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AHAC Agenda 03/11/2019Collier County Affordable Housing Advisory Committee (AHAC) AGENDA March 11, 2019 8:30A.M. 3303 Tamiami Trail East (Main Government Complex) 5th Floor Meeting Room – Building "F" AHAC COMMITTEE MEMBERS Steve Hruby, AHAC Chairman John Cowan, AHAC Member Mary Waller, AHAC Member Joseph Schmitt, AHAC Member Denise Murphy, AHAC Member Litha Berger, AHAC Member Dr. Carlos Portu, AHAC Member Christina Apostolidis, AHAC Member Sheryl Soukup, AHAC Member Justin Emens, AHAC Member Gary Haines, AHAC Member COLLIER COUNTY STAFF Kristi Sonntag, Director, Community and Human Services Cormac Giblin, Housing and Grant Development Manager Susan Golden, Sr. Housing and Grants Coordinator, CHS Hilary Halford, Sr. Housing and Grants Coordinator, CHS Barbetta Hutchinson, Operations Coordinator, CHS Jason Rummer, Operations Analyst, CHS NOTICE: ALL PERSONS WISHING TO SPEAK ON ANY AGENDA ITEM MUST REGISTER PRIOR TO SPEAKING. ALL REGISTERED SPEAKERS WILL RECEIVE UP TO THREE (3) MINUTES UNLESS THE TIME IS ADJUSTED BY THE CHAIRMAN. DURING COMMITTEE DISCUSSION, COMMITTEE MEMBERS MAY ASK DIRECT QUESTIONS TO INDIVIDUALS. PLEASE WAIT TO BE RECOGNIZED BY THE CHAIRMAN AND STATE YOUR NAME AND AFFILIATION FOR THE RECORD BEFORE COMMENTING. IF YOU ARE A PERSON WITH A DISABILITY WHO NEEDS ACCOMMODATION IN ORDER TO PARTICIPATE IN THIS MEETING, YOU ARE ENTITLED, AT NO COST TO YOU, THE PROVISION OF CERTAIN ASSISTANCE. PLEASE CONTACT THE COLLIER COUNTY FACILITIES MANAGEMENT DEPARTMENT. ASSISTED LISTENING DEVICES FOR THE HEARING IMPAIRED ARE AVAILABLE IN THE COUNTY COMMISSIONER’S OFFICE. 1.A.2 Packet Pg. 11 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 1. CALL TO ORDER & PLEDGE OF ALLEGIANCE 2. ROLL CALL OF COMMITTEE MEMBERS AND STAFF 3. APROVAL OF AGENDA AND MINUTES a. Approval of today’s agenda b. Approval of 2-6-19 AHAC Regular meeting minutes 4. INFORMATIONAL ITEMS a. Presentation from Code Enforcement b. Grant application cycle update c. Recap of Housing Items on 2/12/2019 BCC Agenda d. Wells Fargo Housing Opportunity Index & February 11, 2019 Rental Apartment Survey e. Bembridge ITN update 5. PUBLIC COMMENT a. Persons wishing to speak must register prior to speaking. All registered speakers will receive up to three (3) minutes unless the time is adjusted by the Chairman. 6. DISCUSSION ITEMS AND PRESENTATIONS a. Review of Local Housing Assistance Plan (LHAP) 3-year update b. Discussion on Affordable Housing Demand Methodology Model 7. STAFF AND COMMITTEE GENERAL COMMUNICATIONS 8. ADJOURN NEXT AHAC MEETING DATE: April 1, 2019, 8:30 AM 1.A.2 Packet Pg. 12 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) MINUTES OF THE COLLIER COUNTY AFFORDABLE HOUSING ADVISORY COMMITTEE February 6, 2019 8:30 A.M. Naples, Florida LET IT BE REMEMBERED that the Collier County Affordable Housing Advisory Committee met on this date at 8:30 A.M. in a WORKING SESSION in the Health Building 2nd Floor Conference Room in Naples, Florida, with the following Members present: Present: Steve Hruby, Chair Carlos Portu Joseph Schmitt Mary Waller John Cowan Christina Apostolidis Gary Hains Une xcused: John Cowan Excused: Sheryl Soukup Litha Berger Justin Emens ALSO PRESENT: Kristi Sonntag, Director, Community and Human Services Cormac Giblin, Manager, Housing & Grant Development - CHS Barbetta Hutchinson – Operations Coordinator - CHS Jason Rummer, Operations Analyst OTHERS PRESENT: George Danz, citizen; Gabriela Molina, Clerk of Courts; Harrison Langle, BoxVana; Gerald LeFeibvre, Naples Properties 1. CALL TO ORDER The group nominated Joseph Schmitt to run the meeting in the absence of Steve Hruby. Joseph called the meeting to order at 8:40 am and led in the Pledge of Allegiance. Cormac read the procedures to be followed. Steve arrived at 8:41 am and took over the running of the meeting. 2. ROLL CALL – COMMITTEE MEMBERS AND STAFF There were 7active members present, therefore a quorum was established. 3. APPROVAL OF AGENDA AND MINUTE a. A motion was made to approve the agenda by Carlos Portu seconded by Mary Waller. The motion passed by a vote of 7-0. 1.A.2 Packet Pg. 13 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2 b. A motion was made to approve the minutes from the meeting of January 8, 2019 by Mary Waller and was seconded by Carlos Portu. The motion passed by a vote of 7-0. c. Steve welcomed new members to the group and said he was looking forward to working with them. 4. INFORMATIONAL ITEMS a. Cormac reviewed the upcoming grant cycle timeline. He said that the application closed on February 11th. He discussed the spreadsheet that was in the packet listing all of the applications thus far including the agency, what they were asking for and the dollar value requested. We have about $4 million available and so far we have requests for around $12 million. The ranking and review committee will meet at 7:30 a.m. on March 1, 2019 in the Growth Management Conference Room 609-610 located at 2800 Horseshoe Drive North, Naples, Florida 34104. Mary Waller will be the representative from the AHAC at these meetings. b. Cormac recapped what will be on the agenda for the BCC meeting being held on February 12, 2019. Commissioner Taylor made a motion to put a reconsideration of the proposed land development code amendments on this agenda. The two items of main issue are the new definition of affordable housing and changing the density bonus from 8 to 12 per acre. This item requires a 4 out of the 5 votes to pass. At the previous meeting the vote was 3 against and 2 for. The BCC wants to hear from the public and main employers in the county to find out if affordable housing is still a need in Collier County. This will be a time certain item and Cormac will send out an e-mail to the members stating the time so that everyone may attend. Steve Hruby encouraged all members to attend to voice their opinion that we do indeed need affordable housing. c. Cormac gave a recap on all of the existing grant projects and their completion. Our guideline is that we want the project done in one year, however that time frame would need to be extended if an environmental needs to be done. It could take up to a year just to get the environmental portion completed. d. Cormac told the group that Joe Schmitt invited him to the meeting of the Planning Commission to discuss the Allura rental development. Cormac said he would state that there is not a public need for 80-120% rentals (2 bedroom for $2,025) but would suggest that the rentals be targeted to 80% or less (2 bedroom for $1,350). e. Mary Waller asked about the Bembridge project. Cormac told her he would send out the link to the proposal when it gets released later this week. f. Steve Hruby asked about the resolution that all property sales or purchases incorporate affordable housing in relation to the bus barn on Randall. 5. PUBLIC COMMENT There were no public speakers for this meeting. 1.A.2 Packet Pg. 14 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 3 6. DISCUSSION ITEMS AND PRESENTATIONS 7. ADJOURN a. There being no further business for the good of the County, after a motion by Joe Schmitt, a second by Mary Waller and a vote of 7-0 in favor, the meeting was adjourned at 9:42 by Chair, Steve Hruby. NEXT MEETING: THE NEXT MEETING WILL BE HELD ON MARCH 11, 2019 AT 8:30 A.M. Location: 5th Floor Training Room, Administration (Building F) located at 3299 Tamiami Trail East. COLLIER COUNTY AFFORDABLE HOUSING ADVISORY COMMITTEE _________________________________ Stephen Hruby, Chairman The foregoing Minutes were approved by Committee Chair on ______________________, 2019, “as submitted” [__] OR “as amended” [__]. 1.A.2 Packet Pg. 15 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) Grant Application Review Committee Results of 3/1/19 Meeting Committee  Rank Activity Requested Recommended Adjusted 3/5/19 Source Comments Available 1 Immokalee CRA/Sidewalk Improvements $500,000.00 $500,000.00 $500,000.00 CDBG Project 2 City of Naples/River Park ‐ 12th St. Sidewalk  Connection $108,450.00 $108,450.00 $108,450.00 CDBG Project 3 Bayshore/Gateway CRA/ Fire Suppression: Phase 3 $300,000.00 $300,000.00 $300,000.00 CDBG Project 4 BCC Stormwater Management/Naples Manor  Stormwater Improvements Phase 1 $80,000.00 $80,000.00 $80,000.00 CDBG Project 5 Youth Haven/App #2: Disaster Mitigation $35,531.00 $35,531.00 $35,531.00 CDBG Project 6 The Shelter for Abused Women & Children/ App #1:  Restroom Rehab $182,217.00 $182,217.00 $182,217.00 CDBG Project 7 Youth Haven/App #1: Odorzzi Cottage Rehab $317,207.00 $317,207.00 $317,207.00 CDBG Project 8 Collier County Housing Authority/App. #1: HVAC FWV  Phase 10 $500,000.00 $450,000.00 $0.00 CDBG Project Awarded but project moved to  HOME to fully fund 9 Legal Aid/App #2: Main Office Improvement/Rehab $234,147.00 $100,000.00 $234,147.00 CDBG Project 10 Habitat/ App. #1: Kiacasa $2,000,000.00 $0.00 $0.00 CDBG Project 11 Immokalee Fire Control District/WCYAOT $450,000.00 $0.00 $311,646.57 CDBG Project 12 BCC‐ Facilities/Senior Center Renovations $90,000.00 $90,000.00 $90,000.00 CDBG Project 13 Rural Neighborhoods/Eden Park‐Esperanza Place  Neighborhood Center $500,000.00 $0.00 $0.00 CDBG Project 14 Residential Options of Florida/App #1: Naples  Inclusive Workforce Housing, Phase 1 $813,750.00 $0.00 $0.00 CDBG Project 15 Steiner House $599,999.00 $0.00 $0.00 CDBG Project TOTAL $6,711,301.00 $2,163,405.00 $2,159,198.57 CDBG Project $2,159,198.57 1 Legal Aid/ App #1:Services to Victims Project $183,713.00 $183,000.00 $183,000.00 CDBG Public Serv 2 United Cerebral Palsy/Free to be me $93,463.00 $75,000.00 $75,000.00 CDBG Public Serv 3 Collier County Child Advocacy Council/Family Safety  Program $101,452.00 $75,000.00 $75,000.00 CDBG Public Serv 4 Boys & Girls Club/Immokalee & Naples  Transportation…$100,000.00 $45,000.00 $45,000.00 CDBG Public Serv 5 NAMI/App #1: Supportive Housing Specialist $58,574.00 $0.00 $0.00 CDBG Public Serv TOTAL $537,202.00 $378,000.00 $378,000.00 CDBG Public Serv $378,000.00 1 The Shelter for Abused Women & Children/ App #2:  Operations $115,022.00 $106,560.00 $106,560.00 ESG 2 NAMI/App #2: Rapid Rehousing $30,304.00 $30,304.00 $31,040.00 ESG 3 Youth Haven/App #3: Shelter for Homeless Teens $108,000.00 $0.00 $0.00 ESG 4 Hunger & Homeless Coalition/HMIS Software Project $40,000.00 $40,000.00 $40,000.00 ESG TOTAL $293,326.00 $176,864.00 $177,600.00 ESG $177,600.00 1 Collier County Housing Authority/App. #2:TBRA $440,000.00 $440,000.00 $159,993.00 HOME 2 Collier County Housing Authority/App. #1: HVAC FWV  Phase 10 $500,000.00 $450,000.00 $500,000.00 HOME 3 Habitat/ App. #2 Vincent Acres $900,000.00 $900,000.00 $900,000.00 HOME TOTAL $1,840,000.00 $1,340,000.00 $1,559,993.00 HOME $1,559,993.00 1 H.E.L.P./ Mortgage Assistance Program $500,000.00 $200,000.00 $217,656.00 SHIP 2 FL Star Construction/Homeownership Assistance $400,000.00 $400,000.00 $400,000.00 SHIP 3 Residential Options of Florida/App #2: Liberty Place  Naples $300,000.00 $300,000.00 $300,000.00 SHIP 4 Collier County Housing Authority/App #3: Rental  Acquisition $600,000.00 $0.00 $0.00 TOTAL $1,800,000.00 $900,000.00 $917,656.00 SHIP $917,656.00 GRAND TOTALS $11,181,829.00 $4,958,269.00 $5,192,447.57 $5,192,447.57 1.A.2 Packet Pg. 16 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) COLLIER COUNTY Board of County Commissioners AGENDA - RECAP February 12, 2019 9:00 AM 9. ADVERTISED PUBLIC HEARINGS A. This item to be heard at 9:30 a.m. This item was first heard at the January 22, 2019 BCC meeting and approved for reconsideration at the February 12, 2019 BCC Meeting. (Commissioner Taylor) Recommendation to approve an Ordinance amending Ordinance Number 04-41, as amended, the Collier County Land Development Code, which includes the comprehensive land regulations for the unincorporated area of Collier County, Florida, to make changes consistent with Board direction, including revising the affordable housing definition, updating the terminology and income levels associated with affordable housing categories, and increasing the maximum affordable density bonus from 8 to 12 dwelling units per acre, by providing for: Section One, Recitals; Section Two, Findings of Fact; Section Three, Adoption of Amendments to the Land Development Code, more specifically amending the following: Chapter One- General Provisions, including Section 1.08.02 Definitions; Chapter Two - Zoning Districts and Uses, including Section 2.06.01 Generally, Section 2.06.02 Purpose and Intent, Section 2.06.03 AHDB Rating System, Section 2.06.04 Limitations on Affordable Housing Density Bonus, Section 2.06.05 Affordable Housing Density Bonus Monitoring Program, and Section 2.6.6 Violations and Enforcement; Section Four, Conflict and Severability; Section Five, Inclusion in the Collier County Land Development Code; and Section Six, Effective Date. Ordinance 2019-02. Adopted w/changes: • Motion to approve Section 1.08.02 Affordable Housing Definitions - Approved 5/0; • Motion to approve the Density Bonus Adjustment from Section 2.06.01 - Approved 5/0; • Motion to approved cleanup changes that do not deal with duration and include 10% of total housing units (voluntary) - Approved 4/1 (Commissioner Fiala opposed); • Motion to approve the term duration of 30 years for both rental and owner-occupied housing density bonus - Approved 4/1 (Commissioner Fiala opposed) 1.A.2 Packet Pg. 17 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) SAMPLE AHDB INCENTIVE CALCULATOR Scenario 1- Original Development = 20 acres x 4 units/acre (base density) = 80 units (0% Affordable) Number of Original Market Rate Units Number of Bonus Market Rate Units Total Number of Market Rate Units Price of Each Market Rate Unit Developer Profit on Market and Bonus Market Units (10%) Number of Affordable Units Price of Each Affordable Unit Developer Profit on Affordable Units (10%) Total Units Total Developer Profit Additional Developer Profit By Using AHDB 80 0 80 $434,000 $3,472,000 0 n/a $0 80 $3,472,000 n/a Scenario 2- Development Utilizing Affordable Housing Density Bonus = 20 acre x 4 units/acre (base density) + AHDB 2 units/ acre (20% @ Gap income) = 120 units (20% Affordable) Number of Original Market Rate Units Number of Bonus Market Rate Units Total Number of Market Rate Units Price of Each Market Rate Unit Developer Profit on Market and Bonus Market Units (10%) Number of Affordable Units Price of Each Affordable Unit Developer Profit on Affordable Units (10%) Total Units Total Developer Profit Additional Developer Profit By Using AHDB 80 16 96 $400,000 $3,840,000 24 $200,000 $480,000 120 $4,320,000 $848,000 Scenario 3- Development Utilizing Affordable Housing Density Bonus = 20 acre x 4 units/acre (base density) + AHDB 8 units/ acre (40% @ Low income) = 240 units (40% Affordable) Number of Original Market Rate Units Number of Bonus Market Rate Units Total Number of Market Rate Units Price of Each Market Rate Unit Developer Profit on Market and Bonus Market Units (10%) Number of Affordable Units Price of Each Affordable Unit Developer Profit on Affordable Units (10%) Total Units Total Developer Profit Additional Developer Profit By Using AHDB 80 64 144 $268,000 $3,859,200 96 $150,000 $1,440,000 240 $5,299,200 $1,827,200 Scenario 4- Development Utilizing Affordable Housing Density Bonus = 20 acre x 4 units/acre (base density) + AHDB 12 units/ acre (60% @ Very-Low income) = 320 units (60% Affordable) Number of Original Market Rate Units Number of Bonus Market Rate Units Total Number of Market Rate Units Price of Each Market Rate Unit Developer Profit on Market and Bonus Market Units (10%) Number of Affordable Units Price of Each Affordable Unit Developer Profit on Affordable Units (10%) Total Units Total Developer Profit Additional Developer Profit By Using AHDB 80 48 128 $250,000 $3,200,000 192 $150,000 $2,880,000 320 $6,080,000 $2,608,000 Scenario 5- Development Utilizing Affordable Housing Density Bonus = 20 acre x 4 units/acre (base density) + AHDB 12 units/ acre (100% @ Very-Low income) = 320 units (100% Affordable) Number of Original Market Rate Units Number of Bonus Market Rate Units Total Number of Market Rate Units Price of Each Market Rate Unit Developer Profit on Market and Bonus Market Units (10%) Number of Affordable Units Price of Each Affordable Unit Developer Profit on Affordable Units (10%) Total Units Total Developer Profit Additional Developer Profit By Using AHDB 0 0 0 $0 $0 320 $125,000 $4,000,000 320 $4,000,000 $528,000 1.A.2 Packet Pg. 18 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - $295K $345K $66.5K 44.549.6 0 50 100 150 200 250 300 350 400 Q3_15Q4_15Q1_16Q2_16Q3_16Q4_16Q1_17Q2_17Q3_17Q4_17Q1_18Q2_18Q3_18Q4_18Area Median Home Price Housing Opportunity Index Area Median Income IN THE PAST 3.5 YEARS - * HOME PRICES INCREASED (Does not include HOA fees) 16.9% * MEDIAN INCOME INC. - INCREASED 12.8% *AFFORDABILITY (HOI) DECREASED -10.3% (THE WORST IN 3 YEARS) NAPLES/MARCO HOI (Housing Opportunity Index) is the share of housing sold that would be affordable to a family earning median income based on mortgage underwriting criteria (30% of gross income is spent on housing with 10% down payment). National Assoc. of Home Builders (NAHB) and Wells Fargo (Q4,2018) $75K 1.A.2 Packet Pg. 19 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - Collier County Community and Human Services Division Quarterly Rental Apartment Inventory Survey 02/11/2019 ***Information deemed reliable, but should be independently verified*** Property Name Property Address Phone #1/1 