Memorandum

City of Lawrence

Planning and Development Services Department

TO:	David L. Corliss, City Manager
CC:	Scott McCullough, Director, Planning and Development Services
FROM:	Margene K. Swarts, Assistant Director, Development Services
DATE:	December 30, 2010
RE:	Neighborhood Stabilization Program (NSP) Grant Agreement Addendum

In April of 2009, the City received $562,134 from the State of Kansas under the Neighborhood Stabilization Program (NSP1) grant.  The original allocation was utilized for the redevelopment of vacant property in the 1100 block of Rhode Island for the “Rhode Island Roost Rentals”; five units of rental housing for low and moderate income tenants.  This project was completed in August of 2010 and the units were subsequently rented to income eligible tenants.

In November of 2010, the State of Kansas notified grantees that there was an additional allotment of funding available under the NSP1 grant in the form of program income that the State had received from the grant to date.  With the completion of the Rhode Island Roost Rentals and the original allocation spent, staff determined that there were sufficient potential projects of a nature similar to Rhode Island Roost Rentals to justify an application for additional funding.  On December 20, 2010 staff was notified that the application was approved in the amount of $475,000 and that work may begin immediately upon the receipt of the signed addendum to the original NSP1 grant agreement No.09-NSP-005.  The Mayor was authorized to execute the original NSP1 grant agreement on May 5, 2009.  City staff will again be partnering with Tenants to Homeowners, Inc. to identify specific locations for these projects.  It is anticipated the projects will begin within the next few months and be completed by October, 2011. 

Action Requested:  Approve the addendum to the original NSP1 grant agreement No.09-NSP-005 and authorize the Mayor to sign the grant agreement.