HomeMy WebLinkAbout20070491.tiff RESOLUTION
RE: APPROVE REVISIONS TO POLICIES AND PROCEDURES FOR THE WELD COUNTY
HOUSING REHABILITATION LOAN PROGRAM
WHEREAS, the Board of County Commissioners of Weld County, Colorado, pursuant to
Colorado statute and the Weld County Home Rule Charter, is vested with the authority of
administering the affairs of Weld County, Colorado, and
WHEREAS, the Board has been presented with revisions to the Policies and Procedures
for the Weld County Housing Rehabilitation Loan Program, for the Greeley/Weld County Housing
Authority, and
WHEREAS, after review, the Board deems it advisable to approve said revisions, a copy
of which is attached hereto and incorporated herein by reference.
NOW, THEREFORE, BE IT RESOLVED by the Board of County Commissioners of Weld
County, Colorado, that the revisions to the Policies and Procedures for the Weld County Housing
Rehabilitation Loan Program on behalf of the Greeley/Weld County Housing Authority, be, and
hereby are, approved.
The above and foregoing Resolution was,on motion duly made and seconded,adopted by
the following vote on the 26th day of February, A.D., 2007.
BOARD OF COUNTY COMMISSIONERS
WELIftrqOUNTY, COLpRADO
ATTEST: ELI/�� -��
/
David E. Long, Chair �/
Weld County Clerk to the j4$ /Y
`L"�� 1, Willi/ H.
e) Tem
Deputy Clerk to the Board _‘".
Wila F. Garcia
APPROVE AS TO FORM:
Robert D. asden
. �. .
Q�ru t�Attorney C
/8/c-7 Dou las Rademacher
Date of signature:
2007-0491
HA0027
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COLORADO
February 23, 2007
Memo: The Board of Weld County Commissioners
From: Thomas Teixeira, Executive Director /5 /4, �l� f' " =
The changes that were made to the administration plan for the Weld County CDBG
Program are:
The Greeley/Weld County Housing Authorities will handle the financial part of the
program.
1) Where loan payments are made
2) All funds will be deposited with the housing authority
3) Payments to administer the program will be made by the housing authority
The interest rates were changed to reflect the current market.
The income guidelines were changed to the new amount provided by HUD.
The wording was changed to reflect the names and addresses to the housing authority.
The names of the staff were changed to show the staff in the current position.
Y �
POLICIES AND PROCEDURES
WELD COUNTY HOUSING REHABILITATION LOAN PRORAM
REVISION DATED 2/07
I. PURPOSE OF THE PROGRAM
These guidelines establish the policies, priorities and procedures governing the
operation the single family owner-occupied housing rehabilitation program of
Weld County.
Weld County agrees to develop, implement and administer a housing
rehabilitation program of approximately fifteen (15) existing single-family
dwellings, for the benefit of low- and moderate-income families residing in
CENSUS TRACTS CT 10, 17, 18, 19.01, 19.02, 20,21, 22.01, 22.02, and 25.02
including the communities of Dacono, Eaton, Evans, Firestone, Fort Lupton,
Gilcrest, Hudson, Johnstown, LaSalle, Milliken, Platteville and Windsor.
It is the intent of Weld County's Housing Rehabilitation Program to provide
decent, safe, and sanitary housing for low- and moderate-income persons in the
targeted areas by rehabilitating their homes to a condition which brings these
structures into compliance with all applicable codes and regulations of Weld
County or applicable municipality and the Minimum Property Rehabilitation
Standards of the WCHA.
II. DESIGNATED AUTHORITY
A. The Weld County Housing Authority (WCHA) through Weld County has the
designated responsibility for the implementation of the CDBG/HOME
Contracts.
B. The WCHA staff responsible for the administration of the Housing
Rehabilitation Loan Program are:
1. the Director of WCHA;
2. the Administrative Assistant
C. The Housing Rehabilitation functions shall be contracted to the Greeley
Housing Renewal Authority. The Contract with Greeley Urban Renewal
Authority is a part of this document.
