Agenda - 05-01-2001-8k - Laserfiche WebLink

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ORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: May 1, 2001 Action Agenda Item No. $ SUBJECT: HOME Pro ram -- Pro ert Ac uisition DEPARTMENT: Housing/Community Dev. PUBLIC HEARING: (Y/N) No ATTACHMENT(S): Letter from EmPOWERment, Inc. Development Agreement INFORMATION CONTACT: Tara L. Fikes, ext. 2490 TELEPHONE NUMBERS: Hillsborough 732-8181 Chapel Hill 968-4501 Durham 688-7331 Mebane 336-227-2031 PURPOSE: To authorize the execution of a Development Agreement with EmPOWERment, Inc. on behalf of the Orange County.HOME Consortium for the acquisition of rental property in Chapel Hill and authorize the Manager to execute the document upon the appraval of the County Attorney. BACKGROUND: The Orange County HOME Consortium in May 1999 approved the FY 1999 HOME Program that included an allocation of $100,000 for rental property acquisition by the non-profit agency, EmPOWERment, Incorporated. The agency has now identified property at 225 and 227 Graham Street in Chapel Hill to purchase and lease to low-income families. The purchase price is $179,000. The current appraised value of this property is $188,000. These are three bedroom units that EmPOWERment will lease for $700 per month. They are requesting $100,000 in HOME funds to apply to acquisition costs with BB&T financing the remainder of the sales price. As the lead entity for the Orange County HOME Consortium, the County must enter into a Development Agreement with EmPOWERment, Inc. for expenditure of HOME funds for this property acquisition. FINANCIAL IMPACT: This action will represent an expenditure of $100,000 from the 1999 HOME Program allocation. RECOMMENDATION(S): The Manager recommends authorizing the execution of a Development Agreement with EmPOWERment, Inc. on behalf of the Orange County HOME Consortium for the acquisition of rental property in Chapel Hill and authorize the Manager to execute the document upon the approval of the County Attomey.