HomeMy WebLinkAbout2025 Subsidy Framework/Implementation Plan 4 .4(!
w `f°,outhold Town- Letter.
Board- Lett
Y Board Meeting:of June 10;2.025
RESOLUTION 2625-481 Item # 5.47
ADOPTED DOC ID: 21410
THIS IS TO CERTIFY THAT THE FOLLOWING RESOLUTION NO. 2025-481 WAS.
ADOPTED AT THE REGULAR MEETING"OF THE SOUTHOLD TOWN BOARD ON
JUNE 109 2025:
WHEREAS,pursuant to Town Board Resolution 2023-852, Local Law 27-2023,the Town
Board has adopted the Southold Town Community Housing Plan; and
WHEREAS, There has been presented to the Town Board A Addendum to that Community
Housing Plan and.A Public Hearing-was held on June 1 Oth 2025 at 7:OOPM titled"Subsidy
Framework and Implementation Plan"; and
WHEREAS, pursuant to that Plan, a priority-driven subsidy framework was established to
-increase access and opportunities to fund the creation and maintenance of a diversity of housing
types in Southold Town and the Village of Greenport; and
WHEREAS, in addition, an Implementation Plan was established as a tool for accepting
applications for project funding, reviewing them for approval under the Community Housing
Fund, and through post construction monitoring;now therefor be it
RESOLVED,the Town Board of the Town of Southold hereby adopts this Subsidy Framework'
and Implementation Plan, and incorporates them into the Community Housing Plan by way of
addendum and authorizes the Town Board to approve future changes by Town Board resolution.
Denis Noncarrow
Southold Town Clerk
Attachments:
Proposed Subsidy Structure (PDF)
jmm3IMPLEMENTATION PLAN (PDF)
RESULT: ADOPTED [UNANIMOUS]
MOVER: Jill Doherty, Councilperson
SECONDER:Greg Doroski, Councilperson
AYES: Mealy, Smith, Doherty; Evans, Doroski, Krupski Jr
Generated June 11, 2025 Page 71
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7 5� liL
PUBLIC HEARING 1 =Implementation Plan and Subsidy Framework
THE PURPOSE OF TONIGHT'S PUBLIC HEARING IS TO CONSIDER AN
IMPLEMENTATION PLAN AND SUBSIDY FRAMEWORK SYSTEM FOR THE
COMMUNITY HOUSING FUND EXPENDITURES, WHICH IMPLEMENTATION PLAN
AND SUBSIDY FRAMEWORK SHALL BE AN ADDENDUM TO THE COMMUNITY
HOUSING PLAN AND FUTURE CHANGES SHALL BE ADOPTED BY TOWN BOARD
RESOLUTION.
LEGAL NOTICES FOR PUBLIC HEARINGS ARE PUBLISHED NO LESS THAN TEN (10)
DAYS PRIOR TO THE PUBLIC HEARING, IN AN ELIGIBLE LEGAL TOWN
NEWSPAPER. THE TOWN CLERK'S OFFICE HAS RECEIVED THE AFFIDAVIT OF
SERVICE FROM THE NEWSPAPER INDICATING THAT THE NOTICE WAS PROPERLY
PUBLISHED.
THE TOWN CLERK FILE ALSO INCLUDES AN AFFIDAVIT OF POSTING OF THE
PUBLIC NOTICE ON THE TOWN CLERK'S BULLETIN BOARD AT TOWN HALL.
ADJOURNMENT DATES:
Today's Date: June 6, 2025
June 13
July 25
August 1
August 15
August 22
September 5
September 26
October 3 e
ACOD
3 Month 09/05/2025 (DCR)
6 Month 12/05/2025 (EAP)
1 Year 06/05/2026 (DCR)
20 day stay 06/26/2025
Page 1 of 6
Priority-Driven Subsidy Framework for Community Housing in Southold
This subsidy structure offers a flexible framework to support affordable housing projects while
enabling the Town Board to evaluate the impact of key policy priorities. A proposed base subsidy
of$55,000 per unit serves as the foundation, providing essential financial support for all qualifying
projects.
