HomeMy WebLinkAboutAgenda Statement 1979/08/07 Item 27CITY OF CHl1LA V I STA
COUNCIL AGENDA STATEMEiVT
Item No~.,_
For meeting of 8/7/79
ITEM TITLE Resolution ~ ,a~Approving Contract with Anthony Ciotti for CHIP Services
SUBMITTED BY Community Development Director
ITEM EXPLANATION
(4/5TH'S VOTE REQUIRED YES. NO,~)
At the July 24, 1979 Council meeting, staff recommended approval of a new contract
with Mr. Ciotti for services relative to the City's Housing Improvement Program (CHIP).
Included in the recommendation was a salary increase of $300 per month based vn an
increase in Mr. Ciotti's responsibilities and the expansion of the CHIP program. How-
ever, it was Council's opinion that additional information would be necessary prior to
their making a decision on the new contract. Specifically, Council requested informa-
tion detailing and clarifying Mr. Ciotti's responsibilities and an analysis of compa-
rable salaries.
Program Review and Responsibilities
The City's CHIP program operates at three levels: 1) Block Grant administration;
2) code enforcement; and, 3) loan administration and processing. Block Grant adminis-
tration is the responsibility of Community Development staff. Staff provides liaison
with HUD, negotiates lending agreements with financial institutions, prepares housing
rehabilitation sections for Block Grant, establishes eligible neighborhoods, monitors
program progress and prepares CHIP performance report for HUD.
The code enforcement element of CN~IP has the responsibility of inspecting all housing
units in areas designated by the City Council as code enforcement neighborhoods. Cur-
rently, there are three such neighborhoods in the program. Inspections are undertaken
by a building inspector whose salary is paid with Block Grant funds. The inspections
are made to ensure that all housing units meet building code requirements and are safe
and decent. Before a homeowner can receive a CHIP loan, the unit must be inspected.
The homeowner must correct all violations. Block Grant funds loaned at below market
interest rates of 3% and 7% are available for this purpose.
JTS:as
Agreement X
Resolution X
EXHIBITS
Ordinance
(continued on page 2)
Plat Notification List
Other ENVIRONMENTAL DOCUMENT: Attached Submitted on
FINANCIAL IMPACT
Funds for this program have been appropriated in the Community Development Block Grant
approved budget (632-6320-BG77). By adopting this resolution, Mr. Ciotti's salary
will increase from $1,000 to $1,300 per month. Fringe benefits are not included in
this contract.
STAFF RECOMMENDATION
Based on the expansion of the CHIP program and the corresponding increase in Mr. Ciotti's
responsibilities, it is my recommendation to adopt the resolution approving the attached
agreement. The Director of Building & Housing also concurs.
BOARD/COMMISSION RECOMMENDATION
COUNCIL ACTION ~~,.
j ~' 7- 79
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Item No. 27
For meeting of
8/7/79
Page 2
Mr. Ciotti's Responsibilities
Mr. Ciotti's primary responsibilities include promoting the CHIP program, assisting
homeowners in preparing bank applications, determining applicant eligibility, veri-
fying income, counseling homeowners in their relationships with contractors, assist-
ing homeowners in obtaining bids, preparing loan packages for presentation to City
Loan Committee, inspecting repairs to ensure compliance with contract and homeowner
satisfaction, and recommending changes to CHIP operating manual. In addition, Mr.
Ciotti attends seminars relative to housing rehabilitation and assists staff with
the development of new rehabilitation programs such as the City's Mobilehome Rehabil-
itation and Replacement Program. Mr. Ciotti spends 40 hours per week on CHIP. As
a result of his efforts, 87 units have been rehabilitated totaling $450,000.
Salary Analysis
A second request by Council was for more information relative to salaries in the field
of housing rehabilitation. Towards this aim, staff made inquiries to cities within
the County that are currently operating a rehabilitation loan program.
When considering an appropriate salary level, Council should be aware of the following:
1. The cities surveyed operate their programs with a full-time regular
employee who receives a fringe benefit package equal to 20 - 30% of
the monthly salary. Mr. Ciotti is a contract employee who does not
receive any fringe benefits.
2. h1r. Ciotti's responsibilities are unique in that there does not exist
a Chula Vista classification with comparable duties. The position
requires a combination of skills in building inspection, contracts
administration and financial administration.
3. During the past 2z years, Mr. Ciotti has been responsible for pro-
cessing 58 loans at a cost of approximately $500 per loan. 6Jhen
staff was reviewing the Section 312 Rehabilitation Loan Program,
the average cost fora consultant to process a loan was $1,000 per
loan.
MONTHLY IAJAGES ANALYSIS
Monthly Middle Fringe Benefits Total Salary
Agency Salary Range Rate @20% and Benefits
La Mesa $1,395 - $1,816 $1,537 $307 $1,844
Oceanside $1,200 - $1,585 $1,324 $265 $1,589
San Diego County $1,431 - $1,739 $1,578 $315 $1,893
National City $2,862 N/A $572 $3,434
Carlsbad NOT CO P1 PARABL E
Escondido "
Vista "
Lemon Grove "
Imperial Beach
San P1a rcos
Del Mar "
Coronado
E1 Cajon
City of San Diego "
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Item No. 27
For Meeting of
8/7/79
Page 3
In considering comparable agencies, La Mesa, Oceanside and San Diego County have staff
whose responsibilities are similar to Chula Vista. National City and San Diego operate
programs that are significantly different and a comparison of their programs would not
be valid. The remaining cities do not have a program or receive assistance from the
County to operate a rehabilitation program.
Based on the above data, those agencies operating a program similar to Chula Vista
have an average middle rate of $1,480 monthly and an average middle rate of $1,775
when fringe benefits are included. Mr. Ciotti's proposed salary is below the average
by $180 per month and $475 below the average when fringe benefits are included.
Salary Salary & Benefits
County Average $1,480 $1,775
Mr. Ciotti's 1,300 1,300
Difference $ 180 $ 475
By approving a salary of $1,300, Council would be setting the rate at 13.8% below the
middle average for cities in the County. Personnel has reviewed the above data and,
based on this information, the salary recommended would fit acceptably within the
overall salary plan of the City.
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