HomeMy WebLinkAboutMINUTES - 05182021 - Housing Authority
CALENDAR FOR THE BOARD OF
COMMISSIONERS
BOARD CHAMBERS, COUNTY ADMINISTRATION BUILDING
1025 ESCOBAR STREET
MARTINEZ, CALIFORNIA 94553-1229
DIANE BURGIS, CHAIR
FEDERAL D. GLOVER, VICE CHAIR
JOHN GIOIA
CANDACE ANDERSEN
KAREN MITCHOFF
JOSEPH VILLARREAL, EXECUTIVE DIRECTOR, (925) 957-8000
To slow the spread of COVID-19, in lieu of a public gathering, the Board of Supervisors meeting will be
accessible via television and live-streaming to all members of the public as permitted by the Governor’s
Executive Order N29-20. Board meetings are televised live on Comcast Cable 27, ATT/U-Verse Channel 99,
and WAVE Channel 32, and can be seen live online at www.contracosta.ca.gov.
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WITH RESPECT TO AN ITEM THAT IS ON THE AGENDA MAY CALL IN DURING THE
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Meetings of the Board of Supervisors are closed-captioned in real time. Public comment generally
will be limited to two minutes. Your patience is appreciated. A Spanish language interpreter is
available to assist Spanish-speaking callers.
A lunch break or 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 online at
www.contracosta.ca.gov.
ANNOTATED AGENDA & MINUTES
May 18, 2021
1:00 P.M. Convene and call to order.
Closed Session
A. CONFERENCE WITH LABOR NEGOTIATORS (Gov. Code § 54957.6(a))
1. Agency Negotiators: Joseph Villarreal and Stacey Cue.
Employee Organization: Public Employees Union, Local One
2. Agency Negotiators: Joseph Villarreal and Stacey Cue.
Unrepresented Employees: All unrepresented employees.
DISCUSSION ITEMS
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.
D. 1 CONSIDER Consent Items previously removed.
There were no items removed from consent for discusion.
D. 2 PUBLIC COMMENT (2 Minutes/Speaker)
There were no requests to speak at public comment.
D.3 CONSIDER accepting a report on the award of 197 new vouchers for homeless
individuals and their families from the U.S. Department of Housing and Urban
Development and an update on HACCC’s various homeless housing programs.
Commissioner John Gioia AYE
Commissioner Candace Andersen AYE
Commissioner Diane Burgis AYE
Commissioner Karen Mitchoff AYE
Commissioner Federal D. Glover AYE
D.4 CONSIDER authorizing the Executive Director to execute the Housing Assistance
Payments contract under the Project-Based Voucher program for the Terraces
Senior Apartments located at 2100 Nevin Avenue in Richmond, CA.
Commissioner John Gioia AYE
Commissioner Candace Andersen AYE
Commissioner Diane Burgis AYE
Commissioner Karen Mitchoff AYE
Commissioner Federal D. Glover AYE
D.5 CONSIDER accepting report on the disposition of the Las Deltas Development
public housing units and land in North Richmond.
Commissioner John Gioia AYE
Commissioner Candace Andersen AYE
Commissioner Diane Burgis AYE
Commissioner Karen Mitchoff AYE
Commissioner Federal D. Glover AYE
D.6 CONSIDER authorizing and adopting Resolution No. 5234 to execute an
amendment to the Limited Partnership Agreement for the purposes of admittance
and withdrawal of the Limited Partners and withdrawal of a General Partner for
DeAnza Gardens.
Commissioner John Gioia AYE
Commissioner Candace Andersen AYE
Commissioner Diane Burgis AYE
Commissioner Karen Mitchoff AYE
Commissioner Federal D. Glover AYE
ADJOURN
Adjourned today's meeting at 3:40 p.m.
CONSENT ITEMS:
C.1 RECEIVE the Housing Authority of the County of Contra Costa's investment
report for the quarter ending March 31, 2021.
Commissioner John Gioia AYE
Commissioner Candace Andersen AYE
Commissioner Diane Burgis AYE
Commissioner Karen Mitchoff AYE
Commissioner Federal D. Glover AYE
C.2 ADOPT Resolution No. 5235 to approve collection loss write-offs in the public
housing program in the amount of $ 81,269.90 for the quarter ending March 31,
2021.
Commissioner John Gioia AYE
Commissioner Candace Andersen AYE
Commissioner Diane Burgis AYE
Commissioner Karen Mitchoff AYE
Commissioner Federal D. Glover AYE
C.3 ACCEPT report on HACCC’s Executive Director’s receipt of Eden Housing’s
Ilene Weinreb Civic Leader Award.
Commissioner John Gioia AYE
Commissioner Candace Andersen AYE
Commissioner Diane Burgis AYE
Commissioner Karen Mitchoff AYE
Commissioner Federal D. Glover 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, 1025 Escobar Street, Martinez, CA 94553; by fax: 925-655-2006; 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) 655-2000. An assistive listening device is available from the Clerk. 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) 655-2000, 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) 655-2000. 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, 1025 Escobar Street, 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.
RECOMMENDATIONS
ACCEPT report on the award of 197 new vouchers for homeless individuals and their families from the
U.S. Department of Housing and Urban Development (HUD) and an update on HACCC’s various homeless
housing programs.
BACKGROUND
On March 11, 2021, President Biden signed the American Rescue Plan Act of 2021 (ARP) into law. ARP
provides over $1.9 trillion in relief to address the continued impact of the COVID-19 pandemic on the
economy, public health, state and local governments, individuals, and businesses. Among its other
provisions, ARP appropriates $5 billion for new incremental EHVs, the renewal of those EHVs, and fees for
the cost of administering the EHVs along with other eligible expenses. The appropriation of funds for
eligible expenses is designed to prevent, prepare, and respond to the coronavirus by facilitating the leasing
of the emergency vouchers, such as security deposit assistance and other costs related to retention and
support of participating owners. This funding will provide approximately 70,000 EHVs nationally.
Eligibility for these EHVs is limited to individuals and families who are (1) homeless; (2) at risk of
homelessness; (3) fleeing, or attempting to flee, domestic violence, dating violence, sexual assault, stalking
or human trafficking; or (4) recently homeless and for whom providing rental assistance will prevent the
Action of Board On: 05/18/2021 APPROVED AS RECOMMENDED OTHER
Clerks Notes:
VOTE OF COMMISSIONERS
AYE:John Gioia, Commissioner
Candace Andersen,
Commissioner
Diane Burgis, Commissioner
Karen Mitchoff,
Commissioner
Federal D. Glover,
Commissioner
Contact: 9259578028
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: May 18, 2021
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:May 18, 2021
Contra
Costa
County
Subject:AWARD OF NEW HOMELESS VOUCHER FUNDING
BACKGROUND (CONT'D)
family’s homelessness or having high risk of housing instability. After September 30, 2023, a public
housing authority may not reissue any previously leased EHV, regardless of when the assistance for the
formerly assisted family ends or ended.
While each of HACCC's programs are available to serve the homeless via the normal application
process, EHV is one of fifteen programs operated by HACCC that target homeless individuals and
families. The current number of participants in each program are as follows:
Homeless Set-asides
Emergency Housing Vouchers 197
Mainstream 172
Project-based Vouchers (committed to homeless)93
Garden Park Apartments, Pleasant Hill (27)
Idaho Apartments, El Cerrito/Richmond (28)
Lakeside Apartments, Concord (11)
Lily Mae Jones, Richmond (8)
Robin Lane, Concord (5)
St. Paul’s, Walnut Creek (14)
Project-based COC 14
Lakeside Apartments, Concord (4)
Ohio Ave, Richmond (5)
Villa Vasconcellos, Walnut Creek (5)
Tenant-based COC (Shelter Plus Care)
(2018-2020 avg.)304
VASH 347
VASH - HACCC (263)
VASH – Pittsburg/HACCC (84)
Total 1,127
Pending Commitments (HUD shortfall)
Moving On 50
Committed Total 1,177
FISCAL IMPACT
HUD has awarded the Housing Authority of the County of Contra Costa (HACCC) $4,046,580 in
18-month budget authority to support 197 new Emergency Housing Vouchers (EHV).
CONSEQUENCE OF NEGATIVE ACTION
None. Informational item only.
ATTACHMENTS
EHV Award Letter
May 10, 2021
Joseph Villarreal, Executive Director
Housing Authority Of The County Contra Costa (CA011)
Dear Executive Director:
I am pleased to notify you that your public housing agency (PHA) is eligible
for new Emergency Housing Vouchers (EHVs) and funding as authorized by the American
Rescue Plan Act of 2021 (Public Law No: 117-2). The American Rescue Plan Act allowed the
Department of Housing and Urban Development (HUD) to allocate additional vouchers to PHAs
through an allocation formula designed to direct emergency vouchers to the PHAs operating in
areas where the EHV’s eligible populations have the greatest need while also taking into account
PHA capacity and the requirement to ensure geographic diversity, including rural areas. The
EHVs are provided to help assist individuals and families who are (1) homeless, (2) at risk of
homelessness, (3) fleeing, or attempting to flee, domestic violence, dating violence, sexual
assault, stalking, or human trafficking, or (4) recently homeless.
The following table provides the details for your agency’s EHV award:
Emergency Housing Vouchers Award
Initial Award Amount Effective Date Contract
Term Number of Units
$4,046,580 7/1/2021 18 197
The effective date of your EHV award will be July 1, 2021 with the exception of certain
fees with an effective date of June 1, 2021 as detailed below. These dates cannot be changed.
HUD is providing 12 months of budget authority upfront and will provide additional budget
authority as necessary based upon actua l PHA needs. Once funding for the award has been fully
processed, the FMC will provide your agency with an amended Consolidated Annual
Contributions Contract (CACC) that reflects the obligation of funds and monthly disbursements
will be scheduled. Three months of HAP disbursements will automatically be scheduled
beginning July 1, 2021 equal to 1/12th of the initial award. Future disbursements will be
calculated using actual HAP expenses incurred.
