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HDC - Item 2 - Tenant Selection Process For Garvey Senior Housing ProjectA ' Q 4 � t• Memorandum To: Bill Crowe, Executive Director From: Stephen Copenhaver, GRC Date: July 2, 2002 Subject: Tenant Selection Process for Garvey Senior Housing Project Attached, please find a copy of a report prepared by the Levine Management Group, Inc. that addresses questions raised at the Commission's meeting of May 14, 2002. The document lists the tenants occupying the Angelus Senior Housing project, the units that have turned over and the date each tenant moved into the complex and the current waiting list. In addition to the issue relating to resident occupancy at the Angelus Project, the Commission requested information relating to verification of income. The suggested procedure for qualifying tenants will include requesting tax returns for the prior two years, proof of social security income, W -2's, bank statements and a search of tax assessor's ownership records over the past three years of the applicant's addresses. We have inquired about the possibility of requiring waivers and making direct inquiries to the IRS to verify income. However, we have been advised by Congresswoman Solis's staff that City initiated IRS inquiries are not possible. The applicant will have to make the request directly to the IRS. With respect to the priority of offering units for rent, the staff recommendation remains to offer units to individuals on the waiting list in the order that pre - applications were received. Any other method of selecting tenants eligible to be qualified would be extremely difficult to implement because interested parties have been advised of the waiting list for several years following the date the Angelus project was fully leased. In addition to the report from Levine Management Group Inc., I have attached the Tenant Selection Criteria, the original letter from David Kroot, and copies of newsletter articles on the project. Recommendation Direct staff to: a) proceed with pre - leasing efforts verifying incomes following the procedures outlined in this memorandum report; b) selecting tenants on a first come - first served basis from the established waiting list; and c) approve the attached Tenant Selection Criteria. HOUSING AGENDA JUL 0 9 2002 ITEM No. 02. ,i • May 31, 2002 Don Wagner Assistant City manager 8838 E. Valley Blvd. Rosemead, California 91770 Re: Garvey Senior Dear Don, Sent via Federal Express Please find enclosed the requested information with regard to the four items the Board had inquired about at the May 14, 2002 meeting: 1. A list of names of each tenant and how long they have resided at Angelus Senior Housing. 2. The vacancy rate history from 1996 through 2002 including the reasons why the tenants moved out. 3. There were no original tenants that moved in from the trailer park during the initial lease -up. 4. Please see the attached updated waiting list. Please do not hesitate to contact me with any questions. Sincerely, LEVINEMANQAGEMENT GROUP, INC. Michele Kuraner Director of Occupancy LEVINE MANAGEMENT GROUP, INC. • 822 S. ROBERTSON BLVD., SUITE 200 • Los ANGELES, CA 90035 -1613 • 310 -358 -3489 • FAX 310 - 358 -3494 w .Ievinegroupsxom Date 05/20/2002 Tenant List - Summary Page Report: TR40 - - ANGELUS SENIOR HOUSING Current Tenants For the Period Ending 05/31/2002 Tenant Name Last First Initial Relationship On Lease Unit # Birthday Move In Move Out CALDERON RICARDA Head of Household Yes 308 / 04/01/1995 10/13/2000 / / CAO SU ZHEN Head of Household Yes 205 / / 05/01/1995 / / CHANG JEN Head of Household Yes 207 / / 04/01/1995 / / CHANG YUNG HSIAN Head of Household Yes 401 / / 05/01/1995 Other Family Member CHANG SHEAU JUNG Other Family Member Yes 209 / BERTHA /tso A of Household Yes CHANG HENG CHEN Head of Household Yes 209 PAK S Head +-� /j$/0 Yes 313 CHANG KUEI CHEN Head of Household Yes 314 Head of Household LJ /!5/o 409 CHARLES REYNALDO Head of Household Yes 111 / / 104/01/1995 / CHENG PING Head of Household Yes 403 / / 05/01/1995 CHING SHIH Head of Household Yes 304 / / 09/01/1997 CHU SUN Head of Household Yes 106 / / 10/15/1996 CHU CHIEN Head of Household Yes 109 / / 05/01/1997 KAI CHUEN CHEN Head of Household Yes 306 / / 05/01/1995 KAVANAUGH JOSEPH CONTRERAS AMPARO Head of Household Yes 105 / / 03/01/1995 GAN Head DAVIDSON JOHN C Head of Household Yes 211 LEUNG q 15101`l Head of Household nrn £HF spouse— / 04/01/1995 .Yes LIMON SOCORRO Head of Household Yes DTD -'- .. DFD... lead of lhonsel old Yes LIN PING Head of Household Yes 302 DING ALICE Head of Household Yes 407 / / 05/01/1995 215 / DUONG HONG Head of Household Yes 309 / / 04/01/1995 / / ESTORGA OFELIA Head of Household Yes 310 / / 04/01/1995 EVANS BETTY Head of Household Yes 406 / / 03/01/1995 GONZALES HORTENCIA Head of Household Yes 213 / / 04/01/1995 HAU KUK Other Family Member 104 / / 01/01/1997- HERNANDEZ BERTHA Head of Household Yes 102 / / 03/01/1995 HO PAK S Head of Household Yes 313 / / HOANG, JIMMY. Head of Household Yes 409 (0]4/01/1995 HON YEE FAR Other Family Member Yes / HON YEE HAR Other Family Member Yes / HON JEE HUNG Head of Household - Yes -iOw — HWANG CHAO Head of Household Yes 410 / / 04/01/1995 JIANG SI SHAN Head of Household Yes 408 / / 05/01/1995 KAI LIU Head of Household Yes 104 / / 01/01/1997 KAVANAUGH JOSEPH Head of Household Yes 212 / / 03/01/1995 KYAN GAN Head of Household Yes 204 / / 03/01/1995 LEUNG WING Head of Household Yes 312 / / 