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Agenda 07/10/2018 Item #16D 407/10/2018 EXECUTIVE SUMMARY Recommendation to approve the signing of one (1) Release of Lien with a combined amount of $26,729.70 for deceased Habitat for Humanity homeowners that received State Housing Initiative Partnership (SHIP) Impact Fees for new construction of affordable housing. OBJECTIVE: To support the affordability of housing in Collier County through the SHIP & HUD Programs. CONSIDERATIONS: The Community & Human Services (CHS) Division administers a wide range of affordable housing programs that result in a mortgage or lien being placed on an assisted property. Such programs include new construction, purchase assistance, rehabilitation of owner-occupied units, impact fee deferrals, and other affordable housing programs. On March 27, 2018, Agenda Item 16D3, the Board of County Commissioners (Board) adopted Resolution No. 2018-58, establishing procedures for Lien Compliance for Affordable Housing programs administered by CHS. Resolution No. 2018-58 states that in the case of death if one spouse/owner is deceased and the surviving spouse/owner remains in the home, the County mortgage or lien will be deemed in compliance until such time as the remaining spouse/owner triggers one of the other repayment requirements. If both owners are deceased, then the mortgage or lien will be forgiven. The following table provides details regarding the associated mortgages where the homeowners have deceased and a Release of Lien is required. Program File # Impact Fee Agreement Name Deceased party Legal Description OR/PG Mortgage Amount SHIP IF 04-037 Habitat for Humanity* Faustin Est, Fortilis & Morilia Faustin Both parties are deceased Lot 33, Charlee Estates 3531/3748 $13,149.98 SHIP IF 04-075 Habitat for Humanity* Poul Est, Debra L A single woman-deceased Lot 30, Charlee Estates 3679/0746 $13,579.72 Total $26,729.70 *When the property was transferred by Habitat for Humanity a new lien should have been recorded in the name of the SHIP applicant and Habitat for Humanity released from the lien. Had this oc curred this item would have required that the SHIP applicant be released from the lien. Approval of these items will authorize the Chairman to sign the Release of Liens, and the executed document shall be recorded in the Public Records of Collier County, Florida at the cost of the County. FISCAL IMPACT: The $18.50 recording fee will be paid from the SHIP Grant Fund (791) Project No. 33525. LEGAL CONSIDERATIONS: This Item is approved for form and legality and required a majority vote for Board approval. -JAB GROWTH MANAGEMENT IMPACT: There is no Growth Management impact associated with this action. 16.D.4 Packet Pg. 1738 07/10/2018 RECOMMENDATION: To approve and authorize the Chairman to sign one (1) Release of Lien with a combined amount of $26,729.70 for deceased Habitat for Humanity homeowners that received SHIP Impact Fees for new construction of affordable housing. Prepared By: Wendy Klopf, Operations Coordinator, Community & Human Services Division ATTACHMENT(S) 1. Release of Lien HfHDeceased CAO stamp (PDF) 2. HfH SHIP IF-Faustin Estate (PDF) 3. HfH SHIP IF-Poul, Estate (PDF) 4. SHIP IF Homeowners-Estate PP (PDF) 5. -Resolution 2018-58 03272018 Item _16D 3 (PDF) 16.D.4 Packet Pg. 1739 07/10/2018 COLLIER COUNTY Board of County Commissioners Item Number: 16.D.4 Doc ID: 5934 Item Summary: Recommendation to approve the signing of one (1) Release of Lien with a combined amount of $26,729.70 for deceased Habitat for Humanity homeowners that received State Housing Initiative Partnership (SHIP) Impact Fees for new construction of affordable housing. Meeting Date: 07/10/2018 Prepared by: Title: Operations Coordinator – Community & Human Services Name: Wendy Klopf 06/12/2018 4:05 PM Submitted by: Title: Division Director - Cmnty & Human Svc – Public Services Department Name: Kimberley Grant 06/12/2018 4:05 PM Approved By: Review: Community & Human Services Leslie Davis Additional Reviewer Completed 06/14/2018 1:42 PM Community & Human Services Maggie Lopez Additional Reviewer Completed 06/18/2018 7:38 AM Community & Human Services Kristi Sonntag Additional Reviewer Completed 06/19/2018 4:22 PM Community & Human Services Cormac Giblin Additional Reviewer Completed 06/20/2018 8:48 AM Public Services Department Kimberley Grant Additional Reviewer Completed 06/21/2018 5:25 PM Community & Human Services Lisa Carr Additional Reviewer Completed 06/22/2018 2:17 PM Operations & Veteran Services Sean Callahan Additional Reviewer Completed 06/25/2018 3:59 PM Public Services Department Todd