HomeMy WebLinkAbout09405RESOLUTION NO. 9405
A RESOLUTION APPROVING AN AGREEMENT
BETWEEN THE HOUSING AUTHORITY OF THE CITY OF
PUEBLO, AND THE CITY OF PUEBLO, A MUNICIPAL
CORPORATION, FOR AFFORDABLE HOUSING
DEVELOPMENT, AND AUTHORIZING THE PRESIDENT
OF THE COUNCIL TO EXECUTE SAME
BE IT RESOLVED BY THE CITY COUNCIL OF PUEBLO, that:
SECTION 1.
The Agreement dated September 24, 2001 between the Housing Authority of the
City of Pueblo, and the City of Pueblo, A Municipal Corporation, ( "the Agreement "), for
the development of affordable housing, a copy of which is attached and incorporated
herein, having been approved as to form by the City Attorney, is hereby approved.
SECTION 2.
The President of the City Council is hereby authorized to approve the adoption of
the resolution, and the City Clerk to attest the same, by and on behalf of the City of
Pueblo.
INTRODUCED: September 24, 2001
NCIL PIERSON
APPROVED:
RESIDENT OF CITY COUNCIL
ATTESTED BY: N,
TY CLERK
Background Paper for Proposed
RESOLUTION
lq&) #CNC5
AGENDA ITEM # P
DATE: SEPTEMBER 24, 2001
DEPARTMENT: HOUSING AND CITIZEN SERVICES / TONY BERUMEN
TITLE
A RESOLUTION APPROVING AN AGREEMENT- BETWEEN THE HOUSING
AUTHORITY OF THE CITY OF PUEBLO, AND THE CITY OF PUEBLO, A
MUNICIPAL CORPORATION, FOR AFFORDABLE HOUSING DEVELOPMENT,
AND AUTHORIZING THE PRESIDENT OF THE COUNCIL TO EXECUTE
SAME
ISSUE
A resolution approving an Affordable Housing Agreement between the Housing
Authority of the City of Pueblo and the City of Pueblo, A Municipal Corporation,
wherein HOME funds in the amount of $303,211 would be granted to the
Housing Authority for new construction and rehabilitation of existing property for
multi - family rental units for low- income families.
RECOMMENDATION
Approve the Resolution, thus approving a contract with the Housing Authority of
the City of Pueblo. The proposed project meets the HOME eligibility program
requirements in that the funds will be used for the creation of rental housing for
low -to- moderate income individuals and families.
BACKGROUND
The Housing Authority has applied and received Low Income Housing Tax
Credits (LIHTC) from the State of Colorado, for the Project commonly known as
Santa Fe Crossings. The Housing Authority has applied to the Department of
Housing and Citizen Services for $303,211 in HOME funds. Use of funds are 1)
the demolition of an existing structure, which is to be replaced with rental
apartments, 2) conversion of two existing structures into affordable rental
apartments. The project site does contain commercial space, however, HOME
funds will not be used in the commercial portion of the Project.
FINANCIAL IMPACT
The estimated Project cost is $5 Million. The $303,211 in HOME funds would be
provided as a grant to the Housing Authority of the City of Pueblo. The HOME
funds are available.
CITY OF PUEBLO
AFFORDABLE HOUSING DEVELOPMENT AGREEMENT
This Agreement is made and entered into this 24th day of September 2001 by and between
the City of Pueblo, a Municipal Corporation (hereinafter referred to as "City ") and the_ Housing
Authority of the City of Pueblo a public housin& authority (hereinafter referred to as "HAP ").
WITNESSETH, that:
WHEREAS, the City has, under date of March 12, 2001, entered into an agreement with the
U.S. Department of Housing and Urban Development ( "HUD "), whereby federal financial assistance
may be made available to City as a participating jurisdiction for the purpose of expanding the
availability of affordable housing pursuant to the Home Investment Partnerships Act ( "the Act ") (42
U.S.C. 12701 et. sec .), the Cranston - Gonzales National Affordable Housing Act and implementing
regulations, including but not limited to those at 24 CFR Part 92; and
WHEREAS, in accordance with the provisions of the Act and 24 CFR Sections 92.200 and
92.205, a portion of such financial assistance, subject to deobligation (and subject to appropriation
with respect to any assistance payable out of future fiscal year allotments), may be made available to
qualifying non - profit entities for the purpose of carrying out specific elements of the participating
jurisdiction's housing strategy including new construction of affordable rental housing; and
WHEREAS, HAP has represented to City that it is a duly qualified public housing authority
which is eligible and willing to undertake certain approved elements of City's housing strategy
identified herein and in the Scope of Services attached hereto; and
WHEREAS, based upon HAP's representations, the City believes HAP is capable or can
reasonably be expected to become capable of carrying out said approved elements of City's housing
strategy, and City is willing to allocate federal funds to HAP for investment in housing to be
developed, sponsored or assisted by HAP which will comply with and fulfill said approved elements
of City's housing strategy;
NOW, THEREFORE, in consideration of the foregoing recitals and the covenants, terms and
conditions set forth herein, the parties agree as follows:
1. HAP SERVICES
(a) HAP shall assist, in accordance with all applicable federal, state and local laws and
regulations, in the development of a project, to be known as the Santa Fe Crossing Project (hereafter
referred to as "the Project ") in furtherance of City's housing strategy and approved by the City by
providing necessary loan financing therefor using federal HOME funds provided under this
providing necessary loan financing therefor using federal HOME funds provided under this
Agreement. HAP shall also undertake and perform the tasks and functions described in the Scope of
Services attached hereto as Exhibit "A" and incorporated herein by reference, in full compliance with
all provisions of this Agreement. Before proceeding with such financing for the Project, HAP shall
furnish City with all information which City may reasonably request concerning the Project,
demonstrate eligibility of the Project for assistance under this Agreement, and obtain the written
approval of City's authorized representative as to the Project, which approval will not be
unreasonably withheld. Upon and after such approval, HAP shall enter into a written loan agreement
with an investment entity which shall serve as the owner of the Project, hereinafter referred to as the
"Owner," setting forth the terms and conditions of the loan assistance to be provided by HAP, which
loan agreement shall comply with all requirements of this Agreement and the regulations
incorporated by reference. HAP shall serve as the general partner of any limited partnership or
limited liability partnership, or as the managing member of any limited liability company, which is
selected by HAP to serve as the Owner of the Project.
(b) HAP warrants and represents that (i) it has the requisite authority and capacity to
perform all terms and conditions on HAP's part to be performed hereunder; (ii) that it is duly
organized as a public housing authority under the laws of the State of Colorado, including but not
limited to the Colorado Housing Authority Law, as amended, §29 -4 -201 et seg., C.R.S. (Vol. 9,
2000); (iii) that it is aware of and understands its duty to perform all functions and services in
accordance with the regulatory requirements of 24 CFR Part 92 and those identified in Exhibit "C"
hereto; (iv) that it is accepting federal financial assistance hereunder subject to certain mandatory
repayment provisions; and (v) that no part of the assistance provided hereunder shall be used for
funding of any non - residential portion of the Project.
(c) Time is of the essence hereof. HAP agrees that it shall meet the following deadlines
with respect to the Project:
(i) HAP shall obtain satisfactory evidence that the Owner of the Project has the
financial ability to undertake and construct the Project, including proof that it has secured
loan commitments for a construction loan and the primary loan permanent financing for the
Project, and furnish such evidence to City, on or before December 1, 2001; HAP shall
thereafter provide to the Owner a loan commitment which sets forth the terms and conditions
of the loan.
(ii) HAP shall enter into a loan agreement with the Owner of the Project
consistent with the terms of this Agreement on or before January 1, 2002;
(iii) HAP shall require the Owner to commence construction of the Project not
later than March 1, 2002; and
(iv) HAP shall require the Owner to substantially complete construction of the
Project not later than September 1, 2003.
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(d) HAP acknowledges that because the Project contemplated by this agreement concerns
the construction of affordable housing consisting of more than 12 units, HAP shall require in the loan
agreement that in all contracts for the construction of the Project (i) prevailing wages shall be paid to
all laborers and mechanics performing work on the Project pursuant to 24 CFR §92.354 and the
Davis -Bacon Act [40 U.S.C. 276a -5] and (ii) the contract shall be subject to applicable requirements
of the Contract Work Hours and Safety Standards Act [40 U.S.C. 327 -332].
2. RESPONSIBILITIES OF THE CITY
The City shall designate a representative of the City who will be authorized to make all
necessary decisions required of the City on behalf of the City in connection with the performance of
this Agreement, approval of the Project to be undertaken by HAP hereunder and the disbursement of
funds in connection with the program. In the absence of such a designation, the City Manager shall
be deemed as City's authorized representative.
3. FINANCIAL ASSISTANCE AND METHOD OF PAYMENT
(a) Upon execution of all documents required by City, the City will grant to HAP an
amount up to that specified in subparagraph (c) of this paragraph as the public investment in the
Project assisted under this Agreement. Disbursement of funds to HAP is subject to all of the
following requirements, which shall be conditions precedent to payment: (i) that the Owner of the
Project has expended funds after September 28, 2001 for eligible approved expenditures with respect
to the Project, (ii) that neither HAP nor the Owner is in default of any material provision of this
Agreement nor applicable law or regulation, (iii) that HAP has timely submitted requests for
disbursement detailing the eligible draw -down items in a format approved by City, (iv) that HAP has
certified with each payment or loan draw -down request compliance with the requirements identified
in Exhibit "C" and that all expenditures for which draw -down is sought were made for and in
furtherance of the Project and are an eligible use of federal assistance under the Act, and (v) that City
has timely received from HUD sufficient federal assistance under the Act to pay the disbursement
hereunder.
(b) Payment hereunder is also subject to and may only be disbursed in accordance with
HUD regulations including but not limited to those at 24 CFR Part 92, as presently promulgated and
as same may be revised from time to time in the future. All payments received by HAP hereunder
are subject to repayment by HAP as provided in 24 CFR Part 92. Funds provided hereunder for
Project may only be used for development hard costs and acquisition costs, as provided in 24 CFR
§ §92.205(d) and 92.206(a) and (c).
(c) The aggregate of all payments made hereunder shall not exceed Three Hundred Three
Thousand Two Hundred Eleven and No /100 Dollars (U.S. $303,211.00
(d) Upon expiration of the term of this agreement or upon any prior termination, HAP
shall transfer to City any funds provided hereunder which are on hand at the time of expiration or
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termination together with any accounts receivable attributable to the use of funds provided
hereunder.
4. TERM OF AGREEMENT; SECURITY.
(a) Unless sooner terminated, the term of this Agreement, for purposes of under taking
the loan and construction and completion of the project, shall be from the date of execution hereof
until December 1, 2003; provided however, that with the respect to the Project for which HAP has
received financial assistance under and during the term of this Agreement, HAP and the Owner of
the Project shall have continuing responsibility to comply with the performance, certifications,
repayment, affirmative marketing, housing affordability compliance and recordkeeping requirements
of this Agreement, and 24 CFR Part 92 (including, without limitation 24 CFR Sections 92.252,
92.254, 92.301, 92.351 and 92.508) which shall survive expiration or termination and remain in
effect throughout the required full period of affordability, notwithstanding termination or expiration
of this Agreement. As used herein, "period of affordability" shall mean 20 years from the
completion of the Project except that if the assistance provided hereunder is used in connection with
other financing insured by HUD under Chapter H of Title 24, Code of Federal Regulations, the
period of affordability shall be the full original term of said mortgage or 20 years, whichever is
longer.
(b) (i) The full amount of loan assistance provided to the Project pursuant to this
Agreement shall constitute an indebtedness of the Owner to HAP which shall be evidenced by a
promissory note (hereinafter referred to as the 'Promissory Note" or "Note ") which shall be due and
payable with interest as provided therein and which shall be secured by the following described real
property situate in the County of Pueblo, State of Colorado (the 'Property "):
Lot 1 and the South 1/2 of Lot 2, Block 29, in that part of the present City of Pueblo which
was surveyed and platted by H. M. Fosdick, Civil Engineer, for the probate judge of said
Pueblo County, in March 1869, County of Pueblo, State of Colorado, and that portion of
Second Street in said City adjoining said lot; bounded and described as follows, to -wit:
COMMENCING at the SE Corner of said Lot 1; thence South along the West line of Santa
Fe Avenue, 10 feet; thence West parallel with the South line of said Lot 1, 120 feet to the
East line of an alley in said block; thence North along the East line of said alley 10 feet to the
SW corner of said Lot 1; thence East along the South line of said Lot 1, 120 feet to the
POINT OF BEGINNING, County of Pueblo, State of Colorado; and
The North 1/2 of Lot 2, and the South 1/2 of Lot 3, Block 29, in that part of the present City
of Pueblo which was surveyed and platted by H. M. Fosdick, Civil Engineer, for the Probate
Judge of Pueblo County, March 1869, County of Pueblo, State of Colorado; and
The North 1/2 of Lot 3, all of Lot 4 and the South 8.23 feet of Lot 5, Block 29, in that part of
the present City of Pueblo which was surveyed and platted by H. M. Fosdick, Civil Engineer,
for the Probate Judge of Pueblo County, March 1869, County of Pueblo, State of Colorado;
and
no
The North 33.87 feet of Lot 5 and the South 16 feet 2 inches of Lot 6, Block 29, in that part
of the present City of Pueblo which was surveyed and platted by H. M. Fosdick, Civil
Engineer, for the Probate Judge of said Pueblo County, in March 1869, County of Pueblo,
State of Colorado
, as evidenced by a Deed of Trust to be executed contemporaneously with said Promissory Note.
