HomeMy WebLinkAboutOrder 039 - Onsite Wastewater SystemsDeschutes County Board of Commissioners
1300 NW Wall St., Suite 200, Bend, OR 97701-1960
(541) 388-6570 - Fax (541) 385-3202 - www.deschutes.org
AGENDA REQUEST & STAFF REPORT
For Board Business Meeting of August 4, 2010
Please see directions for completing this document on the next page.
DATE: July 28, 2010
FROM: Tom Anderson Community Development (CDD) 385-1704
TITLE OF AGENDA ITEM:
Consideration of Board Signature of Order No. 2010-039, an Order amending Order 2010-006 to limit
Deschutes County financial assistance for installation of a nitrogen reducing onsite wastewater
treatment system to the cost of the system.
PUBLIC HEARING ON THIS DATE? No
BACKGROUND AND POLICY IMPLICATIONS:
In 2008, Deschutes County began requiring residents in the South County with failing septic systems to
upgrade to nitrogen reducing systems in order to protect the drinking water in the region from high
nitrate levels. This Order would establish and limit financial assistance to cover the cost of installation
of the nitrogen reducing onsite wastewater system for those qualified South County property owner s by
coordinating the septic rebate program with County sponsored loans through Neighborlmpact. It
essentially requires that rebates be used as a payment against a County -sponsored Neighborlmpact oan.
FISCAL IMPLICATIONS:
Limits the amount of County financial assistance to the cost of an individual property septic upgrade.
Both the rebate program and the Neighborlmpact program are budgeted in Fund 296, the Groundwater
Partnership Fund.
RECOMMENDATION & ACTION REQUESTED:
Approval and signature of Order No. 2010-039.
ATTENDANCE: Tom Anderson, CDD Director; Laurie Craghead, Assistant Legal Counsel;] odd
Cleveland, CDD Registered Environmental Health Specialist.
DISTRIBUTION OF DOCUMENTS:
Kathleen Stockton (call for pick up, x3193)
DESCHUTES COUNTY DOCUMENT SUMMARY
(NOTE: This form is required to be submitted with ALL contracts and other agreements, regardless of whether the document is to be
on a Board agenda or can be signed by the County Administrator or Department Director. If the document is to be on a Board
agenda, the Agenda Request Form is also required. If this form is not included with the document, the document will be returned to
the Department. Please submit documents to the Board Secretary for tracking purposes, and not directly to Legal Counsel, the
County Administrator or the Commissioners. In addition to submitting this form with your documents, please submit this form
electronically to the Board Secretary.)
Date:
7/15/10
Please complete all sections above the Official Review line.
Department:
Contractor/Supplier/Consultant Name:
Contractor Contact:
ext. 111
Laura Fritz
CDD
Neighborlmpact
Contractor Phone #:
Type of Document: Personal Services Contract
318-7506,
Goods and/or Services: Deschutes County will provide funding for septic upgrade
deferred loans to low income households in South County. Neighborlmpact will act as
the contractor in administering this loan program for Deschutes County.
Background & History: Since 1994, Neighborlmpact has been administering a
homeowner housing rehabilitation program to assist low income homeowners who
cannot qualify for conventional loans to address health and safety issues in order to
remain living in their homes.
In 2008, Deschutes County began requiring residents in the South County with failing
septic systems, to upgrade to nitrogen reducing systems in order to protect the drinking
water in the region from high nitrate levels. Neighborlmpact has been working with
Deschutes County to try to provide financing through their Housing Rehabilitation
Program to low income families who cannot afford to undertake this upgrade.
The purpose of this Contract will be for Neighborlmpact to establish a separate lending
pool for South Deschutes County residents who have been disqualified from the existing
loan program due to mortgage delinquency and/or inadequate equity. Deschutes
County will provide $60,000 during FY 2010-11 to Neighborlmpact to administer the
non -conforming loan program for septic upgrades.
Agreement Starting Date:
the contract.
July 30, 2010 or the date on which each party has signed
Ending Date: Oune 30, 20111
Annual Value or Total Payment:
$60,000.00
❑ Insurance Certificate Received check box)
Insurance Expiration Date:
Check all that apply:
❑ RFP, Solicitation or Bid Process
❑ Informal quotes (<$150K)
® Exempt from RFP, Solicitation or Bid Process (specify — see DCC §2.37)
7/15/2010
Funding Source: (Included in current budget? ® Yes ❑ No
If No, has budget amendment been submitted? ❑ Yes No
Is this a Grant Agreement providing revenue to the County? ❑ Yes ® No
Special conditions attached to this grant:
Deadlines for reporting to the grantor:
If a new FTE will be hired with grant funds, confirm that Personnel has been notified that
it is a grant -funded position so that this will be noted in the offer letter: ❑ Yes ❑ No
Contact information for the person responsible for grant compliance: Name:
Phone #:
Departmental Contact and Title: Tom Anderson, CDD Director
Phone #: 385-1704
Department Director Approval:
7-
Signature Date
Distribution of Document: Who gets the original document and/or copies after it has
been signed? Include complete information if the document is to be mailed.
Official Review:
County Signature Required (check one): ❑ BOCC ❑ Department Director (if <$25K)
,) Administrator (if >$25K but <$150K; if >$15QK, BOCC Order No. )
Legal Review l ( Date 7/10d
Document Number .: C / ,i (-1L 1_
7/15/2010
REVIEWED
LEGAL COUNSEL
For Recording Stamp Only
BEFORE THE BOARD OF COUNTY COMMISSIONERS OF DESCHUTES COUNTY, OREGON
An Order Amending Order 2010-006 to Limit
Deschutes County Financial Assistance for Installation
of a Nitrogen Reducing Onsite Wastewater Treatment
System to the Cost of the System.
*
*
*
ORDER NO. 2010-039
WHEREAS, Order 2010-006 was duly adopted by the Board of County Commissioners ("Board") or
January 6, 2010; and
WHEREAS, concurrent with this order, the County Administrator executed Contract No. 2010-442 with
Neighborlmpact for cost -deferred, low interest loans to provide needed financial assistance to qualifying
property owners within southern Deschutes County who purchase and install nitrogen -reducing wastewater
treatment systems; and
WHEREAS, property owners within southern Deschutes County may qualify for the County rebate
program specified by Order 2010-006 and the above described loan; and
WHEREAS, the Board desires that the County financial assistance be limited to the cost of a nitrogen -
reducing onsite wastewater treatment system; and
WHEREAS, funding a loan through Neighborlmpact under Contract No. 2010-442 and also providing
an unrestricted rebate under the program specified by Order 2010-006 would exceed the cost of purchasing o: nd
installing a nitrogen reducing onsite wastewater treatment system; now, therefore,
THE BOARD OF COUNTY COMMISSIONERS OF DESCHUTES COUNTY, OREGON, HEREBY
ORDERS as follows:
Section 1. Order 2010-006 is amended such that no rebate or loan involving funds administered by
Deschutes County for the purchase and installation of a nitrogen -reducing wastewater treatment system shall
exceed the cost of the purchase and installation of such a system.
Section 2. On or after the effective date of Contract No. 2010-442, if a property owner applies and
qualifies for a rebate under Order 2010-006 and qualifies for a loan under Contract No. 2010-442, County sttaff
shall not pay the rebate directly to the property owner and shall forward to Neighborlmpact an amount eqthtl to
the rebate as a payment toward the property owner's loan for the purchase and installation of a nitrogen -
reducing wastewater treatment system.
Section 3. County staff is directed to furnish the property owner with documentation of the payme it to
Neighborlmpact.
///
PAGE 1 OF 2- ORDER NO. 2010-039
Section 4. All other provisions of Order 2010-006 remain in full force and effect.
Dated this of , 2010. BOARD OF COUNTY COMMISSIONERS
OF DESCHUTES COUNTY, OREGON
DENNIS R. LUKE, Chair
ALAN UNGER, Vice Chair
ATTEST:
Recording Secretary TAMMY BANEY, Commissioner
PAGE 2 OF 2- ORDER No. 2010-039
REVIEWED
LEGAL COUNSEL
For Recording Stamp Only
DESCHUTES COUNTY SERVICES CONTRACT
CONTRACT NO. 2010-442
This Contract is between DESCHUTES COUNTY, a political subdivision, acting by and through the Community
Development Department (County) and Neighborlmpact (Contractor). The parties agree as follows:
Effective Date and Termination Date. The effective date of this Contract shall be upon execution, on which each party
has signed this Contract, whichever is later. Unless extended or terminated earlier in accordance with its terms, this Contract
shall terminate when County accepts Contractor's completed performance or on June 30, 2011, whichever date occurs last.
Contract termination shall not extinguish or prejudice County's right to enforce this Contract with respect to any default by
Contractor that has not been cured.
Statement of Work. Contractor shall perform the work described in Exhibit 1.
Payment for Work. County agrees to pay Contractor in accordance with Exhibit 1.
Contract Documents. This Contract includes Page 1-8 and Exhibits 1, 2, 3, 4, 5, 6, 7, 8 and 9.
CONTRACTOR DATA AND SIGNATURE
Contractor Address: 20310 Empire Blvd., Suite A-110, Bend, OR 97701
Federal Tax ID# or Social Security #:
Is Contractor a nonresident alien? ❑Yes ❑ No
Business Designation (check one): ❑ Sole Proprietorship ❑ Partnership
❑ Corporation -for profit ❑ Corporation -non-profit ❑ Other, describe
A Federal tax ID number or Social Security number is required to be provided by the Contractor and shall be used for the
administration of state, federal and local tax laws. Payment information shall be reported to the Internal Revenue Service
under the name and Federal tax ID number or, if none, the Social Security number provided above.
I have read this Contract including the attached Exhibits. I understand this Contract and agree to be bound by its
terms. NOTE: Contractor shall also sign Exhibits 3 and 4 and, if applicable, Exhibit 6.
Signature Title
Name (please print) Date
DESCHUTES COUNTY SIGNATURE
Contracts with a maximum consideration of not greater than $25,000 are not valid and not binding on the County until
signed by the appropriate Deschutes County Department Head. Additionally, Contracts with a maximum consideration
greater than $25,000 but less than $150,000 are not valid and not binding on the County until signed by the County
Administrator or the Board of County Commissioners.
Dated this of
, 20
Dated this of 20
DESCHUTES COUNTY DIRECTOR OF COUNTY ADMINISTRATOR
Page 1 of 19 - Personal Services Contract No. 2010-442
David Kanner
OC -2010-
STANDARD TERMS AND CONDITIONS
1. Time is of the Essence. Contractor agrees that time is of the essence in the performance of this
Contract.
