2011 05 17 HANOTICE AND CALL OF SPECIAL MEETING
OF THE LA QUINTA HOUSING AUTHORITY
TO THE MEMBERS OF THE HOUSING AUTHORITY OF THE CITY OF LA QUINTA
AND TO THE CITY CLERK:
NOTICE IS HEREBY GIVEN that a special meeting of the Housing Authority
of the City of La Quinta is hereby called to be held on May 17, 2011 at 2:00 p.m.,
at La Quinta Civic Center, City Council Chamber, 78495 Calle Tampico, La Quinta,
CA 92253.
Dated: May 13, 2011 /s/ Kristy Franklin
Chairperson
Attest:
Veronica J. Montecino, CMC
Secretary
DECLARATION OF POSTING
I, Veronica
J. Montecino, CMC, Secretary
of the Housing Authority, do hereby
declare that
the foregoing agenda
for the
Special La Quinta Housing Authority
meeting of
May 17, 2011, was
posted
on the outside entry to the Council
Chamber at
78-495 Calle Tampico
and on
the bulletin boards at 51-321 Avenida
Bermudas and 78-630 Highway 111
on May 13, 2011.
DATED: May 13, 2011
Veronica J. Montecino, Secretary
La Quinta Housing Authority, California
Housing Authority Agenda
001
May 17, 2011
•C
U O� e I V
5
cFM OF I7��
IR01 10 ECTA111
CITY COUNCIL CHAMBERS
78-495 Calle Tampico
La Quinta, California 92253
Regular Meeting
TUESDAY, MAY 17, 2011
2:00 P.M. CLOSED SESSION / 4:00 P.M. OPEN SESSION
Beginning Resolution No. HA 2011-004
CALL TO ORDER
Roll Call:
Board Members: Adolph, Evans, Henderson, Sniff, and Chairperson Franklin
PUBLIC COMMENT
At this time members of the public may address the Housing Authority on any matter not
listed on the agenda. Please complete a "request to speak" form and limit your comments
to three minutes.
CLOSED SESSION
NOTE: Time permitting the Housing Authority may conduct Closed Session discussions
during the dinner recess. Persons identified as negotiating parties are not invited into the
Closed Session meeting when acquisition of real property is considered.
1. CONFERENCE WITH THE HOUSING AUTHORITY'S REAL PROPERTY
NEGOTIATOR, DOUGLAS R. EVANS, PURSUANT TO GOVERNMENT CODE
.SECTION 54956.8 CONCERNING POTENTIAL TERMS AND CONDITIONS OF
ACQUISITION AND/OR DISPOSITION OF CERTAIN REAL PROPERTIES
DESCRIBED AS FOLLOWS: APNs / PROPERTY OWNERS / NEGOTIATORS:
• ry oo`
HOUSING AUTHORITY AGENDA 1 MAY 17, 2011
600-030-001 THRU 005 AND 008-009 / BRIDGE HOUSING, KIMBERLY
McKAY, AND 609-040-028 / NATIONAL CORE, ALFREDO IZMAJTOVICH
CONFIRMATION OF AGENDA
APPROVAL OF MINUTES
1. APPROVAL OF MINUTES OF APRIL 19, 2011
CONSENT CALENDAR
NOTE: Consent Calendar items are considered to be routine in nature and will be approved
by one motion.
1. APPROVAL OF DEMAND REGISTER DATED MAY 17, 2011
2. RECEIVE AND FILE TREASURER'S REPORT DATED MARCH 31, 2011
3. RECEIVE AND FILE REVENUE AND EXPENDITURE REPORT FOR MARCH 31,
2011
4. APPROVAL OF HOUSING COMMISSION WORK PLAN FOR FISCAL YEAR
201 1-2012
5. APPROVAL OF SALE OF FORECLOSED HOMES TO INCOME -QUALIFIED
BUYERS
BUSINESS SESSION - NONE
CHAIR AND BOARD MEMBERS' ITEMS - NONE
REPORTS AND INFORMATIONAL ITEMS
1. HOUSING COMMISSION MINUTES DATED OCTOBER 13, 2010
2. HOUSING COMMISSION MINUTES DATED JANUARY 25, 2011
PUBLIC HEARINGS - NONE
For all Public Hearings on the agenda, a completed "request to speak" form must be filed
with the City Clerk prior to consideration of that item.
