HomeMy WebLinkAboutAgenda - 02-07-2017 - 7-a - Proposed Release of Request for Proposals for Use of County Bond Funds and Designated Surplus Land for Affordable Housing 1
ORANGE COUNTY
BOARD OF COMMISSIONERS
ACTION AGENDA ITEM ABSTRACT
Meeting Date: February 7, 2017
Action Agenda
Item No. 7-a
SUBJECT: Proposed Release of Request for Proposals for Use of County Bond Funds and
Designated Surplus Land for Affordable Housing
DEPARTMENT: Housing, Human Rights and Community Development
ATTACHMENT(S): INFORMATION CONTACT:
1) Income Targets Approved Audrey Spencer-Horsley, Director
2) Project Scoring Criteria Amended Housing, Human Rights and Community
3) Maps of Parcels for Affordable Development (919) 245-2492
Housing Request for Proposals:
a) Overall County Map Showing All
Ten Potential Parcels
b) Individual Maps for the Parcels
4) BOCC Minutes - May 4, 1992
5) Resolution Authorizing the County
Manager to Convey County-Owned
Real Property By Private Sale Or
Other Means To Provide Affordable
Housing
6) Proposed Timeline for Request for
Proposals to Utilize County Bond
Funds and Designated Surplus
Land for Affordable Housing
7) Communications Plan for Release
of Affordable Housing RFP
PURPOSE: To receive an update on the timeline to release Request for Proposals (RFP) for
use of County bond funds for affordable housing projects and approval of the following:
1) An amended project scoring criteria that includes points for local residency preference;
2) A resolution declaring eight (8) County owned parcels surplus land for the purposes of
affordable housing development; and
3) The schedule for release of Affordable Housing RFP's for use of $2.5 million in bond
funds and eight (8) County-owned parcels for affordable housing development.
BACKGROUND: As a part of the Board's discussion and actions on the County's Proposed
Affordable Housing Strategic Plan, the Board approved income targets (Attachment 1) and
project selection criteria (Attachment 2) for affordable housing projects assisted with County
resources at its November 1, 2016 meeting. In addition, the Board requested that staff work
with the County Attorney to determine the feasibility of adding local residency preference and
2
bring an option to the Board for consideration. The amended project scoring criteria
(Attachment 2) includes criteria to address a local residency requirement for consideration.
The Board also authorized staff to proceed with preparing Request for Proposals for surplus
parcels identified by staff. A total of ten parcels, all having access to water and sewer service,
were identified for potential affordable housing development. Eight (8) parcels are owned by the
County, and two (2) owned by the Orange County Housing Authority (OCHA) (Attachments 3a
and 3b). On May 4, 1992 the Board of Commissioners conveyed two (2) parcels to the Orange
County Housing Authority to provide housing for persons with low income as indicated in the
meeting minutes (Attachment 4). On January 18, 2017, the Housing Authority approved
including these two parcels in the RFP process.
Attachment 5 is a resolution for Board consideration regarding the eight (8) vacant parcels
owned by the County. The resolution authorizes the County Manager to:
(1) Sell the properties by negotiated sale to either a public or private entity for the purpose
of developing affordable housing for persons of low to moderate income (the property
could be offered for below market rates to serve as a subsidy for the affordable
housing project);
(2) Lease the property to a public or private entity for the purpose of developing affordable
housing for persons of low to moderate income (the lease rate could also be
negotiated below market rate to serve as a subsidy for the affordable housing project);
and
(3) In the event that there are no developers interested in option (1) or (2), sell the
property on the private market with the proceeds of the sale dedicated to other
affordable housing projects.
The Resolution would also authorize the County Manager to place terms, conditions and
standards on the sale that would ensure that the properties are safe, convenient and remain
affordable. If the Board approves the resolution, the contents of the resolution must be
summarized and published once after its adoption. No sale can take place until 10 days after
publication.
The recommended schedule for the RFP release, evaluation, and award of the bond funds and
designated surplus land is outlined in Attachment 6.
The Community Relations Director has developed a communication plan for the RFP process
(Attachment 7) that is attached for your information. The communication plan will be shared
with the Affordable Housing Coalition at their meeting on February 9, 2017. The BOCC also
requested that the affordable housing providers provided input on revisions to the Affordability
Policy. These comments and staff recommendations will be presented at the BOCC work
session on February 16, 2017.
