HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 12/20/2011 - RESOLUTION 2011-115 RELATING TO ASSISTANCE FOR PERDATE: December 20, 2011
STAFF: Diane Jones, Karen Cumbo
Ginny Sawyer
AGENDA ITEM SUMMARY
FORT COLLINS CITY COUNCIL 30
SUBJECT
Resolution 2011-115 Relating to Assistance for Persons Displaced from Affordable Housing in the Fort Collins Area.
EXECUTIVE SUMMARY
Council appropriated $50,000 in November 2011 for a relocation assistance program. In light of recent developments
with the Bender Mobile Home Park, staff developed a disbursement plan that, if approved by Council, will be
implemented beginning January 1, 2012.
BACKGROUND / DISCUSSION
Disbursement Plan Overview
Staff is preparing to implement the recently approved budget amendment offer establishing a program that provides
relocation assistance for displaced residents of affordable housing in the Fort Collins area. In view of recent concerns
expressed by the City Council and the Community regarding the residents of Bender Mobile Home Park, staff has
considered that situation in the course of developing the disbursement program.
Council appropriated $50,000 in 2012 for a relocation assistance program. Neighbor to Neighbor is able and willing
to administer City relocation assistance funds; however, however, to cover its client service and administrative costs
it will charge 20% fee on the funds provided. This is an amount allowed by HUD for administration of funds. The fee
covers reviewing applications, determining eligibility, disbursement of funds, all accounting, record keeping, and
providing reports as requested.
Public Purpose
Providing monetary assistance to displaced low-income residents in the City, and on the fringes of the City within the
City’s Growth management Area promotes the health, safety, and general welfare of a population that, without help,
is at great risk of becoming homeless and placing greater burden on existing human service programs. Providing
assistance in extreme cases where other resources are not available or residents cannot qualify helps to prevent
imminent homelessness.
The direct and indirect effects of increased homelessness in Fort Collins have been considered in other contexts,
including a Council work session earlier this fall. Keeping people in housing and supporting low-income and affordable
housing options supports existing City policies. City Plan (2011) speaks directly to this issue:
Policy LIV 8.6 – Mitigate Displacement Impacts-- Explore ways to mitigate the impact upon
residents displaced through the closure of manufactured housing parks or conversion of rental
apartments, including single room occupancy units, to condominiums or other uses.
Proposed Disbursement Plan
Staff recommends a uniform cap not to exceed $2,000 per household. Applications for assistance will be processed
in the order they are received until all funds have been disbursed. Funds will be available to low-income residents,
defined as being below 50% of the Area Median Income (AMI) for the City of Fort Collins, being displaced by
redevelopment on property that is either in the City or adjacent to the City boundaries and within the Growth
Management Area. The disbursement would be a maximum amount per household, to be used for any of the following
purposes:
• moving costs, including costs to move a trailer or move personal belongings
• first month’s rent for new housing
December 20, 2011 -2- ITEM 30
• security deposit for new housing
• temporary storage of belongings
• short-term hotel stays when a lease has been signed for new housing but such housing is not yet available;
and
• in the case of mobile homes, upgrades to mobile homes to enable acceptance at another park.
Funds will be paid directly to a service provider or reimbursed upon documentation of valid receipt and payment. Only
insured commercial service providers may receive funds.
The $2,000 per household cap is consistent with the recent Grape Street relocation and takes into account typical
expenses which would include security deposit, first months rent, moving expenses, and potential move out expenses.
2012 – Next Steps
In 2012, Advance Planning will monitor and review this relocation assistance program plan. Work on a Relocation
Policy Plan to address displacement of low-income residents is scheduled to begin in early 2012. Pending approval
by City Council of this relocation assistance program, staff will use data and information from this program to develop
and refine policy and program improvements in 2012.
Funding for relocation assistance in fiscal years after 2012 will be reviewed as part of the Budgeting for Outcomes
process for 2013-2014.
Application of Program to Bender Park Residents
The Bender Mobile Home Park is located at 912 Wood Street. The property is approximately 17 acres and borders
the Poudre River. (See the attached map).
