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20221214 VHC Agenda Packet Vernon Housing Commission Agenda Wednesday, December 14, 2022 Page 1 of 2 Agenda City of Vernon Regular Vernon Housing Commission Meeting Wednesday, December 14, 2022, 6:00 PM Remote Location Via Zoom Juliet Goff, Chair Jorge Nevarez Jr., Vice Chair Ronit Edry, Commissioner Steven Froberg, Commissioner Leticia Lopez, Commissioner Steven Spanks, Commissioner Marlene Ybarra, Commissioner SPECIAL REMOTE PROTOCOLS Assembly Bill 361 (AB 361) authorizes public meetings to take place via teleconference because State and Local officials are recommending measures to promote social distancing. This meeting will be conducted entirely by remote participation via Zoom Webinar. The public is encouraged to view the meeting at https://www.cityofvernon.org/webinar-vhc or by calling (408) 638-0968, Meeting ID 870-1211-0480#. You may address the Commission via Zoom or submit comments to PublicComment@cityofvernon.org with the meeting date and item number in the subject line. CALL TO ORDER FLAG SALUTE ROLL CALL APPROVAL OF THE AGENDA PUBLIC COMMENT At this time the public is encouraged to address the Vernon Housing Commission on any matter that is within the subject matter jurisdiction of 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. PRESENTATIONS 1. City Clerk Housing Lotteries for City-Owned Housing Recommendation: Conduct housing lotteries to establish randomized order to fill two vacancies in City- owned housing. 1. Notice of Available Units Vernon Housing Commission Agenda Wednesday, December 14, 2022 Page 2 of 2 2. Public Works Quarterly City Housing Report Recommendation: Receive and file the December 2022 Quarterly Housing Report. 1. December 2022 Quarterly Housing Report CONSENT CALENDAR All matters listed on the Consent Calendar are to be approved with one motion. Items may be removed from the Consent Calendar for individual consideration. Removed items will be considered immediately following the Consent Calendar. 3. City Clerk Approval of Minutes Recommendation: Approve the September 14, 2022 Regular Vernon Housing Commission meeting minutes. 1. 20220914 VHC Minutes NEW BUSINESS 4. Public Works City of Vernon Housing Unit Rental Rates Recommendation: In light of the exceptional increase in the cost of living, as reflected in the 7.6% increase in the Consumer Price Index for all urban consumers this year, staff requests guidance from the Vernon Housing Commission on whether to: a) increase month-to-month rental rates for City-owned residential units by 3% for calendar year 2023 in accordance with Resolution No. VHC-8, or b) waive rental rate increases for calendar year 2023. 1. Resolution No. VHC-8 2. Consumer Price Index August 2022 3. VHC Agenda item Report on Establishment of Rental Rates 4. HUD FMR Rates FY 2023 ORAL REPORTS Brief reports, announcements, or directives to staff. Next regular meeting: Wednesday, March 8, 2023, at 6:00 p.m. ADJOURNMENT On December 8, 2022, the foregoing agenda was posted in accordance with the applicable legal requirements. Regular and Adjourned Regular meeting agendas may be amended up to 72 hours and Special meeting agendas may be amended up to 24 hours in advance of the meeting. Vernon Housing Commission Agenda Item Report Submitted by: Sandra Dolson Submitting Department: City Clerk Meeting Date: December 14, 2022 SUBJECT Housing Lotteries for City-Owned Housing Recommendation: Conduct housing lotteries to establish randomized order to fill two vacancies in City-owned housing. Background: Pursuant to the New Tenant Lease Procedures, and to ensure that the selection process for new tenants remains equitable and transparent, the City conducts a housing lottery when a City-owned housing unit becomes available. The housing lottery is a random draw of all names on the Housing Interest and Unit Transfer lists and establishes a randomized order by which a vacancy shall be offered. The New Tenant Lease Procedures and housing lottery information are available on the City's website at www.cityofvernon.org/housing. Currently, the City has the following vacancies that require a lottery: One-bedroom apartment at 3384 50th Street; and Three-bedroom house at 3357 Fruitland Avenue. Pursuant to New Tenant Lease Procedures Section 2, the Notice of Available Housing was posted at City Hall on November 14, 2022, and published in the Los Angeles Wave (Huntington Park Bulletin) on November 17, 2022. The available units were widely publicized on the City's website and social media outlets. Per Section 3, all new applicants and those with valid transfer requests were emailed notice of available units on December 1, 2022. Those responding as still interested will be included in the lottery. There are no valid transfer requests. Two separate lotteries will be conducted for the two separate units. Fiscal Impact: There is no fiscal impact associated with this report. Attachments: 1. Notice of Available Units City of Vernon NOTICE OF AVAILABLE HOUSING The City of Vernon has the following available housing units for rent: 3384 50th Street - 1 bedroom/1 bathroom apartment - $1,450 per month 3357 Fruitland Avenue – 3 bedroom/1 bathroom house - $2,470 per month Pursuant to the City of Vernon Housing Commission New Tenant Lease Procedures, a lottery will be conducted on December 14, 2022, at 6:00 p.m. via Zoom webinar. Housing Interest and Unit Transfer Request Forms are available on the City’s website at https://www.cityofvernon.org/vernonhousinglottery. To be entered in the December 14, 2022 lottery, forms must be received by the City Clerk at CityClerk@cityofvernon.org no later than November 30, 2022, 5:30 p.m. Contact the City Clerk at 323-583-8811, ext. 897. Additional information on City-owned housing units is available at www.cityofvernon.org. ________/s/___________ Lisa Pope, City Clerk Posted: November 14, 2022 Publish: November 17, 2022 4305 Santa Fe Avenue Vernon, CA 90058 (323) 583-8811 Vernon Housing Commission Agenda Item Report Submitted by: Daniel Wall Submitting Department: Public Works Meeting Date: December 14, 2022 SUBJECT Quarterly City Housing Report Recommendation: Receive and file the December 2022 Quarterly Housing Report. Background: Staff will present the Quarterly City Housing Report for the period from September 2022 through November 2022. The report highlights rent, occupancy, inspections, and repairs. In conjunction with the quarterly update, City staff will provide the Commission a summary of housing related inquiries. Fiscal Impact: There is no fiscal impact associated with this report. Attachments: 1. December 2022 Quarterly Housing Report Vernon Housing Commission December 14, 2022 Daniel Wall -Director of Public Works Quarterly Report Overview 2 1.Rent Register 2.Occupancy 3.Summary of Calls Received 4.Operations 5.Westside Project Update 6.Closing Public Works effectively manages City-owned housing and strives to provide outstanding service to its tenants. Rent Register ●Outstanding balance as of 12/08/2022, is $14,166.66 ○Total includes amount due for property damage and/or back owed rent. ○Except for rent outstanding for the month of December, tenants are already on payment plans for property damage and/or back owed rent. 3 Occupancy Block Properties Occupied Unoccupied Furlong 10 10 No Vacancies 50th 8 6 3384 50th* 3390 50th** Fruitland 6 5 3357 Fruitland* Vernon 2 1 3560 Vernon*** *Lottery 12/14/22 **Tenant transfer. Projected lottery in late January 2023 (Special VHC Meeting to be scheduled). ***Significant work required following eviction. Lottery projected for March 2023 VHC Meeting. Summary of Calls Received 5 Month Calls Received Types of Calls Avg. Days To CompleteRepairsQuestionsHousing Inquiries Other September 10 10 <1 day October 5 5 <1 day November 6 6 < 1 day Totals 21 21 < 1 day Operations ●All service request addressed ●DTSE Lead Abatement Vernon Units ●Opportunity to improve Vernon units landscaping/privacy ●Fall 2022 safety inspections 6 Westside Update -Evolution Process 12/1/22 + 5 years2023 + 10 years + 15 years #3 Guide 3rd Party Residential Development (Already Underway) #2 Seek Near-term Approval of Zoning #4 Utilize Vision as a action guide, inspiration and implementation guardrails. Z o n i n g C h a n g e s Zoning V i s i o n #1 Separate zoning from the vision Truck Route Walkable Santa Fe Ave Catalytic Sites Greenways Placemaking 2808 S Santa Fe 5592-5600 S Santa Fe Public Works: 1.Follows established VHC Policies and Procedures in management practices including filling vacancies via lottery 2.Actively inspects and maintains City-owned residential properties in accordance with best practices for landlords 3.Manages housing costs in a fiscally responsible manner within the budget approved by the City Council 4.Stays abreast of current issues impacting City-owned properties and tenants. 