Reason to Question CRD

KATHLEENCONNELL

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Assisting a local non-profit housing developer in the acquisition of ...Community Redevelopment Agency of the City of Grand Terrace The ...www.sco.ca.gov/ard/local/ locrep/redevelop/98-99/redevelop.pdf

Community Redevelopment Agency of the City of Grand Terrace The
compliance audit opinion noted the following areas of noncompliance:

A.
The agency had not obtained a letter from the California Department
of Housing and Community Development, stating that its housing
element substantially complies with Code Section 33302;

B.
Code Section 33445 requires that the Agency Board make a finding
before the construction of public facilities. The agency paid for the remodeling of the Housing Office, which is a separate building from City Hall, without having documentation that the required findings were made;

C.
Code Section 33333.6 limits the timeframe that redevelopment agencies have for establishing loans, advances, and indebtedness to
not exceed 20 years. The agency’s plan has a time limit for incurring loans, advances, and indebtedness of 40 years; and

D.
Code Section 33431 and 33433 require that the agency notice and hold a public hearing for the sale or lease of agency property. During fiscal year 1996-97, the agency sold four properties without holding the required public hearing.

Among its accomplishments during the year, the agency included:

A.
Completing five low and moderate-income housing projects through the Purchase/Resale Program;

B.
Providing loans to two families through the Low/Mod Home
Improvement Loan Program; and


C.
Completing several capital improvement projects. Providing seven loans through the CDBG Housing Rehabilitation Program. These loans provide zero-interest, deferred, forgiving loans of up to $8,000 to very-low and low-income homeowners to finance basic home repair and rehabilitation projects.