HomeMy WebLinkAboutAgenda Statement 1984/08/14 Item 19 .
COUNCIL AGENDA STATEMENT
Item 19
Meeting Date 8/14/84
ITEM TITLE: a) Resolution ,/7,3a.._,Approving submittal of development
proposal by Housing Authority for Low Rent Public Housing
b) Resolution //7.0_:4 Approving application by Housing
Authority for Preliminary Loan r Low Rent Public Housing
SUBMITTED BY: Community Development Director /5ths Vote: Yes No x )
REVIEWED BY: City Manager
The U. S. Department of Housing and Urban Development has notified the County
Housing Authority that funding is available for 50 units of Low Rent Public
Housing for large families (3 bedrooms plus). Under the terms of an existing
Cooperation Agreement and Memorandum of Understanding between the Housing
Authority and the City, the City and Housing Authority staff have explored the
possibility of developing that housing on scattered sites in Chula Vista.
Preliminary approval is required by the City in order for the Housing
Authority to submit loan and development applications to HUD.
RECOMMENDATION: That the Council:
1 . Approve the resolution approving the submittal to HUD of the development
proposal for 50 units of Low Rent Public Housing in Chula Vista.
2. Approve the application by the Housing Authority for a Preliminary Loan
for Low Rent Public Housing in Chula Vista.
BOARDS/COMMISSIONS RECOMMENDATION: The short timeframe for submittal of
applications to HUD under this funding cycle did not allow consideration of
the issue by the Human Relations Commission. Prior to any final approval of
the proposed Public Housing, the Human Relations Commission would consider the
proposed housing and make recommendations to the Council .
DISCUSSION:
The decision before the Council is preliminary, dealing with additional Public
Housing at the conceptual stage. It should be recognized that the proposed
action merely sets the HUD evaluation process in motion and that further
discretionary action by the Council would be assured.
It is recommended that the Council approve the submittal of the subject
applications to meet a HUD funding cycle deadline of August 15. The following
elements should be considered: indications of need from SANDAG report, Low
Page 2, Item 19
Meeting Date 8/14/84
Rent Public Housing program design, nature and use of HUD Preliminary Loan,
possible assistance from the City and the Redevelopment Agency, City review
and discretionary action, siting and development proposed, and the sequence
and process of application/development.
Indications of Need from SANDAG Report:
A draft copy of the SANDAG Housing Study for Chula Vista has been received and
been given some staff evaluation. Further refinement of the report is being
made by SANDAG, and it is anticipated that a final report will be approved by
the SANDAG Board and be available for Council workshop consideration at the
end of August. In response to the issue of need for housing of the nature of
Low Rent Public Housing, the draft report indicates that 64.2% of low-income
renters in Chula Vista "overpay" for their housing (pay more than 30% of their
monthly income for housing). The draft report also indicates that Chula Vista
has approximately 4% less low-cost rental housing than the San Diego region as
a whole. Pending further evaluation of the SANDAG report, it appears that
low-cost housing such as Low Rent Public Housing is one of the most
significant housing needs of the City.
Low Rent Public Housing Program Design:
The HUD Low Rent Public Housing program provides rental housing owned and
operated by housing authorities and occupied by low-income households, with
eligible household incomes under 72% of median income (currently $19,800 for a
family of four). Tenant households pay 30% of their monthly income for rent
and utility costs ($344 per month for a family of four making 50% of median
income).
A housing authority which serves a jurisdiction must have that jurisdiction's
permission to develop such housing in the jurisdiction. HUD allows the
housing authority to sell bonds to raise development funds for the project.
The debt on the bonds is serviced by HUD, and the project is operated on
rental income to the housing authority.
Public Housing projects are exempt from property taxes. To compensate
jurisdictions for lost property tax revenue, housing authorities pay local
jurisdictions an annual fee of 10% of the net operating income, called Payment
in Lieu of Taxes (PILOT) .
