HomeMy WebLinkAbout05-262 Resolution No. 05-262
RESOLUTION
AUTHORIZING EXECUTION OF A PURCHASE OF SERVICE AGREEMENT WITH
NEIGHBORHOOD HOUSING SERVICES OF ELGIN, INC. FOR OPERATIONAL SUPPORT
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN,ILLINOIS,that
Olufemi Folarin,City Manager,and Dolonna Mecum,City Clerk,be and are hereby authorized and
directed to execute a Purchase of Service Agreement on behalf of the City of Elgin with
Neighborhood Housing Services of Elgin,Inc. for operational support, a copy of which is attached
hereto and made a part hereof by reference.
s/Ed Schock
Ed Schock,Mayor
Presented: August 24, 2005
Adopted: August 24, 2005
Vote: Yeas: 7 Nays: 0
Attest:
s/Dolonna Mecum
Dolonna Mecum, City Clerk
PURCHASE OF SERVICE AGREEMENT
NEIGHBORHOOD HOUSING SERVICES OF ELGIN,INC.
AND THE CITY OF ELGIN
THIS AGREEMENT is made and entered into this .144,-"a day of /)t) o -r
2005, by and between the City of Elgin, Illinois, a municipal corporation (hereinafter
referred to as"City"), and Neighborhood Housing Services of Elgin, Inc., an Illinois not-
for-profit corporation(hereinafter referred to as"NHS").
WHEREAS, City is committed to the revitalization and strengthening of all
neighborhoods in Elgin; and
WHEREAS, NHS is incorporated to provide revitalization assistance within the
city limits; and
WHEREAS, City and NHS wish to work cooperatively to assist neighborhoods
throughout Elgin,particularly older established neighborhoods which are under stress.
NOW, THEREFORE, for and in consideration of the mutual promises and
covenants contained herein, the sufficiency of which is hereby mutually acknowledged,
the parties hereto hereby agree as follows:
1. NHS shall designate the Elgin Community Network, a citizen-based non-
profit group of neighborhood organizations(hereinafter referred to as"ECN"),to conduct
neighborhood organizing and outreach activities for NHS. Activities shall be as defined
by the Collaboration and Service Agreement, attached to incorporated into this agreement
as Exhibit A. NHS shall assist ECN by sharing expertise, knowledge and resources in
community organizing available through NeighborWorks America (hereinafter referred
to as "NWA"). NHS is a chartered member of NWA, a congressionally chartered not-
for-profit organization that provides training, technical support and grants to local
neighborhood housing services.
2. NHS shall encourage home ownership, sound property maintenance and
housing rehabilitation for the betterment of Elgin's neighborhoods through outreach
efforts and programs such as the First-Time Homebuyer's Down-payment Assistance
Program and Revolving Loan Fund/Rehabilitation Loan Program as well as offering pre
and post purchase education. The Executive Director will also be a member of the City
of Elgin's Home Expo Committee.
3. NHS shall maintain the NHS Paint/Tool Lending Library, providing
materials and supplies for home maintenance and improvement.
4. NHS shall actively seek to develop minority involvement in NHS
activities and in the community through outreach, including targeted communications to
organizations representing the minority population.
5. The NHS Board shall meet at least monthly.
6. All property, whether real or otherwise, under NHS ownership or control
shall be in compliance with all applicable City codes and ordinances, and all other
applicable law.
7. No real property shall be conveyed by NHS to a third party unless it has
been inspected by the Department of Code Administration and Development Services of
the City within the past thirty (30) days and has been found by the City to be in
compliance with all applicable ordinances and grant program regulations. In the event
that the real property is found not to be in compliance with the applicable provisions of
the Property Maintenance Code (Chapter 16.12 of the Elgin Municipal Code, 1976, as
amended) and such property meets the minimum standards of habitability, such property
may be conveyed and occupied if a written time schedule setting forth completion dates
for all necessary repairs or modifications is filed with and approved by the Department of
Code Administration and Development Services after being approved in writing by the
authorized representatives of NHS and purchasers of such property.
