AGENDA #4L

MEMORANDUM

TO:	Roger L. Stancil, Town Manager
FROM:	J.B. Culpepper, Planning Director Loryn Clark, Housing and Neighborhood Services Manager
SUBJECT:	Renewal of the Orange County HOME Consortium Agreement
DATE:	June 9, 2008

PURPOSE

The purpose of this memorandum is to request that the Council authorize the Manager to execute a new HOME Consortium Agreement for the Orange County HOME Program entered into by Chapel Hill, Orange County, Carrboro and Hillsborough.

BACKGROUND

On July 6, 1992, the Council adopted a resolution agreeing to participate with Orange County, Carrboro and Hillsborough in a consortium to pursue development of low- and moderate-income housing.  Orange County is the lead entity of the Orange County HOME Consortium.

On June 25, 2005 the Council authorized the Manager to execute a new HOME Consortium Agreement for the HOME Program.  This Agreement will expire on June 30, 2008. 

DISCUSSION

To continue to receive HOME Program funds, the Department of Housing and Urban Development (HUD) requires the four participating jurisdictions to execute a new Consortium Agreement.  The new Consortium Agreement would put the Orange County HOME Consortium in position to continue to receive HOME Program funding through June 30, 2011.   Key points of the Agreement include:

• The effective date of the agreement would be July 1, 2008 and the agreement would terminate on June 30, 2011;
• The HOME Program Review Committee will continue to provide policy oversight for planning, operations, and evaluation of the HOME Program;
• All Consortium members must approve the HOME Program design and any Consolidated Plan amendments before they are submitted to HUD;
• Orange County will continue to act as the lead entity for the Consortium and will assume responsibility for ensuring all program requirements are met;
• All participating jurisdictions will provide fair and ample opportunity for all members of the Consortium to access HOME funds. 
• Local match percentages, based on Census population figures, will continue to be as follows:

Chapel Hill – 41%

Orange County – 40%

Carrboro – 14%

Hillsborough – 5%

As in prior years, funds are budgeted in the Housing Loan Trust Fund for the Town’s portion of the local match. 

RECOMMENDATION

We recommend that the Council adopt the attached resolution authorizing the Manager to execute a new HOME Consortium Agreement for the Orange County HOME Program.

ATTACHMENTS

1. Proposed HOME Consortium Agreement for the Orange County HOME Program. (begin new page 1).