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HomeMy WebLinkAbout06/26/23 BUDGET FINANCE & ECD MEETING1613 JUN 23 AM 9: 52 ki BAKERSFit '` ` 1Y ClERr_ BAKERSFIELD THE SOUND OF6S8k24kl re#t POSTED ON ��Iz3 by City Clerk's Office City of Baker field by Staff: Committee Members: Christian Clegg, City Manager Gary Hallen, Assistant City Manager Councilmember, Andrae Gonzales - Chair Mario Orosco, Budget Officer Councilmember, Ken Weir Councilmember, Eric Arias Regular Meeting of the Budget, Finance and Economic Development Committee of the City Council - City of Bakersfield Monday, June 26,2023 12:00 p.m. City Hall North, First Floor, Conference Room A 1600 Truxtun Avenue, Bakersfield CA 93301 AGENDA 1. ROLL CALL 2. PUBLIC STATEMENTS a. Agenda Item Public Statements b. Non -Agenda Item Public Statements 3. ADOPTION OF THE MAY 22, 2023, AGENDA SUMMARY REPORT 4. NEW BUSINESS a. Presentation on Affordable Housing Trust Fund- Notice of Funding Award Recommendations (Staff recommends receive and file presentation) b. Economic Opportunity Area Program Review and update on program guidelines (Staff recommends adopting revised EOA Program guidelines) 5. COMMITTEE COMMENTS 6. ADJOURNMENT BAKERSFIELD THE SOUND OF,50f4kf '664* Staff: Committee Members: Christian Clegg, City Manager Councilmember, Andrae Gonzales - Chair Gary Hallen, Assistant City Manager Councilmember, Ken Weir Mario Orosco, Budget Officer Councilmember, Eric Arias Regular Meeting of the Budget, Finance and Economic Development Committee of the City Council - City of Bakersfield Monday, May 22, 2023 12:00 p.m. City Hall North, First Floor, Conference Room A 1600 Truxtun Avenue, Bakersfield CA 93301 AGENDA SUMMARY REPORT Meeting called to order at 12:02 p.m. 1. ROLL CALL Committee Members Present: Committee Members Absent: City Staff Present: Councilmember Andrae Gonzales - Chair Councilmember Eric Arias Councilmember Weir Christian Clegg, City Manager Julie Drimakis, City Clerk Josh Rudnick, Deputy City Attorney Joe Conroy, Public Information Officer Cecilia Griego, Principal Planner (ECD) Randy McKeegan, Finance Director Jason Cater, (ECD Manager) Michelle Cruz, Management Assistant Additional Attendees: Members of the Public and other City Staff 2. PUBLIC STATEMENTS a. Agenda Item Public Statements None b. Non -Agenda Item Public Statements None 3. ADOPTION OF THE APRIL 24, 2023, AGENDA SUMMARY REPORT Motion to adopt the April 24, 2023, Agenda Summary Report by Committee Member Gonzales. Motion approved with Committee Member Weir absent. 4. NEW BUSINESS a. Presentation on approach to Redevelopment Area Plans (Informational item only; Staff recommends receive and file) City Manager Christian Clegg gave a presentation on the Redevelopment Area Plans. Motion by Committee Member Arias to receive and file. Motion approved with Committee member Weir absent. b. Pensions and Other Post Employment Benefit (OPEB) Forecast (Informational item only; Staff recommends receive and file) Finance Director Randy McKeegan gave a presentation on Post Employment (OPEB) Forecast. Motion by Committee Member Arias to receive and file. Motion approved with Committee Member Weir absent. c. Quarterly Sales Tax Update (Informational item only; Staff recommends receive and file) Finance Director Randy McKeegan gave a presentation on Quarterly Sales Tax Update. Motion by Committee Member Arias to receive and file. Motion approved with Committee Member Weir absent. 5. COMMITTEE COMMENTS Budget, Finance and Economic Development Committee Regular Meeting May 22, 2023, Agenda Page 2 ADJOURNMENT Meeting was adjourned at 1:1 1 p.m. ANDRAE GONZALES, CHAIR BUDGET AND FINANCE COMMITTEE ATTEST: JULIE DRIMAKIS, MMC CITY CLERK and Ex Officio Clerk of the Council of the City of Bakersfield Budget, Finance and Economic Development Committee Regular Meeting May 22, 2023, Agenda Page 3 (03 BAKERSFIELD THE SOUND OF,5a04eVJWf Ve a MEMORANDUM DATE: June 21, 2023 TO: Budget & Finance Committee FROM: Jennifer M. Byers, Acting Economic & Community Development Director SUBJECT: Affordable Housing Trust Fund — Notice of Funding Availability Award Recommendations Background: On July 14, 2021 the Bakersfield City Council adopted Resolution No. 124-2021 to establish the Bakersfield Affordable Housing Trust Fund (AHTF). The intent of the AHTF was to use local funds to leverage and draw in additional outside resources to increase the pool of financing to support the construction of affordable housing. On May 12, 2023, the City of Bakersfield