HomeMy WebLinkAboutCDC/2010-55
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RESOLUTION NO. CDC/2010-55
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RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF
THE CITY OF SAN BERNARDINO APPROVING AND AUTHORIZING 1)
THAT THE INTERIM EXECUTIVE DIRECTOR OF THE
REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO
("AGENCY") EXECUTE AMENDMENT NO. 2 TO THE 2009
NEIGHBORHOOD STABILIZATION PROGRAM SUB-RECIPIENT
AGREEMENT BY AND BETWEEN THE AGENCY AND AFFORDABLE
HOUSING SOLUTIONS OF SAN BERNARDINO, INC. ("SUB-RECIPIENT")
AND 2) THAT THE INTERIM EXECUTIVE DIRECTOR OF THE AGENCY
BE AUTHORIZED TO INCREASE THE CAPITAL ALLOCATION OF THE
AGENCY'S LOW AND MODERATE INCOME SET-ASIDE FUNDS IN THE
AMOUNT OF $4 MILLION TO THE SUB-RECIPIENT FOR THE PURPOSE
OF CONTINUING ITS FORECLOSURE MITIGATION ACTIVITIES
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WHEREAS, on September 21,2009, the Community Development Commission of the City
of San Bernardino ("Commission") approved the 2009 Neighborhood Stabilization Program
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("NSP") Sub-Recipient Agreement ("Sub-Recipient Agreement"), through which the Sub-Recipient,
Affordable Housing Solutions of San Bernardino, Inc., a California non-profit corporation, was
charged with acquiring properties in furtherance of the Neighborhood Stabilization Program
("NSP") with the intent of future rehabilitation and resale of single-family properties and the
demolition of other residential properties as determined to be appropriate in furtherance of the
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Agency's foreclosure mitigation activities; and
WHEREAS, the initial NSP funding allocation approved for these activities was $4,300,000
($3,700,000 for acquisition, rehabilitation and resale of single-family homes and $600,000 for
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acquisition and demolition of residential structures); and
WHEREAS additional non-NSP funds were also initially allocated to AHS under the same
approval authority for residential properties falling outside of the NSP target zone and included
$2,000,000 in Agency Low and Moderate Income Housing funds ("Low-Mod Funds") and
$2,000,000 in HOME Investment Partnership Funds ("HOME Funds"); and
WHEREAS, on December 21,2009, the Agency received authority to enter into Amendment
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No. 1 to the Sub-Recipient Agreement ("Sub-Recipient Amendment No.1") to add an additional
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$400,000 in NSP Funds and $1,000,000 in Low-Mod Funds to continue with acquisition and
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CDCj2010-55
1 demolition activities and an additional $500,000 in HOME Funds for the purpose of acquiring
2 residential properties outside of the NSP target zone; and
3 WHEREAS, since the initiation of foreclosure mitigation activities the Agency, through
4 Affordable Housing Solutions of San Bernardino, Inc. ("AHS"), has been successful in obligating
5 1 00% of the $8,408,558 in NSP funds initially allocated to the City of San Bernardino ("City") by
6 the U.S. Department of Housing and Urban Development ("HUD") resulting in the acquisition of up
7 to 55 residential properties accounting for 1 0 1 dwelling units as of June 30, 2010; and
8 WHEREAS, in light of the initial success of NSP and the knowledge that additional NSP
9 funds will be made available to the City by HUD at a future date, the Agency deems it desirable to
10 enter into Amendment No.2 to the Sub-Recipient Agreement ("Sub-Recipient Amendment No.2")
11 in the form as attached hereto as Exhibit "A" with the Sub-Recipient to provide an additional
12 $4,000,000 in Low-Mod Funds for the purpose of continuing the City's efforts at addressing
13 residential foreclosures; and
14 WHEREAS, the Agency has determined that the execution of the Sub-Recipient
15 Amendment No.2 and the fulfillment generally of the purposes of the Sub-Recipient Agreement are
16 in the vital and best interests of the City and the Agency.
