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HomeMy WebLinkAboutResolution No. 368 Resolution No. 368 Page 1 of 2 CITY OF MEDINA, WASHINGTON RESOLUTION NO. 368 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MEDINA, WA AUTHORIZING THE DULY-APPOINTED ADMINISTERING AGENCY FOR ARCH TO EXECUTE ALL DOCUMENTS NECESSARY TO ENTER INTO AGREEMENTS FOR THE FUNDING OF AFFORDABLE HOUSING PROJECTS, AS RECOMMENDED BY THE ARCH EXECUTIVE BOARD, UTILIZING FUNDS FROM THE CITY’S GENERAL FUND ALLOCATION WHEREAS, A Regional Coalition for Housing (ARCH) was created by interlocal agreement to help coordinate the efforts of Eastside cities to provide affordable housing; and WHEREAS, the ARCH Executive Board has recommended that the City of Medina participate in the funding of certain affordable housing projects and programs; and WHEREAS, the ARCH Executive Board has developed a number of recommended conditions to ensure that the City’s affordable housing funds are used for their intended purpose and that projects maintain their affordability over time; and WHEREAS, the City Council has approved the Amended and Restated Interlocal Agreement for ARCH; and WHEREAS, the City Council desires to use City funds as to finance the projects recommended by the ARCH Executive Board; now, therefore, THE CITY COUNCIL OF THE CITY OF MEDINA, WA., DOES RESOLVE AS FOLLOWS: Section 1. The City Council authorizes the duly-appointed administering agency of ARCH pursuant to the Amended and Restated Interlocal Agreement for ARCH to execute all documents and take all necessary actions to enter into Agreements on behalf of the City to Friends of Youth, Habitat and Providence in an amount not to exceed $10,496. Section 2. The Agreements entered into pursuant to Section 1 of this resolution shall be funded in a combined amount not to exceed that set forth in Section 1. Such Agreements shall include terms and conditions to ensure that the City’s funds are used for their intended purpose and that the project maintains its affordability over time. In determining what conditions should be included in the Agreements, the duly-appointed administering agency of ARCH shall be guided by the recommendations set forth in the ARCH Executive Board’s memorandum of January 10, 2014, a copy of which is attached hereto as Exhibit A. Resolution No. 368 Page 2 of 2 PASSED AND ADOPTED by the City Council of the City of Medina this 10th day of March, 2014, and signed in authentication of its passage this 10th day of March, 2014. Together Center Campus 16225 NE 87th Street, Suite A-3 ♦ Redmond, Washington 98052 (425) 861-3677 ♦Fax: (425) 861-4553 ♦ WEBSITE: www.archhousing.org BEAUX ARTS VILLAGE ♦BELLEVUE ♦BOTHELL ♦CLYDE HILL ♦HUNTS POINT ♦ISSAQUAH ♦ KENMORE ♦KIRKLAND MEDINA♦MERCER ISLAND ♦ NEWCASTLE ♦REDMOND ♦ SAMMAMISH ♦WOODINVILLE ♦YARROW POINT ♦KING COUNTY (DRAFT) MEMORANDUM TO: City of Bellevue Council Members City of Clyde Hill Council Members Town of Hunts Point Council Members City of Issaquah Council Members City of Kenmore Council Members City of Kirkland Council Members City of Medina Council Members City of Mercer Island Council Members City of Newcastle Council Members City of Redmond Council Members City of Sammamish Council Members City of Woodinville Council Members Town of Yarrow Point Council Members FROM: Kurt Triplett, Chair, and ARCH Executive Board DATE: January 10, 2014 RE: Fall 2013 Housing Trust Fund (HTF) Recommendation The ARCH Executive Board (EB) has completed its review of the five applications and two amendments for the Fall 2013 Housing Trust Fund round. In light of two likely preservation projects totaling 105 units, two projects on city-donated land, and a funding landscape at the County and State level that is most challenging, the EB recommends funding three projects currently. Recommendations total $1,300,000 as summarized in the attached table, Proposed Funding Sources. The actual amount will depend on final action by the City Councils. Following is a summary of the applications, the EB recommendation and rationale, and proposed contract conditions for the three proposals recommended for funding at this time. Also enclosed is an economic summary for the three projects recommended for funding, leveraging charts, project summary table, and a summary of funded projects to date. It is noted that for two of the proposals, the EB is recommending funding levels greater than originally requested. There are several for these recommendations. First, overall State funding was decreased in the current biennium budget, and the State is using a prescribed list of projects with few priority projects located in East King County. Second, given the number of projects applying to the County, the County is unable to offset reductions in potential State funding. Therefore, for local projects to proceed they may need more local funding than has been typical in the past. Third, changes in federal guidelines have impacted how the County can make some of its funds available. EXHIBIT A 2 1. Friends of Youth Extended Foster Care Funding Request: $100,000 (Secured Grant) Plus 2 Section 8 Vouchers 10 beds EB Recommendation: $100,000 (Secured Grant) Plus 2 Section 8 Vouchers See attached Funding Chart for distribution of City Funds Project Summary: Friends of Youth is a local agency providing counseling and shelter to homeless youth and young adults. The application is for funding construction of two new single-family homes to serve youth in extended foster care on their campus in the Kingsgate neighborhood of Kirkland. This