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HomeMy WebLinkAbout20132450.tiff%See &n rec/ec/ A�se9//e/ D4 o tYS -675.95 RESOLUTION RE: APPROVE AUTHORIZING ASSIGNMENT TO THE CITY OF FORT COLLINS HOUSING AUTHORITY OF A PRIVATE ACTIVITY BOND ALLOCATION OF WELD COUNTY, COLORADO, PURSUANT TO THE COLORADO PRIVATE ACTIVITY BOND CEILING LOCATION ACT WHE AS, the Board of County Commissioners of Weld County, Colorado, pursuant to Colorado statut and the Weld County Home Rule Charter, is vested with the authority of administering the airs of Weld County, Colorado, and WHEREAS, th Board of County Commissioners of Weld County, Colorado, is authorized and empowered under t laws of the State of Colorado (the "State") to issue revenue bonds for the purpose of providing sing -family mortgage loans to low- and moderate -income persons and families, and WHEREAS, the Internal evenue Code of 1986, as amended (the "Code"), restricts the amount of tax-exempt bonds ("Priv to Activity Bonds") which may be issued in the State to provide such mortgage loans and for certain they purposes, and WHEREAS, pursuant to the Co , the Colorado legislature adopted the Colorado Private Activity Bond Ceiling Allocation Act, Part 1 of Article 32 of Title 24, Colorado Revised Statutes (the "Allocation Act"), providing for the allocatio of the State Ceiling among the City of Fort Collins Housing Authority (the "Authority") and other g vernmental units in the State, and further providing for the assignment of such allocations from suc other governmental units to the Authority, and WHEREAS, pursuant to an allocation under ection 24-32-1706 of the Allocation Act, the Board of County Commissioners of Weld County, Col ado, has an allocation of the 2013 State Ceiling for the issuance of a specified principal am nt of Private Activity Bonds prior to September 15, 2013 (the "2013 Allocation"), and WHEREAS, the Board of County Commissioners of Wel County, Colorado, has determined that, in order to increase the availability of adequate a dable housing for low- and moderate -income persons and families within Weld County, Colora , and elsewhere in the State, it is necessary or desirable to provide for the utilization of all or a portio of the 2013 Allocation, and WHEREAS, the Board of County Commissioners of Weld County, lorado, has determined that the 2013 Allocation, or a portion thereof, can be utilized most efficient by assigning it to the Authority to issue Private Activity Bonds for the purpose of providing single -fa ' y mortgage loans to low- and moderate -income persons and families, and WHEREAS, the Board of County Commissioners of Weld County, Colorado, as determined to assign $7,774,135 of its 2013 Allocation to the Authority, which assignment is to b videnced by an Assignment of Allocation between the Board of County Commissioners of eld County, Colorado, and the Authority (the "Assignment of Allocation"). 2013-2450 FI0057 ASSIGNMENT OF ALLOCATION - CITY OF FORT COLLINS HOUSING AUTHORITY PAGE 2 NOW, THEREFORE, BE IT RESOLVED by the Board of County Commissioners of Weld County, Colorado, as follows: 1. The assignment to the Authority of $7,774,135 of the Weld County, Colorado, 2013 Allocation be and hereby is approved. The form and substance of the Assignment of Allocation be and hereby are approved; provided, however, that the Board of County Commissioners of Weld County, Colorado, be and hereby is authorized to make such technical variations, a"ditions, or deletions in or to such Assignment of Allocation as it shall deem ne : ssary or appropriate and not inconsistent with the approval thereof by this Reso G ion. 3. The Board County Commissioners of Weld County, Colorado, be and hereby is authorized to xecute and deliver the Assignment of Allocation on behalf of Weld County, Colorado, and to take such other steps or actions as may be necessary, useful, or conven -nt to effect the aforesaid assignment in accordance with the intent of this Resolution. 4. If any section, paragrap i, clause, or provision of this Resolution shall for any reason be held to be invalid or . nenforceable, the invalidity or unenforceability of such section, paragraph, claus or provision shall not affect any of the remaining provisions of this Resolution. 