1987-185-Enter A Joint Exercise Of Powers Agreement To Undertake Or Assist In The Undertaking Of Essential Activities Pursuant To Title IRESOLUTION N0; 1987 -185
RESOLUTION AUTHORIZING THE TOWN MANAGER TO ENTER INTO A
JOINT EXERCISE OF POWERS AGREEMENT AND
COOPERATION AGREEMENT TO UNDERTAKE
OR TO ASSIST IN THE UNDERTAKING OF
ESSENTIAL ACTIVITIES PURSUANT TO
TITLE I OF THE HOUSING; AND COMMUNITY
DEVELOPMENT ACT OF 1974, AS AMENDED
FOR FISCAL YEARS 1988 - 1990
WHEREAS, Congress has enacted the Housing and Community
Development Act of 1974, as amended;
WHEREAS, Title I of the Act provides for a new program of
Community Development Block Grants;
WHEREAS, Title I of the Act makes entitlement grants
available to cities with a population of 50,000 or
more persons and to counties that qualify as an urban
county;
WHEREAS, The Town of Los Gatos is not eligible to apply directly
for entitlement funds under the Act but may, by entering
into a cooperation agreement with County, qualify County
as an urban county applicant and can thereby receive
such funds;
WHEREAS, The parties hereto wish to enter into an agreement to
enable the County of Santa Clara to apply for and
receive entitlement funds as an urban county and to
establish the respective rights and obligations of the
contracting parties to such funds;
NOW THEREFORE, BE IT RESOLVED that the Town Council does hereby authorize
the Town Manager to enter into a Cooperative Agreement with the County of
Santa Clara for participation in the Joint Exercise of Powers Agreement.
PASSED AND ADOPTED at a regular meeting of the Town Council of the Town of
Los Gatos this 2 day of _November__, 1987 by the following vote:
_z_
AYES: COUNCIL MEHOERS Joanne Benjamin, Eric D. Carlson,
Thomas J. Ferrito, Robert L. Hamilton, and Mayor
Brent N. Ventura
NOES: COUNCIL MEMBERS None
ABSTAIN: COUNCIL MEMBERS None
AFBSElff: COUNCIL MEMBERS None
i
SIGNED: ✓ °� /
MAYOR OF THE TOWN OF LOS GATCOS
County of Santa Clara
California
JOINT EXERCISE OF POWERS AGREEMENT AND
COOPERATION AGREEMENT TO UNDERTAKE
OR TO ASSIST IN THE UNDERTAKING OF
ESSENTIAL ACTIVITIES PURSUANT TO
TITLE I OF THE HOUSING AND COMMUNITY
DEVELOPMENT ACT OF 1974, AS AMENDED
FOR FISCAL YEARS 1988 - 1990
This agreement by and between the County of Santa Clara and
Town of Los Gatos____________ is made in light of the
following recitals:
A. That Congress has enacted the Housing and Community
Development Act of 1974, as amended;
B. That Title I of the Act provides for a new program of
Community Development Block Grants;
C. That Title I of the Act makes entitlement grants
available to cities with a population of 50,000 or more
persons and to counties that qualify as an urban
county;
D. That City is not eligible to apply directly for
entitlement funds under the Act but may, by entering
into a cooperation agreement with County, qualify
County as an urban county applicant and can thereby
receive such funds;
E. That the parties hereto wish to enter into this
agreement to enable the County of Santa Clara to apply
for and receive entitlement funds as an urban county
and to establish the respective rights and obligations
of the contracting parties to such funds.
NOW, THEREFORE, THE PARTIES HERETO AGREE AS FOLLOWS;
1. Authorities
This agreement is made pursuant to Section 6500 and
following of the California Government Code and
constitutes an exercise of powers common to both City
and County, each being empowered to carry out the
purposes of the grant in their own jurisdictions.
This agreement is further made pursuant to the Housing
and Community Development Act of 1974, as amended.
2. Definitions
The definitions below are intended to assist the
parties in making this agreement. For purposes of
simplicity and clearer understanding, some of the
definitions below have been shortened or rephrased from
those set forth in the Act and Regulations thereunder.
® A .,`Y .Toyer
OCT � 7 1987
In the event of any conflict between the definitions in
this agreement and those set forth in the Act and
Regulations, the latter shall govern.
(a) "Act" means Title I of the Housing and Community
Development Act of 1974, P.L.93 -383, as amended.
(b) "Applicant" is the County of Santa Clara applying
as an urban county.
