HomeMy WebLinkAbout2008/11/18 Agenda Packet
I declare under penalty of perjury that I am
employed by the City of Chula Vista In the ~~ f J':.
e of the City Clerk and that I posted tIlla~-",
nt on the bulletin board acoordIlllI ~~
re ulrementa. ~ =: =: ...:
B? J. CITY OF
tl(MOg SIGNED ULA VISTA
Cheryl Cox, Mayor
Rudy Ramirez, Councilmember Scott Tulloch, Interim City Manager
John McCa.nn, Council member Bart Miesfeld, Interim City Attorney
Jerry R. Rindone, Councilmember Donna Norris, City Clerk
Steve Castaneda, Councilmember
November 18, 2008
6:00 P.M.
Council Chambers
City Hall
276 Fourth Avenue
CALL TO ORDER
ROLL CALL: Councilmembers Castaneda, McCann, Ramirez, Rindone, and Mayor Cox
PLEDGE OF ALLEGIANCE TO THE FLAG AND MOMENT OF SILENCE
PUBLIC COMMENTS
Persons speaking during Public Comments may address the Council on any subject
matter within the Council's jurisdiction that is not listed as an item on the agenda. State
law generally prohibits the Council from discussing or taking action on any issue not
included on the agenda, but, if appropriate, the Council may schedule the topic for future
discussion or refer the matter to staff Comments are limited to three minutes.
CLOSED SESSION
Announcements of actions taken in Closed Session shall be made available by noon on
Wednesday following the Council Meeting at the City Attorney's office in accordance
with the Ralph M Brown Act (Government Code 54957.7).
1. PUBLIC EMPLOYEE APPOINTMENT PURSUA.NT TO GOVER...NMENT CODE
SECTION 54957
Title: City Manager
CONSENT CALEl'I'DAR
(Item 2)
The Council will enact the Consent Calendar staff recommendations by one motion,
without discussion, unless a Councilmember, a member of the public, or staff requests
that an item be removed for discussion. If you wish to speak on one of these irems, please
fill out a "Request to Speak" form (available in the lobby) and submit it to the City Clerk
prior to the meeting. Items pulled from the Consent Calendar will be discussed
immediately following the Consent Calendar.
2. RESOLUTION OF THE CITY C01..JNCIL OF THE CITY OF CHULA VISTA
AUTHORIZING SUBMITTAL OF A FISCAL YEAR 2009/2010 BICYCLE
TRAJ'iSPORTATION ACCOu'NT GRA.NT APPLICATION FOR INSTALLATION OF
BICYCLE LA.NES ON I}..'DUSTRIAL BOULEVARD AND L STREET AND
CERTIFYING THAT MATCHING FUNDS ARE OR WILL BE AVAILABLE
THEREFOR
The California Department of Transportation has announced available grant funding for
Fiscal Year 2009/20 I 0 projects through its competitive Bicycle Transportation Account
grant program. The grant application deadline is December 1,2008. Adoption of the
resolution authorizes the submittal of a grant application for $318,0 IS for the installation
of bicycle lanes on Industrial Boulevard between L Street and Palomar Avenue. (City
Engineer/Engineering Director)
Staff recommendation: Council adopt the resolution.
ITEMS REMOVED FROM THE CONSENT CALENDAR
PUBLIC HEARINGS
The following item(s) have been advertised as public hearing(s) as required by law. If
you wish to speak on any item, please fill out a "Request to Speak "form (available in the
lobby) and submit it to the City Clerk prior to the meeting.
3. CONSIDERil.TION FOR AME1\'DING THE FISCAL YEAR 2008/2009 A.1\iNlJAL
ACTION PLAN TO ALLOCATE $452,936 OF HOME INVESTMENT
PARTNERSHIP ACT (HOME) Fu'NDS A.ND $2,830,072 OF COMMUNITY BLOCK
GRA.NT/NEIGHBORHOOD STABILIZATION FUNDS
The purpose of the public hearing is to solicit public input on the proposed amendment to
the 2008/2009 HUD Annual Action Plan to allocate $452,936 of existing prior year
HOME entitlement funds, as well as new Neighborhood Stabilization Program funds
established by Title III of the Housing and Economic recovery Act of 2008 to various
activities. (Redevelopment & Housing Assistant Director)
Staff recommendation: Council conduct the public hearing and adopt the following
resolution:
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA
VISTA ,~MENDING THE FISCAL YEAR 2008/2009 ANNlJAL
ACTION PLA.N TO ALLOCATE $2,830,072 OF COMMUNITY
DEVELOPMENT BLOCK GRANT NEIGHBORHOOD
STABILIZA TION PROGRAM (NSP) Fu'NDS AND $452,936 OF
HOME INVESTMENT PARTNERSHIP ACT (HOME) FUNDS AND
AUTHORIZING THE SUBMITTAL OF THE AMENDMENT OF THE
ANNUAL ACTION PLAN TO THE UNITED STATES DEPARTMENT
OF HOUSING Al"'TI URBAN DEVELOPMENT (4/5THS VOTE
REQUIRED)
OTHER BUSIN""ESS
4. INTERlM CITY lVIAt'JAGER'S REPORTS
5. MAYOR'S REPORTS
6. COUNCIL COMMENTS
ADJOURt"\'MENT to the Regular Meeting of November 25, 2008 at 6:00 p.m. in the Council
Chambers.
Materials provided to the City Council related to any open-session item on this agenda are
available for public review at the City Clerk's Office, located-in City Hall at 276 Fourth Avenue,
Building 100, during normal business hours.
In compliance with the
AMERICANS WITH DISABILITIES ACT
The City of Chula Vista requests individuals who require special accommodations to access,
attend, and/or participate in a City meeting, activity, or service, contact the City Clerk's Office
at (619) 691-5041 or Telecommunications Devices for the Deaf (TDD) at (619) 585-5655 at
least forty-eight hours in advance for meetings and five days for scheduled services and
activities California Relay Service is also available for the hearing impaired.
Page 3 - Council Agenda
htto:1 iwv.;w. chula vistaca. !!QV
November 18,2008
CITY COUNCIL
AGENDA STATEMENT
~Wf:. CITY OF
~~ (HULA VISTA
11/18/08, Item 2-
ITEM TITLE:
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
C1-lDLA VISTA AUTHORIZING SUBMITTAL OF A FISCAL
YEAR 2009/2010 BICYCLE TRAt"\fSPORTATION ACCOUNT
(B'fA) GRANT APPLICATION FOR INSTALLATION OF
BICYCLE LANES ON INDUSTRIAL BOULEVARD AND L
,
STREET At"\[]) CERTIFYING THAT MATCHING FUNDS ARE OR
WILL BE A V AILABLE THEREFl' ~
DIRECTOR OF ENGINEERING~
INTERIM CITY MAt"\fAGER "':> r
4/STHS VOTE: YES D NO [g]
SUBMITTED BY:
REVIEWED BY:
SUMMARY
The California Department of Transportation (Caltrans) has announced available grant funding
for Fiscal Year 2009/2010 projects through its competitive Bicycle Transportation Account
(BTA) grant program. The grant application deadline is December 1, 2008. Staff recommends
submitting a grant application for 5318,015 for the installation of bicycle lanes on Industrial
Boulevard between L Street and Palomar Street.
ENVIRONiVIENT AL REVIEW
The Environmental Review Coordinator has reviewed the proposed project for compliance with
the California Environmental Quality Act (CEQA) and has determined that the project qualifies
for a Class 6 categorical exemption pursuant to Section 153306 (Information Collection) of the
State CEQA Guidelines. Thus, no further environmental review is necessary.
RECOMMENDATION
Council adopt the resolution.
BOARDS/COMMISSION RECOMlYIENDATION
Not applicable.
DISCUSSION
The California Department of Transportation (Caltrans) has announced available grant funding
for Fiscal Year 2009/2010 projects through its competitive Bicycle Transportation Account
(BTA) grant program. The intent of the program is to improve safety. and convenience for
bicycle commuters in the region. The BT A grant program is available to local agencies with
adopted Bicycle Transportation Plans less than five-years old. The City of Chula Vista's
2-1
11/18/08, Itern~
. Page 2 of 3
Bikeway Master Plan was adopted by Council in January 2005 and thus complies with the grant
requirements. A total of $7.2 million is anticipated to be available statewide with a maximum
award for a single project not to exceed $ 1.8 million. The grant application deadline is
December 1, 2008. Funds must be encumbered the fiscal year that they are awarded. Funds are
then available for expenditure during the succeeding two fiscal years. Staff recommends
submitting a grant application in the amount of $318,015 for installation cif bicycle lanes on
lndustrial Boulevard between L Street and Palomar Street and on L Street from lndustrial Blvd'
to Bay Boulevard If the grant is awarded, the proposed project would be added into the City's
Capital Improvement Program in Fiscal Year 2009/2010 or Fiscal Year 2010/2011.
Installation of Class 2 bike lanes on lndustrial Boulevard between L Street and Main Street are
listed as priority projects in the City's 2005 Bikeway Master Plan. The proposed project will
provide a north-south route for bicycle commuters in western Chula Vista. It will link to the
existing bike lane on Bay Boulevard at the northerly end. The City's Palomar Gateway Project,
which is funded as CIP project STL280, will include installation of a bike lane on lndustrial
Boulevard from approximately 200. feet north of Palomar Street to Ada Street. Thus the
proposed bike lane would provide a link for this project. It is also ideally situated to
accommodate bicyclists who use the Palomar Street trolley station.
The location map and cross section for the proposed bike lane are shown as Attachment 1. The
existing width of pavement is 35 feet from the curb on the west side of Industrial to the edge of
pavement on the east. An additional five-foot width of pavement is sufficient to provide bike
lanes on both sides of the street. Sufficient right of way is available. There is existing sidewalk
on the west side of the street. Adding sidewalk on the east side of lndustrial Boulevard was not
considered, both due to expense and the lack of pedestrian attractors, since the trolley right of
way is directly east oflndustrial Boulevard.
The total cost of this project is estimated at $353,350 (Attachment 2). The City is required to
provide a ten percent match of local funds. It is proposed that the City apply for a grant of
$318,015 and provide the matching funds of $35,335 from the City's Transnet allocation. Since
this project involves roadway widening for the provision of bicycle lanes, it is considered to be
included in the "Congestion Relief' portion of the allocation. Unlike maintenance projects,
which are limited to 30 percent of the annual Transnet allocation, Congestion Relief projects are
not subject to such limitation.
A second project currently under consideration is the portion of the Bayshore Bikeway between
the extension of Moss Street and Stella Street. City staff and SANDAG staff are working with
the Bayshore Bikeway group on the development of the bikeway through Chula Vista. A
Mitigated Negative Declaration (MND) is currently in process. The consultant hired by
SAc"lDAG anticipates that it will be completed in the spring of 2009. The cost is estimated to be
between $ 1.0 and $1.25 million, but this may vary based on the findings of the MND. At this
time, staff does not have sufficient information to submit a BTA grant application for the City's
portion of the Bayshore Bikeway. After the ivfuTI is complete and a more accurate cost estimate
is available, staff intends to apply for other funding.
