HomeMy WebLinkAboutRES HA-30RESOLUTION NO. HA-30
A RESOLUTION OF THE PALM DESERT HOUSING AUTHORITY
ESTABLISHING A PROCEDURE FOR SETTING RENTAL RATES FOR
PALM DESERT REDEVELOPMENT AGENCY OWNED RENTAL UNITS
WHEREAS, the Palm Desert Housing Authority (the "Housing Authority") wishes to
set forth a procedure for the Chief Administrative Officer or his designee (the "Chief
Administrative Officer") to set rental rates annually for units owned by the Palm Desert
Redevelopment Agency ("Agency Units") and to increase rents charged for Agency Units
in accordance with such rates;
NOW, THEREFORE, THE PALM DESERT HOUSING AUTHORITY HEREBY
FINDS, DETERMINES, RESOLVES AND ORDERS AS FOLLOWS:
Section 1. The Chief Administrative Officer shall set maximum rental rate amounts
for Agency Units to be effective each year on July 1st in the following manner:
A. For Agency Units acquired, developed, rehabilitated, or otherwise assisted,
which are required to be available to and occupied by persons and families
whose income is between 20 percent and 65 percent of the area median
income, maximum rental rates shall be established in accordance with the
terms of that certain Stipulation for Entry of Judgement in Case No. Indio
51143, as subsequently amended (the "Stipulation").
B. For all other Agency Units,
(i)
Immediately upon adoption of this Resolution, the Chief
Administrative Officer shall set maximum rental rates as
recommended by the appraisal analysis conducted by Sweet &
Associates dated December 31, 2004 and on file in the office of the
Housing Authority Secretary.
(ii) Beginning in April of 2006, the Chief Administrative Officer shall cause
to be conducted a bi-annual survey of area market rental rates for
rental units similar in size and unit mix to the Agency Units and shall
set maximum rental rates in accordance with the survey results. For
example, the market rental rate for a two -bedroom unit in a duplex
may be established as the maximum rental rate for a two -bedroom
Agency Unit in a duplex.
(iii) In the intermediate year between surveys, the Chief Administrative
Officer may increase maximum rental rates by the same percentage
as the percentage increase from the previous year to the current year
in area median income.
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RESOLUTION NO. HA-30
(iv) The Chief Administrative Officer may establish maximum rental rates
at an amount that is less than the market rental rate to compensate
for an unusual property condition.
(v) In no event shall the maximum rental rate for any Agency Unit exceed
the affordable rent for that unit as calculated in accordance with
Health and Safety Code Section 50053.
Section 2.
A. For those Agency Units described in Section 1.A. hereof, after proper notice
has been given, the Chief Administrative Officer shall set the rental rate for
each unit determined pursuant to Section 1.A.
B. For all other Agency Units, after proper notice is given, the Chief
Administrative Officer shall set the rental rate for each unit at the maximum
rental rate determined for that unit. Any rental rate increase shall be
implemented in the following manner:
(i)
For vacant units, the full amount of the rental rate increase shall be
implemented immediately.
(ii) For occupied units,
(a) if the rental rate increase is less than or equal to $50, the full
amount of the rental rate increase shall be implemented at
lease renewal,
(b) if the rental rate increase is more than $50, the rental rate shall
be increased by $50 at lease renewal and by $50 every six
months thereafter until the rental rate equals maximum rental
rate, and
(c) if the unit or the property on which the unit is located is in need
of renovations, the rental rate increase may be deferred until
completion of the renovations or the increase(s) may be less
than otherwise provided for pursuant to subparagraphs (i) and
(ii) of this paragraph B.
Section 3. Tenant income in all cases shall be adjusted for family size and shall be
sufficient to pay affordable rent as determined for that unit in accordance with the
Stipulation or Health and Safety Code Section 50053.
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RESOLUTION NO. HA-30
Section 4. The Chief Administrative Officer may take any other action which he
believes is necessary or desirable to implement the intent of this resolution so long as such
action is not inconsistent with the terms hereof.
PASSED, APPROVED, and ADOPTED by the Palm Desert Housing Authority, this
9T" of March, 2006, by the following vote, to wit:
AYES: BENSON, CRITES, KELLY, SPIEGEL, and FERGUSON
NOES: NONE
ABSENT: NONE
ABSTAIN: NONE
ATTEST:
JI FERG S , CHAIRMAN
P M HOUSING AUTHORITY
RACHELLE D. KLASSEN, SECRETA RY
PALM DESERT HOUSING AUTHORITY
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