City uses federal funds to tackle blighted property

Monday the city council approved over $80,000 in funding to improve two blighted properties.

Posted: Dec 3, 2018 10:53 PM

(St.Joseph,MO) Monday, the city council approved Housing Rehabilitation Contracts for two St. Joseph homes in need of repair. The contracts are funded through federal Community Block Grants (CBG) and are used to help improve blighted properties.

The first contract covers a home at 2507 S. 11th Street, and lends $48,934 for repairs and$4,866 for contingency planning. The contracts cover major structural repairs like electric work, roofing, windows, siding and concrete work and the estimated value of the home after repairs is approximately $60,000.

The second contract is for a home at 1919 South 40th Street. The contract lends $26,875 for repairs and $2,625 for contingency planning. The funds will be used to replace the HVAC system, make electric and plumbing repairs, reestablish a retaining wall and adjust the front entry of the home. The property value of the home after repairs is estimated at $55,000.
“This is exactly what we need to do in St. Joseph, we need to address the blighted properties,” Mayor Bill McMurray said. “Community appearance comes up at all the community surveys, so this is working one-by-one on community appearance in our city and making it better.”

In June, the city made some changes to the structure of the loan program. For people applying for CBG funds, 75 percent of the repairs funds are covered by the grant, and the remaining 25 percent is covered by a Deferred Payment Loan. To qualify for a Deferred Payment Loan, applicants must be at least 62 years old or permanently disabled to receive the zero percent interest rate.

Fore more information on Community Block Grants or to apply, contact the Community Development Department at 816-271-4646.

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