HomeMy WebLinkAbout2019-879-E Housing - EmPOWERment mobile home park initiativeORANGE COUNTY
MANUFACTURED HOME PARK INITIATIVE
DEVELOPMENT AGREEMENT TO TRANSFER
MANUFACTURED HOMES
NORTH CAROLINA
This is an AGREEMENT between Orange County, a body politic and corporate of the State of
North Carolina (hereinafter, the “County”) and EmPOWERment, Inc., a North Carolina non-profit
corporation (hereinafter, the “Owner” or “EmPOWERment”). The effective date of this Agreement is
_____November 14, 2019_______________.
WITNESSTH
WHEREAS, the County and EmPOWERment entered into an Affordable Housing Land
Banking/Manufactured Home Park Initiative Development Agreement effective March 23, 2018 (“2018
Agreement”) whereby the County awarded EmPOWERment funds in the amount of $280,600 to provide
relocation coordination and other associated services, including securing new or near-new manufactured
homes and associated rental lots (“the Project”); and
WHEREAS, Exhibit A, Scope of Services, to the 2018 Agreement provided that, in the event the
County purchased the needed new or near-new manufactured home units due to time constraints, the County
would transfer ownership of the purchased units to EmPOWERment to perform the activities described in
the Original Agreement; and
WHEREAS, the County purchased two manufactured home units, identified by Serial Numbers
CWP039084TN and CWP039085TN pursuant to the Original Agreement, at a cost of $166,057; and
WHEREAS, on June 18, 2019, by Resolution 2019-046, the Orange County Board of County
Commissioners determined that it was in the public interest to convey the manufactured home units to
EmPOWERment for the price of one dollar ($1.00) with the covenant that EmPOWERment shall rent the
manufactured homes to low income families earning up to 80% of the HUD area median income, including
entering into lease-purchase agreements with eligible tenant families to facilitate homeownership by
persons of low or moderate income in Orange County, pursuant to Orange County’s Displacement
Mitigation Assistance Program (“D-MAP”). Tenants participating in D-MAP’s lease-purchase component
shall spend no more than thirty percent (30%) of their total household income on the purchase of the unit.
EmPOWERment shall further covenant to return to Orange County on a monthly basis all payments made
by tenants who will be purchasing their replacement manufactured home unit under the lease-purchase
component of the D-MAP, not including the monthly maintenance fee or lot rental fee; and
WHEREAS, EmPOWERment agrees to utilize the manufactured homes in accordance with the
D-MAP and covenants outlined in the Orange County Board of County Commissioner’s Resolution 2019-
046; and
WHEREAS, notwithstanding any provision of this Agreement, the County and EmPOWERment
hereto agree and acknowledge that this Agreement does not constitute a commitment of funds or site
approval, and that such commitment of funds or approval may occur only upon satisfactory completion of
an environmental review, as applicable. The parties further agree that the provision of such funds to the
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project is conditioned on Orange County’s determination to proceed with, modify, or cancel the project
based on the results of a subsequent environmental review, as applicable.
NOW THEREFORE, in consideration of the mutual covenants, promises, and representations
contained herein, it is agreed between the parties as follows:
I. USE OF MANUFACTURED HOMES
A. The County shall transfer title of the manufactured homes to EmPOWERment within three (3)
months from the effective date of this Agreement.
B. EmPOWERment shall lease the manufactured homes to low income families earning up to 80%
of the HUD area median income, and may enter into lease-purchase agreements with tenants who
have rented the manufactured homes for one year and meet other qualifications established by the
County, pursuant to the D-MAP (the “Project”).
C. EmPOWERment shall return to the County on a monthly basis all payments made by tenants
participating in the lease-purchase component of the D-MAP, not including the monthly
maintenance fee or lot rental fee, for the duration of this Agreement.
D. The term of the lease-purchase agreements shall be ten years. The purchase price of each
manufactured home shall not exceed thirty percent (30%) of the participating tenant’s total
household income.