is in addition to the two homes funded in the prior round. The project will expand the safety net for youth aging out of traditional foster care, allowing young people up to age 21 referred through the foster care system and in need of enhanced services offered by Friends of Youth. Each home will house 5 young people and provide residential staff, specialized case managers, on-site mental health services, like skills classes, and employment and education support. To participate in the Extended Foster Care program, youth must agree to actively work toward their GED, high school diploma, college degree, or vocational certificate or be enrolled in a program promoting employment or removing barriers to employment. Friends of Youth will provide the stability they need to reach these milestones and additional tutoring and mentoring support as needed. Friends of Youth is purposely designing these new homes to create a shared living experience and home-like environment. The homes best meets the developmental needs of youth in Extended Foster Care by creating opportunities to build permanent connections with caring adults and peers and improving their emotional wellbeing through a positive and structured living environment. Funding Rationale: The EB supported the intent of this application for the following reasons: • This project increases the number of extended foster care beds by 10 for young adults, which will be supported through State operating assistance. • Developer is experienced and successful in serving this population. Provides special needs housing which is an area we are short of our long term goals. • Developer has raised 67% of private funding towards the four component projects on the site along with the Teen Drop-In Center in Redmond. One foundation’s pledge commitment for a substantial portion of funding for these homes has timing constraints. • Location of project has access to public transportation, hospital, schools, library and employment opportunities nearby. • Should operating support go away, these houses as designed could become income- restricted rental properties. EXHIBIT A 3 • Project is first Alternate on the State LEAP list, and thus able to access State funding. Potential Conditions: Standard Conditions: Refer to list of standard conditions found at end of this memo. Special Conditions: 1. The funding commitment shall be for twelve (12) months from the date of Council approval and shall expire thereafter if all conditions are not satisfied. An extension may be requested to ARCH staff no later than sixty (60) days prior to the expiration date. ARCH staff will consider an extension only on the basis of documented, meaningful progress in bringing the project to readiness or completion 2. Funds will be in the form of a secured grant with no repayment, so long as affordability and target population is maintained, and the service funds necessary to provide services to this population are available. 3. A covenant is recorded ensuring affordability for ten (10) beds for at least fifty (50) years at 30% AMI maximum income. 4. Funds shall be used by Friends of Youth toward construction, architecture, engineering, geotechnical, development and other consultant fees, insurance, permits, fees and hookups, development period utilities and accounting costs. Funds may not be used for any other purpose unless ARCH staff has given written authorization for the alternate use. 5. Friends of Youth shall submit quarterly to ARCH updates on the progress of the Capital Campaign demonstrating active solicitation and amounts pledged and secured against campaign targets. 6. Prior to starting construction on individual buildings, the Agency shall provide evidence of commitment of all public and private funds to complete the building(s). Friends of Youth shall provide documentation of funds raised through the Friends of Youth capital campaign and/or a corporate guarantee approved by City staff prior to funding. 7. Reserves will be funded out of operations at $4,000 for the first year with an annual increase of 2.5% per year for replacement reserves and $3,500 for the first year with an annual increase of 2.5% per year for operating reserves. 8. The Agency shall submit an updated operating budget which demonstrates sufficient commitment of all public and private operating support in the project including Section 8 subsidy from the King County Housing Authority, and reimbursement rate for extended foster care. In the event that any operating support funding levels will be reduced, the Agency shall inform ARCH Staff about the impacts the proposed reduction will have on the budget and plan for services to clients, and what steps shall be taken to address the impacts. A new budget or services plan must be approved by the ARCH. In the event of loss of funding homes could be re-purposed as foster homes. 9. Friends of Youth shall continue with its outreach plan for the campus as submitted to ARCH with the prior award. The agency shall host an open house to inform neighbors of the new Extended Foster Care program. 10. Prior to release of funds, the Agency shall submit to ARCH staff for review and approval drafts of all documents related to the provision of services to residents and management of the property, including any licensing-related management and service provider plans. These documents shall at a minimum address: management procedures to address tenant needs; EXHIBIT A 4 services provided for or required of tenants; management and operation of the premises; community and neighbor relations procedures; a summary of ARCH’s affordability requirements as well as annual monitoring procedure requirements. 