HomeMy WebLinkAbout24-Community Development
-
~IT~ OF SAN BERN<iRDINO -
o
REQUEST FOR COUNCIL ACTION
From: Kenneth J. Henderson, Director
Dept: Community Development
Da~: June 1, 1988
Subject:
APPROVAL OF RENTAL ASSISTANCE
PROGRAM AND THE ESTABLISHMENT
OF A MOBILEHOMEPARK COMMUNI-
CATIONS TASK FORCE ~~
Synopsis of Previous Council action:
The Mayor and Common Council has previously discussed the issue of rent
stabilization, established a Citizen Mobilehome Park Fact-Finding
Committee and adopted Ordinance Number 3805 establishing a moratorium on
rents to be charged to mobilehome park tenants residing in the city.
On September 7, 1987, the Mayor and Common Council directed staff to
prepare a Mobilehome Park Survey RFP and report back to Council on
september 21, 1987.
On September 21, 1987, the Mayor and Common Council authorized the
issuance of a Mobilehome Park Survey RFP and directed staff to expedite
the proposal review and evaluation process.
(SYNOPSIS CONTINUED TO NEXT PAGE...)
Recommended motion:
Adopt Resolution.
Contact person:
Ken HendersonlMaurice Oliva
Phone:
5065
Supporting data attached:
Staff Report
Ward:
1-7
FUNDING REQUIREMENTS:
Amount:
$10,000.00
DO I c ~ ~ 511 J 5'
Source: (Acct. No.!
(Acct. DescriPtion)
CITY GENERAL FUND
Finance: 0~ P-
Council Notes:
7<;_0262
Agenda Item No:==2~
o
o
SYNOPSIS OF PREVIOUS COUNCIL ACTION CONTINUED...
On November 2, 1987, the Mayor and Common Council elected Connerly
and Associates, Inc., as consultant to conduct the mobilehome park
survey and continued approval of the agreement to November 4,
1987.
On November 4, 1987, the Mayor and Common Council adopted a
resolution authorizing the execution of an agreement with Connerly
and Associates, Inc.
On December 21, 1987, the Mayor and Common Council received and
filed the status report reqarding the mobilehome park survey and
directed staff to take appropriate action.
On January 19, 1988, the Mayor and Common Council adjourned its
regular meeting to January 25, 1988 at 5:00 p.m., to consider the
mobilehome park survey and recommendations submitted by Connerly
and Associates, Inc.
On January 25, 1988, the Mayor and Common Council referred the
recommendations outlined in the report from Connerly and
Associates to the Mobilehome Ad Hoc Committee for the development
of an implementation plan and revised ordinance to be presented to
the Mayor and Common Council on March 7, 1988.
On February 1, 1988, the Mayor and Common Council adopted
Ordinance Number MC-619 with an expiration date of March 21, 1988,
that temporarily prohibited rental increases beyond a maximum of
four point four percent (4.4%).
On March 7, 1988, the proposed ordinance establishing a Rent
Review Committee, mandatory Intra-Park Dispute Resolution process
and related procedures failed by a four to one (4-1) vote. The
Mayor and Common Council directed the Mobilehome Ad Hoc Committee
to develop a Mobilehome Park Rental Assistance Program and bring
back said program to the Common Council for its consideration.
6-1-88
-
'CIT~ OP SAN BERN'tRDINO -
o
REQUEST FOR COUNCIL ACTION
STAFF REPORT
On March 7, 1988, the Mayor and Common Council voted against
adopting the proposed ordinance establishing a Rent Review
commission, limiting mobilehome park space rent increases,
requiring a mandatory Intra-Park dispute Resolution process and
related policies and procedures as proposed by the Mobilehome Park
Ad Hoc Committee. The Mayor and Common Council, however,
instructed staff to research a proposal to provide financial
assistance to the nineteen percent (19) of the mobilehome park
tenants in need of rental assistance, and to estimate the
financial feasibility of same.
After working with staff in developing the Rental Assistance
Program, the Mobilehome Park Ad Hoc Committee on May 24, 1988,
Committee recommended the following for approval by the Mayor and
Common Council:
1. Implementation of a "Mobilehome Park Rental Assistance Program"
as described in the attached memorandum dated April 13, 1988.
2. Establishment of a "City of San Bernardino Mobilehome Park
Communications Task Force" as described in the attached Concept
Paper with cost estimates.
3. That the Mobilehome Park Rental Assistance Program be evaluated
one (1) year from the date of implementation, and appropriate
action taken after said evaluation is completed.
