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1990/09/11 City Council Resolution (18)RESOLUTION NO. 90 -207 A RESOLUTION AUTHORIZING A DEFERRED PAYMENT PLAN FOR A PORTION OF THE BUILDING PERMIT RELATED FEES FOR ENTERPRISE MANOR PROJECT WHEREAS, Pine Creek Properties, a California General Partnership, and the developer of the Enterprise Manor Project, a 230 unit senior citizens apartment project on Enterprise Drive, has requested the City to allow a deferred payment plan for a portion of the building permit and related fees for said project; and WHEREAS, the total building permit related fees for said project amount to $1,020,930.00, and Pine Creek Properties has asked for a deferred payment plan for $900,000.00 of said amount and the firm proposes to pay said deferred amount over a three (3) year period in $300,000.00 increments; and WHEREAS, the Council finds and determines as follows: 1. The development of the senior citizens apartment project is in keeping with the goals and objectives outlined in the Housing Element of the City's General Plan. 2. There is a need for senior citizen housing in Sonoma County. 3. There is a City - imposed covenant on the site of this project which restricts the occupancy of the units to senior citizens, and even though the developers have requested a temporary waiver of this covenant for a portion of the units in order to be better able to acquire financing for the project, the City has decided that the covenant as recorded should remain intact. 4. The City Council wants to cooperate and assist the developer in any reasonable manner to bring the senior citizen apartment project to fruition. 5. The City has, in the past, allowed deferment of fees for other large projects which the City wanted to see developed, including but not limited to the Red Lion Hotel Project and various church and commercial projects throughout the community. 6. There is no immediate need by the City for some of the revenue, the payment of which will be deferred, such as the sewer connection fee and the special water connection fee, but said funds will be required in subsequent years. 7. The deferment of fees will not impose any hardship on the City or result in any loss of revenue as long as there is a requirement that interest be charged on the deferred amount at the same interest rate that the City earns on the investment of its idle funds. R lution No. 90 -207 Pg. 2 NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Rohnert Park that in consideration of the foregoing that the City does authorize the deferment of $900,000.00 of the building permit related fees for the Enterprise Manor Project with the following conditions and understandings: 1. That $300,000.00 plus accrued interest shall be due and payable one (1) year after the date of occupancy. 2. That $600,000.00 plus accrued interest shall be due and payable two (2) years after the date of occupancy. 3. That the interest will be charged by the City on the deferred amount at the same rate of interest that the City earns on the investment of its idle funds, with said rate to be calculated by the City's Finance Director. 4. That if the property owner secures financing through bond funding, then the total unpaid balance plus accrued interest shall be due and payable immediately. 5. That a note and deed of trust will be executed securing the debt on the amount of deferred fees. BE IT FURTHER RESOLVED by the Council that best wishes are extended to Pine Creek Properties for success in the development of this long awaited senior citizens apartment project. DULY AND REGULARLY ADOPTED this 11th day of September, 1990. CITY OF ROHNERT PARK CITY P ! :h+ {4' Mayor ATTEST: _ a Deputy City C i erk AYE AYE AYE ABSENT AYE COCH A ErGK HOMNS ,Stlla'' ] 4 AYES NOES 0 0 ABSENT ABSTAIN