Explanation
BACKGROUND
This ordinance authorizes the Director of the Department of Development to enter into a grant agreement with the NCJC Housing & Development Foundation for the NCJC Downtown Campus project in an amount up to $3,875,000.00. NCJC Housing & Development Foundation will enter into a grant agreement with the city for the bond funds as a pass-through entity. NCJC Downtown Campus, LP is the ownership entity of the project with NCJC Housing & Development Foundation being the majority member and General Partner.
NCJC Downtown Campus (“Project”) is a proposed affordable housing tax credit development with a total of 120 units of housing over a pad with parking and commercial space located at 266 E. Main Street.
The Project will serve families and consist of 120 units including 58 one-bedroom units, 48 two-bedroom units and 14 three-bedroom units. It will obtain LEED Silver Green Certification and will also provide for resident parking and amenities such as playground and exercise equipment. The rents will be affordable to families at or below 30 to 80% of the Franklin County AMI using Income Averaging with an overall average AMI between 55 and 60%. 24 units will be set aside at the 30% AMI rent, which could potentially serve individuals that income qualify, but currently reside in local shelters. Social Service Coordination will be provided to the residents by NCJC Housing & Development Foundation through partnerships with local area providers.
The development is being proposed as a joint venture between Sunset Development and the NCJC Housing & Development Foundation (“NCJCs”), which is a local nonprofit. Sunset Development has been involved in the development of affordable housing throughout Ohio for 20 years as a consultant, developer and owner. The NCJCs are a non-profit formed in 2009 with a grant from the Board of the Jaycee Arms HUD 202 for the purpose of providing housing and services to families throughout Ohio. They currently own three Section 8 subsidized projects as well as numerous single-family rentals. In September of 2020 the Board of the Jaycee Arms donated through a refinance and lot split, two parcels of land adjacent to the Jaycee Arms, for the purpose of developing affordable housing. The larger of the two lots sits between the existing Jaycee Arms and East Main Street and is 1.74 acres. The smaller of the two parcels sits directly to the West of the Jaycee Arms and is 0.38 acres.
Emergency action is requested in order to maintain the construction schedule and to fulfill financing needs prior to closing deadlines with the developer’s other lenders. Without emergency action, new affordable housing would be further delayed from a low-income community in urgent need of it.
FISCAL IMPACT: Funding in the amount of $3,875,000.00 is available in 2023 Capital Improvement Budget, Affordable Housing Bond fund.
CONTRACT COMPLIANCE: the vendor number is 048036 and expires 02/02/2026.
Title
To authorize the City Auditor to transfer funds within the Affordable Housing Bond Fund; to authorize the Director of the Department of Development to enter into a grant agreement with NCJC Housing & Development Foundation for the NCJC Downtown Campus project in an amount up to $3,875,000.00; to authorize the expenditure of $3,875,000.00 from the Affordable Housing Bond Fund; and to declare an emergency. ($3,875,000.00)
Body
WHEREAS, the Director of Development seeks to enter into a grant agreement with NCJC Housing & Development Foundation for the NCJC Downtown Campus project in an amount up to $3,875,000.00; and
WHEREAS, the NCJC Downtown Campus Project is a proposed affordable housing tax credit development with a total of 120 units of housing over a pad with parking and commercial space; and
WHEREAS, rents will be affordable to families at or below 30 to 80% of the Franklin County AMI using Income Averaging with an overall average AMI between 55 and 60%; and
WHEREAS, Social Service Coordination will be provided to the residents by NCJC Housing & Development Foundation through partnerships with local area providers; and
WHEREAS, it is necessary to authorize a transfer and an expenditure within the Affordable Housing Bond Fund, Fund 7779, for this project; and
WHEREAS, an emergency exists in the usual daily operation of the Department of Development to pass this ordinance as emergency in order to maintain the project schedule, for the immediate preservation of the public health, peace, property, and safety; NOW, THEREFORE,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That the Director of the Department of Development be and is hereby authorized to enter into a grant agreement with the NCJC Housing & Development Foundation for the NCJC Downtown Campus project in an amount up to $3,875,000.00.
SECTION 2. That the transfer of $3,875,000.00 or so much thereof as may be needed, is hereby authorized within Fund 7779 (Affordable Housing Bond fund), Dept-Div 44-10 (Housing) per the account codes in the attachment to this ordinance.
SECTION 3. That for the purpose as stated in Section 1, the expenditure of $3,875,000.00, or so much thereof as may be necessary, is hereby authorized in fund 7779 (Affordable Housing Bond fund), Project P782050-100006, Dept. 44-10 (Housing), in Object Class 06 (Capital Outlay) per the accounting codes in the attachment to this ordinance.
SECTION 4. That the funds necessary to carry out the purpose of this ordinance are hereby deemed appropriated, and the City Auditor shall establish such accounting codes as necessary.
SECTION 5. That the City Auditor is authorized to make any accounting changes to revise the funding source for all contracts or contract modifications associated with this ordinance
SECTION 6. That for the reasons stated in the Preamble hereto, which is hereby made a part hereof, this Ordinance is hereby declared to be an emergency measure and shall take effect and be in force from and after passage and approval by the Mayor or ten days after passage if the Mayor neither approves nor vetoes the same.