ADJOURNMENT
HOUSING AUTHORITY AGENDA 2 MAY 17, 2011
003
The next regular meeting of the Housing Authority will be held on June 21, 2011
at 4:00 p.m. in the City Council Chambers, 78-495 Calls Tampico, La Quinta, CA
92253.
DECLARATION OF POSTING
I, Veronica Montecino, City Clerk of the City of La Quinta, do hereby declare that
the foregoing agenda for the La Quinta Housing Authority meeting of May 17,
2011, was posted on the outside entry to the Council Chamber at 78-495 Calle
Tampico and on the bulletin boards at 51-321 Avenida Bermudas and 78-630
Highway 111, on May 13, 2011.
DATED: May 13, 2011
SUSAN YSELS, Deputy City Clerk for
VERONICA J. MONTECINO, City Clerk
City of La Quinta, California
Public Notice
Any writings or documents provided to a majority of the Housing Authority regarding any
item on this agenda will be made available for public inspection at the City Clerk counter at
City Hall located at 78-495 Calls Tampico, La Quinta, California, 92253, during normal
business hours.
004
HOUSING AUTHORITY AGENDA 3 MAY 17, 2011
rrr,
HOUSING AUTHORITY MEETING DATE: May 17, 2011
ITEM TITLE: Approval of Demand Register Dated
May 17, 2011
RECOMMENDATION:
It is recommended the Housing Authority Board:
Receive and File the Demand Register Dated
May 17, 2011 of which $550.00
represents Housing Authority Expenditures.
AGENDA CATEGORY:
BUSINESS SESSION
CONSENT CALENDAR
STUDY SESSION
PUBLIC HEARING
PLEASE SEE CONSENT CALENDAR ITEM NUMBER 1 ON CITY COUNCIL AGENDA
005
T-af 4 4 a"
COUNCIL/RDA MEETING DATE: Mav 17, 2011
ITEM TITLE: Receive and File Treasurer's
Report dated March 31, 2011
RECOMMENDATION:
AGENDA CATEGORY:
BUSINESS SESSION:
CONSENT CALENDAR: 2'
STUDY SESSION:
PUBLIC HEARING:
It is recommended the La Quinta Housing Authority Board:
Receive and File the Treasurer's Report dated March 31, 2011.
C&hf 4 4 a"
COUNCIL/RDA MEETING DATE: May 17, 2011
ITEM TITLE: Receive and File Revenue and
Expenditure Report for March 31, 2011
RECOMMENDATION:
Receive and File
BACKGROUND AND OVERVIEW:
AGENDA CATEGORY:
BUSINESS SESSION:
CONSENT CALENDAR:
STUDY SESSION:
PUBLIC HEARING:
Transmittal of the March 31, 2011 Statement of Revenue and Expenditures for the La
Quinta Housing Authority.
