Quality living or just a step above a trailer park?
FLINT, Michigan 09/09/2011— posted by Flint Bankruptcy Lawyer Terry Bankert 235-1970
IS “STILL TROUBLED” SMITH VILLAGE DUMPING MODULAR HOUSING INTO FLINT TO MEET A FEDERAL DEADLINE?
The once-troubled Smith Village housing project is at the center of another city conflict, all while a federal deadline and potential $1.3-million penalty is looming.[1]
There is a bigger question about a larger amount of money Flint has recieved.
Pictures of Smith Village.
http://www.flickr.com/photos/30366181@N05/sets/72157627625740356/
The city’s federal grants for neighborhood stabilization have climbed to a staggering total of more than $32 million. Now all eyes are on how Flint will manage them.[4]
Flint Divorce Lawyer Terry Bankert 235-1970 who has been active in his community as a leader and follower of local events post here information on the Flint “Smith Village Project”. Bankruptcy Attorney Terry Bankert can be contacted at 235-1970 or http://www.attorneybankert.com The issues raised here are not intended to help or detract from a Mayoral campaign. Responsible questions from and engaged citizenry are always appropriate. But you decide.
See Smith Village case.
http://www.flinttalk.com/viewtopic.php?t=9694
On 09/07/2011 I was informed by a reliable source that appears to be vetted by Ryan Eashoo on Facebook that 40 modular home are on the way to Smith Village to allow the city to comply technically with the Federal Grant. YThe City was threatened with having to repay Federal grant money for non compliance with the project guidelines. Does it comply with the spirt of the project to provide local jobs and quality living space? You decide.
Modular buildings and modular homes are sectional prefabricated buildings or houses that consist of multiple modules or sections which are manufactured in a remote facility and then delivered to their intended site of use. The modules are assembled into a single residential building using either a crane or trucks.[3]
Angela L. Alexander-Roth- hmmm??? I know they were going to lose their grant money if they didn't have 50 built by the end of the year. . . But, seriously? Bringing in modulars - and - from Ohio? [ From Terry Bankert facebook]
Modular buildings are considerably different from mobile homes. Off-frame modular dwellings differ from mobile homes largely in their absence of axles or a frame, meaning that they are typically transported to their site by means of flat-bed trucks; however, some modular dwellings are built on a steel frame (on-frame modular) that can be used for transportation to the site. Many modular homes have multiple levels. Homes are often set in place using a crane.[3]
Ryan Eashoo- Does the city allow modulars? [From Terry Bankert face book]
Barry Simon- The whole concept of "Smith Village" so epitomizes the historic idiocy of Flint's waste of federal dollars, the question of modular versus "stick built" is mostly irrelevant. In fact, its only relevancy relates to the credibility of the ci...ty's "leaders" who have touted "Smith Village" for, among other things, its creation of "local jobs" ... but, then again, since when is the credibility of Flint's leaders a relevant issue?[from Terry Bankert facebook]
Flint resident Chris Del Morone isn’t happy that a large portion of the city’s $25 million federal Neighborhood Stabilization Program phase two grant money is being spent on Smith Village.[2]
“Money is being taken from other tracts of the city,” Del Morone told the Flint City Council recently.[2]
The failed Smith Village project started 13 years ago with good intentions and uplifting promises: luxury homes and a revitalized neighborhood in the heart of the city of Flint.[2]
But it never happened, apart from a lonely row of six homes built just off North Saginaw Street.[2]
Now, the city is trying for a do-over. Same good intentions and same promises, but hoping for a different outcome.[2]
Ryan Eashoo- How sad that they are doing this. Another way to do something half ass. What about the economic impact? Did they bid this trailers out? Are they following all Federal guidelines?[From Terry Bankert Facebook , you are invited to join the discussion]
HOW WAS THE CONTRACT LET FOR THE CURRENT DEVELOPER?
