Submitted By: William E. Sexton, City Attorney
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Presentation By: William E. Sexton
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Department: City Attorney
FORMAL TITLE:
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Approval of and authorization for City Council President to execute an assurance and support letter to Dennis W. Michaud for the West Oak Ocala 1 Business, LLC multifamily housing project component of the Pine Oaks Redevelopment Project
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OCALA’S RELEVANT STRATEGIC GOALS:
Economic Hub
PROOF OF PUBLICATION:
N/A
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BACKGROUND:
West Oak Ocala 1 Business, LLC is the owner of real property located within the Pine Oaks Redevelopment Project, and which they intend to develop as a “workforce housing” and/or “middle-income housing” multifamily (apartment) project.
City staff received a request from West Oak Ocala 1 Business, LLC for a letter making certain assurances and clarifications regarding the City’s:
1) potential interest in “opting-out” of certain tax exemption opportunities for affordable housing development which was made available through Section 196.197, Florida Statutes;
2) willingness to serve in the capacity of the monitoring agency for certain affordable housing development which has been financed through the U.S. Federal Housing Administration (FHA)’s 221(d)(4) Multifamily Housing Program.
Over the succeeding months, City staff worked with the Developer, its legal counsel, its outside consultants, and our partners with Marion County and the Florida Housing Coalition to understand the details of the assurances and support that the Developer was seeking and the appropriate commitments for the City to make.
The proposed assurance and support letter is the product of those conversations and negotiations.
FINDINGS AND CONCLUSIONS:
The letter presented to Council for its approval tonight indicates that the City of Ocala:
1) is not currently eligible to “opt-out” of the exemptions authorized by Section 196.197, Florida Statutes;
2) would be willing to serve as the monitoring agency as required by the FHA’s 221(d)(4) Multifamily Housing Program - provided that the developer agrees to absorb any associated costs incurred by the City for said monitoring.
The letter does not otherwise express a position of the City or City Council with respect to the proposed multifamily project which must still comply with all applicable requirements of the Code of Ordinances, City of Ocala, Florida including all permitting requirements and the Comprehensive Plan and Land Development Regulations.
Staff for the City of Ocala, Florida, finds, determines, and concludes that approval of the assurance and support letter to Dennis W. Michaud for the West Oak Ocala 1 Business, LLC:
• Will support the Developer’s efforts to provide affordable, “workforce housing” and/or “middle income housing” in support of Council’s related goal(s);
• Does not result in a significant impact on the finances of the City of Ocala, Florida;
• Is intended to and does protect and promote the health, safety, and welfare of the citizens of the City of Ocala, Florida; and
• Is in the best interest of the City of Ocala, Florida, and its citizens.
FISCAL IMPACT:
N/A
PROCUREMENT REVIEW:
N/A
LEGAL REVIEW:
The proposed assurance and support letter was drafted through coordination with and has been reviewed and approved as to form and legality by William E. Sexton, City Attorney.
ALTERNATIVE(S):
• Approve the proposed assurance and support letter and authorize the City Council President to execute the same;
• Table for Consideration at a later date; or
• Not approve the proposed assurance and support letter.