2. Habitat Sammamish Cottage Demonstration Project Funding Request: $200,000 (Secured Grant) 10 Homeownership Units EB Recommendation: $400,000 (Secured Grant) See attached Funding Chart for distribution of City Funds Project Summary: Habitat for Humanity of Seattle King County proposes to build up to a 10 unit cottage development on city-donated surplus land on 228th Ave SE in Sammamish. There would be a mix of 2-bedroom, 3-bedroom units and 4-bedroom units ranging in size from 1,000 to 1,400 square feet. Half of the homes would be sold to households at less than 50% of area median income and half at 60%. One of the homes would be ADA (Americans with Disabilities Act) adaptable. Habitat uses a land trust model. Habitat owns the land and sells the units built on the land. Habitat carries the mortgage at no-interest, and at resale holds the rights to purchase the unit or assign the right to purchase to a qualified buyer. Habitat also maintains a fund for such purchases if the need arises. If Habitat chooses not to buy then King County and ARCH then have that right to purchase or assign its right to a qualified buyer. In all cases, the price and the income for the buyer is restricted. Proposed funding would help pay for the infrastructure. Habitat would use volunteers to construct the units, and each of the families selected to own homes would be required to perform at least 500 hours of sweat equity in the development of the homes. Habitat intends to start fundraising for the construction of the homes as soon as they break ground. The EB recommends a funding amount larger than requested for several reasons. First, changes in federal regulations limit the ability for County funds to be used for infrastructure and more appropriate for home construction. Application for home construction needs to wait until closer to start of home construction. Second, the request for County funding was relatively large in order to help offset the project not being able to apply for State funding in this biennium. King County indicated it would be unable to make up all this difference, so requested a smaller request from Habitat in any future application. Third, in order for the project to proceed in a timely manner, Habitat indicated that with the level of proposed support, they would be able to private fundraise the balance of the infrastructure costs and maintain the current schedule. Funding Rationale: The EB supported the intent of this application for the following reasons: EXHIBIT A 5 • Provides ownership opportunity to low income families in a high cost area and is the first project funded through the ARCH Trust Fund located in Sammamish • Would serve as a cottage demonstration project in the community • City donated site to Habitat • Convenient to shopping and schools • Close to transit • City donated the site Potential Conditions: Standard Conditions: Refer to list of standard conditions found at end of this memo Special Conditions: 1. The funding commitment shall continue for nine (9) months from the date of Council approval and shall expire thereafter if all conditions are not satisfied. An extension may be requested to ARCH staff no later than sixty (60) days prior to the expiration date. ARCH staff will consider an extension only on the basis of documented, meaningful progress in bringing the project to readiness or completion. Commitment shall end if City terminates its contract with Habitat. 2. Habitat shall demonstrate having all available funding for all predevelopment and infrastructure work prior to release of funds. This shall include Habitat submitting updated cost estimates for infrastructure work along with engineered drawings and specifications for City staff to review for cost reasonableness. 3. Prior to starting construction on individual buildings, the Agency shall provide evidence that it has sufficient resources to complete the building. 4. Funds shall be used by Habitat toward infrastructure construction. Funds may not be used for any other purpose unless city staff has given written authorization for the alternate use. 5. The cumulative amount of other public funds from King County and the State awarded to this project shall not exceed $500.000. In the event more funds are awarded from these sources, the funding award from City funds will be reduced by the amount of funds awarded by the County and State in excess of $500,000 up to a maximum amount of $200,000. In the event city funds have already been dispersed in excess of the final loan amount, Habitat will reimburse any difference. 6. Funds will be in the form of a secured grant with no repayment, so long as affordability and target population is maintained. Repayment is required if the property is no longer used for its intended purpose. 7. A resale agreement is recorded ensuring affordability for each of the ten (10) homeownership units for families for at least 75 years. The units shall be affordable to and made available to families with incomes at or below 60% of median income, with the majority of units affordable and made available to families at or below 50% of median income. Form of resale agreements to ensure long term affordability will be submitted to City staff for their review and approval. 