Legislation Details

File #: HIST-20240    Version: 1 Subject:
Type: Historical Status: Consent Agenda
In control: Housing Authority Board
On agenda: 7/23/2012 Final action: 7/23/2012
Title: JOINT CITY COUNCIL/CULVER CITY HOUSING AUTHORITY: (1) Adoption of a City Council Resolution Approving the Transfer to the Culver City Housing Authority of the Rights and Obligations Under the Section 8 Annual Contributions Contract between the City of Culver City and the United States Department of Housing and Urban Development; and (2) Adoption of a Resolution by the Culver City Housing Authority Board Approving the Transfer to the Housing Authority of the Rights and Obligations of the City of Culver City Under the Section 8 Annual Contributions Contract between the City of Culver City and the United States Department of Housing and Urban Development.
Attachments: 1. JOINT CITY COUNCIL/CULVER CITY HOUSING AUTHORITY: - JC-2__12-07-23_CDD_HA_JOINT_Transfer of Section 8 to the Housing Authority - FINAL.pdf, 2. JOINT CITY COUNCIL/CULVER CITY HOUSING AUTHORITY: - 12-07-23_ATT_HA_Transfer of Section 8 FINAL.pdf
City of Culver City, California Agenda Item Report Meeting Date: July 23, 2012 Item Number: JC-2 JOINT CITY COUNCIL/CULVER CITY HOUSING AUTHORITY: (1) Adoption of a City Council Resolution Approving the Transfer to the Culver City Housing Authority of the Rights and Obligations Under the Section 8 Annual Contributions Contract between the City of Culver City and the United States Department of Housing and Urban Development; and (2) Adoption of a Resolution by the Culver City Housing Authority Board Approving the Transfer to the Housing Authority of the Rights and Obligations of the City of Culver City Under the Section 8 Annual Contributions Contract between the City of Culver City and the United States Department of Housing and Urban Development. Contact Person/Dept.: Tevis Barnes Phone Number: (310) 253-5782 Fiscal Impact: Yes [X] No [] General Fund: Yes [] No [X] Public Hearing: [] Action Item: [] Attachments: [X] Commission Action Required: Yes [] No [X] Date: Public Notification Meetings and Agendas – City Council (07/20/12); US Department of Housing and Urban Development Los Angeles Field Office (06/15/12) Department Approval: Sol Blumenfeld (07/12/12) City Attorney/Housing Authority Counsel Approval: Carol Schwab (by H. Baker) (07/18/12) Chief Financial Officer Approval: Jeff Muir (07/19/12) City Manager/Executive Director Approval: John M. Nachbar (07/20/12) RECOMMENDATION: Staff recommends the City Council: (1) Adopt a resolution approving the transfer to the Culver City Housing Authority (Housing Authority) the rights and obligations of the City of Culver City (City) under the Section 8 Annual Contributions Contract (ACC) between the City and the United States Department of Housing and Urban Development (HUD); AND Staff recommends the Housing Authority Board: (1) Adopt a resolution approving the transfer to the Housing Authority of the rights and obligations of the City under the ACC. BACKGROUND: The Section 8 Housing Choice Voucher Program (HCVP) provides tenant based rental assistance (the rental subsidy is paid directly to a private property owner on behalf of the participating household) to assist extremely-low, very-low and low City of Culver City, California Agenda Item Report income households to find decent, safe and sanitary affordable housing. Since the City of Culver City entered into a Master Section 8 ACC with HUD on February 24, 1976. Since 1976, an average of 250-300 households annually are assisted through the HCVP. Additionally, 150 property owners currently participate in the program making their units available to HCVP participants. The average rental subsidy paid per household per year is $6,000. Currently, there are 732 households on the HCVP Waiting List with an average wait period of 5 years. DISCUSSION: Pursuant to Assembly Bill 1X 26 (AB 26) and other applicable State Law, the City Council activated the Culver City Housing Authority at the City Council meeting of January 9, 2012. Also, at this time, the City Council and Housing Authority Board adopted respective resolutions which transferred (the City Council) and accepted the transfer (the Housing Authority) of all housing assets, rights, powers, duties, obligations, liabilities, and function previously performed by the Culver City Redevelopment Agency under Part 1.85 of Division 24 of the Health and Safety Code subject to the reservations stated in the resolutions. Approval of the above resolutions did not include the HCVP which is federally funded and not under the