Rental Rate 2/2 Rental Rate 3/2 Rental Rate # of Units in Development Occupancy Rate # Available as of 02/11/2019 Aster at Lely Resort 8120 Acacia St, Naples, FL 34113 (239) 919-8375 $1,792 $2,120 $2,431 308 96%13 Advenir Aventine 9300 Marino Cir, Naples, FL 34114 (239) 793-4603 $1,758 $2,043 $1,980 350 93%25 ORCHID RUN 10991 Lost Lake Drive, Naples, FL 34105 (833) 676-4450 844-815-9861 $1,661 $2,040 $2,467 282 93%19 Inspira Apartments 7425 Inspira Circle, Naples, FL 34113 (239) 298-5680 $1,533 $1,931 $2,072 304 43%173 Bermuda Island 3320 Bermuda Isle Cir, Naples, FL 34109 (877) 377-4289 $1,450 $1,750 $2,075 360 99%6 Alvista at Laguna Bay 2602 Fountainview Cir, Naples, FL 34109 (239) 254-7889 $1,315 $1,695 453 95%24 Malibu Lakes 2115 Malibu Lakes Circle, Naples, FL 34119 239.596.0035 $1,375 $1,695 $2,000 356 98%6 Milano Lakes 3713 Milano Lakes Circle, Naples, FL 34114 (239) 330-4181 $1,430 $1,610 $1,850 296 47%157 Waverley Place 5300 Hemingway Ln, Naples, FL 34116 (239) 353-4300 $1,286 $1,565 $1,547 300 98%6 River Reach 1970 River Reach Dr #179, Naples, FL 34104 (239) 643-2992 $1,409 $1,559 556 90%56 Somerset Palms 15985 Arbor View Blvd, Naples, FL 34110 (888) 479-3911 $1,554 $1,799 169 92%14 ARIUM GULFSHORE 5301 Summerwind Dr, Naples, FL 34109 (239) 597-6605 $1,325 $1,515 368 94%22 Meadow Lakes 105 Manor Blvd, Naples, FL 34104 (239) 403-4130 $1,254 $1,490 $1,660 252 96%10 AlVista at Golden Gate/Sabal Key 1600 Wellesley Cir, Naples, FL 34116 (239) 353-1211 $1,307 $1,479 200 94%12 Monterra at Bonita Springs 28151 Dovewood Ct, Bonita Springs, FL 34135 (239) 948-3826 $1,290 $1,430 $1,705 244 93%17 Belvedere At Quail Run 260 Quail Forest Blvd, Naples, FL 34105 (239) 434-0033 $1,350 $1,425 162 90%16 Sierra Grande at Naples 6975 Sierra Club Cir, Naples, FL 34113 (239) 529-5631 $1,361 $1,418 $1,600 300 92%24 The Point at Naples (Heron Park)2155 Great Blue Dr, Naples, FL 34112 (239) 417-5500 $1,235 $1,395 $1,610 248 95%12 Oasis Naples 2277 Arbor Walk Cir, Naples, FL 34109 (239) 598-9944 $1,250 $1,330 216 100%0 Mer Soleil 4250 Jefferson Ln, Naples, FL 34116 (239) 354-1155 $1,111 $1,328 $1,616 320 92%25 GEORGE CARVER APTS 350 10th St N Naples, FL - 34102 (239) 261-4595 (810)750-7000 $954 $1,312 $1,434 70 100%0 Meadow Brook Preserve 1130 Turtle Creek Blvd, Naples, FL 34110 (239) 514-4449 $1,461 $1,281 $1,962 268 96%12 Briar Landings 1385 Wildwood Lakes Blvd, Naples, FL 34104 239-775-4002 $1,100 $1,200 240 98%5 Naples Place I-III 4544-4626 Sunset Rd, Naples, FL 34116 (239) 455-5155 $800 $1,100 $1,150 170 100%0 NOAHS LANDING 10555 Noah's Cir, Naples, FL 34116 (239) 775-7115 $844 $1,005 $1,504 264 100%0 BRITTANY BAY 1 & 2 14815 Triangle Bay Dr, Naples, FL 34119 (239) 354-2002 $806 $960 $1,113 360 100%0 TUSCAN ISLE 8650 Weir Dr, Naples, FL 34104 (239) 304-3668 $796 $958 $1,107 298 100%0 COLLEGE PARK 6450 College Park Cir, Naples, FL 34113 239.732.7707 $951 $1,105 210 100%0 WHISTLER'S COVE 11400 Whistlers Cove Blvd, Naples, FL 34113 (239) 417-3333 $786 $950 $1,105 240 100%0 SUMMER LAKES 1 & 2 5520 Jonquil Ln, Naples, FL 34109 (855) 342-6413 $768 $927 $1,076 416 100%0 WHISTLER'S GREEN 4700 Whistlers Green Cir, Naples, FL 34116 (239) 352-2999 $773 $918 $1,058 168 100%0 OSPREYS LANDING 100 Ospreys Landing, Naples, FL 34104 (239) 261-5454 $763 $914 $1,044 176 100%0 SADDLEBROOK VILLAGE 8685 Saddlebrook Cir, Naples, FL 34104 (239) 354-1122 $914 $1,044 140 99%1 BEAR CREEK 2367 Bear Creek Dr, Naples, FL 34109 (239) 514-0600 $889 $1,035 108 100%0 VILLAS OF CAPRI 7725 Tara Cir, Naples, FL 34104 (239) 455-4600 $741 $889 $1,019 235 100%0 JASMINE CAY 100 Jasmine Circle Naples, FL - 34102 239-643-3900 (844) 853-8441 $843 $975 72 100%0 WINDSONG CLUB 11086 Windsong Cir, Naples, FL 34109 (239) 566-8801 $649 $784 $900 120 100%0 Berkshire Reserve (Daili of Naples)3536 Winifred Row Ln, Naples, FL 34116 239) 455-8174 $1,595 146 96%6 COLLIER HOUSING ALTERNATIVES 4211 Thomasson Ln, Naples, FL 34112 (239)793-0332 $650 10 100%0 GOODLETTE ARMS 950 Goodlette Rd N Naples, FL - 34102 (239) 262-3229 $812 242 100%0 LAUREL RIDGE 5460 Laurel Ridge Ln, Naples, FL 34116 (239) 353-7766 $1,088 78 100%0 Naples 701 3531 Plantation Way, Naples, FL 34112 (239) 775-8000 $1,035 188 94%11 Wild Pines of Naples 1&2 2580 Wild Pines Ln, Naples, FL 34112 (239) 793-6419 $950 200 100%0 Sub-Total Naples 10,463 94.0%672 CRESTVIEW PARK 1 & 2 715 Crestview Dr, Immokalee, FL 34142 (239) 658-8267 $878 $1,018 304 99%3 Immokalee Apartments 601 W Delaware Ave, Immokalee, FL 34142 (239) 657-6185 $777 $923 100 100%0 EDEN GARDENS 1 & II 1375 Boxwood Drive, Immokalee, FL 34142 (239) 657-7900 $770 $835 88 98%2 OAK HAVEN 580 Oakhaven Cir, Immokalee, FL 34142 (239) 658-5920 $754 $850 160 98%3 SOUTHERN VILLAS 1802 Custer Ave, Immokalee, FL 34142 (239) 657-3204 $577 $693 $838 35 95%2 BROMELIA PLACE 612 N 11th St Immokalee, FL - 34142 (844) 796-3474 (239) 657-3000 $575 $675 30 100%0 ESPERANZA PLACE 210 S 1st St, Immokalee, FL 34142 239.657.2009 $549 $639 $699 48 100%0 SUMMER GLEN 1012 Summer Glen Blvd, Immokalee, FL 34142 (239) 657-3204 $488 $599 45 100%0 WILLOWBROOK PLACE 1836 Ash Ln, Immokalee, FL 34142 239.657.3204 $485 $585 41 95%2 MAIN STREET VILLAGE 104 Anhinga Cir, Immokalee, FL 34142 239-657-6576 $565 $565 $635 79 100%0 SANDERS PINES 2449 Sanders Pine Cir, Immokalee, FL 34142 239-657-8333 $545 $595 41 100%0 FARM WORKER VILLAGE (non-farmworker)2225 Chadwick Cir, Immokalee, FL 34142 239-657-3649 239-842-0327 $485 $536 $567 276 78%61 GARDEN LAKE 1050 Garden Lake Cir, Immokalee, FL 34142 (239) 657-3204 $443 $535 65 100%0 HERITAGE VILLAS 1810 Lake Trafford Rd, Immokalee, FL 34142 (239) 657-3204 844-250-5248 $461 $516 41 85%6 CYPRESS RUN 550 Hope Cir, Immokalee, FL 34142 (239) 657-9032 $665 39 100%0 TIMBER RIDGE 2711 Wilton Ct, Immokalee, FL 34142 239-657-8333 $705 35 100%0 Sub-Total Immokalee 1,427 94.0%79 Grand Totals 11,890 94.0%751 1.A.2 Packet Pg. 20 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 1 - DRAFT Collier County, Florida SHIP LOCAL HOUSING ASSISTANCE PLAN (LHAP) 2019-2020, 2020-2021, 2021-2022 1.A.2 Packet Pg. 21 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 2 - Table of Contents Description Page # Section I, Program Details 4 Section II, Housing Strategies 11 A. Owner Occupied Rehabilitation 11 B. Purchase Assistance 14 C. Disaster Mitigation 18 D. Rental Development 21 E. Rental Rehabilitation 23 F. Rental Acquisition 25 G. New Construction Assistance 27 H. Demolition and Replacement of Manufactured Housing 30 I. Land Acquisition 33 Section III, Incentive Strategies 34 A. Expedited Permitting 34 B. Ongoing Review Process 34 C. Other Incentive Strategies Adopted 34 Exhibits 34 A. Administrative Budget for each fiscal year covered in the Plan 37 B. Timeline for Established Encumbrance and Expenditure 39 C. Housing Delivery Goals Chart for Each Covered Fiscal Year 40 D. Signed LHAP Certification 43 E. Signed, dated, witnessed or attested adopting resolution 45 F. Ordinance 47 1.A.2 Packet Pg. 22 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 3 - G. Interlocal agreement 53 H. Short Sale Policy 57 I. Essential Personnel Certification 61 J. Subordination Policy 62 I. Program Details: A. LG(s) Name of Local Government Collier County Board of County Commissioners Does this LHAP contain an interlocal agreement? Yes If yes, name of other local government(s) City of Naples B. Purpose of the program: • To meet the housing needs of the very low, low and moderate-income households; • To expand production of and preserve affordable housing; and • To further the housing element of the local government comprehensive plan specific to affordable housing. C. Fiscal years covered by the Plan: 2019-2020, 2020-2021, 2021-2022 D. Governance: The SHIP Program is established in accordance with Section 420.907-9079, Florida Statutes and Chapter 67-37, Florida Administrative Code. Cities and Counties must comply with these applicable statutes, rules and any additional requirements as established through the Legislative process. E. Local Housing Partnership: The SHIP Program encourages building active partnerships between government, lending institutions, builders and developers, not-for-profit and community-based housing providers and service organizations, providers of professional services related to affordable housing, advocates for low-income persons, real estate professionals, persons or entities that can provide housing or support services and lead agencies of the local continuums of care. F. Leveraging: The Plan is intended to increase the availability of affordable residential units by combining local resources and cost saving measures into a local housing partnership and using public and private funds to reduce the cost of housing. SHIP funds may be leveraged with or used to supplement other Florida Housing Finance Corporation programs and to 1.A.2 Packet Pg. 23 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 4 - provide local match to obtain federal housing grants or programs. G. Public Input: Public input was solicited through face to face meetings with housing providers, social service providers, local lenders and neighborhood associations. Input was also solicited through the local newspaper in the advertising of the Local Housing Assistance Plan and the Notice of Funding Availability. H. Advertising and Outreach: SHIP funding availability shall be advertised in a newspaper of general circulation and periodicals serving ethnic and diverse neighborhoods, at least 30 days before the beginning of the application period. If no funding is available due to a waiting list, no notice of funding availability is required. For advertisements other than NOFAs, the County will accept applications during the dates specified in the advertisement distributed via the County website, email or via the County procurement office. I. Waiting List/Priorities: A waiting list will be established when there are eligible applicants for strategies that no longer have funding available. Those households on the waiting list will be notified of their status. Applicants will be maintained in an order that is consistent with the time applications were submitted as well as any established funding priorities as described in this plan. Applications will be accepted and approved on a first-come, first-qualified basis with priority given to households with a special needs occupant, or other priorities that may be deemed by the program funder, Florida Housing Finance Corporation. Priorities for funding described/listed here apply to all strategies unless otherwise stated in the strategy. When funds are available for a strategy, the applicants from the waiting list will be contacted to complete/update the application for SHIP assistance. Applicants will be placed in the queue for assistance once they have provided all required documentation and been deemed SHIP eligible. Once there is a list of eligible applicants, they will be ranked in the following order. RANKING PRIORITY 1. Special Needs Households – Extremely low, very low, low and moderate – income households and persons with special needs as defined in Florida Administrative Code, 67-37.002 Definitions (21) Persons Who Have Special Housing Needs a) Extremely Low b) Very low c) Low 1.A.2 Packet Pg. 24 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 5 - d) Moderate 2. Essential Services Personnel a) Extremely Low b) Very Low c) Low d) Moderate 3. After Special Needs Set-asides and after ESP applicants have been income certified a) Extremely Low b) Very Low c) Low d) Moderate J. Discrimination : In accordance with the provisions of ss.760.20-760.37, it is unlawful to discriminate on the basis of race, color, religion, sex, national origin, age, handicap, or marital status in the award application process for eligible housing. K. Support Services and Counseling: Support services are available from various sources. Available support services may include but are not limited to: Homeownership Counseling (Pre and Post), Credit Counseling, Tenant Counseling, and Foreclosure Counseling, through qualified HUD approved agencies. L. Purchase Price Limits: The sales price or value of new or existing eligible housing may not exceed 90% of the average area purchase price in the statistical area in which the eligible housing is located. Such average area purchase price may be that calculated for any 12-month period beginning not earlier than the fourth calendar year prior to the year in which the award occurs. The sales price of new and existing units, which can be lower but may not exceed 90% of the median area purchase price established by the U.S. Treasury Department or as described above. The methodology used is: U.S. Treasury Department X Local HFA Numbers According to the U.S. Treasury Department, the most recently published figures, the 90% median area purchase price threshold for Collier County as published by the U.S. Treasury Department and in the Goals Chart. M. Income Limits, Rent Limits and Affordability: The Income and Rent Limits used in the SHIP Program are updated annually by the Department of Housing and Urban Development and posted at: 1.A.2 Packet Pg. 25 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 6 - https://www.floridahousing.org/owners-and-managers/compliance/income-limits and https://www.floridahousing.org/owners-and-managers/compliance/rent-limits According to F.S., Section 420.9071: “Affordable” means that monthly rents or mortgage payments including taxes and insurance do not exceed 30 percent of that amount which represents the percentage of the median annual gross income for the households. However, it is not the intent to limit an individual household’s ability to devote more than 30% of its income for housing, and housing for which a household devotes more than 30% of its income shall be deemed Affordable if the first institutional mortgage lender is satisfied that the household can afford mortgage payments in excess of the 30% benchmark and in the case of rental housing does not exceed those rental limits adjusted for bedroom size. N. Welfare Transition Program: Should an eligible sponsor be used, a qualification system and selection criteria for applications for Awards to eligible sponsors shall be developed, which includes a description that demonstrates how eligible sponsors that employ personnel from the Welfare Transition Program will be given preference in the selection process. O. Monitoring and First Right of Refusal: In the case of rental housing, the staff and any entity that has administrative authority for implementing the local housing assistance plan assisting rental developments shall annually monitor and determine tenant eligibility or, to the extent another governmental entity provides periodic monitoring and determination, a municipality, county or local housing financing authority may rely on such monitoring and determination of tenant eligibility. However, any loan or grant in the original amount of $10,000 or less shall not be subject to these annual monitoring and determination of tenant eligibility requirements. Tenant eligibility will be monitored annually for no less than 15 years or the term of assistance whichever is longer unless as specified above. Eligible sponsors that offer rental housing for sale before 15 years or that have remaining mortgages funded under this program must give a first right of refusal to eligible nonprofit organizations for purchase at the current market value for continued occupancy by eligible persons. P. Administrative Budget: A line-item budget is attached as Exhibit A. The county finds that the moneys deposited in the local housing assistance trust fund are necessary to administer and implement the local housing assistance plan. Section 420.9075 Florida Statute and Chapter 67-37, Florida Administrative Code, states: “A county or an eligible municipality may not exceed the 5 percent limitation on administrative costs, unless its governing body finds, by resolution, that 5 percent of the local housing distribution plus 5 percent of program income is insufficient to adequately pay 1.A.2 Packet Pg. 26 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 7 - the necessary costs of administering the local housing assistance plan.” Section 420.9075 Florida Statute and Chapter 67-37, Florida Administrative Code, further states: “The cost of administering the program may not exceed 10 percent of the local housing distribution plus 5 percent of program income deposited into the trust fund, except that small counties, as defined in s. 120.52(19), and eligible municipalities receiving a local housing distribution of up to $350,000 may use up to 10 percent of program income for administrative costs.” The applicable local jurisdiction has adopted the above findings in the resolution attached as Exhibit E. Q. Program Administration: Administration of the local housing assistance plan will be performed by: Entity Duties Percentage Local Government Collier County, Florida 100% Third Party Entity Or Should a third-party entity or consultant be contracted for all or part of the administrative or other functions of the program, the County will provide in detail the duties, qualification and selection criteria as detailed in each strategy and allowed by statute. R. Project Delivery Costs: In addition to the administrative costs listed above, the county or sponsor/subrecipient may charge ten (10%) percent for project delivery cost to cover inspections and other eligible project delivery activities performed by the county or non-county employees. A sponsor/subrecipient may charge project delivery to cover the cost of assisting eligible homebuyers or tenants in the application process. The delivery cost will be included in the maximum award to the beneficiary. The County will require time sheets from sponsor/subrecipient to track employee hours to prevent duplication of payment. S. Essential Service Personnel Definition: Essential Service Personnel (ESP) involved in providing essential services in Collier County, as defined as follows: Those individuals employed in the community as teachers, educators, other school district employees, community college and university employees, police and fire personnel, health care personnel, skilled building trades personnel (as listed in the U.S. Department of Labor, general Decision No. FL 150012, dated 3/20/2015, for building construction in Collier County, Florida, as may be amended or superseded from time to time), and government employees, in compliance with section 420.9075(3) (a), Fla. Statute and Exhibit I: Essential Personnel Certification. Essential Services Personnel may apply to the Community and Human services Division for certification. 