Lpt3r 3 - Dallas · 2015-01-20 · Lpt3r 3 D CITY OF DALLAS Memorandum September 14, 2012 Housing...

Lpt3r’3 DCITY OF DALLAS

Memorandum

September 14, 2012

Housing Committee Members: Scott Griggs, Vice-Chair, DwaineCaraway, Linda Koop, and Pauline Medrano

September 17, 2012 Housing Committee Agenda

We will have a meeting of the Housing Committee on Monday,September 17, 2012, City Hall, 1500 ManIla - Room 6ES, Dallas,Texas, 75201, from 11:00 a.m. — 12:30 p.m. The agenda is as follows:

1. Approval of August 20, 2012 Councilmember Carolyn R. DavisMinutes

2. Community Center Update Rayzen/Killingsworth(Estimated time 45 minutes)

3. Dallas Urban Land Bank Killingsworth/EvansDemonstration Program (Estimated time 30 minutes)

4. Upcoming Agenda Item For Information OnlyHousing item only

a. Mortgage Assistance Program Statement Amendment

Carolyn R. Davis, ChairHousing Committee

Dallas, the City that Works: Diverse, Vibrant and Progressiv&

Housing CommitteeSeptember 14, 2012

C: The Honorable Mayor and Members of the City CouncilMary K. Suhm, City ManagerRosa A. Rios, City SecretaryTom P. Perkins, Jr., City AttorneyCraig Kinton, City AuditorDaniel SoNs, Administrative Judge, Municipal CourtA.C. Gonzalez, First Assistant City ManagerRyan S. Evans, Assistant City ManagerForest Turner, Assistant City ManagerJill A. Jordan, RE., Assistant City ManagerJoey Zapata, Assistant City ManagerJeanne Chipperfield, Chief Financial OfficerStephanie Pegues-Cooper, Assistant to the City Manager

A closed executive session may be held if the discussion of any of the aboveagenda items concerns one of the following:

1. Contemplated or pending litigation, or matters where legal advice isrequested of the City Attorney. Section 551.071 of the Texas OpenMeetings Act.

2. The purchase, exchange, lease or value of real property, if the deliberationin an open meeting would have a detrimental effect on the position of theCity in negotiations with a third person. Section 551.072 of the Texas OpenMeetings Act.

3. A contract for a prospective gift or donation to the City, if the deliberation inan open meeting would have a detrimental effect on the position of the Cityin negotiations with a third person. Section 551.073 of the Texas OpenMeetings Act.

4. Personnel matters involving the appointment, employment, evaluation,reassignment, duties, discipline or dismissal of a public officer or employeeor to hear a complaint against an officer or employee. Section 551.074 ofthe Texas Open Meetings Act.

5. The deployment, or specific occasions for implementation of securitypersonnel or devices. Section 551.076 of the Texas Open Meetings Act.

6. Deliberations regarding Economic Development negotiations. Section551.087 of the Texas Open Meetings Act.

“Dallas. the City that Works: Diverse, Vibrant and Progressiv&

Housing Committee

Meeting RecordAugust 20, 2012

The Housing Committee meetings are recorded. Agenda materials and audiotapes may bereviewed/copied by contacting the Housing Department, Staff Coordinatorat 214-670-3906.

Meeting Date August 20 2012 Meeting Start time 1 03

Committee Members Present:Carolyn R. Davis-(Chair)Scott Griggs (Vice-Chair)Dwaine CarawayLinda Koop

Staff Present:Ryan Evans-Asst. City ManagerJerry Killingsworth-DirectorlHOUBernadette Mitchell-Asst. Director!HOUCynthia Rogers-Ellickson-HOUCobbie Ransom-HOUBrian Price-HOUMichael Bostic-CAOSean McGrew-CMODoris Edmon-HOUCassandra Luster-HOUAldo Fritz-HOUAdelia Gonzalez-CSOAlida AI!en-HOU

Presenter(s): Council Member Carolyn R. Davis

Action TakenlCommittee Recommendation(s)

Motion made by: CM Dwaine Caraway Motion seconded by: CM Scott GriggsItem passed unanimously: X Item passed on a divided Ovote:

Item failed unanimously: Item failed on a divided vote:

AM.

Other Council Members Present:

Committee Members Absit: Other AttendeesPauline Medrano-Official City Business Kristen Schulz-Dallas Area Habitat for Humanity

Gary Hasty-Hero’s HouseEd Spears-Hero’s House

AGENDA:

Housing Committee

I Arnroval of A.ir*

Meetiñq Called to Order by CM Carolyn R. Davis

2012 Minutes of the Housina (mmitt

Follow-up (if necessary):

Housing CommitteeAugust 20, 2012Meeting Record — Page 2 of 2

Information Only: X

Motion made by:

Action Taken/Committee Recommendation(s) -- -____

________________________________________

Motion seconded by:______

Item passed unanimously Item passed on a divided vote:

Item failed unanimously: Item failed on a divided vote:Follow-up (if necessary):

4. Upcoming Agenda Items

a. Interlocal Contract for Land Bankb. Public Hearing Land Transfer (Habitat I lot)

Meeting Adjourned by CM Carolyn R. Davis

Meeting Adjourned: 11:18 P.M.

