Etna City Council
July 27, 2026

City of Etna

AGENDA FOR THE REGULAR MEETING OF THE ETNA CITY COUNCIL DATE OF THE MEETING: July 27, 2026
TIME OF THE MEETING: 6:30 pm
PLACE OF THE MEETING: 442 Main Street Etna, CA, and TELECONFERENCE (Zoom)

1. CALL TO ORDER
a. Pledge of Allegiance
b. Roll Call

2. PUBLIC COMMENT - NON-AGENDA ITEMS - The City Council cannot take action or comment on non-agenda items.

3. CONSENT CALENDAR
a. Minutes of the Regular Meeting June 22, 2026
b. Minutes of the Special Meeting July 1, 2026
Minutes of the Special Meeting July 14, 2026
d. Expense Approval Report 7.13-7.21
e. Resolution 2026-014 - A Resolution of the City Council of the City of Etna Establishing a Live Scan Background Check Requirement for Volunteer Firefighter Applicants

4. CURRENT BUSINESS
a. Swear in New Etna Police Officer Eric Dowling
b. Presentation: Pacific Power System Strengthening Projects c. Discuss/Approve Event Application for Etna PAL/Scott Valley Skatepark Project Fundraiser d. Discuss/Approve City of Etna Community Development Block Grant (CDBG) Housing Rehabilitation Program Guidelines
e. Discuss/Approve 2026/2027 Budget

5. DEPARTMENT REPORTS
*Pool*Police*Public Works*Fire*Ambulance*City Clerk* Mayor*City Council/Committee

6. CITY COUNCIL STATEMENTS AND REQUESTS

7. CLOSED SESSION: The City Council will recess to Closed Session to discuss the below items). At the conclusion of the Closed Session, Open Session will be reconvened and reportable action, if any, will be announced.

Announcement of any action taken by the City Council in Closed Session required by the Ralph M. Brown Act (Government Code §54950 et. Seq.)
a. Personnel Matters (Pursuant to Government Code §54957(b))

1. Employee Performance Evaluation: City Attorney

8. ADJOURNMENT
Zoom Teleconference Information:

Phone: 1-669-444-9171 US Meeting ID: 833 0994 6886
https://us06web.zoom.us/j/83309946886
The City of Etna does not discriminate based on disability in the admissions or access to, or treatment of or employment in, its programs or activities. Disability-related aids or services, including printed information in alternate formats, to enable persons with disabilities to participate in public meetings are available. If any accommodations are needed, please contact Pamela Eastlick at 530-467-5256 [email protected]. Requests should be made as soon as possible but recommended between three days to one week prior to the scheduled meeting.
442 Main Street • P.O. Box 460 • Etna, CA 96027
P: 530-467-5256 • F: 530-467-3217
OF

CORPORATE
MNE 10, 1500 MINUTES

REGULAR MEETING OF THE ETNA CITY COUNCIL
Monday June 22, 2026
Members of the Etna City Council met on the 22nd day of June in person and TELECONFERENCE (Zoom). Mayor Pro Tem Brandon Fawaz called the meeting to order and led in the salute to the flag of the United States of America.

1. Call to Order:
a. Roll Call
Council members Brandon Fawaz, Jason Deppen, Matt Eastlick, and John Stacher were present. Mayor Cliff Munson was absent.

2. Public Comments on Non-Agenda Items:

Audience member Che'usa Wend shared concerns regarding the Police Chief and asked about how the public's comments and/or complaints are being handled if at all.

Audience member Jay Martin commented about not receiving requested recordings of certain council meetings. Martin also shared concerns about minors drinking alcohol during the music festival.

3. Consent Calendar:
a. Minutes of the Regular Meeting May 26, 2026
b. Minutes of the Special Meeting June 1, 2026
c. Expense Approvals Report
d. (Renumber Resolution 2026-007 to 2026-009) A Resolution of the City Council of the City of Etna Establishing Position and Payrate Step for the Lieutenant of the Etna Police Department
e. Resolution 2026-011 - A Resolution of the City Council of the City of Etna Calling and Giving Notice of a General Municipal Election to be Held on November 3, 2026 and Requesting Consolidation of this Election with the Statewide Election
f. Resolution 2026-012 - A Resolution Adopting a List of Projects for Fiscal Year 2026-27 Funded by SB 1: The Road Repair and Accountability Act of 2017 Councilmember Deppen made a motion to approve, Councilmember Eastlick seconded and the motion passed.

Ayes: Stacher, Eastlick, Deppen, Fawaz
Pool Department Report: Pool Manager Caitlin Bennett gave a brief report on how things are running at the pool. Swimming lessons have doubled this year in comparison to last year. Bennett thanked the Council for hiring additional lifeguards to help with staffing needs.

4. Current Business:
a. Swear in New Etna Police Officer Eric Dowling
Police Chief Josh Short and Officer Eric Dowling were not present at the meeting.

No action taken.
1 b. Discuss/Approve Out of Area Service Agreement to Extend Water and Wastewater Service Outside City Limits
City Planner Richard Tinsman was on Zoom and gave a background on this item.

Tinsman explained the process. Councilmember Stacher asked about development and road maintenance. Councilmember Deppen made a motion to make the finding that the extension of water and wastewater service, as proposed, does not have the potential to have a significant adverse effect on the environment and is not subject to CEQA. Councilmember Stacher seconded, and the motion passed.

Ayes: Stacher, Eastlick, Deppen, Fawaz
Councilmember Deppen made a motion to adopt Resolution 2026-010 approving the extension ot water and wastewater service to APN 023-100-130, and that we direct staff to submit the application to LAFCO for an out of area service agreement.

Councilmember Eastlick seconded, and the motion passed.

Ayes: Stacher, Eastlick, Deppen, Fawaz
c. Discuss/Approve Main Street Rehabilitation Project Contract Awarded to R.B.

Aldrich Construction in the Amount of $565,495.00 Funded by STIP City Engineer Jose Hernandez gave a background on this item. Discussion regarding timing of Pacific Power undergrounding project on Main Street. Councilmember Stacher made a motion to award the contract. Councilmember Deppen seconded, and the motion passed.

Ayes: Stacher, Eastlick, Deppen, Fawaz
d. Discuss/Approve Morning Lap Swim $30.00 a Month Per Person Discussion on number of people interested and feasibility. Councilmember Stacher made a motion to engage in a trial run of morning lap swim at $30.00 per month per person with the provisions that the swimmers work with the pool manager with an agreeable schedule and that the financial outcome will be at a breakeven or net gain.

Councilmember Eastlick seconded, and the motion passed.

Ayes: Stacher, Eastlick, Deppen, Fawaz
e. Discuss/Approve Compensating Lifeguards that Teach Swim Lessons $1.00 Extra Per Hour
Councilmember Deppen made a motion to approve, Councilmember Stacher seconded, and the motion passed.

Ayes: Stacher, Eastlick, Deppen, Fawaz
f. Discuss/Approve Allowing Use of Safe and Sane Fireworks at the Little League Park for July 4'h
Councilmember Deppen made a motion to approve, Councilmember Stacher seconded, and the motion passed.
2 Ayes: Stacher, Eastlick, Deppen, Fawaz
g. Discuss/Approve OES Salary Survey
Fire Chief Jake Deegan shared with the Council the OES Salary Schedule that has been approved by OES. Councilmember Deppen made a motion to approve, Councilmember Eastlick seconded, and the motion passed.

Ayes: Stacher, Eastlick, Deppen, Fawaz
h. Discuss/Approve City Check Signatures
City Clerk Pamela Eastlick explained that the new software allows for the checks to be cut with signatures pre-printed on them. Council is in agreement to allow for payroll checks to be printed with signatures on them, not Accounts Payable.

Councilmember Deppen made a motion to approve, Councilmember Eastlick seconded, and the motion passed.

Ayes: Stacher, Eastlick, Deppen, Fawaz

5. Department Reports:

Clerk Eastlick gave a brief report and reminded the Council about the November 3d election.

Eastlick would like to schedule a special meeting for the budget.

Fire Chief Jake Deegan gave a brief report about the SAFER grant.

6. City Council Statements and Requests:

Councilmember Stacher expressed frustration with the Council about being accused of doing things that he didn't do, especially in a public forum.

7. Closed Session:
a. Conference with Labor Negotiations (Unrepresented Employee)(Pursuant to Government Code §54957.6)

1. City Negotiator: Andrew L. Jared, City Attorney
Position: Ambulance Director
No reportable action taken.
b. Personnel Matters (Pursuant to Government Code §54957(b))

1. Public Employee Discipline/Dismissal Release
No reportable action taken.
c. Public Employment - Appointment (Pursuant to Government Code §54957)

1. City Administrator/Manager
No reportable action taken.

8. Adjournment:
3 There being no further business, Mayor Pro Tem Brandon Fawaz adjourned the meeting at 7:36 pm.

Respectfully submitted,
Jenny Bennett
Asst. City Clerk

CORPORATE
MINE 10.1001 MINUTES
You coy

SPECIAL MEETING OF THE ETNA CITY COUNCIL
Wednesday July 1, 2026
Members of the Etna City Council met on this 1" day of July in person. Mayor Cliff Munson called the meeting to order and dispensed with the salute to the flag of the United States of America.

1. Call to Order:
a. Pledge of Allegiance
b. Roll Call
Council Members John Stacher, Matt Eastlick, Mayor Cliff Munson, Jason Deppen, and Brandon Fawaz were present.

2. Public Comment:

None.

3. Closed Session:
a. Personnel Matters (Pursuant to Government Code §54957(b))

1. Public Employee Dismissal
The City Council made a decision regarding personnel matter that will be handled.

4. Current Business:
a. Workshop: Discuss 2026/2027 Budget
City Clerk Pamela Eastlick presented the 2026/2027 budget to the Council and staff.

Clerk Eastlick gave her recommendations for salary increases. The General Fund is in excess of $143,000 from past fires. Councilmember Fawaz would like to see the police department's budget as a whole on a summary page.

Councilmember Fawaz had to leave the meeting at 6:58 pm.

Discussion regarding bulk fuel purchases and how much the city spends on fuel.

No action taken. The 2026/2027 Budget will be presented at the next regular meeting for approval.

5. City Council Statements & Requests:

None.

6. Adjournment:

There being no further business Mayor Munson adjourned the meeting at 7:08 pm.

Respectfully submitted,
Jenny Bennett
Asst. City Clerk
1 OF

CORPORATO

MINUTES

SPECIAL MEETING OF THE ETNA CITY COUNCIL
Tuesday July 14, 2026
Members of the Etna City Council met on this 14"h day of July in person. Mayor Cliff Munson called the meeting to order and dispensed with the salute to the flag of the United States of America.

1. Call to Order:
a. Pledge of Allegiance
b. Roll Call
Council Members John Stacher, Matt Eastlick, Mayor Cliff Munson, and Jason Deppen were present. Councilmember Brandon Fawaz was absent.

2. Public Comment:

None.

3. Current Business:
a. Resolution of the City Council of the City of Etna Adding Additional Office to the Notice of General Municipal Election to be Held on November 3, 2026, and Requesting Consolidation of this Election with the Statewide Election Made by Resolution 2026-011.

City Attorney Andrew Jared explained that two items needed to be added to a closed session that require immediate action. The two items are being added pursuant to government code §54954.2b and require Council to vote, finding that they come up after posting and require immediate action. One item of initiating litigation and one item of potential litigation against the city.

Councilmember Deppen made a motion to add the two items to a closed session.

Councilmember Stacher seconded, and the motion passed.

Ayes: Stacher, Eastlick, Munson, Deppen
The City Council met in closed session.

Councilmember Stacher made a motion to approve item "a" under current business.

Councilmember Eastlick seconded, and the motion passed. City Attorney Andrew Jared clarified that the Council is adopting Resolution 2026-013 amending Resolution 2026-011 Calling and Giving Notice of the General Municipal Election to be Held on November 3, 2026, and Requesting Consolidation of this Election with the Statewide Election to Correct a Typographic Error Therein.

Ayes: Stacher, Eastlick, Munson, Deppen
City Council gave direction to file the writ of mandate

4. City Council Statements & Requests:

None.
1 5. Adjournment:

There being no further business Mayor Munson adjourned the meeting at 6:10 pm.

Respectfully submitted,
Jenny Bennett
Asst. City Clerk
2 Expense Approval Report
CORPORA! By Fund
Payment Dates 7/13/2026 - 7/21/2026
Vendor Name Payable Number Post Date Description (Item) Amount Fund: 10 - GENERAL FUND
Department: 000 - General
MARIA GAMACHE INV0000013 07/08/2026 LOLA Dinner 1,625.00 Department 000 - General Total: 1,625.00
Department: 100 - City Council
COLANTUONO, HIGHSMITH &... 71300, 71239 06/11/2026 Legal Services May 1,056.50 COLANTUONO, HIGHSMITH &... 71734, 71735, 71726, 71736 07/07/2026 Attorney Fees June 2,225.50 Department 100 - City Council Total: 3,282.00
Department: 110 - City Clerk
TYLER TECHNOLOGIES INC 025-554792 05/31/2026 FundBalance Migration 97.06 PRIMO BRANDS 06G8750189243 07/08/2026 City Hall Water 107.42 KELLEY CREATE 42388553 06/30/2026 Xerox Monthly 227.52
CHARLES W. PILLON 4875 07/01/2026 ERP Pro Assistance 350.00 E & S ENGINEERS 5506 06/29/2026 Engineer Retainer 500.00 COLANTUONO, HIGHSMITH &... 71300, 71239 06/11/2026 Legal Services May 178.50 COLANTUONO, HIGHSMITH &... 71734, 71735, 71726, 71736 07/07/2026 Attorney Fees June 339.00 INTERNET NETWORX IN-474998 06/01/2026 cityofetna.org 194.00 KIEP-ER KLEEN INV0000007 06/30/2026 Cleaning Services June 100.00 SISKIYOU TELEPHONE INV0000008 07/01/2026 Monthly Telephone 256.00 TYLER TECHNOLOGIES INC 025-559077 06/30/2026 FundBalance Migration 433.44 TYLER TECHNOLOGIES INC 025-560492 07/15/2026 FundBalance Migration 743.01 LAW OFFICE OF DARRIN MERC...INV0000014 05/01/2026 CDBG Foreclosure 785.27 Department 110 - City Clerk Total: 4,311.22
Department: 140 - Law Enforcement
TYLER TECHNOLOGIES INC 025-554792 05/31/2026 FundBalance Migration 97.07 Southern California Radar-Las... 0426118 07/02/2026 Radar Certification 137.50 DEPARTMENT OF JUSTICE AC... 044086 05/05/2026 April Fingerprints 96.00 DEPARTMENT OF JUSTICE AC... 051089 06/03/2026 Fingerprints May 32.00 CAMPORA 13214074 06/16/2026 PD Heat 218.88
MEAN GENE'S GAS 2758 05/29/2026 Bulk Fuel May 726.73
MEAN GENE'S GAS 2956 06/30/2026 Bulk Fuel June 686.41
SCOTT VALLEY AUTO PARTS 421829 06/30/2026 PAL Vehicle Maintenance 10.73 KRM SERVICES 5576 06/03/2026 Pre-employment Drug Screen 105.00 VERIZON WIRELESS 6146684887 06/21/2026 Monthly Cellular 32.20 VALLEY TIRE & TACKLE INC. 67959 06/01/2026 PD Vehicle Maintenance 92.95 COLANTUONO, HIGHSMITH &... 71300, 71239 06/11/2026 Legal Services May 3,940.50 KIEP-ER KLEEN INV0000007 06/30/2026 Cleaning Services June 100.00 SISKIYOU TELEPHONE INV0000008 07/01/2026 Monthly Telephone 147.58 PACIFIC POWER INV0000010 06/23/2026 Monthly Electric 57.06 L.N. CURTIS & SONS INV1086167 07/02/2026 Martin, Dowling PD Gear 80.26 TYLER TECHNOLOGIES INC 025-559077 06/30/2026 FundBalance Migration 433.44 TYLER TECHNOLOGIES INC 025-560492 07/15/2026 FundBalance Migration 743.01 ETNA HARDWARE, INC. INV0000016 06/30/2026 Maint & Supplies 16.21 ETNA HARDWARE, INC. INV0000016 06/30/2026 Maint & Supplies 26.80 ETNA HARDWARE, INC. INV0000016 06/30/2026 Maint & Supplies 22.50 Department 140 - Law Enforcement Total: 7,802.83
Department: 141 - Police - FJ Station
MEAN GENE'S GAS 2758 05/29/2026 Bulk Fuel May 382.71
AT&T Mobility 287365897788X06082026 05/31/2026 Medes Cell Phone 51.63 MEAN GENE'S GAS 2956 06/30/2026 Bulk Fuel June 379.23
VALLEY TOWING 6/20-IMP2 06/19/2026 Evidence Tow 1,135.60 VERIZON WIRELESS 6146684887 06/21/2026 Monthly Cellular 32.20 VALLEY TIRE & TACKLE INC. 67959 06/01/2026 PD Vehicle Maintenance 92.95 7/21/2026 2:27:49 PM Page 1 of 6
Expense Approval Report Payment Dates: 7/13/2026 - 7/21/2026 Vendor Name Payable Number Post Date Description (Item) Amount PACIFIC POWER INV0000010 06/23/2026 Monthly Electric 57.06 L.N. CURTIS & SONS INV1086167 07/02/2026 Martin, Dowling PD Gear 80.26 FARMERS STATE BANK INVO000015 05/30/2026 Lease Payment May 9,245.50 Department 141 - Police - Fl Station Total: 11,457.14
Department: 150 - Fire Prevention
TYLER TECHNOLOGIES INC 025-554792 05/31/2026 FundBalance Migration 97.07 MEAN GENE'S GAS 2758 05/29/2026 Bulk Fuel May 157.49
MEAN GENE'S GAS 2956 06/30/2026 Bulk Fuel June 99.57
MEAN GENE'S GAS 2956 06/30/2026 Bulk Fuel June 686.04
VALLEY TIRE & TACKLE INC. 67993 06/03/2026 Fire Dept. Batteries 452.20 ACTIVE 911, INC. 685229 06/18/2026 ActiveAlert Renewal 166.50 SISKIYOU TELEPHONE INVO000008 07/01/2026 Monthly Telephone 83.56 PACIFIC POWER INVO000010 06/23/2026 Monthly Electric 223.86 TYLER TECHNOLOGIES INC 025-559077 06/30/2026 FundBalance Migration 433.42 TYLER TECHNOLOGIES INC 025-560492 07/15/2026 FundBalance Migration 743.02 Department 150 - Fire Prevention Total: 3,142.73
Department: 200- Government Bulldings
SCOTT VALLEY DISPOSAL INVO000009 06/30/2026 Monthly Trash June 169.50 PACIFIC POWER INVOO00010 06/23/2026 Monthly Electric 568.49 Department 200- Government Buildings Total: 737.99
Department: 250 - Highways & Streets
MEAN GENE'S GAS 2758 05/29/2026 Bulk Fuel May 67.20
MEAN GENE'S GAS 2758 05/29/2026 Bulk Fuel May 33.87
MEAN GENE'S GAS 2956 06/30/2026 Bulk Fuel June 166.20
MEAN GENE'S GAS 2956 06/30/2026 Bulk Fuel June 20.94
VERIZON WIRELESS 6146684887 06/21/2026 Monthly Cellular 367.89 SISKIYOU TELEPHONE INVOO00008 07/01/2026 Monthly Telephone 31.93 SCOTT VALLEY DISPOSAL INVOO00009 06/30/2026 Monthly Trash June 169.50 PACIFIC POWER INVOO00010 06/23/2026 Monthly Electric 22.56 PACIFIC POWER INVO000010 06/23/2026 Monthly Electric 1,698.96 ETNA HARDWARE, INC. INVO000012 05/31/2026 Maint & Supplies May 41.60 ETNA HARDWARE, INC. INVO000016 06/30/2026 Maint & Supplies 8.57 Department 250 - Highways & Streets Total: 2,629.22
Department: 300 - Parks & Recreation
MEAN GENE'S GAS 2758 05/29/2026 Bulk Fuel May 254.24
MEAN GENE'S GAS 2956 06/30/2026 Bulk Fuel June 76.18
FORT JONES LUMBER YARD, .... 376442 06/25/2026 Park Repairs 45.70 KIEP-ER KLEEN INVO000007 06/30/2026 Cleaning Services June 100.00 SISKIYOU TELEPHONE INVO000008 07/01/2026 Monthly Telephone 69.95 SCOTT VALLEY DISPOSAL INVOO00009 06/30/2026 Monthly Trash June 169.50 ETNA HARDWARE, INC. INVO000012 05/31/2026 Maint & Supplies May 107.17 C&K MARKET 1835334 06/30/2026 Maint & Supplies 59.16
ETNA HARDWARE, INC. INVO000016 06/30/2026 Maint & Supplies 30.01 Department 300- Parks & Recreation Total: 911.91
Fund 10 - GENERAL FUND Total: 35,900.04
Fund: 20- WATER IMPROVEMENT FUND
Department: 400 - Water
E&S ENGINEERS 5509 06/29/2026 21024 Water Treatment Plant... 48,101.60 Department 400 - Water Total: 48,101.60
Fund 20 - WATER IMPROVEMENT FUND Total: 48,102.60
Fund: 23 - SWIMMING POOL FUND
Department: 300 - Parks & Recreation
MEAN GENE'S GAS 2758 05/29/2026 Bulk Fuel May 177.29
SISKIYOU TELEPHONE INV0000008 07/01/2026 Monthly Telephone 122.10 SCOTT VALLEY DISPOSAL INVOO00009 06/30/2026 Monthly Trash June 169.50 PACIFIC POWER INVO000010 06/23/2026 Monthly Electric 607.72 ETNA HARDWARE, INC. INVO000012 05/31/2026 Maint & Supplies May 50.56 ETNA HARDWARE, INC. INVOO00016 06/30/2026 Maint & Supplies 1.28 7/21/2026 2:27:49 PM Page 2 of 6
Expense Approval Report Payment Dates: 7/13/2026 - 7/21/2026 Vendor Name Payable Number Post Date Description (Item) Amount ETNA HARDWARE, INC. INV0000016 06/30/2026 Maint & Supplies 90.67 Department 300 - Parks & Recreation Total: 1,219.12
Fund 23 - SWIMMING POOL FUND Total: 1,219.12
Fund: 24 - STIP PROJECT
Department: 250 - Highways & Streets
E &S ENGINEERS 5512 06/29/2026 23063 Main Street Rehab 1,097.50 E & S ENGINEERS 5515 06/29/2026 25058 STIP 1,495.00
Department 250 - Highways & Streets Total: 2,592.50
Fund 24 - STIP PROJECT Total: 2,592.50
Fund: 40 - WATER FUND
Department: 400- Water
TYLER TECHNOLOGIES INC 025-554792 05/31/2026 FundBalance Migration 97.07 PACE ANALYTICAL 262804632 07/07/2026 Water Lab Tests 208.80 PACE ANALYTICAL 262804692 07/08/2026 Drinking Water Monitoring 441.20 MEAN GENE'S GAS 2758 05/29/2026 Bulk Fuel May 67.20
MEAN GENE'S GAS 2758 05/29/2026 Bulk Fuel May 33.87
MEAN GENE'S GAS 2956 06/30/2026 Bulk Fuel June 166.20
MEAN GENE'S GAS 2956 06/30/2026 Bulk Fuel June 20.94
KELLEY CREATE 42388553 06/30/2026 Xerox Monthly 227.52
VERIZON WIRELESS 6146684887 06/21/2026 Monthly Cellular 367.89 SISKIYOU TELEPHONE INVO000008 07/01/2026 Monthly Telephone 78.77 PACIFIC POWER INVO000010 06/23/2026 Monthly Electric 391.92 TYLER TECHNOLOGIES INC 025-559077 06/30/2026 FundBalance Migration 433.42 TYLER TECHNOLOGIES INC 025-560492 07/15/2026 FundBalance Migration 743.02 PACE SUPPLY CORP 2811598296 07/20/2026 Service Lines 1,397.92 ETNA HARDWARE, INC. INV0000016 06/30/2026 Maint & Supplies 10.71 ETNA HARDWARE, INC. INV0000016 06/30/2026 Maint & Supplies 10.70 Department 400 - Water Total: 4,697.15
Fund 40 - WATER FUND Total: 4,697.15
Fund: 45 - SEWER FUND
Department: 450 - Sewer
TYLER TECHNOLOGIES INC 025-554792 05/31/2026 FundBalance Migration 97.07 MEAN GENE'S GAS 2758 05/29/2026 Bulk Fuel May 67.20
MEAN GENE'S GAS 2758 05/29/2026 Bulk Fuel May 33.87
MEAN GENE'S GAS 2956 06/30/2026 Bulk Fuel June 166.20
MEAN GENE'S GAS 2956 06/30/2026 Bulk Fuel June 20.94
SCOTT VALLEY AUTO PARTS 420535 05/30/2026 Dump Truck Maint. • 23.54 KELLEY CREATE 42388553 06/30/2026 Xerox Monthly 227.53
VERIZON WIRELESS 6146684887 06/21/2026 Monthly Cellular 367.89 SISKIYOU TELEPHONE INVO000008 07/01/2026 Monthly Telephone 31.96 PACIFIC POWER INVOO00010 06/23/2026 Monthly Electric 561.51 ETNA HARDWARE, INC. INVO000012 05/31/2026 Maint & Supplies May 21.43 TYLER TECHNOLOGIES INC 025-559077 06/30/2026 FundBalance Migration 433.42 TYLER TECHNOLOGIES INC 025-560492 07/15/2026 FundBalance Migration 743.02 Department 450 - Sewer Total: 2,795.58
Fund 45 - SEWER FUND Total: 2,795.58
Fund: 47 - SEWER ASSESSMENT FUND
Department: 450 - Sewer
NBS GOVERNMENT FINANCE... 202606-2184 06/20/2026 July-Sept 1,489.16 Department 450 - Sewer Total: " 1,489.16
Fund 47 - SEWER ASSESSMENT FUND Total: 1,489.16
Fund: 50 - AMBULANCE FUND
Department: 500 - Ambulance
TYLER TECHNOLOGIES INC 025-554792 05/31/2026 FundBalance Migration 97.07 WITTMAN ENTERPRISES, ULC 202605-C1794 06/25/2026 Billing Services May 3,677.30 MEAN GENE'S GAS 2758 05/29/2026 Bulk Fuel May 148.82
MEAN GENE'S GAS 2758 05/29/2026 Bulk Fuel May 621.85
7/21/2026 2:27:49 PM Page 3 of 6
Expense Approval Report Payment Dates: 7/13/2026 - 7/21/2026 Vendor Name Payable Number Post Date Description (Item) Amount MEAN GENE'S GAS 2956 06/30/2026 Bulk Fuel June 989.68
VERIZON WIRELESS 6146684887 06/21/2026 Monthly Cellular 400.07 SISKIYOU TELEPHONE INVO000008 07/01/2026 Monthly Telephone 158.91 PACIFIC POWER INVG000010 06/23/2026 Monthly Electric 135.37 ETNA HARDWARE, INC. INVO000012 05/31/2026 Maint & Supplies May 26.78 TYLER TECHNOLOGIES INC 025-559077 06/30/2026 FundBalance Migration 433.42 TYLER TECHNOLOGIES INC 025-560492 07/15/2026 FundBalance Migration 743.02 Department 500- Ambulance Total: 7,432.29
Fund 50 - AMBULANCE FUND Total: 7,432.29
Fund: 53 - COPS PERSONNEL FUND
Department: 140 - Law Enforcement
Southern California Radar-Las... 426118 07/02/2026 Radar Certification 137.50 CAMPORA 13214074 06/16/2026 PD Heat 218.88
MEAN GENE'S GAS 2758 05/29/2026 Bulk Fuel May 829.39
AT&T Mobility 287365897788X06082026 05/31/2026 Medes Cell Phone 51.64 MEAN GENE'S GAS 2956 06/30/2026 Bulk Fuel June 474.45
VERIZON WIRELESS 6146684887 06/21/2026 Monthly Cellular 32.20 VALLEY TIRE & TACKLE INC. 67959 06/01/2026 PD Vehicle Maintenance 92.95 SISKIYOU TELEPHONE INVO000008 07/01/2026 Monthly Telephone 147.58 PACIFIC POWER INVO000010 06/23/2026 Monthly Electric 57.07 L.N. CURTIS & SONS INV1086167 07/02/2026 Martin, Dowling PD Gear 80.26 FARMERS STATE BANK INVOO00015 05/30/2026 Lease Payment May 9,245.50 Department 140 - Law Enforcement Total: 11,367.42
Fund 53 - COPS PERSONNEL FUND Total: 11,367.42
Grand Total: 115,594.86
7/21/2026 2:27:49 PM Page 4 of 6
Expense Approval Report Payment Dates: 7/13/2026 - 7/21/2026 Report Summary
Fund Summary
Fund Payment Amount
10 - GENERAL FUND 35,900.04
20 - WATER IMPROVEMENT FUND 48,101.60
23 - SWIMMING POOL FUND 1,219.12
24 - STIP PROJECT 2,592.50
40 - WATER FUND 4,697.15
45 - SEWER FUND 2,795.58
47 - SEWER ASSESSMENT FUND 1,489.16
5O - AMBULANCE FUND 7,432.29
53 - COPS PERSONNEL FUND 11,367.42
Grand Total: 115,594.86
Account Summary
Account Number Account Name Payment Amount
10-000-2300 DEPOSITS 1,625.00
10-100-6180 ATTORNEY FEES 3,282.00
10-110-6100 PROFESSIONAL & CONT... 1,723.51
10-110-6130 ATTORNEY FEES 1,302.77
10-110-6190 ENGINEERING FEES 500.00
10-110-6260 DUES AND SUBSCRIPTIO... 421.52
10-110-6330 TELEPHONE EXPENSE 256.00
10-110-6520 OFFICE SUPPLIES 107.42
10-140-6100 PROFESSIONAL & CONT... 1,606.52
10-140-6180 ATTORNEY FEES 3,940.50
10-140-6330 TELEPHONE EXPENSE 147.58
10-140-6340 CELLULAR 32.20
10-140-6350 ELECTRIC 57.06
10-140-6360 HEATING 218.88
10-140-6420 VEHICLE MAINTENANCE 241.18
10-140-6440 MAINTENANCE & SUPPL... 65.51
10-140-6500 GASOLINE 1,413.14
10-140-6530 SPECIAL DEPT SUPPLES... 80.26
10-141-6100 PROFESSIONAL & CONT... 1,135.60
10-141-6340 CELLULAR 83.83
10-141-6350 ELECTRIC 57.06
10-141-6420 VEHICLE MAINTENANCE 92.95
10-141-6500 GASOLINE 761.94
10-141-6530 SPECIAL DEPT SUPPLIES... 80.26
10-141-8000 CAPITAL OUTLAY 9,245.50
10-150-6100 PROFESSIONAL & CONT... 1,273.51
10-150-6260 DUES AND SUBSCRIPTIO.. 166.50
10-150-6330 TELEPHONE EXPENSE 83.56
10-150-6350 ELECTRIC 223.86
10-150-6420 VEHICLE MAINTENANCE 452.20
10-150-6500 GASOLINE 257.06
10-150-6510 DIESEL 686.04
10-200-6350 ELECTRIC 568.49
10-200-6370 TRASH 169.50
10-250-6330 TELEPHONE EXPENSE 31.93
10-250-6340 CELLULAR 367.89
10-250-6350 ELECTRIC 22.56
10-250-6370 TRASH 169.50
10-250-6440 MAINTENANCE & SUPPL... 50.17
10-250-6500 GASOLINE 233.40
10-250-6510 DIESEL 54.81
10-250-6540 TRAFFIC SAFETY 1,698.96
10-300-6100 PROFESSIONAL & CONT... 100.00
10-300-6330 TELEPHONE EXPENSE 69.95
7/21/2026 2:27:49 PM Page 5 of 6
Expense Approval Report Payment Dates: 7/13/2026 - 7/21/2026 Account Summary
Account Number Account Name Payment Amount
10-300-6370 TRASH 169.50
10-300-6440 MAINTENANCE & SUPLL.. 242.04
10-300-6500 GASOLINE 330.42
20-400-8040 EDWG-47100004-001 48,101.60
23-300-6330 TELEPHONE EXPENSE 122.10
23-300-6350 ELECTRIC 607.72
23-300-6360 HEATING 177.29
23-300-6370 TRASH 169.50
23-300-6440 MAINTENANCE & SUPPL... 142.51
24-250-8050 STREET REHAB-RPL-5054... 1,097.50
24-250-8060 STREET REHAB-PPO-2626 1,495.00
40-400-6100 PROFESSIONAL & CONT... 1,273.51
40-400-6240 LABORATORY TESTS 650.00
40-400-6260 DUES AND SUBSCRIPTIO... 227.52
40-400-6330 TELEPHONE EXPENSE 78.77
40-400-6340 CELLULAR 367.89
40-400-6350 ELECTRIC 391.92
40-400-6440 MAINTENANCE & SUPPL... 1,419.33
40-400-6500 GASOLINE 233.40
40-400-6510 DIESEL 54.81
45-450-6100 PROFESSIONAL & CONT.... 1,273.51
45-450-6260 DUES AND SUBSCRIPTIO.. 227.53
45-450-6330 TELEPHONE EXPENSE 31.96
45-450-6340 CELLULAR 367.89
45-450-6350 ELECTRIC 561.51
45-450-6420 VEHICLE MAINTENANCE 23.54
45-450-6440 MAINTENANCE & SUPPL... 21.43
45-450-6500 GASOLINE 233.40
45-450-6510 DIESEL 54.81
47-450-6100 PROFESSIONAL & CONT... 1,489.16
50-500-6100 PROFESSIONAL & CONT.... 4,950.81
50-500-6330 TELEPHONE EXPENSE 158.91
50-500-6340 CELLULAR 400.07
50-500-6350 ELECTRIC 135.37
50-500-6440 MAINTENANCE & SUPPL... 26.78
50-500-6500 GASOLINE 148.82
50-500-6510 DIESEL 1,611.53
53-140-6330 TELEPHONE EXPENSE 147.58
53-140-6340 CELLULAR 83.84
53-140-6350 ELECTRIC 57.07
53-140-6360 HEATING 218.88
53-140-6420 VEHICLE MAINTENANCE 230.45
53-140-6500 GASOLINE 1,303.84
53-140-6530 SPECIAL DEPT SUPPLIES... 80.26
53-140-8000 CAPITAL OUTLAY 9,245.50
Grand Total: 115,594.86
Project Account Summary
Project Account Key Payment Amount
**None** 115,594.86
Grand Total: 115,594.86
7/21/2026 2:27:49 PM Page 6 of 6
OF City of Etna

A CORPORATED
Resolution Number: 2026-014

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ETNA ESTABLISHING

A LIVE SCAN BACKGROUND CHECK REQUIREMENT FOR VOLUNTEER

FIREFIGHTER APPLICANTS
WHEREAS the City Council recognizes the importance of protecting the safety and welfare of the community, city personnel, and members of the Etna Fire Department; and WHEREAS the City Council finds that conducting a criminal background check through the California Live Scan process is an appropriate measure to help ensure that individuals serving as volunteer firefighters meet the standards expected of those entrusted with emergency response duties; and
WHEREAS the City Council desires to establish a uniform process for individuals seeking to become volunteer firefighters with the Etna Fire Department.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Etna as follows:

1. Live Scan Requirement. Any individual applying to become a volunteer firefighter with the Etna Fire Department shall successfully complete a California Live Scan background check prior to:
a. Responding to any emergency calls or incidents on behalf of the Etna Fire Department; and
b. Receiving or being issued a city-owned firefighting equipment, gear, or other property.

2. Background Check Clearance. An applicant may proceed in the volunteer firefighter onboarding process only after the city has received the results of the Live Scan background check and determined that the results do not disclose any disqualifying criminal history in accordance with applicable law and city policy.

3. Administration. The Fire Chief, or the Fire Chief's designee, is authorized to implement and administer this resolution and to ensure compliance with applicable laws governing background checks and volunteer personnel.

4. Effective Date. This Resolution shall take effect immediately upon its adoption.

PASSED, APPROVED, AND ADOPTED by the City Council of the City of Etna at a regular meeting held on the 27h day of July, 2026 by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

Cliff Munson, Mayor
ATTEST:

Pamela Eastlick, City Clerk

A CORPORATED

STAFF REPORT
MINE 10, 100) ETNA CITY COUNCIL

OU COUN
To: City Council Members
From: Police Chief Josh Short
Date: July 27, 2026
Subject: Swear in New Police Officer
RECOMMENDATION:

Swear in new police officer Eric Dowling.
429602.1

ANORPORATEO

STAFF REPORT
MINE 10, 1900 ETNA CITY COUNCIL

OU COUN
To: City Council Members
From: Jill Drinkwater, Pacific Power
Date: July 27, 2026
Subject: Presentation
DISCUSSION:

Presentation: Pacific Power System Strengthening Projects.

FINANCIAL IMPACT:

None.
429602.1
Pacific Power System
Strengthening and Wildfire
Mitigation
PACIFIC POWER.

POWERING YOUR GREATNESS
PACIFIC POWER. California service area

POWERING YOUR GREATNESS
• 46,000+ customers
Crescent City Yreka
• 48 substations
Klamath
National Alturas
Forest
• 3,150+ miles of distribution
lines
Hoopa
Valley
• 730+ miles of transmission
I.R.
lines Pacific Power Service Territory
• 11,292 square miles
• Roughly 4 customers
per square mile
PACIFIC POWER. California wildfire risk zones

POWERING YOUR GREATNESS
Dorris
• ~26,000 California
customers in areas of
Beds
N.M
high risk
Canby
• Over 1,700 miles of
overhead lines in high
Adin
Redwood
risk areas Pacific Power Service Territory
National
& State Hoopa
Valley Tier 2 High Fire Threat District
Parks 1.R
Tier 3 High Fire Threat District
McKinleyville
• Over 60% of Pacific Willow Creek Burney High Fire Risk Area Power's California
service territory in high HFTD and
Line Miles California HFTD HFRA
fire risk areas HFRA
Overhead Transmission Line Miles 731 344 120 464
Overhead Distribution Line Miles 2,517 811 488 1,299
Total Miles 3,248 1,155 607 1,763
PACIFIC POWER. System strengthening

POWERING YOUR GREATNESS
Key Activities
Tulelake
• Replacing 300 miles of
bare wire with covered
conductor to improve
Lava Beds
National
reliability and safety Monument
• Replacing more than Klamath National Forest
5000 wooden poles with
Marble Mountain
fireproof structures Wilderness
Mount Shasta
14,162 ft
Shastarama Point
• Installing devices to
Callahan
sectionalize lines,
reducing the number of
Dunsmuir
customers impacted by
sensitive settings
DAN POWER. System strengthening project areas

POWERING YOUR GREATNESS
nt Chastal
Motinleyv
Visit PacificPower.net/Resilience for more project information PACIFIC POWER.

POWERING YOUR GREATNESS
Yreka (Since 2020)
Yreka
• 20 miles of line rebuilt with covered
conductor
• 400 poles replaced with non-wood
poles
• Yreka's risk of wildfire is higher than
96% of communities in the US
PACIFIC POWER.

POWERING YOUR GREATNESS
Weed - Mt Shasta
Mount Shasta & Weed
(Since 2020)
• 194 miles of line rebuilt with
covered conductor.
• 3,800 poles replaced with non-
wood poles.
• Mount Shasta's risk of wildfire is
higher than 93% * of communities
in the US.
* USFS Wildfire Risk to Communities - Completed Work
- Upcoming 2026 Work
PACIFIC POWER.

POWERING YOUR GREATNESS
Fort Jones / Etna
Fort Jones & Etna (Since
2020)
• 92 miles of line rebuilt with covered conductor It petin • 1,800 poles replaced with non-wood poles
• Fort Jones & Etna's risk of wildfire is higher than
99% of US communities
- Completed Work
- Upcoming 2026 Work
PACIFIC POWER.

I POWERING YOUR GREATNESS
Happy Camp
Happy Camp (Since 2020)
• 58 miles of line rebuilt with covered conductor
• 1,100 poles replaced with non-wood poles
• Happy Camp's risk of wildfire is higher than 87% of US communities
- Completed Work
- Upcoming 2026 Work
PACIFIC POWER.

POWERING YOUR GREATNESS
Crescent City (Since 2020)
• 8 reclosers installed
• Fuses replaced with non-expulsion
fuses at 391 locations
• Crescent City's risk of wildfire is higher
than 48% of US communities
PACIFIC POWER.

