Department: Housing and Community Development
Department Head/Elected Official: Thao Costis, Executive Director
Regular or Supplemental RCA: Regular RCA
Type of Request: Contract - Award
Project ID (if applicable): N/A
Vendor/Entity Legal Name (if applicable): Harris County Housing Finance Corporation
MWDBE Contracted Goal (if applicable): N/A
MWDBE Current Participation (if applicable): N/A
Justification for 0% MWDBE Participation Goal: N/A - Goal not applicable to request
Request Summary (Agenda Caption):
title
Request by Housing and Community Development for approval to conditionally award up to $14,605,650 in American Rescue Plan Act (ARPA) State and Local Fiscal Recovery Funds, increasing the previously approved amount by $835,650, to purchase the land for the Hardy Yards Project for the Harris County Housing Finance Corporation.
end
Background and Discussion:
On July 15th Harris County Housing Finance Corporation (HCFC) requested and was conditionally approved up to $13,770,000 in ARPA State and Local Fiscal Recovery Funds (SLFRF) for the acquisition to purchase land for the Hardy Yards Project. Hardy Yards is situated on approximately 10.7 acres of land located near the intersection of North Main and Burnett Street on 800 Burnett Street, Houston, Texas 77009. Hardy Yards has great access to all major highways I-10, I-59, and I-45, and is near Downtown Houston and adjacent to Burnett Transit Center offering Metrorail and busses.
A majority of Focus Area Team and Steering Committee members approved use of up to $14,605,650 in ARPA SLFRF for the Hardy yards project under the following conditions:
1) The RFP for the Master Developer (who, after a successful acquisition of the property, would then develop the property for affordable housing and other supportive opportunities) must return to the Focus Area Team and Steering Committee for approval before being advertised. While following all applicable provisions of Harris County’s procurement policies, HCD will provide regular updates to the Focus Area Team. Updates shall include but not limited to whether there are qualified bids to the RFP that meet the required level of affordability.
2) Level of affordability is aligned with the Harris County TAMFAP portfolio guidelines (Section 5.2.12). Additionally, as outlined in the guidelines, all units funded through ARPA SLFRF will serve incomes below 80% AMI: “At a TAMFAP portfolio level, HCCSD will prioritize funding of housing units as follows:
• At least 5% of housing units will serve households with income at 30% or less of AMI as published annually for Harris County by HUD and the Texas Department of Housing and Community Affairs (TDHCA). This prioritization may be accomplished by reserving the housing units for households using Housing Choice Vouchers.
• At least 50% of housing units will serve households with incomes between 30% of AMI and 65% of AMFI.
• The remaining 45% {or less) of housing units will serve households with incomes between 65% of AMI and 80% of AMI.”
3) All other requirements outlined in the TAMFAP portfolio are followed (including tenant protections), as with all other ARPA-funded projects.
4) If the land acquisition closing is not completed by November 30, 2024, HCD staff will reconvene the Focus Area Team to discuss and vote on next steps for use of remaining HCD ARPA SLFRF.
To acquire the property, HCD plans to leverage a blend of ARPA SLFRF and resources approved by the Harris County Housing Finance Corporation (HCHFC) and the Harris County Redevelopment Authority bodies. No General Fund dollars will be utilized for this project’s acquisition.
After a successful acquisition, like other HCD Multi-Family ARPA SLFRF projects, the HCHFC will own the land and the project will enter a 99-year ground lease, which will keep the project affordable for 99-years.
Expected Impact:
$14,605,650 in ARPA State and Local Fiscal Recovery Funds
Alternative Options:
Without ARPA SLFRF, the project will not move forward.
Alignment with Goal(s):
_ Justice and Safety
_ Economic Opportunity
X Housing
_ Public Health
_ Transportation
_ Flooding
_ Environment
_ Governance and Customer Service
Prior Court Action (if any): N/A
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Date |
Agenda Item # |
Action Taken |
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Location:
Address (if applicable): 800 Burnett Street, Houston, Texas 77009
Precinct(s): Precinct 2
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Fiscal and Personnel Summary |
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Service Name |
Affordable Rental Housing |
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Current Fiscal Year Cost |
Annual Fiscal Cost |
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Labor |
Non-Labor |
Total |
Recurring Expenses |
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Funding Sources |
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Existing Budget |
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2651 - American Rescue Plan 2021 |
$ |
$14,605,650 |
$14,605,650 |
$ |
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Choose an item. |
$ |
$ |
$ |
$ |
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$ |
$ |
$ |
$ |
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Total Current Budget |
$ |
$14,605,650 |
$14,605,650 |
$ |
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Additional Budget Request (Requires Fiscal Review Request Form) |
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Choose an item. |
$ |
$ |
$ |
$ |
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Choose an item. |
$ |
$ |
$ |
$ |
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Choose an item. |
$ |
$ |
$ |
$ |
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Total Additional Budget Request |
$ |
$ |
$ |
$ |
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Total Funding Request |
$ |
$14,605,650 |
$14,605,650 |
$ |
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Personnel (Fill out section only if requesting new PCNs) |
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Current Position Count for Service |
- |
- |
- |
- |
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Additional Positions Request |
- |
- |
- |
- |
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Total Personnel |
- |
- |
- |
- |
Anticipated Court Date August 27, 2024
Anticipated Implementation Date (if different from Court date): N/A
Emergency/Disaster Recovery Note: COVID-19 related item
Contact(s) name, title, department: Sam Borders, Director, Multi-Family Housing Development, Harris County Housing and Community Development
Attachments (if applicable): Court Order