PROGRAM YEAR 2019 SUBRECIPIENT AGREEMENTPROGRAM YEAR 2019 SUBRECIPIENT AGREEMENT BY AND BETWEEN
CITY OF CLEARWATER AND
TAMPA BAY COMMUNITY DEVELOPMENT CORPORATION
This agreement is entered this '`gym day of eft_ LL) , 2019 by and
between the City of Clearwater, hereafter designated as "City" and Tampa Bay Community
Development Corporation., hereafter designated as "Tampa Bay CDC"; and
WHEREAS, the City has applied for and received HOME Investment Partnership Program
funding (hereafter designated as HOME) from the Department of Housing and Urban
Development; and
WHEREAS, Tampa Bay CDC has applied for and been approved to utilize HOME Program funds
for Down Payment Assistance Services; and
WHEREAS, Tampa Bay CDC has evidenced the capacity to provide down payment assistance
services funded by this agreement and is located within the city limits of the City of Clearwater,
Florida; and
WHEREAS, on August 1, 2019, the City Council authorized the City Manager to execute an
agreement with Tampa Bay CDC to provide Down Payment Assistant Services utilizing up to
$15,000 in HOME funds for an existing home or up to $45,000 in HOME funds for new
construction for fifteen (15) homebuyers within the city limits of the City of Clearwater, Florida.
NOW THEREFORE, the City and Tampa Bay CDC hereby execute this agreement to undertake
the described Down Payment Assistance Services.
FURTHERMORE, the City and Tampa Bay CDC agree as follows:
SCOPE OF SERVICE
A. Tampa Bay CDC shall qualify fifteen (15) eligible, low-income homebuyers within the city
limits of Clearwater, Florida.
B. Tampa Bay CDC shall affirmatively market this program to eligible, low-income,
homebuyers. Low-income is defined as having income at or less than eighty percent
(80%) of median family income, as determined by the guidelines issued by the
Department of Housing and Urban Development, adjusted for family size, based on the
total current annual household incomes. The current income levels for Clearwater are
contained in Exhibit "A".
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C. Tampa Bay CDC shall complete the project within one year from the date this
agreement is executed, unless a time extension is requested by Tampa Bay CDC in
writing and granted by the City in writing. Any such time extension shall be attached to
and made a part of this agreement.
D. Tampa Bay CDC shall accomplish the contracted activities in program year 2019
(October 1, 2019 through September 30, 2020).
PROJECT FUNDING
Tampa Bay CDC — Down Payment Assistance Services
A. The City of Clearwater hereby approves HOME Program funding for Down Payment
Assistance Services in the amount up to $15,000 for an existing home and up to $45,000 for
new construction from 2019 HOME Program funds. As a subrecipient, Tampa Bay CDC will
provide outreach and marketing, intake and processing of fifteen (15) downpayment and
closing cost assistance loans for qualified, low-income homebuyers who purchase homes in
the city limits of Clearwater on behalf of the City of Clearwater.
B. Requests for Disbursements & Program Income - Tampa Bay CDC shall ensure HOME funds
provided under this agreement will be requested for disbursement only in required
amounts and as needed for payment of eligible costs. Payments will be made by the City
for down payment assistance services when a loan is processed through Tampa Bay CDC
and closes. The City will compensate Tampa Bay CDC One Thousand Dollars and 00/100
($1,000.00) per successful loan closure. The City reserves the right to liquidate funds
available under this agreement for eligible costs incurred by the City on behalf of Tampa
Bay CDC to complete the project.
C. Homebuyer income qualification, underwriting and layering guidelines - Tampa Bay CDC
shall determine each family is income eligible by determining the family's annual income.
All Income and Assets must be verified, in writing. To be eligible for assistance, the
Borrower's total current combined gross annual household income from all sources cannot
exceed the limits set by HUD for Tampa -St Petersburg -Clearwater, FL MSA (Exhibit A).
Tampa Bay CDC shall use a minimum of two consecutive months of income documentation
to project the prevailing rate of income of the family at the time of determination of income
eligibility. Total household income is the total current, annualized gross income, before
taxes and withholding, of the purchaser and all adult members, over the age of 17, residing
or intending to permanently reside in the residence. This includes a spouse, fiance, parent,
relative, adult child, etc.