The loan instruments shall require the Owner to pay to HAP or holder the indebtedness as and to the
extent same becomes due under the provisions of the Promissory Note and this Agreement. HAP
shall include terms in said Promissory Note or Deed of Trust stating that the amount of the assistance
shall continue as an indebtedness until paid in full, and notwithstanding such payment in full, the
affordability restrictions described in this Agreement shall continue in effect and be enforceable for
the full period of affordability without regard to the term of the Note or Deed of Trust.
(ii) In order to secure HAP's repayment obligations hereunder to City, City may, at
any time, require an assignment and transfer of said Note and Deed of Trust to City.
(iii) HAP shall execute a Subordination Agreement, in such form as may be
required by City, to subordinate the Deed of Trust securing the Note to a deed of trust executed or to
be executed by HAP and which has been recorded or will be recorded with respect to the Property
under which the City is the beneficiary and which secures a separate obligation of HAP to the City in
the original principal sum of $650,000.00.
(c) During the full Term of this Agreement and for the period of affordability, (i) any
failure by the Owner or HAP to perform any obligation, covenant or provision of the Note or this
Agreement required to be performed by the Owner or HAP, or (ii) any breach of any warranty made
by HAP in this Agreement, or (iii) any other violation of any material term of this Agreement or the
Deed of Trust given to secure the Note, shall constitute a default under this Agreement. Upon any
such default, the City may demand that HAP repay to City the full amount of assistance provided
hereunder, plus interest at the rate of 12% per annum from and after the date of such default. HAP
further agrees that no release of any security for the indebtedness or extension of time for payment of
same, or any installment thereof, and no alteration, amendment or waiver of any provision of the
Note or the Deed of Trust securing same shall in any manner, release, discharge, modify or affect the
obligations of HAP under this Agreement.
5. TERMINATION OF AGREEMENT
(a) For Cause This Agreement may be terminated by City for cause, including any
nonperformance by HAP, upon ten (10) days written notice to HAP including a statement of the
reasons therefor, and after an opportunity for a hearing has been afforded. If a hearing is requested, it
shall be held before the City's Director of Housing and Community Development whose decision as
to both the grounds for termination and the appropriateness thereof shall be final and binding upon
both City and HAP. In accordance with 24 CFR 85.43, cause for termination shall include any
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material failure by HAP to comply with any term of this Agreement.
(b) For Convenience. This Agreement maybe terminated for convenience in accordance
with the provisions of 24 CFR 85.44. This Agreement shall terminate immediately upon any non -
appropriation of funds, or upon any suspension or non - receipt of federal assistance provided to City
under the Act, regardless of cause.
(c) Post Termination Procedures. In the event of termination, HAP shall continue to be
responsible for those matters which survive termination identified in paragraph 4 above, unless City
takes over the Project and, in connection therewith, prospectively releases HAP from one or more
specific responsibilities in writing Additionally, at City's sole option, all property acquired by HAP
with grant funds, all grant funds, program income, and mortgage loans originated with grant funds or
by payments therefrom and payments received under such mortgage loans, held, owned or retained
by HAP shall immediately become the sole and separate property of the City and HAP shall perform
all acts and execute all instruments necessary to transfer and assign such property, funds, income,
and mortgage loans to City. All finished or unfinished documents, data, studies reports and work
product prepared by HAP under this Agreement or with grant funds shall, at the option of the City,
become its property and HAP shall be entitled to received just and equitable compensation only for
satisfactory work completed and eligible costs for which compensation has not previously been paid
nor reimbursement made.
6. ASSIGNABILITY
This Agreement shall not be assigned or transferred by HAP without the prior written consent
of the City. Any assignment or attempted assignment made in violation of this provision shall, at
City's election, be deemed void and of no effect whatsoever.
7. CONFLICT OF INTEREST
HOME Regulation 24 CFR, Part 92.356 is incorporated herein by reference, and sets forth
applicable laws and regulations that apply to Conflict of Interest. HAP shall avoid all conflicts
prohibited by applicable regulations, including but not limited to those set forth in 24 CFR Part 92 as
presently promulgated and as same may be revised from time to time in the future.
8. HAP RECORDKEEPING
HAP shall maintain, and shall require the Owner to maintain, records as to the Project work
and activities undertaken with assistance hereunder, services provided, reimbursable expenses
incurred in connection with the Project and complete accounting records. Accounting records shall
be kept on a generally recognized accounting basis and as requested by the City's auditor. HAP
agrees to comply with all applicable uniform administrative requirements described or referenced in
24 CFR Part 92. The compliance provisions attached as Exhibit "B" hereto are made a part of this
Agreement, and HAP agrees to perform and comply with same, and shall require the Owner to do
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likewise. The City, HUD, the Comptroller General of the United States, the Inspector General of
HUD, and any of their authorized representatives, shall have the right to inspect and copy, during
reasonable business hours, all books, documents, papers and records of HAP and the Owner which
relate to this Agreement for the purpose of making an audit or examination. Upon completion of the
work and end of the term of this Agreement, the City may, at any time during the period of
affordability or within 5 years thereafter, require all of HAP's and the Owner's financial records
relating to this Agreement to be turned over to the City.
9. MONITORING AND EVALUATION.
The City shall have the right to monitor and evaluate the progress and performance of HAP to
assure that the terms of this Agreement are being satisfactorily fulfilled in accordance with HUD's,
City's and other applicable monitoring and evaluation criteria and standards. The City shall at least
quarterly review HAP's performance using on -site visits, progress reports required to be submitted
by HAP, audit findings, disbursement transactions and contact with HAP as necessary. HAP shall
furnish to the City monthly or quarterly program and financial reports of its activities in such form
and manner as may be requested by the City. HAP shall fully cooperate with City relating to such
monitoring and evaluation.
10. HAP FILES AND INFORMATION REPORTS.
HAP shall maintain files containing information which shall clearly document all activities
performed in conjunction with this Agreement, including, but not limited to, financial transactions,
conformance with assurances, activity reports, and program income. These records shall be retained
by HAP for a period of five years, except that with respect to the Project undertaken with assistance
provided hereunder, such records shall be maintained for the full required period of affordability.
Activity reports shall be submitted monthly or quarterly no later than the ninth day of the month
following the end of month or quarter for which the report is submitted.
11. INDEPENDENCE OF HAP
Nothing herein contained nor the relationship of HAP to the City, which relationship is
expressly declared to be that of an independent contractor, shall make or be construed to make HAP
or any of HAP's agents or employees, or the Owner, the agents or employees of the City. HAP shall
be solely and entirely responsible for its acts and the acts of its agents, employees and subcontractors.
12. LIABILITY & INSURANCE
(a) As to the City, HAP agrees to assume the risk of all personal injury, including death
and bodily injury, and damage to and destruction of property, including loss of use therefrom, caused
by or sustained, in whole or in part, in conjunction with or arising out of the performance or
nonperformance of this Agreement by HAP or by the conditions created thereby. HAP further agrees
to indemnify and save harmless the City, its officers, agents and employees, from and against any
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and all claims, liabilities, costs, expenses, penalties and attorney fees arising from such injuries to
persons or damages to property or based upon or arising out of the performance or nonperformance
of this Agreement by HAP or out of any violation by HAP of any statute, ordinance, rule or
regulation.
(b) HAP agrees that it shall procure and will maintain during the term of this Agreement,
such insurance as will protect it from claims under workers' compensation acts, claims for damages
because of personal injury including bodily injury, sickness or disease or death of any of its
employees or of any person other than its employees, and from claims or damages because of injury
to or destruction of property including loss of use resulting therefrom; and such insurance will
provide for coverage in such amounts as set forth in subparagraph (c).
(c) The minimum insurance coverage which HAP shall obtain and keep in force is as
follows:
Colorado. (i) Workers' Compensation Insurance complying with statutory requirements in
(ii) Comprehensive General and Automobile Liability Insurance with limits not
less than Six Hundred Thousand and No /100 Dollars ($600,000.00) per person and occurrence for
personal injury, including but not limited to death and bodily injury, and Six Hundred Thousand and
No /100 Dollars ($600,000.00) per occurrence for property damage.
(d) HAP further agrees that it shall require the Owner of the Project to procure and
maintain, at the Owner's expense, hazard and fire insurance upon the property described in the Deed
of Trust on an "all risk" form in such amounts as City's Department of Housing and Citizen Services
may require, but in any event, for not less than the amount of all liens against the property and the
amount of funds provided to HAP by City pursuant to this Agreement. HAP shall furnish a
certificate of insurance certifying such coverage to City's Director of Finance prior to disbursement
of any funds to HAP. Both said certificate of insurance and the policy procured by the Owner shall
name the City as an additional loss payee.
13. CERTIFICATIONS
HAP agrees to execute and abide by the certifications contained in Exhibit "C" hereto, which
are hereby expressly made a part of this Agreement.
14. PROGRAM INCOME • REVERSION OF ASSETS
(a) (I) Unless otherwise authorized by City in writing in a separate instrument executed after
date of this Agreement, all program income shall be returned to City within 30 days of receipt by
HAP. In the event City authorizes HAP to retain any portion of program income, it shall only be
used to accomplish the work set forth in the Scope of Services, and the amount of grant funds
payable by City to HAP shall be adjusted as provided by 24 CFR 92.503 and the applicable
requirements of 24 CFR 85.
In
Q Additionally, all developer fees received by HAP, including any such fees paid from
or out of rental income for the Project, regardless of when received, shall within 30 days of receipt be
deposited by HAP in a restricted account with a regulated financial institution. The restricted
account and such fees shall be used only for such housing programs or purposes as are authorized
and approved by City in writing.
(b) Upon expiration of the term of this Agreement, or upon any prior termination, HAP
shall transfer to City any funds provided hereunder which are on hand at the time of expiration or
termination together with any accounts receivable attributable to the use of funds provided
hereunder.
(c) The Project, the Property, and any other real property acquired, constructed or
improved in whole or in part with funds provided pursuant to this Agreement shall be used as
affordable rental housing within the meaning of 24 CFR § 92.252 for the full period of affordability
as defined in paragraph 4 hereof. In the event the Project, the Property or such other property ceases
to be so used, HAP shall immediately pay to City the greater of (i) an amount equal to the current
market value of the Project and property less any portion of the value attributable to expenditures of
funds not provided under this Agreement for the construction of the Project or acquisition of, or
improvement to, the Property (that is, the calculation of the portion of value attributable to
expenditures not provided by City under this agreement shall be the market value multiplied by a
fraction whose numerator is the total Project cost or costs of acquisition determined as of the date of
Project completion less the amount of assistance provided by City and whose denominator is the
total Project cost or cost of acquisition determined as of the date of Project completion) or, (ii) the
remaining principal balance and accrued interest owing under the Note. The use restriction and
repayment obligation set forth in this subparagraph shall survive termination or expiration of this
Agreement and shall be fully enforceable and subject to collection by City or HUD in accordance
with applicable laws. HAP shall require the Owner to comply with the requirements of this
paragraph and to execute a Deed of Trust which shall be and constitute a lien upon the Property and
all other real property acquired or improved with funds provided hereunder, and which shall secure
the affordability requirements hereunder.
(d) In the event City incurs any cost or expense in enforcing the requirements of this
Agreement, including but not limited to the requirements of this paragraph 14, or in bringing any
action to recover the amount of any repayment obligation, or, upon assignment of the Note and the
Deed of Trust to City, to foreclose or obtain sale under the Deed of Trust or mortgage instrument,
City shall be entitled to recover its costs and expenses, including reasonable attorneys fees.
(e) To further ensure that the funds provided hereunder do not constitute an investment of
more HOME funds than are necessary to provide affordable housing (as required by 24 CFR
§92.250(b)), HAP shall require the Owner to retain ownership of the Project for a period of not less
than 20 years from and after the completion of the Project. Consequently, in the event the Owner
should sell or transfer title to the Project, the Property or other real property or improvements
constructed or improved with funds provided pursuant to this Agreement, within 20 years after
substantial completion of the Project or said improvements, the Loan Agreement, Note and Deed of
Trust shall provide that the entire indebtedness under the Note shall immediately become due and
payable and shall be collected by HAP and repaid to City, together with interest thereon at the rate of
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12% per annum from the time of substantial completion until said repayment is made. If Owner is a
limited partnership, nothing in this subparagraph (e), nor in subparagraph (f) of this paragraph 14, is
intended to prohibit a transfer of ownership from Owner to any general partner or limited partner in
Owner.