2-2
WIS/OS, Item~
Page 3 of 3
DECISION MAKER CONFLICT
Staff has reviewed the property holdings of the City Council and has found no property holdings
within 500 feet of the boundaries of the property that is the subject of this action.
FISCAL IMPACT
There is no impact to the General Fund from this action. The estimated total project cost of
$353,350 will be met, in part, with $318,015 in Bicycle Transportation Account (BTA) Grant
funds, if awarded. The remaining required 10% match will be met with funds totaling 535,335
from the City's annual Transnet allocation. If the grant is awarded, staff will return to Council
with a recommendation to accept the funds, create a new Capital Improvement Program (CIP)
project, and appropriate the grant funds into the CIP in Fiscal Year 2009/2010.
ATTACHMENTS
1. Location map and cross-section for proposed bike lane
2. Cost estimate for Industrial Boulevard bike lane
Prepared by: Elizaberh Chopp. Senior Civil Engineer. Engineering Dept.
J:IEngineerIAGENDAICAS200811 1-18-08\BTA grant submittal. doc
2-3
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2009-10 BTA APPLICATION
INDUSTI{IAL BOULEVARD BIKE LANE
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INDUSTRIAL BOULEVARD CROSS SECTION
AFTER PROJECT IMPLEMENTATION
NO SCALE
DRAWN BY:
ROBERTO SOLORZANO
DATE: SHEET 1
OCT-2008 OF 1 SHTS.
CITY OF CHULA VISTA
INDUSTRIAL BOULEVARD CROSS SECTION
PREPARED BY:
ROBERTO SOLORZANO
.~Wi~
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.:E8~~~:
City of Chula Vista
ENGINEERING DEPARTMENT
ATTACHMENT 2
Infrastructure Services
Project Number: N/A
Project Title: Class 2 Bikeway on Industrial Boulevard, L Street to Palomar
Street
Description: Design & construct bike lanes on both directions on Industrial
Boulevard from Palomar Street to L Street, and along L Street
from Industrial Boulevard to Bay Boulevard, including: bike
lane edge stripe on northbound Industrial Blvd., bike legends
and signs.
Date
Prepared By:
Checked By:
15-0ct-08
R Solorzano
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lAC pavement (-5inches) (4 feet), Moss St. to Palomar:. I .
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iCrushed aggregate base (-12 inches), L Stto Moss . I .
51St. 223 CY I $75.00 ' $16,725.00
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10lRoad construction signs : 2 i. EA I $650.00: $1,300.00
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353,350.00
R Solorzano
BTA-Cost Eslimale~lnds BI-FY09-10.xls
2-6
3'Octcber 2008
RESOLUTION NO. 2008-
RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF CHULA VISTA AUTHORlZING
SUBMITTAL OF A FISCAL YEAR 2009/2010
BICYCLE TRfu'lSPORTATION ACCOUNT (BTA)
GRANT APPLICATION FOR INSTALLATION OF
BICYCLE LANES ON INDUSTRIAL BLVD. AND L
STREET AND CERTIFYING THAT MATCHING
FUNDS ARE OR WILL BE AVAILABLE
THEREFOR
WHEREAS, the City Council adopted a comprehensive update of the City ofChula Vista
Bikeway Master Plan (Plan) in January 2005; and
WHEREAS, the provision of a bike lane on Industrial Blvd. south of L Street has been
identified in the Plan as a priority project; and
WHEREAS, the California Department of. Transportation (CaItrans) has announced
available grant funding for Fiscal Year 2009/2010 projects through its competitive Bicycle
Transportation Account (BT A) grant program, with a grant application deadline of December I,
2008; and
WHEREAS, staff recommends the construction of a bike lane on Industrial Blvd.
between L Street and Palomar Street and on L Street between Bay Blvd. and Industrial Blvd. in
order to provide links to the Bay Blvd. bike lane and to the bike lane which will be constructed
as part of the Palomar Gateway project. The total cost of installing these facilities is estimated at
$353,350; and
/
WHEREAS, the City is required to provide a ten percent match of local funds. It is
proposed that the City apply for a grant of $318,015 and matching funds of $35,335 from the
City's Transnet allocation; and
WHEREAS, the City will have sufficient funds in the Fiscal Year 2009/2010 Transnet
allocation to commit these funds.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula
Vista authorizes submittal of a Fiscal Year 2009/2010 Bicycle Transportation Account (BT A)
grant application for installation of bicycle lanes on Industrial Blvd. and L Street and certifies
matching funds are or will be available therefor.
R.A. Hopkins
Director of Engineering
Presented by
2-7
CITY COUNCIL
AGENDA STATEMENT
~(ft- CITY OF
~~ (HULA VISTA
ITEM TITLE:
SUBMITTED BY:
REVIEWED BY:
-"
NOVEMBER 18,2008, Item 0
PUBLIC HEARING TO CONSIDER A RESOLUTION OF
THE CITY COUNCIL OF THE CITY OF CHULA VISTA
AMENDING THE FISCAL YEAR 2008/2009 ANi'<UAL
ACTION PLAN TO ALLOCATE $452,936 OF HOME
INVESTMENT PARTNERSHIP ACT (HOME) FUNDS AND
$2,830,072 OF COMMUNITY DEVELOPMENT BLOCK
GRA1'JTINEIGHBORHOOD STABILIZATION PROGRAM
(NSP) FUNDS AND AUTHORlZING THE CITY MANAGER
TO EXECUTE Al'\fY NECESSAR Y DOCUMENTS
ASSISTANT DIRECTOR OF REDEVELOPMENT &
HOUSING~~
INTERlM CITY MANAGER ~
4/STHS VOTE: YES I I NO I X I
SUMlYlARY
The purpose of the public hearing is to solicit public input on the proposed amendment to
the 2008/2009 BUD Annual Action Plan to allocate $452,936 of existing prior year HOME
entitlement funds, as well new Neighborhood Stabilization Program funds established by
Title III of the Housing and Economic Recovery Act of 2008 to various activities.
ENVIRONlVIENTAL REVIEW
The Environmental Review Coordinator has reviewed the proposed project for compliance
with t..l}e National Environmental Protection Act due to the use of Federal funds, and has
determined that the proposed proj ect is deemed exempt under the National Environmental
Protection Act (l\'EPA) Regulations.
RECOMlVIENDA TION
Council conduct the public hearing and adopt the resolution.
BOARDS/COMMISSION RECOMMENDATION
The Housing Advisory Commission reviewed the proposed amendments on November 13,
2008. Due to the required deadline of the report, a verbal sumrna..ry of the HOUSLc"lg
Advisory Commission's action will be provided at the November 18,2008 Council hearing
on this maneI.
3-1
11/18/08, Item .3
Page 2 of 5
DISCUSSION
On May 6, 2008, the City Council approved the Fiscal Year 2008/2009 Annual Action
Plan (Action Plan) for three Federal Grant Programs and authorized its submittal to the
U.S. Department of Housing and Urban Development (BUD). The Action Plan is
developed annually using significant public input and describes the City's spending
priorities. It serves as the local guide for three of BUD's grant programs [Community
Development Block Grant (CDBG), HOME Investment Partnership (HOME), and
Emergency Shelter Grant] which support activities to benefit lower income households.
In September 2008, BUD notified the City of Chula Vista that in addition to the annual
CDBG entitlement, the City is eligible . to receive approximately S2.8M in one-time
CDBG funds through the new Neighborhood Stabilization Program (NSP). The purpose
of the NSP program is to assist cities dealing with the negative effects of abandoned and
foreclosed properties. In order to receive the grant funds, the City must submit to BUD
an amendment to the existing CDBG Annual Action Plan by December 1, 2008
identifying how funds will be obligated within an 18 month period. The NSP funds may
be used to purchase foreclosed or abandoned homes/properties, rehabilitate, redevelop,
resell and/or rent these homes to help stabilize neighboring homes and neighborhoods.
The funds may not be used to assist households at risk of foreclosure.
In addition, BUD identified targeted responsibilities for state and local governments
implementing the NSP. A summary of those responsibilities are listed below:
I. Priority emphasis must be placed in targeting the funds to low- and moderate-income
areas, and other areas with the greatest need;
2. All funds must serve households less than 120 Percent of .Area Median Income
(Ai.'vU); and
3. Not less than
individuals or
income).
25 percent of the funds shall be used toward very low
families (incomes that do not exceed 50 percent of area
lllcome
median
Annual Action Plan
The City of Chula Vista's Consolidated 5 Year Plan (adopted May 10, 2005) is a
comprehensive planning document which identifies the City's needs in housing,
homelessness, and community and economic development. The Annual Action Plan
includes the allocation of funds for capital improvements, community enhancement
projects, economic development, public services, affordable housing, first-time
homebuyer programs and administration! planning activities. Any subsequent changes or
revision to the approved Annual Action Plan constitutes a formal amendment to the Plan.
Under the NSP the City must fast-track community input by utilizing web sites and a
streamlined process. In addition to the Housing Advisory Committee meeting on
November 13th, staff held public meetings to encourage input on the program, including
two general public meetings on October 16th and November 6th and an informational item
with the Chula Vista Redevelopment Corporation on Novemberl3th. A IS-day comment
period to allow for the public to review the proposed amendment and make comments or
3-2
11/18/08, Item 3
Page 3 of 5
sugaestions began on November 10th and will end on November 24,2008. As of the date
_c _
of this report, there were no comments received. Comments received after the date of
this meeting will be incorporated into the amendment.
Proposed .Amendment
The proposed amendment includes the allocation of $2.8M in NSP funds which are to be
channeled through the Community Development Block Grant Program. In order to
maximize use of the new funds, staff is prop()sing to allocate an additional $452,936 of
prior year HOME funds, totaling $3 million dollars in direct assistance to be used for the
purpose of stabilizing the housing crisis in our community.
As stated above, HUD has identified a series of criteria to identify those areas of "greatest
need" and establishing the most effective mechanisms for "stabilizing" neighborhoods.
Staff used a variety of data sources to document existing and predicted foreclosure data
as illustrated in the proposed amendment and identified areas of "greatest need" within
the City to address HUD's Target Responsibility #1. These target neighborhoods include
portions of southwest Chula Vista, Eastlake, and Otay Ranch communities, as illustrated
in Exhibit F of the attached draft 2008/2009 Annual Action Plan Amendment.
After review of the eligible uses, identification of the target neighborhoods, and public
input, staff has identified those activities that most directly impact a!1d assist declining
neighborhoods due to foreclosures, as follows:
. Target NSP funds for down payment and closing cost assistance for low- and
moderate-income buyers within the target neighborhoods. The City currently
administers a Down Payment and Closing Assistance Program funded through the
HOME program, limited to assisting households earning no more than 80% of the
AIea Median Income (AMI). The new NSP program will allow funds to be used by
families eaming up to 120% of the i\ML addressing HUD's Target Responsibility #2.
By allocating additional funds to an established City program the City will be able to
assist more families and remove up to 35 foreclosed properties from the market.
