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03-082 CDBG Separation agreementCounty of Santa Clara Office of Affordable Housing Housing and Community Development 1735 North First Street, Suite 265 San Jose, California 95112 (408) 441-0261 FAX 441-0365 December 1, 2003 Vera Gil Planner IUHousing Specialist 10300 Torre Avenue Cupertino, CA 95014 Dear Vera, Enclosed please find your fully executed cope of the Community Development Block Grant Program Separation Agreement with the Metropolitan City of Cupertino which was approved under ~"item 21 at the October 28, 2003 regular meeting of the County of Santa Clara Board of Supervisors. If you have any questions, please contact me ;~t (408) 441-4249. Very truly yours, ~~- Charles Chew Office of Affordable Housing Housing and Community Development P.S. It's been great working with you folks and I wish you the best ! Encl: FY 03/04 Files Cities -Cupertino Separation Agreement CC/grg 12/1/03 Board of Supervisors: Donald F. Gage, Blanca Alvarado, Pete Mcllugh, James T. Beall, Jr., Liz Kniss County Executive: Peter Kutras, Jr. 8 ~~~~~ COMMUNITY DEVELOPMEN'C BLOCK GRANT PROGRAM SEPARATION AGREEMENT ~NITH THE METROPOLITAN CITY OF CiJPERTINO THIS AGREEMENT entered into between the CITY OF CUPERTINO (hereinafter referred to as "City") and the COUNTY OF ;SANTA CLARA (hereinafter referred to as "County") this 21st day of October, 2003. WITNESSETH: WHEREAS, the County of Santa Clara has entered into contracts with the United States of America through its Department of Housing and Urban Development (HUD) to participate in the County's Community Development Block Grant (CDBG) Program as an entitlement jurisdiction pursuant to the provisions of the Housing and Community Development Act of 1974, as amended (hereinafter referred to as "Act"); and WHEREAS, on June 20, 1999, the County acid the City entered into a Joint Exercise of Powers Cooperation Agreement for the period July 1, 2000, through June 30, 2003, in which both parties agreed to cooperate to undertake or assist in the undertaking of community development and housing assistance activities through the allocation of CDBG funds; and WHEREAS, THE County and the City have previously entered into an Implementation Agreement (City/County Contract No. CU-0?~-00) for the period of July 1, 2002 through June 30, 2003, to carry out certain communit~~ development activities through the allocation of CDBG funds; and WHEREAS, the City, as of this date, has unexpended Community Development Block Grant funds totaling $149,472.54 (See Attachment A), reflecting the balance of funds on previously authorized Cupertino projects and are still available to the City under the CDBG Program; and WHEREAS, the City, as of this date, has a Revolving Rehabilitation Loan Fund consisting of the Program Income from the City Housing Rehabilitation Loan Program which is administered by the City, with oversight by the County; and WHEREAS, THE County has administered the City's Community Development Block Grant Program through June 30, 2003; and WHEREAS, the City became a Metropolitan City according to the requirements of the Act on July 1, 2003, and thereby eligible to administer its own Community Development Block Grant Program; and County of Santa Clara 1 Office of Affordable Housing Housing and Community Development Program Separation Agreement City of Cupertino October 21, 2003 ~JOPLICATF; ORIGIM1~kL WHEREAS, the City, as a Metropolitan City, now desires to be separated from the County's program through the transfer of all obligations and responsibilities for its future participation in the CDBG Program from County to City. City requests a transfer of all of its unexpended funds (See Attachment A) i'rom the Urban County's Letter of Credit, as well as its Program Income in the Revolving Rehabilitation Loan Fund and to directly receive future Program Income derived