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HomeMy WebLinkAbout2017-01-10 VLHA Meeting Agenda Vail Local Housing Authority Agenda 3:00 PM – 5:00 PM Tuesday, January 10, 2017 Community Development Large Conference Room Town of Vail 75 South Frontage Road Vail, Colorado 81657 I. Meeting Notice and Approval of Minutes II. Discussion regarding mechanics of Deed Restriction Acquisition: • Process • Marketing - FAQ’s/Info. Sheet • Lender meetings – When? III. Discussion of Employee Housing Guidelines Update/Deed Restrictions, January 10, 2017 IV. Discussion of Upcoming Meeting Topics: • 2017 VLHA Budget, January 24, 2017 Kathleen Halloran, Finance Director V. Next Meeting – January 24, 2017 NOTICE OF DEED RESTRICTION PURCHASE AGREEMENT NOTICE IS HEREBY GIVEN that the Town of Vail, Colorado, through its authorized agent, the Vail Local Housing Authority (the "Town"), has entered into an agreement (the "Deed Restriction Purchase Agreement") with _____________ ("Buyer") to acquire a Iypc: IQ Deed Restriction (the "Deed Restriction") as defined in the Vail Town Code, for the following real property (the "Property"): Legal Description: ____________ _ Street Address: -------------- Buyer is · purchasing the Property from ("Seller"). In exchange for the Deed Restriction , the Town has agreed to fund a portion of Buyer's purchase price for the Property on the terms and conditions set forth below and as more fully set forth in the Deed Restriction Purchase Agreement. The title company responsible for closing the purchase and sale of the Property is: (the "Title Company"). Buyer is obtaining financing for the purchase of the Property from the following lender: ("Buyer's Lender"). NOTICE IS FURTHER GIVEN that the Town requires compliance with all of the following terms and conditions: (i) The fully executed Deed Restriction Purchase Agreement shall be provided to the Title Company prior to or at the closing of the conveyance of the Property from Seller to Buyer. (ii) The Deed Restriction Purchase Agreement shall be recorded as a first and prior lien on the Property, superior to all other liens, including the mortgage of Buyer's Lender and the associated deed of trust. (iii) The Town shall wire the funds for acquisition of the Deed Restriction in the amount of $ (the "Funds") to the Title Company, to be held until all conditions for closing of the Property have been satisfied. [!he Funds shall be appliedc._"t:I to the purchase price for the Property\ In no event shall the Funds be included in - Buyer's mortgage. \. ""Z, \ -(iv) When all requirements identified herein and any other conditions identified by the Town , Buyer, Seller, Title Company or Buyer's Lender in connection with the closing have been fully satisfied , the Title Company is hereby directed to proceed with closing by recording the fully executed Deed Restriction Purchase Agreement in a position of priority and before the first deed of trust. Upon recording the Deed Restriction Agreement the Title Company may disburse the Funds. *"c. ' -_....--c'\l~~c.-...._,\.- 1012512016 C;J.USERS'oOi{>,'A~~ARO. V;~!LC30V. 001 'APPDA 1"A\LOCALVv1/CROSOFnWIAl.fJOL"i'S\!NE7'CACI {£'\CONTENT. OUTLOot\'lf'"lv i 'FQL I fF,PJOTIOE o r DEED RE8TRICfl(')fV Pl:JROI !ASE.DOCX (v) In the event closing is delayed or does not occur, the Title Company shall immediately return the Funds to the Town. DATED this __ day of _____ , 2016. TOWN OF VAIL, COLORADO 1012512016 C:\USERS\ANAZZARO. VAIL GOV. 001\APPDA TA \LOCAL \MICROSOFnWINDOWS\INETCACHE\CONTENT. OUTLOOK\FN1TQL1 O\NOTICE OF DEED RESTRICTION PURCHASE.DOCX DEED RESTRICTION AGREEMENT FOR THE OCCUPANCY, RENTAL AND TRANSFER OF A TYPE III EMPLOYEE HOUSING UNIT THIS DEED RESTRICTION AGREEMENT ("Deed Restriction") is entered into this _______ day of _______________, 2013 by and between the TOWN OF VAIL, COLORADO and the Town of Vail. WHEREAS, the Town of Vail, Colorado (the "Town") has adopted employee housing ordinances, whereby Employee Housing Units ("EHUs") must be built or otherwise acquired to mitigate the employee housing impacts produced by new residential and commercial development. NOW, THEREFORE, for value received, the parties to this Deed Restriction do hereby agree to, declare and impose the following covenants and restrictions on the property herein specified: 1. Property. The following real property is an EHU and is hereby burdened with the covenants and restrictions specified in this Deed Restriction: ______________________________________________________________________________Vail, Colorado 81657 (the "Property"). The Town shall record this Deed Restriction against the Property at the Owner's expense. a. The Employee Housing Unit (EHU), containing ____ square feet, is hereby restricted as a Type III EHU which must comply with all the provisions of Chapter 13, Title 12 of the Town Code of Vail as amended. b Occupancy of the Type III EHU shall be limited to a maximum of two persons per bedroom. c. If the Type III EHU is constructed without a dedicated garage, a minimum of seventy-five (75) square feet of storage area in addition to normal closet space is required for the exclusive use of the occupant of the Type III EHU. d. The Type III EHU shall have its own entrance. There shall be no interior access from any EHU to any dwelling unit to which it may be attached. e. The Type III EHU must contain a kitchen or kitchenette and a bathroom. f. The Type III EHU may be sold, transferred, or conveyed separately from the unit with which it is associated. g. The Type III EHU shall be operated and maintained in accordance with Chapter 13, Title 12 of the Town Code of Vail. Failure to do so may result in enforcement proceedings in a court of competent jurisdiction and in accordance with Chapter 3, Title 12 of the Town Code of Vail. 1 2. Definitions. The following definitions shall apply to this Deed Restriction: a. Domestic Partner means two unmarried people, at least eighteen (18) years of age, who have lived together continuously for at least one (1) year and who are jointly responsible for basic living expenses incurred during their domestic partnership, provided that domestic partners may not be persons related to each other by blood or adoption such that their marriage would be barred in the State of Colorado. An individual shall be considered a domestic partner of an Owner upon presentation of a sworn affidavit to the Town. b. Employee means a person who works an average of thirty (30) hours per week or more on a year round basis in Eagle County at a business located in Eagle County. c. Employee Housing Unit (EHU) means a dwelling unit which shall not be leased or rented for any period less than thirty (30) consecutive days, and shall be occupied by at least one person who is an employee. d. Non-Qualified Owner means any person who does not meet the definition of Employee, as it is defined in this Deed Restriction, and who is unable or unwilling to rent the Property to an Employee. e. Owner means either a Qualified Owner or a Non-Qualified Owner, as the context requires. f. Person means a natural person and excludes any type of entity. g. Qualified Owner means either an Employee who is qualified to own an ownership interest in the Property, or a person or entity that is not an Employee, but who is nevertheless qualified to own an ownership interest in the Property because the Property will be rented to an Employee pursuant to the terms of this Deed Restriction. h. Transfer means any sale, assignment or transfer, voluntary or involuntary, of any interest in the Property, including but not limited to, a fee simple interest, a joint tenancy interest, a life estate, a leasehold interest, and an interest evidenced by a land contract by which possession of the Property is transferred and Owner retains title, but not an encumbrance. 3. Occupancy Restrictions. The Property shall be continuously occupied by an Employee, and shall not remain vacant for a period in excess of ninety (90) consecutive days. 4. Lease Restrictions. If the Property is leased to an Employee, the following requirements shall apply: a. The Property shall not be leased for a period of less than thirty (30) consecutive days; and b. The Property shall not be subdivided or divided into any form of timeshare unit or fractional fee club unit. 2 5. Transfer. a. Every Transfer shall be subject to this Deed Restriction except the following: i. A Transfer to an existing spouse or Domestic Partner if such person is a Qualified Owner; ii. A Transfer by an Owner to a spouse or Domestic Partner if such person becomes the co-owner of the Property and is a Qualified Owner; iii. A Transfer between spouses as part of a marriage dissolution proceeding; or iv. A Transfer to an existing spouse or Domestic Partner of the Owner by devise or inheritance following the death of the Owner. b. If a Transfer occurs by devise or inheritance due to death of the Owner, the personal representative of the Owner's estate or the person inheriting the Property shall provide written notice to the Town within thirty (30) days of the date of death, and the following procedures shall apply: i. If the person inheriting the Property (the "Inheriting Owner") is a Qualified Owner, he or she shall provide the Town with documentation proving his or her status as such, and the Town may determine if the Inheriting Owner is in fact a Qualified Owner. If the Inheriting Owner fails to provide the required documentation, he or she shall be deemed a Non-Qualified Owner. If the Inheriting Owner is a Qualified Owner, he or she shall succeed to the Owner's interest and obligations under this Deed Restriction. ii. If the Inheriting Owner is a Non-Qualified Owner, he or she shall be required to transfer the Property to a Qualified Owner. iii. If the Inheriting Owner chooses to Transfer the Property, he or she shall provide the Town with a Notice of Intent to Transfer within sixty (60) days of the date of the Owner's death. iv. Failure of an Inheriting Owner to follow the procedures in this Section shall constitute a default under this Deed Restriction and the Town may exercise any of the remedies set forth in this Deed Restriction. c. Any Transfer without satisfaction of the conditions of this Deed Restriction is prohibited. 6. Notice of Intent to Transfer. If the Owner intends to Transfer the Property, the Owner shall promptly give the Town written notice of such intent ("Notice of Intent to Transfer"), which shall include following: a. The address of the Property and the name of the Owner; 3 b. The date on which the Owner intends to Transfer the Property; c. Evidence to establish that the purchaser is a Qualified Owner, including the name of the purchaser's employer, and the address of the purchaser's place of employment; and d. If applicable, the name and employer of any Employee who leases the Property and a copy of the lease agreement between the Employee and the Owner. 7. Annual Verification. No later than February 1st of each year, the Owner shall submit a sworn affidavit to the Town including the following information: a. Evidence to establish that the Property has been occupied throughout the year by a Qualified Owner or an Employee; b. The rental rate (if applicable); c. The Employee's employer (if applicable); and d. Evidence to demonstrate that at least one occupant of the Property is a Qualified Owner or an Employee. 8. Notice and Cure. If the Town discovers a violation of this Deed Restriction, the Town shall notify the Owner of the violation and allow the Owner fifteen (15) days to cure. The notice shall state that the Owner may request a hearing before the Town Council within fifteen (15) days to determine the merits of the allegations. If no hearing is requested and the violation is not cured within the fifteen (15) day period, the Owner shall be considered in violation of this Deed Restriction. If a hearing is held, the Town Council's decision shall be final. 