HA1987/01/27Anaheim Civic Center, ANAHEIM HOUSING AUTHORITY
..January 27, 1987, 9:35 A.M.
PRESENT; AUTHORITY MEMBERS: Hunter, Pickler, Kaywood and Bay
ABSENT: AUTHORITY MEMBERS: None
VACANCY: AUTHORITY MEMBERS: One
PRESENT: CITY MANAGER: William O. Talley
CITY ATTORNEY: Jack White
SECRETARY: Leonora N. Sohl
DIKECTO~ OF COMMUNITY DEVELOPMENT/PLANNING: Norman J. Priest
A complete copy of the agenda of the Anaheim Housing Authority was posted at
2:10 p.m on January 23, 1987 at the Civic Center from lobby window.
Chairman Bay called the regular meeting of the Anaheim Housing Authority to
order at 10:16 a.m.
MINUTES: Authority Member Kaywood moved to approve the minutes of the meeting
held January 13, 1987. Authority Member Hunter seconded the motion. One
Vacancy. MOTION CARRIED.
FINANCIAL DEMANDS AGAINST THE ANAHEIM HOUSING AUTHORITY in the amount of
$1,227.28 and 1,444.75 in Public Housing Authority Bonds, in accordance with
the 1986-87 Budget, were approved.
177.109: EMERGENCY SHELTER PROGRAM (ESP) FUNDS: Authorizing an application
to the State in the amount of $203,406 for funding under the Emergency Shelter
Program. Submitted was report dated January 19, 1987 (with attachments) from
the Community Development Department, recommending that the Housing Authority
approve the application to the State of California for ~203,406 of funding
under the Emergency Shelter Program (ESP) and authorizing the Chairman to
execute said documents.
Chairman Bay. Before calling on those who wished to speak, he wanted to state
his position regarding the proposed resolution. He is a strong believer that
charity is not a function of Anaheim City government nor a basic function of
its Housing Authority. Charity is a personal matter and the joy of giving is
in the giving. When government takes that away from people it is doing harm
by removing the joy of giving from the people while making all contributors to
government coffers p~rhap~ unwilling contributors to that charity. He opposes
any level of government being involved in charity. He does not want the City
of Anaheim in the welfare, social engineering or social reform business.
Authority Member Pickler. There are people that have to be helped. He did
not feel the Authority could walk away from a problem that is so evident today.
Authority Member Hunter. Of late, there has been a lot media attention paid
to the homeless with the usual cry that government should do more. For the .
taxpayers to step in and assume full responsibility for all the homeless
people would be an unwise move in Anaheim. Spending more government money
does not eliminate poverty or the homeless problem. What is needed instead is
to start working on solving the problem of the homeless such as low-cost
housing, cutting the red tape and allowing developers to come in, build and
operate low-cost housing in the City. The attitude should be less government
87-6
Anaheim Civic Center, ANAHEIM HOUSING AUTHORITY
January 27, 1987, 9:35 A.M.
and less regulation which promotes the Free Enterprise System. The proposed
resolution is a "band-aid" approach to the situation.
Mr. Pickler. The Authority has never stopped developers from coming in with
low-cost housing. The taxpayers money was going to be going some place else
if it was not used in the City. The "band-aid" approach will at least help.
The following people then spoke to the issue:
Reverend Don Dexter, representing the Anaheim Human Services Network, (AHSN)
of which his church is a member. After explaining how and why the Network was
started, he emphasized that the number one issue they have had to deal with is
finding shelter for homeless people. In three years the Network has grown to
involve 35 agencies. Between $50 and 5100,000 was spent last year on motel
rooms to accommodate the request received for shelter. The problem is real
and the Network needs the City of Anaheim to become involved in the manner
described in the subject proposal. He asked that the Authority help the
Network to secure the funds which will help in establishing a shelter in
Anaheim. (Reverend Dexter then had those people who were present in support
of approval of the application for State funds stand - there were
approximately 60 people).
Captain Joseph Huttenlocker, Salvation Army. The Salvation Army is a member
agency of AHSN which deals on a daily basis with many differing social
problems confronting the citizens of Anaheim, one of those problems being that
of the homeless. Government cannot help but be involved. The Network is not
present to ask the Authority to run or operate a shelter but to help the
private sector meet the need of the homeless. The Authority can help by
approving the subject application which has been put together by a task force
of people who have a concern for the plight of the homeless.
