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HomeMy WebLinkAboutSummary Formri..° AGENDA ITEM SUMMARY FORM Law Department PH.Matter ID No. FILE ID: Date: 03/12/2010 Requesting Department: Community Develo ment Commission Meeting Date: 04/08/2010 District Impacted: 1,2,3,4,5 Type: ® Resolution ❑ Ordinance ❑ Emergency Ordinance ❑ Discussion Item ❑ Other Subject: APPROVING THE CITY OF MIAMI NSP SUBSTANTIAL AMENDMENT AND AMENDING NSP REVISED IMPLEMENTATION POLICIES Purpose of Item: APPROVING THE CITY OF MIAMI'S ("CITY") NEIGHBORHOOD STABILIZATION PROGRAM ("NSP") SUBSTANTIAL AMENDMENT #2008.2, AS INDICATED IN EXHIBIT "A", ATTACHED AND INCORPORATED, TO REFLECT A $1,350,000 TRANSFER OF ALLOCATED FUNDS FROM STRATEGY A: ESTABLISH FINANCING MECHANISMS FOR PURCHASE AND REDEVELOPMENT OF FORECLOSED UPON HOMES AND RESIDENTIAL PROPERTIES TO STRATEGY E: REDEVELOPMENT OF DEMOLISHED OR VACANT PROPERTIES AND TO INCLUDE THE NSP — FUNDED REHABILITATION PROGRAM; AMENDING THE NSP REVISED IMPLEMENTATION POLICIES TO INCLUDE THE NSP — FUNDED REHABILITATION PROGRAM; AUTHORIZING THE CITY MANAGER TO SUBMIT THE CITY'S AMENDED ANNUAL ACTION PLAN FOR FISCAL YEAR 2008-2009 TO THE UNITED STATES DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT FOR REVIEW AND APPROVAL. 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: Final Approvals (SIGN AND DATE) CIP Budget if using or receiving capital furids Grants Risk Management Purchasing A Dept. Director Chief City Manager / _ 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 included the NSP, administered by HUD. The 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. On September 26, 2008, the City was awarded $12,063,702 for the implementation of the NSP which provided emergency assistance to the City to acquire foreclosed properties that might otherwise become sources of abandonment and blight and rehabilitate, resell, or redevelop the properties to stabilize neighborhoods and stem the decline of house values of neighboring homes. Pursuant to Resolution No. 08-0641 and 08-0642, adopted November 13, 2008, the Miami City Commission approved the acceptance of said grant in an amount of $12,063,702 and amended the Annual Action Plan respectively for the implementation of NSP. According to the NSP plan, as approved by the City Commission and HUD, the City can purchase and rehabilitate properties for sale to eligible homebuyers. The Annual Action Plan has since been substantially amended to include changes to the previously approved Neighborhood Stabilization Program plan by expanding the Areas of Greatest Needs and modifying certain program strategies. Due to the general conditions of the homeownership market, the demand for assistance under Strategy A has not met expectation. The Administration recommends the approval of the City's NSP Substantial Amendment #2008.2, as indicated in Exhibit "A", attached and incorporated, to reflect a $1,350,000 transfer of allocated funds from Strategy A: Establish financing mechanisms for purchase and redevelopment of foreclosed upon homes and residential properties to Strategy E: Redevelopment of demolished or vacant properties and to include the NSP — Funded Rehabilitation Program; amending the NSP revised Implementation Policies to include the NSP — funded rehabilitation program.