Moving Delaware Forward

Delaware State Housing Authority

2014 ANNUAL REPORT

MovingDelaware Forward

DELAWARE

STATE HOUSING AUTHORITY

MISSION STATEMENT

“Our Mission is to provide, and assist others to provide, quality,aff ordable housing opportunities and appropriate supportive services

to low- and moderate-income Delawareans.”

DELAWARE STATE HOUSING AUTHORITY 2014 ANNUAL REPORT2

DSHA MISSION


TABLE OF CONTENTS

2014 Agency Accomplishments ...................................................................................................................4

Letter from the Governor and Lieutenant Governor ....................................................................................5

Letter from DSHA Director Anas Ben Addi .................................................................................................6

Letter from the Council on Housing ............................................................................................................7

Core Services

• Homeownership ................................................................................................................................8-9

• Rental Opportunities .....................................................................................................................10-11

Financial Highlights .............................................................................................................................12-13

Mortgage Lenders and Servicers ................................................................................................................14

DSHA Employees ......................................................................................................................................15


2014 AGENCY ACCOMPLISHMENTS

Delaware State Housing Authority

Total Program Activity:

$115,562,915 � 5,673 units

Received national recognition for the State Rental Assistance Program and agency accounting and fi nancial reporting as well as honors from the University of Delaware for our work with the Delaware Cooperative Extension

Provided foreclosure prevention assistance to 1,242 familiesand individuals through housing counseling and direct fi nancial support

Assisted 465 families and individuals with more than $360,000 in Rapid-Rehousing and Homeless Prevention assistance

Helped over 700 homebuyers with almost $90 million in fi rst mortgage loans and other home purchase assistance.

Reached program milestones of assisting more than 500 familiesin both the Neighborhood Stabilization and the Delaware Emergency Mortgage Assistance Programs

Hosted our 4th Annual Homebuyer Fair in Wilmington and partnered with NCALL to host the Homeownership Expo in Dover


GOVERNOR AND LT. GOVERNOR

Dear Delawareans:

Every resident should have the opportunity for a safe, decent and aff ordable home in a suitable living environment provided by an entrepreneurial and competitive industry. And while it isn’t our job to guarantee success, it is our job to empower them and provide the necessary means to achieve their goals.

Delaware continues to be at the forefront of innovative solutions to help buyers purchase their homes. Continuing our commitment to homeownership, in FY2014 we were able to assist over 700 homebuyers with almost $90 million in fi rst mortgage loans and other home purchase assistance.

Adding to the benefi ts of homeownership, the Delaware First-Time Homebuyer Tax Credit Program, which was launched last year, generated more than $8.4 million in federal tax credits for more than 160 fi rst-time Delaware homebuyers. Because of its huge demand, we extended the Tax Credit this year and DSHA is infusing an additional $62.8 million which will fund the program through 2016 and is expected to assist another 1,200 homebuyers.

To strengthen rental housing, this administration has invested more than $6.7 million in state funding to create and preserve aff ordable rental units during FY2014. Because of the federal and private dollars leveraged, and direct correlation between housing and the economy, this investment spurred an estimated $46.9 million in economic activity result-ing in hundreds of jobs added or retained–further stabilizing Delaware’s fi nancial forecast.

Shifting our focus to encouraging new growth, new Downtown Development Districts (DDDs) will spur private capital investment in commercial business districts, stimulate job growth, and help build a stable community of long term residents by improving hous-ing opportunities thereby strengthening our neighborhoods. By stimulating economic activity in our downtowns, Delaware will attract more talented people, innovative small businesses and residents from all walks of life.

Created by Senate Bill 191 and funded in the FY2015 Bond Bill at $7 million, the ini-tiative provides fi nancial incentives that promote revitalization of downtown areas and surrounding neighborhoods. Grants will be available for all types of projects such as residential, commercial, and mixed-use, and will be administered by the Delaware State Housing Authority. In addition, several state agencies will off er targeted incentives in DDDs to improve neighborhoods, enhance economic development, and otherwise enhance quality of life in these Districts.

We commit ourselves each day to the goal of making some of these tough times a little easier; and to making Delaware such a great place to grow up, a great place to raise a family, a great place to work and, as more and more of the country is noticing, a great place to call home.

