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Agenda 09/15/2009 Item #16D21 Agenda Item No. 16D21 September 15, 2009 Page 1 of 9 EXECUTIVE SUMMARY ,............... Recommendation that the Board of County Commissioners approves, and authorizes the Chairman to sign, a Resolution amending the State Housing Initiative Partnership (SHIP) program 2004-2007 Local Housing Assistance Plan (LHAP) to increase the maximum award for owner-occupied rehabilitation and authorize an amendment to Ordinance 94-39, as amended, relating to the Residential Rehabilitation Program. OBJECTIVE: That the Board of County Commissioners approves, and authorizes the Chairman to sign, a Resolution amending the SHIP program 2004-2007 LHAP to increase the maximum award for owner-occupied rehabilitation and authorize an amendment to Ordinance 94-39, as amended, relating to the Residential Rehabilitation Program. CONSIDERA TIONS: The SHIP program requires the Board of County Commissioners to approve a LHAP every three (3) fiscal years. The purpose of the LHAP is to provide a concise description of the local housing assistance strategies and local housing incentive strategies that have been adopted and how those activities meet the requirements of Florida Statute 420.907- 420.9079. On April 24, 2007, the Board of County Commissioners approved the 2008-2010 LHAP. This plan provides up to $30,000 in residential rehabilitation for income qualified owner-occupants. This amount of assistance was an increase from the 2004-2007 LHAP, which limited residential rehabilitation awards to $15,000. - During the 2008-2009 SHIP Program Management and Physical Inspection it was determined that the maximum award ($30,000) for residential rehabilitation had not been made retroactive to SHIP funds received under the 2004-2007 LHAP. Approval of this item will conect this inconsistency and ratify the expenditure of up to $30,000 for residential rehabilitation for income qualified owner-occupants assisted with SHIP funds received under the 2004-2007 LHAP. Collier County Code of Laws and Ordinances, Chapter 114, Article IV, Residential Rehabilitation Program, provides that residential rehabilitation assistance shall not exceed $15,000 per household. At the time that the 2008-2010 LHAP was amended, this was inadvertently overlooked by staff. Expenditure of $30,000 for residential rehabilitation is an eligible use of SHIP funds, as outlined in Florida Statute 420.907. Based on the proposed LHAP amendment, the ordinance must also be amended for consistency with the LHAP. To ensure consistency with Ordinance No. 94-39, as amended, the following amendment is recommended to the 2004 LHAP: (3) Loans are limited to a maximum of$15,000 $30.000 per household. If approved, the proposed ordinance amendment will be advertised and brought back for Board consideration at a future meeting. _. FISCAL IMPACT: The cost of advertising the amending ordinance is estimated at $500. GROWTH MANAGEMENT IMPACT: None. Agenda Item No. 16D21 September 15, 2009 Page 2 of 9 LEGAL CONSIDERATIONS: Pursuant to the 2008-2010 LHAP and the Department of Housing and Human Services' policy, the above referenced increase should have been applied to the 2004-2007 LHAP and approved by the Board of County Commissioners. By approving this LHAP amendment, the Board is ratifying and confirming all actions taken by Staff in connection with 2008-2010 LHAP retroactive to adoption (April 24, 2007). At this point, the LHAP is inconsistent with Collier County Code of Laws and Ordinances, Chapter 114, Article IV, Residential Rehabilitation Program. Staff is asking the Board to amend the LHAP to reach consistency with the SHIP audit. Staff further requests authorization to amend the ordinance in order to provide consistency with the LHAP and allow for up to $30,000 in residential rehabilitation. This item is legally sufficient for Board action. - CMG STAFF RECOMMENDATION: That the Board of County Commissioners approves, and authorizes the Chainnan to sign, a Resolution amending the SHIP program 2004-2007 LHAP to increase the maximum award for owner-occupied rehabilitation and authorize staff to advertise the proposed ordinance amendment and retum to the Board at a future date for approval. PREP