City of Fayetteville
File #: 24-4313    Version: 1 Name:
Type: Consent Status: Agenda Ready
File created: In control: City Council Regular Meeting
On agenda: 12/9/2024 Final action:
Title: Adoption of a Policy Establishing the City's Participation in the Department of Housing and Urban Development's Section 108 Loan Guarantee Program
Attachments: 1. Section 108 Loan Fund Policy, 2. Section 108 Financing Application
Date Ver.Action ByActionResultAction DetailsMeeting DetailsVideo
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TO: Mayor and Members of City Council

THRU: Kelly Olivera, Assistant City Manager

FROM: Christopher Cauley, MPA, Economic and Community Development Director
Derrick McArthur, Economic Development Manager


DATE: December 9, 2024

RE:
Title
Adoption of a Policy Establishing the City's Participation in the Department of Housing and Urban Development's Section 108 Loan Guarantee Program
end

COUNCIL DISTRICT(S):
Council District(s)
All


b
Relationship To Strategic Plan:
GOAL II: The City of Fayetteville will have a Responsive City Government supporting a diverse and viable economy.
GOAL III: The City of Fayetteville will be a city invested in Today and Tomorrow.
GOAL IV: The City of Fayetteville will be a highly desirable place to live, work and recreate.

Executive Summary:
The City of Fayetteville is committed to encouraging redevelopment by establishing a strong set of development incentives to engage with neighborhoods, community partners, and the private sector to build a strong economy and community for all residents. The City has contracted with the Bank's Law Firm to ensure judicious and professional application of public private partnerships to achieve enhanced redevelopment goals in areas identified by City Council. Council is asked to approve the policy presented.


Background:
City Council has instructed staff to develop tools that promote larger-scale economic development, housing, public facilities, infrastructure, and other physical development projects. The City of Fayetteville may consider projects with greater funding needs for financing based on the City's participation in the Department of HUD's Section 108 Loan Guarantee Program. The Section 108 Program enables the City to leverage portions of its CDBG funding to obtain federally subsidized loans of up to five times the City's annual CDBG allocation. The City may then use those funds to assist with the financing of economic development projects which enhance the City's tax ...

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