2. Mortgage Assistance Program (MAP) UpdatePresenter(s): Evans, Asst. City Manager/Jerry Killingsworth, Director/Bernadette Mitchell,Asst. Director

Information Only: X

Action TakenlCommittee Recommendation(s) Recommendation to move4o full Council withamendments to the program statement for FY 201 2-13

Motion made by:Item passed unanimously:

Motion seconded by:Item passed on a divided vote:

j Item failed unanimously Item failed on a dMded vote:Follow-u p (if necessary):

3. Veteran’s Housing ProjectsPresenter(s): Evans, Asst. City ManagerlJerry Killingsworth, Director/Bernadette Mitchell,Asst. Director

Approved By:

Memorandum

CITY OF DALLAS

DATE September 14, 2012

Housing Committee Members: Carolyn R. Davis, Chair, Scott Griggs, ViceChair, Dwaine Caraway, Linda Koop, and Pauline Medrano

SUBJECT Community Center Update

On Monday, September 17, 2012, you will be briefed on the Community CenterUpdate. A copy of the briefing is attached.

Please let me know if you have any questions.

/•

/ iRyan S. EvansAssistant City Manager

C: The Honorable Mayor and Members of the City CouncilMary K. Suhm, City ManagerRosa A. Rios, City SecretaryTom P. Perkins. Jr., City AttorneyCraig Kinton, City AuditorDaniel Solis, Administrative Judge, Municipal CourtA.C. Gonzalez, First Assistant City ManagerForest Turner, Assistant City ManagerJill A. Jordan, P.E., Assistant City ManagerJoey Zapata, Assistant City ManagerJeanne Chipperfield, Chief Financial OfficerJerry Killingsworth, Housing/Community Services DirectorStephanie Pegues-000per, Assistant to the City Manager

“Dallas, The City That Works: Diverse, Vibrant and Progressive.”

Community Center Update

A Briefing to the Housing Committee September 17, 2012 by the Housing/Community Services Department

2

Provide an update on the programs and services at the Martin Luther King, Jr. Community Center and West Dallas

Multipurpose Center

Purpose of Briefing

3

Vision …….partnering with the community to promote healthy living and social well-being in a healthy environment

Mission ……to provide quality health and social services that are responsive to the needs of the community now and in the future

4

Housing/Community Services Community Centers

Jerry Killingsworth Director

Karen D. Rayzer Assistant Director

Patrick Jackson Manager

MLK Community Center

Kathy Miller Manager

W. Dallas Multipurpose Center

5

MLKCC Organizational Chart Patrick Jackson Manager II -K

Patricia Wiessner Sr. Caseworker I

Tracy Parker Facility Supervisor - G

Shemeka Kenneybrew Coordinator II - H

Latrica Rhynes Caseworker II - H

Deborah Sutton Caseworker I - G

Alesha Whibbey Caseworker I -G

Belinda Manson Caseworker I - G

Cynthia Garcia Coordinator I- G

Crystal Bethel Office Asst. - B

6

HCS Core Facility Community Partnerships,

Social Services Special Events,

Library

Park & Recreation

Center MLK Family

Clinic

ChildCareGroup

Martin Luther King, Jr. Community Center

7

West Dallas Multipurpose Center

Community Center Library

8

West Dallas Multipurpose Center Organizational Chart

Kathy Miller Manager II – K

Terri J. Phillips Executive Asst - I

Katie Nkana Sr. Caseworker I

Sylvia Ulloa Office Asst. I - B

Deborah Houston Office Assistant II - D

Allison Medina Caseworker II – H

Audrey Brown Caseworker I - G

Leia Martin Caseworker I - G

Vacant Intake Worker

Juan Ramon Facilities Supervisor - G

John Lewis Office Asst – B Driver

Debra Booth

CSW – B – Driver

Ahmad Wiley CSW – B Driver

9

Background Martin Luther King Community Center • Funded by a 1967 Capital Improvement Bond Program • Opened in 1971 • Located in the heart of South Dallas on MLK Boulevard just west of Fair Park •The doors are open from 8:00 a.m. to 6:00 p.m., Monday through Friday and Community meetings until 9:00 pm, Closed Saturday and Sunday. • The core facility is 32,000 square feet West Dallas Multipurpose Center • Funded by the 1982 Capital Improvement Bond Program • Opened in 1988 • Located at the intersection of Singleton Blvd., near the intersection of Hampton Rd. • The doors are open from 8:00 a.m. – 6:00 p.m., Monday through Friday, closed Saturday and Sunday. • West Dallas is a stand-alone 19,280 sq. ft. facility

