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HomeMy WebLinkAbout02-305 Resolution No. 02-305 RESOLUTION RATIFYING THE EXECUTION OF A SETTLEMENT AGREEMENT WITH THE UNITED STATES DEPARTMENT OF JUSTICE, THE UNITED STATES DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT AND THE HOPE FAIR HOUSING CENTER BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN, ILLINOIS, that it hereby ratifies and approves the execution of a Settlement Agreement by Corporation Counsel William A. Cogley on behalf of the City of Elgin the United States Department of Justice, United States Department of Housing and Urban Development and the HOPE Fair Housing Center, a copy of which is attached hereto and made a part hereof by reference . s/ Ed Schock Ed Schock, Mayor Presented: September 11, 2002 Adopted: September 11, 2002 Omnibus Vote : Yeas : 6 Nays : 0 Attest : s/ Dolonna Mecum Dolonna Mecum, City Clerk SETTLEMENT AGREEMENT between UNITED STATES DEPARTMENT OF JUSTICE and UNITED STATES DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT and HOPE FAIR HOUSING CENTER and CITY OF ELGIN, ILLINOIS This Consolidated Settlement Agreement (hereinafter referred to as the "Settlement Agreement") is made and entered into this 19th day of August, 2002, by and between the United States Department of Justice (hereinafter referred to as "DOJ"), the United States Department of Housing and Urban Development (hereinafter referred to as "HUD"), the HOPE Fair Housing Center, an Illinois not-for-profit corporation (hereinafter referred to as"HOPE"), the individual Complainants in the Housing Discrimination Complaints listed in Attachment B hereto (hereinafter referred to collectively as the"HOPE Complainants") and the City of Elgin, an Illinois municipal corporation(hereinafter referred to as the"City"). I. Introduction In the fall of 1998 and the spring of 1999, certain Hispanic residents of the City filed seven complaints with HUD concerning alleged violations of the federal Fair Housing Act (hereinafter referred to as the"Initial Complaints"). The Initial Complaints maintained that the City's Department of Code Administration and Development Services was discriminating against Hispanic residents in its enforcement of the City's Property Maintenance Code. The City denied any discrimination and maintained that it uniformly enforced the Building Officials and Code Administrators (`BOCA") International Property Maintenance Code. On September 30, 1999, after extensive discussions, the Initial Complainants, the City and HUD entered into a Conciliation Agreement resolving the Initial Complaints (such Conciliation Agreement between HUD and the City is attached hereto as Attachment A and is hereinafter referred to as the "Conciliation Agreement"). The Conciliation Agreement provided for HUD to monitor whether the City was complying with the terms of the Conciliation Agreement. On August 1, 2000, HUD issued a monitoring report(hereinafter referred to as the "HUD Monitoring Report") concluding that it had reason to believe that the City had violated the Conciliation Agreement in its disparate enforcement of the Property Maintenance Code as to Hispanic residents of Elgin. On August 2, 2000, HOPE, on its own behalf and on behalf of certain additional individuals, filed 18 complaints of discrimination with HUD alleging the City was engaging in disparate treatment of Hispanic residents. Thereafter, HOPE, on behalf of certain additional individuals, filed four additional complaints of discrimination with HUD alleging the City was engaging in disparate treatment of Hispanic residents (such complaint filed by HOPE under Case No. 05-00-1464-8 and the individual complaints listed in Attachment B hereto are hereinafter referred to as the "HOPE Complaints")- —2— On October 2, 2000, the City issued a response to the HUD Monitoring Report. In its response, the City maintained that it had not disparately treated Hispanic residents or violated the Conciliation Agreement or the Fair Housing Act. The City has also denied any unlawful discrimination in response to the HOPE complaints. The Conciliation Agreement required the parties to "endeavor in good faith to resolve informally any differences regarding interpretations of and compliance with this Agreement." Pursuant to that provision, the parties met repeatedly to resolve the issues raised in the monitoring report and the HOPE complaints. On November 15, 2000, HUD withdrew from the negotiations and referred these matters to DOJ for possible litigation. Since the referral, DOJ has been investigating the City's code enforcement practices to determine whether it will initiate a lawsuit. In August, 2001, DOJ and the other parties renewed settlement negotiations to resolve these matters and avoid unnecessary litigation. As a result of these negotiations, the parties have agreed to this Settlement Agreement. II. Scope and Duration of Agreement 2.1 The parties agree that the controversy outlined above should be resolved without judicial action. For the purposes of this Settlement Agreement, "Settled Claims" shall be defined to mean and shall include all claims brought, or which could have been brought by DOJ, HUD, HOPE and/or the HOPE Complainants with respect to or in any way relating to 1) alleged discrimination against Hispanics by the City in the enforcement of the City's Property Maintenance Code, Building Code, Zoning Ordinance, Plumbing Code, Electrical Code, Heating, Ventilating and Air Conditioning Code, One or Two Family Dwelling Code or other City building codes or ordinances as of the date of this Settlement Agreement, and/or 2) the —3— Initial Complaints, the Conciliation Agreement, the HOPE Complaints and any matter set forth in the HUD Monitoring Report. A Settled Claim does not include any housing discrimination complaint filed in federal or state court or before an administrative body, against the City, after the date of this Settlement Agreement, by any person or entity which is not a party to this Settlement Agreement and who does not assert a claim pursuant to Section 17 of this Agreement. This Settlement Agreement resolves fully and finally all Settled Claims. In consideration of the mutual undertakings and benefits in this Settlement Agreement, DOJ, HUD, HOPE, and the HOPE Complainants agree not to sue and agree not to assert or pursue any claims or causes of action against the City of Elgin,its past and present elected officials, appointed officials, officers, employees, attorneys, agents, and all other related persons or parties with respect to all Settled Claims. DOJ, HUD, HOPE and the HOPE Complainants further agree and do hereby waive and release the City of Elgin, its past and present elected officials, appointed officials, officers, employees, attorneys, agents and all other related persons or parties from any and all claims, compensation, damages, attorneys fees or other liability or relief whatsoever relating to or arising from any and all Settled Claims. The scope of this Settlement Agreement is limited to the Settled Claims and does not purport to remedy any other potential violations of the Fair Housing Act or other Federal law. This Settlement Agreement constitutes the entire agreement between the parties with respect to the subject matter hereof. Notwithstanding any other provision to the contrary in this Settlement Agreement, the provisions of this Section 2.1 shall survive the expiration of the term of this Settlement Agreement. -4- 2.2 This Settlement Agreement does not constitute an admission by the City of any violation of the September 30, 1999 Conciliation Agreement, the Fair Housing Act,or any other provision of the law, and the City expressly denies any.such violation. 2.3 The September 30, 1999 Conciliation Agreement is hereby incorporated into this Settlement Agreement and will be extended for a term of 3 years after the date of this Settlement Agreement, after which all of its terms, provisions and obligations shall terminate. In the event of any conflict between the terms, provisions and obligations of the September 30, 1999 Conciliation Agreement and the terms, provisions and obligations of this Settlement Agreement, the terms, provisions and obligations of this Settlement Agreement shall control. 2.4 This Settlement Agreement will remain in effect for a term of 3 years after which, with the exception of Section 2.1 and Section 19, all of its terms, provisions and obligations shall terminate. I1I. Enforcement of the Settlement Agreement 3.1 In the event that DOJ, HUD, and/or HOPE consider any activity, or conduct of the City which occur after the date of this Settlement Agreement to be a violation of this Settlement Agreement or to be grounds for the commencement of any action with respect to housing discrimination in federal or state court or before any administrative body, the parties shall give the City written notice of the substance of the complaint directly or through its counsel prior to the commencement by DOJ, HOPE and/or HUD of any judicial or administrative action. The City will have thirty(30)days after the receipt of the notice to, in good faith, investigate and remedy the alleged deficiency to the satisfaction of DOJ,HOPE, and/or HUD prior to the commencement of any action. This notice provision shall not apply if DOJ, HOPE and/or HUD —5— has reason to believe that a thirty(30)day delay would result in irreparable injury unless immediate action is taken. Nothing in this section shall apply to complaints filed pursuant to 42 U.S.C. § 3610(a)by individuals who are not parties to this Agreement. 3.2 In the event that the parties are unable to resolve the issues regarding an alleged violation of the Settlement Agreement to the satisfaction of the DOJ or IUD, the parties agree that 42 U.S.C. §3610(c) and 3614(b)(2)(A) shall apply to this Settlement Agreement, as if it were a Conciliation Agreement as defined by 42 U.S.C. §3610(b). An alleged violation of this Settlement Agreement shall be addressed pursuant to the aforementioned sections and not as an independent pattern or practice allegation. IV. Amendments to September 30, 1999 Conciliation Agreement 4.1 Paragraph 16 of the Conciliation Agreement is amended as follows: 116. The City of Elgin agrees that, during the term of this Settlement Agreement, the City shall: A. Maintain a log of all interior and exterior inspections of residential property conducted by the City's Property Maintenance Code enforcement officers. The log shall include the date of the inspection, address of the property, name of the owner, name of the occupant or tenant contacted during the inspection,names of all City employees involved in or present during the inspection, the reason for the inspection, whether any code violations were discovered during the inspection or were continuing, and the circumstances that led to the inspection, including the identity of any private citizen, if voluntarily provided after being requested by the City. For the purpose of this provision, the term"exterior inspections" shall mean exterior inspections of residential properties resulting in a code violation being documented by a code enforcement —6— officer or observations of a residential property by a code enforcement officer during which evidence is obtained which is thereafter utilized in an application for an administrative inspection warrant. B. The City agrees that when calculating room dimensions for a residential property to determine the maximum occupancy for a room or a dwelling, the City will create a rough free hand sketch of any rooms measured by a code enforcement officer that includes the numerical dimensions and layout or floor plan of such rooms. Such sketches shall not be required to be to scale. C. In one central file for each individual closed case, the City will retain all documents or records obtained or generated by the processing of that case by the City's Department of Code Administration dealing with enforcement issues in residential properties, including but not limited to: complaint forms; any and all inspectors' notes; warrant requests; warrants; any and all correspondence including violation notices; citations; unit floor plans with dimensions; and any and all case specific information gathered in hard copy form from other city or county departments or files such as zoning or property history information. D. The City shall use its best efforts to comply with the various record keeping requirements of this Settlement Agreement and any occasional and inadvertent failure by the City to comply with these record keeping requirements shall not be considered a violation of the Settlement Agreement or entitle any party to pursue any action based thereon. V. Reporting Requirement 5.1 For the term of this Settlement Agreement, the City agrees to submit the information described in this section to HUD on a quarterly basis. The information will be sent —7— on the 15"i of January, April,July, and October, beginning with the first such date after the date of this Agreement, to: Director, Office of Fair Housing and Equal Opportunity Enforcement Housing and Urban Development, Midwest HUB 77 West Jackson Boulevard Chicago, IL 60604-3507 5.2 For all residential properties inspected pursuant to an administrative inspection warrant in the preceding quarter, the City will provide the address of the property, the name and the address of the owner, the name of any tenant residing in the property if known by the City, the suspected code violation prompting the application for an administrative inspection warrant, the date of the inspection, and whether a notice of the suspected code violation or any other code violations was issued. The City shall have no affirmative obligation to obtain the name of any tenant for the purpose of such report, but will provide the name if known. 5.3 For all residential properties placarded, also known as red tagged, in the preceding quarter, the City will provide the address of the property, the name and address of the owner, the name of any tenant residing in the property if known by the City, the date the property was red tagged and the reason the property was red tagged. The City shall have no affirmative obligation to obtain the name of any tenant for the purpose of such report, but will provide the name if known. 5.4 For all residential properties where rental license revocation notices were issued in the preceding quarter, the City will provide the address of the property, the names and the address of the owner, the name of any tenant residing in the property if known by the City, the date of the notice and the reason for the notice. The City shall have no affirmative obligation to obtain the name of any tenant for the purpose of such report,but will provide the name if known. —8— VI. Warrant Procedures For the term of this Settlement Agreement, the following procedures will remain in effect with respect to administrative inspection warrants: 6.1 All complaints for administrative inspection warrants shall be submitted to the City corporation counsel for review and approval as a prerequisite for submitting an application to the court. Where a warrant authorizing an interior inspection of a dwelling unit is sought, the code enforcement officer shall sufficiently allege factual circumstances demonstrating there is a reasonable basis to believe that the interior of the subject dwelling unit or the use thereof is not in conformity with the City's ordinances or other applicable requirements of law. 6.2 An anonymous complaint of overcrowding, standing alone, shall not be considered sufficient to establish a reasonable basis to justify the issuance of an administrative inspection warrant authorizing an interior inspection of a dwelling unit for an alleged overcrowding violation. The presence of exterior code violations on a property that are not indicative of interior code violations for such a property, standing alone, shall not be sufficient to justify an administrative inspection warrant for the interior inspection of such a property. 