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Officials debate grant funding
A county supervisor who voted against the county receiving $1.6 million in federal housing rehabilitation funds called grants "the narcotic of government."
El Dorado County Board of Supervisors Chairman Ron Briggs also said he had no regrets that the supervisors' 3-2 vote this month blocked the city of South Lake Tahoe from receiving its $126,000 share of the funds.
In an interview with the Tribune, Briggs cited a long list of reasons why he opposed the funding.
For one, he doesn't think the county should be in the foreclosure "flipping" business. The grant funds could be used for the county to buy foreclosed homes, fix them up, and sell them to low- to middle-income buyers.
Briggs is also concerned that income restrictions on future buyers of the homes would hurt property values in those neighborhoods.
And although the program is touted as a way to put local contractors to work, Briggs said there's no guarantee that the workers wouldn't come from outside the county.
In another concern, Briggs said the grant would fund certain administrative positions — and create an expectation that those positions remain even after the money is gone, he said.
"It's a false revenue stream," said the supervisor, adding that he'd rather see the county pursue a "true budget system."
"The grant system is the narcotic of government," Briggs said.
And finally, Briggs said some of the wording tacked onto the funding request has nothing to do with housing. For example, one of the "statement of assurances" the county would have to approve says the county will prohibit the use of excessive force by law enforcement agencies against anyone engaged in non-violent civil rights demonstrations.
South Lake Tahoe City Councilwoman Kathay Lovell called Briggs' views on grant funding "short-sighted."
Although grant applicants need to be wary of any strings attached, Lovell said grant funding is "the lifeblood" of communities — especially at a time when the state is taking money away from local jurisdictions.
"It's very unfortunate for our community," Lovell said of the supervisors' vote on the housing funds. "They really missed an opportunity here to support their constituents."
Nancy Kerry, the city's redevelopment and housing manager, said she told supervisors that the county did not have to use the funds to buy foreclosed homes. Instead, the funds could be used for the county's existing first-time home buyer or housing rehabilitation programs.
Supervisor Norma Santiago, who represents South Lake Tahoe on the Board of Supervisors, said she was "very disappointed" with the vote.
"There were not a lot of strings attached," Santiago said of the funding.
Although some supervisors said fixing up foreclosed homes should be left to the private sector, Santiago said it's traditionally been nonprofits that have done that work.
And the loss of funds to South Lake Tahoe, whose elected officials supported receiving the money, was a "truly, truly unfortunate consequence of the decision," Santiago said.
— Elaine Goodman
El Dorado County Board of Supervisors Chairman Ron Briggs also said he had no regrets that the supervisors' 3-2 vote this month blocked the city of South Lake Tahoe from receiving its $126,000 share of the funds.
In an interview with the Tribune, Briggs cited a long list of reasons why he opposed the funding.
For one, he doesn't think the county should be in the foreclosure "flipping" business. The grant funds could be used for the county to buy foreclosed homes, fix them up, and sell them to low- to middle-income buyers.
Briggs is also concerned that income restrictions on future buyers of the homes would hurt property values in those neighborhoods.
And although the program is touted as a way to put local contractors to work, Briggs said there's no guarantee that the workers wouldn't come from outside the county.
In another concern, Briggs said the grant would fund certain administrative positions — and create an expectation that those positions remain even after the money is gone, he said.
"It's a false revenue stream," said the supervisor, adding that he'd rather see the county pursue a "true budget system."
"The grant system is the narcotic of government," Briggs said.
And finally, Briggs said some of the wording tacked onto the funding request has nothing to do with housing. For example, one of the "statement of assurances" the county would have to approve says the county will prohibit the use of excessive force by law enforcement agencies against anyone engaged in non-violent civil rights demonstrations.
South Lake Tahoe City Councilwoman Kathay Lovell called Briggs' views on grant funding "short-sighted."
Although grant applicants need to be wary of any strings attached, Lovell said grant funding is "the lifeblood" of communities — especially at a time when the state is taking money away from local jurisdictions.
"It's very unfortunate for our community," Lovell said of the supervisors' vote on the housing funds. "They really missed an opportunity here to support their constituents."
Nancy Kerry, the city's redevelopment and housing manager, said she told supervisors that the county did not have to use the funds to buy foreclosed homes. Instead, the funds could be used for the county's existing first-time home buyer or housing rehabilitation programs.
Supervisor Norma Santiago, who represents South Lake Tahoe on the Board of Supervisors, said she was "very disappointed" with the vote.
