7.2. HRSR 09-08-2020 - Laserfiche WebLink

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(vii) flooring and flooring elements;or (viii) walls,insulation,and exterior envelope; (3) in which the cited housing,maintenance,or building code violations have not been remedied after two notices to cure the noncompliance;and (4) 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. (5) Applicants must submit evidence that the property is"structurally substandard" in the form of a property inspection report. The property inspection report may be completed by City staff and the fee for the City's services is included in the $500 application fee.. ELIGIBLE APPLICANTS:Eligible applicants for this program must be either: 1. 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. 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: The Blighted Properties Demolition&Forgivable Residential Loan program can pay up to$20,000 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 116G.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 board of commissioners. 2. The loan shall bear interest at a rate equal to three percent; 3. The loan shall be forgiven if the requirements under the heading"Forgiveness"are met. 4. The principal amount of a loan may not exceed$20,000; 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 Executive Director. FORGIVENESS: The HRA will forgive the principal of and interest accrued on the loan up to 100 percent of the original loan amount,not to exceed the costs of demolition upon the submission to the HRA's Executive Director of: (i)a certificate of occupancy is issued by the City for the 2 498470v2 JSB EL185-13