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HomeMy WebLinkAboutSummary FormDate: 11/14/08 AGENDA ITEM SUMMARY FORM FILE ID: 1(:)K -0) vFS9 PH.9 Requesting Department: Community Development Commission Meeting Date: 12/11/08 District Impacted: 1,2,3,4,5 Type: ® Resolution ❑ Ordinance El Emergency Ordinance ❑ Discussion Item D Other Subject: Amending the City's Housing Program Policies for Homeownership Purpose of item: A RESOLUTION OF THE MIAMI CITY COMMISSION, WITH ATTACHMENT(S) AMENDING THE CITY OF MIAMI DEPARTMENT OF COMMUNITY DEVELOPMENT'S HOUSING PROGRAM POLICIES FOR HOMEOWNERSHIP ACTIVITIES, AS DESCRIBED IN EXHIBIT "A", ATTACHED AND INCORPORATED. Background Information: Please see attached Budget Impact Analysis Is this item related to revenue? Is this item an expenditure? if so, please identify funding source below. General Account No: Special Revenue Account No: Clip Project No: Is this item funded by Homeland Defense/Neighborhood Improvement Bonds? Start Up Capital Cost: Maintenance Cost: Total Fiscal Impact: Dept. Dire. to Chief /1 City Manager Final Approvals (SIGN AND DATE) P3Pe 1 of 1 AGENDA ITEM SUMMARY FORM CONTINUED Background Information: Pursuant to Resolution No. 05-0099, adopted February 10, 2005, the Miami City Commission approved the 31st year policies related to Public Service, Economic Development, Housing Activities and the Housing Opportunities for Persons with AIDS Program funds. Pursuant to Resolution No. 06-0327, adopted May 25, 2006, and Resolution No. 06-0527, adopted September 12, 2006, the Miami City Commission approved amending said policies for homeownership activities, as attached and incorporated. Due to high development cost of housing coupled with the decline of property values, the development cost of homeownership units under construction prior to the decline of the housing market are consistently higher than the appraised value of the units. The City of Miami Department of Community Development has already invested in such projects and that failure of such projects will negatively affect the department. The Administration recommends amending the City of Miami Housing Program policy to include a buy -down option as described in Exhibit "A", attached and incorporated, which will enable affordable housing developments to absorb the impact of declining market conditions and continue to provide affordable homeownership units to potential eligible low income buyers.