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Agenda 04/25/2023 Item #11B (Amendment to develop housing at the former Goldern Gate Golf Course)04/25/2023 EXECUTIVE SUMMARY Recommendation to approve First Amendment to Developer Agreement with Rural Neighborhoods, Inc., to develop Housing at the former Golden Gate Golf Course. (Companion to Items 11C & 11D) OBJECTIVE: To modify the Developer Agreement so that it coincides with the Ground Lease negotiated in present market conditions for the development of Essential Services Housing at the former Golden Gate Golf Course. CONSIDERATIONS: On December 13, 2019, the County publicly advertised ITN No. 20-7698. On June 9, 2020, the Board selected Rural Neighborhoods, Inc. (Rural Neighborhoods), and directed staff to begin negotiations. On November 10, 2020, the Board approved the negotiated Developer Agreement. The proposed amendment: 1) Removes 1.64 acres of greenway from the leased area; and 2) Provides corrections and clarifications to Exhibit B due to the proposed inclusion of Federal and/or State grant funding; and 3) Clarifies the construction timeline. Leased Premises in Exhibit “A” The area to be used by Rural Neighborhoods is proposed to be reduced by 1.64 acres (25 acres to 23.36 acres) to remove the greenway. This reduction will result in County maintenance of the greenway as part of the golf course. This increased cost to the County is nominal. Unit Breakdown in Exhibit “B” Rural Neighborhoods will build at least 350 units as originally set forth in the Developer Agreement. The ESP units will continue to be rented as originally approved with priority given to two tiers of Essential Service Personnel. Tier 1 will include individuals who work in the Healthcare, Education, and Emergency Services sectors; Tier 2 will include Government employees. The following table illustrates the rent levels and number of units, as proposed to be amended that will be targeted within this development. 11.B Packet Pg. 316 04/25/2023 Schedule of Milestones The amendment updates the schedule of milestones as follows: Milestone Deadline Provide a Construction Timeline Within 45 days of the effective date of the amendment. Secure Project Funding Allocation Up to 6 Months from the latter of the effective date of the Lease or the effective date of final approval of land use as evidenced by PUD approval. As originally provided, deadlines may be extended at the discretion of the County Ma nager or designee up to six months, without the necessity of obtaining approval of the Board of County Commissioners. FISCAL IMPACT: In a separate item, the Board is being requested to approve a long-term land lease on 23.36 acres of the former Golden Gate Golf Course for the Rural Neighborhood Housing Project for a nominal annual rent of $10. The County's investment into the subject property is roughly $5.5 million considering the cost of the land and zoning work required for the property. As provided when the Developer Agreement was initially approved on November 10, 2020, funding for the acquisition of the land, approximately $5.5 million, is planned to come from the Infrastructure Sales Surtax Fund. In addition, at the Board's prior direction, staff is continuing to evaluate the appropriate combination of impact fee programs to offset the impact fee assessments for the project. These include the Collier County Impact Fee Deferral Program and Revolving Payment Program, and Section 163.31801 (11), Flori da Statues, pertaining to impact fees for Affordable Housing. Staff will work with the County Attorney on the appropriate instrument and approval process for future Board consideration. Should there be excess program income /profit generated by the project, these funds will be allocated to a fund held at the Community Foundation dedicated to the development or preservation of affordable housing in Collier 11.B Packet Pg. 317 04/25/2023 County. This arrangement will be further defined in one or more MOUs between the Foundation, Collie r County, and Rural Neighborhoods to be presented to the Board of County Commissioners prior to loan closing. Grant funds provided by Collier County, FL are subject to Federal and state rules and regulations including, but not limited to, Program Income as applicable. GROWTH MANAGEMENT IMPACT: Providing land for the development of housing that is affordable assists the County in addressing some of the goals and objectives of the Housing Element in the Growth Management Plan. LEGAL CONSIDERATIONS: This item has been reviewed by the County Attorney, is approved as to form and legality and requires a majority vote for Board action. -JAK RECOMMENDATION: To approve First Amendment to Developer