To encourage development aligned with the Southold Town Comprehensive Plan and Community
Housing Plan, additional bonuses may be applied for projects targeting designated priority,areas
(see Table 1).These priority areas, derived from the objectives and strategies outlined in the plans,
reflect the Town's commitment to equity, sustainability, and livability. Bonus funding is calculated
as a percentage of the base subsidy and applied proportionally to qualifying units, incentivizing
features such as public health and water safety, deeper affordability, transit-oriented
development, and other impactful initiatives.
This structure allows the Town Board to evaluate both the financial feasibility and community
benefits of proposed projects while advancing Southold's vision for sustainable and equitable
growth. By targeting high-priority initiatives, developers are encouraged to create housing
solutions that align with the Town's long-term goals.
In addition to direct financial subsidies,the Town may provide valuable in-kind support to
affordable housing projects.These contributions can include land at reduced cost, sanitary flow
credits, or infrastructure support such as access to essential services.These in-kind subsidies play a
critical role in reducing overall development costs, making projects more financially viable, and
facilitating the creation of sustainable, affordable housing. By offering these resources, the Town
helps ensure that housing projects meet local needs while aligning with long-term planning goals
for community growth and environmental sustainability.
Outline
Table 1: Priority Area Bonus Structure..............................................................................................2
Project A—10 One-Bedroom Apartments (Adaptive Reuse)............................................................3
Project B—24 Two-Bedroom Homeownership Units....:..................................................................4
Project C—8 Four-Bedroom Mixed-Income Units (Green Building).................................................5
Table 2: Comparison Summary Table................................................................................................6
i
FOR TOWN BOARD REVIEW—ALL EXAMPLES ARE FOR ILLUSTRATION PURPOSES ONLY
i
Page 2 of 6
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I Su orts:the financial and
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FOR TOWN BOARD REVIEW-ALL EXAMPLES ARE FOR ILLUSTRATION PURPOSES ONLY
Page 3 of 6
Project A— 10 One-Bedroom Apartments (Adaptive Reuse)
c
440,Ofl0 � $ $99,�51
99Q00�r
1. Development Cost Base Subsidy:
Affordable Housing Construction Costs
To support the build-out of the 10 one-bedroom rental units that is an adaptive reuse of an
existing building that includes a septic system upgrade and is close to public transit.
o Base x 10=$55,000 x 10=$550,000
2. Priority Area Bonus Subsidies:
• Adaptive Reuse
This project will transform an existing old office building into 10 new one-bedroom
apartments.
o Base x 10 x 50%=$55,000 x 10 x 50%=$275,000
• Septic Upgrade
This project will upgrade their existing system to improve wastewater treatment.
o Base x 10 x 20%=$55,000 x 10 x 20%=$110,000
• Proximity to Public Transit
This project is located within 0.5 miles of both train and bus stations.
o Base x 10 x 10%_$55,000 x 10 x 10%_$55,000
3. Total:
• Base Subsidy= $550,000
• Total Bonuses=$440,000
• Final Total Subsidy=$990,000
4. In-Kind Support (e.g.,Sanitary Flow Credits, Land Contributions, Infrastructure Access):
These contributions include valuable resources such as land provided at reduced cost,
sanitary flow credits that reduce wastewater system development costs, or access to
essential infrastructure (utilities, roads, etc.) that can lower overall project expenses.
• Sanitary Flow Credits
FOR TOWN BOARD REVIEW—ALL EXAMPLES ARE FOR ILLUSTRATION PURPOSES ONLY
Page 4 of 6
Project B—24 Two-Bedroom Homeownership Units
'd $� 9 l.b 0.11RIA1211a
$1 6 o 50 r
1. Development Cost Base Subsidy:
Affordable Housing Construction Costs
To support the build-out of 24 two-bedroom homeownership units.
o Base x 24=$55,000 x 24=$1,320,000
2. Priority Area Bonus Subsidies:
• Diversity of Unit Sizes
This project will include 24 two-bedroom units.
o Base x 24 x 10%=$55,000 x 24 x 10%=$132,000
• Homeownership Opportunity
This project will include 24 units for homeownership.
o Base x 24 x 20%=$55,000 x 24 x 20%=$264,000
3. Total:
• Base Subsidy= $1,320,000
• Total Bonuses= $396,000
• Final Total Subsidy=$1,716,000
4. In-Kind Support(e.g.,Sanitary Flow Credits, Land Contributions, Infrastructure Access):
These contributions include valuable resources such as land provided at reduced cost,
sanitary flow credits that reduce wastewater system development costs, or access to
essential infrastructure(utilities, roads, etc.) that can lower overall project expenses.
