CC - Item 2B - Adoption Of The Proposed Consolidation and Annual Funding Plansstaf lep
TO: HONORABLE MAYOR.
AND MEMBERS
ROSEMEAD CITY COUNCIL
FROM: FRANK G. TRIPEPI, CITY MANAGE��
DATE: MAY 2, 2000 -
RE: PUBLIC HEARING REGARDING ADOPTION OF THE
PROPOSED CONSOLIDATED PLAN AND ANNUAL
FUNDING PLAN FOR THE COMMUNITY DEVELOPMENT
BLOCK GRANT (CDBG) AND HOME PROGRAMS .
Since FY 1994, the City of Rosemead has participated in the federal CDBG
program as a direct entitlement city. In FY 1996 -1997, the City became an
entitlement entity for the HOME program as well. In FY 2000 -2001, the City's
CDBG allocation is $1,513,000 and its HOME allocation is $504,000.
As part of the overall budget process, the City must reprogram the FY 1999 -2000
allocation carryover that is anticipates will not be spent by June 30, 2000 and any
anticipated program income received by its programs during the fiscal year. The
total amount of CDBG funding which is anticipated to be available by the FY
2000 -2001 budget, including reprogrammed amounts is $3,983,812 and
$955,150 in HOME funds.
In order to receive the new allocation and expend the balance of the prior year's,
the City must comply with the following requirements regarding submission:
1. Fulfill citizen participation requirements by conducting a public hearing to
receive citizen input regarding projected use of funds (April 11, 2000).
MAY 0 9 ?_JQfl
ITEM No.- 13
COUNCIL , GEC DA
CONSOLIDATED PLAN, pg. 2
2. Publish the draft Annual Funding Plan for 30 -day comment period in order
to receive citizen input regarding the final document (published April 12,
2000).
3. Hold a second public hearing to receive citizen input regarding the
Consolidated Plan and to adopt the Annual Funding Plan (May 9, 2000).
4. Submit to HUD (deadline for submission is May 15,2000).
The 30 -day comment period is due to end on May 11, 2000; however, the City
Council is being asked to adopt the Plan on May 9, 2000. The reason for this is
due to federal submission requirements. May 9, 2000 is the last Council meeting
before the May- 1-5, 2000 submission deadline. If any comments are received
between May 9 and May 11, 2000, the Council will be notified. If any comments
require a change to the Consolidated Plan, those comments will be agendized at
a later meeting as a proposed change to the Plan.
During the 30 -day comment, the City has received one comment from a member
of the public, stating that the proposed funding reduction for the Rosemead
School District is not proportional since the School District receives only $12,134
per year and the next largest grant is $24,600.
Council had earlier directed that the cuts be distributed among the four largest
agencies equally. Based on public comment, staff proposes that the cuts be
made among the four largest agencies in proportion to size. Funding to Senior
Nutrition, People for People and A & R Community Childcare would remain the
same. This would mean that the agencies would receive funding as follows:
Agency
Current Funding
Reduction
Approved 4111/00
Proposed
Revised
Reduction
Boys and Girls
24,600
24,056
24,171
Family Counseling
40,000
39,456
39,301
Juvenile Diversion
48,000
47,456
47,163
Rosemead .School
District
12,134
11,590
11,923
Senior Nutrition
78,000
N/A
N/A
People for People
8,259
N/A
N/A
A & R Childcare
9,133
N/A
N/A
CONSOLIDATED PLAN, pg. 3
Attached for your review is the 2000 -2005 Consolidated Plan which includes the
2000 -2001 Annual Funding Plan on pages 35 through 41. Any comments
received between now and the Council meeting will be made available to the
Council before the meeting.
RECOMMENDATION
Staff recommends that the City Council:
1. Approve the revised funding for the four largest public service agencies;
2. Approve the 2000 -2005 Consolidated Plan and Annual Funding Plan for
FY 2000 -2001; -
3. Authorize the city Manager to execute all appropriate certifications and
submit to HUD.
City of Roses
May 200
2000 -2005 Consolidated Plan
City of Rosemead
DRAFT
May 2000
Table of Contents
2000 -2005 Consolidated Plan .......................................................... ...............................
1
Cityof Rosemead ......................................................................... ...............................
1
Introduction....................................................................................... ..............................4
NeedsAssessment .......................................................................... ...............................
5
Community Description .................................................................. ..............................5
Citizen Participation and Consultation .......................................... ...............................
5
LeadAgency ............................................................................. ...............................
5
CitizenParticipation .................................................................. ...............................
5
Consultation with other entities ................................................. ...............................
5
Summary of Citizen Comments ................................................. ...............................
5
Market Conditions and Housing Needs ........................................ ...............................
6
Population, Age, Race and Ethnicity .......................................... ..............................6
HouseholdSize .......................................................................... ..............................7
HouseholdIncome .................................................................... ...............................
7
Areas of Low Income Concentration ......................................... ...............................
8 -_
Characteristics of the Housing Market ...................................... ...............................
8
PublicHousing: ......................................................................................................
16
SectionEight: .........................................................................................................
16
Nature and Extent of Homelessness ......................................... .............................16
Needs of Sheltered and Unsheltered Homeless ..................... ...............................
17
Definitions:_ ............................................................................ ...............................
17
Homeless Subpopulations ......................................................... .............................17
Special Needs Populations ........................................................... .............................19
LeadBased Paint ....................................................................... ...............................
19
YearBuilt ................................................................................. ...............................
20
Barriers to Affordable Housing ...................................................... .............................20
Other Community Development Needs ........................................ ...........................:.23
Public Facilities and Public Services ......................................... .............................23
ADAImprovements ................................................................... .............................23
Capital Improvements ( Infrastructure) ....................................... .............................23
PublicServices ........................................................................ ...............................
24
Economic Development .......................................................... ...............................
24
Housing And Community Development Strategic Plan ................. .............................25
Housing and Community Development Resources ................... .............................25
Housing and Community Development Projects and Programs ... .............................26
General Priorities for Allocating Investment Geographically .... ...............................
26
General Relative Priorities for Allocating Investment .............. ...............................
26
Obstacles to Meeting Needs and Reduction of Barriers ............. ...............................
27
PriorityHousing Needs ........................................................... ...............................
27
Lead -Based Paint ...................................................................... .............................28
Institutional Structure ................................................................ .............................29
Integrated ApproachNision and Regional Connections ............ .............................29
Continuum of Care .................................................................... .............................30
2000 -2005 Consolidated Plan 2
SpecialNeeds ...........................................................................
.............................30
Priority Community Development Needs .................................
............................... 30
Anti - Poverty Strategy ..............................................................
............................... 31
FairHousing (AI) .....................................................................
............................... 32
One -Year Action Plan, 2000 -2001 ..............................................
............................... 35
Funding Sources ( Annual) .........................................................
.............................35
Leveraging..............................................................................
............................... 35
Summary of Work Program .........................................................
............................... 36
CDBGand HOME .....................................................................
.....................:.......36
CDBG......................................................................................
............................... 36
HOME.....................................................................................
............................... 36
Integrated ApproachNision .......................................................
.............................36
Coordination and Institutional Structure ....................................
.............................36
PublicHousing ........................................................................
............................... 37
Homelessness.........................................................................
............................... 37
Lead -Based Paint Hazards .....................................................
............................... 37
Reduction of Barriers ..............................................................
............................... 38'
Anti - Poverty Strategy ..............................................................
............................... 38
Monitoring.- ..............................................................................
.............................38
-- -� 2000 -2005 Consolidated Plan 3
INTRODUCTION
The City of Rosemead's 2000 Consolidated Plan coordinates all elements of community
development: housing, neighborhood development, economic development and human
services into a single plan and vision of community development activities to be
undertaken with respect to Community Development Block Grant (CDBG) and HOME
activities.
The Consolidated Plan states the City's plan to pursue the overall goals of the community
development and planning programs of the Department of Housing and Urban
Development (HUD):
1. To provide decent housing;
2. To establish and maintain a suitable living environment; and
3. To expand economic development opportunities.
The Consolidated Plan serves the following functions:
1. A planning document for the City, based on a participatory process;
2. An application for federal funds under HUD's formula grant program of CDBG and
HOME
3. A strategy for carrying out HUD programs; and
4. An action plan that provides a basis for assessing performance.
The 2000 Plan is organized into three (3) basic sections: Needs Assessment, which
describes the community, the citizen participation process, market conditions and housing
needs, nature and extent of homelessness,- the needs of special populations and other
community development needs; the Housing and Community Development Five -Year
Strategic Plan, which describes the anticipated resources over five years to meet needs,
the priority needs summary tables, general priorities for allocating resources, and priority
needs based on the Needs Assessment; the One -Year Action Plan, which describes the
actions the City plans to undertake in FY 2000 -2001 after receipt of federal funds.