E. EmPOWERment shall adhere to the agreed upon monthly Admin/Maintenance Fee of $25.00-
$75.00, as applicable, and depending on the tenant’s total household income. The fee schedule
shall be as follows:
a. Total household income is 80% of AMI = $75.00
b. Total household income is 60-79% of AMI = $65.00
c. Total household income is 50-59% of AMI = $55.00
d. Total household income is 40-49% of AMI = $45.00
e. Total household income is 30-39% of AMI = $35.00
f. Total household income is <30% of AMI = $25.00
i. The fee for households earning below 30% AMI may be waived based on a
documented household hardship
F. EmPOWERment shall provide copies of its leases and/or lease-purchase agreements with tenants
occupying the manufactured homes to the County’s Department of Housing and Community
Development.
G. EmPOWERment shall provide the County a schedule of all maintenance activities undertaken at
the manufactured homes and allow annual inspection of the manufactured home by the
appropriate County Department.
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H. EmPOWERment shall conduct all property management activities related to the manufactured
homes in accordance with general property management principles, as well as state law, including
but not limited to any necessary evictions.
I. EmPOWERment shall provide the County with a quarterly financial accounting of all revenue
and expenditures related to the manufactured home units. All requests for a budget revision must
be submitted in writing for review and approval by the County prior to implementation. Review
and approval by the County may take at least fifteen (15) days.
J. EmPOWERment shall continue to adhere to the obligations set out in the 2018 Agreement. To the
extent the terms and conditions of the 2018 Agreement conflict with the terms and conditions set
out in this Agreement, this Agreement shall control with respect to the manufactured homes
identified herein.
II. DURATION OF THE AGREEMENT
This Agreement shall remain in effect until the manufactured homes identified herein have been
purchased by an eligible tenant pursuant to a lease-purchase agreement in accordance with the D-
MAP.
III. AFFORDABILITY REQUIREMENTS
A. EmPOWERment agrees to lease the manufactured home units to low income families earning
up to 80% of the HUD area median income throughout the duration of this Agreement. Area
Median Income by family size is determined by the U.S. Department of Housing and Urban
Development and amended from time to time. Residential leases shall not exceed one year in
term and may be renewed each year. For tenants entering a lease-purchase agreement after
twelve (12) months of renting and meeting all applicable requirements, the purchase price of
the manufactured home unit shall not exceed thirty percent (30%) of the participating tenant’s
total household income. The term of the lease-purchase agreement shall be ten (10) years.
EmPOWERment may offer other loan terms upon consultation with and concurrence by the
County.
B. The manufactured home units must remain affordable during the “Period of Affordability,”
starting from the effective date of this Agreement and continuing for a period of ten (10)
years thereafter or until the manufactured homes identified herein have been purchased by an
eligible tenant pursuant to a lease-purchase agreement in accordance with the D-MAP,
whichever is later.
C. Resale Provisions.
i. If EmPOWERment no longer uses the manufactured homes as rental housing to
families eligible to rent and/or lease-to-purchase a manufactured home unit under this
Agreement or is unable to continue ownership, then they must sell, transfer, or
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otherwise dispose of their interest in the manufactured homes only to an agency with
similar interest in affordable housing serving families with incomes not exceeding
80% of the HUD area median household income by family size, as determined by the
U.S. Department of Housing and Urban Development at the time of the transfer. The
non-profit fund, foundation, or corporation of like purpose must have established its
tax-exempt status under Section 501(c)(3) of the Internal Revenue Code.
ii. If either or both of the manufactured homes are sold, transferred, or otherwise
disposed of during the Period of Affordability to other than an agency with similar
interest in affordable housing as provided in III.C.a. above, the Right of First Refusal
provision of the County’s then-current Long-Term Housing Affordability Policy
must be followed, and the unpaid balance due to the County from monthly payments
made and/or anticipated to be made for the remaining term of any lease-purchase
agreements shall become immediately due and payable.
iii. The resale provision shall remain in effect for the Period of Affordability.
iv. Any proceeds from the recapture of funds under this provision will be used to
facilitate the acquisition, construction, and/or rehabilitation of housing for the
purposes of promoting affordable housing.
