1984 REG MTG MIN APR 3 - Laserfiche WebLink

Browse Search

43R Community Development Block Grants Mayor Huntoon declared the Public Hearing open. City Clerk Ramos submitted the Affidavit of Publication and reported that no protests or objections had been received. Planning Director Aguilera stated the purpose of the Public Hearing this evening is to receive citizen input regarding the range of eli- gible activities, and to advise the public of the total amount of funds that may be applied for under the Community Development Block Grant Program. Mr. Aguilera said the maximum available grant amount under the General Community Development Block Grant Program is $600,000, although the City may receive less than that amount. Mr. Aguilera continued that the basic eligible activities fall into the three major categories of housing, public facilities and econom- ic development, which include, but are not limited to - 1) acquisi- tion of real property; 2) public facilities and improvements; 3) property rehabilitation; 4) public services; 5) improvement of sites for assisted housing; 6) expansion of industrial and commercial prop- erty; and 7) historic preservation. It is the City's option as to which category, or combination of categories, they may wish to apply for. Mr. Aguilera advised that Staff has held four well -advertised citi- zen participation meetings at the Luque and Hutton Centers for the purpose of determining which programs the local citizens are inter- ested in. Most people attending the meetings favored applying for funds for the creation of a Housing Rehabilitation Program. Staff then conducted a door-to-door survey of homes and found that 76 per- cent of the people surveyed would be eligible under the income guide- lines, and 33 percent of the houses required major rehabilitation. Mr. Aguilera then referred to a booklet entitled "Housing Rehabili- tation Program Handbook", which outlines guidelines created by Staff. Mr. Aguilera pointed out the revisions that had been made to the hand- book as follows: 1. Loan Allowance - The City Council could approve a loan of up to $25,000, if the applicant exhibited a need to mitigate an over- crowded situation. 2. All deferred loans are to be secured by a trust deed. The debt will not be required to be paid in the form of monthly payments. The annual interest rate shall be zero (-0-). When the property changes ownership, the loan will be due and payable upon such change. The City may, however, make a "New Determination" (see "definitions") and refinance the loan if the new owner qualifies under the rehabilitation program in effect at that time. 3. Target Areas and Targeted Groups. Any citizen in any part of the City 65 years or older may be eligible. The City will spend not more than ten percent of the Community Development Block Grant Housing Rehabilitation allocation for these special areas and/or groups. 4. Citizens living in the Mill Street Drainage Project Target area, households which experienced flood damage in August, 1983, and only if the State approves funding for the installation of the flood control drainage system on Mill Street. Mr. Aguilera said the funds which the City requests must be spent within eighteen months of their receipt, and because this will be the first year the City operates this program, Staff feels that the City could spend $300,000 within the allotted time span; therefore, Staff would recommend that the City apply for half of the available funds so that we are assured of performing well next year, and be able to ask for more funds the following year. APR 3 1984