Legislative Matter

Miami-Dade Legislative Item
File Number: 161869

Printable PDF Format

File Number: 161869

File Type: Resolution

Status: Deferred by the Board

Version: 0

Reference:

Control: Board of County Commissioners

File Name: COMMUNITY LAND TRUST

Introduced: 8/22/2016

Requester: NONE

Cost:

Final Action:

Agenda Date: 9/7/2016

Agenda Item Number: 11A4

Notes:

Title:

RESOLUTION ADOPTING THE POLICY THAT A COMMUNITY LAND TRUST IS NECESSARY IN MIAMI-DADE COUNTY IN ORDER TO FURTHER THE DEVELOPMENT AND RETENTION OF PERMANENT AFFORDABLE HOUSING AND COMMITTING TO THE ESTABLISHMENT OF A PERMANENT COMMUNITY LAND TRUST IN MIAMI-DADE COUNTY; ESTABLISHING A PILOT COMMUNITY LAND TRUST PROJECT MANAGED BY AN ORGANIZATION WITH THE NECESSARY AND RELEVANT EXPERTISE WITH THE GOAL OF PRODUCING AT LEAST 100 UNITS OF AFFORDABLE HOUSING WITHIN FIVE YEARS; DIRECTING THE COUNTY MAYOR OR COUNTY MAYOR’S DESIGNEE TO RECOMMEND WHICH ORGANIZATION WILL BE SUPPORTED TO BE THE COMMUNITY LAND TRUST FOR MIAMI-DADE COUNTY AND TO CREATE PROGRAM GUIDELINES FOR THE PILOT PROGRAM, TO FIND SEED MONEY, REAL PROPERTY, OR A COMBINATION OF THE TWO, TO SUPPORT THE PILOT PROGRAM, AND TO CONSULT AND/OR PARTNER WITH EXISTING LOCAL COMMUNITY LAND TRUST AGENCIES; AND DIRECTING THE COUNTY MAYOR OR COUNTY MAYOR’S DESIGNEE TO PREPARE AND SUBMIT REPORTS AS PRESCRIBED HEREIN [SEE ORIGINAL ITEM UNDER FILE NO. 161591]

Indexes:	COMMUNITY LAND TRUST
	AFFORDABLE HOUSING

Sponsors:	Daniella Levine Cava, Prime Sponsor
	Audrey M. Edmonson, Co-Sponsor
	Barbara J. Jordan, Co-Sponsor

Sunset Provision: No

Effective Date:

Expiration Date:

Registered Lobbyist:

None Listed

Legislative History
Acting Body	Date	Agenda Item	Action	Sent To	Due Date	Returned	Pass/Fail

