HomeMy WebLinkAboutAGENDA REPORT 2008 0220 CC REG ITEM 09BITEM
CITY OF MOORPARK, CALIFORNii,
City Council Meeting
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MOORPARK CITY COUNCIL
AGENDA REPORT BY. T. ^"as=
TO: Honorable City Council
FROM: Nancy Burns, Senior Management Analyst
DATE: February 6, 2008 (CC Meeting of February 20, 2008)
SUBJECT: Consider Mobilehome Rehabilitation Program and Resolution
Amending Fiscal Year 2007/2008 Budget to Fund the Program
BACKGROUND
The City's successful Mobilehome Rehabilitation Loan Program, funded through a
CalHome grant of $420,000, provided loans for repairs to 25 mobilehomes in Villa del
Arroyo throughout 2002 -2003. As some of the forgivable loans are paid off before the
forgiveness period expires, those funds are deposited into a special reuse account, as
required by CalHome regulations. These funds may be put to work again as new loans
through the CalHome program. Funds are restricted to low and very low income
applicants.
DISCUSSION
The City has not sponsored a mobilehome rehabilitation program since 2003. From
time to time, residents of Villa del Arroyo have contacted City staff to inquire about the
availability of funds for needed repairs to their mobilehomes. Because of the nature of
these homes, not being permanently attached to real property, obtaining loans for
repairs can be more difficult than obtaining a loan for repairs on a conventional home.
Staff recommends reinstating the City Mobilehome Rehabilitation Program. This
includes maximum loan amounts of $20,000, and a deferred forgiveness provision
which allows 20% of the loan amount to be forgiven each year, from Year 6 of the loan,
through Year 10, providing the Borrower is in compliance with the terms of the program.
The loan must be repaid upon the refinance of any debt secured by a lien on the
mobilehome, or upon any sale or transfer of any interest in the mobilehome without
City's prior approval. Costs of the transaction, other than City staff time to oversee the
program, will be included in the loan amount. These costs are estimated to be
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Honorable City Council
February 6, 2008
Page 2
approximately $2,000 per transaction. No interest will be charged. Loan payoff
amounts, if there are any, will be deposited in the same reuse account.
Funds identified for this program are estimated to be adequate for 3 or 4 mobilehome
rehabilitations.
FISCAL IMPACT
Approximately $74,324 is available from previous mobilehome rehabilitation loan
payoffs to be "reused" for an eligible purpose, as discussed in this report. As these
funds have not been budgeted for this purpose, a Budget Amendment Resolution is
being requested.
STAFF RECOMMENDATION (ROLL CALL VOTE REQUIRED)
1. Authorize reinstating the Mobilehome Rehabilitation Program for low and very
low income owner - occupied mobilehomes as described in this report.
2. Approve Resolution No. 2008 -
Attachment "A" Resolution No.2008
`100004
Attachment "A"
RESOLUTION NO. 2008 -
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
MOORPARK, CALIFORNIA, AMENDING THE FISCAL
YEAR 2007/2008 BUDGET BY APPROPRIATING $74,324
FROM THE CITY'S CALHOME PROGRAM REUSE FUND
FOR MOBILEHOME REHABILITATION LOANS AND
ASSOCIATED COSTS
WHEREAS, On June 20, 2007, the City Council of the City of Moorpark adopted
the budget for Fiscal Year 2007/2008; and
WHEREAS, the State of California Department of Housing and Community
Development previously provided CalHome funds to the City for mobilehome
rehabilitation loans; and
WHEREAS, certain of these mobilehome rehabilitation loans have been paid off,
in the total amount of $74,324; and
WHEREAS, the City wishes to authorize the "reuse" of these funds for additional
mobilehome rehabilitation loans, consistent with CalHome program requirements; and
WHEREAS, a budget amendment is required to fund this program.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF MOORPARK
DOES HEREBY RESOLVE AS FOLLOWS:
SECTION 1. A budget amendment in the total amount of $74,324 from the City's
CalHome Program Reuse Fund (2202) for a City Mobilehome Rehabilitation Loan
Program, for mobilehome rehabilitation loans and associated costs, as more particularly
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.
`0000 05
Resolution No. 2008 -
Page 2
PASSED AND ADOPTED this 201h day of February 2008.
Patrick Hunter, Mayor
ATTEST:
Deborah S. Traffenstedt, City Clerk
Attachment: Exhibit "A" - Budget Amendment
)00006
EXHIBIT A
BUDGET AMENDMENT FOR
CITY MANAGER
FY 2007 -08
FUND ALLOCATION FROM:
Fund
Account Number
Amount
CalHome Program Reuse Fund
2202 -5500
$ 74,324.00
$ 74,324.00
$ 74,324.00
Total
$ 74,324.00
DISTRIBUTION OF APPROPRIATION TO EXPENSE ACCOUNTS:
Account Number
Current Budget
Revision
Amended Budget
2202.2430.0000.9282
$ 74,324.00
$ 74,324.00
Total
$ -
$ 74,324.00
$ 74,324.00
Approved as to Form:
10000'7