County of Monterey - File #: SARDA RES 19-004

• File #: SARDA RES 19-004
• Name: EG Completion Guarantees
• Type: Successor Resolution
• Status: Passed
• File created: 7/1/2019
• In control: Successor Agency to the Redevelopment Agency of the County of Monterey
• On agenda: 7/9/2019
• Final action: 7/9/2019
• Title: a. Adopt a resolution approving Completion Guarantees by Casa Acquisition Corp. for East Garrison Phase 2 and Phase 3 very low and low-income rental affordable housing units, guaranteeing a completion date for Phase 2 and Phase 3 affordable units by no later than March 31, 2025 and providing a surety performance bond in the amount of $17,500,000 for each of the Phase 2 and Phase 3 affordable housing units; and b. Authorize the Chair to execute the Completion Guarantees for Phase 2 and Phase 3; and c. Authorize the Director of the Resource Management Agency to accept the Performance Bonds upon receipt and subject to approval by County Counsel as to form.

Date	Action By	Action	Result
7/9/2019	Successor Agency to the Redevelopment Agency of the County of Monterey	adopted

Title
a. Adopt a resolution approving Completion Guarantees by Casa Acquisition Corp. for East Garrison Phase 2 and Phase 3 very low and low-income rental affordable housing units, guaranteeing a completion date for Phase 2 and Phase 3 affordable units by no later than March 31, 2025 and providing a surety performance bond in the amount of $17,500,000 for each of the Phase 2 and Phase 3 affordable housing units; and
b. Authorize the Chair to execute the Completion Guarantees for Phase 2 and Phase 3; and
c. Authorize the Director of the Resource Management Agency to accept the Performance Bonds upon receipt and subject to approval by County Counsel as to form.
Report
RECOMMENDATION:
It is recommended that the Board of Supervisors, acting as the Board of Directors for the Successor Agency to the Redevelopment Agency for the County of Monterey:
a. Adopt a resolution approving Completion Guarantees by Casa Acquisition Corp. for East Garrison Phase 2 and Phase 3 very low and low-income rental affordable housing units, guaranteeing a completion date for Phase 2 and Phase 3 affordable units by no later than March 31, 2025 and providing a surety performance bond in the amount of $17,500,000 for each of the Phase 2 and Phase 3 affordable housing units; and
b. Authorize the Chair to execute the Completion Guarantees for Phase 2 and Phase 3; and
c. Authorize the Director of the Resource Management Agency to accept the Performance Bonds upon receipt and subject to approval by County Counsel as to form.

SUMMARY:
The Disposition and Development Agreement for East Garrison (DDA) includes timing "triggers" or milestones by which the affordable housing apartments must be completed. Union Community Partners East Garrison, LLC (UCP) has hit the first milestone timing for the Phase 2 very low and low-income apartments and anticipates hitting the next two milestones for Phase 2 and Phase 3 very low and low-income apartments by December 2019. Since fall of 2017 there has been conc...