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15-0505_MDM & ASSOCIATES_Agenda Report_B5_Little HollywoodSJCHA 5/5/2015 B5 ! i � tl San Juan Capistrano lousing Authority Agenda Report TO: Karen P. Brust, Executive Director A FROM: Charles View, Development Services Directo Prepared by: Laura Stokes, Housing Coordin or/Assistant Planner DATE: May 5, 2015 SUBJECT: Consideration of First Amendments to the Personal Services Agreements for Property Management Services and Program Facilitation for the Little Hollywood and Rental Subsidy Affordable Housing Programs (MDM and Associates) RECOMMENDATION. By motion, approve the First Amendments to two (2) Personal Service Agreements with MDM & Associates to continue administration of the Housing Authority's affordable housing programs: 1) Extending the term from June 30, 2015, until August 15, 2015, and increasing the current contract amount of $98,905, by $12,375, to a not to exceed amount of $111,370 to provide program services for the Little Hollywood Program; and, 2) Extending the term from June 30, 2015, until August 15, 2015, and increasing the current contract amount of $30,020, by $3,060, to a not to exceed amount of $33,080 to provide program services for the Rental Subsidy Program, and increase the allowed reimbursement amount for rental payments to the landlords participating in the Rental Subsidy Program from the current amount of $125,640, by $13,592, to a not to exceed amount of $139,232. EXECUTIVE SUMMARY: The San Juan Capistrano's Housing Authority (the Authority) owns twenty-four (24) rental units in the Los Rios District known as Little Hollywood, and also provides rental subsidies to four (4) household units located throughout the City. These programs provide lower income households with an affordable housing opportunity. In addition to the affordable rent, households in the program participate in life skills courses including budgeting, stress management, parenting, credit improvement, and others. For the past ten (10) years MDM and Associates ("MDM") has been responsible for facilitating both programs, including collecting rents, executing leases, certifying household incomes, handling tenant and landlord complaints and disputes, overseeing Housing Authority Agenda Report May 5, 2015 Page 2 of 4 maintenance and repairs, and providing necessary support services directly or through select sub-consultants/organizations. On June 30, 2015, MDM's Personal Services Agreements for Property and Program Management of the Little Hollywood and Rental Subsidy Programs will expire (Attachment 1 and 2). Staff recommends that the Housing Authority Board of Directors authorize the continued use of MDM and Associates services for the Little Hollywood and Rental Subsidy Programs for the following thirty (30) days through two (2) new Personal Service Agreements (Attachments 3 and 4), in order to prepare and receive responses to a Request for Proposals for these services. DISCUSSION/ANALYSIS: The City purchased the property in the Los Rios District referred to as Little Hollywood with thirteen (13) homes on the site in 1983 and transferred the property to the former Community Redevelopment Agency (CRA) to provide affordable housing. The CRA rented the units to the existing residents at an affordable rent. In 1998, the CRA rehabilitated three (3) of the existing units, replaced ten (10) existing units with prefabricated units, and added one (1) new prefabricated home to the community. The units continued to be leased out to the existing low income tenants and offered affordable housing for additional families. In 2010, the CRA completed installation of an additional ten (10) prefabricated units to be rented to lower income households, bringing the total number of Little Hollywood units to twenty-four (24). From 1983 to 2005, the program provided affordable housing without a time limit for the tenant's occupancy of the unit. In 2005, the GRA determined that additional guidelines, requirements, and time limits would benefit the program participants as well as ensure a greater number of residents could receive assistance. In addition to the updated program guidelines for Little Hollywood, the CRA created the Rental Subsidy Program in 2005. The program operated under the same program guidelines used in Little Hollywood, and allowed up to ten (10) tenants living in non -CRA owned units to receive a CRA financed rental subsidy. The CRA and now the Housing Authority, as the Housing Successor, collects rents from the tenants and then forwards MDM the tenant rents along with the Housing Authority rental subsidy. MDM then makes rent payments to the landlords owning the units affiliated with the Rental Subsidy Program to ensure timely payments and avoid late fees. The program guidelines have been amended periodically since 2005; their use and the support services discussed below have benefited the households, and are necessary for the household's success within the programs. MDM's twenty-four (24) hour on-call services for property management, as well as support services have ensured the City's property and Program guidelines are maintained and upheld. The current program guidelines have been included in this report for reference (Attachment 5). Since first administering the program in 2005, forty (40) households have exited the program with twenty-six (26) moving into market rate rental housing and twelve (12) purchasing their first homes, a 95% success rate. Due to the loss of redevelopment funding and increasing costs associated with the Rental Subsidy Program, the Housing Authority will phase out the subsidy program by the 2016-2017 Fiscal Year, Housing Authority Agenda Report May 5, 2015 Page 3 of 4 MDM has demonstrated the experience to successfully administer the program and provide a full --range of comprehensive support services through collaboration with numerous local agencies and organizations including: Bons & Girls Club R�ional Occupation Program 16 Orange County Head Start �__ p CHEC-Mission Hospital * Mission San Juan Capistrano � St. ..__. Vincent de Paul Camino Health Center ,, Ocean Hills Community Church Dayle McIntosh Center ® Union Bank Commu lqy HealthlMental Enrichment Collaborative Support services provided include, but are not limited to the following: ® Twenty-four hour on call availability for property management and counseling services. • Educate family households in budgeting, saving, etc. • Assist families with job skill training to increase their potential to earn more income. • Provide opportunities for the households to become responsible and independent. ® Help children grow and develop leadership qualities by positive social interaction in preschool and after school programs. ® Assist the seniors and disabled residents with support services. ® Assist tenant households with additional resources based upon their needs (i.e. food pantry, nutrition, clothing, counseling, etc.). ® Provide free or low-cost health care for the residents. ® Allow tenants to give back to the community through volunteering their services. MDM has provided a budget proposal for full administration of the Authority's Housing Program including application follow-up and maintaining contact with applicants on the waiting list for Fiscal Year 201512016. The total Little Hollywood Program contract budget will not change from the 2014 contract of $6,250 per month totaling $12,375 for the extension to August 15, 2015, The Rental Subsidy Program will be reduced from the 2014 contract of $30,020 to $3,060 for the extension to August 15, 2014, due to the reduced number of participants in the program. Additionally, MDM's proposed contract will include $13,592 for the rent payments due to the landlords participating in the Rental Subsidy Program for the Months of July and August. Staff supports amending the MDM and Associates agreement to allow for the issuance of a Request for Proposal for providing these services. This time will allow the continued success of the current program while providing an opportunity to seek competitive proposals for the future provision of these vital community services. The Housing Authority's tenants have developed a working relationship with MDM and Associates representatives which have resulted in the 95% success rate of exiting households. MDM and Associates has provided excellent services to San Juan Capistrano residences, and is an efficient liaison between residents and the City. Beginning in Housing Authority Agenda Report May 5, 2015 Page 4of4 2011-2012, MDM has provided additional administrative services for the Little Hollywood program, including responding to all program applicants with housing referrals. Therefore, staff recommends approving the First Amendments to two (2) Personal Service Agreements with MDM & Associates to continue administration of the Housing Authority's affordable housing programs, to allow sufficient time to prepare and distribute a Request for Proposal for these services. FISCAL IMPACT The $12,375 for the Little Hollywood Program, $3,060 for the Rental Subsidy Program and $13,592 for Rent Reimbursements have been included in the Fiscal Year 2015- 2016 Housing Authority budget for the forty-five (45) day period from July 1, 2015, to August 15, 2015, PRIOR HOUSING AUTHORITY REVIEW: Not applicable. COMMISSION/COMMITTEE/BOARD REVIEWAND RECOMMENDATIONS: Not applicable. NOTIFICATION: Not applicable. ATTACHMENTS: Attachment 1 — Personal Services Agreement for MDM and Associates Consultant Services of the Little Hollywood Program June 23, 2014 Attachment 2 -- Personal Services Agreement for MDM and Associates Consultant Services of the Rental Subsidy Program June 23, 2014 Attachment 3 — First Amendment to the Personal Services Agreement for MDM and Associates Consultant Services of the Little Hollywood Program Attachment 4 — First Amendment to the Personal Services Agreement for MDM and Associates Consultant Services of the Rental Subsidy Program Attachment 5 _.. Little Hollywood Affordable Rental Housing Program Guidelines Attachment 6 — Program Participant Testimonies PERSONAL SERVICES AGREEMENT THIS AGREEMENT is made, entered into, and shall become effective this 23rd day of June, 2014, by and between the San Juan Capistrano Housing Authority (hereinafter referred to as the "Authority") and MDM and Associates (hereinafter referred to as the "Consultant"). RECITALS: WHEREAS, Authority desires to retain the services of Consultant regarding the Authority's proposal to provide property management and support services for the Authority operated Little Hollywood affordable housing program; and WHEREAS, Consultant is qualified by virtue of experience, training, education and expertise to accomplish such services. NOW, THEREFORE, Authority and Consultant mutually agree as follows: Section 1. Scope of Work. The scope of work to be performed by the Consultant shall consist of those tasks as set forth in. Exhibit "A," attached hereto and incorporated herein by reference. To the extent that there are any conflicts between the provisions described in Exhibit "A" and those provisions contained within this Agreement, the provisions in this Agreement shall control. Section 2. Term, This Agreement shall commence on the effective date and shall terminate, and all services required hereunder shall be completed, no later than June 30, 2015. Section 3. Compensation, 3A Amount. Total compensation for the services hereunder shall not exceed $98,995, as set forth in Exhibit "B,'° attached hereto and incorporated herein by reference. 