Henry Level 1 Division Reviewer Completed 06/26/2018 8:02 AM Public Services Department Steve Carnell Level 2 Division Administrator Review Completed 06/26/2018 10:14 AM Grants Erica Robinson Level 2 Grants Review Completed 06/26/2018 11:15 AM County Attorney's Office Jennifer Belpedio Level 2 Attorney of Record Review Completed 06/29/2018 9:56 AM Office of Management and Budget Valerie Fleming Level 3 OMB Gatekeeper Review Completed 06/29/2018 10:02 AM County Attorney's Office Jeffrey A. Klatzkow Level 3 County Attorney's Office Review Completed 06/29/2018 10:33 AM Budget and Management Office Ed Finn Additional Reviewer Completed 06/29/2018 2:38 PM Office of Management and Budget Allison Kearns Additional Reviewer Completed 06/29/2018 8:29 PM County Manager's Office Leo E. Ochs Level 4 County Manager Review Completed 07/02/2018 10:25 AM 16.D.4 Packet Pg. 1740 07/10/2018 Board of County Commissioners MaryJo Brock Meeting Pending 07/10/2018 9:00 AM 16.D.4 Packet Pg. 1741 16.D.4.a Packet Pg. 1742 Attachment: Release of Lien HfHDeceased CAO stamp (5934 : SHIP IF Deceased Homeowners (2)) 16.D.4.a Packet Pg. 1743 Attachment: Release of Lien HfHDeceased CAO stamp (5934 : SHIP IF Deceased Homeowners (2)) 16.D.4.b Packet Pg. 1744 Attachment: HfH SHIP IF-Faustin Estate (5934 : SHIP IF Deceased Homeowners (2)) 16.D.4.b Packet Pg. 1745 Attachment: HfH SHIP IF-Faustin Estate (5934 : SHIP IF Deceased Homeowners (2)) 16.D.4.b Packet Pg. 1746 Attachment: HfH SHIP IF-Faustin Estate (5934 : SHIP IF Deceased Homeowners (2)) 16.D.4.b Packet Pg. 1747 Attachment: HfH SHIP IF-Faustin Estate (5934 : SHIP IF Deceased Homeowners (2)) 16.D.4.b Packet Pg. 1748 Attachment: HfH SHIP IF-Faustin Estate (5934 : SHIP IF Deceased Homeowners (2)) 16.D.4.b Packet Pg. 1749 Attachment: HfH SHIP IF-Faustin Estate (5934 : SHIP IF Deceased Homeowners (2)) 16.D.4.b Packet Pg. 1750 Attachment: HfH SHIP IF-Faustin Estate (5934 : SHIP IF Deceased Homeowners (2)) 16.D.4.b Packet Pg. 1751 Attachment: HfH SHIP IF-Faustin Estate (5934 : SHIP IF Deceased Homeowners (2)) 16.D.4.c Packet Pg. 1752 Attachment: HfH SHIP IF-Poul, Estate (5934 : SHIP IF Deceased Homeowners (2)) 16.D.4.c Packet Pg. 1753 Attachment: HfH SHIP IF-Poul, Estate (5934 : SHIP IF Deceased Homeowners (2)) 16.D.4.c Packet Pg. 1754 Attachment: HfH SHIP IF-Poul, Estate (5934 : SHIP IF Deceased Homeowners (2)) 16.D.4.c Packet Pg. 1755 Attachment: HfH SHIP IF-Poul, Estate (5934 : SHIP IF Deceased Homeowners (2)) 16.D.4.c Packet Pg. 1756 Attachment: HfH SHIP IF-Poul, Estate (5934 : SHIP IF Deceased Homeowners (2)) 16.D.4.c Packet Pg. 1757 Attachment: HfH SHIP IF-Poul, Estate (5934 : SHIP IF Deceased Homeowners (2)) 16.D.4.c Packet Pg. 1758 Attachment: HfH SHIP IF-Poul, Estate (5934 : SHIP IF Deceased Homeowners (2)) 16.D.4.c Packet Pg. 1759 Attachment: HfH SHIP IF-Poul, Estate (5934 : SHIP IF Deceased Homeowners (2)) 16.D.4.d Packet Pg. 1760 Attachment: SHIP IF Homeowners-Estate PP (5934 : SHIP IF Deceased Homeowners (2)) 16.D.4.d Packet Pg. 1761 Attachment: SHIP IF Homeowners-Estate PP (5934 : SHIP IF Deceased Homeowners (2)) 1603 rnovrnc, RESOLUTION NO. 18— 58 r o 91 70 -4v A RESOLUTION OF THE BOARD OF COUNTY 0 o rnv tocow COMMISSIONERS OF COLLIER COUNTY, FLORIDA, Z ° N 0 xi ESTABLISHING PROCEDURES FOR LIEN r n Co rn73 `• COMPLIANCE FOR AFFORDABLE HOUSING D X1 D "0 PROGRAMS ADMINISTERED BY THE COLLIER o -13 Io COUNTY COMMUNITY AND HUMAN SERVICES rn 0c F DIVISION. c RECITALS:C) 0 c WHEREAS,it is the intent of the Board of County Commissioners of Collier County, Florida, to increase the amount of affordable housing for its worker force and residents, and encourage the retention of affordable housing in the County; and WHEREAS, Objective 1 of the GMP's Housing Element states that the County will seek to provide new affordable housing units in order to meet the current and future housing needs of legal residents with very-low, low, moderate and gap incomes, including households with special needs; and WHEREAS, in order to address the housing needs of low, moderate, and gap income persons the County receives funding from State Housing Initiatives Partnership(SHIP) and U.S.Department of Housing&Urban Development(HUD) and implements County-initiated programs including Impact Fee Deferral and Affordable Housing Density Bonus programs; and WHEREAS, in furtherance of the spirit and intent of Resolution No 2006- 252, this Resolution establishes specific procedures for ensuring compliance with the liens and mortgages placed upon affordable housing properties and a procedure to collect on non-compliant homeowners; and WHEREAS, the SHIP Local Housing