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County Administrator's Report 13. 6.
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| BCC Regular Meeting |
Budget & Finance Consent |
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| RECOMMENDATION: |
Recommendation Concerning the Escambia/Pensacola 2020-2022 State Housing Initiatives Partnership Local Housing Assistance Plan - Tonya Green, Neighborhood & Human Services Department Director
That the Board take the following action regarding the Escambia/Pensacola 2020-2022 State Housing Initiatives Partnership (SHIP) Local Housing Assistance Plan, Resolution, and Interlocal Agreement:
A. Adopt the Resolution approving the Escambia/Pensacola 2020-2022 SHIP Local Housing Assistance Plan (LHAP), including SHIP financed affordable housing strategies, specified eligibility and beneficiary definitions, maximum SHIP award limitations, fiscal and administrative provisions, description of affordable housing incentives, annual program service delivery goals, and required SHIP certifications;
B. Approve the Interlocal Agreement between the Escambia County Board of County Commissioners and the City of Pensacola Relating to the State Housing Initiatives Partnership Program, providing for joint implementation and administration of the Escambia/Pensacola SHIP Program and the Escambia/Pensacola LHAP;
C. Authorize staff to revise the SHIP budgetary allocations within the approved Plan or between the approved strategies to accurately reflect actual funding distributions provided by Florida Housing Finance Corporation (FHFC);
D. Authorize staff to make minor revisions to the LHAP if required by FHFC review; and
E. Authorize the Chairman and/or the County Administrator, as appropriate, to execute all documents required to submit, receive, and implement the SHIP Plan and all related activities.
[Funding: Fund 120, 2020 SHIP, Cost Center 370207, 2021 & 2022 SHIP Cost Centers to be assigned] |
| BACKGROUND: |
The Sadowski Affordable Housing Act, as approved by the Legislature in 1992, was designed to provide a continuous funding source for the construction, rehabilitation, or preservation of affordable housing. These funds have been made available to each of the 67 counties and municipalities in the State through the Florida Housing Finance Corporation (FHFC). With the approval of the Board and Pensacola City Council, the County and City of Pensacola have jointly received and administered State Housing Initiatives Partnership (SHIP) Program funding since 1993.
In order to continue to receive SHIP funding for the upcoming three year period (June 1, 2019 through July 30, 2022) the participating jurisdictions must approve and submit a locally approved Local Housing Assistance Plan (LHAP), supporting Resolution, Interlocal Agreement and supporting documents based on the requirements stipulated in Chapter 420 Florida Statutes and FHFC Administrative Rule 67-37. The LHAP and its corresponding Interlocal Agreement and certifications have been prepared through the joint efforts of the Escambia/Pensacola Affordable Housing Advisory Committee (AHAC) with support from the Pensacola Housing Department and the County Neighborhood Enterprise Division. The AHAC approved the LHAP at its March 12 meeting. The LHAP details the SHIP eligible activities, terms, and maximum subsidies to be undertaken in the three year period. Proposed activities are the same as prior years with minor changes (homebuyer assistance, housing repair, new construction, substantial rehabilitation, rental development, and disaster mitigation assistance), although the AHAC proposed a new rental assistance category that could be used for utility and security deposits, eviction prevention (back rent), and rental assistance (homeless and special needs only).
All funds must be used to support affordable homeownership and/or rental rehabilitation or development activities. The following set aside minimums must be met with this funding:
*65% of the funds must be used for homeownership activities (i.e., must assist homeowners);
*75% of the funds must be used for construction activities;
*20% of the funds must be used for persons with Special Needs as defined in F.S. 420.0004;
*30% of funds must benefit very low income clients (at or below 50% of area median income); and
*an additional 30% of funds must benefit low income clients (at or below 80% of area median income).
The LHAP and associated documents are due to FHFC by May 2. The LHAP has been submitted to FHFC for a conditional review. If any minor technical changes are required by FHFC, staff is requesting authorization to make those changes without resubmitting the LHAP to the Board. No SHIP funding will be disbursed until the LHAP is approved by the local government and reviewed and approved by FHFC. |
| BUDGETARY IMPACT: |
| SHIP funds are deposited and tracked through the Local Housing Assistance Trust Fund, established in the County's fiscal system as Fund 120/SHIP. Upon approval of the LHAP by the FHFC, SHIP funds will be budgeted in County FY 2019-20 in Fund 120 and revenue will be received periodically through distributions by FHFC. For purposes of preparing the LHAP, an estimated annual budget of $1,295,760 was used, which is the average of funds received the past three years. Actual funding amounts are established by the legislature and have not been finalized at this time. No County general fund revenue is required for this program. |
| LEGAL CONSIDERATIONS/SIGN-OFF: |
| The SHIP Program Resolution, the Escambia/Pensacola SHIP Program Interlocal Agreement and the SHIP Certifications have been reviewed and approved by Kristin Hual, Senior Assistant County Attorney. |
| PERSONNEL: |
| There will be no impact upon County personnel or positions as a result of the Board's approval of the SHIP Plan. Preparation of the Plan and implementation of the individual SHIP funded activities is administered by existing County staff, City of Pensacola staff and/or staff of the SHIP participating agencies. |
| POLICY/REQUIREMENT FOR BOARD ACTION: |
| The SHIP Plan requires formal approval by the Board and City Council prior to submission to FHFC. The Pensacola City Council will be reviewing the LHAP, Interlocal, and corresponding documents at their April 11, 2019 meeting. |
| IMPLEMENTATION/COORDINATION: |
| The SHIP Program is jointly managed by Escambia County and the City of Pensacola Housing Office. Through agreements with lenders and local partners, the affordable housing activities cited herein will be implemented with the Neighborhood Enterprise Division and the City performing fiscal and regulatory oversight, client documentation, monitoring, and reporting functions. |
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