Town of Chapel Hill header
File #: [18-0573]    Version: 1 Name:
Type: Consent Status: Passed
File created: 3/16/2018 In control: Town Council
On agenda: 6/20/2018 Final action: 6/20/2018
Title: Approve the 2018-2019 HOME Investment Partnership Program Annual Plan.
Attachments: 1. 2018-2019 HOME Program Annual Plan Summary of Activities, 2. Council Questions with Staff Response, 3. A RESOLUTION APPROVING THE 2018-2019 HOME INVESTMENT PARTNERSHIP PROGRAM ANNUAL PLAN (2018-06-20/R-8)

 

 

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Approve the 2018-2019 HOME Investment Partnership Program Annual Plan.

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Staff:

Department:

Loryn Clark, Executive Director

Housing and Community

Nate Broman-Fulks, Affordable Housing Manager

 

Renee Moye, Community Development Program Manager

 

 

Overview: The Orange County Local Government Affordable Housing Collaborative <http://chapelhill.granicus.com/MetaViewer.php?view_id=21&clip_id=3270&meta_id=174509> (the Collaborative) asks the Council to review and approve a 2018-2019 HOME Program Plan. The Collaborative comprises elected officials and staff from the each of the four participating jurisdictions (Chapel Hill, Carrboro, Hillsborough, and Orange County acting as the lead entity). Council Member Bell represents the Council on the Collaborative. The Collaborative serves as the HOME Program Consortium review team. One of the charges of the Collaborative is to develop an annual HOME Program plan. All participating jurisdictions must approve and authorize submission of the plan prior to submittal to the U.S. Department of Housing and Urban Development (HUD).

 

Recommendation(s):

That the Council:

1. Approve a plan developed by the Collaborative for use of $491,642 of 2018-2019 Orange County HOME Program funds and $13,306 in program income; and approve the reallocation of $63,200.00 in unexpended FY2013 Community Housing Development Organization (CHDO) funding.

2. Authorize Orange County to issue RFPs and determine if CHDO funds could be used by one or both of the identified CHDOs (Community Home Trust and CASA), in order to meet HUD requirements or de-obligate funds.

3. Authorize this plan to be incorporated into the Annual Update to the 2015-2019 Consolidated Plan for Orange County.

 

Summary of Recommended Plan:

                     EmPOWERment, Inc. - Acquisition                                                                                                                              $145,000

                     Orange County- Tenant-Based Rental Assistance & Rapid Rehousing                     $139,613

                     CHDO Set Aside (15% of grant) For Subsequent RFP Process                                          $  60,201

                     Community Home Trust - Homeownership Assistance                                                               $  60,000

                     Habitat for Humanity - Second Mortgage Assistance                                                               $  60,000

                     Administration                                                                                                                                                                         $  40,134

Total 2018-2019 HOME Funds for Project Activities                                      $504,948

Summary of Recommended Reallocation of CHDO funds

                     2013-2014

$16,671 in CHDO funds awarded to Community Home Trust for operations be reverted to general project use as Community Home Trust homebuyer assistance. These funds are required to be expended by August 31, 2018.

                     2016-2017

$46,529 in CHDO funding must be committed by August 31, 2018. Orange County issued an RFP and is working with the responsive CHDOs (Community Home Trust and CASA) to determine eligibility of projects.

                     2017-2018

$43,454 in CHDO funding is required to be committed by August 31, 2019. Orange County will issue an RFP for eligible projects.

                     2018-2019

$60,201 in CHDO funding must be committed by August 31, 2020. Orange County will issue an RFP for eligible projects.

 

Key Issues:

                     HUD requires that at least 15% of HOME allocations ($401,340, not including program income and local match funds) be reserved for use by CHDOs (Community Housing Development Organizations). Orange County will release a Request for Proposals for use of these funds on behalf of the Collaborative, later in the year.

                     Recent review of HOME Program regulations identified a need to revise the allocation of funds for Community Housing Development Organizations (CHDO <https://www.hud.gov/sites/documents/19787_CH03.PDF>). CASA and the Community Home Trust are eligible CHDOs in Orange County.

