The URL can be used to link to this page

Home My WebLink About5.C.3. Home Improvement Loan under Residential Rehabilitation Loan Program 5: c. 3, CITY OF SHAKOPEE CO~.lftA~~~Pj\\1I '...~ . ,I, 1', ~ ~~; flfW I Memorandum &kii;lf ... ' TO: Honorable Mayor and City Council Pamela Punt, Council-elect Mark McNeill, City Administrator FROM: R. Michael Leek, Community Development Director l?1v1- SUBJECT: Approval of Request for Home Improvement Loan under Residential Rehabilitation Loan Program MEETING DATE: December 15,2009 INTRODUCTION: At its December l5t meeting the Council reviewed two applications for residential rehabilitation loans. One (for 225 Sommerville Street South) was approved, while the other (606 Third Avenue East) was tabled. The Council directed staff to review whether the target area for loans could be expanded, and whether alternative loan criteria could and should be provided for expansion areas. DISCUSSION: Upon further review of City records, staff discovered that the target area had been expanded by Resolution No 5557 adopted July lO, 200l (see attached). It was on the basis of this expanded target area that the Carver CDA had forwarded for approval the application for 606 Third A venue East. Thus, below Council is asked at this time to approve that application. From the correspondence appended to the attached resolution, it appears that further expansion of the target area may require further action to open and further amend the grant agreement with DEED. In light of that, and in light of the fact that there is only about $55,000.00 available in the revolving fund, staff is suggesting that the Council not consider a further expansion of the target area at this time. During the discussion at the December l5t meeting, there were some questions about the background information required with loan applications. The "SCDP FILE CHECKLIST" attached provides a further clarification of the types of information that is required of applicants. 1 ALTERNATIVES: 1. Offer and pass a motion approving the request for a rehabilitation loan for 606 Third Avenue East because it is within the previously expanded target area for loans, and directing staff to work with the Carver CDA to implement the loan. 2. Provide staff with any further direction it deems appropriate regarding the program. STAFF RECOMMENDATION: Staff recommends alternative no. 1, i.e. offer and pass a motion approving the request for rehabilitation loan for 606 Third A venue East because it is within the expanded target area for loans, and directing staff to work with the Carver CDA to implement the loan. RELATIONSHIP TO CITY GOALS: By providing for the upgrading of existing housing in the target area, this item relates to City Goal D, vibrant, resilient and stable. ACTION REQUESTED: Offer and pass a motion approving the request for rehabilitation loan for 606 Third A venue East because it is within the expanded target area for loans, and directing staff to work with the Carver CDA to implement the loan. 2 SCDP FILE CHECKLIST DOCUMENTS NEEDED TO COMPLETE APPLICATION PROCESS D Application D Release Form D Home Owner Responsibility Form D Verification of Assets D Verification of Income - LMI (Low-Moderate Income)? D Verification of Current Mortgage D Verification of Ownership D Adequate Equity Exists D Verification of Current Taxes D Proof of Homeowner's Insurance D Within Target Area? D Approved by City of Shakopee? DATE SEND THE FOLLOWING WITH APPROVAL LETTER D Lead Paint Warning Signed D Fair Housing Acknowledgement Signed D $46.00 application fee (to be used for recording fee) AFTER THE ABOVE HAVE BEEN RECEIVED D File given to Dave Schaffer DATE D A t least two bids have been secured DOCUMENTS NEEDED AT LOAN CLOSING CLOSING DATE D Notice of Right of Recession D Truth-in-Lending Disclosure 0 Repayment Agreement SENDING DOCS TO RECORDERS OFFICE 0 Use recorder cover sheet SCOTT COUNTY D Wait for check back from acct. depart. Check needs to be sent with the repayment agreement for Scott County D Make a copy of the repayment agreement for the file and write the date sent to the recorder's office on it 0 Repayment Agreement sent to Recorder's Office DATE ''-' SHAKOPEE October 23,2001 Ms. Leona Humphrey Minnesota Department of Trade & Economic Development 500 Metro Square, 121 7th Place East St. Paul, MN 55101 Dear Ms. Humphrey: This letter is a request for a change to the Grant Agreement for the Shakopee Small Cities Development Program, specifically related to the expansion of the housing target area. In addition, per the SCDP Implementation Manual, a resolution from the City Council authorizing this change must accompany this letter. The Shakopee City Council has determined that in order to maximize the Shakopee Small Cities Development Program, the following changes to the Grant Agreement are needed: . An