(c) "Regulations" mean the rules and regulations of
the Department of Housing and Urban Development;
particular reference is made to those regulations
found in 24 Code of Federal Regulations Part 570
(containing the general regulations of Community
Development Block Grants) and Part 58 (containing
the regulations on the Federal Environmental
Review Procedures).
(d) "County" means the County of Santa Clara.
(e) "City" means the city or town that is a party to
this agreement; such city or town may be referred
to as a "Non- entitlement City ", that is, a city
which cannot directly apply for or receive
entitlement grants under this Act but can receive
funds through cooperation agreements with the
County.
(f) "Urban County" means a county that is (1) in a
metropolitan area; (2) authorized under state law
to undertake essential community development and
housing assistance activities within its
unincorporated areas, and (3) has a population of
200,000 or more within its unincorporated areas
and units of general local government (cities)
within the county with which it has made
cooporation agreements to undertake or to assist
in the undertaking of essential activities.
(g) "Urban County Staff" means those HCD staff persons
of the County and cities participating in the
Urban County HCD program.
(h) "Application" means the application for a grant to
be submitted by the County, as an Urban County,
for entitlement funds under Title I of the Act.
(i) "HUD" is the U.S. Department of Housing and Urban
Development.
(j) "HCD" is Housing and Community Development, the
Urban County's program to address housing and
community development needs of low to moderate
income persons in Santa Clara County.
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(k) "CDBG" is Community Development Block Grant, a
federal program administered by HUD which provides
funding to eligible entitlement cities and urban
counties to address housing and community
development needs of low to moderate income
persons.
(1) "Grant" is the CDBG funds allocated by HUD to
Santa Clara County as the legal recipient of the
Community Development Block Grant for the Urban
County.
(m) "HCD Council Committee" is an advisory committee
established by the Board of Supervisors to advise
the Board of Supervisors on the CDBG funded HCD
Program. Its adopted role is "the policy
recommending body to the Board of Supervisors on
the planning, monitoring, and evaluation of the
HCD program and the development of a
comprehensive, coordinated housing and community
development plan."
(n) "The HCD Citizens Advisory Committee" is an
advisory committee of the CDBG funded HCD program
established by the Board of Supervisors on the
recommendation of the HCD Council Committee. Its
adopted role is "the policy recommending body the
the HCD Council Committee on the planning,
monitoring, and evaluation of the HCD program and
development of a comprehensive, coordinated
housing and community development plan."
(o) "Board of Supervisors" is the legal recipient of
the Community Development Block Grant from HUD and
is legally responsible for the administration of
the Urban County HCD Program for Santa Clara
County.
(p) "Citizens Participation Plan" is the plan adopted
by the Board of Supervisors which outlines the
opportunities and process for citizen input on
matters dealing with the planning, monitoring, and
evaluation of the Urban County HCD program.
(q) "Project proposals" are requests for an allocation
CDBG funds submitted by eligible applicants to
implement specific eligible CDBG activities, as
defined by HUD.
(r) "Housing Assistance Plans" (HAP) describe the
housing conditions and goals to meet the housing
needs of lower income persons, and identifies
specific housing actions to be taken by the Urban
County to fulfill its housing needs. The HAP also
�3
serves as a guide for HUD in the distribution of
assisted housing resources to communities.
(s) "Net Funds" are the total annual CDBG entitlement
grant less the City and County administrative
costs. The City shall receive $15,000.00 for
administration in fiscal years 1988, 1989 and
1990.
(t) "Designated Funds" are those CDBG funds which will
be allocated on a competitive basis for only
housing activities. The total amount of money to
be available in the Designated Funds category will
be determined by multiplying the Net Funds by 40 %.
Therefore, Designated Funds = Net Funds x 40 %.
(u) "Non- Designated Funds" are those CDBG funds which
will be allocated equally to all participating
jurisdictions in the Urban County on a non-
competitive basis to meet identified community
development and housing needs. The total amount
of money to be available in the Non - Designated
Funds will be determined by multiplying the Net
Funds by 60% and dividing the product by the total
number of participating jurisdictions. Therefore,
Net Funds x 60%
Non - Designated Funds =
Number of Participating
Cities and County
3. Purpose of Agreement
This agreement is being made to meet the requirements
and purposes of the Act and Regulations with respect to
the application for an entitlement grant under Title I
of the Act and to establish the respective rights of
the parties to such grant.
The purpose of this agreement shall be accomplished in
the manner hereinafter set forth.
