HomeMy WebLinkAboutRes 036 - Affordable Hsg Grant Appl - La PineDeschutes County Board of Commissioners
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AGENDA REQUEST & STAFF REPORT
For Board Business Meeting of March 26, 2008
Please see directions for completing this document on the next page.
DATE: 03/18/08
FROM: Teresa Rozic Property & Facilities 385-1414
TITLE OF AGENDA ITEM:
Consideration of signature of Resolution No. 2008-036, Approving an Application for State Funding
for Affordable Housing in the City of La Pine.
PUBLIC HEARING ON THIS DATE? No
BACKGROUND AND POLICY IMPLICATIONS:
On August 30, 2006 the Oregon Housing and Community Services Department (OHCS) and Deschutes
County entered into a Memorandum of Understanding for OHCS to manage a Request for Applications
(FRA) process which could lead to the development of affordable housing on approximately 4.5 acres
of county -owned land in La Pine. OHCS is the state's housing finance agency and community sere ices
program administrator. The department provides financial and program support to create affordable
housing, and administers federal and state antipoverty, homeless, energy assistance and community
service programs. Development and construction of the proposed La Pine housing units will be
determined through the OHCS' process for their Consolidated Funding Cycle.
According to the MOU, the Board of County Commissioners will select the proposal after review for
eligibility by OHCS and subject to a final funding decision by the Oregon Housing Council.
On November 13, 2007 OHCS issued a Request for Applications for the ownership, construction and
management of affordable rental units in La Pine. Deadline for filing applications was January 31.
2008. OHCS received one application. It proposes a 26 -unit two-story apartment building for seniors.
OHCS completed their review and recommended that the board give the application further
consideration. The review committee appointed by the board completed their review and recommended
that the board give the application further consideration. At a work session March 17, 2008 staff
described the application to the board and presented the recommendations of the OHCS and the review
committee.
If Deschutes County proceeds with this project, it is a unique public/private partnership opportunity to
address the need for affordable rental units for the senior population in La Pine.
FISCAL IMPLICATIONS:
In the MOU, the county committed to contributing the land if a successful project could be identified.
Although an appraisal has not been done, the value of the land is estimated to be approximately
$450,000.
Prior to conveying the 4.5 acres identified for the affordable housing, the parcel must be partitioned.
from Taxlot 221011 CB00300. Estimated cost: $6,000 including survey, application and recording fees.
Prior to receiving the final partition plat, the proposed road must be built. Estimated cost: $150,000
including survey, engineering and construction. Other off-site infrastructure costs include extending
water and sewer mains. Estimated cost: $40,000. The infrastructure costs are preliminary and will
change once the road, water and sewer locations are confirmed.
The OHCS Consolidated Funding Cycle funds are reserved for this project but they cannot be used for
infrastructure. It is expected that these costs be borne by Deschutes County. County staff intends to
identify resources, including grants, to cover the infrastructure costs.
RECOMMENDATION & ACTION REQUESTED:
Staff recommends that the board select the proposal submitted by Pacific Crest Affordable Housing,
LLC (the Sponsor), subject to the review and approval by OHCS that the Sponsor has eliminated t} -.e
funding gap, either through additional funding sources or changes in project scope, by June 30, 20(8.
Staff further recommends that the board authorize staff to assist OHCS and the Sponsor to identify
possible funding sources or modifications to the project to fund the off-site infrastructure costs and to
close the funding gap in a timely manner.
ATTENDANCE: Teresa Rozic
DISTRIBUTION OF DOCUMENTS:
Copy of the signed original to Teresa Rozic
REVIEWED
LEGAL COUNSEL
For Recording Stamp Only
BEFORE THE BOARD OF COUNTY COMMISSIONERS OF DESCHUTES COUNTY, OREGON
A Resolution Approving an Application for
State Funding for Affordable Housing in the
City of La Pine
*
*
RESOLUTION NO. 2008-036
WHEREAS, on August 30, 2006 the Oregon Housing and Community Services Department
(OHCS) and Deschutes County entered into a Memorandum of Understanding for OHCS to manage a
Request for Applications process which could lead to the development of affordable housing on
approximately 4.5 acres of county -owned land in La Pine, and
WHEREAS, on November 13, 2007 OHCS issued a Request for Applications for the
ownership, construction and operation of an affordable housing project in La Pine. The deadline for
filing applications was January 31, 2008, and
WHEREAS, the Board of County Commissioners have reviewed OHCS's and county staffs
recommendations pertaining to the single application received by OHCS for this project, and
WHEREAS according to the MOU, the Board will select one proposal, now, therefore,
BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF DESCHUTES
COUNTY, OREGON, as follows:
Section 1. The Board selects the proposal submitted by Pacific Crest Affordable Housing,
LLC (the "Sponsor") for the Little Deschutes Lodge in La Pine, subject to the review and approval by
OHCS that Sponsor has eliminated the funding gap, either through additional funding sources or
changes in project scope, by June 30, 2008. This selection is subject to the Oregon Housing Council's
review and approval of the application for funding.
Section 2. County staff is authorized and directed to assist OHCS and Sponsor in identifying
possible funding sources or modifications to the project in order to provide utility infrastructure and
to close the funding gap in a timely manner.
PAGE 1 OF 4 — RESOLUTION NO. 2008-036 (03/26/2008)
Section 3. County's approval of Sponsor's proposal is subject to legal review of the
transaction documentation between OHCS and Sponsor as it pertains to county property and
resources.
DATED this day of , 2008.
ATTEST:
BOARD OF COUNTY COMMISSIONERS
OF DESCHUTES COUNTY, OREGON
DENNIS R. LUKE, Chair
TAMMY (BANEY) MELTON, Vice Chair
Recording Secretary MICHAEL M. DALY, Commissioner
PAGE 2 OF 4 — RESOLUTION NO. 2008-036 (03/26/2008)