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Item L1 * REVISED BACK-UP * . ,- BOARD OF COUNTY COMMISSIONERS . , AGENDA ITEM SUMMARY Meeting Date: ~tember 16. 2009 Division: Monroe County Housing Authority Bulk Item: Yes -L No - Department: Me SHIP Program Staff Contact PersonIPhone #: J. Manuel Castillo. Sr.. Executive Director 296~5621 AGENDA ITEM WORDING: A RESOLUTION OF THE BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY, FLORIDA APPROVING AN AMENDMENT TO THE 2008/200912010 LOCAL HOUSING ASSISTANCE PLAN AS REQUIRED BY THE STATE HOUSING INITIATIVES PARTNERSHIP (SHIP) PROGRAM, AUrnORIZlNG THE ADOPTION OF THE ~CITY OF KEY WEST IMPACT FEE PROVISO FUNDING (IFP) STRATEGY" AND THE SUBMISSION OF TIm CITY OF KEY WEST IMPACT FEE PROVISO FUNDING STRATEGY TO THE FLORIDA HOUSING FINANCE CORPORATION. ITEM BACKGROUND: The City of Key West submitted an application to the Florida Housing Finance Corporation for $2,000,000 for down payment assistance funding in DecembeJ;. 2008. The funding could only be utilized for acquisition of residential properties to assist State Housing Initiative Partnership (SHIP) program. income eligible applicants. The Monroe County Board of County Commissioners approved a resolution authorizing the use of the SHIP program as the delivery system to distribute Impact Fee Proviso Funding. The Florida Housing Finance Corporation awarded Impact Fee Proviso Funding in the amount of $2,0001000 to the City of Key West in March, 2009 subject to the SHIP program roles. PREVIOUS BLEV ANT ~CC ACTION: Adoption of Resolution 512-2008 wherein the BOCC authorized the Momoe County SHIP Program Administrator to administer a special award of down payment assistance funds to the City of Key West, Florida effective December 10, 2008 at no cost to the County. CONTRACT/AGREEMENT CHANGES: Amendment of the 2008~2009-20 1 0 Monroe County Local Housing Assistance Plan by adopting the City of Key West Impact Fee Proviso Funding Strategy. STAFF RECOMMENDATIONS: Approval. TOTAL COST: 0.00 INDIRECT COST: BUDGETED: Yes _No x COST TO COUNTY: 0.00 SOURCE OF FUNDS: REVENUE PRODUCING: vest AMOUNTPERMONTH V...r APPROVED BY: COIDlty Ally - ~MBlPurcbooing_ Risk Managemont_ - DOCUMENTATION: Incl tled X NotRequired_ DISPOSITION: d _ AGENDA ITEM # Revised ]/09 * REVISED BACK-UP * (a MONROE COUNTY HOUSING AUTHORITY II To: Pedro Mercado Assistant County Attorney From: Marie Brouillette MC SHIP Coordinator Cc: J. Manuel Castillo~ Sr. Kathy Peters Connie Cyr Date: September 2~ 2009 , Re: Agenda Item Summary: Monroe County SHIP LHAP - City of Key West Impact Fee Proviso Funding Strategy (IFP) Pedro, Further to my email of today' s date regarding the above named SHIP Strategy please note the following. Pursuant to the City of Key West Commission Meeting held Monday~ September 1 ~ 2009 the following changes were made to the submitted City of Key West Impact Fee Proviso Funding Strategy (IFP). This Agenda Item was submitted to the MC BOCC yesterday for approval at the September 16th, 2009 meeting. The changes are highlighted in the attached revised strategy as follows: a. Summary of the Strategy: Add: . . . up to Mile Marker 12 upon authorization by Florida Housing Finance Corporation ... c. Income Categories and funding set-asides: Add: .. . Funding set-asides may be reallocated within the above income levels if funds cannot be obligated in 90 days, upon authorization by Florida Housing Finance Corporation. h. Additional Information: Delete - Buyers must contribute a minimum of 3%... Add: Buyers must contribute a minimum of the sales prices of the unit as a down-payment as follows: Very-low income 1% Low income 2% Moderate Income 3% Delete: The size of a home. ....chart. All other items remain the same. Please contact me should you require any other clarification. Thank you. , l. C r,{f,.r\'.'