. Issue a Notice of Funding Availability (NOF A) to assist an organization in the
purchase and rehabilitation of foreclosed properties with the pW.--pose of creating
permanent rental housing opportunities for residents below 50% of the AMI
(residents oJ this income category have limited disposable income to maintain
homeownership). The partners, including but not limited to, Community Housing
Development Organizations (CHDO) and/or the Regional Continuum of Care will
assist the City iIi identifying the best method for leveraging NSP funds with other
special needs or low income housing funding opportunities. By leveraging NSP
funds with HOME funds $IM has been allocated to each income category and
thereby has exceeded the HUD requirement to assist very low income residents, with
35% of the NSP funds designated for 50% Acvl1, addressing HUD's Target
Responsibility #3.
3-3
11/18/08, Item l
Page 4 of5
Following is a summary of the proposed use ofNSP funds:
Funding Sources:
III I' II
:-. II:
Funding Uses:
~~
Administration (l0% NSP) I Program administration and I $ 283 008
monllonng (over 4 vears) ,
Assist partner in the Purchase and
Rehabilitation of foreclosed properties for
rental housing, including but not limited to Households at or below 50% of
Community Housing Development Area Median Income
Organizations (CHDO) and/or the
Regional Continuum of Care roviders:
Down Payment and Closing Cost
Assistance Program to assist in purchase
of foreclosed properties (including
rehabilitation assistance, marketing, and
program costs)
$1,000,000
, I .
Households earning at or below
120% of Area Median Income
may be eligible for a loan (further
described in the attached Action
Plan Amendment)
$2,000,000
II:
DECISION MAKER CONFLICT
Staff has reviewed the property holdings of the City Council and has found a conflict
exists, in that Councilmembers McCann and Ramirez have property holdings within 500
feet of the boundaries of the target neighborhoods which are the subject of this action.
FISCAL IMPACT
HOME Investment Partnership funds are block grant funds available to the City for
affordable housing purposes from the U.S. Department of Housing and Urban
Development. Downpayment assistance loans and related administration are an eligible
HOtvlE use. Funds totaling $452,936 will be allocated to a new non-CIP project number
for this purpose.
By December 151 the City must submit an Action Plan Amendment to identify the
expenditure of NSP Funding in the amount of $2,830,072. NSP funds will be brought
back for appropriation, once the City is notified that the substantial amendment has been
approved by HUD.
3-4
1 1/18/08, Item .3
Page 5 of 5
ATTACHMENT
1. 2008/2009 Draft Annual Action Plan Amendment
Prepared by: Angelica Davis, Project Coordinator 11, Redevelopment & Housing
Jose Dorado, Project Coordinator Il Redevelopment & Housing
Stacey Kurz, Senior Project Coordinator, Redevelopment & Housing
3-5
Attachment 1
"
, DRAFT,
,
- - .. .-' . .-, .- .
. . - . .
City of Chula Vfsta .
. Neighborhood Stabil,izatiQn. ~rogram .
Substantial Amendment (NSP)
to the'
2008/2009 Annual Action Plan
Prepared by: .
CITY OF CHULA VISTA
Redevelopment
& Housing
. .
Grant Administrators: Angelica Davis, Project Coordinator
Jose Dorado, Project Coordinator
276 Fourth Avenue; Chula Vista, CA91910 .
Telephone: (619) 691-5036
Facsimile: (619) 585-5698
www.ci.chula-vista.ca.us
.' ~ .
TABLE OF CONTENTS
A. AREAS OF GREATEST NEED ................................................................................... 1
B. DISTRIBUTION AND USES OF FUNDS ............................................................... 5
C. DEFINITIONS AND DESCRiPTION....................................................................... 7
D. VERY lOW INCOME TARGETING .....................................................................10
E. ACQUISITION AND RElOCATION.................................................................... 10
F. PUBLIC PARTICI PA TION ...................................................................................... 10
G. NSP INFORMATION BY ACTIVITY..................................................................... 11
TABLES:
1 - Summary of low- & Moderate Eligible, HUD Risk, Recorded Foreclosures, & RAP
2 - Census Tracts with Greatest Need
EXHIBITS:
A - low- and Moderate-Income Eligible Census Tracts
B - HUD High Foreclosure Risk Factor
C - Recorded Properties in Foreclosure from 6/1/08 to 9/30/08
D - Properties Registered in Chula Vista Abandoned Residential Properties Program
as of 10/15/08
E - Census Tracts with High Risk and Foreclosures:
F - Target Neighborhoods
G - Northwest Target Neighborhood
H - Southwest Target Neighborhood
I - East Target Neighborhood
3-7
First Amendment to the
2008/2009 Annual Action Plan
for Implementation of the
Neighborhood Stabilization Program
A. AREAS OF GREATEST NEED
Introduction
Chula Vista is the second largest municipality in the County of San Diego metropolitan
statistical area (MSA, also known as "San Diego-Carlsbad-San Marcos"), with an estimated
population of 231,305 residents (based on San Diego Association of Governments). The
City covers approximately 50 square miles along the San Diego Bay and is surrounded by
National City, the City of San Diego, and the unincorporated areas of the County. Two
major north-south freeways, Interstate 5 and Interstate 805 traverse Chula Vista. The area
west of the 1-805 "western Chula Vista" is built up and includes redevelopment areas. The
"eastern area" is comprised of several master-planned communities in various stages of
approval and implementation.
Foreclosure Process California
California is a non-judicial foreclosure state. The foreclosure process begins with a
recorded Notice of Default (NOD), which is a public notification' that the borrower has
fallen behind in the monthly mortgage payments. If the default is not cured, or the loan
renegotiated or replaced, the NOD is followed by a Notice of Trustee's Sales (NOTS/NDS)
after a minimum of three months. The actual Trustee's Sale can not occur less than 20 days
after public notice. The Trustee's Sale is a public auction, at which anyone may place a
bid, including the lender and any junior lien holders. The foreclosure process may be
stopped if the default is cured 5 days in advance of the sale date. If no one bids, and the
foreclosure process was not stopped, title (ownersh i p) of the property reverts to the lender
as REO property (Real Estate Owned property). The typical foreclosure process takes at
least 117 days in California.
In Chula Vista within the past four months (from June 1,2008 through September 30, 2008)
there were a total of 935 properties taken all the way through the foreclosure process.
Housing and Economic Recovery Act of 2008 (HERA)
The HER-'" statue indicates that a grantee should give priority emphasis in targeting the
funds that they receive to "those metropolitan areas, metropolitan cities, urban areas, rural
areas, low- and moderate-income areas, and other areas with the greatest need, including
those-
(A) with the greatest percentage of home foreclosures;
(B) with the highest percentage of homes financed by a subprime Mortgage related
loans; and
(C) identified by the State or unit of general local government as I ikely to face a
significant rise in the rate or home foreclosures."
In order to determine the impacted areas, or Target Neighborhoods, a variety of data
sources were reviewed.
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3-8
Low- and Moderate-Income Eligible Census Tracts
The City of Chula Vista began its needs assessment by identifying the census tract block
groups in the City with income levels at or below 120 percent 01 the Area Median Income
(AMI). For purposes of this Amendment, the low, moderate, and middle-income areas will
be noted as "LMMI". This data was provided by the U.S. Department 01 Housing and
Urban Development (HUD) and this data can be lound on the HUD website at the
lollowing web address: http://www.huduser.or<jpublications/commdevl/nsp target.html.
There are a total of 51 census tract block groups in the City and 32 of them are qualified
LMMI areas (81-120% AMI), as illustrated in Exhibit A. Exhibit A further delineates those
areas that are eligible under annual CDBG allocations at 80% of the area median Income
and below.
HUD High Foreclosure Risk Areas
Foreclosures have occurred through the City of Chula Vista, but are concentrated in certain
areas. HUD has compiled a set of data that include the following:
. Area of unemployment rate;
. Area average housing sales price decline (since the peak of the market);
. High cost loan rate (mortgages with interest-only payment options, stated Income
mortgages, mortgages with high loan to ratios, etc.);
. The predicted 18 month underlying loreclosure rate; and
. Housing units that have been vacant for at least 90 days.
The data is made available at the Census Tract Block Group (CTBG) level lor the entire
country. The data for Chula Vista was evaluated and a lO-step priority ranking lor those
CTBGs most at risk of becoming blighted due to large numbers 01 vacant, loreclosed units
was developed. Using the high cost loan rate and predicted 18-month underlying
foreclosure rates as key indicators for Chula Vista, the standard deviation was calculated for
the high cost loan rates. The standard deviation was then used as the threshold between
rank order numbers. A visual representation of these impacts is shown as Exhibit Band
summarized by census tract in Table 1.
Properties in Foreclosure
In order to establish those areas with the highest number 01 properties in the loreclosure
process, Chicago Title data was used to establish the number and locations of Notice of
Delaults (NOD), Trustee Sales (N DS), and Real-Estate Owned (REO) properties as recorded
rrom the period 01 June 1, 2008 to September 30, 2008. These impacts are illustrated in
Exhibit C and summarized by census tract in Table 1.
Abandoned Residential Property
In August 2007, the City of Chula Vista adopted an Ordinance which requires mortgage
lenders to inspect defaulted properties to confirm that they are occupied. If a property is
lound to be vacant, the program requires that the lender exercise the abandonment clause
within their mortgage contract, register the property with the City and immediately begin to
secure and maintain the property to the neighborhood standard. A visual representation 01
properties that were registered in the Abandoned Residential Property Program as 01
October 15,2008 is shown as Exhibit D and summarized by census tract in Table 1.
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3-9
TAB lE 1
Summary of low- & Moderate Eligible, HUD Risk, Recorded Foreclosures, & RAP
10 2
Y 9 8 9 26 12
5 3 14 11
0 4 8 5
5 11 28 8
d 5 28 10
1" -n 43 17
'v
5 8 27 10
11 v 11 27 12
11 7 11 29 15
Ii 10 7 34 12
18 8 13 39 15
3 3 0 6 4
6 10 8 8 26 6
6 7 v & 16 5
6 ., 2 7 4
- 0 0 14 5
9 v 8 20 12
29 10 .C 58 22
3 I] 41 20
16 17 61 22
ie . - ?( 57 27
11 13 ~;;::; 39
31 . ~ 31
35 20; ~-
"'
182 ; 14 17-
, ,
Vv 29 3,
10 i6
130 188
13401 13 /? 16 46 16
13409 22 11 10 43 17
13410 6 "- 15 24 80 27
13411 5 5
13412 8 v 9
13413 32 1~ 25
13414 -:>;::: 13 2.<1
vC
13415 8 5 2
13416 5 9
13417 10 7
'/1 50
w
(I) Census Tracts identified as eligible if any block group with!n the t,act was LMMJ.
DRAFT 2008/2009 Action Plan Amendment INSP)
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3-10
Target Neighborhoods - Areas of Greatest Need
Based on the data collected above, those census tracts that had the highest risk and
foreclosures were identified, as illustrated in Exhibit E and Table 2. They included one or
more of the following criteria:
. HU D Risk score of 7 or higher;
. 100 or more recorded properties in foreclosure; and/or
. 50 or more properties registered in Abandoned Residential Properties program.
