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Approve an Appropriation Transfer Request (ATR) for reimbursement of $5,311 out of one-time housing reserve funds and a refund of $3,006 from the Public Facility Fees Fund to Solano-Napa Habitat for Humanity for County public facilities fee collected for a permanent supportive veteran’s housing project located at 250 South Jackson Street, Dixon, California (4/5 vote required)
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Published Notice Required? Yes ____ No _X _
Public Hearing Required? Yes ____ No _X _
DEPARTMENTAL RECOMMENDATION:
The County Administrator’s Office recommends that the Board approve an Appropriation Transfer Request (ATR) for reimbursement $5,311 out of one-time housing reserve funds and a refund of $3,006 from the Public Facility Fees Fund to Solano-Napa Habitat for Humanity for County public facilities fee collected for a permanent supportive veteran’s housing project located at 250 South Jackson Street, Dixon, California.
SUMMARY/DISCUSSION:
On June 28, 2016 the Board of Supervisors approved a 30-year loan to Solano-Napa Habitat for Humanity and Community Action North Bay for $88,000 for the purchase of real property in Dixon, California for permanent supportive housing for six disabled veterans. On March 26, 2018, Solano-Napa Habitat for Humanity paid $39,240 in building permit fees to the City of Dixon of which $8,317 is attributed to county public facility fees.
The parcel located at 250 South Jackson Street included a 900 sq. ft. house that was torn down as part of the new construction project. Under the current public facility fee ordinance (Article X. Public Facility Fees of Chapter 11 Finances, Fees, Taxation and Revenue (Attachment A-Article X.-Public Facility Fees)) the county can charge the property owner the net new square footage of the residential home (i.e. demolition or destruction offset), however, Solano-Napa Habitat for Humanity is requesting a full waiver of the fees, resulting in a refund of $8,317 from the County. Of note, the City of Dixon charged Solano-Napa Habitat for Humanity the county’s public facility fee based on 2,490 sq. ft. (new living space) and did not reduce the square footage by the previous home size of 900 sq. ft. Including the demolition offset, the net charge for the county’s public facility fees should have been calculated at $5,311.
The estimated cost of construction for the housing project is $424,194. Solano-Napa Habitat for Humanity has currently raised net proceeds of $195,740 and desires the county to reimburse them for all charged county public facility fees to help ensure that there are sufficient funds to construct the multi-residential property (Attachment B- Letter from Habitat for Humanity). Also of note, this non-profit continues to actively fundraise for the remaining gap in financing and estimates a construction completion date of May 2019.
Staff is recommending that the Board authorize a refund of $3,006 which represents the overpayment of fees that shouldn’t have been collected and a reimbursement of $5,311 which represents the correct amount that should have be charged to paid out of the County’s housing reserve set aside.
FINANCIAL IMPACT:
$3,006 would be refunded from the Public Facility Fee Fund. The remainder of the refunded amount ($5,311) would come from the committed SB375 housing reserves. Given that this project creates six new permanent supportive housing beds for homeless or at risk homeless veterans within the County of Solano, the housing reserve is an appropriate funding source to be utilized.
ALTERNATIVES:
Board can consider loaning $5,311 to Solano-Napa Habitat for Humanity instead of reimbursement of the fee. Based on the county ordinance, a credit of $3,006 will be returned to Solano-Napa Habitat for Humanity. The Board can also provide additional input to staff regarding this request. The Board could also delay this action until more information is provided by staff.
OTHER AGENCY INVOLVEMENT:
Solano-Napa Habitat for Humanity
CAO RECOMMENDATION:
APPROVE DEPARTMENTAL RECOMMENDATION