3.2 Method of Payment. Subject to Section 3.1, Consultant shall submit monthly invoices based on total services which have been satisfactorily completed for such monthly period. The Authority will pay monthly progress payments based on approved invoices in accordance with this Section. ATTACHMENT 1 3.3 Records of Expenses. Consultant shall keep complete and accurate records of all costs and expenses incidental to services covered by this Agreement. These records will be made available at reasonable times to the Authority. Invoices shall be addressed as provided for in Section 16 below. Section 4. Independent Contractor. It is agreed that Consultant shall act and be an independent contractor and not an agent or employee of the Authority, and shall obtain no rights to any benefits which accrue to Agency's employees. Section 5. Limitations Upon Subcontracting and Assignment. The experience, knowledge, capability and reputation of Consultant, its principals and employees were a substantial inducement for the Authority to enter into this Agreement. Consultant shall not contract with any other entity to perform the services required without written approval of the Authority. This Agreement may not be assigned, voluntarily or by operation of law, without the prior written approval of the Authority. If Consultant is permitted to subcontract any part of this Agreement by Authority, Consultant shall be responsible to the Authority for the acts and omissions of its subcontractor as it is for persons directly employed. Nothing contained in this Agreement shall create any contractual relationships between any subcontractor and Authority. All persons engaged in the work will be considered employees of Consultant. Authority will deal directly with and will make all payments to Consultant. Section 6. Changes to Scope of Mork. For extra work not part of this Agreement, a written authorization from Authority is required prior to Consultant undertaking any extra work. In the event of a change in the Scope of Work provided for in the contract documents as requested by the Authority, the Parties hereto shall execute an addendum to this Agreement setting forth with particularity all terms of the new agreement, including but not limited to any additional Consultant's fees. Section 7. Familiarity with Work and/or Construction Site. By executing this Agreement, Consultant warrants that: (1 ) it has investigated the work to be performed; (2) if applicable, it has investigated the work site(s), and is aware of all conditions there; and (3) it understands the facilities, difficulties and restrictions of the work to be performed under this Agreement. Should Consultant discover any latent or unknown conditions materially differing from those inherent in the work or as represented by Authority, it shall immediately inform the Authority of this and shall not proceed with further work under this Agreement until written instructions are received from the Authority. 2 Section 8. Time of Essence. Time is of the essence in the performance of this Agreement. Section 9. Compliance with Law. Consultant shall comply with all applicable laws, ordinances, codes and regulations of federal, state and local government. Section 10. Conflicts of Interest. Consultant covenants that it presently has no interest and shall not acquire any interest, direct or indirect, which would conflict in any manner or degree with the performance of the services contemplated by this Agreement. No person having such interest shall be employed by or associated with Consultant. Section 11. Copies of Work Product. At the completion of the work, Consultant shall have delivered to Authority at least one (t) copy of any final reports and/or notes or drawings containing Consultant's findings, conclusions. and recommendations with any supporting documentation. All reports submitted to the Authority shall be in reproducible format, or in the format otherwise approved by the Authority in writing. Section 12. Ownership of Documents. All reports, information, data and exhibits prepared or assembled by Consultant in connection with the performance of its services pursuant to this Agreement are confidential to the extent permitted by law, and Consultant agrees that they shall not be made available to any individual or organization without prior written consent of the Authority. All such reports, information, data, and exhibits shall be the property of the Authority and shall be delivered to the Authority upon demand without additional costs or expense to the Authority. The Authority acknowledges such documents are instruments of Consultant's professional services. Section 13. Indernnity. To the fullest extent permitted by law, Consultant agrees to protect, defend, and hold harmless the Authority and its elective and appointive boards, officers, agents, and employees from any and all claims, liabilities, expenses, or damages of any nature, including attorneys' fees, for injury or death of any person, or damages of any nature, including interference with use of property, arising out of, or in any way connected with the negligence, recklessness and/or intentional wrongful conduct of Consultant, Consultant's agents, officers, employees, subcontractors, or independent contractors hired by 11 Consultant in the performance of the Agreement. The only exception to Consultant',,,- responsibility onsultant'sresponsibility to protect, defend, and hold harmless the Authority, is due to the negligence, recklessness and/or wrongful conduct of the Authority, or any of its elective or appointive boards, officers, agents, or employees. This hold harmless agreement shall apply to all liability regardless of whether any insurance policies are applicable. The policy limits do not act as a limitation upon the amount of indemnification to be provided by Consultant. Section 141. Insurance. On or before beginning any of the services or work called for by any terra of this Agreement, Consultant, at its own cost and expense, shall carry, maintain for the duration of the agreement, and provide proof thereof that is acceptable to the Authority, the insurance specified below with insurers and under forms of insurance satisfactory in all respects to the Authority. Consultant shall not allow any subcontractor to commence work on any subcontract until all insurance required of the Consultant has also been obtained for the subcontractor. Insurance required herein shall be provided by Insurers in good standing with the State of California and having a minimum Best's Guide Rating of A- Class VII or better. 14.1 Comprehensive General Liability. Throughout the term of this Agreement, Consultant shall maintain in full force and effect Comprehensive General Liability coverage in an amount not less than one million dollars per occurrence ($1,000,000.00), combined single limit coverage for risks associated with the work contemplated by this agreement. If a Commercial General Liability Insurance form or other form with a general aggregate limit is used, either the general aggregate limit shall apply separately to the work to be performed under this agreement or the general aggregate limit shall be at least twice the required occurrence limit. 14.2 Comprehensive /Automobile Liability. Throughout the term of this Agreement, Consultant shall maintain in full force and effect Comprehensive Automobile Liability coverage, including owned, hired and non - owned vehicles in an amount not less than one million dollars per occurrence ($1,000,000.00). 14.3 Workers' Compensation. If Consultant intends to employ employees to perform services under this Agreement, Consultant shall obtain and maintain, during the terra of this Agreement, Workers' Compensation Employer's Liability Insurance in the statutory amount as required by state law. Eli 14.4 Proof of Insurance Requirements/Endorsement. Prior to beginning any work under this Agreement, Consultant shall submit the insurance certificates, including the deductible or self -retention amount, and an additional insured endorsement naming Authority, its officers, employees, agents, and volunteers as additional insured as respects each of the following: Liability arising out of activities performed by or on behalf of Consultant, including the insured's general supervision of Consultant; products and completed operations of Consultant; premises owned, occupied or used by Consultant; or automobiles owned, leased, hired, or borrowed by Consultant. The coverage shall contain no special limitations on the scope of protection afforded Authority, its officers, employees, agents, or volunteers. 14.5 Notice of Caneellation/Termination of insurance. The above policy/policies shall not terminate, nor shall they be cancelled, nor the coverages reduced, until after thirty (30) days' written notice is given to Authority, except that ten (10) days' notice shall be given if there is a cancellation due to failure to pay a premium. 14.6 Terms of Compensation. Consultant shall not receive any compensation until all insurance provisions have been satisfied. 