2. Compensation. Payment for all work performed under this Contract shall be made in the amounts
and manner set forth in Exhibit 1.
a. Payments shall be made to Contractor following County's review and approval of billings and
deliverables submitted by Contractor.
b. All Contractor billings are subject to the maximum compensation amount of this contract.
c. Contractor shall not submit billings for, and County shall not pay, any amount in excess of the
maximum compensation amount of this Contract, including any reimbursable expenses, (See
Exhibit 5).
1) If the maximum compensation amount is increased by amendment to this Contract, the
amendment shall be signed by both parties and fully executed before Contractor performs
work subject to the amendment.
2) No payment shall be made for any services performed before the beginning date or after the
expiration date of this contract.
d. This Contract shall not be amended after the expiration date.
e. Unless otherwise specifically provided in Exhibit 5, Contractor shall submit monthly invoices for
work performed. The invoices shall describe all work performed with particularity and by whom it
was performed and shall itemize and explain all expenses for which reimbursement is claimed.
f. The invoices also shall include the total amount invoiced to date by Contractor prior to the current
invoice.
g. Prior to approval or payment of any billing, County may require and Contractor shall provide any
information which County deems necessary to verify work has been properly performed in
accordance with the Contract.
3. Delegation, Subcontracts and Assignment. Contractor shall not delegate or subcontract any of the
work required by this Contract or assign or transfer any of its interest in this Contract, without the prior
written consent of County.
a. Any delegation, subcontract, assignment, or transfer without prior written consent of County shall
constitute a material breach of this contract.
b. Any such assignment or transfer, if approved, is subject to such conditions and provisions as the
County may deem necessary.
c. No approval by the County of any assignment or transfer of interest shall be deemed to create any
obligation of the County to increase rates of payment or maximum Contract consideration.
d. Prior written approval shall not be required for the purchase by the Contractor of articles, supplies
and services which are incidental to the provision of services under this Contract that are
necessary for the performance of the work.
e. Any subcontracts that the County may authorize shall contain all requirements of this contract,
and unless otherwise specified by the County the Contractor shall be responsible for the
performance of the subcontractor.
4. No Third Party Beneficiaries.
a. County and Contractor are the only parties to this Contract and are the only parties entitled to
enforce its terms.
b. Nothing in this Contract gives or provides any benefit or right, whether directly, indirectly, or
otherwise, to third persons unless such third persons are individually identified by name in this
Contract and expressly described as intended beneficiaries of this Contract.
5. Successors in Interest. The provisions of this Contract shall be binding upon and inure to the benefit
of the parties and their successors and approved assigns, if any.
6. Early Termination. This Contract may be terminated as follows:
a. Mutual Consent. County and Contractor, by mutual written agreement, may terminate this
Contract at any time.
Page 2 of 19 - Personal Services Contract No. 2010-442
b. Party's Convenience. County or Contractor may terminate this Contract for any reason upon 30
calendar days written notice to the other party.
c. For Cause. County may also terminate this Contract effective upon delivery of written notice to the
Contractor, or at such later date as may be established by the County, under any of the following
conditions:
1) If funding from state or other sources is not obtained and continued at levels sufficient to allow
for the purchase of the indicated quantity of services as required in this Contract.
2) This Contract may be modified to accommodate the change in available funds.
3) If state laws, regulations or guidelines are modified, changed or interpreted in such a way that
the services are no longer allowable or appropriate for purchase under this Contract or are no
longer eligible for the funding proposed for payments authorized by this Contract.
4) In the event sufficient funds shall not be appropriated for the payment of consideration
required to be paid under this Contract, and if County has no funds legally available for
consideration from other sources.
5) If any license or certificate required by law or regulation to be held by the Contractor to
provide the services required by this Contract is for any reason denied, revoked, suspended,
not renewed or changed in such a way that the Contractor no longer meets requirements for
such license or certificate.
d. Contractor Default or Breach. The County, by written notice to the Contractor, may immediately
terminate the whole or any part of this Contract under any of the following conditions:
1) If the Contractor fails to provide services called for by this Contract within the time specified or
any extension thereof.
2) If the Contractor fails to perform any of the other requirements of this Contract or so fails to
pursue the work so as to endanger performance of this Contract in accordance with its terms,
and after receipt of written notice from the County specifying such failure, the Contractor fails
to correct such failure within 10 calendar days or such other period as the County may
authorize.
3) Contractor institutes or has instituted against it insolvency, receivership or bankruptcy
proceedings, makes an assignment for the benefit of creditors, or ceases doing business on a
regular basis.
e. County Default or Breach.
1) Contractor may terminate this Contract in the event of a breach of this Contract by the County.
Prior to such termination, the Contractor shall give to the County written notice of the breach
and intent to terminate.
2) If the County has not entirely cured the breach within 10 calendar days of the date of the
notice, then the Contractor may terminate this Contract at any time thereafter by giving notice
of termination.
7. Payment on Early Termination. Upon termination pursuant to paragraph 6, payment shall be made
as follows:
a. If terminated under subparagraphs 6 a. through c of this Contract, the County shall pay
Contractor for work performed prior to the termination date if such work was performed in
accordance with the Contract. Provided however, County shall not pay Contractor for any
obligations or liabilities incurred by Contractor after Contractor receives written notice of
termination.
b. If this Contract is terminated under subparagraph 6 d. of this Contract, County obligations shall be
limited to payment for services provided in accordance with this Contract prior to the date of
termination, less any damages suffered by the County.
c. If terminated under subparagraph 6 e of this Contract by the Contractor due to a breach by the
County, then the County shall pay the Contractor for work performed prior to the termination date
if such work was performed in accordance with the Contract:
1) with respect to services compensable on an hourly basis, for unpaid invoices, hours worked
within any limits set forth in this Contract but not yet billed, authorized expenses incurred if
payable according to this Contract and interest within the limits set forth under ORS 293.462,
and
2) with respect to deliverable -based Work, the sum designated for completing the deliverable
multiplied by the percentage of Work completed and accepted by County, less previous amounts
paid and any claim(s) that County has against Contractor.
Page 3 of 19 - Personal Services Contract No. 2010-442
3) Subject to the limitations under paragraph 8 of this Contract.
8. Remedies. In the event of breach of this Contract the parties shall have the following remedies:
a. Termination under subparagraphs 6 a. through c. of this Contract shall be without prejudice to any
obligations or liabilities of either party already reasonably incurred prior to such termination.
1) Contractor may not incur obligations or liabilities after Contractor receives written notice of
termination.
2) Additionally, neither party shall be liable for any indirect, incidental, consequential or special
damages under this Contract or for any damages of any sort arising solely from the
termination of this Contract in accordance with its terms.
b. If terminated under subparagraph 6 d. of this Contract by the County due to a breach by the
Contractor, County may pursue any remedies available at law or in equity.
1) Such remedies may include, but are not limited to, termination of this contract, return of all or
a portion of this Contract amount, payment of interest earned on this Contract amount, and
declaration of ineligibility for the receipt of future contract awards.
2) Additionally, County may complete the work either by itself, by agreement with another
Contractor, or by a combination thereof. If the cost of completing the work exceeds the
remaining unpaid balance of the total compensation provided under this Contract, then the
Contractor shall be liable to the County for the amount of the reasonable excess.
c. If amounts previously paid to Contractor exceed the amount due to Contractor under this
Contract, Contractor shall repay any excess to County upon demand.
d. Neither County nor Contractor shall be held responsible for delay or default caused by fire, civil
unrest, labor unrest, riot, acts of God, or war where such cause was beyond reasonable control of
County or Contractor, respectively; however, Contractor shall make all reasonable efforts to
remove or eliminate such a cause of delay or default and shall, upon the cessation of the cause,
diligently pursue performance of its obligations under this Contract. For any delay in performance
as a result of the events described in this subparagraph, Contractor shall be entitled to additional
reasonable time for performance that shall be set forth in an amendment to this Contract.
e. The passage of this Contract expiration date shall not extinguish or prejudice the County's or
Contractor's right to enforce this Contract with respect to any default or defect in performance that
has not been cured.
f. County's remedies are cumulative to the extent the remedies are not inconsistent, and County
may pursue any remedy or remedies singly, collectively, successively or in any order whatsoever.
9. Contractor's Tender upon Termination. Upon receiving a notice of termination of this Contract,
Contractor shall immediately cease all activities under this Contract unless County expressly directs
otherwise in such notice of termination
a. Upon termination of this Contract, Contractor shall deliver to County all documents, information,
works -in -progress and other property that are or would be deliverables had this Contract been
com pleted.
b. Upon County's request, Contractor shall surrender to anyone County designates, all documents,
research, objects or other tangible things needed to complete the work.
10. Work Standard.
a. Contractor shall be solely responsible for and shall have control over the means, methods,
techniques, sequences and procedures of performing the work, subject to the plans and
specifications under this Contract and shall be solely responsible for the errors and omissions of
its employees, subcontractors and agents.
b. For goods and services to be provided under this contract, Contractor agrees to:
1) perform the work in a good, workmanlike, and timely manner using the schedule, materials,
plans and specifications approved by County;
2) comply with all applicable legal requirements;
3) comply with all programs, directives, and instructions of County relating to safety, storage of
equipment or materials;
4) take all precautions necessary to protect the safety of all persons at or near County or
Contractor's facilities, including employees of Contractor, County and any other contractors or
subcontractors and to protect the work and all other property against damage.
Page 4 of 19 - Personal Services Contract No. 2010-442
11. Drugs and Alcohol. Contractor shall adhere to and enforce a zero tolerance policy for the use of
alcohol and the unlawful selling, possession or use of controlled substances while performing work
under this Contract.
12. Insurance. Contractor shall provide insurance in accordance with Exhibit 2 attached hereto and
incorporated by reference herein.
13. Expense Reimbursement. If the consideration under this Contract provides for the reimbursement of
Contractor for expenses, in addition to Exhibit 5, Exhibit 1 shall state that Contractor is or is not
entitled to reimbursement for such expenses.
a. County shall only reimburse Contractor for expenses reasonably and necessarily incurred in the
performance of this contract.
b. Expenses reimbursed shall be at the actual cost incurred; including any taxes paid, and shall not
include any mark-up unless the mark-up on expenses is specifically agreed to in this Contract.
c. The cost of any subcontracted work approved in this Contract shall not be marked up.
d. Contractor shall not bill County for any time expended to complete the documents necessary for
reimbursement of expenses or for payment under this contract.
e. The limitations applicable to reimbursable expenses are set forth in Exhibit "5," attached hereto
and by reference incorporated herein.
14. Criminal Background Investigations. Contractor understands that Contractor and Contractor's
employees and agents are subject to periodic criminal background investigations by County and, if
such investigations disclose criminal activity not disclosed by Contractor, such non -disclosure shall
constitute a material breach of this Contract and County may terminate this Contract effective upon
delivery of written notice to the Contractor, or at such later date as may be established by the County.
