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HomeMy WebLinkAboutMinutes-11-28-78-Special MeetingG23 MINUTES OF THE CITY COUNCIL OF THE CITY OF DOWNEY SPECIAL CALLED MEETING NOVEMBER 28, 1978 The City Council of the City of Downey held a special called meeting at 5:00 p.m., November 28, 1978, in the West Conference Room of the Council Chamber of the Downey City Hall, Mayor William L. Greene presiding. PRESENT: Council Members: Theodore H. Jackman Kenneth J. Miller Mayor Pro Ter. Milton R. Mackaig Lyell W. Swearingen William L. Greene Mayor ALSO PRESENT: Charles W. Thompson, City Manager Ervin Spindel, Director of Community Development Howard Stup, Building Official Thomas Tincher, Housing & Redevelopment Coordinator Juan Arroyo, Housing Rehabilitation Specialist Bill Underwood, Housing Rehabilitation Inspector Robert L. Shand, City Clerk -Treasurer Rehabilitation Assistance Committee Members: Fred Keene Ben Henn Carol Doss Mike Huggins Dick Holmes (absent) The meeting was recessed from the West Conference Room into the Council Chamber. Mr. Tincher announced the purpose of the meeting is to discuss various aspects of the Rehabilitation Assistance Program. He said he would like to present an outline concerning the overall program and discuss each element noting where the City is today in carrying out the program. With the aid of a status report on the Community and Neighborhood Enhancement Program, Mr. Tincher reviewed the programs now under way for the Deferred Payment Loans, Critical Maintenance Loans, Below Market Rate Interest Loans„ and rebates. Councilman Jackman inquired regarding the Below Market Rate Interest Loans as to the extent of owner -occupied units. Mr. Tincher replied all but one of the applicants to date have been owner -occupied. A discussion was held regarding the repayment program. Mr. Arroyo reviewed the four loan procedures that are available to applicants and the information that must be obtained in order to qualify an applicant. Mr. Underwood commented on the inspections that are made in the rehabilitation areas, and he noted the residents are very responsive to these inspections. A discussion was held regarding funding for the Rehabilitation Program. Mr. Tincher stated this is a one-year program from year to year, and the City would have the option to extend it and develop a new program based on each new year's entitlement. Mr. Thompson indicated it is anticipated that as the program progresses and information is extended throughout the community, there will be more and more applicants. Mr. Arroyo explained the procedure for qualifying applicants and said attempts have been made to review the applications as quickly as possible. Responding to questions regarding financing the Below Market Rate Interest Loans by Security Pacific Bank, Mr. Tincher explained Security Pacific Bank was selected after discussing various financing options with other lending institutions. After gaining some experience from this program, a review will be made to evaluate other Options that might be available. Security Pacific Bank, Bank of America, and Crocker Bank were the only lending institutions expressing an interest in the program. The Deferred Payment Loan and Critical Maintenance Loan procedures are handled by staff. Council Minutes 11/28/78 (special) -1- Further discussion followed. Councilman Mackaig feels all the lending instituions should be notified of the program. In discussing the Critical Maintenance program, Mr. Huggins advised that because of the importance of reviewing the applications and bids for the work, the Committee has been meeting twice a month. The Council decided to appoint two more members to the Rehabilitation Assistance Committee. Mr. Huggins called for further clarification and guidelines concerning the Critical Maintenance Loan program. Mr. Thompson replied consideration should be given to what is needed more for the commwaity and what meets Downey's needs. Councilman Jackman stated if an improvement improves the value of the home and the housing stock in the City of Downey, then that should be the goal of the program. Mr. Arroyo indicated the guidelines for Critical Maintenance refer to conditions that affect the health, safety and welfare of the applicant, and this would be a priority case. However, there have been some Critical Maintenance applicants meeting the requirements and requesting assistance for cosmetic improvements, and the question arises as to whether a cosmetic improvement constitutes a critical mainte- nance need. Yet, these types of improvements affect the surrounding neighborhood. A discussion was held regarding the guidelines. Councilman Jackman considers painting a house and a new roof as critical repairs if they are needed and the applicant cannot afford to have the work done. He does not think the Council can give guidelines for all improvements that will be considered. Councilman Mackaig concurred with Councilman Jackman and stated confidence in his committee representative to make the best decision in each case. Councilman Miller indicated improvements for health and safety should be a pri- mary consideration, but he does not feel cosmetic improvements should be ruled out. Mr. Stup stated the inspector should check out the home for other defects before approving the loan. Mayor Greene and Councilman Swearingen extended their compliments to the Committee and City staff for their work on the Rehabilitation Program. Mayor Greene indicated he would like copies of the Committee's minutes. A discussion was held regarding expansion of the Committee. Mr. Huggins and the other Committee members were asked to make recommendations to the Council con- cernii-,q expansion of the Committee. There being no further business to come before the City Council, the meeting was adjourned at 6:17 p.m. Robert: L. Shand, City Clerk -Treasurer William L. Greene, Mayor Council Minutes 11/28/78 (special) -2-