HomeMy WebLinkAbout01 ANNUAL PERF REP 09-16-96DATE:
sEpTEMBER 16, 1996
Inter-Com
NO. 1
9-16-96
TO:
FROM:
SUBJECT:
WILLIAM A. HUSTON, CITY MANAGER
COMMUNITY DEVELOPMENT DEPARTMENT
U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT CONSOLIDATED
PLAN ANNUAL PERFORMANCE REPORT
RECOMMENDATION
That the City Council adopt Resolution No. 96-93 authorizing submission of Tustin's
Consolidated Plan (CP) Annual Performance Report (APR) to the U.S. Department of Housing
and Urban Development (HUD) after the close of the public review and comment period.
FISCAL IMPACT
The approval of the proposed CP APR will not have an immediate fiscal impact on the City.
.The purpose of the CP APR is to report to HUD on the status of the City's performance in
meeting the goals and objectives of the previously adopted Consolidated Plan, a five-Year
planning document, and the one-year Action Plan, a component of the CP.
Direct costs associated with preparation of the CP APR by Community Development Department
staff are a part of the overall administration of the Community Development Block Grant
(CDBG) program funded through the City's CDBG grant.
BACKGROUND
In 1993, the City of Tustin submitted to HUD a Comprehensive Housing Affordability Study
(CHAS). The CHAS is a five-year plan that was approved by HUD in February, 1994. The
submission of a CHAS was the first in a series of requirements making the City eligible to
receive CDBG funds, regardless of whether the monies were used for housing activities.
City Council Report
CP APR
September 16, 1996
Page 2
An Annual Plan, a sub-chapter of the CHAS, was submitted to HUD in December of 1993, and
subsequently approved in February 1994. HUD's guidelines for preparation of the APR,
transmitted to local jurisdictions in CPD Notice 92-28, required the City to make comparisons
between actual housing-related accomplishments of various reporting periods and planned
activities described in its adopted Annual Plan.
The City submitted a CHAS APR to HUD in December of 1994 which covered the reporting
period from October 1, 1993 to September 30, 1994. An Addendum to the CHAS APR,
covering the reporting period of October 1, 1994 to June 30, 1995, was submitted to HUD in
November of 1995.
In May of 1995, the City submitted to HUD a Consolidated Plan, another five-year planning
document which replaced the CHAS. The Consolidated Plan became effective on July 1, 1995.
One component of the CP, the Action Plan, detailed a one-year strategy for carrying out goals
and objectives of the CP. An Action Plan is required for each of the five years covered by the
CP.
In a letter from HUD, dated June 24,1996, the City was reminded that future performance
reports would be based on the Consolidated Plan, not the CHAS. Further, these reports were
to utilize specialized computer software developed by HUD called the "Integrated Disbursement
and Information System (IDIS)."
However, due to the unavailability of the IDIS, the City was recently informed by HUD that the
APR for the 1995-96 Consolidated Plan fiscal year (July 1, 1995 to June 30, 1996) should be
prepared in accordance with CHAS guidelines for the APR, but would use the Consolidated Plan
Action Plan in the comparison of planned activities with actual accomplishments.
Notice of the federally required 30-day public comment period on the CP APR, from August
28 to September 27, was posted in various locations at City Hall. The public was also informed
of the comment period through publication in the Tustin Weekly on August 30. Any comments
received are required to be appended to the CP APR.
DISCUSSION
The CP APR is a narrative intended to document, report and analyze the City's performance in
providing housing and housing services and opportunities to residents of the City. HUD requires
that the City make comparisons with its adopted CP one-year Action Plan.
City Council Report
CP APR
September 16, 1996
Page 3
The Report is a two-part document prepared in accordance with the published GUidelines for
preparation of a APR. The first part is designed to report on the City's progress in carrying out
the CP Action Plan. The second part is designed to provide the City an opportunity to assess
annual performance in meeting the overall five-year CP priorities and objectives, and to discuss
what actions or changes should be contemplated as a result of the performance evaluation.
The attached CP APR documents the City's performance for the fiscal year July 1, 1995 through
June 30, 1996. During this time period, the City was considered a relatively new entitlement
grantee and continued its participation with the County of Orange under the Urban Counties
program for CDBG and HOME entitlements for prior program years.
The City generally met or exceeded proposed objectives of major programs discussed in the
Consolidated Plan. Substantial funds were expended on the City's Housing Rehabilitation
Program, where target goals for assisting renters were exceeded by over 250 percent; the City's
participation in the Mortgage Credit Certificate Program resulted in the issuance of certificates
to 16 homebuyers; the Tustin Grove project is well underway and sales to low- and moderate-
incomes families begun; and CDBG funds to provide transitional shelter to youth in crisis and
homeless working women with children were fully expended.
CONCLUSION
Staff has prepared the CP APR in accordance with HUD requirements. The CP APR is required
to be submitted by September 30, 1996. With the Council's concurrence, staff is prepared to
forward the final document to HUD to meet the required deadline upon closure of the comment
period on September 27, 1996.