8. Submit a copy of proposed land trust and Homeowner Association documents. Homeowner Association documents must provide for ongoing maintenance of property and buildings and EXHIBIT A 6 set forth the ongoing role of Habitat in the operations and management of the property, as well as identify how the Homeowner Association’s budgets decisions, including the use of Dues, will be controlled so that appropriate property management is assured throughout the duration of affordability. 9. Prior to the release of funds, prior to any marketing or screening of potential buyers, submit for review and approval a marketing and outreach plan setting forth Habitat’s strategies for identifying potential homebuyers and that emphasizes identifying homebuyers with east King County association (e.g. current residency, employment, family). For example, local targeted marketing outreach to local business and community organizations. EXHIBIT A 7 3. Providence/SRI Redmond Senior Apartments Funding Request: $100,000 (Deferred, Contingent Loan) plus 8 Section 8 Vouchers 74 units plus unrestricted manager’s unit EB Recommendation: $800,000 (Deferred, Contingent Loan) plus 8 Section 8 Vouchers See attached Funding Chart for distribution of City Funds Project Summary: Providence Health and Services - Washington – a non-profit health care provider has been in the affordable housing business since 1985 and now owns 14 properties with 713 units of low- income housing in Washington. They were selected by the City of Redmond through an extensive RFP process, and are proposing a 75 unit new construction project for seniors. It is located across the street from the Redmond Library, municipal campus and Redmond Senior Center in Redmond on City-donated land (the city will hold a long-term nominal cost lease on the property). The site is also on the Rapid Ride transit line, and benefits from having medical, shopping and recreational facilities very nearby. The proposed building is four levels of wood construction over structured below grade parking and ground floor community, amenity and commercial space. The commercial space, an 8,000 square foot PACE (Program for All-inclusive Care for the Elderly) Center, will be separate in ownership and operationally from the housing, but managed by Providence. The PACE center will serve the community at large. The residential project is designed to serve seniors living independently, aged 62 or over, at 30%, 40% and 60% of Area Median Income (AMI). There shall be a 20% set aside for disabled elderly. Providence wants to set aside eight (8) of those units to serve frail elderly in concert with having the PACE center in the building. The ground floor will have manager’s unit, management offices, lobby/sitting area, coffee bar, community meeting rooms and dog wash area. These community spaces will be oriented towards the southern part of the site, where they connect with the existing downtown pedestrian trail system. The city adopted a reduced parking ratio for this project given its transit oriented/urban location and senior population. The facility will be designed according to Universal Design principles, allowing residents to age in place. The EB recommends a higher level of funding than requested based on funding availability at the State and County as described previously. Funding Rationale: The EB supported the intent of this application for the following reasons: • Experienced applicant. • Financially strong development sponsor. EXHIBIT A 8 • Donated site by the City. • Serves a range of lower income senior households. • The project expands affordable residential development within the downtown. • Site has access to transit, shopping and is near a major hospital/medical complex. • Project leverages a substantial amount of Tax Credit equity. • The PACE center provides services to the region’s qualified seniors Potential Conditions: Standard Conditions: Refer to list of standard conditions found at end of this memo Special Conditions: 1. The funding commitment shall continue for eighteen (18) months from the date of Council approval and shall expire thereafter if all conditions are not satisfied. An extension may be requested to City staff no later than sixty (60) days prior to the expiration date. City staff will consider an extension only on the basis of documented, meaningful progress in bringing the project to readiness or completion. 2. Funds shall be used by Providence toward infrastructure costs, impact and mitigation fees. Funds may not be used for any other purpose unless city staff has given written authorization for the alternate use. 3. Funds will be in the form of a deferred, contingent loan. Loan terms will account for various factors, including loan terms from other fund sources and available cash flow. Final loan terms shall be determined prior to release of funds and must be approved by City Staff. Based on the preliminary development budget, it is anticipated that loan payments will be based on a set repayment schedule, and begin after repayment of the deferred developer fee (approximately year 15), with 1% interest. The terms will also include a provision for the Agency to a deferment of a payment subject to approval by City staff, if certain conditions are met (e.g. low cash flow due to unexpected costs). Any deferred payment would be repaid from future cash flow or at the end of the amortization period. 4. Until such time as the any deferred developer fee structured into the sources is fully repaid, all cash flow after payment of operating expenses and debt service, shall be used to repay the deferred developer fee or go towards project reserves as approved by City Staff. 