IV. OWNER PERFORMANCE UNDER THIS AGREEMENT
A. Owner agrees to lease the manufactured home units to families whose income does not
exceed 80% of the area median income by family size, as determined by the U.S. Department
of Housing and Urban Development and as may be amended from time to time. Monthly
rents shall not exceed the HUD Published Fair Market Rents in effect at the time of
occupancy. Residential leases shall not exceed one year in term.
B. In the event Owner is unable to complete its obligations to occupy the manufactured homes
that are the subject of this Agreement in order to return to the County on a monthly basis
payments made by tenants participating in the lease-purchase component of the D-MAP,
Owner will be required to repay the full amount of the funds expended by the County on the
purchase of the unoccupied manufactured home(s).
C. Owner shall ensure the manufactured home units under its control meet the Section 8
Housing Quality Standards (HQS) prior to leasing. All repair or maintenance work conduct
by the Owner shall be completed in accordance with Orange County and North Carolina
building codes and zoning ordinances, as applicable.
D. Owner is responsible for verifying the income of prospective tenants and maintaining
eligibility data. Owner shall maintain tenant files as part of its Books and Record as required
and for the period of time identified in Section V.3.iii of this Agreement. To the extent it has
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not already done so prior to the effective date of this Agreement, Owner shall provide the
County an initial occupancy report verifying the income eligibility of all tenants at the time of
initial lease-up. Owner shall furnish the County with an annual report on the manufactured
home units by June 30 of each year for the duration of this Agreement.
E. Each manufactured home unit must have a value that does not exceed 100% of its appraised
value. An independent, qualified appraiser must conduct the appraisal.
F. Owner shall submit an annual rental operations budget to the County each year at lease ninety
(90) days prior to the July 1 beginning date of the fiscal year.
G. Owner agrees that any maintenance fee charged relating to any manufactured home unit shall
not exceed $75.00 and will take into account the tenant’s total household income, as outlined
in Section I.E. of this Agreement.
H. To the extent it has not already done so prior to the effective date of this Agreement, Owner
agrees to offer lease-purchase arrangements with tenants after one year of renting and
meeting qualifications established by the County.
I. Owner agrees and authorizes the County to conduct on-site reviews, examine client and
contractor records, client applications and to conduct any other procedures or practices to
assure compliance with these provisions.
J. Owner agrees not to violate any State or Federal laws, rules or regulations regarding a direct
or indirect illegal interest on part of any employee or elected official of the Owner in the
Project or payments made pursuant to this Agreement.
K. County shall provide, upon request, copies of all laws, regulation and orders cited in this
Agreement.
L. Owner certifies by executing this Agreement that Owner has not been identified, and has not
utilized the services of any agent or subcontractor identified, on the list created by the State
Treasurer pursuant to G.S. 147-86.58. By executing this Agreement Provider certifies that
Provider has not been identified, and has not utilized the services of any agent or subcontractor
identified, on the list created by the State Treasurer pursuant to G.S. 147-86.81. By executing
this Agreement Provider affirms Provider is and shall remain in compliance with Article 2 of
Chapter 64 of the North Carolina General Statutes.
M. Owner hereby assures and certifies that it will comply with regulations, policies, guidelines,
and requirements with respect to the acceptance and use of funds in accordance with the
policies of the County. Owner further certifies with respect to the Project that the Project will
be conducted and administered in compliance with:
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1. Title VI of the Civil Rights Act of 1964 (Pub. L. 88-352, 42 U.S.C.§§ 2000d et seq.)