/V)j "' k2l{ ([:1;-1 '<t r,i G ) / It (7 B. (I) Name of the Strategy: HOUSING ASSISTANCE STRATEGY FOR THE) '-/ " CITY OF KEY WEST IMP ACT FEE PROVISO (IFP) FUNDING a. Summary of the Strategy: Funding assistance for the purchase of residential properties located within the city limits of the City of Key West, Florida and up to Mile Marker 12, '-!pon authori"Z3tion by ~lorida Housing Finallce rQ.f.fiQ(~.tion including condominiums and town-homes. hnpact Fee Proviso (IFP) funds may not be used to purchase mobile homes. b. Fiscal Years Covered: 2009~2010, 2010-2011 c. Income Categories and funding set-asides: Very low / $600,000; Low / $600,000; Moderate / $800,000 income households. Funding set..:asides may be reallocated within the above income levels jffunds can lIot be obligated in 90 days. u~uthoriz.ation bv FIorrda Housing Finance CorpQra:don" d. Maximum award: The IFP Mortgage loan is not to exceed the amount necessary to ensure the eligible purchaser's principa4 interest, real estate taxes and insurance (PIT!) payment does not exceed 33% of their annual household income and/or an 80% loan to value, whichever is higher. The purchase price of the housing unit may not exceed $400,000. Inspection costs in excess of the maximum award will be a program expense, shall not exceed $350.00 and will be a grant to the borrower. e. Terms, Recaptur~ and Default: IFP Mortgage loans will be a deferred payment loan for a period of thirty (30) years with zero % interest. The mortgage shall include standard provisions for enforcement of the tenus and conditions contained in the mortgage including judicial remedies. The loan will be due and payable in full upon sale or transfer ofthe property, thirty (30) years, failure to comply with the terms of the SIDP mortgage or death of the last surviving homeowner. In the event of the death of the last surviving homeowner, any income eligible heir residing in the home may assume the SHIP Loan as long as they can obtain title to the entire property within one (1) year of the death ofthe last surviving homeowner and the first mortgagee consents to the assumption 0 f their loan. ( :-; "I \.,...; \ ) "' I.- I. I \ I J I 1"". I ~;~"V,i\,,- .\', , f. Eligibility Requirements; 1. Applicants must derive at least 70% of their income from gainful employment in Key West. 2. Applicants may not own a second home. 3. The dwelling unit purchased must be owner occupied. 4. The dwelling unit purchased must be financed with a federally insured financial institution. In the event other financing methods are utilized and approved by the SHIP Administrator, the SHIP Note and Mortgage must be a first mortgage. g. Recipient Selection Criteria: Funding is available for commitment to individual applicants who have valid contracts for purchase for eligible homes and secured a fIxed rate or an adjustable rate with the first fIve years fixed first mortgage (no reverse or interest only mortgages will be considered) on a "first come / first ready basis" . In the event there are more applicants than funds available for any income set-aside, upon completion of the initial advertising, a lottery will be utilized to determine what order applicants can participate. Applicants who have been determined to be income eligible for program assistance will be placed on a lottery waiting list and receive a SHIP Commitment based on their position on the lottery waiting list. Applicants must execute a contract for a housing unit and secure a loan commitment within 45 days of receiVing their SHIP Commitment. Short sales are not considered a contract until all parties have executed the agreement. Applicants must close within 90 days of receiving a SHIP Corrnnitment. Applicants may submit a completed application to the Monroe County SHIP Office at any time, unless the waiting list is closed or until funding is expended. h. Additional Information: B 'Jy-ers "nus{ cent dbute- a m.iHi Il1U 111" of 3 % of t-he safes prt€.e~-ef th.e uuit as-a :O'.Yll p'ayment., Buvers must cont"rib\1te"a minimUJil 'of the sales prEce of ~he un.i~.s it down-payment a-s tollov.,'s: 'V~J.9W Income l~ Low Income .+%Q. Moderatr.l.l;l.come 3% The property must meet minimum health and safety standards as defined under the D.S Department of Housing and Urban Development's, Housing Quality Standards (HQS). The size of a hotl-le an appHe-airt~ purchase shall be gByerood b:t" family €ompbsit lorl as. out lined in the.fQ Eo"'.': iag chJit. Peflea~. jn.l.{-OU~-a1 Persons fft ~cl Bedr.wiil Siz.c (Mialimtm7 fMax-imam, I Bedret)m l .flc"rsQu 1 v.eopje ~ Bedroom +-porsell .