(f) It is the intent of the parties that §38 -30 -165, C.R.S. and any similar statute hereafter
enacted, be preempted under federal law and regulations in order to maintain affordability of the
rental units within the Property. Consequently, the Loan Agreement between HAP and the Owner
and the Note and Deed of Trust executed by the Owner shall not be assumable, and the indebtedness
shall be due and payable upon sale, transfer or assignment, or any attempted sale or transfer of the
Property by the Owner, unless all of the following circumstances are demonstrated to exist: (i) more
than 20 years have elapsed since the substantial completion of the Project, (ii) the Primary Lender
also consents to assumption of the mortgage or obligation to which the Deed of Trust is subordinate,
(iii) the sale of the Property is to a subsequent purchaser who agrees in writing to comply with the
affordability requirements of this Agreement and applicable requirements, including those set forth at
24 CFR, §92.252, (iv) the sale price and payment of principal, interest, property taxes and insurance
by the subsequent purchaser must permit the rental units to remain affordable for the remaining
period of affordability specified in this Agreement, with affordability determined by applicable
regulations and requirements, and (v) both the City and the holder of the Note expressly consent to
assumption of the Owner's obligations under the loan agreement and the Note by the subsequent
purchaser prior to sale or transfer, which consent shall be granted only upon the Owner's showing
circumstances (i) through (iv) have or will be satisfied.
15. SPECIAL REQUIREMENTS APPLICABLE TO IMPROVEMENTS TO PROPERTY
(a) In addition to all procurement requirements otherwise applicable to the Project
pursuant to any other provision of this Agreement or pursuant to any requirement of law or
regulation incorporated in this Agreement by reference, HAP shall comply with all requirements of
this Paragraph 15.
(b) No improvements shall be undertaken to the Property or other real property with
funds (or reimbursement) provided hereunder unless and until: (i) plans and specifications therefor
have been prepared by either a registered Professional Engineer in good standing and duly licensed to
practice in the State of Colorado or an Architect duly licensed and authorized to conduct a practice of
architecture in the state of Colorado; (ii) such plans and specifications have been filed with the City
and approved by both the City's designated representative and the City's Director of Public Works;
and (iii) all construction contracts for improvements for which funds are provided from City shall
have been awarded only after an open, competitive bidding process which has been approved by
City's Director of Purchasing and which allows qualified contractors to reasonably participate in the
competitive bidding procedures; provided, however, that this subparagraph 15(b)(iii) shall not
prohibit Owner from negotiating the selection of a construction manager to act as the Owner's agent
during construction of the improvements upon the Property.
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(c) No disbursement of funds to HAP shall be made by City hereunder unless and until
all conditions precedent to payment specified elsewhere in this Agreement have been satisfied and
HAP files with City's Director of Housing and Community Development a written request for
payment signed by an officer of HAP that certifies (i) that the amounts included in the request for
payment have not been included in any prior request for payment, (ii) that the improvements listed
therein for which payment is sought have been completed in accordance with the approved plans and
specifications therefor, and (iii) that the improvements for which payment is sought have been
constructed so as to comply with City of Pueblo building codes and Section 8 Housing Quality
Standards.
(d) In every contract for construction of improvements for which payment or
reimbursement from City is to be provided under this Agreement, HAP shall include a contract
clause or clauses, approved by City's Director of Purchasing, requiring the Owner, the contractor, and
all of the contractor's subcontractors of all tiers, to comply with the requirements of the Davis -Bacon
Act and implementing regulations, and to pay all laborers and mechanics engaged in work upon the
improvements at the prevailing wage rates for such work as determined by the U.S. Department of
Labor.
(e) Every contract for construction of improvements, and all lower tier covered
transactions, shall include a requirement that the contractor, subcontractor or vendor certify that
neither it nor its principal is debarred, suspended, proposed for debarment, declared ineligible or
voluntarily excluded from participation in any federally funded project.
16. RECOGNITION OF HUD CITY.
In all printed materials, project descriptions and other activities undertaken with funds
provided under this Agreement, HAP shall either provide recognition that funds have been provided
by the U.S. Department of Housing and Urban Development and the City of Pueblo or shall cause
the Owner to do so. Recognition shall be accomplished by prominent disclosure of the role of HUD
and the City in all such printed materials and project signage, if any.
17. ENTIRE AGREEMENT; AMENDMENTS.
The provisions set forth in this Agreement, and all Exhibits and attachments to this
Agreement, constitute the entire and complete agreement of the parties hereto with respect to Phase
11 of the Project and supersede all prior written and oral agreements, understandings or
representations related thereto. No amendment or modification of this Agreement, and no waiver of
any provision of this Agreement, shall be binding unless made in writing and executed by the duly
authorized officers of both the HAP and City.
18. SIGNATURES
The persons signing this Agreement on behalf of HAP represent and warrant that such
-11-
persons and HAP have the requisite power and authority to enter into, execute and deliver this
Agreement and that this Agreement is a valid and legally binding obligation of HAP enforceable
against HAP in accordance with its terms.
IN WITNESS WHEREOF, HAP and the City have executed this Agreement as of the date
first above written and under the laws of the State of Colorado.
ATTEST:
CITY�F PUE$M,
A M icipal Cabdration
By:
Cit Jerk P sid a nt of CITY
[SEAL]
HOUSING AUTHORITY OF THE
CITY OF PUEBLO
By: r
Gaspare Bar a
Chai an of t Bo d
By:
Javk/Ouinn
utive Director
AMGREEMN'I'.WPD
-12-
EXHIBIT A
SCOPE OF SERVICES
1. HAP shall undertake the services and activities and provide a loan in compliance with all
requirements and conditions stated in the Affordable Housing Development Agreement to which this Exhibit is
attached.
2. The HOME funds will be used for the demolition of an existing tire shop (one story center
building), with new construction occurring on the same site. Additionally, funds will be used to convert two
other existing buildings (Studzinski and Holden) into affordable rental housing.
EXHIBIT B
ACCOUNTING SYSTEM COMPLIANCE PROVISIONS
As used in this Exhibit, the term "Developer" shall mean the entity entering into the Agreement with
the City of Pueblo, a Municipal Corporation to which this Exhibit is attached.
Developer is subject to and shall comply with the requirements of OMB Circular A -133.
3. Developer agrees to maintain Project and accounting records in accordance with generally accepted
accounting principles which accurately reflect all costs chargeable to the Project, utilize adequate
internal controls, and maintain source documentation for all costs incurred. The City shall have the
right to review and approve Developer's account system and internal controls prior to the release of
any funds under the Agreement.
4. During the preconstruction and construction phases of the Project, the Developer shall not materially
deviate from any approved Project budget unless any proposed major revision thereto has been
submitted to City and approved in writing. Change orders of less than $10,000 each or $50,000 in the
aggregate shall not be deemed to be material deviations or major revisions to the Project budget.
5. Nothing in the Agreement or the Exhibits thereto shall obligate City to any third parties nor to any
contractors, subcontractors, consultants, suppliers or workmen who have contracted with Developer or
provided any materials or services to Developer.
6. The City has the right to periodically perform interim audits and a final audit of the Project and funds
provided under the Agreement. Developer shall fully cooperate with City in undertaking any such
audit and shall provide a suitable work area for City's audit personnel to inspect and copy records.
EXHIBIT C
CERTIFICATIONS
The entity entering into this Agreement with the City hereby certifies that the Project will be conducted
and administered in compliance with all of the following requirements:
(1) Title VI of the Civil Rights Act of 1964 (Pub. L. 88 -352; 42 U.S.C. 2000d, et sea .) and
implementing regulations issued at 24 CFR Part 1;
(2) Title VIII of the Civil Rights Act of 1968 (Pub. L. 90 -284; 42 U.S.C. 3601, et seq.), as
amended; and that the grantee will administer all programs and activities related to housing and community
development in a manner to affirmatively further fair housing;
(3) Section 109 of the Housing and Community Development Act of 1974, as amended; and the
regulations issued pursuant thereto;
(4) Section 3 of the Housing and Urban Development Act of 1968, as amended;
(5) Executive Order 11246, as amended by Executive Orders 11375 and 12086, and
implementing regulations issued at 41 CFR Chapter 60;
(6) Executive Order 11063, as amended by Executive Orders 12259, and implementing
regulations at 24 CFR Part 107;
(7) Section 504 of the Rehabilitation Act of 1973 (Pub. L. 93 -112), as amended, and
implementing regulations when published for effect;
(8) The Age Discrimination Act of 1975 (Pub. L. 94 -135), as amended, and implementing
regulations when published for effect;
(9) The relocation requirements of Title II and the acquisition requirements of Title III of the
Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, and the HUD
implementing regulations set forth in 24 CFR Part 42;
(10) Executive Order 11988 relating to the evaluation of flood hazards and Executive Order 11288
relating to the prevention, control and abatement of water pollution;
(11) The flood insurance purchase requirements of Section 102(a) of the Flood Disaster Protection
Act of 1973 (Pub. L. 93 -234);
(12) The applicable regulations, policies, guidelines and requirements of OMB Circular Nos.
A -102, Revised, 24 CFR 85 and Subpart J of 24 CFR 570, A -87, A -110, A -122, A -128 and A -133 as they
relate to the acceptance and use of federal funds under this federally- assisted program;
(13) The Clean Air Act (42 U.S.C. 7401 et. seq.) as amended; particularly section 176 (c) and (d)
[42 U.S.C. 7506 (c) and (d)];
(14) HUD environmental criteria and standards [24 CFR Part 51, Environmental Criteria and
Standards];
(15) The Safe Drinking Water Act of 1974 (42 U.S.C. 201, 300 (f) et. seq., and 21 U.S.C. 349) as
amended; particularly section 1424 (e) (42 U.S.C. 300 (h)- 303(e));
(16) The Endangered Species Act of 1973 (16 U.S.C. 1531 et. seq.) as amended; including but not
limited to section 7 (16 U.S.C. 1536) thereof;
(17) The Wild and Scenic Rivers Act of 1968 (16 U.S.C. 1272 et. seq.) as amended; particularly
section 7 (b) and (c) [16 U.S.C. 1278 (b) and (c)];
(18) The Reservoir Salvage Act of 1960 916 U.S.C. 469 et. seq.); particularly section 3 (16 U.S.C.
469a -1); as amended by the Archeological and Historical Preservation Act of 1974;
(19) Flood Disaster Protection Act of 1973 (42 U.S.C. 4001 et. seq.) as amended; particularly
sections 102(a) and 202(a) [42 U.S.C. 4012a(a) and 4106(a)];
(20) Executive order 11990, Protection of Wetlands, May 24, 1977 (42 FR 26961 et. seq.);
particularly sections 2 and 5;
(21) It will comply with the Lead -Based Paint Poisoning Prevention requirements of 25 CFR Part
35 issued pursuant to the Lead -Based Paint Poisoning Prevention Act (42 U.S.C. 4821 et. seq.);
(22) The National Historic Preservation Act of 1966 (16 U.S.C. 470 et seq.) as amended;
particularly section 106 (16 U.S.C. 470f); and
(23) Executive Order 11593, Protection and Enhancement of the Cultural Environment, May 13,
1971 (36 FR 8921 et. seq.); particularly section 2(c).
(24) Construction work financed in whole or in part with federal funds is subject to the prevailing
wage requirements of the Davis Bacon Act (29 CFR, Parts 3 and 5), the Copeland Act (29 CFR Part 3), and
the Contract Work Hours and Safety Standards Act (Public Law 91 -54, 83 Stat. 96). When a project meets this
applicability requirement, the labor standards provisions of the HUD 4010 and the Davis Bacon Wage
Decision issued for the project will be incorporated into this contract document and shall be incorporated into
all construction contracts and subcontracts of any tier thereunder.
(25) No CDBG funds may be expended for lobbying purposes and payments from other sources for
lobbying must be disclosed 24 CFR Part 87.
(26) Where asbestos is present in property undergoing rehabilitation, Federal requirements apply
regarding worker exposure, abatement procedures and disposal. CPD -90 -44 EPA/OSHA.
(27) When HOME Investment Partnership Act funds are used, the Subrecipient will comply with
implementing regulations and requirements under 24 CFR 92.
Signature
CITY OF PUEBLO
HOME INVESTMENT PARTNERSHIP PROGRAM
2000/2001 APPLICATION
Applicant:
Housing Authority City
plicant NMI
of the of PuebloNo
Mailing Address:
1414 N. Santa Fe Ave., Pueblo, Colorado 81003
+f "<i�l`!.a� ...✓%iii ;, iai
Mailing Address:
State:
1414 North Santa Fe Avenue, Pueblo, Colorado 81003
200 -227 North Santa Fe Avenue, City of Pueblo
Project Address:
Colorado
State:
Zip Code:
203 -227 North Santa Fe Avenue, City of Pueblo
Gaspare Barcia
Colorado
81003
Contact Person:
719 -544 -6230
Title: Executive Director
Jack Quinn
Project Characteristics (check all that apply)
Telephone Number: /
Fax: -:
719- 584 -7625 d'"
T 719- 546 -5364
Owner /Sponsor:
Santa Fe Crossing, LLLP / Historic Renovations of Pueblo,
Inc. (General Partner — 501 C 3)
Mailing Address:
1414 N. Santa Fe Ave., Pueblo, Colorado 81003
Project Address:
MSA:
State:
Zip Code:
200 -227 North Santa Fe Avenue, City of Pueblo
Pueblo
Colorado
81003
Contact Person:
Title: President of Historic Renovations of Pueblo,
Gaspare Barcia
h e. (General Partner)
Telephone Number:
Fax:
719 -544 -6230
719- 546 -5364
PI20 LT CT INFQRMATION: ;(please,,complete each item applicable) r r
Project Name:
Santa Fe Crossing
Address:
MSA:
County:
Pueblo
Pueblo
Project Address
State:
Zip Code:
203 -227 North Santa Fe Avenuc
Colorado
81003
Project Characteristics (check all that apply)
O Owner- occupied
❑ Single Family
❑ Purchase [X] Major rehabilitation
[X]Renter- occupied
[X]Multi- Family
[X] New construction
❑ Minor rehabilitation
Census Tract (s) /Block Numbering Area (s):
Rehab /New Construction cost per unit:
7
S 147,719
HUD Median Income for the Pueblo County or MSA:
Is Project in Pueblo Neighborhood Strateey Area (if
536,100
applicable):
15
OW1�Ei�5P,010R'I ORMTION zhtbrt:L .