and implementing regulations issued at 24 CFR Part I;
2. Title VIII of the Civil Rights Act of 1968 (Pub. L. 90-208, 42 U.S.C. §§ 2000d at
seq.), as amended; and that Habitat will administer all programs and activities related
to housing and community development in a manner to affirmatively further fair
housing;
3. Section 109 of the Housing and Community Development Act of 1974, as amended;
and the regulations issued pursuant hereto;
4. Section 3 of the Housing and Urban Development Act of 1968, as amended;
5. Executive Order 11246-Equal Opportunity, as amended by Executive Orders 11375
and 12086, and implementing regulations issued at 41 CFR Chapter 60;
6. Executive Order 11063-Equal Opportunity in Housing, as amended by Executive
Order 12259, and implementing regulations at 24 CFR Part 107;
7. Section 504 of the Rehabilitation Act of 1973 (Pub. L. 93-112), as amended, and
implementing regulations when published in effect;
8. The Age Discrimination Act of 1975 (Pub. L. 94135), as amended, and implementing
regulations when published for effect;
9. The Fair Housing Act (42 U.S.C. 3601-20);
10. Title II of the American Disabilities Act;
V. ADMINISTRATION AND REPORTING REQUIREMENTS
1. Owner shall submit to the County a quarterly Progress Report no later than the fifth day of
the months of January, April, July, and October until the completion of this Agreement.
2. Owner is responsible for verifying the income of prospective tenants and maintaining
eligibility data. Owner shall maintain tenant files as part of its Books and Records as
required and for the period of time required by Section V.3.iii of this Agreement. The
Owner shall provide the County an initial occupancy report verifying the income of all
tenants at the time of initial occupancy. The Owner shall then furnish the County with an
annual report on the manufactured home units by June 30 of each year thereafter certifying
the total household income of all tenants, as determined by HUD and as amended from
time to time.
3. Miscellaneous Provisions
i. Termination of Agreement. The full benefit of the Project will be realized only
after completion of the affordability period for all manufactured home units. It is
the County’s intention that the full public benefit of the Project be completed
under the auspices of the Owner for the assisted units as follows:
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1. In the event that Owner is unable to proceed with any aspect of the
Project in a timely manner, and the County and Owner determine that
reasonable extension(s) for completion will not remedy the situation,
then Owner will retain responsibility for requirements for any dwelling
units assisted and the County will make no further payments to the
Owner. Owner may be required to repay funds pursuant to Section IV.B.
2. In the event that Owner, prior to the contract completion date, is unable
to continue to function due to, but, not limited to, dissolution or
insolvency of the organization, its filing a petition for bankruptcy or
similar proceedings, or is adjudged bankrupt or fails to comply or
perform with provisions of this Agreement, then Owner shall, upon the
County’s request, convey to the County the Property assisted with
County funds. Conveyance shall be at the sole discretion of County and
on a manufactured home unit by manufactured home unit basis.
Conveyance shall be on the terms set forth herein:
a. Conveyance shall occur within thirty (30) days of the County
and Owner's agreement of CHT’s inability to continue as a
viable organization.
b. Should the manufactured home units be classified as personal
property, Owner shall transfer title to County in accordance with
NCDMV policies and procedures. Should the manufactured
homes be classified as real property, Owner shall convey the
Property to the County by general warranty deed, free and clear
of all liens and encumbrances of record except those which
create a beneficial interest in the County (Declaration of
Restrictive Covenants and Deed of Trust).
ii. Default, Remedies. This Agreement may be terminated by a non-defaulting
party upon an event of default hereunder, after written notice thereof and thirty
(30) days grace period in which the defaulting party may act to cure. As used
herein, the term "an event of default" shall mean and refer to a failure or act of
omission by either party with respect to any undertaking, obligation, covenant or
condition as set forth in this Agreement. With respect to any event of default, the
non-defaulting party may exercise any right available to it at law or in equity
with respect to such default.
iii. Books and Records. Owner shall maintain records of its requirements under this
contract for a period of not less than five (5) full fiscal years following the
contract completion date.
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1. Owner shall ensure access to records and financial statements, as
necessary, to provide effective monitoring and evaluation of project
performance. Additionally, Owner shall submit a copy of its annual
audit to the County.
2. Upon reasonable advance notice, the County or its authorized
representatives may from time to time inspect, audit, and make copies
of any of Owner's records that relate to this contract. If any audit by
the County discloses that payments to Owner were in excess of the
amount to which Owner was entitled under this contract, Owner shall
promptly pay to the County the amount of such excess. If the excess
is greater than 1% of the contract amount, Owner shall also reimburse
the County its reasonable costs incurred in performing the audit.
