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2004-186-RES COOPERATIVE AGREEMENT WITH HABITAT FOR HUMANITY NON-PROFIT HOME BUILDING RESOLUTION NO. 2004-186 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PARIS, PARIS, TEXAS, APPROVING AND AUTHORIZING A COOPERATIVE AGREEMENT BY AND BETWEEN THE CITY OF PARIS AND PARIS HABITAT FOR HUMANITY FOR A PROGRAM OF NON-PROFIT HOME BUILDING WITIDN THE CITY LIMITS OF THE CITY OF PARIS; MAKING OTHER FINDINGS AND PROVISIONS RELATED TO THE SUBJECT; AND DECLARING AN EFFECTIVE DATE. WHEREAS, the continued proliferation of vacant and abandoned lots and structures within the city limits of the City of Paris constitutes a blight on affected neighborhoods, encourages crime and illegal activity, and generally is detrimental to the health, safety, and welfare of the community; and, WHEREAS, in the past, the City of Paris has utilized its own resources to periodically clean up such real property because the owners thereof have failed to meet their obligations as property owners; and, WHEREAS, neglected properties are often properties on which taxes are unpaid, and when foreclosed for delinquent taxes often continue in a blighted condition, whether sold for taxes or not; and, WHEREAS, the City of Paris, as a participant and active supporter in that program known as Keep Paris Beautiful, has already embarked on an ambitious series of ordinance changes to clean up and control junk, litter, substandard structures, waste hauling, and to promote historic preservation, all intended to address blighted conditions and the health, safety, and welfare of the City; and, WHEREAS, as part of said effort, the City of Paris foresees the need for a program for recycling or placing single family residential lots or parcels of real property which have been foreclosed for delinquent ad valorem taxes or for other reasons and have not been redeemed by their owners in accordance with state law, into a pool of lots for use by designated non-profit entities for the construction of new single family residential houses, thereby alleviating said blight, removing said property from the pool of properties maintained by the City, enhancing the tax base for all local taxing entities by fostering the construction of new single family residential homes, and generally improving the health, safety, and welfare of the citizens of the City of Paris; and, WHEREAS, the City of Paris has, pursuant to Chapter 791 of the Texas Government Code, the Interlocal Cooperation Act, previously entered into an agreement styled Interlocal Agreement, Tax Trust Agreement, Limited Power of Attorney by and Among the City of Paris, Lamar County, Paris Independent School District, North Lamar Independent School District and Paris Junior College, whereby the other taxing entities have agreed to designate the City of Paris as Trustee for certain identified lots foreclosed for delinquent tax purposes for use in said program; and, WHEREAS, Section 277.001(g) of the Local Government Code authorizes political subdivisions of the State of Texas to acquire or assemble interests in real property and sell, exchange, or otherwise convey said real property interests to individuals, corporations, partnerships, or other legal entities for the development of low or moderate income housing, on such terms and conditions and for such value as shall serve the public interest; and, WHEREAS, Section 253.010 of the Local Government Code authorizes municipalities to provide for the manner in which any real property acquired by a municipality may be sold or transferred to certain non-profit entities engaged in developing housing for low income individuals and families to promote community-based revitalization; and, WHEREAS, Section 253.011 of the Local Government Code authorizes municipalities to transfer real property, without the requirements of notice and bidding, to non-profit organizations in furtherance of a public purpose within the municipality; and, WHEREAS, Paris Habitat for Humanity, a non-profit entity, has indicated an interest in participating in the aforesaid program for construction of new single family residential houses; and, WHEREAS, the City Council of the City of Paris, Texas, has previously adopted Resolution No. 2004-069, on April 12, 2004, authorizing and empowering the City to negotiate a contract with Paris Habitat for Humanity for participation in the aforesaid program; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PARIS, PARIS, TEXAS, THAT: Section 1. That the fmdings set out in the preamble to this resolution are hereby in all things approved. Section 2. That a Cooperative Agreement by and between the City of Paris and Paris Habitat for Humanity for a program of non-profit