D. Fiscal administration will be conducted by the WCHA and Greeley/Weld
Housing Authority Finance Department and Accounting Department. All
program funds will be deposited with the Weld County Housing Authority in
a separate account of the WCHA. Most program payments will be issued as
co-payee warrants, and final individual project payments will be made once
2007-0491
the Certificate of Completion forms have been executed, attesting to
satisfactory project completion. Each request for payment (input document)
shall be accompanied by a signed and dated contractor/service provider
invoice. General contractor payments shall be issued in the following manner:
1. When approximately 80% of the contract work has been satisfactorily
completed and inspected, and all sub-contractors, and suppliers
notarized lien waivers have been submitted to the WCHA, a payment
for 50% of the original contract amount will be issued:
2. When 100% of the contract work has been satisfactorily completed
and inspected, and all subcontractors and suppliers paid-in-full
notarized lien waivers have been submitted to the WCHA, a payment
for 30% of original contract amount will be issued;
3. Final payment of 20% of original amount will be issued no later than
30 days following project completion, defined as satisfactory
completion of all contracted work, as determined by inspection and
submittal of all applicable final permits, and the execution of the
Certification of Completion by the contractor, homeowner, and
WCHA;
4. Any cost increase resulting from change-order additions to the contract
will be paid upon contract deadline and satisfactory job completion, as
defined in condition #3 and as a fourth payment; conversely, any
change-order decreases shall be deducted from the contractor's
third/final payment, as shall any late penalties.
5. Payment could be paid made to the contactor in different percentages
depending on the type of work, the amount and the previous history of
the contractor.
E. All amendments to the description of work/work write-up shall be authorized
by the WCHA in the form of change-orders, and must be approved by the
homeowner, contractor, and the WCHA in writing. No change-order work
may be performed until such change-order documents have been signed by all
parties. No payment requests will be approved for processing for work which
has not been inspected as satisfactorily completed.
III. ELIGIBILITY REQUIREMENTS FOR HOUSING REHABILITATION
ASSISTANCE
The Staff of the Housing Authority shall have the responsibility for the eligibility
determination of applicants for the Housing Rehabilitation programs. The
Chairman of the Board shall sign-off on the eligibility determination made by
staff, based on staff recommendation. The Weld County Housing Authority
Board shall be used as the appeal process, for an applicant, and on any denial
decision made by the staff.
Program Eligibility Criteria
A. To be considered eligible for the Housing Rehabilitation Loan program, an
applicant must own and occupy a residential single-family dwelling in the
designated target area. To be considered owner of record, the applicant must
meet one of the following criteria:
1. The applicant must be listed as owner of the property (and in cases of
mobile homes, the applicant must be listed as owner of mobile home
and the land on which it is located) on the Weld County's Tax Roll, or
possess a valid contract for sale or Deed of Trust, each of which has
been recorded with the Weld County Clerk and Recorder, which
includes "reasonable rights of redemption" and "quiet and peaceable
possession of the property", or
2. The applicant must possess a Life Estate, or Fee Title evidenced by a
Warranty Deed, or Quit Claim Deed which has been filed for record
with the Weld County Clerk and Recorder.
B. The identified property must not be located within the right-of-way of any
street, highway, or other public right-of-way contemplated in the foreseeable
future.
C. Properties located in the 100-year floodplain, as designated by FEMA maps
and data provided by the Colorado Water Conservation Board, and as
interpreted and determined by WCHA staff, are not eligible for the Housing
Rehabilitation Loan Program.
D. The identified property must be considered structurally sound for bringing
other deficiencies into compliance with all applicable codes and standards, at
a cost which is reasonable and appropriate, giving consideration to the
condition and the value of the dwelling, and the availability of funds. If the
cost for rehabilitation is likely to exceed 50% of the dwellings assessed value,
the WCHA shall determine whether or not to proceed with the rehabilitation
of the structure on the cost of the project. Every effort will be made to assist
any displace or potentially displaced family with alternative housing, either
directly or by referral.
