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Agenda 03/28/2017 Item #16D 903/28/2017 EXECUTIVE SUMMARY Recommendation to approve and authorize the Chairman to sign one satisfaction of mortgage for a first-time home buyer of an affordable housing unit that has satisfied the terms of assistance for the Collier County Neighborhood Stabilization Program and authorize a budget amendment recognizing the program income. OBJECTIVE: To support the affordability in Collier County using down payment assistance programs for low-income first time homebuyers of housing. CONSIDERATIONS: Collier County offered Direct Homeownership assistance in conformance with CFR 570.201(n) for homes that were acquired through the Neighborhood Stabilization Program (NSP). Direct Homeownership assistance was provided to the homeowner in the form of a down payment second mortgage at 0% interest. The NSP Substantial Amendment which serves as the NSP Action Plan was approved by the Board on November 18, 2008, Item 16D3. Regarding homeowner assistance, the Action Plan states that no repayment will be required until the home is sold, transferred, refinanced, is no longer the primary homesteaded residence, or is operated for an activity deemed ineligible for assistance under NSP guidelines. At that time the balance of the loan will be repaid (page 15). At this time, one NSP assisted homeowner has refinanced and repaid the loan balance in full, and a satisfaction of mortgage has been created. A homeowner-signed Declaration of Restrictive Covenants is being recorded to retain the NSP affordability requirements. The following table details one client who is entitled to a satisfaction of mortgage due to repayment of the NSP funds. Name(s) Grant Address Recording Date OR Book Page Loan Amount being Satisfied Karynn M. Cavero NSP 2224 50th Terrace SW 08/02/2011 4707 564 $38,610.00 TOTAL $38,610.00 Approval of this item will authorize the Chairman to sign the aforementioned satisfaction of mortgage, and the executed document shall be recorded in the Public Records of Collier County, Florida. FISCAL IMPACT: A budget amendment is necessary to recognize current year program income revenue in the amount of $38,610.00 within Urban Improvement Grants, Fund 121, NSP1 Project 33050. The repaid amount satisfies the mortgage amount . The borrower will pay the $10 recording fee. GROWTH MANAGEMENT IMPACT: There is no growth management impact associated with this Executive Summary. LEGAL CONSIDERATIONS: This item is approved as to form and legality and requires a majority vote for Board approval. -JAB STAFF RECOMMENDATION: To approve and authorize the Chairman to sign one satisfaction of mortgage for an affordable housing unit that has satisfied the terms of assistance. 03/28/2017 Prepared by: Elizabeth Hernandez, Grant Support Specialist, Community & Human Services Division ATTACHMENT(S) 1. Satisfaction of Mortgage-NSP-Cavero (PDF) 2. Mortgage-NSP-Cavero (PDF) 3. SAP Backup (PDF) 4. Declaration of Restrictive Convenants (PDF) 5. NSP 1 Original Substantial Amendment (Action Plan) 2008 11-18 (PDF) 03/28/2017 COLLIER COUNTY Board of County Commissioners Item Number: 16.D.9 Doc ID: 2750 Item Summary: Recommendation to approve and authorize the Chairman to sign one satisfaction of mortgage for a first time home buyer of an affordable housing unit that has satisfied the terms of assistance for the Collier County Neighborhood Stabilization Program and authorize a budget amendment recognizing the program income. Meeting Date: 03/28/2017 Prepared by: Title: – Community & Human Services Name: Elizabeth Hernandez 02/15/2017 10:28 AM Submitted by: Title: Division Director - Cmnty & Human Svc – Public Services Department Name: Kimberley Grant 02/15/2017 10:28 AM Approved By: Review: Community & Human Services Kristi Sonntag Additional Reviewer Completed 02/15/2017 1:27 PM Public Services Department Kimberley Grant Additional Reviewer Completed 02/16/2017 8:29 AM Community & Human Services Georgia Regis Additional Reviewer Completed 02/16/2017 11:28 AM Public Services Department Amanda O. Townsend Additional Reviewer Completed 02/23/2017 11:52 AM Public Services Department Joshua Hammond Additional Reviewer Completed 02/23/2017 6:24 PM Community & Human Services Maggie Lopez Additional Reviewer Completed 02/23/2017 6:56 PM Public Services Department Hailey Margarita Alonso Level 1 Division Reviewer Completed 03/08/2017 9:36 AM County Attorney's Office Jennifer Belpedio Level 2 Attorney of Record Review Completed 03/08/2017 2:44 PM Grants Erica Robinson Level 2 Grants Review Completed 03/08/2017 3:24 PM Public Services Department Steve Carnell Level 2 Division Administrator Review Completed 03/09/2017 4:45 PM Office of Management and Budget Valerie Fleming Level 3 OMB Gatekeeper Review Completed 03/14/2017 11:29 AM County Attorney's Office Jeffrey A. Klatzkow Level 3 County Attorney's Office Review Completed 03/15/2017 9:02 AM Grants Therese Stanley Additional Reviewer Completed 03/16/2017 1:54 PM Budget and Management Office Ed Finn Additional Reviewer Completed 03/20/2017 2:51 PM County Manager's Office Nick Casalanguida Level 4 County Manager Review Completed 03/20/2017 9:33 PM Board of County Commissioners MaryJo Brock Meeting Pending 03/28/2017 9:00 AM Prepared by: Elizabeth Hernandez Collier County Community and Human Services 3339 E. Tamiami Trail Naples, FL 34112 THIS SPACE FOR RECORDING SATISFACTION OF MORTGAGE KNOW ALL MEN BY THESE PRESENTS: That COLLIER COUNTY, whose post office address is 3299 E TAMIAMI TRAIL, NAPLES, FLORIDA 34112, the owner(s) and holder(s) of a certain Mortgage executed by Karynn M. Cavero, a single woman to COLLIER COUNTY, dated 07/27/2011 and recorded on 08/02/2011 in Official Records Book 4707 Page 564 of the Public Records of Collier County, Florida, securing a principal sum of $38,610,00 and certain promises and obligations set forth in said Mortgage, upon the property described in the aforementioned mortgage. COLLIER COUNTY hereby acknowledges full payment and satisfaction of said Mortgage, and surrenders the same as cancelled, and hereby directs the Clerk of said Circuit Court to cancel the same of record. This Satisfaction of Mortgage was approved by the Board of County Commissioners on ATTEST: DWIGHT E. BROCK, CLERIC , DEPUTY CLERK Approval for form and legality: 2017, Agenda Item Number BOARD OF COUNTY COMMISSIONERS OF COLLIER COUNTY, FLORIDA M Penny Taylor, Chairman Jennifer A. Belpedio Assistant County Attorney INSTR 4592471 OR 4707 PG 564 RECORDED 8/2/2011 3:54 PM PAGES 4 DWIGHT E. BROCK, CLERK OF THE CIRCUIT COURT, COLLIER COUNTY FLORIDA DOC@.35 $135.45 REC S35.50 OBLD $38,610.00 OBLI $0.00 I �j F3 NEIGHBORHOOD STABILIZATION PROGRAM Property Address: 2224 60th Terece SW, Naples. FL 34116 Folio Number. 36116230005 RECORD AND RETURN TO: COWER COUNTY HOUSING, HUMAN Is VETERAN SERVICES 3339 TAMIAMI TRAIL EAST, SURE 212 APLES FL34112 13TTT2nT-TAR1IP T THIS PURCHASE MONEY SECOND MORTGAGE CSecudly Instrument-) is given on 7%1 of - — , 2011. The Purchase Money Second Mortgagor is KARYNN M. CAVERO, a single woman, ("Borrower'). This Se—icl rity I>�nl is given to COLLIER COUNTY, a Political Subdivision of the State of Florida ("Lemfer'), whose address is 3336 Tamlaml Trial[ East, Suite 1D1, Naples, Florida 34112-5366. Borrower owes Lender the sum of THIRTY-EIGHT THOUSAND, SIX -HUNDRED TENAND NO1100 DOLLARS ($38,610.OD) in US currency. This debt is evidenced by Borrowers Note dated the same date as this Security instrument ("Purchase Money Second Mortgage"), which provides for monthly payments, With the full debt, if not paid earlier, due and payable upon sale of property, refinance, or loss of homestead exemption . This Security Instrument secures to Lender. (a) the repayment of the debt evidenced by the Note, with interest, and all renewals, extensions and modifications; (b) the payment of all other sums, with interest advanced under paragraph 7 to protect the security of the Security Instrument; and (o) the performance of Borrowers Covenants and agreements under this Security instrument and the Note. For this purpose, Borrower does hereby mortgage, grant and Convey to Lender the following described property located In Collier County, Florida. As more particularly described as, Lot 12, Block 126, Pages 107 through lie, of the Public Records of Ce Terrace SW, Naples, Florida 34116. ' TOGETHER WITH all the Improveme royalties, mineral, oil and gas rights and profits, and etlditlons shall also be covered by the Secu BORROWER COVENANTS that Barr convey the Property and that the Property is u (?".L the title to the Property against all claims and d THIS SECURITY INSTRUMENT Co jurisdiction to constitute a uniform security Inst UNIFORM COVENANTS. eortower ".Payment of Principal and Intoner interest on the debt evidenced by the Note, 2. Taxes. The Mortgagor will Pay all ig to the plat thereof as recorded in plat Book 6, has the address Of: ("Property Address"): 2224 60th erected on the , and all easements, rights, appurtenances, rents, * and all f lures n or reafter a pari of the properly. All replacements is role ed t n this Security Instrument as the "Properly'. he Sala hereby nv yed and has the right to mortgage, grant and rd. Borrower warrants and Will defend generally Nye Cod. 6,.r . na es an no -uniform covenants with limited variation by ...,,V Late Late ChaB rto (� II promptly pay when due the principal of and . sewer ren o !'ref prior to the accrual of any penalties or Interest thereon. The Mortgagor shall pay or cause to be pal , e,�a respacti due, (a) all taxes and governmental charges of any kind whatsoever which may at any time be lawfully ease d$r' �qggyy r aspect to the Property. (b) all utility and other charges, Including "service charges", Incurred or imposed for the opera ml6aah occupancy, upkeep and Improvement of the Properly, and (c) all assessments or other governmental charges that may lawfully a paid in installments over a period of years, the Mortgagor shall be obligated under the Mortgage to pay or cause to be paid only such Installments as are required to be paid during the term of the Mortgage. 3. Application of Payments. Unless applicable law provides otherwise, all payments received by Lender shall be applied; first. to interest due; and, to principal due; and last, to any late charges due under the Note. 4. Charges; Liens. Borrower shall pay all taxes, assessments, charges, fines and imposlllons attributable to the Property which may attain priority over this Security Instrument, and leasehold payments of ground rents, If any. Borrower shall promptly discharge any lien which has priority over this Security Instrument unless Borrower. (a) agrees in writing to the payment of the obligation secured by the lien in a manner acceptable to Lender, (b) Contests, in good faith the lien by, or defends against enforcement of the Igen In, legal proceedings which in the Lenders opinion operate to prevent the enforcement of the lien; or (c) secures from the holder of the lien an agreement satisfactory to Lender subordinating the lien to this Security Instrument. If Lender determines that any part of the Property is subject to a lien which may attain priority over the Security Instrument, Lender may give Borrower a notice identifying the lien. Borrower shall satisfy the lien or take one or more of the actions set forth above within 10 days of the giving of notice. 6. Hazard or property Insurance. Borrower shall keep the improvements now existing or hereafter erected on the Property Insured against loss by fire, hazards Included within the term "extended Coverage" and any other hazards, Including goods or flooding, for which Lender requires insurance. This insurance shall be maintained in the amounts and for the periods that Lender requires. The Insurance carder providing the insurance shall be chosen by Borrower subject to Lenders approval which shall not be unreasonably withheld. If Borrower falls to maintain coverage described above, Lender may, at Lenders option, obtain coverage to protect Lenders rights in the Property In accordance with paragraph 7. At all times that the Note Is outstanding, the Mortgagor shall maintain insurance with respect to the Premises against such risks and for such amounts as are customarily insured against and pay, as the same become due and payable, all premiums in respect thereto. Including, but not limited to , all-risk Insurance protecting the interests of the Mortgagor and Mortgagee against loss or damage to the Premises by fire, lightning, and other casualties customarily insured against, with a uniform standard extended Coverage endorsement, Including debris removal Coverage. Such insurance at all times to be in an amount not less than the full replacement cost of the Premises, exclusive of footings and foundations. All Insurance policies and renewals shall be acceptable to Lender. Lender shall have the right to hold the policies and renewals. If Lender d premiums and renewal he vent give prompt requires. notice to the insurance carrierr and Lender. Lender may make) notices. give to Lender all prroof of loss If not made proptly bytBorrrof loss, Borrower shall Borrower. OR 4707 'PG 565 Unless Lender and Borrower otherwise agree in writing, Insurance proceeds shall be applied to restoration or repair or the Property damaged, if the restoration or repair is economically feasible and Lenders security Is not lessened. If the restoration or repair is not economically feasible or Lenders secudly would be lessened, the Insurance proceeds shall be applied to the sums secured by the Security Instrument, whether or not then due, with any excess paid to Borrower. If Borrower abandons the Property, or does not answer within 30 days a notice from Lender that the insurance carder has offered to settle a claim, then Lender may collect the insurance proceeds. Lender may use the proceeds to repair or restore the Property or to pay sums sec by this Severity instrument, whether or not then due. The 30 -day period will begin when the notice is mailed. Unless Lender and Borrower otherwise agree in writing, any application of proceeds to principal shall not extend or postpone the due date of the monthly payments referred to in paragraph t or change the amount of the payments. If under paragraph 21 the Properly is acquired by Lender, Borrowers right to any Insurance policies and proceeds resulting from damage to the Property prior to the acquisition shall pass to Lender to the extent of the sums secured by this Security Instrument immediately prior to the acquisition. S. Occupancy, Preservation, Maintenance and Protection of the Property; Borrower's Loan Application, Leaseholds. Borrower shall occupy, establish, and use the Property as Borrowers principal residence within sixty days after the execution of this Security Instrument and shall continue to occupy the Property as Borrowers principal residence for full term as described in the note, unless Lender otherwise agrees In writing, which consent shall not be unreasonably withheld, or unless extenuating circumstances exist which are beyond Borrowers control. Borrower shall not destroy, damage, or impair the Property, allow the Properly to deteriorate, or commit waste on the Property. Borrower shall be In default if any forfeiture action or proceeding, whether civil or criminal, is begun that in Lenders good faith judgment could result in forfeiture of the Property or otherwise materially Impair the lien created by this Security Instrument or Lenders security Interest. Borrower may cure such a default and reinstate, as provided In paragraph 18, by causing the action or proceeding to be dismissed with a ruling that, in Lenders good faith determination, precludes forfeiture of the Borrowers interest in the Properly or other material Impairment of the lien created by this Security Instrument or Lenders security Interest. Borrower shall also be In default if Borrower, during the loan application process, gave materially false or inaccurate Information or statements to Lender (or failed to provide Lender with any material information) in connection with the loan evidenced by the Note. Including, but not limited to, representations concerning Borrowers occupancy of the Property as a principal residence. If this Security Instry;qn Id, Borrower shall comply with all the provision of the lease. If Borrower acquires fee title to the Property, the leasehol Agit, a unless Lender agrees to the merger in writing. 7. Protection of Lenders Rights In the P orrower the covenants and agreements contained in this Security Instrument, or there is a legal proceedin y significantly affect rights In the Property (such as a proceeding in bankruptcy, probate, for condemnation or forfeilu or to laws or regulations), I n Le der may do and pay for whatever is necessary to protect the value of the Property and Lenders r let t L riders ctions aIn y ude paying any sums secured by a lien which has priority over this Security Instrument, appe Ing co 4,'¢ey'ng reasons domeys fees and entering on the Property to make repairs. Although Lender may take action under this arag a an oe a o d y amounts disbursed by Lender under this paragraph 7 shall become additional debt of 0 rro s b is e e . Unle s Borrower and Lender agree to other terms of payment, these amounts shall bear interest fro he date f isb rs e a N ra a an shall be payable, vrith Interest, upon notice from Lender to Borrower requesting payment. 8. Mortgage Insurance. If an r i rt s es it making the loan secured by this Security Instrument, Borrower shall pay the premiums I to maintain the mortga insu ce i . If, for any reason, the mortgage insurance coverage required by Lender lapses or as in effect. Borrower sh ay he ms required to obtain coverage substantially equivalent to the mortgage insurance previously I. at a cost substantial u a he cost to Borrower of the mortgage insurance previously in effect, from an alternate mortgage i roved by Lender. If su I I equivalent mortgage Insurance coverage Is not available, Borrower shall pay to Lender each mont qual to one•twelft a eady mortgage insurance premium being paid by Borrower when the Insurance coverage lapsed or ceas i pt, use and retain these payments as a loss reserve in lieu of mortgage Insurance. Loss reserve payments me - e option of Lender, If mortgage Insurance coverage (in the amount and for the period that Lender requires) provided proved by Lender again becomes available and is obtained. Borrower shall pay the premiums required to maintain mortgage insurance in effect, or to provide a loss reserve, until the requirement for mortgage insurance ends in accordance with any written agreement between Borrower and Lender or applicable law. 8. Inspection. Lender or Its agent may make reasonable entries upon and inspections of the Property. Lender shall give Borrower notice at the time of or prior to an Inspection specifying reasonable cause for the Inspection. 10. Condemnation. The proceeds of any award or claim for damages, direct or consequential, In connection with any condemnation or other taking of any part of the Property, or for conveyance in lieu of condemnation, are hereby assigned and shall be paid to Lender. In the event of a total taking of the Property, the proceeds shall be applied to the sums secured by this Security Instrument, whether or not then due, With any excess paid to Borrower. In the event of a partial taking of the Property, in which the fair market value of the Property Immediately before the taking Is equal to or greater than the amount of the sums secured by this Security Instmment immediately before the taking, unless Borrower and Lender otherwise agree in writing, the sums secured by this Security Instrument shall be reduced by the amount of the proceeds multiplied by the following fraction: (a) the total amount of the sums secured immediately before the taking, divided by (b) the fair market value of the Property Immediately before the taking. Any balance shall be paid to Borrower. In the event of a partial taking of the Property in which the fair market value of the Property immediately before the faking is less than the amount of the sums secured Immediately for the taking, unless Borrower and Lender otherwise agree In writing or unless applicable law otherwise provides, the proceeds shall be applied to the sums secured by this Security Instrument whether or not the sums are then due. Unless Lender and Borrower otherwise agree in writing, any application of proceeds to principal shall not extend or postpone the due dale of the monthly payments referred to in paragraphs 1 or change the amount of such payments. 