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RESOLUTION 92-20473 RESOLUTION NUMBER 92-20473 A RESOLUTION APPROVING AND ADOPTING A PROGRAM DESCRIPTION TO BE SUBMITTED TO THE U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT (HUD) FOR THE FISCAL YEAR 1992 ALLOCATION UNDER THE HOME PROGRAM, AND PROVIDING FOR THE APPROPRIATION OF SUCH FUNDS WHEN RECEIVED. BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, THAT, WHEREAS, on February 18, 1992 , the City received notification from the U.S. Department of Housing and Urban Development (HUD) that Miami Beach has been designated as a participating jurisdiction to receive $1, 846, 000 in funding through the new HOME Investment Partnership Program, and WHEREAS, the HOME Program is designed to expand the supply of decent and affordable housing and encourages partnerships with the private sector and non-profit housing providers, and WHEREAS, in accordance with the regulations, the City has developed a Program Description for the HOME Program, which includes the required set-asides for rental housing and for Community Housing Development Organizations (CHDOs) , and WHEREAS, a public meeting was advertised and held on March 13th hosted by the City's Loan Review Committee in conjunction with the Department of Economic and Community Development in order to obtain the views of citizens, private developers, public agencies including the Miami Beach Housing Authority, and other interested parties on the use of the funds and the content of the Program Description. Also, the staff has sent letters to developers and other interested agencies notifying them of the public meeting, and WHEREAS, the Program Description must be submitted to the U.S. HUD by March 30, 1992 for the fiscal year 1992 HOME allocation, and WHEREAS, the City Commission deems it to be in the best interests of the residents and citizens of the City to submit the HOME Program Description to U.S. HUD by the due date. NOW, THEREFORE, BE IT DULY RESOLVED BY THE CITY COMMISSION OF THE CITY OF MIAMI BEACH FLORIDA, that the City Commission hereby adopts this Resolution approving and adopting a Program Description to be submitted to the U.S. Department of Housing and Urban Development (HUD) for the fiscal year 1992 allocation in the amount of $1, 846, 000 under the HOME Program, and providing for the appropriation of such funds when received. PASSED AND ADOPTED THIS 18th DAY OF M. 'ch , 1992 . )00° 4( -.0// 4. OR ATTEST: FORM APPROVED �___ l' 31". ,,- ..__. CITY CLERK B Date 7//,/1 2.--- SUNDAY. MARCH 8, 1992. THE MIAMI HERALD 3B CITY OF MIAMI REACH HOME PROGRAM NOTICE OF PUBLIC MEETING The City of Miami Beach announces that it has been designated by the ` U.S.Department of Housing and Urban Development(HUD),a Partici- pating Jurisdiction in the Home Investment Partnership Program (HOME).As such,the Cityis entitled to an allocation of HOME funds,in the amount of$1,846,000. A Program Description must be prepared and submitted to HUD, de- scribing the types of projects the funds will be used to finance. The Economic and Community Development Department,in conjunc- tion with the City's Loan Review Committee,will hold a public meeting to obtain the views of citizens, private developers, public agencies, and other interested parties on the use of the funds and the content of the Program Description. The meeting will be held on Friday, March 13, 1992,at 2:00 pm In the City Manager's Conference Room,4th Floor, City of Miami Beach City Hall, 1700 Convention Center Drive. • For further information contact Jorge E.Fernandini,Housing Rehabilita- tion Specialist, at 673-7260. CITY OF MIAMI BEACH CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH FLORIDA 33139 ECONOMIC AND COMMUNITY DEVELOPMENT DEPARTMENT CITY HALL 1700 CONVENTION CENTER DRIVE ECONOMIC DEVELOPMENT DIVISION SAMPLE LETTER (305)673-7193 COMMUNITY DEVELOPMENT DIVISION (305)673-7260 March 4, 1992 Dear • The City of Miami Beach is pleased to announce that it has been designated by the U.S.Department of Housing g and Urban Development (HUD), as a Participating Jurisdiction in the Home Investment Partnership Program am (HOME). As such, the City is entitled to an allocation of HOME funds, in the amount of$1,846,000. The HOME funds will be used to encourage investment in the construction and rehabilitation of housing in the City.Funds will be made available to eligible housing providers in the form of loans,advances,equity investments or interest subsidies. Eligible activities include: assistance to first-time homebuyers and existing homeowners, property acquisition, new construction, and moderate or substantial rehabilitation. The City must set aside a minimum of 15 percent of the HOME allocation, or $276,900, for investment only in housing to be developed, sponsored, or owned by Community Housing Development Organizations. A Program Description must be prepared and submitted to HUD, describing the types of projects the HOME funds will be used to finance. The