September 17, 2015

Jodi Gingiss, Community Development Administrator Monika Bobo, Grant Administration Specialist Eric Foote, Grant Administration Specialist Agnes Monton, Principal Accountant Laura Walley, Executive Secretary 2

City of Waukegan ◦ Ezell Robins, Director of CDBG Department ◦ Pam Jeffries, Rehabilitation Coordinator ◦ Laraesa Garland, Rehabilitation Coordinator City of North Chicago ◦ Ron Lanz, Director of Economic & Community Development ◦ Nimrod Warda, Senior Planner 3

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5 Cost-Burdened Households Over Crowding Lack of Affordable Housing Options Sub-Standard Housing Units Lake County has a duty to Affirmatively Further Fair Housing, Identify Housing Needs, and Develop Housing Goals based on the Identified Needs. P r i o r i t y N eed Goal #Goal # Lake County Consolidated Plan GOALS 2016 Target HOME/CDBG Funding Amt HOUSINGHOUSING 1 Rehabilitate Existing Housing: Affordable & Special Needs $866,648 2 Develop New Housing: Affordable & Special Needs $454,418 4 Subsidize Housing for Low/Mod Income Families $277,128 N E I G H B O R H OO D S 5 Provide Adequate Low/Mod Income Area Infrastructure $344,750 6 Revitalize Low/Mod Income Area Business Districts $337,014 7Assist People with Disabilities$253,711 8Provide Welcoming Communities$103,069 JOBSJOBS 9Create Jobs for Low/Mod Income Workers$118,209 10Provide Services for Job Stability$112,276

HOME Program CDBG Program LC Affordable Housing Program 6 CDBG HOME LC AHP ConPlan Goal # Housing-RelatedEligible Activities 2016 Target Funding Amt 1 Rehabilitate Existing Housing: Affordable & Special Needs Acquisition / Rehab / Disposition $ 866,648 2Develop New Housing: Affordable & Special Needs Infrastructure for Site Prep / Acquisition / Construction / Demolition / Disposition $ 454,418 4Subsidize Housing for Low/Mod Income Families Direct Homeownership Assistance / Homeownership Counseling / Rental Assistance $ 179,337 Lake County Affordable Housing Program Any of above $ 300,000 TOTAL $ 1,800,402

Must meet HUD Definition of “Housing”: single-family housing, permanent housing for disabled homeless, transitional housing, single-room occupancy, and group homes. Housing does not include : emergency shelters or facilities Homeowner Rehabilitation Homebuyer Activities Rental Housing Tenant-Based Rental Assistance 7 Municipalities and townships are eligible to apply for CDBG infrastructure, demolition and/or acquisition funds to create new affordable housing, including to convert properties from non-residential to residential use!

No Spending Until Environmental Review Completion Must Initiate Project Within 6 Months Must Complete Project Within 18 Months Project In-Use: Rental: Lease-up within 6 Months; 18 Month Ineligibility Trigger Homebuyer: Sold within 9 Months, or a Rental Conversion 8

25% HOME Match – a permanent contribution Paid on a Reimbursement Basis 10% Construction Retainer + 5% Beneficiary Retainer Subsidy Limits After Rehab Value & Sales Price Limits Rent Limits 9 0 BR1 BR2 BR3 BR4+ BR $132,814$152,251$185,136$239,506$262,903 1-unit2-unit3-unit4-unit $214,000$274,000$331,000$410,000 0 BR1 BR2 BR3 BR4 BR Low HOME Rent $665$712$855$988$1,102 High HOME Rent $812$914$1,093$1,261$1,388

Environmental Review & Inspections Long-term Monitoring All applicants must include in their pro forma a $1,500 - $2,000 fee for environmental review and construction inspections by Lake County. All applicants for rental housing must include a monitoring fee of $250/year in the operating pro forma. 10

Lake County Property Standards MBE/WBE Lake County Inspections – 3 Davis-Bacon: HOME – 12 units; CDBG – 8 units Illinois Prevailing Wage: everyone else Section 3: $200,000+ in assistance Lead-Based Paint Requirements 11

Beneficiary Income Limits & Income Targeting Lease Requirements Proscribed Rent Levels Rent Increases Must be Approved Record Retention – 5 Years Annual Income Certification & Rental Compliance Log 12

All Projects Environmental Review No Lobbying Audit Records Access MBE/WBE Conflict of Interest Drug Free Workplace Relocation Contract Work Hours & Safety Standards Act Copeland “Anti-Kickback” Act Fair Housing & Equal Opportunity Lead-Based Paint Affirmative Marketing Tenant Selection Plan (rental) 13

Prior to Activity CompletionAfter Activity Completion Quarterly Progress Report Construction Inspections Project Completion Form Initial Beneficiary Information Rental: Annual Property Standard Certification Financial Report Annual Income Certification and Rental Compliance Log Homebuyer: Long-term Principal Residency Requirement 14

Inspections On-Site Monitoring Within 12 months of Activity Completion Once every 3 years Every 1, 2, or 3 years 15 How Long? 5, 10, 15, or 20 years Depends on Funds/Unit Begins at Project Completion

Significant Changes Sections Scoring Criteria Attachments Submission ◦ 1 master ◦ 5 copies ◦ 1 electronic 16

17 Letter of Intent Due10/16/2015 Application Due11/16/2015 Advisory & Recommendation Committee Meeting 12/16/2015 HCDC Public Hearing02/10/2016 Lake County Board Meeting03/08/2016

What is a CHDO? Statutory Requirements Operating Grant  Up to 5%  12 months to spend  Receive CHDO Reserve Funds within 24 months Separate Application  Due: 10/16/2015  Two Year Certification  No Public Hearings or County Board Meeting 18

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