(a) In general. A mixed-income restrictive covenant must be executed and recorded in accordance with this section on a form provided by the city. The instrument must:
(1) be signed by all owners of the Property;
(2) be signed by all lienholders, other than taxing entities, having an interest in the Property;
(3) contain a legal description of the Property;
(4) specify the number of any required reserved dwelling units and the income band applicable to each unit;
(5) be a covenant running with the land;
(6) be for a term of 20 years with one-year automatic renewals (to allow for periods of noncompliance until the full 20-year term is met) and it is terminated by a subsequent written instrument;
(7) state that all signatories agree to defend, indemnify, and hold harmless the City of Dallas from and against all claims or liabilities arising out of or in connection with the instrument;
(8) state that it may only be amended or terminated by a subsequent written instrument that is:
(A) signed by all owners of the Property and all lienholders, other than taxing entities;
(B) approved by the director;
(C) approved as to form by the city attorney; and
(D) recorded and made a part of the deed records of the county or counties in which the Property is located;
(9) state that the owner agrees to comply with all the requirements of this article, including the submission of quarterly unit status reports, maintaining the development in compliance with the city's health and safety ordinances, full cooperation with any audits and inspections conducted pursuant to the mixed-income housing program including providing access to all records required to be maintained in accordance with this article and allowing the physical inspection of the property, compliance with the city's Program Manual maintained by the department, and continued compliance with maintenance of the physical attributes of the property in accordance with this article;
(10) state that the owner agrees to maintain the property in compliance with all federal, state, and local health and safety regulations;
(11) state that the owner agrees to notify the city within 30 days of any change in ownership, default, foreclosure, or bankruptcy;
(12) state that it may be enforced by the City of Dallas;
(13) state that it shall be governed by the laws of the State of Texas; and
(14) be approved by the director and be approved as to form by city attorney.
(b) Commencement and termination of rental affordability period. The rental affordability period begins on the date the first reserved dwelling unit is occupied by an eligible household and continues until the expiration of the term of years stated in the mixed-income restrictive covenant, unless the term has been tolled and extended due to the owner's substantial noncompliance with the mixed-income housing program.
(c) Instrument to be recorded. A true and correct copy of the fully executed mixed-income restrictive covenant must be recorded in the deed records of the county or counties in which the property is located. The instrument will not be considered effective until it is recorded in the deed records in accordance with this article and a recorded copy of the instrument is filed with the director.