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HomeMy WebLinkAboutSummary FormAGENDA ITEM SUMMARY[FORM FILE ID: 6024 Date: 06/12/08 Requesting Department: Community Development Commission Meeting Date: 07/10/08 District Impacted: Type: ® Resolution ❑ Ordinance ❑ Emergency Ordinance ❑ Discussion Item ❑ Other Subject: De -obligation of funds from Allapattah Community Action, Inc. Purpose of Item: THE DE -OBLIGATION OF CITY OF MIAMI DEPARTMENT OF COMMUNITY DEVELOPMENT AFFORDABLE HOUSING TRUST FUND ("AHTF") FUNDS, IN THE AMOUNT OF $325,000, FROM ALLAPATTAH COMMUNITY ACTION, INC. ("ACA") IN CONNECTION WITH THE ALLAPATTAH COMMUNITY HOUSING PHASE II PROJECT; ALLOCATING SAID FUNDS TO THE CITY OF MIAMI DEPARTMENT OF COMMUNITY DEVELOPMENT AFFORDABLE HOUSING TRUST FUND, FOR THE DEVELOPMENT OF AFFORDABLE HOUSING. Background Information: PLEASE SEE ATTACHED. Budget Impact Analysis Is this item related to revenue? Is this item an expenditure? If so, please identify funding source below. General Account No: Special Revenue Account No: CIP Project No: Is this item funded by Homeland Defense/Neighborhood Improvement Bonds? Start Up Capital Cost: Maintenance Cost: Total Fiscal Impact: Dept. Director Chief Final Approvals (SIGN AND DATE) City Manager Page 1 of 1 AGENDA ITEM SUMMARY FORM CONTINUED Background Information: On January 25, 2006, Aliapattah Community Action, Inc. ("ACA") was approved by the U.S. Department of Housing and Urban Development ("U.S. HUD") to construct 79 units of housing for the elderly and one for a resident manager under the Section 202 Supportive Housing Program for the Elderly. Pursuant to Resolution No. 06-0711, adopted December 14, 2006, the Miami City Commission approved the transfer of funds, in the amount of $325,000, from the City of Miami Department of Community Development Affordable Housing Trust Fund ("AHTF") and allocated said funds, in the form of a bridge loan, to ACA to cover pre -development costs for the Aliapattah Community Housing Phase II Project, located at 1390 NW 24th Avenue, Miami, Florida. Pursuant to Resolution No. 07-0455, adopted August 1, 2007, the Miami City Commission granted ACA an extension of time from August 1, 2007 to March 31, 2008, to make the required balloon payment to the City for the above referenced $325,000 bridge loan. On September 27, 2007, the City of Miami ("City") owned property, located at 1390 NW 24 Avenue, Miami, FL., was conveyed through a special warranty deed to ACA. Due to delays in negotiations between the City, U.S. HUD and ACA as to the nature of the security instrument to be used to secure the $325,000 loan compared to the AHTF Guidelines, closing did not take place. On September 28, 2007, ACA closed the Section 202 grant with U.S. HUD. Since ACA has successfully closed said grant, there is no need for the previously allocated funds in the amount of $325,000. The Administration recommends the de -obligation of City of Miami Department of Community Development AHTF funds, in the amount of $325,000, from ACA and the allocation of said funds to the City of Miami Department of Community Development AHTF for the development of Affordable Housing.