• Water Main Extension
i
FOR TOWN BOARD REVIEW—ALL EXAMPLES ARE FOR ILLUSTRATION PURPOSES ONLY
Page 5 of 6
Project C—8 Four-Bedroom Mixed-Income Units (Green Building)
o e® $440, ro a
000 . , y 638& ;,10 00+k 79;,
1. Development Cost Base Subsidy:
Affordable Housing Construction Costs
To support the construction of 8 four-bedroom rental units near public transit, built to LEED
green building standards, with 4 units for up to 80%AMI and 4 units for above 80%AMI.
o Base x 8=$55,000 x 8=$440,000
2.. Priority Area Bonus Subsidies:
• Diversity of Unit Sizes
This project will include 8 four-bedroom units.
o Base x 8 x 15%_$55,000 x 8 x 15%=$66,000
• Deeper Affordability .
This project includes 4 four-bedroom units for tenants up to 80%AMI.
o Base x 4 x 20%=$55,000 x 4 x 20%=$44,000
• Environmental Sustainability
This will be a LEED Green Building.
o Base x 8 x 10%=$55,000 x 8 x 10%=$44,000
• Proximity to Public Transit
This project is located 0.5 miles to the nearest bus stop.
o Base x 8 x 10%=$55,000 x 8 x 10%=$44,000
3. Total:
a. Base Subsidy=$440,000
b. Total Bonuses=$198,000
c. Final Total Subsidy=$638,000
4. In-Kind Support(e.g.,Sanitary Flow Credits, Land Contributions, Infrastructure Access):
These contributions include valuable resources such as land provided at reduced cost,
sanitary flow credits that reduce wastewater system development costs, or access to
essential infrastructure (utilities, roads, etc.) that can lower overall project expenses.
a. Land at Reduced Cost
FOR TOWN BOARD REVIEW—ALL EXAMPLES ARE FOR ILLUSTRATION PURPOSES ONLY
Page 6 of 6
Table 2: Comparison Summary Table
�Pro�eet fNane' fiPer Total Base w E Total 5uibs�dy Scibsidy
llnitS a a BOnuS85
Project A "'; $55,090`, 10 j $550,000 $44U 000 $990,000 $99,000`'
µ,
a' yPro�ect B 2$55,000Y24 $1,320,000 $396;000 yk $1,716;000s $71;500;"
Project C $55,000 8 $440,000 '$198,00{0 $638,000 $79,750
�. m '. a ,ur
Totals 42 units (90 bedrooms) $3,344,000 $791,619
FOR TOWN BOARD REVIEW—ALL EXAMPLES ARE FOR ILLUSTRATION PURPOSES ONLY
IMPLEMENTATION PLAN
The Peconic Bay Region Community Housing Fund Act authorizes Southold Town
to establish a Community Housing Fund (pursuant to Chapter 17-47). The
implementation of the funding process is outlined below.
Southold Town Code §17-48 permits the Fund to be established for the following
purposes:
1. The provision of financial assistance to first-time homebuyers who are
residents of the Town for the purchase of a first home. Such financial
assistance may be in the form of a grant or a loan
2. The actual production of community housing for sale to eligible individuals
by the Town.
3. The actual production of community housing for sale to eligible individuals
in conjunction with a public/private partnership, where the private partner
agrees to comply with the profit guidelines of the New York State Affordable
Housing Corporation and the provisions of this section.
4. The actual production and maintenance of community housing for rental to
eligible individuals either by the Town or the Town Housing Authority; or in
conjunction with a public/private partnership, where the private partner
agrees to comply with the profit guidelines of the New York State Affordable
Housing Corporation and the provisions of this section.
5. The rehabilitation of existing buildings and structures in the Town for the
purpose of conversion to community housing for sale or rental to eligible
individuals.
6. The acquisition of interests in real property in existing housing units, which
will result in the production of community housing for sale or rental to
eligible individuals.
7. The provision of housing counseling services by not-for-profit corporations
who are authorized by the United States Department of Housing and Urban
Development to provide such services.