5. Submit for review and approval a management plan that includes types of services and programs that will be available for the residents, and how it integrates with the operation of the PACE center. The plan shall also address how parking will be managed on an ongoing basis, and shall also include management procedures to address tenant needs; services provided for or required of tenants; management and operation of the premises; targeted outreach to community and senior centers; a summary of ARCH’s affordability requirements as well as annual monitoring procedure requirements. 6. Agency shall submit a marketing plan for approval by ARCH and City staff. The plan should include how the Agency will do local targeted marketing outreach to local business and community organizations such as senior and community centers. 7. A covenant is recorded ensuring affordability for at least 50 years, with affordability as shown in the following table. Affordability levels will be defined using the requirements for EXHIBIT A 9 tax credits, and utility costs will be based on King County Housing Authority allowances, unless otherwise approved by City Staff. Affordability (Pct of Median Income) Studio One BR Two BR Total * 30% 6 31 37** 40% 16 4 20 60% 13 4 17 Unrestricted (Mgr) 1 1 TOTAL 6 60 9 75 * Up to 20% of the units shall be set aside for seniors living with disabilities ** Up to 8 of the units can be Section 8 units. The final mix of studio and one bedroom units will be approved by City staff. Considerations in the determination of unit mix will be include overall need in the community, unit mix of existing federally assisted and Section 8 assisted housing for seniors in east King County, and Section 8 program requirements. The project shall maintain project-based Section 8 funding for eight (8) units of senior housing so long as it is available. If Section 8 funding is no longer available, the City shall be notified at the earliest time the Owner knows Section 8 is/will no longer be available. The City and the Agency shall work with the other funders which maintain affordability requirements together to determine if the affordability requirements need to be adjusted for some or all of the previous Section 8 units, not to exceed 60% of median income in order to generate sufficient revenue to meet the project’s required housing expenses and required debt service and other lender and investor provisions. The following projects are not recommended for funding at this time, but are encouraged to reapply in a future funding round: 1. Community Homes 8 Funding Request: $125,000 (Secured Grant) 5 Beds EB Recommendation: Not to fund at this time, but to have agency reapply in the next funding round Project Summary: Community Homes, Inc. (CHI) is proposing to acquire and remodel a home that will serve five (5) low-income aging adults with developmental disabilities. The group home setting accommodates those can no longer live in other settings. The community within the home allows them to live as independently as possible. A specific home will be identified once funding is committed. Criteria for selecting the particular property includes a minimum size of 2,500 EXHIBIT A 10 square feet, the physical layout and ease of renovation of the house as well as neighborhood amenities such as sidewalks, access to stores, public services, transportation and recreation. The residents will live in a shared living arrangement, along with a live-in care provider. Each tenant will have their own bedroom. Residents will share two bathrooms and a resident community living area with kitchen. If necessary, as in the case of prior homes, the existing garage may be converted to living space. Rationale for not funding: The EB supported the intent of this application for the following reasons: • Serves aging developmentally disabled residents • Provides housing for a population (Special Needs housing) that currently is below long term ARCH Trust Fund goals • Property will have live in care provider supplemented by day staff • Acquisitions to be done near transit and community amenities • Developer has eighteen year track record with properties in King County and good reputation with funders and Department of Developmental Disabilities • Private funding is a major portion of the sources. Agency will fundraise for capital funding The EB supports the concept of the CHI proposal; but given current round funding constraints, it does not recommend making a funding recommendation at this time. The EB would welcome an application in the next round. This would also provide an opportunity for CHI to organize and begin their capital campaign. In the event CHI does provide an application to ARCH in the upcoming round, the application should provide a description of the capital campaign and progress to date. 2. Parkview Homes XI Funding Request: $175,300 (Secured Grant) 3 Beds EB Recommendation: Not to fund at this time, but to have agency reapply in the next funding round Project Summary: Parkview Services, a Shoreline-based non-profit organization which to date has done 158 beds in 53 properties in the region, with this project is proposing to develop three homes in two counties. The ARCH application is to help fund one of those homes, a Supportive Living Services Home in Newcastle, Bellevue or Redmond. For the East King County home they plan to acquire and remodel a three-bedroom house that will serve three (3) low-income individuals with developmental disabilities. A specific home will be identified once all funding is committed. Improvements will include remodeling to meet both Evergreen