Housing
Authority
Attachment 7
On January 1 7, 2 012, t he C ity C ouncil e stablished t he C osta M esa H ousing Au thority i n accordance w ith C alifornia Housing Authorities Law, Health, and Safety Code Section 34200, et seq. Also on that date by resolution, the City Council s elected t he H ousing Au thority t o serve a s the h ousing s uccessor a nd t o assume t he h ousing a ssets, duties, f unctions a nd o bligations o f the f ormer C osta M esa R edevelopment A gency ( Former A gency) a s of F ebruary 1, 2012. These actions occurred due to the mandatory dissolution of all California redevelopment agencies under the r equirements o f Division 24 , P arts 1 .8 and 1 .85 of the C alifornia H ealth a nd S afety C ode ( Dissolution L aw). T he Dissolution L aw s ets f orth t he p rocesses a nd o bligations o f all s uccessor a gencies. T hese e ntities a re s eparate from t he c ity ( or county) t hat f ormed t he f ormer a gency a nd c harged w ith w inding d own t he a ffairs o f former redevelopment agencies. Further, the Dissolution Law sets forth the functions, obligations and requirements of housing successors.
Section 3 4176.1 of the C alifornia H ealth a nd S afety C ode e stablishes c ertain l imitations o n expenditures b y housing successors. Thus, each fiscal year the Housing Authority’s funding is limited in two categories: (1) administrative costs, and (2) homelessness prevention and rapid rehousing.
Covenant Monitoring and Administration - 11500
Rental Rehabilitation — 20425
Offers d eferred l oans t o owner o f multi-family p roperties t o make i mprovements a nd r epair c ode v iolations. L oans were originated in the 90s and deferred unless the owner sells transfers or defaults on the property.
Housing Authority Administration — 20600
Provides a dministration s upport s uch a s conducting r equired b oard m eetings, m aintaining fi nancial r ecords a nd preparing annual reports, etc.
Costa Mesa Family Village — 20620
Costa M esa F amily V illage i s a t hree-parcel, 7 2-unit m ulti-family r ental p roject, t o which t he H ousing Au thority holds t he g round l ease. T he 5 5-year g round l ease e xpires i n year 2 038. A nnual l ease p ayment i s the g reater of 8 percent of gross receipts or $108,000.
First Time Homebuyer Program — 20625
Offers d eferred l oans t o first t ime h omebuyers f or h ome p urchase i n the C ity. L oans w ere e xtended p rior t o year 2009 under various terms.
Habitat For Humanity — 20630
The H ousing A uthority h olds i nterest t o the l and u sed f or t he d evelopment o f five s ingle-family h omes b y Habitat for H umanity i n year 2 004. T he H ousing Au thority m aintains e nforceable c ovenants o n the p roperties. N o loan repayment is required unless the owner defaults.
Single Family Rehabilitation Program — 20640
Offers d eferred l oans t o homeowners t o make h ome i mprovements a nd fi x c ode v iolations. T he l oans w ere extended in year 2009 and deferred until the property is sold or refinanced.
St. John Manor — 20650
St. J ohns M anor i s a 3 6-unit s enior r ental p roject. T he H ousing Au thority’s l oan t o this p roject w as p aid o ff i n fiscal year 2018-19.
Costa Mesa Village — 20655
Costa M esa V illage i s a 9 6-unit s ingle r oom o ccupancy ( SRO) p roject j ointly f unded b y the C osta M esa H ousing Authority, O range C ounty H ousing Au thority a nd t he d eveloper. T he H ousing Au thority’s l oan t o this p roject w as paid off in fiscal year 2014-15.
BUDGET 2022-2023
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City of Costa Mesa, California
Housing Development And Preservation Of Affordable Housing - 11500 James/West 18th Street Property — 20635
The J ames/West 1 8th P roperty i s four a ffordable h ousing p rojects w ith 3 0 rental u nits, o wned a nd o perated b y the Housing Authority. The Authority acquired the projects through a foreclosure process in fiscal year 2015-16.