8. City shall pay NHS a total sum of Fifty Four Thousand Dollars and
no/100ths ($54,000.00) to be provided within thirty days of the execution of this
agreement and upon receipt of written assurances acceptable to the City by an
independent auditor that fmancial statements fairly present the financial position of NHS
and that NHS is compliant with all its bylaws, all applicable law, and standard accounting
and business practices. In addition, an independent auditor shall attest that written
policies and practices are in place and have been followed to assure internal controls exist
for the proper accounting and disbursement of operating expenditures and grant funds;to
include but not limited to, Board review and approval of all invoices prior to payment,
two (2) signatures on each disbursement check, and Board approval of monthly financial
statements(balance sheet,revenue and expense reports, etc.).
9. NHS shall have an annual audit of its financial statements performed by an
independent certified public accountant licensed to do business in the State of Illinois.
Two copies of the audited financial statements shall be delivered to the City along with
the Management Letter and any other correspondence related to internal control matters
by June 1, 2006.
10. The City of Elgin shall be recognized as a sponsor of NHS and shall
receive the benefits of sponsorship consistent with the level of financial support provided
in this agreement. At minimum, the City's support shall be acknowledged in all
brochures promoting the organization, WEB page information and press releases. Three
samples of this acknowledgement shall be provided to the City. The City Seal shall be
provided by the City to be used for this purpose. City Seal must be produced in all
written publications in black or PMS 285 C blue.
11. NHS shall provide a budget to the City which shall reflect the projected
distribution of funds received from the City during the term of this agreement. The
budget shall be submitted to the City Manager's Office prior to receipt of City funds.
12. Purchase of Service Agreement funds received from the City shall be used
only for general operating purposes, including but not limited to utility payments, staff
salaries and for those activities expressly set forth in this agreement.
13. Purchase of Service Agreement funds received from the City shall be
deposited in a general purpose account but not commingled with funds restricted for
special purposes.
14. NHS shall provide a written performance report detailing the disbursement
of the $54,000.00 provided for herein. This report shall be provided to the City by
December 31, 2005 and shall include a description of all activity funded. These reports
shall be submitted to the City Manager's Office, City Hall, 150 Dexter Court, Elgin,
Illinois 60120.
15. NHS shall provide City with financial statements relative to the
organization's total operations. These statements shall be provided by July 31, 2005 and
December 31, 2005. These reports shall be submitted to the City Manager's Office, City
Hall, 150 Dexter Court,Elgin,Illinois 60120.
16. City shall not be required to make any payment to NHS unless City has
been provided with reasonable evidence of compliance with the terms of this agreement
by NHS. Such evidence shall include, but not be limited to, receipts and other evidence
of expenses incurred.
17. NHS shall not provide any funds derived from City pursuant to this
agreement to any director, employee,volunteer or agent of NHS for any personal benefit.
18. This agreement shall not be deemed or construed to create an employment,
joint venture,partnership or other agency relationship between the parties hereto.
19. To the fullest extent permitted by law, NHS agrees to indemnify, defend
and hold harmless the City, its officers, employees, boards and commissions from and
against any and all claims, suits,judgments, costs, attorney's fees, damages or other relief
arising out of or resulting from or through or alleged to arise out of any reckless negligent
acts or omissions of NHS or its officers, employees or agents in the performance of this
agreement. In the event of any actions against the City, its officers, employees, agents,
boards or commissions covered by the foregoing duty to indemnify, defend and hold
harmless, such action shall be defended by Legal counsel of the City's choosing. The
provisions of this paragraph shall survive any termination and/or expiration of this
agreement.
20. Unless otherwise terminated as provided herein, this agreement shall
terminate on December 31, 2005.
21. Either party hereto may terminate this agreement upon thirty (30) days
written notice for any or no reason.
22. In the event this agreement is terminated or in the event the program for
which the City funds provided herein are to be applied is discontinued or NHS ceases its
operations prior to December 31, 2005, NHS shall refund to the City on a pro rata per
diem basis the funds paid hereunder for the portion of the year remaining after any such
termination or for the portion of the year such programs or NHS operations were not
conducted.
23. The terms of this agreement shall be severable. In the event that any of
the terms or provisions of this agreement are found to be void or otherwise
unenforceable,the remainder of this agreement shall remain in full force and effect.
24. This agreement shall be subject to and governed by the laws of the State of
Illinois. Venue for the resolution of any disputes or the enforcement of any rights arising
out of or in connection with this agreement shall be in the Circuit Court of Kane County,
Illinois.