Nature and Use of HUD Preliminary Loan:
The Housing Authority is asking for approval by the City of a request to HUD
for a Low Rent Public Housing Preliminary Loan of $75,000. The loan is to
provide the Housing Authority seed money to select and control sites and to
plan and design projects. Fee appraisals, option funds, and architectural and
engineering consultation costs are eligible uses of the loan funds. The loan
funds would be paid back from project bond proceeds if a project results. HUD
requires local jurisdiction approval by Council resolution before they will
grant such a loan to a housing authority.
Page 3, Item 19
Meeting Date 8/14/84
Possible Assistance From the City and the Redevelopment Agency:
In correspondence from the Housing Authority dated August 6, 1984, (attached
as Exhibit 1 ) , the Director of the Housing Authority is asking that the City/
Redevelopment Agency provide the following assistance to the Housing
Authority's efforts to develop three housing projects with the available HUD
funds;
1 . Engage and pay for fee appraisals on the designated sites discussed below.
2. Secure exclusive negotiation and right-of-entry agreements on those sites.
3. Approve a resolution approving application by the Housing Authority for a
HUD Preliminary Loan.
As the City and Redevelopment Agency can use the Redevelopment Agency Low and
Moderate Income Housing Funds with greater facility than the Housing Authority
can generally obtain HUD funds, and as such support of Public Housing projects
is reasonable and not uncommon on the part of local jurisdictions, the first
two requests could be recommended. However, the preliminary nature of the
City Council 's approval of this Public Housing effort is cause for
recommending a more conservative approach. Before the City Council or Agency
commits funds to the project, it would be appropriate for the City Council to
give a full consideration to the final SANDAG housing report; and, as HUD
Preliminary Loan funds can be used for the requested assistance, it would be
appropriate to find out if the Housing Authority will be granted the loan by
HUD. Therefore, it is not recommended that the City Council commit to fee
appraisals or site control instruments at this time. It is recommended that
the Council approve the resolution of support for the Preliminary Loan
application. If the preliminary loan is granted to the Housing Authority, the
Housing Authority can pursue the other two tasks; if the loan is not granted,
the Housing Authority's request can be reconsidered in the light of a full
appraisal of the SANDAG report.
It should be recognized that further assistance to the proposed projects may
be requested in the future. Site acquisitions/site donation and engineering
and improvement costs funding may be required to make the projects feasible.
Such funding would be an eligible, refundable contribution from the
Redevelopment Agency Low and Moderate Income Housing Fund. Such requests
should be judged in light of approved HUD funding levels and site costs
revealed by full evaluation of the proposed sites.
City Review and Discretionary Authority:
Experience with construction difficulties on the Town Centre Manor project has
resulted in significantly more stringent policies regarding builder/contractor
selection and contract administration on the part of the Housing Authority.
As Chula Vista has a significant profile regarding the Public Housing projects
in Chula Vista, it is recommended that greater review and approval authority
be granted to the City as a condition of approval of the submission of the
p-_\\l31
•
Page 4, Item 19
Meeting Date 8/14/84
Housing Authority 's applications to HUD. Specifically, the City should have
review and approval authority regarding the formulation of bidding standards
for construction of the proposed projects. Standards would be written which
would pay particular attention to the financial and technical capacities and
histories of the bidding contractors, and those standards would be subject to
the approval of the Community Development Director and the Director of
Building and Housing. Additionally, the Community Development Director and
the Director of Building and Housing would have input into the decision as to
the responsibility of bids received.
