CR 95-72 Modification To Joint Cooperation Agreement
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April 25, 1995 o P K \ '" Council Rpt #95-072
. MODIFICA TION TO JOINT COOPERATION AGREEMENT -
HENNEPIN COUNTY CDBG PROGRAM
Proposed Action
Staff recommends approval of the following motion: Authorize execution of Modification to the Joint
Cooperation Agreement with Hennepin County regarding the Urban Hennepin County Community
Development Block Grant Program (CDBG).
With this motion, the agreement will be executed and Hennepin County will begin administering the
construction portion of the CDBG Housing Rehabilitation Loan/Grant Program beginning with 1995 CDBG
funds (July 1, 1995).
Overview
Each year the City of Hopkins receives an allocation of CDBG funds which historically have been used to
fund the housing rehabilitation program. For the housing rehabilitation activity, the City has the option of
administering the program, contracting with the County for the administration or jointly administering the
program,
. Currently, the City administers the program through the Housing Coordinator and an outside contracted
inspector. While this approach has worked, it has not always provided for the most efficient delivery of
services. Staff is proposing that the construction portion of the CDBG housing rehabilitation program be
administered by Hennepin County on behalf of the City of Hopkins for the 1995 program year. City staff
would continue to accept applications, determine eligibility, serve as a local contact and set up loans.
Hennepin County staff would conduct the inspections, prepare the scope of work and monitor construction.
Hennepin County would charge a 6 percent administration fee, taken from the total annual CDBG housing
rehabilitation budget. The contract will be renewable each year.
Primary Issues to Consider
The primary issue to consider with this action is how it affects the service to the residents. Staff is proposing
the change in order to provide better service to the program users. It will provide for consistency in the
individual who conducts the inspection, prepares the scope of work and monitors construction. City staff will
continue to be the local contact.
This change also has the benefit of reducing staff time spent on administering this program, allowing for more
time to be spent on other important housing issues. It is estimated that the cost impact will be minimal.
SUDDortim! Information
. o Modification to Joint Cooperation Agreement
ctor of Planning and Ec. Dev.
. Urban Hennepin County
Community Development Block Grant Program
MODIFICA TION TO JOINT COOPERATION AGREEMENT
The COUNTY OF HENNEPIN] State of Minnesota, hereinafter referred to as "COUNTY,"
A-2400 Government Center] Minneapolis] Minnesota, 55487 and the CITY OF HOPKINS] 10 10
First Street South] Hopkins, Minnesota, 55343, hereinafter referred to as "CITY," as parties to
the Joint Cooperation Agreement Contract No. A07483, (hereinafter Joint Cooperation
Agreement) hereby mutually agree to modify the Joint Cooperation Agreement as follows:
I. DIVISION OF RESPONSIBILITY
The COUNTY will be responsible for conducting property inspections, preparing bidding
documents, reviewing bids, monitoring construction and payment of construction invoices for
eligible applicants, under the CITY's Community Development Block Grant Funded Housing
Rehabilitation Deferred Loan Program. The CITY will be responsible for establishing the
eligibility of applicants seeking assistance, the determination of the type of assistance and range
of funding available and for the preparation and recording of all lien instruments.
.
II. SCOPE OF SERVICES
The CITY agrees to engage the COUNTY, and the COUNTY hereby agrees to perform
the following services in a satisfactory manner;
A. Upon receipt of formal notification of client eligibility and eligibility
expiration date from the CITY, conduct the initial property inspection.
B. Prepare the Scope of Work package detailing the necessary and eligible
improvements and provide the client with sufficient copies to allow eligible
bids to be obtained.
C. Review bids and, with client cooperation] establish which contractors are to
be retained,
D. Where necessary, conduct a preconstruction meeting with the client and the
contractor(s) to formally establish the improvements to be carried out.
E. Monitor construction and conduct interim inspections as required.
F. Conduct final propeny inspection.
G. Upon satisfactory completion of work and upon receipt of client
authorization to disburse funds, reimburse the contractor(s).
H. Notify CITY of completion of work and of final funding amount.
.
..--
IIL COMPENSATION
. The cost of the services to be performed by the COUNTY is set at 6 percent of CITY'S
annual Community Development Block Grant Housing Rehabilitation Deferred Loan Program
allocation and will be deducted from that allocation at the start of each program year. Six
percent will similarly be deducted from any Community Development Block Grant funds
reprogrammed into the Housing Rehabilitation Loan Program account, from any program
income accruing to the Housing Rehabilitation Loan Program and from the balance of any
program funds where the COUNTY is responsible for the expenditure of monies on client
homes. The fee will cover the costs of all applications processed, regardless of whether or not
any actual rehabilitation work is performed.
IV. TERMINATION
This Modification to the Joint Cooperation Agreement may be terminated by either party at
the end of any Community Development Block Grant Program year, provided that at least thirty
(30) days written notice is furnished to the other party.
All other terms and conditions of the Joint Cooperation Agreement Contract No. A07483
remain the same.
VI. HENNEPIN COUNTY EXECUTION
. The Hennepin County Board of Commissioners having duly approved this Modification to
the Joint Cooperation Agreement Contract No, A07483 on September 28, 1993, and pursuant to
such approval and the proper County official having signed this Agreement, the COUNTY
agrees to be bound by the provisions herein set forth.
COUNTY OF HENNEPIN, STATE OF MINNESOTA
By:
Chair ofIts County Board
And:
County Administrator
APPROVED TO FORM AND EXECUTION
Assistant County Attorney
Date:
.
VI. HENNEPIN COUNTY EXECUTION
.
The CITY, having signed this Modification to the Joint Cooperation Agreement Contract
No. A07483 on , 1995, and pursuant to such approval and the proper City
official having signed this Agreement, the CITY agrees to be bound by the provisions of this
Modification to the Joint Cooperation Agreement Contract No. A07483.
CITY OF HOPKJNS
By:
Its:
And:
Its:
CITY MUST CHECK ONE:
The City is organized pursuant to:
. Plan A Plan B - Charter
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