2000 -2005 Consolidated Plan 4
NEEDS ASSESSMENT
Community Description
The City of Rosemead is located in the San Gabriel Valley in East central Los Angeles
County. Rosemead was incorporated as a city in 1959, with a population of 15,476 and by
1999 had a population of over 56,000. Rosemead enjoys good access to major
transportation corridors including Interstate 10, Interstate 605, Rosemead Boulevard,
Mission Drive, Temple City Boulevard, Valley Boulevard and Walnut Grove Avenue.
Rosemead functions as a residential suburb for surrounding employment centers, such as
Los Angeles, and the majority of its land has been developed as low- density housing.
Overall, Rosemead has a lower median income and a higher percentage of low- income
residents than a majority of the cities in the County. _
Citizen Participation and Consultation
Lead Agency
The Community Development Division of the City of Rosemead is the lead agency in the
development and implementation of the City's Consolidated Plan.
Citizen Participation
The City of Rosemead has an active citizen participation process and has worked with
citizens to develop both its Consolidated Plan and One -Year Action Plan.
The City held a Consolidated Plan workshop and two (2) public hearings relating to the
proposed Consolidated Plan. _
The City held its Consolidated Plan workshop on January 6, 2000. The City held its first
public hearing on April 11, 2000, regarding the proposed Consolidated Plan and published
the plan for a 30 -day comment period on April 12, 2000. The City held its second public
hearing regarding Plan adoption on May 9, 2000.
Consultation with other entities
The City consulted with the Los Angeles Community Development Commission, which
serves as the housing authority of the City of Rosemead, as well as with departments and
divisions within the City structure -and with non - profit organizations.
In addition, other cities within the jurisdiction were invited to comment. A copy of the final
Plan will be sent to the State of California.
Summary of Citizen Comments
At its Consolidated Plan workshop, the City did not receive any public comments.
2000 -2005 Consolidated Plan 5
At the public hearing held on April 11, 2000, the City did not receive any public comments.
During the 30 -day public comment period, the City received the following public comments:
• A comment from a resident that the amount of funding reduction for Rosemead
School District was proportionally greater than for the other agencies receiving
funding reductions, since the School District only receives $12,134 per year and the
next largest agency receives $24,600.
At the public hearing held on May 9, 2000, the City received the following public
comments:
Market Conditions and Housing Needs
Population, Age, Race and Ethnicity
In 1980, the City had a population of 42,604 people. By 1990, that figure had grown to
51,638, an increase of 17.5 %. Current projections for the City put the population at 56,664
in 1999 - (Department of Finance, Official State Estimates), an increase of 8.1 % over 1990.
Table 1
Population Estimates (U.S. Census 1960, 1970, 1980, 1990, Department of Finance 1999
c��em1i96„0
��
1,970,
i1;980g ,'r1
1990
yT9_9,9'a ,;
15,476
40,972
42,604
51,638
56,664
During the years 1980 -1990, the ethnic distribution of the City also changed. Between
1980 and 1990, the City's white population decreased from 65% to 16 %, with a concurrent
increase in minority population.
2000 -2005 Consolidated Plan 6
Table 2 Population 1990
kyV 3� �'tjl �1. L? Il + '' + � + y' � } p �� } T ' '�ty� K fj 1 �
.,�
oIO Lt y 1� Ti'
�1hX
z� y�^ra�: 5�s.�P u.{" �3 .F u`�.._.7.�.:I.1 � ��.'w�. t
u...
I Y�.'r`rt`3�.n e5.��.. CY�✓JJ1��Ylwi
°TotaIGPopuI tl 51,638
100
Mlu'Fl�4
,White "(not, - ispanic WN 8,282
t
16
� Black�(not'hispanic) 146
�' SL"'"U
.03
RLttiw '�Y�E"IIT.f'H,v3`:G�u'CLu
;Hispanic: {alb ar cng" 25,463
49
NafiveAmencan 142
g �'
03
SEEM. �. �t
;Asian /I I`slantler 17,424
34
s`2Fx "Ri r '° s''k:
kOth g%�g 181
.4
Source: 1990 Census _
Household Size
Household size is one indicator identifying household growth as well as overcrowding in
individual housing units. A city's average household size will increase over time if trends
move towards larger families. In communities where the population is aging, the average
household size typically declines.
There was an average of 3.19 persons per household in 1980 and 3.72 persons per
household in 1990. In comparison with Los Angeles County, average household size in
Rosemead is larger. Between 1990 and 1999, average household size is estimated to
have increased in both the City of Rosemead and the County of Los Angeles. This
increase can be partly attributed to cultural differences in relation to household size,
privacy and co- habitation of extended families. Larger households in the City will result in
an increased demand for larger sized housing units and apartments, relative to other types
of housing. Since the City is predominantly built out, the most likely method of
accommodating this growth is through additions to existing housing.
Household Income
The major factor that constrains the ability of households to obtain adequate housing is
income. The 1990 Census reported that median household income in the City was
$29,970, which was 14% lower than that for the County. This difference in income is
reflective of higher residential costs in other areas of the County, which has historically
attracted a more affluent population.
According to the 1990 Census, household income levels vary widely in Rosemead. Table
3 presents the estimated number and proportion of the City's 1990 households that fall
2000 -2005 Consolidated Plan 7
within a series of ten (10) income ranges. Nearly 61% of the City's households, in 1990,
earned an annual income between $10,000 and $49,999. At the opposite end of the
spectrum, 14% of Rosemead households earned less than $10,000 per year, while 25%
earned $50,000 or more annually.
Table 3 Household Income, 1990
f 'x. 'tYS,ra"F
r,IncomeRa.�sge ; � ?
< -:- '�.as r eY..,.:�;�, �' •
# Ho °Id a
U � .2F,TSC;'�+wa&'s"TF.
r /oO
Under $5,000
699
5.1
$5,000 - 9,999
1,233
9
$10,000 - 14,999
1,343
9.8
$15,000 - 24,999
2,425
17.7
$25,000 - 34,999
2,316
16.9
$35,000 - 49,999
2,261
16.5
$50,000 - 74,999
2,247
16.4
$75,000 - 99,999
808
5.9
$100,000 - 149,999
301
2.2
$150,000 or more
68
.5
Totals
13,701
100.0
source: iaau census
Areas of Low Income Concentration
According to the 1990 Census, the greatest concentration of very low income and low
income households were located between Valley Boulevard and Garvey Avenue, primarily
adjacent to the San Bernardino freeway (Interstate 10). The median household income in
these areas was below the County median income-
Characteristics of the Housing Market
Household Size and Type
The Department of Finance estimates that in 1999, there are an estimated 14,313 single
units, making Rosemead a medium -sized community. During the 1990's, Rosemead grew
at a slightly slower rate (1.3 percent) than other San Gabriel Valley cities, including
Alhambra, which grew by 1.7 percent and Monterey Park, which grew by 1.8 percent. The
County as a whole experienced a growth rate of nearly twice that of Rosemead's during
the 1990's.
2000 -2005 Consolidated Plan 8 - - - --
Table 4 Housing Trends, Rosemead and Los Angeles County, 1990 -1999
Number of Housing
d nits .�
. ���'����*
+ "rr aar caw '+w
fJunsdlctlon " *.:
. "sst�3
R,*a'^ s."vpn"L' atu.E'
,� 1990 �v=
Yk.rw i ..'a'.`,5'
551
—A4" "L.kra+cV ...a" sg#*r.' -.�Y^ r
Percent Increase
Alhambra
29,598
30,112
1.7
Monterey Park
20,298
20,658
1.8
Rosemead
14,134
14,313
1.3
San Gabriel
12,736
12,860
1.0
Los Angeles County
3,163,310
3,261,750
3.1
source: uepartment or t- tnance, cttyicounty roputation ana mousing estimates, 1 -1 -9u ana 1 -1 -99
Housing Availability Analysis
SCAG's current RHNA estimates are detailed in the table below and show estimated need
in the community based on estimated replacement and rehabilitation requirements:
Table 5
Hou�se-tiold, �"
1/98 6%05 1.
-tq -- ) °� y
�Vacaricy Need'o,�;' '
f t ”
Replacement „ Need
: a i.u �
Coristr Need
`
` ROME , " hO
I Annual r _
kC no structiori3Need
551
44
1 181
776
103
aource: rsegtonat mousing tveeas Assessment, 7999
This need is further defined by income distribution as follows:
Table 6
^a }
Very Low Income #
y h
Low lnp ome h
y
rModerate Income
�AboveYMode-rate
c xr
Total Construction r
a.r
r
a : fi ,
,,
Income 6� -w. �'�
1l�nits /Perdent a
Units /Percent,
Units /Percentn"
Need s "�
a,
raw :. E'.
