(a) There is hereby created Fairlawn City Code Section 291.02, known as the Residential Housing Rehabilitation Financial Assistance Program.
(b) Rehabilitation assistance may be provided to low-income persons living in single-family residences in the City of Fairlawn through the program known as the Residential Housing Rehabilitation Financial Assistance Program administered as the Residential Housing Assistance Board.
(c) The Residential Housing Assistance Board shall review and approve or disapprove applications for financial assistance.
(d) The decision of the Residential Housing Assistance Board shall be final, and the resident applicant shall have the right to appeal said decision by the method provided by the Ohio Revised Code for the appeal of an administrative decision.
(e) The Residential Housing Assistance Board may establish deadlines for submitting an application for funds appropriated for this purpose by the Council of the City of Fairlawn, and upon the approval of the Residential Housing Assistance Board, the Finance Director is authorized and directed to make payment for said financial assistance from the funds so appropriated.
(f) (1) Applicant shall be an individual owner and/or joint owners, occupying a single-family, two-family or three-family residence located in a residentially zoned district in the City of Fairlawn for a minimum of three years prior to the application for assistance.
A. If the residence is owned jointly, one of the owners must be an occupant and must meet the residency and ownership requirements stated herein.
(2) Application forms shall be developed and implemented by the Residential Housing Assistance Board and may be modified from time to time as approved by the Board.
A. All owners of the property must be listed on the application and must sign the application, thereby verifying the accuracy of the information contained therein and further consenting to be bound by all Federal, State, and local laws, as well as all Rules and Regulations, promulgated by the Residential Housing Assistance Board.
(3) The Residential Housing Assistance Board shall satisfy itself that there is sufficient unencumbered equity in the subject real property to cover the anticipated loan requested under this program.
(4) Low-interest loans or deferred no-interest loans, a minimum of which shall be$1,000.00 and a maximum of which shall not exceed$10,000.00, shall be available in accordance with subsections (g) and (h) herein for repair or replacement of the following items:
A. Roofs.
B. Exterior painting.
C. Gutters.
D. Exterior siding.
E. Windows.
F. Sidewalk.
G. Driveway.
H. Garage door.
I. Structural integrity.
(5) Priority shall be given to applicants who have received a notice to comply from the Zoning, Housing, and Residential Building Commissioner.
(6) All permit and inspection fees must be paid by the applicant.
(g) Criteria for the 0% Deferred Loan shall be:
(1) The owner-occupant must be 65 years of age or older or be totally and permanently disabled. The owner-occupant must have owned and occupied the residence for a minimum of three years prior to the application, and the residence must be located in a City of Fairlawn residentially zoned district.
(2) All utilities, property insurance, property taxes, and City of Fairlawn income tax must be current and remain current throughout the loan period.
(3) The total annual household income shall not exceed the eligibility limitations set forth herein.
(4) A loan not to exceed$10,000.00 shall be secured by a promissory note and a mortgage deed on the real estate, both of which shall be executed by all the owners and recorded with the Summit County Fiscal Office (SCFO). No monthly payment or interest shall be charged on this loan.
(5) The full amount of the loan shall become due and payable upon the sale or any other transfer of an interest in whole or in part in the real estate, death of the owner-occupant, or the real estate is no longer used as the owner-occupant's principal residence.
(h) Criteria for the Low-Interest Loan shall be:
(1) The owner-occupant must have owned and occupied the residence for a minimum of three years prior to the application, and the residence must be located in a City of Fairlawn residentially zoned district.
(2) All utilities, property insurance, property taxes, and Fairlawn income tax must be current and remain current throughout the loan period.
(3) The total annual household income shall not exceed the eligibility limitations set forth herein.
(4) A loan not to exceed$10,000.00 shall be secured by a promissory note and a mortgage deed on the real estate, both of which shall be executed by all the owners and recorded with the Summit County Fiscal Office (SCFO). The maximum time period of this loan shall be 15 years with a fixed interest rate not to exceed 5%.
(5) The remaining balance of the loan, including interest, shall become due and payable upon the sale or any other transfer of an interest in whole or in part in said real estate, death of the owner-occupant, or the real estate is no longer used as the owner-occupant's principal residence.
(i) (1) The annual income eligibility limitations for the City of Fairlawn's loan program shall be based upon the adjusted gross income of the owner occupant as reported on the owner occupant's Federal income tax return filed in the year the application for assistance is received by the City.
(2) The annual income eligibility shall be 200% of the Federal poverty guidelines for the 48 contiguous states and the District of Columbia for the year of application, as published in the Federal Registry by the Secretary of the Department of Health and Human Services.
(3) Applicant shall provide the Residential Housing Assistance Board the following:
A. Copies of Federal, State, and local income tax returns for the immediate prior three calendar years from the date of the application;
B. Copies of all bank, credit union, brokerage statements, and any other financial institutional statements in which applicant has an interest for the six month period immediately preceding the date of the application;
C. Written description of the project for which the application is being made and copies of all estimates and/or proposals for the same; and
D. Any other documentation and information deemed appropriate by the Residential Housing Assistance Board.
(j) (1) Each loan requires:
A. Inspection by the City of Fairlawn Zoning, Housing and Residential Building Commissioner at the time an application is submitted and periodically throughout the construction period.
B. Owner shall obtain more than one bid for each project, and bids from an immediate family member are not acceptable.
C. The City may provide technical assistance in selecting a contractor.
D. Distribution of funds jointly to the owner and contractor providing the work.
(k) (1) Limitations of the Loan.
A. The Loans approved by the Residential Housing Assistance Board shall be limited to the lowest bid submitted by the applicant but shall not be greater than$10,000.00.
B. All owners of the property shall indemnify the City of Fairlawn, its public officials, and employees from any loss, cost, damage, expense, or liability arising out of or in connection with their duties with the City or the contractor's respective performance in this matter.
(Ord. 2009-008A. Passed 2-23-09; Ord. 2016-091A. Passed 1-23-17; Ord. Passed 2022-042A. Passed 11-21-22.)