E. The applicant must have either:
1. a 5% or $1000 cash equity towards the purchase price of the home
(whichever is greater); or
2. Lived in the home for a minimum of one year prior to the date of
application to the Housing Rehabilitation Loan Program.
3. In order for Farmers Home Housing Preservation Grant funds to be
expended on a unit, the homeowner must have owned and occupied
the unit for at least 12 months.
F. To qualify for rehabilitation assistance, an applicant's annual income may not
exceed the amount shown below. All applicants must meet the following
HUD income guidelines. These limits are for adjusted gross annual income.
A deduction against the adjusted gross annual income will be applied in cases
of continuing medical expenses not covered by insurance, which exceed 3%
of the household's gross annual income.
MODERATE INCOME
(80% of Area Median)
One person $32,650
Two person $37,300
Thee person $42,000
Four person $46,650
Five person $50,400
Six person $54,100
Seven person $57,850
Eight person $61,600
G. Because housing rehabilitation program funds are intended to serve low and
moderate income homeowners having no other means of financing
rehabilitation work, applicants with substantial and available liquid resources
will be considered for assistance under the following guidelines:
1. Applicants under the age of 62 having assets of more than $5,000 will
be required to contribute the amount is excess of$5,000 toward the
cost of rehabilitation;
2. Applicants 62 years of age and older having assets of more than
$10,000 will be required to contribute the amount in excess of$10,000
toward the cost of rehabilitation.
The WCHA Board reserves the right to waive any part of this asset policy
under extenuating circumstances as presented to the WCHA Board and
staff by an applicant.
H. The WCHA will rank clients using a point system based on the following
schedule:
Financial:
Income at or below 50% 15 pts
Assets $5,000-$9,999 -5 pts
Assets over $10,000 -10 pts
Household Make-up:
For each member age 62 or older 5 pts
For single, female head of household 5 pts
For Female head of household w/dependents 5 pts
For each household member 18 or younger 5 pts
For household w/disabled member 20 pts
Housing Condition:
Plumbing Severe 10 pts
Electrical Moderate 5 pts
Heating Minor 3 pts
Structural Standard 0 pts
Overcrowding
Other
Prior Assistance:
Prior Award was $2,000 or less -10 pts
Prior Award over $2,000 -20 pts
Award was grant only -10 pts
All clients receiving more than 50 points will be given a priority ranking. Those
receiving less than 50 points will be put on a waiting list for future consideration.
I. Credit Considerations
All credit decisions shall be based on the applicant's ability to repay the loan.
Action on a loan shall not be based on the race, creed, color, religion, national
order, familial status, sex, handicap or the age of the applicant.
1. Any applicant in arrears on their mortgage of sixty (60) days or more
shall be denied assistance through the Housing Rehabilitation
program.
2. Any applicant who has delinquent property taxes shall be determined
ineligible for Housing Rehabilitation Assistance.
3. Any time there is a pattern to a payment history of an applicant that
exhibits bankruptcy, unpaid charge-offs, or collection accounts, the
staff may consider this pattern when determining the applicant's credit
worthiness for the Housing Rehabilitation program. An applicant may
be denied when there is evidence, based on the credit history, that an
applicant is unlikely to re-pay a loan. Any circumstances which may
be considered as mitigating the poor credit history include:
a. Medically related expenses;
b. A significant change in income which contributed to the credit
difficulty.
J. Definitions
1. Adverse Information—Information which a creditor's policy will cause
a credit applicant to be denied or restricted. Examples: past due accounts.
Unpaid judgments, bankruptcy filings.
