Loading...
HomeMy WebLinkAboutAgenda - 05-17-2005-5nORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: May 17, 2005 Action Agen a Item No. -n SUBJECT: Development Agreement Amendment -Habitat for Humanity DEPARTMENT: Housing/Comm. Development PUBLIC HEARING: (Y/N) No ATTACHMENT(S): INFORMATION CONTACT: Letter from Habitat for Humanity Tara L. Fikes, ext. 2490 TELEPHONE NUMBERS: Hillsborough 732-8181 Chapel Hill 968-4501 Durham 688-7331 Mebane 336-227-2031 PURPOSE: To consider approval of an amendment to the Development Agreement between Orange County and Habitat for Humanity of Orange County, NC, Inc. dated February 23, 2003 for the acquisition of property on Sunrise Road in Chapel Hill and authorize the Manager to execute the amendment upon approval of the County Attorney, BACKGROUND: In December 2002, the Board of County Commissioners approved an allocation of $250,000 to Habitat for Humanity of Orange County, NC Inc. (HHOC) to assist in the acquisition of a 17-acre tract of land for the future development of affordable housing, County funds were allocated from the Housing Loan Trust Fund and available Community Development program income. The total purchase price was $400,000. On February 23, 2003, the County entered into a Development Agreement with HHOC that required Habitat to submit a sound, site-specific development proposal for the property by .June 30, 2005, with infrastructure construction to begin by September 30, 2005. HHOC has informed County staff that it will be unable to meet these target dates and requests that the dates be modified based on the current status of the project. Attached is a brief Status Report on the Sunrise Ridge Project from the HHOC Executive Director, As an initial step after completion of a Concept Plan, Habitat is currently preparing a development application for submission to the Town of Chapel Hill and anticipates completing the application by December 31, 2005. Given this information and based on discussions with HHOC officials, County staff recommends approving an amendment with Paragraph 3 of the original agreement modified to read as follows, 3 Time for Commencement and Completion. Habitat must submit a sound, site-specific development proposal for developing the Property by durre '^~o-~S December 31, 2005. At that time, Habitat must provide evidence that the surrounding community has 2 been involved in development plans. Actual infrastructure construction must begin by January 15, 2008. Habitat will be responsible for providing status reports to the County quarterly detailing the project activities until project completion beginning in January 2006 July-2005. In addition, Habitat agrees to furnish to the County a copy of its annual audit, performed by a certified public accountant within 90 days of the end of each fiscal year until the Project is complete. The project completion date is the closing date of the purchase by a qualified buyer of the last of the twenty-five units to be constructed for first time homebuyers or December 31, 2008 2010 whichever is earlier. In the event that Habitat is unable to proceed with any aspect of the project in a timely manner, and County and Habitat determine that reasonable extension(s) for completion will not remedy the situation, then the Termination of Agreement provisions of this Agreement (Section 6.a,) shall pertain, Habitat may, at its option, submit a written request for a delay of completion far County approval, The County may, at its option, approve any delay in the completion date or declare Habitat in default. Habitat shall monitor the constructed units far affordability for the period of affordability - ninety-nine (99) years. Final contract completion date shall be the latest end date of all assisted unit affordability periods. There is no mandatory project initiation timeframe in the use of Housing Loan Trust Fund dollars, as in the case of Sunrise Ridge, other than as stated above. In the use of Affordable Housing Band dollars, the BOCC has authorized a policy stating that land-banking projects must be initiated within five years, and non-land banking projects initiated within three years. As requested earlier, the Sunrise Ridge Coalition has been informed of this planned agreement amendment. FINANCIAL IMPACT: None, RECOMMENDATION(S): The Manager recommends approval of an amendment to the Development Agreement between Orange County and Habitat for Humanity of Orange County, NC, Inc. dated Febn~ary 23, 2003 for the acquisition of property on Sunrise Road in Chapel Hill and authorize the Manager to execute the amendment upon the review and approval of the County Attorney. 