submitted,
.; 4' l44n6^1---
John M. Falconer, Finance Director
Approved for submission by:
Thomas P. Genovese, Executive Director
Attachment: 1. Revenue and Expenditures Report, March 31, 2011
A l l AGP'IIVItIV I T
0710112010 - 0313112011
LA QUINTA HOUSING AUTHORITY
ADJUSTED
REMAINING
% -
REVENUE SUMMARY
BUDGET
RECEIVED
BUDGET
RECEIVED
PROJECT AREA NO 1 HOUSING AUTHORITY
Allocated Interest Income
0.00
774.13
(774,13)
0.000%
Rental Income
216,000.00
180,531.36
35,468.64
83.580%
Transfer In
979,075.00
821,093.99
157,981.01
83.860%
TOTAL LQ HOUSING AUTHORITY PA 1
1,195,075.00
1,002,399.48
192,675.52
83.880%
PROJECT AREA NO 2 HOUSING AUTHORITY
WSA Fed Govt Assistance Pymts
451,400.00
334,792.00
116,608.00
74.170%
WSA Fed Govt Interest Rate Subsidy
46,800.00
0.00
46,800.00
0.000%
WSA Interest Income
0.00
0.00
0.00
0,000%
WSA Non Allocated Interest Income
3,600.00
803.45
2,796.65
22.320%
WSA Rental Income
163,300.00
126,854.13
36,445.87
77.680%
WSA Other Revenues
4,200.00
2,850.79
1,349.21
67.880%
Transfer In
534,787.00
509,111.74
25,675.26
95,200%
TOTAL LQ HOUSING AUTHORITY PA 2
1,204,087.00
974,412.11
229,674.89
80.930%
008
E
LA QUINTA HOUSING AUTHORITY
ADJUSTED
03/31/11
REMAINING
EXPENDITURE SUMMARY
BUDGET
EXPENDITURES ENCUMBERED
BUDGET
PROJECT AREA NO 1 HOUSING AUTHORITY
INTEREST ADVANCE
D.00
1.%
(7%)
SERVICES
395,850.00
141,394.10
25g45590
TRANSFER OUT
4000D.00
40000.00
TOTAL PROJECT AREA NO 1 HOUSING AUTHORITY
0.00
PROJECT AREA NO 2 HOUSING AUTHORITY
SERVICES
23, 5W 00
1,350.00
23,500.00
WASH ST APTS EXPENSES
429, 3W000
239.37275
189.927.25
WSA PRIWPROVIDENT LOAN -
27,52500
20,427.35
7,N765
WSA PRIWUSDA LOAN
11,788,00
8.642.84
3,145.16
WSA INTEREST/PROVIDENT LOAN
125949.00
95,428.48
31,520.52
WSA INTERESTIUSDA LOAN
73,49 ,(X)
20,670.84
52.823.16
INTERESTADVANCE
000
7.I3
p.]3)
TOTAL PROJECT AREA NO2HOUSING AUTHORITY
§FSu8-6�3858§§.§30,00
TOTAL HOUSING AUTHORITY
009
3
r
I I
AGENDA CATEGORY:
COUNCIL/RDA/HA MEETING DATE: May 17, 2011
BUSINESS SESSION:
ITEM TITLE: Approval of Housing Commission Work Plan
for Fiscal Year 201 1-2012 CONSENT CALENDAR:
STUDY SESSION:
PUBLIC HEARING:
RECOMMENDATION:
Approve the Housing Commission Work Plan for Fiscal Year 201 1-2012.
FISCAL IMPLICATIONS:
None.
CHARTER CITY IMPLICATIONS:
None.
BACKGROUND AND OVERVIEW:
The current Fiscal Year 2010-1 1 was the inaugural year for the Housing Commission.
Commissioners received training in California Redevelopment Law and the State
mandate to secure and provide affordable housing; La Quinta Housing History; La
Quinta's foreclosed home rehabilitation and sale programs; and toured the City's
affordable housing inventory which included very low-, low- and moderate -income
housing built and/or rehabilitated multi -family and single-family residential dwellings.
On April 20, 2011, the Housing Commission approved the Work Plan for Fiscal Year
2011-2012 for the Housing Authority's consideration (Attachment 1). The Housing
Commission Work Plan will again combine Commission member trainings with matters
deemed review -and -advise.
