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HomeMy WebLinkAboutMINUTES - 09182018 - (2)    CALENDAR FOR THE BOARD OF COMMISSIONERS BOARD CHAMBERS ROOM 107, COUNTY ADMINISTRATION BUILDING 651 PINE STREET MARTINEZ, CALIFORNIA 94553-1229 KAREN MITCHOFF, CHAIR JOHN GIOIA, VICE CHAIR CANDACE ANDERSEN DIANE BURGIS FEDERAL D. GLOVER FAY NATHANIEL JANNEL GEORGE-ODEN JOSEPH VILLARREAL, EXECUTIVE DIRECTOR, (925) 957-8000 PERSONS WHO WISH TO ADDRESS THE BOARD DURING PUBLIC COMMENT OR WITH RESPECT TO AN ITEM THAT IS ON THE AGENDA, WILL BE LIMITED TO TWO (2) MINUTES. The Board Chair may reduce the amount of time allotted per speaker at the beginning of each item or public comment period depending on the number of speakers and the business of the day.  Your patience is appreciated.   A closed session may be called at the discretion of the Board Chair. Staff reports related to open session items on the agenda are also accessible on line at  www.co.contra-costa.ca.us. ANNOTATED AGENDA & MINUTES September 18, 2018                 1:30 P.M. Convene and call to order.   CONSIDER CONSENT ITEMS: (Items listed as C.1 through C.3 on the following agenda ) - Items are subject to removal from the Consent Calendar by request from any Commissioner or on request for discussion by a member of the public. Items removed from the Consent Calendar will be considered with the Discussion Items.   DISCUSSION ITEMS   D. 1 CONSIDER Consent Items previously removed.    There were no items removed from consent.   September 18, 2018 Contra Costa County Housing Authority 1 D. 2 PUBLIC COMMENT (2 Minutes/Speaker)    There were requests to speak at public comment.     D.3   CONSIDER accepting report on the status of the required relocation process for the residents of the Las Deltas public housing development in North Richmond as part of the conversion and replacement of those units under the Rental Assistance Demonstration program.       ACCEPTED the report and DIRECTED staff to provide a status report on the demolition of the large Las Deltas building and relocation efforts at the next meeting of the Housing Authority.   Commissioner John Gioia AYE Commissioner Candace Andersen AYE Commissioner Diane Burgis AYE Commissioner Karen Mitchoff AYE Commissioner Federal D. Glover ABSENT Commissioner Jannel George-Oden AYE     D.4   CONSIDER accepting report on the final results for the Section 8 Management Assessment Plan, as amended by the U.S. Department of Housing and Urban Development, for the Housing Authority of the County of Contra Costa for the period of April 1, 2017 to March 31, 2018.          Commissioner John Gioia AYE Commissioner Candace Andersen AYE Commissioner Diane Burgis AYE Commissioner Karen Mitchoff AYE Commissioner Federal D. Glover ABSENT Commissioner Jannel George-Oden AYE     D.5   CONSIDER accepting report on the award of HUD Mainstream vouchers for non-elderly persons with disabilities to the Housing Authority from the U.S. Department of Housing and Urban Development.          Commissioner John Gioia AYE Commissioner Candace Andersen AYE Commissioner Diane Burgis AYE Commissioner Karen Mitchoff AYE Commissioner Federal D. Glover ABSENT   September 18, 2018 Contra Costa County Housing Authority 2 Commissioner Jannel George-Oden AYE ADJOURN    Adjourned today's meeting at 2:05 p.m.   CONSENT ITEMS:     C.1   APPROVE and AUTHORIZE the Housing Authority Executive Director to execute a contract with Resource Environmental, Inc., the lowest responsive and responsible bidder, in the amount of $320,000 to abate and demolish six buildings in the Las Deltas Public Housing Development, and to take related actions to ensure performance under the contract. (100% Federal funds)          Commissioner John Gioia AYE Commissioner Candace Andersen AYE Commissioner Diane Burgis AYE Commissioner Karen Mitchoff AYE Commissioner Federal D. Glover ABSENT Commissioner Jannel George-Oden AYE     C.2   RECEIVE the Housing Authority of the County of Contra Costa’s investment report for the quarter ending June 30,2018.          Commissioner John Gioia AYE Commissioner Candace Andersen AYE Commissioner Diane Burgis AYE Commissioner Karen Mitchoff AYE Commissioner Federal D. Glover ABSENT Commissioner Jannel George-Oden AYE     C.3   ACCEPT the 1st Quarter (Unaudited) Budget Report of the Housing Authority of the County of Contra Costa for the period ending June 30, 2018.          Commissioner John Gioia AYE Commissioner Candace Andersen AYE Commissioner Diane Burgis AYE Commissioner Karen Mitchoff AYE Commissioner Federal D. Glover ABSENT   September 18, 2018 Contra Costa County Housing Authority 3 Commissioner Jannel George-Oden AYE   GENERAL INFORMATION   Persons who wish to address the Board of Commissioners should complete the form provided for that purpose and furnish a copy of any written statement to the Clerk.   