2009-27174 ResoRESOLUTION NO 2009-27174
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA, AUTHORIZING THE MAYOR AND THE CITY CLERK TO
EXECUTE A STATE HOUSING INITIATIVES PARTNERSHIP (SHIP) PROGRAM
AGREEMENT BETWEEN THE CITY OF MIAMI BEACH COMMUNITY
DEVELOPMENT CORPORATION (MBCDC), IN A FORM ACCEPTABLE TO THE
CITY MANAGER AND CITY ATTORNEY, WHICH PROVIDES SHIP PROGRAM
FUNDS, IN THE AMOUNT OF $39,321.90 FROM FISCAL YEAR 2009/10, FOR
FIRST TIME HOMEBUYER ACTIVITIES FOR INCOME-ELIGIBLE HOUSEHOLDS.
WHEREAS, the State Housing Initiatives Partnership (SHIP) Program, administered through the
Florida Housing Finance Corporation, was established by the 1992 William E. Sadowski Affordable
Housing Act to stimulate the production of housing Statewide; and
WHEREAS, during the 2009 Legislative session, the Florida Homebuyer Opportunity Program
(FLHOP) was created to provide up to $8,000 in purchase assistance to first time homebuyers eligible
to receive the federal first-time homebuyer tax credit established through the American Recovery and
Reinvestment Act of 2009; and
WHEREAS, the City received a total of $43,691 of SHIP Program funds for Fiscal Year 2009/10,
as opposed to the historical annual approximate $500,000 allocation; and
WHEREAS, this year's SHIP funds are to be used exclusively for the FLHOP initiative until the tax
credit program expires, on or about November 30, 2009; and
WHEREAS, staff consulted with the Florida Housing Coalition (FHC) regarding the limited time
given to implement the FY2009/10 Program and was advised that, considering that the home purchase
initiative is included in the current contract between the City and MBCDC, a Notice of Funding
Availability (NOFA) is not required to allocate FY2009/10 SHIP funds to MBCDC, in the amount of
$39,321.90, representing the State's allocation of $43,691 minus the City's allocation of $4,369.10 for
administrative expenses.
NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE
CITY OF MIAM BEACH, FLORIDA, that the Mayor and City hereby authorize the Mayor and City Clerk
to execute a State Housing Initiatives Partnership (SHIP) Program Agreement, in a form acceptable to
the City Manager and City Attorney, between the City and MBCDC, which provides SHIP Program funds
in the amount of $39,321.90 for FY2009/10, to provide financial assistance to first time homebuyers
eligible under the Florida Homebuyer Opportunity Program, (FLHOP) in accordance with the SHIP
Program Rule and the City's Local Housing Assistance Plan. .
. Passed and adopted this 9th day of September , 2009.
MAYOR
ATTEST:
U~ti~~
CITY CLERK
Robert Parcher
T:\AGENDA\2009\September 9\Consent\SHIP FY 2009-10 - RESO.doc
Matti Herrera Bower
APPRCYVE,D A3 TO
FORM $~,4ANGUAGE
q - 2'a`1
amt ti Date
COMMISSION ITEM SUMMARY
Condensed Title:
A resolution to provide $39,321.90 in funding from the SHIP Program for FY 2009/10 to fund eligible affordable housing
activities in accordance with the SHIP Program Rule and the City's Local Housing Assistance Plan.
Key Intended Outcome Supported:
Increase access to workforce or affordable housing.
Supporting Data (Surveys, Environmental Scan, etc.): Based on the 2007 Customer Satisfaction Survey, affordable
housing was a concern for 82% of those surveyed.
Issue:
Shall the City provide $39,321.90 in FY 2009/10 SHIP Program funds to assist income-eligible households in
accordance with the Florida Housing Opportunity Program (FLHOP) and the SHIP Program requirements.
item summary~Kecommenaat~on:
During the 2009 legislative session, the Florida Homebuyer Program (FLHOP) was approved to provide up to $8,000 in
purchase assistance to first time homebuyers eligible to receive the federal first time homebuyer tax credit established
through the American Recovery and Reinvestment Act of 2009. The City also received notification that the FY 2009/10
SHIP award was only $43,691, and that the funds must be used to provide purchase assistance to approximately five
households eligible under the FLHOP and SHIP program guidelines. The program for first time homebuyers eligible to
receive the tax credit is due to expire on or about November 30, 2009. As a result, the implementation of the SHIP
program must be done under severe time constraints.
As you may recall, the City has historically received $500,000 a year in SHIP funds, of which 90% has been allocated to
provide program-eligible activities toincome-eligible persons. Because of the amount of funding available, the City has
typically used a competitive process (a "Notice of Funding Availability") to select a subrecipient(s) to provide the eligible
services. The State program also requires that these funds be allocated through alocally-determined selection
process. In light of the significantly reduced amount of SHIP funding this year, and the limited funding for administration
of the program ($4,391), staff consulted with the State as to the need for the typical procurement process, especially in
light of the limited funding and within the limited time given for its implementation. Staff was advised by State technical
representatives that Miami Beach Community Development Corporation (MBCDC), the current program sponsor, is
already providing the first-time home purchase activities under the SHIP program and, therefore, the City could award
the FY2009/10 allocation to MBCDC to implement the FLHOP initiative in an expedited manner. Once the FLHOP
initiative ends, MBCDC can use any remaining FY2009/10 funds to continue providing SHIP eligible activities in
accordance with SHIP program rules.
