City of St. Petersburg Housing Services Committee FEBRUARY 27, 10:30 a.m. Conference Room 100/City Hall

Transcription

1 City of St. Petersburg Housing Services Committee FEBRUARY 27, 10:30 a.m. Conference Room 100/City Hall Mission Statement: To effectively address the on-going need for affordable livable rental and owner-occupied housing units within the city (by proposing legislation, developing clear-cut policies, supporting proven strategies and providing for the implementation of best practices). Members and Alternates: Committee Chair Karl Nurse, Vice-Chair Wengay Newton, Councilmembers Steve Kornell, Charlie Gerdes, and Darden Rice (alternate) Support Staff: Joshua Johnson A. Call to Order B. Approval of Agenda C. Approval of Minutes 1. January 30, 2014 D. New Business 1. Mayor Kriseman s appointment of Mr. James Bennett to fill an unexpired term ending on the St. Petersburg Housing Authority Board and the reappointment of Ms. Delphinia Davis to another four-year term. 2. Update of NSP - 1 & NSP 3 - Stephanie Lampe, Sr. Housing Development Coordinator. E. Follow-up (information only): 1. Provide a copy of the status of multi-family projects that are scheduled for, or are under development/redevelopment. 2. Provide a copy of the status of NSP projects. 3. Provide a spreadsheet of past year s housing accomplishments and current status. 4. Provide copy of Vacant and Boarded Properties. F. Adjournment

2 CITY OF ST. PETERSBURG Housing Services Committee Meeting January 30, 10:30 a.m. PRESENT: OTHERS PRESENT: Councilmembers Karl Nurse, Steve Kornell, Wengay Newton, Charlie Gerdes, and Darden Rice (alternate) City Administrator Gary Cornwell; Neighborhood Affairs Administrator Mike Dove; Housing & Community Development Director Joshua Johnson; City Attorney Rick Badgely; Sr. Housing Development Coordinator Stephanie Lampe; and Assistant to the City Clerk Patricia Beneby Committee Chair Nurse called the meeting to order. The first item of business was election of Chair and Vice-Chair. Councilmember Nurse was re-elected as Chair and Councilmember Newton was elected as Vice-Chair. Councilmember Newton moved for approval of the Agenda. All were in favor of the motion. Councilmember Newton moved for approval of the October 31, 2013 minutes as submitted. All were in favor of the motion. In connection with the new business, the City of Baltimore Vacants to Values Program, Mr. Joshua Johnson, Director of Housing & Community Development, reviewed the Baltimore Housing from Vacants to Value Program. He discussed that fifty years of population decline and job loss had devastated the housing market in many of the City of Baltimore s lowest income neighborhoods. The City was plagued by decades of property abandonment resulting in 16,000 vacant and boarded properties. Mayor Stephanie Rawlings-Black was elected to office and conducted a planning session with staff which evolved into a program called Vacant to Values. Because of the City s vacancy problems, identifying where the 16,000 vacant and boarded properties were located was a priority. A methodology was implemented that reflected a breakout of where the City s 16,000 vacant properties were located. It was established that 65% or 10,000 were located in areas without development demand, 31% or 5,000 were located in areas with development demand, and 4% or 700 were located in emerging markets. Mr. Johnson discussed the six strategies below that were developed and made part of the Vacants to Values approach: Strategy 1 streamline the disposition process Strategy 2 streamline code enforcement on transitional blocks Strategy 3 facilitate investment in emerging markets near areas of strength Strategy 4 provide targeted incentives Strategy 5 support large-scale development in distressed areas Strategy 6 maintain, clear, hold and identify non-housing uses Mr. Johnson discussed the in-depth purpose of each strategy and how they will be implemented primarily, by a public/private partnership. He discussed the three components of the reform efforts which were: Reorganize the Housing and Community Development (HCD s) Land Resources Division to consolidate acquisition, asset management, and disposition Increase marketing efforts Change policies that impact both internal processes as well as developer transactions 1