After nearly a year of what seemed like forward progress, the city has switched developers — and the former developer and city are pointing fingers as to who’s to blame.[1]
“We can improve the core of the city,” City Administrator Gregory Eason said of the project. “There may be an opportunity for (city residents) to move into a better home that may not cost them more than what they’re living in right now.”[2]
The first phase of the Smith Village plan is already under way, led by project developer Metro Community Development, a Flint-based nonprofit.[2]
Officials hope to break ground in May, and have the first 43 houses built by December. The target end date is December 2012.[2]
Ryan Eashoo- The developer also did work in the north end of Flint on other rehabs I hear. Someone said he then bought those??? Any truth to this?[Terry Bankert facebook]
HAS THE CITY ALREADY SPENT THE $1.3 MILLION DOLLARS? WHAT IS HAPPENING WITH THE REST OF THE STIMILUS MONEY
The dispute comes as Flint is already two months behind schedule on its plan to meet a Dec. 31 federal deadline to get 25 houses built at the site, city Administrator Gregory Eason said.
If the city doesn’t meet its deadline, it risks having to pay back $1.3 million in federal grant funding, Eason said.[1]
HOW MUCH PROFIT WILL THE DELEVOPER RECIEVE? $8 MILLION?
Still, Eason said the $16-million project is moving forward and is scheduled to break ground within two weeks.[1]
HAVE WE BEEN ON THE HOOK FOR THE FEDERAL FUNDING FOR 15 YEARS? OR JUST RECENTLY?
“This will be the first time in 15 years this project is actually going to happen,” Eason said. “The city is actually going to make Smith Village a reality.”[1]
The “new” Smith Village is expected to be the only new subdivision built this year in all of Genesee County — not surprising given the recession and depressed housing market.[2]
Using federal grant money, at least 83 new three- and four-bedroom homes are planned for the mostly vacant neighborhood just north of downtown Flint and across Saginaw Street from University Park Estates.[2]
The question is: Will anyone buy them?[2]
WHICH COUNCIL PEOPLE ARE IN OPPOSITION TO WHATS HAPPENING IN SMITH VILLAGE?
But a few Flint City Council members are questioning the change in developers this late in the game.[1]
ASK FREEMAN IF A MODULAR HOUSING DUMP MEETS THE FEDERAL GUIDELINES?
“I question whether they’ll be able to make that commitment (of 25 houses),” Councilman Joshua Freeman said. “We don’t have 25 buildable lots right now.”[1]
“With this particular housing market, I think that’s something you always have to be concerned with,” said Doug Weiland, executive director of the Genesee County Land Bank. “But ... when you look at These particular houses, because they will be in the only real new subdivision, I think we’ll be drawing attention from people.”[2]
The city and Land Bank are partnering to spend more than $16 million in federal grant money to finish the development, hailed as a charming community complete with new driveways, sidewalks, light posts, trees and newly paved streets.[2]
At least half of the homes will be sold to low-income buyers and down-payment assistance will be available.[2]
Flint Mayor Dayne Walling said the subdivision will help meet demand for housing within walking distance of downtown Flint. A study by the Downtown Development Authority showed a need for more than 250 housing units in the greater downtown area, he said.[2]
“The regional housing market is shifting and more students and professionals and seniors are looking for a downtown urban living environment,” he said. “The occupancy rates in all of downtown
illustrate this demand is real.”[2]
ASK COUNCIL PERSON LAWLER IF MODULAR HOMES MEETS THE FEDERAL CRITERIA?
Councilman Bernard Lawler, on the other hand, said he has confidence the project will move forward. Lawler represents the 5th Ward, where the development is located.[1]
WHY DOES THIS PROJECT NEED TO BE COMPLETED?
Peter Banwell Grant Deadline! [From Terry Bankert bacebook]
...city officials are pressing forward with the project, in large part because Smith Village is more than just another new development. It’s another chance for the city to complete the government project, started in 1998 with a grant from the U.S.
Department of Housing and Urban Development.[2]
The city completed the nearby University Park with the grant funds, but didn’t sell the required number of homes to low-income families — which the city said it would do in the never developed Smith Village.[2]
Over the years, city officials talked of restarting Smith Village, but nothing ever happened.[2]
But now there’s an extra incentive. Unless the project is completed, the federal government is threatening to force the city to repay $1.3 million, some of the money originally given to the city for Smith Village. That’s money officials say the cash-strapped city can’t afford to pay.[2]
WHY WERE ONLY 6 HOMES COMPLETED?