5. This Resolution shall be in full for and effect upon its passage and approval. The above and foregoing Resolution was, on "otion duly made and seconded, adopted by the following vote on the 28th day of August, A.D., 201 ATTEST3,_ Weld County Clerk to the Boa BOARD WEL OUNTY COMMISSIONERS COLORADO m F. Garcia, Ch d glas ademach-r, Pro- em 9"e _ Deputy Clerk : the Board , F' --BY: ED AS -T Attorney Date of signature: //✓a/.9 can P. Conway EXCUSED Mike Freeman EXCUSED Barbara Kirkmeyer 2013-2450 FI0057 CERTIFICATE OF WELD COUNTY ATTORNEY CONCERNING ASSIGNMENT OF PRIVATE ACTIVITY BOND VOLUME CAP ALLOCATION I, the undersigned, hereby certify that I am the County Attorney of Weld County, Colorado (the "County"), and that: 1. The County is a legally and regularly created, established, organized, and existing county under the Constitution and laws of the State of Colorado, its full corporate name being "Weld County, Colorado." 2. The County has been previously notified that, pursuant to Section 24-32-1706 of the Colorado Private Activity Bond Ceiling Allocation Act, Part 17 of Article 32 of Title 24, Colorado Revised Statutes (the "Allocation Act"), it has an allocation of the State ceiling (as defined in the Allocation Act) for 2013 in the amount of $7,774,135.00 (the "2013 Allocation"). 3. Attached hereto as Exhibit A is a true and correct copy of a resolution and the related minutes thereto (the "Resolution") authorizing the assignment to the City of Fort Collins Housing Authority (the "Authority") of all or a portion of the 2013 Allocation in an amount equal to $7,774,135.00 (the "Assigned Allocation"), and authorizing the execution and delivery of an Assignment of Allocation, dated as of August 28, 2013 (the "Assignment of Allocation"), between the County and the Authority in connection therewith, which Resolution was duly adopted by the Board of County Commissioners of the County (the "Board") at a meeting thereof held on August 28, 2013, at which meeting a quorum was present and acting throughout and which Resolution has not been revoked, rescinded, repealed, amended or modified and is in full force and effect on the date hereof. 4. The meeting of the Board at which action has been taken with respect to the Assignment of Allocation was a regular meeting properly called and open to the public at all times. 5. With respect to the Assigned Allocation, the County has not heretofore: (a) issued private activity bonds; (b) assigned the Assigned Allocation to another "issuing authority," as defined in the Allocation Act; (c) made a mortgage credit certificate election; or (d) treated the Assigned Allocation as an allocation for a project with a carryforward purpose, as defined in the Allocation Act. 6. The Assignment of Allocation, attached hereto as Exhibit B, is in the form presented to and approved by the Board at the meeting thereof held on August 28, 2013. 7. On or before the date hereof, counterparts of the Assignment of Allocation were officially executed by the Chairman of the Board of County Commissioners and the Clerk to the Board. On the date of such signing, such persons were the duly sworn, qualified and acting officers of the County authorized to execute the Assignment of Allocation and holding the offices of the Chairman of the Board of County Commissioners and Clerk to the Board, respectively. M:\ESTHER\MONICA\County Attorney Cat PAB 2013 -City of Fort Collins HA.docx 8. The County has authorized the execution, delivery and due performance of the Assignment of Allocation, and the execution and delivery of the Assignment of Allocation and the compliance by the County with the provisions thereof, will not, to the best of my knowledge, conflict with or constitute on the part of the County a breach of or a default under any existing Colorado law, County resolution, court or administrative regulation, decree or order or any agreement or other instrument to which the County is subject or by which it is bound. 9. To the best of my knowledge, there does not exist any action, suit, proceeding or investigation pending, or threatened against the County, contesting: (a) the corporate existence of the County, (b) the title of its present officers or any of them to their respective offices, including, without limitation, the members of the Board, (c) the validity of the Assignment of Allocation or (d) the power of the County to execute, deliver or perform the Assignment of Allocation. 