West Pasco Habitat for Humanity, Inc. - General Fund Loan to Assist in Acquiring Real Property Located on Leisure Lane and Van Doren Avenue in New Port Richey - $500,000.00

1:15:51Okay. Moving on to R nine. Hi, Marcy. Good afternoon.

1:15:56Good afternoon. Marcy Esperg, for the record, Director of Community Development. And we're here to bring the item requested by the board about town and country villas and their loan repayment. So next slide, please. By way of background, the Board of County Commissioners approved a $500,000 general fund loan to Habitat for the purchase of 42 lots in town and country villas. The

1:16:26loan is being paid back upon the sale of each home, and the total loan is due on 930-21, so about 14 months from now. To date, Habitat has purchased 45 lots, billed and sold five homes, and permitted another five homes. It is absolutely indisputable that there is an amazing uh revitalization happening in that community that is making a big difference,

1:16:57not only to the people that live in work in the area, but also uh with the police department and the sheriff's department, it it really is uh the the difference in the community is significant. Uh currently the loan balance that is still due to the county is four hundred and thirty one thousand dollars. Some almost $432,000. Next slide. So I was challenged with looking for funding to repay this loan.

1:17:27And within my scope of our department's budgets, I have both federal funds and state funds that I could look at. And in looking at the federal funds, there is a word called supplanting, and you cannot supplant state or local funds with federal funds, meaning you can't take the federal funds that have already been expended with state or local funds and use them. That's illegal. And then there's also the additional issues

1:17:57of this being in a flood zone. Then when I went to the state for the SHIP program, they said that they did not think that I could use the funds retroactively on a project that's already been started. So we could use the funds going forward. And on 6:30, you did approve $250,000 for new home. Going up in that area. So

1:18:28I do not have funding within the scope of our budget that would be eligible for repayment of the remainder of this loan. So next slide is the staff's recommendation is to extend the loan terms to allow time for infrastructure project and the remainder of the homes to be built. I would recommend probably a three-year extension and your direction to modify the loan terms.

1:19:00Are there questions?

1:19:02So I'm gonna pass it on to Commissioner Mariano first.

1:19:04Uh thank you, Marcy. I know it's been uh

1:19:07since you've been in the position trying to

1:19:10Come on, Tom.

1:19:14Uh to I I know you've been working real hard to try to find a way to help this program go and and your dedication's been awesome. Kathy, you as well trying to find ways to make this work. I know the Sheriff's Department's Uh and as the police department in Newport Rich been thrilled with What's going on out there and the residents are are thrilled. Um Because of the trickiness of this whole thing. I think the extension is well warranted Uh we've got big infrastructure things to come so that'll put them in a much better position and be in good shape to help us at that point. But I think this extension is a

1:19:44great idea. So thanks for getting us to this point. I move to approve.

1:19:48Yeah. So most with more discussion.

1:19:50And second with discussion. Um today uh we learned that forty one thousand dollars a year is coming to us from the New Port Richey uh C R A where they shrunk it down a little bit.

1:20:05Yeah.

1:20:05And I wondered if we might take that forty one and apply it to this until the loan is gone.

1:20:14Can we I mean, as you probably know I worked really hard behind the scenes on that. um to help get that done with that council. Um we haven't even had a discussion yet about where the county administrator wants to use those dollars because

1:20:32Yeah. So I think it's yeah. I I just don't yeah, I mean

1:20:39So libraries?

1:20:42Well, I mean

1:20:43Some fun.

1:20:45Add more revenue that was going to the general fund to support those general fund activities.

1:20:51All right. Well I I thought that was a good um three

1:20:53biggest example of

1:20:57Yeah. Mr. Chairman Mariano. Please. Commissioner Starkey I I love where you're going and what you and trying to help them and it's it's and w we're gonna we're gonna succeed with this project, no question about it. I think if we keep the flexibility, we'll keep general fund money to where it is right now, knowing we we could get paid on it. if we put the infrastructure in place, if we find other ways to help them out with other monies, I think it's gonna be a better way to go. This way we can put the general fund money to wherever we want to go later on. So I I I know what you're trying to do and I pr greatly, greatly appreciate it because you've been a a great great

1:21:27help down there. So I think we just kinda like go with it the way it is, we'll put the extension up, we'll find a way to help habitat thrive.

1:21:34All right. Because every time they build a house on there, it's tax dollars to the county. And it cleans up the neighborhood and um You know, it looks a lot better. It's not there yet. Um But I just wanna really Help move this project along any way we can. And I I I I'm all in support of helping these guys. So I see Commissioner Oakley has his hand

1:21:57up. Commissioner Oakley. Yes sir.

1:22:01I agree. I think I think all of us are on the same page as far as helping this group. And I think when we made this loan, we were helping this group. and helping the county at the same time redevelop this area. But I think they should live up to their part and pay this back through building those homes. I don't this is general fund money. This money came from our citizens in Pasco County and it needs to be paid back to our citizens of Pasco County. And if we can find other ways to help them, that's

1:22:31okay. But if you want to open that that door where This goes away without Being paid back like we agreed to do. Great. I'm sure this Pasco Habitat be more than happy to accept a five hundred thousand dollar loan if you're gonna forgive it. So I think we need to be careful on that. But I think the extension of this um possibly a a year extension for uh getting the infrastructure in place that'll help this area. and then another

1:23:01two years before um before we make it come due.

1:23:07That's that's just my suggestion.

1:23:11Thank you, Commissioner. I know Commissioner Weight is back. Did you have anything, sir? I think they have you unmuted now.

1:23:18Agree with commitment. Um we're we're good. I agree with agree with Pasha Mariano.

1:23:23Okay. You said you had something else, sir.

1:23:29Um I I appreciate that and we want to keep it that way. And I think if we do the three year time extension, it may take us a couple of years to get the infrastructure in place. Once they get going, we'll be able to help them out other ways too. And if you if you look at this agreement here. This was with the West Pasco Habitat It wasn't with Penellis and West Pasco. Uh when they lose thirty grand a house You know, Mike Sutton says, look, if I had to do this project, I'd stop this project. If I wasn't so involved in it, didn't see

1:23:59the benefits to it. It wouldn't which is not a good financial move for them. So he is counting on that help first down the road. I just think the straight three year extension, as Marcy's put out, is the wisest thing to do to give them time. We don't need to get the money back right away. Long as we know we're going to get it back, I think we give them the time to to make it happen as they as they go build like we have been doing now.

1:24:17Okay. So I have a motion on the floor by Commissioner Mariano, a second by Commissioner Starkey. Madam Clerk, please call the roll.

1:24:25District One, Commissioner Oakley.

1:24:27Aye.

1:24:28District three, Commissioner Starkey. Aye. District four, Commissioner Weightman Just a District 5, Commissioner Mariano.

1:24:35Aye.

1:24:35District 2, Chairman More.