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HomeMy WebLinkAbout1986-351 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 RESOLUTION NO. Rh-1~1 RESOLUTION OF THE CITY OF SAN BERNARDINO REVISING THE BEAUTIFICATION PROGRAM OF THE CITY OF SAN BERNARDINO, DESIGNATING THE REDEVELOPMENT AGENCY TO ADMINISTER THE PROGRAM, AND REPEALING RESOLUTION NO. 86-193. BE IT RESOLVED BY THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO AS FOLLOWS: SECTION 1. The Beautification Program heretofore established by the City of San Bernardino (hereinafter "City") is hereby revised, and shall from this date be administered in accordance with the procedures established herein. SECTION 2. ADMINISTRATION. The Beautification Program of the City shall be administered by the Redevelopment Agency of the City of San Bernardino (hereinafter "Agency"). SECTION 3. FORMS OF ASSISTANCE. The Program shall be a combination of grants and loans, which shall be administered under the following principles: A. Grants. For applications wherein the total project cost is two thousand dollars or less, the Agency may grant fifty percent of the total project cost, not to exceed nine hundred ninety-nine dollars, contingent upon the developer participating with matching funds up to $1,001. Grant funds will not be approved for reroofing. Improvement by resurfacing of parking areas may be included only if the parking area affected will be brought up to City building code standards, including removal of any pre-existing chain link fences in areas where chain link fences are no longer approved under the provisions of San Bernardino Municipal Code Section 19.62.080. 1 A B. Loans. For applications wherein the total project cost exceeds two thousand dollars, the Agency will consider granting up to nine hundred ninety-nine dollars, after developer has provided the matching funds of up to $1,001. Thereafter, Agency will consider lending to the applicant any or all of the project cost in excess of two thousand dollars, with the total amount of any such loan and grant combined not to exceed ten thousand dollars. The interest rate for loans shall be as follows: 1 2 3 4 5 6 7 8 9 10 11 12 13 14 an applicant requests a shorter period. In the event full 15 payment of all amounts due on the loan is made within thirty 16 months from the date of execution, Agency shall grant as a credit 17 against the amount due thereunder fifty percent of the accrued 18 interest on said loan. 19 Loan origination fees shall be charged at the time of 20 origination of the loan in the amount of two percent of the loan 21 amount. These fees shall be paid by the applicant from the loan 22 proceeds and shall be used by the Agency to offset part of the 23 costs of obtaining, determining or verifying real estate assessed 24 valuations, credit reports, preliminary title reports, and staff 25 administrative time and expenses. 26 All loans shall be secured by a trust deed on the property 27 being improved, or other security instrument approved by Agency 28 Counsel, with the promissory note and trust deed or other 29 approved security instrument to be executed by the applicant 2 Loan Amount Interest Rate Maximum Term $ o - $ 2,000 5% 5 years 2,001 - $ 4,000 5% 5 years 4,001 - $ 6,000 5% 5 years 6,001 - $10,000 5% 5 years All loans shall be amortized over a five year period, unless I 2 3 4 5 6 7 8 9 10 II 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 and/or property owner prior to the release of any loan funds by the Agency. The promissory note and deed of trust or other approved security instrument shall be in form approved by Agency Counsel. Loan funds will not be approved for reroofing. Improvement by resurfacing of parking areas may be included only if the property affected will be brought up to City building code standards, including removal of any pre-existing chain link fences in areas where chain link fences are no longer approved under the provisions of San Bernardino Municipal Code Section 19.62.080. SECTION 4. APPLICATION PROCESS. All requests for allocation of Beautification funds, either loans, grants, or any combination thereof, shall be submitted on an application form available from the Agency; the completed application shall include a complete description of the work to be performed, an itemized cost estimate of each element of the work to be performed, and, if applicable, a copy of any notice or citation from the More Attractive Community (MAC) Committee, or any building or zoning inspector. Applications shall be processed and action taken thereon in the order in which complete applications are received. No application shall be processed if the applicant has previously received a grant or loan under the Beautification Program, whether for the subject property. SECTION 5. APPROVAL PROCESS. A. Grants. The Executive Director of the Redevelopment Agency is authorized to administratively approve all grants of 3 nine hundred ninety-nine dollars or less. An information 1 memorandum shall be transmitted to each member of the Commission 2 3 on each grant which the Executive Director intends to approve. 4 If no objection is received by the Executive Director from any 5 member of the Commission within seven days, the grant shall be 6 considered approved and the Executive Director shall proceed to 7 make the grant. If any objection is expressed by any member of 8 the Commission, the application shall be submitted first to the 9 Redevelopment Committee for review, and then to the entire 10 Commission for final action. 