Resolution 2021-31772R E S O L U T IO N N O . 2021-31772
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA, AUTHORIZING THE CITY MANAGER TO
PERFORM THE FOLLOWING ACTIONS: (1) TO RECAPTURE $220,000 OF
FY 20 HOME INVESTMENT PARTNERSHIP (HOME) FUNDS PREVIOUSLY
ALLOCATED TO TENANT BASED RENTAL ASSISTANCE, AND TO
REALLOCATE SAID FUNDS TO THE HOMEOWNERSHIP ASSISTANCE
PROGRAM IN ORDER TO ENSURE COMPLIANCE WITH HUD
EXPENDITURE DEADLINES; (2) TO ALLOCATE THE FY 21 STATE
HOUSING INITIATIVES PARTNERSHIP (SHIP) FUNDS IN THE AMOUNT OF
$394,363, AS FOLLOWS: (A) TO THE NEPTUNE APARTMENTS
REHABILITATION PROJECT IN THE AMOUNT OF $200,000; (B) TO THE
FIRST TIME HOMEBUYER PROGRAM AND HOMEOWNER
REHABILITATION PROGRAM IN THE AMOUNT OF $154,927; AND (C) FOR
ADMINISTRATIVE COSTS, IN THE AMOUNT OF $39,436; AND (3) TO
SUBMIT THE REVISED ACTION PLANS TO US DEPARTMENT OF HOUSING
AND URBAN DEVELOPMENT (HUD); AND FURTHER AUTHORIZING THE
CITY MANAGER AND CITY CLERK TO EXECUTE ANY AGREEMENTS OR
RELATED DOCUMENTS WITH RESPECT TO THE FOREGOING, INCLUDING
AGREEMENTS TO BE SIGNED BY SUB-RECIPIENTS.
WHEREAS, the City is an entitlement recipient of HUD formula grant programs such as
HOME Investments Partnership (HOME) funds; and
WHEREAS, HOME funds are used for affordable housing activities including multi-family
rentals and tenant-based rental assistance; and
WHEREAS, pursuant to Resolution No. 2020-31257, the Mayor and City Commission
approved the FY 20 One-Year Action Plan, allocating $220,000 for Tenant-Based Rental
Assistance for households earning up to 60% AM I and $274,166 for Homebuyer and
Homeowner Rehabilitation Assistance for households earning up to 80% AMI; and
WHEREAS, pursuant to Resolution No. 2021-31665, the Mayor and City Commission
approved the allocation of $200,000 from the remaining general fund set aside to address
COVID-19 related matters, such as rent, mortgage and utility assistance; and
WHEREAS, City Administration recommends the recapture of FY 20 $220,000 HOME
Tenant-Based Rental Assistance funds and reallocate said funds to Homebuyer and
Homeowner Rehabilitation Assistance in order to assist income-eligible households currently on
a waitlist; and
WHEREAS, the City receives funding from the Florida Housing Finance Corporation
(FHFC) for the State Housing Initiatives Program (SHIP); and
WHEREAS, on June 10, 2021, FHFC notified the City of the FY 21 allocation in the
amount of $394,363 that will become available after October and will be disbursed in multiple
payments over the course of several months; and
WHEREAS, the Administration recommends allocating funds to the following approved
activities: 1) utilizing $200,000 for the Neptune Apartments rehabilitation project; 2) $154,927
towards Purchase Assistance with Rehabilitation and Homeowner Rehabilitation; and 3)
$39,436 towards administration; and
W H E R EA S , State Housing Initiatives Partnership (SHIP) Act, § 420.907-420.9079,
Florida Statutes (1992), and Rule Chapter 67-37, Florida Administrative Code, requires local
governments to develop a one- to three-year Local Housing Assistance Plan (LHAP) outlining
how funds will be used; and
WHEREAS, the City advertised a Notice of Funding Availability for FY 21 SHIP funds
and Notice of Public Hearing and Public 30-day Comment Period (July 5 - August 3, 2021 ); and
the City advertised the substantial amendment to the FY 20 Annual Action Plan for the with a