15. Confidentiality. Contractor shall maintain confidentiality of information obtained pursuant to this
Contract as follows:
a. Contractor shall not use, release or disclose any information concerning any employee, client,
applicant or person doing business with the County for any purpose not directly connected with
the administration of County's or the Contractor's responsibilities under this Contract except upon
written consent of the County, and if applicable, the employee, client, applicant or person.
b. The Contractor shall ensure that its agents, employees, officers and subcontractors with access to
County and Contractor records understand and comply with this confidentiality provision.
c. Contractor shall treat all information as to personal facts and circumstances obtained on Medicaid
eligible individuals as privileged communication, shall hold such information confidential, and shall
not disclose such information without the written consent of the individual, his or her attorney, the
responsible parent of a minor child, or the child's guardian, except as required by other terms of
this Contract.
d. Nothing prohibits the disclosure of information in summaries, statistical information, or other form
that does not identify particular individuals.
e. Personally identifiable health information about applicants and Medicaid recipients will be subject
to the transaction, security and privacy provisions of the Health Insurance Portability and
Accountability Act ("HIPAA").
f. Contractor shall cooperate with County in the adoption of policies and procedures for maintaining
the privacy and security of records and for conducting transactions pursuant to HIPAA
requirements.
g. This Contract may be amended in writing in the future to incorporate additional requirements
related to compliance with HIPAA.
h. If Contractor receives or transmits protected health information, Contractor shall enter into a
Business Associate Agreement with County, which, if attached hereto, shall become a part of this
Contract.
16. Reports. Contractor shall provide County with periodic reports at the frequency and with the
information prescribed by County. Further, at any time, County has the right to demand adequate
assurances that the services provided by Contractor shall be in accordance with the Contract. Such
assurances provided by Contractor shall be supported by documentation in Contractor's possession
from third parties.
Page 5 of 19 - Personal Services Contract No. 2010-442
17. Access to Records. Contractor shall maintain fiscal records and all other records pertinent to this
Contract.
a. All fiscal records shall be maintained pursuant to generally accepted accounting standards, and
other records shall be maintained to the extent necessary to clearly reflect actions taken
1) All records shall be retained and kept accessible for at least three years following the final
payment made under this Contract or all pending matters are closed, whichever is later.
2) If an audit, litigation or other action involving this Contract is started before the end of the
three year period, the records shall be retained until all issues arising out of the action are
resolved or until the end of the three year period, whichever is later.
b. County and its authorized representatives shall have the right to direct access to all of
Contractor's books, documents, papers and records related to this Contract for the purpose of
conducting audits and examinations and making copies, excerpts and transcripts.
1) These records also include licensed software and any records in electronic form, including but
not limited to computer hard drives, tape backups and other such storage devices. County
shall reimburse Contractor for Contractor's cost of preparing copies.
2) At Contractor's expense, the County, the Secretary of State's Office of the State of Oregon,
the Federal Government, and their duly authorized representatives, shall have license to enter
upon Contractor's premises to access and inspect the books, documents, papers, computer
software, electronic files and any other records of the Contractor which are directly pertinent
to this Contract.
3) If Contractor's dwelling is Contractor's place of business, Contractor may, at Contractor's
expense, make the above records available at a location acceptable to the County.
18. Ownership of Work. All work of Contractor that results from this Contract (the "Work Product") is the
exclusive property of County.
a. County and Contractor intend that such Work Product be deemed "work made for hire" of which
County shall be deemed author.
b. If, for any reason, the Work Product is not deemed "work made for hire," Contractor hereby
irrevocably assigns to County all of its right, title, and interest in and to any and all of the Work
Product, whether arising from copyright, patent, trademark, trade secret, or any other state or
federal intellectual property law or doctrine.
c. Contractor shall execute such further documents and instruments as County may reasonably
request in order to fully vest such rights in County.
d. Contractor forever waives any and all rights relating to Work Product, including without limitation,
any and all rights arising under 17 USC § 106A or any other rights of identification of authorship or
rights of approval, restriction or limitation on use or subsequent modifications.
e County shall have no rights in any pre-existing work product of Contractor provided to County by
Contractor in the performance of this Contract except an irrevocable, non-exclusive, perpetual,
royalty -free license to copy, use and re -use any such work product for County use only.
f. If this Contract is terminated prior to completion, and County is not in default, County, in addition
to any other rights provided by this Contract, may require Contractor to transfer and deliver all
partially completed work products, reports or documentation that Contractor has specifically
developed or specifically acquired for the performance of this Contract.
g. In the event that Work Product is deemed Contractor's Intellectual Property and not "work made for
hire," Contractor hereby grants to County an irrevocable, non-exclusive, perpetual, royalty -free
license to use, reproduce, prepare derivative works based upon, distribute copies of, perform and
display the Contractor Intellectual Property, and to authorize others to do the same on County's
behalf.
h. In the event that Work Product is Third Party Intellectual Property, Contractor shall secure on the
County's behalf and in the name of the County, an irrevocable, non-exclusive, perpetual, royalty -free
license to use, reproduce, prepare derivative works based upon, distribute copies of, perform and
display the Third Party Intellectual Property, and to authorize others to do the same on County's
behalf.
19. County Code Provisions. Except as otherwise specifically provided, the provisions of Deschutes
County Code, Section 2.37.150 are incorporated herein by reference. Such code section may be
Page 6 of 19 - Personal Services Contract No. 2010-442
found at the following URL address:
http://www.co.deschutes.or.us/dccode/Title2/html/Chapter2.37.htm.
20. Partnership. County is not, by virtue of this contract, a partner or joint venturer with Contractor in
connection with activities carried out under this contract, and shall have no obligation with respect to
Contractor's debts or any other liabilities of each and every nature.
21. Indemnity and Hold Harmless.
a. To the fullest extent authorized by law Contractor shall defend, save, hold harmless and indemnify
the County and its officers, employees and agents from and against all claims, suits, actions,
losses, damages, liabilities costs and expenses of any nature resulting from or arising out of, or
relating to the activities of Contractor or its officers, employees, contractors, or agents under this
Contract, including without limitation any claims that the work, the work product or any other
tangible or intangible items delivered to County by Contractor that may be the subject of protection
under any state or federal intellectual property law or doctrine, or the County's use thereof,
infringes any patent, copyright, trade secret, trademark, trade dress, mask work utility design or
other proprietary right of any third party.
b. Contractor shall have control of the defense and settlement of any claim that is subject to
subparagraph a of this paragraph; however neither contractor nor any attorney engaged by
Contractor shall defend the claim in the name of Deschutes County or any department or agency
thereof, nor purport to act as legal representative of the County or any of its departments or
agencies without first receiving from the County's legal counsel, in a form and manner determined
appropriate by the County's legal counsel, authority to act as legal counsel for the County, nor
shall Contractor settle any claim on behalf of the Count without the approval of the County's legal
counsel.
c. To the extent permitted by Article XI, Section 10, of the Oregon Constitution and the Oregon Tort
Claims Act, ORS 30.260 through 30.300, County shall defend, save, hold harmless and indemnify
Contractor and its officers, employees and agents from and against all claims, suits, actions,
losses, damages, liabilities costs and expenses of any nature resulting from or arising out of, or
relating to the activities of County or its officers, employees, contractors, or agents under this
Contract.
22. Waiver.
a. County's delay in exercising, or failure to exercise any right, power, or privilege under this Contract
shall not operate as a waiver thereof, nor shall any single or partial exercise or any right, power, or
privilege under this Contract preclude any other or further exercise thereof or the exercise of any
other such right, power, or privilege.
b. The remedies provided herein are cumulative and not exclusive of any remedies provided by law.
23. Governing Law. This Contract shall be governed by and construed in accordance with the laws of the
State of Oregon without regard to principles of conflicts of law.
a. Any claim, action, suit or proceeding (collectively, "Claim") between County and Contractor that
arises from or relates to this Contract shall be brought and conducted solely and exclusively within
the Circuit Court of Deschutes County for the State of Oregon; provided, however, if a Claim shall
be brought in federal forum, then it shall be brought and conducted solely and exclusively within
the United States District Court for the District of Oregon.
b. CONTRACTOR, BY EXECUTION OF THIS CONTRACT, HEREBY CONSENTS TO THE IN
PERSONAM JURISDICTION OF SAID COURTS. The parties agree that the UN Convention on
International Sales of Goods shall not apply.
24. Severability. If any term or provision of this Contract is declared by a court of competent jurisdiction
to be illegal or in conflict with any law, the validity of the remaining terms and provisions shall not be
affected, and the rights and obligations of the parties shall be construed and enforced as if this
Contract did not contain the particular term or provision held invalid.
25. Counterparts. This Contract may be executed in several counterparts, all of which when taken
together shall constitute one agreement binding on all parties, notwithstanding that all parties are not
Page 7 of 19 - Personal Services Contract No. 2010-442
signatories to the same counterpart. Each copy of this Contract so executed shall constitute on
original.
26. Notice. Except as otherwise expressly provided in this Contract, any communications between the
parties hereto or notices to be given hereunder shall be given in writing, to Contractor or County at the
address or number set forth below or to such other addresses or numbers as either party may
hereafter indicate in writing. Delivery may be by personal delivery, facsimile, or mailing the same,
postage prepaid.
a. Any communication or notice by personal delivery shall be deemed delivered when actually given
to the designated person or representative.
b. Any communication or notice sent by facsimile shall be deemed delivered when the transmitting
machine generates receipt of the transmission. To be effective against County, such facsimile
transmission shall be confirmed by telephone notice to the County Administrator.
c. Any communication or notice mailed shall be deemed delivered five (5) days after mailing. Any
notice under this Contract shall be mailed by first class postage or delivered as follows:
To Contractor:
Laura Fritz
Housing Center Manager
20310 Empire Blvd., Suite A-110
Bend, OR 97701
Fax No. 541-548-6013
To County:
David Kanner
County Administrator
1300 NW Wall Street, Suite 200
Bend, Oregon 97701
Fax No. 541-385-3202
27. Merger Clause. This Contract and the attached exhibits constitute the entire agreement between the
parties.
a. All understandings and agreements between the parties and representations by either party
concerning this Contract are contained in this Contract.
b. No waiver, consent, modification or change in the terms of this Contract shall bind either party
unless in writing signed by both parties.
c. Any written waiver, consent, modification or change shall be effective only in the specific instance
and for the specific purpose given.
28. Identity Theft Protection. Contractor and subcontractors shall comply with the Oregon Consumer
Identity Theft Protection Act (ORS 646A.600 et seq.).