CITY OF ELGIN NEI BORHOOD OU G SERVICES
OF ip C.
By �_�.� �._•.�.rw� B,
Olufemi Fo : n . n W. Roberson
City anage ,:oard President
Attest:
A.-43-14.14 /'L- ----
Dolonna Mecum,City Clerk
NHS and ECN Partnership 2005-2006 Agreement
Exhibit A
Collaboration and Service Agreement
NHS of Elgin and ECN
This agreement, made and entered into this August 2005,by and between Neighborhood Housing
Services of Elgin, Inc., an Illinois not-for-profit corporation("NHS") and Elgin Community Network, NFP, an
Illinois not-for-profit corporation("ECN").
Whereas, the mission of NHS of Elgin, Inc. is a local agency dedicated to providing a strong foundation in the
fundamentals of homeownership. We seek to strengthen and enhance our community by developing and
administering programs and educational resources that foster homebuyer and homeowner education and
community development.
Whereas, ECN is an independent, citizen-based organization and its mission is to provide a structure for
communication, collaboration and coordination between Elgin's neighborhoods, city staff and elected officials.
This innovative, proactive program was initiated to promote resident involvement through the creation of
Neighborhood Area Boards representing all interests in each area, and one central Elgin Community Network
consisting of representatives from each of those areas.
Whereas NHS and ECN were both founded by civic-minded individuals determined to improve Elgin by
strengthening its communities, and each is a 501(c)(3)not-for-profit corporation.
Whereas NHS and ECN have cooperated successfully in the past, such as the 2005 National
Naeighborworks Week.
Whereas NHS and ECN have determined that, by working together in partnership, each organization can
better and more efficiently fulfill their respective missions.
Services provided by NHS to ECN
NHS shall provide, at no expense to ECN,the following services and facilities:
1) Office Space: Exclusive use of one desk, one chair, one file cabinet and one phone extension. ECN
shall have one set copy of keys to the NHS offices. ECN shall have access to its desk and the conference
room during all hours NHS's office is open for business(NHS's current business hours are Mon-Fri 9:00
a.m. until 4:30 p.m. NHS reserves the right to modify its office hours.) Prior notice is required for access to
ECN's desk and/or the conference room during times NHS's office is closed.
2) Shared use of NHS's mailing address: NHS staff shall maintain an internal mailbox for ECN.
3) Shared use of NHS's office facilities, such as bathrooms, sinks, microwave, refrigerator, garbage and
recycling containers.
4) Fund raising and grant writing consultation provided by NHS's Executive Director(maximum one hour
per week if requested).
Page 1 of 3
NHS and ECN Partnership 2005-2006 Agreement
Services provided by NHS to ECN continued
5) Limited* use of local phone service: NHS staff will take phone messages for ECN.
6) Limited* use of the NHS's conference room .
7) Limited* use of NHS's copier machine.
8) Limited* use of NHS's fax machine.
9) Limited* use of NHS computers and printers for occasional, small printing jobs.
10)Limited* access to NHS's internet service provider.
* NHS reserves the right to limit use of these facilities in its Executive Director's sole discretion.
ECN to Furnish
ECN shall supply its own requirements for the following:
1) Any necessary office supplies for ECN use.
2) Any computers necessary for ECN's day-to-day use(NHS's computers and printers are only
available for occasional, small print jobs and occasional internet access.)
Obligations of ECN
ECN agrees as follows:
1) ECN shall apply for and use its best efforts to enter into a Purchase of Service Agreement with the
City of Elgin..
2) ECN shall participate in NHS's NeighborWorks Week activities in 2006.
3) ECN shall produce a quarterly neighborhood newsletter(The Elgin Community Builder)
guaranteeing at least two pages for NHS's exclusive use. NHS's Executive Director shall have the
right to review the newsletter at least three business days prior to publication, and may identify any
areas to which NHS objects, which shall be appropriately modified or deleted.
4) NHS's Executive Director and ECN's Executive Director shall be invited to attend each agencies'
Board of Directors' meetings.
5) ECN shall continue to participate in and partner with NeighborWorks America's Community
Leadership Institute in 2006.
6) ECN shall distribute NHS's marketing and program materials at all events in which ECN is
participating or is a sponsor. At all events, ECN staff shall be trained to answer basic questions
about NHS, and shall refer any necessary follow up to the appropriate NHS Staff.