Your agency must follow applicable Housing Choice Voucher (HCV) program
requirements, when administering EHV, including the regulations at 24 CFR part 982, and the
requirements in Notice PIH 2021-15 (HA), referred to hereafter as Implementation Notice .
The following table provides the details of your agency’s administrative fees and other
eligible fees under this award:
EHV Eligible Fees
Category Effective Date Fee Amount
Preliminary Fee 6/1/2021 $400 x Unit Allocation Accepted
Placement/Issuance Reporting Fee1
After Reporting
Received by
HUD1
$500 for HAP contracts in place by 11/1/21;
$250 for HAP contracts in place by 1/1/22;
$100 for each voucher leased provided PHA
reported the EHV issuance date in PICNG
within the qualifying time period.
On-going Administrative Fee2 7/1/2021 Column A Ad min Fee Rate x Unit Allocation
Accepted
Service Fee3 6/1/2021 $3,50 0 x Unit Allocation Accepted
Total
1 The fee is dependent upon the timeframe in which an EHV family is placed under a HAP contract. $500 for each EHV family
placed under a HAP contract that is in place no later than four months from the award date (11/1/21), $250 for each EHV family
under a HAP contract that is in place no later than six months from the award effective date (1/1/22). An additional $100 will
be provided if the PHA reports or reported the voucher issuance date for a leased voucher in the forthcoming PIC -NG system
within 14 days of the later of the voucher issuance date or when PIC-NG system becomes available for reporting. This Issuance
Fee can be earned at any time that the voucher is placed under lease, regardless of whether the leased voucher also qualified for
the $500 or $250 component of the fee. Initially HUD will provide these fees based on information reported in VMS with the
exception of the $100 issuance fee. HUD will collect issuance data in PICNG, once the system is in place later in 2021.
2 PHAs will receive t he full Column A administrative fee amount for each EHV that is under HAP contract as of the first day of
each month and reported in VMS. PHAs will receive an initial advance for the first 3 months as per Notice PIH 2021-15 (HA).
3 One-time fee will be provided for every unit allocation accepted.
Two types of EHV-related funding, preliminary fees and service fees, will be provided in
advance in accordance with Notice PIH 2021-15 (HA). The eligible uses of these funds are
described in the Notice PIH 2021-15 (HA).
Leasing and expenses for these vouchers should be reported in the Voucher Management
System (VMS) under the appropriate fields. The VMS is being updated to reflect fields that will
be used to capture this information and additional details will be provide d once the fields are
available.
This letter has indicated the specific number of vouchers allocated to your PHA in
accordance with the allocation formula set forth in Notice PIH 2021-15 (HA). To accept or
decline this award, you must respond to HUD by May 24, 2021 using the attached method.
While PHAs are encouraged to accept the entire EHV allocation, the PHA may choose to accept
a lower number of vouchers than the number offered by HUD in the notification, but not less
than the minimum allocation of 25 EHVs, or 15 EHVs, as applicable. Your PHA may also
request that if available, HUD provide any additional vouchers that result from reallocation.
Additional information regarding EHVs can be found at: www.hud.gov/EHV, including details
on an introductory webinar for PHAs on EHVs that HUD will offer on May 11, 2021 at 4pm ET.
Additional support and technical assistance will be offered to support participating communities.
With your direct effort, EHVs will help people experiencing or at risk of homelessness,
survivors of domestic violence, and victims of human trafficking.
To accept or decline this award by May 24, 2021, please complete, sign, and email your
response EHVawards@hud.gov. If you have any questions regarding the EHV Program, please
email EHV@hud.gov.
Sincerely,
Danielle Bastarache
Deputy Assistant Secretary for
Public Housing and Voucher Programs
Attachment
Attachment 1
Directions :
1. Accept or Decline vouchers by responding to PHA options in questions 1─3 below.
2. Sign the document by double clicking the “Public Housing Executive Director” signature
line.
3. When completed, save as a word file (do not alter file name).
4. Reply to original email from EHVawards@hud.gov, attach this saved file, and send before
May 24, 2021.
Read the PHA options below and indicate the number of EHV vouchers accepted by the PHA.
PHA Options (select a response in the “C hoose an item” drop down):
Decline, No Vouchers ― PHA does not want any EHV Vouchers.
Accept Full Allocation ― PHA wants the full amount as allocated in this letter.
Accept Full Allocation, plus more ― PHA wants the full amount as allocated in this
letter plus, any additional EHV vouchers that HUD may provide. (HUD expects to have a
small amount of additional vouchers to reallocate in early June because of awards
declined by other PHAs.)
o If accepting a full amount plus more , up to how many more?
─ Only if the PHA requests additional EHVs than awarded in this letter, indicate
the maximum number of additional vouchers your PHA would accept.
Accept, a Lesser Amount ― PHA wants to accept a lesser amount than allocated in this
letter, but not less than the minimum allocation of 25 EHVs or 15 if your initial allocation
was less than 25.
o If accepting a lesser amount, how many?
─ Only if the PHA is accepting a lesser amount of EHVs than awarded in this
letter, indicate the number of vouchers PHA wants to accept, which is less than
the award but not less than the applicable minimum allocation.
PHA Accept or Decline Response
PHA Code CA011
EHV Award 197
1. PHA options to accept or decline award Choose an item.
2. If accepting a Full Allocation, plus more , up to how many?
3. If accepting a Lesser Amount, how many?
If you have any questions about this process, please email EHV@hud.gov and write “EHV
Award Letter Response Assistance” in the subject line.
RECOMMENDATIONS
AUTHORIZE the Executive Director to execute the Housing Assistance Payments (HAP) contract under
the Project-Based Voucher program for the Terraces Senior Apartments located at 2100 Nevin Avenue in
Richmond, CA.
BACKGROUND
A housing authority can utilize up to 20% of its Housing Choice Voucher (HCV) funding to “attach” rent
subsidies to specific housing units. The attached subsidy is known as a project-based voucher (PBV). PBVs
are a component of the HCV program and share most of the same rules and regulations. PBVs are attached
to units via a contract with the owner that requires the units be rented to families eligible for the HCV
program. While tenants living in a PBV unit may move with regular voucher assistance, the PBV remains
attached to the unit and the owner must select another HCV-eligible tenant for that unit. The advantage of
PBVs for owners is that the PBV commitment from a housing authority can be used to leverage financing
for the construction, rehabilitation or preservation of housing for low-income families by providing a
greater cash-flow than the property would otherwise generate. This is because most funding available to
owners of affordable projects restricts the rent that can be collected from tenants to an affordable amount
that is usually far less than a comparable unit would merit on the open market.
Action of Board On: 05/18/2021 APPROVED AS RECOMMENDED OTHER
Clerks Notes:
VOTE OF COMMISSIONERS
AYE:John Gioia, Commissioner
Candace Andersen,
Commissioner
Diane Burgis, Commissioner
Karen Mitchoff,
Commissioner
Federal D. Glover,
Commissioner
Contact: 19259578028
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: May 18, 2021
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:May 18, 2021
Contra
Costa
County
Subject:HOUSING ASSISTANCE PAYMENTS (HAP) CONTRACT UNDER THE PROJECT BASED VOUCHER
PROGRAM FOR THE TERRACES SENIOR APARTMENTS, RICHMOND
BACKGROUND (CONT'D)
However, because the HCV program pays market rate rents by subsidizing the difference between an
affordable rent for the tenant and the market rate rent for a particular unit, and the PBV program uses this
same basic formula, the amount of rent that an owner can collect from a PBV unit is usually significantly
higher than otherwise available to the project. This allows the owner to leverage far more financing than if
PBVs were not available and thus can be crucial to the success of a given project. The primary advantage of
PBVs to a housing authority is that they help increase or preserve the supply of permanent, affordable
housing available to both the community and to HCV recipients.
As part of the assumption of the Richmond Housing Authority’s (RHA) Housing Choice Voucher (HCV)
Program, HACCC took control of a PBV commitment that RHA made to TPC Holdings VI, LLC for PBV
assistance for 162 units at 2100 - 2300 Nevin Avenue known as the Terraces. While the other PBV projects
assumed by HACCC from RHA were completed and occupied, the Terraces has been under construction for
the past two and a half years. After assuming RHA’s PBV program, HACCC split the project into two
properties so that occupancy for one building could happen without holding up occupancy of the other
building while it was still being built. One building is a Senior development that will include 127 PBV units
and the other building is a family development that will include 35 PBV units. At this time, only the
Terraces Senior Apartments is ready to proceed with occupancy and is being brought before you for
authorization to execute the HAP Contract.
FISCAL IMPACT
Approximately $191,585,288 of funding will be provided to this project over a forty-year span. All funding
will be provided as part of HACCC's annual budget from the U. S. Department of Housing and Urban
Development (HUD).
CONSEQUENCE OF NEGATIVE ACTION
Should the Board not authorize the executive director to execute the Housing Assistance Payments (HAP)
contract under the Project-Based Voucher program for the Terraces Senior Apartments located at 2100
Nevin Avenue in Richmond, CA, the project will not be able to proceed with housing 127 seniors into the
property with rental assistance. Further, the entire property could be jeopardized as their funding relies
significantly on the receipt of PBVs.
RECOMMENDATIONS
Accept report on the disposition of the Las Deltas Development public housing units and land in North
Richmond.
BACKGROUND
The Housing Authority of the County of Contra Costa (HACCC) is nearing the end of the disposition
process for HACCC’s Las Deltas Development in North Richmond (Las Deltas). The disposition process is
defined by the U.S. Department of Housing and Urban Development (HUD)as: the removal of units from
the public housing program; the conversion of public housing subsidies to other forms of rental assistance;
and the subsequent sale or transfer of public housing property.
