HomeMy WebLinkAboutRESOLUTION 2025-121 N.C.S. 08/04/2025Resolution No. 2025-121 N.C.S. 1
Resolution No. 2025-121 N.C.S.
of the City of Petaluma, California
RESOLUTION AUTHORIZING THE CITY MANAGER TO SUBMIT A REVISION TO
THE GRANT AGREEMENT WITH DANCO COMMUNITIES, SONOMA MARIN
AREA RAIL TRANSIT FOR FUNDING THROUGH THE AFFORDABLE HOUSING
AND SUSTAINABLE COMMUNITIES PROGRAM FOR THE MERIDIAN AT
CORONA STATION AFFORDABLE HOUSING PROJECT LOCATED AT 890 NORTH
MCDOWELL BOULEVARD
WHEREAS, the State of California, the Strategic Growth Council (SGC), and the Department of
Community Development (Department) issued a Notice of Funding Availability (NOFA) dated January 30,
2023, and amended on March 15, 2023, under the Affordable Housing and Sustainable Communities (AHSC)
Program established under Division 44, Part 1 of the Public Resources Code commencing with Section
75200; and
WHEREAS, Sonoma Marin Area Rail Transit (SMART) has completed its obligations under the grant agreement
and has been approved by the California Housing and Community Development Department (HCD) to be released from the
loan obligations; and
WHEREAS, the SGC is authorized to approve funding allocations for the AHSC Program, subject to
the terms and conditions of the NOFA, Program Guidelines, Application Package, and Standard Agreement;
and
WHEREAS, the Department is authorized to administer the approved funding allocations of the AHSC
Program; and
WHEREAS, the City of Petaluma’s General Plan promotes investment in alternative modes of
transportation, including the second SMART rail station at Corona Road as called out on the Land Use Map
(Figure 1-1); and
WHEREAS, the City of Petaluma’s General Plan Policy 2-P-89 calls for collaboration with regional and
other agencies to create a new light rail transit station near Corona Road with high intensity, transit oriented
development; and
WHEREAS, the City of Petaluma’s General Plan Policy 5-P-24 calls for a pedestrian network and
streetscape amenities near schools, transit, shopping, and mixed use corridors and Policy 5-P- 22 calls for a
well-connected pedestrian network linking new and existing developments to adjacent land uses; and
WHEREAS, General Plan Policy 5-P-42 calls for expansion of the bus transit system so that it is
convenient and provides frequent, regular service along major City corridors serving the SMART park and
ride lot; and
WHEREAS, the City of Petaluma’s General Plan supports efforts for transit oriented development along
McDowell Boulevard as called out in Policy 5-P-43; and
Docusign Envelope ID: 967E3780-B385-4EE4-9DFC-BD179CC5CF14
Resolution No. 2025-121 N.C.S. 2
WHEREAS, the City of Petaluma’s certified Housing Element (2015-2023), Goal 4 calls for promoting
the development of housing affordable to extremely low, very low, low- and moderate- income households; and
WHEREAS, the City of Petaluma’s certified Housing Element (2015-2023), Policy 6.3 calls for
supporting efforts to provide transitional and supportive housing to those moving from homelessness to
independent living; and
WHEREAS, the City of Petaluma’s certified Housing Element (2015-2023), Policy 6.6 promotes the
construction of rental units for larger families; and
WHEREAS, on December 7, 2020, in accordance with Government Code Section 6651(d), the Petaluma
City Council adopted Resolution No. 2020-179 N.C.S. establishing a policy to authorize an increase in the
allowable units in a by right supportive housing development as prescribed by state Assembly Bill 2162 from
50 units or fewer to up to 131 units for the Meridian at Corona Station Affordable Housing Project; and
WHEREAS, as a condition of the City Council’s discretionary action in approving Resolution No. 2020-
179 N.C.S. for the Meridian at Corona Station Affordable Housing Project the applicant was encouraged to seek
creative partnerships and funding sources to expand infrastructure, transit, and connectivity resources to the
project and surrounding neighborhood; and
WHEREAS, on September 9, 2021 the City approved the Meridian at Corona Station Affordable Housing
Project; and
WHEREAS, Danco Communities wishes to develop the Meridian at Corona Station project for 131 units
of affordable units, including at least 33 units of supportive housing and associated services and has requested
City and SMART partnership to develop regional alternative transportation infrastructure and affordable
housing in part through the AHSC grant program; and
WHEREAS, the City of Petaluma considered this item at a duly noticed public meeting on March 20,
2023, at which time members of the public were provided the opportunity to provide written or oral comment;
and
WHEREAS, in accordance with Government Code Section 65651, subdivision (b), paragraph (2),
qualifying supportive housing projects under AB 2162 are not projects subject to the requirements of the
California Environmental Quality Act (CEQA); and
WHEREAS, the item before the City Council is to authorize the City Manager to submit a joint
application for funding through the AHSC program and does not create a physical change in the environment
and is therefore not a project under CEQA; and
WHEREAS, the sustainable transportation and program activities identified by the City of Petaluma for
inclusion in the AHSC Grant application include infrastructure improvements on North McDowell Boulevard
to include additional bus stops, new and enhanced pedestrian improvements within the public right of way, a
new class II bike lane on Corona Road, and enhanced transit operations on North McDowell; and
WHEREAS, the City’s proposed activities consists of pedestrian, bicycle, and transit infrastructure and
transit service along N. McDowell Boulevard including 1,800 feet of safe and accessible walkway on North
McDowell Boulevard from the SMART rail crossing to Corona Road
Docusign Envelope ID: 967E3780-B385-4EE4-9DFC-BD179CC5CF14
Resolution No. 2025-121 N.C.S. 3
and on Corona Road from McDowell Blvd to the SMART rail tracks, 1,025 feet of safe and accessible walkway
on both sides of the road and 1,056 feet of Class II bike lane on Corona Road from North McDowell Blvd to
Sonoma Mountain Parkway, the purchase of ZEV buses, construction of five new bus stops on McDowell Blvd,
and operational funding to increase the frequency of Petaluma Transit on North McDowell; and
WHEREAS, all improvements will occur within or immediately adjacent to the existing right- of-way and
there is negligible or no expansion of use beyond what currently exists and there are no cumulative impacts,
unusual circumstances or other factors that would make the exemption inapplicable; Therefore, the project is
exempt under CEQA Guidelines Section 15301 (c), Existing Facilities, including the addition of bicycle facilities,
bicycle lanes, transit improvements and service frequency, pedestrian crossings, and similar alterations that do
not create additional automobile lanes.
WHEREAS, the project is also exempt pursuant to CEQA Guidelines Section 15304 (h), Minor
Alterations to land including the creation of bike lanes, sidewalks, and transit infrastructure within the existing
right-of-way; and
WHEREAS, the increase of transit service frequency is exempt under Public Resources Code section
21080(b)(10) and CEQA Guidelines Section 15275 Specified Mass Transit Projects.
