Title
2017-18 HOME Investment Partnerships Program Call for Interest and Project-Based Vouchers
Description
This report requests City Council approval of the Housing Department's Affordable Housing Loan Program (AHLP) Community Priorities, its Call for Interest (CFI) process for the 2017-2018 HOME Investment Partnerships (HOME) Program competitive funding round, and its Underwriting Guidelines. Additionally, information is provided regarding a Request for Proposals (RFP) timeline and evaluation criteria for Project-Based Veterans Affairs Supportive Housing (VASH) Vouchers and Section 8 Housing Choice Vouchers (HCV).
Report
Summary
Project-Based VASH Vouchers and Section 8 HCVs
In June 2017, City Council authorized the issuance of an RFP to create supportive housing utilizing up to 100 U.S. Department of Housing and Urban Development (HUD) project-based VASH vouchers, and up to 50 project-based Section 8 HCVs with the timing to coincide with the Housing Department's annual HOME CFI.
AHLP Community Priorities and 2017-2018 HOME Program CFI
On Nov. 2, 2016, City Council approved the AHLP's Community Priorities (Priorities) and Underwriting Guidelines that allow the City to be proactive in communicating housing needs to developers of affordable and/or special needs housing. The Housing Department recommends continuing with these Priorities for the 2017-2018 CFI.
1) Acquisition, rehabilitation, and/or new construction of properties that focus on homeless or special needs populations (such as veterans, persons with disabilities, and victims of domestic violence), and that provide appropriate services to assist and sustain these populations.
2) Acquisition, rehabilitation, and/or new construction of properties where the developer qualifies as a Community Housing Development Organization (CHDO) as defined by the HOME Program.
3) Rehabilitation of existing affordable properties, owned by non-profit developers and currently or previously funded using federal funds.
The Housing Department will require applicants have at least one community meeting about their proposed project, and submit documentation in their application to include the agenda(s), list(s) of attendees and meeting minutes.
The total allocation available for the 2017-2018 CFI is approximately $2.2 million in HOME funding, of which $620,000 must be awarded to CHDOs. The remaining funds will allow for approximately two to three affordable housing project awards with a maximum award of $1 million.
Procurement Information
The project-based vouchers (PBV) RFP and proposed CFI, which will be issued concurrently, will be available through the City's website in early November 2017. A selection committee will be convened to review and prioritize proposed projects for the 1) PBV RFP and 2) the CFI-identified Priorities, based on the criteria below. The committee will be made up of representatives from City departments and community partners with housing development expertise who are not competing for the funding. Formal recommendation for the PBV RFP and CFI award(s) will be presented to the Sustainability, Housing, Efficiency and Neighborhoods Subcommittee and the City Council for approval.
Evaluation criteria for selection will include the following:
- Developer Experience - Capacity and prior experience of the organization, its staff members and consultants experience in planning and completing projects similar to the proposed project; compliance in meeting the terms of existing City loan agreements; property management experience of those who will manage the proposed property, including compliance with federally-subsidized units.
- Project Merit/Approach - Soundness of concept and ability to partner with agencies that can deliver support services in a long-term manner; project need and relevant services for the special housing/population proposed; sustainability as demonstrated in energy-efficient design, location near or in major transportation and/or employment hubs, and proximity to amenities; construction and design; project readiness and timeline; supportive services plan with firm partner commitments and experience.
- Financial Feasibility - Includes a development financing plan; funding commitments; mitigation of identified risks; leverage of City funds.
Concurrence/Previous Council Action
On June 28, 2017, City Council authorized the issuance of an RFP for up to 100 project-based VASH and up to 50 project-based Section 8 HCV vouchers. This item was heard at the Sustainability, Housing, Efficiency and Neighborhoods Subcommittee on Oct. 17, 2017, and approval was recommended by a vote of 3-0.
Financial Impact
There is no impact to the General Fund. HOME, VASH and Section 8 HCVs are federally-funded programs.
Department
Responsible Department
This item is submitted by Deputy City Manager Deanna Jonovich and the Housing Department.