Authorization to File and Release Property Liens for Lead Hazard Control and Healthy Homes GrantCopyrighted
November 6, 2017
City of Dubuque Consent Items # 9.
ITEM TITLE: Authorization to File and Release Property Liens for Lead
Hazard Control and Healthy Homes Grant
SUMMARY: City Manager recommending authorization for the City
Manager or the City Manager's Designee to file and release
liens on properties that are participating in the Lead Hazard
Control and Healthy Homes Program.
RESOLUTION of the City of Dubuque approving an
authorization of the City Manager or the City Manager's
designee to file and release liens on properties
participating in the Lead Hazard Control and Healthy Homes
Grant
SUGGESTED DISPOSITION: Suggested Disposition: Receive and File; Adopt
Resolution(s)
ATTACHMENTS:
Description Type
Authorization to File and Release Liens on Lead Hazard City Manager Memo
Control and Healthy Homes Grant -MVM Memo
Staff Memo Staff Memo
Resolution Resolutions
THE CITY OF
Masterpiece on the Mississippi
TO: The Honorable Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
Dubuque
�.nw,.rnxirxz�
�111F
2007.2012
2013.2017
SUBJECT: Authorization to File and Release Liens on Properties Participating in the
Lead Hazard Control and Healthy Homes Grant
DATE: November 1, 2017
Housing and Community Development Department Director Alvin Nash recommends
City Council authorization for the City Manager or the City Manager's Designee to file
and release liens on properties that are participating in the Lead Hazard Control and
Healthy Homes Program.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
171,dwi('
Micfiael C. Van Milligen'
MCVM:jh
Attachment
cc: Crenna Brumwell, City Attorney
Teri Goodmann, Assistant City Manager
Cori Burbach, Assistant City Manager
Alvin Nash, Housing & Community Development Department Director
Masterpiece on the Mississippi
TO: Michael C Van Milligen, City Manager
FROM: Alvin Nash, Housing & Community Development Director
DATE: October 30, 2017
Dubuque
bitind
AII•America City
NA110,1 ERIC LEX.,
iIip:1
2007.2012
2013.2017
RE: Authorization to File and Release Liens on Properties participating in the
Lead Hazard Control and Healthy Homes Grant
INTRODUCTION
The purpose of this memo is to request City Council consider a recommendation from
the Housing & Community Development Department Director to authorize the City
Manager or the City Manager's Designee to file and release liens on properties that are
participating in the Lead and Healthy Homes Program.
BACKGROUND
Since 1997 the City of Dubuque has received grant funding from the federal Housing
and Urban Development Department (HUD) to assist in making residential housing units
in the City of Dubuque healthier and lead safe. After property eligibility is determined, a
lead inspection risk assessment completed, work specifications prepared, and lowest
bid accepted, a closing is held with the property owner. Closing documents are signed
that include a three-year forgivable promissory note in the dollar amount of the total
agreed upon contract; less the owner contribution. A mortgage lien filing for this amount
is placed on the property for the three-year period during which the forgivable loan is in
place. Each year 33 1/3% of the loan is forgiven thus, after the three year period the
mortgage filing is released.
The Housing & Community Development Director is currently authorized to sign similar
mortgages for the Housing Rehabilitation program, as well as release the lien or
mortgage when the term and agreement has been fulfilled.
DISCUSSION
The forgivable promissory note is an integral piece of the program closing process.
Each property that participates in the Program will have a forgivable promissory note
signed and a mortgage lien filed on the property. This lien against the property helps
ensure compliance of the Program requirements by the property owner. If the property
owner does not stay in compliance the lien is not released.
RECOMMENDATION
I recommend the signatory authority for mortgages and releases for the Lead Hazard
Control and Healthy Homes Program, funded by HUD be signed by the Housing &
Community Development Director.
REQUESTED ACTION
I respectfully request the City Council approve and designate the City Manager or the
City Manager's Designee to be authorized to sign interest in real estate mortgage liens
as well as their associated releases on behalf of the City of Dubuque.
cc: Crenna Brumwell, City Attorney
Prepared by Kim Glaser, Lead & Healthy Homes Program Manager
2
RESOLUTION NO. 348-17
A RESOLUTION OF THE CITY OF DUBUQUE APPROVING AN AUTHORIZATION OF
THE CITY MANAGER OR THE CITY MANAGER'S DESIGNEE TO FILE AND RELEASE
LIENS ON PROPERTIES PARTICIPATING IN THE LEAD HAZARD CONTROL AND
HEALTHY HOMES GRANT
WHEREAS, THE CITY OF DUBUQUE, Iowa by and through its Housing &
Community Development Department, executes property liens and mortgage instruments
on behalf of the City; and
WHEREAS, the various lien and mortgage instruments create an interest by the City
in the various parcels of real estate which have been rehabilitated or repaired under the
eligible activities provided through the federal Housing and Urban Development Department
Lead and Healthy Homes Grant and other applicable standards; and
WHEREAS, the City is frequently requested to dispose of its interest in said real
estate after the property owner has fulfilled the financial and other obligations of their lien
and /or mortgage instrument; and
WHEREAS, it is impractical to have each such disposition approved by the City
Council.
NOW, THEREFORE, BE IT RESOLVED, BY THE CITY COUNCIL OF THE CITY
OF DUBUQUE, IOWA:
Section 1. That the City Manager, or his designee, is authorized to release City of
Dubuque interest in real estate which has been rehabilitated through the Lead Hazard
Control and Healthy Homes Grant activity, if the owner fulfills all the terms and conditions of
the lien and/or mortgage instrument involved.
Section 2. That the City Council shall retain the authority to dispose of interest in any
real estate upon which the original terms and conditions of the lien or mortgage instruments
are not fulfilled.
Section 3. That this authorization shall apply to all future dispositions, as well as to
any here -to -fore disposed of by the Housing & Community Development Department HUD
Lead Hazard Control and Healthy Homes Grant.
Passed, approved, and adopted this 6th day of November, 201'4 .
ATTEST:
Kevin §. Firnstalil, City Clerk
Roy D. Buol, Mayor