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Home My WebLink AboutAgenda Report - November 20, 2002 G-02 PHAGENDA TITLE: Conduct a Public Hearing to consider the reallocation of CDBG/HOME funds MEETING DATE: November 20, 2002 PREPARED BY: Community Development Director RECOMMENDED ACTION: That the City Council conduct a Public Hearing to consider the reallocation of CDBG/HOME funds to the Housing Authority of San Joaquin County. Staff is recommending that the Council adopt a resolution approving a funding reallocation in the amount of $65,363 upon the completion of the Public Hearing. BACKGROUND INFORMATION: The Housing Authority of San Joaquin County is involved in the construction and rehabilitation of residential dwellings as part of their Welfare -To -Work Program. The benefit of this program is two -fold -- they provide job training in the construction trades to local welfare recipients and they create much needed affordable housing units. The Housing Authority has also partnered with Lodi House, the local non-profit shelter which provides temporary shelter for homeless women and children, in order to provide transitional housing for those exiting the program at the Lodi House facility. To that end, the Housing Authority acquired a residential property at 719 South Washington Street which contains a 5 -unit apartment building and a separate single-family dwelling. Following that acquisition, the Housing Authority invested $95,000 in the rehabilitation of the units within the 5 -unit apartment building. Due to the extent of the repairs of those first 5 apartment units, there was no further funding available for the rehabilitation of the single-family dwelling, which would require extensive structural repair and complete renovation. The Housing Authority applied for CDBG/HOME funds for the 2002/03 Program year in order to complete that rehabilitation. Upon review of that application, it was determined that the amount of funding requested was excessive for the rehabilitation of an existing unit. It has been a policy of our Housing Rehabilitation Program t0 demolish the existing dwelling and rebuild a new dwelling rather than invest that amount of money into the existing dwelling. We communicated to the Housing Authority that they could re -work their project to include the demolition of the existing dwelling and reconstruction of a new dwelling unit and then resubmit their application for the possible reallocation of funds. The Housing Authority has returned with this request for $82,363.00 for that project. The Housing Authority is proposing a panelized dwelling unit using structural insulated panels to lower the operating cost of the unit and speed up the construction timeframe. Furthermore, the project will demonstrate innovative construction systems that provide energy conservation benefits. r APPROVED:` H. Dixon Flynn -- eCity Manager HA Reallocation Public Hearing.doc 11/11/02 This project addresses two of the stated goals in the City's General Plan which are to provide a range of housing types and densities for all economic segments of the community while emphasizing high quality developments. It also states that the City's policies, regulations and procedures shall, while assuring the attainment of city objectives, not add unnecessarily to the cost of producing housing. A review of the project costs (Exhibit A) finds that there are some costs which are not eligible for funding, such as Administration ($10,000), and plans, permits and fees ($7,000). Taking those costs from the requested amount, it is recommended that the Council approve the reallocation of $65,363.00 of HOME funds from the Down Payment Assistance Program. Upon review of the application it was determined that between CDBG and HOME funds, this was the best source to reallocate the funds from. With the application, the Housing Authority has also provided a letter of support from Lodi House, which is attached (Exhibit B). FUNDING: 2002/03 HOME Funds - Down Payment Assistance Program *onradt�Ba Community Development Director Prepared by Joseph Wood, Community Improvement Manager KBfjw Attachments cc: City Attorney