Sec. 114-56. - Title and citation.

This article shall be known and cited as the "Collier County Housing Initiatives Partnership [SHIP] Program."

(Ord. No. 93-19, § II)

Sec. 114-57. - Definitions.

The following words, terms and phrases, when used in this article, shall have the meanings ascribed to them in this section, except where the context clearly indicates a different meaning:

Adjusted for family size means adjusted in a manner which results in an income eligibility level that is lower for households having fewer than four people, or higher for households having more than four people, than the base income eligibility determined as provided in the definitions of "low-income person," "moderate-income person," or "very low-income person" in this section, based upon a formula established by the United States Department of Housing and Urban Development.

Adjusted gross income means wages, income from assets, regular cash or noncash contributions, and any other resources and benefits determined to be income by the United States Department of Housing and Urban Development, adjusted for family size, minus the deductions under section 61 of the Internal Revenue Code of 1986, as amended.

Affordable means that monthly rents or monthly mortgage payments including taxes and insurance do not exceed 30 percent of that amount which represents the percentage of the median adjusted gross annual income for the households qualifying under the definitions of very low-income persons, low-income persons or moderate-income persons.

Award means a loan, grant or subsidy funded wholly or partially by the local housing distribution.

Community-based organization means a nonprofit organization that has among its purposes the provision of affordable housing to persons who have special needs or very low-income persons, low-income persons, or moderate-income persons within a designated area, which may include a municipality, a county, or more than one municipality or county, and maintains, through a minimum of one-third representation on the organization's governing board and otherwise, accountability to housing program beneficiaries and residents of the designated area. A community housing development organization established pursuant to 24 CFR, Part 92.2, and a community development corporation created pursuant to F.S. ch. 290 are examples of community-based organizations.

Eligible housing means any real and personal property located within the county which is designed and intended for the primary purpose of providing decent, safe and sanitary residential units that are designed to meet the standards of F.S. ch. 553 for home ownership or rental for eligible persons as designated by each county or eligible municipality participating in the local housing assistance program.

Eligible person means one or more natural persons or a family determined by the county to be persons who have special housing needs, or very low-income persons, low-income persons or moderate-income persons according to the adjusted gross income of the resident as adjusted for family size.

Eligible sponsor means a person or a private or public for-profit or not-for-profit entity that applies for an award under the local housing assistance program for the purpose of providing eligible housing for eligible persons.

Grant means a distribution of a portion of a local housing distribution to an eligible sponsor or eligible person to provide assistance under the local housing assistance program.

Housing assistance plan means a concise description of the local housing assistance program adopted by this article with an explanation of the way in which the program meets the requirements of this article and F.S. §§ 420.907—420.9079.

Loan means a pledge of local housing distribution moneys to an eligible sponsor or eligible person to partially finance the acquisition, construction or rehabilitation of eligible housing.

Local housing distribution means the proceeds of the taxes collected under F.S. ch. 201 deposited into the local government trust fund and distributed to counties and eligible municipalities participating in the state housing initiatives partnership program pursuant to F.S. § 420.9073.

Low-income person means one or more natural persons or a family, not including students, that has a total annual adjusted gross household income that does not exceed 80 percent of the median annual adjusted gross income for households within the state or 80 percent of the median adjusted gross income for households within the metropolitan statistical area or, if not within a metropolitan statistical area, within the county, whichever amount is greater. With respect to rental units, the low-income person's annual income at the time of initial occupancy may not exceed 80 percent of the state's median income adjusted for family size. While occupying the rental unit, a low income person's annual income may increase to an amount not to exceed 140 percent of 80 percent of the state's median income adjusted for family size.

Metropolitan statistical area means, as defined by the U.S. Census, one or more entire counties economically and socially integrated that have a large population center which meets the following criteria:

(1)

One central city with 50,000 inhabitants or more; or

(2)

A central city with at least 25,000 inhabitants, provided:

a.

That the city's population taken together with that of contiguous places totals at least 50,000 inhabitants and constitutes, for general economic and social purposes, a single community; and

b.

The county or counties in which these places are located have at least 75,000 inhabitants.