11. Borrower Not Released, Forbearance by Lender Not a Waiver. Extension of the time for payment or modification of amortization of the sums secured by this Security Instrument granted by Lender to any successor in Interest of Borrower shall not operate to release the liability of the original Borrower or Borrowers successors in Interest Lender shall not be required to commence proceedings against any successor in Interest or refuse to extend time for payment or otherxise modify amort@ation of the sums secured by this Security Instrument by reason of any demand made by the original Borrower or Borrowers successors in Interest. Any forbearance by Lender in exercising any right or remedy shall not be a waiver of or preclude the exercise of any light or remedy. 12. Successors and Assigns Bound; Joint and Several Liability; Co -Signers. The covenants and agreements of this Security Instrumencovenantstand lagreements shall be joint and several. Any Borrower who co-signs this Security Instrument but does not execute the Note; (a) is OR 4707 PG 566 co-signing this Security Instrument only to mortgage, grant and convey that Borowers interest in the Property under the terms of this Security Instrument; (b) is not personally obligated to pay the sums secured by this Security Instrument; and (c) agrees that Lender arid any other Borrower may agree to extend, modify, forbear or make any accommodations with regard to the terms of this Security instrument or the Note without that Borrowers consent. 13. Loan Charges. If the loan secured by this Security Instrument is subject to a law which sets maximum loan charges, and that law is finally Interpreted so that the interest or other loan charges collected or to be collected in connection with the loan exceed the permitted limits, then: (a) any such loan charge shall be reduced by the amount necessary to reduce the charge to the permitted limit; and (b) any sums already collected from Borrower which exceeded permitted limits will be refunded to Borrower. Lender may choose to make this refund by reducing the principal owed under the Note or by making a direct payment to Borrower. If a refund reduces principal, the reduction will be treated as a partial prepayment without any prepayment charge under the Note. 14. Notices. Any notice to Borrower provided for in this Security Instrument shall be given by delivering it or by mailing ii by first Gass mall unless applicable law required use of another method. The notice shall be directed to the Property Address or any other address Borrower designates by notice to Lender. Any notice to Lender shall be given to Borrower or Lender when given as provided In this paragraph. 16. Governing Law; Severability. This Security Instrument shall be governed by federal law and this law of the jurisdiction in which the Property Is located. In the event that any provision or clause of this Security Instrument or the Note conflicts with applicable law, such conflict shall not affect other provisions of this Security Instrument or the Note which can be given effect without the conflicting provision. To this end the provisions of this Security Instrument and the Note are declared to be severable. 16. Borrower's Copy. Borrower shall be given one conformed copy of the Note and of this Security Instrument. 17. Transfer of the Property or a Beneficial Interest in Borrower. If all crony part of the Property or any interest in Itis sold or transferred (or if a beneficial Interest in Borrower is sold or transferred end Borrower is not a natural person) without Lender's prior written consent, Lender may, at its option, require Immediate payment in full of all sums secured by this Security Instrument. However, this option shall not be exercised by Lender if exercise Is prohibited by federal law as of the date of this Security Instrument If Lender exercised this option, Lender shall give Bonower n The notice shall provide a period of not less than 30 days from the date the notice is delivered or mailed within whtc�a�pr s secured itby tbs this SecuritimInstrument w lhout further falls r pay these sums prior to the expiration of this period V invoke a Y Y notice or demand on Borrower. v 18. Borrower's Right to Reinstate. If o r meets certain conditions, row shall have the right to have enforcement ofthis Security Instrument discontinued al any time 'ort t C a 5 s or ch her period as applicable law may specify for reinstatement) before sale of the Properly pu uan o r of sale t lined in Is eurity instrument; or (b) entry of a judgment enforcing this Security Instrument. Those con d!on B r, s ender at sum which then would be due under alliex Security Instrument and the Note as if no acceleration ad o u r u a y r s enants or agreements; (c) pays p Incurred in enforcing this Security instrument, nclu ng, but 1 I it d , re a m Ys t as; and (d) takes such action as Lender may reasonably require to assure that the lien of th ri I n , n e right n a r and Borrowers obligation to pay the sums secured by this Security Instrument shall cent n Co. r me o , this Security Instrument and t(ethe obliggations of secured hereby shall remain fully effective as ,y, cceleration had occure How ver, ghl to reinstate shall not apply acceleration under paragraph 17. 19. Sale of Note; Change of Loan Se The Note or a partial e i ate (together with this Security Instrument) may be sold one or more limes without prior notice to r. A sale may result in dgg in the entity (known as the "Loan Servicer') that collects monthly payments due under the Note and i�q, fly Instrument. T 14o ay be one or more changes of the Loan Servicer unrelated to a sale of the Note. If there is a change of a given written notice of the change in accordance with paragraph 14 and applicable law. The notice will slate lit new Loan Servicer and the address to which payments should be made. The notice will also centain any other informau pplicable law. 20. Hazardous Substances. Borrower shall not cause or permit the presence, use, disposal, storage, or release of any Hazardous Substances on or in the Property. Borrower shall not do, nor allow anyone else to do, anything affecting the Property that is in violation of any Environmental Law. The preceding two sentences shall not apply to the presence, use, or storage on the Property of small quantities of Hazardous Substances that are generally recognized to be appropriate to normal residential uses and to maintenance of the Property. Borrower shall promptly give Lender written notice for any investigation, claim, demand, lawsuit or other action by any governmental or regulatory agency or private party Involving the Property and any Hazardous Substance or Environmental Law of which Borrower has actual Hazardous Substance affecting the Property isorrower leams, or is notified bnecessary,ernmental or Borrower shale regulatory y take rall,that necenecessary medial actions in aal or other edlation of ccordance witany Environmental Law. As used in this paragraph 20, "Hazardous Substances" are those substances defined as toxic or hazardous substances by Environmental Law and the following substances: gasoline, kerosene, other flammable or toxic petroleum products, toxic pesticides and herbicides, volatile solvents, materials containing asbestos or formaldehyde, and radioactive materials. As used in this paragraph 20, "Environmental Lew" means federal laws and laws of the jurisdiction where the Properly is located that relate to health, safety or environmental protection. 21. Acceleration; Remedies. Lender shall give notice to Borrower prior to acceleration following Borrowers breach of any covenant or agreement in this Security Instrument (but not prior to acceleration under paragraph 17 unless applicable law provides otherwise). The notice shall specify: (a) the default; (b) the action required to cure the default; (c) a date, not less than 30 days from the date the notice is given to Borrower, by which the default must be cured; and (d) that failure to cure the default on or before the date specified In the notice may result In acceleration of the sums secured by this Security Instmment, foreclosure by judicial proceeding and sale of the Property. The notice shall further inform Borrower of the right to reinstate after acceleration and the right to assert In the foreclosure proceeding the nonexistence of a default or any other defense of Borrower to acceleration and foreclosure. If the default is not cured on or before the date specified in the notice. Lender, at its option, may require immediate payment in full of all sums secured by this Security Instrument without further demand and may foreclose this Security Instrument by judicial proceeding. Lender shall be entitled to collect all expenses incurred in pursuing the remedies provided in this paragraph 21, Including, but not limited to, reasonable attomeys fees and costs of the title evidence. 22. Release. Upon payment of all sums secured by this Security Instrument, Lender shall release this Security Instrument, without charge, to Borrower. Borrower shall pay any recordation costs. *** OR 4707 PG 567 *** 23. Attomeys' Fees. As used in this Security Instrument and the Note, "attomeys' fees" shall include any ahomays' fees awarded by an appellate court. 24. Special Covenants. Subsidy Retention. a. Fair Market Value: Fair Markel Value is the market value of the Property as reasonably determined by appraisal. Lender and Homeowner shall mutually select an appraiser whose determination shall be deemed Fair Market Value. If Lender and Homeowner cannot mutually agree on an approlser, each shall select an appraiser who shall each submit an appraisal. If the two appraisals differ, then the average of the two appraisals shall be deemed the Fair Market Value. All costs of appraisal shall be bome by Homeowner. b. Term: The Subsidy Retention requirement shall commence upon transfer of title to the Property to Homeowner and shall end on the later of (1) the original maturity date of the Note; or (ii) fifteen (15) years. c. Purpose: The subsidy retention amount is the amount necessary to reduce the purchase price to an affordable level for the qualifying Homeowner having an Income below one hundred twenty percent (120%) of the Area Median Income ('AMI). d. Index: U.S. Department of Labor Bureau of Labor Statistics consumer Price Index - All Urban Consumers Miami -Fart Lauderdale, Florida Area, effective date of proposed transfer. e. Appreciation Limitation: Should Homeowner desire to transfer the Property prior to maturity dale of the Note and Mortgage, appreciation shall be limited to the original purchase price plus annual appreciation based upon the Index defined in section (I)(d) of this Mortgage. For example, assume the Homeowner purchases the home for $175,000 and there Is a 3% annual Income inflation as determined by the Index, then at the end of five years the house will be worth $202,873.00 representing the projected Homeowner equity of $27,873.- Notwithstanding that the Property could be sold for a greater Fair Market Value than $202.873,$202,873 will be th m allowable purchase price the house can be sold for, and only to an income qualified Applicant, approved a ty and Human Services. f. Joint and Several Liability: EacVint p oi�er/'�gpg s Homeowner shall be jointly and severally liable for each and every obligation arising � ` 318 SIGNING BELOW, Borrower accepts and by Borrower and recorded with it. Signed, sealedgend delivered in the preser Instrument and In any rider(s) executed Mandalay Circle, Naples, Florida 34112 STATE OF FLORIDA COUNTY OF COLLIER I hereby certify that on this day, before me, an officer duly authorized in the state aforesaid and In the county aforesaid to take acknowledgements, personally appeared KARYNN M. CAVERO to me known to be the person(s) described in and who executed the foregoing instrument and acknowledged before me that (He/ she/ they) executed the some for the purpose therein expressed. WITNESS my hand and official seal in the County and Stale aforesaid this day of -1.ft--- 2011. My Commission Expires:CIS NoWr-y P ub lilics Signa r g (Seal) / `'J-rv- `r '� 1 —7 Notary's Printed Name giffi TAYLORn#OD 891857ay 21 2013rrmrr'.+exwsmra WBS Element -.1 Fund J Cost Elem. r) Cost element name j Doc. Text I Ref Document No { Posting Date - -lE. yaIjCOAma Crcy 33050.1 - - a 121 369600 GRANT PROGRAM 1NCO14E CHS ! 100850368 -01(10/2017 3,861.00 369600ra GRANT PROGRAM INCO - 3,861.0f)- ,861.0033050.1 33050.1 b .. 3,861.00 33050.2.42 - i121 1369600 GRANT PROGRAM INCO14E CHS - 100850368 01(10/2017 34,749.00- 369600 GRANT PROGRAM INCO„ - 34,749.00 33050.2.42 LS .. 34,749.00 L.. 38,61O.00 FEB 2'17 fiats;: 01 DECLARATION OF RESTRICTIVE COVENANTS This Declaration of Restrictive Covenants, hereinafter referred to as Declaration, is made and entered into on the 21 day of June, 2011, by Karynn M. Cavero, her successors and assigns, hereinafter referred to as "the Owner", in favor and for the benefit of COLLIER COUNTY, a political subdivision of the State of Florida ("COUNTY"), for the property legally described below. Lot 12, Block 125 Golden Gate, Unit 4, according to the plat thereof as recorded in Plat Book 5, Pages 107 through 116, of the Public Records of Collier County, Florida and which has the address of ('Property Address"): 2224 50th Terrace SW, Naples, Florida 34116. Parcel Number 36116280005 hereinafter referred to as "Property". WITHESSETH: 1. The Owner agrees to all terms of the Neighborhood Stabilization Program ("NSP") as funded by the Federal Housing and Urban Development (NSP/HUD) program as set forth in the Collier County NSP Action Plan, as amended. 2. Owner had repaid the down payment assistance provided under the terms of the Purchase Money Mortgage recorded in Official Records Book 4707, Page 555 of the Official Records of Collier County, Florida, and agrees that the subsidy retention requirements and definitions set forth therein continue to apply to the Property until June 22, 2026 as follows: a. Fair Market Value: Fair Market Value is the market value of the Property as reasonably determined by appraisal. Lender and Homeowner shall mutually select an appraiser whose determination shall be deemed Fair Market Value. If Lender and Homeowner cannot mutually agree on an appraiser, each shall select an appraiser who shall each submit an appraisal. If the two appraisals differ, then the average of the two appraisals shall be deemed the Fair Market Value. All costs of appraisal shall be borne by Homeowner. b. Term: The Subsidy Retention requirement commenced upon transfer of title to the Property to Owner and shall end on June 22, 2026 . c. Purpose: The subsidy retention amount is the amount necessary to reduce the purchase price to an affordable level for the qualifying homeowner having an income below one hundred twenty percent (120%) of the Area Median Income (AMI). d. Index: U.S. Department of Labor Bureau of Labor Statistics Consumer Price Index — AII Urban Consumers Miami -Fort Lauderdale, Florida Area, effective date of proposed transfer. e. Appreciation Limitation: Should Owner desire to transfer the Property prior to June 22, 2026, appreciation shall be limited to the original purchase price plus annual appreciation based upon the Index defined in section (d) of this document. For example, assume the Homeowner purchases the home for $175,000 and there is 3% annual income inflation as determined by the Index, then at the end of five years the house will be worth $202,873.00 representing the projected Homeowner equity of $27,873. Notwithstanding the Property could be sold for a grater Fair Market Value than $202,873, $202,873 will be the maximum allowable purchase price the house can be sold for, and only to an income qualified applicant, approved by the Collier County Community and Human Services (FKA, Collier County Housing and Human Services). f. Joint and Several Liability: Each person executing this Mortgage as Homeowner shall be jointly and severally liable for each and every obligation arising hereunder. For the term of this Declaration, each and every contract, deed, or other instrument hereafter executed conveying the property or portion thereof shall expressly provide that such conveyance is subject to this Declaration, provided, however, that these covenants contained herein shall survive and be effective regardless of whether such contracts, deed or other instrument conveyance is subject to this Declaration. Upon expiration of the period during which Owner is obligated to operate the Property in accordance with the Subsidy Retention requirement this Declaration shall terminate and shall no longer be effective. [SIGNATURE AND NOTARY PAGE TO FOLLOW] f r Witness�gnature Print: r - a"F'Y 41( f'✓ STATE OF FLORIDA COUNTY OF COLLIER AaSwornto nd subscribed before me ` ly (name), perso ally known to me or has produced _ Owner By. Print: this 907%day of as identification. WITNESS my hand and official seal this ;060 day of (affix notarial seal) BENERITA BROPHY eE Notary Public •Slate of Florida Commission M FF 948942 My Comm. Expires Jan 10, 2020 Approved as to form and legality: Ic K ilc— --� JERft IFER A. BE P DIO Assistant County A rney 201? by who is NOTARY PUBLIC Serial/Commission: My Commission Expires: ORIGINAL DOCUMENTS CHECKLIST c& ROUTING SLIP 160 TO ACCOMPANY ALL ORIGINAL DOCUMENTS SENT TO THE BOARD OF COUNTY COMMISSIONERS OFFICE FOR SIGNATURE: Print on pink paper, Aunch to original document. Origimd docunrents should be hand delivered to the Board Onice.'the completed (calling .slip mid original documents are to be forwarded to the Board Otuae only aftett the Bowd has taken action mi the item.) ROUTING SLIP Complete muting lines til through 94 as appropriate fiir additional sibmamres, dmo, and/or info oration needed. if the document is already enmplcic with the exception arthe Chairman's shimmure, draw a line through routing lines NI throunh 94, complete the dieeklist, and forward to Sue Filson Vinek5). Route to Addressee(s) List in routing order) Office Initials Date (,Frank Ramsey Housing and Human Service (Initial Applicable) 2. Chairman Tom Henning BCC Agenda item Number I6D_ j 3. signed by the Chairman, with the exception of most letters, must be reviewed and signed 4, Amendment Number of Original 1 5. Sue Filson, Executive Manager Board of County Commissioners Documents Attached 6, Minutes and Records Clerk of Cowl's Office PRIMARY CONTACT INFORMATION (The primary contact is the holder ordu original document pendhrg BCC approval. Normally the primary contact is ate person who comted'prepared the executive summary. Primary contact information is needed in the event one ol'die addressees above, incl (ding Ste I'ilsan. need to "hies sbt rflir additional or missing infornatioa All original documents needing die RCC Chairman's si;ymture are to be delivered to the BC'C olf ice oulp altar the RCC tins acted to approve the item.) Name of Primary Staff Frank Ramsey, Housing Manager Phone Number 252-2336 Contact appropriate. (Initial Applicable) Agenda Date Item was 11/18/2008 Agenda item Number I6D_ j Approved by the BCC signed by the Chairman, with the exception of most letters, must be reviewed and signed Type of Document Amendment Number of Original 1 Anne I Documents Attached INSTRUCTIONS & CHECKLIST I: Forms/ Cotmty Fonts/ BCC Forms/ Origimd Documents Roulithi Slip W W S Original 9.01.0.1, Revised 116.05, Revised 2.24,05 Initial the Yes column or mark "NIA" in the Not Applicable column, whichever is Yes N/A (Not appropriate. (Initial Applicable) L Original document has been signed/initialed for legal sufficiency. (All documents to be signed by the Chairman, with the exception of most letters, must be reviewed and signed by the Office of the County Attorney. This includes signature pages from ordinances, resolutions, etc. signed by the County Attorney's Office and signature pages from contracts, agreements, etc. that have been fully executed by all parties except the BCC Chairman and Clerk to the Board and possibly State Officials,) _27 All handwritten strike -through and revisions have been initialed.by the County Attorney's n/a Office and all other aardies except the RCC Chairman and the Clerk to the Board 3• The Chairman's signature line date has been entered as the date of BCC approval of the document or [he Fina( ne otlated contract date whichever is Applicable. 