9. Remedies. There is hereby reserved to the parties hereto any and all remedies provided by law for violation of this Deed Restriction or any of its terms. a. If the Property is conveyed without compliance with this Deed Restriction, such conveyance shall be wholly null and void and shall confer no title whatsoever upon the purported buyer. Each and every conveyance of the Property, for all purposes, shall be deemed to include and incorporate by this reference the covenants contained in this Deed Restriction, even if they fail to reference this Deed Restriction. b. If the Owner fails to cure a violation of this Deed Restriction, the Town may resort to any and all available legal action, including, but not limited to, specific performance of this Deed Restriction or a mandatory injunction requiring the Transfer of the Property by the Owner, with the costs of such Transfer shall be paid out of the proceeds of the sale with the balance being paid to the Owner. c. If such request is made by the Town, the Owner irrevocably authorizes the holder of any mortgage or deed of trust against the Property to disclose to the Town if the Owner is delinquent in any payments due to any such mortgage or trust deed holder and the duration and amount of such delinquency at the time such inquiry is made by Town. 4 10. Foreclosure. In the event of a foreclosure, acceptance of a deed in lieu of foreclosure, or assignment to the United States Secretary of Housing and Urban Development, this Deed Restriction shall remain in full force and effect. 11. General Provisions. a. Notices. Any notice, consent or approval required by this Deed Restriction shall be given by either: mailing by certified mail, return receipt requested, properly addressed and with postage fully prepaid, to the address provided herein; or hand-delivery to the address provided herein. Notices shall be considered delivered on the date of delivery if hand-delivered or if both hand-delivered and mailed; or three days after the postmark, if mailed only. Notices shall be sent to the parties at the following addresses unless otherwise notified in writing: 5 To the Owner: _______________________ _______________________ _______________________ To the Town: Housing Coordinator xc: Town Attorney Town of Vail 75 South Frontage Road Vail, Colorado 81657 b. Severability. Whenever possible, each provision of this Deed Restriction shall be interpreted so as to be valid under applicable law, but if any provision of this Deed Restriction is declared invalid under applicable law, such provision shall be ineffective only to the extent of such invalidity or prohibition without invalidating the remaining provisions of this Deed Restriction. c. Governing Law and Venue. This Deed Restriction shall be governed and construed in accordance with the laws of the State of Colorado, and venue for any legal action arising from this Deed Restriction shall be in Eagle County, Colorado. d. Successors. The provisions and covenants contained in this Deed Restriction shall inure to and be binding upon the heirs, successors and assigns of the parties. This Deed Restriction shall be a burden upon and run with the Property for the benefit of the beneficiaries, their successors and assigns, who may enforce the covenants and compel compliance therewith through the initiation of judicial proceedings for, but not limited to, specific performance, injunctive relief, reversion, eviction, and damages. e. Modification. This Deed Restriction may only be modified upon written agreement of the parties. f. No Waiver. No claim of waiver, consent or acquiescence with respect to any provision of this Deed Restriction shall be valid against any party hereto except on the basis of a written instrument executed by the parties. g. Integration. The foregoing constitutes the entire agreement between the parties regarding the Deed Restriction and no additional or different oral representation, promise or agreement shall be binding on any of the parties hereto. h. Third-party beneficiaries. There are no intended third-party beneficiaries to this Deed Restriction. 6 IN WITNESS WHEREOF, the Parties hereto have executed this Deed Restriction on the date first set forth above TOWN OF VAIL, COLORADO _________________________________ Stanley Zemler, Town Manager ATTEST: _____________________________ Lorelei Donaldson, Town Clerk PROPERTY OWNER: By: _________________________________ STATE OF COLORADO ) ) ss. COUNTY OF EAGLE ) The foregoing instrument was subscribed, sworn to and acknowledged before me this ___ day of ___________________, 2013, by ______________________________, as the owner of the real property located at ________________________ Vail, Colorado 81657. Witness my hand and official seal. ______________________________ Notary Public (S E A L) My commission expires: 7 To: Vail Local Housing Authority From: Community Development Department Date: April 13, 2016 Subject: Employee Housing Guidelines I. II. INTRODUCTION -t> bA.41~ ~~-:>ioe.t..L'I ~ .:c~ ~ c.~/Al\p\'1 The Employee Housing Guidelines is a companion document to the recorded master deed restriction. The purpose of the Employee Housing Guidelines is to set forth the occupancy requirements, re-sale procedures and resale price limits for the Town sponsored for sale, deed restricted employee housing units. This document has been amended from time to time by the Vail Town Council. The VLHA and housing staff have been asked to update the Housing Guidelines this year. Summary of Recommendations At the VLHA meeting held on March 31, 2016 a consensus was reached on the following changes to basic elements of the Housing Guidelines: II. MAXIMUM RESALE PRICE An owner may desire to sell a deed-restricted Employee Housing Unit provided that the resale price and prospective purchaser meet the standards of the Guidelines and the Master Deed Restriction. Resale price may not exceed: 'Z A. B. The original price plus An increment equal to~ per annum of the original purchase price from the date of purchase (prorated at the rate of 0.25% for each whole month of any part of any year) plus The value of capital improvements (including professional architect's fees) made to the Employee Housing Unit not exceeding 10% of the original purchase price. For every ten years from the date of original purchase and deed restriction, another ten percent of the purchase price may be added to the value of the property for capital improvements plus The value of any special assessments made by a homeowner's association or by a local government that has been paid by the owner. Additional details regarding resale value as well as calculation methods are provided in the deed restriction. Town of Vail 3e1b ~~~i- J\nI c~~-n~, Memorandum The consensus of the Board was that this policy should be re-examined to det~rf11ine if varying rates of appreciation should be allowed for specific deed restrictions based upon the level of subsidy given to the property and the set of restrictions imposed, e.g., RO units may not have appreciation caps, whereas, a very high subsidy unit may have less than 3%. These other "inclusion~" should also be examined to determine their impact on affordability in the future. Ill. RESALE PROCEDURES The deed-restricted unit must be listed for sale with the Town of Vail or its representatives. A. Listing the Unit with the Town of Vail: Staff Listing Duties 1. 2. 3. 4. Town of Vail An owner of an affordable housing unit desiring to sell should consult with Town staff (Housing Division) or duly appointed representatives and review the individual deed restriction and the Master Deed Restriction covering the unit to determine the maximum sales price permitted and other applicable provisions concerning a sale. Unless otherwise provided in the Master Deed Restriction, the unit must be listed for sale with the Town and the Town staff or its designee will administer the sale in accordance with the Guidelines in effect at the time of listing. There shall be a minimum listing period of three months before a unit's price can be readjusted. Any termination in the listing may require the payment of administrative and advertising costs. The ~ percent of the sales price required to be deposited with Town staff at time of listing will be forfeited. Costs exceeding the amount of the deposit shall be paid by the owner. The Guidelines are intended to ensure that ALL purchasers and ALL sellers will be treated fairly and impartially. Questions will be answered and help provided to any potential purchasers or sellers equally in accordance_ with the current Guidelines. Listings, sales contracts, extensions to contracts and closing documents will be prepared and all actions necessary to consummate the sale shall be undertaken. In pursuit of the above, the staff will be acting on behalf of the Town. It should be clearly understood by and between all parties to a sales transaction that the staff members are not acting as licensed brokers to the transaction, but as representatives of the Town and its interests. They shall nevertheless attempt to help both parties consummate a fair and equitable sale in accordance with the then current Guidelines. · All purchasers and sellers are advised to consult legal counsel regarding examination of title and all contracts, agreements and title documents. The retention of such counsel, licensed real estate brokers, or such related services, shall be at purchaser's or seller's own expense. The fees paid to the Town are to be paid regardless of any actions or services Page 2 l . " . TOWN OF VAIL' B. Memorandum that the purchaser or seller may undertake or acquire. Should any of these requirements be examined to determine if there are any impacts on affordability? Advertising the Sale: Bid Perio~ l\IH'S. 1. After a unit is listed for sale with the Town, the Town will arrange to advertise the unit f~ sale in two consecutive Friday editions of the Vail DailY. and the Vailail. When a unit is first listed, there is an initial two- week bid period during which the unit will be advertised with two open house dates when the unit may be viewed by interested parties. The initial two-week bid period ends on the Friday after the second week of advertising. If no bids are received during the initial bid period, there will follow consecutive one-week bid periods, ending on Friday, until the unit is sold. 2. If more than one bid is received during any bid period, the bids shall be prioritized according to the criteria of the then current Guidelines. If more than one bid is in top priority, a lottery will be held and the winner will be notified. If the winner of the lottery does not proceed to contract within five business days after notification, the next in line will be notified and so on, until the unit is under contract for purchase. Back-up contracts in the priority order set forth in the lottery will be accepted. Prospective purchasers must be pre-qualified by a lender prior to l/1"'-. submitting a bid for affordable housing. Names of authorized lenders are · "• ) available from the Town. Town staff will be available to assist interested parties with the purchase procedures and to answer any questions about the process. The consensus of the Board on this issue is that there should be individual lotteries held as units become available utilizing the Master List of eligible applicants in place at the time of the sale. C. Sales and Other Fees: Town of Vail 1. Unless otherwise set forth in the Master Deed Restriction covering the unit, at the closing of the sale, the seller will pay the Town a sales fee equal to two (2) percent of the sales price. The Town may instruct the title company to pay said fees to the Town out of the funds held for the seller at the closing. Unless otherwise specified in the Master Deed Restriction, a one-half percent (1/2%) fee is paid by the Seller at the time of listing, which is applied to the total sales fee payable at closing. In the event that the seller fails to perform under the listing contract, rejects all offers at maximum price in cash or cash- Page 3 .. .. TOWN Of VAIL 1 D. Town of Vail equivalent terms, or should withdraw the listing after advertising has commenced, that portion of the Memorandum fee will not be refunded. In the event that the seller withdraws for failure of any bids to be received at maximum price or with acceptable terms, the