Title
Approval of a subordination agreement on a property for which the County holds a second mortgage.
Body
Recommended Action: Authorize the Chairman to sign the subordination agreement.
The owner of a property that was rehabilitated by the County and purchased under the Neighborhood Stabilization Program (NSP) is in the process of obtaining refinancing of the first mortgage on the property. Sedgwick County has a second mortgage of $22,500.00 on the property which was required as part of a down payment financing mechanism through the NSP Program. In order to secure the refinancing mortgage the new mortgage company has requested that the county take a second position to it.
Alternatives: Deny the request.
Financial Considerations: None
Legal Considerations: County Counselor's Office has reviewed the document and approved it as to form. The Board of County Commissioners has the authority, pursuant to K.S.A. 19-101, fourth, "to make all contracts and do all other acts in relation to the property and concerns of the county." Approval is by simple majority vote.
Policy Considerations: None