4. Cooperation Agreement
The parties hereto agree to undertake or to assist in
the undertaking of essential activites as defined in
the Act and Regulations thereunder for the term of this
agreement. More specifically, the parties hereto agree
to cooperate in undertaking, or to assist in
undertaking, essential community development and
housing assistance activities, specifically urban
renewal and public assisted housing.
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To the extent required by the provisions of the Act and
Regulations thereunder and to the extent required by
the terms of this agreement, City agrees to take all
actions within its power to assure compliance with the
Urban County's certification required by Section 104(b)
of Title I of the Housing and Community Development Act
of 1974, as amended, including provisions of Title VI
of the Civil Rights Act of 1964; Title VIII of the
Civil Rights Act of 1968; Section 109 of Title I of the
Housing and Community Development Act of 1974, and
other applicable laws and requirements of the
application and grant.
City understands and agrees that should it fail to
comply with such requirements or with the terms of this
agreement, that funds allocated to City during the
effective dates of this agreement may be terminated, or
reduced or otherwise limited in accordance with the Act
and Regulations.
5. Administration of Agreement
The officer and agents of both parties will cooperate
in furnishing information and assistance necessary for
the preparation, completion and filing of the County's
application with HUD in accordance with the
requirements of the Act and the Regulations. In
accordance with such cooperation, the City shall
annually furnish the County with the City's local plan
and process for citizen participation in the
development of the City's project proposals requested
to be funded with Urban County CDBG funds. The City's
local citizen participation commitments will be
incorporated into the official Urban County Citizen
Participation Plan.
The City shall, prior to the final project proposal
submission deadline approved by the Board of
Supervisors, submit project proposal requests for CDBG
funding to the County in the format developed by the
County. These project proposals will include a
description of the project's activities, the Urban
County's need the project is addressing, a detailed
time schedule for the implementation of the project's
activities, and other data items needed in the
evaluation of the project proposal. These project
proposals must be formally approved by the City Council
for transmittal to the County and be developed and
reviewed during the local citizen participation
process.
The City shall submit to the County a Housing
Assistance Plan in the form required by HUD. This
document will detail the City's commitments to
providing housing assistance to low and moderate income
5
persons within the city. The local commitments to
housing assistance by the cities will be incorporated
into the Urban County's Housing Assistance Plan (HAP),
which will be reviewed by HUD to determine the local
commitments to address housing needs of low to moderate
income persons.
Whereas the County shall not alter or amend the
elements furnished to County where in compliance with
the Act and Regulations and consistent with identified
Urban County needs and priorities, the County shall
have full authority and necessary control of the
preparation and filing of the application and of other
papers and documents in support thereof.
6. Term of Agreement
This agreement shall become effective upon execution by
the governing bodies of County and of City and it shall
remain in full force and effect until June 30, 1991.
The County will submit to the City the Joint Exercise
of Powers Agreement and Cooperation Agreement to be
signed by the City if it is to participate in the
County Program. If a City decides not to participate in
the Urban County Program by not signing a Joint
Exercise of Powers Agreement and Cooperation Agreement,
it may not be eligible to receive entitlement CDBG
funding for three successive program years commencing
on July 1, 1988 and ending June 30, 1991.
Upon qualifying, the County will remain an urban county
(including its unincorporated areas and the included
units of general local government) for a period of
three years. That is, during the three year
qualification period no included unit of general local
government can be removed from the urban county, nor
can any additional units of general local government
generally be included in the urban county during that
period. To assure that included units of general local
government remain an effective part of the urban county
for the entire three year qualification period, this
cooperation agreement between the urban county and its
included units of general local government covers three
successive program years.
7. Project Proposals
Any and all project proposals for eligible HCD
activities totally within the sphere of influence of a
city must be submitted to the city and considered as a
part of the city's project proposal development
process. No project proposals may be submitted
directly to the County by applicants other than cities
for activities to be conducted totally within the
N
sphere of influence of a city.
Project proposals of a countywide nature may be
submitted directly to the County. Cities shall have
the right to review and comment on all project
proposals for the funding of countywide HCD eligible
activities.
Grant Disbursements
A. City understands and agrees that CDBG funds
disbursed under this agreement are the obligation
of County and that such obligation of the County
is dependent upon the qualification of the County
as an urban county applicant and upon the
availability of federal funds to implement Title I
of the Act. Funds disbursed to the City will be
expended on eligible activities and projects
selected through a process developed jointly by
the HCD Council Committee and the Board of
Supervisors and described in the adopted Urban
County HCD Plan. The HCD Citizens Advisory
Committee will give advice to the HCD Council
Committee prior to HCD Council Committee actions.