All matters listed under CONSENT ITEMS are considered by the Board of Commissioners to be routine and will be enacted by one motion. There will be no separate discussion of these items unless requested by a member of the Board or a member of the public prior to the time the Commission votes on the motion to adopt. Persons who wish to speak on matters set for PUBLIC HEARINGS will be heard when the Chair calls for comments from those persons who are in support thereof or in opposition thereto. After persons have spoken, the hearing is closed and the matter is subject to discussion and action by the Board. Comments on matters listed on the agenda or otherwise within the purview of the Board of Commissioners can be submitted to the office of the Clerk of the Board via mail:  Board of Commissioners, 651 Pine Street Room 106, Martinez, CA 94553; by fax:  925-335-1913; or via the County’s web page: www.co.contracosta.ca.us, by clicking “Submit Public Comment” (the last bullet point in the left column under the title “Board of Commissioners.”) The County will provide reasonable accommodations for persons with disabilities planning to attend Board meetings who contact the Clerk of the Board at least 24 hours before the meeting, at (925) 335-1900; TDD (925) 335-1915. An assistive listening device is available from the Clerk, Room 106.  Copies of taped recordings of all or portions of a Board meeting may be purchased from the Clerk of the Board.  Please telephone the Office of the Clerk of the Board, (925) 335-1900, to make the necessary arrangements. Applications for personal subscriptions to the monthly Board Agenda may be obtained by calling the Office of the Clerk of the Board, (925) 335-1900. The monthly agenda may also be viewed on the County’s internet Web Page: www.co.contra-costa.ca.us The Closed session agenda is available each month upon request from the Office of the Clerk of the Board, 651 Pine Street, Room 106, Martinez, California, and may also be viewed on the County’s Web Page.    AGENDA DEADLINE: Thursday, 12 noon, 12 days before the Tuesday Board meetings. September 18, 2018 Contra Costa County Housing Authority 4 RECOMMENDATIONS ACCEPT report on the status of the required relocation process for the residents of the Las Deltas public housing development in North Richmond as part of the conversion and replacement of those units under the Rental Assistance Demonstration (RAD) program. BACKGROUND As part of the RAD conversion of the Las Deltas public housing units, HACCC is required to assist the families living at Las Deltas to find new, affordable places to live. All of the residents living at Las Deltas at the time of conversion, must be assisted under the laws and regulations set forth in the Uniform Relocation Act, California Relocation Assistance Law and the California Relocation Assistance and Real Property Acquisition Guidelines. It is expected that most, if not all, of the tenants at Las Deltas will move to another public housing property or will relocate using a housing choice voucher. At least one family has expressed interest in buying their unit. HUD regulations require that prior to the commencement of any relocation actions by a housing authority, the Board of Commissioners and HUD must approve the relocation plan. On July 19, 2016 the Board approved the procurement of relocation services from Overland, Pacific & Cutler (OPC) to provide relocation services to the residents of Las Deltas for a fee not to exceed $301,753 and on June 13, 2017 the Action of Board On: 09/18/2018 APPROVED AS RECOMMENDED OTHER Clerks Notes:See Addendum VOTE OF COMMISSIONERS AYE:John Gioia, Commissioner Candace Andersen, Commissioner Diane Burgis, Commissioner Karen Mitchoff, Commissioner Jannel George-Oden, Commissioner ABSENT:Federal D. Glover, Commissioner Contact: 925-957-8028 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: September 18, 2018 Joseph Villarreal, Executive Director By: June McHuen, Deputy cc: D.3 To:Contra Costa County Housing Authority Board of Commissioners From:Joseph Villarreal, Housing Authority Date:September 18, 2018 Contra Costa County Subject:UPDATE ON THE PROGRESS OF RELOCATION SERVICES FOR RESIDENTS OF LAS DELTAS IN SUPPORT OF THE RENTAL ASSISTANCE DEMONSTRATION (RAD) PROGRAM GRANT September 18, 2018 Contra Costa County Housing Authority 5 BACKGROUND (CONT'D) > Board approved the Relocation Plan for Las Deltas, which included a total estimated relocation budget of approximately $1.3 million. Under relocation law, HACCC is required to provide residents who must move from Las Deltas as a result of the conversion of that property out of the public housing program with the following: Advisory Services. This includes referrals to comparable and suitable replacement homes, the inspection of replacement housing to ensure that it meets established standards, help in preparing claim forms for relocation payments and other assistance to minimize the impact of the move. Payment for Moving Expenses. Las Deltas residents may choose either a: Payment for their Actual Reasonable Moving and Related Expenses, or Fixed Moving Expense and Dislocation Allowance, or A combination of both, based on circumstances. Replacement Housing Assistance. If they do not wish to continue in public housing or transfer to the voucher program, Las Deltas residents can receive this assistance in order to rent, or if they prefer and are able, to buy a comparable or suitable replacement home. To do this they may choose either: Rental Assistance, or Purchase Assistance. OPC is responsible for the majority of the advisory services by providing personal search assistance to the families who are moving and will