Agenda - 02-21-1995 - VIII-D - Laserfiche WebLink

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1 ORANGE COUNTY BOARD OF COMMISSIONERS Action Agenda Item No D ACTION AGENDA ITEM ABSTRACT Meeting Date: February 21, 1995 SUBJECT: Orange County HOME Consortium -------------------------------- ------------------------------- DEPARTMENT: Housing/Comm. Dev. PUBLIC HEARING YES NO--- _x_ -------------------------------- ------------------- --------- ATTACHMENT(S) : INFORMATION CONTACT HUD Letter Tara L. Fikes, x 2490 TELEPHONE NUMBER Hillsborough 732-8181 Chapel Hill 968-4501 Mebane 227-2031 Durham 688-7331 ----------------------------------------------------------------------- PURPOSE: To authorize the Chair to submit a Letter of Intent to participate in the Federal HOME Program and other related documents to the U.S. Department of Housing and Urban Development on behalf of the Orange County HOME Consortium and set March 8, 1995 as the public hearing date for the Orange County Consolidated Plan. BACKGROUND: Orange -County recently received notification that the Orange County HOME Consortium has been designated as a HOME Participating Jurisdiction and should receive an award of $368,000 on July 1, 1995. The participating jurisdiction classification entitles the Consortium to receive yearly funding directly from HUD as long as the program is funded by Congress. The amount of funding each year will vary. Prior to this time, the Consortium has had to apply to the State for funding. The last award was $803,600 in 1992. The Orange County HOME Consortium members include Orange County, Chapel Hill, Carrboro and Hillsborough with Orange County serving as lead entity. Because the federal government has established a $500,000 minimum program threshold, the Consortium must contribute the difference between the award ($368,000) and $500,000 which is $132,000. The State of North Carolina has traditionally provided the necessary funding for local jurisdicitions to meet the $500,000 threshold requirement. Based on preliminary discussions the State plans to continue this trend this year. The Manager has sent a written request to the N.C. Housing Finance Agency for its consideration. Therefore, the total HOME funds available will be $500,000. Eligible HOME program activities include housing rehabilitation, new construction and tenant-based rent assistance. Local jurisdictions are also required to contribute a local match of 25 percent of the funding allocation. The total amount to be matched is $500,000 less $50,000 (administration) or $450,000. Given the 25 percent match requirement, a match of $112,500 would be necessary. Based on the Consortium Agreement dated August 27, 1992 and amended September 28, 1993, this would require the following individual jurisdiction contributions: Orange County (42%) - $47,250; Chapel Hill (41%) - $46, 125; Carrboro ( 12%) - $13,500 and Hillsborough (5%) - $5,625. These funds would need to be available in the 1995-96 fiscal year.