LAREDO MUNICIPAL HOUSING CORPORATION

DATE:

 

3/24/2003

 

SUBJECT:  FINAL READING OF ORDINANCE  2003-O-073.    

Authorizing an amendment to the Laredo Municipal Housing Corporation (LMHC) Fund for FY 2002-2003 Budget by appropriating revenues and expenditures in the amount of $53,065.00 and authorizing the city manager to implement said budget.   

INITIATED BY:

Cynthia Collazo, Assistant City Manager                                          

STAFF SOURCE:

Erasmo Villarreal, C.D. Director

 

PREVIOUS COUNCIL ACTION:

Introduced ordinance on March 3, 2003.

 

BACKGROUND:

In 1986, HUD awarded the City of Laredo a grant in the amount of $850,000 for the construction of the Tomas Flores Apartments consisting of 64 units, located at 2301 and 2302 Lafayette, Laredo, Texas.  Construction project was completed on May 17, 1988. 

 

Since then, the remaining grant monies from the project were being held in an escrow account, where said funds were accruing interest.  On various occasions, staff contacted HUD officials for the release of said funds but to no avail.  Some of the key personnel were no longer with HUD or had retired.  Finally, during the latter part of 2002, staff was able to contact the HUD office in San Antonio and request their assistance in closing out the escrow account.  Staff was requesting all funds including interest to be retained by the LMHC for operational expenditures to include construction and rehabilitation.

 

Ms. Elva Castillo, HUD Director for Multi-family projects, approved that the principal balance of  $121,703.79 to be returned to HUD, and that LMHC be allowed to keep the interest accrued in the amount of $53,065.00 for operational expenditures.

 

The following is a breakdown of the proposed expenditure allocations:

·        Purchase two riding lawn mowers                                      $ 8,000

·        Replace ten main sewer lines at Jose Flores Apts.              $ 9,000

·        Work Order/Inventory Software                                         $10,000

·        Materials to make repairs to Building & Improv.               $26,065                                                                                                                                                                 Total                 $53,065

 

 

 

 

FINANCIAL: 

 

 

 

 

 

 

Laredo Municipal Housing Corporation

 

 

Amended

Budget

 

 

Amendment

 

 

Proposed Budget

 

Revenues

 

 

 

 

 

 

 

 

 

 

 

HODAG Project

555-0000-373-10-20

0

53,065

53,065

 

 

 

Expenditures

 

 

 

 

 

Minor Apparatus/Tools

555-3920-542-2400

51

8,000

8051

 

Maintenance Of Lines

555-3910-543-2015

15,000

9,000

24,000

 

Computer Software

555-3910-545-9003

2,000

10,000

12,000

 

Mtls Rprs. Building

555-3910-542-3010

32,835

13,032

45,867

 

Mtls Rprs. Building

555-3920-542-3010

13,180

13,033

26,213

 

 

 

 

53,065

 

 

 

 

 

 

 

 

COMMITTEE RECOMMENDATION:

STAFF RECOMMENDATION: Recommend that the City Manager be authorized to appropriate said revenues and allocate same to a reconstruction expenditure account.  

 

 

ORDINANCE NO. 2003-O-073

 

Amending the LAredo MUNICIPAL HOUSING CORPORATION’s FY 2002-03 annual budget BY APPROPRIating revenues and expenses of $53,065.00 from INTEREST ACCRUED FROM A HUD (HOUSING AND URBAN DEVELOPMENT) GRANT FOR THE CONSTRUCTION OF THE TOMAS FLORES APARTMENTS, AND AUThorizing the City Manager to implement said budget.

 

WHEREAS, on May 17, 1988, the construction of the Tomas Flores Apartments was finalized, and

 

WHEREAS, on August 2, 1992, Laredo Municipal Housing Corporation was seeking HUD approval to release all funds being held in an escrow account from the construction grant, and

 

WHEREAS, on December 1, 2002, HUD approved the release of all funds being held in the escrow account, and the principal amount of $174,769.44 was to be, and has been, returned to HUD, and

 

WHEREAS, the remaining interest of $53,065.00 is being retained by the Laredo Municipal Housing Corporation as authorized by HUD, to be used for construction, rehabilitation, and operation of real property, and

 

 

 

NOW THEREFORE BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LAREDO THAT:

 

Section 1.  Budget Amendment

 

The Laredo Municipal Housing Corporation FY 2002-2003 annual budget be amended to appropriate additional revenues and expenditures in the amount of $53,065  from the interest accrued from the HUD grant.   

 

FINANCIAL: 

 

 

 

 

 

Laredo Municipal Housing Corporation

 

 

Amended

Budget

 

 

Amendment

 

Proposed Budget

Revenues

 

 

 

 

 

 

 

 

 

HODAG Project

555-0000-373-10-20

0

53,065

53,065

 

Expenditures

 

 

 

 

Minor Apparatus/Tools

555-3920-542-2400

51

8,000

8051

Maintenance Of Lines

555-3910-543-2015

15,000

9,000

24,000

Computer Software

555-3910-545-9003

2,000

10,000

12,000

Mtls Rprs. Building

555-3910-542-3010

32,835

13,032

45,867

Mtls Rprs. Building

555-3920-542-3010

13,180

13,033

26,213

 

 

 

53,065

 

 

 

PASSED BY THE COUNCIL AND APPROVED BY THE MAYOR ON THIS THE _________ DAY OF, MARCH 2003.

 

                        __________________________

                                                                                                ELIZABETH G. FLORES

                                                                                                MAYOR

 

 

 

ATTEST:

 

 

________________________________

GUSTAVO GUEVARA, JR.

CITY SECRETARY

 

 

APPROVED AS TO FORM:

 

 

________________________________

JAIME L. FLORES

CITY ATTORNEY