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HomeMy WebLinkAbout1975-09-08 344 AC ORDER344 AC Introduced by (iounc110t, Bi9ney, September 6, 1975 CITY OF BANGOR (TITLE.) VbC - A roving end. Rdoptvpg the Tema and COMit ono Por �.......... . . .. ....... MIUU,S. the City of Bangor by Council Order 325 AC hes approved and adopted the Community Development Rehabilitation Leen Program; and wHF8gA5, it is necessary to adopt aW approve specific teams and conditions for said Program] - NOW TkZEIIEFM M IT ORDgRRD, by the City Council of the City of Bangor that the Property Rehabilitation loan Program "Teams and Conditions' on Pile with the City Clerk be adopted and approved as the teams and conditions for the .Community Develyunent Rehabilitation Iron Program. IN UTY CWk IL 344 % September 8,:19]5 :meeided by deleting "m 'r and substituting 0 R D E R .r3 tbeegao-,'shall" in the 1st line, last - Pana9raPh, 1st Page. of "TerMS and Title, -Conditions" and by deleting " " and - by designating "a" a sato;: RECEIVED Page. AS amaadapa, sassed. �n - - ,?qP=ovinq dna Adopting the Terms and - CITY DF BANGOR ��•.� ✓!�•aAay c a t One toe the c anity Development CITY CLER'K'S CFFICE cxxy�c Rehabilitation v n erogeam, 075 SCP 5 AH 8 33 ntroduced and Hled by •• ,.•. me Lnen 1 i mm AND CONDITIONS 1. Purposes of Icon. Toe Borrower, agrees to we the Loon proceeds to accaoplish Lh hebilitaLion of hie property, identified in the Application filed by him on Pone BCD -1 or BCDIA, to neat the require- ments of the Housing Coda of the City of Bangor and to make such other impow ments as necessary for putting his property to generally good and readily maintainable coa ition with the necessary facilities in Bond corking order. loans All be available only for the putpoeea of rehabilitati� deelling units which do not meet the minimum require- ments of the Housing Code In Co munity DBvelOPmeat Program Project some as established by Order of the City Comncil of the City of Bangor. The Borrower further agrees to use aqy Iran proceeds rematnl+ after the accomplishment of the foregoing rehabilitation to carry out any additional rehabilitation (including any general property improvements), to make any related erpeditures, and to accomplish the reducement of the debt made by the loan, to the extent and in the mower authorized by the approved Application and its supporting documentation. 2. Description of Iran. The loan will be evidenced by a Promissory Note erecuted by the Borrower, and, 1£ required by the City of Beeper, will be secured by a mortgage mr equivalent security instrument, in Soon and subetenme setisfectory to the City of Bangor. The Note will; a. Be in the face amount of the Leon approved by the City of Bangor; b. Beer Interest at the rate of five portent (5S) per owes on the principal outstanding at our time if accured ad six percent (6%) per aims if unsecured; \ kAx(c. Be repaid at such time or times, at such plate or platens l -. a d,. Cie Be subject to such other conditions of repayment as shall be more fully specified in the Note. The Borrower agrees that the proceeds of the Loon ey be deposited in an account maintained by the City of Bangor subject to withdrawal only as necessary to carry out the purpose(s) of the loan as described in para- graph 1, avpran PProvided, that all proceeds of the Iom not so withdrawn shall be applied by the City of Bangor or other escrow representative to reduce the outstanding and unpaid principle amount a the Iriant may, accrued interest and late charges, sed, if this is a secured loan, say additional amount secured by the security instrument, ands if only foods remain after so doing, the City of Banger may pay over the same to the Borrower. Without attempting to enumerate an possibildtles, the foregoing provision shall be applicable, when the purposes of the Iran me no longer capable of being carried oat, when the Iran has been canceled by the City of Bangor pursuant to paragraphs 3 or 8(b), infra; or, when the entire amount of the loan has become, or has been declared by the City of Banger tobe immediately due and payable pursuant to the provisions of the Note, the security instrument, if say, or these Terms and Conditions. 