HomeMy WebLinkAboutMINUTES - 11091993 - 1.48 L. Contra
Costa
TO: BOARD, OF SUPERVISORS '''
c unci J
FROM: Harvey E. Bragdon County
Director of Community Development
DATE: November 9, 1993
SUBJECT: Youth Homes, Inc. Housing Project - CDBG Project Agreement 19-01 and
.Loan Documents
SPECIFIC REQUEST(S) OR RECOMMENDATIONS(S) & BACKGROUND AND JUSTIFICATION
RECOMMENDATIONS
AUTHORIZE the Deputy Director, Redevelopment, or his designee to: ( 1)
execute Community Development Block Grant (CDBG) Project Agreement 19-
01 with Youth Homes, Inc. , for acquisition of a six-bed group home for
AFDC-foster care youths; and (2) execute loan documents with Youth
Homes, Inc. , for this purpose.
FISCAL IMPACT
No General Funds are involved. Funds for this project were approved
from Contra Costa County' s FY 1993/94 CDBG allocation provided through
the U.S. Department of Housing and Urban Development (HUD) .
CONTINUED ON ATTACHMENT: X YES SIGNATURE: Gf
J
RECOMMENDATION OF COUNTY ADMINISTRATOR RECOMMENDAT 0 OF B ARD COMM. TEE
APPROVE OTHER
SIGNATURE(S) :
ACTION OF BOARD ON NOV 9 1993 APPROVED AS RECOMMENDED OTHER
VOTE OF SUPERVISORS
I HEREBY CERTIFY THAT THIS IS A
_�_/_ UNANIMOUS (ABSENT ) TRUE AND CORRECT COPY OF AN
AYES: NOES: ACTION TAKEN AND ENTERED ON THE
ABSENT: ABSTAIN: MINUTES OF THE BOARD OF
SUPERVISORS ON THE DATE SHOWN.
Contact: Kathleen Hamm
646-4208 ATTESTED NOV 9 1993
cc: County Administrator PHIL BATCHELOR, CLERK OF
County Counsel THE BOARD OF SUPERVISORS
Auditor-Controller (N. Garnett) AND COUNTY ADMINISTRATOR
Community Development
Youth Homes, Inc.
File D 1 . 1(e) ( 19 . 1)
BY , DEPUTY
BACKGROUND/REASONS FOR RECOMMENDATIONS
On February 23, 1993, the Board of Supervisors approved the
allocation of $80,000 in FY 1993/94 CDBG funds to Youth Homes,
Inc. , to acquire a six-bed group home located at 1603 Pleasant Hill
Road in Lafayette, California. The objective of this project is to
provide a stable and supportive living environment for AFDC-foster
care youths in Contra. Costa County. Residents will be referred to
Youth Homes for this facility by the Contra Costa County
Departments of Social Services and Probation and will include
victims of child and/or sexual abuse aged 15 to 18 . The project
will serve approximately 10 youths per year.
Youth Homes currently rents this residence for the purposes
specified. In 1992, the current owner foreclosed on the property
and placed it on the market. By acquiring this residence, Youth
Homes will be able to lower its operating costs and maintain an
existing facility which serves a significant need in the County.
The total cost of acquiring the residence is $295,000. The
property will be acquired with the following resources :
Youth Homes, Inc. $5,000
Private Lender Financing
(Wells Fargo Bank) $210,000
CDBG $80,000
Wells Fargo Bank will provide a first mortgage. The CDBG funds
will be provided to the project in the form of a fully deferred
silent second loan with an interest rate of 4 percent. The County
loan documents must be recorded in the real property records of
Contra Costa Countyat loan closing. Resale and use restrictions
will apply to the project during the term of the loan. At the end
of the loan term, Youth Homes will have the option of repaying the
loan or continuing to operate the property as a group home for
foster-care youths . If Youth Homes selects the latter option, the
CDBG loan will be forgiven at the end of the additional 20 years .
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