-." 010
FINDINGS AND ALTERNATIVES:
The alternatives available to the Agency Board include:
1. Approve the Housing Commission Work Plan for Fiscal Year 2011-2012; or
2. Do not approve the Housing Commission Work Plan for Fiscal Year 2011-2012;
or
3. Provide staff with alternative direction.
Respectfully submitted,
Douglas R vans
Assistant City Manager — Development Services
Approved for submission by:
!G2��'1'G+CO
Thomas P. Genovese, Executive Director
Attachment: 1. Housing Commission Work Plan 2011-2012
Oil
ATTACHMENT 1
Housing Commission
Work Plan
Fiscal Year 2011-2012
On October 20, 2009, Ordinance No. 473 was enacted which formally
created the La Quinta Housing Commission. The Housing Commission's
function is to review and make recommendations on all matters to come
before the Housing Authority, except emergency matters and matters the
Housing Commission itself elects not to consider.
Within thirty (30) days after the Housing Authority has submitted a matter to
the Housing Commission for its review and recommendation, the Housing
Commission shall make and file its report thereon with the Housing
Authority. If the Housing Commission does not report upon the matter
within thirty (30) days after its submission by the Housing Authority, the
Housing Commission shall be deemed to have waived its review and
recommendations concerning the matter and the Housing Authority may
thereafter take action on the matter without the report of the Housing
Commission.
Fiscal Year 2010-2011 was an inaugural year for the Housing Commission.
As such, staff recommends the Work Plan for 201 1-2012 again combine
Commission member trainings with matters deemed review -and -advise.
• Continue to review the Bylaws and Rules of Procedure of the La
Quinta Housing Authority as they pertain to the Housing Commission
• Review of properties transferred from the Redevelopment Agency
(RDA) to the Housing Authority
• Review documents for Housing Authority -owned properties, including:
o Plan to select applicants to assure equal opportunity and
nondiscrimination
o Application for Admission or Recertification - Washington
Street Apartments
o Rental Agreement - Washington Street Apartments
o Rental Agreement - Cove Homes
o Rules and Regulations - Washington Street Apartments
o Rules and Regulations - Cove Homes
012
a < �-
0,
l 1� Na
��cEb OF
COUNCIL/RDA/HA MEETING DATE: May 17, 2011
ITEM TITLE: Approval of Sale of Foreclosed Homes
to Income -Qualified Buyers
RECOMMENDATION:
AGENDA CATEGORY:
BUSINESS SESSION: _
CONSENT CALENDAR: S
STUDY SESSION:
PUBLIC HEARING:
Authorize the Executive Director to take all necessary actions to sell the homes
currently owned by the Housing Authority, and homes purchased or acquired in the
future by the Housing Authority, to income -qualified buyers; and ratify the sale that
have already occurred.
FISCAL IMPLICATIONS:
None. The La Quinta Redevelopment Agency purchases the homes, funds the
rehabilitation, and pays real estate commissions, half of the closing costs, and other
required fees. Proceeds from the sale of the home on Avenida Rubio will result in
$120,628, which can be used for future programs.
BACKGROUND AND OVERVIEW:
In May 2009, the La Quinta Redevelopment Agency approved the Home Foreclosure
Purchase Program whereby the Agency purchases homes at foreclosure sales that are
in need of substantial rehabilitation, rehabilitates the homes to a level consistent with
the surrounding neighborhood, then sells or rents the homes to income -qualified buyers
at affordable sales prices or affordable rents. Long-term affordability covenants are
recorded against the homes that restrict the resale to income -qualified buyers at
affordable sales prices. Through this program, the Agency has purchased 12 homes,
seven of which have been completely rehabilitated and five of which are in the final
stages of rehabilitation. La Quinta Palms Realty has been contracted to locate homes
to purchase through foreclosure sales; help manage the rehabilitation process along
with City staff; and sell the homes to qualified buyers or rent the homes to income -
qualified tenants.
013
In March 2011, the Agency transferred ownership of all. Agency -owned housing
inventory to the Housing Authority for on -going operation, maintenance, and future
disposition (sale or rental to income -qualified households). During that time, sales
contracts with income -qualified buyers had been executed for three of the homes; the
sales contracts for two of the contracts were executed by the Agency and one by the
Housing Authority.
