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Joint Cooperative Agreement MEMO DATE: August 28, 1984 TO: Clty Councll FROM: Jlm Kerrlgan SUBJECT: Hennepln County CBDG JOlnt Cooperatlve Agreement Recently I was lnformed by Hennepln County, that lf we wlsh to partlclpate In thelr Communlty Development Block Grant (CBDG) Program, we need to execute a JOlnt Cooperatlve Agreement no later than September 14. In prevlous years, the Clty has been competlng on a statewlde baslS for CBDG dollars. Because of lncreased competltlon and decllnlng dollars, we have not had any appllcatlons funded In recent years (the last funded appllcatlon was In 1979 for a three-year perlod, through 1981). ./ By partlclpatlng In the County Program there would be no competltlon wlth other communltles. The Clty would be guaranteed a c ertaln amoun t 0 f doll ars each year to be u sed for CBDG ellglble actlvltles. ThlS amount would be less than what the Clty could potentlally reCleve lf approved on a competltlve baslS. However, the guaranteed fundlng lS a deflnlte plus. For 1985, It lS estlmated we would recelve $100,000. At the present tlme every non-entltlement Clty In Hennepln County partlclpates In the County CBDG Program except Hopklns and Long Lake. Should the Clty agree to partlclpate, lt would be for a three-year perlod (1985, 1986, 1987). If the Clty does not elect to JOln wlth the County at thlS tlme, we would be locked out of lnvolvement wlth thelr program for three years. It would be my recommendatlon that wlth the funding guaranteed from the County and In llght of our recent lack of success In gettlng any fundlng on a competltlve basls, that we execute the JOlnt Cooperatlve Agreement. RESOLUTION 84-3159 CITY OF HOPKINS, MINNESOTA e WHEREAS, the Housing and Community Development Act of 1974, as amended, provides for the formation of Urban Counties to receive entitlement funds for the purpose of housing and community development activities under the United States Department of Housing and Urban Development Community Development Block Grant program, and WHEREAS, it is to the benefit of the City to join with Hennepin County in gaining designation as an Urban County for the purposes of the Community Development Block Grant program. BE IT RESOLVED that the Mayor and the CITY MANAGER of the City of Hopkins are authorized to execute a Joint Cooperation Agreement, County Contract No. 40432 between the City and Hennepin County. e The question was on the adoption of the resolution, and upon a vote being duly taken thereon, the following voted in favor thereof: and, the following voted against the same: WHEREUPON SAID RESOLUTION WAS DECLARED DULY PASSED AND ADOPTED THIS DAY OF , 1984. ATTEST: CITY OF BY ITS . Contract No. 40432 JOINT COOPERATION AGREEMENT THIS AGREEMENT made and entered into by and between the COUNTY OF HENNEPIN, State of Minnesota, hereinafter referred to as "COUNTY," and the CITY OF Hopki ns , herei nafter referred to as "COOPERA- TING UNIT," said parties to this Agreement each being governmental units of the State of Minnesota, and is made pursuant to Minnesota Statutes, Section 471.59; WITNESSETH; In consideration of the mutual covenants and promises contained in this Agreement, the parties mutually agree to the following terms and conditions. I. DEFINITIONS For purposes of this Agreement, the terms defined in this section have the meanings given them: liThe Act" means the Housing and Community Development Act of 1974, Title I, of Public Law 93-383, as amended (42 USC 5301 et.se~.). "Regu ations" means the rules and regulations promulgated pursuant to the Act, including but not limited to 24 CFR Part 570. "HUD" means the United States Department of Housing and Urban Development. "Cooperating Unit" means any city or town in Hennepin County which has entered into a cooperation agreement which is identical to this Agreement, as well as Hennepin County which is a party to each Agreement. "Statement of Objectives and Projected Use of Funds" means the document bearing that title and submitted to HUD for authori- zation to expend the entitlement amount and which is developed by the COUNTY in conjunction with COOPERATING UNITS as part of the Community Development Block Grant Program. "Planning Area" means one of the various regions of Hennepin County as defined in the Citizen Participation adopted for purposes of the Act by County by Resolution. The definitions contained in 42 USC 5302 of the Act and 24 CFR 570.3 of the Regulations are incorporated herein by reference and made a part hereof. A. B. C. D. E. F. II. PURPOSE . COOPERATING UNIT and COUNTY have determined that it is desirable and in the interests of their citizens that COUNTY qualify as an Urban County within the provisions of the Act. This Agreement contemplates that identical agreements will be executed between COUNTY and any city or town in Hennepin County which does not qualify as a metropolitan city under the Act in such number as will enable COUNTY to so qualify as an Urban County under the Act. The purpose of this Agreement is to authorize COUNTY and COOP- ERATING UNIT to cooperate in