BY COUNCILOR GILBERT:
WHEREAS, pursuant to Minnesota Statutes, Sections 462A.221 through 462A.225 (the act), the city of Duluth, Minnesota (the city) is a suballocator of low income housing tax credits (LIHTCs); and
WHEREAS, the city’s 2006 allocation of LIHTCs is estimated at $246,125; and
WHEREAS, in accordance with Section 42 of the Internal Revenue Code of 1986, as amended (the code) the city has adopted a qualified allocation plan (the plan) for 2006 setting forth criteria governing the award of the city’s LIHTCs; and
WHEREAS, the city received one application for a project requesting allocation of 2006 LIHTCs (the project); and
WHEREAS, the application for the project has been scored in accordance with the plan.
NOW, THEREFORE, BE IT RESOLVED, by the city council of the city of Duluth, that the city hereby approves prioritization of the project to receive 2006 low income housing tax credits as set forth below:
First priority - Harbor View Phase II
STATEMENT OF PURPOSE: The purpose of this resolution is to approve the city’s allocation priority for the 2006 LIHTCs. Only one application was received from The Communities Group (TCG) for the Harbor View Phase II project. This application is for the second phase of the HOPE VI rebuilding on the Harbor View site, and will result in 42 new units of housing. This prioritization will be transmitted to the Minnesota housing finance agency (MHFA) to be considered in the awarding of state 2006 LIHTCs under the joint administrative agreement between the city of Duluth and MHFA.