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CITY OF SAN BERNARDINO
ECONOMIC DEVELOPMENT AGENCY R IG
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FROM: Emil A.Marzullo SUBJECT: Single-Family Residence Revitalization Program
Interim Executive Director Third Quarter Report (January 1, 2011 through
March 31,2011)
DATE: May 18,2011
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Synopsis of Previous Commission/Council/Committee Action(s):
On May 5, 2011, Redevelopment Committee Members Johnson, Brinker and Marquez unanimously voted to recommend that
the Community Development Commission consider this action for approval.
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Recommended Motion(s):
(Community Development Commission)
MOTION: That the Community Development Commission of the City of San Bernardino receive and file the Quarterly
Report of the Single-Family Residence Revitalization Program activities (January 1, 2011 through March 31,
2011)for the Redevelopment Agency of the City of San Bernardino
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Contact Person(s): Carey K.Jenkins Phone: (909)663-1044
Project Area(s): All Ward(s): All
Supporting Data Attached: 0 Staff Report❑Resolution(s) ❑Agreement(s)/Contract(s)❑Map(s) ❑Letter(s)
FUNDING REQUIREMENTS: Amount: $ -0- Source: N/A
Budget Authority: N/A
Signature: Fiscal Review:
Emil A.Marzullo, nterjln Executive Director Lori PanzinQOfill lnte ' >ef Financial Officer
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Commission/Council Notes:
/ P:Wgendas\Comm Dev Commission\CDC 2011\06-06-11 SF Residence Revitalization Program 3rd Quarter Report SRdoc COMMISSION MEETING AGENDA
Meeting Date: 06//006//220111
Agenda Item Number: l�--J b
ECONOMIC DEVELOPMENT AGENCY
STAFF REPORT
SINGLE-FAMILY RESIDENCE REVITALIZATION PROGRAM THIRD QUARTER REPORT
(JANUARY 1,2011 THROUGH MARCH 31,2011)
BACKGROUND:
As a result of an extensive procurement process that took place in FY2009-2010, the Community
Development Commission of the City of San Bernardino ("Commission") approved and authorized the
Interim Executive Director of the Redevelopment Agency of the City of San Bernardino ("Agency") to
execute separate Agreements, renewable annually for three (3) years, by and between the Agency and the
following service providers (collectively referred to as "the Contractors"):
1. Neighborhood Housing Services of the Inland Empire ("NHSIE") for the administration of the Single-
Family Beautification Grant Program for an amount of$784,875 from the Agency's Low and Moderate
Income Housing Fund, the Single-Family Rehabilitation Loan Program for an amount of $287,500
from the Agency's Low and Moderate Income Housing Fund and $90,000 from the Agency's HOME
Admin Fund for the administration of the Homebuyer Education Program, all subject to annual funding
availability.
2. Inland Housing Development Corporation ("IHDC") for the administration of the Single-Family
Beautification Grant Program for an amount of $603,750 from the Agency's Low and Moderate
Income Housing Fund and the Single-Family Rehabilitation Loan Program for an amount of$287,500
from the Agency's Low and Moderate Income Housing Fund, all subject to annual funding availability.
3. The Oldtimer's Foundation ("The Foundation") for the administration of the Mobile Home Grant
Program for an amount of$184,000, from the Agency's HOME Funds and the Elderly/Special Needs
Minor Repair Grant Program for an amount of$92,000 from the Agency's Low and Moderate Income
Housing Fund, all subject to annual funding availability.