Siting and Development Proposed:
The Housing Authority and City staff have been attempting to identify sites
which would provide three- and four-bedroom units on scattered sites. Three
available properties have been tentatively selected. If the Preliminary Loan
is approved by HUD, these sites will be appraised, conceptual drawings will be
made, and option agreements will be secured, all such actions undertaken by
the Housing Authority. The City Council will have the opportunity to evaluate
these sites in greater detail before final selection is made. Briefly, the
sites are as follows:
1 . This 1 .5-acre vacant parcel is in the County at the northern edge of the
City, near the intersection of Trusdale Avenue and the paper street of
north Third Avenue extension. The property is currently undergoing
annexation. The site would require some fill and installation of Third
Avenue to the site. The Housing Authority tentatively proposes 16
three-bedroom units and 2 four-bedroom units on the site. (Exhibit 2)
2. This 1-acre vacant City-owned site is at Telegraph Canyon Road and Paseo
del Rey. The site would require an access easement from the Christian
Alliance Church, which has tentatively agreed to such an easement. The
Housing Authority proposes 12 three-bedroom units on the site. (Exhibit 3)
3. This 3-acre site, owned by the Chula Vista School District as surplus
school land, is on East "H" Street near Otay Lakes Road. Cut and fill
would be required, as would specific plan approval . The Housing Authority
proposed 18 two-bedroom and 2 four-bedroom units on the site. (Exhibit 4)
Much more scrutiny would be necessary to determine the appropriateness of
these sites and development proposals. Such scrutiny can follow the submittal
of the necessary HUD applications.
Sequence and Process of Application and Development:
On this date, the Board of Commissioners of the Housing Authority (the County
Board of Supervisors plus two Section 8 Tenant Commissioners) is considering
the Development Proposal and the application for Preliminary Loan. The County
staff recommendation is that the Board approve the submission of those
documents to HUD contingent on the Council 's approval at this meeting.
Page 5, Item 19
Meeting Date 8/14/84
If the Board and the Council give the necessary approval , the documents will
be submitted to HUD by August 15, with HUD approval or denial to follow within
approximately 90 days. The recommended Council approval of the development
proposal is conditioned on the following:
1 . Subsequent formal approval by the Council of the proposed sites and the
project designs.
2. The approval of contractor bidding standards and input into the
determination of the responsibility of bids by the Community Development
Director and the Director of Building and Housing.
The resolution reflects these conditions. Although the Housing Authority has
in the past pursued the spirit of the Memorandum of Understanding between the
City and the Housing Authority by seeking approval by the Council of all
significant details of Public Housing projects, the tentative nature of this
particular submittal recommends that Council approvals be clearly assured.
Therefore, it is recommended that subsequent action by the City Council and
the Board of Commissioners amend the Memorandum of Understanding to include
the aforementioned conditions, an action which would be taken soon after the
August 15 submittal date. As a result, the Council would have assurance of
discretionary power over the site selection and general design of the
projects, and key staff members would be able to review contractor selection
and bid quality.
FISCAL IMPACT: The recommended action involves no expenditure of City
revenues.
WPC 0909X
4
COUNCIL AGENDA STATEMENT
Item 19
Meeting Date 8/14/84
ITEM TITLE: a) Resolution //7.3 — Approving submittal of development
proposal by Housing Authority for Low Rent Public Housing
b) Resolution //73,3 Approving application by Housing
Authority for Preliminary Loan r Low Rent Public Housing
SUBMITTED BY: Community Development Director /5ths Vote: Yes No x )
REVIEWED BY: City Manager
The U. S. Department of Housing and Urban Development has notified the County
Housing Authority that funding is available for 50 units of Low Rent Public
Housing for large families (3 bedrooms plus). Under the terms of an existing
Cooperation Agreement and Memorandum of Understanding between the Housing
Authority and the City, the City and Housing Authority staff have explored the
possibility of developing that housing on scattered sites in Chula Vista.
Preliminary approval is required by the City in order for the Housing
Authority to submit loan and development applications to HUD.
RECOMMENDATION: That the Council :
1 . Approve the resolution approving the submittal to HUD of the development
proposal for 50 units of Low Rent Public Housing in Chula Vista.
2. Approve the application by the Housing Authority for a Preliminary Loan
for Low Rent Public Housing in Chula Vista.
BOARDS/COMMISSIONS RECOMMENDATION: The short timeframe for submittal of
applications to HUD under this funding cycle did not allow consideration of
the issue by the Human Relations Commission. Prior to any final approval of
the proposed Public Housing, the Human Relations Commission would consider the
proposed housing and make recommendations to the Council .