ARED BY: Frank Ramsey, Housing Manager, Housing and Human Services ORDINANCE NO. 2009-_ Agenda Item No. 16D21 September 15, 2009 Page 3 of 9 AN ORDINANCE OF THE BOARD OF COUNTY COMMISSIONERS OF COLLIER COUNTY, FLORIDA, AMENDING ORDINANCE NO. 94-39, AS PREVIOUSLY AMENDED AND CODIFIED AS CHAPTER 114, ARTICLE IV OF THE COLLIER COUNTY CODE OF LAWS AND ORDINANCES, PERTAINING TO THE RESIDENTIAL REHABILIT A TION PROGRAM, BY AMENDING SECTIONS 114.72, 114-74 AND 114-75, IN ORDER TO INCREASE THE MAXIMUM AWARD FOR OWNER- OCCUPIED REHABILIT A TION FOR CONSISTENCY WITH THE COLLIER COUNTY 2008 LOCAL HOUSING ASSISTANCE PLAN; PROVIDING FOR CONFLICT AND SEVERABILITY; PROVIDING FOR INCLUSION IN THE CODE OF LAWS AND ORDINANCES; PROVIDING RETROACTIVE APPLICATION; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the Florida State Legislature enacted the William B. Sadowski Affordable Housing Act on July 7, 1992 (the "Act"), Section 420.907, et seq., Florida Statutes, with rules adopted at Chapter 67.37, Florida Administrative Code, as a comprehensive funding package for state and local housing programs to better enable local governments to meet their responsibilities for affordable housing in accordance with their comprehensive plans; and WHEREAS, pursuant to the Act, the State has allocated a portion of new and existing documentary stamp taxes on deeds (the "SHIP" funds) to local governments for development and maintenance of affordable housing; and WHEREAS, Collier County implemented a Local Housing Assistance Program through the adoption of Ordinance No. 93.19, the "Collier County Housing Initiatives Partnership (S.H.I.P.) Program;" and WHEREAS, consistent with the Local Housing Assistance Plan, the Board of County Commissioners adopted Ordinance No. 94.39, the "Collier County Residential Rehabilitation Program," which is codified in Chapter 114, Article IV of the Collier County Code of Laws and Ordinances; and WHEREAS, the Board of County Commissioners approved the 2004 Local Housing Assistance Plan providing $15,000 in residential rehabilitation assistance and the 2008 Local Housing Assistance Plan providing $30,000 in residential rehabilitation assistance; and WHEREAS, the Collier County Department of Housing and Human Services recommends amending Ordinance No. 94-39 retroactive to April 24, 2007, to increase the Words Underlined are added; Words gtruck Through are deleted. Page 1 of 4 Agenda Item No, 16021 September 15, 2009 maXImum award for owner-occupied rehabilitation consistent with the Collier County ~ 4 of 9 Local Housing Assistance Plan. NOW, THEREFORE, BE IT ORDAINED BY THE BOARD OF COUNTY COMMISSIONERS OF COLLIER COUNTY, FLORIDA, that: SECTION ONE: Chapter 114, Article IV, RESIDENTIAL REHABILITATION PROGRAM, of the Code oflaws and Ordinances, is amended as follows: Sec. 114-72. Administration. * * * * (3) Applicant eligibility determination. * * * * d. Each applicant must meet the following criteria: 1. Homeowners must have made 12 monthly mortgage payments on their current homestead property to qualify under this program. 2. Rehabilitation including construction and emergency repair of affordable housing qualifies under the program. For purposes of this section, rehabilitation means repairs or improvements which are needed for safe and/or sanitary habitation, correction of code violations, or addition of handicapped accessible items. 3. Loans are limited to a maximum of $15,000.00 $30,000.00 per household. 4. Mortgages on the property must be current for the most recent 12- month period. 5. The properties must have a homestead exemption through the Collier County Property Appraiser's Office. * * * * Sec. 114-74. Contractor Selection. * * * * (d) Required documentation for rehabilitation/emergency home repair. The following documents are required of all eligible households for repair loans: (1) Rehabilitation/emergency home repair bid spec{fication. All work that is to be performed must be listed on this form detailing labor and material costs. This form must be delivered to a representative of the department prior to the Words Underlined are added; Words Struck Through are deleted. Page 2 of 4 Agenda Item No. 16D21 September 15, 2009 commencement of any repair work. A signed copy will be