14.7 Notice to Proceed. Consultant shall not proceed with any work under this Agreement until the Authority has issued a written "Notice to Proceed" verifying that Consultant has complied with all insurance requirements of this Agreement. Section 15. Termination. Authority shall have the right to terminate this Agreement without cause by giving thirty (30) days' advance written notice of termination to Consultant. In addition, this Agreement may be terminated by any party for cause by providing ten (10) days' notice to the other party of a material breach of the Agreement. If the other party does not cure the breach of Agreement, then the Agreement may be terminated subsequent to the ten (10) day cure period. 5 Section 16. Notice. All notices shall be personally delivered or mailed to the below listed addresses, or to such other addresses as may be designated by written notice. These addresses shall be used for delivery of service of process: To Authority: City of San Juan Capistrano 32400 Paseo Adelanto San Juan Capistrano, CA 92675 Attn: Laura Stokes, Housing Coordinator/ Assistant Planner To Consultant: MDM & Associates P.n.1_13cx 204' Mission Viejo, CA 92690 Section 17. Attorneys" l=ees. If any action at law or in equity is necessary to enforce or interpret the terms of this Agreement, the prevailing party shall be entitled to reasonable attorneys' fees, costs and necessary disbursements in addition to any other relief to which he may be entitled. Section 18. Dispute Resolution. In the event of a dispute arising between the parties regarding performance or interpretation of this Agreement, the dispute shall be resolved by binding arbitration under the auspices of the Judicial Arbitration and Mediation Service ("JAMS") - Section 19. Entire Agreement & Governing Law. This Agreement constitutes the entire understanding and agreement between the parties and supersedes all previous negotiations between them pertaining to the subject matter thereof. Any action, arbitration, mediation, hearing or other proceeding related to this Agreement shall be governed by and constructed under the internal laws of the State of California without regard to conflicts of law principles. Section 20. Counterparts and Facsimile signatures. This Agreement may be executed by the Parties in counterparts, which counterparts shall be construed together and have the same effect as if all the Parties had executed the same instrument. Counterpart signatures maybe transmitted by facsimile, email, or other electronic means and have the same force and effect as if they were original signatures. Section 21. Severability. If any term or condition of this Agreement is determined to be invalid, it shall not affect the validity and enforceability of the remaining terms and conditions. L: [SIGNATURE PAGE FOLLOWS] IN WITNESS WHEREOF, the parties hereto have executed this Agreement. SAN JUAN CAPISTRANO HOUSING AUTHORITY By: Roy L. Byrnes, M.D., Chairman CONSULTANT By: Ma r rp- ba 't McClean, MDM & Associates ATTEST. ,Marti Mor rks, Secretary APPROV,DA'S TO FORM: s an Ligten, City Attorney 7 PERSONAL SERVICES AGREEMENT THIS AGREEMENT is made, entered into, and shall become effective this 23rd day of June, 2014, by and between the San Juan Capistrano Housing Authority (hereinafter referred to as the "Authority") and MDM and Associates (hereinafter referred to as the "Consultant"). RECITALS: WHEREAS. Authority desires to retain the services of Consultant regarding the Authority's proposal to provide property management and support services for the Authority operated Rental Subsidy affordable housing program; and WHEREAS, Consultant is qualified by virtue of experience, training, education and expertise to accomplish such services. NOW, THEREFORE, Authority and Consultant mutually agree as follows: Section 1. Scope of Work. The scope of work to be performed by the Consultant shall consist of those tasks as set forth in Exhibit "A," attached hereto and incorporated herein by reference. To the extent that there are any conflicts between the provisions described in Exhibit "A" and those provisions contained within this Agreement, the provisions in this Agreement shall control. Section 2. Tera. This Agreement shall commence on the effective date and shall terminate, and all services required hereunder shall be completed, no later than June 30, 2015. Section 3. Compensation. 3.1 Amount. Total compensation for the services hereunder shall not exceed $30,0120, as set forth in Exhibit "B," attached hereto and incorporated herein by reference. Authority shall reimburse Consuitant for rental payments in an amount not to exceed $125,640. 3.2 Method of Payment. Subject to Section 3.1, Consultant shall submit monthly invoices based on total services which have been satisfactorily completed for such monthly period. The Authority will pay monthly progress payments based on approved invoices in accordance with this Section. ATTACHMENT 2 3.3 Records of Expenses. Consultant shall keep complete and accurate records of all costs and expenses incidental to services covered by this Agreement. These records will be made available at reasonable times to the Authority. Invoices shall be addressed as provided for in Section 16 below. Section 4. Independent Contractor. It is agreed that Consultant shall act and be an independent contractor and not an agent or employee of the Authority, and shall obtain no rights to any benefits which accrue to Agency's employees. Section 5. Limitations Upon Subcontracting and Assi nment. The experience, knowledge, capability and reputation of Consultant, its principals and employees were a substantial inducement for the Authority to enter into this Agreement. Consultant shall not contract with any other entity to perform the services required without written approval of the Authority. This Agreement may not be assigned, voluntarily or by operation of law, without the prior written approval of the Authority. If Consultant is permitted to subcontract any part of this Agreement by Authority, Consultant shall be responsible to the Authority for the acts and omissions of its subcontractor as it is for persons directly employed. Nothing contained in this Agreement shall create any contractual relationships between any subcontractor and Authority. All persons engaged in the work will be considered employees of Consultant. Authority will deal directly with and will make all payments to Consultant. Section 6. Changes to Scope of Work. For extra work not part of this Agreement, a written authorization from Authority is required prior to Consultant undertaking any extra work. In the event of a change in the Scope of Work provided for in the contract documents as requested by the Authority, the Parties hereto shall execute an addendum to this Agreement setting forth with particularity all terms of the new agreement, including but not limited to any additional Consultant's fees. Section 7. Familiarity with Work and/or Construction Site, By executing this Agreement, Consultant warrants that: (1) it has investigated the work to be performed; (2) if applicable, it has investigated the work site(s), and is aware of all conditions there; and (3) it understands the facilities, difficulties and restrictions of the work to be performed under this Agreement. Should Consultant discover any latent or unknown conditions materially differing from those inherent in the work or as represented by Authority, it shall immediately inform the Authority of this and shall not proceed with further work under this Agreement until written instructions are received from the Authority. 4 Section 8. Time of Essence. Time is of the essence in the performance of this Agreement. Section 9. Compliance with Law. Consultant shall comply with all applicable laws, ordinances, codes and regulations of federal, state and local government. Section 10. Conflicts of Interest. Consultant covenants that it presently has no interest and shall not acquire any interest, direct or indirect, which would conflict in any manner or degree with the performance of the services contemplated by this Agreement. No person raving such interest shall be employed by or associated with Consultant. Section 11. Copies of Work Product. At the completion of the work, Consultant shall have delivered to Authority at least one (1) copy of any final reports and/or notes or drawings containing Consultant's findings, conclusions, and recommendations with any supporting documentation. All reports submitted to the Authority shall be in reproducible format, or in the format otherwise approved by the Authority in writing. Section 12. Ownership of Documents. All reports, information, data and exhibits prepared or assembled by Consultant in connection with the performance of its services pursuant to this Agreement are confidential to the extent permitted by law, and Consultant agrees that they shall not be made available to any individual or organization without prior written consent of the Authority. All such reports, information, data, and exhibits shall be the property of the Authority and shall be delivered to the Authority upon demand without additional costs or expense to the Authority. The Authority acknowledges such documents are instruments of Consultant's professional services. Section 13. Indemnity. To the fullest extent permitted by law, Consultant agrees to protect, defend, and hold harmless the Authority and its elective and appointive boards, officers, agents, and employees from any and all claims, liabilities, expenses, or damages of any nature, including attorneys` fees, for injury or death of any person, or damages of any nature, including interference with use of property, arising out of, or in anyway connected with the negligence, recklessness and/or intentional wrongful conduct of Consultant, Consultant's agents, officers, employees, subcontractors, or independent contractors hired by Consultant in the performance of the Agreement. The only exception to Consultant's responsibility to protect, defend, and hold harmless the Authority, is due to the negligence, 3 .recklessness and/or wrongful conduct of the Authority, or any of its elective or appointive boards, officers, agents, or employees. This hold harmless agreement shall apply to all liability regardless of whether any insurance policies are applicable. The policy limits do not act as a limitation upon the amount of indemnification to be provided by Consultant. Section 14. Insurance. On or before beginning any of the services or work called for by any term of this Agreement, Consultant, at its own cost and expense, shall carry, maintain for the duration of the agreement, and provide proof thereof that is acceptable to the Authority, the insurance specified below with insurers and under forms of insurance satisfactory in all respects to the Authority. Consultant shall not allow any subcontractor to commence work on any subcontract until all insurance required of the Consultant has also been obtained for the subcontractor. Insurance required herein shall be provided by Insurers in good standing with the State of California and having a minimum Best's Guide Rating of A- Class Vil or better. 