Table 2
Census Tracts with Greatest Need
12402 28
12500 28
12600 43
12700 27
13205 14
13206 8 20
13303 16 17 61
13306 12. 27 57
13307 q 15 39
'"
13308 14 31 76
13309 24 41 uO.
13310 114 171
13311 29 37
13312 10 16
13313 130 188
13418 21 50
13419 6 35 51
Since funding is limited, further analysis of the identified census tracts was required in
order to determine which should be included as Target Neighborhoods, in order to impact
specific communities within the City. Census tracts 12500 and 12600 are largely occupied
by the undeveloped Bayfront with little residential property and were therefore excluded.
In addition, census tracts 13205 and 13206 are located along primarily industrial corridors
with little residential property. Tracts 13309 and 13312 were also excluded in order to
more directly target the southwest neighborhood west of Interstate 805 (1-805). Finally
census tracts 13311 and 13419 was excluded due to a high cost of houses in that area and
in order to focus funds more directly at the older section of Eastlake and Otay Ranch where
higher foreclosure rates exist.
The resulting focus areas are as follows, and depicted in Exhibits F - I:
1. Northwest Target Neighborhood - consisting of census tracts 12402 and 12700;
2. Southwest Target Neighborhood - consisting of census tracts 13303, 13306,
13307, and the residential portion of tract 13308; and
3. Eastern Target Neighborhood - consisting of census tracts 13418 and portions of
tracts 13310and 13311.
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3-11
B. DISTRIBUTION AND USES OF FUNDS
NSP Eligible Uses and Activities
Some of the eligible uses for the funds include but are not limited to:
. Financing mechanisms for purchase and redevelopment of foreclosed upon homes
and residential properties (e.g. soft-seconds, loan loss reserves, and shared-equity
loans for low- and moderate-income homebuyers);
. Purchase and rehabilitation of homes and residential properties that have been
abandoned or foreclosed upon, in order to sell, rent, or redevelop such homes and
properties;
. Establishing land banks for homes that have been foreclosed upon; and
. Demolition of blighted structures.
Ineligible Activities
In general NSP activities mirror eligibility requirements under CDSG. In addition, NSP
funds cannot be used for foreclosure prevention, demolition of non-blighted structures, or
purchase of properties not abandoned or foreclosed upon.
Chula Vista Selected NSP Uses and ACtivities
The City of Chula Vista has identified the selected NSP eligible uses and activities in the
table below. The funds will be used in two primary activities, plus administration:
Assist a partner in the Purchase &
Rehabilitation of abandoned or
foreclosed properties for
permanent rental housing,
including but not limited to,
Community Housing
Development Organizations
(CHDO), members of the San
Diego Regional Continuum of
Care Council, and/or affordable
housing developer
Establish financing mechanisms
for acquisition of abandoned or
foreclosed properties- Shared
Equity Down Payment and
Closi ng Cost Assistance Program
(DCCA)
Households at or
below 50% of Area
Median Income
.
Acquisition
Disposition
Relocation
Rehabi I itation
.
.
.
Households earning
up to 120% of Area
Median Income may
be eligible for a DCCA
at the subsidy levels
described in the
Financing Mechanisms
Section of this report
.
Acquisition
Rehabil itation
Appraisals
Program Delivery
Housing Counseling
.
.
.
.
Funding for the down payment and closing cost assistance will be prioritized to those areas
of greatest need, Target Neighborhoods, as' identified above.
Page.5 of 14
DRAFT 2008/2009 Action Plan Amendment INSP)
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3-12
Funding Breakdown
The City of Chula Vista will receive $2,830,072 in NSP funding. The City plans to use
SS% of this funding as a financing mechanism to assist persons at or below 120% of area
median income and 35% of the funding for acquisition/rehabilitation of
abandoned/foreclosed properties to assist persons at or below 50% of area median income.
The remaining 10% or $283,007 will be used for administration.
Note that it may be necessary to shift funding from one eligible use to another in order to
meet the expenditure deadlines. However, as required by the N5P, the percentage of
Administration funding will not exceed 10% of the allocation and at least 25% will be used
for eligible activities to benefit persons or households at or below 50% of the area median
income. An illustration of the distribution and summary of each activity follows.
Distribution of Chula Vista
NSP Funding
Adrrinistration
10% or $283,007
DCCA to
< 120% AMI
55% or
$1,547,065
Purchase &
Rehabilitation for
Rental to < 50%
AMI
35% or
$1,000,000
Financing Mechanism (DCCA) (Section 2301 (c)(3)(A))
The City plans to use 55% or $1,547,06) of this funding as a financing mechanism [Shared
Equity: Down Payment and Closing Cost Assistance (DCCA)] to assist persons at or below
120% of area median income to acquire foreclosed or abandoned residential properties.
Priority will be given to first-time homebuyers that are purchasing within the Targeted
Neighborhoods and will closely mirror the City's existing program guidelines for the Shared
Equity: Down Payment and Closing Cost Assistance Program, by providing gap financing,
as follows:
. Homebuyers with household incomes that do not exceed 120% of area median
income may borrow up to $40,000.
. Homebuyers with household incomes that do not exceed 80% of area median
income may borrow up to $70,000.
. Up to $24,999 of the total funds ($40,000 or $70,000) can be used towards home
repair and rehabilitation.
In addition to the NSP funds, the City may allocate additional HOME Investment
Partnership entitlement funds towards down payment assistance for persons at or below
80% AMI towards Down Payment and Closing Cost Assistance of REO (i.e. bank owned)
properties.
DRAFT 2008/2009 ,',ction Plan Amendment INSP)
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3-13
Acquisition/Rehabilitation & Rental for Very Low Income Tenants (Section 2301 (f)(3)(A)(ii))
There is a very low income set aside provision in HERA where at least 25% of the NSP
funds must be utilized for the benefit of families at or below 50% area median income.
The City has exceeded this requirement by identifying 35% or $1,000,000 of the NSP
funding to acquire/rehabilitate single units or multi-family units in partnership with an
organization to provide permanent rental housing. The City will issue a Notice of Funding
Availability (NOFA) to partner with such organizations, including but not limited to:
Community Housing Development Organizations (CHDOs); participating members of the
San Diego Regional Continuum of Care Council; and/or an.affordable housing developer.
Pre-Award Costs and Administration
The City may incur pre-award costs in compliance with 24 CFR Part 570.200(h).
Permissible costs incurred as of September 29, 2008 for items such as development of the
Action Plan amendment and other administrative actions necessary to receive the NSP
grant funds from HUD. In addition, post-award cost will be used for Administration and
Management of NSP funds.
C. DEFINITIONS AND DESCRIPTION
Affordable Rents: For the purposes of NSP funds, "affordable rents" shall be defined using
the LOW HOME Program Rent definition for persons below 50% of area median income,
which includes a breakdown of 30% and 50% of area median income. At no time shall
the rent exceed H U D's Fair Market Rent
The guidelines used for the determination of affordable rents under the HOME program are
fou nd at http://www.hud. ~ov/offi ces/cpd/affordab lehousinwprograms/home/
Area Income Limits: The table contains income limits for extremely low, very low, low
and moderate income, as adjusted for family size and other factors adopted and amended
from time to time by the US Department of Housing and Urban Development
2
60,550.00
69.200.00
$ 77,850.00
$ 86,500.00
$ 93.400.00
100,350.00
$107,250.00
$114.200.00
$44,250.00
$50,550.00
$56,900.00
$63.200.00
$68,250.00
I $73,30000
$78,350.00
$83,400.00
$27,650.00
$31,600.00
$35,550.00
$39,500.00
$42,650.00
$45,800.00 I
$49,00000 I
$52, I 50.00
$16,600.00
$18,95000
$2L350.00
$23,700.00
$25,600.00
$27,500.00
$29,400.00
$31,300.00
(1) U.S. Department of Housing and Urban Development, effective February 2008
DRAFT 2008/2009 Action Plan Amendment INSP)
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3-14
Blight: Calirornia Health & Safety Code Section 33030 derines "blighted area" as one that
IS:
1. Predominately urbanized;
2. Underutilized to the extent that is constitutes a serious physical and economic
burden on the community; and
3. Characterized by one or more physical or economic conditions as described and set
forth in Section 33031 to rollow
a. This subdivision describes physical conditions that cause blight:
i. Buildings in which it is unsare or unhealthy ror persons to live or work.
These conditions can be caused by serious building code violations,
dilapidation and deterioration, derective design or physical construction,
raulty or inadequate utilities, or other similar ractors.
II. Factors that prevent or substantially hinder the economically viable use or
capacity or buildings or lots. This condition can be caused by a
substandard design, inadequate size given present standards and market
conditions, lack or parking, or other similar ractors.
III. Adjacent or nearby uses that are incompatible with each other and which
prevent the economic development of those parcels or other portions of the
project area.
4. The existence or subdivided 16ts of irregular rorm and shape and inadequate size ror
proper usefulness and development that are in multiple ownership.
a. This subdivision describes economic conditions that cause blight:
I. Depreciated or stagnant property values or impaired investments, including,
but not necessarily limited to, those properties containing hazardous wastes
that require the use or agency authority as specified in Article 12.5
(commencing with Section 33459).
ii. Abnormally high business vacancies, abnormally low lease rates, high
turnover rates, abandoned buildings, or excessive vacant lots within an area
developed ror urban use and served by utilities.
iii. A lack of necessary commercial facilities that are normally found in
neighborhoods, including grocery stores, drug stores, and banks and other
lending institutions.
IV. Residential overcrowding or an excess of bars, liquor stores, or other
businesses that cater exclusively to adults that has led to problems of public
sarety and welrare.
v. A high crime rate that constitutes a serious threat to the public safety and
welrare.
Continued Affordability: For homebuyers, the City will use the standards of its HOME
Down Payment and Closing Cost Assistance Program where homebuyers repay the loan
upon transfer, sale or refinancing of the home. Such covenants are recorded against the
property. For rental the City will ensure the entire period or affordability through
monitoring, following the speciric HOME monitoring requirements as defined in 24 CFR
Part 92.
Rehabilitation Standards:
For NSP related rehabilitation efforts, the City or Chula Vista will utilize the existing
Community Housing Improvement Program (CHIP) Rehabilitation Standards. The CHIP
Rehabilitation Standards are used to prioritize work items when determining the final scope
or work. Priorities include:
DRAFT 2008/2009 ;\ction Plan Amendment INSP)
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3-15
1. First priarity is the eliminatian af Califarnia Health/Safety hazards and cade
vialatians. This may include the fallawing majar systems ar building campanents:
a. Structural: faundatians, faatings, chimneys, framing, siding, subflaars, raaf
diaphragm, retaining walls, ete.
b. Plumbing: drain, waste, and vent systems, hat and cald water pipes, drainage
systems, plumbing fixtures, bathtubs, sinks, tailets, hat water heaters, ete.
e. Mechanical: heating and air canditianing to. include any built-in, flaar,
central, wall gas ar electric un it
d. Electrical: safe adequate wiring, service panel/amperage far madern
canveniences, service entrance, receptacles and, interiar/exteriar lighting.
e. Interiar/Exteriar building campanents: flaar caverings, ranges/refrigeratars,
garbage dispasal, kitchen cabinets, caunter taps, vanities, drywall, painting,
doors, windows, weatherization, smoke alarms, security bars, hazardous
building canstructian materials, cancrete wark and fencing ete.
f. Requir.ed Lead-Based Paint remediatian.