POWERING YOUR GREATNESS
Klamath (Since 2020)
• 139 fuses replaced with non-
expulsion fuses
• Klamath's risk of wildfires is
higher than 77% of US
communities
PACIFIC POWER. Accomplishments

POWERING YOUR GREATNESS
2023
• Replaced 95+ miles of bare conductor with
insulated covered conductor
• Replaced 5 miles of bare conductor with
underground conductor
• Upgraded 35+ reclosers, relays and circuit
breakers for enhanced protection and
control
• Installed 4,000+ non-expulsion fuses
PACIFIC POWER. Accomplishments

POWERING YOUR GREATNESS
2024
• Over 7,100 incremental trees pruned/removed
• Inspected over 71,900 transmission & distribution
facilities
• Upgraded or replaced 11 relays and reclosers
• Rebuilt 72 miles of overhead line with covered
conductor
• Replaced 2,600 expulsion fuses with non-
expulsion
PACIFIC POWER. Accomplishments

POWERING YOUR GREATNESS
2025
• 124 miles of covered conductor
installed
• Inspected 3,100 poles and completed
over 96,000 equipment inspections
• Stood up Wildfire Inteligence Center
and Fire & Emergency Response
Manager teams
• Installed 39 new eather stations in
last 3 years (122 total in CA)
www.pacificpowerweather.com & www.pacificpower.wildfirewatch.com

WEATHER MONITORING
Thank You! SYSTEM STRENGTHENING

VEGETATION
PacfiCorp Media Hotline

MANAGEMENT

1.800.570.5838

TECHNOLOCY
OF

ACORPORATED ETNA

STAFF REPORT
VINE 10,1804 ETNA CITY COUNCIL

SHAYOU COUNS
To: City Council Members
From: PAL/Scott Valley Skatepark Project, Nathan Chismar Date: July 27, 2026
Subject: Event Application
RECOMMENDATION:

Approve event application for Etna PAL/ Scott Valley Skatepark Project fundraiser.

DISCUSSION:

Etna PAL is requesting to have a fundraising event at the city park for the skatepark project on September 12t from early afternoon to 10:00 pm.

FINANCIAL IMPACT:

None.
429602.1

CORPORATE
City of Etna

EVENT APPLICATION
Location of Event: Park • Main Street • Pool • Other:

ORGANIZATION INFORMATION
Name of Organization: Event Contact Person:

PAL/ ScottValley Skatepark Project Nathan Chismar
Street Address: Phone Numbers):
155 Diggles St

EVENT INFORMATION
Name of Event: Event Date(s):

Skatepark Fundraiser Sept. 12*h 2026
Event Start Time: Event End Time:
early Afternoon 10 Pm
Event Description: Etna PAL Skatepark Fundraiser event with Live music, bounce houses, Popcorn, t-shirt sales, possible Dinner, possible horseshoe 4 Cornhole Tournaments.

Estimated Number of Participants: Estimated Number of Vendors: / 80-100
Is there an outdoor bar that will serve alcohol? If yes, liquor & bartender licenses •No AYes
are necessary under separate application.

Will there be selling/serving food? If yes, you will need to contact Siskiyou AYes •No County Health Department for proper permits.

Will there be merchandise for sale? If yes, each vendor must apply for a Peddler's *Yes •No License at City Hall. T-Shirts only
Will there be musical entertainment? If yes, you are responsible for following City •No XYes
Noise Ordinance 9.05.030. Contact Etna PD with questions.

Will your event require electricity? If yes, the Fire Department and Public Works XYes •No Director will need to inspect prior to use.

Will your event require a street shut-down? If yes, you must contact the Etna •Yes ANO Police Department for secondary approval.

Will you be providing portable restrooms & wash stations for the event? •Yes XNo Will there be fireworks? If yes, approval from the Fire Chief and Police Chief is •Yes ANo required. Additional fee of $150.00 is required for Fire & Police Standby. 442 Main Street • P.O. Box 460 • Etna, CA 96027
P: 530-467-5256 • F: 530-467-3217

INSURANCE REQUIREMENTS
The Event Sponsor will obtain liability insurance with coverage no less than $1,000,000 which names and endorses the City as an additional insured party. A copy is due within 15 days of the event.

DEPOSIT REQUIREMENTS
The applicant may be required to submit to the City a cleaning/damage deposit of $200.00 per day for each scheduled day of the event. The deposit shall be refunded to applicant, if, upon inspection, all is in order, or a prorated portion thereof as may be necessary to reimburse the City for loss or cleaning costs. The City reserves the right to retain the entire deposit if clean up is not completed to the satisfaction of the City. Unless otherwise stated in the permit, the applicant shall be fully responsible for all necessary clean up associated with the permitted event to be completed within 12 hours after the conclusion of the event.

What other assistance do you foresee needing from the City (personnel, materials, and/or equipment)? none

BINDING AGREEMENT
I have read understand this application and the requirements placed upon this applicant and organization. I agree to defend, indemnify, and hold harmless the City of Etna, its agents, representatives, officials, and employees, from and against any and all claims, damages, losses, and expenses relating to or alleged to have resulted from the acts, errors, mistakes or omissions of the applicant. I agree to abide by the City of Etna's regulations, laws and ordinances.

Authorized Signature: Date:

LIST OF FEES
$ $
$
$
Council Approval: Date:

Police Chief Approval: Date:

Fire Chief Approval: Date:

Public Works Director Approval: Date:

Deposit Amount: Deposit Amount Returned:

Notes:

OF

ANORPORATEO

STAFF REPORT
MINE 10, 1904 ETNA CITY COUNCIL
To: City Council Members
From: Brandy Caporaso, Great Northern Services
Date: July 27, 2026
Subject: Etna Housing Rehabilitation Guidelines
RECOMMENDATION:

Approve the City of Etna Community Development Block Grant (CDBG) Housing Rehabilitation Program Guidelines
DISCUSSION:

Review and discuss the Etna Housing Rehabilitation Guidelines and Loan Terms. Make any changes if necessary.

FINANCIAL IMPACT:

None.
429602.1
City of Etna

COMMUNITY DEVELOPMENT BLOCK GRANT

HOUSING REHABILITATION PROGRAM GUIDELINES
Adopted by City Council on
City of Etna Housing Rehabilitation Assistance Program Guidelines

CITY OF ETNA

HOUSING REHABILITATION PROGRAM GUIDELINES

TABLE OF CONTENTS

1.0. GENERAL
Conflict of Interest 4
Program Outreach and Marketing 5
Application Process, Selection, Bidding and Construction Loan Process

2.0. APPLICANT ELIGIBILITY

2.1. Applicants

2.2. Income Limits

2.3. Income Qualification Criteria

3.0. PROPERTY ELIGIBILITY
Location
Conditions
Anti-Displacement Policy and Relocation Assistance

LOAN COMMITTEE
Composition
Purpose and Meetings
500. LOAN CONDITIONS AND TERMS
Maximum Amount of Program Assistance
General Lending Criteria and Procedures
Qualifying Ratios
Loan Rates and Terms
Agreements
Loan Security
Insurance
Property Taxes

RESIDENCY REQUIREMENTS
Owner-Occupied

7.0. LOAN SERVICING AND MAINTENANCE
Payments
Receiving Loan Repayments
Loan Servicing Policies and Procedures
Loan Monitoring Procedures
Default and Foreclosure
Subordinations

8.0. CONSTRUCTION
Standards
Contracting Process
Lead Based Paint
Eligible Projects
Eligible Costs
Repair Callbacks
Sweat Equity

EXCEPTIONS AND SPECIAL CIRCUMSTANCES

9.1. Amendments

9.2. Exceptions

City of Etna Housing Rehabilitation Assistance Program Guidelines

10.0. DISPUTE RESOLUTION AND APPEALS PROCEDURES 27
Program Complaint and Appeal Procedure 27
Grievances between Participants and Construction Contractor 28

11.0. ATTACHMENTS 29
ATTACHMENT A: 24 CFR PART 5 ANNUAL INCOME INCLUSIONS AND EXCLUSIONS-SUMMARY 30 ATTACHMENT B: STANDARDS FOR BEDROOM AND BATHROOM ADDITIONS TO ALLEVIATE OVERCROWDING 31
ATTACHMENT C: HOUSING REHABILITATION MARKETING PLAN 32
ATTACHMENT D: RESIDENTIAL ANTI-DISPLACEMENT AND TEMPORARY RELOCATION PLAN 33 ATTACHMENT E-1: TENANT NON-DISPLACEMENT LETTER-LANDLORD APPLICATION 39 ATTACHMENT E-2: TENANT NON-DISPLACEMENT LETTER-LANDLORD ACCEPTANCE 40 ATTACHMENT E-3: DISCLOSURE TO OCCUPANT OF TEMPORARY RELOCATION BENEFITS 41 ATTACHMENT F: LOAN SERVICING POLICIES AND PROCEDURES 42 ATTACHMENT G: FORECLOSURE POLICY 45
ATTACHMENT H: ANNUAL CERTIFICATION OF OCCUPANCY 48
ATTACHMENT I: OWNER-OCCUPANT APPLICATION-SAMPLE 49
ATTACHMENT J: INITIAL WALK-THROUGH-SAMPLE 50
ATTACHMENT K: CONTRACTOR INVITATION TO BID-SAMPLE 51
ATTACHMENT L: LOAN COMMITTEE RECOMMENDATION-SAMPLE 52
ATTACHMENT M: OWNER-OCCUPANT LOAN DOCUMENTS-SAMPLE 53
ATTACHMENT N: PRE-CONSTRUCTION MEETING-SAMPLE 54
ATTACHMENT O: FINAL INSPECTION-SAMPLE 55
ATTACHMENT P: NOTICE OF COMPLETION-SAMPLE 56
ATTACHMENT Q: NOTICE OF ACCEPTANCE-SAMPLE 57

City of Etna Housing Rehabilitation Assistance Program Guidelines

CITY OF ETNA

HOUSING REHABILITATION ASSISTANCE PROGRAM GUIDELINES

1.0. GENERAL
The City of Etna "City" has entered into a contractual relationship with the California Department of Housing and Community Development ("HCD") to administer one or more HCD-funded housing rehabilitation programs. The rehabilitation program described herein and hereinafter referred to as the "Program" is designed to help eligible owners for correction of health and safety items, as well as code violations and to extend the useful life of existing housing units located within the Program's eligible area, as described in Section 3.1. The Program provides this assistance in the form of grants, forgivable loans and standard amortized loans used to finance the cost of necessary repairs that will provide the owner with a healthy, safe, sanitary and code-compliant home, referred to herein as "housing unit". The Program will be administered by City of Etna, hereinafter referred to as the "Program Operator". The City of Etna may select a subrecipient to administer portions of the program and will act as the Program Operator. The Program Operator is responsible to execute all Program activities in compliance with the adopted policies, procedures, and applicable HCD regulations. All policies contained herein become effective on the date of adoption by the Etna City Council.

1.1. Conflict of Interest
When the City's program contains Federal funds, the applicable Conflict of Interest requirements of HCD's Community Development Block Grant (CDBG) Grants Management Manual, 24 CFR Section 570.611 and 24 CFR Section 200.318 will be followed.

No member of the City of Etna's Council and no other official, employee, or agent of the City government who exercises policy, decision-making functions, or responsibilities in connection with the planning and implementation of the program shall directly or indirectly be eligible for this program, unless the application for assistance has been reviewed and approved according to applicable HCD guidelines.

This ineligibility shall continue for one year after an individual's relationship with the City ends.

No employee, officer, agent, or board member with a real or apparent conflict of interest may participate in the selection, award, or administration of a contract for housing rehabilitation. A conflict of interest exists when any employee, officer, agent, elected official, or board member of the Jurisdiction, or any member of their immediate family, partner, or an organization that employs or is seeking to employ any of these individuals, has a real or apparent financial interest, or receives or may receive a tangible personal benefit, from any contractor, subcontractor, vendor, consultant, or other entity that is considered for or awarded a contract under the Program.

A contractor with a vested interest in the housing unit cannot bid on a rehabilitation job.

City of Etna Housing Rehabilitation Assistance Program Guidelines

1.2. Program Outreach and Marketing
All outreach efforts will be done in accordance with State and Federal fair lending regulations to assure nondiscriminatory treatment, outreach and access to the Program. No person shall, on the grounds of age, ancestry, color, creed, physical or mental disability or handicap, medical condition, marital or familial status, medical condition, national origin, race, religion, religious affiliation, gender, sexual orientation or other arbitrary cause, be excluded, denied benefits or subjected to discrimination under the Program. The Program Operator will ensure that all persons, including those qualified individuals with handicaps have access to the Program.

A. The Fair Housing Lender and Accessibility logos will be placed on all outreach materials. Fair housing marketing actions will be based upon a characteristic analysis comparison (census data may be used) of the Program's eligible area compared to the ethnicity of the population served by the Program (includes, separately, all applications given out and those receiving assistance) and an explanation of any underserved segments of the population. This information is used to show that protected classes (age, gender, ethnicity, race, and disability) are not being excluded from the Program. A Housing Rehabilitation Marketing Plan can be found as Attachment C. Flyers or other outreach materials, in English and any other language that is the primary language of a significant portion of the area residents, may be widely distributed in the Program-eligible area and will be provided to any local social service agencies.

The Program may sponsor homeownership education classes to help educate owners about credit, budgeting, predatory lending, foreclosure prevention and home maintenance, as well as future responsibilities.

B. Section 504 of the Rehabilitation Act of 1973 prohibits the exclusion of an otherwise qualified individual, solely by reason of disability, from participation under any program receiving Federal funds. The Program Operator will take appropriate steps to ensure effective communication with disabled owners, residents and members of the public.

1.3. Application, Selection, Bidding and Construction Process A. Outreach
When funding is available, the Program Operator will conduct outreach for the Program according to the Housing Rehabilitation Marketing Plan (Attachment c).

The Program will be advertised for 30 days allowing applicants to gather documentation needed before the application period is open. The application packet can be distributed during this time, but applications will not be accepted until the application acceptance period is open.

Application packets (Attachment I) will be available to applicants at the beginning of the Outreach period until funding is expended.

City of Etna Housing Rehabilitation Assistance Program Guidelines Applications will be accepted no sooner than 30 days after the beginning of the Outreach period opens. Applications will be accepted and reviewed on a first come first serve basis. All applications will be delivered to the Program Operator who will date stamp the application upon receipt. The Program Operator will review applications in the order they are received.

Only complete applications will move forward in the process. Applications are deemed complete if all requested information is provided. If the application is complete, it will be processed in the order it was received with other completed applications.

Incomplete applications are returned to the applicant with a letter detailing the additional information needed. The applicant will have 30 days to respond to the letter with the information requested. If the information is received outside of that time frame, the application will be re-stamped with the new date and will be reviewed in the order it was received. The Program Operator may require a new application if too much time has elapsed.

If the Program Operator encounters material discrepancies and/or misrepresentations, and/or there is income, asset, household composition, or other important questions that can't be resolved, Loan Committee reserves the right to deny assistance to the household.

If an application is never completed or the applicant does not qualify, the applicant will be emailed or mailed a denial letter with an explanation for denial and if they are able to resubmit an application. Those applicants that qualify under 2.0 Applicant Eligibility and 3.0 Property Eligibility as determined by the Program Operator move to Initial Inspection phase.

C. Initial Inspection/Work Write-Up/Estimate
Prospective homes are inspected by the Program Operator determine eligibility, acceptability of properties for participation in the Program, identify any code- related and health and safety deficiencies which should be corrected and the priority rating on the home.

If the housing unit is a pre-1978 unit, the initial inspection will also include paint testing by a certified Lead-Based Paint (LBP) inspector/assessor or presumption of LBP. Code deficiencies will be corrected and if presumption is used or lead hazards are found they will be properly treated according to HUD regulations and cleared by a certified LBP inspector/assessor. Refer to the Lead-Based Paint Requirements in HCD's CDBG Grant Management Manual.

Measurements and observations on the housing unit will be noted, including special conditions with potential cost consequences (dilapidated outbuildings, absence of curb and gutter when required by code, etc.). As needed a floor plan and site plan will be drawn for the housing unit, including all appurtenances.

City of Etna Housing Rehabilitation Assistance Program Guidelines Findings are noted on an inspection form and later used by the owner and Program Operator to prepare a Bid Solicitation including Work Specifications.

If the Program Operator determines that the home cannot meet Program Guidelines, a letter will be sent to the homeowner outlining the issues with the property. The Program Operator will inform the loan committee if the project will move forward for an Environmental Review.

Program Operator will review the housing rehabilitation process with the Owner following the Housing Rehabilitation Process document. One copy will remain with the Owner and the copy will be signed by the Owner and placed in their File.

Attachment J Initial Walk-through is available as a guide for the walk-through write-up, Housing Rehabilitation Process and Lead Based Paint acknowledgement.

D. Environmental Review
An environmental review process is required for all HUD-assisted projects to ensure that the proposed project does not negatively impact the surrounding environment and that the property site itself will not have an adverse environmental or health effect on end users. Not every project is subject to a full environmental review (i.e., every project's environmental impact must be examined, but the extent of this examination varies). Every project must be in compliance with the National Environmental Policy Act (NEPA), and other related Federal and state environmental laws. The environmental review must be completed, and the project determined that there will be no adverse effects to the surrounding area prior to any loan approval or Request for Bid release.

E. Appraisal
The Program Operator will use their best judgement by knowing and/or researching the local real estate values if the loan will be greater than after rehabilitation value of the home.

The Program Operator and Loan Committee have the discretion to have an appraisal conducted at any time before a loan/grant is offered to the owner to assist in determining if the loan to value ratio will be substantially over 100% of the after rehabilitation value of the home. The cost of the appraisal will be included in the loan/grant amount.

F. Title Report
Once eligibility has been confirmed after the Environmental Review has been approved, a title report will be obtained and the cost will be included in the loan/grant amount.

G. Household Selection
Owners selected for participation in the Program are those determined eligible -

City of Etna Housing Rehabilitation Assistance Program Guidelines upon completion of processes described in Sections 1.3.A through 1.3.F. The Program Operator will inform the loan committee before moving on to the Bid Solicitation. The Loan Committee has the option of denying moving the process forward. If the Loan Committee denies the process moving forward, a letter will be sent to the owner outlining the reasons for the denial. Those that are approved move on to the Bid Solicitation.

Bid Solicitation
The Program Operator is able to assist the owner with the bid solicitation process and will use Attachment K Contractor Invitation to Bid or similar.

The Program Operator with the assistance of the Owner will draw up Work Specifications and review that and the entire Invitation with the Owner for their approval.

The Program Operator on behalf of the Owner should attempt to receive three bids and should obtain two bids from qualified contractors through a competitive process. If there is only one responsive responsible bid, the Program Operator must follow Procurement Methods 2 CFR 200.320 to determine if a sole source bid is acceptable and document the solicitation process for the file, re-publish the bid or if necessary because of the cost of the project, receive approval from HCD as a sole source bid.

If the City has a contractor list, the owner will obtain bids from a list of eligible contractors procured by the City. Contractors will be encouraged to request placement on this list through an on-going outreach effort provided by the Program Operator. The Program Operator will mail Invitations to Bid (ITB) (Attachment K) to all eligible contractors on file.

If there is not a list of eligible contractors, the ITB can be published on local builder's exchanges, local newspapers, social media sites and/or City's website and flyers can be distributed in town. All bids shall conform to bid construction requirements of HUD and HCD including but not limited to MBE/WBE and Section 3 requirements. As part of the bid solicitation process a bid walk-through date and time are scheduled. Bid results will be provided to participating contractors. The Program Operator will conduct an analysis of all bids against the bid work write-up and review with the Owner. Unless there are extenuating circumstances, the lowest responsible responsive bid will be submitted with the application for review to the loan committee.

The Program Operator determines the eligibility of the contractor and subcontractor by verifying they have the appropriate licenses with the California State Contractors License Board, are bonded, insured, etc. and checking SAM.gov for debarred and exclusion status. Once determined eligible, the contractor is then notified of provisional award of bid pending loan approval.

Contractors must be licensed and bonded by the State of California Contractors

City of Etna Housing Rehabilitation Assistance Program Guidelines Licensing Board. Contractors must also provide Program Operator with evidence of Workers' Compensation Insurance and Comprehensive General Liability Insurance of at least $1,000,000 per occurrence as required prior to issuance of building permits.

Loan Request/Approval
A loan/grant request is prepared on behalf of the owner by the Program Operator (Attachment L). The request includes the cost of construction, preliminary title report, closing and recording costs, a contingency fund, and other Eligible Costs listed in Section 8.5. The Loan Committee will approve or deny the loan/grant. Section 1.4 provides additional information on the loan/grant approval process. Once approved, loan/grant documents (Attachment M) are executed, and the loan/grant is funded.

If the loan/grant is denied, the Program Operator will send an email and/or letter to the Owner stating the reason for the denial.

Pre-Construction Meeting
A pre-construction meeting (Attachment N) is scheduled with the owner, contractor, Program Operator and the City.

The Owner and responsible City Representative will sign the loan/grant agreement and associated documents.

The Program Operator reviews the Construction Contract (included as an attachment in Attachment K Contractor Invitation to Bid-Sample), including the Work Specification from the bid packet ,start date, pay schedule, and date of completion, with the owner and contractor. The construction contract is executed by the owner and contractor.

The Notice to Proceed Attachment K Contractor Invitation to Bid-Sample will be signed by the owner and contractor after the contractor obtains necessary permits and provides proof of insurance.

K. Construction
The owner agrees the housing unit will be available during reasonable hours to the contractor for the performance of rehabilitation work and to the Program Operator for construction monitoring.

The Program Operator monitors construction progress and performs field inspections on a regular basis in order to check the scope of work, inspect materials, and to confirm the job is on schedule and within budget.

The Program Operator reviews the work status with the owner and contractor in order to remedy any developing problems quickly and to ensure all parties are satisfied with the construction process. At the completion of each phase, the

City of Etna Housing Rehabilitation Assistance Program Guidelines Program Operator inspects the work, and the owner authorizes contractor payments.

The Program Operator will refer back to the work specifications in the Invitation to Bid to verify the work is completed as contracted.

The Owner-Contractor Construction Contract is included as an attachment in Attachment K Contractor Invitation to Bid-Sample.

L.

Written change orders are required when the owner or contractor requests any changes outside of the Work Specification that become part of the Owner/Contractor Contract. The change order must be signed by the contractor and owner and submitted to the Program Operator. The change order will state the change and dollar value for the change. If the change order exceeds the approved financing, the owner will be asked to provide additional funds or a report and request for additional funds may be presented to the Loan Committee for approval. See Owner-Contractor Construction Contract included as an attachment in Attachment K Contractor Invitation to Bid-Sample.

M. Progress Payments
Ninety percent of the contract amount is distributed to the contractor in the form of progress payments during construction if the timeline and project amount warrants it. The final ten-percent of the contract amount is set aside as a retainer and released with the final payment. The contractor requests a progress payment from the owner and notifies the Program Operator of what they have done so far. Upon favorable inspection by the owner, Program Operator will approve the payment authorization signed by the owner and submit for payment to the City. See Owner-Contractor Construction Contract included as an attachment in Attachment K Contractor Invitation to Bid- Sample.

N. Final Inspections/Notice of Completion/Final Payment When the project is completed, the Program Operator and Owner inspects the work item by item and will complete the Final Inspection Report (Attachment O). The local building department performs the final inspection if necessary. Any corrections or deficiencies are noted and corrected by the contractor during the final inspection or is given a copy of the Final Inspection Report. Upon favorable final inspections, final payment and ten-percent retainer and liens are released.

A Notice of Completion (Attachment P) is then prepared, signed by the owner, and recorded. If there are no liens, a Notice of Acceptance (Attachment Q) can be signed by the owner and Program Operator.

1.4. Loan Process
The City's Loan Committee must approve all loans and grants. The Loan Committee may approve assistance with financing exceeding 100 percent of after-rehabilitation value as needed in cases where no other financial resources are available to cover the

City of Etna Housing Rehabilitation Assistance Program Guidelines cost of the improvements and where clear and convincing documentation exists, justifying why the exception is needed to ensure the house is constructed to a safe and sanitary condition. If necessary the Loan Committee can award the funds above 100% appraised value as a grant.

In order to obtain financing, owners must meet all property and eligibility guidelines in effect at the time the application is considered. Owners are provided with a written notification of approval or denial. If the loan is denied, the owner is mailed a denial letter stating the reason for the denial. The applicant may apply again if funding is available and the reason for the denial has been alleviated.

2.0. APPLICANT ELIGIBILITY

2.1. Applicants
The Program allows for owner-occupied and owner-investors who have income qualified tenant(s) occupied housing units) to participate. Qualification of owners is determined by the Program Operator according to the following guidelines:

A. Owner-Occupant
To be eligible, the applicant must be the owner and occupant of the housing unit to be rehabilitated. The owner must certify the property is not being offered for sale and is their primary residence. A copy of a recent property tax and homeowner's insurance will be used to verify proof of occupancy. Housing and debt ratios are considered, and a credit report is required, since the funding provided may create an additional monthly financial obligation. If an owner- occupant has a mortgage, all payments must be current with no late payments received in the past twelve months.

B. Owner-Investor
To be eligible, the applicant must be the owner of the housing unit to be rehabilitated. The owner must certify the property is not being offered for sale.

If there is a mortgage on the housing unit, all mortgage payments must be current with no late payments received in the past twelve months. A copy of a recent property tax and homeowner's insurance are needed. Housing and debt ratios are considered, and a credit report is required, since the funding provided may create an additional monthly financial obligation.

2.2. Income Limits
The household members must certify that they meet the household income eligibility requirements for the applicable Program and have their household income documented. The income limits in place at the time of loan approval will apply when determining the household's income eligibility. The entire household income must be at or below 80% of Siskiyou County's area median income (AMI) as published by HCD each year.

A. Owner-Occupied Requirements
To be eligible, the household income must be equal to or less than the applicable HCD income limits based on US Department of Housing and Urban

City of Etna Housing Rehabilitation Assistance Program Guidelines Development's (HUD) annual State CDBG Income Limits.

Owner-Investor Requirements
There are no restrictions on the income of the owner-investor. The tenant's household must qualify.

C. Tenant Requirements
If a rental is currently occupied, the tenant's household must income qualify. If the unit is vacant, future tenants will have to income qualify. Tenants will be required to cooperate by providing income and asset documentation.

Household income must be equal to or less than the applicable HCD income limits based on HUD's annual State CDBG Income Limits.

2.3. Income Qualification Criteria
Projected annual gross income of the household will be used to determine whether the household is above or below the published HCD income limits. Income qualification criteria, as shown in the most recent HCD program-specific guidance, will be followed to independently determine and certify the household's annual gross income. All documentation will be dated within one year prior to loan closing, kept in the applicant file, and held in strict confidence.

Annual Income: The gross amount of income of all adult household members that is anticipated to be received during the coming 12-month period as determined using "Part 5 Income Inclusions and Exclusions" and "Part 5 Asset Inclusions and Exclusions" (24 CFG 5.609(b) and (c)).

Household: means one or more persons who will occupy a housing unit. Current pregnancy counts in family size determination.

3.0. PROPERTY ELIGIBILITY

3.1. Location
All projects must be located within the City limits.

3.2. Conditions
A. The housing unit must currently be occupied by an income qualified household and meet the eligibility standards outlined in these guidelines.

B. To prevent owner-investors from evicting ineligible tenants before applying to a CDBG-funded Program, the owner must certify no tenant has been forced to move without cause during the previous six months. Current lease agreement must be submitted with application.

C. The property must contain a legal residential structure intended for continued primary residential occupancy.

City of Etna Housing Rehabilitation Assistance Program Guidelines D. Housing units eligible for rehabilitation include single-family homes, multi-family units with no more than four units and mobile/manufactured homes, if placed on a foundation.

E. Loan cannot exceed $5,000, if a mobile or manufactured home is located in a mobile home park or the owner-occupant does not own the land. Owner- investors are not eligible for these improvements.

F. In the case of a 2 to 4-unit property in which the one occupant (which may or may not be the owner) is income eligible, but the other tenants are not, the rehabilitation shall be limited to those that benefit the overall structure (root, exterior changes) and the interior changes for the income eligible household only.

G. Property taxes must be paid and current.

H. Homeowner's insurance must be paid and current.
l. Property owner must be on be on property's title.

J. All repair work will meet Local Building Code standards. At a minimum, health and safety hazards must be eliminated. The priority is to eliminate health and safety hazards. The elimination of any code deficiencies may be required. However, if certain components of the house are sound and were built to code prescribed at the time of installation, no repair or alteration need be made to those components. Section 8 Housing Quality Standards may be required on rentals when CDBG funds are used.

K. A property may be rejected if the required scope of work exceeds available Program funding, the rehabilitation is determined to be economically infeasible, the home cannot be replaced within Program requirements or other challenges in performing rehabilitation services.

3.3. Anti-Displacement Policy and Relocation Assistance Tenants will be informed of their eligibility for temporary relocation benefits if occupancy during rehabilitation constitutes a danger to health and safety of occupants or public danger or is otherwise undesirable because of the nature of the project. Relocated tenants are eligible to receive payment for increased housing costs, payment for moving and related expenses and appropriate advisory services, as detailed in the City 's "Residential Anti-Displacement and Relocation Assistance Plan" (Attachment D). Temporary relocation benefits will be provided by the owner of the housing unit.

Owner-occupants are encouraged to find temporary housing as they are voluntarily participating in the program. Owner-occupants are eligible for temporary relocation benefits as detailed in Attachment D.

4.0. LOAN COMMITTEE

4.1. Composition

City of Etna Housing Rehabilitation Assistance Program Guidelines Members of the Loan Committee shall be the City Clerk, City Treasurer or other City Council member and two City residents or one City resident and a City Administrator.

No members shall have an outstanding loan and cannot apply for a loan. There will be a minimum of 3 loan committee members and a maximum of 5 members. An odd number of members should be maintained. The City Clerk shall appoint the loan committee members.

4.2. Purpose and Meetings
The Loan Committee shall meet as needed and perform the following functions:

A. Approve or deny CDBG housing rehabilitation loan applications with direction from the Program Operator based on these guidelines.

B. Provide recommendation to staff for past due loan payment actions.

C. Approve or deny an application for a loan modification or other loan adjustments due to hardship.

D. Act as liaison and arbitrator in the event of a dispute between any of the parties:
city, housing rehabilitation staff, property owner, contractors, etc.

E. The activities of the loan committee are strictly confidential. However, outcomes of Loan Committee meetings shall be kept.

5.0. LOAN CONDITIONS AND TERMS
In order to obtain financing the owners must meet all income, property and eligibility guidelines required by the Program that are in effect at the time of loan approval.

5.1. Maximum Amount of Program Assistance
Eligible owners may qualify for the full cost of rehabilitation/reconstruction work needed to comply with state and local codes and ordinances. The maximum loan amount for rehabilitation/reconstruction will not exceed eighty percent (80%) of the loan to after rehabilitation value of the home. If the loan is over 80% of loan to the estimated after rehabilitation value of the home, reconstruction may be an option if funding is available. Loan amounts exceeding the after rehabilitation value of the home may be authorized in extenuating circumstances as funds are available or as grants.

If a project is above the maximum amount of assistance the owner may finance the remaining amount of the proect costs with personal fhancing and or other loan or

5.2. General Lending Criteria and Procedures
General underwriting criteria will be used to evaluate the owners for financial assistance, which include:

City of Etna Housing Rehabilitation Assistance Program Guidelines A. The ability and willingness of an owner to repay a loan, as well as all existing liabilities, as evidenced by income, credit history, necessary monthly expenses, and stability of income sources.

B. The economic feasibility of rehabilitation, such that a reasonable expenditure of funds enables the correction of all major health and/or safety related items and an adequate amount of collateral is provided for the loan.

5.3. Qualifying Ratios
A. Loan
The front-end ratio shall be less than 40% and is the percentage of an owner's gross monthly income (before deductions) that would cover the cost of PITI (loan principal and interest payment + property taxes + property insurance).

The back-end ratio shall be less than 50% and is the percentage of an owner's gross monthly income (before deductions) that would cover the cost of PITI plus any other monthly debt payments like car or personal loans and credit card debt.

Loan and Grant
Qualifying ratios are only a rough guideline in determining an owner's credit- worthiness. Many factors such as credit history and loan amounts will influence the decision to approve or disapprove a particular loan or grant. The owner's credit history will be reviewed by the Program Operator and documentation will be maintained in the project file.

5.5. Loan Rates and Terms
A. Owner-Occupants
Determining Eligibility
If an owner-occupant is determined to be eligible and meets Qualifying Ratios in

5.3, the rate and term of the loan are based on the owner-occupant's household members annual income and age.

1. 65 Years Old & Older and/or Disabled and 30% and Below Area Median Income
Owner-occupants where all members of the household are 65 years old and older and/or disabled, and the household's annual household income is 30% AMI and under will be eligible for a forgivable loan. No payments are made against the loan for 5 years if Residency Requirements are met.

No repayment of the loan funds will be made by the owner-occupant if all Residency Requirements are met at the end of the 5th year. When all terms of the contract have been met after the five years, the Deed of Trust and Note will be satisfied.

Forgivable Loan
Percent of Original Grant Amount End of Year Percent Still Owed

20.0% 1 80.0%

40.0% 2 60.0%

City of Etna Housing Rehabilitation Assistance Program Guidelines

60.0% 3 40.0%

80.0% 4 20.0%
100.0% 5 0.0%

2. 30% and Below Area Median Income
Owner Occupants who are under 65 years old and the household's annual household income is 30% AMI and under are eligible for a loan of one percent (1%) for thirty (30) years. Loans will be secured by a promissory note and deed of trust.

3. 31%-80% Area Median Income
Owner Occupants who are any age and the household's annual household income is 31-80% AMI are eligible for a loan of 3 percent (3%) for thirty (30) years. Loans will be secured by a promissory note and deed of trust.

Mobile & Manufactured Home-Owners in Mobile Home Park
Owner Occupants who are any age and the household's annual household income is 80% AMI or below and meet the Qualifying ratios are eligible for a forgivable loan that cannot exceed $5,000. No payments are made against the loan for 5 years if Residency Requirements are met. No repayment of the loan funds will be made by the owner-occupant if all Residency Requirements are met at the end of the 5th year. When all terms of the contract have been met after the five years, the Deed of Trust and Note will be satisfied.

Forgivable Loan
Percent of Original Grant Amount End of Year Percent Still Owed

20.0% 1 80.0%

40.0% 2 60.0%

60.0% 3 40.0%

80.0% 4 20.0%
100.0% 0.0%
A. Owner-Investors
Determining Eligibility
If an owner-investor is determined to be eligible and meets Qualifying Ratios in 5.3, they may receive a loan. Eligibility is also based on tenant's income qualification and the Owner-investor signing a Rent Limitation Agreement.

2. Loans
Qualifying owner-investors are eligible for a five percent (5%) interest rate loan for thirty (30) years. Loans will be secured by a promissory note and deed of trust.

5.6. Agreements
A grant or loan agreement is required for all CDBG grant or loan assisted units. This agreement is secured by a deed of trust and promissory note and contains a five year period of affordability, which is the time period the owner will not transfer title or

City of Etna Housing Rehabilitation Assistance Program Guidelines discontinue use as an income-limited residence in the housing unit. The agreement shall be in place for the duration of the loan or grant. If the owner fails to meet the affordability period, the grant or loan is due and payable. The agreement is subject to the applicable guidelines that are in effect at the time of the agreement's execution.

A sample of the loan agreements and associated loan documents is located in Attachment M Owner-Occupant Loan Documents-Sample.

A. Loan Agreement
Owner-Occupant and Owner-Investors are required to sign a grant or loan agreement, which is kept on file. The agreement outlines the terms of the loan or grant which include maintenance and occupancy requirements of the property.

The Owner-Occupant and Owner-Investors shall maintain the housing unit at post rehabilitation conditions, excluding normal wear and tear, for the life of the loan or grant.

B. Rent Limitation Agreement (RLA)
An owner-investor who elects to rehabilitate a rental unit must sign a Rent Limitation Agreement (RLA), which is recorded and kept on file. Adherence to the RLA will be for five years of the loan from the date of Notice of Completion.

This agreement shall specify:

1. In no instance shall rents exceed the U.S. Department of Housing and Urban Development (HUD) Fair Market Rent (FMR) schedule while the RLA is in effect.

Base Rent - Vacant Unit
If the house is vacant, rent charges shall not exceed thirty percent of the eighty percent of the City's area median income for the appropriate household size in that unit. Owner-investors shall affirmatively seek low mod households. Where such contact does not result in eligible low mod tenants, the owner-investor shall contact the Program Operator for guidance.

Base Rent - Occupied Unit
If the house is occupied, rent charges shall not exceed thirty percent of the existing tenants' household income; or, where, before rehabilitation, rents already exceed thirty percent of the existing tenants' income, no rent increases shall be allowed which provide for rents plus utilities over thirty percent of the tenants' income.

In every case of a proposed rent increase, the tenants affected by such increase shall receive written notice of the amount of increase at least sixty days prior to the proposed date of increase.

City of Etna Housing Rehabilitation Assistance Program Guidelines

4. Income Certification - Annual recertification of tenant's income and rents paid to the owner-investor. Owner-occupants do not income recertify.

5. Compliance - Failure to comply with these terms and conditions will result in the loan becoming due and payable. The Lender will work with investors to bring the loan into compliance, in order avoid default whenever possible.

C. Closing Disclosure Statement
A statement of final loan/grant terms and closing costs signed and kept on file in a secure fire-proof location.

D. Rescission Notice
The right to rescind the loan/grant within 3 days of loan execution. Signed and kept on file.

5.7. Loan Security
A. Loan security for all housing units will be secured by the real property and will include a Deed of Trust, Promissory Note and Loan Agreement in favor of the City.

B. A manufactured home in a mobile home park or on leased land that is not on a permanent foundation will be secured by an HCD 480.7 or an HCD 484 Statement of Lien and Security Agreement and will also include a Promissory Note and Loan Agreement in favor of the City.

C. All owners listed on the benefiting property title are required to sign the Deed of Trust, Promissory Note, Loan Agreement and other related loan documents, whether or not they reside on the property.

D. The Loan Committee has discretion to determine whether to offer a subordinate loan.

5.8. Insurance
A. Standard Property Insurance
Owner must maintain property insurance coverage for the duration of the loan period naming the City as loss payee for the amount of the loan, unless the loan is a second mortgage, in which case the Lender should be listed as additional insured. If owner fails to maintain the necessary insurance, the City will notify the owner in writing. If this occurs, the City may take out forced place insurance to cover the property while the owner puts a new insurance policy in place. All costs for installing the necessary insurance will be added to the loan balance at time of installation of owner's new insurance.

B. Fire Insurance
The owner will maintain fire insurance on the property for the duration of the loan. This insurance must be in an amount adequate to cover all encumbrances

City of Etna Housing Rehabilitation Assistance Program Guidelines on the title. The insurer must identify the City as mortgagee, loss payee or additional insured.

In the event the owner fails to make the fire insurance premium payments in a timely fashion, the Program Operator may make such payments for a period not to exceed 60 days. The Program Operator may, in its discretion and upon the showing of special circumstances, make such premium payments for a longer period of time. Should the Program Operator make any payments, it may add such payments to the principal amount that the owner is obligated to repay the City.

C. Flood Insurance
When a housing unit is located in a 100-year flood zone, the owner will maintain flood insurance on the property for the duration of the loan. This insurance must be in an amount adequate to cover all encumbrances on the title. The insurer must identify the City as mortgagee, loss payee or additional insured.

In the event the owner fails to make the flood insurance premium payments in a timely fashion, the Program Operator may make such payments for a period not to exceed 60 days. The Program Operator may, in its discretion and upon the showing of special circumstances, make such premium payments for a longer period of time. Should the Program Operator make any payments, it may add such payments to the principal amount that the owner is obligated to repay the City.

5.9. Property Taxes
The owner will maintain current property taxes for the duration of the loan. In the event the owner fails to make property tax payments, the City may make such payments plus any penalties. All property tax payments made by the City shall come out of the City's general fund and will be repaid to the general fund upon repayment.

CDBG funds cannot pay property taxes.

5.10. Terms
Failure to comply with the above terms, conditions, and agreements will result in the loan and/or grant becoming due and payable and, if necessary, foreclosure proceedings will be instituted per Attachment G Foreclosure Policy.

6.0. RESIDENCY REQUIREMENTS

6.1. Owner-Occupied
A. Continued residency is monitored annually by the Program Operator, for the term of the loan/grant. Occupancy is verified by either of the following:

1. The owner-occupant having a utility account with the City that includes metered water; or

2. Statement of unit's continued use as primary residence with proof of occupancy attached in the form of a copy of a current utility bill.

Proof that property insurance and taxes are paid and current.

City of Etna Housing Rehabilitation Assistance Program Guidelines In the event the owner sells, transfers title, or discontinues residence in the rehabilitated housing unit for any reason, the loan becomes due and payable, unless the following conditions are met:

Following the death of the owner, an heir who resides in the rehabilitated housing unit and is income eligible may be permitted, upon approval of the Loan Committee, to assume the loan, at the rate and terms the heir qualifies for under the current Program Guidelines. The heir must hold title before assuming the loan.

Following the death of the owner, an heir who does not reside in the rehabilitated housing unit and does not wish to reside in the unit, the balance of the loan is due and payable.

Following the death of the owner and the heir is not income eligible, the heir may not be permitted to assume the loan, the balance of the loan is due and payable.

Following the death of the owner, the heir may elect to convert the home to an owner-investor property. The heir may be permitted, upon approval, to refinance the loan at the same rate and terms offered to owner- investors under current Program Guidelines. The heir must hold title before the loan can be refinanced. If the heir does not elect to comply with owner-investor guidelines, the loan is due and payable.