The Las Deltas main campus previously contained 214 family housing units, an office and maintenance
building, and a building that housed Project Pride (Boys and Girls Club-type programming) and the Young
Adult Empowerment Center (workforce development programs). All of these buildings have been
demolished. The 11.38-acre main campus currently sits vacant except for one building that is still used by
the Head Start program.
Action of Board On: 05/18/2021 APPROVED AS RECOMMENDED OTHER
Clerks Notes:
VOTE OF COMMISSIONERS
AYE:John Gioia, Commissioner
Candace Andersen,
Commissioner
Diane Burgis, Commissioner
Karen Mitchoff,
Commissioner
Federal D. Glover,
Commissioner
Contact: 9259578028
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: May 18, 2021
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:May 18, 2021
Contra
Costa
County
Subject:DISPOSITION OF FORMER PUBLIC HOUSING UNITS AT LAS DELTAS
BACKGROUND (CONT'D)
Staff recommends selling or leasing the main campus to an affordable housing developer(s) to create
some mix of affordable and market-rate housing. HACCC will have the developer incorporate a new
space for Head Start in their design. If that is not feasible, HACCC will seek HUD’s permission to
transfer the existing building to Head Start.
In addition to the main campus, the Las Deltas Development contains 38 duplexes and 4 single-family
buildings scattered throughout North Richmond. Staff recommends selling 26 of the 38 duplexes at fair
market-value in order to recoup some of the money that HACCC spent on the Las Deltas disposition. As
staff mentioned at the March 9, 2021 HACCC Board of Commissioner’s meeting regarding the budget,
the cost of the disposition has placed HACCC in a near-troubled financial status with HUD. In an effort
to avoid falling into this classification, staff proposes transferring the remaining 12 duplexes and 4
single-family buildings to local organizations who are prepared to rehabilitate/develop the units and sell
them to low-income homebuyers. A preference in the homebuyer program will be given to former
residents of the Las Deltas Development, followed by persons who live or work in North Richmond.
Any unit that is sold or transferred for less than fair-market value will be required to house low-income
persons (≤ 80% of area median income) for the next twenty years (or longer depending on other
funding). Any unit that is sold at fair-market value or above, HACCC will be required to use those funds
for HUD-approved affordable housing purposes.
Attached is a presentation that was given to the community about the proposed process.
FISCAL IMPACT
None. Information item only.
CONSEQUENCE OF NEGATIVE ACTION
Should the Board of Commissioners choose not to approve the proposed plan to dispose of the former
public housing units and land at Las Deltas in North Richmond, or an alternative approach, then this
project will be delayed until such time as a course of action is approved. This will both delay the
community’s wish to move the project forward and HACCC’s need to sell/transfer the property in order
to improve our financial position.
ATTACHMENTS
Las Deltas Community Presentation
Las Deltas and North
Richmond Community
Meeting
Presented by
Contra Costa County Supervisor John Gioia, District 1
And
Housing Authority of the County of Contra Costa
March 2, 2021 1
Welcome
Robert Rogers –Supervisor Gioia’s Office
•Time
•Housekeeping Issues
•How to ask questions
2
Vision for North Richmond
What We’ve Accomplished
Supervisor John Gioia
•MOU-CCC, City of Richmond, CHDC;
•Community Organizations -Proposed plans for scattered sites;
•Quality of Life Plan -Recommendations for future development;
•NR Resilient by Design Plan;
•Urban Tilth Farm & neighborhood-based community gardens/farms;
•Housing-Related Plans and Coordination –CHDC, Richmond Land, RNHS, and more;
3
Vision for North Richmond
Our Current Opportunity
•Supervisor John Gioia Comments
4
Las Deltas Site Map
5
Las Deltas Public Housing Site
•Originally 214 Units of family housing -95 Units Occupied / 119 Vacant
134-Unit main campus -11.38 acres
•Head Start Building
•HACCC Office Building
•Project Pride Building
80 units of scattered site housing on 7.69 acres (38 Duplexes and 4 Single Family
Dwellings)
6
HACCC Continued Presence In North Richmond
Total of 169 vouchers planned for North Richmond
•41 PBVs for Heritage Point Apartments
•Planned partnership with CHDC for Legacy Courts (25 PBVs)
•Planned partnership with CHDC for Chesley Apartments (8 PBVs)
•Continued HCV assistance –95 for Main Campus development
7
Redevelopment of Las Deltas Main Site
8
Redevelopment of Las Deltas Main Site
Approximately 12 acres are available for development.
HACCC will be issuing a Request For Proposals (RFP) inviting developers, preferably non-profit housing
developers, to submit proposals for the development of the site. Proposers are encouraged to be creative and
respectful of the traditions and history of North Richmond when devising plans for the site;
The main site will be encumbered by a Restrictive Covenant for a period of 20 years from closing which
requires that the units may only be rented or sold to families at or below 80% of area median income;
Any housing units built on the site MUST give priority to former public housing residents of Las Deltas and
then North Richmond residents and lastly the general public;
Main priorities of the RFP are to replace the 134 units demolished on the site, incorporate the existing Head
Start building, open space, and some degree of retail space for incubator business development by local
residents and retaining comparable levels of affordability for the residents of North Richmond;
9
Redevelopment of Las Deltas Main Site –Cont’d
Additional objectives in the RFP include a design and site plan that encourages active use,circulation and
resident/community interaction;Incorporating Crime Prevention Through Environmental Design principles;
utilizing green building strategies and planning for sustainable project operations;ensuring adequate parking
opportunities for residents;obtaining additional solutions for community-serving facilities or businesses;
The RFP will incorporate ideas put forth in the Quality of Life Plan,CHDC’s planning process,the North
Richmond MOU and the Resilient By Design competition,among others.Developers who can realistically
deliver on the included aspects of these plans will score additional points in the rating process;
Ownership of the land will be open to negotiation based on proposals submitted and selected.May be ground
lease,full sale or other options as presented;
10
Redevelopment of Las Deltas Main Site –Cont’d
95 Project-Based Vouchers (PBV)will be made available to the selected developer for prospective tenant
rental assistance;
All residential housing built on the site will be encouraged to have on-site support services.Developers
making services available to residents in their proposals will score more points;
Selected developer(s) will be required to enter into an Exclusive Negotiating Agreement (ENA) with HACCC
to ensure compliance with HUD requirements and follow through on RFP requirements. Failure to follow
through with stated commitments may result in rescission of the award and re-posting of the RFP;
HUD approval is REQUIRED before any transaction can close;
Selection panel will seek to include HACCC,Supervisor Gioia’s office,County DCD,former Las Deltas
residents,the North Richmond MAC and other community members.Selection panel will lean toward
technical background and may have members beyond those mentioned here;
Planned for Fall of 2021
11
SCATTERED SITE SALES/TRANSFERS
12
FAIR MARKET VALUE SALES
26 Duplexes will be available for purchase at Fair Market Value (FMV)–FMV is defined as the HUD-
approved appraised market value.
Priority will be given to former public housing residents of Las Deltas and then North Richmond
residents (subject to legal approval)and lastly the general public.
Any offers below Fair Market Value are subject to rejection.
HACCC will complete an appraisal and cost estimate to determine FMV.Buyers may choose to
commission their own cost estimate and appraisal subject to HUD approval.
All units are sold As-Is.
13
FAIR MARKET VALUE SALES –Cont’d
Any and all offers must be in writing and meet California-approved real estate standards when
submitted to HACCC’s agent.
All sales will have reversion clauses in the event the buyer fails to renovate and occupy the unit within
24 months from closing (Pending Legal Review).
HUD approval is REQUIRED before any transaction can close.
14
BELOW FAIR MARKET VALUE SALES
12 duplexes and 4 single family dwellings available for purchase through an Invitation for Proposals
(IFP). IFP responses will be evaluated by a panel of staff, community leaders and resident leaders.
Sales are being targeted to organizations capable of rehabilitating or building affordable housing who
can then sell them to low-income households at or below 80% of area median income. First time
homebuyers will be prioritized in the sale of these refurbished units. HACCC shall maintain a list of
eligible candidates the entity shall market the units to.
All BMV properties will be encumbered by a Restrictive Covenant for a period of 20 years from closing
which requires that the units may only be sold to families at or below 80% of area median income.
Selected organizations MUST give priority to former public housing residents of Las Deltas and then
North Richmond residents (pending legal review) and lastly the general public. Failure to do so shall
void all agreements.
15
BELOW MARKET VALUE SALES –Cont’d
Each organization shall be limited to purchasing no more than 5 buildings and must demonstrate the
appropriate capacity to renovate and market the units to eligible families.
Organizations may select any of the duplexes of their choosing from the list of available properties. Each
bidder will be required to select one of the 4 SFDs as part of their submission. Remaining duplexes will be
sold at market value.
Organizations will be responsible for all permitting, zoning, environmental and financial requirements of
ownership and renovation of the units.
Selected entities will be required to enter into an Exclusive Negotiating Agreement (ENA) with HACCC to
ensure compliance with HUD requirements and follow through on IFP requirements. Failure to follow
through with stated commitments may result in rescission of the award and re-marketing of the units for sale
to new parties.
HUD approval is REQUIRED before any transaction can close.
16
Questions?
17
RECOMMENDATIONS
Authorize and adopt Resolution No. 5234 to execute an amendment to the Limited Partnership Agreement
for the purposes of admittance and withdrawal of the Limited Partners and withdrawal of a General Partner
for DeAnza Gardens.