Itaula Ran~ ' '
Associate Planner
PR:ecreport\CPAPR95.pr
El~abeth A. ~3insac~k -~
Director of Community Development
Attachments: Tustin CP APR for FY 1995-96
Resolution
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RESOLUTION NO. 96-93
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
TUSTIN, CALIFORNIA, ADOPTING THE ANNUAL PERFORMANCE
REPORT FOR FISCAL YEAR 1995-96 OF THE COMMUNITY
DEVELOPMENT BLOCK GRANT PROGRAM
WHEREAS, under the Housing and Community Development Act
of 1974, as amended, Federal assistance may be provided for
the support of community development activities which are
directed toward certain specific objectives as set forth in
the Act as the Community Development Block Grant (CDBG)
Program; and
WHEREAS, a requirement of participation in the CDBG
program is the submission of an Annual Performance Report to
the U.S. Department of Housing and Urban Development (HUD);
and
WHEREAS, in accordance with federal law, copies of the
Report were made available to citizens in sufficient time to
allow comment on the document prior to submission to HUD; and
WHEREAS, notice of the availability of the Report was
posted at various City Hall locations on August 28, 1996, and
published in the Tustin'Weekly on August 30, 1996; and
WHEREAS, a public hearing was held by the City Council on
September 16, 1996 to receive public comment on the Annual
Performance Report to respond to questions on the specific use
of funds.
NOW THEREFORE BE IT RESOLVED, the City Council of the
City of Tustin resolves as follows:
Section 1: The City of Tustin's Annual PerfOrmance
Report for Fiscal Year 1995-96 is hereby adopted by the City
Council.
Section 2: The City Clerk shall certify to the adoption
of this Resolution and shall file a copy of said application
with the minutes of this City Council meeting.
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Resolution No. 96-93
Page 2
PASSED and ADOPTED by the City Council of Tustin this
16th day of September, 1996.
TRACY WILLS WORLEY
Mayor
PAMELA STOKER,
CITY CLERK
STATE OF CALIFORNIA )
COUNTY OF ORANGE )
CITY OF TUSTIN )
SS
CERTIFICATION FOR RESOLUTION NO. 96-93
PAMELA STOKER, City Clerk and ex-officio Clerk of the City
Council of the City of Tustin, California, does hereby certify
that the whole number of the members of the City Council of
the City of Tustin is five; that the above and foregoing
Resolution No. 96-93 was duly adopted at a regular meeting of
the Tustin City Council, held on the 16th day of September,
'1996.
COUNCILMEMBER AYES:
COUNCILMEMBER NOES:
COUNCILMEMBER ABSTAINED:
COUNCILMEMBER:ABSENT:
PAMELA STOKER
City Clerk
PR:br\96-93. res
DRAFT
CITY OF TUSTIN
CONSOLIDATED pLAN
ANNUAL PERFORMANCE REPORT
July 1, 1995 through June 30, 1996
As required for Participation in Programs Under the
U.S. Department of Housing and Urban Development (HUD)
Prepared by
City of Tustin
Community Development Department
September 30, 1996
TABLE OF CONTENTS
Page
Introduction
ii
SECTION I. ANNUAL PERFORMANCE
PART A. Resources Made Available Within the Jurisdiction
PART B. Investment of Available Resources
PART C.
1.
.
Households and Persons Assisted
Table 1 - Households and Homeless Persons Assisted
with Housing
Documentation of Assistance Provided
Narrative Discussion
PART D.
1.
2.
3.
4.
5.
6.
7.
Other Actions Undertaken
Public Policies
Institutional Structure
Intergovernmental Cooperation
Public Housing Improvements
Public Housing Resident Initiatives
Lead-Based Paint Hazard Reduction
Affirmatively Furthering Fair Housing
I-1
I-3
I-7
1-12
SECTION II. ASSESSMENT OF ANNUAL PERFORMANCE
II-1
APPENDIX
A - Description of Public Participation Process
B - Summary of Public Comments Received
A-1
B-1
Introduction
The City of Tustin has prepared the following Consolidated Plan
(CP) Annual Performance Report (APR) in accordance with the
requirements of the U.S. Department of Housing and Urban
Development (HUD). This report is designed to document, discuss
and analyze the City's performance in providing housing and housing
services and opportunities to residents of the City.
Backqround
In 1993, the City of Tustin submitted to HUD a Comprehensive
Housing Affordability Study (CHAS), a five year approved by HUD in
February, 1994. The submission of a CHAS was the first in a series
of requirements making the City eligible receive its entitlement of
Community Development Block Grant (CDBG) funds, regardless of
whether any of the monies were used for housing activities.
An Annual Plan, a sub-chapter of the CHAS, was submitted to HUD in
December of 1993, and subsequently approved in February 1994.
HUD's guidelines for preparation of the APR, transmitted to local
jurisdictions in CPD Notice 92-28, required the City to make
comparisons between actual housing-related accomplishments of
various reporting periods and planned activities described in its
adopted Annual Plan.
The City submitted a CHAS APR to HUD in December of 1994 which
covered the reporting period from October 1, 1993 to September 30,
1994. An Addendum to the CHAS APR, covering the reporting period
of October 1, 1994 to June 30 ,1995, was submitted to HUD in
November of 1995.
In May of 1995, the City submitted to HUD a Consolidated Plan, a
five-year planning document which replaced the CHAS. The
Consolidated Plan became effective on July 1, 1995. One component
of the CP, the Action Plan, detailed a one-year strategy for
carrying out goals and objectives of the CP. An Action Plan is
required for each of the five Years covered by the CP.