C. If the owner-occupant converts the housing unit to a rental unit, the loan is due and payable. If the tenant is income eligible, the loan may be refinanced based on owner-investor guidelines.

D. If the owner converts the housing unit to any commercial or non-residential use, the loan is due and payable.

E. Forgivable Loan
There is a 5-year owner occupied requirement after the occupancy permit, is issued, Notice of Completion is filed or Notice of Acceptance is executed.

When all terms of the contract have been met after the five years, the Deed of Trust and Note will be satisfied.

If the Owner Occupant status changes per 6.1.B, only an heir apparent of the Owner Occupant as described in 6.1.B.1 can assume the home and the grant within the 5-year timeframe for the remainder of the 5 year term. All other transfers of title, ownership or occupancy as described in 6.1.B Owner Occupant will necessitate the grant will be reimbursed based on the following and is due and payable to the City:

Percent of Original Grant Amount End of Year Percent Still Owed

20.0% 1 80.0%

40.0% 2 60.0%

60.0% 3 40.0%

80.0% 4 20.0%

City of Etna Housing Rehabilitation Assistance Program Guidelines 100.0% 5 0.0%

6.2. Owner-Investor
A. Continued income qualified tenant residency is monitored by the City for the five- year term of the Rent Limitation Agreement.

B. Upon change of occupancy in tenants, in order to recertify the Rental Limitation Agreement, owner-investors must submit the following:

3. A written list of the new current occupants' name and monthly rents; and

4. Proof of tenant's income.

C. In the event the owner sells or transfers title of the rental unit for any reason, the loan is due and payable.

D. Owner-investors may convert a rental unit to their personal residence if all these conditions exist:

1. Proof is provided that the previous tenant was not evicted without cause.

2. The owners are income eligible.

3. The owners have received approval from the Loan Committee.

E. In the event the owner converts the rental unit to their personal residence, but is not income eligible, the loan is due and payable.

F. In the event the owner wants to convert the rental unit to any commercial or non-residential use, the loan is due and payable.

7.0. LOAN SERVICING AND MAINTENANCE

7.1. Payments
Owners are required to make monthly payments as specified in the Promissory Note, Deed of Trust and Loan Agreement.

7.2. Receiving Loan Repayments
A. Program loan payments will be made to:

City of Etna
PO Box 460
442 Main Street
Etna, CA 96027
B. The City is the receiver of loan payments or recaptured funds and maintains a financial record-keeping system to record payments and file statements on payment status. Payments are deposited and accounted for in the City's appropriate Program Income Accounts. The City will accept loan payments from owners prepaying deferred loans, from owners making payments in full upon sale or transfer of the property, and from owners making regular payments on an amortized loan. All loan payments are payable to the City of Etna. The City may at its discretion, enter into an agreement with a third party to collect and

City of Etna Housing Rehabilitation Assistance Program Guidelines distribute payments and/or complete all loan servicing aspects of the Program.

7.3. Loan Servicing Policies and Procedures
See Attachment F for the City's Loan Servicing Policies and Procedures. The attached policy outlines a system that can accommodate a crisis where circumstances beyond an owner's control may temporarily limit repayment ability. In cases of death of a family member, loss of job, divorce or major illness, the loan terms may be modified.

Program loans are to be repaid and the City is willing to pursue all legal means necessary to ensure the repayment of a delinquent loan.

7.4. Loan Monitoring Procedures
Owners are required to submit to the Program Operator annually for the term of the loan the following items:

A. Proof of occupancy in the form of a copy of a current utility bill.

Statement of unit's continued use as a residence.

C. Verification of current required insurance policies.

D. Verification property taxes are current.

E. Proof of income of rental occupants.

F. Owner-investor to certify and attest to Fair Market Value rents.

G. The City of Etna will verify with the County of Siskiyou that property taxes are current.

7.5. Default and Foreclosure
If an owner defaults on a loan, and foreclosure procedures are instituted, they will be carried out according to the City's Foreclosure Policy and attached to these guidelines as Attachment G.

7.6. Subordinations
Loans will not be subordinated.

8.0. CONSTRUCTION

8.1. Standards
All rehabilitation will meet Local Building Code standards. At a minimum, health and safety hazards must be eliminated. The priority will be the elimination of health and safety hazards. The Program Operator may also require elimination of code deficiencies. Section 8 Housing Quality Standards may be required on rental units.

However, if certain components of the housing unit are sound and were built to code prescribed at the time of installation, no repair or alteration will be made to those components.

If a home is deemed that the rehabilitation will be economically unfeasible, cannot be brought up to code or cannot meet HUD's Lead Based Paint standards with the funding available the Program Operator and/or Loan Committee has the right to deny

City of Etna Housing Rehabilitation Assistance Program Guidelines the home for rehabilitation services. The homeowner shall receive a written notification as to why the home is not eligible.

8.2 Contracting Process
Contracting will be done on a competitive basis conducted by the owner with assistance from the Program Operator. The lowest responsible responsive bidder will receive the award. The owner is the responsible agent for the construction contract being between the owner and the contractor.

The City does not warrant any construction work or provide insurance coverage.

A. Approved Contractors

1. Contractors and subcontractors are required to be actively licensed with the State of California and in good standing with the Contractors' License Board.

2. Contractors and subcontractors will be checked against HUD's federally debarred list of contractors. No award will be granted to a contractor on this list.

3. Contractors and subcontractors must have general liability insurance, and worker's compensation, unemployment and disability insurance, to the extent required by State law.

4. Contractors and subcontractors must comply with all federal and state regulations.

5. A Notice of Completion will be recorded with the Siskiyou County Recorder after final building inspection by the city's building inspector or Program Operator if permits were not necessary.

8.3 Lead Based Paint
Occupants of units constructed prior to 1978 will receive Protect Your Family from Lead in Your Home (https://www.epa.gov/lead/protect-your-family-lead-your-home-english) and the certification Appendix E-4: Sample Verification of Received Lead-Based Paint Pamphlet (DOCX) will be signed by the Occupants and/Owner for their file and for the City's file. All occupants in which construction will be performed will receive The Lead-Safe Certified Guide to Renovate Right (https://www.epa.gov/lead/renovate-right).

Safe work practices must be adhered to so that occupants and workers can be protected from lead hazards. At no time should the occupant(s) be present in work areas or designated adjacent areas while Lead Based Paint Hazard Control activities are taking place in any dwelling unit interior, common area, or exterior. Temporary relocation benefits may be available. See Attachment D.

Refer to the latest Lead-Based Paint Requirements for guidance in the CDBG Grant Management Manual.

Units constructed prior to 1978 that are required to be inspected and paint tests result in a negative finding of lead-based paint are exempt from any and all additional

City of Etna Housing Rehabilitation Assistance Program Guidelines requirements. If defective paint surfaces are found through testing or through a presumed hazard assessment, the surfaces will be properly treated or abated according to the latest HUD/EPA guidelines. A State-certified Inspector/Assessor will perform all paint testing, risk assessments, and clearances A trained supervisor may oversee interim controls; however, a certified supervisor and workers will perform all abatement.

8.4. Eligible Projects
The goal of the Lender's rehabilitation program is to remove deficiencies, improve energy efficiency, remediate lead-based paint, extend the useful life of the property, provide accessibility to comply with the Americans with Disabilities Act (ADA). All improvements must be physically attached to the property and permanent in nature.

Luxury items are not permitted. If building materials that are normally considered "luxury items" are necessary due to a medical condition of a household member or for reasons of accessibility, the Lender may approve the use of such materials.

Examples of non-eligible improvements include replacement of personal property, swimming pools, patios and patio covers, room additions that are for leisure, landscaping upgrades, hot-tubs, custom cabinets, and high-end appliances.

A. Rehabilitation
Rehabilitation will address the following issues in the order listed. Eligible costs are included for each item.

1. Health and Safety Issues
Eligible costs include, but are not limited to, energy-related improvements, lead-based paint hazard evaluation and reduction activities, improvements for handicapped accessibility, repair or replacement of major housing systems. A driveway may be considered part of rehabilitation if it is determined to be a health and safety issue.

2. Code and Regulation Compliance
Eligible costs include, but are not limited to, additional work required to rehabilitate and modernize a housing unit and bring it into compliance with current building codes and regulations. Painting and weatherization are included.

3. Demolition
Eligible costs include, but are not limited to, the tear down and disposal of a dilapidated housing unit when it is a part of reconstruction. If a garage or carport is detached, it may not be rehabilitated but may be demolished if it is determined to be a health and safety issue or code violation.

4. Upgrades/Room Additions
Eligible costs include adding bedrooms and bathrooms if the need can be demonstrated per HUD's overcrowding guidelines listed in Attachment B Standards for Bedroom and Bathroom Additions to Alleviate Overcrowding. The Program will not fund additions to a home for a den or

City of Etna Housing Rehabilitation Assistance Program Guidelines family room, or for any luxury items.

5. General Property Improvements
Eligible costs include, but are not limited to, installation of an EPA woodstove, energy efficient appliances.

All improvements must be physically attached to the housing unit and permanent in nature. Non-code property improvements, such as but not limited to exterior paint or fence repairs or replacement will be limited to 15 percent of the loan amount. Any cash contribution by the owner is considered a general property improvement and included in this percentage.

Luxury items are not permitted and may include but are not limited to hardwood floors, hot tubs, whirlpool baths, steam showers, or fireplaces.

6. Appliances
Items such as refrigerators, cook stoves, dishwashers, washing machines, and dryers that are not built-in may be replaced due only to incipient failure or documented medical condition of the owner. Washers, Dryers, and Dishwashers are common appliances in the City's affordable housing stock and therefore allowable. All appliances will meet or exceed Energy Star standards with the exception of dryers which will have Minimum 7.0 cubic feet capacity: shortens dry time by allowing air flow; Sensor Dry system:
measures moisture in drum then automatically adjusts drying time; Five Temperature Levels: high, medium high, medium low, low, and ultra low.

Appliances will be subject to deed restrictions in that all appliances purchased with Program funds will remain with the home. (CDBG Grants Management Manual Appendix E: Housing Rehabilitation Section 1.3 September 2023)
Rehabilitation Standards
All repair work related to health and safety conditions will meet Local Building Code standards. The priority will be the elimination of health and safety hazards and code compliance.

B. Reconstruction
Rehabilitation includes reconstruction. Reconstruction is defined as the demolition and construction of a housing unit on the same lot in substantially the same manor.

The Program Operator must document that the reconstruction costs are less than the cost to rehabilitate the existing substandard housing and the estimated cost of the reconstructed housing (including demolition, site preparation and temporary relocation) should be less than the fair market value of the reconstructed housing and land combined.

The housing unit to be reconstructed must contain cooking, eating, sleeping, and sanitation facilities; and has been legally occupied as a residence within the preceding 12 months. Fifth wheels or recreational vehicles, for example, are not considered housing units and therefore are not eligible.

City of Etna Housing Rehabilitation Assistance Program Guidelines One-for-one replacements require that the housing unit to be demolished must be replaced with a similar unit (replace manufactured housing with manufactured housing, for example). Additions may be approved by the Program Operator when required by codes/ordinances or to alleviate overcrowding (Attachment B).

8.5. Eligible Costs
Costs are based on charges incurred by the City, or its Program Operator, for these products and/or services.

Allowable loan/grant costs include but not necessarily limited to:

A. Construction costs related to the rehabilitation or reconstruction.

B. Building permits, and other related government fees.

C. Architectural, engineering, and other consultant services, which are directly related to the rehabilitation of the housing unit.

D. Rehabilitation or replacement of a manufactured home not on a permanent foundation. Rehabilitation of a manufactured home may include the replacement of the unit with a used manufactured home and the cost to repair it, as long as the unit has been occupied and not used as a demonstration model and meets current HCD manufactured home code. Should the unit meet the criteria for reconstruction a new manufactured home can be used for replacement and all costs associated with the purchase and transportation can be added to the loan. The replaced manufactured home must be placed on a permanent foundation per HUD Permanent Foundations Guide for Manufactured Housing when on a single family residential lot (HUD Notice CPD 2023-10).

Disposal Bin
F. Rehabilitation activity delivery fees, pursuant to Section 7733(f), as reimbursement to the Program Operator for the actual costs of services rendered to the owner that are incidentally but directly related to the rehabilitation work (e.g. planning, engineering, construction management, including inspections and work write-ups). Project costs for all expenses related to the paperwork for processing and insuring a loan application include but not limited to:

1. Appraisal

2. Property Report/Title Insurance

3. Building Plan

4. Termite Report

5. Lead Paint Testing
Land Survey

7. Grading Plan

8. Escrow and Recording Fees
Fire/Course of Construction Insurance

10. Flood Insurance

City of Etna Housing Rehabilitation Assistance Program Guidelines

11. Storage

8.6. Repair Callbacks
Contractors will comply with State law regarding all labor and material warranties. All labor and material will meet FHA minimum specifications.

8.7. Sweat Equity
The owner may participate in Sweat Equity provided they have the expertise, capacity and commitment. The owner will need permission from the Program Operator and general contractor. A list of work with a timeline will be presented to the Program Operator and general contractor for final approval. The owner's labor must not interfere, interrupt or damage work performed by the contractor. Owners wishing to participate must have recent experience in each phase of the component of work.

References may be requested.

Owners that contribute sweat equity that involves painting will not participate in activities that include the abatement or mitigation of lead paint.

The Owner's labor is not an eligible cost. The cost of the material may be reimbursed by the loan/grant.

9.0. EXCEPTIONS AND SPECIAL CIRCUMSTANCES

9.1. Amendments
The City may make amendments to these Program Guidelines. Any changes made will be in accordance with federal and state regulations, will be recommended by the City's Loan Committee and approved by the City Council.

9.2. Exceptions
Any case to which a standard policy or procedure, as stated in the guidelines, does not apply or an owner treated differently would be an exception.

The City or its Program Operator may initiate consideration of an exception and prepare a report. This report will contain a narrative, including the City's/Program Operator's recommended course of action and any written or verbal information supplied by the owner.

The Loan Committee will make a determination of the exception based on the recommendation of the Program Operator and report.

10.0. DISPUTE RESOLUTION AND APPEALS PROCEDURES

10.1. Program Complaint and Appeal Procedure
Complaints concerning the City's Program should be made to the Program Operator first. If unresolved in this manner, the claimant may submit a written appeal to the Loan Committee. The written appeal should provide details of the problem, and the actions desired by the claimant to resolve the issues.

City of Etna Housing Rehabilitation Assistance Program Guidelines A. Appeals Board

1. Purpose
The function of the Appeals Board is to review and act on complaints or appeals. The Appeals Board may recommend reconsideration be given to the claimant by the Program Operator.

2. Composition
The Appeals Board will be the Loan Committee.

3. Meetings and Action
The Appeals Board members will meet and act on appeals as needed. A quorum will exist and all minutes will be recorded. A quorum is a simple majority of the full Loan Committee. Action of the Appeals Board will be by majority vote.

10.2. Grievances between Participants and Construction Contractor Construction contracts signed by the contractor and owner shall include the following, which provides a procedure for resolution of grievances:

In the event of a dispute between the Owner and Contractor, the Subrecipient shall make every effort to resolve the dispute with the assistance of the building inspector when available. In the event a satisfactory solution is not reached, either party may appeal to the appeals board.

APPEALS BOARD: If a dispute arising under this Contract cannot be resolved by the Subrecipient, either the Owner or the Contractor may submit a written appeal to the Subrecipient requesting review by the Loan Committee, which serves as the Appeals Board. The written appeal shall describe the nature of the dispute and the relief requested.

Upon receipt of the written appeal, the Subrecipient shall schedule the matter for review by the Loan Committee. The Appeals Board shall meet within thirty-one (31) days of receiving the written appeal, unless otherwise agreed to by the parties. The hearing may be attended by the Owner, the Contractor, members of the Appeals Board, the Subrecipient's representative, the City Inspector, and any other individual the Appeals Board determines is necessary to assist in resolving the dispute.

The Appeals Board may affirm the Subrecipient's decision, recommend reconsideration by the Subrecipient, or recommend another resolution of the dispute.

If the dispute remains unresolved following the Appeals Board's review, either party may submit the controversy to binding arbitration as provided below.

ARBITRATION: Any controversy arising out of or relating to this Contract, or the breach thereof that cannot be resolved by the Appeals Board, shall be submitted to binding arbitration in accordance with the provisions of the California Arbitration Law, Code of Civil Procedure 1280 et seq., and the Rules of the American Arbitration Association. The arbitrator shall have the final authority to order work performed, to order the payment from one party to another, and to order who shall bear the costs of arbitration. Costs to initiate arbitration shall be paid by the party seeking

City of Etna Housing Rehabilitation Assistance Program Guidelines arbitration. Notwithstanding, the party prevailing in any arbitration proceeding shall be entitled to recover from the other all attorney's fees and costs of arbitration

11.0. ATTACHMENTS
The following documents are attached and form a part of these guidelines. Updates will be provided when available and are made part of these guidelines:

City of Etna Housing Rehabilitation Assistance Program Guidelines ATTACHMENT A: 24 CR PART 5 ANNUAL INCOME INCLUSIONS AND EXCLUSIONS-SUMMARY For the purposes of determining eligibility in accordance with HCD income guidelines, the Lender will defer to the full HUD Section 8 Definition of Annual Income at 24 CFR 5.609 (https://www.hudexchange.info/resource/5180/part-5-section-8-income-inclusions-and- exclusions/)
Annual Income does include but is not limited to, for all members of the household 18 years and older:
• Gross wages and salary before deductions.

Net money income from self-employment.

Cash income received from such sources as rental units, Social Security benefits, pensions, and periodic income from insurance policy annuities.
• Periodic cash benefits from public assistance and other compensation, including Aid to Families with Dependent Children (AFDC), Supplemental Security Income (SSl), Worker's Compensation, State Disability Insurance and Unemployment benefits. • Interest earned on savings and investments.

Annual Income does not include:
• Non-cash income such as food stamps or vouchers received for the purpose of food or housing
• Capital gains or losses.
• One-time unearned income such as scholarship and fellowship grants; accident, health or casualty insurance proceeds; prizes or gifts; inheritances. • Payments designated specifically for medical or other costs, foster children, or their non- disposable income.
• Income from employment of children under the age of 18. • Payment for the care of foster children.

The City/Program Operator will consult with HCD in situations where the classification of income is not clear-cut.

The City shall use the Income Limits published each year by HUD and HCD. The maximum annual income for an eligible household shall be 80 percent of the area median income of Siskiyou County for the household size.

City of Etna Housing Rehabilitation Assistance Program Guidelines

CITY OF ETNA
ATTACHMENT B: STANDARDS FOR BEDROOM AND BATHROOM ADDITIONS TO ALLEVIATE

OVERCROWDING
If extra bedrooms are needed, this attachment will be referenced to how many are allowable.

Maximum No. Number of Number of
of Persons in the
Household Bedrooms Bathrooms
1 SRO 1
1 0-BR 1
2 1-BR 1
4 2-BR 2
6 3-BR 2
8 4-BR 3
10 5-BR 3
6-BR 4
• Opposite sex children under 6 years of age may share a bedroom, up to 2 children per bedroom.
• Opposite sex children 6 years of age and older may have their own bedroom. • Children shall be permitted a separate bedroom from their parents. • Same sex children of any age may share a bedroom, up to 2 children per bedroom. • Adults not in a partner relationship may have their own bedroom. • 4or more people - a second bathroom may be added.
• 8 or more people - a third bathroom may be added.
• Same rules apply to mobile home units.

City of Etna Housing Rehabilitation Assistance Program Guidelines

CITY OF ETNA
ATTACHMENT C: HOUSING REHABILITATION MARKETING PLAN
The City will continue its efforts to market the Program in a manner that will reach all community members.

All marketing related to the Program is publicized in the languages per the Language Access Plan.

All marketing materials include information identifying the City's commitment to fair housing laws and affirmative marketing policy, and are widely distributed. Equal opportunity is emphasized in written materials and oral presentations.

Forms of marketing may include fliers, brochures, newspaper ads, articles and public service announcements. Fliers and brochures are distributed at local government buildings, other public buildings, as well as to businesses that assist those not likely to apply without special outreach.

Advertisements and articles are published in newspapers that are widely circulated within the community.

Established working relationships with local lending agencies also aid in informing the public by facilitating the distribution of informational fliers to households seeking financial assistance for repairs that are unable to obtain conventional financing.

Informational meetings may be offered to potential participants to explain Program requirements. Marketing measures may be performed in order to maintain a healthy interest list.

Characteristics on all applicants and participants may be collected and compared with the City's demographics. Should the City find that there are underserved segments of the population, a plan to better serve them will be developed and implemented.

MARKETING FORMS MARKETING VENUES
Fliers Local Government Buildings
Newspaper Ads and Articles Local Public Services Buildings Public Service Announcements Private Businesses
Public Informational Meetings Lending Agencies
Real Estate Offices
Newspaper
Non-profit agencies
Social Media
City Website

City of Etna Housing Rehabilitation Assistance Program Guidelines

CITY OF ETNA
ATTACHMENT D: RESIDENTIAL ANTI-DISPLACEMENT AND TEMPORARY RELOCATION PLAN The Housing and Community Development Act of 1974, as amended, and the National Affordable Housing Act of 1990, require all grantees of Community Development Block Grant (CDBG) funds to follow a written Residential Anti-Displacement and Relocation Assistance Plan (Plan) for any activities which could lead to displacement of occupants whose property is receiving funds from the Program or other federal funding source. Having been developed in response to both aforesaid federal legislations, this Plan is intended to inform the public of the compliance of the City of Etna (City) with the requirements of federal regulations 24 CFR 570.606 under state recipient requirements and Section 104(d) of the Housing and Community Development Act of 1974 and 24 CFR 92 of the HOME federal regulations. The Plan will outline reasonable steps, which the City will take to minimize displacement and ensure compliance with all applicable federal and state relocation requirements. The City Council has adopted this plan via a formal vote.

This Plan will affect rehabilitation activities funded by the U.S. Department of Housing and Urban Development (HUD) under the following program titles: HOME, CDBG, and such other grants as HUD may designate as applicable, which take place within the City's jurisdiction limits.

The City will provide permanent relocation benefits to all eligible "displaced" households either owner-occupied or rental-occupied units which are permanently displaced by the Program. In addition, the City will replace all eligible occupied and vacant LOW MOD housing units demolished or converted to a use other than LOW MOD housing as a direct result of rehabilitation activities. This applies to all units assisted with funds provided under the Housing and Community Development Act of 1974, as amended, and as described in the Federal Regulations 24 CFR 570.496(a), Relocation, Displacement and Acquisition: Final Rule dated July 18, 1990 (Section 104(d)) and 49 CFR Part 24, Uniform Relocation Assistance (URA) and Real Property Acquisition Regulations Final Rule and Notice (URA) dated March 2, 1989.

All City Programs/projects are implemented in ways consistent with the City's commitment to Fair Housing. Participants will not be discriminated against on the basis of race, color, religion, age, ancestry, national origin, sex, familial status, or handicap. The City will provide equal relocation assistance available 1) to each LOW MOD household displaced by the demolition or rehabilitation of the housing unit or by the conversion of a LOW MOD housing unit to another use as a direct result of assisted activities; and 2) to each separate class of LOW MOD occupants temporarily relocated as a direct result of activities funded by HUD programs.

Minimizing Permanent Displacement and Temporary Relocation Resulting from Housing Rehabilitation or Reconstruction Activities:

Consistent with the goals and objectives of activities assisted under the Act, the City will take the following steps to minimize the displacement of persons from their housing units during housing rehabilitation or reconstruction funded by HUD programs:

A. Provide proper notices with counseling and referral services to all tenants so that they understand their relocation rights and receive the proper benefits. When necessary assist

City of Etna Housing Rehabilitation Assistance Program Guidelines permanently displaced households find alternate housing in the neighborhood.

B. Stage rehabilitation of assisted households to allow owner-occupants and/or tenants to remain during minor rehabilitation.

C. Encourage owner-investors to temporarily relocate tenants to other available safe and sanitary vacant housing units on the project site area during the course of rehabilitation or pay expenses on behalf of replaced tenants.

D. Work with area landlords, real estate brokers, and/or hotel/motel managements to locate vacancies for households facing temporary relocation.

E. When necessary, use public funds, such as CDBG funds, to pay moving costs and provide relocation/displacement payments to households permanently displaced by assisted activities.

Lead Based Paint Mitigation Which Causes Temporary Relocation:

On September 15, 2000, the Final Rule for Lead Based Paint Hazard Control went into effect.

Among other things, it requires that federally-funded rehabilitation must use safe work practices so that occupants and workers can be protected from lead hazards. At no time should the tenant-occupants be present in work areas or designated adjacent areas while lead hazard control activities are taking place in any housing unit's interior, common area, or exterior. As such, occupants may not be allowed to remain in their housing units during the time that lead- based paint hazards are being created or treated. Once work that causes lead hazards is completed, and the unit passes clearance, the occupants can return. The tenant-occupants may not reoccupy a work area or adjacent area until post-lead hazard reduction clearance standards have been achieved and verified with laboratory results. The final rule allows for certain exceptions to the Program:

A. The work does not disturb lead-based paint, or create dust-lead or soil-lead hazard; or B. The work is on exterior only and openings are sealed to prevent dust from entering the housing unit, the work area is cleaned after the work is completed, and the residents have alternative lead free entry; or
C. The interior work is completed in one period of less than 8-daytime hours and the work site is contained to prevent the release of dust into other areas of the housing unit; or D. The interior work is completed within five calendar days, the work site is contained to prevent the release of dust, the worksite and areas within ten feet of the worksite are cleaned at the end of each day to remove any visible dust and debris, and the residents have safe access to kitchen and bath and bedrooms.

If temporary relocation benefits are not provided because the City believes that the project meets one of the above criteria, then proper documentation must be provided in the project file

City of Etna Housing Rehabilitation Assistance Program Guidelines to show compliance. It is up to the City to ensure that the owner-occupant or tenant in the project does not get impacted by lead paint mitigation efforts. In most cases where lead paint mitigation is taking place, occupants (tenants or owners) are strongly encouraged to relocate even for just a few days until a final lead clearance can be issued by a certified lead based paint assessor. Occupants who are temporarily relocated because of lead based paint mitigation are entitled to the same relocation benefits as those who are relocated because of substantial rehabilitation or reconstruction activities.

Temporary Relocation of Owner-Occupants:

Owner-occupants are not allowed to stay in units which are hazardous environments during lead based paint mitigation. When their housing unit is having lead based paint mitigation work done which will not make it safe to live in, then temporary relocation is required. In the same way, a unit requiring substantial rehabilitation (with or without lead based paint mitigation) which does not allow the household to access a bath or kitchen facility, or if the housing unit is being demolished and reconstructed, then the occupants are required to relocate temporarily.

Owner-occupants are encouraged to move in with family or friends during the course of rehabilitation, since they are voluntarily participating in the Program, but temporary relocation benefits can be provided. The housing rehabilitation loan specialist and/or the rehabilitation construction specialist will complete a temporary relocation benefits form (Attachment E-3) to document that the owner-occupant understands that they must relocate during the course of construction.

Temporary Relocation of Residential Tenants:

If continued occupancy during rehabilitation is judged to constitute a substantial danger to health and safety of the tenant or the public, or is otherwise undesirable because of the nature of the project, the tenant may be required to relocate temporarily. The contract administrator or rehabilitation specialist makes the determination of the need for temporary relocation. The owner-investor provides the temporary relocation benefits to all eligible tenants. The temporary relocation period should not exceed 180 days. All conditions of temporary relocation are reasonable. Any tenant required to relocate temporarily is helped to find another place to live which is safe, sanitary and of comparable value and they have the first right to move back into the original housing unit being rehabilitated at the same rent or lower. He or she may move in with family and friends and still receive full or partial temporary assistance based on eligible cost incurred. The housing rehabilitation loan specialist and/or the rehabilitation construction specialist will ensure each tenant-occupied housing unit under the Program receives a General Information Notice (as soon as possible after a loan application is received) and the tenant receives a Notice of Non-Displacement (after loan approval), and each tenant-occupied housing unit has a temporary relocation benefits form completed for them (Attachment E-3). These notices document each tenant understands what their relocation rights are, and if they must relocate during the course of construction, that they receive the proper counseling and temporary relocation benefits. A tenant receiving temporary relocation may receive the following:

A. Increased housing costs (e.g. rent increase, security deposits) and

City of Etna Housing Rehabilitation Assistance Program Guidelines B. Payment for moving and related expenses, as follows:

1. Transportation of the displaced persons and personal property within 50 miles, unless the grantee determines that farther relocation is justified;

2. Packing, crating, unpacking, and uncrating of personal property;

3. Storage of personal property, not to exceed 12 months, unless the grantee determines that a longer period is necessary;

4. Disconnection, dismantling, removing, reassembling, and reinstalling relocated household appliances and other personal property;

5. Insurance for the replacement value of personal property in connection with the move and necessary storage;

6. Reasonable and necessary costs of security deposits required to rent the replacement housing unit;

7. Any costs of credit checks required to rent the replacement housing unit;

8. Other moving related expenses as the grantee determines to be reasonable and necessary, except the following ineligible expenses:
a. Interest on a loan to cover moving expenses; or
b. Personal injury; or
c. Any legal fee or other cost for preparing a claim for a relocation payment or for representing the claimant before the grantee; or
d. Costs for storage of personal property on real property already owned or leased by the displaced person before the initiation of negotiations.

Rehabilitation Activities Requiring Permanent Displacement:

The Program does not typically trigger permanent displacement and permanent displacement activities fall outside of the scope of this Plan. If a case of permanent displacement is encountered, then the staff responsible for the Programs will consult with City's legal counsel to decide if they have the capacity to conduct the permanent displacement activity. If local staff does not have the capacity, then a professional relocation consultant is hired to do the counseling and benefit determination and implementation. If local staff does wish to do the permanent displacement activity then they will consult and follow the HUD Relocation Handbook 1378.

Rehabilitation Which Triggers Replacement Housing:

If the Program assists a property where one or more units are eliminated then under Section 104 (d) of the Housing and Community Act of 1974, as amended applies, the City is required to replace those lost housing units. An example of this would be a duplex unit which is converted into a single family unit. In all cases where rehabilitation activities reduce the number of housing units in the jurisdiction, then the City must document that any lost housing units are replaced and any occupants of reduced units are given permanent relocation benefits. (This does not apply to reconstruction or replacement housing done under the Program where the existing housing unit is demolished and replaced with a housing unit equal in size without in loss number of units or bedrooms.)

City of Etna Housing Rehabilitation Assistance Program Guidelines Replacement housing is provided within three years after the commencement of the demolition or conversion. Before entering into a contract committing the City to provide funds for an activity that directly results in such demolition or conversion, the City makes this activity public (through a noticed public hearing and/or publication in a newspaper of general circulation) and submits to HCD or the appropriate federal authority the following information in writing:

A. A description of the proposed assisted activity;
B. The location on a map and the approximate number of housing units by size (number of bedrooms) that are demolished or converted to a use other than LOW MOD housing units as a direct result of the assisted activity;
C. A time schedule for the commencement and completion of the demolition or conversion; D. The location on a map and the approximate number of housing units by size (number of bedrooms) that are provided as replacement housing units; E. The source of funding and a time schedule for the provision of the replacement housing units; F. The basis for concluding that each replacement housing unit remains a LOW MOD housing units for at least 10 years from the date of initial occupancy; and, G. Information demonstrating any proposed replacement of housing units with smaller housing units (e.g., a two-bedroom unit with two one-bedroom units) is consistent with the housing needs of LOW MOD households in the jurisdiction.

The Program Operator for the City is responsible for tracking the replacement of housing units and ensuring that it is provided within the required period. The City is responsible for ensuring requirements are met for notification and provision of relocation assistance, as described in Section 570.606, to any LOW MOD displaced by the demolition of any housing unit or the conversion of a LOW MOD housing unit to another use in connection with an assisted activity.

Record Keeping and Relocation Disclosures/Notifications:

The City maintains records of occupants of federally funded rehabilitated, reconstructed or demolished housing units from the start to completion of the project to demonstrate compliance with section 104(d), URA and applicable Program regulations. Each project, which dictates temporary or permanent or replacement activities, has a project description and documentation of assistance provided. (See sample forms in HUD Relocation Handbook 1378, Chapter 1, Appendix 11, and form HUD-40054)
Appropriate advisory services include reasonable advanced written notice of 1) the date and approximate duration of the temporary relocation; 2) the address of the suitable, decent, safe, and sanitary housing unit made available for the temporary period; 3) the terms and conditions

City of Etna Housing Rehabilitation Assistance Program Guidelines under which the tenant may lease and occupy a suitable, decent, safe, and sanitary housing unit.

Notices are written in plain, understandable primary language of the persons involved. Persons who are unable to read and understand the notice (e.g. illiterate, foreign language, or impaired vision or other disability) are provided with appropriate translation/communication. Each notice indicates the name and telephone number the person to be contacted for answers to questions or other needed help. The notices and process below is only for temporary relocation. If permanent relocation is involved then other sets of notices and noticing processes and relocation benefits are applied, reference HUD's Relocation Handbook 1378 for these forms and procedures. The Temporary Relocation Advisory Notices provided are as follows:

A. General Information Notice: As soon as feasible when an owner-investor applies for financing from the Program, the tenant of a housing unit is mailed or hand delivered a General Information Notice that the project has been proposed and that the tenant is able to occupy his or her present house upon completion of rehabilitation. The tenant is informed that the rent after rehabilitation will not exceed current rent or thirty percent of his or her average monthly gross household income. The tenant is informed that if he or she is required to move temporarily so that the rehabilitation can be completed, suitable housing is made available and he or she is reimbursed for all reasonable extra expenses. The tenant is cautioned that he or she is not provided relocation assistance if he or she moves for personal reasons. See Attachment E-1 for sample notice to be delivered personally or by certified mail.

B. Notice of Non Displacement: As soon as feasible when the project is approved, the tenant is informed they will not be permanently displaced and are eligible for temporary relocation benefits because of lead based paint mitigation or substantial rehabilitation, or reconstruction of their housing unit. The tenant is again cautioned not to move for personal reasons during rehabilitation, or risk losing relocation assistance. See Attachment E-2 for sample notice to be delivered personally or by certified mail.

C. Disclosure to Occupants of Temporary Relocation Benefits: This form is completed to document the City is following its adopted Plan for owner-occupants and tenants. See Attachment E-3 for a copy of the disclosure form.

D. Other Relocation/Displacement Notices: The above three notices are required for temporary relocation. If the City is attempting to provide permanent displacement benefits then there are a number of other forms which are required. Staff will consult HUD's Relocation Handbook 1378 to ensure all the proper notices are provided for occupants permanently disolaced as a result of the Program.

City of Etna Housing Rehabilitation Assistance Program Guidelines ATTACHMENT E-1: TENANT NON-DISPLACEMENT LETTER-LANDLORD APPLICATION (date)
(address)
Dear _ (tenant)
On _(date) (property owner) submitted an application to the _for financial assistance to rehabilitate the building which you occupy at _ (address) This notice is to inform you that, if the assistance is provided and the building is rehabilitated, you will not be displaced. Therefore, we urge you not to move anywhere at this time. (If you do elect to move for reasons of your choice, you will not be provided relocation assistance.) If the application is approved and Federal assistance is provided for the rehabilitation, you will be able to lease and occupy your present apartment (or another suitable, decent, safe and sanitary apartment in the same building) upon completion of the rehabilitation. Of course, you must comply with standard lease terms and conditions.

After the rehabilitation, your initial rent, including the estimated average monthly utility costs, will not exceed the greater of (a) your current rent/average utility costs, or (b) 30 percent of your gross household income. If you must move temporarily so that the rehabilitation can be completed, suitable housing will be made available to you for the temporary period, and you will be reimbursed for all reasonable extra expenses, including all moving costs and any increase in housing costs. The temporary relocation benefits will be provided by the property owner.

Again, we urge you not to move. If the project is approved, you can be sure that we will make every effort to accommodate your needs. Because Federal assistance would be involved, you would be protected by the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, as amended.

This letter is important and should be retained. You will be contacted soon. In the meantime, if you have any questions about our plans, please contact (name) (title), at _(telephone number), (address)
Sincerely,
(name)
(title)

City of Etna Housing Rehabilitation Assistance Program Guidelines ATTACHMENT E-2: TENANT NON-DISPLACEMENT LETTER-LANDLORD ACCEPTANCE (date)
(address)
Dear (tenant)
On (date) we notified you that the owner of your building had applied for assistance to make extensive repairs to the building. On (date), the owner's request was approved, and the repairs will begin soon.

This is a notice of non-displacement. You will not be required to move permanently as a result of the rehabilitation. This notice guarantees you the following:

1. You will be able to lease and occupy your present apartment [or another suitable, decent, safe and sanitary apartment in the same building/complex] upon completion of the rehabilitation. Your monthly rent will remain until after construction is completed. If increased after construction is done, your new rent and estimated average utility costs will not exceed local fair market rents for your community. Of course, you must comply with all the other reasonable terms and conditions of your lease.

2. If you must move temporarily so that the repairs can be completed, you will be reimbursed for all of your extra expenses, including the cost of moving to and from the temporarily occupied unit and any additional housing costs. The temporary unit will be decent, safe and sanitary, and all other conditions of the temporary move will be reasonable.

Since you will have the opportunity to occupy a newly rehabilitated apartment, we urge you not to move. (If you do elect to move for your own reasons, you will not receive any relocation assistance.) We will make every effort to accommodate your needs. Because Federal assistance is involved, you are protected by the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, as amended.

If you have any questions, please contact (name) (title), at (phone #). - (address).

Remember; do not move before we have a chance to discuss your eligibility for assistance. This letter is important to you and should be retained.

Sincerely,
(name)
(title)

City of Etna Housing Rehabilitation Assistance Program Guidelines ATTACHMENT E-3: DISCLOSURE TO OCCUPANT OF TEMPORARY RELOCATION BENEFITS Top to be completed at time of loan application submittal or Home Visit Property Address:

Rental Unit Owner-Occupied Unit
The rehabilitation loan specialist working on behalf of the City of Etna's Program Operator has explained the temporary relocation services and benefits available under the current rehabilitation program relocation plan.

I/we have been advised that the City of Etna rehabilitation construction specialist will inform me if I need to be temporarily relocated and will assist me with scheduling any necessary moves and answer any questions about assistance as needed.

Acknowledged:

Occupant Signature Date Occupant Signature Date
Complete this at time of acceptance of Work Write Up with initials by occupant The rehabilitation construction specialist for the City of Etna's Program Operator has explained the Rehabilitation Scope of Work for our house and l/we agree that it will:

Not required. I/we don't need to be relocated. (If initialed then STOP here and sign bottom.)
Yes, I/we need to be temporarily relocated. (Complete rest of form if initialed.) Start date and duraction of relocation:

Starting on or about we will move for all or part of the rehabilitation project.

Approximate length of temporary relocation: (number of days).

For temporary relocation. I/We elect to (check all that appy):

Relocate with friends and family.

Relocate into a suitable temporary housing unit identified by the Program Operator.

Relocate furnishings only into a temporary storage unit. 1/We have been told what our relocation benefits are and elect NOT to be reimbursed for any eligible relocation expenses.
1/We have been told what our relocation benefits are and want to be reimbursed for:
1/We have been told and understand that l/we are eligible for Owner-Occupants
relocation expenses.

By signing occupants) acknowldge receipt of copy of this form:

Occupant Signature Date Occupant Signature Date

City of Etna Housing Rehabilitation Assistance Program Guidelines

CITY OF ETNA
ATTACHMENT F: LOAN SERVICING POLICIES AND PROCEDURES
The City of Etna has adopted these policies and procedures in order to preserve its financial interest in properties, whose "Borrowers" have been assisted with public funds. The City will to the greatest extent possible follow these policies and procedures, but each loan is evaluated and handled on a case-by-case basis. The City has formulated this document to comply with state and federal regulations regarding the use of these public funds and any property restrictions which are associated with them.

The policies and procedures are broken down into the following areas: 1) making required monthly payments or voluntary payments on a loan's principal and interest; 2) required payment of property taxes and insurance; 3) required Request for Notice of Default on all prior mortgages; 4) loans with annual occupancy restrictions and certifications 5) required noticing and limitations on any changes in title or use of property; 6) required noticing and process for requesting a subordination during a refinance; 7) processing of foreclosure in case of default on the loan; 8) writing off bad debt; 9) costs associated with loan servicing 1) Loan Repayments:

The City will collect monthly payments from those Borrowers who are obligated to do so under promissory notes which are amortized. The due date of the loan is specified in the promissory note. Borrowers have a ten day grace period to pay the monthly amount before late charges are incurred. After the tenth day a late charge of $5.00 (five dollars) is added. 2) Payment of Property Taxes and Insurance:

As part of keeping the loan from going into default, Borrower must maintain property insurance coverage naming the City as mortgagee, loss payee or additional insured. If Borrower fails to maintain the necessary insurance, the City may take out forced place insurance to cover the property while Borrower puts a new insurance policy in place. All costs for installing the necessary insurance are added to the loan balance at time of installation of Borrower's new insurance.

