Albert Lea HRA receives funding for foreclosure program

By Sarah Stultz | Albert Lea Tribune

Published Tuesday, August 11, 2009

The Albert Lea Housing and Redevelopment Authority has received funding approval for a $610,000 foreclosure recovery program through the Greater Minnesota Housing Fund.

The funding will be used on a revolving basis to acquire and rehab 30 foreclosed homes in Freeborn County. Once the homes are fixed up, they will be sold to first-time home buyers, and the program will provide some down payment and closing cost assistance, said Jon Ford, executive director of the Albert Lea HRA.

Ford, who presented the basics of the program to the Albert Lea City Council on Monday, said the plan of turning 30 homes over the next three years is a lofty goal, but he thinks the HRA will be able to achieve it.

“We believe it will serve a benefit to the community in terms of helping stabilize the housing market,” he said.

He also hopes it will help bring up the condition of the housing stock, he said.

“This is exactly the kind of tools that I believe a community needs to provide safe and affordable housing in our core neighborhoods,” Third Ward Councilor Ellen Kehr said.

Councilor Larry Anderson echoed Kehr’s notion and complimented Ford and his staff for getting grants to fix up the housing stock.

Ford said he sees the foreclosure program as one piece of the puzzle to help Albert Lea and the surrounding areas.

It goes hand-in-hand with the Small Cities Development program funds, which are being used to rehabilitate owner-occupied houses in core neighborhoods in the city.

“It’s going to be a community effort before it’s all done,” he said.

Ford initially came to the council requesting to waive building permits associated with the program, but withdrew that request because of the city’s budget concerns.

In other action, the council:

• Reordered the sidewalk improvements along State Highway 13 from Elmira Street to Fountain Street, and on the west side of Ninth Avenue from Fountain Street to Clark Street.

The project had to be re-ordered because of the time that had lapsed since it was originally ordered.

City Manager Victoria Simonsen said the project was planned for the 2008 budget and was carried over to the 2009 capital budget.

Costs are estimated at about $83,000, with 7 percent being assessable to property owners and 93 percent being city costs.

Simonsen said the city has made a request to the Minnesota Department of Transportation to help fund some of this project.

• Voted to enter into a one-year lease agreement with Albert Lea Community Theatre for the leasing of the auditorium and facilities of the Marion Ross Performing Arts Center.

• Approved a request for a burn permit for the Wedgewood Cove Golf Club.

• Approved a request by Grace Christian Church to use the Freeborn National Bank Building on Aug. 28 for an alcohol- and drug-free youth event for 13 to 20 year olds.

The request by the Rev. George Marin stated the youth would be supervised by responsible adults and that the church would provide their own sound, lights and a generator.

He asked to use the building from noon to 11 p.m.

Simonsen said all of the department heads agreed they could support the request. The entries to the upper levels of the building would be taped off and barricaded to keep anyone from going into the upper floors.

Many of the councilors expressed their excitement for the event, as it will achieve what they have been trying to accomplish in the downtown area.

Councilor Larry Anderson said he hopes the event will spark some desire in the youth who are in attendance to see some of the beauty of the historic district and think of things that will improve the downtown.

• Authorized three grant agreements with the Minnesota Department of Transportation for improvements to the Albert Lea Airport.

• Voted to approve the de-certification of TIF District 5-10, for Interstate Packaging.

The district was formed in 1999.

• Authorized an extension of a lease agreement with Riverland Community College for the use of Snyder Field through Dec. 31.

The council also entered into a new, five-year lease agreement with the Board of Trustees of the Minnesota State Colleges and Universities, on behalf of Riverland Community College.

• Heard an update from Scott Truesdell, regarding the Ryan “Pie” Truesdell Softball Tournament.

Truesdell said new to the memorial events this year will be a fishing tournament at Katherine Island and New Denmark Park on Sept. 12 and 13. He also challenged the council and other city staff to participate in a city versus county softball game on the afternoon of Sept. 13.

The city won the match last year.

• Approved a request by the Flying Lea Disc Golf Club to have a disc golf tournament at Bancroft Bay Park on Aug. 29 and 30.

• Authorized the sale of four police vehicles, only one of which is driveable.

• Approved a request by the Albert Lea-Freeborn County Chamber of Commerce and Riverland Community College to use the Edgewater Park cottage from 5 to 8 p.m. on Aug. 18 for it’s Leadership program kickoff.

• Approved a request to allow the Merrill’s popcorn stand to remain in the North Broadway Avenue parking lot for the Albert Lea Farmers Market through October.

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