Homeless Outreach And Bridge Shelter Operation - 14300
Homeless Outreach — 20605
An addition t o the H ousing Au thority’s h omeless p revention a nd r apid r ehousing s ervices i s the t ransfer o f the Network f or H omeless S olutions p rogram f rom t he C ity M anager’s O ffice t o the H ousing Au thority, a s approved by the C ity C ouncil d uring t he 2 018-19 Mid-Year B udget R eview. H omeless O utreach’s p rimary a ctivities a re community o utreach a nd w orking w ith v arious o rganizations a nd g overnmental a gencies t o identify h ousing solutions for Costa Mesas homeless population. The General Fund will provide funding for program expenses in excess o f the L ow a nd M oderate I ncome H ousing A sset F unds ( LMIHAFs) $ 250,000 allowance f or t his c ategory.
Bridge Shelter Operation — 20606
Another n ew c omponent t o the H ousing Au thority i s the o peration o f the C ity’s p ermanent b ridge s helter p rogram, which i s located a t 3175 Airway A venue. T his p rogram p rovides t ransitional h ousing a nd s upport s ervices f or up to 7 2 homeless a dults. B eginning i n fiscal y ear 2 021-22, t he c ities o f Costa M esa a nd N ewport B each e nter into a Memorandum of Understanding (MOU) to allocate 20 of the 72 shelter beds to Newport Beach’s use. 330 City of Costa Mesa, California
BUDGET 2022-2023
Budget Narrative
The Fiscal Year 2022-23 budget for the Housing Authority is approximately $4 million, an increase nearly 9 percent, compared to the adopted budget for Fiscal Year 2021-22. With the relocation to a permanent homeless shelter facility, the City has entered into a partnership with the City of Newport Beach, increasing the number of beds to expand its solution to offer shelter beds to those in need during inclement weather.
FY 19-20
Actuals
FY 20-21
Adopted
Budget
FY 21-22
Adopted
Budget
FY 22-23
Proposed
Budget
REVENUES BY FUNDING SOURCE
Costa Mesa Family Village Ground Lease $ 131,989 $ 120,000 $ 120,000 $ 120,000 James Street 273,391 264,000 250,000 250,000
Investment Income 102,263 38,000 23,400 21,550
Loan Repayments 5,1 11 7,000 6,000 6,000
Other Reimbursement
RDA Loan Repayment from DOF (Annual ROPS)
State SB 2 Grant
General Fund Contribution
258,209 258,209 3 81,141 381,141
5 28,581 5 28,581 8 21,579
Other Governmental Agencies
Contributions
Donations 5,2 90
CDBG CV Funds 668,000
Use of Fund Balance 68,116 37,261
Total Housing Authority Revenues $ 3,214,598 $ 3,129,109 $ 4,060,211 $ 4,192,863 FY 19-20
Actuals
FY 20-21
Adopted
Budget
FY 21-22
Adopted
Budget
FY 22-23
Proposed
Budget
EXPENSE CATEGORY BY PROGRAM
COVENANT MONITORING AND ADMINISTRATION - 11500
Rental Rehabilitation - 20450
Housing Authority Administration - 20600
Salaries and Ben efits $ 85,054 $ 73,536 $ 86,882 $ 86,882 Maintenance and Operations 10,176 7,617 100,000 100,000 Subtotal Housing Authority Administration $ 95,230 $ 81,152 $ 186,882 $ 186,882 Costa Mesa Family Village - 20620
Maintenance and Operations $ - $ - $ 5,000 $ 5,000
Subtotal Costa Mesa Family Village $ - $ - $ 5,00 0 $ 5,00 0 First Time Homebuyer Program - 20625