advertising and administrative costs incurred by the Town shall be deducted from the fee, with the balance credited to the owner's sales fee when the property is sold. 2. Conventional-type financing provisions (i.e. FNMA) are those which provide, among other things, for the removal of the Master Deed Restriction on the unit upon foreclosure of the mortgage if the Town does not exercise its option to purchase the unit within a specified time following foreclosure. Unless otherwise set forth in the Deed Restriction covering the unit, upon the initial sale, resale or refinancing of units where conventional-type financing provisions are used (the use of which shall be at the sole discretion of the Town) there may be a fee charged by the Town. The fee shall be paid by the mortgagor; shall be based on the amount of the mortgage; shall be paid for each mortgage transaction; and shall be deposited in the Town mortgage reserve fund account. If the fee is paid on a unit and the unit is subsequently refinanced, the fee shall only apply to that amount of the refinanced mortgage greater than the initial mortgage upon which the fee was initially collected. The amount and adequacy of the fee and the mortgage reserve fund shall be reviewed annually as part of the review of the Guidelines. Is the fee structure adequate or should changes be made? Do we want to encourage or discourage the use of conventional financing? Deed Restriction: The purchaser must execute, in a form satisfactory to the Town and for recording with the Eagle County Clerk concurrent with the closing of the sale, a document acknowledging the purchaser's agreement to be bound by (1) the recorded Master Deed Restriction covering the sale unit and (2) the then-current Guidelines. Do we need to change this requirement in light of recommending a variety of deed restrictions, i.e., is an RO deed restriction precluded by the language of the Master Deed Restriction? Page4 TOWN Of VAIL 1 Memorandum IV. RESALE LOTTERY CRITERIA A. There are six basic eligibility requirements which must be met prior to an individual submitting a bid to purchase an employee-housing unit. 1. 2. 3. 4. 4. The applicant must intend to use the unit as his/her primary residence and maintain it as his/her primary residence in the future1 .-::,ub\~.,.. To +hi!.. TC.~M:~ of"' +he. ~o No change was recommended for this criterion. 'Resnl..\'c.:rioa...J . The applicant must be currently employed at a business located within Eagle County which holds a business license with the appropriate jurisdiction (Town of Vail, Town of Avon, etc.), must be employed an average of 30 hours each week on an annual basis, and must maintain this level of employment for as long as he or she owns the unit. No change was recommended for this criterion, except if the Resident Only Deed Restriction is used for a specific property. The applicant must demonstrate that at least 75% of his/her income and earnings are earned by working at a licensed Eagle County business. No change was recommended for this criterion. Neither the applicant nor any member of the applicant's immediate family (including, but not limited to, spouse and children under 18 years of age) may own residential real estate in Eagle County at the time of application, except where that real estate is deed restricted as a Town of Vail employee housing unit with a resale appreciation cap. A current residence may not be deeded to a corporation or other entity in order to qualify the applicant for a Town of Vail deed restricted unit. The consensus of the Board was to change this "pre-application" requirement and that this should be a criterion imposed as a condition of purchase. The applicant must be prequalified with a mortgage lender. No change was recommended for this criterion. 6. For all To·.vn of Vail deed restricted three bedroom units, the applicant must have a household size of 3 or more persons. For the purposes of determining household size, applicants may include all persons related to the applicant by blood, marriage, or adoption. If the applicant plans to include dependents, they must be continuously listed on federal income ta:x Town of Vail Page 5 0 A~ /AASr612. L~s-r­ ':?C2.:0'2 ~ Lo~'t . TOWN Of VAIL• forms and reside in the household at least six months and one day out of every 12 month period of time. A pregnancy may be counted towards the family size requirement as long as a note from an Eagle County doctor is provided. Memorandum The consensus of the Board was that this policy should be re-examined to determine if it is counter productive to the goal of attracting young families to Vail. B. Once basic eligibility has been met, the qualified person(s) submitting the highest bid price (not to exceed the maximum bid price) during a bidding period shall have the first right to negotiate purchase of the unit. If two or more qualified bids are submitted at the highest bid price, they shall receive preference and be prioritized for selection as the top bidder based on the highest score using the criteria listed below. Each year of residency and employment in Eagle County will count as one point in determining the total score. Additional points will be determined as follows: 1. All current years of employment in Vail shall be 'Neighted at 3: 1 over years of employment in Eagle County. 2. All current years of residency in Vail shall be v1eighted at 3: 1 over years of residence in Eagle County. 3. All years of residency and/or employment prior to a leave from Eagle County shall be given points at a 1: 1 ratio regardless of location of residency or employment within Eagle County. The consensus of the Board on these criteria was that this should be eliminated and that the lottery should be a "true" lottery where every applicant has an equal opportunity to be the purchaser of a resale unit. C. Notes: 1. The physical place of residence and employment is what counts, not the mailing address. 2. Employment physically located on Vail Mountain shall be considered inside the Town of Vail. 3. Employment requiring work to be completed at locations "on-site" throughout Eagle County (e.g., construction sites) shall be considered outside the Town of Vail. Town of Vail Page 6 TOWN OF VAIL• Memorandum 4. Seasonal work and part time work shall be counted on a pro-rata basis. Seasonal work and part time work alone may not be adequate to meet the 30 hours/week average annual requirement. This type of work may need to augment other employment to meet the minimum eligibility. 5. For the purposes of determining the standing of each applicant, each year of residency (or employment) reflects one point. For the portion of time in excess of a complete year, the Town will round to the next highest number if the time exceeds six months and one day. If the time is less than six months, the Town will round down. 6. If two individuals are applying jointly, the years of employment and/or residency shall not be combined. The single individual •.vith the longest record of employment and/or residency shall use his or her record for the purposes of determining longevity. 7. Persons ·.vho ovm residences located in Vail or Eagle County at the time of the application deadline are not eligible. 8. All claims will be verified by Town of Vail staff. Claims of residence or employment that do not check out or are un-verifiable will not be counted in determining your longevity eligibility. 9. If there is a sole applicant in the top tier of the lottery, the scheduled lottery 1Nill not be conducted and the unit will be awarded to the top tier applicant. An application process drawing to establish the reserve list will be held in the Community Development office during regular business hours and shall be witnessed by the Town Clerk open to the public on a continuous basis. The consensus of the Board on this issue is that there should be a Master List of qualified applicants, who can meet the deed restriction criteria at the time of application to the Master List. This list would then be used to populate the lottery at the time of resale. 10. The application and any accompanying documentation shall become the property of the Town of Vail and will not be returned to the applicant. I. For all resales of existing Town of Vail deed restricted units, a permanent reserve master lottery list will be used. The reserve master list will be created using the exact same criteria outlined above. 1. The first person on the list will be offered the unit available for resale. If that person chooses not to take the unit, they will be dropped to the end of the list and the next person '.viii have the option to purchase the available unit and so on, until a buyer is found. Town of Vail Page 7 Memorandum 2. The master list will be updated continuously by an annual lottery. ' 3. Separate reserve lists 'Nill be created for two bedroom and three bedroom tffiit&.. The consensus of the Board was that this policy should be re-examined to determine if it is counter productive to the goal of attracting young families to Vail. V. OCCUPANCY REQUIREMENTS Once an Employee Housing Unit has been purchased, it must continue to be occupied in a manner that is consistent with the goals and policies of the Town of Vail Housing Program. The purchased Employee Housing Unit must be owner occupied by: An employee, working in Eagle County who works an average of thirty hours per week on an annual basis. A retired individual, sixty years or older, who has worked a minimum of five years in Eagle County for an average of thirty hours per week on an annual basis. There was some discussion regarding the impact of this provision on the availability of Employee Housing going forward. Notes:f"l:") 01 B. Town of Vail A leave of absence may be granted for one year, subject to clear and convincing evidence which shows a reason for leaving and a commitment to return to the Vail/Eagle County area may be approved by the Town. Said evidence shall be in written form presented to the Town for review and recommendations 30 days prior to leaving. The Leave of Absence shall be for one year and may, at the discretion of the Town, be extended for one year, but in no event shall it exceed two years. The unit must be rented during said year or years to residents who comply with occupancy requirements. Rental periods shall be not less than 30 days. After verification and qualification of tenant(s), a copy of the executed lease shall be furnished to the Town. If the Employee Housing Unit is listed for sale and the owner must relocate to another area, the unit may, upon approval of the Town, be rented prior to completion of the sale to persons who comply with the occupancy requirements. A letter must be sent to the Town of Vail Housing staff requesting permission to rent the unit until sold. A lease of not less than (6) months must be provided to the tenants with a sixty (60) day move out clause upon notification that the unit is sold. Page 8 TOWN Of VAIL' @ D. Memorandum Occupants may request waivers to the provisions of this section by providing written request to the Town of Vail Housing staff, which will then be forwarded to the Town Council fortheir consideration. ~~cn'' .. a.y ~c;..-..J,• &-v-'· ~ ...J' • · of ¥-.,;,,; Co-signers may be allowed but shall not occupy the unit unless the occupancy requirements of this section are met. Does this requirement preclude familial responsibilities for elder care needs of aging parents? z ·~ Te:.