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HomeMy WebLinkAboutMINUTES - 03122013 - C.92PDF Return C.92 To: Board of Supervisors From: Catherine Kutsuris, Conservation & Development Date: March 12, 2013 Contra Costa County Subject:Multifamily Housing Revenue Bonds - Oak Ridge Family Apartments, Oakley APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 03/12/2013 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Mary N. Piepho, District III Supervisor Karen Mitchoff, District IV Supervisor Federal D. Glover, District V Supervisor Contact:Kristen Lackey, 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: March 12, 2013 David Twa, BY:June McHuen , Deputy RECOMMENDATION(S): ADOPT Resolution No. 2013/132 approving the issuance of Multi-Family Housing Revenue Bonds in an amount not to exceed $8 million to finance the development of Oak Ridge Family Apartments, Oakley, including: 1) finding and declaring that the recitals contained in the proposed Resolution are true and correct; 1 of 2 2 of 2 RECOMMENDATION(S): (CONT'D) 2) for purposes of Section 147(f) of the Internal Revenue Code of 1986, approving the issuance of Multi-Family Housing Revenue Bonds (the "Bonds") in an aggregate amount not to exceed $8 million to finance the costs of the development of Oak Ridge Family Apartments located at 73 Carol Lane in Oakley (the "Project"); 3) authorizing and directing any authorized officer of the County to do any and all things, take any and all actions, and execute and deliver any and all certificates, agreements, and other documents which the officer may deem necessary or advisable in order to effectuate the intent of the Resolution. 4) requesting the Clerk of the Board to forward a certified copy of the Resolution to Bond Counsel. FISCAL IMPACT: No impact to the General Fund. 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 provided for in the bond issue. The bonds will be secured solely by revenues (rents, reserves, etc.) pledged under the bond documents. No County funds are pledged to secure the bonds. The Project has received an allocation of $1.3 million in County HOME Investment Partnerships Act funds, and $250,000 in Summer Lake Affordable Housing funds. BACKGROUND: The recommended action is the adoption of a Resolution by the Board, as the legislative body of the County, authorizing the issuance of Multi-Family Housing Revenue Bonds, which will be used to finance the development of Oak Ridge Family Apartments, a 30-unit multifamily rental housing development located at 73 Carol Lane (a portion of APN 037-100-061 and APN 037-100-063) in Oakley. The Bonds, when issued, will be used to finance the development of Oak Ridge Family Apartments by 73 Carol Ln., L.P., a California Limited Partnership (“Owner”) the Managing General Partner of which is Corporation for Better Housing. A to-be-named tax credit investor will be the limited partner. The proposed financing would implement City of Oakley and County policies to increase the supply of affordable housing. At its February 26, 2013 meeting, the Board of Supervisors approved an Inducement Resolution for Oak Ridge Family Apartments. The Inducement Resolution conditionally provided for the issuance of revenue bonds. The main purpose of the proposed Resolution is to acknowledge that a public hearing has been held by the Affordable Housing Program Manager with no public comment, and to meet other bond issuance requirements which are specified in Section 147(f) of the Internal Revenue Code. The recommended action of the Board is not the Bond Sale Resolution. The proposed bonds could not be issued until a separate resolution is adopted by the Board of Supervisors specifically authorizing the sale of bonds. Such separate resolution to authorize the sale of bonds would come before the Board after receipt of an allocation from the State of California for Private Activity Bond Authority. An application for Private Activity Bond Authority will be submitted to the California Debt Limit Allocation Committee on March 15, 2013. The expected timing for a Bond Sale Resolution would be July, 2013. The proposed resolution would not relieve the Borrower from obtaining other required permits or approvals required by law, nor obligate the County to incur any obligation or provide financial assistance with respect to the Bonds or the Project. Annual expenses of the County related to the monitoring of the Regulatory Agreement are provided for in the bond issue. CONSEQUENCE OF NEGATIVE ACTION: Negative action would prevent the County from meeting the public approval requirement of the Internal Revenue Code for issuing Multifamily Housing Revenue Bonds, and prior actions of officers and agents of the County would not be confirmed and ratified. As a result, the Multifamily Housing Revenue Bonds could not be issued by the County. CHILDREN'S IMPACT STATEMENT: The Oak Ridge Apartments project will provide 30 units of affordable rental housing appropriate for families. This supports outcome #3: Families are Economically Self Sufficient. AgendaQuick©2005 - 2022 Destiny Software Inc., All Rights Reserved