Economic and Community Development Department in conjunction with the City's Loan Review Committee will hold a public meeting to obtain the views of citizens,private developers,public agencies,and other interested parties on the use of the funds and the content of the Program Description.The meetingwill be held on Friday, Y, March 13,1992,at 2:00 pm in the City Manager's Conference Room,4th Floor,City of Miami Beach City Hall, 1700 Convention Center Drive. For further information please contact Jorge E. Fernandini, Housing Rehabilitation Specialist, at 673-7260. Sincerely, Shirley Taylor-Prakelt, Assistant Director Economic and Community Development cc: Harry S. Mavrogenes, Dir, E & CD , . CITY OF MIAMI BEACH, FLORIDA HOME PROGRAM FISCAL YEAR 1992 ALLOCATION PROGRAM DESCRIPTION MARCH 18, 1992 TABLE OF CONTENTS PROPOSED USE OF HOME FUNDS . . . . . . . . . . . . . . . . . . . 1 COMMUNITY HOUSING DEVELOPMENT ORGANIZATIONS AND HOME . . . . . . 2 FIRST TIME HOMEBUYERS GUIDELINES FOR RESALE . . . . . . . . . . . 3 AFFIRMATIVE MARKETING . . . . . . . . . . . . . . . . . . . . . . 3 EQUAL OPPORTUNITY AND FAIR HOUSING . . . . . . . . . . . . . . . 7 MINORITY AND WOMEN OWNED BUSINESS OUTREACH PROGRAM . . . . . . . 7 APPENDICES STANDARD PROGRAM CERTIFICATION . . . . . . . . . . . . . . . . . 8 CERTIFICATION REGARDING DRUG-FREE REQUIREMENTS . . . . . . . . . 9 ANTI-LOBBYING CERTIFICATION . . . . . . . . . . . . . . . . . . . 11 1) PROPOSED USE OF HOME FUNDS Miami Beach has experienced a significant demographic shift in the last decade to a younger population. While great strides had been made in meeting the affordable housing needs of the elderly in the last decade, Miami Beach experiences an absence of larger units suitable for two persons and larger households. The existing housing stock is primarily smaller studio and one bedroom units. Rehabilitation of existing buildings and reconversion into larger two bedroom plus units is one approach. Additionally, new construction of larger two bedroom or more townhouse type units on infill sites will begin to meet some of the emergency housing needs on Miami Beach. The City of Miami Beach also experiences a low homeownership characteristic. It is proposed that a substantial amount of HOME funds be allocated to effectuate the creation of new and/or substantially rehabilitated two bedroom and larger units targeted for first-time buyers earning up to 80% of the area median income. The City of Miami Beach will utilize a Notice of Funding Availability process to advertise to qualified developers that the City is interested in assisting the funding of developments that can deliver affordable housing. Funding will be utilized in all eligible forms of assistance as identified in Section 92 . 205 (b) including: equity investments, loans, interest subsidies, deferred payment loans, grants, and may involve itself in acquisition, construction, as well as home buyer assistance. Developments will be subject to criteria and guidelines to be developed with the assistance of the City's Loan Review Committee including: • affordability criteria • quality of product • mix of units • architectural compatibility with neighborhood • encouragement of infill opportunities • maximum assistance per unit • resale restrictions and guidelines ACTIVITY OWNER $ RENTAL $ TOTAL HOME $ New Construction $900, 000 $0 $900, 000 Substantial Rehab. $100, 000 $287 , 000 $387 , 000 Other Rehabilitation $77 , 000 $0 $77, 000 Acquisition $332 , 000 $150, 000 $482 , 000 Tenant Assistance $0 $0 $0 TOTAL $1,409, 000 $437, 000 $1,846, 000 Page 1 2) COMMUNITY HOUSING DEVELOPMENT ORGANIZATIONS AND HOME The HOME Program requires that a minimum of 15% of a community's HOME allocation be set aside for qualified community housing development organizations (CHDOs) . The City of Miami Beach fully intends to seek the participation of qualified CHDOs. Currently, the City of Miami Beach has been approached by one group seeking to become a qualified CHDO - the Miami Beach Development Corporation (MBDC) . MBDC was created in 1981 as a non-profit community development corporation and has actively pursued neighborhood revitalization activities including housing programs. They have expressed a desire to commit HOME funding in three categories: a) Provide additional financial support for the scattered site homeownership program. MBDC's current program utilizes Dade County surtax funds to make condominium units affordable to low and moderate income families. The HOME funds would be utilized in conjunction with surtax dollars to make units affordable. b) Provide funding for development of a site specific project which rehabilitates and converts existing one bedroom units into larger two and three bedroom units for either sale or rent. c) Provide funding for development of a project in cooperation with a community health organization for housing special populations with special needs. The City of Miami Beach has not received inquiries from any other potential CHDO to date. The following level of funds are proposed to be allocated for projects developed by CHDOs. ACTIVITY 1 PROPOSED $ ALLOCATION New Construction $0 Substantial Rehabilitation $100, 000 Other Rehabilitation $77, 000 Acquisition $100, 000 TOTAL $277 , 000 Minimum Required by Statute $277, 000 Up to an additional $277, 000 may be set aside for CHDOs upon submittal of site specific projects as discussed above, but not under the CHDO allocation. The requested project would be brought in under any of the other eligible categories as discussed on page one. Page 2 I 3) FIRST TIME HOMEBUYERS GUIDELINES FOR RESALE Under Section 92 . 