3. Owner shall maintain files of all tenants residing in the manufactured
home units. Documentation shall verify eligibility for the
manufactured home units prior to the initial signing of the lease and/or
lease-purchase agreement and re-verified annually according to HUD
regulations. Information maintained shall include, as applicable:
household income, household composition, race/ethnicity, familial
status, and disability status.
4. Owner shall maintain records verifying the affordability of the
dwelling unit.
iv. Notices. Any Notice shall be in writing and shall be given by depositing the same
in the United States mail, post-paid and registered or certified, and addressed to
the party to be notified, with return-receipt requested, or by delivering the same in
person to an officer or principal of such party. Notice deposited in the mail in the
manner here in above described shall be effective upon mailing. For purposes of
Notice, the addresses of the parties shall, unless changed as hereinafter provided,
be as follows:
To the County: Orange County
c/o Housing and Community Development
Department
P.O. Box 8181
Hillsborough, NC 27278
ATTN: Director
To Owner: EmPOWERment, Inc.
109 N. Graham Street, Suite 200
Chapel Hill, NC 27516
ATTN: Chair, Board of Directors
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Either the County or Owner may change the person or address to which any future
Notice shall be given as herein provided.
v. No Assignment. No transfer or assignment of the interest of Owner in this Agreement
shall occur without the prior written consent of the County; neither may Owner assign
this Agreement without the prior written consent of the County.
vi. Binding Effect. This Agreement shall be binding upon and shall inure to the benefit
of the parties hereto and their respective successors and assigns.
vii. Indemnification. To the extent legally possible, Owner shall indemnify and hold the
County, its officers, agents, and employees, harmless from and against any and all
claims, actions, liabilities, costs, including attorney fees and other costs of defense,
arising out of or in any way related to any act or failure to act by Owner, its employees,
agents, officers, and contractors in connection with this contract. In the event any such
action or claim is brought against the County, Owner shall, upon the County's tender,
defend the same at Owner’s sole cost and expense, promptly satisfy any judgment
adverse to the County or to the County and Owner jointly, and reimburse the County
for any loss, cost, damage, or expense, including attorney fees suffered or incurred by
the County.
viii. Subcontracting. Owner shall not subcontract work under this Agreement, in whole
or in part, without the County's prior written approval. Owner shall require any
approved subcontractor to agree, as to the portion subcontracted, to comply with all
applicable federal, state, and local laws, rules, ordinances, and regulations at all times
and in the performance of the work and to comply with all applicable obligations of
Owner specified in this contract. Notwithstanding the County's approval of a
subcontractor, Owner shall remain obligated for full performance of this contract and
the County shall incur no obligation to any subcontractor. Owner shall indemnify,
defend, and hold the County harmless from all claims of its contractors.
ix. No Joint Venture or Agency. The County and Owner each agree and acknowledge
that nothing contained herein or otherwise, including, without limitation, any act of the
County and Owner under this Agreement, shall be deemed or construed to create any
relationship of joint venture, partnership or agency between the parties.
x. Effect of Waiver or Forbearance. No failure by the County to insist upon the strict
performance of any term or condition of this Agreement, or to exercise any right or
remedy upon the breach by Owner of any of its obligations, agreements, or covenants
hereunder, shall be a waiver of such affected term or condition or of such breach; nor
shall any forbearance by the County to seek a remedy for any breach by Owner be a
waiver by the County of its rights and remedies with respect to that or any other breach.
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xi. Governing Law. This Agreement shall be construed in accordance with and governed
by the laws of the State of North Carolina. Any litigation arising out of this Agreement
shall be brought in courts sitting in North Carolina, with venue in Orange County.