1.A.2 Packet Pg. 27 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 8 - T. Describe efforts to incorporate Green Building and Energy Saving products and processes: The County will, when economically feasible, employ the following Green Building requirements on rehabilitation and emergency repairs: 1. Low or No-VOC paint for all interior walls (Low-VOC means 50 grams per liter or less for flat paint; 150 grams per liter or less for non-flat paint); 2. Low-flow water fixtures in bathrooms – WaterSense labeled products or the following specifications: a. Toilets: 1.6 gallons/flush or less, b. Faucets: 1.5 gallons/minute or less, c. Showerheads:2.2 gallons/minute or less; 3. Energy Star qualified refrigerator; 4. Energy Star qualified dishwasher, if provided; 5. Energy Star qualified washing machine, if provided in units; 6. Energy Star qualified exhaust fans in all bathrooms; and 7. Air conditioning: Minimum SEER of 14. Packaged units are allowed in studios and one-bedroom units with a minimum of 11.7 EER. These requirements may be adjusted for rental developments if the requirement of other construction funding sources requires a more prescriptive list. Innovative design, green building principles, storm resistant construction or other elements that reduce long term costs relating to maintenance, utilities or insurance may be encouraged. Collier County Homeownership Education classes provide curriculum on cost cutting measures that homeowners can use to reduce energy consumption. Collier County also encourages the use or inclusion, when appropriate, of the following: energy star appliances; Low-E windows; additional insulation (for increased R-Value); ceramic tile; tank-less water heater; 14 and 15 SEER air conditioning units; stucco; florescent light bulbs; impact resistant windows and doors. U. Describe efforts to meet the 20% Special Needs set-aside: Collier County will utilize at least 20% of funding to assist persons meeting the state of Florida definition for special needs. Prioritization of funding will be for the rehabilitation of owner-occupied homes of persons with special needs. Outreach for clients will include marketing to a variety of agencies, including but not limited to, Agency for Persons with Disabilities, United Cerebral Palsy, etc. Additionally, advertisements in publications of general circulation may also be used. Should efforts to attract special needs clients under the rehabilitation strategy not produced the amount necessary to reach the set aside, persons meeting the definition of special needs may be assisted with other approved LHAP strategies and counted towards the set-aside. V. Describe efforts to reduce homelessness: Collier County supports Continuum of Care 1.A.2 Packet Pg. 28 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 9 - (CoC) to simplify and broaden outreach and assessment efforts for homeless persons in Collier County. Much of the outreach to homeless persons is conducted at community events such as the Point in Time Count. Additionally, outreach is conducted by the many caseworkers at community agencies, the Collier County Hunger and Homeless Coalition, schools, and other entities that encounter the homeless during other service delivery or during their regular course of business, Needs are assessed during these points of contact, and referrals are made as appropriate. The County’s local resources include the federal CDBG and the state SHIP funds. W. Verification of US Citizenship or Permanent Residency Status: All borrowers must submit proof of U.S. citizenship or US Permanent residency. X. Asset Cap or liquid Assets: All beneficiaries will be limited to a cash or liquid asset of $30,000.00 upon completion of their down payment and closing cost assistance, rehabilitation and other approved strategies. This asset cap applies to all SHIP strategies. However, the Board of County Commissioners will have the authority to suspend the asset cap/liquid assets in determining income qualifications during recovery from a declared disaster. Y. Primary Residence: Documentation used for verification of primary residence includes, but is not limited to: homestead exemption, utility bill(s), or driver’s license. 1.A.2 Packet Pg. 29 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 10 - Section II. LHAP Strategies: A. Owner Occupied Rehabilitation Code 3 1. Summary: SHIP funds will be awarded to households in need of repairs to correct code violations, health and safety issues, electrical, plumbing, roofing, windows and other structural items. The home must be suitable for rehabilitation and located within the incorporated or unincorporated areas of Collier County. Assistance may include costs related to all eligible repairs, inspections, work write-ups, recording fees and project delivery fees. 2. Fiscal Years Covered: 2019-2020, 2020-2021, 2021-2022 3. Income Categories to be served: Very low, low and moderate 4. Maximum award: $60,000 *Rehabilitation amount is $50,000. Additional cost including project delivery and inspection fees may exceed the $50,000 rehabilitation award amount and shall be recorded on a subordinate mortgage depending on cost of total project. In no case shall the maximum award exceed $60,000. 5. Terms: a. Repayment loan/grant: Funds will be awarded as a deferred payment loan secured by a recorded subordinate mortgage and promissory note. b. Interest Rate: 0% c. Years in loan term: 15 years d. Forgiveness/Repayment: Funds provided to an owner-occupied unit on land owned by the homeowner will be secured with a recorded fifteen (15) year, 0% interest, deferred subordinate mortgage on the property in the amount of the funds used in the project. The fifteen (15) years will begin once all final invoices are paid and deferred subordinate mortgage is signed by homeowner. If all conditions of the loan agreement are met, one-third of the loan will be forgiven in five-year increments so that at the end of the fifteenth year the loan is forgiven. Monthly payments are not required. For an owner-occupied mobile or manufactured home on land that is leased, a security instrument in compliance with Uniform Commercial Code (UCC), will be recorded to perfect a security interest in the unit. e. Default/Recapture: The loan will be determined to be in default if any of the following occurs during the Loan term: sale, transfer, or conveyance of property; conversion to rental property; or failure to occupy the home as primary residence. If any of these occur, the outstanding balance will be due and payable. Persons that qualify for SHIP assistance will be required to contractually agree to all SHIP program guidelines, County SHIP mortgage requirements, repayment provisions, 1.A.2 Packet Pg. 30 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 11 - and certify that the unit assisted will be their primary residence. Repayment of the loan is required in full when one of the following conditions is met, whichever occurs first: i. Sale: if proceeds are not enough to pay off the promissory note then the homeowner may contact the County regarding a settlement amount of the SHIP loan that is outlined in the County’s “Short Sale Policy”. ii. Title transfer: either voluntary or by operation of law, divested of title by judicial sale, levy or other proceedings, including foreclosure or Dee in Lieu. iii. Refinance: a refinance of the first mortgage may be approved without repayment if the request is submitted in writing and the refinance is at a lower fixed rate and/or term, with or without cash out in accordance with the “Subordination Policy”. iv. Home is no longer primary residence, abandoned, leased or rented. If all mortgage holders are deceased, the loan will be forgiven. The County reserves the right to foreclose if the homeowner does not repay the loan as noted above. The County has determined the following terms and provisions for program income versus recaptured funds: All funds are deposited into the Local Housing Trust Fund and reported as Program Income or Recaptured Funds in the State Fiscal Year they are received as appropriate for Annual Reporting purposes. If the home is foreclosed on by a superior mortgage holder, the county may make an effort to recapture funds through the legal process if is determined that adequate funds may be available to justify pursuing a repayment. 6. Recipient Selection Criteria: Applicants will be ranked for assistance based on first- qualified, first served basis with the priorities for Special Needs, Essential Services Personnel, income groups as described in Section 1. of this plan. An applicant may submit a completed application for SHIP Owner-Occupied Rehabilitation to the County/Sponsor/Subrecipient for determination of eligibility at any time. Applicants are required to provide all documentation requested for income, eligibility and qualification determination. Applicants will receive a pre-approval letter and their file will be submitted to the Sponsor/Subrecipient for unit eligibility. a. Must provide proof of homeowner’s insurance or attestation of no insurance b. If applicable, must file a claim for and use proceeds from insurance and/or FEMA as first option 1.A.2 Packet Pg. 31 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 12 - c. Must complete an FHC approved “disaster self-declaration of income” form, if applicable. Where the unit and land are owned by the same person, the unit assisted must be owner-occupied and, have applied for, or already be homesteaded as the primary residence. Owner-occupied manufactured home owners renting their lot may also apply for assistance. 7. Sponsor/Sub-recipient Selection Criteria: The County may issue a solicitation for Construction Management provided by Sponsor/Subrecipient services from non-profit or for-profit organizations. The County or Sponsor/Subrecipients may provide the application intake and certification of households applying for Owner Occupied Rehabilitation as well as facilitating the rehabilitation of the property. Organizations may submit the proposal as outlined in the solicitation and initially provide information including, but not limited to, application intake process, income certification, contractor and bid process or prior rehabilitation and/or income certification experience with references. Additional information will be obtained such as resumes, construction oversight, construction agreements, accounting and financial information for project tracking and payment, organization experience, audit reports, financial statements, and income documentation for evaluation of sponsor/subrecipient eligibility. 8. Additional Information: Manufactured homes will only be eligible for housing assistance if owner occupied, is affixed to the ground, the land is (a) owned and homesteaded by the occupant or (b) leased/rented by the homeowner, the unit must have been constructed after July 13, 1994, the repairs do not exceed 90% of the value of the existing property and residence; and any and all repairs are within existing codes for the property. For an owner-occupied mobile or manufactured home on land that is leased, a security instrument in compliance with Uniform Commercial Code (UCC), will be recorded to perfect a security interest in the unit. Homeowners may receive additional Rehabilitation funding provided they have no more than three open SHIP mortgages and have waited at least three years since the last Rehabilitation. Disaster related funding is exempt. 9. Relocation Expenses: A maximum of $10,000 for the cost of temporary relocation expenses is allowed under this strategy. Relocation expenses are considered a grant and are excluded from the maximum mortgage amount. 1.A.2 Packet Pg. 32 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 13 - B. Purchase Assistance Code 1, 2 1. Summary: SHIP funds will be awarded for down payment and closing costs to households in incorporated or unincorporated Collier County to purchase a newly constructed or an existing single-family home, manufactured home or condominium. A newly constructed home must have received a Certificate of Occupancy within the twelve months prior to purchase. An existing home with at least $2,500 in rehabilitation completed within the last twelve months or within 12 months after purchase may be considered to meet the construction set aside requirement as evidenced by documentation of the completed repairs. A manufactured home must be in place with all site requirements met and a valid certificate of occupancy. Funding, which is provided as a subordinate mortgage loan, may be used for down payment, closing costs and principle buy-down as needed for affordable home ownership. Prospective homebuyers must qualify as a First Time Homebuyer under the HUD definition: An individual who has had no ownership in a principle residence during the 3-year period ending on the date of purchase of the property. This includes a spouse (if either meets the above test, they are considered first-time home buyers). A single parent who has only owned with a former spouse while married. An individual who is a displaced homemaker and has only owned with a spouse. An individual who has only owned a principle residence not permanently affixed to a permanent foundation in accordance with applicable regulations. An individual who has only owned a property that was not in compliance with state, local or model building codes and which cannot be brought into compliance for less than the cost of constructing a permanent structure. SHIP funds may be used in conjunction with a first mortgage loan obtained from a participating lender, not-for-profit developer, Florida Housing Finance Corporation’s Bond Program or Rural Development. 2. Fiscal Years Covered: 2019-2020, 2020-2021, 2021-2022 3. Income Categories to be served: Extremely low, Very low, Low and Moderate 4. Maximum award: Extremely/Very Low: $50,000* Low: $30,000* Moderate: $20,000* *Additional $5,000 may be included for Essential Services Personnel. ** Additional $2,500 in reimbursement may be available for rehabilitation activities as referenced above. 1.A.2 Packet Pg. 33 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 14 - 5. Terms: a. Repayment loan/grant: Funds will be awarded as a deferred payment loan secured by a recorded subordinate mortgage and promissory note. b. Interest Rate: 0% c. Years in loan term: 15 years d. Forgiveness/Repayment: Funds are secured with a recorded fifteen (15) year, 0% interest, and deferred payment subordinate mortgage loan and note forgiven at the end of the 15-year period if all conditions have been met. The county will take a third position if FHFC funds are used in addition to SHIP or at the discretion of the Division Director. Monthly payments are not required. In year six one-third of the outstanding loan amount will be forgive and an addition one-third will be forgiven every five years with the loan forgiven entirely at the end of the 15-year term, if all conditions have been met. e. Default/Recapture: The loan may be determined to be in default if any of the following occurs: sale, transfer, or conveyance of property; conversion to a rental property; or failure to occupy the home as primary residence. If any of these occur, the outstanding balance will be due and payable. Repayment of the loan is required in full when one of the following conditions is met, whichever occurs first: i. Sale; if proceeds are not enough to pay off the mortgage note then the homeowner may contact the County Regarding a settlement amount of the SHIP loan. ii. Title transfer, either voluntary or by operation of law, divested of title by judicial sale, levy or other proceedings, including foreclosure or Deed in Lieu. iii. Refinance: may be allowed in accordance with the published “Subordination Policy”. iv. Home is no longer primary residence or is leased or rented. If all mortgage holders are deceased, the loan will be forgiven. The County reserves the right to foreclose if the homeowner does not repay the loan as noted above. The County has determined the following terms and provisions for program income versus recaptured funds: All funds are deposited into the Local Housing Trust Fund and reported as Program Income or Recaptured Funds in the State Fiscal Year they are received as appropriate for Annual Reporting purposes. 