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D. The full amount of HOME funds, up to $15,000 for an existing home and up to $45,000 for
new construction, from the HOME Program, shall be released as earned by verified
performance of activities to be completed under this agreement, as determined by the City
of Clearwater.
E. It is expressly agreed and understood that the total amount of down payment assistance
processing services shall not exceed $15,000 for an existing home and $45,000 for new
construction from the 2019 HOME Program. Tampa Bay CDC will be awarded $1,000 per
down payment assistance loan processed.
F. If for any reason, any term of this agreement is breached by Tampa Bay CDC, the City may
require full repayment of any amounts advanced under this agreement pursuant to Section
VIII, Remedies of Default.
III AFFORDABILITY
A. As required by 24 CFR 92.254, down payment assistance processing services with
funding provided under this agreement, shall be affordable to low-income persons for
an applicable period of affordability as required as HOME Program regulations. If the
housing does not meet the applicable affordability requirements for the specified time
period for any reason whatsoever, full repayment to the City of Clearwater of all HOME
funds invested in the project will be required according to the repayment terms set
forth in Section VIII of this agreement. Tampa Bay CDC shall ensure affordability of the
housing through HUD -approved recapture provisions and deed restrictions, or through
other HUD -approved mechanisms.
B. The applicable period of affordability shall be determined by the per unit net HOME
investment as follows: 1) Tess than $15,000 - five (5) years, 2) $15,000 — $40,000 - ten
(10) years and 3) more than $40,000 — fifteen (15) years.
C. Tampa Bay CDC shall ensure that the purchase price paid by the low-income homebuyer
does not exceed $210,000 for existing home and $229,000 for new construction or as
updated by HUD.
IV. MINIMUM HOUSING STANDARDS
A. All affordable housing purchased with HOME funds provided under this agreement shall
meet Minimum Housing Standards (MHS). The City of Clearwater has contracted with a
third -party vendor to perform the required inspections to ensure compliance.
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B. The City of Clearwater reserves the right to inspect at any time during normal business
hours any and all homebuyer purchases accomplished under this agreement to assure
adherence to applicable Minimum Housing Standards.
V NOTICES
Communication and details concerning this agreement shall be directed to the following
persons:
City of Clearwater
Chuck Lane, Assistant Director
P.O. Box 4748
Clearwater, FL 33758
Tampa Bay CDC
Michael Bauer, President/CEO
2139 NE Coachman Road, Suite #1
Clearwater, FL 33765
The contact persons listed above may be changed upon fifteen (15) days written notice
to the other party.
VI SPECIAL CONDITIONS
A. The subrecipient shall adhere to the Underwriting Guidelines for Homebuyers in the City
of Clearwater Policies and Procedures Manual. The client file shall be forwarded to the
City for review and approval no later than ten (10) business days prior to closing. The
City shall review and approve the closing disclosures from the first mortgage lender.
VII ADMINISTRATIVE REQUIREMENTS
A. Tampa Bay CDC shall abide by all applicable federal, state, and local laws, regulations,
codes, and ordinances in the performance of all activities required by this agreement,
and specifically agrees to adhere to applicable requirements of 24 CFR Part 92, Final
Rule at https://www.hudexchange.info/programs/home/home-final-rule/ dated
September 16, 1996 (updated December 22, 2004 and amended on July 24, 2013)
including those described in 24 CFR 92 Subpart "H" with the exception of Environmental
Reviews which Tampa Bay CDC cannot assume and 92.357 the intergovernmental
review process does not apply. Tampa Bay CDC shall comply with the City of Clearwater
HOME Regulations and the City of Clearwater Policies and Procedures Manual dated
June 9, 2017 throughout the term of this agreement (and any future revisions) which is
also available on the website at www.myclearwater.com/housing.
B. Tampa Bay CDC shall submit an agency -wide audit which shall include the project funds
annually. The audit shall be in accordance with generally accepted accounting principles.
