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Home My WebLink About1992-12-15; City Council; Resolution 92-364II e w .k 1 2 3 4 5 RESOLUTION NO. 9 2- 3 6 4 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA, APPROVING A SEPARATION AGREEMENT BETWEEN THE COUNTY OF SAN DIEGO AND THE CITY OF CARLSBAD TO SEPARATE AND TRANSFER $507,451.55 IN COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) LUMP-SUM DRAWDOWN FUNDS FROM THE COUNTY OF SAN DIEGO CDBG LETTER OF CREDIT TO THE CITY OF CARLSBAD CDBG LETTER OF CREDIT 6 7 8 WHEREAS, on September 18, 1984, the City entered into a Cooperation Agreement with the County of San Diego for the period of July 1, 1985 through June 30, 1988, for the purposes 9 // of administering a Commercial/Residential Rehabilitation 10 11 Program under the Community Development Block Grant Urban County Program; and 12 13 WHEREAS, funding for this program was provided by the U. S Department of Housing and Urban Development (HUD) on a "Lump- l4 /) Sum Drawdown" basis; and 15 11 WHEREAS, on September 30, 1989, revised HUD regulations l6 // eliminated Lump-Sum Drawdown Allowability on CDBG projects, 17 18 thereby terminating the City's CDBG Urban County Commercial/Residential Rehabilitation Program; and 19 /I I WHEREAS, City and County staff have developed a 20 21 Separation Agreement that would formally Separate the city from the County with regards to administration of the Urban - 22 23 24 25 26 27 28 County Program, and request that HUD transfer $507,451.55 in unobligated Lump-Sum Drawdown funds from the County's CDBG Letter of Credit to the City's CDBG Letter of Credit. NOW, THEREFORE, BE IT HEREBY RESOLVED, by the City Council of the City of Carlsbad, California, as follows: I1 0 v * 1 2 3 4 5 6 71 1. That the above recitations are true and correct. 2. That the Separation Agreement between the County of San Diego and the City of Carlsbad transferring $507,451.55 of unobligated program funds from the County of San Diego CDBG Letter of Credit to the City of Carlsbad CDBG Letter of Credit, a copy of which is attached as EXHIBIT glA1g and a 9 10 11 12 13 14 15 16 17 18 19 20 21 22 incorporated herein by reference, is hereby approved. 3. That the Mayor of the City of Carlsbad is hereby authorized and directed to execute said Separation Agreement for, and on behalf of the City of Carlsbad. 4. That the fund total of $507,451.55 be re-allocated to the City of Carlsbad CDBG Affordable Housing Reserve Fund (Account No. 391-840-1890-3742). PASSED8 APPROVED8 AND ADOPTED at a regular meeting of the City Council of the City of Carlsbad, California held on the 15th day of December , 1992, by the following vote, to wit: AYES: Council Members Lewis, Stanton, Kulchin, Nygaard and Finnila NOES: kne ABSTAIN: None 23 28 27 26 25 4&, /&?% 24 ATTEST: ALETHA L. RAdTENK11ANZ8 City Clkk (SEAL) W - * EXHIBIT "A" COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM SEPARATION AGREEMENT WITH METROPOLITAN CITY OF CARLSBAD This agreement entered into between the City of Carlsbac (hereinafter referred to as ttCitytv) and the County of San Diegcl (hereinafter referred to as ntCountytt) this day of I 1992 D WITNESSETH: WHEREAS, the County of San Diego has entered into contracts with the United States of America through its Department of Housing and Urban Development (HUD) to execute the County's Community Development Block Grant (CDBG) Program under the Housing and Community Development Act of 1974, as amended (hereinafter referred to as "Actt') ; and WHEREAS, on September 18, 1984, the County and the City entered into a Cooperation Agreement for the period of July 1, 1985 through June 30, 1988, in which both parties agreed to cooperate tc undertake or assist in the undertaking of community development and housing assistance; and WHEREAS, the County and the City have previously entered into Implementation Agreements (County Contract NO'S. 15671, 18350, 18542, 20422, 22638, 24439 and 26299) to carry out certain community development activities; and WHEREAS, the City, as of this date, has unexpended and unobligated Community Development Block Grant funds totalling $507,451.55.' This amount consists of $33,000 in Contract No. 15671; $22,000 in Contract No. 18350; $79,189 in Contract No. 18542; $108,862 in Contract No. 20422; $39,423 in Contract No.22638; $50,156 in Contract No. 24439; and $60,000 in Contract No. 26299 and unallocated funds of $114,821.55; and WHEREAS, the County formerly administered the City's Community Development Block Grant Program through June 30, 1988; and WHEREAS, the City became a Metropolitan City under Act on July 1, 1988, and is now a Metropolitan City and administers its own Community Development Block Grant Program; and W w 6 WHEREAS, the City as a Metropolitan City, now desires to be separated from the County's program through the transfer of all obligations and responsibilities from County to City of all unallocated funds from the Urban County's Letter of Credit and future program income derived therefrom in accordance with Section 106 (C) (3) of the Housing and Urban Rural Recovery Act of 1983. IT IS AGREED AS FOLLOWS: 1. Community Development Block Grant funds of $507,451.55, which consists of the unobligated funds within Contract No. 15671; Contract No. 18350; Contract No. 18542; Contract No. 20422; Contract No. 22638; Contract 24439; and Contract No. 26299 and the unallocated funds of $114,821.55 shall be transferred from the County to City. This Agreement shall constitute a request to HUD tc transfer this amount of Community Development Block Grant funds frorr the Urban Countyls Letter of Credit to the City's Letter of Credit as soon as practical by HUD. 2. City, upon transfer of these funds to the City's Letter of Credit by HUD, shall accept all obligations and responsibilities tc HUD for the expenditure of the unobligated funds stated herein. These obligations include, but are not limited to, the Housing and Community Development Act of 1974, (Public Law 93-383) as amended; the Regulations of the Department of Housing and Urban Development relating to Community Development Block Grants (Title 24, Chapter V, Part 570 of the Code of Federal Regulations commencing with Section 570.1) ; and the assurances (HUD Form No. 7068) ; and any audit/monitoring findings and program reporting. 3. City further agrees to carry out all activities formerly agreed to be carried out by the County, as set forth in the above Contract Numbers. Said activities to be carried out with the transferred funds which are the subject of the Separation Agreement. Transferred funds may be reallocated by the City to carry out new eligible activities, in accordance with 570.305 and all other applicable requirements. 4. County agrees that it accepts all obligations and responsibilities to HUD for the expenditures and unliquidated obligations associated with activities listed in the above contracts prior to the effective date of the transfer of funds City. All audit and monitoring findings associated with those expenditures and obligations remain with County. 5. The City is entitled to any unobligated program income which may result from the activities carried out with these transferred funds. w 1 - 6. The City agrees to fully indemnify, defend and save harmless the County against any and all loss, damage, liability, claim, demand, suit or cause of action resulting from injury or harms to any person or property arising out of or in any way connected with the performance of the Agreement, excepting only such injury or harm as may be caused solely and exclusively by the fault or negligence of the County. 7. This Agreement shall not have any force or effect until approved by HUD. IN WITNESS WHEREOF, the parties have executed thiz agreement on the and day first above written. w I w cnr CITY OF CARLSBAD CDBG URBAN COUNTY COMMERCIAL/RESIDENTIAL REHABILITATION PROGRAh SUMMARY OF LOANS Commercial: Retail Shops Shopping Center Restaurant Retail Shop Auto Service Auto Supply OfficelRetail Appraisal Bakery Market/Deli Off ice Liquor Store/Deli Loan E -1 Date of Loan Yrs. @ Percent (' I - 08/25/82 10 @ 12% $ 09/02/82 10 @ 12% s 03/24/83 7 @ 12% $ 08/30/83 10 @ 10% § 0411 2/84 Grant 05/01 184 10 @ 10% 1 0/03/84 10 @ 10% § 1 011 5/84 Grant 1 111 6/84 9 @ 10% $ 0811 2/85 10 @ 10% $ 0811 2/85 10 @ 10% $ 0211 0186 10 @ 10% I Total $2 Loan E Residential: Date of Loan Yrs. @ Percent (i Single Family 06/29/83 15 @ 10% Single Family (Female - Head of Household) 08/04/83 15 @ 10% 9 05/01 184 Deferred Single Family (Elderly) 08/06/83 Deferred Single Family (Disabled) Single Family 04/22/85 15 @ 3% § Single Family (Female - Disabled) 04/01 188 Grant 0611 5/88 15 @ 3% 9 Total 9 December 7, 1992