CITY COUNCIL AGENDA Monday, October 1, 2018 4:30 p.m. Closed session as provided by Section 2.2-3712 of the Virginia Code Second Floor Conference Room (Boards & Commissions Appointments; City Manager Search; Planning Commission Interviews) 6:30 p.m. Regular Meeting - CALL TO ORDER Council Chambers PLEDGE OF ALLEGIANCE ROLL CALL ANNOUNCEMENTS Bike/Pedestrian Awareness Month PROCLAMATIONS May Belle Kenney (Oldest Westhaven Resident); A Day Without Water; Domestic Violence Awareness Month 1. CONSENT AGENDA*: (Items removed from consent agenda will be considered at the end of the regular agenda) a. Minutes for September 17, 2018 Council meeting b. APPROPRIATION: Appropriation of VML Insurance Programs (VMLIP) Grant – $2,000 (2nd of 2 readings) c. APPROPRIATION: 2017 Edward Byrne Memorial Justice Assistance Grant – $25, 033 (2nd of 2 readings) d. APPROPRIATION: Victim Witness Assistance Program Grant $257,024 (2nd of 2 readings) e. APPROPRIATION: FY 2019 Transit Grant Funds – $707,657.64 (2nd of 2 readings) f. APPROPRIATION: Virginia Housing Solutions Program Grant Award – $484,785 (2nd of 2 readings) g. APPROPRIATION: VDOT Primary Extension Paving Project Funds - $31,441 (1st of 2 readings) h. APPROPRIATION: Insurance Reimbursement for Fire Truck Settlement - $89,369.91 (1st of 2 readings) i. RESOLUTION: Transfer of Funds for Citywide Sign and Street Survey - $142,500 (1st of 1 reading) j. RESOLUTION: CIP Transfer from Fueling Station Projects for Fleet Shop Improvements - $380,000 (1st of 1 reading) k. RESOLUTION: Approve Revised Role for Charlottesville Area Transit (CAT) Advisory Board (1st of 1 reading) l. RESOLUTION: Transfer of Funds from SIA Fund to Form Based Code Account - $40,707 (1st of 1 reading) m. RESOLUTION: Appointment of Interim Clerk of Council (1st of 1 reading) n. ORDINANCE: Create Permit Parking Zone in Belmont (2nd of 2 readings) CITY MANAGER RESPONSE TO COMMUNITY MATTERS (FROM PREVIOUS MEETINGS) COMMUNITY MATTERS Public comment is provided for up to 16 speakers at the beginning of the meeting (limit 3 minutes per speaker.) Pre-registration is available for up to 8 spaces, and pre-registered speakers are announced by noon the day of the meeting. The number of speakers is unlimited at the end of the meeting. 2. PUBLIC HEARING / Rezoning 1206 Carlton Avenue from R-2 Two-family Residential to R-3 Multi-family ORDINANCE*: Residential (1st of 2 readings) 3. PUBLIC HEARING / Zoning Text Amendments – Requiring Temporary Use Permits for Temporary Surface ORDINANCE*: Parking Facilities and Temporary Construction Yards (1st of 2 readings) 4. PUBLIC HEARING / Special Use Permit for 140 Emmet Street North (Gallery Court Hotel) (1st of 1 reading) RESOLUTION*: 5. RESOLUTIONS*: Allocation of FY2019 Charlottesville Affordable Housing Funds: RESOLUTION: AHIP Critical Rehab & Repair Project - $375,000 (1st of 1 reading) RESOLUTION: Carlton Views III, LLC Carlton Views III Development Project - $1,440,000 (1st of 1 reading) RESOLUTION: Habitat for Humanity of Greater Charlottesville Equity Housing Initiative - $585,000 (1st of 1 reading) 6. RESOLUTION*: Allocation of Funds ($200,019.40) for Completion of City-wide Housing Strategy (1st of 1 reading) OTHER BUSINESS MATTERS BY THE PUBLIC *ACTION NEEDED GUIDELINES FOR PUBLIC COMMENT We welcome public comment; it is an important part of our meeting. Time is reserved near the beginning and at the end of each regular City Council meeting for public comment. Please follow these guidelines for public comment:  Each speaker has 3 minutes to speak. Please give your name and place of residence before beginning your remarks.  Please do not interrupt speakers, whether or not you agree with them. Speaking from the audience is not permitted without first being recognized by the Chair.  Please refrain from using obscenities.  If you are here to speak for a Public Hearing, please wait to speak on the matter until the report for that item has been presented and the Public Hearing has been opened.  If you cannot follow these guidelines, you will be asked to leave City Council Chambers and will not be permitted to re-enter. Persons with disabilities may request reasonable accommodations by contacting ada@charlottesville.org or (434) 970-3182. 1 NOTICE OF SPECIAL MEETING A SPECIAL MEETING OF THE CHARLOTTESVILLE CITY COUNCIL WILL BE HELD ON Monday, September 17, 2018, AT 5:30 p.m. IN THE Second Floor Conference Room, 605 E. Main Street. THE PROPOSED AGENDA IS AS FOLLOWS: Closed session as provided by Section 2.2-3712 of the Virginia Code BY ORDER OF THE MAYOR BY Paige Rice SECOND FLOOR CONFERENCE ROOM –September 17, 2018 Council met in closed session on this date with the following members present: Ms. Galvin, Mr. Signer, Mr. Bellamy, Ms. Hill. On motion by Ms. Hill, seconded by Ms. Galvin, Council voted (Ayes: Mr. Bellamy, Ms. Galvin, Ms. Hill, Mr. Signer; Noes: None; Absent at time of vote: Ms. Walker) to meet in closed session as authorized by Va. Code sec. 2.2-3712, specifically: (1) as authorized by Virginia Code Sec. 2.2-3711(A)(1), for the purpose of discussion of the consideration of prospective candidates to serve as the interim Clerk of the Charlottesville City Council; (2) as authorized by Virginia Code Sections 2.2-3711(A)(3) and (A)(8), to discuss or consider the disposition of real property for a public purpose, because discussion in an open meeting would adversely affect the city’s bargaining position or negotiating strategy (possible exchange, transfer, or property lease/use agreement involving real estate known as the 7th and Market Street Parking Lot); (3) as authorized by Virginia Code Section 2.2-3711(A)(8) for consultation with legal counsel regarding specific legal matters (pertaining to the Freedom of Information Act’s exemption of personnel information from mandatory release of public records); and (4) as authorized by Virginia Code Section 2.2-3711(A)(7) for consultation with legal counsel pertaining to probable litigation where such consultation would adversely affect the negotiating or litigating posture of the public body (concerning a mediation agreement). On motion by Ms. Hill, seconded by Ms. Galvin, Council certified by the following vote (Ayes: Mr. Bellamy, Ms. Galvin, Ms. Hill, Mr. Signer; Noes: None; Absent at time of vote: Ms. Walker) that to the best of each Council Member's knowledge, only public business matters lawfully exempted from the open meeting requirements of the Virginia Freedom of Information Act and identified in the motion convening the closed session were heard, discussed or considered in the closed session. COUNCIL CHAMBER - September 17, 2018 ROLL CALL Council met in regular session on this date with the following members present: Mr. Bellamy, Ms. Galvin, Ms. Hill, Mr. Signer. ANNOUNCEMENTS 2 Ms. Galvin announced that Ms. Hollie Lee, Chief of Workforce Development Strategies, received a nomination for an excellence award. Ms. Hill announced the "Close Your Mouth and Listen Day" proclamation, which Ms. Hill presented to Mr. Alex Zan earlier today. Mr. Signer presented Ms. Rice with a plaque in appreciation of her eight years of service to the City. Mr. Bellamy read a proclamation recognizing Suicide Prevention Month. Mr. Bellamy thanked Mr. Murphy and everyone who was involved with the Back to School Bash that took place in September. He thanked the community for their involvement over the past month. Mr. Bellamy apologized for remarks he made towards a student at the last Council meeting. Ms. Galvin thanked everyone who organized the Pride Festival and demonstrated that there is strength in diversity. Mr. Bellamy announced an opening for the ACRJ board; please visit www.charlottesville.org/boards to apply. CITY MANAGER'S RESPONSE TO COMMUNITY MATTERS Mr. Murphy said it is not currently legal to elect the City Manager in the state of Virginia. He clarified that notice requirements are three days, but we try to exceed that as often as possible. He said staff will update Council at a future meeting regarding changes to CAT routes. He acknowledged that there were some cars parked at Friendship Court on August 12, in response to feedback from Ms. Parker. COMMUNITY MATTERS Mr. Elliott Harding, Woodhaven neighborhood, said race and equity in the legal world is not just a City issue. Mr. Joshua Humphries recounted his recent experience riding on a CAT bus during an epileptic seizure. Mr. Murphy gave a follow-up to Council on what staff is doing regarding this matter. Mr. Evan Brown said the failure of the West 2nd development is an example of how we cannot rely on developers to fix our affordable housing crisis. He asked Council to direct the NDS Director to start the Spot Blight Abatement process for the Landmark Hotel. 3 Ms. Myra Anderson, Hydraulic Rd., addressed Council about mental health. The lack of African American therapists is a serious problem for people of color. She asked Council to hold Region 10 and others accountable for the funding they receive, particularly in regards to equity in representation. Ms. Galvin asked Mr. Murphy to begin a conversation with the new Region 10 director about this matter. Ms. Marcia Geyer, Pear Tree Ln., said she was astonished at the housing prices in Charlottesville. She reviewed housing costs and unfair aspects about the eligibility for property tax relief for elderly and disabled homeowners. Ms. Galvin said she would like to consider adding this to Council's legislative packet in November. Ms. Rosia Parker, City resident, said the City did not take care of the reflective light at the bottom of 8th Street and Main Street. She addressed her issues with the Police Department and asked for accountability. She said that some of the complaints are not being addressed within the 30-day period. Ms. Tanesha Hudson asked about the real estate and property tax revenue that black businesses and residents in the Vinegar Hill area paid to the City before demolition. She asked how much went back into the community. She asked what the tax revenue received is today for that area. She asked for a response per FOIA and she requested a discussion of the item at an upcoming Council meeting. Ms. Angelene, City resident, asked about sanctuary cities. She said there is not a single sanctuary city in Virginia and asked how to start the approval process. Mr. Bellamy invited people to attend the upcoming Jail Board meeting. Mr. Blair said Council can add this to their General Assembly docket. Ms. Galvin said Legal Aid has filed a suit and asked if Council could explore joining in on their suit. Mr. Signer said he would like to explore contributions from Council's priority funds to Legal Aid for this purpose. Mr. Don Gathers said that it is important for residents to know where Council stands on the issue of ICE notifications. He asked Council to conduct a strong vetting process when considering who to name to the Jail Board. Ms. Gloria Beard, City resident, said she is concerned about affordable housing and the residents of Hardy Drive and Crescent Halls, especially regarding HVAC and mold. She also discussed gentrification and the selling prices of homes in her neighborhood. She suggested that the Councilors do not air their grievances between each other at Council Meetings. 4 Council discussed upcoming work sessions and upcoming CRHA awards. Ms. Hill called for a recess at 7:48 p.m. CONSENT AGENDA a. Minutes for July 18, July 20, July 24, July 31, August 20, August 23, August 24, August 28, August 29, August 30 at 1pm, August 30 at 5pm, September 6, & September 10 b. APPROPRIATION: Charlottesville/Albemarle Adult Drug Treatment Court Grant Award – $205,000 (2nd reading) Charlottesville/Albemarle Adult Drug Treatment WHEREAS, a reimbursable 2018 Rescue Squad Assistance Fund Grant totaling $155,703.55 has been awarded to the Fire Department for the purchase of a new ambulance, stretcher, and two cardiac monitors. NOW, THEREFORE BE IT RESOLVED by the Council of the City of Charlottesville, Virginia, that a total of $499,703.55 be appropriated in the following manner: Revenues - $155,703.55 Fund: 209 Order: 1900311 G/L Account: 430110 $344,000 Fund: 209 Order: 1900311 G/L Account: 498010 Expenditures - $499,703.55 Fund: 209 Order: 1900311 G/L Account: 599999 Transfer from - $344,000 Fund: 426 WBS: P-00976 GL Account: 561209 BE IT FURTHER RESOLVED, that this appropriation is conditioned upon the receipt of $155,703.55 from the Virginia Office of Emergency Medical Services. BE IT FURTHER RESOLVED, that any unused City match is to be returned to the Replacement Fire Apparatus account in the Capital Improvements Program fund. c. APPROPRIATION: Office of Emergency Medical Services Rescue Squad Assistance Fund Grant – $499,703.55 (2nd reading) Emergency Medical Services Rescue Squad Assistance Fund WHEREAS, a reimbursable 2017 Supplemental Local Emergency Management Planning Grant totaling $13,143.29 has been awarded to the Fire Department for the purchase of ballistic vests and helmets. 5 NOW, THEREFORE BE IT RESOLVED by the Council of the City of Charlottesville, Virginia, that a total of $13,143.29 be appropriated in the following manner: Revenues - $6,090 Fund: 209 Order: 1900298 G/L Account: 430120 $7,053.29 Fund: 209 Order: 1900298 G/L Account: 498010 Expenditures - $13.143.29 Fund: 209 Order: 1900298 G/L Account: 599999 Transfer - $7,053.29 Fund: 105 CC: 3201005000 GL Account: 541209 BE IT FURTHER RESOLVED, that this appropriation is conditioned upon the receipt of $6,090 from the Virginia Department of Emergency Management. d. APPROPRIATION: Supplemental Local Emergency Management Performance Grant Fire Department –$13,143.29 (Fire Dept.)(2nd reading) Local Emergency Management Performance Grant Fire Department WHEREAS, a reimbursable 2017 Supplemental Local Emergency Management Planning Grant totaling $13,143.29 has been awarded to the Fire Department for the purchase of ballistic vests and helmets. NOW, THEREFORE BE IT RESOLVED by the Council of the City of Charlottesville, Virginia, that a total of $13,143.29 be appropriated in the following manner: Revenues - $6,090 Fund: 209 Order: 1900298 G/L Account: 430120 $7,053.29 Fund: 209 Order: 1900298 G/L Account: 498010 Expenditures - $13.143.29 Fund: 209 Order: 1900298 G/L Account: 599999 Transfer - $7,053.29 Fund: 105 CC: 3201005000 GL Account: 541209 BE IT FURTHER RESOLVED, that this appropriation is conditioned upon the receipt of $6,090 from the Virginia Department of Emergency Management. e. APPROPRIATION: Check and Connect Student Engagement Continuation Grant - $137,000 (2nd reading) Check and Connect Student Engagement Continuation Grant 6 WHEREAS, the City of Charlottesville has been awarded $34,250 in Federal Funds from the Virginia Department of Juvenile Justice, and $102,750 in matching funds for a total award of $137,000 for the Check and Connect Student Engagement Program; and WHEREAS, the local match of $102,750 will be provided from the Department of Human Services existing fund balance; and WHEREAS, the grant award covers the period from July 1, 2018 through June 30, 2019. NOW, THEREFORE BE IT RESOLVED by the Council of the City of Charlottesville, Virginia, that the sum of $137,000 is hereby appropriated in the following manner: Revenue – $137,000 $ 34,250 Fund: 209 Cost Center: 3413008000 G/L Account: 430120 $ 102,750 Fund: 209 Cost Center: 3413008000 G/L Account: 498010 Expenditures - $137,000 $122,054 Fund: 209 Cost Center: 3413008000 G/L Account: 519999 $ 14,946 Fund: 209 Cost Center: 3413008000 G/L Account: 599999 Revenue: $102,750 Fund: 213 Cost Center: 3411001000 G/L Account: 498011 Expenditure: $102,750 Fund: 213 Cost Center: 3411001000 G/L Account: 561209 Transfer from: $102,750 Fund: 213 Cost Center: 3411001000 G/L Account: 561209 BE IT FURTHER RESOLVED, that this appropriation is conditioned upon the receipt of $34,250 from VA Department of Criminal Justice Services. f. APPROPRIATION: Virginia Juvenile Community Crime Control Act Grant – $452,704 (2nd reading) Virginia Juvenile Community Crime Control Act Grant WHEREAS, the City of Charlottesville has been awarded $292,058 from the Virginia Department of Juvenile Justice; and WHEREAS, this grant requires local maintenance of effort funds in the amount of $52,231 from Albemarle County and $108,415 from the City; and WHEREAS, the grant award covers the period from July 1, 2018 through June 30, 2019. 7 NOW, THEREFORE BE IT RESOLVED by the Council of the City of Charlottesville, Virginia, that the sum of $452,704 is hereby appropriated in the following manner: Revenue – $452,704 $292,058 Fund: 220 Cost Center: 3523001000 G/L Account: 430080 $52,231 Fund: 220 Cost Center: 3523001000 G/L Account: 432030 $108,415 Fund: 220 Cost Center: 3523001000 G/L Account: 498010 Expenditures - $452,704 $ 53,075 Fund: 220 Cost Center: 3523001000 G/L Account: 519999 $399,629 Fund: 220 Cost Center: 3523001000 G/L Account: 530010 BE IT FURTHER RESOLVED, that this appropriation is conditioned upon the receipt of $292,058 from Virginia Department of Juvenile Justice, and $52,231 from Albemarle County. g. APPROPRIATION: Appropriation of VML Insurance Programs (VMLIP) Grant – $2,000 (carried) VML Insurance Programs h. APPROPRIATION: 2017 Edward Byrne Memorial Justice Assistance Grant – $25, 033 (carried) Edward Byrne Memorial Justice Assistance Grant i. APPROPRIATION: Victim Witness Assistance Program Grant $257,024 (carried) Victim Witness Assistance Program Grant j. APPROPRIATION: FY 2019 Transit Grant Funds – $707,657.64 (carried) FY 2019 Transit Grant Funds k. APPROPRIATION:Virginia Housing Solutions Program Grant Award – $484, 785 (carried) Virginia Housing Solutions Program l. RESOLUTION: Memorandum of Understanding for Joint Transportation Planning Memorandum of Understanding for Joint Transportation Planning RESOLUTION “3C” AGREEMENT 8 WHEREAS, the Federal Transit Administration (FTA) and the Federal Highway Administration (FHWA) on June 30, 1983 jointly issued, and on May 27, 2016 updated, rules and regulations which require that each urbanized area, as a condition to the receipt of Federal capital or operating assistance, have a continuing, cooperative and comprehensive transportation (3‐C) planning process carried out by a metropolitan planning organization (MPO) in cooperation with the States and their local jurisdictions that results in plans and programs consistent with the planned development of the “urbanized area” pursuant to 23 U.S.C. 134, 23 U.S.C. 150, and 49 U.S.C. 5303, as amended; and WHEREAS, 23 CFR 450.314 – Metropolitan Planning Agreements – requires MPOs, States and Providers of Public Transportation to cooperatively determine the mutual responsibilities necessary to carry out the metropolitan transportation planning process, and directs MPOs, States and Providers of Public Transportation to periodically review and update these agreements; and WHEREAS, 23 CFR 450.306 ‐ Scope of the metropolitan transportation planning process – establishes a performance‐driven approach to transportation decision‐making to be carried out in the metropolitan transportation planning and programming process; and WHEREAS, the Charlottesville Albemarle Metropolitan Planning Organization serves as the MPO for the Charlottesville‐Albemarle Urbanized Area; and WHEREAS, the Commonwealth of Virginia and the Virginia Department of Rail and Public Transportation, City of Charlottesville, County of Albemarle and JAUNT through agreement with the Charlottesville Albemarle MPO and Thomas Jefferson Planning District Commission as the administrative agent of the MPO, provide for the financial assistance and mutually agreed upon terms and conditions for which such assistance will be provided; and NOW, THEREFORE, the Thomas Jefferson Planning District Commission in meeting duly assembled on August 2, 2018 agrees to authorize the TJPDC Chair to sign this agreement and authorizes the staff and Director of the TJPDC to conduct a cooperative, comprehensive and continuing transportation planning and programming process for the Charlottesville Albemarle Metropolitan Planning Organization. m. RESOLUTION: Revising Council Procedures Revising Council Procedures RESOLUTION WHEREAS, the Charlottesville City Council adopted The Charlottesville City Council Meeting Rules and Procedures (hereinafter “Rules and Procedures”) on February 5, 2018; and WHEREAS, the Charlottesville City Council desires to amend the Rules and Procedures. 9 NOW, THEREFORE, BE IT RESOLVED, that the Charlottesville City Council hereby amends Sections B(2)(d) and (e) of the Rules and Procedures to place the Consent Agenda before Community Matters in the Council’s Order of Business at each Council regular meeting. n. ORDINANCE: Easement to Dominion Power at McIntire Park skate park (2nd reading) Easement to Dominion Power at McIntire Park skate park AN ORDINANCE AUTHORIZING THE CONVEYANCE OF AN EASEMENT TO DOMINION ENERGY VIRGINIA TO PERMIT ELECTRICAL FACILITIES ON AND ACROSS CITY PROPERTY (McINTIRE PARK) TO SERVE THE McINTIRE SKATE PARK o. ORDINANCE: Release of Portion of Sewer Easement at Belmont Station Subdivision (2nd reading) Release of Portion of Sewer Easement at Belmont Station Subdivision AN ORDINANCE AUTHORIZING THE RELEASE OF A PORTION OF A SANITARY SEWER EASEMENT GRANTED TO THE CITY ACROSS PROPERTY NEAR CARLTON AVENUE AND RANDOLPH AVENUE (BELMONT STATION SUBDIVISION) p. ORDINANCE: Release of Sewer Easement at Beta Apartments on 17th Street (2nd reading) Release of Sewer Easement at Beta Apartments on 17th Street AN ORDINANCE AUTHORIZING THE RELEASE OF A SANITARY SEWER EASEMENT GRANTED TO THE CITY ACROSS PROPERTY ON 17TH STREET, NW (BETA APARTMENTS) q. ORDINANCE: Quitclaim Gas Easement in Cascadia Subdivision (Alb County) to VDOT (2nd reading) Quitclaim Gas Easement in Cascadia Subdivision AN ORDINANCE TO QUITCLAIM TWO (2) NATURAL GAS LINE EASEMENTS WITHIN MULTIPLE ROADWAYS IN CASCADIA SUBDIVISION LOCATED IN ALBEMARLE COUNTY TO THE VIRGINIA DEPARTMENT OF TRANSPORTATION 10 r. ORDINANCE: Quitclaim Gas Easement in Estes Park Subdivision (Alb County) to VDOT (2nd reading) Quitclaim Gas Easement in Estes Park Subdivision AN ORDINANCE TO QUITCLAIM A NATURAL GAS LINE EASEMENT WITHIN CERTAIN ROADWAYS IN ESTES PARK SUBDIVISION LOCATED IN ALBEMARLE COUNTY TO THE VIRGINIA DEPARTMENT OF TRANSPORTATION Mr. Signer called attention to the drug court item, which is the result of several years' worth of work and addresses flaws in the criminal justice system. Ms. Galvin thanked Ms. Dimock for working closely with TJACH to secure the housing solutions grant on the consent agenda. She also called attention to the CAT matching grants. On motion by Ms. Galvin, seconded by Mr. Signer, the consent agenda passed (Ayes: Mr. Bellamy, Ms. Galvin, Ms. Hill, Mr. Signer; Noes: None; Absent: Ms. Walker) PUBLIC HEARING / RESOLUTION: PROGRAM PERFORMANCE AND PRIORITIES FOR COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) AND HOME INVESTMENT PARTNERSHIPS FUNDS FOR PROGRAM YEAR 19-20 Community Development Block Grant (CDBG) and HOME Investment Partnerships funds for Program Year 19-20 Ms. Tierra Howard, Grants Coordinator, presented to Council and answered clarifying questions. On motion, the public hearing opened. Ms. Nancy Carpenter spoke and said she hopes Rose Hill will be an upcoming priority neighborhood. Mr. Evan Brown discussed options for the review process and considered weighting applications based on certain criteria. Having no further speakers, the public hearing closed. At Ms. Galvin's request, Mr. Murphy agreed to provide an update on co-op ideas. On motion by Ms. Galvin, seconded by Mr. Signer, the resolution passed (Ayes: Mr. Bellamy, Ms. Galvin, Ms. Hill, Mr. Signer; Noes: None; Absent: Ms. Walker) A RESOLUTION COUNCIL PRIORITIES FOR CDBG and HOME FUNDS FY 19-20 11 WHEREAS, the City of Charlottesville is a U.S. Department of Housing and Urban Development (HUD) Entitlement Community for the Community Development Block Grant (CDBG) and HOME Investment Partnership (HOME) programs and as such expects to receive an award of funding July 1, 2019; and WHEREAS, in accordance with the City of Charlottesville’s Citizen Participation Plan for HUD funding, the CDBG Task Force composed of citizen and community representatives will need to review potential projects and make recommendations for funding in Spring 2019; BE IT RESOLVED by the Council of the City of Charlottesville, Virginia that the priorities and spending allowances for FY 2019-2020 shall be as follows: Council’s priorities for the CDBG and HOME program for FY 19-20 shall be affordable housing (priority for persons who are 0-50 percent AMI), support for the homelessness and those at risk of homelessness, workforce development (support for programs that aid in self- sufficiency, including but not limited to quality childcare), microenterprise assistance, and mental health and substance abuse services. For FY 19-20, $45,500 (or remaining EN available & reprogramming) CDBG entitlement shall be set aside for Housing. For FY 19-20, $20,000 CDBG entitlement shall be set aside for Economic Development. For FY 19-20, the Priority Neighborhood shall be Ridge Street and the allocation shall be $200,000 of the total CDBG entitlement (or remaining EN available & reprogramming from housing projects). If the CDBG entitlement received is less than the estimate amount of $408,417, this amount will be decreased accordingly. The next Priority Neighborhood shall be Belmont. The CDBG Admin and Planning budget shall be set at 20 percent of the total CDBG entitlement. The Public Services budget shall be set at 15 percent of the total CDBG entitlement. 2018-2019 CDBG and HOME BUDGET ALLOCATIONS (REVISED) RECOMMENDED BY CDBG/HOME TASK FORCE and SAT: 1/16/18 and 1/26/18 RECOMMENDED BY PLANNING COMMISSION: 3/13/2018 ESTIMATED BUDGET APPROVED BY CITY COUNCIL: 5/21/2018 and 7/2/2018 I. PRIORITY NEIGHBORHOOD A. Belmont $204,263.49 II. ECONOMIC DEVELOPMENT PROJECTS A. Community Investment Collaborative - Scholarships $12,500 ECONOMIC DEVELOPMENT TOTAL: $12,500 12 III. PUBLIC SERVICE PROJECTS A. Literacy Volunteers – Basic Literacy Instruction $8,300 B. United Way – Childcare Scholarships $26,431 C. TJACH – Coordinated Entry System $26,531 SOCIAL PROGRAMS TOTAL: $61,262 (15% EN) IV. HOUSING PROJECTS A. AHIP – Homeowner Rehab $50,000 HOUSING PROGRAMS TOTAL: $50,000* V. ADMINISTRATION AND PLANNING: A. Admin and Planning $81,683 (20% EN) GRAND TOTAL: $409,708.49 ESTIMATED NEW ENTITLEMENT AMOUNT: $408,417 ESTIMATED EN AVAILABLE AFTER PI APPLIED $0.00 REPROGRAMMING: $1,291.49 * Funding includes reprogrammed funds _______________________________________________________________________ 2018-2019 HOME BUDGET ALLOCATIONS A. Habitat – Down payment Assistance $39,502.79 B. PHA – Down payment Assistance $54,869.35 C. AHIP – Homeowner Rehab $31,594.35 GRAND TOTAL: $125,966.49 ENTITLEMENT AMOUNT: $78,001.63 ESTIMATED EN AVAILABLE AFTER PI APPLIED $22,906.59 REPROGRAMMING: $5,557.86 REMAINING LOCAL MATCH FROM PREVIOUS ALLOCATIONS: $19,500.41 All projects include EN available after program income applied and match surplus allocated from previous grant years approved by Council. ORDINANCE: PEN PARK STREAM RESTORATION EASEMENT TO ALBEMARLE COUNTY (1st of 2 readings) (Second Reading waived) Pen Park Stream Restoration Easement to Albemarle County Ms. Lauren Hildebrand presented to Council. Mr. Signer expressed his support. On motion by Mr. Signer, seconded by Mr. Bellamy, the second reading was waived. (Ayes: Mr. Bellamy, Ms. Galvin, Ms. Hill, Mr. Signer; Noes: None; Absent: Ms. Walker) 13 Ms. Galvin moved the ordinance; Mr. Signer seconded. The ordinance passed. (Ayes: Mr. Bellamy, Ms. Galvin, Ms. Hill, Mr. Signer; Noes: None; Absent: Ms. Walker) AN ORDINANCE APPROVING A DEED OF EASEMENT FROM THE CITY OF CHARLOTTESVILLE, VIRGINIA TO THE COUNTY OF ALBEMARLE ACROSS PEN PARK FOR A JOINT STREAM RESTORATION PROJECT ORDINANCE: CREATE PERMIT PARKING ZONE IN BELMONT (carried) Create Permit Parking Zone in Belmont Mr. Brennan Duncan, Traffic Engineer, presented to Council. The proposed ordinance amendment allows for creation of a permit parking zone in the Belmont neighborhood. He answered clarifying questions for Council. On motion by Ms. Galvin, seconded by Mr. Signer, the ordinance was carried over to the next meeting for a second reading. OTHER BUSINESS Ms. Hill introduced the CRB members' motion to add funds in order to attend an upcoming conference. Per Mr. Murphy's request, Ms. Hill proposed a flat amount of $10,000 to the CRB in order to support their charge, consistent with funding for past blue ribbon commission-type boards. Mr. Signer and Mr. Bellamy said they would prefer a budget. Ms. Rice said previous blue ribbon commissions have approved expenditures through the City Manager's office. Council conceptually approved a $10,000 allocation from Council's priority initiatives fund, contingent on providing a budget. Ms. Hill clarified that this was in addition to the $2,500 already allocated. Mr. Signer said Council can allocate an additional $7,500 to bring their operating total to $10,000. On motion by Ms. Galvin, seconded by Mr. Signer with the expectation that a budget for such funds be received within two months, the motion passed. (Ayes: Mr. Bellamy, Ms. Galvin, Ms. Hill, Mr. Signer; Noes: None; Absent: Ms. Walker) Ms. Galvin asked for consideration of a residential parking permit plan ahead of the issuance of parking permits in February 2019. She requested a formal presentation from Mr. Seibert on shared parking arrangement options. MATTERS BY THE PUBLIC Ms. Nancy Carpenter said housing stability and emergency preparedness are related, as a large percentage of renters are not able to pay for the costs of evacuation. She asked the City what they have in place to help mitigate this. She requested that the HAC housing strategy focus on eviction prevention. She asked who is monitoring housing vouchers being turned back into CRHA. 14 Mr. Bellamy discussed the housing voucher process from CRHA's standpoint. Ms. Galvin said Council can encourage a roundtable with the Blue Ridge Apartment Association and CAAR. The meeting adjourned at 9:17 p.m. CITY OF CHARLOTTESVILLE, VIRGINIA CITY COUNCIL AGENDA Agenda Date: September 17, 2018 Action Required: Approve Appropriation of VML Insurance Programs (VMLIP) Grant Presenter: Paul Oberdorfer, Director, Public Works Laura Ellis, Risk Management Specialist, Finance Staff Contacts: Paul Oberdorfer, Director, Public Works Laura Ellis, Risk Management Specialist, Finance Ryan Davidson, Senior Budget & Management Analyst, Office of Budget and Performance Management Title: Appropriation of VML Insurance Programs (VMLIP) Grant - $2,000 Background: The City of Charlottesville received grant funding from our insurer, VML Insurance Programs (VMLIP), in the amount of $2,000, for the purchase of National Incident Management System (NIMS)/Incident Command System (ICS) pocket field guides. Discussion: The National Incident Management System (NIMS)/Incident Command System (ICS) pocket field guides were purchased using previously appropriated funding in the Public Works FY 2019 Adopted Budget. Appropriation of these grant funds is necessary to reimburse the City for this purchase. Alignment with Council Vision Areas and Strategic Plan: This project supports City Council’s “Smart, Citizen-Focus Government” vision, and it contributes to Strategic Plan Goal 5: A Well-managed and Responsive Organization. Community Engagement: N/A Budgetary Impact: These grant funds will reimburse the City for this purchase, as the pocket field guides were purchased using previously appropriated funding in the Public Works FY 2019 Adopted Budget. Recommendation: Staff recommends approval and appropriation of the reimbursement funds. Alternatives: If reimbursement funds are not appropriated, the Public Works account will have less funding for other operations. Attachments: N/A APPROPRIATION VML Insurance Programs (VMLIP) Grant - $2,000 NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Charlottesville, Virginia that $2,000 from VMLIP is to be appropriated in the following manner: Revenues - $2,000 Fund: 105 Cost Center: 2443001000 G/L Account: 451022 Expenditures - $2,000 Fund: 105 Cost Center: 2443001000 G/L Account: 530210 This page intentionally left blank. CITY OF CHARLOTTESVILLE, VIRGINIA CITY COUNCIL AGENDA Agenda Date: September 17, 2018 Action Required: Appropriate Grant Funds Presenter: Lt. T.V. McKean, Charlottesville Police Department Staff Contacts: Lt. T.V. McKean, Charlottesville Police Department Title: 2017 Edward Byrne Memorial Justice Assistance Grant (J.A.G.) - $25,033 Background: The U.S. Department of Justice, Office of Justice Program’s Bureau of Justice Assistance has awarded the City of Charlottesville a 2017 Edward Byrne Memorial Justice Assistance Grant (J.A.G.) in the amount of $25,033 with no local match required. Discussion: The U.S Department of Justice (D.O.J.) provides funding for the Edward Byrne Memorial Justice Assistance Grant to assist state and local law enforcement with a broad range of activities. The Charlottesville Police Department will utilize this funding to purchase needed personal protection, outer ballistic vest carriers. Alignment with Council Vision Areas and Strategic Plan: This funding will support Goal 2 of the Strategic Plan, to be a safe, equitable, thriving, and beautiful community. It specifically supports Goal 2.1, to provide and effective and equitable public safety system. The funding will be used to purchase personal protection, outer ballistic vest equipment for the Charlottesville Police Department. Community Engagement: N/A Budgetary Impact: There is no budgetary impact to the City. No match is required for these funds and the funds will be expensed and reimbursed to a Grants Fund. Recommendation: Staff recommends approval and appropriation of grant funds. Alternatives: The alternative is to not approve this project and not purchase the equipment Attachments: N/A APPROPRIATION 2017 Edward Byrne Memorial Justice Assistance Grant (JAG) Grant # 2017–H2204–VA-DJ $25,033 WHEREAS, the City of Charlottesville, through the Police Department, has received the U.S. Department of Justice, Office of Justice Programs’ Bureau of Justice Assistance 2017 Edward Byrne Memorial Justice Assistance Grant (JAG) in the amount of $25,033 to be used for approved law enforcement equipment. WHEREAS, the grant award covers the period from period October 1, 2016 through September 30, 2020 NOW, THEREFORE BE IT RESOLVED by the Council of the City of Charlottesville, Virginia, that the sum of $25,033, received from the U.S. Department of Justice, Office of Justice Programs’ Bureau of Justice Assistance, is hereby appropriated in the following manner: Revenue $ 25,033 Fund: 211 I/O: 1900314 G/L: 431110 Federal Grants Expenditure $ 25,033 Fund: 211 I/O: 1900314 G/L: 520060 Uniforms and Clothing BE IT FURTHER RESOLVED, that this appropriation is conditioned upon the receipt of $25,033 from the U.S. Department of Justice, Office of Justice Programs’ Bureau of Justice Assistance. This page intentionally left blank CITY OF CHARLOTTESVILLE, VIRGINIA CITY COUNCIL AGENDA Agenda Date: September 17, 2018 Action Required: Approval and Appropriation Presenter: Pat O’Donnell, Coordinator Victim and Witness Assistance Program Staff Contacts: Pat O’Donnell, Coordinator Victim and Witness Assistance Program Title: Victim Witness Assistance Program Grant $257,024 Background: The City of Charlottesville, through the Commonwealth’s Attorney’s Office, has received the Victim Witness Program Grant from the Virginia Department of Criminal Justice Services in the amount of $168,018 in Federal Funds and $56,006 in State General Funds, and $33,000 supplement from the Commonwealth Attorney’s operating budget for a total award of $257,024. Discussion: The victim’s rights movement began in the 1970s as a result of victims being re-victimized by the criminal justice process. Victims had difficulty navigating the complexities of the criminal justice system and no voice or recourse when their cases were continued or pled out without their knowledge or consent. Prosecutors did not have the time or skills to respond to victims who were traumatized, but knew that in order to proceed with their case, many victims would need more services than the prosecutor’s office could provide. In response to this need, the federal Victims of Crime Act was passed in 1984 and funds became available through the Virginia Department of Criminal Justice to respond to the needs of victims. The Charlottesville Victim/Witness Assistance Program was established in 1989 and has been meeting the needs of Charlottesville crime victims ever since. The Program is one of more than 60 such programs in the state that provides crisis intervention and advocacy, information and support during and after criminal justice proceedings, access to compensation and restitution, referrals to local community agencies and ensures victims are afforded their rights as outlined in Virginia’s Crime Victim and Witness Rights Act. The Program also provides training on victim issues to law enforcement and allied agencies. It regularly serves more than 800 victims and 20 witnesses each year. Alignment with City Council’s Vision and Strategic Plan: Approval of this agenda item aligns directly with Council’s vision for Charlottesville to be America’s Healthiest City, a Community of Mutual Respect and a Smart, Citizen-Focused Government. According to the Bureau of Justice Statistics, the total economic loss to crime victims was $1.19 billion for violent offenses and $16.2 billion for property crime in 2008. Statistics vary on the amount of intangible losses victims accumulate, such as the effects of the crime on their sense of security, mental health and relationships. The Charlottesville Victim Witness Assistance Program contributes to the health of the community by connecting crime victims with medical and mental health providers through the Criminal Injury Compensation Fund. The Program helps create a Community of Mutual Respect by responding to the needs of crime victims and helps achieve a Smart, Citizen-Focused Government by ensuring their rights are recognized throughout the local criminal justice system, including police, prosecution, judges and probation. Community Engagement: The Victim Witness Assistance Program is engaged daily with victims of crime who access services through referrals from police, court services, social services and other allied agencies. Program staff contacts crime victims within 48 hours of their reported victimization. Program staff serves on several coordinating councils, such as the Multi-Disciplinary Team on Child Abuse, the Domestic Violence Coordinating Council, the Sexual Assault Response Team, the Monticello Area Domestic Violence Fatality Review Team and the Charlottesville/Albemarle Evidence Based Decision Making Policy Team. The program regularly provides outreach in the forms of government services day, training and speaking engagements at UVA, PVCC and other allied agencies as requested. Budgetary Impact: There is no impact to the General Fund. The City’s match of $33,000 was previously appropriated as part of the Commonwealth’s Attorney’s Office FY2019 Adopted Budget. The Victim Witness Assistance Program Grant is renewed annually and the funds will be received and expensed in the grants fund. Recommendation: Staff recommends approval and appropriation of grant funds. Alternatives: If grant funds are not appropriated, Charlottesville crime victims will have no access to compensation, advocacy or services afforded to them under Virginia’s Crime Victim and Witness Rights Act. Attachments: Appropriation Memorandum APPROPRIATION Charlottesville Victim Witness Assistance Program Grant $257,024 WHEREAS, The City of Charlottesville, through the Commonwealth Attorney’s Office, has received an increase in the Victim Witness Program Grant from the Virginia Department of Criminal Justice Services in the amount of $224,024; and WHEREAS, the City is providing a supplement in the amount of $33,000, the source of which is the Commonwealth’s Attorney’s operating budget; NOW, THEREFORE BE IT RESOLVED by the Council of the City of Charlottesville, Virginia that the sum of $224,024 is hereby appropriated in the following manner: Revenues $ 56,006 Fund: 209 Cost Center: 1414001000 G/L Account: 430110 $168,018 Fund: 209 Cost Center: 1414001000 G/L Account: 430120 $ 33,000 Fund: 209 Cost Center: 1414001000 G/L Account: 498010 Expenditures $243,000 Fund: 209 Cost Center: 1414001000 G/L Account: 519999 $ 14,024 Fund: 209 Cost Center: 1414001000 G/L Account: 599999 Transfer $ 33,000 Fund: 105 Cost Center: 1401001000 G/L Account: 561209 BE IT FURTHER RESOLVED, that this appropriation is conditioned upon the receipt of $224,024 from the Virginia Department of Criminal Justice Services. This page intentionally left blank. CITY OF CHARLOTTESVILLE, VIRGINIA CITY COUNCIL AGENDA Agenda Date: September 17, 2018 Action Required: Approve Supplemental Appropriation Presenter: John Jones, Transit Director Staff Contact: John Jones, Transit Director Ryan Davidson, Budget Office Title: Appropriation of FY 2019 Transit Grant Funds - $707,657.64 Background: The Virginia Department of Rail and Public Transportation (DRPT) operating award, the Federal Transportation Administration (FTA) operating award, and the DRPT capital allocation were appropriated as part of the FY 2019 Adopted Budget. Due to the timing of the City’s budget process the amount of revenue listed to be received from these sources is an estimate that may be different from the amount of funds that are actually awarded to the City. With a Resolution Authorizing the Application for State Aid to Public Transportation, City Council authorized Charlottesville Area Transit (CAT) to provide the local match necessary to apply for Federal and State grants to fund CAT’s expenses, including both Capital and non- Capital projects. Discussion: The final Virginia Department of Rail and Public Transportation operating award is $225,125 greater than appropriated in the City’s FY 2019 budget, and the final Federal Transit Administration operating award is $49,277 greater than appropriated in the City’s FY 2019 budget. The final federal award amount incorporates a mandatory 5% withholding of allocated federal funds for all recipients of Section 5307 operating funds in Virginia until such time a State Safety Oversight Program for the rail operations of the Washington Metropolitan Area Transit Authority is certified by the FTA. Additionally, the FTA has awarded $534,025 to JAUNT (after 5% withholding), with the City acting as fiscal agent with these federal funds passing through the City to JAUNT. Due to changes in the Virginia Department of Rail and Public Transportation’s allocation of capital funding, CAT’s FY 2019 capital projects were deferred for one fiscal year and CAT is only eligible for FY 2019 operating funds. Charlottesville Area Transit (CAT) has disposed of several transit vehicles, all with net sales proceeds of less than $5,000. FTA permits the proceeds from vehicles sold for under $5,000 to be used to fund other transit capital projects. CAT is seeking to appropriate those aggregate funds out of the “unearned revenue” in order to fund improvements to bus stops, which would include the purchase of bus stop insert holders, replacement plexiglas and new CAT signage. A supplemental appropriation is requested for project revenues and expenses which include: Transit Grants by Type FY 2019 FY 2019 Appropriation Budget Award State operating assistance $1,722,402 $1,947,527 $225,125 Federal operating assistance $1,556,296 $1,605,573 $49,277 TOTAL OPERATING AWARD $274,402 TOTAL JAUNT (Pass-through Funds) $0 $534,025 $534,025 State capital award $18,400 $0 ($18,400) Federal capital award $92,000 $0 ($92,000) Proceeds from previous years’ asset dispositions 0 $9,630.64 $9,630.64 TOTAL CAPITAL $110,400 $9,630.64 ($100,769.36) TOTAL APPROPRIATION REQUEST $707,657.64 Community Engagement: Charlottesville Area Transit utilizes the Metropolitan Planning Organization’s (MPO) Public Participation Plan (PPP) to fulfill its public engagement requirements. The MPO’s PPP includes an opportunity for members of the public to request a public hearing on CAT’s Program of Projects. No public hearing was requested. Alignment with City Council’s Vision and Strategic Plan: Approval of this agenda item aligns directly with Council’s vision for Charlottesville as a Connected Community, where the City is part of a comprehensive, transportation system that enables citizens of all ages and incomes to easily navigate our community. It also aligns with Strategic Plan Goal 3: A Beautiful and Sustainable Natural and Built Environment, Objective 3.3 Provide a variety of transportation and mobility options. Budgetary Impact: There is no impact to the General Fund. The local match requirement for Operating Assistance will be covered through the City’s contribution from the General Fund and Albemarle County’s contribution and was previously appropriated as part of the FY 2019 Adopted Budget. The pass through of grant funds for JAUNT has no budget impact for the General Fund. Recommendation: Staff recommends approval and appropriation of funds. Alternatives: City Council may choose not to appropriate match funds. Without an appropriation CAT will not receive grants funds to support its operations. Attachments: Appropriation APPROPRIATION Transit Division Project Funds $707,658.64 WHEREAS, a Federal Operating Grant of $1,605,573 and State Operating Grant of $1,947,527 have been awarded to the City of Charlottesville, the combined amounts of operating grants are $274,402 more than previously budgeted; and WHEREAS, a Federal Grant has been awarded to JAUNT in the amount of $534,025 and these funds must pass through the City of Charlottesville; and NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Charlottesville, Virginia that the following is hereby appropriated in the following manner, contingent upon receipt of the grant funds: Revenue (Operating) $225,125 Fund: 245 Cost Center: 2801003000 G/L: 430080 State Assistance $49,277 Fund: 245 Cost Center: 2801003000 G/L: 431010 Federal Assistance Expenditures (Operating) $274,402 Fund: 245 Cost Center: 2801003000 G/L: 599999 Lump Sum Revenue (JAUNT) $534,025 Fund: 245 Cost Center: 2821002000 G/L: 431010 Fed Assistance Expenditures (JAUNT) $534,025 Fund: 245 Cost Center: 2821002000 G/L: 540365 JAUNT Payment Revenue (Capital) ($18,400) Fund: 245 Cost Center: 2804001000 G/L: 430110 St Grants ($92,000) Fund: 245 Cost Center: 2804001000 G/L: 431110 Fed Grants $9,630.64 Fund: 245 Cost Center: 2804001000 G/L: 435990 Warehouse Sales Expenditures (Capital) ($100,769.36) Fund: 245 Cost Center: 2804001000 G/L: 541040 Acq. Com-Veh. BE IT FURTHER RESOLVED, that this appropriation is conditioned upon the receipt of $1,947,527 from the Virginia Department of Rail and Public Transportation and $2,139,598 from the Federal Transit Administration. This page intentionally left blank. CITY OF CHARLOTTESVILLE, VIRGINIA CITY COUNCIL AGENDA Agenda Date: September 17, 2018 Action Required: Approval and Appropriation Presenter: Kaki Dimock, Director, Human Services Staff Contacts: Kaki Dimock, Director, Human Services Title: Virginia Housing Solutions Program Grant Award ($484,785) Background: The Department of Human Services in coordination with the Thomas Jefferson Area Coalition for the Homeless (T.J.A.C.H.) and the Service Provider Council (S.P.C.), applied for and received a grant from the Virginia Department of Housing and Community Development. The Virginia Housing Solutions Program award is $484,785 and is a renewal contract for the program for July 1, 2018 – June 30, 2019. Discussion: The City of Charlottesville has staff from City Manager’s Office, Human Services and Social Services, all taking a leadership role in the governance of T.J.A.C.H. V. H. S P. is an important resource in our community’s efforts to end homelessness. The grant provides services in several points along the local continuum of services: 1. Coordinated Assessment: The Haven serves as the physical front door to the homelessness system of care, using an evidence-based tool for determining priority access to available resources. 