5579 RESOLUTION NO. 5,579
A RESOLUTION AUTHORIZING THE MAYOR AND CITY CLERK TO
EXECUTE A MEMORANDUM OF AGREEMENT WITH THE HOUSING
AUTHORITY OF THE CITY OF LITTLE ROCK; FOR CLOSE-OUT
OF THE NEIGHBORHOOD DEVELOPMENT PROGRAM; AND FOR
OTHER PURPOSES
BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE CITY OF LITTLE ROCK,
ARKANSAS.
SECTION 1. The Mayor and City Clerk are hereby authorized and directed
to execute a Memorandum of Agreement with the Little Rock Housing Authority,
and concurred in by the United States Department of Housing and Urban
Development for close-out of the Neighborhood Development Program No. ARK A-9,
which Memorandum Agreement is in form and substance as follows:
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MEMORANDUM OF AGREEMENT
This Agreement, made and entered into this day of ,
1976, by and between the City of Little Rock, Arkansas, hereinafter
referred to as "City" and the Housing Authority of the City d' Little Rock,
Arkansas, hereinafter referred to as the "Authority" and concurred in by
the United States Department of Housing and Urban Development, herein-
after sometimes called "Government" or "HUD" or "Department".
WITNESSETH:
WHEREAS, the Authority has heretofore entered into that certain
Neighborhood Development Program Funding Agreement dated March 31 ,
1970, as amended, with the United States of America, providing for
financial assistance to the Authority under Title I of the Housing Act of
1949, as amended, identified as Neighborhood Development Program
Funding Agreement No. ARK A-9 (LG), Project No. ARK A-9; and
WHEREAS, pursuant to the terms of such Agreement, and a cooperation
agreement between the City and Authority, the City is obligated to pay one-
third of the net project cost through the furnishing of local grants-in-aid;and
WHEREAS, the City and Authority contend it has become necessary, due
to the substantial completion of neighborhood development activities insofar
as same may be completed from a practical and financial standpoint, to
close out the project; and
WHEREAS, it has become necessary to evaluate further the continued
carrying out of the urban renewal project, hereinafter called "project" or
"projects"; and
WHEREAS, the City is willing to assume additional obligations respecting
the carrying out of certain necessary duties and responsibilities imposed
upon the Authority by the Funding Agreement relating to the disposal of
project lands presently under the control of the Agency;
NOW, THEREFORE, the Authority and the City do hereby mutually agree
and represent as follows:
1 . The City and Authority concur in the use of unearned grant funds from
Project No. ARK A-9, in an amount totaling $146,900.00 to pay for the value
of unsold land in the subject project. Parcels remaining unsold are identified
in Attachment A, attached hereto and made a part hereof.
2. All of the land identified hereinabove remains subject to covenants
under the provisions of which:
a. The use of the property by the Authority, City or its assignees
shall be in accordance with the Urban Renewal Plan for Project
No. ARK A-9,
b. Any improvements on such property required by the Urban
Renewal Plan shall be begun within a reasonable time after
property is acquired for redevelopment by the City or its
assignees.
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c. Any proposed reconveyances of such property by the
Authority or the City for purposes of redevelopment
shall be subject to the public disclosure requirements
already applicable to local public agencies in the
disposition of project land to redevelopers under Section
105(e) of Title I of the Housing Act of 1949, as amended;and
d. Discrimination upon the basis of race, color, religion,
sex, or national origin in the sale, lease or rental or in
the use or occupancy of such land or any improvements
erected or to be erected thereon shall be prohibited and
the Authority, City and the United States shall be
beneficiaries of and entitled to enforce such covenant.
3. Title in the property identified in Attachment A shall be retained
by the Authority.
4. All proceeds from the sale or lease of property identified in
Attachment A shall be treated as program income of the City under the
provisions of 24 CFR 570.506, provided however, that such proceeds may
be applied to the reimbursement of any funds of the City, other than funds
made available under 24 CFR 570.800 et seq. , or cash local grants-in-aid
required on the basis of incurred net project costs, which were used for
the payment of temporary loans for the project. After all obligations are
fulfilled under this Agreement, the balance of unearned grant funds
(estimated as $441 ,964.67) accruing from the Neighborhood Development
Program, Project ARK A-9 shall be transferred to the City as additional
program income under the City's Community Development Block Grant
Program.
