Posted: 2:00 p.m.
Friday, Jan. 8, 2016
Butler County gets more money to fight blight
By http://www.journal-news.com/staff/denise-g-callahan/" rel="nofollow - Staff Writer
BUTLER COUNTY —
A
new infusion of federal funding could mean more eyesores erased countywide
through the http://www.journal-news.com/news/news/local/land-bank-cleaning-up-butler-county/npB4H/" rel="nofollow - The
county land bank has already spent almost $7 million in federal, state and
local funding to http://www.journal-news.com/news/news/local/land-bank-and-miami-students-to-benefit-from-study/nnw2p/" rel="nofollow - in
Middletown and Hamilton — the county’s two biggest cities. U.S. Sen. Sherrod
Brown (D-OH) has ensured more federal Hardest Hit Funds — $2 billion worth for
the entire country — will come home to Ohio.
As
part of the year-end omnibus spending bill, Congress directed the U.S. Treasury
Department to transfer $2 billion from the Making Home Affordable program to
the Hardest Hit Fund (HHF), which has been used by land banks like the one in Butler County,
to bust blight.
“This
is a major win for Ohio
communities and homeowners that are still recovering from the housing crisis,”
said Brown, ranking member of the U.S. Senate Committee on Banking, Housing,
and Urban Affairs. “It’s critical that we continue to preserve and strengthen a
fund that has provided over half a billion dollars to address the housing
crisis in Ohio
and to redevelop blighted neighborhoods by demolishing vacant properties.”
With
$2.7 million it received in Moving Ohio Forward grants from the state, Butler County
formed a land bank four years ago to deal with blighted buildings. The cities
of Hamilton and Middletown each gave $1.1 million to the land
bank fund as well. The two cities are currently working through $2 million in
HHF money, removing as many as 120 eyesores.
Butler County commissioners agreed to siphon one
percent of delinquent tax and assessment collection funds (DTAC) to bolster the
land bank and http://www.journal-news.com/news/news/local/more-butler-county-communities-beating-blight/nnYnJ/" rel="nofollow - Including
Hamilton and Middletown, there are now eight member
communities in the land bank. Fairfield, Hanover, Liberty, Ross and
Wayne townships and the city of Trenton have all joined the land bank. Oxford and Madison
townships are expected to have their memorandum of understanding approved at
the land bank meeting Monday.
Carlie
Boos, compliance manager with the Neighborhood Initiative at the Ohio Housing
Finance Agency, the entity that administers the HHF, said the treasury
department is in charge of deciding distribution details. A spokeswoman for the
Treasury said since the bill just passed they haven’t worked out the
particulars yet.
There
are no matching fund requirements for HHF and any allotment the county will
receive can be doled out county-wide, but she said the goal of the program
could mean only Hamilton and Middletown would receive funding, unless the
county amends the target areas they established for the HHF. Boos said it will
be up to the land bank board to decide.
“The
primary goal is to prevent foreclosure,” she said. “DTAC is an absolute, great
resource for a lot of counties. especially Butler, to do those more spot clean-ups. This
particular program we want to see it very strategically implemented with that
goal in mind.”
Jim
Rokakis, vice president of Western Reserve Land Conservancy and director of the
Thriving Communities Institute, who was instrumental in getting Ohio’s land banks
established and funding flowing, said studies show if you beat back blight it
staves off foreclosures.
If
people are “underwater” on their mortgage already and they see ratty, vacant
houses dotting their neighborhoods, he said they are more likely to ditch their
own domain, than try to save it.
“The
study proved where there was demolition activity, where you were taking the
blighting influences out of the neighborhood, people were more likely to keep
paying their mortgages and less likely to walk away,” he said.
Rokakis
said initially they identified about 100,000 blighted properties throughout the
state and they have only downed about 22,000 so far, so additional funding was
obviously needed. Kathy Dudley, who handles the land bank for Hamilton,
said “oh yes” when asked if Hamilton
has more blight to tackle.
She
said much of the leveled land has or will be turned over to neighbors as side
lots, Habitat for Humanity built a house on two lots, a house in the middle of
the business district on Main Street will be turned into a parking lot and
several parcels were retained by the city for future projects like South
Hamilton Crossing.
Middletown did not take
ownership of the properties they razed under the state grant so none of them
have been re-purposed. Under the HHF program they are required to take over the
properties, but City Manager Doug Adkins said they are too early in the
demolition process to have outlined plans for future use. He agreed the new
money will be used.
“The
first round of Hardest Hit funds were directed at ‘tipping point”
neighborhoods. Between the first round of Hardest Hit funds and the Ohio
Attorney General’s Moving Ohio Forward demolition program, Middletown is close to having most blight
removed from those tipping point neighborhoods,” he replied in an email. “One
of the changes we hope to see in the execution of the additional new funds is
the ability to expand the use of those funds into more neighborhoods,
specifically for Middletown,
the most distressed neighborhoods, where some blight still remains.”
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