04/01/1995 LIMON SOCORRO Head of Household Yes 214 / / 04/01/1995 LIN PING Head of Household Yes 302 / / 05/01/1995 MACHUCA FELISA Head of Household Yes 215 / / 03/01/1995 MANAGER UNIT Head of Household Yes 107 / / 02/15/1995 NGUYEN BINH Head of Household Yes 203 / / 04/01/1995 NGUYEN DUC THI Head of Household Yes 201 / / 04/01/1995 NGUYEN OUY Head of Household Yes 404 / / 05/01/1995 NGUYEN IND Head of Household Yes 208 / / 04/01/1995 NGUYEN TUONG Head of Household Yes 101 / / 03/01/1995 NGUYEN MINH Other Family Member Yes 206 / / - 04/01/1999 / / Date 05/20/2002 Tenant List - Summary Page 2 Report: TR40 ANGELUS SENIOR HOUSING Current Tenants For the Period Ending 05/31/2002 Tenant Name Last First Initial Relationship On Lease Unit # Birthday Move in Move Out ORTEGA MICKEY Head of Household Yes 301 / / 04/01/1995 / / RAMOS MARCELA Head of Household Yes 108 / / 03/01/1995 / / REYES TERESA Head of Household Yes 202 / / 03/01/1995 / / SUN XING Head of Household Yes 405 / / - 04/15/1995 / / SZETO YU SIN Head of Household Yes 411 / / 04/15/1995 / / TIET HONG Head of Household Yes 103 / / 06/16/1997 TING -CHIN SHAD Head of Household Yes 110 TRAN OUANG Head of Household Yes 206 04/01/1999 TSENG JEN MEI Head of Household Yes 307 / / 03/01/1995 TZEN MEIWEN Head of Household Yes 311 / / 07/01/1996 WANG MIN HUA Other Family Member Yes 109 04/01/1999 05/01/1997 WU HSIA HSIAN Head of Household Yes 303 / / 05/01/1995 WU ANN J Head of Household Yes 305 1-�/8/�,9 ZHAO JIN Head of Household Yes 210 / / 02/01/1997 ZOEN YING-TAI Head of Household Yes 402 / / 05/01/1995 / / ANGELES SENIOR HOUSING VACANCY RATE HISTORY 1996 THROUGH 2002 Apt. # Name Date Vacant Reason 106 Ortiz 10/15/96 Deceased 104 Diep 12/31/96 Move out of area 210 Quartuccio 01/31/97 Deceased 110 Armenta 03/29/97 Moving in w /family 109 Mata 04/12/97 Move in w /sister as caretaker 103 Garcia 05/31/97 Deceased 304 Lea 08/18/97 Deceased 206 Luo 03/31/99 Move in w /son 211 Hoang 09/04/99 Move in w /daughter 409 Lee 08/27/99 Move in w /daughter 305 Delgardillo 12/01/99 Move close to family 314 DelRio 03/31/02 Move close to family 209 Ledesma 04/12/02 Move close to family o N O A n m N � o Q o e a n m d o - m o' z O 'o O n c O n o i w n n n a o m R o m _ o z < n i Z � °o v n u 9 'm c 'm a n n ' A D 2 m r c N • 4� D m { N m Z 0 A C !p Z L m f7 { S D r_ (7 • D Z 1 D 2 r i i V m N N ` V O O O O O O O O O O O O YT y _ j D Z .a !.c c m 3m � A � J Z 'tn 3iN gym' <i 'r4 2 m.,: W N > W W rt m N W N m V N V N O ? < m m 3 m m 3 o m o D D m w > D _ m m N m N m N N m O so N m N m N- m N m N m N m N m x rn m r n orz m y: lg ' z o - a;mt D 2 m r c N • 4� D m { N m Z 0 A C !p Z L m f7 { S D r_ (7 • D Z 1 D 2 r f D Z , L m r F C N 0 m W Q D m 0- A m z 0 x O 0 m c cn Z G T A O Mm m m. n c a v V { V r n D Z rn rn m m rn m rn m rn m rn rn m o � A W W W T W m N N A A A D Q N N N N N N N N N N N N N y m y ..A � Z i Z C � 0. m D m m y a 0 Z. 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D 1 , Z 7 N N O O O !•O r N r N ao to ao io iD iO io m :7y. y' "m y', z {. �z v 0 z' '. 4 ij L S c 0 ` O m N a 2 x { N s2:v O O m m C m m - n 0 m is•m_ S m v is m a o W IN m i �'O �m N m W D �O y m � < c m � � I� Im m N .•? c n vc N N m N m N m N N m N m N m N N I. N N m 91 rn(T rn rn rn Im 91 (T U� (T o !Y•O m O m O m V W N J '.p S O o y r O c "o m TJ r 3tD 0 Summary of Tenant Qualifications and Selection Criteria The following Criteria have been adopted by the RHDC Board to establish the minimum age, income, residency, health standard and the maximum level of financial assets for suitable tenants. These criteria are as follows: Minimum Qualifications Age: 62 years or older for at least one occupant and 45 years or older for co- applicants and live -in attendants for the handicapped. Maximum: The maximum income shall be 40% of area median income as adjusted for household size. The minimum income shall be $8,800 per year. For calendar year 2002 the maximum income for a single occupant would be $13,120 and the maximum income for a two- person household would be $15,000. Residency: Each tenant shall have been a Rosemead resident for six months preceding the application submission date. This criteria shall apply to multiple person households . as well as single person households. Health: Suitable for independent apartment living. Maximum Assets: Ownership of no other real estate and no more than $20,000 per individual in liquid assets such as stocks, cash deposits, bonds, etc. Existing Housing Assistance: Applicants shall not have lived in another, subsidized unit or benefited from another rental assistance program for one year prior to submitting an application. Rent: Consistent with the Angelus project at $250 - $300 per month for a one- bedroom and $450 for two- bedroom units. Two bedroom units will be reserved for not less than two occupants. Handicapped: Handicapped adapted units will be reserved for handicapped residents only and be selected in order of filing of applications. The Law Offices of GOLDFARB & LIPMAN 1300 Clay Street Ninth Floor City Center Plaza Oakland California 94612 Memorandum M David Kroot May 14, 2002 Lee C. Rosenthal TO John T. Nagle Donald Wagner Polly V. Marshall From Lynn Hutchins M David Kroot Richard A. Judd RE Karen M. Tiedemann Preferences for Rosemead Residents and United States Citizens in Affordable Housing Thomas H. Webber - Preference in Tenancy for Residents John T. Haygood We write to respond to your request for advice regarding the proposal that Dianne