BACKGROUND
DeAnza Gardens (the "Project") is comprised of 180 units constructed in 2004 – 2005 and funded by a
number of resources including Low Income Housing Tax Credits ("LIHTC"). As part of the transaction,
DeAnza Garden, L.P., a California limited partnership (the "Partnership") was formed for the purpose of
owning, constructing, and operating the Project. DeAnza Housing Corporation was formed as a California
nonprofit public benefit corporation to serve as a general partner in the Partnership along with the Housing
Authority of the County of Contra Costa ("HACCC"). BCP/DeAnza Gardens, LLC, a Delaware limited
liability company and BCCC, Inc., a Massachusetts corporation, are the investor limited partner and the
special limited partner of the Partnership, respectively (collectively, the "Limited Partners"), and
contributed the LIHTC equity to and received the tax credits from the Project.
Action of Board On: 05/18/2021 APPROVED AS RECOMMENDED OTHER
Clerks Notes:
VOTE OF COMMISSIONERS
AYE:John Gioia, Commissioner
Candace Andersen,
Commissioner
Diane Burgis, Commissioner
Karen Mitchoff,
Commissioner
Federal D. Glover,
Commissioner
Contact: 19259578028
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: May 18, 2021
Joseph Villarreal, Executive Director
By: June McHuen, Deputy
cc:
D.6
To:Contra Costa County Housing Authority Board of Commissioners
From:Joseph Villarreal, Housing Authority
Date:May 18, 2021
Contra
Costa
County
Subject:AUTHORIZE ADMITTANCE AND WITHDRAWAL OF LIMITED PARTNERS AND WITHDRAWAL OF
GENERAL PARTNER FOR DEANZA GARDENS
BACKGROUND (CONT'D)
The Project was placed in service in 2005 and 2006. The compliance period for the LIHTC is fifty-five
(55) years from the place-in-service date. The Federal tax credit recapture (“Compliance Period”) period
expired on December 31, 2019. During the 24 months after the expiration of the Compliance Period,
HACCC has a Purchase Option and Right of First Refusal to buy the project from the Partnership.
PURCHASE PRICE UNDER PURCHASE OPTION AND RIGHT OF FIRST
REFUSAL.
I.
The purchase price for the Property pursuant to the Option (the "Option Price") shall be the greater of
the following amounts, subject to the provision set forth hereinbelow:
Debt and Taxes. An amount sufficient (i) to pay all debts, liabilities and obligations
of the Partnership upon its termination and liquidation as projected to occur
immediately following the sale pursuant to the Option, including, but not limited to,
fees and debts to Partners of the Partnership (or their Affiliates), and (ii) to distribute
to the Partners cash proceeds equal to the taxes projected by the Auditors to be
imposed on the Partners of the Partnership as a result of the sale pursuant to the
Option; or
a.
Fair Market Value. The fair market value of the Property, appraised as low-income housing taking
into account the effect on the projected income of the Property as a result of all Use Restrictions to
the extent continuation of such use is required under the Use Restrictions, taking into
consideration any repairs, improvements or deferred maintenance deemed necessary by a capital
needs assessment conducted by a third party inspector selected by the Partnership's regular
Auditors, who is experienced in determining capital needs for similar projects in Northern
California.
b.
HACCC has determined that the existing mortgage debt plus the long-term outstanding capital needs for
DeAnza Gardens exceed the fair market value of the property and, as such, the project has nominal value
to the existing investor. HACCC has engaged the services of an industry professional to negotiate a
purchase price of a ceremonial ten dollars to purchase the Limited Partners' interests in the Partnership
instead of purchasing the Project itself. The Partnership will continue to own the Project, but the
Limited Partners will be replaced.
HACCC shall be replacing the Limited Partner interests in the Partnership as the new limited partner
and shall withdraw as a general partner. DeAnza Housing Corporation shall remain as the general
partner. Moreover, in the near future, HACCC plans to refinance the mortgage loan on the property. At
that time, it is anticipated that a new LLC, with HACCC Casa Del Rio, Inc., as its Sole Member, will be
created as the ownership entity of the property and the Limited Partnership will be dissolved. This action
will ensure that there are minimal tax implications for HACCC under the new management structure.
On May 6, 2021, the Board of Directors for DeAnza Housing Corporation approved a similar resolution
authorizing the replacement of the Limited Partner interest in the Partnership and removing HACCC
from its role as General Partner so that it could be placed in the role of Limited Partner and DeAnza
Housing Corporation would remain as the sole General Partner interest in the Partnership.
This resolution seeks to have HACCC’s Board of Commissioners concur with the actions being
This resolution seeks to have HACCC’s Board of Commissioners concur with the actions being
proposed and permit HACCC to step in as the limited partner interest for this Limited Partnership.
FISCAL IMPACT
The Partnership will disburse to the withdrawing limited partners a disposition fee in the amount of Ten
Dollars ($10) plus any additional distributions or costs required to induce the withdrawing limited
partners to exit the Partnership, if any.
CONSEQUENCE OF NEGATIVE ACTION
If the actions to admit the Housing Authority of the County of Contra Costa as the new limited partner
and the withdrawal of the current Limited Partners of the Partnership are not approved, then HACCC
will lose the rights it has under the Option and Right of First Refusal to purchase the Limited
Partnership interests for $10 and will be forced to purchase the property under the Purchase Option and
Right of First Refusal for a much greater amount at a later time in the future.
AGENDA ATTACHMENTS
Resolution 5234
ROFR
DeAnza BO
DeAnza RES 1001
MINUTES ATTACHMENTS
Signed Resolution No. 5234
1
843\01\3040572.1
HOUSING AUTHORITY OF THE COUNTY OF CONTRA COSTA
DEANZA GARDENS, L.P.
CORPORATE/PARTNERSHIP AUTHORIZING RESOLUTION NO. 5234
RE: AUTHORIZING ADMITTANCE AND WITHDRAWAL OF LIMITED PARTNERS AND
WITHDRAWAL OF GENERAL PARTNER
(DeAnza)
At a duly constituted meeting of the Board of Commissioners (the "Board") of the
Housing Authority of the County of Contra Costa, a public body corporate and politic the
"Housing Authority "), held on May 18, 2021, the following resolutions were adopted:
WHEREAS, in this resolut ion, the Board shall be acting on behalf of the Housing
Authority: (i) on its own behalf and (ii) as a general partner of De Anza Gardens, L.P., a
California limited partnership (the "Partnership");
WHEREAS, the Housing Authority is a general partner of the Partnership along with
DeAnza Housing Corporation, a California nonprofit public benefit corporation;
WHEREAS, BCP/DeAnza Gardens, LLC, a Delaware limited liability company, is the
investor limited partner of the Partnership (the "Investor Limited Partner"), and BCCC, Inc., a
Massachusetts corporation, is the special limited partner of the Partnership (the "Special Limited
Partner", and collectivel y with the Investor Limited Partner, the "Withdrawing Limited
Partners ");
WHEREAS, the Partnership was formed for the purpose of owning, constructing and
operating an affordable rental housing project known as DeAnza Gardens Apartments (the
"Project ");
WHEREAS, the Housing Authority desires to withdraw from the Partnership as a general
partner and enter the Partnership as the limited partner;
WHEREAS, the Partnership will disburse to the Withdrawing Limited Partners a
disposition fee in the amount of Ten Dollars ($10) plus any additional distributions or costs
required to induce the Withdrawing Limited Partners to exit the Partnership, if any (the "LP Exit
Costs ");
WHEREAS, the Withdrawing Limited Partners desire to assign their respective interests
and withdraw from the Partnership; and
WHEREAS, the Board desires for the Housing Authority and the Partnership to enter into
any and all documents necessary to admit the Housing Authority as the limited partner, to allow
the Housing Authority to withdraw as a general partner, to allow the Withdrawing Limited
Partners to assign their interests and withdraw as the limited partners of the Partnership, and to
distribute the LP Exit Costs, including but not limited to, a transfer agreement, an assignment
and assumption of partnership interests and second amendment to the second amended and
restated agreement of limited partnership, and any other types of agreements or documents
necessary to admit the Housing Authority as the limited partner and allow the Housing Authority
2
843\01\3040572.1
to withdraw as a general partner, allow the Withdrawing Limited Partners to assign their interests
and withdraw, and to pay the LP Exit Costs (collectively, the "Documents ").
NOW, THEREFORE, BE IT RESOLVED: That the Partnership shall admit the Housing
Authority as the limited partner, allow the Housing Authority to withdraw as a general partner,
distribute the LP Exit Costs, and allow the Withdrawing Limited Partners to assign their interests
and withdraw as the limited partners.
FURTHER RESOLVED: That the Housing Authority in its own capacity and/or in its
capacity as the general partne r of the Partnership, shall enter into the Documents.
FURTHER RESOLVED: That Joseph Villarreal, Executive Director of the Housing
Authority, or any other officer of the Housing Authority, acting alone on behalf of the Housing
Authority, in its own capacity, and in its capacity as the general partner of the Partnership, is
authorized, empowered and directed to : (i) take any and all necessary actions, and execute any
and all necessary documents in its own capacity and in its capacity as the general partner of the
Partnership, including, but not limited to, the Documents; (ii) take any further actions necessary
to admit the Housing Authority as the limited partner, allow the Housing Authority to withdraw
as a general partner, and allow the Withdrawing Limited Partners to assign their interests and
withdraw; (iii) take any further actions necessary to pay the LP Exit Costs, and (iv) do all other
activities contemplated by this Resolution or otherwise necessary to cause the admittance of the
Housing Authorit y as the limited partner, withdrawal of the Housing Authority as a general
partner, withdrawal of the Withdrawing Limited Partners from the Partnership, and payment of
the LP Exit Costs.