Additionally, when the Home Foreclosure Purchase Program was initially approved by
the Agency Board, it was understood that the homes would likely be sold to income -
qualified buyers at affordable prices. However, the Agency Board did not specifically
grant the Executive Director authority to take necessary steps to sell the homes, only
to purchase and rehabilitate the homes.
Now that all the homes are owned by the Housing Authority, staff is seeking
ratification of the three sales that have already occurred, and authorization for the
Executive Director to take all necessary steps to sell the houses and any houses later
acquired by the Housing Authority to income -qualified buyers. This will allow for the
sale and escrow process to be completed in a timely manner. The Housing
Commission reviewed this issue at its April 27, 2011 meeting and recommended
approval of the above -noted actions.
Below is a summary of the Home Foreclosure Purchase Program to date:
Completed Sales:
Purchase Price Rehab Cost Sale Price 1" Trust Deed 2nd Trust Deed
Rubio* $126,077 $67,824 $135,000 $70,000 $65,000
Velasco** $100,730 $85,546 $135,000 $65,927 $65,000
Diaz** $110,740 $47,048 $135,000 $111,377 $20,000
(* Sold by Housing Authority)
(** Sold by Agency)
Houses in Escrow
Purchase Price Rehab Cost Sale Price 151 Trust Deed 2ntl Trust Deed
Velasco $114,099 $51,878 $135,000 $ 65,000 $65,275
Houses for Sale
Carranza
Eisenhower
Vallejo
Purchase Price
$81,000
$ 68,140
$73,400
Rehab Cost
$91,182
$ 6,621
$47,737
» 014
Houses Under Rehabilitation
Purchase Price
Carranza
$73,400
Sonora
$96,486
Navarro
$70,000
Mendoza
$81,852
Carranza
$72,500
The Agency's purchase price ranged from $68,000 to $126,000, depending on the
condition of the house. The cost to rehabilitate the homes ranged from $6,621 to
$91,182. All of the houses contain roughly the same total square footage
(approximately 1,300 sq. ft.); three bedrooms; two baths; and a two -car garage.
A sales price of $135,000 has been determined to be affordable to very low-, low-,
and moderate -income households at this time. The price is based on home value and
affordability guidelines which include income and number of household members. The
sales price may be adjusted in the future, depending on, market conditions and interest
rates. In connection with each sale, the Agency provides a 2nd trust deed loan to the
buyer. This allows the buyers to obtain a 1 t trust deed loan from a market -rate lender
that they can afford. The buyer also provides a modest down payment. The 2nd trust
deed loan secures the 45-year affordability covenant on the home, which allows the
home to be counted towards the Agency's affordable housing production
requirements. The buyer does not make monthly payments on the 2nd trust deed. If
the buyer were to stay in the home for 45 years, the 2n1 trust deed would be forgiven.
If the buyer sells the home before the 45 year period ends, the 2nd trust deed stays
with the home, and the home must be sold at an affordable price to another income -
qualified buyer.
While the sales price of $135,000 does not cover the Agency's purchase and
rehabilitation costs, it should be noted that redevelopment law requires that the
rehabilitation must cost at least 25% of the purchase price. The exception above is
the unit on Eisenhower. This house already had an affordability covenant; the Agency
purchased it back because it was about to go into foreclosure. The Agency's
investment advances the program goals of alleviating blight by rehabilitating severely
dilapidated foreclosed homes to stabilize neighborhoods, and rehabilitate properties
that may otherwise remain blighted. These homes are so severely blighted that most
private sector investors will not purchase the homes. In addition, all rehabilitation
work is performed by local contractors, which provides jobs.
Of the homes that have been completely rehabilitated, three have been sold and one is
in escrow. Two homes were sold in March to very low-income families and one in
April to a moderate -income family. The house in escrow will be sold to a very low-
income family.