Moderate-income person means one or more natural persons or a family, not including students, that has a total annual adjusted gross household income that is less than 120 percent of the median annual adjusted gross income for households within the state or 120 percent of the median annual adjusted gross income for households within the metropolitan statistical area or, if not within the metropolitan statistical area, within the county, whichever is greater. With respect to rental units, the moderate-income person's annual income at the time of initial occupancy may not exceed 120 percent of the state's median income adjusted for family size. While occupying the rental unit, a moderate-income person's annual adjusted gross income may increase to an amount not to exceed 140 percent of 120 percent of the state's median income adjusted for family size.

Persons who have special needs means individuals who have incomes not exceeding those of moderate-income persons and, because of particular social, economic or health-related circumstances, may have greater difficulty acquiring or maintaining affordable housing. Such persons may have, for example, encountered resistance to their residing in particular communities, and may have suffered increased housing costs resulting from their unique needs and high risk of institutionalization. Such persons may include, but not be limited to, persons with developmental disabilities; persons with mental illnesses or chemical dependency; persons with acquired immune deficiency syndrome (AIDS) and human immunodeficiency virus (HIV) disease; runaway or abandoned youth; public assistance recipients; migrant and seasonal farmworkers; refugees and entrants; the elderly; and disabled adults.

Very low-income person means one or more natural persons or a family, not including students, that has a total annual adjusted gross household income that does not exceed 50 percent of the median annual adjusted gross income for households within the state or 50 percent of the median annual adjusted gross income for households within the metropolitan statistical area or, if not within a metropolitan statistical area, within the county, whichever is greater. With respect to rental units, the very low-income person's annual income at the time of initial occupancy may not exceed 50 percent of the state's median income adjusted for family size. While occupying the rental unit, a very low-income person's annual income may increase to an amount not to exceed 140 percent of 50 percent of the state's median income adjusted for family size.

(Ord. No. 93-19, § III)

Cross reference— Definitions generally, § 1-2.

State law reference— Similar provisions, F.S. § 420.9071.

Sec. 114-58. - Intent and purpose.

(a)

The intent of this article is to:

(1)

Make affordable residential housing available for very low-income persons, low-income persons or moderate-income persons and those persons who have special housing needs.

(2)

Combine local resources and cost saving measures into a partnership by using private and public funds in order to reduce the cost of housing.

(3)

Assist in building the organization and technical capacity of community-based organizations to optimize the role of community-based organizations in the production of affordable housing.

(4)

Promote innovative financing techniques designed to meet the special needs of eligible persons or eligible sponsors; encourage developers to construct low-cost housing; and encourage innovative design of eligible housing that provides cost savings.

(b)

The purpose of this article is to accomplish the stated intent by implementing an affordable housing program which will be monitored by the county affordable housing director and the local housing advisory committee. The purpose of the local housing assistance program is to better meet the objectives and policies of the housing element of the county growth management plan by increasing housing opportunities for persons who have special needs and for very low-income persons, low-income persons and moderate-income persons while providing for the protection of natural resources, and planning for community development and economic growth.

(Ord. No. 93-19, § I)

Sec. 114-59. - Creation of local housing assistance trust fund.

(a)

The local housing assistance trust fund is hereby created and established.

(b)

All moneys received from the state pursuant to the state housing initiative partnership [SHIP] program and any other funds received or budgeted to provide funding for the local housing assistance program shall be deposited into the local housing assistance trust fund. Administration of the local housing assistance trust fund shall comply with Rule 9I-37.008, Florida Administrative Code.

(c)

Expenditures other than for the administration and implementation of the local housing assistance program shall not be made from the local housing assistance trust fund.

(d)

Amounts on deposit in the local housing assistance trust fund shall be invested according to county investment policies and procedures. All investment earnings shall be retained in the local housing assistance trust fund and used for the purposes thereof.

(e)

Until utilized for the purposes thereof, moneys in the local housing assistance trust fund shall be held in trust by the county solely for use pursuant to the local housing assistance program. All local housing assistance program income, including investment earnings, shall be retained in the local housing assistance trust fund and used for the purposes thereof.

(f)

The county agrees that the local housing assistance trust fund shall be separately stated as a special revenue fund in the county audited financial statements. Copies of such audited financial statements shall be forwarded to the state housing finance agency as soon as such statements are available.

(Ord. No. 93-19, § IV)

State law reference— Local housing assistance trust fund, F.S. § 420.9075(5), (6).

Sec. 114-60. - Local housing partnership.

