HomeMy WebLinkAbout1998-093-06/02/1998-ESTABLISHING A POLICY FOR THE ALLOCATION OF FUNDING IN THE FORM OF LOANS VERSUS GRANTS FOR CERTAIN T RESOLUTION 98-93
OF THE COUNCIL OF THE CITY OF FORT COLLINS
ESTABLISHING A POLICY FOR THE ALLOCATION OF FUNDING
IN THE FORM OF LOANS VERSUS GRANTS FOR CERTAIN
TYPES OF HOUSING PROJECTS FUNDED BY THE COMMUNITY
DEVELOPMENT BLOCK GRANT PROGRAM AND THE HOME INVESTMENT
PARTNERSHIPS PROGRAM FOR THE CITY OF FORT COLLINS
BE IT RESOLVED BY THE COUNCIL OF THE CITY OF FORT COLLINS that the
policy for the allocation of funding in the form of loans versus grants for certain types of housing
projects funded by the Community Development Block Grant Program and the Home Investment
Partnerships Program is as follows:
A. Funds allocated through the Homebuyer Assistance Program will be in the form of Deferred
Payment Loans, Due on Sale. (In order to protect the City's investment, a condition of the
Deferred Loan would be that the City has the first right of refusal in the case of foreclosure.)
B. Funds for Land Acquisition and/or Development Costs will be allocated as follows:
1. Allocations to projects developed by for-profit entities will be in the form of loans
for a period of up to 20 years. It will be the for-profit applicant's responsibility to
provide a proforma so the interest rate and other conditions for the loan can be set.
2. Allocations to projects developed by non-profit entities will be in the form of loans
and grants. It will be the non-profit applicant's responsibility to demonstrate to the
City that the project needs a grant and can't possibly proceed if funding is in the form
of a loan.
Passed and adopted at a regular meeting of the Council of the City of Fort Collins held this
2nd day of June, A.D. 1998.
Mayor
ATTEST:
. L
City Clerk '