Arlington County, Virginia City Of Falls Church, Virginia INTERGOVERNMENTAL COOPERATION AGREEMENT

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1 , Virginia City Of Falls Church, Virginia INTERGOVERNMENTAL COOPERATION AGREEMENT Relating to the Conduct of Community Development Block Grant and Home Investment Partnership Programs For Program Grant Years 2015 through 2017 This INTERGOVERNMENTAL COOPERATION AGREEMENT (this Agreement ) is entered into and shall be effective as of this day of, 2014, by and between THE COUNTY BOARD OF ARLINGTON COUNTY, VIRGINIA, a body corporate and politic of the Commonwealth of Virginia (the County ), and THE CITY OF FALLS CHURCH, VIRGINIA, a Virginia municipal corporation (the City ). Individually, the County and the City may each be referred to hereinafter as the Party, or collectively as the Parties. RECITALS WHEREAS, in 1974, the United States Congress enacted The Housing and Community Development Act of 1974, as since amended (42 U.S.C et seq.) (the Act ), permitting and providing for the participation of the United States government in a wide range of local housing and community development activities and programs under Title I of the Act which activities and programs are administered by the United States Department of Housing and Urban Development ( HUD ); and WHEREAS, the primary objective of Title I of the Act is the development of viable urban communities by providing decent housing and a suitable living environment and expanding economic opportunities, principally for persons of low and moderate income, this objective to be accomplished by the federal government providing financial assistance pursuant to the Act in the form of Community Development Block Grant ( CDBG ) funds to state and local governments to be used in the conduct and administration of housing and community development activities and projects as contemplated by the primary objective of the Act (the CDBG Program ); and WHEREAS, to implement the policies, objectives and other provision of the Act, HUD has issued rules and regulations governing the conduct of CDBG programs, published in 24 Code of Federal Regulations (CFR), Part 570 (the Regulations ), which regulations provide, among other things, that a county may qualify as an urban county, as defined in Section of the Regulations, and thereby become eligible to receive entitlement grants from HUD for the conduct of CDBG and Home Investment Partnerships ( HOME ) programs as an urban county and that cities and other units of general local governments in the same metropolitan statistical area that do not or cannot qualify for separate entitlement grants may be included as a part of the urban county by entering into cooperation agreements with the urban county in accordance with the requirements of the Regulations; and WHEREAS, the County has heretofore qualified under the Regulations as an urban county and will receive CDBG and HOME funds from HUD by annual grant agreements, and the City, which does not receive separate community development entitlement grants has been included as a part of the County in its CDBG and HOME Programs since 1985; and WHEREAS, on or before, 2014, the County will submit to HUD the required documentation to requalify as an urban county, pursuant to Section of the Regulations, so as to become eligible to receive annual appropriations of CDBG and HOME funds for the next three grant program years of 2015, 2016, and 2017 ( Program Years ), and an executed copy of this Agreement will be included in the documentation for this ensuing period of qualification and, if the County qualifies, the City will thereby be included as a part of the urban county and be eligible to participate in the County s CDBG and HOME Programs for the next three Program Years; and 1 P age