1•~•~ Habitat for Humanity Orange County, NC, Inc. 1829E Franklin St #1200B • Chapel Hill, NC 27514 • (919)932.7077, Fnx (919)932.7079 • info@orangehabitat org TO: Iolm Link, County Manager and Tara Fikes, Director of Housing and Comm. Dev. FROM: Susan Levy, Executive Director RE: Status Report on Sunrise Ridge DATE: May S, 2005 Recent Activity: HHOC submitted a Concept Plan to the Town of Chapel Hill in .July, 2004. The Concept Plan was reviewed by the Comrunity Design Commission at their August 18, 2004 and September 22, 2004 meetings, The Concept Plan was then presented to the Town Council on October 18, 2004 at a public heazing. Considerable comment about the plan from citizens in the adjacent neighborhoods was received at all tluee meetings. Habitat for Humanity, Orange Co., NC, Inc, (HHOC) requested $7Q,000 in 2005-2006 HOME funds for predevelopment costs fora 17 acre vacant tract of land on Sunrise Road that HHOC purchased in February 2003. The funds will cover the surveying, engineering and design costs necessary to submit a development application to the Town of Chapel Hill, through the approval of final plans and issuance of a zoning compliance permit (ZCP). HHOC hired Stewart Acoustical Consultants to evaluate noise exposure on the site due to the proximity of I-40, and to recommend appropriate mitigation measures, if necessary. On site measurements as well as calculations have been performed, and HHOC is awaiting the consultant's final report, which should be completed during the summer. Currently, Habitat is working on the preparation of the development application, which will take into account the results of recommendations from the acoustical consultant, as well as comments received during the Concept Plan review process, at the Community Design Commission meeting and the public hearing before the Town Council. The project engineer is also reviewing preliminary utility plans, which include the construction of a pump station, to ascertain if the sewer line from an adjacent property that is under consideration for development could be used to serve Sunrise Ridge. Such a comiection would eliminate the need for a pump station. We plan to submit the development application to the Town of Chapel Hill before the end of this calendar year.. Baclc2round HFIOC purchased the 17.18 acre tract in February of 200.3, The current zoning ofthe property is R-2, which allows for up to 4 units per acre. The Town of Chapel I-Iill provided $50,000 and Orange County provided $250,000 in funding to assist with the purchase of the Sumise Road property. I-IHOC provided $100,000 of its own privately raised funds for the balance of the purchase , HHOC's Board created an Ad Hoc Committee in early 2003 to meet with and receive input from neighboring residents of the property. This Ad Hoc Committee met on Januazy 28, 2003 with adjacent property owners, on February 12, 2003 with residents of Chandlers' Green, and on March 10, 2003 with residents who live along and off of Sunrise Road. At these initial meetings, the groups with whom HHOC's Ad Hoc Committee met expressed a very strong opposition to any rental housing being built on the property, and to any change in the current zoning of the property.. HHOC's Board subsequently adopted principles for the development of the property that included the following statement: "the 17 acre Sunrise Road property shall include no more than 68 homes" (the maximum number of homes perniissible under the current zoning) "to be built and sold as owner-occupied homes, The design is to encompass architectural vaziety to allow the best opportunities to create housing for homeowners of mixed income levels, and to create visual interest and harmony." Shortly thereafter, the Mayor appointed a Mayor's Committee to study the site, and engage in conversation with Habitat representatives and neighbors of the property. The Committee set forth 17 suggested goals/principles that it considered desirable for Habitat to consider in prepazing development plans.. The 17 goals were endorsed by both Habitat and the neighbors of the property, adopted by the full Council on May 12, 200.3, and were followed by Habitat in prepazation of the Concept Plan, One of the 17 recommendations adopted by the Council was for Habitat "to sponsor a workshop, involving neighbors of this property, to consider possible designs for the use of this property prior to preparation and submittal of a Concept Plan." On October 4, 2003, Habitat sponsored a design ehazrette for the property that was facilitated by Dr. David Godschalk of ITNC's Department of City and Regional Planning. Over 60 individuals participated in the charrette, half of whom were residents of the Sumise Road community, A team of local azchitects, planners, and designers who donated their time and expertise, used the results of the design charrette to produce several concept drawings that were presented at a public meeting held in March, 2004. Following the public presentation of the four design concepts, which concluded the charrette process begun in October, the Habitat Sunrise Road Site Committee, Habitat Boazd of Directors, and the design team prepared a concept plan which was submitted to the Town of Chapel Hill in July, 2004. The plan includes a combination of single family and attached homes (duplexes and triplexes) in a clustered design. Prior to submitting the concept plan to the Town of Chapel Hill, Habitat representatives met with neighbors of the property, including members of the Sunrise Coalition, and the Cha~rdlers Green Homeowners' Association, to present the concept plan and answer questions.