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HomeMy WebLinkAbout2002-06-17 City Council (6)City of Palo Alto City Manager’s Report TO:HONORABLE CITY COUNCIL 9 FROM:CITY MANAGER DEPARTMENT: PLANNING AND COMMUNITY ENVIRONMENT DATE: SUBJECT: JUNE 17, 2002 CMR:294:02 APPROVAL OF AN AGREEMENT IN THE AMOUNT OF $75,000 WITH THE PALO ALTO HOUSING CORPORATION FOR ADMINISTRATION AND CONSULTING SERVICES FOR THE .BELOW MARKET RATE HOUSING PROGRAM FOR FISCAL YEAR 2002 - 2003 RECOMMENDATION Staff recommends that the City Council: Approve and authorize the Mayor to execute the attached agreement with the Palo Alto Housing Corporation (PAHC) for administration and consulting services for the Below Market Rate (BMR) housing program for fiscal year 2002 - 03; and Authorize the City Manager, or his designee, to administer the provisions of the agreement. B A CKGR OI IND Under contract to the City, PAHC has administered the BMR housing program since its inception in the mid-1970s. The scc~pe of services in the contract includes administering the sales and resales of BMR owner units, monitoring o~cupancy of BMR rental units, advice and consultation to the City regarding negotiations of BMR agreements with developers and special issues related the program as a whole.. PAHC performs most tasks associated with the ongoing operation of. the BMR home ownership and rental components of the program. For the home ownership units, PAHC maintains,, and annually updates, a waiting list of interested potential buyers. Typically, there are over 300 households on the waiting list to buy BMR units. PAHC also coordinates the sale of newly built BMR units and the resale of existing units. These CMR:294:02 Page i of 4 activities include the selection and qualification of the buyer; coordination of the transaction betwe(n the buyer, seller and lender; holding open houses; and informing buyers of the requirements of the deed restrictions. PAHC maintains a database and files on all units and keeps statistics on the number and characteristics of the households served by the program. Periodically, PAHC conducts monitoring of the 151 owner units in the program. Typical ¯ monitoring activities include reviewing assessor’s records to detect transfers in title or ownership and letters to owners to confirm continued residency in the unit. PAHC offers advice and referral to credit counseling services to BMR owners in financial difficulties. When a violation of the deed restrictions is discovered, PAHC undertakes initial attempts to remedy the situation. More complex enforcement matters are referred to the City Attorney for legal action. Over the last two fiscal years, 63 BMR rental units have been completed and occupied in the Stanford West apartments. PAHC has been involved with the rent-up of the BMR units at Stanford West, training the on-site property management personnel and reviewing tenant qualifications. With the occupancy of Stanford West, there are now 101 rental units in the BMR program, located in five different apartment projects. In response to Council policy and direction, small rental and mixed-use projects are being approved and proposed with as few as one BMR rental unit. PAHC’s primary responsibility in the rental program is the determination of the eligibility of applicants and the recertification of existing tenants. The: apartment managers prepare the certification documentation, which is then reviewed and approved by PAHC staff. PAHC. also monitors each complex’s waiting list and tenant selection process. PAHC also provides advice, consulting and special administrative services for the City on issues connected with the negotiation of BMR agreements or unusual problems related to the preservation of units in the BMR program. Special issues where PAHC has had an important role during the last year include the substantial repair assessments at Abitare and Redwoods condominiums and negotiations involving the BMR condominium unit at Ramona Court that is currently undergoing remediation for mold problems. Work on these matters will continue into 2002-03. The BMR program workload for 2002-03 .is expected to be similar to last year. Activity in the rental program is expected to continue at a relatively high level due ongoing requests for training from property management staff at Stanford West and the addition of BMR rentals in small mixed-use projects. Increased efforts at enforcement of occupancy and title rules for the ownership units are resulting in an increase in resales of older BMR owner units. PAHC’s Board of Directors has expressed concem lately about PAHC’s exposure to liability and costly litigation .from the performance of its regular duties administering the sale of BMR units. With the. concurrence of City staff, PAHC is presently