also help ensure that HACCC meets its legal obligations surrounding relocation. The vast majority of the replacement housing assistance has been, and will continue to be, provided through the public housing and housing choice voucher programs. Relocation of all remaining Las Deltas families actively began in October, 2017. OPC worked with the moving families to identify units, coordinate security deposit payments, transfer existing utilities and to secure new utilities. OPC also coordinated their physical moves with movers where requested, or provided fixed fees to families who chose to move their own possessions. To date, 51 families have been relocated and another 30 are either still searching for a new unit or are awaiting a transfer to a public housing unit. Of the 51 relocated households, 28 moved to public housing units at other properties, 22 moved using a voucher, including 7 of whom moved to other jurisdictions, and 1 family moved out on their own, leaving subsidized housing outright. Of the 30 remaining households, 11 are waiting to move to other public housing units when they become available and 19 have vouchers and continue to search for a unit. Chad Wakefield, Program Manager with Overland Pacific & Cutler, Inc., will review the attached presentation with the Board. FISCAL IMPACTSeptember 18, 2018 Contra Costa County Housing Authority 6 FISCAL IMPACT Funding of approximately $1.3 million is provided in the Housing Authority's (HACCC) current budget for the cost of the relocation consultants and all direct relocation costs that will be provided to families. Of this amount, $1 million is targeted to direct relocation costs for the families of Las Deltas. CONSEQUENCE OF NEGATIVE ACTION None. Information item only. CLERK'S ADDENDUM ACCEPTED the report and DIRECTED staff to provide a status report on the demolition of the large Las Deltas building and relocation efforts at the next meeting of the Housing Authority. ATTACHMENTS Las Deltas Relocation Presentation September 18, 2018 Contra Costa County Housing Authority 7 Las Deltas Relocation Program & Updates Chad Wakefield, PMP, SR/WA, R/W-RAC Program Manager September 18, 2018 1 September 18, 2018 Contra Costa County Housing Authority 8 2 September 18, 2018 Contra Costa County Housing Authority 9 Overview of Presentation Federal & State Relocation Requirements RAD Requirements OPC’s Process Progress to Date Challenges 3 September 18, 2018 Contra Costa County Housing Authority 10 Legal Requirements Relocation of Tenants At Las Deltas Triggers Both Federal Uniform Relocation Act & California Relocation Assistance Law and Guidelines 4 September 18, 2018 Contra Costa County Housing Authority 11 URA & California Requirements Prepare a Relocation Plan Provide Advisory Services Provide Notice of Rights and Benefits Compensate for ALL Move Related Actual, Reasonable and Necessary Out of Pocket Costs Provide Referral to Comparable Housing Unit Inspect Housing to Ensure it is Decent, Safe, & Sanitary Document Your Efforts Provide an Appeals Process 5 September 18, 2018 Contra Costa County Housing Authority 12 Additional California Requirements Governing Body Adoption/Approval of Relocation Plan Plan Can be Appealed to HCD 6 September 18, 2018 Contra Costa County Housing Authority 13 Advisory Services Community meetings (give notice and take notes) 1:1 Interviews ideally in tenant’s home Informational statements/notices Other required Notices FAQs (not required but highly recommended) Provide an available and knowledgeable team at reasonable hours 7 September 18, 2018 Contra Costa County Housing Authority 14 RAD Relocation Requirements Right to Return Can’t relocate until RCC received unless you have prior approval from transaction manager Relocation plan due before or with financing plan where plan is required Can transfer RAD assistance to other properties (which is the case with Las Deltas) 8 September 18, 2018 Contra Costa County Housing Authority 15 OPC’s Relocation Process PlanningGeneral Notices Resident Meetings Resident Interviews Write Plan Approve Plan ExecutionReady Tenants Eligibility Notices Eligibility Meetings Locate New Housing Conduct Moves Prepare/Process Claims Distribute Payments Maintain Files Throughout ClosingSpecialist Update File Manager Review File Auditor Review File Corrective Actions If Needed Final Sign Offs and Return Files Monitor and Control 9 September 18, 2018 Contra Costa County Housing Authority 16 OPC’s Key Points of Emphasis Constant Contact and Communications With Households Constant Referrals to New Housing Constant Counseling to Assist Household Make a Good Decision for Them Careful Documentation 10 September 18, 2018 Contra Costa County Housing Authority 17 Progress to Date Total Las Deltas Families Eligible for Relocation 81 Total Families That Have Moved 51 Moved to other public housing 28 Moved using voucher within HACCC jurisdiction 15 Moved using voucher outside of HACCC jurisdiction 7 Moved and left HACCC programs 1 Total Families Pending Move 30 Waiting to move to other public housing unit 11 Already issued voucher, searching for a unit 19 Waiting for voucher to be issued 0 11 September 18, 2018 Contra Costa County Housing Authority 18 Challenges Availability of voucher accepting units