Jackson McLean applicants for the affordable housing project designated to serve very low income Michelle D. Brewer seniors in the City of Rosemead (the "Development ") be entitled to a selection 415 788 -6 788 -63336 6 preference if they can show that they have resided in the City of Rosemead (the "City') Jennifer K. Bell for some specific period of time. In addition, you have asked us whether the City can Carolyn A. Gold prohibit occupancy of the Development by persons who are not citizens of the United Robert C. Mills States. Isabel L. Brown We understand that the Development will serve elderly and handicapped low - Claudia J. Martin income residents and will be paid for out of the Redevelopment Agency of the City of Wilham F. DiCamillo Rosemead (the "Agency ") low- and moderate - income housing funds and Los Angeles Rafael Mandehnan County (the "County ") HOME funds. Heather J. Gould I Short Answer 610\01 \157571.1 The City and the Agency can impose a preference for residents, and such Of Counsel preference is likely to survive a_court challenge if the residency period necessary to Barry R. Lipman obtain preference does not exceed six (6) months. Steven H. Goldfarb The City and the Agency cannot limit the housing to persons who are citizens of the United States. Oakland 510 836-6336 Preference in Tenancy for Residents 510 836 -1035 PAX nder the U.S. Constitution, as interpreted by the courts, it is a suspect practice San i g rant g to references to local residents distributing government services and p oca resents when 415 788 -6 788 -63336 6 benefits. Courts have frequently struck down residency requirements. The Los Angeles 213 627 -6336 610\01 \157571.1 Donald Wagner May 14, 2002 Page 2 vulnerability to court challenge of a durational residency requirement generally increases in proportion to the length of the requirement. Applicants can be required to prove that they are bona fide residents of a city in order to obtain city services. Long durational residency requirements, however, have been invalidated when they are intended to "reward" long -term residents by offering them benefits denied to newcomers. We believe that any requirement that a housing applicant show more than a few months of residence in the City is at risk if challenged. Analysis -- Potential Challenge Under the U.S. Constitution Generally, the United States Supreme Court has struck down durational residency requirements when they would deny short-term residents equal access to a necessity of life, a means of subsistence, or some other very important benefit.' Courts generally have upheld residency requirements only when a non - essential benefit is at issue, such as the ability to obtain a quick divorce, or the charging of in -state instead of out -of -state tuition.2 Even where a non - essential benefit is at issue, the residency requirement must not further discrimination against genuine bona fide residents.3 Relying upon this line of cases, the California Supreme Court has held that it is unconstitutional for the state to attempt to "take care of its own" by providing veteran's benefits only to persons who were California citizens when they entered the military. Instead of considering former resident status, the state must treat all veterans who are current residents of California equally." ' Shapiro v. Thompson, 395 U.S. 618 (1969) (requiring residence in the state for one year in order to obtain welfare payments violates the equal protection clause and the right to travel under the U.S. constitution); Memorial Hospital v. Maricopa County, 415 U.S. 250 91974) (unconstitutional to limit free medical services to those who have resided in county for more than one year); Zobel v. Wiliams, 457 U.S. 55 (1982) (unconstitutional under the equal protection and privileges and immunities clauses to distribute cash benefits associated with oil production dividends to residents based upon their duration of state residency). Z Sosna v. Iowa, 419 U.S. 393 (1975); Stams v. Malkerson, 401 U.S. 985 (1970). 3 Vlandis v. Klien, 412 U.S. 441 (1973). The state allowed students to establish state residency for all purposes except in -state tuition classification by merely residing in the state, but required one year's residence as a non - student to qualify for in -state tuition. The court held that the state may not treat a person as a resident for all purposes except the purpose of receiving a benefit offered to other bona fide residents. ° Del Monte v. Wilson, 1 Cal.4' 1009, 1020 (1992). 610 \01 \157571.1 Donald Wagner May 14, 2002 Page 3 The courts have distinguished short durational residency requirements, which function as a means of establishing that applicants are bona fide residents, from those which reward long -term residency. The courts have almost uniformly found purpose of rewarding long -term residency to be unconstitutional.5 Based upon these decisions, we believe a short residency requirement (such as three to six months) is more likely to be upheld. It is likely that a lengthy durational residency requirement imposed upon applicants to reside in low - income housing built with public funds would be struck down on constitutional grounds. There is a substantial risk that a court would conclude that any residency requirement exceeding a few months impermissibly rewards longer - term residents over others seeking access to housing, a necessity of life. 6 One lower federal court decision in New York has upheld a one -year residency