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HomeMy WebLinkAboutRES NO 129-03RESOLUTION NO. I 9 - 0 3 A RESOLUTION OF THE COUNCIL OF THE CITY OF BAKERSFIELD AUTHORIZING THE REQUISITE CITY PERSONNEL TO EXECUTE ALL DOCUMENTS REQUIRED TO ACCESS SECTION 108 LOAN GUARANTEE FUNDS OF $1 MILLION AND $250,000 BROWNFIELDS ECONOMIC DEVELOPMENT INITIATIVE GRANT FOR THE OLD TOWN KERN MIXED-USE PROJECT. WHEREAS, the City of Bakersfield has determined that a high priority exists to redevelop Old Town Kern by creating a mixed-use project; and WHEREAS, the mixed-use project will consist of new and rehabilitated retail and office space, fifty units of senior housing, a new streetscape and a plaza; and WHEREAS, the City applied to the Secretary of the Department of Housing and Urban Development ("HUD") under the Section 108 Loan Guarantee program for a loan and for a Brownfields Economic Development Initiative ("BEDI") Grant to enable such redevelopment; and WHEREAS, under the Section 108 Loan Guarantee program, the City can borrow up to five years' worth of its annual Community Development Block Grant allocation, and can take up to twenty years to repay the principal and interest; and WHEREAS, the City requested and has been authorized to receive $1 million dollars for the Old Town Kern mixed-use project; and WHEREAS, to access the funds, the City must execute several documents with HUD, including, but not limited to, a loan agreement and a promissory note; and WHEREAS, the loan shall be repaid over ten years with available future tax increment from the Old Town Kern-Pioneer Redevelopment Project Area; and WHEREAS, the BEDI grant does not have to be repaid. NOW, THEREFORE, BE IT RESOLVED, incorporating the above recitals herein, by the Council of the City of Bakersfield as follows: That the participation of the City of Bakersfield in the Section 108 Loan Guarantee Program is hereby authorized; and Page 1 of 3 Pages C:\Docurnents and Settings\rbarnhar\Local Settings\Temp~section 108contract$1M&BEDLdoc Created on 7/3/2003 1:05 PM That the mayor or designee, the city attorney or designee, the economic development director or designee and the finance director or designee of the City of Bakersfield are authorized to execute any and all documents required by HUD to enable the City to access the Section 108 Loan Guarantee Program funds and the Brownfields Economic Development Initiative Grant funds referred to herein. Page 2 of 3 Pages C:~Documents and Settings\rbarnhar%ocal Settings\Ternp~sectionl08contract$1M&BEDLdoc Created on 7/3/2003 1:05 PM I 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 u u Q ?nn~ , by the following vote: AYES: COUNCILMEMBER COUCH, CARSON, BENHAM, MAGGARD, HANSON, SULLIVAN, SALVAGGIO NOES: COUNCILMEMBER ABSTAIN: COUNClLMEMBER ABSENT:COUNCILMEMBER ~-,~,~.~ APPROVED JUL 9 2003 By ~",//' HARVEY L. HALL / Mayor CITY CLERK and Ex Officio C~rk of the Council of the City of Bakersfield APPROVED AS TO FORM: BART J. THILTGEN City Attorney ~//JrANICE SCANLAN Deputy City Attorney Page 3 of 3 Pages C:~Documents and Settings\fha rnhar~Local Settings~Temp~section 108contract$1M&BEDI.doc Created on 7/3/2003 1:05 PM