Developing trust with the residents Uncertain timelines informing resident decisions Key Strategy to Overcome All: 1.Consistent content of communication 2.Consistent presence and offer of assistance 3.Persistence 12 September 18, 2018 Contra Costa County Housing Authority 19 Contact Information Chad Wakefield, OPC Tel 480.435.0623 cwakefield@opcservices.com LinkedIn www.linkedin.com/in/chadwakefieldopc www.opcservices.com 13 September 18, 2018 Contra Costa County Housing Authority 20 RECOMMENDATIONS CONSIDER report on the final results for the Section 8 Management Assessment Plan (SEMAP), as amended by HUD, for the Housing Authority of the County of Contra Costa (HACCC) for the period of April 1, 2017 to March 31, 2018. BACKGROUND HUD utilizes SEMAP to evaluate a public housing authority’s (PHA) management of the HCV program. SEMAP scores are based on a combination of electronic data reported to HUD at regular intervals by PHAs and self-reported scores based on internal audits conducted by PHA staff for 13 different program management indicators. On May 22, 2018, the Board approved HACCC’s SEMAP submission of 125 out of 140 possible points for fiscal year 2018. This translates to a SEMAP score of 89%, which is a standard performer. However, an internal worksheet used by staff to score SEMAP mistakenly included the 5 point deconcentration bonus as a mandatory element, thus placing the 5 bonus points in the denominator of 140 total SEMAP points. HUD's final rating removed the bonus points from the denominator and showed HACCC's actual score as 125 out of 135 possible points for a SEMAP score of 93%. This makes HACCC a high performer for fiscal year 2018. Action of Board On: 09/18/2018 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF COMMISSIONERS AYE:John Gioia, Commissioner Candace Andersen, Commissioner Diane Burgis, Commissioner Karen Mitchoff, Commissioner Jannel George-Oden, Commissioner ABSENT:Federal D. Glover, Commissioner Contact: 925-957-8028 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: September 18, 2018 Joseph Villarreal, Executive Director By: June McHuen, Deputy cc: D.4 To:Contra Costa County Housing Authority Board of Commissioners From:Joseph Villarreal, Housing Authority Date:September 18, 2018 Contra Costa County Subject:HIGH PERFORMER FINAL RATING FOR THE U. S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT (HUD) SECTION EIGHT MANAGEMENT ASSESSMENT PLAN (SEMAP) FOR FISCA September 18, 2018 Contra Costa County Housing Authority 21 BACKGROUND (CONT'D) > HUD's final scoring letter is attached. FISCAL IMPACT HUD provides over $105 million annually to serve low-income families in Contra Costa County via the Housing Choice Voucher (HCV) rental assistance program. Failure in SEMAP could lead to a loss of some or all of this funding. CONSEQUENCE OF NEGATIVE ACTION None. Information item only. CLERK'S ADDENDUM ATTACHMENTS SEMAP High Performer Letter September 18, 2018 Contra Costa County Housing Authority 22 September 18, 2018Contra Costa County Housing Authority23 September 18, 2018Contra Costa County Housing Authority24 RECOMMENDATIONS ACCEPT report on the award of HUD Mainstream vouchers for non-elderly persons with disabilities to the Housing Authority from the U.S. Department of Housing and Urban Development. BACKGROUND HUD's Mainstream program provides funding to assist non-elderly persons with disabilities who are: • Transitioning out of institutional or other segregated setting; • At serious risk of institutionalization; • Homeless; or • At risk of becoming homeless. HACCC's primary partners in the Mainstream program will be the Housing Consortium of the East Bay (HCEB) and the Health, Housing and Homeless Services Department of Contra Costa County (H3). Te current capacity and record of running successful housing programs for disabled persons of all three partners was a significant factor in the award of these vouchers. The grant start date is still being negotiated with HUD, but it is expected that housing assistance will first be available January 1, 2019. Action of Board On: 09/18/2018 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF COMMISSIONERS AYE:John Gioia, Commissioner Candace Andersen, Commissioner Diane Burgis, Commissioner Karen Mitchoff, Commissioner Jannel George-Oden, Commissioner ABSENT:Federal D. Glover, Commissioner Contact: 925-957-8028 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: September 18, 2018 Joseph Villarreal, Executive Director By: June McHuen, Deputy cc: D.5 To:Contra Costa County Housing Authority Board of Commissioners From:Joseph Villarreal, Housing Authority Date:September 18, 2018 Contra Costa County Subject:AWARD OF HUD MAINSTREAM VOUCHERS FOR NON-ELDERLY PERSONS WITH DISABILITIES September 18, 2018 Contra Costa County Housing Authority 25 BACKGROUND (CONT'D) > While all of HACCC's programs are available to serve the homeless via the normal application process, Mainstream is one of 7 that HACCC operates that are targeted largely or solely to homeless individuals and families. The programs, and the current number of participants in each, are as follows: Shelter Plus Care 323 VASH 226 VASH (HACCC) (142) VASH (Pittsburg) (84) PBV 66 Lakeside Apartments (11) Garden Park Apartments (27) Idaho Apartments (28) Total 615 New Mainstream 55 Moving On 50 Committed Total 720 FISCAL IMPACT The U.S. Department of Housing and Urban Development (HUD) has awarded the Housing Authority (HACCC) $896,234 in budget authority for a 12-month term to support 55 new vouchers under the Mainstream voucher program. CONSEQUENCE OF NEGATIVE ACTION None. Informational item only. CLERK'S ADDENDUM ATTACHMENTS Mainstream Award Letter September 18, 2018 Contra Costa County Housing Authority 26 In administering the Mainstream Voucher Program, your agency must follow the Housing Choice Voucher regulations in 24 CFR part 982. To ensure that the occupying families are recorded properly in the Information Management System/Public and Indian Housing Information Center (IMS/PIC), you must record Mainstream vouchers on line 2n of the form HUD-50058 (Family Report) and complete rent calculations on lines 12a though 12aj, as applicable. Additional information regarding the Mainstream Voucher Program can be found at U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT WASHINGTON, DC 20410-5000 OFFICE OF PUBLIC AND INDIAN HOUSING Dear Executive Director: September 5 , 2018 Danielle Bastarache Deputy Assistant Secretary for Public Housing and Voucher Programs Sincerely I am pleased to notify you that your public housing agency (PHA) has been awarded $896,234 in budget authority for a 12-month term to support 55 Mainstream housing choice vouchers from the 2017 Mainstream Voucher Program, Notice of Funding Availability (NOFA), FR-6100-N-43. The proposed effective date of the award is November 1, 2018. With your direct effort, these vouchers will help provide non-elderly persons with disabilities immediate access to permanent housing. Please contact your local HUD field office or contact HUD by email at mainstreamvouchers@hud.gov if you have any questions or need any other information. COUNTY OF CONTRA COSTA HSG AUTH 3133 ESTUDILLO ST P O BOX 2759 MARTINEZ, CA 94553 CA011 The proposed effective date is the projected date that your PHA will begin leasing the Mainstream housing choice voucher award. This proposed effective date is only a projection and can be modified. To change the effective date, you must contact your Financial Analyst, at the Financial Management Center (FMC), within 10 business days from the date of this letter. If you do not contact your Financial Analyst to request a change to the proposed effective date, funding under this award will be distributed to your agency in 1/12 distributions starting on November 1, 2018. Please note effective dates prior to September 1, 2018 are not permitted. Once funding for the award has been fully processed, the FMC will provide your agency with a revised Annual Contributions Contract that reflects the obligation of funds and monthly disbursements will be scheduled. http://www.hud.gov/program_offices/spm/gmomgmt/grantsinfo/fundingopps/fy17mainstreamvouchers www.hud.gov espanol.hud.gov September 18, 2018 Contra Costa County Housing Authority 27 RECOMMENDATIONS APPROVE contract with Resource Environmental, Inc. (Resource), the lowest responsive and responsible bidder, in the amount of $320,000 to perform lead base paint and asbestos abatement and demolish 6 apartment buildings (36 total units) at the Las Deltas public housing development in North Richmond; and AUTHORIZE the Executive Director of the Housing Authority of the County of Contra Costa (HACCC), or his designee, to execute a contract with Resource; and AUTHORIZE the Executive Director, or his designee, to sign any escrow agreements prepared for the Project to permit direct payment of retentions into escrow, or the substitution of securities for monies withheld by the Housing Authority, to ensure performance under the contract, pursuant to Section 22300 of the Public Contract Code. BACKGROUND The six buildings selected for demolition at the Las Deltas development have been identified as a significant hazard by both the Contra Costa County Fire Protection District and HACCC. As a result of the vacancies caused by the RAD conversion of Las Deltas, there has been an increase in the incidents of breaking and entering into units at Las Deltas, primarily by homeless persons. Since the power is off in Action of Board On: 09/18/2018 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF COMMISSIONERS AYE:John Gioia, Commissioner Candace Andersen, Commissioner Diane Burgis, Commissioner Karen Mitchoff, Commissioner Jannel George-Oden, Commissioner ABSENT:Federal D. Glover, Commissioner Contact: 925-957-8028 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: September 18, 2018 Joseph Villarreal, Executive Director By: June McHuen, Deputy cc: C.1 To:Contra Costa County Housing Authority Board of Commissioners From:Joseph Villarreal, Housing Authority Date:September 18, 2018 Contra Costa County Subject:CONTRACT WITH RESOURCE ENVIRONMENTAL, INC. TO ABATE AND DEMOLISH 6 BUILDINGS IN THE LAS DELTAS PUBLIC HOUSING DEVELO September 18, 2018 Contra Costa County Housing Authority 28 BACKGROUND (CONT'D) > most of the vacant units at Las Deltas, it has become more common to see people use propane tanks or to use what are essentially campfires inside vacant units to cook and stay warm. The Fire Protection District is most concerned about these six buildings because they are two-story, connected units and it is difficult for them to determine if they have to rescue anyone trapped inside. The remaining units at Las Deltas are either single-story duplexes or individual units. If funding permits, HACCC will likely pursue demolition of other buildings on the main campus at Las Deltas. At this point, staff expect to receive the final environmental clearances for the demolition in mid-September and also approval from HUD for the demolition. Once these are both in hand, demolition will proceed. HACCC received two bids to provide the abatement and demolition services at Las Deltas. The bids received were as follows: Resource Environmental. Inc. $320,000 Asbestos Management Group of California, Inc.