investigating the cost and availability of a separate insurance policy specifically covering its scope of services administering the BMR program for the City. Currently, PAHC is insured under a CMR:294:02 Page 2 of 4 single, general commercial liability policy that covers all of its operations. This coverage, while adequate, is structured more towards insuring PAHC’s rental property management operations and its housing development activities, rather than its .unique role administering the BMR program. Staff has agreed to include the reasonable cost of a separate insurance policy as a reimbursable direct cost for this agreement, not to exceed $15,000. Staff will recommend to Council that additional funds be appropriated from the Residential Housing In-Lieu Fund during the mid-year budget adjustment process should the insurance premium cost not be able to be absorbed within thecurrent $75,000 budget, as judged by the rate of expenditures during the first half of .the 2002-03 fiscal year. The amended agreement and budget changes would need to be approved by Council. RESOIIRCE IMPA CT The $75,000 cost of the agreement will be funded from the Residential Housing In-lieu Fund (Residential Fund). PAHC’s services are billed at its staff’s hourly billing rates on a time and material basis plus direct expenses such as printing and mailings. The volume of the workload, particularly the sales of BMR owner units, is difficult to predict. If the full amount of the c.ontract is not expended, the remaining funds are returned to the Residential Fund. This fund has an approximate balance of $1,500,000 as of June 1, 2002. The Residential Fund is composed primarily of fees received from housing developers, in-lieu of the provision of units, pursuant to Program H-20 of the Comprehensive Plan (the authority for the BMR program). POLICY IMPLICATIONS The recommendation in this staff report does not represent any change to City policies. ENV1RONM-ENT A 1, REVIEW The approval of an agreement for administrative and consulting services is not an action subject to environmental review under the California Environmental Quality Act. A TT A CHMF~NTS A. Agreement Between the City of Palo Alto and the Palo Alto Housing Corporation For Below Market Rate Housing Program Administrative Services B.Chart Titled: Below Market Rate (BMR) Program Contract Costs, Services and Accomplishments PREPARED BY: Catherine Siegel, Housing CMR:294:02 Page 3 of 4 DEPARTMENT HEAD REVIEW: Director of Planning and Community Environment EMIL~ HAi~ISON Assistant City Manager co:Palo Alto Housi.ng Corporation CMR:294:02 Page 4 of 4 CONTRACT NO. BETWEEN THE CITY OF PALO ALTO AND PALO ALTO HOUSING CORPORATION FOR BELOW MARKET RATE HOUSING PROGRAM ADMINISTRATIVE SERVICES ATTACHMENT A~ This Contract No. is entered into , 2002, by and between the CITY OF PALO ALTO, a chartered city and a municipal corporation of the State of California ("CITY"), and PALO ALTO HOUSING CORPORATION ("PAHC")("CONTRACTOR"), a California nonprofit corporation; located at 725~ Alma Street, Palo Alto, CA 94301 (Taypayer Identification Number 94-2262155). RECITALS: WHEREAS, CITY desires certain administrative and consulting services ("Services"), in connection with the City’s below market rate housing program as more fully described in Exhibit "A"; and WHEREAS, CITY desires to engage CONTP~ACTOR, including its employees, if any, in providing the Services by reason of its qualifications and experience in performing such Services, and CONTRACTOR has offered to provide the Services on the terms and in the manner set forth herein; NOW, THEREFORE, in consideration of the covenants, terms, conditions, and provisions of this Contract, the parties agreg: SECTION i. TERM i.I This Contract will commence on July i, 2002 and shall end on June 30, 2003. The obligation of CONTRACTOR to perform the Services will commence in accordance with the time schedule set forth in Exhibit "A". Time is of the essence of this Contract. In the event that the Services are not completed within the specified time schedule on account of Contractor’s default, CITY’s City Manager will have the option of extending the time schedule for any period of time. This provision will not preclude the recovery of damages for delay caused by CONTRACTOR. 020612 lh 0091090 SECTION 2. CONTRACTOR QUALIFICATIONS, STATUS, AND DUTIES OF 2.1 CONTRACTOR represents and war~ants that it has the expertise and professional qualifications to furnish or cause to be furnished the Services. CONTRACTOR further represents and warrants that the project director and every individual charged with the performance of the Services under this Contract are duly licensed or certified by the State of California, to the.extent such licensing or certification is required by law to perform the Services. ~ 2.2 In reliance on the representation and warranty set forth in Section 2.1, CITY hires CONTRACTOR to perform, and CONTRACTOR covenants and agrees that it will furnish or cause to be furnished, the Services set forth in the document entitled "Below Market Rate Housing Program, Fiscal Year 2002-2003, Scope of Services" in Exhibit "A". 