14.1 Comprehensive General Liability. Throughout the term of this Agreement, Consultant shall maintain in full force and effect Comprehensive General Liability coverage in an amount not less than one million dollars per occurrence ($1,000,000.00), combined single limit coverage for risks associated with the work contemplated by this agreement. If a Commercial General Liability Insurance form or other form with a general aggregate limit is used, either the general aggregate limit shall apply separately to the work to be performed under this agreement or the general aggregate limit shall be at least twice the required occurrence limit. 14.2 Comprehensive Automobile Liability. Throughout the term of this Agreement, Consultant shall maintain in full force and effect Comprehensive Automobile Liability coverage, including owned, hired and non - owned vehicles in an amount not less than one million dollars per occurrence ($1,000,000.00). 14.3 Workers' Compensation. If Consultant intends to employ employees to perform services under this Agreement, Consultant shall obtain and maintain, during the term of this Agreement, Workers' Compensation Employer's Liability Insurance in the statutory amount as required by state law. IV 14.4 Proof of Insurance RequirementslEndorsernent. Prior to beginning any work under this Agreement, Consultant shall submit the insurance certificates, including the deductible or self -retention amount, and an additional insured endorsement naming Authority, its officers, employees, agents, and volunteers as additional insured as respects each of the following: Liability arising out of activities performed by or on behalf of Consultant, including the insured's general supervision of Consultant; products and completed operations of Consultant; premises owned, occupied or used by Consultant; or automobiles owned, leased, hired, or borrowed by Consultant. The coverage shall contain no special limitations on the scope of protection afforded Authority, its officers, employees, agents, or volunteers. 14.5 Notice of Cancellation/Termination of Insurance. The above policy/policies shall not terminate, nor shall they be cancelled, nor the coverages reduced, until after thirty (30) days' written notice is given to Authority, except that ten (10) days' notice shall be given if there is a cancellation due to failure to pay a premium. 14.6 Terms of Compensation. Consultant shall not receive any compensation until all insurance provisions have been satisfied. 14.7 Notice to Proceed. Consultant shall not proceed with any work under this Agreement until the Authority has issued a written "Notice to Proceed" verifying that Consultant has complied with all insurance requirements of this Agreement. Section 15. Termination. Authority shall have the right to terminate this Agreement without cause by giving thirty (30) days' advance written notice of termination to Consultant. In addition, this Agreement may be terminated by any party for cause by providing ten (10) clays' notice to the other party of a material breach of the Agreement. If the other party does not cure the breach of Agreement, then the Agreement may be terminated subsequent to the ten (10) day cure period. Section 16. Notice. All notices shall be personally delivered or mailed to the below listed addresses, or to such other addresses as may be designated by written notice. These addresses shall be used for delivery of service of process: 5 To Authority: City of San Juan Capistrano 32400 Paseo Adelanto San Juan Capistrano, CA 92675 Attm Laura Stokes, Housing Coordinator I Assistant Planner To Consultant: MDM & Associates P. O. Box 2041 Mission Viejo, CA 92690 Section 17. Attorneys' Fees. If any action at law or in equity is necessary to enforce or interpret the terms of this Agreement, the prevailing party shall be entitled to reasonable attorneys' fees, costs and necessary disbursements in addition to any other relief to which he may be entitled. Section 18. Dispute Resolution. In the event of a dispute arising between the parties regarding performance or interpretation of this Agreement, the dispute shall be resolved by binding arbitration under the auspices of the Judicial Arbitration and Mediation Service ("JAMS"). Section 19. Entire Agreement & Governing Law. This Agreement constitutes the entire understanding and agreement between the parties and supersedes all previous negotiations between them pertaining to the subject matter thereof. Any action, arbitration, mediation, hearing or other proceeding related to this Agreement shall be governed by and constructed under the internal laws of the State of California without regard to conflicts of law principles.. Section 20. Counterparts and Facsimile signatures. This Agreement may be executed by the Parties in counterparts, which counterparts shall be construed together and have the same effect as if all the Parties had executed the same instrument. Counterpart signatures may be transmitted by facsimile, email, or other electronic means and have the same force and effect as if they were original signatures. Section 21. Severability. If any term or condition of this Agreement is determined to be invalid, it shall not affect the validity and enforceability of the remaining terms and conditions. [SIGNATURE PAGE FOLLOWS] on IN WITNESS WHEREOF, the parties hereto have executed this Agreement. SAN JUAN CAPISTRANO HOUSING AUTHORITY By: .,.. Roy L. Byrn s, M.D., Chairman CONSULTANT r � � I 04r6iarq McClean, MDM & Associates ATTEST: t Morris; *e retary APPR ED AS TO FORM: Ha s Van Ligten, City Attorney FIRST AMENDMENT TO PERSONAL. SERVICES AGREEMENT THIS FIRST AMENDMENT TO THE PERSONAL SERVICES AGREEMENT between the CITY OF SAN .JUAN CAPISTRANO ("City") and MDM and Associates, ("Consultant") is made and entered into, to be effective the I" day of July, 2015, as follows: RECITALS WHEREAS, the City and Consultant have entered into that Personal Services Agreement dated .lune 23r , 2014, for property management and support services for the Authority operated the Little Hollywood affordable housing program (the "Agreement"); and WHEREAS, the City and Consultant desire to amend the terms of the Agreement as provided hereunder. AMENDMENT NOW, THEREFORE, in consideration of the promises and mutual covenants contained therein, City and Consultant agree to amend the following Sections of the Agreement as follows: Section 2. Term. The term of the agreement shall be extended from June 30, 2015 until August 15, 2015. Section 3. Compensation. Total compensation for the scope of services for this Project shall be increased by Twelve Thousand Three Hundred Seventy -Five Dollars ($12,375), from an amount not to exceed Ninety -Eight Thousand Nine Hundred Ninety -Five Dollars ($98,995) to an amount not to exceed One Hundred Eleven Thousand Three Hundred Seventy Dollars ($111,370). All other provisions of the Agreement not amended hereunder shall remain in full force and effect. [SIGNATURE PAGE FOLLOWS] -1- ATTACHMENT 3 540028.1 CITY OF SAN .JUAN CAPISTRANO Derek Reeve, Mayor ATTEST: By: City Cleric APPROVED AS TO FORM: BY: City Attorney CONSULTANT Margaret McClean, Owner MDM and Associates -2- 54002S i FIRST AMENDMENT TO PERSONAL SERVICES AGREEMENT THIS FIRST AMENDMENT TO THE PERSONAL SERVICES AGREEMENT between the CITY OF SAN JUAN CAPISTRANO ("City") and MDM and Associates, ("Consultant") is made and entered into, to be effective the 1St day of July, 2015, as follows: RECITALS WHEREAS, the City and Consultant have entered into that Personal Services Agreement dated June 23r , 2014, for property management and support services for the Authority operated the Rental Subsidy affordable housing program (the "Agreement"); and WHEREAS, the City and Consultant desire to amend the terms of the Agreement as provided hereunder. /_[iyi1:4ii11]►y,1:40 a I NOW, THEREFORE, in consideration of the promises and mutual covenants contained therein, City and Consultant agree to amend the following Sections of the Agreement as follows: Section 2. Term. The term of the agreement shall be extended from June 30, 2015 until August 15, 2015. Section 3. Compensation. Total compensation for the scope of services for this Project shall be increased by Three Thousand and Sixty Dollars ($3,060), from an amount not to exceed Thirty Thousand Twenty Dollars ($30,020) to an amount not to exceed Thirty -Three Thousand and Eighty Dollars ($33,080) and reimbursement for rental payments shall be increased by Thirteen Thousand Five Hundred Ninety-two Dollars ($13,592) from an amount not to exceed One Hundred Twenty -Five Thousand Six Hundred Forty Dollars ($125,640) to an amount not to exceed One Hundred Thirty -Nine Thousand Two Hundred Thirty -Two Dollars ($139,232). All other provisions of the Agreement not amended hereunder shall remain in full force and effect. [SIGNATURE PAGE FOLLOWS] -1- ATTACHMENT 4 540028.1 CITY OF SAN JUAN CAPISTRANO Derek Reeve, Mayor ATTEST: By: City Clerk APPROVED AS TO FORM: BY: City Attorney CONSULTANT 3-1 -2- 540028.1 Margaret McClean, Owner MDM and Associates SAN JUAN CAPISTRANO HOUSING AUTHORITY LITTLE HOLLYWOOD AFFORDABLE RENTAL HOUSING PROGRAM GUIDELINES & OPERATING PROCEDURES Adopted April 18, 2000 Amended August 16, 2005 Amended June 07, 2011 Amended October 02, 2012 INTRODUCTION The San Juan Capistrano Housing Authority (Authority), as Successor Housing Agency to the former San Juan Capistrano Community Redevelopment Agency, now owns the property acquired, rehabilitated, and constructed for single-family residences in the area Known as Little Hollywood. The Little