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HomeMy WebLinkAbout1993-12-27 94-58 ORDERCOUNCIL ACTION Date: December 29 1993 2tam No. 94-58 Item/Subject: Authorization to Submit Comprehensive Housing Affordability Strategy (CHAS) and Annual Performance Report for FY 1994 and FY 1995 Responsible Department: Community and Economic Development See attached Memorandum from the Community Development Director dated December 15, 1993. Associated Infeemation: Oiel A"414' Finance Director Legal Approval: Mi Ci tyV„S/ol gTym i Ci to % Passage First Reading Referral Page of 94-58 A Apedto Coundtor Popper December 27, 1993 CITY OF BANGOR aims MrbeT Authorization to Submit a,Comprehensive Housing Affordability Strategy (CHAS) and Annual Performance Report for By 1994 and By 1995 By w Cita Cement! of an ofBavonr: ORDERED, THAT the City Council of Bangor, as the local governing body, hereby authorizes and directs the City Manager to submit to and file with the Department of Housing and urban Development a Comprehensive Housing Affordability Strategy (CHAS) and Annual Performance Report for the 1994 and 1995 federal fiscal years, a required by 24 CPR Part 91 of the federal regulations. A copy of the completed CHAS and Annual Performance Report shall be placed on file with the City Clerk and be available for public review. 9¢-50 O ROER IN CITY COUNCIL December 27, 1993 p Title, Authorization it to Submit a Com(CHAS) and sive Housing nce Report Strangy199 (GRAS) and Annual Performance Report ... .. .... and .. 1995 CITY- 'ERK...................................... .......................................... ' ............. I: I r ................ // Councilman 94-58 MEMORANDUM TO: Community a Economic Development Committee FROM: Rodney McKay, Community Development Director SUBJECT: Comprehensive Housing Affordability Strategy (CHAS) DATE: December 15, 1993 To maintain its eligibility for federal programs available through the U.S. Department of Housing and Urban Development (HUD), Title I of the National Affordable Housing Act requires the City to prepare and submit to BUT a Comprehensive Housing Affordability Strategy (CHAS).- The CHAS is a comprehensive planning document that identifies the City's needs for affordable and supportive housing and addresses a strategy to address those needs. The CRAB contains 14 elements which: 1. Describe the City's housing needs and market conditions, 2. Set out a five year strategy that establishes priorities for meeting those needs, 3. Identify resources anticipated to be available for the provision of affordable and sportive housing, and 4. Establish a short-term investment plan that outlines the intended uses of resources. To receive funding from HUD for.any of the programs listed below, an applicant, whether the City of Bangor or another entity such as the Bangor Housing Authority or other nonprofit organizations located in Bangor, must include in its application a certification that it is consistent with the City's CHAR. The HUD programa affected are: 1. 1 HOME Program (Available to states and cites with populations over 50,000. Funds can be used to acquire, rehabilitate - or construct affordable housing and provide tenant based rental assistance.) 2. HOPE 1 (Public Housing Homeownership) Program 3. HOPE 2 (Homeownership of Multifamily Unite) Program 4. HOPE 3 (Homeownership of Single Family Homes) Program 94-58 S. HOPE for Youth (Youthbuild) Program 6. Community Development Block Grant Programs 7. Low -Income Housing Preservation Program (State - administrated) 8. Shelter Plus Care Program 9. Supportive. Housing for the Elderly (Section 202) Program 10. Supportive Housing for Persons with Disabilities Program 11. Emergency Shelter Grants Program 12. Safe Havens for Homeless Individuals Program 13. Supportive Housing Program 14. Moderate Rehabilitation Single Room Occupancy Program 15. Housing Opportunities for Persons with AIDS Program 16. Rural Homeless Grant Program 17. Revitalization of Severely Distressed Public Housing Program RECOM4:HDED CHAS STRATEGY Severely reduced levels of federal funding to support affordable housing make it extremely difficult for communities to address the needs that exist.. In general terms, themstrategies proposed in this CHAS to increase affordable housing opportunities for low-income, elderly, homeless and disabled persons are: 1. Rehabilitation ofexisting housing to: a. Preserve the existing housing stock; L. Correct code violations and life safety deficiencies; C. Increaseergy efficiency and maintainability d. Remove accessibility barriers to persons with disabilities; 2 94-58 e. Modify vacant space for use as affordable' housing which will pay full property taxes; I. Increase the capacity of existing emergency shelters, transitional housing, supportive - housing, group homes, and independent living centers. Rehabilitation will be financed through available federal and.state programs such as HOB's Community Development Block Grants (COED), EOE's weatherization Program, IRS low-income housing tax credits, and MENA- shelter, property owner and rental property assistance programs. 2. Rental subsidies for very low-income persons who have a rent burden greater than 30& of household income, when the occupied living units pay full property taxes. Rental subsidies will be provided by HUD's Section 8 Existing Housing Rental Assistance Certificates and Vouchers, when available. Temporary rental assistance will continue to be provided through the State and locally -funded General Assistance Program when such assistance is required to prevent homelessness. 3. Acpuisition by the City of surplus and vacant tax- exempt housing units for use e by the City and participating non -profits fortransitional housing for the homeless. The City's acquisition of excess Charleston Family Housing units is the primary example of such acquisition. 4. New Construction of affordable housing when: a. Existing affordable housing is inadequate or unavailable to prevent homelessness; b. New construction will pay full property taxes; C. New construction will not displace existing taxable housing; d. New construction allows greater geographic and locational choice; e. New construction conforms to zoning, land use plan and ABA requirements; - f. New construction does not require unplanned expansion or extension of public and utility infrastructure. 3 94-58 . " New construction of affordable housing will be carried out by either for-profit developers who receive a federal financial incentive, or by non- profits who receive subsidized financing from HUD and/or MBNA preferably at terms which permit an after debt -service cash flow adequate for the payment of property taxes. S. Provision of support facilities and serviceo, by means of the continued: a. Operation .of the Health and welfare Department's Domestic Violence Shelter; b. operation of the Children's Dental Clinic; C. Operation of the General Assistance Program; d. Operation of the Greater Bangor Ride Program subsidized transportation voucher program; e. Operation of the Bangor School Department's Homeless Education Project; f. Operation of the Bangor School Department's After School Latch Key Program; g. United way and Combined Charitable Campaign support of non-profit health and social service providers; h. Availability of the State of Maine Circuit Breaker Program to assist low-income property tax payers with a high tax liability relative to income. Although the City has prepared and adopted two five year CHAS documents in the last 2 1/2 years, the last being 170 pages long, changes in administrations, legislation, and the recent availability of 199D census information require that's completely new CHAS be adopted and submitted no later than December 31st. Another new five year CHAS will be required next year when the Clinton administration initiates its new policy consolidating all presently required HUD submissions. The complete document, expected to be near 200 pages in length, will be completed and on file in the City Clerk's office prior to the December 2?th City Council meeting.