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• Current staffing levels for the Centers are 19 general fund FTE’s with 4 grant funded FTE’s • The FY 2011 – 2012 General Fund budget is $ 1,521,141 • The centers receive an estimated 1,125 calls per month requesting assistance • An estimated 900 walk in customers per month requesting assistance • 363,530 Annual Visitors (All Visitors to All Tenants from All Services) • 600 community meetings annually for groups such as Delta Sigma Theta, Black Business Fundraisers, the Dallas Study Club, Legal Aid, Juvenile Services, Veteran Affairs Support Groups, United Steel Workers, Narcotics Anonymous, and Girl Scouts of America

MLK & WDMC Operations

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Programs and Services

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MLK and WDMC Administration - Provides overall management of the centers, handles joint projects between the centers and the community. Project Reconnect Program - To provide on-going case management for non-violent offenders on parole or FED Probation who live within the City of Dallas that are 18 years of age or older to secure independent living. (MLK) Social Services - Assesses applicant’s needs, interest, abilities resources and goals and negotiates a plan of action that will resolve situations that adversely affect the person’s daily life. (MLK and WDMC) Child Care Services - Provides a subsidy for parents that need child care and do not qualify for any other assistance. (MLK) Community Technology Center - Grant funded program provides self-paced on line G.E.D. classes, A+ Certification and English as a Second Language (ESL). (MLK) Community Technology Center - El Centro Community College offers basic computer classes at no cost to citizens. (WDMC) WIC - Provides nutrition, education and counseling, breast-feeding support, nutrition foods, and referrals for health care to eligible women and children. (MLK) Medical Transportation - Provides non-emergency medical transportation. (WDMC)

Housing/Community Services

13

Other City Department Services

At MLK South Dallas/Fair Park Trust Fund - Provides unique opportunities for businesses and nonprofit organizations to have a positive and mutually beneficial impact on the South Dallas/Fair Park community. Recreation Center - Provides a gymnasium and park area for use by the public for athletic and social programs, as well arts and crafts. MLK Branch Library - The library houses extensive materials on African-American history and provides G.E.D. and tutoring classes, community programs, story hours, and puppet shows. At Both Centers Equipment & Building Services - Responsible for building maintenance. Security - Provides security to the five buildings on MLK and one building at WDMC. Community Court – Dallas’ first community court (MLK), where the focus of the court is to rehabilitate the defendant and restore the community. WDMC also has a Community Court. The courts are unique because defendants are held accountable to the members of the community.

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Inter-Agency Groups @MLK & WDMC

Partners who are housed and provide services at MLK and WDMC

Community organizations that collaborate in providing comprehensive services for the citizens of Dallas and surrounding communities

The agencies meet to discuss current issues at the centers, collaborate with efforts of upcoming programs, and network to provide viable services to the community

The agencies identify the aesthetic needs of the Centers and have joined efforts to solicit materials and resources to improve the landscape, interior, and furniture fixtures of the facilities

15

Inter-Agency Group Services MLKCC ChildCareGroup – Provides childcare and Headstart services to an average of 142 children ages 3 ½ to 5 years of age. Dallas Metro-Care Services - Provides counseling for individuals, couples, children, families, and group. This Program also offers child/payment intake, follow-up psychiatric consultations, and outreach to minority low income neighborhoods, employee assistance programs, and family-life education. MLK Family Clinic - A comprehensive community health center that provides a full range of preventive and Primary-care services and specialized hospital-referral arrangements. There is also a dental office and pharmacy on site. Dallas County Seniors Program - Includes a nutrition program, social service advocacy & outreach. Showers of Blessings - Provides limited financial assistance, food, toiletries, quarterly clothing drives, and hot meals for the homeless on Saturdays. Texas Work Source - Provides unemployment compensation, work incentive programs, job counseling, employment testing, training and placement of youth and veterans, food-stamp programs, referral services, and job fairs.

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Inter-Agency Group Services WDMC West Dallas Communities Centers, Inc. – Provides accessible, quality, out of

school programming for youth ages 6-17. El Centro Community College – Offers basic computer classes at no-cost to

citizens. Dallas County Older Adults Service Programs- Dallas county sponsored

program for older adults, 60 and older. Provides program participants with hot lunches and planned activities, health promotions and other services.

Family Care Connection – Provides parenting education to residents from

designated zip code areas. United Universe, Inc. – Operates a food pantry for qualified persons who

reside in the following designated zip codes 75208,75211, 75212. People and Nutrition (PAN) – A commodities supplemental food program

sponsored by the North Texas Food Bank.