FURTHER RESOLVED: That Joseph Villarreal, Executive Director of the Housing
Authority, or any other officer of the Housing Authority, acting alone on behalf of the Housing
Authority in its own capacity and in its capacity as the general partner of the Partnership , is
authorized, empowered and directed to execute any other form of resolution required by a lender,
investor, or other third party, if determined by an officer of the Housing Authority, with the
advice of counsel, to be substantially equivalent to this form of resolution.
RESOLVED FURTHER: That to the extent that any actions authorized herein have
already been performed, such actions are ratified and approved.
[Remainder of Page Intentionally Blank ]
3
843\01\3040572.1
SECRETARY'S CERTIFICATE
I, the undersigned, hereby certify that the foregoing is a tr ue copy of the Resolution
adopted by the Board of Commissioners at a meeting of the Housing Authority, and that said
Resolution is in full force and effect.
Dated: May 18, 2021
By: _______________________________
Joseph Villarreal, Secretary
PURCHASE OPTION AND
RIGHT OF FIRST REFUSAL AGREEMENT
This Agreement is made as of June 27, 2003, by and between DEANZA GARDENS,
L.P., a California limited partnership (the "Partnership"), HOUSING AUTHORITY OF THE
COUNTY OF CONTRA COSTA, a public body, corporate and politic ("Grantee"), and
DEANZA HOUSING CORPORATION, a California nonprofit public benefit corporation
("DHC") (DHC and Grantee are hereinafter collectively referred to as the "General Partners"),
and is consented to hereinbelow by BCP/DEANZA GARDENS, LLC, a Delaware limited
liability company ("Investment Limited Partner"), and by BCCC, INC., a Massachusetts
corporation ("BCCC"), the limited partners of the Partnership (collectively, the "Consenting
Limited Partners").
WHEREAS, the General Partners and the Consenting Limited Partners, concurrently with
the execution and delivery of this Agreement, are entering into that certain Second Amended and
Restated Agreement of Limited Partnership dated as of the date hereof (the "Partnership
Agreement") continuing the Partnership by amending and restating a prior partnership
agreement; and
WHEREAS, Grantee has been instrumental in the development of the Property, as
described in the Partnership Agreement, and will continue to provide services to the Partnership
in connection with the continuation of the Partnership for the further development of the
Apartment Complex; and
WHEREAS, the Apartment Complex is or will be subject to a governmental agency
regulatory agreement (the "Regulatory Agreement") restricting its use to low-income housing
(such use restrictions under the Regulatory Agreement being referred to collectively herein as the
"Use Restrictions"); and
WHEREAS, the General Partners desire to provide for the continuation of the Apartment
Complex as low-income housing upon termination of the Partnership by Grantee purchasing the
Apartment Complex at the applicable price determined under this Agreement and operating the
Apartment Complex in accordance with the Use Restrictions; and
WHEREAS, as a condition precedent to the formation or continuation of the Partnership
pursuant to the Partnership Agreement, the General Partners have negotiated and required that
the Partnership shall execute and deliver this Agreement in order to provide for such low-income
housing, and the Consenting Limited Partners have consented to this Agreement in order to
induce the General Partners to execute and deliver the Partnership Agreement;
NOW, THEREFORE, in consideration of the execution and delivery of the Partnership
Agreement and the payment by the Grantee to the Partnership of Ten Dollars ($10.00) and other
good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged,
the parties hereby agree as follows:
1. Grant of Option. The Partnership hereby grants to Grantee an option (the
"Option") to purchase the real estate, fixtures, and personal property comprising the Apartment
BOS 1#1335722 v5
Complex or associated with the physical operation thereof, located at the Apartment Complex
and owned by the Partnership at the time of purchase (the "Property"), for a period of twenty-
four (24) months (the "Option Period") following the close of the fifteen (15) year compliance
period for the low-income housing tax credit for the Apartment Complex (the "Compliance
Period") as determined under Section 42(i)(l) of the Internal Revenue Code of 1986, as amended
(the "Code"), on the terms and conditions set forth in this Agreement and subject to the
conditions precedent to the exercise of the Option specified herein. The Apartment Complex
real estate is legally described in Exhibit A attached hereto and made a part hereof.
2. Grant of Refusal Right. In the event that the Partnership receives a bona fide
offer to purchase the Property (other than under the circumstances described in paragraph 1),
which offer the Partnership intends to accept, Grantee shall have a right of first refusal to
purchase the Property (the "Refusal Right") for a period of twenty-four (24) months (the
"Refusal Right Period") following the close of the Compliance Period, on the terms and
conditions set forth in this Agreement and subject to the conditions precedent to exercise of the
Refusal Right specified herein. In addition to all other applicable conditions set forth in this
Agreement, (a) the foregoing grant of the Refusal Right shall be effective only if Grantee is
currently and remains at all times hereafter, until (i) the Refusal Right has been exercised and the
resulting purchase and sale has been closed, or (ii) the Refusal Right has been assigned to a
Permitted Assignee described in Paragraph 11 hereof, whichever first occurs, a qualified
recipient of the Refusal Right under Section 42(i)(7)(A) of the Code, and (b) any assignment of
the Refusal Right permitted under this Agreement and the Refusal Right so assigned shall be
effective only if the assignee is at the time of the assignment and remains at all times thereafter,
until the Refusal Right has been exercised and the resulting purchase and sale has been closed, a
Permitted Assignee described in Paragraph 11 hereof meeting the requirements of Section
42(i)(7)(a) of the code. Prior to accepting any such bona fide offer to purchase the Property, the
Partnership shall notify Grantee, the General Partners, and the Consenting Limited Partners of
such offer and deliver to each of them a copy thereof. The Partnership shall not accept any such
offer unless and until the Refusal Right has expired without exercise by Grantee under Paragraph
6 hereof.
3. Purchase Price Under Option. The purchase price for the Property pursuant to the
Option (the "Option Price") shall be the greater of the following amounts, subject to the
provision set forth hereinbelow:
(a) Debt and Taxes. An amount sufficient (i) to pay all debts, liabilities and
obligations of the Partnership upon its termination and liquidation as projected to occur
immediately following the sale pursuant to the Option, including, but not limited to, fees and
debts to Partners of the Partnership (or their Affiliates), and (ii) to distribute to the Partners
cash proceeds equal to the taxes projected by the Auditors to be imposed on the Partners of
the Partnership as a result of the sale pursuant to the Option; or
(b) Fair Market Value. The fair market value of the Property, appraised as
low-income housing taking into account the effect on the projected income of the Property as
a result of all Use Restrictions to the extent continuation of such use is required under the
Use Restrictions, taking into consideration any repairs, improvements or deferred
maintenance deemed necessary by a capital needs assessment conducted by a third party
BOSl #1335722 v5
inspector selected by the Partnership's regular Auditors, who is experienced in determining
capital needs for similar projects in Northern California; provided, however, unless such
procedure is determined at the time the Option is exercised to be unreasonable, the fair
market value so determined shall not be greater than the capitalized value of the future
income stream, taking into account the effect on the projected income of the Property of all
Use Restrictions to the extent continuation of such use is required under the Use Restrictions
using a capitalization rate of two percent (2%) over the Fannie Mae thirty (30) day-forward
commitment rate for thirty (30) year, fully amortized multifamily loans. Any such appraisal
is to be made by a licensed appraiser selected by the Partnership's regular Auditors, who is a
Member of the Appraiser Institute and who has experience in low-income housing in the
geographic area in which such Property is located and is to be paid for by the Partnership;
provided, however, that if prior to exercise of the Option the Internal Revenue Service (the
"Service") has issued a revenue ruling or provided a private letter ruling to the Partnership,
the applicability of which ruling shall be determined in the judgment of tax counsel to the
Consenting Limited Partners, or tax counsel approved by the Consenting Limited Partners
has issued an opinion letter, concluding that property of the nature and use of the Property
may be sold under circumstances described in this Agreement at the price determined under
Section 42(i)(7)(B) of the Code without limiting tax credits or deductions that would
otherwise be available to the Consenting Limited Partners, then the Option Price shall be
such price.
4. Purchase Price Under Refusal. The purchase price for the Property pursuant to
the Refusal Right shall be lesser of (a) the purchase price set forth in the bona fide offer to
purchase the Property or (b) the minimum purchase price set forth in Section 42(i)(7)(B) of the
Code, which generally is equal to the sum of (x) an amount sufficient to pay all debts and
liabilities of the Partnership upon its termination and liquidation as projected to occur
immediately following the sale pursuant to the Refusal Right, and (y) an amount sufficient to
distribute to the Partners cash proceeds equal to the taxes projected to be imposed on the Partners
of the Partnership as a result of the sale pursuant to the Refusal Right.
5. Conditions Precedent. Notwithstanding anything in this Agreement to the
contrary, the Option and the Refusal Right granted hereunder shall be contingent on the
following:
(a) General Partners. Grantee shall have remained in good standing as a
General Partner of the Partnership without the occurrence of any event described in
Section 4.5(a)(iii) of the Partnership Agreement after giving effect to the curative provisions
applicable thereto; and
(b) Regulatory Agreement. Either (i) the Regulatory Agreement shall have
been entered into and remained in full force and effect, or (ii) if the Regulatory Agreement is
no longer in effect due to reasons other than a default thereunder by the Partnership, such
Use Restrictions shall have remained in effect by other means and shall continue in effect by
inclusion in the deed as required under Paragraph 10 hereof.
If any or all of such conditions precedent have not been met, the Option and the Refusal Right
shall not be exercisable. Upon any of the events terminating the Option or the Refusal Right
BOSl #1335722 v5 -3-
under this Paragraph 5, the Option and the Refusal Right shall be void and of no further force
and effect.