4. "Sign hero" tabs are placed on the appropriate pages indicating where the Chairman's HL signature, and initials are required. 57 In most cases (some contracts are an exception), the original document anal this routing slip should be provided to Sue Filson in the BCC office within 24 hours of BCC approval. Some doctnnents are time sensitive and squire forwarding to Tallahassee within it certain time frame or the BCC's actions sire nullified, Be aware of your deadlines! G. The document was approved by the BCC on 11118/2008 and all changes made daring the meeting have been incorporated In the attached document. The County Attorney's , Office has reviewed the changes, it applicable. I: Forms/ Cotmty Fonts/ BCC Forms/ Origimd Documents Roulithi Slip W W S Original 9.01.0.1, Revised 116.05, Revised 2.24,05 November 18, 2008 Maria Ortiz -H i I I Director Community Planning and Development US Department of Housing and Development Division Brickell Plaza Federal Building 909 SE First Avenue Room 500 Miami, FL 33131-3042 RE: Notification of NSP Amendment to 2008-09 HUD Action Plan Dear Ms. Ortiz -Hill: Tile Collier County Board of County Commissioners (BCC) met on Tuesday, November 18, 2008, and considered the substantial amendment to our One Year Action Plan as directed by our approved Citizen Participation Plan. The amendment addresses how Collier County will program and expend the funds awarded in the Neighborhood Stabilization Program (NSP), This amendment was advertised in a local newspaper on October 20, 2008 and posted on the colliergov.net website for 15 days beginning on October 22, 2008, A 15 -day public comment period advertising the proposed NSP amendment began on October 22, 2008 and closed on November 6, 2008. The amendment was approved at the November t 8, 2008, regular meeting of the BCC. We believe this program will assist our citizens earning less than 120% of the rnedian income to find decent, affordable housing utilizing existing properties that have been foreclosed, A listing of the strategies and proposed funding are attached for your records. Should you have any questions on this amendment, please contact Ms. Marcy Krumbine, Director of the Housing and `Human Services Department at 239-252-4663 (HOME). eerely Since._/ VV, Tom Henning Chairman Collier County Board of County Commissioners Enclosure: Collier County Budget and Strategy Summary COLLIER Co_t-STCSSP ALLOCATION i ",3061155.00 Annmul by ,AdIri". 50-� ANII aml 1300,3 Alunlmr –...---. ilia - L'0°o ANTI A_Wamtl _ Trail hl A(46N Pmmaa and Adnwu,trAlw,n L S 730.6' 00 _+ S $ S ?!•e".''0c Reale Ac union and RehabJramm oFFareclo,M Prqtrwi for Rea ;.- 5 3 879 (, I -5ir.('F `0 i ).14!7 '30,00 0 5 __FA) "Y::^: Ac ancien and Rehabdilouoa or Fomdowd Prn ernes for RentA 5 1.5-6,34."-0 5 8I1.?)4:'P S_ '1'!700.!105 TC Direct Honwbum A,xwwcr m Ac nw, Fuleclo d?r ,chin 5 40000000 5 $ 042005!.-0 5 +Orn, �i ,iC Howebmer Edu<arlon i '0.000/,•0 i S9.i:C•o Po ) iF.i0000 i 'ii0,0 iir Delnoliliwl ofAceurtrd Fo, ttoud P:c ernes S '0370000 S --- 1^5.00G.Ce7 S 14U.(ri0170 _ S .`Gi.O:iir O,; Laud Sonkmg of PmPenia S 500.000017 S lA0JXr'00 S 150.0610.00 $00 TOTALS 5 ",306,'SSd,O Sy 1.82`.000.00 S 4,'49,090.00 5',306.-55.0(: PERCENTAGE OF TOTAL ,ALLOCATION 25.00°. 65AV. APPLICATION FOR FEDERAL ASSISTANCE _i TWfVM 8ISSIPN: I-"— _._......_ _... AApp Ocalion PI.Ppticallan s0•I Construction construction !Lr, No i (CANT IMPON � Non,Gptt@tf94i14n .. 11hINFnRMdTi'oN OMB AUDTOVBA NC. 3075-OOC6 Version 7103 647E R fdIEN90 BY STATE '•51ute Appiicalion ide'nlMF 4 DATE RECEIVED BY FECEHAL ABENbV Federal IdenClOer ..__.�_.. .... _.. '. Legal Name. ._.. . ... .. _... -O_rgenIzall it UNf. ----.-__..__.... CoNer COVnty ab pedmaUona- Housing and Human Sorvlces _...._....... ...._. ......._...__._...._.—.. O vision: gait DUNS: 018 8 8 7 7 90 Public Sorvices 11i Address: Nemf end toLphanp number of porion to W canmcted an matton 3treai:--'_ Invalvinalhl6 eP�llueon (Give eros andel 3301 Tamlaml Trail E Prefix: ,FlrsNl!•eme; _._..."__I Building N .._.....__._.. __....... Y...._...__...___.._.._.._.._..._._._._.._.....I city�IMWtlle Nnme ` I Naples I . .ty:__.._ .. _. _ .._. ......._._....._- .. .. �((,,...�. �...p ._..-__....___... ...._._._........._.. �1(taijmblrea i CIo�l1ftgei• Fonda 34112e iSufnx. I 0 ntry: ' Untied States Un mail: Email- marcykrumbino§collier ov not _ .. _...._..._.___._._..., Ee�NlMYERIDENTIFICATION NUMBER � _�.,_.___... Ph one Number taiwe.4 codr) kart Numbnr (9rv<area wda) 1 239 262-644 2 289262-2638 t I : 8.OPLI ANy: T,TYPE OFAPP CANT: (See back of form for Applicationi Typeej•• V New F Continuation r Revision County rI Ravisiory enter approprialo lobar s) in box(oe) (Seo beck of loan rot deseripllon o� letters l Li ❑ L Other (specify) other(spadlyf 9. NAMEOF FEDERAL AGENCY: Housing and Urban Development 18. CATALOG OF FE Eef ETIASSISTANCE NUMBER; 11-3E�ORIPTIVE TITLE OF APPLICANT'S PROJECT: Collior County Neighborhood Slablllza@on Program ll TITLE (Name of Pro ram): Neighborhood Stebll¢alion Program ..-.-......-___.._�_.__......._..,,_........._.� t2. AREAS FFEC D v PROJECT (G(r)as, Gounaas. States, etc) j Collier County 117. PROPOSED PR ECT 1 i) t .�OR BBIONAL DISTRICTS OF: ;Start oats: End'ng Deter jJanuery 15, 2900 30, 2013T '74125 14125 -Duty —.�.__..._1 •15, 0571MATED FUNWNO: ae•1 APPLICATION SUBJECT TO EW TA EE'SIEdU1'1VE• ' --- 'S •••-• -_� � —�— ------------ �a Koderel - ft ER 1231 PROQ 99z.,., .._.... _....__..._,_. HS PR AAPLIOATIONIAPPLICATION WAS MADE • 7,306,765 a Yos. AVAILABLE TO THE STATE EXECUTIVE ORDER 12372 h Apparent - `....� U PROCESS FOR REVIEW ON c. 6 ot�f o •' i 0 DATE: d Locei•- �� W_ g • I I b No. jr, PROGRAM IS NOT COVERED DY E. 0 12372 ; ...... e. Oihar C0 0_..._.___I 11 � OR PROGRAM HAS NOT SEEN SELECTED BY STATE C FOR REVIEW _._._....._ ......_..... 1 Program Inaoma 0 117.18 KE A FLICANT PrLIL QUENT ON ANY FEDERAL DES'll G. TOTAL 1.306,705 ri Yes (('Yes'sllach an explinalion. '✓1 No ) BE T F KNo EDGE AND BELIEF, ALL RATA IN THIS APPL PL C -Al ION ARB fAUE AND ORRECT. THE DOCUMENT HAS BEEN DULY AUTHOTUZEO BY THE GOVERNING BODY OF THE APPLICANT AND THE APPLICANT WILL COMPLY WITH THE TTACHEO ASSURANCES IF THE ASSISTANCE 18 AWARDED. — 6a A•Jll!antWLF.t� ^_...._.._._ .......__..._�_- {rafix FrornNema rMlddla Name ....-... --------.____..._.._........ .....__.. .`Last Name ...... ....__..... .. �—-------_-__........_ ..._.._�.. _ _. __ . 5V N_anning I1 Title z.T4Td hone Number(pware, mdel Charman, Hoard of Caunly Cemrriesronere 2. 2.8097 ....._. _ .._, _,......�.� d SlgneNn 01 PUrnerizou Kopropvrrtailya Date Slgnud V,eviuud Edition Usable AafFnry " lo• Local Hamlydur. n ATTE87: DM(3K,' E, DROM C;IGfh By:aad, -tea l Sranderd Fbon 424 Rev 9.2611 , Apprb"dlamltMNlem 1B- loiency Collelin Greene, Assistant County Attorney § ■ F. ) } ) !- k ! } \° &z � $ }, m� a■ ; /� `2! ( \ \ Lit a ( � �j3 G! # w i LD \a�dLn .. § ■ F. ) } o ILA 0M9 App!oval No. 0748-0840 ASSURANCES- NON�CONSTRUCTION PROGRAMS reporting burden for this collection of information Is estimated to average 15 minutes per response, including time for review tions, searching existing data sources, gathering and maintaining the data needed, and completing and reviewing the collection )tion. Send comments regarding the burden estimate or any other aspect of this collection of information, including suggestions ig this burden, to the Office or Management and Budget, Paperwork Reduction Project (0348-0040), Washington, DC 20503. PLEASE DO NOT RETURN YOUR COMPLETED FORM TO THE OFFICE Or MANAGEMENT AND BUDGET. SEND IT TO THE ADDRESS PROVIDED BY THE SPONSORING AGENCY. NOTE; Certain of these assurances may not be applicable to your project or program. If you have questions, please contact the awarding agency Further, certain Federal awarding agencies may require applicants to codify to additional assurances. If such Is the case, you will be notified. As the duly authorized representative otthe applicant, I certify that the applicant: 1. Has the legal authority to apply for Federal assistance and the institutional, managerial and financial capability (including funds sufficient to pay the non -Federal share of project cost) to ensure proper planning, management and completion of the project described in this application. 2. Will give the awarding agency, the Comptroller General of the United States and, If appropriate, the Stale, through any authorized representative, access to and the right to examine all records, books, papers, or documents related to the award; and wilt establish a proper accounting system in accordance with generally accepted accounting standards or agency directives 3. Will establish safeguards to prohibit employees from using their positions for a purpose that constitutes or presents the appearance of personal or organizational conflict of Interest, or personal gain. 4. WIII )ol6me and Complete the work within the applicable time frame after receipt of approval of the awarding agency. 6. WIII comply with the Intergovernmental Personnel Aot of 1970 (42 U.S.G. §§4728.4763) retailing to prescribed standards for merit systems for programs funded under one of the 19 statutes or regulations specified In Appendix A of OPM's Standards for a Merlt System of Personnel Administration (5 C.F.R, 900, Subpart F), 8. Will comply with all Federal statutes totaling to nondiscrimination. These Include but are not hmited to: (a) Title A of the Civil Rights Act of 1964 (P.L. 88-362) which prohibits discrimination on the basis of race, color or national origin; (b) Title IX of the Education Amendments of 1972, as ornandod (20 U.S.C. §§1081- 1683, and 1685.1666), which prohibits discrimination on the basis or sex; (c) Section 504 of the Rehabilitation Act of 1973, as amended (29 U.S.C. §794), which prohibits discrimination an the basis of handicaps; (d) the Age Discrimination Act of 1975, as amended (42 U.S.C. §§8101.6107), which prohibits discrimination on the basis of ape; (e) the Drug Abuse Office and Treatment Act of 1972 (P.L 92.256), as amended, releting to nondiscrimination on the oasts of drug abuse; (f) the Comprehensive Alcohol Abuse and Alcoholism Prevention, Treatment and Rehabilitation Act of 1970 (P.L. 9Y-816), as amended, (elating to nondiscrimination on the basis of alcohol abuse or alcoholism; (g) §§623 and 527 of the Public Health Service Ac(of 1912 (42 U.S.C. §§290 dd•3 and 290 so 3), as amended, relating to confidentiality of alcohol and drug abuse patlent records: (h) Title VIII of the Civil Rights Act of 1908 (42 U.S,O. §§3801 at seq.), as amended, relating to nondiscrimination in the sale, rental or financing of housing; II) any other nondiscrimination provisions In the specific statulo(s) under which application for Federal assistance Is being made; and, 0) the requirements of any other nondiscrimination statute($) which may apply to the application. WIII comply, or has already complied, with the requirements of Titles it end III of the Uniform Relocallon Assistance and Reel Property Acquisition Policies Act of 1970 (P.L, 91.646) which provide for fair and equitable treatment of parsons displaced or whose property is acquired as a result of Federal or foderally-assisted programs, These requirements apply to all interests in real property acquired for project purposes regardless of Federal participation in purchases 6. WIII comply, as applicable, with provisions of the Hatch Act (5 U.S.C. §§1501.1508 and 7324-7328) which limit the political activities of employees whose principal employment activities are funded in whole or in part with Federal funds. Previous adNlon usable standard Farm 4248 (Rev. T•97) Authorized for Local Reproduction Prescribed by OMB Circular A•102 9. WIII comply, as applicable, with the provisions of the Davis - Bacon Act (40 U.%C. §§270a to 276a-7), the Copeland Act (40 U.S.C, §276c and 18 U.S.C. §874), and the Convect Work Hours and Safety Standards Act (40 U.S.C. §§327 33$), regarding labor standards for federally.asslsled constnrction subagreements. 10. WIII Comply, if applicable, with flood Insurance purchase requirements of Section 102(a) of the Flood Disaster Protection Act of 1973 (P.L. 93-234) which requires recipients in a special food hazard area to parlicipalo In the program and to purchase flood Insurance if the total cost of insurable Construction and acquisition is $10,000 or more 11. Will comply with environmental standards which may be prescribed pursuant to the following: (a) institution of environmental quality control measures under the National Environmental Policy Act of 1969 (P.L. 91-190) and Executive Order (EO) 11514; (b) notification of violating facilities pursuant to EO 11738; (c) prolecilon of wetlands pursuant to EO 11990: (d) evaluation of food hazards in floodplains In accordance with EO 11988; (a) assurance of project consistency with the approved State management program developed under the Coastal Zone Management Act of 1972 (16 U.S,C. §§1451 at seq.): (1) Conformity of Federal actions to State (Clean Air) implementation Plans under Section 170(c) or the Clean Air Act of 1955, as amended (42 U,S.0 9§7401 of see.); (g) protection of underground sources of drinking water under the Safe Drinking Water Act of 1974, as amended (P.L. 93.523); arid, (h) protection of endangered species under the Endangered Species Act of 1973, as amended (P.L, 03. 205). 12. Will Comply with the Wild and Scenic Rivers Act of 1968 (16 U S.C, §§1271 at aaq.) related to protecting components or potential components of the national wild and scenic rivers system. 13. Will assist the awarding agency in assuring compliance with Section 106 of the National Historic Preservation Act of 1906, as amended 116 U.S.C. §470), EO 11593 (identification and protection of historlo properties), and the Archaeological and Historic Preservation Act of 1974 (16 U.S.0 §§469a -t 91 seq.). 14. WIII comply with P.L. 93.348 regarding The protection of human subjects Involved in research, development, and related activities supported by this award of assistance, 15. Will comply with the Laboratory Animal Warfare Act of 1966 (P,L, 89.544, as amended, 7 U.S.C. §92131 at sect) pertaining to the Cam, handling, and treatment of warm blooded animals held for research, teaching, or other activities Supported by this award of asalsiance. 16. Will comply wilh the Lead -Based Paint Poisoning Prevention Act (42 U.S,C. §§4801 at seq.) which prohibits the use of lead-based paint In construction or rehabilitation of residence Structures. 17. Will cativo to be performed the required financial and compliance audits in accordance with the Single Audit Act Amendments of 1996 and OMB Circular No. A-133, "Audits of Statos, Local Governments, and Non -Profit Organizations." 18. WIII comply with all applicable requirements of all other Federal laws, executive orders, regulations, and policies governing this program. Chairman. Board of County Collier County Approved as to form & ta0a) sufficiency ^ ATTEST ")WIGHT E. eAOCKr.CferPc Colleen Greens, at CERTIFICATI®NS (1) Affirmatively furthering fair housing, The jurisdiction will affirmatively further fair housing, which means that it will conduct an analysis to identify impedimenta to fair housing choice within the jurisdiction, take appropriate actions to overcome the effects of any impediments identified through that analysis, and maintain records reflecting the analysis and actions in this regard. (2) Anti -lobbying. The jurisdiction will comply with restrictions on lobbying required by 24 CPR part 87, together with disclosure forms, if required by that part. (3) Authority of Jurisdiction, The jurisdiction possesses the legal authority to carry out the programs for which it is seeking funding, in accordance with applicable HUD regulations and other program requirements. (4) Consistency with Plan, The housing activities to be undertaken with NSP funds are consistent with its consolidated plan, which means that NSP funds will be used to meet the congressionally identified needs of abandoned and foreclosed homes in the targeted area set forth in the grantee's substantial amendment. (5) Acquisition and relocation. The jurisdiction wilt comply with the acquisition and relocation requirements of the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, as amended (42 U.S.C, 4601), and implementing regulations at 49 CFR part 24, except as those provisions are modified by the Notice for the NSP program published by HUD. (6) Section 3. The jurisdiction will comply with section 3 of the Housing and Urban Development Act of 1968 (12 U.S,C. 1701u), and implementing regulations at 24 CFR part 135. (7) Citizen Participation. Thejurisdiction is in full compliance and following a detailed citizen participation plats that satisfies the requirements of Sections 24 CFR 91.105 or 91.115, as modified by NSP requirements. (8) Following Plan, Thejurisdiction is following a current consolidated plan (or Comprehensive Housing Affordability Strategy) that has been approved by HUD. (9) Use of funds in 18 months. The jurisdiction will comply with Title III of Division B of the Housing and Economic Recovery Act of 2008 by using, us defined in the NSP Notice, all of its grant funds within 18 months of receipt of the grant, (10) Use NSP funds < 120 of AMI. The jurisdiction will comply with the requirement that all of the NSP funds made available to it will be used with respect to individuals and families whose incomes do not exceed 120 percent of area median income. (11) Assessments, Thejurisdiction will not attempt to recover any capital costs of public improvements assisted with CDBG funds, including Section 108 loan guaranteed funds, by assessing any amount against properties owned. and occupied by persons of low- and moderate-incomo, including any fee charged or assessment made as a condition of obtaining access to such public improvements. However, if NSP funds are used to pay the proportion of a fee or assessment attributable to the capital costs of public improvements (assisted in part with NSP funds) financed from other revenue sources, an assessment or charge may be made against the property with respect to the public improvements financed by a source other than CDBG funds. In addition, with respect to properties owned and occupied by moderate -income (but not low-income) families, an assessment or charge may be made against the property with respect to the public improvements financed by a source other than NSP funds if the jurisdiction certifies that it tacks NSP or CDBG funds to cover the assessment. (12) Excessive Force. The jurisdiction certifies that it has adopted and is enforcing: (1) a policy prohibiting the use of excessive force bylaw enforcement agencies within its jurisdiction against any individuals engaged in non-violent civil rights demonstrations; and (2) a policy of enforcing applicable State and local laws against physically barring entrance to or exit from, a facility or location that is the subject of such non-violent civil rights demonstrations within its jurisdiction. (13) Compliance with anti -discrimination laws. The NSP grant will be conducted and administered in conformity with title VI of the Civil nights Act of 1964 (42 U.S.C. 2000d), the Fair Housing Act (42 U.S.C. 3601- 3619), and implementing regulations. (14) Compliance with lead-based paint procedures. The activities concerning lead-based paint will comply with the requirements of part 35, subparts A, B, J, K, and R of this title. (15) Compl[ a with i The jurisdiction will comply with applicable laws, Signature Authorized Official zr 1.