HomeMy WebLinkAbout2011-065-07/19/2011-ELIMINATING RESTRICTIONS ON THE USE OF AFFORDABLE HOUSING FUNDS CURRENTLY EARMARKED FOR THE ACQUISIT RESOLUTION 2011-065
OF THE COUNCIL OF THE CITY OF FORT COLLINS
ELIMINATING RESTRICTIONS ON THE USE OF AFFORDABLE HOUSING FUNDS
CURRENTLY EARMARKED FOR THE ACQUISITION OF FORMER RENTAL
PROPERTIES
WHEREAS, the City's Homebuyer Assistance (HBA) Program uses funding from federal
Home Investment Partnership Program (HOME) and Community Development Block Grant
Program(CDBG)grants,as well as money from the City's Affordable Housing Fund(AHF),to help
eligible households purchase housing by providing loans to cover downpayment and closing costs;
and
WHEREAS, on November 17, 2609, the City Council approved Resolution 2009-103,
approving programs and projects that would receive funds from CDBG,HOME,and the AHF; and
WHEREAS, Resolution 2009-103 designated $100,000,in AHF funds to be spent on the
HBA program, with the limitation that the AHF funds be used for assistance in purchasing former
rental properties; and
WHEREAS,in most other cases,homebuyer assistance has been split with 50%of the funds
coming from the HOME program and 50% coming from the CDBG program; and
WHEREAS, due to recent changes in federal regulations regarding how HOME funds may
be used, HOME funds can no longer be used as the 50% match to the CDBG funds; and
WHEREAS, City staff would like the flexibility to use$60,000 of the AHF funds approved
in Resolution 2009-103 to assist in the purchase of properties other than former rental.units in place
of the HOME funds, and is requesting that the City Council remove the "former rental properties"
restriction with regard to that portion of the AHF funds; and
WHEREAS, the CDBG Commission, at its regular meeting on February 10, 2011, and the
Affordable Housing Board, at its regular meeting on March 3, 2011, voted unanimously to
recommend the requested change in the use of these AHF funds.
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF FORT
COLLINS that$60,000 in Affordable Housing Fund dollars approved by the Council to be expended
on homebuyer assistance for former rental properties pursuant to Resolution 2009-103 shall no
longer be earmarked specifically for the purchase of former rental properties, and may be used for
any home purchase as part of the City's Homebuyer Assistance Program.
Passed and adopted at a regular meeting of the Council of the City of Fort Collins this 19th
day of July A.D. 2011.
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