sustainability and ADA EXHIBIT A 11 (Americans with Disabilities Act) accessibility standards, and a monitored fire suppression system. There currently is no site control. The house to be bought will be remodeled to include accessibility features necessary for the initial tenants and for future tenants. Parkview will be looking to acquire suitably laid out minimum 1,500 square foot rambler-style houses that can easily be modified for accessibility. Rationale for not funding: The EB supported the intent of this application for the following reasons: • Serves neediest developmentally disabled residents by relying on referrals from the State DDA for new residents • Provides housing for a population (Special Needs housing) that currently is below long term ARCH Trust Fund goals • Property will have 24/7 non-resident care provider coverage • Acquisitions to be done near transit and community amenities • Developer has long track record with properties in King County and good reputation with funders and Developmental Disabilities Administration • Is on the Department of Commerce Trust list in the special needs set aside as incorporated in the state capital budget. The EB supports the concept of the Parkview proposal; but given current round funding constraints, it does not recommend making a funding recommendation at this time. The EB would welcome an application in the next round. This would also provide an opportunity for Parkview to identify and secure additional capital funds. Standard Conditions applicable to all projects 1. The Applicant shall provide revised development and operating budgets based upon actual funding commitments, which must be approved by city staff. If the Applicant is unable to adhere to the budgets, City or Administering Agency must be immediately notified and (a) new budget(s) shall be submitted by the Applicant for the City’s approval. The City shall not unreasonably withhold its approval to (a) revised budget(s), so long as such new budget(s) does not materially adversely change the Project. This shall be a continuing obligation of the Applicant. Failure to adhere to the budgets, either original or as amended may result in withdrawal of the City's commitment of funds. 2. The Applicant shall submit evidence of funding commitments from all proposed public sources. In the event commitment of funds identified in the application cannot be secured in the time frame identified in the application, the Applicant shall immediately notify City or Administering Agency, and describe the actions it will undertake to secure alternative funding and the timing of those actions subject to City or Administering Agency's review and approval. 3. In the event federal funds are used, and to the extent applicable, federal guidelines must be met, including but not limited to: contractor solicitation, bidding and selection; wage rates; EXHIBIT A 12 and Endangered Species Act (ESA) requirements. CDBG funds may not be used to repay (bridge) acquisition finance costs. 4. The Applicant shall maintain documentation of any necessary land use approvals and permits required by the city where the homes are located. 5. Submit monitoring reports quarterly through completion of the project, and annually thereafter. Submit a final budget upon project completion. If applicable, submit initial tenant information as required by City or Administering Agency. EXHIBIT A ARCH HOUSING TRUST FUND (HTF) APPLICATIONS 2013 Applicant Funding Recommendation (Grant/Loan) Housing Type/ # of units/ bdrms Income Served Project Location Duration of benefit Total cost per unit HTF cost per affordable unit Project completion Friends of Youth Extended Foster Care Housing Recommendation: $100,000 (Grant) Plus 2 Vouchers New construction of two homes each housing 5 homeless young adults 10 10 @ 30% 13116 132nd St. Kirkland 50 Years $109,862/bed $10,000 Summer 2014 Habitat SKC Sammamish Recommendation: $400,000 (Grant) Plus fee waivers New Construction Homeownership 10 6@50% 4 @ 60% 2004 228th Ave SE, Sammamish 75 Years $351,799 (Includes fair market value of donated labor and materials) $40,000 Winter 2017 Providence/SRI Redmond Senior Apartments Recommendation: $800,000 (Deferred Loan) Plus 8 Vouchers New construction Senior rental housing in Downtown Redmond with 20% Frail Elderly set- aside 74 + 1 Mgr Unit 37 at 30% 20 at 40% 17 at 60% 1 mkt rate mgr unit (20% Disabled set aside) 8550 160th Ave NE, Redmond 50 Years $265,780/ affordable unit $10,811 Spring 2016 Community Homes, Inc. 8th Adult Family Home Recommendation: $0 Acq/Rehab of Home for Developmentally Disabled 4 5 @ 30% ARCH Sphere of Influence – Site to be determined 50 Years $181,500/bed $25,000 Spring 2015 Parkview Services DD Home Recommendation: $0 Acq/Rehab of Home for Developmentally Disabled 3 3 @ 30% ARCH Sphere of Influence – Site to be determined 50 Years $176,336/bed $58,433 Winter 2014 EXHIBIT A 2013 HOUSING TRUST FUND: PROPOSED FUNDING SCOURCES Habitat Providence FOY SOURCE Request 200,000$ 100,000$ 100,000$ 400,000$ CAB Recommendation 400,000$ 800,000$ 100,000$ 1,300,000$ Current Funding Sub-Regional CDBG 200,000$ 200,000$ Bellevue CDBG -$ General Fund 128,602$ 100,000$ 32,150$ 260,752$ Issaquah General Fund 39,416$ 57,299$ 9,854$ 106,569$ Kirkland General Fund 95,235$ 138,443$ 23,809$ 257,486$ Mercer Is. General Fund 6,512$ 9,467$ 1,628$ 17,608$ Redmond General Fund 64,862$ 51,721$ 16,215$ 132,798$ CDBG *148,038$ 148,038$ Newcastle General Fund 8,744$ 12,712$ 2,186$ 23,642$ Kenmore General Fund 36,784$ 53,472$ 9,196$ 99,452$ Woodinville