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HomeMy WebLinkAboutSummary FormA AGENDA ITEM SUMMARY FORM Law Department Matter ID No. FILE ID: /O —D 11 l Z 08-2147 Date: 09/02/2010 Requesting Department: Community Development Commission Meeting Date: 10/14/2010 District Impacted: 3 Type: ® Resolution ❑ Ordinance ❑ Emergency Ordinance ❑ Discussion Item ❑ Other Subject: APPROVING AN EXCEPTION TO THE AFFORDABLE HOUSING TRUST FUND GUIDELINES Purpose of Item: APPROVING AN EXCEPTION TO THE AFFORDABLE HOUSING TRUST FUND ("AHTF") GUIDELINES, AS SPECIFIED IN EXHIBIT "A", ATTACHED AND INCORPORATED, FOR PENINSULA HOUSING DEVELOPMENT, INC. XVII ('PENINSULA") IN CONNECTION WITH THE LA PALMA APARTMENTS PROJECT ("PROJECT") AND ALLOWING THE SUBSTITUTION OF $253,787 IN COMMUNITY DEVELOPMENT BLOCK GRANT ("CDBG") FUNDS AND $2,021.55 IN HOME INVESTMENT PARTNERSHIP ("HOME") FUNDS WITH AHTF MONIES FOR THE PROJECT LOCATED AT 1040 SOUTHWEST 1ST STREET, MIAMI, FLORIDA IN THE FORM OF A GRANT; AUTHORIZING THE CITY MANAGER TO EXECUTE THE NECESSARY DOCUMENTS FOR SAID PURPOSE(S). Background Information: Please see attached Budget Impact Analysis NO Is this item related to revenue? NO Is this item an expenditure? If so, please identify funding source below. General Account No: Special Revenue Account No: CIP Project No: NO Is this item funded by Homeland Defense/Neighborhood Improvement Bonds? Start Up Capital Cost: Maintenance Cost: Total Fiscal Impact: Final Approvals (SIGN AND DATE) CIP Budget if using or receiving capital funds Grants Risk Manage t Purchasing Dept. Directo Chief C — City Manager Page 1 of 1 AGENDA ITEM SUMMARY FORM CONTINUED Background Information: On September 17, 2004, the Housing and Commercial Loan Committee ("HCLC") approved the allocation of CDBG funds in the amount of $261,340 to Peninsula in connection with the Project. On January 21, 2005, the HCLC approved the allocation of HOME funds in the amount of $487,213 to Peninsula in connection with said Project. Pursuant to Resolution No. 07-0203, adopted April 12, 2007, the Miami City Commission authorized the acceptance of the Affordable Housing Trust Fund Guidelines ("Guidelines"). On April 20, 2007, the HCLC approved the City of Miami Department of Community Development's recommendation to substitute HOME and CDBG expended funds in the amount of $2,021.55 and $253,787 with AHTF monies to prevent the recapture of those funds due to land banking. According to the AHTF Guidelines, the AHTF can only be provided to multifamily rental as a loan based on cash flow of the development. The AHTF provided to Peninsula Apartments was in the form of a grant rather than a loan based on the cash flow of the project as required by the guidelines. This grant approval was relied on by other creditors including HUD to provide financing to Peninsula. La Palma Apartments is a completed senior citizen project with 90 units located at 1040 SW 15t Street, Miami. The Administration recommends approving an exception to the AHTF Guidelines, as specified in Exhibit "A", attached and incorporated, for Peninsula in connection with the Project and allowing the substitution of $253,787 in CDBG funds and $2,021.55 in HOME funds with AHTF for the project located at 1040 Southwest 1s' Street, Miami, Florida to be a grant instead of a loan.