Page 2 of 3
• • NHS and ECN Partnership 2005-2006 Agreement
Additional Terms
This agreement shall be effective upon execution and shall expire on December 31, 2006.
In the event that NHS reasonably determines that ECN's activities require liability insurance, ECN shall
obtain said insurance, naming NHS as an additional insured if so requested by NHS, prior to the
participating in the activities which create the exposure.
By their signatures hereon, each party represents that entry into this agreement has been approved by that
party's Board of Directors.
Accepted and Agreed:4Elgimudetwor1 NFP, an Illinois not-for-profit corporation
By. - i
It's xe utive Director
Nei_ •• hood Hou 'n. .: ices of Elgin, Inc., an Illinois not-for-profit corporation
By: 14
A. . \
It's Executi1'Direcr•r
Page 3 of 3
•
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�� � c'ti Agenda Item No.
City of Elgin
Gyri 'l rr rr
tp, TED Cit E
L
G -*—
August 19, 2005
TO: Mayor and Members of the City Council
NEIGHBORHOOD VITALITY
FROM: Olufemi Folarin, City Manager r'4/s,es-
RuthAnne K. Hall, Management Analyst
SUBJECT: Purchase of Service Agreement with Neighborhood Housing Services of Elgin
PURPOSE
The purpose of this memorandum is to provide the Mayor and members of the City Council with
information to consider a Purchase of Service Agreement with Neighborhood Housing Services
of Elgin.
RECOMMENDATION
1/0"' It is recommended that the City Council approve the Purchase of Service Agreement with
Neighborhood Housing Services of Elgin, providing financial support in the amount of$54,000.
BACKGROUND
Neighborhood Housing Services of Elgin (NHS) was founded on May 26, 1981, and is a charter
member of Neighborhood Reinvestment Corporation's NeighborWorks Network. The mission
of NHS is as a local agency dedicated to providing a strong foundation in the fundamentals of
homeownership. NHS seeks to strengthen and enhance the community by developing and
administering programs and educational resources that foster homebuyer and homeowner
education and community development.
Since 1981, over $16 million has been invested by NHS's housing stock and in neighborhood
development activities. Their partnership with the City of Elgin, area residents, and the business
and financial communities has resulted in the rehabilitation of nearly one thousand properties in
Elgin. In 2004,NHS provided its services to over 300 Elgin residents.
To continue its service to the community, a new Purchase of Service Agreement with NHS has
been prepared, providing $54,000 in funding. This funding provides NHS with operational
support needed to conduct citywide neighborhood revitalization efforts. NHS will continue to
assist Elgin residents and neighborhoods by encouraging homeownership, property maintenance,
and housing rehabilitation. NHS will provide programs and activities as follows:
fl.".. • Revolving Loan Fund/Rehabilitation Loan Program with diversified lending products.
• Paint/Tool Lending Library.
Purchase of Service Agreement with Neighborhood Housing Services of Elgin
August 19, 2005
Page 2
• Community outreach efforts related to affordable housing issues.
• Coordination of Neighborworks Week.
• Elgin Homebuyers Expo Committee member.
• Neighborhood Improvement Planning committee member for the Northeast
Neighborhood Association.
In addition, NHS recently created a new five year strategic plan which will focus on
homeownership. As part of that strategic plan, NHS will begin in 2005-2006 by focusing on
providing pre- and post-purchase housing counseling, providing more diversified lending
products and engaging the Elgin community as a whole on affordable housing issues.
COMMUNITY GROUPS/INTERESTED PERSONS CONTACTED
None
TFINANCIAL IMPACT
There are sufficient funds budgeted ($54,000) and available ($54,000) in the Riverboat Fund,
account number 275-0000-791.80-25, to enter into the Purchase of Service Agreement with NHS
/0*' for a total of$54,000.
WEGAL IMPACT
None.
ALTERNATIVES
1. Approve the Purchase of Service Agreement with Neighborhood Housing Services of
Elgin.
2. Modify the provisions of the Purchase of Service Agreement.
3. Elect not to enter into the Purchase of Service Agreement, thereby declining to support
Neighborhood Housing Services.
Respectfully submitted for Council consideration.
RKH
Attachements