NOW, THEREFORE, BE IT RESOLVED by the Petaluma City Council as follows:
1. Finds that the above recitals are true and correct and are incorporated into this resolution as findings
of the City Council.
2. Finds that the action to authorize partnership in the AHSC grant funding application in and of itself
does not create a physical change in the environment and therefore is not a project under CEQA.
3. Finds that the City’s proposed activities consists of pedestrian, bicycle, and transit infrastructure and
transit service along N. McDowell Boulevard including 1,800 feet of safe and accessible walkway on North
McDowell Boulevard from the SMART rail crossing to Corona Road and on Corona Road from McDowell Blvd
to the SMART rail tracks, 1,025 feet of safe and accessible walkway on both sides of the road and 1,056 feet of
Class II bike lane on Corona Road from North McDowell Blvd to Sonoma Mountain Parkway, the purchase of
ZEV buses, construction of five new bus stops on McDowell Blvd, and operational funding to increase the
frequency of Petaluma Transit on North McDowell. All improvements will occur within or immediately adjacent
to the existing right-of-way. There is negligible or no expansion of use beyond what currently exists and there are
no cumulative impacts, unusual circumstances or other factors that would make the exemption inapplicable.
Therefore, the project is exempt under CEQA Guidelines Section 15301 (c), Existing Facilities, and CEQA
Guidelines Section 15303 including the addition of bicycle facilities, bicycle lanes, transit improvements and
service frequency, pedestrian crossings, and similar alterations that do not create additional automobile lanes.
Additionally, the project is exempt pursuant to CEQA Guidelines Section 15304 (h), Minor Alterations to land
including the creation of bike lanes, sidewalks, and transit infrastructure within the existing right-of-way.
4. The increase of transit service frequency is exempt under Public Resources Code section 21080(b)(10)
and CEQA Guidelines Section 15275 Specified Mass Transit Projects.
5. The Council authorized and directed Staff to work with Danco Communities to apply for and
submit to the Department the AHSC Program Application as detailed in the NOFA dated January 30, 2023, in a
total amount of approximately $6,000,000 for a grant for Sustainable Transportation (STI) and Program (PGM)
activities (“AHSC Grant”) as defined the AHSC Program Guidelines. This compliments the joint application
with SMART in the amount of approximately $7,000,000 for additional Sustainable Transportation (STI) and
Transit Related Amenities (TRA) activities associated with the Corona Station SMART rail station and with
Docusign Envelope ID: 967E3780-B385-4EE4-9DFC-BD179CC5CF14
Resolution No. 2025-121 N.C.S. 4
Danco Communities in an amount up to $35,000,000 for the affordable housing project. The city received a
conditional award commitment in the amount of $30,228,840 on September 1, 2023.
6.The city received the revised award announcement from HCD dated June 16, 2025, and the
Applicant is hereby authorized and directed to enter into, execute, and deliver a State of California Standard
Agreement (Standard Agreement) in a total amount of approximately $28,928,840 and any and all other
document required or deemed necessary or appropriate to secure the AHSC Program funds from the Department,
and all amendments thereto (collectively, the “AHSC Documents”).Attached as Exhibit A is the project specific
provisions for the Standard Loan Agreement and Exhibit B is the project specific provisions for the Standard
Grant Agreement.
7.The City shall be subject to the terms and conditions as specified in the Standard Agreement. Funds
are to be used for allowable capital asset project expenditures to be identified in Exhibit A of the Standard
Agreement. The application in full is incorporated as part of the Standard Agreement. Any and all activities
funded, information provided, and timelines represented in the application are enforceable through the Standard
Agreement. Applicant hereby agrees to use the funds for eligible capital asset(s) in the manner presented in the
application as approved by the Department and in accordance with the NOFA and Program Guidelines and
Application Package.
8.If awarded, the City will enter into an agreement with Danco Communities assigning the
construction and development responsibilities, including procurement, labor standards, and other requirements
of the Standard Agreement as necessary to complete the project to Danco Communities, which will indemnify
the City, assuming full responsibility for grant performance.
9.The City Manager or her designate is hereby authorized to enter into and sign the grant agreement
and execute in the name of the Applicant the AHSC Program Application Package and the AHSC Program
Documents as required by the Department for participation in the AHSC Program.
Under the power and authority conferred upon this Council by the Charter of said City.
REFERENCE: I hereby certify the foregoing Resolution was introduced and adopted by the
Council of the City of Petaluma at a Regular meeting on the 04th day of August
2025, by the following vote:
Approved as to
form:
__________________________
City Attorney
AYES: McDonnell, Barnacle, Cader Thompson, DeCarli, Nau, Quint, Shribbs
NOES: None
ABSENT: None
ABSTAIN: None
ATTEST: ______________________________________________
City Clerk
____________________________________________
Mayor
Docusign Envelope ID: 967E3780-B385-4EE4-9DFC-BD179CC5CF14
Exhibit A to the Resolution - Standard Loan Agreement
Petaluma Corona Station LP
City of Petaluma
Danco Communities
23-AHSC-17962
Page 1 of 9
EXHIBIT E
Affordable Housing and Sustainable Communities (AHSC) Program
Round 7 - Loan
NOFA Date: 01/30/2023, Amended 03/15/2023
Approved Date: 05/03/2023
Prep. Date: 01/31/2024
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3
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8
5
PROJECT-SPECIFIC PROVISIONS AND SPECIAL TERMS AND CONDITIONS
1. Project-Specific Provisions
The following are project-specific terms and conditions and shall inform the references
made to project-specific information not contained in prior exhibits.
Provision Ex. A-E.1 (As Referenced in Exhibit A, paragraph 2)
The date of the Project Report is November 28, 2023.
Provision Ex. A-E.2 (As Referenced in Exhibit A, paragraph 2)
The date of the Award Letter is September 1, 2023, amended June 16, 2025.
Docusign Envelope ID: 967E3780-B385-4EE4-9DFC-BD179CC5CF14
Exhibit A to the Resolution - Standard Loan Agreement
Petaluma Corona Station LP
City of Petaluma
Danco Communities
23-AHSC-17962
Page 2 of 9
EXHIBIT E
Affordable Housing and Sustainable Communities (AHSC) Program
Round 7 - Loan
NOFA Date: 01/30/2023, Amended 03/15/2023
Approved Date: 05/03/2023
Prep. Date: 01/31/2024
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3
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8
5
Provision Ex. A-E.3 (As Referenced in Exhibit A, paragraph 4)
890 North McDowell Boulevard
Sonoma, CA 94954
County of Sonoma
APN: 137-061-019-000
Meridian at Petaluma North
Enter the number of units by bedroom size and income level.