5.Engages tenants through proactive and legally compliant communications to inform of actions and invite feedback 6.Plans for the future of housing in Vernon. 8 In Closing... Vernon Housing Commission Agenda Item Report Submitted by: Sandra Dolson Submitting Department: City Clerk Meeting Date: December 14, 2022 SUBJECT Approval of Minutes Recommendation: Approve the September 14, 2022 Regular Vernon Housing Commission meeting minutes. Background: Staff has prepared and hereby submits the minutes for approval. Fiscal Impact: There is no fiscal impact associated with this report. Attachments: 1. 20220914 VHC Minutes MINUTES VERNON HOUSING COMMISSION REGULAR MEETING WEDNESDAY, SEPTEMBER 14, 2022 REMOTE LOCATION VIA ZOOM CALL TO ORDER Vice Chair Goff called the meeting to order at 6:00 p.m. FLAG SALUTE City Clerk Pope led the Flag Salute. ROLL CALL PRESENT: Juliet Goff, Vice Chair (via remote access) Ronit Edry, Commissioner (via remote access) Jorge Nevarez, Jr., Commissioner (via remote access) Steven Spanks, Commissioner (via remote access) Marlene Ybarra, Commissioner (via remote access) ABSENT: Steven Froberg, Commissioner Leticia Lopez, Commissioner STAFF PRESENT: Carlos Fandino. City Administrator (via remote access) Angela Kimmey, Deputy City Administrator (via remote access) Zaynah Moussa, City Attorney (via remote access) Lisa Pope, City Clerk (via remote access) Dan Wall, Public Works Director (via remote access) APPROVAL OF THE AGENDA MOTION Commissioner Nevarez moved and Commissioner Edry seconded a motion to approve the agenda. The question was called and the motion carried 5-0, Commissioners Froberg and Lopez absent. PUBLIC COMMENT None. Regular Vernon Housing Commission Meeting Minutes Page 2 of 3 September 14, 2022 PRESENTATIONS 1. Selection of Chair and Vice Chair City Clerk Pope presented the staff report. MOTION Commissioner Nevarez moved and Commissioner Spanks seconded a motion to select Juliet Goff to serve as Chair for the term ending June 30, 2023. The question was called and the motion carried 5-0, Commissioners Froberg and Lopez absent. MOTION Chair Goff moved and Commissioner Ybarra seconded a motion to select Jorge Nevarez, Jr. to serve as Vice Chair for the term ending June 30, 2023. The question was called and the motion carried 5-0, Commissioners Froberg and Lopez absent. 2. City Housing Quarterly Report Recommendation: Receive and file the September 2022 Quarterly Housing Report. Public Works Director Wall presented the item. CONSENT CALENDAR MOTION Vice Chair Nevarez moved and Commissioner Spanks seconded a motion to approve the Consent Calendar. The question was called and the motion carried 5- 0, Commissioners Froberg and Lopez absent. The Consent Calendar consisted of the following item: 3. Approval of Minutes Recommendation: Approve the June 29, 2022, Special Vernon Housing Commission meeting minutes. ORAL REPORTS Public Works Director Wall provided an update on graffiti abatement. City Administrator Fandino discussed the recent heatwave and encouraged reduced electrical use. He announced distribution of the Resident Newsletter; Helping Hands 2nd Anniversary event on September 19; Career Day on October 5; and Spooktacular on October 27, 2022. Regular Vernon Housing Commission Meeting Minutes Page 3 of 3 September 14, 2022 ADJOURNMENT With no further business, Chair Goff adjourned the meeting at 6:15 p.m. ________________________ JULIET GOFF, Chair ATTEST: _________________________ LISA POPE, City Clerk (seal) Vernon Housing Commission Agenda Item Report Submitted by: Daniel Wall Submitting Department: Public Works Meeting Date: December 14, 2022 SUBJECT City of Vernon Housing Unit Rental Rates Recommendation: In light of the exceptional increase in the cost of living, as reflected in the 7.6% increase in the Consumer Price Index for all urban consumers this year, staff requests guidance from the Vernon Housing Commission on whether to: a) increase month-to-month rental rates for City- owned residential units by 3% for calendar year 2023 in accordance with Resolution No. VHC- 8, or b) waive rental rate increases for calendar year 2023. Background: At its December 12, 2018 meeting, the Vernon Housing Commission adopted Resolution No. VHC-8 establishing a method for determining rents for City-owned residential units (Attachment 1). Rates for Occupied Units: For month-to-month rents, rental rate increases are informed by the annual percentage change in the Consumer Price Index for all urban consumers, not seasonally adjusted, all items index (CPI-U) for the Los Angeles – Long Beach – Anaheim area for the twelve-month period ending the August immediately prior to the rent adjustment (Attachment 2). The CPI-U for the twelve- month period ending August 2022 is 7.6%. Resolution No. VHC-8 limits rental rate increases to 3%. Staff is seeking direction from the VHC on any rental rate adjustments for existing month-to- month rents of City-owned residential units for calendar year 2023. Rates for Vacant Units: As noted in the agenda report dated December 12, 2018 (Attachment 3), initial rent to be charged on vacant units are set utilizing the Small Area Fair Market Rents (SAFMRs) established by the United States Department of Housing and Urban Development (HUD) based on Zip Code (Attachment 4). Provided for informational purposes, rental rates for vacant units in 2023 are: 1 bedroom - $1,450 2 bedroom - $1,840 3 bedroom - $2,430 Fiscal Impact: Based on the currently budgeted rental revenue, a 3% increase in rents could represent an annual revenue increase of up to $9,030. Attachments: 1. Resolution No. VHC-8 2. Consumer Price Index August 2022 3. VHC Agenda item Report on Establishment of Rental Rates 4. HUD FMR Rates FY 2023 Percent Change Percent Change Indexes 1 Month Indexes 1 Month ending ending Aug Jul Aug Jul Aug Aug Aug Jul Aug Jul Aug Aug 2021 2022 2022 2022 2022 2022 2021 2022 2022 2022 2022 2022 U. S. City Average..............................................................273.567 296.276 296.171 8.5 8.3 0.0 268.387 292.219 291.629 9.1 8.7 -0.2 West...........................................................................................290.393 313.951 314.013 8.3 8.1 0.0 283.286 307.269 307.003 8.7 8.4 -0.1 West – Size Class A1.................................................................298.574 322.703 322.401 8.3 8.0 -0.1 289.706 313.747 313.057 8.5 8.1 -0.2 West – Size Class B/C2.................................................................169.477 183.277 183.543 8.3 8.3 0.1 170.186 184.879 184.964 8.8 8.7 0.0 Mountain3…………………………………………………113.807 124.452 124.731 9.6 9.6 0.2 114.777 126.047 126.066 10.2 9.8 0.0 Pacific3………………………………………………………112.489 121.095 121.024 7.8 7.6 -0.1 113.370 122.454 122.304 8.2 7.9 -0.1 Los Angeles-Long Beach-Anaheim, CA………….………….291.333 313.415 313.608 7.7 7.6 0.1 282.691 304.441 304.137 7.9 7.6 -0.1 Percent Change Percent Change Indexes 2 Months Indexes 2 Months ending ending Jul May Jul May Jul Jul Jul May Jul May Jul Jul 2021 2022 2022 2022 2022 2022 2021 2022 2022 2022 2022 2022 Riverside-San Bernardino-Ontario, CA3…………………….114.682 123.893 125.262 9.4 9.2 1.1 115.129 124.853 126.084 9.8 9.5 1.0 San Diego-Carlsbad, CA.………...................................…………….323.906 343.502 347.462 8.3 7.3 1.2 307.737 327.997 331.914 9.2 7.9 1.2 Urban Hawaii…………………………………………………..298.820 317.207 319.197 7.0 6.8 0.6 296.723 314.884 318.257 6.9 7.3 1.1 Percent Change Percent Change Indexes 2 Months Indexes 2 Months ending ending Aug Jun Aug Jun Aug Aug Aug Jun Aug Jun Aug Aug 2021 2022 2022 2022 2022 2022 2021 2022 2022 2022 2022 2022 Phoenix-Mesa-Scottsdale, AZ4…………………………………………….153.931 172.643 173.952 12.3 13.0 0.8 153.035 172.827 173.148 13.1 13.1 0.2 San Francisco-Oakland-Hayward, CA...................................................311.167 330.539 328.871 6.8 5.7 -0.5 307.423 328.137 325.932 7.6 6.0 -0.7 Seattle-Tacoma-Bellevue, WA.............................................299.704 326.656 326.796 10.1 9.0 0.0 295.410 321.626 322.664 9.5 9.2 0.3 Urban Alaska.