2 WHEREAS, the Parties recognize and understand that in order for the City to be considered a part of the urban county and be included in the County s annual request for CDBG and HOME funds, it is required by the Regulations that the City and the County enter into a cooperation agreement and agree to cooperate to undertake, or assist in undertaking, community renewal and low-income housing assistance activities as may be specified in the One Year Action Plan to the Five-Year Consolidated Plan (the Action Plan ) to be submitted to HUD annually by the County to receive its annual CDBG and HOME entitlement grants; and WHEREAS, under general provisions of Virginia law governing contracting between governmental entities and by virtue of specific authority granted in Sections and of the Code of Virginia, as amended, any two or more political subdivisions of the state may enter into agreements with one another for joint or cooperative action, and WHEREAS, accordingly, the Parties hereto have determined that it will be mutually beneficial and in the public interest of both Parties to enter into this Agreement regarding the conduct of the County s CDBG and HOME Programs. NOW, THEREFORE, IN CONSIDERATION of the foregoing and the cooperative actions contemplated hereunder, as are hereinafter set forth, and for other good and valuable consideration, the receipt and adequacy of which are hereby acknowledged by each Party hereto, the Parties hereto agree as follows: 1. By entering into this Agreement with the County, the City shall be included as a part of the County for qualification and grant calculation purposes upon the qualification by HUD of the County to receive CDBG and HOME Program entitlement funds as an urban county for the next three successive Program Years, beginning July 1, 2014 through June 30, As provided in Section of the Regulations, the qualification of the County as an urban county shall remain effective for three successive grant years regardless of changes in its population during that period of time and the parties agree that the City may not withdraw from, nor be removed from, inclusion in the urban county for HUD s grant computation purposes during the period of qualification. A fully executed copy of this cooperation agreement, together with the approving resolutions of both the City and the County, shall be submitted to HUD by the County as part of its qualification documentation and the City does hereby give the County the authority to carry out CDBG and HOME Program activities and projects which will be funded from annual Community Development Block Grants and HOME funds from grant years 2015, 2016, and 2017 appropriations and from any Program income generated from the expenditure of those funds. 2. The City and the County agree to, and shall cooperate in, the execution of CDBG and HOME Program activities and projects to be conducted or performed in the City during each of the three program years covered by this Agreement and these finalized activities and projects approved by the City Council will be included in the County s required annual Action Plan and requests for funds for those program years. The City understands and agrees, however, that the County shall have final responsibility for selecting the program activities and projects to be included in each annual grant request and for filing the Action Plan with HUD on an annual basis. 3. The Parties recognize and understand that the County, as a qualified urban county, will be the entity required to execute all grant agreements received from HUD pursuant to the County s annual requests for CDBG and HOME Program funds and that as the grantee under the CDBG and HOME Programs it will be held by HUD to be legally liable and responsible for the overall administration and performance of the annual CDBG and HOME Programs, including the projects and activities to be conducted in the City. Accordingly, the City agrees that as to all projects and activities performed or conducted in the City under any CDBG grant agreement received by the County, the County shall have the ultimate supervisory and administrative control with regard to the Regulations and related guidelines and conformance to the related subrecipient agreement between the County and the City. 4. The City shall cooperate fully with the County in all CDBG and HOME Program efforts planned and performed hereunder. The City and the County also agree to cooperate to undertake, or assist in undertaking, community renewal and lower income housing assistance activities, as they may be planned and specified in the 2 P age

