Memo
To: Oliver Chi, City Manager
From: Lana Negrete, Councilmember
Date: May 18, 2026
Re: Addressing Resident Concerns Regarding Oversight for the Virginia Avenue Apartment Project Seeking City Council support to direct that staff to engage the following efforts outlined below, and to return to Council in June / July 2026 to report back publicly on any findings.
1. Engage with CCSM and provide a presentation to the City Council in June / July regarding the rehabilitation project at the Virginia Avenue Apartments (2033–2101 Virginia Avenue), including project scope, timeline, current construction status, remaining phases, and anticipated completion dates.
2. Have staff provide a full accounting of all City funds allocated, committed, or expended to date on the project, including:
o Original funding approvals
o Subsequent amendments or additional funding requests
o Sources of funds provided
o Total project budget versus actual expenditures
o Itemized cost breakdowns where feasible, including construction, change orders, consultants, relocation, staffing, project management, and contingency expenditures
3. An explanation regarding the recent notification from CCSM that the Virginia Avenue Apartment Project is approximately $3 million over budget.
o What factors contributed to the budget overage?
o How is CCSM attempting to address the budget overrun on the project?
4. Coordinate a meeting for CCSM and the City to hear resident concerns about the Virginia Avenue Project, including habitability issues, project communication, relocation coordination, construction impacts, accessibility, and safety / quality-of-life issues. o Have the City coordinate with CCSM, such that CCSM develops a plan to address these concerns raised by residents.
o Consider working with CCSM to develop a public dashboard where project details would be posted for residents to access information related to status updates, milestones, expenditures, and other related matters.
5. Have City staff provide details regarding our role as the lender of funds to CCSM for the Virginia Avenue Apartment Project, and outline what the City does as the lender to ensure that the project being funded is delivered.