6.3 The Department of Code Administration and Development Services has developed and implemented a Standard Operating Procedure which includes provisions that a code enforcement officer will attempt an inspection during the normal business hours of the Department of Code Administration and Development Services prior to applying for an administration inspection warrant which authorizes an interior inspection of a dwelling unit outside normal business hours of the Department of Code Administration and Development Services. Such attempted inspection during normal business hours shall have occurred within —9— thirty(30) days prior to the application for an administrative inspection warrant. Such requirement of an attempted inspection during normal business hours shall not apply when a suspected violation is reasonably believed to present an imminent threat to the health, safety or welfare of the residents of a dwelling unit or the public. The Standard Operating Procedure for obtaining and serving administrative inspection warrants is Attachment C. VII. Code Issues For the term of this Settlement Agreement, the following procedures will remain in effect with respect to specific provisions of the International Building Code 2000 (or any successor), and/or the 1998 International Property Maintenance (IPM) Code(or any successor): 7.1 Room Dimensions—IPM Code § 404.2. The City's Department of Code Administration and Development Services has developed and implemented the following Standard Operating Procedure: When calculating the floor area of a habitable room, any portion of that room having a dimension of less than seven(7) feet shall be considered when calculating the floor area, provided at least two other dimensions of that room exceed seven (7) feet. 7.2 Emergency Escape for Basement Sleeping Rooms—IPM Code § 702.12. The City has obtained a technical advisory opinion from BOCA as to whether: (a) a sleeping room located within a basement in residential and group home occupancies must have in all cases one openable window approved for emergency egress or rescue or whether such a basement sleeping room could instead have access to not less than two approved independent exits, and(b)what constitutes two approved independent exits. Pursuant to this advisory opinion, the City has developed and implemented the following Standard Operating Procedures: Standard Operating Procedure Governing Emergency Escape Requirements in Basement Sleeping Rooms —10— Section 702.12 of the 1998 International Property Maintenance Code requires a basement sleeping room in a residential or group home occupancy to provide either(1) an openable window approved for emergency escape or rescue, or(2) an exterior door approved for emergency escape or rescue. An openable window or exterior door approved for emergency egress or rescue is not required if the sleeping room has access to not less than two approved independent or"remote"exits situated at opposite locations within the basement area. The two approved independent exits must comply with the"remote location"and"length of travel" requirements set forth in Sections 1006.4 and 1006.5 of the BOCA National Building Code/1996. Section 1006.3.1, Exception 3 of the BOCA National Building Code/1996 exempts egress stairways in residential and group home occupancies from its fire resistance requirements. 7.3 Emergency Escqpe Window Sill Height—IPM Code & 702.12 and BOCA Code 1§ 010.4. The City has solicited a technical advisory opinion from BOCA as to whether a .permanently installed concrete step or other permanently installed step or device can be utilized to effectively lower the bottom of the clear opening of an emergency escape or rescue window that is located more than 44 inches above the basement floor. BOCA has also provided technical specification and requirements for constructing any such step or device. (In all instances, a window used for emergency escape and rescue must comply with the minimum required openable area requirements for such a window.) Pursuant to these advisory opinions,the City's Department of Code Administration and Development Services will develop and implement a Standard Operating Procedure. Such Standard Operating Procedure shall include the requirement that any such permanently installed concrete step or other permanently installed device comply with all relevant code requirements, including without limitation, code —11— requirements relating to stairs, landings, and ceiling height. Such Standard Operating Procedure shall also include the requirements that any such permanently installed concrete step or other permanently installed device be designed and constructed such that the installation is permanent and the design and construction thereof will not limit or interfere with the safe operation of a window used for emergency escape and rescue and will not constitute a tripping hazard. 7.4 Ceiling Height. The City has received technical advisory opinions from BOCA regarding the application of the City's Property Maintenance Code's minimum ceiling height requirement. Pursuant to these advisory opinions, the City's Department of Code Administration and Development Services has developed and implemented the following Standard Operating Procedures: A. Standard Operating Procedure for Applying Property Maintenance Code's Minimum Ceiling Height Provisions 1. The Property Maintenance Code requires a minimum ceiling height of seven(7) feet in all habitable spaces, allowing some narrow, limited exceptions under specific circumstances. 2. The first building code adopted by the City mandating a minimum ceiling height requirement was the 1955 National Building Code. That code was adopted by the City on May 9, 1957 and required a minimum ceiling height of seven(7) feet, six (6) inches in all habitable rooms. Every building code and property maintenance code adopted by the City since that time has required a ceiling height of not less than seven(7) feet in all habitable rooms. 3. When applying the Property Maintenance Code's minimum ceiling height provisions, any habitable space, bathroom or toilet room constructed after May 9, 1957 shall be —12— required to have a minimum ceiling height of seven(7) feet in accordance with the Property Maintenance Code,subject to its enumerated exceptions. 4. The application of the Property Maintenance Code's minimum ceiling height provision to habitable spaces constructed before May 9, 1957 constitutes a retroactive application of the Code. Because the Code's requirements are intended to represent the minimum acceptable level of public health and safety, existing structures and premises that are not in compliance with the Code are required to be altered or repaired to meet the Code's minimum requirements. 5. When applying the Property Maintenance Code's minimum ceiling height provision to any habitable space,bathroom or toilet room constructed before May 9, 1957, the code official shall apply a balancing test weighing the benefits accruing to the public health and safety from the application of the minimum ceiling height regulation against the detriment incurred by the property owner in complying with the strict application of the Code. For the purposes of this Standard Operating Procedure, any habitable space, bathroom or toilet room constructed before May 9, 1957 with a ceiling height of not less than six (6) feet, eight(8) inches shall be deemed to satisfy the public health and safety. 7.5 Sloped Ceilings in Bathrooms. The City will implement the following Standard Operating Procedure governing the Property Maintenance Code's minimal ceiling height provisions_ B. Standard Operating Procedure for Sloped Ceilings in Bathrooms 1. Compliance with the Property Maintenance Code's ceiling height provisions is achieved by bathrooms having a sloped ceiling over all or part of the room, with a —13— clear ceiling height of at least 6 feet, 8 inches(2033 mm) over not less than one-third of the floor area,with not less than 6 feet,4 inches (1932 mm)of clear ceiling height over the access to any bathroom fixture. In calculating the floor area of such rooms, only those portions of the floor area with a clear ceiling height of 5 feet(1524 mm) or more shall be included. For the purposes of this subsection,"bathroom fixtures" shall mean toilets, sinks, bathtubs and shower stalls. VIII. Procedures to Distinguish Occupants from Guests or Visitors For the term of this Settlement Agreement,the following procedures will remain in effect with respect to distinguishing occupants from guests or visitors: Standard Operating Procedure for Distinguishing� _Occupants" from Guests or Visitors 8.1 When a person claims he or she is merely a temporary guest or visitor and denies that he or she is an occupant or otherwise permanently resides within a particular dwelling unit, the code enforcement officer shall advise such person that he or she will be allowed seven(7) days to produce documentation to the Department of Code Administration and Development Services reasonably establishing the location of that person's current permanent residence. Acceptable evidence of an individual's current permanent address shall include corroborating information from a driver's license, state issued identification card,voter's registration card, utility billing statements or credit card billing statements. 8.2 Any person living or sleeping in a dwelling unit for more than a single four(4) week period or a total of more than sixty(60)days within a twelve(12)month period is conclusively presumed to be an occupant for the purposes of the City's Property Maintenance Code, notwithstanding any evidence of any other permanent residence. —14— 8.3 The application of the provisions of Sections 8.1 and 8.2 shall be limited solely and only to the issue of determining compliance with the number of persons who may lawfully occupy a dwelling unit pursuant to Section 404.5 of the City's Property Maintenance Code, as amended, and are not intended and shall not be interpreted or construed to authorize or permit any person to occupy a space or area in a dwelling unit which does not otherwise meet the requirements of the City's Property Maintenance Code, other City codes or ordinances or other requirements of law. 8.4 NO TEXT 8.5 The provisions of Sections 8.1 and 8.2 shall not apply to a particular dwelling unit for more than a total of ninety (90) days within a twelve(12)month period or where such circumstance creates an imminent threat to the health and safety of the occupants or surrounding community. 8.6 The application of the provisions of Sections 8.1 and 8.2 shall further be limited to temporary guests or visitors who are customarily and traditionally incident to a single family residence. For the purpose of clarification, and not as a limitation, temporary guests or visitors shall not include any person paying rent to reside within a dwelling unit or any person who has temporarily relocated for seasonal employment. 8.7 When a dwelling unit exceeds its maximum occupancy as defined by the Property Maintenance Code solely because of the presence of an infant under the age of twelve(12) months,the code enforcement official shall advise the occupants of the dwelling unit that they have an automatic right to a compliance extension. Such extension shall be granted, at a minimum,through the point at which the infant reaches the age of twelve(12) months. —15— IX. Rental Residential Property Licensing For the term of this Settlement Agreement, the following procedures will remain in effect with respect to rental residential property licensing: Standard Operating Procedure for Rental Residential Property Licensing 9.1 Not less than seven(7) days nor more than fourteen(14) days prior to the expiration of a 60-day notice to vacate order, notices shall be posted on all entrances to the rental residential property as an additional reminder to the tenants advising them that the sixty(60) day time period for vacating the premises is about to expire and advising them of the date by which they must vacate the subject premises. X. Code Enforcement Procedures For the term of this Settlement Agreement, the following procedures will remain in effect with respect to the code enforcement procedures referred to in this section. 10.1 Should a code enforcement officer obtain information, either directly or indirectly, about a violation which is outside of his or her currently assigned geographic area, the inspector shall forward all pertinent information to the code enforcement supervisor for assignment to the code enforcement officer assigned to the geographic area where the subject dwelling is located. This paragraph shall not prevent a code enforcement officer from being assigned to work in more than one geographic area. 10.2 When a code enforcement officer,or other designated City official,conducts an inspection in response to a citizen complaint, the scope of the inspection will extend only to those parts of the dwelling unit necessary to investigate the allegations in the complaint. Citations and/or violations issued as a result of complaint-based inspections shall be limited to —16— a) violations related to the allegations in the complaint; b) violations that are in plain view and observed by the code enforcement officer during his investigation of the allegations in the complaint; and c) potential conditions that are voluntarily reported by an owner or occupant to the code enforcement officer during an inspection. The bilingual Consent to Inspect form will be amended to include the following: "Additional Conditions Reported by Owner/Occupant "which provision will be initialed by the owner/occupant. 10.3 All final notices to vacate residential properties issued by the Department of Code Enforcement must allow at least 24 hours for vacating the premises unless the City's code enforcement official determines that the code violations cited in the notice create an imminent threat to the health and safety of the occupants or surrounding community. 10.4 The City shall implement a formalized grievance system by which citizens may lodge complaints about the code enforcement process. Information about how to initiate this process shall be communicated to Elgin residents via the code enforcement process, as in Attachment D, which may be amended by the City consistent with this Settlement Agreement. The process shall state that citizens may report complaints of discrimination or unfair treatment to a designated official and shall provide the City's contact number for complaints. Any such complaints will be investigated by the City. The grievance system shall be implemented uniformly, and written records of complaints shall be kept in accordance with the record keeping requirements of this Settlement Agreement. 10.5 Within sixty.(60)days of this Settlement Agreement, the City will develop and implement a standard operating procedure regarding public access to records and information regarding property maintenance code enforcement cases for residential properties maintained by —17— the City of Elgin Department of Code Administration and Department Services. Such procedure will, as reasonably determined by the City, attempt to balance the privacy concerns of individual homeowners and tenants, and the integrity of the City's administrative enforcement proceedings, with the public's right to know as reflected by Illinois Laws, such as the Illinois Freedom of Information Act, which requires the disclosure of public records. Xl. English/Spanish Translations 11.1 Paragraph 7 of the Conciliation Agreement is amended as follows: ¶7. In enforcing the provisions of its Property Maintenance Code and inspecting residents' homes for same, the City agrees that its agents, employees, successors, and all persons in active concert or participation with the City shall: i) Provide written notice of all alleged violations to any person accused of violating the City's Property Maintenance Code, Rental Residential Property Licensing Ordinance, and zoning ordinance; the notices shall inform the person of his or her right to appeal the allegations(including the right to judicial review) and describe the process for making an appeal. Any such notice provided to any person with a recognizable Spanish surname shall contain a statement written in Spanish advising the alleged violator that a City employee is available to translate the contents of City code violation notices pertaining to the City's Property Maintenance Code or related Rental Residential Property Licensing Ordinance or zoning ordinance. A copy of the form notice summarizing the City's Code Enforcement Process is Attachment D. Placards posted on properties in which either the owners or tenants have recognizable Spanish surnames shall be written in both English and Spanish. —18— XII. Bilingual Employees and Liaison Services for Code Enforcement Actions 12.1 The City has created and filled the position of Community Relations/Outreach Coordinator. For the term of this Settlement Agreement the City agrees to continue to maintain such position. Such position will be filled by an employee who is bilingual in English and in Spanish and such position will include the following duties and responsibilities: (1) acting as a liaison between the residents and the code enforcement department with regard to City building or Property Maintenance Code enforcement actions; (2)providing residents with information and options to assist in achieving compliance with the provisions of the City's building or Property Maintenance Code; (3) informing residents of any governmental and private programs that provide technical expertise and/or funding to assist in achieving compliance with the provisions of the City's building or Property Maintenance Code; (4) informing residents of their right to appeal to the Property Maintenance Board of Appeals, if applicable, and with respect to such appeal, advise residents on how to obtain and prepare the information needed either to contest the validity of a notice of violation or to seek relief with respect to the notice and/or compliance; and (5) acting as the City's designated representative to accompany the code enforcement officer at meetings of neighborhood associations and other community groups who request the presence of a code enforcement officer. 