1. Department of Local Affairs Division of Housing May 13, 2015

2. 2 Division of Housing  The Division of Housing (DOH) was created by statute in 1970 to improve the access of all Coloradoans to decent, affordable housing.  DOH has an Advisory Board, Division Director and Staff to manage allocation of federal and state funds, manage Section 8 programs and certify all manufactured housing in Co.

3. Division of Housing Mission and Roles  Gap Financing  Statewide Housing Authority  Codes & Manufactured Housing 3

4. 4 State Housing Board  A seven member board that advises Governor, and General Assembly on state housing issues  Reviews requests for funding from across the state at monthly board meetings Division of Housing

5. 5 DOH Budget 20132014 HDG (state)$4,200,000$8,200,000 HDLF (state)$1,214,000 HOME$4,542,000$4,638,500 CDBG$2,685,000$2,730,000 ESG$1,420,000$1,674,830 NSP PIup to $8 M CHIF (state)$13.2$23 M

6. 6 Division of Housing Funding Sources Funding Affordable Housing in Colorado

7. 7 Funding Sources  Federal CDBG: DPA and SFOO Rehab, Land Acquisition, or acq/rehab of property HOME: CHDO, acq/rehab, new construction, DPA and SFOO Rehab NSP (Neighborhood Stabilization): Eligibility by neighborhood ESG: Homeless Assistance CDBG-DR – Federally designated counties Division of Housing

8. 8  State HDG - Housing Development Grant, state general fund HDLF - Housing Development Loan, state general fund Funding Sources

9. 9 Division of Housing CHIF 30% of fund can convert to long-term debt (housing for people with special needs can exceed 30% cap) $3 million max loan Preference for projects using CDFI funding  Custodial Funds $36 Million Revolving Loan Pool Low interest, short-term loan pool

10. 10 What we fund Preservation of affordable housing Acquisition and Rehabilitation New Construction Rental and SF Housing Downpayment Assistance and Owner Rehab Special Needs Housing Permanent Supportive Housing Homeless Shelters Transitional housing TBRA Operating for CHDOs Division of Housing

11. 11 Division of Housing Application Process Pre-application meetings with Development Specialist Submit a full application at beginning of any month (development projects only) Staff Pro/Con State Housing Board Presentation Award Letter Approximately 90-120 days to funding

12. 12 Calendar  Application Deadlines by type:  July 1st – Owner Occupied Rehab (SFOO)  September 1 st – CHDO Operating  November 1st – Down Payment Assistance (DPA)  Accepted monthly - Rental, Special Needs, Ownership Development, Pre-Development Division of Housing

13. 13 Division of Housing Underwriting Principles  GAP financing  Underwriting parameters by unit count  Local contribution or support is important  Use covenant for long term affordability  Monitoring of property (on-going?)  Outcome based programs  Federal cross cutting requirements may apply

14. 14 Division of Housing Underwriting Criteria  Development and Management capacity  Compliance –  HUD regulations  DOH guidelines  Production – # units/year completed  Local $ or other soft money grants  Pro/Cons & Matrices

15. 15 Division of Housing Underwriting the Gap  <$10,000 / unit  Source is determined by use, location & fund availability  Underwriting ranges  Long-term financial feasibility  IS THERE A GAP???

16. 16 Division of Housing Revolving Loan Funds  RLF

17. 17 Division of Housing Programs 1. Single Family Owner Occupied (SFOO) Rehabilitation 2. Down Payment Assistance (DPA)  Either CDBG or HOME funds  Ongoing programs (not one-time development projects)

18. 18 Division of Housing Programs o DOH grants funds to agencies for administration & cost of 15-30 homes Agency loans funds to clients Clients’ repayments to agency are “Program Income,” reused for new clients As revolving loan pool grows, DOH only needs to fund administration o DOH RLF Guidelines

19. 19 Division of Housing MF Rental

20. 20 Division of Housing  DOH reviews all developments to determine financial need based on gap analysis  Provide funds necessary to complete the project while not providing undue enrichment to the owner/developer  Requires review of other funding sources and verification of owner developer assumptions MF Underwriting

21. 21 Division of Housing DOH staff contacts  CHDOs-Denise Selders  Revolving Loan Funds-Ann Watts  Flood Recovery Efforts-Alison O’Kelly  Homeless Prevention Team-  Policy and Legislation-Alison George  Rural Preservation-Bill Simpson  Asset Management Team-Carrie Kronberg  Underwriting-Development Specialists by Region  Training Programs-Denise Selders

22. 22 Division of Housing GOAL: HOME  A place where one lives; a residence.  A dwelling place together with the family or social unit that occupies it; a household.  An environment offering security and happiness.