Housing Authority HA Reallocation Public Hearing.doc Washington Street House Price Breakdown Plans 600 Permits 4,200 School Fees 2,200 Title 24's 225 Demolition 8,000 Quick Build Wall System 5,600 Interior Walls 2,450 Panel Installation Labor 4,800 HVAC 4,200 Rough Plumbing 3,200 Rough Electrical 2,800 Windows 1,000 Quick Build Roof System 4,800 Drywall 4,200 Painting 3,300 Doors 1,400 Cabinets 3,800 Counter Tops 1,200 Finish Lumber 600 Finish Labor 800 Hardware 500 Finish Plumbing 1,100 Finish Electrical 400 Floor Coverings 2,700 Appliances 800 Administration 10,000 Contingency 7 $ 82,363 EXHIBIT "A" AN 801 S. Washington St. Lodi, Ca. 95240 (209) 334-6346 (209) 334-6527 (Fax) Antonio Pizano San Joaquin County Housing Authority 448 S. Center St. Stockton, CA 95203 January 16, 2002 Dear Mr.Pizano, Board of Directors Frank Sasaki, President Ken Smith, Vice President Judy Clemons, CFO Sherry DuBois, Secretary Jola Bormer Carol Farron Janet Hamilton Keith Land Kenneth Mull en, M.D. Executive Director Suzanne Gay We are pleased and excited about your decision to rehabilitate the house at 719 S. Washington St. for the use of Lodi House. As a shelter for homeless women and children, we appreciate your support in helping us reach out to those in need. It has been a problem finding housing in Lodi for our low- income families, so we are thrilled to know that this house will be available in the future. Thank you for thinking of US. Sincerely, - �— Suzann Clay Executive Director EXHIBIT "B" RESOLUTION NO. 2002-236 A RESOLUTION OF THE LODI CITY COUNCIL APPROVING THE REALLOCATION OF COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG)/HOME FUNDS TO THE HOUSING AUTHORITY OF SAN JOAQUIN COUNTY WHEREAS, the Lodi City Council held a public hearing on November 20, 2002 to consider the reallocation of CDBG/HOME funds for the 2002103 program year to the Housing Authority of San Joaquin County for the rehabilitation of a single-family residence located at 719 South Washington Street; and WHEREAS, it is the policy of the City's Housing Rehabilitation Program to demolish the existing dwelling and rebuild a new dwelling rather than invest in an existing dwelling; and WHEREAS, the Housing Authority has resubmitted a proposal to demolish the existing dwelling and reconstruct a new dwelling unit, and has requested funds in the amount of $82,363.00 be allocated for this construction; and WHEREAS, following a review of the project costs, some costs ($17,000.00) were found to be ineligible for funding, i.e., Administration, plans, permits and fees, so staff recommends that the City Council approve a reallocation in the amount of $65,363.00 to the Housing Authority of San Joaquin County for the project. NOW, THEREFORE, BE IT RESOLVED, that the City Council of the City of Lodi does hereby approve the reallocation of CDBG/HOME funds for the 2002/03 program year to the Housing Authority of San Joaquin County for the construction of a single- family residence located at 719 South Washington Street in the amount of $65,363.00. Dated: November 20, 2002 1 hereby certify that Resolution No. 2002-236 was passed and adopted by the City Council of the City of Lodi in a regular meeting held November 20, 2002, by the following vote: AYES: COUNCIL MEMBERS — Hitchcock, Howard, Land, Nakanishi, and Mayor Pennino NOES: COUNCIL MEMBERS — None ABSENT: COUNCIL MEMBERS — None ABSTAIN: COUNCIL MEMBERS — None SUSAN J. BLACKSTON City Clerk 2002-236 CITY OF LORI NOTICE OF PUBLIC HEARING 4 Date: November 20, 2002 Carnegie Forum s 305 West Pine Street, Lodi Time: 7:00 p.m. For information regarding this notice please contact: Susan J. Blackston City Clerk Telephone: (209) 333-6702 NOTICE OF PUBLIC HEARING NOTICE IS HEREBY GIVEN that on Wednesday, November 20, 2002 at the hour of 7:00 p.m., or as soon thereafter as the matter may be heard, the City Council will conduct a Public Hearing at the Carnegie Forum, 305 West Pine Street, Lodi, to consider the following matter: a) Request to reallocate Community Development Block GrantlHOME Program funds to the Housing Authority of San Joaquin County. Information regarding this item may be obtained in