FINANCIAL IMPACT: A County referendum was approved on November 8, 2016 for $5 million
for affordable housing. The initial amount of bond funds for release of Request for Proposals for
will be up to $2.5 million. Eight parcels of County owned land and two parcels owned by the
Housing Authority have been identified for affordable housing development. The 2016 total
assessed value of the County owned property is estimated at $204,445 while the 2016
assessed value of the property owned by the Housing Authority is estimated at $71,734.
3
SOCIAL JUSTICE IMPACT: The following Orange County Social Justice Goals are applicable
to this agenda item:
• GOAL: FOSTER A COMMUNITY CULTURE THAT REJECTS OPPRESSION AND
INEQUITY
The fair treatment and meaningful involvement of all people regardless of race or color;
religious or philosophical beliefs; sex, gender or sexual orientation; national origin or
ethnic background; age; military service; disability; and familial, residential or economic
status.
• GOAL: ENSURE ECONOMIC SELF-SUFFICIENCY
The creation and preservation of infrastructure, policies, programs and funding
necessary for residents to provide shelter, food, clothing and medical care for
themselves and their dependents.
• GOAL: CREATE A SAFE COMMUNITY
The reduction of risks from vehicle/traffic accidents, childhood and senior injuries, gang
activity, substance abuse and domestic violence.
• GOAL: ESTABLISH SUSTAINABLE AND EQUITABLE LAND-USE AND
ENVIRONMENTAL POLICIES
The fair treatment and meaningful involvement of people of all races, cultures, incomes
and educational levels with respect to the development and enforcement of
environmental laws, regulations, policies, and decisions. Fair treatment means that no
group of people should bear a disproportionate share of the negative environmental
consequences resulting from industrial, governmental and commercial operations or
policies.
• GOAL: ENABLE FULL CIVIC PARTICIPATION
Ensure that Orange County residents are able to engage government through voting
and volunteering by eliminating disparities in participation and barriers to participation.
RECOMMENDATION(S): The Manager recommends that the Board receive the update and
approve:
1) The project scoring criteria as amended in Attachment 2;
2) A resolution declaring eight (8) County owned parcels surplus land for the purposes of
affordable housing development in Attachment 5 and authorizing the Chair to sign the
resolution; and
3) The schedule for release of Affordable Housing RFP's for use of $2.5 million in bond
funds and eight (8) County-owned parcels for affordable housing development in
Attachment 6.
Attachment 1 4
)14t: CA,R(2)11
County Funds to Help the County Reach a Countywide Shared Goal
of up to 1,000 Affordable Housing Units in Five Years: 2016— 2020
TARGETING INCOME and SPECIAL NEEDS by UNITS and PERCENT of FUNDS
Household Income Range Target Units Percent of Examples of Population
Funds Served
0 to <30% No Cap No Cap Minimum Wage Earners,
Childcare Providers,
Restaurant Service Workers
and Artists
>30%to< 60%Area Median No Cap No Cap Maintenance Workers,
Income Nursing Assistants and
Health Aides,Teacher
Assistants and Construction
Helpers
>60%to< 80%of Area Median No Cap 20% Workforce employees,
Income teachers, small business
owners and first responders
Special Needs Populations No Cap No Cap Residents with disabilities,
older adults/seniors,
residents experiencing or at
risk of homelessness, and
victims/survivors of domestic
violence
Total 1,000
U.S. Department of Housing and Urban Development(HUD) Income Limits as of April 13,
2016:Area median income for Orange County is$74,900(family of four)
30%-$21,200
50%-$35,350
60%-$42,420
80%-$56,550
Attachment 2
5
ORANGE COUNTY
NORTH CAROLINA
County Funds to Help the County Reach a Countywide Shared Goal of up to 1,000
Affordable Housing Units in Five Years: 2016— 2020
DRAFT
PROPOSED AFFORDABLE HOUSING PROGRAM EVALUATION: SCORING CRITERIA
AS AMENDED
A. Income Targeting and Special Needs (45 points)
Household Income Range Points to be Awarded
0to < 30% 25
>30%to< 60% of Area Median Income 15
> 60%to< 80%of Area Median Income 10
Special Needs Populations 20
B. Local Residency(5 points)
Percent of Orange County residents served at time of occupancy Points to be Awarded
80%to 100% 5
50%to 80% 2
O to 50% 1
C. Leveraging(55 points)
Percent Funded by Bonds and Other County Funding Points to be Awarded
60-80% 3
40-59% 6
20-39% 9
10-19% 15
<10% 20
Other Criteria Points to be Awarded
1. The project pays property taxes 2
2a. The project repays the bond funds—principal only. 3
2b. The project repays the bond funds—both principal and interest. 10
3.The Project is a Mixed Income Project: The project serves more than 10
one income category and minimizes the concentration of affordable
housing projects in a particular geographic area.
