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HomeMy WebLinkAboutAGENDA REPORT 2004 0519 CC REG ITEM 10D- �9aooA MOORPARK CITY COUNCIL AGENDA REPORT Ljyj� To: Honorable City Council From: Hugh R. Riley, Assistant City Mana Date: May 7, 2004 (CC Mtg. of May 19, 2004) Subject: Consider Resolution Amending the Fiscal Year 2003/2004 Annual Operating Budget to Provide for the Costs of Additional CalHome Loans and Administration of the Program DISCUSSION On June 28, 2001, the City was awarded $420,000 by the State Department of Housing and Community Development (HCD) for mobilehome rehabilitation loans under the CalHome Mobile Home Rehabilitation Program. The City Housing Operating Budget for F.Y. 2003 -2004 for the CalHome Program included an estimated expense appropriation of $100,000. In May 2003 the City Council approved changes to the City's program provisions for loans to be forgiven under certain circumstances. In October 2003 the Council authorized an increase in the maximum loan amounts. Together these actions caused a dramatic increase in applications from Villa Del Arroyo Mobile Home Park residents. As of May 1, 2004, all of the City's original allocation of $420,000 has been committed to eligible applicants. Twenty -five loans have been funded to date, with an average loan amount of $15,951. The City's share of the cost of each loan is approximately thirteen hundred dollars ($1,300). The City is reimbursed by the CalHome Program for the principal loan amount as well as an additional 5% Activity Delivery Fee for each loan. This 5% fee is used to offset the City's share of the loan costs. The average net cost to the City for each loan is $502. 000185 Honorable City Council Date 05/12/04 Page 2 A Mid -year Budget Adjustment increased the City Housing budget to $264,147 to cover additional loans as a result of the increase in activity. Since the mid -year adjustment, several more loans have been funded. A budget amendment in the amount of $58,100 is needed to cover these additional loans. Funds in the amount of $30,000 are also needed to cover the costs of the administration of the program. STAFF RECOMMENDATION (ROLL CALL VOTE REQUIRED) Adopt Resolution No. 2004 - 000186 RESOLUTION NO. 2004 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MOORPARK, CALIFORNIA, AMENDING THE FY 2003/2004 BUDGET BY ALLOCATING $88,100 FROM THE CITY HOUSING FUND FOR THE CALHOME LOAN PROGRAM AND RELATED ADMINISTRATION COSTS WHEREAS, on June 18, 2003, the City Council adopted the budget for Fiscal Year 2003/2004; and WHEREAS, On June 28, 2001, the City was awarded $420,000 by the State Department of Housing and Community Development (HCD) for mobile home rehabilitation loans under the CalHome Mobile Home Rehabilitation Program; and WHEREAS, a budget amendment is required to fully fund these CalHome Program loans. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF MOORPARK DOES HEREBY RESOLVE AS FOLLOWS: SECTION 1. That a budget amendment in the amount of $88,100 in City Housing funds, as described in Exhibit "A" attached hereto, is hereby approved. SECTION 2. The City Clerk shall certify to the adoption of this resolution and shall cause a certified resolution to be filed in the book of original Resolutions. PASSED AND ADOPTED this day of May, 2004. Patrick Hunter, Mayor ATTEST: Deborah S. Traffenstedt, City Clerk 000187 EXHIBIT A BUDGET AMENDMENT FOR CITY HOUSING FUND FY 2003 -04 FUND ALLOCATION FROM: Fund Account Number Amount City Housing Fund 2201 -5500 $ 88,100.00 $ 58,100.00 $ 322,247.00 2201.2430.2004.9283 Total $ 30,000.00 $ 88,100.00 DISTRIBUTION OF APPROPRIATION TO EXPENSE ACCOUNTS: Account Number Current Budget Revision Amended Budget 2201.2430.2004.9282 $ 264,147.00 $ 58,100.00 $ 322,247.00 2201.2430.2004.9283 $ - $ 30,000.00 $ 30,000.00 Total $ 264,147.00 1 $ 88,100.00 1 $ 352,247.00 Approved as to Form: U- 111 ;