HomeMy WebLinkAboutHousing Cmsn - 10-08-2014PALM DESERT HOUSING AUTHORITY
INTEROFFICE MEMORANDUM
TO: RACHELLE KLASSEN, CITY CLERK
FROM: PATTY LEON, RECORDING SECRETARY
DATE: NOVEMBER 13, 2014
SUBJECT: HOUSING COMMISSION MINUTES
Attached is the following Housing Commission Meeting Minutes approved at the regular
Housing Commission meeting held November 12th, 2014 as follows:
(x) Meeting Minutes for October 8th, 2014
Please submit to the Housing Authority Board.
Thank you.
Mad BY HOUSG AUTH
VERIFIED BY: ieggrliY/
Original on file with City Clerk's Office
Lq-Da: Bliss:hey/u00e/,
N° /Uo�r st�rn� .�ort�,�Ha�iJ
G \HOUSING'Patty Leon\Housing Commission \Miscellaneous\Memos\Memos to City Clerk HC\FIAC - Minutes doc
Housing Commission
Minutes OCTOBER 8, 2014
V. NEW BUSINESS
A. Ratify Change Order No 1 to Contract No. HA29410B with Optimus
Construction, Inc. — Carlos Ortega Villas
Janet Moore summarized the staff report, stating that the total amount of
$10,194.53 will be expended from the 10% contingency set aside for this
contract.
Commissioners Mike Lewis and Gregory Ballard felt the cost to remove a
septic tank seemed high.
Mrs. Moore explained that the septic tank was concrete and required that it
be removed in order to achieve the required soil compaction.
Motion was made by Commissioner Mike Lewis to forward a
recommendation to the Palm Desert Housing Authority to Ratify
Change Order No. 1 to Contract No. HA29410B in the amount of
$10,194.53 with Optimus Construction, Inc. for construction of the
Carlos Ortega Villas (Project No. 825-11). Motion was seconded by
Commissioner Greg Ballard and carried by 6-0-1 vote (AYES: Ballard,
Lewis, Nevares, Tucker, Whitehurst, and Russo; NOES: none;
ABSENT: Turner).
B. Approve Change Order No. 2 to Contract No. HA29410B with Optimus
Construction, Inc. — Carlos Ortega Villas
Janet Moore summarized the staff report and provided a brief explanation
of the water damages to the site caused by the recent rain storm. The
storm was classified as a 700 to 1000 year storm. The Carlos Ortega
Villas' plans are designed for appropriate water run-off but not in the event
of an extraordinary storm. Mrs. Moore also noted that there might be
another change order to the contract with respect to additional dirt, to level
the site, which may have been washed away.
Commissioner Gregory Ballard asked if these damages may be submitted
as an insurance claim.
Mrs. Moore replied that the deductible is higher than the cost for the
damages themselves.
Motion was made by Commissioner Mike Lewis to forward a
recommendation to the Palm Desert Housing Authority to Approve
Change Order No. 2 to Contract No. HA29410B with Optimus
Construction, Inc. in the amount of $4,713.82 for construction of the
2
Housing Commission
Minutes OCTOBER 8, 2014
Carlos Ortega Villas (Project No. 825-11). Motion was seconded by
Commissioner Joy Whitehurst and carried by 6-0-1 vote (AYES:
Ballard, Lewis, Nevares, Tucker, Whitehurst, and Russo; NOES:
none; ABSENT: Turner)
C. Payment to Coachella Valley Water District — Carlos Ortega Villas
Janet Moore stated that staff does not have an invoice from CVWD at this
time, however it's expected to be well in excessive of the $100,000 the
Executive Director was granted to approve.
Commissioner Natalie Russo asked what was budgeted in the project
cost; Mrs. Moore replied approximately one million dollars.
Motion was made by Commissioner Mike Lewis to forward a
recommendation to the Palm Desert Housing Authority to approve a
payment to Coachella Valley Water District and Sewer Development
fees related to the Carlos Ortega Villas (Project No. 825-11). Motion
was seconded by Commissioner Gregory Ballard and carried by 6-0-
1 vote (AYES: Ballard, Lewis, Nevares, Tucker, Whitehurst, and
Russo; NOES: none; ABSENT: Turner).
VI. CONTINUED BUSINESS
VII. REPORTS AND REMARKS
A. COMMISSION REPORTS
Janet Moore stated that if the Commission was interested in driving by the
Carlos Ortega Villas site there is activity going on. The contractor has
requested for a one day extension due to the floods.
Commissioner Joy Whitehurst asked if there is an in house project manager on
site.
Mrs. Moore replied that the project manager is Heather Buck who visits the site
frequently. Currently she is working on submittals where the contractor feels
something has not been called for in the plans such as hardware, fixtures, and
appliances. An example mentioned was the contractor identified that there
were no deadbolts designed in the plans; staff felt deadbolts are needed in
addition to door locks and were approved to be installed.
Teresa Vakili commented that there are a lot of inquiries for this property.
3
Housing Commission
Minutes OCTOBER 8, 2014
The site will be a hard hat area soon and a street view was encouraged.
Upon question of Casey's restaurant, Mrs. Moore stated that there has been
interest in the restaurant site; however a decision has not been made whether
we will demolish the building and then sell or sell it as is. It was noted that the
property will be sold and not rented.
Commissioner Wade Tucker mentioned he stopped by the Carlos Ortega Villas
site and had a conversation with the workers who were very friendly and
offered to answer questions.