Owner certifies by executing this Agreement that they have not been identified, and
have not utilized the services of any agent or subcontractor identified, on the list created
by the State Treasurer pursuant to G.S. 147-86.58. By executing this Agreement
Owner certifies that they have not been identified, and have not utilized the services of
any agent or subcontractor identified, on the list created by the State Treasurer pursuant
to G.S. 147-86.81. By executing this Agreement Owner affirms they are and shall
remain in compliance with Article 2 of Chapter 64 of the North Carolina General
Statutes.
xii. Severability. The provisions of this Agreement are independent of and separable from
each other, and no provision shall be affected or rendered invalid or unenforceable by
the fact that for any reason any other provision may be invalid or unenforceable in
whole or in part. If any provision of this Agreement or the application thereof to any
person or circumstances shall, to any extent, be or become invalid or unenforceable,
the remainder of this Agreement, or the application of such provision to persons or
circumstances other than those as to which it is held invalid or unenforceable, shall not
be affected thereby, and each provision of this Agreement shall be valid and be
enforced to the fullest extent permitted by law. The County and Owner agree to
substitute for such provision of this Agreement or the application thereof determined
to be invalid or unenforceable, such other provision as most closely approximates, in
a lawful manner, such invalid, illegal or unenforceable provision. If the County and
Owner cannot agree, they shall apply to a court of competent jurisdiction to substitute
such provision as the court deems reasonable and judicially valid, legal and
enforceable. Such provision determined by the court shall automatically be deemed
part of this Agreement ab initio.
xiii. Equal Opportunity. Owner shall not discriminate against any employee or applicant
for employment because of race, color, religion, sex, national origin, political
affiliation or belief, age, handicap, or familial status in the implementation of the
Project. Owner shall at all times remain in compliance with all applicable local, state,
and federal laws, rules, and regulations including but not limited to all state and federal
anti-discrimination laws, policies, rules, and regulations and the Orange County Non-
Discrimination Policy and Orange County Living Wage Policy (each policy is
incorporated herein by reference and may be viewed at
http://www.orangecountync.gov/departments/purchasing_division/contracts.php.).
Any violation of this requirement is a breach of this Agreement and County may
immediately terminate this Agreement without further obligation on the part of the
County. This paragraph is not intended to limit and does not limit the definition of
breach to discrimination.
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xiv. Headings. Headings are for convenience only and shall not be used to interpret or
construe its provision.
xv. Gender; Singular and Plural. As used herein, the neuter gender includes the
feminine and masculine. The masculine includes the feminine and neuter, and the
feminine includes the masculine and neuter and each includes a corporation,
partnership or other legal entity when the context so requires. The singular number
includes the plural and vice versa, whenever the context so requires.
xvi. Recording. The parties hereto agree that upon notice to the other and at its own cost
and expense, a party may record this Agreement in the Office of Register of Deeds for
Orange County.
xvii. Compliance with Laws. To the extent applicable, each party hereto agrees to comply
with all laws, ordinances and regulations affecting the manufactured homes from and
after the date hereof. Without limiting the generality of the foregoing, Owner shall
comply with all federal, state and local laws, regulations and ordinances applicable to
the expenditure of funds provided by the County.
xviii. Publicity; Signage. Owner agrees to provide such publicity with respect to the
County's participation in the development of the manufactured homes as the County
shall reasonably require. Any signage at the Property shall acknowledge the County's
role and contribution.
xix. Counterparts. This Agreement may be executed in one or more counterparts, each of
which shall be deemed an original but all of which together shall constitute on and the
same instrument.
xx. No Third Party Rights. The parties hereto covenant and agree that nothing contained
in this Agreement or any act by the County or Owner shall be deemed or construed by
the parties or any third party to create any relationship of third party beneficiary,
including third party principal or agent, or to create any right, claim or cause of action
against the County, Owner or any of their respective officers, agents or employees by
any third party.
xxi. Performance of Government Functions. Notwithstanding anything in this
Agreement which may be to the contrary, nothing contained in this Agreement shall in
any way stop, limit or impair the County from exercising or performing any regulatory,
policing or governmental powers or functions with respect to the Property including,
without limitation, inspection of the Property in the performance of such functions.
IN WITNESS WHEREOF, the parties hereto, intending to be legally bound, have set their hands and seals
on the day and year first above written.