It’s up to us to work together and keep Delaware moving forward. Sincerely,

Jack Markell Matthew DennGovernor Lt. Governor

LETTER FROM THE


LETTER FROM THE DIRECTOR

Dear Friends:

Delaware State Housing Authority (DSHA) was busy in FY2014! This past year saw the completion of the 500th Neighborhood Stabilization Program home, the Ross House. This foreclosed home was purchased by Dover Interfaith Mission for Housing (DIMH) and rehabbed, and now provides homes for three previously homeless men. To further support their dedication to ending homelessness, the construction company DIMH contracted to rehabilitate the Ross House employs formerly homeless workers, giving them an opportunity to learn a trade and get back on their feet. It’s partners like these that are making a huge difference in our communities.

The housing crisis has slowed considerably, but has not yet stopped completely. DSHA is working hard to stem the tide of mortgage defaults, and marked a milestone this year by helping our 500th family avoid foreclosure through the Delaware Emergency Mortgage Assistance Program (DEMAP). The housing counseling agencies in the Delaware Federation of Housing Counselors counseled 1,146 struggling families, advising them on their best options, and advocating for them when needed. The staff ’s expertise often gave the families options many didn’t know were available, and put them on the best path forward toward saving their homes.

�� "�� "��#��$�%&'*+-��/-3��"��"�� "��"��"�� "�� #�

While the past several years have presented challenges, we have weathered the storm and are steaming ahead to expand our capacity and create new resources which will make affordable housing more attainable and sustainable. We look forward to the future and to serving even more people in Delaware.

Sincerely,

Anas Ben AddiDirector


DELAWARE COUNCIL ON HOUSING

LETTER FROM THE

Dear Fellow Delawareans:

The Delaware Council on Housing is composed of volunteers appointed by the Governor to advise the Delaware State Housing Authority, members of the General Assembly and the Governor on matters pertaining to affordable housing. It is our particular duty to review the allocations of loans and grants through the Housing Development Fund. In FY2014, we’ve worked hard to make sure the Housing Development Fund has been used to effectively address a variety of homeownership and rental housing needs here in our state.

7�� 8��"� �� "�� "� � � �� 9��"�� ;/#/� ��""�� <�� =�� "�� "� �� "�� "�� "��#�7� ��"�� "��%��+�+'-�� "�� created and/or preserved.

$��""�� "�� "�� grams. Fortunately, the Governor and the Legislature have recognized the critical importance of housing as both the foundation for family stability and as a key economic driver during the continuing economic recovery. We are grateful for their willingness to invest scarce State resources to address critical housing needs.

Over the past year, the Delaware State Housing Authority has demonstrated continuing effectiveness and resourcefulness in using available public dollars to address housing needs, while leveraging far larger private sector investment in housing. This enables quality, affordable housing for many more households and helps the state economy by creating vitally important jobs in the construction and consumer goods sectors of our economy.

We applaud the Delaware State Housing Authority for its outstanding success over the past year as it continued to operate ongoing housing assistance programs while launching important innovations like the Downtown Development District Grant

� � ��""�� tive impact on our cities and towns. We � ��"�� ant work and look forward to continuing to work together in the future to address �� "�� izens.

Sincerely,

Ralph Peters, Chair Delaware Council on Housing


HOMEOWNERSHIP

?�� =��@*��""��"�� 3*�� #��?��"��"��"��+JK/#�7��"��"��"�� =�and moved on. As time passed, his home began to fall into disrepair.

�� "��=��8��"��"�=�Q ��U8��QV��families with housing repairs and put his name on the waiting list. Because there is such a demand for this popular program, it was several years before it was his turn. “In fact,” he said, “I had forgotten all about it.” When he received the notice that Sussex County was going to rehab his home, it was a great relief. “The house was in bad shape,” Louis said, and the shingles were asbestos.”

Mr. Scott now has a new roof, siding, windows and working smoke alarms and will be ��"�� 3�� "��Q� �� for many more years to come.

Louis Scott CDBG

BEFORE

AFTER


HOMEOWNERSHIP

$��"�� "�� X�"� �� "�� 8 � �� UX��8V� �� #��7�� "�� "��"��Housing program, where a group of homeowners work together to build each other’s homes. When they are all completed, they all move in.

�� "=��X��8�� "��ownership education. After repairing a few credit issues that had been standing �� Z�� homeowners began building.

In May of this year, tragedy struck when her rental home burned down. She is �� "��X��8� ��"��"�� "�� "�build in December.

$��[$�"�� \$�� #��"��]��been hard work, at the end is a new opportunity. This journey has been a blessing.”

