HomeMy WebLinkAboutAGENDA REPORT 1990 0207 CC REG ITEM 08N MOORPARK ITEM
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PAUL W.LAWRASON,Jr. STEVEN KUENY
• Mayer City Manager
SCOTTMONTGOMERY - 1->\
72-f; CHERYL J. KANE
Mayor Pro Tern
I City Attorney
ELOISE BROWN PATRICK RICHARDS,A.I.C.P.
Director of
Councilmember . Community Development
CLINT HARPER,Ph.D. %,.
R.DENNIS DELZEfT
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Councilmember
BERNARDO M.PEREZ City Engineer
JOHN V.GILLESPIE
Councilmember
Chief of Police
LILLIAN KELLERMAN
RICHARD T.HARE
City Clerk
City Treasurer
MEMORANDUM
'10: The Honorable City Council
Patrick J. Richards, Director of Community Development
DATE: February 2, 1990 (CC meeting of 2/7/90)
SUBJECT: FIRST-TIME BUYERS PROGRAM
Background
In July of 1989 the City was provided with the opportunity to provide five
new single family detached residential dwellings to first-time home buyers.
At the Council's August 2, 1989 meeting, the Affordable Housing Committee
presented the Council with a summary of criteria flA.Au which a program
should be created. The Council generally concurred with the Committee's
recommendations with same changes. It was the consensus of the Council to
continue pursuing finalization of the criteria. The Council agreed to
allow Griffin Hams to be involved Ja working with the Affordable Housing
Committee in the assessment of the f: nal criteria.
.Since August 1989, staff has held several meetings and placed numerous
phone calls with lending institutions regarding their participation in the
City's program. The need for a willing and reasonable lender is of
greatest concern to the success of this program. Several lenders appeared
to be very willing but their commitmont was centered on the ability to sell
the loans on the secondary mortgage market. The City has been looking for
a lender who could provide a great dt:.Nal .3f flexibility and was sensitive to
the City's interest in providing thi pr3grani.
Discussion
Recently the City received a ieply frau Simi Valley Bank regarding the
City's program which in general agrees with the City's requirements. Their
letter and subsequent follow up -ills disclosed a strong interest to
participate in this program.
799 Moorpark Avenue Moorpark. California 93021 (805)529-6864
TO: The Honorable City COunci-
FROM: Patrick J. Richards, Director of Community Development
DATE: February 2, 1990 (CC meeting of 2.'7/90)
SUBJECT: FIRST-TIME BUYERS PRCGRAM
Page -2-
It is apparent that the City may need to fund a buy down of the interest
rate to insure a sufficient number of applicants can qualify for the
program. As you will recall %he City has up to $10,000to help each of the
five selected buyers.
At a meeting held with Griffin Homes January 24, 1990 they indicated that
the subject units could be ready for occupancy by late June early July of
this year. Cnce the foundation slabs are in place, and lumber on site the
construction should take approxinaU,ly six (6) months.
The next step in this process is the finalization of all the specifics on
how the program will actually function; under what criteria the names are
to be drawn; who is to qualify the buyers, etc. An agreement between the
City, Griffin Homes and the lender would need to be reached as to who will
do what and when. In order to meet the construction timetable; the City
will need to hold the drawing for he five homes within the next 4 to 6
weeks.
Staff Recommended Action
That Council direct staff to finalize all tasks associated with this
project as soon as possible and to return to the Council with an outline of
City, Griffin Homes, and lender trepcmsibilities in this project.
Attachment:
Staff Report dated 7-28-89