When a property is located in a 100 year flood plain, Borrower is required to carry the necessary flood insurance. A certificate of insurance for flood and for standard property insurance naming the City as mortgagee, loss payee or additional insured is required at close of escrow. The City will verify the insurance on an annual basis.

Property taxes must be kept current during the term of the loan. If Borrower fails to maintain payment of property taxes then the City may pay the taxes current and add the balance of the tax payment plus any penalties to the balance of the loan. Taxes will be paid for out of the General Fund. Taxes are not an eligible CDBG cost.
3) Required Request for Notice of Default:

When Borrower's loan is in second position behind an existing first mortgage, it is the City's policy to prepare and record a "Request for Notice of Default" for each senior lien in front of City's loan.

This document requires any senior lien holder listed in the notice to notify the City of initiation of a foreclosure action. The City will then have time to contact Borrower and assist them in bringing the first loan current. The City can also monitor the foreclosure process and go through the necessary analysis to determine if the loan can be made whole or preserved. When the City is in a third position and receives notification of foreclosure from only one senior lien holder, it

City of Etna Housing Rehabilitation Assistance Program Guidelines is in their best interest to contact any other senior lien holders regarding the status of their loans. 4) Annual Occupancy Restrictions and Certifications:

On most loans the City may require that Borrowers have metered city water or submit utility bills and/or other documentation annually to prove occupancy during the term of the loan. These loan terms are incorporated in the original promissory note and deed of trust. 5) Required Noticing and Restrictions on Any Changes of Title or Occupancy:

In all cases where there is a change in title or occupancy or use, Borrower must notify the City in writing of any change. City and Borrower will work together to ensure the property is kept in compliance with the original Program terms and conditions such that it remains available as an affordable housing unit for low income families. These types of changes are typical when Borrowers do estate planning (adding a relative to title) or if a Borrower dies and property is transferred to heirs or when the property is sold or transferred as part of a business transaction.

In some cases, Borrower may move and turn the property into a rental unit without notifying the City. Changes in title or occupancy must be in keeping with the objective of benefit to low-income households (below 80 percent of AMI).

Change from owner-occupant to owner-occupant occurs at a sale. In this case the loan is not assumable and the balance is immediately due and payable, unless the new owner is income eligible and the loan committee approves the new loan. If a transfer of the property occurs through inheritance, the heir (as owner-occupant) may be provided the opportunity to assume the loan at an interest rate based on household size and household income, provided the heir is income eligible. If the heir intends to occupy the housing unit and is not low-income, the balance of the loan is due and payable. If the heir intends to act as an owner-investor, the balance of the loan may be converted to an owner/investor interest rate and loan term and a Rent Limitation Agreement signed and recorded on title. All such changes are subject to the review and approval of the City's Loan Committee.

Change from owner-occupant to owner-investor occurs when an owner-occupant decides to move out and rent the assisted property. The owner may convert any assisted unit from owner- occupied to rental if all conditions exist: the loan is refinanced; the tenant is income eligible; and a Rent Limitation Agreement is executed and complies with the eligibility requirements as described in Section 7.2.

Conversion to use other than residential use is not allowable where the full use of the property is changed from residential to commercial or other. If the use of the property is converted to non-residential use, the loan balance is due and payable. 6) Requests for Subordinations:

Loans will not be subordinated.
7) Process for Loan Foreclosure:

Upon any condition of loan default: 1) non-payment; 2) lack of insurance or property tax payment; 3) change in title or use without approval; 4) default on senior loans, or 5) breach of contract, the City will send out a letter to Borrower notifying them of the default situation. If the default situation continues, the City may start a formal process of foreclosure as described in Attachment G.

When a senior lien holder starts a foreclosure process and the City is notified via a Request for

City of Etna Housing Rehabilitation Assistance Program Guidelines Notice of Default, the City, who is the junior lien holder, may cancel the foreclosure proceedings by "reinstating" the senior lien holder. The reinstatement amount or payoff amount must be obtained by contacting the senior lien holder. This amount will include all delinquent payments, late charges and fees to date. City must confer with Borrower to determine if, upon paying the senior lien holder current, Borrower can provide future payments. If this is the case, then the City may cure the foreclosure and add the costs to the balance of the loan with a Notice of Additional Advance on the existing note.

If the City determines, based on information on the reinstatement amount and status of Borrower, that bringing the loan current will not preserve the loan, then staff must determine if it is cost effective to protect their position by paying off the senior lien holder in total and restructure the debt such that the unit is made affordable to Borrower. If the City does not have sufficient funds to pay the senior lien holder in full, then they may choose to cure the senior lien holder and foreclose on the property themselves. As long as there is sufficient value in the property, the City can afford to pay for the foreclosure process and pay off the senior lien holder and retain some or all of their investment.

If the City decides to reinstate, the senior lien holder will accept the amount to reinstate the loan up until five days prior to the set "foreclosure sale date." This "foreclosure sale date" usually occurs about four to six months from the date of recording of the "Notice of Default." If the City fails to reinstate the senior lien holder before five days prior to the foreclosure sale date, the senior lien holder would then require a full pay off of the balance, plus costs, to cancel foreclosure. If the City determines the reinstatement and maintenance of the property not to be cost effective and allows the senior lien holder to complete foreclosure, the City's lien may be eliminated due to insufficient sales proceeds.
8) Bad Debt:

If the City determines there are irregular loan issues or that the foreclosure and subsequent maintenance and cost to sell the property is not cost effective, the lien may be written off as bad debt. A Deed of Reconveyance will be recorded with the County Recorder in favor of the owner on the Deed of Trust.
9) Loan Servicing Costs
Unless otherwise authorized by the applicable CDBG Standard Agreement or approved in writing by the California Department of Housing and Community Development (HCD), all costs associated with servicing CDBG rehabilitation loans shall be paid with non-CDBG City funds. CDBG grant funds and CDBG Program Income may only be used for loan servicing costs when expressly authorized by the applicable Standard Agreement and all HCD requirements are satisfied.

City of Etna Housing Rehabilitation Assistance Program Guidelines

CITY OF ETNA
ATTACHMENT G: FORECLOSURE POLICY
Delinquencies
When a loan is 30-days delinquent, the City will send Borrower a letter noting the amount delinquent plus late charges and reminding the Borrower of the terms of his/her mortgage.

Sixty Day Delinquencies
The City will send Borrower a registered letter when the account is sixty-days past due, noting the amount that is delinquent plus late charges. In this letter, a date and time will be set for a reply from the Borrower to the City for an explanation or reason to the delinquency as follows:
• Reasons for delinquency.
• Any changes in Borrower's health, family circumstances, or financial status in which limits repayment ability.
• Amount in arrears.

At the submittal of this written reply, the following will be determined and sent to borrower:
• How and when the amount in arrears will be paid.
• If financial counseling is needed.
• If personal emergency (loss of job, loss of spouse, serious illness, etc.) has restricted repayment ability.

Ninety Day Delinquencies
The City will send Borrower a second registered letter when the account is ninety-days past due, noting the amount delinquent plus late charges. In this letter, a date and time will be set for a meeting between Borrower, Loan Committee, and Program Operator. If Borrower is unable to afford the full monthly installment, due to an emergency, the Loan Committee may exercise the following option:
• Extend the time of payment or alter the terms of the indebtedness.

Foreclosures
If Borrower does not appear for the delinquency meeting or contact the City to reschedule the meeting within ten days after the meeting was scheduled, foreclosure proceedings will immediately begin.

Any Borrower who participates in the Program and becomes ninety days delinquent within two years of renegotiating their loan terms from a previous delinquency may be subject to immediate foreclosure.

If the City acquires title to the property through foreclosure, the City shall take reasonable measures to ensure the property remains safe, secure, and in compliance with all applicable federal, state, and local laws and ordinances. The City shall also take reasonable measures to protect the property from vandalism, theft, fire, deterioration, and neglect.

Until the property is sold, the City may incur reasonable and necessary costs to preserve and maintain the property, including, but not limited to, property maintenance, repairs, insurance, security, and other costs necessary to protect the City's interest in the property. These costs shall initially be paid by the City and may be recovered from the proceeds of the property's sale as

City of Etna Housing Rehabilitation Assistance Program Guidelines allowable disposition costs before the remaining proceeds, up to the outstanding CDBG loan balance, are recognized and reported as CDBG Program Income. See the Foreclosed Property Disposition section for the disposition and recovery of these costs.

City As Junior Lien holder
It is the City's policy to prepare and record a "Request for Notice" on all junior liens (any lien after the first position) placed on properties financed by a loan.

This document requires any senior lien holder to notify the City of initiation (recordation of a "Notice of Default") of a foreclosure only. This is to alert the junior lien holder that they are to monitor the foreclosure with the senior lien holder. When the City is in a third position and receives notification of foreclosure from only one senior lien holder, it would be in their best interest to contact both senior lien holders regarding the status of their loans.

The junior lien holder may cancel the foreclosure proceedings by "reinstating" the senior lien holder. The reinstatement amount must be obtained by contacting the senior lien holder. This amount will include all delinquent payments, late charges, advances (fire insurance premiums, property taxes, property protection costs, etc.), and foreclosure costs (fees for legal counsel, recordings, certified mail, etc.)
Once the City has the information on the reinstatement amount, staff must then determine if it is cost effective to protect their position by reinstating the senior lien holder, keeping them current by submitting a monthly payment thereafter, foreclosing on the property possibly resulting in owning the property at the end of foreclosure, protecting the property against vandalism, and paying marketing costs (readying the property unit for marketing, paying for yard maintenance, paying a real estate broker a sales commission).

If the City decides to reinstate, the senior lien holder will accept the amount to reinstate the loan up until five days prior to the set "foreclosure sale date." This "foreclosure sale date" usually occurs about four to six months from the date of recording of the "Notice of Default." If the City fails to reinstate the senior lien holder before five days prior to the foreclosure sale date, the senior lien holder would then require a full pay off of the balance, plus costs, to cancel foreclosure. If the City determines the reinstatement and maintenance of the property not to be cost effective and allows the senior lien holder to complete foreclosure, the City's lien may be eliminated due to insufficient sales proceeds.

City As Senior Lien holder
When the City is in first position as a senior lien holder, active collection efforts will begin on any loan that is thirty-one or more days in arrears. Attempts will be made to assist Borrower in bringing and keeping the loan current. These attempts will be conveyed in an increasingly urgent manner until loan payments have reached ninety days in arrears, at which time the City may consider foreclosure. The City's Loan Committee will consider the following factors before initiating foreclosure:

1. Can the loan be cured and can the rates and terms be adjusted to allow for affordable payments such that foreclosure is not necessary?

2. Can Borrower refinance with a private lender and pay off the City?

3. Can Borrower sell the property and pay off the City?

City of Etna Housing Rehabilitation Assistance Program Guidelines

4. Does the balance warrant foreclosure? (If the balance is under $5,000, the expense to foreclose may not be worth pursuing.)

5. Will the sales price of the property "as is" cover the principal balance owing, necessary advances, (maintain fire insurance, maintain or bring current delinquent property taxes, monthly yard maintenance, periodic inspections of property to prevent vandalism, etc.) foreclosure, and marketing costs?
If the balance is substantial and all of the above factors have been considered, the City may opt to initiate foreclosure. Borrower must receive, by certified mail, a thirty-day notification of foreclosure initiation. This notification must include the exact amount of funds to be remitted to the City to prevent foreclosure (such as, funds to bring a delinquent amortized loan current or pay off a DPL).

At the end of thirty days, the City should contact a reputable foreclosure service or local title company to prepare and record foreclosure documents and make all necessary notifications to the owner and junior lien holders. The service will advise the City of all required documentation to initiate foreclosure (Note and Deed of Trust usually) and funds required from the owner to cancel foreclosure proceedings. The service will keep the City informed of the progress of the foreclosure proceedings.

The process is completed, and the property has "reverted to the beneficiary" at the foreclosure sale.

Foreclosed Property Disposition
The City will list the property for sale with a local real estate broker. Upon sale of the property, the City may deduct allowable City costs incurred to protect, maintain, and dispose of the property (such as foreclosure costs, reasonable property repairs, property maintenance, insurance, and other approved disposition expenses). The remaining proceeds, up to the outstanding balance of the CDBG loan, shall be recognized, reported, and managed as CDBG Program Income. CDBG grant funds and CDBG Program Income shall not be used to pay delinquent property taxes or cure property tax defaults. Any sale proceeds remaining after repayment of the outstanding CDBG loan balance and allowable City Costs are not CDBG Program Income and shall not be subject to federal CDBG requirements.

City of Etna Housing Rehabilitation Assistance Program Guidelines

CITY OF ETNA
ATTACHMENT H: ANNUAL CERTIFICATION OF OCCUPANCY
2024 OWNER-OCCUPANCY CERTIFICATION
The CDBG Housing Program guidelines and your loan agreement require that an annual certification of owner-occupancy be verified by the homeowner of record. Please fill out the following information, sign and mail this form and occupancy verification to:

City of Etna
PO Box 460
442 Main Street
Etna, CA 96027
Attention: CDBG Program

1. Please fill out the following table:

Property Owner:

Property
Address:

Mailing Address:

Phone Number: )

2. Please check all boxes that apply:

I am the Owner and I live at the property referenced above.

I have moved. My current address is:

Home has been converted to a rental and has a CDBG Loan Committee approved Rent Limitation Agreement in place.
1 attest and certify that the rent is consistent with the Rent Limitation Agreement.

I attest and certify that I have paid my PROPERTY TAXES and that they are current.

I attest and certify that I have paid my HOMEOWNER'S INSURANCE, it is current, and names the City of Etna as Lender/Mortgagee Loss Payee.

I have NOT added anyone to the title or taken out a new loan on my property since the purchase.

I have taken out a new loan on my property since the purchase.

The new Lender is:

I have added/deleted the person(s) to/from title to the property since the purchase.

Name(s):

3. Enclose one utility bill (power/propane/diesel) showing your name and address of service that confirms your primary residence. Note: Water, trash or phone bill is not acceptable.

I certify that the information provided on this form is true, correct, and accurate to the best of my knowledge. / understand that failure to return this form will necessitate additional actions to obtain this information and may result in a default or breach of my loan agreement.

Print Name Signature Date

City of Etna Housing Rehabilitation Assistance Program Guidelines

CITY OF ETNA
ATTACHMENT I: OWNER-OCCUPANT APPLICATION-SAMPLE
Applications are available for specific types of transactions that are not contained in these Guidelines. They include but are not limited to:
• Owner-Investor
• Tenant
Owner-Occupant to Owner-Occupant Assumption
Owner-Occupant to Owner-Investor Assumption

City of Etna Housing Rehabilitation Assistance Program Guidelines

CITY OF ETNA
ATTACHMENT J: INITIAL WALK-THROUGH-SAMPLE

City of Etna Housing Rehabilitation Assistance Program Guidelines

CITY OF ETNA
ATTACHMENT K: CONTRACTOR INVITATION TO BID-SAMPLE
•

City of Etna Housing Rehabilitation Assistance Program Guidelines

CITY OF ETNA
ATTACHMENT L: LOAN COMMITTEE RECOMMENDATION-SAMPLE

City of Etna Housing Rehabilitation Assistance Program Guidelines

CITY OF ETNA
ATTACHMENT M: OWNER-OCCUPANT LOAN DOCUMENTS-SAMPLE
Loan Documents are available for specific types of transactions that are not contained in these Guidelines. They include but are not limited to:
• Owner-Investor
• Rent Limitation Agreement
Owner-Occupant Assumption
Owner-Investor Assumption

City of Etna Housing Rehabilitation Assistance Program Guidelines

CITY OF ETNA
ATTACHMENT N: PRE-CONSTRUCTION MEETING-SAMPLE

City of Etna Housing Rehabilitation Assistance Program Guidelines

CITY OF ETNA
ATTACHMENT O: FINAL INSPECTION-SAMPLE

City of Etna Housing Rehabilitation Assistance Program Guidelines

CITY OF ETNA
ATTACHMENT P: NOTICE OF COMPLETION-SAMPLE

City of Etna Housing Rehabilitation Assistance Program Guidelines

CITY OF ETNA
ATTACHMENT Q: NOTICE OF ACCEPTANCE-SAMPLE

310 Boles Street
Weed, CA 96094
(530) 938-4115
Fax (530) 938-1040
www.gnservices.org

GREAT NORTHERN
- services -

CDBG HOUSING REHABILIATION PROGRAM

PRE-CONSTRUCTION MEETING
_ 202_

1. Introductions

2. Contacts
Name Organization Phone Email
Owner Name Property Owner
Construction Company Rep and Construction
Title Company Name
Brandy Caporaso, Community Great Northern 530-938-4115x115 [email protected] Development Manager Services (GNS)
Alysia Garcia, Project Coordinator GNS 530-938-4115x131 [email protected] , City Administrator City of
Ruanna Smith, City City of
Clerk

3. Notice to Proceed
A Notice to Proceed will be issued upon the following:
• Building permit obtained.
• Certificate of Insurance provided to Brandy Caporaso. • Executed construction contract.

4. Building Permit
A completed building permit must be obtained by the Contractor and presented at this Preconstruction Meeting or a photocopy emailed to Brandy Caporaso.

5. Insurance
The Contractor must provide evidence of general liability, property damage, bodily injury, worker's compensation, and "term of construction" insurance coverage FROM A "CALIFORNIA ADMITTED INSURANCE COMPANY". A certificate of insurance shall be provided with the CITY OF - _and the Owner as named insured on the certificate with a copy to be emailed to Brandy Caporaso.

6. Construction Contract
• Please review and ask questions.
• Owner and Contractor sign 2 originals (copies will be made for City/GNS at meeting).

7. List of Suppliers
Please complete Suppliers and Subcontractor table. Make a note on who is added or removed if there is a difference from the bid documents.

Weaving a stronger community, together....

Access to Capital • Portfolio Management • Economic Development • Energy Assistance • Home Weatherization Community Food Projects • Community Services • HIV/AIDS Case Management • Community Development CA Lic. # 629328

8. Mechanics Lien
Suppliers and/or subcontractors may place a mechanics lien on your property. This is a normal course of action in construction projects.

A mechanics lien is a "hold" against the Owner's property, filed by an unpaid contractor, subcontractor, laborer, or material supplier, and is recorded with the county recorder's office. If unpaid, it allows a foreclosure action, forcing the sale of the property in lieu of compensation. The lien will be released once all invoices have been paid.

9. Regular Inspections
Inspections of work will be performed by Siskiyou County building inspectors as required on building permit.

10. Contractor Payments
See Construction Contract.

11. Owner's Final Inspection
GNS with the Owner will perform a final inspection during or closely thereafter the City's final inspection.

12. Lien Releases
Liens will be released when all of the vendor's invoices or subcontractor's invoices have been paid.

13. Notice of Completion
Will be recorded after City's (if applicable) and Owner's final inspection.

14. Scope of Work and Change Orders:
• Contractor shall perform work specified in the plans. • Owner shall not make or request changes to work specified in bid documents unless approved by Contractor and Loan Committee.
• Contractor will supply Owner with what options are available for specific materials.

Any additions, deductions, or deviations from the specifications require PRIOR approval of the Owner, Great Northern Services, City of Montague, and the Contractor. Any deviation from this policy is the sole responsibility of the Contractor and Owner. The City may refuse payment for that work not specified in the construction contract.

15. Contractor's License
Contractor Name: _
License Number:

Class:

Contractor's License Will Expire On:

Contractor shall stop work on this date or provide evidence of license renewal PRIOR to the date of expiration.

16. Construction Period & Working Hours:

Estimated Start Date:

Estimated Completion Date:

Typical Start Times: 8:00 am
Typical Finish Times: 5:00 pm
Great Northern Services
310 Boles Street • Weed, CA 96094 • (530) 938-4115 • Fax (530) 938-1040 • www.gnservices.org CA Lic. #629328

17. Loan Agreement & Documents
1) Loan Agreement w/Attachments
Promissory Note
3) Deed of Trust
4) Amortized Truth in Lending
5) Notice of Right of Recission
Please review and ask questions.

Owner and City sign originals.

Copies will be made and given to Owner.

Deed of Trust will be recorded. A copy will be emailed to Owner.

Contractor's Signature: Date
X
Owner's Signature: _ Date
Great Northern Services
310 Boles Street • Weed, CA 96094 • (530) 938-4115 • Fax (530) 938-1040 • www.gnservices.org CA Lic. # 629328
Final Inspection by Homeowner
CLIENT NAME:

CLIENT ADDRESS:

CORRECTIONS RECOMMENDED AS FOLLOWS:
1 2
3 4
5 -
6 7
8 9
The above corrections were reviewed by the homeowner and GNS and need to be corrected.

All work has been acceptably completed.

Lien releases from subcontractors have been received.

County Final Inspection and Certificate of Occupancy issued.

Notice of Completion filed or Notice of Acceptance Signed. • Final payment recommended 30 days after the Notice of Completion is recorded.

Inspector: Owner:

Date: Date:

RECORDING REQUESTED BY
AND WHEN RECORDED MAIL TO:

NAME

ADDRESS

HIP CODETES
TITLE ORDER NO. ESCROW NO. SPACE ABOVE THIS LINE FOR RECORDER'S USE ONLY APN#_ NOTICE OF COMPLETION
NOTICE IS HEREBY GIVEN THAT:

The undersigned is OWNER or AGENT OF THE OWNER of the interest or estate stated below in the property hereinafter described.

The full NAME of the OWNER is
The ADDRESS of the OWNER is
The NATURE OF THE INTEREST or estate of the undersigned is (e.g. fee, leaschold, joint tenancy, vendee under a contract of purchase, etc.) The full name(s) and addresses) of all persons, if any, who hold such interest or estate with the undersigned as joint tenants or as tenants in common are:

Name Address
The full name(s) and addresses) of the successors) in interest of the undersigned if the property was transferred subsequent to the commencement of the work of improvement herein referred to:

Name Address
A work of improvement on the property hereinafter described was COMPLETED on The work of improvement completed is described as
The name of the original contractor, if any, for such work of improvement was:

The property on which said work of improvement was completed is in the City of County of _, State of California, and is DESCRIBED AS FOLLOWS:

The street address of said property is
(if applicable)
Dated:

Signature of Owner or Agent of Owner
* There are various types of deed forms depending on each person's legal status. Before you use this form you may want to consult an attorney if you have questions concerning which document form is appropriate for your transaction.

I, am the
(Name of below signor) (Owner, President, Authorized Agent, Partner, etc.) the declarant of the foregoing Notice of Completion. I certify (or declare) under penalty of perjury under the laws of the State of California that the foregoing is true and correct. (Date and Place) (Signature)
SAMPLE
Notice of Acceptance
PROJECT: Housing Rehabilitation (Address)
OWNER:

LENDER: City of
CONTRACTOR & LICENSE #:

CONSTRUCTION COMPLETION DATE:

The project is recognized as being complete:
• The Owner has accepted the completed project.
• The City has processed the final payment and released all retention funds. • All punch list items have been fully addressed and resolved. • No additional claims shall be asserted against the project from the Contractor or Owner, except as provided under the warranties in the Construction Contract between Owner and Contractor. _ Owner Date
Attest: Brandy Caporaso, Great Northern Services Date
310 Boles Street
GREAT NORTHERN Weed, CA 96094
(530) 938-4115
- services - Fax (530) 938-1040
www.gnservices.org
CDBG Housing Rehabilitation Program Application
Cover Letter
Attached you will find the Community Development Block Grant Rehabilitation Program Application to apply for a Housing Rehabilitation Loan Program or to assume an existing loan with the City of Etna.

Please complete the application as thoroughly as possible. Any areas that do not pertain to you mark N/A in that section.

In addition to your application, we will need proof of income and assets for all individuals residing in the home that are 18 years or older. Please provide the following along with the application (a complete list of what is needed is at the end of the application):

1. The last 2 months of pay stubs (If paid weekly, applicant must submit six (6) consecutive paystubs; If paid bi-weekly or semi-monthly, applicant must submit three (3) consecutive paystubs; If paid monthly, applicant must submit two (2) consecutive paystubs) or a copy of benefits letter if receiving Social Security or other benefit letter;

2. The last 12 months of all checking and savings account statements;

3. The latest statement from retirement account statements or other assets;

4. The most current Federal Income Tax return. If self-employed, provide 2 years of returns as well as profit & loss statements.

5. Current Credit Report (you can download a free one from https://www.annualcreditreport.com/index.action or
https://www.creditsesame.com/landing/my-freecreditscore-how-it-works-v1a

6. Copy of the current annual property insurance statement for the home.

7. Copy of the current Property Tax Statement for the home.

If you have any questions, please do not hesitate to contact:

Alysia Garcia at (530) 938-4115 extension 131 or [email protected] Weaving a stronger community, together....

Access to Capital • Portfolio Management • Economic Development • Energy Assistance • Home Weatherization Community Food Projects • Community Services • HIV/AIDS Case Management • Community Development CA Lic. # 629328
Great Northern Services
310 Boles Street, Weed, CA 96094 • 530-938-4115 Extension 131

OWNER-OCCUPIED
City of Etna Application
Application for the City of Etna's Community Development Block Grant Program (CDBG) Housing Rehabilitation Program administered by GNS.

PLEASE FILL IN ALL LINES AND BLOCKS, IF THE LINE OR BLOCK DOES NOT PERTAIN TO YOU, INSERT N/A.

Section 1 - Borrower Information _Assumption Loan/Grant Occupancy Status Change

BORROWER
Name (Include Jr. or Sr. as applicable):

Marital Status (Check One): • Married • Single
Birth Date: Social Security Number:

Mailing Address: (City/State/Zip)
Address of Home for Project: (City/State/Zip) No. of Years:

Home/Cell Phone: Email Address:

Are You a U.S. Citizen? • Yes • No Are You a Permanent Resident Alien?• Yes • No Id#:

Name And Address of Employer:

Employer Phone Number:

No. Of Years on Job: Position/Title:

Name And Address of Previous Employer If at Position Less Than 2 Years

CO-BORROWER
Name (Include Jr. or Sr. as applicable):

Marital Status (Check One): • Married o Single
Birth Date: Social Security Number:

Mailing Address: (City/State/Zip)
Present Address: (City/State/Zip) No. of Years:

Home Phone: Cell Phone:

Are You a U.S. Citizen? a Yes • No | Are You a Permanent Resident Alien? • Yes • No Id#:

Name And Address of Employer:

Employer Phone Number:

No. Of Years on Job: Position/Title:

Name And Address of Previous Employer If at Position Less Than 2 Years GNS--Rev. 06/2026 Confidential Page 1
Section 2 - Household Composition
The following information is confidential and is only used for government reporting purposes to monitor compliance with equal opportunity laws. This information is for statistical purposes only and will not affect your eligibility for the loan/grant program that you are applying to.

Please check the box that most closely identifies your race. We understand that the choices listed in the box below do not include all of the ways in which people self-identify, and that many people identify with more than one of the categories listed. Applicants should check the box that most closely represents their racial identity.

RACE ETHNICITY
11-WHITE 16-AMRCN IND/ALSKN NTVE HISPANIC/LATINO
12-BLACK/AFRICAN AMERICAN 8a- MEXICAN/CHICANO
13-ASIAN 18-BLCK/AFRCN AMRCN & WHITE 8b-CUBAN
14-AMRCN IND/ALSK NTVE 19-AMRCN IND/ALSKN NTVE & BLCK/AFREN AMCN 8c-PUERTO RICAN 15-NATIVE HAWAIIAN/OTHER PACIFIC ISLANDER 20-OTHER MULTI-RACIAL: 8d-OTHER HISPANIC/LATINO STARTING ON THE FIRST LINE FOR THE HEAD OF HOUSEHOLD, PLEASE SUPPLY THE FOLLOWING INFORMATION FOR ALL INDIVIDUALS WHO ARE/WILL OCCUPY THE HOUSING UNIT TO BE ASSISTED.

LIST ADULTS FIRST, THEN CHILDREN.

FAMILY FULL NAME RELATIONSHIP DATE SOCIAL GENDER DISABLED VETERAN ENTER ENTER TOTAL

MEMBER OF SECURITY (Y OR N) (Y OR N) RACE ETHNIC MONTHLY

BIRTH NUMBER CODE CODE INCOME

FROM FROM
ABOVE

HEAD OF

HOUSEHOLD
4 8
GNS--Rev. 06/2026 Confidential Page 2
SECTION 3 - Household Financial Statement and Household Income and Expenses Include information for borer leoner and ear ushed member 18 years and older.

INCOME INFORMATION
Applicant Name:

Household Income & Expenses
Household Income
Annual Income Monthly Income
$
Bonuses/Commissions $
Dividends/Interest/Rental Income $
Alimony/Child Support/Federal or State Assistance $
Other Income
Total Monthly Income s
Household Expenses
Outstanding Balance Monthly Expense
House Mortgage Payment or Rent
is us
Property Taxes
hicle Loan/Lease Paymer
meowner/Renter Insuran $
Heating/Cooling/Electrical Utilities/Phone $
Water/Sewer/Garbage/Maintenance/Other $
Food $
vehicle Insurance/Gasoline/Maintenance/Other $
Healthcare/Insurance/Hospital/Dentist/RX/ Other $
Other/Childcare/Education/ Entertainment/Other $
Total Monthly Expenses $
Household Total = Total Income less Total Expenses S
Household Assets & Liabilities
Assets
(STATEMENTS MUST BE SUBMITTED WITH APPLICATION)

NAME OF INSTITUTION CURRENT BALANCE
Savings, IRA, etc.

Notes and contras helds mucualfunds [Estimáted Market Value Estimated Market Value
Investment Real Estate Owned ]Estimated Market Value
Total Assets: 5
Liabilities - Excluding Monthly Bills
Current Debt/Credit Card/Store Cards Outstanding Balance $ Notes Payable Outstanding Balance I$
Mortgage/Real Estate Loans Outstanding Balance
Other Outstanding Balance
Total Liabilities 5
Total Net Worth = Total Assets less Total Liabilities I$ I hereby certify and warrant, to the best of my knowledge, that the aforementioned information contained within this Personal Financial Statement is true, accurate and complete.

Borrower Name: Co-Borrower Name:

Signature: Signature:

Date: Date:

GNS--Rev. 06/2026 Confidential Page 3
Section 4 - Property Information
Property
APN# (Parcel Number-You can find this on your property tax statements) Type of Household
o Single Family Dwelling • Duplex
• Mobile/Manufactured Home • Triplex
• Multiplex
Property Insurance
Do you have home insurance? Yes o Noo
Will you be able to maintain insurance for the term of the loan/grant as required by the CDBG guidelines? Yes a No a Property Taxes
Current Annual Property Tax Amount:

Are Property Taxes Current? Yes • Noo
If no, do you have the means to bring them current? Yes o No o Will you be able to keep the property tax's current for the ¡Yeso Noo
loan/grant term as required by CDBG guidelines?
Are there any liens against this property? Yeso Noo
If yes, list liens.

Complete this section if you are applying for a loan or grant for Housing Rehabilitation Do you have a mortgage on the property: Yes o No o What are the monthly loan How much is owed:

If yes: payments:

Who is the mortgage holder and what is their address?
Year home was built: # of Bedrooms/# of Bathrooms:

What do you need help with:
lease circle all that you would like assistance with
oundation Repair/Replace/No Work | Kitchen: Renovation/No work Plumbing: Repair/Replace/No Work Bathrooms): Renovation/Add/No work Electrical: Repair/Replace/No Work Bedrooms(s): Renovation/Add/No work Roof: Repair/Replace/No Work Other:

Siding: Repair/Replace/No Work
Flooring: Repair/Replace/No Work Accessible Features:

Insulation Repair/Replace/No Work Toilet grab bars: Needed Windows/Doors: Repair/Replace/No Work Shower/tub grab bars: Needed Septic/Sewer: Repair/Replace/No Work Entrance ramp: Needed Water/Well: Repair/Replace/No Work Other:

Heating/Air Conditioning: Repair/Replace/No Work
GNS--Rev. 06/2026 Confidential Page 4
Section 5-Conflict of Interest Certification
_ hereby certify that, in accordance with Title 24, Section 570.611 of the code of Federal Regulations, I have no family members or business associate connections with any of the members of the City of Etna (the City's) governing body, loan committee, or any program operator associated with the Community Development Block Grant (CDBG) program.

If any situation should arise in the future which I believe may involve me in a conflict of interest, I will promptly and fully disclose the circumstances to the City's Loan Committee.

Applicant Signature: _ Date:

Co-applicant Signature: _Date:_
GNS--Rev. 06/2026 Confidential Page 5
Section 6-FOIA Notification Warning
All information supplied to Great Northern Services (GNS) by you or your agents in connection with your loan/grant application may be released to interested third parties, including competitors, without your knowledge or consent under the provisions of the Freedom of Information Act (FOIA) (5 U.S.C. 55).

Such information not clearly marked "confidential" may routinely be released if a request is received for same. Further, if we receive a request for information which you have marked "confidential" the federal government will have to release the information unless you can demonstrate to our satisfaction that release of the information would be likely to produce substantial competitive harm to your business or would constitute a clearly unwarranted invasion of personal privacy.

Also, forms, consultant reports, etc., cannot be considered confidential in their entirety if confidential material contained therein can reasonably be segregated from other information.

Information submitted may be made available to the public during the time it is held in government files regardless of the action taken by GNS on your application.

Applicant Name Co-Applicant Name
Applicant Signature Co-Applicant Signature
Date Date
GNS--Rev. 06/2026 Confidential Page 6
Section 7-Statement Required by The Privacy Act
Great Northern Services (GNS) is authorized by Title V of the Housing Act of 1949, as amended (42 U.S.C. 1471) et. seq.), to solicit the information requested on GNS or City of Etna forms.

Disclosure of information requested is voluntary. However, failure to disclose certain items of information may result in a delay in the processing of an application or its rejection, except that it is unlawful for GNS or the City of Etna to deny any individual any right, benefit, or privilege provided by law because of such individual's refusal to disclose his social security account number.

The principal purposes for collecting the requested information are to determine eligibility for GNS credit or other financial assistance and for statistical analyses. Information provided may be used outside of GNS for the following purposes:

1. RELEASE TO INTERESTED PARTIES WHO SUBMIT REQUESTS UNDER THE FREEDOM OF INFORMATION

2. TO PROVIDE THE BASIS FOR BORROWER SUCCESS STORIES IN GREAT NORTHERN SERVICES NEWS RELEASES.

3. REFERRAL TO THE APPROPRIATE LAW ENFORCEMENT AGENCY AS SET FORTH IN 40 FR 38924 (1975).

4. REFERRAL TO EMPLOYERS, BUSINESSES, LANDLORDS, CREDITORS OR OTHERS TO DETERMINE REPAYMENT ABILITY AND ELIGIBILITY FOR GNS PROGRAMS.

5. REFERRAL TO A FEDERAL RECORDS CENTER FOR STORAGE.

Section 8-Federal Equal Credit Opportunity Act Statement The Federal Equal Credit Opportunity Act prohibits creditors from discriminating against credit applicants on the basis of race, color, religion, national origin, sex, marital status, age (provided that the applicant has the capacity to enter into a binding contract); because all or part of the applicant's income derives from any public assistance program; or because the applicant has in good faith exercised any right under the consumer credit protection act. The federal agency which administers compliance with this law concerning GREAT Northern Services is the Federal Trade Commission, Pennsylvania Avenue at Sixth Street N.W., Washington, D.C. 20580.

This is to acknowledge my receipt of the above and also, in the case of applicants for business and industry, limited profit rural rental housing and emergency loans to other than individuals, that I have read the reverse of this form, and accept the conditions stated.

Applicant Name Co-Applicant Name
Applicant Signature Co-Applicant Signature
Date Date
GNS--Rev. 06/2026 Confidential Page 7
Section 9-Certifications
It is the City's policy to verify all information contained in this application. All information given on this application will be kept confidential and used only to apply for the City of Etna CDBG Housing Rehabilitation Program.

Fair Housing
In accordance with the provisions of the Equal Opportunity Act of the City of Etna CDBG Housing Rehabilitation Programs Policies, there will be no discrimination against and application for these programs on the basis of age, source of income, sex, race, marital status, sexual orientation, national orientation, national origin, religion or handicap. If you or a member of your household is an individual with a disability, you have the right to request reasonable accommodation for that disability.

Confidentiality *please initial each section
In order to process an application, the City of Etna may supply and receive information as detailed in the "Consent to Release" clause below. Information may also need to be released to comply with auditing requirements of program funders. With these two exceptions, all personal and identifying information on an application remains fully confidential.

J_ _I/We certify that the information given on this form is accurate and complete to the best of our knowledge, and I/we authorize you to obtain such information as you may require verifying the information contained herein. I/We also understand that information contained in this application is subject to review by the State of California, Department of Housing and Community Development, and the U.S. Department of Housing and Urban Development. /_ _ I/We affirm that each answer is true and correct and is made for the purpose of obtaining assistance under the CDBG Housing Rehabilitation Program and you are entitled to rely thereon, whether or not you obtain further and/additional information.
_I/We further affirm that I/We are aware that, if such a grant/loan is approved, I/We will work with the staff to comply with all policies and procedures as outlined by the CDBG Rehabilitation Housing Program Guidelines, and that I/We will willingly secure the grant in the amount necessary with a duly executed Deed of Trust and Promissory Note.

Consent to Release Information *please initial each section _ I/We authorize representatives from Great Northern Services to supply and receive information to/from my/our employer(s), my/our financial institution(s), other Housing Rehabilitation Programs or Homebuyer Programs, my/our real estate agent, and/or mortgage lender to verify the information contained in this application. This information includes, but is not limited to bank statements, employment status, income, outstanding debts, verification of mortgage, verification of benefits, and other financial information. I also authorize representatives from GNS to allow inspection and reproduction of any financial records or information in their possession. _ 1/We understand that information in this application may be shared with funders for the purpose of funding compliance.
. I/We understand that the income l/we use to qualify for a mortgage loan/grant must be the same as the income 1/we claim in this application.

I/We release all representatives from GNS from any and all liability arising from release of such information. This authorization is limited solely to information requested for processing of my application for the CDBG Housing Rehabilitation Program.
_ 1/We understand that completion of this application does not guarantee my/our eligibility for the CDBG Housing Rehabilitation Grant program.

Residency Requirements *please initial each section
1/We certify that I/we are that this application is for my/our primary residence and that the home is not for sale.
_ 1/We understand that there is an occupancy requirement for the term of the loan/grant.

GNS--Rev. 06/2026 Confidential Page 8
_ I/We understand that If the Owner-Occupant status changes, only an heir apparent of the Owner- Occupant can assume the home. All other transfers of title, ownership, or occupancy will necessitate the grant to be reimbursed.
/We understand that this program will provide grant/loan amounts that will be used for costs, related to the rehabilitation program. Each grant/loan will be awarded on the amount that is necessary for the home to be updated without duplication of benefits from funds from the owner's savings, owner's home insurance, or other grant funding.
/We understand that the owner will need to provide proof of stable income to pay taxes, insurance, and upkeep of the home for the term of the grant. 1/We understand that all property insurance needs to current and up to date.

I/We understand that the CDBG Grantee will require that the Owner Occupant execute the following and all other documents as describe Loan/Grant Settlement:

1. Loan Agreement

2. Promissory Note

3. Deed of Trust
Applicant Name Co-Applicant Name
Applicant Signature Co-Applicant Signature
Date Date
GNS--Rev. 06/2026 Confidential Page 9
Income/Asset/Tax Verification Authorization
GREAT NORTHERN City of Etna
- services - Community Development Block Grant Housing Rehabilitation Program
Date:

For:

To: Whom It May Concern
Re: Income/Asset/Tax Verification for City of Etna's Community Development Block Grant Housing Rehabilitation Grants and Loans
1/we hereby authorize you to release to the City/Great Northern Services for verification purposes information concerning:
• Employment history, dates, income, hours, etc.
•Checking and Savings account records
• Social Security pension benefits and continuation thereof • Mortgage grant/rent rating (opening date, high credit, payment amount, grant balance, and payment record) • Any information deemed necessary in connection with a consumer credit report for a grant transaction.

The information is for the confidential use of this lender in compiling a mortgage grant credit report. This authorization is to remain in effect for 120 days from the signature date.

A photographic or carbon copy of this authorization, being a photographic or carbon copy of the signature(s) of the undersigned, may be deemed to be equivalent of the original and may be used as duplicate original.

Your prompt reply will help my grant
transaction. Thank You,
Applicant Name Co-Applicant Name
Applicant Signature Co-Applicant Signature
Date Date
GNS--Rev. 06/2026 Confidential Page 10

APPLICATION CHECKLIST
Please initial if you have provided the information and N/A if not applicable.

INFORMATION REQUIRED BY LOAN COMMITTEE
Provide the following:

Completed Community Development Block Grant Rehabilitation Program Application (Required) Most current Federal Income Tax returns. If self-employed, provide 2 years of Federal Tax returns as well As profit & loss statements. (Required or proof that the household does not have to file) Recent credit report. Free credit report can be obtained at https://www.creditsesame.com/ (Required) Copy of Current Property Tax Statement (Required)
Copy of Annual Property Insurance Statement (Required)
INCOME:
_Six (6) months of current pay stubs for wages
Latest Statement from Retirement & Pension
SSA, SSI, or other current annual award letter
Unemployment & disability income
Welfare assistance; Benefit Letter
Alimony, child support & gift income
Armed services income
Any Federal or State assistance
Self-employed, type of proof provided
ASSETS:

Twelve (12) months of the most current, consecutive checking account statements. All pages of these statements must be included. If no bank statements provided, reason One (1) month of the most current savings account statement. All pages of these statements must be included.

