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HomeMy WebLinkAboutR-2016-149 Approves Additional Loan Commitment to Finance Development of Saratoga Crossings Housing Development; Authorizing Execution of FHFC's Local Government Verification of Contribution-Loan Form RESOLUTION NO. 2016-149 A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF DANIA BEACH, FLORIDA, APPROVING A CONDITIONAL LOAN COMMITMENT TO PARTIALLY FINANCE DEVELOPMENT OF THE SARATOGA CROSSINGS HOUSING DEVELOPMENT; AUTHORIZING THE CITY MANAGER TO EXECUTE FHFC'S LOCAL GOVERNMENT VERIFICATION OF CONTRIBUTION-LOAN FORM; PROVIDING FOR CONFLICTS; FURTHER PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, Saratoga Crossings, Ltd., a Florida limited partnership, and its affiliates (the "Applicant")propose to build a new multi-family development for affordable rental housing to be known as Saratoga Crossings(the "Housing")located at 1105 West Dania Beach Boulevard,Dania Beach, Broward County, Florida, with restrictions on the incomes of the residents and rents that can be charged; and WHEREAS, the Applicant intends to submit an application to the Florida Housing Finance Corporation ("FHFC") for Competitive 9% Housing Credits ("Housing Credits") for the Housing; and WHEREAS, a conditional loan commitment from the City of Dania Beach, Florida (the "City") in the amount of$637,000.00("Request Amount"),considered to be a"Local Government Area of Opportunity Funding" by FHFC, will evidence a high level of interest in the Housing; and WHEREAS, this is the only Local Government Area of Opportunity Funding being provided by the City of Dania Beach in response to FHFC's RFA 2016-113 for Competitive Housing Credits; and WHEREAS,the conditional commitment to lend the Request Amount shall be contingent upon an award of Housing Credits and the City entering into agreements which,to its satisfaction, secure the repayment of the Request Amount. NOW,THEREFORE,BE IT RESOLVED,BY THE CITY COMMISSION OF THE CITY OF DANIA BEACH,FLORIDA: Section 1. The City of Dania Beach hereby conditionally approves the Applicant's request for funding in the amount of$637,000.00 to support the Housing. The funding shall consist of a loan evidenced by a promissory note and secured by a mortgage with a minimum term of five (5)years, subject to acceleration in the event of default, with collateral satisfactory to the City and subject to the City, Applicant, and other parties providing financing for the Housing entering into agreements which,to the satisfaction of the City, secure the repayment of the Request Amount. Section 2. For and on behalf of the governing body of the City of Dania Beach, the City Manager, is hereby authorized to execute FHFC's Local Government Verification of Contribution-Loan Form, attached as Exhibit"A", which shall be effective through June 30, 2017. Section 3. For and on behalf of the governing body of the City, the City Manager, is hereby authorized, empowered, and directed to negotiate with the Applicant on the funding transaction if the Applicant receives an award of Housing Credits. Section 4. This Resolution shall become effective immediately upon its passage and adoption. PASSED and ADOPTED on October 25, 2016. ATTEST: �p�Is LOUISE STILSON, CMC SALVINO, SR. CITY CLERK OR APPROVED AS TO FO ND CORRECTNESS: C) :� 171� 'A THOMA J. ANS CITY ATTORNE 2 RESOLUTION#2016-149 FLORIDA HOUSING FINANCE CORPORATION LOCAL GOVERNMENT VERIFICATION OF CONTRIBUTION—LOAN FORM Name of Development: Development Location: (At a minimum provide the address number,street name and city,and/or provide the street name,closest desisted intersection and either the city(if located within a city)or county(if located in the unincorporated area of the county)_ If the Development consists of Scattered Sites,the Development Location stated above must reflect the Scattered Site where the Development Location Point is located) The City/County of .commits$ (which may be used as an FHFC Non-Corporation Funding Proposal in an Application for FHFC funding if it meets the required criteria)in the form of a reduced interest rate loan to the Applicant for its use solely for assisting the proposed Development referenced above. The net present value of the above-referenced loan,based on its payment stream,inclusive of a reduced interest rate and the designated discount rate(as stated in the applicable RFA)is:$ No consideration or promise of consideration has been given with respect to the loan. For purposes of the foregoing,the promise of providing affordable housing does not constitute consideration. The commitment for this loan must be effective as of the Application Deadline for the applicable RFA,and is provided specifically with respect to the proposed Development. CERTIFICATION I certify that the foregoing information is true and correct and that this commitment is effective at least through the date required in the applicable RFA. Signature Print or Type Name Print or Type Title This certification must be signed by the chief appointed official(staff responsible for such approvals,Mayor,City Manager, County Manager/Administrator/Coordinator,Chairperson of the City Council/Commission or Chairperson of the Board of County Commissioners. If the contribution is from a Land Authority organized pursuant to Chapter 380.0663, Florida Statutes,this certification must be signed by the Chair of the Land Authority. One of the authorized persons named above may sign this form for certification of state,federal or Local Government funds initially obtained by or derived from a Local Government that is directly administered by an intermediary such as a housing finance authority,a community reirrvestment corporation, or a state-certified Community Housing Development Organization (CHDO). Other signatories are not acceptable. The Applicant will not receive credit for this contribution if the certification is improperly signed. To be considered for points,.the amount of the contribution stated on this form must be a precise dollar amount and cannot include words such as estimated,up to,maximum 4 not to exceed,etc. If the Application is not eligible for automatic points,this contribution will not be considered if the certification contains corrections or`white-out'or if the certification is altered or retyped. The certification may be photocopied. Please note: This form maybe modified by Florida Housing Finance Corporation per Section 67-60.005,F.A.C. (Foam Rev_08-16)