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HomeMy WebLinkAboutResolutions - 2004.07.22 - 27534July 22, 2004 MISCELLANEOUS RESOLUTION 104165 BY: PLANNING AND BUILDING COMMITTEE, CHARLES PALMER, CHAIRPERSON IN RE: DEPARTMENT OF COMMUNITY AND ECONOMIC DEVELOPMENT — COMMUNITY AND HOME IMPROVEMENT DIVISION — 2004 HOME AMERICAN DREAM DOWNPAYMENT INITIATIVE GRANT ACCEPTANCE To the Oakland County Board of Commissioners Chairperson, Ladies and Gentlemen: WHEREAS the Oakland County Board of Commissioners authorized submittal of the Oakland County 2004 Annual Action Plan to the U.S. Department of Housing and Urban Development (HUD); and WHEREAS the 2004 Annual Action Plan contains a consolidated Federal grant application for activities designed to accomplish the goals and objectives for the Community Development Block Grant (CDBG) Program, HOME Investment Partnerships (HOME) Program and the Emergency Shelter Grant (ESG) Program; and WHEREAS HUD by letter dated June 3, 2004 transmitted to the Community and Home Improvement Division a total Program Year 2004 HOME Program American Dream Downpayment Initiative (ADD!) allocation of $192,817 for the period of May 1, 2004 through April 30, 2005; and WHEREAS the ADDI allocation of $192,817 represents $88,447 appropriated in Federal Fiscal Year 2003 and $104,370 appropriated in Federal Fiscal Year 2004 with separate federal regulations for each appropriation; and WHEREAS this is the first year grant acceptance for this activity under the HOME program; and WHEREAS total program revenue for the 2004-2005 HOME ADD! Program will be $214,929 including FY 2003 grant allocation of $88,447, FY 2003 grant match of $22,112 and FY 2004 grant allocation of $104.370 with no match requirement; and WHEREAS funding for the 2003 HOME ADD1 program match is appropriated in the Oakland County 2004 Adopted Budget; and WHEREAS fund schedules and preliminary program description for the 2004-2005 HOME ADDI program appears in attachment A; and WHEREAS specific HOME ADD! Program Guidelines will be developed by the Oakland County Community and Home Improvement Division for authorization by the Oakland County Board of Commissioners prior to program expenditure; and WHEREAS the HOME ADDI grant agreement has been reviewed by County Executive Departments through the County grant process (M.R. 1401320); and WHEREAS acceptance of the grant does not obligate the County to any future commitment. NOW THEREFORE BE IT RESOLVED that the Oakland County Board of Commissioners accepts HOME American Dream Downpayment Initiative grant funds from the U.S. Department of Housing and Urban Development in the amount of $192,817, and HOME ADD! County match of $22,112 for a 2004 program year grant package totaling $214,929: and BE IT FURTHER RESOLVED that the future level of service, including personnel, will be contingent upon the level of federal funding available for these programs; and BE IT FURTHER RESOLVED that the Oakland County Board of Commissioners authorizes both the Board of Commissioners Chairperson and the County Executive to execute the grant agreements and to approve amendments and extensions up to fifteen (15) percent variance from the award, consistent with the agreement as originally approved; and Chairperson, on behalf of the Planning and Building Committee, I move the adoption of the foregoing resolution. Copy of attachment A is on file in County Clerk's offic LANNING AND BUILDING COMMITTEE Planning & Building Committee vote: Motion carried on unanimous roll call vote with Coleman absent Sir -iely, tir ette Harris Divector ifigjMEN r fi -6 [11 :°61 1111111 M. & HOME JUN 0 8 2004 IMPROVEMENT U.S. Department of Housing and Urban Development Detroit Field Office Office of Community Planning and Development Patrick V. McNamara Federal Building 477 Michigan Avenue, Room 1710 Detroit, MI 48226-2592 Tel. (313) 226-7900 FAX (313) 226-6689 June 3, 2004 Ms. Karry Rieth County Manager Oakland Co. Comm & Home Improvement 1200 North Telegraph Bldg.38 E Pontiac, MI Pontiac, MI 48341-0414 Dear Ms. Rieth: SUBJECT: American Dream Down Payment Initiative Agreements We have received the rongl-Psinnal Release for the ADDI Program. Enclosed are three copies of the grant agreement. Please sign these copies. Return two to our office. Retain one cony for your records. If there are questions, please call. Enclosures 13. Date 06 /02 /2004 16. Date / / OMB Approval No. 2506-0171 (Exp. 