3 The presentation documented that buying City-owned properties should be: Clear o Must include a searchable inventory o User friendly on-line application Predictable o Set pricing with reserve bid o Reduced transaction time reduces financial risk Transparent o City must have web-based marketing tool o Provide public notice of properties for which offers are received The presentation discussed Lien Abatement, its problems and solution, Inventory Marketing, its problem and solutions, Pricing Policy Amendment and its problems and solutions. Other issues discussed included holding auctions and selling City owned properties at auction, and prequalifying bidders to assure their financial capacity and rehabilitation ability. The presentation included discussion of Transitional Blocks with Scattered Vacants which found the following: The private market is generally healthy enough to support the rehabilitation of vacant property. Typically only minimal code enforcement efforts are required to prompt rehabilitations. Targeting Scattered Abandonment o On transitional blocks where housing markets are otherwise healthy, boarded structures are limited to only a few per block. In these areas, effective code enforcement can successfully leverage rehabilitation. o The goal during the first year code enforcement will use new, streamlined processes to target 1,000 vacant buildings on transitional blocks ultimately triggering their rehabilitation and the overall strengthening of these neighborhoods. Emerging Markets are characterized by high concentration of abandoned properties, many of which are owned by the City or are in tax arrears. Because of their potential, private developers are interested in rehabilitating some of these blocks but require the City s assistance to ensure that their efforts are not undermined by other vacant properties. Emerging Markets consists of Public-Private Partnerships where the private sector is counted on to take the lead with some City incentives. Emerging Markets need for Coordinated City Investment and Services o Ensure adequate street lighting and facilitate the paving of streets, repair of sidewalks and the attraction of new commercial amenities on reclaimed blocks o Allocate additional capital dollars for demolition to eliminate those vacants that impede additional investments o Assign resources from City agencies Police Streetscaping/Lighting Planning The City supported Large Scale Redevelopment o Many distressed areas with concentrated abandonment do not have private development potential and so large scale development initiatives are needed. 2

4 Maintenance, Clearance, Land Banking and Non-Housing Uses o Demolition, land banking, regular cleaning and securing of the inventory, as well as the active promotion of creative non-housing uses are essential to creating value in the long term. o The housing market will generally not support the rehabilitation of these vacant properties and many of these blocks will need to be demolished. Much of the land needs to be banked and open-space and non-housing uses promoted at least temporarily. Mr. Johnson discussed the expected outcomes and goals of each of the six strategies. Committee Chair Nurse indicated that the City has a huge number of unbuildable lots in the City which are a burden to the City, and doing something with them will be useful. Councilmember Kornell suggested a program where current home owners who have the ability to purchase additional properties are able to do so to rent them out since they are invested in the community and will care more than absent landlords. Mr. Mike Dove, Neighborhood Services Administrator, discussed that he has been following the Vacant to Values Program in Baltimore since it started and indicated that housing and code enforcement is used to address the problem in Baltimore. He reported that there are 800 plus vacant and boarded properties in the City. He will be touring all of the areas of the City and requested to report back to the Committee in two months with more details. Mr. Dove further reported that he has meetings scheduled with four private developers, and noted that this is how the Old Northeast and Kenwood neighborhoods were turned around. Councilmember Rice commented that this is exciting and enlightening. She further discussed Baltimore s accomplishments during the past few years. Vice Chair Newton discussed the problem of people parking on yard, driving over curbs which results in broken sidewalks and curbs, the poor condition of the alleys. He strongly urged the Committee to look at making improvements to the infrastructure. Councilmember Kornell discussed the possibility of the St. Petersburg Housing Authority having the ability to provide assistance to its tenants who would like to purchase a home. In connection with the new business, NSP-1 and NSP-3 Update, Ms. Lampe provided the status of the Neighborhood Stabilization Programs 1 and 3. Twelve (12) houses are completed, four (4) houses have been purchased and renovated; contracts are on two (2) properties for sale from NSP 1. She also discussed that as of today, the City has expended 80% of NSP 3 and are on schedule to expend 100 percent of the funding allocation on or about the deadline established by the U.S. Department of Housing and Urban Development (HUD) on March 10, Mr. Johnson discussed that Governor Scott submitted his budget to the Legislature on Wednesday, and that in the budget, only $20 million was recommended for the State Housing Initiatives Partnership (SHIP) Program. Florida Housing informed all local governments that the Governor recommends $89.3 million of housing funding ($69.3 million for the SAIL Program and $20 million for the SHIP Program). This represents a recommended appropriation of only 30% of available funding. The Governor recommends sweeping $142.3 million from SHIP to General Revenue. This is 49% of available funding. The other $61.73 million is left in limbo and now reflected anywhere in the budget. Reports from various new agencies reflect that the Governor has swept housing trust funds to the general fund to allocate funding to newly created Florida s Land and Legacy Program. The Committee was informed that Administration has been asked to advocate on behalf of funding SHIP at its full allocation collected from Documentary Stamps collected. There being no further business, the meeting adjourned at 11:43 a.m. 3