The table below details the breakdown of FY 2010-2011 Program production goals and funds allocated to
each Contractor:
Program Contractor Program Area Numerical Compensation Funding
Targets Source
NHSIE Prog. Delivery:
City area located east $682,500
of the 215 Freeway 65 *Prog. Admin: Low-Mod
$102,375
Beautification Total Allocation: $784,875
Grant Prog. Delivery:
IHDC $525,000 Low-Mod
City area located west 50 *Prog. Admin:
of the 215 Freeway $78,'750
Total Allocation: $603,750
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P:\Agendas\Comm Dev Commission\CDC 2011\06-06-11 SF Residence Revitalization Program 3rd Quarter Report SP-doc COMMISSION MEETING AGENDA
Meeting Date: 06/066/2011
Agenda Item Number: L✓�
Economic Development Agency Staff Report
Single-Family Residence Revitalization Program Third Quarter Report
Page 2
Program Contractor Program Area Numerical Compensation Funding
Targets Source
Prog. Delivery:
$250,000
City area located east 10 *frog. Admin: Low-Mod
NHSIE of the 215 Freeway $37,500
Total Allocation:
Rehabilitation $287,500
Loan . Delivery:
City area located west Prog. Low-Mod
of the 215 Freeway *Prog. Admin:
IHDC 10
$37,500
Total Allocation:
$287,500
Prog. Delivery:
$160,000 HOME
Mobile Home The Citywide 32 *Prog. Admin:
Grant Foundation $24,000
Total Allocation:
$184,000
Elderly/Special Prog. Delivery: $80,000 Low-Mod
Needs Minor The Citywide 50 Prog Admin:
Foundation $12,000
Repair Grant Total Allocation: $92,000
300
attendees
that reside
Homebuyer or work in HOME
Education NHSIE Citywide the City of Total Allocation: $90,000 Admin
Program San
Bernardino
at $300
each
* Program Admin Fee is 15%of the Program Delivery Costs
On January 20, 2008, the Agency's Integrated Housing Strategy ("Strategy") was approved by the
Commission. Included in this Strategy is a key component of single-family homeownership and
neighborhood revitalization, designed to enhance residential neighborhoods and promote home ownership.
The activities associated with the Single Family Residence Revitalization Program (the "Program")
administered by the Contractors are integral parts of this component.
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P:\Agendas\Comm Dev Commission\CDC 2011\06-06-11 SF Residence Revitalization Program 3rd Quarter Report SRdoc COMMISSION MEETING AGENDA
Meeting Date: 06/{06/2011
Agenda Item Number: P_-j' Y
Economic Development Agency Staff Report
Single-Family Residence Revitalization Program Third Quarter Report
Page 3
CURRENT ISSUE:
NHSIE ACTIVITIES
For the quarter ending March 31, 2011, NHSIE completed 13 beautification grants and 2 rehabilitation
loan. This is equal to 15 separate transactions for the quarter. From an expenditure standpoint, NHSIE
expended a total of$176,812 for the quarter in direct Program delivery activities. Of the 13 beautification
grants completed, 7 included homeowner contributions for a total amount of$14,529 which represents 8%
of the total expenditures for the quarter.
The table below details the number of completed activities, levels of expenditures and the average cost per
transaction, for the recent quarter (January 1, 2011 through March 31, 2011) and year-to-date by Program
type.
Program Complete Activities Expenditure Avg. Transaction Cost
March 31 YTD March 31 Qtr YTD March 31 YTD
Qtr Qtr
Beautification 13 45 $136,542 $490,950 $10,503 $10,910
Grant
Beautification Loan 2 4 $40,270 $64,772 $20,135 $16,193
TOTAL 1 15 1 49 1 $176,812 1 $555,722 1 $11,787 1 $11,341
From a numerical target standpoint, NHSIE has reached 69% of the beautification grant and 40% of the
rehabilitation loan annual numerical target numbers. The table below details the percent to the proposed
annual quota that was met thus far in the program year.
% of Proposed Numerical Target Met
Program YTD
Beautification Grant 69%
Beautification Loan 40%
Furthermore, for the recent quarter, 109 families participated in the Homebuyer Education classes
administered by NHSIE at their San Bernardino office located at 1390 North "D" Street. From these
participants, 27 families were residents and/or employed within the City equating to 25% of the total
persons who participated in the classes during this reporting period. In addition, from the 109 families who
participated in the class, 8 City homeowners were created, equating to 7.3% of the total persons who
received home buyer training.
The table below details the number of prospective buyers completing homebuyer education and the
percentage completed based upon the agreed goal at the start of the fiscal year, which was a minimum of
300 participants that needed to live and/or work in the City. Per the terms of the current agreement, the
Agency only pays NHSIE a participant fee for attendees with valid proof of residency and/or employment
in the City of San Bernardino.
