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File #: 23-0820    Name: Villages of Paragon Sponsor Operating Guaranty
In control: Behavioral Health
On agenda: 8/22/2023 Final action: 8/22/2023
Enactment date: Enactment #:
Title: Approve and authorize the Chairman to execute the Sponsor Operating Guaranty for Loan No. 18-NPLH-12658 by the County of Fresno, the Housing Authority of the City of Fresno, and The Villages at Paragon, LP, for the benefit of the Department of Housing and Community Development.
Attachments: 1. Agenda Item, 2. Sponsor Operating Guaranty
DATE: August 22, 2023

TO: Board of Supervisors

SUBMITTED BY: Susan L. Holt, Director, Department of Behavioral Health

SUBJECT: Villages of Paragon Sponsor Operating Guaranty

RECOMMENDED ACTION(S):
TITLE
Approve and authorize the Chairman to execute the Sponsor Operating Guaranty for Loan No. 18-NPLH-12658 by the County of Fresno, the Housing Authority of the City of Fresno, and The Villages at Paragon, LP, for the benefit of the Department of Housing and Community Development.
REPORT
Approval of the recommended action will fulfill the County's obligation as co-sponsor with the Housing Authority of the City of Fresno for the Department of Housing and Community Development (DHCD). In order to ensure that The Villages at Paragon, LP has sufficient resources and expertise to successfully operate the Villages at Paragon (a 28-unit affordable housing development) for the term of the agreement, the DHCD requires that the sponsors provide this Guaranty as a condition of the loan to the borrower. There is no Net County Cost associated with the recommended actions. This item pertains to a location in District No. 3.[AR1]

ALTERNATIVE ACTION(S):

Non-approval of the recommended action would jeopardize the conditional loan commitment from the No Place Like Home (NPLH) program for the permanent financing in the amount of $3,616,466 that was committed for the development of Villages at Paragon located at 4041 Plaza Drive West, Fresno, California 93702.

FISCAL IMPACT:

There is no increase in Net County Cost associated with the recommended action.

DISCUSSION:

On November 22, 2020, your Board approved Standard Agreement 18-NPLH-12658 with the DHCD for construction of the Villages of Paragon funded in Round One of the No Place Like Home competitive allocation program.

Villages at Paragon is a 28-unit affordable housing development located at 4041 Plaza Drive East, of which 13 units are certified for NPLH eligible tenants who have a serious mental illness and are...

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