RECOMMENDATION: Consider $300,000 funding request from Abundant Grace for development of a Workforce Development Center at 515 Kelly Avenue and authorize the City Manager to initiate negotiations on a funding or loan agreement for half ($150,000) of the requested amount contingent on Abundant Grace receiving all necessary permits.
LIFE MOVES Testimonial.
Brian Greenberg, who oversees 17 homeless shelters in Silicon Valley testifies to the proof that homeless outreach works.
FISCAL IMPACT: This action has no fiscal impact. The City Council will approve the final agreement and a fiscal impact assessment will be part of that action.
STRATEGIC ELEMENT: This action supports the Infrastructure and Environment and Healthy Communities and Public Safety Elements of the Strategic Plan.
BACKGROUND/DISCUSSION: Abundant Grace has entered into escrow for the vacant building (former Senior Coastsider Thrift Shop) at 515 Kelly Avenue. Abundant Grace is currently in the process of filing an application for a Coastal Development Permit for approval of a multi-faceted workforce development center. Abundant Grace has requested financial assistance from the City and San Mateo County (County) for purchase, renovation and Furniture, Fixtures and Equipment (FF&E). City staff believes that this facility could provide assistance to many residents who are in need of training for basic life and work skills.
The cost of property purchase is $925,000. Preliminary estimates place the cost of renovations and FF&E at approximately $200,000 for a total project initiation cost of $1,125,000. Abundant Grace indicates it has $425,000 in donations toward the project. City staff have been in preliminary discussions with Abundant Grace as well as the County. Abundant Grace is requesting $300,000 from the City and a $300,000 loan from the County.
It is staff’s understanding that the County Board of Supervisors will consider Abundant Grace’s $300,000 loan request at its October 22, 2019 regular meeting. The loan would be non-interest bearing, long-term, and potentially forgivable assuming certain criteria are met and the property is not sold. Staff recommends that any loan from the City incorporate similar terms as the County’s loan, and contingent on Abundant Grace receiving all necessary permits. This City loan would also be contingent upon the matching of funds by the County or another agency/NGO.
Tonight, we are requesting City Council direction on whether to proceed with drafting a funding/loan agreement and whether a forgivable loan under specific performance terms is acceptable. Staff will bring back options for funding sources, including potential use of affordable housing funds. Any agreement with Abundant Grace will be subject to City Council approval. ~ City of HMB Agenda
City Council 10/15/19 Agenda
Go to Page 69 for the text, Eric DeBode’s letter and drawings >>>
- Meeting Place
- Office and Computers and Internet
- Kitchen Facilities
- Showers ~ Feel Clean, Daily versus once weekly, Look for employment with confidence, Warm, sanitary water instead of cold ocean or creek water
- Laundry Facilities ~ Clean clothes, Feeling fresh and Self-confident for work
HMC Council Agenda 10:15:19
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