RESOLUTION NO. 62-23
A RESOLUTION OF THE COUNCIL OF THE CITY OF RICHMOND AUTHORIZING
A JOINT APPLICATION TO AND PARTICIPATION IN THE HOMEKEY PROGRAM WHEREAS, the Department of Housing and Community Development ("Department") has issued a Notice of Funding Availability, dated March 29, 2023 ("NOFA"), for the Homekey Program ("Homekey" or "Program"). The Department has issued the NOF A for Homekey grant funds pursuant to Health and Safety Code section 5067 5 .1.3 (Assem. Bill No. 140 (2021-2022 Reg. Sess.), § 20.); and
WHEREAS, the City of Richmond ("Co-Applicant") desires to jointly apply for Homekey grant funds with 425 Civic Center LP, a California limited partnership affiliated with Novin Development Corporation ("Developer"). Therefore, Co-Applicant is joining Developer in the submittal of an application for Homekey funds ("Application") to the Department for review and consideration; and
WHEREAS, the Department is authorized to administer Homekey pursuant to the Multifamily Housing Program (Chapter 6.7 (commencing with Section 50675) of Part 2 of Division 31 of the Health and Safety Code). Homekey funding allocations are subject to the terms and conditions of the NOFA, the Application, the Department-approved STD 213, Standard Agreement ("Standard Agreement"), and all other legal requirements of the Homekey Program.
NOW, THEREFORE, BE IT RESOLVED BY THE MEMBERS OF THE
RICHMOND CITY COUNCIL, COUNTY OF CONTRA COSTA, STATE OF CALIFORNIA, THAT:
1. Co-Applicant is hereby authorized and directed to submit a joint Application to the Department in response to the NOF A, and to jointly apply for Homekey grant funds in a total amount not to exceed $23,000,000 for the development of a permanent supportive housing project at 425 24th Street, Richmond, California (the "Property") to consist of 48 units for people experiencing homelessness or at-risk of homelessness and one manager's unit (the "Project").
2. If the Application is approved, Co-Applicant is hereby authorized and directed to enter into, execute, and deliver a Standard Agreement in a total amount not to exceed $23,000,000, and any and all other documents required or deemed necessary or appropriate to secure the Homekey funds from the Department and to participate in the Homekey Program, and all amendments thereto (collectively, the "Homekey Documents").
3. Co-Applicant acknowledges and agrees that it shall be subject to the terms and conditions specified in the Standard Agreement, and that the NOF A and Application will be incorporated in the Standard Agreement by reference and made a part thereof. Any and all activities, expenditures, information, and timelines represented in the Application are enforceable through the Standard Agreement. Funds are to be used for the allowable expenditures and activities identified in the Standard Agreement.
4. The City Manager of the City of Richmond is authorized to execute the Application and the Homekey Documents, and any amendments or modifications thereto, on behalf of the City as Co-Applicant for participation in the Homekey Program.
5. If the Application is approved, the City agrees to provide funding for the Project in an amount up to $4,900,000, which may include capital funding, and an operating subsidy, and a $131,000 waiver of transfer taxes.
6. If the Application is approved, and contingent upon City Manager approval of due diligence, the City Manager is authorized to acquire the Property and enter into a ground lease of the Property and either a lease or sale of the improvements located thereon to the Developer for implementation of the Project.
Reso. No. 62-23
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7. The City Manager is hereby authorized and directed to take all such other actions and to execute, acknowledge, deliver, and record such other instruments, as the City Manager may deem necessary or appropriate in order to carry out and perform the purposes and intent of the foregoing resolutions, including without limitation, loan and grant agreements, a regulatory agreement, and Project implementation agreements, including a Memorandum of Understanding with the Developer, a purchase and sale agreement, ground lease, and certificate of acceptance.
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I certify that the foregoing resolution was passed and adopted by the City Council of the City of Richmond at a regular meeting thereof held on June 20, 2023, by the following vote:
AYES:
NOES:
ABSTENTIONS:
ABSENT:
Approved:
EDUARDO MARTINEZ
Mayor
Approved as to form:
DA VE ALESHIRE
City Attorney
State of California
County of Contra Costa
City of Richmond
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Councilmembers Bana, Jimenez, Robinson, Zepeda, Willis, Vice Mayor McLaughlin, and Mayor Martinez.
None.
None .
None.
PAMELA CHRISTIAN
CLERK OF THE CITY OF RICHMOND
(SEAL)
: SS.
I certify that the foregoing is a true copy of Resolution No. 62-23, finally passed and adopted by the City Council of the City of Richmond at a regular meeting held on June 20, 2023 . "
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Pamela Christian, Clerk of the City of Richmon
Reso. No. 62-23