~A~~: ~hAti.'4 UO\.olOW\.'t. VI. ANNUAL VERIFICATION REQUIRED; PENALTIES FOR VIOLATION A No later than February 1st of each year, the owner of the restricted employee housing unit shall submit two copies of a sworn affidavit on a form to be obtained from the Community Development Department, to the Town of Vail Housing Authority and the Town of Vail Community Development Department verifying that the dwelling unit continues to be owner occupied in accordance with Section V of the Guidelines, that the occupant has worked thirty hours per week for the previous year, and where the occupant has worked. B. If the Town determines that there has been a violation of the occupancy standards, the owner of the restricted employee-housing unit shall be found to be in noncompliance. Penalties the Town may assess against the owner include eliminating resale gain and/or penalties found in the Town of Vail Municipal Code Title 1, Chapter 4. Any misrepresentation by an applicant in submittal material shall disqualify the applicant from purchasing an Employee Housing Unit. Are these penalties sufficient or should they be re-examined as to effectiveness and adequacy? VII. SUBMITTAL REQUIREMENTS In conjunction with completing an application to purchase an Employee Housing Unit, the applicant shall provide, upon request by the Town, the following documentation as proof of residency and employment: A Federal Income Tax return forms. Applicant must provide the last four (4) years of Federal Income Tax Returns, an audited financial statement, or acceptable documentation to the Town. B. Verification of current employment in Vail or Eagle County (i.e., wage stubs, employer name, address and phone number or other appropriate documentation as requested by the Town). C. Landlord verification (proof of residency, physical address). D. Valid Colorado Driver's License (address, issue date). Town of Vail Page 9 TOWN Of VAIL• Memorandum E. Prequalification for a loan from a bank or mortgage company. F. Deposits for down payment shall be verified by the holder of such funds. G. Any co-ownership interests other than joint tenancy or tenancy-in-common must be approved by the Town. H. Signed authorization from the applicant allowing the Town of Vail to discuss details with applicant's employer. I. Any documentation which the Town deems necessary to make a determination. Are there any suggested additions or deletions form this Section? VIII. FORECLOSURE In the event of a foreclosure or of acceptance of a deed in lieu of foreclosure by the holder (including here and hereinafter assigns of the holder) of the promissory note secured by a first deed of trust on a deed restricted dwelling unit (hereinafter "the Property"), and subject to the issuance of a public trustee's deed to the holder following the expiration of all statutory redemption rights, the Town of Vail (the "Town") shall have the option to purchase the Property which shall be exercised in the following manner: a. Notice. The holder shall give such notice to the Town as is required by law in the foreclosure proceeding. Said notice shall be sent by certified mail, return receipt requested, and addressed as follows: b. Option to Purchase. Housing Division Town of Vail 75 S. Frontage Road Vail, CO 81675 The Town shall have 30 days after issuance of the public trustee's deed or the acceptance of a deed in lieu of foreclosure by the holder in which to exercise this option to purchase by tendering to the holder, in cash or certified funds, an amount equal to the redemption price which would have been required of the borrower or any person who might be liable upon a deficiency on the last day of the statutory redemption period(s) and any additional reasonable costs incurred by the holder during the option period which are directly related to the foreclosure. Town of Vail Page 10 Memorandum c. Title. Upon receipt of the option price, the holder shall deliver to the Town a special warranty deed, conveying the property to the Town. The holder shall convey only such title as it received through the public trustee's deed and will not create or participate in the creation of any additional liens or encumbrances against the Property following issuance of the public trustee's deed to the holder. The holder shall not be liable for any of the costs of conveyance to the Town or its designee. d. Release. In the event that the holder is issued a public trustee's deed and the Town does not exercise the option to purchase, as provided herein, the Town shall cause to be recorded in the records of the Clerk and Recorder of Eagle County a full and complete release of the describe covenants affecting the Property which appear in said records in Book at Page . Such release shall be placed of record within 14 days after demand therefor by the holder following expiration of the option and a certified copy of the release shall be mailed to the holder upon its recordation. e. Perpetuities Savings Clause. If any of the terms, covenants, conditions, restrictions, uses, limitations, obligations or options created by this Option to Purchase shall be unlawful or void for violation of: (a) the rule against perpetuities or some analogous statutory provision, (b) the rule restricting restraints on alienation, or (c) any other statutory or common law rules imposing like or similar time limits, then such provision shall continue only for the period of the lives of the current duly elected and seated Town Council of the Town of Vail, Vail, Colorado, their now living descendants, if any, and the survivor of them, plus twenty-one (21) years. f. Successors and Assigns. Except as otherwise provided herein, the provisions and covenants contained herein shall inure to and be binding upon the heirs, successors and assigns of the parties hereto. g. Modifications. The parties hereto agree that any modification to this option to purchase shall be effective only when made be writing s signed by both parties and recorded with the Clerk and Recorder of Eagle County, Colorado. Are there any suggested additions or deletions form this Section? IX. For additional information, contact the Housing Division of the Town Town of Vail Page 11 Town of Vail Employee Housing Guidelines 10/19/99 THE TOWN OF VAIL EMPLOYEE HOUSING GUIDELINES 10 19 992016 Paize I of 11 I. PURPOSE The purpose of the Employee Housing Guidelines (Guidelines) is to set forth the occupancy requirements, re-sale procedures, and resale price limitations for the Town of Vail deed restricted for-sale employee housing. Additional information pertaining to Employee Housing Unit deed restrictions can be found in the applicable Master Deed Restriction Agreement (Master Deed Restriction) for the occupancy and resale of certain projects such as Vail Commons. Prior to closing on an employee housing unit, the owner must sign an individual deed restriction Qr memorandum of acceptance of the existing deed restriction which references the Guidelines and the Master Deed Restriction which will be recorded at the closing, and which will run with the property in perpetuity. II. MAXIMUM RESALE PRICEADMINISTRA TION The Housing Division or designee of the Town of Vail shall administer implementation and enforcement of the Housing Guidelines with oversight from the Vail Local Housing Authority CVLHA). The VLHA with housing staff support shall review the guidelines on an annual basis and recommend updates to Town Council. as needed to keep current with market conditions and the needs of the community. III. MAXIMUM RESALE PRICE An owner may desire to sell a deed-restricted Employee Housing Unit provided that the resale price and prospective purchaser meet the standards of the Guidelines and the Master Deed Restriction. Resale price may not exceed: A. The original price plus B. An increment equal to ,J.%the percentage increase for a 2-person household at I 00 % of Area Median Income CAMI) as set by the Department of Housing and Urban Development CHUD}per annum of the original purchase price from the date of purchase (prorated at the rate ef 0.25% for each whole month of any part of any year) plus C. The value of capital improvements (including professional architect's fees) made to the Employee Housing Unit not exceeding 10% of the original purchase price. For every ten years from the date of original purchase and deed restriction, another ten percent of the purchase price may be added to the value of the property for capital improvements plus D. The value of any special assessments made by a homeowner's association or by a local government that has been paid by the owner. Additional details regarding resale value as well as calculation methods are provided in the deed restriction. m1v. RESALE PROCEDURES Town of Vail Employee Housing Guidelines 10/19/99 Pa2e 2 of II +--·--·{ Formatted: Indent: Left: O'', First line: O" The deed-restricted unit must be listed for sale with the Town of Vail. A. Listing the Unit with the Town of Vail or Its Designee: Staff Duties 1. An owner of an affordable housing unit desiring to sell should consult with Town staff(Housing Division) or designee(s) and review the individual deed restriction and the Master Deed Restriction covering the unit to determine the maximum sales price permitted and other applicable provisions concerning a sale. Unless otherwise provided in the Master Deed Restriction, the unit must be listed for sale with the Town and the Town staff .P!. }!~. ~~_s_i_g!l_~~W.~!) ! -~~.i.T1!~!~-~5h~-~-~!~_j11__~~-".<?!.~?:.T1~~-~J!h -----------{ Formatted: Font color: Red the Guidelines in effect at the time of listing. There shall be a minimum listing period of three months before a unit's price can be readjusted. Any termination in the listing may require the payment of administrative and advertising costs. The Yi percent of the sales price required to be deposited with Town staff at time of listing will be forfeited. Costs exceeding the amount of the deposit shall be paid by the owner. 2. The Guidelines are intended to ensure that ALL purchasers and ALL sellers will be treated fairly and impartially. Questions will be answered and help provided to any potential purchasers or sellers equally in accordance with the current Guidelines. Listings, sales contracts, extensions to contracts and closing documents will be prepared and all actions necessary to consummate the sale shall be undertaken. 3. In pursuit of the above, the staff or designee(s) will be acting on behalfof the Town. It should be clearly understood by and between all parties to a sales transaction that the staff members or designee(s) are not acting as licensed brokers to the transaction, but as representatives of the Town and its interests. They shall nevertheless attempt to help both parties consummate a fair and equitable sale in accordance with the then current Guidelines. 4. All purchasers and sellers are advised to consult legal counsel regarding examination of title and all contracts, agreements and title documents. The retention of such counsel, licensed real estate brokers, or such related services, shall be at purchaser"-s~ or seller"-s~ own expense. The fees paid to the Town are to be paid regardless of any actions or services that the purchaser or seller may undertake or acquire. B. Advertising the Sa le: Bid-Open Sales Periods 1. After a unit is listed for sale with the Town, the Town will arrange to Town of Vail Employee Housing Guidelines 10/19/99 Paee 3 of 11 2. advertise the unit for sale in two consecutive Friday editions of the Vail Daily and with the Vail Trail Valley Home Store. When a unit is first listed, there is an initial two-week bid-period during which the unit will be advertised with two open house dates when the unit may be viewed by interested parties. The initial two-week bid-viewing period ends on the Friday after the second week of advertising. If no etcls-requests to be in the lottery are received during the initial bid-period, there will follow consecutive one-week open bid-lottery request periods, ending on Friday, until the unit is ol~·------------------------------------------------------------------------------- If more thaR oRe bid ismultiple requests for participation are received during any bid-period, the bids shall be prioriti:;i;ed aeeordiRg to the eriteria of the theR eurreRt GuideliRes. If more thaR oRe bid is iR top priorit)", a lottery will be held and the winner will be notified. If the winner of the lottery does not proceed to contract within five business days after notification, the Re1<t iR liRe will be Ratified a new lotterv drawing will be held and so on, until the unit is under contract for purchase. Baek up eoRtraets iR the priority order set forth iR the lottery will be aeeepted. Prospective purchasers must be pre-qualified by a lender prior to submitting a bid for a request to be considered for the lottery affordable