PUBLIC NOTICE

The City of Salisbury Department of Community Development is proposing a budgetary amendment to one of its existing Community Development Block Grant (CDBG) projects. The city will be accepting written comments on this proposed amendment until 4:30 p.m. on Thursday, January 10, 2008.

In CDBG program year 2005, Salisbury Neighborhood Housing Service (SNHS) was awarded $50,000 for their Principal Write-Down Assistance Program. This program provides assistance in the form of a second mortgage that is tied to a lien on the property, thereby reducing the buyer’s mortgage payments to an affordable level, and enabling them to become first-time homeowners. The amount of the lien is reduced by a set amount each year, and if the homeowner sells or refinances the property at any time before the lien is released, the amount remaining on the lien is recaptured.

One of the SNHS Principal Write-Down Assistance units generated $19,000 in CDBG Program Income when a client elected to refinance their property after one year of occupancy, and was required to pay back the amount remaining on the lien. The Community Development Department is proposing to award these program income funds back to SNHS so that they may be used to provide a new client with a Principal Write-Down Assistance grant.

Written comments on this proposed amendment may be mailed to the City of Salisbury, Department of Community Development, 125 North Division Street, Salisbury, MD 21801. If you have any questions you may contact the Department of Community Development at (410) 334-3031.

Deborah J. Stam

Director of Community Development