§ 11-33. Uses and restrictions upon funds for the Lake County Housing Assistance Program.

(a)

Funds deposited in the "Lake County Affordable Housing Assistance Trust Fund" shall be used to implement the Lake County Housing Assistance Program as provided for in the Lake County Housing Assistance Plan adopted by Resolution No. 1993-60.

(1)

All monies of Lake County received from its share of the local housing distribution pursuant to the State Housing Initiative Partnership Act, other monies received or budgeted by Lake County to provide funding for the Lake County Housing Assistance Program, as well as monies generated from Lake County Housing Assistance Program activities such as interest earned on loans, shall be deposited into the Lake County Affordable Housing Assistance Trust Fund. Expenditures other than for the administration and implementation of the Lake County Affordable Housing Assistance Program shall not be made from the Lake County Affordable Housing Assistance Trust Fund.

(2)

Amounts on deposit in the Lake County Affordable Housing Assistance Trust Fund shall be invested in the state board of administrator's local government surplus fund trust fund established pursuant to F.S. Ch. 218, Pt. IV. All investment earnings shall be retained in the Lake County Affordable Housing Assistance Trust Fund and used for the purposes thereof. Until used for the purposes thereof, monies in the Lake County Affordable Housing Assistance Trust Fund shall be separately stated as a special revenue fund in the audited financial statements of Lake County. Copies of such audited financial statements shall be forwarded to the Agency as soon as such statements are available.

(b)

Funds distributed from the "Lake County Affordable Housing Assistance Trust Fund" for implementation of the Lake County Housing Assistance Program shall be used in accordance with the following criteria:

(1)

A minimum of seventy-five (75) percent of the funds shall be used for construction, rehabilitation or emergency repairs. Funds not used for construction, rehabilitation or emergency repair shall be used for administrative expenses or for grants or loans to community-based organizations established for the purpose of providing affordable housing. The following activities constitute construction, rehabilitation or emergency repair:

a.

New home construction: Expenditure of funds used to compensate all related costs attributable to the construction of a new home including such costs as, engineering studies, appraisals, site development, materials, labor, permitting, impact fees, infrastructure expenses and land purchase.

b.

Down payment assistance: Expenditure of funds used to pay financing or "buy-down" costs including all or part of the down payment, closing costs, surveys, appraisals, points limited to one (1), and other landing preparation activities.

c.

Rehabilitation: Expenditures of funds used to rehabilitate eligible housing for eligible persons.

d.

Emergency repair: Expenditure of funds used to weatherize eligible housing for eligible persons.

e.

Weatherization: Expenditure of funds used to weatherize eligible housing for eligible persons.

(2)

A minimum of sixty-five (65) percent of the funds shall be used for homeownership activities limited to the construction, rehabilitation and emergency repair activities identified above.

(3)

Five (5) percent of the funds shall be used for administrative expenses. If the county wishes to spend an additional five (5) percent on administrative expenses, such expenditure must be approved by resolution of the board of county commissioners. No more than ten (10) percent of SHIP funds shall be used for administrative expenses. Such administrative expenses shall be limited to the following expenditure categories:

a.

Salaries of persons directly responsible for preparation of the plans or reporting required as part of the administration of the Lake County Housing Assistance Program.

b.

Office expenses of persons responsible for the administration of the Lake County Housing Assistance Program.

c.

Studies conducted by county or by consultants selected by county to provide data on affordable housing needs and demands within the county.

(5)

The county shall not treat as administrative expenses any costs previously borne by another funding source which could continue to be available at the time the Lake County Housing Assistance Program is established.

(6)

The Lake County Housing Assistance Program shall include all other lawful objectives not previously listed if said objectives have been adopted into the Lake County Housing Assistance Plan in the manner provided for by F.S. §§ 420.907 through 420.9079, and Chapter 9I-37, Florida Administrative Code.

(c)

The sales price of new or existing eligible housing, constructed, rehabilitated, or otherwise assisted with funds provided for the Lake County Housing Assistance Program shall not exceed ninety (90) percent of the median area purchase price in the area where the eligible housing is located as established by the United States Department of Treasury in accordance with Section 3(b) 2 of the United States Housing Act of 1937.

(d)

Loans provided under the Lake County Housing Assistance Program shall not have terms exceeding thirty (30) years, except for deferred payment loans.

(e)

All eligible housing constructed, rehabilitated, or otherwise assisted with funds provided for the Lake County Housing Assistance Program shall be occupied by very low-income, low-income, or moderate-income persons or persons with special housing needs. At least thirty (30) percent of the eligible housing units must be occupied by very low-income persons and at least an additional thirty (30) percent by low-income persons. The remainder shall be occupied by very low-income, low-income, or moderate-income persons or persons with special housing needs.

(f)

All eligible rental housing constructed, rehabilitated, or otherwise assisted with funds provided for the Lake County Housing Assistance Program shall provide the minimum set aside of units for very low-income, low-income, and moderate-income residents for at least fifteen (15) years.

(g)

The amount of monthly mortgage payments and the amount of monthly rents charged by the eligible sponsor shall be affordable for very low-income, low-income, and moderate-income persons who will benefit from the Lake County Housing Assistance Program.

(h)

All eligible rental housing units constructed, rehabilitated, or otherwise assisted with funds provided for the Lake County Housing Assistance Program shall be monitored annually for compliance with tenant income requirements and affordability requirements as specified in Rule 9I-37.015, Florida Administrative Code, as amended from time to time.

(i)

Eligible housing constructed, rehabilitated, or otherwise assisted with funds provided for the Lake County Housing Assistance Program shall be subject to the long-term affordability and recapture requirements as provided by the County.

(j)

Eligible sponsors receiving assistance from both the State Housing Initiative Partnership (SHIP) Program and the Low Income Housing Tax Credit (LIHTC) Program shall be required to comply with the income, affordability and other LIHTC requirements. Similarly, any eligible housing receiving assistance from SHIP and other federal programs shall be required to comply with any requirements specified by the federal program in addition to SHIP Program requirements.

(k)

Assisted homes shall be located in Lake County and shall serve as the primary residence of program beneficiaries.

(l)

Proceeds provided for the Lake County Housing Assistance Program shall not be used as a pledge of the debt service on bonds or as rent subsidies.

(Ord. No. 1993-6, § 3, 4-20-93; Ord. No. 1994-1, §§ 1, 2, 1-4-94)