HomeMy WebLinkAbout2008-06-09 HAC MinutesCITY OF CHULA VISTA
MINUTES
•
HOUSING ADVISORY COMMISSION (SPECIAL) MEETING
MONDAY, JUNE 912008 CITY HALL BY CLERK'S OFFICE
4:00 P.M. CONFERENCE ROOM #C103
CALL TO ORDER/ROLL CALL — 4:50 p.m.
PRESENT: Margie Reese, Dina Chavez, Armida Martin Del Campo, Mark Minas, Aurora
Cudal, Earl Jentz
ABSENT: Steve Zasueta (excused)
Gregory Alabado (excused)
STAFF: Amanda Mills, Redevelopment & Housing Manager
Stacey Kurz, Senior Project Coordinator
Jose Dorado, Project Coordinator II
1. PILOT HOMEOWNERSHIP PROGRAM FOR REAL ESTATE OWNED PROPERTIES
Staff Mills provided an overview of the proposed pilot program to provide up to $30,000 in
downpayment and closing cost assistance (DCCA) for low- income households to purchase real
estate owned (REO) properties within the City. This program would be additional assistance to
the current $40,000 available through the City's program being administered by Community
HousingWorks, for a total of up to $70,000 towards purchase of an REO property. The current
request to Council would allocate $300,000 to the program to assist approximately 10
households, with future requests pending the success of the pilot program.
Member Jentz asked of the DCCA would be a silent loan by the City; Staff Mills confirmed the
loan would be a silent low interest deferred loan, with equity share. If any are repaid they would
be put back into the program in a revolving loan fund.
Vice Chair Reese asked if the source of money was federal; Staff Mills confirmed the HOME
program was through the U.S. Department of Housing & Community Development (HUD). Vice
Chair Reese further asked about the success of the current program. Staff Mills indicated that
Community HousingWorks currently has approximately a dozen families in the pipeline that have
qualified for the DCCA.
Member Martin Del Campo asked what terms the equity share carried; Staff Kurz and Mills
indicated that there is no share the first year, years 1 -5 are 70% City and 30% buyer with a
declining City portion over the years. Member Martin Del Campo asked if the loans would be 2nd
and 3rd position behind a first mortgage and Staff Mills confirmed. She further inquired if the City
was having success talking with banks, realtors have been having difficulty with some and who
would receive the bank commission for the purchase. Staff Kurz and Mills explained that this is a
pilot program, and the City will assess the success on factors such as the ability to work with
banks to purchase these homes and that buyers will be provided lists of available REOs through
Community HousingWorks to work with their agents for purchase, therefore agents would receive
normal commissions.
Housing Advisory Commission
Monday, June 9, 2008
Page 2 of 2
• Member Cudal asked how the program would be
advertised.
Community HousingWorks will be sponsoring a homebuye Staff
Mill Chula Vista, explained that
determined, and anyone inquiring into first -time homebuyer opportunities in Chula Vista V are
provided with a flyer and/or information on the program. The Housing Information line also
provides information on the DCCA. Both lenders and applicants must be certified to utilize the
City DCCA.
Member Minas asked if applicants had to be first -time homebuyers and if mobilehome purchase
was eligible. Staff Mills and Kurz explained that applicants cannot have held property within the
past 3 years to qualify as first -time homebuyers and a mobilehome is personal property and
ineligible with the funding sources, unless the property is also purchased. Currently the only park
in Chula Vista which is resident owned is Orange Tree Mobile Home Park, and therefore
purchases would be eligible in this park for the DCCA.
Member Martin Del Campo made a motion to recommend Council approve the program. Member
Cudal seconds the motion. All other members agreed unanimously.
2. APPLICATION FOR CAL -HOME PROGRAM FUNDS
Staff Dorado provided an overview of the CalHOME funds available through the State Notice of
Funding Availability for downpayment assistance to low- income households. He further indicated
that the City could receive up to $900,000 if the application is successful. Staff Mills further
added that these monies would be infused into the existing DCCA to assist additional families.
Member Minas made a motion to recommend Council approve the submittal of the application.
• Member Chavez seconds the All other members agreed unanimously.
3. STAFF REPORTS
Staff Mills provided a brief update on two affordable projects, Los Vecinos and The Landings
indicating that both were under construction and on schedule.
4. MEMBER'S COMMENTS
Vice Chair Reese inquired to the status of finding replacements for those members resigning
and/or vacant commission seats. Staff Mills indicated that the Mayor's office was actively seeking
to fill the positions and is aware that staff and the commission desire the seats to be filled prior to
the next regularly scheduled meeting. Vice Chair Reese further asked that staff alter future
agendas to read "The Commission will provide comment and recommendations to Council." Staff
Kurz indicated that this change would be made.
5. ORAL COMMUNICATIONS
None.
6. ADJOURNMENT - Meeting was adjourned at 5:20 p.m. to the next meeting of July 23, 2008 at
3:30 p.m.
R
cord