floos.i.Rg. Names of authorized lenders are available from the Town or its designee. Town staff and/or designee will be available to assist interested parties with the purchase procedures and to answer any questions about the process. C. Sales and Other Fees: 1. Town of Vail Employee Housing Guidelines I0/19/99 Unless otherwise set forth in the Master Deed Restriction covering the unit, at the closing of the sale, the seller will pay the Town or designee a sales fee equal to two (2) percent of the sales price. The Town may instruct the title company to pay said fees to the Town or designee out of the funds held for the seller at the closing. Unless otherwise specified in the Master Deed Restriction, a one-half percent (1/2%) fee is paid by the Seller at the time of listing, which is applied to the total sales fee payable at closing. In the event that the seller fails to perform under the listing contract, rejects all offers at maximum price in cash or cash-equivalent terms, or should withdraw the listing after advertising has commenced, that portion of the fee will not be refunded. In the event that the seller withdraws for failure of any bids to be received at maximum price or with acceptable terms, the advertising and administrative costs incurred by the Town or designee shall be deducted from the fee, with the balance ,/ credited to the owner's sales fee when the property is !sole{. _______________________ ,/ Paoe 4 of11 Comment (AN1): This may be a moot point with demand for units having never been an issue, but do we open sales to the general public or does the Town purchase the unit if it doesn't sell in the allotted time period and the owner is in a position of"must" sell for financial or personal reasons? Comment [AN2): Do we want to suggest here that under "extraordinary circumstances", the seller may request a waiver of these fees and that advertising and closing costs would come out of proceeds? 2. Conventional-type financing provisions (i.e. FNMA) are those which provide, among other things, for the removal of the Master Deed Restriction on the unit upon foreclosure of the mortgage ifthe Town does not exercise its option to purchase the unit within a specified time following foreclosure. Unless otherwise set forth in the Deed Restriction covering the unit, upon the initial sale, resale or refinancing of units where conventional-type financing provisions are used (the use of which shall be at the sole discretion of the Town) there may be a fee charged by the Town or designee. The fee shall be paid by the mortgagor; shall be based on the amount of the mortgage; shall be paid for each mortgage transaction; and shall be deposited in the Town mortgage reserve fund account. If the fee is paid on a unit and the unit is subsequently refinanced, the fee shall only apply to that amount of the refinanced mortgage greater than the initial mortgage upon which the fee was initially collected. The amount and adequacy of the fee and the mortgage reserve fund shall be reviewed annually as part of the review of the Guidelines. D. Deed Restriction: The purchaser must execute, in a form satisfactory to the Town and for recording with the Eagle County Clerk concurrent with the closing of the sale, a document acknowledging the purchaser's agreement to be bound by (1) the recorded Master Deed Restriction covering the sale unit and (2) the then-current Guidelines . .JV. RESALE LOTTERY CRITERIA A. There are 5*-basic eligibility requirements which must be met prior to an individual submitting a bie-request to included on the Master List te-of potential purchasers for an employee-housing unit. ---1. The applicant must intend to use the unit as his/her primary ---residence and maintain it as his/her primary residence tiiAT-Hthtte~fitttittt1:1-tirFte~------ for the full length of time of their ownership of the unit. _2. __ The applicant must comply with the basic deed restriction requirements ;h---regarding residency and/or employment within Eagle County.be etirrently eH113loyeEI at a btisiAess loeateEI withiA Eagle CouAt)' whieh holes a btisiness lieeAse with the a1313re13riatejtirisElietioA (Tovt'A of Vail, Town ofAvoA, ete.), ffltist be eH113loyeEI an aYerage of3Q hotirs eaeh week on an BAAtial basis, anEI ffltist fflaintaiA this le~·el of eH113loyH1eAt for as long as he +------ Formatted: Numbered + Level: 1 + Numbering Style: 1, 2, 3, ... + Start at: 2 + Alignment: Left+ Aligned at: 0.5'' +Tab after: l" + Indent at: 1" Formatted: Indent: Left: 1", First line: O" or she owAs the tinit_~ ~------------~ Town of Vail Employee Housing Guidelines 10/19/99 Pao:eSof ll :J-:------Applicants can still own property in Eagle County but will be subject to deed restriction requirements at time of lottery or purchase.The a1313lieaHt m1:1st demoHstrate that at least 75% of his/her iAeome aAd 4. earniAgs are earned by workiAg at a lieeAsed Eagle Co1:1At)' ~1:1siHes~·-------------------------· Lotteries will be held for the units as they come available. participants on the Master List will be offered the opportunity to participate in lotteries as they occur.Neither the a1313lieaAt Hor aAy member of the a1313lieaAt's immediate family (iAel1:1diAg, b1:1t Rot limited to, s1301:1se aAd ehildreA 1:1Ader 18 Comment [AN3]: It was questioned whether or not this requirement is necessary and if so, should be part of the deed restriction rather than the guidelines. Formatted: Indent: Left: 0.5'', Hanging: 0.5" years of age) m8)' owA resideAtial real estate iA Eagle Co1:1Aty at the time ofa1313lieatioA, enee13t vt'here that real estate is deed restrieted as .-------{Formatted: Indent: Left: O" a Tovm of Vail em13lo)·ee ho1:1siAg 1:1Ait with a resale a1313reeiatioA ea13. A e1:1rreHt resideAee m8)' Rot be deeded to a eOFJ30ratioA or other eAtity iA order to q1:1alify the a1313lieaAt for a TowA of Vail deed restrieted l1:1Ai( __________________________ .. - _5. __ ---All applicants must take an approved homeownership class before ---participating in the lottery on a specific unit or show proof of having completed an approved class within the last year(s).The a1313lieaAt m1:1st be 13req1:1alified with a mortgage ?eAde~------------------------------· __________________ ....... _ ---------------------, For all TowA of Vail deed restrieted three bedroom 1:1Aits, the a1313lieaAt m1:1st ha\'e a ho1:1sehold si2e of 3 or more 13ers0As. For the 131:1FJ3oses of determiAiAg ho1:1sehold si2e, a1313lieaAts may iAel1:1de all 13ers0As related to ', ". the a1313lieaAt by blood, marriage, or ado13tioA. If the a1313lieaAt 13laAs to iAel1:1de de13eAdeAts, they m1:1st be eontin1:101:1sly listed on federal ineome ta1( forms aAd reside in tile llo1:1sellold at least siJ< months and one day 01:1t of e\'ery 12 month 13eriod of time. A 13regnaney m8)' be eo1:1nted tovt'ards tile family si2e req1:1irement as long as a note from an Eagle Co1:1nty doetor is ~rovide~·----------------- B. Once basic eligibility has been met, the qualified person(s) s1:1bmittiAg the highest bid 13riee (not to e)(eeed tile maidFA1:1FA bid 13riee) d1:1ring a bidding 13eriod shall have tile first right to negotiate 131:1rellase of tile 1:1nit.shall be palced on the Master List of Eligible Applicants. If two or more q1:1alified bids are s1:1bmitted at tile highest bid 13riee,As units become available for sale. notice will be sent to all current applicants on the list soliciting participation in the Lottery for the unit. they-If two or more applicants express interest. a lottery shall-be held.reeetve 13refereHee and be 13rioriti2ed for seleetion as tile to13 bidder based on the highest seore 1:1sing the eriteria listed below . .f.<?!'_!~-~-~~-~~~~~~-S?~ __ i!'!~_i_\_'j~-~~l__s_~!c;:_s__thc;: ________ _....-- following criteria shall applyEaell year ofresideney aAd em13loyment in Eagle Co1:1nty will eo1:1Ht as oHe 13oint iH determiAiAg tile total seore. Additional 13oints will be determined as follows: Town of Vail Employee Housing Guidelines 10/19/99 Pa2e 6of11 Comment [AN4]: The discussion around this issue was that this issue should be considered at the time of purchase not at the lottery stage, especially if the intent is to attract residents back from down valley. There was also discussion as to whether this requirement encourages a loss of units to the second home owner market? Formatted: Indent: Left: O", Numbered + Level: 1 + Numbering Style: 1, 2, 3, ... + Start at: 3 + Alignment: Left + Aligned at: 1" +Tab after: 1.5" + Indent at: 1.5", Tab stops: 0.5'', List tab + Not at 1.5" Comment [ANS]: What is an appropriate time frame here? Formatted: Indent: Left: 0.5'', Hanging: 0.5'' Formatted: Indent: Left: 0.5'' Comment [AN6]: The discussion here was that this household size requirement discourages young families from participating in the lottery and precludes those who may be planning a family in the future or in other words changing family needs overtime. Formatted: Font: (Default) limes New Roman, 12 pt 1. All eurreRt years ef eFRpleyFReRt iR Vail shall ee weighteEI at 3: 1 eYer years ef eFRpleyFReRt iR Eagle CeuRty.This shall be a true lotterv with equal opportunity for all applicants and no weighting for longevity. 2. J~_l'._~~~j~-.C:.~\~<'.!"!::tJq!"_!~_l'.P5!_<'.~-'3-:.<'.~!!"!~-t_i~!1__i_f)_~~\~!5!_fl~_l'._<:>n_!~~-~P_<'.~_i_f}_c:__ll!1.\~--------Formatted: Font: (Default) Times New Roman, must be met at time of the lottery. ~12_p_t ___________ ~ 2. All eurreRt years efresiEleRey iR Vail shall ee weighteEI at 3: I eYer years ef resiEleRee iR eagle CeuRty. 3 · l i:i_t_l'.i:i_t_ ~f_ <:>_".<::_llR~i:i_c:x.. _~~-p_~\ l]]!l:~Y_ !"~~\ ~-l'.':15:5!_ !!:':!_~ _ l]]~\i:i!~i_i:i _ !~-~! _l?!_i_!!!::t!Y ___________ ------ residency for the length of time that they own the unit. ... ... ---.... _____________________________________________________________________________________________________________ ...... -...... +,, 4. lf_~~-~!~!5!_~_\i:i_!h~_.c!<'.~~-!"~~!~!~!!<:>_i:i:_!~~-~rmiJ.c:.~!1.!!!!~-~!-~~-".~_i:t:<'.!1.!ly ______________ · ..... 5. 6. employed at a business located within Eagle County which holds a "-.. · business license with the appropriate jurisdiction (Town of Vail. Town of "-.. Avon. etc.). must be employed an average of 30 hours each week on an annual basis. and must maintain this level of employment for as long as he or she owns the unit.* +, J~_I'. aQg))~~~~:~~~~:~~-Q~~g~~:@~~:~J~Ji:~:ii:i:~~g~g~:!~:~~~~:~~:!lii:i:~:~f ::::::::~_:"-·:: lotterr.: ________________________________________________________________________________________ ·:.<:.>· .l\!!_p_~~[<::!R::t!1.!~_\i:i_!h~_!9_t!~~-!!!~-~t __ ~!!~!1.~_!1:_~~!]]~-~~y~~-~.c!~.".::l!J~i:i_.c:.l_~~_s-~~--, \:: specified by the Town or provide proof of attendance within the last \ yearC?)._p_~i<?!" !O __ th~-!!:~!~-~!_ ~<:>!!~ry: ________________________________________________________ \ ". " 1 Formatted: Font: (Default) Times New Roman, J 12 pt Formatted: Font: 12 pt Formatted: Indent: Left: 0.5", No bullets or numbering Formatted: Indent: Left: 1.5", No bullets or numbering Formatted: Font: (Default) Times New Roman, 12 pt Formatted: Font: (Default) Times New Roman, 12 pt, Font color: Black Formatted: Font: 12 pt Formatted: Indent: Left: 1.5", No bullets or numbering Formatted: Font: (Default) Times New Roman, 12 pt Formatted: Font: (Default) Times New Roman Formatted: Indent: Left: 0.5", No bullets or numbering Formatted: Indent: Left: 1.5", No bullets or numbering ;h All years ef resiEleRey aRElfer eFRple)'FReRt prier te a leave freFR .\\ \ Eagle CeuRty shall ee gi~·eH peiRts at a I: I ratie regarElless ef leeatieR ef \\ " resiEleRey er eFRpleyFReRt withiR Eagle CeuRty. '\> " * J~j~ -~~i!~'.~~~ _'.v_~~~~ _n_~~ 11!!!!_~ !()_ ~ _f!l_t:t_ ~()'. _~~~!~~11! _<?_n_ly_ (~:<?_\_ ~11!~s_ -~~P!!_n_~i_n_g_~1?911_ !~~ _1!111_g~~!l!!_ !~ _t~_e_ ~11$.C_i_fi_<: ~-1'.I'.~ ________ _ restriction on the unit being sold. \.,\ C. Notes: 1. The physical place of residence and employment is what counts, not the mailing address. E-------~~J?~92'~~~!:P~)'.~~~!J:l_l)_r_\l)_~~!~~-~i:i-~'-~!!-~~-l)~f'.l!!':~f'.l_?~~-IJ_~~-~-l)~~!~-~~~-~_!f'.l_~i-~~-t-~~-----------ew _l)f~{_E!