[PPT] - HCDS FY19 -24 CAPITAL BUDGET REQUEST AGENCY OVERVIEW Established in PowerPoint Presentation

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A CITY FOR EVERYONE: HCD’S FY19-24 CAPITAL BUDGET REQUEST

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AGENCY OVERVIEW

Established in 1968 to consolidate

local community development efforts with housing and building code enforcement.

$117M total annual budget:
5 divisions

– Community Services – Green Healthy & Sustainable Homes – Land Resources – Permits & Code Enforcement – Research & Compliance

MISSION: Improve the quality of life for all of Baltimore City residents by revitalizing and redeveloping communities and ensuring access to adequate and affordable housing opportunities in safe, livable and decent neighborhoods

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WHAT’S NEW AT HCD

Baltimore Housing is dissolved
HCD and Housing Authority are 2 separate agencies, no longer
perating under a common umbrella with shared services
Expect transition to be complete by end of Fiscal Year 2018

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GOALS

1. Create and Maintain Affordable Housing
2. Eliminate Blight
3. Support Neighborhood-Led Revitalization
4. Carry Out Major Redevelopment

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FUNDING REQUEST

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GOAL 1: CREATE AND MAINTAIN AFFORDABLE HOUSING

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HCD AFFORDABLE HOUSING COMPONENTS

Rental (New Construction & Substantial Rehab)
Homeownership (CDBG)
Preservation

– Blight Prevention – Aging in Place

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RENTAL: NEW CONSTRUCTION & SUBSTANTIAL REHAB

WHAT WE DO

Provide financial and technical support

for projects that provide:

– Significant, community-wide investment and redevelopment – Support mixed-income housing – Enhance neighborhood retail – Create new open space – Strengthen the tax base.

ACCOMPLISHMENTS

FY13-16 Investment

– $13M HOME Funds invested by the City – 695 affordable rental units produced (0-60% AMI) – $162M total value

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METRO HEIGHTS AT MONDAWMIN

70 Units
Across from Mondawmin

Mall

TOD
$19M total investment
$1.25M in HOME Funds
Opening in 2018

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CRITICAL RENTAL DEVELOPMENT & FINANCING ISSUES

Ongoing reduction of federal funds
Federal Site & Neighborhood Standards

– Difficult to develop in areas where investment is most needed

Operating support for nonprofit developers

– Based on Project-by-Project

State DHCD Conciliation Agreement

– Limits 9% Low Income Housing Tax Credits to “Communities of Opportunity” – Excludes majority of the City – Alternate funding sources create significant funding gaps

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HOMEOWNERSHIP & PRESERVATION

HOMEOWNERSHIP

Helped 282 low income families become

homeowners in FY2017

One of most critical uses of CDBG Funds
Income cannot exceed 60% of Area

Median Income

$54,650 for a household of four

PRESERVATION

Keeps low-income homeowners in their

homes through a combination of grants and loans

– Prevents homelessness & tax-sale foreclosure – Increases housing values & equity

3 Programs:

– Energy Conservation – Lead Hazard Reduction – Housing Rehabilitation

275 homeowners helped in FY17 through

Housing Rehabilitation program

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FY19-24 AFFORDABLE HOUSING REQUEST

$62.9M Total Request

$15.4M to finance affordable rental housing
$6M to help low income families become homeowners
$19.5M to preserve existing owner-occupied housing
$22M to support the Affordable Housing Program Bond

– $10M in FY20-21 - represents a $4M increase and demonstrates additional commitment by the Mayor

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Program Name FY19 FY20 FY21 FY22 FY23 FY24 TOTAL CDBG Homeownership 1,000 $ 1,000 $ 1,000 $ 1,000 $ 1,000 $ 1,000 $ 6,000 $ Housing Repair Assistance 3,250 $ 3,250 $ 3,250 $ 3,250 $ 3,250 $ 3,250 $ 19,500 $ Affordable Housing Fund 3,000 $ 5,000 $ 5,000 $ 3,000 $ 3,000 $ 3,000 $ 22,000 $ Home - Federal 2,600 $ 2,600 $ 2,600 $ 2,600 $ 2,500 $ 2,500 $ 15,400 $ TOTAL 9,850 $ 11,850 $ 11,850 $ 9,850 $ 9,750 $ 9,750 $ 62,900 $

