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HomeMy WebLinkAbout14-87 Resolution No. 14-87 RESOLUTION ACCEPTING A GRANT FROM THE ILLINOIS HOUSING DEVELOPMENT AUTHORITY'S ABANDONED RESIDENTIAL PROPERTY MUNICIPAL RELIEF PROGRAM WHEREAS, the City of Elgin (the "Sponsor") has been awarded a grant (the "Grant") from the Illinois Housing Development Authority (the "Authority") program administrator of the Abandoned Residential Property Municipal Relief Program (the "Program"), as that Program is authorized by Section 7.31 of the Illinois Housing Development Act, 20 ILCS 3805/1 et seq. and the rules promulgated under the Act codified at 47 Ill. Adm. Code 381, as may be amended from time to time. NOW THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN, ILLINOIS, that the Sponsor shall enter into the Agreement with the Authority wherein the Authority agrees to make the Grant to the Sponsor, which shall be used by the Sponsor to assist with the maintenance and demolition of abandoned properties within the Recipient's area, all in accordance with the terms and conditions set forth in the Agreement. BE IT FURTHER RESOLVED that the Mayor of the Sponsor and the City Clerk of the Sponsor are hereby authorized and empowered to execute and deliver in the name of or on behalf of the Sponsor the Agreement and any and all amendments, modifications and supplements thereto, and to execute and deliver such additional documents, instruments and certificates, as may be necessary or desirable for the Sponsor to perform it's obligations under the Agreement. BE IT FURTHER RESOLVED that the Mayor and the City Clerk be and hereby are authorized and directed to take such additional actions, to make further determinations, to pay such costs and to execute and deliver such additional instruments (including any amendments, Agreements or supplements) as he or she deems necessary or appropriate to carry into effect the foregoing resolutions. BE IT FURTHER RESOLVED that the Sponsor hereby ratifies, authorizes and confirms and approves all documents and instruments executed in connection with the Grant and the Agreement, including those acts taken prior to the date hereof. s/David J. Kaptain David J. Kaptain, Mayor Presented: June 25, 2014 Adopted: June 25, 2014 Vote: Yeas: 9 Nays: 0 Attest: s/Kimberly Dewis Kimberly Dewis, City Clerk PROGRAM FUNDING AGREEMENT This PRO FUNDING AGREEMENT(this"Agreement"),made and entered into as of the'r day of ,2014,by and between CITY OF ELGIN,an Illinois unit of local government("Recipie ')and the Illinois Housing Development Authority(the"Authority')a body politic and corporate established pursuant to the Illinois Housing Development Act,20 ILCS 3805/1 et seq., as amended from time to time (the"IHDA Act"). WITNESSETH: WHEREAS, pursuant to authority under Section 7.31 of the IHDA Act and the rules promulgated thereunder and codified at 47 Ill. Adm. Code 381 (the "Rules"), the Authority may provide Funds to municipalities and counties in Illinois participating in the Abandoned Residential Property Municipality Relief Program for the maintenance and demolition of abandoned properties; and WHEREAS, the Authority has issued, and the Recipient has accepted, that certain Conditional Commitment Letter (together with any amendments thereto, the "Commitment"), pursuant to which the Authority has agreed to provide funds to the Recipient in an amount not to exceed Twenty-Six Thousand Nine Hundred Sixty-Two and 501100 Dollars ($26,962.50) (the "Funds") and Recipient will use the Funds for Eligible Uses in connection with maintenance and demolition of Abandoned Residential Property within the Recipient's jurisdiction(the"Project")and for no other purpose; and WHEREAS,as an inducement to the Authority to provide the Funds,the Recipient agrees to enter into this Agreement and consents to be regulated and restricted by the Authority as provided in this Agreement, the IHDA Act and the Rules. NOW, THEREFORE,the parties hereto agree as follows: 1. Incorporation. The foregoing recitals are made a part of this Agreement. 2. Act and Regulations. The Recipient agrees that at all times its acts regarding the Project shall comply with the applicable provisions of the IHDA Act and the Rules. 3. Definitions: "Abandoned Property Program" shall mean the Abandoned Residential Property Municipal Relief Program authorized by Section 7.31 of the IHDA Act and the Rules. "Abandoned Residential Property"shall have the meaning ascribed to it in the Rules. "Application" shall mean the application for the Funds completed by the Recipient. 1 "Business Day"shall mean any day other than(i) a Saturday or Sunday,or(ii)a day on which the Authority is authorized or obligated by law to be closed. "Closing Date" shall mean the date upon which all requirements set forth in the Commitment have been satisfied. This Agreement shall be dated as of the Closing Date and shall become effective as of the Effective Date. "Commitment" shall mean that certain Conditional Commitment Letter by the Authority and accepted by the Recipient dated as of May 13, 2014. "Disbursements" shall mean the Funds that may be disbursed to the Recipient after the Closing Date. "Effective Date" shall mean July 28, 2014. "Eligible Uses" shall have the meaning ascribed to it in the Rules. "Fund Documents"shall mean the Application,this Agreement,the Commitment and any and all other documents evidencing or governing the Funds. "Initial Disbursement"shall mean that portion of the Funds that may be disbursed to the Recipient after the Closing Date for reimbursement in connection with expenses for Eligible Uses incurred by the Recipient as of January 1, 2012 through the Effective Date. "Quarterly Disbursements" shall mean that portion of the Funds that may be disbursed to the Recipient after the Closing Date for reimbursement in connection with expenses for Eligible Uses incurred by the Recipient as detailed on the Recipient's Quarterly Disbursement Statements. "Termination Date" shall mean the date which is two (2) years after the Effective Date. 4. Commencement.The term of this Agreement shall commence on the Effective Date and,unless terminated earlier pursuant to the provisions herein, shall terminate on the Termination Date. No disbursement shall be made under this Agreement after the Termination Date. Any Funds disbursed to the Recipient but not expended by the Recipient as of the Termination Date shall be returned to the Authority within Five(5) Business Days after the Termination Date. 5. Project Reguirements. In connection with the Project,the Recipient shall perform functions that include, but may not be limited to, the following: a. Report data-points and financials to Authority, as set forth herein. b. Use funds for Eligible Uses as ascribed in Rules. 2 c. Recipient is not barred from receiving funds under any federal program or any program of the state. In addition, Recipient is not delinquent in the payment of any debt to the State of Illinois (or if delinquent has entered into a deferred payment plan to pay the debt),and Recipient and its affiliates acknowledge the Authority may declare this Agreement void if this certification is false or if Recipient or an affiliate later becomes delinquent and has not entered into a deferred payment plan to pay off the debt. d. Recipient has satisfied and will continue to satisfy all terms, conditions, and covenants of and has not suffered or will suffer any event of default of any agreement, contract or requirement of the Authority,HUD,the State,or any political subdivision thereof. e. Recipient has not been convicted of bribery or attempting to bribe an officer or employee of the State in that officer's or employee's official capacity; nor has it made an admission of guilt of such conduct which is a matter of record but has not been prosecuted for such conduct. In addition, if Recipient has been convicted of a felony, as least five (5) years have passed after the date of completion of the sentence for such felony, unless no person held responsible by a prosecutor's office for the facts upon which the conviction was based continues to have any involvement with the business. E Recipient will at all times, in the performance of this Agreement, comply with all applicable federal, state, and local laws and regulations. g.Recipient shall obtain a fidelity bond coverage or honesty insurance in an amount that is at least equal to the lesser of(a) the Funds awarded, or (b) $100,000.00 with the Authority named as an additional insured. h.Recipient shall provide wire instructions or ACH deposit instructions for the Bank Account (as defined in Paragraph 7.f hereof). i. Recipient shall perform any other functions that the Authority may reasonably require. The Authority reserves the right to assess the Recipient's performance of the Project at all times throughout the term of this Agreement. If the Authority determines,in its sole discretion,that the Recipient's performance of the Project is not satisfactory or that the Project is not yielding satisfactory results for the operation of the Abandoned Property Program, the Authority shall have the right to terminate this Agreement pursuant to Paragraph 10 hereof. 