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HomeMy WebLinkAboutLUA, AGUSTIN, ELENA D., AND DAVID D.e-1 EJC:adg 5/4/79 AGREEMENT BETWEEN THE CITY OF SANTA ANA AND AGUSTIN LUA, ELENA DIAZ LUA AND DAVID D. LUA THIS AGREEMENT, made and entered into this lsl� day of 1 o y , 19;7f, by and between the City of Santa Ana, a municipal corporation of the State of California, hereinafter referred to as "CITY" and Agustin Lua and Elena Diaz Lua, husband and wife, and David D. Lua, a single man, hereinafter referred to as "PARTICIPANTS," W I T N E S S E T H RECITALS: 1. PARTICIPANTS reside in and own a dwelling in an area within the City of Santa Ana popularly known as the "Logan Community," which dwelling has been identified as substandard in physical condition. 2. CITY is desirous of improving the housing stock in the Logan Community by replacing substandard dwellings with rehabilitated dwellings. 3. PARTICIPANTS desire to enter an agreement with CITY to demolish PARTICIPANTS' substandard dwelling and cause a dwelling to be moved onto PARTICIPANTS' property and rehabilitated. WHEREFORE, in consideration of the respective and mutual covenants and promises hereinafter contained and made, and subject to all the terms and conditions hereof, the parties hereto do hereby agree as follows: A. CONVEYANCE PARTICIPANTS agree to convey and CITY agrees to accept from PARTICIPANTS, on the terms and conditions herein stated, all of the physical structures, including, but not limited to, the residential structure, garage, and any outbuildings, located on that certain real property in the City of Santa Ana, County of Orange, commonly described as 1038 Logan Street, and more particularly described in Ma "Exhibit A11 attached hereto and by this reference made a part hereof, hereinafter referred to as "said real property." PARTICIPANTS agree to provide egress and ingress rights upon said real property, to CITY, its officers, employees, and agents for the purpose of effectuating the terms and conditions of this agreement. B. EXISTING ENCUMBRANCE CITY shall deposit into escrow an amount necessary to pay and discharge that certain encumbrance against said real property in the approximate amount of twenty four hundred dollars ($2,400.00) as evidenced by a promissory note and deed of trust. The escrow officer shall be instructed to forthwith pay and discharge said encumbrance upon receipt of funds from CITY and retain the reconveyance deed in escrow. The amount necessary to pay and discharge said encumbrance shall remain the obligation of PARTICIPANTS to be repaid pursuant to the provisions of Section F hereinbelow. C. DEMOLITION CITY shall cause the demolition and removal of all structures on said real property upon PARTICIPANTS° vacating said real property, for the purpose of affixing a rehabilitated dwelling thereon. All costs of demolition and removal shall be at the sole expense of CITY and shall not be charged to PARTICIPANTS. D. TEMPORARY RELOCATION PARTICIPANTS shall accept temporary housing at a mutually acceptable location within the City of Santa Ana. CITY shall pay all costs of moving to and removal from said temporary housing, but PARTICIPANTS shall reimburse CITY for the cost of utilities consumed by PARTICIPANTS. Further, PARTICIPANTS agree to pay one hundred fifty eight dollars ($158.00) per month toward the cost of rent of said temporary housing and to remove from said temporary housing 2. within thirty (30) days after a Certification of Completion has been issued for the rehabilitated dwelling on said real property. E. REHABILITATED STRUCTURE CITY shall enter into an agreement with Mead Housing Assistance Foundation (hereinafter referred to as "Mead"), which said agreement is attached hereto as "Exhibit B" and incorporated herein by reference, on behalf of PARTICIPANTS, to move the dwelling presently located at 1401 Washington Street, Santa Ana, and to affix and rehabilitate said dwelling to said real property. PARTICIPANTS agree to be bound by all applicable terms and conditions contained in "EXHIBIT B.". F. FINANCING PARTICIPANTS agree to apply to the Housing Authority of the City of Santa Ana for a home improvement loan in the approximate amount of forty thousand dollars ($40,000.00) to be evidenced by a promissory note and deed of trust to be executed by PARTICIPANTS in the form shown in "Exhibit D" attached hereto. The proceeds of said loan, to the extent necessary, shall be used to pay MEAD for moving and rehabilitating said dwelling pursuant to "Exhibit B" and to defray, in part, PARTICIPANTS' further obligations pursuant to this agreement. PARTICIPANTS agree to execute a promissory note and deed of trust in the form specified in "Exhibit C" attached hereto to secure the difference between the loan secured in the foregoing paragraph and any cost to CITY in effectuating this agreement not expressly herein assumed by CITY. Said note and deed of trust shall be subordinate to the promissory note and deed of trust referred to in the preceding paragraph, and shall comply with California Civil Code §§ 2953.1 et seq. 3. G. ESCROW CITY shall open an escrow with an escrow agent mutually satisfactory to CITY and PARTICIPANTS as soon as possible after the effective date of this agreement. This agreement constitutes the joint escrow instructions of CITY and PARTICIPANTS. CITY and PARTICIPANTS shall provide such additional escrow instructions as shall be necessary and consistent with this agreement. CITY shall deposit all escrow fees, charges and costs within ten (10) days of close of escrow. Such escrow fees, charges and costs shall be charged to PARTICIPANTS as part of the debt evidenced by the