2. Secand. priarity is the eliminatian af patential vialatians. These wark items wauld
include all af the wark mentioned abave that are nat code vialatians taday, but will
became vialatians at same time in the near future (two. years Or less). Examples
include:
a. A roof covering that has reached its life expectancy, but shaws no. sign af
leaking.
b. Flaor cavering that is excessively worn and in a reasanably shart periad af
time will no. langer be effective far the intended use.
e. Kitchen caunter taps, appliances, bath vanities ar tub surraunds which shaw
pitted ar warn surfaces but are nat bad enaugh to. classify as a code vialatian.
d. Paint that is aged near its useful life expectancy but remains a washable
surface and pravides adequate water and weather pratectian.
3. Third priarity is energy and/ar water conservatian impravements. These
canservatian impravements ar repairs include insulatian, water saving tailets ar
ather fixture, energy-efficient appliances, water heaters and xeriscape yard
improvements.
4. Fourth priarity is general property improvements. General property improvements
are those items which cannot be classified in the first three categaries but by their
inclusian enhance the exteriar ar interiar appearance af the dwelling or occupancy
ar the inhabitants. Far the mast part, general property improvements are limited to.
funding sources that allaw them. In all cases the work must be justified. "Luxury"
items are nat allowed. Same examples af general praperty improvements are:
a. Dishwashers (dishwashers may be a higher priarity depending an circumstances
i.e., medical needs or replacement of an existing non-functioning unit).
b. Upgrading flaar covering that may not be a safety or incipient vialatian.
e. Upgrading of obsalete kitchen cabinets that are in gaad to. fair canditian.
Individual rehabilitatian pragrams administered by the City may farbid the
installation ar repair af certain items. It is the respansibility af the City CHIP
Cammittee to. knaw and understand pragram regulatians and make decisians
accordingly. In additian, a Cade Enforcement Officer will be an the Cammittee to.
DRAFT 2008/2009 Action Plan Amendment (NSP)
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Page 9 of 14
3-16
insure that corrective items that are in violation of the City of Chula Vista's building
codes/ordinances as well as the Uniform Building Code, National Electric Code,
Uniform Plumbing Code and the Uniform Housing Code are corrected.
Termite Repairs - a Termite Inspection Report is required and is prepared for every
home by a licensed inspector. The report should identify any termite or dry rot
damaged wood members in the home as well as whether or not there are any active
termite infestations in the home. Any termite or dry rot damaged wood members in
the home are required to be replaced or repaired due to the health and safety risk
they pose to the structural integrity of the home. Fumigation or other treatments
recommended to eliminate any active termite infestations are required.
Ineligible Items - There are specific items that mayor may not be allowed as
eligible work and are determined by need, circumstances and individual program
parameters. These items include:
1. Room Additions
2. Patio Covers and Slabs (replacement only unless existing conditions can be
documented/justified and authorized by the CHIP Committee)
3. Landscaping (except in the case of xeriscope yard improvements)
4. Garages and Carports
5. Window Coverings
The following items are ineligible under most programs offered by the City:
1. Luxury materials, appliances, etc.
2. Replacement of items in "like new" condition early in to normal life expectancy
3. Mirrored closet doors
4. Greenhouses
5. Animal kennels/cages/runs
6. Swimming pools
7. Saunas/spas/sunken tubs
8. Outdoor fireplaces/barbecues
9. Trash compactors
10. Tennis courts
11. Wet bars
12. Security systems
D. VERY LOW INCOME TARGETING
The City of Chula Vista will allocate $1,000,000 of N5P funds for the purpose of
purchasing and rehabilitating abandoned or foreclosed upon homes or residential
properties for rental housing for individuals or families whose incomes do not exceed 50%
of the San Diego area median income. The amount of NSP funds allocated to this activity
represents 35% of the entireNSP funds, exceeding the required amount by 25%.
E. ACQUISITION AND RELOCATION
HUD requires that grantees indicate if they intend to demolish or convert low- and
moderate-income dwelling units. The City of Chula Vista does not intend to conduct these
activities.
F. PUBLIC PARTICIPATION
HUD requires that a summary of public comments received to the proposed NSP
Substantial Amendment be included in the final document submitted and that a 15.day
DRAFT 2008/2009-Action Plan Amendment (NSP)
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Page 10 of 14
3-17
public review period be provided. Any comments received and responses to those
comments will be included in the iinal substantial amendment submitted to HUD on
December 1, 2008.
The City oi Chula Vista established a web page dedicated to the NSP to advertise upcoming
meetings and provide general iniormation to the public. A summary oi additional
opportunities ior public input iollows:
1. Public Meetings: The iollowing properly noticed public meetings were held to obtain
public input on the proposed uses ior the NSP iunds:
. Public Meeting: October 16, 2008
. pubric Meeting: November 6, 2008
. Chula Vista Redevelopment Corporation: November 13,2008
. Housing Advisory Committee: November 13, 2008
. City Council Public Hearing: November 18, 2008
2. Public Review Period: A iiheen-day public comment period was held irom November
10 through November 24, 2008. Copies oi the drah Action Plan Amendment were
made available to the public at the office oi Redevelopment and Housing office as well
as the departmental website.
3. Public Comments Received: (To be included aher the end oi the public comment
period and iinal Amendment).
.
G. NSP INFORMATION BY ACTIVITY
The City will utilize NSP iunds ior Activities 1,2 and 3, as iollows:
ACTIVITY NSP-l
1. Activity Name: Partner with organization to acquire and rehabilitate ioreclosed or
abandoned properties ior purpose oi renting to persons at or below 50% AMI.
2. Activity Type: This NSP activity provides ior the purchase and rehabilitation oi
home and residential properties that have been abandoned or ioreclosed upon In
order to rent such homes and properties.
The CDBG eligible activities planned to be undertaken ior this program include:
. Acquisition, 24 CFR 570.201 (a)
. Disposition, 24 CFR 570.201 (b)
. Relocation, 24 CFR 570.201 (I)
. Eligible rehabilitation and preservation activities ior homes and other residential
properties, 24 CFR 570.202 (a)(1 )(b)(l )(2)(4)(5)(6)(7)(iv)(9)(ii)
3. CDBG National Objective: Very Low Income residents at or below 50% AMI.
4. Activity Description: This NSP activity provides ior the purchase and rehabilitation
oi residential and multi-iamily properties that have been abandoned or ioreclosed
upon in order to rent such homes and properties to low income iamilies in
accordance with NSP regulations. The City intends to issue a Notice oi Funding
Availability (NOFA) to partner not limited to a Community Housing Development
Organization (CHDO) and/or a participating member oi the 5an Diego Regional
Continuum oi Care Council to identiiy and purchase such properties while
leveraging other available iunding ior rental housing. The purchase price must be
priced at a discount consistent and appraised in accordance with HUD NSP
requirements.
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5. Location Description: Program will be city-wide with priority given to the census
tracts containing the highest existing and predicted foreclosure rates, based on data
collected in Exhibits A-E. These have been designated as neighborhoods of high
risk and include census tracts: 12402, 12700, 13303, 13306, 13307, 13418 and
portions of tracts 13308, 13310, and 13311, detailed in Exhibits "G-I" attached.
6. Performance Measures: Number of rental units created, minimum of 4-6.
7. Total Budget: $1,000,000
8. Responsible Organization: City of Chula Vista, Redevelopment & Housing; 276
Fourth Avenue, Chula Vista, California 91910; contact: Amanda Mills, Manager
Redevelopment & Housing, (619) 409-5948
9. Projected Start Date: January 1, 2009
10. Projected End Date: January 1, 2013
11. Specific Activity Requirements:
For acquisition activities, include:
. Discount rate - Fifteen percent (15%)
For financing activities, include:
. Range of interest rates - 3% deferred, secured by deed of trust
For housing related activities, include:
. Tenure of beneficiaries-rental or homeownership - Rental
. Duration or term of assistance - Minimum fifteen (15) year affordability period
. A description of how the design of the activity will ensure continued affordability-
Continued affordability ensured by recorded covenants, a minimum 15-year
affordability term
ACTIVITY NSP-2
1. Activity Name: Shared Equity: Down-Payment and Closing Cost Assistance
Program
2. Activity Type: This NSP activity provides financing mechanisms for purchase and
rehabilitation of f vacant foreclosed homes and residential properties.
The CDBG eligible activities planned to be undertaken for this program include:
. Direct homeownership assistance, 24 CFR 570.201 (n)(1)(2)(3)(4)(S)
. Eligible rehabilitation and preservation activities for homes and other residential
properties, 24 CFR 570.202 (a)(1 )(b)(1 )(2)(4)(5)(6)(7)(iv)(9)(ii)
. Housing Counseling for those seeking to take part in the program, 24 CFR
570.201 (e)
3. CDBG National Objective: LMMH (Low and Moderate-Income Households)
4. Activity Description: Down Payment and Closing Cost Assistance will be provided
to eligible homebuyers at or below 120% of the area median income, through
homebuyer and housing rehabilitation assistance to stabilize communities within
the City of Chula Vista that have the greatest need as discussed and identified wider
Section A, Areas of Greatest Need. The City plans to use 55% or $1,547,065 of this
funding as a financing mechanism (Down Payment and Closing' Cost Assistance) to
assist persons at or below 120% of area median income to acquire foreclosed or
abandoned residential properties. Priority will be given to first-time homebuyers
that are purchasing within the Targeted Neighborhoods and will closely mirror the
City's existing program guidelines for the Shared Equity: Down Payment and
Closing Cost Assistance Program, by providing gap financing, as follows:
. Homebuyers with household incomes that do not exceed 120% of area median
income may borrow up to $40,000.
DRAFT 2008/2009 Action Plan Amendment (NSP)
Narrative
Page 12 of 14
3-19
o Homebuyers with household incomes that do not exceed 80% of area median
income may borrow up to $70,000.
o Up to $24,999 of the total funds ($40,000 or $70,000) can be used towards home
repair and rehabil itation.
The Share Equity Down Payment and Closing Cost Assistance Program (DCCA)
provides assistance to eligible homebuyers through homebuyer and housing
rehabilitation assistance to stabilize communities within the City of Chula Vista that
have the greatest need as discussed and identified on pages 1-3. Specifically, the
DCCA program has been designed to meet the needs of homebuyers with very low,
low, and moderate incomes who are unable to qualify for a mortgage and/or obtain the
necessary down payment without gap financing. The home can be a single family
residence, condominium, or townhouse dwelling. The home must be vacant and
foreclosed upon or abandoned pursuant to NSP program guidelines, and must be used
as the principal residence of the homebuyer. Priority is given to eligible homebuyers
that are purchasing homes in specific target areas within the City Of Chula Vista.