jurisdiction of the former Redevelopment Agency. Approval of the proposed resolutions will effectively transfer all HCVP rights and obligations under the ACC to the Housing Authority. Upon approval, all affordable housing related activity, rights, obligations, assets and liabilities will be under the auspices of the Housing Authority. FISCAL ANALYSIS: $1.9 million in grant funding for the provision of rental subsidies and program administration of the HCVP will be transferred from the City to the Housing Authority. This transfer will have no impact on the current functions or funding of the Section 8 HCVP. The Housing Authority will need to execute a new Depository Agreement (Form HUD 51999) with the bank holding the accounts that receive deposits of the HCVP payments from HUD (Bank of America). The HUD Los Angeles Field Office has been notified of this pending transfer and they only require copies of the approved Staff Report and Resolutions along with the newly executed Depository Agreement. Should the City Council and Housing Authority adopt the proposed resolutions, staff will complete these administrative steps. ATTACHMENTS: 1. Proposed City Council Resolution 2. Proposed Housing Authority Resolution City of Culver City, California Agenda Item Report MOTION: That the City Council: Adopt a resolution approving the transfer to the Housing Authority of the rights and obligations of the City under the Section 8 ACC with HUD. That the Housing Authority: Adopt a resolution approving the transfer to the Housing Authority of the rights and obligations of the City under the Section 8 ACC with HUD. MEETING DATE: 07.23.12 AGENDA ITEM: (1) Adoption of a City Council Resolution Approving the Transfer to the Culver City Housing Authority of the Rights and Obligations Under the Section 8 Annual Contributions Contract with the United States Department of Housing and Urban Development; and (2) Adoption of a Resolution by the Culver City Housing Authority Approving the Transfer to the Housing Authority of the Rights and Obligations of the City of Culver City Under the Section 8 Annual Contributions Contract with the United States Department of Housing and Urban Development ATTACHMENTS Pages 1. City Council Resolution No. 2012-R approving the transfer to the Culver City-Housing Authority of the Rights and Obligations of the City under the Section 8 Annual Contributions Contracts with the United States Department of Housing and Urban Development. 1-2 2. Housing Authority Resolution No. HA 2012- approving the transfer to the Housing Authority of the Rights and Obligations of the City of Culver City under the Section 8 Annual Contributions Contracts with the United States Department of Housing and Urban Development from the City. 3-4 I F RESOLUTION NO. 2012-R RESOLUTION OF THE CITY COUNCIL OF CULVER CITY, CALIFORNIA APPROVING THE TRANSFER TO THE CULVER CITY HOUSING AUTHORITY OF THE RIGHTS AND OBLIGATIONS OF THE CITY UNDER 4 THE SECTION 8 ANNUAL CONTRIBUTIONS CONTRACT WITH THE UNITED STATES DEPARTMENT OF HOUSING AND URBAN 5 DEVELOPMENT. 6 7 WHEREAS, the City of Culver City in its capacity as a public housing agency 8 (PHA) under the Section 8 Tenant Based Assistance: Housing Choice Voucher Program 9 ("Section 8 Program") previously entered into a Master Section 8 Annual Contributions 10 Contract dated as of February 24, 1976 with the United States Department of Housing and 11 Urban Development (HUD) as supplemented by periodic funding agreements with HUD 12 ("Annual Contributions Contract"); and 13 WHEREAS, the Annual Contributions Contract commits HUD to make payments 14 to the City, over a specified term, for housing assistance payments to owners and for the 15 City's administrative fee and obligates the City to administer the Section 8 Program in 16 accordance with HUD regulations and requirements; and 17 WHEREAS, the Culver City Housing Authority (the "Authority") is a public. 18 housing authority, established and authorized to act pursuant to the Housing Authorities Law 19 of the State of California; and WHEREAS, the City desires to designate the Authority to serve as the PHA and to administer the Section 8 Program under the Annual Contributions Contract; and WHEREAS, all other legal prerequisites to the adoption of this Resolution have NOW THEREFORE, the City Council of the City of Culver City DOES HEREBY RESOLVE, as follows: 28 2 3 20 21 22 23 II occurred. 24 25 26 27 APPROV 0 FORM: OL A. SCHWAB, City Attorney 1 1, The City Council has received and heard all oral and written objections to 2 matters pertaining to this transaction, and all such oral and written objections are hereby 3 overruled. 