96-16 Resolution No. 96-16
RESOLUTION
AUTHORIZING EXECUTION OF A PURCHASE OF SERVICE
AGREEMENT WITH NEIGHBORHOOD HOUSING SERVICES
(Home Improvement Fund)
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN,
ILLINOIS, that Richard B. Helwig, 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 to capitalize
a Home Improvement Fund to buy, rehabilitate and redeuce the
number of dwelling units in lawful nonconforming residential
conversion properties located within the city limits, a copy
of which is attached hereto and made a part hereof by
reference.
s/ Kevin Kelly
Kevin Kelly, Mayor
Presented: February 14, 1996
Adopted: February 14, 1996
Vote: Yeas 7 Nays 0
Attest:
s/ Dolonna Mecum
Dolonna Mecum, City Clerk
PURCHASE OF SERVICE AGREEMENT BETWEEN
NEIGHBORHOOD HOUSING SERVICES OF ELGIN, INC.
AND THE CITY OF ELGIN
THIS AGREEMENT is made and entered into this f ` 7`eday of
f6' ' . , 1996, 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 has determined that it is in the best
interests of City and its citizens to promote and facilitate
the conversion of lawful nonconforming multifamily residential
properties to single family use; and
WHEREAS, NHS has successfully provided redevelopment
services and administration in the Elgin, Illinois area and is
familiar with and otherwise experienced in the historical,
geographic and architectural attributes of the City of Elgin
and surrounding area.
NOW, THEREFORE, for and in consideration of the mutual
promises and covenants contained herein, and other good and
valuable consideration, the receipt and sufficiency of which
is hereby acknowledged, the parties hereto hereby agree as
follows :
1 . On or before February 28, 1996, City shall pay to
NHS the sum of Three Hundred Thousand Dollars ($300,000 . 00) .
2 . NHS shall directly and solely utilize the
aforementioned $300, 000 to capitalize a Home Improvement Fund
(HIF) to buy, rehabilitate and reduce the number of dwelling
units in lawful nonconforming residential conversion
properties located within the corporate boundaries of the City
of Elgin, Illinois, pursuant to the terms and conditions
provided herein.
3 . NHS shall follow the following program objectives
and guidelines :
a. Focus on distressed properties;
b. Encourage reconversion of properties into
single-family residences;
c. Allow the funds provided herein to be used in
conjunction with other local funds such as the
multi-family conversion program and the historic
architectural rehabilitation grant;
d. Use the city capitalization provided for herein
to leverage additional bond and other private dollars;
e. Select projects using reasonable objective
criteria established by NHS;
f. Insure that all work performed shall be in
compliance with all applicable city codes and ordinances,
specifically including, but not limited to, approved
final inspections.
4 . NHS shall establish a separate fund for the funds
provided for herein. The fund is to be accounted for
separately in the annual NHS audit. NHS shall not borrow from
such fund for operations or otherwise obligate the fund for
purposes other than for project completion.
5. NHS shall hold harmless and indemnify City from and
against any and all claims for damages, lawsuits, causes of
action or any and all other liability which may arise out of
or in connection with NHS ' negligent performance of the terms
of this agreement, specifically including, but not limited to,
failure to adhere to the provisions of this agreement.
6 . This agreement may be terminated by City upon
fifteen ( 15) days written notice to NHS for any reason.
7 . NHS shall provide a detailed written report of all
expenditures of funds made pursuant to this agreement to City
after July 1, 1996 , and before July 15, 1996, which report
shall include but not be limited to properties converted,
amounts paid and selection criteria used.
8. The terms and provisions of this agreement shall be
severable. In the event that any portion of this agreement is
deemed to be void or otherwise unenforceable for any reason,
the remainder of this agreement shall remain in full force and
effect.
9 . This agreement shall be subject to and governed by
the laws of the State of Illinois .
10. This agreement represents the entire agreement
between the parties hereto. No other oral or written
agreements currently exist which shall modify or supersede the
terms of this agreement.
CITY OF ELGIN NEIGHBORHOOD HOUSI ,SERVICES
OF 141 N, ; NC.
By Y
Richard B. Helwig An• -1 ent al
City Manager Board President
Attest:
' i
D onna Mecum, City Clerk
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