6.C.
Housing Commission
- Meeting Date:
- 09/28/2023
- From:
- Kristine Pavlik, Housing and Grants Administrator
TITLE:
Presentation and discussion of the draft City of Flagstaff Community Homebuyer Assistance and Employer Assisted Housing Programs, with consideration of a motion to forward the draft Rental Incentive Bond Program to City Council with a recommendation for approval.
STAFF RECOMMENDED ACTION:
Motion to forward the City of Flagstaff Community Homebuyer and Employer Assisted Housing draft program changes to City Council with a recommendation for approval.
Executive Summary:
Staff will provide a presentation outlining recommended changes to the City of Flagstaff Community Homebuyer Assistance Program (CHAP) and Employer Assisted Housing (EAH) Program.
Due to an increase in both housing prices and interest rates, as well as the limited amount of assistance offered through the CHAP and EAH programs, the purchasing power of mortgage ready households falls far below current market pricing in Flagstaff. Increasing the maximum assistance amount from $15,000 to $40,000 for CHAP and offering additional, repayable assistance to employees will ensure the programs are effective and being utilized by the intended population.
The current contract with Housing Solutions of Northern Arizona began November 2018 with a one-year term and an option to renew for four additional one-year terms. The last renewal was issued November 2022 and will expire in November 2023. Per Procurement, Council may make an amendment to include an additional one-year term Proposed changes will require a contract amendment be approved by City Council and would only apply to the remainder of the contract with HSNA.
Due to an increase in both housing prices and interest rates, as well as the limited amount of assistance offered through the CHAP and EAH programs, the purchasing power of mortgage ready households falls far below current market pricing in Flagstaff. Increasing the maximum assistance amount from $15,000 to $40,000 for CHAP and offering additional, repayable assistance to employees will ensure the programs are effective and being utilized by the intended population.
The current contract with Housing Solutions of Northern Arizona began November 2018 with a one-year term and an option to renew for four additional one-year terms. The last renewal was issued November 2022 and will expire in November 2023. Per Procurement, Council may make an amendment to include an additional one-year term Proposed changes will require a contract amendment be approved by City Council and would only apply to the remainder of the contract with HSNA.