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HomeMy WebLinkAboutReso 1983-11227 RESOLUTION NO. 11227 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE HOUSING ASSISTANCE PLAN FOR 1982-1985 AND AUTHORIZING THE CITY MANAGER TO SIGN AND SUBMIT THE NECESSARY DOCUMENTS TO THE U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT The City Council of the City of Chula Vista does hereby resolve as follows: WHEREAS, the City of Chula Vista desires to assist lower income Chula Vista households with their housing needs; and, WHEREAS, the City has applied to the U.S. Department of Housing and Urban Development for funding under the Community Development Block Grant Program; and, WHEREAS, a component of the Community Development Block Grant funding application is an approved housing assistance plan, which identifies needs and sets goals for lower income housing assistance; and, WHEREAS, a Housing Assistance Plan has been compiled for the period from October 1, 1982 to September 30, 1985. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista does hereby approve the Housing Assistance Plan for the period from October 1, 1982 to September 30, 1985, attached hereto as Exhibit "A" as though fully set forth herein. BE IT FURTHER RESOLVED that the City Manager is authorized to sign said Housing Assistance Plan on behalf of the City and to submit said Housing Assistance Plan to the U.S. Department of Housing and Urban Development. BE IT FURTHER RESOLVED that the City Manager is authorized to make minor adjustments to the Housing Assistance Plan as may be necessary as a result of review of said Housing Assistance Plan by the U.S. Department of Housing and Urban Development. u G. Desroc Community Development Director George D. Lindberg, City Attorney f. - / / rJ;) f ~ULA VISTA, CALIFORNIA, this 83 , by the following vote, to-wit: Councilmen Scott, Cox, Malcolm, Moore, McCandliss ADOPT~D AND APPROVED BY THE CITY COUNCIL OF THE CITY OF 10th day of May fES: AYES: BSTAIN: 3SENT: Councilmen None CMcilmen None Councilmen None rTEST ~~ e C~y of Chula Vista rATE OF CALIFORNIA ) )UNTY OF SAN DIEGO ) s s. TY OF CHULA VISTA ) I, JENNIE M. FULASZ, CMC, CITY CLERK of the City of Chula Vista, California, ) HEREBY CERTIFY that the above and foregoing is a full, true and correct copy of RESOLUTION NO. 11227 , and that the same has not been amended or repealed. \TED ( seal) City Clerk :-660 fJ- /I;J:J -:; I! - //.2:27 HOUSING ASSISTANCE PLAN CITY OF CHULA VISTA 1982-1985 HOUSING ASSISTANCE PLAN CITY OF CHULA VISTA 1982-1985 INTRODUCTION The Housing Assistance Plan (HAP) of the City of Chula Vista is a documentation of the City's assessment of lower income housing needs within its jurisdiction and a statement of the steps the City intends to take to redress those needs. It is a three-year plan, covering the period from October 1,1982 to September 30,1985. The HAP is submitted to the U. S. Department of Hous i ng and Urban Development (HUD) as a component of the City of Chula Vista's application for funding under the Community Development Block Grant (CDBG) program. The HAP contains five elements: a survey of housing conditions in Chula Vista; an assessment of housing assistance needs created by those conditions; a statement of three-year goals to redress the identified needs; an annual goal statement; and an identification of appropriate general locations for publicly-assisted new construction or substantial rehabilitation. Accompanying these elements are narrative elaborations and data sheets on the methodology used to assess conditions and needs. Much of the data on conditions and needs was compiled for Chu1a Vista by the San Diego Association of Governments (SANDAG) under their Local Technical Assistance Program. ..., 1-//;).)1 HOUSING ASSISTANCE PLAN - HUD Form 7091.1 R- / /JrJ i f'l ~ \::;;; Form Approvlld OMB No. 2506.0063 U.S. OEPARTMENT OF HOUSING ANO URBAN D~VELOPMENT COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM ENTITLEMENT PROGRAM HOUSING ASSISTANCE PLAN I. NAME OF COM"'~I y CHULA VISTA 2. GRANT NUMBER B - 83 - M c- 06 - 0540 . PERIOD OF APPl.ICA61LITY FROM: Oct~ber 1, 1982 . DATE O~ SU:JMISSION 4,. June 16.1983 0 Original TO: September 30, 1985 ./~ .t-S.. [&1 eVISlon U Amendment (Date) TABLE I - HOUSING STOCK CONDITIONS STANDARD UNITS SUBST ANDARO UNITS SUBSTANDARD UNITS SUITABLE FOR REHAB TENURE OCCUPIED UNITS TYPE OCCUPIED VACANT OCCUPIED VACANT VACANT UNITS UNITS UNITS UNITS Total Lower Income UNITS A 8 C D E F G 6 Owner 17,014 443 692 18 663 148 17 7 Renter 11.550 507 1.141 50 1.nQ4 finq 4A TABLE II - RENTAL SUBSIDY NEEDS OF LOWER INCOME HOUSEHOLDS ELDERLY SMALL FAMILY LARGE FAMILY TOTAL H I J K 8 Very Low Income 774 1.957 186 2.917 9 Percent 26.5 % 67.1 % 6.4 % 100% 10 Other Lower Income 515 1 ,?4A 166 1. 