254 (a) (4) it is required that assistance to first time homebuyers be provided only if: - Future sales of assisted units will be made to income qualified homebuyers which will use the property as their residence; - A fair return on investment be provided to the initial owner; and - New purchaser' s monthly payments of principal, interest, taxes, and insurance do not exceed 30% of the gross annual income of a family with an income equal to 75% of area median income. Also, the housing must remain affordable to these eligible buyers for a period of 20 years for newly constructed housing or otherwise for 15 years, e.g. , rehabilitation. In order to provide assistance to a homebuyer the City will determine, on a case by case basis, which of the following two options will be incorporated into the contract documents: a) Shared Appreciation: Any appreciation realized during the term of homeownership will be shared between the City and the homeowner. For example, if an assisted homeowner wishes to sell the property and the market price is no longer affordable to a homebuyer earning 75% of median income, the City may apply the rate of appreciation to the homeowner's investment, calculated by adding his own payment, the portion of his monthly payments which were applied to principal, and the cost of any major improvements which increased the value of the property. This amount when added to the homeowner's investment represents his share of the appreciation of the value of the property. The City would recapture its subsidy and possibly some appreciation depending upon how low the sales price had to be reduced to maintain affordability for the subsequent buyer. b) Diminishing Subsidy: A fraction of the subsidy is to be forgiven over the required period of affordability, i.e. no less than 15 years for existing housing and no less than 20 years for newly constructed housing. For example, if an assisted homeowner wishes to sell his existing home in the 12th year of occupancy, then 12/15ths or 4/5ths of the subsidy is forgiven and 1/5th is due upon sale or transfer of the property. If the sales price is still not affordable to a new low income family, the City may choose to reduce what is due to it under the sale, reduce the return to the original homebuyer or subsidize the subsequent sale until the affordability requirement is met. 4) AFFIRMATIVE MARKETING It shall be the policy of the City of Miami Beach to administer the HOME Program and all related activities in a manner so as to affirmatively further the effort to promote equal and fair housing opportunities. Page 3 • • The City will undertake affirmative marketing activities that inform tenants and owners about fair housing laws in an effort to foster more diverse and vital neighborhoods, while simultaneously making available decent, affordable housing to minorities and families of low and moderate income. For HOME projects containing five (5) or more units, the following shall apply: a) Method for informing the public, owners and potential tenants about Federal Fair Housing laws The City of Miami Beach will undertake the following affirmative marketing activities to inform the community of the Federal Fair Housing laws and of the availability of financial assistance to improve the housing stock without regard to race, color, religion, sex or national origin: (1) The City shall place in a newspaper of general circulation, an advertisement of solicitation for owners to participate in the HOME Program. All advertisements shall include and prominently display, the official Fair Housing and Equal Opportunity slogan or logotype. (2) Upon request, the City shall provide information and referral assistance to tenants and property owners regarding fair housing laws. (3) The City shall have available for tenants and property owners copies of all applicable federal housing laws and shall announce the availability of such in April of each year. (4) The City shall make available to all participating property owners a Fair Housing Poster which provides tenants with information on fair housing laws and a toll free number to report discrimination in housing. (5) The City shall assure its commitment to fair housing practices by joining in the nationwide recognition of fair housing practices and adopting a resolution establishing April as "Fair Housing Month" and