Submitted By
Tammie Grossman, Director of Development Customer Services
Reviewed By
LKS
Agenda Item Title
Title
A Resolution Authorizing A Single Family Housing Rehabilitation Loan And A Lead Hazard Reduction Grant (SFR-069)
End
Overview
Overview
The purpose of the Single Family Rehabilitation Loan Program is to address and to correct deteriorated and blighted homes throughout the village. The eligible homeowners are requesting a deferred loan of $24,999 and a lead hazard reduction grant of $26,427 from the Village.
Body
Staff Recommendation
Approve the Resolution Authorizing a Rehabilitation Loan and a Lead Hazard Reduction Grant for this 1-unit residential property.
Fiscal Impact
Funding from the Village loan is from Fund 2020, the Community Development Revolving Loan Fund. This loan will reduce the $171,005.91 loan balance, by $24,999, leaving $146,006.91 (Account 2020-46206-101-585613).
Funding for the Village lead grant is from Fund 2083, the Community Development Block Grant Fund. This grant will reduce the $98,035.00 budget amount for Lead Hazard Reduction grants by $26,427.00, leaving $71,608 (Account 2083-46201-101-585612).
Background
Using CDBG funding, the Single-Family Housing Rehabilitation Program provides loans to low-and-very low-income owner/occupants of single-family properties to correct documented or potential code violations and deficiencies, and to make general property improvements. There are two loan products to accomplish program goals: 1) A Deferred-Payment Loan Program, which makes no-interest loans of up to $25,000, deferred for repayment for 20 years; and 2) An Emergency Loan program which makes no-interest loans of up to $5,000 per unit, deferred for repayment for 5 years, for correction of single emergencies, code violations of an emergency nature, or life-endangering circumstances. A minimum contingency of 10% is added into the principal on the loan to cover any unforeseen conditions, and is removed from the loan if ...
Click here for full text