Units /Percent
202/26%
132/17%
155/20%
287/37 %
776
source: Kegtonal mousing Neeas Assessment, 1999
As can be seen in this table, the highest construction need is found in households between
moderate and above moderate income (37 %), with 26% of the need to be found in very low
income households.
2000 -2005 Consolidated Plan 9
Housing Supply, Condition and Tenure
The 1990 Census reported 37,341 occupied housing units in the City. Of these, 53.8%
were single family detached units. Not all of . these, however, had owner - occupants.
Eighty -eight percent of single family units were owner occupied and the other 12% were
rented. Condominiums comprised another 9.4% of the housing stock and a little less than
half, 49.8 %, were owner occupied during the 1990 Census, with the other 50.2% being
rental units.
Multi- family housing, comprised of 2+ units, represented 29.5% of the housing units in the
City. Nearly all units were renter occupied, but 7.5% were owner occupied. Finally, a
small proportion, 7.4 %, of all units were characterized as mobile homes or other types of
units. These units were overwhelmingly owner occupied, 86.8 %, with only 13.2% being
renter occupied.
Housing units in the City of Rosemead tend to be smaller in the City than in the County as
a whole. In 1990, 66.5% of all housing units in the County had six or more rooms; while in
the City, only 39.9% had six or more rooms.
The majority of the City's housing stock, approximately 74 %, was built prior to 1960 and an
additional 12% is between 20 and 30 years old. -
Figure 1
Year Built
Y
C
d
U
N
�O �O' �O' 6 0' �O' �O' �G
N ^0J N ^C
O % of Total
-— 2000 -2005 Consolidated Plan 1
Affordability
State and Federal standards for housing overpayment are based on an income -to- housing
cost ratio of 30 percent and above. Households paying greater than this amount have less
income left over for other necessities such as food, clothing, utilities and health care. It is
recognized, however, that upper income households are generally capable of paying a
larger proportion of their income for housing and, therefore, estimates of housing
overpayment generally focus on lower income groups. .
According to the 1990 Census, an estimated 4,430 of Rosemead's lower income
households were paying more than 30 percent of their income on rent or mortgage
payments. Of these overpayers, 2,916 are classified as very low income, translating to 76
percent of the City's total 3,836 very low income households overpaying for housing.
Among low income households, the rate of overpayment drops to 59 percent, or a total of
1,514 households. Moderate and upper income households who are paying more than 30
percent of their income for housing are likely to be first -time home buyers who have
chosen to spend more for housing in order to obtain home ownership. -
The distinction between renter and owner housing overpayment is important because,
while home owners may over - extend themselves financially to afford a home purchase, the
owner retains the option of selling the home. Renters, however, are limited to the rental
market and are generally required to pay the rent established in that market. The 1990
Census has broken down housing overpayment by housing tenure as presented in the
following table.
Table 7
se
Hou holtl
c r
Uery L =ow Income +;
t •x
2 Low Incomerf
�� . �
r ; sx
� g rTotalr
�", ��r
Owner
543
610
1,153
Renter
2,373
904
3,277
Total
2,916
1,514
4,430
6ource: 7 vvu uensus Repoli
Of the total 4,430 lower income households in Rosemead identified as overpayers, 3,277
were renter households and only 1,153 were owner households. This difference is largely
reflective of the tendency of renter households to have lower income than owner
households.
2000 -2005 Consolidated Plan 11
With the continued escalation in rents and home prices, affordable rental and home
ownership continues to be difficult for low- income households. Rosemead is not alone in
this area. As outlined in "Widening the Gap: New Findings on Housing Affordability in
America," housing affordability has continued to decline nationwide for lower income
households.
The California Associates of Governments (SCAG) has estimated the current needs of
households based on the 1990 and data projections for household growth. This is known
as the Regional Housing Needs Assessment (RHNA). The SCAG RHNA Table for the City
of Rosemead is detailed below:
Table 8
Source: SCAG RHNA, DOF98, Census 1990 1HUD CHAS 1990
2000 - 2005 Consolidated Plan 12
30 50 /o
0�,80 /o}of
Y`^Medtan�r
. 6 Median(
���Medianr�
s�
��;'Total�`�"
C�r�,�e,�'1
InCiQmery
inCiome 1
i
r`S',.
;
-
ae71'`k r
,Households
;�R_e` =�
1,770
1,222
1,823
557
1,641
7,013
?
861
635
1,402
576
3,352
6,827
(Total2
2,631
1,858
3,225
1,133
4,993
13,840
Households �'
s7`4`r' fir,
E Housing ,
Problem'
{= Renters,, =l
1,621
1149
1,239
281
640
4,930
,Owner
439
349
682
251
1,153
2,873
,4 , =Total r
2,059
1,498
1,922
531
1,792
7,802
Households }
dr4 '� aP191 .:
Overp ymenttA
Renters
1,539
980
658
90
47
3,314
Qwners
434
262
591
165
525
1,976
,
Tgfa "":
1,972
1,243
1,249
255
572
5,290
Housek olds
. Overcrowding"
Renters r
1,041
690
814
268
467
3,280
Owners �;_;
113
163
430
128
8051
1,639
' F To bP,
1,154
853
1,244
395
1,272
4,919
Source: SCAG RHNA, DOF98, Census 1990 1HUD CHAS 1990
2000 - 2005 Consolidated Plan 12
The Census definition of a large family is one with five or more members. The 1990
Census indicated that almost 32% of the City's households have five or more members
and the majority of these were in family units. This translates into 4,421 households. The
low income, large household presents special problems because of the average size of
units in the City and the potential for disparity between household income and housing
cost. Large households with children have an even more difficult time finding housing as
rental housing often may have only one -to -two bedrooms.
The 1990 Census indicated that 4,592 persons, or approximately 8.9% of the City's
population was 65 years or older. The proportion of elderly can be expected to increase as
those persons between age 35 and 64 grow older. Escalating housing costs, particularly in
the rental market, severely impact housing affordability for the elderly, who are usually on
fixed incomes. While an estimated 37% of Rosemead's elderly are homeowners, a
significant number of the City's mobile -home park residents are elderly. According to the
1990 Census, there are 180 seniors whose income fell below the poverty level in
Rosemead.
The cost of housing determines whether or not a household will be able to obtain an
adequately sized unit in good condition in the area in which they wish to locate. In 1990,
the median home value in Rosemead was $193,000, which was 22 percent below that for
San Gabriel and the Countywide median. Updated comparative sales data was obtained
by the California' Association of Realtors for October 1999. this information shows that
housing sales prices have fallen County -wide from 1990 levels, with the exception of San
Gabriel. At a $159,000 median sales price, housing prices in Rosemead in 1999 are still
well below the County median, although the differential has narrowed to some extent.
Table 9 Housing Values: Rosemead and Surrounding Jurisdictions
y � ;Junsdtcttonk �'x a
co'}(^ {
F x�q t
.u1,�r
r ' 1990`Medtan Houstng
ems.
j � s 'r X1999 "
October,„
Rosemead
$193,000
$159,000
Alhambra
227,900
191,000
El Monte
172,000
141,000
Monterey Park
235,400
174,000
San Gabriel
248,000
258,000
Los Angeles County
248,000
178,000
Source: 1990 Census Report, California Association of Realtors, October 1999
Median housing prices in Los Angeles County in 1999 are still below the real estate
market's peak in 1990, despite recent increases. Median prices of single - family homes in
Rosemead have remained below prices in San Gabriel and other areas of Los Angeles
County.
Housing and Condominium sales were tracked over the December 1998 — November 1999
period through Data Quick. According to this data, 117 single - family homes were sold in
the City, with 56 percent comprised of three- bedroom units, while 53 multi- family
2000 -2005 Consolidated Plan 13
homes /condominiums were sold. The reported sales of single - family homes ranged from a
low of $105,000 to a high of $180,000 for two- bedroom units. The median price for a two -
bedroom home in Rosemead was $146,000. Three bedroom units ranged from $118,000
to $260,000, while the median home price for a three - bedroom unit was $173,000. The
median price for a four - bedroom unit was around $200,000.
Table 10 outlines the maximum affordable home prices for very-low, low and moderate -
income households. Maximum affordable monthly mortgage payments and maximum
affordable mortgages are determined by taking 30 percent of the median income for a
family of four for each income category. According to the table, very low- income
households can afford a maximum home price of $68,100, low- income households can
afford a maximum home price of $107,600 and moderate - income households can afford a
maximum home price of $161,400. Comparing the sales prices for a home in Rosemead
with the City's income structure, it is evident that there are homes available for purchase at
prices that are affordable to the City's low and moderate- income households. By assisting
prospective first -time home buyers with down payment and closing costs, the City is
expanding the supply of housing that is affordable to these households.