…………………………………………….239.899 268.916 258.149 12.4 7.6 -4.0 239.491 265.859 257.738 11.8 7.6 -3.1 NOTE: In January 2018, BLS introduced a new geographic area sample for the Consumer Price Index (CPI): www.bls.gov/regions/west/factsheet/2018cpirevisionwest.pdf 1967=100 base year indexes and tables with semiannual and annual average data are available at: www.bls.gov/regions/west/factsheet/consumer-price-index-data-tables.htm Release date September 13, 2022. The next release date is scheduled for October 13, 2022. For questions, please contact us at BLSinfoSF@bls.gov or (415) 625-2270. CONSUMER PRICE INDEXES PACIFIC CITIES AND U. S. CITY AVERAGE August 2022 (All items indexes. 1982-84=100 unless otherwise noted. Not seasonally adjusted.) ending Urban Wage Earners and Clerical Workers (CPI-W)All Urban Consumers (CPI-U) Year Year ending ending Year ending Year Year 1 Population over 2,500,000 2 Population 2,500,000 and under, Dec 1996 = 100 3 Dec 2017=100 4 Dec 2001=100 MONTHLY DATA BI-MONTHLY DATA (Published for odd months) BI-MONTHLY DATA (Published for even months) ending ending Year Vernon Housing Commission Agenda Item Report Agenda Item No. COV-334-2018 Submitted by: Daniel Wall Submitting Department: Public Works Meeting Date: December 12, 2018 SUBJECT A Resolution of the Vernon Housing Commission Establishing Rental Rates Recommendation: A. Find that the proposed action is exempt under the California Environmental Quality Act (“CEQA”) review because it is a continuing administrative activity that will not result in any direct or indirect changes in the environment and therefore does not constitute a “project” as defined by CEQA Guidelines section 15378; and B. Continue a Public Hearing; and C. Adopt a revised resolution (modified at Special Vernon Housing Commission Meeting held on November 7, 2018) establishing rental rates, specifically to accomplish the following: 1. Establish annual rent adjustments for occupied units, and; 2. Establish a method for determining rents for vacant units. Background: Annual Rent Adjustments The Vernon Rental Housing Policy (VRHP), adopted by the Vernon Housing Commission on October 5, 2011, pursuant to Ordinance 1183 and approved by the Vernon City Council on October 18, 2011, requires that all rents charged by the City of Vernon be “market” rents as determined by independent sources, while avoiding undue hardship on existing tenants. While rents have been increased since the adoption of the VRHP they have not been increased in a regular systematic manner in order to stay current with market rents. This resolution automatically adjusts month-to-month rents, up or down, on January 1 of each year based on the annual percentage change in the Consumer Price Index (CPI) for all urban consumers, not seasonally adjusted, all items index (CPI-U) for the Los Angeles – Long Beach – Anaheim area, for the twelve month period ending the August immediately prior to the rent adjustment. Existing leases being renewed during the calendar year would be similarly adjusted at the time of renewal. To ensure that these automatic rent adjustments do not create an undue hardship on existing tenants the maximum increase in any year would be limited to three percent (3%), without regard to any higher increase that may be justified by the increase in the CPI. There is no limit on the maximum decrease in rent. Vacant Unit Rent The United States Department of Housing and Urban Development (HUD) establishes Small Area Fair Market Rents (SAFMRs) within metropolitan areas by ZIP code. HUD uses SAFMRs to determine rent standards for its Section 8 voucher program. SAFMRs are set at the 40th percentile for rents within an area. SAFMRs are calculated for efficiency, one-bedroom, two-bedroom, three-bedroom and four-bedroom units. SAFMRs are published in advance of each federal fiscal year. To ensure that new tenants are charged fair market rents, this resolution requires the use of HUD’s SAFMRs in effect for the Vernon (90058) Zip Code at the time of tenant move-in to establish the initial rent. Remodeled Units The resolution provides that a unit temporarily vacated by an existing tenant for purposes of a remodel will not constitute a “vacant unit”, and rent for the existing tenant will not be increased based on that vacancy. Table 1. - FY2019 Small Area Fair Market Rent contains Federal Fiscal Year 2019 SAFMRs for Vernon and the surrounding areas, and Table 2. – Furlong Rent Comparison contains a comparison of the HUD SAFMRs, CGA’s market rent appraisal, and the highest current rents on Furlong. Fiscal Impact: The adoption of this resolution will, over a period of years, bring the current rental rates for City-owned housing up to market rents. Existing rents are estimated to be between 50% and 100% lower than market rents. Attachments: 1. Table 1 and 2 Rent 2. VHC Resolution - Establishing Rental Rates 3. CGA appraisal 4. Notice of Public Hearing 11 07 18 5. Letter to residents re: Public Hearing Table 1. - FY 2019 Small Area Fair Market Rent Los Angeles County, CA HUD Small Area FMRs By Unit Bedrooms ZIP Code City Efficiency One- Bedroom Two- Bedroom Three- Bedroom Four- Bedroom 90011 Los Angeles $970 $1,160 $1,500 $2,010 $2,230 90023 Commerce $970 $1,160 $1,500 $2,010 $2,230 90040 Commerce $970 $1,160 $1,500 $2,010 $2,230 90058 Vernon $970 $1,160 $1,500 $2,010 $2,230 90255 Huntington Park $1,000 $1,200 $1,550 $2,080 $2,290 90270 Bell Gardens/Maywood $1,020 $1,210 $1,570 $2,100 $2,320 Table 2. – Furlong Rent Comparison Source Two-Bedroom Three-Bedroom Highest current rent $1,011 $1,089 HUD Small Area FMR FY 2019 $1,500 $2,010 GCA Appraisal $2,088 $2,367 RESOLUTION NO. VHC- A RESOLUTION OF THE VERNON HOUSING COMMISSION OF THE CITY OF VERNON ESTABLISHING RENTAL RATES WHEREAS, on June 7, 2011, the City Council of the City of Vernon adopted Ordinance No. 1183 establishing the Vernon Housing Commission (the “Commission); and WHEREAS, on October 5, 2011, the Commission adopted Resolution No. VHC-5 adopting the Vernon Rental Housing Policy (“VRHP”), pursuant to Article XVII, Section 2.125(b) of the Vernon Municipal Code; and WHEREAS, on October 18, 2011, the City Council of the City of Vernon adopted Resolution No. 2011-175 approving the VRHP; and WHEREAS, the VHRP requires that all rents charged by the City of Vernon be “market” rents as determined by independent sources, while avoiding undue hardship on existing tenants; and WHEREAS, pursuant to Article XVII, Section 2.125 of the Vernon Municipal Code the Commission desires, by resolution, to establish rental rates. NOW, THEREFORE, BE IT RESOLVED BY THE VERNON HOUSING COMMISSION OF THE CITY OF VERNON AS FOLLOWS: SECTION 1:The Vernon Housing Commission of the City of Vernon hereby finds and determines that the above recitals are true and correct. SECTION 2:The Vernon Housing Commission of the City of Vernon finds that this action is exempt from California Environmental Quality Act (CEQA) review because it is an administrative activity that will not result in any direct or indirect changes in the environment and is therefore not a “project” as defined by CEQA Guidelines section -2 - 15378. SECTION 3:The Vernon Housing Commission of the City of Vernon hereby establishes that beginning January 1, 2020, the adjustment of month-to-month rents based on the annual percentage change in the Consumer Price Index (CPI) for all urban consumers, not seasonally adjusted, all items index (CPI-U) for the Los Angeles – Long Beach – Anaheim area, for the twelve month period ending the August immediately prior to the rent adjustment will take effect on January 1 of each year. Existing leases being renewed during the calendar year would be similarly adjusted at the time of renewal. To ensure that these automatic rent adjustments do not create an undue hardship on existing tenants the maximum rate of increase in any year would be limited to a three percent (3%) increase, without regard to any higher increase that may be justified by the increase in the CPI. These adjustments to rent for 2019 will take effect on March 1, 2019. SECTION 4:The Vernon Housing Commission of the City of Vernon hereby establishes that rents for vacant units shall be set at the current rate published by the United States Department of Housing and Urban Development (HUD) for Small Area Fair Market Rents for the City of Vernon at the time of tenant move-in to establish the initial rent. For purposes of this Section 4, a unit temporarily vacated by an existing tenant for purposes of a remodel shall not constitute a “vacant unit”. / / / / / / / / / / / / / / / -3 - SECTION 5: The Secretary of the Commission shall certify to the passage, approval and adoption of this Resolution, and the Secretary shall cause this Resolution and the Secretary’s certification to be entered in the File of