File #: 13-0098    Version: 1
Type: decision Status: Passed
File created: 1/28/2013 In control: City Council
Agenda date: 2/12/2013 Final action: 2/12/2013
Title: Agenda Item: Mercy Housing Request for Housing Plan at State and Columbia Streets
Attachments: 1. 1. Proposal Letter, 2. 2. Proposal Description, 3. 3. Aerial Photo, 4. 4. MHNW Profile, 5. 5. Statement of Interest, 6. 6. City Correspondence, 7. 7. Site Information, 8. 8. Phase II Proposal
Title
Agenda Item:
Mercy Housing Request for Housing Plan at State and Columbia Streets
Body
Issue:
Whether the Council will consider sale of a City owned .33-acre site located at the southeast corner of State Avenue and Columbia Street to Mercy Housing Northwest, to build a 52-unit affordable senior housing proposal. Also, as part of the phased project assessment, the Council will be asked to consider other aspects of the proposal including environmental testing, acceptance of environmental liability, replacement of "old senior center" parking, and possible use of Community Development Block Grant (CDBG) funds for the project.

Committee Recommendation:
Not referred to a committee.

City Manager's Recommendation:
Consider adopting a phased due diligence approach that extends over the next several months that could lead to a Council decision on the use of this site before the end of 2013. Decide whether to invest City funds in a Phase II environmental analysis for the site.

Staff Contact:
Steven R. Hall, City Manager 360.753.8447
Steve Friddle, Community Services Manager, CP&D, 360.753.8591

Presenter(s):
Steven R. Hall, City Manager
Bill Rumph, President, Mercy Housing Northwest

Background and Analysis:
In 2009, following the annual Community Development Block Grant (CDBG) Request for Proposals (RFP), the City awarded Mercy Housing Northwest (MHNW) $250,000 to initiate an affordable downtown senior housing project. After exploring several opportunity sites, Mercy Housing's focus turned to city-owned parcels fronting Columbia Street and State Avenue (see attached Parcel Map). Due to funding availability and market conditions, MHNW postponed their effort and released the CDBG award back to the City. The City Council subsequently awarded the 2009 CDBG funds to other eligible CDBG programs.

MHNW contacted the City in late 2012 proposing terms to construct a five-story 52-unit senior housing project containing ground floor retail and parking at the State ...

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