This program will provide secured loans as follows:
a. The homebuyer's purchase price must be at least 5% (pursuant to HUD's NSP
program guidelines) below the current market appraised value of the property
pursuant to an appraisal dated within 60 days of the offer to purchase. The
appraisal must conform to the requirements of 49 CFR 24.103. All eligible
homebuyers must attend and complete at least 8 hours of homebuyer
counseling from a HUD-approved housing counseling agency before obtaining
a DCCA program loan. Priority will be provided to eligible first time
homebuyers with household incomes that do not exceed middle-income (120%
of area median income). The value of the home may not exceed the City's
HOME maximum purchase price. All loans will have no interest and will be
secured by a Second Deed of Trust that is second in priority after the first Deed
of Trust. All repayments to the City are deferred until sale, transfer, refinancing
or fu"1 repayment of the first mortgage. In order to meet the NSP statutory
deadlines to expedite commitment and expenditure of program funds, the City's
existing DCCA program '(Viii be updated to reflect the NSP program
requirements. The City DCCA program will include affirmative marketing,
environmental clearance,' compliance with the City's rehabilitation
requirements and inspection standards, and lead-based paint requirements
found in 24 CFR Part 35. [The City's NSP DCCA Program has also been
designed to provide the homebuyers with housing rehabilitation assistance on
an as needed basis. Eligible homebuyers may receive up to 524,999 for
rehabilitation. However, this will reduce the amount available for total DCCA
Assistance ($70,000 or $40,000)].
b. After completion of the purchase, the rehabilitation program assistance must be
used to make the home to a decent, safe, and habitable condition in accordance
with the DCCA property standards.
5. location Description: Program will be city-wide with priority given to the census
tracts containing the highest existing and predicted foreclosure rates, based on data
collected in Exhibits A-E. These have been designated as neighborhoods of high
risk and include census tracts: 12402, 12700, 13303, 13306, 13307, 13418 and
portions of tracts 13308,13310, and 13311, detailed in Exhibits "G-I" attached.
6. Performance Measures: Assist homebuyers purchase and rehabilitate 22-38
properties, dependant on levels of gap financing assistance.
DRAFT 2008/2009 Action Plan Amendment (NSP)
Narrative
Page 13 of 14
3-20
7. Total Budget: $1,547,065
8. Responsible Organization: City of Chula Vista, Redevelopment & Housing; 276
Fourth Avenue, Chula Vista, California 91910; contact: Amanda Mills, Manager
Redevelopment & Housing, (619) 409-5948
9. Projected Start Date: January 1, 2009
10. Projected End Date: January 1-, 2013
11. Specific Activity Requirements:
For acquisition activities, include:
. Discount rate - Minimum of 5% and/or consistent with HUD NSP
requirements
For financing activities, include:
. Range of interest rates - Zero percent (0%) interest deferred payment loan.
Housing related activities:
. Tenure of beneficiaries-rental or homeownership - Homeownership
. Duration or term of assistance - Minimum fifteen (15) year affordability period
. A description of how the design of the activity will ensure continued
affordability - Continued affordability of the recapture option ensured by
recorded covenants.
ACTIVITY NSP-3
1. Activity Name: Administration of the Neighborhood and Stabilization Program
2. Activity Type: Planning and Administration (CDBC 24 CFR570.206)
3. CD Be National Objective: Planning and administration activities are exempt from
national objective requirement.
4. Activity Description: Administration funds will,be utilized for staff costs associated
with the management and administration of Chula Vista's NSP program, including
planning, regulatory compliance (i.e underwriting loans, monitoring, inspections,
etc.), contract administration, and fiscal management.
5. Location Description: The City of Chula Vista Department of Redevelopment and
Housing will be the lead on this program. 276 Fourth Avenue, Chula Vista, CA
91910.
6. Performance Measures: Administration activities are exempt from this requirement.
7. Total Budget: $283,000
8. . Responsible Organization: City of Chula Vista, Redevelopment and Housing will
be the lead on this program with the following persons as administrators:
o Angelica Davis, Project Coordinator
(619) 691-5036, adavis@ci.chula-vista.ca.us
o Jose Dorado, Project Coordinator
(619) 476-5375, jdorado@ci.chula-vista.ca.us
o Stacey Kurz, Senior Project Coordinator
(619) 585-5609, skurz@ci.chula-vista.ca.us
9. Projected Start Date: January 1, 2009
10. Projected End Date: January 1,2013
11. Specific Activity Requirements: Not Applicable
DRAFT 2008/2009 Action Plan Amendment INSP)
Narrative
Page 14 of 14
3-21
EXHIBIT A
Low- and Moderate-Income Eligible Census Tracts
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DRAFT 2008/2009 Action Plan Amendment (NSP)
Exhibit A
3-22
EXHIBIT B
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DRAFT 2008/2009 Action Plan Amendment INSP)
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DRAFT 2008/2009 Action Plan Amendment (NSP)
Exhibit C
3-24
EXHIBIT D
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DRAFT 2008/2009 Action Plan Amendment (NSP)
Exhibit D
3-25
EXHIBIT E
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DRAFT 2008/2009 Action Plan Amendment (NSP)
Exhibit G
3-28
EXHIBIT H
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DRAFT 2008/2009 Action Plan Amendment (NSP)
Exhibit H
3-29
EXHIBIT I
East Target Neighborhood
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DRAFT 2008/2009 Action Plan I\mendment (NSP)
Exhibit I
3-30
Certifications
(1) Affirmatively furthering fair housing. The jurisdiction will affirmatively further fair
housing, which means that it will conduct an analysis to identify impediments to fair
housing choice within the jurisdiction, take appropriate actions to overcome the effects of
any' impediments identified through that analysis, and maintain records reflecting the
analysis and actions in this regard.
(2) Anti-lobbying. The jurisdiction will comply with restrictions on lobbying required by
24 CFR part 87, together with disclosure forms, if required by that part.
(3) Authority of Jurisdiction. The jurisdiction possesses the legal authority to carry out the
programs for which it is seeking funding, in accordance with applicable HUD regulations
and other program requirements.
(4) Consistency with Plan. The housing activities to be undertaken with NSP funds are
consistent with its consolidated plan, which means that NSP funds will be used to meet the
congressionally identified needs of abandoned and foreclosed homes in the targeted area
set forth in the grantee's substantial amendment.
(5) Acquisition and relocation. The jurisdiction will comply with the acquisition and
relocation requirements of the Uniform Relocation Assistance and Real Property
Acquisition Policies Act of 1970, as amended (42 USC 4601), and implementing
regulations at 49 CFR part 24, except as those provisions are modified by the Notice for the
,'JSP program published by HUD.
(6) Section 3. The jurisdiction will comply with section 3 of the Housing and Urban
Development Act of 1968 (12 U.S.C 1701u), and implementing regulations at 24 CFR part
135.
(7) Citizen Participation. The jurisdiction is in full compliance and following a detailed
citizen participation plan that satisfies the requirements of Sections 24 CFR 91.105 or
91.115, as modified by 'JSP requirements.
(8) Following Plan. The jurisdiction is following a current consolidated plan (or
Comprehensive Housing Affordability Strategy) that has been approved by HUD.
(9) Use of funds in 18 months. The jurisdiction will comply with Title III of Division B of
the Housing and Economic Recovery Act of 2008 by using, as defined in the NSP Notice,
all of its grant funds within 18 months of receipt of the grant.
(10) Use NSP funds :5 120 of AMI. The jurisdiction will comply with the requirement that
all of the NSP funds made available to it will be used with respect to individuals and
families whose incomes do not exceed 120 percent of area median income.
(11) Assessments. The jurisdiction will not attempt to recover. any capital costs of public
improvements assisted with CDBG funds, including Section 108 loan guaranteed funds, by
assessing any amount against properties owned and occupied by persons of low- and
moderate-income, including any fee charged or assessment made as a condition of
2008/2009 Action Plan Amendment (NSP)
Certifications
Page 1 of 2
3-31
obtaining access to such public improvements. However, if NSP funds are used to pay the
proportion of a fee or assessment attributable to the capital costs of public improvements
(assisted in part with NSP funds) financed from other revenue sources, an assessment or
charge may be made against the property with respect to the public improvements financed
by a source other than CDBG funds. In addition, with respect to properties owned and
occupied by moderate-income (but not low-income) families, an assessment or charge may
be made against the property with respect to the public improvements financed by a source
other than NSP funds if the jurisdiction certifies that it lacks NSP or CDBG funds to cover
the assessment.
(12) Excessive Force. The jurisdiction certifies that it has adopted and is enforcing: (1) a
policy prohibiting the use of excessive force by law enforcement agencies within its
jurisdiction against any individuals engaged in non-violent civil rights demonstrations; and
(2) a policy of enforcing applicable State and local laws against physically barring entrance
to or exit from, a facility or location that is the subject of such non-violent civil rights
demonstrations within its jurisdiction.
(13) Compliance with anti-discrimination laws. The NSP grant will be conducted and
administered in conformity with title VI of the Civil Rights Act of 1964 (42 USe. 2000d),
the Fair Housing Act (42 USe. 3601 '3619), and implementing regulations.
(14) Compliance with lead-based paint procedures. The activities concerning lead-based
paint will comply with the requirements of part 35, subparts A, B, J, K, and R of this title.
(15) Compliance with laws. The jurisdiction will comply with applicable laws.
Scott Tulloch, Acting City Manager
Date
2008/2009 Action Plan Amendment (NSPI
Certifications
Page 2 of 2
3-32
CHECKLIST
For the purposes of expediting review, HUD asks that applicants submit the following
checklist along with the NSP Substantial Amendment and SF-424.
jurisdiction(s):
Lead Agency
Jurisdiction Web Address:
(U RL where NSP Substantial Amendment
materials are posted)
Contents of an NSP Action Plan Substantial Amendment
NSP Contact Person:
Address:
Telephone:
Fax:
Email:
The elements in the substantial amendment required for the Neighborhood Stabilization
Program are:
A. Areas of Greatest Need
Does the submission include summary needs data identifying the geographic areas of
greatest need in the grantee's jurisdiction?
Yes~ 1,"00. Verification found on page~.
B. Distribution and Uses of Funds
Does the submission contain a narrative describing how the distribution and uses of the
grantee's NSP funds will meet the requirements of Section 2301 (c)(2) of HERA that funds be
distributed to the areas of greatest need, including those with the greatest percentage of
home foreclosures, with the highest percentage of homes financed by a subprime mortgage
related loan, and identified by the grantee as likely to face a significant rise in the rate of
home foreclosures?
Yes~ NoD Verification found on page~.
Note: The grantee's narrative must address the three stipulated need categories in the NSP
statute, but the grantee may also consider other need categories.
C. Definitions and Descriptions
For the purposes of the NSP, do the narratives include:
. a definition of "blighted structure" in the context of state or local law,
Yes ~ NoDVerification found on page ---L
. a definition of "affordable rents:
Yes~ NoD Verification found on page 7 .
. a description of how the grantee will ensure continued affordability for NSP assisted
housi ng,
Yes~ NoD Verific:ation found on page---L.
. a description of housing rehabilitation standards that will apply to NSP assisted
activities?
Yes~ NoD Verification found on page 8.