Table 10 -- Affordable Homeownership Costs by Income Category
At Risk Housing
At this time, there is no housing at risk of losing its affordability in the City of Rosemead.
Overcrowding
The Census definition of overcrowding is 1.01 or more persons per room. The statistics
below on overcrowding are based on 1990 Census data.
- 2000 -2005 Consolidated Plan 14
30 -year fixed mortgage and monthly payment of 30% of L.A. County Median Family Income of $51,300 for
1999_
2000 -2005 Consolidated Plan 15
Table 11 OVERCROWDED HOUSEHOLDS
According to SCAG estimates for RHNA, as detailed in Table 8 and broken out here in a
separate table, estimated households with overcrowding are broken down by income
groups as follows:
Table 12
n R''Oy ; rM1 5 ° n' L'
�,Y, a 'p 30 /o r of
&4 *'p �.5i9 aabSi1x
S R 0 ^4j"
130 50 /o pf
'1, e.w i�d v
S
U.50 os 6V
M 'R g T
A 1 o f Y
80 95 /o ofk
r � >95 %�' MnnPo:v+
x• of
38" ti 8i. J.r f
v SX rt
otal
c x
x`11t k; Median, a
Median ^`
FMedian I
>
'
k comet
Inco me
{
comelncome_}
,
3 ; .,
,In
fHouseholdsr
with i :y
I nf 1 �
r �
{O'v_ercrgwdingg
r Renters 1,041
690
814
268
467
3,280
� e S 't' . CL
113
163
430
128
805
1,639
0 �,
"Fr 3
4 Y r' '"
{pl�a_
1 Total 1,154
853
1,244
395
1,272
4,919
Source: Regional Housing Needs Assessment, 1999
Assisted Housing Inventory
Public Housing:
There is no public housing in the City of Rosemead
Section Eight: -
The Los Angeles. Community Development Commission serves as the housing authority
for the City of Rosemead. Currently, there are Certificates and Vouchers under lease
within the City limits.
Nature and Extent of Homelessness
In 1998, the Cit of Rosemead Community Development Division, in conjunction with the
Los Angeles County Sheriffs office undertook a homeless count night. The Community
Development Division, in partnership with the Sheriffs office and the City's Code
Enforcement officer, identified potential, sites that were possible sites for homeless
populations. These sites were then incorporated into a homeless count night. In that
count, the City found eight persons, of which three stated they were not homeless. One
stated that he was an illegal immigrant here to work, one stated that he was visiting his.
friend and one stated that she was temporarily estranged from her family. There was one
unsheltered female and no unsheltered children. The majority of respondents stated that
they were unsheltered by choice and had a place for shelter if it was raining or very cold.
The majority of the population had identifiable alcohol and /or drug dependencies. In 1999,
2000 -2005 Consolidated Plan 16
the Urban Research group conducted a study of the homeless in the San Gabriel Valley.
In its report, it identified 18 persons who had used emergency outreach services from the
City of Rosemead. Of these 18, nine reported a permanent address and were not
homeless. Based on the foregoing, the City of Rosemead estimates that its homeless
population is between 13 and 16, of which approximately five to six are unsheltered.
Needs of Sheltered and Unsheltered Homeless
According to the U.S. Department of Housing and Urban Development (HUD), the
sheltered homeless refers to people living in emergency shelters, transitional housing, or
living in motels with the assistance of emergency rent assistance vouchers.
The unsheltered homeless refers to people living in places unfit for human habitation, such
as the street, a car or garage.
Persons paying their own rent, regardless of overcrowding or lack of cooking facilities, are
not considered homeless, but are categorized as persons "at risk" of homelessness.
Although the needs of the severely mentally ill and those with alcohol and other drug
dependencies continues to be high, there has been a trend over the last 10 -15 years
towards a "new homeless" population of persons who, because they live on a narrow
margin or "paycheck to paycheck ", may find themselves homeless once they have
experienced an unexpected expense or loss of job. Once out of housing, it is very difficult
for them to reenter the housing market due to the increasing costs of rental and ownership
housing. Single parent households, those below 30% of median income, battered women
and runaway youth are the most vulnerable to becoming the "new homeless."
The City participates with a number of agencies in a Continuum of Care to provide services
to the homeless, as well as providing funding to People for People, who provide assistance
to the homeless and to those at risk of becoming homeless.
Definitions: -
Homeless Subpopulations
Severely, Mentally III - Definition: A serious and persistent mental or emotional impairment
that significantly limits a person's ability to live independently This is the most difficult
population to serve and requires intensive periods of time invested in each individual. In
addition, this population tends to resist "indoor" living and some need hospitalization and,
therefore, are not accepted by motels or shelters.
Alcohol and Substance Abuse - Definition: Serious and persistent alcohol or substance
abuse that significantly limits a person's ability to live independently. As seen above,
substance abuse figures in a significant number of cases handled by homeless providers.
There are three types of common profiles: 1) heads of households or individuals who mask
or deny the fact that funds available for housing are spent on alcohol or drugs, 2) persons
with a history of substance abuse currently in recovery who lack funds or job skills to obtain
and maintain adequate housing in a sober environment; 3) persons for whom alcohol or
drug dependence is secondary to mental illness or brain damage.
2000 -2005 Consolidated Plan 17
Traditionally, the shortage of recovery beds for indigent persons and the lack of access to
affordable sober living environments creates a barrier to continued sobriety. Persons who
have completed a detox program need immediate access to a low income sober living
environment. Low income persons in recent sobriety need safe, sober and affordable
housing in order to move forward with education, job training, parenting skills and other
self - sufficiency efforts that cannot be accomplished when trying to pay 80 -90% of income
for rental payments.
Dually Diagnosed - Definition: Suffers both severe mental illness and substance abuse
problems. Dual diagnosis refers to chronically mentally ill abusers. Among homeless
persons, there is a heavy prevalence of alcoholism and /or other substance abuse and
severe mental illness, approximately 36 percent as a nationwide average. In addition,
persons who are substance abusers and have mental illness or brain damage /learning
disabilities need access to psychological /neurological evaluation services, affordable
housing, assistance with obtaining disability income (when appropriate) and supportive
services. Because of impaired mental functioning -- whether due to mental illness, brain
damage or other learning disabilities -- achieving and maintaining sobriety is especially
difficult.
Fleeing Domestic Violence. According to the National Clearinghouse for Defense of
Battered Women, on an average night, one half of adult clients in American shelters that
primarily serve families with children have been involved in domestic violence (Division of
Policy Studies, U.S. Department of Housing and Urban Development, Report on the 1988
National Survey of Shelters for the Homeless, pg. 14).
Victims of household violence face the burdens of homelessness, coping with
physical /mental trauma and the need for affordable safe and secure housing.
Homeless Youth - Definitions: Unaccompanied person (17 or younger) who is living in a
"shelter" or "unsheltered" environment. A small percentage of the homeless population
falls into this category. In a study by the U.S. Conference of Mayors in 1992, 5 percent of
the homeless populations are identified as "run away" or "throw away" teenagers. Many
have left home after having been physically and /or sexually abused by a family member.
People with Aids (PWA's) or Related Diseases. According to the National Commission
on AIDS, one -third to one -half of all persons with AIDS may be homeless or at imminent
risk of homelessness due to illness, cost of treatment and lack of support systems.
People Threatened with Homelessness. People can be threatened with homelessness
when they experience a drop in income and /or a rise in rent, or because they do not have
the skills necessary to manage limited resources. Most at risk are those on fixed incomes
or the marginally employed, who have few ties to family and friends. They may be people
who have been recently and suddenly laid off. Other subpopulations threatened with
-- 2000 -2005 Consolidated Plan 18
homelessness include people facing catastrophic illness, emancipated foster youth and the
recently deinstitutionalized.
Special Needs Populations
Elderly - The 1990 Census indicated 4,592 of the City's population at 65 years of age and
older. Many elderly residents are affected by the continued rise in the cost of housing.
The 1990 Census indicated that of people 65 years of age and older, or 180 residents had
incomes below the poverty level.
Low - income senior renters are not the only seniors who experience problems as a result of
high housing costs. Many elderly homeowners living on limited retirement income have
equity in their home, while still having problems meeting the day -to -day cost of living.
Developmentally Disabled - The nationally accepted percentage of the population that
can be categorized as developmentally disabled is 1 -3 percent. This figure is published_ by
the Association of Retarded Citizens (ARC), a national organization for developmentally -
delayed and disabled citizens. Based on this figure, the local estimate for the City would
be approximately 1, 133.
Physically Disabled - The housing needs of disabled persons vary with the type and
severity of the handicap. Not all individuals require specialized housing considerations.