929 II ETR 157 '651 64 872 12 To be Displaced 13 18 " 35 'r 13 Total 1.459 3.874 _420 5 .753 14 Percent ?~.4 % (;7 1 % 71% 1GO% TABLE I - UNITS TO BE ASSISTED REHABILlTArlON NEW CONVERSION 10 HOME OF CONSTRUCTION ST ANDARD UNITS IMPROVEMENTS SUBSTANDARD UNITS L M N 0 15 Owner 105 200 0 450 16 Renter 120 561 0 0 (UNITS EXPECTED TO ASSIST LOWER INCOME HOUSEHOLDSl 17 Owner 93 UO 0 450 18 Renter 25 406 0 0 TABLE II - LOWER INCOME HOUSEHOLDS TO RECEIVE RENTAL SUBSIDIES ELDERLY SMALL FAMILY LARGE FAMIL Y TOTAL P Q A s 19 Households to be Assisted 112 ~O_ 29. 411 20 Percent 26 % 67.2% 6.8 % 100% TABLE III - GOALS FOR HUD RESOURCES: SUOJECT TO LOCAL REVIEW AND COMMENT ELDERLY SMALL FAMILY LARGE FAMILY TOTAL T U V W 1 Households to be Assisted 100 258 26 384 21 I HOUSING TYPE PREFERENCE (Maximum Number of Units thilt ~till he Accepted) 22\ .. .. ._-- NEW REHAB EXISTING --' I I L I I I 384 384 384 .1 231 [] Check this box if the applicant wishes to review State Housing Agency profJosals within its jurisdiction. PART II. THREE YEAR GOAL PART III - GENERAL LOCATIONS 241 Arrach mat' identifying the general locations of proposed assisted housing. ~- //;').1 -2- HUD.7091.1 110.82) 124 CFR 570.3061 "I. I., "f NARRATIVE TO PART 1, TABLE 1: HOUSING STOCK CONDITIONS I?~ lId:; --:::;.- HOUSING STOCK CONDITIONS, PART I, TABLE I Part I, Table I, was prepared by SANDAG through its Local Technical Assistance Program. Numbers entered ; n the form were der; ved from census data prov; ded by HUD. All of the background information and calculations are attached as Appendix A: Methodology or are on file in the Community Development Department of the City of Chula Vista. 1. Definitions: Substandard units, as defined by the City, means those units ~to meet Chu1a Vista building/housing codes. Those codes meet or exceed the Housing Quality Standards under 24 CFR 882.109. Substandard units indentified in the 1980 census were those units lacking complete plumbing facilities, which means the unit contains (1) complete plumbing facilities which are shared with another household, (2) some, but not all plumbing facilities, or (3) no plumbing facilities. Occupied units housing more than 1.01 persons per room were considered substandard, as well as owner-occupied units built before 1940 and valued at less than $35,000. SANDAG calculated the missing value factor for renter occupied units. Substandard units suitable for rehabil itation, as defined by the City, means those substandard units which: a. are structurally sound, b. would have economic value after rehabilitation investment, and c. after rehabilitation would meet at minimum the Section 8 Housing Quality Standards and the local/building codes. Since the 1980 census did not provide this information, percentages from the 1975 Special Census were applied to the substandard total from the 1980 census. Of the units identified as deteriorating, 95.8% were considered suitable for rehabilitation. This proportion is consistent with the City's knowledge and experience of housing conditions, based upon the operation of its housing rehabilitation program. 2. Q22p1acement: It is anticipated that during the three year period of the Housing Assistance Plan, 35 lower income individuals will require rental assistance as a result of displacement. The anticipated displacement will be the result of condominium conversion, with an estimated conversfon of 100 rental units, mobile home park discontinuance, with an estimated effect on 126 mobile homes, and demolition of 27 dwelling units. No displacement is anticipated as a result of City redevelopment, Community Development Block Grant activity, subsidized housing activity, or capital improvement activity. The estimate of lower income individuals to be displaced is based on SANDAG's calculations included in Appendix A as Step 12. - 3 - It should be noted that th 2,170 mobile home residents in Chula Vista are somewhat sheltered from isplacement by Exclusively Mobile Home Park zoning and by an ordinance-requiring relocation assistance by a park owner discontinuing the operation of a park. 3. ~ec~~d. ~~ R~side: The Expected to Reside (ETR) total for Chula Vista is ln lVl ua s. This pr jection was calculated by SANDAG using their bi-annual Regional Growth orecasts, which forecast population, housing, and employment growth for he San Diego region and SANDAG's "fair share" allocation to Chula Vista f lower income housing responsibility from the SANDAG Area Wide Housing 0 portunity Plan (.05). The ETR total is based on all lower income expected-to-reside as being renters. Step 23 of Appendix A provides detailed calculations. 