HomeMy WebLinkAboutAgenda - 02-21-1995 - VIII-D 1
ORANGE COUNTY
BOARD OF COMMISSIONERS
Action Agenda
Item No D
ACTION AGENDA ITEM ABSTRACT
Meeting Date: February 21, 1995
SUBJECT: Orange County HOME Consortium
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DEPARTMENT: Housing/Comm. Dev. PUBLIC HEARING YES NO--- _x_
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ATTACHMENT(S) : INFORMATION CONTACT
HUD Letter Tara L. Fikes, x 2490
TELEPHONE NUMBER
Hillsborough 732-8181
Chapel Hill 968-4501
Mebane 227-2031
Durham 688-7331
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PURPOSE: To authorize the Chair to submit a Letter of Intent to
participate in the Federal HOME Program and other related documents to
the U.S. Department of Housing and Urban Development on behalf of the
Orange County HOME Consortium and set March 8, 1995 as the public hearing
date for the Orange County Consolidated Plan.
BACKGROUND: Orange -County recently received notification that the
Orange County HOME Consortium has been designated as a HOME Participating
Jurisdiction and should receive an award of $368,000 on July 1, 1995.
The participating jurisdiction classification entitles the Consortium to
receive yearly funding directly from HUD as long as the program is funded
by Congress. The amount of funding each year will vary. Prior to this
time, the Consortium has had to apply to the State for funding. The last
award was $803,600 in 1992. The Orange County HOME Consortium members
include Orange County, Chapel Hill, Carrboro and Hillsborough with Orange
County serving as lead entity.
Because the federal government has established a $500,000 minimum program
threshold, the Consortium must contribute the difference between the
award ($368,000) and $500,000 which is $132,000. The State of North
Carolina has traditionally provided the necessary funding for local
jurisdicitions to meet the $500,000 threshold requirement. Based on
preliminary discussions the State plans to continue this trend this year.
The Manager has sent a written request to the N.C. Housing Finance Agency
for its consideration. Therefore, the total HOME funds available will be
$500,000. Eligible HOME program activities include housing
rehabilitation, new construction and tenant-based rent assistance.
Local jurisdictions are also required to contribute a local match of 25
percent of the funding allocation. The total amount to be matched is
$500,000 less $50,000 (administration) or $450,000. Given the 25 percent
match requirement, a match of $112,500 would be necessary. Based on the
Consortium Agreement dated August 27, 1992 and amended September 28,
1993, this would require the following individual jurisdiction
contributions: Orange County (42%) - $47,250; Chapel Hill (41%) -
$46, 125; Carrboro ( 12%) - $13,500 and Hillsborough (5%) - $5,625. These
funds would need to be available in the 1995-96 fiscal year.
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Participation in the Federal HOME Program also requires the preparation
of a Consolidated Plan which replaces the Comprehensive Housing
Affordability Strategy (CHAS) . The new Plan would include strategies and
plans for the HOME Program and the Community Development Block Grant
Program. The Plan must be submitted to HUD by May 15, 1995. A public
hearing is required to obtain views of citizens, public agencies and
other interested parties regarding the Plan. County staff proposes March
8, 1995 as the first public hearing date for the Consolidated Plan.
Lastly, The Consortium must notify HUD in writing by February 24, 1995 of
its intention to become a participating jurisdiction. This notification
must come from the chief elected official of the lead entity. There may
also be other transmittals required prior to July 1, 1995 in order to
finalize the Consortium's participation in the Federal HOME Program which
will need the Chair' s signature. Prior approval by the Board of
Commissioners would enable us to respond to HUD in a timely manner.
RECOMMNDATION:
The Manager recommends:
1. The Board authorize the Chair to submit a Letter of Intent to
participate in the Federal HOME Program and other related documents
to the U.S. Department of Housing and Urban Development on behalf of
the Orange County- HOME Consortium.
2 . Establish March 8, 1995 as the public hearing date to receive public
comments regarding the Orange County Consolidated Plan.
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U.S. Department of Housing and Urban Development
* *z Greensboro Office, Region 1V
2306 West Mleadowview Road
Greensboro, North Carolina 27407
February 8, 1995
Mr. Moses Carey,Jr.
Chairman
Orange County BOC
P O Box 8181
Hillsborough, NC 27278
Dear Mr. Carey:
We are pleased to advise you that the formula allocations for the HOME Investment
Partnership Program for FY '95 have been published in the Federal Register, Volume 60, No. 16
dated January 25. The allocation for the Orange County consortium is $368,000.00.
It is important to note that Subpart 92.103 of the Interim Rule requires that a jurisdiction
must notify us, in writing, no later than 30 days after publication of the NOFA (February 24) of
its intention to become a participating jurisdiction (PJ). This requirement cannot be waived.
Failure to meet this deadline would mean the irretrievable loss of your HOME allocation for this
fiscal year. In addition, any unit of general local government that has a formula allocation of
$335,000.00 or more, but less than $500,000.00, and which has not previously been designated as
a PJ, must submit (with its notice of intent to participate) as evidence that it has met the
following participation threshold requirements:
1) A letter from the governor or designee indicating that the required funds have been
approved and budgeted for the unit of general local government;
2) Authorization from the State to transfer a portion of its HOME allocation to the
unit of general local government; or,
3) A letter from the chief executive officer of the unit of general local government
indicating that the required funds have been approved and budgeted.
If you have any questions, please contact Kermit Lawrence,Jr., at (910) 547-4006 (voice)
or 547-4055 (TDD).
Sincerely yours,
Charles T. Ferebee
Director
Community Planning & Development Division