PURPOSE Eligible uses of guaranteed loan proceeds The Distressed Property Reinvestment Program include but are not limited to: was established in Kewanee in 2016 with Repair and replacement of windows and program funding provided by the City of doors Kewanee, with additional public and private Roof repair and replacement of roof sector funding when available. The goal of the covering program is to assist individuals and families in Exterior paint achieving the Dream” of home Foundation Repair “American ownership through loan guarantees that Drywall, interior paint and finishing facilitate the renovation/rehabilitation of Cabinetry distressed properties that would otherwise be Flooring potential candidates for demolition. Through Electrical bank financed or small Plumbing “sweat-equity” contractor improvement projects, the program Repair to porches and steps is designed to encourage reinvestment in and Repair to exterior foundation walls preservation of target neighborhoods and the Exterior walls and trim existing housing stock. Flashing /guttering Private sanitary sewer repairs AUTHORIZATION FUNDING LIMITS The City of Kewanee is the administrator of Loan guarantees are limited to $40,000 per this loan guarantee program and where single family owner occupied structure. applicable will facilitate the implementation of Program funding on an annual basis is limited the program through the acquisition of eligible to funding availability and outstanding loan houses for the program. Budgetary approval guarantee liabilities. for the program rests with the authority of the City Council, while authorization for program APPLICATION/APPROVAL implementation is the responsibility of assigned PROCEDURE staff. Applications are available at City Hall and online through the City’s website. ELIGIBLE AREAS The program is City-wide, with preference Approval from a qualified commercial lender given to targeted areas as identified in adopted through the financial institution’s typical plans of the City Council. process is required. Approval of applications, though dependent upon available funding as ELIGIBLE APPLICANTS budgeted by the City Council, will be Applicants must complete an application completed at the staff level to determine project process which is similar to one required by any eligibility and applicability, requiring no action lender. from the governing body, prior to submission by staff to an independent volunteer board ELIGIBILITY CRITERIA established and appointed by the City Council. Must meet LMI guidelines Subject Property must have clean title REPORTING REQUIREMENTS Subject property must be occupied Quarterly reports providing to an update in the PROGRAM BENEFITS/ELIGIBLE USES status of improvements must be provided
PURPOSE The Distressed Property Reinvestment Program was established in Kewanee in 2016 with program funding provided by the City of Kewanee, with additional public and private sector funding when available. The goal of the program is to assist individuals and families in achieving the “American Dream” of home ownership through loan guarantees that facilitate the renovation/rehabilitation of distressed properties that would otherwise be potential candidates for demolition. Through bank financed “sweat-equity” or small contractor improvement projects, the program is designed to encourage reinvestment in and preservation of target neighborhoods and the existing housing stock. AUTHORIZATION The City of Kewanee is the administrator of this loan guarantee program and where applicable will facilitate the implementation of the program through the acquisition of eligible houses for the program. Budgetary approval for the program rests with the authority of the City Council, while authorization for program implementation is the responsibility of assigned staff. ELIGIBLE AREAS The program is City-wide, with preference given to targeted areas as identified in adopted plans of the City Council. ELIGIBLE APPLICANTS Applicants must complete an application process which is similar to one required by any lender. ELIGIBILITY CRITERIA Must meet LMI guidelines Subject Property must have clean title Subject property must be occupied PROGRAM BENEFITS/ELIGIBLE USES Eligible uses of guaranteed loan proceeds include but are not limited to: Repair and replacement of windows and doors Roof repair and replacement of roof covering Exterior paint Foundation Repair Drywall, interior paint and finishing Cabinetry Flooring Electrical Plumbing Repair to porches and steps Repair to exterior foundation walls Exterior walls and trim Flashing /guttering Private sanitary sewer repairs FUNDING LIMITS Loan guarantees are limited to $40,000 per single family owner occupied structure. Program funding on an annual basis is limited to funding availability and outstanding loan guarantee liabilities. APPLICATION/APPROVAL PROCEDURE Applications are available at City Hall and online through the City’s website. Approval from a qualified commercial lender through the financial institution’s typical process is required. Approval of applications, though dependent upon available funding as budgeted by the City Council, will be completed at the staff level to determine project eligibility and applicability, requiring no action from the governing body, prior to submission by staff to an independent volunteer board established and appointed by the City Council. REPORTING REQUIREMENTS Quarterly reports providing to an update in the status of improvements must be provided