Assistance Plan (LHAP), HUD HOME, Impact Fee Deferral and other programs have default and recapture provisions for the properties they assist; and WHEREAS, there is no mechanism in place to collect on non-compliant a 16.D.4.e Packet Pg. 1762 Attachment: -Resolution 2018-58 03272018 Item _16D 3 (5934 : SHIP IF Deceased Homeowners (2)) 16D3 liens and mortgages other than foreclosure; and WHEREAS, many of the noncompliance issues are due to death and divorce; and WHEREAS, some non-compliant homeowners have requested a repayment plan; and WHEREAS, the Board of County Commissioners wishes to establish a procedure to ensure the continued compliance of all existing and future affordable housing programs administered by the Collier County Community and Human Services Division, and establish a collection procedure. NOW, THEREFORE, BE IT RESOLVED by the Board of County Commissioners of Collier County, Florida, as follows: 1. This Resolution implements the intent of Resolution No.2006-252 for the Community and Human Services Division. 2. The foregoing Recitals are adopted as true and incorporated as part of this Resolution. 3. The Board of County Commissioners' affordable housing lien compliance policy, is adopted for immediate use, as follows: A. Purpose/Scope:The purpose is to establish procedures to provide for compliance of all State, Federal and locally funded affordable housing and collection of same. B. Applicability: These procedures apply to the compliance of all qualified affordable housing agreements and their default and recapture.Affordable homeowners did not contemplate divorce or death at the time of their mortgage or lien. Community and Human Services policy regarding divorce and death is as follows: 1) Divorce: In the case of divorce, when one party quit claim deeds their ownership interest in the home to the other spouse it will not be considered a transfer, and the 16.D.4.e Packet Pg. 1763 Attachment: -Resolution 2018-58 03272018 Item _16D 3 (5934 : SHIP IF Deceased Homeowners (2)) 16 D3 original owner remaining in the home with a County mortgage or lien will be deemed in compliance until such time as he/she sells, refinances, converts housing to a rental property, no longer maintains homestead exemption, or fails to occupy the home as a primary residence or meets one of the other repayment triggering factors. 2) Death: In the case of death, if one spouse/owner is deceased and the surviving spouse/owner remains in the home, the County mortgage or lien will be deemed in compliance until such time as he/she sells, refinances, is no longer homesteaded, or triggers one of the other repayment requirements. If both owners are deceased then the mortgage or lien will be forgiven upon death of both parties. 3) All other compliance issues: The CHS Grants Compliance Unit (GCU) will have 12-months to counsel the owners to come into compliance with the requirements of the affordable housing agreements to include mortgage, lien(s) and/or security instruments. After all efforts have been exhausted to bring the owner(s), heirs, or authorized agents into compliance with the requirements, the CHS Grants Compliance Unit will refer the non-compliant owner(s) to a County approved collection agency to collect the debt in full or establish a repayment plan between the owner and collection agency. In accordance with Resolution No. 2006-252, after two (2)years of effort on the part of the CHS staff and a collection agency to bring the owner(s) into compliance, the CHS staff will prepare an Executive Summary and Resolution regarding past due receivables and bring the matter to the Board of County Commissioners for their review and determination to exhaust all other legal remedies such as foreclosure. 4.This Resolution is intended to clarify and not supersede existing program requirements. If there is an express conflict between this Resolution and existing program requirements, program requirements will prevail. U 16.D.4.e Packet Pg. 1764 Attachment: -Resolution 2018-58 03272018 Item _16D 3 (5934 : SHIP IF Deceased Homeowners (2)) 1603 THIS RESOLUTION ADOPTED after motion, second, and majority vote favoring same this a,- 14-4' day of March, 2018. ATTEST: BOARD OF COUNTY COMMISSIONERS DWIGHT E. BROCK, CLERK COLLIER CO TY, FLORIDA r._ opi1 2 By. Attest as\6.chairmsoity Clerk Andy Solis,Chairman signature only. Approved as to form and legality: Jennifer Belpedio c6 Assistant County Attorney vim\ Item# Agenda 3 6--1- ($Date Date I00``JJ162l%Redd a Deputy Clerk 16.D.4.e Packet Pg. 1765 Attachment: -Resolution 2018-58 03272018 Item _16D 3 (5934 : SHIP IF Deceased Homeowners (2))