HomeMy WebLinkAbout09080RESOLUTION NO. 9080
A RESOLUTION ESTABLISHING A SIDEWALK REPAIR
LOAN PROGRAM TO BE ADMINISTERED BY THE
DEPARTMENT OF HOUSING AND COMMUNITY
SERVICES
WHEREAS, the repair of deteriorated sidewalks adjacent to residential property and the
provision of decent, and safe public sidewalks in low -and moderate - income neighborhoods serve
public and municipal purposes; and
WHEREAS, the repair of deteriorated sidewalks would confer a general benefit on the City
of Pueblo at large; and
WHEREAS, there exists a demonstrated need to make funds available to low -and
moderate - income families for the repair of deteriorated sidewalks
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF PUEBLO,
COLORADO, that:
Section 1.
A. The City, on an annual basis by appropriate legislative enactment may, without obligation to
do so, make available to the Department of Housing and Community Services (herein
"Department ") funds for the purpose of implementing the terms and provisions of the Sidewalk
Repair / Replacement Program of the City (herein "Program "). The Department shall make
application for other available moneys for sidewalk repair loan and grant programs and shall
incorporate such grants or loans into the Program to further the objectives of the Program in
meeting the neighborhood revitalization goals of the Consolidated Plan.
B. The Department shall be responsible for the implementation of the Program, in accordance
with the terms and provisions of this Resolution. The owner or lessee of a single family or
multifamily dwelling of four or fewer units located in the City of Pueblo who occupies the single
family home or a unit within the multifamily dwelling as his sole and only place of residence shall
be eligible to make application for sidewalk repair assistance under the Program if he /she meets all
of the following criteria:
0 Sidewalk repairs to the public sidewalk adjacent to the home are needed to eliminate those
conditions described as needing repair by Department of Public Works.
• The Participant has completed and signed a Sidewalk Repair Program Participation
Application form and the Participant or his contractor has obtained proper permit from the
Department of Public Works.
• A verified estimate of the cost of such repairs has been prepared and approved by the
Department of Public Works.
• Participant has entered into a contract with a contractor who has been properly licensed to
perform such work by the Pueblo Regional Building Department.
C. Upon receipt of an application from a qualified applicant whose residence meets the
conditions of paragraph "B" above, and provided unobligated program funds are available, the
Department shall:
• Obtain documentation of persons listed on title in the dwelling and that the applicant
has a good and marketable title to said residence.
• Obtain credit information, pertinent income verifications, property owner ship and
ascertain relevant economic information concerning the applicant and other persons
residing in the home including but not limited to, family size, family income, place
of employment of all members of the family, date of purchase of the residence, and
existing indebtedness secured by said residence.
• Prepare a preliminary analysis of applicant's ability to repay any funds made
available to applicant under the program.
• Once the contractor has completed the repairs the Participant is responsible for
submitting the invoices from the contractor to the Department of Housing for
disbursements of loan proceeds.
D. In all sidewalk loan applications the Department will review each application on a
case-by -case basis to evaluate needs affecting ability of households to make payment the
department will use the following definitions:
(a) Gross Annual Family Income. Gross family income means income from all sources
of the head of the household and all persons residing in the premises, and each who are at
least 18 years of age. It is to include income anticipated to be received during the twelve
months following receipt of sidewalk repair assistance but excluding the income of full time
students other than head of household or spouse.
(b) Deductions toward Adjusted Annual Family Income: For purposes of determining
adjusted annual family income the following amounts are deducted from the computation of
Gross Annual Family Income:
(1) For all families a $480 deduction from annual income for each
dependent and, a deduction for actual child care expenses and handicap assistance
expenses.
(2) In addition to deductions (1), an additional deduction of $400 for
any head of household or spouse 62 years of age or older.
(3) In addition to the foregoing allowances, an additional deduction of: (1)
$400 per household if any disabled persons reside in the home; and;
(4) A deduction for 50% of the amount of unreimbursed major medical
expenses.
(c) Adjusted Annual Family Income: Defined as gross annual family income minus
eligible deduction.
E. In determining if the applicant is a low or moderate income person and eligible for a reduced
interest loans under the program, the gross annual family income must be within the limits of
current HUD Section 8 income guidelines based on borrower's family size.
F. Loan funds shall be repaid over a term not to exceed 36 months in accordance with the
terms of a Promissory Note executed by each participant.
G. All funds repaid by participants shall be deposited to a revolving account fund to be used
only for loans for sidewalk rehabilitation under this Resolution or subsequent Resolution that may
be adopted by the City Council providing for a similar program. To further the objective of the
Program, the Department may combine such funds with other available monies for neighborhood
revitalization and housing rehabilitation in order to meet the goals of the Consolidated Plan,
provided that such combination and the use of such assistance are both eligible under 24 CFR 570.
H. All persons and entities entering into contracts with participants to make repairs shall be
Equal Opportunity Employers and shall comply with all applicable federal, state and local laws and
regulations.
I. Before payment shall be made for any repairs, rehabilitation or construction, it must be
authorized by the Director of Department after inspection of the completed work to to verify that the
work has been satisfactory completed in accordance with the work write -up contained as part of
contract documents between the homeowner and the contractor. The Director may require lien
waivers or other proof to be provided indicating that all contractors, workman and suppliers have
been paid prior to authorizing such payment.
