FY2015 Budget Public Hearing Presentation

Transcript FY2015 Budget Public Hearing Presentation

Delaware State Housing Authority

FY ’15 Budget Public Hearing

November 26, 2013 Delaware State Housing Authority 18 The Green Dover, DE 19901 (302) 739-4263 ■ (888) 363-8808 Visit us at www.destatehousing.com

DSHA Presentation Presentation Summary –

•

Core Businesses

•

Accomplishments and Highlights

•

State Budget Production Reports

•

FY 15 Budget Request

DSHA Core Businesses Homeownership

• • • •

Key Activities: Homebuyer Mortgages Second Mortgage Assistance Foreclosure Mitigation Home Rehabilitation Rental

• • • •

Key Activities: Rental Housing Development Multi-Family Site Preservation Rental Subsidies Asset Management

• • •

Challenges Low Demand - economic uncertainty Underwriting Criteria – harder for homebuyers to get loans Foreclosure– job loss

• • •

Challenges Increased Demand Stricter Permanent Lending Underwriting Criteria Preservation of Affordable Rental Housing

DSHA Accomplishments and Highlights Fiscal Year 2013 Benchmarks –

•

708 mortgages financed

•

1,100 families received foreclosure counseling

•

100 homeowners saved with direct assistance

•

153 foreclosed/vacant homes brought back online

•

325 affordable rental units built or renovated

•

400 SRAP vouchers issued

DSHA Accomplishments and Highlights New Initiatives –

•

First-time homebuyer tax credit

•

New “Home Again” program

•

Foreclosure prevention and recovery

•

Manufactured housing assistance

•

$5 million in new rental subsidies

FY15 Budget Request

HDF Base Budget Affordable Rental Housing Program State Rental Assistance Program

Total DSHA Budget

$4,070,000 $6,000,000 $3,000,000

$13,070,000

Housing Development Fund FY13 Production Report

$4,070,000 Base Budget $6,000,000 ARHP (Bond Bill)

Housing Development Fund FY13 Unit Production Rental Housing

Rehabilitation/Preservation New Construction Rental / Security Deposit

Homeownership

Rehabilitation Acquisition/Rehabilitation New Construction Pre-Purchase Counseling 175 Units 70 Units 914 Units 15 Units 7 Units 16 Units 570 Units

Housing Development Fund FY13 Funding Leverage HDF FY13 Funding Summary:

HDF Dollars Allocated Low Income Housing Tax Credits Private Loans Other (Federal, Donations, Contributions)

Total

$8.4 million $18.9 million $12.2 million $23.4 million

$62.9 million

   HDF Leveraged Amount (6.5 : 1 ratio) Economic Activity Created (7:1 ratio) Jobs Created or retained

$ 54.5 million $ 58.8 million 294

Housing Development Fund FY15 Budget Request

$4,070,000 Base Budget $6,000,000 Bond Bill

Housing Development Fund Base Budget Request $4,070,000 1. Affordable Rental Housing

 Rehabilitation of existing units  Creation of new units

2. Affordable Homeownership

 New units  Owner-occupied rehabilitation  Housing counseling

Affordable Rental Housing Program $6,000,000 Need for an ongoing rental housing investment program funded by the state

FY15 outcomes from $6 million:  Leverage Federal tax credit programs  Preservation and new construction of shovel-ready projects  3-4 sites (200-300 units)  Leverage $24 million in other funds  Economic impact of $42 million  225 Delaware jobs

L e v e r a g e

Stoneybrook Project Financing Leverage

Seller Mortgage/Developer Fee: $2 M Federal HOME Grants: $1.8 M Private Investments: $10.8 M Total Leverage: $24.1 M Tax Credit Equity: $9.5 M State Resources (HDF): $ 480,000

Stoneybrook Apartments

Before Renovation During Construction

Cascades

Foreclosed Development During Construction Completed Construction

Buford Manlove Manor

Before After Renovation

Heron Run

Before Renovation During Construction

Heron Run Completed

Heron Run Solar Panel Installation

State Rental Assistance Program Production Report

$3,000,000 FY14 Budget $1,900,000 FY14 DSAMH Budget

SRAP Status Report (as of November 1) SRAP Vouchers Issued/Leased by Agency

DHSS-DSAAPD DHSS-DMMA 35 53 7.5% 11.4% DHSS-DDDS DHSS-DSAMH 35 252 7.5% 54.2% DSCYF-Youth DSCYF-Families

TOTAL

52 38

465

11.2% 8.2%

100%

SRAP Production Report SRAP Production and Pipeline (as of 11/1/2013): Applications Pending Vouchers Issued Units Leased Total

Applications Pending (#) Funds Reserved ($) Vouchers Issued (#) Funds Reserved ($) Units Leased (#) Funds Encumbered ($) Application, Vouchers and Units (#) Total Funds Reserved and Encumbered ($)

34 $289,000 124 $1,054,000 341 $2,688,785 499 $4,031,785

Program Recognition

 2011 Honorable Mention in Governor’s Team Excellence Awards  2012 National Association of Housing and Redevelopment Officials (NAHRO) National Award of Merit  2013 National Council of State Housing Finance Agencies (NCSHA) National Annual Award for Program Excellence

State Rental Assistance Program SRAP DOE Pilot Program

 MOU with DOE and DSCYF to create 100 vouchers  Vouchers will cover one 12-month period  School homeless coordinators to make eligibility determination, referral, and provide services  According to DOE, there are 3,000 homeless families with at least one child in school  High cost to transport homeless students  Students with stable housing perform better in school

SRAP FY 15 Request $3,000,000

 DSHA request for $3 million in FY15 to maintain vouchers issued in FY13 and FY14  SRAP program expansion to meet needs of DHSS/DOJ Settlement  $1.9 million allocated to the SRAP program by DHSS/DSAMH to maintain issued vouchers  Funding for additional vouchers to comply with the Settlement if made available