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Council approves $150,000 CDBG for farm worker housing

May 17, 2002
Santa Paula City Council

The Santa Paula City Council approved a switch in Community Development Block Grant funding by allotting $150,000 for a proposed Harvard Boulevard farm worker apartment complex. In turn, the council cut back the city’s housing rehabilitation and code enforcement CDBG funds at the April 15 meeting, but learned the shortfalls will be covered.

Stephen Stuart, building and safety director, told the council that the CDBG Advisory Committee had recommended that funds help build low-income funding, now endorsed by the city’s management team.

By Peggy KellySanta Paula TimesThe Santa Paula City Council approved a switch in Community Development Block Grant funding by allotting $150,000 for a proposed Harvard Boulevard farm worker apartment complex. In turn, the council cut back the city’s housing rehabilitation and code enforcement CDBG funds at the April 15 meeting, but learned the shortfalls will be covered.Stephen Stuart, building and safety director, told the council that the CDBG Advisory Committee had recommended that funds help build low-income funding, now endorsed by the city’s management team.Cabrillo Economic Development Corporation will receive $150,000, a sum that will be matched by the county; $113,940 will go to the code enforcement program and $30,000 for the housing rehabilitation program. Both programs were originally funded at $160,000. Funds were found from other sources and accounts to make up the shortfalls, said Stuart.CEDC Executive Director Rodney Fernandez said said up to 24 units of “badly needed farm worker housing,” will be built, a strong need since the mid-1970s when growers stopped supplying such housing.CEDC has built four such projects and is looking to construct a like amount in Oxnard and, “hopefully, one here in Santa Paula.”
Fernandez noted that meeting with city staff have been productive and the county has agreed to a $175,000 matching grant for the approximately $4 million project.Dr. Dora Crouch noted that CEDC is also looking to purchase and convert apartments on Yale Street for low-income senior housing.Councilman Rick Cook said that the new project should offer preference to residents of Peppertree Mobile Home Park, who have approached the city on numerous occasions about a proposed sale and conversion of the park. Mayor Ray Luna asked if the project would offer home ownership opportunities, and Stuart noted that the complex would be rental apartments only.Cook expressed his concern over possible lost housing rehabilitation funding and suggested that a contract be prepared regarding the proposed project, including payment options to make up for the lost property taxes inherent to non-profit projects.Stuart noted that an account of never-spent HUD funding could make up the shortfall in the housing rehabilitation account, which are funds held to guarantee low-interest rate bank loans.The council will consider the contract at a future date.