expansion of the owner-occupied housing and rental housing rehabilitation target area, as exhibited on the map accompanying the enclosed resolution. The Shakopee City Council adopted Resolution No. 5557 (see attachment), which contains the changes listed above. In addition, the original environmental assessment has been re-evaluated to determine if the original Finding of No Significant Impact is still valid. This was done by the Carver County HRA through contacting parties (via letter - see attachment) who may have an interest in this project for their comment and review (USFEMA; MNDNR; DSHUD; City of Shakopee; and MNHS). The HRA received no comments, concerns or questions from these parties. If you have questions or need additional information, please call me at (952) 496-9661. Paul Snook Economic Development Coordinator COMMUNITY PRIDE SINCE 1857 129 Holmes Street South' Shakopee, Minnesota' 55379-1351 . 952-233-3800 . FAX 952-233-380] . www.cLshakopee.mn.us r .. ... ,", RESOLUTION NO. 5557 CITY OF SHAKOPEE, MINNESOTA A RESOLUTION AUTHORIZING EXPANSION OF THE TARGET AREA AND EXTENSION OF GRANT PERIOD FOR THE SMALL CITIES DEVELOPMENT PROGRAM WHEREAS, the City of Shakopee has been allocated funds by the United States Department of Housing and Urban Development (BUD) under the Community Development Block Grant Program through the Minnesota Department of Trade and Economic Development Small Cities Development Program for the rehabilitation of 30 single-family homes, the rehabilitation of 30 rental residential properties and the rehabilitation of 15 commercial properties; and WHEREAS, the City of Shakopee and Minnesota Department of Trade and Economic Development entered a Grant Agreement, outlining the general provisions of grant activity including the grant completion date and program target area; and WHEREAS, according to the Grant Agreement, the Shakopee Small Cities Development Program grant end date is 9-30-01; and WHEREAS, to date, 44% of the $741,750 funded for rehabilitation activities has been used by property owners in the target area; and WHEREAS, the City of Shakopee finds that in order to realize full advantage of the Small Cities Development Program, an extension of the time limit ofthe grant for one year, to September 30, 2002, is needed; and WHEREAS, the City of Shako pee finds that in order to increase the effectiveness of the Small Cities Development Program, an expansion of the owner-occupied housing and rental housing rehabilitation target area is necessary. NOW, THEREFORE, BE IT RESOL YED BY THE CITY COUNCIL OF THE CITY OF SHAKO PEE, that in order to maximize the Shakopee Small Cities Development Program, the following changes to the Grant Agreement are needed: 1. An extension of the time limit of the Shakopee Small Cities Development Pro gram grant for one year, to September 30, 2002, and 2. An expansion of the owner-occupied housing and rental housing rehabilitation target area, as exhibited on the attached map. Adopted in ~1~l1A) session ofllie City Council of the City of Shako pee, Minnesota, held this 10 tJ;. day of 3 JCj- , 2001. ~1:~ Mayor of the City of Shakopee ATTEST: O~luJ~~_, J ~r( aity }Clerk ( .I / ~ . . ~: -~ .~ ~ t&8' ' I , "~I ' , ~ ~, L..e.~ .. . .5' ..~, " , . 'S: ctl <:::> ' .- ~. ' 'f' ' <( -cS- ::s .. ... , .' . . . .. . . . rn ..' , : .- ..' .f:: . .. , '. Q) .' 'O. ~:. E' '. .: ~~V(.':i.\:< .,E,': " 0" <.)' ' . ' . . .' I ,,:.t~"."::";'\' '.: \,':.-; '=I~ . ~ . . ,~',.,., "~'.; " ~ , do) ~ " -< - ":' ,"~"S" , bJ:)' : ~ .' . . '.' : .;..c .... '. .~ ' . . . . I :'" .' . ,8., . ,:'. .. !'. ':".:'::.. . .;~I.:..., .' .' do) " .. .. do) . . .. . . ~. "0 ','~ JOOOio(' =. -= rJ1 " . .- .' ,. -.. ': "..~ ~~ ~CHR~ Carver County Housing & - Redevelopment Authority July 26,2001 U.S. Fed. Emergency Mgmt. Agency Region V 175 West Jackson Blvd. 4th Floor Chicago IL 60604 To Whom It May Concern:: You were sent a letter September 13,1999 regarding the consultation and review process of the Small Cities Development Program (SCDP) Environmental Assessment (EA) for the City of Shakopee. The purpose of the EA was to determine whether or not the project mayor will have a significant impact on the quality of the human environment. The tarqet area of the proiect has been expanded. Therefore, we are reevaluatinq whether or not expandinq the tarqet area mayor will have a siQnificant impact on the Quality of the human environment. The funds are being used for the rehabilitation of 30 single-family homes, 30 rental properties and 15 commercial properties. Applicants who fit the program guidelines are considered on a first-come first-served basis. The target area is bound roughly by Fourth Avenue, Bluff Street, Naumkeag Street, and Clay Street. The specific properties will be determined at the time of the property owner's application (please see attached