2. Emergency Low Barrier Shelter P. A. C. E. M. provides a low-barrier shelter for adults using rotating local churches for support. 3. Rapid Re-Housing & Housing Navigation: The Haven screens and administers rapid re-housing assistance and housing navigation to households experiencing homelessness. 4. Case Management: The Haven provides supportive services including crisis intervention, case management and service referrals. 5. Homeless Management Information System(H.M.I.S.): The City of Charlottesville as the award recipient will ensure that H.M.I.S. data is complete through an agreement with T.J.A.C.H. to have the Executive Director ensure data quality. Our Continuum of Care(C.O.C.) has a well-populated database for individuals experiencing homelessness. HMIS collaboration provides real-time monitoring of the needs and progress of individuals and households facing homelessness. Collaborative use of H.M.I.S. among T.J.A.C.H. C.o.C. Service Providers expedites communication and reduces the need to interface disparate documentation systems. 6. Coalition Coordination: The Thomas Jefferson Area Coalition for the Homeless provides leadership and coordination for the required local homelessness continuum of care. 7. Administration: The City of Charlottesville as the award recipient is eligible for an administrative fee. Staff proposes that we pass these dollars through to T. J. A. C. H. Community Engagement: This grant and plan are the product of extensive engagement of the service provider community for persons experiencing homelessness. This partnership is reflective of the new governance model for T.J.A.C.H. and the priority requests of the Interfaith Movement Promoting Action by Congregations Together (IMPACT). Alignment with City Council’s Vision and Strategic Plan: This grant advances the City of Charlottesville’s Strategic Plan Goal #1 of an inclusive community of self-sufficient residents. Specifically, it will facilitate the objective of increasing affordable housing options. Budgetary Impact: This grant will be entirely State, and Federal pass-through funds. No local match is required. There is no budget impact for the City of Charlottesville. All funds will be distributed to sub- recipients for service provision. Recommendation: Staff recommends approval and appropriation of grant funds. Alternatives: Council may elect to not accept the funds and the community will not have the capacity to administer the following services to persons experiencing a housing crisis:. Emergemcy low- barrier shelter, coordinated assessment, rapid rehousing, H.M.I.S., coalition coordination and administration. Attachments: Sub Grant agreement and amendment are attached. APPROPRIATION V. H. S. P. Grant $484,785 WHEREAS, The City of Charlottesville, through the Department of Human Services, has received the V. H. S. P. Grant from the Virginia Department of Housing and Community Development in the amount of $484,785; NOW, THEREFORE BE IT RESOLVED by the Council of the City of Charlottesville,Virginia that the sum of $484,785 is hereby appropriated in the following manner: Revenues $375,405 Fund: 209 IO: 1900313 G/L: 430110 State Grant $109,380 Fund: 209 IO: 1900313 G/L: 430120 Federal Pass-Thru State Expenditures $484,785 Fund: 209 IO: 1900313 G/L: 530550 Contracted Services BE IT FURTHER RESOLVED, that this appropriation is conditioned upon receipt of $484,785 in funds from the Virginia Department of Housing and Community Development. This page intentionally left blank. CITY OF CHARLOTTESVILLE, VIRGINIA CITY COUNCIL AGENDA Agenda Date: October 1, 2018 Action Required: Appropriation of State Funds Presenters: Marty Silman, Public Works Staff Contacts: Marty Silman, Public Works Ryan Davidson, Office of Budget and Performance Maintenance Title: VDOT Primary Extension Paving Project Funds - $31,441 Background: Based on a legislative change that was effective July 1, 2014, Virginia Code section 33.1-23.1 (B) authorizes funding for the reconstruction of interstate, primary, and primary extension routes. Funding for the reconstruction of primary extensions – routes that are both locally maintained and have a primary route number (e.g. Route 20) – is made available using a competitive application process. Awards are made based on a combination of road condition and traffic volume. Assessment of road condition is performed by the Virginia Department of Transportation (VDOT). The City of Charlottesville has qualified to receive funds to perform one paving project, requiring a local financial contribution and adoption of a Resolution authorizing the execution of a formal agreement and Appropriation of funds estimated for reimbursement. Discussion: The scope of the awarded projects includes all work necessary to bring the roadway and curb ramps into compliance with the Americans with Disabilities Act. Monticello Ave, south bound lane, from Druid Ave to Quarry Road; estimated cost = $31,441 – VDOT Grant award = $20,388; total estimated local cost share = $11,053; scope includes the upgrade of 2 curb ramps This program is a promising relief for CIP funding sources dedicated to street paving projects that are stretched very thin. The high traffic volume of Charlottesville’s streets compared to others in the VDOT Culpepper District will continue to make paving projects in Charlottesville very competitive for the duration of this program. Alignment with Council Vision Areas and Strategic Plan: It contributes to Goal 3 of the Strategic Plan, particularly objective 3.2, to “provide reliable and high quality infrastructure”. Community Engagement: N/A Budgetary Impact: No new local funding will be required. Local contribution will be funded through previously appropriated street paving CIP funds. Appropriation of state funds for these projects will result in an estimated net avoided cost of $20,388. Recommendation: Staff recommends approval of the Resolution and Appropriation. Alternatives: Pay the full cost of these projects. Attachments: Appropriation APPROPRIATION Primary Extension Paving Funds - $31,441 WHEREAS, the Virginia Department of Transportation and the City of Charlottesville desire to execute a standard Project Administration Agreement for a state-aided project, referenced as Virginia Department of Transportation Project Number 0020-104-351 (UPC 113238); WHEREAS,the Virginia Department of Transportation has awarded the City of Charlottesville a Primary Extension Paving grant in the amount of $20,388, with a required local match of $11,053; NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Charlottesville, Virginia that the sum of $31,441 is appropriated in the following manner: Revenue - $20,388 Fund: 426 WBS: P-00689-19-01 (SS-009) G/L Account: 430120 Expenditures - $20,388 Fund: 426 WBS: P-00689-19-01 (SS-009) G/L Account: 599999 Transfer from: $11,053 Fund: 426 WBS: SS-009 G/L Account: 599999 Transfer To: $11,053 Fund: 426 WBS: P-00689-19-01 (SS-009) G/L Account: 599999 BE IT FURTHER RESOLVED, that this appropriation is conditioned upon the receipt of $20,388 from the Virginia Department of Transportation. This page intentionally left blank. CITY OF CHARLOTTESVILLE, VIRGINIA CITY COUNCIL AGENDA Agenda Date: October 1, 2018 Action Required: Appropriation Presenter: Mike Rogers, Deputy Chief – Operations, Charlottesville Fire Dept. Staff Contacts: Mike Rogers, Deputy Chief – Operations, Charlottesville Fire Dept. Title: Fire Truck Insurance Reimbursement – $89,369.91 Background: City asset, vehicle # 685 – a 2000 Freightliner (American LaFrance tractor drawn aerial - Truck 8), was involved in an auto incident 02/06/2018 in which the vehicle caught fire while in the possession of Atlantic Emergency Solutions repair facility on West St. Vehicle # 685 was inspected by industry professionals and was deemed a total loss pursuant to Code of Virginia § 46.2-1600 as the vehicle was not economically repairable given the extensive damage from this loss. Discussion: Considering the vehicle’s age, condition, use and the market for similar type vehicles, Selective Insurance offered an actual cash value (ACV) total loss settlement in the amount of $51,666.67 in exchange for the title and keys to vehicle # 685. For reference, the purchase price of this asset was $824,725.95. It was determined there was no compromise of claim settlement as this was an agreed market value settlement between the City and Selective as supported by an executed Bill of Sale dated 04/16/2018. Numerous contents were inside vehicle # 685 which were also damaged beyond repair in this loss. Replacement cost value of these items was determined to be $43,194.58. Selective Insurance offered an actual cash value (ACV) loss settlement in the amount of $30,960.16 for these damaged items and this offer was accepted to which there was no compromise of claim settlement involved. Risk Management has secured payment in the amount of $30,960.16. Additional contents items totaling $6,742.27 are currently pending reimbursement directly from Atlantic Emergency Solutions, as Selective Insurance would not reimburse for these items. The contents loss monies are needed to replace three damaged self-contained breathing apparatus airframes (~$5400/ea.), two thermal image cameras (~$6700), as well as other loose contents losses. The vehicle settlement monies ($51,666.67) are anticipated to be combined with matching grant monies from the Virginia Office of Emergency Medical Services ($114, 128.50) into the existing FY2019 CIP fund. This will allow us to purchase and additional ambulance similar to the one purchased in 2017. Alignment with Council Vision Areas and Strategic Plan: The reimbursement of the insurance monies for the apparatus and equipment losses associated with vehicle #685 support the City’s mission - “We provide services that promote equity and an excellent quality of life in our community”. By providing recovered monies back into the 2019 apparatus and equipment CIP fund, it allows us to better serve the citizens, students, business community members, and guests of the City. The anticipated use of the reimbursed monies also aligns with Goal 2.1, Reduce adverse impact from sudden injury and illness and the effects of chronic disease, as well as the elements within Goal 5 - A Well-managed and Responsive Organization. Community Engagement: N/A Budgetary Impact: There is no impact to the General Fund, as these are reimbursed funds from an insurance carrier for a loss. Recommendation: Staff recommends approval and appropriation of insurance monies. Alternatives: If the insurance reimbursement is not appropriated, the Fire Department will not be able to utilize this funding to replace some of the equipment lost in the fire and/or offset some present day apparatus purchase efforts. Monies for the equipment and/or apparatus would have to come from current operational and/or CIP funding sources absent of the insurance reimbursement. Attachments: Appropriation APPROPRIATION Fire Truck Insurance Reimbursement $89,369.91 WHEREAS, Selective Insurance and Atlantic Emergency Solutions are reimbursing the City of Charlottesville for vehicle and contents losses associated with a fire involving vehicle #685; NOW, THEREFORE BE IT RESOLVED by the Council of the City of Charlottesville, Virginia, that a total of $89,369.91 be appropriated in the following manner: Revenues - $89,369.91 Fund: 426 WBS: P-00976 G/L Account: 451110 Expenditures - $89,369.91 Fund: 426 WBS: P-00976 G/L Account: 599999 BE IT FURTHER RESOLVED, that this appropriation is conditioned upon the receipt of funds from Selective Insurance. This page intentionally left blank. CITY OF CHARLOTTESVILLE, VIRGINIA CITY COUNCIL AGENDA Agenda Date: October 1, 2018 Action Required: Approve Resolution Presenter: Marty Silman, Public Works Staff Contacts: Marty Silman, Public Works Ryan Davidson, Office of Budget and Performance Management Title: Transfer of Existing CIP Funding to Citywide Sign and Street Survey - $142,500 Background: In accordance with 23 CFR Part 655, the FHWA has required that agencies implement an assessment or management method for maintaining sign retro reflectivity, in accordance with section 406 of the Department of Transportation and Related Agencies Appropriations Act, 1993. This requirement will work towards meeting Section 2A.08 of the MUTCD. In order to meet these requirements Public Works will conduct a Citywide street sign survey. This survey would be used to gather a complete inventory of all City signs on all City accepted streets for the purposes of asset tracking, future planning and to meet the federal requirements to ensure that all street signage meets retro reflectivity requirements (ability to see at night and low visibility conditions). It is the desire of Public Works to utilize other funded projects to fulfill and meet the FHWA requirements. In addition to the sign inventory, the appropriation will also allow the City to obtain additional street data by utilizing the same technology that will be used to gather the sign information. Public Works has identified 5 existing capital accounts from which to transfer funding in the amount of $142,500, to fund this project. Discussion: Public Works has completed a Request For Proposal and has selected a consultant to conduct LiDAR survey of the City’s Right-of-way for the purpose of gathering a complete inventory of all City signs on all City accepted streets for the purposes of asset tracking, future planning and to identify signage that does not meet federal requirements for retro reflectivity. With the same technology, Public Works has the opportunity to also collect data for sidewalks, curbs, ADA ramps, crosswalks, striping and pavement conditions. The City’s ability to obtain all of this data through the survey will provide the following benefits: - The data will feed into the City’s GIS database, making it significantly more accurate and comprehensive - Contribute to the effort of asset tracking and management - Allow for proactive planning for future replacement, repair and maintenance of the City’s surface infrastructure - Calculate the Pavement Condition Index values on all roads in the street network allowing the paving funds to be used more efficiently - Establish priorities to maximize expenditure of City funds - Acquire a Citywide list of intersections that are not ADA compliant due to missing ramps or out of spec truncated domes - Provides cost savings by acquiring all data at once, as opposed to individual surveys of the different components of the ROW. Because the survey will provide data for various aspects of the City’s Right Of Way, the funds being requested will be appropriated from the following existing accounts: Street Milling and Paving ($42,300); Sidewalk Repair ($13,400); Signal Coordination ($71,000); ROW Appurtenances ($8,500); Citywide ADA Sidewalks and Curb Ramps ($7,300). Alignment with City Council’s Vision and Strategic Plan: The project supports City Council’s “Smart, Citizen-Focused Government” vision by utilizing modern technology to obtain data to ensure the City’s street system in maintained and safe. It contributes to Goal 3.2 of the Strategic Plan, to provide reliable and high quality infrastructure. Community Engagement: The FHWA issued a Request for Comments in the Federal Register seeking public input on traffic control device compliance dates. Feedback from this request was used to amend the previously identified compliance requirements. Budgetary Impact: This has no impact on the General Fund. The funds will be transferred from five existing capital accounts that were previously appropriated as part of the City’s Adopted CIP. Having accurate data will save the City future survey and inventory costs. Recommendation: Staff recommends approval of the resolution to transfer of the funds per the breakdown provided in the resolution. Alternatives: If funds are not appropriated, the City will lose the opportunity to collect much needed data on the City’s ROW infrastructure. By not performing the sign and ADA inventory survey, the City could face liability issues. Attachments: N/A RESOLUTION Transfer of Existing CIP Funding to Citywide Sign and Street Survey Project $142,500 BE IT RESOLVED by the Council of the City of Charlottesville, Virginia that $142,500 in previously appropriated funding is hereby transferred in the following manner: Transfer From $71,000 Fund: 427 WBS: P-00219 G/L Account: 599999 $42,300 Fund: 426 WBS: SS-009 G/L Account: 599999 $13,400 Fund: 426 WBS: SS-012 G/L Account: 599999 $8,500 Fund: 426 WBS: P-00981 G/L Account: 599999 $7,300 Fund: 426 WBS: CP-082 G/L Account: 599999 Transfer To $142,500 Fund: 426 WBS: P-00999 G/L Account: 599999 This page intentionally left blank CITY OF CHARLOTTESVILLE, VIRGINIA CITY COUNCIL AGENDA Agenda Date: October 1, 2018 Action Required: Approve Resolution Presenter: Paul Oberdorfer, Public Works Director Staff Contacts: Harold Young, Fleet Manager Kristel Riddervold, Environmental Sustainability Manager Title: Capital Funding Transfer from Fuel Station Projects for Fleet Shop Improvements- $380,000 Background: The FY 2019 Adopted Capital Improvement Program (CIP) included $200,000 in funding for the replacement of the 4th Street Fueling Station, and $520,000 in funding for the improvement of the Avon Street Fueling Station. There is also funding in the amount of $300,909 remaining from the FY 2018 CIP appropriation for the Replacement of the 4th Street Fueling Station. As it has now been determined that the entire remaining funding will not be necessary for the completion of these projects, Fleet is requesting a transfer of $380,000 from these previously appropriated funds to address recently identified deficiencies in Fleet Facilities and operations. Discussion: Since the time when these two projects were for approved for funding, the new Fleet Manager, Harold Young evaluated these projects when he came on-board in March 2018. After evaluating City fueling needs, it was determined that, the 4th Street Fueling Station should be closed permanently and not replaced and that the Avon Street Fueling Station could be upgraded to improve functionality and reliability. With this recommendation and evaluating updated cost estimates to close the 4th Street Fuel Station and upgrade the Avon Street Fuel Station, it is anticipated that there will be a fund balance of approximately $380,000. There have recently been deficiencies identified in fleet facilities and operations. A few of the deficiencies in Fleet operations are no fleet management software for better monitoring and reporting for Fleet, not a sufficient amount of heavy truck lifts for the size of our truck fleet. Deficiencies in the fleet facility are lighting needs to be upgraded, bulk oil system to be expanded throughout facility, out of service in-ground lift to be removed and filled. These deficiencies could be addressed with the saving from the Fueling Station Projects. Alignment with City Council’s Vision and Strategic Plan: This proposal supports the City Council’s “Green City” vision. It contributes to Goal 3 and 5 of the Strategic Plan, a beautiful and sustainable natural and built environment and a well-managed and responsive organization, and objectives 3.2 provide reliable and high quality infrastructure, 3.4 be responsible stewards of natural resources, 5.1 integrate effective business practices and strong fiscal policies. Community Engagement: N/A Budgetary Impact: No additional funding is required. All funds to be transferred have been previously appropriated as part of the FY18 and FY19 Adopted Capital Improvement Programs. Recommendation: Staff recommends approval of this recommendation to use already appropriated funds to address the 4th Street and Avon Yard fuel station projects and to cover identified fleet deficiencies. Alternatives: City Council could decline this recommendation, and the funds would remain in original CIP funds without funding fleet operation deficiencies. Attachments: Resolution RESOLUTION Capital Funding Transfer from Fuel Station Projects for Fleet Shop Improvements $380,000 WHEREAS, the City of Charlottesville, is renovating the Fueling Stations at the 4th Street location and Avon Street locations and the entire amount of the previously appropriated funding will not be required for completion of the project; NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Charlottesville, Virginia that the following is hereby transferred from previously appropriated funds in the following manner: Transfer From $380,000 Fund: 426 WBS: P-00940 G/L Account: 599999 Transfer To $380,000 Fund: 426 WBS: P-01001 G/L Account: 599999 This page intentionally left blank CITY OF CHARLOTTESVILLE, VIRGINIA CITY COUNCIL AGENDA Agenda Date: October 1, 2018 Action Requested: Approve the CAT Advisory Board Resolution Presenter: Chair/Vice-Chair, CAT Advisory Board Staff Contacts: Juwhan Lee, Assistant Transit Manager, Charlottesville Area Transit Title: Approval of a new resolution for the CAT Advisory Board Background: On October 7, 2013, City Council approved a resolution for the creation of the Charlottesville Area Transit (CAT) Advisory Board. To date, the Board has met regularly to discuss ongoing issues and topics related to transit in the area according to the established bylaws. Discussion: With the recent establishment of the Regional Transit Partnership (RTP), the Board is seeking to re- define itself to best suit the community and the mission of the CAT Advisory Board. On March 6, 2018, the CAT Advisory Board went through a facilitated session to identify what the Board should be, given the role of the RTP. Out of this session came the desire for the CAT Advisory Board to be a rider-centric board that is more advisory in nature. The CAT Advisory Board recognizes that long term/broad regional transit issues will be addressed by the RTP. This will enable the Board to focus on being a true representation of the ridership. The Board will emphasize direct ridership feedback regarding ongoing transit issues and provide information to the RTP as needed while advising CAT on the more detailed day-to-day aspects of rider concerns for the transit system. To this end, the CAT Advisory Board requests that City Council approve the amended resolution for the CAT Advisory Board. Alignment with City Council’s Vision and Strategic Plan: City Council Vision: A Connected Community The City of Charlottesville is part of a comprehensive, regional transportation system that enables citizens of all ages and incomes to easily navigate our community. An efficient and convenient transit system supports mixed use development along our commercial corridors, while bike and pedestrian trail systems, sidewalks, and crosswalks enhance our residential neighborhoods. A regional network of connector roads helps to ensure that residential neighborhood streets remain safe and are not overburdened with cut-through traffic. Smart, Citizen-Focused Government The delivery of quality services is at the heart of Charlottesville’s social compact with its citizens. Charlottesville’s approach to customer service ensures that we have safe neighborhoods, strong schools, and a clean environment. We continually work to employ the optimal means of delivering services, and our decisions are informed at every stage by effective communication and active citizen involvement. Citizens feel listened to and are easily able to find an appropriate forum to respectfully express their concerns. Strategic Plan: Goal 3: Beautiful environment. 3.3 Provide a variety of transportation and mobility options Community Engagement: The CAT Advisory Board has had bi-monthly meetings. Meetings involved Board members from the community, as well as being open to the public. Regular meetings with stakeholders will continue on. Budgetary Impact: None. Recommendation: Approve the amended resolution. Alternatives: If not approved, the CAT Advisory Board will continue on with its current structure, which has become inefficient as a result of above mentioned changes. Attachments: Resolution. MEMO TO: City Council FROM: Department of Transit DATE: September 10, 2018 SUBJECT: Amending the Resolution for the CAT Advisory Board On October 7, 2013, City Council approved a resolution for the creation of the Charlottesville Area Transit (CAT) Advisory Board. To date, the Board has met regularly to discuss ongoing issues and topics related to transit in the area according to the established bylaws. With the recent establishment of the Regional Transit Partnership (RTP), the Board is seeking to re- define itself to best suit the community and the mission of the CAT Advisory Board. On March 6, 2018, the CAT Advisory Board went through a facilitated session to identify what the Board should be, given the role of the RTP. Out of this session came the desire for the CAT Advisory Board to be a rider-centric board that is more advisory in nature. The CAT Advisory Board recognizes that long term/broad regional transit issues will be addressed by the RTP. This will enable the Board to focus on being a true representation of the ridership. The Board will emphasize direct ridership feedback regarding ongoing transit issues and provide information to the RTP as needed while advising CAT on the more detailed day-to-day aspects of rider concerns for the transit system. To this end, the CAT Advisory Board requests that City Council approve the draft amended resolution for the CAT Advisory Board. 1 RESOLUTION TO AMEND THE CAT ADVISORY BOARD Whereas, the Charlottesville Area Transit (CAT) Advisory Board was established by Council of City of Charlottesville in 2013; and Whereas, CAT values input from the public on current and future transportation needs; and Whereas, the CAT Advisory Board is charged with assisting in decision making process with regards to service changes and future restructuring; and Whereas, the CAT Advisory Board is charged with recommending to City Council policies regarding the services to be provided and the appropriate procedure for implementing CAT plans; and Whereas, with the creation of the Regional Transit Partnership and growing services with Albemarle County and JAUNT, the role of the CAT Advisory Board should be revised to better suit the entire community’s transit needs and not conflict with other advisory organizations, such as the Regional Transit Partnership; and Whereas, through a facilitated strategic planning process, the CAT Advisory Board proposes a revised mission statement of, “To serve as a rider-centric steering committee for Charlottesville Area Transit by soliciting and communicating riders’ perspectives regarding CAT initiatives and operations” and Whereas, to achieve its mission, the strategic plan proposes: • Adopt bylaws as it deems appropriate, in form approved by the City Attorney. • Determine membership that best reflects the mission of the Board. Membership should consist of stakeholders in the entire service area covered by CAT and be a good representation of a broad spectrum of actual riders. Membership should include, but not be limit to, individuals or agencies that represent riders from the City, County, UVA, ADA, aging, low income, youth riders, other transit agencies, etc. • Provide relevant information and functions to other area Board and Committees to help promote a better Transit system for the entire region. • Advise Charlottesville Area Transit service on various issues from the perspective of the rider; and 2 Whereas, the strategic plan also proposes a framework for the CAT Advisory Board bylaws to include: • Purpose and scope of the Board. • Membership selection and terms. • Board meeting schedules and process. • Reporting duties of the Board to various organizations. • Public engagement methods. NOW THEREFOR, BE IT RESOLVED, by the Council for the City of Charlottesville, Virginia, that the Charlottesville Area Transit (CAT) Advisory Board will be established with new bylaws to act as an advisory board to Charlottesville Area Transit and Council for the City of Charlottesville. Approved by Council ___________, 2018 3 This page intentionally left blank. CITY OF CHARLOTTESVILLE, VIRGINIA CITY COUNCIL AGENDA Agenda Date: October 1, 2018 Action Required: Resolution Presenter: Alex Ikefuna, NDS Director Staff Contacts: Alex Ikefuna, NDS Director Title: Capital Fund Transfer from SIA Implementation to Form-Based Code - $40,707 Background: On December 19, 2016, City Council approved a resolution to procure a consultant to assist with the development of a Form-Based Code (F.B.C.) to implement Phase I of the Strategic Investment Area Plan (SIA). The City Council also authorized a budget for such services up to $228,000.” A draft Form-Based Code has been completed and currently undergoing internal review process. Due to the concerns raised by the residents of SIA regarding the need for additional community engagement process, the contract has been amended to allow the Smart Growth America (Consultant) to undertake additional work necessary to address residents’ concerns. The modification would result in additional costs of $40,707. Discussion: Staff is requesting approval from the City Council to transfer $40,707 from the SIA Implementation fund to the Form-Based Code project account to conduct a workshop on Form-Based Code and Housing Strategy. The revised scope of work will include the following tasks: 1. Frame issues for resident input into Form-Based Code. 2. Review Friendship Court site plan for consistency with proposed Form-Based Code. 3. Prepare educational presentations for the workshops and open house. 4. Participate in Form-Based Code workshops and open house. 5. Develop options for revising the draft Code. 6. Edit Code and incorporate the revisions into the final draft of the Form-Based Code. 7. Prepare for Housing Strategy Workshops. 8. Attend Housing Strategy Workshops. 9. Recommend next steps in housing Strategy. Alignment with City Council’s Vision and Strategic Plan: As this project is associated with the Small Area Plan implementation and Comprehensive Plan, all aspects of the Council Vision are addressed in one way or another. It also contributes to Goal 5 of the Strategic Plan, A well-managed and responsive organization and Objective 5.4, Foster effective community engagement. Community Engagement: There was no formal community engagement process for the initial consultant selection process; however, the Selection Committee included a combination of City staff, representatives from the developer community, Public Housing Association of Residents (PHAR), Charlottesville Redevelopment and Housing Authority (C.R.H.A.), Piedmont Housing Alliance/Friendship Court, Belmont-Carlton Neighborhood Association, Ridge Street Neighborhood Association, North Downtown Neighborhood Association, Locust Avenue Neighborhood Association and Downtown Business Association. Additionally, more community engagement process will occur as part of the overall Form-Based Code development. The focus of this request is to primarily engage the low wealth community in framing issues related to Form-Based Code and how they would like to participate in the upcoming development of Housing Strategy. Budgetary Impact: No new funding is being requested. The funds will be transferred from previously appropriated Capital Improvement Program funding for the SIA Plan implementation project. Recommendation: Staff recommends approval and transfer of fund to Form-Based Code account. . Alternatives: The alternative will be not to approve the request, a measure that may impact the completion of the Form-Based Code project. Attachments: Resolution RESOLUTION Capital Fund Transfer from SIA Implementation to Form-Based Code $40,707 NOW, THEREFORE BE IT RESOLVED by the Council of the City of Charlottesville, Virginia that the additional funding for the Strategic Investment Area Form- Based Code and housing strategy workshops is hereby transferred in the following manner: Transfer From; $40,707 Fund: 426 WBS: P-00818 G/L Account: 599999 Transfer To $40,707 Fund: 426 WBS: P-00947 G/L Account: 599999 This page intentionally left blank RESOLUTION APPOINTMENT OF INTERIM CLERK OF COUNCIL BE IT RESOLVED by the Council for the City of Charlottesville, Virginia, that Brian Wheeler, employed by the City of Charlottesville as the Director of Communications, is hereby appointed Interim Clerk of Council until a permanent Clerk of Council is appointed by this Council. This page intentionally left blank CITY OF CHARLOTTESVILLE, VIRGINIA CITY COUNCIL AGENDA Agenda Date: September 17, 2018 Action Required: Consider modification to the Residential Permit Parking Ordinance Presenter: Brennen Duncan, Traffic Engineer, NDS Staff Contacts: Brennen Duncan, Traffic Engineer, NDS Title: Belmont Neighborhood Residential Permit Parking Zone Background Every year per city code, permit parking requests are submitted to Neighborhood Development services. All requests submitted prior to February 28st are evaluated against the guidelines set forth in city code section 15-206. This year we received application for the Belmont Neighborhood which currently has no zone. Currently the City Code specifies 6 Zones (Zone 1 includes areas around the University, Zone 4 is North Downtown, Zone 6 is a small area just north of W. Main street and east of the Railroad, Zone 7 is in the Fifeville Neighborhood, Zone 8 is South Street, and Zone 9 is the Martha Jefferson Neighborhood). Discussion This year we received 5 applications for Permit Parking from the neighborhoods. These included Hinton Avenue, Anderson Street, Nunley Street, Hanover Street and Carlton Road. Parking Data was collected on three different days in May. Hinton Avenue did meet the criteria, but because Belmont does not currently have a zone specified by ordinance there is no way to initiate the acceptance process for this street as residential permit parking. In your packet there is a map showing the proposed zone for the Belmont Permit Parking Zone as well as an ordinance to adopt into our city code. Since there is currently a vacancy in the numbering of our zones, we used the next available number which is Zone 2. Traffic Engineering has looked at the area most like Budgetary Impact None. 1 Recommendations Traffic Engineering’s recommendation is to accept the Belmont Neighborhood by ordinance into the Residential Permit Parking program. Alternatives 1. By motion, take action to approve the attached ordinance revision 2. By motion, request changes to the attached ordinance 3. By motion, deny residential permit parking Attachments 1. Belmont Permit Parking Ordinance 2. Belmont Permit Parking Map 2 AN ORDINANCE TO AMEND AND REORDAIN SEC. 15-204 OF THE CODE OF THE CITY OF CHARLOTTESVILLE, 1990, AS AMENDED, TO ESTABLISH A NEW PERMIT PARKING ZONE IN THE BELMONT NEIGHBORHOOD BE IT ORDAINED by the Council for the City of Charlottesville, Virginia that Section 15-204 of Article V, Division 3 of Chapter 15 (Motor Vehicles and Traffic) of the Charlottesville City Code, 1990, as amended, is hereby amended and reordained, as follows: CHAPTER 15. MOTOR VEHICLES AND TRAFFIC ARTICLE V. Stopping, Standing And Parking Division 3. Residential Permit Parking Zones and Restricted Parking Blocks Sec. 15-204. Designation of permit parking zones. The following areas of the city are hereby designated as permit parking zones, and any streets referenced as boundaries shall be deemed included as part of such zones: Zone 1. That area bounded on the north by Ivy Road, from the city limits to Emmett Street, then along Emmett Street to Barracks Road, then along Barracks Road to Rugby Road; bounded on the east by Rugby Road to Cabell Avenue, then along Cabell Avenue to Grady Avenue, then along Grady Avenue to 10th Street, then along 10th Street to West Street, then along West Street in a line extending to the Southern Railroad tracks; bounded on the south by the Southern Railroad tracks; and bounded on the west by the city limits. Zone 2. That area bounded on the west by 6th Street SE, beginning at the CSX Railroad tracks and 6th Street SE, continuing east along the railroad tracks to its intersection with Carlton Road; then south along Carlton Road to its intersection with Monticello Avenue; then west along Monticello Avenue to its intersection with 6th Street SE; then north along 6th Street SE to its terminus at the intersection of the CSX Railroad tracks and the Belmont Bridge. Zone 4. That area bounded on the north by Perry Drive, Park Lane East, and Poplar Street, on the east by Locust Avenue, on the south by East High Street, and on the west by Altamont Street and McIntire Road and including Altamont Circle and Walker Street. Zone 6. That area bounded on the east by 5th Street, N.W., on the north by the southern property line of the city maintenance yard, on the west by 7½ Street, N.W., on the south by Elsom Street, the 100 block of 7th Street, N.W. and Commerce Street. Zone 7. That area bounded on the north by Grove Street, Estes Street and the CSX Railroad, on the west by Baker Street and North Baker Street, on the south by Forest Hills Avenue, and on the east by 9th Street, S.W. and 5th Street, S.W. Zone 8. That area consisting of South Street from Ridge Street to its terminus at Second Street, S.E. Zone 9. That area bounded on the north by Hazel Street, on the east by Meade Avenue, on the south by East Market Street, and on the west by 10th Street, N.E and Locust Avenue. 012134 5678ÿ667 1 1ÿÿÿ  !"#$% 1+ÿ7- 2 (6/ÿ+()&83'-(4)ÿ1++,ÿ-().( ÿ- /ÿ506ÿ(78 )ÿ/(13-(22'(61/,ÿÿ-6ÿ=3ÿ1,015-633,4+ÿ,)1>(5/6=6,+,7- 2 (6/ 8>ÿÿ/-6/,+ÿÿ-+ÿ-)92-,ÿ:61;42ÿ--(//+1ÿ+()ÿ=ÿ,/667ÿ 2ÿ(/:-21,/(6+91)+ÿÿ)2669ÿ;,15ÿ19))>1ÿ-+/ÿ-+)ÿ' ÿ)9-5',3<6ÿÿ2&21')1:(331 ((/)ÿ=/66,27- ÿ,1)86/)(;31ÿ=6,ÿ(2)ÿ-559,-54ÿ6,ÿ'6.ÿ59,,1/2ÿ(2ÿ7-4ÿ;1< This page intentionally left blank. CITY OF CHARLOTTESVILLE, VIRGINIA CITY COUNCIL AGENDA Agenda Date: October 1, 2018 Action Requested: Consideration of a Rezoning Application Presenter: Matt Alfele, City Planner Staff Contacts: Matt Alfele, City Planner Title: 1206 Carlton Avenue Background: Justin Shimp (Shimp Engineering) on behalf of Chris Hulett (owners of 1206 Carlton Ave) has submitted a rezoning petition for 1206 Carlton Avenue (Subject Property). The rezoning petition proposes a change in zoning from the existing R-2 Two-family Residential to R-3 Multi-family with proffered development conditions. The proffered development conditions include: (i) affordable housing: one unit will be designated affordable and will rent at a rate set by HUD home rents, making the unit affordable to those with income of up to 80% AMI for a period of not more than 10 years, (ii) building height: no building on the site shall exceed 35’ in height from grade The rezoning application is being requested (in conjunction with SUP application SP17-00008) to accommodate a proposed six (6) unit apartment building on the subject property with seven (7) parking spaces that would not be permitted under the current zoning. The subject property is currently vacant with road frontage on Carlton Avenue and alley access from the rear of the property to Bainbridge Street. In addition to the rezoning application, Justin Shimp, on behalf of the owner, (Hulett Management Services) submitted a Special Use Permit application (SUP) for a residential density of twenty- four (24) DUA (Dwelling Units per Acres). An increase in density through a SUP is not permitted unless the Subject Property is granted a rezoning to R-3 through ZM-17-00004. If Council approves the rezoning on 1st reading, the SUP resolution will be considered at the next meeting to coincide with the 2nd reading on the rezoning ordinance. In addition to increased density, the applicant is requesting adjustments to side yard regulations per Z.O. Sec. 34-162 from the required eleven (11) feet six (6) inches to eight (8) feet to accommodate the location of the proposed building. 1 Discussion: The Planning Commission discussed this matter at their March 13, 2018 and July 10, 2018 meeting. The discussion of the subject property centered both on the rezoning application and the SUP application. The appropriateness of a six (6) unit apartment on such a small lot and the adverse impact it could have on the surrounding neighborhood was the main focus of the discussion. An apartment with six (6) two-bedroom units and only seven (7) parking spaces seemed inadequate to the Planning Commission. They expressed concerns that overflow parking would impact Carlton Avenue and Chestnut Street. The lack of a sidewalk on the north side of Carlton Avenue, the lack of a crosswalk, illegal parking, and speeding were also concerns. The Commission discussed how the lack of pedestrian features and speeding at this location could impact the safety to children walking to school. The massing of the building was also a concern. Most of the buildings in the area are one (1) and two (2) stories in height. The proposed apartment would be three (3) stories with a max height of (35) feet. It should be noted this is the same max height (35 feet) for the current R-2 zoning. The Commission was concerned the building would not transition well to the southern and western adjacent properties. Improvement of the alley was also a concern that was discussed. One unit renting at up to 80% AMI was also a concern to the Planning Commission as it would not have much impact on affordability. It was also noted that this type of development (small apartment) is a needed housing type, but this location might not be appropriate. Alignment with City Council’s Vision and Strategic Plan: If City Council approves the rezoning request, the project could contribute to Goal 3: A Beautiful and Sustainable Natural and Built Environment, 3.1 Engage in robust and context sensitive urban planning and implementation, and the City Council Vision of Quality Housing Opportunities for All. Community Engagement: The Planning Commission held a joint Public Hearing with City Council on this matter at their meeting on March 13, 2018 and the Planning Commission held a hearing on July 10, 2018. During the March 13th Public Hearing, two members of the public spoke. One spoke in support of the project and believed it was in line with the “social fabric” of the neighborhood. The other speaker read a list of concerns from the Belmont-Carlton Neighborhood Association. The speaker indicated the concerns were not related to this specific project, but the concentration of development overall in Belmont and the need for the City to address infrastructure. During the July 10th Public Hearing, two members of the public spoke against the project. They believed overflow parking would be a problem and impact people living on Chestnut Street. They believed the lot should stay zoned R-2. 2 On November 13, 2017 the applicant held a community meeting at Clark Elementary. The applicant gave an overview of the project as it related to the need for a rezoning and a SUP. The community voiced the following concerns with the proposed development:  One (1) parking space per unit would be inadequate. Traffic and a shortage of parking in the neighborhood is an ongoing problem and this development could contribute to that.  The existing alley is not adequate for ingress/egress.  