Suffolk County, acting through its Department of Economic Development and Workforce Housing, may issue bonds to fund certain approved infrastructure improvements for qualifying workforce housing developments. Such developments must contain, at a minimum, 20% workforce housing units, i.e., 10% of the units available for those earning up to 120% of median income. These units must remain affordable for a period of at least 10 years.
Approved applications may be funded on a first-come, first-served basis. The county reserves the right to reject any and all applications, negotiate with applicants, recommend funding in an amount less than requested, conduct site visits, interview the applicants, recommend funding in an amount less than requested, conduct site visits, interview the applicant and development team and request additional information. The county also reserves the right to take any actions deemed appropriate to assure that program funds are distributed throughout the county.
A preference will be given for: a) developments that provide more than 20% of their units for workforce housing; b) developments that seek to keep their units affordable permanently; c) developments of ten units or more; d) developments built according to green standards; and e) developments that meet the county's Smart Growth goals. All applications must provide a supporting letter from the supervisor or mayor of the applicable local municipality.
Qualifying infrastructure improvements
Qualifying improvements must meet Suffolk County Department of Public Works', Department of Health Services' or town standards, as appropriate. The following improvements may be funded through this program: Sewage treatment plants, Roads, Sidewalks, Curbs, Parking, or, Lighting, among others
Developers are encouraged to submit a pre-funding information application to determine the appropriateness of a development for this program. The county will issue a letter advising if the application meets the county's program criteria. Submission of an application does not in any way assure county funding. The county can make no representation that a particular acquisition will be made until action by the legislature, approval by the County Executive and achievement of certain performance guidelines.
Funding Approval and Closing
Once 1) construction of qualifying infrastructure improvements has commenced, 2) any funding in connection therewith has been obtained and 3) the applicant has submitted a completed application, including town letter of support, then county staff may select certain developments to move forward. At such point, staff will submit a funding resolution to the Suffolk County Legislature. If the legislature and County Executive approve such resolution, a closing will be scheduled pending proof of final approval issued by the applicable agencies responsible for approving the infrastructure improvements, a certification of costs incurred for the infrastructure improvements and other documents the county may require.
Items Required in Legal Documents
For any development approved for funding , the county will require certain documents to be executed. Those documents must reflect the following; 1) the county must be given title to or a permanent easement in the infrastructure, including any land necessary to gain access to such infrastructure. Such an interest must be for at least as long as the term of the bonds issued by the county to fund improvements. 2) The developer must agree that the development project and improvements will be used for workforce housing purposes for at least that same time period and a covenant/restriction must be placed on the property designation such use for some or all of the development, as applicable. 3) Unless the bonds are paid off in full, the workforce housing status must be maintained for the life of the bonds regardless of default by the developer on any outstanding mortgage or foreclosure on any of the developer's outstanding mortgages. Thus, lending institutions for the developers must agree to maintain the workforce housing status or agree to have the bonds paid off in the event of a foreclosure.
Director of Real Estate