Isis GoodeSelf-Help Housing, Milford Housing Development Corporation

2014 HIGHLIGHTS

$8.4MGenerated more than $8.4M in federal tax �� homebuyers

393 �� !�� "��funds/assistance

750Provided nearly 750 prospective homebuyers �� #��#%�� #��%��


RENTAL OPPORTUNITIES

2014 HIGHLIGHTS

477&��''%��%##�� %��(�� $3.5M in funding

413Assisted 413 families and individuals in��(��"�� %��(�� )��Rental Assistance Program (SRAP)

100%100% Voucher Utilization

Chimea’s path to homeownership took many twists and turns. She had been participating in DSHA’s Housing Choice Voucher program for 14 years, when the time to move on ��"�� #�� "�� _8�??�`�� $�#�� X�"� ��"��8 �� UX��8V#��"��"�� 8��#��$�� [� ��{��"�� "�� \�� =�� ]��#��|"��""�� completed do the homeowners move in.

There were obstacles along the way. Hurricane Sandy came roaring through and set everyone back an extra month. Families, friends, and volunteers from the community pitched in to complete the homes. Chimea’s sons helped, too. Her teenage son helped �� =�� #

7�� =�� "�� \��"�� \� �� own home.

Chimea StoneHousing Choice Voucher to Self-Help Housing Homeownership


RENTAL OPPORTUNITIES

Rhianna Turner was hopeful when she joined DSHA’s Moving To Work (MTW) � � ��#�� "��"�� #��X7}��8�� ~�� "�� `�� "�� `�� "�� action plan. The case manager works with the MTW client to formulate the steps �� =�� "��"�� the plan.

Rhianna was able to obtain steady employment, improve her income, and build up her � ��#��}��"=�� \��#�� "�� "� ��"��be able to maintain the stability and ties they had created.

`�� ""��"�� "�� "�� #�� "�� 9��playground, where her children like to play.

Rhianna TurnerHCV/MTW to Homeownership


FINANCIAL REPORT


FINANCIAL REPORT

DELAWARE STATE HOUSING AUTHORITY

CONDENSED STATEMENT OF NET POSITION (1)

JUNE 30, 2014

(WITH COMPARATIVE INFORMATION AS OF JUNE 30, 2013)

JUNE 30, 2014 JUNE 30, 2013

ASSETSCurrent assets:

Cash and investments 114,819,028$ 96,297,336$ Mortgages receivable, net 9,520,683 2,606,914 Other current assets (2) 13,449,172 12,925,049

Total current assets 137,788,883 111,829,299 Non-current assets:

Cash and investments 36,777,519 53,287,909 Securitized mortgage loans, net 469,324,676 606,955,334 Mortgages receivable, net 250,562,596 255,441,576 Capital assets, net of accumulated depreciation 17,061,753 18,484,781 Other non-current assets (3) 44,153,055 41,825,722

Total non-current assets 817,879,599 975,995,322 TOTAL ASSETS 955,668,482 1,087,824,621

DEFERRED OUTFLOW OF RESOURCESDeferred amounts on bond refundings 271,455 318,192 TOTAL DEFERRED OUTFLOW OF RESOURCES 271,455 318,192

LIABILITIES Current liabilities:

Accounts payable and other current liabilities (4) 1,105,426 1,473,005 Revenue bonds payable 11,121,863 14,155,408

Total current liabilities 12,227,289 15,628,413 Non-current liabilities:

Escrow deposits 37,022,885 34,500,984 Revenue bonds payable 472,603,474 625,031,506 Other non-current liabilities (5) 1,014,736 980,159

Total non-current liabilities 510,641,095 660,512,649 TOTAL LIABILITIES 522,868,384 676,141,062

DEFERRED INFLOW OF RESOURCESDeferred amounts on bond refundings 391,452 413,023 TOTAL DEFERRED INFLOW OF RESOURCES 391,452 413,023

NET POSITION Invested in capital assets 17,061,753 18,484,781 Restricted, restated (1), (6) 386,051,861 362,877,021 Unrestricted, for Authority's purposes 29,566,487 30,226,926 TOTAL NET POSITION, RESTATED (1) 432,680,101$ 411,588,728$

NOTES:(1) For more detailed information and disclosure the Basic Financial Statements and Supplemental Information for the

Year Ended June 30, 2014, Including Requirements of the Single Audit Act, and Independent Auditor's Reports areavailable at: http://www.destatehousing.com/FormsAndInformation/financial.php.

(2) Other current assets include the current portion of accrued interest , other receivables, other post employments benefitsasset (OPEB), and prepaid expenses.