The recent sale of the Bender Mobile Home Park and the state’s deadline to vacate due to a failed septic system
increased the urgency and need for a relocation assistance program. State law requires mobile park residents to be
given 6 months notice when the sale of a park will result in a change in use. These residents were given six months
notice and the deadline for vacating the mobile home park is April 2, 2012. The state has extended their deadline to
vacate or completely repair the septic system to align with the 6 month change in use notice.
As of November 1, 2011 there were 23 trailers in the park with 17 of those being a primary residence. Of those 17,
approximately 5-7 are able to be moved and accepted by another park. The remaining trailers cannot be moved and
will most likely be abandoned on the property. For those able to relocate their trailers the average cost is $3,000 to
$5,000. This includes the disassembling, transporting, reassembling, and required permitting. Many older trailers
could also potentially be required to install new skirting, siding, and roof upgrades.
For residents to move from the mobile home park into a rental unit typically requires first and last month’s rent, a
cleaning deposit, start up costs and deposits for utilities, and moving personal belongings. These costs usually range
from $ $1,500 to $ 2,500.
In light of the relocation costs and the general intention of the City to assist with a portion of the displacement and
relocation costs, staff suggests a $2,000 cap is a meaningful amount that will help residents budget and offset some
of their costs.
Staff is working with local agencies and the developer to assemble assistance for residents.
Neighbor to Neighbor and the Murphy Center are currently assisting residents where they are able within their existing
programs. One household has received first month rent assistance from Neighbor to Neighbor and at least one other
qualifies. Five residents had initial appointments with a case manager at the Murphy Center but have not returned
since the first meeting. The Housing Authority strongly recommended that all residents complete an application with
them although the wait list for housing is well over a year. Disabled Resource Services also offered their services.
Staff continues to work with the developer in an attempt to leverage and pool funds. To date the developer has shown
a willingness to help individuals as their needs are presented. By helping on a one-on-one basis, the developer is able
to provide more timely assistance without the paperwork and documentation required by a City/agency program.
Developer assistance to date has included:
December 20, 2011 -3- ITEM 30
• Waived rent on one of two trailers owned by a resident
• Return or non-collection of rent for residents with plans or in process of moving
• Direct funds to help resident move trailer to new park
• To date has provided 20 roll-offs and disposal for residents to dispose of unwanted items
• Has agreed to incur all costs for trailers and items left at time of park closure (estimated cost to dispose of
abandoned trailers is $1500-$2,000 per trailer.)
As of December 2, 2011 the Northstar Trailer Park had spots for up to four Bender residents. The Northstar owner
and the developer are working together to get these residents moved.
The County was approached and asked to be a partner in assistance but based on current revenue and funding
shortfalls and priorities they will not be offering assistance beyond existing human services programs.
FINANCIAL / ECONOMIC IMPACTS
Providing relocation assistance in these instances is a long term investment. Helping people remain in housing
prevents future community costs associated with homelessness. If the disbursement plan is approved by Council, it
is likely that a significant portion, if not all funds, will be used by Bender households in 2012, leaving little or no funding
assistance available for additional needs that may arise.
STAFF RECOMMENDATION
Staff recommends adoption of the Resolution.
ATTACHMENTS
1. Location map
2. Powerpoint presentation
Bender Mobile Home
CITY GEOGRAPHICCOLLINS OF FORT INFORMATION SYSTEM MAP PRODUCTS
These map products and all underlying data are developed for use by the City of Fort Collins for its internal purposes only,
and were not designed or intended for general use by members of the public. The City makes no representation or warranty
as to its accuracy, timeliness, or completeness, and in particular, its accuracy in labeling or displaying dimensions,
contours, property boundaries, or placement of location of any map features thereon. THE CITY OF FORT COLLINS MAKES
NO WARRANTY OF MERCHANTABILITY OR WARRANTY FOR FITNESS OF USE FOR PARTICULAR PURPOSE, EXPRESSED
OR IMPLIED, WITH RESPECT TO THESE MAP PRODUCTS OR THE UNDERLYING DATA. Any users of these map products,
map applications, or data, accepts same AS IS, WITH ALL FAULTS, and assumes all responsibility of the use thereof, and further
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product, in consideration of the City's having made this information available.
