CLEARFIELD – The Clearfield County Commissioners took action Tuesday to help communities stabilize neighborhoods and the housing market that have been affected by foreclosure and abandonment.
The county is seeking $1.5 million to help in that effort.
Lisa Kovalick, community development specialist, presented the commissioners with information about the Neighborhood Stabilization Program.
“Clearfield County has a very high rate of subprime lending,” said Kovalick. She also noted that Clearfield County has a high rate of tax foreclosures compared to bank foreclosures.
The NSP program will used to address the effects of the housing crisis that has been occurring over the last five years. It will be used to help stabilize neighborhoods by addressing foreclosure and abandoned properties in the Boroughs of Chester Hill, Clearfield and Osceola Mills, the City of DuBois, and the Townships of Decatur, Girard, Goshen, Gulich, Karthaus, Lawrence and Sandy.
The plan is to purchase vacant bank and tax foreclosed properties, demolish or rehabilitate or reconstruct the housing units and to mitigate blighted/slum areas, to stabilize neighborhoods by implementing community development and home ownership initiative. The funds must be used for activities that benefit low to moderate and middle income households, this includes 120 percent of the adjusted median income or below.
The Clearfield County Planning and Community Development Office is initially looking to assist about 52 housing and community development activities. This will include the rehabilitation of about 18 housing activities, the demolition of 28 housing units and the reconstruction of six new homes.
Kovalick noted that other initiatives include housing counseling for homebuyers, a prerequisite before a housing unit in the program can be purchased.
She also pointed out that her office has five years to use the funds from resale of the homes to rehabilitate additional homes.
