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HomeMy WebLinkAboutAgenda Statement 1979/07/24 Item 23, 23a Reso 9697• ~ ~ ~ C I TY OF ~HUEA VISTA ~ ~ •' ~ ~ 23,23a COUNCIL AGENDA STATEMENT Item No. For meeting of 7/24/79 Resolution ~(v Y~i Authorizing transfer of Community Development Block Grant Funds ITEM TITLE Resolution ~G~7 a) Approving an Agreement with San Diego County Housing Authority for Services Relative to Low-Rent Public Housing Program SUBMITTED BY Community Development Director ; ~ ITEM EXPLANATION (4/5TH'S VOTE REQUIRED YES NO X ) Last September, the City authorized the County Housing Authority to submit an application for 100 units of low-rent public housing for placement in the City of Chula Vista. During the interim months, the County prepared and submitted the application which HUD reviewed and finally approved. For the past six months, the County staff with frequent input from the City, has been attempting to secure sites under the guidelines established by HUD. Not only has this been frustrating, but in light of our City's volatile housing market, it has proven unworkable. HUD has been advised of the problems and agrees that changes must be made because the problems are not germane just to our City - but the "wheels of progress turn slowly." To address this problem on a to-cal level, the Housing Authority requested and received from the Board of Supervisors a $15,000 interest-free loan from San Diego County general funds. These funds will be utilized to secure options on sites suitable for the Bevel- opment of low-income housing in Chula Vista. In granting this loan, the Board made it contingent upon the City also contributing $15,000 toward the development of the program. Specifically, our funds would be utilized for appraisals, site studies and environmental reports. Our participation could be accomplished by adopting the Block Grant Transfer resolution and approving the resolution executing an agreement between the City and Housing Authority. Prior to deciding, and in accordance with the Block Grant regulations it would be appropriate for Council to solicit citizen input on this item which has been advertised (this is not a formal public hearing). Block Grant Transfer Block Grant regulations, Section 570.312, allow funds to be transferred from one activity to another within certain parameters. Staff is proposing to transfer $15,000 JTS:as Agreement X EXHIBITS - Resolution~X Ordinance Other Disolav Ad ENVIRONMENTAL DOCUMENT: Plat Notification List Attached Submitted on FINANCIAL IMPACT $15,000 of Block Grants would be transferred from the #632-6320-BG54 to the General Administration activity to the Housing Authority for $15,000 would be granted. additional appropriation of funds. STAFF RECOMMENDATION Solicit citizen input; adopt resolutions. a BOARD/COMMISSION RECOMMENDATION ~OUNCI L ACT ION ~~_ ~"'~ (continued on page 2) Housing Rehabilitation activity #632-6320-BG59. Also, a loan This would not result in an A ~ -~y-7 9 ~~~~e~ Item No. 23,23a For meeting of 7/24/79 Page Z from the Housing Rehabilitation activity to yhe General Administration activity. This transfer is within the parameters of the Block Grant regulations and will enable the City to participate in the program without appropriating additional funds. The $15,000 would not affect our current rehabilitation budget inasmuch as we have recently received a $16,000 refund due to a sale of a property rehabilitated two years ago. Agreement By adopting the resolution approving and executing the attached agreement, the following actions would occur: 1. The City will lend the Housing Authority $15,000 of Block Grant funds foVactivities relative to the implementation of a low-rent public housing program. 2. The funds will be used for necessary expenses prior to construction, in planning housing for lower-income persons. Activities will in- clude site and utility plans, preliminary cost estimates, urban design documentation, sketch drawings, and environmental studies. In providing the $15,000 loan to the Housing Authority, the City places at risk the full amount of the loan. At this time, it is not known how much, if any, of the funds will be repaid. ~It is anticipated that HUD will reimburse the Housing Authority for costs associated with the program. The agreement between the City and Housing Authority provides for the City's loan to be repaid from this reimbursement. ''~ Abq ~ SAN DIEGO COUNTY HOUSING AUTHORITY 1608 India Street, San Diego, California 92101 ~ {714) 236-4794 Clifford W. Graves Executive Director Karla Cohn Deputy Director Jennie M. Fulasz, CMC City Clerk 276 Fourth Ave. Chula Vista, CA 92010 Subject: (X) Resolution No. 9697 August 27, 1979 You will find enclosed an original signed and executed copy of the City Council document approved at the meeting of July 24, 1979. KAR COHN Housing Authority Coordinator KC:jg Enclosures 1~ ~~ Serving the titles of Chulo Vista, EI Cajon, Escondido, Del Mar, Imperial Beach, La Mesa, Oceanside, Lemon Grove, San Marcos, Vista, and Unincorporated County Areas, Coronado