Item 12 - Agreements for Habitat for Humanity of Orange County Affordable Ownership Units

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ANOWID-M . EXHIBIT 2 A*-�_ Habitat for Humanity° of Orange County Scope of Work 1921 West Washington Avenue Santa Ana, CA The scope of work for this Project shall include the processing of permits, all necessary site work for the construction of three duplex buildings and construction completion, performing maintenance obligations through the term up to the date that is forty-five (45) years after the City issues the last certificate of occupancy for the Affordable Units in this project. Compliance with All Entitlements and Approvals for the Project The Project will be developed in adherence to the entitlements approved by the City and in conformance to the terms in the Regulatory Agreement and the Conditional Grant Agreement during construction, home sales, and enforcement required during the duration of the affordability restrictions through the term up to the date that is forty-five (45) years after the City issues the last certificate of occupancy for the Affordable Units in this project Performing Maintenance Obligations The maintenance of Habitat developments is handled by a Homeowners Association (HOA) that is formed and incorporated by Habitat during the construction phase of the development. During this time, a property manager is hired, so the HOA gets off to a strong start. Habitat OC reviews the details of the development with the budget preparer with a preference to include maintenance details including costs of maintenance, repair, and improvements in HOA responsibility, rather than that of the homeowner, to ensure completion on a regular schedule. The HOA's responsibility covers the common area including improvements and landscaping in a manner consistent with community standards and in accordance with the Santa Ana Municipal Code. The HOA will maintain the property in a safe, decent, and sanitary manner and ensure the projects are maintained in accordance with all permits, building codes and other requirements imposed by a Governmental Authority. In addition, all exterior, painted surfaces of any structures located on the Property will be maintained at all times in a clean and good condition. City, and any of its employees, agents, contractors, or designees shall have the right to enter upon the Property at reasonable times and in a reasonable manner to inspect the Project, after providing notice as follows: (i) at least a 24-hour notice to Developer and Tenants / Homebuyer of the Affordable Unit which will be inspected, or (ii) at least 48 hours' notice to Developer. Operational Requirements Related to Sale of the Affordable Units Affordability: The Developer will conduct marketing and outreach to reach low-income households (households whose income does not exceed eighty (80%) of the area median income for the Orange County, California PMSA). Homebuyer Local Preference and Priority: Subject to applicable laws and regulations governing nondiscrimination and preferences in housing occupancy required by the State of California, the Developer shall give a local preference in selecting Homebuyers of the Affordable Units. The Developer will adhere to the City's requirement to provide first priority to persons who have been permanently displaced or who face permanent displacement from housing in the City as a result of any of the following: (i) for projects funded by the Low -Moderate Income