A Workforce Community Partnership

PROJECT OUTLINE
A WORKFORCE COMMUNITY PARTNERSHIP 195 DIVISION STREET
Objective - a collaborative effort to transform a vacant, once tax-delinquent property into an improved firsttime workforce-family homeowner opportunity Partners / Missions City of Saratoga Springs (City) The City of Saratoga Springs Consolidated Plans - 1995, 2000, 2005, 2010 In each of these plans, increasing the availability of affordable housing is identified as the highest priority community development need. The Saratoga Springs Comprehensive Plan adopted 1999, amended 2001 The Citys Comprehensive Plan contains a Housing policy area to promote and enhance the Citys diversity of housing options with the following proposed actions: Encourage a range of residential opportunities available to all residents to promote the social and economic diversity vital to a balanced community. Encourage new housing development to reflect the human scale, historical context and design characteristics consistent with traditional Saratoga neighborhoods. Promote the upgrading, infill and preservation of existing housing and neighborhoods particularly those areas of predominantly low and moderate income. Support collaborative efforts to develop additional affordable housing. Reconstruct and rehabilitate existing housing to revitalize neighborhoods, maintain affordability, and reintroduce decent affordable units into the Citys housing stock. Make greater use of City-owned and acquired properties for affordable housing. Saratoga Builders Association (SBA Barry Potoker) The Saratoga Builders Association is a 501(c)6 nonprofit organization. The Saratoga Builders Association, Inc. represents an industry basic to the well-being and economy of the people in Saratoga County. The SBA is committed to the continued growth, prosperity and quality of life in Saratoga County. Habitat for Humanity of Northern Saratoga, Warren & Washington Counties (Habitat Tammy DiCara, Deirdre OCallaghan, Carol Norton) Habitat for Humanity is a 501(c)3 nonprofit organization. Through the help of volunteers and donations, Habitat works to provide affordable housing for less fortunate families in need. To make this possible, Habitat invites individuals from all backgrounds, races and religions to build houses for families who are in need. Habitat has successfully completed the construction of 21 single-family homes in the Region. Rebuilding Together Saratoga County (RTSC Michelle Larkin) Rebuilding Together Saratoga County is a volunteer driven, registered 501(c)3 non-profit organization that brings communities and volunteers together to improve the lives of homeowners in need. 1

Community Benefits Returns tax-delinquent property to City/School tax roles Ensures improvement of currently vacant lot and increases real property value to City Accomplishes urban residential in-fill Property & location suited for modest home; close to schools, recreation fields and services Furthers City housing objectives with modest investment and resources Establishes pilot project for possible future endeavors Accomplishes positive public and community impact Showcases collaborative effort between City Government, Habitat for Humanity, the Saratoga Builders Assoc., Rebuilding Together Saratoga County and community volunteers toward a common goal Design Habitat has access to successful, previously constructed architectural plans. SBA will reach out to local architects to modify, as needed, for a local, context-sensitive design. Construction Project Management: Project oversight by Habitat for Humanity Construction management to be secured by Habitat; assistance by SBA Coordination of volunteers by RTSC The Saratoga Builders Assoc. will appeal to its membership towards the goal of covering 50% of the project costs (labor, materials, etc.). Habitat will be responsible for the remaining 50% with hard costs to be included in purchase price. Labor: Habitat to contract for skilled labor services, as necessary. SBA to seek donation of skilled labor services. RTSC to coordinate with City, SBA and Habitat for scheduling of community volunteer events. Materials: Habitat to purchase construction materials, as necessary. SBA to seek donation/favorable pricing of materials. Family Selection Habitat for Humanity will select a qualified purchaser: The Habitat family selection committee chooses homeowners based on their level of need, their willingness to become partners in the program and their ability to repay the loan. Habitat is pledged to the letter and spirit of U.S. policy for the achievement of equal housing opportunity throughout the nation. Habitat encourages and supports an affirmative advertising, marketing and family selection program in which there are no barriers to obtaining housing because of race, color, religion, sex, handicap, familial status or national origin.

Criteria: - Documentation of City Residency - First-time homebuyer family - Owner Occupancy: The family selected to purchase this property shall personally occupy the house as the primary residence. - Sweat Equity: Consistent with Habitat practices, the selected applicant shall devote a minimum of 400 hours in sweat equity including 125 hours prior to the build and 200 hours at the build site. - The family agrees to participate in counseling sessions focused on home maintenance and financial management. Ability to Pay - Credit Worthiness: The applicant shall have a demonstrated history of making payments on time, and a credit history free of liens and judgments that would prohibit their ability to sign a mortgage. - The selected family must have a reliable source of income and documentation of having been employed in the same job for at least 1 year. - Income Eligibility : This opportunity is targeted for families earning a gross annual household income between 40% and 60% of the Federal Median Income Levels for this area. At this time, this represents an income range of $30,800 to $46,200. Gross annual household income includes, but is not limited to, income from the following sources for all persons residing in the dwelling: - Gross income (before any payroll deductions), overtime pay, commissions, fees, tips and bonuses and other compensation for personal services. - The net income from operation of a business or profession or from rental of real or personal property. Line 22 of the applicants personal Income Tax Return (1040) may serve as evidence of net income for the self-employed. - Interest, dividends, net income from real or personal property, and asset income. If total assets exceed $5,000, the greater figure of asset income or a percentage (based on the current HUD passbook savings rate) of total assets will be used. - Social security, annuities, insurance policies, retirement funds, pensions, disability or death benefits, and other similar types of periodic receipts. - Payments in lieu of earnings such as unemployment and disability compensation, public assistance, workers compensation, and severance pay. - Periodic and determinable allowances such as alimony, child support and regular contributions from organizations for persons outside the dwelling. - All regular pay, special pay, and allowances of a member of the Armed Forces (whether or not living in the dwelling) who is either a head of a family or a spouse. - Lump sum additions to family assets such as inheritances, insurance payments (including payments under health and accident insurance and workers compensation), capital gains and settlements for personal or property losses will be considered on a case by case basis.

