3180 RESOLUTION NO. 3,180
RESOLUTION APPROVING COOPERATION AGREEMENT WITH
THE HOUSING AUTHORITY OF THE CITY OF LITTLE ROCK,
ARKANSAS, AND APPROVING APPLICATION FOR PRELIMINARY
LOAN
BE IT RESOLVED by the Board of Directors of the City of Little
Rock, Arkansas:
Section 1. The Cooperation Agreement between the City of
Little Rock, Arkansas, and the Housing Authority of the City of
Little Rock, Arkansas, in the form set forth in Exhibit A attached
hereto and made a part hereof is hereby approved.
Section 2. The Mayor is hereby authorized and directed to
execute said Cooperation Agreement in the name of, and the City
Clerk is hereby directed to seal and attest the Cooperation
Agreement with the seal of the City of Little Rock, Arkansas.
Section 3. There exists in the City of Little Rock,
Arkansas, a need for lQw-rent housing at rents within the means
of low-income families.
Section 4. The application of the Housing Authority of the
City of Little Rock, Arkansas, to the Public Housing Administra-
tion for a preliminary loan in an amount not to exceed $60,000.00
for surveys and planning in connection with low-rent housing
projects of not to exceed approximately 300 dwelling units is
hereby approved.
Section 5. This resolution shall become effective immediately.
ADOPTED: July 6, 1964
APPROVED:
MAYOR
ATTEST:
City Clerk
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PEA-218i .
Dec. 1955 '
COOPERATION AGREEMENT
- reement entered into this day o- , `9 ,
by and between The Housing Authority of the City of Little Roc1(herein
Arkansas
called the "Local Authority") and the City of Little Rock, Arkansas
(herein called the '': nicipality"), witnesseth:
In consideration of the mutual covenants hereimfter set forth, the parties
hereto do agree as follows:
1. Whenever used in this Agreement:
(a) The term "Project" shall mean any low-rent housing hereafter
developed as an entity by the Local Authority with financial
assistance of the Public rousing Administration (herein called the
"PHA"); excluding, however, any low-rent housing project covered by
any contract for loans and annual contributions entered into between
the Local Authority and the PHA, or its predecessor agencies, prior
to the date of this Agreement.
(b) The term "Taxing Body" shall mean the State or any political
subdivision or taxing unit thereof in which a project is situated
and which would have authority to assess or levy real or personal
property taxes or to certify such taxes to a taxing body or public
officer to be levied for its use and benefit with respect to a
b project if it were not exempt from taxation.
(c) The term "Shelter Rent" shall mean the total of all charges to
all tenants of a project for dwelling rents and nondwelling rents
(excluding all other income of such project), less the cost to the
Local Authority of all dwelling and nondwelling utilities.
(d) The term "Slum" shall mean any area where dwellings predominate
which, by reason of dilapidation, overcrowding, faulty arrangement
or design, lack of ventilation, light or sanitation facilities, or
any combination of these factors, are detrimental to safety, health,
or morals.
1 2. The Local Authority shall endeavor (a) to secure a contract or con-
.1 tracts with the PHA for loans and annual contributions covering one or more
projects comprising approximately 300 units of low-rent housing and (b) to
develop and administer such project or projects, each of which shall be located
within the corporate limits of the Municipality. The obligations of the parties
hereto shall apply to each such project.
3. (a) Under the constitution and statutes of the State
of Arkansas , all projects are. exempt from all real and
personal property taxes and special assessments levied,or impeaed by
any Taxing Body. With respect• to any project, so long as either
(i) such project is owned by a public body or governmental agency and
is used for low-rent housing purposes, or-(ii) any contract -:etween
the Local Authority and the PHA for loans or annual con tributieas, or
both, in connection with such project remains in force and effect, or
(iii) any bonds issued in connection with such project or any monies
due to the PHA in connection with such project remain unpaid, which- .
ever period is the longest, the Municipality agrees that it wile. not
levy or impose any real or personal .property taxes or special assess-
ments upon such project or upon the Local Authority with respect
thereto. During such period, the Local Authority shall make annual
payments (herein called "Payments in Lieu of Taxes") in lieu of such
taxes and special assessments and in payment c,r the public services
and facilities- furnished from time to time without other cost or
charge for or with respect to such project.