home building within the city limits of the City of Paris, as such Agreement is attached hereto as Exhibit A and for all purposes incorporated herein, shall be and is hereby in all things approved, and the Mayor is hereby authorized to execute and the City Clerk to attest to said Agreement. Section 3. That this resolution shall be effective from and after its date of passage. PASSED AND APPROVED this 11th day of October 004. ATTEST: LJ~~~ Sherian Dixon, Assistant City Clerk STATE OF TEXAS ~ KNOW ALL MEN BY THESE PRESENTS: COUNTY OF LAMAR ~ Cooperative Ae:reement between the City of Paris and Paris Habitat for Humanity. for a Proe:ram of Non-Profit Homebuildine within the city limits of the City of Paris This Agreement entered into this _ day of ,2004, by and between the City of Paris, Texas, a political subdivision of the State of Texas and a Home Rule City with its offices located at City Hall, 125 pt Street S.E., Paris, Lamar County, Texas, and Paris Habitat for Humanity, a non-profit entity, with offices located in Paris, Lamar County, Texas. WITNESSETH WHEREAS, the continued proliferation of vacant and abandoned lots and structures within the city limits ofthe City of Paris constitutes a blight on affected neighborhoods, encourages crime and illegal activity, and generally is detrimental to the health, safety, and welfare of the community; and, WHEREAS, in the past, the City of Paris has utilized its own resources to periodically clean up such real property because the owners thereof have failed to meet their obligations as property owners; and, WHEREAS, neglected properties are often properties on which taxes are unpaid, and when foreclosed for delinquent taxes often continue in a blighted condition, whether sold for taxes or not; and, WHEREAS, the City of Paris, as a participant and active supporter in that program known as Keep Paris Beautiful, has already embarked on an ambitious series of ordinance changes to clean up and control junk, litter, substandard structures, waste hauling, and to promote historic preservation, all intended to address blighted conditions and the health, safety, and welfare of the City; and, WHEREAS, as part of said effort, the City of Paris foresees the need for a program for recycling or placing single family residential lots or parcels of real property which have been foreclosed for delinquent ad valorem taxes or for other reasons and have not been redeemed by their owners in accordance with state law, into a pool of lots for use by designated non-profit entities for the construction of new single family residential houses, thereby alleviating said blight, removing said property from the pool of properties maintained by the City, enhancing the tax base for all local taxing entities by fostering the construction of new single family residential homes, and generally improving the health, safety, and welfare of the citizens of the City of Paris; and, WHEREAS, the City of Paris has, pursuant to Chapter 791 of the Texas Government Page 1 of 6 EXHIBIT A. Code, the Interlocal Cooperation Act, previously entered into an agreement styled Interlocal Agreement, Tax Trust Agreement, Limited Power of Attorney by and Among the City of Paris, Lamar County, Paris Independent School District, North Lamar Independent School District and Paris Junior College, whereby the other taxing entities have agreed to designate the City of Paris as Trustee for certain identified lots foreclosed for delinquent tax purposes for use in said program; and, WHEREAS, Section 277.001(g) of the Local Government Code authorizes political subdivisions of the State of Texas to acquire or assemble interests in real property and sell, exchange, or otherwise convey said real property interests to individuals, corporations, partnerships, or other legal entities for the development of low or moderate income housing, on such terms and conditions and for such value as shall serve the public interest; and, WHEREAS, Section 253.010 of the Local Government Code authorizes municipalities to provide for the manner in which any real property acquired by a municipality may be sold or transferred to certain non-profit entities engaged in developing housing for low income individuals and families to promote community-based revitalization; and, WHEREAS, Section 253.011 of the Local Government Code authorizes municipalities to transfer real property, without the requirements of notice and bidding, to non-profit organizations in furtherance of a public purpose within the municipality; and, WHEREAS, Paris Habitat for Humanity, a non-profit entity, has indicated an interest in participating in the aforesaid program for construction of new single family residential houses; and, WHEREAS, the City