�-'�l{>riMYI Title Approved as to form & legal sufficiency &*&t_�c0_k n_._- Colleen Greene, Assistant County Attorney 0 ►g Dat ATTES"I DWIGH�}T' �S__�BROCK, clerk'` Attest U to 041riaw signature ont• . 10 Agenda Item No, 16D3 November 18, 2008 Page 1 of 39 EXECUTIVE SUMMARY Recommendation for the Board of County Commissioners to approve the Neighborhood Stabilization Program (NSP) amendment to the 2008-09 HUD One Year Action Plan and authorize the Chairman to sign the necessary certifications and documents to submit the document to Housing and Urban Development (HUD) by December 1, 2008. OBJECTIVE: For the Board of County Commissioners to approve the proposed amendment to the 2008-09 HUD One Year Action Plan to incorporate strategies for the Neighborhood Stabilization Program (NSP) and authorize the Chairman to sign the associated certifications and documents for submittal. CONSIDERATIONS: On April 22, 2008, the Board adopted Resolution No. 2008-121 approving the submittal of the annual Action Plan to HUD for $3,089,381,00 in entitlement funds for FY 2008-2009. On July 30, 2008, President Bush signed into law the Housing Economic Recovery Act (HERA) to provide emergency assistance for the redevelopment of abandoned and foreclosed homes. The Secretary of HUD established a formula for the distribution of the funds, This formula included the rate of foreclosures within a jurisdiction as well as the percent of subprime mortgages, On September 29, 2008, Collier County was notified by HUD about the amount of NSP funding m. that will be allocated to the County. Collier County will receive $7,306,755 in NSP funding. Of this amount, twenty-five percent (25°/4) of the funding or $1,827,000.00 must be used to serve households who earn 50% or less of the Area Median Income. The grant allows for 10% to be used for program administration as well. In order to receive this grant, Collier County must make a significant amendment to its 2008-09 Action Plan utilizing the template provided by HUD. Collier County's Housing and Human Services has developed the attached Action Plan for the Board's approval, The Plan was advertised for public comment on Monday, October 20, 2008 and posted on the County's website on October 22nd for the 15 day public comment period as required by law. Any comments received have been included in the Action Plan amendment. The Plan contains strategies to use NSP funds for the acquisition, rehabilitation and resale or rent of foreclosed and abandoned properties in Collier County. It includes strategies to deliver homebuyer's education and counseling to applicants, purchase assistance to applicants who purchased bank -owned properties, demolition and new construction and the opportunity to land bank properties for future development. The proposed budget is listed below: COLLIER COL'STY SSP AF,LOC ATIOS 5 ',39G.T55.o0 Ain mit by Aak it, 50ao AIR quit Helmr AwOnnf 5Iq'e-1n0%AMI Amount To11I 61 Artirlrc Plmiwua and Adm,msuanon 5 700.675-00 5 S S 730.67S.PU At wwum, and Rthab,hraiimt of ForedOud Propnrre5 ter Revolt S 3.P9.7i5 30 S _ %iU.6^5 Stl 5 3113,080.00 S 3.879-lii >n Ac uslian writ Rthnbdnahon 0117-1 °foxed Pr° ernes for Rnnal S 13]6.324.50 S 31 IX490 S 715,000.00 $ 65`L3`4 i0 Duras Homt04rer Assiwmm to AcOnue Foredo,ed Prcprnirc HorntOmer Education S 400.09090 S 10.000.00 $ - 5 }5.6(10.00 S 5 400.000.00 35.000.00 $ 400.000.00 5 70.00090 P,umiuon ofAMinred F°reelO,ed Prepen,ew _ Lmld Hpuking of Pro carie, S X00.000,00 S 500.000.00 S_ 100.60400 3 _ 150,00 00 5 S 100.000.00 ?90.000.00 S 20U,NNi,i S 500.000.00 TOTALS S'006.'55,00 5 Ls0',.000.00 S A149,080,00 S ;306,755.00 PERC'ESTAGE OF TOTAL ALLOCATION' 2z 60°a 65.004: Agenda Item No, 16D3 November 18, 2008 Page 2 of 39 The proposed NSP Amendment must be submitted to HUD by December 1, 2008. FISCAL IMPACT: By approving this proposed amendment, Collier County will be awarded over $7.3 million dollars in grant funds. GROWTH MANAGEMENT IMPACT: The NSP amendment to create affordable housing will fwther the goals, objectives and policies of the Growth Management Plan's Housing Element. LEGAL CONSIDERATIONS: This item has been reviewed by the County Attorney's Office. It is legally sufficient for Board action. - CMG RECOMMENDATION: That the Board of County Commissioners approve the Neighborhood Stabilization Program (NSP) amendment to the 2008-09 HUD One Year Action Plan and authorize the Chairman to sign the necessary certifications and documents to submit to Housing and Urban Development (HUD) by December 1, 2008. Prepared by: Marcy Krumbine, Director, Housing and Human Services Agenda Item No. 16D3 November 18, 2008 Page 3 of 39 „ 1�9jf{{{�4r % U.S. 01?11ANTMENTOFHOUSING AM WMAN OINKLOPMLNr •' 9III�Y� WAM IINGTON. UC '_0410-7000 """. , SEP 2 6 2008 RECEIVED A1sISTAMf scClarWO' KA CPMMrNrrY PLANNING ARbnrvnioi,mi r OCT n 3 ,„„p The Honorable Tom Henning Chair, Board of County Commissioner County of Collier 3301 E. Tamiami Trail Naples, FL 34112 Dear Chairman Henning; Board of County commicsluners On behalf of Secretary Steven Preston, I am pleased to inform you that the County of Collier has been allocated $7,306,755 in funding through HUD's Neighborhood Stabilization Program (NSP). The NSP is authorized by the recently enacted Housing and Economic Recovery Act of 2008 (HERA) and is funded at a level of $3.92 billion. The purpose of the NSP is to assist states and local governments In addressing the effects of abandoned and foreclosed properties in the nation's communities. The uses of NSP funds are: • Establishment of financing mechanisms for purchase and redevelopment of foreclosed upon homes Lind residential properties; • Purchase and rehabilitation of abandoned and foreclosed homes and residential properties; • Establishment of land banks for homes that have been foreclosed upon; • Demolition of blighted structures; and • Redevelopment of demolished or vacant properties. Pursuant to the statutory directive of HERA, the NSP is closely related to the long standing Community Development Bloch Grant (CBD(3) program. As a result, HUD will implement the NSP by relying upon existing CDBG requirements and making appropriate adjustments to accommodate the directives of HERA. The guidance implementing the NSP is contained in a Notice to be available September 29, 2008 on HUD's website at www.hud.govinsn and also Published in the Federal Register during the first few days of October. This website will also provide a wide range of other information which will be useful to NSP grantees, The Notice describes the application process that your -jurisdiction will have to follow to obtain its NSP allocation. Briefly, the application will be an amendment to your jurisdiction's existing consolidated plan that governs the use of CDBG and other HUD formula program funds. This approach has the advantage of building upon planning actions already undertaken by your Jurisdiction and, to further speed the process, HUD is abbreviating citizen participation requirements. These steps are intended to assist grantees in developing their program and submitting their application to HUD not later than December 1, 2008. Failure to apply by December 1 0008 will result in the reallocation of your jurisdiction's funds to other grantees. -b)- 6 I�,��r.hud.fiov espanol.hud.l;uv j?. /� px Agenda Item No. 16D3 November 18, 008 Page 4 & 39 The Department is committed to assisting grantees in the implementation of the NSP at the suite and local level. To this end, Secretary Preston is hosting a housing summit in Washington, DC on October 7 and 8 and I encourage you to attend to benefit from the most current information regarding the NSP and other aspects of HERA, Information on the housing summit can be found at www.hud.aov. Further, HUD will conduct a series of one day informational sessions on the NSP to be held at several locations across the country beginning October 10. Information on these sessions will be available on HUD's website as soon as details are finalized. As your staff undertake efforts to develop an NSP program, I urge them to contact the Community Planning and Development staff in your assigned HUD field office if' they have any questions. HUD's field staff is, as always, the best source of guidance as to program requirements and HUD's expectations. I look forward to working with you to ensure the rapid and successful implementation of the NSP to benefit the nation's communities, Sincerely, Susan D. Peppler Assistant Secretary nrse ran. kn76-ann6 Agenda Item No. 16D3 November 18, 2008 Page 5 of 39 'Varslon 7703 FEDERAL ASSISTANCE ;2, DAT 'UDMITTED AppUcemldenli6et J_.__.__... _.____.__._._. __.... _._-,...__ 1. TYP OF 8 EMISSION! U. DATE RECEIVED BY STATE _____...,..,.... . SIe16Applicglion Idontmo! Applicalion pre-uPpllrAllon }1, DATE RECEfVEU� fE06RA4 AGE! 0Y' atructlon construction 0 Federal identifierCon IGI Non'6RnkiiJS.tl4!? -- on•GgimtrPFo4k.. _.__._.— _..___._—___._ "...._..........�-�-..•.�—....�. .6. APPLICANT INFORMATION �,�,,......_.., --•"-• _,___,"�,,,.__� _, Legal Noma;IDr,penizatlonal Unit Depeh HogaingaAmannd Human Services CoUler County fggpnlxe pnaI DUNS: Divi Ian: PuB�ic Services 078907700 Obgr q1 parson is bo conmctod on manors Name end to ne aum A0010961• ep Involving this clplilmdon Ove) area usual, Stmm: Prefix: F n1 Noma: 3301 Tanowel Trail E Willgli...-.-......-.,._._.._—_.__.__.....___..� V.__._. .....- City, VIM Nama Collier 1Krumbine Collier ........__...-_.- ' Fonda 991 2 o BulOx. �� I COuey. United BIa1e6 -mall: marcykRimbine(iycolilarnov nal j6. EMPLOYER IDENTIFICATION NUMBER(EIN). phone Numme%wo ama toes) Faxmumber(art'a sale coda) E 5 9- 0 1� 0 ��6IU 0 239262. 230 252-2630 )B, TYPE pF APP TION: T, TYPE 4F APPLICANT:($ea back of floor, for Apel Whon y004) !,T Now I('I Conllnuotlon r Revision County rt Rmiolon, anter oppropriato loner(s) In box(oa) 'Be. back farm tot deacrlP90h of feudal Other (specify) of � rT L{ DF FEOE LA0 Nodsing Other(speclty) HRAME and Urban Development W. CATALOG OFF�UERAj. DOM�'Si�'ASBISTANCE NUMBEm -- ti. OESC i TIVE TITLE OP APP LIGANT'8 PRUJECP COiltur County Neighborhood BIab111za0on Program TITLE (Nome, of PIronram): Neighborhood fi l0fallen Program 12. AREA `iPROJECT (CBroA Counfles, $10100, WCT Colsor County — !73. PROPOBE ROJECT _�___, "IC`COTJGRE8510NALDISTRIC794F: b. Prolec� Slun Date: Ending Dale; I :e. Applicant 1A@5 14125 �Jonuery 15, 2009 July 30. 2013 16. ESTIMATE 6 FUNDING: ' 78.I�PLICATIDN aUBJECT TO REVILW BB STAYe" A VE RDER 12672 PROCPS¢7 F eiel T"• 'Y� RE a --- AMP-MAYIONIAPPLICA ION A5 E T-�•--_��"�" fa 7,306,756 ABLE TD THE STATE EXECUTIVE ORDER 12372 VAILA PROCESS DOR REV EWON DATE'. b No, r, PROGRAM IS NOT COVERED BY E. 0 12372 OA PROGRAM HAS NOT BEEN SELECTED BY STATE In AppOdanl 0' s. Bible 0 CLout" g UIhBr , 0 FO RE VIEW Pr-pram Income ..-.�,....._0 fLINQUENT ON ANY FEoeRALpEHT7 117.IB TR APPLICANT DE g. TOTAL •_.�— 7.306,766 ❑ Yes a "Yee' conch an expranallon, I No ^L T13E EST 0 M NO E ANb BEIfEF. ALl A A IN THIS APPLICATION)PR PPT(CATIOF7fTRE Ytit1�AN�6'CORRECT. TWE i000UMRNT HAS BEEN DULY AUTHORIZED BY THE GOVERNING BODY OF TNS APPLICANT AND THE APPLICANT WILL COMPLY WITH T146 "TT ASSURANCES IF THE ASSISTANCE Mtl(e Nams P Ila! emu lom iLeatName � ~ - 5vmx -Honnln b Tllla ' TaloPpharw Number (uw orov wda) t Chairmen, Board of County Commioclonon?30 252.A097 W Baum e w twram¢uo nay, cartuwvw } Aa:nnrixed lar Lowl RoowUuclrou,yF>Nn,+ww,ww.w..,.,-.-.•-c-.___. (_ IxST: DWIGHT l7IC,HT F— EIROCK, Clark Colla n Greans, By: — ----- Assistant County Attorney \ m | !` )� }; 7A r � )® }° 7§ 7)), O° o R ) ) t®, 04 ) ) * ) ! ! 2 ! 2 } ! ! £ ! Ili Ln \ m | Agenda Item No. 16D3 November 18, 2008 Page 8 of 39 area Approval No. 0348.0040 ASSURANCES -NON-CONSTRUCTION PROGRAMS reporting burden for this collection of information is estimated to average 15 minutes par response, including Ilmo for review lions, searching existing data sources, gathering end maintaining the date needed, and completing and reviewing rho collection lion. Send comments regarding the burden estimate or any other aspect of this collection of information, Including suggestions Ig (his burden, to the Office of Managamenl and Budget, Papmwork Reduction Project (0348.0040), Washington, DC 20503. >E DO NOT RETURN YOUR COMPLETED FORM TO THE OFFICE OF MANAGEMENT AND BUDGET. IT TO THE ADDRESS PROVIDED BY THE SPONSORING AGENCY. NOTE: Certain of these assurances may not be applicable Ie your project or program, It you have questions, please contact the awarding agency. Further, certain Federal ewerding ngencias may require applicants to certify to additional assurances. If such Is the case, you will be notified. As the duly authorized representative offlra applicant, I certify that the applicant: 1. Has the legal authority to apply lar Federal assistance and the institutional, managenal and financial capabluly (including funds sufficient to pay the non -Federal them of project cost) to ensure proper planning, management and .completion of the project tleecribed in this application. 2. Will give the awarding agency, the Comptroller General of the United Stales and, If appropriate, the 81ate, through any authorized representative, access to and the right to examine all records, books, papers, or documents related to the award; and VIII establish a proper accounting system in accordance w4h genomlly accepted accounting standards or agency directives. 3. WIII establish safeguards to prohibit employees ham using their positions for a purpose that constitutes or presents the. appearance Of personal or organizational conflict of interest, or personal gain. 4. Will initlote end complete the work within the applicable time frame after receipt of approval of the awarding agency. 6. WIII comply with the intergovernmental Personnel Act of 1970 (42 U.B.C. §§472"703) relating to prescribed standards for medl systems for programs funded under one of the 19 statutes or regulations specified In Appendix A of OPM's Standards for a Merit System of Personnel Administration (6 C.F.R. 900. Subpart F), 6. Will comply with all Federal stabiles relating to nondiscrimination. Those include but are not limited to: (a) Title VI of the Civil Rights Act of 1964 (P.L. 88.362) which prohibits discrimination on the basis of race, color or national origin; (b) Title IX of ilia Education Amendments of 19T2, as amended (20 U.S.C. §§1681- 1663, and 1885.1686), which prohibits discrimination on the basis or sex; (c) Section 604 of the Rehabilitation Previous Edition Usable Act of 1973, as amended (29 U.S.C. §794), which; prohibits discrimination on the basis of handicaps; (d) the Age Discrimination Act of 1976, as emended (42 U.S.C. §§6101.6107), which prohibits diecdmlna(ion on the basis of age; (a) the Drug Abuse Office and Treatment Act of 1972 (P.L 92.265), as amended, relating to nondiscrimination On the bests of drug abuse; (1) rho Comprehensive Alcohol Abuse and Alcoholism Prevenflon, Treatment and Rehablifation Act of 1970 (P.L. 91-616), as amended, relating to nondiscrimination on the basis of alcohol abuse or alcoholism: (g) §§623 and 627 of the Public Health Service Act of 1912 (42 U.S.C. §§290 dd-3 unit 290 ea 3), as amended, relating to confidantiullty, of alcohol and drug abuse patient records: (h) Title VIII of the Civil Rights Act of 1968 (42 U.S.C, §§3801 at seq-), as amended, relpfing to nondiscrimination In the sole, rental or financing of housing; (I) any other nondiscrimination provisions In the specific stalute(s) under which application for Federal assistance Is being made: and, 6) the requirements of any other nondiscrimination stalule(s) which may apply to the application. WIII comply, or has already compiled, with the requirements of Tlllas II and III of the Uniform Relocation Assistance and Roel Properly Acquisition Policies Act of 1970 (P.L. 91-648) which provide for felt and equitable treatment of persons displaced or whose property is acquired as a result of Federal or federally -assisted programs. These requirements apply to all interests in real property acquired for project purposes regardless or Federal parlicipation in parchnse9. 8. Will comply, us applicable, will; provisions of the Hatch Act (5 U.S.C. §§15014508 and 7324-73Z8) which limit the political activities of employoos whose principal employment activities are funded In whole or in part with Federal funds. Authorized for Local Reproduction Blandon) form 9248 (ROv. TW) fmacdbad by oMe Circular A-182 9, WIII comply, as applicable, with ilia provisions of the Davis- Sacon Act (40 U.S.C. §§276a to 276a-7), the Copeland Act (40 U.S.C. §276c and 18 U.S.C. §874), and the Contract Work Hours and Solely Standards Act (40 U,S.C, §§327. 333), regarding labor standards for federally -assisted construction subagmaments. 10, Will comply, If applicable, with flood insurance purchase requirements of Section 102(a) of the Flood Disaster Protection Act of 1973 (P.L. 03.234) which requires recipients In a special flood hazard area to participate In the program and to purchase flood Insurance If the total cost of insurable construction and acquisition is $10,000 or more. 11. WIII comply with onvironmen(al standards which may be prescribed pursuant 10 they following: (a) institution of environmental quality control meaeume under the National Environmental Policy Act of 1969 (P.L. 04100) and Executive Order (EO) 11514; (b) notiflcation of violating facilities pursuant to EO 11738; (c) protection of wetlands pursuant to EO 11990; (d) evaluation of flood hazards In floodploins In accordance with EO 119138; (e) assurance Of project consistency with the approved State management program developed under the Coastal Zone Management Act of 1072 (16 U.S.C. §§1451 el seq.); (1) conformity of Federal actions to Slate (Clean Air) Implementation Plans under 9eotlon 176(c) of the Clean Air Act of 1955, as amended (42 USA. §§7401 of seq.); (g) protection of underground sources of drinking water under the Safe Drinidng Water Act of 1974, as amended (P.L, 93-523); and, (h) protection of endangered spOCles under the Endangered Species Act of 1973, as amended (P.L, 93• 205). Collier County Agenda Item No. 16D3 November 18, 2008 Page 9 of 39 12, WIII comply with trio Wild end Scenlc Rivers Act of 1968 (16 US.C. 9§1271 at seq.) related to protecting components or potential components of the national wild and acetic rivers system. 13, Will assist the awarding agency In assuring compliance with Section 105 of the National Historic Preservation Act of 1966, as emended 116 U.S.C. §470), EO 11593 (Identification and protection of historic properties), and the Archaacbgrcai and Historic Preservation Act of 1974 06 U.S.0 §§459a.1 at $eq.). 14. Will comply with P.L, 93-348 regarding the protection of human subjects Involved In research, development, and related activities supported by this award Of assistance. 