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program in case the Commission might want to consider further modification to this requirement in the future (i.e., eliminating the first-time buyer requirement altogether). Analysis of DPA Program Funding With the recent allocation of $250,000 from Ca1HFA and the Council's approval of $200,000 fro the Lower Income Housing Fund, the City currently has a total of $450,000 to fund DPA loans. As shown in the table below, the aggregate demand for DPA program funds based on pre-approvals (and anticipated Birch Terrace) applications may exceed the amount of available funds. The table is sorted in order of those applicants that are most likely to require funding in the near term. The DPA program guidelines specifically state that a funding commitment is not made until several conditions are met: • Copy of the executed purchase agreement submitted to City • Copy of loan qualification letter for first mortgage submitted to City • Evidence of borrower's 3% down payment provided to City • Borrower completes homebuyer training DPA program funds are allocated on a first-come, first-served basis. Therefore, it is possible that the five prospective borrowers under category 4 in the table below may not have funding available by the time they locate suitable properties. Borrower Category Low Mod Funds Required (50/50 City/CaIHFA) 1 Pre-approved borrowers expected to open escrow soon 1 1 $100,000 2 Birch Terrace buyers (in contract) 1 2 $140,000 3 Birch Terrace buyers (anticipated) 4 0 $240,000 4 Pre-approved borrowers actively searching for properties 4 1 $280,000 10 4 $760,000 If the program continues to be successful and interest remains high, the City may need to consider additional funding options, including the further allocation of City funds from the Lower Income Housing Fund as well as a future application for additional HELP funds from Ca1HFA. Page - 6 -