(a)

The local housing partnership is hereby created and established.

(b)

The local housing partnership shall include, but is not limited to, the county, community-based organizations, for-profit housing developers, lending institutions, providers of professional services relating to affordable housing, and service organizations working on behalf of persons who have special needs.

(c)

The local housing partnership shall assist in the implementation of the local housing assistance program in accordance with this article, F.S. §§ 420.907—420.9079, and Chapter 9I-37, Florida Administrative Code.

(Ord. No. 93-19, § V)

Sec. 114-61. - Establishment of the local program.

(a)

The local housing assistance program is hereby created and established.

(b)

The revised contents of the local housing assistance program include:

(1)

This article;

(2)

The housing assistance plan, which was adopted and may be amended by county resolution;

(3)

Amended certifications; and

(4)

Appendices.

Copies of items (1) through (4) of this subsection (b), are available at the county housing and financial administration and housing office.

(c)

The local housing assistance program shall use 100 percent of the funds held in trust as follows:

(1)

The funds may be used to provide the local matching funds in order to obtain federal housing grants for federal programs.

(2)

The funds may be used to implement the following locally-designed strategies:

a.

Purchase assistance. Ownership opportunities may be created for eligible persons through mortgage reductions, and/or low or no interest loans for down payments and/or closing costs.

b.

Acquisition/rehabilitation. Very low-income persons and low-income persons may be awarded funds to acquire existing housing units for renovation.

c.

Reserved.

d.

Land acquisition. The county may through purchase or donation acquire land independent of a specific project for the express purpose of providing eligible housing at a future time. Construction must be implemented within 12 months of acquisition of any parcel.

e.

Construction/rehabilitation.

1.

The county may provide locally-designed strategies that create or preserve affordable housing through the construction or repair of homes for very low-income persons and low-income persons.

2.

The county may seek local developers and contractors and other organizations willing to construct affordable housing which offer such incentives as the county adopts in its local housing incentives plan. These incentives may include, but are not limited to, assistance in the construction of the infrastructure for eligible neighborhoods, and/or the purchase of the land by the county upon which construction will occur.

f.

Costs. The cost of administering this local housing assistance program shall not exceed five percent of the state housing initiatives partnership [SHIP] program funding, guaranteed from the state, unless such costs are increased to a maximum of ten percent by county resolution pursuant to F.S. § 420.9075(5) and any amendments thereto.

(d)

The county shall coordinate its efforts with financial institutions as follows:

(1)

The county shall work with banks and savings institutions to meet their obligations under the community reinvestment act [CRA] to affirmatively address the credit needs of the entire community. In meeting their obligation, banks and savings institutions shall be encouraged to engage in activities that include, but are not limited to the following:

a.

Increase efforts to make loans for home mortgages and home improvements in conjunction with government insured lending programs such as FHA and VA;

b.

Make loans with high loan to value ratios when there is private mortgage insurance;

c.

Provide assistance to existing or emerging community-based organizations;

d.

Extend lines of credit and other financing to community-based organizations; and

e.

Provide a secondary market for community-based organization development loans.

(2)

The county shall seek lending institutions to work with eligible persons or eligible sponsors in providing low-cost loans, interest point buy-down programs and other cost-saving mechanisms in order to facilitate home ownership for very low-income persons and low-income persons and persons who have special housing needs.

(e)

The county shall provide incentives for the preservation and production of affordable housing for eligible persons including, but not limited to, the donation of land or availability of low-cost land or land-lease arrangements, assistance in the construction of infrastructure, availability of security deposit credits or payments.

(f)

The local housing assistance program shall include all other lawful objectives not previously listed if said objectives have been adopted into the housing assistance plan in the manner provided by statute.

(g)

In implementing its housing assistance plan, the county shall:

(1)

At least 30 days prior to the beginning of any application period, advertise the availability of the local housing assistance program in newspapers of general circulation and periodicals serving ethnic and diverse neighborhoods.

(2)

The county shall, in its housing assistance plan, adopt a maximum awards schedule or system of awards that comply with the following criteria:

a.

At least 65 percent of all the funds made available in the county shall be reserved for home ownership for eligible persons.

b.

At least 75 percent of the total funds shall assist with construction, rehabilitation or emergency repair of affordable housing.

c.