Council of the City of Paris, Texas, has previously adopted Resolution No. 2004-069, on April 12, 2004, authorizing and empowering the City to negotiate a contract (hereinafter referred to as the "Agreement") with Paris Habitat for Humanity for participation in the aforesaid program; NOW, THEREFORE, THESE PREMISES CONSIDERED, and in return for the consideration recited herein, the City of Paris, hereinafter referred to as "CITY" and Paris Habitat for Humanity, hereinafter referred to as "PARIS HABITAT", agree as follows: I. For the purposes of this Agreement, the following definitions shall apply: a. Contract with the Taxing Entities shall mean that Interlocal Agreement, Tax Trust Agreement, and Limited Power of Attorney previously entered into by and among the City of Paris, Lamar County, Paris Independent School District, North Lamar Independent School District, and Paris Junior College for the implementation of the program stated herein. b. Lot or Lots shall mean a tract, City lot, or other parcel of real property, whether identified by a formal survey (lot and block in a platted subdivision), or identified by metes Page 2 of 6 and bounds description, or otherwise, which now or subsequent to the date of this agreement: 1. Is located within the corporate or city limits of the City of Paris, Texas, as those limits currently exist or shall hereafter be amended; and, 2. Is vacant and if a structure is located thereon the structure is or has been unoccupied and abandoned as the terms vacant and abandoned are defined under the Texas Tax Code; and, 3. Is located in an area zoned for single family residential use only pursuant to the Zoning Ordinance of the City of Paris; and, 4. Has been lawfully foreclosed by representatives of the Taxing Entities for delinquent ad valorem taxes pursuant to the Texas Tax Code; and, 5. Has been or is eligible to be struck off to a trustee following a Sheriff's Sale in accordance with the Texas Tax Code, and the property has not sold pursuant to Section 34.001 of the Texas Tax Code; and, 6. One (1) calendar year or the maximum period of time for redemption of said property according to the Texas Tax Code, whichever period of time is greater, has passed since the date of the Sheriff's sale. C. Taxing Entities shall mean the City of Paris, County of Lamar, Paris Independent School District, North Lamar Independent School District, and Paris Junior College, individually and collectively. II. The purpose of this Agreement shall be to implement a non-profit homebuilding program in the City of Paris as authorized pursuant to Resolution No. 2004-068 and the accompanying Contract with the taxing entities associated therewith, and is further authorized in Resolution No. 2004-069, each of which was adopted by the City of Paris on April 12, 2004. The purpose of this Agreement is to implement a program in accordance with those resolutions to recycle or place single-family residential Lots or parcels of real property which have been foreclosed for delinquent ad valorem taxes or for other reasons, and have not been redeemed by their owners in accordance with state law, into a pool of lots, for use by among others Paris Habitat for Humanity, for the construction of new single-family residential houses. Further goals of this Agreement shall be to alleviate community blight, to remove the aforementioned property from the group of properties maintained by the CITY, to enhance the tax base for all taxing entities by constructing new single-family residential homes, and to generally improve the health, safety, and welfare of the citizens of the City of Paris. III. CITY and PARIS HABITAT covenant and agree that said program shall be implemented as follows: Page 3 of 6 1. As Lots become available to the CITY through the CITY's contract with the taxing entities, those Lots shall be placed in a pool. 2. Periodically, CITY shall notify PARIS HABITAT in writing as to the location of the Lots. Within sixty (60) days following the receipt of said notification, Paris Living, Inc., another participant in the program pursuant to a separate agreement with CITY, shall in turn notify the CITY in writing as to the Lot or Lots it desires to utilize in its program of construction of new single-family residential housing. Simultaneous with providing notice to the CITY, Paris Living, Inc. shall likewise provide similar notice to PARIS HABIT AT, and thereafter , PARIS HABIT A T shall, within thirty (30) days of receipt of the notice from Paris Living, Inc., notify CITY and Paris Living, Inc. in writing as to any Lot or Lots (other than those Lots selected previously by Paris Living, Inc.) it desires to utilize in its construction of new single-family residential homes. 