released its Notice of Funding Availability (NOFA) to solicit proposals from qualified applicants to construct quality, affordable housing. The NOFA included the following sources of funding: Affordable Housing Program Allocation Public Safety and Vital Service $500,000 FY 2021/22 Affordable Housing Trust Fund Local Housing Trust Fund Match $2,929,875.00 FY 2022/23 Affordable Housing Trust Fund Local Housing Trust Fund Match $4,147,285.35 Total $7,577,160.35 NOFA Results: Cumulatively, the NOFA was open for 32 days. Thirteen applications were submitted by 12 applicants requesting $36,924,399 to build/rehabilitate approximately 679 housing units. Consistent with the NOFA, applications were reviewed and scored by three internal staff members using the following criteria: - The experience and financial capability of the development team; - The relationship of the proposed development to the surrounding community, its quality, configuration, appearance, and service of community needs; - Market conditions, project feasibility, and level of current funding commitment to beginthe Project; - Project readiness; - Consistency with the goals and objectives of the Affordable Housing Trust Fund; - Application completeness as it relates to the requirements of this NOFA. Recommendations: Staff has prepared the attached Memorandum and recommendations for funding. After today's presentation, staff will be contacting the proposed applicants to discuss next steps. Each project receiving a reserved allocation of funding will be subject to further underwriting and funding adoption by the Bakersfield City Council prior to officially receiving a commitment of funds. This item is an informational item only, therefore staff recommends that the Budget and Finance committee receive and file the presentation. Attachments: A. Affordable Housing Trust Fund Funding Recommendations Attachment A 2023 Bakersfield Affordable Housing Trust Fund (AHTF) Affordable Housing Funding Recommendations Rank Project Name Applicant Units $ Request Recommendation Source Comments Ward Housing Authority of Bakersfield Senior the County of 35-unit senior affordable housing mixed -use 1 Kern/ $2,000,000 $2,000,000.00 Al I1F 35 2 Center Bakersfield development Senior Center, Inc 8S-unit affordable housing complext with 2 Renaissance at Cesar Chavez $2,056,205 $2,056,205.00 AHTF 85 5,000 square feet of ground floor 2 Baker Foundation commercial Housing SO affordable housing units and a 2 Niles Street Authority of $2,000,ODO $1,468,796.00 AHTF 51 managers unit. (Planned relocation of Plaza 3 the County of Towers and Plaza Towers Annex Kern Developments). GEHI / Housing Authority of One story fourplex development on a 3 1209 M Street the County of $583,363 $583,363.00 PSVS & AHTF 4 vacant infill lot. 2 Kern 60 unit affordable housing community that 3 Auburn Street Chelsea Investment $2,500,000 $1,468,796.00 AHTF includes 1 manager's unit. 59ursits will be 3 Apartments restricted to incomes ranging from 30% to Corporation 60% of AMI. Wakeland 54-unit multifamily development consisting Housing and of S3 studio units and one two -bedroom Development unit for the on -site manager. The proposed 2 4 6275umner Street Corporation $6,491,185 $0 54 development is a new construction Mercy House supportive apartment community of one, CHDO, Inc. four story building. Construction of phase 1 of 3; phase 1 will 4 College Avenue DANCO Group $7,577,160 $0 63 include restricted units, 1 manager's 3 Apartments of Companies unit,t, community and community building. 8-units within two duplexes to assist 5 The Owens Gordco $508,600.00 $0 8 households with an income lets than 60%of 2 Apartments Enterprises LLC the AMI. 36-unit multifamily development consisting Auburn Oak Auburn Oaks of 12 - one bedroom/ one bath and 24 - two 3 S Apartments LP $500,000 $0 3 bedroom/ two bath. 3 of those units will be avilable to renters at or below 120%. Rehabiliate an existing structure in 6 Northrup Housing Pacific $707,886 $0 8 southeast Bakersfield into 8-units of 2 Engineering affordable housing 86-unit mixed -income housing with 7 Eye Street Modern Brower $2,500,000 $0 60 commercial tenants on the ground floor in 2 Living Holding LLC downtown Bakersfield. Shri Durga Wi Shri Durga 168-unit low-income senior living 7 8 Senior Livingg Wible Senior $7,000,000 $0 168 apartment complex. -Living Rockwell 80 unit housing project (requesting 2 9 The Park Development $2,500,000 $0 80 additional information from applicant) $36,924,399 $7,577,160.00 679