2. Bankruptcy—Federal law providing relief from burdensome debts.
The law contains several chapters which relate to different methods of
relief:
Chapter 7 — Straight Bankruptcy
Chapter 11 —Business Reorganizations
Chapter 12—Farm Debt Bankruptcy
Chapter 13 —Adjustment of Debts of an Individual with
Regular Income (also called a wage earner
plan)
3. Charge off—Accounting term to indicate the creditor does not expect
to collect a balance owing.
4. Collection account—Refers to status of account owing a creditor when
it has been transferred from a routine debt to a Collection Department —
either of the creditor's firm, or to a separate professional debt collection
firm.
5. Judgment - Formal decision of a court in a legal controversy. Credit
bureaus obtain data about judgments from court records periodically
down as public record. These usually are civil judgments where money
is the source of the controversy between the parties.
6. Judgment satisfied— When a judgment is paid in full, the creditor may
file a satisfaction of judgment form. However, this often is not done
and the only way to determine if a judgment has been paid or not is to
contact the parties to the suit themselves. This also applies to
settlements where the creditor accepts less than the full amount due.
7. Repossession—Forced, or voluntary, surrender of merchandise as a
result of the customer's failure to pay as promised. There are several
types and descriptions of repossession actions, each quite different:
RLD—Paid by dealer.
RLP —Proceeds applied to debt.
RRE—Repossession redeemed
RVD —Returned voluntarily; paid by dealer
RVN —Returned voluntarily.
RVP—Returned voluntarily; proceeds applied to debt.
RVR—Returned voluntarily; redeemed.
8. Straight Bankruptcy—A bankruptcy filed in accordance with Chapter
Seven of the Bankruptcy Act. An individual asks (petitions) for relief
from all debts (after exemptions) and the remaining assets, if any, are
then converted to cash which is divided among the participation
creditors.
IV. HOUSING REHABILITATION ASSISTANCE AMOUNTS
Once all eligibility requirements have been met by an applicant and verified by
WCHA staff, s/he will be notified of approval for rehabilitation assistance, based on
the availability of funds. All rehabilitation deferred payment loans and non-deferred
loans are subject to the provisions of this Management Plan.
A. All deferred payment loans and non-deferred loans shall be secured by
Promissory Notes and Deeds of Trust, and, if applicable, Security
Agreements, which shall be in first or second position in the chain of title.
The WCHA Board reserves the right to waive any part of this lien policy.
Loans must be re-paid in accordance with the terms of the Promissory
Note and the Truth in Lending Agreement.
B. Homeowner's insurance coverage in an amount sufficient to cover the
remaining balance of the loan(s) must be maintained for the term of the
Note and Deed. In addition, the rehabbed unit must continue to be
occupied by the eligible homeowner during the term of the Note and
Deed.
C. The total costs of the rehabbed project shall be considered as the total
loan. The following types of loans may be provided to qualified
applicants:
1. Deferred payment loans where no payment is due until a
specific date, or when the property is sold or changes
ownership;
2. Fully amortized loans at varying interest rates and terms;
0% to 40% Median Income 0% Interest Rate
41% to 60% Median Income 2% Interest Rate
61% to 80% Median Income 3% Interest Rate
3. Blended loans,where two loans are made-one by commercial
lender and/or another state or federal agency and one by
WCHA.
4. Interest rates for households with income at/or around the
high or low end on income level maybe moved up or down
above 0% but will not exceed our maximum.
5. Interest rates for the program will be reviewed yearly or as
needed depending on the private interest rate and adjusted
accordingly.
6. Loans may be deferred for elderly, disabled and handicapped
applicants.
D. The Housing Rehabilitation program shall utilize the definition as
provided under the Section 8 Program.
1. Elderly shall be considered as age 62 or over
2. A disabled household who has been determined eligible for
Social Security Disability, SSI or Aid to the Needy Disabled
3. Handicapped within the meaning of Section 202 of the Housing
Act of 1959; a handicapped person is one who has a physical or
mental impairment which:
a) is expected to be of long continued and indefinite duration,
b) substantially impedes his/her ability to live independently;
and
c) Is of such a nature that such disability could be improved
by suitable housing conditions.