announce such through local media sources. b) Affirmative marketing requirements for property owners The property owner shall agree to abide by all Federal, State or Local regulations relative to equal opportunity to all persons, without discrimination as to race, color, creed, religion, national origin, sex, marital status, age, and status with regard to public assistance or disability. The owner shall take specific affirmative action to ensure equal opportunity and fair housing at least as extensive as the following: Page 4 (1) The owner shall include the official Fair Housing and Equal Opportunity slogan or logotype in all advertisements regarding the availability of housing units that are vacant after completion of the project, or that later become vacant. (2) The owner shall display the Fair Housing poster in a conspicuous place available to tenants and applicants for occupancy, so as to affirm his/her commitment to fair housing opportunity laws. (3) The owner must certify that he/she agrees to exercise affirmative fair housing marketing whenever units become vacant. c) Special outreach requirements for property owners The owner shall take every reasonable step to inform and solicit applications from persons in the housing market area who are not likely to apply for the housing without special outreach and advertising efforts. The owner shall affirmatively solicit applications from minorities and families of low and moderate income through advertising directed specifically at the appropriate community or through those sources likely to produce eligible persons from all racial, ethnic and gender groups. The owner shall forward copies of the advertisement, or notice thereof, regarding the availability of vacant units, to special outreach centers such as community organizations, churches, employment offices, fair housing groups or housing counseling agencies. d) Records to be maintained Both the City of Miami Beach and the property owner shall maintain records which describe the efforts taken to affirmatively market the housing units. (1) Property owner The owner shall establish and maintain a current file of all notices, advertisements and special outreach efforts regarding the availability of housing units which document his/her compliance with the use of the Equal Housing Opportunity logotype or outreach requirements. The owner shall maintain a current file of the names, addresses and telephone numbers of each applicant referred from a special outreach source and what action was taken with respect to each individual. If such individual was a willing applicant for occupancy and was not approved for tenancy, this shall be documented in the file with the reason therefore, along with whatever additional actions the owner Page 5 may have taken. (2) City of Miami Beach The City shall maintain a current file of all notices, advertisements and information regarding affirmative marketing activities to inform the community of the federal fair housing laws. The City shall maintain records of the extent of program participation by eligible owners from all racial, ethnic and gender groups, including solicitations of offers for assistance and the action taken with respect to each request. The City shall establish and maintain a file documenting the periodic review and monitoring of an owner's adherence to, and performance under, the nondiscrimination and affirmative marketing requirements of such compliance and any corrective action taken. e) Assessment of affirmative marketing efforts Compliance with these requirements shall be based on the review of the owner' s performance in exercising good faith efforts to carry out affirmative marketing activities, including an assessment of objectives met. In that assessment, greater weight will be placed on the owner's demonstrated effort to provide housing opportunities to those individuals requiring special outreach efforts. The owner, in fulfilling his/her obligations under this policy, shall implement specific affirmative marketing steps, at least as extensive as those prescribed above, so as to achieve maximum results from his/her efforts to ensure equal housing opportunities. In the event of the owner's non-compliance with the affirmative marketing requirements or with any of said equal opportunity rules, regulations or orders, the City shall, in accordance with the remedies stated herein, impose corrective actions and sanctions such as are authorized by the applicable housing and equal opportunity laws, including but not limited to: (1) A determination of ineligibility or debarment from any further assistance under the HOME Program, or any other federally funded program, until the City is satisfied that the affected Owner will comply with the requirements pursuant to this Agreement; and (2) Referral of said Owner to any federal, state or local agency entrusted with the legal power to impose and enforce corrective measures and sanctions against those found to be in violation of fair