<I people ~In ;-.p ee-pt.e. 5 people ~f6om 1 people g pw-pJe i. Maximum Sales Price: The maximum sales price shall be $400,000.00 j. Shared Appreciation Provision: , All funds under this strategy are subject to a mortgage that shall contain recapture provisions which provides for shared appreciation between the buyer(s) and the Monroe County SIDP Program's Housing Assistance Strategy For The City Of Key West Impact Fee Proviso Funding unless the unit is regulated by a recorded affordable housing restrictive covenant. The amount due the Strategy upon sale or transfer of the property shall be 50% of the appreciated value. The appreciated value shall be the difference between the original purchase price and the sales prices less any real estate commission and less the value of any permitted improvements. k. Program Income: Repayments from this strategy may only be utilized to purchase properties within the city limits ofthe City of Key West and up to I\1ile Marker 12. lJ,JlQ!l autltori,?:.atioH by Florida Hoo:;;ing Fina.l~j:.&w:.oraticin. RESOLUTION NO. , 2009 A RESOLUTION OF THE BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY, FLORIDA APPROVING AN AMENDMENT TO THE 2008/2009/2010 LOCAL HOUSING ASSISTANCE PLAN AS REQUIRED BY THE STATE HOUSING INITIATIVES PARTNERSHIP (SHIP) PROGRAM, AUTHORIZING THE ADOPTION OF THE "CITY OF KEY WEST, FLORIDA IMP ACT FEE PROVISO FUNDING (IFP) STRATEGY" AND THE SUBMISSION OF THE STRATEGY TO THE FLORIDA HOUSING FINANCE CORPORATION. WHEREAS, the Florida State Legislature provided $20,000,000 in down- payment assistance funding under the 2008 Appropriation Act, Specific Appropriation 1616; and ~ ( WHEREAS, The City of Key West, Florida applied for and was awarded $2,000,000 in Down Payment Assistance /Impact Fee Proviso (DP AlIFP) Funding; and WHE~AS, the Florida Housing Finance Corporation is responsible for administrating the DP AlIFP funds, and selected the State Housing Initiatives Program (SHIP) as the financial delivery system for these funds; and WHEREAS, the Board of County Commissioners of Monroe County authorized the Momoe County SHIP Program Administrator to administer the special award of DPAlIFP funds to the City of Key West, Florida effective December 17, 2008 by virtue of BOCC Resolution 512-2008; and WHEREAS, this award of DP AlIFP funds shall be called the "City of Key West Impact Fee Proviso Funding (IFP) Strategy"; and WHEREAS, the City of Key West, Florida Board of Commissioners has approved this strategy. NOW, THEREFORE, BE IT RESOLVED, by the Board of County Commissioners of Monroe County Florida, that the County hereby: Authorizes the amendment to the 2008/2009/2010 Monroe County Local Housing Assistance Plan to incorporate the "City of Key West Impact Fee Proviso Funding" (IFP) Strategy and submit this strategy to the Florida Housing Finance Corporation. PASSED AND ADOPTED by the Board of County Commissioners of Monroe County, Florida at a regular meeting of said Board held on the 16th day of September, 2009. Mayor George Neugent - Mayor Pro Tern Sylvia Murphy - Commissioner Mario DiGennaro Commissioner Kim Wigington - Commissioner Heather Carruthers - (SEAL) A TrEST: DANNY L. KOLHAGE, Clerk BOARD OF COUNTY COMMISSIONER OF MONROE COUNTY, FLORIDA By: By: Deputy Clerk Mayor George Neugent Approved as to legal sufficiency: Date: RESOLUTION NO. A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF IillY WEST~ FLORIDA) ADOPTING THE HOUSING ASSISTANCE STRATEGY FOR THE CITY OF KEY WEST IMPACT FEE PROVISO FUNDING; PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the City of Key West approved a reduction in impact fees by twenty-five (25%) for eighteen (18) months; and WHEREAS, tbe City applied for and received Impact Fee Proviso funding in the amount of $2,000,000 for the Florida Housing Finance Corporation pursuant to Special Appropriation 1616;and WHEREAS, the City authorized the Housing Authority of the City of Key West, Florida to act as the agent for the City of Key West in the implementation of said funds. