MEMORANDUM

City of Lawrence

Planning and Development Services Department

TO:              David L. Corliss, City Manager

THRU:                   Scott McCullough, Director, Planning and Development Services

FROM:         Margene K. Swarts, Assistant Director, Development Services

DATE:            August 13, 2008

The following individual participated in a Community Development Division loan program.  The City has been repaid and has agreed to release the Mortgage.

1) Shelley Sandburg, 810 Locust, participated in the First Time Homebuyer Program in 2005.

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

In 1994 and 1995, Russell and Carol Beason, 507 Louisiana, participated in the Emergency and Comprehensive Rehabilitation Loan programs.  In order to participate in the programs, they were required to sign a Mortgage and Mortgage Note to protect the City’s interest in the property.  The Beason’s wish to refinance the first mortgage.  In order to do this, the City must subordinate its mortgages to the new loan with University National 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.