HomeMy WebLinkAbout1998-072 RESOLUTION NO 98--
A RESOLUTION OF THE BOARD OF COUNTY COMMISSIONERS OF INDIAN
RIVER COUNTY, FLORIDA AMENDING THE COUNTY'S LOCAL HOUSING
------ ASSISTANCE PLAN FOR FY 1998-99, AND FY 1999-2000.
WHEREAS, Chapter 420, Florida Statutes, describes the State
Housing Initiative Partnership Program (SHIP) , and states that the
principal objective of that program is to increase the amount of
affordable housing within the State of Florida; and
WHEREAS, on April 6, 1993, Indian River County approved
ordinance number 93-13, establishing the Local Housing Assistance
Program; and
WHEREAS, the current county's Local Housing Assistance plan
expires on June 30, 2000; and
WHEREAS, staff and affordable housing partnership group
recommended changes to the county's local housing assistance plan;
and
WHEREAS, on July 14, 1998, the Board of County Commissioners
considered proposed amendments to the county's Local Housing
Assistance Plan;
NOW THEREFORE, BE IT RESOLVED by the Board of County Commissioners
of Indian River County, Florida that:
Section 1.
The above recitals are ratified in their entirety
Section 2.
The attached Indian River County Local Housing Assistance Plan
for FY 1998-99, and FY 1999-2000 is hereby amended by the
Board of County Commissioners. Changes are included on the
attached pages 13, 20, 25, 27, 28, 29, 30, 31, 35, 38, and 52
of the Local Housing Assistance Plan. On the attached pages
of the Local Housing Assistance Plan additions are shown as
underlined and deletions are shown as strike-thru.
Section 3.
The Board of County Commissioners directs staff to submit two
copies of the Indian River County Local Housing Assistance
Plan to the Florida Housing Finance Corporation by certified
mail. A minimum of one of the two copies shall bear the
original signature of the authorized official.
Section 4.
The county shall continue utilizing ten percent (10%) of
available SHIP funds for administration of the SHIP program.
Section 5.
The county's maximum assistance from the SHIP funds will be
thirty-nine thousand dollars ($39, 000 .00) per unit, and the
average assistance will be fourteen thousand dollars ($14,000)
per -unit.
Section 6.
The following table indicates the average and maximum per unit
SHIP funds allowable for each strategy:
STRATEGY AVERAGE LOAN AMOUNT MAXIMUM LOAN AMOUNT
cs) cs>
Impact Fee Grant 5,000.00 7,500.00
Impact Fee Loan 5,000.00 7,500.00
Downpayment/Closing 10,000.00 15,000.00
Cost
Rehabilitation 14, 000.00 20,000.00
Land Acquisition 7,500.00 10,000.00
Land Bank-Market 7, 500.00 10,000.00
Purchase
Land Bank-Tax Deed 7, 500.00 10,000.00
Purchase
The foregoing resolution was offered by CommissionerGinn
and seconded b Commissioner ,
Y Adams and being put to a vote,
the vote was as follows:
Chairman, John W. Tippin Aye
Vice Chairman, Kenneth R. Macht Aye
Commissioner, Caroline D. Ginn Ay-a
Commissioner, Carolyn K. Eggert Aye
Commissioner, Fran B. Adams Ufa
The Chairman thereupon declared the resolution duly passed and
adopted this 14th day of July, 1998.
Board of County Commissioners
of Indian River County
By
¢hn W. Tip in, Chairman
eat by:
Jeffrey K. Barton,
i, k 0 A'
APPROVED AS TO FORM AND LEGAL SOFPICIENCY "av'v c. Aiirov#d oat*
I f ) —I r ),
/� Admin
BYE � 1 i_l Legai
William G. Collins, II Budaai ��� t_
Deputy County Attorney cool.
A1dk Mgr
u\v\h\housing.res
7. Combined Assistance Strategy Awards for Housing Units
Eligible sponsors or persons may qualify to receive assistance
under one or more of the IRCLHAProgram's Assistance
Strategies. Applicants receiving assistance under more than
one Assistance Strategy shall comply with the following
limitations and requirements:
a. The combined maximum monetary award per housing
unit which may be provided from any one or more of
the IRCLHAProgram Assistance Strategies shall not
exceed $15;$$9 $8 the_comh;ned max;m uma all owad by
appropriate s ra poia_s fes_ apprnnr aro ,n .
ca go,
b. The income status of an eligible person occupying a
housing unit receiving assistance from one or more
IRCLHAProgram Assistance Strategies shall comply
with the income classification restrictions as
specified by the applicable Strategies.