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Community Events

Community Cultural Programs and Activities

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Community Center Partners For MLK and WDMC “Building relationships that promote investment, opportunities and commitment to Council’s Key Focus Area Clean Healthy Environment”

Dallas Examiner Frito Lay K104 K 97.9 DC School Buses Reliant Energy, NRG TXU Energy Starbucks Coffee Texas Instruments Chase Bank Friends of MLK

CORPORATE PARTNERS

COMMUNITY

Community Centers

INVESTMENT

ATMOS Capital One Bank Wells Fargo VITAS Hospice Dallas City Packing Inc. Dallas Morning News Dallas Weekly

American Airlines Center Bank Of America GEICO Minyards, RLS Fannie Mae DART Reddy Ice WFAA-TV METRO PCS

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Celebrations • Martin Luther King, Jr. Birthday Celebration

• Candle-Lighting Ceremony • March/Parade • Awards Banquet

• Cinco de Mayo (MLK and WDMC) • Harambee Festival (MLK) • Cesar Chavez (WDMC) • Juneteenth (MLK and WDMC)

Events at Both Centers

• Back-to-School Fairs – School supplies provided to approx. 600 neighborhood school children who were unable to obtain supplies.

• Summer Fan Project- 150-250 fans are distributed to the elderly and the at-risk community for the extremely hot Dallas summer

• Thanksgiving Food Baskets- Through a combination of canned food donations, turkey drives, other donations and trust funds, food baskets with Gift Cards to buy turkeys are delivered to approximately 300 families every year

• Christmas Toy Drive – Through donations from Salvation Army, Toys for Tots, and WFAA, toys are disseminated to approximately 1,300 children.

Community Celebrations and Events

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Emergency Social Services MLK and WDMC

•Provide social services, including case management, emergency rent and utility assistance, and food assistance to eligible persons.

• 28,000 household/families provided social service

• 3,200 households/families provided emergency financial assistance

• 750 individuals provided emergency food assistance

• 2,250 of the households will maintain stable housing verified by a six month follow-up with clients.

• Prevent homelessness for 75% of households to which we provide assistance.

21

Emergency Services Partners MLK and WDMC

Friendship West Baptist Church - utilities, DWU, rent

Pilgrim Rest Baptist – utilities, DWU, rent

New Hope Baptist - utilities, food pantry, rent,

Reliant Energy – utilities, Beat The Heat

TXU Energy Aid – utilities

Dallas County – utilities, rent, CEAP

Dallas Urban League - utilities, rent, mortgage, employment

Salvation Army – utilities, rent, mortgage, food

Dallas Water Share – water utilities

Ladies of Charity - clothing , small household appliances

North Dallas Shared Ministry – utilities, rent, mortgage, food pantry

Texas Work Source – Employment

The Bethlehem Foundation – utilities, rent, small household appliances

The Family Place – domestic violence shelter, utilities, rent,

Operation Relief Center – housing placements, utilities, Men Of Nieomiah

Stew Pot – birth certificates, food

Shower of Blessings – food pantry

Catholic Charities – utilities, rent, refugee program Richardson Network – utilities, rent

Cathedral of Hope – utilities, rent, mortgage Greenville Ave. Baptist Church – utilities , rent Pilgrim Rest Baptist Church – food pantry North Texas Food Bank - food ATMOS Energy -utilities Oak Cliff Churches for Emergency Aid – utilities, food

pantry United Universe Inc – food pantry

22

Funding @ MLK and WDMC Sources of Funds General Fund: $1,521,141 Grant and Trust Funds: Energy Aid - $ 116,019 Alvin E Moore - $ 13,882 HOPWA - $ 205,000 Carrie S. Orleans - $ 2,500 Subtotal $ 337,401 TOTAL Sources $1,858,542 Use of Funds Administration $1,129,648 Services $ 469,802 Events $ 259,092 TOTAL $1,858,542

23

The Community Technology Center @ MLK

● Opened in 2002 with a grant from the Department of Education to provide GED, ABE, A+ Certification, pre-vocational training and Microsoft Word classes

● Received a second grant in 2003 from the Department of Education to provide services

to youth experiencing difficulty in achieving competence with TAKS testing and was granted a 3rd grant for 2005-06 to continue the 2003 grant.

• Capital One Bank has made contributions to the program since 2007. ● Has a current partnership with Academic Realities and Capital One Bank to provide

services to clients ● Has 20 computers for development of technology programs

● All funds expire annually

A major goal of the Community Technology Center (CTC) is to expand access to technology in disadvantaged communities with the ultimate focus of enhancing learning outcomes for adults and neighborhood children.

