Submitted By: James Haynes
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Presentation By: James Haynes
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Department: Community Development Services
STAFF RECOMMENDATION (Motion Ready):
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Approve the award of development opportunity, and an Affordable Housing Agreement, to Habitat for Humanity of Marion County, Inc., to construct and sell an affordable housing unit on surplus property in West Ocala identified as Parcel 2856-003-003
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OCALA’S RELEVANT STRATEGIC GOALS:
Quality of Place
PROOF OF PUBLICATION:
Made Available to the Public December 13, 2024, via ProRFx
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BACKGROUND:
In April 2023, at its annual strategic planning session, Ocala’s City Council established addressing the affordable housing shortage as one of its strategic initiatives. In response to this initiative, City staff formed an Affordable Housing Initiative Team to develop ideas and implement strategies to engage for-profit and not-for-profit developers in developing single-family and multi-family affordable housing projects. The initial “surplus lots” list was established, and an infill strategy was initiated to build single-family structures on scattered sites.
By and through Resolution 2023-40, adopted by City Council on September 19, 2023, the City currently holds an inventory of vacant lots located throughout the city that it intends to offer for sale to qualified for-profit and non-profit developers, builders, partnerships, and/or agencies to develop and construct new affordable housing units.
FINDINGS AND CONCLUSIONS:
Habitat for Humanity of Marion County Inc. (“Habitat”) is a not-for-profit provider of housing services in Marion County. They are a locally run affiliate of Habitat for Humanity International. Habitat works with families, volunteers, and donors to construct affordable homes, providing stability, self-reliance, and a brighter future for low-income families.
• On December 13, 2024, the City’s Procurement Department issued Invitation to Negotiate (ITN) No.: GRM/250245. The solicitation invited the submission of proposals from qualified residential builders to purchase parcel number 2856-003-003 and construct an affordable housing unit.
• The ITN closed on February 12, 2025. One proposal was received from Habitat for Humanity of Marion County.
• The proposal from Habitat was deemed responsive by the City’s Procurement Department.
• The Selection Committee met on or about March 6, 2025, to review Habitat’s proposal. Habitat’s proposal was conditionally passed to the next phase of evaluation contingent upon the plans providing for a one-car garage.
• On March 20, 2025, Habitat confirmed they would meet all Selection Committee requirements.
• On April 30, 2025, Habitat made its formal presentation to the Selection Committee and fielded questions concerning the project prior to being individually scored by the Selection Committee members.
• On May 8, 2025, the Procurement Department distributed the final scoring and instructed the Negotiation Committee to move forward with negotiating the terms of the Affordable Housing Agreement.
Staff recommends the approval of the Affordable Housing Agreement and the sale of parcel 2856-003-003 to Habitat for the assessed value of $3,720 to construct an affordable housing unit for a family unit whose annual household income does not exceed 120 percent of the Marion County Area Median Income (AMI).
FISCAL IMPACT:
The $3,720 generated from the property sale will be added to the Affordable Housing Incentive account (112-345-000-000-02-34105) to support future affordable housing initiatives. Once completed, this property will also be added to the tax roll and connected to City electric, water, and sewer services.
PROCUREMENT REVIEW:
These services were procured in compliance with the City’s Procurement Policy.
LEGAL REVIEW:
This Agreement will be reviewed and approved for form and legality by City Attorney, William E. Sexton.
ALTERNATIVE:
• Approve with Changes
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• Deny