housing practices. Page 6 5) EQUAL OPPORTUNITY AND FAIR HOUSING The City of Miami Beach will take all steps reasonable and necessary to secure the nationwide goal of attaining equal and fair housing opportunities. The City will, in all cases, be in conformance with the requirements under Section 92 .350 that make discrimination based on race, color, religion, sex or national origin illegal. The City will make every possible effort to eliminate discrimination in housing by supporting the concerted national effort to inform the public, property owners, and tenants of their rights and responsibilities under the law. The City's Equal Opportunity and Fair Housing policies for the HOME program will be consistent with those indicated in its current Comprehensive Housing Affordability Strategy (CHAS) . 6) MINORITY AND WOMEN OWNED BUSINESS OUTREACH PROGRAM In order to implement outreach programs to ensure the inclusion, to the maximum extent feasible, of entities owned by minorities and women, the City of Miami Beach, in connection with HOME funded activities, will make an effort to: a) Develop a method for identifying and maintaining an inventory of certified minority and women's business enterprises (MBEs and WBEs) , their capabilities, services, supplies and/or products; b) Utilize the local media, electronic and print, to market and promote contract and business opportunities for MBEs and WBEs; c) Develop informational and documentary materials (e.g. , fact sheets, program guides, procurement forecasts, etc. ) on contract opportunities for MBEs and WBEs; d) Develop HOME program procurement procedures that facilitate opportunities for MBEs and WBEs to participate as vendors and suppliers of goods and services; e) Sponsor or co-sponsor business opportunity-related meetings, conferences, seminars, etc. , with minority and women business organizations; f) Maintain centralized records with statistical data on the utilization and participation of MBEs and WBEs as contractors and subcontractors in all HUD HOME program assisted program contracting activities. • Page 7 • APPENDIX "A" CERTIFICATIONS STANDARD PROGRAM CERTIFICATION The City of Miami Beach certifies that: a) Before committing funds to any project, the City will evaluate each project and not invest any more HOME Funds in combination with other Federal assistance than is necessary to provide affordable housing. b) A submission of the program description os authorized under Local law and the City possesses the legal authority to carry out the Home Investment Partnership Program in accordance with the Home regulations, 24 CFR Part 92 . c) The City will comply with the acquisition and relocation requirements of the Uniform and Real Property acquisition Policies Act of 1970, as amended, implementing regulations at 49 CFR Part 24 and the requirements of 24 CFR Part 92 . 353 . d) The City will use HOME funds pursuant to the participating jurisdiction's HUD approved housing strategy (CHAS) and in compliance with all requirements of 24 CFR Part 92 . e) The City certifies compliance with the drug-free workplace requirements at 24 CFR Part 24 , subpart F. See Appendix B. f) The City certifies compliance with the anti-lobbying requirements at 24 CFR Part 87. See Appendix C. Signature: Carla Bernabei Talarico, City Manager Date: • Page 8 APPENDIX "B" CERTIFICATION REGARDING DRUG-FREE REQUIREMENTS The City of Miami Beach certifies that it will provide a drug-free workplace by: a) Publishing a statement notifying employees that the unlawful manufacture, distribution, dispensing, possession or use of a controlled substance is prohibited in the City's workplace and specifying the actions that will be taken against employees for violation of such prohibition; b) Establishing a drug-free awareness program to inform employees about: (1) The dangers of drug abuse in the workplace; (2) The City' s policy in maintaining a drug-free workplace; (3) Any available drug counseling, rehabilitation, and employee assistance programs; and (4) The penalties that may be imposed upon employees for drug abuse violation occurring in the workplace; c) Making it a requirement that each employee to be engaged in the performance of the grant be given a copy of the statement required by paragraph (a) ; d) Notifying the employee in the statement required by paragraph (a) that, as a condition of employment under the grant, the employee will: (1) Abide by the terms of the statement; and (2) Notify the employer of any criminal drug statute conviction for a violation occurring in the workplace no later than five days after such conviction; e) Notifying HUD within 10 days after receiving notice under subparagraph (d) (2) from an employer or otherwise receiving actual notice of such conviction; f) Taking one of the following actions, within 30 days of receiving notice under subparagraph (d) (2) , with respect to any employee who is so convicted: (1) Taking appropriate personnel action against such an employee, up to