Title
Approval of the June 13, 2012 HRA meeting minutes.
Body
ROLL CALL
Present: Commissioners Bostrom, Brendmoen, Carter, Lantry, Stark, Thune, Tolbert
CONSENT
1. Approval of the May 23, 2012 HRA meeting minutes.
Commissioner Bostrom moved approval.
VOTE: Yeas - 7 Nays - 0
DISCUSSION
2. Resolution Approving and Authorizing and Amended HOME Loan Agreement for the West Side Flats Project, District 3, Ward 2.
Ms. Cecile Bedor, Executive Director for the HRA, stated that in 2011 the HRA Board approved a $1 million HOME loan for the West Side Flats Apartments project; this action was taken due to the spend down requirements of the available HOME funds. Ms. Bedor noted that both CDBG and HOME funds have federal requirements on how quickly you awards must be spent.
In June 2011 staff had contemplated a total loan of $2.5 million for this project and that amount has not changed. The project remains a 178-unit apartment building; 20% of the units will be affordable. The only revision to the development pertains to the alignment of Harriet Island Blvd.
Ms. Bedor stated that the HOME loan terms will essentially remain the same except for the interest rate which has been reduced from 2% to 0%. The amended HOME loan agreement must be executed by June 29, 2012, or the City is in jeopardy of losing the HOME funds due to, again, spend down requirements. Thus, staff is seeking approval of $1.5 million and will return to the Board with the final sources and uses within the next month.
Commissioner Stark asked what other sources and uses will be used to fund this project.
Ms. Marie Franchett, from PED stated that the sources and uses provided in this Board report are the same sources and uses that were provide last year. The project has undergone some changes, therefore a revised sources and uses will be provided when staff returns for final approval, which will include the development agreement and TIF. The sources and uses presented today provides for...
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