city housing programs “encouraging homeownership and reinvestment in our neighborhoods”
DESCRIPTION
City Housing Programs “Encouraging Homeownership and Reinvestment in our Neighborhoods”. Overview. Neighborhood Stabilization Program 1 Update Neighborhood Stabilization Program 3 Action Plan (Agenda Item #1) Community Development Block Grant Update Policy Changes (Agenda Items #2&3). - PowerPoint PPT PresentationTRANSCRIPT
City Housing Programs
“Encouraging Homeownership andReinvestment in our Neighborhoods”
Overview
• Neighborhood Stabilization Program 1– Update
• Neighborhood Stabilization Program 3– Action Plan (Agenda Item #1)
• Community Development Block Grant– Update– Policy Changes (Agenda Items #2&3)
Neighborhood Stabilization Program
1
Program Update – Overall• Demonstrated 100% Obligation of Grant
Funds by September 1, 2010 Deadline• Expended 89% of Grant Funds (Must be 100%
by September 1, 2011 Deadline)• Contracted with Following Entities:
– Flagler County (Applicant Intake)– Guardian Resource Management (Grant
Consultant)– Fred Fox Enterprises, Inc. and Flagler Home
Services Corporation (Resale Developers)– Mid-Florida Housing Partnership, Inc. (Non-Profit
Housing Counselors and Rental Developers)
Program Update – Resale• Twenty-One (21) buyer applications have been
reviewed and approved.
• Three (3) homes has been purchased, renovated, and resold to an applicant.
• Two (2) homes have been purchased, renovated, and a closing has been scheduled with an applicant.
• Ten (10) homes have been purchased and either renovated or under renovation currently.
• One (1) purchase offer on a home has been accepted by the bank/owner and are proceeding towards closing.
• Average Home Price: $107,700 / Average Repairs: $12,500
Program Update – Rental
• Four (4) homes have been purchased, renovated, and are now occupied.
• This portion of the program is now complete and will be continued to be monitored for grant compliance.
• Average Home Price: $102,100 / Average Repairs: $7,100
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Additional allocation of funds ($1 billion) provided in the Dodd-Frank Act of 2010.
Purpose is to assist in the redevelopment of abandoned and foreclosed homes.
Funds are being distributed based on funding formula established by HUD Secretary.
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Allocated $1,375,071. Allocation is direct from HUD. Palm Coast is a non-entitlement local
government and thus must submit an Abbreviated Action Plan to receive the funding.
Abbreviated Action Plan is due to HUD by March 1, 2011.
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City will use Eligible Use B – Acquisition and Rehabilitation. This Eligible Use covers both the Purchase Assistance activity and the Acquisition and Rehabilitation activity.
For households whose income does not exceed 120% of Area Median Income (AMI)
Not less than 25% of funds are to be used for families whose incomes do not exceed 50% of AMI
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50% AMI1 person
HH2 person
HH3 Person
HH4 person
HH5 person
HH6 person
HH7 person
HH8 person
HH$20,700 $23,650 $26,600 $29,550 $31,950 $34,300 $36,650 $39,050
120% AMI$49,650 $56,750 $63,850 $70,900 $76,600 $82,250 $87,950 $93,600
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Eligible Use B – Acquisition and RehabilitationProvide $893,796 to assist approximately 20 families with Purchase Assistance.
Eligible Use B – Acquisition and RehabilitationProvide $343,768 to partner to purchase 3 single family properties for rental to families below 50% AMI.
Program Administration - $137,507
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Grantees must identify specific area where they expect to carry out NSP3 program.
Map produced by HUD website provides estimates of foreclosure related needs scores at Census Tract level and an impact score.
HUD encourages grantees to have small target area so that allocation will have a visible impact on the area.
Map produced must be submitted with Action Plan.
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15
AREA PC 17NSP Need 19Min Score 17Total HU 2082%LMMI 61.6%LMI 36.9REO 44Starts 148Impact 30
Areas of Greatest NeedProposed Area Rank 1 (primary AGN)
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AREA PC 18NSP Need 19Min Score 17Total HU 2472% LMMI 56.3% LMI 32.9REO 52Starts 175Impact 35
Areas of Greatest NeedProposed Area Rank 2 (Alternate)
17
AREA PC 16NSP Need 19Min Score 17Total HU 2430% LMMI 61.7% LMI 37.3REO 52Starts 172Impact 34
Areas of Greatest NeedProposed Area Rank 3 (Alternate)
Community Development Block
Grant Program
Overview• $750,000 Housing Rehabilitation Application
Submitted to State• Concept of Program
– Home-owner occupied rehabilitation and/or demolition/reconstruction
– Older homes (30+), where home is deteriorating and homeowner has no funds/ability to repair (i.e. seniors or disabled persons on social security)
– Benefits homeowner, neighborhood, and contractors• Anticipate Contracting with Following Entities:
– Flagler County (Applicant Intake)– Grant Consultant– Local Contractors for Rehabilitation
• Currently in Fundable Range (Awards Announced in March)
• Site Visit Occurred on 1/27/2010
Policy Changes Needed
• Local Housing Assistance Plan– Agenda Item #2– Clarifying Amendment to Redefine
Household Income to Include Non-Relatives• Employment of Small & Minority
Businesses– Agenda Item #3– Amended to Include Women Owned
Businesses– Amended to Remove Hispanics from
Definition of Minority Owned Businesses