OPENING OF PUBLIC COMMENT PERIOD

NOTICE OF AMENDMENT TO FAIRFAX COUNTY CONSOLIDATED PLAN ANNUAL ACTION PLAN FOR FISCAL YEAR(FY) 2009 TO INCORPORATE FUNDING AND ACTIVITIES UNDER THE NEIGHBORHOOD STABILIZATION PROGRAM

October 31, 2008

TO ALL INTERESTED AGENCIES, GROUPS, AND PERSONS:

The purpose of this notice is to provide an opportunity for public comment on a proposed amendment to the Fairfax County Consolidated Plan One-Year Action Plan for FY 2009 to incorporate funding and activities under the new Neighborhood Stabilization Program (NSP) allocated under the federal Community Development Block Grant (CDBG). The NSP was established under Title III of Division B of the Housing and Economic Recovery Act of 2008.  NSP funds are resources provided by the U.S. Department of Housing and Urban Development (HUD) to be used for the purpose of assisting in the acquisition, rehabilitation, and redevelopment of abandoned and foreclosed homes. The provision of this opportunity for comment is in accordance with the County’s Citizen Participation Plan for substantive amendments to the Consolidated Plan. 

The Consolidated Plan is a requirement of HUD as a condition of receiving CDBG and other federal funding.  The Plan identifies Fairfax County’s overall needs for affordable and supportive housing, for homeless shelters and services, for community and economic development, and for building public and private partnerships.  The proposed program modifications utilizing NSP funds will have no adverse impact on any of the projects and activities already a part of the One-Year Action Plan for FY 2009.

PROPOSED CHANGES

Use of NSP Funds:

Fairfax County is expected to be awarded $2,807,300 under NSP federal allocation formula. On June 30, 2008 the Fairfax County Board of Supervisors approved a groundbreaking new foreclosure initiative. Fairfax County’s three pronged foreclosure initiative consists of the following:

• Assistance to homeowners in distress
• Assistance to first-time homebuyers purchasing foreclosed properties called the Silver Lining Initiative
• Neighborhood preservation efforts

The Silver Lining Initiative is the primary means by which the County proposes to implement the federal NSP funds; this program will be known as “Silver Lining Plus”.

Of the $2.8 million in NSP funds allocated to Fairfax County less 10 percent or ($280,730) allowed for administrative costs,

• $1,526,570 will be allocated for first-time homeownership shared equity loans to purchase foreclosed properties;
• $1,000,000 will be allocated for non-profits to acquire foreclosed properties for rental housing.

Silver Lining Plus funds made available to first-time homebuyers will be used for the purchase of foreclosed single family homes or townhouses, within the existing program model.  A shared equity loan to include closing costs for single family homes and townhomes will be available. In return, upon sale or transfer of the property, the greater of the principal and the interest or Fairfax County Redevelopment and Housing Authority’s (FCRHA’s) share of the equity will be returned to the FCRHA.

Silver Lining Plus funds provided to non-profits will be available through a rolling application process to acquire foreclosed properties for rental housing.  All households assisted under the non-profit portion of Silver Lining Plus must have incomes at or below 50% AMI.  Non-profits will be allowed to purchase foreclosed condominiums as well as, single family homes or townhouses. However, support of the District Supervisor will be needed to purchase more than one property in any single development, subdivision or neighborhood.
                                                                                                                                     

PUBLIC COMMENTS

Copies of the amendment will be available for review on Friday, October 31, online at http://www.fairfaxcounty.gov/rha and at the Citizen Information Desk located on the lobby level of the Fairfax County Government Center, 12000 Government Center Parkway, Fairfax, Virginia 22035.  Copies may be obtained at the Fairfax County Department of Housing and Community Development, 3700 Pender Drive, Suite 300, Fairfax, Virginia 22030 or 8350 Richmond Highway, Suite 527, Alexandria, Virginia, 22309.  All of the above mentioned locations are accessible to persons with disabilities.

For additional information or to write comments, citizens should please contact the Fairfax County Department of Housing and Community Development, Attention:  Kehinde Powell, Housing Community Developer, 3700 Pender Drive, Fairfax, Virginia 22030-6039 (Telephone: 703-246-5117, fax 703-246-5115, e-mail: kehinde.powell@fairfaxcounty.gov, TTY: 703-385-3578). Written comments should be received at the above Pender Drive building address or e-mail address by November 15, 2008.  At its regular meeting on November 17, 2008, the Board of Supervisors will take action on the proposed Plan amendment and use of NSP funds for submission to HUD by December 1, 2008.

Fairfax County is committed to a policy of nondiscrimination in all County programs, services and activities and will provide reasonable accommodations upon request. To request special accommodations call 703-246-5101 or TTY 703-385-3578. Please allow seven working days in advance of the event in order to make the necessary arrangements.