HomeMy WebLinkAboutReso 2010-059RESOLUTION NO. 2010-059
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA APPROVING AN AGREEMENT BETWEEN
THE CITY OF CHULA VISTA AND COMMUNITY
HOUSINGWORKS FOR THE IMPLEMENTATION OF THE
DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT
NEIGHBORHOOD STABILIZATION PROGRAM (NSP);
AUTHORIZING THE CITY MANAGER TO EXECUTE THE
AGREEMENT AND ANY NECESSARY DOCUMENTS TO
OBLIGATE NSP FUNDS; AND AUTHORIZING THE CITY
MANAGER TO REALLOCATE UNOBLIGATED NSP FUNDS
WITH EXISTING NSP NON-PROFIT
CONTRACTORS/DEVELOPERS, INCLUDING THE SAN
DIEGO COMMUNITY HOUSING CORPORATION, TO
ACQUIRE AND REHABILITATE PROPERTIES UNDER THE
NSP PROGRAM
WHEREAS, the City of Chula Vista will receive $2,830,072 of which $1,547,064 is
earmarked to assist low-income and moderate-income households purchase foreclosed properties
from the Neighborhood Stabilization Program (NSP); and
WHEREAS, in January, 2009, Housing and Urban Development (HUD) approved the
City's Amended 2008/2009 Annual Action Plan containing the proposed activities to be funded
with NSP funds, including providing soft second financial assistance for low-income and
moderate-income first-time homebuyers to purchase foreclosed properties in tazget
neighborhoods; and
WHEREAS, on September 1, 2009, Council approved the submittal of an amendment
of the fiscal yeaz 2008/2009 Action Plan for NSP funds to "expand" the target areas of greatest
need; utilize such funds in the "expanded" areas of greatest need; add a NSP eligible use to
purchase and rehabilitate homes that have been abandoned or foreclosed upon, in order to sell
such homes and properties; and authorized staff to reallocate funds as necessary; and
WHEREAS, in September, 2009, HUD approved the expansion of homebuyer activities
to include the Acquisition and Rehabilitation of properties for resale to eligible first-time
homebuyers; and
WHEREAS, the City Council of the City of Chula Vista wishes to approve the
agreement between the City of Chula Vista and Community HousingWorks to acquire and
rehabilitate foreclosed properties for the purposes of re-selling them to eligible low-income and
moderate-income households within NSP eligible target areas; and
WHEREAS, staff identified that if unobligated NSP funds were still available after
December 2009, a portion of such funds could be reallocated to partner with existing NSP non-
profit contractors/developers to acquire and rehabilitate properties for the purpose of renting or
reselling to qualified NSP participants under the NSP program and, in so doing, ensure the City
is able to timely meet grant obligation requirements by September 2010; and
Resolution No. 2010-059
Page 2
WHEREAS, the City had approved an agreement with the San Diego Community
Housing Corporation (SDCHC) in October 2009, to provide permanent rental housing for low-
income households within NSP eligible tazget azeas and, as such, SDCHC is an existing NSP
non-profit contractor/developer with whom the City could also partner to acquire and rehabilitate
properties under the NSP program.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF CHULA VISTA
HEREBY DOES RESOLVES as follows:
(1) The agreement between the City of Chula Vista and Community HousingWorks to
acquire and rehabilitate foreclosed properties for the purposes of re-selling them to
eligible low-income and moderate-income households within NSP eligible tazget azeas is
approved; and
(2) The City Manager is authorized to execute the agreement and any documents necessary
to secure the City's financial interests in the above stated agreement with Community
HousingWorks; and
(3) The City Manager is further authorized to reallocate unobligated NSP funds with existing
non-profit NSP contractors/developers, including the San Diego Community Housing
Corporation, to acquire and rehabilitate properties under the NSP program.
Presented by
Approved as to form by
~,J ~ ,~~~
s D. Sandoval 1 ^ . Mie
Manager 1 i ttorney
Resolution No. 2010-059
Page 3
PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista,
California, this 23rd day of Mazch 2010 by the following vote:
AYES: Councilmembers: Bensoussan, Castaneda, Ramirez, Thompson and
Cox
NAYS: Councilmembers: None
ABSENT: Councilmembers: None
Cheryl Cox„ ay r
ATTEST:
A ,Yll~u`tG3_ f~ /~~~/4.c.~
Donna R. Norris, CMC, City Clerk
STATE OF CALIFORNIA
COUNTY OF SAN DIEGO
CITY OF CHULA VISTA
I, Donna R. Norris, City Clerk of Chula Vista, California, do hereby certify that the foregoing
Resolution No. 2010-059 was duly passed, approved, and adopted by the City Council at a
regular meeting of the Chula Vista City Council held on the 23rd day of March 2010.
Executed this 23rd day of March 2010.
i' t.Lc~
Donna R. Norris, MC, City Clerk