HomeMy WebLinkAboutR-02-0490J-02-405
04/16/02 A
RESOLUTION NO. 02— 4 9 0
A RESOLUTION OF THE MIAMI CITY COMMISSION, WITH
ATTACHMENT(S), AUTHORIZING AND DIRECTING THE
CITY MANAGER TO ENTER INTO AN AGREEMENT WITH
FANNIE MAE, IN A FORM ACCEPTABLE TO THE CITY
ATTORNEY AND SUBJECT TO THE TERMS AND
CONDITIONS CONTAINED ON THE TERM SHEET ATTACHED
HERETO AS "EXHIBIT A," FOR A LOAN IN THE AMOUNT
OF $1,575,000 FOR VARIOUS PROJECTS IN THE
SOUTHEAST OVERTOWN/PARK WEST COMMUNITY
REDEVELOPMENT AREA; FURTHER AUTHORIZING THE
CITY MANAGER TO FORWARD THE LOAN PROCEEDS TO
THE SOUTHEAST OVERTOWN/PARK WEST COMMUNITY
REDEVELOPMENT AGENCY ("CRA") AND TO ENTER INTO
AN AGREEMENT, IN A FORM ACCEPTABLE TO THE CITY
ATTORNEY, WITH THE CRA FOR SAID PURPOSE,
REPAYMENT OF THE LOAN FROM FANNIE MAE AND
REIMBURSEMENT TO THE CITY OF ALL COSTS
ASSOCIATED WITH THE TRANSACTION.
BE IT RESOLVED BY THE COMMISSION OF THE CITY OF MIAMI,
FLORIDA:
Section 1. The City Manager is authorized and directed
to enter into an agreement with Fannie Mae, in a form acceptable
to the City Attorney and subject to the terms and conditions
contained on the Term Sheet attached hereto as "Exhibit A," for
a loan in the amount of $1,575,000 for various projects in the
Southeast Overtown/Park West Community Redevelopment area.
Section 2. The City Manager is authorized to forward
the Fannie Mae loan proceeds to the Southeast Overtown/Park West
CITY C:ODMMOK
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APR z 5 2002
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02— 490
Community Redevelopment Agency ("CRA"), which will award grants
to those projects designated for development by the CRA, and to
enter into an agreement, in a form acceptable to the City
Attorney, with the CRA for said purpose, repayment of the loan
from Fannie Mae and reimbursement to the City of all costs
associated with the transaction.
Section 3. This Resolution shall become effective
immediately upon its adoption and signature of the Mayor.'
PASSED AND ADOPTED this 25th day of April 2002.
MANUEL A. DIAZ, 29R
ATTEST:
PRISCILLA A. THOMPSON, tITY CLERK
APPROVED_*P'�b,/FORM ANP0'1!_0RRECTNESS:
ATTORNEY
6186:IT:BSS
1� If the Mayor does not sign this Resolution, it shall become
effective at the end of ten calendar days from the date it was
passed and adopted. If the Mayor vetoes this Resolution, it
shall become effective immediately upon override of the veto by
the City Commission.
Page 2 of 2
02- 490
TERM SHEET
1.
Borrower:
City of Miami
2.
Project/Development:
Various
3.
Loan Amount:
$1,575,000
4.
Loan Type:
Term Loan
5.
Recourse:
Full Recourse
6. Terms:
a) Maturity Date/Term:
Four year term
b) Interest Rate:
Fixed; Rate not to
exceed Prime + 1%
c) Standby Fee:
N/A
d) Loan Origination Fee:
1/2%
e) Payments/Principal Repayment:
The Loan shall amortize
over four years with
annual payments of
interest and principal
which payments shall be
made three (3) days
after each anniversary
date of the closing of
the Loan.
f) Prepayment:
The Loan may be prepaid
at any time without
penalty.
7. Collateral:
$393,750, to be
deposited in an account
by the CRA, for the
benefit of Fannie Mae
and in which Fannie Mae
will have a security
interest.
8. Primary Repayment Source:
Pursuant to an agreement
between the City and the
CRA sufficient to
amortize the annual
payment.
9. Closing Date:
This loan must close on
or before May 31, 2002,
unless mutually agreed
to by Fannie Mae and the
City.
"EXHIBIT A" 02— 490
Apr -16-02 12:08P
CITY OF MIAMI, FLORIDA .14
INTER -OFFICE MEMORANDUM
TO ; Carlos Gimenez, City Manager
ATTN: Agenda Coordinator Office
MOM: Annette E. Lewis
Acting Executive Director, CRA
DATE: April 25, 2002 FILE:
SURIF.CTFannie Mae Loan
HtrEAENCES:
Resolution, supporting documents
ENCLOSURES:
RECOMMENDATION
It is respectfully recommended that the City Manager to enter into an agreement with Fannie Mae, on
behalf of the CRA, in the amount of 51,575,000 1'or various projects in the Southeast Overtown/Park
West (SEOPW) Community Redevelopment Arca and to forward the loan proceeds to the
SEOPW/CRA.
BACKGROUND
On March 25, 2002, the CRA Board of Directors adopted resolution SEOPW/CRA R-02-54 which
authorized the CRA Executive Director to meet with the City Manager to negotiate the transfer of the
obligations of the pending Fannie hilae Loan closure, to the City of Miami, and to assume and
coordinate responsibilities among all entities. On November 20, 2000, the CRA Board adopted CRA
motion SE-OPW/CRA M-00-122 which authorized the CRA Executive Director to apply for a loan
from Fannie Mac for eligible projects permissible to CRA under the Fannie Mae guidelines.
BIJDGETARY IMPACT
NONE: The CRA will enter into an agreement acceptable to the City Attorney for repayment of the
Fannie Mae loan from funds, and will reimburse the City for all costs incurred in msociation with the
loan transaction.
02_ 490