Attach, as Exhibit I, a written description of the lead sponsor's record of performance, qualifications, and capacity
to carry out its responsibilities for this development. List all other sponsor(s) and consultants.
Does the applicant have any past or present financial or ownership interest in the project including ownership
interest in the property being utilized for the project?
[X] Yes ❑ No If yes, also describe in Exhibit I.
I:: ROJEGTIN ORMATION -.,Ex ibit
Please provide a narrative description of the project. Attach as Exhibit II.
Complete the information-app ' licable to the type of HOME funding requested and attach as Exhibit III -A. '
should be consistent with the erms and conditions reflected in the sources of funds provided in response to the
feasibility component of the application. Please note that the City of Pueblo can at its discretion propose the
provision of funding as some other funding mechanism than requested. Please be advised that funding is dependent
Oil the City of Pueblo receiving funding from the U.S. Department of Housing and Urban Development and other
fu m ding.
A.
[X] Grant
❑ Loan
❑ Deferred Loan: (Provide the details of the terms and conditions of the proposed deferred loan)
D Other: (Provide the details of the terms and conditions of the proposed use of HOME funds)
Note: There Nvill be approximately 11,762 sq. ft. of total commercial space. The Holden building includes
6,810 sq.ft. and the Studzinski building includes 4,952 sq.ft. No HOME funds will be used for commercial
space.
B. USE OF FUNDS (Exhibit 11I -B)
Specify how the HOME funds will be used and attach as Exhibit III -B.
D Acquisition / Pre- Development [X]Rehabilitation Financing
[X]Construction Financing D Infrastructure Improvements
1- Describe why HOME funds are needed for this project and when the HOME funds will be put into the project (at
acquisition, during, construction or rehabilitation, etc.) } funds are needed to help meet the gap. Without a
HOME grant from the City, the project would be infeasible. Although the project Nvill utilize a construction.
/permanent loan from a bank or CHFA, the project would not be able to afford a higher amount. Even if a
larger a larger permanent loan from a bank or CHFA were nvould drive the cost higher and therefore require
16
higher rents to meet expenses. In any event, the equity expected from the LITHC program will not be
sufficient to successfully complete the project. The project is expected to start demolition in November of
2001 at which time draw downs from HOME would begin.
2 -Does the project include any commercial space in conjunction with the proposed housing? [X] Yes ❑ No
(If yes, provide a statement that HOME funds will not be used for any commercial portion of the project including
on -site day care facilities, congregate meal facilities, office space, etc.)
The project will include 11,762 sq. ft. of commercial space. No HOME funds will be used towards work
related to the commercial space of the Santa Fe Crossing project. The funds necessary to complete the
rehabilitation of the commercial space will be derived from other sources.
C. ABILITY OF THE PROJECT TO BEGIN WITHIN TWELVE MONTHS (Exhibit III -C)
The funding must be likely to be drawn down by the project or used by the project to procure other financing
commitments within 12�ttonths of the date of application approval. Funds for approved projects are subject to
reallocation if not used within twelve months of application approval. .--
Does the sponsor /developer have site control? [X] Yes ❑ No
Is the project ready to begin construction or issue mortgages at this time? [X] Yes ❑ No
Is allocation of LIHTC in hand (if applicable) [X] Yes ❑ No
Estimated project completion date: December, 2003
First estimated date when HOME funds will be drawn: November 2001
Will the project be ready or able to begin construction or issue mortgages two months after the application deadline?
[X] Yes ❑ No
If no, what additional commitments are needed and what is the estimated date of commitment?
Project Benchmark Dates:
Start: November, 2001 Construction Completion: December, 2003
Full Occupancy: March 31, 2004 Final Draw: October, 2002 (HOM rant
tIV FEASIBILITY ]AND NEED FOR,FUNDI x
Exhibit IV
4
HOME regulations require that the City allocate to a project only the amount of funding that it determines necessary
for the financial feasibility of the project. This determination is made solely at the Staff's discretion and is not
representative of the actual feasibility of the project. Applications must include the following information in the
format supplied by the City (or an approved format) for the type of project requested. These items are not optional.
Failure to complete this information in the appropriate format will result in the application being eliminated from
consideration in this round.
A. Eligible Projects - Attach as Exhibit IV -A
HOME eligible projects must meet one of the two broad purposes of the program. Indicate which category applies
to this request. `
17
❑ Owner- occupied units for households at or below 80% of the area median income.
[X] Rental housing, including transitional housing for homeless households and mutual housing, where at
least 20% of the units are targeted to households at or below 50% of area median income.
Rental Projects
Rental projects must submit the following: Rental Project Worksheet, as Exhibit IV -A
1. Rental Project Worksheet
2. Pro Forma
3. Development Budget
4. Sources of Funds
All rental projects must complete and submit Rental Project Worksheet in the correct format.
If project involves Low come Housing Tax Credits enclose one copy of the LIHTC applrcatron as t ` "
_Exhibit Xvl - ,g
pR _
Home- Ownership Projects
Not Applicable
All home- ownership projects must provide the Home - Ownership Project Worksheet. Attach as Exhibit IV -A
- 1. Development Costs with Sources and of Funds for homeownership project involving new construction or
acquisition and rehabilitation.
A11 Projects -- Needs Assessment and Market Study
B. Needs Assessment
Describe the housing situation in the community /neighborhood including those factors that demonstrate a need for
the type of housing proposed for assistance in this application.` Include references to any housing plans or studies
that document the housing needs of the community. Describe the project's relationship to the Consolidated Plan
adopted for the community in which the project is located. Attach as Exhibit IV -B
C. Market Study
Describe the housing market in the community /neighborhood to document the demand (as opposed to need) for the
affordable housing project proposed in the application. Attach as Exhibit IV -C
V.' AFFIRMATIVE AND FAIR HOUSING MARKETING . Eah►b�t V
Applicant acknowledges that it, the project sponsor, owner and developer are aware of their obligations to comply
with applicable fair housing and equal credit opportunity laws. State how the project affirmatively promotes fair
housing. Describe the efforts to be undertaken to advertise and market the HOME - assisted units to all segments of
the community. Please note that this response should describe affirmative actions to promote fair housing, not
simply compliance Nvith the Fair Housing Act or pledges of non- discrimination. List specific news media, housing
agencies, s service agencies, church groups, community organizations or other "Foups expected to assist in
atfinnatively marketing the units. Attach as Exhibit V.
is
LLONG =BERM TENTION REQ k.
UIItEME TS`- <EzhibifV
HOME regulations require projects to commit to specific long -term retention periods. Indicate which long-term
retention period applies to this project.
❑ Owner Projects -- 5 years
[X] Rental Projects -- 20 years
❑ Other:
Explain in detail how this long -term retention period will be accomplished consistent with HOME regulations.
Attach as Exhibit VI. (Lack of response to these criteria will result in no credit awarded to the project under this
eligibility factor.) The Santa Fe Crossing project will comply with the regulations as required under, HOME
.-throughout the retenti period. During this time period,'the project owner will ensure through certification
that tenant rents and Incomes -- rome targeting commit ehts made the
- application. `Furm are in compliance with the ent and inc
ther,- the,pw�ner will maintain the property in good quality standard and habitableIn
addition, the owner will maintain proper documentation regarding tenant rents and incomes as well as
project habitability and the documentation will be available for review by the Consortium. Please note that
the Housing Authority of the City of Pueblo will undertake the above responsibilities as mentioned above. -
19
The responses to the scoring criteria are considered commitments and will be included in the terms of HOME
Agreements that will be required for all approved applications. HOME commitments are not subordinate to those of
any other federal, state or local program.
Points (20 pts. Max)
Indicate the number of units committed to each level of median income shown below. Allocations of units are
commitments not estimates and must be met upon completion of the project. Commitments not met result in
recapture of funds provided to a project. These commitments should be consistent with targeting commitments
made for other programs such, as the Low- Income Housing Tax Credit program ( LIHTC), however, the LIHTC or
other program requiremendo not take precedence over the HOME commitments made in this section. -The
targeting commitments, made to this section of the application must agree with those shown in the Rental / Home
Ownership Project Worksheets.pryared for the Feasibility , portion of the application.
Does this project include any other targeting commitments to other funders or investors? [X] Yes ❑ No
If yes, Attach as Exhibit VII, a description of how the targeting commitments made in this application compare to
the targeting commitments made in applications for other sources of funding for this project. Commitments to the
LIHTC program include the establishment of a breakeven point in the operations before the final allocation
from the limited partner will be paid to the General Partner. Normally this is accomplished a few months
after the certificate of occupancy is received.
Total number of units: 30
Units above 80 % of AMI: - Percent:
Units at or below 61 -80 % of AMI: Percent: %
Units at or below 51 -60 % of AMI: 20 Percent: 67 %
Units at or below 50 % of AMI: 10 Percent: 33 %
Units at or below 30 % of AMI: Percent: _ %
Number of units for on -site manager /staff, not income restricted: 0
Indicate the number of units targeted to each of the categories shown below.
Number of single -room occupancy units: —
Number of units committed to households with special needs: _0
Number of elderly units: _0
Number of family units: _30
Indicate the number of units to be reserved for homeless households:
20
VIII22O $ID I VER UN'IT.
..7,
Points (10 pts. Max.)
Number of Units: 30 Total HOME Funding Requested: $ 300 0 303, a
HOME Funding Per Unit: $ 10,000 1 p, 1 07, 03
`Points (5 pts Max.)
Describe the proportion of units or land to be donated to the project by public or private entities. In order to be
credited under this criterion property must be donated or transferred to the project for a nominal amount, i.e. $1,
reasonable expenses related to conveyance of the property may be paid.
[X] Land
Proportion of land to be donated: 0 %
Current owner: CITY OF PUEBLO
Purchase price: 5650,000
Property Address or Legal Description:
SEE ATTACHED
❑ Units
Number of units to be donated: _0%
Current owner:
Purchase price:
Address or Legal Description
Attach as Exhibit IX a description of the terms, conditions and circumstances associated with the donation of land
or units for the project. Not Applicable
[X NONPROFI T SPOIrSOR Extubrt X -
Points (10 pts. Max.)
Projects that finance the purchase, construction and /or rehabilitation ofhousing that are sponsored by any non -profit
organization, local housing authority, state housing finance agency, or Community Housing Development
Organization will be credited under this criterion. Indicate which criteria for nonprofit sponsorship this project
meets:
D No nonprofit sponsor.
21
[X] Rental project -- Sponsor must have an ownership interest, including any partnership interest,
0 Owner project -- Sponsor must be integrally involved in the project, such as exercising control over the
planning, development, or management of the project, or by qualifying borrowers and providing or
arranging financing for the owners of assisted units.
Further, to be credited under this factor sponsors must meet one of the following requirements. Indicate which
criteria this project sponsor qualifies for.
[X) Sponsor meets the following standard. Is a tax - exempt organization having an express purpose of
fostering low - income housing or is a public housing authority, is an owner of the project and will remain
as a general partner (either itself or through a related subsidiary) through the retention period.. The
sponsor will from the time of application until the end of the retention period be involved in the
operations of the which is regular, continuous and substantial, or
O Sponsor is sate or locally approved Community Housing Development Organization (CHD_O) �� }�
A. General Information
Respond to questions A -J and attach as Exhibit X -A, B,... J.
1. Name of ownership entity: Santa Fe Crossing, LLLP.
2. Name of participating non- profit or Public Housing Authority: Housina Authority of the Cituf Pueblo
Legal status:
❑ 501(c)(3) D:Tax- exempt under 501 (a)
❑ 501(c)(4) [X]Public Housing Authority
0 Other (specify):
a. If non- profit or PHA will participate through a related subsidiary entity, provide name of such entity:
Historic Renovations of Pueblo, Inc. / General Partner
Legal status:
[X] 501(c)(3) ❑ Tax- exempt under 501 (a)
❑ 501(c)(4) 0 Public Housing Authority
❑ Other (specify):
B. Is the non- profit or PHA assured of owning an interest in the project throughout the compliance period ?,
[X] Yes 0 No
]. List all the general partners of the ownership entity and the percentages of their interest. Santa Fe
Crossing LLLP is the owner entity with Historic Renovations of Pueblo, acting as the General
Partner with .1% ownership and the Limited Partner will own 99.9 %. The process of selecting the
Limited Partner has not yet been completed. It is anticipated that a final selection from proposals
that were submitted will take place within 30 days.