3. Cancellation and Acceleration of Amounts Due. At its option, the City of Bangor, or its designee, reserves the right to Centel and ter— nate this Loan by sanding written notice of cancellation to the Borrower at his mailing address as set forth in the Application if, for a period of 60 days from the date of execution of the Note, the Borrower shall have failed or refused to cause the commencement of physical rehabili— tation work on his property, or if the Borrower shall have failed or refused to complete such rehabilitation work within a reasonable time. The City of Beagor•s failure to exercise this right shall not be deemed a waiver thereof, as long as the rehabilitation work remains incomplete. In addition to, and not in derogation of the provisions of the Note, or, if this is a secured loan, the Security instrument, the Borrower agrees that the entire principal amount of the Note, together with aro accrued interest, late charges, and any other amounts secured by the security instrument, shall become immediately due and payable without notice or demand upon the Cancellation of this Lose* pursuant to this paragraph or paragraph 8 (b). The Note shall also became immediately due and payable Won the insolvency, assignment for the benefit of creditors, crnmsucemert of any proceedingunderany bankruptcy insolvency law by or against the borrower. The Borrower farther agrees that the City of Bangor is authorized to declare, at its option, and part or the entire amount, of each indebted— ness immediately due eni payable upon the happening of any of the following events, a. The sale or price encumbrance of the collateral, or of the property which is the subject of the rehabilitation financed by the Loan; —2— b. The loss, thefts substantial damage to or destruction of the collateral not covered by insurance; c The failure to renew insurance on the collateral. or termination of insurance on the collateral when sub— Science insurance is not obtained before the insurance coverage terminates. d. The Borrower's death or legal incapacity to acts prior to the eomplation of the rehabilitation workv if the City of Bangor determines that the purposes of the loan have been rendered impracticable of fulfillment. The City of Bangor's failure to exercise aro of its rights hereunder shall not constitute a waiver thereof. 4. Acconmlishment of Work. The Borrower agrees to carry out all rehabili— tation !ro specified in the Application and its Supporting documentation with all practicable in in a sound$ economical, and e£ticieda� meadows either personally or through written contract lot by him with the prior concurrence of the Government or its designee. In accomplishing Such rehabilitation. the Borrower will comply with applicable Codes of the City of Bangory ands to the extent that these are not controllirygp with the work writeop submitted with the Loan Application. If the estimated cannot of contract for rehabilitation works or for the purchase of materials' equipment, or supplies to be used in connection with the rehabilitation work, is; a. 510.000 or mala.. the Harrower agrees to give fall opportunity for frees open. and competitive bidding for that contract; to give such publicitys through advertisements and Solicitations for bidst as will produce competitive bidding; and to award each contract to the lowest responsible bidder. b. Less than $10.00o. the Borrower may enter into such contracts by negatiatino without or competitive bidding. 5. Incl" ible Contractors. The Borrower agrees not to award any, contract or purchase order or rehabilitation workt other services. materials. equip— ment. W Supplied, to he paid for, in whole or in part with the proceeds of the loans to any contractor or subcontractor, what the Borrower has been advised is unacceptable for federally assisted contracts by the Secretary of Housing ani Urban Development, pr his designee, or delegates. 6. Inspection of Work. The City of Bator or its designee shall have the right to inspect all rehabilitation work financed, in whole or in parts with the proceeds of the Loans and will infort the Borrower of aqv non— odepliannes with respect to the Contract for the rehabilitation works —3. but will not issue any orders or instructions to the contractor or subcontractor perforin the work. The Borrower will take all steps necessary to assure that the Goverment or its designee is permitted to examine and inspect the rehabilitation work, sod all uontractas materdalss equipment: phyrolls, and conditions of employment pertaining to the work, including all relevant data and records. 9. Records, Me Borrower agrees to keep such records as may be required by the 'Cityof Bangor with respect to the rehabilitation work finanoad, in whole or in parte with the aid of the LOaa, nods furtherm0re, when the rehabilitated property contains rental Units, the Borrower agrees to keep such records as may be required by the City of Bangor with respect to income received mnd expenses incurred Rvm this property. The narrower will, at aro time during normal business houra, and as often as the City of Bangor or its designee, may deem necessary, permit the City of Bangor to here full and free houses to its records with respect to the utilization of the proceeds of the loan, and when applic- able, to the income and expenses incurred through rental, and will Permit the City of Bangor to audit, examine, and make amerpts or transcripts from hie records and to review, lesPect, and make mdits of all rembil- itatlan work, contracts, invoices, materlal, payrolls, records of personnel, conditions of employment, books of records and other documentary data per- taining to the loan and the rehabilitation work, and when applicable, to income and expenses incurred through rental of the rebabilitation property. 