The above Rental Assistance Program calls for the park owners to
contribute $40,000 which would be added to the City's contribution
of $10,000 (for a total of $50,000) to capitalize the fund. The
City's $10,000 would come from General Fund revenues since it is
the least restrictive revenue source available to accomplish
Council-adopted objectives. The City would pay the County of San
Bernardino Community Services Department an estimated fee of
$150.00 per month to administer the program and serve as fiscal
agent. The County Community Services Department's administrative
fee would be paid out of this $50,000 fund.
Additionally, the cost of the City to establish and operate a
Communications Task Force is estimated at $4,824.00 per year. Said
Task Force would serve to promote communication between park
owners and park residents and strive to be impartial when
providing clarification of non-rent related issues affecting
either party. It is recommended that the Task Force be chaired by
one of the Mayor's key staff. Expens.es incurred for the
activities of the proposed Communications Task Force including
Mayor's representative, clerical support, fringe benefits,
stationary and supplies could be paid out of funds budgeted for
existing staff and expenses.
6-1-88
75-0264
.
o
o
staff recommends that the Mayor and Common Council adopt the
attached resolution authorizing the implementation of a Mobilehome
park Rental Assistance Program and establishment of a City of San
Bernardino Park Communications Task Force.
.l-
Kenneth J.
Director of
y Development
KJH/lab/0998
June 1, 1988
6-1-88
.
<<
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
o
o
RESOLUTION
RESOLUTION OF THE CITY OF SAN BERNARDINO APPROVING AND
ADOPTING A MOBILEHOME PARK RENTAL ASSiSTANCE PROGRAM.
BE IT RESOLVED BY THE MAYOR AND COMMON COUNCIL OF THE
CITY OF SAN BERNARDINO AS FOLLOWS:
SECTION 1. Recitals:
WHEREAS, a significant portion of the city of San
Bernardino's very low income households live in mobi1ehome parks;
and,
WHEREAS, many of these residents are older, on limited,
fixed incomes and pay over fifty percent (50%) of their income
for housing; and,
WHEREAS, due to the limited availability to them of
affordable housing and due to other financial circumstances,
little or no opportunity exists for such persons to move or
otherwise adjust their housing and related expenses; and,
WHEREAS, it is determined that an unexpected emergency
expense could impact such persons in such a manner as to force
them into the ranks of the homeless,
NOW, the Mayor and Common Council of the City of San
Bernardino resolve to take the action hereinafter set forth:
SECTION 2: Implementation
(A) The City of San Bernardino hereby adopts the
24 Mobilehome Park Rental Assistance Program (Program) as
25
26
27
28
recommended by the staff of the Community Development Department,
the program being attached hereto marked Exhibit "A" and made a
part hereof as though fully set forth herein.
The staff is
JFW:ss
June l, 1988
1
~
.
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
1
o
o
authorized and directed to proceed to implement the program.
(B) The City of San Bernardino hereby establishes a "City
of San Bernardino Mobi1ehome Park communications Task Force"
(Task Force) to function in the manner as set forth in Exhibit
"B" attached hereto and by this reference made a part hereof.
(C) The Mobi1ehome Park Ad hoc Committee is hereby
specifically authorized to review and approve any agreement with
any party necessary for the implementation of the program and the
Task Force.
Such agreements shall be deemed to be approved by
the Mayor and Common Council.
I HEREBY CERTIFY that the foregoing resolution was duly
adopted by the Mayor and Common Council of the City of San
Bernardino, at a
meeting held on the
, 19__, by the following vote, to wit:
day
of
AYES:
Council Members
NAYS:
ABSENT:
City Clerk
The foregoing resolution is hereby approved this
23
24
25
26
day of
, 19
Evlyn Wilcox, Mayor
City of San Bernardino
Approved as to form
and legal content:
~ /'
~ ?,/c'u.-.
/ y Attorney
28 <./
27
JFW:ss
June l, 1988
2
.
- .
~
o
o
CITY OF SAN BERNARDINO
IN~EROFFICE MEMORANDUM
8804-1104
TO: Councilman Jess Flores, Chairman
Mobilehome Park Ad Hoc Committee
FROM: Kenneth J. Henderson, Director of community
Development
SUBJECT: MOBILEHOME PARK RENTAL ASSISTANCE PROGRAM
DATE:
April 13, 1988
(7409)
COPIES:
Mayor Wilcox; Councilman Minor; Councilwoman Pope-
Ludlam; City Clerk; City Treasurer; City Attorney;
Acting city Administrator; Deputy city Admini-
strator-Development Services; Director of Finance;
Executive Assistant to Council; Deputy city
Attorney Wilson; Sally Wilder; Clay Hage; Housing
Development Specialist; File
-------------------------------------------------------------
Attached please find the above referenced program which has
been developed pursuant to the direction of the Mayor and
Common Council and the Mobilehome Ad Hoc Committee. The
program envisions actual administration of the grant compo-
nent of the program by the County of San Bernardino Community
Services Department (CSD), and that it be initially cap-
italized at a level of $50,000 ($40;000 from owners and
$10,000 from City General Fund). The reasons for the 4:1
ratio and the city contribution from its General Fund are as
follows:
a) The City has previously spent $26,812 to finance a study
of the rent control issue within its corporate boundaries.
b) A minimum of $10,000 in administrative expenses
(salaries/benefits, postage, reproduction, et. al.) has
been incurred by city exclusive of time spent by
Attorney's office.
c) Federal regulations prohibit the use of CDBG funds for
rent subsidies.
d) The City General Fund is the least restrictive revenue
source available to accomplish Council-adopted objectives.
