HomeMy WebLinkAboutResolutions - No. 2012-57RESOLUTION NO. 2012-57
A RESOLUTION OF THE LODI CITY COUNCIL
APPROVING THE FINAL SECTION 108 LOAN
GUARANTEE PROGRAM APPLICATION
WHEREAS, the Department of Housing and Urban Development (HUD) has
determined that the City of Lodi, California, is an entitlement community and is therefore
eligible to receive an annual allocation of Community Development Block Grant (CDBG)
funds; and
WHEREAS, as an entitlement community, the City of Lodi is eligible to apply to
the Section 108 Loan Guarantee Program, which is a provision of the CDBG program
that provides communities with a source of financing for economic development, housing
rehabilitation, public facilities, and large-scale physical development projects; and
WHEREAS, the construction, reconstruction, or installation of public facilities
(including street, sidewalk, and other site improvements) are considered eligible
activities for the Section 108 funding; and
WHEREAS, the City of Lodi is proposing to make public facility improvements to
the Lodi Stadium, also known as the "Grape Bowl," primarily to improve public access to
the stadium through a new public entrance; and
WHEREAS, the City of Lodi currently has commitments of $1,000,000 from
Waste Management and $129,000 from private donations to fund this project, and has
committed to raise the remaining $245,960 necessary to complete this project through a
continuing capital campaign; and
WHEREAS, the City is seeking to fund a portion of those improvements with
Section 108 Guaranteed Loan funds and that those portions funded with the Section 108
loan would be for work necessary to remove "material and architectural barriers that
restrict the mobility and accessibility of elderly or severely disabled persons" as
described at 24 CFR 570.201(c); and
WHEREAS, the City of Lodi Public Works Department has evaluated each
element of the proposed project and relying on the CDBG Desk Guide and the 1994
HUD Westmoreland County, PA policy memorandum has determined the percentage of
the costs that are eligible per the aforementioned CDBG regulations.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Lodi
does hereby approve and authorize the submittal of the Section 108 Loan Guarantee
Program application for the estimated $808,856 worth of CDBG-eligible ADA
improvements at the Lodi Grape Bowl facility under the following terms and conditions:
1. City of Lodi's preference to repay the principle and interest in fifteen (15)
annual payments of $67,000.
2. That the principle and interest installments for the Section 108 loan be drawn
directly from the City of Lodi's annual CDBG entitlement allocation each year,
beginning with the 2013/14 allocation.
3. That, in the event that CDBG funds are no longer available to the City of Lodi
for the repayment cf the Section 108 loan, the City of Lodi pledges its
General Fund as the alternative source of repayment, following the same
repayment schedule identified for CDBG funds.
Dated: May 2, 2012
I hereby certify that Resolution No. 2012-57 was passed and adopted by the City
Council of the City of Lodi in a regular meeting held May 2, 2012, by the following vote:
AYES: COUNCIL MEMBERS — Hansen, Johnson, Katzakian, and
Mayor Mounce
NOES: COUNCIL MEMBERS — None
ABSENT: COUNCIL MEMBERS — Nakanishi
ABSTAIN: COUNCIL MEMBERS— None /7
kc
L
City Clerk
2012-57