County Executive Falk Announces HOME Grants for Affordable Housing Projects
March 07, 2003
While snow is still on the ground, affordable housing initiatives are blossoming in Dane County as a result of the county’s Home Investment Partnerships Program (HOME). The HOME Program makes grants to organizations that build, buy, and/or rehabilitate affordable housing for rent, or provide mortgage downpayment assistance for home ownership.
Dane County Executive Kathleen Falk took steps in 1998 to apply to the U.S. Department of Housing and Urban Development (HUD) to become an “Urban County” eligible to receive annual HUD funding. Thirty two towns, 11 villages and five cities in the county joined to form the urban county consortium.
This resulted in the county receiving HOME funding in the amount of $750,000 in 2002, and $575,000 in 2003.
“Finding an affordable place to live can be a real challenge in Dane County. These grants make it possible for those families with less income and tighter budgets to afford housing,” said Falk.
The Dane County Board has now approved the grant awards, based on an application and review process administered by the county’s Community Development Block Grant (CDBG) office and the CDBG Commission.
Each grantee must provide a 25% match for every dollar that the HOME program allows, which serves to mobilize community resources in support of affordable housing.
Two recent rounds of grant awards have been made, as follows:
-- Dane County Housing Authority, two grants totaling $101,230, to provide up to $7,000 for downpayment and closing cost assistance in the form of a no-interest deferred payment loan for low income first-time homebuyers who have participated in the Housing Resource Center Homeownership Counseling Program
-- Movin' Out, Inc., two grants totaling $268,870, to provide loan funds up to $23,000 per homebuyer, as a second mortgage, at the Uplands affordable housing development in Sun Prairie. There is no interest on the loan, but when the homebuyer sells, he or she is required to repay the original loan amount and 10 percent of the appreciation in the value of the property since loan origination.
-- Project Home, two projects totaling $100,000, to provide no interest, deferred payment loans, up to $24,999, to low income home owners to rehabilitate single family homes. The emphasis is on health and safety measures and accessibility.
-- Operation Fresh Start, $30,000, to provide funds to rehabilitate one single family home and provide job training to youth. The funds then will assist in defraying the cost of the purchase of the home by a low income homebuyer, becoming a no-interest second mortgage that is repaid at the time of sale of the property.
Dane County is now seeking grant applications for $711,500 in HOME funds to be awarded for projects that make housing affordable to low and moderate individuals. The deadline for submitting an application is March 28.
Eligible projects for HOME funding include:
-- New construction, reconstruction, or rehabilitation of non-luxury affordable owner or rental housing
-- Real property acquisition
-- Site improvements
-- Conversion of an existing structure to affordable housing
-- Demolition of an existing structure for development of affordable housing
-- Development financing costs, including soft costs
-- Relocation of any displaced persons as a result of affordable housing development
The projects, or use of the funding, must be located in the Urban County consortium area consisting of:
Towns: Albion, Berry, Black Earth, Blooming Grove, Blue Mounds, Burke, Christiana, Cottage Grove, Cross Plains, Dane, Deerfield, Dunkirk, Dunn, Madison, Mazomanie, Medina, Middleton, Montrose, Oregon, Pleasant Springs, Primrose, Roxbury, Rutland, Springdale, Springfield, Sun Prairie, Vermont Verona, Vienna, Westport, Windsor, York.
Villages: Black Earth, Blue Mounds, Cambridge, Cross Plains, Deerfield, McFarland, Marshall, Mount Horeb, Oregon, Shorewood Hills, Waunakee.
Cities: Fitchburg, Middleton, Stoughton, Sun Prairie, Verona
Interested applicants may contact Ann Webbles, 261-9782 or firstname.lastname@example.org for more information.
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Sharyn Wisniewski (608) 267-8823