Tampa Bay CDC shall provide the City with one (1) copy of each annual audit for project
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duration. Any deficiencies noted in the audit report shall be fully cleared by Tampa Bay
CDC within thirty (30) days after receipt of said audit report by the City. Failure of
Tampa Bay CDC to clear deficiencies noted in the audit report shall be a breach of this
agreement and the City may exercise any and all of its rights and remedies under
Section IX, Remedies on Default.
C. Tampa Bay CDC shall adhere to the requirement of 2 CFR 200 Subpart E — Cost
Principles, 24 CFR Part 84 and applicable administrative requirements of 24 CFR 92.505.
D. Tampa Bay CDC shall make available to the City at any time during normal business
hours all records pertaining to funding and projects covered by this agreement to allow
the City to conduct monitoring, performance, and compliance reviews and evaluations.
Notwithstanding any other provision in this agreement, the City will monitor the
performance as determined by the City and shall determine if the performance
constitutes non-compliance with this agreement. If action to correct such substandard
performance is not taken by Tampa Bay CDC within a reasonable timeframe to be
specified by the City in its notice to Tampa Bay CDC, suspension or termination
procedures may be initiated as specified in Section VIII, Section IX or Section X.
E. Tampa Bay CDC covenants that it presently has no financial interest and will not acquire
any interest directly or indirectly, which would conflict in any manner or degree with the
performance of services required under this agreement. Tampa Bay CDC further
covenants that in the performance of this agreement, no person having such a financial
interest shall be employed or retained by Tampa Bay CDC hereunder. These conflict of
interest provisions apply to any person who is an employee, agent, consultant, officer,
elected official, or appointed official of the City, or of any designated public agencies or
subrecipients which are receiving funds under the HOME Entitlement Program.
F. Tampa Bay CDC shall ensure that no person will be displaced from his or her dwelling as
a direct result of activities assisted with HOME Program funds provided under this
agreement.
G. Affirmative Marketing - Tampa Bay CDC shall affirmatively market all housing units
developed under this agreement to low-income persons in compliance with (24 CFR §
570.601 Public Laws 88-352 and 90-284) and ensure maintenance of documentation of
affirmative marketing efforts to such persons. Prior to any funds being disbursed under
this agreement, Tampa Bay CDC shall provide an affirmative marketing plan acceptable
to the City documenting the affirmative marketing efforts to low-income persons
planned to be undertaken by Tampa Bay CDC regarding this project.
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H. Tampa Bay CDC shall not pay any part of funds received under this agreement for
lobbying the Executive or Legislature Branches of the federal, state, or local
government.
I. Environmental - Tampa Bay CDC shall comply with the provisions of the National
Environmental Policy Act of 1969, as applicable to projects funded under this
agreement, the Flood Disaster Protection Act of 1973, and the Lead -Based Paint
Poisoning Prevention Act and the regulations promulgated thereunder, all as amended.
Tampa Bay CDC agrees to assist the City to comply with the following regulations insofar
as they apply to the Environmental Protection Agency regulations pursuant to 40 CFR
Part 50, HUD Environmental Review Procedures specified in 24 CFR Part 58, as well as all
other applicable environmental laws and regulations, all as amended. The City shall
ensure maintenance of documentation to evidence compliance with environmental
statutes and regulations with the assistance of Tampa Bay CDC.
J. Tampa Bay CDC shall establish and ensure the eligibility of purchasers of housing
purchased under this agreement regarding low-income homebuyer requirements
specified by the Department of Housing and Urban Development. In addition, Tampa
Bay CDC shall ensure maintenance of beneficiary information regarding persons assisted
under this agreement, including name, address, social security number, race, sex,
income, and whether the assisted person(s) is elderly, female head -of -household,
handicapped, American Indian, Hispanic, Caucasian, African American, Alaskan Native,
Asian Or Asian/Pacific Islander. Tampa Bay CDC shall ensure the submission of the
beneficiary information to the City upon each loan closure. The information shall be
maintained for each housing unit and person(s) or families assisted under this
agreement.
K. Tampa Bay CDC shall provide drug-free workplaces in accordance with the Drug -Free
Workplace Act of 1988.