4. Lower Income Minority Households: The 1980 census indicates a total minority population in CliU1a Vista of 31.9 percent. The three largest minority groups are: Spanish/Hispanic at 23.4 percent, Asian at 6 percent, and Black at 1.9 percent. The following chart indicates the numbers of lower income minority households in Chula Vista living in substandard housing. This data was extrapolated by SANDAG by applying 1975 Special Census percentages to the total households in the substandard housing calculation. LOWER INCOME MINORITY HOUSEHOLDS IN SUBSTANDARD HOUSING Owners 17 28 Hispanic 170 281 Asian American Native --. Black Tota 1 Renters 45 74 11 18 243 401 It can be seen, in comparing the owner and renter totals above with lines 6c and 7c of Form 7091.1, that minority households occupy 35 percent of Chula Vista1s substandard owner units and 38 percent of Chula Vista's substandard renter units. The chart below indicates those low income minority households overpaying for housing, by household size: LOWER INCOME MINORITY HOUSEHOLDS PAYING IN EXCESS OF 30% OF INCOME FOR HOUSING American Black Hispanic As i an Native Elderly 22 293 44 12 Small Family 63 725 126 33 Large Fami ly 8 80 15 4 Total 93 1,098 185 49 R ~ / /;;0 ::; - 4 - The following chart indicates anticipated displacement of low income minority households, assuming that those displaced would be eligible for and in need of renta 1 ass i stance: . LOWER INCOME MINORITY HOUSEHOLDS ELIGIBLE FOR RENTAL SUBSIDY EXPECTED TO BE DISPLACED American Black Hispanic As i an Native Elderly 0 1 0 Small Family 0 1 2 1 Large Fami 1y 0 0 0 0 Tota 1 1 1 3 1 5. Disabled Households: The California State Department of Housing and Community Development has estimated the existence in the San Diego Region of 15,468 disabled households. Chu1a Vista's total population is 5% of the region's total population. Assuming a proportionality between total population and disabled households, it could be estimated that Chu1a Vista's disabled household population would be 773, or 5% of the regional total. No 1980 census data exists cross-tabulating disability with" income or household size or household type. However, it is a reasonable assumption that a substantial portion of disabled households would fall within Section 8 income limits, especially those with work and transportation disabilities. Additiuna11y, it could be assumed that a substantial number of those lower income di sab 1 ed households wou 1 d be in need of rental subsidy. Their housing problems are compounded by design and location requirements which reduce unit supply and increase unit cost. Using 1980 Census regional data on work and transportation disability, and limited statistical information from the Community Service Center for the Disabled, SANDAG has calculated the percentage distribution of disabled households over household types. Below is a chart showing those percentages applied to the estimate of lIin needll disabled households in Chula Vista. LOW INCOME DISABLED HOUSEHOLDS IN CHULA VISTA NEEDING RENTAL ASSISTANCE Percentage Elderly 58.7 Sma 11 F amil y Large Family Total Households 454 38 294 3.3 25 100 773 - 5 - Non-elderly, single, disabled persons are included with elderly low-income households in the HAP Needs Section, Table II. 6. Single Parent Households: Single parent households suffer special housing needs as a result of a combination of factors: they tend to be lower income; they are often minority; they have difficulty finding rental units accepting children regardless of recent legislation. According to the 1980 Census data, single-mother families comprise 10.6% of all the region's families. But they form 55.4% of all below poverty families. An additional revealing statistic is that 95~2% of all families receiving Aid to