General Fund 4,104$ 5,966$ 1,026$ 11,095$ Sammamish General Fund 4,897$ 7,118$ 1,224$ 13,239$ Clyde Hill General Fund 4,881$ 7,095$ 1,220$ 13,197$ Medina General Fund 3,882$ 5,643$ 971$ 10,496$ Yarrow Point General Fund 1,268$ 1,843$ 317$ 3,428$ Hunts Point General Fund 814$ 1,183$ 203$ 2,200$ TOTAL 400,000$ 800,000$ 100,000$ 1,300,000$ CDBG -$ 348,038$ -$ 348,038$ General Fund 400,000$ 451,962$ 100,000$ 951,962$ TOTAL PROJECT EXHIBIT A ARCH HOUSING TRUST FUND, 2013 Leveraging Funds - - City Land and Fee waiver $453,540 $1,439,060 $1,892,600 New ARCH Request $100,000 $400,000 $800,000 $1,300,000 ARCH TOTAL 100,000$ 9%853,540$ 24%2,239,060$ 11%3,192,600$ King County Prior KC Commitment $0 HOF/HOME/CDBG $200,000 $491,567 $1,734,944 $2,426,511 2060/2163 $0 Veterans/Human Services $0 Other $0 KC TOTAL 200,000$ 18%491,567$ 14%1,734,944$ 9%$2,426,511 Prior WA Commitment $0 WA HAP $0 WA HTF $504,525 $504,525 WA HFC (Equity Fund)$0 WSHFC Washington Works $0 WA TOTAL 504,525$ 46%-$ 0%-$ 0%$504,525 Federal/HUD $0 Section 811 $0 McKinney $0 Other (VA Per Diem)$0 FEDERAL TOTAL -$ 0%-$ 0%-$ 0%$0 Tax Credits 0%0%$13,662,294 69%$13,662,294 Prior Tax Credit Commitment 0%0%0%$0 TCAP 0%0%0%$0 Bonds 0%0%0%$0 Bank Loans 0%0%$1,702,169 9%$1,702,169 Deferred Developer Fee 0%0%$329,221 2%$329,221 Private $294,094 27%$2,172,884 62%0%$2,466,978 Other 0%0%0%$0 TOTAL COST 1,098,619$ 100%3,517,991$ 100%19,667,688$ 100%24,284,298$ Redmond Senior Apts TOTAL Friends of Youth YYA Houses 3 and 4 Habitat Sammamish Providence/SRI EXHIBIT A ECONOMIC SUMMARY: FRIENDS OF YOUTH – EXTENDED FOSTER CARE 1. Applicant/Description: FOY / Construction of two new homes each providing housing for 5 young adults in extended foster care 2. Project Location: 13116 NE 132nd Street, Kirkland 3. Financing Information: Funding Source Funding Amount Commitment ARCH $100,000 Applied for Fall 2013 King County $200,000 Committed 2013 Commerce Trust Fund $504.524 Committed 2013 From Capital Campaign $504,094 Underway Owner Equity $124,744 Committed TOTAL $1,098,618 4. Development Budget: ITEM TOTAL PER BED HTF Acquisition * $124,744 $12,474 Construction $775,698 $77,570 $53,044 Design $47,710 $4,7711 $8,500 Consultants $42,189 $4,219 $4,100 Developer fee $0 $0 Finance costs $11,161 $1,116 Reserves $25,000 $2,500 Permits/Fees/Other $72,116 $7,212 $34,356 TOTAL $1,098,618 $109,862 $100,000 * Value of these lots, previously acquired by agency in the Youth Haven project (2011) and paid by FOY 5. Debt Service Coverage: Secured grant, no repayment if in compliance. 6. Security for City Funds: • A recorded covenant to ensure affordability and use for targeted population for 50 years. • A promissory note secured by a deed of trust. The promissory note will require repayment of the grant amount upon non-compliance with any of the funding conditions. 7. Rental Subsidy: Two Section 8 vouchers EXHIBIT A ECONOMIC SUMMARY: HABITAT FOR HUMANITY SAMMAMISH COTTAGE DEMONSTRATION 1. Applicant/Description: Habitat for Humanity Seattle – King County / Construction of 10 units of affordable family ownership housing 2. Project Location: 2004 228th Ave, SE, Sammamish 3. Financing Information: Funding Source Funding Amount Commitment ARCH $400,000 Applied for Fall 2013 Donated Land and Fee Waivers $453,540 Land: Sammamish Council Action in 2012 King County $491,567 To be applied for in 2014, for home construction Habitat Capital $406,496 Committed In Kind/Private (primarily for home construction) $1,766,388 To be secured TOTAL $3,517,991 4. Development Budget: ITEM TOTAL PER HOME HTF Acquisition $400,000 $40,000 Construction $2,681,615 $268,162 $400,000 Design $60,000 $6,000 Consultants $62,300 $6,230 Developer fee $0 $0 Finance costs $0 $0 Reserves $0 $0 Permits/Fees/Other $324,076 $32,408 TOTAL $3,517,991 $351,800 $400,000 5. Debt Service Coverage: Secured grant, no repayment if in compliance. 6. Security for City Funds: • A recorded covenant for each unit to ensure affordability and use for targeted population for 75 years. • A promissory note secured by a deed of trust. The promissory note will require repayment of the grant amount upon non-compliance with any of the funding conditions. 7. Rental Subsidy: None EXHIBIT A ECONOMIC SUMMARY: PROVIDENCE/SRI REDMOND SENIOR APARTMENTS 1. Applicant/Description: Providence/SRI / Construction of 74 units of affordable senior rental housing, 1 manager unit, plus amenity spaces. Facility will include a PACE Center 2. Project Location: 8550 8550 160th Ave NE, Redmond 3. Financing Information: Funding Source Funding Amount Commitment ARCH $800,000 Applied for Fall 2013 Donated Land (Long-term Lease) $1,439,060 Redmond Council Action in 2013 King County $1,734,944 $200,000 Contingent funds committed 2013, balance to be applied for in 2014 Commercial Loan 1,702,169 To be applied for Deferred Developer Fee $329,221 Committed Tax Credit Equity $13,662,294 To Apply for in 2014 TOTAL $19,667,688 4. Development Budget: ITEM TOTAL PER UNIT HTF Acquisition $1,461,676 $19,752 Construction 13,256,895 $179,147 $100,000 Design $794,970 $10,743 Consultants $209,988 $2,838 Developer fee $1,221,582 $16,508 Finance costs $1,158,042 $15,649 Reserves $341,847 $4,620 Permits/Fees/Other $1,222,688 $16,523 $700,000 TOTAL $19.667,688 $265,780 5. Debt Service Coverage: Deferred contingent loan. Repayment out of available cash flow, defer repayment to start year 18 6. Security for City Funds: • A recorded covenant to ensure affordability and use for targeted population for 50 years. • A promissory note secured by a deed of trust. The promissory note will require repayment of the grant amount upon non-compliance with any of the funding conditions. 