Staff will provide the Housing Authority with a quarterly report regarding this program.
015
FINDINGS AND ALTERNATIVES:
The alternatives available to the Housing Authority include:
1. Authorize the Executive Director to take all necessary actions to sell the homes
currently owned by the Housing Authority, and homes purchased or acquired in
the future by the Housing Authority, to income -qualified buyers; and ratify the
sale that have already occurred; or
2. Do not authorize the Executive Director to take all necessary actions to sell the
homes currently owned by the Housing Authority, and homes purchased or
acquired in the future by the Housing Authority, to income -qualified buyers; and
do not ratify the sale that have already occurred; or
3. Provide staff with alternative direction.
Respectfully submitted,
s
Douglas PWEvans
Assistant City Manager — Development Services
Approved for submissio y:
thomas P. Genovese, Executive Director
016
REPORTS & INFORMATIONAL ITEMS:
MINUTES
HOUSING COMMISSION MEETING
A Special meeting held in the Study Session Room
at the La Quinta City Hall
78-495 Calle Tampico, La Quinta, CA
October 13, 2010
This meeting of the Housing Commission was called to order at 6:05 p.m. by
Douglas Evans, Assistant City Manager — Development Services.
I. CALL TO ORDER
A. Pledge of Allegiance
B. Roll Call
Present: Commissioners Pam Dorsey, Teresa LaRocca, John
Jamison, Sue Leider
Absent: Commissioner Esperanza Polanco
Staff
Present: Douglas R.
Evans,
Assistant City Manager,
Development
Services,
Debbie Powell, Economic
Development
Project
Manager, Betty Sawyer,
Management
Assistant,
Karen Frane, Management
Assistant and
Lori Lafond, Executive Assistant
C. Introductions
II. PUBLIC COMMENT: None.
III. BUSINESS ITEM:
1. Election of Chairperson and Vice Chairperson
A. Nominations were opened for Chairperson
Commissioner Leider nominated Commissioner LaRocca as
Chairperson. There being no further nominations, nominations were
closed.
017
Housing Commission
October 13, 2010
It was moved and seconded by Commissioners Leider and Jamison to
elect Commissioner LaRocca as the Chairperson. AYES:
Commissioners Dorsey, Jamison, Leidner. NOES: None. ABSENT: .
Commissioner Polanco. ABSTAIN: None.
B. Nominations were opened for Vice Chairperson
Chairperson LaRocca nominated Commissioner Jamison as Vice
Chairperson. There being no further nominations, nominations were
closed.
It was moved and seconded by Chairperson LaRocca and
Commissioner Leidner to elect Commissioner Jamison as the Vice
Chairperson. AYES: Commissioners Dorsey and Leidner and
Chairperson LaRocca. NOES: None. ABSENT: Commissioner Polanco.
ABSTAIN: None.
After election of Chair and Vice Chair, staff reminded the Commission
to make a motion to excuse Commissioner Polanco's absence.
Commissioner Leidner moved to excuse Commissioner Polanco; AYES:
Commissioners Dorsey, Jamison and Leidner and Chairperson
LaRocca. NOES: None. ABSENT: Commissioner Polanco. ABSTAIN:
None.
IV. CONFIRMATION OF THE AGENDA: Confirmed.
V. CONSENT CALENDAR: None.
VI. BUSINESS ITEMS:
2. Consideration of a Resolution Establishing a Time and Location for
Meetings of the La Quinta Housing Commission.
a. Staff recommended that the Commission meet on the second
Wednesday of each month at 6:00 p.m.
b. Staff stated that monthly meetings may not be necessary and
can be on an as needed basis.