10. No referendum petition has been filed concerning the Resolution; and to the best of my knowledge none is being circulated or planned for circulation. WITNESS my hand this 28th day of August, 2013. ruce T. Barker, County Attorney 2 M:\ESTHER\MONICA\County Attorney Cert PAB 2013 -City of Fort Collins HA.docx EXHIBIT A RESOLUTION A-1 EXHIBIT B ASSIGNMENT OF ALLOCATION B-1 ASSIGNMENT OF ALLOCATION (Single Family Mortgage Revenue Bonds) This Assignment of Allocation (the "Assignment"), dated this 28th day of August, 2013, is between Weld County, Colorado, (the "Assignor") and the City of Fort Collins Housing Authority (the "Assignee"). WITNESSETH: WHEREAS, the Assignor and the Assignee are authorized and empowered under the laws of the State of Colorado (the "State") to issue revenue bonds for the purpose of providing single-family mortgage loans to low- and moderate -income persons and families; and WHEREAS, the Internal Revenue Code of 1986, as amended (the "Code"), restricts the amount of tax-exempt bonds ("Private Activity Bonds") which may be issued in the State to provide such mortgage loans and for certain other purposes (the "State Ceiling"); and WHEREAS, pursuant to the Code, the Colorado legislature adopted the Colorado Private Activity Bond Ceiling Allocation Act, Part 17 of Article 32 of Title 24, Colorado Revised Statutes (the "Allocation Act"), providing for the allocation of the State Ceiling among the Assignee and other governmental units in the State, and further providing for the assignment of allocations from such other governmental units to the Assignee; and WHEREAS, pursuant to an allocation under Section 24-32-1706 of the Allocation Act of the Colorado Revised Statutes, the Assignor has an allocation of the 2013 State Ceiling for the issuance of a specified principal amount of Private Activity Bonds prior to September 15, the "Allocation"); and WHEREAS, the Assignor has determined that, in order to increase the availability of adequate affordable housing for low- and moderate -income persons and families within Weld County, Colorado, and elsewhere in the State, it is necessary or desirable to provide for the utilization of all or a portion of the Allocation; and WHEREAS, the Assignor has determined that the 2013 Allocation, or a portion thereof, can be utilized most efficiently by assigning it to the Assignee to issue Private Activity Bonds for the purpose of providing single-family mortgage loans to low- and moderate -income persons and families ("Revenue Bonds"), and the Assignee has expressed its willingness to attempt to issue Revenue Bonds with respect to the 2013 Allocation; and 1 M:\ESTHER\MOMCA\Assignment of Allocation PAB 2013 -City of Fort Collins HA.docx WHEREAS, the Weld County Board of Commissioners of the Assignor has determined to assign to the Assignee $7,774,135.00 of its 2013 Allocation, and the Assignee has agreed to accept such assignment, which is to be evidenced by this Assignment. NOW, THEREFORE, in consideration of the premises and the mutual promises hereinafter set forth, the parties hereto agree as follows: 1. The Assignor hereby assigns to the Assignee $7,774,135.00 of its 2013 Allocation, subject to the terms and conditions contained herein. The Assignor represents that it has received no monetary consideration for said assignment. 2. The Assignee hereby accepts the assignment to it by the Assignor of $7,774,135.00 of Assignor's 2013 Allocation, subject to the terms and conditions contained herein. The Assignee agrees to use its best efforts to issue and sell Revenue Bonds, in one or more series, and to make proceeds of such Revenue Bonds available from time to time during the period of two (2) years from the date of this Assignment for the purchase of mortgage loans in at least the aggregate amount of $7,774,135.00 to finance single-family housing facilities located in the City of Fort Collins, Colorado. Unless otherwise agreed to in writing, the mortgage loans will be subject to all applicable current requirements of Assignee's mortgage revenue bond program, including Assignee's income and purchase price limits. 3. The Assignor hereby consents to the election by the Assignee, if the Assignee in its discretion so decides, to treat all or any portion of the assignment set forth herein as an allocation for a project with a carryforward purpose. 4. The Assignor and Assignee each agree that they will take such further action and adopt such further proceedings as may be required to implement the terms of this Assignment. 