6. Additional Covenants. The Recipient further certifies under oath, covenants and agrees that,to the best of Recipient's knowledge,information and belief,(i)all representations and warranties of the Recipient contained in this Agreement and the other Fund Documents are true, accurate and complete as of the date hereof and shall be true,accurate and complete at the time of the Disbursement; (ii) that the Funds shall be used only for the purposes described in this Agreement; and(iii)that the award of Funds is conditioned upon the certification as set forth in this Paragraph 6. 3 7. Disbursement of Funds. Provided that adequate funds have been appropriated or directed to the Authority to fulfill its obligations under this Agreement,the Authority will authorize the Disbursements as follows: a. Initial Disbursement. On or after the Effective Date, the Recipient shall provide the Authority with a detailed accounting of all expenses incurred by the Recipient for Eligible Uses as of January 1, 2012 through the Effective Date (the "Initial Disbursement Statement"),as set forth in Paragraph 7.d hereof,on a form supplied by the Authority, and documents substantiating the expenditures made by Recipient,which must be satisfactory to the Authority in its sole and absolute discretion. Provided that the Authority approves of the Initial Disbursement Statement,the Initial Disbursement will be disbursed within forty-five (45) days of the Authority's receipt of the Initial Disbursement Statement. b. Quarterly Disbursements. Within ten(10) calendar days of the end of each quarter,commencing with the first full quarter ending after the Effective Date,the Recipient shall provide the Authority with a detailed accounting of all expenses incurred by the Recipient for Eligible Uses (the "Quarterly Disbursement Statement"), as set forth in Paragraph 7.d hereof,on a form supplied by the Authority which must be satisfactory to the Authority in its sole and absolute discretion. Provided that the Authority approves of the Quarterly Disbursement Statement, the Quarterly Disbursement will be disbursed within forty-five (45) days of the Authority's receipt of the Quarterly Disbursement Statement. Notwithstanding anything to the contrary contained herein, each Quarterly Disbursement shall also be based on the Recipient's performance under the Abandoned Property Program to date and the Recipient's continued willingness to perform. Notwithstanding anything to the contrary contained herein, the Authority reserves the right, in its sole and absolute discretion,to increase,decrease or eliminate the Funds to the Recipient and the Authority has the right to modify the expenditure timeline as set forth herein. C. Rejection of Disbursement Statement. If the Authority rejects the Recipient's Initial Disbursement Statement or a Quarterly Disbursement Statement,the Authority shall give its reasons for such rejection in a written notice to Recipient as provided in Paragraph 19 hereof and the Recipient shall have five(5)Business Days from the date of receipt of the rejection notice,or within such further time as the Authority in its sole discretion permits,to cure any defects in the documents submitted and, provided the cure is accepted by the Authority,additional Disbursements may be made to the Recipient. If the Recipient fails to cure any defects to the Authority's satisfaction,the Authority may declare a default under this Agreement,effective upon notice to the Recipient,and shall have the remedies available to it as set forth in Paragraph 10 hereof. d. Disbursement Statements. The Initial Disbursement Statement and each Quarterly Disbursement Statement shall include: (i) A complete and accurate Abandoned Property Program-Cumulative Accounting of the expenses for Eligible Uses incurred by the Recipient on a form supplied by the Authority. 4 (ii) Evidence and back-up documentation of expenses for Eligible Uses, including, but not limited to, receipts, ledgers, invoices, before and after pictures, addresses or geographic coordinates, and number of abandoned residential properties served. (iii) Any and all other documents and showings reasonably requested by the Authority or its counsel. e. Documentation Retention. As set forth in Paragraph 11 hereof, Recipient shall maintain copies of all documents substantiating expenditures made by Recipient in connection with the Abandoned Property Program for a period of five (5) years after the Termination Date.Recipient shall ensure that all books,records,and supporting documents in relation to all expenses in connection with the Abandoned Property Program are maintained at the address listed for the Recipient in Paragraph 19 hereof and are available for inspection by the Authority upon the Authority's request. L Bank Account for Disbursements. The Authority shall effectuate Disbursements by transferring the Funds directly to a bank account(the"Bank Account"), established at a bank or other financial institution(the"Bank")selected by the Recipient and acceptable to the Authority. Recipient shall provide evidence of the Bank Account to the Authority on a form acceptable to the Authority and shall include ACH instructions on a form acceptable to the Authority. Recipient shall be responsible for the management of the Bank Account, and shall cause the Bank to provide the Authority with copies of statements upon the Authority's request. Recipient shall maintain the Bank Account as a separate account or a separate sub-account designated solely for the Abandoned Property Program. Any fees and costs charged or incurred by Bank in connection with the Bank Account shall be paid by the Recipient. 8. Reporting Requirements. The Recipient shall provide quarterly reports to the Authority within ten (10) calendar days of the end of each quarter, commencing with the first full quarter ending after the Effective Date in accordance with Section 381.209 of the Rules. The Recipient's submission of the Quarterly Disbursement Statements as set forth in Paragraph 7 hereof will be sufficient to meet the reporting requirements under this Paragraph 8. 9. Non-Discrimination. a. The Recipient shall not, in the provision of services in connection with the Project, or in any other manner, discriminate against any person on the grounds of race, color, creed, religion, sex, age, disability, national origin, familial or marital status, unfavorable military discharge or because the person is receiving governmental rental assistance. b. The Recipient shall comply with all of the provisions of Paragraph 13 of the IHDA Act, and all other provisions of federal, state and local law relative to non- 5 discrimination. C. The Recipient agrees not to commit unlawful discrimination in employment in Illinois as that term is used in the Illinois Human Rights Act(775 ILCS 5/1-101 et seq.)and rules applicable to public contracts,including equal employment opportunity,refraining from unlawful discrimination The Recipient agrees to comply with the applicable provisions of the Fair Housing Act(42 USC 3601 et seq.), Section 504 of the Rehabilitation Act of 1973 (29 USC 794),the Illinois Environmental Barriers Act(410 ILCS 25),the Illinois Accessibility Code (71 I11.Adm. Code 400), and all other applicable state and federal laws concerning discrimination and fair housing. The Recipient further agrees to take affirmative action to ensure that no unlawful discrimination is committed. d. The Recipient agrees and acknowledges that they are in compliance with and will remain in compliance with all federal and State laws,rules,and regulations required as a regular course of their business and pursuant to IHDA Act, the Rules, and the Abandoned Property Program. The Recipient agrees and acknowledges that it is its responsibility to determine which laws, rules and regulations apply. 