TO: Mayor and Members of City Council
THRU: Kelly Olivera, Assistant City Manager
FROM: Christopher Cauley, MPA, Director of Economic and Community Development
Jeffrey Morin, Housing Program Manager
DATE: May 6, 2024
RE:
Title
Down Payment Assistance Program Expansion - Homebuying HERO
end
COUNCIL DISTRICT(S):
Council District(s)
All
b
Relationship To Strategic Plan:
GOAL IV: The City of Fayetteville will be a highly desirable place to live, work and recreate.
* 4.5: To ensure a place for people to live in great neighborhoods
* 4.6: To reduce poverty and homelessness
Executive Summary:
At the March 4, 2024 City Council Work Session, City Council directed staff to explore opportunities to expand the City's downpayment assistance programs to all local government employees. Staff has conducted a legal analysis, funding requirements, and benchmarked peer cities. City Council is asked to consider the presentation on downpayment assistance and give consensus direction to staff based on recommendations.
Background:
City Council has made great strides in recent years to provide resources to residents aimed at making First Time Homeownership a reality. In 2020 City Council implemented a "Good Neighbor" program to incentivize Law enforcement recruitment and retention by providing $20,000 in financial assistance to purchase a home within one of the City's target redevelopment areas. In 2021, City Council authorized funding for and subsequently approved the City's first affordable housing study. This study recommended 14 key strategies to address housing affordability that were adopted by City Council. In 2022, after 12 years without a downpayment program, the City re-established a grant funded program for households under 80% of the Area Median Income (AMI). In that same year, the Good Neighbor program was increased to $30,000 and expanded to all employees in all areas of the City. The Economic and Community Development Department was able to hi...
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