The HCD Plan includes a description of prioritized
needs, strategies to address the needs, and a
project funding submission and evaluation process.
This process will be used to evaluate all project
proposals according to their ability to address
the adopted, prioritized needs and other criteria
described in the adopted Urban County HCD Plan.
B. It is understood that all parties to this
agreement recognize their responsibilities tc
undertake community development and housing
activities. Accordingly, each of the
participating jurisdictions will be provided with
an equal share of Non - Designated Funds in order tc
meet identified community development and housing
needs in their jurisdiction. Cities and the
County will recognize the housing need in the
County and HAP goals when deciding to fund
projects from their Non - Designated Funds.
However, there are no guaranteed percentages in
the Non- Designated Fund set aside for housing
activities in each participating jurisdiction.
C. Because housing has been previously identified as
the highest priority need within the Urban County
by the HCD Council Committee and the Board of
Supervisors, the City and the County agree that
all of the Designated Funds will be allocated on a
competitive basis as set forth below for housing
activities. Housing needs include but are not
limited to housing rehabilitation, activities to
7
increase the supply of new affordable housing, and
housing - related services which increase the
availability and /or affordability of new and
existing housing.
After the deadline for submission of project
proposals, the Urban County staff, composed of
members of the County and City HCD staffs, will
evaluate the project proposals according to the
approved criteria and make recommendations on
projects to be funded. These recommendations will
be reviewed by the HCD Citizens Advisory
Committee, the HCD Council Committee and the Board
of Supervisors. The HCD Citizens Advisory
Committee will give its advice on projects to be
funded to the HCD Council Committee prior to
actions of the HCD Council Committee.
The Urban County staff report and the HCD Council
Committee recommendations will be reviewed at a
public hearing before the Board of Supervisors.
After public comment, should there be a difference
between the HCD Council Committee and the Board of
Supervisors on projects to be funded, the HCD
Council Committee and the Board of Supervisors
will hold a joint meeting to resolve the
differences. The joint meeting will continue
until mutual agreement is reached. Voting
separately, when a majority of the HCD Council
Committee and a majority of the Board of
Supervisors vote to accept specific project
proposals, mutual agreement is achieved. It is
understood and agreed that as legal recipient of
the grant, the Board of Supervisors must
officially approve the mutually agreed upon
project proposals to be included in the
application in order to insure that the program
submitted to HUD is consistent with the County's
adopted housing and community development plan.
At that time, the City will know the number of
projects approved and the estimated amount of CDBG
funds it is to receive.
Upon approval of the CDBG application and the
release of funds by HUD, the City may begin
implementation of approved activities.
Information on the progress of approved activities
will be submitted to the County on a periodic
basis during the program year the activities are
being carried out. This information will be
included in the Urban County's monitoring reports
which are reviewed by HUD during the program
year. Projects which fail to meet schedules
according to the approved time schedule will be
evaluated according to the process detailed in the
E
approved Urban County CDBG Reprogramming
Guidelines.
9. Areas of Housing Authority Operation
Nothing herein shall affect the rights and
obligations of the parties with respect to any
agreement which the City may have with the Santa
Clara County Housing Authority.
10. Services, Equipment and Property; Reimbursement
County shall provide or be primarily responsible
for providing the services, equipment and other
property necessary for the planning, preparation
and filing of the CDBG application and for the
administration of the grant funds subject to the
right of the County to seek reimbursement for
actual expenses and costs of furnishing such
services, equipment and property. Subject to the
provisions of the application or of the grant
award made thereon, all property furnished by
County as herein -above described shall belong to
County during the term of this agreement and after
its termination. At the termination of the CDBG
program, all property and equipment acquired with
CDBG funds will be subject to the requirements and
conditions of OMB Circular A -102 Attachment N,
Property Management Standards.
11. Records
City and County shall maintain appropriate books,
records, files, and accounts relating to the
receipt and disbursement of the grant funds,
including records in accordance with Federal
Management Circular 74 -4 and OMB Circular A -102 as
they relate to the application, acceptance, and
use of federal funds for this federally assisted
program and any other records imposed by County's
contract with HUD. All such books, records, files
and accounts shall be made available for
inspection at reasonable times and places by
authorized representatives of City and County to
authorize representative of City, County, and
Department of Housing and Urban Development or any
other person authorized by the Act or the
Regulations. The Director of Finance of County
shall receive and have custody of all funds until
disbursal of such funds to be made in a manner
designated by the County. County shall, by a date
no later than 7 days after receipt of the current
year funding money, notify City of the manner of
disbursal of such funds.