The building should be pushed north to allow additional sunlight into the apartments. Staff received a number of emails regarding this project and they have been forwarded to Planning Commission and City Council. The main concern noted is related to inadequate parking for this project. Budgetary Impact: This has no impact on the General Fund. Recommendations: The Planning Commission took the following action: Mr. Mitchell moved to recommend denial of this application to rezone the subject property from R-2 to R-3, on the basis that the proposal would not serve the interests of the general public and good zoning practice. Ms. Dowell seconded the motion. The motion passed 4 – 3. Alternatives: City Council has several alternatives following a public hearing: (1) by motion, deny the requested Rezoning as recommended by the Planning Commission; (2) by motion, take action to approve the attached ordinance granting the Rezoning; (3) by motion, request changes to the attached ordinance, and then approve the Rezoning; or (4) by motion, defer action on the Rezoning. Attachments: A. Ordinance B. Link to the Staff Report and background information from the March 13, 2018 Planning Commission meeting: http://www.charlottesville.org/home/showdocument?id=62309 (Staff Report starts on page 12) 3 ZM-17-00004 AN ORDINANCE APPROVING A REQUEST TO REZONE PROPERTY LOCATED AT 1206 CARLTON AVENUE FROM R-2 (RESIDENTIAL TWO FAMILY) TO R-3 (RESIDENTIAL MULTI-FAMILY), SUBJECT TO PROFFERED DEVELOPMENT CONDITIONS WHEREAS, Shimp Engineering is the Owner’s Agent/Engineer for Landowners Chris Hulett/Hulett Management Services (collectively, “Applicant”) with respect to certain property located at 1206 Carlton Avenue, designated on City Tax Map 57 as Parcel 127, and the Applicant seeks a rezoning of such property from R-2 (Residential Two-Family) to R-3 (Residential Multi-Family) (hereinafter referred to as the “Proposed Rezoning”); and WHEREAS, a joint public hearing on the Proposed Rezoning was held before the Planning Commission and City Council on March 13, 2018, following notice to the public and to adjacent property owners as required by law; and WHEREAS, an additional public hearing before the Planning Commission was held on July 10, 2018, following notice to the public and to adjacent property owners as required by law; and WHEREAS, on July 10, 2018, following the public hearing, the Planning Commission voted to recommend that City Council should deny the Proposed Rezoning; and WHEREAS, on October 1, 2018, following notice to the public and to adjacent property owners as required by law, this City Council considered the matters addressed within the Application and Staff Report, comments received from the public, including those received at the public hearings on March 13, 2018, July 10, 2018, and October 1, 2018 in this matter, as well as the Planning Commission’s recommendation; and WHEREAS, this Council finds and determines that the public necessity, convenience, general welfare and good zoning practice requires the Proposed Rezoning; that both the existing zoning classification (R-2 Residential Two-Family) and the proposed zoning classification R-3 (Residential Multi-Family), subject to proffered development conditions, are reasonable; and that the Proposed Rezoning is consistent with the Comprehensive Plan; now, therefore, BE IT ORDAINED by the Council of the City of Charlottesville, Virginia that the Zoning District Map Incorporated in Section 34-1 of the Zoning Ordinance of the Code of the City of Charlottesville, 1990, as amended, be and hereby is amended and reenacted as follows: Section 34-1. Zoning District Map. Rezoning from R -2 R esi dent i al Two -F am i l y t o R-3 Residential Multi-Family, the property located at 1206 Carlton Avenue, designated on City Tax Map 5 7 as Parcel 127, consisting of approximately 0 . 2 6 acre, subject to the following Proffers, which were tendered by the Applicant in accordance with law and are hereby accepted by this City Council. 4 Approved Proffers 1. Affordable housing: one unit will be designated affordable and will rent at a rate set by HUD home rents, making the unit affordable to those with income of up to 80% AMI for a period of not more than 10 years; and 2. Building height: no building on the site shall exceed 35’ in height from grade. 5 This page intentionally left blank CITY OF CHARLOTTESVILLE, VIRGINIA CITY COUNCIL AGENDA Agenda Date: October 1, 2018 Action Required: Consideration of a Zoning Text Amendment Presenter: Craig A. Fabio, Asst. Zoning Administrator, NDS Staff Contacts: Craig A. Fabio, Asst. Zoning Administrator, NDS Title: ZT18-06-04 – Temporary Parking Facilities Background: At the Planning Commission’s June 12, 2018 meeting, a study period was initiated at the request of Staff. Staff has dealt with multiple requests over the past few years associated with Temporary Parking Facilities. Several properties on Cherry Avenue are currently operating in a manner that could comply with these regulations. The Quirk, currently under construction on West Main Street has interest in using the nearby parcel (on 5th Street SW) in this manner as well. Staff seeks a Temporary Use Permit option to provide regulations and enforcement assistance for projects such as these. Standard of Review Per Sec. 34-42(c), Planning Commission is to make a recommendation on an initiated amendment to the zoning ordinance within 100 days to City Council. Planning Commission makes their recommendation based off of the following factors: (1) Whether the proposed amendment conforms to the general guidelines and policies contained in the comprehensive plan; (2) Whether the proposed amendment will further the purposes of this chapter and the general welfare of the entire community; (3) Whether there is a need and justification for the change; and 1 (4) When pertaining to a change in the zoning district classification of property, the effect of the proposed change, if any, on the property itself, on surrounding property, and on public services and facilities. In addition, the commission shall consider the appropriateness of the property for inclusion within the proposed zoning district, relating to the purposes set forth at the beginning of the proposed district classification. Per Sec. 34-43, City Council is to hold at least one (1) public hearing prior to acting on any proposed amendment to the zoning ordinance. Relevant Code Sections §34- 201 et seq. and §34-1190 et seq. (Amendments to the Zoning Ordinance), §34-480 and §34- 796 (Use matrices – mixed use and commercial corridor districts) Proposed Zoning Text Change Revise the Commercial (Industrial) Districts (§34-480) matrix as follows:  Amend the Use Matrix to indicate that a Temporary Use Permit is required for Temporary Parking Facilities use in all commercial districts. Revise the Mixed Use Districts (§34-796) matrix as follows:  Amend the Use Matrix to indicate that a Temporary Use Permit is required for Temporary Parking Facilities use in all mixed use districts. Amend §34-1190 et seq., adding §34-1196 with use specific language. Discussion: Overview of Staff Analysis Please see the staff report prepared for the September 11, 2018 Planning Commission Meeting (Attachment 2) for more information. Staff recommended approval of the proposed zoning text amendment to allow for Temporary Parking Facilities in all Mixed Use and Commercial Zoning Districts, but only when tied to an active construction project:  Staff indicated the need for the change to the Zoning Ordinance. The City of Charlottesville is almost completely built out. There are very few undeveloped properties remaining. Recent high profile projects have had major impacts on the City’s public space during construction. The requirements of the City Code and review boards, the 2 desire to maximize space and the cost of construction have led to projects that encompass the entirety of properties. In order to construct these projects adjacent property is needed. Temporary Parking Facilities, on private property, would reduce impacts on the public and the public rights-of-way.  Staff has researched many other jurisdictions and crafted Code language that will allow for oversight and regulation. The temporary nature of the permits and the check points in the regulations provide a means to keep sites in keeping with the City’s development goals.  The 2013 Comprehensive Plan looks to promote infill development, and increase commercial vitality and density in appropriate areas. In order to facilitate such growth there will be a need to utilize properties and spaces adjacent to or near building sites. This is mainly due to the scale of these projects, which is necessary driven by Code requirements, best use of a property or simple economics.  The Transportation chapter of the Comprehensive Plan seek[s] to expand and anticipate traffic calming where applicable throughout the City in collaboration with neighborhood residents and as part of the development process. Providing Temporary Parking Facilities will alleviate stress on neighborhood streets and provide parking opportunities that would otherwise be in violation of the Ordinance.  Staff believes the proposed regulations ease development pressures, while providing the City with oversight. Planning Commission Among the matters discussed by the Planning Commission at their September 11, 2018 meeting were the following:  Whether this was a necessary text change to the Zoning Ordinance at this time, rather than part of a larger review of the entire document.  The desire to avoid major closures to City rights-of –way, referencing recent West Main and Water Street projects.  The Comprehensive Plan’s desire for development and density.  The commission also discussed the existing uses that could be regulated by this change. Alignment with City Council’s Vision Areas and Strategic Plan: The proposed zoning text amendment aligns with the City Council Vision of Economic Sustainability, where the City is a “business friendly environment.” The proposed zoning text amendment aligns with the City’s Strategic Plan, Goal 4.3, “grow and retain viable businesses.” Allowing the proposed use via temporary use permit (higher level of review) aligns with Strategic Plan, Goal 3.1, “engage in…context sensitive urban planning….” 3 Community Engagement: No public comment was received. Budgetary Impact: No budgetary impact. Recommendation: The Commission took the following action: Mr. Smith moved as follows: “I move to recommend approval of this zoning text amendment to amend and re-ordain §34-201 et seq. and §34-1190 et seq. (Amendments to the Zoning Ordinance), §34-480 and §34-796 (Use matrices – mixed use and commercial corridor districts) of the Code of the City of Charlottesville, 1990, as amended, to allow Temporary Parking Facilities in all Mixed Use and Commercial Zoning Districts by Temporary Use Permit on the basis that the changes would serve the interests of general public welfare with the following conditions; that the contractor show demonstrable progress on the construction site, that the parking area be secured for the interest of and from the public and that temporary parking areas have dark skies compliant lighting shielded and screened from any Residential Zoning Districts. Mr. Lahendro seconded the motion. Ms. Green added a friendly amendment, to eliminate the Director waiver specified in proposed §34- 1196(c)(6). Mr. Smith and Mr. Lahendro accepted. The commission approved the amendment 6 – 0. The motion carried 6 – 0. Alternatives: City Council has several alternatives: (1) by motion, take action to approve the attached resolution (granting the ZTA); (2) by motion, request changes to the attached Resolution, and then approve the ZTA in accordance with the amended Resolution; (3) by motion, deny the requested ZTA (as recommended by the Planning Commission). Attachment: (1) Proposed Resolution Approving a Zoning Text Amendment (2) Staff Report with Attachments, September 11, 2018 (http://www.charlottesville.org/home/showdocument?id=62715 Page 146) 4 CITY OF CHARLOTTESVILLE, VIRGINIA CITY COUNCIL AGENDA Agenda Date: October 1, 2018 Action Required: Consideration of a Zoning Text Amendment Presenter: Craig A. Fabio, Asst. Zoning Administrator, NDS Staff Contacts: Craig A. Fabio, Asst. Zoning Administrator, NDS Title: ZT18-06-03 – Temporary Construction Yard Background: At the Planning Commission’s June 12, 2018 meeting, a study period was initiated at the request of Staff. Staff has dealt with multiple requests over the past few years associated with Temporary Construction Yards. The property at the corner of Roosevelt Brown Boulevard and Cherry Avenue is currently operating in a manner that would comply with these regulations. The Standard, located at 853 West Main Street has been using the adjacent parcel (843 West Main Street) in this manner as well. Staff seeks a Temporary Use Permit option to provide regulations and enforcement assistance for projects such as these. Standard of Review Per Sec. 34-42(c), Planning Commission is to make a recommendation on an initiated amendment to the zoning ordinance within 100 days to City Council. Planning Commission makes their recommendation based off of the following factors: (1) Whether the proposed amendment conforms to the general guidelines and policies contained in the comprehensive plan; (2) Whether the proposed amendment will further the purposes of this chapter and the general welfare of the entire community; (3) Whether there is a need and justification for the change; and 1 (4) When pertaining to a change in the zoning district classification of property, the effect of the proposed change, if any, on the property itself, on surrounding property, and on public services and facilities. In addition, the commission shall consider the appropriateness of the property for inclusion within the proposed zoning district, relating to the purposes set forth at the beginning of the proposed district classification. Per Sec. 34-43, City Council is to hold at least one (1) public hearing prior to acting on any proposed amendment to the zoning ordinance. Relevant Code Sections §34- 201 et seq. and §34-1190 et seq. (Amendments to the Zoning Ordinance), §34-480 and §34- 796 (Use matrices – mixed use and commercial corridor districts) Proposed Zoning Text Change Revise the Commercial (Industrial) Districts (§34-480) matrix as follows:  Amend the Use Matrix to indicate that a Temporary Use Permit is required for Temporary Construction Yard uses in all commercial districts. Revise the Mixed Use Districts (§34-796) matrix as follows:  Amend the Use Matrix to indicate that a Temporary Use Permit is required for Temporary Construction Yard uses in all mixed use districts. Amend §34-1190 et seq., adding §34-1195 with use specific language. Discussion: Overview of Staff Analysis Please see the staff report prepared for the September 11, 2018 Planning Commission Meeting (Attachment 2) for more information. Staff recommended approval of the proposed zoning text amendment to allow for Temporary Construction Yards in all Mixed Use and Commercial Zoning Districts:  Staff indicated the need for the change to the Zoning Ordinance. The City of Charlottesville is almost completely built out. There are very few undeveloped properties remaining. Recent high profile projects have had major impacts on the City’s public space during construction. The requirements of the City Code and review boards, the 2 desire to maximize space and the cost of construction have led to projects that encompass the entirety of properties. In order to construct these projects adjacent property is needed. A Temporary Construction Yard, on private property, would reduce impacts on the public and the public rights-of-way.  Staff has researched many other jurisdictions and crafted Code language that will allow for oversight and regulation. The temporary nature of the permits and the check points in the regulations provide a means to keep sites in keeping with the City’s development goals.  The 2013 Comprehensive Plan looks to promote infill development, and increase commercial vitality and density in appropriate areas. In order to facilitate such growth there will be a need to utilize properties and spaces adjacent to or near building sites. This is mainly due to the scale of these projects, which is necessary driven by Code requirements, best use of a property or simple economics.  The Transportation chapter of the Comprehensive Plan seek[s] to expand and anticipate traffic calming where applicable throughout the City in collaboration with neighborhood residents and as part of the development process. Providing Temporary Parking Facilities will alleviate stress on neighborhood streets and provide parking opportunities that would otherwise be in violation of the Ordinance.  Staff believes the proposed regulations ease development, while providing the City with oversight. Planning Commission Among the matters discussed by the Planning Commission at their September 11, 2018 meeting were the following:  Whether this was a necessary text change to the Zoning Ordinance at this time, rather than part of a larger review of the entire document.  The desire to avoid major closures to City rights-of –way, referencing recent West Main and Water Street projects.  The Comprehensive Plan’s desire for development and density.  The Commission also discussed the existing uses that could be regulated by this change. Alignment with City Council’s Vision Areas and Strategic Plan: The proposed zoning text amendment aligns with the City Council Vision of Economic Sustainability, where the City is a “business friendly environment.” The proposed zoning text amendment aligns with the City’s Strategic Plan, Goal 4.3, “grow and retain viable businesses.” Allowing the proposed use via Temporary Use Permit (higher level of review) aligns with Strategic Plan, Goal 3.1, “engage in…context sensitive urban planning….” 3 Community Engagement: No public comment was received. Budgetary Impact: No budgetary impact. Recommendation: The Commission took the following action: Mr. Smith moved as follows: “I move to recommend approval of this zoning text amendment to amend and re- ordain §34- 201 et seq. and §34-1190 et seq. (Amendments to the Zoning Ordinance), §34-480 and §34-796 (Use matrices – mixed use and commercial corridor districts) of the Code of The City of Charlottesville, 1990, as amended, to allow Temporary Construction Yards in all Mixed Use and Commercial Zoning Districts by Temporary Use Permit on the basis that the changes would serve the interests of general public welfare with the following conditions; that the permits include stipulations as to what constitutes an active construction site and that the TUPs stipulate secure and safe protections from the public.” Mr. Lahendro seconded the motion. Mr. Mitchell added a friendly amendment, conditioning the removal of the Director waiver specified in proposed §34- 1195(c)(2). This was accepted by Mr. Smith and Mr. Lahendro. The commission approved the amendment 6 – 0. The motion carried 5 – 0 with Mr. Solla-Yates abstaining, recommending approval of the Zoning Text Amendment Alternatives: City Council has several alternatives: (1) by motion, take action to approve the attached resolution (granting the ZTA); (2) by motion, request changes to the attached Resolution, and then approve the ZTA in accordance with the amended Resolution; (3) by motion, deny the requested ZTA (as recommended by the Planning Commission). Attachment: (1) Proposed Resolution Approving a Zoning Text Amendment (2) Planning Commission Staff Report with Attachments, September 11, 2018 (http://www.charlottesville.org/home/showdocument?id=62715 Page 137) 4 AN ORDINANCE AMENDING AND REORDAINING SECTIONS 34-201, 34-202, 34-480, 34-796, 34-1190, 34-1191, 34-1192, 34-1193, 34-1194 OF CHAPTER 34 (ZONING), AND ADDING NEW SECTIONS TO CHAPTER 34 NUMBERED 34-1195 AND 34-1196, ALL RELATING TO CLASSIFYING TEMPORARY SURFACE PARKING FACILITIES AND TEMPORARY CONSTRUCTION YARDS AS TEMPORARY USES REQUIRING A PERMIT. BE IT ORDAINED by the Council for the City of Charlottesville, Virginia that: (1) Sections 34-201 and 34-202 of Article I (Administration), Section 34-480 of Article IV (Commercial Districts), Section 34-796 of Article VI (Mixed Use Districts), and Sections 34-1190 through 1194 of Article IX (Generally Applicable Regulations), of Chapter 34 (Zoning) of the Charlottesville City Code, 1990, as amended, are hereby amended and reordained, as follows; and (2) Sections 34-1195 and 34-1196 of Article IX (Generally Applicable Regulations) of Chapter 34 (Zoning) of the Charlottesville City Code, 1990, as amended, are hereby added as new sections, as follows: CHAPTER 34. ZONING ARTICLE I. ADMINISTRATION DIVISION 10. TEMPORARY USES Sec. 34-201. In general. (a) There are certain temporary uses that by their nature require additional regulation, beyond the general requirements applicable to a particular zoning district, in order to protect the welfare, safety and convenience of the public. The impacts of temporary uses are of a nature that is generally quantifiable and subject to mitigation by imposition of specifically articulated standards. Such uses may be allowed to locate within designated zoning districts under the controls, limitations and regulations of the temporary use permit established by this division. (b) The zoning administrator may approve a temporary use permit under the provisions of this division, after concluding that the proposed temporary use complies with the standards prescribed within this division and within Article IX, Division 10, including: (1) Outdoor assemblies, section 34-1191; (2) Outdoor sales, section 34-1192; (3) Amusement enterprises, section 34-1193. (c) The zoning administrator shall have no authority to vary, modify, or waive any of the regulations or standards prescribed within this division for any specific use for which a temporary use is required, except that the zoning administrator may identify waive some or all application submission requirements that to the extent such requirements do not apply in relation to a particular application in a given situation. Sec. 34-202. Application. (a) An application for a temporary use permit may be made by any person who is a property owner, or by any lessee or contract purchaser of a property. (b) The application shall be filed with the zoning administrator on forms provided by the department of neighborhood development services. All information required for evaluation of the application in accordance with the standards of this division shall be supplied and the applicant shall remit the fee established by city council for such permit. No application shall be deemed filed until all submission requirements are deemed by the zoning administrator to have been met. (c) The applicant shall provide a plat or drawing showing the location of all signs, structures, outdoor furniture, parking, equipment and lighting to be utilized on a lot or parcel in connection with a proposed temporary use; (d) The zoning administrator may require a bond or other suitable guarantee sufficient: (i) to ensure that signs, trash, temporary structures and debris will be removed from the site and from the immediate vicinity of the site; (ii) that the activity will not remain for longer than a temporary period; and (iii) to ensure compliance with applicable provisions of city ordinances. Such bond or guarantee shall be not less than one hundred dollars ($100.00) nor more than one hundred thousand dollars ($100,000.00), depending on the nature and extent of the proposed use. (1) The bond or other guarantee shall be forfeited to the city if the site is not adequately cleared of all trash, debris, signs and temporary structures. (2) The bond or guarantee shall be forfeited to the city if the activity remains on the site after expiration of the permit. (3) The bond shall be forfeited to the city if violations of any applicable city ordinances are established. (e) Not more than five (5) temporary use permits shall be issued for the same lot or parcel of land in any calendar year. Each event or activity authorized by a temporary use permit shall be separated by a period of not less than twenty-one (21) consecutive days. No temporary use permit shall be issued to an applicant unless and until at least twenty-one (21) days after a permit issued to that applicant for an adjacent lot or parcel has expired. (f) Only one (1) temporary use permit shall be active on any lot or parcel at any time. (g) All temporary uses and any appurtenant structures, signs, goods and other features must be set back from an adjacent right-of-way by at least twenty (20) feet. (h) All activities to be conducted pursuant to a temporary use permit shall be in compliance with (i) the standards set forth within Article IX, sections 34-1190 through 34-1196 34-1193, as applicable; and (ii) all applicable city ordinances, permits and approvals, including, without limitation: occupancy permits, peddler's licenses, sign permits, BAR certificates of appropriateness, etc. (i) Use of all buildings and structures shall be in compliance with all applicable building code regulations. ARTICLE IV (COMMERCIAL DISTRICTS) Division 4 (Use Matrix) Sec. 34-480. Use matrix—Commercial districts. Amend the Use Matrix in the column specifying uses by adding a use under NON- RESIDENTIAL: INDUSTRIAL entitled “Temporary Construction Yard” as a sub-use of Construction Storage Yard, and specifying this use requires a temporary use permit (“T”) in all commercial district columns. Amend the Use Matrix to specify that a temporary use permit (“T”) is required in the Emmet Street (ES) zoning district for the use type entitled “Parking: Temporary Parking Facilities” under NON-RESIDENTIAL: GENERAL and MISC. COMMERCIAL. Amend the Use Matrix in the column specifying uses by adding a use under NON- RESIDENTIAL: INDUSTRIAL entitled “Temporary Parking Facilities” and specifying this use requires a temporary use permit (“T”) in all commercial district columns. ARTICLE VI (MIXED USE DISTRICTS) Division 16 (Use Matrix) Sec. 34-796. Use matrix—Mixed use corridor districts. Amend the Use Matrix in the column specifying uses by adding a use under NON- RESIDENTIAL: INDUSTRIAL entitled “Temporary Construction Yard” as a sub-use of Construction Storage Yard, and specifying this use requires a temporary use permit (“T”) in all mixed use corridor district columns. Amend the Use Matrix to specify that a temporary use permit (“T”) is required in all mixed use zoning districts for the use type entitled “Parking: Temporary Parking Facilities” under NON- RESIDENTIAL: GENERAL and MISC. COMMERCIAL. ARTICLE IX. GENERALLY APPLICABLE REGULATIONS DIVISION 10. TEMPORARY USE PERMITS Sec. 34-1190. General standards. (a) In addition to the standards set forth within this division for specific temporary uses, all uses authorized by a temporary use permit must satisfy the following requirements: (1) As part of the application for a temporary use permit, an applicant shall provide a written plan containing, at a minimum, the following information: a. Site sketch diagram showing the boundaries of the subject site; the tax map and parcel numbers for the subject site and adjacent property owners; the name of the owner of the subject property, and the name(s) of all adjacent property owners; the zoning district classifications of the subject site and each adjacent property; and a layout of the structures, parking and other pertinent features of the proposed temporary use. b. Written permission of the owner of the subject property (if different than the applicant) authorizing the applicant to use the subject property for the temporary use. c. Proof that the applicant and/or owner of the subject property have obtained, or will obtain, all licenses, permits and other governmental approvals required by any federal, state or local laws or regulations, required for or in connection with the proposed temporary use. d. Other information deemed necessary by the zoning administrator in order to evaluate the application. (2) A temporary use must be permitted within the zoning district where it will be located. Sec. 34-1191. Temporary outdoor assemblies. Temporary outdoor assemblies authorized by temporary use permit shall include the following conditions: (1) Must take place only between the hours of 9:00 a.m. and 9:00 p.m. on a given day. (2) Must provide parking for persons expected to attend the event, no fewer than one (1) space per four (4) persons of the capacity of the site, as determined by the zoning administrator. (3) Must meet all applicable requirements of the state building and fire prevention codes. Sec. 34-1192. Temporary outdoor sales. Temporary outdoor sales authorized by temporary use permit shall include the following conditions: (1) May not be located or conducted in a manner that will reduce or eliminate the availability of any required off-street parking spaces for the subject property. (2) May not be located within any yard subject to a landscaping or buffer/screening requirement. (3) Must, with respect to any lighting utilized, comply with applicable provisions of Division 3, sections 34-1000, et seq., of this article. (4) Must meet all applicable requirements of the state building and fire prevention codes. Sec. 34-1193. Amusement enterprises (circuses, carnivals, etc.). Temporary amusement enterprises authorized by temporary use permit shall include the following conditions: (1) Must provide parking sufficient to accommodate the number of persons expected to attend the event, as determined by the zoning administrator based on other, similar events. (2) Must, in all aspects (including, without limitation, the erection of tents and rides) be conducted in accordance with applicable requirements of the state building and fire prevention codes. (3) Shall not be approved to take place at any site within three hundred (300) feet of a low- density residential zoning district. (4) Must, with respect to any lighting utilized, comply with applicable provisions of Division 3, section 34-1000, et seq. of this article. Sec. 34-1194. Temporary family health care structures. (a) Temporary family health care structures shall be a permitted accessory use in single family residential zoning districts on lots zoned for single-family detached dwellings if such structure (i) is used by a caregiver in providing care for a mentally or physically impaired person, and (ii) is on property owned or occupied by the caregiver as his residence. For purposes of this section, "caregiver" and "mentally or physically impaired person" shall have the same meaning as defined in Virginia Code § 15.2-2292.1. (b) Any person proposing to install such structure shall first obtain a temporary use permit. (c) In addition to the specific requirements of a temporary family health care structure found in Virginia Code section 15.2-2292, section 34-1200 herein, such structures a temporary use permit for a temporary family health care structure shall include must meet the following minimum conditions requirements: (1) Only one (1) such structure shall be allowed on a lot or parcel of land. (2) The applicant must provide evidence of compliance with this section to the city one (1) year from the date of installation, and every year thereafter, as long as such structure remains on the property. Such evidence will involve inspection by the city of such structure at reasonable times. (3) The applicant must comply with all applicable requirements of the Virginia Department of Health. (4) No signage advertising or otherwise promoting the existence of the structure shall be permitted anywhere on the property. (5) Such structure shall be removed within thirty (30) days of the time from which the mentally or physically impaired person is no longer receiving, or is no longer in need of, the assistance provided for in this section. (6) The zoning administrator may revoke any permit granted hereunder if the permit holder violates any provision of this section, in addition to any other remedies that the city may seek against the permit holder, including injunctive relief or other appropriate legal proceedings to ensure compliance. Sec. 34-1195. Temporary construction yard. (a) Temporary permit; renewal. A temporary permit may be issued in all zoning districts by the zoning administrator for yards located outside the public right-of-way which support a temporary construction project (including projects for the maintenance or repair of streets or structures). Such permit shall be valid for a period not exceeding eighteen (18) months, provided that the standards set out below are followed. A permit may be renewed for additional twelve- month periods, provided that there is continued compliance with the standards set out below. The project operator must show demonstrable progress in order for a permit to be renewed. Inactive sites will need to be removed. (b) Site diagram details. In addition to the requirements set forth in Sec. 34-1190(a)(1)(a), a site diagram for a temporary construction yard shall identify the general location and extent of the activities and structures of the yard, including vehicle storage areas, contractor's office, watchman's trailer, construction equipment sheds, etc. The diagram shall also show or describe a restoration plan for the site, setting out how the site will appear sixty (60) days after the expiration or termination of the temporary use permit. (c) Site requirements. (1) A temporary construction yard shall provide erosion and sediment control, and stormwater management, in accordance with federal, state and local stormwater regulations and requirements. The addition of a temporary construction yard may require amendments to an existing environmental permit. (2) When determined to be necessary, temporary construction yards must be screened from the adjacent right(s)-of-way and adjacent properties. At a minimum, screening must meet S-3 requirements set forth in the City of Charlottesville Zoning Ordinance Sec. 34-871. With the approval of the zoning administrator, an opaque wall or fence may be utilized for, or as part of, a required screen. Where allowed, such wall or fence (including any gate(s) forming a portion of such structure) shall be at least six (6) feet tall, or an alternate height deemed necessary by the zoning administrator to protect required sight distances along a public right-of-way. (3) All lighting associated with the site must be dark skies compliant and screened from view from any rights-of-way or residential zoning district. (d) Maintenance requirement. (1) All areas of such yard, as well as its access roads, shall be treated and maintained in such manner as to prevent dust or debris from blowing or spreading onto adjoining properties or onto any public right-of-way. Such yards shall be maintained in a clean and orderly condition. Material and construction residue and debris shall not be permitted to accumulate. Grass and weeds shall be maintained at a height not exceeding six (6) inches. (2) In the event that the permit holder fails to maintain the site and fails to remedy all deficiencies within thirty (30) days after written notice of violation of these maintenance requirements has been issued by the zoning administrator, the zoning administrator may declare the permit void and require restoration of the site as provided for below. (e) Termination of use; restoration. The yard shall be closed and all buildings, structures, materials, supplies and debris associated with the yard's activities shall be completely removed and the area properly seeded or otherwise restored with appropriate vegetation within sixty (60) days from the date that the permit issued by the zoning administrator has expired or has been revoked by the zoning administrator. Sec. 34-1196. Temporary surface parking lot. (a) Temporary permit; renewal. A temporary permit may be issued by the zoning administrator for lots located outside the public right-of-way which support a temporary construction project (including projects for the maintenance or repair of streets or structures). Such permit shall be valid for a period not exceeding eighteen (18) months, provided that the standards set out below are followed. A permit may be renewed for additional twelve-month periods, provided that there is continued compliance with the standards set out below. The project operator must show demonstrable progress in order for a permit to be renewed. Inactive sites will need to be removed. (b) Site diagram details. In addition to the requirements set forth in Sec. 34-1190(a)(1)a., a site diagram for a temporary surface parking lot shall identify the size and location of parking spaces, any associated structures, traffic circulation, signage, etc. The diagram shall also show or describe a restoration plan for the site, setting out how the site will appear sixty (60) days after the expiration or termination of the temporary use permit. (c) Site requirements. 1. Addition of a temporary surface parking lot shall not create any zoning violations for the site, or any uses of the lot. (For example, establishment of a temporary surface parking lot may not reduce required open space, or result in a reduction of required parking spaces, for that lot, or for within a development that includes the lot.) 2. When there is an established use on site, defined physical separation shall be provided between the established use and the temporary surface parking lot. 3. Ingress and egress to the temporary surface parking lot, and the layout of the surface parking lot, must meet all applicable requirements of the state building and fire prevention codes. 4. The temporary surface parking lot shall provide erosion and sediment control, and stormwater management, in accordance with federal, state and local stormwater regulations and requirements. The addition of a temporary surface parking lot may require amendments to an existing environmental permit. 5. Parking surface must comply with requirements in Sec. 34-981 of the City of Charlottesville Zoning Ordinance and any additional requirements within the City of Charlottesville Standards and Design Manual. 6. Temporary surface parking lots must be screened from the adjacent right(s)-of-way and adjacent properties when determined appropriate. At a minimum, screening must meet S- 3 requirements set forth in the City of Charlottesville Zoning Ordinance Sec. 34-871. With the approval of the zoning administrator, an opaque wall or fence may be utilized for, or as part of, a required screen. Where allowed, such wall or fence (including any gate(s) forming a portion of such structure) shall be at least six (6) feet tall, or an alternate height deemed necessary by the zoning administrator to protect required sight distances along a public right-of-way. 7. All temporary surface parking lots shall comply with current ADA guidelines and regulations. 8. Bicycle storage shall be provided based on standards within the City of Charlottesville Zoning Ordinance and within the City of Charlottesville Standards and Design Manual. 9. All lighting associated with the site must be dark skies compliant, shielded from any right- of-way or residential zoning district. (d) Signage. Signage indicating the temporary nature of the use shall be required. All signage must comply with the sign regulations within Article IX (Generally Applicable Regulations), Division 4 (Signs) of this Code. Signage must include the following: (i) Duration of use with proposed termination date. (ii) Contact information (telephone or email address) of permit holder. (e) Lighting. Any lighting used for the temporary surface parking lot must comply with applicable provisions of Article IX, Division 3 (sections 34-1000 to 34-1005), of Chapter 34 of this Code. (f) Maintenance requirement. 1. All areas of such parking facility, as well as its access roads, shall be treated and maintained in such manner as to prevent dust or debris from blowing or spreading onto adjoining properties or onto any public right-of-way. Such parking facilities shall be maintained in a clean and orderly condition. Material and construction residue and debris shall not be permitted to accumulate. Grass and weeds shall be maintained at a height not exceeding six (6) inches. 2. In the event that the permit holder fails to so maintain the site and fails to remedy all deficiencies within thirty (30) days after written notice of violation of these maintenance requirements has been issued by the zoning administrator, the zoning administrator may declare the permit void and require restoration of the site as provided for below. (g) Termination of use; restoration. The temporary parking facility shall be closed and all buildings, structures, materials, supplies and debris associated with the facility’s activities shall be completely removed and the area properly seeded or otherwise restored with appropriate vegetation within sixty (60) days from the date that the permit issued by the zoning administrator has expired or has been revoked by the zoning administrator. This page intentionally left blank CITY OF CHARLOTTESVILLE, VIRGINIA CITY COUNCIL AGENDA Agenda Date: October 1, 2018 Action Required: Consideration of a Special Use Permit Presenter: Heather Newmyer, City Planner, Neighborhood Development Services Staff Contacts: Heather Newmyer, City Planner, Neighborhood Development Services Title: SP18-00007 – Gallery Court Hotel SUP Request Background: Vipul Patel, owner of property addressed 140 Emmet St North (“Subject Property”), is seeking to redevelop the Subject Property with a new boutique hotel to replace the longstanding hotel (Excel Inn & Suites) that was lost to a fire on May 4, 2017. Originally named the Gallery Court Motor Hotel, the former hotel dates back to the 1950’s. The hotel hosted Dr. Martin Luther King Jr. in 1963 when the Civil Rights leader was invited by Robert F. Kennedy to Charlottesville for a lecture at the University. For more background information, please see the Project Proposal Narrative found within Attachment 3. Applicant Request: Vipul Patel of Incaam Hotels, LLC, has submitted an application seeking approval of a Special Use Permit (SUP) for the property located at 140 Emmet St N. The property is further identified on City Real Property Tax Map 8 as Parcel 4 (“Subject Property”). The Subject Property is zoned URB, EC (Urban Corridor Mixed Use District, with Entrance Corridor Overlay). The owner is seeking to redevelop the property as a hotel to replace an existing hotel that was lost by casualty (fire) on May 4, 2017. The proposed use (“hotels/motels”) is allowed by-right within the URB zoning district classification. However, an SUP is required for the project because the proposed building height (seven (7) stories, up to 80 feet) exceeds the 60-foot maximum building height allowed in the URB District. The site is approximately 0.585 acre or 25,482.6 square feet. The proposed preliminary site plan submitted concurrently with the special use permit request (Included in Attachment 3) proposes to demolish the remainder of the existing hotel and construct a seven-story (80’), 72-unit hotel building with a 21,306 SF building footprint. A SUP 1 is required to be approved by City Council and a Certificate of Appropriateness (COA) to be approved by the Entrance Corridor Review Board (ERB) prior to a preliminary site plan being approved for the current proposal. Standard of Review City Council may grant an applicant a special permit or special use permit, giving consideration to a number of factors set forth within Zoning Ordinance Sec. 34-157 (Attachment 2). If Council finds that a proposed use or development will have potentially adverse impacts, and if Council identifies development conditions that could satisfactorily mitigate such impacts, then Council may set forth reasonable conditions within its SUP approval. Relevant code sections are listed below to assist in Council’s determination. Relevant Code Sections • Zoning Ordinance  Section 34-541 (10) Urban Corridor– Intent and Description The intent of the Urban Corridor mixed-use zoning district is to continue the close-in urban commercial activity that has been the traditional development patterns in these areas. Development in this district is both pedestrian and auto oriented, but is evolving to more of a pedestrian center development pattern. The regulations provide for both a mixture of uses or single use commercial activities. It encourages parking located behind the structure and development of a scale and character that is respectful to the neighborhoods and university uses adjacent.  