10. Violation of Agreement. Upon learning of a violation of any of the provisions of this Agreement by the Recipient or if the Authority determines, in its sole discretion, that the Recipient's performance of the Project is not satisfactory or that the Project is not yielding satisfactory results for the operation of the Abandoned Property Program, or if the Recipient becomes insolvent,defunct,or commences bankruptcy proceedings,or should any director,officer, employee or official of Recipient engage in fraud, willful misconduct or gross negligence or misappropriate any funds, then the Authority may give written notice of such violation or unsatisfactory performance to the Recipient, as provided in Paragraph 19 hereof. If such violation or unsatisfactory performance is not corrected to the satisfaction of the Authority within thirty(30) days after the receipt of such notice,or within such further time as the Authority in its sole discretion permits, the Authority may declare a default under this Agreement, effective upon notice to the Recipient the Authority may: a. Recover the disbursed Funds,or such portion of the disbursed Funds as are,in the sole judgment of the Authority, related to the violation of this Agreement; b. Terminate this Agreement; and C. Exercise such other rights or remedies as may be available to the Authority under this Agreement, at law or in equity. No waiver by the Authority of any breach of this Agreement shall be deemed to be a waiver of any other existing or subsequent breach of this Agreement. No delay in exercising, failure to exercise,or incomplete exercise by the Authority of any right under this Agreement shall operate as a waiver of such right or any other right. The Authority's remedies are cumulative and the exercise of one remedy shall not be deemed an election of remedies,nor foreclose the exercise of the Authority's other remedies. 6 Notwithstanding the foregoing thirty(3 0)day cure period for violations of the Agreement,the cure period for Requests for Disbursements shall be as set forth in Paragraph 7 hereof. 11. Monitoring of Proiect. The Authority, the Auditor General and the Attorney General, and their respective agents or representatives (collectively, the"Auditor") shall have the right at any time from the Closing Date through five (5) years after the Termination Date, upon notice to the Recipient to inspect the books and records of the Recipient relating to the Project completed during the Project.Recipient shall make available this Agreement and all books,records and supporting documents related to this Agreement for review and audit by the Auditor. Recipient shall cooperate fully with any audit conducted by the Auditor and shall permit the Auditor full access to all relevant materials.The required documentation may include,but is not limited to,a copy of the municipality's or county's Application to the Authority;all records relating to the Eligible Uses under the Program, as set forth in Section 381.203 of the Rules; and any other documentation required by the Auditor. Recipient further agrees that the failure of the Recipient to maintain the books,records, and supporting documents required by this Paragraph 11 shall establish a presumption in favor of the State of Illinois and the Authority for the recovery of any funds paid by the State of Illinois or the Authority under this Agreement for which adequate books, records and supporting documentation are not available to support their purported disbursement. 12. Indemnification of the Authority. Recipient agrees to defend and indemnify and hold harmless the Authority from and against any and all damages,including,but not limited to,any past, present or future claims, actions, causes of action, suits, demands, liens, debts, judgments, losses,costs,liabilities and other expenses,including,but not limited to,reasonable attorneys' fees, costs, disbursements, and other expenses, that the Authority may incur or suffer by reason of or in connection with the Project,including without limitation the execution of the Fund Documents and the provision of the Funds. Recipient further agrees that the Authority, if it so chooses, shall have the right to select its own counsel with respect to any such claims. The obligations of Recipient under this Paragraph 12 shall survive the provision of the Funds. 13. Drug-Free Workplace. If applicable,Recipient agrees to comply with the Drug Free Workplace Act(30 ILCS 580/1 et seq.). The Recipient's Drug Free Workplace Certification(form of which is attached hereto as Exhibit A) is made a part of this Agreement. 14. Amendment of Agreement. This Agreement shall not be altered or amended except by a written instrument signed by the parties to it. 15. Partial Invalidity. The invalidity of any clause,part or provision of this Agreement shall not affect the validity of its remaining portions. 16. Binding on Successors. This Agreement shall bind,and the benefits shall inure to, the respective parties hereto, their legal representatives, executors, administrators, successors in office or interest and assigns,provided that the Recipient may not assign this Agreement,its right to the Funds proceeds or any of its obligations under this Agreement without the prior written approval of the Authority. 7 17. Gender. The use of the plural in this Agreement shall include the singular; the singular shall include the plural; and the use of any gender shall be deemed to include all genders. 18. Captions. The captions used in this Agreement are inserted only as a matter of convenience and for reference and in no way define,limit or describe the scope or the intent of any provision of the Agreement. 19. Notices. Any notice, demand, request or other communication that any party may desire or may be required to give to any other party under this Agreement shall be given in writing,at the addresses set forth below, by any of the following means: (a) personal service; (b) overnight courier; or(c)registered or certified United States mail, postage prepaid, return receipt requested. If to the Authority: Illinois Housing Development Authority 401 North Michigan Avenue, Suite 700 Chicago, Illinois 60611 Attention: Legal Department If to Recipient: City of Elgin 150 Dexter Court Elgin, Illinois 60120 Attention: Marc C. Mylott, AICP, Director of Community Development Such addresses may be changed by notice to the other party given in the same manner as provided in this Paragraph 19. Any notice,demand,request or other communication sent pursuant to subparagraph(a) shall be served and effective upon such personal service. Any notice,demand, request or other communication sent pursuant to subparagraph(b)shall be served and effective one (1) Business Day after deposit with the overnight courier. Any notice, demand, request or other communication sent pursuant to subparagraph (c) shall be served and effective three (3) Business Days after proper deposit with the United States Postal Service. 20. Counterparts. This Agreement may be executed in counterparts, and each counterpart shall, for all purposes for which an original of this Agreement must be produced or exhibited,be the Agreement,but all such counterparts shall constitute one and the same instrument. [REMAINDER OF PAGE INTENTIONALL Y BLANK, SIGNATURE PAGE FOLL0WSJ 8 IN WITNESS WHEREOF,the parties hereto have caused this Agreement to be executed by their authorized officers. RECIPIENT: CITY OF ELGIN, an Illinois unit Af local government Z_�'I e By: Name: Title: Mayor Mw City Clerk AUTHORITY: ILLINOIS HOUSING DEVELOPMENT AUTHORITY By: Mary R. Kenney,Executive Director Exhibit A: Drug-Free Work Place Certification 9 IN WITNESS WHEREOF,the parties hereto have caused this Agreement to be executed by their authorized officers. RECIPIENT: CITY OF ELGIN, an Illinois unit of local government By: Name: Title: AUTHORITY: ILLINOIS)ROUSING DEVELOPMENT AUTHORITY Ma Exhibit A: Drug-Free Work Place Certification 9 EXHIBIT A DRUG FREE WORK PLACE CERTIFICATE STATE OF ILLINOIS This certification is required by the Drug Free Workplace Act (30 ILCS 580). The Drug Free Workplace Act, effective January 1, 1992, requires that no Fundee or contractor shall receive a Funds or be considered for the purposes of being awarded a contract for the procurement of any property or services from the State unless that Fundee or contractor has certified to the State that the Fundee or contractor will provide a drug free workplace. False certification or violation of the certification may result in sanctions including, but not limited to, suspension of contract or Funds payments, termination of the contract or Funds and debarment from contracting or Funds opportunities with the State for at least one(1) year but not more than five(5)years. For the purpose of this certification, "Fundee" or "contractor"means a corporation,partnership,or other entity with twenty-five (25) or more employees at the time of the issuing of the Funds, or a department,division,or other unit thereof,directly responsible for the specific performance under a contract or Funds