L. Tampa Bay CDC shall ensure compliance with all requirements of the Contract Work
Hours and Safety Standards Act, the Copeland Anti -Kickback Act, and all other applicable
federal, state, and local laws and regulations pertaining to labor standards. Tampa Bay
CDC shall ensure maintenance of adequate records and reports to evidence such
compliance.
M. Records Retention - Tampa Bay CDC will ensure that all records required under this
agreement are retained for a period of seven (7) years after the applicable required
period of affordability. Tampa Bay CDC shall furnish, and cause all its subcontractors to
furnish, all reports and information required hereunder, and will permit access to its
books, records, and accounts, by the City, the Department of Housing and Urban
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Development or its agent, or other authorized federal officials for purposes of
investigation to ascertain compliance with the statutes, rules, regulations, and
provisions stated herein.
N. OSHA - Tampa Bay CDC shall ensure that where employees are engaged in activities not
covered under the Occupational Safety and Health Act of 1970, they shall not be
required or permitted to work, be trained in, or receive services in buildings or
surroundings, or under working conditions, which are unsanitary, hazardous, or
dangerous to the participants' health or safety.
0. Equal Opportunity - Tampa Bay CDC shall comply with Executive Order 11063, as
amended by Executive Order 12259, and shall not discriminate against persons on the
basis of race, color, creed, religion, ancestry, national origin, sex, disability or other
handicap, age, marital or familial status with regard to public assistance. Tampa Bay
CDC shall maintain records and documentation to evidence compliance with this
requirement. Tampa Bay CDC shall take affirmative action to ensure that all
employment practices are free from such discrimination. Such employment practices
include, but are not limited to, the following: hiring, upgrading, demotion, transfer,
recruitment, advertising, layoff, termination, rates of pay or other forms of
compensation, and selection for training, including apprenticeship. Tampa Bay CDC
agrees to post in conspicuous places, available to employees and applicants for
employment, notices to be provided by the contracting agency setting forth the
provisions of this nondiscrimination clause.
P. Civil Rights - Tampa Bay CDC shall comply with Title VIII of the Civil Rights Act of 1968, as
amended, Section 109 of Title 1 of the Housing and Community Development Act of
1974, Section 504 of the Rehabilitation Act of 1973, the Americans with Disabilities Act
of 1990, and the Age Discrimination Act of 1975, along with all applicable regulations
associated therewith.
Q. Tampa Bay CDC agrees that funds received under this agreement will not be utilized for
religious activities, to promote religious interests, or for the benefit of a religious
organization.
R. Reversion of Assets - Upon expiration or termination of this agreement, Tampa Bay CDC
shall transfer to the City of Clearwater any HOME funds on hand at the time of said
expiration or termination and any accounts receivable attributable to the use of HOME
funds.
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VIII DEBARMENT AND SUSPENSION
Tampa Bay CDC certifies that its principals:
A. Are not presently debarred, suspended, proposed for debarment, declared ineligible, or
voluntarily excluded from participation from covered transactions by any federal
department or agency;
B. Have not within a three (3) year period preceding this agreement been convicted of or
had a civil judgment rendered against them for commission of embezzlement, theft,
forgery, bribery, falsification or destruction of records, making false statement(s) or
receiving stolen property;
C. Are not presently indicted for or otherwise criminally charged by a governmental entity
(federal, state or local) with commission of any of the offenses enumerated above, and;
D. Have not within a three (3) year period preceding this agreement had one (1) or more
public transactions (Federal, State or local) terminated for cause or default.
IX REMEDIES ON DEFAULT
Each of the parties shall have all remedies available under applicable regulations or at law or in
equity, including specific performance, to enforce any obligation of any Party to the Agreement.
In the event the City determines that a breach of this agreement has occurred, the City may
terminate this Agreement pursuant to 24 CFR Part 200 and recapture or terminate any and all
HOME funds allocated under this Agreement. More specifically:
A. If the City determines that Tampa Bay CDC has materially failed to comply with any
provision of this agreement, or with any rules, statutes, regulations, or ordinances
referred to herein, the City will notify Tampa Bay CDC in writing and hand -deliver, with
written receipt evidencing the date and time of delivery, or send by certified mail,
return receipt requested, such Notice of Default to the party designated to receive such
Notices in Section V of this agreement. For purposes of this section, the term materially
means "an important or essential term of this agreement."
