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HomeMy WebLinkAboutLegislationCity of Miami Legislation Resolution City Hall 3500 Pan American Drive Miami, FL 33133 www.miamigov.com File Number: 07-01120 Final Action Date: A RESOLUTION OF THE MIAMI CITY COMMISSION RELATING TO THE $500,000 OF STATE HOUSING INITIATIVES PARTNERSHIP PROGRAM ("SHIP") FUNDS LOANED TO ALLAPATTAH BUSINESS DEVELOPMENT AUTHORITY, INC. ("ABDA") IN CONNECTION WITH THE RALPH PLAZA II TOWNHOMES PROJECT; AUTHORIZING THE CONVERSION OF $250,000 OF SAID FUNDS TO A GRANT, WITH THE REMAINING BALANCE OF SAID FUNDS, IN THE AMOUNT OF $250,000, BEING REPAID TO THE CITY OF MIAMI FROM THE PROCEEDS OF THE SALE OF THE PROJECT TOWNHOMES; FURTHER AUTHORIZING THE CITY MANAGER TO EXECUTE ALL NECESSARY DOCUMENTS FOR SAID PURPOSE. WHEREAS, on April 28, 2006, the City of Miami Housing and Commercial Loan Committee ("HCLC") approved an allocation of $500,000 of State Housing Initiatives Partnership Program ("SHIP") funds to Aflapattah Business Development Authority, Inc. ("ABDA"), for the Ralph Plaza II Townhomes project; and WHEREAS, the terms of the loan require that upon the sale of each of the thirty (30) project townhomes, ABDA repay to the City of Miami ("City") the difference between the amount of City funded homebuyer second mortgage financing and $16,666.67; and WHEREAS, pursuant to Resolution No. 07-0136, adopted May 8, 2007, the City Commission granted ABDA an extension, until sixty (60) days after the sale of each project townhome, to pay to the City the amount due under the loan documents for each townhome; and WHEREAS, Miami -Dade County ("County") and the City have both requested that ABDA keep the price of the project townhomes affordable, ranging between $125,000 and $145,000; and WHEREAS, due to a substantial increase in construction costs and the fixed purchase price required by the County and the City, ABDA will not be able to repay to the City the entire $500,000 of SHIP funds from the proceeds of the sale of the project townhomes; and WHEREAS, some of the project homebuyers require closing cost assistance from the Metro -Miami Action Plan Trust ("MMAP"), which has given them until September 15, 2007, to close on their MMAP loans; and WHEREAS, the next HCLC meeting is scheduled for September 21, 2007; and WHEREAS, the Administration recommends converting to a grant $250,000 of the $500,000 of SHIP funds loaned to ABDA, with the remaining balance, in the amount of $250,000, being repaid from the proceeds of the sale of the townhomes; City of Miami Page' 1 of 2 Printed(bn: 8/29/2007 File Number: 07-01120 NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY OF MIAMI, FLORIDA: Section 1. The recitals and findings contained in the Preamble to this Resolution are adopted by reference! and incorporated as if fully set forth in this Section. Section 2. In connection with the Ralph Plaza II Townhomes project, the following are authorized: (1) the conversion to a grant of a portion of the $500,000 of SHIP funds loaned to ABDA, in the amount of $250,000, and (2) repayment to the City of the remaining balance, in the amount of $250,000, from the proceeds of the sale of the project townhomes. Section 3. The City Manager is authorized{1} to execute to execute all necessary documents for said purposes. Section 4. This Resolution shall become effective immediately upon its adoption and signature of the Mayor.(2) APPROVED AS TO FORM AND CORRECTNESS: JORGE F-1 ANDEZ CITY AT RN Y Footnotes: {1} The herein authorization is further subject to compliance with all requirements that may be imposed by the City Attorney, including but not limited to those prescribed by applicable City Charter and Code provisions. {2} if the Mayor does not sign this Resolution, it shall become effective at the end of ten (10) 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. City of Miami Page 2 of 2 Printed On: 8/29/2007