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HomeMy WebLinkAbout07/20/2010 14 HOME CHDO Revolving Loan Agreement • • BUSINESS OF THE CITY COUNCIL YAKIMA, WASHINGTON AGENDA STATEMENT Item No. / . For Meeting of July 20, 2010 ITEM TITLE: Consideration of a Resolution authorizing the City Manager to execute an agreement with OIC of Washington for a revolving loan in the amount of $200,000 of HOME CHDO set aside to continue work in partnership with the City of Yakima in developing in -fill housing as a certified Community. Housing Development Organization. (CHDO) SUBMITTED BY: Michael Morales, CED Director (575 -3533) CONTACT PERSON / TELEPHONE: Archie M. Matthews, ONDS Manager (575 -6101) SUMMARY EXPLANATION: As the annual recipient of HOME Investments Partnerships (HOME) funds from the Department of Housing and Urban Development (HUD), the City of 0 Yakima is required to invest these funds for "Affordable Housing" within its jurisdiction. OIC of Washington as a Qualified CHDO is requesting a revolving loan in the amount of Two Hundred Thousand dollars ($200,000) to be used with OIC,s partnership contribution of Three Hundred Seventy Five Thousand dollars ($375,000) with the City of Yakima's infill replacement housing program. The City of Yakima in loaning HOME funds CHDO set aside enables OIC of Washington to assist the City in developing affordable housing for low to moderate income first -time homebuyers within Yakima. Resolution X Ordinance Other (Specify) Contract Mail to (name and address): Phone: Funding Source 2010 HOME Funds APPROVED FOR SUBMITTAL: �! Ci ty - anager STAFF RECOMMENDATION: Staff recommends approval . BOARD /COMMISSION /COMMITTEE RECOMMENDATION: The Neighborhood Development Committee met on July 7, 2010 and recommended that this proposal be forwarded to the full Council for approval. COUNCIL ACTION: ill • • RESOLUTION NO. 41) A RESOLUTION Authorizing the City Manager to execute an agreement with OIC of Washington for a revolving loan in the amount of $200,000 of HOME CHDO set aside to continue work in partnership with the City of Yakima to develop affordable in -fill housing for low to moderate income first -time homeowners. WHEREAS, 010 of Washington is a Qualified Community Housing Development Organization; and WHEREAS, OIC of Washington has requested a revolving loan in the amount of Two Hundred Thousand • dollars ($200,000) in HOME CHDO set -aside funding in partnership'with the City of Yakima to develop affordable in -fill housing for low to moderate income first -time homeowners. WHEREAS, the City is a recipient and is responsible for the administration of its annual allocation of HOME funds made available through the United States Department of Housing and Urban Development (HUD); and WHEREAS, federal regulations goveming the use of HOME funds for addressing affordable housing activities allow the City to use such funds to provide assistance to Community Housing Development Organizations (CHDO) to develop such housing; and WHEREAS, the provision of HOME assistance in partnership with OIC of Washington's contribution of Three Hundred Seventy Five Thousand ,dollars ($375,000) to construct five (5) 0 single family homes to assist in providing affordable housing to low to moderate income families . within the City of Yakima; and . WHEREAS, the assistance to OIC of Washington for affordable housing to low to moderate income families provides substantial 'appropriate public benefits to the City; now, therefore, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF YAKIMA: The City Manager is hereby authorized to execute a revolving loan agreement, with OIC of Washington in the amount of Two Hundred Thousand dollars ($200,000) in HOME CHDO set -aside funds for construction of five (5) single family dwellings in partnership with the City of Yakima to develop affordable in -fill housing for low to moderate income first -time homeowners. ADOPTED BY THE CITY COUNCIL this 20th day of July, 2010 • Micah Cawley, Mayor ATTEST: . • City Clerk • •