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HomeMy WebLinkAboutR-95-0674J-95-733 9/1 /95 RESOLUTION NO: 95- 674 A RESOLUTION, WITH ATTACHMENT, AUTHORIZING THE CITY MANAGER TO ENTER INTO AN AGREEMENT WITH THE UNITED STATES DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT ("HUD"), IN SUBSTANTIALLY THE ATTACHED FORM, FOR A SECTION 108 LOAN GUARANTEE IN THE AMOUNT OF $2 MILLION DOLLARS TO HELP FINANCE THE DEVELOPMENT OF THE GOOMBAY PLAZA PROJECT TO BE DEVELOPED BY THE COCONUT GROVE LOCAL DEVELOPMENT CORPORATION (CGLDC), AND FURTHER ACCEPTING AN ECONOMIC DEVELOPMENT INITIATIVE GRANT OF $300,000.00 TO BE USED WITH THE SECTION 108 LOAN GUARANTEE. WHEREAS, the City of Miami is committed to assisting non-profit organizations that develop projects which will create new jobs and remove slum and blight in the community; and WHEREAS, the City of Miami has applied for a Section 108 Loan Guarantee from HUD in the amount of $2 million dollars to assist in the development of the Goombay Plaza Project to be developed by the CGLDC; and WHEREAS, the City of Miami has also applied for an Economic Development Initiative Grant of $300,000.00 for the same project; and WHEREAS, HUD has officially approved the Section 108 Loan Guarantee and the Economic Development Initiative Grant. NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY OF MIAMI, FLORIDA: IATTACHMENT (5) CONTAINED ,.CITY COMMISSION MEETING OF S E P 2 9 1995 Resolution No. 95- 674 Section 1. The recitals and findings contained in the Preamble to this Resolution are hereby adopted by reference thereto and incorporated herein as if fully set forth in this Section. Section 2. The City Manager is hereby authorized to execute an agreement with the United States Department of Housing and Urban Development, in substantially the attached form, for a Section 108 Loan Guarantee in the amount of $2 million dollars to help finance the Goombay Plaza Project to be developed by the Coconut Grove Local Development Corporation, Section 3. The City Manager is also authorized to accept the award of an Economic Development Initiative Grant in the amount of $300,000.00 for the same project to be used with the Section 108 Loan Guarantee. Section 4. This Resolution shall become effective immediately upon its adoption. PASSED AND ADOPTED this 28th day of E i ALTER FOEMAN, CITY CLERK NET REVIEW A I�� PROV F RAN ASTA , DIRECTOR OA Se THEN P. CLARK, MAYOR( 95-- 674 _J FINANCE AND BUDGETARY REVIEW: MANOHAR S. SUI ASSISTANT CITY PREPARED AND APPROVED BY: OLG AMIREZ-SEIJ ASSISTANT CITY ATTORNEY APPROVED AS TO FORM AND CORRECTNESS: 19 C W269:csk:O 3 95- 674 L F ding Approval/Agreem t Title I of the Housing and _immunity Development Act (Public Law 93-383) HI-00516R of 2051 SR 1. Name of Grantee (as shown in Item 6 of Standard Form-4241 CITY OF MIAMI, FLORIDA 2. Grantee's Complete Address (as shown In Item U.S. Departrr of Housing and Urban DL ipment Office of Community Planning and Development Community Development Block Grant 59 6000375 B-94—MC-12-0013 5b. Project / Grant Number 2 so or t-unds 300 BISCAYNE BOULEVARD WAY — SUITE 420 60. Project / Grant Number 3 16c. Amount Approved MIAMI, FL 33131 Grant Agreement This Grant Agreement between the Department of Housing and Urban Development (HUD) and the above named Grantee is made pursuant to the authority of Title I of the Housing and Community Development Act of 1974, as amended, (42 U.S.C. 5301 at seq). The Grantee's submissions for Title I assistance, the HUD regulations at 24 CFR Part 570 (as now in effect and as may be amended from time to time), and this Funding Approval, including any special conditions, constitute part of the Agreement. Subject to the provisions of this Grant Agreement, HUD will make the funding assistance specified here available to the Grantee upon execution of the Agreement by the parties. The funding assistance specified in the Funding Approval may be used to pay costs incurred on or after the date specified in 4 above provided the activities to which such costs are related are carried out in compliance with all applicable requirements. Pre -agreement costs may not be paid with funding assistance specified here unless they are authorized in HUD regulations or approved by waiver and listed in the special conditions to the Funding Approval. The Grantee agrees to assume all of the responsibilities for environmental review, decision making, and actions, as specified and required in regulations issued by the Secretary pursuant to Section 104(g) of Title I and published in 24 CFR Part 58. The Grantee further acknowledges its responsibiliip for adherence the Agreement by subrecipient entities to which it makes funding assistance hereunder available. U.S. ;Sec men of n