HomeMy WebLinkAboutResolution 94-44RESOLUTION 94-
RESOLUTION OF THE CITY COUNCIL FOR THE CITY OF COLUMBI& HEIGHTS,
MINNESOTA APPROVING IHPLEHENTATION OF SHEFFIELD CDBG/HOHE DUPLEX
CONVERSION AND O~ER OCCUPIED REHABILITATION
WHEREAS, the City of Columbia Heights (hereinafter referred to as the
"City") has received a grant of $120,000 (matched by $30,000 of local funds)
through the federally funded HOME Program for use in renovating duplexes in
the Sheffield Neighborhood into large single family houses; and
WHEREAS, the City has allocated $249,010 of its FY1994 federally funded
Community Development Block Grant (CDBG) allocation from the Anoka County
CDBG Program for Acquisition and Clearance of Deteriorated Properties
($139,000) and Single Family/Duplex Housing Rehabilitation ($110,010) with
use of the Acquisition funds restricted to the Sheffield Neighborhood until
June 30, 1995 and with the owners of property in the Sheffield Neighborhood
to receive preference over others for loan/grant funds through the CDBG
Rehabilitation Program; and
WHEREAS, a limited portion (up to $30,000) of the FY1994 CDBG Single.
Family/Duplex Housing Rehabilitation is needed to complete housing rehabili-
tation projects that the HRA has in process outside of the Sheffield
Neighborhood and a portion of the FY1995 CDBG Program funds could be used in
the Sheffield Neighborhood if needed; and
WHEREAS, it is desirable to have housing rehabilitation programs for low
income and non-low income property owners who occupy their property (duplex
or single family) in the entire Sheffield Neighborhood with preference given
to those with homes immediately adjacent to the "Target" block area (4600
Blocks of Pierce and Fillmore Streets); and
WHEREAS, the City currently owns duplex units at 4519-21 and 4535-37
Taylor Street N.E. and 4531-33 Fillmore Street N.E. which are to be the first
three (of up to eleven) duplexes to be converted to single family units; and
WHEREAS, the architectural firm of Dovolis, Johnson & Ruggieri, Inc.
(hereinafter referred to as the "Architect") has been involved with the City
in preparing preliminary plans for the renovation of duplexes and has agreed,
after substantial negotiation, to provide plans and specifications for the
renovation of the three initial duplexes for $2,995 for each of the duplexes;
and
WHEREAS, the plans and specifications prepared by the architect will be
usable with minor revisions on the other duplex conversions; and
WHEREAS. the initial three (and any future) duplexes renovated into
single family houses will be sold and the plan is to sell the houses (for
$84,900 or appraisal value after renovation, whichever is less) via a lottery
system with preference given to residents of Columbia Heights; and
WHEREAS, the proceeds from the sales of the renovated units is to be
deposited into a duplex renovation revolving fund to acquire and renovate
additional duplexes into single family homes in the Sheffield Neighborhood;
THEREFORE BE IT RESOLVED by the City Council of the City of Columbia
Heights that it approves and City/HRA staff are authorized to implement
programs as approved here and in the 1994 HOME and CDBG Programs (as
previously approved by the City Council):
(1) Use of up to $30,000 FY1994 CDBG Single Family/Duplex Housing
Rehabilitation funds for completing rehabilitation projects in progress from
Tamilies outside of the Sheffield Neighborhood with the understanding that
~e amount used outside of the Sheffield Neighborhood Will be replaced by
_ _1995 CDBG funds after July 1, 1995 (if needed in the Sheffield Neighbor-
hood).
!2) Establishment of single a family and duplex owner occupied
rehabilitation program with preference to those immediately adjacent to the
Target Block of the 4600 Block of Pierce and Fillmore. In addition to
assisting low income homeowners under the CDBG funded rehabilitation program,
non-low income homeowners (single family and duplex) will be assisted with up
to $50,000 of funds from the sale of City owned residential properties
located outside of the Sheffield Neighborhood. Staff, with concurrence of
the City Council, is authorized to grant loans with 2% interest and terms of
up to 10 years to owner occupants of duplexes and single family homes in the
Sheffield Neighborhood to enable them to complete interior and or exterior
improvements to their properties. Preference is to be given to properties
immediately adjacent to the "Target Block" area. Loans of up to $5,000 are
authorized with those over $2,000 to be secured by mortgage against the
property and those under $2,000 secured by a Promissory Note.
(3) In regard to the duplex conversion to single family program in the
Sheffield Neighborhood the following, in addition to those guidelines
approved in the FY1994 HOME Program Application, are approved:
(A) Families for ownership of the renovated homes will be selected
by LOTTERY with preference given to Columbia Heights residents.
(B) The price for the renovated houses will be established as the
lower of the appraised value after completion of the renovations or $84,900.
(C) The proceeds from the sale of converted properties is to be
deposited into a duplex renovation revolving fund for aquisition and
renovation of additional duplex units in the Sheffield Neighborhood.
(D) The City Manager is hereby authorized to contract with
Dovolis, Johnson &t Ruggieri, Inc to have them prepare the plans and
specifications for he initial three duplexes to single family houses with
two car garages for a fee of $2,995 each for a total cost of $8,985.
Approved this 18th day of July , 1994.
Motion by: Ruettimann Seconded by: Peterson
'Voting Aye: Jolly, Nawrocki, Ruettimann, Peterson. Sturdevant
Voting Nay: None
Absent: None
ATTEST:
/,/omnne
~4City Council Secretary
//i ose~h' Sturdevant
ts Mayor