Article II. - Overlay Districts, Division 3. – Entrance Corridor Overlay Districts Section 34-306. – Purpose The entrance corridor overlay district is intended to implement the comprehensive plan goal of protecting the city's historic, architectural and cultural resources, by ensuring a quality of development compatible with those resources through design control measures. The purposes of this article are to stabilize and improve property values; to protect and enhance the city's attractiveness to tourists and other visitors; to sustain and enhance the economic benefits accruing to the city from tourism; to support and stimulate development complimentary to the prominence afforded properties and districts having historic, architectural or cultural significance; all of the foregoing being deemed to advance and promote the health, safety and welfare of the general public. Section 34-307. – Applicability Subject to subsection (b), below, entrance corridor overlay districts are hereby established upon and along the following arterial streets or highways, which are 2 deemed by the city council to be significant routes of tourist access to the city, or to designated historic landmarks, buildings, structures or districts within the city ("EC streets"): Route 29 North from the corporate limits to Ivy Road • Entrance Corridor Guidelines The subject parcel falls within Sub-Area C (Barracks Road to Ivy Road) of Corridor 1: Route 29 North from the Corporate Limits to Ivy Rd, where the Vision statement states: “Emmet Street has the potential to become more of an urban boulevard, with lively pedestrian activity and a greater mix and integration of uses. Both Barracks Road Shopping Center and Meadowbrook Shopping Center may redevelop with retail, office, hotels, housing, and structured parking. The attractive magnolia street trees along Emmet Street should be retained and new landscaping added to the streetscape as redevelopment occurs. There are opportunities for unified landscaping along the corridor that would help enhance the pedestrian connection. If possible, character-defining architecture should be incorporated into redevelopment plans. As the University redevelops its property on the southern end of the sub-area, including the University Arts Center, there may be opportunities to include student housing and community-related facilities in mixed-use projects that front on Emmet Street.” (Sec. V Corridors, B. Corridor 1 (p.8)) Recommended General Guidelines (Sec. V Corridors, B. Corridor 1 (p. 9)): • Mid-scale • Mixed-use and University use • On site/shared/structured parking • Consolidation of smaller parcels • Limited setbacks • 2013 Comprehensive Plan The 2013 Comprehensive Plan’s General Land Use Plan specifies the Subject Property and its surrounding properties as Public or Semi-Public. Public or Semi-Public areas, according to the Comprehensive Plan, “includes publicly owned lands and buildings such as the Government Center, police and fire stations, libraries, post offices, schools and University facilities.” • Streets That Work Plan The Streets That Work Plan, adopted by City Council September 6, 2016, categorizes Charlottesville’s framework streets into six street typologies, which are passed on Complete Street principles. To access the full Streets That Work Plan, follow this link: 3 http://www.charlottesville.org/departments-and-services/departments-h-z/neighborhood- development-services/streets-that-work/streets-that-work-plan The Subject Property fronts on Emmet St N which falls into the Mixed Use A street typology. The two highest priority street elements in the Mixed Use A street typology are the sidewalk and curbside buffer zone. Discussion: Staff Analysis Please see the staff report prepared for the September 11, 2018 Public Hearing (Attachment 3) for more information. Staff recommended six (6) conditions should the Planning Commission recommend approval. Staff’s recommended conditions and the additional conditions recommended by Planning Commission can be found in Attachment 1 – Proposed Resolution. Planning Commission Among the matters discussed by the Planning Commission at their September 11, 2018 meeting were the following: • The Subject Property in relation to the Comprehensive Plan’s Land Use designation • The pedestrian environment, specifically: o How the proposed pedestrian improvements/street café effect the pedestrian o How the proposed pedestrian improvements relate to the future Emmet Streetscape Project o Subject Property’s ideal location that would encourage guests to walk to various amenities nearby • Massing and scale, specifically: o In relation to Entrance Corridor guidelines o Impact to the closest low-density residential neighborhood as well as UVA’s future Ivy Corridor Redevelopment project o Some Commissioners noted scale is in context (noting the existing topography provided relief where building was at its highest), while others noted concern over the building mass on Emmet St and its effect on the pedestrian o Discussion around the current proposed building stepbacks and potential for including stepbacks at the corner tower should the SUP be approved and require ERB review • Trash/Deliveries location • Traffic Flow, specifically concern over left-turns out of the Subject Property • Desire for on-site water quality treatment 4 **Based off of Planning Commission’s discussion, both as a result of their review as Entrance Corridor Review Board (ERB) per Sec. 34-157(7) and their review of the SUP as Planning Commission, the Planning Commission added conditions to those already proposed by staff. The combined conditions are reflected in Attachment 1. Alignment with City Council’s Vision Areas and Strategic Plan: The proposed pedestrian improvements align with the City Council Vision of A Connected Community. The proposed pedestrian improvements, street café, and building recesses included on the north and east elevations (see elevations included in Attachment 3) align with Strategic Plan, Goal 3.1, “engage in robust and context sensitive urban planning and implementation.” Community Engagement: Any public comment received during this process is found in Attachment 3. Prior to formally submitting the SUP application, the applicant opted to schedule a preliminary discussion at the Planning Commission’s March 14, 2018 meeting. If the applicant addressed the feedback provided by the Planning Commission in anyway, staff has noted how in bold. Feedback from this meeting included: • Pushing structured parking back and including instead some type of mixed use for street activation. Applicant included in the special use permit application a 750 SF café space that fronts on Emmet St N in addition to the hotel lobby that was part of the original preliminary design • Inclusion of stepbacks Applicant has provided recesses to the building at the north and east elevations • Concern of height impact due to proximity to University grounds Applicant provided a recess to the building at the east elevation facing the University Per Sec. 34-41(c)(2), the applicant held a community meeting on July 18, 2018 (a City Planner attended as a NDS representative). Neighborhood concerns gathered from the community meeting are provided for in a list below. If the applicant addressed the neighborhood concern in any way in the application submitted, staff has noted how beside the neighborhood concern in bold. • Neighbors concerned about the additional height being requested for the proposed hotel as well as the future buildings that will locate across the street as part of the UVA’s Ivy Corridor Plan. • Citizen stated concern that the hotel is not in keeping with the historic structures of UVA. 5 • Citizen stated he was not concerned about the requested additional height. Instead, citizen focused comments on how the proposed project would affect the City’s Emmet Streetscape Project. • Citizen encouraged landscape to help with the “park-like” entrance to UVA. • Citizen stated concern over people existing from the parking garage and there being a conflict with high traffic pedestrian area. Applicant has stated there will be a warning signal/sign provided inside the parking garage for those exiting to be warned to look out for pedestrians. • Citizen requested additional cross-sections to better reflect elevations of how building would affect surrounding areas. Applicant submitted an addendum to the special use permit that includes additional elevations and cross-sections (Attachment 2). • Citizen concerned about the blank wall side of the railroad: Window treatments shown on the north elevation • Citizen stated the location is an ideal location for a hotel as it is near the University/walking distance, family property and not corporate, it is a quality project where a lot of thought has been put into it, and overall a value to the community. In addition, the applicant held a meeting on August 27, 2018 with Councilor Hill and Planning Commissioners Solla-Yates and Palmer in effort to update the new Commissioners on the project. At the Public Hearing held at Planning Commission’s September 11, 2018 meeting as well as written correspondence from neighborhood residents, the public voiced the following general concerns: • Majority of citizens from the Lewis Mountain neighborhood expressed concern that the proposed height was not to scale • Other citizens expressed support for project, stating benefits such as: local business owner and ideal location Attachment 3 includes written correspondence from the public. Budgetary Impact: A Hotel at 140 Emmet Street, including 72 rooms and associated structured parking is expected to generate an estimated - $565,000 in annual city revenue. This includes applicable real property taxes, personal property taxes, sales taxes, meals taxes, transient occupancy taxes, BPOL and utility taxes. In addition, there would be an estimated one-time increase of $25,000 in BPOL and permitting fees. The parcel involved in this project currently contributes approximately $8,500 in city real estate revenue annually. 6 Recommendation: Entrance Corridor Review Board (ERB): The staff report provided at the September 11, 2018 Planning Commission meeting for the ERB special use permit recommendation discussion is found in Attachment 4 of this memo. Per Sec. 34-157(7), the Entrance Corridor Review Board (ERB), is to make a recommendation as to whether the proposed use will have an adverse impact on the district, and for recommendations as to reasonable conditions which, if imposed, that would mitigate such impacts. ERB Action: The Planning Commission, acting as the ERB, determined that, as related to the city’s Entrance Corridor Design Guidelines, the proposed Special Use Permit to allow an increase in height for the proposed Gallery Court Hotel at 140 Emmet Street North will have an adverse impact on the Route 29 North [Emmet Street] Entrance Corridor because of the increased height at 80 [feet] and proximity to the road; [at a minimum] there should be a 6-foot planting bed and a 7-foot sidewalk. (Motion by Lahendro. Second by Mitchell. Vote 5-2. Ayes: Lahendro, Keller, Dowell, Smith, Mitchell.) Please note: Planning Commission added conditions to those already proposed by staff for the proposed SUP based off of their ERB recommendation that noted certain aspects of the project would have an adverse impact on the Entrance Corridor District (Conditions found in Attachment 1). These conditions were proposed as ways to mitigate what the ERB found as negative impacts to the district (e.g. conditions requiring a wider curbside buffer, a wider sidewalk and requiring the design of the southwest corner of the building to be altered in order to reduce impact of height). Planning Commission: The Planning Commission then took the following action regarding the SUP request: Ms. Dowell moved to recommend approval of this application for a Special Use Permit to authorize the additional building height of 80 feet at TM 8 P 4, subject to the six (6) conditions presented in the staff report, with the exception of editing condition number 2 and adding five (5) conditions that focus on the following: sidewalk width, guest only parking in parking garage, traffic flow subject to Traffic Engineer review, trash service location and addressing the scale of the southwest building corner. The updated list of conditions is provided in the Proposed Resolution (Attachment 1). Mr. Mitchell seconded the motion. The Commission voted 5-2 (Lahendro-Keller) to recommend approval of the Special Use Permit. 7 Alternatives: City Council has several alternatives: (1) by motion, take action to approve the attached resolution (granting an SUP as recommended by the Planning Commission); (2) by motion, request changes to the attached Resolution, and then approve an SUP in accordance with the amended Resolution; (3) by motion, defer action on the SUP, or (4) by motion, deny the requested SUP. Attachment: (1) Proposed Resolution Approving a Special Use Permit (2) Sec. 34-157 – General standards for issuance (3) Staff Report with Application Materials Attached, September 11, 2018 http://www.charlottesville.org/home/showdocument?id=62715 (4) 140 Emmet St N – Design Review Memo for ERB, September 11, 2018 http://www.charlottesville.org/home/showdocument?id=62715 8 SP18-00007 RESOLUTION GRANTING A SPECIAL USE PERMIT FOR A D D I T I O N A L B U I L D I N G H E I G H T FOR PROPERTY LOCATED AT 140 EMMET STREET NORTH (“GALLERY COURT HOTEL”) WHEREAS, pursuant to City Code § 34-757(2) landowner Incaam Hotels, LLC has applied for a special use permit (“Application”) for property having an address of 140 Emmet Street North, further identified on City Tax Map 8 as Parcel 4, and consisting of approximately 25,483 square feet in area (0.585 acre) (hereinafter, the "Subject Property"); and WHEREAS, the Subject Property is zoned "URB" (Urban Corridor Mixed Use District), and Entrance Corridor Overlay District); and WHEREAS, the purpose of the requested special use permit is to allow construction of a commercial project, consisting of a hotel with structured parking, and related restaurant and retail uses, within a building constructed to a maximum height of eighty (80) feet ( “Project”), pursuant to the provisions of City Code §34-757(2), said Project being more particularly described within the materials accompanying City application number SP-1800007 (the “Proposed Development”); and WHEREAS, a public hearing on the this Application was held before the Planning Commission on September 11, 2018, following notice to the public and to adjacent property owners as required by law, and on that same date the Entrance Corridor Review Board reviewed the Application materials and staff’s analysis thereof, and found that the proposed Project would have some adverse impacts on the Entrance Corridor district, and recommended certain conditions which, if imposed, could mitigate those impacts; and WHEREAS, on September 11, 2018, based on the information and materials submitted w i t h i n t h e Application, the staff report prepared by Neighborhood Development Services, the factors set forth within City Code § 34-157, and the comments received at the public hearing, the Planning Commission recommended that the Special Use Permit application should be approved by City Council, subject to certain r e a s o n a b l e conditions; and WHEREAS, on October 1, 2018, a public hearing on this Application was held before the City Council, following notice to the public and to adjacent property owners as required by law; and WHEREAS, based on the representations, information, and materials included within Applicant's Application, and upon consideration of the information and analysis set forth within the Staff Report, the factors set forth in City Code §34-157, the recommendations of the Planning Commission and Entrance Corridor Review Board, and comments received at the public hearings, this Council finds that the building height proposed for the Project is appropriate for this location under suitable conditions and safeguards; Page 1 of 3 SP18-00007 NO W , T H E RE FO R E , BE IT RESOLVED by the Council of the City of Charlottesville, THAT a Special Use Permit is hereby granted to authorize the construction of the Project on the Subject Property, subject to the following conditions: 1. The building to be constructed for the Project shall not exceed a height of eighty (80) feet. Any proposed final site plan(s) shall include building elevations with sufficient details to allow the City to verify compliance with this condition. 2. The landowner shall provide a Ubike station within the Project, funded jointly by the landowner and the University of Virginia. Prior to submission of a proposed final site plan for the Project, the landowner shall make a request to the University of Virginia, seeking the University’s participation in a written funding agreement for the Ubike station. If the University of Virginia declines to enter into a binding written agreement to fund a Ubike station within the Project prior to the City’s approval of the final site plan for the Project, then the landowner shall be excused from performing the obligation of this condition. If the University of Virginia does enter into a written agreement with the landowner to fund a Ubike station, then a copy of the written agreement shall be submitted with the landowner’s final site plan application and the location of the Ubike station will be shown within the final site plan and approved by the Bicycle and Pedestrian Coordinator prior to final site plan approval. 3. Any proposed final site plan(s) for the Project shall show a six (6) foot wide curbside buffer along Emmet St North, to be constructed and planted as part of the Project. 4. Any proposed final site plan(s) for the Project shall show a seven (7) foot wide sidewalk along the length of the Subject Property’s frontage on Emmet St North, to be constructed by the landowner to City standards as part of its development of the Project. 5. The proposed final site plan for the Project shall show a future five (5) foot wide bicycle lane along the frontage of the Subject Property on Emmet Street, with dimensions and details coordinated with the planned public improvements for the Emmet Street Streetscape Project. 6. The Project will include stormwater management providing on-site water quality treatment by using a best management practice (BMP) approved by the Virginia Department of Environmental Quality (DEQ) (proprietary or non-proprietary). The BMP chosen by the landowner shall be identified within any proposed final site plan (with reference to both this condition and to the DEQ’s list of approved BMPs), and within the proposed Stormwater Management Plan for the Project, and shall be approved by a City Engineer prior to site plan approval. Page 2 of 3 SP18-00007 7. The Project will be designed to minimize traffic congestion on Emmet Street North resulting from the entry and exit of motor vehicles into and from the Project’s parking garage, and shall take into account planned public improvements for the Emmet Street Streetscape Project. The Project design will incorporate recommendations of the City’s Traffic Engineer, as to the desired ingress/ egress patterns (the Traffic Engineer will give consideration to right turn in only, and right turn out only) consistent with the planned public improvements for the Emmet Street Streetscape Project. 8. The Project will include devices that will detect oncoming pedestrian traffic and that will provide a warning to motor vehicles exiting the parking garage onto Emmet Street North of that oncoming pedestrian traffic. Any proposed final site plan shall depict and identify the device(s) (including the name and manufacturer of the device(s)) that will be installed to satisfy this condition. 9. Lighting installed on the rooftop of the Project shall meet the following specifications: (i) all lighting and light fixtures shall be full cut-off luminaires, and (ii) spillover light from luminaires onto public roads and onto adjacent property shall not exceed one-half (½) foot candle. 10. Parking at the Subject Property shall be restricted to use for and in connection with the operation of business(es) within the Subject Property, and by patrons of those businesses. 11. The Project shall be designed so that services required for and in connection with the operation of business(es) within the Subject Property (such as deliveries, and trash removal) shall be conducted entirely within the interior of the Project. Vehicles providing such services shall not park on any sidewalk, or within the public right-of-way adjacent to the Subject Property (inclusive of motor vehicle travel lanes, bicycle lanes, curbside buffers, and sidewalks within and adjacent to Emmet Street North). 12. The Project design shall include features or elements that will reduce the apparent height of the southwest corner of the building (the “Tower”). Page 3 of 3 Sec. 34-157. - General standards for issuance. (a) In considering an application for a special use permit, the city council shall consider the following factors: (1) Whether the proposed use or development will be harmonious with existing patterns of use and development within the neighborhood; (2) Whether the proposed use or development and associated public facilities will substantially conform to the city's comprehensive plan; (3) Whether proposed use or development of any buildings or structures will comply with all applicable building code regulations; (4) Whether the proposed use or development will have any potentially adverse impacts on the surrounding neighborhood, or the community in general; and if so, whether there are any reasonable conditions of approval that would satisfactorily mitigate such impacts. Potential adverse impacts to be considered include, but are not necessarily limited to, the following: a. Traffic or parking congestion; b. Noise, lights, dust, odor, fumes, vibration, and other factors which adversely affect the natural environment; c. Displacement of existing residents or businesses; d. Discouragement of economic development activities that may provide desirable employment or enlarge the tax base; e. Undue density of population or intensity of use in relation to the community facilities existing or available; f. Reduction in the availability of affordable housing in the neighborhood; g. Impact on school population and facilities; h. Destruction of or encroachment upon conservation or historic districts; i. Conformity with federal, state and local laws, as demonstrated and certified by the applicant; and, j. Massing and scale of project. (5) Whether the proposed use or development will be in harmony with the purposes of the specific zoning district in which it will be placed; (6) Whether the proposed use or development will meet applicable general and specific standards set forth within the zoning ordinance, subdivision regulations, or other city ordinances or regulations; and (7) When the property that is the subject of the application for a special use permit is within a design control district, city council shall refer the application to the BAR or ERB, as may be applicable, for recommendations as to whether the proposed use will have an adverse impact on the district, and for recommendations as to reasonable conditions which, if imposed, that would mitigate any such impacts. The BAR or ERB, as applicable, shall return a written report of its recommendations to the city council. (b) Any resolution adopted by city council to grant a special use permit shall set forth any reasonable conditions which apply to the approval. (9-15-03(3); 11-21-05; 2-21-06) Page 1 This page intentionally left blank CITY OF CHARLOTTESVILLE, VIRGINIA. CITY COUNCIL AGENDA Agenda Date: October 1, 2018 Action Required: Resolution Staff Contacts: Stacy Pethia, Housing Program Coordinator Presenter: Stacy Pethia, Housing Program Coordinator Title: Allocation of FY 2019 Charlottesville Affordable Housing Funds Background: In coordination with select members of the Housing Advisory Committee (HAC), staff worked to develop a standardized application process for the Charlottesville Affordable Housing Fund (CAHF). This new process was implemented on May 7, 2018 with the posting of a Notice of Funding Availability (NOFA) on the CAHF pages of the City’s website. The HAC’s Allocations Subcommittee reviewed all applications received by the June 8, 2018 deadline; their recommendations for FY 2019 CAHF allocations are presented below. Discussion: Staff received five (5) requests for CAHF funding by the NOFA submission deadline. Summaries of the proposals are as follows: Project: Critical Rehab & Repair Applicant: Albemarle Housing Improvement Program (AHIP) CAHF Request: $573,142 Recommended Funding Level: $375,000 AHIP is a valued partnered with the City of Charlottesville, providing emergency repairs and home rehabilitation services to the City’s lower-income homeowners. AHIP is seeking to continue this partnership in FY 2019 through their Critical Rehab & Repair program. The requested funding amount will assist approximately 68 households preserve their homes, enhance their home health environment, and remain safe at home for years to come. To comply with Code of Virginia Section 15.2-958(5), assistance for each rehab project is provided to the homeowner as a zero interest loan, secured by a Deed of Trust, forgivable over a period of time depending on the amount of assistance provided. The HAC Allocations Subcommittee is recommending City Council approve $375,000 in CAHF funding for the program. Project: Carlton Views III Applicant: Carlton Views III, LLC / TJCLT CAHF Request: $1,440,000 Recommended Funding Level: $1,440,000 Carlton Views III is the fourth and final phase of a mixed-income, mixed-use development located at 1337 Carlton Avenue. Phases one and two development included the construction of the Blue Ridge Pace Center and Carlton Views I, a 54-unit apartment building providing affordable housing options for households with incomes between 40% and 60% of area median income. Phase three, which is currently undergoing the site plan approval process, will add an additional 48 rent and income restricted units to the site. This project, once complete, will add an additional 48 more affordable units to the site, bringing the total affordable unit count on the site to 147. Twelve of the units in Carlton Views III will be reserved for persons with disabilities, with the remaining units incorporating universal design principles (e.g., no-step entrances, roll- under sinks, widened doors and pathways). As with prior phases of construction, which achieved EarthCraft Platinum certification, green building principles will be applied throughout this project to increase the energy efficiency of individual units. The Blue Ridge PACE has entered into an agreement with Carlton Views III, LLC to provide rent subsidies for 12 income- qualifying PACE program participants. Additionally, leasing preferences will be given to individuals and families receiving rental assistance under the Housing Choice Voucher and Charlottesville Supplemental Rental Assistance programs. Carlton Views III, LLC intends to apply for Low Income Housing Tax Credit (LIHTC) financing in March 2019, with project completion anticipated in May 2021. Total project costs are estimated at $10,604,846; the amount of CAHF funding requested comprises 13.6% of the total project costs. The LIHTC compliance period for affordability is 30 years. The HAC Allocations Subcommittee is recommending City Council approve the full amount of the applicant’s funding request. Project: Equity Housing Initiative Applicant: Habitat for Humanity of Greater Charlottesville CAHF Request: $647,500 Recommended Funding Level: $585,000 Habitat for Humanity (Habitat) is requesting CAHF support for several different programs outlined below. Lochlyn Hill & Piedmont Avenue ($480,000) -- Through this program, the organization will build and sell 16 affordable, owner-occupied homes in both the Pen Park development and Jefferson Park neighborhood. The $480,000 requested from the CAHF would support the purchase of 16 lots scattered throughout these neighborhoods, with the intention of integrating lower-income homeownership opportunities into existing market rate communities. The affordability of each Habitat home will be protected by a variety of mechanisms (e.g., deed restrictions, appreciation sharing and right of first refusal). Proceeds from any future home sales will be reinvested into future affordable housing in the city. Acquisition of the 16 sites is dependent upon CAHF funding approval. Enhanced Down Payment Assistance for Very Low Income Residents ($75,000) – The requested funding will be used to assist five (5) households, with incomes at or below 35% area median income, purchase a Habitat home. Anti-Gentrification Rental Conversion Pilot ($60,000) – Through this new program, Habitat will purchase, renovate and resell two single-family rental homes to help ensure affordable homeownership opportunities remain in gentrifying neighborhoods. Participating tenants will participate in Habitat’s homebuyer education program including financial counseling, credit repair, and home maintenance education. Habitat has identified one family/landlord for participation in this pilot program. Pathways to Housing ($22,500) – Pathways to Housing is a new, holistic, and individualized approach toward empowering extremely low-wealth families to achieve stability and self- sufficiency through financial empowerment, increased earnings, matched savings, and affordable housing. Through bi-weekly, individualized coaching sessions families will work toward meeting self-defined financial goals. Program participants will also be connected with training and education programs, job coaching services and other supports. All program graduates who have a goal of homeownership will be automatically enrolled in Habitat’s homeownership program. All other families will be connected with housing solutions that meet their needs and goals. CAHF funding, if approved, will be used for a matched savings program, which can be used toward a down payment, a security deposit and/or first month’s rent. Public Housing Rehab/Section 3 Skills and Job Placement Program ($15,000) – This program is a partnership between Habitat, the City of Charlottesville, the Charlottesville Redevelopment and Housing Authority, the Public Housing Association of Residents and the Charlottesville Works Initiative. As part of this collaboration, long-time residents of public housing are working with Habitat staff and skilled volunteers to rehabilitate 20 uninhabitable public housing units and build Habitat homes. Program participants are learning the rehab and new construction trades, taking classes and being mentored in soft skills, and are receiving job placement support in the construction trades. The requested funding will be used to support technical assistance help in writing manuals to enable the replicability and scalability of the program. While all subcommittee members acknowledged the importance and value of each of the programs described above, they also recognized the limited amount of CAHF funding available this fiscal year. As a result, the subcommittee recommends City Council approve a total funding amount of $585,000 at the following program funding levels: Lochlyn Hill & Piedmont Avenue: $480,000 Enhanced Down Payment Assistance for Very Low Income Residents: $ 75,000 Anti-Gentrification Rental Conversion Pilot: $ 30,000 Project: TJCLT Nassau Street II Applicant: Thomas Jefferson Community Land Trust (TJCLT) CAHF Request: $500,000 Recommended Funding Level: $0 This project is the continuation of the project currently underway on Nassau Street, which received CAHF funding in FY 2018. If funded, the project will result in four (4) newly constructed, attached townhomes reserved for households with incomes at 80% of area median income. The units will remain affordable in perpetuity under the land trust model. Subcommittee members are not recommending this project for funding. The subcommittee did not feel the applicant submitted a strong proposal, and that the affordability of level of the final units is not low enough. Staff is collecting feedback from the Subcommittee, which will be provided to the TJCLT to help them be more successful in future requests. Project: 808 Cherry Avenue Applicant: Promise Land Communications/Lichen Properties CAHF Request: $1,200,000 Recommended Funding Level: $0 Lichen Properties, in partnership with Promise Land Communications (the nonprofit partner for this project) proposed to construct 24 affordable, single-occupancy studio suites at 808 Cherry Avenue. All proposed units will be affordable to households with incomes at the 60% area median income level, with 25% of unit rents set at a level affordable to households with income no greater than 30% of area median income. The applicant is requesting the funding be provided as a 30-year loan with a 2% interest rate and annual payments. The amount of CAHF funding requested comprises 50% of the total project cost. The Subcommittee is recommending this project not be funded. They feel that, even though the applicant is requesting the funding be provided as a loan, the CAHF to project cost ratio is too high. Additionally, the development, as proposed in this application, exceeds the allowable site density of 10 units per acre. Because of this, subcommittee members felt that it would be inappropriate to recommend funding for a project is not yet ready to proceed. Community Engagement: The HAC Allocation Subcommittee met to review and discuss the submitted applications, and make recommendations for funding on the following dates: Friday, June 22, 2018 Monday, June 25, 2018 Alignment with City Council Vision and Strategic Plan: AHIP Home Rehab:  Strategic Plan Goals o Goal 1.3: Increase affordable housing options  Comprehensive Plan Goals o Goal 2.1: Preserve and improve the quality and quantity of the existing housing stock through the renovation, rehabilitation and/or expansion of existing units as a means of enhancing neighborhood stability. o Goal 3.1: Continue to work toward the City’s goal of 15% supported affordable housing by 2025. Goal 3.6: Promote housing options to accommodate both renters and owners at all price points, including workforce housing. o Goal 5: Support projects and public/ private partnerships (i.e., private, non‐profits, private developers and governmental agencies) for affordable housing, including workforce housing and mixed‐use, and mixed-income developments. Carlton Views, LLC  Strategic Plan Goals o Goal 1.3: Increase affordable housing options o Goal 2.3: Improve community health and safety outcomes by connecting residents with effective resources (aligning health care with provision of housing for the elderly and disabled)  Comprehensive Plan Goals o Goal 3: Grow the City’s housing stock for residents of all income levels o Goal 3.1: Continue to work toward the City’s goal of 15% supported affordable housing by 2025. Goal 3.6: Promote housing options to accommodate both renters and owners at all price points, including workforce housing. o Goal 4.1: Continue to support the use of appropriate tax credit proposals submitted by private and non-profit developers within the locality to create affordable rental units, as consistent with Housing Advisory Committee policy. o Goal 5: Support projects and public/ private partnerships (i.e., private, non‐profits, private developers and governmental agencies) for affordable housing, including workforce housing and mixed‐use, and mixed-income developments. o Goal 5.7: Support housing programs at the local and regional level that encourage mixed-income neighborhoods and discourage the isolation of very low and low income households. o Goal 7: Offer a range of housing options to meet the needs of Charlottesville’s residents, including those presently underserved, in order to create vibrant residential areas or reinvigorate existing ones. o Goal 7.1: To the greatest extent feasible ensure affordable housing is aesthetically similar to market rate. o Goal 8.1: - Encourage mixed-use and mixed-income housing developments. o Goal 8.3: - Encourage housing development where increased density is desirable and strive to coordinate those areas with stronger access to employment opportunities, transit routes and commercial services. o Goal 8.7: Encourage the incorporation of green sustainable principles (e.g. LEED, EarthCraft Virginia, Energy Star, etc.) in all housing development to the maximum extent feasible both as a way to be more sustainable and to lower housing costs. o Habitat for Humanity of Greater Charlottesville  Strategic Plan Goals o Goal 1.3: Increase affordable housing options  Comprehensive Plan Goals o Goal 3: Grow the City’s housing stock for residents of all income levels o Goal 3.1: Continue to work toward the City’s goal of 15% supported affordable housing by 2025. Goal 3.6: Promote housing options to accommodate both renters and owners at all price points, including workforce housing. o Goal 5: Support projects and public/ private partnerships (i.e., private, non‐profits, private developers and governmental agencies) for affordable housing, including workforce housing and mixed‐use, and mixed-income developments. o Goal 5.7: Support housing programs at the local and regional level that encourage mixed-income neighborhoods and discourage the isolation of very low and low income households. o Goal 7: Offer a range of housing options to meet the needs of Charlottesville’s residents, including those presently underserved, in order to create vibrant residential areas or reinvigorate existing ones. o Goal 7.1: To the greatest extent feasible ensure affordable housing is aesthetically similar to market rate. o Goal 8.1: Encourage mixed-use and mixed-income housing developments. Budgetary Impact: The total amount of recommended project funding requests equals $2,400,000. After accounting for the proposed project funding, provisionally approved project funding, and set-aside funds for program administration/matching funds there will be approximately $167,373 dollars remaining for housing project funding in FY 2019. As such, approval of any of the recommended funding requests presented above will significantly impact the CAHF and the City’s ability to fund further projects throughout FY 2019. Table 2: CAHF Available Balance as of 7/1/2018 CAHF Available Balance $3,575,643.00 Administrative Funds ($33,992.00) HOME Match ($14,278.00) Rental Assistance Program ($945,000.00) Habitat for Humanity ($585,000.00) AHIP ($375,000.00) Carlton Views III, LLC ($1,440,000.00) Free Paint Program ($15,000.00) CAHF Remaining Balance $167,373.00 Recommendation: Staff recommends funding the projects recommended by the HAC subcommittee. Alternatives: Council could decide to provide the recommended projects with different levels of funding than those proposed by the subcommittee. Council could also decide to fund a different set of the projects outlined above, or choose to not fund any of these projects at this time. Attachments: Resolutions Application Comparison Table Project Applications:  AHIP  Carlton Views III, LLC  Habitat for Humanity of Greater Charlottesville  Thomas Jefferson Community Land Trust  Promise Land Communications RESOLUTION Allocation of Charlottesville Affordable Housing Fund (CAHF) for Albemarle Housing Improvement Program’s Critical Rehab & Repair Project -- $375,000 NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Charlottesville, Virginia that the sum of $375,000 be allocated from previously appropriated funds in the Charlottesville Affordable Housing Fund (CAHF) to the Albemarle Housing Improvement Program for the purpose of providing funds for the Critical Rehab & Repair program. Fund: 426 Project: CP-084 G/L Account: 530670 Albemarle Housing Improvement Program $375,000 RESOLUTION Allocation of Charlottesville Affordable Housing Fund (CAHF) for Carlton Views III, LLC Carlton Views III Development Project -- $1,440,000 NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Charlottesville, Virginia that the sum of $1,440,000 be allocated from previously appropriated funds in the Charlottesville Affordable Housing Fund (CAHF) to the Carlton Views III, LLC for the purpose of providing funds for the Carlton Views III affordable housing development project. Fund: 426 Project: CP-084 G/L Account: 530670 Carlton Views III, LLC $1,440,000 RESOLUTION Allocation of Charlottesville Affordable Housing Fund (CAHF) for Habitat for Humanity of Greater Charlottesville Equity Housing Initiative-- $585,000 NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Charlottesville, Virginia that the sum of $585,000 be allocated from previously appropriated funds in the Charlottesville Affordable Housing Fund (CAHF) to Habitat for Humanity of Greater Charlottesville. for the purpose of providing funds for the Equity Housing Initiative. Fund: 426 Project: CP-084 G/L Account: 530670 Habitat for Humanity of Greater Charlottesville $585,000 Habitat for Humanity of Greater Thomas Jefferson Community Land Organization Charlottesville Carlton Views III, LLC Trust AHIP Promise Land Communications Critical Repair & 808 Cherry Avenue Project Name Equity Housing Initiative Carlton Views III Nassau Street II Rehab Building Total CAHF Request $647,500.00 $1,440,000.00 $500,000.00 $573,142.00 $1,200,000.00 New Homeownership/skills construction/multi- Acquisition/new New Project Type training/rehab family construction Housing Rehab construction/multifamily Funding Enhanced down payment Acquisition/site Acquisition/site Breakdown assistance: $75,000 development: $1,440,000.00 development: $500,000.00 Emergency Repair New construction $1,200,000.00 Anti-gentrification rental conversion pilot: $60,000 Critical Rehab Pathways to Housing: $22,500 Public housing rehab/Section 3: $15,000 Acquisition/new construction/rehab: $480,000 Units @ AMI Less than 30% Less than 30% levels Less than 30% AMI: 30 AMI: Less than 30% AMI: AMI: approx 18 Less than 30% AMI: 6 30% - 40% AMI: 15 30% - 40% AMI: 12 30% - 40% AMI: 30% - 40% AMI: approx 11 30% - 40% AMI: 40% - 50% AMI: 10 40% - 50% AMI: 40% - 50% AMI: 40% - 50% AMI: approx 12 40% - 50% AMI: 12 50% - 60% AMI: 3 50% - 60% AMI: 36 50% - 60% AMI: 50% - 60% AMI: approx 12 50% - 60% AMI: 6 60% - 80%: 4 60% - 80%: approx 15 TOTAL: TOTAL: 48 TOTAL: 4 TOTAL: 68 TOTAL: 24 Units for Special Populations: Varies by project. Average CAHF/unit, including cost of training CAHF/unit 5 CRHA residents: $11,163.79 $30,000.00 $125,000.00 $9,097.49 $60,000.00 DHCD Other HOME/NHTF Funding: SHOP: $270,000.00 Loan: $500,000.00 construction loan $744,000.00 ABRT $99,000.00 Construction loan $771,600.00 Private fundraising: $1,530,000.00 VHDA SPARC: $900,000.00 CDBG/HOME $52,371.00 Deferred developers fee $37,700.00 Partner family first mortgages: $720,000.00 VHDA Match: $1,440,000.00 LEAP $125,000.00 Developers investment $370,000.00 Fountainhead Council appropriation: $50,000.00 Development: $587,345.00 Foundations $58,521.00 CRHA/HUD: $200,000.00 LIHTC: $5,737,501.00 In-kind $25,000.00 CRHA: $30,000.00 Private donation $250,000.00 TOTAL: $2,800,000.00 TOTAL: $9,164,846.00 TOTAL: $744,000.00 Private donation $200,000.00 TOTAL: $809,892.00 TOTAL: $1,179,300.00 Total project cost $3,447,500.00 $10,604,846.00 $1,244,000.00 $1,383,034.00 $2,379,300.00 % CAHF of total 18.78% 13.58% 40.19% 41.44% 50.44% 1 year - 30 years depending on Affordability Potentially 30 yrs if Habitat exercises first amount of CAHF investment in period right to buy 30 years 90 years project 30 years o Goal 3: Grow the City’s housing stock o Goal 3: Grow the City’s housing o Goal 3: Grow the City’s housing o Goal 2.1: Preserve and improve Goal 3: Grow the City’s housing stock Alignment with for residents of all income levels stock for residents of all income stock for residents of all income the quality and quantity of the for residents of all income levels Comprehensive o Goal 3.1: Continue to work toward the levels levels existing housing stock through o Goal 3.1: Continue to work toward Plan Goals: City’s goal of 15% supported o Goal 3.1: Continue to work o Goal 3.1: Continue to work toward the renovation, rehabilitation the City’s goal of 15% supported affordable housing by 2025. toward the City’s goal of 15% the City’s goal of 15% supported and/or expansion of existing affordable housing by 2025. o Goal 3.6: Promote housing options to supported affordable housing by affordable housing by 2025. units as a means of enhancing o Goal 3.6: Promote housing options to accommodate both renters and owners 2025. Goal 3.6: Promote housing o Goal 3.6: Promote housing options neighborhood stability. accommodate both renters and at all price points, including workforce options to accommodate both to accommodate both renters and o Goal 3.1: Continue to work owners at all price points, including housing. renters and owners at all price owners at all price points, toward the City’s goal of 15% workforce housing. o Goal 5: Support projects and public/ points, including workforce including workforce housing. supported affordable housing by o Goal 5: Support projects and public/ private partnerships (i.e., private, housing. o Goal 5: Support projects and 2025. Goal 3.6: Promote housing private partnerships (i.e., private, non‐profits, private developers and o Goal 4.1: Continue to support the public/ private partnerships (i.e., options to accommodate both non‐profits, private developers and governmental agencies) for affordable use of appropriate tax credit private, non‐profits, private renters and owners at all price governmental agencies) for housing, including workforce housing proposals submitted by private developers and governmental points, including workforce affordable housing, including and mixed‐use, and mixed-income and non-profit developers within agencies) for affordable housing, housing. workforce housing and mixed‐use, developments. the locality to create affordable including workforce housing and o Goal 5: Support projects and and mixed-income developments. o Goal 5.7: Support housing programs at rental units, as consistent with mixed‐use, and mixed-income public/ private partnerships (i.e., o Goal 5.7: Support housing programs the local and regional level that Housing Advisory Committee developments. private, non‐profits, private at the local and regional level that encourage mixed-income policy. o Goal 5.7: Support housing developers and governmental encourage mixed-income neighborhoods and discourage the o Goal 5: Support projects and programs at the local and regional agencies) for affordable housing, neighborhoods and discourage the isolation of very low and low income public/ private partnerships (i.e., level that encourage mixed- including workforce housing and isolation of very low and low income households. private, non‐profits, private income neighborhoods and mixed‐use, and mixed-income households. o Goal 7: Offer a range of housing developers and governmental discourage the isolation of very developments. o Goal 7: Offer a range of housing options to meet the needs of agencies) for affordable housing, low and low income households. options to meet the needs of Charlottesville’s residents, including including workforce housing and o Goal 7: Offer a range of housing Charlottesville’s residents, including those presently underserved, in order mixed‐use, and mixed-income options to meet the needs of those presently underserved, in order to create vibrant residential areas or developments. Charlottesville’s residents, to create vibrant residential areas or reinvigorate existing ones. o Goal 5.7: Support housing including those presently reinvigorate existing ones. o Goal 7.1: To the greatest extent programs at the local and underserved, in order to create o Goal 7.1: To the greatest extent feasible ensure affordable housing is regional level that encourage vibrant residential areas or feasible ensure affordable housing is aesthetically similar to market rate. mixed-income neighborhoods reinvigorate existing ones. aesthetically similar to market rate. o Goal 8.1: Encourage mixed-use and and discourage the isolation of o Goal 7.1: To the greatest extent o Goal 8.1: Encourage mixed-use and mixed-income housing developments. very low and low income feasible ensure affordable housing mixed-income housing households. is aesthetically similar to market developments. o Goal 7: Offer a range of housing rate. options to meet the needs of o Goal 8.1: Encourage mixed-use Charlottesville’s residents, and mixed-income housing including those presently developments. underserved, in order to create vibrant residential areas or reinvigorate existing ones. o Goal 7.1: To the greatest extent feasible ensure affordable housing is aesthetically similar to market rate. o Goal 8.1: - Encourage mixed-use and mixed-income housing developments. o Goal 8.3: - Encourage housing development where increased density is desirable and strive to coordinate those areas with stronger access to employment opportunities, transit routes and commercial services. o Goal 8.7: Encourage the incorporation of green sustainable principles (e.g. LEED, EarthCraft Virginia, Energy Star, etc.) in all housing development to the maximum extent feasible both as a way to be more sustainable and to lower housing costs. Alignment with o Goal 1.3: Increase affordable housing o Goal 1.3: Increase affordable o Goal 1.3: Increase affordable o Goal 1.3: Increase affordable o Goal 1.3: Increase affordable Strategic Plan options housing options housing options housing options housing options Goals: City of Charlottesville Affordable Housing Fund (CAHF) Application Applicant Information Amount of CAHF Funds $573,142 Requested: Organization name: AHIP Contact name: Jennifer Jacobs Title: Executive Director Address: 2127 Berkmar Drive, Charlottesville VA 22901 Phone: 434-817-2447 x36 Email: jjacobs@ahipva.org Project Information Project name: Critical Rehab & Repair Project location: Charlottesville (scattered-site and Belmont) Purpose of requested funding Project type (check all that apply): (check all that apply): New construction Multi-family Acquisition Single family (detached)  Rehabilitation Single family (attached) Rent subsidy  Rehabilitation Other New Construction Other 7 Income restrictions on project (indicate approximate number of units meeting each Area Median Income (AMI) category: The only income restriction that the city places on AHIP’s rehab and repair activities is that we serve households up to 80 percent of the AMI. We prioritize households with lower incomes, but take other factors into consideration as well, including funding availability, size of the project, whether there are children, senior citizens, and disabled family members in the household, and other factors that would increase vulnerability. The numbers below show the average distribution of the households whom we serve over the last three years. We would expect this distribution to be similar in FY19. Critical rehab (projections based on averages over a three-year period FY16-FY18): 4.7 (17.2%) Incomes less than 30% AMI 3.0 (11.0%) Income between 30% and 40% AMI 5.3 (24.4%) Incomes between 40% and 50% AMI 4.3 (16.8%) Incomes between 50% and 60% AMI 7.7 (30.6%) Income between 60% and 80% AMI 0 Unrestricted units (>80% AMI) 25 Total Units Emergency repair (projections based on averages over a three-year period FY16-FY18): 13.7 (28.8%) Incomes less than 30% AMI 8.3 (19.0%) Income between 30% and 40% AMI 7.3 (13.4%) Incomes between 40% and 50% AMI 8.3 (15.5%) Incomes between 50% and 60% AMI 9.7 (23.3%) Income between 60% and 80% AMI 0 Unrestricted units (>80% AMI) 47.3 Total Units 8 Project Proposal: Please provide following information as separate attachments to the application: 1. Project Description -- Provide a description of the proposed project. Include: project type and location, short and long term goals, the population(s) to be served. Discuss plans for accessibility/adaptability, energy conservation and/or any green building components. 