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF KEY WEST, FLORIDA AS FOLLOWS: Section 1 : Authorize the Housing Authority of the City of Key West, Florida to request the Monroe County Board of County Commissioners to revise Momoe County's State Housing Initiative Partnership Program (SHIP) Local Housing Assistance Plan (LHAP) providing for the Housing Assistance Strategy for the City of Key West Impact Fee Proviso (IFP) Funding as attached here to. Section 2: Authorize the Housing Authority of the City of Key West, Florida to prepare and advertise a Notice of Funding Availability (NOF A) in accordance with the City of Key West utilizing State of Florida Impact Fee Proviso Funding awarded by the Florida Housing Finance Corporation, Section 3: That this Resolution shall go into effect immediately upon its passage and adoption and authentication by. the signature of the presiding officer and the Clerk of the Commission. Passed and adopted by the City Commission at a meeting held this 1st day of September, 2009. Authenticated by the presiding officer and Clerk of the Commission on the 1st day of September, 2009. Filed with the Clerk on ,2009. , .- ~ MORGAN MCPHERSON, MAYOR A TIEST: CHERYL SMITH, CITY CLERK B. (I) Name of the Strategy: HOUSING ASSISTANCE STRATEGY FOR THE CITY OF KEY WEST IMP ACT FEE PROVISO (IFP) FUNDING a. Summary ofthe Strategy: Funding assistance for the purchase of residential properties located within the city limits ofthe City of Key West, Florida and up to Mile Marker 12, upon authorization by Florida Housing Finance Corporation including condominiums and town-homes. Impact Fee Proviso (IFP) funds may not be used to purchase mobile homes. b. Fiscal Years Covered: 2009-2010,2010-2011 c. Income Categories and funding set-asides: Very low / $600,000; Low / $600,000; Moderate / $800,000 income households. Funding set-asides may be reallocated within the above income levels if funds can not be obligated in 90 days, upon authorization by Florida Housing Finance Corporation. d. Maximum award: The IFP Mortgage loan is not to exceed the amount necessary to ensure the eligible purchaser's principal, interest, real estate taxes and insurance (PIT!) payment does not exceed 33% of their annual household income and/or an 80% loan to value, whichever is higher. The purchase price of the housing unit may not exceed $400,000. Inspection costs in excess of the maximum award will be a program expense, shall not exceed $350.00 and will be a grant to the borrower. e. Terms, Recapture and Default: IFP Mortgage loans will be a deferred payment loan for a period oftlllrty (30) years with zero % interest. The mortgage shall include standard provisions for enforcement of the terms and conditions contained in the mortgage including judicial remedies. The loan will be due and payable in full upon sale or transfer of the property, thirty (30) years, failure to comply with the terms ofthe SHIP mortgage or death ofthe last surviving homeowner. In the event ofthe death of the last surviving homeowner, any income eligible heir residing in the home may assume the SHIP Loan as long as they can obtain title to the entire property within one (1) year of the death of the last surviving homeowner and the first mortgagee consents to the assumption of their loan. f. Eligibility Requirements; 1. Applicants must derive at least 70% of their income from gainful employment in Key West. 2. Applicants may not own a second home. 3. The dwelling unit purchased must be owner occupied, 4. The dwelling unit purchased must be financed with a federally insured financial institution. In the event other financing methods are utilized and approved by the SHIP Administrator, the SHIP Note and Mortgage must be a first mortgage. g. Recipient Selection Criteria: Funding is available for commitment to individual applicants who have valid contracts for purchase for eligible homes and secured a fixed rate or an adjustable rate with the fIrst fIve years fixed fIrst mortgage (no reverse or interest only mortgages will be considered) on a "first come / first ready basis" . In the event there are more applicants than funds available for any income set-aside, upon completion of the initial advertising, a lottery will be utilized to determine what order applicants can participate. Applicants who have been determined to be income eligible for program assistance will be placed on a lottery waiting list and receive a SHIP Commitment based on their position on the lottery waiting list. Applicants must execute a contract for a housing unit and secure a loan commitment within 45 days of receiving their SHIP Commitment. Short sales are not considered a contract until all parties have executed the agreement. Applicants must close within 90 days of receiving a SHIP Commitment. Applicants may submit