# of
Bedrooms
# of Project
Units
AHSC Assisted
Units*
Income Limit
(Percent of
AMI)
TOTAL
RESTRICTED
UNITS**
0 29 29 30%29
0 4 4 60%4
1 4 4 30%4
1 5 5 40%5
1 4 4 50%4
1 16 3 60%16
2 5 5 50%5
2 30 2 60%30
3 6 6 50%6
3 27 1 60%27
3 1 0 Manager 0
Total
Project
Units
131 64 130
*Program Assisted Units must equal at least twenty percent of the total residential units.
**Total Restricted units include all units restricted by the Program and TCAC. The
Program Loan amount was calculated based on the number of Total Restricted Units.
Docusign Envelope ID: 967E3780-B385-4EE4-9DFC-BD179CC5CF14
Exhibit A to the Resolution - Standard Loan Agreement
Petaluma Corona Station LP
City of Petaluma
Danco Communities
23-AHSC-17962
Page 3 of 9
EXHIBIT E
Affordable Housing and Sustainable Communities (AHSC) Program
Round 7 - Loan
NOFA Date: 01/30/2023, Amended 03/15/2023
Approved Date: 05/03/2023
Prep. Date: 01/31/2024
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3
0
8
5
Provision Ex. A-E.4 (As Referenced in Exhibit A, paragraph 6)
DEVELOPMENT APPROVAL
DATE
Executed binding agreement between the Sponsor and developer of
the proposed Development detailing the terms and conditions of the
Project development.
12/01/2022
Site Control of Development site(s) by proposed housing developer.12/01/2022
Completion of all necessary environmental clearances, including those
required under CEQA and NEPA.09/15/2021
Obtaining all necessary and discretionary public land use approvals.09/15/2021
Obtaining all enforceable funding commitments for at least the first
phase of the Development supported by the Infrastructure Project.10/08/2023
Obtaining all enforceable funding commitments for all construction
period financing.10/08/2023
Obtaining enforceable commitments for all construction/permanent
financing described in the Sources and Uses including substantially
final construction and permanent loan documents, and tax credit
syndication documents for remaining phases of Project.
10/08/2023
Submission of final construction drawings and specifications to the
appropriate local building department or permitting authority.09/01/2023
Occupancy by eligible households 03/30/2028
Program funds fully disbursed.09/30/2028
Docusign Envelope ID: 967E3780-B385-4EE4-9DFC-BD179CC5CF14
Exhibit A to the Resolution - Standard Loan Agreement
Petaluma Corona Station LP
City of Petaluma
Danco Communities
23-AHSC-17962
Page 4 of 9
EXHIBIT E
Affordable Housing and Sustainable Communities (AHSC) Program
Round 7 - Loan
NOFA Date: 01/30/2023, Amended 03/15/2023
Approved Date: 05/03/2023
Prep. Date: 01/31/2024
3
3
0
8
5
Provision Ex. A-E.5 (As Referenced in Exhibit A, paragraph 7)
AHD PERFORMANCE MILESTONES DATE
Commencement of Development construction.09/01/2025
Construction of the Development complete, as evidenced by receipt of
a Certificate of Occupancy 03/30/2028
Provision Ex. A-E.6 (As Referenced in Exhibit A, paragraph 9)
Sponsor:Danco Communities
Authorized Representative Name:Daniel J. Johnson
Authorized Representative Title:President
Address:5251 Ericson Way
Arcata, CA 95521
Phone No.:(707) 822-9000
Email Address:djohnson@danco-group.com
Sponsor:City of Petaluma
Authorized Representative Name:Peggy Flynn
Authorized Representative Title:City Manager
Docusign Envelope ID: 967E3780-B385-4EE4-9DFC-BD179CC5CF14
Exhibit A to the Resolution - Standard Loan Agreement
Petaluma Corona Station LP
City of Petaluma
Danco Communities
23-AHSC-17962
Page 5 of 9
EXHIBIT E
Affordable Housing and Sustainable Communities (AHSC) Program
Round 7 - Loan
NOFA Date: 01/30/2023, Amended 03/15/2023
Approved Date: 05/03/2023
Prep. Date: 01/31/2024
3
3
0
8
5
Address:11 English St.
Petaluma, CA 94952
Phone No.:(707) 778-4345
Email Address:Pflynn@cityofpetaluma.org
Provision Ex. B-E.1 (As Referenced in Exhibit B, paragraph 3)
Payee Name Activity Award Amount
Petaluma Corona Station LP AHD $20,000,000
Docusign Envelope ID: 967E3780-B385-4EE4-9DFC-BD179CC5CF14
Exhibit A to the Resolution - Standard Loan Agreement
Petaluma Corona Station LP
City of Petaluma
Danco Communities
23-AHSC-17962
Page 6 of 9
EXHIBIT E
Affordable Housing and Sustainable Communities (AHSC) Program
Round 7 - Loan
NOFA Date: 01/30/2023, Amended 03/15/2023
Approved Date: 05/03/2023
Prep. Date: 01/31/2024
3
3
0
8
5
Provision Ex. D-E.1 (As Referenced in Exhibit D, paragraph 27)
MERIDIAN AT PETALUMA NORTH
THIS PROJECT HAS BEEN MADE POSSIBLE
BY FINANCING FROM
CALIFORNIA CLIMATE INVESTMENTS
(funded through the GREENHOUSE GAS REDUCTION FUND)
AFFORDABLE HOUSING AND SUSTAINABLE COMMUNITIES PROGRAM
THROUGH THE
STRATEGIC GROWTH COUNCIL AND
THE CALIFORNIA DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT
2. Special Terms and Conditions
2a. Exhibit A, Paragraph 2A –Definition of Sponsor: This provision is amended to add
the following:
Petaluma Corona Station LP (“LP”) is an affiliate of Danco Communities (“Corp”). Corp
is the Manager of Petaluma Corona Station LLC (“LLC”), the Administrative General
Partner of LP. LP, Corp, City of Petaluma was awarded the Program Loan funds
pursuant to the Award Letter. The Department acknowledges that the LP will be
considered the ultimate borrower of the Program Loan funds and as such will execute
the Program Loan Documents. For the purposes of this Agreement, LP, Corp, City, and
will be collectively referred to herein as “Sponsor.” As such, the LP, Corp, City, and shall
be jointly and severally liable for all the obligations of a Sponsor as set forth herein.
Performance satisfactory to the Department by the LP, Corp, City, and of any duties and
obligations under this Agreement, or under any other agreements as required by the
Department, will be deemed as performance by the Sponsor.