5 HOMES FOR SALE February 19, 2014 NEW CONSTRUCTION PROJECTS Bed Living Sq ADDRESS Rooms Baths Ft 2 1, , , , , , , , , , , , , th AveS (under contract) th AveS th AveS th AveS th AveS th St S th AveS th AveS th St S th AveS (under contract) th St S (under contract) Melrose Ave S th AveS 3 14 Lot Sales Price & Size Date 45x127 $79,800 50x100 $82,000 49x137 $80,000 60x127 $80,000 50x127 tbd 54x90 tbd 52x137 under c 50x137 underc 45x125 tbd 43x120 $86,000 43x126 $82,000 57x136 underc 50x121 under c BUILDER New Millennia! Homes American Housi'!ll Corporation American Housi'!ll Corporation American Housing_ Corporation Griffin Contracting, Inc. Griffin Contracting, Inc. Griffin Contracting, Inc. Griffin Contracting, Inc. REMODELED HOMES 1--r Bed ADDRESS Rooms "~909 Freemont Terr S 3 ~ th AveS (under contract) th AveS (under contract) th AveS Gross Sq. Baths Ft. 2 1, , , ,192 Lot Size Sales Price 42X90 $45,000 50x127 $85,000 50x100 $65,000 45x135 $65,000 EQUAL HOUSING OPPORTUNITY U:\Neighborhood Stabilization Program\Marketing\NSP Marketing Materials\NSP Marketing Packet\2014 Marketing Materials\Houses for Sale Feb 19, 2014.xlsx

6 ( ( ( Housing Delivery Goals Chart for FY Oct 1, 2013 through Sep 30, % AMI I Units 1$ 30-50%AMI Units $.51-80% AMI Units $ IIS0-120% AMI Units I$ Midtown I$ Total Units Total$ Expended Purchase Assistance 5 $86, $86,111 Teacher Purchase Police Purchase Police Rehab Bond Program Rehabilitations $55, $95, $60, $150,000 Lead Abatement Developer Housing Emergency Repair I 2 $29, $40, $94, $34, $163,949 Warranty $1, $1,800 My Safe Florida 1Urlll,.;dllt:= vvinu Mitigation Barrier Free luiiiljdiic' Hardening $1, $10, $11,646 l~'"'"!ly Conservation Housing Replacement tr..,...

7 ( ( ' ( Housing Delivery Goals Chart for FY Oct 1, 2012 through Sep 30, 2013 ' ~t..,,.,,.... j.<, :..,.._,:,:;.>> "' ',..).)-,,: -.. ~.. ~... -~ _._....J..jfi f..:,_,,., {:._._.,,,, _.,,-.-.,...,.....~ _,_.,; - ;.,..._. 3,_.,_,.( ' ' 3 $53,611,00 25 $375,203,00 3 $18,000 2 $26, $446,814 $60, $161, $217, $116, $438,893 7 $89, $88, $109, $73, $287,194 2 $10, $38, $26, $41, $75,481 September 30, 2013 Revised

8 ( (,,. o-30% AMI tjnlts J$ 3()J.50% AMt Units Is Housing Delivery for FY Oct 1, 2011 through Sep 30, 2012.,.,;tu-.. % % uu~~ l.. 50% AMI. AMI AMI -~~. -~ Units $ UnitS $ Ontts I$ jtota~ Units Total$ Expended Purchase Assistance 6 $100, $246, $12, $359,052 Teacher Purchase Police Purchase Police Rehab Rehabilitations $49, $118, $201, $369,039 Lead Abatement Developer Housing Emergency Repair 4 $29, $202, $237, $468,944 Warranty My Safe Florida Barrier Free nurr '-'dllt:: Hardening 1~ 11 "' 1!:1Y Conservation $1, $16, $54, I $72,357 Housing Replacement itow '...': i. '$!f;~~c' l Through September 30, 2012 Revised

9 SUPPORTING STRONGER NEIGHBORHOODS!/) Cl) (/) BOO ::I 500 -CJ ::I ::t:l: Boarded-Up Vacant Structures 'l'+t--~ l'llf $830 - ;:_, - a - --~ l c::::j City (other) c::=:jchilds Park Fiscal Years c:::::::j Midtown _._Citywide Total Codes Compliance Assistance Chart represents boarded-up vacant structures identified through field investigations_ A boarded-up vacant structure is any residential or commercial structure, regardless of ownership, that is both vacant and has securing boards over doors and windows. Each identified vacant structure with securing boards is inspected periodically to ensure the structure remains secure. City performance measure comparisons are for the prior 10 years. Data through 12/31 /2013; updated annually. Childs Park not measured prior to 2006.