Pasco commissioners remove blanket mortgage requirement for HUD-funded housing program, approve launch details

Pasco County commissioners on Dec. 9 directed staff to amend the policies governing the county's Better Future individual housing program to remove a blanket mortgage requirement for homeowners receiving awards, while approving the program's implementation details and outreach plan.

The board heard a presentation from Charles (Chuck) Lane, director of the Office of Disaster Recovery Resources, and Tim Legutte of implementation partner IEM about the individual housing program that launched Dec. 1. Staff described maximum award levels the program will use: up to $175,000 for rehabilitation of a traditionally built home and up to $330,000 to replace a home. For manufactured homes staff reported maximum replacement and reimbursement limits that are lower (transcript lists $75,000 and $25,000 caps for certain reimbursements and manufactured-home categories). Staff said these amounts will be used to calculate awards and that eligible applicants will also undergo an environmental review required by HUD.

A central question before the board was whether the county should require a mortgage on a property to protect against fraud or duplication of benefits for awards above a specified threshold. County staff and the consultant said the principal risks were applicant misinformation or duplication of benefits and that other programs generally relied on grant agreements and post-award monitoring; the consultants reported litigation has been rare in comparable programs and many overpayments were resolved through direct repayment or payment plans.

Commissioners debated the trade-offs. Some said a mortgage imposes a long-term burden on homeowners and could limit mobility for residents who want to leave a high-risk area after recovery. Others, including the County Attorney's Office, warned that without a mortgage the county would have a harder time recapturing funds and that large recoupment efforts could fall to the general fund.

After discussion, the board gave staff direction by consensus to remove the blanket mortgage requirement for homeowners, ask the County Attorney's Office to review and finalize amended policy language, and implement the program. Staff said they would update the policies in writing and return any final language as required; commissioners noted policy changes can be made later if the risk profile changes.

Lane also detailed outreach and intake operations: mobile intake events, a call center, and a case-management approach assigning one case worker per applicant. Tim reported program metrics through Dec. 8 showing roughly 420 applications in the system (316 started, 104 fully submitted) with subsequent growth to about 455 applications and 128 submitted; the call center had handled 251 calls with an average handling time just under 13 minutes.

Staff reminded the board HUD requires 70% of funds be used for low- to moderate-income households (no more than 80% of area median income), but noted the action plan permits serving households up to 120% AMI in a limited funding tranche for displaced households. Staff said they would reserve $20,000,000 for that higher-income category to help people still displaced by the storm.

The board also discussed timelines: staff estimated preconstruction and permitting processes could add several months (preconstruction 3'5 months was cited, with construction or replacement typically taking 3'4 months depending on scope) and said they are working with construction services to expedite reviews where possible.

The board approved the policy direction and implementation steps by voice vote. Staff will provide the amended policy language for the record and the County Attorney's Office will review the final text before broader implementation.