2.3 CONTRACTOR will assign MARLENE PRENDERGAST, its Executive Director, as the project director to have supervisory responsibility for the performance, progress, and execution of the Services. If circumstances or conditions subsequent to the execution of this Contract cause the substitution of the project director for any reason, the appointment of a substitute project director will be subject to the prior written approval of the project manager. 2.3.1 Not more than forty-nine percent (49%) of the persons serving on the governing board of CONTRACTOR may be interested persons. The term "interested persons" is defined in Section 5227(a) of theCalifornia Corporations Code. 2.4 CONTRACTOR represents and warrants that it will: 2.4.1 " Procure all permits and licenses, .pay all charges and fees, and give all notices which may be necessary and incident to the due and lawful prosecution of the Services; 2.4.2 Keep itself fully informed of all existing and future Federal, State of California, and local laws, ordinances, regulations, orders, and decrees which may affect those engaged or employed under this Contract, any materials used in CONTRACTOR’s performance under this Contract, or the performance of the Services; 2.4.3 At all times observe and comply with, and cause its employees and contractors (.and consultants), if any, who are assigned to the performance of this Contract to observe and comply. with, the laws, ordinances, regulations, orders and decrees mentioned above; and 020612 lh 0091090 2.4.4 Will report immediately to the project manager, in writing, any discrepancy or inconsistency it discovers in the laws, ordinances, regulations, orders, and decrees mentioned above in relation to any plans, drawings, specifications or provisions of this Contract. 2.5 Any reports, information, data or other material given to, or prepared or assembled by, CONTRACTOR or its contractors, if any, under this Contract will become the property of CITY and will not be made available to any individual or organization by CONTRACTOR or its contractors, if any, without the prior written approval of the city manager. 2.6 CONTRACTOR will provide CITY with quarterly reports. With ~ach quarterly billing, CONTRACTOR shall submit a summary char9 of. statistics about sales and resales of BMR ownership units, in a .form approved by CITY, together with information about occupancy of BMR rental units. CONTRACTOR shall also submit a report, describing in narrative form,’other activities undertaken during the report period. 2.7 .If CITY requests additional copies of reports, drawings, specifications or any other material which CONTRACTOR is required to furnish in limited quantities in the performance of the Services, CONTRACTOR will provide such additional copies and CITY will compensate CONTRACTOR for its duplication costs. 2.8 CONTRACTOR will be responsible for employing or engaging all persons necessary to perform the Services. All contractors of CONTRACTOR will be deemed to be directly controlled and supervised by CONTRACTOR, which will be responsible for their performance. If any employee or contractor of CONTRACTOR fails or refuses to carry out the provisions of this Contract or appear~ to be incompetent or to act in a disorderly or improper manner, the employee or contractor will be discharged immediately from further performance under this Contract on demand of the project manager. 2.9 CONTRACTOR shall provide the project manager and others specifically requested by the project manager with free and easy access to all facilities and activities of the programs hereinafter described. The project manager and others specifically requested by the project manager shall coordina.te such access with CONTRACTOR. SECTION 3. DUTIES OF CITY 3.1 CITY will furnish or cause to be furnished the specified services set. forth in Exhibit "A" and such other information regarding its requirements as may be reasonably requested by CONTRACTOR. 020612 lh 0091090 3.2 The city manager will represent CITY for all purposes under this Contract. The Advance Planning Manager is designated as the project manager for the City Manager. The project manager will supervise the performance, progress, and execution of the Services. 3.3 If CITY observes or otherwise becomes aware of any default in the performance of CONTRACTOR, CITY will use reasonable efforts to give written notice thereof to CONTRACTOR in a timely manner. SECTION 4 - COMPENSATION 4.1 In consideration of the full performance of the Servic@s by CONTRACTOR, CITY will pay CONTRACTOR a tota! sum not to exceed Seventy-Fige Thousand Dollars ($75,000), payable within thirty .