Fort Walton Beach Council agenda — 02-08-05 — reading text

annual income must be at or below 80% AMI as principal b. Homeowner must own the property and occupy the property residence 1  c. Homeowner may qualify for up to $ 50K based on damage d. If a Homeowner has an income level not exceeding 50% AMI, 50% of the loan amount may be forgiven at a rate of 10% per year for up to 5 years. e. Each homeowner recipient has to be current with paying property taxes or should demonstrate property tax deferral or waiver f. The combined loan- to- value ratio ( CLTV) for all mortgages on the property cannot exceed 105% of the after construction appraised value of the property. 7. What should local governments, public housing authorities and nonprofit Applicants expect to submit to Florida Housing? Answer: a. A simplified application with general information b. A proposed program description/use of funds c. A proposed program budget d. Certifications and requested exhibits e. Applicants should be prepared to submit 1 original and 2 copies 8. Will there be scoring and underwriting involved? Answer: Funding will be awarded on a first come, first serve basis not to exceed any caps imposed by Florida Housing. Applications must be complete upon submission. The Applicant will have an opportunity to cure any deficient items. Once those deficiencies are corrected and funding remains available, the Applicant will enter into an agreement with Florida Housing. There is no underwriting involved. 9. What properties will qualify for assistance? Answer: single family detached homes, condominiums, town houses, duplexes and manufactured homes ( repair and reconstruction for post- July 13, 1994 manufactured homes and ONLY reconstruction for pre- July 13, 1994 manufactured homes). 10. What are the terms of the loans for the homebuyer? nd Answer: The loan to the homebuyer will have to be in a 2 lien position. However, if. there is an existing second lien, Florida Housing may secure a further subordinated position. The loans will be zero percent deferred principal until the homebuyer sells, transfers or disposes of the home either voluntarily or involuntarily, or ceases to occupy the property as a principal residence at which time the principal balance becomes payable in full. 11. Is it necessary for Florida Housing to operate the HOME Again program s~ lely on a reimbursement" basis? Answer: Funding disbursements will be done on a draw basis. Upon receipt of the documentation as will be outlined in the disbursement procedures, Florida appropriate Housing anticipates disbursing funds twice a week. The Applicant may choose to utilize its own resources up front with the anticipation that Florida Housing will approve the draw request. However, that is not required. Processing time for draw requests submitted should be no more than a week turnaround. 2 12. How much will each Applicant be allowed for administration of this program? Answer: Each Applicant will be allowed up to 10% for administration of this program. Applicants submitting more than one application will also be subject to this provision. 13. What is the Davis Bacon Act and how will it apply to the Applicant? Answer: The Davis- Bacon Act requires the payment of prevailing wage rates to all laborers and mechanics that will assist with construction, repair/ rehabilitation and reconstruction activities related to developments that are assisted with federal resources. Wage rates are determined by the U. S. Department of Labor. The Davis Bacon provisions will ONLY apply if the construction contract between the General Contractor and the Applicant will consist of repairing and/or reconstructing 12 or more homes. 14. Will an Environmental Assessment be required for the HOME Again program? Answer: Rehabilitation and reconstruction activities are categorically excluded activities under 24 CFR Part 58.35. This means that these activities are not subject to an environmental assessment under NEP A provisions. However, HUD requires an abridged environmental review referred to as a statutory checklist. Each property assisted with HOME Again funds will need to undergo this checklist. This statutory checklist will be made available to you via Florida Housing' s website. 3  HOME Again FHFC Disaster Relief HOME Assistance Program FI~ ri~ finoncft OUSing Florida Housing Finance Corporation CorpotQtiOJ1 Mailing Address: 227 N. Bronough Street, Suite 5000 Tallahassee, FL 32301 we make ~ ng .offordQbI$ Application Number: HA04- 718 SUBRECIPIENT CONTRACT THIS CONTRACT is entered into by and between the Florida Housing Finance Corporation, a Corporation and instrumentality of the State of Florida, (hereinafter referred to as " the Corporation"), and City of Fort Walton Beach ( Applicant name), of Fort Walton Beach~ Okaloosa County ( City, County) Florida, (hereinafter referred to as " the Subrecipient"). The Applicant is awarded an allocation of HOME funds in the amount of$ 300~OOO for use with the HOME Again - FHFC Disaster Relief HOME Assistance Program (" HOME Again"). THIS CONTRACT IS ENTERED INTO BASED ON THE FOLLOWING FACTS: A. WHEREAS, the State of Florida has been designated by the United States Department of Housing and Urban Development (" HUD") as a participating jurisdiction for the receipt and use of funds as governed by the HOME Investment Partnerships Program (" HOME Program") as governed in 24 CFR ~ 92; and B. WHEREAS, the Corporation has been designated by the State of Florida as the allocating authority for HOME funds; and C. WHEREAS, section 420. 