Father John Lenihan, 120 North Janss. He is Pastor of St. Boniface Church and
President of the Anaheim Inter-Faith Council. They are not asking the
Authority for funding. Further, contrary to a remark by a Council Member
printed in the Register that he is not so sure there is a homeless problem in
Anaheim, he (Lenihan) knows from first hand practical experience that there
is. Just ~rom his own church community in the first eleven months of 1986, as
a single private individual church, they have helped 5,280 families with food
totalling almost 20,000 people. They also furnished about 70 lunches per day
and of those, 92 consistently were unable to list any address as having any
fixed abode. In speaking of lodging, it is simply a matter of utilizing the
resources the private sector has in a way that is most efficient. St.
Boniface and two other churches (St. Anthony's and St. Justin Martyr), spent
530,000 in total funding for families to stay in a motel room for one night,
which, in a sense, was "wasted" since it could have been used more efficiently
if they had some way of dealing with the problem in an organized and good
fashion. As President of the Inter-Faith Council, he has secured a commitment
from the member churches that they are prepared to assume the financial
responsibility. As Mr. Pickler said, it is taxpayers money that is involved
and since it is going to go somewhere, why not Anaheim.
87-7
Anaheim Civic Center, ANAHEIM HOUSING AUTHORITY
January 27, 1987, 9:35 A.M.
Marge Rothrock, Anaheim Assistance League. She first read a letter signed by
the President of the League encouraging City support and cooperation with the
Human Services Network in their endeavors for the funding of the homeless
shelter for the economically disadvantaged people of Anaheim. Several members
of the organization were also present today (approximately 12 people were
present).
Bill Taormina, North Helena Street. He concurred totally with Chairman Bay
and Mr. Hunter that charity is not a function of government. He agrees that
the City should not be involved and no City money should be spent. He then
read a prepared statement which stated his personal intent for the property
located at 423 North Anaheim Boulevard (formally the Elk's Club), which is to
restore the building and the grounds to a better-than-new condition. He has
also served as a Lead Committee Chairman in the VISION 2000 program appointed
by the City Council. He learned the City is faced with the continuing problem
of where to house families in a temporary situation. It is one of the top ten
priorities for which a solution must be found in the City. He is also a
member of the AHSN. As a business leader in Anaheim, he pledges to the City
that he intends to do everything in his power to help the homeless and others
in need. Too often citizens feel big government should solve all social
pro'blems. The only correct solution is for people to help other people.
Government should in no way be directly involved in running individual's lives
but it can be a facilitator.
Mr. Taormina then stated he intends to offer the subject property fully
restored and in like new condition to the Anaheim Human Services Network for a
long-term period. He will charge a monthly rental equal to his direct cost of
ownership of the property. After the debt on the property and improvements is
paid off, he will offer the building to the organization absolutely free for
no monthly rental. The AHSN is presently spending thousands of dollars each
month to house families in run down motels in the City. The concept proposed
will save thousands of dollars and make it possible for more persons to be
served at a lower cost per family. It is important to procure funds for the
restoration at as low a cost as possible and that is why the grant from the
State of California ESP is ideal for Anaheim and this project. Relative to
the matching funds, Anaheim citizens should not be burdened with any dollar
expense on the project. Therefore, he is presenting his own personal check to
the City signed but with the amount left blank in order to cover 100% of the
cost that may be incurred by the City in acting as the facilitator in helping
him and the Human Services Network make the project a reality. (Mr. Taormina
submitted the check to the City Attorney).
In concluding, Mr. Taormina explained that he has been attempting to buy the
subject property for over three years. He now held in his hand, delivered by
Federal Express today, a signed document from the owner, accepting Mr.
Taormina's last and final offer, and as he speaks, the building is in Escrow.
He is in a deal for $1 million whether he gets the money or not, it is going
to happen. He asked that the Authority try to understand what he is §oing to
do. In order to facilitate the grant money to keep the cost to the people
down, he urged the Authority to vote in the affirmative on the application.
87-8
Anaheim Civic Center, ANAHEIM HOUSING AUTHORITY
January 27, 1987, 9:35 A.M.
