Housing Hope HCS-15-42-1213-198(1) 7/25/2016

The HOME-Assisted Units are identified in Exhibit A. The Agency shall identify and provide to the City for review prior to the commencement of the marketing and lease-up of the units: a schedule of all the units in the project with building/unit numbers, number of bedrooms, square footages, and identification of the HOME-Assisted Units, and shall designate the specific units that are HOME Floating Units as identified in Exhibit A. The Agency shall ensure that eligible tenants reside in the HOME-Assisted Units, and shall submit income verification documentation to the City for review and approval prior to project Close-out. Floating HOME-Assisted Units may be changed by the Agency, provided the substituted units maintain conformity with the requirements of §92.252, and as described in Exhibit A of this Agreement. The Agency shall identify and report the HOME-Assisted Units annually in its annual reports. E. Qualification as Affordable Rental Housing and Other HOME Provisions 1. The Agency shall lease to eligible low-income families as affordable housing for Very Low-Income families. The determination of Very Low-Income shall be made by application of the income limits set and revised periodically by theU.S. Department of Housing and Urban Development ("HUD") based upon median incomes in the Seattle-Bellevue, WA HUD Metro FMR area, and adjusted for household size. If at any time HUD no longer estimates median income, the income standard shall be based on a program selected by the County. The Agency shall verify residents' income only in accordance with methods prescribed by or agreed to by the City. 2. The Agency shall lease HOME-Assisted Units to eligible low-income families as required to include: a. Initial Occupancy of Vacant Units, consistent with 24 CFR § 92.252: 1) Within six (6) months from the date of project completion, if a rental unit remains unoccupied, the Agency shall provide to the County information about current marketing efforts and, if appropriate, an enhanced plan for marketing the unit so that it is leased as quickly as possible. 2) Within eighteen (18) months from the date of project completion, if efforts to market the unit are unsuccessful and the unit is not occupied by an eligible tenant, the Agency must repay to the City, pursuant to 24 CFR §92.252, all HOME funds invested in the unit. A unit that has not served a low- or very low-income household has not met the purposes Amended HOME Loan Agreement Housing Hope's Kennedy Court Improvement Project Page 23 of 53