The CTC:

24

Transportation Services at WDMC Provides non-emergency medical transportation for COD. To and from medical and health related destinations Service is for senior citizens in designated zip codes

Serves Council designated zip codes

75206,75209,75210,75211,75212,75215,75216, 75217, 75235, and 75241 Ambulatory Age 60 years and older

Limited number of coupons available for DART paratransit

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Martin Luther King Community Center 214-670-8355 – Information and Services 214-670-8416 – Appointment Line

West Dallas Multipurpose Center 214-670-6341 – Information and Services 214-670-6530 – Appointment Line

Contacts

Memorandum

CITY OF DALLAS

DATE September 14, 2012

TO Housing Committee Members: Carolyn R. Davis, Chair, Scott Griggs, Vice-Chair, Dwaine Caraway, Linda Koop, and Pauline Medrano

SUBJECr Dallas Urban Land Bank Demonstration Program

On Monday, September 17, 2012, you will be briefed on the Dallas Urban LandBank Demonstration Program. A copy of the briefing is attached.

Please let me know if you have any questions.

A

Ryan S. EvansAssistant City Manager

C: The Honorable Mayor and Members of the City CouncilMary K. Suhm, City ManagerRosa A. Rios, City SecretaryTom P. Perkins, Jr., City AttorneyCraig Kinton, City AuditorDaniel Solis, Administrative Judge, Municipal CourtA.C. Gonzalez, First Assistant City ManagerForest Turner, Assistant City ManagerJill A. Jordan, P.E., Assistant City ManagerJoey Zapata, Assistant City ManagerJeanne Chipperfield, Chief Financial OfficerJerry Killingsworth, Housing/Community Services DirectorStephanie Pegues-Cooper, Assistant to the City Manager

“Dallas, The City That Works: Diverse, Vibrant and Progressive.’

Dallas Urban Land Bank Demonstration Program

A Briefing to the Housing Committee

Housing/Community Services Department September 17, 2012

2

Purpose

To provide an update on the Dallas Urban Land Bank Demonstration Program

3

Goal The goal of the Dallas Urban Land Bank Demonstration Program is

to develop a significant quantity of affordable single-family homes on vacant, tax-delinquent properties within Dallas neighborhoods that have been designated as focused revitalization areas in order to augment catalyst developments. Putting these properties to this productive use will: 1. Address the shortage of affordable workforce housing in Dallas; 2. Stabilize “at risk” communities and enhance quality of life; 3. Stimulate community investment and economic growth; and 4. Increase local government property tax, sales tax and fee revenues.

4

Land Bank Functions Permits direct sale of qualified tax-foreclosed

properties to a municipally created Land Bank; Authorizes the Land Bank to assemble tax-foreclosed

properties and sell those properties at below market prices to non-profit and for-profit affordable housing developers; and

Provides Community Housing Development Organizations with a limited right of first refusal to purchase properties.

5

Background Participants Taxing Entities

City County School District Hospital Districts Community College District

The Real Estate Council Title Companies Law firms Case filing Ad Litem services

Developers CHDOs For Profit

Community

Land Bank Board

City Council

6

Land Bank Criteria Eligible Properties must:

have at least 5 years of delinquent taxes have an appraisal district value less than

the amount of taxes and non-tax liens be zoned residential have a minimum frontage of 40’ and

minimum size of 4,000 square feet

7

Foreclosure Selection Process

1. Lots in Neighborhood Investment Program (NIP) Areas

2. Lots 1 mile on either side of DART Rail Lines

3. Selected Lots for CHDOs

9

Balance Sheet (as of 8/31/2012) Assets

Cash on Hand $ 494,177

Current Assets* $ 494,177

Real Estate Owned 468 Land Bank Lots $2,106,000

Total Assets** $2,600,177 Liabilities

None $ 0

Total Liabilities & Net Worth $2,600,177

*Overstated by $208,271 in staffing costs not yet posted **Not Included: General Obligation Bonds and Commercial Paper used to pay foreclosure costs

$0.9M 2003 Bonds $1.5M 2006 Bonds (Commercial Paper)

10

Operating Proforma (FY2012–13)

Total Estimated Funds 9/30/12 $300,000 Projected Sales (65 lots @ $4,500/lot) $292,500 Projected Expenses (2012-13) Staffing Costs $278,000 Acquisition Fee Reimbursement (120 lots @ $1,000/lot) ($120,000) Mowing Expense (400 lots average) $100,000 Audit Fee $ 8,500 Insurance $ 9,000 Recording Fees $ 4,000 Misc. Expense (training, marketing, supplies) $ 10,000 subtotal $289,500 Estimated Funds Available @ 9/30/13* $303,000 *The Land Bank, as of FY2009-10, covers its operating costs through the sale of Land Bank lots

11

Financial Update

Land Bank is currently self supporting without any General Funds

Goal is to maintain 12 months operating capital of $300,000

Breakeven total sales is 65 lots per year Expenses reduced by 35% due to

reduction in maintenance and overhead

12

Catalyst Developments Land Bank has augmented 7 main catalyst

developments since its inception in 2003 West Dallas/Singleton Blvd. Bexar Street Phase I Bexar Street Phase II Frazier Lancaster Corridor Jubilee Park The Bottom

Over $100M has been expended by the City and developers for acquisition, development and construction financing with over 1,000 lots (including Land Bank lots) acquired by City funding

13

Catalyst Developments Con’t.

