Resolution Number 03-06-17-07RESOLUTION NO. 03-06-17-0 7
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN JUAN
CAPISTRANO, CALIFORNIA, APPROVING MODIFICATIONS TO THE
OWNER -OCCUPIED HOUSING REHABILITATION AND FIRST-TIME
HOME BUYER PROGRAM GUIDELINES
WHEREAS, the City Council has approved program guidelines for the City's
Owner -Occupied Housing Rehabilitation and the First -Time Home Buyer Programs;
and,
WHEREAS, the Owner -occupied Housing Rehabilitation Program guidelines
currently limit the maximum loan amount for mobile homes to $15,000; and,
WHEREAS, the majority of the contractor bids for housing rehabilitation work to
be completed on mobile homes exceed $15,000 and are less than $20,000; and,
WHEREAS, the First -Time Home Buyer Program guidelines currently limit the
maximum down payment assistance to $45,000; and,
WHEREAS, the purchase price of homes in San Juan Capistrano has increased
making it difficult for a low-income household to afford a home even with the City's
$45,000 in assistance; and,
WHEREAS, the City receives many inquiries from the public about the First -Time
Home Buyer Program yet only one loan has been processed over the past year; and,
WHEREAS, the maximum HOME subsidy limits allowed per unit by the State of
California, based upon unit size, are up to $92,925 (0 bedroom); $106,520 (1 bedroom);
$129,528 (2 bedroom); $167,565 (3 bedroom); and $183,934 (4 bedroom); and,
WHEREAS, the 2001 and 2002 HOME grants awarded to the City total $1.2
million for housing rehabilitation and first-time home buyer loans, and the HOME grant
funds must be expended within the state -mandated deadlines; and,
WHEREAS, modifying the program guidelines to increase the maximum loan
amounts for mobile home rehabilitation loans and for first-time home buyers will: (1)
enable mobile home owners to have all necessary repair work done, (2) enable low-
income households to find housing and qualify for a first mortgage loan, and (3) assist
the City in spending the grant funds within the required deadlines.
NOW, THEREFORE, BE IT RESOLVED, that the City Council of the City of San
Juan Capistrano does hereby make the following findings:
The proposed modifications to the Owner -Occupied Housing
Rehabilitation and First -Time Home Buyer Programs are consistent with
06-17-2003
the policies and objectives of the San Juan Capistrano General Plan and
Housing Element; and,
2. The proposed program modifications comply with all applicable provisions
of the Land Use Code; and,
3. The proposed modifications will benefit mobile home owners and first-time home
buyers by increasing the amount of funding assistance; and,
4. The proposed modifications will increase the amount and number of loans
processed enabling the City to spend the grant funds within the required
deadlines.
NOW, THEREFORE, BE IT FURTHER RESOLVED, that the City Council of the
City of San Juan Capistrano does hereby approve the modifications to the Owner -
Occupied Housing Rehabilitation and First -Time Home Buyer Program guidelines as
follows:
Owner-Occui)ied Housing Rehabilitation Program Guidelines
I Increase the maximum loan amount for mobile home housing rehabilitation from
$15,000 to $20,000.
First -Time Home Buyer Program Guidelines
Increase the maximum down payment assistance from $45,000 for any size unit
up to $92,925 (0 bedroom); $106,520 (1 bedroom); $129,528 (2 bedroom);
$167,565 (3 bedroom); and $183,934 (4 bedroom), pursuant to the maximum
HOME subsidy limits allowed per unit by the State of California.
2. Restrict the maximum amount of the City's down payment assistance based
upon a minimum monthly mortgage payment of 30 percent of the household's
gross monthly income.
PASSED, APPROVED AND AD TE
OP -1 D this 17t"aypf June 2003.
ATTEST: MAYOR
-Atw� I p --- tk-
rARET R. MONAHAN, CITY CLERK
2 06-17-2003
STATE OF CALIFORNIA
COUNTY OF ORANGE )ss.
CITY OF SAN JUAN CAPISTRANO
1, MARGARET R. MONAHAN, appointed City Clerk of the City of San Juan Capistrano, do
hereby certify that the foregoing Resolution No. 03-06-17-07 was duly adopted by the City
th
Council of the City of San Juan Capistrano at a regular meeting thereof, held the 17 day
of June 2003, by the following vote:
AYES: COUNCIL MEMBERS: Hart, Bathgate, Swerdlin, Soto and Mayor Gelff
NOES: COUNCIL MEMBERS: None
ABSTAIN: COUNCIL MEMBERS: None
R. MONAHAN, City Clerk
3 06-17-2003