REGULAR MEETING MARCH 24, 1975
<br />REGULAR MEETING - RECONVENED (CONTINUED)
<br />RESOLUTION (CONTINUED) DEVELOPMENT, AN APPLICATION FOR COMMUNITY
<br />DEVELOPMENT FUND UNDER TITLE I OF THE
<br />HOUSING AND COMMUNITY DEVELOPMENT ACT OF
<br />1974.
<br />A public hearing was held at this time on the resolution. Mr. William Hojnacki, Director of the
<br />Department of Human Resources and Economic Development, made the presentation for the ordinance.
<br />He explained that the resolution authorized an application for $3,547,000 which was the city's
<br />entitlement under the Housing and Community Development Act of 1974. The budget represented a
<br />fairly -wide range of expenditures that the city hoped to make as the first part of the total three -
<br />year $9 million program. The sense of the program was neighborhood conservation. The point of the
<br />program was to deal essentially with those neighborhood concerns that were eligible under the
<br />enabling legislation. The basic part of the program was to divide the funds into three or four
<br />different kinds of programs. One of the most important was the Housing Conservation Revolving
<br />Fund, which fund would be on- going. Under this section, a revolving fund was the only method by
<br />which the city could accrue interest on the funds. Five different housing programs were included
<br />in the fund. The largest was the Project Area Rehabilitation Program. The city would designate
<br />the top priority neighborhood with the most blighted conditions and attempt to rehabilitate housin<
<br />within that area. The two project areas currently underway are the Model Cities and Southeast Side
<br />Neighborhood, which areas would continue to be the two priority neighborhoods. Also, pilot prograi
<br />would be allowed in other areas of the city where some rehabilitation was needed. The Emergency
<br />Repair Program had been employed successfully, whereby individuals are eligible to receive a one-
<br />time grant of funds for repairs in a relatively small amount. It was hoped this program could be
<br />expanded city -wide. The Guaranteed Loan Program involved the city putting funds into private
<br />financial institutions. These institutions would then make loans to persons who would otherwise
<br />not be eligible. This would be directed to transitional neighborhoods. The Elderly Housing
<br />Allowance Office Referral Program would involve referrals from the Housing Allowance Office and
<br />would allow for these persons to be eligible for the program where they otherwise would not be.
<br />The Non - Profit Group Rehabilitation Program would make money available to neighborhood groups or
<br />other non - profit groups who wanted to rehabilitate homes in a certain area. The Historical
<br />Preservation Revolving Fund would develop the West Washington Street area. This money would be
<br />matched with other funds. The Substandard Demolition money would be programmed into the
<br />Environmental Protection Bureau for the demolition of substandard buildings. The Park and Open
<br />Space Development Program would look at neighborhoods where the need was there for park and open
<br />space. The same logic would apply in the area of public works. The Department of Redevelopment
<br />would be receiving a large amount of this money. Part of the money would be used to complete the
<br />city's obligation on the Downtown Urban Renewal Project. The Future Planning segment in the amoun-
<br />of $450,000 would be used for completion of the downtown area. Mr. Hojnacki concluded by stating
<br />that the remainder of the program would be administered through the Department of Community
<br />Development.
<br />Mr. James Russell, Voice of the Peace newsletter, wondered how many housing programs the city
<br />presently had underway, and Mr. Hojnacki indicated that there was the southeast side project, the
<br />Model Cities project and the programs undertaken by the Housing Authority. Mr. Russell wondered i
<br />any of these programs were used in 1970. Mr. Hojnacki indicated that the Housing Authority pro-
<br />grams were in existence in 1970. Mr. Russell wondered if the city was deteriorating because of al
<br />the federal programs. He felt federal funds were fine if administered correctly. He could not
<br />understand how all this money could be available if the city had to cut so many employees. He
<br />felt the black community needed something to be proud of, and he stated that, in his opinion, the
<br />city was going backwards. Mrs. Glenda Ray Hernandez, 702 East South Street, treasurer of the
<br />Southeast Side Neighborhood Project Action Committee, spoke on behalf of the advisory board for
<br />the southeast side. She stated that the board felt it was unfortunate that a large amount of
<br />money must be needed to complete the downtown area. She stated that the important parts of the
<br />program concerning the southeast side dealt with the park land and rehabilitation of the homes in
<br />the area. Mrs. Irene Mutzl, a member of the Fair Tax Association, residing at 320 Parkovash, felt
<br />that, if all this money was kept in the people's pockets in the first place, the homes could be
<br />rehabilitated. She indicated that the southeast neighborhood was told about 10 years ago to only
<br />do what they had to do to their homes to keep them standard. She wondered about progress to date
<br />on the southeast project. Mr. Keith Crighton; Manager of the Bureau of Housing, indicated that,
<br />as of March 31, the city had obligations in the amount of $313,095, and the total $438,000 budget
<br />would be allocated by June 30th. Mrs. Mutzl wondered about the landlords who make no improvements
<br />but merely collect rents on their properties. Mr. Hojnacki indicated that the only thing that the
<br />landlord must do is maintain his property at a reasonably safe and sound level. The ability to
<br />enforce this was indeed a difficult thing, particularly for housing units that were occupied. He
<br />stated that part of the program would give increased enforcement in this area. Mrs. Mutzl won-
<br />dered how long,a'- person must own his home before he could come under the Housing Allowance Referra
<br />Program. Mr. Hojnacki indicated that no limit had been set Any contract of $5,000 would have
<br />to come before the Council, and major repairs averaged $6,000 for rehabilitation. Mrs. Jane Cobb,
<br />Executive Director of the YWCA, 802 South Lafayette Boulevard, made a request for funds to rehabil
<br />tate the YWCA building. She felt that, in order to continue service to the women of the community
<br />the building would have to be brought up to standard. It had been recommended that auxilliary
<br />lighting be installed at a cost of $3,000. Re- plastering must also be accomplished, bathrooms nee
<br />to be remodeled, and some work must be done on the furnace. Also, there was a leak in the roof.
<br />She wondered if the request of the YWCA for funds, which had been submitted to the Mayor, had been
<br />given consideration when the proposal had been prepared. Mr. Hojnacki indicated that the request
<br />of the YWCA was being considered. He stated that.it was not included in the proposed program as
<br />a line item because the YWCA was an organization that had access to many sources of funding, and
<br />secondly, there might be other alternatives to deal with the problem. He stated that the YWCA
<br />"could" qualify under the program because it was a residential unit in need of rehabilitation.
<br />Mrs. Cobb stated that one source of income was from the housing aspect, and the building must be
<br />kept up to standards so that women would utilize the facilities. Councilman Nemeth asked Mrs.
<br />Cobb how much the YWCA had requested, and Mr. Hojnacki indicated that the request had been in the
<br />amount of $20,000. He stated that a breakdown had not been received with the request in terms of
<br />how the money would be spent. Mrs. Cobb indicated that a proposal had been sent to Mr. Hojnacki;
<br />however, no breakdown had been requested at that time. Council President Parent asked that Mrs.
<br />Cobb send a copy of her proposal to the City Clerk who, in turn, could make copies and forward the
<br />information on to the councilmen for consideration. Mrs. Cobb indicated that costs, at this time,
<br />were not available because it was not known if the funds would be available. She agreed to provid
<br />whatever information she could.. Councilman Horvath asked for a financial statement on the income
<br />and expenditures for the YWCA, and Mrs. Cobb also agreed to supply the financial information. Mr.
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