Affordable Housing Trust Fund
NOTICE - Affordable Housing Trust Fund (AHTF)
Professional Services Request for Proposals: Community Land Trust Consultant
The Baltimore City Department of Housing & Community Development (“DHCD”) is issuing this Professional Services Request for Proposals (“RFP”) from qualified applicants interested in providing professional services and technical assistance to develop, fund, monitor, and support community land trusts as part of Baltimore City’s Affordable Housing Trust Fund. Key deliverables include but are not limited to:
- Assisting with the evaluation of the Department’s Notice of Funding Availability (“NOFA”) submissions and award recommendations;
- Drafting funding agreements to make Trust Funds available;
- Feasibility studies of proposed land trust financing;
- Reviewing ground leases, maintenance agreements, contracts of sales, internal compliance and
- monitoring platforms, and
- Overall evaluation and structuring of the Land Trust program.
CLICK HERE for requirements and schedule.
AHTF Commission Meetings
The next meeting of the Affordable Housing Trust Fund Commission is scheduled for Tuesday, June 23, 6-8 p.m. Additional information will be posted as soon as it is available.
AHTF - Notice of Funds Availability (NOFA)
Public comment has closed for the draft AHTF NOFA as it pertains to New Construction-Rental and the Preservation of Existing Rental. Comments were accepted for a period of three weeks, starting March 23, 2020 through April 13, 2020.
View Draft HERE.
AHTF Approved Spending Plan
DHCD met with leadership from the Fair Development Roundtable and with other stakeholders to reach a consensus on how to best allocate the available Trust funds. Those discussions led to the approval of several spending priorities.
CLICK HERE TO VIEW THE APPROVED PRIORITIES, as well as the rationale and guidelines for those priorities.
OVERVIEW OF THE AFFORDABLE HOUSING TRUST FUND
In November 2016, City voters approved a Charter Amendment to create the Affordable Housing Trust Fund. Article I, Section 14 of the City Charter establishes the Trust Fund, sources of revenue, administration and oversight, membership and roles and responsibilities of the Commission, income requirements, permitted uses and affordability periods.
The Fund is intended to support both rental and for-sale affordable housing for very-low and low-income households. The Trust Fund requires that all revenue be used to help those with incomes at or below 50 percent of the Area Median Income (AMI) as established by the Department of Housing and Urban Development (HUD) (approximately $46,000 for a household of four in 2018) and that at least half of the funds be used to help those with incomes at or below 30 percent of the Area Median Income (approximately $27,000) for a household of four in 2018.
City Council Bill 18-0221, Ordinance 18-215, Recordation and Transfer Taxes, “Yield” Excise Tax – Dedicated Proceeds to the Affordable Housing Trust Funds, was signed into law on December 12, 2018 and became effective in January 2019. The legislation provides a long-term source of funding through a .06 percent excise tax on the transfer of real property valued at or above $1 million and a 0.15 percent excise tax on the recordation tax for real property transactions value at or above $1 million. Approximately $13 million per year is expected to be generated through the proposed new excise taxes.
The City allocated additional funds to support the Trust Fund as follows:
|FY2023 and subsequent years||$7 million|
The Trust Fund will be administered by the City’s Department of Housing & Community Development (DHCD) and overseen by an advisory commission that includes representation from housing advocates, developers, financers and others with expertise in housing and community development. The Commission is charged with making recommendations to DHCD regarding policies, rules and regulations pertaining to the implementation, expenditures, and operation of the Fund.
AFFORDABLE HOUSING TRUST FUND COMMISSION
The Affordable Housing Trust Fund Commission is overseen by a 12-member commission whose membership is included in the Charter requirements:
- Experience in the fields of housing, community development, planning, social services or public health – member is specified as appointed by the Mayor
- Member of the lending community with experience in community development and affordable housing finance
- HCD Commissioner or Designee
- Resident who rents and is at 30 percent or less of AMI
- Resident homeowner and is at 50 percent of less of AMI
- Homeowner who received assistance through an affordable housing homeownership program
- Social Service provider
- Representative of Homeless Service Board
- Low income/fair housing advocate
- Nonprofit affordable housing developer
- Homerbuilders or realtor association
Commission members who represent specific income classifications are required to be City residents.
Commission members are appointed by the Mayor and confirmed by the City Council. Members are appointed to service until December 2020, concurrent with the term of the Mayor. The Mayor appoints a President of the Commission. Commission members are subject to the City’s terms and requirements for all Boards and Commissions, which can be found in Article IV, Section 6 of the City’s Charter.
The Affordable Housing Trust Commission is subject to the requirements of the Maryland Open Meetings Act which requires that meetings be open and accessible to the public, that meetings be advertised, and that agendas along with the minutes from those meetings also be available to the public. The Act also requires that the Commission designate one member who receives training in the Open Meetings Act requirements and ensures that the Commission is in compliance.
Commission meetings are open to the public, however, there is no legal requirement that the public be permitted to participate in meetings. DHCD will publish a meeting notification on its website and in public places of each meeting of the Affordable Housing Trust Fund Commission that includes the date, time, and location along with an agenda. The agenda could include items that may be considered as part of a closed session that would not be open to the public.
DHCD will make minutes available on its website, following approval by the Commission.