Neighborhood Stabilization Program (NSP) Quarterly Report August 25, 2009

Presentation Outline Background Implementation Strategy Performance Review Challenges and Opportunities Additional NSP Activities Summary

Presentation Outline Background Implementation Strategy Performance Review Challenges and Opportunities Additional NSP Activities Summary

Background NSP was created by the Housing and Economic Recovery Act of 2008 to respond to rising residential foreclosures and property abandonment. Orange County was allocated $27.9 million Board of County Commissioners approved the County’s NSP Plan on November 18, Grant agreements were executed with HUD on March 9, 2009.

Background Orange County Residential Foreclosures

Background

NSP Eligible Activities: Acquisition, rehabilitation and sale of foreclosed homes Acquisition and rehabilitation of foreclosed rental properties Demolition of abandoned and blighted properties Redevelopment of demolished or vacant properties Downpayment and closing cost assistance for Homebuyer

Background Significant program requirements: Purchase foreclosed property at a discount from current appraised value –Changed from 5% to 1 % discount for all purchases Program must serve low to moderate income families Twenty-five percent of program funds must serve very low income families

Presentation Outline Background Implementation Strategy Performance Review Challenges and Opportunities Additional NSP Activities Summary

Implementation Strategy Internal NSP Team County Attorney’s Office Property Acquisition Housing Rehabilitation Marketing & Qualifying Fiscal Purchasing Division Real Estate Division Housing and Community Development Division Mitchell Glasser, Manager Frantz Dutes, Assistant Manager

Implementation Strategy External Partners Orlando Regional Board of Realtors Mortgage Brokers and Financial Institutions Vendors: –Contractors and trades –Appraisers –Surveyors –Title Companies

Implementation Strategy External Partners Progress Energy (Energy saving audits) Fannie Mae (Streamline acquisition process) National Community Stabilization Trust (First look program)

Implementation Strategy National Community Stabilization Trust First Look Program Wells Fargo (Seller) J.P. Morgan Chase (Seller) Bank of America (Seller) The Trust (Transfer) Orange County (Buyer)

Implementation Strategy Orange County’s NSP Model Homeownership Outreach Qualify Down Payment Assistance Homebuyer Identify Acquire Rehab NSP Properties

Presentation Outline Background Implementation Strategy Performance Review Challenges and Opportunities Additional NSP Activities Summary

Performance Review Properties acquired/assisted 30 Properties under contract 11 Offers pending 12 Properties reviewed to date 300 Expenditures Year to date TOTAL $2,164,766 As of August 18, 2009

Performance Review Comparative Analysis of NSP Grantees Expenditures GranteeGrant AmountExpenditure Dade County$62,207,200$122,075 Orange County27,901,773 2,164,767 Palm Beach County27,700,3400 Jacksonville – Duval26,175,317100,373 Hillsborough County19,132,9780 Lee County18,243,867328,779 Broward County17,767,58913,802 Port St. Lucie13,523,1321,418,908 Seminole County7,019,5140 Orlando6,730,2630 As of August 18, 2009

Presentation Outline Background Implementation Strategy Performance Review Challenges and Opportunities Additional NSP Activities Summary

Challenges and Opportunities Challenges: A warmer housing market –Inventory of homes for sale has decreased in half to 8.1 month supply –Number of homes sold in July 2009 up 45% from July 2008 –Investors are actively pursuing & buying foreclosed properties

Challenges and Opportunities Opportunities: Stabilization of neighborhoods Job creation and retention Support of green initiatives Ensuring long term homeownership

Presentation Outline Background Implementation Strategy Performance Review Challenges and Opportunities Additional NSP Activities Summary

Additional NSP Activities –$7.0 million in NSP funds allocated –Acquisition and rehabilitation of foreclosed rental housing for very low income households Issuance of a multi-family RFP

Additional NSP Activities Demolition of blighted structures Partnership with our Code Enforcement Division

Additional NSP Activities Created NSP Web Site

Presentation Outline Background Implementation Strategy Performance Review Challenges and Opportunities Additional NSP Activities Summary

NSP organizational structure in place Additional activities under way Addressing challenges and meeting milestones Potential expansion of the program through NSP II competitive grant

For More NSP Information: www. ocfl.net/housing