Mr. Hunter. He is moved by what Mr. Taormina has done. With the resolution
before the Authority today, the way it is written, it would be difficult,
after Mr. Taormina's offer, to make a decision. If the resolution is
rewritten incorporating what Mr. Taormina has stated, then his vote is changed
to allow the Authority to proceed. He is suggesting that the matter be
continued for one week to give them the opportunity to look at the resolution
again and change some figures because if the Authority voted on it now it is
going to come out of the taxpayers pocket and Mr. Taormina does not want that
to happen.
Mr. Pickler. He does not believe the Authority should take any money from an
individual since the Housing Authority has the funds. He did not think it was
right to take the money from Mr. Taormina who has already done so much for the
community. The City and the Authority is big enough to be able to meet the
required 25% match of the total grant if awarded, which consists of Housing
Authority staff time. The Network will not be back asking for additional
monies.
Norm Priest. He first confirmed that the deadline for submitting the
application is January 29, 1987. He suggested that the $24,252 involved fall
in the category as pointed out in the application. The effort would be for
rehabilitating the building. The major portion of the cost, nearly ~12,000 is
for a Rehabilitation Counselor offering technical assistance in rehabilitating
the building. The other two are a portion, roughly 20% of a Clerk and 1/3 of
a Housing Counselor who would assist those people who already are coming to
the Housing Authority seeking assistance. Those would be the sum total. The
application points out ~26,000 for equipment which is already committed for
reimbursement from the Network. Roughly this involves one staff person for
three months and the equivalent of 1/2 staff person for the next twelve. The
Authority is not committed to funding the rehabilitation except through the
grant nor the management of it. The Authority is not even equipped to manage
such a facility as this.
Chairman Bay. He questioned why the application could not have been submitted
to the County; Mr. Priest answered that he was not sure. It was an effort by
the AHSN. Anaheim has not operated through the County facilities in its
~ousing programs.
Mrs. Kaywood. Taxpayers funds are being spent on police, Code Enforcement -
on many things due to the homeless problem. The City's parks are not being
used at night because people are afraid to go there since so many of the
homeless, having no other alternative, are using the parks instead. She would
like to see the parks used for the purpose intended - for the enjoyment of the
people. They cannot turn their backs on the situation of the homeless. She
is overwhelmed by Mr. Taormina's generosity not only in this instance but for
everything he has done for the City of Anaheim. To take a check from him that
should be coming from elsewhere is immoral on the part of the Authority to
accept. The Authority has the staff who can take on the slight additional
jobs. The grant is available and somebody will take it whether it is Anaheim
or not. Anaheim's taxpayers monies go into the government money as well.
87-9
Anaheim Civic Center, ANAHEIM HOUSING AUTHORITY
January 27, 1987, 9:35 A.M.
Chairman Bay. The application to him implies management of the program by the
Housing Authority.
Norm Priest. The Housing Authority is the applicant Agency. The Authority
has made it clear that it would be a pass-through application for purposes of
rehabilitation and when that is accomplished, the Authority's responsibility
will cease. The Authority would be involved in making sure the funds were
spent correctly.
Mr. Hunter. Mr. Taormina has offered to pay whatever the cost would be to the
Authority. If he wants to do that he (Hunter) would vote to approve the
application as long as there was no cost to the taxpayers of the City.
Mr. Taormina. He will sign a contract wherein he will guarantee that today
and in the future for as long as the homeless shelter exist it will never cost
the City one cent. He is asking the Authority to facilitate or be a catalyst
in his ability to get the bonds from the Federal government and the State
which is money that is going to be spent anyway.
City Attorney Jack White. The resolution before the Authority is as presented
in the staff report of January 19, 1987. If a member of the Authority wished
to add any contingencies to the adoption of the resolution, they could do so.
Currently, there are no contingencies such as acceptance of Mr. Taormina's
offer or entering into a contract with him.
Mr. Hunter. He offered the contingency to the resolution authorizing the
application to the State of California in the amount of $203,406 for funding
under the ESP with a contingency that there be no monies expended by the
taxpayers or the City of Anaheim, whatever that amount would be; Mr. Taormina
stated whatever that amount is, he will pick it up.
Mr. Pickler. The money that the Authority has is already existing which has
come from the Federal Government and now the Authority is asking that Mr.
Taormina pick up the approximate $24,000. If that is what it is going to
take, he would vote for it but he does not like it. He cannot see government
putting the total burden on any individual.