DISCUSSION:
The decision before the Council is preliminary, dealing with additional Public
Housing at the conceptual stage. It should be recognized that the proposed
action merely sets the HUD evaluation process in motion and that further
discretionary action by the Council would be assured.
It is recommended that the Council approve the submittal of the subject
applications to meet a HUD funding cycle deadline of August 15. The following
elements should be considered: indications of need from SANDAG report, Low
Page 2, Item 19
Meeting Date 8/14/84
Rent Public Housing program design, nature and use of HUD Preliminary Loan,
possible assistance from the City and the Redevelopment Agency, City review
and discretionary action, siting and development proposed, and the sequence
and process of application/development.
Indications of Need from SANDAG Report:
A draft copy of the SANDAG Housing Study for Chula Vista has been received and
been given some staff evaluation. Further refinement of the report is being
made by SANDAG, and it is anticipated that a final report will be approved by
the SANDAG Board and be available for Council workshop consideration at the
end of August. In response to the issue of need for housing of the nature of
Low Rent Public Housing, the draft report indicates that 64.2% of low-income
renters in Chula Vista "overpay" for their housing (pay more than 30% of their
monthly income for housing). The draft report also indicates that Chula Vista
has approximately 4% less low-cost rental housing than the San Diego region as
a whole. Pending further evaluation of the SANDAG report, it appears that
low-cost housing such as Low Rent Public Housing is one of the most
significant housing needs of the City.
Low Rent Public Housing Program Design:
The HUD Low Rent Public Housing program provides rental housing owned and
operated by housing authorities and occupied by low-income households, with
eligible household incomes under 72% of median income (currently $19,800 for a
family of four). Tenant households pay 30% of their monthly income for rent
and utility costs ($344 per month for a family of four making 50% of median
income).
A housing authority which serves a jurisdiction must have that jurisdiction's
permission to develop such housing in the jurisdiction. HUD allows the
housing authority to sell bonds to raise development funds for the project.
The debt on the bonds is serviced by HUD, and the project is operated on
rental income to the housing authority.
Public Housing projects are exempt from property taxes. To compensate
jurisdictions for lost property tax revenue, housing authorities pay local
jurisdictions an annual fee of 10% of the net operating income, called Payment
in Lieu of Taxes (PILOT) .
Nature and Use of HUD Preliminary Loan:
The Housing Authority is asking for approval by the City of a request to HUD
for a Low Rent Public Housing Preliminary Loan of $75,000. The loan is to
provide the Housing Authority seed money to select and control sites and to
plan and design projects. Fee appraisals, option funds, and architectural and
engineering consultation costs are eligible uses of the loan funds. The loan
funds would be paid back from project bond proceeds if a project results. HUD
requires local jurisdiction approval by Council resolution before they will
grant such a loan to a housing authority.
Page 3, Item 19
Meeting Date 8/14/84
Possible Assistance From the City and the Redevelopment Agency:
In correspondence from the Housing Authority dated August 6, 1984, (attached
as Exhibit 1 ) , the Director of the Housing Authority is asking that the City/
Redevelopment Agency provide the following assistance to the Housing
Authority's efforts to develop three housing projects with the available HUD
funds;
1 . Engage and pay for fee appraisals on the designated sites discussed below.
2. Secure exclusive negotiation and right-of-entry agreements on those sites.
3. Approve a resolution approving application by the Housing Authority for a
HUD Preliminary Loan.
