Title
Approval of a Resolution Authorizing the 2022 Home Fund Grant Agreement with Homes First
Recommended Action
Committee Recommendation:
Not referred to a committee.
City Manager Recommendation:
Move to approve of a Resolution authorizing the 2022 Home Fund Grant Agreement with Homes First for $410,714.
Report
Issue:
Whether to approve of a Resolution authorizing the 2022 Home Fund Grant Agreement with Homes First for $410,714
Staff Contact:
Darian Lightfoot. Housing Programs Manager, 360.280.8951
Presenter(s):
None - Consent Calendar Item.
Background and Analysis:
Home Fund Advisory Recommendation:
The Olympia Home Fund Advisory Board unanimously recommended awarding Homes First $410,714. Funding from the Olympia Home Fund will be used to leverage secured and pending funds to acquire five single-family homes in Thurston County and build two detached auxiliary dwelling units (DADUs) on properties Homes First owns in Lacey, WA for a total of 11 new units of affordable housing for households with incomes of less than 30% AMI. One unit will be reserved for a family exiting houselessness, eight units will be reserved for adults with developmental disabilities, with the remaining two units for those individuals or families with incomes of less than 30% AMI.
Background of the Home Fund:
The Olympia Home Fund was created in 2018 by a sales tax levy approved by Olympia voters. Proceeds from the Home Fund Account are used to construct affordable and supportive housing and housing-related purposes, including mental and behavioral health facilities, and for costs for operations, maintenance, delivery, and evaluation of mental health programs and services, or housing-related services, as allowed by RCW 82.14.530.
2022 Home Fund Capital Award Criteria:
The Home Fund Advisory created criteria for the 2022 award based on the 2018 sales tax levy approved by Olympia voters. The Criteria included:
• Construct new affordable housing units, shelter beds, or treatment beds in Thurston County Washington. Construction can include conversion of existing market rate units into affordable housing.
• Provide housing to households earning no more than 50 percent of area median income (AMI). Beyond the minimum 50 percent AMI requirement, applicants are strongly encouraged to include as many units as possible that are affordable to households with incomes below 50% AMI.
• Provide housing, treatment, or shelter for targeted vulnerable household types including:
o Seniors
o Single adults who are chronically homeless and have a disability
o Families with children
o Unaccompanied youth or young adults
o Survivors of domestic violence
o Veterans
• Reduce homelessness to Thurston County’s most vulnerable homeless households through referrals from a Thurston County Coordinated Entry provider. Proposals should articulate what levels of service and operating subsidies would likely be necessary for the project to be successful, and any partnerships have been or will need to be established to successfully operate the homeless units.
• Demonstrate readiness to begin construction based on occupancy date and other measures.
• Provide integrated supportive services at the housing, shelter, or treatment facility after construction.
• Demonstrate efficiency in development costs to maximize the impact of City and other public and private fund sources. This priority will be evaluated through per-unit costs and a review of the project budget.
The attached contract outlines the requirements of Homes First to ensure that real property acquired, converted, or developed by Homes First in Thurston County, Washington, using City grant funds for affordable low-income housing, shall be subject to restrictive covenants limiting the use of the acquired property in perpetuity for low-income affordable housing.
Neighborhood/Community Interests (if known):
Affordable housing development and homelessness are of high interest to the community.
Options:
1. Move to approve a Resolution authorizing the 2022 Home Fund Grant Agreement with Homes First for $410,714.
2. Approve Resolution with amendments.
3. Take other action.
Financial Impact:
The Home Fund balance has sufficient funds to support this project upon agreement completion.
Attachments:
Resolution
Agreement