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Resolution 544-2024 ,) 0 / IP9 wc�in> RESOLUTION NO. 544 -2024 A RESOLUTION OF THE BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY, FLORIDA, ESTABLISHING THE MONROE COUNTY AFFORDABLE TOURISM HOUSING PROGRAM FOR PURPOSES OF FUNDING AFFORDABLE HOUSING DEVELOPMENT PROJECTS WHICH PROVIDE AFFORDABLE HOUSING AVAILABLE TO EMPLOYEES OF PRIVATE SECTOR TOURISM-RELATED BUSINESSES IN THE COUNTY IN ACCORDANCE WITH CH. 24-219, § 4, LAWS OF FLA.; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, Ch. 24-219, Laws of Fla., (SB 1456) became effective on July 1, 2024; and WHEREAS, Ch. 24-219, § 4, Laws of Fla., provides that counties, which are designated as an Area of Critical State Concern (ACSC), and which levy both a tourist development tax pursuant to F.S. 125.0104, and a tourist impact tax pursuant to F.S. 125.0108, may use any accumulated surplus from such taxes collected through September 30, 2024, not to exceed $35 million, whether held by the county directly, or by a land authority in the county created pursuant to F.S. 380.0663, for purposes of providing housing which is available to employees of private sector tourism-related businesses in the county; and WHEREAS, Ch. 24-219, § 4, Laws of Fla., further provides that any housing financed with funds from the surplus may be used only for purposes of providing "affordable" housing, as defined in F.S. 420.0004, for a period of no less than 99 years; and WHEREAS, pursuant to F.S. 420.0004, for one or more natural persons or a family, the total annual adjusted gross household income must be less than 120 percent of the median annual adjusted gross income for households within the state; and WHEREAS, Ch. 24-219, §4,Laws of Fla.,further provides that expenditure of such funds is subject to approval by a majority vote of the BOCC; and WHEREAS, in anticipation of Ch. 24-219, Laws of Fla.,becoming law, on May 15, 2024, the Board of County Commissioners (BOCC)passed Monroe County Ordinance 018-2024,which authorized the "accumulated surplus" funds to be transferred to an account to be held directly by the County or Land Authority and authorized for use in accordance with state law; and WHEREAS,within said Ordinance,the BOCC stated that"[t]he BOCC will adopt a policy or resolution setting forth the process for distribution and expenditure of accumulated funds for Page 1 of 6 affordable housing in accordance with the conditions as set forth in SB 1456"; and WHEREAS, the BOCC wishes to adopt through resolution a policy setting forth the program parameters, restrictions, and conditions for evaluation of potential affordable housing projects which qualify for this funding and the subsequent distribution and expenditure of the accumulated funds for selected affordable housing projects in accordance with the requirements as set forth in Ch. 24-219, § 4, Laws of Fla. NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY, FLORIDA: SECTION 1: RECITALS AND LEGISLATIVE INTENT. The foregoing recitals and statements of legislative intent are true and correct and are hereby incorporated as if fully set forth herein. SECTION 2: PURPOSE AND INTENT. The Monroe County Affordable Tourism Housing Program ("Program") is hereby established. The purpose and intent of the Program is to facilitate the purchase, development, construction, and/or rehabilitation of affordable housing projects which meet the Program guidelines and requirements as set forth in this Resolution,which may be amended from time to time. SECTION 3: DEFINITIONS. (A) Affordable shall have the same meaning as § 420.0004, Florida Statutes. (B) BOCC shall mean the Monroe County Board of County Commissioners. (C) Land Use Restriction Agreement (L URA) shall mean a deed restriction restricting the units purchased, developed or rehabilitated using funding from this Program as affordable for a period of no less than 99 years. (D) Private Sector Tourism-Related Businesses shall mean those businesses physically located and operating within Monroe County, and who fall within one (1) or more of the following 2022 North American Industry Classification System (NAILS) Categories: 1. Sector 71. Arts, Entertainment, and Recreation. 2. Sector 72. Accommodation and Food Services. 