Families with Dependent Children from the County Welfare Department are female-headed. It can be assumed then, that a significant majority of single-mother households are in need of rental assistance. Single father households comprise 4.8% of the County's Aid to Families with Dependent Children roles, their economic disadvantages appearing to be less great. Minority households have a substantially higher proportion of sing 1 e-family households than non-mi nority households. B1 ack households make up 1.9% of all Chula Vista households, but they make up 3.2% of single-parent households. Hispanics make up 16.4% of all Chu1a Vista households, and 20% of single-parent households. The minority sing 1 e-parent househo 1 ds may encounter add it i ona 1 obstac 1 es to adequate housing as a result of racial discrimination. Finally, single-parent households, occupying principally the rental tenure type as a result of low income status, encounter housing impediments as a result of discrimination against children in rental units. In spite of recent legislation against such discrimination, the perception is that it is still widespread. Both single-mother and single-father households face thi s d i1 emma. - 6 - f- / /J;J i- f -II;;;) -::; NARRATIVE TO PART II: THREE-YEAR GOAL NARRATIVE TO PART II: THREE-YEAR GOAL 1. Demolition: No demolition of standard dwelling units in the City of Chu1a . Vista is anticipated as a result of direct Federal, State, or local actions during the period of this HAP. 2. ~plementation Actions: The City of Chula Vista will pursue numerous efforts to achieve tlie three-year goals articulated in the HAP. The City's efforts will include new construction assistance, rehabilitation of existing single-family and multi-family units, enhanced utilization of existing stock, and enabling zoning and regulation. The City will look to HUD for financial assistance, as well as to the City's local resources. Housing Rehabilitation: The Community Housing Improvement Program (CHIP) wm use leverage CDBG funds to accomplish the rehabilitation of 105 owner occupied units, both single family homes and mobile homes and 120 multi-family rental units. Under an agreement with Bank of America, low interest loans, deferred loans, and grants wi 11 be used to correct code vi 0 1 at ions and to make general property improvements. I n most cases, rehabil i tated units wi 11 be substandard units brought to standard condition. Some mobile homes unsuitable for rehabilitation may be replaced with loans granted through a local non-profit organization. Rehabil Hated multi -family units wi 11 be mai ntai ned as affordable units for lower income households through rent restriction agreements. Tenant income will be verified and annually monitored to assure compliance with the 51% benefit regulation. Approximately 450 units belonging to lower income homeowners will receive home repair and improvements such as weatherization, which will not necessarily result in standard condition. These improvements will be provided by the MAAC and JOVE projects, non-profit community-based social service agencies that receive City, County, State and Federal grants to provide home improvement services to low income, usually owner, households. The City has predicated its goals on successful application for 40 units of assistance under the Rental Rehabilitation Program. CDSG funds will be reallocated for that effort if successful. Code Enforcement: Through the Community Development Block Grant Program, The City funds a Code Enforcement Program in the Neighborhood Strategy Areas. Through door to door inspections, the program i dent ifi es substandard dwelling units. Necessary corrections are officially noticed, and property owners are encouraged to util i ze the benefits of the CHIP program in making corrections. In addition to the noticed dwelling units corrected by the CHIP program, many noticed substandard units are corrected through private action. As no income data is compiled, these units do not appear in the City's goals s ta tement. - 7 - Rental Assistance: The City will continue to participate through the Housing Authority of the County of San Diego in the Section 8 Existing program. The City anticipates the allocation by HUD and the Housing Authority of 150 much-needed additional units of Section 8 Existing housing assistance during the three year period. New Construction: The