Effingham council considers housing rehabilitation reimbursement program

Nov. 10—The Effingham City Council is considering a housing rehabilitation program that would partially reimburse property owners for exterior housing improvements or demolitions within the city's Industrial and Central Tax Increment Finance (TIF) Districts.

Effingham Economic Development Director Todd Hull presented the proposed program to council members during a council meeting Tuesday.

"This would be a new program that would continue our efforts to assist housing in the city," Hull said. "It would be very similar to our existing commercial rehabilitation program."

The program would use $100,000 in funds, which will be split between the city's Central and Industrial TIF Districts, giving each a $50,000 reimbursement budget.

"It is first come, first served," Hull said. "That's how we're set up. The program would have to be with the owner of the property."

Reimbursement costs would be capped at $25,000, or 25% of the entire project cost.

Hull explained that the first of these two caps on reimbursement costs met by a property owner will be the reimbursement limit for their project.

"We were looking at a cap for the property of $25,000," Hull said. "And we're also looking at a minimum project cost of $10,000."

Additionally, Hull said property owners must replace any demolished homes with some form of housing in order to qualify for the reimbursement program.

Hull listed several examples of projects that would be reimbursable under the proposed program, including but not limited to the replacement of windows, roofs, gutters, fences and porches as well as improvements to driveways and walkways.

Effingham Mayor Mike Schutzbach said he supports the proposed program but asked Hull what would happen if funds for the program run out.

"I think this is a wonderful program," Schutzbach said. "I know that we've talked about this on many occasions. I think there's a lot of benefit to the community for this in improving different neighborhoods."

Hull said the city would have to approve more funds for the program to continue if it runs out of funds before the end of the fiscal year.

"As far as the program term, it would basically follow the fiscal year, so it would run until the end of April next year," Hull said. "Otherwise, like you say, just wait till the next fiscal year."

He also told council members that the program is essentially "ready to go" in terms of implementation.

The council is expected to vote on the proposal during its next regular meeting.

Meanwhile, Hull announced that the state of Illinois has approved a request to expand the Effingham/Effingham County Enterprise Zone by annexing four properties into the zone.

The annexation includes a 43.8-acre property near East Evergreen Avenue, a 90.8-acre property along Route 40, a 268.8-acre property near Illinois Route 33 and a 1.14-acre property located at 420 South Willow Street.

In other matters, the council authorized the purchase of an approximately four acre property located directly across the street from the Effingham Performance Center from K-A, LLC in the amount of $200,000.

Also during the meeting, the council unanimously approved a quote from Evoqua Water Technologies in the amount of $64,258.53 for emergency repairs at the city's waste water treatment plant. The cost of the repairs will be paid for with the city's Sewer Fund.

In other matters, the council:

—Approved a temporary use permit and the purchase of an easement for utility purposes from ICLand Holdings, LLC along the north property line of 1002 West Fayette Ave. in the amount of $10,753.44.

—Approved a temporary use permit and the purchase of an easement for utility purposes from Fernando and Joanna Elizabeth Santillan at 700 W. Fayette Ave. in the amount of $1,841.46.

—Approved the payment of an invoice to the Illinois Municipal League Risk Management Association for city employee insurance coverage, not including health care, in the amount of $391,637 for the 2024 calendar year.

—Approved a quote from ACP International in the amount of $38,050, which will be paid for with the city's Central TIF Fund, for the city's 2023 Downtown Decorative Street Sign Project.

—Authorized the execution of a professional services agreement with Milano & Grunloh Engineers, LLC for engineering design services in the amount of $113,200, which will be paid for with the city's sewer fund, for the city's Community Development Block Grant Program (CDGB) Sewer and Manhole Lining Project.

—Accepted a proposal from Effingham Asphalt Co., Inc. for the second phase of the city's Ford Avenue Sewer Extension project in the amount of $124,396 which will be paid for with the city's North Interstate Business District Fund.

—Approved a change order from Effingham Asphalt Co., Inc., reducing the cost of the contract for the second phase of the city's 2023 Resurfacing Project by $16,478.95.

—Approved a bid tabulation for the second phase of the city's Ford Avenue Sanitary Sewer Extension Project with the lowest bid coming from Effingham Asphalt Co., Inc. in the amount of $124,396.

—Approved a certificate of project completion and release of bonding for Effingham Asphalt Co., Inc. for the second phase of the city's 2023 Resurfacing Project in the amount of $362,927.05.

—Approved a certificate of project completion and release of bonding for Larry Heuerman Trucking for the city's 2023 Street Maintenance Oil and Chip Program in the amount of $175,622.76.

—Approved a certificate of project completion and release of bonding for Complete Asphalt Company for the city's 2023 Crack & Seal Program in the amount of $49,997.46.

Nick Taylor can be reached at nick.taylor@effinghamdailynews.com or by phone at 618-510-9226 or 217-347-7151 ext. 300132.