Title
Resolution approving and authorizing the sale and conveyance of 1883 Nevada Avenue East to Greater Frogtown Community Development Corporation, waiver of the 45 day written notice in the HRA Disposition Policy, authorization to enter into an agreement and authorization of expenditures for redevelopment, District 2, Ward 6
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 Minn. Stat Section 469.002, Subd. 14; and
WHEREAS, the HRA has duly adopted and there is now lawfully in effect in the City of Saint Paul, Minnesota, a City Consolidated Five-Year Plan; and
WHEREAS, it is in the interests of the HRA and the City of Saint Paul and of the general public to invest federal Community Development Block Grant (CDBG) funds in strategic property acquisitions in a timely manner consistent with the annual nature of the grant and with HUD spending expectations; and
WHEREAS, the HRA presently owns property located at 1883 Nevada Avenue East, Saint Paul, Minnesota (the “Property”); and
WHEREAS, the HRA received a proposal from Greater Frogtown Community Development Corporation (the “Purchaser) for acquisition, rehabilitation, and resale to a qualified household of the Property (the “Proposal”) and this Proposal satisfies a HUD National Objective and provides housing opportunities to persons of low- and/or moderate-incomes; and
WHEREAS, HRA staff analyzed the Proposal and hereby recommends an award of $167,604.09 in CDBG funds to Purchaser for the acquisition, rehabilitation, and resale of the Property, as further described in the attached “Award Recommendation”, reservation of $7,395.91 in CDBG funds for fees and expenses relating to the Property incurred by the HRA; and $5,000.00 in Inspiring Communities program funds to assist the qualified homebuyer with its costs to purchase; and
WHEREAS, this Proposal, pursuant to due notice thereof was published in the Saint Paul Pioneer Press and a public hearing on this Proposal was held on Wednesday, August 28, 2019 at 2:00 pm, central daylight time, on the third floor of City Hall, 15 West Kellogg Boulevard, Saint Paul, Minnesota; and
WHEREAS, by this resolution the HRA finds a public purpose for the sale and conveyance of the Property to Purchaser for rehabilitation;
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 of Commissioners hereby supports the Award Recommendation and expenditure of CDBG funds of up to $175,000.00 to finance the Purchaser’s acquisition, rehabilitation and resale of the Property and related HRA expenses, and authorizes $5,000.00 of Inspiring Communities program funds to assist the qualified homebuyer with its costs to purchase.
2. The HRA Board of Commissioners hereby authorizes the sale and conveyance of the Property to Purchaser on the terms and conditions described in the accompanying staff report and Award Recommendation.
3. The HRA Executive Director is authorized and directed to finalize all documents and agreements necessary to effectuate the sale and conveyance of the Property to Purchaser
4. The HRA Board of Commissioners approves of an agreement with Purchaser consistent with the approvals contained in this Resolution and accompanying staff report, which will contain applicable compliance requirements, and authorizes the HRA Executive Director to negotiate said development agreement consistent with the intent of this Resolution and accompanying staff report, which shall be approved by the City Attorney Office.
5. The HRA Board of Commissioners hereby waives the 45-day written notice responsibility contained in paragraph 3 of Section B of the HRA Disposition Policy for activities authorized by this Resolution.
6. The HRA Executive Director, staff and legal counsel for the HRA are further directed and authorized to take all actions necessary to implement this Resolution. The HRA’s Executive Director is authorized to execute any documents and instruments in connection with this Resolution except that the HRA Chair/Commissioner shall execute the deed of conveyance to the Purchaser.