Hollywood Affordable Rental Program maintains and provides affordable housing to lower and very -low income tenant households for a period of three -to - five years to allow sufficient time for the households to improve their financial situation and become self-sufficient. The program guidelines and operating procedures provide a basis for determining applicant eligibility and rules that are to be followed by all tenant's households. DEFINITIONS Tenant Household - One household per unit occupied by those persons identified on the executed residential lease. Extreme) Very -Low Income Household - A household with a combined annual income for all household members 18 years of age or older that does not exceed 30 percent of the Orange County annual median income. Very -Low Income Household - A household with a combined annual income for all household members 18 years of age or older that does not exceed 50 percent of the Orange County annual median income. Lower -Income Household - A household with a combined annual income for all household members 18 years of age or older that does not exceed 80 percent of the Orange County annual median income. Rental Subsidy Waiting List - A list maintained by the City of San Juan Capistrano's Development Services Department of those persons that have submitted a written request to be added to a waiting list to receive rental assistance from the Authority. Declaration of Conditions Covenants and Restrictions - A document transferred to the Authority, Successor Agency to the former San Juan Capistrano Community Redevelopment Agency, and adopted on August 10, 2005, that restricts the maximum incomes for households and the maximum rents the Authority may charge for the Authority's housing units within the Authority's Page 1 of 12 ATTACHMENT 5 project area boundaries for a period of 55 years. Housing Units - The Little Hollywood rental units located on Assessor's Parcel Nos. 649-281-05, 121-142-01, and 121-142-07 in the Los Rios District within the Housing Authority project boundaries that are owned by the Authority. Housing Development - The Little Hollywood property owned by the Housing Authority on Assessor's Parcel Nos. 649-281-05, 121-142-01, and 121-142-07 located in the Los Rios District, adjacent to Mission Street, Ramos Way, and Ramos Street in the City of San Juan Capistrano. Monthly Rent - The total of monthly payments for use and occupancy of the Housing Unit and land and facilities associated there within accordance with Section V (Monthly Rental Amount) of these regulations. Additional monthly fees, utility charges, or service charges which are required of all tenants may be assessed by the Authority. Utility Allowance - The amount that may be added to the monthly rent each month for all tenant households for utility services provided by the Authority pursuant to the Utility Allowance published annually by the County of Orange Housing & Community Services Development Multi -Family Affordable Rental Housing Utility Allowance. III. ELIGIBLE TENANT HOUSEHOLDS A. U.S. Citizenship/Permanent Alien Resident Status - All occupants of the tenant household must be either a U.S. citizen or a permanent resident alien. A valid social security card, proof of citizenship and/or permanent residential alien status must be provided for all members of the household. B. Income Eligibility - For the purpose of this program, the tenant households must be certified as income eligible as a lower and/or very -low income household. The definition of a lower-income household is a Tenant Household that has a gross annual income that does not exceed 80 percent of the Orange County median income, adjusted for household size. A very- low income household is a tenant household that has a gross annual income that does not exceed 50 percent of the Orange County median income adjusted for household size. Income levels will be established annually on .October 15t, based on information provided by the U.S. Department of Housing and Community Development as amended annually, for the Authority. In accordance with the Declaration of Conditions, Covenants and Restrictions adopted by the Authority, by way of the former Community Redevelopment Agency on August 16, 2005, four (4) of the housing units shall be made available, rented and occupancy restricted to Lower Income households at an affordable rent, and an additional twenty (20) Page 2 of 12 housing units shall be made available, rented and occupancy restricted to Very Low Income households at an affordable rent. Units occupied prior to August 16, 2006, with gross annual household income exceeding the lower-income household maximum, shall be eligible to remain in the housing units provided their income does not exceed 80 percent of the median income, adjusted for household size. The designation of particular housing units as lower income units or very low income units shall be in the sole discretion of the Authority. The unit sizes shall be rented to lower and very -low income households as follows: .... ........ _.._...... _. ................. W No. of Bedroom Very -Low income Lower income 3 2 2 14 1 4 C. Determination of Income - Gross annual income, includes all payments from all sources that are anticipated to be received by all adult members of the Tenant Household over the subsequent twelve (12) month period of tenancy (Exhibit C of the Declaration of Conditions, Covenants and Restrictions). D. Household Priority - The program will assist income -eligible households on the affordable housing rental subsidy waiting list according to the following preferences. • A household that is willing to take action to improve their circumstances and works towards becoming self-sufficient within three -to -five years. • Current Little Hollywood Tenant in overcrowded unit with minor children. • Current Little Hollywood Tenant in overcrowded unit without minor children. • Currently living or working in the City of San Juan Capistrano. • A household that resides in an uninhabitable dwelling unit (as determined by the City's Building Official pursuant to the provisions of the Uniform Building Code), transitional dwelling unit, or an overcrowded dwelling unit (as determined by Section IV — Household Size of these regulations). E. Alcoholic and/or Drug Abuse - No person or persons who is/are abusing alcohol and/or using illegal drugs shall be eligible to participate in the program. To determine if a household is abusing alcohol and/or using illegal drugs, the Authority will conduct a background check and interview each household during the screening process. F. A tenant household can be rejected for a criminal history that Includes any illegal activity in violation of Federal, State, or local laws, including but not limited to: physical/sexual abuse, sale or distribution of controlled Page 3 of 12 substances, and any acts of violence that could affect the health, safety or welfare of other residents. IV. APPLICATION PROCESS A. Initial application - Upon availability of a unit, staff will contact the households on the waiting list in accordance with the criteria set forth in Section II (D)(Household Priority) above. Staff will attempt to contact the party by mail and by phone. If staff is unable to contact the interested party after thirty (30) days, the name will be deleted from the waiting list. When an interested party is contacted, they will have thirty (30) days from receipt of the tenant application package to complete all documents and submit all necessary information to the Authority. Failure to do so will result in determining the applicant ineligible for the program. Upon verification of all eligibility requirements, the tenant will be required to sign the standard lease document and move -in within forty-five (45) days. Failure to do so will result in determining the applicant ineligible for the program. B. Background Checks - A criminal record check will be required for each adult household member prior to execution of a residential lease or at any other time as deemed necessary at the Authority's discretion. An application for tenant household can be rejected for a criminal history that includes physical/sexual abuse, sale or distribution of controlled substances, and any acts of violence that could affect the health, safety or welfare of other residents. C. Annual Re -certification - Each year on October 1st, each existing tenant household will be required to complete the tenant application package and submit it to the Authority no later than November 1st. Authority staff will review the application and make a determination on eligibility for the coming calendar year. Tenant households meeting the eligibility requirements and interested in continuing in the program will be required to execute their new lease no later than December 31St. Failure to submit re -certification information by November 1St or execute a new lease document by December 31St, will result in determining the tenant household ineligible for the program. If the Authority determines that a tenant household's income exceeds the lower-income eligibility requirements, the household will be deemed ineligible to continue in the program. Upon determination by the Authority during this re -certification process that the household does not meet the income requirement, any subsequent decrease in household income in order to meet the income requirement will not change the Authority's decision to require the tenant to vacate the unit. The Authority may consider, at its discretion, any adjustments to the lease and/or rent Page 4 of 12 payments during the year due to unforeseen circumstances. Tenant households residing in the housing unit prior to adoption of these revised guidelines on August 16, 2005, shall be allowed to exceed the lower-income eligibility requirements provided their household income does not exceed the low-income eligibility requirements. The Authority shall provide 90 days notice to the tenant household in writing that the tenant household has been deemed ineligible and shall be required to move out of the unit. The Authority may, at its sole discretion, extend the tenant's move -out deadline by an additional 60 days due to justifying circumstances. The Authority will review a tenant household's income once annually. If a tenant household's income decreases for whatever reason