However, a large percentage of those who are able to live independently require a street
level unit with kitchen and bathroom modifications. Accessibility to public transportation is
also desirable. In addition to these needs, there is often the need for affordable housing.
No statistics are available on the total number of handicap units in the City. In the 1990
Census, 2.5 percent of the City's population, or 1,276 families reported having a mobility or
self -care limitation, including 780 persons over the age of 65.
People with Aids (PWA's) - Due to the progression of this disease, new medications
notwithstanding, the housing goals may be different from other populations with special
needs. PWA's may be unable to work and may be dependent on SSI. In addition, as the
disease progresses, PWA's may need supportive housing once they are no longer able to
live at home. It is assumed that half of those with AIDS will require supportive housing at
some point during their lives.
Lead Based Paint
Since 1978, paint has been allowed to only contain a maximum of 600 parts per million.
More than three quarters of pre -1978 homes contain lead -based paint (LBP), according to
the federal government. A majority of Rosemead's housing stock is pre -1978, with
approximately 9.8 percent built before 1940.
By applying nationally recognized percentages to the number of units by age of building
and income group, it is estimated that 58 percent of the housing stock may have LBP.
Households with low income represent approximately 70 percent of the household
population, but occupy only 54 percent of older units. Therefore, contrary to national
2000 -2005 Consolidated Plan 19
statistics, low income households in Rosemead are at no greater risk of exposure to lead
hazards than the general population.
Table 13 Estimated Lead -Based Paint Hazard Potential by Income Group
x >Year B`wlt
F,Extre�mely�Low an�d r
P "i -�'�5�`.5' 'ac �!
°OthergLowTotalNat4L
�
�BP;%�
$ "LBP
a,
. tr_a� z
Very Low lncom--
4.Income d�
FG A
tfx .
units A<,
1 960 -1979
Owners
298
56
3,445
2,136
Renters
770
2,178
4,092
62
2,537
TOTAL
998
2,234
7,537
4,673
1940 -1959
Owners
67
20
1,616
1,293
Renters
289
639
1,309
80
1,047
TOTAL
356
679
2,925
2,340
Pre 1940
Owners
50
44
857
771
Renters
124
285
556
90
500
TOTAL
174
329
1,413
1,271
TOTAL
Pre -1980
Owner
415
120
9,363
4,200
Renter
1,183
3,102
5,957
4,084
TOTAL 1
1,598
3,222
11,875
8,284
Jource t GHAJ5 uata000K, vYY4
Barriers to Affordable Housing
One concern in developing housing program strategies is the potential and actual
constraints on housing development and maintenance. These can be broken down as
physical constraints and market constraints.
Physical Constraints
The physical constraints to development in Rosemead can be divided into two types:
infrastructure constraints and environmental constraints. In order to accommodate future
residential development, improvements are necessary in infrastructure and public services
related to man-trade facilities such as sewer, water and electrical services. Portions of
Rosemead are also constrained by a variety of environmental hazards and resources that
may affect the development of lower priced residential units.
Infrastructure Constraints:
Water and sewer services are the major infrastructure constraints to housing production in
Rosemead.
2000 -2005 Consolidated Plan 20
Water. Water services are provided by six (6) purveyors in the City of Rosemead. These
agencies have varying abilities to maintain and upgrade their systems to meet current and
projected demands. Large portions of western and central Rosemead are deficient in
water and /or fire flow capacity. In addition, major capital expenditures will be required to
replace deteriorating or substandard water mains in portions of the City.
Local groundwater accounts for a major portion of the City's water supply. In recent years,
groundwater resources in the United States have been contaminated with a variety of
pollutants ranging from pesticides to industrial chemicals and solvents. The San Gabriel
Valley Groundwater Basin was discovered in 1979 to have groundwater supplies that were
contaminated. As a result of pollution in the Basin, the U.S. Environmental Protection
Agency (USEPA) has classified the Basin as a "Superfund" site. Various local, state and
federal agencies are cooperating in the clean -up of the Basin and are applying stringent
water treatment to ensure the delivery of potable water.
Sewer: The existing sewer system is considered to be adequate with minimal growth and a
stable land use policy. However, this system is incapable of handling significant increases
in development without major capital improvements to upgrade the system.
The City of Rosemead is located within Sanitation District No. 15. Wastewater from
Rosemead is processed at the Whittier Narrows Wastewater Treatment Facility (WTF).
The Whittier Narrows WTF is located on 27 acres off Rosemead Boulevard in the City of El
Monte. It was built in 1962 and was the first reclamation plant built by the Sanitation
District. It provides primary, secondary and tertiary treatment for 15 million gallons of
wastewater per day. It serves a population of 150,000 people. Most of the wastewater
treated at this facility is reused as groundwater recharge into the Rio Hondo and san
Gabriel Coastal Spreading Grounds, or for irrigation.
Public Services: Future residential growth in Rosemead will require additional public
service personnel if the existing levels of service for law enforcement, fire protection and
other essential services are to be maintained.
Environmental Constraints
The City of Rosemead is fully urbanized with the general location and distribution of land
uses having been previously determined. Substantial changes to the City's incorporated
boundaries are not anticipated. Future growth and change in the City will involve the
conversion or replacement of existing uses or infill on vacant parcels and the only
opportunity for measurable growth is through the intensification of existing land use. There
are no environmentally sensitive areas; the local topography does not represent a
constraint to housing production.
Seismic Hazards: Rosemead is located in a seismically active region as are all Southern
California cities and is subject to risks and hazards associated with potentially destructive
earthquakes. Although there are no active faults in the City, there are four major active
2000 -2005 Consolidated Plan 21
fault zones located within a 15 -mile radius of the City that .could be responsible for
considerable ground shaking in the event of a major earthquake.
Most of the City of Rosemead is located within an identified liquefaction zone. According
to the definition of this zone, the City lies within an area where historic occurrence of
liquefaction, or local geological, geotechnical and groundwater conditions indicate a
potential for permanent ground displacements that require mitigation measures in
accordance with the Public Resources Code Section 2693 [c].
Market Constraints
Table 12 shows the major components of housing cost: construction costs, labor costs,
land costs and financing.
Table 14 Housing Cost Components
x 99N Com
Finished lot
$37,524
23.6
Construction _
87,132
54.8
Financing
3,021
1.9
Overhead and general expenses
9,063
5.7
Marketing
2,226
1.4
Sales Commission
5,406
3.4
Profit. .
14,628
9.2
Source: National Association of Home builders (lyplcal cost brealWown of a single - family nome In
Rosemead, based on a median price of $159,000)
Construction Costs
The single largest cost associated with building a new house is the cost of materials,
comprising 50 — 60 percent of the sales price of a home. Construction costs for a wood -
frame, single- family construction of average to good quality range from $60 to $85 per
square foot. Costs for wood- frame, multi - family construction of average to good quality run
from $50 to $70 per square parking, exclusive of parking.
Land
Land costs include the cost of land, site improvements and all costs associated with
obtaining government approvals. Land costs can vary significantly in Rosemead
dependent primarily on location, zoning and the availability of infrastructure to serve future
development. It is estimated that these costs add 20 to 25 percent of the final sales price
of a home. The escalating market price of land will tend to encourage mainly higher price
development. In January 2000, the Los Angeles Times reported that the median new
home sales price per square foot (lot and improvements) in Rosemead is $141.00
2000 -2005 Consolidated Plan 22
Labor Costs
Labor, which is included in overall construction costs, is the third most expensive
component in building a house, comprising an estimated 20 percent of the cost of
construction. The cost of union labor in the construction trades has increased steadily
since the mid- 1970's.
Financing
While interest rates have fallen more than 12 percent from their near 20 percent high in the
early 1980's, rates still have a substantial impact on housing costs that are felt by renter,
purchasers and developers. The decline in interest rates has enabled more people to
enter into homeownership; however, much of conventional financing is now variable rate.
The fact that lending institutions may raise rates to adjust for inflation can lead many
existing households to overextend financially.. An additional obstacle for the first -time
buyer is the down payment required by lending institutions of between 10 and 20 percent.
Other Community Development Needs
This section covers non - housing related community development needs, including
infrastructure, facilities and services.
Public Facilities and Public Services -
Public facilities include streets, sidewalks, street lighting systems, traffic signals, water
systems, storm drains; sanitary sewer systems, parks and recreational facilities and
schools.
Public services include public health, education, recreation, social services and homeless
shelter operations.
ADA Improvements
The Americans with Disabilities Act (ADA) requires all cities to provide accessibility to the
community. Because of this, the City needs to construct improvements to public facilities
to accommodate the number of handicapped and disabled individuals in the City. The City
has an active program to create curb cuts and other accessible features in its infrastructure
improvement programs.
