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A Request to Amend the 2022-2023 HOME Investment Partnership Program Annual Plan
PURPOSE: The purpose of this item is to request that the Town Council consider approving a proposed amendment to the 2022-2023 HOME Investment Partnership Program Annual Plan that was approved by the Town Council on June 14, 2022. The Plan amendment would reallocate $105,000 originally allocated to EmPOWERment, Inc. to acquire a rental unit in Carrboro to instead acquire an affordable rental property in Chapel Hill.
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DEPARTMENT: Housing and Community Services
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CONTACT INFORMATION: Anne-Marie Vanaman, Interim Director, amvanaman@carrboronc.gov <mailto:amvanaman@carrboronc.gov>
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INFORMATION: Every year, state and local governments (“Participating Jurisdictions”) that receive HOME Investment Partnerships Program (“HOME”) funds from the U.S. Department of Housing and Urban Development (“HUD”) are required to complete an Annual Action Plan <https://orangecountync.gov/DocumentCenter/View/21628/Orange-County-FY-2022-2023-HOME-Annual-Action-Plan-FINAL?bidId=> that lays out how they will allocate HUD funds for the upcoming program year to address the goals and priorities in the Consolidated Plan <https://orangecountync.gov/DocumentCenter/View/10806/Orange-County-NC-Consolidated-Plan-FINAL?bidId=>.
Orange County is a special type of Participating Jurisdiction, called a Consortium, consisting of Orange County and the Towns of Carrboro, Chapel Hill, and Hillsborough. Orange County serves as the lead entity for the Orange County HOME Consortium. To enhance collaboration on affordable housing among the jurisdictions in the County, the Orange County Local Government Affordable Housing Collaborative (the Collaborative) was formed in 2017. The Collaborative includes elected officials and staff from the each of the four participating jurisdictions and serves as the HOME Program application review team, charged with developing an annual HOME Program plan. Council Member Susan Romaine represents the Carrboro Town Council on the Collaborative. All participating jurisdictions must approve and authorize submission of the plan or any amendments to the plan prior to submittal to the U.S. Department of Housing and Urban Development (HUD).
Following approval of the Plan on June 14, 2022 <https://carrboro.legistar.com/LegislationDetail.aspx?ID=5690227&GUID=3E845E0B-28EE-47A9-BB85-652931818942&Options=ID|Text|&Search=HOME>, the required environmental reviews were not able to be completed in advance of the closing of the property in Carrboro (105 Fidelity St. A-20) for which EmPOWERment, Inc. was allocated $105,000 in HOME funding to acquire. As a result, Orange County identified another funding source to support this acquisition. Therefore, the $105,000 in HOME funding originally allocated for the Carrboro acquisition must be reallocated for another eligible project. On November 3, 2022, the Collaborative proposed to reallocate the funds for another acquisition by EmPOWERment, Inc. this time in Chapel Hill. The proposed amended FY 2022-2023 Annual Action Plan Summary is provided in Attachment B.
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Recommended Amended 2022-2023 Orange County HOME Program Plan |
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Approved Plan |
Amended Plan |
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Habitat for Humanity - Down Payment Assistance |
$ 167,241 |
$ 167,241 |
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Community Empowerment Fund - IDA Program |
$ 90,000 |
$ 90,000 |
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Rebuilding Together of the Triangle - 2 Manufactured Home Replacements |
$ 150,000 |
$ 150,000 |
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EmPOWERment - Rental Acquisition in Carrboro |
$ 105,000 |
$0 |
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EmPOWERment - Rental Acquisition in Chapel Hill |
$0 |
$ 105,000 |
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Administration (10% of HOME Funds, per statute) |
$ 44,350 |
$ 44,350 |
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Total |
$ 556,591 |
$ 556,591 |
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FISCAL IMPACT: The recommended plan amendment proposes to provide grant funds to a non-profit organization for affordable housing activities. The majority of the funding for the plan is provided by HUD to Orange County. Participation in the HOME Program requires a local match. The Town’s portion of the local match will remain at $14,270 in the amended plan, as approved in the current FY 2022-2023 HOME Program Plan in June 2022.
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RECOMMENDATION: The Town Manager recommends that the Town Council consider approving the Amended 2022-2023 Orange County HOME Investment Partnership Program Annual Plan for use of $556,591; and authorize this plan to be incorporated into the annual update to the 2020-2025 Consolidated Plan submitted to the U.S. Department of Housing and Urban Development. A resolution is provided in Attachment A.
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