8. Financial Standing of Eligible Housing Units
Owners of all eligible housing units receiving assistance from
the IRCLHAProgram shall be required to maintain good financial
standing in relation to their respective housing units as
follows:
a. All owners shall maintain valid Property Owners or
Homeowners Insurance, as appropriate, for their
respective units. For owner financed mortgages,
proof of such insurance shall be provided to the
IRCLHAProgram on an annual basis; and
b. All owners shall pay all applicable property taxes
for their respective housing units according to the
tax payment schedule.
9. Non-discrimination Policy
The IRCLHAProgram and all eligible sponsors shall not
discriminate in the IRCLHAProgram application and award
process on the basis of race, creed, religion, color, age,
sex, sexual preference, marital status, familial status,
national origin, or handicap.
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applicable impact fees for the eligible housing
unit, whichever is less.
ii. Repayment Terms/Timeframe
Impact fee loans shall be deferred payment loans
whereby repayment of the loan amount and applicable
accrued interest occurs at the time that the
eligible housing unit is sold.
Eligible persons may pay back the entire amount of
the loan and applicable accrued interest at any
time.
iii. Interest Rate
The interest rate for all iwano gLcLa��%A LAj4%A=_
three '3
—%) *111lual Simple interest rate.
There will be a zero interest rate for eligible
very low and In income persons.
iv. Affordable Classification Timeframe
Housing units whose owners receive funds from the
IRCLHAProgram Impact Fee Loan Strategy Program
shall be occupied for the duration of the
outstanding impact fee loan by the same qualified
eligible households obtaining the impact fee loan.
Upon sale of the assisted housing unit by the
owner, repayment of the outstanding loan amount and
applicable accrued interest shall be required and
the affordability timeframe requirement terminated.
V. Compliance Agreement and Security Instrument
The county's Impact Fee Loan shall be secured by a
mortgage in favor of Indian River County. This
mortgage may be subordinated to construction and/or
permanent mortgages applied to the same unit upon
approval of the IRCLHAProgram Review Committee.
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Eligible persons may pay back the entire amount of
the loan and applicable accrued interest at any
time.
iii. Interest Rate
The interest rate for all loans granted to mndpratp
income nerenne under the IRCLHAProgram
Downpayment/Closing Cost Loan Strategy shall be a
three percent (3%) annual simple interest rate.
There will be a zero interest rate for eligible
very low and In income persons.
iv. Affordable Classification Timeframe
Housing units whose owners receive funds from the
IRCLHAProgram Downpayment/Closing Cost Loan
Strategy Program shall be occupied for the duration
of the outstanding downpayment/closing cost loan by
the same qualified eligible households who received
the assistance.
Upon sale of the assisted housing unit by the
owner, repayment of the outstanding loan amount and
accrued interest shall be required and the
affordability timeframe requirement terminated.
V. Compliance Agreement and Security Instrument
The county's Downpayment/Closing Cost Loan shall be
secured by a mortgage in favor of Indian River
County. This mortgage may be subordinated to
construction and/or permanent mortgages applied to
the same unit upon approval of the IRCLHAProgram
Review Committee. This mortgage shall serve as the
eligible recipient's contractual commitment to
comply with the requirements of the IRCLHAProgram.
4. Land Acquisition Loans
a. Description
The IRCLHAProgram anticipates providing low-interest
loans to eligible non-profit sponsors for the acquisition
of vacant parcels or lots for the purpose of providing
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iii. Applicant Classification
(a) Land acquisition loans may be awarded to the
following eligible sponsors:
1. Non-profit Organizations
(b) Land acquisition loans shall result in
eligible housing for the following eligible
persons:
1. Very Low-Income Persons
2. Low-Income Persons
c. Basic Award Terms
i. Maximum Monetary Award
The maximum monetary award for a land acquisition
loan shall not exceed $10, 000.00 per lot (unit) .
ii. Repayment Terms/Timeframe
Land acquisition loans shall be deferred payment
loans, whereby repayment of the loan amount and
accrued interest occurs at the time the parcel/lot
and its corresponding eligible housing unit is
sold.
Eligible persons may pay back the entire amount of
the loan and applicable accrued interest at any
time.
iii. Interest Rate
The i2ltexeft rate for all !Osna granted ander the
fRei3mftoeetam hand *e%jt2i=jL-jwj, been Strategy 9178H
be a three percent (9%) 1411U&T SIV+e—interest
rete. There will be a zero interest rate for
eligible very low and in income persons.
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iv. Affordable Classification Timeframe
Housing units whose owners receive funds from the
IRCLHAProgram Land Acquisition Loan Strategy
Program shall be occupied for the duration of the
outstanding land acquisition loan by the same
qualified eligible households who received the
assistance.
