HomeMy WebLinkAbout950277.tiffRESOLUTION
RE: APPROVE MANAGEMENT PLAN FOR THE 1995 HOUSING REHABILITATION
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 the Management Plan for the 1995
Housing Rehabilitation Program for the Colorado Division of Housing, by and through the Board
of County Commissioners of Weld County, on behalf of the Weld County Housing Authority, and
WHEREAS, after review, the Board deems it advisable to approve said plan, 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, ex -officio Housing Authority Board, that the Management Plan for the 1995
Housing Rehabilitation Program for the Colorado Division of Housing, by and through the Board
of County Commissioners of Weld County, on behalf of the Weld County Housing Authority, and
the Colorado Division of Housing be, and hereby is, approved.
The above and foregoing Resolution was, on motion duly made and seconded, adopted by
the following vote on the 27th day of February, A.D., 1995.
BOARD OF COUNTY COMMISSIONERS
LD COUNTY, C,OkORADO
ATTEST:
Weld County Clerk to the Board
BY• D` IC_ (Mae—,
eputy Clerk t the Board
APPRO D AS TO FO,
unty Attorn-y
Dale K. Hall, Chairman
FxrAISFn
Barbary . Kirkmeyer„ Pro-Tem
,I
George'E. Baxter
Constance L. Harbert
C :/4a;5t
W. H. Webster
950277
HA0015
POLICIES AND PROCEDURES
WELD COUNTY HOUSING REHABILITATION LOAN PROGRAM
REVISION DATED 2/1995
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 has received a combination of funds from the COLORADO DEPARTMENT OF LOCAL
AFFAIRS and the FARMERS HOME ADMINISTRATION to increase the supply of decent, safe and sanitary
housing in Weld County
Weld County agrees to develop, implement and administer a housing rehabilitation program of
approximately seven (7) 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 REHAB SPECIALIST;
3. the Office Technician II.
C. Fiscal administration will be conducted by the WCHA and Weld County's Finance Department and
Accounting Department. All program funds will be deposited with the Weld County Treasurer in a separate
account of the WCHA. Most program payments will be issued as co -payee warrants, and fmal individual
project payments will be made once 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:
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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 the original contract amount will be issued;
3. Final payment of 20% of the 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 increases resulting flour 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.
D. 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 has 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:
I. 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.
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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 WCI-IA 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 $1,000 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 owner and occupied the unit for at least 12 months.
E. To qualify for rehabilitation assistance, an applicants 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.
LOW INCOME MODERATE INCOME
(50% of Area Median) (80% of Area Median)
one person $12,900 $20,600
two people $14,700 $23,550
three people $16,550 $26,500
four people $18,400 $29,450
five people $19,850 $31,800
six people $21,950 $34,150
seven people $22,800 $36,500
eight people $24,300 $38,850
F. 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:
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1. Applicants under the age of 62 having assets of more than $5,000 will be required to contribute
the amount in 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.
G. The WCI-IA will rank clients using a point system based on the following schedule:
Financial:
Income at or below 50
Assets $5,000 -$9,999
Assets over $10,000
15 pts
-5 pts
-10 pts
Household Make-up:
For each member age 62 or older
For single, female head of household
For Female head of household w/dependents
For each household member 18 or younger
For household w/disabled member
Housing Condition:
Plumbing
Electrical
Heating
Structural
Overcrowding
other
5 pts
5 pts
5 pts
5 pts
20 pts
Severe 10 pts
Moderate 5 pts
Minor 3 pts
Standard 0 pts
Prior Assistance:
Prior Award was $2,000 or less
Prior Award over $2,000
Award was grant only
-10 pts
-20 pts
-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.
H. 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.
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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
I. 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 call 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 known 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.
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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. Homeowners 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;
3. Blended loans, where two loans are made- one by commercial lender and /or another state or
federal agency and one by WCHA.
Loans may 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
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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 extenuating 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 $15,000.00 unless:
1. $15,000.00 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;
3.1n the event that alternative funding becomes available to the applicant for rehabilitation, s/he may be
required to reimburse the WCHA for any 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.
