Explanation
BACKGROUND: This legislation will authorize funding for the first year of a two-year contract with AmeriNational Community Services, LLC This contract will begin March 1, 2016 and expire on February 28, 2018. This contract provides servicing of housing and commercial loans for primarily the Community Development Block Grant (CDBG), Home Investment Partnership Program (HOME), and the Neighborhood Stabilization Program (NSP) grants.
Competitive bids were solicited for this service through VendorServices (commodity codes 94660 and 94649) in 2011. The 2011 Mortgage Loan Servicing RFP provides for four two-year contract periods. One firm responded and was selected (AmeriNational Community Services, LLC).
Vendor has applied for an updated Contract Compliance Number from the Equal Business Opportunity Office.
This legislation is submitted as an emergency measure to ensure uninterrupted servicing of the loan portfolios.
FISCAL IMPACT: AmeriNational Community Services, LLC receives a service fee based upon the loans serviced each month. The total amount to be authorized for the first year of this two-year contract is $103,753.17. NSP-1 Grant funds were appropriated on January 26, 2009 (Ordinance #0007-2009), and NSP-2 Grant funds were appropriated on June 7, 2010 (Ordinance #0800-2010).The amount of funds spent on the contract for the past two completed terms was approximately $92,715 in 2013 and $106,740 in 2014.
Title
To authorize the director of the Department of Finance and Management to expend $103,753.17 or so much thereof as may be necessary from the Community Development Block Grant (CDBG) and Neighborhood Stabilization Program (NSP) grants; to authorize the Director of Finance and Management to enter into a contract with AmeriNational Community Services, LLC; to fund the first year of a two-year contract with AmeriNational Community Services, LLC which provides servicing of housing and commercial loans; and to declare an emergency. ($103,753.17)
Body
WHEREAS, it is desirous to provide the funds for the first year of a two-year contract entered into with AmeriNational Community Services, LLC for the servicing of housing and commercial loans under the Community Development Block Grant (CDBG), HOME Investment Partnerships Program grant, and Neighborhood Stabilization Program (NSP) grants; and
WHEREAS, the city will enter into a two-year contract with the funding for the second year of the contract being contingent on the approval and appropriation of funds by City Council; and
WHEREAS, an emergency exists in the usual daily operation of the Department of Finance and Management in that it is immediately necessary to authorize the Director to enter into a contract with AmeriNational Community Services, LLC to ensure uninterrupted servicing of loan portfolios, thereby preserving the public health, peace, property, safety, and welfare; Now, Therefore,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That the Director of the Department of Finance and Management is hereby authorized to enter into the first year of a two-year contract with AmeriNational Community Services, LLC for mortgage loan servicing;
SECTION 2. That the Director of the Department of Finance and Management is hereby authorized to expend $103,753.17 from the Community Development Block Grant Fund, Fund 2248, and Neighborhood Stabilization Program (NSP) grants, per the accounting codes in the attachment to this ordinance.
SECTION 3. That this contract is awarded in accordance with relevant provisions of Columbus City Codes Chapter 329.
SECTION 4. That for the reasons stated in the preamble hereto, which is hereby made a part hereof, this ordinance is declared to be an emergency measure and shall take effect and be in force from and after its passage and approval by the Mayor, or ten days after passage if the Mayor neither approves nor vetoes the same.