Notice of Public Hearing to be held on July 20, 2021 and Public 30-day comment period (July 5-
August 3, 2021; and
WHEREAS, the Administration seeks the authorization of the City Manager as signatory
to all documents related to the disbursement of funds to sub-recipients; and
NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY
COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City
Commission hereby authorize the City Manager to perform the following actions: (1) to
recapture $220,000 of FY 20 Home Investment Partnership Program (HOME) funds
previously allocated to Tenant-Based Rental Assistance, and to reallocate said funds to FY
20 Homeowner Assistance Program in order to ensure compliance with HUD expenditure
deadlines; (2) to allocate the FY 21 SH IP funding allocation in the amount of $394,363 to the
following activities as follows: (A) to the Neptune Apartments rehabilitation project in the
amount of $200,000; (B) to the First Time Homebuyer Program and Homeowner
Rehabilitation Program in the amount of $154,927; (C) to administrative costs in the amount
of $39,436; (3) to submit the revised Action Plans to US Department of Housing and Urban
Development (HUD); and further authorize the City Manager and City Clerk to execute City
interdepartmental agreements and other agreements to be signed by sub-recipients.
PASSED and ADOPTED this „ fl day of /,2021.
I
ATTEST:
DAN GELBER, MA VOR
APPROVED AS TO
FORM & LAN GUAGE
& FOR EXE CUTION
O 1i-
6wir @os» ET Wwo
Resolutions - C7 L
MIAMI BE A CH
COMMISSION MEMORANDUM
TO:
FROM:
DATE:
Honorable Mayor and Members of the City Commission
Alina T. Hudak, City Manager
July 28, 2021
SUBJECT: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY
OF MIAMI BEACH, FLORIDA, AUTHORIZING THE CITY MANAGER TO
PERFORM THE FOLLOWING ACTIONS: (1) TO RECAPTURE $220,000 OF
FY 20 HOME INVESTMENT PARTNERSHIP (HOME) FUNDS PREVIOUSLY
ALLOCATED TO TENANT BASED RENTAL ASSISTANCE, AND TO
REALLOCATE SAID FUNDS TO THE HOME OWNERSHIP ASSISTANCE
PROGRAM IN ORDER TO ENSURE COMPLIANCE WITH HUD
EXPENDITURE DEADLINES; (2) TO ALLOCATE THE FY 21 STATE
HOUSING INITIATIVES PARTNERSHIP (SHIP) FUNDS IN THE AMOUNT
OF $394,363, AS FOLLOWS: (A) TO THE NEPTUNE APARTMENTS
REHABILITATION PROJECT IN THE AMOUNT OF $200,000; (B) TO THE
FIRST TIME HOMEBUYER PROGRAM AND HOMEOWNER
REHABILITATION PROGRAM IN THE AMOUNT OF $154,927; AND (C) FOR
ADMINISTRATIVE COSTS, IN THE AMOUNT OF $39,436; AND (3) TO
SUBMIT THE REVISED ACTION PLANS TO U.S. DEPARTMENT OF
HOUSING AND URBAN DEVELOPMENT (HUD); AND FURTHER
AUTHORIZING THE CITY MANAGER AND CITY CLERK TO EXECUTE ANY
AGREEMENTS OR RELATED DOCUMENTS WITH RESPECT TO THE
FOREGOING, INCLUDING AGREEMENTS TO BE SIGNED BY SUB-
RECIPIENTS.
RECOM MENDATI ON
The Administration recommends approving the Resolution.
BACK GROUND/HISTORY
HOME Funds
As an entitlement community, the City automatically qualifies for an annual allocation of federal
funding under US Department of Housing and Urban Development (HUD) grant programs. HUD
requires each entitlement community to submit an annual One- Year Action Plan describing how it will
utilize funding and resources to address priority needs identified in the City's Consolidated Plan. The
One-Year Action Plan is a component of the Five-Year Consolidated Plan filed with HUD. The
Administration reviews allocations on an ongoing basis and recommends recapture and reallocation
of funds to meet expenditure deadlines.
