TO: W. Calvin Horton, Town Manager
FROM: Roger Waldon, Planning Director
SUBJECT: Use of HOME Program Funds for the Renovation of Public Housing
DATE: April 2, 2003
The purpose of this working paper is to respond to a question raised at the Council’s Work Session with the Housing and Community Development Advisory Board on February 12, 2003, about the use of HOME Program funds for the renovation of the Town’s public housing.
In 1992, Chapel Hill, Carrboro, Hillsborough and Orange County formed the Orange County HOME Consortium with Orange County acting as the lead entity. The Consortium was established as a local partnership to develop low-cost housing.
Since 1992, the Consortium has received federal HOME Program funds. The U.S. Department of Housing and Urban Development has awarded the Orange County HOME Consortium $739,591 for fiscal year 2003-2004. In addition, there is a local match contribution of $166,408 (the Town’s contribution to the matching funds is $68,227). Therefore, the Consortium is currently planning activities, including administration (allocated to the Orange County Department of Housing and Community Development) for a total of $905,999.
DISCUSSION
We have reviewed this question with Tara Fikes, Director of Orange County Housing and Community Development and lead staff for the HOME Consortium. Program regulations state that HOME funds cannot be used to provide assistance authorized under the Public Housing Capital Fund. Please refer to the attached list of prohibited HOME Program activities.
ATTACHMENT