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WHEREAS, the Orange County HOME .Consortium has designated approximately <br />$70,000 in FY 2005 HOME funds and $250,000 in FY 2009 HOME funds for the purpose of <br />infrastructure costs in the development of the Project; and <br />WHEREAS, this Agreement provides to Habitat the additional $70,000 FY 2005 HOME <br />funds and $250,000 FY 2009 HOME funds (hereafter "the HOME funds") for the construction <br />by Habitat of -infrastructure necessary for the Project which funds will be secured by a <br />Promissory Note/Deferred Payment Loan of even date in the amount of $320,000 and a Deed of <br />Trust of even date on the Property; and <br />WHEREAS, the HOME funds together with all previous and future loan funds provided <br />by the County for the Project will be credited by Habitat to the homebuyers when the <br />homebuyers purchase homes and the homebuyers will in turn owe the County the amount of the <br />credit; and <br />WHEREAS, it is the intent of Habitat and the County that the amount of each <br />homebuyer credit from Habitat and homebuyer debt to the County will be, to the extent <br />practicable, equal in amount for each of the 50 dwelling units constructed by Habitat on the <br />Property;and <br />WHEREAS, this credit for HOME funds, including the HOME funds loaned to Habitat <br />as part of this Agreement, totals $15,900 for each of the dwelling units in the Project ($795,000 <br />total HOME funds divided by 50 dwelling units); and <br />WHEREAS, this Agreement together with all other HOME and Bond Development <br />agreements between Habitat and the County, notwithstanding anything to the contrary contained <br />in the other agreements, provides funds for the purchase of land for, the development of the land <br />for, the construction of 50 single family dwelling units for the sale of 50 single family dwelling <br />units as follows: 10 dwelling units to be sold to first time homebuyers whose earnings are <br />between 60% and 80% of the HUD area median income and 40 dwelling units to be sold to first <br />time homebuyers whose earnings are up to but not including 60% of the HUD area median <br />income, 20 of the 40 with earnings between 30% and up to but not including 60%; and <br />WHEREAS, the County and Habitat hereto agree and acknowledge that this Agreement <br />does not constitute a commitment of funds or site approval, and that such commitment of funds <br />or approval may occur only upon satisfactory completion of an environmental review and receipt <br />by the County of a Release of Funds from the U.S. Department of Housing and Urban <br />Development under 24 CFR Part §58 if applicable. The parties further agree that the provision of <br />such funds to the project is conditioned on Orange County's determination to proceed with, <br />modify, or cancel the project based on the results of a subsequent environmental review. <br />NOW, THEREFORE, in consideration of the mutual covenants, promises, and representations - <br />contained herein, it is agreed between the parties hereto as follows: <br />1. Each of the recitals contained in this Agreement is a covenant, promise representation <br />and contractual obligation according to its terms. <br />3 <br />