City of Lawrence

Neighborhood Resources Department

MEMORANDUM

TO:              David L. Corliss, City Manager

THRU:                   Victor Q. Torres, Director, Neighborhood Resources

FROM:         Margene K. Swarts, Community Development Manager

DATE:           June 13, 2007

The following individual participated in a Community Development Division loan program.  Payment of the loan has been received so the Mortgage needs to be released. 

1) Jeremy Benzel, 1522 Lindenwood Lane, participated in the HOOT Loan Program in 2003. 

The Community Development Division received a request for a Subordination Agreement for Mortgages the City holds for a loan recipient.  The information regarding the request follows:

In May 2001 and August 2004, Elizabeth Patrick, 2734 Bonanza, participated in the HOOT Loan program and the Emergency Loan program respectively.  In order to participate in the programs, she was required to sign a Mortgage and Mortgage Note to protect the City’s interest in the property.  Ms. Patrick wishes to obtain an equity line of credit to complete house repairs.  In order to do this, the City must subordinate its mortgages to the new loan with Capitol Federal Savings Bank.  The City’s interest will be protected and staff recommends approval.

The City Clerk will have these documents ready for the Mayor's signature.  If you have further questions, please let me know.