West Dallas/Singleton Blvd. Between Canada Drive & IH 30 Habitat has expended $27M and constructed 213

homes Builders of Hope has expended $1.3M in HOME

funds and constructed 91 homes Land Bank lots:

100 lots acquired and 9 remaining available for sale Land Transfer lots:

29 lots acquired and 17 remaining available for sale Total lots acquired by City funding: 129 (bond funds)

15


Bexar Street Phase I Brigham to CF Hawn Freeway 46 lots purchased along Bexar Street for mixed use & high density residential

development Two mixed-use buildings

Approx. 30,000 sq. ft. of retail Approx. 13 residential units above retail $3.6M interim construction financing; $3.5M has been expended

36 brownstone-style townhouse units $3.5M interim construction financing; $3.4M has been expended

Bexar Street Redevelopment Investment Center (construction to start December 2012) Land Bank lots:


51 lots acquired and 40 remaining available for sale Total lots acquired by City funding: 163 (bond, CDBG, HFC & EDD funds)

17


Bexar Street Phase II CF Hawn Freeway to Trinity Park (dead end) 32 lots purchased along Bexar Street Employment Center bounded by Bexar, Canaan and Easley Streets Mixed use retail buildings Residential infill

Habitat has expended $12.5M and constructed 109 homes $900K in Bond Funds expended for acquisition Land Bank lots:



19


Frazier Spring Avenue Redevelopment

Mixed use retail, commercial and residential infill development 37 lots purchased along Spring Avenue Street construction to start late 2012 or early 2013 $2.5M in Bond Funds approved for acquisition; $2.0M has been expended

Frazier Habitat/ICDC Development $1.7M expended for acquisition, infrastructure & interim financing Habitat has expended another $5.3M for construction 51 single family units completed and sold

Carpenter’s Point $14.3M LIHTC expended for acquisition & construction $1.0M expended for interim construction & pre-development 150 senior housing units completed

Hatcher Square TOD – Public/Private partnership 11 lots acquired $750K for acquisition and demolition $750K has been expended

Habitat has expended an additional $7.6M and constructed another 58 homes Land Bank lots:


46 lots acquired and 25 remaining available for sale Total lots acquired by City funding: 251 (bond, HOME & general funds)

21


Lancaster Corridor Extends from Stella Ave (2 blocks north of Illinois) on the North to Simpson

Stuart/Camp Wisdom Road on the South Mixed use retail, commercial and residential infill development Veterans Place – a mixed use development

Sapphire Development - $4.2M expended for acquisition of 38 lots Lancaster Urban Village – 193 multi-family units; 14,000 sq. ft. office/retail

plus parking garage City Wide CDC - $3.8M Eco. Develop. funds expended for acquisition of 17 lots City Wide CDC - $1.3M expended for acquisition of 11 lots

Land Bank lots: 108 lots acquired and 93 remaining available for sale

Land Transfer lots: 38 lots acquired and 25 remaining available for sale

Total lots acquired by City funding: 212 (bond & EDD funds)

23

Two Other Catalyst Developments

Jubilee Park $10M expended by Jubilee Park & Community Center Corporation to acquire & develop land for

community center and head start school 41 lots purchased

Ann Street Project 3 lots purchased $500K CDBG funds expended for acquisition

24 senior housing units completed 2 lots purchased $1.2M restitution funds expended for acquisition $500K bond funds expended for acquisition $300K private equity funds expended for acquisition

Police satellite station completed Land Bank lots:


2 lots acquired and 2 remaining available for sale Total lots acquired by City funding: 55 (bond, CDBG, restitution & private equity funds) The Bottom

$500K bond funds expended for acquisition & demolition of 32 lots Texas Heavenly Homes has expended $511K to acquire and demolish an additional 41 lots Land Bank lots:



26

Production (as of 8/31/2012)

1,422 lawsuits filed 843 properties sold to the Land Bank 375 lots sold to CHDOs and Developers

with 15 lots pending sale 169 homes completed and sold Goal is to add to the pipeline each year:

Up to 150 additional lawsuits brought to the Sheriff’s sale

27

Market Considerations Land Bank is well positioned with surplus

inventory Currently depend on non-profit developers

Provide much needed assistance to new homebuyers Limited Capacity

For-profit developers will become a larger buyer of lots 139 lots currently purchased 25 lots expected 2012/2013 production