(3) Other non-current assets include the non-current portion of net accrued interest and other receivables.(4) Accounts payable and other current liabilities include current portion of compensated absences payable, State of Delaware

pension costs, and accrued interest payable.(5) Other non-current liabilities include the non-current portion of compensated absences payable.(6) Restricted net position includes amounts restricted by federal and state program requirements, bond covenants, and for

Authority loan programs.


MORTGAGE LENDERS & SERVICERS

Apex Home Loans

Artisans’ Bank

Atlantic Home Loans

Bank of America, N.A.

Caliber Home Loans

Cenlar Federal Savings Bank

Chase Home Finance

Citi Mortgage, Inc.

Embrace Home Loans

EverHome Mortgage, a Division of EverBank

Fairway Independent Mortgage Corporation

First Choice Loan Services

Pingora Loan Service, Inc.

GMAC Mortgage Corporation

Guaranteed Rate, Inc.

Guaranty Bank Shelter Mortgage

Huntington Mortgage Company

M&T Bank

Meridian Bank

Mortgage Network, Inc.

Nationstar Mortgage LLC

New Penn Financial

NVR Mortgage Finance, Inc.

Pike Creek Mortgage

PNC Bank National Association

Primary Residential Mortgage

Prime Lending

Prosperity Mortgage

Sovereign Bank

Sun Trust Mortgage, Incorporated

Tidewater Mortgage Services

Trident Mortgage Company

U.S. Bank Home Mortgage

Weichert Financial Services

Wells Fargo Home Mortgage, Inc.

Wilmington Savings Fund Society, FSB


DSHA MEMBERS

Lisa AbbottCarl AndersonDenise ArnottErnest BaynumEnid BeltranAnas Ben AddiPebbles BlanchardLynda BlytheCalvin BonniwellDaniel BrennanKimberly BrockenbroughGail BrownJulie BrownKathy BrownShenoa BrumbaughMichelle BurgessJackie BurtonWilliam CareyValerie CertainRichard CleggBillie ColonPatricia ConleyWillis CoverdaleDouglas CroftSharon CurreyAlice DavisCynthia DeakyneDevon DegyanskyDebra DoughtyKimberly EdwardsR. Susan EliasonKeanna FaisonDonnie FanninLonnie FieldCynthia Fletcher

Karen FlowersCorinda FloydArlene FordhamRodney FoxeElton FrazierKevin FreeseLori FretzCorinna FritschJatoya GarnettSteven GherkeMarlena GibsonCarey GoltStephanie Griffi nDoris HallJoseph HaneyChristina HardinEric HartLawrence HaugMabel Jean HayesGary HeckerMatthew HecklesDavid HinesKaren HortonMaritza IrizarryEverett JenningsKyle Jones-BeyCynthia Karnai-CrossanRebecca Kauff manShannon KeenanSharlet KennedyStephanie KillenChristine KinnikinSusan KnightKelly KnutkowskiRaymond Kress

Emily LanterMichele LeechCheryl LehmanMelinda LewisOlga LezcanoH. James LoescherAngelique LordAndrew LorenzStacey LurryEugene MackeyElizabeth McCloskeyKatherine McCoyJacquelin McIntyreAngel MercadoRobert MessineoMary MilesMichael MilesAnnette MillerDarlene Milligan-RamseyAudrey MillsRenee MillsDonna MitchellKathy MorrisDemarsh MurchisonNancy NicholasVantrina NockKatrice ObidikeCarol OrzechowskiRita PaigeMarvin ParkerWalter Passwaters, IIMary Louise PaulPenny PiersonFrancis PowellLatanya Pratt

Javier RamirezKaren ResselTh eodore RobbinsArlene RobertsonTara RogersBrian RosselloJohn RothWilliam SalamoneMatthew ShawVirginia SheridanJoan SmithPamela SpencerWanda SpieringJody StarkeShannon StarkeMichelle StathamRoxann StaytonFrederick StraussJohn TilghmanCorinne Todd-GrieveSharon TruittJeree TurlingtonDeborah WalkerVanessa WalkerLisa WatersRichard WatersEvelyn WelshChristopher WhaleyDeborah WhiddenDeane WilleyBeverly YoungMichael Young

18 The Green Dover, DE 19901

1-888-363-8808www.destatehousing.com

Persons with impairments that prevent reading this document may receive appropriate assistance by contacting DSHA at (302) 739-4263 or

888-363-8808 or TDD (302) 739-7428 or by directing a letter to the attention of Community Relations, 18 The Green, Dover, Delaware 19901.

Doc. #10-08-01-14-10-01

Moving Delaware Forward

Documents

Transcript of Moving Delaware Forward