(30) days of submission by CONTRACTOR of its itemized billings. On the billing form provided by CITY, .CONTRACTORshall submit a bill by the fifth (5th) working day of. each quarter for services provided under this Contract during the preceding quarter. The bill shall specify actual expenditures directly related to this Contract in.accordance with Exhibit "B". SECTION 5.AUDITS 5.1 CONTRACTOR will permit CITY to audit, at any reasonable time during the term of this Contract and for three (3) years thereafter, CONTRACTOR’s records pertaining to matters covered-by this Contract. CONTRACTOR further agrees to maintain and retain such records for at least three (3) years after the expiration or earlier termination of this Contract. SECTION 6.INDEMNITY 6.1 CONTRACTOR agrees to indemnify, defend and hold harmless CITY, its Council members, officers, employees and agents from any and all demands, claims, or liability of any nature, including death or injury to any person, property damage or any other loss, caused by or arising out of CONTRACTOR’s, its officers’, agents’, subcontractors’ or employees’ negligent acts, errors, or omissions, or willful misconduct, or conduct for whichl applicable law may impose strict liability on CONTRACTOR in the performance of or failure to perform its obligations under this Contract. SECTION 7. WAIVERS 7.1 The waiver by either party of any breach or violation of any covenant, term, condition or provision of this Contract, or of the provisions of any ordinance or law, will not be 020612 lh 0091090 4 deemed to be a waiver of any other term, covenant, condition, provisions, ordinance or law, or of any subsequent breach or violation of the same or of any other term, covenant, condition, provision, ordinance or law. The subsequent acceptance by either party of any fee or other money which may become due hereunder will not be deemed to be a waiver of any preceding breach or violation by the other party of any term, covenant, condition or provision of this Contract or of any applicable law or ordinance. 7.2 No payment, partial payment, acceptance, or partial acceptance by CITY will operate as a waiver on the part of CITY of any of its rights under this Contract. SECTION 8. INSURANCE 8.1 CONTRACTOR, at its sole cost and expense, will obtain and maintain, in full force and effect during the term of this Contract, the insurance coverage described in Exhibit "C", insurin~ not only CONTRACTOR and its contractors, if any, but also, with the exception of workers’ compensation, employer’s liability, and professional liability insurance, naming CITY as an additional insured concerning CONTRACTOR’s performance under this Contract. 8.2 All insurance coverage required hereunder will be provided through carriers with Best’s Key Rating Guide ratings of A:VII or higher which are admitted to transact insurance business in the State of California. Any and all contractors of CONTRACTOR retainedto perform Services under this Contract will obtain and maintain, in full force and effect during the term of this Contract, identical insurance coverage, naming CITYas an additional insured under such policies as required above. 8.3 Certificates of such insurance, preferably on the forms provided by CITY, will be filed with CITY concurrently with the execution of this Contract. The certificates will be subject to the approval of CITY’s risk manager and will contain an endorsement stating that the insurance is prlmary coverage and will not be canceled or altered by the insurer except after filing with CITY’s city clerk thirty (30) days’ prior written notice of such cancellation or alteration, and that the City of Palo Alto is named as an additional insured except in policies of workers’ compensation, employer’s liability, and professional liability insurance. Current certificates of such insurance will be kept on file at al! times during the term of this Contract with the city clerk. 