Number
191449
Version
SUBSTITUTE 1
Reference
151197
Sponsor
ALD. COGGS, STAMPER, RAINEY AND HAMILTON
Title
A substitute resolution allocating unspent Rental Rehabilitation Housing Program capital funds to the Milwaukee Employment/Renovation Initiative.
Analysis
This substitute resolution allocates approximately $580,000 in unspent capital funds from the Rental Rehabilitation Housing Program to the second phase of the Milwaukee Employment/Renovation Initiative.
Body
Whereas, The City of Milwaukee (“City”) has a large inventory of tax-foreclosed properties, including many that are vacant, with the largest concentration of properties in the 6th and 15th aldermanic districts; and
Whereas, The Department of City Development (“DCD”) is responsible for implementing strategies that return foreclosed properties to productive use and private ownership that generates property tax revenue; and
Whereas, The 2015 City Budget included $1 million in capital funding for the creation of a Rental Housing Rehabilitation Program (“RHRP”) to renovate City-owned vacant residential properties and operate them as a rental portfolio under City ownership; and
Whereas, Common Council File 151197, adopted December 15, 2015, awarded a contract to Friends of Housing, Inc. (“Vendor”) to renovate and manage properties for the RHRP; and
Whereas, City capital funds spent to renovate properties in the RHRP portfolio averaged $82,226 per property; and
Whereas, After completion of the renovation of five properties, at the request of the Vendor, DCD amended its contract to require only management of those five properties, with no further responsibility by the Vendor to renovate additional properties; and
Whereas, No more properties have been added to the RHRP portfolio, resulting in a balance of approximately $580,000 in the RHRP account; and
Whereas, In 2017, the City implemented the Milwaukee Employment/Renovation Initiative Program (“MERI”), which provided modest grants to develop...
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