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C. 42

To:	Board of Supervisors
From:	John Kopchik, Director, Conservation & Development Department
Date:	April 12, 2016

Contra

Costa

County

Subject:

Approval of Extension of Time for Resources for Community Development to Commence and Complete Rehabilitation at Church Lane Apartments in San Pablo

APPROVE	OTHER
RECOMMENDATION OF CNTY ADMINISTRATOR	RECOMMENDATION OF BOARD COMMITTEE

Action of Board On: 04/12/2016

APPROVED AS RECOMMENDED

OTHER

Clerks Notes:

VOTE OF SUPERVISORS

AYE:

John Gioia, District I Supervisor
Candace Andersen, District II Supervisor
Mary N. Piepho, District III Supervisor
Karen Mitchoff, District IV Supervisor
Federal D. Glover, District V Supervisor

Contact:

Kristin Sherk, 925-674-7887

I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown.
ATTESTED: April 12, 2016
David Twa,

BY:	, Deputy

RECOMMENDATION(S):

1. ACKNOWLEDGE and CONSENT to the delayed start and completion of the Church Lane Apartments rehabilitation project in San Pablo by Resources for Community Development using $455,000 in Community Development Block Grant (CDBG) funds borrowed from the County. Construction start was delayed 40 days from December 31, 2015 to February 9, 2016 and completion is delayed from March 31, 2016 to May 31, 2016.

2. AUTHORIZE the Conservation and Development Director, or designee, to consent to future modifications to the completion of the Church Lane Apartments project, provided no dates are extended beyond six months of the original dates in the loan agreement.

FISCAL IMPACT:

No General Fund impact. CDBG funds are provided to the County on a formula allocation basis through the U.S. Department of Housing and Urban Development (HUD). CFDA #14.218.

BACKGROUND:

On October 7, 2014, the Board of Supervisors allocated $455,000 in CDBG funds to Resources for Community Development (RCD) for the Church Lane Apartments project. The purpose of the Church Lane Apartments project is to improve 22 units of rental housing affordable to and occupied by very-low income families. On December 8, 2015, the Board approved the legal documents for this project, including the Amended and Restated CDBG and HOME Loan Agreement. The project involves the rehabilitation of the common areas, including the concrete covered walkways on the second, third and fourth floors.

RCD started the rehabilitation work on February 9, 2016, which was 40 days later than the anticipated start date due to heavy rains in December. The rehabilitation is underway, but was not completed by the March 31 completion date. During the construction work additional damage was discovered, including dry rot in the elevated walkways, that has delayed the completion date by two months or until May 31, 2016.

Delegating authority to the Director to consent to future requests to modify rehabilitation due dates will enable the Department to respond to any other unforeseen delays in a timely manner. In no event will any dates be extended beyond June 30, 2016.

CONSEQUENCE OF NEGATIVE ACTION:

RCD will be in default under the Loan Agreement, and the project will be further delayed.

CHILDREN'S IMPACT STATEMENT:

The project helps to preserve existing affordable housing, which supports the Children's Impact Statement indicator #3: Families are Economically Self Sufficient.