NSP-1 Purchase/Rehab/Resale Hijinks

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   Some intriguing questions for certain senior City staff members about the Purchase-Rehab-Resale component of the $2.144 million HUD Neighborhood Stabilization Program - Round One grant: 

1)  What about the alternative Plan prepared by a former City division head that would help reclaim SEVENTY (70) rather than the 20 vacant, foreclosed homes for new owner-occupancy?
2)  Is it true that his plan, prepared in late October 2008 and never presented to the public, WOULD NOT DIRECTLY INVOLVE THE CITY in the process of acquiring and maintaining homes for resale such as the one prepared by an out-of-state consultant for Ginger Smith?
3)  Wasn't the majority of the last City Council opposed to the City of Middletown being ONCE AGAIN DIRECTLY INVOLVED IN THE REAL ESTATE BUSINESS like the infamous FHA Dollar Homes fiasco?
4)  Is there potential for any one local business to benefit handsomely via the City's acquisition of 20 vacant, foreclosed homes?
5)  Where will most (if not all) of the 20 vacant, foreclosed homes be located?
6)  As was allegedly stated by a senior City staff member, will as much as $75,000 be doled out for project subsidy for any house aquired/rehabilitated/resold?
7)  Is there a plan available that multiplies the public benefit while minimizing the City's liability and expenditure of Federal funds?

A detailed summary of my plan were forwarded to the last City Council plus candidates Joshua Laubach and A.J. Smith.  A comparative summary was also posted on this blog. And, it was determined consistent with HUD program rules and regulations by their Headquarters NSP staff!  And, my plan was endorsed by local real estate professionals, target area neighborhood residents and mortgage bankers who were sent packing as members of the now-defunct HUD Consolidated Planning Committee.  They agreed that my plan provided the City with the BEST RETURN ON INVESTMENT of HUD funds!!  Sadly, it didn't see the light of day thanks to Ginger Smith and Miss Judy!

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Nelson R. Self Members Profile Send Private Message Find Members Posts Add to Buddy List MUSA Citizen Joined: Oct 03 2009 Status: Offline Points: 279	Post Options Post Reply Quote Nelson R. Self Report Post Thanks(0) Quote Reply Topic: NSP-1 Purchase/Rehab/Resale Hijinks Posted: Feb 16 2010 at 9:50am
	*Some intriguing questions for certain senior City staff members about the Purchase-Rehab-Resale component of the $2.144 million HUD Neighborhood Stabilization Program - Round One grant:* 1) What about the alternative Plan prepared by a former City division head that would help reclaim SEVENTY (70) rather than the 20 vacant, foreclosed homes for new owner-occupancy? 2) Is it true that his plan, prepared in late October 2008 and never presented to the public, WOULD NOT DIRECTLY INVOLVE THE CITY in the process of acquiring and maintaining homes for resale such as the one prepared by an out-of-state consultant for Ginger Smith? 3) Wasn't the majority of the last City Council opposed to the City of Middletown being ONCE AGAIN DIRECTLY INVOLVED IN THE REAL ESTATE BUSINESS like the infamous FHA Dollar Homes fiasco? 4) Is there potential for any one local business to benefit handsomely via the City's acquisition of 20 vacant, foreclosed homes? 5) Where will most (if not all) of the 20 vacant, foreclosed homes be located? 6) As was allegedly stated by a senior City staff member, will as much as $75,000 be doled out for project subsidy for any house aquired/rehabilitated/resold? 7) Is there a plan available that multiplies the public benefit while minimizing the City's liability and expenditure of Federal funds? A detailed summary of my plan were forwarded to the last City Council plus candidates Joshua Laubach and A.J. Smith. A comparative summary was also posted on this blog. And, it was determined consistent with HUD program rules and regulations by their Headquarters NSP staff! And, my plan was endorsed by local real estate professionals, target area neighborhood residents and mortgage bankers who were sent packing as members of the now-defunct HUD Consolidated Planning Committee. They agreed that my plan provided the City with the BEST RETURN ON INVESTMENT of HUD funds!! Sadly, it didn't see the light of day thanks to Ginger Smith and Miss Judy!