28

Challenges

Maintaining our lot inventory Finding enough qualified home buyers given

the current and projected market conditions Ensuring there is sufficient developer

capacity

KEY FOCUS AREA: Economic Vibrancy

AGENDA DATE: September 26, 2012

COUNCIL DISTRICT(S): All

DEPARTMENT: Housing/Community Services

CMO: Ryan S. Evans, 670-3314

MAPSCO: N/A

SUBJECT

Authorize (1) an amendment to the Mortgage Assistance Program (MAP) for FY2012-13 to: (a) change categories of assistance to include existing homes andCommunity Housing Development Organizations, and (b) authorize the City Manager,or a designee, to review portfolio loans for appropriate affordability compliance andrelease those loans that have met those compliance requirements; and (2) anextension of the FY 2011-12 MAP contract with Enterprise Community Partners throughDecember 31, 2012 - Financing: No cost consideration to the City

BACKGROUND

The Mortgage Assistance Program (MAP) is funded with U.S. Department of Housingand Urban Development (HUD) annual allocations. MAP provides principal reduction,down payment, and closing cost assistance to eligible first-time homebuyers topurchase a home in the City of Dallas. MAP provides homeownership opportunities forresidents of the City of Dallas earning at or below 80% of area median family income.

Historically, the Housing Department has contracted with Enterprise CommunityPartners to administer the program. In the Spring of 2012, Enterprise CommunityPartners, Inc., notified the City of Dallas that it would not seek to renew its contract withthe City of Dallas. Beginning October 1, 2012, the Housing Department will operate theMAP Program with few changes.

This Council action will approve the policies that will be used for the MAP Programduring FY 2012-13. In FY 2012-13, eligible homebuyers purchasing existing homesmay receive up to $8,500 in principal reduction and closing cost assistance with a5-year forgivable loan. Eligible homebuyers purchasing a home constructed by aCertified Community Housing Development Organization (CHDO) may receive up to$20,000 in principal reduction and closing cost assistance with a 10-year forgivableloan.

BACKGROUND (Continued)

This action also requests that the City Manager or a designee be authorized to reviewportfolio loans for appropriate affordability compliance and release those loans thathave met those compliance requirements. Since the Enterprise Community Partnerswill no longer be servicing the MAP loans which have been created over the years, theHousing Department will be managing those loans. Finally, this action provides anextension of the FY2O1 1-12 MAP contract with Enterprise Partners through December31, 2012, for wrap up and completion of reports, billings, and assignments related toprogram.

PRIOR ACTION/REVIEW (COUNCIL. BOARDS, COMMISSIONS)

On June 24, 2009, the City Council approved the FYO9-1O Consolidated Plan Budgetfor the Mortgage Assistance Program by Resolution No. 09-1635.

On October 28, 2009, the City Council approved the recommendation to execute atwelve-month service contract, with two twelve-month renewal options, with EnterpriseCommunity Partners, Inc. for the Mortgage Assistance Program.

On October 13, 2010, the City Council approved the recommendation to execute thefirst of two twelve-month renewal options with Enterprise Community Partners, Inc. forthe Mortgage Assistance Program.

September 28, 2011, the City Council approved the recommendation to execute thesecond of two twelve-month renewal options with Enterprise Community Partners, Inc.for the Mortgage Assistance Program.

On August 20, 2012, the Housing Committee of the City Council was briefed on theMAP program changes for FY 2012-13.

FISCAL INFORMATION

No cost consideration to the City.

Agenda Date 09/26/2012 - page 2

COUNCIL CHAMBER

September26, 2012

WHEREAS, homeownership is a high priority of the City of Dallas; and,

WHEREAS, the MAP provides assistance to eligible homebuyers; and

WHEREAS, on June 27, 2012, the City Council approved the final FY 2012-13Consolidated Plan Budget for U.S. Department of Housing and Urban DevelopmentGrant Funds; and,

WHEREAS, the City now desires to authorize continuation of the Mortgage AssistanceProgram for the period October 1, 2012 through September 30, 2013,

NOW THEREFORE,

BE RESOLVED BY THE CITY COUNCIL OF THE CITY OF DALLAS:

Section 1. That the City Manager, upon approval as to form by the City Attorney, isauthorized to amend the Mortgage Assistance Program (MAP) for FY 2012-13 to: (a)change categories of assistance to include existing homes and Community HousingDevelopment Organizations, and (b) authorize the City Manager, or a designee, toreview portfolio loans for appropriate affordability compliance and release those loansthat have met those compliance requirements; and 2) an extension of the FY 2011-12MAP contract with Enterprise Community Partners through December 31, 2012.

Section 2. That following approval as to form by the City Attorney, the City Manager isauthorized to execute such instruments as may be necessary to carry out the programin accordance with the MAP Statement (Exhibit A attached).