1.A.2 Packet Pg. 34 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 15 - If the home is foreclosed on by a superior mortgage holder, the County may try to recapture funds through the legal process if it is determined that adequate funds may be available to justify pursuing a recapture. 6. Recipient Selection Criteria: Applicants will be ranked for assistance based on first- qualified, first-served basis with the priorities for Special Needs, Essential Services Personnel, income groups as described in section 1. of this plan. An applicant may submit a completed application for Housing assistance to the County for a determination of eligibility at any time. Applicants are required to provide all documentation requested for income, eligibility, and qualification determination. Funds will be reserved and awarded to applicants that have met all the County requirements, are SHIP Income Certified, and have a mortgage loan pre-approval from a participating Lender prior to applying. Applicants must attend a HUD approved Homebuyer Education Program and provide a copy of the certificate to the Division prior to closing on a home. The certificate must be dated within one year of income certification date. 7. Sponsor/Sub-recipient Selection Criteria: The County may issue a Request for Proposals/Application for Purchase Assistance Project Management from non-profit/for profit organizations. Organizations may choose to provide the application intake and income certification of households applying for Purchase assistance. Organizations must respond to the Invitation to Negotiate, as outlined in the solicitation and initially provide information including, but not limited to, application intake process, income certification process, prior Purchase Assistance and/or income certification experience with references. Additional information to be obtained will include resumes, project management oversight, prior agreements, accounting and financial information for project tracking and payment, organization experience, audit reports, financial statement, for evaluation of sponsor/subrecipient eligibility. Non-profit/for profit housing subrecipient/sponsor will be evaluated using established evaluation and selection criteria detailed below: CHS staff will review each application submitted. In the initial phase staff will review the application for general conformance with the submission requirements. The final phase will consist of an in-depth review of the following: • Compliance with SHIP regulations • Project risk analysis 1.A.2 Packet Pg. 35 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 16 - • Financial risk analysis • Capacity and experience • Project feasibility • Adherence to SHIP eligibilities/requirements • Past performance evaluation 8. Additional Information: Applicants must secure a first mortgage by a licensed mortgage lender. Units assisted must be within the incorporated or unincorporated area of Collier County. Eligible housing for the County currently. a. Manufactured homes built after July 13, 1994 are a category of eligible housing for the County currently. b. Completion of the Homebuyer Education Program is mandatory prior to closing. c. First mortgage must be at a fixed rate; no ARM’s, prepayment penalty, negative amortizations, balloon loan, owner financing or other non-affordable loan terms are allowed. d. Financial Institutions must execute a Memorandum of Understanding (MOU) with the County to participate in the SHIP program. 1.A.2 Packet Pg. 36 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 17 - C. Disaster Mitigation Code 5 1. Summary: The Disaster Strategy provides cost reimbursement assistance to owner- occupied households (single family, multi-family and mobile/manufactured homes) in incorporated or unincorporated Collier County following a disaster as declared by the President of the United States or Governor of the State of Florida. This strategy will only be implemented in the event of a disaster using any funds that have not yet been encumbered or additional disaster funds issued by Florida Housing Finance Corporation. Also, this may be awarded along with Owner-Occupied Rehabilitation Programs and any other LHAP strategy that is deemed necessary. SHIP disaster funds are intended for work already completed and paid. SHIP disaster funds may be used for items such as, but not limited to: • Tree and debris removal to make individual housing units habitable; • Interim repairs to avoid further damage to a home; • Emergency supplies to weather proof damaged home; • Building permits; • Post disaster assistance with non-insured repairs; • Insurance deductibles; • Expenses to prevent flooding of home such as sand bags, sand, pump, rental, etc.; and • Construction of wells or repairs of existing wells where public water is not available; • Immediate threats to health and safety (sewage, damaged windows, roofing) in cases where the home is still habitable. • Imminent residual damage to the home (such as damage caused by a leaking roof) in cases where the home is still habitable. • Repairs necessary to make the home habitable. • Repairs to mitigate dangerous situations (exposed wires) 2. Fiscal Years Covered: 2019-2020, 2020-2021, 2021-2022 3. Income Categories to be served: Extremely low/Very low, low and moderate 4. Maximum award: $15,000. The maximum award for other strategies used in conjunction with this strategy will be determined by the other strategy and may be in addition to the maximum award for this strategy. 5. Terms: a. Grant: Funds will be awarded as a grant with no recapture terms. The terms of an award under the other strategies, if used in conjunction, will apply to the other strategies. b. Interest Rate: 0% c. Years in loan term: N/A 1.A.2 Packet Pg. 37 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 18 - d. Forgiveness/Repayment: N/A If awarded funds under another strategy to be used in conjunction with the disaster strategy, those repayment terms will apply to the other strategy. e. Default/Recapture: All SHIP funds provided under this strategy to eligible households will be in the form of a grant and not subject to recapture. Persons that qualify for SHIP assistance will be required to sign a disaster assistance grant agreement, contractually agreeing to all SHIP program guidelines. 6. Recipient Selection Criteria: Applicants will be assisted on a first-qualified, first- served basis with the following additional requirements: a. Must provide proof of homeowner’s insurance or attestation of no insurance b. If applicable, must file a claim for and use proceeds from insurance and/or FEMA as first option c. Must complete an FHC approved “disaster self-declaration of income” form, if applicable. Where the unit and land are owned by the same person, the unit assisted must be owner-occupied and, have applied for, or already be homesteaded as the primary residence. Owner-occupied manufactured home owners renting their lot may also apply for assistance. 7. Sponsor/Subrecipient Selection Criteria: The County may issue a Request for Proposals/Application for Disaster Assistance Project Management from non- profit/for profit organizations. Organizations may provide the Application intake and income certification of households applying for Disaster Assistance. Organizations must submit the applications/proposal as outlined in the RFP/Application. Additional information to be obtained may include resumes, project management oversight, prior agreements, accounting and financial information for project tracking and payment, organization experience, audit reports, financial statements, for evaluation of sponsor/subrecipient eligibility. Non-profit/for profit housing subrecipient/sponsor or Disaster Assistance Project Management organizations will be evaluated using established selection criteria described below: CHS staff will evaluate each application submitted. In the initial phase staff will review the application for general conformance with submission requirements. The final phase will consist of an in-depth review of the following: • Compliance with SHIP regulations • Project risk analysis 1.A.2 Packet Pg. 38 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 19 - • Financial risk analysis • Capacity and experience • Project feasibility • Adherence to SHIP eligibilities/requirements • Past performance evaluation 8. Additional Information: Funds for disaster mitigation will only be allocated from unencumbered funds or additional funds awarded through Florida Housing Finance Corporation for the disaster. Also, this may be awarded along with the owner-occupied rehabilitation programs and any other strategy that is deemed necessary. SHIP funds always must be used for eligible applicants and eligible housing. Homeowners are required to submit proper invoices and receipts to receive reimbursement for incurred expenses because of the declared disaster, proof of insurance deductible and proof of FEMA funds, as appropriate. Homeowners will need to provide documentation to demonstrate a relationship to the declared disaster. The County reserves the right to inspect for compliance prior to reimbursement. SHIP disaster funds may not be used for manufactured homes beyond the allowable 20% unless authorized by Florida Housing Finance Corporation. 9. Relocation Expenses: A maximum of $10,000 for the cost of temporary relocation expenses is allowed under this strategy. Relocation expenses are considered a grant and are excluded from the maximum mortgage amounts. 10. SHIP disaster funds may be used for manufactured homes built after July 13, 1994. 1.A.2 Packet Pg. 39 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 20 - D. Rental Development Code 14, 21 1. Summary: Funds will be awarded to developers of affordable rental units for construction financing through other state or federal housing programs to construct affordable rental units in incorporated or unincorporated Collier County. This funding is intended to be used as gap financing required for the project. In cases where a smaller development (less than 50 units) is being proposed that includes Special Needs units, the County may choose to provide a larger amount of the overall construction financing. 2. Fiscal Years Covered: 2019-2020, 2020-2021, 2021-2022 3. Income Categories to be served: Extremely low/Very low, low and moderate 4. Maximum award: $100,000 per development under 50 units $150,000 per development with 50 units or less, that includes at least 20% Special Needs units. $200,000 per development with over 50 units 5. Terms: a. Repayment loan/grant: For-profit developers, funds will be awarded as a loan secured by a recorded subordinate mortgage and note. For non-profit developers, funds will be awarded as a forgivable loan secured by a recorded subordinate mortgage and note. b. Interest Rate: 0% c. Years in loan term: 20 years d. Forgiveness/Repayment: i. For For-profits, the loan is due and payable at the end of the term unless the County negotiates an extended loan term to secure affordable rental units in the best interest of the County’s residents. ii. For Non-profits, the loan is forgiven on a prorated basis beginning in year six (6) of the fifteen (15) year term so that 10% of the loan is forgiven annually from years six through fifteen. e. Default/Recapture: For all awards, a default will be determined as: sale, transfer, or conveyance of property; conversion to another use; failure to maintain standards for compliance as required by any of the funding sources. If any of these occur, the outstanding balance will be due and payable. Repayment of the loan is required in full when one of the following conditions is met, whichever occurs first: i. Sale; if proceeds are not enough to pay off the mortgage note then the property owner (not-for-profit or for profit) may contact the county regarding a settlement amount of the SHIP loan. ii. Title transfer, either voluntary or by operation of law, divested of title by judicial sale, levy or other proceedings, including foreclosure or Deed in Lieu. iii. Refinance; a refinance of the first mortgage may be approved without 1.A.2 Packet Pg. 40 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 21 - repayment if the request is submitted in writing and the refinance is at a lower fixed rate with no cash out in accordance with the “Subordination Policy”. iv. Property will no longer serve the intended target population. Repaid funds are considered program income, a portion of which may be used for program administration. f. Resale and First Right of Refusal for affordable Housing will be given to Eligible Sponsors/Subrecipients as noted in Section 420.9075(4)(f) Florida Statutes. 6. Recipient Selection Criteria: All applicants for residence in a SHIP-assisted unit must meet income qualifications of the program as determined and reported by the developer’s management company for the development. 7. Sponsor/Sub-recipient Selection Criteria: Developers will apply to the County through an application or RFP process. The application/RFP will require proof of developer experience in providing affordable rental housing, proof of financial capacity, evidence of site control (or contract for sale), proof of ability to proceed once all funding is closed, and a housing unit design plan that meets with the County’s housing element in the Comprehensive Plan. The County reserves the right to select developments that have met all the above requirements and: a. Are in areas of immediate need due to lack of available units. b. Propose to preserve and improve existing units. All funding awards will be subject to closing on other funding sources. 8. Additional Information: a. Developers will be required to meet compliance reporting requirements on the development necessary to meet the statutory requirements for monitoring of SHIP rental units. b. The County will provide up to $50,000 of match contribution if developer applies and subsequently is approved through the Florida Housing Finance Corporation for low- income housing tax credits. If awarded shall not exceed the maximum award amount. 1.A.2 Packet Pg. 41 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 22 - E. Rental Rehabilitation Code 14 1. Summary: The program is designed to rehabilitate rental units in Collier County. The rental units will serve extremely low, very-low, low and moderate-income households with preference for applicants with special housing needs as defined in s.420.0004, Florida Statutes. Loans will be given to non-profit/for profit housing landlords/owners who have site control and ownership of the properties to rehabilitate existing single family, multifamily, or mobile/manufactured rental units on scattered sites or a rental complex located in incorporated or unincorporated Collier County. Assistance may be provided for large projects involving the repair of multiple rental units. Individual tenants seeking repairs on their individual rental units may not directly apply for assistance from this strategy. The SHIP funds used in the rehabilitation rental program may be leveraged by public and private sources. 2. Fiscal Years Covered: 2019-2020, 2020-2021, 2021-2022 3. Income Categories to be served: Extremely low, Very low, low and moderate 4. Maximum award: Maximum rehabilitation loan to non-profit/for profit housing provider subrecipient/sponsors or landlords/owners shall not exceed $500,000 per property. Maximum per unit award amount is $30,000. 5. Terms: Repayment loan/deferred loan/grant: Funds will be made available by loans secured by a subordinate mortgage placed on the property rehabilitated. a. Interest Rate: 0% b. Years in loan term: 15 years c. Forgiveness/Repayment: Repayment of the loan is required in full under the following conditions: i. Sale, if proceeds are not enough to pay off the mortgage note then the property owner (not-for-profit or for profit or landlord) may contact the county regarding a settlement amount of the SHIP loan. ii. Title transfer, either voluntary or by operation of law, divested of title by judicial sale, levy or other proceedings, including foreclosure or Deed in Lieu. iii. Refinance, a refinance of the first mortgage may be approved without repayment if the request is submitted in writing and the refinance is at a lower fixed rate and/or term with no cash out. iv. Property will no longer serve the intended target population. 1.A.2 Packet Pg. 42 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 23 - d. Default/Recapture: Repaid funds are considered program income, a portion of which may be used for program administration. Units will be monitored for a period of twenty (20) years per Rule Chapter 67-37 of the Administrative Code. Resale and First Right of Refusal for affordable Housing will be given to Eligible Sponsors/Subrecipients as noted in Section 420.9075(4)(f) Florida Statutes. e. Resale and First Right of Refusal for affordable Housing will be given to Eligible Sponsors/Subrecipients as noted in Section 420.9075(4)(f) Florida Statutes. 6. Recipient Selection Criteria: Non-profit/for profit providers or land lords will be required to income qualify all tenants in accordance with SHIP regulations. Priority for projects will be given to those who serve Special Needs as defined by s.420.0004, Florida Statutes. 