Section 2.
This Resolution shall become effective immediately upon final passage and approval.
Introduced August 14 , 2000
LM
Robert Schilling
Councilperson
Attest:
City rk
Appr e :
A ell',11
r sident of the City Council
Title: A RESOLUTION ESTABLISHING A SIDEWALK
REPAIR LOAN PROGRAM TO BE
ADMINISTERED BY THE DEPARTMENT OF
HOUSING AND COMMUNITY SERVICES
Department: Housing & Community Development
Agenda Item #
Date: August 14, 2000
COUNCIL BACKGROUND PAPER
I. SUMMARY
A. Issue:
A resolution establishing a sidewalk repair program and setting general
administrative guidelines (see attached guidelines) .
B. Recommendation:
Approve the resolution, thus enabling the City of Pueblo Department of
Housing and Community Development to begin the implementation of the
sidewalk repair program. The program meets the CDBG eligibility
program in that neighborhood revitalization encompasses public
improvements including sidewalk repair and replacement.
II. BACKGROUND
The City of Pueblo has received an increase demand for sidewalk repair funds. In
order to serve a larger group of citizen and provide for sidewalk improvements in
some of Pueblo's older neighborhood the Department of housing has developed
the Sidewalk Repair Program. This project will assist the City in meeting the
goals and objectives of the CDBG program and the Consolidated Plan by
providing for Low and Moderate - income households low interest loans for
sidewalk replacement on the public right of ways. Also included are provisions
for multi - family units.
III. FINANCIAL IMPACT
The City of Pueblo $75,000
The City of Pueblo will provide $75,000 from CDBG funds for the implementation of the
program. All payments generated will be redeposited into the program for assisting other
applicants under the program.
IV. ALTERNATIVES
A. The City could elect to not begin without City assistance.
B. The City could approve this resolution.
Sidewalk Repair/Replacement —
Neighborhood Revitalization
Through this program the City of Pueblo provides funds to help replace deteriorated sidewalks adjacent to
residences. For senior citizens over 65 and for disabled persons, who own and occupy residences, the City will
provide reduced or no interest loans of not more than $2,000. The payment will be based on the household's ability
to pay with a minimum payback of twenty-five dollars a month. For all other low to moderate income citizens and
the owners of multifamily property containing not more than four (4) units the program will provide an interest rate
between 0 and 6% to be repaid in 24 to 36 months with monthly installments. Under the program the owners of
multifamily property must provide matching funds on a 50150 basis. The program will be available in selected
neighborhoods where CDBG and HOME funds have been targeted for neighborhood revitalization. There are
limited funds available; therefore, applications will be considered on a first come, first served basis.
Minimum Loan: $250
Maximum Loan: $1995
Contact: Jose Sanchez, Housing Rehab Specialist and Program Manager (719) 584 -0830
City Ordinance 12 -3 -21 et.seq of the Pueblo Municipal Code assigns responsibility for the repair and maintenance of
public sidewalks to the owner of the abutting property. Public Work inspectors inspect sidewalks and notify the
property owner of needed repairs. In the event the property owner does not make timely repairs, the Public Works
Department hires a private contractor to make the repairs and bills the property owner for the costs. These loan
funds will be available in some cases for these types of repairs.
When you receive a sidewalk posting...
The property owner can either do the repair himself, or he can hire a private contractor to repair the sidewalk by
obtaining bids.
The following is a set of guidelines pertaining to the program:
1. This program is for sidewalk replacement only.
2. The program is for single - family residential properties, regardless of the zoning of the property, and for other
properties within a residential zone.
3. The sidewalk repair must conform to Sec 12 -3 -21 et.seq of the Pueblo Municipal Code administered by the city of
Pueblo Public Works Engineering Division.
4. The program will be administered on a first come, first serve basis (based upon receipt of applications). Applications
need to be returned to the Pueblo Department of Housing, #I City Hall Place, Pueblo, Colorado 81003.
5. Property owners will be required to sign a loan agreement to pay the city back the funds. The city funds cannot
exceed $1995 of the total costs of the repairs. The property owner will be required to make arrangements to pay the
contractor any costs that exceed the maximum loan amount.
6. To bid upon and perform the work on any projects funded under the program, contractors must be licensed by the
Pueblo Regional Department. Contractors shall also be referred to obtain the required permit from the Department
of Public Works prior to commencing work.
7. In order for a person to be eligible for the Sidewalk Repair loan funds, the following requirements must be met:
a. The property owner must meet the low -to- moderate income guidelines (80% of median income or less), which are
outlined below. Proof of income for all household members 18 years and older must be attached to the application.
At a minimum, this must include proof of income sufficient to establish eligibility to the department.
Persons in Household Income Limit
1 $25,500
2 $29,100
3 $32,750
4 $36,400
5 $39,300
6 $42,200
7 $45,150
8 $48,050
b. The property owner must complete and return a Sidewalk Application for CDBG Funds.
c. All borrowers will be required to execute a Promissory Note agreeing to repay the loan.