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HomeMy WebLinkAboutAgenda - 06-20-2017 - 8-f - Impact Fee Reimbursement Request - Habitat for Humanity 1 ORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: June 20, 2017 Action Agenda Item No. 8-f SUBJECT: Impact Fee Reimbursement Request — Habitat for Humanity DEPARTMENT: Housing, Human Rights & Community Development ATTACHMENT(S): INFORMATION CONTACT: Letter of Request from Habitat for Annette Moore, Interim Director, Housing Humanity Human Rights and Community Development, (919) 245-2492 PURPOSE: To consider the reimbursement of impact fees requested by Habitat for Humanity in the amount of $33,738 for six (6) homes constructed in Orange County for low income persons. BACKGROUND: On November 1, 1995, the BOCC approved a policy for impact fee reimbursement to local non-profit organizations that met established eligibility criteria (last revised on March 4, 1998). Since that time, the County has budgeted money in the Affordable Housing Reserve for the purpose of reimbursing impact fees for qualifying agencies and properties. The Housing Impact Reimbursement Policy requires, in pertinent part, that: • Reimbursements will only be made to a 501(c)(3) non-profit organization which (1) develops affordable housing to be owner-occupied by first-time homebuyers with incomes at or below 80% of the HUD published area median income (AMI) for the Raleigh-Durham-Chapel Hill, NC Metropolitan Statistical Area (MSA); and • Affordable Housing is defined as owner-occupied housing which can be purchased for no more than 2.5 times annual family income; and • The organization requesting the impact fee reimbursement must certify in writing that the owner-occupied housing will remain affordable to the anticipated beneficiary or beneficiaries for a period of a minimum of twenty (20) years or longer if required by an applicable HUD policy. The County has received an impact fee reimbursement request from Habitat for Humanity, a non-profit corporation, for $33,738 for the construction of six (6) single-family, owner-occupied homes in Efland (Tinnin Woods). Staff has reviewed the request, sufficient information on each home buyer so as to determine the income and number of persons in each household, and the average construction budget for the houses and the receipts from the paid impact fees. Habitat has provided evidence that the impact fees for the referenced properties were paid and the 2 homes purchased and now occupied by qualified low-income families. Staff is recommending the following projects for reimbursement: INCOME ELIGIBILITY Annual Income Family Size % of AMI * Impact Fee 1 $ 26,458 1 <60% $5,623 2 $ 22,568 3 <50% $5,623 3 $ 35,528 2 <60% $5,623 4 $ 30,943 3 <50% $5,623 5 $ 19,716 2 <50% $5,623 6 $ 21,862 3 <50% $5,623 *Based on the 2017 HUD Area Median Income for Orange County(Durham-Chapel Hill Metro Area) FINANCIAL IMPACT: The current balance in the Impact Fee Reimbursement budget is $184,603. An expenditure of$33,738 would leave a balance of$160,865. SOCIAL JUSTICE IMPACT: The following Orange County Social Justice Goals are applicable to this 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. RECOMMENDATION(S): The Manager recommends that the Board approve the request for reimbursement of impact fees for Habitat for Humanity in the amount of $ 33,738. 3 ,,OW N'i' 88 Vilcom Center Drive,Suite L110 Chapel Hill,NC 27514 b �. P(919)932-7077,F(919)932-7079 o fr Humanity' www.orangehabitat.org Orange County, NC info @orangehabitat.org April 28, 2016 Ms. Annette Moore Orange County Housing, Human Rights, and Community Development P.O. Box 8181 Hillsborough,NC 27278 Dear Annette: This letter is to request reimbursement for impact fees for 6 new affordable homes constructed and sold in the current fiscal year by Habitat for Humanity of Orange County. The homes are located in the Tinnin Woods subdivision in Efland. The total amount requested is $33,738. All of the homes have closed and recorded Agreements and Deeds of Trust should have been sent to your department. The impact fees of$5,623 per home for 6 homes were paid to Orange County. The receipts for payment are attached. . The names, addresses, and demographic and income information for the buyers is attached as well as the actual average cost of construction for the homes. Please let me know if there is any other information you need. I hope that the Board of Commissioners will be able to approve the request in time for us to receive the reimbursement prior to the end of the fiscal year on June 30. Thanks for your assistance. Sincerely, Susan Levy Executive Director