Development (signet re arpe, (tle �dp1p1 Grantee (signature, name, title, date) X K i lams, Deputy Assistant X r tar for Grant Pro rams CITY OF MIAMI FLORIDA heck On y One: Category of tle Asa stance for this 8. Special 9a. Date HUD Received Submission: Funding Action I Conditions a. Entitlement, Sec106(b) (check one) b. State -Administered, Sec 106(d)(1) c. HUD -Administered Small Cities, Sec 106(d)(2)(B) d. Indian CDBG Programs, Sec 106 (A)(1) e. Surplus Urban Renewal Funds, Sec 112(b) f. Special Purpose Grants, Sec 107 g. Loan Guarantee, Sec 108 ao. uate urantea NOSITI00: None 9c. Date of Start of Program Attached X 06/01/94 11. Amount of Community Development Block Grant a. Funds Reserved For This Grantee X b. Funds Now Being Approved c. Reservation To Be Cancelled 01 a minus 11 b) 2,000,000 Loan Guarantee Acceptance Provisions for Designated Agencies The public agency hereby accepts the Grant Agreement executed by the Department of Housing and Urban Development on the above date with respect to the above grant number(s) as Grantee designated to receive loan guarantee assistance, and agrees to comply with the terms and conditions of the Agreement, applicable regulations, and other requirements of HUD now or hereafter in effect, pertaining to the assistance provided it. Batch 176 PrIlllm y 0 y a Previous Editions are Obsolete a. Orig.Funding Approval b. Amendment I X c. Amendment 1 FY 94 FY FY 12b. Name and Complete Address of Public Agency 12c. Signature of Authorized Official (name, title, date) for Designated Public Agency X MR Ana Document No. No. Pro ect Number 9' M 1 0013 Pr_o ect Number Project Number Cate o Amount Effective Date F Amount ou Date Entered PAS Date Entered LOCCS Batch Number Transaction Code JEntered by: I Verified by: form HUD•1082 (4/14/93) 24 CFR 570 95- 674 ovP0 OENTO,�ON U. S ,partment of Housing and Urban DevelopmL. Washington, D.C. 20410.7000 Q OFFICE OF THE ASSISTANT SECRETARY FOR COMMUNITY PLANNING AND DEVELOPMENT ,It IN ?_ 8 1995 Mr. Cesar H. Odio City Manager 300 Biscayne Boulevard Way Miami, FL 33131 Dear Mr. Odio: Please be informed that City of Miami's (hereafter "the City") request for loan guarantee assistance under'Section 108.of the Housing and Community Development Act of 1974, as amended, has been approved. Such assistance is to consist of the guarantee of notes or other obligations in the principal amount of $2,000,000, plus interest thereon, which shall be issued to finance activities described in application B-94-MC-12-0013. This offer of commitment is subject, however, to the conditions specified in Item 8 of the Funding Approval (Form HUD- 7082). The first condition provides that in the event the City fails to submit notes or other obligations for inspection and guarantee by the Secretary of the Department of Housing and Urban Development (HUD) before July 1, 1996, the offer will expire as of such date. The second condition provides that the repayment schedule for the guaranteed loan must be acceptable to HUD. The third condition specifies that the City furnish such additional security for the repayment of the guaranteed loan as HUD deems appropriate. This security will be specified in the Contract for Loan Guarantee Assistance, which will be executed at the time the notes or other obligations are issued. Please furnish us, at the address specified in the last paragraph of'this letter, your timetable for execution of the activities described in your application. These activities will be financed through a public offering of Section 108 obligations. If you need funds prior to the next public offering, please notify HUD at the address below and instructions for obtaining interim financing will be provided. 95-- 674 L 2 In addition to the special conditions cited above, the release of funds for the project to be carried out with loan guarantee assistance is conditioned upon compliance by the City with all applicable provisions of the HUD Environmental Review Procedures (24 CFR Part 58). In this regard a request for release of funds must be approved by HUD prior to the obligation or utilization of funds for the project. Please execute the three enclosed copies of the Funding Approval and return two copies to the Department of Housing and Urban Development, Office of Block Grant Assistance, Financial Management Division, Room 7180, 451 Seventh Street, S.W., Washington, D.C. 20410. One copy should be retained for your files. The Funding Approval amends the Grant Agreement authorized by HUD on June 16, 1994, under the Funding Approval for grant number B-94-MC-12-0013 to include loan guarantee assistance. The Grant Agreement thereby incorporates this Funding Approval, the loan guarantee application, and Subpart M of the block grant