Upon sale of the assisted housing unit by the
owner, repayment of the outstanding loan amount and
accrued interest shall be required and the
affordability timeframe requirement terminated.
V. Compliance Agreement and Security Instrument
The county's Land Acquisition Loan shall be secured
by a mortgage in favor of Indian River County.
This mortgage may be subordinated to construction
and/or permanent mortgages applied to the same unit
upon approval of the IRCLHAProgram Review
Committee. This mortgage shall serve as the
eligible recipient 's contractual commitment to
comply with the requirements of the IRCLHAProgram.
S. Rehabilitation Loans/emergency Repairs
a. Description
The IRCLHAProgram anticipates providing low-interest
loans to eligible sponsors or persons to fund all or a
portion of the cost encountered in rehabilitating
existing or acquired housing units eligible for occupancy
by eligible persons. Rehabilitation loans will not be
awarded for rehabilitation work previously completed.
All rehabilitation work must be performed by licensed
contractors.
Awarded rehabilitation loan amounts shall be based upon
a minimum of two written licensed contractor estimates
for the exact same scope of work, identifying all
necessary rehabilitation work and the expected costs of
the rehabilitation work. Contractors, A8 ;mares mmst`hp
based on a work = to-nPrepared by the raunty
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des i onated inspect-or. The applicant shall idettt�ifp
choose one of the contractors with the corTeSPOLiding
lower eatimate as the cantractor to complete the
identified rehabilitation work provided that the
contractor cost estimate does not Pxrppd 10% of the
estimate provided by the count= designated i napAr tnr.
Once the contractor estimate is selected and the
Rehabilitation Loan Amount established, no additional
funds may be awarded. The contractor estimate must
identify all potential costs (including building permit
fees) to be encountered in completing the rehabilitation
work. Chance o Tiara must he approved by the o un t
designated inspector and to a1 hinQ aaaiatance prc�oZam
s of Additionally, the applicant will be required, as
part of the application process, to pay for a credit
report. Rehabilitation Loans shall not exceed 5096 of the
unit market value or the appraised value, whichever is
provided by the applicant.
The applicant or his contractor must obtain a building
permit from the corresponding jurisdictional building
department for all rehabilitation activities. The funds
for rehabilitation loans of less than $2,500.00 shall be
delivered upon completion of all rehabilitation work and
a satisfactory final inspection by the corresponding
jurisdictional Building Department and the vNi inti
d signs d inspprtnr that all required rehabilitation
activities for the eligible housing unit are completed.
Funds for rehabilitation loans of $2, 500.00 or more may
be delivered in individual draws, not to exceed three
draws total, based upon the completion of individual
components of the rehabilitation work and inspection by
the corresponding jurisdictional building department and
the o n vdesiona d inspector, The final draw of funds
shall not be less than $1,500.00 and it shall be
delivered upon completion of all rehabilitation work and
a satisfactory final inspection by the corresponding
jurisdictional Building Department and the co-unty
dpa'gna d inappe-t-nr that all required rehabilitation
activities for the eligible housing unit are completed.
No SHIP fund will he naid for any/ work r-mp eted nrior o
the nntirpo rnr•opd_
Besides general rehabilitation activities funds may be
provided for emergency repairs. Emergency repairs
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eligible for SHIP funding are limited to weatherization
activities. Weatherization means materials or measures
and their installation which are used to improve the
thermal efficiency of a residence. For emergency
repairs, only one written licensed contractor estimate is
needed. No Credit v rifiration is nppded for amorned1c.Y
rs' a i ra
Rehabilitation/emergency repair loans can be leveraged
with private funds, small city Community Development
Block Grant (CDBG) funds, weatherization funds, and other
state and federal programs as appropriate.
b. Eligibility
i. Geographic Area
Rehabilitation loans may be made for eligible
housing units located anywhere in the County,
including all municipalities located within the
County.
ii. Housing Unit Classification
Eligible housing units receiving IRCLHAProgram
Rehabilitation Loans may be either owner-occupied
or renter occupied single-family or multiple-family
residences. Mobile homes are not eligible.
iii. Applicant Classification
(a) Rehabilitation loans may be awarded to the
following eligible sponsors:
1. Non-profit Organizations
2. Investors
3. Very Low-Income Eligible Persons
4. Low-Income Eligible Persons
(b) Rehabilitation loans shall result in eligible
housing for the following eligible persons:
1. Very Low-Income Persons
2. Low-Income Persons
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c. Basic Award Terms
i. Maximum Monetary Award
The maximum monetary award for a rehabilitation
loan shall not exceed X99 20,000.00 per
single-family or multiple-family housing unit.