a completed application to the Monroe County SHIP Office at any time, unless the waiting list is closed or until funding is expended. h. Additional Information: Buyers must contribute a minimum of the sales price of the unit as a down-payment as follows: Very-low Income 1% Low Income 2% Moderate Income 3% The property must meet minimum health and safety standards as defined under the V.S Department of Housing and Urban Development's, Housing Quality Standards (HQS). i. Maximum Sales Price: The maximum sales price shall be $400,000.00 J. Shared Appreciation Provision: All funds under this strategy are subject to a mortgage that shall contain recapture provisions which provides for shared appreciation between the buyer(s) and the Monroe County SHIP Program's Housing Assistance Strategy For The City Of Key West Impact Fee Proviso Funding unless the unit is regulated by a recorded affordable housing restrictive covenant. The amount due the Strategy upon sale or transfer of the property shall be 50% of the appreciated value. The appreciated value shall be the difference between the original purchase price and the sales prices less any real estate conumssion and less the value of any permitted improvements. k. Program Income: Repayments from this strategy may only be utilized to purchase properties within the city limits ofthe City of Key West and up to Mile Marker 12, upon authorization by Florida Housing Finance Corporation. Housing Authority of the City of Key West) Florida 1400 Kennedy Drive, Key West, FL 33040 Phone: (305) 296-5621 Fax: (305) 296-0932 Board of Commissioners Executive Director Frank Toppino J. Manuel Castillo, Sr. Bob Dean Juanita Mingo John G. Parks, Jr. Roosevelt Sands, Jr. EXECUTIVE SUMMARY IMP ACT FEE PROVISO FUNDING The City of Key West submitted an application prepared by the,Housing Authority of the City of Key West, Florida to the Florida Housing Finance Corporation for $2,000,000 for down payment assistance funding in December, 2008. The funding could only be utilized for acquisition of residential properties to assist State Housing Initiative Partnership (SHIP) program income eligible applicants. The Monroe County Board of County Commissioners approved a resolution authorizing the use of the SHIP program as the delivery system to distribute Impact Fee Proviso (IFP) Funding. The Florida Housing Finance Corporation awarded Impact Fee Proviso Funding in the amount of $2,009,000 to the City of Key West in March, 2009 subject to the SHIP program rules. On April 23,2009 the City Commission authorized the Housing Authority to act as the agent for the City for the IFP program and requested Commissioner Gibson to serve as IFP Liaison. The Housing Authority established an advisory committee to make recommendations regarding the Housing Assistance Strategy for the Impact Fee Proviso Funding. The committee was comprised of: Barry Gibson, Key West City Commissioner John Parks, Key West Housing Authority Commissioner Mark Rosch, Executive Director-Monroe County Land Authority Omar Garcia, City of Key West Community Housing Committee Chairperson Jon Ashby, Esq. City of Key West Community Housing Committee Member John Dolan-Heitlinger, Consulting in Solutions & Metrics (Banking Professional) Paul Clayton, City of Key West Workforce Housing Coordinator The committee reviewed much information to include market and real estate data, financing scenarios and participated in lengthy discussions and recommends the attached strategy for the Commissioner's consideration. Also attached is a brief program summary and background information. 2009 MONROE COUNTY & CITYOF KEY WEST INCOME LIMITS Effective: March 19, 2009 2009 Monroe County, Median Income $69,200.00 Program Income Maximums, Adjusted for Family Size 50% 80% 120%. Household Size Very Low Low Moderate One Person $ 26,300 $ 42,100,; $ 63,120 Two Persons $ 30,100 $ 48,100 $ 72,240 Three Persons $ 33,850 $ 54,150 $ 81,240 Four Persons $ 37,600 $ 60,150 $ 90,240 Five Persons $ 40,600 $ 64,950 $ 97,440 Six Persons $ 43,600 $ 69,750 $ 104,640 Seven Persons $ 46,600 $ 74,600 $111,840 ElQ ht Persons $ 49,650 $ 79,400 $ 119,160 Categories: ' Very Low = 0% to 50% of Median Low := 51 % to 80% of Median Moderate = 81% to 120% of Median CITY OF KEY WEST . IMPACT FEE PROVISO FUNDING INCOME LIMIT TARGETING & seT ASIDES ESl1MA TE SET ASIDE LOAN # OF HOMES INCOME LIMIT AMOUNT LOW HIGH LOW HIGH Very Low 50% $ 600,000 $ 150,000 $ 200,000 4 3 Low 80% $ 600,000 $ 100,000 $ 120,000 6 5 Moderate 120% $ 800,000 $ 50,000 $ 80,000 16 10 Total: $ 2,000,000 ,< 26 18 j , I,. 