3. By providing said notification to the CITY , PARIS HABIT A T covenants and agrees to begin active construction of new single-family residential structures on the Lot or Lots so designated within twelve (12) months of their designation to CITY; otherwise, those Lots on which construction has not been initiated shall return to the pool of Lots maintained by the CITY . PARIS HABIT A T may voluntarily return any Lot previously designated to the CITY's pool of Lots by so notifying the CITY in writing of its request to do so. 4. Prior to initiating any construction of a single-family residential structure on a Lot, PARIS HABIT A T shall be responsible for obtaining detailed title information from a reputable title company regarding the title status of the designated Lots, and shall at least fourteen (14) days in advance of the anticipated date to begin construction on said Lot, provide such information to the CITY. Based on said title information, the CITY shall assess the quality of title it may approve for said Lot or Lots, and shall as trustee on behalf of the Taxing Entities convey to PARIS HABIT A T by title deed, up to a special warranty deed, the interest of the Taxing Entities in the property. IV. For the period of time during which a Lot or Lots are designated for use by PARIS HABIT A T pursuant to this agreement, PARIS HABIT A T covenants and agrees that it shall be solely responsible for the maintenance of said Lot, including performing any required mowing, cleaning, or other maintenance activities in conformance with all applicable City Ordinances. V. All construction of new homes pursuant to this Agreement by PARIS HABIT A T shall comply with all applicable City Codes and Ordinances, including but not limited to, the City Building Code, Plumbing Code, Electrical Code, Fire Code, Historical Preservation Ordinance, and Zoning Ordinance. Page 4 of 6 VI. PARIS HABITAT covenants and agrees that the Lots provided by the CITY pursuant to this Agreement shall be used and utilized exclusively in a program to construct single- family residential houses for purchase by individual low and moderate income property owners and for no other purpose. VII . PARIS HABIT A T covenants and agrees that houses constructed on the Lots conveyed by the CITY to PARIS HABIT A T pursuant to this Agreement shall be subject to the following minimum architectural controls: A. Each structure shall be constructed on a permanent concrete foundation; and, B. Each structure shall be constructed with a sloped roof with a minimum 6 to 12 pitch; and, C. The roof for each structure shall be of composition shingle, unless the prevailing roofing material for existing houses on lots immediately adjacent to the Lot is of other material, in which case the roof for the new structures shall be consistent with the prevailing material for the adjacent lots in the area; and, D. All parking for the new residential structure shall be to the rear or the side of the structure, unless a garage is constructed with a front entry; and, E. All newly constructed houses shall have concrete or asphaltic driveways; and, F. All houses shall have main entrances fronting on the adjacent street or thoroughfare. VIII. PARIS HABITAT covenants and agrees that no person shall, on the grounds of race, color, creed, sex, age, national origin, or disability, be excluded from participation in, denied the benefits of, or otherwise be subjected to discrimination in the aforesaid program. IX. Other than the CITY providing the Lots as stated herein, all other costs associated with implementation of this Agreement, including construction costs, sales costs, title search expenses, title insurance, closing costs, attorney's fees, and any other costs associated with the construction and sale of the single-family residential structures required under this Agreement shall be paid solely by PARIS HABIT AT. X. That this Agreement may not be assigned or transferred in any fashion without the express written approval of CITY. XI. That no amendment, modification, or alteration of the terms of this Agreement shall be binding unless same is in writing, dated subsequent to the date ofthis Agreement, and duly executed by the parties hereto. Page 5 of 6 XII. That the term ofthis Agreement shall be for a period of five (5) years; provided, however, either party to this Agreement may terminate said Agreement following ninety (90) days written notice to the other party of intent to terminate. EXECUTED in duplicate originals the date shown in the acknowledgments below. CITY OF PARIS, PARIS, TEXAS Curtis Fendley, Mayor ATTEST: Sherian Dixon, Assistant City Clerk APPROVED AS TO FORM: Larry W. Schenk, City Attorney PARIS HABITAT FORIRJMANITY ATTEST: Page 6 of 6