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HomeMy WebLinkAboutResolutions - 2022.04.14 - 35458BOARD OF COMMISSIONERS April 14, 2022 MISCELLANEOUS RESOLUTION #22-135 Sponsored By: Penny Luebs Health & Human Services - Neighborhood and Housing Development - Resolution Establishing the Oakland County Housing Trust Fund Chairperson and Members of the Board: WHEREAS the United States Treasury allocated Oakland County $244,270,949 of Local Fiscal Recovery Funds (LFRF) established under the American Rescue Plan Act (ARPA) of 2021; and WHEREAS under the guidance of the U.S. Department of Treasury's Final Rule for Coronavirus State and Local Fiscal Recovery Funds, the County may use these funds at their discretion to support eligible investments in public health expenditures, address negative economic impacts caused by the public health emergency; replace lost public sector revenue; provide premium pay for essential workers; and invest in water, sewer, and broadband infrastructure; and WHEREAS the devastating impacts of the COVID-19 health pandemic has exacerbated the limited or uncertain availability of stable, safe, adequate, and attainable housing in Oakland County; and WHEREAS Oakland County has a need of 11,582 additional units of affordable housing needing to be created over the next decade; and WHEREAS of the more than 150,000 renters in Oakland County, 41.4% are cost burdened, paying more than 30% of their income in rent; and WHEREAS the average wait for a Housing Choice Voucher in Oakland County is 26 months; and WHEREAS there is a desperate need of affordable housing in Oakland County, the Neighborhood & Housing Development Division recommends the creation of the Housing Trust Fund, the creation of two new classifications for additional positions within the Neighborhood & Housing Development Division, and creation of the Board to oversee the Housing Trust Fund; and WHEREAS two (2) new classifications of Housing Trust Fund Manager at salary grade 127 and Housing Trust Fund Coordinator at salary grade 114 will be established; and WHEREAS two (2) positions within the Neighborhood & Housing Development unit (#1060701),- one (1) Part -Time Non -Eligible (PTNE) 1,000 hours per year General Fund/General Purpose (GF/GP) Housing Trust Fund Manager position, and one (1) PTNE 1,000 hours per year GF/GP Housing Trust Fund Coordinator position will be created; and WHEREAS a FY 2022 General Fund appropriation and transfer of $40,000, sourced from a portion of the State Revenue Sharing revenue dollars, to the Housing Trust Fund (#21400) is recommended for the new position and operating costs; and WHEREAS to sustainably and continually fund the HTF, the Neighborhood & Housing Development Division recommends and requests that effective FY 2023 an annual appropriation and transfer of $2,000,000 from the General Fund, sourced from a portion of the State Revenue Sharing revenue dollars, is provided to the Housing Trust Fund (421400); and WHEREAS the Neighborhood & Housing Development Division requests a one-time appropriation of $5,000,000 in the American Rescue Plan Act — Local Fiscal Recovery Fund (421285). NOW THEREFORE BE IT RESOLVED that the Oakland County Board of Commissioners authorizes a one-time Fiscal Year 2022 appropriation in the amount of $5,000,000 in the American Rescue Plan Act - Local Fiscal Recovery Funds (421285) for the Oakland County Housing Trust Project (Project 100000003663). This funding will be used to increase available affordable or attainable rental and homeowner occupied housing throughout Oakland County. BE IT FURTHER RESOLVED that the Oakland County Board of Commissioners authorizes an additional one- time assignment in the amount of $5,000,000 in the American Rescue Plan Act - Local Fiscal Recovery Funds (#21285) for the Oakland County Housing Trust Project and a separate