Agenda - Planning Commission - 09/04/2014

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Last revised July 24, 2014 the property/enter into the transaction, the property owner would be free to open bidding up to any other interested parties. Risk Pool Typically, a risk pool is an account established by corporate insurance providers to hold funds that will be jointly available in times of loss due to natural disasters. The intention is to mitigate risk by spreading any losses or claims among the members so no individual member faces a claim so large it could bankrupt the company or leave claimants without due compensation. Section 202 Program Provides capital advances to finance the construction, rehabilitation or acquisition (with or without rehabilitation) of structures that will serve as supportive housing for very -low-income elderly persons, including the frail elderly, and provides rent subsidies for the projects to help make them affordable. The program provides grant and operating or rental assistance to finance housing designed for occupancy by elderly households who have income not exceeding 50% of AM I. The program is limited to housing owned by 501(c)(3) nonprofit organizations or by limited partnerships where the sole general partner is a 501(c)(3) nonprofit organization. Units receive HUD project based rental assistance that enables tenants to occupy units at rents based on 30% of tenant income. Section 3 Most assistance under HUD housing or community development programs (that is, work connected with housing construction, reconstruction, conversion or rehabilitation) is considered "Section 3 Covered Assistance" and recipients must make dedicated efforts to extend contractual, labor, and procurement opportunities to Section 3 Residents and Section 3 Business Concerns. Although Section 3 is a goals -based program, strict reporting requirements and demonstration of good faith efforts are required. A Section 3 resident is a resident of a metropolitan statistical area or non -metro county in which Section 3 covered assistance is expended who is either: • A public housing resident; or • A low or very low-income person A Section 3 Business Concern is a business that meets one of the following criteria: • It is at least 51 % owned by Section 3 residents • At least 30% of its full time employees are Section 3 residents, or were Section 3 residents within 3 years of their first employment with the company • Provide evidence of a commitment to subcontract more than 25% of the dollar award of all subcontracts to business concerns that meet the first two bullets Section 8 Housing Choice Voucher Provides rental assistance to low-income families who are unable to afford market rents. Assistance may be in the form of vouchers or certificates. Program participants can use the voucher with any property owner that has applied and been accepted into the program, and at times can even take the voucher outside of the jurisdiction in which it was issued (referred to as `portability'). In a large portion of the metro, the Council's Metro HRA serves as the allocating agency for Housing Choice Vouchers, with more than 6,500 households currently served. Section 811 Program Through the Section 811 Supportive Housing for Persons with Disabilities program, HUD provides funding to develop and subsidize rental housing with the availability of supportive services for very low- 2040 HOUSING POLICY PLAN I METROPOLITAN COUNCIL DRAFT RELEASED FOR PUBLIC COMMENT Appendices I Page 96