03/31/2005) Public reporting burden for this collection of information is estimated to average 1 hour per response, including the time for reviewing instructions, searching existing data sources, gathering and maintaining the data needed, and completing and reviewing the collection of information. This agency may not conduct or sponsor, and a person is not required to respond to, a collection of information unless that collection displays a valid OMB control number. The HOME statute imposes a significant number of data collection and reporting requirements. This includes information on assisted properties, on the owners or tenants of the properties, and on other programmatic areas. The information will be used: 1) to assist HOME participants in managing their programs; 2) to track performance of participants in meeting fund commitment and expenditure deadlines; 3) to permit HUD to determine whether each participant meets the HOME statutory income targeting and affordability requirements; and 4) to permit HUD to determine compliance with other statutory and regulatory program requirements. This data collection is authorized under Title II of the Cranston-Gonzalez National Affordable Housing Act or related authorities. Access to Federal grant funds is contingent on the reporting of certain project-specific data elements. Records of information collected will be maintained by the recipients of the assistance. Information on activities and expenditures of grant funds is public information and is generally available for disclosure. Recipients are responsible for ensuring confidentiality when public disclosure is not required_ 1. Participant Name and Address 2. Participant Number County of Oakland M04-1:C260210 3. Tax Identification Number 1200 North Telegraph Road 38-6004876 Pontiac, MI 48341-1043 4, Appropriation Number see #18 below 5. FY (yyyy) 2004 6. Previous Obligation (Enter "0" for initial FY allocation) a. Formula Funds b. Community Housing Development Org. (CHDO) Competitive 7. Current Transaction (-r- or -) $ 192,817 a. Formula Funds $ 192,817 1. CHDO (For deobligations only) $ 2. Non- CHDO (For deobligations only) $ , b. CHDO Competitive Reallocation or Deobligation (see #18 below) 8. Revised Obligation a. Formula Funds b. CHDO Competitive Reallocation 1 $ 9. Special Conditions (check applicable box) 10. Date of Obligation (Congressional Release Date) Not applicable E Attached (mm/dd/yyyy) 06/ 02 / 2004 This Agreement between the Department of Housing and Urban Development (HUD) and the Participating Jurisdiction/Entity is made pursuant to the authority of the HOME Investment Partnerships Act (42 U.S.C. 12701 et seq.). The Participating Jurisdiction's /Entity's approved Consolidated Plan submission/Application and the HUD regulations at 24 CFR Part 92 (as is now in effect and as may be amended from time to time) and this HOME Investment Partnership Agreement, form HUD-40093, including any special conditions, constitute part of this Agreement. Subject to the provisions of this Agreement, HUD will make the funds for the Fiscal Year specified, available to the Participating Jurisdiction/Entity upon execution of this Agreement by the parties. All funds for the specified Fiscal Year provided by HUD by formula reallocation are covered by this Agreement upon execution of an amendment by HUD, without the Participating Jurisdiction's execution of the amendment or other consent. HUD's payment of funds under this Agreement is subject to the Participating Jurisdiction's/Entity's compliance with HUD's electronic funds transfer and information reporting procedures issued pursuant to 24 CFR 92.502. To the extent authorized by HUD regulations at 24 CFR Part 92, HUD may, by its execution of an amendment, deobligate funds previously awarded to the Participating Jurisdiction/Entity without the Participating Jurisdiction's/Entity's execution of the amendment or other consent. The Participating Jurisdiction/Entity agrees that funds invested in affordable housing under 24 CFR Part 92 are repayable when the housing no longer qualifies as affordable housing. Repayment shall be made as specified in 24 CFR Part 92. The Participating Jurisdiction agrees to assume all of the responsibility for environmental review, decision making, and actions, as specified and required in regulation at 34 CFR 92,352 and/ 24 CFR Part 58. 