the office of the Community Development Department Director, 221 West Pine Street, Lodi, Califomia. All interested persons are invited to present their views and comments on this matter. Written statements may be filed with the City Clerk at any time prior to the hearing scheduled herein, and oral statements may be made at said hearing. If you challenge the subject matter in court, you may be limited to raising only those issues you or someone else raised at the Public Hearing described in this notice or in written correspondence delivered to the City Clerk, 221 West Pine Street, at or prior to the Public Hearing. By Order of the Lodi City Council: Susan J. Blackston City Clerk Dated: November 6, 2002 Approved as to form: Randall A. City Attorney JACITYURKTORMS\NOTCOD.DOC 1117102 �yOF� 9<<Foa Please immediately confirm receipt of this fax by calling 333-6702 CITY OF LODI P.O. BOX 3006 LODI, CALIFORNIA 95241-1910 ADVERTISING INSTRUCTIONS SUBJECT: NOTICE TO SET PUBLIC HEARING FOR NOVEMBER 20, 2002 TO REQUEST TO REALLOCATE COMMUNITY DEVELOPMENT BLOCK GRANT/HOME PROGRAM FUNDS TO THE HOUSING AUTHORITY OF SAN JOAQUIN COUNTY PUBLISH DATE: SATURDAY, NOVEMBER 9, 2002 TEAR SHEETS WANTED: Three (3) please SEND AFFIDAVIT AND BILL TO: SUSAN BLACKSTON, CITY CLERK City of Lodi P.O. Box 3006 Lodi, CA 95241-1910 DATED: Thursday, November 7, 2002 ORDERED BY: -'Z 1 C PATRICIA OCHOA ADMINISTRATIVE CLERK JACQUELINE L. TAYLOR DEPUTY CITY CLERK JENNIFER M. PERRIN DEPUTY CITY CLERK Faxed to the Sentinel at 369-1084 at M2--7 (time) on!! / l/O ` date) 41— (pages) Kelsey Phoned to confirm receipt of all pages at (tie) 9 Jac Tricia Jen (initials) formsladvins.doc DECLARATION OF POSTING NOTICE OF PUBLIC HEARING REQUEST TO REALLOCATE COMMUNITY DEVELOPMENT BLOCK GRANT/HOME PROGRAM FUNDS TO THE HOUSING AUTHORITY OF SAN JOAQUIN COUNTY On Wednesday, November 6, 2002 in the City of Lodi, San Joaquin County, California, a copy of the Notice of public hearing to consider the reallocation of Community Development Block Grant/HOME funds to the Housing Authority of San Joaquin County (attached hereto, marked Exhibit "A") was posted at the following four locations: Lodi Public Library Lodi City Clerk's Office Lodi City Hall Lobby Lodi Carnegie Forum I declare under penalty of perjury that the foregoing is true and correct. Executed on November 7, 2002 at Lodi, California. Patricia Ochoa Administrative Clerk formsWecpost.doc ORDERED BY: SUSAN J. BLACKSTON CITY CLERK Jacqueline L. Taylor Deputy City Clerk Jennifer M. Perrin Deputy City Clerk °9oaa`a DECLARATION OF MAILING LETTER REGARDING THE REALLOCATION OF COMMUNITY DEVELOPMENT BLOCK GRANT/HOME FUNDS TO THE HOUSING AUTHORITY OF SAN JOAQUIN COUNTY On November 7, 2002 in the City of Lodi, San Joaquin County, California, I deposited in the United States mail, envelopes with first-class postage prepaid thereon, containing a letter regarding the reallocation of Community Development block grant/HOME funds to the Housing Authority of San Joaquin County, marked Exhibit "A'; said envelopes were addressed as is more particularly shown on Exhibit "B" attached hereto. There is a regular daily communication by mail between the City of Lodi, California, and the places to which said envelopes were addressed. I declare under penalty of perjury that the foregoing is true and correct. Executed on November 7, 2002, 2002, at Lodi, California. ORDERED BY: JACQUELINE L. TAYLOR DEPUTY CITY CLERK PATRI IA O HOA ADMINISTRATIVE CLERK Forms/decmail.doc ORDERED BY: SUSAN BLACKSTON CITY CLERK, CITY OF LODI JENNIFER M. PERRIN DEPUTY CITY CLERK Edward Sido Dircclor of Asset Managcmcnl 448 S. Center Slrect Slockton, CA 95203 Karen Slcvcns SIC Community Mvclopnlcnt Dcpamucnl 1810 C. I lawlton Ave. Slocklon,CA 95205-6232 CITY OF LODI CITY HALL, 221 W. PINE ST. P. O. BOX 3006 LODI, CALIFORNIA 95241-1910 Community Development CITY OF LODI CITY HALL, 221 W. PINE ST. P. O. BOX 3006 LODI. CALIFORNIA 95241-1910 Community Development Edward Sido Director of Asset Management 448 S. Center Street ' Stockton, CA 95203 Karen Stevens San Joaquin County Community Development Dept. 1810 E. Hazelton Avenue Stockton, CA 95205-6232