5089, F. S., requires that the Corporation make loans in the administration of the HOME Program; and D. WHEREAS, the Subrecipient represents that it is fully qualified, possesses the requisite skills, knowledge, qualifications and experience to provide the services identified herein, and does offer to perform such services for the Corporation in accordance with 24 CFR ~ 92 and Rule 67- 50, F. A.C.; and E. WHEREAS, the Corporation has a need for such services and does hereby accept the offer of the Subrecipient upon the terms and conditions hereinafter set forth. NOW THEREFORE, the Corporation and the Subrecipient do mutually agree as follows: 1) DEFINITION OF TERMS. Terms used herein shall be defmed as appears in 24 CFR ~ 92.2 and Rule 67- 50, F. A.C. 2) BUDGET AND PROGRAM DESIGN. The Subrecipient shall administer one or more projects permitted under the HOME Again Program, HOME Investment Partnerships Act, 1 applicable regulations, and the Subrecipient' s Program Design and Budget ( Attachment A). The Subrecipient shall select individual participants for a rehabilitation / reconstruction program and shall act as the agent of the Corporation in doing so. The Subrecipient shall use the HOME funds to make deferred loans to individual participants in the name of the Corporation. Each loan shall be evidenced by a Promissory Note ( Attachment B) and secured by a Subordinate Mortgage ( Attachment C), using documents supplied by the Corporation. The Subrecipient shall also execute a Homeowner Assistance Agreement ( Attachment D) with each participant. The Subrecipient shall further act as a closing agent for the Corporation, assuring that title insurance in the Corporation' s name is obtained and that appropriate documents have been executed before making a disbursement of HOME funds. 3) INCORPORATION OF LAWS. RULES. REGULATIONS. Both the Subrecipient and the Corporation shall be governed by applicable state and federal laws, rules and regulations. 4) PERIOD OF CONTRACT. This Contract shall begin upon execution by both parties for the duration of two ( 2) years from the execution date, unless the Contract is terminated earlier in accordance with the provisions of Paragraph ( 10). 5) MODIFICATION OF CONTRACT. Either party may request modification of the provisions of this Contract. Changes which are mutually agreed upon shall be valid only when reduced to writing, duly signed by each of the parties hereto and attached to the original. of this Contract. 6) RECORDKEEPING. a) The Subrecipient shall maintain records sufficient to me~t the requirements of24 CFR 9 92. 508( a) ( 2), ( 3), ( 5) and ( 6). All records and reports required herein shall be retained and made accessible as provided in 24 CFR 9 92. 508( c) and ( d). b) The Subrecipient shall comply with the requirements of OMB Circulars No. A- 87, if a local government, or A-122, if a non-profit, as provided in 24 CFR ~ 92. 505( a) and ( b), respectively. c) The Subrecipient shall maintain records so that all disbursements, with regard to each particular loan, home or homeowner, will be easily retrievable while project is active. d) All records, including supporting documentation of all program costs, shall be sufficient to determine compliance with the requirements and objectives of Attachment A and all other applicable laws and regulations. e) The Subrecipient, its employees or agents, including all subcontractors or consultants to be paid from funds provided under this Contract, shall allow access to its records at reasonable times to the Corporation, its employees and agents, to the Comptroller and to the 2 U. S. Department of Housing and Urban Development as long as the project is active. Reasonable" shall be construed according to the circumstances but ordinarily shall mean during normal business hours of 8: 00 a.m. to 5: 00 p. m., local time, on Monday through Friday. Agents" shall include, but not be limited to, auditors retained by or conducting an audit of the Corporation. f) All original Homeowner records pertinent to this Contract shall be forwarded to the Corporation upon final close out of each homeowner project. The items contained in the Homeowner File Completion Checklist ( Attachment E) constitute a complete Homeowner file. Documents included in Attachment E that are to be supplied by the Corporation will be provided after execution of this contract and also will be available on the Corporation' s website. 7) REPORTS. a) At a minimum, the Subrecipient shall provide the Corporation with monthly reports and a close- out report. The Monthly Report is attached as Attachment F. The Subrecipient shall comply with any additional reporting requirements contained in 24 CFR ~ 92.