In a letter from HUD, dated June 24,1996, the City was reminded
that future performance reports would be based on the Consolidated
Plan, not the CHAS.~ Further, these reports were to utilize
specialized computer software developed by HUD called the
"Integrated Disbursement and Information System (IDIS)"
However, due to the unavailability of the IDIS, the City was later
informed by HUD that the APR for the 1995-96 Consolidated Plan
fiscal year (July 1, 1995 to June 30, 1996) should be prepared in
accordance with CHAS guidelines for the APR, but would use the
Consolidated Plan Action Plan in the comparison of planned
activities with actual accomplishments.
ii
Analysis
The City's CP APR is a two-part document prepared in accordance
with the published Guidelines for preparation of a C~IAS APR. The
first part is designed to report on the City's progress in carrying
out the CP one-year Action Plan. The second part is designed to
provide the City an opportunity to assess its annual performance in
relationship to meeting its overall five-year Consolidated Plan
priorities and objectives, and to discuss what actions or chan~es
should be contemplated as a result of our annual performance.
This CP APR documents the City's performance for the period
commencing July 1, 1996 through to June 30, 1996. Durin~ this time
period, the City was a relatively new entitlement wrantee of
federal CDBG funds, allocated through HUD. Further, the City also
continued to expend funds allocated by the County of Orange under
the Urban Counties program for CDBG and HOME entitlement.
iii
CITY OF TUSTIN
Consolidated Plan
Annual Performance Report
SECTION I - ANNUAL PERFORMANCE
SECTION I - ANNUAL PERFORMANCE
This section of the APR is intended to report on Tustin's actual
performance in meeting objectives of the Consolidated Plan (CP)
during the reporting period of July 1, 1995 to June 30, 1996.
Section I is divided into four separate parts pursuant to the HUD
Guidelines. The elements of performance that are required to be
reported to HUD discuss resources made available, investment of
those resources, the households and persons assisted and other
actions the City pursued related to housing affordability. For
each discussion, Tustin has compared its actual performance for
each required element with the performance it planned in the CP
One-Year Action Plan. The basis for the discussion of Section II -
Assessment of Actual Performance has been taken from those
significant differences identified in this Section between planned
and actual performance.
PART A: RESOURCES MADE AVAILABLE WITHIN THE JURISDICTION
This part discusses the resources made available to Tustin, by
source and by administering agency or other entity, as well as
actual resources received by Tustin compared to resources planned
to be received by Tustin in the CP one-year Action Plan. The
following discussion identifies the Federal, State, local and
private (for profit and non-profit) resources or funds provided for
affordable and supportive housing activities by each providing
source. In identifying resources made available. The City is
required to report the level and type of resources which were
actually made available compared with the level and type of
resources which it planned to be made available in its CP one-year
Action Plan.
Local Resources
In the City's CP one-year Action Plan, the primary resource
identified for the purpose of carrying out the strategy to provide
or sustain affordable housing in Tustin comes from the City's own
Community Redevelopment Agency's Housing Set-Aside Funds. These
funds are comprised of the Housing Set-Aside accounts for the
City's two redevelopment project areas, Town Center and South
Central. Local Housing Set-Aside funds are allocated as follows:
On July 1, 1995, the beginning of this reporting period, the
City appropriated $431,200 for the Rehabilitation Loan and
Grant programs. Through the period ending June 30., 1996,
$196,024 was expended on the program.
Tustin FY 95-96 Consolidated Plan APR
Section I - Annual Performance
I-1
On July 1, 1995 the Agency appropriated $100,000 for the
improvement of private alleys in conjunction with its housing
rehabilitation program. An additional $72,460 was
appropriated during the fiscal year. By June 30, 1996
$172,459 was spent.
The Redevelopment Agency has instructed staff to prepare a
Disposition and Development Agreement (DDA) and allocated
$1,056,792 to ensure that units in a new single-family housing
project located in Tustin are affordable to low- and moderate-
income families. By June 30, 1996, $246,315 was spent and
escrows for low- to moderate-income buyers had been opened
representing an additional expenditure of $584,000.
On July 1, 1995, a total of $120~000 was appropriated from the
Town Center Project Area account towards the City's Emergency
Rental/Mortgage Assistance Program and $100,000 towards the
City's Down Payment Assistance Program. There were no changes
in those allocations during the reporting period.
The City of Tustin Redevelopment Agency has authority, under
State law, to issue tax .exempt and taxable bonds for
development of rental and owner-occupied low- and moderate-
income housing. While the City discussed such opportunities
with various developers, no firm proposals were received.
Federal Resources
During this reporting period, the City had a small amount of
federal Community Development Block Grant .(CDBG) program funds
available from its previous participation with the COunty of Orange
under the Urban Counties program. Those resources are allocated as
follows:
The major Portion of federal resources expended were from
Fiscal Years 1994-95 and 1995-96 CDBG entitlement funds from
HUD. At the beginning of the reporting period, on July 1,
1995, $2,230 in FY 94-95 funds remained allocated to a program
providing code enforcement support personnel for the City's
Owner/Rental Rehabilitation Loan and Grant programs. By June
30, 1996, those funds were.fully unexpended. Of the $72,220
in FY 95-96 funds allocated to non-profit housing, supportive
housing services programs, or fair housing activities, $59,571
or more than 82% was expended by the end of the reporting
period.
Tustin also had a total of $120,000 in HOME funds for the
1992-93 program year, which at the beginning of this reporting
period were required by the County of Orange to also be used
Tustin FY 95-96 Consolidated Plan APR
Section I - Annual Performance
I-2
towards housing rehabilitation. On June 21, 1994, the
contracts were executed with the County for the City's
allocation of $70,000 in HOME funds for the 1993-94 program
year. The City is currently in the process of preparing
program guidelines for use of these funds in a First-time
Homebuyers program. Expenditure is expected during FY 1996-
97. The City is also in the process of seeking approval to
transfer authority for those HOME funds from the County to the
City. A Transfer Agreement was submitted to HUD by the County
on August 15, 1996.