0. Ecual Employment G000rtunity. U Connect Subiect to Executive Order 11246. The Borrower hereby agrees tat it wi incorporate or cause to be incorporated into any contract for construction work, he modification thereofs as defined in the regulations of the Secretary of Labor at 41 CFE Part 609 which is paid for in whole or in part with foods obtained from the Federal Covernment or borrowed ou the credit of the Federal Government pursuant to a grant, contrast, loan, insurance, or guerantee, or undertaken pursuant to any Federal program involving such grant, contract, loan, insurance, or guarantee, the following equal opportunity clauses Coring the performance of this contract, the contractor agreea as follows: (1) The contractor will not discriminate against any employee or applicant for employment because of race, color, religion, sex, or national origin. The contractor will take affirms motive action to ensure that applicants are employed, and that employees are treated during employment, without regard to their race, color, religion, sex, or national origin. Such action shall irslude, but not be limited to, the followings amployeehss upgrading, demotion, or -4- transfer; recruitment or recruitment advertising; lVef or termination; rates of pry or other fame of caaPen- cation; aro selection for trainingp including apprcntice- chip. The contractor agrees to post in conspicuous Places, available to employsea and applicants for employment, notices to be provided by the municipality setting forth the provisiona a this nondiscrimination clause. (2) The contractor will, in all solicitations or advertise- ments for eopleyees placed by or on behalf of the contractor, state that all qualified appldcmts Will receive considec� allm far employment Withmt regent to their race, color, -religim, sex, or national origin. (3) The contractor will send to each labor union or repro- sentaties of weeders with Which he has a collective bargaining agreement or other contract or understanding, e notice, to be provided, advising the said labor Union or workers' representative of the contractor's commitments under this section and 611011 post copies of the notice in conspicuous places available to employees and appldcanbe for employment. (4) The contractor will conply with all Provisions of Executive Order 11246 a September 24, 19659 and of the rules, regu- lations, and relevent orders of the Secretary, of Labor. (5) The contractor will furnish all deformation and reports required by Exemtive Order L12/,6 of September 24, 1965, and by the of labor or thesSecreetarylOf onsNousiog and Orders of the o Urban Developmeent, or pursuant thereto, and wdll permit access to his books, records, end accounts by the Secretary of Hensing and Urbm Development, or his designee, and the Secretary of Labor for purposes of imestlgation to ascertain compliance ,dth each rales, regulatiens, and ceders. (6) In the event of the contractor's noncaagaliance With the nondiscrimination clauses of this contract or with aqv of the said rules, regulations, or orders, this contract may be canceled, teradnated, or suspended in whole or in part and the contractor may be declared ineligible for further Dovernmmt contracts or federally assisted am- stncction contracts in accordance with procedures authorized In Executive Order 11246 of September 24, 1965, and each other, sanctions may ba imposed aro remedies imoced as provided do Executive order 11246 oI SepteMber 2f„ 1965, or by rule, regulation, or order of the Secretary of Labor, or as othereiee provided by law.. -5- Or ill he (7) +mm-w;a lvtprece n8 paragraph (1g'd Chia hrOslaws of paragraphs (1) through (7) in every subcontract or purchase order unleas exempted by rules, regulations, or orders of the Secretary of Labor issued puxsuoat to Section 274 of Executive order 11246 oI September 24, 19659 so that such provislom will be binding upon each subcontractor or vendor. The contractor will take such action with respect to any subcontract or purchase order as the property owner or the Secretary of Housing and Urban Development mW direct asameans of enforcing such provisions, including sanctdonsfor noncompliance; . Provided, _ however, That in the avant the contractor becomes involved in, or