E. If a debtor vacates or transfers ownership of his/her Promissory Note and
deed of Trust prior to the maturity, the balance of the loan and the deferred
payment loan shall become immediately due and payable to WCHA. If a
joint owner dies or in some way becomes incapacitated, the surviving
spouse or lineal heir/s may assume the responsibilities of the lien.
If a debtor vacates or transfers ownership of his/her rehabilitated property
under extenuation circumstances, the WCHA Board reserves the right to
exercise the following options:
1. waive or defer the conditions of the Promissory Note and Deed
of Trust;
2. negotiate a percentage of the balance due; and/or
3. Provide for assumption of the loan to the new property owner.
The WCHA shall cancel the Promissory Note and have the Public Trustee
release the Deed of Trust for each client when the conditions of each have
been fully satisfied by the debtor, surviving spouse of lineal heir/s.
F. No applicant may receive a grant/loan of more than $24,999 unless:
1. $24,999 is insufficient to bring the property up to local building
codes and WCHA's minimum property rehabilitation standards;
2. Every effort has been made by the applicant to secure funding
from other sources;
3. In the event that alternative funding becomes available to the
applicant for rehabilitation, s/he may be required to reimburse
the WCHA for an amount expended prior to alternative funding
availability.
G. The purpose of the Housing Rehabilitation program is to provide decent,
safe and sanitary housing for low and moderate income persons through
the rehabilitation of owner-occupied dwellings, to a condition which
brings the unit into compliance with applicable County Building standards
of the Housing Authority.
H. Federal regulations require that when funds are designated for the
rehabilitation of properties fifty years of age and older, prior review from
the State Historical Society must be provided so that a determination can
be made whether the property is eligible for inclusion in the National
Register. Historically, properties which are designated for inclusion
require significant aesthetic rehabilitation which can cause the cost of the
project to exceed the budgeted amount.
Any project approved by the Colorado Historical Society for inclusion in
the National Register shall require the review and approval of the Housing
Authority Board prior to the approval of a loan. The Board shall have the
discretion to reject the project if it determines that the rehabilitation of the
project is not consistent with the specified purpose of the program.
V. APPICATION PROCESSING
A. The WCHA shall maintain accurate case files, reports for each applicant.
The case files shall consist of personal data concerning each applicant and
the members of the applicant's household, and shall be held in strict
confidence. Information regarding payment records, work write-ups,
contract awards, and bidding qualifications and procedures shall be made
available for public inspection at the offices of the WCHA, located at 315
B North 11 Avenue in Greeley, Colorado, during regular business hours
by appointment. All files shall be retained by WCHA under the authority
of the Retention and Custodial Requirements for Records section of the
CDBG Grantee Handbook.
B. Applications for housing rehabilitation assistance will be made available
to all residents of the target area. The length of the application period will
be determined by the WCHA staff, based of the size of application pool
after the time of initial outreach. The application period may be extended
or re-opened in the event that an insufficient number of applicants have
been approved for assistance for the program year. Dates of application
acceptance and deadlines shall be made public through local media
resources.
C. A file will be established for each approved applicant, which shall contain
the following:
1. application, signed and dated by the applicant;
2. authorization for release of information;
3. verification forms for income, employment, benefits, property
ownership, mortgage, assets, and home owner insurance, credit
history report;
4. lead based paint notice;
5. civil rights notice;
6. lien requirement notice;
7. temporary relocation notice;
8. HUD environment standards checklist;
9. environmental review draw-down checklist;
10. work write-up, notes, drawings;
11. applicant ranking form;
12. loan work sheet;
13. WCHA Board approval form;
14. contract between owner and contractor, with additional
conditions, addendum to the contract and federal labor standards;
15. notice of rescission;
16. proceed order;
17. affidavit of subcontractors;
18. change orders, if necessary;
19. lien waivers;
20. LOCCS Set-up
21. LOCCS Draw-down Requests
22. LOCCS Project Completion Reports
23. payment record and payment documentation;
24. correspondence, including copy of client's letter of
determination;
25. inspection permits and certificate of completion; and
26. project completion checklist.