29. Survival. All rights and obligations shall cease upon termination or expiration of this Contract, except
for the rights and obligations set forth in Sections 4, 5, 8, 9, 15, 17, 18, 20-27, 28 and 30.
30. Representations and Warranties.
a. Contractor's Representations and Warranties. Contractor represents and warrants to County
that:
1) Contractor has the power and authority to enter into and perform this Contract;
2) this Contract, when executed and delivered, shall be a valid and binding obligation of Contractor
enforceable in accordance with its terms;
3) Contractor has the skill and knowledge possessed by well-informed members of its industry,
trade or profession and Contractor will apply that skill and knowledge with care and diligence
to perform the Work in a professional manner and in accordance with standards prevalent in
Contractor's industry, trade or profession;
4) Contractor shall, at all times during the term of this Contract, be qualified, professionally
competent, and duly licensed to perform the Work;
5) Contractor prepared its proposal related to this Contract, if any, independently from all other
proposers, and without collusion, fraud, or other dishonesty; and
6) Contractor's making and performance of this Contract do not and will not violate any provision of
any applicable law, rule or regulation or order of any court, regulatory commission, board or
other administrative agency.
b. Warranties Cumulative. The warranties set forth in this paragraph are in addition to, and not in lieu
of, any other warranties provided
Page 8 of 19 - Personal Services Contract No. 2010-442
EXHIBIT 1
DESCHUTES COUNTY SERVICES CONTRACT
Contract No. 2010-442
STATEMENT OF WORK, COMPENSATION
PAYMENT TERMS and SCHEDULE
1. Contractor shall perform the following work:
a. Contractor shall provide loans ("Nonconforming Loans") to Clients who have residential
mortgages encumbering their primary dwellings and who would not otherwise qualify for a loan
under Contractor's existing Home Rehabilitation Loan Program ("Conforming Loan") as that
existing loan program is described in Exhibit 8, attached and incorporated by reference herein.
b. Except as provided for in Paragraph 1. c., d., h., i., j., k., I.,u., the terms of the Nonconforming loan
shall be the same as terms described in Exhibit 8.
c. "Client means any single person, married couple or domestic partnership who owns and resides in
a dwelling, as his or her primary residence, located in the areas designated in Exhibit 7, attached
and incorporated by reference herein.
d. Contractor shall provide not more than one Nonconforming loan per lot.
e. Contractor shall receive and review all applications from Clients, and upon approval, provide
funding for those Nonconforming Loans and service all Nonconforming Loans.
f. "Service all Nonconforming Loans" means:
1) To monitor each Client receiving a Nonconforming Loan throughout the period of the loan to
assure that the Client continues to meet the program requirements; for example, maintain
owner occupancy and home owners insurance;
2) To maintain an accounting of all payments made by Clients to Contractor for each
Nonconforming Loan;
3) To allow County access to the payment accounting described in Paragraph 1.f.2) upon
County's reasonable request;
4) When a Nonconforming Loan is paid in full, to prepare the appropriate documentation to
authorize reconveyance of the trust deed and to send such documentation, along with the
original loan documents, to the lender/party paying off the Nonconforming loan;
5) To deposit with County, in accordance with instructions from County's Finance Department, all
Client Nonconforming Loan payments to County within fifteen (15) days of when a
Nonconforming Loan is paid in full;
6) To assist each Client with answering questions regarding the Client's Nonconforming Loan.
g. Funding for Nonconforming Loans approved by Contractor shall be provided from the grant
described in Paragraph 2 below.
h. Nonconforming Loans shall only be used to pay the costs of Client's upgrading existing onsite
wastewater treatment systems to nitrogen -reducing systems as required by County ("Upgrade").
i. Contractor shall require any Client who applies for a Nonconforming Loan to provide Contractor
documentation of the estimated cost for an Upgrade.
j. Except as provided in Paragraph 1.k. below, Contractor shall not provide a Nonconforming Loan
for more than the Client's estimated cost for an Upgrade and its installation.
k. Contractor may provide a Nonconforming Loan for more than the Client's estimated cost for an
Upgrade and its installation if:
1) Physical characteristics of the Client's property will result in additional cost for installation of the
Upgrade;
2) The installation contractor provides written documentation of physical characteristics of the
Client's property and the estimated additional cost; and
3) Contractor provides County with a copy of the written documentation described in Paragraph
1.h.2).
I. Notwithstanding the foregoing, Contractor shall not provide a Nonconforming Loan of more than
$25,000 per Client.
m. Contractor shall apply Contractor's existing Conforming Loan rules, attached as Exhibit 8 and
incorporated by reference herein, in determining whether a Client shall be awarded a
Nonconforming Loan, with the following exceptions:
1) Contractor will consider for approval of a Nonconforming Loan application from Clients who
failed to make one or more timely mortgage payment;
Page 9 of 19 - Personal Services Contract No. 2010-442
2) Contractor will consider for approval Nonconforming Loan applications from Clients whose
home equity is insufficient to secure the Nonconforming Loan;
3) Except for Paragraph 1.1.(2), for all Clients under Paragraph 1.i.2), Contractor shall not
consider any loan to value criteria;
4) Contractor shall require all Clients who apply for a Nonconforming Loan to attend Contractor's
Foreclosure Prevention Workshop and to meet with one of Contractor's foreclosure counselors
before considering the Nonconforming Loan application for approval;
5) Contractor shall not require a certified general contractor; and
6) The Client may have existing judgment liens attached to the Client's real property.
n. Upon written notice from the County that an emergency exists for the installation of a Client's
upgrade, Contractor shall expedite, to the extent possible under federal lending guidelines, the
application as follows:
1) Contractor shall review and approve or deny the Client's application prior to all other
applications previously submitted by other Clients; and
2) Contractor shall postpone the requirement for the Client to attend foreclosure workshop and
counseling until after the loan is issued by Contractor.
o. Contractor shall provide approximately two to eight Nonconforming Loans during the period of this
contract.
p. Contractor shall provide a quarterly accounting to the County of all loan applications being
reviewed, loans funded and Upgrades installed.
q. If the $60,000 in grant funds from the County described in Paragraph 2.a. are fully utilized by
Contractor prior to expiration of this contract and Contractor requests additional grant funds, this
contract may be amended upon written agreement of Contractor and County to add additional
funds for the Nonconforming Loan program.
r. Contractor will provide additional Contractor funds to fund loans only for Upgrades to Clients who
qualify for Contractor's existing Conforming Loan program.
s. Contractor will provide funds in the amount of up to $60,000 from its Revolving Loan Fund for the
Conforming Loans.
t. Contractor will provide the Conforming Loan matching funds for two years.
u. Prior to issuing any Nonconforming Loan, Contractor shall submit the Client's application to the
County Community Development Director for approval per Paragraph 2.b as to whether or not the
Client's property is within the territory in Exhibit 7 and requires an Upgrade.
v. Prior to issuing any Nonconforming Loan, Contractor shall verify that the Client has obtained an
installation permit from County for the Upgrade.
w. Contractor shall not approve loans from the Grant Funds described in Paragraph 2.a in excess of
$60,000 without the express written approval of the County.
2. County Services. County shall provide Contractor, at County's expense, with material and services
described as follows:
a. Within forty-five (45) days of all signatures on this contract, County shall deposit with Contractor
Grant Funds in an amount not to exceed $60,000 for Contractor to provide Nonconforming Loans.
b. Within ten (10) days of receipt from Contractor of a Client's application for a Nonconforming Loan,
County shall provide Contractor with the completed loan authorization form, attached as Exhibit 9
and incorporated by reference herein, for each Client approved by County for any Nonconforming
Loan approval recommended to the County by Contractor.
c. County may refer to Contractor Clients who may be eligible for either the Nonconforming Loans or
Conforming Loans.
d. When approving an Upgrade installation permit, County will follow all state and county regulations
for requiring Upgrade installation contractor certification.
3. Consideration.
a. County shall pay Contractor a fee of ten percent (10%) of the Nonconforming Loan amount per
Nonconforming Loan awarded to a client as consideration for servicing the Nonconforming Loan.
b. Contractor may deduct the fee in Paragraph 3.a. from the $60,000 County grant funds described
in Paragraph 2.a.
c. Contractor shall be entitled to reimbursement for expenses as set forth in Exhibit 5
0 YES 0 NO [Check one]
Page 10 of 19 - Personal Services Contract No. 2010-442
4. The maximum compensation.
a. The maximum compensation under this contract, including allowable expenses, is $6,000.
b. Contractor shall not submit invoices for, and County shall not pay for any amount in excess of the
maximum compensation amount set forth above.
1) If this maximum compensation amount is increased by amendment of this contract, the
amendment shall be fully effective before contractor performs work subject to the
amendment.
2) Contractor shall notify County in writing of the impending expiration of this Contract thirty (30)
calendar days prior to the expiration date.
5. Schedule of Performance or Delivery.
a. County's obligation to pay depends upon Contractor's delivery or performance in accordance with
the following schedule listed in Exhibit 1, Paragraph 1.
b. County will only pay for completed work that conforms to the Contract.
Page 11 of 19 - Personal Services Contract No. 2010-442
EXHIBIT 2
DESCHUTES COUNTY SERVICES CONTRACT
Contract No. 2010-442
INSURANCE REQUIREMENTS
Contractor shall at all times maintain in force at Contractor's expense, each insurance noted below.
Insurance coverage must apply on a primary or non-contributory basis. All insurance policies,
except Professional Liability, shall be written on an occurrence basis and be in effect for the term of
this contract. Policies written on a "claims made" basis must be approved and authorized by
Deschutes County.
Contractor Name: Neighborlmpact
Workers Compensation insurance in compliance with ORS 656.017, requiring Contractor and all
subcontractors to provide workers' compensation coverage for all subject workers, or provide certification
of exempt status. Employer's Liability Insurance with coverage limits of not less than $500,000 must be
included.
Professional Liability insurance with an occurrence combined single limit of not less than:
Per Occurrence limit Annual Aggregate limit
❑ $500,000
❑ $1,000,000
❑ $2,000,000
❑ $500,000
❑ $1,000,000
O $2,000,000
Professional Liability insurance covers damages caused by error, omission, or negligent acts related to
professional services provided under this Contract. The policy must provide extended reporting period
coverage, sometimes referred to as "tail coverage" for claims made within two years after this contract is
completed.
❑ Required by County pff Not required by County Ione box must be checked)
Commercial General Liability insurance with a combined single limit of not less than:
Per Single Claimant and Incident
*Oregon Tort Claims Act limits
O $1,000,000
❑ $2,000,000
All Claimants Arising from Single Incident
Oregon Tort Claims Act limits
o $2,000,000
❑ $3,000,000
Commercial General Liability insurance includes coverage for personal injury, bodily injury, advertising
injury, property damage, premises, operations, products, completed operations and contractual damages.
