AGENDA #4i
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TO: |
Roger L. Stancil, Town Manager |
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FROM: |
J.B. Culpepper, Planning Director Loryn Clark, Housing and Neighborhood Services Coordinator |
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SUBJECT: |
Modification to the 2005-2006 Community Development Program |
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DATE: |
March 26, 2007 |
The purpose of this memorandum is to review with the Council a request from Orange Community Housing and Land Trust to use its 2005-2006 Community Development allocation Town wide (see Attachment 1).
The attached resolution would allow Orange Community Housing and Land Trust to use its 2005-2006 Community Development allocation for affordable housing activities Town wide.
On May 9, 2005, the Council approved a 2005-2006 Community Development plan (see Attachment 2). The plan included an allocation of $100,000 to Orange Community Housing and Land Trust for acquisition of property, demolition or renovation (if necessary or appropriate), and/or to reduce the sales price of homes in the Northside neighborhood. It was intended that homes would be sold to households earning between 50 percent and 80 percent of the area median income.
The Land Trust requests that it be allowed the flexibility to spend these funds Town wide. The Land Trust has spent approximately $30,000 of these funds on a home in the Northside neighborhood, but is in need of additional subsidy for a condominium in the Greenway development in Meadowmont and other developments where it faces affordability problems.
The Land Trust has spent $30,000 of its allocation to develop a house on Nunn Street in the Northside neighborhood. We believe that it would be reasonable to allow the Land Trust to use the balance of funds Town wide rather than restricted to the Northside Neighborhood, if necessary, so that it could address the affordability challenges that it encounters in developments such as the Greenway development.
Also on tonight’s agenda for the Council’s consideration are proposed modifications to the Revolving Acquisition Fund. If the Council approves the proposed changes, those funds could also be used for this request.
That the Council adopt the attached resolution to allow the Land Trust to use its 2005-2006 Community Development allocation for acquisition of property, demolition or renovation (if necessary or appropriate), and/or to reduce the sales price of homes Town wide rather than as previously committed for the Northside neighborhood.