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GOAL 2: ELIMINATE BLIGHT

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BLIGHT ELIMINATION: DEFINITION & COMPONENTS

Eliminating vacant properties through a combination of measures based on specific neighborhood market conditions to encourage whole-block outcomes. Blight Elimination includes:

Rehab
Acquisition
Tax Sale Foreclosure
Demolition

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CITYWIDE ACQUISITION & DISPOSITION

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Last 2 fiscal years

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ACQUISITION, DISPOSITION & REHAB

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DEMOLITION & REHAB

Emergency, constituent-driven and strategic whole block
Also includes greening and deconstruction
10 year, $100M commitment

– Started in FY2010 – Ends in FY2023

Since 2010

2,700 vacant buildings demolished
4,200 vacant buildings rehabbed

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VACANT HOUSING DEMO/REHAB LOCATIONS

Last 2 Fiscal Years

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DECONSTRUCTION

Nationally recognized best practice
32 full time jobs
Over 300 buildings
1.2M bricks & over 300,000 board feet preserved for re-use

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PROJECT C.O.R.E.

$75M over 4 years

– $7M per year for City demolition – – Approximately 1,162 units demolished

$10-$15M provided through a competitive application directly to

nonprofit community development organizations to promote redevelopment

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FY19-24 BLIGHT ELIMINATION REQUEST

$92.59M TOTAL REQUEST

$45.77M to support strategic whole block demolition
$18M in State reimbursement for Project C.O.R.E. activities
$12.3M to support constituent-driven demolition

21 Program Name FY19 FY20 FY21 FY22 FY23 FY24 TOTAL Citywide Acquisition/Relocation 600 $ 350 $ 900 $ 350 $ 350 $ 350 $ 2,900 $ Stabilization 500 $ 600 $ 900 $ 350 $ 350 $ 350 $ 3,050 $ CORE - Whole/Half block Demolition 3,000 $ 3,000 $ 3,000 $ 3,000 $ 3,000 $ 3,000 $ 18,000 $ Urban Agriculture

$
$

80 $

$

80 $

$

160 $ Asset Management - security 50 $ 50 $ 50 $ 50 $ 50 $ 50 $ 300 $ Emergency Stabilization 750 $ 1,000 $ 1,000 $ 1,000 $ 1,000 $ 1,000 $ 5,750 $ Planned Demolition 2,050 $ 2,050 $ 2,050 $ 2,050 $ 2,050 $ 2,050 $ 12,300 $ Emergency Demolition 1,000 $ 1,000 $ 1,000 $ 1,005 $ 350 $

$

4,355 $ Whole Block Demolition 6,380 $ 7,075 $ 8,000 $ 7,000 $ 8,445 $ 8,875 $ 45,775 $ TOTAL 14,330 $ 15,125 $ 16,980 $ 14,805 $ 15,675 $ 15,675 $ 92,590 $

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GOAL 3: SUPPORT NEIGHBORHOOD-LED REVITALIZATION

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NEIGHBORHOOD REVITALIZATION

Financial assistance to support neighborhood groups and community associations, build value and reverse decline Neighborhood Revitalization Includes:

Strategic Acquisition
Healthy Neighborhoods
Neighborhood Building & Market Support

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STRATEGIC ACQUISITION, CONSOLIDATION, DISPOSITION & ASSET MANAGEMENT

Support neighborhood -based development initiatives
Create regionally competitive housing
Foster business development
Enhance environmental sustainability

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STATION EAST

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HEALTHY NEIGHBORHOODS

Established in 2004
One of City’s most successful efforts

to build and retain housing values

Active in 40 neighborhoods across the

City

Provide:

– Organizing and marketing assistance

– Low interest mortgages – Forgivable matching grants – Capital projects to increase curb appeal

Improved over 500 homes
Rehabbed & sold close to 200 vacant

properties

Invested close to $1.6M in

neighborhood infrastructure

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HEALTHY NEIGHBORHOODS: PROJECT EXAMPLES

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2300 Block Callow Avenue: Before & After Block Projects

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NEIGHBORHOOD BUILDING & MARKET SUPPORT

