) received by a resident for performing a service for the PHA or owner, on a part-time basis, that enhances the quality of life in the development. Such services may include, but are not limited to, fire patrol, hall monitoring, lawn maintenance, resident initiatives coordination, and serving as a member of the PHA's governing board. No resident may receive more than one such stipend during the same period of time. e. Incremental earnings and benefits resulting to any family member from participation in qualifying state or local employment training programs (including training not affiliated with a local government) and training of a family member as resident management staff. Amounts excluded by this provision must be received under employment training programs with clearly defined goals and objectives, and are excluded only for the period during which the family member participates in the employment training program. j) Gifts. Temporary, nonrecurring, or sporadic income (including gifts). k) Reparations. Reparation payments paid by a foreign government pursuant to claims filed under the laws of that government by persons who were persecuted during the Nazi era. I) Income from Full-time Students. Earnings in excess of $480 for each full-time student 18 years old or older (excluding the head of household or spouse). m) Adoption Assistance Payments. Adoption assistance payments in excess of $480 per adopted child. n) Social Security &SSI Income. Deferred periodic amounts from SSI and Social Security benefits that are received in a lump sum amount or in prospective monthly amounts. o) Property Tax RefundsAmounts received by the family in the form of refunds or rebates under state or local law for property taxes paid on the dwelling unit. p) Home Care Assistance. Amounts paid by a state agency to a family with a member who has a developmental disability and is living at home to offset the cost of services and equipment needed to keep this developmentally disabled family member at home. q) Other Federal Exclusions. Amounts specifically excluded by any other federal statute from consideration as income for purposes of determining eligibility or benefits under a category of assistance programs that includes assistance under any program to which the exclusions of 24 CFR 5.609(c) apply, including: • The value of the allotment made under the Food Stamp Act of 1977; Ukiah DAP Guidelines Revised 8.08 Page 12 • Payments received under the Domestic Volunteer Service Act of 1973 (employment through VISTA, Retired Senior Volunteer Program, Foster Grandparents Program, youthful offender incarceration alternatives, senior companions); • Payments received under the Alaskan Native Claims Settlement Act; • Income derived from the disposition of funds to the Grand River Band of Ottawa Indians; • Income derived from certain submarginal land of the United States that is held in trust for certain Indian tribes; • Payments or allowances made under the Department of Health and Human Services' Low-Income Home Energy Assistance Program; • Payments received under the Maine Indian Claims Settlement Act of 1980 (25 U.S.C. 1721); • The first $2,000 of per capita shares received from judgment funds awarded by the Indian Claims Commission or the U.S. Claims Court and the interests of individual Indians in trust or restricted lands, including the first $2,000 per year of income received by individual Indians from funds derived from interests held in such trust or restricted lands; • Amounts of scholarships funded under Title IV of the Higher Education Act of 1965, including awards under the Federal workstudy program or under the Bureau of Indian Affairs student assistance programs; • Payments received from programs funded under Title V of the Older Americans Act of 1985 (Green Thumb, Senior Aides, Older American Community Service Employment Program); • Payments received on or after January 1, 1989, from the Agent Orange Settlement Fund or any other fund established pursuant to the settlement in the In Re Agent Orange product liability litigation, M.D.L. No. 381 (E.D.N.Y.); • Earned income tax credit refund payments received on or after January 1, 1991, including advanced earned income credit payments; • The value of any child care provided or arranged (or any amount received as payment for such care or reimbursement for costs incurred for such care) under the Child Care and Development Block Grant Act of 1990; • Payments received under programs funded in whole or in part under the Job Training Partnership Act (employment and training programs for Native Americans and migrant and seasonal farm workers, Job Corps, veterans employment programs, state job training programs and career intern programs, AmeriCorps); • Payments by the Indian Claims Commission to the Confederated Tribes and Bands of Yakima Indian Nation or the Apache Tribe of Mescalero Reservation; • Allowances, earnings, and payments to AmeriCorps participants under the National and Community Service Act of 1990; • Any allowance paid under the provisions of 38 U.S.C. 1805 to a child suffering from spina bifida who is the child of a Vietnam veteran; • Any amount of crime victim compensation (under the Victims of Crime Act) received through crime victim assistance (or payment or reimbursement of the cost of such assistance) as determined under the Victims of Crime Act because of the commission of a crime against the applicant under the Victims of Crime Act; and Allowances, earnings, and payments to individuals participating in programs Ukiah DAP Guidelines Revised 8.08 Page 13 under the Workforce Investment Act of 1998. VII. TENANTS Tenant-occupied units are not eligible for this program, with the exception of tenants wishing to purchase their single-family unit through the DAP program. This option would only be available if all other qualifications apply (location, condition of property and income). VIII. LEASE OPTIONS Under certain circumstances lease option purchases are allowed under the DAP program. The contract must be entered into within the time frame allowed in the grant, and must close within the allowable time frames. IX. PROPERTY To be eligible for program financing, properties must comply with the following criteria 1. Location Units to be purchased with DAP funds must be located in the incorporated area of the City of Ukiah, excluding portions subject to flooding. The City reserves the option of completing the "eight step" process for areas subject to flooding, converting to exempt status, and including these areas at the discretion of the Community Development Manager. 2. Occupancy This program is for first time homebuyers (see definition). This is for a principal residence, owner occupied. 3. Title Property owners shall hold land in fee title. 4. Condition To qualify, the home must meet local building codes. X. TYPES OF FINANCING AND TERMS Maximum Loan Amount Maximum total assistance with DAP funds will be revised to reflect current market conditions, but cannot exceed forty-nine percent (49%) of the total financing on the property. Total indebtedness against property will not exceed 100% for the entire term of the loan(s). Maximum loan amount for HOME assistance cannot exceed the per-unit dollar limits (221(d) (3) limits), established by HUD under 24 C.F.R. 92.250. Please see Attachment Ukiah DAP Guidelines Revised 8.08 Page ~ 4 C for current HOME-assisted loan limits. For all Deferred Payment Loans (DPLs) A DPL is a loan secured by a deed of trust with no payback required until the borrower sells or transfers title or discontinues residence in the dwelling during the affordability period. When specific circumstances occur, the DPL becomes immediately due and payable. Payments may be made voluntarily on a DPL. Below Markef Interest Rate (BMIR) Loans DPL loans secured by a deed of trust will bear a fixed simple interest rate of Three per cent (3%) per annum on the unpaid principal balance. The term of all loans will be for 30 years unless a longer period is deemed necessary to protect the integrity of the loan. There will be no prepayment penalty. Determining Eligibility Applicants must have incomes below 80% of the median income for Mendocino County adjusted for family size. Affordability is based upon an applicant qualifying for a first mortgage payment typically of no more than 35% of gross income applied to housing costs, unless differing from the requirements of the applicable funding source (this may be reviewed and adjusted on a case by case basis). Housing costs include mortgage payments on the subject property, real estate taxes and insurance (PITT). Determining Loan Amounts DAP loan amount(s) should be decided on the criteria of minimum amount necessary to make the home buying possible. This ensures the maximum number of eligible homebuyers may be assisted through the program. Primary financing must be with a conventional lender and must be for the maximum amount possible. Besides this, the program will have a standard household debUincome ratio maximum of 35% for primary financing, unless differing from the requirements of the applicable funding source (this may be reviewed on a case by case basis. The overall debUincome ratio is not to exceed 50% (this may also be reviewed on a case by case basis and subject to the requirements of the applicable funding source). XI. LOAN DOCUMENTS Examples of all loan documents are to be found in Attachment A. XII. CLOSING COSTS Closing costs incurred during the processing of a loan application will normally be paid by the applicant out of loan proceeds. These costs, which may vary among applications, may include: credit report fee(s), appraisal fee, title insurance fee, escrow fee, pest control report fees, and recording fees and other miscellaneous fees. These may be part of the DAP loan, if allowed Ukiah DAP Guidelines Revised 8.08 Page ~ 5 under the guidelines of the original funding source. However, it is preferred that closing costs be paid from the buyer's contribution to the purchase. XIII. SECURITY Property to be purchased shall act as security for the loan(s). All loans shall be secured by a Promissory Note and Deed of Trust, which shall be recorded. The DAP loan(s) will serve in a junior lien position(s). Lien position of the loan(s) from DAP will depend on the position requirements of the particular funding source. XIV. OCCUPANCY REQUIREMENTS A. Owner-Occupants 1. In the event that an owner-occupant sells, transfers title, or discontinues residence in the rehabilitated property for any reason, the loan is due and payable. 