1.1.4 ATTACHMENT 5 - Direct Lease -Lease Addendum.pdf

FEMA Direct Lease Lease Addendum

Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. §§ 5174 and 5192)

DR-4860-KY

This document may only be used in conjunction with a contract award and after approval by a contracting officer and appropriate legal review. If there is a need for these documents, they must be reviewed to address the unique circumstances to the situation. The documents may be used as a guideline for future discussions with a FEMA Portfolio Manager or Contracting Officer, but will still be subject to FAR requirements for services provided by the Owners. 1

The Owner agrees to add the following terms and conditions contained in the Direct Lease - FEMA Lease Addendum (hereinafter “Addendum”) to the Lease between the Applicant and the Owner.

1. Conflict with Other Provisions of the Lease. In case of any conflict between the provisions of this Addendum and other sections of the Lease between the Owner and the

Applicant, the provisions of this Addendum shall prevail.

2. Terms of the Lease. The term shall begin on and shall continue until: (1)

The Lease is terminated by the Owner in accordance with applicable state and local

Tenant/Landlord laws; (2) the Lease is terminated by the Applicant in accordance with the Lease or by mutual agreement during the term of the Lease; (3) a determination by FEMA that the Applicant is no longer eligible for Direct Lease; or (4) the Direct Lease program period of assistance ends.

3. Household Members. The household members authorized to live in the unit must be referred and approved by FEMA. The Owner agrees not to permit other persons to live in the unit without notifying and receiving approval from FEMA first.

4. Use of the Unit. FEMA will identify the Applicant to occupy the units. Once an

Applicant is identified, FEMA will refer the Applicant to the Owner for execution of a Lease agreement for the unit.

5. Lease Consideration. The consideration for the Lease agreement is that the Applicant is a third- party beneficiary to a contract between FEMA and the Owner whereby FEMA has paid a security deposit and monthly rent to the Owner in exchange for housing the Applicant rent-free for the period of time specified in the contract.

6. Pet Deposits. The Applicant is responsible for paying any pet security deposit to the

Owner. The Applicant shall abide by any pet policy required by the Owner.

7. Credit check. The Owner agrees not to consider the Applicant’s credit history when

This document may only be used in conjunction with a contract award and after approval by a contracting officer and appropriate legal review. If there is a need for these documents, they must be reviewed to address the unique circumstances to the situation. The documents may be used as a guideline for future discussions with a FEMA Portfolio Manager or Contracting Officer, but will still be subject to FAR requirements for services provided by the Owners. 2 screening the Applicant for suitability for occupancy.

8. Background Check. The Owner may waive the requirement to conduct a criminal background check on the Applicant. If the Owner conducts a criminal background check on the Applicant, the Owner will pay for any fees or costs incurred.

9. Utilities and Appliances. FEMA will pay utilities for the designated units if the utilities are normally included in the Lease. Otherwise, the utilities are the responsibility of the Applicant as specified in the Lease between the Owner and the Applicant.

10. Maintenance and Other Services.

a. The Owner agrees to maintain the unit and premises in accordance with the state and local standards.

b. Property management, maintenance, and other Landlord-Tenant relationships will remain the responsibility of the Owner.

c. The Owner agrees to be responsible for ongoing property management operating costs, including, but not limited to, office management and staffing overhead, custodial services, waste removal, snow removal, recycling and security of the premises.

d. The Applicant will direct any maintenance issues regarding the unit directly to the Owner.

11. Applicant Personal Property. During the term of the Lease the Applicant is responsible for insuring their personal property from loss.

12. FEMA Access to Property.

a. FEMA reserves the right to verify the occupancy of the Applicant in a specific unit and the Owner will ensure the Applicant Lease provides for access to designated units by FEMA within reasonable hours and upon 24-hour notice.

This document may only be used in conjunction with a contract award and after approval by a contracting officer and appropriate legal review. If there is a need for these documents, they must be reviewed to address the unique circumstances to the situation. The documents may be used as a guideline for future discussions with a FEMA Portfolio Manager or Contracting Officer, but will still be subject to FAR requirements for services provided by the Owners. 3

b. The determination process may require periodic visits by FEMA staff to the rental unit occupied by the Applicant. During the term of the Direct Lease Contract, the Owner will provide FEMA with access to the unit to visit the Applicant. FEMA will provide the Owner with advance notice when a visit is requested.