17 NOW, THEREFORE, THE COMMUNITY DEVELOPMENT COMMISSION OF THE
18 CITY OF SAN BERNARDINO DOES HEREBY RESOLVE, DETERMINE AND ORDER, AS
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20 Section 1. The facts set forth in the Recitals to this Resolution are accurate and correct in all
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22 Section 2. The Commission hereby approves Sub-Recipient Amendment No.2 and hereby
23 authorizes the Interim Executive Director of the Redevelopment Agency of the City of San
24 Bernardino to execute Sub-Recipient Amendment No.2 on behalf of the Agency together with such
25 technical and conforming changes as may be recommended by the Executive Director, or Interim
26 Executive Director, as applicable, of the Agency and approved by the Agency Counsel.
27 Section 3. This Resolution shall take effect from and after its date of adoption by this
28 Commission.
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CDC/2010-55
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RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF
THE CITY OF SAN BERNARDINO APPROVING AND AUTHORIZING 1)
THAT THE INTERIM EXECUTIVE DIRECTOR OF THE
REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO
("AGENCY") EXECUTE AMENDMENT NO. 2 TO THE 2009
NEIGHBORHOOD STABILIZATION PROGRAM SUB-RECIPIENT
AGREEMENT BY AND BETWEEN THE AGENCY AND AFFORDABLE
HOUSING SOLUTIONS OF SAN BERNARDINO, INC. ("SUB-RECIPIENT")
AND 2) THAT THE INTERIM EXECUTIVE DIRECTOR OF THE AGENCY
BE AUTHORIZED TO INCREASE THE CAPITAL ALLOCATION OF THE
AGENCY'S LOW AND MODERATE INCOME SET-ASIDE FUNDS IN THE
AMOUNT OF $4 MILLION TO THE SUB-RECIPIENT FOR THE PURPOSE
OF CONTINUING ITS FORECLOSURE MITIGATION ACTIVITIES
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9 I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Community
10 Development Commission ofthe City of San Bernardino at a j oint regular
meeting
11 thereof, held on the 18th
12 Commission Members:
13 MARQUEZ
14 DES JARDINS
15 BRINKER
16 SHORETT
17 KELLEY
18 JOHNSON
MC CAMMACK
day of October
, 2010, by the following vote to wit:
Abstain
Absent
Nays
Ayes
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Secretary
",",Jr
The foregoing Resolution is hereby approved this OlO 'day of-----..-J)_ctober
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,2010.
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. Morris, e on
unity Development Commission
of the City of San Bernardino
26 Approved as to Form:
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28 By: E~e~~~~s~rl(vd?1/r--'
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CDC/2010-55
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EXHIBIT "A"
Amendment No.2 to the 2009
Neighborhood Stabilization Program Sub-Recipient Agreement
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CDC/2010-55
AMENDMENT NO.2
TO THE
NEIGHBORHOOD STABILIZATION PROGRAM
SUB-RECIPIENT AGREEMENT
BY AND BETWEEN
THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO
AND
AFFORDABLE HOUSING SOLUTIONS OF SAN BERNARDINO, INC.
This Amendment No.2 to the Neighborhood Stabilization Program Sub-Recipient Agreement
(this "Amendment No.2") is entered into on October 18, 2010, by and between the Redevelopment
Agency of the City of San Bernardino (the "Agency"), a public body, corporate and politic, and
Affordable Housing Solutions of San Bernardino, Inc., a California non-profit public benefit
corporation (the "Sub-Recipient"), and is entered into in consideration of the facts set forth in the
following Recital paragraphs:
-RECIT ALS-
A. The Sub-Recipient and the Agency have previously entered into an agreement entitled
"Neighborhood Stabilization Program Sub-Recipient Agreement", dated as of September 21, 2009 (the
"Sub-Recipient Agreement"), through which the Sub-Recipient was charged with acquiring properties
in furtherance of the Neighborhood Stabilization Program ("NSP") activity known as the Acquisition
and Demolition for future development program (the "Demolition Program") and with acquiring
properties with NSP funding for the purpose of rehabilitating them (the "Acquisition Program").