2b. Not less than 60 days prior to construction loan closing, the Sponsor shall provide
updated financial documents including, but not limited to the development budget,
development sources and uses, schedule of rents and unit mix, operating budget and
15-year cash-flow analysis, which are acceptable to the Department and demonstrate
compliance with all applicable Program regulations or guidelines and the Uniform
Multifamily Regulations (UMR). All proposed changes to the project, including but not
Docusign Envelope ID: 967E3780-B385-4EE4-9DFC-BD179CC5CF14
Exhibit A to the Resolution - Standard Loan Agreement
Petaluma Corona Station LP
City of Petaluma
Danco Communities
23-AHSC-17962
Page 7 of 9
EXHIBIT E
Affordable Housing and Sustainable Communities (AHSC) Program
Round 7 - Loan
NOFA Date: 01/30/2023, Amended 03/15/2023
Approved Date: 05/03/2023
Prep. Date: 01/31/2024
3
3
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8
5
limited to project financing, rents and unit mix, scope of work to be performed or
Borrower’s organizational structure must be submitted to and approved by the
Department in writing.
2c. Danco Communities, who garnered the experience points at the application stage
must be the Sponsor who controls the borrowing entity at construction, through
permanent close of escrow, and into management and operation of the project.
Organizational documents demonstrating that the experienced Sponsor has the
authority to exercise control of the borrowing entity in compliance with Section 8301(s)
of the Uniform Multifamily Regulations (UMR) must be submitted to the Department for
review and approved by the Department prior to execution of the Standard Agreement.
2d. The Department retains the right and discretion to disencumber awards where
awardees have failed to make sufficient progress in meeting applicable milestones and
deadlines subject to Administrative Notice 2022-02 dated March 30, 2022, and any
future amendments. Such determination will be on a case-by-case basis and may use
the enumerated criteria set forth in the Notice when making such decisions. The
disencumbrance policy is applicable to HCD state funded multifamily housing programs.
For awards made prior to July 1, 2022, the 24-month period shall begin on July 1, 2022.
For awards made on or after July 1, 2022, the 24-month period will begin as of the date
of the initial program funding awarded to the project, unless amended in a subsequent
Notice.
2e. The Department will assess Negative Points, as applicable, to
Sponsor(s)/Applicant(s)/Recipient(s) subject to Administrative Notice 2022-01, dated
March 31, 2022, and any future amendments. The Negative Points policy is applicable
to all HCD state and federal funding programs – loans and grants, administered by
HCD’s Divisions of State and Federal Financial Assistance. Negative points will be
calculated based on the criteria outlined in the Notice and will be applicable to all
Notices of Funding Availability issued on or after the original date of this notice for the
previous 5-year period, except when noted or amended. Such determination will be on a
case-by-case basis and may use the enumerated criteria set forth in the Notice when
making such decisions. In addition, the Department reserves the right, in its sole
discretion, to revoke an entity’s eligible Sponsor/Applicant/Recipient status at any time
based on documented serious issues with the operation, maintenance or
implementation of project or program funds.
2f. Administrative Notice 23-01 (“Notice”) sets forth and establishes the Department’s
Docusign Envelope ID: 967E3780-B385-4EE4-9DFC-BD179CC5CF14
Exhibit A to the Resolution - Standard Loan Agreement
Petaluma Corona Station LP
City of Petaluma
Danco Communities
23-AHSC-17962
Page 8 of 9
EXHIBIT E
Affordable Housing and Sustainable Communities (AHSC) Program
Round 7 - Loan
NOFA Date: 01/30/2023, Amended 03/15/2023
Approved Date: 05/03/2023
Prep. Date: 01/31/2024
3
3
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8
5
Pooled Transition Reserve Fund Policy (“Transition Reserve Policy” or “Policy”)
applicable to all HCD state and federal multifamily loan programs, except in cases
where this Policy conflicts with federal requirements, implementing statutory changes
made under SB 948 (Chapter 667, Statutes 2002) applicable to Health and Safety Code
Section 60468. This Notice takes effect as of January 1, 2023, and amends any active
program guidelines and Notices of Funding Availability. This Notice applies to all HCD-
awarded rental housing projects which have federally originated rental assistance or
operating subsidies, or rental subsidies operated by the City and County of San
Francisco and the City of Los Angeles which will close permanent financing on or after
January 1, 2023. Prior to permanent loan conversion, the Sponsor shall provide
updated financial documents including, but not limited to the development budget,
development sources and uses, Project Based Rental Vouchers or Subsidies,
Operating Subsidy, operating budget and 15-year cash-flow analysis, which are
acceptable to the Department and demonstrate compliance with the Policy.
2g. The total HCD Loan and grant funding, including AHSC (AHD/HRI), shall not exceed
50 percent of the development cost for 4%, tax credit projects.
2h. No loans requiring a balloon payment prior to full amortization are allowed unless
permitted by regulation, in which case the Department’s affordability provisions must be
in a senior lien position to the lender’s deed of trust. The terms of senior loans must
comply with all the underwriting standards of UMR 8310.
2i. Prior to permanent loan close, the Applicant shall provide documentation,
satisfactory to the Department that verifies the Project is constructed to accommodate
broadband service with at least a speed of 100 megabits per second for downloading
and 20 megabits per second for uploading (100/20).
2k. Sponsor(s) and Borrower are acknowledging the Project as submitted and approved
is the Project that is to be funded and built. Any bifurcation would make that award null
and void, as the awarded Project is no longer feasible as originally submitted and
approved. Any Department awarded funds are unable to be assumed or assigned.
2l. AHSC Guideline Section 104(a)(4) states Department funds shall not be used to
supplant other available financing committed by local jurisdictions or public entity at the
time of application. Program has verified the following committed funds that will
Docusign Envelope ID: 967E3780-B385-4EE4-9DFC-BD179CC5CF14
Exhibit A to the Resolution - Standard Loan Agreement
Petaluma Corona Station LP
City of Petaluma
Danco Communities
23-AHSC-17962
Page 9 of 9
EXHIBIT E
Affordable Housing and Sustainable Communities (AHSC) Program
Round 7 - Loan
NOFA Date: 01/30/2023, Amended 03/15/2023
Approved Date: 05/03/2023
Prep. Date: 01/31/2024
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contribute to the development of Project: City of Petaluma, approved by the Petaluma
City Council on November 20, 2020. Applicant acknowledges any future application
submissions seeking additional Department funding for awarded Project must
demonstrate the funding referenced above.
Docusign Envelope ID: 967E3780-B385-4EE4-9DFC-BD179CC5CF14
Exhibit B to the Resolution - Standard Grant Agreement
City of Petaluma
Danco Communities
Sonoma-Marin Area Rail Transit District
23-AHSC-17963
Page 1 of 18
EXHIBIT E
Affordable Housing and Sustainable Communities (AHSC) Program
Round 7 - Grant
NOFA Date: 01/30/2023, Amended 03/15/2023
Approved Date: 05/03/2023
Prep. Date: 01/31/2024
3
3
0
8
6
PROJECT-SPECIFIC PROVISIONS AND SPECIAL TERMS AND CONDITIONS
1. Project-Specific Provisions
The following are project-specific terms and conditions (and shall inform the references
made to project-specific information not contained in prior exhibits.
