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HomeMy WebLinkAboutAgenda Packet - November 30, 1977 - CC 1 CA i t _ Wim- 4c." DATE: November 30, 1977 TO: Mayor & City Council FROM: Edward A. Cooney, Finance Officer RE: Status Report - Community Development Loan Program Attached is a status report from Bill Bond and Associates on the 312 Loan Program through the month of November. The City's administered loan program has made two loans, one for $3, 000. 00 and one for $2, 000.00. At present, we have no other loans in process, and we are not seeking new loan applicants, as directed by the Council. Respectfully submitted, 7() -4.‘‘ ED A A. -• Finance Office EAC/jl Enc - as noted f BILL BOND & ASSOCIATES, INC. Housing and Community Development Consultants 4432 Hazelbrook Avenue, Long Beach, CA. 90808 Telephone: (213) 421-6673 From: Ralph Moore November 30, 1977 To: Ed Cooney Subj : 312 Loan Program Progress Report The following is an up dated 312 Loan Program progress report for the month of November, 1977. PHASE YEAR TO CURRENT DATE MONTH 1. Inital Screening & Interview : 15 12 2. Inspections & Cost Estimates : 8 8 3. Qualification of Owner: 4. Bid & Award of Contracts : 5. Rehabilitation Work Inspections Completed : 6. Contract Closures : 1. PRELIMINARY SCREENING OF PROSPECTIVE LOAN APPLICANTS . a. Conduct initialinterview to determine whether owner appears to meet federal financial requirements for a loan. b. Collect documents and other information needed to verify owner' s financial status, credit, value of property, and condit:.on of title. 2. PROPERTY INSPECTION AND COST ESTIMATE. a. Inspect dwelling to determine rehabilitation work necessary to bring it into conformance with the City's building and safety code. b. Consult with owner on needed work plus reviewing whatever additional general property improvements he desires. c. Draft preliminary write-up and estimate the cost for all work to be done under the proposed rehabilitation plan. 3. QUALIFYING OWNER FOR A REHABLITATION LOAN. a. Verify detail of owner' s income and expense statements plus securing a credit check. b. Obtain property title report, FHA "as is" appraisal, and a termite inspection. c. Make final determination of owner' s eligibility for a 312 loan, and the maximum amount he can afford to borrow. 4 . BID PROCEDURES AND AWARD OF CONTRACT. a. Prepare final specifications and bid document. b. Obtain competitive bids and proposals from State licensed contractors. c. Finalize and submit formal loan application package to HUD for approval. d. Assure that contract agreement between owner and successful bidder is properly executed and contains such provisions as are mandated by HUD. e. Instruct contractor to begin construction. 5. REHABILITATION WORK INSPECTIONS. a. Conduct compliance inspections to make certain that work is proceeding in a timely and satisfactory manor. b. Make interim inspections prior to honoring contractor's invoices for progress payments. c. Perform final inspection certifying that the rehabilitation has been completed in accordance with contract specifications. 6. CONTRACT CLOSURE. a. Acquire lien releases from sub-contractors (including product guarantees) . b. Secure all necessary sign-off documents. c. Obtain owner' s authorization for final payment release to contractor. d. Close out case insuring permanent file contains complete documentation required for HUD audit purposes.