HomeMy WebLinkAboutMINUTES - 12151998 - C144 Contra
Costa
TO: BOARD OF SUPERVISORS •
FROM: Dennis M. Barry,,AICP Coun:y
Director of Community Development
DATE: December I5, 1998
SUBJECT: Allocation of FY 1996 Housing Opportunities for Persons with AIDS (HOPWA)funds and Execution
of Required Legal Documents for the Idaho Apartments Project
SPECIFIC REQUEST(S)OR RECOMMENDATIONS(S)& BACKGROUND AND JUSTIFICATION
RECOMI vIENDATIONS
(1) APPROVE the allocation of$102,000 in FY 1996 Housing Opportunities for Persons with AIDS
(HOPWA)funds to Idaho Apartment Housing.CorporationlRubicon for the Idaho Apartments project
and(2)AUTHORIZE the Deputy Director, Redevelopment or his designee to enter into required"legal'
documents for this purpose.
FISCAL Z ACT
No General Fund impact. HOPWA funds are allocated to local jurisdictions by formula, through:the
U.S. Department of Housing and Urban Development(HUD).
BACR:GROUNDlREASC►NS FOR RECOhD ENDATIONS
Housing Opportunities for Persons with AIDS (HOPWA) funds are allocated to Contra Costa
Entitlement Jurisdictions(the Contra Costa Consortium and the Cities of Antioch, Concord, Pittsburg.,
Richmond and Walnut Creek) by formula thrpugh the City of Oakland and the U.S. Department of
Housing and Urban Development (HUD). As agreed by the jurisdictions, $336,886 of the FY 1996
allocation was reserved for the development of affordable rental housing for low-income persons with
HIV/AIDS. The County currently has$177,386 in unobligated FY 1996 HOPWA funds.
CONTINUED ON ATTACHMENT: X YES SIGNATURE:
RECOMMENDATION OF COUNTY ADMINISTRATOR RECO ATION Ct OARD COMMI E
APPROVE OTHER
SIGNATURE(S):
ACTION OF
BOARD ON December 15. 199a APPROVED AS RE+COMMENDEDU_OTHER
VOTE OF SUPERVISORS
I HEREBY CERTIFY THAT THIS IS A TRUE
xx UNANIMOUS(ABSENT - - - ) AND CORRECT COPY OF AN ACTION TAKEN
AYES: NOES: AND ENTERED ON THE MINUTES OF THE
ABSENT: ABSTAIN: BOARD OF SUPERVISORS ON THE DATE SHOWN.
Contact: Kathleen Hamm, 335-1257
cc: County Administrator ATTESTED December 15, 19-q8
County Counsel PHIL BATCHELOR,CLERK OF THE BOARD
Auditor-Controller OF SUPERVISORS&COUNTY ADMINISTRATO
Community Development
BY IE✓,DEPUTY
Idaho Apartment Housing Corporation/Rubicon is in the process of rehabilitating and converting
an existing motel into a 28-unit single-room occupancy(SRO)residence affordable to very-low
income homeless and persons at risk of becoming homeless. Eleven units will be reserved for
persons with HIVIAIDS and six units are reserved for the mentally disabled. Support services
provided to the tenants through an allocation of McKinney Act funds will include case
management,job training, independent living classes, and counseling. In addition, a variety of
public and private agencies will provide additional support services which will include substance
abuse counseling,benefits advocacy, mental health counseling, medical care, money management,
legal services, assistance with basic needs and social and recreational activities.
The Board of Supervisors has previously approved an allocation of Community;Development
Block Grant(CDBG)funds of$470,400 and allocations of HOPWA funds totaling$255,000 for
this project. This allocation of HOPWA funds is the final financing required to complete this
project.
The 11 HOPWA units are required to be occupied by very-low income persons with HIV/AIDS
for a minimum of 55 years. However, this project is also receiving funds through Low-income
Housing Tax Credits,which requires that all units must be occupied by households with incomes
at or below 35 percent area median income(AMI)for 55 years.
The project site has been acquired and rehabilitation/construction initiated using a combination of
previously approved HOPWA, CDBG, and LIHTC resources. Over the last year, unanticipated
rehabilitation and construction costs have resulted in an increase of the project budget of just over
$1.7 million. Rubicon has successfully worked to reduce the funding gap through requests for
additional resources totaling just under$1.4 million. In addition, Rubicon is contributing its entire
developer fee to the project as an equity contribution.
The total cost of this project is $3,928,260. The development budget and sources of funds for this
project are:
Soum Amount
FY 1996 HOPWA funds $102,400
FY 19996 HOPWA(previously allocated) :25,000
FY 1995 HOPWA funds 230,000
Contra Costa CDBG funds 470,000
FHLB Affordable Housing Program 230,608
LIHTCs 1,925,087
California Housing Finance Agency(CHFA) 800,000
Grants 33,000
Developer Equity 112,..565
TOTAL $.3,928,260
Additional financing: construction loan from the Low Income Housing Fund (LIHF, $380,000),
CHFA bridge loan($230,000), 28 SRO Moderate Rehabilitation Program Section 8 Certificates
(10 year, valued at$1.7 million), McKinney Act Supportive Housing Program finds for support
services($893,000 over three years), and an advance from the City of El Cerrito to pay down
debt in seven years.
Assuming approval by the Board, existing County loan documents with Idaho Apartment Housing
Corporation/Rubicon will be amended to incorporate the additional funds.
KD C:\DATA\WP60HOPWA\I9981BDORD U).WPD