Bill Members Profile Send Private Message Find Members Posts Add to Buddy List MUSA Citizen Joined: Nov 04 2009 Status: Offline Points: 710	Post Options Post Reply Quote Bill Report Post Thanks(0) Quote Reply Posted: Feb 16 2010 at 10:08am
	Nelson, I applaud you for providing us some knowledge about a process of which most of us, including me, are totally ignorant. You are also to be commended for shedding a light on questionable practices. However, until someone does something about the HUD program or gets some answers, I'm tiring of this topic. Most of us don't have the background to investigate this further.

Nelson R. Self Members Profile Send Private Message Find Members Posts Add to Buddy List MUSA Citizen Joined: Oct 03 2009 Status: Offline Points: 279	Post Options Post Reply Quote Nelson R. Self Report Post Thanks(0) Quote Reply Posted: Feb 16 2010 at 10:21am
	Bill - You're correct in your assessment of my numerous posts. So much depends upon new City Council members Josh Laubach and A.J. Smith. If they don't seek reliable information and answers to many troubling HUD problems, there is little hope for positive change. I will back off for now. Thanks, Bill.

Bill Members Profile Send Private Message Find Members Posts Add to Buddy List MUSA Citizen Joined: Nov 04 2009 Status: Offline Points: 710	Post Options Post Reply Quote Bill Report Post Thanks(0) Quote Reply Posted: Feb 16 2010 at 10:53am
	I do not mean to criticize...I guess I feel helpless with the volume of info coming from you. Most us understand the issues surrounding the school district or street paving or unwarranted police/fire union contracts. But I don't grasp this HUD stuff at all...it might as well be Mandarin. What can we do? Where do we go? I don't even know what info is valid or if some of it can be refuted?

Nelson R. Self Members Profile Send Private Message Find Members Posts Add to Buddy List MUSA Citizen Joined: Oct 03 2009 Status: Offline Points: 279	Post Options Post Reply Quote Nelson R. Self Report Post Thanks(0) Quote Reply Posted: Feb 16 2010 at 2:08pm
	As long as certain senior CIty staff keeps average Middletonians "in the dark" on the HUD spending extravaganza, we can expect "more wasteful bureaucracy" as their normal course of action. To date, not one matter that I've brought to the attention of City Council and MiddletownUSA participants has ever been refuted or found to be false! I await any challenges from the "all-knowing urban experts" at One Donham Plaza!

Nelson R. Self Members Profile Send Private Message Find Members Posts Add to Buddy List MUSA Citizen Joined: Oct 03 2009 Status: Offline Points: 279	Post Options Post Reply Quote Nelson R. Self Report Post Thanks(0) Quote Reply Posted: Feb 16 2010 at 2:15pm
	To Middletown USA Participants - Make sure that you have your munchies and beverages ready for tonight since it's another episode of "City Council Showtime" beginning at 5:30 p.m. All is well in Middletown these days! What a City!

Pacman Members Profile Send Private Message Find Members Posts Add to Buddy List Prominent MUSA Citizen Joined: Jun 02 2007 Status: Offline Points: 2612	Post Options Post Reply Quote Pacman Report Post Thanks(0) Quote Reply Posted: Feb 16 2010 at 2:24pm
	Bill I understand what you are saying. HUD and Housing is a complicated government boondoggle. How do you understand a group whose philosophy is outlined in Red Below. And of course Middletown goes right along with that philosophy. "He explained the process that starts with a Cost Estimate Report, includes a Rehab Feasibility Analysis, and Appraisal. Homes acquired and rehabbed could be incentive homes. If the program does not get all its money back from the rehab, that’s OK. HUD recommends you lose $75,000 per home. When you take an empty house and possibly turn it into the last vacant house on the street; putting a taxpaying family in the house, HUD feels these are investments in the neighborhood and community. They will tell you if you are not losing money, you are not doing a good job."