HomeMy WebLinkAbout2005-109-10/04/2005-SETTING FORTH THE INTENTION OF THE CITY TO SUPPORT THE ALLOCATION OF PRIVATE ACTIVITY BOND FUNDING T RESOLUTION 2005-109
OF THE COUNCIL OF THE CITY OF FORT COLLINS
SETTING FORTH THE INTENTION OF THE CITY TO SUPPORT THE ALLOCATION OF
PRIVATE ACTIVITY BOND FUNDING TO THE COLORADO HOUSING AND FINANCE
AUTHORITY TO FINANCE MULTI-FAMILY SENIOR HOUSING
REVENUE BONDS FOR THE OAKBROOK MANOR I PROJECT
WHEREAS, the City of Fort Collins (the "City") is authorized and empowered under the
laws of the State of Colorado (the "State") to issue revenue bonds for the purpose of financing
multi-family rental housing projects for low-income seniors; and
WHEREAS, the Internal Revenue Code of 1986, as amended (the "Code"), restricts the
amount of tax-exempt bonds ("Private Activity Bonds") which may be issued in the State to
finance such rental housing projects and for certain other purposes (the "State Ceiling"); and
WHEREAS, pursuant to the Code, the Colorado legislature adopted the Colorado Private
Activity Bond Ceiling Allocation Act, Part 17 of Article 32 of Title 24, Colorado Revised
Statutes (the "Allocation Act"), providing for the allocation of the State Ceiling among the
Colorado Housing and Finance Authority (the "Authority") and other governmental units in the
State, and further providing for the assignment of such allocations from such other governmental
units to the Authority; and
WHEREAS, pursuant to an allocation under Section 24-32-1706 of the Allocation Act,
the City had an allocation of the 2005 State Ceiling for the issuance of Private Activity Bonds in
the aggregate principal amount of up to $5,018,440 prior to September 15, 2005 (the "2005
Allocation"); and
WHEREAS, the City was approached in late August 2005 by Emerald Housing Partners,
LLC (the "Applicant") who sought to apply for the City's allocation of the 2005 State Ceiling for
the issuance of Private Activity Bonds for the Oakbrook Manor I Project (the "Project"); and
WHEREAS, due to the limited time between Applicant's statement of interest and the
September 15, 2005 statutory relinquishment date, the City could not assign its allocation of the
2005 State Ceiling to the Applicant; and
WHEREAS, on September 14, 2005, the City requested that the Colorado Department of
Local Affairs ("DOLA"), which manages the State Ceiling, reserve an amount equal to the
City's 2005 Allocation until October 5, 2005; and
WHEREAS, DOLA indicated a willingness to reserve $5,018,440 and authorize the
Authority to issue Private Activity Bonds for the Applicant's Project if the City Council were to
determine that the Project qualifies as an affordable housing project under City policy and
ordinances; and
WHEREAS, the City Council has determined that, in order to increase the availability of
adequate affordable housing by low- and moderate-income persons and families within the city
and elsewhere in the State, it is necessary or desirable to provide for the utilization of all or a
portion of the $5,018,440 to advance that objective; and
WHEREAS, the City has determined that the Project, a multi-family housing project for
low-income seniors located at 3200 Stanford Road near the central part of Fort Collins, which
includes 107 housing units and various management, maintenance and community areas, or, if
the Project does not proceed, for one or more rental housing projects for low- and moderate-
income persons and families in the Fort Collins area, is an important improvement that would
augment affordable housing in the City of Fort Collins.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Fort Collins
as follows:
Section 1. That the City of Fort Collins would benefit by the increased availability of
adequate affordable housing and hereby determines that the Project qualifies for affordable
housing funds as an affordable housing project under the City's policy and ordinances.
Section 2. That the City Manager is hereby authorized to take such steps or actions
as may be necessary to effectuate the purposes of this Resolution.
Section 3. That if any section, paragraph, clause, or provision of this Resolution shall
for any reason be held to be invalid or unenforceable, the invalidity or unenforceability of such
section, paragraph, clause, or provision shall not affect any of the remaining provisions of this
Resolution.
Section 4. That this Resolution shall be in full force and effect upon its passage and
approval.
Passed and adopted at a regular meeting of the Council of the City of Fort Collins this 4th
day of October, A.D. 2005.
i
Mayor
ATTEST:
City Clerk