2. Describe in detail the non -profit or PHA ownership interest. Historic Renovations of Pueblo, Inc is a 501
C (3) and will serve as the General Partner. The Housing Authority of the City of Pueblo will be
utilized to serve as the applicant, developer and property manager for the Santa Fe Crossing project.
C. Describe the non- profit or PHA material participation in the development of the project. The Housing
Authority will provide its experience and expertise in the development and management of the project.
22
D. Describe the non - profit or PHA material participation in the operation of the project throughout the retention
period. At the completion of the project and through the retention period the Housing
el
Authority will act as
the property manager or may solicit the services of a qualified and professional management agent. In
addition, the management entity will maintain all pertinent program files, monitor the program for required
tenant income and rents, and provide necessary reports to limited partner and funding providers.
E. Will the non - profit or PHA be contributing funds to the project? ❑ Yes [X] No (Ifyes, explain)
F. Will the non - profit or PHA receive any part of the development or management fees paid in connection with
the project? [X] Yes ❑ No (If yes, how much? Explain.) $250,000
G. How many full -time staff members does the non - profit or PHA have? (Please spec)
Describe the type and extent of their activities. The Housing Authority of the City of Pueblo has 62 full time
employees. The duties vary but are consistent with the operation of a high performing public housing agency.
There are nine departments as follows: Executive, Occupancy, Leased Housing (Section 8), Personnel, Special
} Projects, Planning andelopment, Maintenance, Accounting and Management.
H. The non - profit mly not be affiliated with or controlled by -prof for t organization. f -F
1. Has an for-profit entity
Y P (including the owner of project or any entity directly or indirectly related to
such owner) appointed any directors to the governing board of the non- profit? ❑ Yes [X] No
(If yes, explain)
2. Does the non -profit have any financial arrangements with any individual(s) or for -profit entity, including
anyone or any entity related, directly or indirectly, to the owner of the project? ❑ Yes [X] No
3. Disclose any business or personal (including family) relationships that any of the staff members, directors
or other principals involved in the formation or operation of the non -profit have, either directly or indirectly,
with any persons or entities involved or to be involved in the project on a for- profit basis including, but not
limited to, the owner of the project, any of its for -profit general partners, employees, limited partners or any
other parties directly or indirectly related to such owner. NONE
1. The non - profit or PHA may not have been formed by any individuals) or for -profit entity for the principal
Purpose of being credited for the non -profit sponsor component or earning points under the 110ME scoring
criteria.
1. Date of legal formation of non -profit or PHA. 1)7arch 1, 1951
2. Purposes) of formation of non - profit. To provide safe, decent and affordable housing to low - income
families, the elderly and disabled individuals. The Housing Authority was created under the authority
of the United States Housing Act of 1937.
J. Provide Sponsor Documentation, the following re uircd materials for the non -profit or PHA (as applicable):
1. Articles of incorporation
2. By -laws
3. IRS determination letter, 501 (c) 3 or other tax exemption approval letter attached
4. Non -profit certificate of incorporation and certificate of good standing (state)
5. List of current Board of Directors or Commissioners (include dates of appointment and affiliation)
6. Most recent audited financials (include a list of major donors).
7. Provide or attach as separate exhibit arty additional information which the City may find useful for the
purposes outlined at the beginning of this questionnaire (e.( letter of intent, proposed documents, etc.).
`XI , EIVIP.OWERIIIENT - Eahibitt _
23
Points (7.5 pts. Max.)
Applications will be scored according to the extent and-degree to which housing is provided in combination with a
pro offering: employment; education; training; homebuyer/homeownership or tenant counseling; daycare
services; resident involvement in decision making affecting the creation or operation of the project; or other services
that assist residents to move toward better economic opportunities, such as Welfare -to -Work initiatives, consistent
with the local Consolidated Plan.
Please describe in detail which of the following empowering activities will be accomplished and how. Attach as
Exhibit XI -A, B,... J.
A. Resident Involvement
•Identify who will be responsible for its formation and the schedule for its formation.
*Explain how the associate will be formed and organized
. •Describe the role and �p onsibilities'of the tenants association or other resident mvolvement
i'Fr i
B. Mandatory Homebuyer Education
*Provide one copy of the homebuyer curriculum.
•Explain how the training will be documented.
•Identify who will organize and provide the training and their qualifications.
•Give details on the number of sessions and total hours of homebuyer education provided.
C. Sweat Equity
-Describe the type of sweat equity to be provided by the homebuyers.
-Indicate who will be responsible for oversight of the sweat equity work.
*Explain how the amount of sweat equity credited will be documented.
D.
Job Training
E.
Day Care
F.
Youth Programs
G.
Credit Counseling _
Fl.
Transportation Services
I.
Welfare to Work Initiatives
J.
Other
IXII; COMMLiNITY STABILITY Eah�brt XII -,
_.......,_ x
Points (7.5 pts. Max.)
Please describe the extent to which the project preserves the community stability by minimizing the displacement of
low - and moderate- income households and by maximizing community stability. If the project involves any
displacement, please provide a summary of the sponsor's plans, if any, to deal with the resettlement of displaced
households. Attach responses as Exhibit XII -A, B, C, 1).
A. Will the project displace any existing residents? ❑ Yes [X] No
24
If the project involves any displacement, please attach a copy of the sponsor's plans, if any, to deal with relocation
of the displaced households.
B. Describe the extent to which the project will benefit existin low- and moderate - income residents of the
community. The project will provide quality and affordable housing to our market population which
includes eligible low- and moderate - income residents of the community. The project will also provide
apartment living that is closer to work for low- income families working in the proximity of the Santa Fe
Crossing project.
C. Describe how this project increases neighborhood/community stability. The project will cure an eyesore in
that neighborhood. The buildings are old and have been vacated for approximately one year or longer and
the buildings have become a safety hazard. The rehabilitation of two of the commercial buildings and the
planned demolition /replacement of a third building will certainly enhance the community in appearance and
value. The rehabilitation of two of the old buildings supports the desires of many in the community to
preserve old historically stjuctures within the downtown area. Culturally speaking this philosophy has merit. .
Points (20 pts. Max.)
Attach responses to questions marked A =C, as Exhibit XIII -A, B, C.
( ` A. Special Needs -- Applications will be credited according to the percentage of housing reserved for occupancy
` = by households with special needs, such as large families, farm workers, the elderly, mentally or physically disabled
persons. At least 20% of the project's units must be reserved for persons with special needs to receive credit under
this criterion.
Number of special needs units: one Percentage of total units: 3 %
Describe the special needs population to be served by this project:
At least one of the apartments will be handicapped accessible. This will provide a physically disadvantaged
individual /family an opportunity to rent a quality residence at an affordable rent. The location presents
itself in a very positive fashion because of nearby public transportation, restaurants, shopping, and
emergency services.
B. Neig Area
Describe the location of the project
The Santa Fe Crossing project is located in the downtown area along Santa Fe Avenue between 2 "' Street and
4 ° i Street. The neighborhood consists of primarily retail /commercial structures and is in great need of
a
residential facilities. The project will be located in n older neighborhood but over the last five years new
construction for various aspects has taken place, for example the Convention Center and the Marriott Hotel.
It appears that rehabilitation or new construction efforts will continue which would fall in line with the
objective relative to the HARP project. Therefore, this project will compliment objectives for this part of
Pueblo. We are of the opinion that the project area is a part of a Historic District and staff is working with
the Colorado Historical Society to determine if the buildings can be registered as historic properties.
C. First -t Ho - ap plicabl e to the S anta Fe Crossi project
Projects providing financing of housing for first -time homebuyers will be credited for this factor. Describe how the
project addresses this factor.
25
1I I 111 Ism
D. Rural
Describe the location of the project if it is located outside the corporate city limits.
IVPRIOR 3Ext tibit ?CIV
_� - i,
�_� �. �a A _ _ ..�, ` 7
Points (15 pts. Max.)
Community Participation and Support Services
Describe the extent to which the project involves non - profit and community organizations, other than the project
sponsor, and commitment of services specific to the project or program by agencies serving the community. List
any specific contributions these organizations are making to the project, such as the donation of land, cash grants,
volunteer labor, corporate -contributions, or provision of facilities and services including but not limited to -
congregate meal sites, soial services, health services, job training, child care, job related transportation services or
equivalent services tq be made available for the project or program being funded with funding. Credit will not be ''
given for provision of servicdsJo project tenants or homeowners on the same basis as available to the general
public. The Santa Fe Crossing project will be accomplished with the consensus and support of neighboring
community agencies. Letters of support are included for your reference. The point that the project is geared
primarily for working families precludes the need for supportive services. Most of the residents will very
likely be self - sufficient but as discussed earlier, information and referral services will be available to all
tenants for various services. For example, if someone is interested in pursuing home ownership
opportunities, staff will refer the family to Neighborhood Housing Services or other appropriate agencies. If
a tenant is interested in job training or education to enhance his /her shills, they will be referred to the local
Chambers of Commerce or Pueblo Community College. If the family is a voucher holder they may already
be in the Housing Authority's Family Self- Sufficiency program, if not they will be encouraged to participate
in the program. Important benefits of the FSS program are a savings plan and the availability of funds for
clay care services. Nora Pena (584 -7633) is the contact person from the Pueblo Housing Authority relative to
the FSS program.
Describe the support services to be provided. Attach as Exhibit X1V
(Points will be awarded only for those groups referenced that are supported by a letter or other suitable written
documentation including a contact person, address and phone number)
XV. MONITORING- Exhibit XV
Sponsors and owners of approved HOME awards are obligated to comply with the HOME monitoring and reporting
requirements of the regulations and the City's policies. The requirements of are not subordinate to the requirements
of any other federal, state, local or private source of funds. Applicants must be prepared to comply with the
overlapping requirements of the 1-10ME and other funding sources. All applications must include a response to this
section that demonstrates that the applicants are aware of I-IOME requirements. Attach responses as Exhibit XV.
A. Describe the procedures that will be followed for initial and long - term monitoring of compliance with HOME
requirements.
The Pueblo Housing Authority has extensive experience with Various federal programs that require a great
deal of knowledge and application of program regulations. The Housing Authority has the proven capacity
to facilitate and monitor such program including providing required tenant, financial and asset management
reporting needs to funding providers, limited partners, board of directors, any other legitimate party that
may require program information or reports.
26
B. Please explain how the applicant intends to document the use of any funding disbursed; specifically address how
the disbursement of funds will be made for HOME eligible purposes. Describe the disbursement process and
project cost accounting system to be used.
The Director of Special Projects is responsible fo this area and will utilize the required accounting
procedures and financial reporting for the Santa Fe Crossing project. This employee is very qualified and
knowledgeable regarding the accounting and reporting for this type of program and the requirements of the
funding sources. The accounting is an accrual type of basis with the capability to submit reports
electronically. Disbursements for pay requests will occur after the proper request for funds have been
received from the contractor and then reviewed and approved by the contracting officer, architect, and
procurement officer. If necessary, the request for payment will be submitted to the City for review prior to
payment or as the City requests. There will be an annual audit and, of course, the audit will be provided to
the City for its files.
ELIGIBILITY REQUIREMENTS
Requests for HOME funding are limited per project This Jimit applies to the same or equivalent projects submitted
by more than one member'.'
HOME financing is limited to housing within the City of Pueblo.
All applicants should review the responses to the ten eligibility requirements. These requirements must be satisfied
before any request can be evaluated further under the scoring and ranking procedures. These requirements apply to
all projects without exception.
1. FEES
HOME funds may not be used to fund certain types of fees. Check the following items to confirm that the applicant
understands that HOME funds will not be used to pay the following fees.
-Prepayment fees for lender subsidized advances.
- Cancellation fees imposed by lenders for private loans commitments not taken.
*Processing fees charged by lenders for providing direct subsidies.
2. COUNSELING COS "fS
HOME funds may be used to pay for the cost of homeownership counseling only under certain circumstances.
Check the following items to confirm that the applicant understands that funds may be used to.pay for counseling
costs only when:
-The counseling costs incurred are associated with the buyer of an HOME assisted unit.
-The costs of the counseling have not been covered by another source including the member.
27
CERTIFICATIONS
The sponsor and owner each certifies that it has read and acknowledged the requirements described in the
Application Instructions and the HOME regulations 24 CFR Part 92 accompanying this application form. The
requirements and commitments related to HOME are not subordinate to the requirements of any other program or
source of funds including but not limited to the low- income housing tax credit program, HUD programs or any state
or local regulation or program.
The sponsor and owner each certifies that the information in the application is correct and that the funding received
for this project will be utilized in compliance with 24 C.F.R 92 affordable housing regulations and City of Pueblo
policies. Applicant also agrees to submit reports and certifications as the City may require. Applicant, sponsor and
owner certify that the requested funds will be used in accordance with the following specific provisions of HOME
as well other requirements of the program.
Affordability: All rental units targeted to households at or below 80% of area median income as committed to in the
approved application and reflected in the Targeting commitments cited above must have rents that do not exceed 30
percent of the income a household of the maximum income and size expected to occupy the,unit (assuming
occupancy of 1.5 persons per bedroom or 1.0 persons per unit without a separate bedroom).
To insure that the proposed level of HOME funding is still warranted at the actual funding date, particularly in the
case of approved rental projects, the City will reevaluate.the funding level using current pro- formas and sources of
fiends information at the time of disbursement and after project completion. The City may modify the amount of
funding to be provided based upon this review. This process may result in the transfer of less HOME funding than
the amount approved or the recapture of disbursed funding.
