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1 <br /> ORANGE COUNTY <br /> BOARD OF COMMISSIONERS <br /> Action Agenda <br /> Item No_V= <br /> Action Agenda Item Abstract <br /> Meeting Date: August 5, 1996 <br /> SUBJECT: CDBG/HOME Program Contract Awards <br /> DEPARTMENT: Housing/Community Dev. Public Hearing YES NO_x_ <br /> Budget Amendment <br /> Needed YES NO�x <br /> ATTACHMENT(S): INFORMATION CONTACT <br /> Bid Results- Demolition Tara L. Fikes, 2490 <br /> TELEPHONE NUMBER <br /> Hillsborough 732-8181 <br /> Chapel Hill 968-4501 <br /> Mebane 227-2031 <br /> Durham 688-7331 <br /> Purpose: To award a contract for house demolition and the construction of replacement housing at 321 <br /> W. Corbin Street in Hillsborough under the Community Development Block Grant Program and the HOME <br /> Program. <br /> Background: <br /> The dwelling located at 321 W. Corbin Street had been scheduled for rehabilitation under the FY 1995 <br /> Community Development Block Grant Program. However, it has been determined that the cost of <br /> repairing the home greatly exceeds the value of the home. Therefore, it is more cost feasible to <br /> remove the existing dwelling and replace the dwelling with a modular home of the same square footage <br /> - approximately 750 square feet. The owner-occupants of the house have been consulted regarding <br /> this decision and agree to these plans. <br /> Informal bids were obtained from five area demolition contractors with the lowest bid coming from <br /> Martin Landscape Service of Hillsborough at$2,500. A bid summary is attached. <br /> Further, area manufactured and modular home dealers have been contacted to obtain prices for <br /> replacement housing. Only two companies sold housing with two bedrooms as needed to replace the <br /> existing structure. Those companies were Eno Mountain Homes of Hillsborough ($57,900) and <br /> Carolina Model Home Corporation of Raleigh ($46,300). Carolina Mobile Home Corporation provided <br /> the lowest cost at$46,300. <br /> CDBG and HOME funds will be provided for this project in the form of a Deferred Payment Loan with a <br /> fifteen year term. A lien will be placed on the replacement housing to secure the investment. <br /> Recommendation: <br /> The Manager recommends awarding a Demolition Contract to Martin Landscape Service in the amount of <br /> $2,500. The Manager also recommends awarding a construction contract to Carolina Model Home <br /> Corporation for $46,300 for the cost of providing replacement housing at 321 W. Corbin Street in <br /> Hillsborough. <br />