8.4 The procuring of such required policy or policies of insurance will not be construed to limit CONTRACTOR’s liability hereunder nor to fulfill the indemnification provisions of this Contract. Notwithstanding the policy or policies of insurance, CONTRACTOR will be obligated for the full and total amount of any 020612 lh 0091090 5 damage, injury, or loss caused by or directly arising as a result of the Services performed under this Contract, including such damage, injury, or loss arising after the Contract is terminated or the term has expired. SECTION 9. WORKERS’ COMPENSATION 9.1 CONTRACTOR, by executing this Contract, certifies that it is aware of the provisions of the Labor Code of the State of California which require every employer to be insured against liability for workers’ compensation or to undertake self-insurance in accordance with the provisions of that Code, and certifies that it will comply with such provisions, as applicable,before commencing the performance of the Services. SECTION i0. SERVICES TERMINATION OR SUSPENSION OF CONTRACT OR i0.i The city manager may suspend the performance of the Services, in. whole or in part, or terminate this Contract, with or without cause, by giving thirty (30) days’ prior written notice thereof, to CONTRACTOR. Upon receipt of such notice, CONTRACTOR will immediately discontinue its performance of the Services. 10.2 CONTRACTOR may terminate this Contract or suspend its performance of the Services by giving thirty (30) days’ prior written notice thereof to: CITY, but only in the event of a substantial failure of performance by CITY or-in the event CITY indefinitely withholds or withdraws its request for the initiation or continuation of the Services to be performed. 10.3 Upon such suspension or termination by CITY, CONTRACTOR will be paid for the Services actually rendered to CITY on or before the effective date of suspension or termination; provided, however, if this Contract is suspended or terminated on account of a default by CONTRACTOR, CITY will be. obligated to compensate CONTRACTOR only for that portion of the Services which are of direct and immediate benefit to CITY, as such determination may be made by the city manager acting in the reasonable exercise of her discretion. 10.4 Upon such suspension or termination, CONTRACTOR will deliver to the city manager immediately any and all copies of studies, sketches, drawings, computations, and other data, whether or not completed, prepared by CONTRACTOR or its contractors, if any, or given to CONTRACTOR .or its contractors, if any, in connection with this Contract. Such materials will become the property of CITY. 020612 lh 0091090 10.5 The failure of CITY to agree with CONTRACTOR’s independent findings, conclusions, or recommendations, if the same are called for under this Contract., on the basis of differences in matters of judgment, will not be construed as a failure on the part of CONTRACTOR to fulfill its obligations under this contract. SECTION ii. ASSIGNMENT ii.i This Contract is for the personal services of CONTRACTOR, therefore, CONTRACTOR will not assign, transfer, convey, or otherwise dispose of this Contract or any right, title or interest in or to the same or any part thereof without the prior written consent of CITY. A consent to one assignment will not be deemed to be a consent to any subsequent assignment. Any assignment made without the approval of the’ city manager will.be void and, at the option of the city manager, this Contract may be terminated. This Contract will not be assignable by operation of law. SECTION 12. NOTICES 12.1 All notices hereunder will be given in writing and mailed, postage prepaid, by certified mail, addressed as follows. To CITY:Office of the City Clerk City of Palo Alto Post Office Box 10250 Palo Alto, CA 94303 With a copy to:Director, Dept. of Planning and Community Environment City of Palo Alto P.O. Box 10250 Palo Alto, CA 94303 To CONTRACTOR: Attention of the project director at the address of CONTRACTOR recited above SECTION 13.CONFLICT OF INTEREST 13.1 In accepting this Contract, CONTRACTOR covenants that it presently has no interest, and will not acquire any interest, direct or indirect, financial or otherwise, which would conflict in any manner or degree with the performance of the Services. 020612 lh 0091090 7 13.2 CONTRACTOR further covenants that, in the performance of this Contract, it will not employ any contractor or person having such an interest. CONTRACTOR certifies that no person who has or will have any financial interest under this Contract is an officer or employee of CITY; this provision will be interpreted in accordance with the applicable provisions of the Palo Alto Municipal Code and the Government Code of the State of California. SECTION 14.NONDISCRIMINATION 14.1 As set forth in the Palo Alto Municipal Code, no discrimination will be made in the employment of any person under this Contract because of the age, race, color, national origin/ ancestry, religion, disability, sexual preference or gender of that person. If the value of this Contract is, or may be, five thousand dollars ($5,000) or more, CONTRACTOR agrees to meet all requirements of the Palo Alto Municipal Code pertaining to nondiscrimination in employment, including completing the requisite form furnished by CITY and set forth in Exhibit "D". 