11. For the U.S. Deparonent of HUD (Name and Title of Authorized Official) Jeanette Harris, Director, Community Planning & Developme 14. For the Participating Jurisdiction/Entity (Name and Title of Authorized Offi L. Brooks Patterson, County Executive ThQraas A_ Law, Board of Commicsioncrc Chair 17. Check one: 0 Initial Agreement 0 Amendment # 18. Funding Information: Source of Funds Appropriation Code PAS Code Amount Source of Funds Appropriation Code PAS Code Amount FY 2003 ADDI 863/50205 HMC $88,447 $ FY 2004 ADDI 864/60205 HMC $104,370 $ $ CHDO Competitive Reallocation Funding Approval and HOME Investment Partnerships Agreement Title 11 of the National Affordable Housing Act U.S. Department of Housing nd Urbbn Development Office of Community Planning and Development Page 1 of 1 form HUD-40093 (0412004) COUNTY OF OAKLAND, MICHIGAN 2004 ANNUAL ACTION PLAN HOME REVENUES AND ALLOCATIONS 2004 Revenues , Revenue Amount 2004 HOME Grant $1,650,862 HOME Allocation $1,458,045 ADDI 2003 $88,447 ADDI 2004 $104,370 Match Obligation $350,173 HOME Revolving Loan Fund (estimated) $500,000 Total $2,501,035 2004 Allocations HOME Revolving HOME 25% Loan Fund Total Allocation Funds Match (estimated) Housing Rehabilitation $1,093,534 $273,384 $500,000 $1,866,918 Home Improvement Program CHDO Activities $218,707 $54,677 $273,384 Community Housing Development Organizations (CHD0s) (15% of HOME Allocation) American Dream Downpayment Initiative ADDI 2003 $88,447 $22,112 $110,559 ADDI 2004 $104,370 NA $104,370 County Administration $145,804 NA $145,804 (10% of HOME Allocation) Total $1,650,862 $350,173 $500,000 $2,501,035 The HOME program requires a 25% match of funds allocated for housing rehabilitation activities and/or new construction activities. A 25% match of 2003 ADDI funds is also required for downpayment assistance activities. COUNTY OF OAKLAND, MICHIGAN PY 2004 ANNUAL ACTION PLAN NARRATIVE COUNTY OF OAKLAND, MICHIGAN 2004 ANNUAL ACTION PLAN AMERICAN DREAM DOWNPAYMENT INITIATIVE (ADDI) The 108th Congress passed the American Dream Downpayment Act in January 2003 as an amendment to Subtitle E of title II of the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 12821). The Act is designed to support a downpayment initiative under the HOME Investment Partnership Act. The U.S. Department of Housing and Urban Development (HUD) will administer the ADDI funds at the federal level under the HOME Investment Partnerships Program (HOME). As a participating jurisdiction under the HOME Program, Oakland County will receive American Dream Downpayment Initiative (ADDI) funds to support countywide housing efforts. HUD expects interim ADDI regulations in March or early April of 2004. The goals of the ADDI are to: • Increase the overall homeownership rate • Create greater opportunity for homeownership among lower income and minority households • Revitalize and stabilize communities Based upon HUD recommendations and in anticipation of the upcoming federal regulations Oakland County has developed the following interim program design. As a 2000-2004 Consolidated Plan amendment, the 2004 Annual Action Plan includes the need for a countywide downpayment assistance program. INTERIM PROGRAM DESIGN Downpayment assistance funds from 2003 and 2004 ADDI allocations will be made available to eligible first time homebuyers through financial institutions, eligible nonprofit organizations or the County. Available ADDI funds are limited to $214,929 including matching funds. Funds will be made available on a first-come, first-serve basis, in accordance with established administrative procedures. No ADDI funds may be used for administrative costs. Match Requirements Match requirements pertain to the PY 2003 ADDI funds. See attached budget for details. Geographic Location The ADDI DPA program is limited to the fifty Oakland County HOME Program participating communities. Eligible Property An eligible property is one that will serve as the recipient's principal residence. Downpayment assistance will be available to purchase single family housing. The appraised value of the eligible property may not exceed 80% of the applicable HUD single family mortgage limit. Eligible Applicants Families must have an income at or below eighty percent (80%) of area median income adjusted for household size and a maximum of $10,000.00 (excluding 401k and pension funds) in assets. Families must have not been in homeownership for a minimum of three years. Applicants must be approved for a fixed rate mortgage loan. Land contracts are