HomeMy WebLinkAbout06/26/98 BAKERSFIELD
CITY MANAGER'S OFFICE
MEMORANDUM
June 26,1998
TO: HONORABLE MAYOR AND CITY COUN,/C~IL/....~
FROM: ALAN TANDY, CITY MANAGER
SUBJECT: GENERAL INFORMATION
1. We now have a City home page on the NET. It's pretty good quality for a start, and
we'll refine it over time. When fully up and running, Council agendas, Planning
Commission agendas, etc. will be on it. Log on to www.ci.bakersfield.ca.us. It has
contact numbers, information on City services, etc. on it now.
2. We found a 1972 drawing showing a 10,000 seat arena south of the Convention
Center - not far off today's actual structure.
3. EDCD has researched the availability of the HUD Urban Homesteading Program and
a summary of that, as well as the other housing assistance programs currently
underway, is attached.
4. We will be reviewing the petitions received from Olive and Castro to see if they are
current~from within the area, etc. We'll let you know.
5. In accordance with your directive on the City Attorney, I have initiated the process to
get a contract with an executive search firm on the agenda for the July 1st meeting.
That should not be a problem.
6. We met with the new owners of the Federal Building this week. We will work with
them on helping add to our tax base in a productive way.
AT:rs
cc: Department Heads
Pamela McCarthy, City Clerk
Trudy Slater, Administrative Analyst
Economic and Community Development Department \ /~
MEMORANDUM
June 23, 1998/
TO: Jake Wager, Economic Development Director
FROM: George Gonzales~lo/"mmunity Development Coordinator
Ii
SUBJECT: Urban Itomesteatling Program
Economic and Community Development staff has researched the availability of HUD's Urban
Homesteading Program for use in the City of Bakersfield. Although the program has been inactive
since 1991, there has been some interest fi.om U.S. Senators' to reactivate the program. Originally
the program was created to revitalize declining neighborhoods by transferring vacant and
unrepairable federal properties to a local jurisdiction and then to home owners for rehabilitation. If
this federal program is reactivated and funds for FY 00/01 are approved by Congress, staff will
pursue designation as an Urban Homesteading jurisdiction.
Other housing activities currently underway to help revitalize neighborhoods and increase home
ownership opportunity include scattered site acquisition, Self Help Enterprise assistance, and the
Kem County Economic Opportunity Corporation assistance.
A summary of those programs and expected outcome of each activity is included below.
Scattered Site Acquisition/New Construction
This project is designed for the purpose of providing the acquisition of unimproved single-family
lots for development of housing for HOME-qualified low income homebuyers. The acquisition of
these sites have become available through a delinquent tax sale offered by the County. The City
Council approved an agreement with Engineered Communities, Inc. (5 units) and Habitat for
Humanity (3 units) for development of single-family homes for sale to HOME qualified low income
homebuyers.
The affordable housing developers will construct one single-family home on each of the acquired
lots. Once the home is completed, it will be sold to eligible first time homebuyers. The City's
assistance to the affordable housing developers would be transferred to the first tiFffe hol~i~la/~r,~¥,.- vx
off at the time of the sales transaction. If the first time homebuy~~--~
assumption
or
paid
assistance and sells the residence prior to the completion of the affordability period 420 ye,, .a[,s)&th.e..... 1
dlk:P:\GEORGE\urban homestead.mem . ~
~ITY MANAGER'S OFF[C~-~
original assistance will be repaid to the City. Should the first time homebuyer remain in the home
for 20 years the City's assistance for the lot will be forgiven. All funds provided under this
agreement will be secured by a 2nd trust deed.
Self Help Enterprises (SHE)
SHE is a private non-profit corporation whose mission is to improve the living conditions of low
income families. SHE has been awarded City HOME funds to acquire 10 lots for the construction
of single-family residences affordable to low income households. The fn'st time homebuyer will be
required to work along side and under the guidance of SHE project managers. Each approved
applicant will invest approximately 900 hours of voluntary labor towards the completion of their
future home and an additional 300 hours towards the completion of the other applicants' homes.
SHE will acquire construction financing and assist the homebuyers to arrange for permanent long
term financing. The City's assistance to SHE will be transferred to the first time homebuyer once
the homes are complete. If the fa'st time homebuyer assumes the assistance and sells the residence
prior to the completion of the affordability period (20 years), the original assistance will be repaid
to the City. If the family continues to live in the home after the 20 year affordability period, the
City's original assistance is forgiven. All funds provided under this agreement will be secured by
a 2nd trust deed.
Kern Count. Economic Opportuni~_ Co~_ oration (KCEOC)
KCEOC is a private non-profit corporation committed to alleviate and eliminate poverty for the
affected families in Kern County. Since 1994, KCEOC has been a designated Community Housing
Development Organization (CHDO) involved in acquiring and rehabilitating substandard single-
family dwellings using City HOME funds. Once the rehabilitation is completed, the homes are then
sold to eligible low income households. The proceeds of the sales of the homes are then used as a
revolving loan pool to purchase and rehabilitate furore homes. To date, seven first time homebuyers
have been assisted through KCEOC's program.
KCEOC has requested additional HOME funds from the current year so that they can increase the
number of housing units they can undertake at any one time.
In addition, Affordable Homes, Inc. (AHI) a non-profit housing provider and a qualified Community
Housing Development Organization (CHDO) has also requested HOME CHDO funds to purchase
and rehabilitate existing single-family and multi-family housing units. AHI has completed similar
projects in the cities of Lemoore, Fresno, and Los Angeles.
Staff will continue to pursue other infill housing programs and projects to help revitalize
neighborhoods. These efforts will include working with other non-profit housing agencies and for
profit developers. By working with other groups and agencies funds can be leveraged to make the
most impact to low income neighborhoods.
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