The Phoenix IDA 2012 Arizona Housing Forum October
The Phoenix IDA 2012 Arizona Housing Forum October 2 -4, 2012 Presentation by: Juan Salgado, Executive Director
MISSION STATEMENT To provide community and economic benefits to Phoenix residents through bond financing and other community investments
Overview Statutory Powers Mission Statement Bond Projects Programs Bond Proceeds
Statutory Powers Incorporated in 1981 as an Arizona nonprofit corporation, by the Phoenix City Council Industrial Development Financing Act – A. R. S. Title 35, Chapter 5 Political subdivision of the State of Arizona
Statutory Powers Broad powers, including issuing bonds for specific types of projects as listed below: • Educational Facility Bonds • Manufacturing Facility Bonds • Housing Bonds
Statutory Powers Advantages of financing bonds through the Phoenix IDA • Does not involve the credit or financial backing of the City of Phoenix • No cost to taxpayers • Volume cap - out-of-state bonds do not affect the bonding capacity of the City of Phoenix, the Phoenix IDA or any other political subdivision of the state of Arizona • Bond proceeds used to support community and economic development projects for Phoenix residents
BOND PROJECTS
Bond Projects January 2009 to June 2012 Education Facility Bonds $ 490 MM Manufacturing Facility Bonds $ 77 MM Housing Bonds $ 14 MM Total $ 581 MM
Bond Projects FY 2012 Bond Projects (In Millions) Closed 7 $278 Pending 3 95 Total 10 $363
Bond Projects FY 2012 Bond Projects (In Millions) Education Facility Multifamily Housing Closed 6 $264 1 $14 Pending 2 87 1 8 Total 8 $351 2 $22
PROGRAMS
Programs July 2011 – September 2012 • Community Banking • Community Impact Fund • Community-Based Nonprofit Awards – Community Development Fund – Directors’ Community Awards • Home in Five Advantage Program • Other Investments
Programs July 2011 – September 2012 Community Banking • Increased investment deposits in Arizonabased banks – Opened 10 new $250 K CDs – > $10 MM in 15 community banks • Goals – Support local banks and local community – Develop banking relationships
Programs July 2011 – September 2012 Community Impact Fund • $5 million • Impact investments Goals • Financial and social impact • Collaboration with community partners
Programs July 2011 – September 2012 Community Impact Fund – Allocations (In Millions) Business Loan Alliance Program Collateral Reserve Program Pilot Charter School Pre. Development Loan Program Small Business Loan Participation Downtown Land Purchase $1, 000 500 250 158 Total $2, 408
Programs July 2011 – September 2012 Business Loan Alliance Program • $1 million • 1 -year pilot: Feb. 2012 - March 2013 • Loan participation – 5 investor partners, 3 community banks – Equal loan participation – Buy down interest rates
Programs July 2011 – September 2012 Collateral Reserve Program (EXPAND II) • $500, 000 • 3 -years: July 1, 2011 - June 30, 2014 – Direct administration approved Aug. 2012 • Loan collateral support – 25% of loan amount – Maximum $150 K • Goal: 1 job per $35 K support
Programs July 2011 – September 2012 Charter School Pre-Dvlpt Loan Program • • $500, 000 1 -year pilot: approved June 2012 Arizona Community Foundation - $500 K Goal: Assist charter schools with predevelopment soft costs – Restrictions: Phoenix IDA bond applicants
Programs July 2011 – September 2012 Home In Five Advantage Mortgage Origination Program • Raymond James | Morgan Keegan – 5% down payment/closing costs assistance – Special incentives for military and vets • $15 MM revolving fund • Approved: July 12, 2012 • Launched: September 4, 2012
Programs July 2011 – September 2012 Other Investments Phoenix Public Market Solar Phoenix $250 K $50 K
MISSION STATEMENT To provide community and economic benefits to Phoenix residents through bond financing and other community investments
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