promissory note and trust deed in favor of CITY as provided in Section E hereinabove. H. TITLE INSURANCE PARTICIPANTS shall procure a California band Title Association standard coverage policy of title insurance in an amount necessary to insure the interest of the Housing Authority of the City of Santa Ana for the note and deed of trust in the form shown in "Exhibit D," and the interest of the City of Santa Ana for the note and deed of trust in the form shown in "Exhibit C," showing title in the name of PARTICIPANTS. The cost of said policy of title insurance shall be a debt of PARTICIPANTS and shall be paid in accordance with paragraphs E and G hereinabove. I. GENDER As used herein, the masculine shall include the feminine and neuter, and the singular shall include the plural. J. TIME IS OF THE ESSENCE Time is of the essence of this agreement. 4. 1. INCORPORATION This agreement contains all of the agreements of the parties hereto with respect to the matters contained herein, and no prior agreement or understanding pertaining to any such matter shall be effective for any purpose. No provision of this agreement may be amended or added to except by agreement in writing signed by the parties hereto. IN WITNESS WHEREOF, the parties hereto have executed this contract on the date and year first above written. CITY OF' SANTA ANA, a municipal corporation of the State of California ATTEST: o-6 MAYOR Z "CITY" �FRKOOF �THE �COUN APPROVED AS TO FORM: KEITH L. GOW CITY ATTORNEY 2 1 69GUSTIN LUA "PARTICIPANTS" 5. EXHIBIT "A" Lot 8 in Block "B" of "Hawkins Addition of Santa Ana," as shown on a Map recorded in Book 13, page 26 of Miscellaneous Records of Los Angeles County, California. RT1RnRDTNATRn NOTICE THIS PROMISSORY NOTE CONTAINS A SUBORDINATION CLAUSE WHICH MAY RESULT IN YOUR SECURITY INTEREST IN THE PROPERTY BECOMING SUBJECT TO AND OF LOWER PRIORITY THAN THE LIEN OF SOME OTHER OR LATER SECURITY INSTRUMENT. PROMISSORY NOTE SECURED BY DEED OF TRUST Santa Ana, California DATE: FOR VALUE RECEIVED, Agustin Lua and Elena Diaz ,Lua., husband and wife and David D. Lua, a single man, jointly and severally, promise to pay to the City of Santa Ana, a municipal corporation of the State of California, or order, at 20 Civic Center Plaza, Santa Ana, California 92701, or such other location as the holder hereof may, from time to time designate, the sum of ($ ) with interest from the date hereof on unpaid principal at the rate of six percent (6%) per annum, in the event that the real property which is the subject of the deed of trust securing this note, or any part thereof, or any interest therein is sold, agreed to be sold, conveyed or alienated by the maker of this note or by operation of law or otherwise, at the option of the holder hereof and without demand or notice, or in installments as hereinafter stated if the conditions precedent to such installment payment requirement are fulfilled. Consent to one such transaction shall not be deemed to be a waiver of the right to require consent of the holder of this note to future or successive transactions. The maker of this note shall have the right to prepay this note in whole or in part without penalty or premium at any time. The holder of this note reserves the right to review the maker's gross income three (3) years after the date affixed to this note, and from year to year thereafter, to determine the maker's ability to pay the principal and interest of this note in installments. In the event the total monthly installment payments pursuant to the promissory note and deed of trust in favor of the Housing Authority of the City of Santa Ana is less than twenty-five percent (25%) of maker's monthly gross income then at the option of the holder hereof any excess amount up to said twenty-five percent (25%) may be paid to the holder hereof as equal monthly installments to be applied toward payment of principal and interest due hereunder. Principal and interest shall be payable in lawful money of the United States. If action is instituted on this note, the maker of this note promises to pay such sum as the court may fix as attorney fees. This note is secured by a deed of trust to the City of Santa Ana, a municipal corporation of the State of California, which deed of trust shall contain the following provision: This deed of trust, provided no unrescinded notice of default under its terms then appears of record, shall be subordinate to a deed of trust thereafter executed by trustor covering the described land and securing a loan made by the Housing Authority of the City of Santa Ana. By: By: Sighature Signature BOND FOR FAITHFUL PERFORMANCE KNOW ALL MEN BY THESE PRESENTS THAT: WHEREAS, the City of Santa Ana, State of California, and (hereinafter designated as "Principal") have entered into an agreement whereby Principal agrees to install and complete certain designated improvements, which said agreement, dated , entitled " is hereby referred to and made a part hereof; and WHEREAS, said Principal is required under the terms of said agreement to furnish a Bond For Faithful Performance of said agreement. NOW, THEREFORE, we, the Principal and J as Surety, are held and firmly bound unto the City of Santa Ana (hereinafter called "City"), in the penal sum of DOLLARS ($ ) lawful money of the United States, for the payment of which sum well and truly to be made, we bind ourselves, our heirs, successors, executors and administrators, jointly and severally, firmly by these presents. The condition of this obligation is such that if the above bounded Principal, his or its heirs, executors, administrators, successors or assigns, shall in all things stand to and abide by, and well