Low- and very low-income residents of the City of Tustin may
apply for Section 8 rental assistance certificates and voucher
certificate program assistance funds allocated through the
Orange County Housing Authority. One of the major components
of Section 8 is the "existing" housing program. The Orange
County Housing Authority is allocated a given number of units
for which Section 8 subsidy dollars are guaranteed. Eligible
very low- and low-income families in Tustin may apply for
certificates or vouchers to participate in the program.
At the beginning of the reporting period, the City had
$855,099 in Mortgage Credit Certificates available to
qualifying homebuyers. Additional appropriations of
$2,000,000 were received in January, 1996 and $628,051 in May,
1996. By June 30, 1996 the City had.allocated $2,899,026 of
those funds. The balance is being held in reserve for use by
those purchasing units in the Tustin Grove project, a housing
development with unit prices affordable to low- and moderate-
income residents.
In June of 1996, the City made a sincere attempt to obtain
federal funding for a 192-bed transitional housing project
through the Notice of Funding Availability (NOFA) for the 1996
Homeless Assistance grant. Tustin submitted its application
for such funding to the County of Orange for inclusion in
their continuum of care strategy submitted to HUD.
Unfortunately, the City's proposal did not receive a high
ranking by the County's review committee. Nevertheless, the
City remains hopeful that some funding for this project will
be received after HUD review of the County's application.
State Resources
No State resources were received or expended by the City of Tustin
for housing or related programs.
Tustin FY 95-96 Consolidated Plan APR
Section I - Annual Performance
I-3
PART B: INVESTMENT OF AVAILABLE RESOURCES
This part discusses resources and program funds used; activities
undertaken, geographic distribution of investment; leveraging of
non-Federal resources; matching contributions; and, pattern of
actual investment compared to planned investment pattern. In
discussing investments made, Tustin is required to distinguish
between the financial obligations/commitments made and the actual
expenditure of funds. The following discussions describe the
activities undertaken, programs used, and amount of funds invested
for each of the priority needs categories identified in the City's
Annual Plan. Additionally, maps and exhibits have been included to
address the City's requirement to identify the geographic
distribution of investment. Finally, the City is required to
discuss the leveraging of non-Federal funds including the type and
degree of leveraging~that occurred. The City is required to report
actual performance compared to planned performance, as described in
the CP Action Plan.
Part C of the City's Action Plan outlined the strategy for
implementation of six "Priority' Activity Types" which included: a
First-Time Homebuyer Program, the Cosmopolitan Apartments (Tustin
Grove) project, the Preservation of Existing Affordable Units
within the City, the Rehabilitation of the Existing Housing Stock
in the City, New Housing Construction opportunities and CDBG-funded
support of housing and ancillary services. These activity types
were based upon those priorities identified in the City's overall
Five-Yea~ Strategy to address affordable housing in the community.
The following describes the status of each of these activity types
outlined in the CP Action Plan relative to the above HUD
requirements.
First-Time Homebuyer Proqram
During this reporting_period, Tustin's investment plan for this
activity type set a goal of assisting 55 first-time homebuyer
households through participation in the Federal'Mortgage Credit
Certificate (MCC) program, which is administered through the
County. The program is offered City-wide to households with the
applicable qualifying incomes and was based upon an average
purchase price per housing unit of $200,000. For the reporting
period of July 1, 1995 to June 30, 1996, Tustin has had 25 MCC
program applications submitted and referred to the County for
administration. Ten of the 25 MCC program certificates have been
issued to borrowers. However, none of the recipients had incomes
at 80% or less of the median income. The City has committed the
$17,~500 from the Housing Set-Aside funds for the South Central and
Town Center Redevelopment project areas as was anticipated in the
Tustin FY 95-96 Consolidated Plan APR
Section I - Annual Performance
I-4
CHAS Annual Plan. Although this money is not actually expended, it
is held in a reserve account satisfying the' bonding requirements
for the MCC program.
Tustin Grove
During the previous reporting period, the City began working with
the Resolution Trust Corporation (RTC) to redevelop a 293-unit
vacant dilapidated apartment complex. The project proponent has
received subdivision map approvals and other necessary
discretionary approvals to develop 145 single-family detached
dwelling units offering home ownership opportunities. During the
course of project approvals, the project proponent was required to
agree to affordability restrictions on 15% of the total number of
units. These units, once constructed, will be affordable to 21
households, 13 of which will have incomes between 51-120% of median
income and 8 of which will have incomes at or below 50% of median
income. During the current reporting period, construction of 33 of
the total 145 units was completed and sales began. While no
households were actually assisted, the City is finaling a
Disposition and Development Agreement (DDA) with the project
proponent. The Tustin Redevelopment Agency is providing over
$1,056,792 to ensure affordability of those 21 units. $246,315 was
expended during the reporting period and escrow was opened for 12
low to moderate income buyers representing an additional
expenditure of $584,000.