2. The City Council hereby finds and determines that the foregoing recitals are true and correct. 3. The City Council hereby approves and authorizes the transfer of the Section 8 Program to the Authority and delegates to the Authority all of the powers, functions and obligations of the City under the Annual Contributions Contract 4. The City Council hereby approves of and authorizes an assignment by the City to the Authority of the City's rights and interests in the Annual Contributions Contract, including but not limited to the City's right to receive payments from HUD with respect to the Section 8 Program. 5. The City Manager or designee is hereby authorized and directed to take all reasonable and necessary actions and sign on behalf of the City all reasonable and necessary documents and instruments first approved in writing by the City Attorney to carry out the transfer from the City to the Authority of the Annual Contributions Contract and the City's rights and obligations with respect to the Section 8 Program. 6. This Resolution shall take effect immediately upon its adoption. 19 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 20 , 2012. APPROVED AND ADOPTED, this day of 21 22 23 24 25 26 27 ATTEST: MARTIN R. COLE, City Clerk Al2-00397 ANDREW WEISSMAN, MAYOR City of Culver City, California 28 -2-- 1 RESOLUTION NO. 2012-HA RESOLUTION OF THE CULVER CITY HOUSING AUTHORITY APPROVING THE TRANSFER TO THE HOUSING AUTHORITY OF THE RIGHTS AND OBLIGATIONS OF THE CITY OF CULVER CITY UNDER THE SECTION 8 ANNUAL CONTRIBUTIONS CONTRACT WITH THE UNITED STATES DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT. 5 6 WHEREAS, the City of Culver City in its capacity as a public housing agency 7 (PHA) under the Section 8 Tenant Based Assistance: Housing Choice Voucher Program 8 ("Section 8 Program") previously entered into a Master Section 8 Annual Contributions 9 Contract dated as of February 24, 1976 with the United States Department of Housing and 10 Urban Development (HUD) as supplemented by periodic funding agreements with HUD 11 ("Annual Contributions Contract"); and 12 WHEREAS, the Annual Contributions Contract commits HUD .to make payments 13 to the City, over a specified term, for housing assistance payments to owners and for the 14 City's administrative fee and obligates the City to administer the Section 8 Program in 15 accordance with HUD regulations and requirements; and 16 WHEREAS, the Culver City Housing Authority (the "Authority") is a publi 17 housing authority, established and authorized to act pursuant to the Housing Authorities La 18 of the State of California; and 19 WHEREAS, the Authority desires to serve as the PHA and to administer the 20 Section 8 Program under the Annual Contributions Contract; and 21 WHEREAS, all other legal prerequisites to the adoption of this Resolution have 22 occurred. 23 NOW THEREFORE, the Culver City Housing Authority Board DOES HEREBY 24 RESOLVE, as follows: 25 1. The Authority Board has received and heard all oral and written objections to 26 matters pertaining to this transaction, and all such oral and written objections are hereby 27 overruled. 28 2 3 4 ATTEST: 23 24 G i4 L A. SCHWAB, Housing Authority ff 51- Counsel 25 MARTIN R. COLE, Secretary 26 Al2-00395 APPROVED AS TO F 2 2. The Authority Board hereby finds and determines that the foregoing recitals 3 are true and correct. 4 3_ The Authority Board hereby approves and accepts the transfer of the Section 5 8 Program to the Authority and the delegation to the Authority of all of the powers, functions 6 and obligations of the City under the Annual Contributions Contract, 7 4_ The Authority Board hereby approves and accepts the assignment by the 8 City to the Authority of the City's rights and interests in the Annual Contributions Contract, 9 including but not limited to the City's right to receive payments from HUD with respect to the 10 Section 8 Program_ 11 5. The Executive Director or designee is hereby authorized and directed to take all reasonable and necessary actions and sign on behalf of the Authority all reasonable and necessary documents and instruments first approved in writing by the Authority's General Counsel to carry out the transfer from the City to the Authority of the Annual Contributions Contract and the City's rights and obligations with respect to the Section 8 Program. 6. This Resolution shall take effect immediately upon its adoption. APPROVED AND ADOPTED, this day of ,2012 ANDREW WEISSMAN, Chairperson Culver City Housing Authority 12 13 14 15 16 17 18 19 20 21 22 27 28 -2-