requirement .7 We do not believe that this decision provides a solid legal basis for establishing a one -year residency requirement. The court failed to discuss whether publicly assisted housing is a "fundamental personal right or interest" or a "necessity of life" under the applicable U.S. Supreme Court cases, and the case was decided prior to the Supreme Court's subsequent and more explicit condemnation of "rewarding" long- term residents through durational residency requirements.8 Due to the lack of available affordable housing in California, there is a substantial risk that a reviewing court would determine that affordable housing is a "fundamental human need" and strike down any requirement that exceeded a few months in length. To defend a residency requirement for the Development, the City would need to show that: (1) the requirement is necessary to assure the City that the applicant is a bona fide resident of Rosemead, and (2) the requirement is not intended to "reward" long -term residents. 5 See Zobel at 63. 6 See King v. New Rochelle Municipal Housing Authority, 442 F.2d 646 (2d Cir. 1971) (five year residency requirement in publicly owned housing projects violates the equal protection clause of the U.S. constitution); Cole v. Housing Authority of the City of Newport, 435 F.2d 807 (V Cir. 1970) (two -year residency requirement in publicly owned housing project unconstitutional). The courts characterized the applicant's interest in eligibility for publicly funded housing as a "fundamental personal right" and "fundamental personal interest." King at 648; Cole at 809. A future court may also further analogize to the welfare cases discussed above and classify publicly supported housing as a "necessity of life." 7 Lane v. McGarry, 320 F.Supp. 562 (N.D.N.Y. 1970). s Zobel at 63. 610\01\157571.1 Donald Wagner May 14, 2002 Page 4 A short period, such as three months, is probably adequate in most cases to establish bona fide residency. In an unreported decision, a California court recently denied a challenge to the City of Carlsbad's short, sixty -day residency requirement for persons seeking to benefit from government assisted housing.9 A slightly longer requirement (perhaps six months) might be justified, depending upon the proof of residency required. It is likely that any requirement as long as, or exceeding, one year would be struck down. Analysis -- Potential Challenge Under the Fair Housing Act The Fair Housing Act of 1968 and its subsequent amendments10 (the "Act ") prohibit housing providers from engaging in practices which have the effect of discriminating on the basis of race, color, religion; sex, national origin, disability or family status. Successful suits have been brought against local governments under the Act. 11 A plaintiff challenging a city practice under the Act need only show that the challenged practice has a discriminatory effect, and is not required to show that the city had a discriminatory purpose or intent.12 Plaintiffs can recover attorney's fees and punitive damages under the Act.13 Because the racial composition of the City of Rosemead has changed over the years, it is likely that a long durational residency requirement (such as 10 years) would 9 Laurent v. City of Carlsbad (finding that plaintiff failed to make a prima facie discrimination claim) (S.D. Cal 2002) 10 42 U.S.C. 3601, et M. See Huntington Branch. NAACP v. Town of Huntington, 844 F.2d 927 (2d Cir. 1988) (town violated act by refusing to amend zoning ordinance to permit construction of multifamily dwellings outside urban renewal area and by refusing to rezone a specific site); Metropolitan Housing v. Village of Arlington Heights, 558 F.2d 1283 (7`h Cir. 1977) (village had obligation under the Fair Housing Act to refrain from zoning policies that effectively foreclosed construction of any low -cost housing). 12 Metropolitan Housing at 1290. 13 A recent federal appellate court ruling reviewing a housing authority's policy of giving preference to local residents in the allocation of Section 8 vouchers, and held that the housing authority's desire to benefit its own local residents might constitute the legitimate business purpose necessary to justify the discriminatory racial impact of the local preference. The court noted that Congress had endorsed local preferences in the recent legislative amendments to the Section 8 program. However, in the absence of such federal statutory authorization, it is doubtful that a local government's desire to serve local residents would qualify as a "legitimate business purpose" to justify disparate racial impact. See Langlois v. Abington Hous. Auth., 207 F.3d 43 (15` Cir. 200). 610 \01 \157571.1 Donald Wagner May 14, 2002 Page 5 have the effect of making the Development disproportionately available to citizens of some racial groups which are no longer representative of the community's present racial makeup. For example, if the white /caucasian population of Rosemead represented a greater percentage of the total City population in 1988 than it does in 1998, a ten -year durational residency requirement would make the Development disproportionately available to white residents. The eligible applicant pool would reflect the 1988, not 1998, racial composition of the community. There is a substantial risk that a court reviewing these facts would find that a lengthy durational residency requirement has a discriminatory effect and violates the Act. 14 In addition, the racial and ethnic composition of nearby communities can be used as a basis for challenging a local preference. When reviewing a challenge to Carlsbad's sixty -day residency requirement for certain government assisted housing, a California court, in an unreported decision, looked to the ethnic makeup of the surrounding communities. It denied the Plaintiffs fair housing claim by noting, in part, that the City of Carlsbad's African American community was not significantly less diverse that the neighboring cities. 