Community Revitalization - OK Smokey give us the Layman's version

OK Smokey give us the Layman's version

Printed From: MiddletownUSA.com
Category: Middletown City Government
Forum Name: Community Revitalization
Forum Description: Middletown Community Revitalization News
URL: http://www.middletownusa.com/forum/forum_posts.asp?TID=1503
Printed Date: Nov 22 2024 at 7:17am

Topic: OK Smokey give us the Layman's version

Posted By: Pacman
Subject: OK Smokey give us the Layman's version
Date Posted: Jul 01 2009 at 10:22am

http://www.cityofmiddletown.org/docs/commsvc/nsp2_draft.pdf - http://www.cityofmiddletown.org/docs/commsvc/nsp2_draft.pdf

http://www.cityofmiddletown.org/docs/commsvc/2007_caper.pdf - http://www.cityofmiddletown.org/docs/commsvc/2007_caper.pdf

Replies:

Posted By: Smokey Burgess
Date Posted: Jul 06 2009 at 3:01pm

CITY OF MIDDLETOWN: HUD NEIGHBORHOOD STABILIZATION PROGRAM - ROUND TWO APPLICATION

Program Summary (Excerpts):

The City of Middletown, Ohio, for example, is now ranked the 10th Fastest-Dying Town in the United States according to Forbes magazine.1 In the wake of the housing market collapse and the decrease in available credit, the target geography now has a substantial oversupply of vacant undesirable housing leading to almost complete disinvestment in some target geography neighborhoods. Many of these vacant homes approach 100 years old and are functionally obsolete, whether it be by outdated building code standards or by the unusually high density of housing built during the period, or by size of house in number of bedrooms, square footage or lot size.

HUD Funding Requested (Excerpts):

The amount of NSP2 funds requested is $25,683,888. At least twenty-five percent (25%) of funding requested ($6,420,972) will be used for housing to households <50% of Area Median Income (AMI). That will be through either acquisition/rehab or redevelopment. The consortium is seeking an exception to the 10% cap for demolition. That exception is included in this application in the pages that follow. We are asking for $5,238,000 (20.4%) of the total grant to be utilized for demolition due to the extensive number of vacant, blighted properties within the consortium. Of the total grant amount, 12.9% ($3,325,000) will be used for acquisition/rehab of housing for households <120% of AMI and 9.4% ($2,425,000) will go toward acquisition/rehab of housing to households <50% AMI. Redevelopment of infill housing will take place in the Middletown area and will account for $10,275,000 (40%) of the total grant. At least $3,995,972 (15.6%) of that redevelopment allocation will be utilized for housing to households <50% AMI to ensure the consortium meets the 25% requirement. $645,000 (2.5%) of funding requested will be used for Land Banking. The balance of $1,207,500 (4.7%) will be used for financing mechanisms (i.e. down payment assistance). Due to the extent of activity, Middletown will be hiring additional staff for the term of NSP2 and NHS will be spending a good portion of their time with this funding. Therefore, $2,568,388 (10%) is being requested for administration. Based on the funding request above, the consortium will acquire and rehab approximately 70 properties, demolish 200 blighted properties, land bank an estimated 70 lots, and provide down payment assistance for an estimated 120 homebuyers. Effective recovery of program income will allow us to extend those uses well beyond the initial expenditure. All NSP2 activities will take place in eligible NSP2 census tracts that meet the vacancy/foreclosure score requirement. All households will be at or below 120% of area median income.

Posted By: Smokey Burgess
Date Posted: Jul 06 2009 at 3:06pm

$5,000,000+ REQUESTED FROM HUD FOR PROPERTY DEMOLITION??

The HUD Neighborhood Stabilization Program - Round Two application to be reviewed by the City Council tomorrow night requests $5,238,000 (20.4%) of the total grant to be utilized for demolition due to the extensive number of vacant, blighted properties within the consortium. Given that the cost of typical demolitions is averaging about $7,500 per structure over the past few years, this would appear adequate to demolish 700 rather than the 200 properties that they project?? Is there an explanation??

Posted By: VietVet
Date Posted: Jul 06 2009 at 3:25pm

Bottom line- We are being lead deeper into the abyss that is Section 8, welfare, lower income attraction, lowering of standards for a once proud town. All of this because it is easier to obtain Federal funds (for encouraging a program that no other competent town wants) rather than acquiring revenue the old fashion way through economic development. Guess it's easier to ask the government for money than to be self sufficient and create revenue on your own. If that's true, why do we need an Econ.Dev. Dept? They have nothing to do if all "revenue growth" is coming from government handouts. I'm telling you folks, the longer these people are in our city government, the more damage they do. Stop the da-- Section 8- making the town a financial invalid and reverse this cluster before the whole town is destitute, impoverished and unlivable. The town is headed for life support. These morons are murdering this town with their welfare crap!!!

Posted By: Smokey Burgess
Date Posted: Jul 06 2009 at 4:32pm

Viet Vet -

How sad thing that all of these HUD "funny money" giveaways will burden our children and grandchildren with more national debt compliments of Communist China, etc.

A big chunk of this HUD Neighborhood Stabilization Program money (25%) must be spent to assist low-income households. It will be quite a challenge to find credit-worthy and otherwise qualified potential homeowners given these limitations. You might find the "LEASE-PURCHASE" option utilized in many cases??

All that I know is the City of Middletown is embarking upon a significant venture with a less than stellar track record for much smaller past projects. Since so little is now shared with the public it's hard to tell where all of this will go?

We can only hope for the best as our City Council will surely be relatively quiet tomorrow night??

Nelson Self

Posted By: Smokey Burgess
Date Posted: Jul 06 2009 at 10:52pm

Tomorrow night the Middletown City Council will vote upon a staff proposal to apply for $25+ million in additional HUD Neighborhood Stabilization Program (NSP) funds. The majority of these monies (if approved by HUD), and combined with $2.144 million in previously allocated NSP funds, will have a long-lasting positive or negative impact on our community.

The cost-effectiveness and relevance of program activities that are implemented, as well as the level of city staff expertise in administering these borrowed Federal funds, will have a great impact on the sustainability of our community. Many of us can only hope and pray that this likely new windfall of Federal funds will not work to the detriment of true urban revitalization.

A few years from now many of you will look back on tomorrow night as a key date in the history of Middletown. I hope and pray that it will be a positive one?

NRS

Posted By: randy
Date Posted: Jul 08 2009 at 10:01am

It is my understanding that Middletown is requesting $2.2 million in demolition. Hamilton is requesting $538,000 for demolition. Butler County is asking for $2.5 million to demolish the old Monroe High School. Of Middletown’s $2.2 million, one million is to be used for commercial demolition and 1.2 million will be used for residential demolition.
Some where around page 30 I believe that's what the http://www.cityofmiddletown.org/docs/commsvc/nsp2_draft.pdf - Middletown's NSP2 shows.