Item4b_CDC_PC ADCAP_041122 — original pdf

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HOUSING & PLANNING DEPARTMENT Project Connect $300 Million Anti-Displacement Funding Contract with Voters: $300 Million Anti-Displacement Investments •When voters approved Project Connect in November 2020, Proposition A included $300 million for anti-displacement work. •Project Connect Anti-Displacement funding is designed to help prevent the displacement of people due to rising costs that may result from transit-oriented development. •The goal of the anti-displacement investments is to create long-term impact with a focus on creating affordable housing units and asset-building opportunities that enhance people's economic mobility and prevent displacement. BE IT FURTHER RESOLVED: The City Manager is directed to include in the Joint Powers Agreement with Austin Transit Partnership and Capital Metro, a provision to provide a total of $300,000,000 of the Project Connect Tax Revenue, in accordance with the Implementation Sequence Plan as shown in Exhibit A, to Austin Transit Partnership for the purpose of (1) acquiring real property, and (2) financing tools and other anti-displacement strategies related to the implementation of Project Connect. The following two Be It Resolved clauses provide direction for the expenditure of these funds. 2 Utilizing the Equity Tool & Report Key components of the Nothing about Us Without Us Report & Tool will guide the use of anti-displacement funding: • Priority Places: Investments will be made in displacement risk areas within 1 mile of a Project Connect stations and lines. • Priority Purposes: Investments will advance at least one Affordable housing priority purpose. • • BIPOC-owned businesses • Minimize immediate BIPOC resident displacement • High-quality jobs • Cultural anchors • • Community power and capacity • Strengthen tenant and homeowner rights Anti-Displacement Tool maps and dashboard: Investments will be informed by data on neighborhood conditions. Application and scoring criteria: The Tool will shape the scoring criteria for the Community-Initiated Solutions. Land bank • • 3 Geographic Focus 4 Investment Strategy The Investment Strategy is not one single thing, but it is a series of informative steps, processes, research and data that informs how we focus the investments. Who? Demographic Focus – Persons identified by the Uprooted Report as Vulnerable to Displacement Where? Geographic Focus – Within 1 mile of a Project Connect station and lines and living within an area that is experiencing Active, Chronic or Vulnerable displacement risk. What? Protect, Preserve, Produce When? Timing – is a crucial consideration as to what investments should be made and when. How? Establishing Equitable Processes – Centering community voices and elevating their priorities, purposes, places. Who? How? Where? When? What? 5 Anti-Displacement Fund Budget – Years 1 & 2 $265,000 Community Engagement & Outreach $20,000,000 Community Initiated Solutions $ 65 Million $735,000 Staffing $23,000,000 AHFC Land Acquisition $21,000,000 Land Development (RHDA/OHDA) 6 Anti-Displacement Community Acquisition Program (ADCAP) Overview • Zero percent interest loans available on a rolling basis to 501c3 non-profits with affordable housing experience, to acquire property for the preservation or development of affordable housing Funds restricted for use within one-mile of proposed Project Connect bus and rail lines in areas vulnerable to displacement Funded at $8m for Fiscal Year 2021 - 2022 Updates Launched at the end of 2021 First award approved by Austin Housing Finance Corporation (AHFC) Board on March 24, 2022 Future plans • Housing and Planning Department (HPD) and AHFC are currently considering programmatic and policy recommendations made by the Project Connect Community Advisory Committee (CAC) HPD/AHFC anticipate promoting this Program to community-based organizations, including providing technical assistance as part of a larger affirmative marketing campaign intended to inform and provide support for potential applicants of all Project Connect Anti-Displacement funding opportunities • • • • • $23,000,000 AHFC Land Acquisition 7 Multifamily Housing Preservation Overview • Updates • • Future plans • • AHFC has reserved $15m of the initial $23m of Project Connect funds for the acquisition of existing multifamily housing in areas vulnerable to displacement within one-mile of proposed Project Connect bus and rail lines Goal to preserve existing affordable housing to prevent substantial rent increases and displacement of low-income households • Actively pursuing four developments in North, East, and South Austin Anticipate AHFC contracting to purchase first multifamily development within the next month Continue to aggressively pursue acquisition opportunities Housing and Planning Department (HPD) and AHFC are currently considering programmatic and policy recommendations made by the Project Connect Community Advisory Committee (CAC) and how they may be addressed through this business activity 8 Next Steps: Expanding Participation in the ADCAP • We will host round tables for community-based organizations and non-profit developers. • This is an opportunity to share information about the program and • This is an opportunity to for staff to understand barriers to the application the application process. process. • This is an opportunity for applicants to receive technical assistance. • We have launched a proposal to provide capacity building for small developers, to include nonprofit and for-profit developers. • We anticipate the launch of this program in FY22/23 • Broader Community Engagement 9 Thank You! Mandy DeMayo - Deputy Director Nefertitti Jackmon – Community Displacement Prevention Officer 10