5. Nothing contained in this Assignment shall obligate the Assignee to finance mortgage loans in any particular amount or at any particular interest rate or to use any particular percentage of the proceeds of its Revenue Bonds to provide mortgage loans to finance single-family housing facilities located in the City of Fort Collins, Colorado. 6. This Assignment is effective upon execution and is irrevocable. 2 M:\ESTHER\MONICAIAssignment of Allocation PAB 2013 -City of Fort Collins HA.docx IN WITNESS WHEREOF, the parties hereto have duly executed this Assignment on the date first written a -1-rj 4?- l k, r WELD CO , C a LORADO [SEAL] ATTEST: By: Deputy Clerto the Board [SEAL] ATTEST: By: �' .��/ By: •eta 's• - )19! Assistant Secretary William F. Garcia, Chair, Weld County Board of Commissioners CITY OF FORT COLLINS HOUSING AUTHORITY NOT EXECLuTTh (SEE Zola -2535) Executive Director By: 3 M:\ESTHER\MONICA\Assignment of Allocation PAB 2013 -City of Fort Collins HA.docx man Wilearnak ...../ nal% tna %%%% �""� "`w,w�► 1715 W. MOUNTAIN AVE. • FORT COLLINS, CO 80521 • PH: 970.416.2910 • FX: 970.221.0821 FCHA FORT COLLINS HOUSING AUTHORITY PROJECT SUMMARY Villages at Cunningham Corner Fort Collins, CO Affordable Housing Acquisition & Rehabilitation August 20, 2013 The project includes 284 units of affordable rental housing located on the Northeast corner of Horsetooth Road and Shields Street in the Villages at Cunningham Corner. These properties were originally built with equity through Low Income Housing Tax Credits (LIHTC) in 1990s and purchased by FCHA in December, 2012. Hickory 3425 Fort Hill Windmill Collins, Village Drive CO i j -_ S' c J r - - _~• • _ - L -a rs- ati '. . fl _ f .. .i . .. : .. ice•- �j' •-' �''""'� " -•- I I ICKORY Hu l- 111 I.1C- -• yam: ..R}�. n ;'`--4t-v-:.. . . • f J ••, Property Description • Six Buildings: 2 Story - 92 units • 4.77 acres - 1 & 2 bedroom • 100% of units set aside 60% AMI • 20 enclosed garages - 1992 Construction - 141 parking spaces Unit Mix & Rent Information. Unit Type 60% AMI # Units Sq. Ft Type Max LITHC Rent Current Move In Rent Diff Rent per Sq Ft 1 BR / 1BA 14 648 Flats $874 $749 $125 $1.16 2 BR/ 1BA 56 820 Flats $1,050 $829 $221 $1.01 2 BR / 2 BA 22 936 Flats $1,050 $899 $151 $0.96 Total / Avg 92 855 Rose Tree Village 1000 W. Horsetooth Fort Collins, Rd CO r' .:,or.-lr 1 A.4 r;,3.„„ ��' y y�. ,4,-.%"►' :: • :! ' . Al- r•' ir I' ' - ^*'. "y ' rpr ..•"'"' `+ - �s '":. ire _ .� .--- - r Property Description • Seven Buildings: • 6.15 acres • 120 units • 1994 Construction • 20 covered 2 & 3 Story • 7 units @ 45% AMI • 19 units @ 50% AMI • 94 units @ 60% AMI • 12 enclosed garages carports • 170 parking spaces Unit Mix & Rent Information Unit Type 60% AMI # Units Sq. Ft Type Max LITHC Rent Current Move In Rent Diff Rent per Sq Ft 1 BR / 1BA 20 653 Flats $875 $749 $125 $1.15 2 BR / 1BA 25 792 Flats $1,050 $829 $221 $1.05 2 BR / 2 BA 33 938 Flats $1,050 $899 $151 $0.96 3 BR/ 2 BA 16 ' 1078 Flats $1,212 $1,029 $183 $0.95 50% AMI 2BR / 1BA 19 792 Flats $875 $749 $125 $0.95 45% AMI 2BR / 1BA 7 792 Flats $787 $686 $101 $0.87 Total / Avg 120 865 Willow 1025 Grove Village Cunningham Fort Collins, CO Dr. ..-,- ,•. , t` l 4 •.tip _ r�_ _ r ; ,c �' - A• �q . , e .{ �; I Property Description • Nine Buildings: 2 Story - 72 units • 6.45 acres • 75% set aside 60% AMI • 1990 Construction • 25% market rate • 44 Enclosed garages • Six units set aside for persons with • 98 parking spaces developmental disabilities Unit Mix & Rent Information Unit Type # Units Sq. Ft Type Max LITHC Rent Current Move In Rent Diff Rent per Sq Ft 1 BR / IBA 60% AMI 24 607 Flats $875 $739 $136 $1.22 2 BR / IBA 60% AMI 18 800 Flats $1,050 $809 $241 $1.01 2 BR / 1 BA 60% AMI 12 815 Lofts $1,050 $819 $231 $1.00 2 BR / 2BA Market Rate 18 930 Lofts $929 $1.00 Total / Avg 72 828 Population Served The properties serve a substantial number of households with very low to low income. AMI — Area Median Income as determined by the U.S. Department of Housing and Urban Development. Property Tax Credit compliance requirements Current AMI Mix Hickory Hill 100% of units o 60%AMI 0 41/ 20% 15% 24% 30% AMI 40%AMI 50%AMI 60%AMI Rose Tree 78% of units 60% AMI 40% 14+- _ 24%. 