Explanation
BACKGROUND: This legislation authorizes the amendment of Ordinance 1564-2024 which was approved by City Council on July 5, 2024 to reduce the funding amount previously authorized within the 2023 HOME grant funds, as well as authorizes the expenditure in an amount up to $100,613.00 from the 2018 HOME Investment Partnerships Program (HOME) entitlement grant funds from the U.S. Department of Housing and Urban Development (HUD) and authorizes the Director of the Department of Development enter into a commitment letter, loan agreement, promissory note, mortgage, restrictive covenant, and authorizes the city to act as a lender for this project with the Homes on the Hill Community Development Corporation. The project is to develop and construct a single family housing unit at 120 N. Eureka Ave., that was recently from the City of Columbus Land Bank.
Ordinance 1564-2024 approved by City Council on July 5, 2024, authorized the Director of Development to support the development of the single housing unit at 120 N. Eureka Ave., in an amount of up to $270,201.00 of 2023 HOME Investment Partnerships Program (HOME) funding. Ordinance 1564-2024 will need to be amended to reduce the funded amount from the 2023 HOME grant funds in the amount of ($79,487.00) which will bring the total funded amount for the project utilizing 2023 HOME grant funds to be in an amount of $190,714.00. The reason for this reduction is that through the reconciliation process 2018 HOME grant funds were identified and can be utilized for this project. Therefore, this ordinance is authorizing the amount that was reduced from the 2023 grant funding ($79,487.00) as well as an additional request of funding in an amount up to $21,126.00 for a total amount of 2018 grant funding of $100,613.00 and a total funded amount for the overall project in an amount up to $291,327.00. The need for the additional HOME funding is due to the post construction appraisal was valued higher than anticipated th...
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