Implementation Plan for Affordable Housing Projects
1. Notice of Funding Availability (NOFA) / Request for Applications (RFA)
The Town issues a NOFA or may issue a RFA to notify the community of
available funding from the Community Housing Fund.
2. Application Submission: The applicant submits a formal application for funding
assistance to the Town Clerk's Office.
3. Professional Staff Review
• The Housing staff reviews the funding application to ensure the project
meets affordable housing criteria, including financial viability, community
impact, and long-term sustainability. They then submit the application to
the Community Housing Advisory Board
4. Community Housing Advisory Board (CRAB) Review- Chapter 17 (Community
Housing Fund).
• Review and Recommendation: The Community Housing Advisory Board
and Housing staff review the Housing staffs report and application and
make a recommendation regarding the funding request. This review and
discussion will take place in Executive Session.
S. Town Board Final Review & Public Hearing
• Town Board Review: The Town Board reviews the funding application, staff
report, and CHAB recommendation in an Executive.Session and confirms
possible subsidy amount.
• Town Attorney drafts contract, purchaser signs the contract, a public
hearing is scheduled and Town Board makes a final determination
regarding whether to approve the requested funding for the-affordable
housing project.
6. Contract Execution — Funding Disbursement & Bond Structure
Details of this step may vary based on the specifics of the project.
• Contract Execution: upon Town Board approval, the Supervisor executes
the contract. Pursuant to the contract, applicant shall file Covenants and
Restrictions ensuring perpetual affordability. Contract also calls for
penalties for non-compliance.
• Funding Disbursement & Performance Bond: The contract specifies terms
for disbursement, reporting, and compliance. However, prior to any
disbursement of funding, applicant shall post a performance bond. Said
bond shall guarantee to the Town the completion of proposed construction
according to the contract and Town Code. Typically, 25% of the funding is
disbursed at contract execution, contingent on-site control, project
approvals, and financing. Additional disbursements may be made at project
milestones, such as 50% construction completion, verified by Construction
Status Report and/or inspection.
• Project Completion: Certificate of Occupancy obtained. Applicable bond
release and fund disbursement.
7. Post-Award Monitoring: To ensure that public investments continue to serve
community housing goals over time, the Town requires ongoing oversight through
an annual reporting process. This is both a critical accountability measure and an
opportunity for continuous partnership and project success.
o Annual Reporting Requirements: includes occupancy data, rent
affordability levels, household information, lease compliance, and
property condition.
The Town reserves the right to audit or review developer records to verify data
submitted in annual reports.
8.Review of the Process: The review of this pilot program will ensure that the
Town's investment in community housing is aligned with long-term objectives and
is achieving positive outcomes. A structured process for evaluation and feedback
will measure success and identify areas for improvement.
• Evaluate Outcomes: The Town will assess the effectiveness of the pilot
program based on its alignment with affordable housing goals, community
impact, and the sustainability of funded projects.
• Seek Feedback: Input will be collected from developers, Community
Housing Advisory Board members, and the broader community to evaluate
the overall success of the pilot, identify challenges, and recommend
improvements for future rounds.
• Update Policies: Based on the evaluation outcomes and gathered feedback,
policies and procedures will be updated as necessary to enhance future
funding rounds and better align projects with the Town's affordable
housing goals.
This review process will support the continuous refinement of the Community
Housing Program, ensuring that the Town remains responsive to the evolving
needs of the affordable housing sector and the community it serves.
ADDITIONAL INFORMATION
The Implementation Plan for First-Time Homebuyers assistance is in formulation.
The Town of Southold Community Housing Plan is hereby amended to include this
Implementation Plan as well as the accompanying Subsidy Framework. Future
changes shall be made pursuant to Town Board Resolution.
The Community Housing Plan and its amendments shall be reviewed at least
every five years. However, the Plan may be reviewed at the end of year one to
continue to support the Plan and any changes that may occur during this
Implementation Plan.
LEGAL NOTICE
NOTICE OF PUBLIC HEARING
NOTICE IS HEREBY GIVEN that the Town Board of the Town of Southold hereby sets June
10, 2025 at 7:00 pm, at which time all interested persons will be given an opportunity to be
heard, at the Southold Town Hall, 53095 Main Road, Southold,New York as the time and place
for a public hearing to adopt a Subsidy Framework and Implementation Plan, and incorporate
them into the Community Housing Plan by way of addendum and authorize the Town Board to
approve future changes by Town Board resolution. Copies of the plan are available on the Town
website: southoldtownny.gov or by contacting the Town Clerk's office.