As the City and Redevelopment Agency can use the Redevelopment Agency Low and
Moderate Income Housing Funds with greater facility than the Housing Authority
can generally obtain HUD funds, and as such support of Public Housing projects
is reasonable and not uncommon on the part of local jurisdictions, the first
two requests could be recommended. However, the preliminary nature of the
City Council 's approval of this Public Housing effort is cause for
recommending a more conservative approach. Before the City Council or Agency
commits funds to the project, it would be appropriate for the City Council to
give a full consideration to the final SANDAG housing report; and, as HUD
Preliminary Loan funds can be used for the requested assistance, it would be
appropriate to find out if the Housing Authority will be granted the loan by
HUD. Therefore, it is not recommended that the City Council commit to fee
appraisals or site control instruments at this time. It is recommended that
the Council approve the resolution of support for the Preliminary Loan
application. If the preliminary loan is granted to the Housing Authority, the
Housing Authority can pursue the other two tasks; if the loan is not granted,
the Housing Authority's request can be reconsidered in the light of a full
appraisal of the SANDAG report.
It should be recognized that further assistance to the proposed projects may
be requested in the future. Site acquisitions/site donation and engineering
and improvement costs funding may be required to make the projects feasible.
Such funding would be an eligible, refundable contribution from the
Redevelopment Agency Low and Moderate Income Housing Fund. Such requests
should be judged in light of approved HUD funding levels and site costs
revealed by full evaluation of the proposed sites.
City Review and Discretionary Authority:
Experience with construction difficulties on the Town Centre Manor project has
resulted in significantly more stringent policies regarding builder/contractor
selection and contract administration on the part of the Housing Authority.
As Chula Vista has a significant profile regarding the Public Housing projects
in Chula Vista, it is recommended that greater review and approval authority
be granted to the City as a condition of approval of the submission of the
Page 4, Item 19
Meeting Date 8/14/84
Housing Authority 's applications to HUD. Specifically, the City should have
review and approval authority regarding the formulation of bidding standards
for construction of the proposed projects. Standards would be written which
would pay particular attention to the financial and technical capacities and
histories of the bidding contractors, and those standards would be subject to
the approval of the Community Development Director and the Director of
Building and Housing. Additionally, the Community Development Director and
the Director of Building and Housing would have input into the decision as to
the responsibility of bids received.
Siting and Development Proposed:
The Housing Authority and City staff have been attempting to identify sites
which would provide three- and four-bedroom units on scattered sites. Three
available properties have been tentatively selected. If the Preliminary Loan
is approved by HUD, these sites will be appraised, conceptual drawings will be
made, and option agreements will be secured, all such actions undertaken by
the Housing Authority. The City Council will have the opportunity to evaluate
these sites in greater detail before final selection is made. Briefly, the
sites are as follows:
1 . This 1 .5-acre vacant parcel is in the County at the northern edge of the
City, near the intersection of Trusdale Avenue and the paper street of
north Third Avenue extension. The property is currently undergoing
annexation. The site would require some fill and installation of Third
Avenue to the site. The Housing Authority tentatively proposes 16
three-bedroom units and 2 four-bedroom units on the site. (Exhibit 2)
2. This 1-acre vacant City-owned site is at Telegraph Canyon Road and Paseo
del Rey. The site would require an access easement from the Christian
Alliance Church, which has tentatively agreed to such an easement. The
Housing Authority proposes 12 three-bedroom units on the site. (Exhibit 3)
3. This 3-acre site, owned by the Chula Vista School District as surplus
school land, is on East "H" Street near Otay Lakes Road. Cut and fill
would be required, as would specific plan approval . The Housing Authority
proposed 18 two-bedroom and 2 four-bedroom units on the site. (Exhibit 4)
Much more scrutiny would be necessary to determine the appropriateness of
these sites and development proposals. Such scrutiny can follow the submittal
of the necessary HUD applications.
Sequence and Process of Application and Development:
On this date, the Board of Commissioners of the Housing Authority (the County
Board of Supervisors plus two Section 8 Tenant Commissioners) is considering
the Development Proposal and the application for Preliminary Loan. The County
staff recommendation is that the Board approve the submission of those
documents to HUD contingent on the Council 's approval at this meeting.
vv133
Page 5, Item 19
Meeting Date 8/14/84
If the Board and the Council give the necessary approval , the documents will
be submitted to HUD by August 15, with HUD approval or denial to follow within
approximately 90 days. The recommended Council approval of the development
proposal is conditioned on the following:
1 . Subsequent formal approval by the Council of the proposed sites and the
project designs.