Commissioners Dorsey and Leidner moved to adopt Resolution 2010-
001 approving a Resolution of the Housing Commission of the City of
La Quinta, California, Establishing Time and Location of Housing
Commission Meetings.
f�:
Housing Commission
October 13, 2010
VII. COMMISSIONER ITEMS: None.
Vill. STAFF ITEMS:
1. Discussion of the Housing Commission Work Plan Fiscal Year 2010-
2011
a. Staff presented the staff report. Chairperson LaRocca asked
how many units the city controls and what they plan to do with the recently
purchased homes. Staff explained that the Redevelopment Agency
("Agency") owns 27 homes that are Section 8 rentals and just recently
purchased six homes that have been rehabilitated or are in the process of
rehabilitating. A seventh recently purchased home was in escrow. Staff
explained that the Agency is looking at selling these homes.
Staff added that the Agency also owns Washington Street Apartments
which consists of 73 units for very -low income seniors and special needs
residents. Staff will give an update at a later time.
Commissioner Dorsey brought up the fact that she has a few clients in the
Washington Street Apartments and wanted to make sure there is no conflict
of interest while serving as a Commissioner on the Housing Commission.
Staff indicated that at this time, no conflict exists but will need to be
discussed if the Washington Street Apartments are transferred to the
Housing Authority.
2. Discussion of La Quinta Housing History
a. Agency presented the staff report. Staff explained that the
Redevelopment was created back in 1945 as a funding mechanism for cities
to eliminate blight primarily in urban areas. It was expanded and added the
affordable housing element to redevelopment which eliminates blight and
make places better to live, helps with. infrastructure, help with economic
development as well as providing affordable housing. Redevelopment
agencies oversee the redevelopment activities and, in our case, the City
Council acts as the Redevelopment Agency Board.
In La Quinta, the Agency has a very comprehensive housing program and
that is what allowed the City to put together the Housing Commission. As
part of redevelopment, the State mandates us to provide a certain number of
affordable units. At this point, we are mandated to produce 2,307
affordable units and a certain percentage has to be for very -low income
3
Housing Commission
October 13, 2010
households. Today, the Agency has secured 1,531 units. Over the next 20-
30 years, we have to produce another 776 affordable units, which is a
challenge due to land space.
Some of the things that our Agency does to produce affordable housing is
purchase land and help underwrite some of the construction costs involved.
As in the foreclosed home program and the Washington Street Apartments
project, the Agency will purchase older units and make them available for
tenants.
The Agency has established a home foreclosure program where they direct
the staff to go out and find homes that meet certain criteria that the Agency
Would purchase, rehabilitate and then try to sell them to qualified affordable
buyers. If they cannot be sold, they will be put into our rental program. The
Agency tries to purchases the houses that no one else wants because we
don't want to take a home away from a family that wants to buy an
affordable house and wants to put equity into it and rehabilitate it. The
Agency watches foreclosures and homes that sit on the market or go out
and find the homes we know will not sell due to their condition. When the
homes are purchased, we are required to invest 25% of the value of the
home in rehabilitation to be able to secure a Housing Covenant. A covenant
gives us one credit for the Agency for a unit that we can count as
affordable. Depending on the type of unit purchased, the affordability
requirement is 45 or 55 years. If we sell the homes, the Agency explains to
the buyer the different between buying an affordable house as opposed to a
market rate house. When they purchase a home that has a covenant on it,
for the life of that covenant (45 yrs.), the house must be maintained as an
affordable house. The owner will gain equity in the house but it is based on
the amount they have invested and not the value of the house.
Chairperson LaRocca asked about resale restrictions as well as refinance
restrictions
Staff explained that the homes the Agency recently purchased were financed
with first and second trust deeds. The Agency acts as the lender so the
house can never be lost due to a foreclosure. Staff will discuss further at a
later date.
Staff discussed the Agency's affordable housing projects listed on
Attachment 1.
3. Discussion of Joint Housing Commission and Housing Authority
Meeting on November 9, 2010
02�
0
Housing Commission
October 13, 2010
a. Staff presented the staff report. Chairperson LaRocca stated
she would like to ask the Council what their expectations are of the Housing
Commission.