12.2 The City has created and filled the position of Bilingual Code Enforcement Technician,whose responsibilities include providing English/Spanish translation services. For the term of this Settlement Agreement, the City will have a Bilingual Code Enforcement Technician (or in exigent circumstance, another bilingual employee or contractor) accompany code enforcement personnel for inspections of residential property when(1) the City has reason —19— to believe that no adult persons present on the property are sufficiently proficient in English either(a)to understand the purpose of the inspection and the right to refuse access, if applicable, or(b)to be able to communicate effectively with code enforcement personnel about the number of persons who should appropriately be considered"occupants"of the premises; and (2) the alleged violations include exceeding the property's maximum occupancy,limitation. If, at any point in the course of any other inspection or attempted inspection, code enforcement personnel become aware that no persons on the premises meet the standard of English proficiency described in Section(1) above, the City will provide bilingual translation services either in person or by telephone in the absence of an imminent threat to the health and safety of the occupants or the surrounding community. The provisions of this paragraph shall not apply to inspections pursuant to the City's Rental Residential Property Licensing Ordinance. XIII. Training 13.1 The City shall require every Code Enforcement Officer to complete a Spanish language training program. Newly hired Code Enforcement Officers shall be required to attend the program within one year of their hire date or whenever the next training session is offered, whichever is first. Current Code Enforcement Officers, who have not had previous equivalent training,must attend the program within one year of the date of this Agreement or whenever the next training is offered, whichever is first. The training program shall be similar to the previous training program conducted by Elgin Community College. The training program shall include material that is directly related to the unique aspects of code enforcement. The training shall also include written material which will serve as reference guides for employees' future use. —20— 13.2 During the term of this Agreement, if the training materials are substantively changed,the City agrees to submit the new training materials to the DOJ for review and approval. Each employee who participates in the training session shall sign a statement acknowledging that he or she has participated in the program, and the City shall maintain records of such participation in accordance with the record-keeping requirements of this Settlement Agreement. XIV. Contract for Fair Housing Services 14.1 Within ninety(90)days of the execution of this Settlement Agreement,the City and HOPE will enter into a contract for HOPE to provide fair housing services for the City. The City will select the specific activities to be undertaken by HOPE from among the following activities: fair housing education, fair housing testing, housing counseling, activities to overcome barriers to fair housing identified in the City's Analysis of Impediments, or other activities subsequently mutually agreed upon by the City and HOPE. 14.2 The precise terms of the City's contract with HOPE shall be as reasonably determined by the City, and will provide, among other matters, that, during the term of the contract, (a)HOPE will comply with all City policies and practices applicable to contractors; (b)HOPE will not file, encourage or participate in the filing of, any legal and/or administrative claims or complaints against the City (except to enforce the terms of any such contract or this Settlement Agreement); (c) HOPE will issue no press releases or public statements about the contract or the actions undertaken pursuant to the contract without the prior written approval of the City; and(d) HOPE will not take any action or make any statement that is intended to —21— disparage the City in any manner. Nothing in this provision will prohibit HOPE from providing information to persons on their rights under the Fair Housing Act. 14.3 The contract will consist of four(4) one(1) year contracts to be entered into in each of the next four(4) years. The contract for the first year will be in the amount of$150,000 with$100,000 to be paid within thirty(30) days of the execution of such agreement between the City and HOPE and$50,000 to be paid over the remaining one year term. The one year contracts for the second, third, and fourth years will each be in the amount of$50,000 to be paid throughout each of such one year contract terms. To the extent permitted by applicable regulations, the City may use Community Development Block Grant(CDBG) funds to pay for such contracts with HOPE. HOPE shall follow such procedures and complete such documentation and perform such other fair housing services as are reasonably required so as to allow the City to use CDBG funds to pay for such contracts with HOPE to the extent permitted by applicable regulations. Such procedures and documentation shall include, but not be limited to,HOPE completing and timely submitting to the City annual CDBG program applications requesting $50,000 in program funds from the City's annual CDBG grant program for fair housing services for the contracts between the City and HOPE. HOPE shall submit such annual CDBG program applications to the City commencing with the 2003-2004 City of Elgin CDBG grant program year. XV. Residential Rehabilitation Program 15.1 The City has amended its Residential Rehabilitation Program, a copy of the current ordinance for such program being set forth in Ordinance No. G65-01 and in Elgin —22— Municipal Code Chapter 2.30. For the term of this Settlement Agreement, the City will continue funding its Residential Rehabilitation Program with CDBG funds in an amount not less than forty percent(40%)of the CDBG Funds received by the City annually for the duration of the Settlement Agreement. The current version of the program provides financial assistance to low and moderate income families in the following manner: 15.2 Owner-Occupied Single-Family Dwelling Rehabilitation Grant Program: Provides one hundred percent(100%) grants for the exterior repair or rehabilitation of single-family dwellings to meet the minimum requirements of the City's Property Maintenance Code. Households meeting certain Section 8 income guidelines are eligible to receive one hundred percent(100%) grants for repairs not exceeding $5,000.00. Households meeting Section 8 low income guidelines may qualify for one hundred percent grants not exceeding $3,750.00 for eligible repairs. All households meeting Section 8 guidelines are eligible to receive$2,500.00 grants for lead-based paint control and abatement. 15.3 Rental Residential Property(One to Four.Dwelling Units) Rehabilitation Loan Program: Provides zero interest, forgivable loans for the exterior repair or rehabilitation of residential properties with one to four dwelling units to meet the minimum requirements of the City's Property Maintenance Code. Households meeting Section 8 guidelines may qualify for forgivable loans not exceeding $5,000.00 for eligible repairs and a$2,500.00 grant for lead-based paint control and abatement. Loans are forgiven after five(5) years provided the applicant retains ownership of the property and continues to satisfy applicable eligibility requirements. 15.4 Handicap Accessibility Program: Provides grants for structural modifications to owner-occupied, single-family dwellings and rental residential property for the purchase and —23— installation of handicap accessibility fixtures for dwelling units occupied by households having one or more mobility-limited disabled individuals. Applicants with household incomes at or below the Section 8 low income guidelines may qualify for a one hundred percent (100%) grant not to exceed$5,000.00 plus a one hundred percent(100°/x) grant toward lead-based paint control and abatement activities not to exceed $2,500.00. 15.5 Emergency Repair Program: Provides grants for the emergency repair of water service lines, sanitary sewer laterals, furnaces, electrical systems and water heaters serving owner-occupied, single-family dwellings. Eligible applicants may apply for a one time, one hundred percent(100%) grant not to exceed$3,000.00 to complete the necessary repairs. 15.6 Lead-Based Paint Control/Abatement Program: Provides zero interest, forgivable loans for the exterior or interior control or abatement of lead-based paint on or within a single-family dwelling or a dwelling unit within a rental residential property occupied by a child that has been identified as having high lead levels in his or her blood by the Kane County Health Department. Applicants seeking loans for the lead-based paint control or abatement on or within owner-occupied, single-family dwellings or rental residential properties may qualify for a zero interest forgivable loan not to exceed $10,000.00. Applicants seeking loans for the lead-based paint control or abatement on or within dwelling units that are not owner-occupied may qualify for a zero interest forgivable loan not to exceed $5,000.00 for each dwelling unit provided the applicant's actual costs incurred in the lead-based paint control or abatement work match or exceed the amount of the loan. Loans are forgiven after five(5)years provided the applicant retains ownership of the property and continues to satisfy applicable eligibility requirements. XVI. Revolving Loan Fund —24— 16.1 For the term of this Settlement Agreement, the City agrees to continue funding as needed a home improvement lending program that is administered by the Neighborhood Housing Services of Elgin(NHS). NHS is chartered through a national, Congressionally-chartered organization, the Neighborhood Reinvestment Corporation. The NHS Home Improvement Fund was established in 1996 through the City's$300,000.00 capitalization. The City contributed an additional $200,000.00 to the NHS Home Improvement Fund in 2000 and has contributed an additional$100,000.00 to the Fund in 2001. The NHS Home Improvement Fund provides forgivable second mortgage loans for home improvement purposes to clients that are not deemed credit worthy by conventional lending institutions. The NHS Home Improvement Fund can be utilized for interior and exterior rehabilitation required to bring a property into compliance with the City's Property Maintenance Code. For the term of this Settlement Agreement, the City agrees to reasonably consider future requests by NHS for recapitalizing the NHS Home Improvement Fund based upon, as reasonably determined by the City, a demonstrated need for recapitalizing such fund and the continuing effectiveness of the subject home improvement lending program. XVII. Claims Procedure In lieu of any other enforcement or legal actions by DOJ, HUD, HOPE, or the HOPE Complainants concerning any aspect of the Settled Claims, the parties agree to the following claims process to determine what compensation, if any, should be paid to Households as hereinafter defined. The parties agree that the claims process described in Section 17 shall be the sole and exclusive remedy for DOJ,HUD, HOPE, and the HOPE Complainants for any and all Settled Claims. —25— 17.1 The term"Household",except as set forth in 17.1(1)herein, refers to all persons residing in a dwelling at the time of the City conduct being challenged, as described in paragraph 17.2 hereof. Households eligible to file a claim for compensation shall be limited to Households which meet the following criteria: (1)the HOPE Complainants listed in Attachment B hereto; or(2)the Household is located in the City, and the national origin of the Household was primarily Hispanic at the time of the City conduct being challenged as defined in paragraph 17.2 hereof, and at any time from October, 1998 through the date of this Settlement Agreement, the dwelling of the Household was the subject of a non-rental license interior inspection by the City's code enforcement department or the Household received a written order from the City directing enforcement of the City's Property Maintenance Code (hereinafter referred to collectively as the"Unidentified Claimants"), but not including the HOPE Complainants listed in Attachment B hereto. 17.2 The following constitutes categories of challenged City conduct eligible for compensation: (a) Each Household, if any, that vacated occupants of the Household from the Household's dwelling in response to a written order from the City that limited occupancy of the Household's dwelling to a level more restrictive than permitted by the City's Property Maintenance Code shall be entitled to receive up to a maximum compensation of$12,500.00. (b) Each Household, if any, that received a written order from the City that limited the occupancy of the Household's dwelling to a level more restrictive than permitted by the City's Property Maintenance Code shall be entitled to receive up to a maximum compensation of$6,250.00. —26— (c) Each Household, if any, that vacated a visitor or guest of the Household from the Household's dwelling in response to a written order from the City which was based on a visitor or guest being improperly considered an occupant 1) where the visitor or guest presented to the City, or offered to present to the City upon request, other permanent address information as described in Section 8 of this Settlement Agreement; 2)where the visitor or guest lived or slept at the dwelling unit for less than all of the time periods presuming occupancy as described in Section 8 of this Settlement Agreement; and 3)where the visitor or guest can present the other permanent address information described in Section 8 for the time in question, shall be entitled to receive up to a maximum compensation of$3,750.00. (d) Each Household, if any, that in response to a written order from the City directing enforcement of the City's Property Maintenance Code, expended money to remedy alleged violations of the City's Property Maintenance Code and such written order was contrary to the actual provisions of such Code shall be entitled to receive up to a maximum compensation of the actual monies expended to remedy the erroneously cited violations of the City's Property Maintenance Code, or$12,500.00, whichever is less. (e) Each Household, if any, that otherwise received a written order from the City directing enforcement of the City's Property Maintenance Code contrary to the provisions of such Code shall be entitled to receive up to a maximum compensation of$5,000.00. (f) Each Household, if any, that received a written order from the City directing enforcement of the City's Property Maintenance Code contrary to the provisions of such Code, as interpreted in Section 7 of this Settlement Agreement, shall be entitled to receive up to a maximum compensation of$2,500.00. —27— (g) Each Household, if any, that was subjected to an interior warrant inspection by the City based upon a standard form warrant 1) where the warrant did not set forth sufficient factual circumstances demonstrating a reasonable basis to believe that a violation of any City ordinance had occurred; 2) where the warrant maintained that voluntary access to the premises had been denied; and 3)where the City did not, in fact, have a reasonable basis for the inspection, shall be entitled to receive up to a maximum compensation of$1,000.00. Any compensation awarded to any Household will be decreased by the extent and seriousness of any violation found by the inspection. The provisions of this paragraph shall not be applicable to any licensing inspection. (h) Each HOPE Complainant Household, if any, that was subjected to an interior inspection by the City based solely upon an anonymous complaint that did not set forth sufficient factual circumstances demonstrating a reasonable basis to believe that the violation alleged by the Complainant existed, and where the City did not, in fact, have a reasonable