SR - - LEMON GROVE APARTMENTS1. SUBJECT
Amend the Fiscal Year 2015 -2016 (FY16) HOME Investment Partnerships (HOME) Program
budget for the Lemon Grove Apartments
2. SUMMARY
The City appropriated HOME funds for the Lemon Grove Apartments project. The U.S.
Department of Housing and Urban Development (HUD) requires the City to expend HOME
Program Income before other HOME funds are expended. A budget amendment is required in
FY16 to reflect that the HOME budget for the Lemon Grove Apartments project includes HOME
Program Income.
13. RECOMMENDATION
Authorize an appropriation of $593,178.87 to HOME Program Income (317) in FYI 6 to account
number 317.9661.56571.20249 (HOME Program Income Loan -Lemon Grove Apartments).
14. FISCAL IMPACT
Upon approval of the appropriation, the FY16 HOME Program Income budget will be increased
as follows:
317.9661.56571.20249 Lemon Grove Apartments $593,178.87
5. STRATEGIC PLAN GOAL(S)
Goal 3: Enhance and promote quality of life in the community.
Strategy c.: Support and enhance attractive, diverse living environments.
Lemon Grove Apartments
FY16 HOME Program Budget Amendment
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6. GENERAL PLAN IMPLEMENTATION
Land Use Goal 1.0: Meet the present and future needs of all residential and business sectors with
a diverse and balanced mix of land uses.
Policy 1.3: Provide a range of housing densities and types to meet the diverse needs and
lifestyles of residents.
Housing Goal 2.0 Assist in the development of adequate housing to meet the needs of Low and
Moderate Income households.
7. DISCUSSION and BACKGROUND
The Lemon Grove Apartments is an 82 -unit affordable housing project being developed by a
partnership of Orange Housing Development Corporation and C &C Development Co., LLC with
financial assistance from the City.
In FY15, The City appropriated Low and Moderate Income Housing Asset Funds and HOME
funds for the project. The HOME appropriation included a total transfer of $1,300,000 from the
HOME entitlement account and the canceled Santa Ines project account to the Lemon Grove
Apartments project account. In reviewing the HOME Program budget, staff recognized that
other resources (Program Income) are available to be used for affordable housing projects.
Additionally, HUD requires the City to expend HOME Program Income before other HOME
funds are expended. Therefore, in order to comply with HUD requirements and reconcile the
FY 16 budget, staff is requesting an appropriation of $593,178.87 to HOME Program Income for
the Lemon Grove Apartments project. The original budgeted amount of $593,178.87 from the
HOME entitlement account will then be made available for future projects.
8. ATTACHMENTS
None
CITY COUNCIL MINUTES AUGUST 9, 2016
3. CONSENT CALENDAR (Continued)
APPROPRIATIONS
3.9 A request to appropriate developer -paid funds related to the Santiago Hills II project
toward consultant staff services and approve a First Amendment to Consultant
Services Agreement with Morse Planning Group. (A2100.0; AGR- 6318.1)
ACTION: 1) Appropriated $100,000 from unreserved fund balance of the General Fund
(Fund 100) to the Advance Planning Other Professional and Consulting Services account
(100.6011.51670.00000); and 2) Approved and authorized the Mayor and City Clerk to
execute the First Amendment to Consultant Services Agreement with Morse Planning
Group to increase the total compensation by an additional $40,000.
3.10 Amend the Fiscal Year 2015 -2016 (FY16) HOME Investment Partnerships (HOME)
Program budget for the Lemon Grove Apartments. (C2500.G.1.9)
ACTION: Authorized an appropriation of $593,178.87 to HOME Program Income (317)
in FY16 to account number 317.9661.56571.20249 (HOME Program Income Loan-Lemon
Grove Apartments).
3.11 Carryover of Appropriation of $831,000 from Fiscal Year 2015 -2016 to Fiscal Year
2016 -2017 for Ca1PERS Lump Sum Payments. (I1200.0.3.4)
ACTION: Authorized the carryover of $831,000 in expenditure account
760.0000.50510.00000 from Fiscal Year 2015 -2016 to Fiscal Year 2016 -2017.
BIDS
3.12 Bid No. 167 -03; Approval of plans and specifications, and request authorization to
advertise for bids for the Federal Highway Safety Improvement Program (HSIP)
Pedestrian Crossings Upgrade at 14 Intersections Project. (S400.S.7)
ACTION: 1) Accepted into the City's revenue budget a $49,500 additional grant from
HSIP into revenue account 550.5032.45150.20194, Pedestrian Crossings Upgrade; 2)
Authorized the appropriation of $49,500 into expenditure account number
550.5032.56100.20194 Pedestrian Crossing Upgrades; and 3) Approved the plans and
specifications, and authorize advertising for bids for the HSIP Pedestrian Crossings
Upgrade at 14 Intersections Project.
3.13 Bid No. 167 -05; Approval of plans and specifications, and authorization to advertise
for bids for the Yorba Park Grading Project. (C2500.M.17)
ACTION: Approved plans and specifications and authorized advertising for bids for the
Yorba Park Grading Project.
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