Contract Request Template (Contracts; IGAs; Leases)
Date Submitted: 03-28-17
Requesting Agency: Office of Economic Development
Division:
§ Name: Susan Liehe
§ Phone: 720-913-1689
§ Email: susan.liehe@denvergov.org
Item Title & Description:
(Do not delete the following instructions)
These appear on the Council meeting agenda. Initially, the requesting agency will enter a 2-3 sentence description. Upon bill filling, the City Attorney’s Office should enter the title above the description (the title should be in bold font).
Both the title and description must be entered between the red “title” and “body” below. Do not at any time delete the red “title” or “body” markers from this template.
title
A resolution approving a proposed Second Amendment and Modification Agreement between the City and County of Denver and Habitat for Humanity of Metro Denver, Inc. for the purpose of amending the City’s collateral for the loan.
Amends a loan agreement with Habitat for Humanity of Metro Denver for Neighborhood Stabilization II Funds from the Department of Housing and Urban Development (HUD) by substituting one affordable housing covenant on a unit located at 2668 South Decatur Street in Council District 7 for one located at 15136 East Andrews Drive in Council District 11. No change to loan amount or duration (OEDEV-GE1A008-02). The last regularly scheduled Council meeting within the 30-day review period is on 5-8-17. The Committee approved filing this resolution by consent on 4-5-17.
body
Affected Council District(s) or citywide? Council Districts 7 & 11
Contract Control Number: OEDEV-GE1A008-02
Vendor/Contractor Name (including any “DBA”): Habitat for Humanity of Metro Denver
Type and Scope of services to be performed: This request is to amend a loan agreement between the Denver Office of Economic Development and Habitat for Humanity of Metro Denver for $1,391,300 in Neighborhood Stabilization II Funds from HUD in order to substitute one affordable housing covenant on a unit at the College View development for one at the Sable Ridge development. The original loan helped to finance 51 units of for-sale housing for 60% AMI households, with a covenant for 20 years, at the Sable Ridge development in Montbello.
In February 2011, OED made a performance loan of $1,391,300 to Habitat for Humanity of Metro Denver to provide 51 for-sale homes affordable to households at the 60% AMI level at their Sable Ridge property in Montbello. The resale price of the homes will be restricted for 20 years and any such resales are restricted to buyers whose income does not exceed 120% of AMI.
Habitat is in the process of closing sales on the few remaining homes in this development, except that one prospective homebuyer recently added a new income-producing household member, thereby bumping the family above the 60% AMI limit in their loan agreement. Habitat’s model is to work with families for months to construct the home as well as to learn how to maintain the house and maintain their finances. Rather than turn this participating family away at the very end of the process, Habitat is requesting to place the City’s covenant on the 51st home at a different Habitat development, in College View - South Platte. HUD has agreed to the substitution.
Location (if applicable):
WBE/MBE/DBE goals that were applied, if applicable (construction, design, Airport concession contracts):
Are WBE/MBE/DBE goals met (if applicable)?
Is the contract new/a renewal/extension or amendment?
Was this contractor selected by competitive process or sole source?
For New contracts
Term of initial contract:
Options for Renewal:
How many renewals (i.e. up to 2 renewals)?
Term of any renewals (i.e. 1 year each):
Cost of initial contract term:
Cost of any renewals:
Total contract value council is approving if all renewals exercised:
For Amendments/Renewals Extensions:
Is this a change to cost/pricing; length of term; terms unrelated to time or price (List all that apply)?
If length changing
What was the length of the term of the original contract?
What is the length of the extension/renewal?
What is the revised total term of the contract?
If cost changing
What was the original value of the entire contract prior to this proposed change?
What is the value of the proposed change?
What is the new/revised total value including change?
If terms changing
Describe the change and the reason for it (i.e. compliance with state law, different way of doing business etc.)
This request is to amend a loan agreement between the Denver Office of Economic Development and Habitat for Humanity of Metro Denver for $1,391,300 in Neighborhood Stabilization II Funds from HUD in order to substitute one affordable housing covenant on a unit at the College View development for one at the Sable Ridge development. The original loan helped to finance 51 units of for-sale housing for 60% AMI households, with a covenant for 20 years, at the Sable Ridge development in Montbello.
In February 2011, OED made a performance loan of $1,391,300 to Habitat for Humanity of Metro Denver to provide 51 for-sale homes affordable to households at the 60% AMI level at their Sable Ridge property in Montbello. The resale price of the homes will be restricted for 20 years and any such resales are restricted to buyers whose income does not exceed 120% of AMI.
Habitat is in the process of closing sales on the few remaining homes in this development, except that one prospective homebuyer recently added a new income-producing household member, thereby bumping the family above the 60% AMI limit in their loan agreement. Habitat’s model is to work with families for months to construct the home as well as to learn how to maintain the house and maintain their finances. Rather than turn this participating family away at the very end of the process, Habitat is requesting to place the City’s covenant on the 51st home at a different Habitat development, in College View - South Platte. HUD has agreed to the substitution.