The Oregon Legislature has adopted legislation which establishes tort claims limits for actions against local
public bodies, including their officers, agents and employees. The tort claims act limits are automatically
adjusted on July 1 every year.
By separate endorsement, the policy shall name Deschutes County, its officers, agents, employees
and volunteers as an additional insured. The additional insured endorsement shall not include
declarations that reduce any per occurrence or aggregate insurance limit. The contractor shall provide
additional coverage based on any outstanding claim(s) made against policy limits to ensure that minimum
insurance limits required by the County are maintained. Construction contracts may include aggregate
limits that apply on a "per location" or "per project" basis.
Required by County 0 Not required by County (One box must be checked)
Page 12 of 19 - Personal Services Contract No 2010-442
Automobile Liability insurance with a combined single limit of not less than:
Per Occurrence
❑ $500,000
❑ $1,000,000
❑ $2,000,000
Automobile Liability insurance includes coverage for bodily injury and property damage resulting from
operation of a motor vehicle. Commercial Automobile Liability Insurance shall provide coverage for any
motor vehicle (symbol 1 on some insurance certificates) driven by or on behalf of Contractor during the
course of providing services under this contract Commercial Automobile Liability is required for contractors
that own business vehicles registered to the business Examples include: plumbers, electricians or
construction contractors. An Example of an acceptable personal automobile policy is a contractor who is a
sole proprietor that does not own vehicles registered to the business.
❑ Required by Count q. Not required by County (one box must be checked)
Additional Requirements. Contractor shall pay all deductibles and self-insured retentions. A cross -liability clause
or separation of insured's condition must be included in all commercial general liability policies required by this
Contract. Contractor's coverage will be primary in the event of loss.
Certificate of Insurance Required. Contractor shall furnish a current Certificate of Insurance to the County with
the signed Contract. The Certificate shall provide that there shall be no cancellation, termination, material change,
or reduction of limits of the insurance coverage without at least 30 days written notice from the Contractor's insurer
to the County. The Certificate shall also state the deductible or, if applicable, the self-insured retention level. For
commercial general liability coverage, the Certificate shall also provide, by policy endorsement, that Deschutes
County, its agents, officers, employees and volunteers are additional insureds with respect to Contractor's
services provided under this Contract. The endorsement must be in a format acceptable to Deschutes County. If
requested, complete copies of insurance policies shall be provided to the County.
Page 13 of 19 - Personal Services Contract No. 2010-442
Date
/7-
d
EXHIBIT 3
DESCHUTES COUNTY SERVICES CONTRACT
Contract No. 2010-442
CERTIFICATION STATEMENT FOR CORPORATION
OR INDEPENDENT CONTRACTOR
NOTE: Contractor Shall Complete A or B in addition to C below:
A. CONTRACTOR IS A CORPORATION, LIMITED LIABILITY COMPANY OR A PARTNERSHIP.
I certify under penalty of perjury that Contractor is a [check one]:
❑ Corporation ❑ Limited Liability Company ❑ Partnership authorized to do business in the State of Oregon.
Signature
Title
Date
B. CONTRACTOR IS A SOLE PROPRIETOR WORKING AS AN INDEPENDENT CONTRACTOR.
Contractor certifies under penalty of perjury that the following statements are true:
1. If Contractor performed labor or services as an independent Contractor last year, Contractor filed federal and
state income tax returns last year in the name of the business (or filed a Schedule C in the name of the
business as part of a personal income tax return), and
2. Contractor represents to the public that the labor or services Contractor provides are provided by an
independently established business registered with the State of Oregon, and
3. All of the statements checked below are true.
NOTE: Check all that apply. You shall check at least three (3) - to establish that you are an
Independent Contractor.
A. The labor or services I perform are primarily carried out at a location that is separate from my
residence or primarily carried out in a specific portion of my residence that is set aside as the
location of the business.
B. I bear the risk of loss related to the business or provision of services as shown by factors such
as: (a) fixed-price agreements; (b) correcting defective work; (c) warranties over the services or
(d) indemnification agreements, liability insurance, performance bonds or professional liability
insurance.
C. I have made significant investment in the business through means such as: (a) purchasing
necessary tools or equipment; (b) paying for the premises or facilities where services are
provided; or (c) paying for licenses, certificates or specialized training.
D. I have the authority to hire other persons to provide or to assist in providing the services and if
necessary to fire such persons.
E. Each year I perform labor or services for at least two different persons or entities or I routinely
engage in business advertising, solicitation or other marketing efforts reasonably calculated to
obtain new contracts to provide similar services.
Contractor Signature Date
Page 14 of 19 - Personal Services Contract No. 2010-442
C. Representation and Warranties.
Contractor certifies under penalty of perjury that the following statements are true to the best of
Contractor's knowledge:
1. Contractor has the power and authority to enter into and perform this contract;
2. This contract, when executed and delivered, shall be a valid and binding obligation of Contractor enforceable
in accordance with its terms;
3. The services under this Contract shall be performed in a good and workmanlike manner and in accordance
with the highest professional standards; and
4. Contractor shall, at all times during the term of this contract, be qualified, professionally competent, and duly
licensed to perform the services.
5. To the best of Contractor's knowledge, Contractor is not in violation of any tax laws described in ORS
305.380(4),
6. Contractor understands that Contractor is responsible for any federal or state taxes applicable to any
consideration and payments paid to Contractor under this contract; and
7. Contractor has not discriminated against minority, women or small business enterprises in obtaining any
required subcontracts.
Contractor Signature Date
Page 15 of 19 - Personal Services Contract No. 2010-442
EXHIBIT 4
DESCHUTES COUNTY SERVICES CONTRACT
Contract No. 2010-442
Workers' Compensation Exemption Certificate
(To be used only when Contractor claims to be exempt from Workers' Compensation coverage requirements)
Contractor is exempt from the requirement to obtain workers' compensation insurance under ORS Chapter 656 for the following reason
(check the appropriate box):
❑ SOLE PROPRIETOR
• Contractor is a sole proprietor, and
• Contractor has no employees, and
• Contractor shall not hire employees to perform this contract.
❑ CORPORATION - FOR PROFIT
• Contractor's business is incorporated, and
• All employees of the corporation are officers and directors and have a substantial ownership interest* in the
corporation, and
• The officers and directors shall perform all work. Contractor shall not hire other employees to perform this
contract.
CORPORATION - NONPROFIT
• Contractor's business is incorporated as a nonprofit corporation, and
• Contractor has no employees; all work is performed by volunteers, and
• Contractor shall not hire employees to perform this contract.
❑ PARTNERSHIP
• Contractor is a partnership, and
• Contractor has no employees, and
• All work shall be performed by the partners; Contractor shall not hire employees to perform this contract, and
• Contractor is not engaged in work performed in direct connection with the construction, alteration, repair,
improvement, moving or demolition of an improvement to real property or appurtenances thereto.
❑ LIMITED LIABILITY COMPANY
• Contractor is a limited liability company, and
• Contractor has no employees, and
• All work shall be performed by the members; Contractor shall not hire employees to perform this contract, and
• If Contractor has more than one member, Contractor is not engaged in work performed in direct connection with
the construction, alteration, repair, improvement, moving or demolition of an improvement to real property or
appurtenances thereto.
*NOTE: Under OAR 436-050-050 a shareholder has a "substantial ownership" interest if the shareholder owns 10% of the corporation or,
if less than 10% is owned, the shareholder has ownership that is at least equal to or greater than the average percentage of ownership of
all shareholders.
**NOTE: Under certain circumstances partnerships and limited liability companies can claim an exemption even when performing
construction work. The requirements for this exemption are complicated. Consult with County Counsel before an exemption request is
accepted from a contractor who shall perform construction work.
Contractor Printed Name
Contractor Signature
Contractor Title Date
Page 16 of 19 - Personal Services Contract No. 2010-442
EXHIBIT 5
DESCHUTES COUNTY SERVICES CONTRACT
Contract No. 2010-442
Expense Reimbursement
1. Travel and Other Expenses. (When travel and other expenses are reimbursed.)
a. It is the policy of the County that all travel shall be allowed only when the travel is essential to the normal
discharge of the County responsibilities.
1) All travel shall be conducted in the most efficient and cost effective manner resulting in the best
value to the County.
2) Travel expenses shall be reimbursed for official County business only.
3) County shall not reimburse Contractor for any item that is not otherwise available for reimbursement
to an employee of Deschutes County per Deschutes County Finance Policy F-1,
"REIMBURSEMENT FOR MISCELLANEOUS EXPENSES AND EXPENSES INCURRED WHILE
TRAVELING ON COUNTY BUSINESS," dated 11/8/06.
4) County may approve a form other than the County Employee Reimbursement Form for Contractor to
submit an itemized description of travel expenses for payment.
5) Personal expenses shall not be authorized at any time.
6) All expenses are included in the total maximum contract amount.
b. Travel expenses shall be reimbursed only in accordance with rates approved by the County and only
when the reimbursement of expenses is specifically provided for in Exhibit 1, paragraph 3 of this
contract.
c. The current approved rates for reimbursement of travel expenses are set forth in the above described
policy.
d. County shall not reimburse for any expenses related to alcohol consumption or entertainment.
e. Except where noted, detailed receipts for all expenses shall be provided.
f. Charge slips for gross amounts are not acceptable.
g. County shall not reimburse Contractor for any item that is not otherwise available for reimbursement to
an employee of Deschutes County.
2. Approved reimbursements:
a. Mileage. Contractor shall be entitled to mileage for travel in a private automobile while Contractor is
acting within the course and scope of Contractor's duties under this Contract and driving over the most
direct and usually traveled route to and from Bend, Oregon.
1) Reimbursement for mileage shall be equal to but not exceed those set by the United States General
Services Administration ("GSA") and are subject to change accordingly.
2) To qualify for mileage reimbursement, Contractor shall hold a valid, current driver's license for the
class of vehicle to be driven and carry personal automobile liability insurance in amounts not less
than those required by this contract.
3) No mileage reimbursement shall be paid for the use of motorcycles or mopeds.
b. Meals.
1) Any reimbursement for meals shall be for actual cost of meals incurred by Contractor while acting
within the course and scope of Contractor's duties under this contract.
2) For purposes of calculating individual meals where the Contractor is entitled only to a partial day
reimbursement, the following maximum allocation of the meal expenses applies:
a) Breakfast, $10;
b) Lunch, $12;
c) Dinner, $22.
