Title
RESOLUTION AUTHORIZING THE CITY OF DULUTH, MINNESOTA TO FORGIVE $105,000 IN HOUSING INVESTMENT FUNDS THAT WERE LOANED TO ONE ROOF COMMUNITY HOUSING WHICH WAS FORMERLY KNOWN AS THE NORTHERN COMMUNITY LAND TRUST PROGRAM.
Body
CITY PROPOSAL:
RESOLVED, the city council of the city of Duluth hereby authorizes forgiveness of $105,000 in Housing Investment Funds to One Roof Community Housing which was formerly known as the Northern Community Land Trust Program.
Statement of Purpose
STATEMENT OF PURPOSE: This resolution authorizes the forgiveness of a $105,000 loan that was provided to Northern Communities Land Trust through the Housing Investment Fund Program on September 12, 2006 with contract number 20210. Paragraph 2 of the contract stated the loan monies were to be deferred for a period of 30 years.
In 2012, Northern Community Land Trust and Neighborhood Housing Services combined to create One Roof Community Housing. One Roof Community Housing is a non-profit organization that provides various housing programs, including a community land trust program that provides affordable home ownership. One Roof Community Housing is requesting the $105,000 in loan forgiveness so that those funds can be used to acquire additional housing units for the community land trust program.
One Roof Community Housing and City staff have discussed the loan forgiveness as a way to provide additional affordable housing in the community. Affordable home ownership is a high priority for the City of Duluth, the Imagine Duluth 2035 plan, Housing Policy #2 stated, “Provide affordable, attainable housing opportunities.” This request implements this policy. The Community Planning manager concurs and recommends approval of the loan forgiveness.