Provision Ex. A-E.1 (As Referenced in Exhibit A, section 1)
The Project Report is dated November 28, 2023.
Provision Ex. A-E.2 (As Referenced in Exhibit A, section 1)
The Award Letter is dated September 1, 2023, amended June 16, 2025.
Provision Ex. A-E.3 (As Referenced in Exhibit A, section 3)
The Scope of Work (“Work”) for this Agreement shall consist of one or more of the
following categories, by or on behalf of the Recipient, within the Program Project Area:
Included
(“x”)
Grant Award Categories
Housing Related Infrastructure (HRI)
X Program Costs (PGM)
X Sustainable Transportation Infrastructure (STI)
X Transportation-Related Amenities (TRA)
Docusign Envelope ID: 967E3780-B385-4EE4-9DFC-BD179CC5CF14
Exhibit B to the Resolution - Standard Grant Agreement
City of Petaluma
Danco Communities
Sonoma-Marin Area Rail Transit District
23-AHSC-17963
Page 2 of 18
EXHIBIT E
Affordable Housing and Sustainable Communities (AHSC) Program
Round 7 - Grant
NOFA Date: 01/30/2023, Amended 03/15/2023
Approved Date: 05/03/2023
Prep. Date: 01/31/2024
3
3
0
8
6
Provision Ex. A-E.4 (As Referenced in Exhibit A, section 3)
The Development that is identified in the Award Letter and described in the Application,
and that is supported by the HRI Work, if any, and which is to be developed and
constructed by the Recipient, or other developer on behalf of the Recipient, contains the
following unit mix:
890 North McDowell Boulevard
Sonoma, CA 94954
Sonoma County, APN: 137-061-019-000
Meridian at Petaluma North
Enter the number of units by bedroom size and income level.
# of Bedrooms # of Project
Units
AHSC Assisted
Units*
Income Limit
(Percent of
AMI)
TOTAL
RESTRICTED
UNITS**
0 29 29 30%29
0 4 4 60%4
1 4 4 30%4
1 5 5 40%4
1 4 4 50%4
1 16 3 60%16
2 5 5 50%5
2 30 2 60%30
3 6 6 50%6
3 27 1 60%27
3 1 0 Manager 0
Total Project
Units
131 64 130
* Rental Affordable Housing Developments must include at least 20 percent of the total
residential units as Affordable Units with an overall Project average affordability of all
Restricted Units within the Project no greater than 50 percent represented by Area
Median Income (AMI).
Docusign Envelope ID: 967E3780-B385-4EE4-9DFC-BD179CC5CF14
Exhibit B to the Resolution - Standard Grant Agreement
City of Petaluma
Danco Communities
Sonoma-Marin Area Rail Transit District
23-AHSC-17963
Page 3 of 18
EXHIBIT E
Affordable Housing and Sustainable Communities (AHSC) Program
Round 7 - Grant
NOFA Date: 01/30/2023, Amended 03/15/2023
Approved Date: 05/03/2023
Prep. Date: 01/31/2024
3
3
0
8
6
**Total Restricted units include all units restricted by the Program and the Tax Credit
Allocation Committee (TCAC). The HRI Grant amount, if any, was calculated based on
the number of Total Restricted Units.
Provision Ex. A-E.5 (As Referenced in Exhibit A, section 3A)
Housing Related Infrastructure
The Scope of Work for this Agreement for Housing Related Infrastructure (“HRI Work”)
shall consist of the following:
N/A
Provision Ex. A-E.6 (As Referenced in Exhibit A, section 3B)
Program Costs
The Scope of Work for this Agreement for Program (PGM) Costs (“PGM Work”), shall
consist of the following:
The first PGM component will be operated by the Sonoma County Bike Coalition and
will provide safety education training programs that include bike repair and bike safety
workshops and walking school buses. Helmets, bicycles, and other safety equipment
will be distributed to training program participants.
The second PGM component Petaluma Transit will provide one (1) free transit passes
for three years. Each pass will have a minimum value of 40 average commute length
rides a month as determined by transit agency.
The third PGM component is The HOME Program by Legal Aid of Sonoma County
(LASC) and other organizations as needed, which will continue policy advocacy on anti-
displacement. HOME's policy attorney will continue to track issues and collaborate with
local partners to advance priorities and policies that prevent displacement. HOME will
also provide ongoing outreach, train, and support to community partners.
The fourth PGM component is a Workforce Development program operated by SMART
for 3 years of an internal Trainee Program, including Santa Rosa Junior College training
courses, and Sonoma Corps Career Technical Education hosting year-long internships.
Docusign Envelope ID: 967E3780-B385-4EE4-9DFC-BD179CC5CF14
Exhibit B to the Resolution - Standard Grant Agreement
City of Petaluma
Danco Communities
Sonoma-Marin Area Rail Transit District
23-AHSC-17963
Page 4 of 18
EXHIBIT E
Affordable Housing and Sustainable Communities (AHSC) Program
Round 7 - Grant
NOFA Date: 01/30/2023, Amended 03/15/2023
Approved Date: 05/03/2023
Prep. Date: 01/31/2024
3
3
0
8
6
Provision Ex. A-E.7 (As Referenced in Exhibit A, section 3C)
Sustainable Transportation Infrastructure
The Scope of Work for this Agreement for Sustainable Transportation Infrastructure
(“STI Work”) shall consist of the following:
The STI component includes four primary components. First, is the construction of a
new passenger infill train station near Corona Road in Petaluma, SMART (Sonoma-
Marin Area Rail Transit District) Petaluma North Station. This element also includes the
construction of a station platform, along with civic and systems components.
Additionally, designated areas for bicycle and auto parking will be constructed.
The second STI component focuses on pedestrian and bicycle connectivity by
implementing a crossing and signal system across the SMART tracks on the northern
side of Corona Road. This element will enable the connection between a future
sidewalk on the western side of the tracks and the future SMART tracks on the northern
side of Corona Road.
The third STI component includes improving pedestrian and bicycle safety across
McDowell Boulevard with a pedestrian and bicycle rail crossings and includes civil and
systems work. It involves the construction of 2.9 miles of SMART Pathway spanning
from Southpoint Boulevard to Main Street Penngrove and also includes civil and system
work.
The fourth STI component includes the purchase of one electric City bus.
Provision Ex. A-E.8 (As Referenced in Exhibit A, section 3D)
Transportation-Related Amenities
The Scope of Work for this Agreement for Transportation-Related Amenities (“TRA
Work”) shall consist of the following:
The first TRA component is for the SMART Petaluma North infill station platform
improvements and amenities including 12 bicycle racks and 12 electronic bike parking
spaces.
