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. MINUTES - JUNE 4,1979 . APPOINTMENT OF There were differing opinions expressed EXECUTIVE DIRECTOR regarding the appointment of Richard E. APPROVED Goblirsch to the the Executive Director 4IÞ of the Housing Authority. Commissioner Yamamoto stated he was against the appointment. He wanted further dis- cussion of the matter at some later date. He also expressed his view that Mr. Goblirsch is "over his head" in the amount of work required as Execu- tive Director of the Redevelopment Agency. Commissioner Yamamoto refused the suggestion of an executive session for this discussion. He said he wanted the issues aired openly. . A motion was made by Commissioner Bricken to approve the appointment, Commissioner Griset adding the second. In further discussion Commissioner Bricken stated that due to Commissioner Yamamoto's previous comments he felt compelled to say that he had high regard for Mr. Goblirsch's ability and that the accomplishments of the redevelopment effort in Santa Ana are a direct result of Mr. Goblirsch's skill and ability to do his job. Mr. Bricken said he had no reservations regarding the ability of Mr. Go- blirsch to responsibly execute both functions of Redevelopment and Housing. A vote was called for and the motion passed on a 5:2 vote. unanimously passed on a The motion was made by Commissioner Griset and seconded by Commissioner Serrato to authorize the Executive Director to submit a preliminary application for 70 units of Section 8 Moderate Rehabilitation. The vote was 7:0 carried motion. PRELIMINARY APPLICATION FOR PARTICIPATION IN SECTION 8 MODERATE 4IÞ REHABILITATION PROGRAM APPROVED A motion was made by Commissioner Ward and second made by Commissioner Serrato to approve the subordination request. The motion failed on a 3:4 vote. There followed extended discussion on this report for an applicant in the property rehabilitation program for subor- dination. The primary area of concern expressed by several Commissioners was the high cost of refinancing charged by the holder of the second trust deed. Approval of subordination was viewed by the Commissioners as tacit approval of the inflated refinancing charges. SUBORDINATION AGREEMENT FOR APPLICANT OF HOUSING REHABILITATION LOAN DENIED Commissioner Ward then made a motion to instruct staff to seek other remedies with the applicant, Ms. Charlene Williams, and report back within 30 days as to the status of her situation. This motion was seconded by Commissioner Yamamoto. Commissioner Griset asked for further information on the procedures used by the Appeals Board that can grant loans even when 4IÞthe bank (UCB) that services property improvement loans turns down the original application. A vote was then taken on the motion of Commissioner Ward with the added stipulation of Commissioner Griset and passed on a 6:1 vote. UNITED CALIFORNIA BANK FIRST The staff request to approve the agree- AGREEMENT FOR SANTA ANA ment with United California Bank Trust HOUSING REPLACEMENT PROGRAM was approved unanimously on a 7:0 APPROVED carried motion that was made by Commis- . sioner Ward and seconded by Commissioner Luxembourger. The agreement was prepared to provide a proper mechanism for the financing of the first trust deed loans on the approved housing replacement families. Terms of such loans will be for a duratio? of twenty- nine and one-half years at six percent interest. Maximum loan amounts under normal circumstances will be $40,000 per family. - . ADJOURNMENT At 3:15 p.m. the meeting of the Santa Ana Housing Authority was ad- journed on the unanimously carried 7:0 motion of Commissioner Serrato, seconded by Commissioner Ward. . (,ß.Å~<J' D J~\../ Christine Boyer Recording Secretary - 2 -