Explanation
BACKGROUND: This legislation authorizes an amendment to Ordinance No. 3279-2022 to allow for reimbursement of project-related soft costs that have been incurred prior to the creation of the purchase order for the grant agreement authorized under the ordinance approved by the City.
The original ordinance, No. 2049-2022, passed on July 25, 2022, allowed for the creation of a Housing Development Agreement to utilize Affordable Housing bond funds from the City’s 2022 Capital Budget in the amount of $1,400,000. The Original Ordinance was amended by Ordinance No. 3279-2022, passed December 5, 2022, to allow for the establishment of $1,900,000 from the City’s 2022 Capital Budget, through a bond agreement, with a Housing Development Agreement no longer needed. This second amendment is to establish that costs prior to creation of the purchase order be eligible for reimbursement. It was discovered at closing, due to the type of tax-exempt bond funds used for the project, that our funds should only be used to reimburse soft costs for the project, or the project will be subject to State Prevailing Wage Construction Prices. This would increase the project budget, and create a large gap in funding needed that the project cannot sustain.
The Columbus Renaissance Housing development is intended to be structured as a partnership organized strategically to pair a local place-based neighborhood nonprofit entities, Community Development for All People (“CD4AP”) with Woda Cooper Companies, Inc. ("Woda"), a highly experienced nationwide developer who will serve as general contractor and property manager.
Columbus Renaissance Housing is located at 33 West Morrill Avenue in Merion Village. The project is a single-phase development to occur on multi parcel former industrial manufacturing site that is bounded by existing housing on two adjacent sides, a church, and the Salvation Army, and is just a short distance outside of the central downtown core.
The property will feature affordable workforce housing with all units at 60% AMI. The project will be geared toward a variety of residents: young professionals, single-parent households, small families and even seniors. The combined project will foster services to support families, aging-in-place, and workforce housing concepts. Amenities on-site will include management offices, a health and wellness center, community rooms, and more. The project is within steps of COTA bus stops, the Berliner Sports Park, several restaurants, houses of worship, Salvation Army, and Southwood Elementary School.
In addition to the myriad of supportive services and programming opportunities directly offered through Community Development for All People, the development will also engage with other local partners to expand future programming to be offered to all family households, single parents, seniors or anyone residing at the Columbus Renaissance Housing.
The building will include twelve (12) one-bedroom units, twenty-eight (28) two bedroom units and six (6) three-bedroom units. All apartments will have at least one (1) full bathroom; the three-bedroom units may have 1.5 bathrooms, pending final project design and budgeting. Over 10% of the project units will be fully accessible and at least three (3) additional units for hearing/vision impaired residents. All of the units will be “Visit-Able” with a zero-step entrance and widths/clearances acceptable to accommodating residents and visitors with wheelchairs, walkers and other mobility-assisting devices, as well as feature elements of Universal Design promoting “aging in place.”
FISCAL IMPACT: None.
Title
To amend Ordinance No. 3279-2022 to allow for reimbursement of project-related expenses that have been incurred prior to the purchase order authorized under Ordinance No. 3279-2022 was approved by the City. ($0.00)
Body
WHEREAS, Ordinance No. 3279-2022, passed December 5, 2022, authorized the Director of Development to enter into a grant agreement in an amount up to $1,900,000.00 with Erie Ohio Capital CDFI Fund LLC for The Columbus Renaissance Housing development; and
WHEREAS, it was discovered at closing, due to the type of tax-exempt bond funds used for the project, that our funds should only be used to reimburse soft costs for the project; and
WHEREAS, it has become necessary in the usual daily operation of the Department of the Development to authorize the Director to amend Ordinance No. 3279-2022 to establish that project-related soft costs incurred prior to creation of the purchase order be eligible for reimbursement; and NOW THEREFORE,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That Section 4 of Ordinance No. 3279-2022, passed December 5, 2022, be amended to read as follows: "SECTION 4. That the Director of the Department of Development is hereby authorized to enter into a grant agreement for up to $1,900,000.00 on behalf of the City with the Erie Ohio Capital CDFI Fund LLC for The Columbus Renaissance Housing development and to allow for reimbursement of certain project-related expenses that have been incurred before the purchase order was approved by the City.”
SECTION 2. That this ordinance shall take effect and be in force from and after the earliest period allowed by law.