Page 406 of 2012
On May 13, 2020, the Mayor and City Commi ssion approved the FY 20 Action Plan via Resolution
No. 2020-31257, which authorize d the alloca tion of: $220,000 for Tenant-Based Rental Assistance
T he funding allocation was designated to help ame liorate financial hardship expe rienced by low-
income residents affected by COVID-19. This action was ma de possible in part because HUD
extended several waivers to Septembe r 30, 2021for HOME programs imp lemented as a response to
the COVID-19 pandemic As of June 30, 2021, many of the households applying to the City for rent
and utility assistance do not fulfill the federal requireme nts for US residency and/or 60% Area Median
Income, whi ch has impe ded the City's ability to expen d funds in a timel y manner. As such, the
Administration is reco mme nding the reallocation of these funds to the First-time Homebuyer Program
as there are currently 37 households on the City's waitlist enabling the City to add additional units to
its affordable housing stock while ensuring the time ly expe nditure of funds in compliance with HUD
regulations.
On April 8, 2021, HUD announced the Ame rican Rescue Plan (ARP), which will provide $5 billion to
Participating Jurisdictions- including the City - through the HOME-ARP Program. The estima ted
alloca tion for the City is $2,245,387 and can be utilized for the following four eligible activities:
• Production or Preservation of Affordable Housing
• Tenant-Based Rental Ass istance (TBRA)
• Supportive Services, Homeless Prevention Services, and Housing Counseling
• Purchase and Development of Non-Congregate Shelter
The release date of ARP funds has yet to be determined by HUD. Funds must be expended
by 2030. These funds, which are the equivalent to mo re than four annual HOME allocations,
can allow the City to continue its rent assistance efforts for those imp acted by COVID while
also allowing expanded assistance under the City's First-time Home buyer Program.
SHIP Funds
The State Housing Initiatives Partnership Program (SHIP), administered through the Florida
Housing Finance Corporation (Florida Housing), was established in 1992 by the William E.
Sadowski Affordable Housing Act to stimulate the production of affordable housing statewide. SHIP
Program funds are derived from docu men tary stamp levies on real estate transactions and held in the
SHIP Program Trust Fund. Annually, Florida Housing allocates SHIP program funds amo ng
participating jurisdictions on a formu la basis by June 30. Since 2016, the City has allocated SHIP
funds to Homeo wner and Homebuyer assistance. Assistance is provided in the form of a forgivable
loan with deferred payme nts as long as the recipient comp lies with program requireme nts. The loan
is forgiven if recipients do not rent, sell or refinance the purchased unit during the 15-year
affordability period.
ANALYSIS
On June 30, 2020, Florida Housing announced that annual SHIP funding allocations would not be
dispersed as the Florida Legislature has programme d Sadowski Act funds in other areas. Instead,
the state, wh ich was awarded Coronavirus Relief Funds through the U.S. Treasury Departme nt,
would utilize federal funds to distribute to entitleme nt commu nities.
From March 1 to Decembe r 30, 2020, the City assisted eight (8) households with down payme nt and
mandated rehabilitation assistance. The loss of the annual SHIP alloca tion in 2020 resulted in the
creation of a waitlist for the first time since the comme nceme nt of the First-time Homebuyer and
Home owner Programs in 2016.
Page 407 of 2012
On June 10, 2021, Florida Housing announced the City's projected SHIP allocation as $394,363.
Funds will become available after October 2021 and will be disbursed in multiple payments over the
course of several months. The Administration has identified a City-owned property with a funding gap
in its rehabilitation which is also an eligible property for SHIP funds.
N e pt une Ap ar tm e nts
The Neptune Apartments, located at 1632 Meridian Avenue, provides a total of 35 efficiency units in
a single, 3-story historic building. In 2015, HOME Program funds were used to fund the acquisition of
the property then owned by Miam Beach Community Development Corporation. As such, no
additional HOME funds can be used at this property until the affordability period is met in 2045.