Value of revocable trusts available to the applicant
Equity in rental property or other capital investments
Cash value of stock, bonds, Treasury Bills, CD accounts, mutual funds and money market accounts Retirement & pension funds
Individual retirement, (401K and Keogh accounts (even if penalty for early withdrawal) Lump sum, such as inheritance, capital gains, settlements Additional mortgages or deeds of trust held by an applicant Other
GNS--Rev. 06/2026 Confidential Page 11

STAFF USE ONLY
Homeowner? In Target Area?
o Yes oNo • Yes • No
Eligible? Extremely Low Income <=30%:
• Yes • No Low Income 31%-60%:

Moderate Income 61%-80%:

Proof Of Deed? Proof Of Property Taxes? Proof Of Insurance? o Yes oNo • Yes • No • Yes • No
GNS--Rev. 06/2026 Confidential Page 12

WORK WRITE-UP AND INITIAL COST ESTIMATE
Applicant Name:

Address:

City, ZIP:

Phone #:

Bed/Bath/Type:

Year Built/Size:

Date Inspected: B
Interior/
Exterior Area Phone Interview Notes Site Visit Notes Initial Estimate Interior
Kitchen:

Living Room:

Master Bedroom:

Bedroom 1:

Bedroom 2:

Master Bathroom:

Guest Bathroom:

Plumbing:

Electrical:

HVAC:

Lead Paint Issues: SAMPLE
Flooring
Interior Doors
Exterior
Foundation:

Insulation:

Siding:

Windows/Doors:

Electrical:

Plumbing:

Roof:

Eaves:

Concrete:

Other:

Total Above
Overhead
Permit
Total Above $
Contingency
Construction TTL
Preliminary Title/Recording
Loan Total $
Proceso de Rehabilitación de Viviendas
Felicidades. Su solicitud lo ha calificado para pasar al siguiente paso en el proceso de Rehabilitación de Vivienda. A continuación se muestra un breve resumen de los pasos que deben completarse con éxito para que se realicen trabajos en su hogar. Hasta que no firme los documentos del préstamo/subvención con la ciudad y firme el contrato con el contratista, no hay garantía de que la construcción comenzará.

No dude en comunicarse con Alysia al 530.938.4115 ext. 131 o [email protected] o con Brandy al 530.938.4115 ext. 115 o [email protected] si tiene alguna pregunta.

Recorrido del cliente/GNS: Esto determinará el alcance del trabajo a realizar.

Propuesto y estimación y revisión del trabajo con el propietario de la vivienda.

GNS le informará si el trabajo está más allá del alcance de los fondos disponibles.

GNS sacará un informe preliminar del título.

Esto nos permitirá saber si hay algún gravamen sobre la casa, quién tiene el título y si se pagan todos los impuestos. Este coste está incluido en el préstamo/subvención. Esto tomará aproximadamente 2 semanas. Cualquier problema con el título deberá aclararse antes de avanzar con el proyecto.

GNS llevará a cabo un estudio ambiental.

Esto puede tardar de 1 semana a 2 meses, dependiendo de la complejidad del proyecto y del lugar donde se llevará a cabo la construcción (dentro o fuera de la casa).

Revisar el estimado de paquete de oferta y revisión con el propietario de la vivienda.

Publicar la solicitud de ofertas, realizar un recorrido previo a la oferta, aceptar y abrir ofertas.

El propietario, con la ayuda de GNS, acepta la oferta responsable más baja.

GNS calculará el monto y los términos del préstamo/subvención y lo revisará con el propietario.

GNS presentará el préstamo al comité de préstamos para su aprobación y GNS se pondrá en contacto con el propietario de la vivienda para informarle de la decisión del comité de préstamos.

El propietario de la vivienda debe firmar los documentos del acuerdo de préstamo / subvención con la ciudad y el contratista en la reunión previa a la construcción. ¡Construcción! GNS le ayudará a través de este proceso y llevará a cabo inspecciones.

GNS ha revisado el proceso conmigo/nosotros, y me gustaría continuar.

Nombre del propietario de la vivienda Nombre del propietario de la vivienda Firma del Propietario/Fecha Firma del Propietario/Fecha Housing Rehabilitation Process
Congratulations. Your application has qualified you to go to the next step in the Housing Rehabilitation process. Below is a brief outline of the steps that need to be successfully completed to have work performed on your home. Until you sign the loan/grant documents with the city and sign the contract with the contractor, there is no guarantee that construction will begin.

Please feel free to contact Alysia at 530.938.4115 ext. 131 or [email protected] or Brandy at 530.938.4115 ext. 115 or [email protected] with any questions.

Client/GNS walk-through: This will determine the scope of work to be done.

Draft proposed scope of work and work estimate and review with homeowner.

GNS will let you know if the work to be completed is beyond the scope of the funding available.

GNS will pull a preliminary title report.

This will let us know if there are any liens on the home, who is on title and if all the taxes are paid.

This cost is included in the loan/grant. This will take approximately 2 weeks. Any issues with the title will need to be cleared before moving the project forward.

GNS will conduct an environmental study.

This can take 1 week to 2 months depending on the complexity of the project and where construction will take place (inside or outside of the home).

Draft Request for Bid packet and review with homeowner.

Publish Request for Bids, conduct pre-bid walk-through, accept and open bids.

Owner with the assistance of GNS accepts lowest responsible responsive bid.

GNS will calculate loan/grant amount and terms and will review with homeowner.

GNS will present the loan to the loan committee for approval and GNS will contact homeowner with the loan committee's decision.

Homeowner to sign loan/grant agreement documents with city and contractor at pre- construction meeting
Construction! GNS will assist you through this process and conduct inspections.

GNS has reviewed the process with me/us, and I/we would like to proceed.

Name of Homeowner Name of Homeowner
Signature of Homeowner/Date /Signature of Homeowner/Date Lead Safe Housing Rule Toolkit
Lead Safe Housing Requirements Screening on
Exemption or Limited Exemption
This worksheet should be placed in the project file for any residential property that is assisted with Federal funds. Parts 1-3 should be completed for all projects. Read the footnotes for additional information.

Property Owner and Address:

Part 1: Exemptions from Lead Safe Housing Rule including Lead Disclosure If the answer to any of the following questions is yes, the property is exempt from all requirements of 24 CFR Part 35 (Lead Safe Housing Rule), including Disclosure and provision of the Protect Your Family Pamphlet (Subpart A). The regulatory citation of each exemption is cited as additional guidance.

Question Citation Yes No
* Was the property constructed after January 1, 1978? [35.86, 115] • YES • NO * Is this a zero-bedroom unit? (e.g. SRO, efficiency) [35.86, 115] • YES • NO • Is this dedicated elderly' housing? (i.e. over age
[35.86, 115] • YES • NO
62)
* Is this housing dedicated for the disabled? [35.86, 115] • YES • NO For lease transaction, has apaint inspection conducted
in accordance with 35.1320(a) established that the
property is free of lead-based paint?
The date of the original paint [35.82, 115] • YES • NO
inspection was
An optional paint inspection conducted
on_ confirmed this priorfinding.

Is this a short-term lease of 100 days or less, where no lease renewal or extension can occur? [35.82] • YES • NO 'Defined as retirement communities or similar types of housing reserved for households composed of one or more persons over age 62, or other age if recognized by a specific Federal housing assistance program.

However, if a child under age 6 resides or is expected to reside in such a unit, the unit is not exempt. or is regarded by others as having such an impairment. However, if a child under age 6 resides or is expected to reside in such a unit, the unit is not exempt. 1
Part 2: Exemptions from Lead Safe Housing Rule Subparts B-R Only If the answer to any of the following questions is yes, the property is exempt from the requirements of 24 CFR Part 35 Subparts B-R. The property must still follow disclosure requirements. The regulatory citation of each exemption is cited as additional guidance.

Question Citation Yes No
* Has all lead-based paint in the property been identified and removed (no encapsulation or enclosure), and has
clearance been achieved as cited below?
• Clearance was achieved prior to September 15,
2000, and the work was done in accordance with [35.115(a) (5)] • YES • • NO 40 CFRPart 745.227(b).
• Clearance was achieved after September 15, 2000,
and the work was done in accordance with 24 CFR
Part 35.1320, 1325 and 1340.
* Will a currently vacant unit remain vacant until it is demolished? [35.115(a)(6)] • YES • NO
* Is the property used for non-residential purposes? [35.115(a)(7)] • YES • NO * Are emergency actions immediately necessary to safeguard again imminent danger to human life, health or safety, or to protect the property from further structural damage (e.g. after [35.115(a) (9)] • YES • NO natural disaster or fire)? (Note: Only the emergency actions are exempt.)
* Will all rehab exclude disturbing painted surfaces? [35.115(a) (8)] • YES • NO * Is the assistance for emergency housing or foreclosure prevention for a particular unit, where the assistance ends no later than 100 days after the initial payment or assistance! it [35.115(a) (11)] • YES • NO yes, Subpart K requirements do not apply.^
3 Except that spaces such as entryways, hallways, stairways, etc. serving both residential and non-residential uses in a mixed- use property are not exempt.
*When a household is provided short-term emergency leasing assistance and will occupy a unit for less than 100 days, the unit is exempt from lead paint regulations. This emergency leasing exemption is attached to the unit, not the family, and is a one-time exemption. After being assisted for a total of 100 consecutive days, the unit becomes subject to regular Subpart K requirements. Multiple families cannot be cycled through the same unit at intervals of less than 100 days under this exemption.
2 Part 3: Limited Exemptions from Specific Hazard Reduction Requirements The HUD Final Rule allows for limited exemptions from specific requirements due to the characteristics of the rehabilitation work, the structure, or the occupants. If the answer to any of the following questions is yes, the grantee and/or occupant may waive certain requirements as described below. The other requirements of the LSHR will still apply.

Question Citation Yes No
For minor maintenance or repair work, is the
amount of painted surface to be disturbed below [35.1350(d) (1-3)] de minimis levels, asdefined below?
If yes for all areas/sizes, lead safe work practices and clearance are not required in that work area
• Less than 20 square feet on an exterior surface [35.1350(d)(1)] • YES • NO • Less than 2 square feet in any single interior [35. 1350(d) (2)] • YES • NO rooms
• Less than 10% of surface area of an
interior/exterior component [35.1350(d) (3)] • YES • NO * Is the unit occupied by an elderly person(s)?
HUD Interpretive
If yes, relocation of the elderly occupants) is not
Guidance, April • YES • NO
required if complete disclosure of the nature of the work 16, 2001, # J-24 is provided and informed consent is obtained prior to
rehabilitation.

Is a unit that is subject to abatement requirements listed or eligible for listing on the National Register of Historic Places, or does it contribute to a National Register
Historic District?
[35.115(13)] • YES • NO
If yes, the State Historic Preservation Office may request that interim controls be implemented rather than
abatement. Ongoing maintenance and re-evaluation are
required.

I have evaluated the site and property, the work specifications, and interviewed the occupants. In my professional opinion, this unit qualifies for the indicated exemption(s).

Signature Date
Print Name
5 To be exempt from safe work practices, the area of deteriorated paint in an interior room cannot exceed a total of 2 squarefeet OR 10% of a component with a small surface area, such as interior window sills, baseboards and trim. In other words, both thresholds always apply. For example, living room baseboards with 3 square feet of deteriorated paint cannot be exempted on the grounds that the 3 square feet constitutes less than 10% of the component. Similarly, deteriorated paint of an area of less than 2 square feet is not considered below the de minimis level if the area exceeds 10% of a small component, such as a windowsill. www.hudexchange.info/programs/lead-based-paint/Ishr-toolkit 3 Verification of Receiving Lead-Based Paint Pamphlet
I hereby certify that I have received and understand the EPA Protect Your Family from Lead in Your Home" pamphlet.

Applicant's Name
Address
Date
City/County Kepresentative
Protect
DAF
OLD
Your
Family
From
Lead in
Your
Home
United States
Environmental
Protection Agency
LOUST BATTY CON United States
Consumer Product
Safety Commission

CONITED STATES
United States
Department of Housing
and Urban Development
January 2026 English
Are You Planning to Buy or Rent a Home Built
Before 1978?
Did you know that many homes built before 1978 have lead-based paint? Lead from paint, chips and dust can pose serious health hazards.

Read this entire brochure to learn:
• How lead gets into the body
• How lead affects health
• What you can do to protect your family
• Where to go for more information
Before renting or buying a pre-1978 home or apartment, federal law requires sellers, landlords, agents and rental property managers to:
• Disclose known information about the presence of lead-based paint or lead-based paint hazards (or state there is none)
• Provide all available records and reports on lead-based paint and lead-based paint hazards (or state there are none)
• Include a specific warning statement about lead-based paint • Give buyers up to 10 days to have a certified inspector or risk assessor check for lead
If undertaking renovation, repair or painting (RRP) projects in your pre-1978 home or apartment:
• Read EPA's pamphlet, The Lead-Safe Certified Guide to Renovate Right, to learn about the lead-safe work practices that contractors are required to follow when working in your home (see page 12).

Steps to Protect Your Family from Lead Hazards
If you think your home has lead-based paint:
• Don't try to remove lead-based paint yourself.
• Always keep painted surfaces in good condition to minimize deterioration.
• Get your home checked for lead hazards. Find a certified risk assessor at cdxapps.epa.gov/leadpro.
• Talk to your landlord about fixing surfaces with peeling or chipping paint.
• Regularly clean floors, window sills and other surfaces using wet methods.
• Take precautions to avoid exposure to lead dust when remodeling. • Hire only EPA-, Tribal- or state-approved Lead-Safe Certified renovation firms when renovating, repairing or painting. Find an EPA-certified firm using cdxapps.epa.gov/leadpro.
• Have your home checked for lead-based paint by a certified inspector or risk assessor before buying, renting or renovating your home. • Consult your health care provider about testing your children for lead.

Your pediatrician can check for lead with a simple blood test. • Wash children's hands, bottles, pacifiers and toys often. • Make sure children eat a well-balanced diet with foods high in iron, calcium and vitamin C as these nutrients may help prevent the absorption of lead.
• Remove shoes or wipe soil and other dirt off shoes before entering your house.
1 Lead Gets into the Body in Many Ways
Adults and children can get lead into their bodies if they:
• Breathe in lead dust (especially during activities such as renovations, repairs or painting that disturb painted surfaces)
• Swallow lead dust that has settled on food, food preparation surfaces and other places
• Eat paint chips or soil that contains lead
Lead is especially dangerous to children under the age of 6. • At this age, children's brains
and nervous systems are
more sensitive to the
damaging effects of lead.
• Children's growing bodies
absorb more lead.
• Babies and young children
often put their hands
and other objects in their
mouths. These objects can
have dust that may contain
lead on them.

Lead is dangerous to a developing fetus.
• Lead can build up in the body over time, settling in the bones. This stored lead can be transferred during pregnancy to a fetus or after birth to an infant through breast milk.

Please see pages 13 and 14 for more information on sources of lead exposure.
2 Health Effects of Lead
Lead affects the body in many ways. It is important to know that no safe blood lead level has been identified and even exposure to low levels of lead can harm children. Brain Nerve Damage
Hearing
Problems
In children, exposure to lead can cause:
• Nervous system and kidney damage
Slowed
• Learning disabilities, attention-deficit
Growth
disorder and decreased intelligence
• Speech, language and behavior problems
• Poor muscle coordination
• Decreased muscle and bone growth
• Hearing damage
Digestive
Problems
While low-lead exposure is most common,
exposure to high amounts of lead can have Reproductive
Problems
devastating effects on children, including (Adults)
seizures, unconsciousness and in some cases, death.

In adults, exposure to lead can cause an increased risk of:
• Miscarriage during pregnancy
• The baby being born too early or too small
• Harm to a developing fetus' brain, kidneys and nervous system • Fertility problems (in men and women)
• High blood pressure
• Digestive problems
• Nerve disorders
• Memory and concentration problems
• Muscle and joint pain
3 Check Your Family for Lead
Get your children and home tested if you think your home has lead.

Children's blood lead levels (BLLs) tend to increase rapidly from 6 to 12 months of age, and BLLs tend to peak at 18 to 24 months of age.

A simple blood test is the best way to find out if a child has been exposed to lead. A child who has been exposed to lead may not have visible signs or symptoms and may look and act healthy. Consult your doctor for advice on getting your children tested.

Blood lead tests are required for the following groups:
• Children at 12 and 24 months enrolled in Medicaid
• Children between 24 and 72 months enrolled in Medicaid with no record of a previous blood lead test
• Children who should be tested under your Tribal, state or local health testing plan
Blood lead tests are recommended for the following groups:
• Children at 12 and 24 months living in areas that are at higher risk or who belong to populations that are at higher risk"
• Children or other family members who have been exposed to lead Your doctor can explain what the test results mean and if more testing will be needed.
* Some children are more likely to be exposed to lead than others.

These include children who live or spend time in a house or building built before 1978, are from low-income households, live or spend time with someone who works with lead or are immigrants, refugees or recently adopted from less developed countries.
4 Where Lead-Based Paint Is Found
In general, the older your home or childcare facility, the more likely it has lead-based paint.'
Many homes and childcare facilities built before 1978 may have lead-based paint. In 1978, the federal government banned consumer uses of lead-containing paint.

Learn how to determine if paint is lead-based paint on page 7.

Lead can be found:
• In homes and childcare facilities in the city, country or suburbs • In private and public single-family homes and apartments • On surfaces inside and outside of the house
• In soil around a home (soil can pick up lead from exterior paint or other sources, such as past use of leaded gas in cars)
Learn more about where lead is found at epa.gov/lead.
sr
1 "Lead-based paint" is currently defined by the federal government as paint with lead levels greater than or equal to 1.0 milligram per square centimeter (mg/cm?), or more than 0.5% by weight.
2 "Lead-containing paint" is currently defined by the federal government as lead in new dried paint in excess of 90 parts per million (ppm) by weight. 5 Identifying Lead-Based Paint and Lead-Based Paint
Hazards
Deteriorated lead-based paint (peeling, chipping, chalking, cracking or damaged paint) is a hazard and needs immediate attention. Lead-based paint may also be a hazard when found on surfaces that children can chew or that get a lot of wear and tear, such as:
• On windows and window sills
• Doors and door frames
• Stairs, railings, banisters and porches
Lead-based paint is usually not a hazard if it is in good (intact) condition and if it is not on an impact or friction surface like a window.

Lead dust can form when lead-based paint is scraped, sanded or heated. Lead dust also forms when painted surfaces containing lead bump or rub together. Lead paint chips and dust can get on surfaces and objects that people touch. Settled lead dust can reenter the air when the home is vacuumed or swept, or when people walk through it. EPA currently defines any reportable level of lead dust measured by an EPA-recognized lead laboratory as hazardous.

If you suspect your home has lead-based paint, you should clean regularly to minimize dust using the information on pages 9 and 11, especially when young children live in the home. EPA does not recommend lead abatements based on lead dust unless the lead dust is at or above the action levels listed on page 11.

Lead in soil can be a hazard when children play in bare soil or when people bring soil into the house on their shoes. EPA currently defines the following levels of lead in soil as hazardous:
• 400 parts per million (ppm) and higher in play areas of bare soil • 1,200 ppm (average) and higher in bare soil in the remainder of the yard
Remember, lead from paint chips—which you can see-and lead in dust or soil—which you may not be able to see-can both be hazards.

The only way to find out if paint, dust or soil lead hazards exist is to test 6 for them. The next page describes how to do this.

Checking Your Home for Lead
Hire a certified lead professional to get your home tested for lead in several different ways:
• A lead-based paint inspection tells you if your home has lead-based paint and where it is located. It won't tell you whether your home currently has lead hazards or how to deal
with them. A trained and certified lead-based
paint inspector will inspect the paint using:
• A portable x-ray fluorescence (XRF)
machine
• Lab tests of paint samples collected by the
inspector to be tested in an
EPA-recognized lead laboratory
• A risk assessment tells you if your home
currently has any lead hazards from paint,
dust or soil, and what actions to take to
address any hazards. A trained and certified
lead-based paint risk assessor will:
• Sample paint that is deteriorated on doors, windows, floors, stairs and walls
• Sample dust near painted surfaces and sample bare soil in the yard
• Get lab tests of paint, dust and soil samples
• A combination inspection and risk assessment tells you if your home has any lead-based paint, if it has any lead hazards and where both are located.

Be sure to read the report provided to you after your inspection or risk assessment is completed and ask questions about anything you do not understand. Closely monitor areas that are known to have lead-based paint.
7 Checking Your Home for Lead, continued
In preparing for renovation, repair or painting work in a pre-1978 home, Lead-Safe Certified renovators (see page 12) may do any of the following:
• Take paint chip samples to determine if lead-based paint is present in the area planned for renovation and send them to an EPA-recognized lead lab for analysis
• Use EPA-recognized tests kits to determine if lead-based paint is absent
• Presume that lead-based paint is present and use lead-safe work practices
There are state, Tribal and federal programs in place to ensure that testing is done safely, reliably and effectively. Contact your state, Tribal or local agency for more information, visit epa.gov/lead, or call toll-free 1-800-424-LEAD (5323) for a list of contacts in your area.3 st
3 Hearing-or speech-challenged individuals may access this number through TTY by calling 711.
8 What You Can Do Now to Protect Your Family
If you suspect that your house has lead-based paint hazards, you can take some immediate steps to reduce your family's risk:
• If you rent, notify your landlord of peeling or chipping paint. • Keep painted surfaces clean and free of dust. Clean floors, window frames, window sills and other surfaces weekly. Use a mop or sponge with warm water and a general all-purpose cleaner. (Remember:
never mix ammonia and bleach products together because they can form a dangerous gas.)
• Carefully clean up paint chips immediately without creating dust. • Thoroughly rinse sponges and mop heads often during cleaning of dirty or dusty areas, and again afterward.
• Wash your hands and your children's hands often, especially before they eat and before nap time and bedtime.
• Keep play areas clean. Wash bottles, pacifiers, toys and stuffed animals regularly.
• Keep children from chewing window sills or other painted surfaces, or eating soil.
• When renovating, repairing or painting, hire only EPA-, Tribal- or state- approved Lead-Safe Certified renovation firms (see page 12). • Clean or remove shoes before entering your home to avoid tracking in lead from soil.
• Make sure children eat a well-balanced diet of fruits, vegetables, grains, dairy and protein-rich foods. Foods that are higher in iron, calcium and vitamin C may help reduce the body's absorption of lead.

Children with empty stomachs absorb more lead than children with food in their stomachs.
9 Reducing Lead Hazards
Disturbing lead-based paint or
removing lead improperly can
increase the hazard to your family by
spreading even more lead dust around
the house.
• In addition to day-to-day cleaning
and good nutrition, you can
temporarily reduce lead-based paint
hazards by taking actions, such as
repairing damaged painted surfaces
and planting grass to cover lead-
contaminated soil. These actions are
not permanent solutions and will need
ongoing attention.
• You can minimize exposure to lead
when renovating, repairing or painting by hiring an EPA-, Tribal-or state-certified renovator who is trained in the use of lead-safe work practices. If you are a do-it-yourselfer, learn how to use lead-safe work practices in your home.
• To remove lead hazards, you should hire a certified lead abatement contractor. Abatement methods (which are designed to permanently address lead-based paint hazards) include removing, sealing or enclosing lead-based paint with special materials. Just painting over the hazard with regular paint will not permanently address the lead-based paint hazards.

Always use a certified contractor who is trained to address lead hazards safely.
• Hire a Lead-Safe Certified firm (see page 12) to perform renovation, repair or painting (RRP) projects that disturb painted surfaces. • Hire a certified lead abatement contractor to permanently address lead hazards. This will ensure your contractor knows how to work safely and has the proper equipment to clean up thoroughly. • Certified contractors will employ qualified workers and follow strict safety rules set by their state or Tribe or by the federal government. 10 Reducing Lead Hazards, continued
If your home has had a lead abatement, dust cleanup activities must be conducted once the work is completed. Dust cleanup activities must be conducted until clearance testing indicates that lead dust levels are below the following action levels:
• 5 micrograms per square foot (ug/ft?) for floors, including carpeted floors
• 40 ug/ft for interior window sills
• 100 ug/ft for window troughs
Abatements are designed to permanently address lead-based paint hazards. However, when an abatement is complete, lead dust may still remain above reportable levels (see page 6) and can also be reintroduced into an abated area. Steps to keep lead dust low after an abatement include:
• Using a HEPA vacuum on all furniture and other items returned to the area
• Regularly cleaning floors, window sills, troughs and other hard surfaces with a damp cloth or sponge and a general all-purpose cleaner
Please see page 9 for more information on steps you can take to protect your home after the abatement. For help in locating certified lead abatement professionals in your area, call your state, Tribal or local agency (see pages 15 and 16), visit cdxapps.epa.gov/leadpro, or call toll-free 1-800-424-LEAD [5323].
11 Renovating, Repairing or Painting a Home with
Lead-Based Paint
If you hire a contractor to conduct renovation, repair or painting (RRP) projects in your pre-1978 home or childcare facility (such as pre-school and kindergarten), your contractor must:
• Be a Lead-Safe Certified firm approved by EPA or an
THE 1E-NAS,E CERTIFIED GUIDE TO
EPA-authorized state or Tribal program RENOVATE
• Use qualified trained individuals (Lead-Safe RIGHT
Certified renovators) who follow specific lead-safe
work practices to prevent lead contamination
AUTION. CAUTION.
• Provide a copy of EPA's lead hazard information
document, The Lead-Safe Certified Guide to
SEPA
Renovate Right
RRP contractors working in pre-1978 homes and childcare facilities must follow lead-safe work practices that:
• Contain the work area. The area must be contained so that dust and debris do not escape from the work area. Warning signs must be put up, and plastic or other impermeable material and tape must be used. • Avoid renovation methods that generate large amounts of lead-contaminated dust. Some methods generate so much lead- contaminated dust that their use is prohibited. These prohibited methods are:
• Open-flame burning or torching
• Sanding, grinding, planing, needle gunning or blasting with power tools and equipment not equipped with a shroud and HEPA vacuum attachment
• Using a heat gun at temperatures greater than 1100°F
• Clean up thoroughly. The work area should be cleaned up daily.

When all the work is done, the area must be cleaned up using special cleaning methods and then checked to confirm adequate cleanup. • Dispose of waste properly. Collect and seal waste in a heavy-duty bag or sheeting. When transported, ensure that waste is contained to prevent release of dust and debris.

To learn more about EPA's requirements for RRP projects, visit 12 epa.gov/getleadsafe, or read The Lead-Safe Certified Guide to Renovate Right.

Other Sources of Lead
Lead in Drinking Water
The most common sources of lead in drinking water in homes are lead pipes, fixtures, brass or chrome-plated brass faucets and plumbing with lead solder.

Lead pipes are more likely to be found in older cities and homes built before 1986.

You can't smell or taste lead in drinking water.

To find out for certain if you have lead in drinking water, have your water tested (See below).

Remember that older homes with a private well can also have plumbing materials that contain lead.

Important Steps You Can Take to Reduce Lead in Drinking Water • Use only cold water for drinking, cooking and making baby formula.

Boiling water does not remove lead from water.
• Before drinking, flush your home's pipes by running the tap, taking a shower, doing laundry or doing a load of dishes.
• Regularly clean your faucet's screen (also known as an aerator). • If you use a filter certified to remove lead, read the directions to learn when to change the cartridge. Using a filter after it has expired can make it less effective at removing lead.

Contact your water company to determine if the pipe that connects your home to the water main (called a service line) is made from lead.

Your area's water company can also provide information about the lead levels in your system's drinking water.

For more information about lead in drinking water, please use EPA's Safe Drinking Water online form at epa.gov/safewaterhotline.

Call your local health department or water company to find out about testing your water, or visit epa.gov/safewater for EPA's lead in drinking water information. Some states or utilities offer programs to pay for water testing for residents. Contact your state or local water company to learn more.
13 Other Sources of Lead, continued
• Lead smelters or other industries that release lead into the air. • Your job. Working in certain jobs may increase adults' potential exposure to lead, such as: renovation or repair of older homes and buildings, painting, construction, refinishing furniture, smelting, mining, auto repair, handling firearms and working at hazardous waste sites. If you work with lead, lead dust or soil could get onto your skin, in your hair and clothes, which can be transferred to the inside of your car or home. Shower and change clothes before coming home. Launder your work clothes separately from the rest of your family's clothes.
• Hobbies that use lead, such as making pottery or stained glass, fishing, shooting at a gun range or refinishing furniture that has lead-containing paint or varnish. Call your local health department for information about hobbies that may use lead
• Old toys and furniture may have been painted with lead-containing paint or varnish. Older toys and other children's products may have parts that contain lead.4
• Food and liquids cooked or stored in lead crystal or lead-glazed pottery or porcelain may contain lead.
• Items made in other countries and imported into the United States may have lead including toys, painted furniture, metal or plastic jewelry, health remedies, foods, spices, candies, cosmetics, powders, make-up used in religious and cultural practices and folk remedies, such as "greta" and "azarcon," used to treat an upset stomach. • Older playground equipment can contain old lead-based paint, and artificial turf and playground surfaces made from shredded rubber can contain lead. Take precautions to ensure young children do not eat shredded rubber or put their hands in their mouth before washing them.
4 In 1978, the federal government banned toys, other children's products, and furniture with lead-containing paint. In 2008, the federal government banned lead in most children's products. The federal government currently bans lead above 100 ppm by weight in most children's products.
14 For More Information
The National Lead Information Center
Learn how to protect children from lead poisoning and get other information about lead hazards on the Web at epa.gov/lead and hud.gov/lead, or call toll-free 1-800-424-LEAD (5323).

EPA's Safe Drinking Water Hotline
For information about lead in drinking water visit epa.gov/safewater or use EPA's Safe Drinking Water online form at epa.gov/safewaterhotline.

Consumer Product Safety Commission (CPSC) Hotline
For information on lead in toys and other consumer products, or to report an unsafe consumer product or a product-related injury, call toll-free 1-800-638-2772, or visit CPS's website at cpsc.gov or saferproducts.gov.

Food and Drug Administration
For information on lead in food and foodwares visit www.fda.gov/food/ environmental-contaminants-food/lead-food-and-foodwares.

Centers for Disease Control and Prevention
For information on childhood lead poisoning prevention visit: www. cdc.gov/lead
State and Local Health and Environmental Agencies
Some states, Tribes, counties and cities have their own rules related to lead-based paint. Check with your local agency to see which laws apply to you. Most agencies can also provide information on finding a lead abatement firm in your area, and on possible sources of financial aid for reducing lead hazards. Receive up-to-date address and phone information for your state, Tribal or local contacts on the Web at epa.gov/lead, or contact the National Lead Information Center toll-free at 1-800-424-LEAD [5323].

Hearing-or speech-challenged individuals may access any of the phone numbers in this brochure through TTY by calling 711. 15 U.S. Environmental Protection Agency (EPA)
Regional Offices
The mission of EPA is to protect human health and the environment.

Your Regional EPA Office can provide further information regarding regulations and lead protection programs: epa.gov/lead/contacts.

Region 1 (Connecticut, Massachusetts, Maine, Region 6 (Arkansas, Louisiana, New Mexico, New Hampshire, Rhode Island, Vermont and Oklahoma, Texas, and 66 Tribes) 10 federally recognized Tribes)
Regional Lead Contact
Regional Lead Contact U.S. EPA Region 6
U.S. EPA Region 1 1201 Elm Street, Suite 500
5 Post Office Square, Suite 100 Dallas, TX 75270
Boston, MA 02109-3912 (214) 665-7577
(888) 372-7341
Region 7 (lowa, Kansas, Missouri, Nebraska
Region 2 (New Jersey, New York, Puerto Rico, and 9 Tribes) Virgin Islands and 8 Tribes) Regional Lead Contact
Regional Lead Contact U.S. EPA Region 7
U.S. EPA Region 2 11201 Renner Blvd.
2890 Woodbridge Avenue LCRD/TTPB
Building 205, Mail Stop 225 Lenexa, KS 66219
Edison, NJ 08837-3679 (800) 223-0425
Region 3 (Delaware, Maryland, Pennsylvania, Region 8 (Colorado, Montana, North Virginia, DC, West Virginia and 7 Tribes) Dakota, South Dakota, Utah, Wyoming and Regional Lead Contact 28 Tribes)
U.S. EPA Region 3 Regional Lead Contact
Four Penn Center U.S. EPA Region 8
1600 JFK Blvd 1595 Wynkoop St.

Philadelphia, PA 19103-2029 Denver, CO 80202
(303) 312-6169
Region 4 (Alabama, Florida, Georgia,
Kentucky, Mississippi, North Carolina, South Region 9 (Arizona, California, Hawaii, Carolina, Tennessee and 6 Tribes) Nevada, Guam, American Samoa, Northern Regional Lead Contact Marianas, Palau, Micronesia, Marshall Islands and 148 Tribes)
U.S. EPA Region 4
61 Forsyth Street, SW Regional Lead Contact
Atlanta, GA 30303 U.S. EPA Region 9 (LNC-2-2)
75 Hawthorne Street
Region 5 (Illinois, Indiana, Michigan, San Francisco, CA 94105 Minnesota, Ohio, Wisconsin and 37 Tribes) (415) 947-8000 Regional Lead Contact
U.S. EPA Region 5 (LL-17J) Region 10 (Alaska, Idaho, Oregon, 77 West Jackson Boulevard Washington and 271 Tribes)
Chicago, IL 60604 Regional Lead Contact
(312) 353-3808 U.S. EPA Region 10(20-C04)
1200 Sixth Avenue, Suite 155
Seattle, WA 98101
(206) 553-1200
16 Consumer Product Safety Commission (CPSC)
The CPSC protects the public against unreasonable risk of injury from consumer products through education, safety standards activities and enforcement. Contact CPSC for further information regarding consumer product safety and regulations.

CPSC
4330 East-West Highway
Bethesda, MD 20814-4421
1-800-638-2772
cpsc.gov or saferproducts.gov
U.S. Department of Housing and Urban
Development (HUD)
HUD's mission is to create strong, sustainable, inclusive communities and quality affordable homes for all. Its Office of Lead Hazard Control and Healthy Homes' (OLHCHH's) lead hazard reduction grants, healthy homes grants, and guidance and enforcement of the Lead Disclosure Rule and Lead Safe Housing Rule, protect families from lead and other housing hazards.

HUD OLCHH
[email protected]
hud.gov/lead
This document is in the public domain. It may be produced by an individual or organization without permission. Information provided in this booklet is based upon current scientific and technical understanding of the issues presented and is reflective of the jurisdictional boundaries established by the statutes governing the co-authoring agencies. Following the advice given will not necessarily provide complete protection in all situations or against all health hazards that can be caused by lead exposure.

U.S. EPA EPA-747-K-26-001
U.S. CPSC January 2026
U.S. HUD
17 IMPORTANT!
Lead From Paint, Dust and Soil in and
Around Your Home Can Be Dangerous if
Not Managed Properly
• Children under 6 years old are most at risk for lead
poisoning.
• Lead exposure can harm young children and babies even before they are born.
• Homes, schools and childcare facilities built before 1978 are likely to contain lead-based paint.
• Even children who seem healthy may have dangerous
levels of lead in their bodies.
• Disturbing surfaces with lead-based paint or removing lead-based paint improperly can increase the danger to
your family.
• People can get lead into their bodies by breathing or swallowing lead dust, or by eating soil or paint chips
containing lead.
• People have many options for reducing lead hazards.

Generally, lead-based paint that is in good condition is not a hazard (see page 10).

THE LEAD-SAFE CERTIFIED GUIDE TO

RENOVATE
RIGHT
WARNIN

LEAD WORK AR
POISON

NO SMOKING

OR EATING

AUTION CAUTION CAUTION CAUTION CAUTION C CA
ЗЕРА
1-800-424-LEAD (5323)
epa.gov/getleadsafe
EPA-740-K-10-001
Revised September 2011
Important lead hazard information for
families, child care providers and schools.

SE AD-SAFE

SEPA SEPA

CERTIFIED FIRE
This document may be purchased through the U.S. Government Printing Office online at bookstore.gpo.gov or by phone (toll-free): 1-866-512-1800.

SAMPLE
IT'S THE LAW!
Federal law requires contractors that disturb painted surfaces in homes, child care facilities and schools built before 1978 to be certified and follow specific work practices to prevent lead contamination. Always ask to see your contractor's certification.

Federal law requires that individuals receive certain information before renovating more than six square feet of painted surfaces in a room for interior projects or more than twenty square feet of painted surfaces for exterior projects or window replacement or demolition in housing, child care facilities and schools built before 1978.
• Homeowners and tenants: renovators must give you this pamphlet before starting work.

SAMP • Child care facilities, including preschools and kindergarten classrooms, and the families of children under six years of age that attend those facilities: renovators must provide a copy of this pamphlet to child care facilities and general renovation information to families whose children attend those facilities.

WHO SHOULD READ THIS PAMPHLET?
This pamphlet is for you if you:
• Reside in a home built before 1978.
• Own or operate a child care facility, including preschools and kindergarten classrooms, built before 1978, or
• Have a child under six years of age who attends a child care facility built before 1978.

You will learn:
• Basic facts about lead and your health.
• How to choose a contractor, if you are a property owner. • What tenants, and parents/guardians of a child in a child care facility or school should consider.
• How to prepare for the renovation or repair job.
• What to look for during the job and after the job is done. • Where to get more information about lead
This pamphlet is not for:

SAMR
• Abatement projects. Abatement is a set of activities aimed specifically at eliminating lead or lead hazards. EPA has regulations for certification and training of abatement professionals. If your goal is to eliminate lead or lead hazards, contact the National Lead Information Center at 1-800-424-LEAD (5323) for more information. • "Do-it-yourself" projects. If you plan to do renovation work yourself, this document is a good start, but you will need more information to complete the work safely. Call the National Lead Information Center at 1-800-424-LEAD (5323) and ask for more information on how to work safely
in a home with lead-based paint.
• Contractor education. Contractors
who want information about working
safely with lead should contact
the National Lead Information
Center at 1-800-424-LEAD (5323)
for information about courses and
resources on lead-safe work practices.

RENOVATING, REPAIRING, OR PAINTING? LEAD AND YOUR HEALTH • Is your home, your building, or the child care facility Lead is especially dangerous to children or school your children attend being renovated, under six years of age. repaired, or painted?
Lead can affect children's brains and developing
• Was your home, your building, or the child care facility nervous systems, causing:
or school where your children under six years of age • Reduced IQ and learning disabilities. attend built before 1978?
• Behavior problems.

If the answer to these questions is YES, there are a
few important things you need to know about
Even children who appear healthy can have
lead-based paint.
dangerous levels of lead in their bodies.

This pamphlet provides basic facts about lead and Lead is also harmful to adults. In adults, low levels information about lead safety when work is being of lead can pose many dangers, including:
done in your home, your building or the child care
• High blood pressure and hypertension.
facility or school your children attend.
• Pregnant women exposed to lead can transfer lead to their fetuses. Lead gets into the body when it is swallowed or inhaled.
• People, especially children, can swallow lead dust as they eat, play, and do other normal hand-to-mouth activities.
• People may also breathe in lead dust or fumes if they disturb lead-based paint.

People who sand, scrape, burn, brush, blast or otherwise disturb lead-based The Facts About Lead paint risk unsafe exposure to lead. • Lead can affect children's brains and developing nervous systems, causing reduced IQ, learning disabilities, and behavioral problems. Lead is also harmful to adults. What should I do if l am concerned about my family's exposure to lead? • Lead in dust is the most common way people are exposed to lead. People can also • A blood test is the only way to find out if you or a family member already has lead get lead in their bodies from lead in soil or paint chips. Lead dust is often invisible. poisoning. Call your doctor or local health department to arrange for a blood test. • Lead-based paint was used in more than 38 million homes until it was banned for • Call your local health department for advice on reducing and eliminating residential use in 1978. exposures to lead inside and outside your home, child care facility or school. • Always use lead-safe work practices when renovation or repair will disturb • Projects that disturb painted surfaces can create dust and endanger you and your painted surfaces.
family. Don't let this happen to you. Follow the practices described in this pamphlet to protect you and your family.

For more information about the health effects of exposure to lead, visit the EPA lead website at https://www.epa.gov/lead/learn-about-lead or call 1-800-424-LEAD (5323).

There are other things you can do to protect your family every day. • Regularly clean floors, window sills, and other surfaces. • Wash children's hands, bottles, pacifiers, and toys often. • Make sure children eat a healthy, nutritious diet consistent with the USDA's dietary guidelines, that helps protect children from the effects of lead. • Wipe off shoes before entering the house.