3) Except in the event of necessary overnight travel as provided below, partial day meal expenses shall
be reimbursed as follows and only while Contractor is acting within the course and scope of
Contractor's duties under this contract:
a) Breakfast expenses are reimbursable if Contractor is required to travel more than two (2) hours:
before the start Contractor's regular workday (i.e. 8:00 a.m.).
b) Lunch expenses are reimbursable only if Contractor is required to travel overnight and begins
the journey before 11:00 am or ends the journey after 11:00 a.m.
c) Dinner expenses are reimbursable only if Contractor is required to travel more than two (2)
hours after Contractor's regular workday (i.e. 5:00 p.m.).
Page 17 of 19 - Personal Services Contract No. 2010-442
4) Breakfast and dinner expenses are reimbursable during Contractor's necessary overnight travel
while acting within the course and scope of Contractor's duties under this contract and shall not
exceed those set by the GSA. and are subject to change accordingly.
c. Lodging.
1) County shall reimburse Contractor for Contractor's actual cost of lodging necessary to provide
service to the County and shall not exceed the maximum lodge set by the GSA for Bend, Oregon.
2) Reimbursement rates for lodging are not considered "per diem" and receipts are required for
reimbursement.
d County shall not reimburse Contractor in excess of the lowest fair for any airline ticket or vehicle rental
charges.
3. Exceptions. Contractor shall obtain separate written approval of the County Administrator for any
exceptions to the expense items listed above prior to incurring any expense for which reimbursement shall
be sought.
Page 18 of 19 - Personal Services Contract No. 2010-442
Exhibit 6
DESCHUTES COUNTY SERVICES CONTRACT
Contract No. 2010-442
Compliance with provisions, requirements of funding source and
Federal and State laws, statutes, rules, regulations, executive orders and policies.
Conflicts of Interest
Contractor certifies under penalty of perjury that the following statements are true to the best of
Contractor's knowledge:
1. If Contractor is currently performing work for the County, State of Oregon or federal government, Contractor,
by signature to this Contract, declares and certifies that Contractor's Work to be performed under this
Contract creates no potential or actual conflict of interest as defined by ORS 244 and no rules or regulations
of Contractor's employee agency (County State or Federal) would prohibit Contractor's Work under this
Contract. Contractor is not an "officer," "employee," or "agent" of the County, as those terms are used in
ORS 30.265.
2. No federally appropriated funds have been paid or shall be paid, by or on behalf of Contractor, to any person
for influencing or attempting to influence an officer or employee of any agency, a member of Congress, an
officer or employee of Congress, or an employee of a member of Congress in connection with the awarding
of any federal contract, the making of any federal grant, the making of any federal loan, the entering into of
any cooperative agreement, and the extension, continuation, renewal, amendment, or modification of any
federal contract, grant, loan, or cooperative agreement.
a. If any funds other than federally appropriated funds have been paid or shall be paid to any person for
influencing or attempting to influence an officer or employee of any agency, a member of Congress, an
officer or employee of Congress, or an employee of a member of Congress in connection with this
federal contract, grant, loan, or cooperative agreement, Contractor agrees to complete and submit
Standard Form -LLL "Disclosure Form to Report Lobbying," in accordance with its instructions.
1) Standard Form -LLL and instructions are located in 45 CFR Part 93 Appendix B.
2) If instructions require filing the form with the applicable federal entity, Contractor shall then as a
material condition of this Contract also file a copy of the Standard Form -LLL with the Department.
3) This filing shall occur at the same time as the filing in accordance with the instructions.
b. Contractor understands this certification is a material representation of fact upon which the County and
the Department has relied in entering into this Contract. Contractor further understands that submission
of this certification is a prerequisite, imposed by 31 USC 1352 for entering into this Contract.
c. Any person who fails to file the required certification shall be subject to a civil penalty of not less than
$10,000 and not more than $100,000 for each such failure.
d. Contractor shall include the language of this certification in the award documents for all sub -awards at all
tiers (including subcontracts, sub -grants, and contracts under grants, loans and cooperative
agreements) and that all sub -recipients shall certify and disclose accordingly.
e. Contractor is solely responsible for all liability arising from a failure by Contractor to comply with the
terms of this certification.
f. Contractor promises to indemnify County for any damages suffered by County as a result of Contractor's
failure to comply with the terms of this certification.
3. Contractor understands that, if this Contract involves federally appropriated funds, this certification is a
material representation of facts upon which reliance was placed when this Contract was made or entered
into, submission of this certification is a prerequisite for make or entering into this Contract imposed by
Section 1352, Title 311, U.S. Code and that any person who fails to file the required certification shall be
subject to a civil penalty of not less than $10,000 and not more than $100,000 for each failure.
Contractor Signature Date
Page 19 of 19 - Personal Services Contract No. 2010-442
1" = 2.6 Mi.
EXHIBIT 7
Deschutes County / Neighborlmpact
Contract Service Area
T. 19 R. 09
T.20 R.09
T. 21 R. 09
T. 22 R. 09
T. 19 R. 10
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EXHIBIT 8
CENTRAL OREGON HOUSING REHABILITATION LOAN PROGRAM 2008
Policies &Procedures
INTRODUCTION
The Central Oregon Housing Rehabilitation Loan Program 2008, operating under
the Central Oregon, Regional Loan Fund (CORLF) and funding in part through an
Oregon Housing and Community Services (OHCS) Community Development
Block Grant, was initiated in response to a prevailing need in the community.
The target service area will be the Crook, Deschutes and Jefferson Counties.
The rehabilitation goals of the program are:
1. To alleviate health and safety problems and correct structural
deficiencies in target area homes.
2. To conserve and improve existing low income housing stock.
3. To enable lower income residents of the targeted area to remain in
their homes.
The Central Oregon Regional Loan Fund program goals are:
1. Increase the number of units receiving rehabilitation services of the
program through leveraging additional funds.
2. Increase cost effectiveness of the rehabilitation funds within the
region during subsequent program uses after the initial repayment.
3. Reduce jurisdictional administrative burden costs through transfer
of program responsibilities, including future reporting and
implementation, from the participating jurisdictions to the loan fund.
4. Defederalize the CDBG funds.
INDEX
SECTION 1: APPLICANT ELIGIBILITY Pages 2 — 4
SECTION 2: REHABILITATION LOAN Pages 4 — 7
REQUIREMENTS
SECTION 3: APPLICATION PROCESSING Page 8
SECTION 4: THE CONSTRUCTION CONTRACT Pages 9 —11
SECTION 5: CONFLICT OF INTEREST Page 11
SECTION 6: POLICY EXCEPTIONS Page 12
SECTION 7: GRIEVANCE PROCEDURE Page 12
SECTION 8: PROGRAM INCOME Page 12
1
SECTION 1: APPLICANT ELIGIBILITY
For the purposes of this program, "applicant" is the person(s) who own the
property and any other persons sharing residency whose income and resources
are available to meet the household's needs and who are either related by blood,
marriage or operation of law, or who evidenced a stable family relationship for
the six months prior to signing the application.
To be eligible for a Housing Rehabilitation Loan, an applicant must meet all of the
following requirements:
1:1 Residency: The property must be within the target area approved in the
grant application.
1:1.1 Single family homes that are owner occupied.
1:1.2 Manufactured homes and duplexes that are owner occupied are
eligible. All homes subject to annual program verification that
property is still owner occupied.
1:2 Income: Annual gross income of the applicant must not exceed 80% of the
applicants county median income limits as established by HUD. The
limits, by family size, are listed in Attachment 1, and will be updated as
often as the HUD guidelines change.
1:2.1 Total gross income includes, but is not limited to, the following:
wages, tips, interest, dividends, social security benefits, pensions,
annuity income, alimony, child support, welfare payments, veteran
benefits, disability benefits, stipends, or living allowances.
1:2.2 Annual income does not include the following:
a. Income from employment of children (including foster
children) under the age of 18 years.
b. Payments received for the care of foster children.
c. Lump -sum additions to family assets, such as inheritances,
insurance payments (including payments under health and
accident insurance and worker's compensation), capital
gains and settlement for personal or property losses.
d. Amounts received by the families, that are specifically for, or
in reimbursement of, the cost of medical expenses for any
family member.
e. Income of a live-in aide.
f. Amounts of educational scholarships paid directly to the
student or to the educational institution, and amounts paid by
the Govemment to a veteran for use in meeting the costs of
tuition, fees, books, equipment, materials, supplies,
transportation, and miscellaneous personal expenses of the
student.
2
g. The special pay to a family member serving in the armed
forces who is exposed to hostile fire.
h. Amounts received under training programs funded by HUD.
Amounts received by a disabled person that are disregarded
for a limited time for purposes of Supplemental Security
Income eligibility and benefits because they are set aside for
use under a Plan to Attain Self Sufficiency (PASS).
Amounts received by a participant in other publicly assisted
programs which are specifically for or in reimbursement of
out -off -pocket expenses incurred (special equipment,
clothing, transportation, child care, etc.) and which are made
solely to allow participation in a specific program.
k. Temporary, nonrecurring or sporadic income (including
gifts).
Amounts specifically excluded by any Federal statute from
consideration as income for purposes of determining
eligibility or benefits under a category of assistance
programs that includes assistance under the United States
Housing Act of 1937.
1:2.3 To determine the applicant's income for eligibility purposes, one or
more of the following methods will be used:
a. Current pay stub will be used for those who have full-time
employment
b. Most current Federal Tax statement/return
c. 3 months of bank statements
d. SSI and Pension
1:2.4 Evidence of "stable family relationship" may include any of the
following: birth certificates of the children, joint income tax returns,
prior lease (held jointly), joint bank accounts, insurance policies,
prior credit history, or equivalent documentation as determined by
the Program Manager.
1:3 Net Worth: To qualify for a rehabilitation loan, the applicant must meet the
"net worth" requirements. The "net worth" is calculated according to the
"Housing Rehabilitation Loan Program Application Instructions." Excluded
from the assets and liabilities used in the "net worth" calculation are the
applicant's home, one automobile and the household furnishings.
1:3.1 If the applicant has funds/assets exceeding $50,000.00 they must
provide documentation for Neighborlmpact to determine that they
could not be eligible for traditional lending. If the homeowner owns
a second home, any income made must be included. Loan
committee will make the final recommendation. To make a loan,
considerations for approval could include: Age, amount of asset,
could the homeowner contribute matching funds from this asset, all
could be waived if it is determined this asset does not change the
situation, for example — they still are income eligible, not eligible for
-3-
traditional lending, asset is not liquid therefore should not result in a
denial.
1:3.2 The property on which the home is located is excluded from the net
worth calculation. The parcel can include more than one lot if the
Tots are adjacent to the lot on which the house is located and were
purchased when the home was purchased.