HOME funds may not be used for administrative or operating expenses associated with the applicant, sponsor,
owner or the approved project /program.
Commitments described in the HOME application in excess of the HOME minimum requirement become the
standard for determining compliance under the program.
The funding Hurst be drawn down by the project or used to procure other financing commitments within a
reasonable time from the (late of approval of the Application. Therefore, all sources of funding must be committed
within such reasonable time of the Application's approval. If the funding approved is not drawn down and used
within the time specified by Agreement the City of Pueblo shall cancel its approval and any funded amount shall be
returned to the City, and shall be made available for other eligible projects.
The member shall comply with the monitoring requirements of the applicable HOME regulations and the City's
policies and procedures. Specifically, during the period of construction or rehabilitation, the sponsor, owner,
developer must take the steps necessary to determine whether reasonable progress is being made towards
completion of the project and must report to the City quarterly on the status of the project. Within the first year
after project completion, the sponsor /owner must review the project documentation and certify to the City that the
project is habitable, the project meets its income targeting commitments and the rents charged (if a rental project)
for income targeted units do not exceed the maximum levels committed to in the application. The project sponsor
and owner agree to fully cooperate with the City in effectuating off -site and on -site reviews of the project and in
providing to the City any project documentation periodically required under the applicable HOME regulations.
The owner shall comply with the monitoring requirements of the applicable HOME regulations and the City's
policies and procedures. Within the first year after project completion, the project owner must: (a) Certify to the
City that the services and activities committed to in the Application have been provided in connection with the
project; (b) Provide a list of actual tenant rents and certify that; (1) The tenant rents and incomes are accurate and
in compliance with the rent and income targeting commitments made in the Application; and (2) Tile project is
habitable; and (c) Maintain documentation regarding tenant rents and incomes and project habitability available for
28
review by the City, to support such certifications; (d) Provide to the City a final accounting and documentation of
project costs and sources of funds.
In the second year after completion of a project and annually thereafter until the end of the project's retention
period, the project owner must: (a) Certify to the City that: (1) The tenant rents and incomes are in compliance
with the rent and income targeting commitments made in the Application; and (2) The project is habitable; and (b)
Maintain documentation regarding tenant rents and incomes and project habitability available for review by the
City, to support such certifications.
For purposes of determining compliance with the targeting requirements and HOME regulations, sponsors and
owners must determine income limits adjusted for household size and such commitments must be adjusted annually
according to the current applicable median income data.
The sponsor and owner shall repay the funding to the City, including interest, as may be determined at the its
discretion, if appropriate, in accordance with the requirements of the applicable HOME regulations in any instance
.where, as a result of the sp nsor's or owner's actions or omissions, the funding is not used in compliance with the
-terms of the Applicationnd the HOME regulations; unless such non- compliance is cured within a `reasonable
- period of time or the circumstances of such non- cbmpliance are eliminated through a modificatio'n'.'- the � f
Application, pursuant to the applicable HOME regulations.
Modifications from the terms of the approved application must be approved in writing City.
29
Authorized representatives of the sponsor and owner must sign the application.
Agreed to and Accepted
M
Typed Name and Title:
Date:
For:
City of Pueblo
_
Agreed to a d Accented
� r Nti
BY: Date: 09112/01
Type amc and Title: JACK QUINN, EXECUTIVE' DIRECTOR
For: HISTORIC RENOVATIONS OF PUEBLO, INC.
Project Sponsor
Agreed to and Accepted
l a
BY: Date: 09112101
Typed Name and Title: GASPARE BARCIA, PRESIDENT
For: HISTORIC RENOVATIONS OF PUEBLO, INC. GENE PARTNER, SANTA FE CROSSING, LLLP
Project Owner
30
CITY OF PUEBLO HOME -- Affordable Housing Program
Rental Project Worksheet
Project Name: Santa Fe Crossings
Project MSA or County: Pueblo
Area Median Income (AMI) for the project location: $ 37,800
50% Area Median Income (AMI) for the project location: $ 21,850
09/19/01
Targeted
HUD
Income
Limit
Income
Restriction
(% AMI)
1
Maximum
AHP Rent
2
3
Household Size
4
5
6
7
$0
8
50%
$
15,300
$
17,500
$ 19,650
$
21,850
$
23,600
$
25,350
$ 27,100
$
28,850
60%
$
18,350
$
20,950
$ 23,600
$
26,200
$
28,300
$
30,400
$ 32,500
$
34,600
70%
$
21,400
$
24,500
$ 27,550
$
30,600
$
33,050
$
35,500
$ 37,950
$
40,400
80%
$
24,450
$
27,950
$ 31,450
$
34,950
$
37,750
$
40,550
$ 43,350
$
46,150
Number of
Bedrooms
Income
Restriction
(% AMI)
# of
Units
Maximum
AHP Rent
Proposed
Rent
Annual
Rent
Revenue
Efficiency
50
$382
$0
60
$459
$0
70
$537
$0
80
$611
$0
> 80
$0
1 Bedroom
50
6
$410
$363
$26,136
60
10
$490
$441
$52,920
70
$576
$0
80
$655
$0
> 80
$0
2 Bedroom
50
4
$491
$431
$20,688
60
10
$589
$527
$63,240
70
$690
$0
80
$786
$0
> 80
$0
3 Bedroom
50
$568
$0
60
$681
$0
70
$798
$0
80
$908
$0
> 80
$0
4 Bedroom
50
$633
$0
60
$760
$0
70
$890
$0
80
$1,013
$0
> 80
$0
Total Units 30 Total Annual Rent $162,984
Very Low - Income Units
% Very Low - Income Units
10
33.3%
236.975
Page 1 of 1
CITY OF PUEBLO HOME -- Affordable Housing Program
Development Budget
Total AHP
Land and Buildinas
9/19/01 11:53
Other Per Unit
Land Acquisition
$ 450,000
Building Acquisition
$ 200,000
$ 300,000
Liens and Taxes
Holding Period Interest
$ 89,000
Relocation Costs
$ 263,946
$
Other
$ 177,000
Subtotal
$ 650,000
$
Site Work
Site Grading, Clearing, Demolition
$ 263,946
Off -Site Improvements
$ 2,332,135
$ 300,000
Environmental
Other
$ 89,000
Subtotal
$ 263,946
$
Construction and Rehabilitation Cnsts
New Construction Costs
$ 169,289
Rehabilitation Costs
$ 2,332,135
$ 300,000
Accessory Structures
General Requirements
$ 89,000
Contractor Overhead
$ 89,000
$
Contractor Profit
$ 177,000
Construction Contingency
$ 135,000
Other comm'I space)
$ 588,100
Other
$ 21,000
Other
$ 38,705
Other
$ 16,500
Subtotal
$ 3,486,440
$ 300,000
$ -
Professional Fees
Architect Design
$ 169,289
Architect Supervision
Attorney, Real Estate
Real Estate Agent
Subtotal
$ 169,289
$
Construction Interim Costs
Hazard/Risk/Liability Insurance
Construction Bond Premium
Performance Bond
Credit Report
Construction Loan Interest
$ 48,000
Construction Loan Fee
$ 12,000
Discount Points
Credit Enhancement Fee
Inspection Fees
Title, Recording and Escrow Fees
$ 3,000
Le al Fees
Construction Period Interest
Securit
Real Estate Taxes
$ 1,000
Other
Subtotal
$ 64,0U0
$
5
$8,798
$0
$0
$0
$8,798
7381
1 $116,2151
$5,643
$0
$0
$0
$5,643
1 $1,6001
1331
Page 1 of 2
Permanent Financinq
Bond Premium
$ 20,000
Not
Credit Report
$ 4,000
AHP
Discount Points
$ 5,000
Eligible
Permanent Loan Origination Fee
$ 14,000
Costs
Permanent Loan Credit Enhancement
$ 2,000
$
Title, Recording and Escrow Fees
1 $ 3,000
$ 4,500
Le al Fees
Contingency Soft Costs
Prepaid Mortgage Insurance Premium
Appraisal
$ 3,500
Other I
I
I
I
Subtotal 1
$ 17,000
$ -
$ -
Soft Costs
Feasibility Stud
$ 20,000
Not
Market Study
$ 4,000
AHP
Environmental Stud
$ 5,000
Eligible
Tax Credit Fees
$ 6,000
Costs
Compliance Fees
$ 2,000
$
Cost Certification
$ 4,500
$ -
Contingency Soft Costs
Appraisal
$ 3,500
Other
Subtotal
$ 20,000
$
Syndication Costs
Organization Costs
$ 20,000
Not
Bridge Loan Expenses
$ 74,000
AHP
Tax Opinion
$ 5,000
Eligible
Other
Costs
Subtotal
$ 25,000
$
Developer Fees
Developer Overhead
$ 250,000
Not
Developer Profit
$ 74,000
AHP
Consultant Fee
Eligible
Other
Costs
Subtotal
$ 250,000
$
Project Reserves
Rent Up Expense
Not
Operating Reserves
$ 74,000
AHP
Replacement Reserve
Eligible
Escrows
Costs
Debt Service Reserve
Subtotal
$ 74,000
$ -
171
$667
$0
$167
$0
$833
$8,333
$0
$0
$0
$8,333
Total Residential Costs $ 5,019,675 $ 300,000 $ - $167,323
Page 2 of 2
CITY OF tjUEBLO HOME -- Affordable Housing Program
Sources of Funds
Santa Fe Crossings
9/19/01
Permanent
Financing
Type
(eg Loan
Grant or
Equity)
Amount
I
Rate
Term
(in months)
Status
(eg Approved,
Requested)
Monthly
Debt
Service
Annual
Debt Service
Minnequa Bank (first mortgage)
Loan
$1,400,000
9.25%
15
Proposed
$11,517
$138,209
City of Pueblo (second mortgage)
Loan
$650,000
7.00%
15
Proposed
excess rev.
$70,122
City of Pueblo
Grant
$303,211
0.00%
30
Applied
$0
State Historic
State Division of Housing
Grant
$300,000
0.00%
40
Applied
$0
State Division of Housing
State Historic
Grant
$100,000
0.00%J
30
Proposed
$0
Investor Equity LIHTC)
Investor Equity (LIHTC)
Equity
$2,266,464
0.00%1
Proposed
Proposed
Investor Equity-After Breakeven
Equity
$343,000
Proposed
This payment is not made by the investor until the
project has been occupied for 6-12 months. It is used
to pay balance due to the contractor and developer.
Total Sources
$5,019,675
Total Sources
$5,019,675
$ 11,517
$ 208,331
Construction /Interim
Financing
Type
(eg Loan
Grant or
Equity)
Amount
Rate Term
(in months
Status
(eg Approved,
Requested)
Minne ua Bank
Loan
$1,736,940
Proposed
City of Pueblo
Loan
$650,000
Proposed
City of Pueblo
Grant
` , $303,211
Applied
State Historic
Grant
$100,000
Proposed
State Division of Housing
Grant
$300,000
Applied
Investor Equity LIHTC)
Equity
$1,586,524
Proposed
Investor Equity-After Breakeven
Equity
$343,000
Proposed
This payment is not made by the investor until the
project has been occupied for 6-12 months. It is used
to pay balance due to the contractor and developer.