provided to the own~fJe 5 of 9 and to the finance departments. Loans granted under this program, but are limited to a maximum of $15,000.00 $30.000.00 per household. (2) Final inspection. A copy of the signed final inspection will be maintained in the owner's permanent file. A copy of the final inspection will be provided to the department of finance. (3) Promissory note. This note will be used specifically for the loans granted under the rehabilitation/emergency home repair program. A copy of the note will be maintained in the owner's permanent file, and will also be sent to the department of finance. The original, executed note will be kept on file in the department. (4) Second mortgage. The second mortgage will be used to secure the promissory Note and will be recorded by the Clerk of the Circuit Court for Collier County. The original, recorded second mortgage will be kept on file in the department. Copies will also be made available to the owner and the department of finance. All fee!5 fees associated with the recording of this document will be paid by the department. (5) Waiver of lien. Upon completion of the repair work, the contractor will be required to execute a waiver of lien. No payments shall be disbursed until the department receives the waiver of lien, a satisfactory inspection report and the itemized contractor's invoice. * * * * Sec. 114-75. Contractual Relationship between Collier County and Program Participant(s). (e) Program participants must execute the program document entitled, "contract C-3, residential rehabilitation program perfonnance agreement." (I) The performance agreement. sets forth the obligations of the program participant with regard to the facts and purposes of the program which includes, but is not limited to: * * * * o. That the maximum amount of the loan shall be the actual amount paid to the contractor, or $15,000.00 $30,000.00, whichever is less. lfthe source of funding pennits, the maximum amount of the loan may be extended to $15,000.00 $30,000.00. * * * * Words Underlined are added; Words Stmck Through are deleted. Page 3 of 4 Agenda Item No" 16021 September 15, 2009 SECTION TWO: INCLUSION IN THE CODE OF LAWS AND ORDINANCES. Page 6 of 9 The provisions of this Ordinance shall become and be made a part of the Code of Laws and Ordinances of Collier County, Florida. The sections of the Ordinances may be renumbered or re-lettered to accomplish such, and the word "ordinance" may be changed to "section," "article," or any other appropriate word. SECTION THREE: CONFLICT AND SEVERABILITY. In the event this Ordinance conflicts with any other Ordinance of Collier County or other applicable law, the more restrictive shall apply. If any phrase or portion of this Ordinance is held invalid or unconstitutional by any court of competent jurisdiction, such portion shall be deemed a separate, distinct and independent provision and such holding shall not affect the validity of the remaining portion. SECTION FOUR: RETROACTIVE APPLICATION. The residential rehabilitation amount provided for In this Ordinance amendment is retroactive to April 24, 2007, and the payment of any residential rehabilitation up to $30,000 since April 24, 2009 is ratified, continned and validated. SECTION FIVE: EFFECTIVE DATE. Unless retroactive application of this Ordinance amendment would impair vested rights, this Ordinance amendment shall apply retroactively and shall become effective upon filing with the Secretary of State. PASSED AND DULY ADOPTED by the Board of County Commissioners of Collier County, Florida, this day of , 2009. ATTEST: DWIGHT E. BROCK, Clerk BOARD OF COUNTY COMMISSIONERS COLLIER COUNTY, FLORIDA By: By: , Deputy Clerk DONNA FIALA, Chairman Approved as to form and legal sufficiency: ~lIeen M. Greene Assistant County Attorney Words Underlined are added~ Words Struck Through are deleted. Page 4 of 4 .1 U.5'-" 1 V.l .1 Agenda Item No. 16021 September 15, 2009 Page 7 of 9 COLLIER COUNTY BOARD OF COUNTY COMMISSIONERS Item Number: 16D21 Item Summary: Recommendation that the Board of County Commissioners approves, and authorizes the Chairman to sign, a Resolution amending the State Housing Initiative Partnership (SHIP) program 2004-2007 Local Housing Assistance Plan (LHAP) to increase the maximum award for owner-occupied rehabilitation and authorize an amendment to Ordinance 94-39, as amended, relating to the Residential Rehabilitation Program, 9/15/2009 90000 AM Meeting Date: Prepared By Frank Ramsey SHIP Program Coordinator Date Public Services Housing and Human Services 8/19/20099:22:55 AM Approved By Marcy Krumbine Director Date Public Services Housing & Human Services 8/19/2009 11 :09 AM Approved By Kathy Carpenter Executive Secretary Date Public Services Public Services Admin. 