2. If, however, the owner-occupant who qualifies for DAP financing dies, and if the heir to the property lives in the house and is income-eligible, the heir may be permitted, upon approval of the city to assume the loan at the rate and terms he or she qualifies for under current participation guidelines, dependent on whether allowable by the funding source. 3. if the owner-occupant who qualifies for DAP financing dies and the heir is not income-eligible, the loan is due and payable. 4. If the owner-occupant who qualifies for DAP financing dies and the heir is not income-eligible, but he or she chooses to rent the unit to low-income families and agrees to comply with owner-investor restrictions, the heir may be permitted, upon approval of the city to assume the loan at the same rate and terms offered investors under current program guidelines. If the heir does not comply with investor restrictions, the loan is due and payable. 5. If an owner wants to convert the property to any commercial or non-residential use, the loan is due and payable. Verification of owner-occupant status will be required on an annual basis and will require the homebuyer to submit such items as property tax statements showing homeownership exemption and insurance policies. XV. TRANSFER OF TITLE 1. A transfer of title will automatically result in the loan being due and payable except when: a. A transfer where the spouse becomes an owner of the property. b. A transfer resulting from a decree of dissolution of marriage, legal separation agreement, or from an incidental property settlement Ukiah DAP Guidelines Revised 8.08 Page ~ 6 agreement by which the spouse becomes an owner of the property; or c. A transfer into an inter vivos trust in which the homebuyer is and will remain the beneficiary and occupant of the property. XVI. HOUSING COUNSELING Home buyer Education Learning Program (HELP) CDC will provide a series of housing counseling seminars. The program is a HUD-approved seminar consisting of 5 modules. 1. Budgeting for your home purchase 2. Shopping for your home 3. Shopping for your lender 4. Now you are ready to close 5. Haw to care for your home after closing The five modules cover, but are not limited to, the following: preparing for homeownership; available financing and credit analysis; loan closing and homebuyer responsibilities; home maintenance and budgeting for mortgage payments and other expenses; the impact of refinancing on the long-term; and financial health of the homebuyer. A certificate of successful completion of homebuyer education shall be issued to each prospective homeowner 2. Individual Development Accounts Qualified individuals and families who successfully complete HELP may be eligible for up to $15,000 in matching funds. Please contact the CDC office for details. XVII. APPLICANT SELECTION AND LOAN CLOSING A. Loan Committee Purpose The function of the Loan Committee will be to review and act on applications recommended by program staff for financing. The Committee shall review applications in terms of: eligibility, compliance with all program requirements, and consistency of staff recommendations regarding loan terms and type(s) of assistance to be provided. 2. Composition The Committee will consist of two members of the Community Development Commission of Mendocino County Board of Commissioners and the Executive Director of the Community Development Commission of Mendocino County. Ukiah DAP Guidelines Revised 8.08 Page ~ 7 3. Meetings The Loan Committee shall meet periodically to review and act on applications. A quorum shall exist and alf minutes shall be recorded. A quorum is a simple majority of the full committee. 4. Action Action of the Loan Committee shall be by majority vote. B. Application Processing Staff shall gather any necessary financial information to determine applicant eligibility and repayment ability. An application consists of: An application form containing financial and household information regarding the potential homeowners. A form containing necessary income and household information. All applicants over the age of 18 years of age will have their income verified by use of one or more of the following forms. a. Request for Verification of Employment b. Verification of Public Assistance c. Three years Income tax information (1040s, etc.) d. Benefit letters for sources of public assistance or pensions Credit evaluations and income, employment and mortgage verifications as obtained by staff. 4. Preliminary Title Report and Appraisal of current market value will be required. C. Application Selection A Loan Committee Report (LCR) will be prepared for all loan applications determined by staff to be eligible for DAP loan(s). The LCR and the application will be brought before the Loan Committee for approval. General lending criteria that will be used to assist in evaluating the applications of eligible applicants for financial assistance will include: The ability and willingness of an applicant to repay the primary loan. The housing debt/income ratio is not to exceed 35% except on a case-by-case basis, or if differing from the requirements of the applicable funding source. All existing liabilities and new housing payment ratios are not to exceed 50%, except on acase-by-case basis. 