resolution will be issued at a future date, BE IT FURTHER RESOLVED that a separate Oakland County Housing Trust Fund (HTF) (Special Revenue Fund 421400) be established to account for the Oakland County contributions and any other federal or state revenue for the program. BE IT FURTHER RESOLVED that the Oakland County Board of Commissioners authorizes a FY 2022 appropriation and transfer in the amount of $40,000 from the General Fund, sourced from a portion of the State Revenue Sharing revenue dollars, to the HTF (#21400) in order to fund the partial year costs associated with the new positions. BE IT FURTHER RESOLVED that the Oakland County Board of Commissioners authorizes an appropriation and transfer in the amount of $2,000,000 annually from the General Fund, sourced from a portion of the State Revenue Sharing revenue dollars, to the HTF (421400) effective with FY 2023. BE IT FURTHER RESOLVED that the Oakland County Board of Commissioners creates the Oakland County Housing Trust Fund Board (HTF Board), which shall consist of seven (7) members. The HTF Board members shall have relevant development, funding and/or oversight experience including, but not limited to, working or volunteering for non-profit or for -profit developers, working for lending institutions, or serving as a County Commissioner. The HTF Board shall consist of the following members who shall serve two (2) year terms: • One (1) Neighborhood & Housing Development Division staff to chair the board and appointed by the Neighborhood & Housing Development Manager; • Three (3) members appointed by the Chairperson of the Board of Commissioners; and • Three (3) members appointed by the County Executive. BE IT FURTHER RESOLVED that the HTF shall be administered by the Neighborhood & Housing Development Division and the Neighborhood & Housing Development Division shall create bylaws for the HTF and the HTF Board operations along with an application process to request HTF funding and all documents, agreements and guidelines for the implementation, distribution, and monitoring of HTF activities. BE IT FURTHER RESOLVED that the HTF Board shall be responsible to: • approve the creation of and changes to bylaws developed by the Neighborhood & Housing Development Division; • approve housing development funding priorities proposed by the Neighborhood & Housing Development Division; • evaluate all housing proposals requesting funding from the HTF; approve housing proposals requesting less than or equal to $1,500,000 from the HTF. Recommend approval of housing proposals requesting more than $1,500,000 from the HTF shall require an adopted resolution by the Board of Commissioners. BE IT FURTHER RESOLVED that the Neighborhood & Housing Development Division shall be authorized to execute the documents and agreements required to effectuate the transfer of HTF monies, subject to review by Risk Management and Corporation Counsel after a proposal is approved accordingly by the HTF Board or Board of Commissioners. The HTF Board is not authorized to execute any documents or agreements on behalf of the County. BE IT FURTHER RESOLVED that the Neighborhood & Housing Development Division will submit an annual report of HTF activities to the Public Health and Safety Committee. BE IT FURTHER RESOLVED that the HTF shall be used for the creation of affordable or attainable housing units or other uses that support the creation of affordable or attainable housing, including, but not limited to, acquisition, predevelopment and rehabilitation of residential properties for single family or multi -family developments. Non-profit developers are eligible to receive these funds. BE IT FURTHER RESOLVED to establish the following classifications: Classification Salary Grade Housing Trust Fund Manager Housing Trust Fund Coordinator 127 114 BE IT FURTHER RESOLVED to create