The Smith Village project started in 1998 with a grant from the U.S. Department of Housing and Urban Development, but only six homes were completed in the area off Saginaw Street north of 5th Avenue.[1]
Smith Village buyers, on the other hand, would not get the advantage of the Renaissance Zone, since it’s expiring next year. But the homes will be sold for a subsidized price, expected to be about $50,000 to $70,000, depending on the size — although the cost of building the new
subdivision equates to $195,000 per unit, according to the Metro
Community Development website.[2]
“These homes are going to sell at very attractive prices,” Weiland said, adding that more than 1,000 homes were sold in Flint last year. “I recognize a lot of people are skeptical of these kinds of plans, but this was always planned to be a companion to University Park.[2]
WHEN DO THE 83 HAVE TO BE COMPLETED, HOW MUCH STIMULUS MONEY IS IN PLAY AND WHO IS WATCHING? THE FEDS IN CITY HALL?
Under pressure from the feds to get it done, the city restarted the project last year with federal stimulus funds. The ultimate goal is to build 83 homes, with at least half intended for low-income buyers.[1]
WHO IS METRO COMMUNITY DEVELOPMENT?
Until last week, the nonprofit Metro Community Development was the project developer, but the city council approved hiring Smith Village Construction Services as the new developer last week on the administration’s recommendation.[1]
WHAT IS THE HISTORY OF THIS ENTITY
Both Eason and the former developer said the recent change won’t stymie the project, but they have very different stories on why the switch was made.[1]
WAS METRO PUNISHED FOR WALKING AWAY?
Eason said Metro Community Development walked away from the project.
But Ravi Yalamanchi, the nonprofit’s chief executive officer, said it was the city that dropped Metro Community Development.[1]
Neither side said they have anything in writing to prove their respective cases.[1]
WHO ARE THE MEMBERS OF THE BOARD OF DIRECTORS OF METRO COMMUNITY DEVELOPMENT?
The city brought Metro on as developer in August 2010, approved by Metro’s board of directors and the Flint City Council, but a developer agreement was never executed. The city also recently asked Metro to speak at a May 24 community meeting about Smith Village.[1]
LOOK AT THEIR WEBSITE?
Over the past 11 months, the nonprofit developed design specifications for the homes with an engineer and architect, created a website and branded the project as the “New Smith Village” as part of its marketing efforts, Yalamanchi said.[1]
WHAT WORK COST $110,000. WHAT WERE THE ADMINISTRATIVE COSTS TO SPEND THAT $100,000.0
The nonprofit spent more than $110,000 and made “substantial progress in a period of 10 months, which the city has failed to do over 14 years,” he said.[1]
“We spent the money, we got the work done,” he said. “It was completely on good faith and mutual trust.”[1]
EASON SAYS METRO QUIT?
But Eason said Metro decided not to continue with the project, which came as a surprise in the face of the looming deadline. He said Yalamanchi was “pretty adamant” about it.[1]
FACEBOOK FRIENDS COMMENT
Barry Simon- was told "Smith Village" was going to create "local jobs" building those houses .... now he's shocked! [from terry bankert facebook]
Ryan Eashoo- Greg Eason is friends with the developer. [from terry bankert facebook]
Eric Patrick Thomas- The original plan was all the new homes would be wheelchair accessible. I wonder if that's still the case. [from terry bankert facebook]
Ryan Eashoo- The developer also did work in the north end of Flint on other rehabs I hear. Someone said he then bought those??? Any truth to this? [from terry bankert facebok]
Ryan Eashoo- NSP was suppose to create an economic impact. Will it now? Also, will this homes be handicap accessible?[from terry bankert facebook]
Jeffrey Kelley- Definitely explains how they are going to get the number of houses in the time frame. Last time they tried this they were bringing in prisoner built homes[ from tery bankert facebok]
John Lewis Mealer- Probably not... The buyers have no jobs, the Mich governor is cutting them off from assistance and then the federal gov't will buy the homes from the banks with our children's tax money, then give them back to the banks so the banks can bulldoze them and write them off (again) as a tax loss while we foot the bill for the dozers and union labor to run the crews. [from terry bankert facebook]
The same plan goes with either the Democrats or Republicans as it's always more of the same.
Jill Marie- Definite deviation from the original plans. [From Terry Bankert facebook]
EASON WAS DISAPPOINTED!
“Why would we pull out when we need him the most?” Eason said. “I was deeply disappointed.”
