1991/09/10 Community Development Agency Minutes CMJNITY DEVELOPMENT AGENCY
OF
THE CITY OF ROHNERT PARK MINUTES
September 10, 1991
The Members of the Comrrunity Development Agency of the
City of Rohnert Park met this date immediately after the
City Council meeting at approximately 9:00 p.m. in the
City Offices, 6750 Commerce Boulevard, Rohnert Park, with
Chairman Eck presiding.
Call to Order Chairman Eck called the meeting of the Community
Development Agency of the City of Rohnert Park to
order at approximately 9:00 p.m.
Roll Call Present: (4) Agency Members Hollingsworth, Hopkins,
Reilly, and Chairman Eck
Absent: (1) Agency Member Spiro
Staff present for all or part of the meeting: Executive
Director/City Manager Netter, City Attorney Flitner,
Assistant to the City Manager Leivo and City Engineer
Brust.
Approval of Minutes Upon notion by Agency Member Hollingsworth, seconded by
Agency Member Hopkins, and unanimously approved, the
minutes of August 27, 1991 were approved as submitted.
Approval of Bills Upon motion by Agency Member Hollingsworth, seconded
by Agency Member Hopkins, and unanimously approved, the
bills presented per attached list in the amount of
$674,383.51 were approved.
Acknowledging The Executive Director/Secretary's report on the posting
Exe.Dir./Sec.Report of the agenda was acknowledged.
Unscheduled Public Chairman Eck stated that in compliance with State Law,
Appearances (The Brown Act) , anyone in the audience who wished to make
a comment may do so at this time. No one responded.
I .w and Moderate Executive Director Netter said copies were provided to
cone Housing Agency Members of staff memo dated August 23 , 1991
d Commitments regarding Low and Moderate Income Housing Fund Commitments
and shared contents therein (copy attached to original set
of these minutes) . Mr. Netter responded to Agency
question that these funds are for remodeling purposes and
not for purchasing homes. Assistant to the City Mhnager
Leivo responded to Chairman Eck's inquiry regarding the
possibility of rebuilding broken/cracked driveways in
older sections of Rohnert Park originally built without
wire, that it would be necessary to design a separate new
program for this type of repair or reconstruction in order
CCONMJNITY DEVELOPMENTAGENCY/CITY OF ROHNERT PARK NQNUTES (2) Sept. 10, 1991
to utilize rehabilitation programs. City Manager Netter
confirmed a program could be set up for this type of
project using the rehabilitation program funding and a
survey could be done in the referenced area to
determine possible interest in such a program.
Burbank Affordable Executive Director Netter said copies were provided to
Housing Project on Agency of the following items regarding the Burbank
Housing Affordable Housing project on East Cotati Avenue:
1) letter dated September 4, 1991 from City of Cotati
expressing concern regarding impacts ; 2 ) Planning
Commission Notice of Public Hearing at 7 : 30 . p.m. on
September 12, 1991 to consider the application of Burbank
Housing to approve a Negative Declaration for the 50 unit
apartment rental complex; and 3) a notice from anonymous
citizens objecting to the Burbank Housing Project.
Discussion followed during which Executive Director Netter
responded to Agency inquiry that the only thing that can
be challenged on this project is the Environmental Review.
City Attorney Flitner confirmed that the length of tirre to
challenge the EIR is thirty days from the date of filing.
Assistant to the City Manager Leivo said all the funding
and grant applications have been submitted and approved as
of decision last week.
Unscheduled Public Chairman Eck asked if anyone in the audience wished to
Appearances make an appearance at this time. No one responded.
Adjournment There being no further business, Chairman Eck adjourned
the meeting at approximately 9:13 p.m.
c—_127
De S et Chairman
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VINTER-OFFICE MEMO -
TO: Mike -Harrow FROM: Carl Eric Leivo , Assistant
to the City Manager
RE: Low and Moderate Income DATE: Aug. 23 , 1991
Housing Fund Commitments
The Community Development Agency has made the following commitments
tor use of Low and Moderate Income Housing Fund moneys:
Owner Occupied Housing Rehabilitation Program
Program Administration Contract with Sonoma County Community
Development Commission
First Year ( through Sep. 30 , 1989 ) $ 45 ,000
Second Year ( through Sep. 30 , 1990 ) 47 ,700
Third Year ( through Sep. 30 , 1991 ) 50 ,863
Fourth Year ( through Sep. 30, 1992 ) 59,200
Subtotal $202 ,736
Credit ( CHRP-O maximum admin. grant ) - 50 ,000
Total $152 ,736
Housing Rehabilitation Fund Authorizations
Sep. , 1988 $ 250,000
Sep. , 1989 815 ,000
Sep. , 1990 450 ,000
Total $1 ,515 ,000
(Note : Agency committed $250 ,000 to CHRP-O Program)
Housing Rehabilitation Application Approvals and Loans Authorized
as of July 1 , 1991
Total Applications Received (63 )
Applications Approved ( 45 ) $1 , 139 ,513
Loans Approved ( 33 ) 748 , 215
Construction Contracts Awarded ( 33 ) 716 , 167
Funds Transferred 574,802
Other Low and Moderate Income Housing Fund Obligations
Innovative Housing ( Shared Living Home ) , 6/26/91 $ 24,000
Independent Living (Home for Developmentally
Disabled Adults ) , Summer, 1991 16 ,400
Burbank Housing Rental Project , Summer, 1991 390 ,000
Northbay Ecumenical Housing (Affordable
Ownership Housing Program) , Fall , 1991 250 ,000
Sonoma County Community Development Com.