8/20/200910:21 AM Approved By Marlene J. Foord Grants Coordinator Date Administrative Services Administrative Services Admin. 8/21/20099:48 AM Approved By Marla Ramsey Public Services Administrator Date Public Services Public Services Admin. 8/28/2009 12:42 PM Approved By Colleen Greene Assistant County Attorner Date County Attorney County Attorney Office 9/8/20094:32 PM Approved By Sherry Pryor Management & Budget Analyst Date County Manager's Office Office of Management & Budget 9/9/200912:34 PM Approved By Leo E. Ochs, Jr. Deputy County Manager Date Board of County Commissioners County Manager's Office 9/9/2009 2:42 PM RESOLUTION NO. 2009- Agenda Item No. 16D21 September 15, 2009 Page 8 of 9 A RESOLUTION OF THE BOARD OF COUNTY COMMISSIONERS OF COLLIER COUNTY, FLORIDA, AMENDING THE LOCAL HOUSING ASSISTANCE PLAN FOR FISCAL YEARS 2004-2005, 2005-2006, AND 2006-2007; AMENDING MAXIMUM AWARD FOR OWNER-OCCUPIED REHABILITATION; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the Florida State Legislature enacted the William E. Sadowski Affordable Housing Act on July 7, 1992 (the "Act"), Section 420.907, et seq., Florida Statutes, and Chapter 91-37, Florida Administrative Code, as a comprehensive funding package for state and local housing programs to better enable local governments to meet their responsibilities for affordable housing in accordance with their comprehensive plans; and WHEREAS, the Board of County Commissioners of Collier County, Florida, enacted Collier County Ordinance No. 93-19 on April 13, 1993, codified as Article III of Chapter 114 of the Collier County Code of Laws and Ordinances, known as the Collier County Housing Initiatives Pminership (SHIP) Program; and WHEREAS, through Resolution No. 2007-96, the Board of County Commissioners adopted a new three year Local Housing Assistance Plan (LHAP) outlining the intended use of SHIP funds for fiscal years 2008-2010; and \VHEREAS, Resolution No. 2007-96 increased the maximum award residential rehabilitation from $15,000 per unit to $30,000; and WHEREAS, during the 2008-2009 SHIP Program Management Review and Physical Inspection it was detennined that the increase in the maximum award set forth in the 2008-2010 LHAP for residential rehabilitation had not been retroactive to the 2004- 2007 LHAP; and Page 1 of2 Agenda Item No. 16D21 September 15, 2009 WHEREAS, this Resolution will correct this inconsistency and authorize tR@ge 9 of 9 Board to ratify the expenditure of up to $30,000 for residential rehabilitation with SHIP funds received under the 2004-2007 LHAP; and WHEREAS, the Collier County Department of Housing and Human Services recommends amending Ordinance No. 94-39 to increase the maximum award for owner- occupied rehabilitation for consistency with the Collier County 2008 Local Housing Assistance Plan. NOW THEREFORE, be it resolved by the Board of County Commissioners of Collier County, Florida, that the Collier County and City of Naples, FL SHIP Program LHAP for the State of Florida fiscal years 2008-2010 is hereby amended as set forth in such attachment. BE IT FURTHER RESOLVED that Board of County Commissioners authorizes staff to advertise an amendment to Ordinance No. 94-39 and return for approval at a future Board of County Commissioners' meeting. BE IT FURTHER RESOLVED that this Resolution shall become effective immediately upon its approval and that it be recorded in the minutes of this Board. This Resolution adopted after motion, second and majority vote this 15th day of September, 2009. ATTEST: DWIGHT E. BROCK, CLERK BOARD OF COUNTY COMMISSIONERS COLLIER COUNTY FLORIDA By: By: , Deputy Clerk DONNA FIALA, CHAIRMAN Approved as to legal fonn and sufficiency: Colleen Greene Assistant County Attorney Page 2 of2