7. Rental Subsidy: Two Section 8 vouchers EXHIBIT A FIGURE 1 ARCH: EAST KING COUNTY TRUST FUND SUMMARY LIST OF CONTRACTED PROJECTS FUNDED (1993 - Fall 2012) Project Location Owner Units/Bed s Funding Pct of Total Allocation Distribution Target 1. Family Housing Andrews Heights Apartments Bellevue Imagine Housing 24 $400,000 Garden Grove Apartments Bellevue DASH 18 $180,000 Overlake Townhomes Bellevue Habitat of EKC 10 $120,000 Glendale Apartments Bellevue DASH 82 $300,000 Wildwood Apartments Bellevue DASH 36 $270,000 Somerset Gardents (Kona)Bellevue KC Housing Authority 198 $700,000 Pacific Inn Bellevue *Pacific Inn Assoc. *118 $600,000 Eastwood Square Bellevue Park Villa LLC 48 $600,000 Chalet Apts Bellevue Imagine Housing 14 $163,333 Andrew's Glen Bellevue Imagine Housing 10 /11 $387,500 Bellevue Apartments Bellevue ***LIHI 45 $800,000 YWCA Family Apartments K.C. (Bellevue Sphere)YWCA 12 $100,000 Highland Gardens (Klahanie)K.C. (Issaquah Sphere)Imagine Housing 54 $291,281 Crestline Apartments K.C. (Kirkland Sphere)Shelter Resources 22 $195,000 Parkway Apartments Redmond KC Housing Authority 41 $100,000 Habitat - Patterson Redmond Habitat of EKC **24 $446,629 Avon Villa Mobile Home Park Redmond **MHCP **93 $525,000 Terrace Hills Redmond Imagine Housing 18 $442,000 Village at Overlake Station Redmond **KC Housing Authority **308 $1,645,375 Summerwood Redmond DASH 166 $1,187,265 Coal Creek Terrace Newcastle **Habitat of EKC **12 $240,837 RoseCrest (Talus)Issaquah **Imagine Housing **40 $918,846 Mine Hill Issaquah Imagine Housing 28 $450,000 Clark Street Issaquah Imagine Housing 30 $355,000 Lauren Heights (Iss Highlands)Issaquah **Imagine Housing/SRI **45 $657,343 Habitat Issaquah Highlands Issaquah ***Habitat of EKC **10 $318,914 Issaquah Family Village I Issaquah ***YWCA **87 $4,382,584 Issaquah Family Village II Issaquah ***YWCA **47 $2,760,000 Greenbrier Family Apts Woodinville **DASH **50 $286,892 Plum Court Kirkland DASH 61 /66 $1,000,000 Francis Village Kirkland Imagine Housing ***15 $375,000 South Kirkland Park n Ride Kirkland ***Imagine Housing ***46 $752,294 Copper Lantern Kenmore **LIHI **33 $452,321 Homeowner Downpayment Loan Various KC/WSHFC/ARCH 87 est $615,000 SUB-TOTAL 1,932 $23,018,414 58.6%(56%) 2. Senior Housing Cambridge Court Bellevue Resurrection Housing 20 $160,000 Ashwood Court Bellevue *DASH/Shelter Resources *50 $1,070,000 Evergreen Court (Assisted Living)Bellevue DASH/Shelter Resources 64 /84 $2,480,000 Vasa Creek K.C. (Bellevue Sphere)Shelter Resources 50 $190,000 Riverside Landing Bothell **Shelter Resources **50 $225,000 Kirkland Plaza Kirkland Imagine Housing 24 $610,000 Totem Lake Phase 2 Kirkland ***Imagine Housing 80 $736,842 Heron Landing Kenmore DASH/Shelter Resources 50 $65,000 Ellsworth House Apts Mercer Island Imagine Housing 59 $900,000 Greenbrier Sr Apts Woodinville **DASH/Shelter Resources **50 $196,192 SUB-TOTAL 497 $6,633,034 16.9%(19%) EXHIBIT A FIGURE 1 ARCH: EAST KING COUNTY TRUST FUND SUMMARY LIST OF CONTRACTED PROJECTS FUNDED (1993 - Fall 2012) Project Location Owner Units/Bed s Funding Pct of Total Allocation Distribution Target 3. Homeless/Transitional Housing Hopelink Place Bellevue **Hopelink **20 $500,000 Chalet Bellevue Imagine Housing 4 $46,667 Kensington Square Bellevue Housing at Crossroads 6 $250,000 Andrew's Glen Bellevue Imagine Housing 30 $1,162,500 Bellevue Apartments Bellevue ***LIHI 12 $200,000 Sophia Place Bellevue Sophia Way 20 $250,000 Dixie Price Transitional Housing Redmond Hopelink 4 $71,750 Avondale Park Redmond Hopelink (EHA)18 $280,000 Avondale Park Redevelopment Redmond **Hopelink (EHA) **60 $1,502,469 Petter Court Kirkland KITH 4 $100,000 Francis Village Kirkland Imagine Housing 45 $1,125,000 South Kirkland Park n Ride Kirkland ***Imagine Housing 12 $188,073 Totem Lake Phase 2 Kirkland Imagine Housing 15 $138,158 Rose Crest (Talus)Issaquah **Imagine Housing 10 $229,712 Lauren Heights (Iss Highlands)Issaquah ***SRI **5 $73,038 Issaquah Family Village I Issaquah ***YWCA **10 $503,745 SUB-TOTAL 257 $6,621,112 16.8%(13%) 4. Special Needs Housing My Friends Place K.C.EDVP 6 Beds $65,000 Stillwater Redmond Eastside Mental Health 19 Beds $187,787 Foster Care Home Kirkland Friends of Youth 4 Beds $35,000 FOY New Ground Kirkland Friends of Youth 6 Units $250,000 DD Group Home 7 Kirkland Community Living 5 Beds $100,000 Youth Haven Kirkland Friends of Youth 10 Beds $332,133 FOY Transitional Housing Kirkland Friends of Youth 10 Beds $240,000 DD Group Home 4 Redmond Community Living 5 Beds $111,261 DD Group Homes 5 & 6 Redmond/KC (Bothell)Community Living 10 Beds $250,000 United Cerebral Palsy Bellevue/Redmond UCP 9 Beds $25,000 DD Group Home Bellevue Residence East 5 Beds $40,000 AIDS Housing Bellevue/Kirkland Aids Housing of WA.10 Units $130,000 Harrington House Bellevue AHA/CCS 8 Beds $290,209 DD Group Home 3 Bellevue Community Living 5 Beds $21,000 Parkview DD Condos III Bellevue Parkview 4 $200,000 IERR DD Home Issaquah IERR 6 Beds $50,209 FFC DD Homes NE KC FFC 8 Beds $300,000 Oxford House Bothell Oxford/Compass Ctr.8 Beds $80,000 Parkview DD Homes VI Bothell/Bellevue Parkview 6 Beds $150,000 FFC DD Home II TBD FFC 4 Beds $168,737 SUB-TOTAL 148 Beds/Units $3,026,336 7.7%(12%) TOTAL 2,834 $39,298,896 100.0% * Funded through Bellevue Downtown Program 10% ** Also, includes in-kind contributions (e.g. land, fee waivers, infrastructure improvements) *** Amount of Fee Waiver still to be finalized EXHIBIT A