8.1. HRSR 05-04-2020 - Laserfiche WebLink

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(3) in which the cited housing,maintenance,or building code violations have not been remedied after two notices to cure the noncompliance;and 44�-has uncured housing,maintenance,and building code violations,satisfaction of which would cost more than 50 percent of the estimated market value for the building,excluding land value. {4 4(55))---ARplicants must submit evidence that the property is"structurally substandard"in the form of a property inspection keport� -- Commented[FGA1]:Amanda could the City property inspector perform the inspection for a fee to be reimbursed by the ELIGIBLE APPLICANTS:Eligible applicants for this program must be either.-n--��the applicant or do you want the applicant to hire a third party? 1. An-individual who will build,own and occupy a new owner-occupied dwelling following the demolition of the existing structures;or 2. Contractor who will build an owner-occupied home on the property following the demolition of the structure -- Commented[FGA2]:Does the builder need to have a contract with a future purchaser or just want to build on the properly? Property owners,unless licensed in the trade specified,may not put any sweat equity into the demolition or construction of the foundation,wall/roof framing,shingling,exterior work, electrical/plumbing/HVAC systems or interior carpentry. ELIGIBLE PROGRAM COSTS: Tthe Blighted Properties Demolition&Forgivable Residential Loan program can pay up to$25,000 of the demolition costs for a qualifying site. "Demolition costs"means the costs of demolition,destruction,removal,and clearance of all structures and other improvements on the project site,including interior remedial activities,and proper disposal thereof. As used in this subdivision,"structure"has the meaning given it in section l l6G.03,subdivision 11. Costs incurred before the loan is awarded are not eligible for payment. TERMS: Loans for demolition costs may be made subject to the following terms and conditions: 1. The agreement to repay the loan must be a personal obligation of the property owner, payable primarily from an identified source of income of the property owner,or other security subject to review and approval by the HRA esttm-tissierr.board of�commissioners� -- Commented[FGA3]:who's obligated the repay?The property 2. The loan shall bear interest at a rate equal to fwta -three percent; owner(current or future)or the contractor?I've assumed the property owner. 3. If the property owner-ceases to be occupied as a primary residence or is offered for rent prior to the fifth anniversary of the Does the HRA currently require any mortgage or other document securing the loan?If so,is the mortgage on the property?What if closing date,the property owner will immediately repay the principal amount of the loan and ` the builder obtains the loan?Maybe this is treated as a grant. accrued interest to the date of repayment; Formatted:Not Highlight 4. The principal amount of a loan may not exceed$25,000; 5. Loan proceeds shall be disbursed for eligible demolition costs as incurred or paid by the borrower and upon submission of invoices and other supporting documentation satisfactory to the lcommissionL _- Commented[FGA4]:Are there any designrequirements other �-5.6.If the applicant is a builder,upon sale of the property,the future property owner agreeswill than meeting zoning re qu cements? enter into an agreement to pay back the loan if the property is not owner-occupied for five ears -- Commented[FGAS]:One option would be to have the property ineligible for a city rental license until any outstanding debt is repaid- 2 498470v2 JSB EL185-13