HomeMy WebLinkAbout2005-26067 Reso Inc.
RESOLUTION NUMBER 2005-26067
A RESOLUTION OF THE MAYOR AND CITY COMMISSION
OF THE CITY OF MIAMI BEACH, FLORIDA,
AUTHORIZING THE MAYOR AND CITY CLERK TO
EXECUTE THE ATTACHED STATE HOUSING
INITIATIVES PARTNERSHIP (SHIP) PROGRAM
AGREEMENT BETWEEN THE CITY AND MIAMI BEACH
COMMUNITY DEVELOPMENT CORPORATION, WHICH
PROVIDES SHIP PROGRAM FUNDS, IN THE AMOUNT OF
$476,041, FROM FISCAL YEAR 2004/2005, TO CONTINUE A
WORKFORCE HOUSING REHABILITATION COMPONENT
FOR THE SCATTERED-SITE HOME OWNERSHIP
PROGRAM, PROVIDING REHABILITATION, DOWN
PAYMENT ASSISTANCE, CLOSING COST ASSISTANCE
AND HOME OWNERSHIP COUNSELING, FOR UNITS
PURCHASED BY ELIGIBLE HOME BUYERS UNDER THE
RULES OF THE SHIP PROGRAM AND THE CITY'S LOCAL
HOUSING ASSISTANCE PLAN.
WHEREAS, the State of Florida enacted the William E. Sadowski Affordable Housing Act
(the Act) on July 7, 1992, allocating a portion of new and existing documentary stamp taxes on deeds
to local governments to stimulate the production of housing through the State Housing Initiatives
Partnership (SHIP) Program; and
WHEREAS, the Act requires that in order to qualify for funding, local governments develop
a Local Housing Assistance Plan outlining how the funds will be used; and
WHEREAS, on April 14, 2004, the Mayor and City Commission approved and adopted a
Local Housing Assistance Plan for Fiscal Years 2004/2005, 2005/2006, and 2006/2007, by
Resolution No. 2004-25537, pursuant to the requirements of the Act and the SHIP Rule issued by the
Florida Housing Finance Corporation; and
WHEREAS, the City issued a Notice of Funding Availability (NOF A) on October 6,2005,
pursuant to the City's approved Local Housing Assistance Plan; and
WHEREAS, MBCDC responded to the NOFA and was recommended for funding by the
Administration and the Loan Review Committee; and
WHEREAS, MBCDC will utilize the SHIP Funding Year 2004/2005 funds, in the amount of
$476,041, exclusively for rehabilitation, down payment assistance, closing cost assistance, and
home ownership counseling, for its Scattered-Site Home Ownership Program; and
WHEREAS, the Administration now requests that the attached State Housing Initiatives
Partnership (SHIP) Program Agreement be approved by the Mayor and City Commission and
executed by the Mayor and City Clerk..
NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY
COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City Clerk
are authorized to execute the attached State Housing Initiatives Partnership (SHIP) Program
Agreement between the City and Miami Beach Community Development Corporation, which
provides SHIP Program funds, in the amount of$476,041, from Fiscal Year 2004/2005 to continue a
rehabilitation component for the Workforce Housing, Scattered-Site Home Ownership Program,
providing rehabilitation, down payment assistance, closing cost assistance and home ownership
counseling, for units purchased by eligible home buyers under the rules of the SHIP Program and the
City's Local Housing Assistance Plan.
Passed and adopted this 7th
ATTEST:
~O fcu~
CITY CLERK
Robert Parcher
T:\AGENDA\2005\Dec0705\Consent\SHIP MBCDC Agreement - Reso.doc
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COMMISSION ITEM SUMMARY
Condensed Title:
A Resolution to provide $476,041 funding from the SHIP Program NOFA for FY 2004/2005 to
continue a rehabilitation component for the Scattered-Site Home Ownership Program under the rules
of the SHIP Pro ram and the Ci 's Local Housin Assistance Plan.
Ke Intended Outcome Su orted:
Increase access to workforce or affordable housing.
Issue:
A Resolution to provide $476,041 funding from the SHIP Program NOFA for FY 2004/2005 to
continue a rehabilitation component for the Scattered-Site Home Ownership Program under the rules
of the SHIP Pro ram and the Ci 's Local Housin Assistance Plan.
Item Summary/Recommendation:
A Resolution to provide $476,041 funding from the SHIP Program NOFA for FY 2004/2005 to
continue a rehabilitation component for the Scattered-Site Home Ownership Program under the rules
of the SHIP Program and the City's Local Housing Assistance Plan.
The Administration recommends approving the resolution.
.
Adviso Board Recommendation:
On November 18, 2005, the Loan Review Committee recommended that MBCDC be funded
$476,041 in SHIP Pro ram funds from FY 2004/05.