Section 3. That the City Controller is authorized to encumber and disburse funds inaccordance with the MAP Program Statement.

Section 4. That this resolution shall take effect immediately from and after its passagein accordance with the provisions of the Charter of the City of Dallas, and it isaccordingly so resolved.

EXHIBIT A

FY 11-12 12-13 PROGRAM STATEMENTMORTGAGE ASSISTANCE PROGRAM (MAP)

Program Purpose:

• To provide homeownership opportunities to low to moderate incomehomebuyers through the provision of financial assistance in purchasing ahome

• To incentivize new construction of homes for enhancement of the propertytax base.

General Provisions:

• Homes must be located in the Dallas city limits.

• Homebuyer must successfully complete homeownership education from anapproved counseling agency.

• Borrower may obtain a conventional, FHA, or portfolio loan through an approvedlender. High cost or sub-prime loans, adjustable rate mortgages (ARM), interestonly loans are not allowed. Borrower may also pay cash.

• For this program, low to moderate income is defined as a household withcalculated income at 80% or less of the Area Median Family Income, adjustedfor family size.

• Sufficient income and household size documentation to certify eligibility per HUDguidelines is required.

• Borrower must be a U.S. citizen or a permanent resident, and possess a validsocial security card.

• Borrower must occupy the property as a primary residence.

• All properties purchased under this program must meet federal and localrequirements including Minimum Acceptable Property Standards (MAPS) andinternational residential code.

• Home sales prices may not exceed the Single Family Mortgage Limits underSection 203 (b) of the National Housing Act.

• Homebuyer mortgage affordability must meet front-end debt ratio of 35% andback-end debt ratio of 45%.

• The maximum amount of assistance to be used to pay Borrower’s closing costsis $4,000. Cash back at closing and discount points paid by the Borrower arenot allowed.

• Othor partners including: lenders, title companies, inspectors, and homebuyereducation providers must registor and bo approvod by the City’s MortgageAssistance administrator.

• The City Manager, or his designee, is authorized to implement the MortgageAssistance (MAP) program as per this Program Statement, execute anydocuments necessary to implement this program, and grant waivers to theMortgage Assistance Program guidelines, as set forth in this Program Statement,without further City Council authorization, on a case by case basis.

• Under exceptional cases, loan guarantees may be granted for CommunityHousing Development Organizations (CHDO5) that provide permanent mortgagefinancing and have the financial capacity to payback the MAP loan in the eventof default. Guarantees must receive Housing/Community Services Directorapproval.

• The City Manager, or a designee, is authorized to review rortfolio loans forargroriate affordability compliance and release those loans that have met thosecomiliance requirements.

Categories of Assistance:

Category #1: Available Funding $500,000 $34O00O— Homebuyer Assistance forExisting Homes

• Provide (i) principal reduction and (ii) closing cost assistance to low to moderateincome homebuyers for existing homes

• An existing home is defined as a home which was previously occupied byanother homeowner

• Subsidy amount up to $10,000 $8.500

• Principal reduction and closing cost assistance will be provided in the form of alump sum payment at closing. In exchange for the assistance, the homebuyermust execute and place a lien and deed restrictions on the property for a five (5)year term for the amount of principal reduction assistance provided.

• The lien is amortized and forgiven over a five year period.

• All properties assisted with MAP funds must meet Minimum Housing Standards(MHS), As part of the total subsidy, MHS repair funds cannot exceed $1,500.

Category #2: Available Funding $2,000,000 $1 ,760000— Homebuyer Assistancefor Newly Constructed Community Housing Development Organization (CHDQIHomes

• Provides (i) principal reduction and (ii) closing cost assistance to low to moderateincome homebuyers for newly constructed homes

• An newly constructed CHDO home is defined as a home which has not beenpreviously occupied by another homeowner and constructed by a City of DallasCertified CHDO

• Subsidy amount up to $25,000 $20,000

• Principal reduction and closing cost assistance will be provided in the form of alump sum payment at closing. In exchange for the assistance, the homebuyermust execute and place a lien and deed restrictions on the property for a ten (10)year term for the amount of principal reduction assistance provided.

• The lien is amortized and forgiven over a ten year period.

• Foreclosure projects under the Neighborhood Stabilization Program (NSP) andEHOP Program are eligible under this category.

• Each organization, including affiliates, is limited in its access to total funding upto 50% of the available funding for this category (i.e. 50% of $2,000,000 or$1,000,000 or $500,000).

Lpt3r 3 - Dallas · 2015-01-20 · Lpt3r 3 D CITY OF DALLAS Memorandum September 14, 2012 Housing...

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Transcript of Lpt3r 3 - Dallas · 2015-01-20 · Lpt3r 3 D CITY OF DALLAS Memorandum September 14, 2012 Housing...