Maintenance and Operations $ - $ 65 $ 11,000 $ 11,000 Subtotal First Time Homebuyer Program $ - $ 65 $ 11,000 $ 11,000 Habitat for Humanity - 20630
Maintenance and Operations $ - $ 2,97 5 $ 7,000 $ 7,000 Fixed Assets - 211,860 - -
Subtotal Habitat for Humanity $ - $ 214,834 $ 7,000 $ 7,000 BUDGET 2022-2023
331
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authorIty
City of Costa Mesa, California
1,000,000 1 ,000,000
327,600
2,438,345 1,177,203 1,713,827 1,264,993 FY 19-20
Actuals
FY 20-21
Adopted
Budget
FY 21-22
Adopted
Budget
FY 22-23
Proposed
Budget
Single Family Rehabilitation Program - 20640
Maintenance and Operations $ - $ 1 ,677 $ 2 0,000 $ 20,000 Subtotal Single Family Rehabilitation Prog. $ - $ 1, 677 $ 2 0,000 $ 2 0,000 COVENANT MONITORING AND ADMINISTRATION - 11500 (Continued) St. John Manor - 20650
Maintenance and Operations $ - $ - $ 5, 000 $ 5 ,000
Subtotal St. John Manor $ - $ - $ 5,0 00 $ 5,0 00
Costa Mesa Village - 20655
Maintenance and Operations $ - $ 9, 893 $ 3, 100 $ 3 ,100 Subtotal Costa Mesa Village $ - $ 9, 893 $ 3 ,100 $ 3 ,100 Subtotal Covenant Monitoring and Admin. $ 95,230 $ 3 07,621 $ 2 37,982 $ 2 37,982 HOUSING DEVELOPMENT AND PRESERVATION OF AFFORDABLE HOUSING - 11500 James/West 18th Street Property - 20635
Salaries and Be nefits $ 37,142 $ 2 7,832 $ 41,720 $ 4 1,720 Maintenance and Operations 142,011 144,728 260,500 260,500 Fixed Assets - - 27,600 27,600
Subtotal St. John Manor James/West 18th Street
Property
$ 179,152 $ 1 72,559 $ 32 9,820 $ 32 9,820
HOMELESS OUTREACH AND BRIDGE SHELTER OPERATION - 11310/11500/14300 CDBG-CV - 20435
Maintenance and Operations $ - $ 343,244 $ - $ -
Subtotal Homeless Outreach $ - $ 343,244 $ - $ -
Homeless Outreach - 20605 *
Salaries and Be nefits $ 7 23,081 $ 738,444 $ 9 79,642 $ 1 ,096,551 Maintenance and Operations 159,169 78,372 100,100 108,243 Fixed Assets 425 - - -
Subtotal Homeless Outreach $ 8 82,674 $ 8 16,816 $ 1 ,079,742 $ 1, 204,794 * The H omeless O utreach pr ogram w as p reviously di vided be tween th e H ousing A uthority ( program 1 1500) a nd th e C ity M anager’s O ffice ( program 50250). The City Council approved consolidating all homeless outreach and shelter programs under the Housing Authority during the 2018-19 Mid-Year Budget Review.
Bridge Shelter Operation - 20606 8,578,451
Maintenance and Operations $ 1 ,810,961 $ 1 ,934,556 $ 2, 412,667 $ 2 ,420,267 Subtotal Bridget Shelter Operation $ 1 ,810,961 $ 1 ,934,556 $ 2, 412,667 $ 2 ,420,267
TOTAL HOUSING AUTHORITY
Salaries and Be nefits $ 84 5,277 $ 8 39,811 $ 1 ,108,244 $ 1 ,225,153 Maintenance and Operations 2,122,317 2,523,125 2,924,367 2,940,110 332 City of Costa Mesa, California
BUDGET 2022-2023
FY 19-20
Actuals
FY 20-21
Adopted
Budget
FY 21-22
Adopted
Budget
FY 22-23
Proposed
Budget
Fixed Assets 425 211,860 27,600 27,600
Total Housing Authority $ 2 ,968,018 $ 3, 574,796 $ 4 ,060,211 $ 4 ,192,863 BUDGET 2022-2023
333
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authorIty
City of Costa Mesa, California