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1 Page 2 - December 1955
(b) Each such annual payment in Lieu of Taxes shall be made after the end of
the fiscal year established for such Project, and shall be in an amount
1 equal to either (i) ten percent (10%) of the aggregate Shelter Rent actually
collected but in no event to ex-..:ed the Shelter Rent charged by the Local
I Authority in repsect to such Project during such fiscal year, or (ii) the
1 amount by which the real property taxes which would have been paid to all
1 Taxing Bodies for such fiscal year if such Project were not exempt from
a taxation exceeds twenty percent (20%) of the Federal Annual Contribution
actually payable with respect to such Project for such fiscal year, provided
that if two or more Projects are covered by one contract with PIHA for annual
1 contributions, the amount of the Federal Annual Contribution actually -payable
4 with respect to each Project shall be determined by pro-rating the total
Federal Annual Contribution actually payable with respect to all such Pro-
i
' jects in proportion to the development cost of the respective Projects, or
(iii) the amount permitted to be paid by applicable State law in effect on
I the date such payment is made, whichever amount is the lowest. For the
purpose of computing the Federal Annual Contribution and Payment in Lieu of
' i Taxes, all projects which are covered by the same contract with the PHA for
annual contributions and which have cooperation agreements, subject to
, } ' limitation as expressed in clause (ii) above, with the identical Taxing
' 1 Bodies shall be treated collectively as a single project.
I (c) The Local Authority shall distribute the Payments in Lieu of Taxes among
the taxing bodies in the proportion which the real property taxes which
would have been paid to each Taxing Body for such year if the Project were
not exempt from taxation bears to the total real property taxes which would
have been paid to all of the Taxing Bodies for such year if the Project were
not exempt from taxation; Provided, however, That no payment for any year
shall be made to any Taxing Body in excess of the amount of the real
property taxes which would have been paid to such Taxing Body for such
year if the Project were not exempt from taxation.
(d) Upon failure of the Local Authority to make any Payment in Lieu of Taxes
no lien against any Project or assets of the Local Authority shall attach,
nor shall any interest or penalties accrue or attach on account thereof.
4. The Municipality agrees that, subsequent to the date of initiation (as
defined in the United States Housing Act of 1937, as amended) of each Project and
within five years after the completion thereof, or such further period as may be ---- -
approved by the PHA, there has been or will be elimination (as approved by the PHA)
by demolition, condemnation, effective closing, or compulsory repair or improvement,
of unsafe or insanitary dwelling units situated in the locality or metropolitan
area in which such Project is located, substantially equal in number to the number
of newly constructed dwelling. units provided by such Project; Provided, That; where
more than one family is living in an unsafe or insanitary dwelling unit, the
elimination of such unit shall count as the elimination of units equal to the
number of families accomodated therein; and Provided, further, That this paragraph
I+ shall not apply in the case of (i) any Project developed on the site of a Slum
cleared subsequent to July 15, 1949, and that the dwelling units eliminated by
the clearance of the site of such Project shall not be counted as elimination for
any other Project or any other low-rent housing project, or (ii) any Project
located in a rural nonfarm area.
