SUBJECT:
Title
Request Approval of Marion County Standard Professional Services Agreement New Construction Project Between Marion County and Habitat for Humanity of Marion County, Inc. (Budget Impact - Neutral; not to exceed $2,730,000)
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INITIATOR: |
DEPARTMENT: |
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Cheryl Butler, Director |
Community Services |
DESCRIPTION/BACKGROUND:
On April 15, the Board approved the Local Housing Assistance Plan (LHAP), which serves as the County’s policy guiding the distribution of State Housing Initiatives Partnership (SHIP) funding to support affordable housing for low- to moderate-income households. The LHAP includes provisions that allow SHIP funds to be used for the new construction of single-family homes.
Habitat for Humanity of Marion County, Inc. is requesting SHIP funding to construct thirteen (13) new single-family homes for a total amount of $2,730,000. Each home will be:
• Sold to income-eligible homebuyers approved by the County
• Priced at or below $210,000
• Built with concrete block construction and include at least 3 bedrooms and 2 bathrooms
Each homebuyer will receive $75,000 in down payment and closing cost assistance, included in the $210,000 sale price. Upon sale:
• Habitat retains $30,000
• Repays $105,000 to the County
• The remaining $75,000 is forgiven as direct assistance to the buyer
Habitat must:
• Complete and sell at least 6 homes within the first 12 months
• Complete and sell all 13 homes within 24 months of the agreement effective date
The County is responsible for verifying all buyer income eligibility prior to closing.
This project supports the Empower Marion for Success II strategic goal to encourage housing development in targeted areas, with a focus on serving households earning up to 140% of the Area Median Income (AMI), and prioritizing those at or below 80% AMI.
BUDGET/IMPACT:
Neutral; not to exceed $2,730,000
RECOMMENDED ACTION:
Recommended action
Motion to approve and authorize the Chairman and Clerk to execute all necessary documentation associated with Marion County Standard Professional Services Agreement between Marion County and Habitat for Humanity of Marion County, Inc; and authorize the County Administrator to approve modifications to the agreement as necessary, provided for time extensions and funding obligations that do not exceed a total of $50,000.
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