Okaloosa County BOCC — April 19, 2016 — Okaloosa, LHAP2016-2019 rev 1 — reading text

responsible for the Administration of the local housing assistance plan. The Administrative funds cannot be drawn by the third party if the Project Delivery pay schedule is utilized. R. Project Delivery Costs: If the administrative costs listed above are not utilized by OCDC, OCDC will charge a reasonable project delivery cost for project management performed by OCDC employees. The fee will not exceed 10% of the contracted SHIP award and will be included in the amount of the recorded mortgage and note. S. Essential Service Personnel Definition: Essential Service Personnel will be defined as employees or persons whose profession or occupation is considered essential to the community, such as, but not exclusive to persons employed in the education system, city or county government, medical and health services and public safety. In accordance with Rule Chapter 67-37.002(8), F.A.C. and Chapter 67- 37.005(8) F.A.C. T. Describe efforts to incorporate Green Building and Energy Saving products and processes: The Housing Rehabilitation and Substantial Rehabilitation strategy provides that energy conservation will be incorporated into all substantial rehabilitation projects. This includes, but is not limited to energy conserving windows and doors, higher efficiency HVAC units, increased wall and ceiling insulation, programmable thermostats, lo-flow plumbing fixtures, as appropriate and Energy Star rated appliances where applicable and with homeowners' acceptance, metal roofing is installed. Metal roofing contributes to increased energy efficiency, longer life and is less susceptible to hurricane wind damage. U. Describe efforts to meet the 20% Special Needs set-aside: Each application will be reviewed to determine if the applicant or any member of its household meet the definition of Special needs as defined Chapter 67-37.002 (21), F.A.C. Such persons included: those who have encountered resistance to their residing in particular communities; suffered increased housing costs resulting from their unique needs and high risk of institutionalization; persons with developmental disabilities; persons with mental illness or chemical dependency; persons with Acquired Immune Deficiency Syndrome (“AIDS”) and Human Immunodeficiency Virus (“HIV”) disease; runaways and abandoned youth; public assistance recipients; migrant and seasonal farm workers; refugees and entrants; the elderly; and disabled adults. V. Describe efforts to reduce homelessness: Funds will be utilized to assist in the acquisition of, construction of or rehabilitation of units to be utilized for the purpose of reducing homelessness. -6-  SHIP LHAP Template 2009-001 Revised: 7/2015 Section II. LHAP Strategies: A. Owner Occupied Rehabilitation Code 3 a. Summary of the Strategy: The intent of this strategy is to complete substantial rehabilitation of substandard, homeowner occupied housing. The maximum per unit cost for rehabilitation cannot exceed $50,000, and is fully forgivable. This strategy provides that energy conservation and other green features will be incorporated into all substantial rehabilitation projects. This includes, but is not limited to energy conserving windows and doors, higher efficiency HVAC units, increased wall and ceiling insulation, programmable thermostats, low-flow plumbing fixtures, as appropriate and Energy Star rated appliances where applicable and with homeowners' acceptance, metal roofing. Metal roofing contributes to increased energy efficiency, longer life and is less susceptible to hurricane wind damage. b. Fiscal Years Covered: 2016-2017, 2017-2018 and 2018-2019 c. Income Categories to be served: The targeted populations are those individuals or households who are at or below 80% of the median income. d. Maximum award: $75,000 e. Terms 1. The loan is a Deferred Payment Loans (DPL’s) 2. The loan has zero (0%) interest with no monthly payments secured by a recorded mortgage and promissory note. 3. Forgiven at the end of 5 (five) years. a. $1.00 - $50,000 = 5 Years @ 20% per year b. $50,000 – $ 75,000 = 15 Years @ 6.67 % per year 4. The loan is due and payable upon sale, transfer or rental of subject property prior to forgiveness date. In the event of the death of a loan holder, if an income eligible heir makes the house their primary residence, the forgivable loan can be assumed by them. 5. Requests for subordination in the event of homeowner refinancing will be reviewed and granted only when the refinancing will result in a decrease of their mortgage payment. There is the stipulation of