08 - Laserfiche WebLink

THE CITY OF ,,,, ! , , ; Housing Commission �g.I III Minutes LEASANTONC EXCERPT CITY COUNCIL CHAMBERS - 200 OLD BERNAL AVENUE AUGUST 22, 2019 - 7:00 P.M. PUBLIC HEARINGS AND OTHER MATTERS 4. Review and approve proposed changes to the Pleasanton's Down Payment Assistance (DPA) Program Mr. Hernandez provided information about the Down Payment Assistance (DPA) Program maintained by the City of Pleasanton since 2003 to assist first time homebuyers become homeowners. He noted that at the May 15, 2019 meeting the Commission had discussed a proposal for making the program more viable for people in Pleasanton since the program was currently not working for people in the area and had only been used once since 2015. Commissioners were advised that staff had met with Matt Warner Program Director for Hello Housing to discuss making the program becoming more effective as had been considered at the at the May meeting and were asking the Commission to review the following three options: 1. Increase the maximum loan amount from $20,000 to $100,000 2. Restructure the DPA loan to a "Deferred Payment Loan", and 3. Adopt a "Shared Appreciation Loan" Details of all three Options was provided and discussed. It was noted that the current DPA program is underutilized, the City currently receives nominal monthly repayment amounts from its existing DPA loan accounts, and the high cost of Pleasanton homes makes it difficult for hopeful homebuyers in Pleasanton to benefit from a "revamped" DPA Program and borrowers will likely be required to utilize both the AC Boost and DPA Programs. Mr. Dolan noted that if the Commission decides to move a proposed change forward to City Council that funding is currently at $100K and the Housing Fund has a total of$8M. He advised that staff has spoken with the City Manager who has suggested that Council may be open to making a change that is reviewed on an annual basis for up to three applications. Mr. Dolan felt it was important that the Commission understand the funding issue when making a recommendation. Commissioner Welsh questioned how applicants would be chosen and Commissioner Gaidos felt any recommendation made by the Commission should include criteria that consideration be given to Pleasanton residents. Commissioner Welsh agreed that Pleasanton residents should be given priority, but again questioned how applicants would be chosen. She was also concerned about how funds would be returned to the Lower Income Housing Fund (LIHF) and if Council would consider taking funds from the General Fund and not the LIHF. Mr. Dolan advised that funds would come from the LIHF. Page - 1 -