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2/2 CITY COUNCIL MOTION AGENDA ITEMS

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Nelson R. Self View Drop Down
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    Posted: Jan 30 2010 at 10:40am
At this coming Tuesday's meeting of the CIty Council two of three "supposedly insignificant" Motion Agenda Items will be presented.  However, there's far more than meets the eye involving these two small property sales matters.
 
In 2006 prior to my employment with the City of Middletown, an ambitious HUD-funded project was undertaken by the Planning Department.  This involved the transfer of ownership of 10 so-called "FHA Dollar Homes."
 
These vacant, foreclosed FHA homes, plus a CDBG-acquired and extensively rehabilitated residence at 1910 Hill, were transferred to a local non-profit housing organization.  Four of the 10 "FHA Dollar Homes" were extensively remodeled by the City in 2006.
 
To summarize my previous posts, only six of the 11 aforementioned single-family homes were sold.  In most of those instances significant losses were incurred by the City.
 
Recently, the Community Revitalization Department demolished the remaining non-rehabilitated homes.  In each instance, thousands of HUD dollars were wasted on temporary holding costs, property appraisals, legal fees, significant City staff hours, considerable Law Department assistance, real estate commissions, etc., etc.
 
All told, more than $200,000 was wasted resulting in $150 for the proposed sale of vacant land at 115 Crawford and 2100 Grand this time.
 
What a great example of managing the taxpayer's money??  Any comments from Marty, Miss Judy or Doug?
 
Joshua and A.J., I first brought this problem project to each of you during last  year's election.  Would you add it to your growing list of matters requiring further explanation from senior City staff?  We are counting on you!
 
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