(Homeless Assistance) , 1/22/91 8,000
Total $688,400
Total Low and Moderate Income Housing Fund Obligations S2 ,356,136
CITY OF ROHNERT PARK en 9 2£SoL. Na ?/- 13
COMMUNITY DEVELOPMENT AGENCY AGENDA ITEM TRANSMITTAL REPORT
Department: Executive Director's Office City Clerk Use Only
Meeting Date Held Until
Submitted By: Carl Eric Leiuol',� I �/?�/�[ ',�{, /_/_
Assistant to the Itan Number 1 IbEin Number
Executive Direc '
Agenda Title: Independent Liuing Skills/ Date of Action: / /
Aaron House Project Deadline Date for
Council Actions / /
Requested Council Action: Motion to approve Resolution No. 91 - _ authorized
the Executive Director to execute a loan agreement with Independent Lining Skills, 1
Inc./Aaron House, Inc.
Summary: On April 10, 1990, the Agency authorized the Executive Director to
execute a loan agreement with Sonoma County Independent Lining Skills, Inc./Aaron
House (ILS) in the amount of $16,450 to assist in providing housing for
developmentally disabled adults. The purpose was to pay the interest on a interim
financing loan from the State. ILS used the proceeds of the State loan to purchase
a home at 735 Bonnie Ave. The home has been rented in the interim. ILS applied to
the Department of Housing and Urban Development (HUD) for long term financing.
After much delay, HUD has decided to approve funding for the project. HUD has
reuiewed the Agency's agreement with ILS, requested changes, and has approved the
final form of the agreement. The Agency's agreement has not be executed and no
funds have been spent. HUD informed Independent Living Skills last week that it
must close by Oct. 1 . Given the delay by HUD, the interest due on the State loan
will total $23,058.69 on Sep. 24 and will increase $45.02 per day thereafter. ILS
asked the State to forgive all or part of the interest due but the State declined.
Independent Living Skills raised $5,500 in charitable contributions but has spent
$35,700 for the project. Given this cash drain and State budget cuts that affected
ILS adversely, ILS cannot pay the difference in the interest due. ILS has appealed
for help from the Agency. If the Agency does not approve assistance, Independent
Lining Skills will attend a State meeting on Thursday and ask a second time that the
difference in interest be forgiven. If this fails, the HUD subsidy would be lost.
The subsidy is essential for project feasibility. ILS will either sell the property
and pay off the State loan or the State will take title to the property.
Agency staff recommends approval of a short term, unsecured loan to ILS in an amount
not to exceed $7,000 (approximately the difference in interest due on October 1 ) .
During the six month term of the loan, ILS will seek assistance from a third party
and repay the City. This approach will help preserve the federal funds and help ILS
meet the housing needs of a special population.
CITY MANAGER'S RECOMMENDATION: ( )Consent Item ( ) Regular Item
( ) Approval ( )Public Hearing Required
( ) Not Recommended
( ) Submitted with Comment
( ) Policy Determination by Council
( ) City Comments:
:ity Manager's Signature: Date:
_=========(City Clerk Use only)====___========-- .@_____
:ouncil Action ( If Other than Requested) Vote'
RESOLUTION NO. 91-
A RESOLUTION OF THE COMMUNITY DEVELOPMENT AGENCY
OF THE CITY OF ROHNERT PARK
AUTHORIZING A LOAN TO THE
SONOMA COUNTY INDEPENDENT LIVING SKILLS, INC.
FROM THE LOW TO MODERATE INCOME HOUSING FUND
TO ASSIST IN PROVIDING HOUSING FOR VERY LOW INCOME
DEVELOPMENTALLY DISABLED ADULTS.
WHEREAS, the Sonoma County Independent Living Skills, Inc. is a
non-profit corporation seeking to develop a group home for six very
low income developmentally disabled adults; and
WHEREAS, on April 10, 1991, the Agency approved Resolution No.
90-04 which authorized the Executive Director to execute a loan
agreement with Sonoma County Independent Living Skills, Inc. in the
amount of approximately $16,450; and
WHEREAS, the proceeds of the Agency loan were to be used for the
payment of interest on interim financing provided by the State of
California; and
WHEREAS, due to delays beyond the control of Independent Living
Skills, Inc. , the interest on the interim financing provided by the
State will total approximately $23 ,450 on October 1, 1991 and
Independent Living Skills, Inc./Aaron House, Inc. has requested that
the Agency provide funds to pay the additional interest costs .
NOW THEREFORE, BE IT HEREBY RESOLVED by the Agency members of the
Community Development Agency of the City of Rohnert Park that the
Executive Director is hereby authorized to execute a six ( 6 ) month
unsecured loan agreement with Sonoma County Independent Living Skills,
Inc. or Aaron House, Inc. in the amount of approximately $7,000, with
all the necessary terms and conditions, to be funded from the low to
moderate income housing fund of the Community Development Agency of
the City of Rohnert Park.
DULY AND REGULARLY ADOPTED by the Agency members of the Community
Development Agency of the City of Rohnert Park this day of
, 1991 .
ATTEST: COMMUNITY DEVELOPMENT AGENCY
OF THE CITY OF ROHNERT PARK
►eputy City Clerk Chairman
HOLLINGSWORTH HOPKINS REILLY SPIRO ECK
AYES: NOES: ABSENT ABSTAIN