Preservation of Existinq Affordable Units
During this reporting period, the City identified the Orange
Gardens Apartment project as a project where the continued
affordability of the project's rents were threatened, because this
project had a Section 236 loan eligible for prepayment in May,
1994. Tustin's Community Redevelopment Agency has allocated
$500,000 of the Housing Set-Aside funds from-the South Central
Redevelopment project area as the necessary down payment to acquire
and preserve the 160 affordable units, which serve renter
households at 50% and below the median income. During the
reporting period, the Redevelopment Agency monitored the process on
this complex. HUD has reported to the Redevelopment Agency that
the Project has fallen out of the program. Consequently, no
households were actually assisted during this reporting period.
Rehabilitation of Existing Housinq Stock
During-this reporting period, Tustin's investment plan for this
activity type set a goal of assisting a total of 12 homeowners and
30 renter households through the City of Tustin's Community
Tustin FY 95-96 Consolidated Plan APR
Section I - Annual Performance
I-5
Redevelopment Agency's established Owner Rehabilitation Loans or
Grants and Rental Rehabilitation Loans or Grants programs
respectively. ,
According to Tustin Community Redevelopment Agency Housing
Rehabilitation Reports for the reporting period, 108 renter
households and 6 homeowners have received assistance either through
a grant or loan or in some cases, a combination of the two funding
methods, for a total of 114 rehabilitated dwelling units. The 108
renter households were assisted utilizing a total of $263,431 in
grants and loans to property owners. Of those renter households,
49 were considered very low income, earning 0 to 30% of the median
family income (MFI); 41 were very low income, earning 31 to 50% of
the MFI; the remaining 18 were other low income earning 51 to 80%
of the MFI. '
The 6 single-family homeowners to be considered low- and moderate-
income households received assistance at a total expenditure of
$31,970 in grants and loans. Of those lower income owners, one was
very low income, earning 0 to 30% of the MFI; four were very low
income, earning 31 to 50% of the MFI; and the remaining one was
considered other low income, earning 51 to 80% of the MFI.
The above dollar amounts are provided by the City's Redevelopment
Agency. The breakdown of these assisted households by income
category is described further in Part C.3. of this report.
Section 8 Assisted Housing
According to the Orange County Housing Authority, as of May 28,
1996, 258 Tustin households were being provided with Section 8
certificates or vouchers at average cost of approximately $552 per
month per family. Using the county-wide average of 2.8 people per
household, approximately 723 individuals residing in Tustin
received tenant-based assistance. Additional project-based
assistance was provided to 160 residents of the Orange Gardens
project and 100 residents of the Tustin Gardens, two senior housing
projects located in our city.
CDBG-Funded Support of Housinq and Ancillary Services
During this reporting period, FY 1995-96 CDBG funds awarded to non-
profit public service organizations who provide housing or
supportive services were fully expended. Those providers and their
allocations included:
Tustin FY 95-96 Consolidated Plan APR
Section I - Annual Performance
I-6
Organization Allocation
Fair Housing Council of Orange County
During the reporting period, 509 Tustin
residents and households were provided
with fair housing services, including
landlord/tenant counseling and resolution
of housing discrimination disputes.
Laurel House
Seventy-one (71) "at-risk" teenagers,
residing in Tustin, were assisted at this
shelter during the reporting period.
The organization provided shelter and/or
counseling'to 274 persons.
Mercy House
Of the 154 persons provided transitional
housing during the reporting period, twenty
were Tustin residents.
Code Enforcement - support for Housing
Rehabilitation program.
This code enforcement officer is
specifically assigned to violations
occurring in the CDBG target area.
Approximately 60 to 70 percent of all
Tustin's code enforcement cases (575 to
670 violations) are generated in this
geographic area.
Total Allocation
$'4,960
$ 8,500
$ 4,030
$55,000
$72,220
The breakdown by income category of those assisted is described
further in Part C of this report.
PART C: HOUSEHOLDS AND PERSONS ASSISTED
This part of the CP APR has three components which include; the
CHAS/Consolidated Plan APR Table 1 - Households and Homeless
Persons Assisted With Housing; a summary record of all assistance
provided during the reporting period for. all households or persons
reported as assisted in the CHAS/Consolidated Plan APR Table 1;
and, a narrative which discusses actual accomplishments in
assisting low income households/persons in relationship to
Tustin FY 95-96 Consolidated Plan APR
Section I - Annual Performance
I-7
established goals of the Consolidated Plan; and, assistance
provided to specific racial and ethnic groups in relationship to
the relative needs of those specific groups.
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Table 1 - Households and Homeless Persons Assisted With
Housin9
In completing the APR Table 1, Tustin was required to report on the
number of households and persons (i.e., homeless persons and non-
homeless persons with special needs) who received assistance during
the reporting period for each of the categories indicated on the
table through the investment of funds made available within the
City irrespective of when those funds were made available. For the
purpose of identification of goals and reporting of
accomplishments, an assisted households (or person) is determined
by HUD to be one which, during the reporting period, received
benefits through the investment of Federal funds, either alone, or
in conjunction with the investment of other public or private
funds.
A renter has been considered to have benefitted if the household or
person takes occupancy of affordable housing that is newly acquired
(standard housing), newly rehabilitated, or newly constructed,
and/or receives rental assistance. An existing homeowner is
benefitted during the year if the home's rehabilitation is
completed. A first-time homebuyer is benefitted if a home is
purchased during the year. A homeless person is benefitted if the
person becomes the occupant of transitional or permanent housing.
A non-homeless person with special needs is considered as being
benefitted, however, only if the provision of supportive services
is linked to the acquisition, rehabilitation, or new construction
of a housing unit and/or the provision of.rental assistance during
the year. Households or persons who benefitted from more than one
program were required to be counted only once.