Additionally, rehabilitation loans for multiple
family structures shall also be limited to a
maximum monetary award of $49;eee-. 60,000.00 for
evaiiabie in the struett2r
ii. Repayment Terms/Timeframe
Rehabilitation loans shall be deferred payment
loans, whereby repayment of the loan amount and
accrued interest occurs as follows:
(a) Owner-occupied single-family homes: The loan
amount and applicable accrued interest shall be
repaid at the time the eligible housing unit is
sold.
(b) ' Non-owner-occupied single family homes and
multiple-family structures: Repayment of the full
rehabilitation loan amount and applicable accrued
interest shall be required fifteen (15) years
following the date of issuance of the loan.
Eligible sponsors or persons may pay back the
entire amount of the loan and applicable accrued
interest at any time.
iii . Interest Rate
The interest rate for &H !,jams granted trtder-t-he
a three percent (3%) &&Mufti simple intereat rat,--.
There will be a zero interest rate for eligible
very low and logy income persons.
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C. Basic Award Terms
i. Maximum Monetary Award
The maximum monetary award for a land bank
acquisition expenditure shall not exceed $10,000.00
per lot. The market purchase strategy may be
utilized only as a strategy of "last resort".
ii. Repayment Terms/Timeframe
Land bank acquisitions whereby ownership of the
subject property is transferred to an eligible
sponsor or person shall be classified as deferred
payment loans. Repayment of the effective loan
amount (the value of the property) and applicable
accrued interest occurs at the time the parcel or
lot and its corresponding eligible housing unit is
sold.
Eligible persons may pay back the entire amount of
the loan and applicable accrued interest at any
time.
iii. Interest Rate
The interest rate laild
There will be a zero
interest rate for eligible very low and ow income
persons.
iv. Affordable Classification Timeframe
Housing units whose owners receive funds from the
IRCLHAProgram Land Bank Market Purchase Strategy
Program shall be occupied for the duration of the
outstanding land bank acquisition loan by the same
qualified eligible households who received the
assistance.
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eligible housing for the following eligible
persons:
1 . Very Low-Income Persons
2. Low-Income Persons
c. Basic Award Terms
i. Maximum Monetary Award
The maximum monetary award for a land bank
acquisition expenditure shall not exceed $10,000.00
per lot. The tax deed purchase strategy may be
utilized only as a strategy of "last resort.
ii. Repayment Terms/Timeframe
Land bank acquisitions whereby ownership of the
subject property is transferred to an eligible
sponsor or person shall be classified as deferred
payment loans. Repayment of the effective loan
amount (the value of the property) and accrued
interest occurs at the time the parcel or lot and
its corresponding eligible housing unit is sold.
Eligible persons may pay back the entire amount of
the loan and applicable accrued interest at any
time.
iii. Interest Rate
Mate.Tile i,ltereft rate for all equivalent: 1tncJ--b&Trk
hequisition Strategy sh&H be a three percent—+a-t+
i eft There will be a zero
interest rate for eligible very low and in income
persons.
iv. Affordable Classification Timeframe
Housing units whose owners receive funds from the
IRCLHAProgram Land Bank Acquisition Strategy
Program shall be occupied for the duration of the
38
t
IRCLHAProgram for compliance with the requirements of the
IRCLHAPlan and Rule 9I-37 FAC.
Upon determination that the IRCLHAProgram will be unable
to comply with the requirements of the IRCLHAPlan or Rule
9I-37 FAC:
i. The Community Development Department shall provide
written notification of non-compliance to the
Florida Housing Finance Agency within ten (10)
working days of the non-compliance determination; {
and
ii. Amendment proceedings to revise the IRCLHAPlan
shall be commenced within twenty (20) working days
of the non-compliance determination in order to
reconcile the discrepancy between the requirements
of the IRCLHAProgram and the IRCLHAPlan.
b. The Community Development Department shall monitor
expenditures of funds distributed from the State of
Florida to the IRCLHA program to ensure that funds are
encumbered within 6 months following the end of the state
fiscal year in which the funds were received and expended
within 24 months following the end of the state fiscal
year in which the funds were received.
C. CHIP l0 al hOusina dig ihution f„ndn AhmIl. he used tn
implement- the to -al houo i nQ as atan.P n1 an as o++t 1 i neci
in his plan and to b 19edja�upnlement or marsh
other_state and federal funds aurh as the KnMP Tn.
estment
PartnPrAhip Program
sic. The Community Development Department staff shall
complete on an annual basis an Annual Operations Report
analyzing and listing the activities and accomplishments
of the IRCLHAProgram. The IRCLHAProgram Annual Operations
Report (IRCLHAPAOR, AOR) shall conform to the following
requirements:
i . IRCLHAPAOR Preparation
(a) The IRCLHAPAOR shall be compiled and drafted by
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