4. Discussion of Ethics Training for Elected and Appointed Officials
a. Staff presented the staff report.
IX. CORRESPONDENCE AND WRITTEN MATERIAL: None.
X. ADJOURNMENT:
There being no further business, it was moved and seconded by Vice Chair
Jamison and Commissioner Dorsey to adjourn this meeting of the Housing
Commission. This meeting of the Housing Commission was adjourned on
October 13, 2010, at 7:07 p.m. AYES: Commissioners Dorsey, Jamison,
Leider and Chairperson LaRocca and Commissioner Leidner. NOES: None.
ABSENT: Commissioner Polanco. ABSTAIN: None.
Submitted by
I *oA
�v
Zori Lafond
Executive Assistant
021
4,
REPORTS & INFORMATIONAL ITEMS: Z
MINUTES
HOUSING COMMISSION MEETING
A Special meeting held in the Study Session Room
at the La Quinta City Hall
78-495 Calle Tampico, La Quinta, CA
January 25, 2011
This meeting of the Housing Commission ,was called to order at 1 :34 p.m. by
Chairperson LaRocca.
CALL TO ORDER
A. Pledge of Allegiance
B. Roll Call
Present: Commissioners Pam Dorsey, Sue Leider and Chairperson
Teresa LaRocca
Absent: It was moved and seconded by Commissioner Dorsey
and Chairperson LaRocca to excuse Commissioners
Jamison and Polanco. Unanimously approved.
Chairperson LaRocca asked for an update on Polanco's
absences and whether they can excuse her.
Staff stated it was at the discretion of the Commission.
Chairperson LaRocca requested clarification on
Commissioner Polano and whether she intends to attend
any meetings. Staff stated that the matter will be
referred to Council since she has not attended any of
the scheduled meetings. Chairperson LaRocca
requested an update on the provision regarding
absences.
Staff
Present: Douglas R.
Development
Assistant
PUBLIC COMMENT: None.
Evans, Assistant City Manager,
Services and Lori Lafond, Executive
CONFIRMATION OF AGENDA: Confirmed.
Housing Commission
January 25, 2011
III. CONSENT CALENDAR:
It was moved and seconded by Commissioners Dorsey and Leidner to
approve the minutes as submitted. Unanimously approved.
IV. BUSINESS ITEMS:
Doug Evans, Assistant City Manager -Development Services, gave an
overview of the housing projects that the Commission would be touring
during this meeting. The tour would include a Section 8 rental home in the
Cove, the Vista Dunes Courtyard Homes, and the Wolff Waters project.
Staff members Debbie Powell and Betty Sawyer would provide a summary of
each project during the tour.
Chairperson LaRocca asked about the groundbreaking for the two Habitat for
Humanity homes. Mr. Evans explained that Habitat for Humanity had broken
ground on two homes and the Agency was considering entering into an
agreement for them to do five or six more homes.
Commissioner Leidner asked if the City's housing funds were in jeopardy due
to the budget changes proposed by Governor Brown. Mr. Evans indicated
that at this point, it was unknown what affect the proposed budget would
have on the City. Staff was monitoring the actions being taken at the State
level and would inform the Commission when, and what changes would be
made.
The Commission recessed at 1:46 p.m. to tour the City's housing inventory.
V. COMMISSIONER ITEMS: None.
VII. STAFF ITEMS: None.
Vill. CORRESPONDENCE AND WRITTEN MATERIAL: None.
023
VA
Housing Commission
January 25, 2011
IX. ADJOURNMENT:
There being no further business, it was, moved by Commissioner Leidner and
seconded by Commissioner Dorsey to adjourn this meeting of the Housing
Commission. This meeting of the Housing Commission was adjourned on
January 25, 2011, at 3:44 p.m. Unanimously approved.
Submitted by:
Lori Lafond
Executive Assistan
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