of$5,000 or more from the State. The contractor/Fundee certifies and agrees that it will provide a drug free workplace by: (a) Publishing a statement: (1) Notifying employees that the unlawful manufacture, distribution, dispensing, possession or use of a controlled substance,including cannabis,is prohibited in the Fundee's or contractor's workplace; (2) Specifying the actions that will be taken against employees for violations of such prohibition; and (3) Notifying the employees that, as a condition of employment on such contract or Funds, the employee will: A. abide by the terms of the statement; and B. notify the employer of any criminal drug statute conviction for a violation occurring in the workplace no later than five(5) days after such conviction. (b) Establishing a drug free awareness program to inform employees about: (1) the dangers of drug abuse in the workplace; (2) the Fundee's or contractor's policy of maintaining a drug free workplace; 10 (3) any available drug counseling,rehabilitation,and employee assistance programs;and (4) the penalties that may be imposed upon an employee for drug violations. (c) Providing a copy of the statement required by paragraph(a)hereof to each employee engaged in the performance of the contract or Funds and posting the statement in a prominent place in the workplace. (d) Notifying the contracting or Funding agency within ten(10)days after receiving notice under subparagraph(3)of paragraph(a)hereof from an employee,or otherwise receiving actual notice of such conviction. (e) Imposing a sanction on,or requiring the satisfactory participation in a drug abuse assistance or rehabilitation program by,any employee who is so convicted,as required by Section 5 of the Drug Free Workplace Act. (f) Assisting employees in selecting a course of action in the event drug counseling,treatment, and rehabilitation is required and indicating that a trained referral team is in place. (g) Making a good faith effort to continue to maintain a drug free workplace through implementation of the Drug Free Workplace Act. THE UNDERSIGNED AFFIRMS,UNDER PENALTIES OF PERJURY,THAT HE OR SHE IS AUTHORIZED TO EXECUTE THIS CERTIFICATION ON BEHALF OF THE DESIGNATED ORGANIZATION. CITY OF ELGIN, an Illinois uni local rnment By: �ZL Name: David J. pt n Title: —mayor Attest: r City Clerk 11 Ag ILLINOIS HOUSING 401 N.Michigan Avenue DEVELOPMENT AUTHORITY suite goo Chicago IL 60611 312.836.5200 312.836.5222 TDD www.ihda.org 13, 2014 ww.ihda.org Pat Quinn,Governor City of Elgin 150 Dexter Court Elgin, Illinois 60120 Attention: Marc C. Mylott, AICP, Director of Community Development Re: Conditional Commitment Letter(this "Letter") Abandoned Residential Property Municipal Relief Program APP- 50881 Dear Mr. Mylott: The Illinois Housing Development Authority (the "Authority") is the program administrator of the Abandoned Residential Property Municipal Relief Program (the "Program"), as that Program is authorized by Section 7.31 of the Illinois Housing Development Act, 20 ILCS 3805/1 et seq. (the "Act"), and the rules promulgated under the Act codified at 47 Ill. Adm. Code 381, as may be amended from time to time (the "Rules"), a copy of such Rules is attached to this Letter as Exhibit A and made a part hereof. All capitalized terms used in this Letter and not otherwise defined shall have the meanings established in the Act or the Rules. City of Elgin, an Illinois unit of local government ("Recipient"), has applied to the Authority for, and the Authority agrees to make funds available in the maximum amount of Twenty-Six Thousand Nine Hundred Sixty-Two and 50/100 Dollars ($26,962.50) (the "Funds"), to assist with the maintenance and demolition of Abandoned Residential Property (as defined in the Rules) (the "Project") within the Recipient's area under the Program from funds appropriated under Section 7.31 of the Act. The Funds shall be subject to the contingencies, terms and conditions set forth in this Letter. A. CONTINGENCIES: The Authority's performance of its obligations under this Letter, dated as of the date set forth above, is contingent upon the following: 1. The Authority's obligations hereunder shall cease immediately, without penalty, if: (a) the Illinois General Assembly fails to make an appropriation sufficient to pay such obligations; (b) adequate funds are not appropriated or funded to the Authority by the Illinois General Assembly to allow the Authority to fulfill its obligations under this Letter; or (c) funds appropriated are de-appropriated or not allocated, or if funds needed by the Authority, at the Authority's sole discretion, are insufficient. The Authority shall give the Recipient notice of insufficient funding as soon as practicable. The Recipient's obligation to perform shall cease upon receipt of the notice. 2. The Authority's performance of its obligations under this Letter, dated as of the date set forth above, is also contingent upon: Financing the creation and preservation of affordable housing a. Evidence satisfactory to the Authority that Recipient is able to comply with its duties under the Act; and b. Recipient's completion or satisfaction of each and all of the terms and conditions listed in this Letter and any other terms and conditions imposed by the Authority. 3. The Authority's performance under this Letter is also contingent upon (i) its determination, in its sole discretion, on the Closing Date, as defined in Paragraph C.2 hereof that the Recipient, its constituent or related entities, or other related individuals, is not in default under the terms of any other loan or grant made by the Authority under any Authority program, or has not been in default under the terms of any other loan or grant made by the Authority under any Authority program and failed to cure that default. B. GENERAL CONDITIONS: This Letter and the Funds shall be subject to the terms and conditions of the Act, the Rules, and the policies and procedures now or hereafter adopted by the Authority pursuant to the Act, all as amended from time to time. C. TERMS AND CONDITIONS OF THE FUNDS: The Funds shall be subject to the following terms and conditions: 1. Funds Amount. The Funds shall be in an amount not to exceed Twenty-Six Thousand Nine Hundred Sixty-Two and 50/100 Dollars ($26,962.50). 2. Closing Date. The closing of the Funds shall occur at such time as Recipient has satisfied all of the requirements set forth in this Letter, as determined in the Authority's sole discretion (the "Closing Date"). Unless otherwise agreed in writing by the parties, the Closing Date shall be no later than July 28, 2014 (the "Outside Closing Date"). If the closing of the Funds does not occur on or before the Outside Closing Date, this Letter shall terminate and shall not be extended. No undisbursed Funds shall be available after the earlier of(i) two (2) years after the Closing Date and (ii) such other date as the Authority may determine. 3. Purpose of Funds. Recipient shall enter into a Funding Agreement (the "Funding Agreement") with the Authority setting forth the terms and conditions governing the disbursement and use of the Funds. The Funding Agreement shall contain provisions including, but not limited to: (a) that the Recipient shall use the proceeds of the Funds for Eligible Uses (as defined in the Rules); and (b) recapture of the proceeds of the Funds in the event that the Recipient has not performed its obligations under the Act and the Rules or if there exists a default under the Funding Agreement. 4. Initial Disbursement Date. The initial disbursement of Funds is expected to be on or after the Closing Date. The expected project completion date is approximately two (2) years from the Closing Date. 2 5. Fund Documents. Prior to the Closing Date, Recipient shall deliver to the Authority three (3) original copies of the Funding Agreement, executed in the manner indicated therein, and such other documents as the Authority may reasonably require, in its sole discretion (this Letter, the Funding Agreement, and such other documents are collectively referred to in this Letter as the "Fund Documents"). 