4.The Project is a Mixed Use Project: The project includes uses in 10
addition to residential uses that offer access to employment
opportunities, daily needs and health and human services.
6
D. Building Design (25 points)
Scoring Criteria Maximum Points to Be Awarded
1. The project meets or exceeds the NC Housing Finance Agency Energy 3
Efficiency Criteria.
2. The project is accessible to needed services for the target population 4
such as healthcare, schools, and or grocery shopping.
3. The project provides for handicap accessibility and/or utilizes the 5
principles of Universal Design in the building design.
4.Additional points may be awarded for meeting aspects associated 2
with functionality, maintenance and dispersal.
5. The project is connected to water and sewer service or will connect to 6
existing service or will use a community well and sewer system
consistent with water and sewer boundary agreements and local
standards.
6. Public transportation and related facilities and improvements are 5
available where applicable, e.g., bus shelter, accessible stops, etc.
E. Community Design (10 points)
Scoring Criteria Maximum Points to be Awarded
7. The project contributes to a mix of housing within an existing 3
neighborhood.
8. Additional points may be awarded for criteria associated with building 3
appearance, quality of construction, compatibility with surrounding
housing, ability to foster a sense of a secure community, and contributes to
neighborhood revitalization and or affordable housing preservation.
(Details must be provided by applicant)
9. Environmental impacts are identified with plans included to adequately 4
address minimizing impact on environment, e.g. reuse of building materials
recycling, storm water management and water conservation.
F. Community Sponsorship/Support (20 points)
Scoring Criteria Maximum Points to be Awarded
1. The applicant can submit explicit evidence that they coordinated the 6
application with other organizations to complement and/or support the
proposed project.
2. The applicant involved the intended beneficiaries of the project in the 6
planning process and describes outreach and marketing plan to be inclusive.
3. The applicant can demonstrate that it has been actively involved, or 4
describes the steps it will take to become actively involved in the
Community's Consolidated Planning process to identify and address a
housing need or problem that is related in whole or part to the proposed
project.
4. The applicant has developed, or describes plans to develop linkages with 4
other community activities so solutions are holistic and comprehensive.
DRAFT 7
G. Project Feasibility(30 points)
Scoring Criteria Maximum Points to be Awarded
1.The applicant can demonstrate site control, zoning, compliance, and a 10
timely construction schedule that is feasible.
2. Funding (other than bond or other County funding) is in place at the 10
time of application.
3.The applicant's proposal is complete and presents a proposed project 10
budget and financial model that is sustainable and based on reasonable
assumptions.
H. Developer Experience(25 points)
Scoring Criteria Maximum Points to be Awarded
1. Experience of the applicant in carrying out projects of comparable 10
scope and nature (e.g., new construction, rental housing, rehabilitation,
etc.)to that proposed, and has met regulatory compliance for prior
projects.
2. Applicant has proposed a team with demonstrated development, 5
managerial and financial management capabilities in prior projects.
3. Applicant has successful record of meeting proposed budgets and 10
timetables.
TOTAL POTENTIAL POINTS: 215
Potential County/Orange County Housing Authority Land for Affordable Housing
Request for Proposals Attachment 3a
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9778941081 Near 136 Wentworth St '
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Attachment 3b
Maps of Parcels for Affordable Housing Request for Proposals: Map/Parcels 1-10
Map 1, Parcel Number 9778930971
Housing Authority
2016 Assessed Value: $39,619
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Map 2, Parcel Number 9778941081
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2016 Assessed Value: $32,115
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Map 4, Parcel Number 9799746369
2016 Assessed Value: $27,768
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Map 5, Parcel Number 9835416142
2016 Assessed Value: $43,300
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r Attachment 4 1
APPROVED 6-29-92, MINUTES
ORANGE COUNTY HOUSING AUTHORITY
MAY 4, 1992
The Orange County Board of Commissioners met as the Orange County
Housing Authority on May 4, 1992 at 7:25 p.m. in Superior Courtroom in
Hillsborough, North Carolina.
COUNTY COMMISSIONERS PRESENT: Chair Moses Carey, Jr., and Commissioners
Alice M. Gordon, Stephen H. Halkiotis and Don Willhoit.
