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A landlord this week suggested that City Council place conditions on funding that Altoona may be providing soon for housing improvements for owners who need help.
A couple of council members commented favorably about the suggestions from Guwain Engle of Engle Rental Properties, who was referring to council's recent proposal to allocate $250,000 from a federal grant to correct code violations, along with an existing city program that has used up an initial $50,000 for roof repairs.
Engle recommended:
- Requiring that beneficiaries carry insurance for five years, so that in case of fire, damaged houses would be repaired or replaced.
- Placing liens for roof projects that would depreciate over 20 years, to discourage owners from profiting from the repairs via "quick flip(s)" after completion of those projects.
- Elimination of large-scale help for owners who are receiving rebates on their property taxes or who are delinquent in the payment of those taxes.
- Allowing rental property owners like himself, who rent to low-income tenants, to participate in the assistance programs, given that those owners must submit their properties for inspection, that they carry insurance and that they pay property taxes in full, according to Engle.
Engle had "several pretty good ideas," said Councilman Jesse Ickes.
The lien suggestion especially makes sense, said Councilman Ron Beatty, calling Engle's observations "sharp."
"The idea of requiring evidence of insurance is definitely important," Ickes said. "And also placing a lien (to make) sure that if something happens, we're not funding someone to turn a quick profit."
Ickes said he can understand the recommendation for excluding owners who are getting property tax rebates or who are delinquent in property tax payments.
But he doesn't support using the funds for landlords, stating the funds should be used for homeowners only, he said.
"(Still) three out of four is pretty good," he added.
Council has proposed using $250,000 from its $39.6 million allocation from the American Rescue Plan Act to help correct code violations for needy owners.
Some council members want the proposed code violation program to work as a revolving loan fund, some as a grant program and some as a lien program.
The city has used $50,000 initially allocated from Community Development Block Grant funding for the roof program, and will be applying for more CDBG money for that program this year.
Additionally, the city expects to receive about $275,000 of the $1.1 million in ARPA money that Blair County has received for a state-created Whole-Home Repairs program.
Those three new home repair initiatives reflect a recent emphasis by council on rehabilitating, rather than demolishing, deteriorated homes.
The city for years has routinely funded a CDBG loan program to rehabilitate single-family homes owned by low-to-moderate-income people, using the annual CDBG entitlement infusion from the Department of Housing and Urban Development.
Mirror Staff Writer William Kibler is at 814-949-7038.