HomeMy WebLinkAboutRedevelopment Agency/Florida/Utica Enhancement Area 36 Unit^ REQUEST FOR CITY COUNCIL ACTION
Date
September 8, 1992
Submitted to: Honorable Mayor and City Council Members
Submitted by: Michael T. Uberuaga, City Administra r7:::�—
Prepared by: Mike Adams, Community Development Direc _
Subject: FLORIDA/UTICA ENHANCEMENT AREA/ APPROVED BY CITY COUNCIL
36 UNIT REHABILITATION PROPOSAL
Consistent with Council Policy? [ ] Yes [ ] New Policy or Excep i CITY CLERK
Statement of Issue, Recommendation, Analysis, Funding Source, Alternative Actions, Attachments:
STATEMENT OF ISSUE:
Mounting problems in the residential area bounded by Beach
Boulevard, Utica Avenue, Florida Street and Yorktown Avenue,
together with complaints from area residents, prompted the City
Council to form an Area Task Force for the purpose of developing
strategies to combat crime and the rampant drug trafficking that was
overtaking the area.
Headed by the Chief of Police, this task force was made up of staff
members from the departments of Community Development, Economic
Development, Community Services and the City Attorney's Office.
It's first meeting was held on September 4, 1990. A public meeting
was also held the same month, and the task force has been meeting
monthly ever since.
Early efforts in the Florida -Utica neighborhood were focused on an.
increased police presence and code enforcement activities. A larger
section of the area was designated a neighborhood enhancement area
by HUD in 1990 so that Community Development Block Grant (CDBG)
funds could be designated for housing, rehabilitation and public
improvements. Also, the CDBG funded Operation LOGOS Program has
been active in the area by clearing away trash and removing graffiti
from public property.
Currently, the above listed activities have been supplemented by
neighborhood watch meetings; an intensive three week police presence
in October of 1991; the well -publicized creation of an office for
use by the police at 729 Utica Avenue; and enhanced lighting, along
with infrastructure improvements are planned within the next year.
PI O 5/85
As a follow-up to the Utica/Florida Task Force recommendations,
staff have had meetings with owners of the run-down and crime ridden
36 unit apartment complex located at 725, 729 and 733 Utica Street.
These meetings have resulted in a staff supported proposal by the
owners to participate in a neighborhood enhancement effort. This
proposal is as follows: 1) make available, through use of
Redevelopment set aside funds, a low interest deferred loan for the
purpose of completely rehabilitating all 36 units; 2) provide a
grant to construct and install landscaping, irrigation system,
fencing, yard lights, security system, childrens recreational area
and reconstructed carports.
RECOMMENDATION •
Motion to:
1. "Authorize Community Development staff to negotiate, subject to
City Council approval action, a financial assistance plan
together with the appropriate agreements between the City and
owners of the 36 unit residential complex located at 725-733
Utica Street."
ANALYSIS:
This proposal together with the City's recent commitment of the use
of Community Development Block Grant (CDBG) funds to upgrade certain
public improvements (street lighting, sidewalks, parkway trees,
etc.) will produce a completely new image for the neighborhood and
controlled living environment for the tenants.
In return for the City's investment, an Owner Participation
Agreement (OPA) and a Loan Agreement will be designed conditioning
specific requirements such as a thirty (30) year covenant assuring
tenant affordability at the very -low level, and -specific language
requiring escrowed deferred maintenance funds and that professional
management be provided responsibility for daily property management
and tenant control.
Staff has estimated the total cost for this on -site rehabilitation
effort to be approximately $600,000, of which approximately $100,000
would be in the form of a conditional grant and approximately
$500,000 as a deferred loan. Allocation of these funds will be
subject to a specific Finding of Benefit Resolution for use of
Redevelopment Set -A -Side funds outside of adopted Redevelopment
Project Areas. In order to be consistent with past Finding of
Benefit, this specific Resolution will be heard in conjunction with
proposed contractural agreements.
It is anticipated that there will be no tenant evictions through the
rehabilitation construction, rather relocation to existing vacant
units.
RCA 9/18/92 -2- (3827d)
This proposal was presented to the City's Affordable Housing Task
Force at their May 6th meeting and was unanimously supported. Of
course, a public hearing before the City Council will be required at
the time an Owner Participation Agreement is submitted for approval.
FUNDING SOURCE•
Adopted FY 92/93 Florida/Utica Rehabilitation Capital Improvement
Funds
MTU:MA: Poo
:jr
RCA 9/18/92 -3- (3827d)