Capital Improvements (Infrastructure)
The City has also identified areas in its low- income neighborhoods that need improvement
in infrastructure, roads, storm drain and community facilities.
2000 -2005 Consolidated Plan 23
Public Services
The City has an ongoing need for youth services, including peer programs, tutoring,
diversion, social /recreational activities and abuse intervention. The City has an active
Parks and Recreation Department to provide recreation services, as well as providing
assistance to public service providers for additional services.
The City also has an ongoing need for transportation programs for those of low income and
those having mobility impairments. The City has a partnership with the County to provide
public transportation services through MTA and has a Paratransit program, which is not
funded through CDBG.
There is an ongoing need for nutrition services for the elderly, along with services for those
at -risk of homelessness.
Economic Development
The City has an active Redevelopment Agency to provide economic development
opportunities to the community. The Redevelopment Agency is currently in the process of
establishing Redevelopment Project Area Number 2, which will provide economic
development and commercial rehabilitation activities to properties located within the
boundaries of the Project Area. Also, the City maintains a CDBG- funded economic
development and commercial rehabilitation program for properties not located in the
Project Area. The Agency is in the planning stages of offering an additional commercial
rehabilitation and economic development program in its Project Areas.
2000 -2005 Consolidated Plan 24 -- - --
Housing And Community Development Strategic Plan
The Strategic Plan brings resources and needs together in a coordinated five -year housing
and community development strategy. The strategy is developed to achieve the following
goals:
1. Provide decent, safe and sanitary housing;
2. Create suitable living opportunities
3. Expand economic opportunities
The Strategic Plan must also be developed in accordance with the need to eliminate slum
and blight, eliminate conditions that are detrimental to the health, safety and public welfare,
conserve the nation's housing stock, expand and improve the quantity and quality of
community services, better utilize land and other natural resources, reduce the isolation of
income groups within communities and geographical areas, restore and preserve
properties of special value, alleviate physical and economic stress and conserve the
nation's scarce energy resources.
Housing and Community Development Resources
Resources available to the City to implement the Strategic Plan are Community
Development Block Grant (CDBG) funds and HOME funds. The Agency will use
Redevelopment funds for infrastructure and other economic development programs. The
City may continue to pursue a variety of other resources for the development of programs,
including affordable housing, as well as continue to use the Section 8 rental assistance.
2000 -2005 Consolidated Plan 25
Housing and Community Development Projects and Programs
The City's goals through the next five (5) years are to:
• Preserve the City's existing affordable housing stock through rehabilitation
• Assist low -to- moderate income households secure affordable housing, whether rental
or home ownership, through a variety of programs
• Reduce and /or eliminate slum - blight through active code enforcement in identified
target areas
• Continue to provide assistance to those at risk of homelessness
• Continue efforts to further fair housing so that persons, regardless of race, creed, color,
national origin, religion, sex, family status, age, handicap /disability have an equal
opportunity to secure decent housing and are treated fairly in accordance with Title VIII
of the Civil Rights Law of 1968 in dealing with landlords, real estate brokers and
lenders.
• Improve infrastructure and economic opportunity for low income areas and persons
• Continue activities designed to improve access to public infrastructure for the
- handicapped /disabled
General Priorities for Allocating Investment Geographically
CDBG and HOME dollars will be spent in the areas of home ownership, housing
rehabilitation and public services without regard for geographic boundaries, but focusing on
low -to- moderate income individuals and households.
Infrastructure activities will primarily be undertaken in low -to- moderate income areas, while
economic development activities will be undertaken in previously identified areas, e.g.
Redevelopment Project areas and the City's identified revitalization area.
General Relative Priorities for Allocating Investment
Based on HUD recommendations and the City's prior practices, general relative priorities
for funding will be as follows:
HIGH PRIORITY: Activities to address this need will be funded by the City during the five -
year period.
2000 -2005 Consolidated Plan 26
MEDIUM PRIORITY: If funds are available, activities to address this need may be funded
by the City during the five -year period. Also, the City may use other sources of funds and
take actions to locate other sources of funds.
LOW PRIORITY. It is not likely the City will fund activities to address this need during the
five -year period. The City will consider certifications of consistency for other entities'
applications of Federal assistance.
NO SUCH NEED: The City finds there is no need or the City shows that this need is
already substantially addressed. No certifications of consistency will be considered.
Obstacles to Meeting Needs and Reduction of Barriers
The City will work to reduce barriers to meeting needs through the following:
The City will continue to look at ways to facilitate the construction of affordable housing.
This could include development through the Rosemead Housing Development
Corporation, including assistance with land purchase, looking at potential sites for
construction and /or recycling of current sites for residential use.
The City will assist the Adams Mutual Water Company with funding to drill a new well,
thereby providing better and more inexpensive water access to the low -to- moderate
income neighborhood served by them. _ --
The City will use HOME funds to help create a first -time homebuyer program to work in
conjunction with the Redevelopment Agency homebuyer program in order to promote
affordable home ownership for low- income households.
Priority Housing Needs
STRATEGY: Preserve the City's existing affordable housing stock through rehabilitation.
The majority of the housing stock in the City of Rosemead is 30 years of age or older. As
the housing stock continues to age, these units will require more rehabilitation. The City will
continue to provide rehabilitation through its Residential Rehabilitation Program. The goal
is to serve 100 households over the five -year period.
STRATEGY: Assist low -to- moderate income households secure affordable housing,
whether rental or home ownership, through a variety of programs. The SCAG RHNA
numbers indicate that many low -to- moderate income households are overpaying for
housing and that there is a need for additional affordable units. In order to help meet this
demand, the City will continue to:
2000 -2005 Consolidated Plan -27
• Continue to support the Housing Authority's Section 8 Voucher program.
• The City also has established a first time homebuyer program funded through the
Redevelopment Agency and its considering adoption of a HOME - funded program for
households that require deeper subsidy.
• The City is also in the process of completing design work and specifications for 72 units
of low income senior housing.
The goal over the next five years is to continue the Section 8 program, to complete the 72
units of housing and to create 50 new homebuyers.
STRATEGY: Continue to provide assistance to those at risk of homelessness. The City
will:
.• Continue to participate in the Continuum of Care
• The City will continue to provide funding opportunities to those at risk of homelessness
through its public service grants program. The goal is to serve 50 clients over the next
five (5) years.
Public Housing and Section 8
There is no public housing in the City of Rosemead.
The City will continue to support the use of Section 8 assistance through its contract with
the Los Angeles Community Development Commission ( LACDC). In addition, the City
collaborates with the LACDC through the Consolidated Plan and Agency Plan process.
Although the LACDC is a separate entity from the City, the City will continue to support
efforts on behalf of the Commission to encourage self - sufficiency and homeownership
opportunities.
Lead -Based Paint
The City of Rosemead has a Residential Rehabilitation Program, which is intended to help
lower income homeowners preserve affordable housing stock in our community that
otherwise would continue to deteriorate without financial assistance. The program is
funded by CDBG. Staff for the program adhere to current lead -based paint regulations as
they relate to CDBG and rehabilitation programs. Staff will continue to implement lead -
based paint regulations in these programs
Finally, the City prohibits the use of lead -based paint in its contracts and specifications and
refers home owners and contractors to the updated brochures regarding lead -based paint.
2000 -2005 Consolidated Plan 28
Institutional Structure
The City has an inclusive approach that uses a variety of organizations and departments
within the City to coordinate activities and deliver service. The community continues to
work together to streamline the process and to make improvements to the system. As the
needs of low -to- moderate income residents change, the demand for types of service
delivery modules will change.
The following are potential gaps in the institutional structure that will be approached over
the next five (5) year period.
Gaps in Service Delivery
• Identify any need for housing resources available to individuals and households whose
needs may not be met within the current program framework;
• Because of the high cost of vacant land, look for additional ways, outside of traditional
development modules, to develop units.
• Partner with the Redevelopment Agency and, possibly others, to coordinate economic -
development and job creation opportunities.
Integrated ApproachNision and Regional Connections
The City has integrated several required programs and plans with its Consolidated Plan to.
ensure that all aspects of City government and related agencies (e.g. non - profit providers,
the Redevelopment Agency and others) work together on a uniform vision for the benefit of
the residents of the City of Rosemead. The CDBG .work programs reflect goals and
objectives that are contained in the required programs and plans. Some of these plans
and programs are as follows:
• The Housing Element,
• The Redevelopment Agency Plan,
• The Capital Improvement Plan,
• The City's ADA Improvement Plan,
These plans have been created with input from the public, other City departments and
divisions, and other agencies and non- profit providers
Organizational Structure
City staff is responsible for implementing policy decisions, funding allocations and
geographic distribution of the City's CDBG, HOME and other housing funds, management
of the CDBG budget, administration of the City's portion of the HOME program and budget,
administration of the Redevelopment Housing Set - Aside funds and development,
implementation and /or monitoring of other — housing programs. Administration of the
-- 2000 -2005 Consolidated Plan 29
Housing Rehabilitation Program, public service agencies and other programs will be the
responsibility of the Community Development Division.
