Title
Resolution to Approve Housing Rehabilitation Agreement with Mary Connors at 17 Metroview Ct. ($25,675.00 CDBG Funds)
Memorandum
Attached for your review and approval is a resolution to approve a Housing Rehabilitation Agreement with Mary Connors to complete rehabilitation assistance to her home at 17 Metroview Ct.
This income-eligible applicant initially contacted Community Development in April, 2009 for assistance with repairs to the property to address the mold forming in the crawl space and the deficiencies with the furnace. The application for assistance was processed and approved by Community Development in July, 2009. The City will address the following housing rehabilitation work on this property: pour a new driveway, replace broken sidewalk slabs, install new pre-cast concrete steps, install new storm door, install new siding, install a new energy-efficient entrance door, install a new crawl space ventilator system and increase crawl space insulation, install new electric service, install new furnace, bi-fold doors, dryer vent, and water heater. Install a new interior door, replace door casing and repair wall damage on wall due to missing casing. Replace damaged garbage disposal and caulk around backsplash in kitchen. Replace underlayment and vinyl sheet goods in bathroom, reset existing toilet, and replace caulk around bathtub. Replace attic access door and increase attic insulation to R-50.
On February 10, 2010, the Office of Community Development received five (5) bids for the housing rehabilitation project. The lowest bid amount was submitted by Armstrong Enterprises, Inc. with a base bid of $23,341 to which a 10% contingency of $2,334 was added, bringing the total amount to $25,675. The $25,675 in CDBG funds will be provided in the form of a 2% simple interest, deferred payment loan to be repaid in full after 30 years or at the time the property changes ownership either by sale, gift, mortgage, land contract, conversion to rental property, inheritance or change of the use of the property from a single-family residence. Armstrong Enterprises, Inc. was granted Human Rights and Living Wage approval on February 18, 2010.
Community Development staff recommend that City Council approve the Housing Rehabilitation Agreement for the rehabilitation work with Mary Connors in the amount of $25,675 in CDBG funds as a 2% simple interest, deferred payment loan for improvements to her home at 17 Metroview Ct.
Staff
Prepared by: Damon E. Thompson, Operations Manager
Reviewed by: Mary Jo Callan, Community Dev. Director, Sumedh Bahl, Interim Community Services Administrator
Body
Whereas, An application was received from Mary Connors for housing rehabilitation assistance for her owner-occupied dwelling located at 17 Metroview Ct;
Whereas, The homeowner meets the City's criteria for participation in the Housing Rehabilitation Program; and
Whereas, Five (5) bids were received on February 10, 2010, and Mary Connors will be executing an agreement with Armstrong Enterprises, Inc., the lowest responsible and responsive bidder, who has Human Rights and Living Wage Approval, to complete the rehabilitation work;
RESOLVED, That City Council approve the Housing Rehabilitation Agreement with Mary Connors in the amount of $25,675.00 in CDBG Funds as a 2% simple interest, deferred payment loan, to be repaid in full after 30 years or at the time the property changes ownership either by sale, gift, mortgage, land contract, conversion to rental property, inheritance, or change of the use of the property from a single-family residence;
RESOLVED, That the Mayor and City Clerk be authorized and directed to execute a Housing Rehabilitation Agreement with Mary Connors consistent with this resolution, subject to approval as to substance by the City Administrator and approval as to form by the City Attorney with funds to be available without regard to fiscal year;
RESOLVED, That as a condition of loan disbursement, Mary Connors will execute a mortgage and promissory note, subject to approval as to substance by the City Administrator and approval as to form by the City Attorney; and
RESOLVED, That the City Administrator, or his designee, is authorized to take necessary administrative actions and to execute any documents necessary to complete this transaction and to implement this resolution.