Agmt00 HAND - Housing Assoc for - Laserfiche WebLink

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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 CÜy's corporate limits. E. 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. F. FORM OF SUBSIDY Financial assistance provided hereunder shall be in the form of a loan evidenced by Exhbit B, Promissory Note, herein incorporated by reference, and secured by Deed of Trust evidenced by Exhibit C, also incorporated by reference. The term of the loan shall be $153,144 with annual interest payment of 3%, with interest to be paid annually over the 15 year affordabi1ity term. Thereafter, 1/15 of the unpaid principal balance would be forgiven annually from the 16th to 30th year, until the eligible use is no longer provided, or until sale of the property, whichever comes first. G. MATCHING FUNDS City shall provide matching funds credit on behalf of contractor for another HOME eligible project independent of this activity. City shall report matching funds to HUD as required under Section 92.221. H. BREACH OF CONTRACT Applicable federal statutes and regulations, as referred to elsewhere herein govern this Agreement. Any material deviation by Contractor for any reason from the requirements thereof, or from any other provision of this Agreement, shall constitute a breach of this Agreement and may be cause for termination at the election of City or upon the direction of HUD. City may terminate this Agreement for cause after giving Contractor notice of any breach or default and 30 days to cure said breach or default, provided however, that in the event such breach or default cannot be cured within 30 days, Contractor shall have such additional time to cure said default as is reasonably required provided that Contractor has commenced to cure within the initial 30 day period and is diligently prosecuting the cure. In the event of termination by whatever means, all finished and unfinished work shall become the property of City, and the City shall have the right to direct Contractor's actions with respect to access to materials. City reserves the right to waive any and all breaches of this Agreement, and any such waiver shall not be deemed a waiver of all previous or subsequent breaches. In the event City chooses to waive a particular breach of this Agreement, it may condition same on payment by Contractor of actual damages occasioned by such breach of Agreement and shall make every effort to resolve the same quickly and amicably. 5