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Date
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November 6, 2006
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Agenda
Item No. 22A Roll
Call No. 06- Communication No. 06-686
Submitted by: Larry Hulse, Community Development Director |
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AGENDA HEADING:
Approving the form of agreement among the City of Des Moines, West Bank, and the Federal Home Loan Bank of Des Moines for lead remediation for low-income owner-occupants.
SYNOPSIS:
Recommend approval of the form of agreement among the City of Des Moines, West Bank, and the Federal Home Loan Bank of Des Moines for lead remediation for low-income owner-occupants. The City made application for, and subsequently received, this grant in April of 2006. This action approves the form of agreement for execution of the grant award. The grant proceeds will go directly into home repairs for low-income owner-occupants who have children under age six and lead based paint in their homes. Approximately 50 low-income households will be assisted over a two-year period.
FISCAL
IMPACT:
Amount: The grant award is $250,000. The grant is matched by $250,000 of Community Development Block Grant (CDBG) Dollars and $150,000 of Polk County Housing Trust Fund dollars that were previously received. Money for staff and administration is provided by CDBG dollars.
Funding
Source: Fiscal Year 2006-07 Operating Budget,
NCS-Owner Occupied Program , SP020
CDD049900 CDBG200514, Page 354.
ADDITIONAL
INFORMATION:
The Federal Home Loan Bank of Des Moines
provides grant funds for member banks through a grant program called the
Affordable Housing Program. A member
bank may sponsor a non-profit or government organization to make application to
administer a program that preserves affordable housing for low-income
residents. Applications for funds are
held annually and are very competitive.
The City of Des Moines has worked with
West Bank to make application for and receive funds to supplement the City’s
Repair Loan Program for low-income owner-occupied structures over the past few
years. West Bank has also agreed to
work with the City on the application for rehabilitation assistance for homes
with lead based paint. Only certain
banks in the Des Moines area are Member Institutions of the Federal Home Loan
Bank able to make application for the funds.
West Des Moines State Bank is headquartered at 1601 22nd Street in West
Des Moines. Vince McNace is the Executive Vice President of West Des Moines
State Bank with signature privileges from the Federal Home Loan Bank of Des
Moines.
Des Moines elected officials and staff
have been meeting with Polk County to determine how to address lead issues in
housing. In Des Moines’ oldest
neighborhoods on the north, east and south sides, officials believe an
estimated 13 percent of children have dangerously high lead levels in their
blood. That number is nearly twice the state average and seven times the
national average, according to the Polk County health department.
Lead was used in house paint until 1978 when its perilous health effects became
widely known. More than half of the houses in Des Moines were built before the
restrictions took effect, and a majority of those houses contain some
lead. Lead can enter the body by eating
paint chips or inhaling paint dust from floors, walls, and windowsills.
Children younger than 6 are most susceptible to lead poisoning. High levels of
lead can hurt blood cells' ability to carry oxygen, which can cause kidney
failure and brain damage, according to information from the Centers for Disease
Control and Prevention.
The Neighborhood Conservation Division
will assist approximately 50 low-income homeowners at approximately $5,000 for
each household. Staffing funds are
provided through CDBG for the Neighborhood Conservation Division, Community
Development Department.
PREVIOUS
COUNCIL ACTION(S):
Date: April 24, 2006
Roll Call
Number: 06-772
Action:
$250,000
Grant Request to Federal Home Loan Bank of Des Moines Affordable Housing
Program by the City and West Des Moines State Bank to provide rehabilitation
assistance in low-income owner-occupied housing that contains lead based
paint. (Council
Communication No. 06-237) Moved by Hensley to adopt. Motion Carried 7-0.
Date:
November 21, 2005
Roll Call
Number: 05-2791
Action: Submission of a $125,000 grant request to
Polk County Housing Trust Fund for the City’s Owner-Occupied Housing
Rehabilitation Loan program for a pilot program for Interim Lead-Based Paint
Control. (Council
Communication No. 05-654) Moved by
Hensley to adopt. Motion Carried 7-0.
BOARD/COMMISSION
ACTION(S): NONE
ANTICIPATED
ACTIONS AND FUTURE COMMITMENTS:
A future action
will be needed to sign an agreement between the City of Des Moines and West
Bank.