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RESOLUTION AUTHORIZING MAYOR OR MAYOR�S DESIGNEE TO AMEND THE FY 2008 ACTION PLAN AND THE FY 2008-2012 CONSOLIDATED PLAN TO CHANGE THE SCOPE OF THE COMMUNITY DEVELOPMENT BLOCK GRANT FUNDED GAITA GARDENS PROJECT FROM HOMEOWNERSHIP TO RENTAL; AUTHORIZING THE MAYOR OR MAYOR�S DESIGNEE TO EXECUTE ALL CONTRACTS, AGREEMENTS AND AMENDMENTS NECESSARY TO CARRY OUT THE ABOVE PROJECT; AND AUTHORIZING THE MAYOR OR MAYOR�S DESIGNEE TO EXERCISE THE CANCELLATION PROVISIONS CONTAINED THEREIN

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WHEREAS, this Board desires to accomplish the purposes outlined in the accompanying memorandum, a copy of which is incorporated herein by reference,

NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF MIAMI-DADE COUNTY, FLORIDA, that this Board authorizes the County Mayor or County Mayor�s designee to amend the FY 2008 Action Plan and the FY 2008-2012 Consolidated Plan to change the scope of the Gaita Gardens project, which is funded with Community Development Block Grant funds, from homeownership to rental; authorizes the County Mayor or County Mayor�s designee to execute contracts, agreements and amendments, as are required, following approval by the County Attorney�s Office and subject to proper execution by the parties; and to exercise the cancellation provisions contained therein.

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Date:

To: Honorable Chairman Joe A. Martinez
and Members, Board of County Commissioners

From: Alina T. Hudak
County Manager

Subject: Resolution Amending FY 2008 Action Plan and FY 2008-2012
Consolidated Plan to Change Scope of Gaita Gardens Project

STAFF RECOMMENDATION
RECOMMENDATION
It is recommended that the Board of County Commissioners (BCC) authorize the County Mayor or the County Mayor�s designee to substantially amend the FY 2008 Action Plan and FY 2008-2012 Consolidated Plan to change the scope of the Gaita Gardens project from homeownership to rental.

SCOPE
Gaita Gardens, an eight unit housing rehabilitation project is located at 1254 and 1260 NW 59 Street, Miami, FL 33142, in Commission District 3.

FISCAL IMPACT/FUNDING SOURCE
There is no fiscal impact to the County by changing the project scope to rental. This item simply allows the project to convert the eight homeownership units to rental units.

TRACK RECORD/MONITORING
Funded activities as part of any Action Plan are monitored to ensure agencies are in compliance with federal regulations, such as the progress of each activity towards accomplishing the National Objectives set by the US Department of Housing and Urban Development (US HUD). The Department of Housing and Community Development (DHCD) monitors all Community Development Block Grant (CDBG) funded activities. Through the review of quarterly progress reports, DHCD will monitor this project to ensure compliance with federal guidelines and County policies.

MANAGER'S BACKGROUND
BACKGROUND
A total of $1,148,435 in CDBG funds was allocated to complete rehabilitation of the eight units comprising this project through the FY 2008 Action Plan. The project contemplated the rehabilitation of eight two-bedroom housing units for sale as condominiums to eligible buyers that meet income requirements. However, the collapse of the housing market and the economic downturn created adverse market conditions for home sales. As a consequence, property values have fallen significantly since the inception of this project and the market for condo conversions is nearly non-existent. Because Gaita Gardens is a stalled homeownership project (condo conversion), the owner has requested that the County amend the scope, changing from homeownership to rental. DHCD has reviewed this request and concurs that a change in strategy is warranted. Staff has met with the owner to review the project�s current feasibility and the likelihood of its completion to meet the National Objective: Housing for low to moderate income individuals. In the current housing market, the size and location of the units are better suited for rental opportunities. The owner has provided documentation in support of this option and staff will continue to work with the owner to closeout the project.

The proposed change in the scope from homeownership to rental constitutes a substantial change in the FY 2008 Action Plan and FY2008-2012 Consolidated Plan, and is recommended for Board approval. Upon approval of the Board, the project can move forward as affordable rental units. Below are the details of the project.

Agency/Recipient Project or Activity Name CDBG Award Amount Approving BCC Resolution Commission District US HUD Activity ID Gaita Gardens 1254 and 1260 NW 59th Street Corp. Gaita Gardens Rehab and Condo Conversion $1,148,435 R-1222-07 3 4602


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Assistant County Manager