WHERE DOES THE LEAD COME FROM? CHECKING YOUR HOME FOR LEAD-BASED PAINT Dust is the main problem. Percentage of Homes Likely to Contain Lead The most common way to get lead in the body is from dust. Lead dust comes from Between
deteriorating lead-based paint and lead-contaminated soil that gets tracked into 1960 - 1978 024% your home. This dust may accumulate to unsafe levels. Then, normal hand to-mouth Between Age of Homes 69%
activities, like playing and eating (especially in young children), move that dust from 1940 - 1960 surfaces like floors and window sills into the body.

Before 1940 87%
Home renovation creates dust.
20 40 50 80 100
Common renovation activities like sanding, cutting, and demolition can create hazardous lead dust and chips.

Older homes, child care facilities, and schools are more likely to contain Proper work practices protect you from the dust. lead-based paint.

The key to protecting yourself and your family during a renovation, repair or painting Homes may be single-family homes or apartments. They may be private, government- job is to use lead-safe work practices such as containing dust inside the work area, assisted, or public housing. Schools are preschools and kindergarten classrooms. They using dust-minimizing work methods, and conducting a careful cleanup, as described may be urban, suburban, or rural. in this pamphlet.

You have the following options:

Other sources of lead.

You may decide to assume your home, child care facility, or school contains lead.

Remember, lead can also come from outside soil, your water, or household items Especially in older homes and buildings, you may simply want to assume lead-based (such as lead-glazed pottery and lead crystal). Contact the National Lead Information paint is present and follow the lead-safe work practices described in this brochure Center at 1-800-424-LEAD (5323) for more information on these sources. during the renovation, repair, or painting job.

You can hire a certified professional to check for lead-based paint.

These professionals are certified risk assessors or inspectors, and can determine if your home has lead or lead hazards.
• A certified inspector or risk assessor can conduct an inspection telling you whether your home, or a portion of your home, has lead-based paint and where it is located This will tell you the areas in your home where lead-safe work practices are needed. • A certified risk assessor can conduct a risk assessment telling you if your home currently has any lead hazards from lead in paint, dust, or soil. The risk assessor can also tell you what actions to take to address any hazards. • For help finding a certified risk assessor or inspector, call the National Lead Information Center at 1-800-424-LEAD (5323).

You may also have a certified renovator test the surfaces or components being disturbed for lead by using a lead test kit or by taking paint chip samples and sending them to an EPA-recognized testing laboratory. Test kits must be EPA-recognized and are available at hardware stores. They include detailed instructions for their use.

FOR TENANTS AND FAMILIES OF CHILDREN UNDER SIX

FOR PROPERTY OWNERS YEARS OF AGE IN CHILD CARE FACILITIES AND SCHOOLS You have the ultimate responsibility for the safety of your family, tenants, or children You play an important role ensuring the ultimate in your care. safety of your family.

This means properly preparing for the renovation and keeping persons out of the work This means properly preparing for the renovation area (see p. 8). It also means ensuring the contractor uses lead-safe work practices. and staying out of the work area (see p. 8).

Federal law requires that contractors performing renovation, repair and painting projects Federal law requires that contractors performing that disturb painted surfaces in homes, child care facilities, and schools built before 1978 renovation, repair and painting projects that disturb be certified and follow specific work practices to prevent lead contamination. painted surfaces in homes built before 1978 and in Make sure your contractor is certified, and can explain clearly the details of the job child care facilities and schools built before 1978, that and how the contractor will minimize lead hazards during the work. a child under six years of age visits regularly, to be • You can verify that a contractor is certified by checking EPA's website at certified and follow specific work practices to prevent lead contamination.
epa.gov/getleadsafe or by calling the National Lead Information Center at 1-800-424-LEAD (5323). You can also ask to see a copy of the contractor's The law requires anyone hired to renovate, repair, or do firm certification. painting preparation work on a property built before • Ask if the contractor is trained to perform lead-safe work practices and to see a 1978 to follow the steps described on pages 9 and 10 unless the area where the work copy of their training certificate. will be done contains no lead-based paint. • Ask them what lead-safe methods they will use to set up and perform the job in your home, child care facility or school. If you think a worker is not doing what he is supposed to do or is doing something • Ask for references from at least three recent jobs involving homes built before 1978, that is unsafe, you should:
and speak to each personally. • Contact your landlord.

Always make sure the contract is clear about how the work will be set up, • Call your local health or building department, or performed, and cleaned.
• Call EPA's hotline 1-800-424-LEAD (5323).
• Share the results of any previous lead tests with the contractor. • You should specify in the contract that they follow the work practices described on If you are concerned about lead hazards left behind after the job is over, you can pages 9 and 10 of this brochure. check the work yourself (see page 10). • The contract should specify which parts of your home are part of the work area and specify which lead-safe work practices will be used in those areas. Remember, your contractor should confine dust and debris to the work area and should minimize spreading that dust to other areas of the home.
• The contract should also specify that the contractor will clean the work area, verify that it was cleaned adequately, and re-clean it if necessary.

If you think a worker is not doing what he is supposed to do or is doing something that is unsafe, you should:
• Direct the contractor to comply with regulatory and contract requirements. • Call your local health or building department, or
• Call EPA's hotline 1-800-424-LEAD (5323).

If your property receives housing assistance from HUD (or a state or local agency that uses HUD funds), you must follow the requirements of HUD's Lead-Safe Housing Rule and the ones described in this pamphlet.

PREPARING FOR A RENOVATION DURING THE WORK
The work areas should not be accessible to occupants while the work occurs. Federal law requires contractors that are hired to perform renovation, repair and painting projects in homes, child care facilities, and schools built before 1978 that disturb painted The rooms or areas where work is being done may need to be blocked off or sealed surfaces to be certified and follow specific work practices to prevent lead contamination. with plastic sheeting to contain any dust that is generated. Therefore, the contained area may not be available to you until the work in that room or area is complete, The work practices the contractor must follow include these three simple procedures, cleaned thoroughly, and the containment has been removed. Because you may not described below:
have access to some areas during the renovation, you should plan accordingly.

1. Contain the work area. The area must be contained so that dust and debris do not escape from that area. Warning signs must be put up and plastic or other impermeable material You may need: and tape must be used as appropriate to:
• Alternative bedroom, bathroom, and kitchen arrangements if work is occurring in • Cover the floors and any furniture that cannot be moved. those areas of your home.
• A safe place for pets because they too can be poisoned by lead and can track lead • Seal off doors and heating and cooling system vents. dust into other areas of the home. • For exterior renovations, cover the ground and, in some instances, erect vertical • A separate pathway for the contractor from the work area to the outside in order to containment or equivalent extra precautions in containing the work area. bring materials in and out of the home. Ideally, it should not be through the same These work practices will help prevent dust or debris from getting outside the work area. entrance that your family uses.

2. Avoid renovation methods that generate large amounts of lead-contaminated dust. • A place to store your furniture. All furniture and belongings may have to be moved Some methods generate so much lead-contaminated dust that their use is prohibited. from the work area while the work is being done. Items that can't be moved, such as They are:
cabinets, should be wrapped in plastic.
• Open flame burning or torching.
• To turn off forced-air heating and air conditioning systems while the work is being done. This prevents dust from spreading through vents from the work area to the • Sanding, grinding, planing, needle gunning, rest of your home. Consider how this may affect your living arrangements. or blasting with power tools and equipment not equipped with a shroud and HEPA
You may even want to move out of your home temporarily while all or part of the vacuum attachment. work is being done.
• Using a heat gun at temperatures greater
Child care facilities and schools may want to consider alternative accommodations than 1100°F. for children and access to necessary facilities.

There is no way to eliminate dust, but some renovation methods make less dust than others.

Contractors may choose to use various methods to minimize dust generation, including using water to mist areas before sanding or scraping; scoring paint before separating components; and prying and pulling apart components instead of breaking them.

3. Clean up thoroughly. The work area should be cleaned up daily to keep it as clean as possible. When all the work is done, the area must be cleaned up using special cleaning methods before taking down any plastic that isolates the work area from the rest of the home. The special cleaning methods should include:
• Using a HEPA vacuum to clean up dust and debris on all surfaces, followed by • Wet wiping and wet mopping with plenty of rinse water.

When the final cleaning is done, look around. There should be no dust, paint chips, or debris in the work area. If you see any dust, paint chips, or debris, the area must be re-cleaned.

FOR PROPERTY OWNERS: AFTER THE WORK IS DONE FOR ADDITIONAL INFORMATION When all the work is finished, you will want to know if your home, child care facility, or You may need additional information on how to protect yourself and your children school where children under six attend has been cleaned up properly. while a job is going on in your home, your building, or child care facility.

EPA Requires Cleaning Verification. The National Lead Information Center at 1-800-424-LEAD (5323) or In addition to using allowable work practices and working in a lead-safe manner, epa.gov/lead/nlic can tell you how to contact your state, local, and/or tribal programs EPA's RRP rule requires contractors to follow a specific cleaning protocol. The protocol or get general information about lead poisoning prevention. requires the contractor to use disposable cleaning cloths to wipe the floor and other • State and tribal lead poisoning prevention or environmental protection programs surfaces of the work area and compare these cloths to an EPA-provided cleaning can provide information about lead regulations verification card to determine if the work area was adequately cleaned. EPA research and potential sources of financial aid for reducing has shown that following the use of lead-safe work practices with the cleaning lead hazards. If your state or local government has verification protocol will effectively reduce lead-dust hazards. requirements more stringent than those described in Lead-Dust Testing. this pamphlet, you must follow those requirements.

EPA believes that if you use a certified and trained renovation contractor who follows • Local building code officials can tell you the the LRRP rule by using lead-safe work practices and the cleaning protocol after the regulations that apply to the renovation work that you job is finished, lead-dust hazards will be effectively reduced. If, however, you are are planning. interested in having lead-dust testing done at the completion of your job, outlined • State, county, and local health departments can
below is some helpful information.
provide information about local programs, including
What is a lead-dust test? assistance for lead-poisoned children and advice on • Lead-dust tests are wipe samples sent to a laboratory for analysis. You will get a ways to get your home checked for lead. report specifying the levels of lead found after your specific job. LEAD SAFE The National Lead Information Center can also provide
Renovand Pantai
How and when should I ask my contractor about lead-dust testing? a variety of resource materials, including the following Protect
• Contractors are not required by EPA to conduct lead-dust testing. However, guides to lead-safe work practices. Many of these Your if you want testing, EPA recommends testing be conducted by a lead materials are also available at Family from
professional. To locate a lead professional who will perform an evaluation near https://www.epa.gov/lead/lead-safety-documents-and- Lead In Your
you, visit EPA's website at https://cfpub.epa.gov/flpp/pub/index.cfm?do=main. outreach-materials Home firmSearchAbatement or contact the National Lead Information Center at 1-800- • Steps to Lead Safe Renovation, Repair and Painting.
424-LEAD (5323).
• Protect Your Family from Lead in Your Home
• If you decide that you want lead-dust testing, it is a good idea to specify in your contract, before the start of the job, that a lead-dust test is to be done for your job • Lead in Your Home: A Parent's Reference Guide and who will do the testing, as well as whether re-cleaning will be required based on the results of the test.
• You may do the testing yourself.

If you choose to do the testing,
some EPA-recognized lead For the hearing impaired, call the Federal Information Relay Service at 1-800-877-8339 laboratories will send you a kit
to access any of the phone numbers in this brochure.
that allows you to collect samples
and send them back to the
laboratory for analysis. Contact
the National Lead Information
Center for lists of EPA-recognized
testing laboratories.
10 11

EPA CONTACTS OTHER FEDERAL AGENCIES
EPA Regional Offices CPSC HUD Office of Healthy Homes and Lead EPA addresses residential lead hazards through several different regulations. The Consumer Product Safety Hazard Control EPA requires training and certification for conducting abatement and renovations, Commission (CPSC) protects the public The Department of Housing and Urban education about hazards associated with renovations, disclosure about known lead from the unreasonable risk of injury or Development (HUD) provides funds death from 15,000 types of consumer to state and local governments to products under the agency's jurisdiction. develop cost-effective ways to reduce Your Regional EPA Office can provide further information regarding lead safety and CPSC warns the public and private lead-based paint hazards in America's lead protection programs at epa.gov/lead. sectors to reduce exposure to lead and privately-owned low-income housing. In Region 7 increase consumer awareness. Contact addition, the office enforces the rule on Region 1 Region 4
CPSC for further information regarding disclosure of known lead paint and lead (Connecticut, Massachusetts, (Alabama, Florida, Georgia, (lowa, Kansas, Missouri, Maine, New Hampshire, Kentucky, Mississippi, North Nebraska) regulations and consumer product safety. hazards in housing, and HUD's lead safety Rhode Island, Vermont) Carolina, South Carolina, Regional Lead Contact regulations in HUD-assisted housing, Regional Lead Contact Tennessee) U.S. EPA Region 7 CPSC provides public outreach and technical U.S. EPA Region 1 Regional Lead Contact 901 N. 5th Street 4330 East West Highway assistance, and conducts technical Suite 1100 U.S. EPA Region 4 Kansas City, KS 66101 Bethesda, MD 20814 studies to help protect children and their One Congress Street 61 Forsyth Street, SW (913) 551-7003 Hotline 1-(800) 638-2772 families from health and safety hazards Boston, MA 02114-2023 Atlanta, GA 30303-8960 cpsc.gov in the home. Contact the HUD Office of (888) 372-7341 (404) 562-9900 Region 8 Healthy Homes and Lead Hazard Control (Colorado, Montana, for information on lead regulations, North Dakota, South Dakota, CDC Childhood Lead Poisoning Region 2 Region 5 outreach efforts, and lead hazard control (New Jersey, New York, (Illinois, Indiana, Michigan, Utah, Wyoming) Prevention Branch research and outreach grant programs.

Puerto Rico, Virgin Islands) Minnesota, Ohio, Wisconsin) Regional Lead Contact The Centers for Disease Control and Regional Lead Contact Regional Lead Contact U.S. EPA Region 8 Prevention (CDC) assists state and local U.S. Department of Housing and Urban U.S. EPA Region 2 U.S. EPA Region 5 1595 Wynkoop Street childhood lead poisoning prevention Development 2890 Woodbridge Avenue 77 West Jackson Boulevard Denver, CO 80202 programs to provide a scientific basis Office of Healthy Homes and Building 205, Mail Stop 225 Chicago, IL 60604-3507 (303) 312-6312 for policy decisions, and to ensure that Lead Hazard Control Edison, NJ 08837-3679 (312) 886-6003 health issues are addressed in decisions 451 Seventh Street, SW, Room 8236 (732) 321-6671 Region 9 about housing and the environment. (Arizona, California, Hawaii, Washington, DC 20410-3000 Region 6 Contact CDC Childhood Lead Poisoning HUD's Lead Regulations Hotline Region 3 (Arkansas, Louisiana, New Nevada)
Prevention Program for additional (202) 402-7698
(Delaware, Maryland, Mexico, Oklahoma, Texas) Regional Lead Contact materials and links on the topic of lead. hud.gov/offices/lead/
Pennsylvania, Virginia, Regional Lead Contact U.S. Region 9 Washington, DC, West U.S. EPA Region 6 75 Hawthorne Street CDC Childhood Lead Poisoning
Virginia) 1445 Ross Avenue, San Francisco, CA 94105
Prevention Branch
Regional Lead Contact 12th Floor (415) 947-8021
U.S. EPA Region 3 Dallas, TX 75202-2733 4770 Buford Highway, MS F-40 1650 Arch Street (214) 665-7577 Region 10 Atlanta, GA 30341 Philadelphia, PA (Alaska, Idaho, (770) 488-3300
19103-2029 Oregon, Washington) cdc.gov/nceh/lead
(215) 814-5000 Regional Lead Contact
U.S. EPA Region 10
1200 Sixth Avenue
Seattle, WA 98101-1128
(206) 553-1200
12 13

SAMPLE PRE-RENOVATION FORM
This sample form may be used by renovation firms to document compliance with the Federal pre-renovation education and renovation, repair, and painting regulations.

Occupant Confirmation
Pamphlet Receipt
• I have received a copy of the lead hazard information pamphlet informing me of the potential risk of the lead hazard exposure from renovation activity to be performed in my dwelling unit. I received this pamphlet before the work began.

Printed Name of Owner-occupant
Signature of Owner-occupant Signature Date
Renovator's Self Certification Option (for tenant-occupied dwellings only) signature was not obtainable, you may check the appropriate box below. • Declined - I certify that I have made a good faith effort to deliver the lead hazard information pamphlet to the rental dwelling unit listed below at the date and time indicated and that the occupant declined to sign the confirmation of receipt. I further certify that I have left a copy of the pamphlet at the unit with the occupant. • Unavailable for signature - I certify that I have made a good faith effort to deliver the lead hazard information pamphlet to the rental dwelling unit listed below and that the occupant was unavailable to sign the confirmation of receipt. I further certify that I have left a copy of the pamphlet at the unit by sliding it under the door or by (fill in how pamphlet was left).

Printed Name of Person Certifying Delivery Attempted Delivery Date Signature of Person Certifying Lead Pamphlet Delivery
Unit Address
Note Regarding Mailing Option — As an alternative to delivery in person, you may mail the lead hazard information pamphlet to the owner and/or tenant. Pamphlet must be mailed at least seven days before renovation. Mailing must be documented by a certificate of mailing from the post office.

SAMPLE

NOTICE TO CONTRACTORS - INVITATION FOR REQUEST FOR BIDS City of
Community Development Block Grant Housing Rehabilitation Program (Home Address)
Sealed proposals will be received by _ at _ City Hall located at _ CA 960_, until :00 p.m. local time, on , at which time proposals submission will be closed, for a general contractor for the CDBG Housing Rehabilitation Program (Home Address) in accordance with the Contract Documents therefore and any addenda which may be issued prior to the Proposal opening date.

Proposal Submittal Dates
RFP Release February 14, 2024
Walk-thru RSVP Deadline February 21, 2024; 3:00 pm
Walk-thru by RSVP Only February 26, 2024
Proposal Due Date March 7, 2024; 3:00 p.m.

RFP Award Date March 14, 2024
The project is located in _. California and consists of (briefly describe project).

Proposals must be submitted in accordance with the Request for Bid Package. Any Proposal not so submitted will be considered as not responsive to this Invitation.

Each responding contractor is responsible for understanding the Project area and for reading and being thoroughly familiar with the Request for Bid Package, Plans and Contract Documents. The failure or omission of any Contractor to do any of the foregoing shall in no way relieve any Contractor from any obligation with respect to its Proposal.

The bidding Contractors shall be licensed by the California Contractor State License Board with a B - General Building Contractor or Class "A" — General Engineering Contractor.

This is not a public works project, and the Contractor shall be required to comply fully with all Laws and Regulations of the State of California regarding Labor Standards. In addition, this project is funded by a Community Development Block Grant (CDBG) from the U.S. Department of Housing and Urban Development (HUD), through the State of California Department of Housing and Community Development (HCD),
Bidders on this work shall be required to comply with the provisions of the President's Executive Order No. 11246, as amended. The Bidders shall also comply with the requirements of 41 CFR Part 60 - 4 entitled Construction Contractors - Affirmative Action Requirements. A copy of 41 CFR Part 60 - 4 may be found in the Supplemental General Conditions of the Contract Documents and Specifications. The Bidders attention is also called to the "Minority/Women Business Participation" requirements contained in the Project Specifications and to Section 3 requirements. HCD and HUD encourages grantees to contract with MBE/WBE and Section 3 businesses when possible.

The Contractor must meet guidelines and practices established by the Department of Housing and Community Development and appropriate federal regulations including: 1) Executive Order 11246, 2) Section 3 of the Housing and Community Development Act of 1968, as amended, 3) Certification of Non-Segregated Facilities, 4) OMB Circular A-102, 5) Title VI of the Civil Rights Act of 1964, 6) Section 504, Rehabilitation Act of 1973, 7) Age Discrimination Act of 1975, 8) Executive Order 12138, 9) Conflict of Interest Clause, 10) Retention and Custodial Requirements for Records Clause, 11) Contractors and Subcontractors Certifications, and others that may be appropriate or necessary. Contract procurement is subject to the federal regulations contained in 2 CFR 200.

Any contracts) awarded under this Advertisement for Bids are expected to be funded by a grant from A1-1
the Department of Housing and Urban Development, as administered by the California Department of Housing and Community Development with the County of Siskiyou as the Grantee. Neither the United States nor any of its departments, agencies or employees is or will be a party to this Advertisement for Bids or any resulting contract.

This Invitation to Bid document may be inspected at the office of Great Northern Services (GNS), a subrecipient of _ , 310 Boles St., Weed, CA, Telephone (530)938-4115 x115. Contract Documents may be obtained at the office of GNS for the cost of $30.00 or may be obtained by mail for a cost of $40.00. Charges are to defray the cost of printing and mailing and are not refundable.

Standard Agreement may be inspected at _ California
960_ or a copy may be requested by phone from GNS at (530)938-4115 x115.

Homeowner and GNS, at the sole discretion of Homeowner and GNS, reserves the right to reject any or all bids or to waive any irregularity, except as forbidden by law, in any Bid received.

Dated: _ 20_
By:

Brandy Caporaso, Great Northern Services
A1-2
Request for Bids
City of
Community Development Block Grant Home Rehabilitation Program (Standard Agreement #)
General Contractor
For
Home Rehabilitation
(Address), CA
Bids Due by:
(Date)
:00 p.m.

The following schedule of events will be followed to the extent achievable; however, Great Northern Services (GNS) reserves the right to adjust or make changes to the schedule as needed.

Estimated Timeline of Events
Date Activity
RFB Date Release of Request for Bids (RFB)
10 days from RFB Walk-thru RSVP Deadline
3:00 pm
4-7 days from RSVP Walk-thru by RSVP Only
11:00 am
5-7 days from Walk
through Deadline to Submit Questions
3:00 p.m
~ 5 days from Questions,
Questions Answered
2024
14 days -1 month from
RFB Sealed Bid Opening
3:00 p.m.
~7-14 days from Bid Award Date
Opening

1.0 Preface
The (Standard Agreement #) City of CDBG Housing Rehabilitation Program (Program) is funded through a Community Development Block Grant (CDBG) from the U.S. Department of Housing and Urban Development (HUD), through the State of California Department of Housing and Community Development (HCD).

Great Northern Services (GNS), a non-profit, is providing services through a Subrecipient Agreement with (City).

As part of those services GNS is assisting the homeowner issue the Request for Bid, fielding questions in response to the Request and accepting and reviewing the Bids with the homeowner.

The project's purpose is to improve homes for low to moderate income families who otherwise couldn't afford to do so.

The homeowner at will enter into an agreement with the General Contractor (Contractor) who is the lowest responsive responsible bidder. The contractor will provide a bid to provide home rehabilitation construction services listed in 2.0 Scope of Services based on the Plans and Specifications.

Each responding contractor is responsible for understanding the work necessary to perform the construction listed in 2.0 Scope of Services and for reading and being thoroughly familiar with the Contract Documents, Plans and Specifications. The failure or omission of any Contractor to do any of the foregoing shall in no way relieve the Contractor from any obligation with respect to its Bid.

Bids from the responding contractor are per 2.0 Scope of Services.

Contractors shall be licensed by the California Contractor State License Board with a B - General Building Contractor or Class "A" - General Engineering Contractor.

2.0 Scope of Services
Work will be performed at
• Securing Permit
• Installing site utilities and connecting to well and septic • Sitework and raised foundation for the standard floor plan approved 2 bedroom 2 bath home (Home) based on Site Plan, engineered stem wall detail, plans and specifications. • Building the approved Home to completion including the occupancy permit signed off based on plans and specifications.
• Final Inspection shall be completed by November 30, 2024 • This is not prevailing wage work
• If the bid is over $200,000 Section 3 requirements must be met

3.0 Site Walk-through
Site walk-through is scheduled for February 26, 2024 at 11:00 am. The walk-through is mandatory and Bidder must contact Brandy Caporaso, GNS by February 21, 2024 at 3:00 pm at [email protected] to RSVP their attendance. If there are no RSVP's a walk-through will not be conducted. Bidders are not authorized to go onto the property without the owner's permission and GNS' knowledge.

4.0 Submission Requirements
Sealed Bids must be submitted in person or by mail to at _City Hall at . They MUST be received before _p.m. on _. Please write "Adress" on the outside of the sealed envelope.

Bid Format: Bids must contain the following:
• Attachment A: Cover, Bid, Questionnaire, References: Complete & submit. • Attachment B: Debarment Certification Form: Complete & submit. • Attachment C: Bid & Subcontractor List: Complete & submit. • Attachment D: Section 3 Forms for Bids over $200,000: Complete & submit if applicable.

5.0 Conflict of Interest
Bidder(s) shall disclose to Great Northern Services (GNS) any interest, direct or indirect which could conflict in any manner or degree with the performance of service required. At GNS' or City's discretion, a potential conflict of interest, to the extent it is waivable, may be waived or factored into the final award decisions and/or a modified Scope of Services.

6.0 Selection Process
Award will be made to the lowest responsible responsive Bidder based on the total Bid amount. The Bids received in response to this RFB will be screened by GNS and Homeowner. Bids will only be considered which are responsive to the RFB. Any Bid that fails to meet the RFB's requirements will be regarded as non-responsive and may be rejected. In evaluating whether a Bidder is responsible, Owner will consider the qualifications of the Bidder and may consider the qualifications and experience of Subcontractors and Suppliers proposed for those portions of the Work.

Owner may conduct such investigations as Owner deems necessary to establish the responsibility, qualifications, and financial ability of Bidders and any proposed Subcontractors or Suppliers. A Bid, which is in any way incomplete, irregular or conditional may be rejected at GNS' and Homeowner's discretion. GNS and Homeowner reserve the right to reject any and all bids and reserve the right to waive any non-substantive defects in the bids.

The Request for Bids does not commit the Homeowner to award a contract, pay any costs incurred in the preparation of bids, or to procure or contract for supplies or services. The following criteria will be used in the evaluation of the bid being responsive:

1. Can meet Schedule

2. Bid submitted on time and is complete

3. Contractor and subcontractors are not debarred from doing business with the federal government.

Not on the "excluded" list on SAM.gov.

7.0 General Information
Responding Contractors shall provide one (1) original copy with signature by hand delivery or mail, as instructed in Section 4.0 Submission Requirements above.

Responding Contractors are asked to direct all inquiries related to the request to Brandy Caporaso, Community Development Manager at GNS by email, [email protected], or by phone at 530.938.4115 ext. 115.

GNS will provide assistance with:
• Bid Opening
• Pre-Construction meeting
• Owner-Contractor Contract
• Homeowner interaction beyond normal homeowner requests. • Processing contractor invoices for completed work and/or materials on site.

• Technical assistance for compliance with local, state and federal requirements and reporting.

Contractor must:
• Have an appropriate license and bonds from the California Contractor State License Board. • Not be debarred from doing business with the federal government. Not on the "excluded" list on SAM.gov.
• Be able to obtain Insurance as set forth in the General Provisions section of the Contract for Services Agreement (Attachment D).
• Provide services as described in the Scope of Services including, but not limited to, compliance with local, state and federal requirements. (This is not Prevailing Wage work) A contract award resulting from this RFB will be made without discrimination on any basis prohibited under state or federal law.

8.0 Attachments
A. Cover, Bid Form, Questionnaire & References
B. Debarment Certification Form
C. Bid Form & Supplier/Subcontractor List
D. Section 3 Forms for Bids over $200,000
E. Construction Contract
F. City of Community Development Block Grant Housing Rehabilitation Guidelines G. Plans/Specifications

City of _ _ CDBG Home Rehabilitation Program
Contractor-Request for Bids-(Address)
Attachment A - Cover, Bid, Questionnaire Sheet, Experience & References Cover
Bid Response: We are responding to the bid. See below.

We choose not to bid. Please complete Name of Company and Address.

To: City of
Address
The enclosed proposal is submitted in response to the (standard agreement #) - City of CDBG Home Rehabilitation Program a Request for Bid (RFB) for a General Contractor to perform construction for housing rehabilitation services as describe in the RFB 2.0 Scope of Services:

Legal Name of Company:

Select One: Individual Partnership Joint Venture Corporation Street Address:

City/State/Zip:

Phone:

Contact Person:

Contact Person Phone:

Contact Person Email:

Contractor License Number:

Tax ID Number (TIN#):

SAM UEl # (if available):

The undersigned is a duly authorized officer and certifies that the above-named company agrees to be bound by the content of this proposal and agrees to comply with the terms, conditions, and provisions of the RFP and any addenda or attachments thereto in the event of an award. The proposal shall remain in effect for a period of 120 calendar days as of the Due Date of the RFB.

Signature of Authorized Officer:

Printed Name:

Title:
1 City of _ _ CDBG Home Rehabilitation Program
Contractor-Request for Bids-(Address)
Questionnaire
Do you have an Equal Opportunity Employment Policy? Yes / No / Sole Proprietor
Do you have a Drug Free Work Place Policy? Yes / No / Sole Proprietor
Do you have a non-discrimination policy? Yes / No / Sole Is it posted? Proprietor
Are you a certified woman or minority-owned business enterprise? Yes / No If yes, please provide certificate.

Ability to provide Proof of Worker's Compensation Insurance? Yes / No / Sole Proprietor
Ability to provide Proof of Liability Insurance with Homeowner and City of _ Yes / No as additional insured?
Ability to enter into a contract with Homeowner? Yes/ No Ability to maintain records for 5 years for all participants referred for service Yes / No with the understanding that the City or State can review those files? Does your company have any conflict of interest, direct or indirect, financial or Yes / No otherwise, which would conflict in any manner or degree with the performance of your contract with Homeowner?
If yes, please explain:

Experience
Year Business Established
# of Employees
#Years Experience
# Years Experience in Siskiyou County/City of _
# Years Experience with federally funded projects
2 City of _ _ CDBG Home Rehabilitation Program
Contractor-Request for Bids-(Address)
References
Please list references for whom similar services have been provided:

1. Name/Company:

Address:

Telephone Number:

Email:
2: Name/Company:

Address:

Telephone Number:

Email:

3. Name/Company:

Address:

Telephone Number:

Email:
3 City of _ _ CDBG Home Rehabilitation Program
Contractor-Request for Bids-(Address)
Attachment B
Debarment Certification Form
The Contractor certifies that, neither the Contractor firm nor any owner, partner, director, officer, or principal of the Contractor, nor any person in a position with management responsibility or responsibility for the administration of federal funds:
(a) Is presently debarred, suspended, proposed for debarment, and declared ineligible or voluntarily excluded from covered transactions by any federal or state department/agency; (b) Has within a three-year period preceding this certification been convicted of or had a civil judgment rendered against it for: commission of fraud or a criminal offense in connection with obtaining, attempting to obtain, or performing a public transaction or contract (federal, state, or local); violation of federal or state antitrust statues; or commission of embezzlement, theft, forgery, bribery, falsification or destruction of records, making false statements, or receiving stolen property;
(c) Is presently indicted for or otherwise criminally or civilly charged by a governmental entity (federal, state, or local) with commission of any of the offenses enumerated in paragraph (b) above; or (d) Has within a three-year period preceding this certification had one or more public transactions or contracts (federal, state, or local) terminated for cause or default.

The Contractor/Vendor further certifies that it shall not knowingly enter into any transaction with any subcontractor, material supplier, or vendor who is debarred, suspended, declared ineligible, or voluntarily excluded from covered transactions by any federal or state department/agency.

Dated this _day of 20.

Company
By
Authorized Signature for Contractor/Vendor
Printed Name
Title
4 City of _ CDBG Home Rehabilitation Program
Contractor-Request for Bids-(Address)
Attachment C-Bid Form & Subcontractor/Supplier List
Bid Form: One Single Family 2 Bedroom/2 Bath Home Mirrored Layout on Raised Foundation
Please complete the table or submit similar take off. Includes minimal specifications. If grade isn't specified, provide Builders/Contractor grade or better. List alternatives.

Breakdown Materials Labor Total Cost Notes for
Alternative to
Specifications
Sitework (see plans)
Foundation (see plans)
Framing (see plans)
Decking (see plans)
Siding (see plans)
Trusses (see plans)
Roofing (see plans)
Gutters 6" steel
Electrical (Site/Rough/Finish)
Plumbing (Site/Rough/Finish)
HVAC (propane tank sized
appropriately)
Insulation
Drywall
Paint
Cabinets
Countertops (laminate-customer
to choose color)
Doors (see schedule)
Windows (see schedule)
Bath hardware (towel racks, toilet
paper holders)
City of _ CDBG Home Rehabilitation Program
Contractor-Request for Bids-(Address)
Breakdown Materials Labor Total Cost Notes for
Alternative to
Specifications
Flooring (luxury vinyl plank
minimum 5mm-customer to
choose color)
Permit Fees
Mobilization
Contingency
Overhead
Total Cost
Subcontractors & Suppliers
Contractors bidding on a project must provide the names of all sub-contractors and their trade and suppliers for materials. Sub-contractors will also need to have Liability Insurance as well as Workmen's Compensation Insurance if they have employees.

Subcontractors cannot be on the federal debarred list.

Attention Contractor: If any of your subcontractors change, you must notify Great Northern Services immediately with the new name, license #, Social Security Number or TIN Number.

Subcontractor/Supplier Business Name Trade/Materials

ATTACHMENT D
INTENT TO COMPLY WITH SECTION 3 REQUIREMENTS
(To be returned with submitted bid if over $200,000)
Section 3 of the Housing and Urban Development Act of 1968 [12 U.S.C. 1701u and 24 CFR Part 75] is HUD's legislative directive to ensure that employment and other economic opportunities generated by certain HUD financial assistance shall, to the greatest extent feasible, and consistent with existing Federal, State, and local laws and regulations, be directed to low- and very low-income persons, particularly those who are recipients of government assistance for housing, and to business concerns which provide economic opportunities to low- and very-low income persons. The regulations seek to ensure that low- and very low-income persons, and the businesses that employ these individuals, are notified about the expenditure of HUD funds in their community and encouraged to seek opportunities, if created.

A Section 3 Worker is any worker who currently fits, or when hired within the past five years fit, at least one of the following categories, as documented:
• The worker's income for the previous or annualized calendar year is below 80% of the area median income limit established by HUD. HUD income limits may be obtained from:
https://www.huduser.gov/portal/datasets/il.html
• The worker is employed by a Section 3 business concern: or • The worker is a YouthBuild participant
A Section 3 targeted worker for Housing and Community Development Financial Assistance projects is a Section 3 worker who:
• is employed by a Section 3 business concern; or
• currently fits or when hired fit at least one of the following categories, as documented within the past five years:

Living within the service area or the neighborhood of the project, as defined in 24 CFR § 75.5; or
• A YouthBuild participant.

A Section 3 business concern is a business that meets at least one of the following criteria, documented within the last six-month period:
• At least 51% owned and controlled by low- or very low-income persons; • Over 75% of the labor hours performed for the business over the prior three-month period are performed by Section 3 Workers; or
> A business at least 51% owned and controlled by current public housing residents or residents who currently live in Section 8- assisted housing.
• Note: If your business meets the definition of a Section 3 business, you must register as a Section 3 Business through HUD's website here: https://hudapps.hud.gov/OpportunityPortal/ Businesses who self-certify that they meet one of the regulatory definitions of a Section 3 business will be included in a searchable online database. The database can be used by agencies that receive HUD funds, developers, contractors, and others to facilitate the award of covered construction and non- construction contracts to Section 3 businesses.

INTENT TO COMPLY WITH SECTION 3 REQUIREMENTS (cont.)
Please complete the following:

1. If awarded a contract, do you agree to insert the HUD Section 3 Clause into all Section 3 covered subcontracts?
Yes No L

2. If awarded a contract for this CDBG funded project, do you anticipate hiring new employees to complete the project? (Hiring would be specific to this project) Yes No
If yes, please estimate the number of employees to be hired: _

3. Is your business a Section 3 Business?
If yes, your business will need to be registered as a Section 3 Business through HUD's website and complete a Section 3 Certification form and provide supporting documentation

4. Is the bidder willing to consider hiring Section 3 residents/workers for future employment opportunities that are a direct result of this CDBG funded project?
Yes No

5. Is the bidder willing to consider subcontracting with Section 3 Businesses for this project? . Hove you posed the oarunity on Hu's website pral
I understand that this contracting opportunity is subject to HUD Section 3 requirements (24 CFR Part 75). I have read and understand the Section 3 requirements as generally described above and presented in the Section 3 contract language included in the procurement documents for this project. If awarded a contract, the business commits to following Section 3 requirements, as they apply to this project. If awarded a contract for this project, the business agrees to provide reports to the City of Weed on Section 3 efforts and accomplishments.

Name of Contractor/Subcontractor Address
1 Print Name Title
Signature Date
SECTION 3 BENCHMARK GOALS

PROJECTED NUMBER OF TOTAL LABOR HOURS,
SECTION 3 WORKER LABOR HOURS, AND
TARGETED SECTION 3 WORKER LABOR HOURS
(To be returned with submitted bid)
To meet safe harbor benchmarks, businesses must have at least 20% of total labor hours performed by Section 3 Workers and at least 5% of total labor hours performed by Targeted Section 3 Workers for a combined total of at least 25%.

Estimated Hours and Section 3 Worker Hours
Prime contractor must report on all contractor and
subcontractor hours and provide supporting
documentation. Hours % of Total Hours
Total Number of Hours per Certified Payroll
Total Number of Hours of work performed by Section 3
Workers that completed Section 3
Total Number of Hours of work performed by Section 3
Targeted Workers
If you cannot meet the Safe Harbor requirement based on the labor hours above, indicate below how you will meet qualitative Section 3 safe harbor benchmark requirements per 24 CFR 75.15(b) and 75.25(b).

Engage in outreach efforts to generate job applicants who are Targeted Section 3 workers.

Provide training or apprenticeship opportunities.

Provide technical assistance to help Section 3 workers compete for jobs (e.g., resume assistance, coaching).

Provide or connect Section 3 workers with assistance in seeking employment including: drafting resumes, preparing for interviews, and finding job opportunities connecting residents to job placement services.

Hold one or more job fairs.

Provide or refer Section 3 workers to services supporting work readiness and retention (e.g., work readiness activities, interview clothing, test fees, transportation, child care). _ Provide assistance to apply for/or attend community college, a four-year educational institution, or vocational/technical training.
_Assist Section 3 workers to obtain financial literacy training and/or coaching. _Engage in outreach efforts to identify and secure bids from Section 3 business concerns. - Provide technical assistance to help Section 3 business concerns understand and bid on contracts. - Divide contracts into smaller jobs to facilitate participation by Section 3 business concerns. - Provide bonding assistance, guaranties, or other efforts to support viable bids from Section 3 business concerns.

Promote use of business registries designed to create opportunities for disadvantaged and small businesses. https://hudapps.hud.gov/OpportunityPortal/
Outreach, engagement, or referrals with the state one-stop system as defined in Section 121(e)(2) of the Workforce Innovation and Opportunity Act
Other. Please Explain
SECTION 3 PROJECT WORK FORCE BREAKDOWN
(To be returned with submitted bid
Job Total No. Positions Number of
Category Positions Needed Occupied by Positions not Number of Positions filled with for Project Permanent Occupied Section 3 residents
Employees
Supervisor
Professional
Technical
Office/Cleric.

Others
TRADE:

Journeyman
Apprentices
Trainees
Others
TRADE:

Journeyman
Apprentices
Trainees
Others
Section 3 Resident:

Individual residing within the Section 3 Area whose family income does not exceed 80% of the median income in Siskiyou County. See attached income schedule.

Person Completing Form:

Authorized Signature Date:

SECTION 3 CONTRACTS/SUBCONTRACTS BREAKDOWN
(To be returned with submitted bid
Type of Contract Total Total Approximate Estimated No of Estimated Dollar Number Dollar Amount Contracts to Amount to
Section 3 Section 3
Businesses Businesses
Company
Signature
Person Completing the Form
Targeted Section 3 Worker Map for
The 15 Mile Radius does not meet the requirements so therefore you are able to find Targeted Section 3 Workers in Yreka.

ACOL
Neighborhood Service Area Definition Tool
Thia tool allows Housing and Communit Development Section 3 Recipients to idertify Targeted Section 3 | Workers in accordence with 24 CER. $.75.19.
targeted section a worker are sectons worker located within a one-mile radius or a secton 3 project d ver trian » ww people ive with n a one mile fad us of the protect then the fadius is expanded until it is Default extent
wicenso encompass a populaton as u people accora no to the most recent census the tedius or the croo uner a poposson greete
US. Census Tract Area Layer and are based on 2020 estimates. New US. Census dess will be uploaded as lap click the up arrow on the bottom of the
screen, select the Options dropdown, then click Export all to CSV.| Ref: 24 C.FR. Peat.25
Secton 3 Ne chborhood Service Ared
Search for an address or locate on map
628 Indian Meadows Dr, Happy Camp, CA, 96039, USA x a
Show results within 15 Miles
Select fiters to apply ^
USA Census Tract Areas
Population
×0
185713
Population of Selected Area
En Canade, Eat, HERE, Garmin, USGS, NGA, EPA, USDA NPS ESTI City of Montague
Community Development Block Grant
Housing Rehabilitation Program
Owner Name Construction Contract
Address
This Contract is being entered into and between Owner Name (thereinafter referred to as "Owner(s)" and CONTRACTOR NAME (hereinafter referred to as "Contractor").