regulations governing loan guarantees, as well as such agreements, schedules, and other documentation required to be submitted or executed in connection therewith. Very sincerely yours, Deputy Assistant Sec for Grant Programs Enclosures 95- 6'74 L. J 8. Special Conditions: (a) In the event the applicant shall fail to submit a promissory note or other obligation to the Secretary for inspection and guarantee before July 1, 1996, this commitment shall terminate and expire as of such date. i { (b) The repayment schedule for the guaranteed loan shall be acceptable to the Secretary. (c) Pursuant to 24 CFR 570.705(b)(3), the applicant shall furnish such additional security for the loan guarantee as the Secretary deems appropriate. Such additional security shall be specified in the contract required under 24 CFR 570.705(b)(1). 95- 674 CITY OF MIAMI, FLORIDA INTER -OFFICE MEMORANDUM TO ; Honorable Mayor and Members of the City Commission FROM : Cesar H. Odlo City Manager RECOMMENDATION DATE : SEP -, 5 ' 1995 FILE SUBJECT : Agreement with U.S. HUD for Section 108 Loan Guarantee for Goombay Plaza Project of REFERENCES: C. Grove Local Devel. Corp. ENCLOSURES: City Commission Meeting SPntpmhpr 14 19A5 It is respectfully recommended that the City Commission approve the attached resolution authorizing the City Manager to enter into an agreement with the U.S. Department of Housing and Urban Development (HUD) for a Section 108 Loan Guarantee in the amount of $2 million dollars to help finance the Goombay Plaza Project of the Coconut Grove Local Development Corporation (CGLDC,) and further authorizing the City Manager to accept the Economic Development Initiative (EDI) grant of $300,000.00 for the same project to be used with the Section 108 Loan Guarantee. BACKGROUND NET has analyzed the need to enter into agreement with HUD and accept the Economic Development Initiative Grant to assist in the development of the Goombay Plaza Project of the Coconut Grove Local Development Corporation. On October 29, 1994, the City, on behalf of Coconut Grove Local Development Corporation, submitted an application to HUD for both the Section 108 and the EDI grant for the Goombay Plaza Project. Coconut Grove Local Development Corporation proposes to develop a restaurant and -other facilities having a Caribbean/African-American theme, located In the West Grove to be a catalyst for economic revitalization of the area. On June 28, 1995, the City was formally notified by HUD that the Section 108 was approved /I LOUV191vNr11VIII. Mci 11-UDI .aw U;J-:iS3) utuce O' 'nmu HW515R of 20515R and Devi _,rent 59 6000375 CITY OF MIAMI, FLORIDA Block Grant of standard Form-4241 B-94—MC-12-0013 6b. Rolect ! Grant Number 2 300 BISCAYNE BOULEVARD WAY — SUITE 420 tic. Pro)ect /Brant Number 3 6c. Amount A MIAMI, FL 33131 Pproved Grant Agreement ::I This Grant Agreement between the Department of Housing and Urban Development (HUD) and the•above named Grantee is ma pursuant to the authority of Title I of the Housing and Community Development Act of 1974, as amended, (42 U.S.C. 5301 et se The Grantee's submissions for Title 1 assistance, the HUD regulations at 24 CFR Part 570 (as now in effect and as may be amend from time to time), and this Funding Approval, including any special conditions, constitute part of the Agreement. Subject to t provisions of this Grant Agreement, HUD will make the funding assistance specified here available to the Grantee upon execution the Agreement by the parties. The funding assistance specified in the Funding Approval may be used to pay costs incurred on after the date specified in 4 above provided the activities to which such costs are related are carried out in compliance with applicable requirements. Pre -agreement costs may not be paid with funding assistance specified here unless they are authorized HUD regulations or approved by waiver and listed in the special conditions to the Funding Approval. The Grantee agrees to assur all of the responsibilities for environmental review, decision making, and actions, as specified and required in regulations issued ! the Secretary pursuant to Section 104(g) of Title I and published in 24 CFR Part 58. The Grantee further acknowledges i responsibili adherence the Agreement by subrecipient entities to which it makes funding assistance hereunder available. U.S. o Development (Nana a , de Grantee (signature, name, title. date) Xx I sec to for GarantDProtratnseistant Fr77mock O A��nly . esgory o rtls Aas stance or Ut a 8. Special Conditions chock 6 a. Entitlement. Sec106(b) (check ( anal r b. State -Administered. Sac 106(d)(1) None I c. HUD -Administered Small Clties, Sac 10e(d)(2)(B) d. Indian CDBG Programs, Sec toe (4)(1) a. Surplus Urban Renewal Finds, Sec 