the following Special Revenue funded positions within the Neighborhood & Housing Development unit (#1060701): Quantity Eligibility Classification 1 PTNE 1,000 hours per year Housing Trust Fund Manager 1 PTNE 1,000 hours per year Housing Trust Fund Coordinator BE IT FURTHER RESOLVED that the HTF shall be administered in conformance with federal, state, and local laws, Oakland County policies and procedures, and Department of Treasury guidelines for the eligible expenditure of American Rescue Plan Act — Local Fiscal Recovery Funds. BE IT FURTHER RESOLVED that approval of the appropriations of American Rescue Plan Act — Local Fiscal Recovery Funds for programs and services by Oakland County shall not obligate a commitment of the General Fund unless authorized by action of the Board of Commissioners. BE IT FURTHER RESOLVED that the FY 2022 — FY 2024 budget is amended as referenced in the attached Schedule A document. Chairperson, the following Commissioners are sponsoring the foregoing Resolution: Penny Luebs. Date: April 14, 2022 David Woodward, Commissioner LauP�vv+ Date: April 22, 2022 Hilarie Chambers, Deputy County Executive II 4 Date: April 25 2022 Lisa Brown, County Clerk / Register of Deeds COMMITTEE TRACKING 2022-04-05 Public Health & Safety - Recommend and Forward to Finance 2022-04-06 Finance - recommend to Board 2022-04-14 Full Board VOTE TRACKING Motioned by Commissioner Penny Luebs seconded by Commissioner Charles Cavell to adopt the attached Resolution: Establishing the Oakland County Housing Trust Fund. Yes: David Woodward, Kristen Nelson, Gwen Markham, Angela Powell, Thomas Kuhn, Marcia Gershenson, William Miller III, Yolanda Smith Charles, Charles Cavell, Penny Luebs, Janet Jackson, Gary McGillivray (12) No: Michael Gingell, Michael Spisz, Karen Joliat, Eileen Kowall, Christine Long, Philip Weipert, Charles Moss, Robert Hoffman, Adam Kochenderfer (9) Abstain: None (0) Absent: (0) Passed ATTACHMENTS 1. Oakland County Housing Trust Fund_Sch. A Final 2. N&HD - AHTF Write Up STATE OF MICHIGAN) COUNTY OF OAKLAND) I, Lisa Brown, 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 April 14, 2022, 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 Circuit Court at Pontiac, Michigan on Thursday, April 14, 2022. Lisa Brown, Oakland County Clerk/Register of Deeds Oakland County, Michigan Health and Human Services Department- Neighborhood Housing Development Division - Oakland County Housing Trust Fund Schedule "A" DETAIL OperatinFund get rojectl PU�rt FY WE Fund Name Division Name Funtl#IDivssion#I Program#Accourrt# Unit (OU9 Atil ate Reference Project# I ACUvitvlAnalysisl Account TNe Amendment Amendment Amendment R ARP Local Fiscal Recovery Fund Non-Depatnental 21285 9010101 133095 610313 2022 GRANT 100000003663 GLB GLB Federal Operating Grants 55,000,000 $ - $ - $5,d9d,go0 $ is E ARP Local Fiscal Recovery Fund Neighborhood Housing Dev 21285 1060701 133095 731885 2022 GRANT 100000003663 GLB GLB Supportive Services $ 5.000.000 S $ 5 000 000 SS - � $ - I R Housing Trust Fund Neighborhood Housing Dev 21400 10507DI 172130 695500 10100 Transfers In $ 40,000 $ 2,U00,000 $ 2,000,000 $ 40,666 $ z,ddD,d60 $ 2,000,000 E Housing Trust Fund Neighborhood Housing Dev 21400 1080701 172130 702010 Salaries Regular $ 37,000 $ 65,524 S 65524 E Housing Trust Fund Neighborhpod Housing Dev 21400 1U60701 172130 722900 Fringe Benefit Adlusment 1,000 3,525 3,525 Housing Trust Fund Neighborhood Housing Dev 21400 10607D1 172130 731465 Program - 1,915,099 1,915,099 E Housing Tmst Fund Neighborhood Housing Dev 21400 1060701 172130 750399 Office Supplies 200 1000 1,000 E Housing Trust Fund Neighborhood Housing Dev 21400 10607D1 172130 731941 Training 1000 5,000 5,000 E Housing Trust Fund Neighborhood Housing Dev 21400 1060701 172130 731213 Membership Dues - 2,500 2,500 E Housing Trust Fund Neighborhood Housing Dev 