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HomeMy WebLinkAboutMINUTES - 02062001 - C.105 TO: BOARD OF SUPERVISORS -f Contra FROM: Dennis M. Barry, AICP ,. Costa Count Community Development Director `b:;.rq_coSwi+' y DATE: February 6, 2001 SUBJECT: FY 2000/01 CDBG Housing Development Assistance Fund SPECIFIC REQUEST(S) OR RECOMMENDATIONS(S) & BACKGROUND AND JUSTIFICATION RECOMMENDATIONS APPROVE the transfer of $1,723,670 in unallocated and unexpended funds from the sources identified below to the FY 2000/01 Community Development Block Grant Housing Development Assistance Fund (CDBG/HDAF): • $1,026,195 in unallocated funds from the FY 1999%00 CDBG/HDAF; • $250,000 in unexpended funds from the Rental Housing Rehabilitation Program (99-4-HSG); • $187,155 in unexpended funds from the San Pablo Housing Rehabilitation Program(99-5-HSG); • $260,320 in unexpended funds from the Neighborhood Preservation Program (99-6-HSG). APPROVE the allocation of$9,510 in CDBG program income from repayment of affordable housing loans originally made with CDBG funds to the FY 2000/01 CDBG/HDAF. FISCAL IMPACT No General Fund impact. CDBG funds are provided to the County annually on a formula allocation basis through the U.S. Department of Housing and Urban Development. CONTINUED ON ATTACHMENT: X YES - SIGNATURE: l _t4thCOMMENDATION OF COUNTY ADMINISTRATOR ECOMM DATION_ OF BOARD COMMITTEE Y APPROVE OTHER SIGNATURE(S): r ACTION OF BOAON a coo APPROVED AS RECOMMENDED X 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 K. Hamm (925) 335-1257 ATTESTED �Gdf-tc Q 6, ;�200/ Orig/cc: Community Development Dept. PHIL BATCHELOR, CLERK OF cc: County Administrator THE BOARD OF SUPERVISORS County Counsel AND COUNTY ADMINISTRATOR HACCC, City of San Pablo and County Building Inspection Dept. via CDD BY )-k7 m�C,t� _ , DEPUTY 1 BACKGROUND/REASONS FOR RECOMMENDATIONS On April 25, 2000, the Board of Supervisors approved the allocation of$770,500 to the FY 2000/01 CDBG/HDAF. The purpose of the CDBG/HDAF is to provide resources to assist affordable housing projects that develop during the current program year. The current balance of the FY 2000/.01 CDBG/HDAF is 1,053,500. Approval of the recommended fund transfers totaling $1,733,180 will consolidate existing unexpended and unallocated housing resources into the FY 2000/01 CDBG/HDAF to facilitate their use for additional affordable housing development. CDBG/HDAF funds have been used to fund a variety of projects, including affordable rental housing for very-low income households and seniors,transitional housing for homeless families,and affordable rental housing for special needs populations, including extremely-low income disabled adults. If all of the fund transfers are approved, the balance of the FY 2000/01 CDBG/HDAF will be $2,786,681.Based on current applications,letters of intent, and discussions with affordable housing developers,the Department has identified potential requests for FY 2000/01 CDBG/HDAF funds in the range of$4 million. The source of proposed fund transfers includes $697,475 in unexpended funds originally allocated to three loan programs for the rehabilitation of affordable rental and owner-occupied housing, including: • $250,000 from the Rental Rehabilitation Program operated by the Housing authority of the County of Contra Costa (99-4-HSG) • $187,155 from the San Pablo Housing Rehabilitation Program operated by the City of San Pablo (99-5-HSG) • $260,320 from the Neighborhood Preservation Program operated by the County Building Inspection Department (99-6-HSG) Each program is awarded an annual allocation consisting of a combination of current year CDBG funds and estimated CDBG program income. Program income is generated through the repayment of rehabilitation loans made in prior years. Due to housing market and interest rate conditions in FY 1999/00, the three rehabilitation programs generated substantially higher than anticipated program income,decreasing the amount of current year allocation required to successfully operate the programs and achieve identified rehabilitation objectives. , In addition to remaining FY 1999/00 CDBG fund balances from the rehabilitation program,the County received$9,510 in CDBG program income from repayment of the following affordable housing loans: • $9,000-repayment of a first-time homebuyer loan made with CDBG funds through the Najara Estates Project to assist very-low income households to purchase homes in Brentwood; • $510 payment on a residual receipts loan made with CDBG funds and provided to BRIDGE Housing Corporation for the Pinole Grove Apartments, affordable multifamily rental housing projects for seniors. As has been the case in past years, the unexpended FY 1999/00 fund balances and CDBG program income are recommended for transfer to the FY 2000/01 CDBG/HDAF for use in funding future affordable housing projects. kkh/w/word/BOS-HDAF-CD2000