B. The City will allow Tampa Bay CDC the opportunity to demonstrate compliance with the
agreement requirements in question. Tampa Bay CDC shall offer evidence of such
compliance within a reasonable time frame to be specified by the City in the Notice of
Default. Substantial compliance shall not constitute compliance with the terms and
conditions of this agreement unless the City expressly agrees to the substantial
compliance in writing.
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C. If Tampa Bay CDC fails to demonstrate to the City that it has fulfilled the requirement,
the City may take corrective or remedial action(s) as follows:
1) Corrective or remedial action will be designed to prevent a continuation of the
deficiency, mitigate any adverse effects, and prevent recurrence of the
deficiency.
2) Corrective or remedial action may include:
a. Temporarily withholding cash payments pending correction of the deficiency
by Tampa Bay CDC.
b. Specific activities required by the City to correct the deficiency and to be
accomplished by Tampa Bay CDC in a specified time frame.
c. Canceling or revising activities which may be affected by the performance
deficiency and were approved under this agreement.
d. Reprogramming any balance of HOME funds made available under this
agreement from deficient activities, or any activity funded under this agreement,
to other eligible activities.
e. Suspension of HOME fund disbursements for deficient activities, or any
activities funded under this agreement and subsequent termination of this
agreement in its entirety.
f. Termination of this agreement in its entirety and require Tampa Bay CDC to
repay to the City any and all HOME funds advanced under this agreement.
g. Removing Tampa Bay CDC from participation in any future allocation of HOME
funds from the City.
h. Taking other remedial actions that may be legally available to the City.
D. In the event Tampa Bay CDC dissolves the organization, ceases to exist, or becomes
unable for any reason to fulfill its obligations under this agreement, the City will require
Tampa Bay CDC to fully repay to the City any and all amounts advanced under this
agreement.
E. Notwithstanding any other provision of this agreement, should there be any fraud,
misrepresentation, embezzlement, or any other criminal activity associated with this
project, the City may pursue all legal and equitable remedies available to it against any
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and all parties associated with this agreement.
F. Any decision regarding corrective, remedial, legal or equitable remedies or actions to be
taken regarding this agreement or project shall be at the sole option and discretion of
the City of Clearwater. A decision by the City to pursue one course of action shall not
constitute a waiver of any other course of action the City may pursue under this Section
IX, Remedies on Default.
G. Pursuant to 24 CFR 92.205(e), should this agreement be terminated before completion
of this project, either voluntarily or otherwise, Tampa Bay CDC shall repay any HOME
funds invested in the project that is the subject of this agreement to the City of
Clearwater's HOME Investment Trust Fund in accordance with 24 CFR 92.503(b).
X TERMINATION
A. Pursuant to 24 CFR Part 200, the City may terminate this agreement upon thirty (30)
days prior written notice to the Tampa Bay CDC contact person indicated in Section V of
this agreement. The parties shall agree upon the termination conditions, including the
effective date of termination, and in the case of partial termination, the portion of the
award to be terminated.
B. Tampa Bay CDC may terminate this agreement upon thirty (30) days prior written notice
to the City contact person indicated in Section V of this agreement. The notice of
termination shall set forth the reasons for such termination, the effective date of
termination, and in the case of partial termination, the portion of the award to be
terminated. However, in the case of partial termination, if the City determines that the
remaining portion of the funding provided under this agreement will not accomplish the
purposes for which the award was made, the City may terminate the award in its
entirety under paragraph A of this section, Section IX, or 24 CFR Part 200.
XI MISCELLANEOUS PROVISIONS
A. The officials who executed this agreement hereby represent and warrant that they have
full and complete authority to act on behalf of the City and Tampa Bay CDC,
respectively, and that their signatures below, the terms and provisions hereof,
constitute valid and enforceable obligations of each.
B. This agreement shall be executed in the original, and any number of executed copies.
Any copy of this agreement so executed shall be deemed an original and shall be
deemed authentic for any other use.
C. The parties may amend or modify this agreement at any time, provided that such
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amendment(s) or modification(s) make specific reference to this agreement and are
executed in writing by a duly authorized representative of both parties. Such
amendment(s) or modification(s) shall not invalidate this agreement, nor relieve or
release the parties from their obligations under this agreement.