and truly keep and perform the covenants, conditions and provisions in the said agreement and any alteration thereof made as therein provided, on his or their part, to be kept and performed at the time and in the manner therein specified, and in all respects according to their true intent and meaning, and &A shall indemnify and save harmless City , its officers, agents and employees, as therein stipulated, then this obligation shall become null and void; otherwise it shall be and remain in full force and effect. As a part of the obligation secured hereby and in addition to the face amount specified therefor, there shall be included costs and reasonable expenses and fees, including reasonable attorney's fees, incurred by City in successfully enforcing such obligation, all to be taxed as costs and included in any judgment rendered. The Surety hereby stipulates and agrees that no change, extension of time, alteration or addition to the terms of the agreement or to the work to be performed thereunder or the specifications accompanying the same shall in any wise effect its obligations on this Bond, and it does hereby waive notice of any such change, extension of time, alteration or addition to the terms of the agreement or to the work or to the specifications. IN WITNESS WHEREOF, this instrument has been duly executed by the Principal and Surety above named, on , 197 PRINCIPAL: SURETY: (Type Company Name) (Type Company Name) By By Title Title By By Title Title (Affix Corporate Seals) (Attach acknowledgments of both Principal and Surety signatures.) APPROVED AS TO FORM: KEITH L. GOW, CITY ATTORNEY KLG 5/7/79 -2- EXHIBIT C During the performance of this contract, the contractor agrees as follows: (1) The contractor will not discriminate against any employee or applicant for employment because of race, color, religion, sex, or national origin. The contractor will take affirmative action to ensure that applicants are employed, and that employees are treated during employment, without regard to their race, color, religion, sex, or national origin. Such action shall include, but not be limited to the following: employment, upgrading, demotion, or transfer; recruitment or recruitment advertising; layoff or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship. The contractor agrees to post in conspicuous places, available to employees and applicants for employment, notices to be provided by the contracting officer setting forth the provisions of this nondiscrimination clause. (2) The contractor will, in all solicitations or advertisements for employees placed by or on behalf of the contractor, state that all qualified applicants will receive consideration for employment without regard to race, color, religion, sex, or national origin. (3) The contractor will send to each labor union or representative of workers with which he has a collective bargaining agreement or other contract or understanding, a notice, to be provided by the agency contracting officer, advising the labor union or workers' representative of the contractor's commitments under Section 202 of Executive Order No. 11246 of September 24, 1965, and shall post copies of the notice in conspicuous places available to employees and applicants for employment. (4) The contractor will comply with all provisions of Executive Order No. 11246 of September 24, 1965, and of the rules, regulations, and relevant orders of the Secretary of Labor. (5) The contractor will furnish all information and reports required by Executive Order No. 11246 of September 24, 1965, and by the rules, regulations, and orders of the Secretary of Labor, or pursuant thereto, and will permit access to his books, records, and accounts by the contracting agency and the Secretary of Labor for purposes of investigation to ascertain compliance with such rules, regulations, and orders. -1- (6) In the event of the contractor's noncompliance with the nondiscrimination clauses of this contract or with any of such rules, regulations, or orders, this contract may be cancelled, terminated, or suspended in whole or in part and the contractor may be declared ineligible for further government contracts in accordance with procedures authorized in Executive Order No. 11246 of September 24, 1965, and such other sanctions may be imposed and remedies invoked as provided in Executive Order No. 11246 of September 24, 1965, or by rule, regulation, or order of the Secretary of Labor, or as otherwise provided by law. (7) The contractor will include the provisions of Paragraphs (1) through (7) in every subcontract or purchase order unless exempted by rules, regulations, or orders of the Secretary of Labor issued pursuant to Section 204 of Executive Order No. 11246 of September 24, 1965, so that such provisions will be binding upon each subcontractor or vendor. The contractor will take such action with respect to any subcontract or purchase order as the contracting agency may direct as a means of enforcing such provisions including sanctions for non-compliance: Provided, however, that in the event the contractor becomes Inv l ev d in, or is threatened with, litigation with a subcontractor or vendor as.a result of such direction by the contracting agency, the contractor may request the United States to enter into such litigation to protect the interests of the United States. (8) The contractor shall not discriminate on the basis of age in violation of any provision of the Age Discrim- ination Act of 1975, 42 USC § 6101 et seq. or with respect to any otherwise qualified handicapped individual as provided in S 504 of the Rehabilitation Act of 1973, 29 USC S 794. EXHIBIT C NONDISCRIMINATION -2-