The Neptune Apartments were acquired with significant deficiencies that were the product of poor
workmanship and materials by the prior owner. The City has undertaken a variety of repairs to this
property including the installations of shower pans in each unit and the completion of Phase 1 of
renovations that included a new roof, stucco repair and floor repairs. The property's needs were
divided into two phases in order to maxim ize available funds and undertake repairs as quickly as
possible.
Phase 2 of the renovation will weatherproof the façade and envelope, eliminate water and moisture
intrusion, as well as other structural enhancements that will imp rove the building's resiliency.
Ultimately, the historic rehabilitation project ensures decent, safe and sanitary conditions for at least
an additional 30 years.
The City has applied for and rece ived a grant from the Federal Emergency Management Agency
(FEMA) for $140,596,04 for the rehabilitation of the Neptune Apartments. The City is leveraging the
federal funds used in Phase 1 to comp ly with match requirements. However, a $200,000 funding gap
remains for Phase 2 that cannot be met with federal fund funds. As such, the Administration
recommen ds using SHIP funds to close this gap and ensure compliance with SHIP regulations:
Phase 2 Project CDBG allocation FEMA Hazard Mitigation SHIP FY 22-pending
Budget (Es tima te, pending Grant-pending approval disburseme nt in up to four
Ph ase 1 closeout) of ali ame ndme nt to the payments after October 1,
scope of work 2021
$1,052,029 $735,921.61 $140,596.04 $200,000
The FEMA and SHIP funding alloca tions outlined are contingent upon funding availability and
disbursement. As such, the City is prepared to utilize Residential Replacement Reserves to fund the
project until FEMA funds are available as the City must mee t the CDBG expenditure deadline of July
2022. In order to do this, an Invitation to Bid mu st be submitted to the Procu rement Departmen t
within the next thirty (30) days and construction would need to begin in November 2021We cannot
proceed with Phase 2 until all need ed project funds have been identified and allocated.
Firs t-Ti m e Ho m eb uyer and H om eow ner A ssistance Program s
The City has been providing emergency rent, mo rtgage and utility assistance for eligible residents
financially impacted by COVID-19. The City has used a variety of federal, state and local funds to
assist 526 households with $1,398,577.21 in as of June 30, 2021. The households assisted through
these funds must be earning no more than 80 percent Area Median Income (A M I) for Commu nity
Development Block Gran t (CDBG-CV3) progr ams, 60 percent AMI for the HOME Investment
Partnership programs and 120 percent AMI for General Fund assistance. The City continues to use
Page 408 of 2012
an online portal to schedule appointme nts. The pace of requests has been consistently declining-
from 153 households in January to only 54 households in June.
The following funds remain available for rent, mo rtgage and utility assistance:
Program Name Funding Source Funding Amount Available Expenditure
Funding Deadline
Emergency Food hited Way of Miami- $33,075 $15,770.38 October 31, 2021
and Shelter Dade
Program- Phase 37
and CARES
General Funds City of Miami Beach $200,000 $101,823.81 September 30, 2021
Tranche 2
CDBG-CV3 CARES Act funding $342,903 $105,118.60 December 31, 2021
HOME Investment FY 20 Allocation $220,000 September 30, 2021 and recommended to
Partnership be reallocated
While rent and utility assistance dema nd has decreased significantly, the dema nd for the City's
home buyer and home owner assistance programs have increased significantly during the pandemic.