3. Subsector 487 of Sector 48-49. Scenic and Sightseeing Transportation. (E) Program shall mean the Monroe County Affordable Tourism Housing Program. (F) Project(s) shall mean affordable residential housing consisting of one (1) or more residential dwelling unit(s) and which meet the Program requirements. (G) Qualified Employees shall mean employees of private sector tourism-related businesses who meet the affordable income qualifications and who possess no ownership interest in a residential property in Monroe County or the contiguous counties of Miami-Dade and Collier counties. (H) Surplus funds shall mean accumulated excess of revenue in an amount not to exceed $35,000,000.00. Page 2 of 6 SECTION 4: PROGRAM GUIDELINES. The Program will provide financial assistance for the purchase, construction, or redevelopment of affordable housing Projects subject to the following guidelines: (A)Types of Projects 1. The following types of projects will be considered for complete or partial funding: a. New construction of residential dwelling unit(s); b. Rehabilitation of residential dwelling unit(s); c. Purchase of existing parcel(s), developed or undeveloped; d. Purchase of existing residential unit(s) or development(s); and/or e. A mix of any of the above. (B)Types of Residential Units. 1. Projects should include the following type(s) of housing units, in order of preference: a. studio/efficiency apartment(s); b. 1 bedroom / 1 bathroom apartment(s); c. 2+bedroom/bathroom apartment(s); and/or d. Family type units with multiple bedroom/bathrooms. 2. Projects with multiple residential units may include a mix of these types of residential units. (C)Types of Qualified Employees 1. Projects should prioritize the following type(s) of Qualified Employees, subject to affordability criteria, in order of preference: a. Single employees; b. Employees with dependents; c. Entry-level employees; and/or d. Managers. (D)Additional Considerations. 1. Any and all Projects which involve one or more of the following will be given greater weight in consideration: a. Projects which propose partnerships with existing governmental entities, i.e., Key West Housing Authority, Monroe County Housing Authority, Monroe County Land Authority; b. Projects which propose partnerships with existing non-profits that have demonstrated the ability to develop affordable housing in Monroe County, meaning who have developed at least ten (10) affordable housing units over the past 5 years; c. Scattered site(s) developments which utilize existing scarified single-family lots that have no protected habitat; d. Projects which propose allowing Monroe County to utilize the rental income, after necessary deductions for administration, building reserves, etc., for inclusion in a separate interest-bearing Page 3 of 6 account to be used in the future to provide additional affordable housing within Monroe County. 2. The following types of Projects shall not be funded: a. Projects which are already funded and required to provide affordable housing; and/or b. Projects required to be built pursuant to inclusionary housing requirements and/or development approvals linked to a market- rate and/or commercial project. 3. Projects which shall also be considered, in no order of preference: a. Public-Private Partnerships (P3s); and/or b. Purchase of existing residential dwelling developments with a county lease back to original owner for management and lease with required LURA restrictions on the subject property. SECTION 5: REQUIREMENTS. Any and all Projects selected for funding by Monroe County are subject to the following requirements: (A)Application to Monroe County for funding; (B)Encumbrance of funding for a specific Project is subject to approval of a majority vote of the BOCC by separate Resolution; (C)Prior to distribution of funds, recording of a LURA drafted and provided by the Monroe County Attorney's Office; (D)No amount of the funding in this program may be used to develop commercial property; (E) Only rental residential dwelling unit(s) shall be considered; (F) Any other requirements in this Resolution, as may be amended from time to time; and (G)Any other requirements as may be outlined in the specific project funding Resolution, as may be amended from time to time. SECTION 6: COUNTY GUIDELINES. (A)The County Administrator shall facilitate the Program and delegate responsibilities of the Program to county staff as deemed necessary in his/her sole discretion,which should include, but not necessarily be limited to, an application process and a webpage. County Administrator may enlist third-party reviewers or administrators for income and employment verification. (B)Application package should include, at a minimum: 1. Detailed description of the project, including address/Parcel ID and business plan, if applicable; 2. Included or potential building plans, if any; 3. Any current land restrictions; 4. Amount of funding requested and detailed documentation to support request. (C)Staff shall review and evaluate Project applicants and provide a written recommendation to the BOCC for approval/disapproval of funding along with a Page 4 of 6 draft Resolution, if applicable. Staff may, in its discretion, seek additional information from the applicant(s)prior to finalizing staff recommendations. (D)When reviewing and evaluating Projects, staff should consider allocation of the surplus funds by the percentage of total funding earned within the geographical boundaries of the