Broward County Commission Regular Meeting
Director's Name: Leonard Vialpando
Department: Environmental Protection Division: Housing Finance & Comm. Redevelopment
Information
Requested Action
title
MOTION TO AUTHORIZE County Administrator to execute agreements, subject to approval as to form and legal sufficiency by the Office of the County Attorney, related to Neighborhood Stabilization Program (NSP) funding in the amount of $1,200,000, to be awarded to Habitat for Humanity of Broward, Inc. (HFH), for NSP eligible activities; authorizing the County Administrator to take the necessary administrative and budgetary actions including non-monetary reinstatements and amendments related to the NSP funding awarded to HFH.
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Why Action is Necessary
Board action is required to approve agreements with outside agencies.
What Action Accomplishes
Approves the use of $1,200,000 in NSP funds and the preparation and execution of an agreement with HFH for NSP eligible activities of acquisition, renovation, sale, or lease of foreclosed residential properties to eligible buyer or renters.
Is this Action Goal Related
Yes
Previous Action Taken
No previous action.
Summary Explanation/Background
THE ENVIRONMENTAL PROTECTION AND GROWTH MANAGEMENT DEPARTMENT AND THE HOUSING FINANCE AND COMMUNITY REDEVELOPMENT DIVISION RECOMMEND APPROVAL OF THE ABOVE MOTION.
This item supports the Board’s value to offer “sustainable, compatible, innovative housing options for all income levels” and the corresponding goal to “increase the availability of affordable housing of all types, countywide, in every community using effective, uniform criteria, policies and strategies.”
Congress established the Neighborhood Stabilization Program (NSP) for the purpose of stabilizing communities impacted by foreclosures and abandonment in 2008. Broward County was awarded $17,767,589 in federal NSP1 grant funds, of which $253,161 are unexpended. Broward County also received $5,457,553 in NSP3 grant funds, of which $103,641 have not yet been spent. The unexpended NSP grant funds, combined with $843,198 of NSP program income, totals $1,200,000 in NSP funds designated for this agreement to continue NSP eligible activities.
The Housing Finance and Community Redevelopment Division (HFCRD) strategy for utilizing the NSP funds and maximizing the impact of NSP has been to improve the housing stock and stabilize neighborhoods through purchase, rehabilitation, and resale of abandoned or foreclosed single family properties, increasing homeownership opportunities for low and moderate income households and increasing the availability of affordable rental units for income eligible families through the acquisition and rehabilitation of foreclosed rental properties. To be eligible for NSP funding, properties must have been abandoned, foreclosed upon, or vacant. Properties must be acquired directly from the entities that obtained title to the properties through foreclosure (e.g., the lender or trustee for holders of obligations secured by mortgage liens). Households with incomes up to 120% of the area median income may benefit from NSP programs.
The County’s NSP eligible properties are located within 15 federally designated “Opportunity Zones” census tracts, located within unincorporated Broward County, Dania Beach, Hallandale Beach, Lauderdale Lakes, Oakland Park, North Lauderdale, Pembroke Park, and West Park.
On July 25, 2021, HFCRD issued a Notice of Funding Availability (NOFA) for NSP1, NSP3 and program income funded activities. The NOFA solicited responses from qualified, experienced organizations who demonstrated the requisite knowledge, experience, technical expertise, organizational and financial capacity to perform the activities specified in the NOFA to acquire, renovate, and lease or sell foreclosed, abandoned residential properties, and then sell or lease to income eligible homebuyers or renters.
On August 27, 2021, three applications were submitted. All three were determined to be responsive to the NOFA and were accepted.
On September 9, 2021, using criteria detailed in the NOFA, the Evaluation Committee scored the applications in the following order:
1. Habitat for Humanity of Broward, Inc. (HFH);
2. Neighborhood Housing Services of South Florida, Inc. (NHSSF); and
3. BHP Community Land Trust, Inc. (BHP CLT)
HFH received the highest score and is recommended for funding in the amount of amount is $1,200,000. The scoring matrix (Exhibit 1) is attached.
Source of Additional Information
Ralph Stone, Director, Housing Finance and Community Redevelopment Division, 954-357-5320
Fiscal Impact
Fiscal Impact/Cost Summary
The action proposes to use $1,200,000 in existing unexpended federal NSP1 and NSP3 grant funds and NSP program income.