The Office of Housing and Commun ity Services (HCS) was recreated to create a waitlist for its First
Time Home buyer Program to ensure compliance with SHIP statute 3420.9075 as several eligible
households were pending assistance funds. Furthermo re, the waitlist has enabled the City to identify
eligible households to comply with the 20% Special Need s set-aside requireme nt, as defined in
420.0004 Florida Statutes.
Below is a snapshot of the current applicant waitlist:
Waitlist Data
First Time Home buyer Homeowner Rehabilitation
Number of Waitlist Applicants
39 3
Average Number of People in Household 1.7 1
Extremely- Low-Income 3 2
Very-Low-Income 16 o
Low-Income 10 1
Moderate Income 7 o
140% Income 4 o
City Employees 3 o
Special Needs 5 1
Page 409 of 2012
I Essential Needs Personnel
R'
The Office of Housing and Commu nity Services is working collaboratively with the Huma n
Resources Departme nt on a campaign to inform employees about available resources for
home ownership. These efforts seek to increase the numb er of emp loyees who live, work and play in
our commun ity.
The 2019 Analysis of Impediments to Fair Housing Choice (Al) identifies the City's challenges in
promo ting affordable and fair housing, and highlights opportunities that can set goals and priorities to
address said challenges. The Al states the home ownership rate in Miam Beach is 37.4% lower than
the national average of 63.9%. One of the goals and objectives listed in the City's 2017-2022
Consolidated Plan is: to increase and ma intain homeo wnership assistance to promote commun ity
investment and stable housing for all.
Given that the City has had difficulty identifying households eligible within the federal guidelines and
the upcom ing expen diture deadline for these funds, the Administration recom men ds reca pturing
HOME funds originally appropriated for rent assistance and realloca te these funds to serve
households enrolled in the waitlist for first time home buyer and homeowner rehabilitation assistance
programs. Below is a summar y of funds being hamessed for this purpose and the net impact of each:
Funding Source Amount Funding Availability Expenditure Deadline Estimated
House holds to be
Served
SHIP FY 21/22 $154,927 after October 1 Aune 30, 2024 3 (can also be
combined with
HOME)
HOME FY 19/20 $85,169.03 Pending HOME program September 30, 2026 2
HOME FY 20/21 $274,081
agreements September 30, 2027 7
HOME FY 21/22 $526,784 After October 1 September 30, 2028 13
Total Funds $1,040,961.03
Total Estimated Number of
25 25
Households to be served:
Below is recomme ndation of the FY 21 SHIP funds that will be alloca ted to the City:
FY21 SHIP Allocation
ACTIVITY /PROJECT AMOUNT
Rental Development- Phase 2 of the Neptune Apartments Rehabilitation Project $200,000
Purchase Assistance with Rehabilitation and Homeowner Rehabilitation $154,927
Administration (10% of allocation) $39,436
$394,363
Page 41 O of 2012
SUPPORTING SURVEY DATA
N/A
Amount(s)/Account(s):
180-0530-000346-23-404-534-00-00-00-53419
152-0530-000349-00-404-534-00-00-00-57210
CONCLUSION
The Administration recommends the following actions: 1) recapture of $220,000 FY 20 HOME
Investment Partnership (HOME) Program funds previously allocated to Tenant-Based Rental
Assistance and reallocation to the Homeownership Assistance Program; 2) to allocate the FY
21 State Housing Initiative Partnership (SHIP) Program Funds in the amount of $394,363: (i) to
the Neptune Apartments rehabilitation project in the amount of $200,000; (ii) to the Homebuyer
and Homeowner Rehabilitation Programs in the amounts of $154 ,927; (iii) and administrative
costs in the amount of $39,4 36; and (3) submit the revised FY 20 Action Plan to HUD and
further authorize the City Manager and City Clerk to execute City Interdepartmental Agreements
and other agreements to be signed by Sub-recipients.
Appl icable Are a
Not Applicable
ls this a "R esi d e nts Right
to Kn o w" ite m, pursuant to
City C ode S e cti on 2-142
No
Does this item utilize G.O.
Bond Funds?