15. Will comply with the Laboratory Animal Welfare Act 6)'1966 (Pl, 69-644, as amended, 7 U.S.C. 5§2131 at sect ) pertaining to the care, handling, and treatment of warm blooded animals held for research, teaching, or other activities supported by this award of assistance, 16. Will comply with the Lead -Based Point Poisoning Prevention Act 142 U.S.C, §§4801 at seq.) which prohibits the use of Iced -based paint in construction or rehabilitation of residence structures. 17. Will cause to be performed the required 0nandol and compliance nudils in accordance with the Single Audit Act Amendments of 1995 and OMB Circular No. A-133. "Audits of Slates, Local Governmenla, and Non•ProB{ Organizations." 18. WIII comply with at[ applicable requirements of all Other Federal laws, executive orders, regulations, and policies governing this program. Chairman, Board of County Approved as to form & legal sufliolenoy ATTEST: C Wle� Qj%It Q DWIGHT E. BROCK, 01or C Colleen Qreene, .- Agenda Item No. 16D3 November 18, 2008 Page 10 of 39 C]ERTI]FICATIONS (1) Affirmatively furthering fair housing. Thejurisdiction will affirmatively further fair housing, which means that it will conduct an analysis to identify impediments to fair housing choice within the jurisdiction, take appropriate actions to overcome the effects of any impediments identified through that analysis, and maintain records reflecting the analysis and actions in this regard. (2) Anti -lobbying, The jurisdiction will comply with restrictions on lobbying required by 24 CPR part 87, together with disclosure forms, if required by that part. (3) Authority of Jurisdiction. The jurisdiction possesses the legal authority to carry out the programs for which it is seeking funding, in accordance with applicable HUD regulations and other program requirements. (4) Consistency with Plan. The housing activities to he undertaken with NSP funds are consistent with Its consolidated plan, which metros that NSP funds will be used to meet the congressionally identified needs of abandoned and foreclosed homes in the targeted area set forth in the grantee's substantial amendment, (5) Acquisition and relocation. The jurisdiction will comply with the acquisition and relocation requirements of the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, as amended (42 U.S.C. 4601), and implementing regulations at 49 CPR pail 24, except as those provisions are modified by the Notice for the NSP program published by HUD, (6) Section 3. The jurisdiction will comply with section 3 of the Housing and Urban Development Act of 1968 (l2 U,S.C. 1701u), and implementing regulations at 24 CPR pail 135. (7) Citizen Participation, The jurisdiction is in full compliance and following a detailed citizen participation plan that satisfies the requirements of Sections 24 CFR 91,105 or 91,115, as modified by NSP requirements, (8) Following Plan. The jurisdiction is following a current consolidated plan (or Comprehensive Housing Affordability Strategy) that has been approved by HUD. (9) Use of funds in 18 months, Thejurisdiction will comply with Title III of Division B of the Housing and Economic Recovery Act of 2008 by using, as defined in the NSP Notice, all of its grant funds within 18 months of receipt of the grant. (10) Use NSP funds < 120 of AMI. Thejurisdiction will comply with the requirement that all of the NSP funds made available to it will be used with respect to individuals and families whose incomes do not exceed 120 percent of area median income. (I I) Assessments, The jurisdiction will not attempt to recover any capital costs of public improvements assisted with CDBG funds, including Section 108 loan guaranteed funds, by assessing any amount against properties owned - and occupied by persons of low- and moderate -income, including any fee charged or assessment made as a condition of obtaining access to such public improvements. However, if NSP fiords are used to pay the proportion of a Pee or assessment attributable to the capital costs of public improvements (assisted in part with NSP funds) financed from other revenue sources, an assessment or charge may be made against the property with respect to the public improvements financed by a source other than CDBG hinds. In addition, with respect to properties owned and occupied by moderate -Income (but not low-income) families, an assessment or charge may be made against the property with respect to the public improvements financed by a source other than NSP funds if thejurisdiction certifies that it lacks NSP or CDBG finds to cover the assessment. Agenda Item No. 16D3 November 18, 2008 Page 11 of 39 (12) Excessive Force. The jurisdiction certifies that it bus adopted and is enforcing: (]) a policy prohibiting the use of excessive force bylaw enforcement agencies within its jurisdiction against any individuals engaged in non-violent civil rights demonstrations; and (2) a policy of enforcing applicable State and local laws against physically barring entrance to or exit from, a facility or location that is the subject of such non-violent civil rights demonstrations within its jurisdiction. (13) Compliance with anti -discrimination laws, The NSP grant will be conducted and administered in conformitywith title V1 of the Civil Rights Act of 1964 (42 U.S.C. 2000d), the Pair Housing Act (42 U.S.C. 3601- 3619), and implementing regulations. (14) Compliance with lead-based paint procedures. The activities concerning lead-based paint will comply with the requirements of part 35, subparts A, B, J, K, and R of this title, (I5) Compliance with laws, The jurisdiction will comply with applicable laws. S ignature/Authorized.Official Title Approved as to form & legal sufficiency Colleen Greene, Assistant County Attorney Date ATTE81. DWIGHT E. BR OCK,Clerk By: 10 Page 1 of I Agenda Item No. 103 November 18, 2008 Page 12 of 39 COLLIER COUNTY BOARD OF COUNTY COMMISSIONERS Item Number: 1603 Item Summary: Recommendation for the Board of County Commissioners to approve the Neighborhood Stabilization Program (NSP) amendment to the 2008-09 HUD One Year Action Plan and authorize the Chairman to sign the necessary certifications and documents to submit the document to Housing and Urban Development (HUD) by December 1, 2008. Meeting Date: 11/18/2008 9:00:00 AM Prepared By Marcy Krumbine, Director Dale Public Services Housing & Human Services 1012212008 5:09:07 PM Approved By Marcy Krumbino Director Date Public Servicos Housing & Human Services 10/22/2008 5:30 PM Approved By Marlene J. Foord Grants Coordinator Date Administrative Services Administrative Services Admin. 10/23120088:42 AM Approved By Colleen Greene Assistant County Attomor Date County Attorney County Attorney Office 10/24/2008 11:31 AM Approved By Maria Ramsey public Services Administrator Date Public Services Public Services Admin. 10/28/2008 2;04 PM Approved By OMB Coordinator Applications Analyst Date Administrative Services Information Technology 11/3/20088:16 AM Approved By Sherry Pryor Management & Budget Analyst Date County Manager's Office Office of Management & Budget 111712008 2;45 PM Approved By James V. Mudd County Manager Date Board of county Commissioners County Managers Office 11/10/2008 4:00 PM file://C:\AgendaTest\Export\116-November%e20 (8%202008\16.%2000NSENT%20AGE... 11/12/2008 Agenda Item No. 1603 gyp+ November 18, 2008 THE NSP SUBSTANTIAL AMENDMENT Page 13 ol39 Jurisdiction(s): Jurisdiction Web Address: colliergov.net A. AREAS of GREATEST NEED Address: 3301 E Tamiami Trail, Health Building, Suite 211, Naples, FL 34112 Telephone: (239) 252-4663 Fax: (239) 252-2638 Email: marcykrumbine@coIlieTov.net colliergov.net Provide summary needs data identifying the geographic areas of greatest need in the grantee's jurisdiction, Note, An NSP substantial amendment must include the needs of the entire jurisdiction(s) covered by the program; states must include the needs of communities receiving their own NSP allocation, To include the needs of an entitlement community, the State may either incorporate an entitlement jurisdiction's consolidated plan and NSP needs by reference and hyperlink on the Internet, or state the needs for that jurisdiction in the State's own plan, The lead entity for a joint program may likewise incorporate the consolidated plan and needs of other participating entitlement jurisdictions' consolidated plans by reference and hyperlink or state the needs for each jurisdiction in the lead entity's own plan. HUD has developed a foreclosure and abandonment risk score to assist grantees in targeting the areas of greatest need within their jurisdictions, Grantees may wish to consult this data, in developing this section of the Substantial Amendment. Narrative Response: Collier County is an economically diverse community, with areas of affluence in the coastal communities as well as extreme poverty in other locations. The County is geographically large, encompassing approximately 2,025 square miles, Collier County, with an estimated population of 339,000, is located on the southern gulf coast of the Florida peninsula, due west of Miami -Ft. Lauderdale. The largest of the three incorporated cities in Collier County is Naples, which is located in the western and coastal area. The remaining two incorporated cities of Collier County are Everglades City and the City of Marco Island. Everglades City is located south and east of Naples, while the City of Marco Island lies south of Naples along the Gulf of Mexico. Collier County used the U,S. Department of Housing and Urban Development's (HUD) Foreclosure and Abandonment Risk Scoring System to identify the areas at risk of foreclosure or abandonment. The information was analyzed and applied to the Collier County 2000 Census Tracts to assess the areas of greatest need. Additionally, Collier County employed local foreclosure data to further define the target areas for Neighborhood Stabilization Program (NSP) assistance. When considering the two aforementioned data, the information was consistent in the urban areas. However, in the rural areas there was a disparity between the HUD data and the local foreclosure information. The local housing and economic challenges currently plaguing the rural areas were not accurately captured in the HUD Foreclosure and Abandonment Risk Scoring System. Therefore, Collier County relied more heavily on local data when assessing the needs of the rural areas. Areas at Risk - The following table summarizes the areas at risk in Collier County using the HUD Foreclosure and Abandonment Risk Scoring System. Areas receiving an index score of ten (10) are at greatest risk and areas receiving an index score of one (1) are least likely to suffer foreclosure or abandonment doing the next eighteen (18) months. Estimated Foreclosure Index Urban Rural 10 15 5 9 35 4 8 36 10 7 20 8 6 14 5 5 5 8 4 6 14 3 18 8 2 0 0 1 Q 0 Agenda Itern No. 16D3 November 18, 2008 Page 14 of 39 The above information was applied to the Collier County 2000 Census Tracts map to illustrate the geographic areas at greatest risk. The HUD Foreclosure and Abandonment Risk Scoring System Map shows those areas receiving a risk index score of seven (7) or higher. The County analyzed the data and determined that the following areas are at greatest risk for an increase in foreclosure or abandonment over the next eighteen (18) months: East Naples, Golden Gate City and Golden Gate Estates. Collier County then analyzed the current number of foreclosures by zip code. This exercise served two purposes: first, the Collier County Foreclosure Map and Table reinforces the conclusions of the HUD Foreclosure and Abandonment Risk Scoring System and, second, the foreclosure data assists the County in accurately assessing the needs and risks contained in the rural areas not captured in the HUD data. Finally, Collier County considered the percentage of homes financed by a subprime mortgage related loan in East Naples, Golden Gate City and Golden Gate Estates. The percentages were established by HUD using Home Mortgage Disclosure Act (NMDA) data. The following table summarizes the HMDA High Cost Loan Rate in the three areas of greatest need in Collier County, HMDA High East Golden Gate Golden Gate Cost Loan Rate Naples City Estates Percentage for Subprime 36.8% 52.4% 42.1% Mortgage Related Loans Please refer to the following two pages for additional detail. Agenda Item No. 16D3 November 18, 2008 HUD Foreclosure and Abandonment Risk Scoring System Ma -0 Page 15 of 39 HUD r. 19 n.! 3 P.O. Hm .PA W94m a INH •pm4mim-two Z"" •PANK"aw Agenda Item No. 16D3 November 18, 2008 Collier County Foreclosure Map and Table Page 16 of 39 21P CO[)ES QdtEf (�ulfy. Fktkq N —moo ®mxwnwv ZIP CODE NUMBER OF FORECLOSURES ZIP CODE NUMBER OF FORECLOSURES 34142 70 34120 1228 34119 423 34110 190 34134 217 34108 202 34109 307 34103 129 34105 248 134116 915 34102 1 101 34104 413 34112 442 34117 550 34113 338 34114 174 34145 337 34139 6 Agenda Item No, 16D3 November 18, 2008 Identified Program Target Areas Page 17 of 39 — The Collier County NSP Allocation will target the following throe (3) areas for economic and housing redevelopment: East Naples, Golden Gate City and Golden Gate Estates. The County will continue to monitor local foreclosure data and intends that the NSP Program be flexible to allow for timely reaction to any significant changes in the local housing market, A DISTRJBUTIONAND US&SOPFUNDS Provide a narrative describing how the distribution and uses of the grantee's NSP funds will meet the requirements of Section 2301(c)(2) of HERA that funds be distributed to the areas of greatest need, including those with the greatest percentage of home foreclosures, with the highest percentage of homes financed by a subprime mortgage related loan, and identified by the grantee as likely to face a significant rise in the rate of home foreclosures. Note: The grantee's narrative must address these three stipulated need categories in the NSP statute, but the grantee may also consider other need categories. Narrative Response: Based upon the County's analysis, the areas of East Naples, Golden Gale City and Golden Gate Estates meet all three (3) stipulated need categories. All three areas have a HUD Foreclosure and Abandonment Risk score of seven (7) or higher, all three have significant foreclosure activity and all have a NMDA High Cost Loan Rate above 36 percent. The NSP Allocation will be used as described in Section G – NSP Infortnation by Activity. Twenty-five (25) percent of the Collier County NSP Allocation will be used to assist households earning no more than fifty (50) percent of the local area median income. Collier County will continue to monitor local housing data in an effort to determine if an expanded area of assistance is required. Dwelling units assisted with NSP Funds shall be rehabilitated to the extent necessary to comply with applicable laws, codes, and other requirements relating to housing safety, quality, and habitability. Collier County will encourage rehabilitation that improves the energy efficiency and/or conservation of dwelling units receiving assistance. Additionally, the County will strongly encourage the incorporation of green building improvements to provide long-term affordability, increased sustainability and attractiveness of housing and neighborhoods. C. Der1NITI0NSANDDBSCRIPT/ONS (1) Definition of "blighted structure" In context of state or local law. Narrative Response: Blighted structure, as extracted from 2008 Florida Statute 163.340, is defined as a structure that is deteriorated or deteriorating to the extent that unsanitary or unsafe conditions may threaten the health safety and welfare of the public. Characteristics include, but are not limited to: (a) Unsanitary or unsafe conditions; (b) Deterioration of site or other improvements; (e) Inadequate provision for ventilation, light, air, sanitation or open spaces; (d) The existence of conditions that endanger life of property by fire or other causes. (2) Definition of "affordable rents." Note: Grantees may use the definition they have adopted for their CDBG program but should review their existing definition to ensure compliance with NSP program –specific requirements such as continued affordability, 5 Agenda Item No, 16D3 November 18, 2008 Page 18 of 39 Narrative Response; The maximum Affordable Rents shall not exceed the Fair Market Rents (FMR) as published annually by the U.S. Department of Housing and Urban Development for the Naples —Marco Island MSA. The current rates are listed below; Final FY 2009 FMRs By Unit Bedrooms Efficienc One -Bedroom Two -Bedroom Three -Bedroom J Four -Bedroom FinalFY2009FMR 1 $ 868 $ 995 1 $ 1,120 1 $ 1,392 1 $ 1,449 Source: U.S. Department of Housing and Urban Development (2009) (3) Describe how the grantee will ensure continued affordability for NSP assisted housing. .Narrative Response: Collier County will ensure long term affordability through the use of a recorded lien against the property. If an owner who has been assisted though this program transfers title to the property before the affordability period expires, the assistance provided by the County will be subject to recapture, The County will monitor assisted units on an annual basis during the affordability period. All properties receiving assistance from the Neighborhood Stabilization Program (NSP) will be secured by a recorded second mortgage on the subject property in favor of Collier County, In the event the unit is transferred to an owner(s) deemed eligible for assistance under NSP guidelines, the amount of assistance will remain in the subject property to provide continued affordability. In the event the unit is transferred to an owner(s) deemed ineligible for assistance under NSP guidelines, the amount of assistance will be recaptured, The County will use the minimum affordability period of the federal HOME Investment Partnership Program, 24 CFR 92.252(a), (c), (e) and (f), and 92.254. The minimum affordability periods are as follows: • Up to $15,000 — 5 Years • $15,001 to $40,000— 10 Years • Over $40,001 — 15 Years • New Construction— 20 Years (4) Describe housing rehabilitation standards that will apply to NSP assisted activities, Narrative Response: All dwelling units that require rehabilitation must meet local and state building codes. Collier County will require home rehabilitation to meet, or exceed, current Florida Building Code (FBC). The current code used by Collier County is the 2004 FBC; effective March 1, 2009 the code will be updated to 2007 FBC. Collier County will encourage rehabilitation that improves the energy efficiency and/or conservation of dwelling units receiving assistance, Additionally, the County will strongly encourage the incorporation of green building improvements to provide long-term affordability, increased sustainability and attractiveness of housing and neighborhoods, Collier County encompasses a large coastal area that subjects the residents to the risk of hurricanes and severe flooding, The County will encourage hurricane hardening and damage mitigation during rehabilitation, Agenda Item No. 16D3 November 18, 2008 Collier County's Department of Housing and Human Services has a Local Housing Assistance Pfk9tLMW adopted as Ordinance No. 93-19 and Ordinance No. 94-39. The referenced ordinances detail the specifications _- required to bring substandard housing into compliance with local and state building codes, (5) Definition of "Middle income Household" A household having an income equal to or less than 120% of area median income, but greater than 80% of area median income, adjusted for household size. (6) Definition of "Moderate Income Household" A household having an income equal to or less than 80% of area median income, but greater than 50% of area median income, adjusted for household size. (7) Definition of "Low Income Household" A household having an income equal to or less than 50% of area median