2. The approval of contractor bidding standards and input into the
determination of the responsibility of bids by the Community Development
Director and the Director of Building and Housing.
The resolution reflects these conditions. Although the Housing Authority has
in the past pursued the spirit of the Memorandum of Understanding between the
City and the Housing Authority by seeking approval by the Council of all
significant details of Public Housing projects, the tentative nature of this
particular submittal recommends that Council approvals be clearly assured.
Therefore, it is recommended that subsequent action by the City Council and
the Board of Commissioners amend the Memorandum of Understanding to include
the aforementioned conditions, an action which would be taken soon after the
August 15 submittal date. As a result, the Council would have assurance of
discretionary power over th a site selection and general design of the
projects, and key staff members would be able to review contractor selection
and bid quality.
FISCAL IMPACT: The recommended action involves no expenditure of City
revenues.
WPC 0909X
dbi-4-20-2/4—er
tf- /1- 15/
Q \\133
Js, A o� EXHIBIT 1
�• Xri •% SAN DIEGO COUNTY HOUSING AUTHORITY
sa„orE6- g
• 7917 Ostrow Street, San Diego,CA 92111-3694 •(619) 565-3428
cvx OYO SQL
.RE C .� T
August 6 , 1984
AUG 6 1984
Dave Gustafson Community Development Dept.
City of Chula Vista
276 4th Avenue
Chula Vista, California
Dear Mr. Gustafson:
This will confirm our understanding that City staff will be
requesting your City Council ' s support of the County of San
Diego Housing Authority ' s application for Public Housing new
construction. The application is for new construction of 50
units for large families (3 bedrooms or more) on scattered sites
( no more than 25 units per site) . The sites would include an
approximate one acre City-owned site located off Telegraph Canyon
Road. The other two privately owned sites would be purchased
by the City and donated/sold to the Housing Authority.
It is further understood that City Council consideration would
authorize the following actions in support of the application:
1 . direct City staff to obtain appraisals for the three sites
proposed for acquisition;
2. direct City staff to execute exclusive negotiation and
right of entry agreements on the ( 3 ) sites proposed for
acquisition ( to evidence site control to HUD) ;
3. adopt the attached resolution approving application to
the U.S . Department of Housing and Urban Development for
a preliminary loan in the amount of $75 ,000 for surveys
and planning in connection with the proposed housing program.
Sincerely,
- - -
Gabriel G. Rodriguez
Deputy Director
GGR:CRL:ew
L
Serving the cities of Chula Vista, Coronado, Del Mar, El Cajon, Escondido, Imperial Beach, La Mesa,
Lemon Grove, Oceanside, Poway, San Marcos, Santee, Vista, and Unincorporated County Areas
c).-\VV
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RESOLUTION NO. / 1713
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA APPROVING SUBMITTAL TO HUD OF
DEVELOPMENT PROPOSAL BY SAN DIEGO COUNTY HOUSING
AUTHORITY FOR LOW-RENT PUBLIC HOUSING DEVELOPMENT
IN THE CITY OF CHULA VISTA
The City Council of the City of Chula Vista does hereby
resolve as follows:
WHEREAS, it is the policy of the City of Chula Vista to realize
as soon as feasible the goal of a decent home and a suitable living environment
for all of its citizens; and,
WHEREAS, under the provisions of the United States Housing Act
of 1937, as amended, the United States of America, acting through the Secretary
of Housing and Urban Development, is authorized to provide financial assistance
to local public housing agencies for low-rent housing projects that will assist in
meeting this goal ; and,
WHEREAS, the Act provides for local determination and approval
of the provision of such housing; and,
WHEREAS, the San Diego County Housing Authority is a local
public housing agency empowered to act in this locality; and,
WHEREAS, the San Diego County Housing Authority and the City of
Chula Vista have entered into a Cooperation Agreement and a Memorandum of Under-
standing for provision of low-rent public housing units; and,
WHEREAS, the San Diego County Housing Authority desires to
submit a development proposal for 50 units of three- and four- bedroom low-rent
public housing on scattered sites, with no more than 25 units to be developed on
any one site; and,
WHEREAS, the City of Chula Vista wishes to assure that such
housing will be appropriately sited and designed; and,
WHEREAS, the City of Chula Vista wishes to assure that such
housing will be efficiently and effectively constructed by a responsible con-
tractor, such efficient and effective construction being a reasonable desire on
the part of the City as a result of their significant involvement in public
housing development in Chula Vista.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the
City of Chula Vista hereby approves the submittal to HUD of a development proposal
by the San Diego County Housing Authority for development of 50 units of three-
and four-bedroom low-rent public housing on scattered sites, with no more than
25 units to be developed on any one site, said approval being subject to the
following conditions:
1. That the City Council of the City of Chula Vista be granted
subsequent formal approval authority of sites selected for development of the
subject units.