City has participated with the Housing Authority in aeve10ping 83 units of Low Income Public Housing (LIPH). The City will request that the Housing Authority apply to HUD for any available additional Public Housing units with the anticipation that 60 units could be obtained over the three-year period. The City will consider assisting resulting Public Housing projects through site acquisition efforts, land cost right-down, and other financial assistance, as well as development regulation exceptions. The City wi 11 encourage non-profit hous i ng developers to apply for any available Section 202/8 units in this region. The City is anticipating 100 units of such housing be awarded in our jurisdiction. Again, the City will consider assisting with the same efforts indicated above for LIPH. Although the current climate does not look favorable for Section 8 New Construction, the City hopes that such units will again become available. Ass i stance wi 11 be provi ded to Section 8 sponsors to make such projects possible. The City is currently engaged in a site search to assist a Section 8 developer with Minority Business Enterprise status and with possible access to California Housing Finance Agency financing and discretionary Section 8 units. The City would consider locally-funded assistance to facilitate such a project. ~. Low Income Hous i ng Fund: The Redevelopment Agency of the City of Chu 1 a Vista is required by State law to set aside 20% of its excess tax increment funds in a Low Income Housing Fund. The resultant funds can be used to assist in many facets of housing development for households at or be low 120% of med i an income. The Redeve 1 opment Agency has adopted an ordinance finding the appropriateness of utilizing the funds anywhere in the City if that use furthers the goals of the City's Housing Assistance Plan, which constitutes the redevelopment project area's Replacement Housing Plan. As of April 1983, the low income housing fund has a balance of approximately $3 million. The City proposes to assist new construction of low income multi-family units with this fund through such measures as site acquisition, land cost right-down, provision of on- and off-site improvements, equity participation, and financing assistance. Both Public Housing projects currently being built in Chula Vista have been assisted by this fund with the named techniques. The City further intends to utilize the funds. to assist in the provision of a low and moderate income displaced mobile home park. All of the techniques named above may be used, with the possible addition of the - 8 - ~- /1r;}cJ "7 provision of seed money and a down payment loan fund for the establishment of a limited-equity cooperative mobile home park. The City has requested an allocation of $10 million in single-family mortgage revenue bond authori ty from the State Mortgate Bond All ocat ion Committee and awaits probable authorization at the end of Fiscal Year 1982-83. The City is also exploring the feasibility of a multi-family mortgage revenue bond issue. It is estimated that 750 rental units could be produced, based on developer contacts to date, with 20% of those units allocated to lower income households. Shared Housing: The City provided $20,000 of Community Development Block Grant funds in Fiscal Year 1982-83 to an non-profit senior service organization to operate a shared housing program. It is anticipated that if the program1s annual goals are reached, the City will repeat the fundi ng in 1983-84. The Shared Hous i ng Program uses a referral, screening, and evaluation network to match low income home seekers with homeowners having available space. The housing costs of both parties can thus be reduced significantly. Participants to date have been predominantly elderly and almost exclusively low income. Zoning and Regulation: The City is currently undertaking the public hearing process evafUation of a draft accessory unit ordinance. The ordinance is in response to the mandate of SB1534 (Mello). However, the draft ordinance as proposed goes substantially beyond the requirement of 581534. It allows contained, attached, or detached accessory units in all R-l zones through a conditional use permit process at the discretion of the zoning administrator. It requires that those units be rented by elderly or handicapped persons. It is anticipated that such zoning provisions will generate