2. Demonstration of Need -- Describe how the project contributes to the City of Charlottesville's housing goals. 3. Project Readiness -- Provide evidence of: organizational experience and capacity to manage the project, pursue and acquire land, site control, required zoning variance and permitting (if applicable), financial commitments for the projects, community engagement plan (if applicable), resident relocation plan (if applicable), plans for preparation and coordination of necessary public meetings. 4. Project Budget -- Provide a detailed description of the proposed project budget showing sources and amounts of additional funding. 5. Project Schedule -- Indicate the proposed project schedule, including pre- development, anticipated pursuit and acquisition timeline, site control, zoning approval, financing and construction miles (as appropriate) to project completion. 6. Experience -- Provide a summary of similar activities completed by the organization and project team. 9 Authorization: Organization Name: Albemarle Housing Improvement Program (AHIP) Project Title: Critical Rehab & Repair I, Jennifer Jacobs certify that I am authorized to (Authorized Organization Official) apply for funding from the City of Charlottesville. I certify that all information contained herein is accurate to the best of my knowledge. 06/08/18 Signature Date Jennifer Jacobs Executive Director Print Name Title 10 AHIP Proposal for the Charlottesville Affordable Housing Fund FY2018-19 Critical Rehab and Repair Program June 2018 Introduction Everyone should be safe at home. Beyond safety and health, low-income Charlottesville residents should not have their livelihoods threatened because they have trouble covering the cost of critical home repairs. Every day, AHIP works with families who have worked hard to hold onto their homes. We bear witness to generational stories and the history of the city that weaves through the homes and neighborhoods that have stood here for decades. William was our first client in our 10th & Page Block-by-Block neighborhood initiative. He was 82 and widowed when we met him, and he had grown up in this house that his father had built himself for William’s mother and four brothers. When our rehab project started—he had come to us because his roof was leaking, but it needed some more work, including replacing the original inefficient and non-functioning windows and the water lines— it was home to William, his granddaughter, and his two great-granddaughters. The framed pictures covering every wall and every surface of the living room radiated love and life. There are countless histories like William’s. We believe that something as humble as home repair plays an important role in making sure that people of Charlottesville can preserve their histories and continue their legacies in the homes they want to—and deserve to—stay in. Owner-occupied rehab efforts keep city residents safe, protect their assets, improve neighborhoods, slow down gentrification, and preserve the city’s stock of existing affordable housing. In a time when housing and other costs are continuing to rise, incomes are failing to keep up, and there is continued and increasing pressure on Charlottesville’s historically racially and economically diverse neighborhoods, preserving the affordable housing we have—the homes where people live right now—is essential. Project description AHIP is requesting support from the Charlottesville Affordable Housing Fund to deliver critical rehabs, emergency repairs, and energy-efficiency upgrades to low-income homeowners. Together, we will preserve and improve more than 60 supported affordable units. GOALS The goals of this initiative are to keep individuals and families safe, healthier, and more comfortable in their homes; to preserve and improve existing affordable homes for the people who live there now and for future generations; and to reduce operating (i.e., heating and cooling) costs of homes in order to make them more affordable. This work serves families in both the short and the long term. If fully funded, AHIP will be able to complete 18 critical rehabs, 55 emergency repairs, and 25 energy 1 upgrades, which will directly assist approximately 63 to 73 households.  55 emergency repairs Our Emergency Repair Program responds to urgent home repair crises for low-income city residents. Since the start of this vital initiative in Charlottesville in 2009, AHIP and the city have completed critical home repairs for 799 people in 382 households. Typical repairs include heating systems; handicap ramps and other accessibility modifications; water heaters; roofs; windows; doors; and plumbing, electrical, and structural emergencies. We have split this program into large and small emergency repairs, which allows us to direct dedicated city funds to cover bigger projects without edging out the smaller ones. Bigger jobs include chairlifts (these run about $10,000), handicap showers, roof replacements, and HVAC replacements. In FY19, we are aiming to complete 50 regular emergency repairs (averaging about $3,000 per job) and five large emergency repairs (averaging $10,000 per job). There are currently 100 households on our waiting list for emergency repairs, with new calls for help coming in each week.  18 critical rehabs Our Housing Rehabilitation Program operates across the city, responding to new calls for help and tending to our waiting list that currently holds 81 households. These are bigger, more comprehensive projects that address a home’s systems, although funding caps and limited funds often push larger, more complex projects out of reach. Our rehab specialists work with the homeowners and the city building inspectors to address the most important rehab components. We focus our rehab efforts city-wide (what we call “scattered-site”) and also in targeted neighborhoods as part of our Block-by-Block Charlottesville initiative. BXBC kicked off in 2012 with our 10th & Page initiative, which has completed 40 rehabs in that neighborhood. We are winding down our Orangedale & Prospect BXBC project, having completed 28 rehabs. We are now beginning a push in Belmont, to dovetail with the city’s designation of Belmont as this year’s CDBG target neighborhood, and have close to 40 households who responded to our initial outreach efforts for that neighborhood. In FY19, we are aiming to complete at least seven rehabs in the Belmont neighborhood and approximately 11 scattered-site rehabs. That proportion may shift based on urgency, scheduling, and client response.  25 energy-efficiency upgrades Our Energy Retrofit Initiative is a partnership with LEAP that layers energy upgrade projects onto existing rehabs and sometimes emergency repairs. Typical tasks include insulating; air-sealing and duct-wrapping; conditioning crawlspaces; and installing high-efficiency HVAC systems, water heaters, windows, and doors. We combine these programs in order to increase efficiency of service delivery, do more for the city families we’re able to help, and because often times rehab work is needed in conjunction with energy upgrade work (for example, we can’t insulate an attic if the house has a roof leak or old wiring). LEAP provides program design and evaluation support, pre- and post-testing, inspections and scope of work development, and funding pass-through coordination for all of our energy upgrades. 1 We use an estimated range of households due to the fact that sometimes the same family will receive an emergency repair and a rehab in the same year. If there is an urgent need that can’t wait—for example, if their water heater dies while they are waiting for a rehab—we will take care of that right away and then serve them later on with a rehab. AHIP | FY19 CAHF APPLICATION (JUNE CYCLE) – PROJECT NARRATIVE 2 For energy upgrades, AHIP aims to achieve an average 20 percent efficiency gain or better for each home we work on. This is measured by a pre- and post-blower door test conducted by LEAP. In addition to this testing, we are collecting pre- and post-project quantitative and qualitative data on energy consumption; energy costs; and general health, comfort, and well-being (i.e., asthma, allergies). In 2017, we began examining utility bill data and completing an Energy Profile for each client prior to the start of the project and 12 months after. PEOPLE In FY18, AHIP and the city, through our rehab and emergency repair programs, have served 153 people in 75 households. Of these households:  24 percent are home to kids under 18 (28 kids total)  15 percent are headed by a single parent (10 single moms and 1 single dad)  64 percent are home to senior citizens (56 seniors total)  40 percent are home to disabled family members (30 disabled individuals total)  The average annual household income is at 46 percent of AMI  65 percent are home to racial and ethnic minorities These percentages stay relatively constant from year to year and should predict who we’re able to help in 2019. PROCESS Below is an outline of our rehab and repair process. Each and every city client moves through these steps: STEP 1: INTAKE  Preliminary phone or in-person screening (question about housing conditions, repair emergencies, household makeup) o Clients self-refer and are also referred by neighbors, family members, city staff, social services providers, and other housing providers.  Entry into our database/waitlist o With more than 180 households on our list, we cannot get to everyone right away. We prioritize health and safety emergencies, households with children and elderly occupants, and target neighborhoods. STEP 2: ENROLLMENT  Eligibility verification and program application o Clients are assigned to one of AHIP’s three Rehab Specialists, who verifies income (through third-party verification) and other eligibility measures and gets clients enrolled. Homeowners must be current on their real estate taxes (or have a payment plan in place) and have clear title to their homes. Residents who hold a life estate are eligible. AHIP will often work with the client, their family members, and community resources such as Legal Aid to help clients clear up tax or ownership issues.  Initial home review o The Rehab Specialist meets with the client to talk about their home and conduct an initial walk-through. AHIP | FY19 CAHF APPLICATION (JUNE CYCLE) – PROJECT NARRATIVE 3 STEP 3: PROJECT PLANNING  Inspections o Depending on the types of repairs needed, the Rehab Specialist schedules general and/or specialty inspections. All rehabs are inspected by the city building inspector, who will draw up a city-mandated list of items that must be included in the scope of work. Other third-party specialty inspections may include LEAP, pest, chimney, and electrical.  Scope of work and estimate o The Rehab Specialist finalizes a scope of work and estimate for each project and reviews it with the homeowner. We focus on health and safety issues and must follow the city’s scope of work requirements, but do our best to work with each homeowner to cover items that are important to them. o Neighborhood Development Services must approve the final scope of work and estimate, based on funding availability and other factors. STEP 4: UNDER CONTRACT  Project funding and the deed of trust (“affordability period”) o CDBG, HOME, or CAHF assistance is offered by the city in the form of a “deferred payment loan,” and, if the amount of assistance exceeds $5,000, is secured by a deed of trust. A deferred payment loan is a loan that has no monthly payments, and becomes payable in full whenever the property is sold, transferred, devised or otherwise vacated by the applicant. (The City of Charlottesville is the noteholder and the funds return to the city.) The minimum term is three years (for loan amounts between $5,000 and $10,000) and the maximum term is 30 years (for loan amounts over $70,000). o The deferred payment loan also is forgivable over the term of the loan. For example, a 10-year loan will be reduced by one-tenth each of the 10 years. At the expiration of the loan term period, the deferred payment loan shall be forgiven and the lien released. o If the property is transferred to an heir during the loan period and that heir is income-eligible, the deferred payment loan will transfer with the property and without penalty. o This is a city policy and is a condition of utilizing city funds. Private grant funds do not typically require a deed of trust and can be used to offset some public funds and thus reduce the loan obligation or can be used when clients cannot get clear title or are unable to have a deed of trust placed on their house (for example, some elderly clients who have reverse mortgages are ineligible for city funds).  Contract signing o AHIP’s Construction Program Manager meets with each client to review project scope, costs, deed of trust terms and requirements, process, policies, and the contract. Once the contract is signed, AHIP records the deed of trust (if applicable) and schedules the work. STEP 5: CONSTRUCTION  Project work o AHIP crews, local subcontractors, and/or volunteers carry out the rehab and repair tasks. Sometimes, the client is responsible for certain tasks, such as clean-up or painting. These tasks and responsibilities are spelled out clearly in the scope of work and agreed upon in the contract.  Oversight, compliance, and quality assurance AHIP | FY19 CAHF APPLICATION (JUNE CYCLE) – PROJECT NARRATIVE 4 o AHIP’s Construction Supervisor and/or subcontractors secure proper work permits, and most rehabs are subject to regular inspections by city staff. All rehabs and emergency repairs are monitored by our Crew Leaders and Construction Supervisor. o All construction activities are subject to local, state, and federal laws and regulations, including the building code, contracting regulations, and HUD and OSHA rules. We follow city rules for liability insurance, adhere to industry standards on workers compensation, and are subject to audits by NDS staff, HUD inspectors, DPOR inspectors, and OSHA inspectors. o AHIP’s Construction Program Manager is the point-of-contact for every client, reviewing progress during the project, addressing any concerns or questions, and seeking input on priorities and product selections (such as flooring and paint colors) as the project proceeds. o When the project is nearing completion, AHIP conducts a final walk-through with the client. The Construction Supervisor will create a punch list for any items that need to be addressed following the walk- through. Specialty inspectors will have their final inspections, and a final general inspection report verifies that all repairs and upgrades have been completed and are satisfactory. The city building inspector signs off on the project or orders re-inspection based on items that need to be addressed.  Qualifications o AHIP holds a Class A Contractor’s license and is an EPA- and state-certified Lead Abatement Contractor. AHIP partners with Building Performance Institute (BPI)-certified building analysts at LEAP and WeatherSeal on all of our energy-efficiency upgrade projects from pre-testing to close-out. o AHIP’s programs meet a variety of industry standards, including: HUD health and safety inspection guidelines; local property maintenance and building codes (based on state and national standards); and the BPI standards for best practices in energy efficiency. AHIP’s third-party inspectors (plumbing, electrical, energy auditors, chimney, pest, etc.) or third-party city building officials use HUD guidelines and/or building code or BPI standards to scope and evaluate our work.  Close-out and warranty o With construction complete, AHIP’s Construction Program Manager holds a meeting with the client to close out the project and sign all required documentation. o Client surveys provide feedback on the project, what impact it had on the household, and what could have been done to improve the process or the project outcomes. o All of AHIP’s work is warrantied for one year, so if something goes wrong, AHIP staff will return to make it right at no additional cost to the client. ENGAGEMENT AHIP’s primary focus remains on individual engagement with each family throughout what ends up being a very personal process of coming into our clients’ lives and homes, collecting private information and then working in the places where they live—bringing in inspectors, crew members, subcontractors, and sometimes groups of volunteers. Our clients’ homes are the intimate spaces in which AHIP works, and we approach this with care and respect. We seek to engage the broader community—typically the neighborhoods of our target areas—when we aim to explain what we’re about, solicit interest in our programs, and encourage people to sign up. In Belmont, the letters and phone calls we sent to the community elicited a stunning response, with about 10 percent of recipients responding. We called and talked to each respondent who was eligible and expressed an interest in the program and added them to our list. AHIP | FY19 CAHF APPLICATION (JUNE CYCLE) – PROJECT NARRATIVE 5 Our next step for Belmont, during this initial pilot year, will be to meet with community members to solicit feedback, gauge continued or renewed interest, see if and how we can pair our rehab work with other improvements that residents would like to see, and begin to discuss how AHIP can work with residents to facilitate strategic partnerships that can bring these resources to bear on that long-standing neighborhood. Demonstration of need In the city, an aged housing stock and deferred maintenance contribute to the widespread need for rehab and repair services. For affluent homeowners, this extensive process can be a labor of love and an engine of aesthetic renewal for neighborhood streets. For low-income homeowners, the financial wherewithal to address outdated and dangerous electrical systems, old and faulty plumbing, failing furnaces, failing roofs, deteriorating kitchens, and rotting floors is steadfastly out of reach. Scores of families in Charlottesville—181 on AHIP’s city waiting list as of this writing—live in homes in urgent need of substantial repairs and energy upgrades. Poor housing quality undermines families in many ways: it makes achieving at school harder for kids; it can contribute to parental stress, anxiety, and family instability; it can make an affordable home unaffordable; it can cause injury, sickness, and aggravate allergies and asthma. Displacement of families who cannot afford to maintain homes and seniors who cannot age in place increases or introduces housing insecurity and trauma, stresses other affordable housing resources (such as rental stock and vouchers), and opens the door wider to the forces of gentrification. CITY GOALS Rehabilitation and preservation of Charlottesville’s affordable housing stock fits within Charlottesville’s goals and policies: Supported affordable units (2025 Goals for Affordable Housing) AHIP’s work helps the city reach its 15 percent goal by creating additional supported affordable units. Rehabs and emergency repairs over $5,000 are secured with a deed of trust on the property in order to incentivize families to hold onto the properties after a rehab is done. (Typically, families need no incentive, and homes often pass down to family members after the death of a homeowner.) Comp Plan 2013 Housing Goals AHIP’s work supports the following goals:  Goal 2: “Maintain and improve the City’s existing housing stock for residents of all income levels.” This is AHIP’s core work, but we strictly focus on low-income residents.  Goal 2.5: “Preserve and improve the quality and quantity of the existing housing stock through the renovation, rehabilitation, and/or expansion of existing units as a means of enhancing neighborhood stability.” AHIP focuses on renovation and rehabilitation rather than expansion. Charlottesville Strategic Plan Affordable Housing and Related Goals AHIP’s work supports the following goals:  Goal 1.4: “Enhance financial health of residents.” AHIP helps families reduce operating costs immediately, removes long-term burdens of costly stop-gap measures; and prevents more costly fixes of unchecked problems down the road. AHIP | FY19 CAHF APPLICATION (JUNE CYCLE) – PROJECT NARRATIVE 6  Goal 2.1: “Reduce adverse impact from sudden injury and illness and the effects of chronic disease.” AHIP’s work increases occupants’ health and safety by addressing dangerous deficiencies and increasing building health. AHIP’s work decreases occupants’ stress and improves mental health.  Goal 2.3: “Improve community health and safety outcomes by connecting residents with effective resources.” AHIP delivers a critical resource to homeowners that allows them to improve the health and safety of their homes and families. Project readiness AHIP’s program is ongoing, and our internal structure is set up to move clients through our program pipeline from year to year. We field intake calls continuously, and our rehab specialists are already beginning to work on FY19 client verification, enrollment, and estimating to maintain our system’s momentum, work flow, and efficiency. We are currently staffed—on both the programmatic and planning fronts and the construction front— to carry out the goals of this effort. As always, local subcontractors supplement our construction capacity. If funded, this process will continue with inspecting, estimating, planning, contracting, pulling all necessary permits, and layering other funding as needed. If not funded, or if partially funded, we will have to halt some or all aspects of our city rehab and repair program. AHIP is a state-licensed Class A Contractor and is an EPA-certified lead abatement contractor. With more than 150 years of construction experience among our rehab program staff and more than 42 years of experience serving our community, AHIP has the expertise to continue to deliver critical rehabs and repairs to city homeowners. This is our mission and our reason for being. Project budget Please see the attached project budget, which shows sources and uses of funds, average and projected cost per unit, and other public funds and private resources that will be leveraged to make this effort a success. Project schedule The timeframe for this project spans Fiscal Year 2018-19, which runs from July 1, 2018 to June 30, 2019. Unlike construction of a discrete multifamily development, this effort comprises multiple construction projects in various stages of development—intake to estimating to construction—that run concurrently and consecutively throughout the year. Emergency repairs may take as little as a week from intake to completion; rehabs can sometimes take several months to enroll, plan, fund, and carry out. Experience AHIP is a 501(c)(3) organization and has served Charlottesville since 1995. (The Charlottesville Housing Improvement Program, or CHIP, began in 1974 and worked alongside AHIP until CHIP closed in 1995.) From 1995 to 2008, AHIP utilized the city’s federal HOME and CDBG funds to complete major rehabs for city households. In 2009, Neighborhood Development Services and City Council recognized a need to do more, and we began operating our Emergency Repair Program. In 2011, we began partnering with LEAP to bring energy- efficiency upgrades to city clients and began planning for our first Block-by-Block Charlottesville effort in the 10th & Page neighborhood. From that point forward, we have worked closely with city staff and leaders to carry AHIP | FY19 CAHF APPLICATION (JUNE CYCLE) – PROJECT NARRATIVE 7 out a thriving effort that balances small repairs, energy upgrades, scattered-site projects, and target-area projects— bringing together city resources, private funds, partner organizations, and volunteers—to make sure that people can stay in their homes and stay safe in their homes. KEY STAFF  Jane Andrews, Associate Director, Construction Programs, is responsible for day-to-day oversight of AHIP’s rehab department, managing construction crews, subcontractors, financial planning and compliance, recordkeeping, and client coordination. Trained as a social worker, Ms. Andrews has more than 30 years of experience with AHIP in client outreach and rehab management.  Laurie Jensen, Program Manager for Outreach, manages the intake, data collection, and client assignment process. She also coordinates with LEAP on the Energy Retrofit Initiative and helps explore other community partnerships that increase our reach and impact. Ms. Jensen joined AHIP in 2015.  Len Wishart, Lee Miller, and Ed Walker, Rehab Specialists, are in charge of conducting initial inspections, scheduling specialty and city inspections, estimating projects, and writing up scopes of work. They also work with LEAP to estimate energy efficiency tasks, folding them into the rehab estimating process and LEAP compliance processes (including pre- and post-testing coordination). Together, they bring more than 80 years of construction experience.  George Herring, Construction Supervisor, is responsible for scheduling crews and subcontractors, managing workflow and budgets, arranging final inspections, and overseeing the quality of all work completed. He works closely with the crew leaders and the rehab program staff.  Corbin Breaud, Volunteer Coordinator, schedules volunteers into rehab and repair projects, serving as onsite manager and volunteer crew leader, handling prep and set-up, and providing safety training, skills training, and general cheerleading for volunteers. Mr. Breaud took over as Volunteer Coordinator in July 2014 and has worked on expanding our volunteer impact and reach. Why AHIP? The chaos of August 12th galvanized the community around cultural, political, and social issues, and the issue of affordable housing has taken center stage as citizens give increasingly strong voice to the connection between housing and health, well-being, economic power, achievement, and social justice. At AHIP, we see first-hand how a family home confers stability on generations of occupants, and how easily this can be lost, especially as pressure on more affordable city neighborhoods only increases. Helping families preserve their homes through rehab and repair is one of the best and most tangible approaches we know: a cost-effective means of improving a family’s health and well-being today while preserving their home for the future. We are so very grateful for the existence of the Charlottesville Affordable Housing Fund and the opportunity to apply for funds that will go right back out into city neighborhoods and families’ homes. Thank you for helping us keep Charlottesville families safe at home. Please call on us if you have any questions or would like more information. CONTACT Jennifer Jacobs, Executive Director jjacobs@ahipva.org 434.817.2447 x36 AHIP | FY19 CAHF APPLICATION (JUNE CYCLE) – PROJECT NARRATIVE 8 AHIP Critical Rehab and Repair: Charlottesville Project budget FY2018-19 PROJECT EXPENSES Program personnel Program Manager, Construction (50% of time) 35,822 Construction Supervisor (50% of time) 30,900 Rehabilitation Specialist #1 (50% of time) 26,600 Rehabilitation Specialist #2 (50% of time) 25,572 Rehabilitation Specialist #3 (20% of time) 10,229 Program Manager, Intake/Outreach (25% of time) 13,000 Volunteer Manager (50% of time) 24,000 benefits and taxes at 22% 31,267 TOTAL PROGRAM PERSONNEL 197,388 Construction CRITICAL REHABS critical rehab: scattered-site 465,850 target goal: 11 scattered-site rehabs (ave $42,350/project) | CAHF cost per unit: $24,168 (average/approx) critical rehab: Belmont Block-by-Block Cville - pilot year 381,150 target goal: 7 Belmont rehabs (ave $54,450/project) | CAHF cost per unit: $18,736 (average/approx) ENERGY RETROFITS energy retrofit: BXBC and scattered-site 125,000 target goal: 25 energy upgrades (ave $5,000/project) | CAHF cost per unit: $0 EMERGENCY REPAIRS emergency repair: scattered-site 150,000 target goal: 50 emergency repairs (ave $3,000/job) | CAHF cost per unit: $3,000 (average) emergency repair - neediest cases: scattered-site 55,000 target goal: 5 large emergency repairs (ave $11,000/job) | CAHF cost per unit: $11,000 (average) TOTAL DIRECT JOB COSTS 1,177,000 Admin/overhead* 137,439 10 percent of project cost TOTAL EXPENSES 1,511,827 PROJECT FUNDING Public sources Secured Charlottesville general fund FY19 99,000 allocated toward admin/overhead Charlottesville CDBG/HOME FY19 allocation 52,371 Charlottesville/LEAP FY19 energy upgrade funds 125,000 allocated toward energy retrofits Pending and projected Charlottesville Affordable Housing Fund FY2018-19 573,142 pending application Dept of Social Services' Heating Crisis Program** 10,000 projected SUBTOTAL PUBLIC SOURCES 859,513 Private sources Secured Local foundation grants 58,521 carry-forward 2018 grants to be used on FY19 projects In-kind contributions (services/materials) 25,000 Beck Cohen in-kind program; estimated to be spent on city households in FY19 Pending and projected (high likelihood) Local private foundation - anonymous 250,000 pending: Belmont BXBC Local private foundation - anonymous 200,000 projected/renewal: scattered-site rehabs Grants/gifts/annual fund 63,793 projected/to be raised In-kind contributions (services/materials) 15,000 projected/to be raised In-kind contributions (volunteer hours) 40,000 based on FY17 actuals SUBTOTAL PRIVATE SOURCES 652,314 TOTAL FUNDING 1,511,827 NOTES *Occupancy, depreciation, fundraising, financial administration, support staff, office supplies **These funds are not grants that we apply for, but rather existing funds that we draw down on a project-by-project basis in partnership with Dept of Social Services. City of Charlottesville Affordable Housing Fund (CAHF) Application Applicant Information Amount of CAHF Funds Requested: $1,440,000 Organization name: Carlton Views III, LLC/Thomas Jefferson Community Land Trust ** Contact name: Thomas Papa/Christine Jacobs Title: Owner-Manager/Executive Director Address: Fountainhead, 7 East 2nd Street, Richmond, VA 23224 TJCLT, P.O. Box 1606, Charlottesville, VA 22902 Phone: 804-402-0175 Email: thomaswpapa@gmail.com Project Information Project name: Carlton Views III Project location: 1339 Carlton Avenue, Charlottesville, VA 22902 Purpose of requested funding Project type (check all that apply): (check all that apply): X New construction X Multi-family X Acquisition Single family (detached) Rehabilitation Single family (attached) Rent subsidy Rehabilitation Other X New Construction Other 1 Income restrictions on project (indicate approximate number of units meeting each Area Median Income (AMI) category: Incomes less than 30% AMI 12 Income between 30% and 40% AMI Incomes between 40% and 50% AMI 36 Incomes between 50% and 60% AMI Income between 60% and 80% AMI Unrestricted units (>80% AMI) 48 Total Units Project Proposal: Please provide following information as separate attachments to the application: 1. Project Description -- Provide a description of the proposed project. Include: project type and location, short and long term goals, the population(s) to be served. Discuss plans for accessibility/adaptability, energy conservation and/or any green building components. 2. Demonstration of Need -- Describe how the project contributes to the City of Charlottesville's housing goals. 3. Project Readiness -- Provide evidence of: organizational experience and capacity to manage the project, pursue and acquire land, site control, required zoning variance and permitting (if applicable), financial commitments for the projects, community engagement plan (if applicable), resident relocation plan (if applicable), plans for preparation and coordination of necessary public meetings. 4. Project Budget -- Provide a detailed description of the proposed project budget showing sources and amounts of additional funding. 5. Project Schedule -- Indicate the proposed project schedule, including pre- development, anticipated pursuit and acquisition timeline, site control, zoning approval, financing and construction miles (as appropriate) to project completion. 6. Experience -- Provide a summary of similar activities completed by the organization and project team. 2 Project Description Provide a description of the proposed project. Include: project type and location, short and long term goals, the population(s) to be served. Discuss plans for accessibility/adaptability, energy conservation and/or any green building components. Construction and Affordability Carlton Views III is the fourth, and final, phase of a mixed-use project combining affordable and accessible multifamily housing adjacent to the eldercare services provided by the Blue Ridge Pace Center. This forty-eight (48) unit residential building, comprised of one and two-bedroom accessible and adaptable apartments, is designed to provide housing opportunities for frail elderly and disabled residents in close proximity to the services and community facilities found in and around the urban center of Charlottesville. Carlton Views III will provide an additional forty-five (45) newly constructed one-bedroom apartments and three (3) two-bedroom apartments on Carlton Avenue adjacent and to the east of Carlton Views I. Of these, twelve (12) units will be fully accessible and meet the requirements of the Uniform Federal Accessibility Standard (UFAS). The remaining thirty-six (36) units will be adaptable to accessibility and will meet VHDA requirements for Universal Design. As a requirement of VHDA funding, twelve (12) of the units will also be permanently set aside for persons with a disability. As in Carlton Views I and II, all of the apartments in Carlton Views III will be set aside for low-income residents. Thirty-six (36) of the units will be set aside for residents earning no more than 60% of the area median income (AMI). Twelve (12) of the units will be set aside for very low-income residents earning no more than 40% AMI. To qualify for a 60% AMI unit under 2018 tax credit guidelines, a single person would have to earn no more than $35,880 annually. For a family of two, three or four to qualify, that family would have to earn no more than $40,980, no more than $46,080 and no more than $51,180, respectively. To qualify for a 40% AMI unit, a single person would have to earn no more than $23,920 annually. For a family of two, three or four to qualify, that family would have to earn no more than $27,320, no more than $30,720 and no more than $34,120, respectively. Importantly, leasing preference will be given to individuals or families with a Section 8 Housing Choice Voucher provided by CRHA or the City of Charlottesville. This will ensure that available units will be rented on a first priority basis to extremely low-income residents with a rental voucher. This leasing preference currently allows at least twenty-five (25) very low-income residents, earning no more than 30% AMI, to lease using a rental subsidy at Carlton I. In addition, Blue Ridge PACE has agreed to provide rental assistance under a Memorandum of Agreement for up to twelve (12) of its participants who qualify for housing at Carlton Views III. This subsidy is also available at Carlton Views I and II. The PACE Rental Subsidy is designed to provide housing opportunity for very low income, elderly participants in need of housing in close proximity to PACE services. At Carlton I, three PACE participants are currently renting with the benefit of this subsidy. Carlton III will also make application for HOME and/or NHTF permanent financing. As a condition of this financing, up to six (6) additional units may be permanently set aside for extremely low-income residents earning no more than 30% AMI. The NHTF financing currently in place at Carlton II will allow a single person earning no more than $17,950 to qualify to rent a one-bedroom apartment (without having a voucher) for $384 per month. Under 2018 maximum rent guidelines, one-bedroom apartments at Carlton Views are expected to rent for $864, $544 and $384 for 60%, 40% and 30% AMI units, respectively. This compares to HUD Fair Market Rents of $1,027 for a one-bedroom in the Charlottesville MSA. Two-bedroom units are expected to rent for $1,030, $646, and $454, respectively. This compares to HUD Fair Market Rents of $1,179 for a two-bedroom. All of the rent and income restrictions at Carlton Views will be codified through a recorded Extended Use Agreement with VHDA that will provide long term affordability for no fewer than thirty (30) years. Project History Beginning in 2012, Fountainhead Development and its affiliates began purchasing and developing parcels along Carlton Avenue at the site of the old H.T. Ferron concrete plant. Fountainhead had plans to develop a mixed-use project incorporating commercial and residential uses centered on the development of a PACE facility on the site. With the approval of a Special Use Permit in May 2013 and the successful completion of the Blue Ridge PACE Center in 2014, Fountainhead exercised its purchase option on the remaining acreage in order to develop the first residential phase of the project. This fifty-four (54) unit apartment building, known as Carlton Views I, was completed and successfully leased-up in early 2017. Based on the success of Carlton Views I and the continuing need for affordable and accessible housing options in the City of Charlottesville, Fountainhead began predevelopment activities on the second and third residential phases of the project, to be known as Carlton Views II and Carlton Views III. Each of these projects will comprise an additional 48 apartments. Carlton Views II has received LIHTC funding and final site plan approval from the City and is expected to break ground in late summer. Carlton Views III will make application for LIHTC funding in the March 2019 funding round and is expected to be developed in lockstep with Carlton II starting in late summer 2019. Carlton Views III will complete the build-out of the multi-phase, mixed-use development of the H.T. Ferron property. Project Amenities As with each of the Carlton Views properties, the design intent at Carlton Views III is to provide affordable and accessible housing in close proximity to requisite services and to reflect a coordinated design across parcels and uses. As in the first two phases, the building design will incorporate modern lines with a mix of brick and hardiplank siding, flat roofs and modern store front glass and windows. Each building at Carlton Views will have a central elevator, a community room and a common kitchen available for community events. The three properties will share a leasing office centrally located in Carlton Views I. As in the first two residential phases, each of the units will be designed for durability and energy efficiency and will pursue an EarthCraft Gold certification for sustainable and energy efficient design. Units will be open and accessible with finishes including roll-in showers, roll-under sinks, and lowered counter tops for kitchen work space in each of the accessible units. Appliances, lighting fixtures, bath and ceiling fans will be Energy Star rated. Toilets and shower heads will be low flow, WaterSense certified. All of this will ensure ease of use for seniors and the disabled, lower utility expenses for residents and make the project more sustainable for the community. The site plan has been designed for connectivity across the site and to the PACE Center. Sidewalks connect each parcel to the other and to the Belmont neighborhood through newly-constructed City sidewalks along Carlton Avenue. Carlton II is within 1/10th of a mile and Carlton III is just over 1/4 of a mile from the Rives Street bus stop. The PACE Center also provides Jaunt bus service for its participants in the Region 10 service area as part of its program. The project team is currently working with CAT to determine the feasibility of a bus route that includes a bus stop central to the development. Demonstration of Need Describe how the project contributes to the City of Charlottesville's housing goals. By combining modern, energy-efficient and accessible affordable housing options in close proximity to the quality healthcare services provided by Blue Ridge PACE and to other community services available in and around the City center, Carlton Views III incorporates the core values of the Comprehensive Plan. The project will provide newly-constructed Supported Affordable Units toward meeting the City’s 2025 Goals for Affordable Housing and meet the Charlottesville City Council Vision for Quality Housing Opportunity for All. Carlton Views III will meet many of the affordable housing goals identified in the Comprehensive Plan, including:  Goal 2.5: Improve the quality and quantity of existing housing stock through the expansion of affordable units as a means of enhancing neighborhood stability. The project will provide 48 newly-constructed accessible and universally-designed multifamily units for low-income elderly and disabled residents in and around Charlottesville. As in infill project on the site of an old concrete manufacturing plant, the project will help stabilize a neighborhood in need of redevelopment and provide connected sense of place along Carlton Avenue. Just one mile from the City center, Carlton Views III will create an innovative, mixed-use setting that combines residential uses proximate to high quality healthcare and community services.  