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Home My WebLink AboutAppropriating $300,000.00 Development Block Grant Fund Continue Project RebateORDINANCE N®. 6394 -78 Passed by the Common Council of the City of South Bend, Indiana_ July 10 19 78 IRENE K. GAMMON City Clerk of Common Council Presented by me to the Mayor of the City of South Bend, Indiana Approved and signed by July 11 rg 78 City Clerk IRENE K. GAMMON ORDINANCE NO. to 3C y -7 g AN ORDINANCE APPROPRIATING $300,000.00 FROM THE COMMUNITY DEVELOPMENT BLOCK GRANT FUND, TO CONTINUE PROJECT REBATE (HOUSING REHABILITATION), TO BE ADMINISTERED BY THE CITY OF SOUTH BEND THROUGH ITS DIVISION OF COMMUNITY DEVELOPMENT AND THE BUREAU OF HOUSING. STATEMENT OF PURPOSE AND INTENT: The City of South Bend, in creative and affirmative partnership with city residents, private enterprise, and the Federal Government, is committed to the national goal of "a decent home and suitable living environment" for all persons. In attempting to achieve this goal, the City has developed programs to financially assist moderate, as well as, low - income persons in their effort to acquire and /or maintain safe, adequate, and affordable housing through the provision of services, loans, and /or grants. Project Rebate, a housing rehabilitation program based on the concept of leveraging limited public resources through private in- vestment and reinvestment in housing rehabilitation, has proved to be an extremely successful program. In order to meet the demand generated by Project Rebate, additional funds are required. NOW, THEREFORE, BE IT ORDAINED by the Common Council of the City of South Bend, Indiana, as follows: SECTION I. The sum of $300,000.00 is hereby appropriated for the program year starting July 7, 1978 from the City of South Bend's Community Development Block Grant Fund (Program Year 1978). The approp- riation shall be used within the boundaries of the Community Development Neighborhood Strategy Areas as approved by the United States Department of Housing and Urban Development under Title Twenty -Four (24), Code of Federal Regulations, Part Five Hundred and Seventy (570) for Community Development Program Year 1978. The appropriation shall be administered by the Division of Community Development and the Bureau of Housing and will be administered as set forth below: PROGRAM -CD -78 -lo4 COMMUNITY DEVELOPMENT PROGRAM PURPOSE AMOUNT Percentage Cash Rebates $300,000.00 SECTION II. This Ordinance shall be in full force and effect from and after its passage by the Common Council and approval by the Mayor. 1st READING G . a 9 -.7 PUBLIC NEARING 2—,,o . ] 2nd READING NOT APPROVED REFERRED PASSES Member of the Common Council FILED IN CLERK'S OFFICE JUN 211978 Irene Gammon CITY `LERik, "TH 600, M. CITY of SOUTH BEND PETER J. NEMETH, Mayor COUNTY CITY BUILDING SOUTH BEND, INDIANA 46601 DEPARTMENT OF HUMAN RESOURCES AND ECONOMIC DEVELOPMENT COMMUNITY DEVELOPMENT PROGRAM Carl Ellison Director MEMORANDUM Jon R. Hunt Deputy Director TO: MEMBERS OF THE COMMON COUNCIL FROM: CARL ELLISON, DIRECTOR, COMMUNITY DEVELOPMENT SUBJECT: 1978 CDBG APPROPRIATION (PROJECT REBATE) DATE: JUNE 21, 1978 219/284 -9335 The Division of Community Development is presenting for your consideration an appropriation bill totaling $300,000.00 to be used for the continuation of "Project Rebate." The Bureau of Housing is presently conducting Project Rebate with an Innovative CD grant ($208,000.00) and a supplemental CD Appropriation of $50,000.00. In the initial grant application the CD staff established several program objectives, including the leveraging of public dollars, i.e., generating private rehabilitation dollars with public dollars, and the widening of the housing assistance scope to serve the moderate income population in CD "target areas." As with any experimental or innovative housing rehab program, the CD staff was concerned about public response and the performance level which could be achieved in a relatively short time frame. We are pleased to again acknowledge that Project Rebate has surpassed our expectations concerning public response, acceptance, and participation. As of June 20, 1978, Project Rebate has accomplished the following: (1) enrolled, processed, and approved 328 eligible applicants; (2) completed rehabilitation of 235 housing units; (3) established 47 housing units with work pending (a 14.02% drop -out factor resulted in 46 approved applicants declining to enter the program); (4) expended approximately $139,900.00 (with an additional $261,400.00 allocated); Members of the Common Council Page 2 June 21, 1978 (5) generated from the $139,900.00 a total of approximately $491,200.00 in rehabilitation work; (6) established a ratio of $3.50 of rehabilitation work for every $1.00 of public money expended. Based on the above data, the administration is recommending that $300,000.00 of 1978 CDBG funds be appropriated to continue Project Rebate. The total appro- priation will be utilized for the "percentage rebates." We respectfully request your favorable consideration of this bill. Should you have any questions about the program or attached bill please contact me or Mr. Jon R. Hunt at 284 -9335. CE:jmr cc: Jon R. Hunt John DeLee James Harcus Cande Marin TommUtrr Irvort On toe (10MMn 410andt of tot Tit# of 00144 Brno: Your Committee OF THE WHOLE to whom was referred A BILL APPROPRIATING $300,000.00 FROM.THE COMMUNITY DEVELOPMENT BLOCK GRANT FUND, TO CONTINUE PROJECT REBATE (HOUSING REHABILITATION), TO BE ADMINISTERED BY THE CITY OF SOUTH BEND THROUGH ITS DIVISION OF COMMUNITY DEVELOPMENT AND THE BUREAU OF HOUSING. Respectfully report that they have examined the matter and that in their opinion THIS BILL SHOULD BE RECOMMENDED TO THE COUNCIL FAVORABLE. FRANK HORVATH Chairman FREE PRESS AEW PUBUSNING CO.