RESOLUTION NO. __________
A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF EAST PALO ALTO
AUTHORIZING THE CITY MANAGER TO EXECUTE A GRANT AGREEMENT WITH THE HOUSING
ENDOWMENT AND REGIONAL TRUST OF SAN MATEO COUNTY FOR THE LOCAL HOUSING TRUST FUND PROGRAM IN THE AMOUNT OF $1.7 MILLION TO BENEFIT THE 965 WEEKS
AFFORDABLE HOUSING PROJECT
WHEREAS, on July 30, 2020, by Resolution No. No. 105-2020, the City Council appropriated $1.7 million, consisting of $500,000 in Measure HH funds and $1,200,000 in TOT Affordable Housing funds, to provide a local match for the Local Housing Trust Fund Program (“Program”), an affordable housing loan program of the Department of Housing and Community Development (“HCD”) WHEREAS, Resolution No. 105-2020 also directed the City Manager to provide a letter of commitment (“Letter of Commitment”) to the Housing Endowment and Regional Trust of San Mateo County (“HEART”), the Program applicant, which served as a legally binding commitment of funds if HEART received a Program award; and
WHEREAS, if awarded, HEART committed to provide $3,230,000 to the 965 Weeks affordable housing project (“965 Weeks”) in the form of a loan, consisting of $1,700,000 from the City and $1,700,000 in match funds from the Program, minus an administrative fee of five percent; and WHEREAS, on March 10, 2021, HEART was awarded $5,000,000 from the LHTF in support of three affordable housing projects in three jurisdictions: East Palo Alto, San Mateo, and Daly City; and WHEREAS, a Grant Agreement between the City and HEART in the amount of $1,700,000 million is required to enable HEART to draw funds from the LHTF and provide a loan in the amount of $3,230,000 to 965 Weeks.
NOW, THEREFORE, BE IT RESOLVED THAT THE CITY COUNCIL OF THE CITY OF EAST PALO ALTO HEREBY authorizes the City Manager to execute a Grant Agreement with HEART to provide matching funds in the amount of $1,700,000 so that HEART may draw Local Housing Trust Fund Program Funds granted by the Department of Housing and Community Development and provide $3,230,000 to the 965 Weeks Affordable Housing Project in the form of a deferred, 55-year, low-interest loan.
PASSED AND ADOPTED this 17th day of May 2022, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
SIGNED:
Ruben Abrica, Mayor
ATTEST: APPROVED AS TO FORM:
James Colin, Acting City Clerk Valerie J. Armento, Interim City Attorney