Explanation
BACKGROUND: This legislation authorizes the Director of the Department of Development to enter into an agreement with the Franklinton Development Association (FDA), a non-profit organization. The funds provided by the agreement will be used to make needed repairs and provide development and affordability subsidy for the sale of three housing units as part of the Hawkes Homes project under the City's Home Again Initiative. The Hawkes Homes project is located in Franklinton which is the service area of FDA. FDA facilitates the production of affordable housing and the enhancement of home ownership opportunities in Franklinton.
This project was originally developed under the Home Again program through an agreement with Bluebird Properties Inc. Although the houses were completed, Bluebird was unable to secure qualified buyers in the time period of its agreement with the City. FDA has agreed to purchase the homes and facilitate the sale of each home. The successful completion of Hawkes Homes project with FDA will continue the neighborhood revitalization of Franklinton. Any program income generated from the sale of the units will be recycled by FDA in additional Home Again eligible projects.
The Housing Preservation Fund represents the City's commitment to the preservation of affordable housing in the City of Columbus.
Emergency action is necessary to allow for FDA to immediately complete the acquisition of these homes and facilitate their sale to homebuyers.
FISCAL IMPACT: Funding is from the Housing Preservation Fund.
Title
To authorize the Director of the Department of Development to enter into an agreement with the Franklinton Development Association to implement the Hawkes Homes component of the City's Home Again Initiative; to authorize the expenditure of $250,000.00 from the Housing Preservation Fund; and to declare an emergency. ($250,000.00)
Body
WHEREAS, the Department of Development, Housing Division desires to administer a Housing Preservation Fund from city bond proceeds; and
WHEREAS, the Department of Development desires to enter into an agreement with the Franklinton Development Association (FDA) and to expend $250,000.00 in bond proceeds; and
WHEREAS, these monies will be used to assist in implementing the Home Again Initiative to preserve the supply of decent, safe, sanitary and affordable housing by providing funding for necessary repairs to facilitate sale of the units and provide development and affordability subsidy for the development at the time of the sale of the homes; and
WHEREAS, FDA will make necessary repairs to the homes in the project and facilitate the sale of the homes; and
WHEREAS, emergency action is necessary to allow for the necessary repairs to begin immediately and allow for sale as soon as possible thereafter; and
WHEREAS, an emergency exists in the usual daily operation of the Department of Development, Housing Division, in that it is immediately necessary to enter into contract with the Franklinton Development Association to allow for the immediate completion of the acquisition process, thereby preserving the public health, peace, property, safety, and welfare; and NOW, THEREFORE:
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
Section 1. That the Director of the Department of Development is hereby authorized to enter into an agreement with Franklinton Development Association to finance a portion of the acquisition costs of three housing units as part of the Hawkes Homes project under the City's Home Again Initiative.
Section 2. That this contract is awarded pursuant to Section 329.15 of the Columbus City Codes, 1959 as amended.
Section 3. That for the purpose as stated in Section 1, the expenditure of $250,000.00 or so much thereof as may be necessary, is hereby authorized from the Department of Development, Division 44-10, Fund 782, Project No. 782001-100000, Object Level One 06, Object Level Three 6616, OCA Code 782001.
Section 4. That the City Auditor is authorized to make any accounting changes to revise the funding source for all contracts or contract modifications associated with this ordinance.
Section 5. That expenditure of capital improvements budget funds from this authorization will be for necessary repairs to the homes and development and affordability subsidy for sale to eligible households.
Section 6. That for the reasons stated in the preamble hereto, which is hereby made a part hereof, this Ordinance is hereby declared to be an emergency measure and shall take effect and be in force from and after its approval by the Mayor, or ten days after passage if the Mayor neither approves nor vetoes the same.