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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. <br />is <br />i <br />i <br />