Chapter 5.06 — CONTRACT AUTHORITY OF THE DIRECTOR OF HOUSING, CITY MANAGER AND

The purpose of the department of housing is to administer the city's comprehensive affordable housing program. To achieve that purpose, the department assists in the financing of acquisition, development, construction and rehabilitation of single-family dwelling units, multi-family dwelling units and mobilehomes

for lower and moderate income residents of the City of San José. Additionally, the department manages its portfolio of loans, develops and implements housing policy, coordinates homeless programs and activities on behalf of the city, and assists in revitalizing neighborhoods through its housing assistance programs.

(Ords. 23589, 24500, 26127, 26657.)

Part 2 - DEFINITIONS

The definitions set forth in this part shall govern the application and interpretation of this chapter.

(Ords. 26127, 26657.)

"CDLAC" means the California debt limit allocation committee.

(Ord. 26657.)

"Consolidated Plan" means the federally required document pertaining to the community development block grant and housing programs and activities that the city must submit annually to the United States department of housing and urban development.

(Ords. 26127, 26657.)

"General parameters" means the city council's approval parameters of a housing project, including, but not limited to:

A.

Identify of a developer.

B.

Approximate level of loan/grant funding.

C.

Affordability mix.

D.

Other sources of funds.

E.

Process/steps that the housing project will need to undergo.

(Ord. 26657.)

"Homebuyer program" means housing programs providing mortgage loans, downpayment and closing cost assistance, interest subsidies and/or income tax benefits to income-qualifying homebuyers.

(Ords. 26127, 26657.)

"Housing guidelines" means the city's project development handbook, rehabilitation program handbook, loan management handbook, and any other handbook, guidelines, manuals, or procedures, that may be developed and issued by the director of housing from time to time.

(Ords. 26127, 26657.)

"Housing rehabilitation" means painting, roofing, plumbing, electrical or other work to a single-family dwelling, to a multi-family dwelling, or mobilehome that restores or preserves the habitable condition of the single-family dwelling, multi-family dwelling or mobilehome.

(Ords. 26127, 26657.)

"Inducement declarations" means the declarations of intent to reimburse costs paid prior to the issuance of bonds, pursuant to the IRS Code.

(Ord. 26657.)

"IRS Code" means the Internal Revenue Code of 1986, as amended, including any Internal Revenue Regulations, as amended.

(Ord. 26657.)

"Major monetary default" means non-payment of a loan to a superior lienholder, nonpayment of a loan to the city, bankruptcy of the borrower, or other action or failure of action that may result in jeopardizing the repayment of the loan made by the city, or the city's security interest therein.

(Ords. 26127, 26657.)

"Minor monetary default" means a monetary default that is not a major monetary default and includes, but is not limited to:

A.

Failure of the borrower to carry adequate insurance on the property.

B.

Non-payment by the borrower of real property taxes.

C.

Further hypothecation, or additional liens and judgments on the property.

(Ords. 26127, 26657.)

"Mobilehome" means a structure transportable in one or more sections, designed and equipped to contain one living unit, to be used with or without a foundation system, when connected to required utilities, and includes the plumbing, heating, air conditioning, and electrical systems contained therein. "Mobilehome" does not include a recreational vehicle or travel trailer. When installed on a foundation system (pursuant to Section 18851 of the California Health and Safety Code), a mobilehome shall be deemed a fixture and a real property improvement to the real property to which it is affixed.

(Ords. 26127, 26657.)

"Multi-family dwelling " means a detached building of permanent character placed in a permanent location which is designed or used for residential occupancy by more than one household, and includes single- room occupancy (SRO) living unit facilities.

(Ords. 26127, 26657.)

"Non-monetary default" means a default under the provisions of loan documents that is neither a major monetary default, nor a minor monetary default, and which is a failure to comply with any condition, covenant, term or provision of the loan documents, including allowing the city's security to deteriorate to the point of jeopardizing the loan made by the city or the city's security interest therein.

(Ords. 26127, 26657.)

"Replacement housing" for purposes of housing rehabilitation, means construction of housing to replace a deteriorated multi-family dwelling of up to four units, or a single-family dwelling on real property which is owned by the borrower.

(Ords. 26127, 26657.)

"Single-family dwelling" means a detached building of permanent character placed in a permanent location which is designed or used for residential occupancy by one household.

(Ords. 26127, 26657.)

"TEFRA" means the Tax Equity and Fiscal Responsibility Act set forth in Section 147(f) of the IRS Code.

(Ord. 26657.)