6. Exercise of Option or Refusal Right. The Option and the Refusal Right each may
be exercised by Grantee by (a) giving prior written notice of its intent to exercise the Option or
the Refusal Right to the Partnership and each of its Partners in the manner provided in the
Partnership Agreement and in compliance with the requirements of this Paragraph 6, and (b)
complying with the contract and closing requirements of Paragraph 9 hereof. Any such notice of
intent to exercise the Option shall be given during the period commencing one (1) year prior to
the expiration of the Compliance Period and terminating at the end of the Option Period. Any
such notice of intent to exercise the Refusal Right shall be given within ninety (90) days after
Grantee has received the Partnership's notice of a bona fide offer pursuant to Paragraph 2 hereof.
In either case, the notice of intent shall specify a closing date within one hundred twenty (120)
days immediately following the date of exercise. If the foregoing requirements (including those
of Paragraph 9 hereof) are not met as and when provided herein, the Option or the Refusal Right,
or both, as applicable, shall expire and be of no further force or affect. Upon notice by Grantee
of its intent to exercise the Option or the Refusal Right, all rights under the other shall be
subordinate to the rights then being so exercised unless and until such exercise is withdrawn or
discontinued, and upon the closing of any sale of the Property pursuant to such notice shall
expire and be of no further force or effect, provided that in the event that the Option and the
Refusal Right are hereafter held by different parties by reason of any permitted assignment or
otherwise, Grantee in its assignment or such parties by written agreement may specify any other
order of priority consistent with the other terms and conditions of this Agreement.
7. Determination of Price. Upon notice by Grantee of its intent to exercise the
Option or the Refusal Right, the Partnership and Grantee shall follow the procedure set forth in
this Agreement for determining the Option Price or the Refusal Right Price, as applicable, for the
Property (the "Purchase Price"). Any such agreement shall be subject to the prior written
consent of the Consenting Limited Partners, which shall not be withheld as to any Purchase Price
determined properly in accordance with this Agreement. In the event Grantee for any reason
withdraws or discontinues its exercise of the Option or the Refusal Right, it shall pay any and all
expenses of accounting, appraisal, and arbitration incurred in the determination of the Purchase
Price and any expenses incurred in the preparation of a purchase contract as provided
hereinbelow, including without limitation reasonable legal fees of the Partnership and the
Consenting Limited Partners in connection with any such arbitration and contract.
8. Arbitration. In the event of any dispute hereunder, each of Grantee, the General
Partners, the Consenting Limited Partners, and any other Partners of the Partnership who are in
disagreement shall exercise best efforts in good faith to agree on a single arbitrator to act
hereunder. Such arbitrator shall conduct proceedings in the geographic area in which the
Property is located, according to such procedures as the arbitrator shall designate, provided that
they are fair and do not violate the Uniform Arbitration Act if and as adopted by the state in
which the Property is located or any similar act that may apply. In the absence of an agreement
by such parties on a single arbitrator or on any other method of arbitration, such dispute shall be
submitted for arbitration in accordance with the applicable rules of the American Arbitration
Association.
BOSl #1335722 v5
In any event, the arbitrator(s) appointed hereunder shall have all of the jurisdiction and
powers of courts of law and equity in civil matters. The parties to such arbitration hereby agree
to accept any decision or award made by the arbitrators in accordance with arbitration
proceedings conducted pursuant hereto, and the same shall be final and binding on such parties.
Any such decision or award may be enforced, and judgment thereon may be entered, by any
court of competent jurisdiction. All fees and expenses of such arbitration proceedings, including
both those of the arbitrator(s) and reasonable attorneys' fees of counsel for the respective parties
to arbitration, shall be paid by the party or parties against whom the decision or award is
rendered or as may otherwise be determined to be equitable by the arbitrators. In the event any
disagreeing party fails to appoint an arbitrator who is able and willing to serve hereunder within
twenty (20) days after any demand for arbitration by any other party or fails to proceed in good
faith with arbitration proceedings hereunder, the other parties may each at its option take any
action available to them in law or equity in any court of competent jurisdiction.
9. Contract and Closing. Upon determination of the Purchase Price for the Property,
the Partnership and Grantee shall execute escrow instructions legally consistent with this
Agreement, and attach any notices or statements required under federal or state law applicable to
the transaction for the purchase and sale of such Property in accordance with this Agreement and
containing such other terms and conditions as are standard and customary for similar commercial
transactions in the geographic area which such Property is located, providing for a closing not
later than the date specified in the Grantee's notice of intent to exercise the Option or the Refusal
Right, as applicable, or ninety (90) days after the Purchase Price has been determined whichever
is later. In the absence of any such contract, this Agreement shall be specifically enforceable
upon the exercise of the Option or the Refusal Right, as applicable. The purchase and sale
hereunder shall be closed through a deed-and-money escrow with the title insurer for the
Property or another mutually acceptable title company.
10. Use Restrictions. In consideration of the Option and the Refusal Right granted
hereunder at the price specified herein, Grantee hereby agrees that the deed granting the Property
to Grantee shall contain a covenant running with the land, restricting use of the Property to low-
income housing to the extent required by those Use Restrictions contained in the Regulatory
Agreement. All provisions relating to the Use Restrictions contained in such deed and in this
Agreement shall be subject and subordinate to any third-party liens encumbering the Property.
The deed to Grantee shall be subject to the prior written approval of the Consenting
Limited Partners, which shall not be unreasonably withheld. In the absence of a deed
conforming to the requirements of this Agreement, the provisions of this Agreement shall run
with the land. In the event that neither the Option nor the Refusal Right is exercised, or the sale
pursuant thereto is not consummated, then, subject to the approval of the Special Limited
Partner, upon conveyance of the Property to anyone other than Grantee or its Permitted Assignee
hereunder, the foregoing provisions shall terminate and have no further force or effect.
11. Assignment. Grantee may assign all or any of its rights under this Agreement to
(a) a qualified nonprofit organization, as defined in Section 42(h)(5)(C) of the code, (b) a
government agency, or (c) a tenant organization (in cooperative form or otherwise) or resident
management corporation of the Property (each a "Permitted Assignee") that demonstrates its
ability and willingness to maintain the Property as low-income housing in accordance with the
BOSl #1335722 v5 -5-
Use Restrictions, in any case subject to the prior written consent of the Special Limited Partner,
and subject in any event to the conditions precedent to the Refusal Right and the Option set forth
in Paragraphs 2 and 3 hereof. Prior to any assignment or proposed assignment of its rights
hereunder, Grantee shall give written notice thereof to the Partnership, DHC as a General
Partner, and the Consenting Limited Partners. Upon any permitted assignment hereunder,
references in this Agreement to Grantee shall mean the Permitted Assignee where the context so
requires, subject to all applicable conditions to the effectiveness of the rights granted under this
Agreement and so assigned. No assignment of Grantee's rights hereunder shall be effective
unless and until the Permitted Assignee enters into a written agreement accepting the assignment
and assuming all of Grantee's obligations under this Agreement and copies of such written
agreement are delivered to the Partnership, DHC as a General Partner, and the Consenting
Limited Partners. Except as specifically permitted herein, Grantee's rights hereunder shall not
be assignable.
12. Legal Fees. The non-prevailing party shall pay on demand all reasonable fees and
expenses incurred by the prevailing party in any dispute not resolved by arbitration.
13. Reformation as a Redemption. Notwithstanding the foregoing, Grantee, as a
General Partner of the Partnership, shall have the option to reform this Agreement to provide for
a redemption by the Partnership of the Consenting Limited Partners' Interest in the Partnership in
lieu of a purchase by Grantee of the Property; provided, however, that the economic, tax and
material consequences of the transaction for the Consenting Limited Partners shall not be altered
thereby, and that any such reformation shall require execution by the Partnership and any other
General Partner of all documentation and the prior written consent of the Consenting Limited
Partners to all documentation. In connection with any such redemption, Grantee shall be entitled
to appoint a substitute general partner to the Partnership if necessary for the purpose of causing
the Partnership to have a minimum of two partners at all times.
14. Miscellaneous. This Agreement shall be liberally construed in accordance with
the laws of the State of California in order to effectuate the purposes of this Agreement. This
Agreement may be executed in counterparts or counterpart signature pages, which together shall
constitute a single agreement. This Agreement and the Option and Refusal Right provided for
herein are subordinate to all rights of California Community Reinvestment Corporation under the
deed(s) of trust securing its loan(s) to the Partnership.
BOSl #1335722 v5 -6-
IN WITNESS WHEREOF, the parties have executed this document as of the date first set
forth hereinabove.
PARTNERSHIP:
DEANZA GARDENS, L.P., a California limited
partnership, by its general partners
DEANZA HOUSING CORPORATION, a
California nonprofit public benefit corporation
By:
Rudy Tamayo, Executive Director
HOUSING AUTHORITY OF THE COUNTY OF
CONTRA COSTA, a public body, corporate and
politic
By:
Rudy Tamayo, Deputy Executive Director
GRANTEE:
HOUSING AUTHORITY OF THE COUNTY OF
CONTRA COSTA, a public body, corporate and
politic
By:
Rudy Tamayo, Deputy Executive Director
The undersigned hereby consents to the foregoing Agreement as of the date first set forth
hereinabove.
BCP/DEANZA GARDENS, LLC, a Delaware
limited liability company, by its manager, BCCC,
Inc., a Massachusetts corporation
By:
Marc N/Teal, Senior Vice President
BCCC, Inc., a Massachusetts corporation
Marc RTeal, Senior Vice President
BOSl #1335722 v5
IN WITNESS WHEREOF, the parties have executed this document as of the date first set
forth hereinabove.