Goal 3 and 3.3: Grow the City’s housing stock for residents of all income levels and achieve a mixture of incomes and uses in as many areas of the City as possible. Carlton Views III is located in a neighborhood in transition. Like many Charlottesville neighborhoods, it is experiencing rapid redevelopment, rising household incomes and declining affordability. In the past 10 years, the Belmont/Carlton area (encompassing Census Tract 4.02) has seen the median family income rise to almost 85% from just over 65% of the area median and the poverty rate decline dramatically from over 23% to about 16.5% (compared to a City poverty rate approaching 26%). Given the growing demand for housing in the City center and rapidly rising rental housing prices, Carlton Views III will provide high quality, affordable housing opportunity for the City’s most vulnerable residents in a climate in which market forces are making affordable housing increasing difficult to preserve and grow. The project will provide much needed housing units for Section 8 residents earning incomes below $20,000 and for individuals and families earning incomes approaching $50,000 annually.  Goal 3.6: Promote housing options to accommodate both renters and owners at all price points, including workforce housing. With just over 2,000 housing units in the Belmont/Carlton census tract, the 2016 American Community Survey shows renter and owner households about evenly split throughout the neighborhood. However, with over 80% of the residential structures being four (4) units or less and only 6% of the residential structures being twenty (20) units or more, there will be very few opportunities in this neighborhood for a medium to high density affordable development like Carlton Views III. And, as housing prices continue to rise in the urban center, the growing demand for owner-occupied housing in the City of Charlottesville will continue to make the Belmont/Carlton neighborhood ripe for gentrification. In fact, Carlton Views is less than ½ mile from an infill community on Carlton Avenue currently listing newly-constructed, owner- occupied townhome units starting at over $300,000. In this context, Carlton Views III will provide much needed rental housing for individuals and families earning workforce housing range incomes approaching $50,000.  Goal 8.1: Encourage mixed-use and mixed-income housing developments. Carlton Views III is the final phase of a multi-phase, mixed-use development project incorporating 20,000 square feet of commercial space at Blue Ridge Pace with approximately 128,000 square feet of residential space in three multifamily buildings. The rezoning application is requesting approval for increased commercial space across the four phases of up to 50,000 square feet (with no additional residential square footage) to accommodate future growth in the neighborhood and the potential demand for small and medium-sized commercial uses to support resident needs closer to home.  Goal 8.2: Link housing options and employment opportunities in City land use decisions. While Belmont/Carlton is still primarily a residential neighborhood, Carlton Views III is located in close proximity to a light industrial area running the length of Carlton Avenue to its intersection with Carlton Street. Commercial enterprises in that strip include Skyline Tent, Gaston Wyatt, Service Pro and Martin Horn and, just slightly further down Carlton Street, Tiger Fuel, the scrap yards at Wright Brothers and Gerdau and the small business centers that run along the west side of Carlton Street. WorkSource Enterprises, a local non-profit offering job training and placement assistance for people with disabilities, is located on the corner at 1311 Carlton Avenue. Just over ½ mile from the project site, WorkSource is an invaluable local resource for disabled residents at Carlton Views. The organization provides employment support and job placement connections to over 100 local employers in the Charlottesville area.  Goal 8.4: Promote environmentally sustainable patterns of development as well as economic development and job creation in relatively underinvested, financially depressed areas. As the commercial anchor of the Carlton Views project, the Blue Ridge PACE Center provides over 30 jobs for skilled medical providers, CNAs, physical therapists and other support staff and more than replaces the light industrial jobs lost to the closure of the H.T. Ferron plant. The combined project, including the multifamily offerings, represents over $35 million of investment in the revitalization of this City neighborhood. Carlton Views III also leverages state and federal programs designed to provide housing for Special Needs populations, a goal outlined in the Comp Plan. As enumerated in the Extended Use Agreement executed with VHDA, the project will set aside accessible and universally designed units for persons with disabilities. There is a very limited supply of this housing type in the City of Charlottesville. Project Readiness Provide evidence of: organizational experience and capacity to manage the project, pursue and acquire land, site control, required zoning variance and permitting (if applicable), financial commitments for the projects, community engagement plan (if applicable), resident relocation plan (if applicable), plans for preparation and coordination of necessary public meetings. The principal at Carlton Views III, Thomas Papa, has twenty years of real estate development experience as a founding owner of Fountainhead Development and has developed large scale, mixed-use and multifamily projects in Richmond and Charlottesville. He has worked extensively with Riverside Medical Center developing PACE Center projects in Central Virginia and has financed multiple projects using VHDA financing in combination with low income, new markets and historic tax credit equity. For this project, he has brought on additional affordable housing experience, local to Charlottesville, by hiring Kevin Wood as the Owner’s Representative on the project. Mr. Wood has over ten years of experience developing Low Income Housing Tax Credit projects in Central Virginia and has worked on multiple projects with the team at VHDA and DHCD. The architect, Walter Parks LLC, and the building contractor, KBS, Inc., have also worked with Fountainhead on similar residential projects, including the on-time delivery of Carlton Views I and the Blue Ridge PACE Center. Both have been instrumental in the completion of several similar multifamily projects in Richmond including the Locks, New Manchester Flats and Miller Lofts. In these projects, over 200 apartments were developed using a combination of LIHTC equity, Bank of America construction financing and VHDA permanent debt. All members of the project team understand the critical path and timeline constraints involved in both construction and financing. The LIHTC owner, Carlton Views III LLC, has site control of the land under a Purchase Agreement dated May 30, 2018 and will make application to VHDA for LIHTC funding in the upcoming 2019 funding round. As with the first two successful applications at Carlton Views, City support of the project through a CAHF funding commitment will be instrumental in securing tax credits in support of this project. The developer/owners are currently pursuing a rezoning of the parcels making up each of the four phases at Carlton Views/PACE. This will allow for the additional density needed to complete the build out of Carlton Views III. The rezoning application was initially submitted to the Planning Commission on May 8, 2018 and will be resubmitted for a second reading on July 10. Once through this process, it will be submitted to City Council for approval (after two readings) sometime in August. Starting with the approval of a Special Use Permit in May 2013 and continuing through the current PUD rezoning application, the Carlton Views/PACE development plan has been through an extensive public participation process with multiple community meetings, public hearings and Planning Commission reviews. City Council has reviewed and supported the project with two earlier CAHF grants totaling $960,000 and $1,440,000. City planning and housing staff have been instrumental in the process since its inception. Project Budget Provide a detailed description of the proposed project budget showing sources and amounts of additional funding. As outlined in project Sources and Uses below, pro forma development costs for the acquisition and construction of Carlton Views III are expected to exceed $10.6 million, or about $220,000 per unit. This reflects historically high land costs in the City and rising construction costs, in the face of robust demand, in the local building market. It also incorporates additional costs associated with a very difficult building site from which a significant amount of concrete and unsuitable soils must be removed prior to construction. Pro forma costs are 10% higher than the total per unit costs experienced at Carlton Views I in 2015/2016. Even so, these costs come in over 20% below the Applicable Costs Limits, of $265,000 per unit, established by VHDA for LIHTC projects in Central Virginia. Acquisition costs are $22,500 per unit. Site costs eclipse $1,000,000 and include close to $500,000 in anticipated demolition and removal. Contractor costs for building construction exceed $110 per square foot. Owner and financing costs reflect the complexities of developing a tax credit deal. PROJECT USES Acquisition $ 1,080,000 Hard Costs 6,846,120 Soft Costs 2,678,726 Total Uses $ 10,604,846 PROJECT SOURCES DHCD HOME/NHTF Loan $ 500,000 VHDA SPARC 900,000 VHDA Match 1,440,000 Fountainhead Development 587,345 LIHTC Proceeds 5,737,501 CHTF Grant 1,440,000 Total Sources $ 10,604,846 Project funding sources for Carlton Views III reflect an increasingly tight tax credit market and an extremely competitive environment for available sources of gap financing. Both are increasing the need for CAHF grant funding and making City support even more vital to delivering the project. As in the first two projects, VHDA and DHCD are expected to provide below-market rate permanent financing. A portion of this will be VHDA Match funding, provided at 1.95% interest for 30 years and matching the amount of local CAHF grant sources. Additional VHDA and DHCD funding will be at 3% for 30 years. The DHCD permanent loan will be interest only and can be negotiated to as low as 0.5% (if needed to bolster project debt service coverage). Selection for this funding is extremely competitive with over thirty bi-annual applications for available funding of only eight to ten projects. With the new tax changes, tax credit pricing for projects in Virginia has tightened from about $1.02 per credit to well below 90 cents per credit. Carlton Views III pro forma pricing (85 cents on $675,000 per year in credits) provides anticipated LIHTC equity proceeds of just over $5.7 million, down from the $6.8 million that would have been expected in early 2017. When compared to the financing at Carlton I, this $1 million gap is funded by deferring almost $600,000 in Fountainhead fees and requesting an additional $400,000 in CAHF funding. In this climate of rising costs and waning sources, tax credit projects are becoming increasingly difficult to finance without significant local support. At $1,440,000, CAHF funding equals $30,000 per unit and represents about 13.5% of total sources. The housing fund grant leverages significant state and federal sources and is instrumental in providing the subsidized funding commitment necessary to earn LIHTC equity and secure below-market rate financing for the project. Project Schedule Indicate the proposed project schedule, including pre- development, anticipated pursuit and acquisition timeline, site control, zoning approval, financing and construction miles (as appropriate) to project completion. Upon receiving a tax credit allocation for Carlton Views II in October 2017, Fountainhead Development began exploring the idea of additional LIHTC units on the remaining undeveloped parcel (Parcel D/TM 56-43). City planning was engaged to review zoning and entitlements, with planning staff suggesting a PUD rezoning as the practical mechanism by which additional residential density could be pursued on the site. Site analysis and schematic design were undertaken and a rezoning application was submitted on May 8, 2018. Approval is anticipated in August 2018 after two readings at both Planning Commission and City Council. With a July 2018 tax credit application deadline looming, Fountainhead also began discussions with the City Housing Specialist concerning additional CAHF support for a third residential project at Carlton Views. Changes in the 2018 grant application process from prior years made it unlikely that a City commitment would be approved in time for this year’s tax credit round. Knowing this, the decision was made to pursue tax credits in the upcoming 2019 funding round. In March 2019, the developer will submit an application in the Accessible Supportive Housing pool at VHDA. This is a non-competitive pool in which credits are awarded based on meeting certain commitments including setting aside 25% of the project’s units for persons with disabilities and 25% of the units for persons earning under 40% AMI. Twenty-five percent (25%) of the units must also be built to UFAS requirements for accessibility and 100% of the units must meet VHDA’s requirements for Universal Design. In order to earn funding, a development must also commit to pursuing an EarthCraft Gold certification for energy efficiency and sustainable design. Both Carlton Views I and II have received LIHTC funding from this pool. With a firm financial commitment from the City in place, the developer anticipates approval of its tax credit application in May 2019. Upon approval, Carlton Views III will pursue equity syndication and additional financing for the project from the bankers and investors already committed at Carlton Views I and II. These include Bank of America for equity syndication and construction loan and VHDA and DHCD for permanent financing. Based on its past experience with these same lenders, the developer anticipates financing to be in place in late September 2019. Design, contractor selection and project permitting will run concurrently with financing activities with the goal of breaking ground in October 2019. The construction timeline will closely match the 18 month schedule necessary to complete work at Carlton I, with building completion anticipated in early 2021. Based on recent market studies and strong demand in Charlottesville, lease-up and full occupancy is anticipated in summer 2021. Please see the schedule attached for a complete timeline and milestones. The schedule reflects the developers experience in delivering tax credit projects – it anticipates six months to a year for predevelopment activities and up to two additional years in financing, construction and lease-up. Much of the timing is contingent on a project’s readiness for application in a given years LIHTC funding round. Date (Days) Date A. Environmental Review 11/17/17 B. Site Site Analysis/Schematic Design 10/01/17 180 03/30/18 Real Estate Contract 03/31/18 60 05/30/18 Zoning Approval 05/08/18 90 08/06/18 Site Acquisition 03/31/19 C. Financing 1. Charlottesville HTF Grant 06/08/18 53 07/31/18 2. Tax Credit Approval 03/15/19 77 05/31/19 3. Tax Credit Syndication 05/31/19 122 09/30/19 4. Construction Loan 05/31/19 122 09/30/19 5. Permanent Loan - VHDA 05/31/19 122 09/30/19 6. Other Debt - DHCD HOME/NHTF 03/31/19 122 07/31/19 D. Construction Final Plans/Specifications 01/01/19 180 06/30/19 Construction Documents 06/30/19 46 08/15/19 Building Permits 08/15/19 46 09/30/19 Start of Construction 10/01/19 Site Work 10/01/19 60 11/30/19 Building Construction 11/30/19 425 01/28/21 Certificates of Occupancy 01/28/21 15 02/12/21 E. Lease-up Lease-up - 9 units 02/12/21 16 02/28/21 - 13 units 02/28/21 30 03/30/21 - 13 units 03/30/21 31 04/30/21 - 13 units 04/30/21 31 05/31/21 Project Completion 05/31/21 Experience Provide a summary of similar activities completed by the organization and project team. Over the past 18 years, Fountainhead Development has developed expertise in multi-family properties, medical facilities and supportive housing, with a focus on adaptive reuse, urban infill and new construction of mixed-use projects designed to restore vitality and rebuild community in overlooked neighborhoods. In this period, Fountainhead has invested in excess of $250 million to develop more than 25 projects in Richmond, Petersburg and Charlottesville. Fountainhead, and affiliated companies, currently own and operate over 665 residential units, 150 artist and business studios and approximately 1,300,000 square feet of commercial, office and light industrial space. The company was co-founded in 2001 by Rick Gregory and Tom Papa. In late 2017, the principals of Fountainhead decided to split in order to pursue development projects as principals of their own development firms. The firm’s business interests were divided equitably. Tom Papa remained the principal owner of Fountainhead Development. Rick Gregory, and his son John Gregory, established a new development company known as Lynx Ventures. At dissolution of the original partnership, the ownership of Carlton Views I remained a 50/50 venture between Tom and Rick. Carlton Views II became a development venture owned and managed by Rick and John Gregory, and Carlton Views III became a development venture owned and managed by Tom Papa. In addition, Fountainhead Development and its principal, Tom Papa, remained the sole owner of the Blue Ridge Pace property. Fountainhead has extensive multifamily experience and particular expertise in financing projects with extensive compliance requirements including low-income, historic and new markets tax credit projects. The Virginia Housing Development Authority (VHDA) has financed six of its projects, providing over $40 million in non-recourse, permanent debt. The firm has developed and currently owns over 300 LIHTC units. Its projects have included four (4) developments financed with New Market Tax Credits and eighteen (18) developments financed with Historic Tax Credits. Nearly all of the projects have been subject to stringent regulatory requirements and ongoing compliance during both construction and operation. Fountainhead has extensive experience working with the staff at VHDA and DHCD and a strong knowledge of the tax credit market place and tax credit syndication. The firm has completed multiple large and complex mixed-use projects including:  New Manchester Flats, Richmond Includes 172 apartments, a 20,000 square foot medical facility and 30,000 square feet of commercial/office space. Financed using a combination of 9% LIHTC, NMTC, Federal and State HTC. Over $15 million in VHDA debt and $3 million in NMTC bank debt.  The Locks, Richmond Includes 226 apartments, 4,000 square feet of office space and a $6,000 square foot restaurant. Financed using Federal and State HTC, $24 million in VHDA debt and $10 million in conventional bank debt.  Miller Lofts, Richmond Includes 197 affordable apartments. Financed using 4% LIHTC, tax-exempt bonds and Federal and State HTC. Sourced $15 million in PHA-issued tax-exempt bonds purchased by Bank of America.  Carlton Views I, Charlottesville Includes 54 affordable apartments. Financed using $7 million in 9% LIHTC equity, $2.5 million in VHDA and DHCD permanent debt and $960,000 in City grant funds. Fountainhead will assemble a team, including architect, general contractor and property manager with extensive experience in LIHTC and VHDA development and on-going compliance. City of Charlottesville Affordable Housing Fund (CAHF) Application Applicant Information Amount of CAHF Funds $647,500 Requested: Organization name: Habitat for Humanity of Greater Charlottesville Contact name: Dan Rosensweig Title: President & CEO Address: 919 W. Main St. Charlottesville, VA 22903 Phone: 434-293-9066 drosensweig@cvillehabitat.org Project Information Project name: Equity Housing Initiative Project location: City of Charlottesville, multiple sites Purpose of requested funding Project type (check all that apply): (check all that apply): x New construction x Multi-family x Acquisition x Single family (detached) x Rehabilitation x Single family (attached) x Rent subsidy x Rehabilitation Other x New Construction x Other 1 Income restrictions on project (indicate approximate number of units meeting each Area Median Income (AMI) category: 30 Incomes less than 30% AMI 15 Income between 30% and 40% AMI 10 Incomes between 40% and 50% AMI 3 Incomes between 50% and 60% AMI Income between 60% and 80% AMI Unrestricted units (>80% AMI) 63 Total Units (58 units/5 trainees) Project Proposal: Please provide following information as separate attachments to the application: 1. Project Description -- Provide a description of the proposed project. Include: project type and location, short and long term goals, the population(s) to be served. Discuss plans for accessibility/adaptability, energy conservation and/or any green building components. Habitat for Humanity, a nonprofit corporation, proposes a multi-dimensional and holistic project designed to increase the supply of decent, affordable housing in the City of Charlottesville while reaching deeper to serve lower wealth neighbors, particularly those whose families have experienced generational poverty. With the support of CAHF, this multi-faceted project will allow us to create or rehabilitate 58 units/affordable housing opportunities – with the majority of the benefits going to residents earning below 35% of area median income. Additionally, CAHF support will enable us to further a jobs training program that will allow for the rehabilitation of 20 public housing units while lifting up five long-time residents of CRHA housing into well-paying construction trades positions. This comprehensive Equity Housing Initiative combines both project based and people based initiatives, and incorporates anti-gentrification, self-sufficiency and job training, rental repair and new affordable homeownership construction in mixed income neighborhoods. Our new strategic plan – a product of intensive listening to local, low-income residents – calls for us to provide and/or catalyze ladders of housing opportunities across the housing needs spectrum. Support of the CAHF will be critical for us to play a significant role in helping the City of Charlottesville reach the following: Short-term goals (key deliverables): • Acquire land and construct 16 attractive, energy-efficient affordable homes in two specific existing or developing mixed-income neighborhoods to be sold to purchasers earning between 25% and 60% of AMI, incorporating financial terms and mechanisms to assure long-term affordable home status while building equity; 2 • Renovate two rental properties and convert them to affordable homeownership opportunities for the existing tenants to avoid displacement and gentrification; • Provide increased down payment assistance to five homebuyers at or below 35% AMI to increase affordable homeownership opportunities for lower wealth individuals typically shut out of the housing market; • Rehab and repair 20 offline/uninhabitable public housing units to increase the supply of affordable rentals while providing on-the-job training to public housing residents by expanding our collaborative partnership with the Charlottesville Redevelopment and Housing Authority, the Public Housing Association of Residents, the City and PVCC; and • Reach deeper to help 15 extremely low wealth and/or debt-burdened families who do not qualify for the traditional Habitat homeownership program through Pathways to Housing, our new holistic financial empowerment program focusing on intensive financial education, credit repair, job training, matched savings (for housing) and employment opportunities to enable individuals to achieve greater self-sufficiency and housing choice. Long-term goals: • Increase the number of affordable, owner-occupied homes in the City; • Provide affordable housing opportunities in upper income census tracts; • Preserve the fabric of threatened, primarily low-wealth neighborhoods and protect existing residents from gentrification pressures; • Promote acquisition of household equity for low-wealth homebuyers; • Increase self-sufficiency and reduce generational poverty for long-time City residents; • Increase the number of homes that allow homebuyers to age in place; • Prevent physical, cultural and economic displacement of City residents; • Increase the capacity of long-time Public Housing residents to improve job skills and networks in the high-paying construction trades; • Strengthen the social fabric of Charlottesville by facilitating and supporting economic stability, neighborhood cohesion and leadership development; and • Promote the improved health, safety, educational and employment outcomes for City residents and their children through sustainable, environmentally sound development practices. Population to be Served Projects are designated for families who live in targeted City neighborhoods, residents of public or subsidized housing, elderly individuals and other low/moderate income neighbors. Beneficiaries are primarily City residents and/or employed in the City. All beneficiaries earn 60% or less of area median income; at least 50% of beneficiaries will earn below 35% AMI. Project Components: Lochlyn Hill and Piedmont Avenue – Requested Funding $480,000 Project Type: Single Family Attached New Construction (16) Funding Purpose: Land acquisition for New Construction (15) and Rehab (1) Location: Lochlyn Hill & Jefferson Park Avenue Neighborhoods Housing Goals Addressed: 3, 3.2, 3.3, 8.1, 8.2 & 8.4 Strategic Goals Addressed: 1.3, 1.4, 3.1 & 5.4 3 Lochlyn Hill is a project-based initiative to build and sell six affordable, owner occupied homes in a roughly 200-unit mixed-income community adjacent to Pen Park. Habitat has a Letter of Intent with the developer for these six already entitled lots, and site work is underway. Piedmont Avenue is a project-based initiative to build ten affordable, owner occupied homes on vacant land (and via rehabilitation of one existing home) in the Jefferson Park Neighborhood, adjacent to the University of Virginia. Habitat has these by-right lots under contract with the seller. Contracts for both of these purchases are contingent upon receipt of CAHF funding. Requested funding is $30,000 per home or $480,000 for land acquisition and/or partial site development for the 16 lots in the two neighborhoods. This subsidy represents 20% of the total acquisition and development cost of the two projects ($2.4mm) and is a critical component of a funding plan allowing Habitat to sell homes to low-wealth residents by originating a zero- interest loan indexed to a homebuyer’s ability to pay. The 16 homes in the two neighborhoods will be sold to homebuyers earning between 25% and 60% of area median income, with all mortgages based on the ability to pay. Habitat homebuyers will engage in financial coaching and homebuyer education, provide $1,250 for the down payment, and contribute a minimum of 200 hours of sweat equity toward the construction of Habitat homes (plus an additional 100 hours for each adult who will be living in the home). For an entire year prior to purchase, Habitat homebuyers will meet monthly for Community Conversations, an opportunity to discuss shared values, hopes and concerns – and for children to bond. Existing neighbors in the surrounding Lochlyn Hill and JPA neighborhoods will be invited to join the conversations to learn about Habitat, share insights and welcome new neighbors as part of our asset-based community development process. Post- closing services include three, six and twelve-month check-ups to address any maintenance or other issues for homebuyers needing assistance. Habitat’s unique mortgage structure enables low-wealth homebuyers to purchase at an affordable price with a monthly mortgage payment that does not exceed 23%-28% of household income. Because Habitat homes are heavily subsidized, our equity sharing rules are designed to protect the investment of Habitat and other funders and assure the homes remain part of the City’s affordable housing stock long term (typically 30 years), and are in compliance with City Housing Policy #1 regarding resale of people-based initiatives. The first note is a zero-interest loan based on the homebuyer’s ability to pay, with junior notes which are either deferred (and thus repaid in full if the home sells) or forgivable over time. This latter appreciation sharing mechanism provides an additional incentive for the family to stay in the home. All Habitat homes are subject to a right of first refusal, enabling Habitat to repurchase the home and sell to another qualified Habitat homebuyer should the original homebuyer decide to sell. Together, this lending structure assures that the homes are affordable at purchase, retains affordable mechanisms if sold before the mortgages are paid in full, and, most importantly, enables homebuyers to build equity in their homes. 4 Another element of affordability is the quality design of Habitat houses. All 16 Habitat homes will incorporate Universal Design Standards, with elements such as zero-step entry and a first- floor bedroom with accessible bathrooms. The homes feature energy-efficient and sustainable construction that includes highly energy-saving HVAC systems, windows and doors, energy- star appliances, insulation and water heaters. Programmable thermostats, ceiling fans, and low-flow faucets and showerheads also minimize the environmental impact of these new homes. These features reduce the energy costs for the homeowners, thus enhancing long-term affordability while reducing adverse environmental impacts. Located near downtown Charlottesville and the University of Virginia, both neighborhoods will provide opportunities for homeownership for members of the Charlottesville workforce, be it University or hospital workers, or City government or private employers. Both neighborhoods, situated near Charlottesville’s economic centers, allow homebuyers to access public transportation, nearby shopping, parks and healthcare facilities without expensive and environmentally detrimental commuter costs. Enhanced Down Payment Assistance for Very Low Income Residents – Requested Funding $75,000 Project Type: Single Family Attached, typical (5) Funding Purpose: Down Payment Assistance for families at or below 35% AMI Location: Varied throughout the City Housing Goals Addressed: 3, 3.2, 3.3 & 8.1 Strategic Goals Addressed: 1.3, 1.4 & 5.4 Over the past year, the City has experienced the anger and frustration of citizens who have been living in poverty for generations, and who feel their voices have not been heard as they sought opportunities to participate in the economic growth of our community, particularly the opportunity to build equity while living in safe, decent and affordable homes. Habitat has been listening too. First, in evaluating risk, we looked at our data and discovered that those homebuyers on the lower end of the AMI scale had no higher default rate than other purchasers. This is due to the high motivation of Habitat homebuyers, our newly enhanced financial coaching program that includes economic counseling, home maintenance, community building and leadership development. Because each Habitat mortgage is based on the ability to pay, a family’s payment is pro-rated to income preventing them from being forced into a cost- burdened housing situation. On the back end, we retain the notes so that we can work with families throughout the duration of their mortgage term should they need temporary forbearance, allowing us an opportunity to work together on a plan to get them back on track. Our overall default rate is less than 2%, a quarter of the national average for all homes sold. Importantly, in light of this data and the intense need in the community to provide a pathway to economic and housing security for lower income neighbors, we are changing our selection and underwriting criteria to advantage residents at the lowest end of our AMI scale. Under the current process, “housing need” is measured by tiered type(s) of need presented at the time of application. The criteria are listed by order of importance in the document and prioritization is non-cumulative. In other words, applications that fulfill the highest need criteria are prioritized over applications that may fulfill one criterion or several other lower ranked criteria. 5 With CAHF assistance, under the revised process, we will use a cumulative scoring system that captures housing need more holistically for each household. We will add multiple measures to our applicant selection criteria, including measures to increase preferences for intergenerational poverty, length of residence, and barriers to future homeownership (e.g.. credit problems, extremely low wages and low educational attainment). Included in the criteria will also be mechanisms to elevate homelessness as a factor. This new system will prioritize offering our services and support to local residents needing deeper subsidy due to earning a lower percentage of AMI and experiencing many years living locally in poverty. Although we will continue to offer our core homebuyer services to all residents earning between 25% and 60% of area median income, test data shows that the new, holistic scoring criteria will shift our demographic toward those at the lower end of our scale. Although more subsidy is required, we will be addressing a deep and damaging wealth gap in the City of Charlottesville. This source of CAHF funding will be available to residents at or below 35% of area median income as down payment assistance. This subsidy may be combined with other City subsidies to push affordability down to community members who need it most. Anti-Gentrification Rental Conversions Pilot – Requested Funding $60,000. Project Type: Single Family Detached (2) Funding Purpose: Rehabilitation Location: Fifeville and one more Housing Goals Addressed: 2 & 2.5 Strategic Goals Addressed: 1.3 1.4, 3.1 & 5.4 In order to preserve neighborhood preference and to promote anti-displacement in the creation of affordable homeownership, Habitat will purchase, renovate and resell two single-family rental homes in select neighborhoods to help stabilize threatened City neighborhoods, assuring that affordable homeownership and stability do not give way to absentee landlords and gentrification pressure. The project will not only preserve the financial affordability of the home but will also help preserve the cultural identity of the existing neighborhood. A critical element of this project is the non-displacement of the existing tenants of the property. The tenants of these two homes will participate in Habitat’s homebuyer education program, including financial counseling, credit repair (if needed), and home maintenance education. Sweat equity commitments will be required, but in these two homes, the tenants will contribute their labor to the houses in which they are living, an additional enhancement to their home maintenance skills. Upon completion of the Habitat program, the tenants will be able to purchase the house. The renovations and repairs will stabilize and improve the physical condition of the home, transfer equity gains to low-wealth residents, and include energy-saving improvements such as the installation of a new roof, energy efficient HVAC systems, energy star appliances, additional insulation, low-flow faucets and showerheads, sealing and caulking of windows and doors, gutter repairs, and leak cessation measures. To the extent possible, the rehabilitations will be retrofitted to Universal Design Standards. Habitat has already identified a current, long-time renter and a willing landlord/seller for one of these pilot initiatives. With support from the CAHF, Habitat will be able to purchase, rehab and sell 6 this home to the current renter as well as advertise for a second pilot initiative. We hope to learn from these two pilot initiatives in order to help us scale up to larger neighborhood-wide initiatives. Pathways to Housing – Requested Funding $22,500 Project Type: Other (15) Funding Purpose: Homeownership Counseling, Rent Subsidy or Down Payment Assistance Location: Varied Housing Goals Addressed: 3.3, 3.6, 8.1, 8.2 & 8.4 Strategic Goals Addressed: 1.3, 1.4, 2.3 & 5.4 Pathways is a new, holistic, and individualized approach toward empowering extremely low- wealth families to achieve stability and self-sufficiency through four main avenues: financial empowerment, increased earnings, matched savings and affordable housing. Habitat has designed the Pathways program following extensive, one-on-one interviews with individuals who applied for, but were denied, entry into the Habitat program due to income or debt. A profound learning from the conversations was the deep sense of hopelessness of so many individuals who have experienced the economic, educational, racial and social barriers undergirding generational poverty in the City. Habitat takes a strengths/asset-based approach with all of our families and we define success based on personally defined goals and aspirations. All of Habitat’s services via the Pathways program are designed to meet the personal goals and individual needs of our families. As part of our Family Services and Community Partnerships Program, Pathways will initially serve 15 local families seeking to break the cycle of poverty and who struggle with debt, credit issues and low wages—but who demonstrate the drive and potential to become self-sufficient. CAHF funds will be used for matched savings program, which will ensure that every dollar saved by participants will earn them an additional matched dollar up to $1,500. Savings can be used toward a down payment, a security deposit and/or first month’s rent. Families will receive bi-weekly, individualized coaching sessions with a state-certified housing counselor to help them achieve their self-defined financial goals. Goals may include paying down debt, increasing savings, improving credit scores, budgeting, accessing safe/affordable mainstream banking products and developing healthy financial attitudes and behaviors. To increase earnings, participants will be connected with training resources, education programs, individualized job coaching, living wage work opportunities and other supports (such as childcare, transportation, health and mental health services) through our partnership with Piedmont Virginia Community College and the Charlottesville Works Initiative, a local wrap- around self-sufficiency and workforce development program. Graduates of the Pathways program whose goal is homeownership will be automatically enrolled in Habitat’s homeownership program. For those seeking rentals or other housing options, Habitat staff will connect families to the housing solution that fits their personal needs and goals. 7 Public Housing Rehab/Section III Skills and Job Placement Program – Requested Funding $15,000 Project Type: Multi-family (20 units + 5 trainees) Funding Purpose: Rehabilitation; Job Training and Placement Location: CRHA Owned Properties Housing Goals Addressed: 2, 2.5, 8.2 & 8.4 Strategic Goals Addressed: 1.3, 1.4 & 5.4 Habitat has proudly been participating in a partnership with the City of Charlottesville, the Charlottesville Redevelopment and Housing Authority, the Public Housing Association of Residents, and the Charlottesville Works Initiative of the Piedmont Virginia Community College. As part of this collaboration, long-time residents of public housing are working with CRHA staff, Habitat staff and skilled volunteers to rehabilitate 20 uninhabitable public housing units and build Habitat homes. Participants are learning the rehab and new construction trades, taking classes and being mentored in soft skills, and working with Habitat personnel to find job placement in high paying specialized construction trades. The group has already rehabbed six units and is planning to complete 20 by the end of the year while also supporting the construction of 21 new affordable homes. As part of the partnership, Habitat has provided a full time supervisor/construction teacher and is overseeing the most significant rehabs. Because of the intensity of training required to insure success and sustainability of this holistic, capacity-building program, Habitat would like to hire another on-site supervisor and pay for technical writing assistance to develop formal training modules. We will develop written manuals so that the program can become replicable and scalable. The manuals enabled by this CAHF grant will also be provided to employers in the contracting world to stimulate additional Section III activity and to serve as a “transcript” of skills acquired to facilitate successful job placement for the current and future participants in the program. 