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TO: Mayor Thomas J. Weisner
FROM: Jim Pilmer, Director of Neighborhood Standards
DATE: June 2, 2014
SUBJECT:
Requesting authorization for the Mayor to enter into a Program Funding Agreement with Illinois Housing Development Authority in the amount of $250,000.00 for eligible uses in connection with maintenance and demolition of Abandoned Vacant Property within Aurora, Illinois.
PURPOSE:
The recent recession and foreclosure crisis created abandoned and vacant property throughout communities. The City of Aurora and Division of Property Standards implemented a Residential Vacant Property Program in July 2013 and budgeted $250,000.00 in FY 2014 to pursue the maintenance and demolition of abandoned and vacant property. The Illinois Housing Development Authority in 2013 amended the Illinois Housing Development Act, 20 ILCS 3805/1 (the IDHA Act) to allow Section 7.31 of the IDHA Act authorizing the Abandoned Residential Property Municipal Relief Program. This program allowed communities to submit grant applications in the amount of $75,000.00 or seek waiver to ask for $250,000.00 with a 1 to 1 match on funds in excess of $75,000.00. Aurora was awarded the waiver and will receive $250,000.00 in IDHA funding. The program will be administered by the Department of Neighborhood Standards, with assistance from the Finance Department, Legal Counsel, and Neighborhood Redevelopment. The funds can be used citywide, but an emphasis will be in the Neighborhood Revitalization Strategy Area of the near east side of Aurora.
BACKGROUND:
Since July 2013 the Division of Property Standards began the Residential Vacant Property Program. The program has two elements. 1. With the cooperation of Legal, Zoning, Building and Permits and Engineering, the Division of Property Standards has been working towards active Code Enforcement cases for the Repair or Demolition of Abandoned Residential Properties. 2. Through the Vacant Residential Property Registration Program, Property Standards has been registering and maintaining vacant residential properties with board ups and grass cutting. Several code enforcement cases are with the Legal Department and the courts are beginning to award the properties to Aurora for demolition in 2014. In November 2013, this grant was submitted for consideration. The award was made in May 2014. The Program Funding Agreement requires the signature of the Mayor and needs to be returned by July 7, 2014 to IDHA.
DISCUSSION:
The funding request includes the following amounts towards the program: Removal of junk/trash/graffiti- $25,000., cutting weeds/grass-$20,000., board ups - $30,000. and demolition - $175,000. Some expenses incurred during 2013 can be submitted for eligible reimbursement. All work in the program will be done by third party vendors and follow ordinances for the contracted work performed The revenue for income and expenditures will be in the following established accounts: Revenue Grant- State- Other 101-1727-334.30-02
Expenditure: Special Program - Grant - Other 101-1727-424.50-50. A budget amendment has been submitted to the Budget Division for the revenue and expense.
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IMPACT STATEMENT:
This grant funding opportunity allows the City of Aurora to continue mission critical work inside neighborhoods for the stabilization of property values, abate blighted properties and create quality of life in neighborhoods by the reduction of vacant and abandoned residential properties. The collaboration of city services have been cross functioning to implement this initiative for the past 10 months and will continue to provide the necessary work for the success of Aurora's Residential Vacant Property Program and the grant funding agreement.
RECOMMENDATIONS:
I request the proposed resolution be adopted and the Mayor executes the Program Funding Agreement for the Abandoned Property Program with the Illinois Housing Development Authority.
cc: Alderman O'Connor, Chairman
Alderman Mervine
Alderman Bohman
Alderman Peters, Alternate
CITY OF AURORA, ILLINOIS
RESOLUTION NO. _________
DATE OF PASSAGE ________________
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A Resolution authorizing the Mayor to accept a grant and execute the Program Funding Agreement in the amount of $250,000.00 from the Illinois Housing Development Authority's Abandoned Residential Property Municipal Relief Program.
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WHEREAS, the City of Aurora has a population of more than 25,000 persons and is, therefore, a home rule unit under subsection (a) of Section 6 of Article VII of the Illinois Constitution of 1970; and
WHEREAS, subject to said Section, a home rule unit may exercise any power and perform any function pertaining to its government and affairs for the protection of the public health, safety, morals, and welfare; and
WHEREAS, the City of Aurora, Illinois ("the Sponsor") has been awarded a grant (the "Grant") from the Illinois Housing Development Authority (the "Authority") program administrator of the Abandoned Residential Property Municipal Relief Program (the "Program"), as that Program is authorized by Section 7.31 of the Illinois Housing Development Act, 20 ILCS 3805/1 et seq. and the rules promulgated under the Act codified at 47 Ill. Adm. Code 381, as may be amended from time to time; and
WHEREAS, that the Sponsor shall enter into the Agreement with the Authority wherein the Authority agrees to make the Grant to the Sponsor, which shall be used by the Sponsor to assist with the maintenance and demolition of abandoned properties within the Recipient's area, all in accordance with the terms and conditions set forth in the Agreement; and
WHEREAS, that the Mayor of the Sponsor and the City Clerk of the Sponsor are hereby authorized and empowered to execute and deliver in the name of or on behalf of the Sponsor the Agreement and any and all amendments, modifications and supplements thereto, and to execute and deliver such additional documents, instruments and certificates, as may be necessary or desirable for the Sponsor to perform its obligations under the Agreement; and
WHEREAS, that the Mayor and the City Clerk be and hereby are authorized and directed to take such additional actions, to make further determinations, to pay such costs and to execute and deliver such additional instruments (including any amendments, Agreements or supplements) as he or she deems necessary or appropriate to carry into effect the foregoing resolutions; and
WHEREAS, that the Sponsor hereby ratifies, authorizes and confirms and approves all documents and instruments executed in connection with the Grant and the Agreement, including those acts taken prior to the date hereof; and
WHEREAS, the revenue for income and expenditures will be in the following established accounts: Revenue Grant- State- Other 101-1727-334.30-02
Expenditure: Special Program - Grant - Other 101-1727-424.50-50. A budget amendment has been submitted to the Budget Division for the revenue and expense.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Aurora, Illinois, as follows: authorizes the Mayor to accept a grant and execute the Program Funding Agreement in the amount of $250,000.00 from the Illinois Housing Development Authority's Abandoned Residential Property Municipal Relief Program.
PASSED AND APPROVED on ______________.
AYES ____ NAYS ____ NOT VOTING ____ ABSENT ____
____________________________ __________________________
Alderman Bohman, Ward 1 Alderman Garza, Ward 2
____________________________ __________________________
Alderman Mesiacos, Ward 3 Alderman Donnell, Ward 4
____________________________ __________________________
Alderman Peters, Ward 5 Alderman Saville, Ward 6
____________________________ __________________________
Alderman Hart-Burns, Ward 7 Alderman Mervine, Ward 8
____________________________ __________________________
Alderman Bugg, Ward 9 Alderman Johnson, Ward 10
____________________________ __________________________
Alderman Irvin, At Large Alderman O'Connor, At Large
ATTEST:
____________________________ __________________________
City Clerk Mayor
Attachments:
Summary of IDHA Grant Application
Program Funding Agreement with page 9 signature page
Exhibit A with page 11 signature (Drug Free Work Place Certificate
Incumbency Certificate for Mayor and City Clerk