                     The resolution includes giving Orange County the authority to determine if CHDO allocations can be used by the County’s identified CHDOs. If funds are not allocated and expended in accordance with HUD’s timeliness requirements, funds may have to be returned.

                     All participating jurisdictions must approve this plan before submission to the U.S. Department of Housing and Urban Development.

                     Attached is a summary of the projects recommended for funding.

                     All projects must serve households earning less than 80% of the area median income. The area median income limit is $64,500 for a four-person household.

                     Housing projects funded with Orange County HOME Consortium Program funds are subject to the County’s 99-year long-term affordability policy and must remain affordable for 99 years. Orange County records deed restrictions on the property with the Register of Deeds for affordable housing projects.

                     If an agency does not implement a project after funding is awarded, the Collaborative would return to the governing bodies of the participating jurisdictions with a proposed plan for reallocation of funds.

 

Fiscal Impact/Resources:

                     The recommended plan proposes to provide funds as grants to non-profit organizations for affordable housing activities.

                     Participation in the HOME Program requires a local match. The Town’s portion is $37,024. As in previous years, we propose to use an allocation from the Affordable Housing Fund for this purpose.

 

Where is this item in its process?

 

Orange County Local Government Affordable Housing Collaborative <http://chapelhill.granicus.com/MetaViewer.php?view_id=21&clip_id=3270&meta_id=174509> adopted this plan on June 14, 2018.

 

Next Steps:

                     Each of the jurisdictions must approve the HOME Program Plan.

                     If approved, Orange County staff would finalize preparation of a 2018-2019 HOME Program Annual Action Plan to be submitted to the U.S. Department of Housing and Urban Development.

 

Council Goals:

Create a Place for Everyone

Develop Good Places,  New Spaces

Support  Community Prosperity

Nurture Our Community

Facilitate Getting Around

Grow Town  and Gown Collaboration

 

Attachments:

 

Resolution

 

2018-2019 HOME Program Annual Plan Summary of Activities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

A RESOLUTION APPROVING THE 2018-2019 HOME INVESTMENT PARTNERSHIP PROGRAM ANNUAL PLAN (2018-06-13/R-8)

 

WHEREAS, Orange County held three public forums to receive citizen comments and proposals regarding the use of 2018-2019 HOME Program funds; and

 

WHEREAS, Orange County held an open process for Request For Proposals for unexpended FY2013 and FY2016 HOME CHDO(Community Housing Development Organization) funding;

 

NOW, THEREFORE, BE IT RESOLVED by the Council of the Town of Chapel Hill that the Council approves the following 2018-2019 HOME Investment Partnership Program Annual Plan to be carried out by the members of the Orange County HOME Consortium:

                     EmPOWERment, Inc. - Acquisition                                                                                                                              $145,000

                     Orange County- Tenant-Based Rental Assistance & Rapid Rehousing                     $139,613

                     CHDO Set Aside (15% of grant) For Subsequent RFP Process                                          $  60,201

                     Community Home Trust - Homeownership Assistance                                                               $  60,000

                     Habitat for Humanity - Second Mortgage Assistance                                                               $  60,000

                     Administration                                                                                                                                                                         $  40,134

Total 2018-2019 HOME Funds for Project Activities                                      $504,948

BE IT FURTHER RESOLVED that the Council authorizes Orange County to issue an RFP and determine if CHDO allocations can be used by the County’s identified CHDOs.

BE IT FURTHER RESOLVED that the Council authorizes this plan to be incorporated into the Annual Update to the 2015-2019 Consolidated Plan, for submission to the U.S. Department of Housing and Urban Development.

 

This the 20th day of June, 2018.

 

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The Agenda will reflect the text below and/or the motion text will be used during the meeting.

 

presenter

By adopting the resolution, the Council approves the 2018-2019 HOME Program Annual Plan to be carried out by the members of the Orange County HOME Consortium and authorizes this plan to be incorporated into the Annual Update to the 2015-2019 Consolidated Plan, for submission to the U.S. Department of Housing and Urban Development.