Docusign Envelope ID: 967E3780-B385-4EE4-9DFC-BD179CC5CF14
Exhibit B to the Resolution - Standard Grant Agreement
City of Petaluma
Danco Communities
Sonoma-Marin Area Rail Transit District
23-AHSC-17963
Page 5 of 18
EXHIBIT E
Affordable Housing and Sustainable Communities (AHSC) Program
Round 7 - Grant
NOFA Date: 01/30/2023, Amended 03/15/2023
Approved Date: 05/03/2023
Prep. Date: 01/31/2024
3
3
0
8
6
The second TRA component will include bus stop fixture enhancements for five stops
along Route 2, all within a half mile radius of the station.
These enhancements will include the installation of bus shelters, benches, trash cans,
bike racks and real-time signs.
Provision Ex. A-E.9 (As Referenced in Exhibit A, section 4)
Criteria Applicability
Based on the points awarded to its Application, Recipient assures the Department of the
existence of the following criteria of Section 107 in the Guidelines
AHSC Round 7 Guidelines, Section 107 Reference
Application
Score
(a) GHG Transit and Shared Mobility 5
(b) GHG Project Area 6
(c) GHG Efficiency 15
(d) Active Transportation and Transit Improvements 14
(e) Green Buildings and Renewable Energy 3
(f) Housing and Transportation Collaboration 8
(g) Location Efficiency and Access to Destinations 2
(h) Funds Committed 4
(i) Prohousing Designation 2
(j) Anti-Displacement Activities 4
(k) Local Workforce Development and Hiring Practices 1.5
(l) Housing Affordability 3
(m) Programs 3
(n) Community Benefits & Engagement 4
(o) Climate Adaptation & Community Resiliency 2
(p) Collaboration & Planning 4
(q) Equity & Transformation 2
Docusign Envelope ID: 967E3780-B385-4EE4-9DFC-BD179CC5CF14
Exhibit B to the Resolution - Standard Grant Agreement
City of Petaluma
Danco Communities
Sonoma-Marin Area Rail Transit District
23-AHSC-17963
Page 6 of 18
EXHIBIT E
Affordable Housing and Sustainable Communities (AHSC) Program
Round 7 - Grant
NOFA Date: 01/30/2023, Amended 03/15/2023
Approved Date: 05/03/2023
Prep. Date: 01/31/2024
3
3
0
8
6
Provision Ex. A-E.10 (As Referenced in Exhibit A, section 4A)
GHG Emissions Reductions Estimate
Based on the inputs in the Application, the estimated total MTCO2e over the life of the
project is 53,289. This information can be found on the SGC’s website in a document
titled Round 7 Data for Public Release
Docusign Envelope ID: 967E3780-B385-4EE4-9DFC-BD179CC5CF14
Exhibit B to the Resolution - Standard Grant Agreement
City of Petaluma
Danco Communities
Sonoma-Marin Area Rail Transit District
23-AHSC-17963
Page 7 of 18
EXHIBIT E
Affordable Housing and Sustainable Communities (AHSC) Program
Round 7 - Grant
NOFA Date: 01/30/2023, Amended 03/15/2023
Approved Date: 05/03/2023
Prep. Date: 01/31/2024
3
3
0
8
6
Provision Ex. A - E.11 (As Referenced in Exhibit A, section 5)
Performance Milestones
Recipient shall ensure the completion of the Performance Milestones set forth by the
designated dates as found below:
HRI PERFORMANCE MILESTONES DATE
Executed binding agreement between the Recipient and developer
of the proposed Development detailing the terms and conditions of
the Project development.
N/A
Site Control of Development site(s) by proposed housing developer.N/A
Completion of all necessary environmental clearances, including
those required under CEQA and NEPA.N/A
Obtaining all necessary and discretionary public land use approvals.N/A
Obtaining all enforceable funding commitments for at least the first
phase of the Development supported by HRI.N/A
Obtaining all enforceable funding commitments for all construction
period financing for the HRI.N/A
Obtaining enforceable commitments for all construction/permanent
financing described in the Sources and Uses including substantially
final construction and permanent loan documents, and tax credit
syndication documents for remaining phases of Project.
N/A
Submission of final construction drawings and specifications to the
appropriate local building department or permitting authority.N/A
Commencement of construction of the HRI.N/A
Construction of HRI complete.N/A
Docusign Envelope ID: 967E3780-B385-4EE4-9DFC-BD179CC5CF14
Exhibit B to the Resolution - Standard Grant Agreement
City of Petaluma
Danco Communities
Sonoma-Marin Area Rail Transit District
23-AHSC-17963
Page 8 of 18
EXHIBIT E
Affordable Housing and Sustainable Communities (AHSC) Program
Round 7 - Grant
NOFA Date: 01/30/2023, Amended 03/15/2023
Approved Date: 05/03/2023
Prep. Date: 01/31/2024
3
3
0
8
6
Program funds fully disbursed.N/A
PGM PERFORMANCE MILESTONES DATE
Identification and commitment of program operator and partners.08/01/2023
Completion of a business or a work plan.02/01/2025
Program funds fully disbursed.09/30/2028
STI PERFORMANCE MILESTONES DATE
Executed binding agreement between the Recipient and developer
of the STI Work detailing the terms and conditions of the Project
development.
10/23/2023
Site Control of STI site(s) by proposed developer.12/01/2022
Completion of all necessary environmental clearances, including
those required under CEQA and NEPA.09/15/2021
Commencement of construction of STI.10/01/2023
Construction completion of STI and closeout.03/30/2028
Program funds fully disbursed.09/30/2028
Docusign Envelope ID: 967E3780-B385-4EE4-9DFC-BD179CC5CF14
Exhibit B to the Resolution - Standard Grant Agreement
City of Petaluma
Danco Communities
Sonoma-Marin Area Rail Transit District
23-AHSC-17963
Page 9 of 18
EXHIBIT E
Affordable Housing and Sustainable Communities (AHSC) Program
Round 7 - Grant
NOFA Date: 01/30/2023, Amended 03/15/2023
Approved Date: 05/03/2023
Prep. Date: 01/31/2024
3
3
0
8
6
TRA PERFORMANCE MILESTONES DATE
Executed binding agreement between the Recipient and developer
of the TRA Work detailing the terms and conditions of the Project
development.
