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HomeMy WebLinkAboutMINUTES - 12102010 - C.126RECOMMENDATION(S): ADOPT Resolution No. 2010/604 conditionally providing for the issuance of revenue bonds to finance the development of Riley Court Apartments, a multifamily rental housing development in the City of Concord. FISCAL IMPACT: None. In the event that the bonds are issued, the County is reimbursed for costs incurred in the issuance process. Annual expenses for monitoring of Regulatory Agreement provisions are accommodated in the bond issue. The bonds will be solely secured by a pledge of revenues (rents, reserves, etc.) pledged under the bond documents. No County funds are pledged to secure the bonds. BACKGROUND: Contra Costa County, through the Conservation and Development Department, operates a multifamily mortgage bond financing program. The purpose of the program is to increase APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 12/14/2010 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Gayle B. Uilkema, District II Supervisor Mary N. Piepho, District III Supervisor Federal D. Glover, District V Supervisor Contact: Jim Kennedy, 5-7225 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: December 14, 2010 David J. Twa, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: C.126 To:Board of Supervisors From:Catherine Kutsuris, Conservation & Development Director Date:December 14, 2010 Contra Costa County Subject:Inducement Action for Multifamily Project - Riley Court Apartments, Concord BACKGROUND: (CONT'D) or preserve the supply of affordable rental housing available to lower income households. The County program may be undertaken within the unincorporated County and within the cities. Resources for Community Development (RCD) has requested to participate in the County's multifamily mortgage bond financing program. They propose to renovate the Riley Court Apartments, an existing 48 unit affordable rental housing development in the City of Concord. The proposed development meets the eligibility criteria for bond financing, and the proposed plan of finance appears to be consistent with County policy for this program. The prospective owner of the project will be a limited partnership between RCD, or one of its affiliates, as managing general partner, and a to-be-named tax credit investor as limited partner. A requirement of federal tax law is that the prospective financing be subject to a conditional statement of intent to issue bonds, i.e., an inducement resolution must be adopted by the Board of Supervisors. The inducement action does not obligate the County or the owner without future discretionary actions. CONSEQUENCE OF NEGATIVE ACTION: Without the Inducement Resolution, Resources for Community Development will not be able to commence with the process of applying to the California Debt Limit Allocation Committee for multifamily mortgage revenue bonds through the County. CHILDREN'S IMPACT STATEMENT: Not Applicable. ATTACHMENTS Resolution No. 2010/604 Riley Court Inducement BO Att A