112(b) f. Spacial Purpose Grants, See 107 a. Loan Guarantee, Sac toe Attached X 11. Amount of community Dec menp t Block Grant a. Funds Reserved For This Grantee X b. Funds Now tieing Approved c. Reservation To Be Cancelled (11 a mInus 11 2,000,000 Loan Guarantee Acceptance Provisions for Designated Agencies The public agency hereby accepts the Grant Agreement executed by the Department of Housing and Urban Development on the above date with respect to the above grant number(s) as Grantee designated to receive loan guarantee assistance, and agrees to comply with the terms and conditions of the Agreement, applicable regulations, and other requirements of HUD now or hereafter in effect, Pertaining to the assistance provided it. Batch 11 9I =I P' OM- V A n__ a• Orig.Funding Approval b. Amendment n of Fi am Year c. Amendment 1 Fy 94 Fy F, 12b. Name and Complete Address of Public Agency 12c. Signature of Authorized Official (name, title, date) for Designated Public Agency X form HUD-7082 (4/10 r G 17 4 17 24 CFR f X e 'r a ♦ ♦ n i F a` `,#ti4 DEV` Dq wasnington, u.G. Zoa10-woo OFFICE OF THE ASSISTANT SECRETARY FOR COMMUNITY PLANNING AND DEVELOPMENT 1IN P. 8 1995 Mr. Cesar H. Odio City Manager 300 Biscayne Boulevard Way Miami, FL 33131 Dear Mr. Odio: Please be informed that City of Miami's (hereafter "the City") request for loan guarantee assistance under'Section 108 of the Housing and Community Development Act of 1974, as amended, has been approved. Such assistance is to consist of the guarantee of notes or other obligations in the principal amount of $2,000,000, plus interest thereon, which shall be issued to finance activities described in application B-94-MC-12-0013. This offer of commitment is subject, however, to the conditions specified in Item 8 of the Funding Approval (Form HUD- 7082). The first condition provides that in the event the City fails to submit notes or other obligations for inspection and guarantee by the Secretary of the Department of Housing and Urban Development (HUD) before July 1, 1996, the offer will expire as of such date. The second condition provides that the repayment schedule for the guaranteed loan must be acceptable to HUD. The third condition specifies that the City furnish such additional security for the repayment of the guaranteed loan as HUD deems appropriate. This security will be specified in the Contract for Loan Guarantee Assistance, which will be executed at the time the notes or other obligations are issued. Please furnish us, at the address specified in the last paragraph of'this letter, your timetable for execution of the activities described in your application. These activities will be financed through a public offering of Section 108 obligations. If you need funds prior to the next public offering, please notify HUD at the address below and instructions for obtaining interim financing will be provided. 2 In addition to the special conditions cited above, the, release of funds for the project to be carried out with loan guarantee assistance is conditioned upon compliance by the City with all applicable provisions of the HUD Environmental Review Procedures (24 CFR Part 58). In this regard a request for release of funds must be approved by HUD prior to the obligation or utilization of funds for the project. Please execute the three enclosed copies of the Funding Approval and return two copies to the Department of Housing and Urban Development, Office of Block Grant Assistance, Financial Management Division, Room 7180, 451 Seventh Street, S.W., Washington, D.C. 20410. One copy should be retained for your files. The Funding Approval amends the Grant Agreement authorized by HUD on June 16, 1994, under the Funding Approval for grant number B-94-MC-12-0013 to include loan guarantee assistance. The Grant Agreement thereby incorporates this Funding Approval, the loan guarantee application, and Subpart M of the block grant regulations governing loan guarantees, as well as such agreements, schedules, and other documentation required to be submitted or executed in connection therewith. Enclosures ro very sincerely yours, putli Assistant Sec for Grant Programs 95-w 674 8. Special Conditions: (a.) In the event the applicant shall fail to submit a promissory note or other obligation to the Secretary for inspection and guarantee before July 1, 1996, this commitment shall terminate and expire as of such date. (b) The repayment schedule for the guaranteed loan shall be acceptable to the Secretary. - ' (c) Pursuant to 24 CFR 570.705(b)(3), the applicant shall furnish such additional security for the loan guarantee as the Secretary deems appropriate. Such additional security shall be specified in the contract required under 24 CFR 570.705(b)(1). 9-5'- 674