Dated: March 28, 2025
Denis Noncarrow
Southold Town Clerk
STATE OF NEW YORK)
SS:
COUNTY OF SUFFOLK)
LYNDA M RUDDER, Deputy Town Clerk of the Town of Southold,New York being
duly sworn, says that on the 30th day of May , 2025, a notice of which the
annexed printed notice is a true copy was affixed, in a proper and substantial manner,in a
most public place in the Town of Southold, Suffolk County,New York,to wit: Town
Clerk's Bulletin Board, 53095 Main Road, Southold, New York.
PH 6/10 7:00 pm Subsidy Framework and Implementation Plan
V/ Li
ynda M Audder
Southold Deputy Town Clerk
Sworn before me this
3 o day o `M 2025.
/vl .
De uty Town Clerk
JENNIFER M MUDD
NOTARY PUBLIC,STATE OF NEW YORK
Registration No.01 MU6429053
Dualitied in Suffolk County
My Commission Expires February 07,202P
LEGAL NOTICE
NOTICE OF PUBLIC HEARING
NOTICE IS HEREBY GIVEN that
the Town Board of the Town of
Southold hereby sets June 10, 2025
at 7:00 pm, at which time all
interested persons will be given an
opportunity to be heard, at the
Southold Town Hall , 53095 Main
Road, Southold, New York as the
time and place for a public hearing
to adopt a Subsidy Framework and
Implementation Plan, and
incorporate them into the
Community Housing Plan, by way of
addendum and authorize the Town
Board to approve future changes
by Town Board resolution. Copies
of the plan are available on the
Town website: southoldtownny.gov
or by contacting the Town Clerk's
office.
Dated: March 28, 2025
Denis Noncarrow
Southold Town Clerk
` k:outhold Town-Board -Letter.-._
- _Board Meeting of May 2.8,2.025
RESOLUTION 2025-431 Item# 5.40
ADOPTED DOC ID: 21347
THIS IS TO CERTIFY THAT THE FOLLOWING RESOLUTION NO. 2025-431 WAS
ADOPTED AT THE REGULAR MEETING OF THE SOUTHOLD TOWN BOARD ON
MAY 28,2025:
WHEREAS, pursuant to Town Board Resolution 2023-852, Local Law 27-2023,the Town
Board adopted the Southold Town Community Housing Plan;
WHEREAS, pursuant to that Plan, a priority-driven subsidy framework was established to
increase access and opportunities to fund the creation and maintenance of a diversity of housing
types in Southold Town and the Village of Greenport;.
WHEREAS, in addition, an Implementation Plan was established as a tool for accepting
applications for project funding, reviewing them for approval under the Community Housing
Fund, and through post construction monitoring;
WHEREAS, an informational meeting was held on the subsidy framework at the Town Board
meeting on January 7", 2025;
WHEREAS, the Town Board will hold a public hearing for the Subsidy Framework and
Implementation Plan and to authorize future changes to be made by Town Board resolution;
RESOLVED, the Town Board of the Town of Southold sets June 10, 2025 at 7:00 pm, at which
time all interested persons will be given an opportunity to be heard, at the Southold Town Hall,
53095 Main Road, Southold,New York as the time and place for a public hearing to adopt this
Subsidy Framework and Implementation Plan, and incorporate them into the Community
Housing Plan by way of addendum and authorize the Town Board to approve future changes by
Town Board resolution.
Denis Noncarrow
Southold Town Clerk
Attachments:
Proposed Subsidy Structure (PDF)
jmm3IMPLEMENTATION PLAN (PDF)
Generated May 28, 2025 Page 61
_-Southold Town,-Board - Letter _-_:._.. Board Meeting of May_28, 2025 _..
RESULT: ADOPTED [UNANIMOUS]
MOVER: Anne H. Smith, Councilperson
SECONDER:Brian O. Mealy, Councilperson
AYES: Mealy, Smith, Doherty, Evans, Doroski, Krupski Jr
Generated May 28, 2025 Page 62