after the date of the Authority's determination of ineligibility, the original income certification will apply and the tenant household will be required to vacate the unit. V. HOUSEHOLD STATUS & SIZE All members of the household must be U.S. citizens or permanent resident aliens. Proof of citizenship or resident alien status will be required of all household members. The household size must comply with that approved in the residential lease. The premises shall only be used as a residence by the lessees. Occupancy shall be limited to those persons indicated in the residential lease, and no additional occupants may reside at the premises without prior written consent of the Authority. Any persons who desire to live in the unit, including new family members by marriage, must apply through the resident selection process. If a household size decreases to below the minimum number of people allowed, the occupant shall be required to transfer to the next available unit for which they qualify based upon their household size or move out of. the unit. If no unit is available in the Little Hollywood Housing Development, the Authority may require the household to move to another affordable unit elsewhere in the City or to move out of the unit. If, during the year, the household size increases to above the maximum number of people, the tenant household will not be eligible to be certified in the following year. The occupancy limits are outlined as follows. Unit Size Of Bedrooms 0 1 2 3 Minimum Number Of Persons 1 2 5 Page 5 of 12 Maximum Number Of Persons 2 3 5 7 VI. MONTHLY RENTAL AMOUNT The Monthly Rent payable by a Lower-income Household shall not exceed one - twelfth (1112) of thirty percent (30%) of eighty percent (80%) of Orange County median income, as determined by regulation of the State of California, for a household size appropriate to the unit or the current market rent based upon unit size in accordance with the Orange County Income and Rents limit issued annually by the County of Orange, whichever is lower. The Monthly Rent payable by a Very -Low Income Household shall not exceed one -twelfth (1112) of thirty percent (30%) of fifty percent (50%) of Orange County median income, as determined by regulation of the State of California, for a household size appropriate to the. unit or the current market rent based upon unit size in accordance with the Orange County Income and Rents limit issued annually by the County of Orange, whichever is lower. The Monthly Rent payable by a Extremely Very -Low Income Household shall not exceed one -twelfth (1112) of thirty percent (30%) of thirty percent (30%) of Orange County median income, as determined by regulation of the State of California, for a household size appropriate to the unit or the current market rent based upon unit size in accordance with the Orange County Income and Rents limit issued annually by the County of Orange, whichever is lower. The maximum Monthly Rent chargeable for the Housing Units shall be annually determined by the Authority in accordance with the foregoing requirements. If, based upon an updated income certification, a tenant no longer qualifies as a Very -Low Income Household, the Authority shall rent the next available Housing Unit and any necessary Housing Units thereafter to a Very -Low Income Household in accordance with the terms of the affordability covenant agreement. In addition, except in the event of fraud or misrepresentation,'no tenant shall be denied continued occupancy in a Housing Unit solely because such tenant no longer qualifies as a Very -Low Income Household because of an increase in household income subsequent to such tenant's initial date of occupancy, provided that the tenant qualifies as a Lower -Income Household as provided for in Section III of these Guidelines. Notwithstanding the foregoing, if a tenant's income exceeds the qualifying limits for a Very -Low Income recertification, but qualifies as a Lower -Income Household, the Authority may increase the monthly rent payable by such tenant in accordance with the monthly rental amount for a Lower -Income Household. Upon the vacation of the Housing Unit by such tenant, the Housing Unit shall be rented to an Extremely Very -Low, Very -Low, or Lower -Income Household, in accordance with the requirements of the Declaration of Conditions, Covenants and Restrictions, adopted by the San Juan Capistrano Housing Authority, via the former Community Redevelopment Agency on August 16, 2005. Page 6 of 12 VII. CRITERIA FOR CONTINUED RESIDENCY The San Juan Capistrano Housing Authority, at its sole discretion, may require the tenant household to vacate the affordable housing units for any of the following reasons: A. The tenant household is no longer income eligible (i.e. income exceeds 80% of area median income adjusted for household size). B. The tenant household fails to complete the re -certification process. C. The tenant household has resided in the housing development for three years and has made no . progress towards increasing their income acid/or education. Participating eligible households that have complied with the guidelines and operating procedures and performance standards set forth in these guidelines may reside in the housing development for up to three years, with the possibility of renewal for two additional one-year leases. To qualify for renewal of up to two additional one year leases, the tenant household must provide; written documentation to the Authority staff each year that they have made progress towards improving their financial situation and/or education. D. A tenant household has resided in the housing development for the maximum of five years. E. If it is determined by the Authority that any member of the tenant household is: i. Using the housing unit or any portion of the housing development for the illegal sale or use of drugs and other controlled substances as defined by Penal Code and the Health and Safety Codes of the State of California. ii. Arrested during the term of the lease for use, sale, distribution or delivery of illegal drugs. iii. Conducting any illegal activity in violation of Federal, State, or local laws including but not limited to: physical/sexual abuse, sale or distribution of controlled substances, and any acts of violence that could affect the health, safety or welfare of other residents. F. The tenant household fails to comply with the program guidelines and operating procedures. G. The tenant household fails to pay the monthly rent on time per the terms of the residential lease. Page 7 of 12 VIII. CRITERIA FOR TRANSFER TO ANOTHER UNIT The San Juan Capistrano Housing Authority, at its sole discretion, may require the tenant household to transfer into another affordable housing unit within the Little Hollywood Housing Development or transfer to an affordable unit located elsewhere in the City, for any of the following reasons: A. If the Authority determines that a tenant household is no longer able to provide day-to-day maintenance of the unit and/or to maintain the unit in a clean; safe, sanitary and attractive condition, including landscaping. B. If the tenant household size has decreased below the minimum number of persons, the occupant shall be required to transfer to the next available unit for which they qualify based upon their household size. If no unit is available in the Little Hollywood Housing Development, the Authority may require the household to move to another affordable unit elsewhere in the City or to move out of the unit. IX. TENANT RULES AND REGULATIONS A. SUBLETTING OF HOUSING UNIT - Subletting of any Housing Unit by the tenant household is prohibited and may result in eviction by the Authority of the tenant household. B. MAINTENANCE - Tenants are required to provide minor day-to-day maintenance of their units. This includes but is not limited to minor landscape maintenance, trash pickup, etc. Personal household items such as furniture, appliances, etc. shall not be kept outside the dwelling and/or within vision of other tenants so as to become an eyesore. These items are to be kept in storage. Under no circumstances will tenant store or allow to be stored any items within the common areas of the neighborhood. C. MAINTENANCE OF COMMON AREAS - The Authority shall maintain all common area landscaping. D. STORAGE SHEDS & CARPORT STORAGE - Storage sheds & carport storage will be used for storage of yard and personal items. Tenants will not allow storage sheds to be used as living quarters. Tenants will observe proper storage requirements for combustibles. E. TRASH - Trash shall be disposed of in the containers provided by the City's trash hauler. Tenants shall follow the guidelines provided by the Authority for disposal of trash. Large items may be picked up by the City's trash hauler with prior approval. Residents shall be provided with three bins, black for general trash (non -recyclable), blue for recyclables and green for green (plant) waste. Page 8 of 12 E. AUTHORITY INSPECTION - Each tenant household shall be required to allow access of their rental unit for monthly site inspections, or as deemed necessary by the Authority or its designated consultant, to verify household size, maintenance of the unit, and adherence to the program rules. G. PARKING - Each household will have available parking for two vehicles that must be in operating condition and have current registration and insurance. Guests will park in the designated guest parking spaces. No parking of any vehicle is allowed on the street or common areas. Guest parking spaces shall not be used for vehicle repair. Driveways and parking areas shall be kept free from debris and items that may be hazardous to vehicular and pedestrian traffic. Each tenant will be issued two parking permits for their permanent vehicles and one guest permit. Vehicles not displaying parking permits on Authority property will be subject to tow, at the vehicle owner's expense. In the event a tenant wishes to have a larger gathering and use more than one guest space, the tenant must request approval for the event seven days before the event and receive temporary guest parking permits from the Authority or its agent in writing four days before the event. Event guest parking permits must be visible on the dashboard on the day of the event. H. NUISANCES - No noxious or offensive