The Administration recommends the approval of a contract between the City of Miami Beach and the MBCDC in the
amount of $39,321.90, representing the state's allocation of $43,691 minus the City's allocation of $4,369.10 for
administrative expenses. The State requires us to amend the City's Local Housing Assistance Plan (CHAP) to permit
the receipt and use of funds for the FLHOP program; the amendment is submitted as a separate agenda item.
Adviso Board Recommendation:
N/A
Financial Information:
Source of Amount Account Approved
Funds: 1 $39,321.90 152 - 5719
SHIP 2
PROG
OBPI Total
Financial Impact Summary:
City Clerk's Office Legislative Tracking:
~ Anna Parekh
Sign-Offs:
Department Director Assi ant City Manager City Manager
AP HF JMG
i :wt~tNUH~uua~5eptemder 9~consent~SHIP FY 2009-10- SUMM. doc ~1 v ~~
M I ~1 Y t I~ E~~ H AGENDADA E G~ d
City of Miami Beath, 1700 Convention Center Drive, Miami Beach, Florida 33139, www.miamibeachfl.gov
COMMISSION MEMORANDUM
TO: Mayor Matti H. Bower and Members of the City Commissi
FROM: Jorge M. Gonzalez, City Manager
DATE: September 9, 2009
SUBJECT: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA, AUTHORIZING THE MAYOR AND THE CITY CLERK
TO EXECUTE A STATE HOUSING INITIATIVES PARTNERSHIP (SHIP)
PROGRAM AGREEMENT IN A FORM ACCEPTABLE TO THE CITY ATTORNEY
BETWEEN THE CITY AND MIAMI BEACH COMMUNITY DEVELOPMENT
CORPORATION, WHICH PROVIDES SHIP PROGRAM FUNDS IN THE AMOUNT
OF $39,321.90 FROM FISCAL YEAR 2009110 FOR FIRST TIME HOMEBUYER
ACTIVITIES FOR INCOME-ELIGIBLE HOUSEHOLDS, IN ACCORDANCE WITH
THE SHIP PROGRAM RULES AND THE CITY'S LOCAL HOUSING
ASSISTANCE PLAN.
ADMINISTRATION RECOMMENDATION
Adopt the Resolution.
ANALYSIS
The State Housing Initiatives Partnership (SHIP) Program, administered through the Florida Housing
Finance Corporation, was established by the 1992 William E. Sadowski Affordable Housing Act to
stimulate the production of housing statewide. Annually, the Florida Housing Finance Corporation
allocates SHIP Program funds among participating jurisdictions on a formula basis. The City has
participated in the SHIP Program since fiscal year 1995/96. As you may recall, the City has
historically received $500,000 a year in SHIP funds, of which 90% has been allocated to provide
program-eligible activities to income-eligible persons. Because of the amount of funding available,
the City has typically used a competitive process (a "Notice of Funding Availability") to select a
subrecipient(s) to provide the eligible affordable housing programs.
During the 2009 legislative session, the Florida Homebuyer Opportunity Program (FLHOP) was
created to provide up to $8,000 in purchase assistance to first time homebuyers eligible to receive the
federal first time homebuyer tax credit established through the American Recovery and Reinvestment
Act of 2009. The State Housing Initiatives Partnership Act (F.S. 420.907-420.9079, Florida Statutes
1992 and Rule Chapter 67-37), Florida Administrative Code, requires local governments to approve
any amendment to their Local Housing Assistance Plan (CHAP). The State requires recipients to
amend their CHAP to reflect the eligible use of these funds for the FLHOP, in order to receive the
allocation. The CHAP revision incorporating this initiative is being submitted for the Commission's
approval under a separate agenda item.
The City received a total of $43,691 of SHIP Program funds for fiscal year 2009/10, as opposed to the
typical annual appropriation approximately $500,000. This year's funds are to be used exclusively for
the FLHOP initiative until the tax credit program expires on or about November 30, 2009. In light of
the significantly reduced amount of SHIP funding this year, and the limited funding for administration
of the program ($4,391), staff consulted with the Florida Housing Coalition (FHC) regarding the limited
time given to implement the FY2009/10 program. The FHC staff has advised that, considering that
the home purchase initiative is included in the current contract between the City and Miami Beach
Community Development Corporation (MBCDC), FHC is in accord with staff that a Notice of Funding
Availability (NOFA) would not be required to allocate funds to MBCDC in the amount of $39,321.90,
Commission Memorandum
September 9, 2009
Page 2 of 2
representing the state's allocation of $43,691 minus the City's allocation of $4,369.10 for
administrative expenses.
CONCLUSION
The Administration recommends that the Mayor and City Commission of the City of Miami Beach
adopt a resolution authorizing the Mayor and City Clerk to execute a State Housing Initiatives
Partnership (SHIP) Program Agreement, in a form acceptable to the City Manager and City Attorney,
between the City and Miami Beach Community Development Corporation (MBCDC), which provides
SHIP Program funds in the amount of $39,321.90 for FY2009/10 to provide financial assistance to
first time homebuyers eligible under the Florida Homebuyer Opportunity Program, (FLHOP) in
accordance with the SHIP Program Rule and the City's Local Housing Assistance Plan. Once the
homebuyer tax credit program expires, these funds will revert to regular SHIP allocations, and
therefore, MBCDC can utilize any unexpended funds from this allocation for approved, regular SHIP
activities.
JMG/HMF/AP/MS
T:\AGENDA\2009\September 9\Consent\SHIP FY2009 MBCDC - MEMO.doc