2013/04/24 Council Agenda Packet

5 Exhibit A-1 PROJECT DESCRIPTION PROJECT DESCRIPTION The City operates a Community Housing Improvement Program ("CHIP"). Through CHIP, the City provides low-interest home rehabilitation loans to Low- Income eligible homeowners with homes that are either within the corporate limits of the City of Everett or within the limits of the Everett UGA. HOME funds under this Agreement will be used to provide assistance under the CHIP program in the form of deferred payment loans for fifteen (15) to twenty-five (25) years that accrue at three percent (3%) per annum simple interest. Loan amounts typically range between $2,500 and $100,000, with an estimated average loan of $32,200. Loan terms and repayment terms shall be as set forth in the City's Community Housing Improvement Program Operating Procedures Manual, dated July 2008, incorporated herein by this reference, and as subsequently amended with notice provided to the County. A. The proceeds of the subgrant under this HOME Agreement are to be used to make rehabilitation loans through the City's CHIP program: 1. To meet the property standards contained in 24 CFR § 92.251; 2. To make essential improvements, including energy-related repairs or improvements, improvements necessary to permit use by persons with disabilities, and the abatement of lead-based paint hazards, as required by 24 CFR Part 35; or 3. For other purposes as listed under 24 CFR § 92.206(a), in order to maintain Snohomish County's affordable housing stock. B. Rehabilitation work on homes must be performed in accordance with the County's HOME Rehabilitation Standard, which is currently the Section 8 Housing Quality Standards, and with written rehabilitation standards contained in Housing Quality Standards (HQS) as set forth in the City's Community Housing Improvement Program Operating Procedures Manual, dated July 2008, incorporated herein by reference, and as subsequently amended with notice provided to the County, and the homes must be brought up to state and local code. A more exhaustive list of eligible improvements can be found in the City's Community Housing Improvement Program Operating Procedures Manual. In cooperation with and review by the City, the County may update its HOME Rehabilitation Standard at any time. The Rehabilitation Standard will minimally meet all HOME rehabilitation requirements and regulations. The CHIP program will be subject to the requirements of the County's HOME rehabilitation standard policy. Exhibit A-1 HCD-11-42-1178-198(1) City of Everett Page 1 of 3 16