D. Upon receipt of all requested verification, the WCHA shall determine each
applicant's eligibility, and rank that applicant's need based on the date of
application receipt, the applicant's personal data, and the initial inspection
by the Greeley Urban Renewal Authority. All applicants who are denied
assistance shall be given the WCHA reasons for determination. Should a
denied applicant be in a situation considered rectifiable, which would
reactivate the application, s/he would be given the opportunity to do so,
and a determination shall be made.
E. The WCHA and locality's building inspector shall conduct a preliminary
inspection of the dwelling of each approved applicant, and a preliminary
work write-up shall be prepared, based on the results of this inspection.
VI. CONTRACTION REHABILITATION WORK
This section sets forth requirements and procedures with respect to construction contracts
for rehabilitation financed through a deferred payment loan and/pr non-deferred loan and
shall be undertaken only through a written contract between the contractor and the
recipient of the loan. The Housing Authority shall assist the recipient in arranging for
and obtaining an acceptable rehabilitation contract.
A. Form of Contract: The housing rehabilitation contract shall consist of:
1. The Contract Document;
2. The Addendum to the Contract;
3. The bid proposal from the contractor;
4. The final work write-up as approved by the homeowner.
B. Contractors interested in bidding on the project are encouraged to
contact the homeowner for an inspection of the property. General
contractors must either come in to the office to pick up a bid packet or
request a bid packet through the mail. The bid packet will contain the
following:
1. the invitation to bid, giving the date, time and location of the bid
opening;
2. the instructions to bidders, giving the requirements of acceptable bid
formant;
3. the bid and proposal form, on which the general contractor shall
declare the lump sum bid price and all subcontractors, names, and
addresses;
4. a copy of the final work write-up, giving all line item bid prices
requested. Contractor's bids will be evaluated on the basis of
a. the contractor's ability to complete the project in a timely
manner;
b. the most responsive and responsible bid;
c. the Housing Authority's project cost determinations.
The homeowner shall have the right to select the most responsive and
responsible bid. Any or all bids may be rejected by the homeowner for any
reason. The WCHA and their Board reserve the right to enforce compliance with
all the provisions of the General Contractor's Certificate of Participation.
C. The WCHA Board shall give the staff of the WCHA the right to use it's
discretion in disallowing the bids of any general contractor who is
simultaneously in-progress with two or more projects under the CDBG
Program. The purpose of this policy is to ensure that a general contractor's
obligations are met with regard to contractual deadlines and quality of
workmanship; further, this policy ensures that the WCHA acting as program
administrator under Weld County meets their contractual obligations and
deadline with the State of Colorado. This policy may be waived or enforced,
at the WCHA's discretion, based on; such factor's as the size and estimated
duration of a project under bid, and the capacity of a general contractor to
complete a project on schedule. Proceed Orders and/or contract deadlines
may be amended to allow for simultaneous projects using the same general
contractor.
D. Each participating general contractor must have signed a General Contractor's
Certificate of Participate prior to signing a housing rehabilitation contract with
a homeowner.
E. Contractor Qualifications:
I. Contractor must submit evidence of current worker's compensation
insurance coverage, naming the WCHA as certificate holder for the
duration of the project (and contractors having no employees are
exempt from this requirement);
2. Contractor's must submit evidence of general liability coverage,
effective for the term of the project, which covers:
a. $100,000 bodily injury and property damage (each
occurrence)
b. $300,000 bodily injury and property damage (aggregate), and
c. $100,000 personal injury;
3. Contractors must furnish three written references for previous similar
work;
4. Contractors must provide a letter of credit for $10,000 with a local
lending institution. An alternative may be to provide proof of lines of
credit with various suppliers and subcontractors, sufficient to carry
rehabilitation activities through the term of the contract. No contract
may be awarded to any contractor who has not been cleared through
the State Department of Local Affairs.