2. All recommendations for loans shall be developed by the Community Ukiah DAP Guidelines Revised 8.08 Page 18 Development Manager orhis/her designee(s) and submitted to the Loan Committee. The Community Development Manager's (or designee's) recommendations shall be submitted in written form and shall propose the terms of the loan, interest rate, special conditions, and whether the loan should be approved or denied. All applications shall be submitted for consideration regardless of whether the recommendation is for approval or denial. D. Loan Approval All DAP Loans must be approved by the Loan Committee. In order to obtain DAP financing, applicants must meet all property and income eligibility guidelines and Housing Counseling Programs in effect at the time of loan approval. Applicants will be provided written notification of approval or denial. Reason for denial will be provided to the applicants in writing. An appropriate funding cut off point established for each review period will determine the number of applications that may be approved for funding at that particular time. Qualified applications not selected for funding during one review period will be automatically reconsidered during a subsequent period Loan Closing The Community Development Manager or Staff will provide the execution of all necessary loan documents to submit to the Title Company. F. Appeals Objections by any applicant as to policy, procedures, method of operation or decisions by the Program CDC staff or Loan Committee will be referred to the Executive Director. The Executive Director will schedule a hearing for the applicant and establish hearing procedures. Decisions of the Loan Committee will be based upon its interpretation of the Program Policies and Administrative Procedures. XVIII. INSURANCE A. Hazardlnsurance The borrower shall maintain hazard insurance on the property for the duration of the loan(s). This insurance must be an amount adequate to cover all encumbrances on the property. The insurer must identify the City of Ukiah as Loss Payee for the amount of the loan(s). Proof of insurance shall be provided to the CDC. B. Flood Insurance Properties in Flood Prone areas are not eligible for DAP financing. In the event the property is designated a "flood prone" area after purchase, owners agree to purchase flood insurance. This policy must endorse the City of Ukiah as Ukiah DAP Guidelines Revised 8.08 Page ~ g additional-insured. XIX. DELINQUENCIES, DEFAULTS AND FORECLOSURES A. Policy DAP loans are deferred payment loans. Payments may be made on a voluntary basis, but are not required unless the applicant defaults on the terms of the loan. In those incidences The City of Ukiah acknowledges that circumstances beyond a borrower's control may temporarily limit his/her ability to meet loan terms. The City of Ukiah desires to be flexible enough so that in cases of: death of a family member, loss of job, divorce and major illness loan terms may be modified. While the City of Ukiah, in this policy, outlines a system that can accommodate crises that restrict borrowers' ability to meet loan terms, it should in no way be misunderstood. Loan terms must be fulfilled. The City of Ukiah will pursue all legal means to ensure fulfillment of loan terms. XX. AFTER-PURCHASE PROPERTY MAINTENANCE A. Policy ALL DAP Loans require the borrower: 1. To protect and preserve said property and to maintain it in good condition and repair; 2. Not to remove, demolish or materially alter any building or any improvement thereon. 3. To complete or restore promptly and in good workmanlike manner any building or improvement that may be constructed, damaged or destroyed thereon and pay when due all costs incurred therefore; and to comply with all of the terms of any loan agreement between Trustor and Beneficiary; 4. Not to commit or permit waste of the property; 5. To comply with all laws, covenants, conditions or restrictions affecting the property; 6. To cultivate, irrigate, fertilize, fumigate, prune and do all other acts that from the character or use of said property may be reasonably necessary, the specific enumerations herein not excluding the general. These conditions help assure that the property does not revert to a substandard state. B. Procedure When the City of Ukiah becomes aware that property is not being properly maintained it shall: 1. Provide the borrower in writing: Ukiah DAP Guidelines Revised 8.08 Page 2t) a. a list of needed repairs or maintenance items b. a recommendation as to a solution to the deficiencies c. a request that the repairs be performed within 60 days 2. At the end of the 60-day period, City of Ukiah staff shall inspect the property. If the needed repairs have not been performed, staff shall set an appointment with the borrower to discuss why maintenance has not been performed. 