San Antonio Neighborhood Stabilization Program

1
San Antonio Neighborhood Stabilization Program
Quality of Life Council Committee
February 10, 2009

• Presented by
• Jeanetta Tinsley
• Grants Administration Manager
• Office of Grants Monitoring and Administration

2
Background

• Staff has conducted two previous briefings with
  the City Council Quality of Life Committee
  (October, 22, 2008 and November 18, 2008)
• The proposed program was made available for
  public review and comment on November 5, 2008
• NSP Application submitted to HUD on November 21,
  2008
• Three stakeholder meetings have been conducted
• Internal stakeholders (January 16, 2009)
• External Housing Partners (January 22, 2009)
• Financial Institutions (February 3, 2009)
• On January 29, 2009 the City received written
  notification of the approval of our NSP
  application and awarding of 8,635,899

3
Background

• We have not received the Grant Agreement from
  HUD
• The City has 18 months to commit NSP funds and 4
  years to expend the funds.
• NSP serves a population up to 120 of the median
  for the area.
• The NSP will concentrate acquisition efforts in
  five (5) areas within the city.
• The target areas are consistent with the data
  documenting areas with concentrations of
  foreclosed properties

4
Background

• The implementation strategies for all target
  areas are
• Acquisition and Rehabilitation of foreclosed and
  abandoned properties for resale
• Acquisition and Rehabilitation of foreclosed and
  abandoned properties for lease
• Acquisition and Rehabilitation of foreclosed and
  abandoned properties for temporary housing

5
Background

• Acquisition of vacant lots for the purpose of new
  housing construction or title transfer
• Housing counseling for homebuyers
• Down payment assistance
• Soft second mortgage loans

6
NSP Design

• Maximum purchase price is 160,000
• Appraisals no more than 60 days prior to date of
  purchase
• Homes must be vacant for at least 90 days
• Direct allocations will not be made to
  non-profits/developers
• Provide a line of credit for acquisition,
  rehabilitation, down payment assistance and soft
  second mortgages
• Funds will be placed in escrow accounts for
  multi-family redevelopment activities

7
NSP Design

• Non-profits/developers will be able to acquire up
  to 5 houses or vacant lots at one time
• Administrative support is not being recommended
• The City will partner with non-profit/developer
  to offset the marketing, housing counseling,
  closing costs, and other costs associated with
  acquisition and resale
• Costs to provide housing counseling will be
  reimbursed to non-profit/developer
• Books
• Supplies

8
NSP Design

• Provided draft copy of policies and procedures
  with request for review and comment
• Received support from internal and external
  stakeholders
• Non-profits will undergo capacity review to
  ensure ability to perform

9
NSP Activities and Fund Allocations
10
Acquisition Process Scenario 1
11
Acquisition Process Scenario 1
12
Acquisition Process Scenario 2
13
Acquisition Scenario 3
14
Next Steps

• Execute Memorandum of Understanding
• Non-profit/Developers
• Mortgage Companies/Bankers
• Execute Grant Agreement upon receipt from HUD
• Implement program by May 1, 2009