Explanation
BACKGROUND: This legislation authorizes the Director of the Department of Development to enter into an agreement with the Affordable Housing Trust Corporation (AHTC) for Columbus and Franklin County. The funds provided by the agreement will be used to undertake the acquisition and rehabilitation components of the Home Again Program. The AHTC currently facilitates the production of affordable housing and the enhancement of home ownership opportunities in Columbus. This legislation authorizes the expenditure of $1,675,000 to the AHTC for the acquisition and rehabilitation of vacant houses to increase the supply of decent, safe, sanitary and affordable housing as well as to enhance neighborhood revitalization activities. The program will also assist in building the capacity of neighborhood-based non-profit organizations. Specifically, the proposal is to provide the funds to AHTC to selectively target acquisitions of vacant properties for redevelopment and to ensure maximum neighborhood revitalization potential. The AHTC may also receive properties from the city that are acquired via the enforcement process.
The Housing Preservation Fund represents the City's commitment to the preservation of housing units affordable to very-low, low and moderate-income individuals.
Emergency action is necessary to allow for the AHTC to immediately begin the acquisition process.
FISCAL IMPACT: The Development Department received $3,500,000.00 in the 2007 Capital Improvement Budget for Housing Preservation projects. Bonds have yet to be sold, therefore a transfer of cash from the Special Income Tax Fund is necessary.
Title
To authorize the appropriation of $1,675,000 from the Special Income Tax Fund: to authorize and direct the City Auditor to transfer $1,675,000.00 from the Special Income Tax Fund to the Housing Preservation Fund; to amend the 2007 Capital Improvements Budget; to authorize the Director of the Development Department to enter into an agreement with the Affordable Housing Trust Corporation for Columbus and Franklin County for the implementation of the Home Again Program; to authorize the expenditure of $1,675,000.00 from the Housing Preservation Fund; and to declare an emergency. ($1,675,000)
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 Affordable Housing Trust Corporation (AHTC) for Columbus and Franklin County and to expend $1,675,000 in bond proceeds; and
WHEREAS, these monies will be used to assist in implementing the Home Again Program to preserve the supply of decent, safe, sanitary and affordable housing; and
WHEREAS, emergency action is necessary to allow for acquisition and rehabilitation of vacant properties to begin immediately, and
WHEREAS, an emergency exists in the usual daily operation of the Department of Development, Housing Division, in that it is immediately necessary to appropriate, transfer and expend said funds 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 sum of $1,675,000.00 be and is hereby appropriated from the unappropriated balance of the Special Income Tax Fund, Fund 430, and from all monies estimated to come into said fund from any and all sources and unappropriated for any other purpose during the fiscal year ending December 31, 2007 to the City Auditor, Department 22-01, Object Level One 10, OCA Code 902023, Object Level Three 5502.
Section 2. That the City Auditor is hereby authorized to transfer said funds to the Housing Preservation Fund, Fund 782, at such time as is deemed necessary by the City Auditor, and to expend said funds, or so much thereof as may be necessary.
Section 3. That the amount of $1,675,000.00 is hereby transferred and appropriated to the Development Department, Housing Division 44-10, Housing Preservation Fund, Fund 782, Project No.782001 - Housing Preservation, Object Level Three 6616.
Section 4. That the 2007 Capital Improvements Budget, Ordinance No. 0733-2007, is hereby amended as follows:
CURRENT:
Fund |
Project No. |
Project |
Amount |
782 |
782001 |
Housing Preservation |
$3,500,000.00 |
782 |
782002 |
Home Safe & Sound |
$ 00.00 |
|
|
Total: |
$3,500,000.00 |
AMENDED:
Fund |
Project No. |
Project |
Amount |
782 |
782001 |
Housing Preservation |
$3,100,000.00 |
782 |
782002 |
Home Safe & Sound |
$ 400,000.00 |
|
|
Total: |
$3,500,000.00 |
Section 5. That upon obtaining other funds for the Housing Preservation Project, the City Auditor is hereby authorized and directed to repay the Special Income Tax Fund the amount transferred under Section 2, above, and said funds are hereby deemed appropriated for such purpose.
Section 6. That the City Auditor is authorized to establish proper accounting project numbers, and to make any accounting changes to revise the funding source for any contract or contract modification associated with the expenditure of funds transferred in Section 2, above.
Section 7. The City intends that this ordinance constitute an "official intent" for purposes of Section 1.150-2(e) of the Treasury Regulations promulgated pursuant to the Internal Revenue Code of 1986, as amended.
Section 8. That the Director of the Department of Development is hereby authorized to enter into an agreement
with AHTC to implement a component of the city's Home Again Initiative to convert vacant houses to productive use.
Section 9. That for the purpose as stated in Section 8, the expenditure of $1,675,000 or so much thereof as may be necessary, is hereby authorized from the Department of Development, Division 44-10, Fund 782, Project No. 782001, Object Level One 06, Object Level Three 6616, OCA Code 782001.
Section 10. That expenditure of capital improvements budget funds from this authorization will be for acquisition and subsequent rehabilitation of vacant houses for sale to income eligible households.
Section 11. 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.