Norm Priest. The resolution needs to show a local match. He would,
therefore, recommend that by motion, the Authority handle the reimbursement to
the Housing Authority. The match has to come from the applicant. He is
suggesting that the resolution not be modified to show reimbursement but that
it go forward as it stands but prior to that a motion also be made directing
the Authority to accept the offer by Mr. Taormina.
City Manager William Talley. He does not like to have a blank check and
suggested instead that the Authority set the amount of money it deems
appropriate for Mr. Taormina to reimburse the Housing Authority's Federal
dollars. Today, the Authority would be approving a motion which allows
submission of an application. The Authority is still going to have to accept
the grant when it comes back. At that time, there could be a motion or a
contract or whatever the Authority wishes to have Mr. Taormina reimburse the
City.
87-10
Anaheim Civic Center, ANAHEIM HOUSING AUTHORITY
January 27, 1987, 9;35 A.M.
Mr. Talley reiterated that the action is merely for the Housing Authority to
submit the application for funding. The Authority still has the privilege of
rejectin8 the funds when they are received if awarded. He would like to
return the check and have the Authority indicate what the amount should be.
Father John Lenihan. If a particular amount is to be specified on the check
offered by Mr. Taormina, he asked that they take $5,000 off that amount and
St. Boniface Church will give the Authority a check for $5,000 today.
Marie Cummins, 1200 West Rowan Street. She is a concerned citizen. She knows
about the homeless and it is a societal disgrace. The problem was not going
to go away and it was growing. She has yet to see Anaheim help with homeless
shelters. Everyone must do something to help alleviate the problem. A City
must have social concern especially the number one City.
Authority Member Hunter offered Resolution No. AHA87-4 for adoption,
authorizing an application to the State in the amount of ~203,406 for funding
under the Emergency Shelter Program. Refer to Resolution Book.
RESOLUTION NO. AHA87-4: A RESOLUTION OF THE ANAHEIM HOUSING AUTHORITY
APPROVING THE SUBMITTAL OF AN APPLICATION TO THE STATE OF CALIFORNIA FOR
FUNDING UNDER THE EMERGENCY SERVICES PROGRAM (ESP).
Before a vote was taken, City Manager Talley recommended that the Council pass
the resolution then by motion, prior to accepting the funds, if awarded, for
staff to submit a report on what the exposure will be and where those funds
would come from. There was an offer of $5,000 and the remainder from Mr.
Taormina. Staff should be instructed by motion to prepare the report for
Authority action at the time the authority accepts the funds if the funds are
forthcoming from the State. That would protect the Authority because it would
take a majority vote of the Authority to accept the funds. If the resolution
is adopted, it will authorize that the application be submitted before
January 29, 1987 and if the State subsequently awards the funds to the City,
the matter will again come before the Authority. There would have to be an
agreement that the City Attorney would prepare outlining where the other funds
would come from.
A vote was then taken on the foregoing resolution:
Roll Call Vote:
AYES: AUTHORITY MEMBERS: Hunter, Pickler and Kaywood
NOES: AUTHORITY MEMBERS: Bay
ABSENT: AUTHORITY MEMBERS: None
VACANCY: AUTHORITY MEMBERS: One
The Chairman declared Resolution No. AHA87-4 duly passed and adopted.
MOTION: Authority Member Hunter moved that prior to accepting the funds, if
awarded, that staff submit a report on what the Authority's exposure will be
and where those additional funds will come from and that, at this time, the
blank check from Mr. Taormina be returned to him. Authority Member Pickler
87-11
Anaheim Civic Center~ ANAHEIM HOUSING AUTHOKITY
..J. anuar~ 27, 1987~ 9:35 A.M.
seconded the motion. Authority Member Bay voted no. One Vacancy. MOTION
CARRIED.
177.114: CHANGE OF STARTING TIME - HOUSING AUTHORITY: Changing the starting
time for regular meetings to 1:25 p.m., effective February 3, 1987.
City Attorney Jack White, announced that the subject was being presented to
the Authority for information only at this time. The by-laws of the Housing
Authority require that the Authority be given 7 days notice of any change in
those by-laws; therefore, no action will be taken today but will be scheduled
for action at the meeting of February 3, 1987.
There were no items of public interest.
ADJOURNMENT: Authority Member Kaywood moved to adjourn. Authority Member
Pickler seconded the motion. One Vacancy. MOTION CARRIED. (11:45 a.m.)
LEONORA N. SOHL, SECRETARY
87-12