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TO: |
Roger L. Stancil, Town Manager |
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FROM: |
J.B. Culpepper, Planning Director |
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Loryn Clark, Housing and Neighborhood Services Coordinator |
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SUBJECT: |
Clarification to the 2006-2007 Community Development Program |
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DATE: |
November 20, 2006 |
Adoption of the attached resolution would allocate $120,000 of 2006-2007 Community Develop-ment funds to The Affordable Housing Group.
After holding two public hearings to receive citizen input, on April 24, 2006 the Council approved the following plan for use of $598,310 of 2006-2007 Community Development funds (please see Attachment 1):
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1. Public Housing |
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$210,000 |
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Renovation of North Columbia Street |
$165,000 |
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Refurbishing Program |
$ 40,000 |
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Playground Equipment |
$ 5,000 |
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2. EmPOWERment, Inc. |
$ 75,810 |
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3. Orange Community Housing and Land Trust |
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$120,000 |
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4. Community Services |
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$ 74,500 |
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Chapel Hill Police Department Youth Programs |
$45,000 |
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Chapel Hill Training and Outreach/ |
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YMCA After School Program |
$14,500 |
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5. Administration |
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$118,000 |
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Total |
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$598,310 |
The Plan includes an allocation of $120,000 to Orange Community Housing and Land Trust for the costs associated with the acquisition of 2.44 acres of property for the Dobbins Hill II Apartments. The Land Trust is working in partnership with The Affordable Housing Group, a private affordable housing developer, to use low-income housing tax credits to develop 32 permanently affordable rental units. The Affordable Housing Group is the official applicant for low-income housing tax credits for this project.
The Affordable Housing Group applied for and received preliminary approval for 2007 low-income housing tax credits for this project. Essential to the tax credit application is a contribution of funds from the jurisdiction in which the project is located. Though Orange Community Housing and Land Trust is a partner in this project, in order to receive the tax credits, the Town’s funds allocated for this project must be provided to The Affordable Housing Group, rather than Orange Community Housing. It was an administrative oversight to list Orange Community Housing and Land Trust as the recipient of this allocation.
We recommend that the Council adopt the attached resolution to clarify the allocation of $120,000 of 2006-2007 Community Development funds to The Affordable Housing Group.