income, adjusted for household size. (8) Definition of "Current Market Appraised Value" The current market appraised value means the value of a foreclosed upon home or residential property that is established through an appraisal made in conformity with the appraisal requirements of the URA at 49 CFR 24.103 and completed within 60 days prior to an offer made for the property by a grantee, subrecipient, developer, or individual homebuyer. (9) Definition of "Abandoned" A home is abandoned when mortgage or tax foreclosure proceedings have been initiated for that property, no mortgage or tax payments have been made by the property owner for at least 90 days, AND the property has been vacant for at least 90 days. (10) Definition of "Blighted Structure" A structure is blighted when it exhibits objectively determinable signs of deterioration sufficient to constitute a threat to human health, safety, and public welfare. (11) Definition of "Foreclosed" A property "has been foreclosed upon" at the point that, under state or local law, the mortgage or tax foreclosure is complete. HUD generally will not consider a foreclosure to be. complete until after the title for the property has been transferred from the former homeowner under some type of foreclosure proceeding or transfer in lieu of foreclosure, in accordance with state or local law. (12) Definition of "Land Bank" A land bank is a governmental or nongovernmental nonprofit entity established, at least in part, to assemble, temporarily manage, and dispose of vacant land for the purpose of stabilizing neighborhoods and encouraging re -use or redevelopment of urban property. For the purposes of the NSP Program, a land bank will operate in a specific, defined geographic area. It will purchase properties that have been abandoned or foreclosed upon and maintain, assemble, facilitate redevelopment of, market, and dispose of the land -banked properties. if the land 7 Agenda Item No. WD3 November 18, 2008 bank is a governmental entity, it may also maintain abandoned or foreclosed property that it doe�Fhc;06* 139 provided it charges the owner of the property the full cost of the service or places a lien on the property for the full cost of the service. D. LowlwoMETARGET/NG Identify the estimated amount of funds appropriated or otherwise made available under the NSP to be used to purchase and redevelop abandoned or foreclosed upon homes or residential properties for housing individuals or families whose incomes do not exceed 50 percent of area median income: $1,827,000.00. Note: At least 25% of funds must be used for housing individuals and families whose incomes do not exceed 50 percent of area median income. Narrative Response: Collier County acknowledges that households earning less than 50% AMI may require affordable rental apartment dwelling units. Therefore the County will explore options for purchase and rehabilitation of multi- family rental apartment dwelling units, Special emphasis shall be placed on providing rental housing to the special needs population, such as elderly or developmentally disabled, earning less than 50% AMI. Some local non-profit housing providers in Collier County have a proven track record of success in providing homeownership units to households earning less than 50% AMI, As such, the County may encourage home ownership should the subject property be shown affordable to the prospective homebuyer. Should a unit acquired and intended for homeownership fail to sell within a timeframe deemed reasonable by Collier County, said unit may be rented to a household earning less than 50% AMI. Should this occur, the Collier County Department of Housing and Human Service's may partner with for-profit or nonprofit organizations to provide services such as, but not limited to, property management services, tenant selection and collection of monthly rental payments. Currently, the Collier County Housing Authority operates a Tenant - Based Rental Assistance (TBRA) Program. The agency has a proven track record of providing a compliant Section 8 Department of Housing and Urban Development rental subsidy program. E. AcquisfTIom & RnocATroN Indicate whether grantee intends to demolish or convert any low- and moderate -income dwelling units (i.e., • 80% of area median income). If so, include: • The number of low- and moderate -income dwelling units--i,e., • 80% of area median income— reasonably expected to be demolished or converted as a direct result of NSP -assisted activities. • The number of NSP affordable housing units made available to low-, moderate-, and middle-income households—i.e., • 120% of area median income—reasonably expected to be produced by activity and income level as provided for in DRGR, by each NSP activity providing such housing (including a proposed time schedule for commencement and completion). • The number of dwelling units reasonably expected to be made available for households whose income does not exceed 50 percent of area median income. Narrative Response: Agenda Item No. 16D3 November 18, 2008 Should the initial inspection and/or rehabilitation work determine that demolition of the dwellinftfllt?9 46W cost effective, Collier County may chose to demolish the existing unit and either place the site in the County land bank or construct a new unit on the site. If the cost to rehabilitate the unit is greater than fifty (50) percent of the acquisition price, and/or the cost of acquisition and rehabilitation exceeds one hundred (100) percent loan -to -value, the County will consider demolition. Collier County does not intend demolition to be a major activity in its NSP program, Rather, the County reserves the right to demolish an acquired property if deemed a more fiscally effective use of NSA Funds. The County shall abide by Uniform Relocation Action (URA) requirements for any affected household where a housing unit is being demolished that has not been vacant for greater titan ninety (90) days. Collier County will avoid using NSP Funds to acquire homes or residential properties that have been vacant for fewer than ninety (90) days. E PUBLIC CONAWNT Provide it, summary of public comments received to the proposed NSP Substantial Amendment. Narrative Response: On October 22, 2008 Collier County posted the proposed NSP Substantial Amendment on its website. Additionally, notice of the County's allocation and availability of the proposed NSP Substantial Amendment was advertised in the local Naples Daily News. Below are listed the comments received during the mandatory fifteen (15) day public comment period. Public Comment #1 From: John Barlow Sent: Wednesday, October 22, 2008 8:28 PM To: KmmbineMarcy Subject: RE: Collier County NSP Substantial Amendment Marcy, I printed out the NSP Draft and scanned it. I will read it in its entirety this weekend, The data in this document screams for the three areas you identified, and supports our rehabilitated home in zip code 34116, which Is one of the highest zip codes for foreclosed properties. I like the plan and look forward to doing our part to make this dilapidated homes better, much better. John F. Barlow Response #1 From: Krumbinelv[=y Sent: Friday, November 07, 2008 12:38 PM To: 'John Barlow' Subject: RE: Collier County NSP Substantial Amendment Thank you for your comments. We will include your comments within die public comment section of our NSP Amendment. Marcy Krumbine,MPA Public Comment 42 From: Stephen Hmby - AU Sent: Monday, November 03, 2008 12:17 PM To: KrumbineMarcy Cc: RamseyFrank Subjeet: NAP Grant Submission Marcy, Agenda Item No, 16D3 November 18, 2008 Page 22 of 39 In preparation for the meeting today, I did a quick overview of the NSP Grant Submission that you posted. Iliad several comments on various activity narratives. On Activity #1 and #2: • It is not clear, but I assume the county is purchasing, holding title and then reselling the for sale homes and not utilizing a third party non-profit or developer to do so? • If the above is nue, what is the intention for retaining and managing the rental property or is it your intention to sell the units with the restrictions on them? Would you consider mining them over to the public housing authority to manage? • It is not clear to me how you intend to renovate the properties. It says the County will scope the work, but you are not clear as to who will do the work. I assume you will retain contractors. What is your procurement process? • You mention in several places that the County may partner with non -profits. What do anticipate they will do and how would You select an procure their services? On Activity 43: • I did not see anything in the narrative that explained what type of assistance and the limits of assistance would be provided to the direct buyer. Can you elaborate? On Activity #4: -Can you expand the contracts of the two service providers you have under contract now or must you re -procure them? Stephen I, Hruby AIA Response 42 From: RrumbineMarcy Sent: Friday, November 07, 2008 12:47 PM To: 'Stephen Hmby . AV Cc: RamseyFmnk Subject: RE: NAP Grant Submission Thank you for your continents and questions regarding Elie NSP Grant submission. They will be included in the public comment section of the amendment. To answer your questions, the department has kept the various sections of each activity purposely flexible in order to comply with the strict timeline of the grant. It is our intention to work as quickly and efficiently as possible either in house or with our commtmity partners to acquire and rehabilitate properties within the allotted timeframe. At all times, the processes will adhere to proper procurement procedures, Direct assistance to a homebuyer will not exceed $50,000. Thank you again for your interest and comments. Marcy IGundame,MPA Public Comment 43 From: Barbara Cacchione Sent: Tuesday, November 04, 2008 11:22 AM To: KrumbineMarcy Subject: Public comment 10 Agenda Item No. 16D3 November 18, 2008 The NSP substantial amendment proposed by Collier County targets several specific areas in Collier County which MW Wghfr8a of foreclosure, as well as subprime mortgages. I would ask that you consider adding another area which includes Immokalee. Immokalee was targeted by HUD as an area of high foreclosure and abandonment risk area according to their data, In addition, there is a high degree of abandoned and dilapidated structures according to the County's own estimates which add to the need for the Neighborhood Stabilization Program for the area. The Immokalee Community is much smaller in scale so the funding allocated could be less than the other targeted areas, In addition, there is a strong active collaborative effort among da: housing nonprofits to effectively leverage the funding that is allocated by turning the funds in to program income and purchasing additional properties. The Immokalee Housing Collaborative is particularly interested in the Eden Park Neighborhood where there are a number of vacant, dilapidated homes currently for sale. On behalf of the Immokalee housing nonprofits and the Immokalee Community we would appreciate consideration of an allocation of funding that would include the Immokalee Community, This can be done by providing a percentage of funds that are available for areas outside of the targeted areas identified by the County or by a smaller allocation to the bnmokalee Community based on the poor housing conditions that currently exist and the numbers of foreclosures for a mutter community to absorb. I (hank you for your consideration and will be happy to discuss this in further detail. Please contact me at your convenience at 239-287-1428 or email at beacc hioneraoomcast. net. Response 93 From: KrumbineMarcy Sent: Tuesday, November 04, 2008 12;56 PM To: 'Barbara Cacchione; RamseyPrank Subject: RR Public comment Thank you for your public comment. The NSP program is very specific in using grant funds for the area of the most need based upon foreclosure rates. The County can ask HUD for an exception and we can explain the pressing needs of the him okalee community. This will be based on board direction and these comments will be included in the Action Plan. Marcy Kmmbine,MPA Public Comment From; Debi Mahr Sent: Wednesday, November 05, 2008 10:48 AM To: KrumbineMarcy Subject; Public Comment Marcy, Please accept the attached public comment from the Collier County Hunger and Homeless Coalition regarding the County's NSP draft of proposed use of funding. We appreciate the opportunity. Background information and HUD recommendations: The Neighborhood Stabilization Program (NSP) appropriates $3.92 billion to communities and states across the country. Collier County is eligible for $7,306,755.00 to be used for: • Establishing financing mechanisms for purchase and redevelopment of foreclosed homes • Purchasing or rehabilitating homes and residential properties that have been abandoned or foreclosed, in order to sell, rent, or redevelop such homes and properties • T'stablishing land banks for homes that have been foreclosed upon • Demolishing blighted structures • Redeveloping demolished or vacant properties HUD ideas for how you might use die motley to serve the homeless and al -risk population: • Purchase several single-family homes in a neighborhood and create a permanent supportive housing project for homeless persons. • Purchase a single-family home and rehabilitate it to contain two or three apartments to be used as permanent housing for homeless Persons, • Purchase a residential property and construct an apartment complex which will be used as permanent housing for homeless persons. Thank you, 11 Debra Mahr/Executive Director Response #4 From: KtombineMarcy Sent: Friday, November 07, 2008 8:19 AM To: 'Debi Malle Subject: RE: Public Comment Agenda Item No. 16D3 November 18, 2008 Page 24 of 39 The Department of Housing and Human Services is in receipt of your public comment for the draft of the NSP Action Plan. In your comment, you propose the increase of funding for 50% and below of the AMI to 40%, Your comments will be included in the Action Plan and presented to the Board of County Commissioners. Please understand that the grant only provides for housing units and does not provide any operating funds for these units. In speaking with various members of the HUD staff in Washington, DC and local housing partners who serve those needing transitional or permanent housing for the very low income of Collier County, there is a concern about staffing for expanded housing services. While Housing and Human Services is the lead agency for the Continuum of Care and understands the need, it is critical for us to assure that any units dedicated to 50% of the AMI or below can and will be properly managed by our area agencies. As we move forward, we will indeed look to formalize partnerships with agencies that have the capacity to take on additional properly management for the very low income, elderly, special needs, homeless and those at risk. Marcy Krumbine,MPA Public Comment #5 November 6, 2008 Marcy Krumbine Director Collier County Housing & Human Services 3050 North Horseshoe Drive, Suite I10 Naples, FL 34104 Re: Action Plan for Neighborhood Stabilization Program Dear Ms. Krumbine: Thank you for including the Collier County Housing Authority in the Action Plan, as a potential partner with Collier Comity, in meeting the needs of the county through the Neighborhood Stabilization Program, particularly the 25% targeted to individuals and families at 50% AM] or below. Our considerable experience includes dealing with very low income households through the federal programs we administer. That experience and skills involves all aspects of property management and familiarity with some of the federal compliance requirements, Faun Worker Village, a multifamily development of 611 units, is one of the three developments that we own and manage in Immokalee, We also have a track record in the administration of a Section 8 Housing Choice Voucher Program, a rental subsidy program, county -wide. One of the components of that program involves conducting inspections of housing units utilizing HUD's Housing Quality Standards. We stand ready to assist and partner with you and your department in meeting the local goals as described in the action plan, as well in the following manner: 1. Multifamily projects could be deeded to the Housing Authority for potential use us new affordable housing for families at 50% or less AMI with the understanding that deed restrictions would apply. 2. Scattered single family units could be deeded to tile Housing Authority for use as scattered site affordable housing rentals where mortgages/gap financing may not be available for families with the understanding that deed restrictions would apply. 3. Work with the Continuum of Care partners in providing housing for homeless families or individuals, that at risk, elderly or special needs. 4. Work with local partners to create a land bank of properties. Thank you again for the potential opportunity to partner with the county in addressing the affordable housing issues in the community. 