It is possible for the block grant program to fund an
eligible activity up to $10,000 that is currently financed by
the General Fund. In this way the city could accomplish its
objectives using different funding sources.
The County presently receives $131.00 per month to administer
EXHIBIT "A"
6-1-RR
~
o
INTEROFFICE MEMORANDUM:
April 13, 1988
Page 2
o
8804-1104
the Yucaipa community's rental assistance program. While the
proposed program differs from Yucaipa's in certain aspects,
it is anticipated the City would pay a monthly administrative
fee of roughly $150.00 per month. The program fund would
actually pay the cost on behalf of the City.
Your input and that of any of the individuals receiving a
copy of this memorandum is appreciated.
Please advise as to when you will be convening a meeting of
the Committee to further discuss this matter. I can be
reached at 5065.
~.
Kenneth J. Henderso
Director of Communi
Development
KJH/lab
1
... ,.,....
o
o
CITY OF SAN BERNARDINO
COMMUNITY DEVELOPMENT DEPARTMENT
"Mobilehome Park Rental Assistance Program"
Backqround
-A significant portion of the City of San Bernardino's very
io~-income households live in mobilehome -parks. ~any of
these residents are older, on limited, fixed incomes and some
pay over fifty percent (50\) of their income for housing. Due
to housing and t1nancia~ circumstances, little or no
opportunity exists to move or otherwise reduce housing and
related costs. A personal financial reversal, an expensive
illness, a rent increase.or some combination of these factors
could be financially devastating and perhaps even force
certain households into the ranks of the homeless.
It is the desire of the city of San Bernardino to establish a
rental assistance program for these households. This program
will be a joint program of the City and the mobilehome park
owners. The program will provide monetary assistance for the
most needy cases and an opportunity for rent deferrals for
other households in need.
Proqram Comoonents
The City of San Bernardino Mobilehome Park Rental Assistance
program will have two (2) components: (1) grants to the most
needy mobtlehome park residents: and (2) rent deferrals" for
others who have a temporary need for financial assistance.
Each of -these comp~nents is explained further below.
1. Grants -~ Giv~n fund availability, grants will be avail-
able for very low income households (defined as households
which earn fifty percent (50\) or less of median income)
which pay fifty percent (50\) or more of their income for
~ousing (including space rent, rent or mortgage payment on
their coach and utilities).
After eligibility is determined, these households will
receive grants consisting of monthly payments to cover
that portion of their housing costs which exceed fifty
percent (50\) of their income. The maximum grant will be
fifty dollars ($50.00) per month. Eligibility will be
reviewed annually.
2. Rent Deferrals -- Rent deferrals will be available to low
income households who are paying in excess of thirty
percent (30\) of its income for housing and related
expenses. In general, rent deferrals will involve
deferral of rent increases for these households. Other
arrangements may also be possible.
1
u
....... ., ~
o
o
After eligibility is determined, individual arrangements
will be" negotiated by the specific mobilehome park owner
or his/her representative and the eligible te~ant. Rent
deferrals will represent an oblig<<tion of the resident
receiving the deferral to tne owner and will be repaid
when the mobilehome is sold or ownership is trans~erred,
voluntarily or involuntarily, or sooner if possible.
Repayment will be secured through a personal note from the
resident to the owner. Eligibility for continuing rent
deferrals will be reviewed-annuallY~
Prodram Administration
(
The grant component of the rent assistance program will be
-'administered by the Community Services Department of the
County of San Bernardino. The Community Services Department
(CSD) is also administering a similar program for the Yucaipa
community. The Community Services Department will be paid an
administrative fee for administration of the program.
As to the rent deferral component of the rental assistance
program, Community Development Department staff will make
available to the mobilehome park owners household income
information, adjusted for family size, at eighty percent
(80t) and fifty percent (50t) of the median income for the
RiversidelSan Bernardino Metropolitan Statistical Area. This
information is updated annually by the U.S. Department of
Housing and Urban Development (HOD). owners would utilize
this information in calculating whether a household was..
spending thirty percent (30t) or more of its gross income on
-housing and related expenses, and thus, eligible for rent
deferral consideration.
