Fiscal Note
The proposed resolution authorizes a loan of up to $300,000 to Chrysalis, Inc. to help in acquiring a building at 2425 Atwood Ave. The loan is part of the Community Facilities Loan (CFL) Program (2026 project #18013, capital program #13672), administered by the Community Development Division (CDD). CFL program guidelines establish up to 20% of project costs, not to exceed $400,000, given as a zero percent long-term deferred loan for acquisition and construction projects. Funding for the project described herein is available in CDD's 2026 Adopted Capital Budget ($1.0 million in General Fund-supported GO Borrowing). No additional City appropriation is required.
Title
Authorizing a loan of up to $300,000 to Chrysalis, Inc. from the Community Facilities Loan Program to help finance the acquisition of a property located at 2425 Atwood Avenue, Madison WI, and authorizing the Mayor and City Clerk to sign an agreement for that purpose (District 15).
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Action Items
WHEREAS, the City of Madison’s Community Facilities Loan (CFL) Program provides low-cost financing to support non-residential development projects undertaken by non-profit organizations in the City of Madison that involve the acquisition of property or substantial expansion, redevelopment, improvement or rehabilitation of property the organizations currently own or lease; and,
WHEREAS, the City’s objective through the CFL Program is to create or improve safe, accessible, energy-efficient and well-maintained community and neighborhood facilities; and,
WHEREAS, Chrysalis, Inc. works with working aged individuals living with significant mental health and substance use challenges and will operate a community facility providing mental health and substance recovery support; and,
WHEREAS, Chrysalis, Inc. seeks assistance through the CFL Program to help pay for the acquisition of a building located at 2425 Atwood Avenue that will become its new home; and,
WHEREAS, the new facility will enable Chrysalis, Inc. to expand its meal program and have dedicated program areas for individual counseling, group therapy, workshops, and meeting space; and,
WHEREAS, as a non-profit organization that provides programming and services primarily to low- and moderate-income households, Chrysalis, Inc. meets the eligibility requirements of the CFL Program; and,
WHEREAS, Chrysalis, Inc. presents a total project budget of approximately $1,500,000 and the CFL Program guidelines limit offers of financial assistance for acquisition of property to the lesser of $400,000 or 20% of total eligible project costs; and,
WHEREAS, awards offered under the CFL Program take the form of a zero percent long-term deferred loan, repayable upon the sale or change of use of the property; and,
WHEREAS, this award is made contingent upon Chrysalis receiving commitments for all sources of financing and land use approvals.
NOW, THEREFORE, BE IT RESOLVED, that the Common Council authorizes a loan of up to $300,000 from the Community Facilities Loan Program to Chrysalis, Inc. for the planned acquisition of property located at 2425 Atwood Avenue, Madison; and,
BE IT FURTHER RESOLVED that the Council authorizes the Mayor and City Clerk to execute, deliver, publish, file and record such other documents, instruments, notices and records, and take such other actions as shall be deemed necessary or desirable to accomplish the purpose of this Resolution.