6. Other Showings. Not less than ten (10) business days prior to the Closing Date, Recipient shall, at its sole cost and expense, deliver to the Authority the following documents, in form and substance satisfactory to the Authority: a. Resolution or ordinance of the Recipient, certified by the clerk or other authorized municipal official acceptable to the Authority, within thirty (30) days of the Closing Date, authorizing the Project and the execution of the Funding Agreement and any other documents in connection with the Project; b. Certificate of Incumbency of the Recipient indicating those officers and/or officials who are authorized to execute and deliver the Funding Agreement and any other documents in connection with the Project, with specimen signatures of those officers and/or officials, certified by an authorized officer or official of the Recipient, as of a date within thirty(30) days prior to the Closing Date; c. A Taxpayer Identification Number Certification in the form attached hereto as Exhibit B; d. Drug-Free Workplace Certificate in form attached to this Letter as Exhibit C; e. A budget and list of proposed properties with projected expenditures and types of Eligible Uses for such properties in connection with the Program to be submitted to the Authority for its approval; and f. Any and all other documents and showings requested by the Authority or its counsel, in their sole discretion. 7. Post-Closing Showings. After the Closing Date, Recipient shall, at its sole cost and expense, deliver to the Authority the following documents, in form and substance satisfactory to the Authority: a. No later than August 15, 2014, evidence of funds expended in connection with expenses for Eligible Uses incurred by the Recipient as of January 1, 2012 through the Closing Date to be submitted to the Authority for its approval; b. Any and all other documents and showings requested by the Authority or its counsel, in their sole discretion. 3 8. Assi ent. This Letter is not assignable by Recipient, in whole or in part, without the prior written approval of the Authority, which may be withheld or conditioned in the Authority's sole discretion. 9. Termination. If the closing of the Funds does not take place on or before the Outside Closing Date, this Letter shall, at the Authority's election, immediately terminate and be of no further force and effect. 10. No Personal Liability. No member, officer, agent or employee of the Authority or their successors and assigns, shall be liable personally concerning any matters arising out of or in relation to the undertakings or obligations set forth in this Letter. 11. Indemnification of the Authority. Recipient agrees to defend and indemnify and hold harmless the Authority from and against any and all damages, including, but not limited to, any past, present or future claims, actions, causes of action, suits, demands, liens, debts, judgments, losses, costs, liabilities and other expenses, including, but not limited to, reasonable attorneys' fees, costs, disbursements, and other expenses, that the Authority may incur or suffer by reason of or in connection with the Project, including without limitation the execution of the Fund Documents and the provision of the Funds. Recipient further agrees that the Authority, if it so chooses, shall have the right to select its own counsel with respect to any such claims. The obligations of Recipient under this Paragraph 10 shall survive the provision of the Funds. 12. Time for Acceptance. The terms and conditions of this Letter shall not become effective unless Recipient accepts it by executing three (3) copies of this Letter in the space provided below and returning all three (3) executed copies to Karri E. Kartes, c/o the Illinois Housing Development Authority, 401 N. Michigan Ave., Suite 700, Chicago, Illinois 60611, within sufficient time so that she actually receives them within ten (10) days after the date of this Letter. If not received within ten (10) days this letter shall be void. 13. Publicity. The Authority reserves the right to publicize the issuance of this Letter and the provision of the Funds. Recipient shall notify the Authority immediately of any proposed formal publicity in connection with the Program that is arranged or promoted by Recipient or any other party participating in the Program. Formal publicity includes, but is not limited to, participation in news conferences and media events. The Authority shall have the right to approve the dates of any formal publicity events and the content of any media releases for such events. Recipient shall prominently display the Authority's name and logo and a statement that financing for the Program has been provided by the Authority on a sign or other form of announcement. The use of the Authority's name in any other signage, advertising or in any other manner is subject to the Authority's prior written consent. 4 14. Survival of Obligations. Recipient's obligations as set forth in this Letter shall survive the Closing Date and Recipient shall continue to cooperate with the Authority and furnish any documents, exhibits or showings required. In the event of a conflict between this Letter and the Funding Agreement, the Authority shall determine which document shall control. 15. Notices. Any notice, demand, request or other communication which any party may desire or may be required to give to any other party under this Letter shall be given in writing, at the addresses set forth below, by any of the following means: (a) personal service; (b) overnight courier; or (c) registered or certified United States mail, postage prepaid, return receipt requested. If to Recipient: City of Elgin 150 Dexter Court Elgin, Illinois 60120 Attention: Marc C. Mylott, AICP, Director of Community Development If to Authority: Illinois Housing Development Authority 401 North Michigan Avenue, Suite 700 Chicago, Illinois 60611 Attention: Legal Department Such addresses may be changed by notice to the other party given in the same manner as provided in this Letter. Any notice, demand, request or other communication sent pursuant to subsection (a) shall be served and effective upon such personal service. Any notice, demand, request or other communication sent pursuant to subsection (b) shall be served and effective one (1) business day after deposit with the overnight courier. Any notice, demand, request or other communication sent pursuant to subsection (c) shall be served and effective three (3)business days after proper deposit with the United States Postal Service. 16. Counterparts. This Letter may be executed in counterparts, and each counterpart shall, for all purposes for which an original of this Letter must be produced or exhibited, be the Letter, but all such counterparts shall constitute one and the same instrument. [REMAINDER OF PAGE INTENTIONALLY BLANK;SIGNATURE PAGE FOLLOWS] 5 Very truly yours, ILLIN H USING DEVELOPMENT AUTHORITY By: � Ma y ey, Executive Di r for 2014 Approved to fo By: Maureen G. Ohle, Genera ounsel Nandini Natarajan, Chief Financial Officer Accepted by Recipient this day of , 2014 CITY OF ELGIN, an Illinois unit of local government By: Printed Name: Its: EXHIBITS EXHIBIT A: PROGRAM RULES EXHIBIT B: TAXPAYER IDENTIFICATION NUMBER CERTIFICATION EXHIBIT C: DRUG FEE WORK PLACE CERTIFICATE 6 Very truly yours, ILLINOIS HOUSING DEVELOPMENT AUTHORITY By: Mary R. Kenney, Executive Director 12014 Approved as to form: By: Maureen G. Ohle, General Counsel By: Nandini Natarajan, Chief Financial Officer Accepted by Recipient this ,A I,, � —day of ll _, 2014 CITY OF ELGIN, an Illinois u ' f local Zent By Printed Name: D id J. K ptain Its: Ma Z�— Attest: /w� Printed ame: Kimberly Dewis Its: City Clerk EXHIBITS EXHIBIT A: PROGRAM RULES EXHIBIT B: TAXPAYER IDENTIFICATION NUMBER CERTIFICATION EXHIBIT C: DRUG FEE WORK PLACE CERTIFICATE 6 IHDA 47 ILLINOIS ADMINISTRATIVE CODE 381 TITLE 47: HOUSING AND COMMUNITY DEVELOPMENT CHAPTER 11: ILLINOIS HOUSING DEVELOPMENT AUTHORITY PART 381 ABANDONED RESIDENTIAL PROPERTY MUNICIPALITY RELIEF PROGRAM SUBPART A: GENERAL RULES Section: 381.101 Authority 381.102 Purpose and Objectives 381.103 Definitions 381.104 Compliance with Federal and State Law 381.105 Forms and Procedures for the Program 381.106 Fees and Charges 381.107 Authority Administrative Expenses 381.108 Amendment 381.109 Severability 381.110 Gender and Number 381.111 Non-Discrimination 381.112 Titles and Captions SUBPART B: GRANTS TO MUNICIPALITIES AND COUNTIES Section: 381.201 Grants to Municipalities and Counties 381.202 Abandoned Residential Property 381.203 Eligible Uses of Grant Funds 381.204 Application Cycle 381.205 Application Requirements 381.206 Review of Applications 381.207 Grant Administration 381.208 Funding of Grants 381.209 Reporting Requirements AUTHORITY: Authorized by Section 7.19 of the Illinois Housing Development Act [20 ILCS 3805/7.19] and Section 7.31(a) of the Illinois Housing Development Act [20 ILCS 3805/7.3 l(a)]. SOURCE: Adopted at 37 I11. Reg. 11327, effective July 3, 2013; amended at 38 Ill. Reg. 6678, effective March 10, 2014. IHDA 47 ILLINOIS ADMINISTRATIVE CODE 381 381.101 SUBPART A: GENERAL RULES Section 381.101 Authority The Illinois Housing Development Authority is the designated administrator for the Abandoned Residential