Explanation
BACKGROUND
This legislation authorizes the Director of the Department of Development to modify and extend a not-for-profit service contract with the Tony R. Wells Foundation, in an amount up to $133,750.00 for the purpose of acting as fiscal manager of the American Dream Downpayment Initiative (ADDI) program. Funding will be advanced on a predetermined schedule.
Original contract amount $267,500.00 Ord. 2768-2022 PO363646
Modification 1 amount $133,750.00
Total contract amount $401,250.00
The Housing Division adapted the ADDI program to use non-federal funds for the purpose of down payment assistance for homebuyers not in the Homeownership Development program. This expansion increased accessibility of the program to applicants up to 120% AMI and reduced the time to compile and review a file as specific HUD related required documents will not be required for this source of funds.
The Wells Foundation, a non-profit organization, will act as a fiscal manager for the program. The additional funding provided by this modification will allocate $125,000.00 for downpayment assistance for low, moderate and middle income homebuyers and $8,750 for administrative costs for the Wells Foundation. The contract is awarded in accordance with the relevant provisions of City Code Chapter 329 relating to not-for-profit service contracts. The funds will all be provided to the Wells Foundation up front with ongoing reporting on disbursements.
The services included in this not-for-profit service contract cannot be provided by existing city employees because these services are beyond the City’s current staffing capacity to provide.
This legislation will extend the existing contract through December 31, 2024, and increase the amount by $133,750.00.
Emergency action is requested to modify and extend the agreement to prevent disruption of the ADDI program that provides down payment assistance for homebuyers.
FISCAL IMPACT: Funding is available in the Neighborhood Economic Development fund (2237).
CONTRACT COMPLIANCE: The vendor number is 038668 and expires 6/22/2025.
Title
To authorize the Director of the Department of Development to modify and extend the agreement, in an amount up to $133,750.00, with Tony R. Wells Foundation for the purpose of acting as fiscal manager of the American Dream Downpayment Initiative (ADDI) program; to authorize the appropriation and expenditure of up to $133,750.00 from the Neighborhood Economic Development fund; to advance funding per a predetermined schedule; and to declare an emergency. ($133,750.00)
Body
WHEREAS, Ordinance 2768-2022, passed by City Council on November 7, 2022, authorized the Department of Development to enter into a contract with Tony R. Wells Foundation in an amount up to $267,500.00 for the purpose of acting as fiscal manager of the American Dream Downpayment Initiative (ADDI) program; and
WHEREAS, this legislation will authorize the Director of Development to modify the contract in an amount up to $133,750.00 and to extend the contract through December 31, 2024; and
WHEREAS, funding will be advanced to the agency on a predetermined schedule; and
WHEREAS, an emergency exists in the usual daily operation of the Department of Development in that this modification should be authorized immediately to modify and extend the agreement to prevent disruption of the ADDI program to provide down payment assistance for homebuyers priot to the current contract expiration date of December 31 2023, 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 Development be and is hereby authorized to modify a contract with Tony R. Wells Foundation in an amount up to $133,750.00 and to extend the contract to December 31, 2024 for the purpose of acting as fiscal manager of the American Dream Downpayment Initiative (ADDI) program, and is authorized to advance funds per a schedule to be included in the agreement.
SECTION 2. That from the unappropriated monies and from all monies estimated to come into said fund from any and all sources and unappropriated for any other purpose during the fiscal year ended December 31, 2022, the sum of $133,750.00 is appropriated in Fund 2237 (Neighborhood Economic Development Fund), Dept-Div 44-10 (Housing Division), in object class 03 (Services) per the account codes in the attachment to this ordinance.
SECTION 3. That for the purpose as stated in Section 1, the expenditure of $133,750.00 or so much thereof as may be needed is hereby authorized in Fund 2237 (Neighborhood Economic Development Fund), Dept-Div 44-10 (Housing Division), in object class 03 (Services) per the accounting codes in the attachment to this ordinance.
SECTION 4. Funds are hereby deemed appropriated and expenditures and transfers authorized to carry out the purposes of this Ordinance and the City Auditor shall establish such accounting codes as necessary.
SECTION 5. This modification is made in accordance with the relevant provisions of the City Code Charter 329 relating to contract modifications.
SECTION 6. That the City Auditor is authorized to establish such accounting codes as necessary, to make any accounting changes to revise the funding source for all agreements, contracts, or modifications associated with this Ordinance.
SECTION 7. That for the reasons stated in the preamble hereto, which is hereby made a part hereof, this Ordinance is hereby declared to be an emergency measure and shall take effect and be in force from and after its approval by the Mayor, or ten days after passage if the Mayor neither approves nor vetoes the same.