3. Following the visit and inspection, the borrower will be given 60 days to make the necessary repairs. The borrower will be given written notice at the start of this phase that if repairs are not performed within 60 days the borrower will be considered to be in default. 4. If repairs are not performed within 60 days of the notice outlined in Item 3, the City of Ukiah may begin foreclosure proceedings. XXI. REUSE PLAN All repayments of loan principal and interest shall be deposited to separately maintained reuse accounts. Funds in the reuse accounts shall only be used for eligible activities as defined by the original funding source and shall only be used in eligible areas as defined by the original Standard Agreement. Reuse Plans for different funding sources are in Attachment B. XXII. AMENDMENTS Amendments to these Policies and Procedures may be made by the City and will be submitted to the California Department of Housing and Community Development for approval. Where changes in the guidelines would adversely affect program applications already under review, such applications will be evaluated under the guidelines in effect at the time of application. XXIII. RELOCATION POLICY RESIDENTIAL ANTI-DISPLACEMENT AND RELOCATION ASSISTANCE PLAN CITY OF UKIAH The jurisdiction will replace all occupied and vacant occupiable low/moderate-income dwelling units demolished or converted to a use other than as low/moderate-income housing as a direct result of activities assisted with funds provided under the Housing and Community Development Act of 1974, as amended, as described in 24 CFR 470.606 (b) (1) and 24 CFR 92. All replacement housing will be provided within three years of the commencement of the demolition or rehabilitation relating to conversion. Before obligating or expending funds that will directly result in such demolition or conversion, the jurisdiction will make public and submit to the Department the following information in writing: Ukiah DAP Guidelines Revised 8.08 Page 21 1. A description of the proposed assisted activity; 2 The general location on a map and approximate number of dwelling units by size (number of bedrooms) that will be demolished or converted to a use other than as low/moderate-income dwelling units as a direct result of the assisted activity; 3. A time schedule for the commencement and completion of the demolition or conversion; 4. The general location on a map and approximate number of dwelling units by size (number of bedrooms) that will be provided as replacement dwelling units. 5. The source of funding and a time schedule for the provision of replacement dwelling units; S. The basis for concluding that each replacement dwelling unit will remain aloes/moderate- income dwelling unit for at least 5 years from the date of initial occupancy. The jurisdiction will provide relocation assistance to each low/moderate-income household displaced by the demolition of housing or by the conversion of a low/moderate-income dwelling to another use as a direct result of assisted activities. Consistent with the goals and objectives of activities assisted under the Act, the jurisdiction will take the following steps to minimize the displacement of persons from their homes: A. Steps to Minimize or Prevent Displacement 1. Use available funds to provide seed money grants or loans, long-term mortgage loans at favorable rates, or capital grants to tenant groups of multi-family buildings to help them convert to cooperatives. 2. Stage rehabilitation of assisted housing to allow tenants to remain during and after rehabilitation, working with empty building or groups or empty units first so they can be rehabilitated first and tenants moved in before rehab on occupied units or building is begun. 3. Establish temporary relocation facilities in order to house families whose displacement will be of short duration, so they can move back to their neighborhoods after rehabilitation or new construction. 4. Evaluate housing codes and rehabilitation standards in reinvestment areas to prevent their placing undue financial burden on long-established owners or on tenants of multi- family buildings. 5. Provide counseling via Government ornon-profit organizations to assist homeowners and renters to understand the range of assistance that maybe available to help them in staying in the area in the face of revitalization pressures. 6. Shift the concentrated demand generated by intense investment in one or two neighborhoods to other neighborhoods by: (a) targeting public improvements into several other neighborhoods with potential for revitalization; (b) conduction of advertising Ukiah DAP Guidelines Revised 8.08 Page 22 campaigns to attract interest in other neighborhoods. B. Steps to Assist Displaced Persons to Remain in their Present Neighborhood 1. Provide lower-income housing in the neighborhood through HUD housing programs; purchase units as is; rehabilitate vacant units; 2. Give Priority in assisted housing units in the neighborhood to area residents facing displacement. 3. Target Section 8 existing program certificated to households being displaced, and recruit area landlords to participate in the program. 4. Provide counseling and referral services to assist displacees find alternate housing in the neighborhood. 