\l_. ________________________________________________________________________________________________ _ P:=_ _______ ~~J?!9-2'~~~!-~~g~_i_i:i~g:~"'.l)!J~_!l)_~~-~l)~)3J_~~~~-~!-~l)~~!!l)_".l?_~:l)_~_?!!~-·~-!~l)~g!'!l)_t}! _______ _ eagle CeuRt)' (e.g., eeRstruetieR sites) shall ee eeRsiElereEI eutsiEle the Tevm ef .\lath Town of Vail Employee Housing Guidelines 10119199 P!U!e7of tt Formatted: Font: (Default) Times New Roman, 12 pt Formatted: Font: (Default) Times New Roman, 12 pt Formatted: Indent: Left: 1.5", No bullets or numbering Formatted: Font: (Default) Times New Roman Formatted: Strikethrough Comment [AN7]: This "Note" and the other deleted notes all refer to longevity criteria. which are no longer relevant as per the recommendation to remove this as a consideration of eligibility. Formatted: Strikethrough 4.f_. Seasonal work and part time work shall be counted on a pro-rata basis. Seasonal work and part time work alone may not be adequate to meet the 30 hours/week average annual requirement. This type of work may need to augment other employment to meet the minimum eligib ility. •~-------~9-~_t~~-p_~_r_tJ~~~-~-9f~~!_e_~~i!l:i_~g-~~_e_-~~~!l:~J!!g_~f-~~~~-~p_p)j_e_~!l:t, _ _e_~_e-~_Y.~li-~_qf ___________ .----{ Formatted: Strikethrough resideAey (er eFApleyFAeAt) refleets 0Ae peiAt. Fer the pertioA ef tiFAe iA e1rness ef a eeFAplete year, the Tevm will rettAd te the Ae1tt highest AttFAber if the tiFAe e1(eeeds siJ( FA0Aths aAd 0Ae day. lfthe tiFAe is less thaA si1• FA0Aths, the TewA 'Nill F0t1AS S0' ... 'fl . .6::_ _______ ! f !'."!~ _ ~ ~~!y_i_~~-~!?. Ii.~~_ lifl_p_l:Y.if:'l_gj9_i_~!!i'..>. !~~-Y-~li-~~ -~f _e_~p_~ ~)'.li'.'1_€'.f:'l_t_ ~~#9_~ !.€!?) ~~!!0'. ______ ---{ Formatted: Strikethrough shall Ast be eoFAbiAed. The siAgle iAdividttal with the l0Agest reeerd ef 4. 5. eFAp10)"FAeAt aAeier resideAe)· shall ttse his er her reeerd for the pttrpeses ef deterFAiAiAg leAgeYity. Persons who own residences located in Vail or Eagle County at the time of the application deadliAe are flet-eligible. but must be in compliance with the deed restriction on the specific unit at time ofburchasq. _________________________________________________ _ All claims will be verified by Town of Vail staff or designee(s). Claims of residence or employment that do not check out or are un-verifiable wi ll not be counted in determining yettr 10Age~·ityeligibility. Ifthere is a sole applicant in the tsp tier ef the lottery, the scheduled lottery will not be conducted and the unit wi ll be awarded offered to the tejrtiefsole applicant. Should the contract with the remaining applicant not be executed Town of Vail Staff or designee will open a new lottery to A drawiAg te establish the reser~·ethe Master 1list of eligible applicants. will be held iA the CeFAFAttAity De\·elepFAeAt offiee dttriAg regttlar bttsiAess hettrs aAd shall be ViitAessed by the TewA !Clerli ___________ _ 6. The application and any accompanying documentation shall become the property of the Town of Vail and will not be returned to the applicant. D. For all resales of existing Town of Vail deed restricted units, a peFFAaAeAt reserve -letteryMaster 1list of gulaiifed applicants will be used. The reserve listMaster List will be created using the eJ•aet saFAe criteria outlined above. 1. The first perseA Eligible applicants on the list will be offered an opportunity to participate in the lottery for the unit available for resale. If that perseA eh00ses Ast te take the ttAit, the;y will be drepped te the eAd efthe list aAd the Aei<t perseA will have the 0pti0A te pttrehase the available ttAit aAe se SA, ttAtil a bttyer is Town of Vail Employee Housing Guidelines 10/1 9/99 Paoe 8ofll Comment [ANS]: There was discussion around this issue of offering to allow the owner of other property to maintain ownership, if the property was rented to a qualified employee/resident, or if a deed restriction were placed upon the property. Would this also be an opportunity to "purchase" a deed restriction, which could then be used as "down payment assistance" by the owner for the new property? Comment [AN9]: Again the question here is what happens if there are no other interested applicants on the Master List? 2. Eligibility to be on t+he list will be updated by-afl-annualJ.x--lettery . .;, Se13arate reserve lists will be ereated for two bedroom aHd tfiree bedroom \:JHits. V!. OCCUPANCY REQUIREMENTS Once an Employee Housing Unit has been purchased, it must continue to be occupied in a manner that is consistent with the goals and policies of the Town of Vail Housing Program. The purchased Employee Housing Unit must be owner occupied by a qualified resident: An employee, working in Eagle County who works an average of thirty hours per week on an annual basis. if so stated in the deed restriction. A retired individual, sixty years or older, who has worked a minimum of five years in Eagle County for an average of thirty hours per week on an annual basis. A permanent. year-round kesidenU._\f_~~~-~~t!~!:t!?!rj~_t_i~11__<?l1__t_~~--lll1_i_t_j:;_~~~!~t!l1_~_Q11_!x __________ / Comment [AN10]: Dowe want to insert a (RO) definition here, e.g., "a minimum of 7 moths per · year"? Notes: A. A leave of absence may be granted for one year, subject to clear and convincing evidence which shows a reason for lleaving_~!!~--~-c_:()_in!!l_i_~in~-~!_!<?_!'~~l_l~_!<?_!ht! ________ .. -··- Vail/Eagle County area may be approved by the Town. Said evidence shall be in written form presented to the Town for review and recommendations 30 days prior to leaving. The Leave of Absence shall be for one year and may, at the discretion of the Town, be extended for one year, but in no event shall it exceed two years. The unit must be rented during said year or years to residents who comply with occupancy requirements. Rental periods shall be not less than 30 days. After verification and qualification oftenant(s), a copy of the executed lease shall be furnished to the Town. B. If the Employee Housing Unit is listed for sale and the owner must relocate to another area, the unit may, upon approval of the Town, be rented prior to completion of the sale to persons who comply with the occupancy requirements. A letter must be sent to the Town of Vail Housing staff requesting permission to rent the unit until sold. A lease of not less than (6) months must be provided to the tenants with a sixty (60) day move out clause upon notification that the unit is sold. ~~~~~~~~~~~~~~ Comment [AN11]: Should there be examples given for valid reasons, e.g., temporary job relocation, National Guard deployment, etc. C. Co-signers may be allowed but shall not occupy the unit unless the occupancy +-----·{ Formatted: Indent: Hanging: l" requirements of this section are met. Oeeu13aHts may request waivers to the 13rovisi0As of this seetioA by 13rovidiAg a writteH request to Town of Vail Employee Housing Guidelines 10/19/99 Pa2e9of ll D. the TevrH efVail He1:1siHg staff, whieh will theA be ferwarded te the Tev.'fl Ce1:1Aeil fer their eeAsideratieA. Ce sigAers may be allewed b1:1t shall Aet eee1:1py the 1:1Ait 1:1Aless the eee1:1paAey req1:1iremeAts ef this seetieA are met. Occupants may request waivers to the provisions of this section by providing a written request to the Town of Vail Housing staff and/or designee(s). which will then be forwarded to the Town lcouncifl f<?'..~~-t'.\~.C:~~~-i-~~-~~t!~-~: .. ___________________________ / VI!. ANNUAL VERIFICATION REQUIRED; PENALTIES FOR VIOLATION A. No later than February I st of each year, the owner of the restricted employee housing unit shall submit two copies of a sworn affidavit on a form to be obtained from the Community Development Department, to the Town of Vail Housing Authority and the Town of Vail Community Development Department verifying that the dwelling unit continues to be owner occupied in accordance with Section VI of the Guidelines, that the occupant has worked thirty hours per week for the previous year, and where the occupant has worked, if so required by the deed restriction or that the occupant has maintained year-round residency if in an RO unit. B. If the Town determines that there has been a violation of the occupancy standards, the owner of the restricted employee-housing unit shall be found to be in noncompliance. Penalties the Town may assess against the owner include eliminating resale gain and/or penalties found in the Town of Vail Municipal Code Title I, Chapter 4. Any misrepresentation by an applicant in submittal ma~erial shall disqualify the applicant from purchasing an Employee Housing ./ m( ____ ----------------------------------------------------------------........................... -----_,: VII!. SUBMITTAL REQUIREMENTS In order to be included on the Master List of eligible applicants for Resale Lotteries. the applicant shall provide the following as proof of residency and/or employment: A. Most recent year's Federal Income Tax return forms. B. Verification of current employment in Eagle County C. Proofof residency, physical address (e.g .. lease, utility bill, etc.) ' " ' " ' " ,',',' •// •'/ ., / '• " '• /,' / . D. Valid Colorado Driver's License (address. issue ~at~_. _____________________________________ :":.--;:_ In conjunction with completing an application to purchase an Employee Housing Unit, the applicant shall provide, upon request by the Town, the following documentation as proof of Town of Vail Employee Housing Guidelines I0/19/99 Paoe 10of11 Comment [AN12]: Is this something that has to go to Town Council or should this be administrative? Comment [AN13]: Are these penalties sufficient and enforceable. How do they apply or should there be other penalties for RO unit owners? Formatted: Indent: Left: 0.5'', Numbered + Level: 1 + Numbering Style: A, B, C, ... + Start at: 1 + Alignment: Left+ Aligned at: 0.25" + Indent at: 0 .5'' Formatted: Indent: Left: 0.75" Formatted: Indent: Left: 0.5'', Numbered + Level: 1 + Numbering Style: A, B, C, ... + Start at: 1 + Alignment: Left+ Aligned at: 0.25" + Indentat: 0.5" Formatted: List Paragraph, Indent: Left: 0.75", No bullets or numbering Formatted: Indent: Left: 0.5'', Numbered + Level: 1 + Numbering Style: A, B, C, ... + Start at: 1 + Alignment: Left +Aligned at: 0.25" + Indent at: 0.5" Formatted: List Paragraph, Indent: Left: 0.75", No bullets or numbering Comment [AN14]: Is there anything else needed here for inclusion on Master List? Formatted: Indent: Left: 0.5", Numbered+ Level: 1 + Numbering Style: A, B, C, ... + Start at: 1 + Alignment: Left +Aligned at: 0.25" + Indent at: 0.5'' residency and employment: A. Federal Income Tax return forms. Applicant must provide the last four (j4b_x~~~~---------­ of Federal Income Tax Returns, an audited financial statement, or acceptable documentation to the Town. B. Verification of current employment in Vail or Eagle County (t,e.g,, wage stubs, employer name, address and phone number or other appropriate documentation as requested by the Town). C. Proofof residency (e.g., lbandlord verification (proof of resideAeyof, physical address. untility bills, voter registration. etc.). D. Valid Colorado Driver's License (address, issue date). E. Prequalification for a loan from a bank or mortgage company. F. Deposits for down payment shall be verified by the holder of such funds. G. Any co-ownership interests other than joint tenancy or tenancy-in-common must be approved by the Town. H. Signed authorization from the applicant allowing the Town of Vail to discuss details with applicant's employer. I. Any documentation which the Town deems necessary to make a determination. ¥111~. FORECLOSURE In the event of a foreclosure or of acceptance of a deed in lieu of foreclosure by the holder (including here and hereinafter assigns of the holder) of the promissory note secured by a first deed of trust on a deed restricted dwelling unit (hereinafter "the Property"), and subject to the issuance of a public trustee's deed to the holder following the expiration of all statutory redemption rights, the Town of Vail (the "Town") shall have the option to purchase the Property which shall be exercised in the following manner: a. Notice. The holder shall give such notice to the Town as is required by law in the foreclosure proceeding. Said