05-29-2007 Luecke plans to reduce abandoned houses by 72%

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"Many cities lack an accurate tally of the number of vacant and abandoned houses so we already have an understanding of the scope of this challenge," said Catherine Toppel, director of code enforcement. "In addition, we have been researching an ordinance to register vacant houses for more than a year, so we're ready to work with the council toward the adoption of another tool to use in improving our neighborhoods." The city distinguishes between vacant properties —which have no code enforcement violations and up-to-date taxes—and abandoned properties. Vacant properties that don't have activity for three months are considered abandoned. In addition to the vacant and abandoned properties, Code Enforcement staff also counted 1,048 homes for sale and 237 for rent in their survey, which adds up to 3,468 vacant, abandoned, for sale and for rent properties. This strategy's plan to end the abandonment of 445 houses would represent a reduction of 72 percent of the city's 621 abandoned houses. Of the overall figure of 2,183 vacant homes, it represents a reduction of 20.4 percent. "The demolitions will stabilize distressed neighborhoods while the renovated homes will help stimulate investment in commercially viable neighborhoods," said Jeff Gibney, interim director of community and economic development. "The bulk of the money that goes into every $1 house will be private." South Bend's Code Enforcement staff has an active list of 95 derelict properties, but insufficient funds for demolition. Using nearly $500,000 in reprogrammed 2006 Community Development Block Grant funds in the Community and Economic Development budget, Code Enforcement will begin work immediately on those properties citywide for which it already has legal authority to proceed with demolition. With those funds, demolition also will proceed in 2007 on other homes in census tracts with the highest concentration of abandoned buildings. "By using Community Development Block Grant funds only for demolition, there's no income requirement associated with those properties," Toppel said. "The city can sell those properties to developers, adjacent homeowners or neighborhood groups without income limitations." Another $750,000 each in CDBG funds again in 2008 and 2009 will provide Code Enforcement the resources to demolish another 300 substandard homes in targeted neighborhoods. With the $1 home program, the city will use the Community and Economic Development capital improvement funds to acquire saleable properties so there will be no income restrictions for prospective homebuyers. The acquisition and rehabilitation program will be administered by non-profit community development corporations, whose responsibilities will include acquisition, specification writing, inspections, client selection and closing. The city has budgeted $500,000 each in 2007, 2008 and 2009 to acquire 45 abandoned or vacant houses. In his 2007 State of the City address, Luecke pledged to reduce vacant housing by 10 3