The one piece that the city and Metro agree on is that the project needs to move forward.[1]
Despite the disagreement, Yalamanchi said he wants the project to be successful. He said the nonprofit has agreed to hand over all the project materials after the city reimburses it for the expenses.[1]
“In no way are we going to obstruct or hinder the development,” he said. “If that corridor is revitalized, it will be a jump start of revitalization for the northern part of the city, which really needs a lot of revitalization.”[1]
WHO ARE THESE PEOPLE
The new developer, Smith Village Construction Services, LLC, was just formed on June 8, according to records on the state’s website.[1]
Eason said one of the company’s executives is Charles Young, who runs Operation Unification, a nonprofit that received a $1.3 million contract to rehabilitate Flint homes through the stimulus-funded Neighborhood Stabilization program.[1]
Attempts to reach Young were unsuccessful.[1]
Metro Community Development was already going to hire Young’s company as the general contractor for the project, said Eason and Yalamanchi.[1]
Yalamanchi declined to comment on the city’s choice for its new developer.[1]
Eason said it just made sense to hire the company, since it was familiar with federally funded projects. The city is also continuing on with the architect, FUNchitecture, and project manager Alan Ogle, he said.[1]
Last week, an attorney spoke to the city council about the switch.[1]
“My understanding is the new developer is ready to hit the ground running,” attorney Pat Parker said.[1]
Flint City Councilman Scott Kincaid questioned whether the switch would delay the project, which has hung over the city’s head for more than a decade.
“This is a time sensitive project,” Kincaid said.[1]
Eason said there would be “no delay whatsoever.[1]
In addition to the commitment to build 25 homes by the end of the year, the city has a goal of selling those 25 homes by year’s end, too, he said.[1]
Some home buyers and some[which?] lending institutions resist consideration of modular homes as equivalent in value to site-built homes. While the homes themselves may be of equivalent quality, entrenched zoning regulations and psychological marketplace factors may create hurdles for buyers or builders of modular homes and should be considered as part of the decision-making process when exploring this type of home as a living and/or investment option. In the UK and Australia, modular homes have become quite accepted in regional areas; however, they are not commonly built in major cities. Some[which?] modular building manufacturers have begun to refer to modular buildings as “off-site construction” to combat the negative image of modular, which is due to portables or trailer stereotypes. Recent innovations allow modular buildings to be indistinguishable from site-built structures.[3]
“I’m excited about this,” he said. “It’s a great opportunity in a long time for the city to have high quality affordable housing right in the core of the city.”[1]
But some say the problems that hindered Smith Village the first time around still exist — and might be even worse on the heels of a nationwide recession.[2]
There’s a surplus of 27,000 homes in the county and “the last thing government should be doing is adding to the housing stock,” said Barry Simon, consultant with the Builders Association of Metro Flint.[2]
Angela L. Alexander-Roth @Peter the city had a multi-million dollar grant to build several new homes in Smith Village.
They were supposed to be actually brick and mortar stable houses that matched the appearance of the houses Salem built across the street in Metawanene Hills.
Those houses look very nice and really upped the neighborhood (that's why we bought into the area).
The grant for Smith Village was issued quite a while ago and the city has done nothing with the money (at least not the way it was allocated).
The city recieved a warning from the government early this summer that if the houses weren't built by the end of the year the money would need to be repaid.
Now, suddenly, they think importing modular homes will do?
The grant had many components - creating sustainability in the area with new homes that are safe and well built.
The opportunity for home ownership with incentives to help low-income residents as well.
And, very importantly creating more jobs for people in Flint and Genesee County to build the homes.
There has been a big sign on the lot with a picture of Dayne Walling for months that states it is the "future site of Smith Village".
The only thing I have seen go up there is the sign, and an Arch the says "Smith Village".
The arch is pretty, the picture of Dayne is a bit much (in my opinion).
But, what we've waited to see all year are nice, well-built stable homes that mirror the appearance of the homes across the street that were built in 2007. . . [From Terry Bankert facebook you are invited to join the discussion.]
Posted by Terry Bankert 235-1970
http://www.atorneybankert.com/
------
[1]
http://www.mlive.com/news/flint/index.ssf/2011/07/city_of_flint_hires_new_smith.html
[2]
http://www.mlive.com/news/flint/index.ssf/2011/03/years_later_city_of_flint_stil.html
[3]
http://en.wikipedia.org/wiki/Modular_building
[4]
http://www.mlive.com/news/flint/index.ssf/2010/09/city_of_flint_to_get_another_3.html
[5]
Terry Bankert Facebook page you are invited to friend and join the discussion.
Posts
