Background: The City of Columbus and Neighborworks Columbus, Inc. has formed this strategic partnership to provide decent, safe, and sanitary housing to low-income individuals and families who are within Columbus, Georgia. Homeownership is a stabilizing factor for communities and families. This program will provide those desiring to become homeowners with the tools and financing needed to achieve their goal. This program will provide a first mortgage, gap subsidy, and/or down-payment assistance to the qualified buyer.
Analysis: The Affordable Homeownership Program will provide income-eligible applicants with first mortgage assistance, gap subsidy and/or down-payment assistance which will enable them to become homeowners. All applicants must meet the minimum qualifications and receive homebuyer counseling through a HUD approved housing counseling agency. Neighborworks will be responsible for qualifying the applicants, reviewing loan packages, and loan servicing. Neighborworks is a local Community Development Finance Institution (CDFI) and is qualified to conduct these activities.
Financial Considerations: The City will provide $300,000 in HOME funds to carry out the program. Any repayments made on these loans will be split between Neighborworks Columbus and the City (70/30), which will allow this funding to be recycled for additional programs. The HOME funding is from prior year grant allocations that were not utilized and will expire if not committed to a project by September 30, 2016.
Legal Considerations: The City Attorney will review and approve the proposed HOME Written Agreement prior to obtaining signatures.
Recommendations: Approve a resolution authorizing the City Manager to enter into a HOME Written Agreement, between the Columbus Consolidated Government and Neighborworks Columbus, Inc., to award Home Investment Partnership Program (HOME) funds in the amount of $300,000 to administer an Affordable Homeownership Program.
Councilor Allen voting __________.
Councilor Baker voting __________.
Councilor Barnes voting __________.
Councilor Davis voting __________.
Councilor Garrett voting __________.
Councilor Henderson voting __________.
Councilor Huff voting __________.
Councilor Thomas voting __________.
Councilor Turner Pugh voting __________.
Councilor Woodson voting __________.
Tiny B. Washington, Clerk of Council Teresa Pike Tomlinson, Mayor