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HomeMy WebLinkAboutMINUTES - 02282012 - C.77RECOMMENDATION(S): ADOPT Resolution No. 2012/62 conditionally providing for the issuance of revenue bonds in an amount not to exceed $18 million to finance the development of Berrellessa Palms, a multifamily senior rental housing development to be located at 810 Berrellessa Street in the City of Martinez (APN: 373-243-001). 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 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: 02/28/2012 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS Contact: Kristen Lackey, 5-7228/4-7888 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: February 28, 2012 David Twa, County Administrator and Clerk of the Board of Supervisors By: , Deputy cc: C.77 To:Board of Supervisors From:Catherine Kutsuris, Conservation & Development Director Date:February 28, 2012 Contra Costa County Subject:Inducement Action for Multifamily Project - Berrellessa Palms, Martinez BACKGROUND: (CONT'D) operates a multifamily mortgage revenue 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 with the unincorporated County and within the cities. Resources for Community Development has requested to participate in the County's multifamily mortgage revenue bond financing program. They propose to construct Berrellessa Palms, a 49-unit senior housing project located at 801 Berrellessa Street in the City of Martinez. 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 Resources for Community Development, or one of its affiliates, as managing general partner, and a to-be-named tax credit investor as a limited partner. A 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, 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 in an amount not to exceed $18 million. CHILDREN'S IMPACT STATEMENT: Not applicable. CLERK'S ADDENDUM Speakers:  Kathi McLaughlin; Beth Eiselman; Kristen Henderson, resident of Martinez; Tim Platt; Harlan Strickland; Janet Kennedy, resident of Martinez;  Harriet Burt, Martinez Planning Commissioner; Donna Allen. RELISTED to an undetermined future date.  ATTACHMENTS Resolution No. 2012/62 Berrellessa Palms Inducement Exh A Exhibit A • Name of Development: Berrellessa Palms • Maximum Amount of Bond Issue: $18,000,000 • Location of Project: 801 Berrellessa Street, Martinez (APN: 373-243-001-6) • Number of Units: 49 • Name of Developer/Initial Owner: A limited partnership between Resources for Community Development (or one of its affiliates) and a to-be-named tax credit investor.