0 0000 000 0 t-roN lD ~ 01001.0 1.0 0 t-OOl I-.. oNlOt- t-_ 0 lONN 0 0 o-N"o-...-- ...- 6 ...- N ill '<t m I.O...-...-LO ro ~ r0 ' ("') N ~ , w 0 0000 000 0 ("')CON .... 0 "'" OlOO!!) 10 0 Nr0m 10 0 N oom...... ..... o. 0_"'- ..... t"':l. 2 N ci ro- <0 y-- LO- (D ...- .... N t- r0 I ("') 00 l' N N ...- , 0 0000 000 0 LOooN '<t 10 OLOOlO '<1".... LOom Jl) y- ON!!)t- 01-.. ...-NN ut ci ci c,i ci ~ oi (',,r y- ....- "<t co LO..-...-LO o'<t ("') I ("') N..- 1 I B 0 0000 0)..-0 0 L!)CON t"':l --1 0 OIOOLO r0.... mr0O) N ...- 000>"- 0.... 0) ..- ...- <'t o:i ciro-co.~ ci~ ..... 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E .9- Ql ro w N ......l .- Ql 0 0 -0- L- QlU)w ~uD .- u.. u.. ro .E lE ~ lJ,...-- E~E II) VI (fj 0....... "cU)U) '0 0... 0:: E o E 8 o ;l U) (/l VI Yl .....-Ql W Cll Q) c g ro c ::lo.........l ......l...J...J 'C _lJ,..._ 0... 0... <_. . , ~ make'holJ~lllg crikwloble --.-- ..------------- F;orida H:o"using 227 Norlh Bro~ough Streel, Suite 5000 · 1c!lohome, Florida 32301 . . .",.:" 850,1188.4197" fox 850.488.9809 · www.florldanousing.ofg fin 0 n -Z-;;--Corp-o-;:--~--;r; March 17,2009 Mr. Morgan McPherson City of Key West p, O. Box 1409 Key. West, Florida 3304] RE: Imp"act Fee Proviso Funding Dear Mr. McPherson: The Flodda Housing Board' of Directors approved funding in accordance with the following legislative provision at their March 13, 2009 meeting: From the funds in Specific Approp'rlation 1616) $20,000,000 in non-recrlrring funds in the State Housing Trust Fund shan. be rlSedfw hom(!ownership assistance in counties and municipalities in the state wltich have reduced impactJees within the twelve months prior to tlte effective date of this act, or reduce'lmpactfees subsequent to the effective date of this act, bya miuimum of 25%[or a period not ! less thalt 18 montlts, of which i1!'pose no impactfees entirely for ho~owne(ship purposes. The amount of funding approved by the Board for the City of Key West is $2,000,000. This award is canting-ent on availability of funds appropriated bv the Florida Legislature, If funds become unavailable for anv reason. this award will be rescinded. These funds ~ay be draV\l!l down as they are encumbered provided all requirements of the proviso and funding are being met using the attached fohn. As stated in the original document for this proviso, there is no provision for administrative costs in this legislation. If the requirements of the proviso are no longer being met or the status of compliance changes at any time during the period offunding, the City is required to inform Florida Housing immediately. Additionally, any funds that are not expended by June 30, 2010 will be recaptmed by Florida I-lousing. . . If you have any questions regarding this information, please contact me. a obert duff Y SHIP Administl '0 ......._;-_._._,_..............___........................-~__._.......-._--~.......""'w.._....._---_.......-....-..---.---_..------..~........_."""'-~..........~....................---_-.- Charlie CriSI, Governor Boord 01 Direciorl' David E. Oollaticn, Clwitmon . Sluorl Scnoroge, Vice Chairman · Tom pelhum, E~ Orf-ido ...KOI\ Foitmon . Jerry Maygorden . Marilyn l. Sotoyer · Lynn Slullz , Slephen P. Auger, Executivo Direclor . Impact Fee Proviso Meeting Summary Background On Wednesday, October 29, 2008 at 2 PM, Florida Housing held a Public Meeting to discuss the Impact Fee Proviso approved by the Florida Legislature. The meeting was intended to be available for in person a1t~ndanceas weil as par'ticipation via telephone. Due to issues with call-in numbers, the meeting was not accessible to everyone that attempted to call-in or was only accessible after some delay, The information W<lS repeated several times to attempt to inform all interested parties. This summary is being provided to ensure that the information discussed in the meeting is provided to everyone. Meeting Purpose The Public M~eting was to discuss the implementation of the following legislative proviso: From thefunds in Specific Appropriation 16161. $20,000,000 in