13. FEMA Termination of Direct Lease Assistance

a. Eligibility. During the term of this lease FEMA will periodically determine the Applicant’s continued eligibility for temporary housing. In accordance with FEMA Standard Operating Procedures, FEMA may terminate an Applicant’s assistance under Direct Lease when:

i. The Applicant violates any of the terms of the FEMA Temporary Housing Agreement under Direct Lease; or

ii. The Applicant’s tenancy is terminated by the Owner for violation of the lease agreement terms and conditions.

b. End of Direct Lease Period of Assistance. At the end of the term of the Direct

Lease Contract, FEMA may terminate Direct Lease assistance. In accordance with the Stafford Act, temporary housing assistance shall be provided for a period of up to 18 months from the date of the Presidential Declaration.

Stafford Act Section 408(c)(1)(B)(iii), 42 U.S.C §5174(c)(1)(B)(iii). If necessary, because of extraordinary circumstances, FEMA may extend the 18-month period of assistance for temporary housing assistance. Any extension of

Direct Lease assistance may require a modification to the Direct Lease

Contract.

14. FEMA Notice to Owner and Applicant regarding Termination of Direct Lease Assistance.

a. Termination notice based on Applicant ineligibility:

i. FEMA will provide the Applicant with a Notice of Revocation and intent to collect a monthly penalty fee for a major violation with three

(3) days to vacate the unit or a general violation/FEMA program

This document may only be used in conjunction with a contract award and after approval by a contracting officer and appropriate legal review. If there is a need for these documents, they must be reviewed to address the unique circumstances to the situation. The documents may be used as a guideline for future discussions with a FEMA Portfolio Manager or Contracting Officer, but will still be subject to FAR requirements for services provided by the Owners. 4 ineligibility with fifteen (15) days to vacate the unit. FEMA will issue a Notice to Surrender Possession to Applicants who remain in the unit beyond the date specified in the Notice of Revocation.

ii. Upon a determination by FEMA that an Applicant’s Direct Lease assistance is terminated, FEMA will notify the Owner in writing within three (3) calendar days of the determination.

iii. When an Applicant moves out, the Owner will notify FEMA in writing within three (3) calendar days of the Applicants move-out date.

iv. If a unit becomes vacant during the term of the Direct Lease Contract, FEMA reserves the right to place another eligible Applicant in the unit.

v. In the event FEMA notifies the Owner of the option to place a new Applicant in the unit, the Owner will make the unit ready for occupancy for a new Applicant.

b. Termination notice based on End of the Period of Assistance for Direct Lease:

i. FEMA will provide an End of Period of Assistance - 60-Day

Reminder Notice to the Applicant 60 days prior to the end of the period of assistance.

ii. FEMA will provide a 30-Day End of Period of Assistance and Penalty

Fee Notice of Revocation to the Applicant 30 days prior to the end of the period of assistance.

iii. FEMA will provide a 30-Day notice to the Owner of the end of the program period of assistance.

iv. At the end of the period of assistance, FEMA will release the units back to the Owner.

c. Release of Vacant Units to the Owner:

This document may only be used in conjunction with a contract award and after approval by a contracting officer and appropriate legal review. If there is a need for these documents, they must be reviewed to address the unique circumstances to the situation. The documents may be used as a guideline for future discussions with a FEMA Portfolio Manager or Contracting Officer, but will still be subject to FAR requirements for services provided by the Owners. 5

i. If a unit becomes vacant during the term of the Direct Lease Contract and FEMA does not have another Applicant to occupy the unit, FEMA may release the unit to the Owner and cease all monthly payments for the unit.

ii. FEMA will notify the Owner of FEMA’s intent to release the unit in writing within three (3) calendar days of the determination.

iii. FEMA will give the Owner a 30-day written notification as to when the use of any particular units will be discontinued. FEMA will pay the Owner a prorated amount for the portion of the month that FEMA continues to use the rental units. The Owner may enter into a lease to take effect the first day following the date the unit is vacated and released by FEMA.

iv. Any security deposit will not transfer with the Applicant entering a standard lease agreement with the Owner.

15. Applicant Appeal Rights to FEMA Termination of Direct Lease Assistance.

a. In accordance with Section 423 of the Stafford Act and 44 C.F.R.

206.115, Applicants may appeal the FEMA determination to terminate Direct Lease assistance within 60 days after the date that FEMA notifies the Applicant.

b. Appeals must be in writing and explain the reason for the appeal to FEMA.

c. The Applicant or Applicant’s designee must sign the appeal. If the

Applicant’s designee files the appeal, then the Applicant must also submit a signed written statement giving the Applicant’s designee the authority to represent the Applicant.

d. The Applicant must vacate the unit until an appeal decision is provided by FEMA.

e. Applicants may not appeal termination based on the end of the period of assistance (18 months, unless extraordinary circumstances as determined by FEMA are present to extend).