activity (including but not limited to the repair of motor vehicles) shall be carried on, in or at any housing unit or within the housing development common areas. A tenant household shall not do anything which may be or become an unreasonable annoyance or a. nuisance to any other tenants in the housing development. Without limiting the generality of the foregoing provisions, no loud noises or noxious odors, no exterior speakers, horns, whistles, bells or other sound devices, noisy or smoky vehicles, large power equipment or. large power tools, unlicensed off-road motor vehicles or items which may unreasonably interfere with television or radio reception of any tenant household in the housing development, shall be located, used, or placed on any portion of the housing development or exposed to the view of other tenant households without the prior written approval of the Authority. The Authority shall have the right to determine if any noise, odor, interference or activity producing such noise, odor or interference constitutes a nuisance. COURTESY TO OTHER RESIDENTS - Residents shall respect the peace and privacy of others. Tenants shall not make nor permit any disturbing noises. Any disturbances should be reported to Authority staff. J. GUESTS - Occupants must receive prior written approval from the Authority for guests staying over seven consecutive days within any 60 - day period. Occupancy by guests, including family members, staying over seven consecutive days or for seven days within any 60 -day period, without prior approval of the Authority, will subject the tenant household to Page 9 of 12 eviction. Situations where tenants wish for guests to stay over the allowed seven days will be reviewed on a case by case basis, and will require Authority approval a minimum of 14 days prior to a guest arriving. K. PROGRAM PARTICIPATION - All tenant households shall be required to participate in appropriate classes, workshops, and other activities as assigned, at the discretion of the Authority. L. PERFORMANCE STANDARDS - All tenant households shall be evaluated monthly based upon the following performance standards: i. Household size and occupancy must comply with that listed in the lease agreement. ii. Tenant household must maintain the housing unit in a satisfactory and safe living environment. iii. Tenant household must maintain the exterior and the interior of the housing unit in a clean, sanitary, and attractive condition (including landscaping). iv. Tenant household must pay the rent on time per the terms in the lease agreement. v. Tenant household members must comply with the Little Hollywood Affordable Rental Housing Program Guidelines and Operating Procedures. Unless exempted, all tenant households must comply with the following additional performance standards: i. All adult members of the household shall be employed or be a full- time student, unless retired or physically unable to work. ii. Tenant households shall be required to participate in a tenant education program that will be provided by either the Authority or a designated Authority or Consultant that includes the following: a. Work with a case manager in preparing a monthly family budget (to include all monthly income and expenses) with the goal of saving 10 — 30 percent of their net income each month in a verifiable savings account; b. Attend group sessions at a designated location in San Juan Capistrano; c. Attend individual counseling, if recommended (parent/marital, Page 10 of 12 anger management, children and teen evaluations and tutorial assistance); d. Attend monthly meetings with an assigned case manager to assess and evaluate the household's goals; e. Complete required monthly paperwork (as assigned); f. Work with case manager to prepare a goals sheet for each adult in the household (as assigned); g. Submit supporting documents for monthly budget report (i.e. proof of income; pay stubs, child support documents, notice of action forms, bills received/paid, merchandise and grocery receipts, etc.); h. Agree to allow a monthly in-home visit by assigned case manager or the Authority; Attend workshops and classes, as assigned. iii. Tenant households shall be required to perform 5 to 0 hours of community service volunteer work monthly. Volunteer work shall be coordinated by the Authority or the Authority's property management company. At the Authority's discretion, a tenant household's failure to meet the performance standards may be grounds for termination of the lease. M. PETS- Pets are not allowed on the premises. Exceptions can be made for small animals, under five pounds, and service animals; however, the Authority or its representatives must receive a written request for an exception. A written approval or refusal will be returned to the tenant within fourteen (14) days of the Authority receiving the exception request. A pet agreement and fee may be required for the allowance of a pet. 1 :s►.I WAY r .` Tenant households with at least one member of the household 52 years of age or older as of August 15, 2005, shall be exempted from the three -to -five year term of residency requirement provided the tenants comply with all other provisions contained in these guidelines. r.[Il 1.1 Mal`iID7_1>•IiNTil I&►_1amIW_iRII`i•LM1614340111.14 Program participants may appeal a proposed program action that may have an adverse effect upon them by submitting a written request for a hearing to the Housing Authority. The written request shall include the participating tenant household's objection, the name and relationship of all potential parties, a list of Page 11 of 12 documents to be presented, and the tenant household's current address and telephone number. The San Juan Capistrano Housing Authority shall appoint a Hearing Officer. Once a Hearing Officer is appointed, an informal hearing will be scheduled as soon as possible. The informal hearing shall be conducted in English. Notice of Informal Hearing will be issued at least ten days prior to the hearing date. The participating tenant household may bring legal counsel and/or a translator at participant's expense. The participating tenant household may bring person(s) to testify and/or documents at the participant's expense. The participating tenant households may review pertinent file documentation, as long as such documentation does not infringe on any other party's rights. Within ten business days following the informal hearing, the Hearing Officer's official decision will be mailed to the tenant household. The Hearing Officers decision shall be final. XII. EXCEPTIONS No exceptions to these guidelines will be authorized without Housing Authority approval. XIII. ACKNOWLEDGMENT AND AGREEMENT By signing below I acknowledge understanding of all the above program guidelines and agree to participate within the Little Hollywood Rental Assistance Program according to the above guidelines. Household Name -Printed Date Signature Page 12 of 12 Date April 24, 2015 Dear San Juan Capistrano Housing Authority, We are very blessed and grateful for the Little Hollywood Housing program. Before we were a part of the program our family was on the verge of losing everything and not being able to afford the housing that we were in. It has been a struggle since the day we got married. On the day of our wedding, April 5, 2003, Alexis's father had a heart attack and died on the dance floor at our wedding reception. Alexis is an only child and had a hard time dealing with her loss. It was also hard on Andrew. Shortly after we were married, Andrew started going into a depression seeing his wife so overwhelmed. Alexis was going to school to get a M.A. in Counseling, Psychology Department at Chapman University, and Andrew was going to school for a B.A. in Sociology at Vanguard University. Unfortunately, Alexis was unable to continue her Master's program due to getting a C+ in one of her courses — due to her grieving. She took a year off and graduated with all A's and B's from National University and received the counselor of the year award for the internship that she completed during graduate school. Both of us graduated with our degrees. Unfortunately, Andrew's depression has made it difficult for him to maintain employment and Alexis had to take all the responsibility onto her shoulders. In 2008, Alexis was blessed to have her dream job which was working for Social Services, but due to the fall of the economy during her employment with Social Services she was laid off. Andrew started working and we were expecting our son, Dominic who we named after Alexis's dad. Alexis was three months pregnant with our son and had a hard time finding work. Shortly after our son was born, Andrew lost his job too. In 2010, when our son was 12 months old, Alexis found employment and has been working for the Orange County Sheriffs Department since August, 2010. Alexis feels blessed to have her job and she has been employed for the last 5 years. It is a great job with a retirement plan and benefits for both Alexis and our son, who is now 5 years old. We were having financial difficulties due to the bills that accumulated during the periods of unemployment. We were unable to pay for rent, bills, and buy groceries_ Alexis's income alone was the only family income. We had to file for bankruptcy. Our family has been so blessed to be in the Little Hollywood Housing Program. We thank you tremendously. Because of the housing program, we have been able to afford rent, bills, and buy healthy food to eat, live within a set budget, opened a savings account and are re-establishing our credit. We set short term, interim and long terms plans with the guidance of the program, counselors and Margaret. We are in our second year living in the Little Hollywood dousing Program and have been able to reunite our family under one roof. Andrew continues to work on his depression with a counselor. Our son has been diagnosed with ADHD. Alexis, being on her own with our son who has ADHD, this past year has been very stressful and challenging. Now that our family is once again reunited, we are attending family and marriage counseling and are enrolled in parenting classes. We want to be a positive role model and have healthy parenting skills as we raise our son. With the support and assistance received by Margaret McClean we are focused on our family, financial and career