12 Agenda Item No. 16133 November 18, 2008 Page 25 of 39 Sincerely, Esmeralda Serrata, PMA Executive Director Response 45 None. G. NSP INFORMATION BY ACTIVITY (COMPLETE FOR EACiI ACTIVITY) Activity #1 - Acquisition and Rehabilitation of Foreclosed Properties for Resale (1) Activity Name: Acquisition and Rehabilitation of Foreclosed Properties for Resale (2) Actives Type: Acquisition and Rehabilitation of Foreclosed Properties for Resale Purchase and rehabilitate homes and residential properties that have been abandoned or foreclosed upon, in order to sell, rent or redevelop such homes and properties; r 24 CFR 570.201(a) Acquisition; • 24 CFR 570.201(b) Disposition; • 24 CFR 570.201(i) Relocation; • 24 CFR 570,201 (it) Direct homeownership assistance (as modified below); o 570.202 eligible rehabilitation and preservation activities for homes and other residential properties (HUD notes that rehabilitation may include counseling for those seeking to take part in the activity), (3) National Objective: Provides or improves permanent residential structures that will be occupied by a household whose income is at or below 120 percent of area median income. (4) Proieged Start Date: January 15, 2009 (5) Proiected End Date: July 30, 2013 (6) Responsible Organization: Collier County Department of Housing and Human Services; 3301 E Tamiami Trail, Building H, Suite 211, Naples, FL 34112, The County may solicit through Requests for Qualifications and/or Requests for Proposals organizations/partners to participate in the program, (7) Location Description: Collier County will assist those areas defined in Section A. Areas of Greatest Need— Identified Program Target Areas. The County will continue to monitor local foreclosure data and intend the NSP Program to be flexible to allow for timely reaction to any significant changes in the local housing market. (8) Activity Description: Include a narrative describing the area of greatest need that the activity addresses; the expected benefit to income -qualified persons; and whether funds used for this activity will be used to meet the low income housing requirement for those below 50% of area median income. For housing related activities, include: • tenure of beneficiaries --rental or homeownership; • duration or term of assistance; 13 Agenda Item No. 16133 November 18, 2008 ® a description of how the design of the activity will ensure continued affordability. Page 26 of 39 For acquisition activities, include: • discount rate For financing activities, include: range of interest rates Narrative Response: Collier County's Department of Housing and Human Services will be the lead agency in working with local lenders to acquire homes that have been foreclosed, vacant for at least ninety (90) days and on the lender's list of current inventory. The County may partner with various community organizations and agencies to identify properties suitable for NSP assistance, Nonprofit and/or charitable organizations with a proven track record of successfully implementing this activity, as well as administering U.S. Department Housing and Urban Development grant funds, may be solicited to perform all or parts of this activity. The Department of Housing and Human Services will consult the County's list of approved contractors and developers when rehabilitation is required. The County shall identify properties for sale in the areas of greatest need. If required, a rehabilitation plan shall be developed and the County and/or housing partners will determine if acquisition of the subject property is financially feasible. The purchase price for all properties acquired with NSP Funds during the initial 18 month period shall be discounted at least 15 percent from the current market -appraised value of the home or residential property and that such discount shall ensure that purchasers are paying below-market value for the home or property. The current market appraisal will be made in conformity with the requirements of the URA at 49 CFR 24.103 and completed within 60 days prior to an offer to purchase made by the County or an approved housing partner. If required, rehabilitation shall be completed and the subject property will be sold to an income eligible applicant earning no more than 120% of local area median income. The applicant will procure a fixed-rate mortgage through the Collier County Loan Consortium, local banks, FHA or USDA. The interest rate shall not exceed one (1) percent above the then current 60 day Fannie Mae Index. Additionally, no mortgage insurance is allowed (the only exception being F14A Home Loans), all loans shall be fully documented, no pre -payment penalties are permitted, closing costs must be reasonable and customary and applicants' total debt -to -income ratio must be reasonable as determined by the Collier County Department of Housing and Human Services. All lenders providing first mortgage financing for homes or residential properties assisted with NSP Funds agree to comply with the bank regulators' guidance for non-traditional mortgages. Refer to Statement on Subprime Mortgage Lending issued by the Office of the Comptroller of the Currency, Board of Governors of the Federal Reserve System, Federal Deposit Insurance Corporation, Department of the Treasury, and National. Credit Union Administration, available at http://www.fdic.govh•egulations/laws/rules/5000-5160.html, Aportion of the NSP Funds used in the acquisition and/or rehabilitation may remain in the home or residential property to provide down payment assistance and increase affordability. The homes targeted for NSP assistance will be properties that have been foreclosed, bank -owned, and vacant for at least ninety (90) days. The County shall negotiate with local banks to purchase properties at a discount rate of at least 15 percent from the current market -appraised value. The current market appraisal will be made in 14 Agenda Item No. 15D3 November 18, 2008 conformity with the requirements of the URA at 49 CFR 24.103 and completed within 60 days pViWg6Wdffer to purchase made by the County or an approved housing partner. Collier County anticipates that many of the homes or residential properties acquired with NSP Funds will require rehabilitation and/or improvements to bring the home or residential property into compliance with current code for Collier County as detailed in Section C of this Substantial Amendment. Collier County shall prepare a written Rehabilitation Specification Report for each property to be used to describe in detail the required rehabilitation and establishment of a cost estimate for the work plan, Additionally, the County will strongly encourage the incorporation of green building improvements to provide long-term affordability, increased sustainability and attractiveness of housing and neighborhoods. Collier County encompasses a large coastal area that subjects the residents to the risk of hurricanes and severe flooding. The County will encourage hurricane hardening and damage mitigation during rehabilitation. Collier County will ensure long term affordability though the use of a recorded lien against the property. If an owner who has been assisted though this program transfers title to the property before the affordability period expires, the assistance provided by the County will be subject to recapture. The County will monitor assisted units on an annual basis during the affordability period, All properties receiving assistance from the Neighborhood Stabilization Program (NSP) will be secured by a recorded second mortgage on the subject property in favor of Collier County, In the event the unit is transferred to an owner(s) deemed eligible for assistance under NSP guidelines, the amount of assistance will remain in the subject property to provide down payment assistance. In the event the unit is transferred to an owner(s) deemed ineligible for assistance under NSP guidelines, the amount of assistance will be recaptured. The down payment second mortgage shall bear an interest rate of 0%. No payment will be required until the home is sold, transferred, refinanced, is no longer the primary homesteaded residence or is operated for an activity deemed ineligible for assistance under NSP guidelines. At that time the balance of the loan will be repaid. The County will use the minimum affordability period of the federal HOME Investment Partnership Program, 24 CFR 92,252(a), (c), (e) and (f), and 92.254. The minimum affordability periods are as follows: • Up to $ 15,000 — 5 Years • $15,001 to $40,000— 10 Years • Over $40,001 — 15 Years • New Construction — 20 Years The Collier County Department of Housing and Human Service's shall maintain an active list of income - qualified and mortgage ready applicants. Under direction from the Housing Manager, staff members shall meet with and pre -qualify potential homebuyers on a regular basis. The applicant(s) will be qualified based on criteria such as household income, job stability, credit history and liquidity. A minimum of 25 percent of the Collier County NSP Allocation shall be used to assist households earning less than 50 percent local area median income, In no event shall NSP Funds be used to assist households earning more than 120 percent local area median income. All applicants must receive at least eight (8) hours of homebuyer education from a U.S. Department of Housing and Urban Development certified counselor. In the event Collier County is unable to sell the acquired home or residential property, the County may, at its sole discretion, deed the property to the Collier County Housing Authority or nonprofit provider of affordable housing. All affordability restrictions fisted above shall still apply and the unit(s) must be occupied by 15 Agenda Item No. 16D3 November 18, 2008 households earning no more than 120 percent of the local area median income. Special preferenEnhaff M39 given to those who are currently homeless, at risk of homelessness, elderly or special needs. All tenants must be income -qualified and rents may not exceed the limits as established in Section C. Definitions and Descriptions, (2) Definition of "affordable rents". Collier County shall place program income derived from the sale of the home or residential property into a separate revolving fund to recycle the NSP Funds, Program income shall be used for any eligible NSP Activity listed within this Substantial Amendment, a portion of which may be used for program administration. A minimum of 25 percent of the Collier County NSF Allocation shall be used to assist households earning less than 50 percent local area median income. In no event shall NSP Funds be used to assist households earning more than 120 percent local area median income. Activity #2 - Acquisition and Rehabilitation of Foreclosed Properties for Rental (1) Activity Name: Acquisition and Rehabilitation of Foreclosed Properties for Rental (2) Activity Type; Acquisition and Rehabilitation of Foreclosed Properties for Rental • Purchase and rehabilitate homes and residential properties that have been abandoned or foreclosed upon, in order to sell, rent or redevelop such homes and properties; • 24 CFR 570.201(a) Acquisition; • 24 CFR 570.201(b) Disposition; • 24 CFR 570.201(i) Relocation; • 24 CFR 570,201(n) Direct homeownership assistance (as modified below); o 570.202 eligible rehabilitation and preservation activities for homes and other residential properties (HUD notes that rehabilitation may include counseling for those seeking to take pint in the activity). (3) National Objective: Provides or improves permanent residential structures that will be occupied by a household whose income is at or below 120 percent of area median income. (4) Projected Start Date: January 15, 2009 (5) Projected End Date: July 30, 2013 (6) Responsible Organization: Collier County Department of Housing and Human Services; 3301 E Tamiami Trail, Building H, Suite 211, Naples, FL 34t 12. The County may solicit through Requests for Qualifications and/or Requests for Proposals organizations/partners to participate in the program. (7) Location Description: Collier will assist those areas defined in Section A. Areas of Greatest Need — Identified Program Target Areas. The County will continue to monitor local foreclosure data and intend the NSP Program to be flexible to allow for timely reaction to any significant changes in the local housing market (8) Activity Description: Include a narrative describing the area of greatest need that the activity addresses; the expected benefit to income -qualified persons; and whether funds used for this activity will be used to meet the low income housing requirement for those below 50% of area median income. 16 For housing related activities, include: Agenda Item No. 16D3 November 18, 2008 Page 29 of 39 • tenure of beneficiaries --rental or homeownership; • duration or term of assistance; • a description of how the design of the activity will ensure continued affordability. For acquisition activities, include: • discount rate For financing activities, include; • range of interest rates Narrative Response: Collier County's Department of Housing and Human Services will be the lead agency in working with focal lenders to acquire homes that have been foreclosed, vacant for at least ninety (90) days and on the lender's list of current inventory. The County may partner with various community organizations and agencies to identify properties suitable for NSP assistance, Nonprofit and/or charitable organizations with a proven track record of successfully implementing this activity, as well as administering U.S. Department Housing and Urban Development grant funds, may be solicited to perform all or parts of this activity. The Department of Housing and Human Services will consult the County's list of approved contractors and developers when rehabilitation is required. The County shall identify properties for sale in the areas of greatest need. If required, a rehabilitation plan shall be developed and the County and/or housing partners will determine if acquisition of the subject property is financially feasible. The purchase price for all properties acquired with NSP Funds during the initial 18 month period shall be discounted at least 15 percent from the current market -appraised value of the home or residential property. The current market appraisal will be made in conformity with the requirements of the URA at 49 CFR 24.103 and completed within 60 days prior to an offer to purchase made by the County or an approved housing partner. If required, rehabilitation shall be completed and the subject property will be rented to an income eligible applicant earning no more than 120% of local area median income. Collier County anticipates that many of the homes or residential properties acquired with NSP Funds will require rehabilitation and/or improvements to bring the home into compliance current code for Collier County as detailed in Section C of this Substantial Amendment. Collier County shall prepare a written Rehabilitation Specification Report for each property to be used to describe in detail the required rehabilitation and establishment of a cost estimate for the work plan. Additionally, the County will strongly encourage the incorporation of green building improvements to provide long-term affordability, increased sustainability and attractiveness of housing and neighborhoods. Collier County encompasses a large coastal area that subjects the residents to the risk of hurricanes and severe flooding. The County will encourage hurricane hardening and damage mitigation during rehabilitation. Collier County will ensure long term affordability though the use of a recorded lien against the property. All rents charged shall conform to the Fair Market Rents (FMR) limits as defined in Section C. Definitions and Descriptions, Part 2, as amended from time to time by the U.S Department of Housing and Urban Development, The County will monitor assisted units on an annual basis during the affordability period. 17 Agenda Item No. 1603 November 18, 2008 All properties receiving assistance from the Neighborhood Stabilization Program (NSP) will be. 81�49ed"dPq a9 recorded second mortgage on the subject property in favor of Collier County. The interest rate shall be 0%. In the event the unit(s) is transferred, refinanced or operated for an activity deemed ineligible for assistance under NSP guidelines, the amount of assistance will be recaptured. The County will use the minimum affordability period of the federal HOME Investment Partnership Program, 24 CFR 92.252(a), (c), (e) and (0, and 92.254. The minimum affordability periods are as follows: • Up to $15,000 — 5 Years • $15,001 to $40,000 — 10 Years • Over $40,001 — 15 Years • New Construction— 20 Years A portion of the NSP Funds used in the acquisition and/or rehabilitation may remain in the home or residential property to provide a subsidy to the renter and increase the subject property's affordability. Collier County shall place program income derived from the rental operations of the home or residential property into a separate revolving fund to recycle the NSP Funds. Program income shall be used for any eligible NSP Activity listed within this Substantial Amendment, a portion of which may be used for program administration. The Collier County Department of Housing and Human Service's may partner with for-profit or nonprofit organizations to provide services such as, but not limited to, property management services, tenant selection and collection of monthly rental payments. Currently, the Collier County Housing Authority operates a Tenant - Based Rental Assistance (TBRA) Program. The agency has a proven track record of providing a compliant Section 8 Department of Housing and Urban Development rental subsidy program. The TBRA program is designed to include a preference for those who are currently homeless, at risk of homelessness, elderly or special needs while meeting the fluctuating demands for housing. Collier County or its housing partner may contact local social service agencies for tenant referrals, Currently, the following agencies provide referrals for the TBRA program: St, Matthew's House, Shelter for Abused Women and Children, Salvation Army, Catholic Charities, Collier County School Resources and Immokalee Friendship House. Applicants seeking assistance through the TBRA program are required to meet income guidelines and are subject to criminal background screening. A minimum of 25 percent of the Collier County NSP Allocation shall be used to assist households earning less than 50 percent local area median income, In no event shalt NSP Funds be used to assist households earning more than 120 percent local area median income. Activity #3 — Direct Homebuyer Assistance to Acquire Foreclosed Properties (1) Activity Name: Direct Homebuyer Assistance to Acquire Foreclosed Properties (2) Activity Tvae: Direct Homebuyer Assistance to Acquire Foreclosed Properties • Purchase and rehabilitate homes and residential properties that have been abandoned or foreclosed upon, in order to sell, rent or redevelop such homes and properties; • 24 CFR 570.201(a) Acquisition; • 24 CFR 570.201(6) Disposition; • 24 CFR 570,201(1) Relocation; • 24 CFR 570.201(n) Direct homeownership assistance (as modified below); 18 Agenda Item No. 16p3 November 18, 2008 0 570.202 eligible rehabilitation and preservation activities for homes and other reslikWidll of 39 properties (HUD notes that rehabilitation may include counseling for those seeking to take part in the activity). (3) National Objective: Provides or improves permanent residential structures that will be occupied by a household whose income is at or below 120 percent of area median income. (4) Projected Start Date: January 15, 2009 (5) Projected End Date: July 30, 2013 (6) Responsible Organization: Collier County Department of Housing and Human Services; 3301 E Tamiami. Trail, Building H, Suite 211, Naples, FL 34112. The County may solicit through Requests for Qualifications and/or Requests for Proposals organizations/partners to participate in the program. (7) Location Description: Collier County will assist those areas defined in Section A. Areas of Greatest Need — Identified Program Target Areas. The County will continue to monitor local foreclosure data and intend the NSP Program to be flexible to allow for timely reaction to any significant changes in the local housing market. (S) Activity Description: Include a narrative describing the area of greatest need that the activity addresses; the expected benefit to income -qualified persons; and whether funds used for this activity will be used to meet the low income housing requirement for those below 50% of area median income. For housing related activities, include: - • tenure of beneficiaries --rental or homeownership; • duration or term of assistance; • a description of how the design of the activity will ensure continued affordability. For acquisition activities, include: • discount rate For financing activities, include: • range of interest rates Narrative Response: Collier County's Department of Housing and Human Services will be the lead agency in working with local residents to acquire homes that have been foreclosed, vacant for at least ninety (90) days and on the tender's list of current inventory. The County may partner with various community organizations and agencies to assist persons locate properties suitable for NSP assistance, Nonprofit and/or charitable organizations with a proven track record of successfully implementing this activity, as well as administering U.S, Department Housing and Urban Development grant fords, may be solicited to perform all or parts of this activity. The Direct Homebuyer Assistance Activity shall assist first-time homebuyers by paying a portion of their down payment and closing cost expense. The activity provides assistance for the purchase of single family homes, duplexes, condominiums, townhouses or DCA approved manufactured homes. 