Orange County NC Website
Browse       Search
ORANGE COUNTY <br /> BOARD OF COMMISSIONERS <br /> ACTION AGENDA ITEM ABSTRACT <br /> Meeting Date: August 14, 2001 <br /> Action Agenda <br /> Item No. <br /> SUBJECT: HOME Program — Community Revitalization Loan Fund <br /> DEPARTMENT: Housing/Comm. Development PUBLIC HEARING: (Y/N) No <br /> ATTACHMENT(S): INFORMATION CONTACT: <br /> FY 2000 —2001 HOME Program Design Tara L. Fikes, ext 2490 <br /> Development Agreement <br /> TELEPHONE NUMBERS: <br /> Hillsborough 732-8181 <br /> Chapel Hill 968-4501 <br /> Durham 688-7331 <br /> Mebane 336-227-2031 <br /> PURPOSE: To approve a Development Agreement with Habitat for Humanity of Orange <br /> County, NC, Inc. for HOME funding available under the Community Revitalization Loan Fund. <br /> BACKGROUND: <br /> A Community Revitalization Loan Fund was created in the 1997-98 Orange County HOME <br /> Consortium program design to provide funds to assist low/moderate income families purchase <br /> existing housing. Funds can be used for acquiring property, rehabilitating the property, and/or <br /> second mortgage assistance. A total of$60,000 was allocated for this program in the 1997-98 <br /> year and $210,000 was allocated for this program in the 1998-99 fiscal year. A total of <br /> $100,000 has been allocated for this purpose in the 2000-2001 HOME Program budget. A copy <br /> of the resolution for the FY 2000 HOME Program as amended by the BOCC on May 1, 2001 is <br /> attached for more information. <br /> Under this program, local non-profit housing agencies will acquire, rehabilitate, if necessary, and <br /> resell houses located in Orange County to eligible first-time homebuyers. In some cases, <br /> houses will not need to be repaired, thus, the non-profit organization will serve as an sponsor for <br /> prospective homebuyers who need second mortgage assistance. This mortgage assistance <br /> enables the first time homebuyer to obtain a first mortgage for a lesser amount, thereby <br /> increasing the availability of first-time homeownership opportunities. The non-profit organization <br /> would be responsible for certifying the eligibility of the prospective homebuyer, as well as <br /> ensuring that the subject property is in standard condition. To date, approximately, 17 low- <br /> income, first-time homebuyers have benefited from this program. <br /> Recently, Habitat for Humanity of Orange County, NC, Inc. exercised its right of first refusal to <br /> buy back a home that the owner decided to sell for health reasons. This home was built in 1989 <br /> in the Chestnut Oaks subdivision in the Bingham Township and needs some repair in order to <br /> resale the property. Habitat plans to complete repairs and renovations to the home by October <br /> 2001 and sell the property to another qualified buyer in the Habitat Program. In accordance with <br /> the County's long-term housing affordability policy, the house must remain affordable for a <br />