Agenda Item No: K.8
AGENDA REPORT
DATE: March 18, 2025
TO: Mayor and Council
FROM: David Gassaway, City Manager
SUBJECT: Resolutions 2025-44 and 2025 -45 HD Allocating Local Housing Trust Funds and Joint Application with Danco for Homekey+ Funding
Resolution 2025-44 Authorizing the City of Fairfield to Supersede Resolution 2025 -14 Allocating of Local Housing Trust Funds to Danco Communities for the Acquisition and Redevelopment of Permanent Supportive Housing at 3331 North Texas Street, Fairfield, CA; and
Resolution 2025 -45 Authorizing the City of Fairfield to Supersede Resolution 2025 -25 for Submitting a Joint Application to Apply for HomeKey+ Funding or the Acquisition and Redevelopment of Permanent Supportive Housing at 3331 North Texas Street, Fairfield, CA
Funding Source: N/A
Contact: LaTanya Terrones, (707) 428-7454
RECOMMENDED ACTION
Adopt resolutions.
STATEMENT OF ISSUE
The City Council previously approved funding allocations through Resolution 2025-14 to support the housing project at 3331 N. Texas St. and authorized a joint Homekey+ application with the Danco Group through Resolution 2025-25. To ensure consistency with the Homekey+ application and funding requirements, an amendment to Resolutions 2025 -14 and 2025 -25 is proposed to update and connect the legal ownership structure and funding recipient for the project.
DISCUSSION
Background
On January 21, 2025, the City Council adopted Resolution 2025-14, authorizing a commitment of Local Housing Trust Funds (LHTF) and Prohousing Incentive Program (PIP) funds to support the housing project at 3331 N. Texas St., Fairfield, CA.
On February 4, 2025, the Fairfield City Council adopted Resolution 2025-25, authorizing the City to submit a joint Homekey+ application to the California Department of Housing and Community Development (HCD) with the Danco Group of Companies . The Homekey+ program provi des funding to support the development and preservation of affordable housing, particularly for individuals and families experiencing or at risk of homelessness.
Purpose of Amendment
Following the passage of Resolution 2025 -25, a representative of Danco l et the City know that they were establishing a new ownership structure as part of their standard real estate investment practices to establish an ownership structure limiting the project's liabilities from the parent development company. They also informed staff that funding commitments provided to them under Resolution 2025 -14 needed to be assigned to Danco Communities, their affiliate that is more appropriately situated to receive funding commitments.
The official applicant for the project (Vista Ridge at 3331 North Texas Street, Fairfield, CA) is now Fairfield North Texas Street, LP, a California limited partnership, which consists of Fairfield North Texas Street LLC , a California limited liability company as administrative, general partner, Community Revitalization and Development Corporation , a California nonprofit public benefit corporation as managing general partner, and Danco Communities, a California corporation as limited partner.
Because the original resolution referenced the co -applicant as Danco Group of Companies and Danco Homes, LLC it is necessary to re-state each resolution to reflect the true legal entities that will be applying for the HomeKey + funds.
Attached Resolution 2025-45 will supersede Resolution 2025-25 to reflect the new legal entities.
All other terms and conditions will remain the same.
These amendments are administrative updates only and do not alter the scope, intent, or any other conditions of the original resolutions.
FINANCIAL IMPACT
N/A
PUBLIC CONTACT/ADVISORY BODY RECOMMENDATION
N/A
ALTERNATIVE ACTION
The council may decide not to adopt the amended resolution; however, doing so may jeopardize the City's ability to meet all program guidelines associated with the Homekey+ application to HCD.
COORDINATED WITH
City Attorney’s Office
STAFF CONTACT
LaTanya Terrones, Sr. Project Manager
(707) 428-7454
[email protected]
ATTACHMENTS
Attachment 2: Proposed Resolution – Allocating Local Housing Trust Funds Attachment 3: Proposed Resolution – Joint Application with Danco