10/18/2023
Site Control of TRA site(s) by proposed developer.12/01/2022
Completion of all necessary environmental clearances, including
those required under CEQA and NEPA.09/15/2021
Commencement of construction of TRA.11/01/2025
Construction completion of TRA and closeout.03/30/2028
Program funds fully disbursed.09/30/2028
Docusign Envelope ID: 967E3780-B385-4EE4-9DFC-BD179CC5CF14
Exhibit B to the Resolution - Standard Grant Agreement
City of Petaluma
Danco Communities
Sonoma-Marin Area Rail Transit District
23-AHSC-17963
Page 10 of 18
EXHIBIT E
Affordable Housing and Sustainable Communities (AHSC) Program
Round 7 - Grant
NOFA Date: 01/30/2023, Amended 03/15/2023
Approved Date: 05/03/2023
Prep. Date: 01/31/2024
3
3
0
8
6
Provision Ex. A-E.12 (As Referenced in Exhibit A, section 7
Recipient Contact Coordinator
The Recipient’s Contract Coordinator for this Agreement is listed below. Unless
otherwise informed, any notice, report, or other communication required by this
Agreement shall be mailed by first class to the contact at the following address:
Sponsor:Danco Communities
Authorized Representative Name:Daniel J. Johnson
Authorized Representative Title:President
Address:5251 Ericson Way
Arcata, CA 95521
Phone No.:(707) 822-9000
Email Address:djohnson@danco-group.com
Sponsor:City of Petaluma
Authorized Representative Name:Peggy Flynn
Authorized Representative Title:City Manager
Address:11 English St.
Docusign Envelope ID: 967E3780-B385-4EE4-9DFC-BD179CC5CF14
Exhibit B to the Resolution - Standard Grant Agreement
City of Petaluma
Danco Communities
Sonoma-Marin Area Rail Transit District
23-AHSC-17963
Page 11 of 18
EXHIBIT E
Affordable Housing and Sustainable Communities (AHSC) Program
Round 7 - Grant
NOFA Date: 01/30/2023, Amended 03/15/2023
Approved Date: 05/03/2023
Prep. Date: 01/31/2024
3
3
0
8
6
Petaluma, CA 94952
Phone No.:(707) 778-4345
Email Address:Pflynn@cityofpetaluma.org
Sponsor:Sonoma-Marin Area Rail Transit District
(SMART)
Authorized Representative Name:Eddy Cumins
Authorized Representative Title:General Manager
Address:5401 Old Redwood Highway, Suite 200
Petaluma, CA 94954
Phone No.:(707) 794-3057
Email Address:ecumins@sonomamarintrain.org
Provision Ex. B-E.1 (As Referenced in Exhibit B, section 2(A)(1))
For the purposes of performing the HRI Work, as set forth in provision Ex. A-E.5 of this
Exhibit E, the Department agrees to provide N/A.
Provision Ex. B-E.2 (As Referenced in Exhibit B, section 2(A)(2))
For the purposes of performing the PGM Work, as set forth in provision Ex. A-E.6 of this
Exhibit E, the Department agrees to provide $744,840.
Provision Ex. B-E.3 (As Referenced in Exhibit B, section 2(A)(3))
For the purposes of performing the STI Work, as set forth in provision Ex. A-E.7 of this
Exhibit E, the Department agrees to provide $7,739,000.
Docusign Envelope ID: 967E3780-B385-4EE4-9DFC-BD179CC5CF14
Exhibit B to the Resolution - Standard Grant Agreement
City of Petaluma
Danco Communities
Sonoma-Marin Area Rail Transit District
23-AHSC-17963
Page 12 of 18
EXHIBIT E
Affordable Housing and Sustainable Communities (AHSC) Program
Round 7 - Grant
NOFA Date: 01/30/2023, Amended 03/15/2023
Approved Date: 05/03/2023
Prep. Date: 01/31/2024
3
3
0
8
6
Provision Ex. B-E.4 (As Referenced in Exhibit B, section 2(A)(4))
For the purposes of performing the TRA Work, as set forth in provision Ex. A-E.8 of this
Exhibit E, the Department agrees to provide $445,000.
Provision Ex. B-E.5 (As Referenced in Exhibit B, section 6)
All payees receiving Grant funds are listed below:
Payee Name Activity Award Amount
City of Petaluma PGM $594,840
City of Petaluma STI $4,839,000
City of Petaluma TRA $150,000
Sonoma-Marin Rail Transit District (SMART)PGM $150,000
Sonoma-Marin Rail Transit District (SMART)STI $2,900,000
Sonoma-Marin Rail Transit District (SMART)TRA $295,000
Docusign Envelope ID: 967E3780-B385-4EE4-9DFC-BD179CC5CF14
Exhibit B to the Resolution - Standard Grant Agreement
City of Petaluma
Danco Communities
Sonoma-Marin Area Rail Transit District
23-AHSC-17963
Page 13 of 18
EXHIBIT E
Affordable Housing and Sustainable Communities (AHSC) Program
Round 7 - Grant
NOFA Date: 01/30/2023, Amended 03/15/2023
Approved Date: 05/03/2023
Prep. Date: 01/31/2024
3
3
0
8
6
Provision Ex. B - E.6 (As Referenced in Exhibit B, section
SOURCES AND USES - HRI
PROJECT BUDGET
INFRASTRUCTURE DEVELOPMENT BUDGET AND SOURCES
N/A N/A
ESTIMATED HRI CAPITAL
IMPROVEMENT PROJECT COSTS
DEVELOPMENT COSTS
BY FUNDING SOURCE
DEVELOPMENT COSTS
COST CATEGORY TOTAL
AMOUNT
AHSC GRANT
PROGRAM
SUM OF ALL
OTHER
FUNDING
PROJECT
ACTIVITY (HARD
COSTS)
Total Project Activity
Costs $0 $0 $0
SOFT COSTS AND
OTHER PROJECT
RELATED COSTS
Docusign Envelope ID: 967E3780-B385-4EE4-9DFC-BD179CC5CF14
Exhibit B to the Resolution - Standard Grant Agreement
City of Petaluma
Danco Communities
Sonoma-Marin Area Rail Transit District
23-AHSC-17963
Page 14 of 18
EXHIBIT E
Affordable Housing and Sustainable Communities (AHSC) Program
Round 7 - Grant
NOFA Date: 01/30/2023, Amended 03/15/2023
Approved Date: 05/03/2023
Prep. Date: 01/31/2024
3
3
0
8
6
Total Soft Cost and
Other Project
Related Costs
$0 $0 $0
TOTAL PROJECT
COSTS $0 $0 $0
Provision Ex. B-E.7 (As Referenced in Exhibit B, section 6C)
SOURCES AND USES – PROGRAM COSTS
PROJECT BUDGET
BUDGET AND SOURCES
Meridian at Corona City of Petaluma & Sonoma-Marin
Area Transit Rail District
ESTIMATED PROGRAM COSTS DEVELOPMENT COSTS
BY FUNDING SOURCE
DEVELOPMENT COSTS
COST CATEGORY TOTAL
AMOUNT
AHSC GRANT
PROGRAM
SUM OF ALL
OTHER FUNDING
SOFT COST AND
OTHER PROJECT
RELATED COSTS
Total Soft Cost and
Other Project Related
Costs
$0 $0 $0
Docusign Envelope ID: 967E3780-B385-4EE4-9DFC-BD179CC5CF14
Exhibit B to the Resolution - Standard Grant Agreement
City of Petaluma
Danco Communities
Sonoma-Marin Area Rail Transit District
