STRATEGIC PRIORITY: Housing & Homelessness Solutions
AGENDA DATE: December 14, 2022
COUNCIL DISTRICT(S): All
DEPARTMENT: Department of Housing & Neighborhood Revitalization
EXECUTIVE: Majed Al-Ghafry
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SUBJECT
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Authorize an amendment to the City of Dallas Comprehensive Housing Policy, previously approved on May 9, 2018, by Resolution No. 18-0704, as amended, to amend the Targeted Rehabilitation Program to (1) remove property insurance from property eligibility requirements; (2) allow applicants to reapply to receive additional assistance for property previously assisted with funds through the Targeted Rehabilitation Program; and (3) revise the funding cap amount from $10,000.00 to $20,000.00 for the Targeted Rehabilitation Program - West Dallas Sub-Program Module - Financing: No cost consideration to the City
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BACKGROUND
The Comprehensive Housing Policy (CHP) has three main goals: (1) create and maintain available and affordable housing throughout Dallas; (2) promote greater fair housing choices; and (3) overcome patterns of segregation and concentrations of poverty through incentives and requirements.
The Targeted Rehabilitation Program (TRP) is an umbrella program intended to preserve affordable housing and to serve all households eligible for support in the CHP. Each module will identify applicant qualifications and proposed benefits based on the issue the individual module seeks to address. Benefits and requirements, such as the amount of financial assistance and affordability periods, will vary based on funding requirements, community feedback, and funding source.
The CHP currently requires a homeowner to maintain standard property insurance on the property to meet property eligibility requirements for the TRP. Further, the CHP currently does not allow a property previously assisted through the TRP to receive additional funding within the period of affordability. Lastly, for the Targeted Rehabilitation Program’s West Dallas Sub-Program Module, the CHP currently sets the maximum assistance amount at $10,000.00.
To increase access to the TRP, the proposed amendments reduce barriers to program eligibility by removing the property insurance requirement. To promote greater impact on each property assisted through the West Dallas Sub-Program Module, the proposed amendments increase the maximum assistance amount to $20,000.00 per property as the assistance need per household often exceeds $10,000.00. The proposed amendments also allow for applicants previously assisted through the program to reapply for assistance up to the maximum assistance amount for the applicable Sub-Program Module when combined with the amount of prior assistance received (e.g., maximum amount of $20,000.00 for the West Dallas Sub-Program Module and $50,000.00 for the Tenth Street Historic District Sub-Program Module). Although the proposed amendments will decrease the number of households to be served in the West Dallas Sub-Program Module, they will allow for the program to address needed repairs on each property to a greater extent and reduce barriers to program eligibility.
Amendments to the CHP
This agenda item includes an updated CHP.
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
On May 9, 2018, City Council adopted the CHP by Resolution No. 18-0704, as amended.
On November 28, 2018, City Council authorized amendments to the CHP, to make technical changes to the Home Improvement Preservation Program (HIPP), the Dallas Homebuyer Assistance Program (DHAP), and the New Construction and Substantial Rehabilitation Program by Resolution No. 18-1680.
On May 22, 2019, City Council authorized an amendment to the CHP to add a Land Transfer Program to incentivize the development of high quality, sustainable housing that is affordable to the residents of the City and the development of other uses that complement the City’s CHP, economic development policy, or redevelopment policy by Resolution No. 19-0824.
On June 12, 2019, City Council authorized amendments to the CHP to amend and restate the low-income Housing Tax Credit policy by Resolution No. 19-0884.
On June 26, 2019, City Council authorized amendments to the CHP to amend the DHAP, the HIPP, and the HIPP Landlord Program by Resolution No. 19-1041.
On September 25, 2019, City Council authorized amendments to the CHP to create the Title Clearing and Clouded Title Prevention Pilot Program by Resolution No. 19-1498.
On December 11, 2019, City Council authorized amendments to the CHP to modify the provisions for the housing policy task force, update language to comply with the MIHDB previously approved by City Council and remove two application forms by Resolution No. 19-1864.
On January 22, 2020, City Council authorized amendments to the CHP and created a residential Neighborhood Empowerment Zone Program by Resolution No. 20-0188.
On August 26, 2020, City Council authorized amendments to the CHP to amend the DHAP program, include the 0-30% income band in the range of income bands to be served, create the Targeted Rehabilitation Program (TRP), and to allow Community Housing Development Organizations to retain a percentage of sales proceeds from eligible HOME-funded projects by Resolution No. 20-1220.
On January 27, 2021, City Council authorized an amendment to the CHP to (1) amend the loan terms in the New Construction and Substantial Rehabilitation Program to allow forgivable loans for projects with permanent supportive housing units; and (2) to remove the nine percent subsidy cap from the annual HUD 234 - Condominium Housing Limits by Resolution No. 21-0212.
On September 9, 2021, City Council authorized amendments to the HIPP, Subrecipient Minor Home Repair Grant Program, Housing Reconstruction Program, Landlord Rental Repair Program, Community Land Trust Program, and the TRP in the CHP by Resolution No. 21-1450.
On October 13, 2021, City Council authorized an amendment to the CHP to amend the loan terms in the New Construction and Substantial Rehabilitation program to remove the requirement that the City may only subordinate its lien position to a private financial institution for a loan in a greater amount by Resolution No. 21-1655.
On October 13, 2021, City Council authorized an amendment to the CHP to amend the terms of the Dallas Homebuyer Assistance Program (DHAP) to: (1) change the citizenship definition for applicants to meet the guidelines set forth by the Department of Housing and Urban Development (HUD); (2) remove the minimum income requirement of 60% of the Area Median Income (AMI) (3) remove the minimum 26% front-end loan to income ratio requirement; and (4) modify the Targeted Homebuyer Incentive Program to remove federal requirements when assistance is provided to homebuyers using nonfederal funds by Resolution No. 21-1656.
On May 11, 2021 and November 15, 2021, the Housing Policy Task Force was presented with the proposed changes to and expansion of the MIHDB program for review and comment.
On October 21, 2021, November 4, 2021, and November 18, 2021, the Zoning Ordinance Advisory Committee (ZOAC) of the City Plan Commission (CPC) considered these amendments to the Dallas Development Code; and on December 16, 2021, ZOAC recommended the proposal move to CPC.
On January 6, 2022 and February 17, 2022, CPC reviewed the proposed changes to Division 51A-4.1100 of the Dallas Development Code, and on March 3, 2022, CPC recommended approval of the amendments.
On May 11, 2022, City Council authorized an amendment to the City of Dallas Comprehensive Housing Policy to (1) amend the Mixed Income Housing Development Bonus (MIHDB) program by (a) adding additional development bonus options including additional development rights, parking reductions, and financial incentives and (b) adding a fee in lieu of on-site provision to fulfill the requirements of the bonus; and (2) establish the Mixed Income Housing Development Bonus Fund.
On September 28, 2022, City Council authorized an amendment to the City of Dallas Comprehensive Housing Policy (CHP), to amend the Home Improvement and Preservation Program to expand the type of third-party organizations that may administer the Major Home Rehabilitation Program and the Home Reconstruction Program by Resolution No. 22-1432.
FISCAL INFORMATION
No cost consideration to the City.