Item O01
BOARD OF COUNTY COMMISSIONERS
AGENDA ITEM SUMMARY
Meeting Date: Dec. 17. 2003
Division:
BOCC
Bulk Item: Yes
No~
Department: DISTRICT 5
AGENDA ITEM WORDING: Discussion of adopting a plan to provide 100 homes a year on
individual lots for working families of Monroe County.
ITEM BACKGROUND: Many efforts have been made to provide workforce housing in Monroe
County. This housing is turned into market rate in a short time or has been occupied by non-working
families. Using land purchased by the Land Authority, Monroe County can provide affordable housing
to permanent workers while maintaining control over the housing stock forever. The State of Florida
will have to provide out-of-ROGO workforce housing credits and local banks will need to provide the
capital for infrastructure and land improvement.
PREVIOUS RELEVANT BOCC ACTION:
CONTRACT/AGREEMENT CHANGES:
STAFF RECOMMENDATIONS:
TOTAL COST:
N/A
BUDGETED: Yes
No
COST TO COUNTY:
SOURCE OF FUNDS:
REVENUE PRODUCING: Yes
No
AMOUNTPERMONTH_ Year
APPROVED BY: County Arty _ OMB/Purchasing _ Risk Management _
DOCUMENTATION:
Included
.~A~
MAYOR M Y E. NELSON
To Follow_Not Required_
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DIVISION DIRECTOR APPROVAL:
x
DISPOSITION:
AGENDA ITEM Ql
100 AFFORDABLE HOUSES IN ONE YEAR FOR FAMILIES
EARNING $44,000 OR MORE A YEAR
1. The Monroe County Land Authority using local realtors buys 100 dry
lots not exceeding 6,600 square feet each. The estimated cost is $2.6 to
$3 million.
2. These lots will be made available to any residents of Monroe County
who have earned 70% of their income in Monroe County for the last
three years. The Monroe County resident will be given a 99-year lease
for a single family dwelling on one of these lots.
3. Applicant would post an earnest bond of $5,000 to be returned at the
end of three years with earned interest.
4. If applicant fails to obtain financing and a contract to construct a single
family dwelling within one year, the lot would be made available to the
next party on the list. Bond would be returned to the original applicant
less actual expenses.
5. Applicant using a 90% construction loan has a qualified building
contractor provide a foundation structure, onsite wastewater and a three
bedroom, two-bath modular home on leased property. The County will
supply a list of participating contractors and manufacturers.
6. Applicant after three years of occupancy could sell the home to the
Monroe County Housing Authority and receive 3 % compounded al!nual
profit above the original cost of the home.
7. Home would then be sold to the next qualified resident on the list who
wished to occupy a used home.
8. Homes would stay the property of the bank providing the financing.
The land would always be owned by the Monroe County Housing
Authority through a land trust, thereby maintaining affordability for the
life of the home.
9. The applicant or their legal spouse must occupy home during the entire
time of occupancy or the Housing Authority would take a foreclosure
action.
10.Estimated cost to construct a three bedroom, 2 bath modular home with
all permits, wastewater, site prep, and sodding is approximately
$140,000 complete.
11. The estimated monthly payment for qualified buyers would be $1,100 -
$1,200 per month with interest, insurance and taxes.
12.This would be a pilot program that would provide 33 affordable homes
to qualified buyers in the lower, middle, and upper keys. Government
involvement would be minimal and the applicant using private funds
would obtain all permits, contractors and selection of home.
13.Permits would be issued by the Monroe County Planning Department at
cost.
14.Monroe County Housing Authority would have first right of refusal to
buy the home from an applicant who decided to sell a home and they
would act as middleman between the new applicants and the mortgage
holder.
15 . Using this method would scatter the homes throughout neighborhoods
that had similar homes and would help to overcome the NIMBY
attitude.
16.Total cost to Monroe County would be approximately $30,000 per
home and all purchase money would come from the Y2 penny bed tax
collected by the TDC and spent by the Monroe County Land Authority.
17.As these are TDC collected throughout the county, the 100 homes could
be located in the unincorporated county or the cities as long as the lot
price did not exceed $30,000 or the price set by the BOCC.
Murray E. Nelson, Mayor