City Council Minutes 1977 01 11 - Laserfiche WebLink

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C.D. MONEY CONT'D Steve Anderson stated that at the C.D. HUD meeting in Denver he spoke with Fred Metzler and John Boyle (HUD Staff) who are directly involved with the HUD program There are funds that are yet unspent from previous years acquisitionally and re- location and various other funds that we have the ability to carryover and it is not foreseen that they will be immediately expended. His understanding is there may be $45,000. Their Board agreed to withdraw both applications from HUD and FHA, and re- submit a single tract application to FHA for $100,000 for the land purchase. Chances are FHA won't fund this much, and Housing Authority are trying to find out how much they will fund. Financing will come from FHA - subsidy on the rents from HUD. Mr. Wurl asked if it was permissbile with HUD to use these moneies carried over from C.D. funds for Housing even though the original application had allocated it elsewhere. Mr. Anderson stated that the line item un- der acquisition and relocation for $500 specifically can be used for this. Mr. Wurl asked which items weren't done that the money could be acquired. Mr. Chenoweth stated $15,000 for acquisi- tion and $30,000 for relocation approx. Mr. Wurl stated that last years recommen- dations included sidewalk improvement which had been approved and out of the project 3 of approximately 10 were accomplished because of engineering problems. There is a line item for this, but no money; how can the project be completed. Mr. Lundberg stated that the 3rd year application does not consider the carry-over from the 2nd year grant. Mr. Conarroe asked; if all the money except rehab goes into the City funds, should we be spending $50,000 for administrative fees to spend $67,000. He also stated that his understanding of HUD funds did not include the hiring of City employees for City purposes. ~ '7