Independent verification of all data contained herein should be obtained by any users of these products, or underlying data.
The City disclaims, and shall not be held liable for any and all damage, loss, or liability, whether direct, indirect, or consequential,
which arises or may arise from these map products or the use thereof by any person or entity.
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Bender Mobile
Home
N SHIELDS ST
LAPORTE AVE
MAPLE ST
WOOD ST
CHERRY ST
LAPORTE AVE
ELM ST
SYCAMORE ST
HICKORY ST
PARK ST
WEST ST
N GRANT AVE
N SHERWOOD ST
HEMLOCK ST
N WHITCOMB ST
W VINE DR
N MASON ST
N MELDRUM ST
N HOWES ST
HANNA ST
BUNGALOW CT
HAWKINS ST
ELM ST
LAPORTE AVE
N SHIELDS ST
W MULBERRY ST
E VINE DR
N COLLEGE AVE
N LEMAY AVE
RIVERSIDE AVE
W VINE DR
N TAFT HILL RD
0 0.5 1 2 Miles
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1
Resolution 2011‐‐111155 2011
Relating to Assistance for Persons Displaced
from Affordable Housing in the Fort Collins
Area
City Council Meeting
December 20, 2011
2
Resolution 2011‐‐111155 2011
Council appropriated $50,000 in 2012 for a
relocation assistance program.
Program would assist low‐income residents
displaced from affordable housing due to
redevelopment.
ATTACHMENT 2
2
3
Resolution 2011‐‐111155 2011
Public Purpose
Providing monetary assistance to displaced
low‐income residents:
– promotes the health, safety, and general welfare of
a population at risk of becoming homeless
– reduces burden on existing human service
programs.
4
Neighbor to Neighbor is willing and able to administer
program.
20% fee for administration
– includes:
• reviewing applications,
• determining eligibility
• disbursement of funds
•all accounting
•record keeping
• providing reports
Resolution 2011-2011 -115
3
5
Resolution 2011‐‐111155 2011
Program provides:
• $2,000 per household cap
•Payment to insured, commercial providers
• Reimbursed payments with documentation
Eligible expenses to include:
•Moving costs
•Rents and deposits
• Short term storage
•Trailer upgrades
6
Resolution 2011‐‐111155 2011
Program will be monitored throughout 2012.
Improvements or enhancements will be
identified and brought back to Council.
Future program dollars will be reviewed as
part of the 2013‐14 Budgeting for Outcomes
process.
4
7
Application to Bender Residents
Bender residents will be eligible for this
program.
Residents must submit their applications
within 30 days after moving out of the
redevelopment property.
8
Application to Bender Residents
Residents displaced after October 1, 2011 may
submit applications for funds beginning
January 1, 2012.
Residents who moved prior to January 1,
2012, must submit their applications by
January 31, 2012.
5
9
Council Considerations
Does Council have any questions or suggested
changes regarding the Resolution or
implementation of a relocation assistance
program?
RESOLUTION 2011-115
OF THE COUNCIL OF THE CITY OF FORT COLLINS
RELATING TO ASSISTANCE FOR PERSONS DISPLACED
FROM AFFORDABLE HOUSING IN THE FORT COLLINS AREA
WHEREAS, on November 15, 2011, as part of Ordinance No. 156, 2011, the City Council
appropriated $50,000 in funds for a relocation assistance program for displaced residents of
affordable housing in the Fort Collins area; and
WHEREAS, to implement this appropriation, staff has developed a proposed disbursement
plan to take effect January 1, 2012, subject to City Council approval through this Resolution (the
“Disbursement Plan”); and
WHEREAS, a copy of the Disbursement Plan is attached as Exhibit “A” and incorporated
herein by reference; and
WHEREAS, the main elements of the proposed Disbursement Plan are as follows:
• A cap of $2,000 per household would be imposed;
• Applications would be processed in the order received until all funds have been
disbursed;
• Funds would be available only to low-income residents being displaced by
redevelopment on property that is either in the City or adjacent to the City
boundaries and within the Growth Management Area;
• Funds could be used only for specific costs related to relocation;
• Neighbor to Neighbor would administer the Disbursement Plan in exchange for a
20% fee; and
WHEREAS, in 2012 the City’s Advance Planning Department would monitor and review
the Disbursement Plan and develop recommendations for program improvements or enhancements
as appropriate, with funding to continue the relocation assistance in fiscal years after 2012 being
reviewed as part of the Budgeting for Outcomes process; and
WHEREAS, the disbursement of funds for the purposes described herein serves the public
purpose of promoting the health, safety and general welfare of a population at risk of becoming
homeless in the general Fort Collins service area for social services, thereby placing a greater burden
on the City’s existing human services and law enforcement programs and creating other community
costs associated with homelessness; and
WHEREAS, keeping people in the Fort Collins area in housing and supporting low-income
and affordable housing options in the Fort Collins area also supports existing City policies.
