 Neighborhood Stabilization Program 2 (NSP2) Proposal
On May 4, 2009, the U.S. Department of Housing and Urban Development (HUD) released a Notice of Fund Availability (NOFA) for the NSP2 under the American Recovery and Reinvestment Act, 2009. A total of 1.93 billion in NSP2 funding is available nationally to carry out neighborhood stabilization programs.
The City of East St. Louis, Illinois is submitting an application to HUD for the Neighborhood Stabilization Program (NSP2), to rehabilitate existing units of foreclosed blighted/abandoned properties to rent and sale in selected neighborhoods. The geographical neighborhoods selected by the City are located within the neighborhoods hardest hit with foreclosed and abandoned properties according to HUD’s Office of Policy Development and Research where the maximum foreclosure and vacancy rate is determined to be twenty.
The geographical neighborhoods selected for this project are as follows:
|
Census Tract |
Neighborhood |
Foreclosure Score |
Vacancy Score |
|
5004 |
Lansdowne |
19 |
19 |
|
5005 |
Lansdowne |
20 |
19 |
|
5006 |
Olivette Park |
20 |
20 |
|
5009 |
Winstanley/Industrial Park |
19 |
20 |
|
5011 |
Alta Sita |
19 |
20 |
|
5012 |
Claremont & Fairlawn |
19 |
20 |
|
5045 |
Franklin Park |
19 |
19 |
Under this proposal, the City will continue the efforts of its original NSP Project currently being reviewed by the State of Illinois to acquire and land bank one hundred and ten (110) existing units of vacate slum/blighted/abandoned properties to be renovated within the aforementioned census tracts. Upon completion, the homes will be provided to non-profit and for profit agencies to sale or rent to families with incomes below 120 of the area medium income (AMI). The cost for rehabilitating a total of 110 slum/blighted properties is $10,291,880.
In addition to the City’s NSP housing rehabilitation program, the City is partnering with Morrissey Construction Company and McCormick Baron Salazar, Inc. to convert the old Clark Middle located at 3300 State Street into supportive housing and behind the existing structure develop one hundred (100) new rental units to serve residents at or below 50% AMI. The cost of this project is $22,181,954.
The City is also partnering with the Building Investment Group, LLC to construct thirty-six (36) new townhome apartments for lease. These townhomes will be designed to revitalize the Franklin Park Neighborhood within the City of East St. Louis. The proposed Phase One of this project called “Franklin Park Estates” will be located between the blocks of 8th and 10th Streets on Piggott and Market Streets in East St. Louis. The Franklin Park Estates will consist of Townhome development and will encompass twelve buildings – each building will house three units – all 3-bedroom units. Total square footage for each unit will be approximately 1,400 to 1,500 square feet of living space, for a total of approximately 50,400 to 54,000 square feet of new replacement housing construction. The cost of this project $8,265,083.
The total cost of all three projects is $40,738,917, and the City is requesting a total of $23,289,547 in NSP2 funding from the U.S. Department of Housing and Urban Development to complete these projects. Citizens, public agencies, community organizations, and other interested parties are requested to mail or email their comments regarding the proposed usage of the funds to the following location:
Written comments should be directed to:
Arthur Johnson, Director
City of East St. Louis
Community Development Department
City of East St. Louis Municipal Building
301 River Park Drive, 3rd Floor
East St. Louis, IL 62201-3022
Email comments to: nsp2@cesl.us
For more information Neighborhood Stabilization Program (NSP), round 2 go to: http://portal.hud.gov/portal/page?_pageid=153,7973319&_dad=portal&_schema=PORTAL
World Changers: The World Changers was founded in 1990. The program is sponsored by the North American Mission Board of the Southern Baptist Convention. The program focuses on involving senior high youth in hands-on missions. Each year the group travels to various cities throughout the country to help with community beautification efforts. The City of East St. Louis Community Development Department funded the program in 2003 and 2004 to do housing renovation on several targeted homes in the south end of the city on Baker Avenue. The World Changers will be in East St. Louis again June 16-23, 2007.
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Public Announcements/News and Events: Under Governer Rod Blojohovechs new River Edge Redevelopment Initiative, the City of East St. Louis has been invited to apply to the State of Illinois for certification as a River Edge Redevelopment Zone. This certification will allow the city to develop 12 square miles of undeveloped land along the city’s riverfront, and is a 30 year designation. Submission of a successful application to the State will open the door to developers for several types of tax breaks and exemptions as incentives for development. The Community Development Department is the lead department for this initiative. The Illinois Department of Commerce and Economic Opportunity (DCEO), and the Illinois Environmental Protection Agency will provide program oversight under this initiative from the state level. For further information, please visit the website at www.ilga.gov/legislation, then search Senate Bill (SB3183). You may also visit the Governor’s Home Page at www.illinois.gov., then click on “News”.
Tax Credits: Portions of the City of East St. Louis are located in a federally designated Empowerment Zone (EZ). Businesses currently located in the EZ, as well as businesses willing to locate or relocate to the EZ area may be eligible for certain tax credits. Some programs and projects may also be eligible for the tax credits. Contact Ms. Tara Buckner, St. Louis Regional Empowerment Zone at (314) 241-0002, or email tbuckner@stlouiszone.org for more information.
Funding Opportunities: There are no additional funding opportunities for 2006. Future funding opportunities will be posted here.
Consolidated Plan (Con Plan): This five-year plan identifies community needs, resources, and priorities. Required by the U.S. Department of Housing and Urban Development (HUD) for all grantees receiving a Community Development Block Grant (CDBG), Emergency Shelter Grant (ESG) or HOME and Housing Opportunities for People With Aids (HOPWA) funds from HUD.
Annual Action Plan: This is a yearly plan that provides information on the intended use of HUD program funds to address needs identified in the Consolidated Plan.
Amendment to the City of East St. Louis Community Development 2008 Annual Action
As part of the Recovery Act, funds are available under a new Homeless Prevention and Rapid Re-Housing Program (HPRP) which is administered by the U. S. Department of Housing and Urban Development (HUD). These funds may be used to provide homeless prevention assistance to persons at risk of homelessness, to provide rapid re-housing assistance to homeless persons, to help cover required data collection and evaluation costs, and to help cover grant administrative costs. The HPRP requires a Substantial Amendment to the City of East St. Louis Community Development 2008 Annual Action Plan. The 2008 Action Plan indicates how certain 2008 federal housing and community development programs will fund activities that will help the City meet the five-year goals set forth in the City of East St. Louis Community Development Consolidated Plan 2005-2009. The proposed Amendment will indicate how the City plans to administer the $750,339 in HPRP funds.
CDBG-R SUBMISSION & CHECKLIST
Consolidated Annual Performance Report (CAPER): Annual report required by HUD from grantees to review the progress it has made in carrying out its Consolidated Plan and report on that progress. |