BY COUNCILOR REINERT:
RESOLVED, that the proper city officials are hereby authorized to enter into an amendment, substantially in the form of that on file in the office of the city clerk as Public Document No. __________, to the CDBG City Homes III Project Agreement No. 19688 with Northern Communities Land Trust (NCLT) extending the date for project completion to December 31, 2006, and extending corresponding reporting dates, at no change in project compensation under the terms of the agreement.
STATEMENT OF PURPOSE: The purpose of this resolution is to approve a contract amendment to extend the date for project completion to December 31, 2006, and to extend corresponding reporting dates. NCLT committed to completing four new affordable housing units, two in Duluth Heights (which are completed) and two in Harbor Highlands. The start date for the two units in Harbor Highlands (an HRA HOPE VI project), is dependent on when The Communities Group and the HRA are ready to begin the home ownership phase of the project. The Communities Group and the HRA have had significant delays with this project, putting the construction of the two NCLT CDBG units on hold for nearly two years. At this point, the engineering plan for the utility and road extensions are not completed. It is anticipated that this engineering work will be completed in the first half of 2006 and that the units can be built during the 2006 construction season.