15. Generally, if the market area for a housing development would normally include surrounding communities and such communities have substantially fewer minority group residents than Rosemead, the local preference could be struck down as having a discriminatory effect by lessening the chances for minority group members to obtain housing. In addition, the City could be liable to the plaintiffs for damages. It is our understanding that surrounding communities do not have a substantially different racial makeup from Rosemead, and therefore, the local preference should not have a discriminatory effect. We believe that a short (three to six month) durational residency requirement would probably not be found to violate the Act. The vulnerability of a requirement increases as the required residency period lengthens. Shifts in the racial composition of the City over a few months would generally have no significant effect on the Development's available applicant pool and serve a legitimate purpose. A court would therefore be unlikely to find that a short residency requirement had a discriminatory effect. 14 Courts have applied the following facts in determining whether the practice of the local government which produces a discriminatory effect in fact violates the Act: (1) How strong is the plaintiffs showing of discriminatory effect? (2) Is there some evidence of discriminatory intent? (3) What interest does the local government seek to protect? (4) Does the plaintiff seek to compel affirmative action by the local government, or merely restrain the local government from interfering with private housing providers? Arlington Heights at 1290; Huntington Branch at 933. 15 See Laurent v. City of Carlsbad (S.D. Cal 2002). 610 \01 \157571.1 Donald Wagner, May 14, 2002 Page 6 Limitation of Tenancv To Citizens California governmental agencies cannot bar all non - citizens from housing assisted with HOME funds and low and moderate income housing funds.16 The Personal Responsibility and Work Opportunity Reconciliation Act ( "PRWORA ", also commonly known as "the Welfare Reform Act "), does provide for state and local governments to bar certain classes of non - citizens from receiving housing assistance. However, cities seeking to implement the PRWORA restrictions may expose themselves to legal challenges, find the policies that seek to bar those non- citizens overturned, and subject themselves to damages claims. In addition, the City could expose itself to challenges from HUD and the County because of conflicts with HUD's regulations for the HOME program. On August 22, 1996, PRWORA became effective. PRWORA prohibits an alien who is not a "qualified alien" (as defined below) from receiving any federal, state or local public benefit. The definition of public benefit as it relates to state or local benefits is extensive and includes "any grant, contract, loan, professional license or commercial license provided by an agency of the State or local government or by appropriated funds of a State or local government" and "any retirement, welfare, health, disability, public or assisted housing, postsecondary education, food assistance, unemployment benefit, or any other similar benefit for which payments or assistance are provided to an individual, household, or family eligibility unit by an agency of the State or local government ... ".17 The definition of federal public benefits is substantially the same as the above definition. PRWORA includes limited exceptions to the definition of public benefits for such things as emergency medical care, short term shelters for the homeless, victims of domestic violence, and runaways and other short- term, noncash, in -kind emergency disaster relief 18 16 See League of United Latin American Citizens v. Pete Wilson 997 F. Supp 1244, 1254 (1997) (in enacting the Personal Responsibility and Work Opportunity Act ( PRWORA), Congress made it clear that federal government alone would regulate public benefits to non - citizens). 17 Section 411 of PRWORA 18 The Attorney General is authorized to identify programs, services, and assistance to which PRWORA's limitations on alien eligibility do not apply. The Attorney General issued a list of those exceptions and included short term shelter and housing assistance 610101\157571.1 Donald Wagner May 14, 2002 Page 7 In addition to the Act's prohibition on public benefits to nonqualified aliens, PRWORA imposes limitations on benefits to qualified aliens. A qualified alien who enters the United States after the effective date of PRWORA may not be eligible for a period of five years beginning on the date of the alien's entry in the United States for most federal means- tested benefits (e.g., benefits for which eligibflity is based on the income and assets of the potential recipient of the benefit). HUD, however, has stated that none of its programs fall under the category of federal means - tested benefits.19 "Qualified aliens" who may continue to receive