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P:Wgendas\Comm Dev Commission\CDC 2011\06-06-11 SF Residence Revitalization Program 3rd Quarter Report SRdoc COMMISSION MEETING AGENDA
Meeting Date: 06/06/20111
Agenda Item Number: 9-125
Economic Development Agency Staff Report
Single-Family Residence Revitalization Program Third Quarter Report
Page 4
Program Contractual Target Completed Activities % To Quota
SB Residents: SB Residents: SB Residents SB Residents:
FY 10-11 March 31 Qtr YTD YTD
Homebuyer Education 300 27 74 25%
Program
IHDC ACTIVITIES
For the quarter ending March 31, 2011, IHDC completed 7 beautification grants and 3 rehabilitation loans.
This is equal to 10 separate transactions for the quarter. From an expenditure standpoint, IHDC expended a
total of $131,214 for the quarter in direct Program delivery activities. Of the 7 beautification grants
completed, 3 included homeowner contributions for a total amount of$2,216, which represents 2% of the
total expenditures for the quarter.
The table below details the number of completed activities, levels of expenditures and the average cost per
transaction, for the recent quarter (January 1, 2011 through March 31, 2011) and year-to-date by Program
type.
Program Completed Activities Expenditure Avg. Transaction Cost
March 31 Qtr YTD March 31 Qtr YTD March 31 YTD
Qtr
Beautification 7 12 $72,214 $123,274 $10,316 $10,273
Grant
Rehabilitation 3 3 $59,000 $59,000 $19,667 $19,667
Loan
TOTAL 1 10 1 15 1 $131,214 1 $182,274 1 $13,121 1 $12,152
From a numerical target standpoint, IHDC has reached 24% of the beautification grant and 30% of the
rehabilitation loan annual numerical target numbers. The table below details the percent to the proposed
annual quota that was met thus far in the program year.
Program % of Proposed Numerical Target Met
YTD
Beautification Grant 24%
Beautification Loan 30%
FO UNDA TION A CTI VI TIES
As of March 31, 2011, The Foundation completed 18 minor repair grants and 9 mobile home grants. This
equals 27 separate transactions for the quarter. From an expenditure standpoint, The Foundation expended
a total of$66,165 for the quarter in direct Program delivery activities.
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P:Wgendas\Comm Dev Commission\CDC 2011\06-06-11 SF Residence Revitalization Program 3rd Quarter Report SRdoc COMMISSION MEETING AGENDA
Meeting Date: 06/06/201111
Agenda Item Number: A�0
Economic Development Agency Staff Report
Single-Family Residence Revitalization Program Third Quarter Report
Page 5
The table below details the number of completed activities, levels of expenditures and the average cost per
transaction for the recent quarter (January 1, 2011 through March 31, 2011) and year-to-date by Program
type.
Program Completed Activities Ex enditure Avg. Transaction Cost
March 31 Qtr YTD March 31 Qtr YTD March 31 YTD
Qtr
Elderly/ Special 18 48 $22,341 $51,611 $1,241 $1,075
Needs Grant
Mobile Home 9 9 $43,824 $43,824 $4,869 $4,869
Grant
TOTAL 27 57 1 $66,165 $95,435 1 $2,451 1 $1,674
From a numerical target standpoint, The Foundation has reached 96% of the elderly/special needs grant
requirement and 28% for the mobile home grant target completion numbers. The table below details the
percent to the proposed annual quota that has been met thus far in the program year.
% of Proposed Numerical Target Met
Program YTD
Elderly/ Special Needs Grant 96%
Mobile Home Grant 28%
AGGREGATE PROGRAM TOTALS
In total, the Contractors have completed 52 separate transactions for the quarter ending March 31, 2011.
From an expenditure standpoint, the Contractors collectively have expended a total of $374,191 for the
quarter in direct Program delivery activities. The table below details the number of completed activities,
levels of expenditures and the average cost per transaction, for the recent quarter (Januaryl, 2011 through
March 31, 2011) and year-to-date.