Property Municipality Relief Program in Illinois, which was established by Section 7.31 of the Illinois Housing Development Act [20 ILCS 3805/7.31]. IHDA 47 ILLINOIS ADMINISTRATNE CODE 381 381.102 Section 381.102 Purpose and Objectives The purpose of the Program is to use moneys appropriated from the Abandoned Residential Property Municipality Relief Fund, and any other funds appropriated for this purpose, to make grants to municipalities and counties to assist with costs incurred by the municipality or county for the securing and maintenance of Abandoned Residential Property as defined in Section 381.202. Under the Program, the Authority will make grants to the municipalities and counties for Eligible Uses as set forth in Section 381.203. IHDA 47 ILLINOIS ADMINISTRATIVE CODE 381 381.103 Section 381.103 Definitions The following definitions apply to terms used in this Part: "Abandoned Residential Property": Shall have the meaning set forth in Section 381.202 "Act": The Illinois Housing Development Act [20 ILCS 38051. "Applicant": A municipality or county making an Application for a Grant. "Application": An application to the Authority on the Authority's form for a Grant completed by a prospective Applicant. "Appropriation": The annual appropriation of funds, from the Abandoned Residential Property Municipality Relief Fund to the Illinois Department of Revenue for the Authority, by the Illinois General Assembly for the Program and any other funds appropriated for this purpose. "Attorney General": The Attorney General of the State of Illinois. "Auditor General": The Auditor General of the State of Illinois. "Authority": The Illinois Housing Development Authority. "City": The City of Chicago. "Collar Counties": The counties of DuPage, Kane, Lake, McHenry and Will in Illinois. "Commitment": A contract executed by the Authority and the Applicant under which the Authority agrees to make a Grant to the Applicant. Each Commitment shall contain a provision to the effect that the Authority shall not be obligated to provide funds under the Commitment if the Authority has not received sufficient funds from an Appropriation. "Eligible Uses": Shall have the meaning set forth in Section 381.203. "Fund": The Abandoned Residential Property Municipality Relief Fund created in the State treasury for the collection of certain fees as set forth in Section 15- 1504.1 of the Illinois Code of Civil Procedure [735 ILCS 5/15-1504.1] paid by a plaintiff at the time of a filing of a foreclosure complaint in connection with residential real estate. IHDA 47 ILLINOIS ADMINISTRATIVE CODE 381 381.103 "Grant": The portion of the Appropriation granted by the Authority to an Applicant for Eligible Uses under the Program. "Pests": Undesirable arthropods (including certain insects, spiders, mites, ticks and related organisms), wood infesting organisms, rats, mice and other obnoxious undesirable animals, but does not include a feral cat, a "companion animal" as that term is defined in the Humane Care for Animals Act [510 ILCS 70], "animals" as that term is defined in the Illinois Diseased Animals Act [510 ILCS 501, or animals protected by the Wildlife Code [520 ILCS 5]. "Program": The Abandoned Residential Property Municipality Relief Program authorized by Section 7.31 of the Act. "Rehabilitation": The rehabilitation of an Abandoned Residential Property that is strictly limited in scope to address exterior building safety concerns such as repairing of the roof, windows, doors, masonry or walkway of an Abandoned Residential Property. "State": The State of Illinois. IHDA 47 ILLINOIS ADMINISTRATIVE CODE 381 381.104 Section 381.104 Compliance with Federal and State Law Notwithstanding anything in this Part to the contrary, this Part shall be construed in conformity and compliance with applicable federal and State law. IHDA 47 ILLINOIS ADMINISTRATIVE CODE 381 381.105 Section 381.105 Forms and Procedures for the Program The Authority may prepare, use,prescribe, supplement and amend forms, agreements and other documents and procedures as may be necessary to implement the Program. IHDA 47 ILLINOIS ADMINISTRATIVE CODE 381 381.106 Section 381.106 Fees and Charges The Authority may not charge an application fee for the Program. IHDA 47 ILLINOIS ADMINISTRATIVE CODE 381 381.107 Section 381.107 Authority Administrative Expenses Subject to approval of the Department of Revenue, the Authority shall be entitled to deduct from each Appropriation, subject to the annual receipt of funds,prior to making any Grants, an amount not to exceed 4% of each Appropriation for expenses associated with the administration of the Program, including, without limitation, expenses for staff salaries and benefits for time spent on design and administration of the Program; expenses incurred in performing outreach activities and providing technical assistance to the Applicants; the use of the Authority's equipment for Program purposes; the cost of office space and utilities incurred in connection with the Program; and any other expenses incurred in the administration of the Program. The Authority shall maintain a detailed accounting of its administrative expenses, using the generally accepted accounting principles(GAAP) of the Financial Standards Board of the American Institute of Certified Public Accountants as contained in the publication entitled AICPA Professional Standards, 1211 Avenue of the Americas,New York NY 10036-8775 (June 2012, no later editions are incorporated). These records shall be available to the public for review. IHDA 47 ILLINOIS ADMINISTRATIVE CODE 381 381.108 Section 381.108 Amendment This Part may be supplemented amended or repealed by the Authority from time to time and in a manner consistent with the Illinois Administrative Procedure Act [5 ILCS 100], this Part,the Act, and other applicable laws. This Part shall not constitute or create any contractual rights. IHDA 47 ILLINOIS ADMINISTRATIVE CODE 381 381.109 Section 381.109 Severability If any clause, sentence,paragraph, subsection, Section or Subpart of this Part is adjudged by any court of competent jurisdiction to be invalid, that judgment shall not affect, impair or invalidate the remainder of this Part, but shall be confined in its operation to the clause, sentence, paragraph, subsection, Section or Subpart to which the judgment is rendered. IHDA 47 ILLINOIS ADMINISTRATIVE CODE 381 381.110 Section 381.110 Gender and Number All terms used in any one gender or number shall be construed to include any other gender or number, as the context may require. IHDA 47 ILLINOIS ADMINISTRATNE CODE 381 381.111 Section 381.111 Non-Discrimination The Applicants shall comply with the applicable provisions of the Illinois Human Rights Act [775 ILCS 5] and the regulations promulgated under that Act, the federal Fair Housing Act(42 USC 3601), Section 504 of the Rehabilitation Act of 1973 (29 USC 794), the Illinois Environmental Barriers Act [4 10 ILCS 25], the Illinois Accessibility Code(71 Ill. Adm. Code 400), and all other applicable State and federal law concerning discrimination and fair housing. IHDA 47 ILLINOIS ADMINISTRATIVE CODE 381 381.112 Section 381.112 Titles and Captions Titles and captions of Subparts, Sections and subsections are used for convenience and reference and are not a part of the text. IHDA 47 ILLINOIS ADMINISTRATIVE CODE 381 381.201 SUBPART B: GRANTS TO MUNICIPALITIES AND COUNTIES Section 381.201 Grants to Municipalities and Counties a) Distribution of Funds Subject to the annual receipt of funds, the Authority shall first deduct the funds it requires to meet its administrative expenses as described in Section 381.107. It shall distribute the remainder of the funds among the 4 geographic set-asides as described in section(b). b) Geographic Set-Asides 1) After distributing the amount necessary for the purposes of subsection(a), the Authority shall make Grants to municipalities and counties for use in connection with Abandoned Residential Property. The Applicants shall be divided into 4 geographic set-aside categories with the money divided as follows: A) 30% of the moneys in the Fund that have been appropriated, subject to the annual receipt of funds, shall be used to make Grants to municipalities in the County of Cook(other than the City) and to the County of Cook. B) 25% of the moneys in the Fund that have been appropriated, subject to the annual receipt of funds, shall be used to make Grants to the City of Chicago. C) 30% of the moneys in the Fund that have been appropriated, subject to the annual receipt of funds, shall be used to make Grants to the municipalities in the Collar Counties and to the Collar Counties. D) 15% of the moneys in the Fund that have been appropriated, subject to the annual receipt of funds, shall be used to make Grants to municipalities in the State(other than the municipalities in the County of Cook and the Collar Counties), and to the other counties in the State (other than the County of Cook and the Collar Counties). 