$390,000 Resource submitted the lowest responsive and responsible bid at $320,000 and staff recommends that the Board approve award of this contract to Resource Environmental, Inc. FISCAL IMPACT Funding for this Project is provided through HACCC’s annual Capital Fund grant from the United States Department of Housing and Urban Development. Funding for this project is provided for in HACCC's current budget. CONSEQUENCE OF NEGATIVE ACTION Should the Board of Commissioners elect not to award the contract to Resource, HACCC will need to expend staff time and resources to rebid the project. A delay may also jeopardize the funding allocated to the project. Finally, such action would also delay the needed demolition of these potentially hazardous buildings. CLERK'S ADDENDUM September 18, 2018 Contra Costa County Housing Authority 29 RECOMMENDATIONS RECEIVE the Housing Authority of the County of Contra Costa’s investment report for the quarter ending June 30, 2018. BACKGROUND California Government Code (CGC) Section 53646 requires the Housing Authority of the County of Contra Costa (HACCC) to present the Board of Commissioners with a quarterly investment report that provides a complete description of HACCC’s portfolio.The report is required to show the issuers, type of investments, maturity dates, par values (equal to market value here) and the current market values of each component of the portfolio, including funds managed by third party contractors. It must also include the source of the portfolio valuation (in HACCC’s case it is the issuer). Finally, the report must provide certifications that (1) all investment actions executed since the last report have been made in full compliance with the Investment Policy and; (2) HACCC will meet its expenditure obligations for the next six months. (CGC 53646(b)). The state-mandated report has been amended to indicate the amount of interest earned and how the interest was allocated. The amended report is attached. In summary, HACCC had $31,767.79 in interest earnings for the quarter ending June 30th, 2018. That interest was earned within discrete programs and most of the interest earned is available only for use within the program which earned the interest. Further, interest earnings may be restricted to specific purposes Action of Board On: 09/18/2018 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF COMMISSIONERS AYE:John Gioia, Commissioner Candace Andersen, Commissioner Diane Burgis, Commissioner Karen Mitchoff, Commissioner Jannel George-Oden, Commissioner ABSENT:Federal D. Glover, Commissioner Contact: 925-957-8028 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: September 18, 2018 Joseph Villarreal, Executive Director By: June McHuen, Deputy cc: C.2 To:Contra Costa County Housing Authority Board of Commissioners From:Joseph Villarreal, Housing Authority Date:September 18, 2018 Contra Costa County Subject:INVESTMENT REPORT FOR THE QUARTER ENDING JUNE 30, 2018 September 18, 2018 Contra Costa County Housing Authority 30 within a given program. The Housing Choice Voucher Program reserve as of 12/31/2013 held in cash and investments was transitioned to HUD held program reserve account. The only restricted funds remaining in investments for the Housing Voucher program is for the Family Self Sufficiency escrow account. Non-restricted interest earnings within both the voucher and public housing programs must be used solely within those programs, but such interest earnings can be used for a wider range of purposes within the individual programs. The interest earned in the State and Local fund can be used for any purpose within HACCC’s scope of operations. The interest earned for the quarter ending June 30th, 2018 is shown below. A more detailed report is attached. September 18, 2018 Contra Costa County Housing Authority 31 BACKGROUND (CONT'D) Public Housing Housing Choice Voucher Fund Central Office State & Local Unrestricted Interest Earned Restricted Interest Earned Unrestricted Interest Earned Unrestricted Interest Earned Unrestricted Interest Earned $10,238.83 $1,306.38 $11,132.78 $5,328.00 $3,761.80 FISCAL IMPACT None. For reporting purposes only. CONSEQUENCE OF NEGATIVE ACTION Should the Board of Commissioners elect not to accept the investment report it would result in an audit finding of non-compliance and could ultimately affect future funding from the U.S. Department of Housing and Urban Development (HUD). CLERK'S ADDENDUM ATTACHMENTS Investment Report September 18, 2018 Contra Costa County