No
Legislative Tracking
Office of Housing and Community Services
Spon sor
Commissioner Michael Gongora
ATTACHMENTS;
Description
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Resolution
Page 411 of 2012
C ITY O F M IA M I B E A C H
N O T IC E O F A PU B LI C H E A R IN G A N D T H IR TY -D AY PU B L IC C O M M E N T PE R IO D
F O R A S U B S TA N T IA L A M E N D M E N T T O T H E FY 20 A N N U A L A C T IO N PLA N FO R
H O M E IN V E S T M E N T PA R T N E R S H IP (H O M E ) F U N D S
PUBLIC HEARING: To receive comments and obtain input regarding a substantial amendment to
the FY 20 Annual Action Plan for the reallocation of HOME funds. Interested residents and other
parties are encouraged to provide comments at the public hearing.
DATE & TIME: July 20, 2021 5.00 PM
PLACE: The hearing will take place during the Affordable Housing Advisory Committee meeting.
To participate or provide comment virtually, the public may join the meeting at https://zoom.us/j/
96965494538?pwd=bnRBWW EwKzFLTHJmMys3SGJISFEzQT09 or via telephone 1-312-626-6799
Meeting ID: 969 6549 4538 Passcode: 831602
COMMENT PERIOD: July 5, 2021 to August 3, 2021
Below is a summary of the proposed amendment. Written comments may be malled to the City of
Miami Beach, Office of Housing and Community Services, 1700 Convention Center Drive, Miami
Beach, FL 33139 or via e-m ail to: marcelarubio@miamibeachfl.gov.
Homebuyer Assistance and Homeowner Rehabilitation
CORRECTED PROGRAM ACTIVITY
Tenant-Based Rental Assistance $0.00
Homebuyer Assistance and Homeowner Rehabilitation $494,166
INFORMATION: For further information, contact the City of Miami Beach Office of Housing and Community
Services at 305- 673-7260."Pursuant to Fa. Stat. 286.015, the City hereby advises the public that: if a person
decides to appeal any decision made by this Board, Agency or Commission, with respect to any matter considered
at its meeting or hearing, he will need a record of the proceedings, and that for such purpose, the affected person
may need to ensure that a verbatim record of the proceedings is made, which record includes the testimony and
evidence upon which the appeal is based. This notice does not constitute consent by the City for the introduction or
admission or otherwise inadmissible or irrelevant evidence, nor does it authorize challenges or appeals not otherwise
allowed by law."
In accordance with the Americans with Disabilities Act of 1990, persons needing special accommodation to obtain
materials in an accessible format to provide comment should contact the City Clerk's Office at 305673-7411 for
assistance; if hearing impaired, call the Florida Relay Service number 800-955 8771 (TDD) or 800-955-8770 (voice)
for assistance. Para obtener información en español, por favor contacte a Cristina Cabrera al 305673-7260.
CITY OF MIAMI BEACH
NOTICE OF FUNDING AVAILABILITY
FOR THE STATE OF FLORIDA HOUSING INITIATIVES PARTNERSHIP (SHIP) FUNDING
FOR FISCAL YEAR 21-22
The Florida Housing Finance Corporation announced its projected allocation of $394,363 for the
City of Miami Beach SHIP eligible program activities such as Rental Development. Funds for Rental
Development will be utilized tor the rehabilitation of multi-family buildings owned and operated by
the City. The program funding will be available from October 1, 2021 to June 30, 2024, contingent
upon funding availability.
The City projects its allocation for the Rental Development category will be $200,000, to fund Phase
2 of the Neptune Apartments rehabilitation project.
Rental Development- Phase 2 of the Neptune Apartments
Rehabilitation Project $200,000
Waitlist for Purchase Assistance with Rehabilitation and Homeowner
Rehabilitation $154,927
Administration (10% of allocation) $39,436
The City of Miami Beach projects its allocation for the First Tlme Homebuyer Program to be $154,927
and it will distribute funds to the income eligible participants currently on the waitlist.
F -1- 1- . t· 'th « Page,412,9f 2012 or a waitlist application or questions on eit er program, please contact fl Marcela Rübiö,
HOME/SHIP Program Coordinator with the City's Office of Housing and Community Services at
305.673. 7260, visit www.miamibeachfl.gov or email ship@miamlbeachfl.gov.