Goal 12. Increase and Preserve Affordable Housing choices throughout Louisville Metro.
Participate in the development and preservation of 5000 new and/or rehabilitated quality and affordable housing units by FY 18 and encourage public-private partnerships to dramatically increase the number of available quality and affordable housing units across the community.
According to American Community Survey data on subsidized housing: More than 60,000 Louisville households pay greater than 30% of their income for housing. More than 10,000 housing units risk becoming unaffordable by 2020, when tax credits are scheduled to expire. The large majority of subsidized homes are in the 40210 and 40211 zip code areas.
Initiative Health: What are we doing to accomplish this?
The following are the Key Performance Indicators (KPIs) for Goal 12.
We created the Louisville CARES program, which consists of an $11 million revolving loan fund and a $1 million land acquisition fund, to incentivize and support the creation of new affordable multi-family rental housing. The $11 million revolving loan fund provides gap financing to support the construction of at least 750 new units. The $1 million land acquisition fund will target properties near employment centers, and land will be offered to developers for the construction of affordable housing. Louisville CARES is accepting applications beginning January 21, 2016.
Louisville Metro continues to manage the development of the four projects designated from the 2014 Notice of Funding Availability (NOFA) of HOME Investment Partnership funds. Two projects remain in development, anticipating additional funding sources, and are expected to close loan documents in late FY16 or early FY17. Two projects are under construction, with completion expected in FY16.
During FY15, the following owner-occupied units were rehabilitated to support this goal:
- Lead - 48 units remediated
- Emergency Repair - 138 units
- Weatherization - 14 units
- Ramps - 115 units
- Shawnee NRSA Rehab Activities - 20 units
FY16 programs have been designed to specifically target areas in need of revitalization. The Shawnee Homeowner Rehab Program continues, with additional funding being allocated toward a targeted area of Shawnee to alleviate code violations. This program is scheduled to begin in Q3 of FY16. In addition, a targeted roof program replacing roofs in Russell is being designed in conjunction with the Choice planning grant efforts. This program is expected to leverage additional resources through the non-profit sector and is expected to launch in Q3 FY16.
During FY15, a total of 26 homebuyers received assistance toward downpayment and closing costs.
Tenant-Based Rental Assistance is being provided to 60 households at risk of becoming homeless through the Department of Community Services. The annual budget is approximately $620,000.
Develop Louisville staff continues to monitor rental development projects--checking the financial risk of the project, assuring correct income levels of tenants and that approriate rents are being charged, and a physical inspection of the property--within the period of affordability and those with outstanding loans. During FY15, 38 rental development projects (representing 319 units) were inspected. No concerns were found in these 38 projects.
We formed a cross-functional team with the Kentucky Housing Corporation that helped to create publicity materials and public service announcements for Protect My Kentucky Home, a statewide home-ownership assistance program. We distributed those materials to sites throughout Louisville including Neighborhood Places, local businesses and agencies, homes cited for code violations, and public forums. In total we printed and distributed: 10,000 flyers, 3000 business cards for foreclosure prevention; and 6000 “Foreclosure Reconciliation" flyers at the Jefferson County Circuit Court for homeowners who had received a foreclosure notice, providing information at the point of need. Although this initiative has been completed, Community Services will continue to:
- Coordinate efforts with other agencies like the Code Enforcement Officers and with the Circuit Court to help individuals at different stages of their cases
- Distribute foreclosure prevention flyers/materials to clients and community outreach partners
- Promote various foreclosure workshops and programs including the Kentucky Unemployment Bridge Program, workshops at Urban League, Neighborhood Place and Legal Aid
- Maintain the Metro Foreclosure Prevention Website
The Affordable Housing Trust Fund is managing a HOME-funded program designed to increase homeownership opportunities across Louisville Metro. As of 12/22/15, nine houses have been sold. The Affordable Housing Trust Fund is discussing options with the Office of Housing and Community Development to expediently commit the remaining funds to homebuyer projects.