Housing Authority 32 September 18, 2018Contra Costa County Housing Authority33 September 18, 2018Contra Costa County Housing Authority34 September 18, 2018Contra Costa County Housing Authority35 September 18, 2018Contra Costa County Housing Authority36 RECOMMENDATIONS ACCEPT the 1st Quarter (Unaudited) Budget Report for the period ending June 30, 2018. BACKGROUND This report is intended to provide the Board of Commissioners with an overview of the financial position of the Housing Authority of the County of Contra Costa (HACCC) for the 1st quarter period ending 6/30/18. The report begins with a summary of HACCC’s overall fiscal standing at the end of the quarter. The overall numbers are then broken down by individual funds. Each fund overview includes a brief program summary and an explanation of the variance between budgeted and actual performance. AGENCY OVERVIEW: Budget Report HACCC's overall budget position for the quarter ending 6/30/18 is shown in the chart below. Activity in Section 8 Voucher and Housing Certificate programs had the most significant impact on HACCC's budget. The variance increases in revenue of $1,204,826 is a result of Portability activities in the Housing Voucher Program ($1,059,651) and a minor increase in Federal Funding in the Housing Certificate Program. Action of Board On: 09/18/2018 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF COMMISSIONERS AYE:John Gioia, Commissioner Candace Andersen, Commissioner Diane Burgis, Commissioner Karen Mitchoff, Commissioner Jannel George-Oden, Commissioner ABSENT:Federal D. Glover, Commissioner Contact: 925-957-8028 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: September 18, 2018 Joseph Villarreal, Executive Director By: June McHuen, Deputy cc: C.3 To:Contra Costa County Housing Authority Board of Commissioners From:Joseph Villarreal, Housing Authority Date:September 18, 2018 Contra Costa County Subject:FY 2018-2019 1st QUARTER BUDGET REPORT September 18, 2018 Contra Costa County Housing Authority 37 BACKGROUND (CONT'D) > The variance increase in expenditures of $827,172 was a direct result of Housing Assistance Payments (HAP) made in the Housing Voucher Program for portability activities. HACC Agency Summary Annual Budget 1st Quarter Actual 6/30/18 Remaining FY Estimate Annual Total Variance Revenue $ 136,171,937 $ 35,247,810 $ 102,128,953 $ 137,376,763 $ 1,204,826 Expenditures $ 137,140,246 $ 35,112,233 $ 102,855,185 $ 137,967,418 $ (827,172) $ (968,309)$ 135,577 $ (726,232)$ (590,655) The net change to reserves were an increase of $135,577. Unrestricted reserves increased by a total of $242,250 in the two primary HUD programs, Housing Vouchers $147,628 and Public Housing $106,432. Analysis of Agency Reserves Beginning Balance 4/1/18 (Unaudited) 1st Quarter ending 6/30/18 (Unaudited) Reserve Balance period ending 6/30/18 (Unaudited) Total Reserves $ 11,338,334 $ 135,577 $ 11,473,911 Restricted Reserves Housing Choice Vouchers $ -0-$ -0-$ -0- Public Housing & Cap. Funds $ -0-$ -0-$ -0- State & Local Programs $ 1,939,821 $ (106,673)$ 1,833,148 Housing Certificates Programs $ -0-$ -0-$ -0- Total Restricted Reserves $ 1,939,821 $ (106,673)$ 1,833,148 Unrestricted Reserves Housing Choice Vouchers $ 4,685,670 $ 147,628 $ 4,833,298 Public Housing & Cap. Funds $ 2,347,863 $ 106,432 $ 2,454,295 State & Local Programs $ 2,364,980 $ (11,347)$ 2,353,633* Housing Certificates Programs $ -0- .$ (463)$ (463) Total Unrestricted Reserves $ 9,398,513 $ 242,250 $ 9,640,763 * Does not include unfunded pension & opeb liability of roughly $15.9 million. As a reminder, almost all reserves are restricted for use within each program. The designation of restricted or unrestricted reserves merely indicates that the funds are obligated for special use within the program (restricted) or that they can be used for any purpose tied to the program (unrestricted). The only reserves that can be used freely are unrestricted reserves within the State and Local Programs that are not tied to the tax credit properties. These reserves can be used to support any of HACCC’s programs. FUNDS OVERVIEW: Housing Choice Vouchers Program Summary - The HCV program provides assistance to families in the private rental market. HACCC qualifies families for the program based on income. These families find a home in the private rental market and HACCC provides them with a subsidy via a HAP contract with the property owner. HAP is paid by HACCC directly to the owner. Through its HCV program, HACCC is authorized to provide affordable housing assistance to a maximum of 6,936 families. However, funding constraints limited program utilization to approximately 6,154 families. Summary of Difference Between Budgeted and Annual Estimate : Revenue – The revenue increase of $1,059,651 is a result of an families porting into Contra Costa County but being funded by September 18, 2018 Contra Costa County Housing Authority 38 another Housing Authority. Expenditures- The projected increase in expenditures of $ 835,085 is also a direct result of portability. Housing Choice Vouchers Annual Budget 1st Quarter Actual 6/30/18 (Unaudited) Remaining FY Estimate Annual Total Variance Revenue $ 114,086,817 $ 29,581,355 $ 85,565,113 $ 115,146,468 $ 1,059,651 Expenditures $ 114,394,568 $ 