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HomeMy WebLinkAboutcover memoCITY OF MIAMI, FLORIDA INTER -OFFICE MEMORANDUM TO : FROM : The Honorable Mayor and Mbers of T)ity Corr r ission c5 Jo rriola C ty Manager DATE: SUBJECT: FEB 13 2004 FILE Transfer of $428,386.24 in G.O.B. funds to the Housing Loan Recovery Fund REFERENCES : City Commission Agenda March 11, 2004 ENCLOSURES: RECOMMENDATION: It is respectfully recommended that the City Commission adopt the attached Resolution authorizing the transfer of General Obligation Bond ("G.O.B.") funds from the fund entitled "UDAG 2nd Mortgage Repayment," including funds in the amount of $391,994.06 from Account No. 625004.045999.4.502, from the repayment of principal on affordable housing construction loans and $36,392.18 from Account No. 625004.045999.4.323, from interest paid on affordable housing construction loans, for a total amount of $428,386.24 to the Housing Loan Recovery Fund for the purpose of protecting the City of Miami ("City") housing loan portfolio. BACKGROUND: In June 1998, the City Commission established a Housing Loan Recovery Fund for the purpose of protecting the City's housing loan portfolio for loans provided through the Community Development Block Grant ("CDBG") funded single-family and multi -family rehabilitation loan programs, Home Investment Partnerships ("HOME") program and State Housing Initiatives Partnership ("SHIP") program. The Administration is actively pursuing the resolution of delinquent loans and requires funding for collection and litigation efforts. During 2003, the City has received payments of principal and interest on General Obligation Bond ("G.O.B.") funds that were previously awarded as affordable housing construction loans for projects that have been completed. It is recommended that the City Commission adopt the attached Resolution authorizing the transfer of General Obligation Bond ("G.O.B.") funds from the fund entitled "UDAG 2nd Mortgage Repayment," including funds in the amount of $391,994.06 from Account No. 625004.045999.4.502, from the repayment of principal on affordable housing construction loans and $36,392.18 from Account No. 625004.045999.4.323, from interest paid on affordable housing construction loans, for a total amount of $428,386.24 to the Housing Loan Recovery Fund for the purpose of protecting the City of Miami ("City") housing loan portfolio. The proposed Resolution reallocates G.O.B. funds and does not have a budgetary impact on the. ; neral Fund. LMH/ R