non-recurring funds in the State Housing Trust Fund shall be usedfor homeownership assistance in counties and municipalities in the state which have reduced imp(lctfees within the twelve months prior to the effective date of this act, or reduce impactfees subsequent to the r;.ffective date of this act, by a. minimum of25%for a period not less than 18 months, or } which impose no impactfees entirely for homeownership purposes. Florida Housing is contemplating administering the funds tlrrough the State Housing Initiatives Partnersl:ip (SHIP) program, Summary Florida Housing provided a general summary of the intent of the impact Fee Proviso: 1. The purpose of this proviso is to incentivize a jurisdiction to reduce impact fees on.new construction to stimulate construction. 2. Funds are to be used for homeownership assistance including, but not limited to, down payment assistance, foreclosure prevention and rehabilitation. 3.' Funds will need to be committed and spent in a short time frame (1 year from the award offunds). 4. FLmds are intended to reducf~ the amount of excess housing stock. 5. Funds are intended to assist homeowners in the very low, low and moderate incorne categories. Jurisdiction Eligibility In order to be eligible to receive funding under this proviso, the SHIP eligible jurisdiction must: _.~ ------- --~_.... -.--,.- ro 'E s:; rJ) rJ) rJ) rJ) rJ) rJ) rJ) rJ) rJ) Q} ~rv (l)0) CD (l) (l) CDrv Q) QJ ._ ~ >- >- >- >- >- >- >- >- >- .S: ,r'- ... ,.:; Q) f...... u _._ ,__ --- -- -- ------- -- ,-- 1---'--- - -~---- ~ . , 4- '" c:: 1:: <(0 (/) (/)rJ)E$ rJ)...... rJ) 010 :02 ...... +> mm.... IDe) Q) em 1::c::: :.0'- 0) a; $ ~ u::: N $ ro $ rJ)'- 0.. (/) ~ (j) ._ ill ,.. ~...... ...... c >- .... 0... (/) ~ (j) 't5 E Q) :::> .c O'l ... 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Q __9..._. ~_ _S?_, ..S2_.f>_ ....__..> O!-.... i< c; t ~ 'RESOLUTION NO. 08-330 A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF KEY WEST, FLORIDA, AUTHORIZING THE REDUCTION OF IMPACT FEES BY TWENTY-FIVE PERCENT (25%) FOR THE NEXT EIGHTEEN MONTHS; PROVIDING FOR REVIEW BY BOND COUNSEL; PROVIDING FOR AN EFFECTIVE DATE "WHEREAS the Florida Legislature recently passed the 2008 General Appropriations Act, including specific appropriation 1616; and , ' WHEREAS, the Act specifies that the State Housing Trust Fund shall be used for homeowners hip assistance in counties and municipalities in the state which have reduced impact fees within the twelve (12) months prior to the effective date of this act, or I reduce impact fees subsequent to the effective date of this act, by a minimum of twenty-five percent (25%) for a period not less than eighteen (18) months, or which impose no impact fees entirely for homeownership purposes; and WHEREAS, up to two (2 ) million dollars in funding is available under the program. NOW, THEREFORE, .BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF KEY WEST, FLORIDA, AS FOLLOWS: Section 1: A reduction in impact fees by twenty-five percent (25%) for the next eighteen (18) months is hereby approved, subject to the review specified in Section 2 below. Section 2: Bond counsel shall review such reduction to ensure it does not negatively impact any revenues currently subject to bonding. Section 3: The City manager shall take any further consistent action necessary to implement this reduction. Section 4: That this Resolution shall go into effect immediately upon its passage and adoption and authentication by the signature of the presiding officer and the Clerk of the Commission passed and adopted by the City Commission at a meeting held this 2nd day of December I 2008. Authenticated by the presiding officer and Clerk of the Conunission on December 3 I 2008. Filed with the Clerk December 3 / 2008. : ~ ) Page 1 of 1 Marie Brouillette - - . From: Darlene Raker [Darlene.Raker@floridahousing.org] Sent: Tuesday, September 01,2009 9:24 AM To: Marie Brouillette Subject: City of Key West This is to confirm that the City of Key West is indeed eligible and approved for funding from the Impact Proviso Program as confirmed by Resolution number 08-330. If I can be of further assistance please let me know. Darlene Raker, SHIP Program Manager Florida Housing Finance Corporation 227 North Bronough St., Suite 5000 Tallahassee, FL 32301 (8S0) 488-4197 911/2009