Title
Approval of a $943,592 Deferred HOME Loan for Rolling Hills District 5, Ward 5.
Body
WHEREAS, the Housing and Redevelopment Authority of the City of Saint Paul, Minnesota (the "HRA") is a public body corporate and politic established pursuant to the provisions of Minnesota Statutes, Section 469.001, et seq. (the "Act"); and
WHEREAS, the HRA has the power to engage in development or redevelopment activities under Minnesota law and the HRA is authorized to engage in activities relating to (a) housing projects and development, (b) removal and prevention of the spread of conditions of blight or deterioration, (c) bringing substandard buildings and improvements into compliance with public standards, (d) disposition of land for private redevelopment, and (e) improving the tax base and the financial stability of the community, and to engage in the aforementioned activities when these needs cannot be met through reliance solely upon private initiative and which can also be undertaken in targeted neighborhoods; and is authorized to create redevelopment projects as defined in Minnesota Statute Section 469.002, Subd. 14; and
WHEREAS, by Resolution No. 12-1463 the HRA approved a loan in the amount of $56,408 for emergency roof repairs at 1336 Westminster - one of the six apartment buildings which comprise the Rolling Hills Apartments ("Apartments"); and
WHEREAS, RH-St. Paul Development, LLC, (the "Developer") is asking for $943,592 of HOME funds to assist in the acquisition and rehabilitation of the Apartments and construction of a new on-site community building ("Project"); and
WHEREAS, after renovation and construction the Project will continue as an affordable housing complex with supportive housing for long term homeless residents, homeless families, refugees and for women in the Breaking Free program, all as more fully described in the staff report; and
WHEREAS, HRA staff has analyzed the Developer's request and staff is recommending to this Board for approval a $943,592 HOME loan on the terms and conditions described in the accompanying Board report ("Project Financing"); and
WHEREAS, the HRA Board determines that there is proper public purpose to approve Project Financing by allocating HOME funds of $943,592 for the Project: and
WHEREAS, the Saint Paul Sustainable Building Policy will apply only to the construction of the new community center portion of the project, and that community center is less than 4,000 square feet; and
WHEREAS, it is the opinion of PED staff and Center for Sustainable Building Research personnel that applying the entire Sustainable Building Policy to the community center will disproportionately increase costs and administrative burden, and
WHEREAS, PED staff recommends granting a partial waiver to the Sustainable Building Policy, by waiving the requirement to follow a sustainable building rating system and apply only the "Saint Paul Overlay" portion of the Sustainable Building Policy to the community center.
NOW, THEREFORE, BE IT RESOLVED by the Board of Commissioners of the Housing and Redevelopment Authority of the City of Saint Paul, Minnesota, that:
1. The HRA Board hereby approves the Project Financing, and the HRA Chair or Commissioner, HRA Executive Director and Director, Office of Financial Services are hereby authorized and directed to execute all loan documents on behalf of the HRA. The Executive Director of the HRA is hereby authorized and directed to negotiate and agree to the terms of the loan documents needed to effectuate this Resolution provided that such documents are acceptable in form and substance to the Saint Paul City Attorney.
2. The HRA Board hereby grants a partial waiver to the Saint Paul Sustainable Building Policy, and requires that the community center comply only with the "Saint Paul Overlay" portion of the Sustainable Building Policy, as determined acceptable to PED staff.
3. The HRA Executive Director and staff are hereby authorized and directed to take such further action as necessary to implement this Resolution.
4. The budget amendment attached hereto is approved.