REPORT TO THE CITY COUNCIL
FROM: GEORGEANNE A. WHITE, City Manager
Office of Mayor & City Manager
BY: ALMA G. TORRES, Deputy City Manager
Office of Mayor & City Manager
SUBJECT
Title
Approve a Second Amendment to the Interfund Loan Agreement between the City of Fresno Sewer Operating Fund and the City of Fresno General Fund for the purchase, acquisition, and operation of the Valley Inn motel to extend repayment for up to three months
Body
RECOMMENDATION
The Administration recommends City Council approve the second extension to the repayment of the Interfund Loan Agreement between the City of Fresno Sewer Operating Fund and the City of Fresno General Fund originally approved by Council on June 10, 2021, for the purchase and acquisition of The Valley Inn motel due to the delay in receipt of Homekey 2.0 funds from the State of California Housing and Community Development Department.
EXECUTIVE SUMMARY
On June 10, 2021, Council approved up to a $10 million Interfund loan for the purchase of the Valley Inn motel for emergency shelter beds between the City of Fresno Sewer Operating Fund and the City of Fresno General Fund with a repayment date of June 30, 2022. Due to delays in receipt of Homekey 2.0 funds from the State of California Housing and Community Development Department, Council approved the first amendment extending the repayment to December 31, 2022. As of December 7, 2022, the funds have not yet been disbursed by the state and as a precautionary measure, the Administration recommends the City Council approve a second extension to the repayment of the Interfund Loan to March 31, 2023.
BACKGROUND
On June 10, 2021, Council approved up to a $10 million Interfund Loan Agreement for the purchase of the Valley Inn motel for low-barrier emergency shelter beds and for the provision of case-management services for the homeless placed at the motels. The Administration identified a variety of funding sources that would be pursued for the repay...
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