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HomeMy WebLinkAboutMINUTES - 03012011 - C.74RECOMMENDATION(S): ADOPT Resolution No. 2011/58 conditionally providing for the issuance of revenue bonds in an amount not to exceed $6 million to refinance and rehabilitate the Pinole Grove Senior Housing project, a multifamily rental housing development at 800 John Street in the City of Pinole (APNs: 401-186-035-2, 401-186-035-3). 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, APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 03/01/2011 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 Karen Mitchoff, District IV Supervisor Federal D. Glover, District V Supervisor Contact: Jim Kennedy, 925-335-7225 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: March 1, 2011 David J. Twa, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: C.74 To:Board of Supervisors From:Catherine Kutsuris, Conservation & Development Director Date:March 1, 2011 Contra Costa County Subject:Inducement Action for Multifamily Project - Pinole Grove Senior Housing, Pinole BACKGROUND: (CONT'D) operates a multifamily mortgage bond financing program. The purpose of the program is to increase 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. BRIDGE Housing Ventures, Inc. has requested to participate in the County's multifamily mortgage bond financing program. They propose to renovate Pinole Grove Senior Housing, an existing 70 unit affordable rental housing development located at 800 John Street in the City of Pinole. The proposed development meets the eligibility criteria for bond financing, and the Conservation and Development Department states that 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 BRIDGE, or one of its affiliates, as managing general partner, and a to-be-named tax credit investor as limited partner. A detailed description of the project can be found in Exhibit A. 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, BRIDGE Housing Ventures, Inc. 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 in an amount not to exceed $6 million. CHILDREN'S IMPACT STATEMENT: Not Applicable. ATTACHMENTS Resolution No. 2011/58 Exhibit A - Pinole Grove Project Information