0
12. Certification
City shall furnish County with those assurances, a
copy of which, marked Appendix A, is being
attached hereto and made a part hereof. Such
certifications to be furnished by City to County
are necessary to enable County to make the
required assurances in its application to HUD.
13. Liability and Indemnification
It is expressly understood that, as the applicant
to HUD, County must take the full responsibility
and assume all obligations of an applicant under
the Act and that HUD will look only to the County
in this regard. However, County assumes no
responsibility towards City for any failure to
include City in the application as a result of
City's failure to supply County with information
necessary to prepare and file the application, or
as a result of City's failure to supply County
with such information, upon designated dates, or
as a result of City's failure to comply with the
Act and the Regulations.
Unless the acts of County employees, officials, or
their representatives are involved in the action
or the County authorized the acts of the City, the
city shall indemnify and hold County harmless from
any liability, loss or damage suffered as a result
of claims, demands, costs or judgments against it
arising out of the failure of City to conform to
the requirements of the Act, Regulations, or other
applicable laws; or arising out of City's failure
to perform any of the obligations under the
application; or arising out of anything done or
omitted to be done by City under or in connection
with the work done on any of City's projects.
14. Discretionary Actions
Nothing herein contained shall be construed to
prohibit the City from exercising its discretion
on any legislative quasi - judicial and /or
administrative matter (including but not limited
to any action involving zoning of General Plan
amendments).
Nothing herein shall compel the City to take any
action on any matter save and except as expressly
required in this agreement. It is understood and
agreed that the City does not by this agreement
commit itself or delegate the exercise of any of
its police powers in any matter whatsoever save
in
and except as expressly set forth in this
agreement.
15. Timeliness
When any action is required hereunder upon request
for action on a document or material furnished by
the County to the City said request for action on
a document or material shall be furnished at least
30 days prior to the date said action is required
in order to allow sufficient time for the City to
review and act on said document or material.
16. Time is of the essence in this agreement.
17. Severability
Should any part, term, provision of this agreement
be decided by the Courts to be illegal or in
conflict with any law of the State of California
or any law of the United States, or should any
part, term, or provision of this agreement be
otherwise rendered unenforceable or ineffectual,
the validity of the remaining portions or
provisions shall not be affected thereby.
18. Section Headings
All section headings contained herein are for the
convenience of reference only and are not intended
to define or limit the scope of any provision of
this agreement.
19. Program Income
(a) The City shall inform the County of any income
generated by the expenditure of CDBG funds
received by the City.
(b) Any such program income generated by the City must
be either paid to the County or the City may
retain the program income subject to requirements
set forth in Santa Clara County Community
Development Block Grant Program Reallocation
Guidelines.
(c) Any program income the City is authorized to
retain may only be used for eligible activities in
accordance with all CDBG requirements as may
apply.
(d) The County has the responsibility for monitoring
and reporting to HUD on the use of any such
program income thereby requiring appropriate
11
record keeping and reporting by the City as may be
needed for this purpose.
(e) In the event of close -out or change in status of
the City, any program income that is on hand or
received subsequent to close -out or change in
status shall be paid to the County, with the
exception of program income generated by an
approved rehabilitation program and held in a
revolving loan fund. Such revolving loan fund
amounts shall only be maintained and used for
housing rehabilitation activities that meet all
existing and subsequest HUD regulations and
requirements. All rehabilitation activities must
benefit low and moderate income households.
The purpose of this provision is to enable the
City to continue a housing rehabilitation program
in the event of close -out or a change in Status of
the City. Such program income shall not be used
for any purpose other than housing rehabilitation
for the benefit of low and moderate income
households. On an annual basis the City shall
submit to the Santa Clara County Board of
Supervisors written certification that such
program income shall be used for these established
housing rehabilitation purposes.
20. Disposition of Real Property
(a) The City shall provide timely notification to the
County regarding any modification or change in the
use of the real property from that planned at the
time of acquisition or improvement including
disposition.
(b) The City shall reimburse the County in an amount
equal to the current fair market value (less any
portion thereof attributable to expenditures of
non -CDBG funds) or property acquired or improved
with CDBG funds that is sold or transferred for a
use which does not qualify under the CDBG
regulations.
(c) All program income generated from the disposition
or transfer of property prior to the close -out,
change of status or termination of the cooperation
agreement between the County and the City is
subject to the provisions of the "Santa Clara
County Community Development Block Grant Program
Fund Reallocation Guidelines ".