basis for the inspection shall be entitled to receive up to a maximum compensation of$1,000.00. Any compensation awarded to any Household will be decreased by the extent and seriousness of any violation found by the inspection. (h)(1) Each Unidentified Claimant Household, if any, that was subjected to an interior inspection by the City based solely upon an anonymous complaint that did not set forth sufficient factual circumstances demonstrating a reasonable basis to believe that the violation alleged by the Complainant existed, and where the City did not, in fact, have a reasonable basis for the inspection shall be entitled to receive up to a maximum compensation of —28— $500.00. Any compensation awarded to any Household will be decreased by the extent and seriousness of any violation found by the inspection. (1) Each HOPE Complainant Household, if any, that was subjected to an interior inspection by the City based solely upon exterior code violations that were not indicative of a potential interior code violation for such property, and where the City did not, in fact, have a reasonable basis for the inspection shall be entitled to receive up to a maximum compensation of $1,000.00. Any compensation awarded to any Household will be decreased by the extent and seriousness of any violation found by the inspection. (i)(1) Each Unknown Claimant Household, if any, that was subjected to an interior inspection by the City based solely upon exterior code violations that were not indicative of a potential interior code violation for such property, and where the City did not,in fact, have a reasonable basis for the inspection shall be entitled to receive up to a maximum compensation of$500.00. Any compensation awarded to any Household will be decreased by the extent and seriousness of any violation found by the inspection. (j) Each Household, if any, that was subjected to an interior inspection by the City without a warrant and without the use of bilingual translation assistance or a signed Spanish language consent form for an interior inspection, and where no adult person present on the property was sufficiently proficient in English to understand the purpose of the inspection and the right to refuse access, shall be entitled to receive up to a maximum compensation of $1,000.00. —29— (k) Each Household, if any, that can demonstrate that it was otherwise discriminated against, which discrimination is not otherwise covered by another category in Section 17.2, in the enforcement of the City's Property Maintenance Code or [other building codes] by the City as a result of its Hispanic national origin in violation of the Fair Housing Act shall be entitled to receive up to a maximum compensation of$7,500.00. 17.3 Each Household shall be limited to recover compensation from only one category in Section 17.2. In the event that the total approved claims for the HOPE Complainants exceed the total amount of$100,000, then each approved claim of the HOPE Complainants shall be proportionately reduced such that the total amount of compensation payable to all of the HOPE Complainants does not exceed$100,000. In the event that the total approved claims for the Unidentified Claimants exceed the total amount of$100,000, then each approved claim of the Unidentified Claimants shall be proportionately reduced such that the total amount of compensation payable to all of the Unidentified Claimants does not exceed$100,000. The City shall deposit a total of$200,000 in two (2) City interest bearing accounts (i.e. $100,000 in each of such two(2) City accounts)within thirty(30)days of the execution of this Agreement and provide written proof of such deposit to the parties to this Agreement. Actual payments, if any, will not be made to any HOPE Complainants until after the final resolution of claims has been made for all HOPE Complainants. Actual payments, if any,will not be made to any Unidentified Claimants until after the final resolution of claims has been made for all Unidentified Claimants. If any portion of the funds is not distributed to HOPE Complainants or Unidentified Claimants the City shall make the remaining funds available for grants or forgivable loans through its —30— Residential Rehabilitation Program, the current ordinance for such program being set forth in Ordinance No. G65-01 and in Elgin Municipal Code Chapter 2.30. 17.4 HOPE and the City have agreed that, given their prior identification, the HOPE Complainants' claims will be reviewed pursuant to the time frame set forth in this paragraph. Within sixty(60)days of the execution of this Settlement Agreement HOPE will submit to the City a sworn completed proof of claim form on behalf of each of the HOPE Complainants. Such proof of claim form shall be as set forth in Attachment E hereto. Such written claims for each HOPE Complainant shall identify each category in Section 17.2 for which the subject HOPE Complainant is claimed to be eligible to recover compensation, the specific reasons for being eligible for each such category, and the amount of compensation being claimed for each such category. At this time, HOPE shall also produce to the City with each such claim submitted to the City any materials and documents in its or in the HOPE Complainants' possession or control which supports each such claim. Within sixty(60)days of the date HOPE provides the City with such claims of the HOPE Complainants, the City shall provide HOPE with a disputed list of the HOPE Complainants,which the City maintains are not eligible under the requirements of this Settlement Agreement for any compensation, or which are not entitled to the amount of compensation proposed by HOPE and the reasons for being ineligible for each such category or amount of compensation. At this time, the City shall also produce to HOPE all materials and documents in its possession or control which supports its objections to each disputed claim of the HOPE Complainants. —31— 17.4(A). Within thirty(30)days of the execution of this Settlement Agreement, the City shall mail copies of the notice in Attachment F hereto and the Claim Form in Attachment G hereto to all addresses as previously agreed upon by the parties. 17.5 Within thirty(30)days of the execution of this Settlement Agreement,the City shall publish a notice to Hispanic Households concerning code enforcement in a Spanish-language newspaper with a circulation and readership in the Elgin area. The notice shall be as set forth in Attachment F hereto. DOJ and the City will agree upon the Spanish translation of such notice as well as the Spanish language newspaper in which it will be published. No party to this Settlement Agreement will publish in newspapers or other print media, or encourage any other person or entity to publish Attachment F. 17.6 NO TEXT 17.7 Within sixty(60) days of the publication and mailing of the notice, each person seeking compensation on behalf of a Household pursuant to this Settlement Agreement must submit to DOJ a completed claim form as set forth in Attachment G hereto. 17.8 Within thirty(30)days of the deadline for DOJ's receipt of the claim forms, DOJ will submit to the City copies of the claim forms for any and all Unidentified Claimants who may be eligible to recover compensation. ' 17.9 Within sixty(60) days of the date DOJ provides the City with such initial claim forms for the Unidentified Claimants, the City shall make the City's code department files for each such household available for DOJ at City Hall for DOJ's inspection and DOJ's copying of such records at the expense of DOJ. Alternatively, the City will provide DOJ with copies of such records in its possession through the use of a copy service at the expense of DOJ. Within one —32— hundred twenty(120)days of DOJ's receipt of said documents, DOJ will submit to the City a completed sworn Proof of Claim form on behalf of each and every Unidentified Claimant DOJ is proposing is eligible to recover compensation. Such Proof of Claim form shall be as set forth in Attachment E hereto. At this time, DOJ shall also produce to the City with each such claim submitted to the City any materials and documents in its or the Unidentified Claimant's possession or control with supports each said claim. Within ninety(90) days of the date DOJ provides the City with such proof of claim forms for the Unidentified Claimants, the City shall provide DOJ with a disputed list of the Unidentified Claimants which the City maintains are not eligible under the requirements of this Settlement Agreement for any compensation, or which are not entitled to the amount of compensation proposed by DOJ and the reasons for being ineligible for each such category or amount of compensation. At this time, the City shall also produce to DOJ all materials and documents in its possession or control which supports its objections to each disputed claim of the Unidentified Claimants. 17.10 HOPE, DOJ and the City shall endeavor in good faith to resolve any disputed claims of Households. If they do not resolve their differences and a HOPE Complainant Household desires to further pursue a claim for compensation, a HOPE Complainant Household and HOPE must submit to the City within sixty(60) days after receipt of the City's written response to the claim as described in paragraph 17.4 hereof a written demand to submit the claim to arbitration. If they do not resolve their differences and an Unknown Claimant Household desires to further pursue a claim for compensation, an Unknown Claimant Household and DOJ must submit to the City within sixty (60) days after receipt of the City's written response to the claim as described in paragraph 17.9 hereof a written demand to submit the claim to arbitration. —33— Within sixty(60)days of the City's receipt of such a written demand to submit a claim to arbitration HOPE on behalf of the HOPE Complainants, or DOJ on behalf of the Unidentified Claimants, and the City shall then jointly select an arbitrator to hear the dispute. If necessary, the arbitrator shall be selected pursuant to the rules and procedures of the[AAA or other appropriate dispute resolution organization to be agreed to]. The claim of a Household before the arbitrator shall be limited to and based solely upon the categories in Section 17.2 previously identified in the claimant Household's written claim submitted to the City pursuant to Paragraph 17.4 hereof or Paragraph 17.8 hereof. For each disputed claim, the arbitrator shall be limited solely to the issues of whether or not the claimant Household is an eligible Household as defined in Paragraph 17.1 hereof and whether or not the City conduct complained of is conduct as defined in Paragraph 17.2 hereof. In the event the arbitrator determines that a Household is an eligible Household as defined in Paragraph 17.1 hereof and the City conduct complained of is conduct as defined in Paragraph 17.2 hereof, the arbitrator shall then determine an appropriate amount of compensation for the Household which shall not exceed the maximum compensation provided for in Paragraph 17.2 and/or 17.3 hereof. The claimant Household, and/or HOPE on behalf of a HOPE Complainant Household, and/or DOJ on behalf of an Unknown Claimant Household, shall have the burden of proof on all issues. The standard of proof shall be a preponderance of the evidence. The arbitrator may review documentary evidence submitted by the parties and/or conduct hearings to resolve any claim. The arbitrator's decision shall be final and binding. 17.11 The arbitrator's fee and other costs of the arbitration charged by the arbitration organization shall be paid by the City. Each party shall be responsible for and pay its own attorney's fees unless the claimant Household is the prevailing party in an arbitration in which —34— case the City shall pay the claimant Household's attorney's fees for the arbitration. For the purposes of this Settlement Agreement, a claimant Household shall be considered the"prevailing party"if the amount of compensation awarded to a claimant Household by the arbitrator is in excess of the monetary offer, if any, made by the City to the claimant Household in the City's response provided for in paragraph 17.9 hereof. The amount of such claimant's Household's attorney's fees to be paid by the City shall be limited to the lesser amount of the actual amount of the Household's reasonable attorney's fees for the arbitration or$2,500.00(two thousand five hundred dollars). The reasonableness of the claimant's Household's attorney's fees will, if necessary,be determined by the arbitrator. Except as otherwise specifically provided herein, each party shall be responsible for and pay all its own costs, expenses and fees incurred in connection with the claims process or otherwise. 17.12 For any of the HOPE Complainants to which the City agrees or is ordered by the arbitrator to pay compensation, the City shall deliver to HOPE a check payable to a representative of the Household in the amount agreed to or ordered within thirty (30) days of the parties' resolution of all the HOPE claims by agreement and/or arbitration. For any other Household to which the City agrees or is ordered by the arbitrator to pay compensation, the City shall deliver to DOJ a check payable to a representative of the Household in the amount agreed to or ordered within thirty(30)days of the parties' resolution of all the claims of the Unidentified Claimants by agreement and/or arbitration. Prior to the City making any payment, each member of a subject Household at the time of the City conduct in question who is then 18 years of age or older shall execute a general waiver and release agreement on behalf of themselves in the form as set forth in Attachment H hereto. Such form general waiver and release agreement shall be —35— amended for the HOPE Complainants as is reasonably necessary so as to also include therein all of the named HOPE Complainants and all members of the subject HOPE Complainants' Household for the claim at issue. In the event the City is responsible to pay a claimant Household's reasonable attorney's fees for an arbitration pursuant to paragraph 17.10, the City shall pay such attorney's fees within thirty (30) days of the arbitrator's decision on a disputed claim or within thirty(30) days of the arbitrator's decision on the reasonableness of a claimant Household's attorney's fees,whichever is later. 