SECTION 2: REHABILITATION LOAN REQUIREMENTS
2:1 Loan Amounts: The maximum rehabilitation loan will be the lesser of:
2:1.1 $28,500 for families and for single person households; with a 5%
contingency fund for work that was unforeseen at the time the
original estimate was made, i.e. dry rot.
2:1.3 The applicant's equity in subject property as determined by county
assessed value, or appraised value. The appraisal must have been
completed within the past 12 months. If necessary, Housing staff can pull
comps to verify value.
Judgments/Federal Tax: Any judgments at time of application date will
disqualify the property for a housing Rehabilitation Loan. All judgments
must be paid off prior to receiving a loan. Taxes should be current, all
federal tax liens must be satisfied prior to loan closing.
2:1.4 CDBG loan funds cannot exceed $30,000 (includes 5% contingency) on a
single rehabilitation project without approval from the internal loan
committee.
2:1.5 CDBG loan funds for a single rehabilitation project cannot be used for
"substantial improvements".
Substantial improvement means either:
(A) Any repair, reconstruction, modernization or
improvement of a structure, the cost of which equals or
exceeds 50 percent of the market value of the structure
either:
(i) Before the improvement or repair is started; or
(ii) If the structure has been damaged, and is being
restored, before the damage occurred
2:2 Rates and Terms: It is recommended that the Community Development
Block Grant (CDBG) loans have rates and terms that are determined by
each household's ability to re -pay on a loan.
2:2.1 Interest rates will range between 1°/0 and 4% interest in whole
points for first time users of Regional Rehabilitation Loan Program
Funds, between 4% and 6% for those who have previously used
-4-
Regional Rehabilitation Loan Program Funds. Higher rates for
second loans are a result of covering administration costs. Interest
rates will be determined as follows:
County AMI 1st Time Use Not 1st Time
Use
70+ 4% 6%
60-70% 3% 5%
50 - 60% 2% 4%
0 - 50% 1% 4%
2:2.2 The terms are: The full loan (principal and interest) will be due and
payable in full upon 30 years from the date of the Note, (2) the sale,
transfer, or refinancing of the real property described and (3) if the
property is no longer owner occupied. Monthly payments may be
arranged per applicant, but are not a requirement.
2:2.3 Applicants will be required to use other private (including market
second mortgage/refinance products) or public resources first
whenever possible to provide rehabilitation assistance.
2:4 Loans in excess of $28,500.00 will be reviewed by the internal loan
committee for consideration, with consultation with Housing Center
Committee if necessary. CDBG loan funds for a single rehabilitation
project cannot be used for "substantial improvements".
Substantial improvement means either:
(A) Any repair, reconstruction, modernization or
improvement of a structure, the cost of which equals or
exceeds 50 percent of the market value of the structure
either:
(i) Before the improvement or repair is started; or
(ii) If the structure has been damaged, and is being
restored, before the damage occurred
2:4.1 Loan requests that exceed the limits allowed in 2:1.1 & 2:1.3 must
be approved by the internal loan committee. Some of the factors
that will be considered are:
a. The credit worthiness of the applicant as evidenced
by a credit report. Generally, applicants with a good
credit report will receive more favorable consideration;
however, the internal loan committee will carefully
examine the circumstances regarding negative credit
information such as illness/disability, job loss or
divorce.
- 5 -
• b. The amount that the requested loan exceeds the limit
allowed in 2:1.3.
2:5 Eligible Rehabilitation Costs: The rehabilitation loan may be used to pay
for all the work necessary to achieve the rehabilitation standards of the
program as well as other improvements and repairs not required by this
standard but determined by the Rehabilitation Specialist to be necessary
to reduce maintenance and operating costs. The minimum standard will
be the HUD Housing Quality Standard. Additional eligible costs:
2:5.1 Removal of architectural barriers to meet the special needs of
elderly and handicapped persons will be considered an eligible
rehabilitation cost.
2:5.2 Recording, title insurance, appraisals, credit reports, and other
associated miscellaneous fees are eligible rehabilitation costs.
2:6 Eligible Rehabilitation Activities:
2:6.1 Exterior appearance upgrades must be a part of the rehabilitation
activities unless the Rehabilitation Specialist determines that the
exterior is already in good shape. Exterior improvements may
include new paint, new siding, facade upgrades, foliage removal or
other materials or activities as determined by the Rehabilitation
Specialist.
2:6.2 Wood stoves not in compliance with current standards must be
removed or be exchanged for wood stoves that meet the current
standard.
2:6.3 Manufactured homes must be on a permanent foundation or be put
onto a permanent foundation as per FmHA '1944.223 (e) of Subpart
E as part of the rehabilitation project. Must meet HUD standards.
2:6.4 Additions that are necessary due to overcrowding; guidelines used
by HUD and the rehabilitation program will be used to determine
whether overcrowding exists.
2:6.5 Neighborlmpact complies with HUD's HQS guidelines for all home
improvements. .
2:7 Ineligible Rehabilitation Costs:
2:7.1 New construction or the finishing of unfinished spaces, such as attic
.or basement will be ineligible unless it is determined to be directly
related -to a health and safety issue. Exceptions to this policy: See
2:6.4 • •
6
2:7.2 Materials, fixtures or equipment of a type or quality which exceeds
that customarily used in properties of the same general type or
value as the property being rehabilitated.
2:7.3 Purchase, installation or repair of.furnishings or appliances except
as identified in the HQS inspection.
2:7.4 The labor of any member of the applicant's family or household.
2:8 Ineligible Structures: The existence of any of the following conditions
could disqualify a structure for a Housing Rehabilitation Loan:
2:8.1 The structure has deteriorated to an extent where rehabilitation is
not economically feasible.
2:8.2 The structure and/or use is in substantial nonconformity with the
zoning regulations and/or the comprehensive land use plan of the
appropriate jurisdiction.
2:8.3 The presence of significant code violations which would be
extremely difficult or economically unfeasible to correct and the
violations would have to be corrected in order to meet the Housing
Rehabilitation Loan standards.
2:8.4 The proposed expenditure would not increase the value of the
property sufficiently to protect the owner's existing equity.
2:8.5 The cost of repairs required to bring the dwelling up to minimum
property standards will exceed the program's loan limit.
2:9 Consent from Holders of Prior Financing: Written consent from all holders
of prior financing with recorded liens must be secured prior to closing if
required under prior financing agreements. Prior financing includes but is
not limited to prior mortgages, trust deeds, and land sales contracts.
2:10 Prior Financing Payment Provisions: Prior financing containing payment
provisions must be approved by the Regional Loan Committee. A copy of
the note will be requested to determine the terms of prior financing. Some
of the factors that will be considered are:
a. The amount of the payment. (i.e. balloon, arm, etc.)
b. The present equity and projected equity when the payment is due.
c. An assessment of the applicant's ability to refinance or afford the
payment.. '•
2:11 Judgments/Fed.eral Tax: No judgements allowed. All judgements and tax
obligations must be satisfied and paid off before a loan is made.
-7-
r
2:12 Property Taxes: All real property taxes that are due and payable at the
date of closing must be paid before loan closing. On properties where
'property tax is deferred, loans must be reviewed by Program Manager.
2:13 Property Insurance: Applicants are required to have property/fire
insurance equal to the amount of existing liens and the rehabilitation loan
at the time of loan closing and to maintain the insurance during the term of
the loan. All premiums for fire insurance coverage must be current before
loan closing.
2:14 Owner Occupancy: Transfer of the Property or a Beneficial Interest in
Borrower. A sale, transfer, or refinancing of the Property shall make the
loan immediately due and payable. A transfer of the property occurs when
Borrower no longer occupies the property as his principal residence for the
majority of the year. Failure to occupy includes, amongst other things,
renting the property or allowing other family members to occupy the
property while Borrower is no longer living there. Death of the last
Borrower shall also constitute a transfer that will invoke the repayment
provision
SECTION 3: APPLICATION PROCESSING
3:1 Intake Verification: All verification documentation, except consent(s) from
holders of prior financing, must be submitted within 60 days of when the
intake was made. If the required documentation is not received within 60
days of when the intake was made, the next eligible applicant may be
considered for a loan.
3:2 Property Inspection: All dwellings must be inspected to determine needed
repairs and improvements by the Rehabilitation Specialist. Input and
participation by the homeowner is encouraged in determining needed
repairs and improvements.
3:3 Inspection Report/Bid Form: After the Property Inspection, the
Rehabilitation Specialist will prepare a written report based on the
-Property Inspection that describes the substandard conditions of the
house and recommended corrections. The homeowner must agree to
carry out the repairs described in the report. Contractors interested in
submitting bids for the rehabilitation projects must use the Bid Form
provided by the program for their proposal and cost estimate. The
Rehabilitation •Specialist may prepare a cost estimate for the file to
evaluate cost reasonableness of bids provided by contractors.
3:4 Procurement of bids: It is the responsibility of the applicant to procure bids
for the rehabilitation work within 45 days of conditional approval.
' Applicants are encouraged to obtain at least three bids; however, one bid
can be:accepted- if itis approved by Neighborlmpact professional staff.
-8--
3:5 Loan Approval: Before a loan is sent to the internal loan committee it will
be reviewed by the Fiscal Director to determine funds are available. The
The internal loan committee will approve all rehabilitation loans as well as
approve loans that fall outside of the program guidelines, i.e. they exceed
the loan limit of $28,500.00 Applicants approved for a rehabilitation loan
will be notified in writing. Applications will be reviewed for approval in the
order they are completed. Loan security will be determined by a note and
recorded deed of trust and a title policy.
3:5.1 The client has three days right of rescission before the deed is
recorded. After three business days the deed is recorded with the county
and all fees come out of the clients Housing Rehabilitation Loan.
3:6 Other Rehabilitation Assistance: Program staff will refer the homeowner
to apply for weatherization grants, bank loans for rehabilitation and/or
refinancing and other assistance as appropriate and available. All other
rehabilitation assistance and bank loans for rehabilitation and/or
refinancing must be committed in writing prior to Neighborlmpact loan
closing.
3.7 Loan Prepayment Penalties: All loans repaid within six months of the loan
closing date are subject to a penalty of 10% of the loan amount. All loans
from 6 months to one year of the closing date are subject to a penalty of
7.5% of the loan amount. All loans after year one to two years are subject
to a penalty of 5% of the loan amount. After 2 years there is no
repayment penalty.
