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File #: 080633    Version:
Type: Resolution Status: Passed
File created: 9/2/2008 In control: COMMUNITY & ECONOMIC DEVELOPMENT COMMITTEE
On agenda: Final action: 10/7/2008
Effective date:    
Title: Substitute resolution authorizing the partial cancellation of the loan balance from the sale of a tax credit loan property.
Sponsors: THE CHAIR
Indexes: COMMUNITY BLOCK GRANT ADMINISTRATION, COMMUNITY DEVELOPMENT, COMMUNITY DEVELOPMENT BLOCK GRANT, NEIGHBORHOOD DEVELOPMENT
Attachments: 1. Cover Letter, 2. Fiscal Note, 3. Notice List

Number

080633

Version

SUBSTITUTE 1

Reference

Sponsor

THE CHAIR

Title

Substitute resolution authorizing the partial cancellation of the loan balance from the sale of a tax credit loan property.

Analysis

This resolution authorizes the loan balance write-off of the uncollectable portion of CDBG Loan balances.

Body

Whereas, The City of Milwaukee previously had a lien on a property located at 2200-2218 N. Martin Luther King Jr. Dr. purchased to participate in housing rehabilitation tax credits; and

 

Whereas,  The former owner of the property, Historic King Place Limited Partnership, sold the property of the Historic King Place Apartments, LLC, and

 

Whereas, The City’s portion of the original purchase on this property is in the amount of $189,000 of Community Development Block Grant (CDBG) funds, and

 

Whereas, Historic King Place Apartments, LLC has provided a check in the amount of $128,000 to the City of Milwaukee leaving a remaining loan balance of $61,000 to be written off as uncollectable; and

 

Whereas, The outstanding loan balances for the following organizations are also deemed uncollectable because the organizations are no longer in existence.  They are the Grants Building Renovation Project in the amount of $6,167.38 (CDBG funds) and the Mid-Town Neighborhood Association in the amount of $6,156.79 (CDBG funds); and

 

Whereas, The Community and Economic Development Committee recommends approval of the loan balances write-off totaling $73,324.17 as uncollectable; now therefore, be it

 

Resolved, That the Common Council of the City of Milwaukee approves the write-off the uncollectable loan balances.

Requestor

Drafter

CDGA-HistKingPl

08/21/08