Agmt03 CDBG Kainos Home & Train - Laserfiche WebLink

Browse Search

B. REVERSION OF ASSETS If Contractor elects to sell the property or discontinue the affordable housing program and not perfú~m the conditions of thei; agreement. Contractor shall pay to the City the sum of One Hulldred, Seventy Nine Thc.usand , Two Hundred, Twenty-Two and no /100 Dollars ($17g,222.00). . C. USE Contractor shall use the units in the Property exclusively for residential housing for persons with disabilities for a period of not less than 30 years. If Contractor discontinues the above-stated use at the subject Property, or uses the Property or any portion thereof, for purposes other than what has been described in this Paragraph without first obtaining the prior written consent of the City, Contractor shall be in default of this Agreement and agrees to pay the City, upon demand, the full amount of HOME funds provided to assist in the rehabilitation of this property, provided however, that Contractor shall have Thirty (30) Days to cure the default after receipt of a Notice of default is provided in writing by City. The restrictions imposed upon the Property (as set forth in Section AS, above) shall remain in full force and effect for the term of thirty (30) years. Contractor warrants to City that it will use and account for all funds provided hereunder strictly in accordance with standards governing the use of, and accountability for, funds held and disbursed in trust. Contractor's program funded hereunder shall conform to the highest standards providing for programs of similar or like nature in the San Francisco Bay Area, and in conformance with Building Codes and Regulations. Contractor shall be responsible for, and hold City harmless from, any failure to adhere to such standards. Contractor shall verify that all activities funded hereunder benefit only residents within City's corporate limits. D. NONPROFIT STATUS OF CONTRACTOR Contractor agrees to maintain its status as a nonprofit corporation and that its failure to do so shall be grounds for termination of this Agreement, and acceleration of the Note. E. FORM OF SUBSIDY Financial assistance provided hereunder shall be in the form of a grant. The term of the grant shall be $179,222 with services hereunder provided to adults with developmental disabilities for a period no less than Thirty (30) years. Funds shall be placed into a construction escrow account and disbursed Kainos as work progresses and such work is acceptable to Kainos and City. 9/11/03 13 . .... .,..............-.,..,..-.. '"-.""""-"""