Title
Affordable Housing Property Donation Pilot Program (B)
Explanation
The purpose of this agenda item is to request that the City Commission authorize the City Manager to implement a Pilot Program for the donation of City-owned residential parcels located within a specific geographic area, to non-profit organizations that develop affordable housing.
As approved by the City Commission, the Housing Element of the Comprehensive Plan states that, where feasible, the City will make City-owned parcels available for affordable residential units. In addition, over the next several years, the City may implement several non-residential City initiatives in Northeast Gainesville (e.g., renovation and upgrades to the Clarence R. Kelly Community Center, Duval Park and the Martin Luther King, Jr. Recreation Complex). The City recognizes that these types of projects complement each other when they are located in close proximity.
In an effort to continue addressing the City’s affordable housing goals, staff is proposing a pilot program. As part of the pilot program, staff has identified several City-owned residential parcels in the Greater Duval Area. Those parcels are depicted on the map in the back-up. The development of those properties, in coordination with the area’s other redevelopment initiatives, could create positive, visible change and momentum in that location. For that reason, staff proposes that the City issue a Request for Proposals (RFP) for the development of those parcels; and that the City donate the parcels to the entity, or entities, with the highest scoring proposals. Before publishing the RFP, the City Commission must declare that the parcels are Surplus Property. Staff has initiated that process, and soon will schedule it for City Commission consideration.
As currently proposed, in exchange for the land, the nonprofit organization must meet several requirements. The first requirement is to build single-family residences that meet all of the City housing program’s standards for health, safety, accessibility, aging in place, structural integrity, storm resistance and the efficient use of energy and water. Another requirement is to sell the home to a household that qualifies as Low-Income, as defined by the United States Department of Housing and Urban Development (HUD). The sales price of the units cannot exceed HUD Limits for the Gainesville Area. Finally, the nonprofit organizations will be required to receive a Certificate of Occupancy or a Certificate of Completion from the City’s building department within two years of receiving the parcels. In the event that the nonprofit organization is not able to complete that task, the ownership of the parcels will revert back to the City.
Applicants’ proposals will be evaluated based on several criteria, such as development timeframes, developer experience, financial resources, compatibility with the area, etc.
Staff proposes that the City’s Affordable Housing Advisory Committee (AHAC) will review all the proposals and make a recommendation to the City Manager or designee, who will make a final determination.
Fiscal Note
None.
Recommendation
The City Commission: 1) hear a presentation from staff; 2) authorize the City Manager or designee to develop and implement an Affordable Housing Property Donation Pilot Program; 3) authorize the City Manager or designee to identify City-owned properties that are suitable for affordable housing and issue Requests for Proposals to donate those properties to eligible nonprofit organizations, contingent upon those properties being declared surplus by the City Commission; 4) authorize the City Manager or designee to execute agreements with those nonprofit organizations that are designated to receive donated City-owned properties, subject to approval by the City Attorney as to form and legality; and 5) authorize the City Manager or designee to execute all program documents and other necessary documents, subject to approval by the City Attorney as to form and legality.