Tustin FY 95-96 Consolidated Plan APR
Section I - Annual Performance
I-8
CONSOLIDATED PLAN APR TABLE 1 -
HOUSEHOLDS ANDHOMELESS PERSONS
ASSISTED WITH HOUSING
Consolidated Plan
·
-gH-AS-Annual Performance Report Table 1
Households and Persons
Assisted with Housing
U.S. Department ol Housing and Urban Development
Office of Community Planning and Development
Comprehensive Housing Affordability Strategy (CHAS)
Instructions for Local Jurisdictions
Name ol Ju.~l~on: FY:
Renters Owners Homeless' Non-
Assismnca Provided Elderly 1 & Small Large I "l$l-'l'ime Homebu~ers Homeless Totel
by Income Group 2 Member Related Related I All Older ~ Tol~ Ex~stlng w~l~ Total Individuals Families Special To~ Section 215
Households (2 to 4) (5 or more) Housanmdsj Renters Homeowners Children i All Olhers Homeowners Needs
(A) (B) (C) (D) (E) (F) (G) (H) (I) (J) (K) (L) (M) (N)
1. Very Low-Income _
(0 ~ ~/. ol MFS)" 13 36 0 49 1 0 0 1 9i - _ 141 -
2. Very Low-Income I
(31 to SO% of MFI)"] - 5 36 0 41 4 0 0 4 .... 45 -
,
3. Other Low-Income I
(Sl to ~o-/. o! MFI)"I - 3 2 0 18 1 0 0 1 - _ _ 19 -
,
4. Total Low-Income I I
(.nas 1.2 ? 3) 0 21 74 0 108 6 0 0 6 91 0 0 205 0
,
'Homeless families and individuals assisted wlln lzansltional or permanent housing.
"Or, based upon HUD adjusted income limits, If applicable.
Racial/Ethnic Composition of
line 4, column (M) Total Low Income: 1. Hispanic
Non-Hispanic
2. White
3. Black
4. NalNe American
Asian & Pacific
Islander
Other'
7. Total
(must equal Total on
,ns 4, c~umn (M)) -
106
52
22
14
'11
205
form HUD-40090-A (1/93)
Tustin FY 95-96 Consolidated Plan APR
Section I' - Annual Performance
I-9
2. Documentation of Assistance Provided
Documentation of assistance provided by the City of Tustin to each
household (or person) is required to be maintained by the City,
particularly to ensure that those households (or person) identified
in the CP APR Table 1 are maintained. The City provides reasonable
access to these records, subject to state and local laws regarding
privacy and obligations of confidentiality, during the APR public
comment period. Additionally, these records will be made available
for inspection by HUD, at the Department's request.
As is required by HUD, the City of Tustin maintains the following
within its project records:
Address of the property
Number of residential dwelling units occupied by assisted
households
Type of assistance provided
Program funding source(s) and amount(s) of Federal
assistance provided
The name of the household or person assisted: - The income category
- The head of household's racial/ethnic group
- Section 215 criteria
3. Narrative Discussion
The following discusses Tustin's accomplishments in providing
assistance to low and very low income households, homeless persons,
and persons with other special needs during this reporting period.
The narrative describes the number of households, and homeless
persons actually assisted, by income group, family type, tenure
group, and the total households/units qualifying as meeting Section
215 criteria as compared to the goals for households/ persons to be
assisted as established in the Action Plan for the reporting
period. Significant variations that exist between the number of
households/persons actually assisted and the goals established for
households/persons to be assisted are discussed as applicable.
Finally, the following also describes the number of households and
homeless persons assisted by racial and ethnic.group in the context
of the relative needs of households/persons by racial and ethnic
group as displayed in City's CP Table IIA, on page II-10 of the
Consolidated Plan.
Overall, the City of Tustin directly assisted 114 low- and
moderate-income households and 91 homeless individuals through a
variety of federally and non-federally funded programs.
Tustin FY 95-96 Consolidated Plan APR
Section I - Annual Performance
1-10
The City improved a total of 114 dwelling units, utilizing its own
Redevelopment Project Area Housing Set-Aside Funds. Of the 114
households that were assisted, 100% were households with incomes
that were at 80%~ or less of the median family income as published
by HUD, January 1995. The CP APR Table 1 shows the breakdown of
the assisted households that constitute the very low- and other
low-income categories.
Renters
The assisted households shown on the CP APR Table 1 were largely
comprised of renters, representing 93%. The rental households
benefitted largely from the City's Community Redevelopment Agency's
established Rental Rehabilitation Loans or Grants program. Renter
households assisted are categorized by HUD into groupings of
elderly 1 & 2 member households of which there was none; small
related (2 to 4 persons), which represented 45% of the total, large
related (5 or more persons) which represented 38% of the total; and
all others (such as individuals or non-related households), which
represented the remaining 17%.
Through the Orange County Housing Authority 258 Tustin residents
receive Section 8 assistance. An additional 260 seniors receive
HUD project-based rental assistance. Further, three apartment
complexes in the east area of the city have a total of 175 income
restricted apartments available .to low- and moderate-income
households.
Owners
The owner-assisted households shown on the CP APR Table 1, which
focuses on households with incomes 80% or less of the median
income, represented 6 existing homeowners. Again, these homeowners
benefitted from the City's Community Redevelopment Agency's
established Owner Rehabilitation Loans or Grants program.