The sales price of new or existing eligible housing shall not exceed 90 percent of the median area purchase price in the area where the eligible housing is located as established by the United States Department of Treasury in accordance with section 3(b)2 of the United States Housing Act of 1937.

d.

All housing constructed, rehabilitated or otherwise assisted with the funds provided from the housing assistance plan must be occupied by very low-income persons, low-income persons and moderate-income persons. At least 30 percent must be occupied by very low-income persons, and at least an additional 30 percent by low-income persons.

e.

Loans shall be provided for periods not exceeding 30 years, except for deferred project loans or loans that extend beyond 30 years which continue to serve eligible persons.

f.

Eligible rental housing constructed, rehabilitated or otherwise assisted from the local housing assistance program is reserved for eligible persons for 15 years or the term of assistance, whichever is longer. Eligible sponsors who offer rental housing for sale before 15 years from the date of issuance of the certificate of occupancy or that have unsatisfied mortgages funded under this program must give a first right of refusal to eligible not-for-profit organizations for purchase at the current market value for continued occupancy by eligible recipients.

g.

Eligible owner-occupied housing constructed, rehabilitated or otherwise assisted from proceeds provided from the local housing assistance program shall be subject to the recapture provision of the mortgage revenue bond program contained in section 143(m) of the Internal Revenue Code of 1986 or other applicable recapture requirements.

h.

The total amount of monthly mortgage payments or the amount of monthly rent charged by the eligible sponsor or his designee must be made affordable.

i.

The cost per unit and the maximum cost per unit for eligible housing benefiting from awards made pursuant to this local housing assistance program will be established by county resolution.

j.

A qualification system for applications for awards will be established through the housing assistance plan.

k.

The staff or entity that has administrative authority for this local housing assistance program shall annually monitor and determine tenant eligibility and the amount of the subsidy pursuant to the provisions of this article and state and federal law. The county, the local housing partnership, and all eligible sponsors shall not discriminate on the provision of affordable housing to very low-income persons, low-income persons or moderate-income persons on the basis of race, creed, religion, color, age, sex, marital status, familial status, national origin, or handicap in the loan application process for eligible housing.

(3)

The county shall comply with all rules and regulations of the state housing finance agency in connection with required reporting of compliance of its housing assistance plan.

(4)

Prior to receiving an award, all eligible sponsors or eligible persons shall enter into an agreement with the county, agreeing to comply with the affordable housing criteria provided under F.S. §§ 420.907—420.9079, and this article. In the event of a transfer of ownership of property to an eligible person or eligible sponsor pursuant to the housing assistance plan, the county shall require a covenant in the deed or mortgage stating the grantee or the mortgagor agrees to comply with the terms of the affordable housing criteria provided under F.S. §§ 420.907—420.9079, and this article, which covenant will run with the land in the case of a deed. Failure to comply with the covenant in the mortgage shall result in a default of the mortgage with all remedies and rights for enforcement of the agreement insuring to the benefit of the county.

(Ord. No. 93-19, § VI; Ord. No. 93-33, § I; Ord. No. 95-13, § 1, 3-21-95; Ord. No. 04-55, § 3)

State law reference— Local housing assistance programs, F.S. § 420.9075.

Sec. 114-62. - Designation of responsibility for implementation of the program.

The affordable housing director is designated as the person responsible for the development and implementation of the housing assistance plan. Such person shall be responsible for coordinating with the state housing finance agency and facilitating the funding of the state apartment incentive loans [SAIL] and setting up advertisements and workshops to advise potential home buyers of the existence and terms of the housing assistance plan. Such person will work with the local housing advisory committee and other affordable housing groups to monitor the success of the housing assistance plan and provide advice and suggestions as to methods for improving the effectiveness of the housing assistance plan from year to year. Such person shall be responsible for preparing an annual report of the county's affordable housing program and accomplishments to be submitted to the Florida Housing Finance by November 15 of each year. The total amount paid for administrative expenses in connection with the development and implementation of the housing assistance plan, including any costs of employee salaries and benefits, shall not exceed five percent of the total SHIP funding amount in any given year, unless such costs and expenses are increased to a maximum of ten percent by county resolution pursuant to F.S. § 420.9075(5), and any amendments thereto.

(Ord. No. 93-19, § VII; Ord. No. 95-32, § 1, 4-25-95)

Sec. 114-63. - Creation of committee.

