Resolution - 6509RESOLUTION NO. 6509
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WEST COVINA
APPROVING THE -JOINT WEST COVINA/BALDWIN PARK COMPREHENSIVE
. RESIDENTIAL REHABILITATION FINANCING PROGRAM
WHEREAS, the Cities of West Covina and Baldwin Park have entered into
a.Joint Powers Agreement for the purposes of exercising their common powers
jointly to the end that they may issue.Marks-Foran Residential Rehabilitation
Revenue Bonds; and
WHEREAS, said Joint Powers Agreement requires that the cities under-
take proceedings necessary to identify Residential Rehabilitation Areas and to
permit the preparation of a.Comprehensive Residential Rehabilitation Financing
Program; and
WHEREAS, the City Council of the City of West Covina has initiated
proceedings pursuant to Health and Safety Code Section 37910 et seq. (the "Act")
for the purpose of implementing a Comprehensive Residential Rehabilitation
Financing Program;.and
WHEREAS, the City Council has previously selected a proposed Residen-
tial Rehabilitation Area; and
• WHEREAS, the Human Resources Commission, acting as the Citizen Advisory
Board pursuant to Section 37912 of the California Health and Safety Code, has
recommended a Plan for Public Improvements and Rules and Regulations for Imple-
mentation of the Proposed Residential Rehabilitation Financing Program; and
. WHEREAS, notice having been duly given in accordance with Resolution
No. 6509 adopted by the City Council pursuant to the Act, and the City Council
has held a. public hearing in connection.with the Program; and ,
WHEREAS, the City Council has been presented with certain documenta-
tion, attached hereto as..Appendix "A" of the Comprehensive Residential Rehabil-
itation Financing Program., supporting certain findings required by Section 37922
of the California Health and Safety Code.
NOW, THEREFORE, the City Council of the City of West Covina does hereby
resolve as follows:
SECTION 1: The City Council hereby finds and determines:
(a) There are a substantial number of deteriorating structures in
the area which do not conform to community standards of decent,
safe, and sanitary housing. Significant portions of the City's
housing stock are in need of some degree of rehabilitation. Al-
though some areas of the community have a higher degree of dete-
riorated units,..the percentageof structures that are in the need
• of rehabilitation is fa.irly well dispersed throughout the
community.
(b) Financia.l assistance from the City for residentia] rehabilitation
is necessary to arrest the deterioration of the area., Due to the
magnitude of the problem, public interest is necessary to provide
the necessary incentives.for large scale rehabilitation of the
City's housing stock.
(c) F.inancing of residential rehabilitation is economically
feasible.
. SECTION 2: The Comprehensive Residential Rehabilitation Financing
Program is hereby approved and adopted.
. SECTION 3: The Residential Rehabilitation Area included within
Exhibit "A", attached hereto, is hereby approved and adopted.
APPROVED AND ADOPTED THIS 12th'- day,of April_ 1982,
MAYOR
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ATTEST:
• I HEREBY CERTIFY that the foregoing resolution was duly adopted
by the City Council of the City of West Covina at a regular meeting thereof
held on the 12th� day of April , 1982 by the following vote of the
Council:
AYES: Councilmen: . Bacon, Tennant, Chappell, Tice, Shearer
NOES: Councilmen: None
ABSENT: Councilmen: None
APPROVED AS TO FORM:
City Attorney
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City Clerk /
EXHIBIT A
WEST COVINA/BALDWIN PARK
COMPREHENSIVE RESIDENTIAL REHABILITATION
• FINANCING PROGRAM
1. General
Section 37922 of the Health and Safety Code requires that the City adopt certain criteria
for the selection of residential rehabilitation areas. These include ;the following:
A. There are a substantial number of deteriorating structures in the area which do
not conform to community standards for decent, safe and sanitary housing.
B. Financial assistance from the local' agency for residential rehabilitation is
necessary to arrest the deterioration of the area.
C. Financing of residential rehabilitation in the area is economically feasible.
The City Council is required to make findings that the above criteria has been satisfied as
part of the resolution adopting the Comprehensive Residential Rehabilitation Financing
Program. This .appendix is intended to provide a summary of the supporting documentation
for these findings. z
2. Finding that there are a Substantial Number of Deteriorating Structures in the RRA
which do not Conform to.Community Standards of Decent, Safe and Sanitary Housing.
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In December 1979, the City of West Covina Planning Department conducted a survey of
housing conditions. The survey indicated 1,533 homes were in the need of minor repair and
37 homes were in the need of major repair. These homes are fairly well dispersed
throughout. the community (see Housing Condition Survey, 1979 Update, City of West
Ah
Covina, which by this reference is hereby incorporated herein). Homes in need of repair
represented over 10% of the City's housing stock.
In 1976, the City of Baldwin Park conducted a survey of residential conditions (see City of
Baldwin Park General Plan Technical Report, 1978, which by this reference is hereby
• incorporated herein). The survey found that of the 14,250 dwelling units within the
community, 806 were in poor condition and 5,409 were in fair condition. Fair condition was
defined as some deterioration, but no more than two major defects.
In addition, a significant portion of both Baldwin Park's and West Covina's housing,stock was
built during the 1940's and 19501s. These homes are entering into a critical period. The
maintenance level or degree of repair` of these older homes can have a significant effect on
the timing of obsolescence or, degree of deterioration.
The results of the surveys conducted in the two Cities clearly indicate that there are'a
substantial number of deteriorating structures in the two Cities which do not conform to
community standards of decent, safe and sanitary housing.
3. Finding that Financial Assistance from the City for Residential Rehabilitation is
Necessary to Arrest the Deterioration of the Residential Rehabilitation Area.
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Due to the number of houses in the need of some degree of repair, public intervention is
necessary to provide the necessary incentives for large-scale improvement of the Cities'
housing stock. Without this inter vention;,and given the present rate of rehabilitation within
the two Cities, a significant portion of their housing stock may become seriously
deteriorated. Yet the people that occupy these homes, primarily middle income persons, are
not eligible for other types of publicly -sponsored rehabilitation loan programs. With the
present state of the economy and higher interest rates, this income segment is having to
defer even basic maintenance activity. The Marks Foran Rehabilitation Loan Program is
designed to provide incentives for the continued improvement of the housing stock.
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4. Finding that Financing of Residential Rehabilitation in the Proposed RRA is
Economically Feasible.
There are two primary determinants of the feasiblity of rehabilitating structures within an
area. The first is the environmental factors of the neighborhood within which the structure
iis located, and the second is the degree of deterioration of the structure itself.
The area contained in the proposed RRA within each City is delineated for residential use in
the Cities' General Plans. Major environmental disturbances, such as freeways, railroads
and incompatible land uses, were considered in the formation and adoption of the General
Plan. In addition, the homes in need of some degree of repair were fairly well dispersed
throughout both communities. No single area had a heavy concentration of deterioration
normally associated with blighted areas. The neighborhoods included in the RRA appear to
be relatively stable, with well -maintained homes interspersed with houses that need work to
be suitable for continued use.
Rehabilitation cannot be precisely defined, but in general terms repairs costing $1,000 or
more can be considered rehabilitation as contrasted with regular upkeep and maintenance.
Repairs costing 50% or more of the value of the housing unit is not considered feasible, and
the unit should be considered for demolition. Utilizing this definition and data obtained
from the housing surveys within the two Cities, it can be readily seen that a majority of the
homes fall within the rehabilitation category. It is, therefore, concluded that residential
rehabilitation is economically feasible.
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