is threatened with, litigation with a subcontractor or vendor as a result of such direction W the property comer or the Secretary of Houst5mg and Urban Development, the contractor may request the United States to enter into such litigation to protect the interest of the Secretary of Housing anal Urban Development of the United States. b. Enforcement Obliaatione oY Borrowers. The Borrower Further agrees that he will be bounce y the above aquffi opportunity clause with respect to his own employment practices when he participates in federally assisted construction work: Provided, That if the Borrower so participating is a State or local government, the above equal opportunity clause is not applicable to any agency, instramnRality or aubdiviaton oI such government which does not participate in work on or under the contract. The Borrower agrees that be will assist and cooperate actively with the Sacretary of Housing and Urban Development and the Secretary of labor in obtaining the compliance of contractors and subcontractors with the equal opportunity clause sad the rules, regulation and relevant orders of the Secretary of Labor, that he will furnish the Secretary of Horsing end Urban Develop- ment sail the Secretary of Labor such information as thW mW require for the sapervisioa of such coopliencer and that he will othervdse assist the Secretary of Housing and Urban Development do the discharge of the Secretary's PrLamy responsibility for securing compliance. The Boxrowex further agrees that he will refrain from entering into aW contract or contract modification subject to Executive Order 11246 of September 24, 1965, with a contractor debarred from, or who has not demonstrated eligibility for Government contracts sed federally assisted construction contracts pursuant to the Executive order and will carry out such sanctions Bad penalties for violatiaa of tha equal opportwity clause one mW M be imposed was contractors and subcontractors by the Secretary of Housing and Urban Development or the Secretary of g bow pursuant to Part II, Subpart D of the Executive Ostler. In addition, the Borrower agrees that if he fails or refuses to comply with these undertakings, the agency mry take ary or all of the follosdog actions: Cancel, terminate, or suspend in whole or in part this loan application and agreement; refrain from extending soy further assistance to the Borroemw uater the program with respect to which the failure or refn occurred until satisfactory assurance of future compliance has been received from such Borrower; and refer the case to the Depart— ment a Justice for appropriate legal proceedings. 9. Title VI of the Civil Ughts Act of 1964, The Borrower will utilize the proceeds o t e Inas in compliance with all requirements imposed by or pursuant to. regulations of the Secretary of Housing and Urban Develop— ment effectuating Title VI of the Civil Rights Act of 1964 (98 Stat. 252), The Borrower also agrees not to discriminate upon the basis of race, color, creed, or national origin in the sale, lease, rental, use, or occupancy at the real property rehabilitated with the assistance of the loan. The City of Bangor shall be deemed to be a beneficiary of these provisim,s both for and in its mm right and also for the purpose of protecting the interest of the commwity and other parties, public or private, in whose favor or for abuse benefit this provision hes been provided and shall have the right, in the event of any breach of this provision, to maintain aro actions or suits at law or in equity or std other proper proreediage to enforce the curing of such breach. M. Interest a Certain Federal Officials. The Borrower agrees that no Member of or Delegate to the Congress of the Unitel States, and no Residcat Commissioner, shall be admitted to any share or part of the proceeds of the Iran, or to std benefit to arise fron the sane. ll. Bonus. Commission. or Fee. The Borrower will rot pay env bonus, cmmi.ssion, or See for the purpose of obtaining the City of Bangor's approval of his Application for this lnsn, or any other approval or concurrence required by the Coveraaent or its designee to complete the rehabilitation work financed in whole or in part with this Loan. 12. Interest of Cit -of H or Personnel. No member of the governing body of the Ly oT Bengpr woo exercises adv ilmctions or rospmneibiliLies in connection with the administration of the Community Development Program, and an other officer or employee of the City of Bangor who exeroises such functions or responsibilities, shell have any interest, direct or indirect, in the proceeds of this Loan, or in any contract entered into by the Borrower for the performance a work financed in whole or in part with the proceeds of this loan. -7-