HomeMy WebLinkAboutMinutes-01-10-77-Adjourned Regular MeetingMINUTES OF THE CITY COUNCIL
OF THE CITY OF DOWNEY
ADJOURNED REGULAR MEETING
JANUARY 10, 1977
The City Council of the City of Downey held an adjourned regular meeting
at 7:30 p.m., January 10, 1977, in the Council Chamber of the Downey City Hall,
Mayor Hazel N. Scotto presiding.
PRESENT: Council Members:
William L. Greene
Richard M. Jennings, Mayor Pro Tem
Kenneth J. Miller
Theodore H. Jackman
Hazel N. Scotto, Mayor
PRESENT: Charles W. Thompson, City Manager
Ervin Spindel, Director of Community Development
John H. Saunders, Administrative Analyst
James Funk, Principal Planner
Robert L. Shand, City Clerk -Treasurer
Mayor Scotto announced the purpose of the adjourned meeting is to discuss
the Housing Rehabilitation and Loan Program and any other business to come
before the City Council.
Mr. Thompson gave introductory remarks on the Neighborhood Rehabilitation
Program. He said $250,000 was received in the first year and was not spent;
$569,000 was received the second year; and the City is scheduled to receive
$925,000 the third year. Mr. Thompson continued with the report and gave a
list of expenditures to date.
Mr. Saunders presented an overview of the Block Grant Program. He
rendered a brief history of the Rehabilitation Program from its inception to
the present (1940 to 1976).
— Mr. Thompson stated the citizen participation in the meetings and that
the average attendance was 50-to-60 people. He then explained to Councilman
Jackman the HUD funding and the General Revenue Sharing Funds and the guide-
lines established for Block Grant Funds. He outlined expenditures of the
first and second year funds, a portion of which went toward the development
of Rives Avenue School (Apollo Park Neighborhood Center).
Mr. Saunders briefly reviewed the report. The report was rendered in
notebook form. Mr. Saunders explained each section of the Housing Assistance
Plan report. He turned the meeting over to Mr. James Funk, Principal Planner,
to cover specific areas of conservation.
Mr. Funk's opening topic was the neighborhoods and transitions within the
City of Downey, identifying housing problem areas and recommendations designa-
tion of 14 of the neighborhood conservation areas. The report also included
identification of the neighborhood conservation program objectives, short term
program objectives of rehabilitation of substandard structures, and long term
program objectives. Mr. Funk said part of the entitlement of $926,000 next
year which the City hopes to receive would be allocated toward the Neighborhood
Rehabilitation Program. He indicated the program does not recommend the
demolition of any units but recommends assisting people in the remodeling of
their units.
Discussion followed regarding Mr. Funk's report.
Mr. Crissman of the Arroyo Group reviewed the proposal and said it attempts
to derive a solution to housing rehabilitation from the condition of the market
place in the City. It is proposed that a body be formed to give advice on the
program to keep the public from making horrible mistakes, and involve contractors
in the community in the rehabilitation program. Mr. Crissman commented that
FHA loans would be available for reconstruction purposes.
Discussion followed regarding various types of financing for the reconstruc-
tion program.
Mr. Crissman commented on the prerequisits for a Housing Coordinator to
assist on the City staff. Such a person would be hired with the Block Grant
Funds. Mr. Crissman said hewould certainly help within the scope of the program
Council Minutes 1/10/77 (adjourned) -1-
to hire a Housing Coordinator. Desirable qualifications include real estate
experience with emphasis on house sales or house lending. Individuals with
Social Science background should not be considered for the position. Mr.
Crissman anticipates a newly hired Housing Coordinator will require extensive
training. He commented public "in field" problems will arise, wherein a
dwelling will be slated for demolition.
Councilman Jennings emphasized the original purpose of the redevelopment
program is to bring substandard houses up to code
Mr. Thompson added that the program is also to rectify enfringements of
the City Building Code.
Councilman Jennings said there is not enough money available to bring all
of the substandard houses up to code.
Mr. Thompson explained how the program would proceed under the direction
of a Housing Coordinator. Initially, areas in question would be studied and
priorities established. Owners within the vast areas would then be approached
regarding many problems existing on their properties.
Discussion followed regarding various types of improvements permissable
under the program and the manner of financing improvement projects.
Councilman Jennings questioned the giving of grants for rehabilitation of
housing units where necessary. He does not approve of this system.
The word "grants" was stricken from Figure 6 of the Neighborhood Conserva-
tion Program Objectives sheet, which is part of Information Report No. 5 --
Neighborhood Rehabilitation Handbook.
Mr. Funk identified areas of the Neighborhood Pride Program. He recommended
against the program because it is too involved.
Mr. Crissman suggested that the Neighborhood Conservation Program objectives
(Figure 6) referred to as Intermediate Short-term Program Objectives, Paragraph
No. 1, be changed to read: "To keep the balance of the low income housing stock
in the community."
Mr. Funk cautioned the Council on a trend that exists in the City parcels,
wherein 75 percent of the area was occupied by individual dwellings. This area
has now decreased to 55 percent occupancy, the balance having been overlayed
with apartment -type dwellings (multiple units), thus changing the value of the
parcels. This, in turn, reflects a lower unit income per person being attracted
into the area as compared to a former higher income unit individual who occupied
the single resident dwelling.
Mr. Crissman suggested that the Neighborhood Conservation Program objectives
(Figure 6), paragraph No. 4, Intermediate Term Program Objectives be changed to
read: (To decrease the number of uninhabitable units."
Sub -paragraph lj was changed to read: "To encourage appropriate new
construction."
Councilman Jennings stated there are inhabited houses in the City of Downey in
which the rehabilitation would be more than the value of the structure. He
asked if any attempt would be made, wherein the City would purchase the dwell-
ing units and attempt to rehabilitate the inhabitants and tear down the units,
selling the property to the builders.
Mr. Saunders replied in the overall Community Development Program, it would
be possible; secondly, a home that could not be rehabilitated would not be given
a loan.
Councilman Jennings concluded the only alternative would be to purchase the
building, clear the land, and resell the property which would result in a direct
expense of the program funds. He outlined a possible plan, whereby the City
would expend the available program funds in acquiring dilapidated properties,
razing same, and selling the property for development of new dwellings. This
would result in rehabilitation as far as higher property -tax revenues for the
improved property.
Mr. Saunders mentioned a decision for tonight's meeting is to ascertain
whether the City wants to enter into a Rehabilitation Loan Program.
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325
Councilman Jennings asked what step must be taken to apply for the $925,000
available for the Rehabilitation Program.
Mr. Saunders replied it would be necessary for the City to show progress
toward some type of Rehabilitation Program. He also said once the entitlement
has been granted to the City, it is then the City's to apply to the program as
intended.
Councilman Jackman said he will need more time to study the entire program
before he can cast a vote.
Mayor Scotto entertained a motion to implement the Neighborhood Rehabilita-
tion Program.
There was no motion.
At the request of Councilman Jennings, Mr. Spindel gave a chart presenta-
tion of a cul-de-sac program for consideration in Assessment District 117 east
of Paramount Boulevard between the streets of Adores to the north and Priscilla
to the south. Financing of such a project would be available from Federal
Revenue Sharing money.
There being no further business to come before the City Council, the meeting
was adjourned at 10:32 p.m.
Robert L. Shand, City Clerk -Treasurer
Hazel�N. Scotto, Mayor
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