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County Administrator's Report 10. 4.

BCC Regular Meeting

Discussion

Meeting Date:	09/06/2018
Issue: 2018 Housing Tax Credit Applications
From:	Tonya Gant
Department:	Neighborhood & Human Svcs
CAO Approval:

RECOMMENDATION:

Recommendation Concerning 2018 Housing Tax Credit Applications - Tonya Gant, Neighborhood & Human Services Director

That the Board approve or deny the following action concerning 2018 Housing Tax Credit Applications:

A. Designate a local government area of opportunity and set-aside minimum funding as required by RFA 2018-110 to support one Application; and

B. Authorize Staff to update the Application process accordingly for the 2018 Housing Tax Credit (HTC) cycle.

BACKGROUND:

In May 2017, the Board authorized an application process for developers seeking a minimum local government contribution in order to apply for housing tax credits through the Florida Housing Finance Corporation (FHFC) competitive tax credits cycle. For this fiscal year, FHFC is not requiring developers to secure a local government contribution as a mandatory component of the application.

FHFC has released the draft request for applications (RFA) on August 21 for RFA 2018-110 Housing Credit Financing for Affordable Housing Developments Located in Medium Counties. FHFC has prioritized funding two developments in medium counties located in a "local government area of opportunity." Local governments would designate the target area and may only approve one development for funding. The local government must also provide the following minimum funding amounts for the development located in a Local Government Area of Opportunity based on construction type:

Building Type	Minimum Funding Amount for RFA 2018-110
Garden-Wood (New Construction)	$354,000
Garden-Concrete (New Construction)	$425,625
Mid-Rise-Wood (New Construction)	$425,625
Mid-Rise-Concrete (New Construction)	$469,313
Hi-Rise (New Construction)	$560,250
Garden (Rehabilitation)	$297,563
Non-Garden (Rehabilitation)	$419,250

Local match funding to support tax credit applications has typically come from the State Housing Initiatives Partnership (SHIP) Program. Due to funding cuts from the State, the 2019 SHIP budget has a maximum of $130,000 available to support rental projects. If the Board wants to provide funding for a multi-family development in a local government area of opportunity, staff will need direction to pull funding from other housing grants.

If the Board wants to move forward with a local government area of opportunity, suggested "local government areas of opportunity" may be all or certain Community Redevelopment Areas, Geographic Areas of Opportunity, or Florida Opportunity Zones (Census Tracts 4, 13, 16, 17, 19, 28.03, and 40). Staff recommends updating the application from last year to exclude Census Tract 16 as it qualifies as a RECAP (Racially and Ethnically Concentrated Areas of Poverty) area. Maps depicting these areas are included as backup to this recommendation.

RFA 2018-110 is anticipated to be issued on September 6. Full information on RFA 2018-110 can be found online at:
https://www.floridahousing.org/programs/developers-multifamily-programs/competitive/2018/2018-110

BUDGETARY IMPACT:

If the Board wants to fund a development in a local government area of opportunity, partial funding is available from 2019 SHIP. Additional funds would have to be designated from other sources.

LEGAL CONSIDERATIONS/SIGN-OFF:

Not applicable to this recommendation.

PERSONNEL:

Not applicable to this recommendation.

POLICY/REQUIREMENT FOR BOARD ACTION:

Funding, target area designation, and the application process for a local government area of opportunity must be approved by the Board.

IMPLEMENTATION/COORDINATION:

Neighborhood Enterprise Division will implement

Attachments
Maps GAO FOZ