21400 1060701 172130 774635 Ine Tech Op. 700 6,704 6,704 E Housing Trust Fund Neighborhood Housing Dev 21400 1060701 172130 A8675 Telephone Commumcations 100 648 648 $ 40,000 $ 2,000,000 $ 2,000,000 R General Fund Non -Departmental 10100 9010101 196030 665882 Planned Use of Balance $ 40000 $ 2,000,0001 $ 4U.000 $ 2,VUU,U6U 5 -� E General Fund Non-Deparmental 10100 9010101 196030 788001 21400 Transfers Out $ 40,000 $ 2,000000 $ 2,000,000 E General Fund Non -Departmental 10100 9010101 195030 796500 Budgeted Equity Atllustmsntsl$ - $_ - $ (2,000,000) $ 40,uuo I$ 2,000,uuu 1$ REQUEST: 1. Establish the Attainable Housing Trust Fund (Special Revenue Fund #2xxx) to account for the Oakland County contributions and any other federal or state revenue for the program. 2. Create one (1) SR funded FTE Housing Trust Fund Manager classification and position, and one (1) SR funded PTNE 1,000 hours/year Housing Trust Fund Coordinator PROPOSED FUNDING: $2,000,000 annual appropriation from the American Rescue Plan Act— Local Fiscal Recovery Funds OVERVIEW: The impacts of the COVID-19 health pandemic has exacerbated the limited or uncertain availability of stable, safe, adequate, and attainable housing in Oakland County; the County has a need of 11,582 additional units of affordable housing needing to be created over the next decade. Of the more than 150,000 renters in Oakland County, 41.4% are cost burdened, paying more than 30% of their income in rent and the average wait for a Housing Choice Voucher in Oakland County is 26 months. American Rescue Plan Act - Local Fiscal Recovery Funds assigned to establish the Attainable Housing Trust Fund will be used to increase available attainable rental and homeowner occupied housing throughout Oakland County. This separate Attainable Housing Trust Fund (Special Revenue Fund #2xxx) be established to account for the Oakland County contributions and any other federal or state revenue for the program. The AHTF shall be administered by the Neighborhood & Housing Development Division in coordination with the AHTF Board. The Board will consist of 7 members, to evaluate and approve affordable housing proposals supported by less than or equal to $1,500,000 from the AHTF. Release of funds from the AHTF greater than $1,500,000 shall require an adopted resolution. The AHTF Board members shall have relevant development, funding and/or oversight experience such as, but not limited to, non-profit or for -profit developers, lending institutions or County Commissioners. The AHTF Board shall consist of the following members who will serve two-year terms: • One (1) Neighborhood & Housing Development Division staff to chair the board and appointed by the Neighborhood & Housing Development Manager; • Three (3) members appointed by the Chairperson of the Board of Commissioners; • Three (3) members appointed by the County Executive; COUNTY EXECUTIVE RECOMMENDATION: Recommended as Requested. PERTINENT SALARIES FY 2022 I Class Gr Freci` 12 (. 24 36" 48. '. 60 ` : p2" HTF Manager 127 Annual 84,937 89,060 93,183 97,306 101,430 105,553 109,676 113,799 Biweek 3,266.82 3,425.39 3,583.97 3,742.54 3,901.15 4,059.73 4,218.30 4,376.88 HTF Coordinator 114 Hourly 21.6556 22.7607 23.7583 24.8094 25.8605 26.9121 27.9633 29.0144 *Note: Annual rates are shown for illustrative purposes only. SALARY AND FRINGE BENEFIT SAVINGS "Note: Fringe benefit rates displayed are County averages. Annual costs are shown for illustrative purposes only. Actual costs are reflected in the budget amendment. Create one (1) FTE Housing Trust Fund Manager Salary at Grade 127 step 12 $ 89,060 Fringe Benefits at 35.01% 31,180 Direct Contract Charge $ 11,447 Cost $131,687 Create one (1) PTNE 1,000 hours/year Housing Trust Fund Coordinator Salary at Grade 114 step 12 $ 22,761 Fringe Benefits at 5.38% 1,225 Cost $ 23,986 Total Cost $155,673