EL CENTRO – The Imperial County Board of Supervisors voted unanimously to authorize the Imperial County Community & Economic Development (ICCED) to formally submit a revised Abbreviated Plan to HUD for the Neighborhood Stabilization Program Round 3 (NSP3), in addition to revised programs, policies and procedures during Tuesday’s regular board meeting.
Previously, the county was awarded a neighborhood Stabilization Program with allocations of $1,708,780 from the US Department of Housing and Urban Development (HUD) to mitigate the negative impact of the housing market decline and to stabilize and revitalize those communities and areas hit the hardest by the housing market crash. This is achieved by purchasing foreclosure homes and rehabilitating them to be purchased by low-income households.
“Since this program was initiated, the housing market has increased in prices and decreased in supply,” said Esperanza Colio, the Imperial County Community & Economic Development manager. “We (ICCED) have made some changes to the current NSP3 policies and procedures to accommodate the current housing conditions and seek your approval.”
According to Colio, the proposed NSP3 maximizes the sales prices that will be increased to $275,000. In addition, the maximum NSP3 investment per unit, which is composed of the acquisition, rehabilitation, developer fees, disposition, maintenance or soft costs and potential silent second loans, will be increased to $300,000.
“As the housing supply decreases, ICCED would like include additional target areas under the NSP3 program to expand the service area that will increase the county’s opportunities to purchase foreclosed homes,” said Colio.
In order to include additional target areas, the county must revise the current Abbreviated Plan, which also must undergo a 15-day comment period.
According to Colio, the additional target areas for this program were selected utilizing HUD’s mapping tool. This tool provides information and reports on areas of greatest need. Eligible target areas must meet a minimum score of 17 to be considered eligible and meet the program requirements.
“ICCED staff reviewed various areas within the county, however, there were only a few areas in El Centro and Holtville that met the requirements utilizing the mapping tool provided by HUD,” explained Colio. “These target areas are in addition to the pre-existing areas of Heber, Seeley, Salton Sea, and specific areas in the cities of Brawley, Imperial, Calexico, and El Centro.”
The ICCED revised the Abbreviated Plan to include the following qualified target areas: City of El Centro I (west of Imperial Ave./east of La Brucherie Road), City of El Centro II (east of 8th St./west of 4th St.), City of El Centro III (east of 4th St., Ross Park area) and City of Holtville (east of Olive Ave/west of Orange Ave).
In order to meet HUD’s requirements, ICCED commenced a public comment period on April 1, and ended on April 15. During the public comment period, no comments were received from the community.