5. The Authority represents to the City that two lawsuits remain
outstanding in connection with the project as follows:
a. Roland B. Holder vs. Chicago, Rock Island & Pacific Railroad
Company vs. Housing Authority of the City of Little Rock,Arkansas.
b. Capital Savings and Loan Association of Little Rock vs. Marshall
Pearlstein, et al, and Housing Authority of the City of Little Rock,
Arkansas.
The City hereby agrees to set aside a total of $45,000.00 in unearned
grant to cover any amount that might be incurred or awarded in connection
with the two cases, $40,000.00 for the Holder case and $5,000.00 for the
Capital Savings and Loan case.
6. The Authority further agrees that HUD may conduct audits and in-
spection of books, papers, certifications, accounts and all other documents
with respect to the administration of the operating account and completion of
all activities and to establish requirements for proper certifications with
respect to the administration of said operating account and completion of
all activities.
7. During the life of Project No. ARK A-9, a total of 129 dwelling units
were demolished. All low and moderate income housing required to be
provided due to demolition or renewal or residential structures with project
funds pursuant to Section 105 (h) of Title I of the Housing Act of 1949, as
amended, have been provided. A description of dwelling units provided is
given in the legend supporting the map attached hereto and made a part hereof
as Attachment B. Such units have been identified as to general location on
said map, Attachment B. Housing not provided would be incorporated and
identified in the City's Housing Assistance Plan.
8. With respect to the low and moderate income housing requirements
required in predominately residential projects obligated pursuant to Section
105 (f) of Title I of the Housing Act of 1949, as amended, the Neighborhood
Development Program application for the project, in our interpretation,
shows a total of 112 units planned for redevelopment for residential
purposes. Of that total, 7 have been redeveloped for low and moderate
income as 235 housing. The 7 units provided are identified as to general
location on said map included as Attachment B hereto. All such housing
remaining to be provided, 105 units, shall be incorporated and identified in
the City's Housing Assistance Plan and any change in housing obligations or
in previously approved land usages affecting housing obligations, shall require
prior written approval of the Secretary of HUD as long as the area remains
predominately residential under the provisions of the applicable Urban
Renewal Plan.
9. In the event that the City should succeed the Authority with respect
to any duties, activities, obligations or otherwise connected with completion
or carrying out of the project the City hereby agrees to be bound by the
terms of this Agreement and to perform the Authority's duties, obligations
and activities to the same extent as the Authority is herein obligated.
10. Any costs or obligations incurred in connection with the project with
respect to claims which are disputed, contingent, unliquidated or unidentified
and for the payment of which insufficient project funds have been reserved
under the financial settlement, shall be borne by the City. Such additional
expenses may be paid from funds made available from Community Development
Block Grant Funds under 24 CFR 570. et seq.
11 . Obligations under this Agreement are made specifically subject to
the program management requirements of Subpart (J) of 24 CFR 570.900 ,
et seq.
12. It is specifically understood and agreed that the concurrence of this
Agreement by the United States Department of Housing and Urban Development
shall not constitute a waiver of the terms of the Neighborhood Development
Program Funding Agreement and Amendments thereto with the Agency.
IN WITNESS WHEREOF, the parties by these presents have executed
the Agreement on the date hereinabove shown.
Attest: HOUSING AUTHORITY OF THE CITY OF
LITTLE ROCK, ARKANSAS
By
Secretary Chairman
Attest: CITY OF LITTLE ROCK, ARKANSAS
By
Secretary Mayor
Concurred in : UNITED STATES OF AMERICA
Secretary of Housing and Urban Development
By
Assistant Regional Administrator for
Community Planning and Development
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SECTION 2 . This Resolution shall be in full force and
effect from and after its adoption.
ADOPTED: August 17, 1976
ATTEST: 1/'L4 APPROVED:
City Cle k May s: 1/1/4#1:1414117