Requesting approval to waive payment of taxes liens due to County of Hidalgo on foreclosed properties for qualification under the Neighborhood Stabilization Program (NSP).

HUD regulation requires that twenty five percent (25%), $716,765, of the total NSP allocation be utilized to assist qualified families with a total area median income of fifty percent (50%) and below (ex. family of 4 = less than $22,800). The UCP has entered into a contract with Proyecto Azteca, a local Community Based Development Organization (CBDO), in order to serve families within this income bracket. One of the activities within the performance statement of this contract allows for the purchase of foreclosed vacant properties for the purpose of redevelopment and permanent housing. Due to the financial characteristics of the targeted population, Proyecto Azteca has found that purchasing tax-foreclosed properties may be the most efficient and advantageous to meeting the program requirements.

Another program requirement states that NSP grantees cannot reimburse themselves, however other entities such as Cities and Independent School Districts etc., can be recompensed. As such, the UCP is requesting a waiver of back taxes for NSP foreclosed properties as listed above.