Section 107-172; Ord. 18944; Authorizing City Manager to foreclose on loans in default in accordance with deeds of trust established under CDBG and HOME funded programs; authorizing the City Manager to purchase property sold at foreclosure and tax sales


Ordinance No. 18944                            Council Bill No. B 88-06

     AN ORDINANCE

authorizing the City Manager to foreclose on loans in default in accordance with deeds of trust established under CDBG and HOME funded housing and community development programs; authorizing the City Manager to purchase property sold at foreclosure and tax sales; and fixing the time when this ordinance shall become effective.

    WHEREAS, the City of Columbia operates housing and community development programs with funds granted by the Department of Housing and Urban Development; and

    WHEREAS, property owners participating in these programs execute deeds of trust to secure loans received under these programs; and

    WHEREAS, the City currently has loans that are in default under the provisions of the promissory notes and deeds of trust and is likely to have loans in default in the future; and

    WHEREAS, some of the properties have been vacant for more than one year; and

    WHEREAS, the City’ s Loan and Grant Committee, which oversees the City’ s housing and community development programs, has determined that all reasonable efforts to collect loans have been exhausted and that it is in the best interest of the City to foreclose under the terms of the deed of trust.

    NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBIA, MISSOURI, AS FOLLOWS:

    SECTION 1.    Upon a recommendation of the Loan and Grant Committee, the City Manager is authorized to foreclose on CDBG and HOME funded properties that are vacant and in default of the provisions of the loan.

    SECTION 2.    Subject to the availability of appropriated funds, the City Manager is authorized to purchase property sold at foreclosure and tax sales.

    SECTION 3.    This ordinance shall be in full force and effect from and after its passage.

    PASSED this 20th day of March, 2006.