3.8 Subordination: Neighborlmpact will charge a $250 fee to review
subordination requests. Clients requesting subordination will also be
required to meet with a Neighborlmpact housing counselor. We will only
subordinate if the new loan is better financing for the homeowner and no
equity is lost by the homeowner. Any exceptions to this policy must be
reviewed and approved by Neighborlmpact staff, including the Fiscal
Department. Neighborlmpact will consider issues such as current market
values and new loan fees that reduce the amount of equity the owner has
in their home to determine whether subordination is appropriate. An
appraisal may be required at Neighborlmpact's discretion and at the
owner's expense. Neighborlmpact will not approve refinancing to an
Adjustable Rate Mortgage. After review of its required conditions,
Neighborlmpact may approve a subordination request or deny it.
SECTION 4: THE CONSTRUCTION CONTRACT
4:1 The parties to the contract are the homeowner and the contractor. All
Construction Contracts and contract modifications must be reviewed and
.. approved by theRehabilitation Specialist. The Program Manager is
authorized to interpret and enforce the provisions and satisfactory
performance of the. Construction- Contract.
-9-
4:2 Contractor Eligibility Requirements: All contractors awarded contracts
through the Rehabilitation Loan Program must be registered with the
Oregon Construction Contractors Board and have an active License
Status with a License Category of a General Contractor/AII. The
contractor will have no claims pending or with an order to pay.
Homeowners are encouraged to hire local contractors whenever possible.
4:2.1 Contractors who have a record of poor performance with prior
rehabilitation projects funded through the Rehabilitation Program will not
be awarded contracts and will be removed from the list of approved
contractors provided to homeowners. Some of the factors that will be
considered as evidence of poor performance are:
a. The quantity and severity of complaints from homeowners:
Complaints will be documented from the Post -Project
Evaluation Form provided to the homeowners and
complaints filed with the Construction Contractors Board.
Complaints will be evaluated based upon records and
findings made by the Rehabilitation Specialist and program
Manager and the Construction Contractors Board.
Homeowner complaints that are not sustained by the
Rehabilitation Specialist and Program Manager and/or the
Construction Contractors Board will not be considered
evidence of poor performance.
b. Failure to pay subcontractors and suppliers when payment is
due: Failure to pay a disputed claim may or may not be
evidence of poor performance. The Rehabilitation Specialist
and Program Manager will issue decisions on disputed
claims in accordance with the Construction Contract.
However, if the contractor fails to pay undisputed bills to
subcontractors and suppliers when due, this may be
considered as evidence of unsatisfactory performance.
c. Failure to complete work in a timely manner: Both the
frequency and the magnitude of time will be evaluated and
compared with the records of other contractors participating
in the program.
d. Other violations of previous contracts awarded through the
Rehabilitation Program: Contractors may appeal the
decision to have their name removed from the list to the
Regional Loan Committee.
4:3 Work Performed by Homeowner: Homeowners who desire to do some of
the construction work on their project must have the written approval of
the Rehabilitation Specialist. The owner and members of the owner's
household cannot receive any payment for their labor. The homeowner
will be required to submit original receipts attached to an invoice for
- 10-
materials purchased in order to receive reimbursement. Some of the
factors that will be considered are:
4:3.1 Their ability to perform the work as determined by the program
staff. The following is the process to be used by the Home
Rehabilitation Program (Housing and Emergency Services) and the
Fiscal Department in determining how clients are to perform rehab
measures on their home and reimbursement for materials.
a. Homeowner first must prove their ability to do work, i.e.
contractors license, construction experience, workmanship they
have already done, etc.
b. The Rehab. Specialist identifies what work is to be performed
by homeowner, and the homeowner produces a line item
budget for the materials he/she needs.
c. The materials can be purchased by credit card or cash, the
homeowner will not be reimbursed for these materials until after
the work is complete and verified by the Rehab Specialist.
d. Reimbursement for Credit Cards:
ii. The homeowner must produce a detailed receipt
or invoice for the materials and the credit card bill,
we will reimburse the credit card company directly.
e. Reimbursement for cash to homeowner:
ii. The homeowner must produce a detailed receipt
or invoice that shows they paid cash and we can
reimburse the client directly.
4:4 Contract Completion Time: All work must be completed within 120 days
from the date of the Notice to Proceed. The contract may be terminated
by the Program Manager if work has not begun after 45 days or less than
50% of the work is completed within 60 days of the Notice to Proceed.
Time extensions may be approved due to weather and other reasons in
accordance with the Construction Contract. Completion dates of less than
90 days may be required in order to complete the Rehabilitation Loan
Program in a timely manner.
4:5 Contract Payments: Progress payments can be made for up to 95% of
the value of acceptable work completed based on site inspection by the
Rehabilitation Specialist. In the absence of the Rehabilitation Specialist,
staff of the Neighborlmpact Weatherization Program may be assigned to
perform the inspection. Payments will be made in accordance with the
Accounts Payable Schedule for the Rehabilitation Loan Program. Before
final payment can be authorized:
- 11 -
4:5.1 For construction jobs $15,000.00 and under, one in -progress
payment allowed, and one final payment. For construction jobs
over $15,000.00, two in progress payments are allowed and one
final payment.
4:5.2 All contract work must be completed.
4:5.3 Client and Rehabilitation Specialist meet before contractors are
paid to insure work is done, and client is satisfied. The client signs
off before contractors are paid.
4:5.4 Work must pass inspection from City, County and State Inspectors
as required.
4:5.5 The borrower must sign the Owner's Certification and Acceptance
of Improvements.
4:5.6 The contractor must sign the Contractor's Warranty and Lien
Waiver.
4:6 Contract Payment Withheld: The Rehabilitation Specialist may withhold
or, on account of subsequently discovered evidence, nullify the whole or a
part of the Contract Sum owing to contractor as may be necessary to
protect the Owner and/or Grantee from loss on account of:
4:6.1 Defective work not remedied.
4:6.2 Claims filed or reasonable evidence indicating probable filing of
claims.
4:6.3 Failure of contractor to make payments properly to subcontractors
or for material or labor.
4:6.4 A reasonable doubt that the contract can be completed for the
balance then unpaid.
4:6.5 Damage to another Contractor.
4:6.6 Failure of Contractor to complete work within the time limits set
forth in the Construction Contract.
4:6.7 Work not authorized under the Construction Contract or approved
Contract Change Order.
*As the above conditions are removed, payment can be made for
amounts withheld because of them.
4:7 Contract Change Orders: Any modifications of the Construction Contract
must be approved, in writing by the Rehabilitation Specialist. Approval
- 12 -
shall not be unreasonably withheld. The Rehabilitation Specialist is
authorized to approve Contract Change Orders up to $1,000.00.
4:7.1 Contract Change Orders larger than $1,000 per project will need
the written approval of the homeowner and the Program Manager.
Program Manager will inform fiscal of the change order.
4:7.2 Contract Change Orders that will cause the project to exceed the
loan limitations under 2:1.1 and 2:1.3 must be referred to the
Regional Loan Committee for approval and have client signature of
approval and fiscal must determine if funds are available.
SECTION 5: CONFLICT OF INTEREST
5:1 Grantee: No employee of the Grantee, its agent, members and families of
the Regional Loan Committee, and other "covered persons" pursuant to
24 CFR 570.489(h) who exercise any functions or responsibilities in
connection with administration of the Housing Rehabilitation Program shall
be eligible for a Housing Rehabilitation Loan, nor shall such a person have
any interest, direct or indirect, in the proceeds of such a loan unless a
waiver is granted in accordance with 24 CFR 570.489(h).
SECTION 6: POLICY EXCEPTIONS
6:1 The Regional Loan Committee may waive non -statutory program policies.
The request for the waiver will be submitted by the Program Manager.
Requests for waivers will be evaluated based upon whether the requested
waiver is necessary to accomplish the goals of the Rehabilitation Loan
Program and will apply only to the application for which the waiver was
requested.
SECTION 7: GRIEVANCE PROCEDURE
In the event of a conflict between the homeowner and the contractor, the
following procedure will be used:
7:1 Mediation: It will be the responsibility of the Program Staff to review the
Construction Contract with the homeowner and the contractor to ensure
that both are familiar with the terms and conditions established in the
contract. The Rehabilitation Specialist will attempt to mediate the problem
to an equitable solution within the guidelines of the Housing Rehabilitation
Program.
7:2 Review: In the event that the Rehabilitation Specialist is not able to
mediate, the Program Manager can; at the request of the homeowner or
contractor, review the case. A written decision will be issued within 30
days of the review by the Program Manager.
7:3 Appeal: The decision of the Program Manager may be appealed through
the Construction Contractors Board. Decisions determined by the
- 13 -
Construction Contractors Board shall be final and will be accepted by the
Housing Rehabilitation Program as such.
SECTION 8: PROGRAM INCOME
8.0 Program income shall be managed in accordance with the requirements of
Title 1 of the federal Housing and Community Development Act of 1974 as
amended including, but not limited to, requirements for eligible costs
compliance with national objectives, environmental review, labor
standards, procurement, equal employment opportunity, affirmatively
furthering fair housing, nondiscrimination against persons with disabilities,
and relocation and real property acquisition. The Grantee shall rely
primarily on guidance from the State of Oregon in complying with these
requirements, since the state is responsible for monitoring the local use of
program income earned from Oregon Community Development Block
Grant projects.
Program income earned as a result of this program shall be used for
continuation of the Rehabilitation Loan Program as described in the
approved application and the Rehabilitation Loan Policies.
- 14 -
DESCHUTES COUNTY
COMMUNITY DEVELOPMENT
117 NW Lafayette Avenue, Bend, OR 97701
Telephone (541)388-6575, Fax (541)385-1764
LOAN AUTHORIZATION FORM
Installation of a Nitrogen Reducing On -Site Wastewater Treatment System
Property Owner(s) Name(s):
Property Address:
Map #:
Mailing Address:
City: State: Zip:
Property within authorized area 0 Yes 0 No (check one)
Septic permit(s)#:
Tax Lot #:
Description of permitted work and reasons for permit:
Other notes:
REHABILITATION QUALIFYING SUMMARY SHEET FOR DESCHUTES COUNTY
APPROVAL:
Loan Amount:
Borrower(s) Name(s):_
Household Annual Gross Income: Household Monthly Gross Income:
Estimated Home Value: N/A Household size:
Total Debt: Balance Owing:
Payments & Creditors:
Employer: Job Title:
Years in Position/Type of Work:
Income Source:
Credit Score: Note Rate:
Front end Debt Ratio: N/A Back end Debt Ratio: N/A
Ratio of Household Income to 100% MSA/County:
Scope of Service:
Loan Authorization Form
(Des. Co. Services Contract No. 2010-442) Page 1 of 2
Prepared by: Date:
Community Development Department Information:
0 Y 0 N Authorization Complete (check one)
Community Development Director:
Date:
Loan Authorization Form
es. a. ervrccs ,out ract No. 2010-442) Page 2 of 2