14.2 CONTRACTOR agrees that each contract for services with an independent provider will contain a provision substantially as follows: "[Name of Provider] will provide CONTRACTOR with a certificate stating that [Name of Provider] is currently in compliance with all Federal and State of California laws covering nondiscrimination in employment; that [Name of Provider] will pursue an affirmative course of action as required by the Affirmative Action Guidelines of the City of Palo Alto; and that [Name of Provider] will not discriminate in the employment of any person under this contract because of the age, race, color, national origin, ancestry, religion, disability, sexual preference or gender of such person." 14.3 If CONTRACTOR is found in violation of the nondiscrimination provisions of the State of California Fair Employment Practices Act or similar provisions of Federal law or executive order in the performance of this Contract, it will be in default of this Contract. Thereupon, CITY will have the power to cancel or suspend this Contract, in whole or in part, or to deduct the sum of twenty-five dollars ($25) for each person for each calendar day during which such person was subjected to acts of discrimination, as damages for breach of contract, or both. Only a finding of the State of California Fair Employment Practices 020612 Ih 0091090 Commission or the equivalent federal agency or constitute evidence of a breach of this Contract. officer will SECTION 15. MISCELLANEOUS PROVISIONS 15.1 CONTRACTOR represents and warrants that it has knowledge of the requirements of the Americans with Disabilities Act of 1990, and the Government Code and the Health and Safety Code of the State of California, relating to access to public buildings and accommodations for disabled persons, and relating .to facilities for disabled persons. CONTRACTOR will comply with or ensure by its advicethat compliance with such provisions will be effected in the performance of this Contract. 15.2 This Contract will be governed by the laws of the State of California, excluding its conflicts of law. 15.3 In the event that an action is brought, the parties agree that trial of such action will be vested exclusively in the state courts of California or in the United States District Court for the Northern District of California in the County of Santa Clara, State of California. 15.4 The prevailing party in any action brought to enforce the provisions of this Contract may recover its reasonable costs and attorneys’ fees expended in.connection with that action. 15.5 This document represents the entire and integrated agreement between the parties and supersedes all prior negotia- tions, representations, and contracts, either written or oral. This document may be amended only by a written instrument, which is signed by the parties. 15.6 All provisions of this Contract, whether covenants or conditions, will be deemed to be both covenants and conditions. 15.7 The covenants, terms, conditions and provisions of this Contract will.apply to, and will bind, the heirs, successors, executors, administrators, assignees, and contractors, as the case may be, of the parties. 15.8 If a court of competent jurisdiction finds or rules that any provision of this Contract or any amendment thereto is void or unenforceable, the.unaffected provisions of this Contract and any amendments thereto will remain in full force and effect. 15.9 All exhibits referred to in this. Contract and any addenda, appendices, attachments, and schedules which, from time to time, may be referred to in any duly executed amendment hereto 020612 lh 0091090 9 are by such reference incorporated in this Contract and will¯ be deemed to be a part of this Contract. 15.10 .This Contract may be executed in any number of counterparts, each of which will be an original, but all of which together will constitute one and the same instrument. 15.11 This Contract is subject to the fiscal provisions of the Charter of the City of Palo Alto and the Palo Alto Municipal Code. This Contract will terminate Without any penalty (a) at the end of any fiscal year in the event that funds are not appropriated for the following fiscal year, or (b) at any time within a fiscal year in the event that funds are only appropriated for a portion of the fiscal year and funds for this Contract are no longer available. This Section 15.11 shall takeprecedence in the event of a tonflict with any other covenant, term, condition, or provision of this Contract. // // //¯ // II II II // // // // 020612 lh 0091090 10 IN WITNESS WHEREOF, the parties hereto have by their duly authorized representatives executed this Contract on the date first above written. ATTEST: City Clerk APPROVED AS TO FORM: CITY OF P~LO ALTO Mayor PALO ALTO HOUSING CORPORATION Senior Asst. City Attorney APPROVED: Director of Planning and Community Environment Director of Administrative Services Insurance