public benefits under PRWORA are: (a) lawful permanent residents, (b) aliens who are granted asylum, (c) refugees, (d) parolees admitted for at least one year, (e) aliens whose deportation is being withheld, (f) aliens granted conditional entry, (g) certain Cuban or Haitian entrants, and (h) certain battered aliens and alien parents of battered children under certain conditions. The broad definition of "public benefits" likely means that many subsidized housing programs may now be available only to United States citizens and qualified aliens. Additionally, agencies, local governments and housing developers may now be subject to a requirement to include immigrant verification procedures as a prerequisite to receive housing assistance. Analysis — Housing Assisted with HUD HOME Funds PRWORA requires that the Department of Justice ( "DOJ ") issue regulations requiring verification for persons applying for a federal public benefit within eighteen for the homeless, for victims of domestic violence or other criminal activity, and for treatment of mental illness or substance abuse. See 66 FR 3613 (January 16, 2001). 19 65 FR 49994 (August 16, 2000). 610101X157571.1 Donald Wagner May 14, 2002 Page 8 (18) months of the adoption of the Act. Proposed regulations were issued in August, 1998. To date, no final rule has been issued by the DOJ. HUD has declined to issue guidance for the implementation of PRWORA until the DOJ regulations have been issued. In fact, HUD has stated in the issuance of regulations implementing Section 214 of the Housing and Community Development Act of 1980 (which limits assistance to unqualified immigrant in some HUD sponsored programs) that entities responsible for administering I-IUD programs should not implement PRWORA until such time as HUD has issued regulations. It is likely the HUD regulations, once published, will include HUD - funded programs that subsidize affordable housing. PRWORA also contains a grandfather clause that provides that nonqualified aliens that were receiving assistance from a HUD- sponsored program prior to August 22, 1996 will continue to be eligible for the assistance. The proposed DOJ regulations apply this exemption to any assistance administered by HUD, as long as the alien was receiving the assistance on August 22, 1996. Analysis -- HCD subsidized housing In September, 1998, HCD adopted regulations to implement PRWORA but they were declared premature by the courts and removed from the books.20 HCD apparently will not issue new regulations regarding agency or state assisted housing. Analysis — Low and Moderate Income Housing Funds It appears that the City may implement its own policies concerning PRWORA and local public benefits. Regulations issued by HUD and HCD could be useful to the City, but the City would not be bound by the HUD or HCD regulations. If the City attempts to implement PRWORA, however, it may expose itself to legal challenge. For example, the City's implementation of PRWORA may be subject to constitutional challenge. A New York Court of Appeal recently reviewed a New York Medicaid statute that attempted to restrict benefits to non - qualified aliens per PRWORA. The court determined that the state's distinction among aliens was subject to and could not pass strict scrutiny.21 A law will withstand strict scrutiny when it furthers a compelling state interest by the least restrictive means practically available. It is extraordinarily difficult and rare for a law to withstand strict scrutiny review. While it is not clear whether California courts will follow the New York court or if they will use a lower level of scrutiny, this case demonstrates the continuing controversy over PRWORA implementation. 20 Mercy Charities Housing California v. Department of Housing and Community Development, Order Granting Preemptory Writ of Mandate, Superior Court of the State of California City and County of San Francisco (2000). 21 Aliessa v. Novello, 96 N.Y. 2d 418 (2001). 610101X1 57571.1 Donald Wagner May 14, 2002 Page 9 Second, if the City implements the ban on public benefits, the ban will require a major administrative effort to determine whether the documentation presented by applicants falls within a permitted or prohibited category. In addition, there must be clear guidance to those implementing the checks to avoid discrimination complaints based on national origin, for which the Agency and the non -profit developer could be liable. Among other issues, the City will need to address mixed families. At least one court has noted that children who are citizens or otherwise qualified aliens deserve the same protection as citizen adults, even if their parents are non - qualified aliens. 22 Furthermore, if the City's policies deviate from the PRWORA requirements, they will be subject to equal protection challenges in which the courts will likely subject them to strict scrutiny review. 23 Finally, if the Agency decides to move forward in implementing PRWORA for this particular Development, it will need to obtain County concurrence because HOME money is also being used to fund the Development. The County may object to the Agency's implementation of PRWORA due to the explicit directive it received from HUD to avoid implementation until HUD publishes its own rules. Indeed, like HCD, if the Agency seeks to implement PRWORA rules for the Development, the City, the Agency and the County could find itself liable for premature implementation. In addition, the City or Agency could be determined to be liable to repayment of the HOME funds in the event of a HUD audit. 