Board of County Commissioners	9/7/2016	11A4	Deferred				P
REPORT:	Commissioner Levine Cava expressed her appreciation to Commissioners that contributed to the common sense legislation addressing the County’s housing crisis. She stated that this resolution complimented that legislation, sponsored by Commissioner Heyman nearly a decade ago. Commissioner Levine Cava noted this resolution took things a step further by creating a pilot community land trust program in Miami-Dade County which would be a collaborative effort between residents, community organizations, universities, philanthropic organizations, and the Department of Public Housing and Community Development. She explained that the goal was to create 100 housing units that would remain affordable into the future. Commissioner Levine Cava pointed out that the cost of housing was out of reach for so many working families and young professionals. Throughout the Country, she noted, Miami had the highest percentage of working households that spent more than half their income on housing. Commissioner Sosa mentioned that other jurisdictions had issues with the Community Land Trust, noting this took away transparency when dealing with public land. She commented that officials in other areas were arrested for transferring public land to Community Land Trusts which sold the properties at a huge discount to private developers. Commissioner Sosa pointed out that establishing a trust that's not under the Board’s control would present problems. She inquired about the source of funds, the location of the affordable housing, and the land trust’s members. Commissioner Sosa noted that she was not in support of the foregoing proposed resolution. Commissioner Diaz noted he concurred with Commissioner Sosa’s comments, pointing out that the Board was unfamiliar with this entity but ultimately would be held responsible for what this entity did and everything that encompassed this issue. He noted that property in Miami-Dade County was extremely valuable. Commissioner Diaz pointed out that he understood the intent of the foregoing resolution; however, he would rather see the preservation of Workforce Housing as opposed to creating another entity and empowering that entity to do something that might be great but the Commission has control of. Commissioner Diaz noted that he was not in support of the foregoing proposed resolution. Mr. Michael Liu, Executive Director, Public Housing and Community Development advised that the Department’s staff had no problem with completing a report as set forth in this resolution, noting it did not request the Board to take any specific action. He said that although there were recommendations, it was up to the Board to support them or not support them. Mr. Liu explained that Community Land Trusts did not necessarily need the County’s involvement; they were non-profit organizations, many different non-profit community land trust organizations could be created, and it was possible that this may become a competitive format to see which Community Land Trust would best serve the County. He noted this was simply another tool to attack the issue of affordable housing in different parts of the County. Mr. Liu pointed out that staff supported using best practices to avoid any previous mistakes made by other entities. He said there were many successful Community Land Trusts, as a concept of land ownership and approved by the U.S. Department of Housing and Urban Development with a long history in the United States. Mr. Liu also pointed out that staff worked with the University of Miami to get resources for a Community Land Trust study across the United States and linking that with conditions in Miami-Dade County. Commissioner Souto expressed his concern regarding Community Land Trusts taking over government land. He urged the Board to be careful of adopting policies that will give too much control to an outside entity, and asked that more research be conducted regarding this issue. Commissioner Jordan noted that she co-sponsored this item because the Board needed to do everything possible to make affordable housing a priority. She indicated that the Board passed legislation directing the Mayor to review the possibility of bringing all vacant land and properties close to the transit system but land opportunities also existed that were not subject to availability for the Ccounty and a Land Trust would be able to go further than that. Commissioner Jordan said her only reservation was whether or not this could be done within the County. She asked Commissioner Levine Cava if staff could look at a hybrid model in terms of representation of the Land Trust from a governmental entity to address some of the concerns that had been raised. Commissioner Jordan noted that if the Board adopted this resolution, then staff needed to bring back an Implementation Order (IO) or something that would include representation from the governmental entity to avoid the kinds of issues that Commissioner Sosa mentioned. Commissioner Diaz suggested deferring the foregoing proposed resolution and bringing it back after revamping the report. Commissioner Levine Cava replied to Commissioner Diaz’ suggestion noting that she would be amenable to amending the report contained in Section 3 and to clarify that it would include the proposed entity’s membership. After listening to her colleague's express their concerns, Commissioner Heyman said pointed out that she had some of the same concerns, noting this resolution needed to be reworked to include more flexibility and greater County government control. Commissioner Jordan noted that she would like to have a Sunshine Meeting with Commissioners Levine Cava and Suarez regarding this matter. The Board proceeded to vote on the deferral of the foregoing proposed resolution.