COUNTY COMMISSIONER ABSENT: Verla C. Insko
COUNTY ATTORNEY: Geoffrey Gledhill
STAFF PRESENT: County Manager John M. Link, Jr. , Assistant County
Manager Rod Visser, Deputy Clerk to the Board Kathy Baker, Clerk to the Board
Beverly A. Blythe, Planning Director Marvin Collins, Housing and Community
Development Director Tara Fikes, Purchasing Director Pam Jones, Budget
Director Sally Kost, Health Director Dan Reimer, and EMS Director Nick
Waters.
PROPERTY TRANSFER FROM ORANGE COUNTY TO THE HOUSING AUTHORITY
Motion was made by Commissioner Halkiotis, seconded by Commissioner
Gordon to adopt the resolution as stated below which conveys the property in
the Knolls community to the Orange County Housing Authority and authorizes
the Chair to sign the resolution on behalf of the Board:
RESOLUTION OF THE ORANGE COUNTY
HOUSING AUTHORITY ACCEPTING PROPERTY
CONVEYED BY ORANGE.COUNTY
WHEREAS, on the 4th day of May, 1992, the Chairman of the Orange County
Board of commissioners tendered non-warranty deeds to the Orange County
Housing Authority for the following parcels of property (hereinafter referred
to as "the parcels of property") :
Parcel I: Tax Parcel 7.100.C.10 ct - - 9 4.-.i c?:f
Parcel II: Tax Parcel 7.100.C.10A rG 9T-. _mow r
Parcel III: Tax Parcel 7.91.H.7
WHEREAS, the Orange County Housing Authority has determined that the
parcels of property can be developed to provide dwelling accommodations for
persons of low income; -
WHEREAS, it is expected that Habitat for Humanity of Orange County will
present to the Orange County Housing Authority a- development plan for the
development of the parcels of property in order to provide dwelling
accommodations for persons of low income; and
WHEREAS, it is expected that Habitat for Humanity of Orange County and
the Orange County Housing Authority will enter into a cooperation agreement
which will provide for the development and construction of housing for
persons of low income to be located on the parcels-of property.
NOW, THEREFORE, BE IT RESOLVED, pursuant to North Carolina General
Statutes 157.1 et seq. , the Orange County Housing Authority accepts the
tender of deeds from Orange County for the parcels of property by accepting
the non-warranty deeds tendered by Orange County which in form and substance
are the same as the copies of those deeds which are Exhibits A, B and C to
•
20
this Resolution. -
This the Atli day of Hay. 1992.
VOTE: UNANIMOUS
NOTE: FOR THE RECORD, THESE DEEDS HAVE BEEN PROPERLY EXECUTED AND
RECORDED AND ARE PRESENTLY IN THE VAULT LOCATED IN THE FINANCE
DEPARTMENT ALONG WITH ALL OTHER DEEDS FOR COUNTY GOVERNMENT
PROPERTY.
ADJOURNMENT
With no further items for consideration, Chair Carey adjourned the
meeting.
Moses Carey, Jr., Chair
Beverly A. Blythe, Clerk -
•
RES-2017-007 Attachment 5
21
ORANGE COUNTY BOARD OF COMMISSIONERS
RESOLUTION AUTHORIZING THE COUNTY MANAGER TO CONVEY
COUNTY-OWNED REAL PROPERTY BY PRIVATE SALE OR OTHER
MEANS TO PROVIDE AFFORDABLE HOUSING TO PERSONS OF LOW
OR MODERATE INCOME
WHEREAS, the Orange County Board of Commissioners ("Board") is committed to
developing safe, convenient, accessible and efficient affordable housing for low and moderate
income households; and
WHEREAS, North Carolina General Statute § 153A-378 provides in part that the
County may convey property owned by Orange County by private sale to any public or private
entity that provides affordable housing to persons of low or moderate income under and terms
and conditions that the Board may determine; and
WHEREAS, North Carolina General Statute § 153A-165 authorizes the Board to lease
real property, with or without an option, for an authorized public purpose; and
WHEREAS, Orange County owns the below listed properties that they want developed
for affordable housing for persons of low to moderate income:
• PIN#9778-94-1099
• PIN#9799-74-6369
• PIN#9835-41-6142
• PIN#9846-53-4499
• PIN#9865-51-6149
• PIN#9865-51-7394
• PIN#9865-61-4458
• PIN#9865-62-2018
All located in the Orange County Registry;
NOW, THEREFORE, BE IT RESOLVED by the Orange County Board of
Commissioners that the following procedures and standards for affordable housing are hereby
adopted and shall be followed:
1. That the County Manager is hereby authorized, subject to legal review and approval
by the County Attorney, to execute the necessary documents to convey the above
described property either by negotiated sale or lease to private of public entity for the
development of affordable housing for persons with low to moderate income.