17.13 In the event that during the remaining term of this Settlement Agreement,DOJ, HUD or HOPE discover or are presented with claims from any persons or entities which allege violations of the Fair Housing Act relating to the City's code enforcement efforts and discriminatory treatment based upon Hispanic national origin, based on facts which occur subsequent to the date of this Settlement Agreement, DOJ, HUD or HOPE shall notify the City in writing of any such claims within thirty (30) days and permit the City not less than thirty(30) days thereafter to respond to such claims prior to proceeding with any enforcement of or making any media disclosures or dissemination with respect to such claims. DOJ, HUD, and HOPE agree that they will advise any such persons or entities of the possibility of resolving their claims through the claims process pursuant to the procedures set forth in Sections 17.8 through 17.12. The City,at its option, may agree to process any such claims pursuant to the procedures and standards set forth herein. In the event that any such person elects to pursue his or her claims pursuant to this process, said person shall sign an Election of Remedies Agreement in which he or she agrees that the remedies provided herein shall be the sole and exclusive remedy available —36— for resolving the claim. Payments for claims made pursuant to this Section 17.13, if any, shall not be included within the total compensation limits provided for in Section 17.3. XVIII. Dispute Resolution 18.1 The parties to this Settlement Agreement shall attempt in good faith to resolve any and all disputes concerning either the interpretation, application of or compliance with any provision in this Settlement Agreement without judicial intervention. No enforcement action may be brought for violations of this Settlement Agreement unless the violations are of a material provision of the Settlement Agreement or, if not material, are shown to be intentional or repeated violations of a non-material provision of the Settlement Agreement. It is agreed that inadvertent violations of the Record Keeping or Reporting provisions of this Settlement Agreement shall not be considered material violations. A violation of this Settlement Agreement by any employee, agent, or officer of the City may be grounds for disciplinary action at the City's discretion pursuant to the City's personnel policies, civil service regulations and/or applicable collective bargaining agreements. XIX. Withdrawal and Dismissal of Pending Housing Discrimination Complaints 19.1 The parties agree that the Housing Discrimination Complaint of the HOPE Fair Housing Center, U.S. Department of Housing and Urban Development, Case No. 05-00-1464-8, the Housing Discrimination Complaint of Alma and Noe Diaz, U.S. Department of Housing and Urban Development Case No. 05-00-1481-8, and the Housing Discrimination Complaints of the HOPE Complainants listed in Attachment B hereto be and are hereby withdrawn and dismissed with prejudice. Notwithstanding any other provision to the contrary in this Settlement —37— Agreement, the provisions of this Section 19 shall survive the expiration of the term of this Settlement Agreement. XX. Joint Press Release 20.1 The parties agree that upon execution of this Settlement Agreement by all of the parties hereto HUD, HOPE and the City shall simultaneously issue the Joint Press Release as set forth in Attachment I hereto. HUD,HOPE and the City further agree that there shall be no other press releases and/or public comments inconsistent with the letter and spirit of Attachment I hereto. XXI. Joint and Collective Work Product 21.1 This Settlement Agreement is and shall be deemed and construed to be a joint and collective work product of the parties hereto, and, as such, this Settlement Agreement shall not be construed against any party as the otherwise purported drafter of same by any court of competent jurisdiction in order to resolve any inconsistency, ambiguity, vagueness or conflict, if any, in the terms and provisions contained herein. XXII. Notices 22.1 All notices shall be required to be in writing and be served on the parties at the addresses following their signatures. The mailing of a notice by registered or certified mail, return receipt requested, or personal delivery by courier service shall be sufficient service. XXIII. Entire Agreement 23.1 This Settlement Agreement contains the entire agreement and understanding of —38— the parties hereto with respect to the subject matters as set forth herein, all prior agreements and understandings have been merged herein and extinguished hereby. This Settlement Agreement may be modified or amended only in writing by way of a written amendment to this Settlement Agreement signed by DOJ, HUD, HOPE, and the City. —39— For the United States: Date: Charla D. Jackson Rigel C. Oliveri Trial Attorneys U.S. Department of Justice Civil Rights Division Housing and Civil Enforcement Section- G St. 950 Pennsylvania Avenue, N.W. Washington, D.C. 20530 Date: Barbara M. Knox Maurice McGough U.S. Department of Housing and Urban Development FHEO Office 77 West Jackson Boulevard Chicago, IL 60604-3507 For HOPE and the HOPE Complainants: Date: Jeffery Taren Kinoy, Taren& Geraghty, P.C. 224 South Michigan Avenue Suite 300 Chicago, IL 60604-5210 (on behalf of HOPE and individual claimants in Attachment B) For the City of Elgin: Date: William A. Cogley Corporation Counsel City of Elgin 150 Dexter Court Elgin, IL 60120-5555 copies of all notices to: Jeffery K. Ross, Esq. Seyfarth Shaw 55 E. Monroe 42nd Floor Chicago, IL 60603 -40- 702settdraft.wpd Huu-1•j-ZbbG 11:�4 VLtI 1 ur J ub 111.t r.✓.L1 N11 For a nite AState . Date: g��q a Charla D.Jackson Rigel C. Oliveri Trial Attorneys U.S. Department of Justice Civil Rights Division Housing and Civil Enforcement Section- G St. 950 Pennsylvania Avenue,N.W. Washington,A.C. 20530 Date: arbara M. KIIOX Maurice McGough U.S. Department of Housing and Urban Development FHEO Office 77 West Jackson Boulevard Chicago,IL 60604-3507 122 PE and the 1-11 Date: � �9O n& eraghty, P.C. Kji Avenue Suite 300 Chicago, CL 60604-52 10 (on behalf of HOPE and individual claimants in Attachment B) For the City of Elgin: Date-, ` William A. �09 Corporation Counsel City of Elgin 150 Dexter Court Elgin,Ih 60120-5555 copies of all notices to: ATTACHMENTS A. September 30, 1999 Conciliation Agreement B. List of HOPE Complainants C. City of Elgin SOP for Obtaining and Serving Administrative Inspection Warrants D. City of Elgin Code Enforcement Process E. Proof of Claim Form F. Public Notice G. Claim Form H. Waiver and Release Agreement I. Joint Press Release 702settdrft.wpd ATTACHMENT A U_S_ DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT Case Nos_ 05-98-1514-8; 05-98-1517; 05-98-1519-8 05-98-1520-8; 05-99-0228-8; 05-99-0394-8; & 05-99-0762-8 42 U.S.C_ Section 804 (b) (Section of Fair Housing Act allegedly violated) CONCILIATION AGREEMENT. between THE UNITED STATES OF AMERICA DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT and JOSE LOPEZ 435 -ADDISON STREET ELGIN, IL 60120 and AGUSTIN & DIANA LOPEZ 439 ADDISON STREET . ELGIN, IL 60120 and ANTONIO & BENITA JAIME 304- NORTH LIBERTY STREET ELGIN, IL 60120 and REYMUNDO CANALES & ANA MARTINEZ 215 HILL AVENUE ELGIN, IL 60120 and MANUEL & MARIA SOTO 766 WING STREET ELGIN, IL 60123 and GENOVEVA REBOLLAR 40 SOUTH UNION STREET ELGIN, IL 60123 and RICARDO & MARIA JIMENEZ 1131 ASH DRIVE APT 3 ELGIN, IL 60120 and CITY OF ELGIN 150 DEXTER COURT ELGIN, IL 60720 Complaints having been filed on October 9, 1998,October 14, 1998,October 20, 1998, November 3, 1998,December 4, 1998, February 3, 1999 and May 14, 1999 under the Federal Fair Housing Law of 1968,as amended, and the matters having been conciliated between the parties hereto, it is agreed that a settlement be entered into.under the following terms and conditions. GENERAL PROVISIONS 1_ The parties acknowledge that this Agreement is a voluntary and full settlement of the disputed complaints. No party has been coerced, intimidated,threatened,or in any way forced to become a party to this Agreement. The parties have read and fully understand the significance of the terms set forth herein. 2. The complainants allege that the City of Elgin("the City"or"Respondent'), through its Department of Code Administration employees,has engaged in a pattern or practice of discrimination on the basis of national origin and/or familial status in violation of the Fair Housing Act,as amended_ In particular, the complainants allege that the City has discriminated against Hispanics in its enforcement of the occupancy provisions of the Property Maintenance Code of the City of Elgin("Housing Code's that restrict the number of people permitted to occupy a dwelling_The City has adopted by reference the provisions of the BOCA National Property Maintenance Code/1996 CTOCA Code") as its property maintenance code. Complainants allege that the City's enforcement adversely affects Hispanic families with children because Hispanics are more likely to have larger families. Complainants further allege that City inspectors enter into homes at unreasonable times demanding access for inspections without seeking permission. Several complainants allege that City inspectors who do not speak Spanish have entered into complainants' homes for inspections without permission from occupants who do not speak fluent English. It is further alleged that the City has discriminated against Hispanics in adopting and enforcing a residential rental licensing ordinance and targeting enforcement of various provisions of the City's Property Maintenance Code, including the occupancy provisions. Specific actions of City inspectors alleged to be discriminatory include entering properties without permission, citing tenants and owners for overcrowding when,according to the BOCA National Property Maintenance Code/1996 Commentary(the"BOCA Commentary'),the units are not overcrowded,and repeatedly inspecting dwellings after the occupants have complied with code violation notices_ The Respondent denies each of the foregoing allegations.The Respondent further denies that the Department of Code Administration has discriminated on the basis of national origin and/or familial status in violation of the Fair Housing Act when enforcing the provisions of the City's Property Maintenance Code and Rental Residential Property Licensing Ordinance_ The Respondent further denies that City inspectors have conducted interior inspections of dwellings without first obtaining consent to do so from the occupants. The Respondent expressly maintains that it has complied with all federal laws and regulations and all other applicable provisions of law. However, the parties desire to avoid further investigation and possible litigation and agree the disputes should be resolved 2 by this Conciliation Agreement. It is understood that this Agreement does not constitute an admission by the Respondent of any violation of the federal Fair Housing Act or any other provision of law. 3. Respondent acknowledges that retaliating against any person because that person has made a complaint,testified, assisted,or participated in any manner in a proceeding under the Fair Housing Act is prohibited under Section 818. 4. For the purpose of this Agreement,the Secretary of the United States Department of Housing and Urban Development shall determine whether the Respondent has complied with the terms of this Conciliation Agreement. Whenever the Secretary has reasonable cause to believe that the Respondent has breached the Conciliation Agreement, the Secretary shall refer the matter to the Attomey General of the United States. Before such referral, the parties shall endeavor in good faith to resolve informally any differences regarding interpretation of and compliance with this Agreement. 5. The Respondent agrees that its agents, employees, successors, and all persons in active concert or participation with respondent will refrain from engaging in any activity or practice,or from maintaining any policy or procedure,that: a) Makes unavailable or denies a dwelling unit to any person because of national origin or familial status; b) Discriminates against any person on the basis of national origin or familial status in the terms,conditions or privileges of the rental or sale of a dwelling or in the provision of services in connection with the rental or sale of a dwelling; c) Makes,prints, or publishes statements with respect to the rental or sale of a dwelling unit that indicates a preference, limitation, or discrimination based on national origin or familial status; or d) Interferes with persons in their exercise of, or on account of their having exercised or enjoyed, or on account of their having-aided other persons in the exercise or enjoyment of rights protected by the Fair Housing Act. GENERAL RELIEF 6. Until such time as the City may elect to amend its ordinances to provide a different standard governing the maximum occupancy limitations for dwelling units, the Respondent agrees that its agents,employees, successors,and all persons in active concert or participation with the City shall not enforce any limitation on the number of persons who may occupy a dwelling that is more restrictive than the standards set forth in Section 405 of the BOCA Code. Respondent agrees that the calculation of the maximum occupancy of a dwelling unit pursuant to Section PM-405 of the BOCA Code will be determined by the 3 BOCA Code analysis examples depicted in Figure PM-405.5(1)and Figure PM-405.5(2) of the BOCA Commentary. 7. In enforcing the provisions of its Property Maintenance Code and inspecting residents' homes for same,the Respondent agrees that its agents,employees, successors, and all persons in active concert or participation with the City shall: a) Not select any dwelling for inspection based on the national origin and/or familial status of its occupants; b) Conduct all inspections in accordance with local,state, and federal law; c) Develop a written permission slip, in both English and Spanish, authorizing interior residential inspections,explaining the resident's rights, and informing the resident of possible follow-up inspections; d) Obtain written permission from residents with recognizable Spanish surnames before conducting an interior residential inspection,except in situations where a warrant has been issued or the resident or owner has scheduled an inspection with the City or the inspection is being conducted as a follow-up to a previously authorized inspection; e) Request the name and address of all persons complaining to the City regarding a possible violation of the City's Property Maintenance Code, although the City may still act on anonymous complaints; f) Not make any residential interior inspection in response to an anonymous complaint unless there is specific evidence which provides a reasonable basis to believe that the City's Property Maintenance Code is being violated; g) Conduct residential interior inspections only within the official duty hours of employees of the Department of Code Administration and Development Services unless a warrant has been issued authorizing an inspection outside the official duty hours or the resident or owner has requested an inspection outside the official-duty hours; h) Not seek to revoke the rental license for a multiple family rental residential property solely because of occupancy violations in a particular unit; and i) Provide written notice of all alleged violations to any person accused of violating the City's Property Maintenance Code or related residential property and zoning codes;the notices shall inform the person of his or her right to appeal the allegations (including any right to judicial review)and describe the process for making an appeal. Any such notice provided to any person with a recognizable Spanish surname shall contain a statement written in Spanish advising the alleged violator that a City employee is available to translate the contents of City code 4 violation notices pertaining to the City's Property Maintenance Code or related rental residential property licensing ordinance or zoning ordinance. 8. For the duration of this Agreement, the City shall notify the United States Department of Housing and Urban Development(HUD) of any proposal it enacts or implements that requires a minimum amount of habitable floor space per person in a dwelling or otherwise restricts the total number of persons who may live in a dwelling based on its size or number of rooms. This notice shall be given at least thirty (30)days prior to enactment or implementation of such changes.Notwithstanding anything to the contrary provided herein, it is agreed and understood that this Agreement is not intended nor shall be construed to prevent or limit the City at any time from amending its existing ordinances regulating the maximum occupancy limitation for dwelling units, its existing property maintenance code, adopting a new property maintenance code or amending or adopting any other additional ordinances in the City's sole discretion, including without limitation, the adoption of the International Code Council's 1998 International Property Maintenance Code as the successor to the BOCA National Property Maintenance Code/1996,provided HUD receives the requisite thirty(30) day notice from the City prior to the enactment of any such ordinance. 9. The City agrees to amend its "Analysis of Impediments to Fair Housing Choice in the City of Elgin,Illinois",by way of addendum,to acknowledge that: several complaints have been filed with HUD by Hispanics alleging discrimination; the cases were settled by way of this conciliation; and the City will strive to overcome the perception that it discriminates against Hispanics by carrying out a program of commitment to fair housing as evidenced by fulfilling the provisions of this Agreement(the provisions to be listed in the addendum) and by incorporating other affirmative actions in this fair housing action plan as appropriate. EDUCATION AND TRAINING 10. Within ninety (90) days after this Agreement has been finalized, the City agrees to provide training on the requirements of the amended Fair Housing Act to all employees with responsibilities that relate to the implementation and enforcement of all zoning,housing, occupancy,or land use regulations. At a minimum,this training shall include the Community Development Manager,all Department of Code Administration and Development Services supervisors, all property maintenance code inspectors, and anyone reviewing or acting upon residential rental license applications. The training shall be conducted by a qualified person or organization selected by the City from the list of HUD- approved trainers appended to this Agreement. If,during the term of this Agreement,there are new hires or reassignments for the above positions,the City agrees that these persons will receive similar training. Provided;however,that any employee with the City's Department of Code Administration and Development Services that previously received the training contemplated in this Paragraph who is later transferred to a different position in that department shall not required to receive any additional training in that regard. Any expenses associated with the training described in this Paragraph shall be borne by the City. 5 All persons attending a training program pursuant to this Paragraph shall have their attendance certified in writing by the person conducting the training. 