HomeMy WebLinkAbout02.14.2005• •
COUNCIL WORK SESSION
February 14, 2005
5:00 p.m.
Council Chambers
Members present: Mayor Hurley, Kincaid, Greenwood, Clark, Schmitt, Gunderson, Welper.
Members absent: Cole.
Moved by Welper, seconded by Kincaid that the Agenda, as proposed, be approved. Ayes: Six.
Absent: Cole. Motion carried.
Representatives from Operation Threshold, INRCOG, the Waterloo Housing Authority and the
East Side Ministerial Alliance reviewed their programs and how they apply to down payment
assistance and new construction.
Donna Lesyshen, Waterloo Housing Partnership Manager, reviewed Operation Threshold's
Down Payment Assistance Program. The program provides down payment assistance to
qualifying persons who are buying homes that are located in the Consolidated Urban
Revitalization Area. Buyers will receive assistance equal to 7 percent of the sales price of the
home, but no more than $5,000.00. This assistance is in the form of a 5-year forgivable loan.
Ms. Lesyshen reviewed the Waterloo Housing Partnership Income Guidelines for down payment
assistance for a five-year forgivable loan and a summary of Waterloo Housing Partnership
activities. HUD funds from the Community Development Board are used for the down payment
assistance.
• Mary Robinson, representing the Eastside Ministerial Alliance, reviewed their Homeownership
Down Payment Assistance Program which operates in partnership with the Waterloo Housing
Authority. The grant is in the form of a forgivable 2nd mortgage with a Fannie Mae approved
lender. The forgivable loan is reduced by 20 percent per year until the conclusion of the 5th year
when the loan will be released. The maximum down payment is limited to 7 percent of the
purchase price and not to substantially exceed $3,500.00. The grant amount will not exceed the
minimum amount required for the family to obtain a mortgage from a conventional mortgage
source. A minimum of 1 percent must come from the buyer's funds. Ms. Robinson reviewed the
eligibility requirements for the program. Funding for the program is from the Waterloo Housing
Authority Section 8 program.
Clarissa Nicholson, representing Iowa Northland Regional Council of Governments (INRCOG),
explained their Homebuyer Assistance Program. To qualify for the Homebuyer Assistance
Program, applicants must earn below 80 percent of the median income for Black Hawk County.
The forgivable loan can be up to $8,000.00 and for five years. The funds can be used by buyers
purchasing a home or for new home construction. The program provides down payment
assistance and closing costs to qualifying persons who are buying homes that are located in the
Consolidated Urban Revitalization Area in accordance with the city's program. The funds for
the program were obtained through a grant from the Iowa Department of Economic
Development.
Ethel Washington, Director of Waterloo Housing Authority, reviewed the Section 8
Homeownership Voucher Program. The Section 8 Home Ownership Program permits eligible
participants in the Section 8 Housing Choice Voucher Program the option of purchasing a home
with their Section 8 assistance rather than renting. Section 8 home ownership assistance may be
used to purchase a new or existing single-family dwelling unit, condominium, cooperative or
manufactured home. The family must be able to secure a mortgage from a conventional
mortgage source and cannot purchase a contract. Six persons have participated in the program
since January 2004. The Waterloo Housing Authority makes a portion of the payment and the
buyer makes a portion of the payment.
With no further business before the council, it was moved by Clark, seconded by Schmitt that the
meeting be adjourned at 5:29 p.m. Ayes: Six. Absent: Cole. Motion carried.
Nancy Eckert
City Clerk