B. SUMMARY OF CITY COUNCIL, SUCCESSOR AGENCY TO THE
REDEVELOPMENT AGENCY, AND HOUSING AUTHORITY AGENDA ITEMS
A memo summarizing the approved action items from the City Council meeting
of September 25tr' were provided to the Commission for review.
Janet Moore reported that the contract is being finalized and will be provided to
HD Supply for signature. She reiterated that the renovation work will be done
to 4 apartments at the rental properties and 3 for sale properties.
C. MONTHLY OCCUPANCY STATUS REPORT
The Commission reviewed the Monthly Occupancy Status Report for August.
Commissioner Natalie Russo inquired on the nine vacancies at One Quail
Place.
Teresa Vakili stated that besides One Quail Place being the largest property,
August is usually a busy month; most families are preparing to settle down
before school starts. In general, there were a high number of turnovers in
August; however those vacancies have been leased.
D. REPORT #1 — MONTHLY OCCUPANCY AND AVERAGE RENT STATEMENT
The Commission reviewed the Monthly Occupancy and Average Rent
Statement for August.
E. REPORT #2 — MONTHLY NET OPERATING INCOME STATEMENTS
The Commission reviewed the Monthly Net Operating Income Statements for
August.
4
Housing Commission
Minutes OCTOBER 8, 2014
Commissioner Wade Tucker commented that the new ground staff member at
Las Serenas is doing a great job.
Commissioner Mike Lewis questioned how long the City can sustain losses at
the rental properties and if a report showing the total year end may be
requested.
Janet Moore stated that the report currently shows the Prior Year Net operating
income for the same reporting month. She noted that the report may be
adjusted to show the prior year's totals which are normally reported the last
month of the fiscal year in June. Mrs Moore mentioned that although the report
shows a negative amount, the properties do provide a profit and in most cases,
those incomes from properties that do not have debt, so the monies are
dispersed towards other programs such as the for -sale program. She also
stated that before capital improvements are done, which are funded by another
source, there is a positive cash flow ranging from $500,000 to one million
dollars. Since the elimination of redevelopment agency, staff had to determine
what the absolute necessary repairs and improvements for the properties would
be, at the same time continue to maintain the properties; given the fact that
there is no constant funding sources for affordable housing. It was noted that
HD Supply renovations are necessary repairs.
Commissioner Mike Lewis asked if there was a law that says we have to have
affordable housing.
Mrs. Moore stated that there are laws for the City that require that land be
zoned for affordable housing. When the redevelopment agency was in effect
and operating, 20% of the funding that went into the redevelopment agency
was required to be used for affordable housing keeping in mind the land use
policies and zoning ordinances to ensure we were in compliance with what the
State required. The State provides what is known as the Regional Housing
Needs Assessment (RHNA) based on analysis conducted by them. One of the
main factors of the analysis is transportation and where it's going in the next 30
years. Based on this, there will be housing needs and those needs will be
allocated in different regions from RHNA. Since the redevelopment agency's
elimination, the only requirement of the City is to allocate zoning and land use
that will allow for the construction of those affordable units.
Mrs. Moore further noted that the City Council opted to take over its own
housing after the elimination of redevelopment. The properties were once
overseen by the County of Riverside however the County was not as
proprietary of its conditions. Therefore, the City acquired the properties and
eliminated the agreement with the County.
5
Housing Commission
Minutes OCTOBER 8, 2014
Commissioner Lewis thanked Mrs. Moore for the detailed explanation.
At this time, Mrs. Moore reported that Councilmember Jean Benson attended a
meeting with respect to the artists for the Carlos Ortega Villas and had
narrowed it down to three artists from seven.
Councilmember Liaison Jean Benson stated that all three murals were very
good with different artistic styles. She briefly described the different arts
displayed at the meeting, noting that the artist chosen best described Carlos
Ortega's legacy. It was noted that the artist chosen is from the State of
Washington.
Commissioner Lewis asked if the costs to transport the mural to the Carlos
Ortega Villas site were included in the monies allocated for the mural;
Councilmember Benson replied yes.
Janet Moore mentioned that those renderings will be presented to this
Commission at the next meeting.
F. HOUSING AUTHORITY PROPERTIES UPDATE
An update on the Housing Authority Properties was provided to the
Commission for review.
Teresa Vakili summarized the report.
G. AUTHORITY HOME IMPROVEMENT PROGRAM UPDATE
An update on the Home Improvement Program (HIP) was provided to the
Commission for review.
Janet Moore summarized the report, stating that there is a new request for
emergency assistance. She also noted that there has been a significant amount
of walk-ins recently as shown on the bottom of the report. The report shows
activity for one year.
At this time, Mrs. Moore recognized Cquncilmember Jean Benson for her 32
years of service with the City of Palm Desert and how she was honored at a
recent luncheon event. Commissioners praised Mrs. Benson with a round of
applause. Mrs. Benson mentioned she received appreciation from some of the
residents she has helped with affordable housing.
6
Housing Commission
Minutes OCTOBER 8, 2014
Mrs. Moore commented that Mrs. Benson has been a great advocate, as well
as supportive, of the affordable housing program and will be sad to see her
leave.
Commissioner Joy Whitehurst commented that she believed there is not
anybody in the Coachella Valley that dedicates so much of their personal time
for their city as Mrs. Benson.
Mrs. Benson thanked the Commission for their kind words.
IX. NEXT MEETING DATE — NOVEMBER 12, 2014
X. ADJOURNMENT
With Commission concurrence the meeting was adjourned at 4:21 p.m. to
November 12, 2014 at 3:30 p.m.
Patty Leon, R cording Secretary
7