Agreement with Rural Neighborhoods, Inc., to develop Housing at the former Golden Gate Golf Course. Prepared By: Cormac Giblin, Interim Economic Development & Housing Director ATTACHMENT(S) 1. First Amendment to Developer Agreement with exhibts - CAO stamped (PDF) 11.B Packet Pg. 318 04/25/2023 COLLIER COUNTY Board of County Commissioners Item Number: 11.B Doc ID: 25114 Item Summary: *** This item to be heard no sooner than 2:30 PM. *** Recommendation to approve First Amendment to Developer Agreement with Rural Neighborhoods, Inc., to develop Housing at the former Golden Gate Golf Course. (Companion to Items 11C & 11D) (Cormac Giblin, Economic Development and Housing Division Director) Meeting Date: 04/25/2023 Prepared by: Title: – Facilities Management Name: Paula Brethauer 04/19/2023 9:16 AM Submitted by: Title: – Facilities Management Name: John McCormick 04/19/2023 9:16 AM Approved By: Review: Growth Management Development Review Cormac Giblin Additional Reviewer Completed 04/19/2023 11:51 AM Facilities Management Ed Finn Director - Facilities Skipped 04/19/2023 1:02 PM Facilities Management Jennifer Belpedio Manager - Real Property Completed 04/19/2023 1:43 PM County Manager's Office Ed Finn Additional Reviewer Skipped 04/19/2023 1:02 PM Community & Human Services Maggie Lopez Additional Reviewer Completed 04/19/2023 1:49 PM Office of Management and Budget Christopher Johnson Additional Reviewer Completed 04/19/2023 1:54 PM Office of Management and Budget Debra Windsor Level 3 OMB Gatekeeper Review Completed 04/19/2023 1:58 PM County Attorney's Office Jeffrey A. Klatzkow Level 3 County Attorney's Office Review Completed 04/19/2023 2:18 PM County Manager's Office Ed Finn Level 4 County Manager Review Completed 04/19/2023 5:45 PM Board of County Commissioners Geoffrey Willig Meeting Pending 04/25/2023 9:00 AM 11.B Packet Pg. 319 11.B.1 Packet Pg. 320 Attachment: First Amendment to Developer Agreement with exhibts - CAO stamped (25114 : Rural Neighborhoods - Developer Agreement 11.B.1 Packet Pg. 321 Attachment: First Amendment to Developer Agreement with exhibts - CAO stamped (25114 : Rural Neighborhoods - Developer Agreement 11.B.1 Packet Pg. 322 Attachment: First Amendment to Developer Agreement with exhibts - CAO stamped (25114 : Rural Neighborhoods - Developer Agreement 11.B.1 Packet Pg. 323 Attachment: First Amendment to Developer Agreement with exhibts - CAO stamped (25114 : Rural Neighborhoods - Developer Agreement 11.B.1 Packet Pg. 324 Attachment: First Amendment to Developer Agreement with exhibts - CAO stamped (25114 : Rural Neighborhoods - Developer Agreement 11.B.1 Packet Pg. 325 Attachment: First Amendment to Developer Agreement with exhibts - CAO stamped (25114 : Rural Neighborhoods - Developer Agreement 11.B.1 Packet Pg. 326 Attachment: First Amendment to Developer Agreement with exhibts - CAO stamped (25114 : Rural Neighborhoods - Developer Agreement 11.B.1 Packet Pg. 327 Attachment: First Amendment to Developer Agreement with exhibts - CAO stamped (25114 : Rural Neighborhoods - Developer Agreement 11.B.1 Packet Pg. 328 Attachment: First Amendment to Developer Agreement with exhibts - CAO stamped (25114 : Rural Neighborhoods - Developer Agreement 11.B.1 Packet Pg. 329 Attachment: First Amendment to Developer Agreement with exhibts - CAO stamped (25114 : Rural Neighborhoods - Developer Agreement 11.B.1 Packet Pg. 330 Attachment: First Amendment to Developer Agreement with exhibts - CAO stamped (25114 : Rural Neighborhoods - Developer Agreement 11.B.1 Packet Pg. 331 Attachment: First Amendment to Developer Agreement with exhibts - CAO stamped (25114 : Rural Neighborhoods - Developer Agreement 11.B.1 Packet Pg. 332 Attachment: First Amendment to Developer Agreement with exhibts - CAO stamped (25114 : Rural Neighborhoods - Developer Agreement 11.B.1 Packet Pg. 333 Attachment: First Amendment to Developer Agreement with exhibts - CAO stamped (25114 : Rural Neighborhoods - Developer Agreement 11.B.1 Packet Pg. 334 Attachment: First Amendment to Developer Agreement with exhibts - CAO stamped (25114 : Rural Neighborhoods - Developer Agreement 11.B.1 Packet Pg. 335 Attachment: First Amendment to Developer Agreement with exhibts - CAO stamped (25114 : Rural Neighborhoods - Developer Agreement 11.B.1 Packet Pg. 336 Attachment: First Amendment to Developer Agreement with exhibts - CAO stamped (25114 : Rural Neighborhoods - Developer Agreement 11.B.1 Packet Pg. 337 Attachment: First Amendment to Developer Agreement with exhibts - CAO stamped (25114 : Rural Neighborhoods - Developer Agreement 11.B.1 Packet Pg. 338 Attachment: First Amendment to Developer Agreement with exhibts - CAO stamped (25114 : Rural Neighborhoods - Developer Agreement