The following sources shall not be considered income and will not be used to determine eligibility: - Casual, sporadic or irregular gifts. - Amounts which are specifically for, or in reimbursement of, the cost of medical expenses. - Amounts of educational scholarships paid directly to student or educational institution and amounts paid by the Government to a veteran for use in meeting the costs of tuition, fees, books, and equipment. NOTE: Any amounts, scholarships, or payments to veterans not used for the above purposes or which are available for subsistence are to be included in income. - Special pay to a serviceman head of a family away from home and exposed to hostile fire. - Foster childcare payments or food stamp coupon allotments more than the amount charged. - Relocation payments, or payments received to participate in national volunteer programs. - Child support and SSI for minor children Property Transfer and Sale - The property would be transferred to Habitat prior to the construction. HFH would own the property during construction and then would sell it to the homeowner. Habitat's insurance will cover liability during the construction. - First-time homebuyer sale price to be based on appraisal of improved property. Financing Habitat provides the financing mechanism for the purchase of this newly constructed house. Time Frame Family selection advertising and outreach to begin immediately upon City Council authorization. Architectural/design work to begin upon authorization. Site work to begin in Summer 2013; anticipated completion by Spring 2014. Phase Two 26 Cherry Street Details to follow.

CHARACTERISTICS OF A BUYER-READY HABITAT FAMILY

Criterion 1 NEED It must be true that The family does not qualify for homeownership through conventional financing or any other special purpose loan program; The familys annual income is not more than 60% of the median income for their geographical area; AND at least one of the following need-related factors must also be true: The family is extremely cost burdened (defined as spending 50% or more of their income for housing) and does not have the down payment for a home; The family is not currently cost burdened as defined above only because they are receiving temporary, non-sustainable financial support; Their current housing has defective physical conditions Their current housing is overcrowded; The family is living in temporary housing about which one or more of the following statements is true: o The family is in a tentative living arrangement with relatives or friends o The family is living in a transitional housing facility or motel o The family is living in housing that is being condemned, sold or moved o The family is losing its lease, certificate or voucher due to uncontrollable circumstances o The family is living in a car, tent or similar quasi-homeless situation Criterion 2 ABILITY TO PAY It must be true that The family has a reliable source of income; The familys annual income is not less than 30% (we use 40%) of the annual median income for their geographical area (refer to the Quality Assurance Checklist); The familys income is adequate to make the monthly principal, tax and insurance payments while also meeting their other debt and living expenses. For Habitat, this is defined as debt that does not exceed 40% of their income (we use 38%) The family has a credit history free of liens and judgments that would prohibit their ability to sign a mortgage and they have a demonstrated history of making payments on time. Criterion 3 WILLINGNESS TO PARTNER It must be true that The family is committed to being a full partner in the construction of their home; The family understands Habitats sweat equity requirement and is willing to fulfill it; The family agrees to participate in counseling sessions focused on home maintenance and financial management.

Board of Directors
Dave Blair
BOARD VICE PRESIDENT W.M. Schultz and Co.

Board of Directors
including Committee Chair Positions

Board of Directors
Jesse Boucher
PRESIDENT Kodiak Construction, Inc.

Deirdre OCallaghan
President

Jesse Boucher
Kodiak Construction

Carol Norton
Treasurer

Tony Verhaeg
IMMEDIATE PAST PRESIDENT Verhaeg Building & Remodeling

Karen Carling
Aztech Technologies

Keith Bohling
Secretary

Matt Coseo
Saratoga County District Attorney

Alec Stephens
1st VICE PRESIDENT SAS Builders LLC

Kristin Kesnowski
Past President

Jacqui Harris
Saratoga Hospital

Doug Ford
2nd VICE PRESIDENT Curtis Lumber Co., Inc.

Ed Larkin
Chazen Companies

Tammy DiCara
Community Outreach

Jason Lee
Home Instead Senior Care

Mark Johnson Matthew Abrams

Construction SECRETARY Boise Cascade

Paula Lomasney
BOARD PRESIDENT Information Technology

Maryann Faller
Family Selection

Jeff Pietrosanto
TREASURER Pietrosanto Insurance Agency

Barbara Mitchell
FingerPaint Marketing

Antoinette Jackson
Family Partnership

David Carroll
GENERAL COUNSEL Northeast Government Consulting, LLC

Lisa Mitzen
Paragon Home Loans

Carol Norton
Finance

Ellen Skeele
Business development Manager

Sonny Bonacio
Bonacio Construction, Inc.

Michael Tuck
BOARD SECRETARY Balzer & Tuck Architecture

Amy Blaszkow
Fundraising

David DePaulo
Bella Homes

Deb VanDeMar
SEFCU

Deirdre OCallaghan
Site Selection

Frank Sirocco
Security Supply Corp.

Paul von Schenk

BOARD TREASURER Adirondack Trust Insurance

Lauren Snow
Volunteer Coordinator

Doug Winters
Spa City Builders

STAFF
Michelle Larkin
Executive Director

Courtney Shaler Smith

Executive Director

John Witt
Witt Construction, Inc.

Barry Potoker
EXECUTIVE DIRECTOR

Marian Bigelow
Administrative Assistant

Jeff McLellan
Volunteer Project Manager