Becky Safarik, Director of Community Development briefed the City Council recently on the progress of the City’s Neighborhood Stabilization Program. The City has rehabilitated 19 of the 24 homes it purchased this year using a $5.8 million grant from the federal government (HUD). Of these homes, 11 have been sold and five are reserved or under contact.
The City has until February 2011 to use the grant money it received. Safarik believes there may be the opportunity to rehabilitate 6 more homes by the deadline. The Neighborhood Stabilization Program was established by HUD to stabilize communities that have suffered from foreclosures and abandonment through the purchase and redevelopment of foreclosed and abandoned homes and residential properties. The most recent iteration of the program was authorized through the American Recovery and Reinvestment Act (the Recovery Act) of 2009 and provides grants to states, local governments, nonprofits and a consortium of nonprofit entities on a competitive basis.