7. Sponsor/Sub-recipient Selection Criteria: Non-profit/for profit housing subrecipient/sponsors or landlords will be evaluated using established evaluation and selection criteria. CHS staff will evaluate each application submitted. In the initial phase staff will review the application for general conformance with the submission requirements. The evaluation phase will consist of an in-depth review of the following: • Compliance with SHIP regulations • Project risk analysis • Financial risk analysis • Capacity and experience • Project feasibility • Adherence to SHIP eligibilities/requirements • Past performance evaluation 8. Additional Information: Once the improvements are completed, the sponsor/subrecipient/landlord shall ensure all eligible tenants will be income qualified that must occupy the units on subject property during the fifteen (15) year loan term. 9. Relocation Expenses: A maximum of $10,000 for the cost of temporary relocation expenses is allowed under this strategy. Relocation expenses are considered a grant and are excluded from the maximum mortgage amount. 1.A.2 Packet Pg. 43 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 24 - F. Rental Acquisition Code 20 1. Summary: The program is designed to acquire rental units within Collier County. The rental units will serve extremely low, very-low, low and moderate-income households with preference for applicants with special needs as defined in s.420.0004, Florida Statutes. Loans will be given to non-profit/for profit housing subrecipient/sponsors. 2. Fiscal Years Covered: 2019-2020, 2020-2021, 2021-2022 3. Income Categories to be served: Extremely low, Very low, low and moderate 4. Maximum award: Maximum acquisition loan to non-profit/for profit provider shall not exceed $300,000 per rental property. 5. Terms Repayment loan/deferred loan/grant: Funds will be made available by loans secured by a subordinate mortgage placed on the property rehabilitated. a. Interest Rate: 0% b. Years in loan term: 20 years c. Repayment: Repayment of the loan is required in full under the following conditions: i. Sale; if proceeds are not enough to pay off the promissory note then the property owner (non-profit or for-profit) may contact the County regarding a settlement amount of the SHIP loan. ii. Title transfer, either voluntarily or by operation of law, divested of title by judicial sale, levy or other proceedings, including foreclosure or Deed in Lieu. iii. Refinance; a refinance of the first mortgage may be approved without repayment if the request is submitted in writing and the refinance is at a lower fixed rate and/or term, with no cash out. iv. Property will no longer serve the intended target population. d. Forgiveness: If all conditions met forgiven after 20 years. e. Default/Recapture: Repaid funds are considered program income, a portion of which may be used for program administration. 6. Recipient Selection Criteria: Non-profit/for profit providers will be required to income qualify, first qualified, first served, all tenants in accordance with SHIP regulations. 7. Sponsor/Sub-recipient Selection Criteria: Non-profit/for profit housing sponsors/subrecipients will be evaluated using established evaluation and selection criteria. 1.A.2 Packet Pg. 44 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 25 - CHS staff will evaluate each application submitted. In the initial phase staff will review the application for general conformance with the submission requirements. The evaluation phase will consist of an in-depth review of the following: • Compliance with SHIP regulations • Project risk analysis • Financial risk analysis • Capacity and experience • Project feasibility • Adherence to SHIP eligibilities/requirements • Past performance evaluation 8. Additional Information: Once the improvements are completed, the sponsor/subrecipient/landlord shall ensure all eligible tenants will be income qualified on an annual basis must occupy the units on subject property during the fifteen-year loan term. 1.A.2 Packet Pg. 45 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 26 - G. New Construction Assistance Code 10 1. Summary: SHIP funds may be provided to non-profit or for-profit organizations to be used for the infrastructure and development costs and all associated fees and permits for residential resale of single-family housing for resale to eligible home buyers in incorporated or unincorporated Collier County. These funds are to be used as a construction subsidy to developers/subrecipient/sponsors. The units may be constructed on infill lots or as a part of a larger development. 2. Fiscal Years Covered: 2019-2020, 2020-2021, 2021-2022 3. Income Categories to be served: Extremely low, Very low, low and moderate 4. Maximum award: $50,000/unit 5. Terms for the Sponsor/Subrecipient: a. Repayment loan/deferred loan/grant for the Sponsor/Subrecipient: The county will require the sponsor/subrecipient to execute a promissory note and mortgage when the property associated with construction has been identified. This will have language in it that releases the sponsor/subrecipient when the resale occurs to the income eligible homebuyer. The County will require the eligible homebuyer to execute a promissory note and mortgage in favor of the County at the time of closing. The construction subsidy must be reflected on the contract for sale of the constructed home. b. Interest Rate: 0% c. Years in loan term for Sponsor/Subrecipient: for no more than 3 years, and then when unit is sold it is a 15-year term for the buyer/borrower. 6. Forgiveness: If the property has not been successfully sold to an income qualified buyer within 3 years of the date the mortgage and promissory note are entered, the entire amount is due and payable to the County. 7. Terms – Eligible Homebuyer: a. Repayment loan/deferred loan/grant: Loan the County will require the sponsor/subrecipient to transfer the promissory note and mortgage to the eligible home buyer in favor of the County at the time of resale to an income eligible homebuyer. The construction subsidy must be reflected on the contract for the sale of the constructed home. b. Interest Rate: 0% c. Years in loan term: 15 years d. Repayment or Refinance: Refinance; a refinance of the first mortgage may be approved without repayment if the request is submitted in 1.A.2 Packet Pg. 46 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 27 - writing and the refinance is at a lower fixed rate and/or term, with or without cash out in accordance with the “Subordination Policy”. 8. Forgiveness: In cases where the qualifying homeowner(s) die(s) during the loan term, the loan will be forgiven. 9. Default: a. For homeowners- The loan may be determined to be in default if any of the following occurs: sale, transfer, or conveyance of property; conversion to a rental property; or failure to occupy the home as primary residence. If any of these occur, the outstanding balance will be due and payable. Repayment of the loan is required in full when one of the following conditions is met, whichever occurs first: i. Sale; if proceeds are not enough to pay off the mortgage note then the homeowner may contact the County regarding a settlement amount of the SHIP loan ii. Title transfer, either voluntary or by operation of law, divested of title by judicial sale, levy or other proceedings, including foreclosure or Deed in Lieu. iii. Home is no longer primary residence or is leased or rented. In cases where the qualifying homeowner(s) die(s) during the loan term, the loan will be forgiven. iv. If the home is foreclosed on by a superior mortgage holder, the county may try to recapture funds through the legal process if it is determined that adequate funds may be available to justify pursuing a recapture. v. The county reserves the right to foreclose if the homeowner does not repay the loan as noted above. vi. The County has determined the following terms and provisions for program income versus recaptured funds: All funds are deposited into the Local Housing Trust Fund and reported as Program Income or Recaptured Funds in the State Fiscal Year they are received as appropriate for the Annual Reporting purposes. b. For sponsors/subrecipients- In the event the property is not sold to an income eligible homebuyer, the funds will become due and payable to the County. 10. Recipient Selection Criteria: a. Home Buyer Criteria- Sponsor/Subrecipient shall identify applicants and provide the Application intake and income certification of households applying for Construction Assistance, as specified in their agreement with the County. 1.A.2 Packet Pg. 47 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 28 - Applicants will be ranked for assistance based on a first-qualified, first- served basis with the priorities for Special Needs, Essential Service Personnel and income group as described in Section I. An applicant may submit a complete application for the Construction Subsidy Assistance to the sponsor/subrecipient for a determination of eligibility at any time. Applicants are required to provide all documentation requested for income, eligibility, and qualification determination. Funds will be committed for and awarded to applicants that have met all the SHIP requirements, are SHIP Income Certified, and have a mortgage loan approval from a participating Lender prior to applying. Applicants must attend a HUD approved Homebuyer Education Program and provide a copy of the certification to the Sponsor/Subrecipient prior to closing on a property. The certificate must be dated prior to the SHIP application date and is good for 12 months. b. Sponsor/Subrecipient Selection Criteria – The County will issue notice of an ongoing Application for Construction Assistance from non- profit/for profit organizations. Sponsor/Subrecipient organizations must apply and provide any related information, specified by the SHIP Administrator, to be used for evaluation of sponsor/subrecipient eligibility. CHS staff will evaluate each application submitted. In the initial phase, staff will review the application for general conformance with the submission requirements. The evaluation phase will consist of an in- depth review of the following: • Compliance with SHIP regulations • Project risk analysis • Financial risk analysis • Capacity and experience • Project feasibility • Adherence to SHIP eligibilities/requirements • Past performance evaluation 1.A.2 Packet Pg. 48 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 29 - H. Demolition and Replacement of Site Built or Manufactured Homes Code 4 1. Summary: SHIP funds will be awarded to owner occupied manufactured homeowners in need of demolition and replacement of housing. The County may use SHIP funds for demolition and replacement of manufactured Housing. This strategy will be used in lieu of rehabilitation when the home is deteriorated to the extent that repair is unfeasible due to unreasonable costs or extensive structural issues, as determined by the County. The goal is to prevent the imminent displacement of homeowner’s due to distressed conditions, encourage revitalization and increase the supply of safe, decent and sanitary housing. The home site must be suitable for demolition/replacement and located within the incorporated or unincorporated areas of Collier County. Loans for assistance may include costs related to all eligible demolition activities, removal, permits, transportation, inspections by the sponsor/subrecipient, work write-ups, sales tax, and recording fees. Additional SHIP funds can be used to bring building site and improvements up to FEMA requirements, Collier County codes, State regulations, Homeowner’s Association by-laws, and/or to adequately replace the amenities of the existing home. These additional site improvements may include, but are not limited to geotechnical surveys, engineering, concrete pilings/piers, septic system improvements, fill, driveways, storage sheds and any other requirements as noted above. 2. Fiscal Years Covered: 2019-2020, 2020-2021, 2021-2022 3. Income Categories to be served: Extremely low, Very low, low and moderate 4. Maximum award: Maximum loan to non-profit/for profit housing provider subrecipient/sponsors or landlords/owners shall not exceed $150,000 per property. Maximum per manufactured unit award amount is $75,000, and up to a maximum of $75,000 for additional required site improvements as specified by FEMA requirements, Collier County codes, State regulations, Homeowner’s Association by-laws and/or to adequately replace the amenities of the existing home. The additional cost associated with project delivery, if applicable, and inspections by the County’s independent third- party inspector pre- and post will be included in the total award. 5. Terms: a. Repayment loan/deferred loan: Funds will be made available by loans secured by a subordinate mortgage placed on the property rehabilitated. b. Interest Rate: 0% c. Years in loan term: 15 years. d. Forgiveness/Repayment: Repayment of the loan is required in 1.A.2 Packet Pg. 49 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 30 - full under the following conditions: i. Sale, if proceeds are not enough to pay off the mortgage note then the property owner (not-for-profit or for profit or landlord) may contact the county regarding a settlement amount of the SHIP loan. ii. Title transfer, either voluntary or by operation of law, divested of title by judicial sale, levy or other proceedings, including foreclosure or Deed in Lieu. iii. Refinance, a refinance of the first mortgage may be approved without repayment if the request is submitted in writing and the refinance is at a lower fixed rate and/or term with no cash out. iv. Property will no longer serve the intended target population. v. In cases where the qualifying homeowner(s) die(s) during the loan term, the loan will be forgiven. e. Default/Recapture: Repaid funds are considered program income, a portion of which may be used for program administration. Units will be monitored for a period of fifteen (15) years. 6. Recipient Selection Criteria: Applicants will be ranked for assistance based on a first- qualified, first-served basis with the priorities for Special Needs, Essential Services Personnel, income groups as described in Section1. of this plan. An applicant may submit a completed application for Housing assistance to the County for a determination of eligibility at any time. Applicants are required to provide all documentation requested for income, eligibility, and qualification determination. Funds will be reserved and awarded to applicants that have met all the County requirements and are SHIP Income Certified. The existing home must be damaged or in disrepair to the extent that the home is condemned, or repair is not economically feasible as determined by FEMA, Collier County Growth Department, the Department of Health or the County’s third-party inspector/general contractor. a. Must provide proof of homeowner’s insurance or attestation of no insurance b. If applicable, must file a claim for and use proceeds from insurance and/or FEMA as first option c. Must complete an FHC approved “disaster self-declaration of income” form, if applicable. 1.A.2 Packet Pg. 50 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 31 - Where the unit and land are owned by the same person, the unit assisted must be owner-occupied and, have applied for, or already be homesteaded as the primary residence. Owner-occupied manufactured home owners renting their lot may also apply for assistance. 7. Sponsor/Sub-recipient Selection Criteria: Non-profit/for profit housing subrecipient/sponsors will be evaluated using established evaluation and selection criteria. CHS staff will evaluate each application submitted. In the initial phase staff will review the application for general conformance with the submission requirements. The evaluation phase will consist of an in-depth review of the following: • Compliance with SHIP regulations • Project risk analysis • Financial risk analysis • Capacity and experience • Project feasibility • Adherence to SHIP eligibilities/requirements • Past performance evaluation 8. Relocation Expenses: A maximum of $10,000 for the cost of temporary relocation expenses is allowed under this strategy. Relocation expenses are considered a grant and are excluded from the maximum mortgage amount. 1.A.2 Packet Pg. 51 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 32 - I. Land Acquisition 1. Summary: The land acquisition program is designed to facilitate the acquisition of vacant land which will be developed for affordable housing opportunities by offering loans to non-profit or for-profit housing providers to acquire such land. Any land acquired with SHIP funds must be placed into a Collier County approved land trust. 2. Fiscal Years Covers: 2019-2020, 2020-2021, 2021-2022 3. Income categories to be served: Extremely low/Very low, low and moderate and be selected on a first qualified, first served basis. 4. Maximum award: Shall not exceed $50,000 per unit. 5. Land acquisition program funds will be made available by loans secured by a 20-year, 0% interest, and deferred payment subordinate mortgage loan and note forgiven at the end of the 20-year period if all conditions have been met. Monthly payments are not required. The county will take third position if FHFC funds are used in addition to SHIP or at the discretion of the Division director. Repaid funds are considered program income, a portion of which may be used for program administration. 