5. Work with area landlords and real estate brokers to locate vacancies for household facing displacement. C. Steps to Otherwise Mitigate Adverse Effects of Displacement 1. Use of public funds, such as CDBG funds, to pay moving costs and provide relocation payments, or require private developers to provide compensation to persons displaced by development activities. 2. Give displacees priority in obtaining subsidized housing units. 3. Provide counseling and referral services to assist displacees to locate elsewhere in the community or metropolitan area. D. Additional Procedures for Acquisition of Single-Family Homes (HOME funds) When the jurisdiction uses HOME funds to obtain asingle-family home, or to provide financial assistance in such a transaction, the URA and its implementing regulations (49 CFR part 24) will be adhered to. Policies and Procedures described in HUD Handbook 1378, Chapters 1 through 6 and Chapter 8 will be implemented, and those specific to the HOME program described on pages 8-17 through 8-23, will be followed. 1. Unit occupied by home owner: The home owner will be notified in writing that the jurisdiction 2. Will not use its power of eminent domain to acquire the property. The homeowner will be informed in writing of the jurisdictions estimate of the fair market value to the property. These notices will be issued at the earliest possible date. 3. Unit occupied by tenant: The homeowner will receive the notifications stated above. In additions, the tenant will be issued a notice at the earliest possible date. The notice will include all information required under URA including a caution not to move prematurely, and information on relocation assistance. Information on comparable replacement units will be provided, as well as material on social services and housing programs. Upon moving, the tenants will be provided with moving expenses and rent differential, (per URA) where CDC Page 23 applicable. A notice informing tenants of the date they will be required to move will be issued. If a unit is vacant at the time of negotiation of sales, or becomes vacant later, any prospective tenant will be notified of the pending sale, informed that they may be required to move, and that they will not be entitled to relocation assistance. The issuing of all notices and the processing of relocation assistance will be the responsibility of the Community Development Commission of Mendocino County. XXIV. AFFIRMATIVE MARKETING/EQUAL OPPORTUNITY Affirmative Action The Downpayment Assistance Program will utilize affirmative marketing procedures. The purpose of these marketing procedures is to attract eligible persons to the program, without regard to race, color, national origin, sex, religion, familial status or disability. To insure that affirmative marketing goals are met, the following are required: 1. Inform the public about federal housing laws by displaying fair housing logo on generated materials, posting fair housing posters in visible public areas in CDC offices and providing fair housing information to all participants at housing counseling sessions. Copies of distributed fair housing materials will be kept in file by the CDC. 2. The CDC will advertise the program via local newspapers and radio when possible. Also, information will be provided to local lenders, realtors, and title companies. 3. Outreach will be done annually to community groups and service organizations with the focus being on groups that serve those who are less likely to access information through the means listed previously (i.e. disabled, developmentally disabled, farmworkers, non-English speaking, etc. ). 4. Those responding to marketing efforts requiring special accommodations will be accommodated whenever possible (i.e. counseling with translators for non-English speakers, counseling with case workers for developmentally disabled, etc.). 5. Records detailing affirmative marketing efforts will be maintained by the CDC. These records will be assessed annually by the CDC and compared to most recent data. If it is found from this review that affirmative marketing efforts are under serving any populations of the City of Ukiah, then procedures will be developed to outreach to those populations. Equal Opportunity The CDC will keep accurate, up-to-date records of the following (as required by 24 CFR 107.30): 1. Race, ethnicity gender disability, and age of the target area residents; 2. The location of housing-related activities; 3. Demographic characteristics of all applicants and those who have been selected; 4. The efforts utilized tc inform and recruit potential applicants; and 5. The criteria for selecting participants. The CDC will keep the following records for the most recent five year period, as required by 24 CFR CDC Page 24 92.598: 1. Data on applications received from each racial and ethnic group and single-headed households, and on those chosen to participate in or benefit from any program or activity funded in whole or in part with HOME funds or other funding sources; 2. Documentation of actions undertaken to meet the requirements of Section 3, when applicable; 3. Documentation of actions taken to affirmatively market