5. Contractors failing to meet ay of these requirements shall be
considered unqualified, and their bids shall be rejected.
F. Once a qualified contractor has been selected for a job, a meeting shall be
conducted at the homeowner's home, with the homeowner, contractor and
WCHA staff in attendance. All contract documents shall be reviewed, and
their execution by the homeowner shall be witnessed by the WCHA. Any
changes to the final work write-up shall be in the form of change orders,
which are agreed to and signed by all parties. A proceed order shall be
signed, indicating the start-up of the rehab work. The contract stipulates
penalties assessed the general contractor for delays which are not approved in
writing by the WCHA and the homeowner. The homeowner shall be issued a
notice of rescission, effective for three business days from the date of
execution of the documents. The homeowner shall be required to sign a Deed
of Trust and Promissory Note as lien document, prior to signing the contract
with the general contractor. The Deed of Trust and Promissory Note will be
retained by the Housing Authority until the completion of the project. Should
the contract amount change, a revised Deed and Note will be executed by the
homeowner(s). Upon completion of the project the Note and Deed shall be
filed with the Weld County Clerk and Recorder. Frequent inspections of on-
going work shall be conducted by the Housing Authority to ensure code and
contract compliance. All work is covered by a one-year warranty.
VII. REHABILITATION ASSISTANCE CONDITIONS
A. In cases for which it has been determined by the WCHA that the
applicant's continued residence during the period of rehab activities would
be detrimental to the completion of the work, or would pose a threat to the
health and safety of the household members, the occupants will be
encouraged to relocate for the duration of the rehabilitation activities. In
the event that relocation is necessary, the WCHA will follow the
procedures set forth in the Uniform Relocation Act of 1970, Title II, and
its policies regarding conditions and monetary assistance under the
WCHA's Temporary Relocation Assistance policies. In the event that the
applicant refuses to relocate, as determined necessary by the WCHA, the
WCHA reserves the right to deny any assistance to the applicant.
B. Each recipient of Housing Rehabilitation Program assistance will be
required to execute a Deed of Trust and Promissory Note for the amount
of the rehabilitation deferred payment loan and non-deferred loan. These
instruments will be filed for record with the Weld County Clerk and
Recorder. Property liens will be enforced, pursuant to conditions set forth
in the Deed of Trust, Promissory Note, Truth-in-Lending Agreement, any
applicable Security Agreement, and the conditions outlined in this
management plan.
VIII. OUTREACH PROCEDURES
A. Information concerning the Housing Rehabilitation Loan Program goals,
objectives and guidelines and grant conditions has been and will be
distributed through civic, religious and social services organizations
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throughout the target area. Various media resources will be utilized, as
will door-to-door outreach, to further publicize the program.
B. As a condition of the application submitted to the Colorado Department of
Local Affairs (DOLA), the WCHA has conducted at least one public
hearing in the target area, in order to familiarize its residents with the
Program's intent and the eligibility guidelines.
IX. EMERGENCY REHABILITATION ASSISTANCE (ERA) PROGRAM
In the event that the applicant's dwelling is determined by the ECHA and
the locality's building inspector and/or the local health department to be
an immediate threat to the health and safety of its occupants, and the
applicant lives in Weld County, (but outside the CDBG Program target
area exclusive of the City of Greeley), s/he may be eligible for ERA
Program funds. Though a separate program from the Housing
Rehabilitation Program, the ERA Program shares some of the same
eligibility requirements and policies, as follows:
A. Applicants must meet the income eligibility guidelines as set forth in the
Housing Rehabilitation sections of this management plan.