Resolutions of the Commission. APPROVED AND ADOPTED this 12th day of December, 2018. Name: Title: Chairman / Vice Chairman ATTEST: Maria E. Ayala, Secretary APPROVED AS TO FORM: Zaynah Moussa, Senior Deputy City Attorney -4 - STATE OF CALIFORNIA ) ) ss COUNTY OF LOS ANGELES ) I, Maria E. Ayala, Secretary of the Vernon Housing Commission of the City of Vernon, do hereby certify that the foregoing Resolution, being Resolution No. VHC- , was duly passed, approved and adopted by the Vernon Housing Commission of the City of Vernon at a regular meeting of the Commission duly held on Wednesday, December 12, 2018, and thereafter was duly signed by the Chair or Vice Chair of the Vernon Housing Commission of the City of Vernon. Executed this day of December, 2018, at Vernon, California. Maria E. Ayala, Secretary (SEAL) 18017000, RCS Vernon Properties 1 September 6, 2018 Anthony Zarate City of Vernon 4305 Santa Fe Ave. Vernon, CA 90058 Dear Mr. Zarate, At your request, I completed my analysis of the monthly rental rates for the following residential properties: Type Street Location City Location 2 Bedroom House 4325 Furlong Pl. Vernon 3 Bedroom House 4321 Furlong Pl. Vernon Regardless of who pays for the attached market rental report, it has been prepared for our client: the City of Vernon. As specified by the client, the purpose of the appraisal is to estimate a current fair market rental rate for the above mentioned properties. The client intends to use this report in negotiating a rental rate for the tenants at these locations. The attached Rental Report has been prepared in accordance with the reporting requirements of the Uniform Standards of Professional Appraisal Practice (USPAP). This Rental Report may not be used or relied upon by anyone other than the above-mentioned client for any purpose whatsoever, without the express written consent of the appraiser. If the client provides anyone else with a copy of 18017000, RCS Vernon Properties 2 this report, such as a borrower, etc., that person(s) may not be entitled to rely upon its contents when making any decisions about the property. As such the following limiting condition applies: Neither all nor any part of the contents of this report shall be conveyed to any person or entity, other than the appraiser's or firm's client, through advertising, solicitation materials, public relations, new, sales, or other media without the written consent and appeal of the author, particularly as to valuation conclusions, the identity of the appraiser or firm with which the appraiser is connected, or any reference to the Appraisal Institute or the MAI, SRA designation. Furthermore, the appraiser or firm assumes no obligation, liability, or accountability to any third party. If this report is placed in the hands of any one, but the client, the client shall make such party(s) aware of all the assumptions and limiting conditions of the assignment. Should you have any questions regarding the analysis or conclusions found in the attached report, please contact me. Sincerely, Hee K. Yi Certified General Appraiser AG 035644 Expires 11/16/2018 18017000, RCS Vernon Properties 3 Table of Contents Table of Contents.............................................. 3 Client......................................................... 4 Appraiser...................................................... 4 Effective Date of the Assignment............................... 4 Date of Report................................................. 4 Competency Provision........................................... 4 Confidentiality................................................ 4 Fair Rental Report............................................. 4 Intended User.................................................. 5 Intended Use................................................... 5 Real Estate Locations.......................................... 5 Overview of the Assignment..................................... 5 Scope of the Assignment........................................ 5 Definition of Market Rent...................................... 6 Neighborhood Description....................................... 7 Zoning......................................................... 8 Property Descriptions.......................................... 8 Rental Analysis................................................ 9 Addendum...................................................... 14 Certification ............................................... 15 Assumptions and Limiting Conditions ......................... 17 Qualifications .............................................. 20 Subject Photographs ......................................... 23 Rental Photographs .......................................... 27 18017000, RCS Vernon Properties 4 Client The City of Vernon 4305 Santa Fe Ave. Vernon, California 90058 Appraiser Hee K. Yi Gold Coast Appraisals Inc. 10016 Pioneer Blvd., Suite 110 Santa Fe Springs, California 90670 Effective Date of the Assignment The effective date of this assignment is September 1, 2018. The buildings were inspected on September 1, 2018. The appraiser made exterior inspections of the properties. Both properties were viewed from the street. Date of Report Hee K. Yi wrote this report September 6, 2018. Competency Provision Hee K. Yi has the necessary educational background and field experience to perform this assignment; her qualifications are found in the addenda. She is a California Certified General Appraiser (AG035644). Confidentiality The appraiser must be aware of, and comply with, all confidentiality and privacy laws and regulations applicable in an assignment. Disclosure of confidential information is permissible to professional peer review committees, except when such disclosure to a committee would violate applicable law or regulation. Confidential Information means information that is either identified by the client as confidential when providing it to an appraiser and that is not available from any other source; or classified as confidential or private by applicable law or regulation. Fair Rental Report This Rental Report complies with the reporting requirements set forth under Uniform Standards of Professional Appraisal Practice (USPAP) as well as those promulgated by the Appraisal Institute. 18017000, RCS Vernon Properties 5 As such, it presents a summary of the data, reasoning, and analyses that were used in the appraisal process to develop an opinion of a current monthly rental rate. Intended User The City of Vernon is the intended user of this report. Intended Use The City of Vernon intends to use this report in negotiating a monthly rental rate for the houses that are owned by the City of Vernon. Real Estate Locations Type Street Location City Location 2 Bedroom House 4325 Furlong Pl. Vernon 3 Bedroom House 4321 Furlong Pl. Vernon Overview of the Assignment Because nearly every house is owned by the City of Vernon, there are no rental properties within the City boundaries that can be surveyed to ascertain a market rental rate. City employees that need to be housed in proximity to their work location can opt to obtain housing in the cities and communities that are adjacent to Vernon. Huntington Park, South Gate, Maywood, East Los Angeles, Los Angeles, Bell, Lynwood, and City of Commerce have housing stock that is similar to the Vernon located houses. Therefore, the surveys of rental units in these communities are used in this analysis. Scope of the Assignment The appraiser performed the following tasks in order to ascertain the current market monthly rental rate as of September 1, 2018. The client provided the scope of work about the remodeling of the properties. Gold Coast Appraisals conducted the prior rental surveys as of November 17, 2011, August 25, 2015, and January 19, 2016. The staff of Gold Coast Appraisals inspected the interior and exterior of the properties on November 17, 2011 and August 25, 2015, thus the interior information of the properties was obtained from the prior rental survey reports of Gold Coast Appraisals. 