PARTNERSHIP:
DEANZA GARDENS, L.P., a California limited
partnership, by its general partners
DEANZA HOUSING CORPORATION, a
California nonprofit public benefit corporation
By:
RudyTama$>, Executive Director
HOUSING AUTHORITY OF THE COUNTY OF
CONTRA COSTA, a public body, corporate and
politic
By:
Tamgfyo, Deputy Executive Director
GRANTEE:
HOUSING AUTHORITY OF THE COUNTY OF
CONTRA COSTA, a public body, corporate and
politic
By:
Rudy Tamayof Deputy ExecutivrDirector
The undersigned hereby consents to the foregoing Agreement as of the date first set forth
hereinabove.
BCP/DEANZA GARDENS, LLC, a Delaware
limited liability company, by its manager, BCCC,
Inc., a Massachusetts corporation
By:
Marc N. Teal, Senior Vice President
BCCC, Inc., a Massachusetts corporation
By: _
Marc N. Teal, Senior Vice President
BOSl #1335722 v5
Acknowledgments
STATE OF )
)SS.
COUNTY OF )
On , 20 , before me, the undersigned, personally appeared Rudy
Tamayo, personally known to me (or proved to me on the basis of satisfactory evidence) to be
the person whose name is subscribed to the within instrument and acknowledged to me that he
executed the same in his authorized capacity, and that by his signature on the instrument the
person or the entity upon behalf of which the person acted, executed the instrument.
WITNESS my hand and official seal.
Signature
(notarial seal)
COMMONWEALTH OF MASSACHUSETTS )
)SS.
COUNTY OF SUFFOLK )
On V )\lfhf_ cP^ . 20Q2, before me, the undersigned, personally appeared Marc N.
Teal, personally known to me (or proved to me on the basis of satisfactory evidence) to be the
person whose name is subscribed to the within instrument and acknowledged to me that he
executed the same in his authorized capacities, and that by his signatures on the instrument the
person or the entity upon behalf of which the person acted, executed the instrument.
ignature
(notarial seal)
BOSl #1335722 v5
EXHIBIT A
LEGAL DESCRIPTION OF
PROJECT REAL ESTATE
BOSl #1335722 v5 " " "
RECORDING REQUESTED BY AND
WHEN RECORDED MAIL TO:
John T. Haygood, Esq.
Goldfarb & Lipman
1300 Clay Street, Ninth Floor
City Center Plaza
Oakland, CA 94612
(Space Above This Line For Recorder's Use)
MEMORANDUM OF PURCHASE OPTION
AND RIGHT OF FIRST REFUSAL AGREEMENT
This Memorandum of Purchase Option and Right of First Refusal Agreement
("Memorandum") is entered into as of June , 2003 by and among DEANZA GARDENS,
L.P., a California limited partnership (the "Partnership"), HOUSING AUTHORITY OF THE
COUNTY OF CONTRA COSTA, a public body, corporate and politic (the "Grantee"), and
DEANZA HOUSING CORPORATION, a California nonprofit public benefit corporation, and is
consented to herein below by BCP/DEANZA GARDENS, LLC, a Delaware limited liability
company, (the "Investor Limited Partner") and by BCCC, INC., a Massachusetts corporation (the
"Special Limited Partner"), the limited partners of the Partnership (collectively, the "Consenting
Limited Partners") with respect to that certain Purchase Option and Right of First Refusal
Agreement ("Agreement") dated as of June , 2003, between the Partnership and the Grantee
and consented to by the Consenting Limited Partners.
Pursuant to the Agreement, Partnership has granted to Grantee a purchase option and
right of first refusal, on the terms and conditions stated in the Agreement, to purchase the real
estate, fixtures, and personal property comprising the Apartment Complex or associated with the
physical operation thereof, located at the Apartment Complex and owned by the Partnership at
the time of purchase (the "Property"), located in Bay Point, Contra Costa County, California, and
known as DeAnza Gardens, more particularly described in Exhibit A attached hereto, for a
period of twenty-four (24) months (the "Option Period") following the close of the compliance
period for the low-income housing tax credit for the Apartment Complex (the "Compliance
Period") as determined under Section 42(i)(l) of the Internal Revenue Code of 1986.
This Memorandum shall incorporate all of the terms and provisions of the Agreement as
though fully set forth herein.
843\04\170095.1
This Memorandum is solely for recording purposes and shall not be construed to alter,
modify, amend or supplement the Agreement, of which this is a memorandum.
This Memorandum may be executed in any number of counterparts, all of which shall
constitute one and the same instrument.
IN WITNESS WHEREOF, the parties have executed this Memorandum as of the
date first written above.
PARTNERSHIP:
DEANZA GARDENS, L. P., a California Limited
Partnership, by its general partners
HOUSING AUTHORITY OF THE COUNTY OF
CONTRA COSTA, a public body, corporate and
politic
DEANZA HOUSING CORPORATION a California
nonprofit public benefit corporation
By:
Its:
843\04\170095.1
Acknowledgments
STATE OF CALIFORNIA
)ss
COUNTY OF ALAMEDA
_, 2003, before me, Jane C. Durango, a notary public, personally
appeared Rudy Tamayo personally known to me to be the person whose name is subscribed to
the within instrument and acknowledged to me that he executed the same in his authorized
capacity, and that by his signature on the instrument the person or the entity upon behalf of
which the person acted, executed the instrument.
WITNESS my hand and official seal.
COMM. #1331865
NOVMHMJMJC* CMJKMMA
AWMEOACOUH7Y
Corom.Exp. NOV. 23.2006
~~~~\/~~\/~V~V~^^M V X
843\04\170095.1
843\01\3043061.1
To : DEANZA HOUSING CORPORATION BOARD OF DIRECTORS
From: ELIZABETH CAMPBELL, DEANZA HOUSING CORPORATION
Date : May 6, 2021
Subject: AUTHORIZE ADMITTANCE AND WITHDRAWAL OF LIMITED PARTNERS AND
WITHDRAWAL OF GENERAL PARTNER FOR DEANZA GARDENS
I. RECOMMENDED ACTION:
Authorize and adopt DeAnza Housing Corporation Resolution No. 1001 to execute an amendment to the
Limited Partnership Agreement for the purposes of admittance and withdrawal of the Limited Partners and
withdrawal of a General Partner for DeAnza Gardens;
II. FINANCIAL IMPACT:
The Partnership will disburse to the withdrawing limited partners a disposition fee in the amount of Ten
Dollars ($10) plus any additional distributions or costs required to induce the withdrawing limited partners
to exit the Partnership, if any.
III. REASONS FOR RECOMMENDATION/BACKGROUND :
DeAnza Gardens (the "Project") is comprised of 180 units constructed in 2004 – 2005 and funded by a
number of resources including Low Income Housing Tax Credits ("LIHTC"). As part of the transaction,
DeAnza Garden, L.P., a California limited partnership (the "Partnership") was formed for the purpose of
owning, constructing, and operating the Project. DeAnza Housing Corporation was formed as a California
nonprofit public benefit corporation to serve as a general partner in the Partnership along with t he Housing
Authority of the County of Contra Costa ("HACCC"). BCP/DeAnza Ga rdens, LLC, a Delaware limited
liability company and BCCC, Inc., a Massachusetts corporation, are the investor limited partner and the
special limited partner of the Partnership, respectively (collectively, the "Limited Partners"), and
contributed the LIHTC equity to and received the tax credits from the P roject.
The P roject was placed in service in 2005 and 2006. The compliance period for the LIHTC is fifty-five (55)
years from the place-in -service date . The Federal tax credit recapture (“Compliance Period”) period expired
on December 31, 2019. During the 24 months after the expiration of the Compliance P eriod, HACCC has
a Purchase Option and Right of First Refusal to buy the project from the P artnership.
IV. PURCHASE PRICE UNDER PURCHASE OPTION AND RIGHT OF FIRST REFUSAL.
The purchase price for the Property pursuant to the Option (the "Option Price") shall be the greater of the
following amounts, subject to the provision set forth hereinbelow:
(a) Debt and Taxes. An amount sufficient (i) to pay all debts, liabilities and obligations of the Partnership
upon its termination and liquidation as projected to occur immediately following the sale pursuant to
the Option, including, but not limited to, fees and debts to Partners of the Partnership (or their
Affiliates), and (ii) to distribute to the Partners cash proceeds equal to the taxes projected by the
Auditors to be imposed on the Partners of the Partnership as a result of the sale pursuant to the
Option; or
843\01\3043061.1
(b) Fa ir Market Value. The fair market value of the Property, appraised as low -income housing taking
into account the effect on the projected income of the Property as a result of all Use Restrictions to
the extent continuation of such use is required under the Use Restrictions, taking into consideration
any repairs, improvements or deferred maintenance deemed necessary by a capital needs assessment
conducted by a third party inspector selected by the Partnership's regular Auditors, who is
experienced in determining capital needs for similar projects in Northern California .
HACCC has determined that the existing mortgage debt plus the long-term outstanding capital needs for
DeAnza Gardens exceed the fair market value of the property and, as such, the project has nominal value
to the existing investor. HACCC has engaged the services of an industry professional to negotiate a
purchase price of a ceremonial ten dollars to purchase the Limited P artners' interests in the Partnership
instead of purchasing the Project itself. The Partnership will continue to own the Project, but the Limited
P artners will be replaced.
HACCC shall be replacing the Limited Partner interests in the Partnership as the new limited partner and
shall withdraw as a general partner. DeAnza Housing Corporation shall remain as the general partner.
Moreover, in the near future, HACCC plans to refinance the mortgage loan on the property. At that time,
it is anticipated that a new LLC, with HACCC Casa Del Rio, Inc as its Sole Member, will be created as the
ownership entity of the property and the Limited Partnership will be dissolved.
V. CONSQUENCES OF NEGATIVE ACTION :
If the actions to admit the Housing Authority of the County of Contra Costa as the new limited partner and
the withdrawal of the current Limited P artners of the Partnership are approved, then HACCC will lose the
rights it has under the Option and Right of First Refusal to purchase the Limited P artnership interests for
$10 and will be forced to purchase the property under the Purchase Option and Right of First Refusal for a
much greater amount.