(a)

There is hereby created the local housing advisory committee (the "committee"), whose members shall be appointed by resolution of the board of county commissioners with recommendations from the Naples City Council.

(b)

The committee shall consist of nine members. Five members shall constitute a quorum. The committee may not take formal actions unless a quorum is present but may meet to hear presentations if duly noticed. The committee shall include the following:

(1)

One citizen who is actively engaged in the residential home building industry;

(2)

One citizen who is actively engaged in the banking or mortgage banking industry;

(3)

One citizen who is a representative of those areas of labor engaged in home building;

(4)

One citizen who is designated as an advocate for low-income persons;

(5)

One citizen who is a provider of affordable housing;

(6)

One citizen who is a real estate professional.

(c)

Members shall serve for two-year terms and may be reappointed for subsequent terms.

(d)

Meetings shall be held monthly for the first year of committee's existence and quarterly, or more frequently as necessary thereafter.

(e)

The committee shall comply with the government in the sunshine law, the public records law and the special provisions regarding notice of local housing incentive plan considerations found in F.S. § 420.9076. Minutes of the meeting will be kept by the county affordable housing director and shall be submitted to the board of county commissioners and Naples City Council.

(f)

The committee shall annually elect a chairman, vice-chairman and such other offices as it deems necessary. The chairman is charged with the duty of conducting the meetings in a manner consistent with law.

(g)

Staff, administrative and facility support for the committee shall be provided by the board of county commissioners and City of Naples.

(h)

The committee shall have the following duties:

(1)

The committee shall review established policies and procedures, ordinances, land development regulations and the housing element of the growth management plan of the board of county commissioners and comprehensive plan of the City of Naples and shall recommend specific initiatives to encourage or facilitate affordable housing while protecting the ability of the property to appreciate in value. The recommendations may include the modification or repeal of existing policies, procedures, ordinances, regulations or land provisions; the creation of exceptions applicable to affordable housing; or the adoption of new policies, procedures, regulations, ordinances or plan provisions. At a minimum, the committee shall make recommendations on affordable housing incentives in the following areas:

a.

Affordable housing definition in the appointing resolution.

b.

The expedited processing of permits for affordable housing projects.

c.

The modification of impact fee requirements, including reduction or waiver of fees and alternative methods of fee payment.

d.

The allowance of increased density levels.

e.

The reservation of infrastructure capacity for housing of very low-income persons and low-income persons.

f.

The transfer of development rights as a financing mechanism for housing of very low-income persons and low-income persons.

g.

The reduction of parking and setback requirements.

h.

The allowance of zero-lot-line configurations.

i.

The modification of sidewalk and street requirements.

j.

The establishment of a process by which the local government considers before adoption, policies, procedures, ordinances, regulations, or land provisions that have a significant impact on the cost of housing.

(2)

Within nine months from the adoption of the ordinance from which this article was derived, the committee shall make recommendations approved by a majority of its members at a public hearing concerning the adoption of the local housing incentive plan. Notice of the time, date and place of the public hearing of the committee to adopt final affordable housing incentive plan recommendations shall be advertised in a newspaper of general circulation in the county before the scheduled hearing. The notice of the public meeting must contain a short, concise summary of the affordable housing incentive recommendations to be considered by the committee. The notice shall also state the public place where a copy of the committee recommendations can be obtained by interested persons.

(Ord. No. 93-19, § VIII)

Cross reference— Boards, commissions, committees and authorities, § 2-816 et seq.

Sec. 114-64. - Local housing incentive plan adoption.

Within 90 days after the date of the receipt of the affordable housing incentive recommendations from the committee and the applicable public hearing, the board of county commissioners shall adopt, by resolution, the local housing incentive plan. The plan shall at a minimum consist of specific initiatives to encourage and facilitate affordable housing, and a schedule for implementation which includes:

(1)

A schedule for implementation of expedited permit processing for affordable housing projects; and

(2)

A process for review of local policies, ordinances, regulations and planned provisions that significantly impact the cost of housing.

The board of county commissioners shall, upon adoption of the local housing incentive plan, send a copy of the plan to the state housing finance agency by certified mail.

(Ord. No. 93-19, § IX; Ord. No. 95-32, § 2, 4-25-95)

Secs. 114-65—114-70. - Reserved.