tax collection districts as defined in Monroe County Code of Ordinances Chapter 23, Article VI. (E)Funding shall only be issued after a project has received building permits and all funding needed to complete the project has been approved as demonstrated by loan commitments, to assure the project can be completed. SECTION 7: TENANT ELIGIBILITY. (A)Only Qualified Employees who meet the affordable income qualifications in § 420.0004, Florida Statutes, shall be eligible to apply for rental of any residential dwelling unit(s)purchased and/or funded by this Program. (B)Tenants will be required to submit proof of eligibility at the time of application and again at the time of annual lease renewal. (C)Only one full-time resident of the household needs to be, and remain, an employee of a private sector tourism-related business for the household to qualify. All members of the household must meet the affordable income limits, according to the local government affordable housing regulations, which differ amongst local governments in the county. SECTION 8: TENANT LEASE TERMS. Any and all leases to tenant(s) for dwelling unit(s)purchased and/or funded by this Program shall meet the following requirements: (A)Shall be in writing; (B)Shall reference the LURA; (C)Any and all rental leases to tenant(s) shall be for a period of one (1)year. (D)Lease may only be renewed subject to the BOCC's rules of the Program which include, but are not limited to, tenant income and employment eligibility. (E)Lease shall include an early termination provision in the event the qualified applicant(s) is/are no longer eligible. (F) Maximum monthly rental rates shall not exceed the applicable annual Monroe County Maximum Monthly Rental Rates unless the rental residential dwelling unit(s)is/are located within the physical geographical boundaries of the City of Key West, Marathon, or Islamorada. In that case, the tenant shall be subject to the City of applicable Cities' Maximum Monthly Rental Rates for the respective income category. SECTION 9: CONSTRUCTION AND INTERPRETATION. This Resolution, being necessary for the health, safety, and welfare of the residents of and visitors to Monroe County, shall be liberally construed to effect(uate) the public purpose(s) hereof. Interpretation of this Resolution shall be construed in favor of the Monroe County Board of County Commissioners, and such construction and interpretation shall be entitled to great weight in adversarial administrative proceedings, at trial, in bankruptcy, and on appeal. Page 5 of 6 SECTION 10: NON-RELIANCE BY NON-PARTIES AND NO. THIRD-PARTY RIGHTS OR BENEFICIARIES° Nothing contained herein shall create or be construed :or • interpreted to create any relationship, contractual or otherwise, with,or any rights in favor of, any • third party. No person or.entity shall be entitled to rely upon this Resolution or any provision hereof to enforce or attempt to enforce any claim or entitlement to or benefit of any service or program contemplated hereunder. SECTION.11: SECTION HEADINGS. Section headings have been inserted into this Resolution as a matter of convenience for reference only,and shall not be used in the interpretation or construction of this:Resolution or any part thereof. SECTION 12: NO LIABILITY. Monroe County expressly reserves and in no way shall • be deemed to have waived, for itself or for its off cer(s), employee(s), or agent(s), any sovereign, governmental, and other:similar defense, immunity, :exemption, or protection against any suit, cause-of-action, demand, or liability. • SECTION 13: SEVERABILITY. If any provision of this Resolution, or any part or. • • portion thereof, is held to be invalid or unenforceable by.:any administrative hearing officer or court of competent jurisdiction,the invalidity or unenforceability of such provision, or any part or , portion thereof, shall neither limit:or impair the operation, enforceability, or validity of any other • provision of this Resolution, or any remaining Part(s)or portion(s)thereof Al• other provisions of this Resolution and remaining part(s)or ortion s thereof, shall continue unimpaired in full force remaining :p ( ) p and effect. PASSED AND ADOPTED by the Board of County Commissioners of Monroe County, Florida; • at a regular meeting of said board on the 11 th day of December.2024. Mayor James K. Scholl Yes F Mayor Pro Tem Michelle Lincoln Yes , , Commissioner Craig Cates Yes - :r Commissioner David Rice Yes • Commissioner Holly Merrill Raschein Yes ` " - co, tp 1 u.ic4"'sAS ter. 710 BOARD OF COUNTY COMMISSIONERS ) \TTEStEV1N CLERK OF MONROE COUNTY, FLORIDA MADOK, .. tik I A A rj By. .., • =` r • • :AS DE UTY CLERK 4,/ AYORI CHAIRPERSON . .. •.f:-�;�"`-,mow ,'.::;' - =czL>=..:vas.•5a ... APPROVED AS TO FORM&LEGAL SUFFICIENCY. Mow")ounty Attorney's Office • tha Mellies lia� Archer Ass -tact County Attorney Page'6 of 6