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ORDER OF THE BOARD OF ALDERS OF THE CITY OF NEW HAVEN, AUTHORIZING THE PURCHASE OF PROPERTY KNOWN AS 270 FOXON BOULEVARD FROM MINAL, INC. FOR THE SUM OF SIX MILLION NINE HUNDRED THOUSAND DOLLARS FOR THE PURPOSE OF THE DEVELOPMENT OF A NON-CONGREGATE SHELTER AND AUTHORIZING THE MAYOR OF THE CITY OF NEW HAVEN TO EXECUTE AND DELIVER ANY AND ALL NECESSARY DOCUMENTS TO COMPLETE SUCH PURCHASE IN ACCORDANCE WITH THE TERMS AND CONDITIONS OF THE CONTRACT ATTACHED HERETO AND AUTHORIZING THE MAYOR TO UTILIZE ONE MILLION NINE HUNDRED THOUSAND DOLLARS FROM THE GENERAL FUND ACCOUNT NO. 3079MB01AND AUTHORIZING THE REDESIGNATION OF FIVE MILLION DOLLARS IN FUNDING FROM THE AMERICAN RESCUE PLAN ACT OF 2021, LOCAL RECOVERY FUND TO FINANCE SAID PURCHASE AND RESOLUTIONS TO APPLY FOR AND ACCEPT FUNDING FROM THE OFFICE OF POLICY AND MANAGEMENT URBAN ACT GRANT IN THE AMOUNT OF FIVE MILLION DOLLARS TO REPLENISH THE NEW HAVEN LAND BANK, INC. AND FROM THE STATE OF CONNECTICUT DEPARTMENT OF HOUSING IN THE AMOUNT OF FOUR MILLION THREE HUNDRED THOUSAND DOLLARS IN ORDER TO ADDRESS HOMELESSNESS AND COVID-19 IN THE CITY OF NEW HAVEN INCLUDGING THE NECESSARY FUNDING FOR RENOVATION OF SAID PROPERTY AND SUBSEQUENT OPERATION OF SAID SHELTER FOR A PERIOD OF TWO YEARS AND AUTHORIZING THE MAYOR OF THE CITY OF NEW HAVEN TO EXECUTE AND DELIVER ANY AND ALL NECESSARY DOCUMENTS IN CONNECTION THEREWITH AND ORDER AUTHORIZING THE EXECUTION AND DELIVERY OF A MULTI-YEAR AGREEMENT WITH RESPECT TO THE OPERATION OF SAID SHELTER.
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WHEREAS, the City of New Haven (the “City”) has an urgent need to expand the availability of non-congregate shelter to address homelessness and COVD-19; and
WHEREAS, Minal, Inc. (the “Owner”) is the current owner of 270 Foxon Boulevard located on the northerly side of Foxon Boulevard (Rt. 80), containing 22,682 feet squared (0.52 acres) more or less (the “Property”); and
WHEREAS, the City and the Owner have agreed to a purchase price of six million nine hundred thousand dollars and zero cents ($6,900,000.00) (the “Purchase Price”) for the Property and have executed and delivered a purchase and sale agreement (the “Contract”) which Contract is subject (inter alia) to the approval of the Board of Alders of the City of New Haven (the “Board of Alders”); and
WHEREAS, the City intends to renovate the Property for use as a non-congregate shelter (the “Facility”); and
WHEREAS, the City will utilize $1.9 million from General Fund Account No. 3079MB01 to partly fund the purchase of the Property; and
WHEREAS, the Board of Alders previously designated $5 million from the American Rescue Plan Act of 2021, Local Recovery Fund, to fund the creation of the New Haven Land Bank, Inc.; and
WHEREAS, the City will redesignate said $5 million currently designated for the creation of the New Haven Land Bank, Inc. to partly fund the purchase of the Property; and
WHEREAS, the State of Connecticut (the “State”), acting through the Office of Policy and Management (“OPM”) has made funding available through the Urban Act Grant program (“UAG”); and
WHEREAS, the City will apply for and accept a UAG grant of $5 million as replacement monies to fund the creation of the New Haven Land Bank, Inc.; and
WHEREAS, the State acting through the Department of Housing (“DOH”) has made funding available through the US Department of Housing and Urban Development Small Cities Community Development Block Grant CARES Act (SC CDBG-CV); and
WHEREAS, the DOH recognizes the need for non-congregate shelters to address homelessness and COVID-19 and considers the renovation and operation of the Facility as a qualified use of SC CDBG-CV funds and accordingly, the City will apply for and accept a SC CDBG-CV grant of $4.3 million to address homelessness and COVID-19 in the City, including the funding of the renovation of the Property and the operation of the Facility for a period of two years; and
WHEREAS, the City does not have the staff capacity or expertise to operate the Facility and accordingly the City will hire an operator to provide 24/7 support and staff at the Facility for a period of two (2) years.
NOW, THEREFORE, BE IT ORDERED by the Board of Alders that the Mayor of the City of New Haven (the “Mayor”) is hereby authorized to complete the purchase of the Property from Minal, Inc. for the Purchase Price, and to execute and deliver all such documentation as may be necessary or desirable in connection therewith including, (without limitation) those ancillary documents provided for in the Contract which contain (inter alia) mutual release and indemnification provisions;
AND BE IT FURTHER ORDERED that the City will utilize $1.9 million from General Fund Account No.3079MB01 to partly fund the purchase of the Property; and
AND BE IT FURTHER ORDERED that the City shall redesignate the $5 million currently designated for the creation of the New Haven Land Bank, Inc. to partly fund the purchase of the Property; and
AND BE IT ORDERED that the Mayor is directed to apply for and accept a State Office of Management and Budget Urban Act Grant in the amount of $5 million to fund the creation of the New Haven Land Bank, Inc. and the Mayor is hereby authorized and directed to execute and file such application, to provide such additional information as may be required, to execute such other documents as may be required in the application process, to execute an Assistance Agreement with the State for financial assistance (if such an agreement is offered) in the amount of $5,000,000.00 or such lesser amount (if any) as may be offered by the State (which Assistance Agreement may include an indemnification of the State and/or appropriate agencies of the State), to execute any amendments, rescissions, and revisions thereto, and to act as the authorized representative of the City with respect to all other matters pertaining to said application for and acceptance of such financial assistance; and
AND BE IT FURTHER ORDERED that the City shall apply for and accept a SC CDBG-CV grant from the State Department of Housing in the amount of $4.3 million to fund the renovation of the Facility and the operation of the Facility for a period of two (2) years, and the Mayor is hereby authorized and directed to execute and file such application, to provide such additional information as may be required, to execute such other documents as may be required in the application process, to execute an Assistance Agreement with the State for financial assistance (if such an agreement is offered) in the amount of $4.3 million or such lesser amount (if any) as may be offered by the State (which Assistance Agreement may include an indemnification of the State and/or appropriate agencies of the State), to execute any amendments, rescissions, and revisions thereto, and to act as the authorized representative of the City with respect to all other matters pertaining to said application for and acceptance of such financial assistance; and
AND BE IT FURTHER ORDERED that the City shall issue a Request for Proposals Concerning the operation of the Facility and shall hire an operator to provide 24/7 support and staff therefor, for a period of not less than two (2) years.