1. AGREEMENT TO CONSTRUCT:

In accordance with the terms of this Contract, Contractor agrees to construct and complete, in a good workmanlike manner, furnishing all supervision, labor, materials, tools and equipment, the work outlined in the Bid and Proposal including the Specifications:

Street.

City, State Zip
Contractor shall supervise and direct the Work and shall be fully responsible for all construction means, methods, techniques, sequences, and procedures and for the coordination of all portions of the Work under Contract. All materials shall be new, unless otherwise specified, and of good quality and title.

2. CONTRACT PRICE:

For Work described in this Contract, Contractor shall be paid the sum of AMOUNT OF CONTRACTOR BID IN WORDS (SAMOUNT OF CONTRACTOR BID IN NUMBERS). This Contract Price constitutes the entire consideration for the performance and completion of all Work under this Contract.

3. CONTRACT DOCUMENTS:

The following additional documents comprise the entire agreement of the parties to this Contract. These additional documents are by this reference incorporated into and made a part of this Contract, as fully as if set out herein. What is required by one shall be as if required by all. If there is a discrepancy between the Scope of Work, and Plan Set, the Plans takes precedence over Scope of Work.

Contractor's Bid Documents including Attachments A-D
1) Plans Sets
2) Lead Base Paint Certification
3) Section 3 Documentation (if applicable)
4) Notice To Proceed

4. NOTICE TO PROCEED AND TIME FOR COMPLETION OF WORK:

A Notice to Proceed shall be issued within 30 calendar days of the execution of this Contract. Prior to issuance of the Notice to Proceed the Contractor shall submit the following: Building Permit, Supplier/Subcontractor List and Insurance Certificate. If said Notice is not issued within the prescribed time period, Contractor has the option of withdrawing his/her Contract, Bid and Proposal, unless a written time extension is agreed to by both Contractor and Owner. Work under this Contract shall be commenced within fourteen (14) days after the date stipulated by said Notice to Proceed and with final inspection by COMPLETION DATE.

Owners Name Construction Contract 1

5. LIQUIDATED DAMAGES:

The parties agree that Owner would suffer substantial damages as a result of Contractor's unexcused delays in the completion of the Work. The parties further agree that, as Liquidated Damages for any unexcused delays in the completion of the Work, Contractor shall deduct from Contract price, the sum of FIFTY DOLLARS ($50.00) for each calendar day past the stipulated completion date, until such date that Work is satisfactorily completed; provided, however, that if a substantial amount of the delay in the completion of Work is the result of delays caused by Owner, then regardless of the fact that delays may have been caused by Contractor, Liquidated Damages shall not be apportioned.

6. EXCUSABLE DELAYS:

Contractor shall not be charged with delay in the completion of the Work due to: any acts of Owner which cause delay; general strikes; acts of God or the public enemy; weather or unusual conditions; unavailability of materials, or casualty beyond Contractor's control; provided, however, that Contractor promptly (within 14 days) notifies Owner and Subrecipient, in writing, of the cause of the delay. If the facts show the delays to be excusable under the terms of Contract, the time for completion shall be extended for a period equal to the amount of time lost due to such delay.

7. RESPONSIBILITIES OF GREAT NORTHERN SERVICES AND OWNER:

Work to be performed under this Contract is financed by a loan with the City of Montague ("City") as beneficiary. Great Northern Services (GNS) as Subrecipients of City is hereinafter referred to as "Subrecipient". Owner is solely responsible for monitoring all Work performed under this Contract and enforcing the terms of this Contract. Subrecipient shall inspect all Work for the purpose of monitoring loan disbursements, enforcing the terms of the loan agreement with Owner and protecting City's security interest in Owner's property.

8. PROVISIONS FOR OWNER:

While this Contract is in force, Owner shall permit Contractor the use of Existing utilities, including light, heat, power and water, without charge, in order to carry out and complete the work. Owner may continue to occupy the property during construction but shall cooperate with Contractor to facilitate the performance of the Work, including limiting use of property areas that may be essential to the conduct of Work.

9. COMPLIANCE WITH THE LAW:

Contractor is required to be licensed and regulated by the Contractor's State License Board. Any questions concerning the Contractor may be referred to the Registrar of the Board, whose address is: Contractors' State License Board, 3132 Bradshaw Road, Sacramento, CA 95827. All Work specified in Contract shall be completed in strict compliance with the laws, ordinances, rules, regulations and Codes of the State, County, City and local governments, whether such applicable laws, ordinances, rules, regulations and Codes are mentioned in this Contract or not. Contractor shall obtain, pay for, and provide permits and licenses, as required to complete all Work outlined under this Contract.

10. REQUIRED INSURANCE:

During the life of this Contract, Contractor and any or all subcontractors shall carry and maintain the following insurance with Owner and City as additionally insured. 1) Workers' Compensation Insurance in accordance with the laws of the State, or private carrier medical insurance equivalent to Workers' Compensation Coverage. 2) Broad Form Public Liability Insurance for bodily injury or death, in the minimum amount of $1,00,000 for each accident which may result from operation under this Contract.

Owners Name Construction Contract 2
3) Broad Form Property Damage Insurance in an amount not less than $1,000,000.

11. SAFETY TO PUBLIC AND PROPERTY:

Contractor shall be responsible for initiating, maintaining and supervising all safety precautions and programs in connection with the Work. In such, Contractor shall provide reasonable protection to prevent damage, injury and loss to: all employees on the Work, all Work and materials and equipment to be incorporated therein. The above applies at the adjacent site(s) including trees, shrubs, lawns, pavements, structures, and utilities not designated for removal or replacement under the terms of this Contract.

12. HOLD HARMLESS:

Contractor shall indemnify, defend and save harmless Owner, City and Subrecipient, its officers, agents and employees, from any and all claims and losses accruing or resulting to any and all Contractors, subcontractors, laborers, service or material supplies, in connection with the rehabilitation of Owner's residence.

13. ASSIGNMENT:

Contractor shall not assign or transfer any right or obligation under this Contract without first obtaining the written Consent of Owner. Any attempted assignment by Contractor shall be void.

14. CHANGES IN WORK TO BE PERFORMED:

No changes shall be made in the Work, Contract Price or Contract Time of Completion of Work, except by written Change Order. The Change Order shall bear the signatures of the parties to this Contract and approved (by signature) as to propriety with funding requirements by City. All Change Order Requests shall be submitted in writing. No claim for an adjustment of Contract Work, Price or Time will be valid unless so ordered.

15. METHOD OF PAYMENT:

The Owner does hereby agree that s/he shall pay progress payments in accordance with the following conditions:

All invoices for reimbursement must be on Contractor letterhead with invoice date, Owner's name and address and must list materials onsite and/or inspected work to be paid and amounts per the bid line items.
• Invoices must be submitted to Owner for their signature as approval of payment. • Subrecipient will review, approve and sign all invoices. For the purpose of securing City interest in the property, Subrecipient may inspect the Work to ensure that it has been satisfactorily completed in accordance with Contract requirements.

Subrecipient will forward all approved invoices to City for review, approval and payment directly to contractor on behalf of the owner.

The final 10% of the contract amount will be held as retention until:
• All Lien Releases have been received.
• City Final Inspection has been signed.

Owners Name Construction Contract 3
Homeowner and Subrecipient inspection have completed and all outstanding issues have been corrected.

Notice of Completion has been recorded if there are any Mechanics Liens. If there are no Liens, a Notice of Acceptance will be signed by Owner and Subrecipient. • If Lien Releases have not been received, then 30 Days after the Notice of Completion has been recorded.

Progress payments shall not constitute acceptance of defective Work or improper material, nor is it a waiver of any other remedies to which Owner may be entitled under the terms of Contract.

16. GUARANTEES AND MATERIAL WARRANTIES:

Contractor shall provide Warranties and Guarantees per California Contractors State License Board.

17. SURPLUS MATERIALS AND CLEAN-UP OF PREMISES:

All surplus materials, and all materials and equipment removed and not reused as a condition of this Contract, shall remain or become the property of Contractor, unless otherwise so stated at the Pre- construction meeting. All surplus material, as well as all rubbish and construction debris resulting from Contractor's operations, shall be promptly removed from the job site. Upon completion of the Work, Contractor shall leave the building and premises in a "broom-clean" condition.

18. TEMPORARY RELOCATION:

When temporary relocation is necessary to perform the Work, the rules and regulations of the State of California shall be adhered to by Owner and Contractor. Owner shall contact Subrecipient before moving to temporary housing in order to ensure that the temporary housing meets regulations.

19. DIVISIBILITY:

It is intended that each paragraph of this Agreement shall be viewed as separate and divisible and, in the event that any paragraph shall be held to be invalid, the remaining paragraphs shall continue to be in full force and effect.

20. TERMINATION
a. Either party may terminate this agreement by giving 15 days prior written notice to the other. b. If this agreement is terminated by either party under paragraph 20.a before the loan closing date, both parties shall be relieved of all their obligations hereunder. c. If this agreement is terminated by either party under paragraph 20.a after the loan closing date and before construction begins, the Owners as borrower(s) shall immediately repay to the City, the outstanding principal and interest, if any, at the date of termination.

21. DISPUTE RESOLUTION POLICY:

In the event of a dispute between the Owner and Contractor, the Subrecipient shall make every effort to resolve the dispute with the assistance of the building inspector when available. In the event a satisfactory solution is not reached, either party may appeal to the appeals board.

APPEALS BOARD: If a dispute arising under this Contract cannot be resolved by the Subrecipient, either the Owner or the Contractor may submit a written appeal to the Subrecipient requesting review by the Loan Committee, which serves as the Appeals Board. The written appeal shall describe the nature of the dispute and the relief requested.

Owners Name Construction Contract 4
Upon receipt of the written appeal, the Subrecipient shall schedule the matter for review by the Loan Committee. The Appeals Board shall meet within thirty-one (31) days of receiving the written appeal, unless otherwise agreed to by the parties. The hearing may be attended by the Owner, the Contractor, members of the Appeals Board, the Subrecipient's representative, the City Inspector, and any other individual the Appeals Board determines is necessary to assist in resolving the dispute.

The Appeals Board may affirm the Subrecipient's decision, recommend reconsideration by the Subrecipient, or recommend another resolution of the dispute. If the dispute remains unresolved following the Appeals Board's review, either party may submit the controversy to binding arbitration as provided below.

ARBITRATION: Any controversy or claim arising out of or relating to this Contract, or the breach thereof, that remains unresolved after completion of the Appeals Board process, shall be submitted to binding arbitration in accordance with the provisions of the California Arbitration Law (California Code of Civil Procedure Section 1280 et seq.) and the Commercial Arbitration Rules of the American Arbitration Association. The arbitrator shall have the authority to determine all issues in dispute, order performance of the Work, award monetary damages or other appropriate relief, and determine the allocation of arbitration costs and fees as permitted by law.

22. MECHANICS' LIENS:

Contractor shall promptly pay all valid bills and charges for material, labor or otherwise in connection with or arising out of the rehabilitation of said property, and will hold Owner free and harmless against all liens and claims of lien for labor and material, or either of them, filed against the property or any part thereof, and from and against all expenses and liability in connection therewith, including but not limited to, court costs and attorneys' fees resulting or arising therefrom. Should any liens or claim of liens be filed for record against the property, or should Owner receive notice of any unpaid bill or charge in connection with the Contract, Contractor shall forthwith pay and discharge the same and cause the same to be released of record.
"NOTICE TO OWNER"
(Section 7019-Contractors License Law)
Under the Mechanics' Lien Law, any Contractor, subcontractor, laborer, material persons or other persons who help to improve your property and is not paid for his labor, services or material, has the right to enforce his claim against your property.

23. EQUAL OPPORTUNITY:

During the performance of this Contract, the Contractor agrees as follows:

The Contractor shall not discriminate against any employee or applicant for employment because of race, color, religious creed, sex, ancestry or national origin or age. The Contractor shall take affirmative action to ensure that applicants are employed and that employers are treated during employment without regard to their race, color, religious creed, sex ancestry, or national origin. Such action shall include, but not limited to, the following: employment, promotion, 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 shall post in conspicuous places, available to employees and applicants for employment, notices setting forth the provisions of this non discrimination clause.

Owners Name Construction Contract 5
2) The Contractor shall, 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 their race, color, religious creed, sex, ancestry, or national origin or age.

The Contractor shall send to each labor union or representative of workers with which s/he has a collective bargaining agreement or other contract or understanding, a notice advising the said labor union workers' representative of the Contractor's commitment under this section and shall post copies of the notice in conspicuous places available to employees and applicants for employment.
4) The Contractor shall comply with all provisions of Executive Order 1124611246 - Equal Employment Opportunity as of September 24, 1965, and of the rules, regulations, and relevant orders of the Secretary of Labor.
5) The Contractor shall furnish all information and reports required by Executive Order 11246 as of September 1965, and by the rules, regulations, and orders of the Secretary of Labor or the Secretary of Housing and Community Development or its designee, and the Secretary of Labor or its designee, for the purpose of investigation to ascertain compliance with such rules, regulations and orders.
6) In the event of the Contractor's non compliance with the non-discrimination clauses of this Contract or with any provision of the federal rules, regulation, or order relating to non discrimination, this Contract may be canceled, terminated, or suspended in whole or in part and the Contractor may be declared ineligible for further Government Contracts or federally assisted construction contracts in accordance with the procedures authorized in Executive Order 11246 of September 24, 1965, and such other sanctions may be imposed and remedies invoked as provided in Executive Order 11264 of September 24, 1965, or by rules, regulations, orders of the Secretary of Labor or as otherwise modified by Law.
7) The Contractor shall include the portion of the sentence immediately preceding Section 23 1) 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 11236 of September 24, 1965, so that such provisions will be binding upon each subcontractor or vendor. The Contractor shall take action with respect to any subcontractor or vendor or purchase order as the property owner of the Secretary of Housing and Urban Development may direct as a means of enforcing such provisions, including sanctions for noncompliance; provided, however, that in the event the Contractor becomes involved in, or is threatened with litigation with a subcontractor or vender as a result of such direction the property owner or the Secretary of Housing and Urban Development, the Contractor may request the United States to enter into such litigation to protect the interest of the Secretary of Housing and Urban Development. 8) The Contractor shall agree that in the event that s/he may be found to have unequal employment practices or found to be in material breach of this Contract s/he will be placed on a sanction list for not less than one year and will not be contracted for any Housing and Community Development Act jobs.

24. DRUG FREE WORK PLACE
Contractors shall comply with the Drug-Free Workplace Act of 1988.

25. DEBARMENT & SUSPENSION
Owners Name Construction Contract
Contractor shall be eligible to receive CDBG funds and is not listed on the Federal Consolidated List of Debarred, Suspended, and Ineligible Contractors.

In addition Contractor must comply with 24 CFR Part 2424 and shall not enter into any agreement, written or oral, with any contractor or subcontractor without the prior determination that the vendor, contractor or subcontractor is eligible to receive CDBG funds and is not listed on the Federal Consolidated List of Debarred, Suspended, and Ineligible Contractors.

26. FEDERAL LABOR STANDARDS PROVISIONS:

Except with respect in the rehabilitation of residential property designed for residential use for less than eight families, the Contractor engaged under Contracts in excess of $2,000 for the construction, prosecution, completion or repair of building or work finance in whole or in part with assistance provided under this Contract, shall comply with HUD requirements pertaining to such Contracts and the applicable requirements of the regulations of the Department of Labor under 29 CFR Parts 3, 5, and 5a, governing the payment of wages and the ratio of apprentices and trainers to journeymen: provided, that if wage rates higher than those required under such regulations are imposed by state or local law, nothing hereunder is intended to relieve the Contractor of his obligations, if any, to payment of the high rates. The Contractor shall cause or require to be inserted in full, in all such Contracts or subcontracts subject to such regulations, provisions meeting the requirements of CFR 5.5 and, for such contracts in excess of $10,000, 29 CFR 5a.3. No award of the of the contracts covered under this section of the Contract shall be made to any contractor who is at the time ineligible under the provision of any applicable regulations of the Department of Labor to receive an award of such contract.

Per CDBG Guidelines this work is deemed rehabilitation of residential property.

27. ACCESS TO RECORDS AND PROPERTY:

Upon reasonable demand, Subrecipient's authorized representative shall be permitted to inspect all Work, materials, payrolls, personnel records, materials invoices and other relevant data pertaining to the Work under this Contract and, pending completion of the Work, shall have the right of entry and full access to Owner's property.

Owners) and contractor acknowledge that they have read, understand and agree to all provisions of this contract, including all attachments incorporated herein. x X
Owner(S) Signature: Owners Name Date
x
Contractors Company Name
X X
Contractor Signature Date
Title:

Owners Name Construction Contract 7

LEAD BASED PAINT
Property Address:

Section 401 (b) of the Lead-based Paint Poisoning Prevention Act (42 U.S.C. 4831 (b) prohibits use of lead base paint in rehabilitated structures using Federal funds in any form. (24 CFR Part 35, Subpart B). "Lead-based paint", as defined in Section 501(s) of the Act as amended by Publication L 94-317 (42 U.S.C. 4801 et seq), the National Consumer Information and Health Promotion Act of 1976 means:

1. Any paint containing more than five-tenths of one percent lead by weight (calculated as lead metal) in the total non-volatile content of the paint or the equivalent measure of lead in the dried film of paint already applied or both; or

2. With respect to paint which is manufactured after June 22, 1977, lead-base means that any paint containing more than six one-hundredths of one per centum lead by weight (calculated as lead metal) in the total non-volatile content of the paint or the equivalent measure of lead in the dried film of paint already applied.

I HEREBY CERTIFY THAT I WILL NOT USE LEAD-BASED PAINT ON THE STRUCTURE LISTED ON THIS CONTRACT,

AND I FURTHER ACKNOWLEDGE THAT I AM AWARE OF THE HAZARDS OF LEAD-BASED PAINT THAT MAY EXIST FROM PREVIOUSLY PAINTED SURFACES OF THE STRUCTURE. I will comply with Title 17, CCR, Division 1, Chapter 8 Accreditation, Certification, and Work Practices for Lead-Based Paint and Lead Hazards and Title 8, CCR, Section 1532.1: Cal/OSHA Construction Safety Orders. The contractor of record will dispose of all materials in a legal manner.

CONTRACTOR LEAD-BASED PAINT CERTIFICATION
Signature Of Owner: Signature Of Contractor:

Date: Date:

Owners Name Construction Contract 8
This contract is for less than $200,000 and therefore Section 3 regulations do not apply.

SECTION 3
This agreement is subject to the requirements of Section 3 of the Housing and Urban Development Act of 1968 (12 U.S.C. 1801 u) as amended. Section 3 requires that every applicant, recipient, contracting party, Contractor, and Subcontractor shall incorporate, or cause to be incorporated, in all Contracts for work in connection with a Section 3 Project, the following clause (referred to as a Section 3 clause):

The work to be performed under this contract is subject to the requirements of Section 3 of the Housing and Urban Development Act of 1968, as amended, 12 U.S.C 170lu (Section 3). The purpose of Section 3 is to ensure that employment and other economic opportunities generated by HUD assistance or HUD- assisted projects, shall to the greatest extent feasible, be directed to low- and very low-income persons, particularly persons who are recipients of HUD assistance for housing.

The parties to this contract agree to comply with HUD's regulations in 24 CFR part 75, which implement Section 3. As evidence by their execution of this contract, the parties to this contract certify that they are under no contractual or other impediment that would prevent them from complying with part 75 regulations.

The contractor agrees to send to each labor organization or representative of workers with which the contractor has a collective bargaining agreement or other understanding, if any, a notice advising the labor organization or workers' representative of the contractor's commitments under this Section 3 clause, and will post copies of the notice in conspicuous places at the work site where both employees and applicants for training and employment positions can see the notice. The notice shall describe the Section 3 preference, shall set forth minimum number and job titles subject to hire, availability of apprenticeship and training positions, the qualifications for each; and the name and location of the person(s) taking applications for each of the positions, and the anticipated date the work shall begin.

The contractor agrees to include this Section 3 clause in every subcontract subject to compliance with regulations in 24 CFR part 75, and agrees to take appropriate action, as provided in an applicable provision of the subcontract or in this Section 3 clause, upon a finding that the subcontractor is in violation of the regulations in 24 CFR part 75. The contractor will not subcontract with any subcontractor where the contractor has notice or knowledge that the subcontractor has been found in violation of the regulations in 24 CFR part 75.

The contractor will certify that any vacant employment positions, including training positions, that are filled (1) after the contractor is selected but before the contract is executed, and (2) with persons other than those to whom the regulations of 24 CFR part 75 require employment opportunities to be directed, were not filled to circumvent the contractor's obligations under 24 CFR part 75.

Noncompliance with HUD's regulations in 24 CFR part 75 may result in sanctions, termination of this contract for default, and debarment or suspension from future HUD-assisted contracts.

Owners Name Construction Contract 9
SECTION 3 ASSURANCES
In accordance with the Housing and Urban Development Act of 1968, as amended, and the regulations pursuant to that Act.
(Contractor Name)
Agrees to comply with Section 3 of that Act by assuring that to the greatest extent feasible:

1. Training and employment opportunities will be given to Section 3 Workers and Targeted Section 3 Workers, and

2. Contracts in connection with the project will be awarded to Section 3 Businesses. (Contractor) will initiate the following actions to ensure utilization of Section 3 Workers and Targeted Section 3 Workers and to incorporate Section 3 Businesses as subcontractors and suppliers.

1. The Contractor will submit prior to the award of a contract, a signed assurance that it will comply with Section 3 regulations and requirements.

2. The Contractor will include the Section 3 clause in every subcontract for work in connection with HUD- assisted projects (attached).

3. The Contractor will not attempt to circumvent Section 3 provisions.

4. The Contractor will provide the Section 3 reports required under this contract. (Contractor) fully realizes failure or refusal to comply and give satisfactory assurances of future compliance with the requirements of Section 3 shall be proper basis for any and all of the following actions: cancellation, termination or suspension in whole or in part of the contract; a determination of ineligibility or debarmentfrom any further contracts under any Federal program with respect to which the failure or future occurred until satisfactory assurances of future compliance have been received.

Authorized Signature. Date: _
Owners Name Construction Contract 10
SECTION 3 WORKER AND TARGETED WORKER CERTIFICATION FORM A Section 3 Worker seeking the preference in training and employment provided by this part shall certify, or submit evidence to the recipient contractor or subcontractor, if requested, that the person is a Section 3 Worker, as defined in Section 75.5.

I meet the following qualifications as a Section 3 Worker:
• I am employed by a Section 3 Business; or
• I am a YouthBuild participant; or
• My total annualized income does not exceed the income guidelines by family size as published below.

I meet the following qualifications as a Section 3 Targeted Worker:
• I have met at least one of the requirements above; AND • I am a resident of a Section 3 project as defined as
To determine eligibility based on annualized income:
1) Determine the number of person(s) in your family and circle that number in the appropriate box below. 2) Look at the amount of money listed in the block that is circled. Is the total family income above or below that amount of money?
3) Place a check after either "Above" or "Below" to match the appropriate answer in Question 2.

HOUSEHOLD INCOME GUIDELINES- Siskiyou County, effective June 15, 2022 1 2 3 4 5 6 7 8
Person Persons Persons Persons Persons Persons Persons Persons $46,200 $52,800 $59,400 $65,950 $71,250 $76,550 $81,800 $87,100 Above ( - Above ( Above ( - Above () Above ( Above ( ) Above ( Above () Below ( - Below ( Below Below ( ) Below Below ( - Below ( Below () Name: Telephone:

Address: (will be verified)
I hereby certify that the information provided by me to be true and correct and understand any falsification of any of the information could subject me to disqualification from participation and punishment under the law.

Signature Date
Print Name
Owners Name Construction Contract 11
SECTION 3 CERTIFICATION FOR BUSINESS CONCERNS SEEKING SECTION 3 PREFERENCE IN CONTRACTING This form shall be submitted for those contractors and subcontractors Seeking Section 3 Business certification.

Name of Business
Address of Business
Type of Business: Corporation Partnership
Sole Proprietorship Joint Venture
Federal ID Number: UEI#:

Attach one or more of the following as evidence of status:

For Business claiming status as being at least 51% owned and controlled by low-and very low-income persons.
• Copy of Articles of Incorporation • Certificate of Good Standing • Assumed Business Name Certificate • Partnership Agreement List of owners/stockholders and Corporation Annual Report % ownership of each Additional documentation
Organization chart with names and
titles and brief function statement
For Business claiming status as being at least 51% owned and controlled by current public housing residents or residents who currently live in Section 8-assisted housing:
• Copy of resident lease
For business claiming Section 3 status, claiming at least 75 percent of the labor hours performed for the business over the prior three-month period was performed by Section 3 Workers:
• List of all current full-time employees List of employees claiming Section 3 status • Timesheets/payroll
documentation for
employee hours for last
3 months
ertification statu:

Business Owner Attested By:

Signature Signature
Date Date
Owners Name Construction Contract 12

NOTICE TO PROCEED
DATE: DATE THAT DEED RECORDED
TO: CONTRACTOR NAME
Pursuant to the provisions of the "Contract", dated DATE, you are hereby given this "Notice to Proceed" for the Work on the following described property:

OWNER(S):

ADDRESS:

CONTRACT PRICE: $ BID AMOUNT
You are hereby reminded that said Work is to be started within 14 days of the date of this notice. Contractor shall complete Work in a substantial and workmanlike manner except for any delays caused by strikes, act of God, or other circumstances over which the contractor has no control as listed in Section 6 Excusable Delays.

Please acknowledge receipt of this notice by signing one copy and returning it to this office.

Respectfully,
OWNER(S) SIGNATURE:

CONTRACTOR'S SIGNATURE/TITLE:

Owners Name Construction Contract 13
CDBG Housing Rehabilitation Loan Committee Recommendation Account Information:
1 Applicant Name or Initials: MC
2 Property Address:

Number in Household:

Total Annual Income:
3 Disabled: AMI:

Elderly:
4 Income Sources:
5 2024 CDBG Income Moderate 80% Income Limit: $56,250 Eligible _accounts in there name. 1 Revolving
Credit $ _ Monthly Payment
6 Credit Report Summary: Auto LoanS Monthly Payment. N
Delinquent Accounts/Collections
7 Replacement Home Size:
8 Able to Obtain and Maintain Property Insurance:

Able to Keep Property Tax's Current.:

Income and Expenses:

Monthly Income:
2 Monthly Mortgage: Incudes below
3 Monthly CDBG Payment:
4 Monthly Insurance:
5 Monthly Property Taxes:
6 Monthly Debts from Back End Ratio w/o CDBG Loan:
7 Income - Expenses:

Front End: PITI % (Between 25-40%) & Back End: PITI% (Between 30-50%) 0% for 5 Years 3% for 30 Years
FE/BE Loan % FE/BE
Loan % Years Payment PITI% Years Payment PITI%
0% N/A N/A N/A _% 30
Recommendation:
1 Replacement Home Size:
2 Assumption/Loan/Grant Bid $ (S construction+$ _title report+$ escrow costs) Amount:

GNS recommends moving forward with this loan and include change orders for 3 Recommendation:
up to $ _ Original estimate was S
Approved: Not Approved:

Reason:

COMMUNITY DEVELOPMENT BLOCK GRANT
CITY OF. _ HOUSING REHABILITATION PROGRAM

OWNER-OCCUPIED LOAN AGREEMENT
THIS AGREEMENT is entered into _ by and between the CITY OF - _ California, hereinafter referred to as "City", and _ hereafter referred as "Borrowers)" who is the owner(s) of the residential dwelling located at → hereinafter referred to as "Property".

This Agreement is made for the purpose of financing an loan _on the Property owned at APN# ("Home") by the Borrower(s) with Community Development Block Grant (CDBG) funds provided by the City under 2_- CDBG-. City of Home Rehabilitation Program, administered on behalf of the City by the Great Northern Services, hereinafter referred to as "Desginee".

THEREFORE, City and Borrowers) agree as follows:

1. The date of this Agreement is the date first above written on which this Agreement was made and entered.

2. Borrower(s) agrees to indemnify, defend and hold harmless the City and Designee, its officers, agents and employees from any and all claims and losses accruing or resulting to any and all contractors, subcontractors, materialmen, laborers and any other person, firm or corporation furnishing or supplying work, services, materials or supplies in connection with the performance of this Agreement, and from any and all claims and losses accruing or resulting to any person, firm or corporation who may be injured or damaged by the Borrower(s) in the performance of this Agreement.

3. Borrower(s), and the contractors, subcontractors, agents and employees of the Borrower(s), in the performance of this Agreement, shall act in an independent capacity and not as officers or employees or agents of the City or Designee.

4. Without the written consent of the City this Agreement is not assignable by the Borrowers) either in whole or in part.

5. Time is of the essence of this Agreement.

6. No alteration or variation of the terms of this Agreement shall be valid unless made in writing and signed by the parties hereto, and no oral understanding or agreement not incorporated herein, shall be binding on any of the parties hereto.

Borrower(s) agrees to enter into a contract with a duly licensed contractor, _ hereafter referred as the "Contractor" , to build/construct/remodel on the Property for the amount quoted in the Cost Estimate of this Agreement hereinafter referred to as the "Work". The Cost Estimate is included as Attachment A to this Agreement.

8. LOAN CONDITIONS
The City agrees to loan to the Borrowers) the amount
DOLLARS S 00), hereinafter referred to as the "loan amount". The amount of the Loan is the amount quoted in the Cost Estimate, and as ultimately adjusted by paragraph 16b. b. TOTAL OF PRINCIPAL IS DOLLARS S .00).

Repayment of the loan amount shall be as follows: Principal payment shall consist of monthly installments of
City of CDBG Home Rehabilitation Program-Loan Agreement Page 1 of 6 DOLLARS (S 00) at an amortized interest rate of _ PERCENT (%). Payments of principal and interest are to be made to the City or its designee. The first monthly installment payment will be due on - and subsequent payments will be due on the ) of each month thereafter.
b. Terms to remain the same until the time the loan is paid and the Deed of Trust is reconveyed. c. To ensure ongoing compliance with this requirement, Borrower must submit annually by January 15, a Certification of Occupancy in a form provided by the City. d. If the property is converted to a rental unit, commercial enterprise, or sold or transferred to a person not in the Borrowers) immediate family (son, daughter, father, mother, grandson, granddaughter, grandfather, or grandmother), the loan balance becomes due and payable unless the loan committee approves:

1. Converting the Owner-Occupied Loan to an Owner-Investor Loan with a new rate of interest and terms per CDBG guidelines.

2. Selling Home to another eligible client where the existing balance may be assumed by new Owner-Occupant.

3. Selling or transferring Home to a non-qualifying person where Loan payments would continue by Borrower(s) for a set amount of time until the house is sold at which time the City the balance of the Loan would be due and payable.
e. In the event of the Borrower's death or title transfer to an immediate family member (spouse, child, parent, sibling, grandparents or grandchildren) and the family member is occupying said Home as their principal residence and meet the current CDBG income requirements, the Borrower(s) or family member shall contact City for direction on how to proceed with an Assumption the Loan.
f. Funds provided pursuant to this Agreement are provided by the City through the Community Development Block Grant (CDBG) program administered by the California State Department of Housing and Community Development. Therefore, this agreement is subject to Federal and State statutes and regulations, which are included in the Required State and Federal Provisions, attached hereto as Attachment B, and Community Development Block Grant Housing Rehabilitation Guidelines, attached hereto as Attachment C.

9. LOAN CLOSING
The Loan closing will occur on the date that the Borrower(s) has executed and delivered to the City the loan documents and the Deed of Trust has been recorded against the Property in the Office of the Recorder of Siskiyou County. Subsequent to closing, the Loan funds will be available to pay installments of the Cost Estimate amount on behalf of the Borrower(s) as specified in the construction contract.

10. SECURITY
The Loan will be secured by the Property. Borrower will be required to enter the following legal documents with the City prior to Loan closing:
a. A duly executed and legally binding promissory note for the grant amount stated in paragraph 8 (a) hereof, payable to and in a form approved by the City, set forth in Attachment D..

City of _ CDBG Home Rehabilitation Program-Loan Agreement Page 2 of 6 b. A duly executed, legally binding and recordable Deed of Trust with Assignment of Rents shall be secured by the promissory note. SAID SECURITY SHALL BE IN A FORM APPROVED BY THE CITY

AND SHALL REQUIRE THE BORROWERS) TO MAINTAIN THE PROPERTY IN A GOOD STATE OF REPAIR AND CLEANLINESS. OWNER TO INSURE AGAINST ALL PROPERTY DAMAGE INCLUDING

FIRE AND FLOOD (FLOOD INSURANCE APPLICABLE ONLY TO HOUSES LOCATED IN A FLOOD ZONE), AND PAY ALL TAXES LEVIED ON THE PROPERTY.

11. COMMENCEMENT AND DURATION
a. Borrower(s) agrees to require that the construction contract with Contractor and all other contracts for the Work on the Home be entered into within Ninety (90) days of the date of this Agreement and that the Work commence within Thirty (30) days of the duly executed contracts. b. Unless sooner terminated under the provisions hereof, this Agreement will terminate on the earlier of the following dates:

1. 120 days from the date of this Agreement, if construction has not commenced by that time due to the delay or default of the Borrowers).

2. Upon repayment in full of the Loan.

12. TERMINATION FOR DEFAULT
a. If the Borrower(s) fails to perform the covenants herein contained and in the manner herein provided, the City shall provide written notice to Borrower(s) of intent to declare default.

Borrower(s) shall have 60 days from receipt of notice to cure default. If the default is not cured by the Borrower(s) within 60 days, the City may terminate this Agreement by written notice to the Borrower(s).
b. If this agreement is terminated by the City under paragraph 7.a before the loan closing date, the City shall be relieved of any obligation pursuant to this Agreement.

C. If this Agreement is terminated by the City under paragraph 7.a after the loan closing date, the City or its designee may proceed with the work in any manner deemed proper by the City. All costs to the City shall be paid by the Borrower(s) up to the loan amount. Whether or not the City proceeds with the work, the City may require the immediate repayment to the City or its designee, of the outstanding principal and interest, if any, at the date of termination.

13. TERMINATION BY EITHER PARTY FOR CONVENIENCE
Either party may terminate this Agreement before the loan closing date by giving 15 days prior written notice to the other party, both parties shall be relieved of all their obligations hereunder. b. If this Agreement is terminated by either party under after the Loan Closing date, the Borrower(s) shall immediately repay to the City, or its designee, the outstanding principal and interest, if any, at the date of termination.

14. GENERAL CONTRACTOR
a. The Borrower(s) agrees to contract for the performance of the Work with Contractor, who is a licensed contractor in the State of California and who has been approved by City. City or Designee reserve the right to review the contract between the Borrowers) and Contractor. b. The Borrower(s) shall not authorize final payments to Contractor until Contractor has delivered City of CDBG Home Rehabilitation Program-Loan Agreement Page 3 of 6 to the Borrower(s) and City or Designee a complete release of all liens for Work performed under the contract with the Borrower(s), or receipts in full covering all labor, materials and equipment for which a lien could be filed, or a bond satisfactory to the Borrowers) and City indemnifying them against any lien.

C. The contract between the Borrower(s) and Contractor shall require Contractor and its subcontractors, if any, to:

1. Perform the Work in accordance with applicable state and local building codes.

Comply with State and Federal Labor Standards, Equal Opportunity, Non-discrimination, and other requirements contained in Attachment B of this Agreement.

3. Maintain Workmen's Compensation Insurance for all parties as required by California law.

4. Maintain unemployment insurance and disability insurance as required by California law.

Maintain term of liability insurance or any other insurance from as may be required by City with City as additionally insured.

6. Comply with all applicable laws, regulations, and requirements of City, State of California, and the Community Development Block Grant Program.

15. WORK INSPECTIONS
a. City or Designee agree to inspect all Work as often as necessary during the construction period to ensure compliance with the applicable housing and building codes. City may approve, revise, or reject inspections performed by its Designee.
b. On completion of the Work and before the notice of completion is filed, City or Designee will inspect or cause to be inspected the Work. Borrower(s) shall give to City or Designee written acceptance of the Work before making any final payment to Contractor.

16. CONTINGENCIES
a. The amount specified in Attachment A (the Cost Estimate) for "contingencies" may only be expended by the Borrower(s) for purposes related to the Work and approved in writing by City or its designee.
b. If on the completion date the amount specified for "contingencies" has not been expended, the City will adjust the grant amount by the amount not expended.

17. RECORDS
All records, accounts, correspondence and other documents specified by the City shall be retained for a period of three (3) years from the termination date of this Agreement.

If so directed by the City or its designee, the Borrowers) shall cause all records, accounts, correspondence, and other documents pertaining to the work to be delivered to the City or its designee.

City of CDBG Home Rehabilitation Program-Loan Agreement Page 4 of 6

18. AUDIT
a. All records, accounts, correspondence, and other documents pertaining to the work shall be accessible to the City or its designee with reasonable prior notice, for the purposes of examination or audit.
b. Any expenditure which is not authorized by this Agreement, under the Cost Estimate or which cannot be adequately documented shall be disallowed and must be repaid by the Borrower(s) to the City or its designee. Expenditures for work on the property not included in the work described in Attachment A shall be deemed authorized if the performance of such work is approved in writing by the City or its designee.
g. Absent fraud, mistake or arbitrariness, the determination by the City or its designee of the allowability of any expenditure shall be final.

19. COMPLIANCE WITH CITY GUIDELINES AND STATE LAW AND REGULATIONS The Borrowers) agrees to comply with all City Guidelines and State laws and regulations that pertain to construction, health and safety, labor, fair employment practices, equal opportunity and all other matters applicable to the Borrowers) and the work including, but not limited to, those contained in Attachment B and Attachment

20. COMPLIANCE WITH FEDERAL LAW AND REGULATIONS
The Borrower(s) agrees to comply with all Federal laws and regulations applicable to the CDBG program and the work and with the required Federal Provisions including, but not limited to, those contained in Attachment B

21. COMPLIANCE WITH LOAN AGREEMENT
The Borrowers) agree to fully comply with all provisions of this Agreement unless a written waiver is granted by the City or its designee. THE CITY RESERVES THE RIGHT TO TERMINATE THIS AGREEMENT

AND IMMEDIATELY CAUSE DUE IMMEDIATE REPAYMENT IN FULL OF THE LOAN AMOUNT IF THE

BORROWER(S) FAIL TO COMPLY WITH THE PROVISIONS OF THIS AGREEMENT, INCLUDING ATTACHMENTS AND REFERENCES.

