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HomeMy WebLinkAboutMINUTES - 06252013 - C.150RECOMMENDATION(S): APPROVE the Substantial Amendment to the FY 2013/14 Community Development Block Grant and HOME Investment Partnerships Act Annual Action Plan, including the allocation of $70,470 in FY 2013/14 CDBG funds; and $140,000 in FY 2013/14 HOME funds as recommended by the Affordable Housing Finance Committee. FISCAL IMPACT: No General Fund impact. CDBG and HOME funds are provided to the County on a formula allocation basis through the U.S. Department of Housing and Urban Development. BACKGROUND: On May 7, 2013, the Board of Supervisors adopted the FY 2013/14 Annual Action Plan, which includes the expenditure plan for Community Development Block Grant (CDBG) and HOME Investment Partnerships Act (HOME). There were remaining funds in both the CDBG-housing and HOME programs. The Affordable Housing Finance Committee (AHFC) met on May 30, 2013 to consider staff funding recommendations for CDBG-housing and HOME projects. Members of the public, including project sponsors, were invited to attend and provide input into the allocation process. Following discussion and APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 06/25/2013 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS Contact: Kara Douglas 674-7880 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: June 25, 2013 David Twa, County Administrator and Clerk of the Board of Supervisors By: , Deputy cc: C.150 To:Board of Supervisors From:Catherine Kutsuris, Conservation and Development Director Date:June 25, 2013 Contra Costa County Subject:Substantial Amendment to the FY 2013/14 Community Development Block Grant and HOME Investment Partnerships Act Annual Action Plan BACKGROUND: (CONT'D) comment on each project, the AHFC developed recommendations for the allocation of CDBG and HOME funds. This action is considered a Substantial Amendment to the FY 2013/14 Annual Action Plan. In April, 2013, Anka Behavioral Health, Inc. (Anka) applied for $70,470 in CDBG funds to complete structural modifications to the building adjacent to the Central County Homeless Shelter, which is proposed to house Anka’s Homeless Multi-Service Center. The building is located at 2047 Arnold Industrial Way – Suite A in Concord. The AHFC recommends that the Board of Supervisors allocates $70,470 in CDBG funds so that Anka can complete the necessary modifications and open the Multi-Service Center. This project will undergo a federal environmental review (NEPA) before the County enters into a project agreement. In May, 2013, Resources for Community Development (RCD) requested $120,000 in HOME funds for its Ohlone Gardens development. Ohlone Gardens will provide 57 units for families and individuals with special needs. RCD purchased the site at 6431 and 6495 Portola Drive in El Cerrito using $3.5 million in El Cerrito Redevelopment Agency funds. The County has previously awarded $750,000 in Housing Opportunities for Persons with HIV/AIDs funds and $1.3 million in HOME funds. After a thorough discussion, the AHFC recommends allocating an additional $140,000 in HOME funds to this project. RCD is seeking nine percent low income housing tax credits (LIHTC) for this project. This additional award should improve the LIHTC score and make the project very competitive in the July 2013 application round. The County will enter into various legal documents with RCD for Ohlone Gardens. These documents may include some or all of the following: Loan Agreement, Promissory Note, Deed of Trust and Security Agreement, Regulatory Agreement, Intercreditor Agreement, Subordination Agreement, Loan Riders and Estoppels. The form of these documents will be submitted for Board of Supervisors approval at a later date, but prior to execution of any legal documents. The NEPA review is complete. El Cerrito has completed its review under the California Environmental Quality Act (CEQA) and a request for a CEQA determination will be brought to the Board of Supervisors with the legal documents. CONSEQUENCE OF NEGATIVE ACTION: If the Board does not approve the Substantial Amendment with the AHFC funding recommendations, RCD will be less competitive for LIHTCs. Anka will not be able to complete the multi-service program renovations and open its new center. CHILDREN'S IMPACT STATEMENT: The Ohlone Gardens project will support indicator number 3: Families are Economically Self Sufficient