VI. ATTACHMENTS:
Resolution Authorizing Admittance and Withdrawal of Limited Partners and Withdrawal Of General
Partner For DeAnza Gardens
Purchase Option and Right of First Refusal
RECOMMENDATIONS
RECEIVE the Housing Authority of the County of Contra Costa’s investment report for the quarter ending
March 31st, 2021.
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.
Action of Board On: 05/18/2021 APPROVED AS RECOMMENDED OTHER
Clerks Notes:
VOTE OF COMMISSIONERS
AYE:John Gioia, Commissioner
Candace Andersen,
Commissioner
Diane Burgis, Commissioner
Karen Mitchoff,
Commissioner
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: May 18, 2021
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:May 18, 2021
Contra
Costa
County
Subject:INVESTMENT REPORT FOR THE QUARTER ENDING MARCH 31, 2021
BACKGROUND (CONT'D)
In summary, HACCC had $22,923.06 in interest earnings for the quarter ending March 31st, 2021. 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 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.
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 March 31st, 2021 is shown below. A more detailed report is
attached.
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
$9,857.11 $7,397.26 $2,149.64 $3,519.05
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).
ATTACHMENTS
Investment Report
RECOMMENDATIONS
ADOPT Resolution No. 5235 to approve collection loss write-offs in the public housing program in the
amount of $ 81,269.90 for the quarter ending March 31, 2021.
BACKGROUND
The Housing Authority takes action to write off accounts that have been determined to be non-collectible.
For this quarter ending March 31, 2021 a breakdown of the recommended write-offs, by housing
development, is provided in the table on the next page:
Action of Board On: 05/18/2021 APPROVED AS RECOMMENDED OTHER
Clerks Notes:
VOTE OF COMMISSIONERS
AYE:John Gioia, Commissioner
Candace Andersen,
Commissioner
Diane Burgis, Commissioner
Karen Mitchoff,
Commissioner
Federal D. Glover,
Commissioner
Contact: 9259578028
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: May 18, 2021
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:May 18, 2021
Contra
Costa
County
Subject:COLLECTION LOSS WRITE-OFF FOR THE QUARTER ENDING MARCH 31, 2021
BACKGROUND (CONT'D)
CA011-001
Alhambra Terrace
Martinez $217.10
CA011-003
Bridgemont
Antioch $20,089.25
CA011-004
Los Nogales
Brentwood $1,799.00
CA011- 005
El Pueblo
Pittsburg $4,304.00
CA011-008
Los Arboles
Oakley $2,817.28
CA011-010
Bayo Vista
Rodeo $33,211.15
CA011-011 Hacienda
Martinez $1,155.76
CA011-012 Casa de Manana
Oakley $1,045.23
CA011-013
Casa de Serena
Bay Point $7,306.13
CA011-015
Elder Winds
Antioch $524.00
CA011-4501
Vista del Camino
San Pablo $0
CA011-4502 Kidd Manor $8,801.00
TOTAL $81,269.90
A total of 33 accounts are being recommended for write-off, representing an average of $2,462.72 per
account.
The following table illustrates the collection losses per quarter for the past quarters.
Conventional Program
THIS QUARTER
03/31/2021 $81,269.90
03/31/2020 $40,644.89
12/31/2019 $97,148.32
03/31/2018 $50,381.06
Prior to submission of an account for write-offs, the staff makes every effort to collect money owed to
HACCC. Once the account is written off, staff uploads debt amount to HUD's Debts Owed System, to
further Housing Authorities efforts to collect monies owed. Past participants that owe Housing Agencies
may be denied admission to public housing or housing choice voucher programs in the future unless
debt is repaid.
FISCAL IMPACT
Uncollectible amounts impact the budget by reducing total rental income. The Housing Authority of the
County of Contra Costa (HACCC) regularly writes off those accounts that have been determined to be
uncollectible. Once an account is written off, it can be turned over to a collection agency. For the period
ending March 31, 2021, the collection loss write-off total is $81,269.90.
CONSEQUENCE OF NEGATIVE ACTION
Should the Board of Commissioners elect not to adopt Resolution No.5235 these accounts would inflate
the total accounts receivable for HACCC and present and inaccurate financial position.
AGENDA ATTACHMENTS
Write Off Chart
Resolution 5235
MINUTES ATTACHMENTS
Signed Resolution No. 5235
C:\Windows\TEMP\BCL Technologies \easyPDF 7\@BCL@A41E2B82\@BCL@A41E2B82.docx
M E M O R A N D U M
TO: Joseph Villarreal, Executive Director
FROM: Elizabeth Campbell, Director of Managed Housing Programs
SUBJECT: Vacated Collection Loss Write-Offs
DATE: MARCH 31, 2021
____________________________________________________________________________
I have reviewed the request for Vacated Collection Loss Write -Off Accounts submitted by the
Housing Managers and recommend that the following amounts be written off/submitted as n on-
collectible:
PROJECT RENT LEGAL MAINTENANCE TOTAL TENANT
ACCOUNTS
Alhambra Terr. Martinez
CAL 11-1
$167.60
-0-
$49.50
$217.10
2
Bridgemont, Antioch
CAL 11-3
$19,389.25
-0-
$700.00
$20,089.25
3
Los Nogales, Brentwood
CAL 11-4
$1,674.00
-0-
$125.00
$1,799.00
3
El Pueblo, Pittsburg
CAL 11-5
$4,124.00
-0-
$180.00
$4,304.00
3
Las Deltas, N. Richmond
CAL 11-6
-0-
-0-
-0-
-0-
0
Los Arboles, Oakley
CAL 11-8
$711.77
-0-
$2,105.51
$2,817.28
2
Las Deltas, N. Richmond
CAL 11-9A
-0-
-0-
-0-
-0-
0
Las Deltas, N. Richmond
CAL 11-9B
-0-
-0-
-0-
-0-
0
Bayo Vista, Rodeo
CAL 11-10
$27,707.59
-0-
$5,503.56
$33,211.15
7
Hacienda, Martinez
CAL 11-11
$1,105.76
-0-
$50.00
$1,155.76
3
Casa de Manana, Oakley
CAL 11-12
-0-
-0-
$1,045.23
$1,045.23
2
Casa de Serena
Bay Point
CAL 11-13
$6,127.13
-0-
$1,179.00
$7,306.13
2
Elder Winds, Antioch
CAL 11-15
$524.00
-0-
-0-
$524.00
1
Vista del Camino
San Pablo
4501
-0-
-0-
-0-
-0-
0
Kidd Manor, San Pablo
4502
$7,336.00
-0-
$1,465.00
$8,801.00
5
TOTALS:
$68,867.10
-0-
$12,402.80
$81,269.90
33
THE BOARD OF COMMISSIONERS
HOUSING AUTHORITY OF THE COUNTY OF CONTRA COSTA
RESOLUTION NO. 5235
RESOLUTION APPROVING COLLECTION LOSS WRITE-OFF IN THE AMOUNT OF $81,269.90 FOR THE
PERIOD ENDING MARCH 31, 2021
WHEREAS, a certain vacated tenant accounts have been determined to be uncollectable by
management; and
WHEREAS, these tenant accounts may have been, or may be, turned over to a collection agency for
continued collection efforts;
NOW, THEREFORE, BE IT RESOLVED, by the Board of Commissioners of the Housing Authority of the
County of Contra Costa that the following amounts be written off for collection loss for period
ending March 31, 2021
Conventional
Program
Dwelling Rent
$68,867.10
Legal Charges
$0
Maintenance & Other Charges
$12,402.80
TOTAL
$81,269.90
PASSED AND ADOPTED ON ___________________________by the following vote of the Commissioners.
RECOMMENDATIONS
ACCEPT a report on HACCC’s Executive Director’s receipt of Eden Housing’s Ilene Weinreb Civic
Leader Award.
BACKGROUND
The Housing Authority of the County of Contra Costa’s (HACCC) Executive Director was one of three
recipients who received Eden Housing’s first Ilene Weinreb Civic Leader Award. The Award is named
after Ilene Weinreb, a former Mayor of Hayward, who was an early champion of Eden Housing. Eden
Housing is an organization that grew out of a small group of community activists in Hayward that tried to
pass a statewide fair housing initiative in 1968. She is known for saying that, “affordable housing isn’t
something that happens automatically, you have to make it happen.”
The award was bestowed upon HACCC’s Executive Director primarily due to the partnership that HACCC
and Eden Housing forged. To date, HACCC has funded six of Eden Housing’s projects in Contra Costa
County, which is half of their Contra Costa portfolio. The projects are Brentwood Senior Commons in
Brentwood, Samara Terrace in Hercules, Belle Terre Apartments in Lafayette, Monteverde Apartments in
Orinda, Hana Gardens in El Cerrito and Miraflores in Richmond.
Action of Board On: 05/18/2021 APPROVED AS RECOMMENDED OTHER
Clerks Notes:
VOTE OF COMMISSIONERS
AYE:John Gioia, Commissioner
Candace Andersen,
Commissioner
Diane Burgis, Commissioner
Karen Mitchoff,
Commissioner
Federal D. Glover,
Commissioner
Contact: 9259578028
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: May 18, 2021
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:May 18, 2021
Contra
Costa
County
Subject:EDEN HOUSING’S CIVIC LEADER AWARD
BACKGROUND (CONT'D)
The other two Ilene Weinreb Civic Leader Award recipients were Kurt Wiest of the Alameda County
Housing Authority and Lewis Jordan of the Marin Housing Authority.
FISCAL IMPACT
None.
CONSEQUENCE OF NEGATIVE ACTION
None. Informational item only.