12
(d) All program income generated from the disposition
or transfer of property subsequent to close -out,
change of status or termination of the cooperation
agreement between the County and the City would be
subject to provisions of Section 19, Program
Income, paragraph (e).
October 29, 1987
13
IN WITNESS WHEREOF, parties hereto have executed this
agreement on the dates set forth below.
DATE: OCT ? 7 1987
ATTEST: DONALD M. RAINS
Clerk-�---Boa,rd of Supervisors
APPROVED TO FORM AND LEGALITY:
T\hq s Wm. Cain ~
Deputy County Counsel
DATE: //_ -7-,ji7
"70-4w
ATTEST: Ci;ty Clerk
gs
9.87
14
COUNTY OF SANTA CLARA
I'M
sppervisors
pro fempore
TOWN
14X OF LOS GATOS
BY
CHAIRPERSON
Town/eity Council
CERTIFICATIONS
The grantee certifies that:
(a) It possesses legal authority to make a grant submission
and to execute a community development and housing
Program;
(b) Its governing body has duly adopted or passed as an
official act a resolution, motion or similar action
authorizing the person identified as the official
representative of the grantee to submit the final
statement and all understandings and assurances contained
therein, and directing and authorizing the person
identified as the official representative of the grantee
to act in connection with the submission of the final
statement and to provide such additional information as
may be required;
(c) Prior to submission of its final statement to HUD, the
grantee has:
(1) met the citizen participation requirements
of 5570.301(a)(2) and has provided citizens with:
(A)the estimate of the amount of CDBG funds
proposed to be used for activities that will
benefit persons of low and moderate income; and
(B)its plan for minimizing displacement of
persons as a result of activities assisted with
CDBG funds and to assist persons actually
displaced as a result of such activities;
(2) prepared its final statement of community
development objectives and projected use of funds
in accordance with 9570.301(a)(3) and made the
final statement available to the public;
(d) The grant will be conducted and administered
with: in compliance
(1) Title VI of the Civil Rights Act of 1964
(Pub. L. 88 -352; 42 U.S.C, §2000d et sea.); and
(2) Title VIII of the Civil Rights
Act of 1968 (Pub. L. 90 -284; 42 U.S.C. 93601 et
sea.);
(e) It will affirmatively further fair housing;
Revised June 1987 1 Page 1 of 2
M It has developed its final statement of projected use of
funds so as to give maximum feasible priority to activities
which benefit low and moderate income families or aid in the
prevention or elimination of slums or blight; (the final
statement of projected use of funds may also include
activities which the grantee certifies are designed to meet
other community development needs having a particular urgency
because existing conditions pose a serious and immediate
threat to the health or welfare of the community, and other
financial resources are not available); except that the
aggregate use of CDBG funds received under section 106 of the
Act and, if applicable, under section 108 of the Act, during
the 1988, 1989 and 1990 program year(s) (a period specified
by the grantee consisting of 1, 2, or 3 consecutive program
years, e.g., 1988 & 1989), shall principally benefit persons
of low and moderate income in a manner that ensures that not
less than 518 of such funds are used for activities that
benefit such persons during such period;
(g) It has developed a community development plan, for the period
specified in paragraph (f) above, that identifies community
development and housing needs and specifies both short and
long -term community development objectives that have been
developed in accordance with the primary objective and
requirements of the Act;
(h) It is following a current housing assistance plan which has
been approved by HUD pursuant to §570.306;
(i) It will not attempt to recover any capital costs of public
improvements assisted in whole or in part with funds provided
under section 106 of the Act or with amounts resulting from a
guarantee under section 108 of the Act by assessing any
amount against properties owned and occupied by persons of
low and moderate income, including any fee charged or
assessment made as a condition of obtaining access to such
public improvements, unless: (1) funds received under
section 106 of the Act are used to pay the proportion of such
fee or assessment that relates to the capital costs of such
public improvements that are financed from revenue sources
other than under Title I the Act; or (2) for purposes of
assessing any amount against properties owned and occupied by
persons of moderate income, the grantee certifies to the
Secretary that it lacks sufficient funds received under
section 106 of the Act to comply with the requirements of
subparagraph (1);
(j) Its notification, inspection, testing and abatement
procedures concerning lead -based paint will comply with
5570.608; and
(k) It will comply with the other provisions of the Act and with
other applicable laws.
Revised June 1987 page 2 Of 2