Also, through the County of Orange, the City provided tax.exempt
mortgages to low- and moderate-income homeowners with the issuance
of Mortgage Revenue Bonds. Ail proceeds of the bond sale were used
during the reporting period.
Homeless & Non-Homeless Special Needs
The City's statistics do not currently indicate that there is a
significant population nor sub-population of individuals or
families within Tustin that are either homeless or require special
needs. As indicated in the City's Consolidated Plan, the City
assists individuals or families on an as needed basis by making
Tustin FY 95-96 Consolidated Plan APR
Section I - Annual Performance
1-11
appropriate referrals to organizations or agencies that provide
specific supportive services.
Nevertheless, Tustin is committed to supporting housing and
services programs assisting those individuals and families in the
region who are homeless, have special housing needs, or require
housing services. Federal CDBG funds were allocated to support
transitional housing for homeless, employed women with children
through a program run by Mercy House Transitional Living Center.
Twenty Tustin residents were among the 154 individuals sheltered.
Tustin's CDBG monies also used to support emergency/transitional
housing to homeless teenagers, runaways or those in crises. During
the reporting period, approximately 71 unduplicated teens were
sheltered. Further, fair housing services were also funded.
Total Section 215
The City of Tustin did not provide assistance with HOME funds for
any of its programs during this reporting period, and therefore
does not have any Section 215 households to report.
Racial/Ethnic Composition
The City of Tustin is required to make a comparison between the
number of lower income households assisted in each racial/ethnic
category shown on the CP APR Table 1 relative to the breakdown
shown in CHAS Table IA. Based~ upon the 1990 Census, 73% of the
City's households are white, followed by 14% Hispanic, 8% Asian &
Pacific Islander, 5% Black with no Native Americans. Of the 62
households assisted through Tustin's housing rehabilitation and
CDBG-funded programs with lower incomes (<80% of MFI), 47% were
Hispanic households, followed by 31% White, 13% Black, 9% Asian &
Pacific Islander households. No Native American or unlisted
households were assisted. Based only on these facts, it appears
that a disproportionate share of assistance was provided to
Hispanic households in comparison with the City's ethnic/racial
make-up. However, CP Table IIA also indicates that Black and
Hispanic households were more likely, 43% or more of the population
compared to White households at 30%, to have lower incomes, that
being incomes between 0-80% of median.
PART D: OTHER ACTIONS UNDERTAKEN
This portion of the APR describes the City's performance in
carrying out other actions during this reporting period, including
actions taken with respect to: public policies, institutional
structure, intergovernmental cooperation, public housing
Tustin FY 95-96 Consolidated Plan APR
Section I - Annual Performance
1-12
improvements, public housing resident initiatives, lead-based paint
hazard reduction, and affirmatively furthering fair housing.
1. Public Policies
The City of Tustin did not specifically identify actions that would
be undertaken with regard to public policy during the reporting
period year of the City's Five-Year Strategy. However, during the
reporting period the City conducted an extensive citizen
participation process for the CDBG program. The process ensured
that community needs were addressed in the expenditure of those
funds.
2. Institutional Structure
As discussed in previous documents submitted to HUD, the City of
Tustin has previously operated under the umbrella of the County of
Orange through the urban counties program to Obtain Community
Development Block Grant (CDBG) funds. Tustin has recently received
its own CDBG entitlement through the metropolitan cities program.
The City was successful in obtaining its CDBG entitlement directly
from HUD for the program year commencing July 1, 1994 and ending
June 30, 1995 and continuing through the current reporting period
of July 1, 1995 to June 30, 1996. This change in the institutional
structure created a direct relationship with HUD, and the City has
been 'instrumental in ensuring that the programs which are
identified as priorities to the City during the Citizen
Participation process receive the respective allocation of funding.
Additionally, this direct contact has resulted in the City's
receipt of contracts and funding in a more timely manner which also
ensures that the recipients receive their benefits sooner.
3. Intergovernmental Cooperation
The following describes the' actions that Tustin has taken to
achieve cooperation and coordination among State, local and private
agencies or institutions in implementing the City's strategy over
the course of this reporting period. In September, 1994, the City
of Tustin joined eleven other cities and the County in applying and
receiving an allocation of $50,000,000 for the Mortgage Credit
Certificate (MCC) Program. In addition to coordinating with the
other cities and the County, Tustin has initiated outreach with
local lenders to make them aware of the MCC program opportunities
for potential borrowers.
Tustin FY 95-96 Consolidated Plan APR
Section I - Annual Performance
1-13
4. Public Housing Improvements
The City of Tustin does not have any public housing, as defined by
HUD. Accordingly, no actions were identified in the Consolidated
or Action Plans to address public housing improvements.
5. Public Housing Resident Initiatives
The City of Tustin does not have any public housing, as defined by
HUD. Accordingly, no actions were identified in the Consolidated
or Action Plans to address public housing resident initiatives.
6. Lead-Based Paint Hazard Reduction
The City of Tustin did not identify specific actions that would be
taken with regard to lead-based paint hazard reduction during the
reporting period year of the City's Five-Year Strategy. However,
each property owner participating in the City's housing
rehabilitation program funded with redevelopment housing set-aside
funds, not federal monies, is required to certify that lead-based
paint will not be utilized for the rehabilitation work. Further,
much of the rehabilitation work funded is painting, which
"encapsules" any existing lead-based paint.