5. During the period commencing with the date of the acquisition of any part of
1 the site or sites of any Project and continuing so long as either (i) such Project
is owned by a public body or governmental agency and is used for low-rent housing
purposes, or (ii) any contract between the Local Authority and the PHA for loans
or annual contributions, or both, in connection with such Project remains in force
and effect, or (iii) any bonds issued in connection with such Projector any monies
due to the PHA in connection with such Project remain unpaid, whichever period is
the longest; the Municipality without cost or charge to the Local'Authority or the
tenants of such Project (other than the Payments in Lieu of Taxes) shall:
(a) Furnish or cause to be furnished to the Local Authority and the tenants
of such Project public services and facilities of the same character and to
the same extent as are furnished from time to time without cost or charge to
other dwellings and inhabitants in the Municipality;
(b) Vacate such streets, roads, and alleys within the area of such Project
as may be necessary in the development thereof, and convey without charge to
the Local Authority such interest as the Municipality may have in such
vacated areas, and, in so far as it is lawfully able to do so without cost
or expense to the Local Authority or to the Municipality, clause to be removed
from such vacated areas, in so fax as it may be necessary, all public or
private utility lines and equipment;
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. iece fiber 1955
(c) Insofar as the iluniciT li ty may lawfully do so, (i) grant •
such deviations from the building code of the unicipality as are
• reasonable and necessary to promote economy and efficiency in the
development and administration of such Project, and at the same
time safeguard health and safety, and (ii) make such changes in
any zoning of the site and surrounding territory of such Project
as are reasonable and necessary for the development and protection
of such Project and the surrounding territory;
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(d) Accept grants of easements necessary for the development of
such Project; and
(e) Cooperate with the Local Authority by such other lawful action
. or ways as the Municipality and the Local Authority may find neces-
sary in connection with the development and administration of such
Project.
6. In respect to any Project the Municipality further agrees that within
a reasonable time after receipt of a written request therefor from the Local
Authority:
(a) It will accept the dedication of all interior streets, roads,
alleys, and adjacent sidewalks within the area of such Project,
together with all storm and sanitary sewer mains in such dedicated
areas, after the Local Authority, at its own expense, has completed
H • the grading, improvement, paving, and installation thereof in
accordance with specifications acceptable to the Municipality;
(B) It will accept necessary dedications of land for, and will
grade, improve, pave, and provide sidewalks for, all streets
bounding such Project or necessary to provide adequate access
thereto (in consideration whereof the Local Authority shall pay
to the Municipality such amount as would be assessed against the
Project site for such work if such site were privately owned); and
(c) It will provide, or cause to be provided, water mains, and
storm and sanitary sewer mains, leading to such Project and serving
the bounding streets thereof (in consideration whereof the Local —
Authority shall pay to the Municipality such amount as would be
assessed against the Project site for such work if such site were
privately owned).
7. If by reason of the MunLicipal.ityt s failure or refusal to furnish or
cause to be furnished any public services or facilities which it has agreed
hereunder to furnish or to cause to be furnished to the Local Authority or to
the tenants of any Project, the Local Authority incurs any expense to obtain
such services or facilities then the Local Authority may deduct the amount of
such expense from any Payments in Lieu of Taxes due or to become due to the
I nicipality in respect to any Project or any other low-rent housing projects
owned or operated by the Local Authority.
8. No Cooperation Agreement heretofore entered into between the
Municipality and the Local Authority shall be construed to apply to any Project
covered by this Agreement.
9. So long as any contract between the Local Authority and.the PHA for
loans (including preliminary loans) or annual contributions, or both, in
connection with any Project remains in force and effect, or so lone as any
bonds issued in connection with any Project or any monies due to the PHA in
connection with any Project remain unpaid, this Agreement shall not be
abrogated, changed, or modified without the consent of the PHA. The privileges
and obligations of the Municipality hereunder shall remain in full force and
effect with respect to each Project so long as the beneficial title to such
Project is held by the Local Authority or by any other public .body or govern-
mental agency, including the PHA, authorized by law to engage in the development
or administration of low-rent housing projects. If at any time the beneficial
title to, or possession of, any Project is held by such other public body or
governmental agency, including the PHA, the provisions hereof shall inure to
the benefit of and may be enforced by, such other public body or governmental
. agency, including the PHA.
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December 1955 .
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IN WITNESS W EREOF the Municipality and the Local Authority have respectively
signed this Agreement and caused their seals to be affixed and attested as of the
day and year first above written.
• t . A P ... . _ • _
(SEAL) By
Mayor
Attest:
(Title)
EOUSIF.G. AUTHORITY OF TIM CITY OF
LITTLE ROCK, ARKANSAS
(s EAL)
By
Attest: Chairman
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Secretary
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