"There were not a lot of strings attached," Santiago said of the funding.
Although some supervisors said fixing up foreclosed homes should be left to the private sector, Santiago said it's traditionally been nonprofits that have done that work.
And the loss of funds to South Lake Tahoe, whose elected officials supported receiving the money, was a "truly, truly unfortunate consequence of the decision," Santiago said.
— Elaine Goodman
A vote by county supervisors that blocked the city of South Lake Tahoe from receiving $126,000 in federal housing rehabilitation money won't stop the city from pursuing $5 million in similar funds.
The El Dorado County Board of Supervisors voted 3-2 on June 11 to pass up $1.6 million in federal housing rehabilitation money, of which $126,000 would have gone to the city.
Supervisors Norma Santiago and Ray Nutting were in favor of the funds; supervisors John Knight, James Sweeney and Ron Briggs were opposed. The city needed to apply jointly with the county to meet the requirement for a $1 million minimum request.
The city and county could have used the funds to purchase and rehabilitate foreclosed and abandoned homes, and then sell them to low- to middle-income buyers.
The funds, through the first phase of a federal Neighborhood Stabilization Program, were available to qualified jurisdictions that asked for it — and were unusual in that they did not involve a competitive process, said Nancy Kerry, the city's redevelopment and housing manager.
The funds will now remain in a statewide pot of money and be available to other cities or counties, Kerry said.
The funds are separate from $5 million in housing money the city is pursuing through the second phase of the federal Neighborhood Stabilization Program, or NSP2.
The city can apply independently of the county for those funds, and the City Council voted at its last meeting to move forward with the application.
The city could use the funds to buy, fix up and sell foreclosed homes, and for home-buyer assistance programs.
Kerry said a key factor the government will consider in awarding the grants is the degree of community support for the program. So far, local businesses have pledged $878,000 in donations, discounts or in-kind contributions to make the federal money go further.
The grant money would also be augmented with $600,000 from the city's redevelopment agency and $250,000 worth of permit fee waivers.
Among those willing to participate is Lake Tahoe Community College, which has pledged a $20,000 in-kind contribution.
College spokeswoman Christina Proctor said the college could help train local contractors in green technologies. One requirement of the federal grant is that homes are made more energy-efficient when they're fixed up.
"We're on board," Proctor said. "We want to increase our active participation in the economic recovery of the town."
Letters of support for the city's grant application will be accepted through July 6.
The city will submit the application in mid-July, and an answer is expected in August or September.
The El Dorado County Board of Supervisors voted 3-2 on June 11 to pass up $1.6 million in federal housing rehabilitation money, of which $126,000 would have gone to the city.
Supervisors Norma Santiago and Ray Nutting were in favor of the funds; supervisors John Knight, James Sweeney and Ron Briggs were opposed. The city needed to apply jointly with the county to meet the requirement for a $1 million minimum request.
The city and county could have used the funds to purchase and rehabilitate foreclosed and abandoned homes, and then sell them to low- to middle-income buyers.
The funds, through the first phase of a federal Neighborhood Stabilization Program, were available to qualified jurisdictions that asked for it — and were unusual in that they did not involve a competitive process, said Nancy Kerry, the city's redevelopment and housing manager.
The funds will now remain in a statewide pot of money and be available to other cities or counties, Kerry said.
The funds are separate from $5 million in housing money the city is pursuing through the second phase of the federal Neighborhood Stabilization Program, or NSP2.
The city can apply independently of the county for those funds, and the City Council voted at its last meeting to move forward with the application.
The city could use the funds to buy, fix up and sell foreclosed homes, and for home-buyer assistance programs.
Kerry said a key factor the government will consider in awarding the grants is the degree of community support for the program. So far, local businesses have pledged $878,000 in donations, discounts or in-kind contributions to make the federal money go further.
The grant money would also be augmented with $600,000 from the city's redevelopment agency and $250,000 worth of permit fee waivers.
Among those willing to participate is Lake Tahoe Community College, which has pledged a $20,000 in-kind contribution.
College spokeswoman Christina Proctor said the college could help train local contractors in green technologies. One requirement of the federal grant is that homes are made more energy-efficient when they're fixed up.
"We're on board," Proctor said. "We want to increase our active participation in the economic recovery of the town."
Letters of support for the city's grant application will be accepted through July 6.
The city will submit the application in mid-July, and an answer is expected in August or September.