2) When the jurisdiction of a municipality is included within more than one of the geographic set-asides set forth in subsection(b)(1), the Authority may elect to fully fund the Application from one of the relevant geographic areas. IHDA 47 ILLINOIS ADMINISTRATIVE CODE 381 381.201 3) Grants distributed to the municipalities and counties under subsection (b)(1)(D)shall be based on areas of greatest need within these counties, which shall be determined, to the extent practicable,proportionately on the amount offees paid to the respective clerks of the courts within these counties, and on any other factors that the Authority deems appropriate [20 ILCS 3805/7.31(b)(4)]. The Authority will meet the statutory requirement to provide funding to areas of greatest need within this 96- county set-aside primarily through subsection(c)(1)(A) (Need). Instances in which it is impracticable to base Grant awards proportionately on the amount of fees paid to the respective clerks of the court include,but are not limited to: when no application is received within the county; when no application received in the county meets the minimum application requirements; when funding is unavailable due to inadequate receipts; and when the amount collected by a county is less than the cost to administer the Grant. Additionally, proportionate share funding may be impracticable when there are extraordinary circumstances warranting a larger Grant amount than the fees that have been remitted by that county. Extraordinary circumstances include such situation as: when an Applicant demonstrates exemplary capacity, need and impact; when there has been a natural disaster, a significant loss of employment, or other event generating extreme need within a county; and as demonstrated in the materials provided by the Applicant. C) Application Ranking 1) The Authority will rank Applications against other Applications in the same geographic set-aside category based on the criteria in subsections (c)(1)(A)through(E): A) Need Applicants should clearly demonstrate need within the jurisdiction. This demonstration may include,but is not limited to, the fees paid to the clerks of the court in the county, along with historical information on the financial burden that maintaining and demolishing abandoned residential properties has imposed on the Applicant. For the geographic set-aside referenced in subsection (b)(1)(1)), and when the Treasurer provides regular and reliable data to the Authority on receipts for each county, the Authority will consider the amount remitted from the clerk of the court in the Applicant's county, along with information provided by the Applicant, to determine which Applications demonstrate the greatest need for the Grant and therefore will receive the highest IHDA 47 ILLINOIS ADMINISTRATIVE CODE 381 381.201 score. B) Capacity Applicants should clearly demonstrate capacity to undertake the proposed activities. This demonstration may include, without limitation, evidence that the Applicant has administered similar grant programs. C) Impact Applicants should clearly demonstrate that the Grant will have a strong positive impact, whether upon the entire jurisdiction or an identified portion of the jurisdiction. D) Budget and Cost Reasonableness Applicants should provide an estimated budget and demonstrate a systematic, thorough and well-documented approach to ensuring that costs are reasonable, including any costs associated with third party vendors. E) Readiness to Proceed Applicants should clearly demonstrate a thorough, detailed and reasonable work plan for the expeditious completion of proposed reimbursable activities. 2) The Authority will equally weigh these criteria unless adjustment is necessary to further program requirements or legislative findings. In the event the Authority seeks to revise the weighting of these criteria, the Authority will propose amendments to this Part. IHDA 47 ILLINOIS ADMINISTRATIVE CODE 381 381.202 Section 381.202 Abandoned Residential Property Abandoned Residential Property shall mean residential real estate that: a) Either: 1) Is not occupied by any mortgagor or lawful occupant as a principal residence; or 2) Contains an incomplete structure if the real estate is zoned for residential development, when the structure is empty or otherwise uninhabited and is in need of maintenance, repair or securing; and b) With respect to which, either: 1) Two or more of the following conditions are shown to exist: A) Construction was initiated on the property and was discontinued prior to completion, leaving a building unsuitable for occupancy, and no construction has taken place in 6 months; B) Multiple windows on the property are boarded up, closed off or smashed through, broken off or unhinged, or multiple window panes are broken and unrepaired; C) Doors on the property are smashed through, broken off, unhinged or continuously unlocked; D) The property has been stripped of copper or other materials, or interior fixtures to the property have been removed; E) Gas, electrical or water services to the entire property have been terminated; F) One or more written statements of the mortgagor or the mortgagor's personal representative or assigns, including documents of conveyance, indicate a clear intent to abandon the property; G) Law enforcement officials have received at least one report of trespassing or vandalism or other illegal acts being committed at the property in the last 6 months; IHDA 47 ILLINOIS ADMINISTRATIVE CODE 381 381.202 H) The property has been declared unfit for occupancy and ordered to remain vacant and unoccupied under an order issued by a municipal or county authority or a court of competent jurisdiction; I) The local police, fire or code enforcement authority has requested the owner or other interested or authorized party to secure or winterize the property due to the local authority declaring the property to be an imminent danger to the health, safety and welfare of the public; J) The property is open and unprotected and in reasonable danger of significant damage due to exposure to the elements, vandalism or freezing; or K) Other evidence indicates a clear intent to abandon the property; or 2) The real estate is zoned for residential development and is a vacant lot that is in need of maintenance, repair and securing. IHDA 47 ILLINOIS ADMINISTRATIVE CODE 381 381.203 Section 381.203 Eligible Uses of Grant Funds Eligible Uses of Grant Funds by Municipalities and Counties Municipalities and counties shall use Grant funds in connection with Abandoned Residential Property as follows: a) cutting of neglected weeds or grass; b) trimming of trees or bushes and removal of nuisance bushes and trees; C) extermination of Pests or prevention of the ingress of Pests; d) removal of garbage, debris and graffiti; e) boarding up, closing off or locking windows or entrances or otherwise making the interior of a building inaccessible to the general public; f) surrounding part or all of an Abandoned Residential Property's underlying parcel with a fence or wall or otherwise making part or all of the Abandoned Residential Property's underlying parcel inaccessible to the general public; g) demolition of Abandoned Residential Property; h) rehabilitation of Abandoned Residential Property. IHDA 47 ILLINOIS ADMINISTRATIVE CODE 381 381.204 Section 381.204 Application Cycle The Authority will supply interested Applicants with an Application. Applications under the Program will be accepted periodically until the Appropriation is disbursed. IHDA 47 ILLINOIS ADMINISTRATIVE CODE 381 381.205 Section 381.205 Application Requirements Each Application shall include the information required by this Section and any additional information the Authority may require to promote the efficient administration of the Program. a) Qualifications. Each Applicant shall document qualifications to complete the Program activities. These qualifications shall without limitation include the following: 1) The applicant is a county or municipality; 2) The Applicant has the experience or expertise to manage the activities listed in Section 381.203 for which grant funds will be utilized; 3) The Applicant has demonstrated its capacity for effective fiscal management. This is typically proven through a third-party audit; and 4) The Applicant is willing and able to abide by all program requirements. b) Applicant's Capacity. Each Applicant shall document its capacity