3 County s Action Plan submitted annually to HUD for the three Program years specified herein and for such additional time as may be required for the expenditure of CDBG funds granted by the County for such activities. 5. Pursuant to 24 CFR (b), the City is subject to the same requirements applicable to subrecipients, including the requirement of a written agreement as set forth in 24 CFR The City understands that pursuant to Section of the Regulations, it will be necessary for the City to enter into separate project agreements or sub-grants in writing with subgrantees of the City ( Subgrantee Agreements ) with respect to the actual conduct of the projects and activities approved for performance in the City for the three CDBG Program years covered by this cooperation agreement and that the funds designated in the County s Action Plan for those projects and activities will also be funded to the City under those separate Subgrantee Agreements. Subject to the provisions of Paragraph 3 above, the City will administer and control the performance of the projects and activities specified in those Subgrantee Agreements, will be responsible for the expenditure of the funds allocated for each such project or activity and will conduct and perform the projects and activities in compliance with the Regulations and all other applicable federal laws and requirements relating to the CDBG Program. The City also understands and agrees that it shall also comply with the requirements of Section prior to disbursing any CDBG funds to any subrecipient of the City. 7. All CDBG Program funds that are approved by HUD for expenditure under the County s grant agreements for the three Program years covered by this Agreement, including those that are identified for projects and activities in the City, will be budgeted and allocated to the specific projects and activities described and listed in the County s Action Plan submitted annually to HUD and those allocated funds shall be used and expended only for the projects or activities to which the funds are identified. No project or activity nor the amount allocated therefore may be changed, modified, substituted or deleted by the City with respect to any project or activity without the prior written approval of the County and the approval of HUD when that approval is required by the Regulations. 8. Because the City will be included as a part of the County for the three CDBG Program Years covered by this Agreement, it will do all things that are appropriate and required of it to comply with the applicable provisions of the grant agreements received by the County from HUD in which the City is included, and with the provisions of the Act and all rules and regulations, guidelines, circulars and other requisites promulgated by the various federal departments, agencies, administrations and commissions relating to the CDBG and HOME Programs. In addition, the City and the County shall each take all actions necessary to assure compliance with the certification required of the County by Section 104(b) of Title I of the Act, including the National Environmental Policy Act of 1969, Title VI of the Civil Rights Act of 1964, Title VIII of the Civil Rights Act of 1968, the Fair Housing Act, Section 109 of Title I of the Act and other laws applicable to the conduct of the CDBG and HOME Programs. In addition, the Parties hereto understand and agree that the County may not provide any CDBG and HOME funding for activities in, or in support of the City, if the City does not affirmatively further fair housing within its jurisdiction or impedes the County s actions to comply with its fair housing certification. 9. The City has adopted and is enforcing: a. a policy prohibiting the use of excessive force by law enforcement agencies within its jurisdiction against any individuals engaged in non-violent civil rights demonstrations; and, b. a policy of enforcing applicable state and local laws against physically barring entrance to or exit from a facility or location which is the subject of such non-violent civil rights demonstrations within its jurisdiction. shall: 10. During the period of performance of this Agreement as provided in Paragraph 13 below, the City a. Inform the County of any income generated by the expenditure of CDBG Program funds received by the City ( Program Income ); 3 P age

4 b. Pay over to the County any Program Income received by the City, or retain and use that Program Income subject to, and in accordance with, the requirements and provisions of the Subgrantee Agreements; c. Use any Program Income the City is authorized by the County to retain only for eligible activities in accordance with all CDBG and HOME Program requirements and Regulations as may then apply and as will be specifically provided for in the Subgrantee Agreements; d. Keep appropriate records regarding the receipt, use, or disposition of all Program Income and make reports thereon to the County as will be required under the Subgrantee Agreements; and e. Pay over to the County any Program Income that may be on hand in the event of closeout or change in status of the City or that may be received subsequent to the close-out or change in status as will be provided for in the Subgrantee Agreements. 11. The Subgrantee Agreements shall include provisions setting forth the standards which shall apply to any real property acquired or improved by the City in whole or in part, using CDBG or HOME Program funds. These standards will require the City to: a. Notify the County in a timely manner of any modification or change in the use of that property from that which was planned at the time of the acquisition or improvements and this notice requirement shall include any disposition of such property. b. Reimburse the County in an amount equal to the current fair market value of property acquired or improved with CDBG or HOME funds (less any portion thereof attributable to expenditures of non- CDBG funds) that is sold or transferred for a use which does not qualify under the Regulations, and c. Pay over to the County any Program Income that is generated from the disposition or transfer of property either prior to, or subsequent to, any close-out, change of status or termination of this cooperation agreement that is applicable. 12. The City, by execution of this Agreement, understands that it: a. may not apply for grants under the Virginia Department of Housing and Community Development CDBG Programs for grant years during the period in which it is participating in the County s CDBG Program; and b. may receive a formula allocation under the HOME program only through urban s formula allocation. Therefore, even if the County does not receive a HOME formula allocation from HUD, during the term of this Agreement, the City will not be permitted to form a HOME consortium with other local governments. 13. The period of performance of this Agreement shall cover three CDBG Program Years, beginning July 1, 2014, and ending June 30, As stated herein, however, this Agreement is intended to cover activities to be carried out with annual CDBG and HOME Program funds from grant years 2015, 2016, and 2017 appropriations and shall be and remain in full force and effect until all projects and activities approved and authorized to be performed and funded for those grant years have been completed and any Program Income earned has been remitted to the County or used by the City in accordance with the criteria described in Paragraph Intentionally Omitted. 15. Any changes and modifications to this Agreement shall be made in writing, shall be executed by both Parties, and shall be approved by HUD if necessary to comply with the Regulations prior to the performance of any work or activity involved in the change. 4 P age