11 B. Loans. The Executive Director of the Redevelopment 12 Agency is authorized to approve all loans for five thousand 13 dollars or less. Upon a determination that a loan should be 14 made, an information memorandum shall be transmitted to each 15 member of the Commission as to any loan recommended for approval 16 by the Executive Director. If no objection is received by the 17 Executive Director from any member of the Commission within seven 18 days, the loan shall be considered approved, and the Executive 19 Director shall proceed to complete the loan. If any objection is 20 expressed by any member of the Commission, the application shall 21 be submitted first to the Redevelopment Committee for review, and 22 then to the entire Commission for final action. For any loan 23 exceeding five thousand dollars which is recommended for 24 approval, the application shall be submitted to the Redevelopment 25 Committee for recommendation. The Redevelopment Committee shall 26 submit its recommendation to the entire Commission for 27 appropriate action. Loans in excess of five thousand dollars 28 shall be made only upon approval of the entire Commission. 4 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 SECTION 6. DISTRIBUTION OF PROCEEDS. A. Grants. Grant funds shall be disbursed only after the work covered by the proposed grant has been completed, inspected by Agency staff, and approved by the Executive Director. If the applicant has paid for the work in full, and presents evidence of such payment satisfactory to the Executive Director, the Agency shall issue its check made payable to the applicant. If the applicant fails to submit satisfactory proof or has paid only that portion to be paid directly by applicant, and the Agency's share has not yet been paid, the Agency's check shall be made payable to the applicant and to any contractor or supplier of labor, materials or equipment who remains unpaid. B. Loans. Loan funds shall be disbursed only after the work has been completed, inspected by Agency staff, and approved by the Executive Director. If the applicant has paid for the work in full, and presents documentary evidence satisfactory to the Executive Director of that fact, the Agency's check shall be made payable to the applicant. In the event that one or more contractors or suppliers of material, equipment or labor remains unpaid, the Agency's check shall be made payable to applicant and to any such contractor or supplier who remains unpaid. C. Covenant. For any loan or grant funds paid directly to the applicant, the applicant shall execute a document covenanting that all suppliers of labor, materials or equipment have been paid in full, and agreeing to hold the Agency harmless from any claims of suppliers of labor, material or equipment arising from the Beautification project. 5 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 D. Cancellation. If any applicant fails to commence beautification work within ninety days after notice of approval of a loan or grant, or if, after commencing such improvement any applicant ceases improvement work for ninety or more days, the Executive Director shall be authorized to withdraw the approval of the loan or grant or both, which decision shall be subject to review by the Commission at the request of the applicant provided that request for such review is received by Agency within twenty calendar days after mailing of the notice of withdrawal. SECTION 7. ADMINISTRATION OF PROGRAM. The City has previously budgeted funds for use in areas outside redevelopment project areas. These funds shall be administered concurrently with funds provided by the Commission to cover beautification in areas within redevelopment project areas. All funds realized from repayments of loans shall be deposited into the Agency's Beautification Program budget, and shall be used for the grant program. SECTION 8. BOUNDARIES. The boundaries of the Beautification Program shall be the major and secondary streets throughout the City, as itemized on Exhibit I attached hereto, and the area designated by the More Attractive Community (MAC) Committee, and the Enterprise Zone. SECTION 9. CURRENT APPLICATIONS IN FILE. Agency shall evaluate those pending applications which have previously been filed but not yet approved, in light of the criteria established herein. Priorities shall be given to projects in the More Attractive Community (MAC) Committee's targeted areas, as 6 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 specified herein, but, if an application lies within the boundaries established hereby, but is not within such targeted area, the Executive Director shall determine whether other factors exist justifying immediate or eventual approval of a grant or loan for such business. The Executive Director shall consider all relevant factors, including whether the building or property is currently in violation of building codes or other provisions of the San Bernardino Municipal Code, and such other factors which may be appropriate. The applicant who submitted any pending application falling within the boundaries as designated herein may be invited to submit a new application under this revised pOlicy. All applications for grants or loans lying outside the boundary areas shall be returned to the applicant, and the applicant shall be advised that this policy makes a grant or loan hereunder impossible at this time. SECTION 10. Resolution No. 86-193 is repealed. I HEREBY CERTIFY that the foregoing resolution was duly adopted by the Mayor and Common Council of the City of San Bernardino at an adjourned reaular meeting thereof, held on the 8th day of Sent ember , 1986, by the 21 following vote, to wit: 22 23 24 25 26 27 28 AYES: COllnc;l Members Estrada. Reillv. Hernandez. Marks. Ouiel. Frazier. Strickler NAYS: None ABSENT: None ~P#/..4J'4fR/ / City Clerk 7 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 The foregoing resolution is hereby approved this 'jOC( day of September , 1986. Approved as to form: tf?a/~/#JA~-?-/ City Attorney 8