22. ATTACHMENTS
14a. This agreement further incorporates standard state and federal terms and requirements for administering CDBG grants, which are attached hereto as Attachment B. Attachment B as referred to in that attachment, "grantee" shall mean the City of _ - "subrecipient" shall mean Great Northern Services, "contractor" shall mean Contractor and any of its subcontractors. 14b. This agreement incorporates the City of Community Development Block Grant Housing Rehabilitation Guidelines, which are attached hereto as Attachment C All attachments, exhibits, other conditions are hereby incorporated into this Agreement:
• ATTACHMENT A: Cost Estimate with Duplication of Benefit Table for Property • ATTACHMENT B: State and Federal CDBG Provisions
• ATTACHMENT C: City of _Community Development Block Grant Housing Rehabilitation Guidelines
• ATTACHMENT D: Amortized Truth in Lending
• ATTACHMENT D: Promissory Note
• ATTACHMENT E: Deed of Trust
• ATTACHMENT F: Rescission
City of CDBG Home Rehabilitation Program-Loan Agreement Page 5 of 6 BORROWER: DATE
CITY'S AUTHORIZED SIGNATURE: DATE
City of _ CDBG Home Rehabilitation Program-Loan Agreement Page 6 of 6 City of CDBG Housing Rehabilitation Great Northern Services Duplication of Benefits Tracking Sources Budget Gap/
Uses (line item budget) Total Activity Costs [Source 1] [Source 2] (Source 3) [Source 4) | (Source 5] [Source 6] |[Source 7] (Source 8) [Source 9] COBG CDBG PI Duplication of Benefits [Activity Costs Category 1 (i.e. Activity Delivery, Materials, Labor)] Construction
[Line Item] /
[Line Item] $
[Line Item]
nuisance
(Line Item]
(Line Item]
[Line Item]
[Line Item]
[Line Item] in e
[Line Item]
[Line Item] $ $
[Line Item] $
[Line Item] $
(Line Item] uses us us
[Line Item] ( $ uses
Total $ $
[Activity Costs Category 2 (i.e. Activity Delivery, Materials, Labor)] [Line Item)
u un
[Line Item]
[Line Item]
usus unu
[Line Item]
[Line Item) escreenso
(Line Item is u
[Line Item]
[Line Item]
[Line Item) $
[Line Item)
[Line Item]
uses
[Line Item)
(Line Item]
[Line Item] us v
[Line Item]
Total
General Administration
[Line Item] $
u u
[Line Item] $
[Line Item] us es es un $ nanana
uses usen
[Line Item] n u
Total
Activity Total
Instructions: Fill out the above line item budget with you projected activity costs. You may identify the line items by category, such as activity delivery, activity, and admin, or by any other activity categories that apply to your activity. Do keep you administration costs categorized under City of Town
Duplication of Benefits Tracking
Uses (line item budget) Total Activity Costs CARES Act Donations Canned Food $ 25,000.00 $ 1,500.00
Perishible Food 50,000.00 $ 2,500.00
Boxes/Bags $ 1,500.00
Delivery Fuel 7,500.00 $ $
Vehicle Costs 9,000.00 $ 500.00
[Line Item] $
[Line Item]
[Line Item] $
[Line Item]
[Line Item] $ $
[Line Item] $
[Line Item] S
[Line Item] Ş
[Line Item] $
[Line Item]
Total $ 93,000.00 4,500.00
Delivery Staff $ 60,000.00
Packaging Staff $ 55,000.00 uses un
HM Management Staff 125,000.00
[Line Item] $
[Line Item] nuuuuuuuus
[Line Item]
[Line Item]
[Line Item] S
[Line Item] S
[Line Item] S
[Line Item] $
[Line Item] $
[Line Item] $ $
[Line Item] $ $
[Line Item] $ $
Total $ 240,000.00 $
City of Town Staff $ 45,000.00 $
Grant Consultant $ 10,000.00
[Line Item] $
[Line Item] $ $
Total $ 55,000.00 $
Activity Total $ 388,000.00 $ 4,500.00
Instructions: Fill out the above line item budget with you projected activity costs. You may id Food Bank
Sources
Mission Fndn. DHSS FEMA General Fund [Source 71
Food and Delivery Costs
5,000.00 15,000.00 $ $ $
5,000.00 35,000.00 $
1,500.00 $
1,000.00 $
$ $ $
$ $
S $ $
$ S $
$ $
$ $ $
$ $
$
$
12,500.00 $ 50,000.00 $ $
Activity Delivery (Helping Hands Mission Staff Costs
10,000.00 $
10,000.00 $
25,000.00 50,000.00 $
$
wwwwasness
$
$
$
$
45,000.00 $ 50,000.00 $ $
General Administration
$ 23,000.00
$ $ $ S
$ $
$ $
$ $ 23,000.00 $
$ 57,500.00 $ 100,000.00 $ $ 23,000.00 $
'entify the line items by category, such as activity delivery, activity, and admin, or by any other acti Helping Hands Mission
Budget Gap/
Source 8] [Source 9] CDBG-CV1 CDBG PI Duplication of Benefits 3,500.00
7,500.00
7,500.00 1,000.00
8,000.00 (500.00)
urun
e un
nuneesees
19,000.00 7,500.00 500.00
50,000.00
50,000.00 5,000.00
27,000.00 15,000.00 (8,000.00)
er us en
uses un
127,000.00 15,000.00 (3,000.00)
20,000.00 2,500.00 500.00
10,000.00
30,000.00 2,500.00 500.00
176,000.00 25,000.00 (2,000.00)
vity categories that apply to your activity. Do keep you administration costs categorized under the City of _Home Rehabilitation Program
Truth in Lending Disclosure Statement
Amortized Loan
This statement is made in connection with a Grant Agreement, dated xxxx, 20xx, between the CITY OF _ Borrower hereinafter "Borrower", for the assumption of the real property described below.

1. LOAN AMOUNT: Lender will lend to Borrower the sum of which includes:

Grant Balance: _00
Title Fees, Recording & Transfer Fees, Liens Misc.
($_.00) (S_.00) (0) (S0.00) $_.00
$00

ANNUAL PERCENTAGE FINANCE CHARGE AMOUNT TOTAL OF

RATE FINANCED PAYMENTS
The cost of your credit as a The dollar amount the credit will The amount of credit The amount you will have yearly rate cost you provided to you on your paid after making all payments as scheduled
0% S0.00 _.00 $0.00

2. TOTAL OF PRINCIPAL IS DOLLAR AND CENTS (S 00).

Repayment of the loan amount shall be as follows:

Principal payment shall consist of _(monthly installments of _ AND DOLLARS (S0.00) at a simple interest rate of PERCENT (%) for. 1 YEARS. Payments of principal and interest are to be made to THE CITY OF DORRIS or its designee. The first monthly installment payment will be due on ,20 and subsequent payments will be due on the_ ('b) of each month thereafter.

DEFAULT, DELINQUENCY AND SIMILAR CHARGES:

EACH PAYMENT IN DEFAULT FOR TEN DAYS (10) SHALL BEAR A LATE CHARGE OF $5.00. IN ADDITION TO THE

LATE CHARGE, THE APPLICANT SHALL BE RESPONSIBLE FOR ATTORNEY'S FEES AND ALL COSTS OF COLLECTION IN THE EVENT THAT ANY PORTION OF THE INDEBTEDNESS IS NOT PAID WHEN DUE.

4. PREPAYMENT:

Prepayment of the loan, in whole or part, may be made without penalty. In the event of any prepayment, there will be no rebate of prepaid or unearned interest, because no such interest will be collected.

5. SECURITY INTEREST:

This loan is secured by DEED OF TRUST AND PROMISSORY NOTE against the real property, the address of which is In the event of a default, the filling and recording of a certificate of default with the County Recorder shall constitute a lien upon this property. I acknowledge that I have received a completed copy of this statement and that I have not signed any note, contract, or any other agreement in X X
BORROWER: DATE:

ATTACHMENT B

COMMUNITY DEVELOPMENT BLOCK GRANT

STATE AND FEDERAL PROVISIONS
I. GENERAL CONDITIONS
A. General Compliance
The Subrecipient/Contractor agrees to comply with the requirements of Title 24 of the Code of Federal Regulations, Part 570 (the U.S. Housing and Urban Development regulations concerning Community Development Block Grants (CDBG)) including subpart K of these regulations, except that (1) the Subrecipient/Contractor does not assume the recipient's environmental responsibilities described in 24 CFR 570.604 and (2) the Subrecipient/Contractor does not assume the recipient's responsibility for initiating the review process under the provisions of 24 CFR Part 52. The Subrecipient/Contractor also agrees to comply with all other applicable Federal, state and local laws, regulations, and policies governing the funds provided under this contract including 2 CFR Appendix II to Part 200 "Contract Provisions for Non-Federal Entity Contracts under Federal Awards". The Subrecipient/Contractor further agrees to utilize funds available under this Agreement to supplement rather than supplant funds otherwise available.

В. "Independent Contractor"
Nothing contained in this Agreement is intended to, or shall be construed in any manner, as creating or establishing the relationship of employer/employee between the parties. The Subrecipient/Contractor shall at all times remain an "independent contractor" with respect to the services to be performed under this Agreement. The Grantee shall be exempt from payment of all Unemployment Compensation, FICA, retirement, life and/or medical insurance and Workers' Compensation Insurance, as the Subrecipient/Contractor is an independent contractor.

C. Hold Harmless
The Subrecipient/Contractor shall hold harmless, defend and indemnify the Grantee from any and all claims, actions, suits, charges and judgments whatsoever that arise out of the Subrecipient/Contractor's performance or nonperformance of the services or subject matter called for in this Agreement.

D. Workers' Compensation
The Subrecipient/Contractor shall provide Workers' Compensation Insurance coverage for all of its employees involved in the performance of this Agreement.

E. Insurance & Bonding
The Subrecipient/Contractor shall carry sufficient insurance coverage to protect contract assets from loss due to theft, fraud and/or undue physical damage, and as a minimum shall purchase a blanket fidelity bond covering all employees in an amount equal to cash advances from the Grantee.

The Subrecipient/Contractor shall comply with the bonding and insurance requirements of 2 CFR 200.310 and 200.326, Bonding and Insurance.

F. Grantee Recognition
Siskiyou County CDBG Slater Fire Home Replacement Program-Grant Agreement Attachment B-General Conditions Page 1 of 13 The Subrecipient/Contractor shall insure recognition of the role of the Grantee in providing services through this Agreement. All activities, facilities and items utilized pursuant to this Agreement shall be prominently labeled as to funding source. In addition, the Subrecipient/Contractor will include a reference to the support provided herein in all publications made possible with funds made available under this Agreement.

G. Amendments
The Grantee or Subrecipient/Contractor may amend this Agreement at any time provided that such amendments make specific reference to this Agreement, and are executed in writing, signed by a duly authorized representative of each organization, and approved by the Department and the Grantee's governing body. Such amendments shall not invalidate this Agreement, nor relieve or release the Grantee or Subrecipient/Contractor from its obligations under this Agreement.

The Grantee may, in its discretion, amend this Agreement to conform with Federal, state or local governmental guidelines, policies and available funding amounts, or for other reasons. If such amendments result in a change in the funding, the scope of services, or schedule of the activities to be undertaken as part of this Agreement, such modifications will be incorporated only by written amendment signed by both Grantee and Subrecipient/Contractor.

H. Suspension or Termination
In accordance with 24 CFR 85.43, the Grantee may suspend or terminate this Agreement if the Subrecipient/Contractor materially fails to comply with any terms of this Agreement, which include (but are not limited to) the following:

1. Failure to comply with any of the rules, regulations or provisions referred to herein, or such statutes, regulations, executive orders, and HUD guidelines, policies or directives as may become applicable at any time;

2. Failure, for any reason, of the Subrecipient/Contractor to fulfill in a timely and proper manner its obligations under this Agreement;

3. Ineffective or improper use of funds provided under this Agreement; or,

4. Submission by the Subrecipient/Contractor to the Grantee reports that are incorrect or incomplete in any material respect.

In accordance with 24 CFR 85.44, this Agreement may also be terminated for convenience by either the Grantee or the Subrecipient/Contractor, in whole or in part, by setting forth the reasons for such termination, the effective date, and, in the case of partial termination, the portion to be terminated. However, if in the case of a partial termination, the Grantee determines that the remaining portion of the award will not accomplish the purpose for which the award was made, the Grantee may terminate the award in its entirety.

I. Debarment & Suspension
Subrecipient/Contractor shall be eligible to receive CDBG funds and is not listed on the Federal Consolidated List of Debarred, Suspended, and Ineligible Contractors. Subrecipient/Contractor shall furnish proof of being eligible to receive federal funding which will become an attachment to this Agreement.

In addition, the Subrecipient/Contractor must comply with 24 CFR Part 2424 and shall not enter into any agreement, written or oral, with any contractor or Subrecipient/Contractor without the prior determination that the contractor or Subrecipient/Contractor is eligible to receive CDBG Siskiyou County CDBG Slater Fire Home Replacement Program-Grant Agreement Attachment B-General Conditions Page 2 of 13 funds and is not listed on the Federal Consolidated List of Debarred, Suspended, and Ineligible Contractors.

J. Drug Free Work Place
Subrecipient/Contractors shall comply with the Drug-Free Workplace Act of 1988 and shall submit their policy so it becomes an attachment to this Agreement.

Il. ADMINISTRATIVE REQUIREMENTS
A. Financial Management

1. Accounting Standards
The Subrecipient/Contractor agrees to comply with 2 CFR 200 Subpart E and agrees to adhere to the accounting principles and procedures required therein, utilize adequate internal controls, and maintain necessary source documentation for all costs incurred.

2. Cost Principles
The Subrecipient/Contractor shall administer its program in conformance with 2 CFR Part 200 as applicable. These principles shall be applied for all costs incurred whether charged on a direct or indirect basis.

B. Documentation and Record Keeping

1. Records to be Maintained
The Subrecipient/Contractor shall maintain all records required by the Federal regulations specified in 24 CFR 570.506, that are pertinent to the activities to be funded under this Agreement. Such records shall include but not be limited to:
a) Records providing a full description of each activity undertaken; b) Records demonstrating that each activity undertaken meets one of the National Objectives of the CDBG program;
c) Records required to determine the eligibility of activities; d) Records required to document the acquisition, improvement, use or disposition of real property acquired or improved with CDBG assistance; e) Records documenting compliance with the fair housing and equal opportunity components of the CDBG program;
f) Financial records as required by 24 CFR 570.502, and 2 CFR 200 Subpart E; and g) Other records necessary to document compliance with Subpart K of 24 CFR Part 570.

2. Retention
The Subrecipient/Contractor shall retain copies of all the CDBG activity related financial records, supporting documents, statistical records, and all other records pertinent to this Agreement for a period of five (5) years after expiration of this Agreement.

Subrecipient/Contractor must transfer all CDBG Program-related records to the Grantee with 30 days after termination of this Agreement. The retention period includes finalization of the submission of the Grantee's annual performance and evaluation report to the Department in which the activities assisted under this Agreement are reported on for the final time. Notwithstanding the above, if there is litigation, claims, audits, negotiations or other actions that involve any of the records cited and that have started before the expiration of the five-year period, then such records must be Siskiyou County CDBG Slater Fire Home Replacement Program-Grant Agreement Attachment B-General Conditions Page 3 of 13 retained until completion of the actions and resolution of all issues, or the expiration of the five-year period, whichever occurs later.

3. Client Data
The Subrecipient/Contractor shall maintain client data demonstrating client eligibility for services provided. Such data shall include, but not be limited to, client name, address, income level or other basis for determining eligibility, and description of service provided. Such information shall be made available to Grantee monitors or their designees for review upon request. Subrecipient/Contractor must transfer all CDBG Program-related records to the Grantee with 30 days after termination of this Agreement.

4. Disclosure
The Subrecipient/Contractor understands that client information collected under this contract is private and the use or disclosure of such information, when not directly connected with the administration of the Grantee's or Subrecipient/Contractor's responsibilities with respect to services provided under this contract, is prohibited by State of Federal law unless written consent is obtained from such person receiving service and, in the case of a minor, that of a responsible parent/guardian.

5. Closeouts
The Subrecipient/Contractor's obligation to the Grantee shall not end until all close-out requirements are completed. Activities during this close-out period shall include, but are not limited to: making final payments, disposing of program assets (including the return of all unused materials, equipment, unspent cash advances, program income balances, and accounts receivable to the Grantee), and determining the custodianship of records.

Notwithstanding the foregoing, the terms of this Agreement shall remain in effect during any period that the Subrecipient/Contractor has engaged in any activities making use of CDBG funds, including program income. Subrecipient/Contractor must transfer all CDBG Program-related records to the Grantee with 30 days after termination of this Agreement.

6. Audits & Inspections
All Subrecipient/Contractor records with respect to any matters covered by this Agreement shall be made available to the Grantee, grantor agency, and the Comptroller General of the United States or any of their authorized representatives, at any time during normal business hours, as often as deemed necessary, to audit, examine, and make excerpts or transcripts of all relevant data. Any deficiencies noted in audit reports must be fully cleared by the Subrecipient/Contractor within 30 days after receipt by the Subrecipient/Contractor. Failure of the Subrecipient/Contractor to comply with the above audit requirements will constitute a violation of this contract and may result in the withholding of future payments. The Subrecipient/Contractor hereby agrees to have an annual agency audit conducted in accordance with current Grantee policy concerning Subrecipient/Contractor audits and 2 CFR Part 200.

C. Reporting and Payment Procedures

1. Indirect Costs
If indirect costs are charged, the Subrecipient/Contractor will develop an indirect cost allocation plan for determining the appropriate Subrecipient/Contractor's share of Siskiyou County CDBG Slater Fire Home Replacement Program-Grant Agreement Attachment B-General Conditions Page 4 of 13 administrative costs and shall submit such plan to the Grantee for approval, in a form specified by the Grantee.

2. Payment Procedures
The Grantee will pay to the Subrecipient/Contractor funds available under this Agreement based upon information submitted by the Subrecipient/Contractor and consistent with any approved budget and Grantee policy concerning payments. Payments will be made for eligible expenses actually incurred by the Subrecipient/Contractor, and not to exceed actual cash requirements. In addition, the Grantee reserves the right to liquidate funds available under this contract for costs incurred by the Grantee on behalf of the Subrecipient/Contractor.

3. Progress Reports
The Subrecipient/Contractor shall submit regular Progress Reports to the Grantee in the form, content, and frequency as required by the Grantee.

D. Procurement

1. Compliance
The Subrecipient/Contractor shall comply with current Grantee policy concerning the purchase of equipment and shall maintain inventory records of all non-expendable personal property as defined by such policy as may be procured with funds provided herein. All program assets (unexpended program income, property, equipment, etc.) shall revert to the Grantee upon termination of this Agreement.

2. 2 CFR 200
Unless specified otherwise within this agreement, the Subrecipient/Contractor shall procure all materials, property, or services in accordance with the requirements of 2 CFR 200.318- 200.327.

3. Travel
The Subrecipient/Contractor shall obtain written approval from the Grantee for any travel outside the metropolitan area with funds provided under this Agreement.

E. Use and Reversion of Assets
The use and disposition of real property and equipment under this Agreement shall be in compliance with the requirements of 2 CFR 200 and 24 CFR 570.502, 570.503, and 570.504, as applicable, which include but are not limited to the following:

1. The Subrecipient/Contractor shall transfer to the Grantee any CDBG funds on hand and any accounts receivable attributable to the use of funds under this Agreement at the time of expiration, cancellation, or termination.

2. Real property under the Subrecipient/Contractor's control that was acquired or improved, in whole or in part, with funds under this Agreement in excess of $25,000 shall be used to meet one of the CDBG National Objectives pursuant to 24 CFR 570.208 until five (5) years after expiration of this Agreement [or such longer period of time as the Grantee deems appropriate]. If the Subrecipient/Contractor fails to use CDBG-assisted real property in a manner that meets a CDBG National Objective for the prescribed period of time, the Subrecipient/Contractor shall pay the Grantee an amount equal to the current fair market value of the property less any portion of the value attributable to expenditures of non- CDBG funds for acquisition of, or improvement to, the property. Such payment shall Siskiyou County CDBG Slater Fire Home Replacement Program-Grant Agreement Attachment B-General Conditions Page 5 of 13 constitute program income to the Grantee. The Subrecipient/Contractor may retain real property acquired or improved under this Agreement after the expiration of the five-year period [or such longer period of time as the Grantee deems appropriate].

3. In all cases in which equipment acquired, in whole or in part, with funds under this Agreement is sold, the proceeds shall be program income (prorated to reflect the extent to that funds received under this Agreement were used to acquire the equipment). Equipment not needed by the Subrecipient/Contractor for activities under this Agreement shall be (a) transferred to the Grantee for the CDBG program or (b) retained after compensating the Grantee [an amount equal to the current fair market value of the equipment less the percentage of non-CDBG funds used to acquire the equipment].

Ill. RELOCATION, REAL PROPERTY ACQUISITION AND ONE-FOR-ONE HOUSING REPLACEMENT The Subrecipient/Contractor agrees to comply with (a) the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, as amended (URA), and implementing regulations at 49 CFR Part 24 and 24 CFR 570.606(b); (b) the requirements of 24 CFR 570.606(c) governing the Residential Anti-displacement and Relocation Assistance Plan under section 104(d) of the HCD Act; and (c) the requirements in 24 CFR 570.606(d) governing optional relocation policies. [The Grantee may preempt the optional policies.] The Subrecipient/Contractor shall provide relocation assistance to displaced persons as defined by 24 CFR 570.606(b)(2)that are displaced as a direct result of acquisition, rehabilitation, demolition or conversion for a CDBG-assisted project. The Subrecipient/Contractor also agrees to comply with applicable Grantee ordinances, resolutions and policies concerning the displacement of persons from their residences.

IV. PERSONNEL & PARTICIPANT CONDITIONS
A. Civil Rights

1. Compliance
The Subrecipient/Contractor agrees to comply with all local and state civil rights ordinances and with Title VI of the Civil Rights Act of 1964 as amended, Title VIll of the Civil Rights Act of 1968 as amended, Section 104(b) and Section 109 of Title I of the Housing and Community Development Act of 1974 as amended, Section 504 of the Rehabilitation Act of 1973, the Americans with Disabilities Act of 1990, the Age Discrimination Act of 1975, Executive Order 11063, and Executive Order 11246 as amended by Executive Orders 11375, 11478, 12107 and 12086.

2. Nondiscrimination
The Subrecipient/Contractor agrees to comply with the non-discrimination in employment and contracting opportunities laws, regulations, and executive orders referenced in 24 CFR 570.607, as revised by Executive Order 13279. The applicable non- discrimination provisions in Section 109 of the HCDA are still applicable.

3. Land Covenants
This contract is subject to the requirements of Title VI of the Civil Rights Act of 1964 (P.

L. 88-352) and 24 CFR 570.601 and 570.602. In regard to the sale, lease, or other transfer of land acquired, cleared or improved with assistance provided under this contract, the Subrecipient/Contractor shall cause or require a covenant running with the land to be inserted in the deed or lease for such transfer, prohibiting discrimination as herein defined, in the sale, lease or rental, or in the use or occupancy of such land, or in Siskiyou County CDBG Slater Fire Home Replacement Program-Grant Agreement Attachment B-General Conditions Page 6 of 13 any improvements erected or to be erected thereon, providing that the Grantee and the United States are beneficiaries of and entitled to enforce such covenants. The Subrecipient/Contractor, in undertaking its obligation to carry out the program assisted hereunder, agrees to take such measures as are necessary to enforce such covenant, and will not itself so discriminate.

4. Section 504
The Subrecipient/Contractor agrees to comply with all Federal regulations issued pursuant to compliance with Section 504 of the Rehabilitation Act of 1973 (29 U.S.C. 794), which prohibits discrimination against the individuals with disabilities or handicaps in any Federally assisted program. The Grantee shall provide the Subrecipient/Contractor with any guidelines necessary for compliance with that portion of the regulations in force during the term of this Agreement.

B. Affirmative Action

1. Approved Plan
The Subrecipient/Contractor agrees that it shall be committed to carry out pursuant to the Grantee's specifications an Affirmative Action Program in keeping with the principles as provided in President's Executive Order 11246 of September 24, 1966. The Grantee shall provide Affirmative Action guidelines to the Subrecipient/Contractor to assist in the formulation of such program. The Subrecipient/Contractor shall submit a plan for an Affirmative Action Program for approval prior to the award of funds.

2. Women-and Minority-Owned Businesses (W/MBE)
The Subrecipient/Contractor will use its best efforts to afford small businesses, minority business enterprises, and women's business enterprises the maximum practicable opportunity to participate in the performance of this contract. As used in this contract, the terms "small business" means a business that meets the criteria set forth in section 3(a) of the Small Business Act, as amended (15 U.S.C. 632), and "minority and women's business enterprise" means a business at least fifty-one (51) percent owned and controlled by minority group members or women. For the purpose of this definition, "minority group members" are Afro-Americans, Spanish-speaking, Spanish surnamed or Spanish-heritage Americans, Asian-Americans, and American Indians. The Subrecipient/Contractor may rely on written representations by businesses regarding their status as minority and female business enterprises in lieu of an independent investigation.

3. Access to Records
The Subrecipient/Contractor shall furnish and cause each of its own subrecipients or subcontractors to furnish all information and reports required hereunder and will permit access to its books, records and accounts by the Grantee, HUD or its agent, or other authorized Federal officials for purposes of investigation to ascertain compliance with the rules, regulations and provisions stated herein.

4. Notifications
The Subrecipient/Contractor will send to each labor union or representative of workers with which it 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 worker's representative of the Subrecipient/Contractor's commitments hereunder, and Siskiyou County CDBG Slater Fire Home Replacement Program-Grant Agreement Attachment B-General Conditions Page 7 of 13 shall post copies of the notice in conspicuous places available to employees and applicants for employment.

5. Equal Employment Opportunity and Affirmative Action (EEO/AA) Statement The Subrecipient/Contractor will, in all solicitations or advertisements for employees placed by or on behalf of the Subrecipient/Contractor, state that it is an Equal Opportunity or Affirmative Action employer. Additional State of California Requirements regarding the State Equal Opportunity provisions are contained in Attachment A.

6. Subcontract Provisions
The Subrecipient/Contractor will include the provisions of Paragraphs X.A, Civil Rights, and B, Affirmative Action, in every subcontract or purchase order, specifically or by reference, so that such provisions will be binding upon each of its own subrecipients or subcontractors.

C. Employment Restrictions

1. Prohibited Activity
The Subrecipient/Contractor is prohibited from using funds provided herein or personnel employed in the administration of the program for: political activities; inherently religious activities; lobbying; political patronage; and nepotism activities.

2. Labor Standards
The Subrecipient/Contractor agrees to comply with the requirements of the Secretary of Labor in accordance with the Davis-Bacon Act as amended, the provisions of Contract Work Hours and Safety Standards Act (40 U.S.C. 327 et seq.) and all other applicable Federal, state and local laws and regulations pertaining to labor standards insofar as those acts apply to the performance of this Agreement. The Subrecipient/Contractor agrees to comply with the Copeland Anti-Kick Back Act (18 U.S.C. 874 et seq.) and its implementing regulations of the U.S. Department of Labor at 29 CFR Part 5. The Subrecipient/Contractor shall maintain documentation that demonstrates compliance with hour and wage requirements of this part. Such documentation shall be made available to the Grantee for review upon request.

The Subrecipient/Contractor agrees that, except with respect to the rehabilitation or construction of residential property containing less than eight (8) units, all contractors engaged under contracts in excess of $2,000.00 for construction, renovation or repair work financed in whole or in part with assistance provided under this contract, shall comply with Federal requirements adopted by the Grantee pertaining to such contracts and with the applicable requirements of the regulations of the Department of Labor, under 29 CFR Parts 1, 3, 5 and 7 governing the payment of wages and ratio of apprentices and trainees to journey workers; provided that, if wage rates higher than those required under the regulations are imposed by state or local law, nothing hereunder is intended to relieve the Subrecipient/Contractor of its obligation, if any, to require payment of the higher wage. The Subrecipient/Contractor shall cause or require to be inserted in full, in all such contracts subject to such regulations, provisions meeting the requirements of this paragraph.

Siskiyou County CDBG Slater Fire Home Replacement Program-Grant Agreement Attachment B-General Conditions Page 8 of 13

3. "Section 3" Clause
a) Compliance: Compliance with the provisions of Section 3 of the HUD Act of 1968, as amended, and as implemented by the regulations set forth in 24 CFR 135, and all applicable rules and orders issued hereunder prior to the execution of this contract, shall be a condition of the Federal financial assistance provided under this contract and binding upon the Grantee, the Subrecipient/Contractor and any of the Subrecipient/Contractor's subrecipients and subcontractors. Failure to fulfill these requirements shall subject the Grantee, the Subrecipient/Contractor and any of the Subrecipient/Contractor's subrecipients and subcontractors, their successors and assigns, to those sanctions specified by the Agreement through which Federal assistance is provided. The Subrecipient/Contractor certifies and agrees that no contractual or other disability exists that would prevent compliance with these requirements.

The Subrecipient/Contractor further agrees to comply with these "Section 3" requirements and to include the following language in all subcontracts executed under this Agreement:
"The work to be performed under this Agreement is a project assisted under a program providing direct Federal financial assistance from HUD and is subject to the requirements of Section 3 of the Housing and Urban Development Act of 1968, as amended (12 U.S.C. 1701). Section 3 requires that to the greatest extent feasible opportunities for training and employment be given to low- and very low-income residents of the project area, and that contracts for work in connection with the project be awarded to business concerns that provide economic opportunities for low- and very low-income persons residing in the metropolitan area in which the project is located."
The Subrecipient/Contractor further agrees to ensure that opportunities for training and employment arising in connection with a housing rehabilitation (including reduction and abatement of lead-based paint hazards), housing construction, or other public construction project are given to low- and very low-income persons residing within the metropolitan area in which the CDBG-funded project is located; where feasible, priority should be given to low- and very low-income persons within the service area of the project or the neighborhood in which the project is located, and to low- and very low-income participants in other HUD programs; and award contracts for work undertaken in connection with a housing rehabilitation (including reduction and abatement of lead-based paint hazards), housing construction, or other public construction project to business concerns that provide economic opportunities for low- and very low-income persons residing within the metropolitan area in which the CDBG-funded project is located; where feasible, priority should be given to business concerns that provide economic opportunities to low- and very low-income residents within the service area or the neighborhood in which the project is located, and to low-and very low-income participants in other HUD programs.

The Subrecipient/Contractor certifies and agrees that no contractual or other legal incapacity exists that would prevent compliance with these requirements.

Siskiyou County CDBG Slater Fire Home Replacement Program-Grant Agreement Attachment B-General Conditions Page 9 of 13 b) Notifications: The Subrecipient/Contractor agrees to send to each labor organization or representative of workers with which it has a collective bargaining agreement or other contract or understanding, if any, a notice advising said labor organization or worker's representative of its commitments under this Section 3 clause and shall post copies of the notice in conspicuous places available to employees and applicants for employment or training.
c) Subcontracts: The Subrecipient/Contractor will include this Section 3 clause in every subcontract and will take appropriate action pursuant to the subcontract upon a finding that the subcontractor is in violation of regulations issued by the grantor agency. The Subrecipient/Contractor will not subcontract with any entity where it has notice or knowledge that the latter has been found in violation of regulations under 24 CFR Part 135 and will not let any subcontract unless the entity has first provided it with a preliminary statement of ability to comply with the requirements of these regulations.

D. Conduct

1. Assignability
The Subrecipient/Contractor shall not assign or transfer any interest in this Agreement without the prior written consent of the Grantee thereto; provided, however, that claims for money due or to become due to the Subrecipient/Contractor from the Grantee under this contract may be assigned to a bank, trust company, or other financial institution without such approval. Notice of any such assignment or transfer shall be furnished promptly to the Grantee.

2. Subcontracts
a) Approvals: The Subrecipient/Contractor shall not enter into any subcontracts with any agency or individual in the performance of this contract without the written consent of the Grantee prior to the execution of such agreement. b) Monitoring: The Subrecipient/Contractor will monitor all subcontracted services on a regular basis to assure contract compliance. Results of monitoring efforts shall be summarized in written reports and supported with documented evidence of follow-up actions taken to correct areas of noncompliance. c) Content: The Subrecipient/Contractor shall cause all of the provisions of this contract in its entirety to be included in and made a part of any subcontract executed in the performance of this Agreement.
d) Selection Process: The Subrecipient/Contractor shall undertake to insure that all subcontracts let in the performance of this Agreement shall be awarded on a fair and open competition basis in accordance with applicable procurement requirements. Executed copies of all subcontracts shall be forwarded to the Grantee along with documentation concerning the selection process.

Hatch Act
The Subrecipient/Contractor agrees that no funds provided, nor personnel employed under this Agreement, shall be in any way or to any extent engaged in the conduct of political activities in violation of Chapter 15 of Title V of the U.S.C.

Siskiyou County CDBG Slater Fire Home Replacement Program-Grant Agreement Attachment B-General Conditions Page 10 of 13

4. Conflict of Interest
The Subrecipient/Contractor agrees to abide by the provisions of 2 CFR 200.112 and 570.611, which include (but are not limited to) the following:
a) The Subrecipient/Contractor shall maintain a written code or standards of conduct that shall govern the performance of its officers, employees or agents engaged in the award and administration of contracts supported by Federal funds.
b) No employee, officer or agent of the Subrecipient/Contractor shall participate in the selection, or in the award, or administration of, a contract supported by Federal funds if a conflict of interest, real or apparent, would be involved. c) No covered persons who exercise or have exercised any functions or responsibilities with respect to CDBG-assisted activities, or who are in a position to participate in a decision-making process or gain inside information with regard to such activities, may obtain a financial interest in any contract, or have a financial interest in any contract, subcontract, or agreement with respect to the CDBG-assisted activity, or with respect to the proceeds from the CDBG-assisted activity, either for themselves or those with whom they have business or immediate family ties, during their tenure or for a period of one (1) year thereafter. For purposes of this paragraph, a "covered person" includes any person who is an employee, agent, consultant, officer, or elected or appointed official of the Grantee, the Subrecipient/Contractor, or any designated public agency.

5. Lobbying
The Subrecipient/Contractor hereby certifies that:
a) No Federal appropriated funds have been paid or will be paid, by or on behalf of it, to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with the awarding of any Federal contract, the making of any Federal grant, the making of any Federal loan, the entering into of any cooperative agreement, and the extension, continuation, renewal, amendment, or modification of any Federal contract, grant, loan, or cooperative agreement;
b) If any funds other than Federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with this Federal contract, grant, loan, or cooperative agreement, it will complete and submit Standard Form-LLL, "Disclosure Form to Report Lobbying," in accordance with its instructions; and
c) It will require that the language of paragraph (d) of this certification be included in the award documents for all subawards at all tiers (including subcontracts, subgrants, and contracts under grants, loans, and cooperative agreements) and that all Subrecipient/Contractors shall certify and disclose accordingly:
d) Lobbying Certification
Siskiyou County CDBG Slater Fire Home Replacement Program-Grant Agreement Attachment B-General Conditions Page 11 of 13 This certification is a material representation of fact upon which reliance was placed when this transaction was made or entered into. Submission of this certification is a prerequisite for making or entering into this transaction imposed by section 1352, title 31, U.S.C. Any person who fails to file the required certification shall be subject to a civil penalty of not less than $10,000 and not more than $100,000 for each such failure.

6. Copyright
If this contract results in any copyrightable material or inventions, the Grantee and/or grantor agency reserves the right to royalty-free, non-exclusive and irrevocable license to reproduce, publish or otherwise use and to authorize others to use, the work or materials for governmental purposes.

Religious Activities
The Subrecipient/Contractor agrees that funds provided under this Agreement will not be utilized for inherently religious activities prohibited by 24 CFR 570.200(j), such as worship, religious instruction, or proselytization.

V. ENVIRONMENTAL CONDITIONS
A. Air and Water
The Subrecipient/Contractor agrees to comply with the following requirements insofar as they apply to the performance of this Agreement:
• Clean Air Act, 42 U.S.C., 7401, et seq.;
• Federal Water Pollution Control Act, as amended, 33 U.S.C., 1251, et seq., as amended, 1318 relating to inspection, monitoring, entry, reports, and information, as well as other requirements specified in said Section 114 and Section 308, and all regulations and guidelines issued thereunder;
• Environmental Protection Agency (EPA) regulations pursuant to 40 CFR Part 50, as amended.

B. Flood Disaster Protection
In accordance with the requirements of the Flood Disaster Protection Act of 1973 (42 U.S.C 4001), the Subrecipient/Contractor shall assure that for activities located in an area identified by the Federal Emergency Management Agency (FEMA) as having special flood hazards, flood insurance under the National Flood Insurance Program is obtained and maintained as a condition of financial assistance for acquisition or construction purposes (including rehabilitation).

C. Lead-Based Paint
The Subrecipient/Contractor agrees that any construction or rehabilitation of residential structures with assistance provided under this Agreement shall be subject to HUD Lead- Based Paint Regulations at 24 CFR 570.608, and 24 CFR Part 35, Subpart B. Such regulations pertain to all CDBG-assisted housing and require that all owners, prospective owners, and tenants of properties constructed prior to 1978 be properly notified that such properties may include lead-based paint. Such notification shall point out the hazards of lead-based paint and explain the symptoms, treatment and precautions that should be taken when dealing with lead-based paint poisoning and the advisability and availability of blood lead level screening for children under seven. The notice should also point out that if lead-based Siskiyou County CDBG Slater Fire Home Replacement Program-Grant Agreement Attachment B-General Conditions Page 12 of 13 paint is found on the property, abatement measures may be undertaken. The regulations further require that, depending on the amount of Federal funds applied to a property, paint testing, risk assessment, treatment and/or abatement may be conducted.

D. Historic Preservation
The Subrecipient/Contractor agrees to comply with the Historic Preservation requirements set forth in the National Historic Preservation Act of 1966, as amended (16 U.S.C. 470) and the procedures set forth in 36 CFR Part 800, Advisory Council on Historic Preservation Procedures for Protection of Historic Properties, insofar as they apply to the performance of this agreement.

In general, this requires concurrence from the State Historic Preservation Officer for all rehabilitation and demolition of historic properties that are fifty years old or older or that are included on a Federal, state, or local historic property list.

VI. SEVERABILITY
If any provision of this Agreement is held invalid, the remainder of the Agreement shall not be affected thereby and all other parts of this Agreement shall nevertheless be in full force and effect.

VII. SECTION HEADINGS AND SUBHEADINGS
The section headings and subheadings contained in this Agreement are included for convenience only and shall not limit or otherwise affect the terms of this Agreement.

VIII. WAIVER
The Grantee's failure to act with respect to a breach by the Subrecipient/Contractor does not waive its right to act with respect to subsequent or similar breaches. The failure of the Grantee to exercise or enforce any right or provision shall not constitute a waiver of such right or provision.

IX. ENTIRE AGREEMENT
This agreement constitutes the entire agreement between the Grantee and the Subrecipient/Contractor for the use of funds received under this Agreement and it supersedes all prior or contemporaneous communications and proposals, whether electronic, oral, or written between the Grantee and the Subrecipient/Contractor with respect to this Agreement.

Siskiyou County CDBG Slater Fire Home Replacement Program-Grant Agreement Attachment B-General Conditions Page 13 of 13 Loan Amortization Schedule
Enter Values Loan Summary
Loan amount $5,000.00 Scheduled payment $425.75
Annual interest rate 4.00% Scheduled number of payments 12 Loan period in years 1 Actual number of payments 10
Number of payments per year 12 Total early payments $900.00 Start date of loan 7/7/2026 Total interest $89.62
Optional extra payments $100.00 Lender name Woodgrove Bank Payment Payment Beginning Scheduled Extra Total Ending Cumulative Principal Interest
Number Date Balance Payment Payment Payment Balance Interest 1 7/7/2026 $5,000.00 $425.75 $100.00 $525.75 $509.08 $16.67 $4,490.92 $16.67 2 8/7/2026 $4,490.92 $425.75 $100.00 $525.75 $510.78 $14.97 $3,980.14 $31.64 3 9/7/2026 $3,980.14 $425.75 $100.00 $525.75 $512.48 $13.27 $3,467.65 $44.90 4 10/7/2026 $3,467.65 $425.75 $100.00 $525.75 $514.19 $11.56 $2,953.46 $56.46 5 11/7/2026 $2,953.46 $425.75 $100.00 $525.75 $515.90 $9.84 $2,437.56 $66.31 6 12/7/2026 $2,437.56 $425.75 $100.00 $525.75 $517.62 $8.13 $1,919.94 $74.43 1/7/2027 $1,919.94 $425.75 $100.00 $525.75 $519.35 $6.40 $1,400.59 $80.83 8 2/7/2027 $1,400.59 $425.75 $100.00 $525.75 $521.08 $4.67 $879.50 $85.50 9 3/7/2027 $879.50 $425.75 $100.00 $525.75 $522.82 $2.93 $356.69 $88.43 10 4/7/2027 $356.69 $425.75 $0.00 $356.69 $355.50 $1.19 $0.00 $89.62 DO NOT DESTROY THIS NOTE:

When paid, this Note and the Deed of Trust securing same, must be surrendered to Trustee for cancellation and retention before reconveyance of the Deed of Trust will be made.

INSTALLMENT NOTE
(INTEREST INCLUDED IN INSTALLMENT PAYMENT)
DATE:

File:
$- _.00
For value received, all of the undersigned (collectively referred to as "Maker"), jointly and severally promise to pay to the City of Dorris, a California Municipality or order ("Holder"), at → or as directed otherwise in writing by Holder, the principal sum of _AND 00/100 DOLLARS ($. _.00), with interest from the date first above written, on the amounts of rincipal remaining from time to time unpaid, until said principal sum is paid in full, at the rate o _PERCENT (%) per annum. Maker shall pay in equal monthly installments AND _/100 DOLLARS ($_) or more on the same day each and every month, beginning on the 15th day of AUGUST 2023, and continuing until the _ _ day of at which time the entire unpaid principal and any accrued interest is all due and payable in full.

If the Maker shall sell, convey or alienate the property as described in the Deed of Trust (defined below), or any part thereof, or any interest therein, or shall be divested of his title or any interest therein in any manner or way, whether voluntarily or involuntarily, without the written consent of the Holder being first had and obtained, Holder shall have the right, at its option, except as prohibited by law, to declare any indebtedness or obligations secured hereby, irrespective of the maturity date specified in any Note evidencing the same, immediately due and payable.

If this Note requires a balloon payment, this Note may be subject to California Civil Code Section 2966 which provides that the Holder of this Note shall give written notice to the Maker as the trustor of the Deed of Trust, or his/her successor in interest, of prescribed information at least ninety (90) and not more than one hundred and fifty (150) days before any balloon payment is due.

All payments under this Note shall be made in lawful money of the United States of America. Payments shall be credited first against any costs or expenses due under this Note, then to accrued interest, and finally to principal. The principal amount of this Note may be prepaid, in whole or in part, at any time without penalty (unless a separate prepayment penalty provision is specifically included in the Note, which terms shall override this statement), in which event, interest shall cease to accrue on the portion of he principal so prepaid. Should any amount under this Note not be paid when due, then all remaining rincipal and accrued interest shall become immediately due and payable at the option of Holder. In n event shall the interest rate charged under this Note exceed the maximum rate permitted under applicable law.

Payment of said Principal and Interest shall be as agreed between the Borrower and Lender using of the alternatives as indicated below:
[] 1. Principal payments shall be deferred for twenty/thirty (20/30) years or payment of principal shall be due and payable upon transfer of Title of Property against which the City holds Trust Deed.

No interest payments shall be levied against said principal. [X]2. Payments shall be Amortized. Principal and Interest shall be in _ L _ installments as indicated above.