HomeMy WebLinkAboutR-1992-D6094 Housing / Urban DevelopmentRESOLUTION NO. D-6094
A RESOLUTION authorizing and directing the City Manager and
the City of Yakima to file an application with
the Department of Housing and Urban Development
for funding for a Hope III Program.
WHEREAS, the United States Department of Housing and
Urban Development has funds available to cities to assist its
citizens in purchasing single family properties held by feder-
al, state, or local governments; and
WHEREAS, the City Council of the City of Yakima deems it
to be in the best interests of the City that it file an appli-
cation for funding for the purpose mentioned above, now,
therefore,
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF YAKIMA:
R. A. Zais, Jr., City Manager of the City of Yakima, is
hereby authorized and directed to execute and file the at-
tached application documents, including all understandings and
assurances contained therein, with the United States Depart-
ment of Housing and Urban Development for funding for the
purpose mentioned above; and he further is hereby designated
as the official representative of the City to act in connec-
tion with that grant request and to provide such additional
information as may be required.
ADOPTED BY THE CITY COUNCIL this 14 day of April
1992.
ATTEST:
(res/hope.jv)
EXHIBIT I
(A) EXECUTIVE SUMMARY
"HOPE 3" proposes to institute a homeownership program that not only offers
affordable first time homeownership for low/moderate income families, but saves
dwelling units from the community's housing market designated for demolition
or removal.
These efforts will materialize from a combined partnership between the Housing
Foundation (HF) and City of Yakima Office of Housing and Neighborhood
Conservation (OHNC).
The program is designed to encourage donations of proposed housing units
deemed for demolition or removal because of public or private expansion. Block
Grant and Washington State Housing Assistance Program Funds will be used to
purchase the lots. A combination of specialty contractors and volunteers will be
doing the rehabilitation work. Proposed federally defaulted acquisitions homes
will use the same rehabilitation concept.
Approximately fifteen homes will be incorporated into the program to address
the housing needs of low/moderate income families with income levels below
80% and above 50% of the federal median income guidelines.
Families will be selected from an established waiting list comprised primarily
from the Urban Homesteading Program. Each family will be prequalified and
counseled on housing affordability and program requirements. All families will
be required to commit 300 hours of work in the home rehabilitation efforts in
lieu of a down payment. They will also be financially responsible for the first
year property tax and insurance. Repayment of the summary of the land, moving
costs and rehabilitation will be in monthly installments. Thirty percent of their
gross monthly income will be used to pay utilities, taxes, insurance and housing
summary costs.
Applicants must be first time homebuyers (within three years), have no
bankruptcy or felony convictions within three years, no credit lien, collections or
judgement.
The established area for this project will be east of 16th Avenue within the city
limits. For the past sixteen years, this section of the city has been used as an
urban renewal area and has the highest number of low income families,
minorities and oldest housing stock.
The program will be established as a partnership between the Housing Foundation
(HF) and City of Yakima Office of Housing and Neighborhood Conservation
(OHNC).
OHNC will develop the leadership role and be responsible for the approval of
land acquisition, accounting and family acceptance. The Housing Foundation will
do cost estimates, identify land, move homes, coordinate volunteers and
contractors and oversee rehabilitation.
After rehabilitation, ownership will be transferred to the family in fee simple
title. This transfer will be part of the housing counseling required by the
program covering home maintenance, budget counseling and title documents.
This partnership will be established through a Memorandum of Understanding
between the parties outlining the responsibilities of each party.
The program will be called ".. v • t •_ • 9 • i1,`,. The initial
program has been established and has a one year history of success in the
development of four homes within the last 12 months.