2008/2009 Action Plan Amendment (NSP)
Checklist
Page 1 of 2
3-33
D. Information By Activity
Does the submission contain information by activity describing how the grantee will use the funds,
identifying:
Activity No.1
. eligible use of funds under NSP,
Yes~ NoD Verification found on page 11' .
. correlated eligible activity under CDBG,
Yes~ NoD Verification found on page ~.
. the areas of greatest need addressed by the activity or activities,
Yes~ NoD Verification found on page 11
. expected benefit to income-qualified persons or households or areas,
Yes~ NoD Verification found on page ~.
. appropriate performance measures for the activity,
Yes~ NoD Verification found on page 12.
. amount of funds budgeted for the activity,
Yes~ 1,"00 Verification found on page ~.
. the name, location and contact information for the entity that will carry out the activity,
Yes~ NoD Verification found on page ---.l..L.
. expected start and end dates of the activity?
Yes~ NoD Verification found on page --11.
Activity No.2
. eligible use of funds under NSP,
Yes~ NoD Verification found on page ~.
. correlated eligible activity under CDBG,
Yes~ NoD Verification found on page ~.
. the areas of greatest need addressed by the activity or activities,
Yes~ NoD Verification found on page 12 .
. expected benefit to income-qualified persons or households or areas,
Yes~ NoD Verification found on page---.l..L.
. appropriate performance measures for the activity,
Yes~ NoD Verification found on page 14.
. amount of funds budgeted for the activity,
Yes[gJ ,"-JoD Verification rouna on page ~.
. the name, location and contact information for the entity that will carry out the activity,
Yes~ NoD Verification found on page ~.
. expected start and end dates of the activity?
Yes~ NoU Verification found on page ~.
Activity No.3
. eligible use of funds under NSP,
Yes~ NoD Verification found on page ~.
. correlated eligible activity under CDBG,
Yes~ Non Verification found on page -.l..'l..
. the areas of greatest need addressed by the activity or activities,
Yes~ NoD Verification found on page 14.
2008/2009 Action Plan Amendment (NSP)
Checklist
Page 2 of 5
3-34
. expected benefit to income-qualified persons or households or areas,
Yes~ NoD Verification found on page 14 .
. appropriate performance measures for the activity,
Yes~ NoD Verification found on page 14.
. amount of funds budgeted for the activity,
Yes~ NoD Verification found on page ~.
. the name, location and contact information for the entity that will carry out the activity,
Yes~ NoD Verification found on page ~.
. expected start and end dates of the activity?
Yes~ NoD Verification found on page 14 .
E. Specific Activity Requirements
Does each activity narrative describe the general terms under which assistance will be
provided, including:
if the activity includes acquisition of real property,
. the discount required for acquisition of foreclosed upon properties,
Yes~ NoD Verification found on page 11, 12 and 16
If the activity provides financin~,
Yes~ NoD Verification found on page~.
if the activity provides housin~,
. duration or term of assistance,
Yes~ NoD Verification found on page 14 and 16
. tenure of beneficiaries le.g., rental or homeownership),
Yes~ '''00 Verification found on page 14 and 16
. does it ensure continued affordabilityl
Yes~ NoD Verification found on page 8, 14 and 16
. does the applicant indicate which activities will count toward the statutory
requirement that at least 25% of funds must be used to purchase and redevelop
abandoned or foreclosed upon homes or residential properties for housing
individuals and families whose incomes do not exceed 50% of area median
income?
. Yes~ NoD Verification found on page 10
F. low Income targeting
. Has the grantee described how it will meet the statutory requirement that at least
25% of funds must be used to purchase and redevelop abandoned or foreclosed
upon homes or residential properties for housing individuals and families whose
incomes do not exceed 50% of area median income?
Yes~ NoD Verification found on page 10
. Has the grantee identified how the estimated amount of funds appropriated or
otherwise made available will be used to purchase and redevelop abandoned or.
2008/2009 Action Plan Amendment (NSP)
Checklist
Page 3 of 5
3-35
foreclosed upon homes or residential properties for housing individuals or families
whose incomes do not exceed 50% of area median income?
Yes~ NoD. Verification found on page 10
Amount budgeted $ $1,000,000
G. Demolishment or Conversion of Low- And Moderate-Income Units
Does grantee plan to demolish or convert any low- and moderate-income dwelling units?
YesD No~ (If no, continue to next heading)'
Verification found on page_.
Does the substantial amendment include:
H. Th.e number of low- and moderate-income dwelling units-i.e., :s 80% of area median
income-reasonably expected to be demolished or converted as a direct result of NSP-
assisted activities?
YesD ,'1o~. . Verification found on page _n/a_.
I. The number of '1SP affordable housing units made available to low-, moderate-, and
middle.income households-i.e., :s 120% of area median income-reasonably
expected to be produced by activity and income level as provided for in DRGR, by
each NSP activity providing such housing (including a proposed time schedule for
commencement and completion)?
Yes~ '1oD Verification found on page 12 and 13
j. The number of dwelling units reasonably expected to be made available for households
whose income does not exceed 50 percent of area median income?
Yes~ NoD Verification found on pag,e 10
H. Public Comment Period'
Was the proposed action plan amendment published via the grantee jurisdiction's usual
methods and on the Internet for no less than 15 calendar days of public comment?
Yes~ NoD Verification found on page _'
Is there a summary of citizen comments included in the final amendment?
Yes~ '1oD Verification found on page_.
I. Website Publication
The following Documents are available on the grantee's website:
. SF 424 Yes~
. Proposed NSP Substantial Amendment Yes~
. Final NSP Substantial Amendment Yes~
. Subsequent NSP Amendments Yes~
NoD
NoD.
NoD.
NoD.
Website URL:
httD:I /www.chulavistaca.aov/eitv Services/DeveloDment Services/Red evHousi na/Hous i na/H ousi
naProarams/NSP .asp
2008/2009 Action Plan Amendment (,"SPI
Checklist
Page 4 of .5
3-36
K. Certifications
The following certifications are complete and accurate:
(1) Affirmatively furthering fair housing
(2) Anti-Iobbyi ng
(3) Authority of Jurisdiction
(4) Consistency with Plan
(5) Acquisition and relocation
(6) Section 3
(7) Citizen Participation
(8) Following Plan
(9) Use of funds in 18 months
(10) Use NSP funds :5 120 of AMI
(11) No recovery of capital costs thru special assessments
(12) Excessive Force
(13) Compliance with anti-discrimination laws
(14) Compliance with lead-based paint procedures
(15) Compliance with laws '
Yes[8J
Yes[8J
Yes[8J
Yes[8J
Yes[8J
Yes[8J
Yes[8J
Yes[8J
Yes[8J
Yes[8J
Yes[8J
Yes[8J
Yes[8J
Yes[8J
Yes[8J
NoD
NoD
NoU
NoD
NoD
NoD
NoD
NoD
NOli
NoD
NoD
NoD
NoD
NoD
NoD
2008/2009 Action Plan Amendment INSP)
Checklist
Page 5 of 5
3-37
RESOLUTION NO.
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA AMENDING THE FISCAL YEAR 2008/2009
At'lNUAL ACTION PLAN TO ALLOCATE $2,830,072 OF
COMMUNITY DEVELOPMENT BLOCK GR.A..l'lT
NEIGHBORHOOD STABILIZATION PROGRAM (NSP)
FUNDS AND $452,936 OF HOME INVESTMENT
PARTNERSHIP ACT (HOME) FUNDS At'lD AUTHORIZING
THE SUBMITTAL OF THE AMENDMENT OF THE ANNUAL
ACTION PLAN TO THE UNITED STATES DEPARTMENT OF
HOUSING At'lD URBAN DEVELOPMENT
WHEREAS, on May 6, 2008, pursuant to Resolution No. 2008-121, the City Council
approved the Fiscal Year 2008/2009 Annual Action Plan for the Community Development Block
Grant (CDBG), the HOME Investment Partnership (HOME), and the Emergency Shelter Grant
(ESG) Federal Grant Programs; and
WHEREAS, in September 2008,: the United States Department of Housing and Urban
Development (HUD) notified the City that the City is eligible to receive approximately $2.8
million in one-time CDBG funds through the new Neighborhood Stabilization Program (NSP) in
addition to its annual CDBG entitlement; and
WHEREAS, in order to receive the NSP funds, the City must submit an amendment to
the Annual Action Plan to HUD by December 1,2008; and
WHEREAS, staff wishes to amend the Fiscal Year 2008/2009 Action Plan to allocate this
one-time distribution of special CDBG NSP funds in the amount of $2,830,072 and to allocate
$452,936 of prior-year HOME Funds to a new project entitled "Neighborhood Stabilization
Program".
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula Vista
as follows:
I. That it amends the Fiscal Year 2008/2009 Annual Action Plan to allocate $2,830,072 of
Community Development Block Grant (CDBG) Neighborhood Stabilization. Program
(NSP) funds and $452,936 of Home Investment Partnership Act (HOME) funds to a new
project entitled "Neighborhood Stabilization Program".
2. That it authorizes the submittal' of the amendment to the Annual Action Plan to the
United States Department of Housing and Urban Development (HUD).
3. That it authorizes the City Manager to execute any documents necessary to submit the
proposed amendment to the Annual Action Plan to HUD and to receive the Community
Development Block Grant (CDBG) Neighborhood Stabilization Program (NSP) funds.
3-38
Resolution
Page 2 of 2
Presented by
Approved as to form by
Eric Crockett
Assistant Director of Redevelopment and
Housing
'~~-IL~~ /, ~
Bart Miesfeld V '--'
Interim City Attorney
C:\Documents and Settings\joycem\Local Settings\Tcmporary Internet Files\OLK12\Action Plan Neighborhood Stabilization Program
Amendment -.doc
3-39
MEMO
~ ~ ft-.
~~
~
""""----.......
ClIT OF
CHULA VISTA
DATE:
November 18, 2008
TO:
The Honorable Mayor and City Council
Scott Tulloch, Interim City Manager 'S ) ~ /
',"oh,,,' Hooki",_ O""OW of ieo,'o"" 'Og~ ~
Request for Federal Funds - Economic Stimulus Package
VIA:
FROM:
SUBJECT:
In an effort to "jump-start" the economy, there have been repeated reports from Washington and Sacramento of a
possible Economic Stimulus Package focused on job creation through the implementation of public infrastructure
projects across the nation and the State, The Economic Stimulus program provides economic relief in a downturn
economy and an opportunity to implement tangible improvements that add to the value and long-term
sustaipability of public infrastructure systems, The goal of the Economic Stimulus Package is to quickly invest
federal, state and local funds on public infrastructure projects, which will stimulate economic growth, as well as
improve. preserve, and/or restore aging public infrastructure. f
In an efl'0I1 to expedite and coordinate public infrastructure needs within the region, SANDAG asked each of its
member cities to submit a list of infrastructure projects that could be ready for construction immediately, within
six months, and within one year. SANDAG initially requested that local agencies identify local streets and roads,
transit, and highway projects for submittal to our regional Congressionitl representatives, These lists were due to
SANDAG on Friday, November 7th The abbreviated time frame within which City staff was required to respond
to the call for projects did not allow for the standard practice of making a formal presentation to the Mayor and
City Council prior to submitting the list
In an el'I'011 to avoid being len off SANDAG' s list, City staff reviewed the infrastructure projects that had been
previously presented to, and approved by, the Mayor and City Council in workshops earlier this year and
submitted those projects to the SANDAG working group. Over $280 Million in local road and street and transit
projects, along with nearly $50 Million in regional highway projects within the City's boundaries, were submitted
to SANDAGtby the Engineering Department
As a result 01' feedback from member cities, SANDAG expanded the request for economic stimulus projects to
include sewer, storm water, and other public works projects, such as improvements to recreation, library, fire and
other public facilities -- this supplemental call for projects was due to SANDAG by Friday, November 14,2008.