Proqram Fundina
Based on the experience of the Yucaipa Rental Assistance
Program, it is recommended that ~his program be capitalized
ini~ially with a $50,000 fund derived from the following
sources:
1. A $40,000.00 cash contribution from the mobilehome park
owners; and
2. A $10,000 contribution from the City of San Bernardino
(from General Fund Revenues).
These funds would be transferred to the Community Services
Department which would serve as fiscal agent for this pro-
gram. The fund balance would be deposited in an interest
bearing account with a local financial institution, and
interest earned would be added to the fund balance. In
addition to grant payments, CSD's administrative fee would be
paid out of the fund.
The Community Services Department would determine applicant
2
..
--
cc...
.'~.' . ". .....
o
o
eligibility for grant payments (based on information supplied
by the mobilehome park resident), prepare and send out
monthly Checks, re-determine eligibility annually, and
provide the mobilehome park~wners and the City of San
Bernardino Community~evelopment Department with a monthly
statement of grant payments, interest earne~ and fund
balance.
When the fund balance is depleted, additional contributions
to continue the program will-be necessary from the city and
the mobilehome park owners, in the same proportion as the
original grant if the City determines continuation of the
program is warranted.
~blicitv. Outreach and Referrals
The rental assistance program will be publicized by the City
through newspaper articles and fliers, the City Community
Access Channel and the Community Services Division of the
Parks, Recreation and Community Services Department. Local
tenant organizations will assist with outreach activities in
local mobilehome parks. In addition, announcements and
fliers will be posted in senior centers and other facilities
where mobilehome park residents are likely to see them.
Standardized applications will be made available through CSD
and senior organizations. For those applicants who do not
qualify for assistance, the rejection notice will include an
attachment listing other organizations and pro9ra~s-which
might be able to assist the mobilehome park resident.
Ilab
- 0891
3
~
- -
.
o
o
CITY OF SAN BERNARDINO
COMMUNITY DEVELOPMENT DEPARTMENT
Mobilehome Park Communications Task Force
Concept and Cost Estimates
Backqround
The Yucaipa Plan as implemented by Mobilehome Park Solu-
tions, Inc., has established a "Communications Team". The
Team is composed of one resident representative, one owner
representative, and the board chairman of Mobile Home Park
Solutions, Inc., who is a county employee. Whereas the
Communications Team has no formal authority for forging
agreements (such as mediation or binding arbitration), team
members assist in problem solving, aiding ownerlresident
communications, organizing for and holding elections,
providing education, and conducting park meetings. A
Communications Team member may attend local park communica-
tions meetings and monitor the program, helping to
facilitate improvement for park relationships.
prooosal for the citv
At the last meeting of the Common Council's Mobilehome Ad
Hoc Committee, it was suggested that a similar communi-
cations task force be established to complement the pro-
posed rental assistance program for income-deficient park
tenants. The task force might be called "The City of San
Bernardino Mobilehome Park Communications Task Force" and
chaired by one of the Mayor's key staff. There would also
be a park owner representative and two resident
representatives, one from Golden State Mobilehome Owners
League (GSMOL) and one from the Mobilehome Organized
Residents Enterprises (MORE). The Mayor's appointed
representative gives added credibility to the program,
which would not be the case if the Task Force were chaired
by a departmental representative.
Cost Estimates
It is envisioned that the Communications Task Force would
operate in a similar fashion to the Yucaipa Plan model
described above. The members of the task force would serve
to promote communication between park owners and park
residents. They would also strive to be impartial in
providing clarification of non-rent related issues affect-
ing either party.
In order to estimate the costs to the City of establishing
and operating this task force, it is necessary to make some
assumptions:
1. It is assumed that the task force would meet as a body
once a month, and that meeting notes would be prepared.
1
6-1-88
EXHIBIT "B"
--^
""
..
...c......".....
~
o
o
2. It is assumed that the City would provide ~eeting space
for the task force and necessary clerical support for
the preparation of agendas and minutes of task force
meetings.
3. Based on these assumptions, the following
are anticipated for the activities of the
communications task force:
annual costs
proposed
Meeting facility
Clerical support for twelve (12)
monthly meetings (72 hours at
$15.00 per hour x 12).
Fringe benefits for clerical support
-0-
$1,080.00*
$ 324.00
Mayor's representative to task force
(8 hours per month, estimated at
at $200.00 in direct salary costs x 12).
$2,400.00*
Fringe benefits for Mayor's
Representative
Stationary and supplies
Total Estimated Expenses:
(*Direct cost. Does not include overhead.)
Therefore, it is estimated that the proposed communications
task force can be maintained and its activities supported
for approximately $4,824.00 per year.
$ 720.00
S 300.00
$4,824.00
Ilab
0990
2