AGENDA MEMORANDUM

 

 

Meeting Date:           November 9, 2009

 

From:                          Kenneth L. Thomas, Director of Housing & Economic Development

 

Subject:                      Resolution authorizing approval of the Interlocal Agreement with  Lake County Government regarding the Neighborhood Stabilization Program (NSP II) and providing the City Manager authority to sign purchase contracts for closing of properties acquired under the NSP II program

 

 

Staff Recommendation:

Staff recommends approval of the Interlocal Agreement with Lake County Government regarding the Neighborhood Stabilization Program II and providing authorization to the City Manager to sign purchase contracts for closing of properties acquired with Neighborhood Stabilization funding.  

 

Analysis:

 

The Neighborhood Stabilization Program (NSP II) was established for the purpose of stabilizing communities that have suffered from foreclosures and abandonment. The program allows local governments to purchase and rehabilitate foreclosed and abandoned homes for resale. In addition, foreclosed rental properties can be purchased and renovated for rental use. The individuals targeted will be low, moderate and middle income (LMMI) households.

 

One aspect of the program requires the City of Leesburg to be a partner of the CDBG (Community Development Block Grant) Urban County Partner Program, the County must obtain an agreement with the City and request permission to perform NSP II activities and expend funds within the City boundaries. Once the agreement is signed monies can be used to purchase properties for affordable housing.  If the City acquires property through this program, the City will retain ownership and will have the ability to sell or lease property to low, moderate and middle income households.  If the City decides to sell the property, the monies received from the sale will be placed in a housing trust fund account to use for future acquisition.  If improvements are needed to help with the sale or leasing of the properties, the program does allow up to $15,000 of renovation cost. 

 

In conclusion, since the City of Leesburg is currently a partner with Lake County in the NSP program I, this agreement would allow Lake County to perform NSP activities and expend funds within the City boundaries to benefit citizens of Leesburg.  In addition, the City Manager will have authorization to sign purchase contracts for closing of properties acquired under this program. 

 

 

Options:

  1.  Approve Interlocal Agreement with  Lake County Government to meet the requirement of the CDBG Urban County Partner Program for the federally funded Neighborhood Stabilization Program; and/or
  2. Such alternative action as the City Commission may deem appropriate.

 

Fiscal Impact: 

The Interlocal agreement with Lake County has established $3,000,000 of grant funding for the City of Leesburg’s use under this program.   

 

 

Submission Date and Time:    11/6/2009 12:56 PM____

 

Department: ______________________

Prepared by:  ______________________                     

Attachments:         Yes____   No ______

Advertised:   ____Not Required ______                     

Dates:   __________________________                     

Attorney Review :       Yes___  No ____

                                                

_________________________________           

Revised 6/10/04

 

Reviewed by: Dept. Head ________

 

Finance  Dept. _______JB_________                                     

                              

Deputy C.M. ___________________                                                                         

Submitted by:

City Manager ___________________

 

Account No. _________________

 

Project No. ___________________

 

WF No. ______________________

 

Budget  ______________________

 

Available _____________________

 

RESOLUTION NO._______________

 

A RESOLUTION OF THE CITY OF COMMISSION AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE AN INTERLOCAL AGREEMENT WITH LAKE COUNTY GOVERNMENT TO BE A PARTNER TO UTILIZE NSP2 FUNDS TO PURCHASE BANK-OWNED FORECLOSED PROPERTIES, FOR THE SOLE PURPOSE OF RESELLING TO FIRST-TIME HOMEBUYERS AND PROVIDING AUTHORIZATION TO THE CITY MANAGER TO SIGN PURCHASE CONTRACTS TO ACQUIRE PROPERTY UNDER THE NSP II; AND PROVIDING AN EFFECTIVE DATE.

 

 

BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA:

 

            THAT the Mayor and City Clerk are hereby authorized to execute an agreement with Lake County Government, whose address is P.O. Box 7800, Tavares, FL 32778, for participation in the NSP II program and providing authorization to the City Manager to sign purchase contracts to acquire property under the NSP II program.

 

             THAT this resolution shall become effective immediately.

 

PASSED AND ADOPTED by the City Commission of the City of Leesburg, Florida, at a regular meeting held the _9th____ day of _November________ 2009.

 

 

 

                                                                            __________________________

                                                                             Lewis Puckett, Mayor

 

ATTEST:

 

 

__________________________

City Clerk