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EMPOWERMENT, INC.
_________________________________ ______________________
_________________________, President Date
ORANGE COUNTY, NORTH CAROLINA
________________________________ _______________________
Bonnie Hammersley, County Manager Date
This document has been pre-audited in accordance with the N.C. Local Government and Fiscal Control
Act.
Gary Donaldson, Finance Director
___________________________
Approved as to form and legality
____________________________
John Roberts, Orange County Attorney
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RE5-2019-046
ORANGE COUNTY BOARD OF COMMISSIONERS
RESOLUTION AUTHORIZING THE CONVEYANCE OF COUNTY-
OWNED PERSONAL PROPERTY BY PRIVATE SALE TO
EMPOWERMENT PURSUANT TO N.C.G.S. § 160A-279 TO PROVIDE
AFFORDABLE HOUSING TO PERSONS OF LOW OR MODERATE
INCOME
WHEREAS, Orange County owns manufactured homes identified by Serial Numbers
CWP039084TN and CWP039085TN; and
WHEREAS, the manufactured homes in question were purchased by Orange County
pursuant to the Affordable Housing Land Banking/Manufactured Home Initiative Development
Agreement ("Development Agreement") between Orange County and EmPOWERment, Inc.
("EmPOWERment"); and
WHEREAS, the Development Agreement permits Orange County to transfer ownership
of manufactured homes purchased pursuant to the Development Agreement to EmPOWERment,
a North Carolina not-for-profit corporation engaged in providing quality housing to low and
moderate persons in Orange County; and
WHEREAS, EmPOWERment will lease the manufactured homes to low to moderate
income persons in Orange County facing displacement and relocation challenges due to
manufactured homes park closures and redevelopment efforts within Orange County; and
WHEREAS, North Carolina General Statute § 160A-279 provides that whenever a
county is authorized to appropriate funds to any private entity which carries on a public purpose,
the county may, in lieu on appropriating funds, convey for private sale to such entity any
personal property which is owns provided that it attach a covenant which will assure the property
will be put to a public use by the recipient entity; and
WHEREAS, North Carolina General Statute § 153A-378 provides that assisting with
providing housing to persons of low or moderate income is a public purpose; and
WHEREAS, North Carolina General Statute § 160A-279 requires that the procedural
provisions of North Carolina General Statute § 160A-267 shall apply, which statute requires that
the Board adopt a resolution authorizing appropriate officials to dispose of the property by
private sale at a negotiated price, and that a notice summarizing the contents of the resolution be
published once after its adoption, and that such sale be consummated no earlier than ten (10)
days after the publication of said notice;and
WHEREAS, the Orange County Board of County Commissioners has determined that it
would be in the public interest and appropriate to use this statutory authorization to convey the
manufactured homes to EmPOWERment;
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 manufactured homes to EmPOWERment for the price of one dollar ($1,00)
with the covenant that EmPOWERment shall rent the manufactured homes to low
income families earning up to 80% of the HUD area median income, including
entering into lease-purchase agreements with eligible tenant families to facilitate
homeownership by persons of Iow or moderate income in Orange County, pursuant
to Orange County's Displacement Mitigation Assistance Program ("DMAP").
Tenants participating in DMAP's lease-purchase component shall spend no more than
thirty percent (30%) of their total household income on the purchase of the unit.
EmPOWERment shall further covenant to return to Orange County on a monthly
basis all payments made by tenants who will be purchasing their replacement
manufactured home unit under the lease-purchase component of the Displacement
Mitigation Assistance Program (DMAP), not including the monthly maintenance fee
or lot rental fee.
2. That the Clerk to the Board is directed to publish a notice summarizing the contents
of the resolution once after its adoption, and that the transfer of the manufactured
homes to EmPOWERment not be consummated until at least ten (10) days after its
publication.
Adopted this the 18t"day of June 2019. j
y R ich, C. a
range Coun B and of Commissioners
ATTEST-
DoAaa , k to and
Approved as to form d legal sufficiency:
Co Attorney's Office