A Citywide list 01' these types of public infrastructure projects was developed based upon input from City
departments and a review of the City's Capital Improvement Program -- storm drain projects were not included in
this supplemental list because a nnmber of high priority storm drain projects were already included in the initial
November 7, 2008 submittal for local streets and roads. This supplemental list added S 190 Million in new
requests for Economic Stin1l11us Package funding.
-
The following table provides a summary of funding for public infrastructure project requests submitted by
category:
Economic Stimulus Submittal
Local Streets and Roads
Transit
Highways
Sewer
Other Public Works (including facilities)
Estimated Infrastructure Funding
Requirement
Millions
$ 276.00
$ 5.50
$ 49.50
$ 20.25
$169.13
$ 520.38
Copies of the lists of public infrastructure projects submitted to SANDAG arc attached to this memo for your
reference. As you will note, the projects submittal does not include public projects that cannot feasibility be
completed within the established criteria of being ready for construction immediately, within six months, and/or
one year. Detailed project sheets including project descriptions and location maps are being developed for each
submittal and will be made available for viewing. We anticipate this list and prioritization is "work in progress"
and will be further refined based on criteria and agency funding allocations.
The League of California Cities and the U.S. Conference of Mayors requested, and were provided, the project lists
developed by City staff.
Should you have any questions about items on this list, please contact me at (619) 409-5873 or Iraesema
Quilantan at 409-5976.
c: Leah Browder, Deputy City Manager
Colleen Carnevale, Government Relations Liaison
Kirk Ammerman, Principal Civil Engineer
Frank Rivera, Principal Civil Enginccr
Home on CityWide 2000:\Engineer.\Economic Stimulus\Economic Stimulus Info Item.doc
Agency Name:
Local Streets and Roads
List of Projects
City of Chula Vista. Local Streets and Roads
11/18/2008
Project Description Construction Costs
Ready to 1 North Broadway Basin Storm Drain & Street Improvements along $4.0M
.advertise Broadway Corridor from 0 St. to N'ly City of Chula Vista Limits*
2 Glenhaven Street Improvements between 1 st Ave. & West End $1.5M
3 CMP Replacement/Rehab within RAS & Local Streets Citywide* $10M
4 Pavement Overlay on Various City RAS and Local Streets Citvwide* $20M
5 Tree Plantina & Establishment in Parkwavs Citvwide $2.5M
6 Unimproved Allev Pavinq Proqram Citywide !Desiqn-Build) $10M
7 ADA Ramps within Various RAS & Local Streets (Desiqn-Build)* $5M
Subtotal $53M
Advertise 1 Otay Lakes Rd. & E H St. WideninQ, Tel. Cvn. Rd. to RidQeback Rd.* $7M
within 2 H St. CMP Storm Drain Proiect between 1 st & 2nd Avenues* $3M
6 Months 3 Naples St. Imorovements between 3rd & Alpine Avenues $1.5M
4 Pavement Reconstruction/Overlay on RAS & Local Streets Citywide* $20M
5 CMP Replacement/Rehab within RAS & Local Streets Citvwide* $10M
6 Bonita Rd. @ Allen School Box Culvert Construction* $1M
7 ADA Ramps within RAS & Local Streets Citvwide !Desiqn-Build)* $2.5M
8 Full Street Improvements - Safe Routes to School $35M
9 Install Missina Sidewalk Citywide within RAS & Local Streets* $15M
Subtotal $95M
Advertise 1 Oxford St. Imorovements between 3rd & 1st Avenues $2.5M
within 2 2nd Ave. Improvements between Naples & Palomar Streets $2.5M
12 Months 3 Elm Ave. Improvements between Naples & Oxford Streets $1.5M
4 Pavement Reconstruction on Local Streets Citvwide $15M
5 3rd Ave. & L St. Storm Drain Construction (Tel. Cyn. Channel)* $10M
6 1st Ave. to K St. Storm Drain Construction (Tel. Cvn. Channel) $6.5M
7 ADA Ramps within Various RAS & Local Streets !DesiQn-Build)* $5M
9 Full Street Improvements - Safe Routes to School $65M
10 Install Missina Sidewalk Citywide within RAS & Local Streets* $10M
11 Broadwav Widenina/Reconstruction, Main Street to S'lv City Limits* $2.5M
12 Hilltop Dr. from East I St. to Shasta St. Drainaae Improvements $2.5M
Subtotal $128M
* RAS Regional Arterial System
J:IEngineerISANDAG\Agency Project List
Transit
List of Projects
Agency Name: City of Chula Vista - Transit Projects
11/18/2008
I
Project Description Construction Costs
Ready to 1 Citywide Bus Shelters (50 Priority Locations) $1M
advertise
Subtotal
$1M
Advertise 1 Lower Trolley Line for Grade Separation @ H St & E St. SANDAG
within 2 South Bay Expressway Caltrans
6 Months 3 Transit Center Improvements @ Southwestern College $1M
Subtotal
Advertise 1 Install 6" HP Gas in Main Street, Oleander to Maxwell, and in Maxwell to $3.5M
within Serve Chula Vista Transit, Public Works, Sweetwater Union High School
12 Months District CNG Fleets, and Others
Subtotal
$3.5M
Highways
List of Projects
Agency Name: '-'ltV OT ,-,nula ViSta - Highways Projects
11/18/2008
,
Project Description Construction Costs
Ready to
advertise
Subtotal
Advertise
within
6 Months
Subtotal
Advertise 1 SR-125/Rock Mountain Road Interchange (Design/Build) $27M
within 2 1-805 Southbound Off-Ramp Improvements, Tel. Cyn. Rd. Caltrans - $15M
12 Months 3 1-805/Main SI. Undercrossing Widening $7.5M
Subtotal
$49.5M
Local Agency SewerlWater
List of Projects
11/18/2008
.
Agency
Name:
City of Chula Vista - Local Sewer Projects
Project Description . Construction Costs
Ready to 1
2
Advertise 3
Advertise 1 Sewer Replacement - Priority 1 Projects $3.60M
within 6 2 Sewer Rehabilitation - Priority 1 Projects $5.38M
Months 3
Subtotal
1 Sewer Capacity Enhancement - Prioritv 1 Proiects $5.52M
Advertise 2 Sewer Caoacitv Enhancement - Priority 2 Proiects $1.70M
within 12 3 J StreeUMarina Parkway Sewaae Lift Staae Station Rehabilitation $2M
Months 4 Sewaae Lift Station Rehabilitation Projects $2.05M
Subtotal
$8.98M
Subtotal
$11.27M
Other Public Works
List of Projects
11/18/2008
,
Agency
Name:
City of Chula Vista - Other Public Works Projects
. , . Project Description Construction Costs
Ready to 1 All Season's NeiQhborhood Park Construction $3M
Loma Verde Recreation Center Renovation/Upgrades, including Children's $2M
Advertise 2 Front Safetv Area, Rear Patio Area for Communitv Events
3 Rohr Park Upgrades - Irrigation Improvements, Restrooms, Picnic Shelters $1.15M
& Trash Enclosure
4 Greg Rogers Park Upgrades - Irrigation Improvements and Storage, Picnic $0.9M
Shelter, and Restroom Construction
5 Park Irrigation Systems Upgrades/Modernization, Citywide $0.5M
6 Memorial Park Arbor & Water Feature Restoration $0.35M
7 Norman Park Senior Center Equipment & Community Meeting Space & $0.85M
Office Space Repair/ Replacement
8 Convert Multi-Purpose Fields from Grass to Artificial Turf in Various Parks, $25M
Citywide
9 Interim Emergency Operations Center (EOC) Upgrades $0.3M
10 Fire Station NO.4 Training Facility - Upgrade Existing Facilities $0.2M
11 Rancho Del Rey Library - Construct 30,000 SF Facility $20M
12 Chula Vista Animal Shelter Upgrades - Energy Retrofits and Expansion & $1.2M
Improvement of Animal Holding Areas
13 Third Avenue Village Promenade Improvements $3.3M
Advertise 1 Chula Vista Nature Center Permanent SewerlWater Lines $0.93M
within 2 Rohr Manor Historical BuildinQ Repair $1.5M
6 Months 3 Lauderbach Recreation Center Repair/Replacement. $3M
4 Park Restroom Replacement, City wide. $0.5M
5 Women's Club Historical BuildinQ Upgrades & ReDairs $2M
6 ADA Ramp Construction in Various City Parks $1M
7 Ballfield Liahtina UpQrades - Install Musco Green LiQhtinQ at 6 Sites $4.3M
Subtotal
$58.75M
Other Public Works
List of Projects
11/18/2008
~
8 Lauderback Recreation Center Parking Lot Expansion, including Property $13M
Acquisition
9 Relocate and Construct New Fire Station NO.5 (3-Bay Facility) $12M
10 Expand Fire Station Training Facility for "Real Time" Training $5M
11 Civic Center Library Renovation & Upgrade of Building Systems to Current $15M
Energy Standards and Public Needs
12 South Chula Vista Library - Patron Comfort Retrofits & Upgrade Building $3M
Systems to Current Energy Standards
13 Open Space Brush Clearance, Citywide $5.0M
14 Rohr Park Jogging Trail Renovation $O.5M
15 GPS Mapping of Trail Markers to Produce Maps for Trailhead Kiosks and $O.25M
Public Website
16 City Trails - Renovations & Improvements $O.5M
17 Walking/Running Trail Renovation & Improvement in Various Parks $O.1M
18 Park Parking Lot Repaving, Citywide $O.5M
19 Loma Verde Stairway Renovation for ADA Accessibility $O.25M
20 Rienstra Sports Park - Erosion Control Improvements $O.1M
21 Parks Concrete Sidewalk Renovation, Citywide $O.2M
22 Park Restrooms Construction/Renovation, Citvwide $O.3M
23 Park Trash/Recyclinq Enclosures, Citywide $O.25M
Subtotal
$69.18M
Advertise 1 Eucalyptus Park - Add Ballfields/Restore Picnic Shelters & Restroom $1.5M
2 Sunset View Park - Doq Park Construction $O.5M
within 12 3 Chula Vista Nature Center - Parking Lot Relocation, Incl. Acquisition $2.0M
Months 4 Chula Vista Visitor Center Renovation $O.2M
Reconstruct Fire Station NO.1 as a 3-Bay, 2-Story Facility with a $17M
5 Permanent Emergency Operations Center (EOC), including Equipment,
Furnishings, and Communications
6 Construct Reqional Fire Traininq Facility $20M
Subtotal
$41.2M