Review By : Name: Title TitleU Taxpayer Identification No. 94-2262125 (Compliance with Corp. Code § 313 is required if the entity on whose behalf this contract is signed is a corporation. In the alternative, a certified corporate resolution attesting to the signatory .authority of the individuals signing in their respective capacities is acceptable) Attachments EXHIBIT "A" : EXHIBIT "B" : EXHIBIT "C" : EXHIBIT "D" : SCOPE OF SERVICES BUDGET INSURANCE NONDISCRIMINATION COMPLIANCE FORM 0206|2 ~h 0091090 ii CERTIFICATE OF ACKNOWLEDGMENT (Civil .Code ~ 1i89) STATE OF ) ) SS. COUNTY OF ~ ) On I~, ~OO2-- ,2002 before me, the undersigned, a Notary Public ~9~d for said County and State, personally appeared ~ersonally known, to me~ (or proved to m on the basis of satfsf~ctory evidence) to be the person~ whose name(~ is!ar~e subscribed to the within instrument and acknowledged to me that b~she/th~fy executed the same in h~her/t~eir authorized capacity(i~), and that by h~/her/tb~iir signature(s~ on the instrument the person(~, or the entity upon behalf of which the person(~ acted, executed the instrument. WITNESS my hand and official seal. Signature of N~tary Publi~~c 020612 |h 0091090 12 CERTIFICATE OF ACKNOWLEDGMENT (Civil Code S 1189) STATE OF ) COUNTY OF ) On ,2002 before me, the undersigned, a Notary Public in and fo} said County and State, personally appeared personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is!are subscribed to the within instrument and acknowledged to me that he/she/they executedthe same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. WITNESS my hand and official seal. ~ignature of Notary Public 13 020612 lh 0091090 RESOLU;i’ION OF THE BOARDS OF DIRECTORS OF THE PALO ALTO HOUSING CORPORATION. WHEREAS, the Palo Alto Housing Corporation (PAHC) has contract, ed with the City of Palo Alto to administer the Below Market Rate Housing Program (BMR Program) since 1975; and WHEREAS, PAHC intends to execute a contract to continue that service for the Fiscal Year 2002-2003; and NOW, TIi-EREFORE, the Board ofDir.ectors of PAHC resolves as follows: Any corporate officer, including the Executive Vice President/Executive Director in accordance with PAHC Bylaws, may, without further resolution, and notwithstanding the categories established by California Corporations Code Section 5214, execute the CONTRACT BETWEEN THE CITY OF PALO ALTO AND THE PALO ALTO HOUSING CORPORATION FOR BMR HOUSING PROGRAM ADMINISTRATIVE SERVICES. Dated: ~ant Palo Alto Housing Corporation Certified to be a tree copy of the Resolution adopted by the Boards of Directors on June 12, 2002. Paul Garrett Secretary Palo Alto Housing Corporation EXHIBIT B, BELOW MARKET RATE HOUSING PROGRAM FISCAL YEAR 2002 - 2003 BUDGET I. PAHC sha!lp,rovide the services described in Exhibit A - Scope of Services during the term of this contract and City shall reimburse PAHC for the cost of said services based on actual stafftime worked atthe attached hourly billing rates, plus direct costs described below, up to a maximum of $75,000. The source of reimbursement to PAHC shall be from the City’s Residential Housing In- Lieu Fund. II. PAHC may bill City for the fo!lowing: 1. Staff time spent on B1V~ activities at the hourly billing rates shown herein. These hourly billing rates include actual salaries, payroll taxes, benefits, workers .compensation insurance and overhead, as shown in this Exhibit B. 2. Direct costs, as supported by receipts, invoices, etc., which are reasonable and necessary to conduct the activities described in Exhibit A, such as: Liability Insurance Premiums covering BMR pro~am activities, if cost is¯ s eparately stated, not to exceed $ ,15,000 ¯Postage ¯Advertising ¯Conferences and Training ¯Office Supplies . ¯ Outside Services, Consultants including Legal Fees (except that any such services or consultant work exceeding $3,000.00 shall be authorized in advance by C~ty) ¯Printin~drDuplicating ¯ Other necessary direct expenses including expenses necessary to the acquisition and ! or rehabilitation of off-site units and properties provided by developers under the B1VI~ program in-lieu of on-site units H:\DOC\BM.RCON02.WPD EXHIBIT B PAGE 2 BILLING RATES FY2002-03 FORM 410 Certification of Nondiscrimination: As suppliers of goods or services to the City of Palo Alto, the firm and individuals listed below certify that they do not discriminate in employment with regards to age, race, color, religion, sex, national origin, ancestry, disability, or sexual preference; that they are in compliance with all Federal, State and local directives and executive orders regarding nondiscrimination in employment. Palo Alto Housing Corporation Tide of Officer Signing:Executive Vice President Signature: Marlene H. Prendergast H:\DOC\FORM410.WPD ATTACHMENT B 00o -