29,433,727 $ 85,795,926 $ 115,229,653 $ (835,085) $ (307,751)$ 147,628 $ (230,813)$ (83,185) Analysis of Program Reserves: Public Housing Operating and Capital Funds Program Summary - HACCC owns and manages 1,179 public housing units at 16 different sites throughout the County. Operating funds for these properties come from tenant rents as well as an operating subsidy received from HUD that is designed to cover the gap between rents collected from the low-income tenants and annual operating expenses. HUD allocates the Capital Fund annually via formula to approximately 3,200 housing authorities. Capital Fund grants may be used for development, financing, modernization, and management improvements within public housing. Summary of Difference Between Budgeted and Annual Estimate : Revenue – The increase in revenue of $131,280 is a result of increased HUD funding over the annual budgeted amount for Capital Fund. Expenditures - The decrease in expenditures of $124,354 is a result of savings in operating costs. Public Housing Operating and Capital Fund Annual Budget 1st Quarter Actual 6/30/18 (Unaudited) Remaining FY Estimate Annual Total Variance Revenue $ 10,857,881 $ 2,845,750 $ 8,143,411 $ 10,989,161 $ 131,280 Expenditures $ 11,454,689 $ 2,739,318 $ 8,591,017 $ 11,330,335 $ 124,354 $ (596,808)$ 106,432 $ (447,606)$ (341,174) Analysis of Program Reserves: Public Housing & Capital Fund Beginning Balance 4/1/18 (Unaudited) 1st Quarter 6/30/18 (Unaudited) Reserve Balance period ending 6/30/18 (Unaudited) Restricted Reserves $ -0-$ -0-$ -0- Unrestricted Reserves $ 2,347,863 $ 106,432 $ 2,454,295 Total Reserves $ 2,347,863 $ 106,432 $ 2,454,295 Housing Choice Vouchers Beginning Balance 4/1/18 (Unaudited) 1st Quarter 6/30/18 (Unaudited) Reserve Balance period ending 6/30/18 (Unaudited) Restricted Reserves $ -0-$ -0-$ -0- Unrestricted Reserves $ 4,685,670 $ 147,628 $ 4,833,298 Total Reserves $ 4,685,670 $ 147,628 $ 4,833,298 September 18, 2018 Contra Costa County Housing Authority 39 State and Local Programs Program Summary - HACCC administers a variety of programs and activities that are either not funded by HUD or that involve non-restricted HUD funds. Currently, HACCC is the managing general partner for two tax credit projects (DeAnza Gardens & Casa Del Rio) and also has a contract with the City of Antioch to run their rental rehabilitation program. HACCC receives management fees for administering the Public Housing and HCV programs under HUD’s asset-management model. In addition, the State and Local Program manages the employee pension and OPEB benefit program. Summary of Difference between Budgeted and Annual Year-End Estimate: Revenue –The projected decrease in revenue of $17,793 is related to rental loss in the tax credit programs in the amount of $105,159. An additional $15,700 was lost in reduced management fees from the federal programs due reduced units in Public Housing and Housing Vouchers. Expenditures - The projected $17,793 reduction in expenditures is a result of savings in operating costs. State & Local Programs Annual Budget 1st Quarter Actual 6/30/18 (Unaudited) Remaining FY Estimate Annual Total Variance Revenue $ 6,062,925 $ 1,394,872 $ 4,547,194 $ 5,942,066 $ (120,859) Expenditures $ 6,122,738 $ 1,512,892 $ 4,592,054 $ 6,104,946 $ 17,793 $ (59,813)$ (118,020)$ (44,860)$ (162,880) Analysis of Reserves: State & Local Programs Beginning Balance 4/1/18 (Unaudited) 1st Quarter 6/30/18 (Unaudited) Reserve Balance Period ending 6/30/18 (Unaudited) Restricted Reserves $ 1,939,821 $ (106,673)$ 1,833,148 Unrestricted Reserves $ 2,364,980 $ (11,347)$ 2,353,633* Total Reserves $ 4,304,801 $ (118,020)$ 4,186,781 * does not include the unfunded pension & opeb liability of roughly 15.9 million. Housing Certificate Programs Program Summary - HACCC administers a Housing Certificate Program in administering the Continuum of Care Program previously referred to as Shelter Plus Care. The Continuum of Care Program provides rental assistance for hard-to-serve homeless persons with disabilities in connection with supportive services funded from sources outside the program. HACCC assists approximately 319 clients under this program. Summary of Difference Between Budgeted and Annual Year-End Estimate: Revenue & Expenditure -The projected increase of $134,754 in revenue is tied to the increase of $134,232 in HAP expenses. HUD increases revenue (to a budget cap) to reimburse HACCC for added rental costs. Housing Certificate Programs Annual Budget 1st Quarter Actual 6/30/18 (Unaudited) Remaining FY Estimate Annual Total Variance Revenue $ 5,164,313 $ 1,425,832 $ 3,873,235 $ 5,299,067 $ 134,754 Expenditures $ 5,168,253 $ 1,426,295 $ 3,876,190 $ 5,302,485 $ (134,232) $ (3,940)$ (463)$ (2,955)$ (3,418) September 18, 2018 Contra Costa County Housing Authority 40 Analysis of Reserves: Housing Certificate Programs Beginning Balance 4/1/18 (Unaudited) 1st Quarter 6/30/18 (Unaudited) Reserve Balance period ending 6/30/18 (Unaudited) Restricted Reserves $ -0-$ 463 $ -0- Unrestricted Reserves $ -0-$ 463 $ 463 Total Reserves $ -0-$ 463 $ 463 FISCAL IMPACT None. Information item only. CONSEQUENCE OF NEGATIVE ACTION None. Information item only. CLERK'S ADDENDUM September 18, 2018 Contra Costa County Housing Authority 41