11. Within thirty(30)days after this Agreement is finalized,Respondent agrees to conduct and complete the following educational program for all employees identified pursuant to Paragraph 10: a) Furnish to each such employee or agent a copy of the Policy Statement . appended to this Agreement which encompasses the elements of Paragraphs 5, 6, and 7 of this Agreement and to inform each such person, in person, of the duties of the City and its employees and agents pursuant to the Policy Statement; and b) Secure a signed statement from each employee or agent indicating that he or she has received,read, and understands the obligations placed upon the City and its employees or agents by the Policy Statement. 12. Respondent agrees that, for the duration of this Agreement,each new employee or agent identified pursuant to Paragraph 10 shall be given a copy of and required to read the Policy Statement, and sign a statement indicating that he or she has received,read, and understands the obligations placed upon the City and its employees or agents by the Policy Statement. Respondent agrees that this will occur within fourteen(14)days after the date -he or she commences an employment or agency relationship with the City. 13. The statements and certifications prescribed by this Agreement shall be maintained in the office of Corporation Counsel at the City of Elgin. 14. The City of Elgin agrees that,within thirty(30) days of the execution of this Agreement, the City will conduct a meeting with the Elgin Board of Realtors explaining the Policy Statement referenced in Paragraph 11 of this Agreement and the City's analysis of maximum occupancy for a dwelling unit. INDIVIDUAL RELIEF 15. The City of Elgin agrees to compensate the individually named complainants who allege to have been harmed by the Respondent's allegedly discriminatory conduct. The City will compensate the named complainants pursuant to individual settlement agreements for each complainant. The terms of this Conciliation Agreement along with the terms of the individual release and settlement agreements shall constitute.full settlement and satisfaction of all the claims and demands by the respective complainants arising out of the respective complaints filed with HUD in Case Nos. 05-98=1514-8;05-98-1517-8; 05-98- 1519-8; 05-98-1520-8; 05-99-0228-8;05-99-0394-8; and 05-99-0762-8. A blank form providing an example of the individual settlements is appended to this Agreement- 6 RECORD KEEPING 16. The City of Elgin agrees that,during the term of this Agreement, the City shall: a) Maintain a log of all interior inspections of residential property conducted by the City's property maintenance code enforcement inspectors. The log shall include the date of the inspection, address of the property,name of the owner, name of the occupant or tenant contacted during the inspection, officials involved in the inspection,the reason for the inspection, whether any code violations were discovered during the inspection, and the circumstances that led to the inspection, including the identity of any private citizen, if voluntarily provided after being requested by the City. b) Retain all property maintenance code inspection reports regarding interior inspections of residential property, irrespective of whether violations were found. c) Retain all documents related to the occupancy of residential dwellings within the City including,but not limited to,notices of violations of city or state codes; internal records of communications between code administration department employees and city officials;correspondence to landlords,residents; owners or managers or residential property; zoning letters; and all records of city council meetings in which topics related to the administration of the City's Property Maintenance Code were discussed. This documentation shall also include inter- office and infra-departmental memoranda, inspector notes,summary reports, records reflecting the institution and payment of fines or citations,legal documents(e.g. summonses and court notices), electronic and computer records,videotapes, audiotapes, and photographs. d) Maintain a written record of all complaints,written or oral, related to the City's inspection of residential property and the manner in which the complaints were addressed or resolved. REPORTING 17. Within ninety(90) days after this Agreement is finalized,the City of Elgin shall submit to HUD copies of all statements and certificates prescribed in Paragraphs 10, 11, and 12.This information shall be sent to: U.S.Department of Housing&Urban Development Barbara Knox, Director, Midwest HUB Office of Fair Housing&Equal Opportunity 77 West Jackson Blvd. Rm 2101 Chicago, IL 60604 7 8. Six(6)months after this Agreement is finalized,and every. six(6)months thereafter for 1 term of this Agreement,the City will submit to HUD a written report consisting of the following: a) Any statements or certificates signed pursuant to Paragraphs 10, 11 and .12 during the preceding six-month period; and b) Notice of the resignation,termination,or hiring of any employee or agent whose responsibilities relate to the enforcement or implementation of zoning, housing,occupancy, or land use ordinances and regulations. 19. During the term of this agreement,upon reasonable notice to counsel for the City of Elgin, - representatives of HUD shall be permitted to inspect and copy all pertinent hal endeavor City of Elgin at any and all reasonable times,provided,however,that HUD to minimize any inconvenience to the City from the inspection of such records. Any documents or other communications subject to the attorney-client privilege are expressly exempted from the requirements of this Paragraph. DURATION OF AGREEMENT 20. The term of this Agreement shall be two (2)years from the date of the signature of HUD HUB Director. 8 �- a j q ? V (Date) C lainant Jose z 9' , (Date) C mmp1 inapt Agustin Lopez {Date) Complain �Di�ana op ez r (Date) Complainant Antonio Jaime ' a*y" (Date) Complainant Beni a Jaime 9— (Date) Co ainant Reyimindo Canales (Date) Complainant Ana Martinez (Date) Complainant Manuel -Soto ✓� �� (Date) Complainant Maria Soto (Date) Complainant Genoveva Rebollar -P n (Date) - Complainant Rica� - (Date) Complainant Maria Jimenez (Date) 4Rende City of Elgin Joyce A_ Parker, City Manager Approved on behalf of the Secretary 06h ate B rbara M. Knox, Director, Midwest HUB KNOW ALL MEN by THESE PRESENT'S that [HUD COMPLAINANT] of (HUD COM- KNO ALL ADDRESS], Illinois for [himself or herself] and [his or her] heirs, executors, and administrators and assigns, and all other related persons sum of 1tDOLeLAR AMOUNT] to as the claimant), for and in consideration ls of the claimant and the City of Elgin n the ($��_00), and the mutual undertakings ConciliationAgreement between the U_S.Department which is acknowledged, do hereby the City of Elgin and the claimant, the receipt of Y Remise, Release and Forever Discharge the CITY OF ELGIN, an Illinois municipal corporation,its past and current officers,agents, and employees and any related persons or entities and their successors ors has or assigns,herom an have all actions,claims, and demands whatsoever which claimant on account of or arising out of U.S. Department of Housing and e dwelling Development t Case No.[CASE NUMBER], as amended, and the inspection PLAINANT'S ADDRESS], Elgin, Illinois by City of Elgin code enforcement officers on or about [DATE OF ALLEGED VIOLATION], and any subsequent dates up to and including the date of this Release. As further consideration for said sum claimant warrants that no promise or agreement not herein expressed has been made to claimant; that in executing this Release or claimant is not relying upon any statement or representation made the City of damages, or its agents or servants concerning the nature, extent and concerning any other thing or matter, but is relying solely upon her own judgment knowledge; that the above mentioned sum received by claimant hat ull settlement claimant tl of legal d satisfaction of all the aforesaid claims and demands whatsoever; and competent to execute this Release; and that before meaning gaanddha scaling executed ed t with full claimant has fully informed herself of its contents and urea g knowledge thereof: It is covenanted and agreed between the claimant and City of Elgin this he City of and settlement is not to be construed as an admission of liability on p art of Elgin and that this release and settlement agreement shall not be used by the claimant or any one on her behalf as a defense or estoppel in any action which is now pending or may be brought later by the City of Elgin against the claimant or this or her]agents and servants. Witness my hand and seal this day of 1999. Claimant Witnessed before me this day of . 1999. Gordon Patterson, HUD Equal Opportunity Specialist City of Elgin Department of Code Administration and Development Services Fair Housing Act policy Statement (Department) ode The City of Elgin and its Department of successors and all pers nss in active concerto or with expressly prohibits its agents,employees, policy or procedure,that_ the Department from engaging in any activity or practice,or from maintaining any p cY P Makes unavailable or denies a dwelling unit to any person because of race, color, religion, sex, • familial status,disability or national origin_ status,or Discriminates against any person on the basis of race,color,religion, ex, famili Orlin the p ovia nnal origin in the terms, conditions or privileges of the rental or sale on a dwelling services in connection with the rental or sale of a dwelling; Makes, prints, or publishes statements with respect to the rental or sale of a dwelling unit that • indicates a preference, limitation, or discrimination based on race, color, religion, sex, familial status, disability or national origin; or Interferes with persons in their exercise n the their having exercised or enjoyed,or njoym nt of rights protected by on account of their having aided other p ersons the Fair Housing Act. When enforcing the provisions of the City of Elgin Property a Maintenance Code, and and inspecting residents' homes for same,the City of Elgin agrees that its agents,employees, concert or participation with the Department shall: Not select any dwelling for inspection based on the race, color, religion, sex, familial_status, disability or national origin of its occupants; Conduct all inspections in accordance with local, state, and federal law; Obtain written permission, utilizing a permission slip written in both English and Spanish, from residents with recognizable Spanish surnames be nbssu d or the resident ornowner has schedule'ctuioan except in situations where a warran inspection with the_City of Elgin; Request the name and address of all persons complaining to the City of Elgin regarding a possible • violation of the City of Elgin's Property Maintenance Code, although the Department may still act on anonymous complaints; Not make any residential interior inspection in response to an.anonymous complaint unless there is specific evidence which provides a reasonable basis to believe that the City of Elgin's Property Maintenance Code is being violated; Conduct residential interior inspections solely within the official duty hours of Department employees • unless a warrant has been-issued authorizing eartme t perform an an outside the official duty hours or the outside the official duty resident or owner has requested that t p hours. property solely Decause of occupancy violations exisung in a pamcuiar unit; at ► Provide written notice of all alleged violations to any person accused of violating the City of Elgin's Property Maintenance Code or related residential property and zoning codes;the notices shall inform the person of his or her right to appeal the allegations (including any right to judicial review) and describe the process for making an appeal. Any such notice provided to any person with a recognizable Spanish surname shall contain a statement written in Spanish advising the alleged violator that a Department employee is available to translate the contents of Department code vio- lation notices pertaining to the City of Elgin's Property Maintenance Code, Rental Residential Property Licensing Ordinance or the Zoning Ordinance. Further,until such time as the City of Elgin may elect to amend its ordinances to provide a different standard governing the maximum occupancy limitations for dwelling units, the City of Elgin agrees that its agents, employees, successors, and all persons in active concert or participation with the Department shall not enforce any limitation on the number of persons who may occupy a dwelling that is more restrictive than the standards set forth in Section PM-405 of the 1996 BOCA National Property Maintenance Code. The Department's. agents, employees, successors, and all persons in active concert or participation with the Department shall calculate the maximum occupancy of a dwelling unit pursuant to Section PM-405 of the 1996 BOCA National.Property Maintenance Code in accordance with the analysis-examples depicted in Figure_PM-405.5(l) and Figure PM-405.5(2) of the Commentary to the 1996 BOCA National Property Maintenance Code. The undersigned employee of the City of Elgin's Department of Code Administration and Development Services(Department)hereby acknowledges receipt of the Department's Fair Housing Act Policy Statement (Policy Statement); that he or she has .read and understands the Policy Statement; and that he or she has been personally advised of both the Department's and his or her duties and obligations with respect to the Policy Statement. Dated: Department Employee's Printed Name: Department Employee's Signature: CHICAGO AREA AGENCIES THAT PROVIDE VARIOUS TYPES OF CIVIL RIGHTS TRAINING HOPE Fair Housing Center Lawyers' Committee for Better Housing,Inc. 2100 Manchester Road Bldg B 111070 407 S.Dearborn Street Suite 1075 Wheaton,IL 60187 Chicago,II, Bernie Kleina,Executive Director Yvonne Murray,Executive Director (630)690-6500 Phone (312)347-7600 Phone (630) 690-6586 Fax (312)347-7604 Fax Interfaith Housing Center ACCESS Living 620 Lincoln Avenue 310 South Peoria Winnetka,IL 60093 Chicago,IL Gail Schecter,Executive Director Marca Bristo,Executive Director (847)501-5760 Phone (312)226-5900 Phone (847)501-5722 Fax (312)226-2030 Fax Leadership Council Illinois Department of Human Rights 111 W. Jackson Blvd. 12"'FL 100 W.Randolph Street Chicago,IL 60604-3502 Chicago,IL Aurie Pennick,President Carlos J.Salazar,Executive Director (312)341-5678 Phone (312)814-6239 Phone (312)341-1958 Fax (312)814-1436 Fax The John Marshall Law School Mayor's Office for People with Disabilities Fair Housing Legal Support Center 2102 W.Ogden Avenue 315 South Plymouth Court Chicago,H, Chicago,IL 60604 Paul Plantz,Project Manager Bill Caruso,Co-Executive Director (312)744-7209 Phone (312)987-2397 Phone (312)744-3314 Fax (312) 427-9438 Fax South Suburban Housing Center - 18220 Harwood Avenue Suite 1 Homewood,IL 60430 John Petruszak,Executive Director (708) 9574674 Phone (708)9574761 Fax Chicago Lawyers' Committee for Civil Rights Under Law,Inc. 100 North LaSalle Street Suite 750 Chicago,IL Clyde E.Murphy,Executive Director (312) 630-9744 Phone (312) 630-1127 Fax PERMISSION TO PERFORM INTERIOR INSPECTION OF DWELLING TO VERIFY COMPLIANCE WITH CITY OF ELGIN ORDINANCES Property Address: Section PM-105.3,Section 1.16.010 and Section 6.37.110 of the Elgin Municipal Code authorize City of Elgin code enforcement officers to enter dwellings at reasonable times to inspect the premises for the enforcement of city ordinances.If entry is refused,the code enforcement officer is authorized to apply to the court for an administrative search warrant authorizing an interior inspection of the dwelling. The undersigned owner or occupant of the dwelling referenced above has read and understands the content of this notice and voluntarily consents to an interior inspection of the dwelling by City of Elgin code enforcement officers for the purpose of verifying compliance with the City of Elgin ordinances and also consents to any follow-up inspections that may be conducted by the code enforcement officers to confirm any code violations identified during the initial inspection have been corrected. Owner or Occupant of Dwelling Dated: 1999 ATTACHMENT B CASE NO. COMPLAINANT(S) PROPERTY ADDRESS 05-00-1465-8 Jose Juan Arteaga 224 N. Gifford 05-01-0075-8 Leonel and Rebecca Bravo 25 N. Aldine 05-00-1476-8 Dale Brevik 74 S. Crystal 261 Franklin 05-00-1572-8 Juan and Ofelia Delgado 256 N. Gifford 258 