undertaking, or assisting in undertaking, community renewal and lower income housing activities, specifically urban renewal and publicly assisted housing and authorizes COUNTY to carry out these and other eligible activities which will be funded from annual Community Development Block Grants from Fiscal Years 1985, 1986 and 1987. III. TERM OF AGREEMENT The term of this Agreement is for a period commencing on the effective date of October 1, 1984, and terminating no sooner than the end of program year thirteen (XIII) covered by the Statement of Objectives and the Projected Use of Funds for the basic grant amount approved by HUD subsequent to the effective date. This Agreement is extended automatic- ally for each subsequent three year program period unless written notice of termination to be effective at the end of the three year program period is given by COOPERATING UNIT to COUNTY following the same schedule as the notification of opportunity to be excluded. COUNTY shall provide written notification to COOPERATING UNIT of the opportunity to be excluded and terminate this Agreement. Notwithstanding any other provision of this Agreement, this Agreement shall be terminated at the end of the three year program period during which HUD withdraws its designation of COUNTY as an Urban County under the Act. This Agreement shall be executed by the appropriate officers of COOPERATING UNIT and COUNTY pursuant to authority granted them by their respective governing bodies, and a copy of the authorizing resolution and executed Agreement shall be filed promptly by the COOPERATING UNIT in the office of the Hennepin County Administrator, and in no event shall the Agreement be filed later than September 14, 1984. IV. SCOPE OF ACTIVITIES COOPERATING UNIT agrees that awarded grant funds will be used to undertake and carry out within the terms of this Agreement certain projects involving one or more of the essential activities eligible for funding under the Act. COUNTY agrees and will assist COOPERATING UNIT in the undertaking of such essential activities by providing the services specified in this Agreement. 2 e A. COOPERATING UNIT further specifically agrees as follows: 1. COOPERATING UNIT will in accord with a COUNTY established schedule prepare and provide to COUNTY, in a prescribed form, an annual request for the use of Community Development Block Grant Funds consistent with program regulations and Urban Hennepin County program objectives. 2. COOPERATING UNIT will use all funds received pursuant to the Agreement for each annual program within eighteen (18) months of the approval by HUD of the basic grant amount. Expendlture period~extensions shall not be permitted, except in cases where the funded activity has been initiated and/or subject of a contract to execute between the COOPERATING UNIT and a vendor. 3. COOPERATING UNITS will take actions necessary to accomplish the community development program and housing assistance goals as contained in the Urban Hennepin County Housing Assistance Plan. 4. COOPERATING UNIT will ensure that all programs and/or activities funded in part or in full by grant funds received pursuant to this agreement will be undertaken affirmatively with regard to fair housing, employment and business opportu- nities for minorities and women. It will in implementing all programs and/or activities funded by the basic grant amount comply with all applicable federal and Minnesota Laws, statues, rules and regulations with regard to civil rights, affirmative action and equal employment opportunities. 5. COOPERATING UNIT will participate in the citizen participa- tion process as established in the Urban Hennepin County Citizen Participation Plan. B. COUNTY further specifically agrees as follows: 1. COUNTY shall prepare and submit to HUD and appropriate reviewing agencies on an annual basis all plans, statements and program documents necessary for receipt of a basic grant amount under the Act. 2. COUNTY shall provide, to the maximum extent feasible, technical assistance and coordinating services to COOPERATING UNIT in the preparation and submisslon of the request for funding. 3. COUNTY shall provide ongoing technical assistance to COOPERA- TING UNIT to aid COUNTY in fulfilling lts responsibility to HUD for accomplishment of the community development program and housing assistance goals. The parties mutually agree to cooperate fully in the preparation of the Statement of Objectives and Projected Use of Funds to qualify for receipt of the basic grant amount. 3 e 4. COUNTY shall upon official request by COOPERATING UNIT agree to administer local housing rehabilitation grant programs funded pursuant to the Agreement provided that COUNTY shall receive reimbursement for costs associated with operating local housing rehabilitation programs, the amount of which shall be established on an annual basis. 