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HomeMy WebLinkAboutSummary FormAGENDA ITEM SUMMARY FORM �Law Department • Matter ID No. Qa FILE ID• le -[Coq Date: 01/22/2009 Requesting Department: Community Development Commission Meeting Date: 02/12/2009 District Impacted: 1,23,45 Type: ® Resolution ❑ Ordinance ❑ Emergency Ordinance ❑ Discussion Item ❑ Other Subject: AUTHORIZING THE CITY MANAGER TO EXECUTE AGREEMENTS TO PURCHASE AND/OR LEASE REAL PROPERTIES IN THE CITY OF MIAMI UNDER THE NEIGHBORHOOD STABILIZATION PROGRAM Purpose of Item: AUTHORIZING THE CITY MANAGER TO EXECUTE AGREEMENTS TO PURCHASE AND/OR LEASE REAL PROPERTIES LOCATED WITHIN THE CITY OF MIAMI, PURSUANT TO TITLE III OF DIVISION B OF THE HOUSING AND ECONOMIC RECOVERY ACT, 2008, FOR THE PURPOSE OF ASSISTING IN THE REDEVELOPMENT OF ABANDONED AND FORECLOSED HOMES UNDER THE EMERGENCY ASSISTANCE FOR REVEDEVELOPMENT OF ABANDONED AND FORECLOSED HOMES, AKA NEIGBORHOOD STABILIZATION PROGRAM ("NSP"), FROM THE UNITED STATES DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT ("HUD-), WITH FUNDS AWARDED TO THE CITY OF MIAMI BY HUD TO THE CITY OF MIAMI, IN THE AMOUNT OF $12,063,702, FOR AN EIGHTEEN (18) MONTH PERIOD; FOR SAID PURPOSE. Background Information: Please see attached Budget Impact Analysis NO Is this item related to revenue? NO Is this item an expenditure? If so, please identify funding source below. General Account No: Special Revenue Account No: CIP Project No: NO Is this item funded by Homeland Defense/Neighborhood Improvement Bonds? Start Up Capital Cost: Maintenance Cost: Total Fiscal Impact: CIP If using or receiving capital funds Grants PurchasLTA OMff-, Final Approvals (SIGN AND DATE) Budget Risk M Dept. I City M Page 1 of i AGENDA ITEM SUMMARY FORM CONTINUED Background Information: On July 30, 2008, the President of the United States signed the Housing Economic Recovery Act of 2008 ("HERA"), which includes the Neighborhood Stabilization Program, administered by the U.S. Department of Housing and Urban Development ("HUD"). The Neighborhood Stabilization Program ("NSP") provides targeted emergency assistance to state and local governments to acquire and redevelop foreclosed properties that might otherwise become sources of abandonment and blight within their communities. The City of Miami has one of the highest rates of foreclosed homes in the nation. HUD has awarded a grant in the amount of $12,063,702 to the City of Miami in Community Development Block Grant (CDBG) funds. The Department of Community Development administers CDBG funds and has the sole responsibility to administer these CDBG funds to effectuate the purposes of NSP. HERA mandates that these CDBG funds must be committed "within 18 months of receipt of the amounts, as required by HUD." The negotiation for purchase of foreclosed and abandoned properties must be completed within the 18 month" time period as contemplated by HUD. Most lenders require buyers of foreclosed properties to be able to quickly go into contract and close on the properties. The Department of Community Development shall use due diligence in identifying properties to purchase that will effectuate the purpose of NSP and will also be in accordance with policies as approved by the City Commission. For the limited purpose of complying with the requirements of NSP, the City Manager has the authority to execute agreements for the purchase of real properties located within the City of Miami.