Contractor Completed Activities Expenditure Avg. Transaction Cost
March 31 Qtr YTD March 31 Qtr YTD March 31 Qtr YTD
NHSIE 15 49 $176,812 $555,722 $11,787 $11,341
IHDC 10 15 $131,214 $182,274 $13,214 $12,182
The 27 57 $66,165 $95,435 $2,451 $1,674
Foundation
TOTAL 52 121 $374,191 $833,431 $7,196 $6,888
Please see Attachment 1 for the locations of program activities and approved funding indicated by Council
Ward. The map identifies this information for the most recently completed quarter through March 31, 2011
and year-to-date. Further examples of completed activities, Attachment 2 includes before and after pictures
of 4 representative Beautification Grant projects conducted during the most recent quarter.
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PAAgendas\Comm Dev Commission\CDC 2011\06-06-11 SF Residence Revitalization Program 3rd Quarter Report SR.doc COMMISSION MEETING AGENDA
Meeting Date: 06/06/201111
Agenda Item Number: ;D
Economic Development Agency Staff Report
Single-Family Residence Revitalization Program Third Quarter Report
Page 6
Income Levels:
The source of funds for program activities requires the Agency, through the Contractors, to assist
homeowners whose household income does not exceed certain levels. For HOME Funds, this amount
cannot exceed 80%of the Area Median Income ("AMI"), adjusted for family size. Similarly, Housing Set-
Aside Funds must be targeted to households at or below 120% of the AMI, also adjusted for family size.
Below is a chart that shows the number of households, by income level, assisted with Agency Funds.
Very Low Low Moderate
< 50%AMI 50-80%AMI 81-120%AMI
Income Level # of Households #of Households # of Households
March 31 QTR March 31 QTR March 31 QTR
Fund Type
HOME 5 4 0
Set-Aside 15 23 2
TOTAL 20 1 27 2
From January 1, 2011 through March 31, 2011, 20 very low-income families, 27 low-income families and
2 moderate-income families, for a total of 49 households, have been assisted with Agency Funds.
The difference between the 52 total households indicated earlier in the Current Issue section of this report
and the numbers indicated above is due to 3 households receiving both a Rehabilitation Loan and
Beautification Grant during the quarter ending March 31, 2010. Therefore, each was counted as just one
(1) individual household in this section.
Program Implementation Strategies:
In anticipation of the end of the current fiscal year, Agency staff met individually with two of the three
Contractors to discuss the likely renewal of their separate annual Agreements. It's anticipated that a similar
discussion will take place with the third entity sometime within the next three to four weeks.
In an attempt to target housing resources and make a more effective program, Agency staff has been
interacting with various Council members in an attempt to identify specific target areas for these resources.
Over the next 3 years, it is the intent of the Agency to address specific single family beautification and/or
rehabilitation needs and homeownership opportunities in each of the 7 Council Wards.
Thus far, Agency staff, through discussions with the First Ward Councilmember Marquez, identified a
specific area to include the boundaries between 0 Street to the north, Spruce Street to the south, Mt.
Vernon Avenue to the west and the I-215 Freeway to the east. This component to the strategy includes
targeting beautification and rehabilitation funds to homeowners and separately attempts to acquire
foreclosed and abandoned properties in the same immediate area. The overall intent of the program is to
beautify this area of Ward 1 and create more homeownership opportunities.
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P:\Agendas\Comm Dev Commission\CDC 2011\06-06-11 SF Residence Revitalization Program 3rd Quarter Report SRdoc COMMISSION MEETING AGENDA
Meeting Date: 06/06/220111
Agenda Item Number: r-✓D
Economic Development Agency Staff Report
Single-Family Residence Revitalization Program Third Quarter Report
Page 7
As the new fiscal year approaches, Agency staff working together with Third Ward Councilmember
Brinker is in the process of identifying 3-4 mobile home parks in need of rehabilitation and correction of
health and safety items in order to bring many of the coaches to habitable standards. It is the intent of
Councilmember Brinker and Agency staff to host neighborhood meetings at 3-4 of the hardest hit parks in
the Ward to introduce the benefits the Mobile Home Grant and Elderly/ Special Needs Minor Repair Grant
can provide to these communities.