map of the target area). Please address any Questions or concerns reQardinq the environment impact of expandinq the tarQet area to my attention bv AUQust 24th. The City will not be re-publishing a Finding of No Significant Impact'Request for Release of Funds (FONSIIRROF). However, we will be holding a public meeting on August 28th (during the city council meeting) for comments. If you have any questions, please feel free to contact me at (952) 448-7715. sAe~ ~~~ Amanda Smoot Community Development Specialist Carver County HRA Enclosure 705 Walnut Street. Chaska, MN 55318 . Phone: (952) 448-7715 . Fax: (952) 448-6506 acCHR~ Carver County Housing & - Redevelopment Authority July 26, 2001 Environmental Officer U.S. Depart. of HUD 220 South Second Street Minneapolis MN 55401 To Whom It May Concern: You were sent a letter September 13, 1999 regarding the consultation and review process of the Small Cities Development Program (SCDP) Environmental Assessment (EA) for the City of Shakopee. The purpose of the EA was to determine whether or not the project mayor will have a significant impact on the quality of the human environment. The tamet area of the proiect has been expanded. Therefore, we are reevaluatinq whether or not expandinq the taraet area mayor will have a siqnificant impact on the Quality of the human environment. The funds are being used for the rehabilitation of 30 single~family homes, 30 rental properties and 15 commercial properties. Applicants who fit the program guidelines are considered on a first-come first-served basis. The target area is bound roughly by Fourth Avenue, Bluff Street, Naumkeag Street, and Clay Street. The specific properties will be determined at the time of the property owner's application (please see attached map of the target area). Please address any Questions or concerns reqardinq the environment impact of expandinQ the tamet area to my attention bv AUQust 24th. The City will not be re-publishing a Finding of No Significant Impact/Request for Release of Funds (FONSI/RROF). However, we will be holding a public meeting on August 28th (during the city council meeting) for comments. If you have any questions, please feel free to contact me at (952) 448-7715. Sincerely, A ~ ~t)bt Amanda Smoot Community Development Specialist Carver County HRA Enclosure 705 Walnut Street. Chaska, MN 55318 . Phone: (952) 448-7715 . Fax: (952) 448-6506 . ~CHR~ Carver County Housing & Redevelopment Authority July 26, 2001 Dennis Gimmestad Govt. Programs & Compliance Office MN Historical Society 345 Kellogg Bvld. W. Saint Paul MN 55102-1906 Dear Mr. Gimmestad: You were sent a letter September 13,1999 regarding the consultation and review process of the Small Cities Development Program (SCDP) Environmental Assessment (EA) for the City of Shakopee. The purpose of the EA was to determine whether or not the project mayor will have a significant impact on the quality of the human environment. The tarQet area of the liroiect has been expanded. Therefore, we are reevaluatinq whether or not expandinq the ,In::!et area may or will have a sionificant impact on the quality of the human environment. The funds are being used for the rehabilitation of 30 single-family homes, 30 rental properties and 15 commercial properties. Applicants who fit the program guidelines are considered on a first-come first-served basis. The target area is bound roughly by Fourth Avenue, Sluff Street, Naumkeag Street, and Clay Street. The specific properties will be determined at the time of the property owner's application (please see attached map of the target area). Please address any Questions or concerns reqardinq the environment impact of expandinq the tan:let area to my attention bV AUQust 24th. The City will not be re-publishing a Finding of No Significant Impact/Request for Release of Funds (FONSIIRROF). However, we will be holding a public meeting on August 28th (during the city council meeting) for comments. If you have any questions, please feel free to contact me at (952) 448-7715. Sincerely, PI ~ ~ffi)t Amanda Smoot Community Development Specialist Carver County HRA Enclosure "r.t: ,.T"',.,,,i- Qi-,.,ooi- . r.h!:lc:1n, MN FiFi::l1 R . Fhrme: (952) 448.7715 . Fax: (952) 448-6506 ; SECTION 106 REVIEW NOTeS *It is strongly recommended that reviews of rehabilitation work be submitted individually and not "bundled" together. *The SHPO response time for submissions is generally within 30 days of the date of receipt by the SHPO. If additional. information is needed, the response time will be extended when that information is received by the SHPO.' "'It is important that the entire rehabilitation project be described on the Scope of Work Form for Historic PreseNation Projects, not just the items that will be funded with CDBG/HOME funding. Failure to include elements of the rehabilitation