2. Demonstration of Need -- Describe how the project contributes to the City of Charlottesville's housing goals. The Charlottesville region is home to an expensive and competitive housing market, with skyrocketing land and housing prices. Low-wealth families are largely shut out of the conventional homeownership market—a recent study found that a family needs to make more than 120% of area median income in order to afford an average priced home. Charlottesville has one of the lowest percentages of homeownership in the Commonwealth. There exists a deep sense of hopelessness and anger among many long-time citizens who have experienced the economic, educational, racial and social barriers that have burdened many Charlottesville families for generations. Habitat recognizes that our traditional model of homebuilding alone – while perhaps the most historically successful anti-poverty housing initiative on a per family basis – does not do enough to address the systemic problems in our community that have exacerbated the housing 8 crisis. Our new strategic plan – the product of intensive listening to community members, business leaders, collaborative partners, government officials and, most importantly, local, low-income residents – calls for us to provide and/or catalyze ladders of housing opportunities across the housing needs spectrum. Therefore, the Equity Housing Initiative is a holistic approach to address quantitative issues (e.g. adding 58 new housing units/solutions to the local inventory) as well as qualitative issues (e.g. too many people are caught in a cycle of debt, bad credit and insufficient education or vocational training to ever qualify for existing housing alternatives). The Lochlyn Hill and Piedmont Avenue projects will add 16 new, energy efficient affordable homes to two mixed-income neighborhoods in close proximity to public transportation and jobs. The projects will incorporate appreciative, asset-based processes to engage new homeowners and existing neighbors to promote a cohesive community. Affordable Housing Goals 3: Grow the City’s housing stock for residents of all income levels 3.2: Incorporate affordable units throughout the City 3.3: Achieve a mixture of incomes and uses in as many areas of the City as possible 8.1: Encourage mixed-use and mixed-income housing developments 8.2: Link housing options and employment opportunities in land use decisions 8.4: Promote environmentally sustainable patterns of development as well as economic development and job creation in relatively underinvested, financially depressed areas Strategic Plan Goals 1.3: Increase affordable housing options 1.4: Enhance financial health of residents 3.1: Engage in robust and context sensitive urban planning and implementation 5.4: Foster effective community engagement Enhanced Down Payment Assistance for Very Low Income Residents will increase homeownership opportunities for families at or below 35% of AMI, giving them housing choices throughout the City. Affordable Housing Goals 3: Grow the City’s housing stock for residents of all income levels 3.2: Incorporate affordable units throughout the City 3.3: Achieve a mixture of incomes and uses in as many areas of the City as possible 8.1: Encourage mixed-use and mixed-income housing developments Strategic Plan Goals 1.3: Increase affordable housing options 1.4: Enhance financial health of residents 5.4: Foster effective community engagement 9 Anti-Gentrification Conversions Pilot will rehabilitate and repair two existing homes, converting them from rental units to owner occupied homes without displacing the existing tenants. Tenants will undergo Habitat’s homebuyer education (financial, home maintenance, leadership development) as well as complete sweat equity and down payment savings requirements. Affordable Housing Goals 2: Maintain and improve the City’s existing housing stock for residents of all income levels 2.5: Preserve and improve the quality and quantity of the existing housing stock through the renovation, rehabilitation and/or expansion of existing units as a means of enhancing neighborhood stability Strategic Plan Goals 1.3: Increase affordable housing options 1.4: Enhance financial health of residents 3.1: Engage in robust and context sensitive urban planning and implementation 5.4: Foster effective community engagement Pathways to Housing will empower extremely low-wealth families to achieve stability and self-sufficiency through four main avenues: financial empowerment, increased earnings, matched savings and affordable housing. Habitat will partner with up to 15 aspiring homebuyers who do not earn enough income to participate in our traditional homebuyer program, facilitating opportunities for improved housing choices. Affordable Housing Goals 3.3: Achieve a mixture of incomes and uses in as many areas of the City as possible 3.6 Promote housing options to accommodate both renters and owners at all price points, including workforce housing 8.1: Encourage mixed-use and mixed-income housing developments 8.2: Link housing options and employment opportunities in land use decisions 8.4: Promote environmentally sustainable patterns of development as well as economic development and job creation in relatively underinvested, financially depressed areas Strategic Plan Goals 1.3: Increase affordable housing options 1.4: Enhance financial health of residents 2.3: Improve community health and safety outcomes by connecting residents with effective resources 5.4: Foster effective community engagement 10 Public Housing Rehab/Section III Skills and Job Placement Program will rehabilitate uninhabitable CRHA units thereby increasing availability of public housing. The program incorporates job training (in new construction and rehab) for five public housing residents, enhancing their construction and workplace skills and increasing their earning capacity. CAHF funding will allow the program to grow from a pilot to one that is replicable and sustainable. Affordable Housing Goals 2: Maintain and improve the City’s existing housing stock for residents of all income levels 2.5: Preserve and improve the quality and quantity of the existing housing stock through the renovation, rehabilitation and/or expansion of existing units as a means of enhancing neighborhood stability 8.2: Link housing options and employment opportunities in land use decisions 8.4: Promote environmentally sustainable patterns of development as well as economic development and job creation in relatively underinvested, financially depressed areas Strategic Plan Goals 1.3: Increase affordable housing options 1.4: Enhance financial health of residents 5.4: Foster effective community engagement 3. Project Readiness -- Provide evidence of: organizational experience and capacity to manage the project, pursue and acquire land, site control, required zoning variance and permitting (if applicable), financial commitments for the projects, community engagement plan (if applicable), resident relocation plan (if applicable), plans for preparation and coordination of necessary public meetings. Charlottesville Habitat, eligible under the terms of the City of Charlottesville Notice of Funding Availability, is a nonprofit corporation governed by a 14-member Board of Directors and assisted by an Advisory Council. Together with the Chief Executive Officer, the Board sets the strategic vision and provides fiduciary oversight. Our annual goals are consistently tied to key City documents such as the Comprehensive Plan Housing Section and the City Council Vision. Our core staff of nearly 50 is experienced and knowledgeable and is led by a strong leadership team with many years of experience in affordable housing, land planning and development, finance and accounting, law, nonprofit management, and fundraising. We work with a network of more than 2,000 volunteers each year, who are committed to working on the construction site, at the Habitat Store, in our offices, and in various other roles that increase the capacity of our organization to serve our community. Charlottesville Habitat is a sustainable organization. Partner family mortgages allow us to advance our next innovative building projects, when combined with assistance from state and federal grants such as CDBG, HOME, and SHOP, as well as donations, private foundation support, and local government allocations. Some supplies and materials are donated or discounted, further reducing the cost of the home to Habitat purchasers. Our Habitat Store, 11 generously supported by the community, provides over $450,000 in annual net revenue to support our projects. We have a strong record of accomplishment in successfully completing projects and meeting goals. For example, with CAHF support, we completed Sunrise, the first trailer park transformation in the nation without resident displacement and have been advancing the goals of Project 20, our promise to the community that we will build and sell a minimum of 20 homes affordably per year. Last year’s CAHF allocation for land acquisition has already been reserved for 16 pending lot purchases in the City. Habitat uses an active listening and asset-based approach to neighborhood development. Our staff is trained in appreciative inquiry, working with Habitat applicants to articulate their hopes and dreams and develop individual plans of action to achieve success. Our neighborhood engagement often begins before we break ground: Habitat homebuyers meet monthly for Community Conversations, an opportunity to discuss shared values, hopes and concerns, for an entire year prior to purchase. Children participate as well, giving them the opportunity to forge new friendships. Existing neighbors in the surrounding neighborhoods are invited to join the conversations to learn about Habitat, share insights and welcome new neighbors as part of our asset-based community development process. Social activities, such as neighborhood picnics, are often held on the jobsites to further the cohesion of the new neighborhood. 12 4. Project Budget -- Provide a detailed description of the proposed project budget showing sources and amounts of additional funding. Piedmont Avenue 10 homes @ $154,500 per home Revenues CAHF $300,000 SHOP $150,000 Private Fundraising $695,000 Partner Family First Mortgages (Factoring in $400,000 VHDA loans) Total $1,545,000 Expenses Acquisition $425,000 Site Work $150,000 Renovation of existing home $40,000 New Home Construction (9) $900,000 Permitting $30,000 Total $1,545,000 Lochlyn Hill 6 Homes @ $162,500 per home Revenues SHOP $ 90,000 CAHF $180,000 Private Fundraising/Other $465,000 Partner Family First Mortgages (Factoring in $240,000 VHDA loans) Total $975,000 Expenses Acquisition $300,000 New Home Construction (6) $660,000 Permitting $15,000 Total Expenses $975,000 Enhanced Down Payment Assistance 5 Families @ $25,000 per family Revenues CAHF $75,000 Private Fundraising/other $50,000 Total $125,000 Expenses Down Payment Assistance $125,000 Total $125,000 13 Anti-Gentrification Rental Conversions 2 Homes @ $180,000 per home Revenues CAHF $60,000 SHOP $30,000 Private Fundraising $250,000 Partner Family First Mortgages (Factoring in $80,000 VHDA loans) Total $360,000 Expenses Acquisition $300,000 Renovation & Repair (e.g. roof, appliances, $60,000 insulation, HVAC, etc.) Total $360,000 Pathways to Housing 15 Individuals @ $6,167 each ($1,500 each match down payment/rent deposit assistance) Revenues CAHF $22,500 Private Fundraising $70,000 Total $92,500 Expenses Personnel (1.5 FTE Salary & Benefits) $70,000 Down Payment/Rent Deposit Assistance $22,500 Match Total $92,500 Public Housing Rehab/Section III Skills and Job Placement Program 20 Units @ $14,7500 each Revenues CAHF $15,000 Charlottesville City Council appropriation $50,000 CRHA/HUD Contribution (est.) $200,000 CRHA to Habitat $30,000 Total $295,000 Expense Personnel (2 FTE Salary & Benefits) $81,000 CRHA/HUD hard costs and overhead (est.) $200,000 Training Module/Manual Development $6,000 Construction Asst. Tools & Equipment $8,000 Total $295,000 14 TOTAL PROJECT COST: $3,392,500 (excludes non-direct Habitat overheads) TOTAL CAHF REQUEST: $652,500 LEVERAGE OF CITY INVESTMENT Total Direct Economic Impact Leverage Factor (excluding secondary dollar multiplier) $3,392,500 5.2x CAHF investment vs. total project cost Total Estimated Market Value of Leverage Factor HFHGC Homeowner Homes (earned equity for Partner Family homebuyers) 18 units at $260,000 (est.) = $4.7mm 8.5x Total wealth created for low-wealth families from CAHF investment New Taxes Generated by 18 Estimated Revenue Habitat Homes Sold New Tax Revenue during mortgage $1,290,000 Total 30 year tax revenue for 18 units terms in today’s dollars; assumes current tax rate at 0% inflation Total Tax Revenue $2,045,743 Total 30 year tax revenue for 18 units trended at 3% Habitat has a history of successfully leveraging CAHF funding with outside sources such a private and corporate philanthropy, and federal and state grants. CAHF funding demonstrates local support for our state and federal housing grants, and provides critical gap funding. 5. Project Schedule -- Indicate the proposed project schedule, including pre- development, anticipated pursuit and acquisition timeline, site control, zoning approval, financing and construction miles (as appropriate) to project completion. The Lochlyn Hill and Piedmont Avenue Projects (anticipated) June 2018: Execute LOIs contingent upon receiving CAHF funding August 2018: Close on purchases December 2018: Begin home construction at Lochlyn Hill April 2019: Begin site development at Piedmont July 2019: Begin home construction at Piedmont August 2019: Complete home construction at Lochlyn Hill; CO and sell homes March 2020: Complete home construction at Piedmont; CO and sell homes Enhanced Down Payment Assistance for Very Low Income Residents April 2018: New selection criteria/origination standards approved by board 15 June 2018: CAHF application July, December 2018: Applicants selected, financial coaching and sweat equity begins 2018-19: Homes close Anti-Gentrification Conversions Pilot June 2018: Tenant in identified home completes Habitat application July 2018: Tenant selected for special partnership with Habitat, contingent on CAHF funding August 2018: Close on home purchase; begin rehab & tenant sweat equity October 2018: First home complete and sold to tenant Pathways to Housing April 2018: First four families selected into pilot program. One-on-one sessions, goal setting begins July 2018: New families selected into program, contingent on CAHF funding 2018-19: Families complete individualized plans; matched savings for new housing alternatives released (Habitat down payment or other) Public Housing Rehab/Section III Skills and Job Placement Program April 2018: First five construction assistants selected and hired; rehab on first six CRHA units begins; construction assistants begin PVCC training May 2018: Construction assistants begin intensive Habitat training; rehab on most severely impaired CRHA units begins June –July 2018: Construction assistants trained on new construction techniques and soft skills; training manuals developed August 2018: Construction assistants begin new home construction at Harmony Ridge April 2019: CRHA units complete/new units for rehab identified, apprenticeship ends, job referrals made; new construction assistants selected if funding continues. 6. Experience -- Provide a summary of similar activities completed by the organization and project team. Habitat for Humanity of Greater Charlottesville is a leader in affordable housing on a national level. Founded in 1991, our affiliate is the flagship affordable homeownership program in Central Virginia and has enabled more than 200 families to achieve their dreams of homeownership. Through innovative programs and models, we have also preserved affordable rental units for more than 1,500 neighbors in Southwood Mobile Home Park and redeveloped Sunrise, the country’s first trailer park conversion into a mixed income neighborhood without resident displacement. Since our founding, we have developed six mixed-income neighborhoods, transforming pockets of poverty into diverse and sustainable communities. For instance, Burnet Commons was a unique partnership between Habitat, the City and a private developer that converted an old city dumping 16 ground into a community of townhomes and single-family detached homes. Our scattered site builds have added affordable homes in varied census tracts throughout the City (e.g. Charlton Ave., Martin St., Cleveland Ave.), and eight new homes are set for construction at Nassau Street, Coleman Street, and Cleveland Avenue Extended. Currently Habitat has several active new home construction projects underway in the City: Lochlyn Hill, a mixed-income neighborhood where we are building eight affordable homes, and Harmony Ridge, a mixed-income neighborhood of 10 Habitat and 4 market rate homes. We are renovating two existing homes for resale as affordable units on 10th Street and in the Belmont neighborhood. Our partnership with Charlottesville Redevelopment and Housing Authority (CRHA), Charlottesville Public Housing Association of Residents (PHAR), and the Charlottesville Works Initiative of the Piedmont Virginia Community College is underway, bringing 20 uninhabitable public housing units back into the affordable housing market, substantially increasing the number of extremely low-wealth families who will have access to affordable housing. Authorization: Organization Name: Habitat for Humanity of Greater Charlottesville Project Title: Equity Housing Initiative I, Dan Rosensweig certify that I am authorized to (Authorized Organization Official) apply for funding from the City of Charlottesville. I certify that all information contained herein is accurate to the best of my knowledge. 6/8/18 Signature Date Dan Rosensweig President & CEO, Greater Charlottesville Habitat for Humanity Print Name Title 17 City of Charlottesville Affordable Housing Fund (CAHF) Application Applicant Information Amount of CAHF Funds $500,000 Requested: Organization name: Thomas Jefferson Community Land Trust Contact name: Anne Gardner Title: Treasurer Address: PO Box 1606 Charlottesville, VA 22902-1606 Phone: 434-249-9596 Email: anne@caar.com Project Information Project name: TJCLT Nassau Street II Project location: Nassau St, Charlottesville, VA 22902 Purpose of requested funding Project type (check all that apply): (check all that apply): X New construction Multi-family X Acquisition Single family (detached) Rehabilitation X Single family (attached) Rent subsidy Rehabilitation Other X New Construction Other Income restrictions on project (indicate approximate number of units meeting each Area Median Income (AMI) category: *TJCLT mandates that the income of upto 80% AMI, homeowners may qualify at a lower income, but no more than 80% Incomes less than 30% AMI Income between 30% and 40% AMI Incomes between 40% and 50% AMI Incomes between 50% and 60% AMI 4 Income between 60% and 80% AMI Unrestricted units (>80% AMI) 4 Total Units Project Proposal: Please provide following information as separate attachments to the application: 1. Project Description -- Provide a description of the proposed project. Include: project type and location, short and long term goals, the population(s) to be served. Discuss plans for accessibility/adaptability, energy conservation and/or any green building components. The work of the Thomas Jefferson Community Land Trust is to leverage partnerships and resources to create a permanent stock of affordable housing for multiple generations through the land trust model of ownership. The high price of land in the area has been a barrier to building a truly inclusive and diverse community, which is a hallmark of stable and thriving cities. The CLT was started in 2008 to acquire land through donation or purchase to remove land from a speculative market, place long-term control of land in the hands of the local community, allowing the community to control use, disposition and affordability of buildings located on TJCLT-owned land. Through land acquisition and leveraging local partnerships, TJCLT is successfully introducing new homes to the city with maintenance free, high efficiency and sustainable elements which are a new standard in affordable home construction projects for the area. The maintenance cost of each home constructed will even decrease over the life of the home and further expand the resources of those owners due to the introduction of solar energy panels and best in class energy efficient construction standards and materials. This project is the continuation of the project currently underway on Nassau Street and will result in four newly constructed attached townhomes which are reserved for residents earning 80% of the area median income (AMI). The long-term benefit of the partnership allows for the land trust to continue to secure land to be added to the Trust portfolio, which guarantees land is preserved in perpetuity for affordable housing in our community. 2. Demonstration of Need -- Describe how the project contributes to the City of Charlottesville's housing goals. The addition of land to be held in trust is an incredible opportunity for a community. Land Trusts have the potential to balance the interests of all parties by protecting the public’s investment in affordable housing, expanding and preserving access to homeownership for households excluded from the market and stabilizing neighborhoods buffeted by cycles of disinvestment or reinvestment. This model also ensures accountability to funders, taxpayers, and the communities served by the CLT. The dual ownership model with a long-term, low-cost land lease ensures permanent affordability remains in the community, the funds are preserved in perpetuity, and not lost to the equity formula present in other affordable housing creation models. The shared equity of the CLT objective preserves the homeowners right to improve their net worth and stabilizes the community with long-term residence and provides funds for the CLT to secure additional land for preservation. The tripartite nature of our governance involves community members, CLT home owners and local government. This ensures our cooperative role to share in the responsibility to be stewards of the land and partners with homeowners, thereby strengthening our community. 3. Project Readiness -- Provide evidence of: organizational experience and capacity to manage the project, pursue and acquire land, site control, required zoning variance and permitting (if applicable), financial commitments for the projects, community engagement plan (if applicable), resident relocation plan (if applicable), plans for preparation and coordination of necessary public meetings. Through effective board development and partnerships of the TJCLT, the organization is positioned for the successful replication of our recent project on Nassau Street and we have ability to increase our capacity tenfold. Earlier this year, the Land Trust welcomed our first Executive Director and expanded our Board of Directors. The Land Trust secured long-term partnerships with a premiere local builder, a dedicated local lending relationship with experience and capacity to work with the Land Trust model and has an experienced construction and transaction support team with Piedmont Housing Alliance at the front of the application process and developers with more than 40+ of combined experience in site selection, design and project management. The outreach plan for our projects are coordinated with PHA, local housing agencies and professionals working to meet affordable housing needs in the community. 4. Project Budget -- Provide a detailed description of the proposed project budget showing sources and amounts of additional funding. Attached 5. Project Schedule -- Indicate the proposed project schedule, including pre- development, anticipated pursuit and acquisition timeline, site control, zoning approval, financing and construction miles (as appropriate) to project completion. Attached 6. Experience -- Provide a summary of similar activities completed by the organization and project team. Current project underway on Nassau Street, lots 5-8 with anticipated delivery of December 2018. The land trust also has a catalog of eight properties in of catalog through the existing home model and Habitat model. Authorization: Organization Name: Thomas Jefferson Community Land Trust Project Title: TJCLT Nassau Street II I, Anne Gardner certify that I am authorized to (Authorized Organization Official) apply for funding from the City of Charlottesville. I certify that all information contained herein is accurate to the best of my knowledge. 6/6/2018 Signature Date Anne Gardner Treasurer Print Name Title Nassau St. Pro-Forma Budget Line Description Notes / other Projected P & L "work sheet" 6/1/2018 1 Loan Amount (LOC) $744,000.00 2 Est. COC $680,000.00 170K x 4 3 Projected cost overrun within the COC $0.00 $57,000.00 4 Other $0.00 5 Loan costs and or closing costs 6 .25% Loan origination fee $1,860.00 0.25% 7 Appraisal $750.00 8 Flood cert. $100.00 9 Bank appraisal review $900.00 10 Recording fees & Taxes $2,500.00 11 Title insurance $1,500.00 12 Title search $250.00 13 Draw fees $1,000.00 10 x 100 per 14 UCC file $40.00 15 RCM Attorney Fess $2,500.00 16 Bank Counsel $4,000.00 Per Fulton 17 Other $0.00 18 Other $0.00 19 Soft costs $7,000 per unit - this amount along with the closing costs above will be 20 Interest reserve account $28,000.00 funded from the total loan amount at closing. If there is balance remaining this amount will go to directly to line #37 21 Other $0.00 22 Other $0.00 23 Total COC + Close costs + Soft Costs $723,400.00 Sale, sales costs and other closing costs. $199,900.00 4 24 Sales price $799,600.00 25 COC+Close cost+interest res (Line 23) $723,400.00 26 Other $0.00 27 Sale closing costs 28 Selling Fees $23,988.00 29 3% to TJCLT of 199,900 x 4 = $23,988.00 30 Est Closing Costs $8,000.00 31 Seller Concession $23,988.00 32 Total COC, all close & all soft costs (Line 25:31) $803,364.00 33 Net Difference (Line 32-24=) -$3,764.00 Projected net to the TJCLT after all COC+Close and 34 soft costs. 35 3% to TJCLT of 199,900 x 4 = (Line29) $23,988.00 37 Funds available for future Land Acquisition for TJCLT $20,224.00 Nassau Pro-Forma Project flow chart PRE CONSTRUCTION (HORIZONTAL) MEETING DATE TBD HORIZONTAL CONSTRUCTION BOND IF REQUIRED COORDINATION MEETING OF ALL PARTNERS SITE WORK FOR LOT PREP SAT SUN MON TUE WED THU FRI SAT SUN MON TUE WED THU FRI SAT SUN MON TUE WED THU FRI SAT SUN MON TUE WED THU FRI SAT SUN 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 Sep 2018 ENTER START DATE: 9/1/2018 ACTIVITY below is not in any particualr order but the START END NOTES BAR graph is in order. Pre Construction (Horizontal) meeting date TBD 9/1/2018 9/6/2018 Horizontal Construction Bond if required 9/6/2018 9/15/2018 If required Coordination meeting of all partners 9/15/2018 9/25/2018 Pre Construction Site work for lot prep 9/15/2018 9/20/2018 Site work pad ready 9/20/2018 10/20/2018 pad ready for vertical construction 10% DP Funded to Builder 10/15/2018 10/18/2018 Close Construction loan and fund Builder Time line for FEMA to remove all lots from the flood map FEMA final approval if needed 9/15/2018 11/15/2018 and receipt of the certificate stating same. Time line to submit the docs to the flood insurance agency Canceling of the Flood insurance 9/15/2018 10/15/2018 and the receipt of the prorated balance of the 13K Builder start to CO 10/20/2018 3/1/2019 Est of the build time line for all 4 units. Begin Accepting Applicant Homeowners 9/25/2018 10/1/2018 ACTIVITY below is not in any particualr order but the START END NOTES BAR graph is in order. Page 2 of 2 CHARLOTTESVILLE AFFORDABLE HOUSING FUND APPLICATION FOR FUNDING June 8, 2018 City of Charlottesville Affordable Housing Fund (CAHF) Application Applicant Information Amount of CAHF Funds Requested: $1,200,000 Organization name: Promise Land Communications Contact name: Jeff Lenert Title: Promise Land Communications {501 (c)(3) in conjunction with Lichen Properties, LLC Address: Po Box 1483, Charlottesville, VA 22902 Phone: (434) 806-0725 Email: jefflenert@hotmail.com Project Information Project name: 808 Cherry Avenue Building Project location: 808 Cherry Avenue Purpose of requested funding (check all that � Multi-family apply): Single family (detached) Single family (attached) Rehabilitation � New Construction Other Project type (check all that apply): � New construction Acquisition Rehabilitation Rent subsidy Other Income restrictions on project (indicate approximate number of units meeting each Area Median Income (AMI) category: 6 Incomes less than 30% AMI - Income between 30% and 40% AMI 12 Incomes between 40% and 50% AMI 6 Incomes between 50% and 60% AMI - Income between 60% and 80% AMI - Unrestricted units (>80% AMI) 24 Total Units 1 CHARLOTTESVILLE AFFORDABLE HOUSING FUND APPLICATION FOR FUNDING June 8, 2018 1. PROJECT DESCRIPTION PROJECT SUMMARY “Several years ago, the city adopted a policy objective to have 15 percent of the housing market supported by some kind of public subsidy, but private development has outpaced the development of new publicly supported housing. The ratio has remained at around 10 percent since the goal for 2025 was adopted in 2010.” 1 “Some people believe that rental assistance is a handout — that this is an expensive program that is costing the taxpayers’ money that could be better spent elsewhere. Studies show that it is actually cheaper to pay the rent for a homeless person than not to. Why? Because homeless people are far more likely to be arrested or go to the emergency room, for example, or utilize expensive community services. These services are a lot more costly than $900 per month for rent.” 2 “The need for housing and social services are both overwhelming and at an all-time high. However, within Charlottesville, as well as the surrounding area, the supply of low-barrier, low- income housing is woefully short compared to the demand. This is the critical component that continues to lag behind, and it creates an unfortunate bottleneck, regardless of the amount of services and rental assistance that is made available. If we truly wish to have an impact on homelessness, it is this vital piece that must be expanded, and, now more than ever, we as a community need to think creatively in solving this complex issue.” 3 Paul Kent, Program Manager for Housing, Region Ten Community Services Board The 808 Cherry Avenue Building proposes a paradigm shift in how the City builds affordable housing. We propose a solution that can become the easily replicated template for turning around the receding 2025 affordable housing goal. MISSION To provide the City and Charlottesville community with a total of 24 single-occupancy studio suites, within 6 previously approved 4 bedroom dwelling units within the Cherry Avenue Corridor zoning district. Our development team comes from a variety of backgrounds, but we have all agreed this needs to happen in order to move our beloved city closer to its 2025 goal. There are currently approximately 100 homeless individuals in Charlottesville. Providing 24 1 Suarez, Chris. “Despite New Habitat Development, Affordable Housing in Area Still Scarce.” The Daily Progress, 26 Nov. 2017, www.dailyprogress.com/news/local/despite-new-habitat-development-affordable-housing-in-area-still- scarce/article_5c0accdc-d23e-11e7-9b16-47acceb8529b.html. 2 Kent, Paul. “Vital Signs: 'Housing First' Model Creates Secure Home Base for Rebuilding Lives.” The Daily Progress, 3 Sept. 2017, www.dailyprogress.com/lifestyles/vital-signs-housing-first-model-creates-secure-home-base-for/article_d59a47b4-8e71- 11e7-9bf3-bb60be0c97f6.html. 3 Kent, Paul. “Vital Signs: 'Housing First' Model Creates Secure Home Base for Rebuilding Lives.” The Daily Progress, 3 Sept. 2017, www.dailyprogress.com/lifestyles/vital-signs-housing-first-model-creates-secure-home-base-for/article_d59a47b4-8e71- 11e7-9bf3-bb60be0c97f6.html. 2 CHARLOTTESVILLE AFFORDABLE HOUSING FUND APPLICATION FOR FUNDING June 8, 2018 single occupancy studio suites on Cherry Avenue is a step in the right direction that we can all take, if the City accepts our proposal and lets us do what it is we do professionally. PROJECT & PROGRAM By resolution approved September 7, 2007, the Charlottesville City Council approved a loan of $850,000 to Piedmont Housing Alliance (PHA) to assist Woodard Properties LLC in the purchase of fifty-seven (57) residential rental units, commonly known as Dogwood Housing. The terms of the loan were zero interest for five years, with the original principal amount of the note due and payable if any of the units were sold, transferred, devised or otherwise disposed of during the five year period (based on a formula tied to the assessed value of each property) or by October 31, 2012. On August 20, 2012, City Council approved extension of the loan, through October 31, 2017. On October 2, 2017, another extension, through October 31, 2022 was approved by City Council. The terms of the loan remained the same, and the note continued to be secured by a recorded second lien Deed of Trust executed between Dogwood Properties of Charlottesville, LLC and PHA. Jeff Lenert, on behalf of Promise Land Communications and Lichen Properties, LLC, is requesting the City provide a similar loan with the following terms: • $1.2 million principal • 2% interest • 30 year loan period Lichen Properties intends to build twenty-four (24) single-occupancy studio suites at 808 Cherry Ave and offer the single-occupancy studio suites as affordable housing. We will offer the following mix of eligibility cut-offs preferred by the Development team after in-depth consultation with community leaders who work at the Haven, Region Ten, and PACEM. 100% of single-occupancy studio suites at 60% AMI or below, 75% of single-occupancy studio suites at 50% AMI or below, and at least 25% of single-occupancy studio suites at 30% AMI or below. “This mix touches into all the different categories of groups suffering from the housing crisis.” – housing assistance grant administrator at The Haven. As its definition of affordable housing evolved during the loan and extension process, Dogwood Properties was ultimately asked to comply with the following requirements: 1. Lease units to households earning no more than 80% of Area Median Income (AMI) 2. Tenants will pay no more than 30% of their household income under initial lease terms 3. Rents shall increase by no more than 5% per annum 4. Household incomes of all new tenants shall be verified to ensure they meet income qualifications for housing and that the appropriate rent limit is used a. Household incomes shall be recertified annually for tenants receiving rental assistance b. Household incomes shall be recertified at least once every 24 months for tenants not receiving rent assistance 3 CHARLOTTESVILLE AFFORDABLE HOUSING FUND APPLICATION FOR FUNDING June 8, 2018 5. Households going over income limits will be allowed a two-year grace period 6. City may annually inspect rental units not otherwise inspected under the Housing Choice Voucher program or other rental assistance programs 7. City will be provided with a report every December 31 containing the following information for each unit: • Unit Address • Current Rent • Occupant Household Size • Occupant Household Income • Change of occupancy with date of change (if applicable) • Rent at end of previous occupancy (if applicable) • Rent at beginning of new occupancy (if applicable) • Household size of new occupant (if applicable) • Household income of new occupant (if applicable) • Percent of Current Household Income to Rent Amount • Amount of rental assistance received (if applicable) 4 Lichen Properties proposes to abide by the above requirements as asked of Dogwood Properties. The above listed requirements were already accepted for the Dogwood Properties deal only just recently, in October of 2017. See the Map in Addendum for clarification on our project plan. See the Comparison Chart in Addendum for comparison with our project and Dogwood and Carlton House. DEMAND – “The need for housing and social services are both overwhelming and at an all-time high. However, within Charlottesville, as well as the surrounding area, the supply of low-barrier, low- income housing is woefully short compared to the demand. This is the critical component that continues to lag behind, and it creates an unfortunate bottleneck, regardless of the amount of services and rental assistance that is made available. If we truly wish to have an impact on homelessness, it is this vital piece that must be expanded, and, now more than ever, we as a community need to think creatively in solving this complex issue.” 5 Existing studio suites within the owners’ portfolio rent between $850 at .7 miles from the Downtown Mall, $675 at 1.1 miles from the Downtown Mall, and between $540 and $649, 7.2 miles from downtown along Rt. 250. These suites have very low turnover and are quickly rented when vacated. Promise Land and Lichen Properties believe that 24 additional single-occupancy studio suites at 808 Cherry Avenue would address high existing demand for this type of needed housing. 4City of Charlottesville, Virginia City Council Agenda, October 2, 2017 5Kent, Paul. “Vital Signs: 'Housing First' Model Creates Secure Home Base for Rebuilding Lives.” The Daily Progress, 3 Sept. 2017, www.dailyprogress.com/lifestyles/vital-signs-housing-first-model-creates-secure-home-base-for/article_d59a47b4-8e71- 11e7-9bf3-bb60be0c97f6.html. 4 CHARLOTTESVILLE AFFORDABLE HOUSING FUND APPLICATION FOR FUNDING June 8, 2018 TENANT MIX – To reiterate, we will provide the following mix of eligibility cut-offs preferred by the Development team: 100% of single-occupancy studio suites at 60% AMI or below, 75% of single-occupancy studio suites at 50% AMI or below, and at least 25% of single-occupancy studio suites at 30% AMI or below. Take note that single-occupancy studio suites made eligible only to applicants at 30% AMI or below are extremely difficult to find on the market at this time, and at 50% AMI or below are very difficult to find. The average publicized price for a studio, suite, and efficiency in the City is currently $1,175. 6 EXISTING TENANTS – At 808 Cherry Avenue currently, there are month-to-month tenants while we wait for approval. Once approved for funding and before demolition is set to begin, we will house these tenants in other housing already owned by the developer, under same or similar terms. Lichen Properties will cover relocation costs. TENANT DURATION – We intend to sign minimum of 6-month, maximum of 2-year, leases. This covers a mix of affordable-housing eligible groups. The developer, LICHEN PROPERTIES, also offers annual and month-to-month leases at other properties in their portfolio to tenants (and clients introduced through Region Ten, The Haven, IRC, UVA Hospital, Piedmont House, DOC) that have been stable, in the same locations, for over 5 years. We consider success stories like that to be not just affordable, but sustainable. Sustainable housing creates massive savings to the City when considering first responder costs for those without any housing. The 808 Cherry Building will create 24 new single-occupancy studio suites to add to supply for a large niche of eligible tenants that have no options available, and too frequently end up homeless as a result. The 808 Cherry Building provides affordable housing inventory, next year that is already urgently needed in the local market at this time. LOCATION – 808 Cherry Avenue Building will provide twenty-four (24) single-occupancy studio suites within 6x4 bedroom dwelling units: 3 stories, facing Cherry Avenue, including 7 parking spaces, and 120 square feet of laundry common area. There will also be 1,400 square feet of retail space on the first story with 3 parking spaces. The location at 808 Cherry Avenue is 0.8 miles to the near end of the Downtown mall, allowing for easier walking and biking self-transportation. 808 Cherry Avenue is near stops for CAT’s #4 and #6 bus routes. It is also within walking distance of a community garden on Lankford Avenue that the developer has made available to existing tenants and the community. COMMUNITY OUTREACH In addition to incorporating community members into our team, 808 Cherry Avenue is intended to unite and support the community from beginning to end. To do so, we’ve engaged Harrell Patterson, an Outreach Case Manager for Region Ten, to coordinate and lead our efforts. He is 6 “Apartments and Homes for Rent.” Apartments.com, 7 June 2018, www.apartments.com/. 5 CHARLOTTESVILLE AFFORDABLE HOUSING FUND APPLICATION FOR FUNDING June 8, 2018 well known, well respected, and well liked around the Charlottesville area. He also has professional experience working with the chronically homeless. Of course, we want to continue to attend local sporting and cultural events as this allows citizens to meet the Development team and have their voices heard. With over 850 signatures on our petition and even a poem in support, the Development team is confident the community backing to this project will only keep growing. Borrowing from the City of Boulder and Code for America, we are expanding our outreach to include three goals: 1.Stimulate interactive dialogue and collaboration with a cross-section of the community 2.Increase participation and move from one-way communication to multi- way dialogue 3.Create useful feedback loops by keeping residents informed of the status of the project 7 Useful feedback loops can go a myriad of different ways, and the Development team is looking forward to the creativity that will be ingested into the outreach initiatives. By keeping nearby residents informed of what is happening around them, morale remains high and the “talk of the town” concentrates on the positive impacts of 808 Cherry Avenue. Listening to the residents is key to our outreach. We are working with the community to co-solve this affordable housing crisis and co-meet the 2025 affordable housing goal. OBJECTIVES “Sustainable housing is better than affordable housing.” – Harrell Patterson This plan works to achieve the affordable housing goals presented by the City. OVER-ARCHING GOAL: This plan will work to support a minimum 15% supported affordable housing throughout the City by 2025 8 because of the longevity of the plan. To make it evident our project satisfies the goals of the City, we addressed every goal outlined in the application specifically and in the order they are presented. GOAL 2: 100% of single-occupancy studio suites at 60% AMI or below, 75% of single-occupancy studio suites at 50% AMI or below, and at least 25% of single-occupancy studio suites at 30% AMI or below. 7 “Engage the Community to Shape a New Affordable Housing Strategy.” Code for America, Code for America , www.codeforamerica.org/how-tos/engage-community-to-shape-new-housing-strategy. 8 The City of Charlottesville 2025 Goals for Affordable Housing 6 CHARLOTTESVILLE AFFORDABLE HOUSING FUND APPLICATION FOR FUNDING June 8, 2018 GOAL 2.5 (A): The existing parcel at 808 Cherry Avenue is a quarter acre. Based on the Cherry Ave Corridor zoning ordinance the project has been pre-approved to build six 4-bedroom apartment dwelling units and 1400 square feet of office/retail space. This is the maximum density permissible without requiring a special use permit. GOAL 3: 100% of studio suites at 60% AMI or below, 75% of studio suites at 50% AMI or below, and at least 25% of studio suites at 30% AMI or below. GOAL 3.2: The developer currently houses roughly 3-dozen low income tenants within the city and county. The majority of the tenants are within a 15-minute walk of the Downtown Mall. This new facility will add a significant increase in needed inventory of single-occupancy studio suites. 9 It is currently estimated that there are approximately 100 homeless people in the City of Charlottesville. GOAL 3.3: 100% of single-occupancy studio suites at 60% AMI or below, 75% of single-occupancy studio suites at 50% AMI or below, and at least 25% of single-occupancy studio suites at 30% AMI or below. GOAL 3.6: Our mix directly affects all groups impacted by the housing crisis due to the huge demand for affordable single-occupancy studio suites. Our primary focus is to increase inventory of studio suite affordable housing within the City, near downtown. We have spent tremendous time working with the experts in the field in our community, specifically The Haven, Region 10, and PACEM. These advisors and Ambassadors for the 808 Cherry Building have counseled us on this mix in order to best help the community. Factored in are many decades of experiences with other density mixes and other affordable housing arrangements. We believe this to be an affordable and sustainable mix. GOAL 8.1: The Cherry Avenue Corridor zoning requires a mixed-use development to properly develop this parcel. In addition to the 24 single-occupancy studio suites, there will be 1,400 square feet of retail/office space. We propose the city consider leasing that space, possibly through Region 10, as a community resource center. GOAL 8.4: During Acgtblu’s time as Governor Kaine’s representative for the 5th District (Charlottesville) on the Governor's Small Business Advisory Board, he worked consciously to level the playing field for SWAM (Small, Women, and Minority) owned business through the RFP process. 9Kent, Paul. “Vital Signs: 'Housing First' Model Creates Secure Home Base for Rebuilding Lives.” The Daily Progress, 3 Sept. 2017, www.dailyprogress.com/lifestyles/vital-signs-housing-first-model-creates-secure-home-base-for/article_d59a47b4-8e71- 11e7-9bf3-bb60be0c97f6.html. 7 CHARLOTTESVILLE AFFORDABLE HOUSING FUND APPLICATION FOR FUNDING June 8, 2018 He also places great emphasis on value-engineering and sustainable practices. The Cherry Avenue project will have solar panels, LED lighting, as well as substantial insulation to lower heating and cooling costs. Skillful use of shading will also be employed. GOAL 2.4: We’ve worked with the architect and Department of Building within Neighborhood Development to make the building as accessible as possible, factoring in the very compressed and steep site plan and other ADA compliance requirements. GOAL 2.5 (B): Promise Land and the Developer have existing relationships with Region Ten, The Haven, PACEM and other entities that offer support to members of the community. This helps facilitate support to crucial programs in the community, for our tenants. Of note, special use permits were granted to each of the larger developers on Main Street where they were given the ability to increase density in exchange for a token proffer that bought them out of ever having to provide any affordable housing. 10 The special use permit for The Standard allowed an increase in residential density from 43 units/acre to 89 units/acre. 11 The special use permit for Uncommon allowed an increase from 43 to 188 units/acre. 12 If our affordable housing proposal is rejected, we will be forced to go another direction, with more expensive financing, – and an additional 24 single occupancy studio suites will not be able to be built and added to existing inventory within the affordable housing matrix. GOAL 1.3: Yes. This is the main objective of the 24 single-occupancy studio suites at 808 Cherry Ave. For it to happen, the City must allow us to move our proposal out of City Hall and into construction phase. If that doesn’t happen following this application, then we will not be building affordable housing. Student housing is easily rentable at higher rates than proposed, without any of the onerous requirements, in place for 30 years. A University of Virginia student-affiliated member organization has already expressed interest in renting all of the studio suites for their members. GOAL 1.4: By virtue of the city approving our proposal, and providing the financing, we will be able to keep the studio suites available within the already approved housing matrix of the accepted Dogwood proposal. Without the city’s support, and corresponding financing, we will need to charge to offset the increased costs of financing this building which will result in 808 Cherry Avenue not actively enhancing the financial health of low income residents, but adding to the growing gap in the City 2025 Affordable Housing Goal. GOAL 2.1: Region Ten and members of its staff will work with us to help with illness and injury. Additionally, 808 Cherry is located across the street from UVa medical center. We are close to PACEM, Region Ten, and The Haven, and serve those who need stable and affordable housing for recovery periods. 