This document may only be used in conjunction with a contract award and after approval by a contracting officer and appropriate legal review. If there is a need for these documents, they must be reviewed to address the unique circumstances to the situation. The documents may be used as a guideline for future discussions with a FEMA Portfolio Manager or Contracting Officer, but will still be subject to FAR requirements for services provided by the Owners. 6

16. Owner Termination of Tenancy and Eviction.

a. The Owner may terminate the Applicant’s tenancy during the term of the Lease or any extension of the Lease for the following reasons.

i. FEMA terminates the Applicant’s Direct Lease assistance based on FEMA’s determination of ineligibility, violation of the FEMA Temporary Housing Agreement for Direct Lease, the lease agreement or property rules and regulations, or the end of the program period of assistance.

ii. The Applicant or any member of the household, a guest, associate or other person under the Applicant’s control, provocation, or influence commits or engages in any of the following types of activity:

1. Any criminal activity that threatens the health or safety of, or the right to peaceful enjoyment of the premises by other residents (including property management, maintenance, contractor, or other staff residing or working on the premises).

2. Any criminal activity that threatens the health or safety of, or the right to peaceful enjoyment of their residences by persons residing in the immediate vicinity of the premises.

3. Any violent criminal activity on or near the premises.

4. Any drug-related criminal activity on or near the premises.

5. Serious or repeated violations of the Lease;

6. Violation of Federal, State or local law; or

7. Other good cause, including disturbance of neighbors, or destruction of property.

b. The Owner agrees to pursue eviction based on FEMA’s determination of ineligibility or end of the period of assistance. FEMA will provide notice to

This document may only be used in conjunction with a contract award and after approval by a contracting officer and appropriate legal review. If there is a need for these documents, they must be reviewed to address the unique circumstances to the situation. The documents may be used as a guideline for future discussions with a FEMA Portfolio Manager or Contracting Officer, but will still be subject to FAR requirements for services provided by the Owners. 7 the Owner as required under section III, paragraph fourteen (14) of this Addendum.

c. The Owner agrees to notify FEMA within three calendar days, of eviction proceedings initiated against the Applicant.

d. The Owner agrees to provide the Applicant with any required eviction notices in accordance with State and local law.

17. Nondiscrimination. The Owner shall not discriminate against the Applicant or eligible household members in the provision of services, or in any other manner, on the grounds of age, race, color, religion, sex, nationality, age, familial status or disability.

18. Privacy. The Owner has a duty to protect Occupant’s personally identifiable information (PII) and must not disclose the PII, except as authorized by FEMA. PII includes the following IA PII: name, phone, email address, household size, and any special accommodations. The Owner must not further disclose IA PII sent from FEMA to unauthorized entities without the written consent from

Occupants(s) to whom the PII pertains or without permission from FEMA. 5 U.S.C.

§552a(e)(10). The Owner must only use the IA PII for purposes of providing rental housing to individuals and households pursuant to the Direct Lease Contract between FEMA and Owner.

The Owner understands that failing to comply with this section may subject the Owner to criminal penalties. Id. at 552a(i).

19. Liability.

a. FEMA does not assume any responsibility for injury to, or any liability to, any person injured as a result of the Owner’s action or failure to act in connection with management of the premises or with implementation of this Lease, or as a result of any other action or failure to act by the Owner.

b. FEMA is not responsible for loss of or damage to property or injury or death to persons which may arise from, or be attributable or incident to, the condition or state

This document may only be used in conjunction with a contract award and after approval by a contracting officer and appropriate legal review. If there is a need for these documents, they must be reviewed to address the unique circumstances to the situation. The documents may be used as a guideline for future discussions with a FEMA Portfolio Manager or Contracting Officer, but will still be subject to FAR requirements for services provided by the Owners. 8 of repair of the premises, due to its use or occupation by the Applicant.

c. The Owner assumes all risks of loss or damage to property and injury or death to persons, whether to its officers, employees, contractors of any tier, agents, invitees, the Applicant, or others, by reason of or incident to the Applicant’s use of the premises, and its activities conducted under this Agreement. Owner shall, at its sole expense, pay any settlements of, or judgments on claims arising out of, the use or occupancy of the premises.