2. That the County may use or convey the property to either provide or partner with a
federal, state, town, private or non-profit entity to provide affordable housing
opportunities for persons of low to moderate income in Orange County.
3. That any property conveyed for the development of affordable housing be developed
within thirty months under procedures, standards and conditions established by the
22
County, including the condition that the property be developed for sale or lease to
persons of low or moderate income.
4. The above listed properties owned by Orange County be conveyed for the
development of affordable housing, as provided in North Carolina General Statutes
§§ 153A-378 and 153A-165 to either private or public entities, as the law allows, with
extensive experience in developing and rehabilitating properties, preferably for
persons of low or moderate income; and who agree to develop and market the
property for sale or lease to persons of low or moderate income.
5. That as part of any such conveyance of property for development of affordable
housing, covenants or conditions be attached to the property to assure the property
will be developed by the entity for sale or lease to persons of low or moderate
income.
6. That if the Orange County Manager disposes the property by private sale at a
negotiated price a notice summarizing the content of the resolution shall be published
once after its adoption and no sale shall be consummated until 10 days after its
publication.
Adopted this the 7th day of February 2017.
Mark Dorosin, Chair
Orange County Board of Commissioners
ATTEST:
Donna Baker, Clerk to the Board
23
Attachment 6
Orange County Request for Proposals Utilizing Bond Funds and Surplus Land for
Affordable Housing Development
TIMELINE (Tentative)
February 7, 2017 Board of County Commissioners (BOCC) Approve
Release of RFPs for Bond Funds and Surplus Land
February 16, 2017 BOCC Work Session — Discussion County Policies for
Preserving Affordable Housing
February 20, 2017 RFPs Applications Released
February 27 — March 2, Application Workshop(s)
2017
February 20, 2017 — March Applicant Preparation of Applications
30, 2017
March 31, 2017 Application Submissions are Due
April 2017 Review Applications —County Team
May 2017 Affordable Housing Advisory Committee Review
June 6, 2017 BOCC consider approval of recommendations
June 16 - July 1, 2017 Contracts Executed & Projects Begin
Attachment 7
24
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COUNTY MANAGER'S OFFICE
200 South Cameron Street Bonnie B. Hammersley, County Manager Phone(919)245-2300
Post Office Box 8181 Fax(919)644-3004
Hillsborough, North Carolina 27278
To: Board of Commissioners
From: Todd McGee, Community Relations Director
Subject: Communications Plan for Release of Affordable Housing RFP
Date: February 7, 2017
On November 8, 2016, voters in Orange County approved a $5 million bond referendum
to support affordable housing initiatives. Budget plans for how bond funds would be
drawn down included an initial amount of$2.5 million in bond funds for the first year and
a second draw of up to $2.5 million in a subsequent year depending on viable affordable
housing proposals received by the county. In December, the Board approved the criteria
to be used to score the proposals.
The Community Relations Department has been charged with developing a strategic
communications plan to promote the availability of these bonds funds and the release of
the RFP. The plan will include several components.
The Community Relations Department will create a page on the Orange County website
with links to the RFP and all other relevant materials (potential sites, scoring matrix,
etc.). The page will be linked prominently from the home page of the county website,
similar to the Bus-Rail Information button. The website will be live no later than three
days after the RFP is published.
A news release will be distributed when the site becomes live. In addition to the local
media, the release will be sent to statewide affordable housing organizations such as
the N.C. Housing Coalition and the N.C. Housing Finance Agency, and shared with our
municipal partners within Orange County.
The release of the RFP will be promoted on the county's social media sites (Facebook
and Twitter) with weekly tweets through the deadline to return the RFPs. Information will
also be included in the Orange County weekly e-mail newsletter— once when the RFPs
are first available, and again a week before the deadline.
An Equal Opportunity/Affirmative Action Employer
www.orangecountync.gov
25
Staff from the Department of Housing, Human Rights and Community Development will
share the information with their list of affordable housing partners and ask those
partners to distribute the information to any interested parties. The DHHRCD will notify
the public through advertisements in local newspapers.
Other opportunities to promote the plan will be pursued, including appearances on
WCHL by staff or the Chair, during his regular update.