IN THE CITY COUNCIL OF THE CITY OF SAN LEANDRO
RESOLUTION NO. 2023-
RESOLUTION OF THE CITY OF SAN LEANDRO CITY COUNCIL TO APPROVE AND AUTHORIZE THE CITY MANAGER TO EXECUTE A COMBINED GRANT AND LOAN IN THE AMOUNT OF $150,229 IN FEDERAL
AMERICAN RESCUE PLAN ACT AND COMMUNITY DEVELOPMENT BLOCK GRANT FUNDS TO ASSIST BUILDING FUTURES WITH WOMEN AND CHILDREN WITH PHASE 2 OF THE REHABILITATION OF THE SAN LEANDRO SHELTER LOCATED AT 501 DAVIS STREET
WHEREAS, Saint Leander’s Church owns the property located at 501 Davis Street, San Leandro, California (the “Property”); and
WHEREAS, Building Futures with Women and Children (“Building Futures”) leases the building where it operates the San Leandro Shelter¸ a 30-bed shelter located on the grounds of St. Leander Catholic Church in San Leandro, that serves women and children who are experiencing homelessnes and/or victims of domestic violence; and
WHEREAS, Building Futures seeks the City’s assistance to undertake certain renovations and repairs to the San Leandro Shelter, including work on the exterior of the building replacing wood roof trim and flashing as needed, repainting exterior stucco siding, garbage enclosure and ramp hand/guard rails, re-roof exterior storage shed, and other miscellaneous carpentry and painting; Work on the interior of the building will include replacing flooring in the common areas, kitchen and dormitory and painting walls and window frames.; and WHEREAS, the City receives funds from the United States Department of Housing and Urban Development under Title I of the Housing and Community Development Act of 1974, as amended (“CDBG”), and will provide CDBG funded loans to qualified local nonprofit organizations, like Building Futures, to assist such organizations with capital improvement projects, in conformance and accordance with CDBG and HUD laws and regulations; and
WHEREAS, the City received funds from the United States Department of the Treasury under authority of the American Rescue Plan Act of 2021 (“ARPA”), and will provide an ARPA funded grant to assist COVID-19 recovery through economic and community improvement projects, in conformance federal laws and regulations; and
WHEREAS, the City Council has also determined that the improvements to be undertaken by Building Futures will serve women and children who are experiencing homelessness and/or are victims of domestic violence from the San Leandro Community; and
WHEREAS, the City Council desires to provide Building Futures with a forgivable loan of CDBG funds in the amount of Sixty Fifty Thousand Two Hundred Twenty-Nine Dollars ($150,229) (the “CDBG Loan”); and WHEREAS, the City Council desires to provide Building Futures with a grant of ARPA funds in the amount of Eighty Five Thousand Dollars ($85,000) (the “ARPA Grant”); and WHEREAS, the CDBG Loan will be for ten years at three percent (3%) interest, but will be forgiven at the end of the loan term if Building Futures is not in default on any of the Loan’s covenants, conditions, and requirements; and
WHEREAS, because Building Futures leases the Property from Saint Leander’s Church and does not own the Property, the CDBG Loan cannot be secured by a deed of trust and will be an unsecured loan.
NOW, THEREFORE, the City of San Leandro City Council hereby RESOLVES as follows:
1. The above recitals are true, correct, and made a part of this Resolution.
2. The ARPA Grant and CDBG Loan is approved and the City Manager is authorized to execute the CDBG Loan Agreement, substantially in the form attached hereto as Attachment B and the ARPA Grant Agreement, substantially in the form attached hereto as Attachment C after approval as to form by the City Attorney.
5. The City Manager, or her designee, is authorized to use Fiscal Year 2022-2023 CDBG funds in the amount of $65,229 to account 165-43-135-5240, and $85,000 from ARPA fund account 190-63-825-5240 to execute such documents and to take such other actions necessary to carry out the intent of this Resolution.
6. This Resolution takes effect immediately upon its adoption.
Introduced by Councilmember _______ and passed and adopted this 20th day of JUNE 2023, by the following vote:
AYES:
NOES:
ABSENT:
ATTEST:
Kelly B. Clancy, CMC
City Clerk