HomeMy WebLinkAboutRES NO 073-2022RESOLUTION NO.07 3 m 2 ®2 2
RESOLUTION TO APPROVE THE CITY OF BAKERSFIELD'S
APPLICATION FOR LOCAL HOUSING TRUST FUND ("LHTF")
PROGRAM FUNDS FROM THE VETERANS AND AFFORDABLE
HOUSING BOND ACT OF 2018 (PROPOSITION 1) AND
AUTHORIZE THE ECONOMIC AND COMMUNITY DEVELOPMENT
DIRECTOR TO EXECUTE THE NECESSARY DOCUMENTS WITH THE
STATE OF CALIFORNIA, DEPARTMENT OF HOUSING AND
COMMUNITY DEVELOPMENT ("Department"), TO RECEIVE
FUNDING.
WHEREAS, the Department is authorized to provide up to $57 million under the
Local Housing Trust Fund ("LHTF") Program from the Veterans and Affordable Housing
Bond Act of 2018 (Proposition 1) (as described in Health and Safety Code section 50842.2
et seq. (Chapter 365, Statutes of 2017 (SB 3)) ("Program"); and
WHEREAS, the State of California (the "State"), Department of Housing and
Community Development ("Department") issued a Notice of Funding Availability
("NOFA") dated 4/5/2022 under the LHTF Program; and
WHEREAS, the City of Bakersfield is an eligible Local or Regional Housing Trust Fund
applying to the Program to administer one or more eligible activities using Program Funds;
and
WHEREAS, the Department may approve funding allocations for the LHTF Program,
subject to the terms and conditions of H&S Code Section 50842.2, the LHTF Program
Guidelines, NOFA, Program requirements, the Standard Agreement and other related
contracts between the Department and LHTF award recipients.
NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Bakersfield as follows:
1. The above recitals true and correct and are incorporated herein by reference.
2. If the City of Bakersfield receives an award of LHTF funds from the Department
pursuant to the above referenced LHTF NOFA, it represents and certifies that it
will use all such funds on Eligible Projects in a manner consistent and in
compliance with all applicable state and federal statutes, rules, regulations,
and laws, including, without limitation, all rules and laws regarding the LHTF
Program, as well as any and all contracts Applicant may have with the
Department ("Eligible Project").
3. That the Bakersfield Affordable Housing Trust Fund, managed by the City of
Bakersfield Economic and Community Development Department, is hereby
authorized to act as the Manager in connection with the Department's funds
to Eligible Projects pursuant to the above described Notice of Funding
Availability in an amount not to exceed $5,000,000 (the "LHTF Award").
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4. The City of Bakersfield hereby agrees to match on a dollar for dollar basis the
LHTF Award pursuant to Guidelines Section 104 and hereby agrees to utilize
matching'finds on a dollar -for -dollar basis for the same Eligible Project for which
Program Funds are used, as required by HSC Section 50843.5(c).
5. Pursuant to Attachment 1 attached hereto and incorporated by reference
and the Applicant's certification in this resolution (see finding No. 2), the LHTF
funds will be expended only for Eligible Projects and consistent with all program
requirements.
The City of Bakersfield shall be subject to the terms and conditions as specified
in the Standard Agreement, HSC Section 50842.2 and LHTF Program Guidelines.
7. Christian Clegg, City Manager and/or Paul M. Saldana, Economic and
Community Development Director is authorized to execute the LHTF Program
Application, the LHTF Standard Agreement and any subsequent amendments
or modifications thereto, as well as any other documents which are related to
the Program or the LHTF Award to Applicant, as the Department may deem
appropriate.
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HEREBY CERTIFY that the foregoing Resolution was passed and adopted by
the Council of the City of Bakersfield at a regular meeting thereof held on
MAY 16 2022 by the following vote:
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AY ' COUNCILMEMBER: ARIAS, GONZALES, WEIR, SMITH, FREEMAN, GRAY, PARLIER
NOES: COUNCILMEMBER:
ABSTAIN: COUNCILMEMBER:
ABSENT: COUNCILMEMBER:
J LIE DRIMAKIS, MMC
CITY CLERK and Ex Officio Clerk of the Council
of the City of Bakersfield
(Signatures continued on next page)
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APPROVED
MAY 16 2022
By:
KAREN GOH
MAYOR
APPROVED AS TO FORM:
VIRGINIA GENNARO
CITY ATTORNEY
B 2,
J SHUA H. RUDNICK
eputy City Attorney
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Attachment 1: Program Summary
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Attachment 1
Program Summary
State Local Housing Trust Funds (Program Funds) shall be used by the City to provide
construction loans and/or deferred payment permanent financing loans at simple
interest rates of no higher than 3 percent per annum, for payment of predevelopment
costs, acquisition, construction, or rehabilitation of Eligible Projects within the City of
Bakersfield.
The affordability of all assisted rental units shall be restricted for not less than 55 years.
City Matching Funds must be utilized on a dollar -for -dollar basis for the same Eligible
Project for which program funds are used, as required by HSC Section 50843.5(c).
Administrative expenses will include 5 percent of Program Funds ($250,000) and 5 percent
of City Matching Funds ($250,000).
30 percent of the Program Funds ($1,500,000) and the City Matching Funds ($1,500,000)
shall be expended on assistance to Extremely Low -Income Households that consist of
dwelling units or shelter beds affordable to and restricted for, Extremely Low -Income
Households with household income of no more than 30 percent of AMI.
65 percent of the Program Funds ($3,250,000) and City Matching Funds ($3,250,000) shall
be expended on assistance to Lower -Income Households that consist of dwelling units
affordable to, and restricted for, Lower -Income Households with household income of no
more than 80 percent of AMI. All program Funds and City Matching Funds for the new
construction of rental housing developments affordable and restricted to households
with average incomes of no more than 60 percent of AMI.
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