6. Recipient Selection Criteria: A housing provider wishing to receive land acquisition may use in conjunction with other eligible SHIP strategies and will be evaluated competitively on the following criteria: • Financial strength of the agency • The ability of the developer to complete the development within the established timelines • The capacity of the developer • The affordability of the product produced • Neighborhood compatibility of the development • Number of units produced per SHIP dollar spent • Leveraging of SHIP funds with other sources • Preference will be given to organizations participating in the Wages to Work program. 7. Additional Information: The SHIP funds used in the land acquisition program may be leveraged by several public and private sources. The agencies receiving these loans will be constructing housing units on the land acquired with funding secured elsewhere in the public and private sector. 1.A.2 Packet Pg. 52 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 33 - III. LHAP Incentive Strategies In addition to the required Incentive Strategy A and Strategy B, include all adopted incentives with the policies and procedures used for implementation as provided in Section 420.9076, F.S.: A. Expedited Permitting Permits as defined in s. 163.3177 (6) (f) (3) for affordable housing projects are expedited to a greater degree than other projects. Provide a description of the procedures used to implement this strategy: The Collier County Board of County Commissioners approved an AHAC recommended Incentive Strategy to expedite the development review process for qualified affordable workforce housing. Initially, a qualification meeting is called with the developer and staff to determine if the project meets the affordable housing requirements. Those projects that demonstrate compliance are issued a certificate to allow the expedited review process for all development orders. Planning and Zoning will provide expedited status by assisting these developments first throughout the process from application through Certificate of Occupancy. B. Ongoing Review Process An ongoing process for review of local policies, ordinances, regulations and plan provisions that increase the cost of housing prior to their adoption. Provide a description of the procedures used to implement this strategy: Collier County requires all items which have the potential to increase the cost of housing to be prepared and presented to the Collier County Board of County Commissioners with the amount of the increase or decrease mentioned in the executive summary. The executive summary must be prepared in official format and include a description of the Growth Management Impact and the Fiscal Impact to the County. The process, by which items are prepared for the BCC Agenda includes a vast approval hierarchy to ensure that all proposed actions impacting affordable housing are reviewed on an ongoing basis. Furthermore, the Collier County Affordable Housing Advisory Committee (AHAC) regularly forms subcommittees to review impediments to affordable housing, as well as new affordable housing incentives. C. Other Incentive Strategies Adopted: 1. Increased Density for Affordable Housing – Collier County allows developers to request increased density when including a certain percentage of affordable housing in the proposed development. An Affordable Housing Density Bonus Agreement must be submitted and approved by the Collier County Board of County Commissioners as provided for in the Collier County 1.A.2 Packet Pg. 53 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 34 - Land Development Code, § 2.06.00. 2. Inventory of Locally Owned Public Lands Suitable for Affordable Housing. Collier County prepares an inventory of all real property owned by Collier County that may be appropriate for use as affordable housing in accordance with Sec. 125.379 F.S. every three years. The Collier County Board of County Commissioners approved an AHAC recommended Incentive Strategy to permit properties identified as appropriate for use as affordable housing to be offered for sale and the proceeds used to purchase land for the development of affordable housing or to increase the local government fund earmarked for affordable housing, or may be sold with a restriction that requires the development of the property as permanent affordable housing, or may be donated to a nonprofit housing organization for the construction of permanent affordable housing. 1.A.2 Packet Pg. 54 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 35 - IV. EXHIBITS: A. Administrative Budget for each fiscal year covered in the Plan. B. Timeline for Estimated Encumbrance and Expenditure. C. Housing Delivery Goals Chart (HDGC) For Each Fiscal Year Covered in the plan. D. Signed LHAP Certification. E. Signed, dated, witnessed or attested adopting resolution. F. Ordinance: (If changed from the original creating ordinance). G. Interlocal Agreement. H. Other Documents Incorporated by Reference. I. Short Sale Policy J. Essential Personnel Certification K. Subordination Policy 1.A.2 Packet Pg. 55 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 36 - EXHIBIT A. (Collier County) Fiscal Year: 2019-2020 Estimated SHIP Funds for Fiscal Year: $ 2,255,560.00 Salaries and Benefits $ 204,353.74 Office Supplies and Equipment $ 6,541.12 Travel Per diem Workshops, etc. $ 3,834.45 Advertising $ 225.56 Other* $ 10,601.13 Total $ 225,556.00 Admin % 10.00% OK Fiscal Year 2020-2021 Estimated SHIP Funds for Fiscal Year: $ 2,255,560.00 Salaries and Benefits $ 204,353.74 Office Supplies and Equipment $ 6,541.12 Travel Per diem Workshops, etc. $ 3,834.45 Advertising $ 225.56 Other* $ 10,601.13 Total $ 225,556.00 Admin % 10.00% OK Fiscal Year 2021-2022 Estimated SHIP Funds for Fiscal Year: $ 2,255,560.00 Salaries and Benefits $ 204,353.74 Office Supplies and Equipment $ 6,541.12 Travel Per diem Workshops, etc. $ 3,834.45 Advertising $ 225.56 Other* $ 10,601.13 Total $ 225,556.00 Admin % 10.00% 1.A.2 Packet Pg. 56 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 37 - OK *All "other" items need to be detailed here and are subject to review and approval by the SHIP review committee. Project Delivery Costs that are outside of administrative costs are not to be included here but must be detailed in the LHAP main document. Details: for each year Other expenses totaling $10,601.13 consist of $822.52 Credit Reports, $994.48 Assessment, $6,964.36 Third Party Inspection, $257.48 Postage $1,378.52 Recording Fees and $183.77 Dues & Membership 1.A.2 Packet Pg. 57 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 38 - EXHIBIT B. Timeline for SHIP Expenditures Collier County_____________________________ affirms that funds allocated for these fiscal years will (local government) meet the following deadlines: Fiscal Year Encumbered Expended 1st Year AR 2nd Year AR Closeout AR 2019-2020 6/30/2021 6/30/2022 9/15/2020 9/15/2021 9/15/2022 2020-2021 6/30/2022 6/30/2023 9/15/2021 9/15/2022 9/15/2023 2021-2022 6/30/2023 6/30/2024 9/15/2022 9/15/2023 9/15/2024 If funds allocated for these fiscal years is not anticipated to meet any of the deadlines in the table above, Florida Housing Finance Corporation will be notified according to the following chart: Fiscal Year Funds Not Encumbered Funds Not Expended 1st Year AR Not Submitted 2nd Year AR Not Submitted Closeout AR Not Submitted 2019-2020 3/30/2021 3/30/2022 6/15/2020 6/15/2021 6/15/2022 2020-2021 3/30/2022 3/30/2023 6/15/2021 6/15/2022 6/15/2023 2021-2022 3/30/2023 3/30/2024 6/15/2022 6/15/2023 6/15/2024 Requests for Expenditure Extensions (close-out year ONLY) must be received by FHFC by June 15 of the year in which funds are required to be expended. The extension request shall be emailed to robert.dearduff@floridahousing.org and terry.auringer@floridahousing.org and include: 1. A statement that “(city/county) requests an extension to the expenditure deadline for fiscal year _____________________. 2. The amount of funds that is not expended. 3. The amount of funds that is not encumbered or has been recaptured. 4. A detailed plan of how/when the money will be expended. Note: an extension to the expenditure deadline (June 30) does not relieve the requirement to submit (September 15) the annual report online detailing all funds that have been expended. Please email terry.auringer@floridahousing.org when you are ready to “submit” the AR. Other Key Deadlines: AHAC reports are due for each local government the same year as the local government’s LHAP being submitted. Local governments receiving the minimum or less allocation are not required to report. 1.A.2 Packet Pg. 58 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 39 - EXHIBIT C. Strategies Homeownership 2 Purchase Assistance - new construction No 3 $50,000 4 $30,000 4 $20,000 $0.00 $350,000.00 $350,000.00 11 Purchase Assist $350,000 3 Owner Occcupied Rehab Yes 2 $55,000 3 $55,000 1 $55,000 $330,000.00 $0.00 $330,000.00 6 Owner Occ Rehab $330,000 4 Demo/Replace Yes 1 $150,000 1 $150,000 1 $150,000 $450,000.00 $0.00 $450,000.00 3 Demo/Replace $450,000 10 New Construction Yes 3 $50,000 4 $50,000 3 $50,000 $500,000.00 $0.00 $500,000.00 10 New Construction $500,000 $0.00 $0.00 $0.00 0 $0.00 $0.00 $0.00 0 $0.00 $0.00 $0.00 0 $0.00 $0.00 $0.00 0 $0.00 $0.00 $0.00 0 $0.00 $0.00 $0.00 0 Total Homeownership 9 12 9 $1,280,000.00 $350,000.00 $1,630,000.00 30 New $415,058.00 Existing $415,058.00 20 Rental Acquisition Yes 1 $300,000 0 $300,000 0 $300,000 $300,000.00 $0.00 $300,000.00 1 Rental Acquisition $300,000 14 Rental Rehab Yes 0 $200,000 1 $200,000 0 $200,000 $200,000.00 $0.00 $200,000.00 1 Rental Rehab $200,000 $0.00 $0.00 $0.00 0 $0.00 $0.00 $0.00 0 $0.00 $0.00 $0.00 0 $0.00 $0.00 $0.00 0 Total Rental 1 1 0 $500,000.00 $0.00 $500,000.00 2 Administration Fees Yes Home Ownership Counseling No Total All Funds Total Award less Admin $2,130,000 $860,000.00 38.1% $635,000.00 28.2% $435,000.00 19.3% Very-Low Income (30% requirement)OK Low Income (30% requirement)OK Moderate Income Homeownership % (65% requirement)72.3%OK Rental Restriction (25%)22.2%OK $2,355,556.00 Set-Asides Percentage Construction/Rehab (75% requirement)78.9%OK This total is over the allocation and will require less than the maximum amount be awarded per applicant Units $225,556.00 10%OK New Construction Without Construction Total $0.00 LI Units Max. SHIP Award Mod Units Max. SHIP Award Max. SHIP Award OK OK Purchase Price Limits: Code Rental Qualifies for 75% set-aside VLI Units LHAP Exhibt C 2019 FLORIDA HOUSING FINANCE CORPORATION HOUSING DELIVERY GOALS CHART 2019-2020 Estimated Funds (Anticipated allocation only):$2,255,560.00 Name of Local Government: Collier County UnitsCodeQualifies for 75% set-aside VLI Units New Construction Without Construction TotalMax. SHIP Award LI Units Max. SHIP Award Mod Units Max. SHIP Award 1.A.2 Packet Pg. 59 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 40 - Strategies Homeownership 2 Purchase Assistance - new construction No 3 $50,000 4 $30,000 4 $20,000 $0.00 $350,000.00 $350,000.00 11 Purchase Assist $350,000 3 Owner Occcupied Rehab Yes 2 $55,000 3 $55,000 1 $55,000 $330,000.00 $0.00 $330,000.00 6 Owner Occ Rehab $330,000 4 Demo/Replace Yes 1 $150,000 1 $150,000 1 $150,000 $450,000.00 $0.00 $450,000.00 3 Demo/Replace $450,000 10 New Construction Yes 3 $50,000 4 $50,000 3 $50,000 $500,000.00 $0.00 $500,000.00 10 New Construction $500,000 $0.00 $0.00 $0.00 0 $0.00 $0.00 $0.00 0 $0.00 $0.00 $0.00 0 $0.00 $0.00 $0.00 0 $0.00 $0.00 $0.00 0 $0.00 $0.00 $0.00 0 Total Homeownership 9 12 9 $1,280,000.00 $350,000.00 $1,630,000.00 30 New $415,058.00 Existing $415,058.00 20 Rental Acquisition Yes 1 $300,000 0 $300,000 0 $300,000 $300,000.00 $0.00 $300,000.00 1 Rental Acquisition $300,000 14 Rental Rehab Yes 0 $200,000 1 $200,000 0 $200,000 $200,000.00 $0.00 $200,000.00 1 Rental Rehab $200,000 $0.00 $0.00 $0.00 0 $0.00 $0.00 $0.00 0 $0.00 $0.00 $0.00 0 $0.00 $0.00 $0.00 0 Total Rental 1 1 0 $500,000.00 $0.00 $500,000.00 2 Administration Fees Yes Home Ownership Counseling No Total All Funds Total Award less Admin $2,130,000 $860,000.00 38.1% $635,000.00 28.2% $435,000.00 19.3% OK OK Very-Low Income (30% requirement)OK $2,355,556.00 Set-Asides Percentage Construction/Rehab (75% requirement)78.9%OK This total is over the allocation and will require less than the maximum amount be awarded per applicant Total Units $225,556.00 10%OK Low Income (30% requirement)OK Moderate Income Homeownership % (65% requirement)72.3%OK Rental Restriction (25%)22.2%OK New Construction Without Construction $0.00 LI Units Max. SHIP Award Mod Units Max. SHIP Award Max. SHIP Award Purchase Price Limits: Code Rental Qualifies for 75% set-aside VLI Units UnitsCodeQualifies for 75% set-aside VLI Units Max. SHIP Award LI Units Max. SHIP Award Mod Units Max. SHIP Award New Construction Without Construction Total LHAP Exhibt C 2019 FLORIDA HOUSING FINANCE CORPORATION HOUSING DELIVERY GOALS CHART 2020-2021 Estimated Funds (Anticipated allocation only):$2,255,560.00 Name of Local Government: Collier County 1.A.2 Packet Pg. 60 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 41 - Strategies Homeownership 2 Purchase Assistance - new construction No 3 $50,000 4 $30,000 4 $20,000 $0.00 $350,000.00 $350,000.00 11 Purchase Assist $350,000 3 Owner Occcupied Rehab Yes 2 $55,000 3 $55,000 1 $55,000 $330,000.00 $0.00 $330,000.00 6 Owner Occ Rehab $330,000 4 Demo/Replace Yes 1 $150,000 1 $150,000 1 $150,000 $450,000.00 $0.00 $450,000.00 3 Demo/Replace $450,000 10 New Construction Yes 3 $50,000 4 $50,000 3 $50,000 $500,000.00 $0.00 $500,000.00 10 New Construction $500,000 $0.00 $0.00 $0.00 0 $0.00 $0.00 $0.00 0 $0.00 $0.00 $0.00 0 $0.00 $0.00 $0.00 0 $0.00 $0.00 $0.00 0 $0.00 $0.00 $0.00 0 Total Homeownership 9 12 9 $1,280,000.00 $350,000.00 $1,630,000.00 30 New $415,058.00 Existing $415,058.00 20 Rental Acquisition Yes 1 $300,000 0 $300,000 0 $300,000 $300,000.00 $0.00 $300,000.00 1 Rental Acquisition $300,000 14 Rental Rehab Yes 0 $200,000 1 $200,000 0 $200,000 $200,000.00 $0.00 $200,000.00 1 Rental Rehab $200,000 $0.00 $0.00 $0.00 0 $0.00 $0.00 $0.00 0 $0.00 $0.00 $0.00 0 $0.00 $0.00 $0.00 0 Total Rental 1 1 0 $500,000.00 $0.00 $500,000.00 2 Administration Fees Yes Home Ownership Counseling No Total All Funds Total Award less Admin $2,130,000 $860,000.00 38.1% $635,000.00 28.2% $435,000.00 19.3% OK OK Total UnitsLI Units Max. SHIP Award Mod Units Max. SHIP Award New Construction Without Construction Max. SHIP Award $225,556.00 10% $2,355,556.00 OK $0.00 This total is over the allocation and will require less than the maximum amount be awarded per applicant Set-Asides Percentage Construction/Rehab (75% requirement)78.9%OK Moderate Income Homeownership % (65% requirement)72.3%OK Rental Restriction (25%)22.2%OK Very-Low Income (30% requirement)OK Low Income (30% requirement)OK Purchase Price Limits: Code Rental Qualifies for 75% set-aside VLI Units UnitsCodeQualifies for 75% set-aside VLI Units Max. SHIP Award LI Units Max. SHIP Award Mod Units Max. SHIP Award New Construction Without Construction Total LHAP Exhibt C 2019 FLORIDA HOUSING FINANCE CORPORATION HOUSING DELIVERY GOALS CHART 2021-2022 Estimated Funds (Anticipated allocation only):$2,255,560.00 Name of Local Government: Collier County 1.A.2 Packet Pg. 61 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 42 - EXHIBIT D. CERTIFICATION TO FLORIDA HOUSING FINANCE CORPORATION Local Government or Interlocal Entity: Collier County__________________________________ Certifies that: (1) The availability of SHIP funds will be advertised pursuant to program requirements in 420.907-420.9079, Florida Statutes. (2) All SHIP funds will be expended in a manner which will insure that there will be no discrimination on the basis of race, color, national origin, sex, handicap, familial status, or religion. (3) A process to determine eligibility and for selection of recipients for funds has been developed. (4) Recipients of funds will be required to contractually commit to program guidelines and loan terms. (5) Florida Housing will be notified promptly if the local government /interlocal entity will be unable to comply with any provision of the local housing assistance plan (LHAP). (6) The LHAP provides a plan for the encumbrance of funds within twelve months of the end of the State fiscal year in which they are received and a plan for the expenditure of SHIP funds including allocation, program income and recaptured funds within 24 months following the end of the State fiscal year in which they are received. (7) The LHAP conforms to the Local Government Comprehensive Plan, or that an amendment to the Local Government Comprehensive Plan will be initiated at the next available opportunity to insure conformance with the LHAP. (8) Amendments to the approved LHAP shall be provided to the Florida Housing for review and/or approval within 21 days after adoption. (9) The trust fund exists with a qualified depository for all SHIP funds as well as program income or recaptured funds. (10) Amounts on deposit in the local housing assistance trust fund shall be invested as permitted by law. (11) The local housing assistance trust fund shall be separately stated as a special revenue fund in the local governments audited financial statements (CAFR). An electronic copy 1.A.2 Packet Pg. 62 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 43 - of the CAFR or a hyperlink to the document shall be provided to Florida Housing by June 30 of the applicable year. (12) Evidence of compliance with the Florida Single Audit Act, as referenced in Section 215.97, F.S. shall be provided to Florida Housing by June 30 of the applicable year. (13) SHIP funds will not be pledged for debt service on bonds. (14) Developers receiving assistance from both SHIP and the Low-Income Housing Tax