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HomeMy WebLinkAboutSeptic Upgrade Assistance Program MEMORANDUM DATE: June 23, 2010 TO: Board of County Commissioners FROM Tom Anderson, Director SUBJECT: Supplemental Septic Upgrade Financial Assistance for Property Owners who may have been Disqualified from the NeighborImpact Loan Program ____________________________________________________________________________ Background: NeighborImpact (NI) provides low interest cost-deferred loans for south county property owners in the retrofitting or replacement of failed septic systems with nitrogen-reducing systems. It has come to the attention of staff that at least one property owner may not have qualified for NI assistance as the septic repair work on their property was completed prior to loan approval, which is a strict NI requirement. On May 26, 2010, staff presented this situation to the Board for discussion and direction on whether the County should provide supplemental assistance in these cases. However, prior to providing that direction, the Board indicated they would like to review historical statistics on the number of nitrogen reducing system retrofits/replacements that have been done in the south county, in order to gain a better sense of the potential financial impact of providing supplemental assistance. Discussion Points: Since the adoption of county ordinance 2008-019, 29 property owners have installed nitrogen reducing septic systems following the failure of their existing system. The timing of those installations is broken down as follows: June, 2008 to December, 2008: 12 January, 2009 to June, 2009: 6 July, 2009 to December, 2009: 7 January, 2010 to June, 2010: 4 None of the property owners associated with these received assistance from NeighborImpact, although two applied and were denied for reasons other than seeking loan approval after the work was done. Of the remaining 27, other than the situation noted above, we do not know with any certainty whether any were preliminarily disqualified or did not apply because they knew they would not qualify for this reason. It should be noted that this circumstance will be difficult to verify. Policy Question: Should supplemental financial assistance be made available to assist property owners who have already installed nitrogen reducing systems through private financing—specifically those who were disqualified from NI assistance because they were not aware that the NI program required loan approval prior to commencement of work? If so, should the assistance be available to all 27, to only those within a specified time range, or to only the one case noted above where the circumstance in question has already been verified? Requested Board Action: Provide direction on the policy question noted above.