HomeMy WebLinkAboutAgenda - 05-06-2010 - 4hORANGE COUNTY
BOARD OF COMMISSIONERS
ACTION AGENDA ITEM ABSTRACT
Meeting Date: May 6, 2010
Action Agenda
Item No. 4 "
SUBJECT: Impact Fee Reimbursement Requests
DEPARTMENT: Housing/Comm. Development PUBLIC HEARING: (Y/N) No
ATTACHMENT(S):
INFORMATION CONTACT:
Tara L. Fikes, (919) 245-2490
PURPOSE: To approve an impact fee reimbursement request from Habitat for Humanity of
Orange County, NC, Inc. for $6,000 for two new homes and a request from the Community
Home Trust for $6,092 for one new home in Carrboro.
BACKGROUND: On November 1, 1995, the BOCC approved a policy for impact fee
reimbursement to local non-profit organizations that met the established eligibility criteria.
This policy was last revised on March 4, 1998.
The policy requires the following:
1. Housing must be developed for first-time homebuyers with incomes at or below 80%
of HUD published median income for the Raleigh-Durham-Chapel Hill, NC
Metropolitan Statistical Area (MSA);
2. Affordable housing is defined as owner-occupied housing which can be purchased for
no more than 2.5 times annual family income; and
3. The non-profit organization must certify in writing that, for owner-occupied housing, it
will remain affordable to the anticipated beneficiary or beneficiaries for a period of a
minimum of ninety-nine (99) years. A Declaration of Restrictive Covenants will
secure this requirement.
4. The non-profit organization is responsible for providing documentation of impact fee
payment.
The County has received a reimbursement request for $6,000 from Habitat for Humanity of
Orange County, NC, Inc. (HHOC) for two (2) new homes recently built in the Highland Woods
subdivision in Hillsborough. The County has also received a reimbursement request for
$6,092 from the Community Home Trust (CHT) for a home recently built in Carrboro. HHOC
and CHT have provided evidence that the impact fee for all homes has been paid and the
houses have been sold to low-income homebuyers.
The request has been reviewed in accordance with the above stated eligibility criteria and
determined eligible for reimbursement.
2
Results of Eligibility Review
1. Household Income:
a. Family #1:
b. Family #2:
c. Family #3:
Family of three Annual Income: $21,932
Family of five Annual Income: $24,476
Family of four Annual Income: $47,085
All incomes are less than 80% of the area HUD published median income.
2. First Mortgage Amount: $67,500 (HHOC) $125,000 (CHT)
3. Certification of 99 year Affordability:
Habitat for Humanity of Orange County, NC, Inc. certifies in writing that the five
homes will remain affordable to families earning less than 80% of the area median
income for at least ninety-nine (99) years. The Community Home Trust utilizing a
long-term lease model that provides a 99 year long-term lease provides assurance of
applicability of this condition.
4. Documentation of Impact Fee Payment Yes. Habitat for Humanity paid the fee at
the time the building permit was issued. The Community Home Trust paid the fee at
the time of issuance of the Certificate of Occupancy. Actual reimbursement will take
place at the time that the Impact Fee Agreement is executed by Habitat for Humanity
and the Community Home Trust and recorded in the Register of Deeds Office.
FINANCIAL IMPACT: The current balance from the FY 2009 - 2010 appropriation for impact
fee reimbursements is $73,000. Expenditure of $12,092 for these reimbursements will leave
a balance of $60,908.
RECOMMENDATION (S): The Manager recommends the Board approve the impact fee
reimbursement request from Habitat for Humanity of Orange County, NC, Inc. for $6,000 for
two new homes and a request from the Community Home Trust for $6,092 for one new home
in Carrboro.