Officials to reapply for foreclosure program funds from federal government

A request for $30 million to rid neighborhoods of empty houses will be resubmitted to the federal government, minus a plan to fix up a troubled apartment complex.

Federal officials rejected a plan crafted by Clark County and North Las Vegas that included spending $3 million to renovate the Buena Vista Springs apartments off Carey Avenue. The plan was rejected because the complex had not been foreclosed upon.

The program forbids spending money to prevent foreclosure, a sore point among local leaders who want to stem the tide.

Buena Vista is emblematic of blighted areas where home-owners receive no financial help, Clark County Commissioner Lawrence Weekly said.

"You have people living in straight-up poverty," Weekly said.

Despite his criticisms, he voted Tuesday to resubmit the application for the Neighborhood Stabilization Program, saying the money was needed.

County staff members were confident that the revised request would be accepted.

The $3 million initially earmarked for Buena Vista will be used instead to turn foreclosed dwellings into rental units.

The county will seek nonprofit groups in the spring to renovate and sell the empty houses, with the hope that federal dollars will flow in by June, said Mike Pawlak, a management analyst for the county's Finance Department.

A total of $72 million was slated for Nevada.

About $24.3 million will go to the county and $6.8 million will be funneled to North Las Vegas. The two governments formed a loose partnership to administer the money.

Las Vegas' share is $20.7 million.

Pawlak expressed frustration at dealing with the federal bureaucracy.

"It's a pretty substantial amount of money to solve some problems in the community," Pawlak said. "But it's just a matter of negotiating through the minefield."

Contact reporter Scott Wyland at swyland@reviewjournal.com or 702-455-4519.