Explanation
BACKGROUND: This legislation releases the recorded interest of the City of Columbus in the property at 1285 Aberdeen Avenue that secures an outstanding balance of $13,797.50 on a loan made by the City's Department of Development to borrower Marsha Barfield on May 14, 2001. Ms. Barfield requested in writing that one-half of the loan be forgiven ($6,898.75) as the property is going into foreclosure from the first mortgage. An offer has come in on the property for $27,000, which would pay off the first mortgage lien holder ($18,000), a mechanic's lien ($2,121) and pays the City $6,898.75. Ms. Barfield would make up the difference of the City's portion plus fees out of pocket.
Emergency action is requested in order to expedite the sale of the property to keep it from going into foreclosure.
FISCAL IMPACT: There is no impact on the current operating funds. There will be a $6,898.75 loss in accounts receivable for Community Development Block Grant Affordable Housing Loan Repayments.
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 1285 Aberdeen Avenue; and to declare an emergency.
Body
WHEREAS, The Department of Development has an outstanding loan balance totaling $13,797.50 to borrower Marsha Barfield for the rehabilitation of the property located at 1285 Aberdeen Avenue, Columbus, Ohio; and
WHEREAS, the purpose for the release of the City's interests is to enable the sale of the property, to refrain from foreclosure and to put the property back into a tax-paying status and improve the house; and
WHEREAS, an emergency exists in the usual daily operation of the Department of Development 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 1285 Aberdeen Avenue that secures an outstanding loan balance totaling $13,797.50 made by th...
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