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HomeMy WebLinkAboutMINUTES - 09181990 - 1.58 THE BOARD OF COMMISSIONERS, HOUSING AUTHORITY OF THE COUNTY OF CONTRA COSTA RESOLUTION NO. 3593 RESOLUTION AUTHORIZING THE EXECUTION OF A DISPOSITION AND DEVELOPMENT AGREEMENT BETWEEN THE CITY OF ANTIOCH AND THE HOUSING AUTHORITY OF THE COUNTY OF CONTRA COSTA FOR. THE PURPOSE OF CONSTRUCTING AN AFFORDABLE SENIOR HOUSING DEVELOPMENT IN THE CITY OF ANTIOCH 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 City Council of the City of Antioch has unanimously approved a, Disposition and Development Agreement between the City of Antioch and the Housing Authority for purposes of constructing an affordable senior housing complex; and, WHEREAS, the Housing Authority wishes to enter into this Disposition and Development Agreement for the development of such housing; and, WHEREAS, the Executive Director, Perfecto Villarreal , will act on behalf of the Housing Authority of the County of Contra Costa. and will sign all necessary documents required to execute and enter into this Disposition and Development Agreement: NOW, THEREFORE, BE IT RESOLVED THAT THE Board of Commissioners of the Housing Authority of the County of Contra Costa hereby authorizes the Executive Director, Perfecto Villarreal , to execute and enter into the Disposition and Development Agreement as approved by the City Council of the City of Antioch. PASSED AND ADOPTED THIS 18t1i day of September Ig 90 by the following vote of the Commissioners: AYES: Commissioners Powers, McPeak, Torlakson, Fanden NOES: None ABSENT: Commissioner Schroder ABSTAIN: None cc: County Administrator I hereby cor•.ity thz; this is a true and correct copy of County Counsel an action taken and rntored on the minutes of the Housing Authority Board of supervisors on the date shown. ATTESTED: — SEP P 1 R 1NO PHIL BATCHELOR,Clerk of the Board of Supervisors and County Administrator �� .Deputy HOUSING AUTHORITY OF THE COUNTY OF CONTRA COSTA T0: BOARD OF COMMISSIONERS DATE: September 18, 1990 FROM: Perfecto Villarreal , Executive Director cc: SUBJECT: DISPOSITION AND DEVELOPMENT AGREEMENT WITH THE CITY OF ANITOCH FOR THE DEVELOPMENT OF AN ANTIOCH SENIOR HOUSING DEVELOPMENT I. RECOMMENDED ACTION: ADOPT Resolution No. 3593 authorizing the Executive Director of the Housing Authority of the County of Contra Costa to execute the Disposition and Development Agreement, as approved by the Antioch City Council and recommended by the Advisory .Housing Commission. II. FINANCIAL IMPACT: The Disposition and Development Agreement provides that the City of Antioch will grant the Housing Authority the following: 1. Convey fee simple title to land to be used to construct senior housing. Cost of land is approximately $380,000. 2. Tax increment subsidies of $115,000 per year for 40 years. 3. Pre-construction loan of $50,000 at no interest and to be repaid in three years. 4. Reduction or waiver of development fees associated with construction of an 82-unit senior housing development. 5. Exemption of real estate taxes for this low-income senior housing development. III. REASONS FOR RECOMMENDATION/BACKGROUND: At its Regular Meetings on May 1, and August 7, 1990, the: Board of Commissioners authorized the Executive Director to proceed with negotiations with the City of Antioch and to submit funding applications for the development of an affordable senior housing complex 'in the City of Antioch. CONTINUED ON ATTACHMENT: YES SIGNATURE: RECOMMENDATION OF EXECUTIVE DIRECTOR RECOMMENDAT N OF BOARD COMMITTEE APPROVE OTHER SIGNATURE(S) ACTION OF BOARD ON SEP 18 inn 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 TATE SHOWN. CC: ATTESTED SEP 1;8 1990 Phil Batchelor, Clerk of the Board of Commissioners M3e2/7-e3 BY C. DEPUTY i �L r Board of Commisioners September 18, 1990 Page -2- A resolution approving the Disposition and Development Agreement, for property commonly described as bounded by "G", Seventh, "H" and Eighth Streets in the City of Antioch, for the development of an affordable senior housing project, was passed by the City Council of the City of Antioch at a regular meeting on August 1990 by a unanimous vote. This Disposition and Development Agreement (DDA) provides that the City of Antioch will file and prosecute an eminent domain action in Contra Costa County Superior Court to its conclusion to obtain fee simple title to the subject property, and then convey that fee simple title to the Housing Authority, with the understanding that the Housing Authority will be responsible for the construction and operation of approximately 82 units for low income and very low income senior citizens. The proposed Disposition and Development Agreement stipulates that for a period of at least 40 years the Housing Authority will charge rents in :this development that conform to the affordability guidelines of state and federal agencies for persons of at least "low income". The Disposition and Development Agreement suggests the following rents will be in effect at commencement of occupancy: : Type of Unit #of Units Rent/Mo. 1 bdrm. Very low income 47 $267 ; 2 bdrm. Very low income 8 $304 : 1 bdrm. Low income 23 $479 ; 2 bdrm. Low income 4 $542 ' Two funding proposals, to the California Department of Housing and Community Development and the California Housing Finance Agency, have been submitted at rents affordable to very low income residents, roughly corresponding to the very low income rent schedule specified above. In order to maintain rent levels at the lowest possible level the Disposition and Development Agreement specifies that the Antioch Development Agency will provide a grant from each year's tax increment receipts to the Housing Authority in the amount of $115,000 each year for a period of forty (40) years. The Disposition and Development Agreement further provides that the City of Antioch will use its best efforts to reduce or waive development fees associated with the construction of the project, as well as take the necessary steps to secure an exemption from real property taxes collected by the County of Contra Costa. Finally, the Disposition and Development Agreement provides for a Pre-Construction Loan from the Antioch Development Agency to the Housing Authority, bearing no interest, in the amount of $50,000, to be repaid within three (3) years. At its Regular Meeting on Monday, September 17, 1990 the Advisory Housing Commission moved to recommend adoption of Resolution No. 3593, which authorizes the Executive Director to execute the Disposition and Development Agreement, as approved by the City of Antioch City Council , on behalf of the Housing Authority. IV. CONSEQUENCES OF NEGATIVE ACTION: Should the Board of Commissioners elect to not adopt Resolution No. 3593 authorizing the execution of the Disposition and Development Agreement with the City of Antioch, the Housing Authority could forfeit the opportunity!, to supply an additional 82 units of low and very low-income housing in the City of Antioch. cc; County Administrator County Counsel Housing Authority