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HomeMy WebLinkAboutMINUTES - 08071990 - 1.86 THE BOARD OF COMMISSIONERS, HOUSING"AUTHORITY OF THE COUNTY OF CONTRA COSTA RESOLUTION NO. 3589 RESOLUTION AUTHORIZING THE SUBMITTAL OF A LOAN APPLICATION, THE INCURRING OF AN INDEBTEDNESS, THE EXECUTION OF A LOAN AGREEMENT AND ANY AMENDMENTS THERETO, A PROMISSORY NOTE, AND ANY OTHER DOCUMENTS NECESSARY TO SECURE A HOUSING PREDEVELOPMENT LOAN FROM THE STATE OF CALIFORNIA WHEREAS, the Housing Authority of the County of Contra Costa (hereinafter referred to as "Housing Authority") is a public body, corporate and politic established under the laws of California and empowered to own property, borrow money, and give security for loans; and, WHEREAS, the California Department of Housing and Community Development (hereinafter referred to as the "State") is authorized to make loans for the production of assisted housing for low-income persons; and, WHEREAS, the Housing Authority wishes to obtain from the State a housing predevelopment loan for the development of such housing: NOW, THEREFORE, BE IT RESOLVED BY THE Board of Commissioners of the Housing Authority of the County of Contra Costa, as follows: 1. The Housing Authority shall submit to .the State an application for a predevelopment loan for a low-income housing project to be developed in the County of Contra Costa. 2. If the loan is approved, the Housing Authority is hereby authorized to incur indebtedness in an amount not exceeding the amount approved by the State and to enter into a loan agreement with the State for the purposes set forth in the loan application and approved by the State. It also may give a promissory note, and execute security and other instruments necessary or required by the State to evidence and secure the indebtedness. 3. The Housing Authority is further authorized to request amendments, including increases in loan amounts up to amounts approved by the State, and to execute any and all documents required by the State to evidence and secure these amendments. 4. The Housing Authority authorizes Perfecto Villarreal to execute in the name of the Housing Authority the loan application and the loan agreement, promissory note, and security and other instruments necessary or required by the State for the making and securing of the loan, and any amendments thereto. 5. This resolution shall take effect immediately. PASSED AND ADOPTED THIS -7th- I day of August 19 90 by the following vote of the Commissioners: AYES: Comm ILPs-ionerc -PocuerFI .Schroder, McPeak., Torlak.eon, 'Pah.den NOES: None ABSENT: None. I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the ABSTAIN: None- Board of supervisors on the date shoowwn..-/p ATTESTED:PHIL SATCHELCIR,clerk of the Board of Supervisors and County Administrator cc: County Administrator County Counselgy ..,.__ -- �.,Deputy Housing Authority 1-086 HOUSING AUTHORITY OF THE COUNTY OF CONTRA COSTA TO: BOARD OF COMMISSIONERS DATE: August 7, 1990• . FROM: Perfecto Villarreal , Executive Director cc: SUBJECT: PREDEVELOPMENT LOAN APPLICATION PROPOSED SENIOR HOUSING DEVELOPMENT IN ANTIOCH I. RECOMMENDED ACTION: ADOPT Resolution No. 3589 authorizing the submittal of a loan application and any other documents necessary to secure a housing Predevelopment Loan in the amount of $75,000 from the California Department of Housing and Community Development, as recommended by the Advisory Housing Commission. II. FINANCIAL IMPACT: None at this time. However, the loan will be for a one to three year period at an interest rate of 7% per annum. This loan would probably be repaid in a lump sum from the proceeds of either the construction or permanent financing for the development. III. REASONS FOR RECOMMENDATION/BACKGROUND: At its Regular Meeting on May 1, 1990 the Board of Commissioners authorized the Executive Director to proceed with negotiations with the City of Antioch and F.P.I. Real Estate Group to develop an affordable senior housing development in Antioch, and to proceed with funding applications to secure both construction and permanent financing from the California Department of Housing and Community Development. The Predevelopment Loan Program of the California Department of Housing and Community Development offers a Than of $75,000. Loan proceeds may be used to pay advance fees for architectural , engineering, consultant and legal services, as well as permit and application fees. The Predevelopment Loan may not be used for administration expenses or construction financing. The Housing Authority will serve as the owner of this development. F.P.I. Real Estate Group will serve as the turn-key developer for the Housing Authority and provide the property management of the development. As owner, the Housing Authority will monitor the development to insure that affordable rent levels are maintained pursuant to the requirements of the California Rental -Housing Construction Program. No formal consulting, development or management agreements or contracts have as yet been executed between the Housing Authority and F.P.I. A proposed agreement for architectural , development and management services has been submitted by F.P.I. and is under consideration. CONTINUED ON ATTACHMENTS YES SIGNATURES � L RECOMMENDATION OF EXECUTIVE DIRECTOR RECOMMENDATION OF BOARD COMMITTEE APPROVE OTHER SIGNATURE(S) ACTION OF BOARD ON AVG 1 1990 APPROVED AS RECOMMENDED OTHER VOTE OF COMMISSIONERS _ UNANIMOUS (ABSENT ) I HEREBY CERTIFY THAT THIS A TRUE AND AYES: NOES: CORRECT COPY OF AN ACTION TAKEN AND ABSENT: ABSTAIN: ENTERED ON THE MINUTES OF THE BOARD OF COMMISSIONERS ON THE DATE SHOWN. CC: ATTESTED AUG 7 1990 Phil Batchelor, Clerk of the Board of Commissioners M382/7-e3 BY ��JI,GIAif�tr9 __. DEPUTY A Board of Commissioners August 7, 1990 Page -2- A Predevelopment Loan of $75,000 will provide a source of funding for this development to proceed immediately upon award, at which time the development agreement between the Housing Authority and F.P.I. will have been reached. The proceeds of this loan will be entirely under the control of the Housing Authority and will be spent in accordance with this pending contract. At its Regular Meeting on Monday, July 16, 1990, the Advisory Housing Commission voted to recommend that the Executive Director be authorized to proceed with an application to the Predevelopment Loan Program of the California Department of Housing and Community Development in the amount of $75,000, to secure a source of funding for predevelopment expenses for the proposed senior housing development in Antioch. IV. CONSEQUENCES OF NEGATIVE ACTION: Should the Board of Commissioners elect to not adopt Resolution No. 3589 authorizing the submittal of a loan application and any other documents necessary to secure a housing Predevelopment Loan from the California Department of Housing and Community Development, the Housing Authority would forfeit the opportunity to obtain funds which can be used for predevelopment expenses that are to be incurred in developing an 82 units senior housing development in Antioch. cc: County Administrator County Counsel Housing Authority