Applications are being accepted now for funds to rehabilitate or upgrade abandoned or vacant single-family houses in North Platte.
The Lincoln County Community Development Corporation announced the proposed guidelines Tuesday for the Rural Workforce Housing Fund housing rehabilitation program.
The guidelines, application and contact information are provided in links and attachments with this announcement.
The program is designed to rehabilitate or upgrade houses into habitable houses for sale or rent in North Platte.
Developers can qualify for “up to $25,000 matching funds” per unit from the RWHF, which is part of the North Platte Area Chamber and Development Corporation’s “Shot in the Arm – Phase 3” program.
There is $200,000 available overall for rehab projects on a first-come, first-served basis, providing the developer meets the guidelines required in the program. All projects must be substantially completed by April 1, 2023.
The Chamber partnered with the state of Nebraska, city of North Platte, Great Plains Health and its economic development incentive business partners to fund the program.
LCCDC has contracted to administer the rehab part of the RWHF. The other part of the $1.2 million local program is providing incentives for workforce housing for upper floor downtown or new single-family housing.
An application and the complete guidelines are below:
RWHF REHABILITATION PROGRAM APPLICATION (1/10/22)
Administered by Lincoln County Community Development Corporation
Submit application to LCCDC, 303 S Jeffers St, PO Box 1413, North Platte, NE 69103 or
firstname.lastname@example.org, Phone: 308-534-5095
Applicant Name : ________________________________Owner/Manager Name: _____________
Co-Applicant Name: ______________________________________________________________________
Federal EIN or Social Security number
Mailing Address: _________________________________________________________________________
Phone Number: _________________________ EMail Address: ___________________________________
Property Address to be rehabilitated: ________________________________________________________
Current ownership of site or plan to obtain site:
Projected Start Date Projected End Date:
General Contractor to be used: Property Manager if different:
Year home was built: ___________ Current assessed value: _____________________________
Financing plan (Amount/terms) : __________________________________________________________
Property insurance (Company/Agent): ___________________________________________________
I (we) hereby certify that the information provided in this application are true and correct to the best of my
I (we) understand that whenever changes occur in the information provided, I (we) need to report them
immediately to Program Administrator, Lincoln County Community Development.
I (we) have received a copy of the Program guidelines which provides information about this Housing
Rehabilitation Program for which we are applying.
Applicant Signature Date
Co-Applicant Signature Date
Please attach the following with this application:
1) a description of rehabilitation activities planned for this home along with projected start and completion dates
2) detailed project budget
3) a copy of most recent year’s income tax return
4) verification of source of funds (bank statements or loan approval)
5) proof of insurance (this can be provided once property is acquired)
6) proof of identity (drivers license if individual, organizational documents if entity)
7) applicant’s experience with development/construction
RWHF REHABILITATION PROGRAM GUIDELINES (1/10/22)
Administered by Lincoln County Community Development Corporation
Submit application to LCCDC, 303 S Jeffers St, PO Box 1413, North Platte, NE 69103 or email@example.com, Phone: 308-534-5095
1) To promote safe, affordable and decent housing within North Platte, Nebraska by placing homes into productive use that are currently vacant or abandoned and in need of rehabilitation to make them habitable.
2) To provide community development within North Platte, Nebraska by improving and retaining existing housing stock.
Assistance is for properties located in North Platte, Nebraska.
Applicants must show capacity to complete the rehabilitation within the guidelines and in a timeframe acceptable to the Administrator. (showing substantial completion by 4/1/23)
Applicant must have no conflict of interest as defined within these Guidelines.
If the applicant is currently under litigation with their property or will begin litigation, they are ineligible for the program until after the conclusion of the litigation. This includes foreclosure.
To qualify for the Program the property must be at least 40 years old and require rehabilitation that
exceeds at least 50% of the home’s most current assessed value.
Any house considered for this program must be attached to permanent foundation.
NO MOBILE HOME IS ELIGIBLE FOR THIS PROGRAM.
The house must be located within the incorporated limits of the City of North Platte, Nebraska.
The property owner must have clear title to the property; adequate insurance coverage and taxes must be current. Proof of ownership is provided by a copy of the deed; proof of insurance is provided by a copy of the insurance declarations from the insurer; proof of current taxes is provided by receipt from county treasurer’s office.
Housing units located within a Special Flood Hazard Area will not be eligible for assistance.
After rehabilitation the property must meet as a minimum Nebraska Department of Economic Development Minimum Standards for Rehabilitation.
Properties involved in any type of dispute or litigation regarding the home or the land upon which the home is located, are not eligible until resolution has been achieved for such dispute or litigation. This includes foreclosure.
Property can’t receive federal or state low-income housing tax credits, CDBG funds, HOME funds, National Housing Trust Fund, or funds from the Affordable Housing Trust Fund.
TYPES OF ASSISTANCE
This program assists applicants rehabilitating properties that require substantial repair by bringing the property into compliance with housing codes and modernization.
