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HomeMy WebLinkAboutR-85-0755d 05 651 RESOLUTION NOS'�'ii A RESOLUTION AUTHORIZING; THE CITY MANAGER TO USE THE $101bOOo`OOO COMMUNITY DEVELOPMENT FLOAt FUNDS FROM THE CIIY'S 11TH YEAR COMMUNITY bEVELOPME'Nt BLOCK ORANt APPLICATION FOR 'PHASE I DCVELOPMENT WITHIN THE SOUTHEAST OVERTOWN/PARK WEST REDEVELOPMENT PROJECT AREA AS INTERIM FINANCING AND AS A POSSIALE �.:. SUBSTITUTE FOR SECTION 108 LOAN. �f. ,e ,.." WHEREAS, the Commission authorized the City Manager to amend the City of Miami's 11th Year Community Development Block Grant " Application to include a t10,000,000 Community hevelopment Float ,. Fund (Resolution No. 85=.753 ._) ; and y WHEREAS, the Commission established guidelines to be used by the City Manager in the allocation of the $10,000,000 Community Development Float Funds and authorized their use in Resolution :. No. 85-754 ; and WHEREAS, said Community Development Float Funds are needed finance communif development projects within the o e p y Southeast Overtown/Park West Area; and WHEREAS, the Southeast Overtown/Park West Redevelopment aY Project is eligible for use of the $10,0000000 Community Development Float Fund according to the guidelines established in Resolution No. 85-754 ); and WHEREAS. these funds overate at an interest rate lower than V;. that required by the City's Section 108 Loan for the Southeast Overtown/Park West Redevelopment Project NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY OF MIAMI, FLORIDA; l Section 1. The Commission authorizes the City Manager to use the $10,000#000 Community Development Float Funds from the City of Miami's 11t'h Year Community Development Black Grant Application for Phase I Develo;mont within the Southeast tivarto +n/Park West Project Area ae intori,m financing and as a ;ppasible aubatituto for the city of Miami's Section 11IR Leon for .. 4evelapmont of the Southeast Ovortown/fork 'Meat Ro4evoJQpme01+ CITY COMMSSION NrVTINC Of JUL to 1905 CMV Of MiM, PL� i A INTtRiOPPICE MEMONaNCUM fib. bAfi€ The Honorable Mayor and duly 1, 1985 Members of the City Cofnmiseioti su �i�ct Commission Authori2ation to € use outheadt 6vertown jfriri Sergio Pereita Park Nest Project City Manager E►�c�iisu��s { l� It is recommended that the City Commission approve the attached resolution authorizing the City Manager to use the $1U, d60, 000 Community bey,elo went Float Funds from_the Cat s -1 . p. - _ ._ y _.-_ 11th Year COMMUti ty Development Block Grant.,:_ appl16 can for Phase I developmment whin the Southeast Overtown/Park West Redevelopment Project Area as interim financing and as a possible substitute for Section ° 108 loan. The City Commission approved the Southeast Overtown/Park West Project (the "Project") as a whole and its first phase in principle (Resolution Nos. 82-755 and 83-972). Recently, the Commission completed selection of developers for Phase I of the Project, Also, the City Manager has already negotiated purchase - agreements with landowners situated on Blocks 24 and 37'within Phase I and has been authorized to close on these parcels. It is anticipated that many of these closings will occur by the end of Judy. 'Thus, development of Phase I of the Project is expected to proceed during this fiscal year. Funding of this development activity is crucial to the successful implementation of this project. In awarding a $7 million Section 108 Loan and a $14,040#000 Community Development Block Grant (CDBG) which includes a $10,000,000 Float Fund, _HUD has made available funds that can begin to ensure such success. The attached resolution authorizes the City Manager to use the $10,000*000 Community Development Float Fund, from the City's llth Year CDBG, within the Southeast Overtown/Park West Redevelopment Project Area for interim financing.The Project :.; itself fulfills the general guidelines and standards to be used for such funds, as established by HUD. In addition. the Project will benefit from the use of these funds because of the extremely low interest' rates they command' which can result in lower -priced housing being created. 85-7+ 5 T ,r s a July 18 m Maybe and City �o�►�t ssi��3 +fie attaer tad sc ltitic ti ais 4 at�thc �i s tti for to t dna 10 LoAn u the undo as a possible subatitutd This was done bedaus� a a ►ant already Provided to the Project- be at ari into1a to that is of t 1t Section 108 loan would eatablithed for the n slightly higher than that yr, k 4 1 t '4,