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3 <br /> evaluate the public bids received and award the contract for the installation of <br /> Public Improvements on the Property. OCHC shall bear the cost of any <br /> engineering services, printing and advertising needed to complete the public bid <br /> process. <br /> 5. The contribution of CDBG funds by the County toward the construction of Public <br /> Improvements on the Property shall not exceed $247,050. Should the bid of the <br /> selected contractor with the lowest responsible bid exceed this amount, OCHC <br /> shall pay to the County any amount over $247,050 from sources other than the <br /> CDBG funds provided by the County prior to the commencement of construction. <br /> 6. Prior to the commencement of construction of Public Improvements on the <br /> Property by the County, OCHC shall execute a promissory note which shall be <br /> substantially in the form of Exhibit B attached hereto in the amount of $247,050 to <br /> secure the investment by the County in the Property. Repayment of the note shall <br /> be secured by a deed of trust in the principal amount of $247,050 naming the <br /> County as beneficiary, which deed of trust shall be substantially in the form of <br /> Exhibit B attached hereto. <br /> 7. OCHC shall market and sell the lots, construct homes for the selected buyers, <br /> and complete the sale of the homes on the a minimum of twenty lots in Magnolia <br /> Place subdivision by December 31, 1995. <br /> 8. The County agrees to subordinate its mortgage interest on the Property to private <br /> construction financing acquired by OCHC or its designated homebuilder in order <br /> to finance additional Public Improvements and construct a home on the Property. <br /> 9. At the closing of each sale to a homebuyer, OCHC shall repay the County with a <br /> credit to the homebuyer. The $12,352.50 credit to the homebuyer shall be <br /> documented by a promissory note from the homebuyer to the County in the <br /> amount of $12,352.50 which note shall be secured by a deed of trust on the <br /> parcel to be sold naming the County as beneficiary. The County shall provide a <br /> release deed to OCHC at the closing of each sale to a homebuyer, releasing the <br /> parcel to be sold from further obligation under the master note and deed of trust <br /> between OCHC and the County. The County agrees to subordinate its mortgage <br /> interest on each home to a first lien private mortgage acquired by the buyer. The <br /> promissory notes and deeds of trust shall be substantially in the form of Exhibit C <br /> to this Agreement and in accordance with the Act and its regulations. <br /> 10. OCHC agrees to market and sell the homes at a price not to exceed the N.C. <br /> Housing Finance Agency maximum new home sales price, currently $97,000, as <br /> amended from time to time. OCHC and the County acknowledge that this price <br /> is below the maximum allowable HOME sales price. OCHC further agrees to sell <br /> the homes to buyers whose incomes do not exceed 80% of the area median <br />