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A resolution approving a $19,500,000 grant agreement from The Metropolitan Government of Nashville and Davidson County to the Community Foundation of Middle Tennessee for the purpose of creating the Housing Catalyst Fund using American Rescue Plan Act (ARPA) funds from Fund No. 30216.
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WHEREAS, the Affordable Housing Task Force recommended that Metro provide seed funding to initiate the creation of a fund that supports the timely acquisition of property to create and preserve affordable and workforce housing; and
WHEREAS, on December 21, 2021, the Metropolitan Council passed RS2021-1260 which approved $20,000,000 in American Rescue Plan funds to be used for the creation of a Housing Catalyst Fund; and
WHEREAS, there are federal requirements for use of ARPA Funds that require that these funds be obligated on or before December 31, 2024 and expended by December 31, 2026; and
WHEREAS, the Planning Department's Housing Division selected Forsyth Street Advisors and associated subcontractors, Nelson Community Partners and Pillars Development, through a publicly advertised, competitive procurement process that sought partners with the highest level of expertise; and
WHEREAS, Forsyth Street Advisors was hired to conduct a market analysis in order to determine the best structure for a sustainable housing fund and assist in the creation of a fund that maximizes Metro's investment by partnering with a tax exempt entity; and
WHEREAS, it is the intent of Metro to commit the remaining $19,500,000 to seed the Housing Catalyst Fund, a loan fund dedicated to the creation and preservation of affordable and workforce housing in Davidson County; and
WHEREAS, the Housing Catalyst Fund will enable mission developers to be more competitive in the race to preserve existing regulated and unregulated affordable housing and to accelerate the creation of high-impact affordable housing; and
WHEREAS, the Fund will make loans to affordable housing projects, which will be repaid ove...
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