10 City of Charlottesville, Application for a Special Use Permit, November 13th, 2012 11 City of Charlottesville, City Council Agenda, Consideration of a Special Use Permit, November 4th, 2013 12 City of Charlottesville, Preliminary Discussion: Special Use Permit, November 12th, 2013 8 CHARLOTTESVILLE AFFORDABLE HOUSING FUND APPLICATION FOR FUNDING June 8, 2018 GOAL 2.3: To reiterate, we suggest that the city rents the retail space, possibly through Region Ten, as a community resource center. GOAL 3.1: We are working with landscape architects and civil engineers to have the building best fit in with the neighborhood and maximize tree crown coverage within the constraints of the very small quarter acre footprint of the development site. Additionally, we plan to place solar panels on the roof, assuming cooperation with our western neighbor on tree trimming. GOAL 5.4: By working with Region Ten10 and the Haven, we are confident this 808 Cherry Avenue location can foster effective community engagement. We have also assembled a Development team consisting of Ambassadors from different aspects of the social work community. COMPLIANCE ZONING – See Addendum for pre-approved site plan. For questions concerning zoning: Jonathan T. Wren, Esq. MartinWren, P.C. 400 Locust Avenue, Suite 1 Charlottesville, VA 22902 Tel: 434-817-3100, ext. 14 Fax: 434-817-3110 Email: wren@martinwrenlaw.com Website: http://www.martinwrenlaw.com ACCESSIBILITY – The whole Terrace level of the building is accessible and meets ADA requirements including the Terrace level unit. Handicap parking is provided. The commercial space on Cherry is also accessible. CERTIFICATE OF OCCUPANCY – Certificate of Occupancy will be obtained in January 2019. CAHF REPORTING – We are going to continue using the same reporting process as agreed to in the Dogwood housing deal. This is a deal that has been vetted by city for 12 years and has been extended twice. Our changes in the financing are minimal compared to the agreed reporting requirements of this deal that has been extended twice. We do not think we should start tinkering with this spoke or we will have to adjust all the spokes. ADAPTABILITY – The work put in to community engagement will help us with any future issues that may come our way. We are thinking in terms of mitigation, not adaptation. We’ve gathered over 850 signatures in support of this affordable housing project, before even submitting this proposal (see 9 CHARLOTTESVILLE AFFORDABLE HOUSING FUND APPLICATION FOR FUNDING June 8, 2018 attachment). The local community strongly supports the Lichen Properties and Promise Land Communications Development team. In addition, Promise Land has the ability to continue to reach out to the community through its popular 24/7 media platform. GREEN BUILDING The 808 Cherry Building will be designed and engineered to maximize energy efficiency. By using renewable solar on the roof as indicated in the plan – in combination with strategic insulation and shading, and LED lighting – we plan on approaching a net-zero carbon footprint after construction. To do so, our building is value-engineered, allowing for mitigation and sustainability from the beginning of the project, instead of adapting later. We will be using the grid as our battery. OPERATIONS RENT – There will be a mix of 6-month to two-year leases, allowing for increased flexibility. HOUSE RULES – We are requiring adult single-person occupancy at 808 Cherry Avenue Studio Suites. We offer other housing for families at other locations in our portfolio. If the life circumstances of one of our tenants changes, and makes single person occupancy an issue, we will work with that tenant, and our partners at Region Ten and The Haven, to help find suitable housing at another location that can accommodate those changes. There are limited scenarios in which our management team does not have experience in dealing with this client base. For additional rules for living, see Addendum. HARD AND SOFT PROPERTY MANAGEMENT – The typical tenant could experience some challenges living responsibly in the real world. At the same time, financial viability means efficient property management and positive cash flow. We intend to mimic Carlton House’s recognition of the need to formalize both “soft” and “hard” management criteria for the relatively fragile population that this housing is meant to serve. Accordingly, Lichen Properties and PMI Charlottesville Property Management will manage the “hard” side, meeting the functional and fiduciary responsibility to the owner. The “soft” side is a partnership with Promise Land Communications, whose “light” case management will monitor their client / tenants and maintain a working relationship with case managers at The Haven and Region Ten. BUDGET For details, see 4. PROJECT BUDGET ACQUISITION – Salvaged Assets, LLC will sell the project to Lichen Properties upon City approval of the affordable 808 Cherry Avenue Building proposal. RENOVATION AND REPAIR – We need to demolish a single-family residence on the site, in order to create the footprint as approved in preliminary site plan. 10 CHARLOTTESVILLE AFFORDABLE HOUSING FUND APPLICATION FOR FUNDING June 8, 2018 DEVELOPER FEE?  8% It is in the city’s best interest to allow the 8% development fee. It will work as an incentive to future developers, which is undoubtedly crucial to the success of the 2025 plan. The developer fee still applies regarding non-affordable, gentrifying housing. Therefore, it seems the City should prioritize affordable housing and not allow the developer fee to be a deterrent from achieving the affordable housing goal. ADDITIONAL RESOURCES Kent, Paul. “Vital Signs: 'Housing First' Model Creates Secure Home Base for Rebuilding Lives.” The Daily Progress, 3 Sept. 2017, www.dailyprogress.com/lifestyles/vital-signs-housing- first-model-creates-secure-home-base-for/article_d59a47b4-8e71-11e7-9bf3-bb60be0c97f6.html. Ng, Naomi. “The Designers Making Hong Kong's Tiny Flats Easier to Live In.” South China Morning Post, South China Morning Post, 3 June 2018, www.scmp.com/news/hong- kong/community/article/2149037/hong-kongs-subdivided-flats-and-architects-making-them. Plitt, Amy. “What It's Really like to Live in NYC's First Micro-Unit Building.” Curbed NY, Curbed NY, 22 Sept. 2016, ny.curbed.com/2016/9/22/13019200/nyc-studio-apartment-carmel-place- house-calls. Suarez, Chris. “Council Urged to Act on Need for Affordable Housing.” The Daily Progress, 6 Feb. 2018, www.dailyprogress.com/realestate/articles/council-urged-to-act-on-need-for-affordable- housing/article_90de61dc-0ae5-11e8-84bf-d394b223ab3f.html. Suarez, Chris. “Housing Affordability Challenges Focus of Summit.” The Daily Progress, 16 Feb. 2018, www.dailyprogress.com/realestate/articles/housing-affordability-challenges-focus-of- summit/article_95ee64f8-1371-11e8-b6d5-6b86eba45a90.html. Tubbs, Sean. “Mixed-Use Building Planned for Cherry Avenue ⋅ Charlottesville Tomorrow.” Charlottesville Tomorrow, 14 Nov. 2017, www.cvilletomorrow.org/news/article/29187-mixed-use-building-planned-for-cherry-avenue/. Tubbs, Sean. “City Council Funds Affordable Housing Projects ⋅ Charlottesville Tomorrow.” Charlottesville Tomorrow, 19 Sept. 2017, cvilletomorrow.org/news/article/28605- city-council-funds-affordable-housing-projects/. Tubbs, Sean. “Developers Describe Constructing Affordable Housing Units in Charlottesville ⋅ Charlottesville Tomorrow.” Charlottesville Tomorrow, 17 Feb. 2018, www.cvilletomorrow.org/news/article/29922-affordable-housing-examples/. ADDENDUM A. MAP/FLOW CHART B. SITE PLAN FOR ZONING C. FLOOR PLAN D. BLANK LEASE 11 CHARLOTTESVILLE AFFORDABLE HOUSING FUND APPLICATION FOR FUNDING June 8, 2018 E. HOUSE RULES F. COMPARISON CHART G. RENTAL RATES, INCOME, REPORTING SPREADSHEET H. PETITIONS I. CHERRY AVENUE POEM 2. DEMONSTRATION OF NEED “Maslow’s Hierarchy of Needs, based on Abraham Maslow’s 1943 theory, is an excellent tool to categorize human needs and, more importantly, to prioritize them. There is some debate as to where in the hierarchy certain needs are placed; however, I believe that all agree that shelter or housing remains a very basic need and ranks very high in the hierarchy. Historically, homeless individuals were placed into transitional housing, or the community would operate from a housing readiness model, which states that the individual must first address other issues that may have led to the homelessness prior to the provision of housing. Under the housing first model, homeless persons are moved from the streets or homeless shelters directly into their own apartments. A key component of this model is that housing is a top priority. Only when a person is securely housed can he or she work towards such goals as employment, self-improvement and social fulfillment. Region Ten’s Housing Program follows the housing first model. Despite many challenges, it has been my experience that this is the more effective model in reducing the occurrence of homelessness, especially when it is applied as a starting point, and then coupled with the support services needed to help the individual stay housed. It does not promise an instant resolution to an individual’s depression, or alcoholism, but it truly is the most logical starting point that gives individuals the best chance to improve their lives. A key element of this process is that it gives people a sense of receiving a second chance — in other words, an excellent opportunity to start with a clean slate. This makes individuals with mental health or substance use disorders far more likely to engage in therapy and take prescribed medication, or seek employment to furnish that new apartment, instead of self-medicating with alcohol or illegal drugs or engage in criminal activity. Some people believe that rental assistance is a handout — that this is an expensive program that is costing the taxpayers’ money that could be better spent elsewhere. Studies show that it is actually cheaper to pay the rent for a homeless person than not to. Why? Because homeless people are far more likely to be arrested or go to the emergency room, for example, or utilize expensive community services. These services are a lot more costly than $900 per month for rent. The vast majority of homeless individuals that have been housed through a rental assistance program are now receiving improved mental health and medical services. This was not possible 12 CHARLOTTESVILLE AFFORDABLE HOUSING FUND APPLICATION FOR FUNDING June 8, 2018 when they didn’t have an address, a place to receive mail or to store their medication. As a result of finding safe and secure housing, hospital and emergency room visits are reduced and fall more in line with those of housed individuals, other things being equal. The need for housing and social services are both overwhelming and at an all-time high. However, within Charlottesville, as well as the surrounding area, the supply of low-barrier, low- income housing is woefully short compared to the demand. This is the critical component that continues to lag behind, and it creates an unfortunate bottleneck, regardless of the amount of services and rental assistance that is made available. If we truly wish to have an impact on homelessness, it is this vital piece that must be expanded, and, now more than ever, we as a community need to think creatively in solving this complex issue.” Kent, Paul. “Vital Signs: 'Housing First' Model Creates Secure Home Base for Rebuilding Lives.” The Daily Progress, 3 Sept. 2017, www.dailyprogress.com/lifestyles/vital-signs-housing- first-model-creates-secure-home-base-for/article_d59a47b4-8e71-11e7-9bf3-bb60be0c97f6.html. 3. PROJECT READINESS Simply put, the project is ready to begin. The preliminary site plan is approved. The final approval for the site plan is being requested. The developer deal is proposed to the city in this application as affordable housing, including the preliminary site plan. If not approved, the developer intends to proceed not as affordable housing. Construction can begin only months after City approvals. The 808 Cherry Avenue Building has been discussed for 18 months now, and we are excited to move forward. 13 CHARLOTTESVILLE AFFORDABLE HOUSING FUND APPLICATION FOR FUNDING June 8, 2018 4. PROJECT BUDGET Please consult the Development team for additional requests for information. 5. PROJECT SCHEDULE JULY 31ST, 2018– funding decisions released NOVEMBER 2018 – ground breaking DECEMBER 2019 – Certificate of Occupancy JANUARY 2020 – Building will be occupied With any questions relating to building or schedule, please direct them to Development Team construction oversight. DOUG LOWE Lowe is a long-term member of the Charlottesville area construction industry, with over $200 million of direct construction project responsibility. His commitment to the area continues, as he is also a founding member of the James River Green Building Council – Charlottesville Division, a charter member for EarthCraft Virginia Program, and a former Board Member of the Blue Ridge Home Builders Association. Regarding the sustainability concentration of this 14 CHARLOTTESVILLE AFFORDABLE HOUSING FUND APPLICATION FOR FUNDING June 8, 2018 project, Lowe is a LEED accredited professional. Cementing his expertise in the industry, he is responsible for the first LEED accredited home in Virginia in 2006. doug@sagebuildconsulting.com> 434-882-0756 15 CHARLOTTESVILLE AFFORDABLE HOUSING FUND APPLICATION FOR FUNDING June 8, 2018 6. EXPERIENCE ORGANIZATION PROMISE LAND COMMUNICATIONS is a 501 (c) (3) in Charlottesville, VA since 06/2014, created and directed by Jeffrey Lenert. Lenert has spent a successful career working alongside our local community as a member in law enforcement as senior probation parole officer. He has traversed the relationships between the judicial system and the incarcerated and paroled population. . Lenert is intimately familiar with low-income citizen life from his past and continues dedication to support these specific aspects of our community. Essentially, Lenert is a well-respected, “go-to” person for information and experience regarding housing of homeless individuals, especially those with experiences in the criminal justice system. He served 2 years as Chairman of the Board at PACEM, People and Congregations Engaged in Ministry. This organization has provided over 80,000 nights of safe shelter for the homeless community. During the 2008 economic downturn and the years following, reliable streams for funding were harder to come by while need was only growing. During his time as Chairman, PACEM held their budget steady while expanding bed opportunities by 60%. Lenert has worked closely and extensively with The Haven to reduce overlap of services and ensure continuity from the day shelter to night. While heading PACEM, Lenert oversaw Charlottesville Health Access, which provided an opportunity for UVA Medical Students to come into the shelter, conduct simple “well check” assessments and then provide health navigation through the UVA Medical Establishment. Importantly, he has testified in front of the general assembly on behalf of homeless individuals returning from prison and for 15 years he worked with the Fluvanna Correctional Center for women preparing thousands of women for their reentry into society. There is no doubt Lenert is an expert in the field of affordable housing in the Charlottesville community. Lenert’s unparalleled experience does not go unnoticed. In response and appreciation for all of his advocacy and community work, Lenert received the Rob Bell Citizen Legislator award in 2010. The Jefferson Area Victim Assistance Coalition US attorney awarded Lenert with the Lifetime Achievement for Victim Assistance Award in 2014. And, United Way twice listed him as the runner up for Excellence in Board Governance in 2008 and 2009. More importantly it is noteworthy that while the PACEM Board was not granted top honor in 2009, their part time shelter director was named most outstanding non-profit employee. Promise Land Communications specifically came about from Lenert’s desire to share the unheard voices of the communities he is so intimately intertwined with. Created initially as an arts and education program that operates a local radio station, Promise Land Communications focused on providing opportunities for communities who have traditionally not had access to the airways of Central Virginia. In addition to serving the LGBTQ and African American Art community, Promise Land Communications operates the only Spanish Language Radio Station in Central Virginia. 16 CHARLOTTESVILLE AFFORDABLE HOUSING FUND APPLICATION FOR FUNDING June 8, 2018 While operating this 501©3 that caters to the underserved and communities of low wealth, Lenert has continued to involve himself in assisting people with housing while waiting for the right opportunity to partner with a for profit company to develop affordable housing. DEVELOPMENT TEAM LICHEN PROPERTIES, LLC Lichen properties is harnessing the power of its members to form a symbiotic relationship between social service and private sector partners to create and nurture affordable housing, similar to how its namesake cohesively connects algae and fungi filaments. SALVAGED ASSETS, LLC Salvaged Assets, LLC is a Virginia Domestic Limited-Liability Company filed on May 21st, 2014. GAINES GROUP ARCHITECTS The Gaines Group, PLC, is a design firm dedicated to strong ideas, ecological stewardship, and client satisfaction. As an award-winning architectural design firm, The Gaines Group, PLC, has established a strong reputation of sophisticated designs through addressing the specific needs and place for which a project is to be built. As an award-winning graphic design firm and a leader in the “green” movement in Central Virginia, Gaines has the ability to deliver the complete package for your projects, from marketing, design, and specification development, LEED consulting, to construction administration. Their primary focus is to provide their clients with thoughtfully designed high performance buildings that achieve the healthiest living environments. The Gaines Group, PLC, was awarded the Best Green Designer award by the Virginia Sustainable Building Network due to their long commitment to the promotion of green building and sustainable development principles in Central Virginia. The firm has worked on a multitude of green projects including the first LEED for Homes certified project in the Southeast United States, the first LEED for Homes high school student built project in the United States and the first LEED NC certified industrial project in Central Virginia. Other projects include a historic tax credit LEED for Homes project, a LEED ND neighborhood project, and a LEED CS office project as well as various projects certified under the EarthCraft program. Their services span from intimate house addition to large-scale residential community planning. Their areas of specialization include residential architecture, commercial development and redevelopment, residential communities, site planning, residential additions, historic renovations, interior design, ecclesiastical design, Specification Consulting, graphic design, and LEED consulting. The Gaines Group, PLC, is a firm that has a commitment to designing for the future. They have assembled a remarkably talented and experienced team of professionals to pull all building elements into a single elegant and functional design. Integrity, budget control, effective and timely communication, and a thorough knowledge of current technology, construction methods, and materials turn their promise and your dream into a delightful reality. 13 With over twenty-eight years of experience, RAYMOND GAINES, has built a reputation on quality, functional, beautiful projects for many hundreds of clients. Mr. Gaines’ background as a builder 13 “ABOUT.” The Gaines Group Architects, David Layman, www.thegainesgroup.com/about/. 17 CHARLOTTESVILLE AFFORDABLE HOUSING FUND APPLICATION FOR FUNDING June 8, 2018 prior to becoming an architect, gives The Gaines Group, PLC, their fundamental strength in designing buildings that work, that are economical to build, and that are aesthetically pleasing. 14 PAUL TASSELL graduated from Albemarle High School in 1997 and continued on to Virginia Tech. There he earned his BS in Architecture degree in 2002. While at Tech, he traveled throughout Europe during his fall semester of 4th year. He has grown to admire the architecture of Italian architect Carlo Scarpa. Paul’s career started at Gaines Group Architects in 2002 where he serves as a staff architect. He earned his architectural license in 2016. Paul, a native a Charlottesville, is married to Linde and has 2 children. 15 DOUG LOWE Lowe is a long-term member of the Charlottesville area construction industry, with over $200 million of direct construction project responsibility. His commitment to the area continues, as he is also a founding member of the James River Green Building Council – Charlottesville Division, a charter member for EarthCraft Virginia Program, and a former Board Member of the Blue Ridge Home Builders Association. Regarding the sustainability concentration of this project, Lowe is a LEED accredited professional. Cementing his expertise in the industry, he is responsible for the first LEED accredited home in Virginia in 2006. MICHAEL R. JOHNSON, PMI Michael R. Johnson has more than 28 years' experience in various disciplines of the real estate industry such as asset management, property management and tenant and landlord representation. A 1990 graduate of San Diego State University, Johnson’s first work experience involved the management and leasing of several Class A commercial assets located in the Greater San Diego Metropolitan Area. After earning an MBA from Holy Names University in 2000, Johnson moved to Los Angeles where he transitioned into asset management for a pension fund advisory firm, overseeing a national portfolio of commercial real estate stretching from New York to Los Angeles. In 2010, Johnson moved to Virginia where he was a commercial real estate advisor representing landlords and tenants throughout the Mid Atlantic Region. Currently, Johnson owns two franchises in Charlottesville, Virginia, Property Management Inc. and HomeVestors of America. Exposure to various business cultures and widely divergent professionals has allowed Johnson to develop an exceptional foundation in business development, sales, management, marketing and franchising with an ability to make the best possible use of his personal network. Johnson has had the opportunity to participate in a variety of sales training courses and workshops which has allowed Johnson to broaden his knowledge and experience within the commercial real estate industry. In addition to earning his BA from San Diego State University and an MBA from Holy Names University, Johnson has a District of Columbia Property Manager License and holds a real estate 14 “Raymond E. Gaines, AIA, FCSI, CCS, NCARB.” The Gaines Group Architects, David Layman, www.thegainesgroup.com/about/team-members/raymond-e-gaines/. 15 “Paul Tassell, AIA, CSI, CDT.” The Gaines Group Architects, David Layman, www.thegainesgroup.com/about/team- members/paul-tassell-assoc-aia-csi-cdt/. 18 CHARLOTTESVILLE AFFORDABLE HOUSING FUND APPLICATION FOR FUNDING June 8, 2018 license from the State of Virginia, Maryland and Washington DC. He was awarded the designation of Real Property Administrator (RPA) from the Building Owners and Managers Association (BOMA) and is a member of the Charlottesville Area Association of Realtors (CAAR), Institute of Real Estate Management (IREM), International Council of Shopping Centers (ICSC) and NAIOP. SHIMP ENGINEERING JUSTIN SHIMP is the owner of Shimp Engineering, PC – a civil engineering business based out of Charlottesville. They provide structural alterations and construction surveying as well as other services. BRIAN RAY, RAY & ASSOCIATE SURVEYORS Roger W. Ray & Assoc., Inc., is the premier land surveying and land planning firm in Charlottesville, VA and the Central VA area. Located in Charlottesville, VA, Roger W. Ray & Assoc., Inc. land surveying and land planning firm specializes in boundary surveys, physical surveys, topographic surveys, ALTA surveys, as-built surveys, GPS control, subdivision planning and design, construction stakeout, digital mapping, and more. We provide services to a wide variety of clients in Charlottesville, VA, and the surrounding Central VA area (Albemarle County, Greene County, Fluvanna County, Nelson County, Madison County, City of Charlottesville) including private property owners, property developers, real estate agents, building contractors and other design professionals. PHAEDRUS ACGTBLU Acgtblu is an UVA alumnus and 25-year resident of Charlottesville. He is a decade-long Region Ten and The Haven partner. Specifically, he is a well-known advocate and provider of affordable housing. Acgtblu has a breadth of experience in real estate, from property management to foreclosure auctions, and from risk analysis to security reinforcement. He was appointed by then-Governor Kaine to represent the 5th District on the Governor's Small Business Advisory Board, which expanded his perspective on the role of government in business and how it can have a productive symbiotic partnership with the private sector. He specifically focused on leveling the playing field for SWAM (Small, Women, and Minority) owned businesses through the RFP process. Acgtblu understands the relevance, urgency, and pervasiveness of the environmental pressures we are all facing, and concentrates on environmentally- balanced solutions when value-engineering projects. Acgtblu's diverse entrepreneurial and real estate background has allowed him to see and improve systems that others may overlook. Privileged to work alongside this exceptional team of experienced local Building Development professionals, he has been able to provide direct insight into the problem with performance against the 2025 affordable housing goal, with a fresh perspective, leading to the Development teams single occupancy studio suite 808 Cherry Building proposal. He has worked with previous teams to develop systems to improve productivity in other non-optimized processes in former consultancy roles. Towards getting more affordable housing built now, he has rallied varied and influential local resources, and has recruited established Community Leaders in support of his 19 CHARLOTTESVILLE AFFORDABLE HOUSING FUND APPLICATION FOR FUNDING June 8, 2018 long-term effort to create more affordable housing, as unaffiliated Ambassadors for the Cherry Avenue project. JONATHAN T. WREN, ESQ. MartinWren, P.C. 400 Locust Avenue, Suite 1 Charlottesville, VA 22902 Tel: 434-817-3100, ext. 14 Fax: 434-817-3110 Email: wren@martinwrenlaw.com Website: http://www.martinwrenlaw.com EMMA TILLITSKI Application Coordinator COMMUNITY PARTICIPANTS THE HAVEN The Haven is a multi-resource day shelter for people facing homelessness in downtown Charlottesville, Virginia. They provide respite services for people who are homeless, or living in extreme poverty in our community, as well as supportive case management for guests who are eligible for programs to help get them back into stable housing. 16 REGION TEN Established in 1969, Region Ten Community Services Board is part of a statewide network of 40 Community Service Boards working to provide mental health, intellectual disability and substance use services where they are needed – in the local community. An agency of local government, Region Ten CSB is committed to serving the residents of the City of Charlottesville and the counties of Albemarle, Fluvanna, Greene, Louisa and Nelson. Region Ten has a reputation for providing exceptional service. They are a leader because their professional and caring staff offers a wide range of innovative, yet proven treatment methods. In collaboration with other local agencies, Region Ten works to enrich our community one life at a time. By partnering with each person to meet their individual goals, Region Ten’s nearly 600 employees work toward a better life and a better community. 17 AMBASSADORS HARRELL PATTERSON Outreach Case Manager, Region Ten 808 Cherry Avenue, Community Outreach Coordinator 16 “The Haven.” The Haven, www.thehaven.org/. 17 “About Us.” Region Ten, 2018, regionten.org/about-us/. 20 CHARLOTTESVILLE AFFORDABLE HOUSING FUND APPLICATION FOR FUNDING June 8, 2018 “I deal with chronically homeless and serious mental illness. Being on the front it is hard to find placements for our clients. This will be a great option for our community.” SAMANTHA WOOD Samantha Wood has been employed at The Haven since July 2015 under the title of Senior Housing Stabilization Case Manager. Ms. Wood has over 10 years of case management experience, providing friendly and compassionate care to our most vulnerable neighbors. Her passion is to assist individuals with achieving their life goals while overcoming barriers. She has worked at various organizations including Fluvanna Correctional Center for Women, Region Ten Community Services Board, WorkSource Enterprises, Charlottesville-Albemarle Health Department and Thrive Healthcare. In addition to her extensive background in the human services field, Ms. Wood has helped establish a connection with local landlords. Ms. Wood received a BA in Sociology from the College of William and Mary. She is also a Qualified Mental Health Professional (QMHP). Ms. Wood was born and raised in Albemarle County. She takes pride in serving the area in which she grew up. “It is much cheaper to house someone than to keep them homeless or unstably houses when you consider trips to the hospital, incarceration and inability to maintain employment due to lack of housing.” MARCIA BECKER Senior Director of Adult Rehabilitation and Rural Services SHAYLA GIVENS Intake and Pathways Fund Coordinator, The Haven PAUL KENT Community Housing Program Manager for Region Ten Community Services Board PETITION ADVOCATES FREDDIE CLEVELAND RITA MICHIE WILLIE AVERY HOPE FAULKNER TODD CHRISTIAN Community Leader 21 CHARLOTTESVILLE AFFORDABLE HOUSING FUND APPLICATION FOR FUNDING June 8, 2018 22 This page intentionally left blank CITY OF CHARLOTTESVILLE, VIRGINIA. CITY COUNCIL AGENDA Agenda Date: October 1, 2018 Action Required: Resolution Staff Contacts: Stacy Pethia, Housing Program Coordinator Presenter: Stacy Pethia, Housing Program Coordinator Title: Allocation of Charlottesville Affordable Housing Fund (CAHF) for Completion of a Comprehensive Housing Strategy -- $200,019.40 Background: The City is in the beginning stages of developing a comprehensive housing strategy to meet the housing needs of our current and future residents. This strategy will identify specific affordable housing targets, as well as the tools necessary to meet those targets, and once complete, will replace the current housing chapter in the City’s Comprehensive Plan. This request for funding, developed by the Housing Advisory Committee Strategy and Outreach Subcommittee, is to cover the costs associated with the Housing Strategy development process. Discussion: The attached draft scope of work outlines the steps required to develop a comprehensive housing strategy for the City of Charlottesville. The budget amount requested ($200,019.40), is an estimated amount of funding required to complete the project. The funding, if approved, will cover the costs of hiring a consultant to: (1) develop a community engagement plan; (2) train and supervise interns to ensure consistent messaging during peer-to-peer outreach efforts; (3) develop outreach materials, including educational materials addressing affordable housing and zoning policies, ‘Discussion in a Box’ materials, and a city-wide survey; (4) analyze data collected through outreach activities to identify a set of community-driven guiding principles and goals for affordable housing; and (5) draft a comprehensive housing strategy. Also included in the budget is the funding for:  seven interns, six of whom are to represent our low-wealth communities;  funding for local agencies to assist with the community outreach activities; and  items associated with community outreach, such as meals, printing of outreach materials, and child care services. While the outreach process will engage with all members of the Charlottesville community, outreach activities will prioritize engagement with the City’s low-wealth communities to ensure their housing needs and concerns are heard, addressed, and incorporated into the final housing strategy. Only through this focused engagement and interaction can we ensure a final housing strategy that meets the needs of all members of our community, and that begins to address the long-standing inequalities which exist within our city. Strategy and Outreach Subcommittee members have set an ambitious timeline for this project with the anticipated project completion date ranging from March 2019 to end of May 2019. Full details of the proposed work plan can be found in the attached Scope of Work. Community Engagement: This budget request and associated draft Scope of Work has been prepared by the Housing Advisory Committee Strategy and Outreach Subcommittee. Alignment with City Council Vision and Strategic Plan: The objective of the attached report supports Council’s vision of providing “quality housing opportunities for all”, as well as objective 1.3 of Strategic Plan to “increase affordable housing options”. Budgetary Impact: The proposed budget for this project is $200,019.40. The CAHF balance, once accounting for the HAC FY 2019 recommendations for project funding and other committed funds, is large enough to cover this request. If project funding is allocated from the CAHF, the CAHF balance for the remainder of FY 2019 will be $184,286.90. CAHF Available Balance $3,950,615.47 Administrative Funds ($20,184.17) Piedmont Housing Alliance (186,125.00) Rental Assistance Program ($945,000.00) Habitat for Humanity ($585,000.00) AHIP ($375,000.00) Carlton Views III, LLC ($1,440,000.00) Free Paint Program ($15,000.00) Housing Strategy (200,019.40) CAHF Remaining Balance $184,286.90 Recommendation Staff recommends approval of this request. Alternatives: Council could choose to not approve this request or approve a reduced budget amount. Both options will impact the ability of the staff and HAC members to complete a comprehensive housing strategy. Attachments: Proposed scope of work Resolution Allocation of Charlottesville Affordable Housing Fund (CAHF) for Completion of a Comprehensive Housing Strategy -- $200,019.40 NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Charlottesville, Virginia that the sum of $200,019.40 be allocated from previously appropriated funds in the Charlottesville Affordable Housing Fund (CAHF) for development of a comprehensive Housing Strategy. Fund: 426 Project: CP-084 G/L Account: 530670 Housing Strategy Development $200,019.40 [Type here] Housing Strategy Budget - Proposed Hours/Person/W Expense Item Rate/Hour eek # Weeks Cost/Item # Needed Total Amount Consultant $120,000.00 Interns Community Outreach (6) $14.40 20 32 4 $36,864.00 Data/Research Support (1) $14.40 20 36 1 $10,368.00 Expenses Cell Phone Allowance 32 $25.00 5 $1,000.00 Travel Allowance 32 $0.55 6 $1,046.40 Community Meetings 6 Pre-Strategy Meals $12.00 180 $2,160.00 Childcare $20.00 18 hours $360.00 4 Post-Strategy Meals $12.00 120 $1,440.00 Childcare $20.00 12 hours $240.00 Materials/Supplies Flipcharts $65.00 4 $260.00 Markers $4.00 4 $16.00 Pens $7.00 2 $14.00 Name Tags $4.00 2 $8.00 Clipboards $7.00 2 $14.00 Outreach Stations Promotional Items Chip clips $0.69 250 $172.50 Pens $0.25 250 $62.50 Bags $4.20 250 $1,050.00 Snack Food $369.00 t-shirts for interns $25.00 12 $300.00 Outreach Materials Postcards $400.00 10 $4,000.00 Discussion in a Box $0.25 500 $125.00 Posters $23.00 50 $1,150.00 Educational Booklets $2,000.00 Project Contingency $17,000.00 TOTAL $200,019.40 city of charlottesville affordable housing strategic plan proposed scope: plan development ______________________________________________________________________________________________________________________ overview Introduction This document describes the steps for developing the City of Charlottesville Affordable Housing Strategy. The elements of developing this plan, which are detailed below, are:  Assessment of the current landscape  Community engagement  Drafting of strategic plan  Adoption of strategic plan Deliverable The Charlottesville Affordable Housing Strategy will set forth principles, goals, strategies, action items, and metrics to guide the city’s affordable housing policies, as well as ongoing housing programs and funding activities. The strategy, once complete, will replace the current Housing Chapter of the city’s Comprehensive Plan. Project management Limited staff capacity within NDS to manage an effort of this depth, complexity, and intensity has led HAC to recommend seeking outside resources to ensure a brisk pace and a high-quality, thorough finished product. Justification for outside consultant The rationale for hiring an outside consultant is based on several factors: 1. urgency/timeliness: to ensure that the project moves along at a brisk pace and yields a high-quality, thorough finished product; 2. outside perspective: this perspective could help city leaders, city staff, HAC members, and advocates interpret housing needs through a different set of eyes; 3. translation: a consultant with expertise in housing and community engagement will be well-versed in translating arcane topics such as zoning for citizens who aren’t familiar and whose unfamiliarity may be a barrier to engaging; 4. honest broker: an outside consultant will be seen as independent and not connected to local special interests who may ultimately benefit from policy directions and funding decisions that may come out of the housing strategy; and 5. sole focus: the consultant’s sole focus will keep the project on track. Justification for local agencies HAC also feels that as much as it is feasible, we would like local organizations to be the recipients of funds earmarked for part or all of this project. There are community connections and depth of expertise that only local organizations would bring to meaningful community engagement, and we believe that local reinvestment into local organizations is important. Interns The project scope includes hiring interns to assist with project management and carrying out of tasks, particularly around community engagement. The consultant and/or consulting agency would be responsible for hiring and managing interns. The project will prioritize hiring local interns who are representative of the low-wealth community. The project estimates seven (7) interns (three and one half FTE (full-time equivalent) positions) for the duration of the project. Community engagement In Charlottesville’s history, the failure of institutions and city government to be accountable to low-wealth communities, particularly communities of color, has taken many forms: violent suppression, structural oppression, neglect, half-hearted or insincere attempts that serve to manufacture consent, and well-meaning attempts that end up failing due to their assumptions, framework, and processes favoring those in power and resulting in lopsided and inaccurate information, community inaction, or community harm. Housing is at the root of historical structural inequity and oppression in the United States, and it came to be this way deliberately. As we build a strategy to achieve a local housing landscape that is healthy, ample, high quality, and affordable, we must be equally deliberate in dismantling the dynamics and the structures that perpetuate continued inequity—structures that often go unnoticed by those of us who benefit from them or don’t directly experience their harm. To that end, rather than relying on the existing power structure to set the narrative and define the discussion, the community engagement strategy must leverage community relationships and expertise to genuinely engage our community. This methodology is vital to the project’s success and to the quality and legitimacy of the final Affordable Housing Strategy. ___________________________________________________________________________________________________________________ PROPOSED SCOPE: AFFORDABLE HOUSING STRATEGIC PLAN DEVELOPMENT | 09.07.18 2 Elements of developing the Affordable Housing Strategic Plan ASSESSMENT OF THE CURRENT LANDSCAPE TACTICS [managed by]:  Conduct a Housing Needs Assessment (HNA) [PCS] - complete  Collect community housing data [HAC] - in process Aggregate information from local housing agencies to fill in identified gaps  Collect information about current zoning and other policies [NDS and/or Consultant] Including available legislative and administrative tools, etc. DELIVERABLES [responsibility]:  Report: Housing Needs Assessment document (HNA) [PCS] - complete  Report: Community housing data supplement to the HNA [NDS and/or Consultant]  Quantitative data from housing agencies  Qualitative data from residents (collected and/or aggregated as part of the community engagement stage, described below)  Report: Code/Zoning historical review and audit (NDS)  Report: Survey on current policies, available legislative tools (HAC and NDS) COMMUNITY ENGAGEMENT Prioritizing low-wealth communities, this effort will engage residents about their housing needs, wants, don’t-wants, fears, aspirations, barriers, neighborhoods, and livability. In addition, this effort will solicit input on what the city’s guiding principles for affordable housing strategies should be, what our city-wide goals for affordable housing should be, and how potential approaches would impact residents. This will require an educational component in order to bring residents up to speed on affordable housing definitions, housing best practices and approaches, and technical zoning information. Some work has been done to date, specifically by Legal Aid Justice Center, to get qualitative input from the community on wants, needs, impact of discrimination, etc. The consultant will work with local stakeholders to determine if more community feedback is necessary and if so, what questions we need answered. PROPOSED SCOPE: AFFORDABLE HOUSING STRATEGIC PLAN DEVELOPMENT | 09.07.18 3 TACTICS [managed by]:  Work with local stakeholders to determine if more community feedback is necessary around housing wants and needs, and if so, what questions need to be answered [Consultant]  Work with local resources and peers to survey residents on guiding principles for housing planning, goals for housing strategy, and how potential approaches would impact residents. This will include an educational component [Consultant]  Hold a set of facilitated, public work sessions (City Councilors, Planning Commissioners, City staff, HAC members, etc.), to solicit input on guiding principles for affordable housing strategy and on goals for affordable housing strategy [NDS and/or Consultant]  Provide other opportunities for public input, such as community survey instruments [NDS and/or Consultant] DELIVERABLES [responsibility]:  Community Engagement Plan [Consultant] • Must include outreach plan and communications plan for follow-up information delivery to participants and all city residents  Community engagement materials [Consultant] • Materials/questionnaire for door-to-door outreach and peer-to-peer engagement • “Discussion in a box” (with meeting facilitation guide) to enable any citizens to meet on their own and provide input • Affordable housing best practices primer (to facilitate education and exploration of various housing approaches) • Zoning translation primer (to facilitate bridging this work with Comprehensive Plan outreach)  Report: Summary and analysis of all community outreach efforts [Consultant]  Report: Summary and analysis of guiding principles and goals input and discussion during all public work sessions [Consultant]  Draft list of housing strategy guiding principles for adoption by HAC, Planning Commission, and City Council [HAC]  Draft list of affordable housing goals for adoption by HAC, Planning Commission, and City Council [HAC] PROPOSED SCOPE: AFFORDABLE HOUSING STRATEGIC PLAN DEVELOPMENT | 09.07.18 4 DRAFTING OF THE AFFORDABLE HOUSING STRATEGIC PLAN TACTICS [managed by]:  Compile all assessment data, feedback data, work session feedback, adopted principles, adopted goals, and Comp Plan information [Consultant]  Map and follow an iterative process of feedback from and to stakeholders as per community engagement/communications plan [Consultant/NDS/City Communications office]  Present to Planning Commission and HAC for review and approval [Consultant/NDS] DELIVERABLES [responsibility]:  First draft of Charlottesville Affordable Housing Strategic Plan [Consultant]  Iterative drafts of Charlottesville Affordable Housing Strategic Plan [Consultant]  Final draft of Charlottesville Affordable Housing Strategic Plan [Consultant/NDS] ADOPTION OF THE AFFORDABLE HOUSING STRATEGIC PLAN TACTICS [managed by]:  Present final plan to City Council [NDS] DELIVERABLES [responsibility]:  Final Charlottesville Affordable Housing Strategic Plan, adopted by City Council [City Council] ___________________________________________________________________________________________________________________ Timeline Amongst the HAC, there is absolute alignment around the urgency to move forward quickly. However, there are mixed opinions about realistically achieving a balance between urgency and thoroughness with an overly aggressive timeline. These two alternative proposed timelines reflect this tension. Aggressive-Optimistic attempts to honor the timeline proposed by CLIHC. Aggressive-Skeptical reflects what many on the HAC believe to be more realistic. PROPOSED SCOPE: AFFORDABLE HOUSING STRATEGIC PLAN DEVELOPMENT | 09.07.18 5 Aggressive-Optimistic Aggressive-Skeptical Funding for consultant Sept. 16 Sept. 16 approved by Council RFP for consultant issued Sept. 17 (1 day) Sept. 17 (1 day) RFP responses due Oct. 9 (3 wks) Oct. 16 (4 wks) Consultant chosen + Oct. 22 (2 wks) Nov. 6 (3 wks) contract signed Consultant ramp up and Nov. 5 (2 wks) Nov. 19 (2 wks) beginning to work Community engagement + Jan. 7 (9 wks) Feb. 11 (12 wks) outreach completion Analysis of engagement Feb. 11 (5 wks) Apr. 8 (8 wks) outcomes + written first draft of Strategic Housing Plan Public outreach on first Mar. 4 (3 wks) May 6 (4 wks) draft of Strategic Housing Plan Final Strategic Housing Mar. 18 (2 wks) May 27 (3 wks) Plan PROPOSED SCOPE: AFFORDABLE HOUSING STRATEGIC PLAN DEVELOPMENT | 09.07.18 6 This page intentionally left blank