goals. We are moving forward in a positive direction. Alexis's internship is in place and she this is an important step following her MA in Psychology. She will be working with parents of children with ADHD. We have been budgeting and able to deposit money into savings each moth. it has been so long since we have been able to save money and it feels great. The Little Hollywood Housing program has helped us to feel more confident and has built up our self-esteem. We now feel, that we can take care of our son and not have to worry. We are a team and enjoy volunteering at Dominic's school and community activities! Although, we still live paycheck to paycheck it is manageable with budgeting. We have also benefited from the workshops and home visits with Margaret. We don't have a strong family support system and are grateful for all that the program and Margaret have done for our family. Being a part of the housing program, our goal is to continue to work on anxiety and stress management, as well as work together so we can be the best parents that we can be to our son, Dominic. We are also, going to continue working on our career goals and continue to save money. Someday we would like to purchase a home for our family and for Alexis's mom to move back from Portugal to live with us. With the housing program and Margaret's guidance, we can now see that it is possible and have better careers, improved credit, and a plan to have a future that is balanced with joy and stability. Again, we would like to thank Margaret and the San Juan Capistrano Housing Authority for the Little Hollywood Housing program. We are sincerely grateful and feel blessed from the bottom of our hearts. Thank you for this wonderful opportunity. Sincerely, Andrew and Alexis April 27, 2015 Attn: City of San Juan Capistrano Housing Authority RE Naphtali LeBlanc & Hailey Peterson W-- Current Little Hollywood Program Residents Dear City of San Juan Capistrano Housing Authority: This letter is to express our utmost gratitude for the assistance of the Little Hollywood Affordable Housing Program and for Margaret McClean. My name is Naphtali LeBlanc and my daughter Hailey Peterson and I have been residents of the Little Hollywood Affordable Mousing Program since March of 2013. Prior to March of 2013 I remained on the application waiting list for almost two years. During this period of time Margaret McClean answered and accepted all of my calls and voicemails expressing the difficulties and hardships I was enduring as a single parent prior to this program.. Margaret would take my calls regardless of the day or hour and listen intently trying to offer help and resources before I was ever accepted into this program. When I received a call from Margaret expressing that there was going to be an opening available any heart was already filled with joy. I have been a single mom since 2006 and my daughter Hailey is now almost 10 years old. She was only a mere 8 months old when I became a single parent. Hailey's father is a struggling alcoholic and has been in. and out of jail over the last four years due to alcoholism (DUI's) and domestic violence. During the time that I lived with her father I too was a victim of domestic violence. My life had changed dramatically when I made the decision for us to move out from his home. I was almost half -way completed with my education and stopped attending school when I had my daughter. I ended up defaulting on all my student loans and was no longer eligible for financial aid, grants or loans towards school to finish my education. I used the little bit of credit I had to pay for groceries, diapers, formula etc. and within a few months time after we moved from his home all my credit cards were maxed out. By 2008; the little bit of credit I had established was ruined and I was in collections with all. my credit cards including collections for my student loans. In 2009; I was laid off and my daughter was then diagnosed with severe asthma. For the last 6 years my daughter Hailey has had health issues all related to her asthma and allergies. Life just became more complicated due her medical issues and when I received the call at the end of 2012 from Margaret McClean to be considered for this housing program, I was very hopeful that this was a long overdue answer to my prayers. I have Ionged for the opportunity to get back on my feet, restore my credit, put money into savings, eliminate all of my collection accounts and continue on with my educational goal of graduating and receiving my bachelor's degrees When I entered the Little Hollywood housing Program my credit score was only a mere 590 points. To date it has increased 100 points with the help of Orange County Consumer Credit Counseling and Margaret's helpful advice and recommendations. I also had over 5 collection accounts referenced on my credit report and to date I am now only showing 2 accounts in collections (my goal is to have zero collection accounts). I had never worked on having a savings in place or a savings for my daughter. Since entering the program I now have 2 savings accounts in place for myself as well as a Kids/Childs savings account for my daughter, Hailey. Hailey and I contribute money to both our savings accounts each month. Hailey earns extra money through recycling and bake sales / lemonade stands as well as our annual community garage sales. It has been over 2 years since I was accepted into the Little Hollywood. Housing Program and our lives have already changed drastically. I have been back in school attending Brandman. University in Irvine working towards my degree in Business Administration since 2014. 1 was finally able to receive financial aid, qualify for Pell Grants and student loans. The last 3 semesters I have maintained a 4.0 GPA which has been unheard of in all my previous years of attending college. During 2014 I also completed the IDEA First Time Homebuyer Program offered through Neighbor Works of Orange County. I have also attended countless hours of counseling sessions offered through the program with Virginia Schoenfeld. The counseling has helped me to be able to work through and find closure from past experiences as well as leam ways of building healthier relationships. My daughter flailey has just blossomed and excelled since we began this housing program. She has been receiving weekly math tutoring through School on Wheels for almost two years now. Hailey always looks forward to our monthly workshops and insists on participating in any program requirements including picking up trash in the Los Rios community as an effort to make it a cleaner environment for us all. Hailey loves history and so appreciates and takes pride in where we live. She has learned all about the history of Los Rios and the Mission San .Tuan. For the past two years Hailey has also participated in the Swallows Day Parade. I cannot express how this program has changed our lives. Both Hailey and myself feel so grateful and blessed to have been able to receive the help and support of this program as well as all the help from Margaret McClean. Margaret has been a tremendous inspiration and motivator over the last several years. She has provided countless hours of support and feedback. offering so many different resources and insights to work through all of my personal and financial struggles. As 1 look back on where we were several years ago I do not know where we would be to date if it were not for Margaret and the help of this program. Margaret has dedicated so much of her time and always takes my calls still to this day regardless of the day or hour. Her help and support has been a true blessing for both Hailey and myself and I cannot say thank you enough for Margaret and this program.. 1 know in my heart that years down. the road I will look back and forever be amazed at all of the progress I was able to make through the help of the City of San Juan Capistrano and Margaret McClean. Hailey and l are thankful to call this wonderful little town and city our home and to be able to be in safe place where I can rebuild my life so that we will have a better quality of life when it comes time to exit this program. Thank you again. Sincerely, 9L, Naphtali LeBlanc 26604 Mission. St. San Juan Capistrano 92675 April 27, 2015 To whom it may concern, I would like to take a moment of your time to speak on behalf of Margaret McClean and the Little Hollywood San Juan Capistrano Affordable Housing Program. I have always been employed, paid taxes, enrolled in classes (occasionally due to long work hours and frequent relocations), raised my two wonderful young men (sons), and volunteered in my communities. nue to frequent moves, my two sons have been enrolled in multiple school districts and schools within various boundaries of our many relocations. Moreover, after approximately fifteen or more years of being a single parent, I married a person for less than eighteen months that became hostile, angry, abusive, controlling, and dangerous for my two sons (my youngest in particular) and myself to remain, therefore I was able to obtain a divorce. At that time, we found a local library, used their free/public internet service and searched for shelters (which unfortunately would not allow my two sons because they were adolescent males), and fortunately was able to apply for San Juan Affordable Housing waiting list. Margaret McClean taught my two sons and I how to both manage and live within a small budget. She has been an ongoing mentor, role model, source of support and encouragement, life coach, teacher, advocate, advisor, intercessor,, nurturer, and instructor. Margaret continues to be instrumental in assisting famifies who struggle to improve their lives and make a difference in the lives of their families and communities. With focus on saving, credit and education I now have a credit score of 816, and will be a first time homebuyer this year. In May, 2015, 1 graduate with a MAED with an emphasis in school counseling from Concordia University, Irvine. I currently work with students at San Clemente High School who have disabilities and my goal is to be a school counselor for families of children with disabilities. My family is forever grateful for all of the time, diligence, patience, and caring that Margaret has graciously offered as a launching pad to a better world. Kindly, Mitzi Gorder