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF FORT
COLLINS as follows:
Section 1. That the Disbursement Plan as described in this Resolution serves a public
purpose by promoting the health, safety and general welfare of individuals at risk of becoming
homeless in the Fort Collins community, thereby reducing a potential additional burden on City
social services and law enforcement resources.
Section 2. That the Disbursement Plan, in substantially the form attached as Exhibit “A”,
is hereby approved along with such additions or modifications to the Disbursement Plan as the City
Manager, in consultation with the City Attorney, determines are necessary or appropriate to
implement the Disbursement Plan, provided such additions or modifications do not materially
change the scope or purpose of the Disbursement Plan.
Passed and adopted at a regular meeting of the Council of the City of Fort Collins this 20th
day of December A.D. 2011.
Mayor
ATTEST:
City Clerk.
EXHIBIT A
CITY OF FORT COLLINS RELOCATION ASSISTANCE PROGRAM – 2012
(DRAFT POLICY)
A. Purpose
The City of Fort Collins is allocating funds for a relocation assistance program for displaced residents of
affordable housing in the Fort Collins area. Providing monetary assistance to displaced low‐income
residents in the City, and on the fringes of the City within the City’s Growth management Area, promotes
the health, safety, and general welfare of a population that, without help, is at great risk of becoming
homeless and placing greater burden on existing human service programs. Providing assistance in extreme
cases where other resources are not available, not sufficient or residents cannot qualify helps to prevent
imminent homelessness.
B. Program Eligibility and Process
1) Funds are available only to low‐income residents, defined as being below 50% of
the Area Median Income (AMI) for the City of Fort Collins, who are losing their
primary residence and being displaced due to redevelopment on property that is
either in the City or adjacent to the City boundaries and within the Growth
Management Area.
2) Payments are capped at $2,000 per household. Applications will be processed in
the order they are received until all funds have been disbursed.
3) Funds may be paid directly to insured commercial service providers or reimbursed
to residents.
4) Funds will be disbursed only upon receipt by the City of documentation
establishing, to the City’s reasonable satisfaction, actual costs incurred.
5) Funds may be used only for the following purposes:
moving costs, including costs to move a trailer or move personal
belongings;
first month’s rent for new housing;
security deposit for new housing;
temporary storage of belongings;
short‐term hotel stays when a lease has been signed for new housing
but such housing is not yet available; and
in the case of mobile homes, upgrades to mobile homes to enable
acceptance at another park.
6) Residents displaced after October 1, 2011 may submit applications for funds
beginning January 1, 2012. Residents must submit their applications within 30 days
after moving out of the redevelopment property. Residents who moved prior to
January 1, 2012, must submit their applications by January 31, 2012.
C. Program Administration
The Relocation Assistance Program will be administered by Neighbor to Neighbor in accordance with this
policy. Administration includes reviewing applications, determining eligibility, disbursement of funds, all
accounting, record keeping, and providing reports as requested.
D. Program Revisions
Advance Planning will monitor and review this relocation assistance program plan throughout
implementation and will develop recommendations for program improvements or enhancements
as appropriate. Funding for relocation assistance in fiscal years after 2012 will be reviewed as part
of the Budgeting for Outcomes process for 2013‐2014.
Bender Mobile
Home
Bender Home Mobile
VICINITY MAP
0 500 1,000 1,500 2,000 Feet
Legend
City Limits
Parcel
PoudreRiver
Streets
ATTACHMENT 1