Minutes 05/24/2016 - Laserfiche WebLink

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May 24, 2016 “RESOLUTION TO APPROVE AN EXTENSION ADDENDUM TO THE STATE-WIDE PROGRAMMATIC PROJECT ADMINISTRATION AGREEMENT (PPAA) FOR REVENUE SHARING PROJECTS FOR FISCAL YEARS 2013-14, 2014-15, AND 2015-16. WHEREAS, the Virginia Department of Transportation and the City of Portsmouth have executed a state-wide Programmatic Project Administration Agreement (PPAA) for Revenue Sharing projects funded solely with revenue sharing funds, valid for three fiscal years, FY 2013-14, FY 2014-15, and FY 2015-16, with an option to extend for an additional three fiscal years, FY 2016-17, FY 2017-18, and FY 2018-19, that will expire on June 30, 2016 unless the extension option is exercised; and WHEREAS, the Virginia Department of Transportation recommends execution of an extension addendum to the agreement in order to extend the agreement for three additional fiscal years and requests the City of Portsmouth to provide assurance of its commitment to funding its local share for each (PPAA) project for Fiscal Years 2013-14, 2014-15, and 2015-16, and in meeting its financial obligation under the Program. NOW, THEREFORE, BE IT RESOLVED that the Council of the City of Portsmouth, Virginia hereby commits to fund its local share of preliminary engineering, right-of-way and construction (as applicable) of the projects under agreement with the Virginia Department of Transportation in accordance with the project financial documents. BE IT FURTHER RESOLVED, that the City Manager is hereby authorized to execute the extension addendum to the Programmatic Project Administration Agreement (PPAA).” Ayes: Cherry, Edmonds, Moody, Whitaker, Wright Nays: None 16 - 164 - Adoption of a resolution approving the issuance by the Portsmouth Redevelopment and Housing Authority of its revenue bonds for the acquisition and renovation of a portion of the Dale Homes Apartments housing facility located in the city of Portsmouth, Virginia. Vision Principle: Sustainable Neighborhoods. Background:  As a condition of the redevelopment of Lincoln Park, PRHA has committed to the phased renovation of Dale Homes.  As the first phase of rehabilitation, PRHA will renovate 146 rental units as part of the Dale Homes community.  Rather than rely on local funding, PRHA will use tax credit and tax-exempt bond financing to construct the new development. Discussion:  Federal law requires that a municipality approve the issuance of multifamily housing bonds.  City approval is an administrative requirement of federal law and does not subject the city to any liability. Financial Impact:  There will be a positive financial impact on the city. The bonds will not constitute city debt and the use of bond financing will allow PRHA to leverage private equity rather than rely on city or other governmental funding. Additional benefits to the city are identified on Exhibit 3 (Fiscal Impact Statement) to the attached PRHA Certificate of Public Hearing. Staff Recommends:  Adoption of proposed resolution. Vision Principle: Thriving Neighborhoods and a Sense of Community. Next Steps Following Council Action:  PRHA will obtain financing commitments from a bond purchaser.