Title
Local Housing Assistance Plan --State Fiscal Years 2005/06-2007/08 (NB)
Explanation
Consistent with City Commission action on April 11, 2005, the City's Local Housing Assistance Plan (LHAP) was submitted to the Florida Housing Finance Corporation (FHFC) for review and comment on April 28, 2005. On May 16, 2005, the following technical revisions were suggested by FHFC:
1. FHFC noted that the text in the LHAP strategies provides the term, recapture and default rates, but did not, for some programs, include the interest rate. Florida Housing Finance Corporation suggested that the City state the 0% interest rate to avoid any future misunderstandings;
2. FHFC noted that in the Disaster Mitigation/Recovery Strategy, reference is made to Executive Order 04-182. Florida Housing Finance Corporation suggested deleting this number since this executive order has expired and future orders will be activated in future emergency situations;
3. FHFC noted as an advisory comment that the Downpayment Assistance Program text states that the homebuyer must pay a minimum of 2% of the sales price of the home. Considering the income categories served, FHFC suggested that this amount will probably be hard for very-low income households to pay.
While the LHAP meets the substantive requirements of the SHIP statute and rule, the approval was made on the condition that the City complete the minor technical revisions as detailed in #1 and #2 above. Items #1 and #2 in the LHAP have been revised as suggested by the Florida Housing Finance Corporation. Item #3 is advisory only, and does not require a revision (since 1993, the 2% of sales price requirement has been a part of the City's Downpayment Assistance Program guidelines, and is consistent with most lending programs). Following the FHFC suggestions, staff made an amendment to the terms of the New Rental Construction Program to clarify that the grant funding is not amortized, but will be recorded as a lien on ...
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