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05-14-1986 Council Agenda
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05-14-1986 Council Agenda
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Proposed allocation of funds over the two year loan origination <br />period: <br />FIInd$ <br />installment Loans <br />Approximately 46 loans with average loan <br />amount of $3000 <br />Deferred Loans <br />Approximately 30 loans with average loan <br />amount of $3000 <br />Administrative Expenses <br />TOTAL <br />Installment Loans <br />Approximately 60 loans with average loan <br />amount of $50O0 <br />TOTAL <br />$138,000 <br />$92,000 <br />$20,000 <br />$250,000 <br />15300,000 <br />$300,000 <br />The principal from ODDS installment note repayment and any <br />principal repayments from CD9P deferred loans would be returned <br />to Ramsey County for reallocation" Interest repayment would be <br />returned to the ERC to offset loan servicing fees. <br />A. Tier One <br />Low interest installment loans for energy <br />conservation improvements <br />Funding; $138,000 Cn8G Funds (60% of available funds excluding <br />administrative expenses) <br />$300,000 MMFA Home Improvement Loan Program <br />Description: <br />This tier targets households with adjusted gross incomes up to <br />$24x000 annually. CDBS funds will be originated on a first come, <br />first serve basis at 3% annual percentage rate. Once CDBG fonds <br />have been depleted, MHFA funds will be drawn to continue to <br />provide comparable services to the low income market. ODDS funds <br />will be utilized first because they provide a more attractive <br />financing incentive to the borrower~ <br />
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