18017000, RCS Vernon Properties 6 For the assignment the appraiser: • Viewed the exterior of all the rental properties; • Viewed all of the properties from the public thoroughfares; • Reviewed the descriptions of City owned residential properties; • Utilized internet rental sites and multiple listing leasing information to obtain rental rates; • Selected leased or for lease properties that have physical characteristics that are similar to the subject properties; • Conducted an exterior inspection of each rent comparable; • Reviewed all the pertinent information available for each rental; • Contacted owners and leasing agents to verify physical characteristics of the rentals; • Analyzed the data making adjustments for the superior or inferior characteristics that impact rental rates; • Made positive or negative adjustments for those characteristics that impact rents; • Reconciled the adjusted rents and reached a final rent conclusion for each location; Definition of Market Rent The most probable rent which a property will bring in a competitive and open market under all conditions requisite to a fair rent, the owner and tenant, each acting prudently, knowledgeably and assuming the rental rate is not affected by undue stimulus whereby: Owner and tenant are typically motivated; Both parties are well informed or well advised, and acting in what they consider their own best interest; A reasonable time is allowed for exposure in the open market; Payment is made in terms of cash U.S. dollars or in terms of financial arrangements comparable thereto. 18017000, RCS Vernon Properties 7 Neighborhood Description City of Vernon Locations Industrial and commercial properties dominate the property uses found in Vernon. Over the past several years most of the older structures have been replaced with modern concrete tilt-up buildings designed for light and heavy manufacturing. Many cold storage facilities have relocated to Vernon from the Central Business District of Los Angeles. Many of the industrial uses have access to rail road spur lines that are just a short distance from the main freight carrying rail lines. Vernon’s residential properties consist of 18 single family homes and one apartment building all of which are owned by the City and occupied by City employees. These properties are located adjacent to City owned facilities and are surrounded by privately owned industrial uses. 18017000, RCS Vernon Properties 8 Because Vernon lacks the infrastructure to service local residents, they must utilize facilities found in the surrounding Cities of Maywood, East Los Angeles, Huntington Park, Bell and City of Commerce. Access to these adjacent cities is via Atlantic Blvd., Slauson Ave., Bandini Blvd., Soto St., Alameda St., Santa Fe Ave. and Washington Blvd. Vernon is also conveniently located to the Long Beach and Santa Ana freeways which provide residents and businesses access not only to the surrounding communities but to the Central Business District of Los Angeles and the Ports of Los Angeles and Long Beach. Zoning The properties that reside in the City of Vernon are zoned for manufacturing uses. Property Descriptions Furlong Place Houses 4321 and 4325 Furlong Pl. are houses that were built in 1941 in the City of Vernon. These houses reside on a small cul-de-sac street that is adjacent to a City owned facility. These two houses are currently remodeled. Each house has window treatments, hardwood and tile flooring. The kitchens are equipped with wood cabinets, granite counter tops, a refrigerator, stove, garbage disposal, microwave, and washer/dryer. The bathrooms have a tub with an overhead shower, vanity, and tile wainscoting surrounding the tub. Each unit has central heating, air conditioning and hot water tanks. The houses are equipped with a laundry room. The houses have access to individual storage spaces that are located in their fenced rear yards. Each house has an assigned street parking stall and one covered space in the adjacent city parking garage. The tenants pay for all utilities and trash pick-up. The appraiser assumed that all of the properties were in rent ready condition and that they did not suffer from any major deferred maintenance or any significant code violations. 18017000, RCS Vernon Properties 9 Rental Analysis 4321 Furlong Pl. (3 bedroom house) Subject 4321 Furlong Pl.Data 3bed 1 bath house on Vernon SubjectA. Rents Charged Data $ Adj Rent $1,975 $2,325 $2,550 $2,645 Rent Concessions None None None None Effective Rent & Rent/ Sq. Ft.$1,975 1.62 $2,325 2.54 $2,550 2.15 $2,645 1.52 B. Design, Location, Condition Data $ Adj Data $ Adj Data $ Adj Data $ Adj Year Built 1960 1975 1926 1952 1923 Condition Excellent Average $100 Excellent Excellent Excellent Proximity to Adversity Y N ($100)N ($100)N ($100)N ($100) Location C. Unit Equipment/ Amenities Data $ Adj # Bedrooms 3 3 3 3 3 # Baths 1 2 ($60)1 2 ($60)2 ($60) Unit Interior Sq. Ft.1258 1222 $14 916 $133 1188 $27 1244 $5 AC: Central/ Wall Central C N $10 C N $10 Range/ refrigerator Y/Y N/N $85 Y/N $48 Y/N $48 Y/N $48 Microwave/ Dishwasher Y/N N/N $12 N/N $12 N/Y ($20)N/N $12 Washer/Dryer Y/Y N/N $35 N/N $35 N/N $35 N/N $35 Fireplace N N N Y ($5)N D Site Equipment/ Amenities Data $ Adj Parking Open 2 car gar ($50)2 car gar ($50)2 car gar ($50)2 car gar ($50) Extra Storage Y N $25 Y N $25 N $25 Security N N N N N Clubhouse/ Meeting Rooms N N N N N Pool/ Recreation Areas N N N N N E.Utilities Data $ Adj Tenant Paid Heat Y Y Y Y Y Tenant Paid Cooling Y Y Y Y Y Tenant Paid Cooking Y Y Y Y Y Tenant Paid Hot Water Y Y Y Y Y Tenant Paid Electric Y Y Y Y Y Tenant Paid Water/Sewer Y Y Y Y Y Tenat Paid Trash Y Y Y Y Y F. Adjustments Recap Pos Neg Pos Neg Pos Neg Pos Neg # Adjustments B to D 6 3 5 2 4 5 6 3 Sum Adjustments B to D $271 ($210)$238 ($150)$135 ($235)$135 ($210) Sum Utility Adjustments Net Gross Net Gross Net Gross Net Gross Net/ Gross Adjmts B to E $61 $481 $88 $388 ($100)$370 ($75)$345 G.Adjusted & Market Rents Adj. Rent Adj. Rent Adj. Rent Adj. Rent Adjusted Rent $2,036 $2,413 $2,450 $2,570 Adj Rent/Last rent 103%104%96%100% Estimated Market Rent $2,367 $1.88 Estimated Market Rent/ Sq. Ft 10251 Virginia South Gate Rental 4Rental 1 Rental 3Rental 2 Huntinton Park 114 E. 85th St. Los Angeles Whittier 2506 Cole Pl.7819 Glengarry Ave. 18017000, RCS Vernon Properties 10 4325 Furlong Pl. (2 bedroom house) Subject 4325 Furlong Pl.Data 2bed1bath house on Vernon Subject A. Rents Charged Data $ Adj Data $ Adj Data $ Adj Data $ Adj Rent $1,800 $1,895 $2,095 $2,100 Rent Concessions None None None None Effective Rent & Rent/ Sq. Ft.$1,800 1.55 $1,895 2.63 $2,095 2.91 $2,100 2.43 B. Design, Location, Condition Data $ Adj Data $ Adj Data $ Adj Data $ Adj Year Built 1941 1926 1945 1963 1941 Condition /Street Appeal Excellent Average $100 Average $100 Excellent Average $100 Proxmity to Adversity Y N ($100)N ($100)N ($100)N ($100) Location C. Unit Equipment/ Amenities # Bedrooms 2 2 2 2 2 # Baths 1 1 1 1 1 Unit Interior Sq. Ft.1079 1160 ($36)720 $140 720 $140 864 $83 AC: Central/ Wall Central N $10 N $10 Wall ($5)N $10 Range/ refrigerator Y/Y N/N $85 N/N $85 N/N $85 N/N $85 Microwave/ Dishwasher Y/N N/N $12 Y/N N/N $12 N/N $12 Washer/Dryer Y/Y N/N $35 N/N $35 N/N $35 Y./Y Fireplace N N N N N D Site Equipment/ Amenities Parking Open 1car gar ($25)1 car gar ($25)1 car gar ($25)1 car gar ($25) Extra Storage Y N $25 N $25 N $25 N $25 Security N N N N N Clubhouse/ Meeting Rooms N N N N N Pool/ Recreation Areas N N N N N E.Utilities Tenant Paid Heat Y Y Y Y Y Tenant Paid Cooling Y Y Y Y Y Tenant Paid Cooking Y Y Y Y Y Tenant Paid Hot Water Y Y Y Y Y Tenant Paid Electric Y Y Y Y Y Tenant Paid Water/Sewer Y N ($63)N ($63)Y N ($63) Tenant Paid Trash Y N ($27)N ($27)Y N ($27) F. Adjustments Recap Pos Neg Pos Neg Pos Neg Pos Neg # Adjustments B to D 6 3 6 2 5 3 6 2 Sum Adjustments B to D $267 ($161)$395 ($125)$297 ($130)$315 ($125) Sum Utility Adjustments ($90)($90)($90) Net Gross Net Gross Net Gross Net Gross Net/ Gross Adjmts B to E $16 $518 $180 $610 $167 $427 $100 $530 G.Adjusted & Market Rents Adj. Rent Adj. Rent Adj. Rent Adj. Rent Adjusted Rent $1,816 $2,075 $2,262 $2,200 Adj Rent/Last rent 101%109%108%105% Estimated Market Rent $2,088 $1.94 Estimated Market Rent/ Sq. Ft Rental 1 Rental 2 Rental 3 1226 S. La Verne 2434 E. 124th St.11109 California Ave.641 S. Duncan Ave. Rental 4 Los AngelesLos Angeles LA County Lynwood 18017000, RCS Vernon Properties 11 Explanation of Adjustments Remodeling Adjustment The following is an example of the difference between rental rates before and after remodeling. Based on our research, living size does not significantly impact the difference of rental rates after remodeling but rather it is a total dollar difference. The information is derived from the website of MLS and Rent.com. Street Address City Bed/Bath Living Size(SF)Remodeled Rent Difference 16040 Leffingwell Rd. #18 Whittier 2bed/2bath 960 Yes $1,700 16040 Leffingwell Rd. #22 Whittier 2bed/2bath 960 No $1,575 13801 Paramount Blvd.Paramount 1bed/1bath 769 Yes $1,618 13802 Paramount Blvd.Paramount 1bed/1bath 769 No $1,523 7300 Florence