This assistance is in the form of a forgivable deferred loan and the maximum assistance amount is $25,000 per property. At least ½ of the match must be for rehabilitation of the property, the rest may be
used to cover part of the purchase. The applicant must provide matching funds in an amount equal to the amount granted under the Program. Any additional amount needed to bring the property to minimum code standards is the responsibility of the property owner. Program funds will be advanced once the project is completed. Borrowers are required to sign a Promissory Note, and a Deed of Trust lien will be placed on the property, with filing fees covered by the Applicant. Once all requirements are met or the loan is repaid, the lien will be released from the property. The loan will be forgiven if all program guidelines have been met and upon verification of the sale of the property or verification of intention to retain as a rental.
Applicant requests and receives an application to complete and a copy of Program Guidelines. Applications are processed on a first come/first served basis when funding is available.
Once the completed application is received with original signature(s), and funds are available, the application will be processed, if there are no funds available when the application is received, it is dated as when received and held until there are funds available.
The following items must be disclosed at application: proof of identity, a copy of most recent year’s income tax return in full, description of proposed rehabilitation with estimated budget, verification of sources of funds such as bank statements or loan approval, estimated timeline, and applicant’s experience with development/construction.
Once determined the applicant meets the program requirements an inspection is scheduled.
Program inspector inspects house and the proposed rehabilitation to be made.
Applicant to provide Lead Based Paint inspection on houses constructed prior to 1978.
Applicant will provide proof of insurance.
Applications are selected based upon completeness of required information — rehabilitation budget and timeline, insurance, ownership — of the applicant and the estimate of work to be completed is within the Program allocated budget
At any point prior to construction, the applicant may withdraw their application.
Letter of qualification or denial is sent to prospective applicant. Notification to those not successful will include brief explanation as to the basis of their non-selection.
MAXIMUM AFTER REHAB VALUE
The maximum after rehabilitation value of any house rehabilitated under these guidelines will not exceed the values listed on the Department of Economic Development website. (As of 5/1/21 this was $285,000 for owner-occupied housing and $215,000 for rental housing units). Appraisal/valuation costs will be covered by the applicant and must be in a format acceptable to the Administrator.
CONFLICT OF INTEREST
No official, employee, or agent of a Municipality or Organization who exercises policy and/or performs decision making functions or responsibilities in connection with the planning and/or implementation of the program shall directly or indirectly benefit from this program. The prohibition shall continue for one year after an individual’s relationship with the program ends. Any other employee, officer, or board member may be eligible, but will be treated without preference in the determination of the application accepted for funding. Enclosed with such application shall be a statement of disclosure, which outlines any interest the applicant may have in the operation of the program.
A waiver process shall be available to allow for the previously identified ineligible persons to be eligible for participation in the program. Each person requesting a waiver must describe their need for participation in the program and, if approved, agree to disassociate themselves from any decision making that directly affects them.
CONTRACTOR SELECTION AND CONSTRUCTION MANAGEMENT
Contractor selection is done by the applicant and the work to be completed is contracted by the applicant. The Administrator will review the Nebraska Debarred Contractor List, reasonableness and cost of rehabilitation.
The applicant/contractor will assess the rehab needs and provide a plan & budget to complete the project. This will be reviewed by the Administrator & Inspector.
During inspection, a list of rehab requirements that assures DED standards, NDED Rehabilitation Standards and HUD lead base paint hazard control requirements are made for the house.
Applicant / Contractor must have all required local permits & meet all building compliance requirements of the City of North Platte.
Bids are prepared from the list of rehab requirements and bids requested from contractors.
Contractor and applicant sign a Contract Agreement for the work to be completed.
Inspector, staff and applicant work closely during the actual rehabilitation. The applicant is responsible for on-site quality of the work; inspector is responsible for inspecting that the work is completed.
Inspector performs all inspections to the project. No funds will be disbursed without final inspection showing project completion and lien waivers from contractor and sub-contractors have been received.
The home’s rehabilitation must be at substantial completion by April 1, 2023.
LEAD-BASE PAINT REQUIREMENTS
The United State Department of Housing and Urban Development (HUD) has issued new regulations regarding lead-based paint hazards in federally funded programs. These regulations address properties built before 1978 (the last year that lead-based paint was manufactured). The City of North Platte is a recipient of Federal funds and must comply with these regulations.
Lead-based paint in residential homes can pose a serious health risk to families. Children under the age of seven particularly are vulnerable to the health effects of lead poisoning because their bodies and nervous systems are still developing.
Their bodies absorb lead faster than adult bodies do. Low levels of lead can have a great impact on a child’s development, brain and nervous system, causing reductions in IQ and attention span, reading and learning disabilities, hyperactivity and behavioral problems. Housing renovation work can add to the risk factors by disturbing lead-based paint surfaces, which can generate high levels of lead-contaminated dust. These hazards can cause adverse health effects for all household members, regardless of age.
The new lead-based paint regulations may affect a project if 1) the property was built before 1978, 2) the property shows visual signs of deterioration (chipping or peeling) paint and 3) the work on the property will disturb surfaces that contain lead hazards.
Therefore, rehab projects built before 1978 will be screened for lead-based paint hazards, initially through a visual inspection of the deteriorated paint or a lead test to determine if surfaces with lead- based paint will be disturbed during renovation. If it is determined that lead hazards are present, a contractor trained in lead safe work practices at a minimum will be required to perform that portion of work and a clearance test will be performed at the end of the project to make sure that all lead hazards have been eliminated.
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