AN ORDINANCE relating to the financing of affordable housing; authorizing the loan of funds in the amount of $29,000,000 from the Low-Income Housing Fund to the 2018 Multipurpose LTGO Bond Fund for bridge financing of affordable housing.
Please read. Agenda item number six three points. Affordable Housing Neighborhoods and Finance. Agenda Item six Council Bill 118 916 relating to the financing of affordable housing, authorizing the loan of funds in the amount of 20 to 29 million from the Low Income Housing Fund to the 2018 Multipurpose Alto Bond Fund for bridge financing and to of Affordable Housing Committee recommends the bill pass. Thank you, Councilmember Burgess. Thank you, colleagues. You remember that last fall we approved the sale of $29 million in limited tax general obligation bonds to be used for building affordable housing due to the uncertainty of projects and the actual spending needs. The city will likely sell those bonds in 2018. This legislation provides the Office of Housing with bridge financing from our cash pool so that they can proceed with projects before those bonds are actually sold. So what this ordinance does is it gives them appropriation authority to spend $29 million on affordable housing projects. We will then reimburse that loan, that bridge loan, when the bonds are sold in 2018. Thank you, Councilmember Burgess. Any further comments? Councilmember Herbold. Thank you. I want to thank both Council Chair Burgess for welcoming this legislation into his committee, as well as the Office of Housing and the City Budget Office for working together to accomplish what is an important policy objective for me is that we will at least be able to try to utilize some of this additional capacity this year. We had a quick timeline coming up for the 2016 sorry, the 2017 bond issuance. We do that once a year. In April, in order to have met that deadline, we would have had to identify projects in early January. And though we tried, we were unable to do so so quickly, which is understandable considering the complexity of low income housing development. And so this as a as a fallback measure to allow us to spend some or all of these funds this year is very appreciated. Thank you, Councilor Member Herbold. Any further comments in that? Please call the roll on the passage of the bill. Maurice O'Brien. Hi. So on, I beg. Sharna Burgess. Hi. Gonzalez Herbold Johnson. President Harrell. All right. Now in favor. Favored unopposed. Thank you. The bill passed and chair assignment please read agenda item number seven.