notice shall be sent by certified mail, return receipt requested, and addressed Town of Vail Employee Housing Guidelines 10/19/99 Paoe 11 of II Comment [AN15]: Is this reasonable, l believe most banks only require the most current year's return plus one or two more? as follows: Housing Division Town of Vail 75 S. Frontage Road Vail, CO 81675 b. Option to Purchase. The Town shall have 30 days after issuance of the public trustee's deed or the acceptance ofa deed in lieu of foreclosure by the holder in which to exercise this option to purchase by tendering to the holder, in cash or certified funds, an amount equal to the redemption price which would have been required of the borrower or any person who might be liable upon a deficiency on the last day of the statutory redemption period(s) and any additional reasonable costs incurred by the holder during the option period which are directly related to the foreclosure. c. Title. Upon receipt of the option price, the holder shall deliver to the Town a special warranty deed, conveying the property to the Town. The holder shall convey only such title as it received through the public trustee's deed and will not create or participate in the creation of any additional liens or encumbrances against the Property following issuance of the public trustee's deed to the holder. The holder shall not be liable for any of the costs of conveyance to the Town or its designee. d. Release. In the event that the holder is issued a public trustee's deed and the Town does not exercise the option to purchase, as provided herein, the Town shall cause to be recorded in the records of the Clerk and Recorder of Eagle County a full and complete release of the describe covenants affecting the Property which appear in said records in Book at Page . Such release shall be placed ofrecord within 14 days after demand therefor by the holder following expiration of the option and a certified copy of the release shall be mailed to the holder upon its recordation. e. Perpetuities Savings Clause. Town of Vail If any of the terms, covenants, conditions, restrictions, uses, limitations, obligations or options created by this Option to Purchase shall be unlawful or void for violation of: (a) the rule against perpetuities or some analogous statutory provision, (b) the rule restricting restraints on alienation, or (c) any other statutory or common law rules imposing like or similar time limits, then such provision shall continue only for the period of the lives of the current duly elected and seated Town Council of the Employee Housing Guidelines 10/19/99 Page 12ofll Town of Vail, Vail, Colorado, their now living descendants, if any, and the survivor of them, plus twenty-one (21) years. f. Successors and Assigns. Except as otherwise provided herein, the provisions and covenants contained herein shall inure to and be binding upon the heirs, successors and assigns of the parties agreeing hereto. g. Modifications. The parties hereto agree that any modification to this o ti on to ~~~-~~~~~-~~)_)_~~--------------Comment [AN16]: Not sure this is relevant, as effective only when made be-_in writing s-signed by both parties and recorded with " .. , this is• Housing Guideline and not an option to purchase? the Clerk and Recorder of Eagle County, Colorado. " .. >--------------< Formatted: Highlight &__For additional information, contact the Housing Division of the Town of Vail Department of Community Development or its designee. Town of Vail Page 18of19 Master Deed Restriction E~!}'_A ________________________________________________________ ... ----{~F_o_rm_att_ed_:_A_ll c_a_ps _______ ~ .Housing Guideline .Definitions mmmmoOnO mmrnmmmmm< Formatted: Font: 12 pt, Bold Formatted: Font: Bold Accessible Unit: A unit that has been built or adapted with specific design features that make the Formatted: Space A~er: opt unit accessible to those with mobility and hearing handicaps. "'----------------------------------------------------------------------------···--···--···--·----·---------------------------------·{ Formatted: Font: 11 pt Administrative Fee -A fee charged to offset the cost incurred to process applications for programs or changes requested . .._ _______________________________________________________________________________ •• _. __ • ___ • __________ • ______________ • ____ . __ •••• -· { Formatted: Font: 11 pt Affordability Gap -The difference between prevailing market prices and what targeted income households can afford to pay for housing . .._ ___ .••••••••••.•••••••••..•••••••••. ·-------------------------------------------________ --------------·----·-· ··--· .. _______ ••. --·{ Formatted: Font: 11 pt Affordable Monthly Payment -Housing costs which are no more than 30% of gross monthly income at any given AMI level, thereby not overburdening the household budget. "'---------------------------···-------····------------------------------------------------------------------------------------------{ Formatted: Font: 11 pt Affordable Purchase Price -The highest priced property that a i?iven AMI Household can purchase given the maximum mortgage amount they can pay based upon using only 30% of their gross monthlv income for housing. AMI -Area Median Income -the median family or household income set for a given area by HUD to determine income eligibilitv for funding pro!?fams. Application: A packet that households who are selected in an affordable housing lottery submit for Housing staff or designee to verify that the household is qualified to purchase the home. The application consists of the following: • Residential Uniform Loan Application • S i!?Tied Certification • Signed Authorization to Release Information • Completed Lender"s Qualification Worksheet (completed by lender) • Full three tier Credit Report (Can be obtained from lender) • l'..1".~_t'.~!_l!_~!l~<?!!l_l". .T~. ~~-~~!1J9-~rl!~: --~[?Rl_i_c_~t. !!1_ll~!J1!_<?Y_i~~ _ !~_t'. _l!!_~U':<?~!. !:U Y~!l_~~ _<?(f.1".~_l".~!_l)____ ... --· { Formatted: Font: 11 pt Income Tax Returns. an audited financial statement. or acceptable documentation to the Town. • Verification of current emplovment in Vail or Eagle County for each wage earners in the household (e.g .. wage stubs. employer name, address and phone number or other appropriate documentation as requested by the Town). • If self employed, previous three years of tax returns with an income statement and a balance sheet..__ _________________________________________________________________________________________ ... ---{ Formatted: Font: 11 pt • Landlord verification (proofof residency. physical address). • Valid Colorado Driver's License (address. issue date). • Deposits for down payment shall be verified by the holder of such funds. • Any documentation which the Town deems necessary to make a determination. Asset: see Household Net Asset.._ ____________________________________________________________________________________ ... --·{ Formatted: Font: 11 pt Authorization to Release Information Form: This form. which an affordable housing applicant signs. allows Housing staff.<?r qesignee_to verifv information su.1m.lied bv aimlicants from banks. ________ ... -·· Formatted: Font: 11 pt employers. etc"-------------------------------------------------------------------------------------·-·········----------····· Formatted: Font: 11 pt TownofVail Pagel9ofl9 Master Deed Restriction Average square Feet of Units -The average size of all units sold in a given area overall or for specific income ranges . .._ ________________________________________________________________________________ . __ ... ________________________________________ --· { Formatted: Font: 11 pt Balance Sheet: A statement of the total assets and liabilities ofa business. Capital Improvements: Improvements done to the home for which the homeowner can receive f!~~j!_(~l'.~_]::~j~)!_l?J<?~-~-!i_s_t_~t'.~_l'.~!!t.l'.9_\:~t?!!~!).~P.~<?Y.l'.~~-Tl!~'.:.. _________________________________________ <··· Formatted: Font: 11 pt Formatted: Font: 11 pt Closing Date: The date on which ownership of property transfers from the former owner to the new owner"'------------------------------------___ -------------------------------------__________________________________ ... ---{ Formatted: Font: 11 pt Communitv Loan fund: A loan fund that is set up in a community for the pumose of providing down payment assistance or other types of loans for deed restricted housing•---------·········---------------······{ Formatted: Font: 11 pt Critical Service Worker: An employee or volunteer (on call 24 hours per day for human. life threatening emergencies) of a community based organization that provides immediate response health and safety services. including but not limited to the following: fire department workers. mountain rescue. sheriffs deputies. police officers. hospital emergency room technicians. social service workers (mental health and abuse case workers). ambulance drivers. and emergency medical technicians. Deed Restriction: A document recorded against a housing unit that describes the unit's housing program. It provides restrictions on the purchase. occupancy. and resale of the housing unit. Designee: a duly appointed representative for the Town of Vail Housing Division. who represents the interests of the Town in all matters they are authorized to be responsible to cany out. ......... ··-······ ·--------------___ ----·-----·························-----------------_____________ ----·-·············· _____ ... -··{ Formatted: Font: Not Bold Developer: An individual or group who builds housing. Disabled: the definition of disabled that comes from the Disability Discrimination Act (DOA). The DDA defines a disabled person as someone who has a physical or mental impairment that has a substantial and long-term adverse effect on his or her ability to cany out normal day-to-day activities. Earnest Money: Money that a buyer gives to a seller to bind a contract. Eligibility Criteria: Criteria defined in either the deed restriction or the Teton County Housing Authority Guidelines. which are used to measure whether a household qualifies to purchase a unit. · · Formatted: Font: 11 pt E:~·.;i<ivee"Ho"iisi;·ii?·un-fiffiWu>:-A.:dee~-restl--icted.i'or:saie.ori-etiia1-;:;tii!s:-w111<.:-11-resiuire.c>c<.:ii[>iitici=:: ... -Formatted: Font: 11 pt by a full-time employee, working a minimum of30 hours per week in Eagle County. Restrictions vary based upon when the deed restriction was implemented and how it is worded. Employment Requirement: At least one member of a household must demonstrate an average of 30 hours per week of employment in£~gl~_(<?\1.r!!Y...CO: or demo_nst~~!~-~-~_l_f.'.~~-~T1!~!1U9_!York an __________ ... Formatted: Font: 11 pt average of30 hours per week in.~~g!t:.~9!-!TIJY_.,\:Q_(!fl!-!~!-~~'.'l'..~.l'.l'.~.~j~l'.9.~'.'~.r! .. iK~-~!1.'_t_~!~~~-!~~----.·· ... _ :-Fo_r_m_a_tt_ed_: F_o_n_t:_l_l '""pt--------< job vet.) ''::.· .. ·.-.'----------------< ,..Formatted: Font: 11 pt Finance Company: A company that regularly makes loans to clients. Formatted: Font: 11 pt Garage: An enclosed shelter for automotive vehicles. Town of Vail Page 20of19 Master Deed Restriction Handicapped: Hearing Impaired: Individuals whose hearing measures between 25 dB and total hearing loss..__ ________ .-----{ Formatted: Font: 11 pt Mentally Challenged: Individuals who have an intellectual functioning level that is well below average and that causes significant limitations in daily living skills. Mobility Impaired: Individuals who have reduced function of legs and feet that leads them to be permanently.g~p~~~-t'.!_1!_9~-~-~~-t'.".!~h~\~_q~-~!1 .. ~r:t:i_f}~_i_~l-~i_cl_~q-~?J!<.i_~K_______________________________________________ Formatted: Font: 11 pt .. ____________________________________________________________________________________________________________________________ -----Formatted: Font: 11 pt Homebuyer Education: Class required by theJ9.':".J?_f9_r,.,a}J.!q!!".fX P.?!!!~]R~~!'_R~i_q~_tq_~!'!_i_~g___ _______________ >-Fo_r_m_a_tt_ed_: F_o_n_t:_l_l -pt--------< eligible to purchase a employee housing resale unit. The class educates new homebuyers about the ·-.. , . >----------------< entire home buyinl?l'f1!1_~ci_~lll~95'.".