Ave.Downey 1bed/1bath 530 Yes $1,350 7300 Florence Ave.Downey 1bed/1bath 530 No $1,250 $125 $95 $100 As shown above, the difference of rental rates after remodeling is $95 to $125. A $100 adjustment to rent is appropriate when comparing non remodeled units to remodeled units. Adjustments of Kitchen Appliances Based on the website (rentafridge.com), the rental rate per month for refrigerators which have a similar price of the refrigerator which is provided by the City of Vernon is $48. Since there is not enough data for rental rates of other appliances, the concluded adjustments of range and microwave are derived from the rental rate of refrigerator based on their prices, which are provided by the client. Refrigerator Range Microwave Price 1,900$ 1,275$ 350$ Adjustment 48$ 37$ 12$ According to the website, the rental rate of a side by side washer and dryer is $35. Therefore, the adjustment of $35 is applied for washer/dryer. Utility Adjustment The adjustments of Utilities are based on the Los Angeles Housing Authority Utility Allowances grid. Proximity to Adversity (favorable & unfavorable) The subject units have unfavorable features because they are located adjacent to industrial buildings which have noise and 18017000, RCS Vernon Properties 12 odor issues, and their distance to parks and schools. These features make the subject inferior to the comparables in location. The following are some examples of different rental rates with favorable and unfavorable features. The radius was expanded to Los Angeles County to find samples of the differences. The information is obtained from office managers and MLS. Example 1 These two units are located within same apartment complex and address is 9050 E. Carron Dr., Pico Rivera. Features Bed/Bath Sq.ft. Rental Difference Favorable 1bed/1bath 581 $1,537 $100 Unfavorable 1bed/1bath 581 $1,637 Example 2 These two units are located within same apartment complex and address is 6141 Orange Ave., Cypress. Features Bed/Bath Sq.ft. Rental Difference Favorable 2bed/1bath 858 $1,885 $100 Unfavorable 2bed/1bath 858 $1,785 The adjustment of $100 is applied. Adjustment of Sq.Ft. The following are some examples of the difference of rental rate per square feet. It is obtained from the website of Rent.com Example 1 Location: Same apartment complex in Downey Bed/Bath Sq.ft. Rental Difference 0/1bath 1,731 $2,195 $0.35 per sq.ft. 0/1bath 974 $1,925 Example 2 Location: Same apartment complex in Pico Rivera Bed/Bath Sq.ft. Rental Difference 1/1 758 $1,477 $0.39 per sq.ft. 1/1 581 $1,407 Example 3 Location: Same apartment complex in Los Angeles Bed/Bath Sq.ft. Rental Difference 0/1 670 $1,915 $0.44 per sq.ft. 0/1 343 $1,770 18017000, RCS Vernon Properties 13 The adjustment of $0.39 per sq.ft. is applied. Adjustment of Bath The data is obtained from the website of MLS. Example 1 Range of Living Size: 900 to 1,300 sq.ft. Location: Whittier Bed/Bath Average Rental Rate Difference 2bed/2bath $2,413 $55 2bed/1bath $2,358 Example 2 Range of Living Size: 1,400 to 1.600 sq.ft. Location: Long Beach Bed/Bath Average Rental Rate Difference 2bed/2bath $1,528 $64 2bed/1bath $1,464 The adjustment of $60 is applied to the comparables which have an additional bath. If you have any questions regarding this analysis please contact me. Sincerely, Hee K. Yi Certified General Appraiser AG 035644 Expires 11/16/2018 18017000, RCS Vernon Properties 14 Addendum 18017000, RCS Vernon Properties 15 Certification 18017000, RCS Vernon Properties 16 Certification I, certify that to the best of my knowledge and belief: 1. The statements of fact contained in this report are true and correct. 2. The reported analyses, opinions, and conclusions are limited only by the reported assumptions and limiting conditions, and is my personal, impartial, and unbiased professional analyses, opinions and conclusions. 3. I have no present or prospective interest in the property that is the subject of this report, and no personal interest with respect to the parties involved. 4. I have no bias with respect to the property that is the subject of this report or to the parties involved with this assignment. 5. My engagement in this assignment was not contingent upon developing or reporting predetermined results. 6. My compensation for completing this assignment is not contingent upon the development or reporting of a predetermined value or direction in value that favors the cause of the client, the amount of the value opinion and the attainment of a stipulated result, or the occurrence of a subsequent event directly related to the intended use of this appraisal. 7. My analysis, opinions, and conclusions were developed, and this report has been prepared, in conformity with the Uniform Standards of Professional Practice. 8. I made an exterior inspection of the property that is the subject of this report. 9. No one else provided professional assistance to the person signing this report. 10. I am competent to complete this report in accordance with the competency provision of USPAP. Hee K. Yi Certified General Appraiser AG 035644 Expires 11/16/2018 18017000, RCS Vernon Properties 17 Assumptions and Limiting Conditions 18017000, RCS Vernon Properties 18 ASSUMPTIONS AND LIMITING CONDITIONS 1. As agreed upon with the client prior to the preparation of this appraisal, this is a Narrative Report. 2. This is a Summary Narrative Report, which is intended to comply with the reporting requirements set forth under Standard Rule 2- 2(a) of the Uniform Standards of Professional Appraisal Practice for a Summary Appraisal Report. The information contained in this report is specific to the needs of the client and for the intended use stated in this report. The appraiser is not responsible for unauthorized use of this report. 3. No responsibility is assumed for legal or title considerations. Title to the property is assumed to be good and marketable unless otherwise stated in this report. 4. The property is appraised free and clear of any or all liens and encumbrances unless otherwise stated in this report. 5. Responsible ownership and competent property management are assumed unless otherwise stated in this report. 6. The information furnished by others is believed to be reliable. However, no warranty is given for its accuracy. 7. All engineering is assumed to be correct. Any plot plans and illustrative material in this report are included only to assist the reader in visualizing the property. 8. It is assumed that there are no hidden or unapparent conditions of the property, subsoil, or structures that render it more or less valuable. No responsibility is assumed for such conditions or for arranging for engineering studies that may be required to discover them. 9. It is assumed that there is full compliance with all applicable federal, state, and local environmental regulations and laws unless otherwise stated in this report. 10. It is assumed that all applicable zoning and use regulations and restrictions have been complied with, unless non-conformity has been stated, defined, and considered in this appraisal report. 18017000, RCS Vernon Properties 19 11. Any sketch in this report may show approximate dimensions and is included to assist the reader in visualizing the property. Maps and exhibits found in this report are provided for reader reference purposes only. No guarantee as to accuracy is expressed or implied unless otherwise stated in this report. No survey has been made for the purpose of this report. 12. It is assumed that the utilization of the land and interim use improvements are within the boundaries or property lines of the property described and that there is no encroachment or trespass unless otherwise stated in this report. 13. The appraiser is not qualified to detect hazardous waste and/or toxic materials. Any comment by the appraiser that might suggest the possibility of the presence of hazardous waste and/or toxic materials would require investigation by a qualified expert in the field of environmental assessment. The presence of substances such as asbestos, urea-formaldehyde foam insulation or other potentially hazardous materials may affect the value of the property. The appraiser's value estimate is predicated on the assumption that there is no such material on or in the property that would cause a loss in value unless otherwise stated in this report. No responsibility is assumed for any environmental conditions or for any expertise or engineering knowledge required to discover them. The appraiser's descriptions and resulting comments are the result of the routine observations made during the appraisal process. 