Credit (LIHTC) Program shall comply with the income, affordability and other LIHTC requirements, similarly, any units receiving assistance from other federal programs shall comply with all Federal and SHIP program requirements. (15) Loans shall be provided for periods not exceeding 30 years, except for deferred payment loans or loans that extend beyond 30 years which continue to serve eligible persons. (16) Rental Units constructed or rehabilitated with SHIP funds shall be monitored for compliance with tenant income requirements and affordability requirements or as required in Section 420.9075 (3)(e). To the extent another governmental entity provides periodic monitoring and determination, a municipality, county or local housing financing authority may rely on such monitoring and determination of tenant eligibility. (17) The LHAP meets the requirements of Section 420.907-9079 FS, and Rule Chapter 67-37 FAC. (18) The provisions of Chapter 83-220, Laws of Florida have not been implemented (except for Miami-Dade County). ___________N/A______________ _________________________________ Witness Chief Elected Official or designee ___________N/A_______________ William L. McDaniel, Jr., Chairman______ Witness Type Name and Title _____________________________ Date OR _____________________________ Attest: (Seal) 1.A.2 Packet Pg. 63 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 44 - EXHIBIT E. RESOLUTION #: 2019-__ A RESOLUTION OF THE BOARD OF COUNTY COMMISSIONERS OF THE COLLIER COUNTY, FLORIDA APPROVING THE LOCAL HOUSING ASSISTANCE PLAN AS REQUIRED BY THE STATE HOUSING INITIATIVES PARTNERSHIP PROGRAM ACT, SUBSECTIONS 420.907-420.9079, FLORIDA STATUTES; AND RULE CHAPTER 67-37, FLORIDA ADMINISTRATIVE CODE; AUTHORIZING AND DIRECTING THE CHAIRMAN TO EXECUTE ANY NECESSARY DOCUMENTS AND CERTIFICATIONS NEEDED BY THE STATE; AUTHORIZING THE SUBMISSION OF THE LOCAL HOUSING ASSISTANCE PLAN FOR REVIEW AND APPROVAL BY THE FLORIDA HOUSING FINANCE CORPORATION; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the State of Florida enacted the William E. Sadowski Affordable Housing Act, Chapter 92-317 of Florida Sessions Laws, allocating a portion of documentary stamp taxes on deeds to local governments for the development and maintenance of affordable housing; and WHEREAS, the State Housing Initiatives Partnership (SHIP) Act, ss. 420.907-420.9079, Florida Statutes (1992), and Rule Chapter 67-37, Florida Administrative Code, requires local governments to develop a one- to three-year Local Housing Assistance Plan outlining how funds will be used; and WHEREAS, the SHIP Act requires local governments to establish the maximum SHIP funds allowable for each strategy; and WHEREAS, the SHIP Act further requires local governments to establish an average area purchase price for new and existing housing benefiting from awards made pursuant to the Act; The methodology and purchase prices used are defined in the attached Local Housing Assistance Plan; and WHEREAS, as required by section 420.9075, F.S. It is found that 5 percent of the local housing distribution plus 5 percent of program income is insufficient to adequately pay the necessary costs of administering the local housing assistance plan. The cost of administering the program may not exceed 10 percent of the local housing distribution plus 5% of program income deposited into the trust fund, except that small counties, as defined in s. 120.52(17), and eligible municipalities receiving a local housing distribution of up to $350,000 may use up to 10 percent of program income for administrative costs. 1.A.2 Packet Pg. 64 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 45 - WHEREAS, the Community and Human Services Division has prepared a three-year Local Housing Assistance Plan for submission to the Florida Housing Finance Corporation; and WHEREAS, the Board of County Commissioners finds that it is in the best interest of the public for the County to submit the Local Housing Assistance Plan for review and approval so as to qualify for said documentary stamp tax funds. NOW THEREFORE, BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF COLLIER COUNTY, FLORIDA that: Section 1: The Board hereby approves the Local Housing Assistance Plan, as attached and incorporated hereto for submission to the Florida Housing Finance Corporation as required by ss. 420.907-420-9079, Florida Statutes, for fiscal years 2019/2020, 2020,2021 and 2021/2022. Section 2: The Chairman, is hereby designated and authorized to execute any documents and certifications required by the Florida Housing Finance Corporation as related to the Local Housing Assistance Plan, and to do all things necessary and proper to carry out the term and conditions of said program. Section 3: This resolution shall take effect immediately upon its adoption. PASSED AND ADOPTED by the Board of County Commissioners of Collier County, Florida, this _______ day of _____________________, 2019. _________________________________ William L. McDaniel, Jr., Chairman (SEAL) ATTEST: CRYSTAL K. KINZEL, CLERK _____________________________________ Clerk Date: _________________ 1.A.2 Packet Pg. 65 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 46 - EXHIBIT F. 1.A.2 Packet Pg. 66 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 47 - 1.A.2 Packet Pg. 67 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 48 - 1.A.2 Packet Pg. 68 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 49 - 1.A.2 Packet Pg. 69 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 50 - 1.A.2 Packet Pg. 70 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 51 - 1.A.2 Packet Pg. 71 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 52 - EXHIBIT G. COLLIER COUNTY/CITY OF NAPLES INTERLOCAL AGREEMENT STATE HOUSING INITIATIVES PARTNERSHIP PROGRAM THIS INTERLOCAL AGREEMENT (the “Agreement”) made and entered into this day of , 2019, by and between Collier County, a political subdivision of the State of Florida, acting by and through its Board of County Commissioners, and the City of Naples, a municipal corporation created and existing under the laws of the State of Florida, acting by and through its City Council. W I T N E S S E T H: WHEREAS, Section 420.9072, et seq., Florida Statutes (the “State Housing I nitiatives Partnership Program” (“SHIP”), authorizes monies in the Local Government Housing Trust Fund (the “Fund”) to be distributed to approved counties and eligible municipalities within the county pursuant to an Interlocal Agreement; and WHEREAS, Collier County is an approved county and the City of Naples is an eligible municipality within Collier County; and WHEREAS, the parties desire to jointly utilize SHIP allocations pursuant to this Agreement; and WHEREAS, the parties have determined that SHIP funds can be more efficiently utilized and managed when the parties work cooperatively to address the community’s affordable housing needs. NOW, THEREFORE, in consideration of the mutual promises set forth herein, the parties agree as follows: 1. The County and City do hereby agree that the SHIP Program funds as allocated in 1.A.2 Packet Pg. 72 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 53 - Section 420.9073, Florida Statutes, are to be distributed to Collier County to administer in conformity with the mutually approved Local Housing Assistance Plan. 2. Unless earlier terminated pursuant to other provisions of this Interlocal Agreement, the term of this Agreement shall run concurrent with the three-year Local Housing Assistance Plan (the “LHAP”) which expires June 30, 2022 and will be automatically renewed with adoption of subsequent LHAPs. 3. The County and City direct the Florida Housing Finance Corporation (the “Corporation”) to distribute and allocate the SHIP Program funds in accordance with this Agreement and authorize the Corporation to rely on their stated intent and their authority to execute this Agreement. 4. The SHIP Program funds so distributed will be deposited in a single depository trust fund account created and managed by Collier County, Finance Division of the Office of the Clerk of the Circuit Court. This account shall be known as the Collier County Local Housing Trust Fund (hereinafter referred to as “Local Fund”), to which SHIP funds are distributed by the Corporation. The Corporation will be notified of any change in the Local Fund status and the parties agree to have such Local Fund audited annually as required by Chapter 420, Florida Statutes and Chapter 67-37, Florida Administrative Code. Since all distributions from the Local Fund shall be processed by Collier County, parties hereto agree that the Comprehensive Single Entity Audit of the accounts and records of the County with respect to SHIP revenues and expenditures shall constitute the audit for the Interlocal Entity as described in the SHIP Regulations. The parties hereto agree that the Local Fund may be allocated a pro-rata cost of the independent audit by the County. 5. During the term of this Agreement, both parties agree that they will not do anything to jeopardize the other party’s right to receive its allocation from the Local Fund. 6. Membership to the Affordable Housing Advisory Committee shall be jointly appointed by Resolution of both the County and City to triennially prepare a joint Local Housing Incentive Plan as required by Chapter 420.9076, Florida Statues. 1.A.2 Packet Pg. 73 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 54 - 7. The parties to this Agreement have adopted incentives from the Affordable Housing Incentive Plan as prepared and submitted by the joint Affordable Housing Advisory Committee, amending the Local Housing Assistance Plan accordingly. Both parties understand that Chapter 420, Florida Statutes requires continuing monitoring and implementation of the Affordable Housing Incentive Plan for the purpose of enhancing and providing affordable housing and agree to cooperate in ensuring that the requirements and spirit of the Chapter 420, Florida Statutes is satisfied. 8. Neither party shall use any revenues distributed and allocated for purposes other than those authorized by Section 420.907 et seq., Florida Statutes, or Chapter 67-37, Florida Administrative Code. 9. During the term of this Agreement, any party may give the other party ninety (90) days written notice that it wishes to renegotiate the terms of this Agreement, to be effective on the first day of the next fiscal year. If the parties fail to reach a new agreement prior to the commencement of the next fiscal year, this Agreement shall terminate and be of no further force or effect, and the funds shall be allocated according to population pursuant to Section 420.9072 and Section 420.9073, Florida Statutes. 10. If either party shall cease to be eligible for allocation and distribution, such party’s allocation of the funds shall remain in the Local Fund to be used by the Corporation. Both parties acknowledge the SHIP enabling legislation, the rules promulgated to implement same, and that the Chapter 420, Florida Statutes and Chapter 67-37, Florida Administrative Code are incorporated herein as if they were restated. IN WITNESS THEREOF, the parties hereto have caused this Agreement to be executed by their duly authorized officials. ATTEST: BOARD OF COUNTY COMMISSIONERS CRYSTAL K. KINZEL, CLERK OF COLLIER COUNTY, FLORIDA _____________________________ By: ______________________________ , Deputy Clerk William L. McDaniel, Jr., Chairman 1.A.2 Packet Pg. 74 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 55 - Approved as to form and legal sufficiency: __________________________ Jennifer Belpedio Assistant County Attorney 1.A.2 Packet Pg. 75 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 56 - EXHIBIT H. Collier County Community and Human Services Division State Housing Initiatives Partnership Program SHORT SALE POLICY Requests for short sale must be approved in advance and in writing by Collier County Community and Human Services Division. The following minimum criteria shall apply: 1. The recipient, as seller of the property, shall not receive any funds from the Short Sale transaction. 2. To facilitate a Short Sale, Collier County shall forgive 70 percent (70%) of the assistance provided based upon the following table. PROPOSED SHORT SALE SETTLEMENT AMOUNT 30% of SHIP Second Mortgage face value amount 3. The Collier County Short Sale amount cannot conflict with the primary mortgage lender Short Sale Agreement. • If the primary lender rejects the SHIP Proposed Short Sale Settlement amount, at the discretion of the CHS Director or his/her designated representative, the settlement amount may be reduced as appropriate to help facilitate the sale of the property to avoid the possibility of foreclosure. In order to determine if a recipient may qualify for Short Sale, the Division will require the following information: 1. Short Sale Request Form from owner or authorized agent. 2. Evidence of the first mortgage lender’s approval for Short Sale. 3. Copy of signed sales contract or buyer offer sheet. Following initial review, the Division will advise in writing if the recipient has been pre-approved for Short Sale. However, the following documents will be required prior to closing of the Short Sale and issuance of final approval: 1. Final unsigned Closing Disclosure as prepared for settlement (signed copy to be obtained immediately after settlement); and 2. Final first mortgage lender Short Sale approval; and 1.A.2 Packet Pg. 76 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 57 - 3. Final signed sales contract; and 4. Name, phone number and email address of closing agent. Please allow 20 business days for processing from the date the request is submitted to our office. If approved, the Division will forward the Short Sale Agreement and/or payoff letter to the title company. If we are unable to approve the request, a denial letter will be issued. 1.A.2 Packet Pg. 77 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 58 - EMAIL THE SHORT SALE REQUEST FORM ALONG WITH SUPPORTING DOCUMENTS TO: CollierCountySHIP@colliercountyfl.gov Collier County Community and Human Services Division State Housing Initiatives Partnership Program SHORT SALE APPLICATION Recipient(s) name: _________________________________________________________ Property address: _________________________________________________________ _________________________________________________________ First Mortgage Information First Mortgage Lender: _________________________________________________________ Principal Balance: _________________________________________________________ Approved Short Sale Amount: _________________________________________________________ Net Proceeds to Recipient: _________________________________________________________ SHIP Second Mortgage Information SHIP Mortgage Amount: _________________________________________________________ SHIP File Number: _________________________________________________________ Date Recorded: _________________________________________________________ Required Repayment Amount: _________________________________________________________ 1.A.2 Packet Pg. 78 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 59 - Amount Paid by Lender: _________________________________________________________ Amount Paid by Other: _________________________________________________________ Net Proceeds to Recipient: _________________________________________________________ OFFICE USE ONLY PRE-APPROVED DENIED ____________________________ __________ CHS Director Date 1.A.2 Packet Pg. 79 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 60 - 1.A.2 Packet Pg. 80 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 61 - EXHIBIT J. Collier County Community and Human Services Department SUBORDINATION POLICY Requests for subordination must be approved in advance by the Community and Human Services Division (“Division”). We may consider subordinating our loan if the following factors are present:  The proposed transaction is a rate and term refinance (less than $500.00 to borrower at closing); and  The new interest rate is a least one percent less than the current interest rate; or any combination of Interest Rate reduction plus Mortgage Insurance reduction that would be the equivalent of a one percent interest rate reduction; and  The new principal and interest payment are lower than the current total payment(s) as evidenced by the Loan Application or Loan Estimate; or if the new monthly payment is increased due to a reduction to the term of the loan, the Division will determine if the new payment is reasonable and beneficial to the client; and  The proposed transaction may include the current first mortgage plus other purchase- related grants and/or financing (i.e., USDA Subsidy, etc.) and  The proposed transaction may also include post-purchase Home Equity Loans or Home Equity Lines of Credit, provided the Combined Loan-To-Value (CLTV) ratio of the new mortgage plus the SHIP Second Mortgage does not exceed 80% of the current appraised value for the subject property. In this instance, the one percent reduction in interest rate may be waived if the reduction in total payments is beneficial to the client as determined by the Division; and  Closing costs are reasonable as determined by the Division; and  The proposed transaction does not include a prepayment penalty.  Property being refinanced must be the borrower’s principal residence. The following documents must be submitted to our office in order to process a subordination request: 4. Subordination Request form (attached). 