5 16. Miscellaneous a. This Agreement shall be and remain in force and effect until the CDBG and HOME funds and Program Income received (with respect to the activities carried out during the three year qualification period, and any successive qualification renewal periods) are expended and the funded activities completed, and the Parties hereto cannot terminate or withdraw from this Agreement until the CDBG and HOME funds have been expended and the funded activities have been completed. b. Failure by either Party to adopt amendments to this Agreement incorporating all changes necessary to meet the requirements for cooperation agreements set forth in the urban county qualification notice applicable for a subsequent three year period, and submittal of said amendment to HUD as provided in the urban county qualification notice will void automatic renewal of this Agreement. c. The City understands that the County is subject to budget changes as a result of federal legislation, and that the County is not under obligation to allocate a constant amount of CDBG funds to the City for use in projects supported by the City. The County, however, agrees to notify the City of the amount of CDBG funds designated for use on City endorsed projects as soon as possible. d. If the County qualifies as an urban county and the City is included, during the three Program Years for which the County has qualified, the Parties agree not to veto or otherwise obstruct the implementation of the approved and Five Year Consolidated Plans during that three year period and for such additional time as may be required for the expenditure of funds granted for that period. e. Pursuant to the Transportation, Housing and Urban Development, and Related Agencies Appropriations Act, 2014, Pub. L , the City may not sell, trade, or otherwise transfer all or any portion of any CDBG funds it may receive from the County pursuant to this Agreement to a metropolitan city, urban county, unit of general local government, or Indian tribe, in exchange for any other funds, credits or non-federal considerations, but must use such CDBG funds for activities eligible under Title I of the Act. f. The terms of this Agreement shall be construed in accordance with the meaning of the language used and shall not be construed for or against any Party by reason of the authorship of this Agreement or any other rule of construction which might otherwise apply. g. No provision of this Agreement shall be construed to confer any rights upon any person or entity who is not a Party hereto, whether as a third-party beneficiary or otherwise. h. This Agreement shall be construed in accordance with and governed by the laws of the Commonwealth of Virginia. The parties consent to the jurisdiction and venue of the courts of the 17 th Judicial Circuit Court of the Commonwealth of Virginia. i. Formal notices, demands, and communications between the City and the County shall be given either by (a) personal service, (b) delivery by reputable document delivery service such as Federal Express that provides a receipt showing date and time of delivery, (c) mailing utilizing a certified or first class mail postage prepaid service of the United States Postal Service that provides a receipt showing date and time of delivery, or (d) delivery by facsimile or electronic mail ( ) with transmittal confirmation and confirmation of delivery, addressed to: To the County: CPHD Housing Division 2100 Clarendon Boulevard, Suite 700 Arlington, Virginia Attn: David Cristeal, Director 5 P age

6 With a Copy to: To the City: With a Copy to: DCristeal@ArlingtonVA.US Office of the Attorney 2100 Clarendon Blvd, Suite 403 Arlington, Virginia Attn: Robert E. Dawson, Assistant County Attorney Fax: (703) RDawson@ArlingtonVA.US, Virginia Housing and Human Services Division 300 Park Avenue, Room G04 Falls Church, Virginia Attn: Nancy Vincent NVincent@FallsChurchVA.gov Office of the City Attorney 300 Park Avenue, Suite 302E Falls Church, Virginia Attn: Pat Taves, Interim City Attorney Fax: (703) PTaves@FallsChurchVA.gov j. This Agreement may be executed in two or more counterparts, each of which will be deemed an original but all of which together will constitute one and the same instrument. [Signatures and acknowledgments appear on the following pages] 6 P age

