AMENDMENT NO. 3

Amend Agreement No. 34331 between the City of Portland and the Housing Authority of Portland to change the scope of services and allocate additional funding. The contract shall terminate, June 30, 2004. The City shall provide an additional $7,724 to the initial contract for a total of $480,361. The funding shall be used to extend the scope of services to provide administration of the Fresh Start Landlord Guarantee Fund as well as the Ready to Rent Landlord Guarantee Fund. See Attachment A for revisions to the budget.

Now, therefore, Agreement 34331 is amended as follows:

I.  Scope of Work Subsection B is amended to read as follows:

A.  Fresh Start Program Delivery:

(a)  The city has funds from the Housing Investment Fund (HIF) in the amount of $168,602 for the Fresh Start Landlord Guarantee fund, during the period covered by this Agreement. (See contract #34331). Additional funding in the amount of $12,500 is allocated by the City to cover the cost of administration, including staffing, of this fund.

B.  Fresh Start Landlord Guarantee Administration:

(a)  Sub-recipient will follow the following protocols and agreements in consultation with the Housing and Services Partnership Oversight Committee that will provide limited financial guarantees to landlords of Fresh Start tenant performance of the first year of the rental agreement. The Fresh Start Landlord Guarantee Fund (LGF) provides an incentive for landlords to rent to individuals and families who are facing significant screening barriers. The LFG strengthens the Fresh Start effort by providing a guarantee specifically for landlords who rent to tenants with Fresh Start referrals. The policies and protocols will reflect the purpose and goal of the fund. These shall include:

1.  The fund reimburses up to $2,00 for one-bedroom and smaller units and up to $3,000 for two-bedroom or larger units for the following expenses:

•  Damages causes by tenant in excess of normal wear and tear to the unit and exceeds the security deposit;

•  One and one-half months of non-payment of rent if tenant does not vacate apartment in good standing;

•  Court costs and attorney fees where necessary to terminate a tenancy and remove a participant for non-payment of rent or for other serious and repeated violations of the lease or state law. Landlords seeking reimbursement under this provision must provide evidence that they took reasonable steps to avoid

eviction and that a FED proceeding was necessary to avoid greater financial hardship to the Landlord.

2.  LGF coverage is valid for one year after initial move-in

(b)  Sub-recipient will administer the Fresh Start Landlord Guarantee Fund within Multnomah County on behalf of the City of Portland. Administration will include:

1.  Landlord Guarantee Fund (LGF) Allocation Process

a.  The Fresh Start LFG slots will be allocated on a quarterly basis. The number of slots per agency will be determined using a first come, first serve approach until the funding for that quarter is fully allocated.

1.  (Agency) requests pre-authorization from BHCD when it wants to make a Fresh Start referral with LGF coverage. Pre-authorization will be revisited at the end of the fiscal year.

2.  BHCD contacts HAP to include potential referrals in its tracking database.

3.  (Agency) indicates on Fresh Start referral letter to Landlord/property manager that participant is eligible for LGF coverage. The referral letter is attached to the LGF application, the LGF guidelines, and the pre-condition report.

4.  The landlord/property manager submits LGF application, copy of lease, signed pre-condition report, and copy of referral letter to Housing Authority of Portland (HAP).

5.  Landlord/property manager submits LGF application, copy of lease, signed pre-condition report, and copy of referral letter to HAP

6.  HAP sends confirmation to landlord and copy of confirmation to (Agency).

7.  When landlord/property manager wants to make a claim against the LGF, he/she calls HAP for required documents.

8.  HAP mails required documents to landlord/property manager.

9.  Landlord/property manager sends claim back to HAP.

10.  HAP may inspect unit to verify accuracy of claim report.

11.  HAP invoiced claim to BHCD and sends copy of claim to (Agency).

C.  Ready to Rent Landlord Administration

(a)  The city has funds from the State of Oregon, Housing and Community Services in the amount of $170,000.00 for the purpose of inducing landlords to offer housing to persons who have participated in the Ready to Rent program, but who otherwise might now be deemed by landlords as acceptable tenants. Administration of this fund in addition to the administration of the Fresh Start Landlord Guarantee Fund will be covered under this agreement to cover the cost of administration, including staffing.

(c)  Sub-recipient will follow the following protocols and agreements in consultation with the City of Portland, Bureau of Housing and Community Development team that will provide limited financial guarantees to landlords of Ready to Rent Participants for the first year of the rental agreement. The policies and protocols will reflect the purpose and goal of the fund. These shall include:

1.  The fund reimburses approved landlords to cover unpaid rent or allowable apartment repair costs under the Program (limit of lesser of one moth’s rent or $1,000 per Eligible Participant Household.

2.  Eligible Participant Households means individual with a household income not greater than 60% of the median family income.

(d)  Administration will include:

1.  The landlord/property manager submits Ready to Rent Landlord Guarantee Fund (RtRLGF) application, copy of lease, signed pre-condition report, and copy of referral letter to Housing Authority of Portland (HAP).

2.  Landlord/property manager submits (RtRLGF) application, copy of lease, signed pre-condition report, and copy of referral letter to HAP.

3.  HAP sends confirmation to landlord and copy of confirmation to City of Portland, Bureau of Housing and Community Development.

4.  When landlord/property manager wants to make a claim against the LGF, he/she calls HAP for required documents.

5.  HAP mails required documents to landlord/property manager.

6.  Landlord/property manager sends claim back to HAP.

7.  HAP may inspect unit to verify accuracy of claim report.

8.  HAP invoiced claim to Oregon Housing and Community Services (OCHS) and sends copy of claim to City of Portland, Bureau of Housing and Community Development.

D.  Sub-recipient shall provide and draft all tracking tools and documentation to facilitate the administration of the funds.

All other terms and conditions of Agreement No. 34331 between the City of Portland and Housing Authority of Portland shall remain the same.

Dated this         of      , 2003

CITY OF PORTLAND  HOUSING AUTHORITY OF PORTLAND

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Erik Sten            Steve Rudman    

Commissioner of Public Works      Executive Director

APPROVED AS TO FORM:

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Linda Meng

City Attorney