Total Sources
$5,019,675
(payable from excess cash flow,
after operating expenses, debt
service, deferred dev.fees, inc. to
reserves)
Page 1 of 1
CITY OF PUEBLO HOME -- Affordable Housing Program
RENTAL PROJECTS PRO FORMA
Project: Santa Fe Crossings
Number of Units: 30
Year 1 1 Year 2 1 Year 3 1 Year 4 1 Year 5 1 Year 6 Year 7 Year 8 1 Year 9 Year 10
1. EFFECTIVE GROSS INCOME Estimated Rate of Annual Increase: Income 3%
A. Scheduled Residential Rents
$162,984
$167,874
$172,910
$178,097
$183,440
$188,943
$194,611
$200,450
$206
$212,657
B. Less Vacanc
7%
$11,409
$11,751
$12,104
$12,467
$12,841
$13,226
$13,623
$14,031
($14,452)
($14
C. Commercial Rents
D. Less Vacancy
10%
$94,336
$9,434
$97,166
$9,717
$100,081
$10,008
$103,083
$10,308
$106,176
$10,618
$109,361
$10,936
$112
$11,264
$116,021
$11,602
$119,502
$11,950
$123,087
$12,309
E. Laundry, Parking & Other Rev. $3,600 $3,744 $3,894 $4,050 $4,211
F. Other: $0 $0 $0 $0 $0
Total Effective Gross Income $240,0781 $247,3161 $254,773 1 $262,4551 $270,369
2. OPERATING EXPENSES Estimated Rate of Annual Increase: Expenses 4%
$4,380 $4,555 $4,737 $4,927 $5,124
$0 $0 $0 $0 $0
$278,522 1 $286,922 1 $295,575 $304,489 $313,673
A. Management Fee
$11,200
$17,312
$17,834
$18,372
$18,926
$19,497
$20,085
$20,690
$21,3141
$21,957
B. Legal & Audit
$5,500
$5,720
$5,949
$6,187
$6,434
$6,692
$6,959
$7,238
$7,527
$7,828
C. Advertising
$2,200
$2,288
$2,380
$2,475
$2,574
$2,677
$2,784
$2,895
$3,011
$3,131
D. Gas & Electric
$0
$0
$0
$0
$0
$0
$0
$0
$0
E. Water& Sewer
$10,800
$11,232
$11,681
$12,149
$12,634
$13,140
$13,665
$14,212
$14,781
$15,372
F. Supplies
$0
$0
$0
$0
$0
$0
$0
$0
$0
G. Payroll
$0
$0
$0
$0
$0
$0
$0
$0
$0
H. Waste Removal
$2880
$2,995
$3,115
$3,240
$3,369
$3,504
$3,644
$3,790
$3,941
$4,099
I. Pest Control
$0
$0
$0
$0
$0
$0
$0
$0
$0
J. Repair
$23,524
$24,465
$25,444
$26,461
$27,520
$28,621
$29,765
$30,956
$32,194
$33,482
K. Maintenance
$0
$0
$0
$0
$0
$0
$0
$0
$0
L. Grounds & Decorating
$2
$2,496
$2,596
$2,700
$2,808
$2,920
$3,037
$3,158
$3,285
$3,416
M. Insurance
$7
$7,800
$8,112
$8,436
$8,774
$9,125
$9,490
$9,869
$10,264
$10,675
N. Other:
$0
$0
$0
$0
$0
$0
$0
$0
$0
3. TAXES & FEES
A. Real Estate
$9,000
$9,360
$9,734
$10,124
$10
$10,950
$11,388
$11,843
$12,317
$12,810
B. Local & State Assessments
$0
$0
$0
$0
$0
$0
$0
$0
$0
C. Other:
$0
$0
$0 1
$0
$0
$0
$0
$0
$0
Total Operating Expenses
$75,004
$83,668
$86,844 1
$90.1431
$93,5671
$97,124
$100,817
$104,652
$108,634
$112,770
4. RESERVES
A. Replacement Reserves
$6,000
$6,240
$6,490
$6,749
$7,019
$7
$7,592
$7,896
540
B.Operating
$0
$0
$0
$0
$0
$0
$0
$0
$0
C. Other:
$0
$0
$0
$0
$0
$0
$0
$0
=$208,331$208,331
$0
5. TOTAL RESERVES & EXPENSES
$81,004
$89
$93,334
$96,892
$100,587
$104
$108,409
$112,548
310
6. NET INCOME
$159,074
$157,408
$161,439
$165,563
$169,782
$174,098
$178,513
$183,027
63
7. ANNUAL DEBT SERVICE $208,331 $208,331 $208,331 $208,331 $208,331 $208,331 $208 $208,331 331
$49,257 ($50,923) $46,892 ($42,768) $38,549 $34,233 $29,818 ($25,304) $20,687 $15,968
DEBT COVERAGE RATIO 0.76 0.76 0.77 0.79 0.81 0.84 0.86 0.88 0.90 0.92
Line 6 divided by Line 7
Page 1 of 2
CITY OF PUEBLO HOME -- Al 9/19/01
RENTAL PROJECTS PRO FOF
Number of Units:
Year 11
Year 12
r 13
Year 14
Year 15
1. EFFECTIVE GROSS INCOME
A. Scheduled Residential Rents
$219,037
$225 608
F$232,376
$239 347
$246 528
B. Less Vacanc
$15,333
$15,793
6,266
$16,754
$17 257
C. Commercial Rents
$126,780
$130,583
4,501
$138,536
$142,692
D. Less Vacancy
$12,678
($13,058)
$13,450
($13,854)
$14,269
E. Laundry, Parking & Other Rev.
$5,329
$5,542
$5,764
$5
$6,234
F. Other:
$0
$0
$0
$0
$0
Total Effective Gross Income
$323,135
$332,882
$342,924
$353,269
$363,928
2. OPERATING EXPENSES
A. Management Fee
$22,619
$23,302
$24
$24,729
$25,475
B. Le al & Audit
$8,141
$8,467
$8,806
$9,158
$9
C. Advertising
$3,257
1 $3,387
$3,522
$3,663
$3,810
D. Gas & Electric
$0
$0
$0
$0
$0
E. Water & Sewer
$15,987
$16,626
$17,291
$17,983
$18
F. Supplies
$0
$0
$0
$0
$0
G. Payroll
$0
$0
$0
$0
$0
H. Waste Removal
$4,263
$4,434
$4,611
$4,795
$4,987
I. Pest Control
$0
$0
$0
$0
$0
J. Repair
$34,821
1 $36,214
$37,663
$39,169
$40,736
K. Maintenance
$0
$0
$0
$0
$0
L. Grounds & Decorating
$3,553
$3,695
$3,842
$3,996
$4,156
M. Insurance
$11,102
$11,546
$12
$12,488
$12,988
N. Other:
$0
$0
$0
$0
$0
3. TAXES & FEES
A. Real Estate
$13,322
$13,855
$14,409
$14,986
$15,585
B. Local & State Assessments
$0
1 $0
$0
$0
$0
C. Other:
$0
$0
$0
$0
$0
Total Operating Expenses
$117,065
$121
$126,157
$130,967
$135,963
4.RESERVES
A. Replacement Reserves
$8,881
$9,237
$9,606
$9,990
$10 390
B. Operating
$0
$0
$0
$0
$0
C. Other:
$0
$0
$0
$0
$0
5. TOTAL RESERVES & EXPENSES
$125 946
$130
$135,763
$140,958
$146353
6. NET INCOME
$197,1881
$202
$207,161
$212312
$217
7. ANNUAL DEBT SERVICE
$208,331 1
$208,331
$208,331
$208,331
$208,331
$11,143 $6211 $1,170 $3981 $9244
DEBT COVERAGE RATIO 0.95
Line 6 divided by Line 7
0.97
0.99
1.02
1.04
Page 2 of 2
CITY OF PUEBLO HOME -- Affordable Housing Program
Feasibility Analysis
13.0%
6.2%
4.0%
0
30.82%
0.00%
#DIV /01 months
9/19/01
Page 1 of 1
Santa Fe Crossings
Development Budget
Contractor Overhead, Profit, General Requirements
$355,000
Developer Fees
$250,000
Contingency - Hard Costs
$135,000
Contingency - Soft Costs
$0
Operating Reserves
$74,000
Replacement Reserves
$0
Debt Service Reserves
$0
Development Cost Per Unit
$167,323
Project Financing
Construction Loan Fee
Permanent Loan Fee
Interest Rate
Tax Credit Equity Sales Price
Operating Pro Forma
Vacancy /Bad Debt
7%
Management Fee
6.42%
Operating Costs/Unit
$2,500
Debt Service Coverage Ratio
0.76
Replacement Reserves /Unit
$200
13.0%
6.2%
4.0%
0
30.82%
0.00%
#DIV /01 months
9/19/01
Page 1 of 1
Exhibits - Checklist
I. Owner /Sponsor Information
II. Project Information
III. Type of Funding Requested
IV. Feasibility and Need for Funding
V. Affirmative and Fair Housing Marketing
VI , �Lo�
. ng Retention Requirements
VII. Targeting
VIII. Subsidy Per Unit
VIX. Donated Property
X. Non - Profit Sponsor
XI. Empowerment
XII. Community Stability
XIII. Priority 1
XIV. Priority 2
XV. Monitoring
XVI. Low Income Housing Tax
Credit
Application
3
Exhibit 1
Resume of Management Functions/Experience
Part 1 - Experience
The Housing Authority of the City of Pueblo was formed in 1951 to provide decent, safe and sanitary
housing for low income families and elderly. It was formed under the authority of the Colorado
Housing Authority statute and the Federal 1937 Housing Act.
The Housing Authority currently owns and operates 901 units of housing developed under the Low
Rent Public Housing program. Of these units 375 are single - family and multifamily units scattered
throughout the City of Pueblo. The largest single concentration of public housing units is at the
Sangre de Cristo apartments consisting of 212 units. And the balance of 314 units are designated
for the elderly. The Ip- ousing Authority also owns and operates the mineral Palace Toyer which" was
funded as a Section 8 New Construction project consisting of 132 units and designed for the elderly _
population. In the pastftweWe years the Housing Authority has developed The Vail Apartments, an
award winning "Premier Public Housing Program for the Elderly " and Minnequa Park Apartments
also for elderly individuals.
The Housing Authority has been very progressive in the development of low - income housing in
order to meet the community's affordable housing needs for disadvantaged individuals and the
working poor. In addition to the units owned by the Authority, staff also manages several complexes
owned by local non - profits. These include Union Plaza Senior Apartments, which is a HUD 202
project owned by SRDA /Clnion Plaza Senior Apartments, Inc.; La Morada Apartments and Palo
Verde, which are Section 8 Project Based Certificate and Moderate Rehabilitation programs owned
by Neighborhood Housing Services; the Fenix Apartments owned by Fenix Redevelopment
Partnership, Ltd.; and Central Apartments, owned by Central Apartments LLLP. Both the Fenix,
consisting of 52 rental units and the Central Apartments, consisting of 18 rental units, are Low -
Income Housing Tax Credit projects. In March of 2000, the Rood Candy Apartments were
completed under a Low Income Housing Tax Credit (LII-ITC) program. The building consists of
35 apartments and is currently fully occupied.
The management goals of the I Iousing Authority are to maintain at least 97% occupancy of its units,
to collect 95% of the rents within the first five business days of each month and to clean and to re-
occupy a vacant unit within twenty calendar days. These goals have been consistently met by the
staff of this agency.
The regular daily maintenance for the Housing Authority is the responsibility of the Housing
Authority's maintenance department. The Management Department will assist with move -ins,
move -outs, tenant support, rent collections, and formal inspection of each unit. All units must meet
the agency's Housing Quality Standards. The Accounting Department is responsible for standard
accounting functions including periodic financial reports to HUD and any other institutions that may
have a financial interest in our housing stock, such as Colorado Housing and Finance Authority
_ (CHFA). The Executive Department will oversee the daily operations of the Housing Authority.
Page 2
Resume
The Housing Authority of the City of Pueblo is an equal housing opportunity provider and is
committed to provide all of our public housing programs, Section 8 and managed properties with
qualified low- income applicants from its Waiting List. The tenants for our Low - Income Housing
Tax Credit developments must meet 60% of the median income requirements for the Pueblo area.
When necessary, an outreach marketing program will be implemented to reach those in need and
particularly those whom are least likely to apply because of a particular project's location or other
factors that may require special outreach. There are already a huge number of working families on
the Housing Authori� s Waiting List and the majority will be eligible for housing a�the proposed
t. low- income housing project. -
For forty years the Housing Authority of the City of Pueblo has been demonstrating its expertise
in managing and maintaining housing. It has been recognized by the Regional Office of the U. S.
Department of Housing and Urban Development as an "Outstanding Performer" and has received
numerous awards for projects developed by the Authority.
Part 2 - Development Team
Primary team members for the Santa Fe Crossing project include:
Jack Quinn - Executive Director
Frank Pacheco - Assistant Executive Director
Gary Trujillo - Architect
Barbara Bernard - Director of Special Projects
Mike Higbee - Director of Operations
Vida Harbour - Management
Additional members of the development team include Mr. Bill Simpson, consultant and Mr. Bill
Callison, Attorney at Law. Mr. Simpson is employee by National Development Council specializing
in Low-Income Housing Tax Credits and Mr. Callison specializes in the formulation of the required
General Partnerships for the ownership component of tax credit projects.
Part 3 - Ownership
The ownership of the property to be utilized for the Santa Fe Crossing project was owned by the City
of Pueblo and the option to own the subject property was extended to the Housing Authority of the
City of Pueblo. This occurred in order to start the Low - Income Housing Tax Credit application
process. A Housing Authority is an ideal sponsor for this complicated program. The City and the
Housing Authority are in the process of finalizing the documents for the transfer of ownership of the
property. At such time in the near future when the General Partnership is created, ownership will
Page 3
Resume
be transferred from the Housing Authority to the General Partnership. The property is currently
undergoing an appraisal process as well as a Phase I Review. It is anticipated that the appraisal and
the Phase I will be completed in late September. The value for the property at this time is $650,000
and a deferred note for this amount will be executed between the City as the owner and the Santa Fe
Crossing project.
PROJECT INFORMATION
Part 1- Long term objectives of the project:
Exhibit II
The long term objectives of the Santa Fe Crossing project is multifaceted: (1) to provide
affordable, safe and decent housing to families earning at 60 percent or less of the area median
income; (2) to preserve historic buildings or to rehabilitate blighted buildings within the City of
Pueblo, (3) to contribute to revitalization efforts for future growth and development of the
downtown area; and (4) to create accessible and affordable apartments for low wage earners
employed within the downtown area.
Part 2 - Description of project:
The developer proposes to rehabilitate two blighted commercial buildings and convert them into
affordable apartments for low- income families. In addition, the project will demolish a third
building and replace it with a newly constructed apartment dwelling at the same site for the
purpose of providing affordable housing. The two buildings to be reconstructed are the Big Four
Auto Parts building and the Studzinski building. The project site consists of over 30,000 square
feet. There are 30 apartments proposed for the project with a configuration of 16 one - bedroom
units and 14 two - bedroom units. The one - bedroom apartments are 650 square feet and the two -
bedroom apartments are 850 square feet. The rehabilitated buildings will have elevator service.