Grants or loans
Flexible uses:

– Residential, commercial, open space – Acquisition, incentives, subsidy, preserve affordability

Competitive Awards
Public announcement & launch

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FY19-24 NEIGHBORHOOD REVITALIZATION REQUEST

$15.8M new Neighborhood Market Building program
$16.96M to support homeownership
$5.75M to strengthen Middle Markets neighborhoods through Healthy Neighborhoods
$4.82M to support citywide strategic development

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$46.25M TOTAL REQUEST

Program Name FY19 FY20 FY21 FY22 FY23 FY24 TOTAL Healthy Neighborhoods 750 $ 1,000 $ 1,000 $ 1,000 $ 1,000 $ 1,000 $ 5,750 $ Joint Strategic Acquisition Fund 125 $ 125 $ Neighborhood Building & Market Support 3,000 $ 3,000 $ 3,000 $ 3,000 $ 3,000 $ 3,000 $ 18,000 $ Tax Sale Acquisition 50 $ 50 $ 50 $ 50 $ 50 $ 50 $ 300 $ Ground Rent Acquisition 50 $ 50 $ 50 $ 50 $ 50 $ 50 $ 300 $ CHM

$

500 $ 500 $ Upton Future Assembly 420 $ 420 $ 800 Block Edmondson Ave 1,000 $ 1,000 $ 2,000 $ Strategic Acquisition 350 $ 750 $ 750 $ 750 $ 750 $ 750 $ 4,100 $ B-Hip 2,500 $ 2,500 $ 2,960 $ 3,000 $ 3,000 $ 3,000 $ 16,960 $ TOTAL 8,245 $ 8,850 $ 7,810 $ 7,850 $ 7,850 $ 7,850 $ 48,455 $

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GOAL 4: CARRY OUT MAJOR REDEVELOPMENT

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MAJOR REDEVELOPMENT

Use public funds to leverage private investment to build market, increase the tax base and accomplish transformative initiatives that generate millions of dollars in investment and attract new residents to the City.

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UPLANDS

OVERVIEW

$273M Total Investment
761 Total Units (60 acres)

2 Rental Phases (208 units) 5 Homeownership Phases

245 Affordable For-Sale (80% or less of

AMI)

308 Market Rate For-Sale

ACCOMPLISHMENTS

282 Complete
104 Rental

90 Affordable 60 Returning Residents

178 For-Sale

166 sold

Starting prices: $195,000 -$230,000 Current prices: $200-$245,000

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POPPLETON

13.8 Acres
Over 500 Vacant & Blighted

properties

$460M Investment
1,600 Mixed-Income housing

Units

52,000SF Commercial/Retail
4,000 New Residents
2,500 Temporary Jobs
$8.4M Taxes

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PHASE 1

Under Construction
262 Rental Units
52 Affordable – 50% or

less of AMI ($45,550 for family of 4)

17,500SF retail
Opening in January 2019
Builds on Strength:

– $240M Biopark investment – 800 jobs

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FY19-24 MAJOR REDEVELOPMENT REQUEST

$44.3M

$2.5M to support Choice Neighborhoods area
$35.15 to support infrastructure at O’Donnell Heights, Uplands and in EBDI
$4.6M to complete acquisition, relocation & demolition in Poppleton

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Program Name FY19 FY20 FY21 FY22 FY23 FY24 TOTAL EBDI 2,500 $ 2,500 $ 5,000 $ 5,000 $ 5,000 $ 5,000 $ 25,000 $ HABC Demolition 250 $

$
$
$
$
$

250 $ Southeast Baltimore Redevelopment

$

500 $ 500 $ 500 $ 500 $ 500 $ 2,500 $ ODH infrastructure

$
$
$

2,000 $ 2,000 $ 2,000 $ 6,000 $ Park Heights Redevelopment 1,800 $ 1,800 $ Uplands Infrastructure 2,900 $ 150 $ 335 $ 770 $ 4,155 $ Poppleton: acquisition/relocation/demolition 2,200 $ 2,200 $ 200 $

$
$
$

4,600 $ TOTAL 9,650 $ 5,350 $ 6,035 $ 8,270 $ 7,500 $ 7,500 $ 44,305 $