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HomeMy WebLinkAboutAGENDA REPORT 1992 0603 CC REG ITEM 08SMOORPARK S• 799 Moorpark Avenue Moorpark, California 93021 (805) 529- 6864,,,�,f C,,,� I7C7,%! A TO: The Honorable City Council FROM: Donald P. Reynolds Jr., Management DATE: May 29, 1992 Cam' ^ll hll0O i;CT(ON: Analyst u- SUBJECT: Consider Exchange of Funds in Support of the Boys and Girls Club Acquisition of the Casey Road Gym The following report requests that the Council authorize staff to proceed in scheduling a public hearing for the reprogramming of CDBG funds provided to the Boys and Girls Club in support of their purchase of the gym, in exchange for Gann Funds currently appropriated for use on the Charles Street improvements. Discussion After meeting with the County of Ventura CAO's office and representatives from the Boys and Girls Club, all concerned parties feel that removing CDBG from the gym acquisition project is the preferred way to meet the objectives of the Club, County and City. The County of Ventura has expressed concern that eligibility records of all persons using the gym will be difficult for the Club to maintain. The eligibility requirement is part of the agreement between the City and the Club. It expands beyond the Club's use of the gym to include all rentals and non -Club activities. If the residents of Moorpark were primarily low income, this would not be difficult, however, the City is not. Therefore, it is the conclusion that the exchange would be better, to save the risk involved regarding the potential claim of mismanaging CDBG requirements, and to save the City and Club the time required to document eligibility. Club representatives and staff allowing the exchange of funds. for the Club to use, and a] remodeling as well. Staff will regarding these terms as the proceeds. Procedural Concerns have agreed to tentative terms These funds will be more flexible low them to potentially pursue provide more detailed information progress of the program change The City requested that the County delineate the proposed procedures for this exchange, but the City has not received a response. In lieu of the County's response, staff understands that the PAUL W. LAWRASON JR. JOHN E. WOZNIAK SCOTT MONTGOMERY Mayor Mayor Pro Tem Councilmember BERNARDO M. PEREZ ROY E. TALLEY JR. Councilmember Councilmember Printed On Recycled Paper $150,000 amount can be reaccredited to the City in about 90 days. Staff has also been informed that HUD requires that interest be paid. Staff would like to be able to calculate the interest based on the date of the close of escrow and will therefore attempt to use December 11, 1991, as the initial date. The date that the City received the funds is July, 7, 1991, and HUD may request that interest be calculated from this date. A public hearing will have to be scheduled to reprogram the funds, but this can be done while HUD and the County work towards re- crediting the City. Therefore, within the 90 day credit turn around, the City can complete the program changes. It is imperative that this hearing be scheduled as soon as possible so the Council can reappropriate the funds to replace the Gann funds now appropriated for Charles Street, because these improvements are scheduled to begin in the near future. Recommendation That the City Council authorize staff to schedule a public hearing for the June 171 1992, City Council meeting for the purpose of reprogramming the CDBG funds that currently support the Boys and Girls Club Gym acquisition.