Orange County NC Website
Browse       Search
ORANGE COUNTY <br />BOARD OF COMMISSIONERS <br />ACTION AGENDA ITEM ABSTRACT <br />Meeting Date: February 15, 2005 <br />Action Agen~da~ <br />Item No. <br />SUBJECT: CDBG Program -IDA Program <br />DEPARTMENT: Hcusing/Community Dev. PUBLIC HEARING: (Y/N) Yes <br />ATTACHMENT(S): INFORMATION CONTACT: <br />Tara L, Fikes, ext 2490 <br />Program Summary <br />Certificate of Completion <br />TELEPHONE NUMBERS: <br />Hillsborough 732-8181 <br />Chapel Hill 968-4501 <br />Durham 688-7331 <br />Mebane 336-227-2031 <br />PURPOSE: To receive citizen comments prior to official close-out of the County's FY 2001 <br />Individual Development Account (IDA) Program and authorize execution of the Certificate of <br />Completion by the Ghair of the Board of Commissioners. <br />BACKGROUND: In 2001, the County received $40,000 in State Community Development <br />Block Grant (CDBG) funds for an IDA Program for first-time homebuyers with incomes below <br />80% of the area median income. Funds from this grant were used to match first-time <br />homebuyer participant's savings for a downpayment to purchase their first home, The match <br />ratio is 2:1. For example, if a participant saved $1,000 toward the down payment on a home, <br />their savings are matched with $1,000 in CDBG fianding and $1,000 in local funding equating to <br />a 2:1 match of local savings, Approximately 11 families fully participated in this program and <br />purchased their first home. <br />The grant pericd officially ended on January 31, 2005, and a summary of the program <br />beneficiaries is attached tc this abstract, It should be noted that the original application <br />proposed serving approximately 20 families. A total of 31 families contacted The Women's <br />Center, program administrator of the IDA Program, with 21 approved to participate in the <br />program. Of those 21 families, approximately 10 families were unable to continue participation <br />due to their inability to maintain the required savings commitment. Thus, the total number of <br />families that actually purchased homes was eleven, Therefore, approximately $33,000 of the <br />$40,000 grant has been expended during the grant period. The remaining $7,000 will be de- <br />obligated and retained by the Division of Community Assistance (DCA) for use in future <br />program years, DCA staff has indicated that these funds would be available for a new funding <br />grant for Orange County in 2005. <br />In order to complete the grant closeout process, the N.C, Department of Commerce requires <br />that a public hearing be held prior to the official closeout of the IDA Program to assess the <br />