HomeMy WebLinkAboutRequest from the Community Affordable Housing Advisory Board to authorize expenditure of recycled CDBG funds for Afford. Housing needs.pdf
Commission Memorandum
REPORT TO: Honorable Mayor and City Commission
FROM: Tracy Menuez, Community Affordable Housing Advisory Board
(CAHAB) Staff
Tim McHarg, Planning and Community Development Director
SUBJECT: CAHAB request to use recycled CDBG funds for updated affordable
housing needs assessment
MEETING DATE: July 18, 2011
AGENDA ITEM TYPE: Action Item
RECOMMENDATION: Authorize request to use recycled CDBG funds for an updated
affordable housing needs assessment per the scope outlined by CAHAB and Staff.
RECOMMENDED MOTION: I move to approve the use recycled CDBG funds for an
updated affordable housing needs assessment per the scope outlined by CAHAB and Staff.
BACKGROUND: The Community Affordable Housing Advisory Board (CAHAB) requests
that the City Commission allocate funds from recycled Community Development Block Grant
(CDBG) program income to update the City’s Affordable Housing Needs Assessment and
develop a 5-year housing plan. The most recent housing needs assessment was completed in
2003. The goal of the updated survey is to provide the citizens, local officials, affordable
housing providers and other stakeholders with more current information resulting in policies
focusing on the community’s greatest needs and measurable, well-defined outcomes.
CAHAB believes that an update to the Affordable Housing Needs Assessment is critical at this
time for two reasons:
· The changes in the local housing market and capital markets have been significant since
the last assessment was completed in 2003.
· The current budget environment for federal, state and local governments requires clear
housing priorities to make the most efficient use of decreasing resources.
It is the CAHAB’s desire to conduct the work for the needs assessment in two phases:
· Phase 1 will consist of an affordable housing needs assessment, establishment of baseline
available rental and ownership housing, analysis of gaps in housing programs and stock,
and development of mechanisms to define price points for affordable rental and
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ownership housing. By agreement of both the CAHAB and the proposer, results from
Phase 1 will be evaluated; upon evaluation of Phase 1, the scope of the contract may be
extended to include Phase 2.
· If the scope of the contract is extended, Phase 2 will be the development of a 5-year
housing plan and implementation strategies. The term of the contract for Phases 1 and 2
would be approximately 9 months, starting with the release of the RFP in August 2011.
The CAHAB has voted to request the use of recycled CDBG funds not to exceed $30,000
for Phases 1 and 2.
The proposed outcomes of the two phases of the needs assessment are as follows:
Phase 1:
§ To conduct a baseline assessment of affordable housing in the City including rentals
and ownership units.
§ To evaluate affordable housing needs in the community.
§ To evaluate the value and effectiveness of affordable housing delivery systems and
programs available to City residents.
§ To identify gaps in affordable housing stock and programs.
§ To provide mechanisms for establishing affordable rental and ownership price points.
Phase 2:
§ Creation of a 5-year housing work plan and strategies for implementation by the City.
§ Adoption of a comprehensive affordable housing policy that addresses needs across
the housing continuum and prioritizes responses to those needs. These responses
could potentially include, but are not limited to: Workforce Housing, Inclusionary
Zoning, Expansion of homeownership programs (education, down-payment
assistance programs), expansion of subsidized rental housing opportunities, and/or
long-term funding and strategies for mobile/manufactured home communities.
§ Assistance in identification of affordability price points for rental and homeownership
housing and development of market trigger points in application of policy(ies).
§ Assistance with improvement of workforce housing ordinance outcomes.
§ Identification of affordable housing funding priorities for City, State and Federal
funding requests.
Public Participation
The company chosen to complete the scope of services will work closely with the CAHAB, City
staff, interested organizations, and the public to complete the proposed work. Phase 2 in
particular will require extensive public input. The RFP requires proposers to outline their
suggestions for, and experience in, facilitating a meaningful public process that is transparent
and understandable to the community.
Reports and Meetings
The following meetings and draft documents are expected as a part of this process:
Community Affordable Housing Advisory Board
§ Initial meeting to introduce process
§ Meeting to produce rough draft of Phase 1
§ Meeting to discuss Phase 2 outcomes based on Phase 1 progress (joint session w/ City
Commission)
§ Meeting to review rough draft of 5-year plan (if necessary)
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City Commission
§ Meeting to discuss Phase 2 outcomes based on Phase 1 progress (joint session
w/CAHAB)
§ Formal presentation of Phase 1 report (can be combined with Phase 2 report if scope
of contract is expanded to include Phase 2)
An updated affordable housing needs assessment and development of a comprehensive plan has
a number of benefits for our community. The assessment and plan are necessary to request any
State or Federal funding to support affordable housing, and the assessment can be used by
developers of affordable housing to support their applications for funding. Establishing a
baseline and affordability price points helps to measure the success of affordable housing policy.
An affordable housing plan that outlines the community’s priorities provides certainty to
developers and providers about requirements and incentives. Information received through
Phases 1 and 2 of work will prove invaluable in the community decision-making process
regarding affordable housing.
The CAHAB sincerely hopes that the Commission will recognize that this is a worthwhile
investment and allow for the use of up to $30,000 of recycled CDBG funds for the affordable
housing needs assessment and 5-year plan.
UNRESOLVED ISSUES: None at this time.
ALTERNATIVES: Alternative actions for the City Commission to consider relative to this
item include the following:
· Identify an alternative funding source for the Affordable Housing Needs Assessment
consistent with the proposed scope.
· Modify the proposed scope, which could increase or decrease the projected cost,
depending on the nature of the modifications.
· Deny the request to fund the Affordable Housing Needs Assessment.
FISCAL EFFECTS: The projected maximum cost for Phases 1 and 2 of the Affordable
Housing Needs Assessment is $30,000. This cost would be reduced significantly if the contract
is not extended to perform Phase 2. The proposed funding source for the Affordable Housing
Needs Assessment is recycled CDBG funds.
Attachments: None.
Report compiled on: July 7, 2011
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