Agmt21 Home Program Affordable Housing Regulatory

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2.4 Sale of HOME Units; Determination of Affordable Sales Price. 2.4.1 The HOME Units may be sold only to Eligible Households who are Low - Income Households, and must be sold at a sales price that will result in Affordable Housing Cost to the homebuyer based on the homebuyer's household Gross Income. 2.4.2 The sale price of each HOME Unit may not exceed the lesser of the Affordable Sales Price and the fair market value. The Affordable Sales Price calculation shall take into consideration the interest rate and down payment requirements of all financing for the applicable unit, including any deferred payment or "silent" subordinate mortgages. City and Developer agree to meet and confer in good faith if Developer disagrees with City's calculation of the Affordable Sales Price. If this Agreement terminates before the end of the HOME Affordability Restriction Period, the provisions of this Section 2.4.2 shall survive termination for the duration of the HOME Affordability Restriction Period. 2.4.3 Prior to offering a HOME Unit for sale, Developer shall provide not less than 90 days' written notice to City of Developer's intent to offer HOME Units for sale. Within 20 days of City's receipt of Developer's notice of intent to sell HOME Units accompanied by all applicable financing information for such units, including without limitation, all financing provided by Developer and all "silent" mortgages that require no debt service payments, City shall provide Developer with its determination of the then -current Affordable Sales Price, calculated in accordance with this Agreement. 3. Reporting Requirements; Records, Inspections. 3.1 Financial Accounting and Post -Completion Audit. Not more than 90 days following completion of construction of the Project, Developer shall provide to City a certified financial accounting of all sources and uses of funds for the Project. 3.2 Maintenance of Records. Developer shall keep and maintain complete and accurate books, records, and accounts relating to the Project, including all such books, records, and accounts necessary to evidence and substantiate Developer's compliance with the requirements of this Agreement. Books shall be kept and maintained in accordance with generally accepted accounting principles consistently applied. Copies of all tax returns and other reports that the Developer may be required to furnish any governmental agency shall at all reasonable times be open for inspection by the City at the place that the books, records and accounts of the Developer are kept. Developer shall maintain all records regarding the developer of the Project for five (5) years after final payment and all other pending matters are closed. 3.3 Information and Records Retention. Developer shall also maintain homebuyer purchase and sale contracts, income certifications and other matters related to the initial sale of the HOME Units for a period of five (5) years after the closing of the sale of each HOME Unit. If any litigation, claim, negotiation, audit exception, monitoring, inspection or other action is pending at the end of the record retention period stated herein, then the Developer shall retain such records until such action and all related issues are resolved. Such records shall include all invoices, receipts, and other documents related to expenditures from the Loan funds. Records SF #4821-4436-6284 v2 1619\0113064651.1 REV: 05-19-2021 SK