the program; 4. Documentation of actions taken to comply with affirmative action procedures for projects with 5 or more units, when applicable, and 5. Documentation and data on the steps taken to implement the required outreach to MBE/WBEs, including data indicating the racial/ethnic or gender character of each business receiving aHOME-funded contract or subcontract of $25,000 or more; the amount of the contract or subcontract; and documentation of the steps taken to assure that MBE/WBEs are encouraged to obtain or compete for contracts and subcontracts as sources of supplies, equipment, construction and services, when applicable. XXV. INSPECTION PROCEDURES Inspections will be performed by Housing Inspectors of the Community Development Commission of Mendocino County. Housing Inspectors will inspect for the following: 1. Compliance with HQS standards 2. Compliance with local codes 3. Visual assessment for lead-based hazards Housing Inspectors have been trained in housing quality standards and local applicable codes. They have also been certified for conducting visual assessment for lead hazards. Inspections must be performed during the escrow period. All information in the inspection process is documented and provided to the buyer. All remedial actions must be taken and a final inspection with approval must be performed before a loan is approved. All properties eligible for purchase must meet health and safety code requirements at the time of occupancy and no later than six months after transfer of ownership. If the inspector finds that health and safety or code violations still exist, HOME DAP loans will not be provided. CDC Page 25 Page 1 of 1 Cathleen Moller From: Craig Schlatter [schlattc@cdchousing.org] Sent: Sunday, August 03, 2008 3:33 PM To: Cathleen Moller Subject: revised dap guidelines- HOME program Attachments: Ukiah DAP policy and procedure updated 8.08.doc Hi Cathleen, When preparing the City's HOME application for downpayment assistance, I found additional requirements for the DAP guidelines that must be included. Please discard the previously submitted DAP guidelines and use the attached. One note for both sets of guidelines- each of these was approved by the City Council a few years ago. What is being submitted this time are revised versions reflecting recent changes in HOME regulations. i apologize for any inconvenience or confusion caused from submitting the previous DAP guidelines to you. Please let me know if you have any questions. Thanks much, Craig Craig Schlatter Community Development Manager Community Development Commission of Mendocino County 1076 North State Street Ukiah, CA 95482 (707)463-5462 X109 fax:(707j463-4188 schlattc@cdchousinR.orR CONFIDENTIALITY NOTICE: This communication and any documentr, files or previous a-mail messages attached to it, constitute an electronic communication within the scope of the Electronic Communication Privacy Act, 18 USCA 2510. This communication may contain non-public, confidential or legally privileged information intended for the sole use of the designated recipient (s). The unlawful interception, use or disclosure of such information Is strictly prohibited under 16 USCA 2511 and any applicable laws. If you are not the intended recipient or have received this communication in error, please notify the sender immediately by reply a-mail or by telephone at 1.707.4635462 Ext. 109 and delete all copies of this communication, including attachments, without reading them or saving them to disk. Thank you. 8/4/2008 ITEM NO. iig DATE: August 6, 2008 AGENDA SUMMARY REPORT SUBJECT: AWARD OF PROFESSIONAL SERVICES AGREEMENT TO LACO ASSOCIATES IN AN AMOUNT NOT TO EXCEED $9,500 FOR PREPARATION OF BID DOCUMENTS FOR THE ORR STREET BRIDGE DECK REPLACEMENT SUMMARY: Staff requested letter proposals from firms seeking professional engineering services for preparation of bid documents for replacement of the Orr Street bridge deck. Two firms responded with proposals. Staff reviewed the proposals with the consultant selection board and selected LACO Associates for submitting the most responsive proposal. Selection of professional consultants must be made by qualifications, not by fee amount. The other firm which responded was Winzler & Kelly with a proposal amount of $14,600. Funds are included in the Fiscal Year 2008 / 2009 budget as shown on Attachment 1. Staff recommends award of a professional services agreement to LACO Associates for the preparation of bid documents for replacement of the Orr Street bridge deck. RECOMMENDED ACTION: Award a professional services agreement to LACO Associates in an amount not to exceed $9,500 for preparation of bid documents for replacement of the Orr Street bridge deck. ALTERNATIVE COUNCIL POLICY OPTIONS: 1. Select another firm (not recommended). 2. Direct staff to seek other proposals. Citizen Advised: None. Requested by: Tim Eriksen, Director of Public Works /City Engineer Prepared by: Rick Seanor, Deputy Director of Public Works ~~ Coordinated with: Jane Chambers, City Manager Attachments: 1. Fiscal Year 2008 / 2009 budget sheet APPROVED: c CHG.-~~Y Ja Chambers, City Manager RJS'. 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