N. Gifford 702 Raymond 259 Cherry 05-00-1489-8 Victor Duron 320 Percy#4 05-01-0235-8 Guadalupe Fernandez 893 Elizabeth St. 05-00-1490-8 Wendell Funderburg 116-118 Center 05-00-1494-8 Juventino Guzman 559 Prospect 05-00-1456-8 James Kawa 230& 232 N. Gifford 05-00-1469-8 Maria Lara 264 N. Liberty 05-01-0367-8 Marco Lopez 406 Addison 05-00-1457-8 Ramona Miller 6 National St. 05-01-0976-8 Rudolfo Moreno and Angelica Bahena 754 W.Chicago St. 05-00-1237-8 Sylvia Quintero 652 Linden Avenue 05-00-1467-8 Sabrina M.Roman 652 N. Liberty 05-00-1460-8 Marvin and Betty Sue Sloan 642 E. Chicago 05-01-1173-8 Ernesto and Beatriz Tapia 467 Jefferson 05-00-1466-8 Hortensia and Margarito Velasquez 320 Percy 255 Center 10-12 Geneva 05-00-1468-8 Maria Velasquez 320 Percy#2 05-00-1458-8 Jose Zaragoza 161 Ann 163 Ann ATTACHMENT C STANDARD OPERATING PROCEDURE FOR OBTAINING AND SERVING ADMINISTRATIVE INSPECTION WARRANTS The Elgin Municipal Code authorizes code enforcement officers to enter both residential and commercial premises at a reasonable time to perform code inspections. The property owner,however,has the right to demand that the code enforcement officer first obtain a search warrant. The U.S.Supreme Court,in Camara v.Municipal Court of the City and County of San Francisco, 387 U.S.523, 87 S.Ct. 1727(1967)and See v. City of Seattle, 387 U.S. 541,87 S.Ct. 1737(1967)determined"administrative" searches conducted to enforce public safety ordinances in non-emergency situations constitute searches within the ambit of the Fourth Amendment that must be conducted under the authority of a search warrant absent consent. The warrants,the court determined,can be issued upon a showing that there is a reasonable basis(as distinguished from probable cause)to believe the premises may not be in conformity with the municipality's public safety ordinances. All complaints for administrative inspection warrants shall be submitted to the corporation counsel for review and approval prior to application before the court. When seeking an administrative inspection warrant,a code enforcement officer shall sufficiently allege factual circumstances demonstrating there is a reasonable basis to believe the subject property is not in conformity with the city's ordinances. The code enforcement officer's statements should be sufficient to permit the court to determine necessity for the warrant and the appropriate scope of the search. A code enforcement supervisor shall accompany every code enforcement officer serving an administrative inspection warrant. Cabinetry and closets should not be searched absent a reasonable basis for believing a code violation may be present in the area;mere suspicion is not sufficient justification for such a search. Should a closet be searched to determine whether an occupant is hiding there,the search should be discontinued immediately upon confirming whether the closet is or is not occupied. A police officer may accompany a code enforcement officer during the execution of an administrative inspection warrant for the sole purpose of providing security and safety to that code enforcement officer. The police officer shall only"shadow"the code enforcement officer for his or her safety. The police officer shall not facilitate entry, assist in any search,initiate any contact with the property owner or occupants,nor request any identification from the property owner or occupants. The following procedures shall be followed when requesting police department assistance for serving administrative inspection warrants. 1. When a code enforcement officer determines that assistance is required to serve an administrative inspection warrant,the code enforcement officer shall contact a code enforcement supervisor or the property maintenance division manager to discuss the circumstances necessitating police department assistance. 2. The code enforcement supervisor or the property maintenance division manager shall make a determination regarding the code enforcement officer's request for police department assistance based on the totality of facts presented by the code enforcement officer. 3. Should the code enforcement supervisor or the property maintenance division manager determine police department assistance is justified,the code enforcement supervisor or the property maintenance division manager shall contact the appropriate personnel within the police department to arrange for police assistance during the service of the administrative inspection warrant. -46- ATTACHMENT D City of Elgin Department of Code Administration and Development Services Code Enforcement Process The City of Elgin's Department of Code Administration and Development Services is responsible for enforcing the City's property maintenance code,building codes,zoning ordinance and various health and safety ordinances. The following information provides an overview of the City's code enforcement process and describes the procedures used by the Department of Code Administration and Development Services when conducting code enforcement inspections. If you have received a notice from a code enforcement officer stating that your home or property is violating a City code,please review this letter to determine your options for correcting those code violations. CODE ENFORCEMENT PROCESS NEW CASES. A code enforcement case is initiated by a citizen complaint,a rental license inspection or when the code enforcement officer observes a violation. The code enforcement officer then attempts to conduct an inspection of the property. The City code authorizes the code enforcement officer to enter properties to conduct inspections, but the property owner may request that a warrant is fast obtained_ If a code violation is not observed,the case is closed. When a code violation is observed, a written notice is mailed to the property owner or tenant. TIME FOR CORRECTING CODE VIOLATIONS. Violations concerning exterior property maintenance and overcrowding and are generally required to be corrected within one month. Code violations affecting life safety may require compliance within 24 hours. FOLLOW-UP INSPECTIONS. Follow-up inspections are conducted on the compliance date specified in the code enforcement officer written notice. When the code violations have been corrected,the case is closed. If the code violations still remain,one of the following actions may be taken depending on the nature and severity of the cited code violations: • Citation Issued_ A$25.00 citation may be issued for the property owner's failure to correct the code violation in a timely manner. • Time Extension. A short time extension may be granted after a meeting with the property owner. When an extension is granted,another follow-up inspection is conducted at the end of the compliance time frame that has been granted. If the code violation is corrected following a time extension or citation,the case is closed providing that all citations are paid. If the violation is corrected but the citations remain unpaid,notice is issued to collect the fines. • Next Level of Enforcement. The next level of applicable enforcement will be initiated. NEXT LEVEL OF ENFORCEMENT. If the code violation is not corrected,additional enforcement is conducted,including one or more of the following actions: • Additional Citations. Additional citations may be issued. • Suspension of Rental License. The license suspension and revocation process for rental residential property may be initiated. • Court Action. Court action may be initiated to compel compliance and impose fines_ • Demolition. Demolition action may be initiated when severe violations are existing on the property. IF YOU HAVE BEEN CITED FOR A CODE VIOLATION TIME EXTENSION. A property owner may request an extension of time to correct a code violation. Any such request must be made in writing and filed with the Department of Code Administration and Development Services. The property owner may contact the code enforcement officer for assistance in making such a request. Compliance times may be extended if the property owner submits a written request stating the reasons why additional time for repair or compliance is necessary. APPEALS. A property owner believing that he or she was improperly cited for a property maintenance code violation may appeal to the City of Elgin Property Maintenance Board of Appeals. An application for appeal must be based on a claim that the true intent of the code has been incorrectly interpreted,the provisions of the code do not fully apply,or the requirements of the code are satisfied by other means. The property owner may contact the code enforcement officer or Neighborhood Planner and Hispanic Outreach Coordinator for assistance in obtaining the forms to file an appeal. HOME REPAIR PROGRAMS. The City has a number of programs to assist low income property owners correct property maintenance code violations on their property. Contact******at****** for program eligibility requirements. BILINGUAL CODE ENFORCEMENT TECHNICIAN. The City of Elgin's Code Enforcement Technician is available to assist property owners in translating city notices and documents and communicating with members of the Department of Code Administration and Development Services.Contact******at****** for such assistance. -2- ATTACHMENT E PROOF OF CLAIM FORM This Proof of Claim Form is to be used to make a claim under the Settlement Agreement dated ,between the United States Department of Justice ("DOJ"), the Department of Housing and Urban Development("HUD"), the HOPE Fair Housing Center ("HOPE") and the City of Elgin("City"). Identifying Information 1. Name: 2. Date of Birth: 3. List any other names which you have used since October, 1998, including maiden name: 4. Current Home Address: 5. City/State/Zip Code: 6. Social Security Number: — — Written Order Concerning Occupancy IX. At any time since October, 1998, did the Household in which you lived receive a written order from the City directing enforcement of the City's Property Maintenance Code with respect to the number of persons who could lawfully occupy the dwelling of the subject Household? YES NO. If YES, attach a copy of each such written order received from the City and for each such Household which received such a written order, provide the following: a) Address: b) Dates you lived there: c) The date of the order: d) List the name, date of birth and relationship to you of every person who lived in the Household with you at the time the written order from the City was received. Identify whether or not each person is Hispanic. e) Did the City's written order direct the Household to vacate any occupants from the dwelling? YES NO. If YES, attach a copy of the written order, if available, or state in your own words what it provided. f) Did the Household actually vacate any occupants based on the City's written order? YES NO. If YES, list the names of the persons who left because of the City's written order, list the addresses where such persons moved to and the dates they left. g) Was any person who vacated because of the City's written order a visitor or guest of the Household? _YES NO. If YES, did the visitor/guest present to the City or offer to present to the City other permanent address information? _YES NO. If YES, attach the permanent address information offered or provided, if available. If not, what information was presented(e.g., driver's license, utility bill, etc...)? h) For any visitors/guests who vacated the Household dwelling because of the City's written order, state how long each such visitor/guest had lived or slept at the dwelling at the time of the written order to vacate. Written Order Other Than Occupancy 10. At any time since October, 1998, did the Household in which you lived receive a written order from the City directing enforcement of the City's Property Maintenance Code concerning matters unrelated to the number of persons who could lawfully occupy the dwelling of the subject Household? YES NO. If YES, attach a copy of each such written order received from the City, if available, and for each such Household which received such a written order, provide the following: a) Address: b) Dates you lived there: c) The date of the order: d) List the name, date of birth and relationship to you of every person who lived in the Household with you at the time the written order from the City was received. Identify whether or not each person is Hispanic. e) In response to the written order from the City, did the Household spend money to remedy alleged violations of the Property Maintenance Code? YES_NO. If YES, for what and for how much? (Attach receipts for these expenditures.) —4— Interior Inspections 11. At any time since October, 1998, was the dwelling in which you lived subject to an interior inspection by the City Department of Code Administration and Development Services? YES NO. If YES, for each such dwelling, state the following: a) Address: b) Dates that you lived there: C) The date(s) of the inspection(s): d) List the name,date of birth and relationship to you of every person who lived in the dwelling with you or was present at the time of the interior inspection. Identify whether or not each person is Hispanic. e) Was the inspection done in order to obtain, reinstate or renew a rental license? YES NO f) Was the interior inspection pursuant to a warrant? YES NO. If YES: What was the warrant based upon? i) Attach a copy or state in your own words what it said. If NO: Did someone in the Household sign a consent form for an interior inspection? YES NO. What language was this consent form in? g) Was there any adult present on the property at the time of the inspection who was sufficiently proficient in English to understand the purpose of the inspection and the right to refuse access? YES NO If NO: Was bilingual translation assistance made available by the City at the time of the inspection? YES NO Other —5— (1) Do you believe that you have been discriminated against by the City in its enforcement of the Property Maintenance Code, in any way other than what has been covered in the questions above?_YES NO Description of Facts and Events (m) Provide a brief narrative description of the facts and events underlying the answers you provided to the questions above: 14. Category, Compensation and Reasons for Eligibility For each category in Section 17.2 of the Settlement Agreement for which you claim to be eligible for compensation, identify: a) The address of the Household: b) The specific category: c) The amount of compensation being claimed for that category: —6— d) The specific reasons for being eligible for such category: Conditions 15. By completing and submitting this Claim Form, do you agree on behalf of yourself and behalf of every other member of each Household you identify in the Claim Form to the following? (NOTE: If you do not agree to all of the following by answering YES, you will not be eligible for consideration for compensation.) a) You are making this claim on behalf of yourself and on behalf of every other member of each Household you identify in this Proof of Claim Form. YES NO b) You are the parent or legal guardian for each Household member under the age of 18 on whose behalf you are submitting this Proof of Claim Form. YES NO b) You agree on behalf of yourself and behalf of every other adult member of each Household identified herein to be bound by the claims process in the Settlement Agreement between HUD, DOJ, HOPE and the City in lieu of any other legal action against the City in any other forum concerning the issues raised or which could have been raised in your claim. YES NO C) This claims process shall be the sole and exclusive remedy for you and everyone else in any Household listed herein for any and all matters raised or which could have been raised in the Household's claim. YES NO d) You are aware that there is no guarantee what amount of compensation you will receive or whether you will receive any compensation at all as a result of submitting this claim. YES NO Verification and Signature I declare under penalty of perjury that the foregoing answers in this Proof of Claim Form are true and correct to the best of my knowledge and recollection. Name(Print): —7— ATTACHMENT F IMPORTANT NOTICE TO HISPANIC HOUSEHOLDS THAT HAVE BEEN INSPECTED BY THE CITY OF ELGIN DEPARTMENT OF CODE ADMINISTRATION AND DEVELOPMENT SERVICES The City of Elgin has received complaints that it: • Selectively enforced the City's Property Maintenance Code and related building codes, including occupancy standards, against Hispanic residents; • Conducted interior inspections of Hispanic households,based upon insufficient warrants, anonymous complaints, and exterior code violations; and • Used English language inspection consent forms when household members did not read English. The City has denied and continues to deny any and