~!', _____________________________________________________________________________________ >-::-~-:-:-:-:-: :-:-~-::-~-~-~:-------c: Homeowners' Association: An organization comprising neighbors concerned with managing the common areas of a subdivision or condominium complex. These associations take on issues such as plowing. clearing sidewalks. painting exteriors of a subdivision and collecting dues from residents. The homeowners' association is also responsible for enforcing covenants. conditions & restrictions (CC&Rs) that apply to the propertv. They do not enforce deed restriction. Household Income: The current income before tax, going forward 12 months of all adult wage________________ Formatted: Font: 11 pt earners within a household.~!~!1.c:l0_g_tq_9_".~~PX~-~IB-!:_____________________________________________________________ Formatted: Font: 11 pt Household Net Assets: The value of all assets over $500 in value including. but not limit too. bank accounts. investment accounts. life insurance. furniture. automobiles. jewelry, computer equipment. real estate. and recreational equipment: less any debt the household has. Housing Programs: Programs intended to provide housing for the workforce of.t_~~-'f9!Y~:.Th~X______________ Formatted: Font: 11 pt include ownership and rental units created through.r~_g!-'_l~ti~11_s_._!~!'!._cl\~".~!-~~l_l!'~_ll_~!\9~-qf__J:l_q_ll_~\l_lg____________ Formatted: Font: 11 pt Units or the financing thereof. Housing Mitigation Plan: The portion of a.develo12ment plan that SIBtcifies how an a1212licant will ____________ Formatted: Font: 11 pt satisfy the employee housing requirements of the J_o~z;_o!1_ll!g_!{.e_giJ}at_i~l_l!>, ________________________________ _.----Formatted: Font: 11 pt Immediate Family Member: Individuals that include a parent. spouse or child. including step- children. foster children, step-parents and foster parents. Institutional Lender: A lender that is a legitimate financial institution that regularly loans money for real estate transactions. Joint Tenancy: When two or more people own property as joint tenants and one owner dies. the other owners automatically own the deceased owner's share. No will is required. Formatted: Font: 11 pt Leave of Absence: Permission granted by the.Town for an owner of a deed restricted unit to be --------------{ Formatted: Font: 11 pt absent from the unit for an extended period of time for legitimate and compelling reason, without violating the unit's deed restriction. Liabilities: Any debt. loans. or balances that a household owes. Liabilities are subtracted from assets when calculating Household Net Assets. Living Space: A room in a home used by a family for leisure activities. entertaining guests. etc. It includes space for couches. chairs. tables. and may open to the kitchen. It must include exterior windows. Formatted: Space After: 0 pt, Line spacing: single Formatted: Font: 11 pt 4--------------------------------------------------------------------------------------------------------------------------~-~-,..r: ___ >----------------< Formatted: Space After: 0 pt Town of Vail Page 21 of 19 Master Deed Restriction Lottery Drawing: The event that selects who. of all the applicants for an affordable home, shall purchase the home,. ____________________________________________________________________________________________________ .-----i Formatted: Font: 11 pt Lottery Entrv Period: The period that the.T~~".l_l_~C:C:~Q!~_l_~~~rv e_f!trv _s_he~t_s f~~-~-~-".~i!~~!~------------------ housing unit•------------------------------------------------------------------------------------------------------------·----- Lotterv Entrv Sheet: Households complete a lottery entry sheet and submit it to the.T9wn within _______ __ the lottery entry period when the household is interested in purchasing an available housing unit. --- Lottery Preference Form: The form used to record all households who submitted lottery entry sheets for a particular home. The households are recorded according to their preference category and listed in alphabetical order. Lotterv Process: The process by which the Teton County Housing Authority determines which household. of those that have applied, may purchase an affordable home. Formatted: Font: 11 pt Formatted: Font: 11 pt Formatted: Space Alter: Formatted: Font: 11 pt Marke_~-ra~e r_ric;~--::.T.he_c;ost of housi_f!~~-~<'.!.~>:_t.h<'._9_~1T_l~f!d and sup_pl)'., of_~9u_sj!1_g_ ~ithin a_gjve1_1 ____ .---{ Formatted: Font: 11 pt area (Market). Median Price per Square Foot-The price at which there are 50% of all units sold at a price above and 50% of all units sold at a price below this specific point. .._ _____________________________________ ---------------------------------------_________________________ ----------------__________ ---{ Formatted: Font: 11 pt Maximum Resale Price: The maximum amount that a housing unit can be sold for. This price is calculated by theJ~_~f!--~C:~-~~9_i_f!g_!~ !~.<'.-~~ll.Si!l_g_ll_f![(~~~~q--~~~t~\C:!\<_>!l__~~J~~B.~ll.S_i_f!g ___________________ ,,:···· Formatted: Font: 11 pt Guidelines. ···:::.~ Formatted: Font: 11 pt Military Service: Active deployment in the U.S. Armed Services for any amount of time. Militarv Formatted: Font: 11 pt 0 pt Service counts as employment in.E~g!~ ~~ll!1_1\'.,.<;:.QA_[U.h<'._p~r~on _q~Jl!C?X<'.9.!!1.~L<'.IT_IQl_~XI!!<'.!1.~-----------,<-->-Fo_r_m_a_tt_ed_: F_o_nt_:_1_1_pt _______ __ criteria inJ~_<'._C:~_ll!l_D'._f~~-'!l[l_li!flllll_l oX~~ Y~~~~_i_f!!IT_l~_q[~!~)Xll~[<_l'._!<_>_9_<'.P)9Y!!1.<'.l_l!, _________________________ ··:::·->-Fo_r_m_a_tt_ed_: F_o_n_t:_1_1 ... pt--------< Original Purchase Price (OPP): The amount the homeowner originally paid for the home. ··.,, "· Formatted: Font: 11 pt Possession Date: The date a buyer takes possession of a home. This is normallv the date of closing unless for some reason funds are unable to be disbursed on that day. Profit and Loss Statement: A statement showing a business's income and expenses up through the month prior to application. Purchase and Sales Contract: Contract entered into bv the seller and the buver which outlines the terms and conditions under which the property will be sold. Qualification Letter: Letter issued to applicant confirming that they are qualified to purchase the home. This letter is needed by the Title Company in order to allow the closing to take place. Qualified Households or Qualified Buver: Households or buyers that have applied for housing through the Teton County Housing Authority, where Housing Authority staff deem them as eligible to purchase an affordable home after verification of information. based on the unit's deed restriction and Teton Countv Housing Authority Guidelines. Qualified Owner: An owner of an_!:HU th~t_!~_<'.IT_lQlOX<'.9. ~t1!l-tir1_1e an~or e!l!TI~ a!_l_~~!.??'Yo ~f _______ /:>'_- income from local businesses. / ,•' ,.· .. ___________________________________________________________________________________________________________________________ ,' .··_ ... Qualified Retired Person: A full time resident of._Ef!g_le County . .CO who is at le_as!.60 x~ars o~ _____ _,;'.·.· __ _ Town of Vail Page 22of 19 Master Deed Restriction >----------------< Formatted: Font: 11 pt Formatted: Font: 11 pt Formatted: Font: 11 pt Formatted: Font: 11 pt Formatted: Font: 11 pt Formatted: Font: 11 pt Formatted: Font: 11 pt age and has been employed in.the Countv a minimum of.five years immediatelx prior to reaching ______ Formatted: Font: 11 pt retirement age during their current residency. ------·.. Formatted: Font: 11 pt Resale Process: The process bv which an owner of an affordable home sells it to a new owner. Secondary Education: Attendance at a high school or college preparatory school located in Teton Countv, Wyoming. Senior: A person of relatively advanced age. especially a person at or over the age of retirement. ... ----------------------------------------------------------------------------------------------------------------------------------{Formatted: Font: 11 pt Service Industry Employees -Any person employed in positions directly or indirectly related to the resort economy, e.g., ski lift operators. ski instructors. non-management hotel and restaurant staff. bus drivers. retail. etc. Settlement Statement: Itemizes all costs, and/or credits due from the buyer and seller at closing. Tenancy-In-Common: When two or more people own a shared interest in a propertv. If one owner dies. they can will their portion to other beneficiary(s) and not to the other owner(s) if they desire. Verification Checklist: Checklist used by.J~~Jo~11.!~_Y:l".rify_~)11".ther _a ~o~s~_~o_l~_i_s_g~_~l_i_(ie_~-~<? ________ .-----{ Formatted: Font: 11 pt purchase a particular home. Workforce Housing: Workforce housing, defined as livable. affordable. and attractive single and/or multi!Gmily, ______________________________________ ... _ ... _____ . _ .. _______________ . _ ...... _ ....... _ .... _ ........... ------Formatted: Font: 11 pt Town of Vail Page 23of19 Master Deed Restriction Formatted: Left .._ ___________________________________________________________________________________________________________________________ _ EXHIBIT B Permitted Capital Improvements I. The term Permitted Capital Improvement as used in the Restriction shall only include the following: a. Improvements or fixtures erected, installed or attached as permanent, functional, non-decorative improvements to real property_ excluding repair. replacement and/or maintenance: b. Improvements for energy and water conservation: c. Improvements for health and safetv protection devices: d. Improvements to add and/or finish permanent/fixed storage space: e. Improvements to finish unfinished space: and/or f. Improvements required to replace the following functional items and the associated depreciation schedule shall be used along with an annual maximum price per improvement that will be allowed. The maximum annual price or the actual price paid. whichever is less. will be used to determine the value of the following improvements. The Town's Housing Coordinator shall have the abilitv to not approve the addition of any of these items if condition of the improvement has wear and tear beyond what should be expected of the improvement's age. i. New Carnet and Carnet Pad ii. New Hardwood. Wood Laminate, or Tile Floors and Base iii. New Energy Star Rated Appliances (includes: clothes washer and dryer. refrigerator. range, dishwasher, and built-in microwave) iv. New Baseboard. Window Casing. and/or Interior Doors when the entire unit is finished in an identical material and qualitv v. New Counter Top in kitchens and bathrooms or bath tub surrounds I. 75% of the cost will be included in the Maximum Sales Price if the improvement(s) has been installed within 12 months of listing the unit. 2. 50% of the cost will be included in the Maximum Sales Price if the improvement(s) has been installed in greater than 12 months and less than 36 months of listing the unit. 3. 25% of the cost will be included in the Maximum Sales Price if the improvement(s) has been installed in greater than 36 months and less than 60 months of listing the unit. 4. No cost will be included in the Maximum Sales Price if the improvement(s) has been installed in greater than 60 months of listing the unit. 2. Permitted Capital Improvements as used in this Restriction shall NOT include the Town ofVail Page 24of19 Master Deed Restriction ___ .--{ Formatted: Font: Bold following: a. The cost of adding decks and balconies. and any extension thereto: b. Jacuzzis, saunas. steam showers and other similar items: c. Improvements required to repair. replace and maintain ex1stmg fixtures. appliances. plumbing and mechanical fixtures. painting. and other similar items: and/or d. Upgrades or additions of decorative items. including lights. window coverings and other similar items. 3. All Permitted Capital Improvement items and costs shall be approved by the Town staff prior to being added to the Maximum Resale Price as defined herein. Town of Vail Page 25of19 Master Deed Restriction