HOME Prog. App Step by Step Project
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MEMORANDUM
November 28, 2005
TO:
The Honorable Mayor and City Council Members
FROM:
Michael C. Van Milligen, City Manager
SUBJECT: HOME Program Funding for Step by Step
Housing and Community Development Director David Harris recommends City Council
approval of an application to the Iowa Department of Economic Development for a
$350,000 HOME Program grant in support of the Step by Step project. This project will
convert a building located at 759 Bluff Street into seven one-bedroom apartments that
are fully wheelchair accessible. The application specifies that City Rental Rehab
Program funds in the amount of $100,000 will be committed toward project costs.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
{l;J0;,J
Michael C. Van Milligen
MCVM/jh
Attachment
cc: Barry Lindahl, Corporation Counsel
Cindy Steinhauser, Assistant City Manager
David Harris, Housing and Community Development Department Director
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MEMORANDUM
28 November 05
To: Michael Van Milligen, City Manager
From: David ~iS, Housing and Community Development Department
Re: HOME Program funding for Step by Step
Introduction
The purpose of this memorandum is to request the City Council's authorization of an
application to the Iowa Department of Economic Development (IDE D) for HOME
Program funding for the Step by Step project.
Background
Housing staff have been working with a group of community advocates for the past
year to develop a concept for a fully wheelchair-accessible residential facility for
persons with mobility disabilities. A potential building has been identified, schematic
drawings completed and a preliminary construction budget established. In addition,
articles of incorporation for a non-profit owner corporation, to be named Step by
Step, have been approved by the sponsorship group and have been filed with the
Secretary of State.
An appraisal of the property has been completed and an agreement on purchase
price has been negotiated with the owner.
Discussion
The building, located at 759 Bluff Street, is an elegant turn-of-the-century redstone; it
will be converted to house seven one-bedroom apartments. Because the number of
units will be increased, from four to seven, a parking variance will be required. The
exterior will be maintained as original in respect of historic district requirements.
In addition to the individual units, a large second floor communal kitchen and dining
area will serve as a focus of activities for building residents. A central elevator will
be installed. The target population for residents is exclusively women with
disabilities, all with incomes below 60% of area median. We are working with the
University of Iowa's Clinical Law Program in reviewing the building schematics to
assure full accessibility and use of up-to-date technology and design elements. We
have used the services of Mark Henning at E-Community to research maximum
energy-efficient heating and cooling systems, in the interest of reducing operating
costs and sustaining affordability.
As well, the building will house an office for a separately-incorporated center for
independent living, or CIL. Currently, a network of seven centers exists in Iowa; it is
the intent of the sponsorship group to add Dubuque to that list. Centers for
independent living serve as education and advocacy organizations for persons with
disabilities, as clearing houses for information and act as referral agencies for
disabled persons and the general public seeking resources. Current OR zoning will
allow this mix of uses.
The Bluff Street building will be owned and operated by its non-profit board of
directors, several of whom will be building residents.
A HOME Program application has been prepared by Housing Department staff in
behalf of this project, in the maximum allowable amount of $350 000. It is proposed
that City matching funds for the HOME grant, in the amount of
$100 000, be committed as part of the financing. These funds are available and
budgeted for that purpose; the source is loan repayments from the Department's
former Rental Rehabilitation Program (RRP), replaced by the HOME Program in
1992. .
A comprehensive rehabilitation/conversion cost budget is being assembled; a
current estimate for the total project cost, including purchase, is $900 000. The
balance of needed funds for the project will be requested from the Des Moines
Federal Home Loan Bank, with an application deadline of April 2006. Additional
funding will also be realized through the federal and Iowa historic rehabilitation and
Iowa enterprise zone tax credit programs; and through foundation grants and fund
raising conducted by the Step by Step organization and volunteers.
The required public notice and hearing, according to Iowa Code Section 362.3, was
held at the Housing Commission, on 22 November.
Recommendation
It is recommended that the City Council approve the attached resolution, authorizing
the Mayor's signature on an application to the Department of Economic
Development for a $350 000 HOME Program grant in support of the Step by Step
project. The application additionally specifies that City Rental Rehab Program funds
in the amount of $100 000 be committed toward project costs.
Action Step
The action requested of the City Council is to approve the attached resolution.
RESOLUTION NO. 523-05
A RESOLUTION AUTHORIZING THE MAYOR TO EXECUTE AN
APPLICATION TO PARTICIPATE IN THE IOWA HOME INVESTMENT
PARTNERSHIP PROGRAM
Whereas, the City of Dubuque recognizes a need to assist lower-income
persons with disabilities with affordable rental housing; and
Whereas, the City recognizes the benefits of such assistance in the form of a
better quality of life and equal accessibility to quality housing for disabled citizens;
and
Whereas, the City has successfully administered more than $1.2 million in
HOME Program grants from the Iowa Department of Economic Development since
1992.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF DUBUQUE, IOWA:
Section 1. That the Mayor is authorized and directed to execute an
application to the Iowa Department of Economic Development for participation in the
HOME Investment Partnership program.
Section 2. That the City of Dubuque Housing Commission has conducted the
required public hearing in accordance with Iowa Code Section 362.3 regarding this
application.
Section 3. That the City of Dubuque commits $100 000 in repayment funds
from Rental Rehabilitation Program reserves to support this project.
Section 4. That the City Manager is hereby authorized and directed to forward
said application and resulting standard executed contract as required by the Iowa
Department of Economic Development.
Passed, approved and adopted this 5th day of December, 2005.
Terrance M. Duggan, Mayor
Attest:
Jeanne F. Schneider, City Clerk