19 Agenda Item No. 16D3 November 18, 2008 The purchase price for all properties acquired with NSP Funds during the initial 18 month period'sW138mf 38 discounted at least 15 percent from the current market-appraised value of the home or residential property. The current market appraisal will be made in conformity with the requirements of the URA at 49 CFR 24.103 and completed within 60 days prior to an offer to purchase made by the applicant. All households assisted must earn no more than 120 percent of the local area median income. The applicant will procure a fixed-rate mortgage through the Collier County Loan Consortium, local banks, FHA or USDA. The interest rate shall not exceed one (1) percent above the then current 60 day Fannie Mae Index. Additionally, no mortgage insurance is allowed (the only exception being FHA Home Loans), all loans shall be fully documented, no pre-payment penalties are permitted, closing costs must be reasonable and customary and applicants' total debt-to-income ratio must be reasonable as determined by the Collier County Department of Housing and Human Services. All lenders providing first mortgage financing for homes or residential properties assisted with NSP Funds agree to comply with the bank regulators` guidance for non-traditional mortgages. Refer to Statement on Subprime Mortgage Lending issued by the Office of the Comptroller of the Currency, Board of Governors of the Federal Reserve System, Federal Deposit Insurance Corporation, Department of the Treasury, and National Credit Union Administration, available at http://www.fdic.go\,/regulations/laws/rules/5000-5160,html. Collier County will ensure long term affordability though the use of a recorded lien against the property. The County will monitor assisted units on an annual basis during the affordability period. Additionally, all properties receiving assistance from are Neighborhood Stabilization Program (NSP) will be secured by a recorded second mortgage on the subject property in favor of Collier County. The down payment second mortgage shall bear an interest rale of 0%. No payment will be required until the home is sold, transferred, refinanced, is no longer the primary homesteaded residence or is operated for an activity deemed ineligible for assistance under NSP guidelines. At that time the balance of the loan will be repaid. All applicants will be taken on a first-come-first-served basis. Applicants must meet NSP income guidelines, as well as the following: applicant must be a first time home buyer, defined as not having home ownership interest in a residential property during the past three (3) years, a single parent with children under the age of eighteen (18) who has recently been divorced and displaced, a displaced victim of domestic violence, or a person displaced as the result of some government action; the assisted residential property must be located within the boundaries of Collier County, Florida and the purchase price may not exceed $200,000. The County will use the minimum affordability period of the federal HOME investment Partnership Program, 24 CFR 92.252(a), (c), (e) and (f), and 92.254. The minimum affordability periods are as follows: Up to $15,000 — 5 Years • $15,001 to $40,000 — 10 Years • Over $40,001 — 15 Years • New Construction — 20 Years Collier County shall place program income derived from the sale of the home or residential property into a separate revolving fund to recycle the NSP Funds, Program income shall be used for any eligible NSP Activity listed within this Substantial Amendment, a portion of which may be used for program administration. 20 Agenda Item No. 16D3 November 18, 2008 In no event shall NSP Funds be used to assist households earning more than 120 percent local arL'�sa�a�4arS 39 income. All applicants must receive at least eight (8) hours of homebuyer education from a U.S. Department of _. Housing and Urban Development certified counselor. Activity tW — Homebuyer Education (1) Activity Name: Homebuyer Education (2) Activity TvTe: Homebuyer Education e Purchase and rehabilitate homes and residential properties that have been abandoned or foreclosed upon, in order to sell, rent or redevelop such homes and properties; e 24 CFR 570,201 (a) Acquisition; • 24 CFR 570,201(b) Disposition; • 24 CFR 570,201(i) Relocation; • 24 CFR 570.201 (it) Direct homeownership assistance (as modified below); o 570.202 eligible rehabilitation and preservation activities for homes and other residential properties (HUD notes that rehabilitation may include counseling for those seeking to take part in the activity). (3) National Obiective: Provides or improves permanent residential structures that will be occupied by a household whose income is at or below 120 percent of area median income. (4) Proiected Start Date: January 15, 2009 " (5) Projected End Date: July 30, 2013 (6) Responsible Organization: Collier County Department of Housing and Human Services; 3301 E Tamiami Trail, Building H, Suite 211, Naples, FL 34112. The County may solicit through Requests for Qualifications and/or Requests for Proposals organizations/partners to participate in the program. (7) Location Description: Collier will assist those areas defined in Section A. Areas of Greatest Need — Identified Program Target Areas, The County will continue to monitor local foreclosure data and intend the NSP Program to be flexible to allow for timely reaction to any significant changes in the local housing market. (8) Activity Description: Include a narrative describing the area of greatest need that the activity addresses; the expected benefit to income -qualified persons; and whether funds used for this activity will be used to meet the low income housing requirement for those below 50% of area median income. For housing related activities, include: • tenure of beneficiaries --rental or homeownership; • duration or term of assistance; • a description of bow the design of the activity will ensure continued affordability. For acquisition activities, include: • discount rate For financing activities, include: 21 • range of interest rates Nagative Response: Agenda Item No. 16D3 November 18, 2008 Page 34 of 39 Collier County's Department of Housing and Human Services will partner with local nonprofit agencies to provide homebuyer education. All homebuyer education and counseling shall be performed by HUD certified counselors. Currently, there are approximately 6,000 foreclosed upon residential properties in Collier County with an estimated 750 additional foreclosures filed each month. In order to have a successful NSP Program, Collier County will partner with local nonprofits to educate prospective homebuyers about successful homeownership. Collier County currently contracts with two local agencies to provide homebuyer education. Each organization provides a minimum of eight (8) hours of education to each participant. The eight (8) hours is provided in the form of group education and private individual counseling. Annually this program serves over 800 prospective homeowners. The Empowerment Alliance of Southwest Florida focuses efforts in the Immokalee area of Collier County, They are certified by the Neighbor Works Center of Homeownership Education and Counseling (NCHEC). This organization is also a HUD certified counseling agency and operates in an area designated by HUD as a revitalization community. The Collier County Housing Development Corporation focuses efforts throughout Collier County. They also are certified by the Neighbor Works Center of Homeownership Education and Counseling (NCHEC). This agency is currently seeking HUD certification. Recognizing that Collier County is a diverse community, classes are offered in multiple languages. Examples of topics covered in the homebuyer education classes include, but are not limited to: -Understanding Credit -Getting a Mortgage Loan -Predatory Lending -Shopping for a Home -Keeping your Home -Home Maintenance -Managing your Finances -Responsibilities of Homeownership -Preparing for Homeownership -The Closing Process Activity #5 — Demolition of Acquired Foreclosed Properties (1) Activity Name: Demolition of Acquired Foreclosed Properties (2) Activity Tyne: Demolition and Clearance of Foreclosed Properties • Demolish blighted structures; • 24 CFR 570.201(d) Clearance for blighted structures only, (3) National Objective: Provides or improves permanent residential structures that will be occupied by a household whose income is at or below 120 percent of area median income. (4) Projected Start Date: January 15, 2009 (5) Projected End Date: July 30, 2013 22 Agenda Item No. 16D3 November 16, 2006 Page 35 of 39 (6) Responsible Organization: Collier County Department of Housing and Human Services; 3301 E Tamiami Trail, Building H, Suite 211, Naples, FL 34112. The County may solicit through Requests for Qualifications and/or Requests for Proposals organizations/partners to participate in the program. (7) Location Description: Collier County will assist those areas defined in Section A. Areas of Greatest Need — Identified Program Target Areas. The County will continue to monitor local foreclosure data and intend the NSP Program to be flexible to allow for timely reaction to any significant changes in the local housing market. (8) Activity Description: Include a narrative describing the area of greatest need that the activity addresses; the expected benefit to income -qualified persons; and whether funds used for this activity will be used to meet the low income housing requirement for those below 50% of area median income. For housing related activities, include: • tenure of beneficiaries --rental or homeownership; • duration or term of assistance; • a description of how the design of the activity will ensure continued affordability. For acquisition activities, include: • discount rate For financing activities, include: Y range of interest rates Narrative Response: Homes or residential properties acquired through the NSP Program that are not economically feasible to rehabilitate, pose a health threat or pose safety threat, may be demolished, Demolished properties may be placed in a land bank maintained by Collier County or provided to a local nonprofit provider of affordable housing. Additionally, NSP Funds may be used to construct a new home on the site. If the cost to rehabilitate the unit is greater than Fifty (50) percent of the acquisition price, and/or the cost of acquisition and rehabilitation exceeds one hundred (100) percent loan -to -value, the County will consider demolition. Collier County does not intend demolition to be a major activity in its NSP program. Rather, the County reserves the right to demolish an acquired property if deemed a more fiscally effective use of NSP Funds. The County shall abide by Uniform Relocation Action (URA) requirements for any affected household where a housing unit is being demolished that has not been vacant for greater than ninety (90) days. Collier County will avoid using NSP Funds to acquire homes or residential properties that have been vacant for fewer than ninety (90) days. Should Collier County or its housing partner construct a new unit on the site, such activity shall be governed by NSP guidelines as discussed in Activity #1 - Acquisition and Rehabilitation of Foreclosed Properties for Resale. Additionally, all households assisted must earn no more than 120 percent of the local area median income. The County will use the minimum affordability period of the federal HOME Investment Partnership Program, 24 CFR 92.252(a), (c), (e) and (f), and 92,254. The minimum affordability periods are as follows: 23 Agenda Item No. 16D3 November 18, 2008 Page 36 of 39 • Up to $15,000 — 5 Years • $15,001 to $40,000— 10 Years • Over $40,001 — 15 Years • New Construction — 20 Years Collier County shall place program income derived from the sale of the home or residential property into a separate revolving fund to recycle the NSP Funds. Program income shall be used for any eligible NSP Activity listed within this Substantial Amendment, a portion of which may be used for program administration. Activity t#6 — Land Banking of Acquired Properties (1) Activit Name: Land Banking of Acquired Properties (2) Activity Type: Land Banking of Acquired Properties • Establish land banks for homes that have been foreclosed upon; • 24 CFR 570.201(a) Acquisition; • 24 CFR 570.201(b) Disposition. (3) National Objective: Provides or improves permanent residential structures that will be occupied by a household whose income is at or below 120 percent of area median income. (4) Proiected Start Date: January 15, 2009 (5) Projected End Date: July 30, 2013 (6) Responsible Organization: Collier County Department of Housing and Human Services; 3301 E Tamiami Trail, Building H, Suite 211, Naples, FL 34112. The County may solicit through Requests for Qualifications and/or Requests for Proposals organizations/partners to participate in the program. (7) Location Description: Collier County will assist those areas defined in Section A. Areas of Greatest Need — Identi6ed Program Target Areas. The County will continue to monitor local foreclosure data and intend the NSP Program to be flexible to allow for timely reaction to any significant changes in the local housing market. (8) Activity Description: Include a narrative describing the area of greatest need that the activity addresses; the expected benefit to income -qualified persons; and whether funds used for this activity will be used to meet the low income housing requirement for those below 50% of area median income. For housing related activities, include: • tenure of beneficiaries --rental or homeownership; • duration or term of assistance; • a description of how the design of the activity will ensure continued affordability. For acquisition activities, include: • discount rate For financing activities, include: 24 • range of interest rates Narrative Response: Agenda Item No. 16D3 November 18, 2008 Page 37 of 39 Collier County may acquire properties that have been foreclosed and/or vacant for at least ninety (90) days and are on the lender's list of current inventory to be placed in a land bank. The purchase price for all properties acquired with NSP Funds during the initial 18 month period shall be discounted at least 15 percent from the current market -appraised value of the home or residential property. The current market appraisal will be made in conformity with the requirements of the URA at 49 CFR 24.103 and completed within 60 days prior to an offer to purchase made by the County or an approved housing partner. The County may partner with various community organizations and partners to identify properties suitable for NSP land banking. Properties acquired through this NSP Program for the purpose of being placed in a land bank may be demolished as discussed in Activity 45 - Demolition of Acquired Foreclosed Properties. Collier County will ensure long term affordability though the use of a recorded lien against the property. The County will monitor assisted units on an annual basis during the affordability period. Additionally, all properties receiving assistance from the Neighborhood Stabilization Program (NSP) will be secured by a recorded second mortgage on the subject property in favor of Collier County. The second mortgage shall bear an interest rate of 0%. No payment will be required until the home is sold, transferred, refinanced, is no longer the primary homesteaded residence or is operated for an activity deemed ineligible for assistance under NSP guidelines. At that time the balance of the loan will be repaid. Subsequent redevelopment shall abide by all local and state building codes. Collier County will require home rehabilitation to meet, or exceed, current Florida Building Code (FBC). The current code used by Collier County is the 2004 FBC; effective March I, 2009 the code will be updated to 2007 FBC. Collier County will encourage rehabilitation that improves the energy efficiency and/or conservation of dwelling units receiving assistance, Additionally, the County will strongly encourage the incorporation of green building improvements to provide long-term affordability, increased sustainability and attractiveness of housing and neighborhoods. Collier County encompasses a large coastal area that subjects the residents to the risk of hurricanes and severe flooding. The County will encourage hurricane hardening and damage mitigation during rehabilitation. The County will use the minimum affordability period of the federal HOME Investment Partnership Program, 24 CFR 92.252(a), (c), (e) and (f), and 92.254. The minimum affordability periods are as follows: • Up to $15,000 — 5 Years e $15,001 to $40,000 — 10 Years e Over $40,001 — 15 Years • New Construction — 20 Years A minimum of 25 percent of the Collier County NSP Allocation shall be used to assist households earning less than 50 percent local area median income. In no event shall NSP Funds be used to assist households earning more than 120 percent local area median income. An NSP -assisted property may not be held in a land bank for more than ten (10) years without obligating the property for a specific, eligible redevelopment of that property in accordance with NSP requirements. 25 Agenda Item No, 16D3 Collier Comity shall place program income derived from the sale of the home or residentialNovember08 P P ro SAge 1iMcd 39 separate revolving fund to recycle the NSP Funds. Program income shall be used for any eligible NSP Activity listed within this Substantial Amendment, a portion of which may be used for program administration 1. Total Budget: Narrative Response, Refer to Exhibit ,A,,. The U.S, Department of Housing and Urban Development allows up to 10 percent of the NSP grant provided to Collier County and up to 10 percent of program income earned for general administration and planning activities as those are defined at 24 CFR 570.205 and 206. The 10 percent limitation applies to the grant as a whole. Additionally, HUD recognizes the need to move forward rapidly to prepare this substantial amendment and to undertake other administrative actions. Therefore HUD has granted permission to incur pre -award costs effective September 29, 2008 in preparation of the substantial amendment. J. Performance Measures (e.g„ units of housing to be acquired, rehabilitated, or demolished for the income levels of households that are 50 percent of area median income and below, 51-80 percent, and 81-120 percent): Narrative Response: Collier County shall include performance measures in all agreements with local partners contracted with to implement activities described in this Substantial Amendment. Such measures shall ensure funds are expended within the initial NSP required 18 -month time period, Collier County shall monitor all progress to ensure the housing activities listed in this amendment are completed in a timely manner and local benefit achieved as soon as possible, Collier County estimates the total number of units assisted with the initial $7,306,755 allocation to be 59, As assisted units are sold or transferred, program income shall return to the County, The County may use the program income received for any activities listed in this substantial amendment, a portion of which may be used for program administration. The following is a list, by income level, of total units of housing to be assisted with NSP Funds: • Low Income —households earning 50% of area median income or less; 0 15 units • Moderate Income —households earning between 51% and 80% area median income; o 22 units • Middle Income — households earning between 81 % and 120% area median income; o 22 units Summary of Proiected Number of Units Assisted Activity Low Type income Moderate I Income Middle Income Acquistion for Resale 3 ] 3 13 Acquistion for Rental 6 2 2 Direct Assistance 2 3 3 Demolition 2 3 3 Land Banking 2 1 1 Total 15 221 22 26 o n a b o z 0 0 H d � vi vi 0 a w 0 0 o U o n a b o 0 0 0 � vi vi 0 0 0 0 0 O A\ b O d b d �D E,p dnorovNi'T 69 09 0 fA 6n 69 N) 69 x 0 0 0 0 0 8 0 C, C, C> 0 0 0 0 p 0 0 0 0 0 0 0 0 y. 00 b O 0 O 0 00 'n ° o aviovio0p" N M e ti V1 69 Cfi b9 64 (� (f) H3 b4 O O b 0 0 0 e p vi v� 0 0 0 0 0 d Vl d' 0 0 0 0 0 rN 0 0 0 0 t4 'o M O O O O N u q m O N ° tf� 69 69 G9 G9 b9 69 b9 b4 0 0 O y, Q 0 0 0 6 0 Vi ' It Cl O O 0 Vi r �/1 N 0 0 0 0 tn r" U b C> O O P �o 0= Yf 4A EA 69 69 69 69 b9 fi9 xx� � ; H a ^°� o Uo U 0 0 0 .a 0 0 ti o ou 00 y[' '� v 04 91 w y'��aw �,�•°x v p pa a o � a t c4 O a .-1 Pi