TO: Board of Supervisors
FROM: Ryan J. Alsop, County Executive Officer
REPORT BY: Jennifer Palmer, Director of Housing & Homeless Services
SUBJECT: Adopt a Resolution authorizing a loan of $200,000 for a five-unit affordable housing project in St. Helena
RECOMMENDATION
title
Adopt a Resolution authorizing a loan in the amount of $200,000 to 963 Pope St. LLC along with Napa Valley Community Housing as managing member to develop and provide five units of affordable housing in the City of St. Helena and approve a related Budget Amendment. (Fiscal Impact: $200,000 Expense; Affordable Housing Fund; Not Budgeted; Discretionary)
[4/5 vote required]
body
BACKGROUND
Napa County receives funds under its Affordable Housing and Incentives Ordinance (County Code Chapter 18.107) and implements resolutions to further the development of affordable housing throughout Napa County. 963 Pope St. LLC and Napa Valley Community Housing as managing member, a California Non-Profit Corporation, and Our Town St Helena, a California Non-Profit Corporation, have a Memorandum of Understanding and related Options to Purchase Agreement for the development of one (1) parcel of real property in Napa County, located at 963 Pope Street in St. Helena to develop five units of Low and Very Low Income Affordable Housing, known as The Pope Street Project (“Project”). The City of St. Helena has approved a loan of up to $1,000,000 from the City’s Housing Trust Fund and Measure E (Affordable Housing) Fund in August 2023. The financing plan for the Project includes an award of $1,011,976 from the California Housing and Community Development Department. On April 9, 2024, the Napa County Board of Supervisors reserved $200,000 of Affordable Housing funds (Resolution 2024-30) for the project, pending submittal(s) confirming all necessary permanent sources of funding for the project on or before May 30, 2024. All project funding sources were secured by the deadline and the project is ready to close on financing. Staff are returning with a resolution to execute the related loan documents and required budget amendment.
Requested Actions:
1. Approve a Budget Amendment increasing appropriation of $200,000 in Long Term Loans (2080010-56500), offset by available fund balance;
2. Adopt a Resolution authorizing the loan and related documents in the amount of $200,000 to 963 Pope St LLC along with Napa Valley Community Housing as managing member to develop and provide five units of affordable housing in the City of St. Helena.
FISCAL & STRATEGIC PLAN IMPACT
|
Is there a Fiscal Impact? |
Yes |
|
Is it currently budgeted? |
No |
|
Where is it budgeted? |
Affordable Housing Fund |
|
Is it Mandatory or Discretionary? |
Discretionary |
|
Discretionary Justification: |
There is no mandate to loan Affordable Housing funds to a particular project. The necessary project funds were reserved in April 2024 pending all other financing source commitments. |
|
Is the general fund affected? |
No |
|
Consequences if not approved: |
Pope Street Project will be unable to close on construction financing. |
ENVIRONMENTAL IMPACT
ENVIRONMENTAL DETERMINATION: The proposed action is not a project defined by 14 California Code
of Regulations 1538 (State CEQA Guidelines) and therefore CEQA is not applicable.