File #: 22-338    Version: 1 Name:
Type: Action Item Status: Agenda Ready
File created: 4/6/2022 In control: Housing Commission
On agenda: 4/12/2022 Final action:
Title: 9:15 A.M. - (Sitting as the Lake County Housing Authority Board of Commissioners) a) Consideration of First Amendment to the 2021 Agreement to Develop Affordable Housing by and Between the Lake County Housing Authority and the Rural Communities Housing Development Corporation; and b) Consideration of Request for an Audit
Sponsors: County Counsel, Bruno Sabatier
Attachments: 1. First Amendment to 2021 Agreement to Develop Affordable Housing, 2. 2021 Agreement Affordable Housing, 3. memo to Oversight Board Collier Avenue Project

Memorandum

 

 

Date:                                          April 12, 2022

 

To:                                          The Honorable Lake County Housing Authority

 

From:                                          a) Anita L. Grant, County Counsel

                                          b) Bruno Sabatier, District 2 Supervisor

 

Subject:                     (Sitting as the Lake County Housing Authority Board of Commissioners) a) Consideration of First Amendment to the 2021 Agreement to Develop Affordable Housing by and Between the Lake County Housing Authority and the Rural Communities Housing Development Corporation; and b) Consideration of Request for an Audit

 

Executive Summary:

The Lake County Housing Authority became the successor agency of the former Redevelopment Agency’s housing obligations and assets. In January of 2012, the Board of Supervisors adopted a resolution formally effectuating that transfer to the Lake County Housing Authority.

 

In March of 2012, the Oversight Board of the Successor Agency for the Lake County Redevelopment Agency took action in regard to the original Collier Avenue Affordable Housing Project which had been entered into with the Rural Communities Housing Development Corporation (RCHDC) and directed the Lake County Housing Authority to retain its deeds of trust on the Collier Avenue property to secure the loans made with the balance due and payable if five years unless the housing project was substantially completed.

 

For many reasons including the advent of a series of disaster and the lack of funding, the Collier Avenue project was not able to move forward.

 

In 2021, there was an opportunity to renegotiate an agreement with RCHDC to develop affordable housing. The 2021 Agreement to Develop Affordable Housing describes the terms and conditions of the negotiation which include the Housing Authority’s agreement to cancel and forgive the aforementioned deeds of trust. However, the renegotiated 2021 Agreement also improved the protections against loss to the Housing Authority. A copy of that 2021 Agreement is included with this Agenda Item.

 

Since the Housing Authority’s September 2021 approval of the renegotiated agreement with

 

RCHDC, the County has participated in several meetings of the Oversight Board of the Successor Agency for the Lake County Redevelopment Agency discussing the path forward to achieve the critical goal of providing affordable housing in Lake County.

 

At the March 7 meeting of the Oversight Board, I presented some suggestions to modify and add provisions to further strengthen the terms and conditions of the agreement approved in 2021.

The memo to the Oversight Board wherein those suggestions are made is also included as part of this Agenda Item. At that meeting, the Oversight Board suggested that these additions and modifications to the 2021 Agreement be presented for the approval of the Lake County Housing Authority.

 

Submitted here for the consideration of your Board is a draft First Amendment to the 2021 Agreement for the Development of Affordable Housing.

 

Approval of this amendment may be accomplished by motion. Thank you

 

 

If not budgeted, fill in the blanks below only:

Estimated Cost: ________ Amount Budgeted: ________ Additional Requested: ________ Future Annual Cost: ________ 

 

Consistency with Vision 2028 (check all that apply):                                           Not applicable

Well-being of Residents                                           Public Safety                                                                Disaster Prevention, Preparedness, Recovery                     

Economic Development                                           Infrastructure                                                                County Workforce                     

Community Collaboration                      Business Process Efficiency                      Clear Lake                                                               

 

Recommended Action:

 a) Approve First Amendment to the 2021 Agreement to Develop Affordable Housing by and Between the Lake County Housing Authority and the Rural Communities Housing Development Corporation

 

b) By motion Approve Request for an Audit