Financial Information:
Source of Amount Account Approved
Funds: 1 476,041 152.5721
2
SHIP 3
Program 4
OBPI Total
Financial Impact Summary:
City Clerk's Office Legislative Tracking:
I Vivian P. Guzman
Si n-Offs:
Department Director
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MIAMI BlEACH
AGENDA ITEM
DATE
C7(l
1;'-7-0 ~
e MIAMIBEACH
City of Miami Beach, 1700 Convention Center Drive, Miami Beach, Florida 33139, www.miamibeachR.gov
COMMISSION MEMORANDUM
DATE:
Mayor David Dermer and Members of the City Commission
City Manager Jorge M. Gonzalez t~
December 7, 2005 0"" 0
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA, AUTHORIZING THE MAYOR AND CITY CLERK TO
EXECUTE THE ATTACHED STATE HOUSING INITIATIVES PARTNERSHIP
(SHIP) PROGRAM AGREEMENT BETWEEN THE CITY AND MIAMI BEACH
COMMUNITY DEVELOPMENT CORPORATION, WHICH PROVIDES SHIP
PROGRAM FUNDS IN THE AMOUNT OF $476,041 FROM FISCAL YEAR
2004/2005 TO CONTINUE A WORKFORCE HOUSING REHABILITATION
COMPONENT FOR THE SCATTERED-SITE HOME OWNERSHIP PROGRAM
PROVIDING REHABILITATION, DOWN PAYMENT ASSISTANCE, CLOSING
COST ASSISTANCE AND HOME OWNERSHIP COUNSELING, FOR UNITS
PURCHASED BY ELIGIBLE HOME BUYERS UNDER THE RULES OF THE
SHIP PROGRAM AND THE CITY'S LOCAL HOUSING ASSISTANCE PLAN.
TO:
FROM:
SUBJECT:
ADMINISTRATION RECOMMENDATION
Adopt the Resolution.
ANAL YSIS
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. SHIP Program funds are
derived from documentary stamp levies on real estate transactions. 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 required by the Florida Housing Finance Corporation, on April 14, 2004,
the City adopted a new Local Housing Assistance Plan for State fiscal years 2004/05,
2005/06 and 2006/07, which serves as the guidelines to utilize SHIP Program funds for
rehabilitation of scattered-site units in order to provide home ownership opportunities.
The City has received a total of $520,096 of SHIP Program funds for fiscal year 2004/05,
which includes an allocation of $426,156, plus $28,782 in program income and $65,158 in
recaptured funds. In accordance with the City's Local Housing Assistance Plan, the City
utilized $44,055 for administrative costs from the $520,096 SHIP Program funds allocated to
the City. Ten (10) percent of each fiscal year allocation and five (5) percent of program
income are utilized for administrative costs associated with the Program. The balance of
funds from fiscal year 2004/05 was utilized to issue a Notice of Funding Availability (NOFA)
in the amount of $476,041 on October 6,2005. The NOFA was advertised in The Miami
Herald. In addition, notification of the NOFA was provided to interested housing providers via
Page 2 of 2
Commission Memorandum
December 17, 2005
direct mailing. The NOFA sought an experienced housing provider to utilize SHIP Program
funds for rehabilitation of scattered-site dwelling units to provide home ownership
opportunities for eligible home buyers. Responses to the NOFA were due on November 4,
2005.
The City received only one proposal from the Miami Beach Community Development
Corporation (MBCDC) proposing to utilize the SHIP funds to continue the rehabilitation
component of its successful Scattered-Site Home Ownership Program. The amount of their
request was $476,041. In accordance with the City's Local Housing Assistance Plan, the
SHIP Program funds will be used to provide rehabilitation, down payment assistance, and
closing cost assistance to a minimum of 12 units (based on a maximum allocation of funds
per unit of $40,000) in order to provide home ownership opportunities to income-eligible
home buyers with annual earnings at or below 120 percent of area median income ($45,480)
for a one-person household, including City employees, by June 30,2007. Properties to be
acquired by the participants are selected on an ongoing and scattered-site basis. Eligible
participants enter into a lottery system which determines their order in the waiting list.
Concurrently, as part of this program, home ownership counseling will be provided to a
minimum of 40 income-eligible participants. The Scattered-Site Home Ownership Program
also utilizes funds leveraged by MBCDC from the Miami-Dade County's Documentary Surtax
Program and from the federal HOME Program. These funds are utilized to provide down
payment assistance to participants in the form of second and third mortgages.
In accordance with the terms of the NOFA, the Housing Staff reviewed the proposal and
submitted it to the Loan Review Committee (LRC). On November 18, 2005, the LRC
reviewed the proposal and recommended to the Mayor and City Commission that MBCDC
be funded in the amount of $476,041 from fiscal year 2004/05. Since 1996, MBCDC has
successfully operated a rehabilitation component for their Scattered-Site Home Ownership
Program with funding from the City's SHIP Program. To date, 165 units have been acquired
and rehabilitated through the program including 14 units acquired by City employees
participating in the program.
On April 14, 2004, the City adopted its current Local Housing Assistance Plan (Plan) for
State fiscal years 2004/05,'2005/06 and 2006/07. In accordance with the SHIP Program
Rule, the maximum purchasing price and assistance limit may be updated as necessary by
amending the Plan. The Florida Housing Finance Corporation has provided the City with
updated Miami MSA (Miami-Dade County) Average Purchase Price Limits of $331 ,579 for
new and existing homes (previously the respective figures were $158,855 for new homes
and $148,466 for existing homes); therefore, the Plan is being amended to incorporate these
figures. Simultaneously, the Plan is also being amended to update the assistance limit to a
maximum of $40,000 allocation of funds per unit, which was previously set at $32,259 back
in 1996.
The Administration recommends that the Mayor and City Commission of the City of Miami
Beach, Florida, adopt a resolution authorizing the Mayor and City Clerk to execute the
attached State Housing Initiatives Partnership (SHIP) Program Agreement between the City
and Miami Beach Community Development Corporation, which provides SHIP Program
funds in the amount of $476,041 from fiscal year 2004/05 to continue a scattered-site home
ownership program for income-eligible home buyers in accordance with the SHIP Program
Rule and the City's Local Housing Assistance Plan.
HFNPGITNU
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