no cash in hand to the homeowner. f. Recipient Selection Criteria: Assistance will be provided on a first-come, first qualified, first-serve basis following annual advertisement when required of the availability of SHIP resources for eligible homeowners who are at no more than 80% of median income level for Okaloosa County. Section 420.9075(3)(c) Florida Statue, state that it is unlawful to discriminate on the basis of race, creed, color, religion, age, sex, marital or familial status, national origin, or handicap in the selection of recipients of contracts or assistance under the SHIP Program. -7-  SHIP LHAP Template 2009-001 Revised: 7/2015 B. Purchase Assistance with or without Rehabilitation Code1, 2 a. Summary of the Strategy: SHIP funds will be made available to support down payment, closing costs, gap financing, and substantial rehabilitation of existing or newly constructed affordable housing units on a one-time basis to income eligible homebuyers. However, each homebuyer shall only receive the minimum level of assistance required to enable the purchase, based on the Lender’s Underwriting staff, and necessary repair of an existing or newly constructed home. b. Fiscal Years Covered: 2016-2017, 2017-2018 and 2018-2019 c. Income Categories to be served: Those individuals or households who are at or below 80% of the median income. Beneficiaries must complete a Home Buyer Counseling class provided by Consumer Credit Counseling Services, Inc. or other HUD certified Credit Counseling service prior to receiving funds. Eligible Moderate Income applicants will be considered only if there are no eligible buyers in the Very Low Income and Low Income categories. d. Maximum award: $30,000 e. Terms 1. The loan is a Deferred Payment Loans (DPL’s) 2. The loan has zero (0%) interest with no monthly payments secured by a recorded mortgage and promissory note. 3. Forgiven at the end of 5 (five) years. a. $1.00 - $50,000 = 5 Years @ 20% per year b. $50,000 – $ 75,000 = 15 Years @ 6.67 % per year 4. The loan is due and payable upon sale, transfer or rental of subject property prior to forgiveness date. In the event of the death of a loan holder, if an income eligible heir makes the house their primary residence, the forgivable loan can be assumed by them. 5. Requests for subordination in the event of homeowner refinancing will be reviewed and granted only when the refinancing will result in a decrease of their mortgage payment. There is the stipulation of no cash in hand to the homeowner. f. Recipient Selection Criteria: Assistance will be provided on a first-come, first qualified, first served basis for an applicant who receives a first mortgage commitment from a lender. Section 420.9075(3)(c) Florida Statue, state that it is unlawful to discriminate on the basis of race, creed, color, religion, age, sex, marital or familial status, national origin, or handicap in the selection of recipients of contracts or assistance under the SHIP Program. -8-  SHIP LHAP Template 2009-001 Revised: 7/2015 C. Foreclosure Prevention Code 7 a. Summary of the Strategy: This strategy will be used in all areas of Okaloosa County and the City of Fort Walton Beach to provide foreclosure prevention/intervention assistance prior to the start of the foreclosure process to allow eligible low and very low income homeowners to become current on their mortgage payments. Eligible expenses will include delinquent mortgage payments, attorney’s fees, recording fees, and late fees. The maximum grant amount is $5,000. b. Fiscal Years Covered: 2016-2017, 2017-2018 and 2018-2019 c. Income Categories to be served: Those individuals or households who are at or below 80 % of median income. Assistance will be provided on a first-come, first qualified, first-served basis. d. Maximum Award: $5,000 e. Terms: 1. The loan is a Deferred Payment Loans (DPL’s) 2. The loan has zero (0%) interest with no monthly payments secured by a recorded mortgage and promissory note. 3. Forgiven at the end of 5 (five) years. a. $1.00 - $50,000 = 5 Years @ 20% per year 4. The loan is due and payable upon sale, transfer or rental of subject property prior to forgiveness date. In the event of the death of a loan holder, if an income eligible heir makes the house their primary residence, the forgivable loan can be assumed by them. 5. Requests for subordination in the event of homeowner refinancing will be reviewed and granted only when the refinancing will result in a decrease of their mortgage payment. There is the stipulation of no cash in hand to the homeowner. f. Recipient Selection Criteria: Homeowners must be delinquent at least