2. That the City Council of the City of Chula Vista be granted
subsequent formal approval authority of project design of the subject units.
3. That the City Community Development Director and Director
of Building and Housing be granted approval authority of the bidding standards
for construction of the subject units.
4. That the City Community Development Director and Director
of Building and Housing be granted input into the formal decision as to the
responsibility of construction bids received by the County Housing Authority.
5. That conditions 1 through 4 above be incorporated through
amendment into the Memorandum of Understanding for development of low-rent public
housing existing between the City and the Housing Authority, said incorporation
through amendment to be accomplished no later than September 30, 1984.
Presented by Approved as to form by
Paul G. Desrochers, Community Thomas J. Harron, City Attorney
Development Director
-2-
�,\03)
RESOLUTION NO. 111.13
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA APPROVING APPLICATION TO HUD BY
THE SAN DIEGO COUNTY HOUSING AUTHORITY FOR
PRELIMINARY LOAN FOR LOW-RENT PUBLIC HOUSING
The City Council of the City of Chula Vista does hereby
resolve as follows:
WHEREAS, it is the policy of this locality to eliminate substandard
and other inadequate housing, to prevent the spread of slums and blight, and to realize
as soon as feasible the goal of a decent home and a suitable living environment for all
of its citizens; and,
WHEREAS, under the provisions of the United States Housing Act of
1937, as amended , the United States of America, acting through the Secretary of
Housing and Urban Development (herein called "Government") , is authorized to provide
financial assistance to local public housing agencies for undertaking and carrying out
preliminary planning of low-rent public housing projects that will assist in meeting
this goal ; and,
WHEREAS, the Act provides that there shall be local determination
of need for low-rent housing to meet needs not being adequately met by private enter-
prise and that the Government shall not make any contract with the public housing
agency for preliminary loans for surveys and planning in respect to any low-rent
public housing projects unless the governing body of the locality involved has by
resolution approved the application of the public housing agency for such preliminary
loan; and,
WHEREAS, the San Diego County Housing Authority (herein called
the "Local Authority") is a public housing agency and is applying to the Government
for a Preliminary Loan to cover the cost of surveys and planning in connection with
the development of low-rent housing.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City
of Chula Vista as follows:
1. That there exists in the City of Chula Vista a need for such
low-rent housing which is not being met by private enterprise.
2. That the application of the Local Authority to the Government
for a Preliminary Loan in an amount not to exceed $75,000 for surveys and planning in
connection with low-rent housing projects of not to exceed 50 dwelling units is
hereby approved.
BE IT FURTHER RESOLVED that the Local Authority is hereby
authorized to proceed with the project as acquisition of existing housing or rehab-
ilitation as required by Section 6(h) of the Act, if the Field Office determines as
a result of HUD's review of the submitted insufficient existing housing documentation
that sufficient existing housing is available.
Presen b Approved as to form by
44f/g
Paul G. Desrochers, Community Thomas J. Harron, City Attorney
Development Director