units which will be occupied substantially by elderly and handicapped in the lower income categories. The City has a provision in its zoning ordinance for low income senior housing development. Under the conditional use permit process, multi-family rental projects exclusively for elderly at or below 80% of median income can receive unlimited density bonuses and waivers of such development standards as lot coverage restrictions, setbacks, and parking requirements. In the past fiscal year, 107 units of such housing have been approved under this conditional use permit process. Some of those units are likely to be assisted to construction by a City-issued multi-family mortgage revenue bond. Finally, the Action Program of the Housing Element of the City's General Plan encourages innovative housing developments, going on record as being receptive to such approaches as reduced unit size and reduced lot size planned residential developments and manufactured housing subdivisions. - 9 - GENERAL LOCATIONS - PART III 1-IIJJ7 GENERAL LOCATIONS - PART III The City of Chula Vista contains 28 census tracts under the 1980 Census. They are as follows: C.T. 32.04 C.T. 130.00 32.07 131. 01 100.01 131.02 101.03 132.01 116.00 132.02 121. 00 133.01 123.01 133.02 123.02 133.03 124.01 133.04 124.02 133.05 125.00 134.01 126.00 134.03 127.00 134.04 128.00 129.00 It is appropriate to identify the entire City as a priority area for new construction or substantial rehabilitation. There are no census tracts which are exclusively industrial or agricultural. And although several census tracts are Community Development Block Grant-eligible low income neighborhoods, none could be characterized as seriously impacted and all could support assisted housing without unfavorable concentration of lower income or minority households. - 10 - ,f-II~d i o M .....-m - -!..o Lf) C\l -2: 0:) f-- ..., I I a:- .JN~ III \D <( .... ~ ;~ > ~ I-D 00 ~~ ~ a:~ .... 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III :J o :I: E ftl s.- Ol o s.- o. of.,) C Q) E Q) > o s.- a.- EC!) HCO Cl OlU c- .,.. VlC :JO 0'", :I:+-> ftl ~.j-I ~ .... .,.. r- c.,... :J..o ~~ OQ) UO:: .... M 1.0 o .... 0'\ .... co ~ J: l.JJ 0:: Lf) M x -11- o lJ') o 1.0 Lf) o .... L{) C\J o C'I') o C\l o N u z u z o o .... o C\l .... E to s.- '0'1 o s.- o.. "0 c: o co ~ ,... .,.. E ftl IJ.. I .... of.,) ,... :J ~ a E ftl s.- Ol o s.- o.. "0 C :J IJ.. C'l C .,.. :/) ::3 o :r: Q) E o u c ..... .,.. U s.- Q) +J s.- ftl J: U 3 o ...J -t -,- -- ~~ or ..c -,. NLI ":0 ~LJ ,..t c~ :J~ 1: NARRATIVE TO ANNUAL HOUSING ASSISTANCE GOALS - PART IV For the remainder of the first year of the three-year goal, October 1982 to September 1983, the City will pursue new construction of low income rentals and rehabilitation of single-family units and multi-family rentals. The City intends to request the Housing Authority of the County of San Diego to pursue with HUD the possible utilization of the remaining Public Housing fund reservation to develop up to 20 additional low income Public Housing units in Chu1a Vista. The City would assist with land cost assistance and with density bonus. The City's Redevelopment Agency will continue to negotiate with multi-family housing developers with the intention of assisting in the development of affordable multi-family rental units by using the Low Income Housing Fund. Intended techniques have been listed above. There has been a recent surge of interest by such developers, and the City feels a commitment for up to 100 units during this annual period is accomp1ishab1e. The City staff continues to confer with bond underwriters on the formation of a multi-family, mortgage revenue bond. Several developers of multi-family housing have requested that the City make such a tax-exempt issue. If such an issue appears feasible to the City Council, a commitment could be made immediately for as many as 500 units, of which 100 would be low income to satisfy the Federal regulations for tax exemption. As a condition of City sponsorship, projects would have to certify low income tenancy to the City. -, The Community Housing Improvement Program will continue to rehabilitate single-family, multi-family, and mobile home units. Low income occupancy of multi-family units will be protected by rent limitation at the Section 8 Fair Market Rents and by initial income verification and semi-annual monitoring. WPC 0373X - 12 - ~-/I~~?