and including termination; or Page 9 (2) Requiring such employee to participate satisfactorily in a drug abuse assistance or rehabilitation program approved for such purposes by a Federal, State, or local health, law enforcement, or other appropriate agency; g) Making a good faith effort to continue to maintain a drug-free workplace through implementation of paragraphs (a) , (b) , (c) , (d) , (e) and (f) . PLACE OF PERFORMANCE FOR CERTIFICATION REGARDING DRUG-FREE WORKPLACE REQUIREMENTS Name of Grantee: City of Miami Beach, Florida Date: Grant Program Name: HOME Program Grant Number: The City shall insert in the space provided below the site(s) expected to be used for the performance of work under the grant covered by the certification. Place of Performance: Miami Beach City Hall 1700 Convention Center Drive Miami Beach, Florida 33139 Total estimated number of employees expected to be engaged in the performance of the grant at the site(s) noted above: Three (3) Signature: Carla Bernabei Talarico, City Manager Date: Page 10 APPENDIX "C" ANTI-LOBBYING CERTIFICATION FOR CONTRACTS, GRANTS, LOANS AND COOPERATIVE AGREEMENTS The undersigned certifies, to the best of his or her knowledge and belief, that: 1) No Federal appropriated funds have been paid or will be paid, by or on behalf of the undersigned, to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with the awarding of any Federal contract, the making of any federal grant, the making of any Federal loan, the entering into any cooperative agreement, and the extension, continuation, renewal, amendment, or modification of any Federal contract, grant, loan, or cooperative agreement. 2) If any funds other than Federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with this Federal contract, grant, loan, or cooperative agreement, the undersigned shall complete and submit Standard Form-LLL, "Disclosure Form to Report Lobbying" , in accordance with its instructions. 3) The undersigned shall require that the language of this certification be included in the award documents for all subawards at all tiers (including subcontracts, subgrants, and contracts under grants, loans and cooperative agreements) and that all subrecipients shall certify and disclose accordingly. This certification is a material representation of fact upon which reliance was placed when this transaction was made or entered into. Submission of this certification is a prerequisite for making or entering into this transaction imposed by section 1352, title 31, U.S. Code. Any person who fails to file the required certification shall be subject to a civil penalty of not less than $10, 000 and not more than $100, 000 for each such failure. Signature: Carla Bernabei Talarico, City Manager Date: Page 11 •'.+'!.✓r�sY" i._...�. -. - Kms-..` - °.:� _ t. .y. 'r" -^. .s.S- r.y:_iI �4•a. w-= s ' .J- ��- _S'__~s.F-..tac.i`- it -�s- ,''fi.. _ <..+.:. _.�--i.. ;. , . ' ti., .- >..�:s.1.t..:..,aLY► r•..:'.,,r .,..a............._.__..,,ra`..r...a..+.sw+.Rr:ta:w ...;sdr<.. .. , •..1, :w.... --- ........a.viaC....nri -�(. .,_wf«...b.:...A ,...el.:var:9Ee:awo,H..a....:oma..s,.. ...�.._ ...,.C......_._._.M..,.......__._.---•--..+.s... .r.... ...._....._•-- • CITY OF MIAMI BEACH • CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH FLORIDA 33139 OFFICE OF THE CITY MANAGER TELEPHONE: (305) 673-7010 FAX: (305) 673-7782 COMMISSION MEMORANDUM NO. /661.V March 18, 1992 DATE: TO: Mayor Seymour Gelber and Members of the City Commission tom_ FROM: Carla Bernabei Talarico City Manager SUBJECT: A RESOLUTION APPROVING AND ADOPTING A PROGRAM DESCRIP- TION TO BE SUBMITTED TO THE U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT (HUD) FOR THE FISCAL YEAR 1992 ALLOCATION UNDER THE HOME PROGRAM, AND PROVIDING FOR THE APPROPRIATION OF SUCH FUNDS WHEN RECEIVED. On February 18, 1992, the City received notification from the U.S. Department of Housing and Urban Development (HUD) that Miami Beach has been designated as a participating jurisdiction to receive $1, 846,000 in funding through the new HOME Program. The HOME Program is designed to expand the supply of decent and affordable housing nationally. The total national appropriation is $1.5 billion. The Program encourages partnerships with the private sector and non-profit housing providers. As indicated in the Comprehensive Housing Affordability Strategy (CHAS) , homeownership opportunities for first-time buyers will be stressed for this program. The City of Miami Beach, under the HOME Program has been designated as a community eligible for New Construction. This allows the City to work with private developers to create affordable, moderate income homeownership opportunities, such as new town houses on infill lots. Because the program allows mixed income projects, it is possible for a single project to include affordable units along with market rate units. The Program also requires specific set- asides for rental housing ($437,000) and Community Housing Development Organizations (CHDOs) ($277,000) . In addition to providing housing, the funding will help create over 1, 000 new construction industry jobs. Families of four earning $30, 400 and individuals earning $21, 300 which is 80% of median income, may qualify for the affordable units. As an example, the following entry level City of Miami Beach positions and classifications would qualify under the HOME Program: Police Officer, Fire Fighter I, Public Safety Specialist, Communications Operator, School Guard, Parking Enforcement Specialist, Lifeguard I, Code Enforcement Specialist, Commission Reporter I, Account Clerk, Buyer, Administrative Secretary II and III, Administrative Assistant I, Legal Secretary, Paralegal, Clerk Typist, Retardation/Job Coach, Retardation Instructor, Recreation Leaders, EDP Equipment Operator, Painter, Plumber, Carpenter, Mason, Engineering Assistant, etc. In accordance with the HOME Program regulations, the City must develop and submit a Program Description to the U.S. Department of Housing and Urban Development (HUD) within 45 days of the _ 37 AGENDA ITEM � DATE 9Z. „r .,• .^s.1:.kr..,....w-... _ ._...._ _ __..,«5/S ..,..^.e,.,... .--.. ...... .`:s 1...1v w'.. '..tta.:,...•i- —- ._.._.._....._.. -- .• _, _....... w 1 I COMMISSION MEMO MARCH 18, 1992 PAGE 2 designation as a "Participating Jurisdiction” , i.e. March 30, 1992 . However, in order to afford broader community input into the Program Description, we have applied for a 45-day extension for the submittal of this document, which would extend our submittal date to May 14, 1992 . The staff has prepared a draft Program Description which complies with the HOME regulations. We are hopeful that the extension will be granted in order to allow us to obtain an even greater level of citizen participation, and to permit the City Commission to obtain adequate input. A copy of the time line for the request for extension is attached. You will note that this gives the City Commission two opportunities to review the content of the Program Description prior to adoption. The Administration has scheduled and advertised a public meeting to be held on March 13th at 2: 00 p.m. hosted by the City's Loan Review Committee in conjunction with the Department of Economic and Community Development in order to obtain the views of citizens, private developers, public agencies including the Miami Beach Housing Authority, and other interested parties on the use of the funds and the content of the Program Description. Also, the staff has sent letters to developers and other interested agencies notifying them of the public meeting. The Loan Review Committee is hosting this meeting since it is proposed that they review the. individual projects under the HOME Program. Staff has also worked closely with the Miami Beach Development Corporation (MBDC) which is interested in participating as a designated Community Housing Development Organization (CHDO) . MBDC has expressed interest in pursuing three projects as identified in the Program Description. If the U.S. Department of HUD has not responded to our request for an extension as of the City Commission meeting of March 18th, you will need to adopt the attached Program Description permitting us to meet the existing submission deadline, and therefore not jeopardize the receipt of our allocation in the amount of $1,846,000. It is important to note that the attached Program Description, after its adoption, can still be amended should the City Commission and/or Administration feel it is necessary. If you desire to amend the Program Description at a later date, only the following components of the Program Description require submission to HUD for approval: guidelines for resale, other forms of investment and minority and women business outreach programs. ADMINISTRATION RECOMMENDATION: The Administration recommends adoption of the attached Resolution approving and adopting a Program Description to be submitted to the U.S. Department of Housing and Urban Development (HUD) by March 30, 1992, for the fiscal year 1992 allocation under the HOME Program, and providing for the appropriation of such funds when received. If HUD grants an extension of time as anticipated, the Administration will not submit the Program Description at this time, and a revised Program Description with additional citizen input will be presented to the City Commission for approval at the second Commission Meeting in April. • CBT/HSM/cmc Attachments 38 ✓• V 1\,1T LIN t1L RESOLUTION NO. 92-20473 Approving and adopting a program IIIIIIIIIIrr description to be submitted to the U.S. Department of Housing and Urban Development (HUD) for the fiscal year 1992 allocation .t under the Home Program, and providing for the appropriation of such funds when. received. rf i . 4110101001111100. _ ' 40 4. a , 40110. , .... _ _, .. ., • . L • ._ 41101k 40 4 100 l a. , : . ilir. _ __ it, y� . ., . .. ,,, , ..., • . ,_ . . , .. . . . * _ . • . , .. ,...__ _ _ .,,,. .. „. ,... ; 4000 PIt . ' • 4110 41111110.11111