City of Madison - File #: 18929

• File #: 18929
• Version: 1
• Name: Authorizing the provision of $432,000 in Federal HOME Match funds to assist Common Wealth Development, Inc. in acquiring and rehabilitating two 4-unit buildings for the purpose of providing affordable rental housing.
• Type: Resolution
• Status: Passed
• File created: 6/21/2010
• In control: BOARD OF ESTIMATES (ended 4/2017)
• On agenda: 7/20/2010
• Final action: 7/20/2010
• Enactment date: 7/21/2010
• Enactment #: RES-10-00678
• Title: Authorizing the provision of $432,000 in Federal HOME Match funds to assist Common Wealth Development, Inc. in acquiring and rehabilitating two 4-unit buildings for the purpose of providing affordable rental housing.
• Sponsors: Shiva Bidar, Tim Bruer, Marsha A. Rummel

Date	Ver.	Action By	Action	Result
7/20/2010	1	COMMON COUNCIL	Adopt	Pass
7/12/2010	1	BOARD OF ESTIMATES (ended 4/2017)	RECOMMEND TO COUNCIL TO ADOPT - REPORT OF OFFICER	Pass
7/6/2010	1	COMMON COUNCIL	Referred
7/1/2010	1	COMMUNITY DEVELOPMENT BLOCK GRANT COMMITTEE	Return to Lead with the Recommendation for Approval	Pass
6/24/2010	1	CDBG Office	Referred for Introduction

Fiscal Note

Sufficient Federal HOME Match funds of $432,000 are available for this project within the Community Development Division's Housing Development Reserve Fund, which was authorized as part of the CD Division's 2010 Adopted Operating Budget.

Title

Authorizing the provision of $432,000 in Federal HOME Match funds to assist Common Wealth Development, Inc. in acquiring and rehabilitating two 4-unit buildings for the purpose of providing affordable rental housing.

Body

Common Wealth Development is a community-based agency that for over 30 years has provided construction of affordable rental housing and economic development projects that have enhanced the quality of life within the Williamson-Marquette neighborhood.

Common Wealth will acquire two 4-unit buildings that have been abandoned and vacant since 2008.  Common Wealth will rehabilitate all 8 units and turn them into affordable housing for 8 households, with 4 units also having accessibility incorporated into the design.  The project will take vacant, abandoned properties that are on the brink of foreclosure and turn them into safe, affordable rental units.

WHEREAS, the CDBG staff and the CDBG Committee have received this proposal and find that it furthers the goals expressed in the 2010-2014 Five-Year Community and Neighborhood Development Plan and the 2010 Community Action Plan; and,

WHEREAS, the acquisition and rehabilitation of 2 properties located within the Williamson-Marquette neighborhood at 434 S. Thornton Ave. and 1526 Jenifer St. will provide long-term affordable rental housing; and,

WHEREAS, the successful completion of the project will provide affordable housing to 8 LMI households;

NOW, THEREFORE BE IT RESOLVED that the Common Council authorize a long-term deferred loan to Common Wealth Development, Inc. to acquire and rehabilitate 8 units of affordable rental housing and authorize the Mayor and the City Clerk to enter into an agreement with Common Wealth Development, Inc. for $432,000 in HOME Match funds to be expended by December 31, 2010.

BE IT FUTHER RESOLVED that the assistance be offered with terms adopted in the 2009-2010 Program Funding Framework for Community and Neighborhood Development.  Assistance to the agency will be offered in the form of a long-term deferred loan without shared appreciation or interest.