Explanation
BACKGROUND
This ordinance authorizes the Director of the Department of Development to enter into a grant agreement with Healthy Linden Homes III LLC for development of 23 units of new construction rental and rehab housing in zip code 43211 in an amount up to $5,000,000.00. Approval is also requested for reimbursement of expenses incurred prior to execution of the purchase order, starting January 1, 2023.
Healthy Homes is an affordable housing developer, focused on increasing the stock of high-quality housing options available to families earning no more than 80% of Area Median Income (AMI) in Linden. Healthy Linden Homes III LLC seeks to further address Columbus’s housing affordability issues by developing 23 units of new construction rental and rehab housing in zip code 43211. These properties will consist of infill development, designed to replace residential structures that have been demolished. Additionally, the parcels that have been identified for redevelopment are being acquired exclusively from the City of Columbus and Franklin County Land Banks.
Most of these properties will be built by Unibilt Industries-a modular home builder located in Dayton, Ohio. The modular units will be delivered approximately 75% complete and set on full foundations. Healthy Homes has engaged a General Contractor who will complete all site preparations, construct the foundations and manage the balance of work post-delivery. Once delivered, the units will require mechanical connections for electric, plumbing and HVAC. Porches will be constructed on site, and there will be some minor interior finishes to finalize. Lastly, the General Contractor will pour concrete parking pads and walk ways, and each site will be fully landscaped with sod and a shade tree. The units that are not modular are one rehab and traditional stick construction. Upon completion, these projects will blend with the existing fabric of the community, and there will be no visible evidence to suggest that they are modular in nature.
In addition to high-quality, affordable places to call home, the tenant families who will reside in these units will have access to a variety of supportive services and advocacy opportunities. Healthy Homes hired a full-time Tenant Services Coordinator to link residents and health/social service providers and Nationwide Children’s Healthy Neighborhoods Healthy Families (HNHF) programming. The Tenant Services Coordinator will work to increase the health knowledge and self-sufficiency of our tenant families through outreach, community education, referrals to community resources, social support, and advocacy. More specifically, tenants will have improved access to health, educational, workforce, and life skills development opportunities. Financial literacy, parenting classes, and mental health services will also be emphasized. Service engagement will not be required for Healthy Homes’ families, but it will be available to all households as needed.
Emergency action is requested in order to maintain the project schedule and to fulfill financial needs to mitigate additional fees from lenders. Without emergency action, new affordable housing would be further delayed from a low-income community in urgent need of it.
FISCAL IMPACT: Funding in the amount of $5,000,000.00 is available in 2023 Capital Improvement Budget, Affordable Housing Bond fund.
CONTRACT COMPLIANCE: the vendor number is 045790 and expires 06/21/2025.
Title
To authorize the City Auditor to transfer funds within the Affordable Housing Bond Fund; to authorize the Director of the Department of Development to enter into a grant agreement with Healthy Linden Homes III LLC in an amount up to $5,000,000.00 in support of the development of 23 units of new construction rental and rehab housing; to authorize the expenditure of $5,000,000.00 from the Affordable Housing Bond Fund; to authorize the reimbursement of expenditures incurred prior to the establishment of a purchase order; and to declare an emergency. ($5,000,000.00)
Body
WHEREAS, the Director of the Department of Development seeks to enter into a grant agreement with Healthy Linden Homes III LLC for development of 23 units of new construction rental and rehab housing in zip code 43211; and
WHEREAS, Healthy Homes is an affordable housing developer, focused on increasing the stock of high-quality housing options available to families earning no more than 80% of Area Median Income (AMI) in Linden; and
WHEREAS, most of these properties will be built by Unibilt Industries-a modular home builder located in Dayton, Ohio; and
WHEREAS, in addition to high-quality, affordable places to call home, the tenant families who will reside in these units will have access to a variety of supportive services and advocacy opportunities; and
WHEREAS, it is necessary to authorize a transfer and an expenditure of funds within the Affordable Housing Bond Fund, Fund 7779, for this project; and
WHEREAS, an emergency exists in the usual daily operation of the Department of Development to pass this ordinance as emergency in order to maintain the project schedule, for the immediate preservation of the public health, peace, property, and safety; NOW, THEREFORE,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That the Director of the Department of Development be and is hereby authorized to enter into a grant agreement with Healthy Linden Homes III LLC for development of 23 units of new construction rental and rehab housing in an amount up to $5,000,000.00 and to authorize the reimbursement of expenditures incurred prior to the establishment of a purchase order, beginning January 1, 2023.
SECTION 2. That the transfer of $5,000,000.00 or so much thereof as may be needed, is hereby authorized within Fund 7779 (Affordable Housing Bond fund), Dept-Div 44-10 (Housing) per the account codes in the attachment to this ordinance.
SECTION 3. That for the purpose as stated in Section 1, the expenditure of $5,000,000.00, or so much thereof as may be necessary, is hereby authorized in fund 7779 (Affordable Housing Bond fund), Project P782050-100002, Dept. 44-10 (Housing), in Object Class 06 (Capital Outlay) per the accounting codes in the attachment to this ordinance.
SECTION 4. That the funds necessary to carry out the purpose of this ordinance are hereby deemed appropriated, and the City Auditor shall establish such accounting codes as necessary.
SECTION 5. 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 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 passage and approval by the Mayor or ten days after passage if the Mayor neither approves nor vetoes the same.