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HomeMy WebLinkAbout(P1) Legacy CDC Powerpoint (2)Affordable Housing Update: By: Vivian Ballou Legacy has been serving Port Arthur for 15 years Legacy CDC Programs •Homeownership Certification •Homelessness Prevention •Development of Affordable Housing –New and Existing Single Family and Multi-Family •Credit and Financial Counseling •Tenant and Relocation Counseling •Disaster Recovery (Owner-Occupied Rehab) •Rental Assistance Programs –Housing for People with HIV/AIDs (HOPWA) –Tenant Based Rental Assistance (Rural and Small City) •Social Services –Food Distribution –Donation Distribution –Utility Assistance •Grant Administration Services: Texas Dept of Agriculture (TDA), General Land Office (GLO), HUD and Texas Dept. of Housing and Community Affairs (TDHCA) City of Port Arthur’s Consolidated Plan The City of Port Arthur incorporated a comprehensive citizen participation and consultation process to inform its development of the 5-Year Consolidated Plan. This process was designed to ensure broad community engagement and gather input on priority needs for housing and community development. Key components of this process included an online survey, public engagement sessions with stakeholders, and a public engagement session with residents. Housing: Affordable Housing and Rehabilitation:Respondents emphasized the need for more affordable housing options and resources for housing rehabilitation, particularly for seniors and low-income families. Some expressed the desire to rebuild neighborhoods by replacing old or vacant houses. Homeownership Assistance:There were requests for more support for first-time homebuyers, including increased financial assistance and programs to help residents purchase and maintain homes. Housing Needs Based Upon HUD Data Based on an analysis of HUD-provided data, there is an estimated need for 8,114 units of affordable rental housing for extremely low- income and low-income households. There is an estimated need for 1,154 single-family homes to address overcrowding, affordability, and rehabilitation needs of very low-income homeowners. DOWNTOWN REDEVELOPMENT Partnership between Legacy CDC, Port Arthur EDC and City of Port Arthur Phase I: Build and sell 30 homes in the downtown target area. Phase II: Build and sell an additional 30 homes Why is the program needed? What does the program provide? Downpayment assistance to buyers below 120% AMI $30,000 in assistance is used to bridge the gap between the cost to construct a home and what a buyer can afford The assistance may be used for closing costs, down payment or interest buydown How many can be assisted? There is funding available to assist 24 homebuyers Leveraged with dwindling City HOME and CDBG funds Income Limits by family size Who Qualifies? 120% AMI 1 2 3 4 5 6 7 Income $66,950 $76,500 $86,100 $95,650 $103,300 $110,950 $118,600 Wage increases from 2022 to 2025 are expected to be around 3.5% to 3.7% on average, while minimum wages are increasing in many cities, counties, and states 2022 With PAEDC and City Subsidy 2025 Without PAEDC subsidy With PAEDC subsidy Overall price increase ( with PAEDC Subsidy ) Sales Price $169,000.00 Sales Price $189,000.00 $189,000.00 12% Loan Amount $106,000. 00 Loan Amount $154,000.00 $124,000.00 17% Insurance $129. 00 mo Insurance $189.00 mo $189.00 mo 46% Taxes $368. 00 mo Taxes $382.00 mo $382.00 mo 3.8% Note $1106.00 mo Note $1,624.70 mo $1353.00 mo 22% Interest Rate 4.37 % Interest Rate 7% 7% 60% The picture can't be displayed. Downtown Redevelopment Program Extension Legacy sought the PAEDC's Board approval to extend the Downtown Redevelopment Program in September 2024. Board approval was received. Delayed-No City election in November 2024 The item was to be placed on the May 2025 ballot The PAEDC recommendation was not approved by the City Council at the last Council Meeting o Lost opportunity for citizens on the current waiting list o Extended delay of the redevelopment activities Seeking Council's advisement and commitment to place on the next ballot