2016-02-10 VHC Minutes (Special)MINUTES OF THE SPECIAL VERNON HOUSING COMMISSION
MEETING HELD WEDNESDAY FEBRUARY 10, 2016, IN THE
COUNCIL CHAMBER OF THE CITY HALL LOCATED AT
4305 SANTA FE AVENUE, VERNON, CALIFORNIA
MEMBERS PRESENT: Michael Hughes, Melissa Ybarra, Henry Haskell, Steven Froberg,
John Kriste, and Kyle Cooper.
MEMBERS ABSENT: Steven Florman and Hector Garcia
The meeting was called to order by Chair Hughes at 6:05 p.m. Commissioner Ybarra led the flag
salute. City Clerk Maria E. Ayala conducted roll call.
CHANGES TO THE AGENDA
Deputy City Administrator Kristen Enomoto, noted she had reformatted 3 pages, starting with
Page 3 of the Himes Market Rental Report to be consistent with 2011 Report. The pages were
reformatted to be consistent with 2011 report.
City Clerk Maria E. Ayala announced that there were no changes to the agenda.
PUBLIC COMMENT
Chair Hughes announced this was the time allotted for public comment and inquired whether
anyone in the audience wished to address the Commission. The public will also be given a chance
to comment on matters which are on the posted agenda during Commission deliberation on those
specific matters.
No public comment provided.
DISCUSSION AND POSSIBLE DIRECTIVES TO STAFF
1. Review of 2016 Market Rent Data and Development of a Preliminary Market Rent
Schedule for City-Owned Housing Units in Vernon
Recommendation:
Items A-D:
A. Find that the review and development of market rent data and schedules is exempt
from the California Environmental Quality Act (“CEQA”), in accordance with
CEQA Guidelines Section 15601(b)(3), the general rule that CEQA only applies to
projects that may have a significant effect on the environment; and
B. Review 2016 market rent data provided by qualified, independent appraisers.
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February 10, 2016
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C. Review the market rent growth rate from 2011 to 2016.
D. Develop a 3 to 5 year preliminary market rent schedule to be disseminated to all
residents and made available to the public at-large for the purpose of soliciting
feedback on the proposed schedule at an upcoming public hearing.
Interim City Administrator, A.J. Wilson, introduced himself to the Commission and the public, as
the new Interim City Administrator. He spoke on industry and market rental rates, and aligining
city-owned property value with privately-owned property; and further referencing the 2011 market
rate report as a baseline, and recommending a future adjustment in five years (2021).
Mr. James Himes (Consultant Himes & Himes) referenced Page 3 of their 2016 Market Rental
Report, discussed the summary of scheduled rents ( passed out at the meeting) showing projected
rents if the unit was recently remodeled. Size of unit, parking, garages, location and amenities
were considered.
Ms. Hee K. Yi (Consultant Gold Coast Market) provided an overview of their 2016 Rental Report
noting they used Housing and Urban Development (HUD) guidelines to determine Gold Coast’s
assessment.
Deputy City Administrator Kristen Enomoto discussed in detail various methodologies and
scenarios, such as the existing renter’s rate, based upon incremental rate increases versus the higher
rate a new tenant would pay. Charts and graphs within the data reflect potential cases.
Mr. Wilson, Ms. Enomoto, and Special Legal Counsel Stuart Leviton provided additional
information and responses to questions. Recommended Items A through D were thoroughly
discussed.
Mr. Wilson summarized what is being proposed is to adopt a market table, provide five years to
catch up to market value, and reflect current property conditions.
It was moved by Ybarra and seconded by Froberg to approve proposed item, (best described as
the Growth Rate Factor Approach, Recommendation D), and manually adjust the 5-year number
for existing tenants to be the same amount for new tenants. Motion carried, 5-0.
ORAL REPORTS & COMMENTS FROM STAFF AND COMMISSION MEMBERS
2. Brief reports, announcements, or directives to staff from the Commissioners and
Commission Officers.
Ms. Enomoto announced the City’s February 16 meeting on Parks Needs Assessment.
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February 10, 2016
Page 3 of 3
Chair Hughes also spoke on the topic and explained the County’s consideration of
proposing a bond for local parks, and trying to gain as much input from the community as
possible.
Ms. Enomoto also reported on the sale of the Huntington Park units.
3. Next regular meeting: June 8, 2016 March 9, 2016 at 6:00 p.m.
Deputy City Administrator Kristen Enomoto clarified the meeting date for the next regular
Commission Meeting.
:
The main item at the meeting will be the Public Hearing, to provide the opportunity for the
residents and community to give input on the proposed Preliminary Market Rent Schedule.
4. Special Meeting Scheduled for April 6, 2016 at 6:00 p.m.
A special meeting will be held in April for the purpose of reviewing and determining what
action to be taken.
5. Next regular meeting: June 8, 2016 at 6:00 p.m.
SECOND PUBLIC COMMENT
Chair Hughes announced that this was the time allotted for public comment and inquired whether
anyone in the audience wished to address the Commission.
Marisa Olguin, Representative from the City of Vernon Chamber of Commerce requested the City
provide clarification on the revised annual budget to separate the housing funds by expenditures
and revenue. It was noted housing funds are part of the general fund, but do not reflect an allocated
line item.
With no further business, at 7:45 p.m. the meeting was adjourned.
________________________
Michael Hughes
Chair
ATTEST:
_________________________
Maria E. Ayala, CMC
Secretary