Housing rehab program spends nearly $500K
Nearly a half million dollars has been spent on a housing rehab program in the city of Blue Earth, and that has caused local officials to call it a huge success.
“We have assisted 32 homeowners,” housing project coordinator Ann Kluenenberg says. “We had 53 total applicants.”
Kluenenberg is an employee of the Faribault County Development Corporation (FCDC) which was contracted by the city to manage the project.
A total of $496,456 has been spent on the overall project, including both city and private homeowners funds.
The city of Blue Earth has put in $447,587 of the total cost of the work. The money came from an unused Housing Redevelopment Authority (HRA) fund.
Applicants were divided into four categories, dependent upon income levels. At the lowest level, homeowners had to put in 10 percent of the cost of the project, while the other 90 percent was given as a deferred loan.
If they live in the home for 10 years, the loan will be totally forgiven.
The other levels have from 20 to 40 percent as a repayable loan, and 50 to 70 percent as a deferred loan. They also require 10 percent be paid by the homeowner from other sources.
To read more of this article, see this week’s Register.