5. Signed and executed Loan Estimate; and 6. Signed and executed mortgage/loan application; and 7. Preliminary Closing Disclosures; and 8. Copy of title commitment 9. Copy of Appraisal (if applicable) Please allow 20 business days for processing from the date the request is submitted to our office. If approved, the Division will notify the lender and title company to prepare the Subordination 1.A.2 Packet Pg. 81 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 62 - Agreement. If we are unable to approve the request, a payoff letter will be issued. EMAIL THE SUBORDINATION REQUEST FORM ALONG WITH THE DOCUMENTS 2-6 TO: CollierCountySHIP@colliergov.net For additional questions contact: Donald Luciano, Grants Coordinator Phone: 239-252-2509 Email: Donald.Luciano@colliercountyfl.gov 1.A.2 Packet Pg. 82 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) 2019/2020, 2020/2021, 2021/2022, LHAP - 63 - Subordination Request Form To be completed by the Financial Institution processing refinance on behalf of clients listed below Borrower (s) name: ______________________________________________________________ Borrower (s) address: ______________________________________________________________ Financial Institution: ________________________________________________________________________ Address: __________________________________________________________________________________ Email: _______________________________________________Phone: _______________________________ Current Mortgage Information Principal Balance: ______________________ Interest Rate: ___________________ Monthly Payment (PITI): _______________________ Loan Term: ___________________ New Mortgage Information Loan Amount: _____________________ Interest Rate: _____________________ Monthly Payment (PITI): _____________________ Loan Term: _____________________ Closing Agent/Title Company Information Name: ____________________________________________ Contact Person: _________________________ Phone: _____________________ Email Address: _____________________________________ I certify that the above information is correct. I certify that there will be no cash out to the borrower, and no other unsecured debt will be paid off (i.e., credit cards, automobile loans, etc.). I understand that the subordination document prepared by Collier County will be invalid if that is the case. _________________________________ _________________________________ ____________ Lender/Broker Signature Lender/ Broker Name Printed Date ___________________________________________ _________________________________ Email address Phone 1.A.2 Packet Pg. 83 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) Exhibit B 1 AFFORDABLE HOUSING DEMAND MODEL METHODOLOGY Affordable Housing Advisory Committee Community Stakeholder Committee Collier County Community and Human Services Kimberley Grant, Director February 27, 2018 APPROVED BY BCC 2-27-2018 1.A.2 Packet Pg. 84 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) Exhibit B 2 Background and Purpose Through a cooperative partnership between the Affordable Housing Advisory Committee (AHAC), Collier County Community and Human Services (CHS) and Comprehensive Planning in the Growth Management Division, the Housing Element of the Growth Management Plan was amended during the Evaluation and Appraisal Report in 2012 to require development of a method of indexing the demand, availability and cost for affordable/workforce housing throughout the County. The outcome defined at that time (2012) were to meet the following Goals, Objectives and Policies of the Housing Element: Goal 1: To create an adequate supply of decent, safe, sanitary and affordable/workforce housing for all residents of Collier County. Objective 1: Provide new affordable housing units in order to meet the current and future housing needs of legal residents with very low, low and moderate and affordable workforce incomes, including households with special needs such as rural and farmworker housing in rural Collier County. Policy 1.1: The Department of Housing, Human and Veteran Services (now CHS) shall establish a method of indexing the demand for very low, low, moderate and affordable workforce housing. Policy 1.2: The Department of Housing, Human and Veteran Services (now CHS) shall establish a method of indexing the availability and costs of very low, low, moderate and affordable workforce housing. Policy 1.3: The Department of Housing, Human and Veteran Services (now CHS) shall develop methods to predict future need, based on the Indexes established in Policies 1.1 and 1.2 above. Policy 1.4: The Department of Housing, Human and Veteran Services (now CHS) shall establish necessary strategies, methods and tools to support this Objective. The previously approved 2015 Housing Index Model was developed to replace the arbitrary number previously identified in the Housing Element to construct 1,000 affordable/workforce housing units each year to meet the County’s demand for affordable/workforce housing units. The 2015 Housing Index Model was based on population projections. In 2017, Community and Human Services developed a new Housing Demand Model that includes population, existing housing inventory and the number of cost-burdened households. Based upon the outcome of the new Housing Demand Model, response strategies have been developed and presented to the Board of County Commissioners in a Community Housing Plan in October 2017. 1.A.2 Packet Pg. 85 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) Exhibit B 3 Updated Housing Demand Model: Population, Existing Supply, and Cost-Burdened Based Population, existing housing inventory, and cost burdened households, are the main drivers that are quantifiable and utilized to project future demand for affordable housing1. The key secondary factors are area median income, housing prices, persons per household, and the Housing Opportunity Index. The objective is to create a simple model based on accepted principles and available and validated data. The previously approved model was as follows: Population Based Model Formula Projected Gross Future Demand Less: Available inventory (owner occupied and rental) Results in: Projected Net Future Demand 6 There were shortcomings in this model, however. It did not address the current needs of residents already over-paying for housing related costs. It assumed all existing residents were sufficiently housed. Most significantly it did not answer the question of the specific supply and demand needs by income level. The following series of charts show the steps in taking the approved model forward to the updated Housing Demand Model. 1 Affordable Housing Needs Assessment, Population and Household Projection Methodology, Prepared by the Shimberg Center for Affordable Housing, Rinker School of Building Construction, College of Design, Construction and Planning, University of Florida, September 2006 1.A.2 Packet Pg. 86 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) Exhibit B 4 The first chart takes the initial projection model and stratifies it by income levels. Next, all by income levels, the model develops the existing inventory, the gross need, the supply, and identifies the remaining need. And the chart below elaborates on the existing resources and outlines planning assumptions. Sources/ Notes: 1. (column #4 & #5)- Assume a 3-person household (Collier County average persons per household = 2.4) 2. (column #6)- Collier County Property Appraiser 3. (column #7)- CHS yearly Collier County Redistricted Affordable Units Monitoring (July 2017) 4. (column #8)- University of Florida Shimberg Center for Affordable Housing- Florida Housing Data Clearinghouse 5. (column #9)- Using Collier County Affordable Housing Demand Methodology Approved 2015, new entrants to county only. 1.A.2 Packet Pg. 87 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) Exhibit B 5 6. (column #11)- To determine the current population needs and future populations needs, University of Florida Shimberg Center for Affordable Housing- Florida Housing Data Clearinghouse 7. (column #12)- NABOR (Naples) and MIAAOR (Marco) Collier County Inventory levels collected from August, 2017; includes Manufactured Homes; NABOR does not include private sales not approved for sale on the MLS 8. (column #13)- CHS Quarterly Collier County Apartment Survey (July 2017) 9. (column #12 & #13)- While they ARE included in in this analysis, there are 8,514 mobile home units in Collier County, of which 2,076 are located in District 5 (which includes Immokalee). A survey of mobile home parks has determined that the majority of mobile home units in Immokalee are utilized as migrant farm- worker housing, and many other mobile homes in the urban area of the county are located in age restricted, 55 and over communities. While the number of mobile homes in Collier County is significant, in total they make up less than 4% of the County’s total housing stock and they are encumbered by other restrictions that preclude them from serving as housing options for the greater population. Once the model is in use additional data sources may be explored to continue to refine the information and provide a current and local viewpoint. All sources will be disclosed when the information is presented for review and consideration. Calculation Elements The 2017 model uses the HUD standard income categories based on AMI2 and assumes those persons earning 140% of AMI and above can compete in the marketplace for housing. Therefore, the need for additional affordable/workforce housing will be centered on those households earning less than 140% of AMI. The population is projected forward one year at the growth factor used by Comprehensive Planning in the Growth Management Division (currently 1.02%). Further, for planning purposes, it is assumed those making less than 80% AMI are in need of rental units, and those earning more than 80% of AMI could qualify for homeownership and/or rental; with recognition there are many that cross one way or the other, yet this is a reasonable basis for planning. The demand for 2017 is a need for 313 owned units and 1352 rental units. When in operation, the Board of County Commissioners would be presented annually with the projected need as well as a set of recommendations to consider in order to meet the future need identified. 1.A.2 Packet Pg. 88 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) Exhibit B 6 Supplemental Information It is recognized that population changes alone may not determine the need for affordable/workforce housing. It is commonly held that market conditions and income conditions greatly impact the availability of housing in general, and more specifically, affordable/workforce housing.2 Through extensive research and discussion, additional supplemental data and facts that affect the need for affordable/workforce housing have been identified. Such factors as the Housing Opportunity Index, cost burdened rates of households, occupancy rates, and housing prices were examined. When the model is in operation, additional supplemental information may become available to reference. The Housing Opportunity Index The published National Association of Home Builders Wells Fargo Housing Opportunity Index (HOI) is a very relevant data set to review and consider because it is a reliable indicator of overall affordability of housing in our community available to the households earning 100% AMI. This is presented as meeting the requirements under Policy 1.1 and 1.2 noted earlier. As shown in the graphic illustration below, in simple terms, when income stays the same and the housing prices go up, affordability is decreased. Due to the nature of the recent drastic housing market fluctuations, the chart illustrates that following this data on a real-time basis can be an indicator of demand for and availability of additional affordable/workforce housing units in our community. The HOI is defined as the “share of housing sold in the area that would have been affordable to a family earning local median income based on standard mortgage underwriting 2 Reforming America’s Housing Finance Market, A Report to Congress, US Department of the Treasury and US Department of Housing and Urban Development, February2011 1.A.2 Packet Pg. 89 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) Exhibit B 7 criteria (assumes 30% of gross income is spent on housing with 10% down payment)”3. For income, County staff uses the annual median family income estimates for the Naples/Marco Island Metropolitan Area published by the US Department of Housing and Urban Development (HUD). If the HOI is over 50, the County is deemed to have sufficient availability for those households earning 100% of the AMI. Following this is very useful to identify and react to trends. Cost Burdened Levels There is information that indicates certain households are “cost burdened”4 or “severely cost burdened” in our county5. Housing cost burden reflects the percent of income paid for housing by each household living in a geographic area. Based on recent US Census Bureau survey’s, the number and percent of households paying more than thirty percent (30%) of their income for housing are reported for communities with populations of 20,000 or more. Households spending more than 50 percent are considered to be "severely cost-burdened." Housing is generally considered to be affordable if the household pays less than 30 percent of income.6 The below graphic represents the cost burdened situation for Collier County. 16 Spend 30% or less Spend 30.1-50% Spend more than 50% Income Spent on Housing *Schimberg 2015 HH projections 31,273 HH, 22% 81,811 HH, 57% 30,245 HH, 21% 3 Source: National Association of Home Builders – Wells Fargo Housing Opportunity Index based on information provided from sales transaction records from CoreLogic. The data includes information on state, county, date of sale and sales price of homes sold. 4 HUD defines “cost burdened” as a household paying more than 30% of their annual income for a mortgage payment. 5 HUD defines “severely cost burdened” as a household paying more than 50% of their annual income for a mortagepayment 6 Florida Housing Data Clearinghouse, Shimberg Center for Housing Studies, University of Florida derived from figures produced from University of Florida Bureau of Economic and Business Research 1.A.2 Packet Pg. 90 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) Exhibit B 8 As indicated in the following chart, the wages of many workforce positions are insufficient to afford the rental rates in Collier County. Annual Wage Range (Entry to Median) Median Gross Rent 2015 Median Home Sales Price Homes Priced at 50% of Median Price $1,020 / Month $405,000 $200,000 Health Care Registered Nurses $47,000-$65,000 24% 38% 19% Medical Assistants $30,000-$35,000 41% 68% 34% Emergency Technicians $28,000-$36,000 42% 68% 34% Education Teachers $44,000-$59,000 28% 50% 25% Teaching Assistants $22,000-$24,000 45% 101% 51% Public Safety Firefighters $39,000-$57,000 29% 43% 21% Patrol Officers $47,000-$59,000 26% 41% 21% Service Workers Maids/Housekeeping $18,000-$22,000 66% 109% 55% Massage Therapist $26,000-$55,000 37% 44% 22% Concierges $25,000-$31,000 48% 78% 39% Entry Level/ Mid Tier Professionals Human Resources Specialists $35,000-$55,000 31% 45% 22% Dental Assistants $33,000-$43,000 36% 57% 29% Administrative Assistants $22,000-$33,000 49% 73% 37% Responding to the Model and Model Operations The ultimate objective is to determine whether there is a gap between the need and availability of housing that is affordable; then determine what actions will be taken to close the gap. The BCC was presented with a housing plan in October 2017 with a response model. Staff is in the process of bringing forth those recommendations to the BCC for final adoption. When adoption is complete, the model can be re-run to show the impact of the adopted recommendations. Recommendation To update the 2015 Housing Demand Model with the addition of the existing housing inventory, and the percentage of Cost Burdened Households, resulting in the Collier County Housing Demand Model – October 2017. 1.A.2 Packet Pg. 91 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Advisory Committee - March 11, 2019) Cost Burdened By Income Level & Tenure Source: University of Florida Shimberg Center for Housing, 2018 1.A.2 Packet Pg. 92 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Collier Housing Costs by Income & Tenure 1.A.2 Packet Pg. 93 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Collier Housing Costs by Income & Tenure Remove: 1) Those who are not Cost Burdened Total Need 58,749 1.A.2 Packet Pg. 94 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Collier Housing Costs by Income & Tenure Remove: 1) Those who are not Cost Burdened 2) Those who are more than Moderate-Income Total Need 48,336 1.A.2 Packet Pg. 95 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Collier Housing Costs by Income & Tenure Remove: 1) Those who are not Cost Burdened 2) Those who are more than Moderate-Income 3) Those who own their homes Total Need 20,123 1.A.2 Packet Pg. 96 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing Collier Housing Costs by Income & Tenure Remove: 1) Those who are not Cost Burdened 2) Those who are more than Moderate-Income 3) Those who own their homes 4) Those who are not Severely Cost Burdened Total Need 9,968 1.A.2 Packet Pg. 97 Attachment: AHAC Meeting Agenda - March 11, 2019 (8403 : Affordable Housing