22 See Lewis v. Thompson, 252 F. 3d 567 (2001). 23 See Kurti v. Maricpoca County, 33 P. 2d 499 (2001) 610 %011157571.1 CO'MMUNITV NEWSLETTER WASTE CONTAINER REMINDER The City's new automated waste collection system has been in operation since May 30 and most residents agree that the uni- form look of the new barrels makes for neater neighborhoods on col- lection days. The City would like to remind residents, however, that Rosemead Municipal Code 5403 states in part that householders must remove waste containers from their curbside no later than 8:00 pm on the day of collection. Cans should not be placed on curbs before 6:00 pm on the day preceding collection. This City Code not only en- sures a more pleasing appearance for Rosemead's neighborhoods, but more importantly ensures that unstored containers won't interfere with streetsweepers. So please, "roll in the barrels" and help us keep Rosemead's streets neat and tidy. COMMUNITY CENTER SITE PLAN ANTICIPATED Plans for Rosemead's eagerly anticipated new community center and Senior Citizen housing project have been conceptualized into a preliminary site plan which is cur- rently being reviewed and will be presented to the City Council for approval in the near future. In addition, several matters are being resolved with the Army Corp of Engineers as the city seeks approval to locate a portion of the proposed parking lot on property controlled by the Army Corp of Engineers. Look for further updates on these projects in future issues of your Rosemead Resources Commu- nity Newsletter. FAU 1997 SUMMER CARNIVAL DRAWS LARGE CROWD Rosemead Parks and Recreation's Fantasy'n Fun Carnival, held on July 23 at Rosemead Park, was a great success. This year's theme, "Hands Across Rosemead" was illustrated by murals from each of the City's parks and play- grounds. Hundreds of participants enjoyed this annual city wide event fea- turing carnival booths, entertainment and low priced refreshments. CARMINE. BAFFO NAMED .TO TRAFFIC:, COMMISSION Rosemead City. Council unanimously appointed 12 year resident Carmine Baffo as the newest.member of the Traffic ...t.:';• Commission. Serving one yearterms, Mr.. Baffo and his fellow y commissioners are responsible for providing recommendations..``:' to the City Council regarding traffic matters. Concerned primarily'with traffic safety and the convenience of people traveling in and through the city, members of the commission serve as the advisory eyes and ears of the Council. While this is his first "official" position with Rosemead, Mr. Baffo is no stranger to the concept of volunteering his time and exper- tise on committees.. "A lot of people helped me along the way. I enjoy giving back by helping the next person," he commented. He and his wife Minnie professionally practice helping others - he is a cus- tomer service representative for Los Angeles Water and Power customers and she is a volunteer coordinator for Southern Cali- fornia Gas Company. . Mr. Baffo fills the seat vacated by Frank Larson last May, U.S. ARMY HELICOPTER DROPS IN ON ROSEMEAD STUDENTS Approximately 300 Muscatel Middle School students with per- fect attendance and homework records were recently treated to a visit by an impressive military fly- ing machine, a U.S. Army Cobra Attack helicopter. The visit is part of Principal Ron Foland's quarterly good student incentive program. "It's a very big deal and a lot of fun for students who have earned the right to attend the field assembly," explains Dr. Foland. Those whose performance did not qualify them for this quarter's Homework and Attendance Club, remained in their classrooms dur- ing the visit. Information about the event and invitations to attend the as- sembly were sent to the school's neighbors, Special reward events are also planned at the end of the 1 st and Plans Approved for New Cornnnunity Center and Senior Housing Project The. Cjty Council has ap- proved preliminary construe -. tion plans fora new 20,000 sq,' ft. multipurpose Community Center and an adjacent 70 unit senior housing project located at 9118 Garvey Avenue lust east of Rosemead Place. Both projects are funded with a combination of voter approved park bond monies, block grant and redevelopment funds. The senior housing project, similar to the popular units on Angelus Street, will provide needed low cost housing facili- ties, conveniently located to the new community center. Facilities are scheduled to be open by fall, 1999. GARVEY PARK CLUBHOUSE GETS ADDITION The Garvey Park Clubhouse will be expanded this summer sub - station currently operating in a from its current 2000 sq. ft. to over trailer at the park. 3500 sq. ft. Plans call for a new Groundbreaking takes place preschool classroom and facilities in July with completion scheduled to house the Sheriff's Department by November, 1998. The expan- sion of the Clubhouse, which will continue to be used for ESL (En- glish As A Second Language) classes and community meeting rooms, is funded in part by the Rosemead Redevelopment Agency and by two Proposi. tion A (Los Angeles County f Safe Neighborhood and Parks Proposition) grants approved by Los Angeles County voters in 1992 and ".: again in 1996. Approximately $322,000 will be used to enhance the Clubhouse facility. A `COMMUNITY NEWSLETTER Garvey Ave. Community Center and Senior Citizen Housing Project Complex Opening September. 