As the FY 2010-2011 progresses, Agency staff will meet with other Council members to take an inventory
of their Ward's housing needs and attempt to develop a strategy for overall beautification, rehabilitation,
and enhanced home ownership in those residential neighborhoods that would benefit from these resources.
Transition of Program Administration:
On March 3, 2011, the Commission authorized the transfer of all housing related activities to Affordable
Housing Solutions of San Bernardino ("AHS"), a non-profit 501(c)(3) organization. In keeping with this
directive, Agency staff will initiate the transition of contracts with each of the three Contractors from the
Agency to AHS starting in FY 2011-2012. Administrative oversight and quarterly reporting of program
activities will remain the same.
ENVIRONMENTAL IMPACT:
This item does not meet the definition of a "project" under Section 15378 of the California Environmental
Quality Act(CEQA).
FISCAL IMPACT:
There is no General Fund impact to the City. The respective contracts between the Agency and the
Contractors are funded in the FY 2010-2011 Agency Budget, and is derived from the Agency Housing 20%
Set-Aside Funds and HOME Funds.
RECOMMENDATION:
That the Community Development Commission adopt the Motion.
Emil A. arzull Into W Executive Director
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P:Wgendas\Comm Dev Commission\CDC 2011\06-06-11 SF Residence Revitalization Program 3rd Quarter Report SR.doc COMMISSION MEETING AGENDA
Meeting Date: 06/06/2011
Agenda Item Number:
ATTACHMENT 1
City of . Bernardino
Single • ' Revitalization Program Activities For the Quarter Ending March 31 , 2011
ITotal Beautification Grant Rehabilitation Loan NlDbile Home Grant Mnor Repair Grant Total
Number Amount Number Amount Number Amount Number Amount Number Amount
3 $30,16200 1 $25,000.00 2 $4,147.80 6 $59,309.80
4 $34,229.00 2 $40,269.72 2 $1,887.74 8 $76,386.46
7 $34,124.00 2 $1,720.67 9 $35,844.67
3 $35,545.00 1 $5,000.00 3 $4,015.63 7 $44,560.63
4 $41,48100 1 $872.27 5 $42,353.27
4 $42,05200 2 $34,000.00 1 $4,700.00 7 $7,720.43 14 $88,472.43
2 $25,287.00 1 $1,975.98 3 $27,262.98
20 $208,756.00 5 $99,269.72 9 $43,824.00 18 $22,340.52 52 $374,190.24
ORy
O
R Legend
Grant Type
Beautification Grant(20)
O Rehabilitation Loan(5)
Mobile Home Grant(9)
Minor Repair Grant(18)
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ATTACHMENT 2
City of San Bernardino
Single • - - Revitalization Program • D. - Through 1
Ward Beautification Grant Rehabilitation Loan rvbbile Home Grant Mnor Repair Grant Total
Number Amount Number Amount Number Amount Number Amount Number Amount
1 7 $69,782.50 1 $25,000.00 6 $8,903.98 14 $103,686.48
2 6 $54,779.00 2 $40,269.72 3 $2,657.65 11 $97,646.37
3 3 $41,060.00 7 $34,124.06 10 $9,514.80 20 $84,698.86
4 4 $45,524.00 1 $5,000.00 5 $5,228.52 10 $55,752.52
s 14 $151,207.10 2 $1,529.97 16 1 $152,737.07
6 ]3 $137,361.00 3 $48,725.00 1 $4,700.00 18 $18,141.99 35 $208,327.99
7 10 $114,570.50 1 $10,377.00 4 $5,633.61 15 $130,581.11
Total 57 $614,224.10 7 $123,77172 9 $43,824.06 48 $51,610.52 121 $833,430.40
oRy
°R 11 Legend
,1 GrantType
Fa -- — Beautification Grant(57)
`;� ;_ O SFR Rehabilitation Loan(7)
_ Mobile Home Grant(9)
a o Minor Repair Grant(48)
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