County Attorney	8/22/2016		Assigned	Brenda Kuhns Neuman		8/22/2016

Unincorporated Municipal Service Area (UMSA) Cmte	7/12/2016	2A AMENDED	Forwarded to BCC with a favorable recommendation with committee amendment(s)				P
REPORT:	Assistant County Attorney Miguel Gonzalez read into the record the title of the foregoing proposed resolution. Commissioner Levine Cava began by recognizing Commissioner Jordan’s role as an advocate for developing and implementing equitable housing policies and explained that the foregoing proposed resolution sought to create a pilot community land trust program utilizing a public private philanthropic partnership (P4) approach. She added that the goal of the program was to create 100 affordable housing units and was intended to complement prior work done by Board of County Commission (BCC) Chairman Monestime and Commissioners Jordan, Edmonson and Moss. Commissioner Heyman recalled prior legislation and attempts by the BCC to develop and implement Community Land Trusts (CLT) which were unsuccessful due to inadequate oversight and transparency in the process. She voiced her support for the foregoing resolution and expressed optimism that the P4 approach would be more successful than previous attempts at creating CLTs. Commissioner Heyman spoke about the length of the land leases and stated that she was hopeful that recent legislation addressing accountability would be beneficial to the promotion of CLTs moving forward. Commissioner Jordan noted that while she was in support of the foregoing resolution, she needed clarification as to whether the item would be complementary to; or in conflict with previously adopted legislation, Resolution Number R-292-16; which directed the County Mayor or The County Mayor’s designee to develop and submit a 10-year plan to designate county-owned vacant land within a one mile radius of transit corridors for the development of workforce and affordable housing, and to prepare and submit a feasibility study related to the acquisition of privately owned properties within a one mile radius of transit corridors for these purposes. She inquired if Prime Sponsor, Commissioner Levine Cava, would consider a friendly amendment which would require the CLT be a public entity instead of a private non-profit. Commissioner Levine Cava stated that the foregoing proposed resolution was intended to be complementary to existing legislation and acknowledged her colleagues’ concerns regarding maintaining oversight and accountability of all involved parties. She stressed her belief that a collaborative venture with a private non-profit entity would be more beneficial for the advancement of the pilot project and noted that the County would maintain contractual oversight. Director for Miami-Dade Public Housing and Community Development Department (PHCD), Michael Liu discussed the history of CLTs and reviewed the different forms of trusts that could be implemented. He explained that organizational structures of CLTs were dependent on a number of factors; such as the environment, local government interest, availability of land and development opportunities. Mr. Liu voiced his optimism that the framework of the foregoing proposed resolution would provide the optimal environment to foster a successful collaboration between the County and private entity to develop affordable housing communities. Commissioner Levine Cava pointed out that the foregoing item directed the Mayor to seek funding for a County position/employee who would be solely responsible for monitoring the pilot program. Commissioner Jordan requested Deputy Mayor Jack Osterholt and Director for Miami-Dade Public Housing and Community Development Department (PHCD), Michael Liu, to review the foregoing resolution and previously adopted legislation (Resolution Number R-292-16) which directed the County Mayor or The County Mayor’s designee to develop and submit a 10-year plan to designate county-owned vacant land within a one mile radius of transit corridors for the development of workforce and affordable housing, and to prepare and submit a feasibility study related to the acquisition of privately owned properties within a one mile radius of transit corridors for these purposes; and to determine whether both legislative items could realistically work in conjunction with each other providing collaborative support. She also asked for a report clarifying how the county would maintain oversight, transparency and accountability in public/private endeavors and partnerships. Commissioner Jordan requested both reports be submitted before the foregoing item was placed on the Board of County Commission’s (BCC) agenda for consideration. Commissioner Levine Cava pointed to the “Office of New Americans” initiative as an example of a blended model where the program was managed by an independent private non-profit entity with County participation and oversight. Commissioner Bovo inquired if the land referred to in the foregoing proposed resolution would be County owned properties or if eminent domain was applicable. Commissioner Levine Cava confirmed that the land in question would be County owned surplus property. She noted that the foregoing proposed resolution also contemplated utilizing a new Housing and Urban Development (HUD) program where private land could be purchased by the non-profit entity for development into a CLT. Responding to Commissioner Bovo’s question about whether property taxes would be used to purchase properties, Commissioner Levine Cava reassured her colleagues that property taxes would not be used. She thanked the supporters of the item for taking the time to address the Committee members and asked Assistant County Attorney Brenda Kuhns Neuman to read the amendments to the foregoing proposed resolution into the record. Assistant County Attorney Neuman noted that the foregoing proposed resolution was amended to: ~ Add a new “whereas” clause on handwritten page 6 making it the 3rd from the last “whereas” clause. The new clause should read as follows, “Whereas on June 5, 2007 then County Manager George Burgess submitted a report to the Board in response to Resolution Number R-1434-06 reviewing and making recommendations as to the implementation of a Community Land Trust, “The 2007 Report” ~ Include the following language, “Extremely low to moderate income residents and the community organizations that represent them” immediately following “Community Land Trust Organizations,” found in the first sentence of Section 4, handwritten page 7. ~ Add language to Section 4, handwritten page 7, which would then become the last sentence and read as follows, “the County Mayor or County Mayor’s designee is further directed to review the 2007 Report in developing the Community Land Trust Pilot Program. The Committee proceeded to vote on the foregoing proposed resolution as amended. Commissioner Jordan restated her interest in getting additional information about how the foregoing item would work in conjunction with previously adopted legislation and how the County proposed to maintain oversight and accountability for the pilot program. Commissioner Levine Cava requested a point of personal privilege to introduce Commission District 8’s newest volunteer and youth advocate, Mr. Christian Grossenbacher.