all discrimination on its part and on the part of its officials,officers, employees and agents. A Settlement Agreement has been signed resolving these complaints. The Settlement Agreement includes a claims process whereby Hispanic households may file claims for financial compensation based on the allegations described above. Your household may be eligible to receive compensation if- You lived in the City of Elgin at any time since October, 1998; • Your household is primarily Hispanic; and • From October 1998 through [date of Settlement Agreement] your household (1) received a written order from the City telling you to make repairs, move people out of the dwelling, or take other action because of the City's Property Maintenance Code; or (2) was the subject to an interior home inspection by the City's Department of Code Administration and Development Services. If you believe that you may have a claim, please call or write to obtain a Claim Form: Phone No.: 1-800- [TO BE ADDED] o ,&00 f..3a a35.; Claim forms can also be found at Gail Borden Public Library, City Hall and HOPE Fair Housing Center, 2100 Manchester, Suite 1070, Wheaton, Illinois, 60187. You must complete and return the Claim Form within sixty(60)days of the date of this Notice. Completed Claim Forms will be reviewed to determine who, if anyone, is eligible to receive compensation under the terms of the Settlement Agreement. —10— ATTACHMENT G CLAIM FORM This Claim Form is to be used to make a claim under the Settlement Agreement dated , between the United States Department of Justice, the Department of Housing and Urban Development, the HOPE Fair Housing Center, and the City of Elgin("City"). The Settlement Agreement includes a claims process whereby Hispanic Households may file claims for monetary compensation. You must complete the following Claim Form in order to be considered for compensation under this process. Please have your completed Claim Form postmarked no later than to: LI`nitec� °` fAtf�iney's�®�_e Background Information I. Name: II. List any other names you have used since October, 1998, including married names: III. Current home address, City, State, and ZIP Code: IV. Home telephone number: V. Other contact telephone number: ( ) Qualifying Information (a) Have you lived in Elgin at any time since October, 1998? Yes No (b) Was your Household primarily Hispanic at the time you lived in Elgin? Yes_ No (c) From October, 1998 through [DATE OF AGREEMENT] was your household ordered by the City to make repairs, move out of your dwelling, or take other actions because of the City's Property Maintenance Code? Yes_ No If yes, when did this happen? What address were you living at when this happened? (d) From October, 1998 through[DATE OF AGREEMENT] did the City Department of Code Administration and Development Services inspect the interior of your household? Yes_ No If yes, when did this hap did the inspection occur? Was the inspection conducted pursuant to the Rental Licensing Ordinance? Yes_ No Unknown What address were you living at when this happen the inspection occurred? PLEASE NOTE: Do not telephone or contact the City of Elgin or the lawyers for the City of Elgin. Answers to questions and information will not be provided by the City. If you have any questions, it is suggested that you either write a letter to the Department of Justice at the address given above, call 1-800- or that you talk with a private attorney or some other person able to help you. —12— ATTACHMENT H WAIVER AND RELEASE AGREEMENT This Waiver and Release Agreement("Agreement") is between the City of Elgin ("City") and a Household("Household") which has filed a claim pursuant to the claim process in the Settlement Agreement dated between the U.S. Department of Housing and Urban Development, the U.S. Department of Justice, the Hope Fair Housing Center and the City ("Settlement Agreement"). 1. The City includes the City itself and its past and present employees, agents, officers, attorneys, appointed officials and elected officials. 2. The Household includes all persons residing in a dwelling at the time of the City conduct challenged in the Claim Form submitted by or on behalf of the Household under the claims process in the Settlement Agreement. 3. The undersigned hereby declare, represent and warrant that the undersigned are all of the persons who are now 18 years of age or older who were residing in the dwelling of the Household at the time of the City conduct challenged in the claim form and that the undersigned are signing this Agreement on behalf of themselves and each of their heirs, distributees, next of kin, dependents, personal representatives, executors, administrators, successors and/or assigns. The undersigned hereby further declare, represent and warrant that the undersigned have the full authority to enter into and execute this Waiver and Release Agreement, including but not limited to, the full authority to enter into this Agreement on behalf of themselves, and each of their heirs, distributees,next of kin, dependents, personal representatives, executors, administrators, successors and/or assigns. 4. The payment listed below is payable to the Household in settlement of all disputed claims pursuant to the claims process in the Settlement Agreement. 5. The only consideration for this Agreement is the payment listed below. No other promise or agreement of any kind has been made to any member of the Household for this Agreement. 6. The undersigned for each of themselves and for their respective heirs, distributees, next of kin, dependents,personal representatives, executors, administrators, successors and assigns,does hereby waive, release, indemnify, defend and hold harmless the City and all other related persons or entities from and against any and all claims, suits,judgments, costs,attorneys' fees, damages or other liability or relief whatsoever, which the undersigned or the Household now has or may ever have relating to or arising from any matters raised or which could have been raised in the claim filed by the Household under the claims process in the Settlement Agreement, including but not limited to, alleged discrimination against Hispanics by the City in the enforcement of the City's Property Maintenance Code, Building Code, Zoning Ordinance, Plumbing Code, Electrical Code, Fire Prevention Code, Heating, Ventilating and Air Conditioning Code, One and Two-Family Dwelling Code or other City building codes or ordinances. In the event of any action or proceeding against the City covered by the foregoing duty to indemnify, defend and hold harmless, such action or proceeding shall be defended by legal counsel of the City's choosing and the costs thereof shall be paid by the undersigned. 7. The undersigned hereby acknowledge and represent that each is 18 years of age or older and of sound mind, that no promise, inducement or agreement not herein expressed has been made to the undersigned, that the terms of this Waiver and Release Agreement are contractual and not merely recital and that the undersigned are signing this Agreement knowingly and voluntarily and the undersigned have not been coerced or threatened into signing this Agreement and have not been promised anything else in exchange for signing this Agreement. Household Address: Payment Amount: Date: Name (Signature): Name (Printed): Name(Signature): Name(Printed): Name(Signature): Name(Printed): Name(Signature): Name (Printed): —2— August 19, 2002 ATTACHMENT I UNITED STATES DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT, UNITED STATES DEPARTMENT OF JUSTICE, THE HOPE FAIR HOUSING CENTER AND THE CITY OF ELGIN ILLINOIS RESOLVE COMPLAINTS OF DISCRIMINATORY ENFORCEMENT OF HOUSING OCCUPANCY CODES AGAINST HISPANICS The United States Department of Housing and Urban Development, the United States Department of Justice,the HOPE Fair Housing Center and the City of Elgin, Illinois have entered into a settlement agreement which resolves complaints that the City's building code enforcement practices violate the Fair Housing Act,by discriminating against Hispanics. The settlement agreement provides for a claims procedure whereby Hispanic households who allege discrimination by the City of Elgin may file claims for compensation. The City will establish a$200,000 fund for the claims procedure. Disputed claims will be settled through arbitration. The settlement agreement also provides for the City and HOPE to enter into a contract to promote fair housing. The settlement agreement also incorporates a number of other existing policies and procedures regarding code enforcement practices already adopted by the City of Elgin and several new policies and procedures. The settlement agreement also provides for the City to continue to fund grant and loan programs for low income families who need help bringing their properties up to safety code standards. While the City continues to deny any and all claims of discrimination on its part, the settlement agreement resolves the ongoing dispute between the parties regarding the City's code enforcement practices. "This Agreement demonstrates that strict adherence to the Fair Housing Act and vigilant application of reasonable building and occupancy codes by a municipality are not mutually exclusive,"said Floyd May, HUD's Deputy Assistant Secretary for Fair Housing. "Both are needed to ensure that all Americans can live in safe and decent housing of their choice without the fear of harassment." Bernard Kleina, Executive Director of HOPE Fair Housing Center, issues the following statement: "We applaud the City of Elgin for striving to be an inclusive community, where all residents are welcome, regardless of the language they speak or the color of their skin. HOPE looks forward to working with Elgin to root out discrimination wherever it exists. The programs adopted today by the City will be a model for other cities across the country to follow." Ed Schock, Mayor of the City of Elgin, issues the following statement: "The city is pleased that it was able to resolve this matter with HUD, the United States Department of Justice and the HOPE Fair Housing Center. This agreement is consistent with the city policy to review and improve procedures relating to code enforcement activities whenever necessary or appropriate. The city remains committed to fair housing and to the essential city function of vigorous code enforcement both of which are necessary to protect the health, safety and welfare of the residents of the city." -more- Page Two The allegations of discrimination first arose in 1998 when seven Hispanic families complained to HUD that the City targeted them for property inspections and other code enforcement actions because of their national origin. The City denied any discrimination and maintained that it uniformly enforced the Building Officials and Code Administrators (BOCA)Code. In September 1999, the City and HUD entered into a conciliation agreement. In August 2000, HUD issued a report concluding that it had reason to believe that the City had violated the Conciliation Agreement in its continued disparate enforcement of its property maintenance code as to Hispanic residents. Shortly thereafter, HOPE, a non-profit, fair housing organization servicing the Western suburbs of Illinois filed 22 additional complaints with HUD against the City of Elgin also alleging discriminatory code enforcement against Hispanics. On October 2, 2000, the City issued a response to the HUD report. The City maintained that it had not disparately treated Hispanic residents or violated the conciliation agreement. The City has also denied any unlawful-discrimination in response to the HOPE complaints. The City, HUD and HOPE then began negotiations to resolve the differences regarding interpretations of and compliance with the Conciliation Agreement as well as the 22 individual discrimination complaints. The parties were unable to reach a voluntary settlement and in November 2000, the case was referred to The Department of Justice(DOJ) for possible litigation. DOJ began investigating the City's code enforcement practices and in August 2001, DOJ and the other parties renewed settlement negotiations. The result is today's agreement that calls for the following: A claims procedure whereby Hispanic households who claim they believe they have been adversely affected by the City of Elgin's enforcement of its Property Maintenance Code and related building codes may file claims for compensation. If necessary, a disputed claim will be settled through arbitration. The City will establish a$200,000 fund for the claims procedure. A contract between the City of Elgin and the HOPE Fair Housing Center for services for fair housing education, testing,counseling and related services. The contract will consist of four one- year contracts in the total amount of$300,000. To the extent permitted by applicable regulations, the City may use Community Development Block Grant funds provided by the federal government through HUD to pay for such contracts with HOPE. Continued funding of the City of Elgin residential rehabilitation program. The City's_ residential rehabilitation program is funded by the City with Community Development Block Grant Funds provided by the federal government through HUD._The City's residential rehabilitation program provides grants up to$5,000 for exterior repair or rehabilitation of eligible owner-occupied, single-family dwellings; forgivable loans up to $5,000 for exterior repair or rehabilitation of eligible one to four dwelling unit residential rental properties; grants up to$5,000 for structural modifications to eligible owner-occupied rental residential property for the purchase and installation of handicap accessible features for dwelling units occupied by households having one or more mobility-limited disabled individuals; grants up to$3,000 for the emergency repair of water service lines, sanitary sewer laterals, furnaces,electrical systems and water heaters serving eligible owner- occupied, single-family dwellings; and forgivable loans up to$10,000 for lead-based paint control and abatement in eligible properties; -more- Page Three Continued funding for the Neighborhood Housing Services Home Improvement Fund that provides forgivable second mortgage loans for interior and exterior rehabilitation required to bring eligible properties into compliance with code requirements; Record keeping and reporting requirements for the City of Elgin Department of Code Administration and Development Services in order to monitor code enforcement activity; Revised inspection and warrant procedures to insure uniform nondiscriminatory practices and legal safeguards. These procedures include review of warrants by City attorneys and restrictions on inspections based solely upon anonymous complaints; Clarification of certain code interpretation issues to assist with code enforcement practices; Expanded bilingual translation services for code enforcement inspections and bilingual training for code enforcement officers; and, The continuation of the newly established City of Elgin position of Community Relations/Outreach Coordinator with the duties of such position to include liaison and information services on behalf of the Hispanic community with regard to City Building or Property Maintenance Code enforcement actions. HUD is the nation's housing agency committed to increasing homeownership, particularly among minorities,creating affordable housing opportunities for low-income Americans, supporting the homeless, elderly,people with disabilities and people living with AIDS. The Department also promotes economic and community development and enforces the nation's fair housing laws. More information about HUD and its programs is available on the Internet at www.hud.gv. HOPE Fair Housing Center is a not-for-profit civil rights organization located in Wheaton, Illinois. For over thirty(30)years, HOPE has been working to promote equal opportunity in housing throughout Chicago's Western Suburbs as well as 28 other counties in Northern and North Central Illinois, through training and education, housing counseling and the legal enforcement of Fair Housing Laws. HOPE is a past recipient of HUD's"Best Practices Award" for its fair housing efforts. Information about HOPE is available on the Internet at http://Nv-"-u,.state.il.us/dhrihousenet/,private/hope/hope.html The City of Elgin, Illinois,population 94,487, covers an area of approximately 25 square miles. The city is located approximately 38 miles northwest of Chicago at the north end of the growing Fox Valley region and along the Interstate 90 Northwest Tollway Corridor. The National Civic League has awarded the City of Elgin the designation of a"2002 All American City". More information about the City of Elgin is available at the City's website at«­vw.cityofelgin.org