Orange County NC Website
Browse       Search
ORANGE COUNTY <br />BOARD OF COMMISSIONERS <br />ACTION AGENDA ITEM ABSTRACT <br />Meeting Date: June 21, 2011 <br />Action Agenda <br />Item No. 5- ~/ <br />SUBJECT: Community HOME Trust -Request to Increase Income Requirements <br />DEPARTMENT: Housing, Human Rights, and PUBLIC HEARING: (Y/N) No <br />Community Development <br />ATTACHMENT(S): <br />Letter from Board President <br />INFORMATION CONTACT: <br />Tara L. Fikes, 245-2490 <br />PURPOSE: To consider supporting a request by the Community HOME Trust to increase the <br />target population of those served by its programs from 80% of area median income to 115% of <br />area median income. <br />BACKGROUND: On or about February 25, 2011, the Board of Commissioners (BOCC) <br />received a letter from Mary Bratsch, Board President of the Community HOME Trust (CHT) <br />regarding CRT's interest in serving families up to 115% Area Median Income (AMI) and asked <br />whether the BOCC could support this change. Currently, the organization's homeownership <br />programs serve families with incomes up to 80% AMI. An illustration of the current HUD AMI <br />schedule is included in the attached letter. <br />This modification in the target populations was initiated by the Chapel Hill Town Council in 2010 <br />because CHT implements the town's Inclusionary Housing Program that requires developers to <br />provide housing affordable to low-income populations in new housing developments. The Town <br />Council introduced this subject in order to increase the pool of potential homebuyers because <br />there is a belief that some local families were prohibited from participating in the program <br />because their incomes exceeded the 80% level. These families included those of school, <br />university and local government employees. <br />The Affordable Housing Advisory Board (ARAB) has reviewed this request and recommends <br />that the BOCC support the proposed change with the following conditions. First, CHT should <br />provide statistics regarding the proposed "mix" of clients that it plans to serve each year, e.g. <br />percentage at 80%, at 115%, etc. And, secondly, ARAB reiterated that no subsidies should be <br />provided for homebuyers with incomes above 80% AMI. (Federal and state programs currently <br />prohibit serving families at this level, but ARAB wanted to recommend that local (County) funds <br />also not be used for those above 80%AMI) <br />FINANCIAL IMPACT: None. <br />