Legislative Text

TITLE
RESOLUTION ADOPTING THE POLICY THAT A COMMUNITY LAND TRUST IS NECESSARY IN MIAMI-DADE COUNTY IN ORDER TO FURTHER THE DEVELOPMENT AND RETENTION OF PERMANENT AFFORDABLE HOUSING AND COMMITTING TO THE ESTABLISHMENT OF A PERMANENT COMMUNITY LAND TRUST IN MIAMI-DADE COUNTY; ESTABLISHING A PILOT COMMUNITY LAND TRUST PROJECT MANAGED BY AN ORGANIZATION WITH THE NECESSARY AND RELEVANT EXPERTISE WITH THE GOAL OF PRODUCING AT LEAST 100 UNITS OF AFFORDABLE HOUSING WITHIN FIVE YEARS; DIRECTING THE COUNTY MAYOR OR COUNTY MAYOR�S DESIGNEE TO RECOMMEND WHICH ORGANIZATION WILL BE SUPPORTED TO BE THE COMMUNITY LAND TRUST FOR MIAMI-DADE COUNTY AND TO CREATE PROGRAM GUIDELINES FOR THE PILOT PROGRAM, TO FIND SEED MONEY, REAL PROPERTY, OR A COMBINATION OF THE TWO, TO SUPPORT THE PILOT PROGRAM, AND TO CONSULT AND/OR PARTNER WITH EXISTING LOCAL COMMUNITY LAND TRUST AGENCIES; AND DIRECTING THE COUNTY MAYOR OR COUNTY MAYOR�S DESIGNEE TO PREPARE AND SUBMIT REPORTS AS PRESCRIBED HEREIN [SEE ORIGINAL ITEM UNDER FILE NO. 161591]

