The City of Gainesville is making $7.2 million in American Rescue Plan Act (ARPA) funding available to help lower-income neighbors rent or buy affordable homes. In order to receive the funding, developers must commit to build subsidized homes or apartments for families with incomes at or below 65% of the city’s area median income (AMI) for new rental units and at 300% of the Gainesville federal poverty level for for-sale units.
The ARPA for the Development of Affordable Housing Program provides financial support to developers to build new affordable housing. Before applying, please read this entire section of the website. You may also view this same information at the links below. If you have any questions, please contact John Wachtel at 352-393-8565 or at wachteljs@gainesvillefl.gov.
Total Funding Available: $7.2 million ($6 million for rental development, and $1.2 million for new construction for first time homebuyers).
- Affordable housing developers must apply via email. Initial window to apply will be three or four weeks. The window to apply can be “re-opened” if funds are available.
- Staff develops and publishes a Notice Of Funding Availability (NOFA).
- Staff will use existing email distribution lists and coordination with the Builders Association of North Central Florida to develop a new email distribution list of affordable housing developers. Staff will send the NOFA to addresses on that list.
- Staff will post the NOFA on DemandStar, the city’s website, and the city’s social media sites.
- Staff will develop an application form and a PowerPoint template for applicants to complete and submit.
- Staff will develop evaluation criteria and a 100 point scale.
- Applications will be vetted and summarized by staff, then distributed to the Affordable Housing Advisory Committee (AHAC). AHAC will discuss and evaluate the applications using the 100 point scale. AHAC will then make a recommendation to the City Commission. The AHAC evaluation and recommendation will be based solely on the application. Applicants will not give presentations to, or answer questions from, AHAC. The AHAC may recommend that a project be funded at a level less than or equal to, but not more than, the amount requested, the amount available, and the maximum funding per unit.
- A Staff Evaluation Committee (SEC) will discuss and evaluate the applications using the 100 point scale. The SEC will determine whether or not it wants any of the applicants to present their projects to the SEC. Ultimately, the SEC will make funding recommendations to the City Commission, which will make the final funding determination. In the agenda item to the City Commission, the SEC will give both their own recommendation, and the AHAC recommendation. The SEC may recommend that a project be funded at a level less than or equal to, but not more than, the amount requested, the amount available, and the maximum funding per unit.
When the AHAC and SEC recommendation is forwarded to the City Commission for final determination, the City Commission will determine whether or not they want the applicants to make a presentation.
If an application is approved by the City Commission, the city and the developer will enter into a grant agreement where the city reimburses the developer for part of the cost of each affordable unit. Before being reimbursed, the developer must send an invoice and back-up to the City; then the city will pay the invoice via electronic funds transfer (EFT).
Beginning 24 months after the execution of the grant agreement, the city will have the option of re-allocating any funds that remain unspent.
Development of New Rental Housing
Funding allocated: $6 million
Minimum affordability period: 20 years
Maximum funding per affordable unit: $35,000
Maximum income of beneficiaries: 65% area median income (AMI)
Other requirements: Specific terms ensured through a grant agreement and a declaration of covenants and restrictions that are executed by both the applicant and city. Developing these documents will require the ARPA consultant and several city departments to coordinate. This will probably include HCD, Finance, Purchasing and the City Attorney’s Office.
Development of New Owner-Occupied Housing
Funding allocated: $1.2 million
Minimum affordability period: 20 years
Maximum funding per affordable unit: $50,000
Maximum income of beneficiaries: 300% Federal Poverty Level (FPL)
Other requirements: Specific terms ensured through a grant agreement and a declaration of covenants and restrictions that are executed by both the applicant and city. Developing these documents will require the ARPA Consultant and several city departments to coordinate. This will probably include HCD, Finance, Purchasing and the City Attorney’s Office.
The maximum income limits are 65% area median income (AMI) limits with 300% Federal Poverty Level (FPL) limits
| 65% AMI limits |
|
300% FPL limits |
| 1 |
$33,345 |
|
1 |
$38,640 |
| 2 |
$38,090 |
|
2 |
$52,260 |
| 3 |
$42,835 |
|
3 |
$65,880 |
| 4 |
$47,580 |
|
4 |
$79,500 |
| 5 |
$51,415 |
|
5 |
$93,120 |
| 6 |
$55,250 |
|
6 |
$106,740 |
| 7 |
$59,020 |
|
7 |
$120,360 |
| 8 |
$52,855 |
|
8 |
$133,980 |
*Limits determined by State and Local Fiscal Recovery Funds AMI limit tool
The City of Gainesville (city) has allocated $8 million from the American Rescue Plan Act (ARPA) for affordable housing programs. Included within that total, the city has earmarked the following:
- $6 million for affordable housing developers (for-profit and/or nonprofit) to subsidize the development of new affordable rental housing (single-family and/or multi-family); and
- $1.2 million for affordable housing developers (for-profit and/or nonprofit) to subsidize the development of new affordable single-family and/or multi-family housing for first time home buyers.
The maximum subsidy for the development of new rental housing is $35,000 per affordable unit. The maximum subsidy for the development of new single-family housing for first time home buyers is $50,000 per affordable unit.
The requirements for recipients of this funding to subsidize the development of new affordable housing include, but are not limited to, the following:
- The affordability period for subsidized units must be at least 20 years.
- During the affordability period, the rent for subsidized units must be affordable, as defined by the US Department of Housing and Urban Development (HUD), to households whose income does not exceed 65% of the Gainesville Area Median Income (AMI), adjusted for household size.
- During the affordability period, subsidized units can only be rented to households whose income does not exceed 65% of the Gainesville AMI, adjusted for household size.
- During the affordability period, the sales price for subsidized units must be affordable, as defined by HUD, to households whose income does not exceed 300% of the Gainesville Federal Poverty Level (FPL), adjusted for household size.
- During the affordability period, subsidized units can only be sold to households whose income does not exceed 300% of the Gainesville FPL, adjusted for household size.
Applicants for this funding may be required to present the project, either virtually or in-person. Funding awards are subject to approval by the City Commission and are based on funding availability. Additional details (including evaluation and scoring criteria), and application forms are available on the city’s website. If you have any questions, please contact John Wachtel at 352-393-8565 or at wachteljs@gainesvillefl.gov.
The city will accept applications for ARPA funding for Affordable Housing Projects beginning Thursday, Feb. 9, 2023. Applications must be submitted by 7 a.m. (local time), on Monday, March 6, 2023. Late applications will not be accepted. Applications will be accepted only by email in the form of a full color PDF to coghousing@gainesvillefl.gov. The city will not accept applications submitted by mail or FAX. All signatures within an application packet must be in blue ink; and all attachments must be titled and labeled. The city reserves the right to reject any and all applications.
The City of Gainesville is an Affirmative Action/Equal Opportunity/Drug Free Workplace Employer. The City of Gainesville is committed to a policy of nondiscrimination in all City programs, services and activities, and will provide reasonable accommodations upon request. To request accommodations for non-English speaking persons, individuals with disabilities, and individuals with hearing impairments, please contact the City of Gainesville Office of Equity and Inclusion at 352-334- 5051 (voice) or 352-334-2069 TDD; TTY users please call 711.