14. The distribution, if any, of the total valuation in this report between land and improvements applies only under the stated program of utilization. The separate allocations for land and buildings must not be used in conjunction with any other appraisal and are invalid if so used. 15. Possession of this report, or a copy thereof, does not carry with it the right of publication. It may not be used for any purpose by any person other than the party to whom it is addressed without the written consent of the appraiser, and in any event, only with proper written qualification and only in its entirety. 16. Neither all nor any part of the contents of this report (especially any conclusions, the identity of the appraiser, or the firm with which the appraiser is connected) shall be disseminated to the public through advertising, public relations, news sales, or other media without prior written consent and approval of the appraiser. 18017000, RCS Vernon Properties 20 Qualifications 18017000, RCS Vernon Properties 21 Hee (Kim) Yi 10016 Pioneer Blvd. Suite 110 Santa Fe Springs, CA 90670 (562) 651-10988 or FAX (562) 651-1068 E-mail corporate@goldcoastappraisals.com Qualifications 13 years experience in residential and commercial real estate appraisal industry in the Southern California region; consultation, rental survey and analysis, feasibility studies, desk review and report writing. Assesses properties and all real estate value types for purchase and refinance lending purposes as well as claims, tax re-assessments, liquidation and foreclosure, probate cases, new constructions, and renovations. Possesses intricate experiences and knowledge of Asian-American Community and its banking and lending industries in the Southern California region. Fluent in Korean language and culture. Key Achievements Appraised large hotels and motels in the following cities: Pasadena, Escondido, Cathedral City Bakersfield and various small motels in the cities of Los Angeles and Long Beach. Appraised an industrial land in Riverside with Eminent Domain Issues. Valued Commercial land for the city of Long Beach. Analyzed and appraised special use purpose (church) and office/retail mixed uses in Los Angeles County. Appraised small and large multi-family properties in Los Angeles, Orange, Riverside and San Bernardino Counties. Performed valuations for property settlement in divorce proceedings. Appraised mixed use residential/homeless shelter and multi-family residential properties for Los Angeles Family Housing Completed fair rental valuations for tenants’ rights attorneys. Completed Fair Market Rental reports for HUD, Cities, and private parties. Mixed use properties (office/homeless shelter) for Los Angeles Family Housing Appraised foreclosure and problem loan properties. Appraised all types of properties for Federal Estate Tax Returns. 18017000, RCS Vernon Properties 22 Appraised over 20 medical buildings of Alta Med Health Services Corp. in Los Angeles County and Orange County. Low income housing for Restore Neighborhood Rehabilitation (City of Los Angeles). Low income housing for City of Santa Ana. Appraised residential properties for the city of Santa Fe Springs Appraised multi-family and commercial properties for the asset valuation of city of Los Angeles Performed rent comparability studies for Pico Union Housing, City of Vernon, and Metropolitan State Hospital Professional Experience Gold Coast Appraisals, Inc. 2005 to Present California Probate Referee Until 6/30/2019 JM United Appraisals Inc. 2004 - 2005 Areas of Special Competence ♦ Industrial Land ♦ Single Family House ♦ Offices ♦ Commercial Land ♦ Multi-Family (1-4) ♦Single Tenant Industrial ♦ Residential Land ♦ Multi-Family (5-100) ♦Multi-Tenant Industrial ♦ Industrial Construction ♦ Cooperatives ♦ Shopping Centers ♦ Commercial Construction ♦ Condominiums ♦Auto Service Centers ♦ Residential Construction ♦ Residential Tracts ♦ Hospitals ♦ Apartment Construction ♦Condominium Tracts ♦ Special Purpose Properties ♦ Residential Reviewer ♦ Partial Reconveyances ♦Low Income Housing Education College Degree BA Kyung Hee University, Seoul Korea License Certified General Real Estate Appraiser, License #AG035644, Expires 11/16/2020 Verification Call: OREA (916) 322-2500 California Probate Referee (Orange County) 18017000, RCS Vernon Properties 23 Subject Photographs 18017000, RCS Vernon Properties 24 4321 Furlong Place, Vernon 18017000, RCS Vernon Properties 25 4325 Furlong Place, Vernon 18017000, RCS Vernon Properties 26 Furlong Place, Vernon, street scene 18017000, RCS Vernon Properties 27 Rental Photographs 18017000, RCS Vernon Properties 28 2506 Cole Pl, Huntington Park 114 E. 85th St, Los Angeles 18017000, RCS Vernon Properties 29 7819 Glengarry Ave, Whittier 10251 Virginia Ave, South Gate 18017000, RCS Vernon Properties 30 1226 S. La Verne Ave, Los Angeles 2434 E. 124th St, Compton 18017000, RCS Vernon Properties 31 11109 California Ave, Lynwood 641 S. Duncan Ave, Los Angeles 4305 Santa Fe Avenue Vemon, CA 90058 (323) 583-8811 NOTICE OFPTJBLIC HEARING REGARDING PROPOSED MARKET RENTAL RATES FOR ALL HOUSING T]NITS OWNED BY TIIE CITY OF VERNON The Vemon Housing Commission will conduct a Public Hearing, which you may attend. PLACE:Vemon City Hall City Council Chambers 4305 Santa Fe Avenue Vemon, CA 90058 November 7, 2{ll$ at 6300 p.rn. (or as soon thereafter as the maner can be heard) Consider the adoption of a resolution establishing rental rates. Notice is hereby given that a hard copy ofthe proposed resolution will be available for public review during normal business hours in the City Clerk Depanment, located ar 4305 Santa Fe Avenue, Vemon, Califomia between the hours of 7:00 a.m. and 5:30 p.m. Monday through Thunday. Please send your comrEnts or questions to: Daniel Wall, Director of Public Works City of Vemon 4305 Santa Fe Avenue, Vemon, CA 90058 (323) 583-881 I Ext. 305 Enail: dwall@ci.vemon.ca.us Staff will recomnrend that the Vemon Housing Commission lind that the proposed action is exempt under the Calitbmia Environmental Quality Act ("CEQA") review because it is a continuing administrative activity that will not result in any direct or indirect changes in the environment and therefore does not constitute a "pnrject" as defined by CEQA Guidelines scction 15378. Here, the proposed resolution involves establishing rental rates. DATE & TIME: PUR-FOSE: DOCI,]MENTS FORREYIEW: PROPOSED CEQA FINDING: If you challenge the adoption ofa resolution establishing rental rates, or any provision thereof in court, you may be limited to raising only those issues you or sorneone else raised at the hearing described in this notice or in written correspondence delivered to the City of Vernon at, or prior to, the rneeting. Anrericans with Disabilities Act (ADA): In compliance with ADA, if you need special assistance to pafticipate in the rneeting, please contact the Office ofthe City Clerk at (323) 583-881I ext. 546. The hearing may be continued or adjourned or cancelled and rescheduled to a stated time and place without further notice of a public hearing. Dated: l0l23l2ll8 City of Vernon CALIFORNIA NEWSPAPER SERVICE BUREAU PRE# D A I L Y J O U R N A L C O R P O R A T I O N To the right is a copy of the notice you sent to us for publication in the HUNTINGTON PARK BULLETIN. Please read this notice carefully and call us with any corrections. The Proof of Publication will be filed with the County Clerk, if required, and mailed to you after the last date below. Publication date(s) for this notice is (are): Mailing Address : 915 E FIRST ST, LOS ANGELES, CA 90012 Telephone (800) 788-7840 / Fax (800) 464-2839 Visit us @ www.LegalAdstore.com MARIA AYALA CITY OF VERNON CITY CLERK 4305 SANTA FE AVE VERNON, CA 90058 GPN GOVT PUBLIC NOTICE NPH- New Transmission Revenue 11/01/2018 Notice Type: Ad Description COPY OF NOTICE 3188068 !A000004896062! An invoice will be sent after the last date of publication. If you prepaid this order in full, you will not receive an invoice. NOTICE OF PUBLIC HEARING REGARDING PROPOSED MARKET RENTAL RATES FOR ALL HOUSING UNITS OWNED BY THE CITY OF VERNON The Vernon Housing Commission will conduct a Public Hearing,which you may attend. PLACE:Vernon City Hall City Council Chambers 4305 Santa Fe Avenue Vernon,CA 90058 DATE &TIME:November 7,2018,at 6:00 p.m. (or as soon thereafter as the matter can be heard) PURPOSE:Consider the adoption of a resolution establishing rental rates. DOCUMENTS Notice is hereby given that a hard copy of the proposed resolution will be available for public