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HOUSING AUTHORITY AGENDA REPORT
City of Anaheim
HOUSING & COMMUNITY DEVELOPMENT
DEPARTMENT
DATE: MARCH 4, 2025
FROM: HOUSING & COMMUNITY DEVELOPMENT DEPARTMENT
SUBJECT: PROFESSIONAL SERVICES AGREEMENT WITH CSG
ADVISORS, INC. FOR FINANCIAL CONSULTANT SERVICES
ATTACHMENT (Y/N): YES ITEM # 01
GOVERNMENT CODE § 84308 APPLIES: YES
RECOMMENDATION:
That the Governing Board of the Anaheim Housing Authority, by Motion, approve a Professional Services Agreement by and between the Anaheim Housing Authority and CSG Advisors, Inc., in an amount not to exceed $200,000; for a two-year term beginning March 4, 2025, with two, one-year renewal options, for on-call housing and financial advisory consulting services to support the Anaheim Housing Authority, and authorize the Executive Director of the Anaheim Housing Authority, or her designee, to execute and administer the agreement on behalf of the Anaheim Housing Authority.
DISCUSSION:
The Anaheim Housing Authority (Authority) is seeking financial consulting services to provide expert guidance on the complexities of affordable housing development. The Authority utilizes various funding sources, including tax-exempt bonds, Low-Income Housing Tax Credits (LIHTC) and federal grants which must comply with numerous local, state, and federal regulations. A financial consultant will help ensure that affordable housing projects are structured effectively by providing expertise in tax- exempt bond financing, financial analysis, and technical assistance. Financial consultants have been instrumental in supporting the Authority’s efforts to structure financing for affordable housing development projects, often negotiating terms with developers and lenders to protect the long-term viability of the City’s housing assets.
In September 2024, the Housing and Community Development Department issued a Request for Proposals (RFP) for financial consulting services on an as-needed basis. A review panel was established comprised of staff who have direct knowledge and experience of affordable housing financing. A total of eight firms submitted proposals and each was reviewed by the review panel in accordance with the criteria set forth in the RFP. The rating criteria included relevant experience and the ability to provide services in three primary areas:
Professional Services Agreement with CSG Advisors, Inc. for Financial Consulting Services March 4, 2025
1) Financial advisor services for bond financing including transaction structuring, tax credit analyses, various public finance options including utility and special revenue financing, capital lease financing and general obligation bonds; 2) Real estate market and financial feasibility analyses for residential development projects, including affordable housing development;
3) Ability to gather and analyze economic and financial data including demographic data.
Additionally, other criteria such as staff expertise, range of services offered, and costs were also taken into consideration. Based on the proposals submitted, staff recommends entering into a contract with CSG Advisors, Inc., to provide the desired services.
CSG Advisors, Inc., has extensive economic and financial advisory experience advising public agencies on multi-family revenue tax-exempt bond financing, funding strategies for housing initiatives, and conducting complex financial transactions for affordable housing projects. CSG Advisors, Inc. will assist with upcoming affordable housing projects such as the Tampico Motel Conversion, the Hermosa Village Rehabilitation/Resyndication, Elm Street Commons and other related tasks across the city as needed. The Agreement will commence on the effective date and terminate at the close of business March 3, 2027, and will include two, one-year extensions. The maximum compensation amount for the Agreement is $200,000.
IMPACT ON BUDGET:
Sufficient funds are available in the Housing and Community Development Department’s FY 2024/25 budget.
Respectfully submitted,
Grace Ruiz-Stepter
Executive Director of the
Anaheim Housing Authority
Attachment:
1. Professional Services Agreement – CSG Advisors, Inc.