Coversheet

ITEM 2.
County Manager - Administrative Agenda


AGENDA ITEM REPORT

DATE:	April 2, 2024
DEPARTMENT:	County Manager
REQUESTER:	Glen Salyer
TITLE:	Launch CDBG-DR Affordable Housing Development New Construction Programs

I.	MOTION REQUESTED
	A) Authorize publication of the Notice of Funding Availability (NOFA) for CDBG-DR funded development of new affordable multi-family housing units. B) Authorize publication of the Notice of Funding Availability (NOFA) for CDBG-DR funded new construction of affordable single-family housing units.

II.

ITEM SUMMARY

Authorizes publication of CDBG-DR Notices of Funding Availability (NOFAs) for up to $200,000,000 in grants for creation of affordable housing units. Construction of new single-family houses will be funded up to $50,000,000 and creation of new multi-family housing units will be funded up to $150,000,000. Eligible applicants include affordable housing developers, units of local government and public housing authorities. Applications for both NOFAS are due no later than June 26, 2024.

III.

BACKGROUND AND IMPLICATIONS OF ACTION

	A)	Board Action and Other History
		Congress appropriated supplemental funding for communities recovering from 2022 disasters, of which the US Department of Housing and Urban Development (HUD) allocated Lee County $1,107,881,000 in CDBG-DR funding to support long-term recovery efforts following Hurricane Ian. Program requirements, plans and information are provided on the County's CDBG-DR website.

	B)	Policy Issues

	C)	BoCC Goals

	D)	Analysis
		Lee County’s CDBG-DR Action Plan includes Affordable Housing and Development Programs that provide grant funding for the development and preservation of affordable housing units. The competitive NOFA processes will make up to $150,000,000 available for new construction or acquisition and rehabilitation of new multi-family units, and up to $50,000,000 available for new construction of single-family units. The minimum funding award for new construction development is $4,000,000 and the maximum is $20,000,000. Eligible applicants for these NOFAs are private non-profit or for-profit housing developers, units of local government, and public housing authorities. Fifty-one percent or more of new multi-family housing units must be occupied by income eligible households, and one hundred percent of all newly constructed single-family housing units must be sold to income eligible households. Multi-family development has a per unit subsidy cap of $250,000 and requires a 30-year affordability and restrictive use period. Single-family development has a per unit subsidy cap of $300,000 and requires a 20-year affordability period. Additional funding for the development of new units may be awarded to future projects, released through another NOFA at a later date or reallocated to address other urgent needs. Applications for Affordable Housing Development must be submitted in Lee County’s online portal by June 26, 2024.

	E)	Options

IV.

FINANCIAL INFORMATION

A)	Current year dollar amount of item:	No funding required.
B)	Is this item approved in the current budget?	Yes
C)	Is this a revenue or expense item?	N/A
D)	Is this Discretionary or Mandatory?	N/A
E)	Will this item impact future budgets? If yes, please include reasons in III(D) above.	No
F)	Fund: Federal Grants through General Fund Program: Community Development Block Grant – Disaster Recovery Funds Project: CDBG-DR Account Strings: 11137113301
G)	Fund Type?	Other: Community Development Block Grant- Disaster Recovery
H)	Comments: CDBG-DR Grant Funded

V.	RECOMMENDATION
	Approve

VI.	TIMING/IMPLEMENTATION

VII.	FOLLOW UP
	The BoCC is anticipated to make final funding awards for Affordable Housing Development in September 2024.

ATTACHMENTS:
Description	Upload Date	Type
Single-Family Affordable Housing Development NOFA for CDBG-DR	3/25/2024	Backup Material
Multifamily Affordable Housing Development NOFA for CDBG-DR	3/25/2024	Backup Material

REVIEWERS:
Department	Reviewer	Action	Date
County Manager	Salyer, Glen	Approved	3/21/2024 - 4:18 PM
Budget Services	Henkel, Anne	Approved	3/22/2024 - 8:00 AM
Budget Services	Winton, Peter	Approved	3/22/2024 - 8:44 AM
County Attorney	Swindle, Amanda	Approved	3/22/2024 - 9:23 AM
County Manager	Salyer, Glen	Approved	3/25/2024 - 10:35 AM