POINT ARENA CITY COUNCIL
AGENDA ITEM SUMMARY
AGENDA ITEM: IX A
MEETING DATE: 11/18/2025
TITLE
Approval of a Permanent Local Housing Allocation (PLHA) Loan Application
RECOMMENDED ACTION
Review and Approve or Deny Loan Application
ANALYSIS
The State of California Permanent Local Housing Allocation (PLHA) program is designed to preserve and improve the City’s housing stock for low to moderate income-eligible homeowners. Qualified property owners may be eligible to receive a 0% interest deferred loan up to $50,000 for home repairs, improvements or new accessory housing units (ADU), depending on qualifying factors and funding availability. Examples of eligible work include foundation, structural, electrical, mechanical, plumbing, windows, flooring, painting, insulation, and termite repairs. One accessory housing unit per applicant may also be financed with PLHA funds. Limitations do apply and the work that is eligible is determined during the application process. Currently the City has received $285,363 in PLHA funds. Additional PLHA funding will continue for at least two more years.
The city has received only one loan application since the loan program opened in early 2025. The current loan request is for Clayton Scicluna to retrofit the existing foundation of a legal non-conforming triplex (one roof, one foundation) located at 65 Mill Street.
The current wood foundation is unsafe and out of compliance with current earthquake requirements according to an evaluation performed by Williams Associates Engineering.
The construction bid provided by L. Loucel Construction states the necessary improvements will cost $81,080 to complete.
The loan committee, made up of Vice-Mayor Dan Doyle and Peggy Ducey reviewed the application. The usual PHLA loan amount for this program is $50,000. The proposed loan exceeds that amount by $30,043. However, the program does allow for exceptions when needed. In this case, foundation retrofit cannot be partially completed. The applicant also easily meets the income requirements of the program. If the proposed loan is approved, the city would be in second lien position on the Scicluna home.
Mr. Scicluna is unmarried and the sole owner of the property. His current partner, Molly Haviland, the Point Arena City Manager does live in the home and pays rent but she is not on the deed. City staff requested the City Attorney advise whether this arrangement could be a conflict of interest for Haviland. However, since Scicluna and Haviland are not legally married, there is no conflict of interest. Ms. Haviland has recused herself from the PLHA loan committee as well as any other activities/discussions related to Mr.
Scicluna loan application.
The loan committee recommends approval under the program’s exception criteria to ensure the home meets earthquake safety standards. The City will continue to receive PLHA funds for at least two more years.
FISCAL IMPACT
There is no impact on the General Fund if the loan is approved.
ATTACHMENTS
None
CITY MANAGER SIGNATURE
_________________________________
Peggy Ducey, PLHA Loan Committee
Category Amount
Total Funds Received $285,363
Administrative Activities
(up to 5%)
$14,268
Activity Delivery
(up to 10%)
$28,536
Scicluna Loan $80,043
PLHA Remaining Funds $162,489