The Big Four Auto Parts or Holden building will consists of 10 apartments on two levels; the
Studzinski building will consist of 12 apartments on three levels and the new building will
consist of 8 units on a garden level and two upper levels.
1 �11,
HOLDEN BLOCK
� "T..��.�.�K�k ��.. � ^ .: r te i�._s��
NEW CONSTRUCTIO
i n. I ,p.
106
14
STWZINSKI BLOCK
HISTORIC SANTA FE AVE
x
1 �11,
HOLDEN BLOCK
� "T..��.�.�K�k ��.. � ^ .: r te i�._s��
NEW CONSTRUCTIO
i n. I ,p.
106
14
STWZINSKI BLOCK
HISTORIC SANTA FE AVE
r� , 42bbb'1'
LOTS 1 -5 AND SOUTH 16 f 2 IN OF LOT 6'.+
10 1=T STRIP AE7Q BLOCK 2� PUEBLO SUBDIVISION
ZONED: 5 -4 BUSINESS RESIDENTIAL USE BY RE1(IEW
- - - - - - .- . -. -•- ---.-------=-----------T---=-----
i
i i ► i
i ; i ;
i i i I
BOCK i 29 i
i i
i j 5
N I
I j I
5TLVZIN5KI BLCGK j
I i j
I I i
42.666'7' 42b6 42.666"7' j
SANTA FE AVE.
-- • _ SITE PL1�N Zxx
NOT TO 5GALE
NORTH
n
s TVDzi NSKi BL
SECOND-9-00S, PLAN
(THIRD 1LOOR SIMILAR)
1A. FLOOR -4,500 So. FT.
e�
W rv.N
S FUDZINSKI BLOCK
223 & 225 NORTH SANTA FE
PUEBL COLORADO
r Mo . m ipl ru MM".
UNIT NO.
UNIT N0. ' 201
-----
0
BA OOM
FEET
UNTI N0. 202
ONE _
0
0
6
842
U N0. 203
0
ONE
10
NO. 204
0
ONE
687
N0. 206
0
ONE
643
: 1 w ll.
UNIT 0.
BEDR00
BAIL R
UARE FEET
UNIT N0. 301
ONE
ONE
624
UNIT NO. 302
ONE
ONE
842
UNIT N0. 303
ONE
ONE
710
UNIT N0. 30
Tyf 0
ONE
667
UNIT N0. 3051
ONE
ONE
643
BUILDING TOTAL G.S.F. = 13,962
RESIDENTIAL 0.0.F.= 10,988
OOMMON AREA O.P.F. =2,964
TOTAL NUMBER OF UNITS:.........
+ti ; y 1 / •
1 ..1 /
/ 1 11 4 or
••. - •1,.1..1 •.
• +11 1 �•1�� ,1 �
••
of •
1 .1 •
O.O.F. = GROOO OQUARE FEET
BU I LD I NO TYPE (3) LEVELS, ELEVATOR, WOOD JOIST, LOAD BEAR [ NO BR I GK.
51LJZIMSt:I f:l OC: �:V`LGti*; FR.I:1
i
dv29Q •
S IMO N • • _ • I
*4
ap
� {6r
t." y
SANTA r'E CROSSING BLOCK
200 BLOCK NORTH SANTA FE
PU EBLO, COLORADO
LONER FLOOR
UNIT 0.
BE D E07OW
BATHR00
UARE FEET
UNIT 0. 1
ONE
706
UNIT NO. 2
ro
ONE
706
UNIT NO. 3
TWO
ONE
705
UNIT NO. 4
r o
ONE
705
BUILDING TOTAL 0.0.F.- 11,364
RED DENTIAL (4.0.F.=8,460 W ON AREA G.S.F. =2,904
TO TAL. NUMBER OF UNITS:..........
•:: ! : 11•.1 „1 •
1 ..1 •
' i ! • X1 ..1,. /
G.N.F. = dR0o� pQUARE FEET
NVMDER OF UNIT TYPC5
(2) BEDROOM UN I TS ...................... (4) TOTAL
(5) BEDROOM UN ITS ......................(4) TOTAL
B1JI1 -DING TYFB; (5) LEVEL ELEVATOR, WOOD JOIST, LOAD B1A,RIN O BRICK.
SkNTA FE BLOCK
FLOOR FLAN
ky .
n
J4�t:u
SANTA FE GROSS I N6 EL OG K
- X.,
e rr
.ra•�
MW
r
m
(3) B°DROCM
1,410 5Q. FT.
� I
� I
illrr
I 1r
N
u
AF T WI
CS) 8'7RD0 1 (3) 5EVR.00M
1,410 5O. FT. 1,410 50. FT.
I � ♦ I
SANTA IM GROSS NC7 5 1-00K
SANTA FE AVE.
m
_ qIY =.IM
1 /
1
SANTA I=l! GROSSI NO 5�00K
.::_: =►ice .•.�.:
�arthC4�4 ,�
SANTA I=l! GROSSI NO 5�00K
.::_: =►ice .•.�.:
HOLDEN BLOCK
201, 203 & 205 NORTH SANTA FE
PUEBLO, COLO
• or" 1"mi
UNIT N0.
BEDR00
BATBR00
UARE FEET
UNIT NO. 201
ONE 9''
0
661
UNIT NO. 202
ONE
0
688
UNIT NO. 203
ONE
763
UNIT NO. 204
ONE
0
7 3
UNIT NO. 206
ONE
0
.
676
UNIT NO. 206
0
0
686
UNIT NO. 207
ONE
0
818
UNIT NO. 208
Of
ONE
733
UNIT NO. 209
TWO
0
938
Ali : � • • •
.::
To F
tell
BUILDING TOTAL G.N.F.= 20,147
TENANT MSIH 0AF. =6,610
RE IDENTIAL G.Q.F. =11, 602
d0 ON AREA 6.0.F. =1,736 GR000 PQUARE FEET
TOT NUMBER OF UNITS: ......... J2
.NU_MDER OF UNIT TYM� •
(1) BEDROOM UNITS............ . (8) TOTAL
(2) BEDROOM
UNITS ...................... (4) TOTAL
BUILDING TYPE: (2) LE\/ 5 , ELE VATOR, WOOD .JOIST, LOAD BEARING BRIrK.
HOLDEN DLOCK
FLOOR PUN
MBLCCX
Uu rte-
FIRST FLOOR .
043350. F'T.
�acrw
rx-" OLOCK
HOLDEN FLOCK
SEEOOND FLOOR
8063 50. FT.
TYCO BEDROOM Q o o
APARTMENT
WITH LOFT
ibbb SG2- --0 -----------------
TWO BEDRO
APARTMENT
WITH LOFT
1666 50. FT. FARKIN5 LOT (20 SPACES)
TWO BEDROOM
A. °A.RTMENT
K TH LOFT
I6 66 5a. FT. °
-
I I 1
G' ✓I�11-ILhVI.'�'.L W l.K l^f7 /' 1 A 1 I I 1
5f'A�E SPACE
1 140 SQ. FT. 48"10 SO. FT. p o> <o o>
So. FT.
tkp A.RTT - I
T1'4 STORY
(�) P_EDROOM
°
L 01-QrK 5TUDZIN5KI BI_OGK
11 LJ
FIRST FLOOR PLAN FIRST FLOOR PLAN
8063 TOTAL 50. FT. <<
FIRST FLOOR SANTA FE AVE. 1 51TE51TE PLA A
BETWEEN THE HOLDEN BLOCK NOT TO 5e
AND STUDZINSKI BLOCK NORTH
EXHIBIT II
EDIT - "All
LEGAL DESCRIPTION
PARCEL 1:
LotxI anPduebeoSouth 1/2 O surve Lo Block 29 part
Zngine for the and � in that of the
probate platted by H. M. Fosdick present
2-ounty•of Pueblo, State of�Coloradosaid Pueblo Count , Civil
;aid City adjoining said lot; boundedand that Porti
as in March 1869,
.'OMMENCING at-the SE Corner of said Lot d portion of Second Street in
:hence South along the West line of S follows, to -wit:
:hence West parallel wit�i the South l ne Lot 1
,last line of an all l . 10 feet;
:hence North along the Eastllineoof� said alle 120 feet to the
:aid Lot 1; Y.10 feet to the SW corner of
.hence East along the Souit� ne of said li Lot 1
EGINNING, County of Pueblo, State of Colorado' .120 feet to the POINT OF
ARCEL 2:
he North 1/2 of Lot 2
and the S
f the present Cit outh 1/2 of Lot 3
a; .)c k, Civil EngineerPuforotherProbatesJudgeeofad Block 29 that part
3E�; County of Pueblo, State of Colorado, P ueblo County, March
�RCEL 3:
ie North 1/2 of Lot 3
ock.29, in that ' all of Lot 4 and the South 8:23
id platted b Part of the present Cit feet of Lot 5
ieblo county, Y H. M. Fosdick, Civil Engineer f Pueblo which was surveyed
March 1869, County of Pueblo, �State tof •.Colorado Judge of
RCEL 4:
e North 33.87 feet of Lot 5
and the south 16 feet 2
ock 29, in that inches of Lot 6
d platted b part of the present Cit
Y H. ner
M. Fosdick, Civil En ief Pueblo which was surveyed
id Pueblo County, in March 18ivil Ent ' for the Probate Judge of
Y of Pueblo, State of Colorado.
fill
11 ®IL
Exhibit III -B
Use Of Funds
Part 1 - Why HOME funds are needed
HOME funds will be used to facilitate the demolition as well as the rehabilitation and new
construction components of the project. The demolition is anticipated to commence by October,
2001 and completed by January, 2002. The rehabilitation of the Studzinski and Holden buildings
will start in January, 2002 and be completed by November of 2002. The new construction phase
will be completed by December, 2003.'
Part 2 - Commercial Space
project The ro'ect does include commercial space. HOME funds will not be used for any portion of the
commercial space. The furling for the commercial space will be derived from a local bank in
the form of a long term loan.
Exhibit IV B
B - Needs Assessment
The neighborhood in which the Santa Fe Crossing project is located in a downtown area
and therefore the majority of structures are of a commercial and civic nature. There are
no residential units within the immediate proximity f the Santa Fe Crossing project. The
City's goals are to encourage residential development on and near the HARP project in
order to create and sustain additional businesses in that area. If there is to be a viable
economic base there must be a pool of full time residents in that area to enhance that
economic base. The Santa Fe Crossing apartments will provide working individuals
whom are employed along the HARP area or downtown area will now have an
opportunity to live closer to work. The benefit to an eligible low- income family is that
they will have a quality, safe and sanitary residence at an affordable rate. Many of
Pueblo's low- inco�ie wage earners are forced to live in very poor apartments becAuse the
nice ones are too expensive or non - existent. The Santa Fe Crossing will provide -30
households a quality.gpartment that they can be proud of at an affordable price. A report
developed by the Colorado Division of Housing "Housing Colorado — The challenge for
a growing state" found that households in the Pueblo region have increased 28% in the
last 10 years while housing units have increased by 21 The information also cites that
the service industry will experience a growth rate of 20% of all new jobs between 1996
and 2006. The report claims that the average wage grew by 56% while the average rent
skyrocketed by 88% over a ten year period. This data certainly justifies the need for
additional affordable housing especially in areas where a job base will be largely service
orientated. Santa Fc Crossing is an ideal solution for the obvious trend that is
transpiring in our community. The project is responsive to the quest for affordable
housing within the City's Consolidated Plan,
Exhibit XI A
A.
B.
C.
Resident Involvement
The management and resident initiatives staff will be responsible to organize a resident
council or committee. As the residents are moved in to the Santa Fe Crossing apartments,
they will be provided information pertaining to the resident council/committee. A meeting
to further discuss a resident council will be held as soon as 80% occupancy is achieved. If
there is sufficient interest, an election of officers will take place depending on the interest
from the residents. Upon this event taking place, training of the officers will be scheduled.
It is anticipated that resident activities will be developed based on the desires of the residents.
It will be the tenants' responsibility to schedule meetings, maintain minutes, schedule
functions and help promote a peaceful environment. The residents will be encouraged to
conduct fund raisers as well. A member of our staff will be assigned to oversee the facility
and to provid�'support to the tenants and their initiatives.
Home Buyer Education - Not applicable
Sweat Equity - Not applicable
Job Training
Because there is no rental assistance for this project, it is anticipated that the majority of the
residents will already be gainfully employed. But we do expect the possibility that a few of
the residents may be voucher holders and may or may not be employed. Nevertheless, staff
will provide job training information to all of the residents upon request.
E. Day Care
Information pertaining to the availability of day care services will be provided to residents
With children. Because of the nature of the project, we do not anticipate much interest from
households with children. The appeal of the Santa Fe Crossing apartments will be to single
working households or working married couples with no children.
F. Youth Programs
Children will be referred to the Boys and Girls Club, the YMCA, or youth organizations.
G. Credit Counseling - Not Applicable
H. Transportation Services
There is public transportation nearby
I. Welfare to Work Initiatives - Not Applicable
J. Other
Staff will make every effort to be supportive of tenant issues or concerns and information
will be provided to keep the residents apprised of activities, job training ucation , ed
opportunities, etc.