project constitutes project segmentation. *General'questiohson,the review process should bedirected:to', theSHPO"Review.'and ' Compliance staff. Specific technical questions on rehabilitation work and The Secretary of the Interior's Standards (windows, ma~onry cleaning, etc.) should be directed to the SHPO Historical Architect. It is strongly encouraged that problematic areas be discussed with the SHPO Historical Architect before the Scop'e aT Work Form is completed and ' submitted; this wiH increase the likelihood of project approval on the first submittal to the Review and Compliance Section. " "'If the project sponsor is applying for the federal preservation tax incentives, a copy of the . Part If Tax Certification Form can be substituted for the' Scope of Work Form for Historic Preservation Projects. However, please note: *A 9QQY. of the Part If Tax Form must be submitted to the Review and Compliance Section of the SHPO even though the original Part /I Tax Form has been submitted for tax credit review. This is because the review of tax incentive' projects is done under the National Park Service; review of Section 106 projects is done under the Advisory Council on Historic Preservation. The SHPO coordinates both reviews at the' state level. *\Nhile a copy' of the Part Jf Tax Form can substitute. for the Scope of Work Forml the Scope, of Work Form cannot substitute for the Part IJ Tax Form. *The Part /1 Tax Form and the Scope of Work Form are nearly identical. Other materials that should be used with this outline: * 36 CFR Part 800: Protection of Historic Properties (text can be found on the Advisory Council's web site at http://www.achp.qov/reqs.htm/J * The Secretary of the Interior's Standards for Rehabilitation and Guidelines for Rehabilitating Historic Buildings (text can be found on the National Park Service's web site at http://WWW2.cr.nps.qov/tps/standards/index.htmJ * Scope of Work Form for Historic PreseNation Projects Original: 9/92; Revised: 5/94, 9/94, 12/95, 12/97, and 10/2000 .IDENTIFICATION OF HISTORIC PROPERTIES #1 Regarding the property to be rehabilitated, is it ... listed individually on the National Register? ... within the boundaries of, or immediately adjacent to; a historic district which is listed on the National Register? ... previously determined by the SHPO to be individually eligible to the National Register or within the boundaries, or immediately adjacent to, a historic district which has been determined by the SHPO to be eligible to the National Re,gister? */f the answer to any part of question #1. is YES, proceed to .. ' ;' REVIEW"OFREHAB1LlTATION:WQ~K.pe(oW..,,,,""':' "."'" """'. "-. .... , #2 Was this property originally built after 1950? */f the answers to.a/J parts of question #1 are NO and the answer to question #2 is NO; , proceed to EVALUATION OF HISTORIC PROPERTIES below. **/f the answers to all parts of question #1 are NO and the answer to question #2 is YES" " no further Section 1 O~ review is necessary. ' "" . Ev ALUA TION OF HISTORIC PROPERTIES If the property to be rehabilitated was built before 1950 and has not been previously listed on the National Register or determined eligible for the National Register, then further evaluation is necessary. Please submit the following information to the' SHPO'for review: . * A photograph of the property (no photocopies please) * Year that ,the prop,ert,Y was built * Address or location of property (no RR #s or PO Box #s please) Number and Street if in a, municipality Section#- Township#-Range# if in a township * Any known historical information about the property (original owner, architect, associated events or persons) In some cases, the SHPO may ask for additional historical information on a property after the initial photograph and data is submitted. (PLEASE NOTE: This will begin a new 3D-day review cycle once additional information is received by the SHP€l) In a very few cases, it may be necessary for the agency administering the CDBG/HOME funds to hire a contract historian to complete additional historical research and analysis in order to evaluate the property's eligibility to the National Register. If the SHPO determines that the property is not individually eligible to the National ~ ,',.: . SHAKOPEE ., /'J__ ...!JI-i :. lIht!7), ( August 7, 2001 Ms. Amanda Smoot Carver County Housing & Redevelopment Authority 705 Walnut Street Chaska,:MN 55318 RE: Expansion of Target Area Dear Ms. Smoot: The City of Shakopee is in receipt of your letter regarding the expansion of the target area for Small Cities Development Program. Thank. you for providing the information to the City of Shakopee, however there do not appear to be any other issues associated with this expansIon. COM:MUNITY PRIDE SINCE 1857 129 Holmes Street South. Shakopee, Minnesota. 55379-1351 . 952-445-3650 . FAX 952-445-6718