2000 ,o ie J ►6w . �r FALL 7999 Rosemead's new Community Center on Garvey Boulevard at 9118, is scheduled to open in September 2000. Featuring 26,000 sq.ft. of needed multi- purpose space for recreation classes, pre - school and day care facilities, as well as meeting and activity rooms, the Center will be much appreciated by res- idents. Adjacent to the Center are 72 units of equally needed senior housing apart- menu. Each low cost unit will provide 560 sq.ft. of modern living space and will share outdoor areas with the Community Center. Shared spaces are not only cost effective, but allow larger open space planning, including popular residential gardening areas for senior citizens. To check on availability of these units , please contact the City Manager's office at (626) 288 -6671. Public Reviews Valley Boulevard RDA Project The second community meeting to discuss the proposed redevelop- ment plans to improve the econom- ic and physical conditions along Valley Boulevard was held recently at City Hall. The goal of the project, to create a safer and stronger busi- ness community, as well as the adoption process for'the plan was explained to an attentive audience. A draft copy of the EIR (Environmental Impact Review) will be presented in a third community meeting in September with a plan adoption hearing scheduled in October. Last September 1998, Council approved a survey of the designated area and authorized the commence- ment of the planning process which includes public input and discussion. The survey area totals 152 acres and 278 predominantly commercially zoned parcels and 15 residential and mixed -use parcels of approximately 32 housing units. Property owners, business tenants, residents and community organiza- tions must be involved in the process of forming an RDA project which restructures property tax allocations to the City and other public agencies serving residents. The RDA project, however, does not increase the total property tax burden to the land owner. Identifying RDA projects in order to assist areas needing improvements is a tool cities may use to increase the value of properties that have become run down. To receive more information about the area and proposed improvements, please call Peter Lyons, Director of Planning at (626) 288 -6671. State Senator Hilda `Solis Steers Skate Funds Toward Center State Senator for the 24th District, Hilda Solis, budgeted 5200,000 in financial support for the completion of Rosemead's new community center. (see above article) Noting the value to City residents she said, "I am pleased that I was able to secure funding for the Garvey Community Center in Rosemead. This center will provide a wide range of activities for residents of all ages — from children to our seniors. It's so important that people have a place to go where there are things to do. The Garvey Community Center will be a great asset for the people in Rosemead. Community Newsletter and Recreation Program U f M SUMMER -2001 CONSTRUeT�1ON B"E C'.Ii N 5 O N J Wj CORM M'UN I TY CEN'TE'-AND C102 Mi LO EIM(OUABODS Volts t.. 5 ' n ?T 35 3+ 3 G0M @4 R 05 Q @) V Vhe City of Rosemead recentlyhon- ored Marilyn Keiper for her endur- ing legacy and accomplishments in the education field. Mrs. Keiper began teaching 45 years ago at Mildred B. Janson Elementary School and has taught in the same classroom her entire career, where she has.selflessly dedicated herself nurturing and educating generation after generation of Rosemead children. _ Keiper, the Los Angeles County Teacher of the Year in 1983 -84, said the school and community have remained family oriented throughout the years. She now takes pride in teaching the grandchildren of some of her first students.' consolidated Service will continue to conduct quarterly bulky item pick -ups r on July 22 -26, and October 21 -25, 2002. During these periods, large and bulky items can be placed curbside on the normal residential refuse col- lection day and picked up at no charge. Bulky items include: appliances, dish- washers, TVs, couches, chairs, mattresses, tables, stoves, water heaters, refrigerators (door must be removed for safety reasons), carpet (cut and tied 4 feet lengths, not to exceed 50 Ibs.). For more information about bulky item ser- vices, call Consolidated Services toll free at 1 -888- 339 -3723. ®�0 I emorial Day will be observed on Monday, May 27th with a ceremony Mat the .Vietnam Veterans' Memorial located in City Hall Plaza at 8838 E. J Valley Blvd. The ceremony, which is in remembrance of American sol- diers who fought and died in service of their country, will begin at 10:00 a.m. Council, reorganized on April'8th with'outgoioc Aerial passing the gavel to Bob Bruesch, who will' for -the next twelve months. The Council'also` elect Pro Tem. Representatives from state and local.age of community -based organizations and businesses,. Mayor.Pro Tem Vasquez and Councilmembers Cla g outgoing yo Mar Imperial for his leaae'rship dunni There are currently over 500. _ names I on the Senior Housing waiting list. For more information, please call Administration at 1- 626 -569- � `:ter CJ a ks x �F w A �e er °ern C ". o �m a� v p p oc 3 0 ry m 3 o CJ c o, r w h 3 0 � r 0 ° � a 0 vo 3 0 m� a c m� 2 F m G S � n G m a� � o � 3 ° v e� FAR �p A eb fD �` r �1 .'9 � �°Q Pte• tit. Ow • 6A� n U w. 7y v 7J n C n rt C n n � p � C b 70 '�, P" ^. o o a° S-in h S 3 0° mw c o_ C]9. E m'.Srn °cam C o saga. n n n U o•" a o 0 o a n ( 'A vo co 3.3 C DO;r Z a O I DO > D G) m m