23-AHSC-17963
Page 15 of 18
EXHIBIT E
Affordable Housing and Sustainable Communities (AHSC) Program
Round 7 - Grant
NOFA Date: 01/30/2023, Amended 03/15/2023
Approved Date: 05/03/2023
Prep. Date: 01/31/2024
3
3
0
8
6
TOTAL PROGRAM
COSTS $744,840 $744,840 $0
Provision Ex. B-E.8 (As Referenced in Exhibit B, section 6C)
SOURCES AND USES - STI
PROJECT BUDGET
INFRASTRUCTURE DEVELOPMENT BUDGET AND SOURCES
Meridian at Corona City of Petaluma & Sonoma-Marin
Area Transit Rail District
ESTIMATED STI CAPITAL
IMPROVEMENT PROJECT COSTS
DEVELOPMENT COSTS
BY FUNDING SOURCE
DEVELOPMENT COSTS
COST CATEGORY TOTAL
AMOUNT
AHSC GRANT
PROGRAM
SUM OF ALL
OTHER
FUNDING
PROJECT
ACTIVITY (HARD
COSTS)
Docusign Envelope ID: 967E3780-B385-4EE4-9DFC-BD179CC5CF14
Exhibit B to the Resolution - Standard Grant Agreement
City of Petaluma
Danco Communities
Sonoma-Marin Area Rail Transit District
23-AHSC-17963
Page 16 of 18
EXHIBIT E
Affordable Housing and Sustainable Communities (AHSC) Program
Round 7 - Grant
NOFA Date: 01/30/2023, Amended 03/15/2023
Approved Date: 05/03/2023
Prep. Date: 01/31/2024
3
3
0
8
6
Total Project Activity
Costs $24,524,000 $7,424,000 $17,100,000
SOFT COSTS AND
OTHER PROJECT
RELATED COSTS
Total Soft Cost and
Other Project
Related Costs
$315,000 $315,000 $0
TOTAL PROJECT
COSTS $24,839,000 $7,739,000 $17,100,000
Provision Ex. B-E.9 (As Referenced in Exhibit B, section 6C)
SOURCES AND USES – TRA
PROJECT BUDGET
INFRASTRUCTURE DEVELOPMENT BUDGET AND SOURCES
Meridian at Corona City of Petaluma & Sonoma-Marin
Area Transit Rail District
ESTIMATED TRA CAPITAL
IMPROVEMENT PROJECT COSTS
DEVELOPMENT COSTS
BY FUNDING SOURCE
DEVELOPMENT COSTS
COST CATEGORY TOTAL
AMOUNT
AHSC GRANT
PROGRAM
SUM OF ALL
OTHER
FUNDING
PROJECT
ACTIVITY (HARD
COSTS)
Docusign Envelope ID: 967E3780-B385-4EE4-9DFC-BD179CC5CF14
Exhibit B to the Resolution - Standard Grant Agreement
City of Petaluma
Danco Communities
Sonoma-Marin Area Rail Transit District
23-AHSC-17963
Page 17 of 18
EXHIBIT E
Affordable Housing and Sustainable Communities (AHSC) Program
Round 7 - Grant
NOFA Date: 01/30/2023, Amended 03/15/2023
Approved Date: 05/03/2023
Prep. Date: 01/31/2024
3
3
0
8
6
Total Project Activity
Costs $1,745,000 $445,000 $1,300,000
SOFT COSTS AND
OTHER PROJECT
RELATED COSTS
Total Soft Cost and
Other Project
Related Costs
$0 $0 $0
TOTAL PROJECT
COSTS $1,745,000 $445,000 $1,300,000
Provision Ex. D-E.1 (As Referenced in Exhibit D, section 28)
MERIDIAN AT PETALUMA NORTH
THIS PROJECT HAS BEEN MADE POSSIBLE
BY FINANCING FROM
CALIFORNIA CLIMATE INVESTMENTS
(Funded through the GREENHOUSE GAS REDUCTION FUND)
AFFORDABLE HOUSING AND SUSTAINABLE COMMUNITIES PROGRAM
THROUGH THE
STRATEGIC GROWTH COUNCIL AND
THE CALIFORNIA DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT
2. Special Conditions
2a. The Department will assess Negative Points, as applicable, to
Sponsor(s)/Applicant(s)/Recipient(s) subject to Administrative Notice 2022-01, dated
March 31, 2022, and any future amendments. The Negative Points policy is applicable
to all HCD state and federal funding programs – loans and grants, administered by
HCD’s Divisions of State and Federal Financial Assistance. Negative points will be
Docusign Envelope ID: 967E3780-B385-4EE4-9DFC-BD179CC5CF14
Exhibit B to the Resolution - Standard Grant Agreement
City of Petaluma
Danco Communities
Sonoma-Marin Area Rail Transit District
23-AHSC-17963
Page 18 of 18
EXHIBIT E
Affordable Housing and Sustainable Communities (AHSC) Program
Round 7 - Grant
NOFA Date: 01/30/2023, Amended 03/15/2023
Approved Date: 05/03/2023
Prep. Date: 01/31/2024
3
3
0
8
6
calculated based on the criteria outlined in the Notice and will be applicable to all
Notices of Funding Availability issued on or after the original date of this notice for the
previous 5-year period, except when noted or amended. Such determination will be on a
case-by-case basis and may use the enumerated criteria set forth in the Notice when
making such decisions. In addition, the Department reserves the right, in its sole
discretion, to revoke an entity’s eligible Sponsor/Applicant/Recipient status at any time
based on documented serious issues with the operation, maintenance or
implementation of project or program funds.
2b. The Department retains the right and discretion to disencumber awards where
awardees have failed to make sufficient progress in meeting applicable milestones and
deadlines subject to Administrative Notice 2022-02 dated March 30, 2022, and any
future amendments. Such determination will be on a case-by-case basis and may use
the enumerated criteria set forth in the Notice when making such decisions. The
disencumbrance policy is applicable to HCD state funded multifamily housing programs.
For awards made prior to July 1, 2022, the 24-month period shall begin on July 1, 2022.
For awards made on or after July 1, 2022, the 24-month period will begin as of the date
of the initial program funding awarded to the project, unless amended in a subsequent
Notice.
2c. The Department represents and warrants that as of the date of this Agreement the
funds which are the subject of this Agreement are continuously appropriated to the
AHSC Program and available for the purposes of this Agreement, and further, that upon
execution of this Agreement said funds are deemed allocated to and encumbered for
the purposes described in this Agreement and shall not be terminated or reduced once
construction has commenced, so long as Sponsor is in compliance with AHSC Program
requirements and in accordance with the construction commencement requirements
within this Agreement. Said funds must still be disbursed prior to any applicable
disbursement or expenditure deadlines set forth in this Agreement.
Docusign Envelope ID: 967E3780-B385-4EE4-9DFC-BD179CC5CF14