Board of County Commissioners Local Housing Assistance Plan Amendment State Fiscal Years 2012-2015 August 5, 2014 Presentation Outline Background Revisions to Housing Strategies Action Requested Presentation Outline Background Revisions to Housing Strategies Action Requested Background State Housing Initiatives Partnership Program (SHIP) Primary funding source for affordable housing programs in Florida –Documentary stamp revenues –Housing Trust Fund Orange County has been a recipient of SHIP funding since 1994 Background SHIP Program – Orange County Allocation Year 2010-2011 2011-2012 2012-2013 2013-2014 2014-2015 Allocation $0 $742,809 $358,366 $1,340,435 $4,355,191 Background SHIP Program – Expenditure Requirements 65% of funds – home-ownership activities 75% of funds – construction related 60% of funds – low-income households 2014-2015 allocation of $4.3M must be expended by June 2017 Background Local Housing Assistance Plan (LHAP) Required for funding under the SHIP Program Identifies housing strategies for very low, low, and moderate income households Amendments must be adopted by resolution Presentation Outline Background Revisions to Housing Strategies Action Requested Revisions to Housing Strategies LHAP Amendments Increase number of units produced Add a new strategy as an incentive for new construction Increase maximum sales price for affordable housing Revisions to Housing Strategies Current Housing Strategies Down Payment Assistance Home-owner Rehabilitation Multi-Family Acquisition/Construction Special Needs Housing Revisions to Housing Strategies Yearly Average 2010-2014 Down Payment Assistance 68 Homeowner Rehabilitation 41 Multi-Family Construction 93 Special Needs Housing 18 Revisions to Housing Strategies Down Payment Assistance Increase amount of assistance Provide assistance to moderate-income households Income Level Current Proposed Very Low $10,000 $30,000 Low $7,500 $20,000 Moderate $0 $15,000 Revisions to Housing Strategies Other Levels of Assistance Income Level Dade County Palm Beach Hillsborough County County Duval County Very Low $80,000 $100,000 $40,000 $20,000 Low $70,000 $65,000 $35,000 $17,500 Moderate $60,000 $50,000 $10,000 $15,000 Revisions to Housing Strategies Housing Rehabilitation Increase amount of assistance Provide assistance for reconstruction Activity Current Proposed Emergency Rehab $15,000 $20,000 Substantial Rehab $50,000 $75,000 $0 $100,000 Reconstruction Revisions to Housing Strategies Multi-Family Construction Encourage acquisition, construction, or rehabilitation of rental housing for low income households Continue to provide minimum local government contribution for developers competing for State Housing Tax Credits No revisions recommended Revisions to Housing Strategies Special Needs Housing For adult persons requiring independent living services Provide assistance to disability support organizations to acquire, construct, or rehab group homes Partner with nonprofit agencies to provide home modifications for people with disabilities 20% of SHIP allocation must be spent under this strategy – $871,038 No revisions recommended Revisions to Housing Strategies New Strategy: Impact Fee Subsidy Few homes being built at price levels affordable to low-income households Developer incentive to build owner occupied homes, affordable to low-income households Subsidy Level: Revisions to Housing Strategies Maximum Sales Price Maximum sales price established in LHAP Factors that affect affordability Sales price Income Interest rate Revisions to Housing Strategies HUD 2014 Income Limits Median Income $54,800 Household Size Very Low Low Moderate 1 2 3 4 $20,100 $22,950 $25,800 $28,650 $32,100 $36,700 $41,300 $45,850 $48,240 $55,080 $61,920 $68,760 Revisions to Housing Strategies Maximum Sales Price Increase maximum sales price From To $170,000 $200,000 Revisions to Housing Strategies Affordable Housing Advisory Board Appointed by the BCC Makes recommendations on housing strategies Board recommends the proposed revisions Presentation Outline Background Revisions to Housing Strategies Action Requested Action Requested Approval of Resolution of the Orange County Board of County Commissioners regarding the State Housing Initiatives Partnership (SHIP) Program and the Orange County Local Housing Assistance Plan (LHAP) for State Fiscal Years 2012-2013, 2013-2014, 2014-2015; Certification to Florida Housing Finance Corporation; and State Housing Initiatives Partnership (SHIP) Program Local Housing Assistance Plan Amendment for State Fiscal Years 2012-2013, 2013-2014, 2014-2015. All Districts