7. Affirmatively Furthering Fair Housing
During this reporting period the City took action with respect to
affirmatively furthering fair housing. Tustin allocated $4,960 of
its 1995-96 CDBG entitlement to the Fair Housing Council of Orange
County. During the reporting period, this organization provided
services to 509 Tustin residents attempting to resolve landlord-
tenant disputes and serves as an advocate for tenant's rights. By
establishing this direct relationship with the Fair Housing Council
of Orange County, the City has taken the first step towards
furthering its compliance with 24 CFR 570.904(c), which requires a
CDBG grantee to take certain actions with regards to furthering
fair housing.
In addition, CDBG monies were used to fund Tustin's participation
in the development of a regional Analysis of Impediments to Fair
Housing Choice (AI). Thirteen Orange County jurisdictions worked
cooperatively to complete this study in accordance with HUD fair
housing planning guidelines and federal requirements.
Tustin FY 95-96 Consolidated Plan APR
Section I - Annual Performance
1-14
CITY OF TUSTIN
Consolidated Plan
Annual Performance Report
SECTION II- ASSESSMENT OF ANNUAL PERFORMANCE
SECTION II - ASSESSMENT OF ANNUAL PERFORMANCF
This section is a self-assessment by the City of our effectiveness
in performing during this reporting period in the overall
achievement of Tustin's five-year strategy, objectives and
priorities. The following discussion also proposes future actions
the City anticipates taking or changing as a result of this self-
assessment of performance.
In Section I of this report, the City has discussed its
achievements made during the past federal fiscal year in terms of
"hard" numbers pursuant to HUD requirements. The City is required
to report its progress to HUD, although a majority of the housing
affordability strategy adopted by the City is funded through the
City's two Redevelopment Project Area Housing Set-Aside Funds.
Additionally, this reporting period was only the second in which
Tustin was a CDBG entitlement community.
In reviewing each program, the City has found that it has made
progress with respect to the overall affordable housing strategy
for this reporting period. The City of Tustin's Community
Redevelopment Agency's established Owner Rehabilitation Loans or
Grants and Rental Rehabilitation Loans or Grants programs continue
to be successful in improving properties occupied by lower income
households. As discussed previously, the City anticipated
assistance to a total of 12 homeowner and 30 renter households.
When accomplishments for this reporting period are considered,
goals for renter households are exceeded by 263% and for owner
households are 50% met.
Although the City was very successful in achieving its goals for
the Rehabilitation of Existing Housing Stock, there still remain
households with unmet needs. The reasons for this vary for each
particular Priority Activity Type identified in the Consolidated
Plan. The following summarizes the achievements made in each of
the City's identified program types, and where applicable,
discusses some of the anticipated steps that the City may take in
preparation of new HUD required "Consolidated Plan."
First-Time Homebuyer Proqram
This program is currently being developed and will utilize both
HOME and Redevelopment Agency funds. The program will be largely
market driven and will have the ability to provide assistance based
on market interest; e.g. the number of persons or households
looking to buy their first home, and availability; e.g. the numbers
and types of housing stock being offered for sale in the City. The
Tustin FY 95-96 Consolidated Plan APA
Section II - Assessment of
Annual Performance
II-1
City has very little control over these market conditions; however,
the City will outreach to local brokers and lenders in order that
the potential buyers are made aware of the program. Additionally,
with the adoption of the City's 1995-96 budget, an appropriation
has been made to utilize the Town Center Redevelopment Project Area
Housing Set-Aside Fund to set up a First-Time Homebuyer Downpayment
Assistance Program. It is anticipated that this funding will act
in tandem with the MCC program.
The City's participation in the MCC program has 'been very
successful with 16 certificates issued.
Tustin Grove (Cosmopolitan Apartment Site)
This project saw significant progress during this reporting period.
During the reporting period, construction of 33 of the total 145
unit was completed and sales began. Building permits for
additional units have been issued. The project will provide 21
income-restricted units available for~ ownership. It is also
anticipated that the "market rate" units constructed as part of the
project will actually be considered "affordable" to households with
lower incomes. Escrow was opened for the sale of units to 12 low-
and/or moderate-income buyers.
Preservation of Existinq Affordable Units (Section 8 Assisted
Housinq).
This program goal was anticipated to be satisfied by Redevelopment~
Agency's success in gaining approval of a Low Income Housing
Preservation and Resident Homeownership Act (LIHPRHA) of 1990
acquisition loan. During the reporting period, HUD reported to the
Redevelopment Agency that the project has fallen out of the LIHPRHA
program.
New Housinq Construction
Currently, the construction of 25 new income-restricted townhomes
in the City's Town Center Redevelopment Project Area is largely
dependent on the private sector interest to carry out such a
project. The City is continuing to outreach to one landowner with
property of sufficient size to carry out such a project.
Support and Ancillary Services
Community housing needs and priorities established in the CP, were
addressed through the allocation of CDBG funds to non-profit
organizations providing services to Tustin and community residents.
Ail funds made available to such organizations, including the Fair
Tustin FY 95-96 Consolidated Plan APA
II-2
Section II - Assessment of
Annual Performance
Housing Council of Orange County, Mercy House and Laurel House
were fully expended. '
In addition, a full-time code enforcement officer was hired during
the reporting period. That position supports the Housing
Rehabilitation program by helping to identify dwelling units with
the greatest need of rehabilitation.
Tustin FY 95-96 Consolidated Plan APA
Section II - Assessment of
Annual Performance
II -3