D. The terms and conditions of this agreement shall be binding upon the parties hereto,
their respective heirs, executors, administrators, successors and assignees.
E. Nothing contained in this agreement is intended to, or shall be construed in any
manner, as creating or establishing the relationship of employer and employee between
the parties. Tampa Bay CDC shall always remain an independent contractor with
respect to the services to be performed under this agreement.
F. Tampa Bay CDC shall not assign or transfer any interest in this agreement without the
prior written approval of the City.
G. This agreement shall be construed according to the laws of the State of Florida.
H. Should any part, term or provision of this agreement, or portions thereof, be
determined by a court of competent jurisdiction to be illegal, void or unenforceable, the
validity of the remaining portions of provisions shall not be affected thereby.
XII INDEMNITY
Tampa Bay CDC agrees that it shall indemnify and save harmless the City, its officers, agents
and employees from:
A. Any claims or losses for services rendered by any subcontractor, person or firm
performing or supplying services, materials or supplies in connection with the
performance of this agreement.
B. Any claims or losses resulting to any person or firm injured or damaged by the
erroneous, willful or negligent acts or omissions, including disregard of federal, state,
and local statutes or regulations, by Tampa Bay CDC, its officers, employees or
subcontractors in the performance of this agreement.
C. The obligation to indemnify shall include all legal fees and costs incurred by the City, its
officers, agents and employees, arising from the matters identified in A. and B.
XIII TERM OF AGREEMENT
This agreement shall be in full force and effect from the date first written above and shall
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remain in force for the full period of affordability applicable to the project assisted with HOME
funds under this agreement.
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IN WITNESS WHEREOF the parties heretq have ex cuted these presents and have set their
hands and seals this 2 i ' day of o iL_:7, 2019.
ATTEST: CITY OF CLEARWATER, FLORIDA, a municipal
corporation organized and existing under the laws of the State
of Florida
By:, .I4 J}LL Lam^ C e C
Rosemarie Call, City Clerk
STATE OF FLORIDA
COUNTY OF CLEARWATER
By144A4A0--D:
William B. Horne II, City Manager
Tampa Bay Community Development
Corporal , a Florida non-profit corporation
P(5 rf-k
Ch-I�l .r),16 CC -
Title:
Print Name:
Date:
Y/2111
T E FOREGOING HOME AGRE MEe NT was acknowledged before mthis 1 day of
, 2019, by ,I%�; tivX/1L, ash Y i��E�l He/She
known to me or who has produced as
3'
personally
identification.
lit, TAMMY 14 TREADWAY
.: MY COMMISSION* FF936466
EXPIRES November 16, 2019
007;390-0153 Poon 0M.a7savfa.00n+
NOTARY P Print Name:
My Commission Expires: / / / �'
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APPROVED AS TO FORM
for the use and reliance of the City of
Clearwater, Florida, only.
gad , 2018.
L
Laura Mahony, Assistant Cityttorney
Clearwater, Florida
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WARNING: 18 U.S.C. 1001 provides, among other things, that whoever knowingly and willingly makes or uses a
document or writing containing any false, fictitious, or fraudulent statement or entry, in any matter within the
jurisdiction of any department or agency of the United States, shall be fined not more than $10,000 or
imprisoned for not more than five years, or both.
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EXHIBIT A
INCOME LIMITS
6/28/2019
CDBG, HOME & NSP INCOME LIMITS
Effective 6/28/2019
Household
Size
100% Median
Income
30% Median
(Extremely Low)
Income
50% Median
(Very Low)
Income
80% Median
(Low)
Income
1 Person
$14,050
$23,450
$37,450
2 Persons
16,050
26,800
42,800
3 Persons
18,050
30,150
48,150
4 Persons
$66,900
20,050
33,450
53,500
5 Persons
21,700
36,150
57,800
6 Persons
23,300
38,850
62,100
7 Persons
24,900
41,500
66,350
8 Person
26,500
44,200
70,650
GROSS (UNADJUSTED) MEDIAN HOUSEHOLD INCOME - $66,900
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