0 8� '� [A 30%AMI 40% AMI 45% AMI «50%AMI 60%AMI 16% of units 50% AMI 6% of units 45% AMI Willow Grove 75% of units 60% AMI 24% 35% 2 /o 15/0 5% 1 30% AM 40% AMI 50% AMI 60% AMI market *lncludf I 6 units *Persons with developmental disabilities Estimated Project Budget s 6 units Project Costs Sources of Financing Land & Buildings 21,444,000 **Private Activity Bonds $22,635,352 Rehabilitation 7,699,360 Low Income Housing Tax Credit Equity $7,560,190 Developer Fee 3,045,517 Deferred Developer Fee $1,943,786 'Development Costs 2,107,111 Owner Equity $5,869,847 *20% Contingency 6,859,198 State & City Grants $3,146,011 Total Estimated Costs $41,155,186 Total Sources $41,155,186 'Engineering, architect, insurance, financing, legal fees, studies, compliance, relocation, inspections, reserves *Construction to begin 2015. Fluctuating interest rates, construction costs, and potential changes in scope of work may increase costs. **Bond cap assignment to be requested from Weld County, City of Ft. Collins, Larimer County, State of Colorado, CHFA. Esther Gesick From: Sent: To: Subject: Monica Mika Wednesday, August 28, 2013 2:57 PM Esther Gesick FW: Weld County Action today I am so sorry, but we need to redo the Resolution for the PAB. The correct amount and date is below. Thanks Monica Daniels -Mika Director of Finance and Administration 1150 0 Street Greeley Co 80632 907 336 7204 Confidentiality Notice: This electronic transmission and any attached documents or other writings are intended only for the person or entity to which it is addressed and may contain information that is privileged, confidential or otherwise protected from disclosure. If you have received this communication in error, please immediately notify sender by return e-mail and destroy the communication. Any disclosure, copying, distribution or the taking of any action concerning the contents of this communication or any attachments by anyone other than the named recipient is strictly prohibited. From: Watts - DOLA, Ann [mailto:ann.wattsOstate.co.us] Sent: Wednesday, August 28, 2013 2:51 PM To: Monica Mika Cc: Alison OKelly Subject: Re: Weld County Action today Monica, The assignment agreement should be for the $7,774,135 of 2013 PAB Allocation to Weld Co. Please let me know if you have any other questions! Thanks - Ann Ann E. Watts PAB Program Manager & Housing Development Sp. DOLA - Division of Housing 1313 Sherman St., Suite 500 Denver, CO 80203 (303) 866-4652 direct http://www.colorado.ciovidola/doh Thank you for sending the documents over. We'd like to request that some of the language in the resolution and the assignment agreement be changed to correctly reflect our intent for the bond cap. FCHA will not be issuing bonds for single family mortgages as indicated in the Weld County documents. FCHA intends to issue bonds for the purpose of financing the acquisition and rehabilitation of qualified affordable rental housing. Without the language change, we will not be able to utilize the bond cap for our project. Would it be possible to change the language to accurately reflect our intent? We're working with Jacob Carlton at Ballard Spahr LLP and I've asked him to review the documents and make corrections as needed. His contact information is carltonj@ballardspahr.com 801-517-6821. I'm wondering if a revised resolution will need to be considered by the board of commissioners? If so, let's discuss timing as the state's deadline is September 15tH Thank You for your consideration, Darcy McClure Project Manager Fort Collins Housing Authority 1715 W. Mountain Ave Ft. Collins, CO 80525 970.416.2839 Direct 970.412.2400 Mobile From: Donna Bechler [mailto:dbechlerL co.weld.co.us] Sent: Wednesday, September 04, 2013 11:23 AM To: Darcy McClure Cc: Monica Mika Subject: Fort Collins Housing Authority - Private Activity Bond Allocation Ms. McClure, I am e -mailing you a copy of the Resolution and Assignment of Allocation that was approved by the Board of Weld County Commissioners on August 28, 2013. This morning I sent 2 hardcopies of the Assignment of Allocation in the mail, along with the certified copy of the resolution. We would ask that you return one (1) signed original back to 'our department after getting the other signatures. You can send it to the address listed below. Let me know if there is anything else I can help you with. Sincerely, Donna Bechler Deputy Clerk to the Board 1150 O Street P.O. Box 758 Greeley, Colorado 80632 970-336-7215 Ext 4227 3 Hello