to administer Program funds for Eligible Uses. C) Activities to be Undertaken. Each Applicant shall list which Eligible Uses are to be undertaken with Program funds, including, without limitation, those activities outlined in Section 381.203. d) Time for Expending. Each Applicant shall include a budget and timeline schedule for performing the Eligible Uses of Program funds outlined in the Application. IHDA 47 ILLINOIS ADMINISTRATIVE CODE 381 381.206 Section 381.206 Review of Applications a) Application Screening. The Authority will review all Applications to confirm that all elements of the Application package have been addressed. Applicants will be notified of deficiencies in Applications and will be given the opportunity to correct non-material deficiencies. Non-material deficiencies are non-significant deficiencies that,by their existence, do not impact the Applicant's ability to meet the requirement of Section 381.205 and of this Section. Completed Applications will be reviewed and evaluated by Authority staff in accordance with subsections (b)through(e) of this Section. b) Basic Eligibility Evaluation. Each Application will be reviewed to assure that the Applicant is a municipality or county. c) Willingness to Perform. The Applicant must commit to remain ready, willing and able to expend Program funds for Eligible Uses in a timely manner. d) Costs. The Applicant must demonstrate that the costs identified in the Application are Eligible Uses under Section 381.203. e) Capacity. The Applicant must demonstrate that the proposed activities identified in the Application can be accomplished. IHDA 47 ILLINOIS ADMINISTRATIVE CODE 381 381.207 Section 381.207 Grant Administration a) Commitment. If awarded Grant funds, a municipality or county shall enter into a Commitment with the Authority. The Grant may be less than the amount requested in the Application. The term of Commitment shall not exceed 2 years, subject to the availability of funds from an Appropriation. b) Record Retention. Each municipality and county shall maintain records in connection with the Grant under the Commitment for 5 years after the date of termination of the Commitment. C) Monitoring. The Authority, the Auditor General and the Attorney General shall have the right to monitor all municipality and county books and records relating to the Grant and the Program. Each municipality and county shall make all records relating to its Grant and the Program available for inspection, examination and copying by the Authority, the Auditor General and the Attorney General upon reasonable prior notice, as the Authority, the Auditor General or the Attorney General may reasonably require. The required documentation may include,but is in no way limited to, a copy of the municipality's or county's Application to the Authority; all records relating to the Eligible Uses of Grant funds under the Program, as set forth in Section 381.203; and any other documentation required by the Authority, the Auditor General and the Attorney General. IHDA 47 ILLINOIS ADMINISTRATIVE CODE 381 381.208 Section 381.208 Funding of Grants Subject to the terms of the Commitment with the Authority and the related documents evidencing the grant, the Authority will provide funds to the awarded municipalities and counties when the Appropriation is made available and as set forth in Sections 381.201 and 203. IHDA 47 ILLINOIS ADMINISTRATIVE CODE 381 381.209 Section 381.209 Reporting Requirements Each awarded municipality and county shall provide reports to the Authority, on forms provided by the Authority, at the end of each quarter of the term of its Commitment. The municipality or county shall identify, at a minimum, evidence and back-up documentation of expenses for Eligible Uses, including, but not limited to, receipts, ledgers, invoices, before and after pictures, addresses or geographic coordinates, number of abandoned residential properties served, and any other information requested by the Authority. EXHIBIT B TAXPAYER IDENTIFICATION NUMBER CERTIFICATION I certify that: 1. The number shown on this form is my correct taxpayer identification number(or I am waiting for a number to be issued to me),and 2. I am not subject to backup withholding because: (a) I am exempt from backup withholding, or(b) I have not been notified by the Internal Revenue Service (IRS) that I am subject to backup withholding as a result of a failure to report all interest or dividends,or(c)the IRS has notified me that I am no longer subject to backup withholding,and 3. I am a U.S.person(including a U.S.resident alien). Name(Printed): City of Elgin Taxpayer Identification Number: Social Security Number or Employer Identification Number 36-6005862 Legal Status(check one): Individual X_Governmental Sole Proprietorship Nonresident alien Partnership/Legal Corporation Estate or Trust Tax-exempt Pharmacy(non-corporate) Corporation providing or billing medical Pharmacy/Funeral Home/ and/or health care services Cemetery(Corp.) Corporation NOT providing or billing Limited Liability Company(select medical and/or health care services applicable tax classification) D=disregarded entity C=corporation P=partnership Other: Q>!� iQ 01 1(-4 Recipient Signature Dat BY MAJOR DAVID J.KAPTAIN 8 EXHIBIT C DRUG FREE WORK PLACE CERTIFICATE STATE OF ILLINOIS This certification is required by the Drug Free Workplace Act (30 ILCS 580). The Drug Free Workplace Act, effective January 1, 1992, requires that no grantee or contractor shall receive a grant or be considered for the purposes of being awarded a contract for the procurement of any property or services from the State unless that grantee or contractor has certified to the State that the grantee or contractor will provide a drug free workplace. False certification or violation of the certification may result in sanctions including, but not limited to, suspension of contract or grant payments, termination of the contract or grant and debarment from contracting or grant opportunities with the State for at least one(1) year but not more than five (5) years. For the purpose of this certification, "grantee" or "contractor" means a corporation, partnership, or other entity with twenty-five (25) or more employees at the time of the issuing of the grant, or a department, division, or other unit thereof, directly responsible for the specific performance under a contract or grant of$5,000 or more from the State. The contractor/grantee certifies and agrees that it will provide a drug free workplace by: (a) Publishing a statement: (1) Notifying employees that the unlawful manufacture, distribution, dispensing, possession or use of a controlled substance, including cannabis, is prohibited in the grantee's or contractor's workplace; (2) Specifying the actions that will be taken against employees for violations of such prohibition; and (3) Notifying the employees that, as a condition of employment on such contract or grant, the employee will: A. abide by the terms of the statement; and B. notify the employer of any criminal drug statute conviction for a violation occurring in the workplace no later than five(5) days after such conviction. (b) Establishing a drug free awareness program to inform employees about: (1) the dangers of drug abuse in the workplace; (2) the grantee's or contractor's policy of maintaining a drug free workplace; 9 (3) any available drug counseling, rehabilitation, and employee assistance programs; and (4) the penalties that may be imposed upon an employee for drug violations. (c) Providing a copy of the statement required by paragraph (a) hereof to each employee engaged in the performance of the contract or grant and posting the statement in a prominent place in the workplace. (d) Notifying the contracting or granting agency within ten (10) days after receiving notice under subparagraph (3) of paragraph (a) hereof from an employee, or otherwise receiving actual notice of such conviction. (e) Imposing a sanction on, or requiring the satisfactory participation in a drug abuse assistance or rehabilitation program by, any employee who is so convicted, as required by Section 5 of the Drug Free Workplace Act. (f) Assisting employees in selecting a course of action in the event drug counseling, treatment, and rehabilitation is required and indicating that a trained referral team is in place. (g) Making a good faith effort to continue to maintain a drug free workplace through implementation of the Drug Free Workplace Act. THE UNDERSIGNED AFFIRMS, UNDER PENALTIES OF PERJURY, THAT HE OR SHE IS AUTHORIZED TO EXECUTE THIS CERTIFICATION ON BEHALF OF THE DESIGNATED ORGANIZATION. CITY OF ELGIN an Illinois unit local go ent By: Name: Davi J. Kapta Title: Mayor 10