Continuum of Care
In the 1990 Census, 20 people were identified as homeless. According to the Census,
there were no unsheltered homeless in the City. In 1999, the City held a Homeless Count
night. As seen in the Needs Assessment, there were only 13 -16 homeless persons and no
runaway youth.
The City is a partner in the Countywide Continuum of Care and also provides funding
opportunities through its public service grants for agencies that provide services to at -risk
populations.
Special Needs
STRATEGY: The City supports special needs services for at -risk populations. During the
term of this Consolidated Plan, the City will support senior nutrition services through CDBG
public service grant amounts as they are available, through its transportation program and
through other sources. Primary needs are for youth services, childcare, after - school
activities, transportation, meals program and ADA improvements.
Priority Community Development Needs
STRATEGY. Improve infrastructure. This covers needed infrastructure improvements in
low -to- moderate income neighborhoods to improve access and quality of life. Needed
infrastructure improvements include storm drain improvements, gutters, sidewalks, curbs,
street resurfacing. The goal is to complete five (5) infrastructure projects over the next five
years.
STRATEGY: Eliminate slum /blight conditions. There is an identified need for Code
Enforcement activities in the identified target areas in order to eliminate existing slum /blight
conditions. The goal over the next five (5) years: the City will monitor whether such
activities remain necessary and will fund as appropriate.
STRATEGY. Improve economic opportunity. There is a need for economic development.
Over the next five (5) years, this includes creation of Redevelopment Project Area Number
2, commercial rehabilitation and other economic development activities and to create
capital improvements to the existing commercial stock, primarily through the
Redevelopment Agency. The goal over the next five (5) years is to assist ten-(10)
businesses through either CDBG or Redevelopment activities.
2000 -2005 Consolidated Plan 30
STRATEGY: Continue to implement the City's ADA Plan to improve access for the
handicapped /disabled. The goal over the next five (5) years involves completing ten (10)
ADA curb cuts and infrastructure improvements.
Economic Development
STRATEGY: As part of its Economic Development Strategy, the City has an active
Redevelopment Agency and a Five year Plan for implementation of activities to address
redevelopment needs. See above.
Jobs Creation and Retention: The City has an active Redevelopment Agency to create an
atmosphere which will allow for job creation and retention. In addition, the CDBG
commercial rehabilitation program and its economic development loan program require job
development for all projects, except for small -scale exterior renovations. All .projects are
carried out in the City's designated revitalization area. In the next year, the Agency plans
to develop a Redevelopment- funded commercial rehabilitation program and economic
development program for its Redevelopment area businesses, to complement the small
CDBG- funded commercial rehabilitation program. In addition, the Agency will continue to
provide infrastructure improvements in the Redevelopment Project areas, including street
lighting, drains, sidewalk, street repair.
Anti- Poverty Strategy - - -
The City has a Section 3 program that applies to construction projects funded with CDBG
and /or HOME funds. The Section 3 program is intended to provide employment
opportunities for low- income people and qualified Section 3 businesses.
There are also various agencies in the region that provide a wide range of programs and
services directed at helping people become self - sufficient, such as non - profit providers.
The City relies on cooperation with these entities in the existing institutional structure,
including the tACDC, county agencies, colleges-
The City supports, through its public service grants, agencies that provide counseling,
emergency food, clothing and other requirements to assist families at risk. In addition, the
City provides after school recreation, tutoring and child care opportunities to low income
households in order to promote learning and to assist working parents and /or parents
enrolled - - in school with opportunities for advancement while providing a structured
environment for their children.
The LACDC provides, and the City supports, the Family Self- Sufficiency program that is
operated within the City of Rosemead. This program helps recipients of housing
assistance become more self- sufficient and rewards them through an escrow account
system, once they no longer receive public assistance and housing assistance.
- -- 2000 -2005 Consolidated Plan 31 -
The City provides a commercial rehabilitation and economic development program that
provides construction opportunities, assistance to micro - businesses and job creation
opportunities, as well as promoting economic development.
The Community Development Division is responsible for administering the City's CDBG
and HOME programs. The Community Development Division is responsible for Residential
Rehabilitation, Commercial Rehabilitation, development, other economic development,
public services and oversight on CDBG- funded construction projects. Planning is centrally
located at City Hall and this makes it possible to coordinate efforts in serving low- income
residents of the City.
Fair Housing (AI)
As a recipient of CDBG funds, the City of Rosemead is required to develop a fair housing
program whose specific actions and procedures will have an impact on preventing,
reducing or eliminating housing discrimination and other barriers to equal housing choice
based on race, color, religion, sex, national origin, ancestry, familial status or physical or
mental handicap.
In FY 1999, as part of the FY 2000 Consolidated Plan process, the City is in the process of
updating its Analysis of Impediments to Fair Housing (AI).
Definition of Fair Housing
Fair Housing is defined as a "condition in which individuals of similar income levels in the
same housing market area have a like range of choice available to them regardless of
race, marital status, color, religion, ancestry, sex, sexual orientation, national origin, familial
status, age, physical or mental disability, arbitrary or any other category which may be
defined by law now or in the future."
Impediments to Fair Housinq
Impediments are defined as:
• any action, omission, or decision taken because of race, color, religion, sex, disability,
familial status or national origin which restricts housing choices or the availability of
housing choices, or
• any action, omission, or decision which has the effect of restricting housing choices or
the availability of housing choices on the basis of race, color, religion, sex, disability,
familial status, or national origin.
Based on the conclusions of the Al, if the CDBG grantee takes lawful steps to eliminate
identified impediments to fair housing choice within its jurisdiction, the grantee will be
determined to have taken affirmative actions to further fair housing choice.
— 2000 -2005 Consolidated Plan 32
Results of Assessment
The Assessment was undertaken by the Fair Housing Council of San Gabriel Valley and
included testing of rental housing, telephone surveys, examination of home mortgage data.
Rental Housing
Results of the analysis show that discrimination does exist and consists primarily of Asian
landlords discriminating against other ethnic and racial groups, especially Caucasian and
Hispanics. This is consistent with the findings of the last Analysis of Impediments (AI).
Home Ownership
The results of analysis of home mortgage data shows that there is not enough information
to draw a conclusion as to whether redlining exists in the City of Rosemead, although the
data does show that demand for homes is concentrated in higher- minority areas of
Rosemead. Also, unlike the balance of the County, there are significant numbers of
minorities in the applicant pool from Asian American and Hispanic groups. African
American and Caucasian applicants are a very small percentage of all loan applications in
the City of Rosemead. Data does show, however, that Asian Americans and Caucasians
have higher levels of home purchases and refinancing rates that Hispanics, when there is
a sample large enough on which to make a comparison.
Actions
The following actions will be undertaken during the term of the Consolidated Plan
regarding fair housing activities:
1. Provide ongoing landlord /tenant counseling regarding fair housing, landlord /tenant
rights
2. Provide follow -up to complaints of possible discrimination, including testing,
mediation, referral to the Department of Fair Employment and Housing and /or the
Department of Housing and Urban Development for follow up
3. Continue to provide special outreach and education to landlords of multi - family
properties in the City of Rosemead regarding their responsibilities and rights under
fair housing in at least one event per year
4. Provide one special event during Fair Housing month in April of each year
5. Continue work under Fair Housing grant to educate immigrant populations regarding
fair housing rights and responsibilities _
6. Provide information materials to the rental market regarding discrimination, fair
housing rights and responsibilities, including mailings of literature
2000 -2005 Consolidated Plan 33
7. Prepare flyers and brochures regarding familial status discrimination and provide at
outreach events
8. Continue to provide the Redevelopment Agency- funded First Time Home Buyer
program and provide HOME funds to target lower- income households
9. Provide homeowner education to each participant as part of the First Time Home
Buyer Program
10. Construct 72 units of Redevelopment Agency- funded housing for low income elderly
households
- - -- -2000 -2005 Consolidated Plan 34
One -Year Action Plan, 2000 -2001
Funding Sources (Annual)
The City anticipates receiving:
$1,513,000 in CDBG funds as an entitlement entity. Of this, 15% is set aside for public
services and a portion is set aside for administrative costs. In addition, the City will
reallocate any unexpended CDBG funds to CDBG - eligible projects.
$504,000 in HOME funds.
