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Proposed Resolution - 7/13/2023 RESOLUTION NO. _____ OF 2023 Authorizing Impact Fee and Permit Fee Waivers and Refunds for Ivory University House L3C WHEREAS, the Salt Lake City Department of Community and Neighborhoods has proposed the waiver and refund of certain permit and impact fees (the “Fee Waiver”) paid by the Ivory University House L3C, a low-profit limited liability company (“University House”); and WHEREAS, University House is developing a student housing project at 434 South Mario Capecchi Drive (the “Project”); and WHEREAS, the Project will offer 465 units for 621 University of Utah students with a maximum rent per bed at or below 30% of the monthly income limit set by the Department of Housing and Urban Development for a single person household of 80% area median income (“AMI”) or below; and WHEREAS, all profits from the Project will be donated to a new scholarship fund at the University of Utah, with priority given to students with the most financial need, and if the Fee Waiver is granted, then University House will pledge scholarships for Salt Lake City residents in the amount of the Fee Waiver over a period of ten years; and WHEREAS, the Project provides rent rates at or below 80% AMI and significant public benefits but does not meet the City code requirements to waive permit fees or impact fees for affordable housing because University House is legally a for-profit entity and the Project is not income restricted as the residents will be students; and WHEREAS, Utah Code section 10-8-2 states that municipalities may appropriate funds for “corporate purposes only,” and those purposes are, in the judgment of the municipal 2 legislative body, any purpose that “provides for the safety, health, prosperity, moral well-being, peace, order, comfort, or convenience of the inhabitants of the city.” Utah Code § 10-8-2(3); and WHEREAS, Utah Code Section 10-8-2(3)(e) allows public entities to provide nonmonetary assistance and waive fees to for-profit entities after a public hearing and conducting a study to consider intangible benefits received by the municipality in determining net value received for the appropriation; and WHEREAS, the City performed an analysis (the “Analysis”) of the public benefits of providing the Fee Waiver to University House, which Analysis was included in the transmittal to the City Council before the public hearing; and WHEREAS, the City Council has, following the giving of not less than 14 days public notice, conducted a public hearing relating to the foregoing, in satisfaction of the requirements of Utah Code Section 10-8-2; and WHEREAS, the City Council has reviewed the Analysis, and has fully considered the conclusions set forth therein and all comments made during the public hearing; THEREFORE, BE IT RESOLVED by the City Council of Salt Lake City, Utah, as follows: 1. The City Council hereby adopts the conclusions set forth in the Analysis, and hereby finds and determines that, for all the reasons set forth in the Analysis, the Fee Waiver is appropriate under these circumstances. 2. The City Council hereby authorizes the City administration to waive and refund the fees consistent with this Resolution and incorporating such other terms and agreements as recommended by the City Attorney’s office. 3 Passed by the City Council of Salt Lake City, Utah, this _____ day of ________ 2023. SALT LAKE CITY COUNCIL By: ______________________ CHAIRPERSON ATTEST: ____________________________ CITY RECORDER APPROVED AS TO FORM: Salt Lake City Attorney’s Office ___________________________ Kimberly Chytraus, Senior City Attorney Date: ______________________ June 5, 2023