5. COUNTY shall, as necessary for clarification and coordination of program administration, develop and implement Administra- tive Rules consistent with the Act, Regulations and HUD administrative directives. The parties mutually agree to comply with all applicable requirements of the Act and the Regulations and other relevant Federal and/or Minnesota statutes or regulations in the use of basic grant amounts. Nothing in this Article shall be construed to lessen or abrogate COUNTY's responsibility to assume all obllgations of an applicant under the Act, including the development of applications pursuant to 24 CFR 570.300 et.seq. v. ALLOCATION OF BASIC GRANT AMOUNTS Basic grant amounts received by the COUNTY under the Act shall be allocated as follows: A. COUNTY shall retain ten percent (10%) of the total basic grant amount for the undertaking of eligible activities. B. The balance of the basic grant amount shall be apportioned by COUNTY to COOPERATING UNITS in accordance with the following formula for the purpose of allowing the COOPERATING UNITS to make requests for the use of funds so apportioned. The allocation is for planning purposes only and is not a guarantee of funding. Each COOPERATING UNIT shall use as a target for planning purposes an amount which bears the same ratio to the balance of the basic grant amount as the average of the ratios between: 1. The population of COOPERATING UNIT and the population of all COOPERATING UNITS. 2. The extent of poverty in COOPERATING UNIT and the extent of poverty in all COOPERATING UNITS. 3. The extent of overcrowded housing by units in COOPERATING UNIT and the extent of overcrowded housing by units in all COOPERATING UNITS. 4. In determining the average of the above ratios, the ratio involving the extent of poverty shall be counted twice. It is the intent of this paragraph that said planning allocation utilize the same basic elements for allocation of funds as are set forth in 42 CFR 507.4. The COUNTY shall develop these ratios based upon data to be furnished by HUD. The COUNTY assumes no duty to gather such data independently and assumes no llability for any errors in the data furnlshed by HUD. 4 . In the event that any COOPERATING UNIT cannot commit, expend, does not apply or cannot qualify for a community development block grant, or a portion thereof, COUNTY will reallocate the unexpended or unallocated grant funds to a Countywide Discretionary account. The reallocation will include funds pursuant to Article IV paragraph A. 2. of this Agreement. COUNTY will retain ten (10) percent of all funds placed in the Countywide Discretionary Account to help defray the administrative costs associated with planning and administering the Countywide Discretionary reallocation process. COUNTY will inform each COOPERATING UNIT of the Countywide Discretionary account balance and will provide the opportunity to COOPERA- TING UNIT to make request for use of all or a portion of the funds. VI. FINANCIAL MATTERS Reimbursement to the COOPERATING UNIT for expenditures for the implementation of activities funded under the Act shall be made upon receipt by the COUNTY of Summary of Project Disbursement form and Hennepin County Warrant Request, and supporting documentation. All funds received by COUNTY under the Act as reimbursement for payment to COOPERATING UNITS for expenditure of local funds for activities funded under the Act shall be deposited in the County Treasury. COOPERATING UNIT and COUNTY shall maintain financial and other records and accounts in accordance with requirements of the Act and Regulations. Such records and accounts will be in such form as to permit reports required of the COUNTY to be prepared therefrom and to permit the tracing of grant funds and program income to final expendlture. COOPERATING UNIT and COUNTY agree to make available all records and accounts with respect to matters covered by this Agreement at all reasonable times to their respective personnel and duly authorized federal officials. Such records shall be retained as provided by law, but in no event for a period of less than three years from the last receipt of program income resulting from activity implementation. COUNTY shall perform all audits of the basic grant amount and resulting program income as required under the Act and Regulations. Program income derived from activities funded in total or part from the basic grant amount received by COOPERATING UNIT shall be returned to COUNTY for inclusion in the Countywide Discretionary Account, except that income generated from approved revolving account activities dependent on the return of said income, shall remain with the activity. 5 COOPERATING UNIT, having signed this Agreement, and the Hennepin County Board of Commissioners having duly approved this Agreement on ,19 ,and pursuant to such approval and the proper County official having-signed this Agreement, the parties hereto agree to be bound by the provisions herein set forth. . Upon proper execution, this COUNTY OF HENNEPIN, STATE OF MINNESOTA Agreement will be legally valid and bindlng. By: -~ ~nd::::~::::s::c:~:eC:::::yB:::~nlstrator Assistant County Attorney Date: August 15, 1984 ATTEST: Clerk of the County Board APPROVED AS TO EXECUTION: CITY OF: BY: Its Assistant County Attorney Date: And: e Its CITY MUST CHECK ONE: The City is organized pursuant to: Plan A Plan B Charter