Leveraging
The City uses a variety of mechanisms to leverage additional resources. In Residential
Rehabilitation, products are offered as grants, rebates and loans with payments either
required or deferred until sale. The City also leverages funds through its use of
Redevelopment funds and Redevelopment Housing Set -Aside funds, through required
.down payments in its First Time Home Buyer program, through its transportation monies
that fund transportation programs. Some programs are fully leveraged and receive no
CDBG or HOME assistance, while others supply the gap funding necessary to operate the
program. All HOME funds meet the federal match requirements. HOME match is
monitored through the City system as part of program operations. HOME match in the
first -time home buyer program will be made through down payments and /or matching
Redevelopment Housing Set -Aside funds. Match is made in the Residential Rehabilitation
program through lending done by First American Bank and loan repayments by recipients.
2000 -2005 Consolidated Plan 35 ---
Summary of Work Program
In FY 2000 -2001, the following work program will be implemented:
CDBG and HOME
Administration of CDBG and HOME programs
CDBG
Fair Housing activities to ensure equal housing access for all
Residential Rehabilitation
Economic Development through the Commercial Rehabilitation Program and other
economic development activities
Public services for youth, seniors and those at risk of homelessness
Insert balance of work program here
HOME -
First Time Home Buyer opportunities through the City Homebuyer Program
Funding for Community Housing Development Organizations (CHDO) through the CHDO
set -aside
Funding for interest rate buy downs in the Residential Rehabilitation Program
Integrated ApproachfVision
As stated in the Strategic Plan, the City has integrated several required programs and
plans into its Consolidated Plan to ensure that all aspects of City government and related
agencies work together on a uniform vision for the benefit of the residents of the City. The
CDBG and HOME work programs reflect goals and objectives that are contained in the
required plans and programs. -
Coordination and Institutional Structure
The City will continue to focus on improving coordination and elimination of gaps in the
institutional structure. The City has continued the liaison between the City and the LACDC.
2000 -2005 Consolidated Plan 36
The City also continue to participate in a variety of organizations to promote economic
development, as well as intergovernmental cooperation. In the coming year, the City will
pursue the following activities to enhance coordination and eliminate gaps in the
institutional structure:
• Continue to be a member of the Continuum of Care
• Attend meetings between public providers as necessary
• Continue contractual relationship with LACDC
• Work with LACDC to ensure consistency in Agency Plan
• Continue to be member of SCAG and other regional entities
Public Housing
There is no public housing in the City of Rosemead.
Homelessness
The following activities will be undertaken to continue to address priority needs of
homeless individuals and families:
Work with the Redevelopment Agency and the Rosemead Housing Development
Corporation to develop opportunities for affordable housing
• Continue to be a member of the Continuum of Care
Continue to provide funding opportunities through the public service grant program
Lead -Based Paint Hazards
In the City of Rosemead, the following actions will continue to be undertaken in the fiscal
year to evaluate and reduce lead -based paint hazards:
• Continue to provide information to staff and residents regarding lead -based paint
hazards
• Continue to work with contractors to understand lead -based paint hazards and to
comply with regulations
• Implement new lead paint regulations as they become effective
2000 -2005 Consolidated Plan 37
Reduction of Barriers
Of the potential barriers to affordable housing in the City of Rosemead, the greatest
barriers are affordability, cost and lack of available land for construction. In FY 2000, the
following activities are planned:
• Construct the affordable senior housing development
• Continue the City's First Time Home Buyer program
• Expand the First Time Home Buyer program to those under 80% of median
• Continue the City's Residential Rehabilitation program
Anti - Poverty Strategy
-In the following year, the City will continue to implement its Anti - Poverty Strategy through
continuing its CDBG funded public_ service grant program and its non -CDBG funded
transportation program. In addition, the City will continue to work to implement
Redevelopment Project Number 2, its Section 3 program and other economic opportunities
that provide jobs.
Monitoring
Programs administered and monitored by the City include the following:
• CDBG
• HOME
Performance of planned projects and activities of these funds are monitored in various
ways depending on the type of program and reporting requirements. Monitoring is viewed
as a way to identify deficiencies and promote corrections in order to improve performance.
The actual activity of monitoring helps promote quality performance as well as identify any
need for further technical assistance.
- -- The following is a description of the types of monitoring performed by staff:
• Performance. monitoring
• Financial monitoring
• Davis -Bacon Compliance
• Environmental Review Compliance
2000 -2005 Consolidated Plan 38-
Monitoring includes: on -site visits, interviews, telephone contacts and reports. The City's
subrecipient agreements are used to measure funded agency compliance.
The City operates in compliance with the monitoring plan developed for CDBG and HOME
programs, including an annual single audit in conformance with OMB Circular 133 -A. All
activity of the program is also monitored on a monthly basis, while financial management is
monitored jointly by the Grants person and the City's Finance Department.
Financial Monitoring
All project costs are paid on a reimbursement basis, rather than paid in advance. A
request for reimbursement must have appropriate documentation to verify all expenditures.
A current report of program activities must also be attached to the draw down request.
The combination of data from the request and program activities report provides the data
necessary to input data in the IDIS system. Collecting this data during the program year is
very helpful in compiling year end reports. By requiring documentation in association with
reimbursement, the City's Planning and Finance Departments are able to closely monitor
program requirements and ensure program goals are being met.
Davis -Bacon Compliance
Davis -Bacon regulations require contractors and subcontractors to pay a certain wage to
employees in various labor classifications. These regulations are a requirement of CDBG
and HOME program subgrantee agreements. All applicable CDBG and HOME program
projects are monitored for compliance with Davis -Bacon requirements.
City staff or subgrantees, where appropriate, check the state board to ensure contractors
selected are licensed. The debarred list from the HUD Home Page is also used. Once the
contractor is selected, the contractor signs a contract. The department or subgrantee
holds a pre- construction conference, reviews contractor and subcontractor payrolls, makes
site visits and interviews contractor /subcontractor employees. Interview forms are
compared with appropriate payrolls to ensure hours and pay are correct- All paperwork
requirements are kept by the City. Site visits give staff the visual perspective of project
progress and confirm reported performance and supplement written reports. Site visits are
made to see how services are delivered to clients, provide technical assistance and inspect
progress of construction projects.
Resale /Recapture
The City will create a first time home buyer program that is funded partially through HOME
funds. This program will have resale /recapture provisions that require equity share in
accordance with federal regulations. Loans are secured by Deeds of Trust and the City is
notified when an owner wishes to sell the property.
2000 -2005 Consolidated Plan 39
Reporting/Tracking Systems
Performance is tracked and reported as stated above. Reports are reviewed by
labor compliance officers or the Grants Coordinator. Any discrepancies are
address with the appropriate entities. Records on performance are kept in the
project file. Accuracy of data is confirmed by site visits and monitoring.
Environmental Review Compliance
Each project that is budgeted is first reviewed for compliance with the National
Environmental Protection Agency regulations (NEPA). California Environmental
Quality Act (CEQA) regulations may also apply. Projects that are community
service in nature are exempt from NEPA. Projects that required further
investigation are researched using input from Environmental Regulatory
agencies. For projects that fall in this category, a description of the project is
sent to the State Office of Historic Preservation (SHPO) and to other applicable
regulatory agencies for consultation. Once required consultations have been
completed and any mitigation measures identified, the City prepares the
appropriate paperwork, including the Statutory Worksheet and publishes a
combined NOI/RROF and /or Finding regarding impacts (or Environmental
Assessment [EA] if applicable). Once environmental clearance has been
obtained, the project can move forward to City Council and /or bid, etc. as
appropriate. All Environmental Reviews are monitored by the Grants
Coordinator. -
Anti - Displacement and Relocation Assistance Plan
The City of Rosemead does not intend to undertake any activities in which any
occupied lower income housing or any business is demolished or converted to
another use. If.the City would undertake such an activity with funds provided
under CDBG or HOME, the City would follow federal regulations under 24 CFR
570.496.a(c)(1) and 24 CFR 570.606(c)(1) or their successors regarding
relocation, relocation benefits and replacement of housing.
Listing of Proposed Projects
LOW:
Administration
$178,000
Fair Housing
23,000
Code Enforcement
97,500
Housing Code Compliance
54,756
Rehab. Activities
58,968
Residential Rehabilitation
250,000
Commercial Rehabilitation
250,000
Garvey Community Center
900,000
2000 -2005 Consolidated Plan 40
Grand Avenue Storm Drain
Ralph /Olney /Hart Storm Drain
Street Lighting Project
Street Resurfacing
Public Services
TOTAL
HOME -
Administration
Residential Rehabilitation
1 Time Home Buyer
TOTAL -
$235,000
800,000
425,000
450,000
226,950
3,983,812
$25,200
409,750
520,200
955,150
2000 -2005 Consolidated Plan 41