SUBJECT:
Title
Request Approval of Florida Housing Finance Corporation Local Government of Opportunity Funding Form and Marion County Community Services Preliminary Loan Commitment Agreement for Construction Financing Letter for Madison Oaks West II, LLC (Budget Impact - Neutral; not to exceed $460,000)
Body
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INITIATOR: |
DEPARTMENT: |
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Cheryl Butler, Director |
Community Services |
DESCRIPTION/BACKGROUND:
Marion County Community Services issued a request for applications in response to the Florida Housing Finance Corporation’s (FHFC) Request for Applications (RFA) 2025-201. Three applicants submitted proposals for consideration: Madison Oaks West II, LLC (Madison Oaks Phase II), Magnolia Terrace, and Oak Valley. In accordance with FHFC guidelines, the County may designate only one project for Local Government Contribution and Area of Opportunity (LGAO) preference. Local government commitments include a State Housing Initiative Partnership (SHIP) match of $460,000 to strengthen the competitiveness of applications under FHFC’s scoring process.
All three proposals were independently reviewed by Neighborhood Lending Partners, a third-party evaluator secured by the County, and presented to the Affordable Housing Advisory Committee (AHAC) for consideration. On September 3, 2025, AHAC voted to recommend Madison Oaks Phase II as the project that best aligns with RFA requirements and community priorities.
The initial Madison Oaks development was awarded housing tax credits in 2022, which delivered 96 fully occupied affordable units. The proposed Phase II will add an additional 96 units, has the City of Ocala’s support, and is shovel-ready with permits already secured.
AHAC recommends approval to designate Madison Oaks Phase II as Marion County’s Local Government Area of Opportunity (LGAO) project for FHFC RFA 2025-201. The County’s support will include:
• Issuance of a Verification of Contribution Loan Form and Preliminary Loan Commitment Agreement for construction financing.
• Commitment of up to $460,000 from the FY 2025-26 SHIP grant as match funding, contingent upon FHFC awarding the housing tax credits.
If awarded by FHFC, construction of Madison Oaks Phase II is anticipated to begin in 2026.
BUDGET/IMPACT:
Neutral; not to exceed $460,000
RECOMMENDED ACTION:
Recommended action
Motion to approve and authorize Chairman and Clerk to execute the Florida Housing Finance Corporation Local Government of Opportunity Funding Form and Marion County Community Services Preliminary Loan Commitment Agreement for Construction Financing letter for Madison Oaks West II, LLC.
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