therefrom, in accordance with Section 106 (C) (3) of the Act of 1983. IT IS AGREED AS FOLLOWS: 1. Community Development Block Grant funds of $149,472.54 (See Attachment A attached hereto and incorporated herein by this reference) shall be transferred from the County to City. This Agreement shall constitute a request to HUD to transfer this amount of Community Development Block Grant Funds from the Urban County's Letter of Credit to the City's Letter of Credit as soon a~ practicable by HUD. 2. City, upon transfer of these funds to the City's Letter of Credit by HUD, shall accept all obligations and responsibilities to IIiJD for the expenditure of the funds stated herein. These obligations include, but are nor. limited to, previsions of the Housing and Community Development Act of 1974, (Public Law 93-383) as amended; the Regulations of the Department of Housing and Urban De~~elopment V, Part 570 of the Code of Federal Regulations (commencing with Section 570.1); and the assurances (HUD Form No. 7068); and any audit/monitoring finding, and program reporting as of close of business hours on June 30, 2003. 3. County agrees that it accepts all obligations and responsibilities to HUD for the expenditures and unliquidated obligations associated with the activities listed in the above contracts prior to the effective date of ~:he transfer of funds to City. All audit and monitoring findings associated with those expenditures and obligations remain with the County. 4. The City is entitled to retain its Rehabilitation Revolving Loan Fund and any unobligated Program Income which may result from the activities carried out with the transferred funds or from activities carried oitt under City's Rehabilitation Revolving Loan Fund. // // // // // // // // County of Santa Clara 2 Separation Agreement Office of Affordable Housing City of Cupertino Housing and Community Development Program October 21, 2003 5. The City agrees to fully indemnify, defend and hold the County harmless against any and all loss, including reasonable attorneys fees and costs, damage, liability, claim, demand, suit or cause of action resulting from injury or harm to any person or property arising out of or in any way connected with the performance of this Agreement, and all past CITY/COUNTY CDBG Agreements in accordance with the terms thereof, excepting only such injury or harm as may be caused solely and exclusively by fault or negligence of the County. CITY CUP RT NO,,~" By: /~. 8.0 3 Date Print Names ~ ~'`~ ~~ PP CO TY OF SANTA CLARA: By: OCT Board of Supervisors Date ~ BLANCASA~~ARADO 2 8 203 APPROVED AS TO FO /~~ ~~. By: ~ ~ ~ - ~ - C~ > City Attorney Date Print Name: L` h(,l~ ~ES ~ i ~ iG ri County of Santa Clara 3 Office of Affordable Housing Housing and Community Development Program APPROVED AS TO FORM AND LEGALITY: Deputy County Counsel Date PHYLLIS A. P~RE2 ATTEST: Clerk, Board of Supervisors By: CT 2 8 2003 Date Separation Agreement City of Cupertino October 21, 2003 COUNTY OF SANTA CLARA Office of the Affordable Housing -Housing & Community DeveloProent Program U, CDBG -City Projects FY2004 6l ~ 8/ 11 !2003 12.32 U, ~o ~-, Attachment A PROJECT NAME Project Roll-Over New Funding Total ransfers an Fund Number PY-Balance FY 04 04 Aflocat~o Re ro rams xpenditure balance r CUPERTINO ~' General Administration CU-02-91 5,658.04 5,658.04 FV 2U01/i72 S 1 B0, 874 Cupertno Comm Sere-Vista Drive Dev CU-03-12 124,253.00 Cupertino Comm Serv-Ro#ating Shelter Prog CU-03-31 4,561,50 General Administration CU-03-91 15,000.00 FY200/03 S175,OfJ6 ~: ~: q U ~7 U, r~ R~ i i w u~ CiTP)CRTINO Total 4 149,472.54 124,253,00 4,561.50 15,000,00 0.00 149,472.54 5,658.0 124, 253.01 4,561.5( 15,000.0! 0.00 0.00 149,472.51 Exp. Goa! Timeliness 1;tati J Q F- 0 ~- NB 8/ 11/2003 Time1""mess Rartio =Fund Balance dlvlded ay flew Funding. The rotlo should not exceed 1.5, which Is the standard set by ~iUD•