7 IN WITNESS WHEREOF, the parties have duly executed this Intergovernmental Cooperation Agreement as of the day and year first above written. Approved as to form: THE CITY OF FALLS CHURCH, VIRGINIA, a Virginia municipal corporation Pat Taves, Interim City Attorney By: Wyatt Shields, City Manager ACKNOWLEDGMENT COMMONWEALTH OF VIRGINIA COUNTY OF ARLINGTON On this the day of, 2014, before me, personally appeared Wyatt Shields, who acknowledged himself to be the City Manager of the, Virginia in the above instrument, and that he, as City Manager, being authorized to do so by the City Council of the, Virginia, executed the foregoing instrument for the purposes therein contained, by signing the name of the, Virginia, a Virginia municipal corporation by himself as City Manager of the, Virginia. Notary Public My Commission Expires: Notary Identification: 7 P age

8 IN WITNESS WHEREOF, the Parties have duly executed this Intergovernmental Cooperation Agreement as of the day and year first above written. Approved as to form: THE COUNTY BOARD OF ARLINGTON COUNTY, VIRGINIA, a corporate and body politic of the Commonwealth of Virginia Stephen A. MacIsaac, County Attorney By: Barbara M. Donnellan, County Manager ACKNOWLEDGMENT COMMONWEALTH OF VIRGINIA COUNTY OF ARLINGTON On this the day of, 2014, before me, personally appeared Barbara M. Donnellan, who acknowledged herself to be the County Manager of the County of Arlington, Virginia in the above instrument, and that she, as County Manager, being authorized to do so by the County Board of, Virginia, executed the foregoing instrument for the purposes therein contained, by signing the name of the County Board of, Virginia, a body politic by herself as County Manager of the County of Arlington, Virginia. IN WITNESS WHEREOF, I hereunto set my hand and official seal. Notary Public My Commission Expires: 8 P age

9 DEPARTMENT OFCOMMUNITY PLANNING HOUSING AND DEVELOPMENT Housing Division 2100 Clarendon Blvd, Suite 700 Arlington, VA TEL FAX June 12, 2014 Mr. Wyatt Shields, City Manager 300 Park Avenue Falls Church, VA Dear Mr. Shields: This notification is intended to comply with U.S. Department of Housing and Urban Development (HUD) requirements related to allocation of Community Development Block Grant (CDBG) funds and HOME Investment Partnership (HOME) funds. Counties are required to notify each unit of general local government located within their boundaries and eligible to elect to have their population excluded from the county s population. While the is not located in the County, it has a Cooperation Agreement with the County, and therefore, this notification is necessary. Failure to elect to have the City of Falls Church population included will be effective for the three years of Arlington s qualification as an Urban County (FY ). If the City chooses to be excluded from the County s population and not participate in a new qualification period, it is required to notify and HUD in writing of this decision by June 30, A copy of HUD Notice CPD-CPD-14-7 is enclosed for your review. In accordance with the Cooperation Agreement, as amended, between the and, your participation in s CDBG and HOME programs can be extended through July 9, During this period, Falls Church will receive 4.71% of Arlington s CDBG allocation and 4.23% of the HOME allocations. Please respond to this letter in order for us to have official correspondence related to your intentions. Please feel free to call Jennifer Daniels, Planning and Community Development Manager, at if you have any questions. Sincerely, Barbara Donnellan County Manager

10 July 14, 2014 Ms. Barbara Donnellan County Manager 2100 Clarendon Boulevard Suite 302 Arlington, Virginia Dear Ms. Donnellan, This is to confirm that the wishes to continue the Cooperation Agreement for participation in s Community Development Block Grant (CDBG) and Home Investment partnership (HOME) Programs. It is understood that the Cooperation Agreement will be extended through July 2017 and that Falls Church will receive 4.71% of Arlington s CDBG allocation and 4.23% of the HOME allocations. The City appreciates the continuance of the Cooperative Agreement and the opportunity to fund community development activities benefitting City residents. Sincerely, Wyatt Shields City Manager Housing and Human Services 300 Park Avenue Falls Church, Virginia Fax TTY 711