SUBJECT
title
Public Hearing and Introductory Ordinance amending the City of Laredo Municipal Housing Fund FY2023-2024 annual budget by increasing revenues and expenditures in the amount of $38,000.00. Also, establishing the rental rates as follows: $440.00 for efficiency units and $460.00 for 1 bedroom units; the rental amount fee includes water service cost; to form tenant policies for the Market St. elderly affordable rental housing project, an elderly affordable rental housing project located at 870 Sanders Avenue; to provide for rents to be in compliance and charged at home program rent limits and occupancy to be limited to elderly individuals/households with incomes at or below 60% of the area median income, as set annually by the U.S. Department of Housing and Urban Development; and leasing the units on a first-come, first-serve basis.
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PREVIOUS COUNCIL ACTION
On 01/17/2023, City Council approved the award of construction contract to the lowest bidder Midas Contractors, LLC, in the amount of $1,222,000.00.
BACKGROUND
The construction of these rental units was funded through the U.S. Department of Housing and Urban Development’s Home Investment Partnerships Program and built on a City owned property. As such, the rental of these units must benefit persons of low income and provide affordable rents in compliance with HOME program rules and regulations.
The proposed initial rent per month is $440 for efficiency units and $460 for one (1) bedroom units. The rent amount for these units include water service. The rental rates are subject to change, as HOME program rents are set annually by the U.S. Department of Housing and Urban Development.
Based on the great need that exists in the community to provide affordable housing to elderly individuals in the City of Laredo, it is proposed that occupancy of the units be limited to elderly individuals/households with incomes at or below 60% of the median income as set annually by HUD.
COMMITTEE RECOMMENDATION
N/A
STAFF RECOMMENDATION
recommendation
That this Ordinance be introduced.
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Fiscal Impact
Fiscal Year: 2023-2024
Budgeted Y/N: No
Source of Funds: Rental Income
Account #: 555-3925
Change Order: Exceeds 25% Y/N: N/A
FINANCIAL IMPACT:
Funds to be appropriated as follows:
Annual Amended
Line Item Name Appropriation Amendment Budget
Revenues:
Market Tiny Homes 0 $38,000 $38,000
555-3925
Expenses:
Market Tiny Homes 0 $38,000 $38,000