R-014-2019 - Citywide Affordable Housing - Notice of Funding Availability (NOFA) F 19-2
REDEVELOPMENT AGENCY OF SALT LAKE CITY
RESOLUTION NO. R-14-2019
Citywide Affordable Housing—Notice of Funding Availability (NOFA) Funding
Allocations
RESOLUTION OF THE BOARD OF DIRECTORS OF THE REDEVELOPMENT AGENCY
OF SALT LAKE CITY APPROVING CITYWIDE AFFORDABLE HOUSING PROJECT
FUNDING ALLOCATIONS.
WHEREAS, the Redevelopment Agency of Salt Lake City ("RDA") was created to transact the
business and exercise the powers provided for in the Utah Community Reinvestment Agency Act
(the "Act").
WHEREAS, the Act provides that tax increment funds may be used for the purpose of
increasing the affordable housing supply within the boundaries of Salt Lake City.
WHEREAS, the RDA Board of Directors (the"Board")has set aside $10,746,096 for a Notice
of Funding Availability ("NOFA"), contingent upon an application and review process
administered by the RDA to facilitate funding of qualified projects that meet the goals
established by the NOFA guidelines. The $10,746,096 was appropriated as follows: $4,500,000
was allocated through Fiscal Year ("FY") 2108 Budget Amendment 3 for projects located in
areas of the city designated as high opportunity; $5,136,455 was allocated through FY 2019
Budget Amendment 4 for projects located citywide; and $1,109,641 was allocated through FY
2020 Budget for projects located citywide.
WHEREAS, the RDA facilitated a loan application and review process pursuant to the RDA's
NOFA policy set forth in resolution R-17-2018 (the"NOFA Policy")that resulted in twelve requests
for funding totaling $24,185,227. All twelve applications are for projects located outside of high
opportunity neighborhoods.
WHEREAS, on September 3, 2019, the RDA's Finance Committee reviewed the NOFA
applications and recommended funding allocations and preliminary terms as further described in
on Exhibit A.
WHEREAS, based on the Finance Committee's recommendations, the RDA staff recommends
that the Board approve the funding allocations and preliminary terms described on Exhibit A,
and that the RDA shall provide to the approved applicants a conditional commitment period
determined by the RDA, during which each approved applicant shall have the opportunity to
obtain needed financial, legal, and regulatory approvals as well as satisfy other conditions
determined by the RDA in order to finalize the loan terms.
1
WHEREAS, pursuant to the NOFA Policy, projects that successfully meet the conditions of the
conditional commitment shall each be invited to execute a Letter of Commitment to finalize the
loan terms, subject to a set of conditions precedent to closing of the loan.
NOW THEREFORE, BE IT RESOLVED BY THE BOARD that it approves the
funding allocations and preliminary terms as further described in Exhibit B, subject to revisions
that do not materially affect the rights and obligations of the RDA hereunder. For approved
applicants that successfully meet the required conditions, the Board authorizes the Executive
Director to negotiate and execute the conditional commitment letter, the Letter of Commitment,
and the loan agreements and other relevant documents consistent with the funding allocations and
terms contained on Exhibit B,and incorporating such other terms and conditions as recommended
by the City Attorney's office.
Passed by the Board of Directors of the Redevelopment Agency o Salt Lake City, this 24th
day of September 2019.
Amy Fo it
t
Approved as to form:
Aalt Lak' ity Attorney's Office
Kimberly K. C ytraus
Date:
Transmitted to the Executive Director 9-25-2019
The Executive Director:
y- does not request reconsideration
requests reconsideration at the next regular Agency meeting.
Ja queli e M. Biskupski, Executive Director
por"'-w
PM T�•r,�
1��¢�a��pRPORRrF c�Z�
t= SEAL
City Recorder-
2
EXHIBIT A:
NOFA RDA FINANCE COMMITTEE RECOMMENDED FUNDING ALLOCATIONS
The RDA Finance Committee ("Committee") recommends that funding be allocated to projects in
the order of Priority Ranking. Of the $6,246,096 available for citywide projects, the Committee
recommends that funding be allocated to all of the Tier I projects. If additional funding becomes
available, either through the identification of additional funds or if one of the Tier I projects does not
result in a viable loan, the Committee recommends that funding be allocated to the Tier 2 projects in
order of Priority Ranking.
FUNDING PRIORITY
PROJECT/APPLICANT ADDRESS RECOMMEND PRELIMINARY TERMS RANKING
549 W 200 South $1,000,000 1%interest rate,30 year 1
term,cash flow repayment
274 W 200 South $1,000,000 1.5%interest rate,30 year 2
• term,cash flow repayment
w 1500 W North $3,956,000 2%interest rate,30 year 3
Temple term,cash flow repayment
501 E 1700 South $150,000 1%interest deferred loan,2 4
yearterm
SUBTOTAL $6,106,000
1962 S 200 East $1,000,000 30 year treasury rate,35 5
year term,cash flow
repayment
j N 570 W 400 South $1,500,000 2%interest rate,40 year 6
W ,: term,cash flow repayment
UJ
~ 216 W Paxton $1,500,000 1.5%interest rate,3 year 7
term,deferred payments
SUBTOTAL $4,000,000
3
EXHIBIT B:
NOFA RDA BOARD FUNDING ALLOCATIONS
4
EXHIBIT B:
NOFA RDA FUNDING ALLOCATIONS
The RDA Board of Directors("Board") approves that$6,106,000 be allocated to the Tier 1 projects
as provided below. If additional funding becomes available, either through the identification of
additional funds or if one of the Tier 1 projects does not result in a viable loan, the Board approves
that funding be allocated to the Tier 2 projects in order of Priority Ranking.
FUNDING PRIORITY
PROJECT/APPLICANT ADDRESS RECOMMEND PRELIMINARY TERMS RANKING
549 W 200 South $1,000,000 1%interest rate,30 year 1
term,cash flow repayment
274 W 200 South $1,000,000 1.5%interest rate,30 year 2
. term,cash flow repayment
w 1500 W North $3,956,000 2%interest rate,30 year 3
Temple term,cash flow repayment
501 E 1700 South $150,000 1%interest deferred loan,2 4
yearterm
SUBTOTAL $6,106,000
1962 S 200 East $1,000,000 30 year treasury rate,35 5
year term,cash flow
repayment
CN 570 W 400 South $1,500,000 2%interest rate,40 year 6
W term,cash flow repayment
w_
~ 216 W Paxton $1,500,000 1.5%interest rate,3 year 7
term,deferred payments
4
SUBTOTAL. $4,000,000