B. The Agency is desirous of working with the Sub-Recipient in acquiring properties for
both the Demolition Program and the Acquisition Program and has previously provided NSP funds and
Tax Increment Housing Set-Aside Funds ("Low and Moderate Income Funds") for the purpose of
acquiring and demolishing identified 4-plex, multi-family, residential properties and acquiring and
rehabilitating single-family residential properties within the City of San Bernardino ("City") as
stipulated in the Sub-Recipient Agreement.
C. As of June 30, 2010, both the Agency and the Sub-Recipient have obligated 100% of
the original NSP funding provided by the U.S. Department of Housing and Urban Development
("HUD") after having acquired one hundred one (101) dwelling units identified as eligible activities
under the Sub-Recipient Agreement. As of the effective date of this Amendment No.2, there still
remains abundant opportunity for the Sub-Recipient to acquire and demolish or acquire and
rehabilitate blighted properties in the City.
D. The continued supply of abandoned and foreclosed residential properties and the 100%
obligation ofNSP funds by the Agency and the Sub-Recipient have caused a further need to fund AHS
activities in support of the Demolition Program and Acquisition Program, respectively.
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E. The Agency is desirous of continuing NSP activities with the Sub-Recipient by
acquiring properties for the Acquisition Program and Demolition Program throughout City that are in a
state of disrepair in both NSP eligible and non-NSP eligible areas.
F. The Agency has determined that the continuation of the Demolition Program and the
Acquisition Program pursuant to the Sub-Recipient Agreement and this Amendment No. 2 and the
fulfillment generally of the purposes of the Sub-Recipient Agreement are in the vital and best interests
of the City and the Agency.
NOW, THEREFORE, IN CONSIDERATION OF THE MUTUAL COVENANTS AND
CONDITIONS CONTAINED HEREIN, THE AGENCY AND THE SUB-RECIPIENT AGREE AS
FOLLOWS:
Section 1. References to the Sub-Recioient Ae:reement: Defined Terms. (a) Unless the
context of the usage ofa term or phrase in this Amendment No.2 may otherwise require, the meaning
of words and phrases as contained in this Amendment No.2, which are indicated by an initially
capitalized letter, shall be the same as set forth in the Sub-Recipient Agreement.
(b) The information contained in the Recitals as set forth in this Amendment No.2 is true and
correct in all respects.
Section 2. Soecific Amendments to the Sub-Recioient Ae:reement. (a) The Sub-
Recipient Agreement is hereby amended by this Amendment No.2 in the manner as indicated in this
Section 2 and which changes and amendments shall be effective from and after the date of approval of
this Amendment No.2 by the Sub-Recipient and the Agency and execution hereof by the parties.
(b) Section S.B. of the Sub-Recipient Agreement is hereby amended by adding the following at
the end of said Section:
Additional amounts allocated to Sub-Recioient as of October 18.2010:
Source of Funds:
Dollar Amount:
Low and Moderate Income Housing Funds
(acquisition and demolition and acquisition
and rehabilitation)
$4,000,000
Section 3. Effect of Amendment No.2. Except as modified or amended by this
Amendment No.2, all ofthe provisions of the Sub-Recipient Agreement shall remain in full force and
effect following the effective date ofthis Amendment No.2.
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IN WITNESS WHEREOF, the parties hereto have accepted and made and executed this
Amendment No.2 upon the terms and conditions and with the provisions as set forth above and as of
the date first written above.
AGENCY
Redevelopment Agency of the City of San Bernardino,
a public body, corporate and politic
Date:
By:
Emil A. Marzullo, Interim Executive Director
Approved as to Form and Legal Content:
By: f~Ai~U,-- t7fl(~
, ency Counsel
SUB-RECIPIENT
Affordable Housing Solutions of San Bernardino, Inc.,
a California non-profit public benefit corporation
Date:
By:
Title:
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