Loading...
Staff Report PREPARED BY: JOEL PAULSON Community Development Director Reviewed by: Town Manager, Town Attorney, and Finance Director 110 E. Main Street Los Gatos, CA 95030 ● 408-354-6832 www.losgatosca.gov TOWN OF LOS GATOS COUNCIL AGENDA REPORT MEETING DATE: 08/01/2017 ITEM NO: 5 DATE: JULY 19, 2017 TO: MAYOR AND TOWN COUNCIL FROM: LAUREL PREVETTI, TOWN MANAGER SUBJECT: 108 SIERRA LINDA REFURBISHMENT AUTHORIZE A BUDGET ADJUSTMENT TRANSFER IN THE AMOUNT OF $50,348.20 FROM THE BELOW MARKET PRICE (BMP) HOUSING IN-LIEU FEE FUND TO THE BMP HOUSING PROGRAM IN THE GENERAL FUND TO COVER THE REFURBISHMENT COSTS FOR THE UNIT. RECOMMENDATION: Authorize a budget adjustment transfer in the amount of $50,348.20 from the Below Market Price (BMP) Housing In-lieu Fee Fund to the BMP Housing Program in the General Fund to cover the refurbishment costs for the unit. BACKGROUND: On December 15, 2015, the Town Council adopted a resolution approving a Purchase and Sale Agreement for the repurchase of an affordable housing unit subject to an existing BMP First Right of Refusal Option, located at 108 Sierra Linda, and authorizing the Town Manager to negotiate and execute all agreements and documents necessary and appropriate to effectuate the preservation of the affordable housing unit. Construction costs were incurred to refurbish the unit so that it can be sold to another qualified buyer. DISCUSSION: Approval of this item will allow the Town to move approximately $50,348.20 from the BMP Housing In-lieu Fee Fund to the BMP Housing Program Fund to cover the costs of refurbishing PAGE 2 OF 2 SUBJECT: 108 SIERRA LINDA REFURBISHMENT DATE: JULY 19, 2017 S:\COUNCIL REPORTS\2017\08-01-17\108 Sierra Linda\Staff Report Final.docx 7/26/2017 11:01 AM JP DISCUSSION (cont’d): the unit. The costs have been included in the sales price of the unit and will be reimbursed when a sale of the unit to another income qualified BMP buyer has occurred. The unit is currently on the market and staff believes that a sale will take place within the next few months. CONCLUSION: Staff recommends Council authorize a budget adjustment transfer in the amount of $50,348.20 from the BMP Housing In-lieu Fee Fund to the BMP Housing Program to cover the refurbishment costs for the unit. FISCAL IMPACT: The Town has expended approximately $50,348.20 from the BMP Housing In-lieu Fee Fund to refurbish the unit and these expenditures will be reimbursed upon sale of the unit to another income qualified BMP buyer. COORDINATION: This report has been coordinated with the Town Manger’s Office, Town Attorney’s Office, and the Finance Department. ENVIRONMENTAL ASSESSMENT: This is not a project defined under CEQA, and no further action is required.