FI. 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
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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. APPLICATION 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 North 11th Avenue(the
Walton Building) in GREELEY, COLORADO, during regular business hours by appointment. All files shall be
retained by the 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 on 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 has 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
owners 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 recision;
16. proceed order;
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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
24. 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 WCHA. All applicants who are denied assistance shall be given the WCHA's 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 redetermination shall be made.
E. The WCHA and the 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. CONTRACTING REHABILITATION WORK
This section sets forth requirements and procedures with respect to construction contracts for rehabilitation financed through
a deferred payment loan and/or 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:
I. The Contract Document;
2. The Addendum to the Contract;
3. The bid proposal from the contractor; and
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 pickup a bid packet
or requests a bid packet through the mail. The bid packet will contain the following:
I. 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 format;
3. the bid and proposal form, on which the general contractor shall declare the lump sum bid price and
all subcontractors, names, and addresses;
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4. and a copy of the final work write-up, giving all line item bid prices requested. Contractors 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 it's 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 it's contractual obligations and deadline with the State of
Colorado. This policy may be waived or enforced, at the WCHA's discretion, based on, in part, 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 to Participate prior
to signing a housing rehabilitation contract with a homeowner.
E. Contractor Qualifications:
1. Contractors 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; and
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.
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5. Contractors failing to meet any 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 homeowners
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
recision, 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 documents, 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. ALTERNATE SELF-HELP CONTRACT
As an alternative to contracting rehabilitation work, a recipient may be allowed to serve as contractor for his own
project under the following conditions:
A If it can be determined that by serving as contractor the project can be completed at less cost than by awarding
the contract to a private contractor;
B. It can be clearly demonstrated that the recipient has the technical skills to complete the project in a timely
manner; and
C. The recipient can demonstrate that they have a line of credit to purchase the material.
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VIII. 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 it's 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.
IX. OUTREACH PROCEDURES
A. Information concerning the Housing Rehabilitation Loan Program goals, objectives and guidelines and grant
conditions have been and will be distributed through civic, religious and social services organizations 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.
X. EMERGENCY REHABILITATION ASSISTANCE (ERA) PROGRAM
In the event that the applicant's dwelling is determined by the WCHA 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
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;
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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 the ERA Program;
K. Contractors participating in the ERA Program are not required to meet contractor standards. The WCHA staff
reserves the right to request references and other information of contractors under consideration, and to bar from
consideration any 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 situations 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.
XI. 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, the applicant is required to submit a written request to appeal, stating all pertinent
information, complaints, comments, and relief sought, to the WCHA's 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 offices. 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 :
I. Willful or intentional acts resulting in violation; pattern or practice of violations;
2. Prior disciplinary actions
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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.
XII. LOAN ADMINISTRATION
All loans and deferred payment loans are administered by the Weld County Housing Authority staff. Updated file
and computer records shall be maintainedto reflect client loan payments. 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 alternative 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 the WELD COUNTY'S ATTORNEY'S OFFICE.
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Aster,
lUBe
COLORADO
WELD COUNTY HOUSING AUTHORITY
PHONE (303) 352-1551
P.O. Box A
GREELEY, COLORADO 80632
To: Dale K. Hall, Chairman, Board of County Commissioners
From: Judy Griego, Director, Department of Social Service
Re: Approval of Management Plan For 1995 Housing Rehab
The Management Plan for the 1995 Housing Rehabilitation Program has been revised and was discussed
in the Housing Authority Work Session of February 22, 1995 . The significant revisions include:
A. Changing the name to WELD COUNTY HOUSING REHABILITATION LOAN
PROGRAM to reflect the more accurate nature of the program.
B. Changing the number of homes we intend to rehab during the 1995 program; twenty.
C. Expanding the target area to include Dacono, Hudson, Windsor and Census Tracts 19.02,
22.01, 22.02 and 25.02.
D. Changing the program loan approach:
1. from a 3% interest program to a variable interest rate loan from zero per cent to the
commercial rate, depending on the circumstances of the applicant.
2 to a requirement that a contractor is required to contact the homeowner for an
inspection of the property."
Staff is recommending your approval of the Management Plan for the 1995 Housing Rehabilitation
Loan Program.
If you have any questions, please telephone me at 352-1551, Extension 6200.
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