B. Verification of all personal data of applicant's household members is
required. However, the WCHA reserves the right to waive verification
prior to approval of assistance, in cases of immediate assistance.
C. Homeowners insurance shall be required when the cost of the project is
$2,000 or more;
D. Properties located in 100 year floodplains are ineligible;
E. Emergency assistance may not exceed $5,000;
F. No applicant may receive more than one ERA deferred payment loan/non
deferred payment loan;
G. Loan conditions of the Housing Rehabilitation Program apply to the ERA
program;
H. Applicant's receiving $2,000 or more in ERA assistance will be required
to execute a Promissory Note and Deed of Trust, which shall mature at the
end of the loan terms;
I. Applicants are required to secure two bids (WCHA may secure these to
expedite the process) for emergency work and submit them to the WCHA,
which will choose the low bid and arrange for contract signing between
the homeowner and the contractor. The WCHA staff reserves the right to
solicit bids instead, based on brief work write-ups and emergency.
J. Fees charged for bids are not eligible costs under ERA Program;
K. Contractors participating in the ERA Program are not required to meet
contactor standards. The WCHA staff reserves the right to request
references and other information of contractors under consideration, and to
bar from consideration an contractor which it feels cannot perform such
work as required to standards of the WCHA and the locality.
L. An emergency situation shall be defined as one in which there exists an
imminent and correctable threat to the health and safety of the occupants,
who were not the cause, either through negligence or abuse, and who were
aware of such situation for fewer than three months, unless such situation
could not be determined sooner (due to weather, etc.) the WCHA reserves
the right to solicit the assistance and expertise of outside resources to
make such a determination of emergency status before approval of any
assistance.
X. APPEALS PROCEDURES
A. Applicant/Borrower Appeals: If an applicant has a grievance concerning
the actions of the WCHA staff or the procedures of the WCHA or the
CDBG Program with regard to his/her application for assistance the
grievance shall forward such complaint to the Director of the Housing
Authority. If, after contact with Director, the applicant wishes to appeal
any decision, he is required to submit a written request to appeal, stating
all pertinent information, complaints, comments, and relief sought, to the
WCHA Board. The Board shall hold a hearing with the applicant and
WCHA staff in attendance. The Board shall make a determination based
on the findings of the hearing, and mail such information to the applicant.
A copy of this written information shall be kept on file at the WCHA
office. All WCHA Board determinations are final.
B. Contractor Debarment: Following a finding that the act complained of did
occur, the Board must then determine whether to debar or temporarily
suspend the contractor. The Board may take further testimony to
determine whether aggravating or mitigating circumstances existed for the
violation. Aggravating circumstances may include:
1. Willful or intentional acts resulting in violation;pattern or
practice of violation;
2. Prior disciplinary actions
Mitigating circumstances include circumstances outside the control of the
contractor contributing to the violation; the violation being an isolated
incident; and lack of impact on the homeowner.
XI. LOAN ADMINISTRATION
All loans and deferred payment loans are administered by the Weld
County Housing Authority Staff. Updated file and computer records shall
be maintained to reflect client loan payment. All payment accounts shall
be established through the Weld County Accounts Receivable system.
Payments from clients shall be made directly to the accounts receivable
system. Delinquent accounts shall be assessed late fees, not to exceed
thirty percent of the monthly loan payment as agreed to in the client's
signed Truth-in-Lending Agreement (which outlines all specific loan
terms). Clients in delinquent of default status shall be notified of such
status in writing, and shall be given the opportunity to rectify their status,
and/or make alterative payment arrangements. Failure on the part of the
client to rectify default or delinquent loan status, after two month's
arrearage in which time the WCHA has contacted the client in writing,
shall result in lien enforcement. Client shall be notified in writing of the
commencement of foreclosure proceedings by an ATTORNEY'S
OFFICE.
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