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c. Group Home Rents: Rents in HOME-assisted group homes are based on the <br /> Section 8 Existing Housing Fair Market Rent (FMR) for the unit size. Each tenants rent <br /> will be a proportionate share of the total unit rent. The HUD FMR rent includes utilities, <br /> but does not include food or cost of any supportive services provided. If any utilities <br /> (except telephone and cable) are paid by the tenant this amount must be deducted from <br /> their rent. Bedrooms occupied by live-in supportive service providers in determining the <br /> applicable FMR for the Group Home are excluded from the bedroom count. <br /> d. Maximum Allowable HOME Rent and Utilitv Allowances: The maximum allowable <br /> HOME rents must be reduced if the tenant/s pays for utilities. The FMR includes all <br /> utilities and housing-related services, except telephone. Allowances provide a <br /> mechanism for reducing the maximum allowable HOME rent when some or all utilities <br /> are paid by the tenanbs. Redwood City uses the San Mateo County Housing Authority <br /> current allowance schedule to determine utility allowances which vary depending on the <br /> type of unit and utilities available in the unit. <br /> e. Maximum Rents: The total monthly rent collected by the Group Home cannot <br /> exceed the FMR, including any assistance for rent payment provided by sources other <br /> than tenants (e.g. Section 8 voucher). Maximum rents do not include other fees that <br /> group home providers receive for provision of non-rent related support services (e.g. <br /> funds received from sources other than a tenant for case management services). <br /> f. Tenant Income: Group homes including special needs transitional housing are <br /> considered one-unit projects. All occupants of single unit HOME-assisted projects, <br /> except supportive services providers (staf�, must be low-income (incomes at or below <br /> 80 percent of area median). Income limits will be prepared and made available by <br /> Redwood City annually based on the income data published by HUD and the State <br /> California Housing and Community Development. <br /> g. Subordination: The Covenant shall be subordinate to any mortgage or Deed of <br /> Trust and the affordability period shall be terminated in the event of a foreclosure of <br /> transfer in lieu of foreclosure if the foreclosure or transfer recognizes any contractual or <br /> legal rights of the City of Redwood City to take actions that would avoid the termination <br /> of low-income affordability. However, this affordability restriction shall be revived if, <br /> during the original term hereof, the owner of record before the foreclosure or other <br /> transfer, or any entity that includes the former owner or those with who the former <br /> owner has or had family or business ties, obtains ownership interest in the property. <br /> Contractor/Owner grants to the City of Redwood City the right to take any and all legal <br /> action necessary to enforce the provisions of this restrictive covenant, and owner will be <br /> responsible for all reasonable legal expenses incurred by the City in the enforcement of <br /> this restrictive covenant. Within the HOME program guidelines, the City will have the <br /> right to waive any and all breaches of the terms of the affordability restrictive covenant, <br /> but any such waiver shall not be deemed a waiver of any previous or subsequent <br /> breaches. <br />