Explanation
BACKGROUND:
This legislation releases the recorded interest of the City of Columbus in the property at 1561 E. Fourth Avenue that secures an outstanding balance of $29,600.00 on a loan made by the City's Department of Trade and Development, now known as the Department of Development, to borrower Edith T. Hunter. Ms. Hunter is deceased and the property has been vacant for three years due to a previous fire. Her heir, Jerome Hunter, would like to sell the property to Arnold Calhoun, President, Genesis Second Chance. Genesis Second Chance would renovate the property to use as housing for ex-offenders or families of inmates who do not have housing. Mr. Calhoun requested forgiveness of the deferred loan from the City of Columbus in the amount of $29,600. The Auditor's website shows the value of the land to be $9,600.00. The purpose for the release of the City's interests is to enable to transfer of the property to further the purposes of the non-profit in providing social services and to eliminate a vacant and abandoned property bringing it back into usefulness.
Emergency action is requested in order to expedite the transfer of the property by to the non-profit.
FISCAL IMPACT:
No funding is required for this legislation. There will be a $29,600.00 loss in accounts receivable for Community Development Block Grant Funds Housing Assistance Program Deferred Rehab Loan.
Title
To authorize the Director of the Department of Development to release the recorded interest of the City of Columbus in the property located at 1561 E. Fourth Avenue; and to declare an emergency.
Body
WHEREAS, the Department of Development has an outstanding loan balance totaling $29,600.00 to borrower Edith T. Hunter, for the rehabilitation of the property located at 1561 E. Fourth Avenue, Columbus, Ohio; and
WHEREAS, in response to a request from Arnold Calhoun, President of Genesis Second Chance, a not-for-profit, 501c3, faith-based organization, the City wishes to release the loan; and
WHEREAS, the purpose for the release of the City's interests is to enable Genesis Second Chance to renovate the vacant and abandoned property to improve the house; and
WHEREAS, an emergency exists in the usual daily operation of the Department of Development, Housing Division, in that it is immediately necessary to authorize the Director of the Department of Development to release the recorded interest of the City of Columbus in 1561 E. Fourth Avenue that secures outstanding loan balance totaling $29,600.00 made by the City's Department of Development to borrower Edith T. Hunter in order to preserve the public health, peace, property, safety, and welfare. NOW, THEREFORE,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS
Section 1. That the Director of the Department of Development be and is hereby authorized to release the recorded interest of the City of Columbus in the property located at 1561 E. Fourth Avenue, Columbus, Ohio that secures outstanding loan balance totaling $29,600.00, made by the City's Department of Development to borrower Edith T. Hunter.
Section 2. That for the reasons stated in the preamble hereto, which is hereby made a part hereof, this Ordinance is hereby declared to be an emergency measure and shall take effect and be in force from and after its passage and approval by the Mayor, or ten days after passage if the Mayor neither approves nor vetoes the same.