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HomeMy WebLinkAboutAgenda - 10-21-1997 - 9j i ORANGE COUNTY BOARD OF COMMISSIONERS Action Agenda Item No. _ ACTION AGENDA ITEM ABSTRACT Meeting Date: October 21, 1997 SUBJECT: HOME Program-Abbotts Colony DEPARTMENT: Housing and Community Development PUBLIC HEARING: (Y/N) BUDGET AMENDMENT: (Y/N) ATTACHMENT(S): INFORMATION CONTACT: Tara L. Fikes TELEPHONE NUMBERS: -- eat. 2490 Hillsborough 732-8181 Chapel Hill 968-4501 Durham 688-7331 Mebane 227-2031 PURPOSE: To approve the disposition of two lots in the Abbotts Colony subdivision. BACKGROUND: In 1993, the Orange County HOME Consortium provided $50,000 in HOME funds to the Orange Community Housing Corporation to purchase three lots in the Abbotts Colony subdivision in Chapel Hill with plans to build three homes for first time homebuyers. One house has been constructed and sold to a qualifying family. However, previous efforts to develop the remaining lots have not been successful due to the marginal suitability of these lots for residential construction and increased construction costs. Most recently, in November 1996, Orange Community Housing Corporation (OCHC) presented a proposal to develop the remaining sites. The Orange County HOME Council fully discussed this proposal and agreed to proceed with entering into an agreement with OCHC to develop the remaining lots at Abbotts Colony and sell these homes to first time homebuyers at or below 80%of area median income by July 31, 1997. The BOCC approved this recommendation allowing for a September 30, 1997 deadline instead of July 31, 1997. The September deadline was not met and OCHC is in the midst of a search for a new Executive Director. The OCHC Board of Directors have discussed the present situation and will not be able to move ahead with any new development plans until a new Director is on board. Further, the Orange County HOME Council has discussed the present situation and unanimously recommend that OCHC be instructed to sell the remaining lots. Proceeds from the sale would be considered program income and must be reprogrammed for affordable housing purposes. 2 RECOMMENDATION(S): The Manager recommends instructing the Orange Community Housing Corporation to sell the remaining two lots in the Abbotts Colony subdivision and return the proceeds to Orange County for use for future affordable housing initiatives.