HomeMy WebLinkAboutResolution Fort Worth Housing Finance Corporation (FWHFC) FWHFC-2014-04RESOLUTION NO. FWHFC-2014-04
FORT WORTH HOUSING FINANCE CORPORATION
A RESOLUTION AMENDING THE HOME CONTRACT WITH THE CITY OF
FORT WORTH FOR THE LEE AVENUE TOWNHOMES, APPROVE A
CONTRACT WITH THE CITY OF FORT WORTH FOR COMMUNITY
DEVELOPMENT BLOCK GRANT FUNDS FOR ACQUISITION AND
DEMOLITION, APPROVE USE OF $600,000.00 FOR THE REVISED PROJECT
AND APPROVE ALL RELATED ACTIONS REQUIRED FOR HOUSING
DEVELOPMENT
WHEREAS, the City Council of the City of Fort Worth ("City") has adopted
development and revitalization of the City's affordable housing stock as a strategic goal
and City citizens and the City Council have determined that quality, accessible,
affordable housing is needed for moderate, low and very low income City citizens;
WHEREAS, the City Council established the Fort Worth Housing Finance
Corporation (the "Corporation") in 1979 pursuant to Chapter 394, Texas Local
Government Code, to facilitate housing initiatives in the City, including but not limited to
issuing tax exempt bonds, developing and promoting housing, and assisting low to
moderate income City citizens in acquiring quality, accessible, affordable housing
through lending and construction activities;
WHEREAS, on June 7, 2011, the Board of the Corporation approved a contract
with the City for the use of up to $1,000,000.00 of City's HOME Investment Partnerships
Program ("HOME") funds (the "HOME Contract") to acquire certain tax -foreclosed
properties commonly known as 1402, 1404, and 1419 Lee Avenue and 406 W. Central
Avenue from the City and to construct up to 7 townhomes for sale to HOME -eligible
buyers (the "project");
WHEREAS, on June 14, 2011, the City Council authorized the HOME Contract
for the project (M&C C-24975);
WHEREAS, the federal regulations governing the use of HOME funds requires a
Section 106 review and submission of the proposed project to the Texas Historical
Commission (the "THC") for its review. The THC determined that the planned
demolition of the single family structures and the construction of the planned townhouses
would create an adverse impact to historic resources since the area is eligible for listing in
the National Register of Historic Places;
WHEREAS, mitigating the adverse impact in order to move forward with the
townhouse project would be cost prohibitive so the project has been revised to be a single
family infill housing project to be known as the Lee Avenue Single Family Infill Project
(the "revised project"). The revised project will include using $600,000.00 of the
Corporation's funds for the acquisition of 1402, 1404 and 1419 Lee Avenue, the
demolition and asbestos abatement of the dilapidated structures currently on these lots,
and the construction of 4 single family houses to be sold to households earning up to
120% of area median income;
WHEREAS, the revised project also includes the acquisition and demolition of
the dilapidated Hoover Furniture building located at 406 W. Central Avenue using
Community Development Block Grant ("CDBG") funds from the City and amending the
HOME, Contract to use HOME funds to construct on the lot 2 single family houses facing
Lee Avenue to sell to HOME -eligible buyers;
WHEREAS, the Board desires to approve the revised project, approve and accept
an amendment to the HOME Contract to build 2 single family houses for sale to HOME -
eligible buyers, approve and accept a CDBG contract with the City for acquisition and
demolition of the Hoover Building, and approve the use of $600,000.00 of the
Corporation's funds for acquisition, demolition and construction of 4 single family
houses on 1402, 1404 and 1419 Lee Avenue, authorize the hiring of a construction
contractor, and approve all actions necessary for single family housing development for
the revised project.
NOW THEREFORE, BE IT RESOLVED BY THE BOARD OF
DIRECTORS OF THE FORT WORTH HOUSING FINANCE CORPORATION:
1. THAT the Board approves the revised project to be known as the Lee Avenue
Single Family Infill Project.
2. THAT the Board approves the execution and delivery of an amendment to the
HOME Contract in order to provide funding for the construction of 2 single
family houses for sale to HOME -eligible buyers for the revised project and for the
Corporation to undertake all activities necessary to fulfill the requirements of the
HOME regulations for affordable housing development.
3. THAT the Board approves the execution and delivery of a contract by and
between the City and the Corporation for up to $300,000.00 of the City's CDBG
funds (the "CDBG Contract") for the acquisition of 406 W. Central Avenue,
along with the payment of up to $3,000.00 in closing costs and the payment of
any post judgment property taxes, and the demolition and asbestos abatement of
the commercial building located on the property, and for the Corporation to
undertake all activities necessary to fulfill the requirements of the CDBG
regulations for acquisition, demolition and asbestos abatement.
4. THAT the Board approves the purchase 1402, 1404, and 1419 Lee Avenue (the
"Properties") from the City for the statutory purchase price for tax foreclosed
properties, along with the payment of up to $3,000.00 in closing costs per
property and the payment of any post judgment property taxes on the Properties.
5. THAT the Board approves the expenditure of up to $600,000.00 for acquisition of
the Properties and construction of 4 single family houses for sale to buyers
making at or below 120% of area median income.
6. THAT the Board approves the execution and delivery of a construction contract
for the revised project.
7. THAT T. M. Higgins, General Manager of the Corporation, or Jesus Chapa,
Assistant General Manager of the Corporation, are authorized to execute and
deliver the amendment to the HOME Contract, the CDBG Contract, and the
construction contract (collectively, the "Contracts") for and on behalf of the
Corporation and any related documents necessary to implement the Contracts, and
each may extend, modify and amend the Contracts, provided any such extensions,
modifications and amendments are in compliance with City Ordinances,
requirements for use of HOME funds or CDBG funds and the goals and purposes
of the Corporation as amended from time to time.
8. THAT T.M. Higgins, General Manager of the Corporation, or Jesus Chapa,
Assistant General Manager of the Corporation, are authorized to accept the deeds,
and execute and deliver the closing statements for and on behalf of the
Corporation along with any related documents necessary to purchase 406 W.
Central Avenue and the Properties.
9. THAT this Resolution takes effect on the date of its adoption.
AND IT IS SO RESOLVED.
Adopted March 4, 2014
FORT W
;TT HO SINGFINANCE CORPORATION
By:
SANador Espino, Preside