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EXHIBIT 3 <br />»x Jamboree <br />«'=st <br />June 24, 2019 <br />Judson Brown <br />City of Santa Ana — Community Development Agency <br />20 Civic Center Plaza <br />Santa Ana, CA 92701 <br />RE: Santa Ana Veterans Village — Project Cost Increases <br />3312 W. First Street <br />Mr. Brown, <br />The Santa Ana Veterans Village project is the largest affordable supportive housing development for homeless veterans in Orange <br />County. The successful completion of this project will enable homeless veterans to not only live in high -quality housing but also receive <br />wrap around services that will aid in their successful integration into mainstream society. With construction underway, the project has <br />encountered several unforeseen field conditions that have caused an increase in the projects total development budget Santa Ana <br />Village LP is formally requesting $124,383 in additional HOME funding to help alleviate these additional costs. <br />During the demolition of existing asphalt and concrete pavements, a second buried layer of asphalt was discovered beneath the <br />driveway section of the Northeast parking lot. Due to it being buried, this material was therefore not shown on the geotechnical report; <br />thus, the $67,841 cost associated with the demo and removal of this material was not reflected in our initial development budget <br />Additionally, during recent grading activities, approximately 400 cubic yards of contaminated soil was encountered onsite. The <br />discovery of contaminated soil resulted in a $35,271 add to our development budget Furthermore, consecutive days of inclement <br />weather posed yet another challenge. The stockpiled soil contained a high moisture content and needed to be air dried prior to it being <br />treated onsiite. The cost to alrdry the contaminated soil was $58,176. The contaminated soil has since been treated, buried and capped <br />in place with a low permeable asphalt material, per the recommendations outlined in the remediation plan written by our third -party <br />environmental consultant. <br />Although the additional HOME Funds will not cover the entirety of these unforeseen costs, we appreciate any assistance the City can <br />provide to the project Should you have any questions or require additional information, please feel free to contact me or Sandra <br />Viramontes at 949-263-8676. <br />Thank you, <br />Santa Ana Village LP, <br />a California limited partnership <br />J A M s o P E E H O u s i N G C ORPORATION REGIONAL OFFICES: SACRAMENTO AND SAN DIEGO <br />17701 COWAN AvENua Sum 200 IRY:NE CA 92614 P 949.263.8676 F 949.263.0647 l a mb area housin g. cc <br />25B-9 <br />