not eligible. Targeted Outreach The Community and Home Improvement Division Housing Counseling Unit will develop a targeted outreach plan based upon the upcoming regulations. At a minimum, the Unit will target residents and tenants of public housing, trailer parks, and manufactured housing and to other families assisted by public housing agencies. COUNTY OF OAKLAND, MICHIGAN PY 2004 ANNUAL ACTION PLAN NARRATIVE ATTACHMENT A OAKLAND COUNTY COMMUNITY AND HOME IMPROVEMENT DIVISION 2004 HOME AMERICAN DREAM DOWNPAYMENT INITIATIVE GRANT U.S. Department of Housing and Urban Development COMPARISON OF GRANT APPLICATION WITH GRANT AWARDS GRANT FY 2004 FY 2004 VARIANCE APPLICATION AWARD Increase (Decrease) *HOME ADD! 03 $ 88,447 $88,447 SO *HOME ADDI 04 $104,370 $104,370 $0 TOTAL $192,817 S192,817 $0 *Congress reappropriated Fiscal Year 2003 and 2004 funds to create the new American Dream Downpayment Initiative (ADD!) funding under the HOME Program. HUD required ADDI funds for FY 03 and 04 to be included in the 2004 Consolidated Grant Application but did not release the ADDI funds with the 2004 CDBG, HOME and ESG grants. ADDI funds were released by HUD to Oakland County on June 3, 2004. July 22, 2004 FISCAL NOTE (MISC. 104165) BY: FINANCE COMMITTEE, CHUCK MOSS, CHAIRPERSON IN RE: DEPARTMENT OF COMMUNITY AND ECONOMIC DEVELOPMENT - COMMUNITY AND HOME IMPROVEMENT DIVISION - 2004 HOME AMERICAN DREAM DOWNPAYMENT INITIATIVE GRANT ACCEPTANCE TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS Chairperson, Ladies and Gentlemen: Pursuant to Rule XII-C of this Board, the Finance Committee has reviewed the above referenced resolution and finds: 1. The resolution authorizes acceptance of grant funding from the U.S. Department of Housing and Urban Development for the HOME American Dream Downpayment Initiative Grant (ADDI) in the amount of $192,817. 2. The award includes $88,447 appropriated in FY 2003 and $104,370 appropriated in FY 2004 under separate federal regulations, and requires County Match of $22,112, for a 2004 program year total of $214,929. 3. The goals of the ADDI are to increase the overall rate of homeownership, create greater opportunity for homeownership among lower income and minority households, and revitalize and stabilize communities. 4. Application for ADDI funding was made as part of the 2004 Consolidated Grant Application. 5. The ADDI grant award is provided subsequent to the Consolidated Grant award and is the same amount as the application. 6. Local County match of $22,112 (25 9 ) is required for the FY 2003 portion of the award. No County match is required for the FY 2004 portion of the award. 7. County Match is available in the Non-Departmental Grant Match line item of the FY 2004 General Fund Budget, account #90-290000-25000-2872. 8. This is the first year of grant funding for ADDI activity under the HOME Investment Partnership Grant. 9. The funding period is for the program year May 1, 2004 through April 30, 2005. 10. Indirect costs associated with this grant are not paid due to administrative and planning limits. 11. A budget amendment is recommended as follows: Non-Departmental 90-290000-25000-2872 Grant Match ($22,112) Community & Home Improvement Fund 19-610300-70007-2872 Grant Match $22,112 $ -0- FINANCE COMMITTEE & Finance Committee Vote: Motion carried on unanimous roll call vote with Palmer absent 0.1=1. Resolution #04165 July 22, 2004 Moved by Scott supported by Knollenberg the resolutions on the Consent Agenda be adopted (with accompanying reports being accepted). AYES: Coleman, Coulter, Douglas, Gregory, Hatchett, Jamian, Knollenberg, KowaII, Law, Long, McMillin, Middleton, Moffitt, Moss, Palmer, Patterson, Potter, Rogers, Scott, Suarez, Webster, Wilson, Zack, Bullard. (24) NAYS: None. (0) A sufficient majority having voted therefore, the resolutions on the Consent Agenda were adopted (with accompanying reports being accepted). I REMY AIME TIE F01E60110 RESOLUTION 7/ 2- f/d STATE OF MICHIGAN) COUNTY OF OAKLAND) I, G. William Caddell, Clerk of the County of Oakland, do hereby certify that the foregoing resolution is a true and accurate copy of a resolution adopted by the Oakland County Board of Commissioners on July 22, 2004 with the original record thereof now remaining in my office. In Testimony Whereof, I have hereunto set my hand and affixed the seal of the county of Oakland at Pontiac, Michigan this 22nd day of July, 2004. G. William Caddell, County Clerk