review during normal business hours in the City Clerk Department, FOR REVIEW:located at 4305 Santa Fe Avenue, Vernon,California between the hours of 7:00 a.m. and 5:30 p.m.Monday through Thursday. Please send your comments or questions to: Daniel Wall,Director of Public Works City of Vernon 4305 Santa Fe Avenue,Vernon,CA 90058 (323)583-8811 Ext.305 Email: dwall@ci.vernon.ca.us PROPOSED CEQA FINDING:Staff will recommend that the Vernon Housing Commission find that the proposed action is exempt under the California Environmental Quality Act ("CEQA")review because it is a continuing administrative activity that will not result in any direct or indirect changes in the environment and therefore does not constitute a "project"as defined by CEQA Guidelines section 15378.Here,the proposed resolution involves establishing rental rates. If you challenge the adoption of a resolution establishing rental rates, or any provision thereof in court,you may be limited to raising only those issues you or someone else raised at the hearing described in this notice or in written correspondence delivered to the City of Vernon at,or prior to,the meeting. Americans with Disabilities Act (ADA):In compliance with ADA,if you need special assistance to participate in the meeting,please contact the Office of the City Clerk at (323)583- 8811 ext.546. The hearing may be continued or adjourned or cancelled and rescheduled to a stated time and place without further notice of a public hearing. Dated:10/23/2018 /s/Maria E.Ayala,City Clerk 11/1/18 PRE-3188068# HUNTINGTON PARK BULLETIN 0f @,0rn0n 4305 Santa Fe Avenue, Vernon, California 90058 Telephone (323) 583-8811 Fax (323) 826-7407 PUBLIC HEARING ANNOUNCEMENT November 29,2018 Dear Resident: Will you join us? You are invited to attend a Public Hearing where the Vernon Housing Commission will consider adopting a resolution that will establish annual rent adjustments and a method for determining rents for vacant units. The Public Hearing takes place during the Vernon Housing Commission meeting on December 12,2018, at 6:00 p.m. at City Hall. The Public Hearing allows you to make comments to the Housing Commission before it votes on these issues. Copies of the resolution will be available at least 72-hours in advance of the meeting on the City's website at: www.cityofvernon.org/VHC. For more information, please refer to the enclosed notice. If you have any questions please contact the Housing Hotline at (323) 826-1412. Sincerely O*"lhJ^lL Daniel S. Wall, P.E. Director of Public Works City of Vernon E4c fits ia e fy I nfus tria I of @ srn0n 4305 Santa Fe Avenue, Vernon, California 90058 Telephone (323) 583-8811 Fax (323) 826-1407 ANUNCIO DE AUDIENCTA PUBLICA 29 de noviembre de 2018 Estimado residente: lNos acompaflara? Le invitamos a asistir a una audiencia priblica en la que la Comisi6n de Vivienda de Vernon (Vernon Housing Commission) considerard adoptar una resoluciSn que establecer6 ajustes anuales de renta y un mdtodo para determinar las rentas para unidades vacantes. La audiencia priblica se llevara a cabo durante la reuni6n de la Comisi6n de Vivienda de Vernon el 12 de diciembre de 2018, a las 6:00 p.m. en el ayuntamiento de la ciudad. La audiencia pfblica le permite hacer comentarios a la Comisi6n de Vivienda antes de que la Comisi6n vote sobre estos temas. Las copias de la resoluci6n estar6n disponibles al menos 72 horas antes de la reuni6n en el sitio web de la Ciudad en: www.cityofvernon.ore/VHC. Para m6s informaci6n, consulte el aviso adjunto. Si tiene alguna pregunta, comunfquese con la linea directa de vivienda al (323) 826-1412. Atentamente, h)^lL Daniel S. Wal[, P.E. Director de obras publicas Ciudad de Vernon E4c[us iu e fy t rulus trta I https://www.huduser.gov/portal/datasets/fmr/fmrs/FY2023_code/2023summary_sa.odn[11/8/2022 1:30:08 PM] FY2023 Small area FmrS For loS angeleS CountY, Ca In metropolitan areas, HuD defines Small areas using ZIP Codes within the metropolitan area. using ZIP codes as the basis for Fmrs provides tenants with greater ability to move into “opportunity neighborhoods” with jobs, public transportation, and good schools. they also provide for multiple payment standards within a metropolitan area, and they are likely to reduce need for extensive market area rent reasonableness studies. lastly, HuD hopes that setting Fmrs for each ZIP code will reduce overpayment in lower-rent areas. los angeles County is part of the Los Angeles-Long Beach-Glendale, CA HUD Metro FMR Area. Los Angeles County, CA Advisory Small Area FMRs By Unit Bedrooms ZIP Code Efficiency One-Bedroom Two-Bedroom Three-Bedroom Four-Bedroom 90001 $1,250 $1,450 $1,840 $2,430 $2,640 90002 $1,250 $1,450 $1,840 $2,430 $2,640 90003 $1,250 $1,450 $1,840 $2,430 $2,640 90004 $1,560 $1,780 $2,260 $2,940 $3,220 90005 $1,660 $1,890 $2,400 $3,120 $3,420 90006 $1,330 $1,510 $1,920 $2,500 $2,740 90007 $1,290 $1,470 $1,870 $2,430 $2,670 90008 $1,310 $1,490 $1,900 $2,470 $2,710 90009 $1,530 $1,750 $2,220 $2,890 $3,170 90010 $2,040 $2,330 $2,960 $3,850 $4,220 90011 $1,250 $1,450 $1,840 $2,430 $2,640 90012 $1,570 $1,790 $2,280 $2,960 $3,250 90013 $1,770 $2,020 $2,570 $3,340 $3,670 90014 $2,260 $2,570 $3,270 $4,250 $4,670 90015 $2,130 $2,420 $3,080 $4,000 $4,390 90016 $1,390 $1,590 $2,020 $2,630 $2,880 90017 $1,460 $1,660 $2,110 $2,740 $3,010 https://www.huduser.gov/portal/datasets/fmr/fmrs/FY2023_code/2023summary_sa.odn[11/8/2022 1:30:08 PM] 90018 $1,320 $1,500 $1,910 $2,480 $2,730 90019 $1,550 $1,760 $2,240 $2,910 $3,200 90020 $1,670 $1,900 $2,420 $3,140 $3,450 90021 $1,930 $2,200 $2,800 $3,640 $3,990 90022 $1,250 $1,450 $1,840 $2,430 $2,640 90023 $1,250 $1,450 $1,840 $2,430 $2,640 90024 $2,300 $2,620 $3,330 $4,330 $4,750 90025 $2,300 $2,620 $3,330 $4,330 $4,750 90026 $1,480 $1,690 $2,150 $2,790 $3,070 90027 $1,770 $2,020 $2,570 $3,340 $3,670 90028 $1,810 $2,060 $2,620 $3,400 $3,740 90029 $1,470 $1,670 $2,130 $2,770 $3,040 90030 $1,530 $1,750 $2,220 $2,890 $3,170 90031 $1,250 $1,450 $1,840 $2,430 $2,640 90032 $1,260 $1,450 $1,840 $2,430 $2,640 90033 $1,250 $1,450 $1,840 $2,430 $2,640 90034 $1,860 $2,120 $2,690 $3,500 $3,840 90035 $2,020 $2,300 $2,920 $3,790 $4,170 90036 $2,300 $2,620 $3,330 $4,330 $4,750 90037 $1,250 $1,450 $1,840 $2,430 $2,640 90038 $1,660 $1,890 $2,410 $3,130 $3,440 90039 $1,750 $2,000 $2,540 $3,300 $3,620 90040 $1,250 $1,450 $1,840 $2,430 $2,640 90041 $1,550 $1,770 $2,250 $2,920 $3,210 90042 $1,500 $1,710 $2,180 $2,830 $3,110 90043 $1,290 $1,470 $1,870 $2,430 $2,670 90044 $1,250 $1,450 $1,840 $2,430 $2,640 90045 $2,040 $2,320 $2,950 $3,830 $4,210 90046 $1,950 $2,220 $2,820 $3,660 $4,020 90047 $1,330 $1,510 $1,920 $2,500 $2,740 https://www.huduser.gov/portal/datasets/fmr/fmrs/FY2023_code/2023summary_sa.odn[11/8/2022 1:30:08 PM] 90048 $2,300 $2,620 $3,330 $4,330 $4,750 90049 $2,300 $2,620 $3,330 $4,330 $4,750 90050 $1,530 $1,750 $2,220 $2,890 $3,170 90051 $1,530 $1,750 $2,220 $2,890 $3,170 90052 $1,530 $1,750 $2,220 $2,890 $3,170 90053 $1,530 $1,750 $2,220 $2,890 $3,170 90054 $1,530 $1,750 $2,220 $2,890 $3,170 90055 $1,530 $1,750 $2,220 $2,890 $3,170 90056 $1,860 $2,120 $2,690 $3,500 $3,840 90057 $1,420 $1,610 $2,050 $2,660 $2,920 90058 $1,250 $1,450 $1,840 $2,430 $2,640 90059 $1,250 $1,450 $1,840 $2,430 $2,640 90060 $1,530 $1,750 $2,220 $2,890 $3,170 90061 $1,250 $1,450 $1,840 $2,430 $2,640 90062 $1,290 $1,470 $1,870 $2,430 $2,670 90063 $1,250 $1,450 $1,840 $2,430 $2,640 90064 $2,220 $2,530 $3,220 $4,180 $4,590 90065 $1,420 $1,620 $2,060 $2,680 $2,940 90066 $1,930 $2,200 $2,800 $3,640 $3,990 90067 $2,300 $2,620 $3,330 $4,330 $4,750 90068 $2,090 $2,380 $3,030 $3,940 $4,320 90069 $2,260 $2,570 $3,270 $4,250 $4,670 90070 $1,530 $1,750 $2,220 $2,890 $3,170 90071 $1,670 $1,900 $2,420 $3,140 $3,450 90072 $1,530 $1,750 $2,220 $2,890 $3,170 90073 $2,300 $2,620 $3,330 $4,330 $4,750 90074 $1,530 $1,750 $2,220 $2,890 $3,170 90075 $1,530 $1,750 $2,220 $2,890 $3,170 90076 $1,530 $1,750 $2,220 $2,890 $3,170 90077 $2,300 $2,620 $3,330 $4,330 $4,750 https://www.huduser.gov/portal/datasets/fmr/fmrs/FY2023_code/2023summary_sa.odn[11/8/2022 1:30:08 PM] 93563 $1,350 $1,530 $1,950 $2,540 $2,830 93584 $1,530 $1,750 $2,220 $2,890 $3,170 93586 $1,530 $1,750 $2,220 $2,890 $3,170 93590 $1,530 $1,750 $2,220 $2,890 $3,170 93591 $1,280 $1,450 $1,850 $2,430 $2,640 93599 $1,530 $1,750 $2,220 $2,890 $3,170 HuD Home Page HuD user Home Data Sets Fair market rents Section 8 Income limits Fmr/Il Summary System multifamily tax Subsidy Project (mtSP) Income limits HuD lIHtC Database technical Problems or questions? 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