BODY
WHEREAS, the County suffers from a shortage of affordable housing, which means housing that costs no more than 30 percent of household income, particularly for residents whose household incomes are not greater than 30 percent of the area median income (�Extremely Low-Income�); and
WHEREAS, this shortage of housing also impacts households whose incomes are not greater than 80 percent of area median income (�Low Income�) and households whose incomes are not greater than 140 percent of area median income (�Moderate-Income�); and
WHEREAS, this Board desires to provide opportunities for residents whose incomes are not greater than 140 percent of area median income (�Extremely Low- to Moderate-Income Households�) to secure housing that is decent and affordable; and
WHEREAS, high land costs in Miami-Dade County drive up the cost of housing, often making decent housing too expensive for Extremely Low- to Moderate-Income Households; and
WHEREAS, a community land trust (�Community Land Trust�) is a mechanism that may be used to combat the inflation of housing prices due to high land costs; and
WHEREAS, a Community Land Trust is a non-profit organization whose primary purpose is to hold legal and equitable title to and/or lease land or units, including but not limited to condominium units, for the purpose of preserving the longterm affordability of housing created for Extremely Low- to Moderate-Income Households; and
WHEREAS, when a Community Land Trust does not own the underlying land in a setting such as a condominium unit, it shall maintain the affordability of resale restricted condominiums or other forms of affordable housing by means of an affordability covenant incorporated within or otherwise made a part of the deed to one or more dwelling units within the regime; and
WHEREAS, among the Community Land Trust�s purposes may be the ability to undertake neighborhood development of a nonresidential nature that is ancillary to and compliments and supports affordable housing; and
WHEREAS, a Community Land Trust may also include among its purposes the acquisition of property for future development, as permitted by applicable law; and
WHEREAS, a Community Land Trust separates ownership of the land from ownership of the housing units in order to bring housing costs down and permanently preserve land for use as affordable housing; and
WHEREAS, a Community Land Trust sells or rents housing units to income-eligible households at an affordable price, while retaining ownership of the land; in homeownership, the land is then made available to the homeowner/renter through a long-term lease, such as a 99-year lease; and
WHEREAS, a Community Land Trust reduces the price of the homes, making them more affordable for Extremely Low- to Moderate-Income Households and ensures that the homes remain affordable in perpetuity; and
WHEREAS, other housing assistance from the County, municipalities, or other agencies and lenders may be used to further increase the affordability of the homes; and
WHEREAS, a homeowner who purchases a home from the Community Land Trust retains a long-term leasehold interest in the land and ownership of the improvements, which enables the homeowner to build equity in the home and to pass the home to heirs; and
WHEREAS, a renter who rents a home from the Community Land Trust will have access to quality, stable, affordable rental housing, which limits displacement due to rising housing costs and expands social and economic opportunity for the renters; and
WHEREAS, the structure used by the Community Land Trust is beneficial to the community because it ensures permanent affordability of rental and homeownership units, encourages investment into homes and the community, encourages maintenance by the homeowner of the property, and promotes economic opportunities for Extremely-Low to Moderate-Income Households, all of which have the effect of combating the deterioration and decline of neighborhoods; and
>>WHEREAS, on June 5, 2007, then County Manager George Burgess submitted a report to the Board in response to Resolution No. R-1434-06 reviewing and making recommendations as to the implementation of a Community Land Trust (the �2007 Report�); and<<1
WHEREAS, this Board desires to enable the establishment of a Community Land Trust in Miami-Dade County and desires to create a Community Land Trust program (�Community Land Trust Program�) in order to provide seed funding, property and other support to the Community Land Trust; and
WHEREAS, this Board desires to direct the County Mayor or County Mayor�s designee to develop the program described in this resolution and to report back to this Board with program guidelines and resources available,
NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF MIAMI-DADE COUNTY, FLORIDA, that:
Section 1. The foregoing recitals are incorporated in this resolution and are approved.
Section 2. This Board adopts the policy that a Community Land Trust is necessary in Miami-Dade County in order to further the development of affordable housing. The Community Land Trust must be a non-profit organization, which may be a coalition of organizations, created to hold land for the benefit of the community and preserve affordability for individuals within the community. The Community Land Trust supported by the County must maintain affordability of its properties for the benefit of the community; develop, in accordance with law, land use plans for the properties owned by the Community Land Trust to determine their best long-term uses; and identify and incorporate mixed-income and mixed-use opportunities where possible to help the Community Land Trust serve the lowest income households -- those which are Extremely Low- to Low Income -- while still making the project feasible. Any real property conveyed by the County to the Community Land Trust shall be conveyed by a deed with restrictions and a reverter providing for the reversion, upon written notice by the County and at no cost to the County, of the property in the event it is not utilized as affordable housing.
Section 3. This Board hereby establishes a pilot Community Land Trust Program with the goal of assisting in the production and retention of at least 100 units of affordable housing within five years of development of the pilot program. The County Mayor or County Mayor�s designee is directed to recommend to this Board a Community Land Trust organization which will participate in the pilot program. The County Mayor or County Mayor�s designee is further directed to establish program guidelines for the pilot program consistent with the parameters set forth in section 2 of this resolution, to find seed funding for the pilot program of an amount sufficient to accomplish the goal of the pilot program, and/or real property to be allocated or conveyed to the Community Land Trust participating in the pilot program with capacity to immediately develop affordable housing, and return to this Board within 180 days with a report describing the pilot program, the seed funding to be used, and the real property to be conveyed. The County Mayor or County Mayor's designee shall place all reports required by this resolution on agendas of this Board in accordance with Ordinance No. 14-65.
Section 4. The County Mayor or County Mayor�s designee is directed to consult with and/or partner with existing local Community Land Trust organizations, >>Extremely Low- to Moderate-Income Residents and the community organizations that represent them,<< non-profit organizations philanthropic foundations and local universities which specialize in housing policy including but not limited to South Florida Community Land Trust, Inc., Miami Homes for All, the South Florida Community Development Coalition, the University of Miami Office of Civic Engagement, in order to develop Miami-Dade County�s pilot Community Land Trust Program. >>The County Mayor or County Mayor�s designee is further directed to review the 2007 Report in developing the Community Land Trust pilot program.<<

1 Committee amendments are indicated as follows: Words stricken through and/or [[double bracketed]] are deleted, words underscored and/or >>double arrowed<< are added.