HomeMy WebLinkAboutReports - 2023.12.07 - 40872
AGENDA ITEM: Housing Trust Fund - Royal Oak Cottages Project for Affordable Housing
Development in the Charter Township of Royal Oak
DEPARTMENT: Health & Human Services - Neighborhood and Housing Development
MEETING: Board of Commissioners
DATE: Thursday, December 7, 2023 6:00 PM - Click to View Agenda
ITEM SUMMARY SHEET
COMMITTEE REPORT TO BOARD
Resolution #2023-3530
Motion to approve the Royal Oak Cottages project for affordable housing development in Charter
Township of Royal Oak recommended by the Housing Trust Fund Board in the amount not to
exceed $2,500,000 using American Rescue Plan Act - Local Fiscal Recovery Funds.
ITEM CATEGORY SPONSORED BY
Resolution Penny Luebs
INTRODUCTION AND BACKGROUND
Southwest Housing Solutions Corporation submitted an application requesting $2,500,000 in gap
funding for its Royal Oak Cottages project for affordable housing development. County staff
reviewed and scored the Southwest Housing Solutions Corporation application and recommended a
Housing Trust Fund investment in an amount not to exceed $2,500,000 of LFRF funds. The Royal
Oak Cottages project for affordable housing development, to be located on scattered sites in Royal
Oak Township, Michigan, will provide up to 32 units of affordable, single family rental housing
reserved for residents earning less than 30% of the area median income (AMI), 40% of AMI, 50% of
AMI, and 60% of AM. The Royal Oak Cottages project for affordable housing development will
activate up to 32 vacant residential lots that will be contributed by Royal Oak Township, MI. The
Royal Oak Cottages affordable housing development will represent an approximately $15,000,000
investment into affordable housing in Oakland County.
On October 18, 2023, the Housing Trust Fund Board approved a resolution recommending an
investment in an amount not to exceed $2,500,000 of ARPA funds to the Oakland County Board of
Commissioners for the Royal Oak Cottages project for affordable housing development.
POLICY ANALYSIS
The Oakland County Board of Commissioners authorized the creation of the Housing Trust Fund via
Miscellaneous Resolution #22-135. The Oakland County Board of Commissioners authorized a one-
time Fiscal Year 2022 appropriation in the amount of $5,000,000 in American Rescue Plan Act –
Local Fiscal Recovery Funds for the Oakland County Housing Trust Fund to increase affordable or
attainable rental and homeowner occupied housing throughout Oakland County. Housing proposals
requesting more than $1,500,000 from the Housing Trust Fund shall require approval of the
Oakland County Board of Commissioners. A Notice of Funding Availability and Application was
approved and released on September 20, 2023, to receive applications requesting ARPA funding.
American Rescue Plan Act - Local Fiscal Recovery Funds must be committed to the Royal Oak
Cottages project through a written contract by December 31, 2024, and expended by December 31,
2026.
A budget amendment is not required as the funding was appropriated in FY 2022, MR #22-135 and
authorized to be carried forward via the FY 2022 Year-end Report (MR #22397).
BUDGET AMENDMENT REQUIRED: No
Committee members can contact Michael Andrews, Policy and Fiscal Analysis Supervisor at
248.425.5572 or andrewsmb@oakgov.com, or the department contact persons listed for additional
information.
CONTACT
Kyle Hines, Housing Trust Fund Manager
ITEM REVIEW TRACKING
Aaron Snover, Board of Commissioners Created/Initiated - 12/7/2023
AGENDA DEADLINE: 12/07/2023 6:00 PM
ATTACHMENTS
1. #6c Royal Oak Cottages - HTF Resolution
COMMITTEE TRACKING
2023-11-28 Public Health & Safety - Recommend to Board
2023-12-07 Full Board - Adopt
Motioned by: Commissioner Charles Cavell
Seconded by: Commissioner Ajay Raman
Yes: David Woodward, Michael Spisz, Michael Gingell, Penny Luebs, Karen Joliat, Kristen
Nelson, Christine Long, Robert Hoffman, Philip Weipert, Gwen Markham, Angela Powell, Marcia
Gershenson, William Miller III, Yolanda Smith Charles, Charles Cavell, Brendan Johnson, Ajay
Raman, Ann Erickson Gault (18)
No: None (0)
Abstain: None (0)
Absent: (0)
Passed
Oakland Together Housing Trust Fund
October 18, 2023
Resolution: #2023 -001
Recommendation of Funding
Chair and Members of the Oakland Together Housing Trust Fund Board:
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 the Oakland County Board of Commissioners authorized the creation of the
Housing Trust Fund by Miscellaneous Resolution #22 -135; and
WHEREAS the Oakland County Board of Commissioners authorized a one-time Fiscal Year
2022 appropriation in the amount of $5,000,000 in American Rescue Plan Act – State and Local
Fiscal Recovery Funds (SLFRF) for the Oakland County Housing Trust Fund (Fund) to increase
affordable or attainable rental and homeowner occupied housing throughout Oakland County ;
and
WHEREAS the Fund approved and released a Notice of Funding Availability and Application on
September 20, 2023 to receive applications requesting SLFRF funding; and
WHEREAS Southwest Housing Solutions Corporation submitted an application requesting
$2,500,000 in gap funding for its Royal Oak Cottages affordable housing development to be
located on scattered sites in Royal Oak Township, Michigan (Development); and
WHEREAS the Development will provide up to 32 units of affordable, single family rental
housing reserved for residents earning less than 30% of t he area median income (AMI), 40% of
AMI, 50% of AMI, and 60% of AMI; and
WHEREAS the Development will activate up to 32 vacant residential lots that will be contributed
to the Development by Royal Oak Township, MI; and
WHEREAS the Development will represent an approximately $15,000,000 investment into
affordable housing in Oakland County; and
WHEREAS County staff reviewed and scored the Development’s application and recommend
an investment in an amount not to exceed $2,500,000 of SLFRF funds for the Development;
and
WHEREAS any Fund investment over $1,500,000 requires approval of the Oakland C ounty
Board of Commissioners by adopted resolution.
NOW THEREFORE BE IT RESOLVED that the Oakland Together Housing Trust Fund
recommends that the Oakland County Board of Commissioners adopt a resolution approving
and authorizing an investment of SLFRF funds for the Royal Oak Cottages affordable housing
development in an amount not to exceed $2,500,000.
BE IT FURTHER RESOLVED that the SLFRF funds must be committed to the Development
through written contract by December 31, 2024 and expended by December 31 , 2026.