HomeMy WebLinkAbout2014-08-04 Ordinance 5264ORDINANCE N0.5264
ORDINANCE OF THE COUNCIL OF THE CITY OF PALO ALTO AMENDING THE
BUDGET FOR FISCAL YEAR 2015 IN THE CAPITAL IMPROVEMENT FUND,
ESTABLISHING A NEW CAPITAL PROJECT, EMERGENCY FACILITY
IMPROVEMENTS, PF-15005, IN THE AMOUNT OF $250,000, OFFSET BY
INSURANCE REIMBURSEMENTS, RESULTING IN NO NET IMPACT TO THE
CAPITAL IMPROVEMENT FUND
The Council of the City of Palo Alto ORDAINS as follows:
SECTION 1. The Council of the City of Palo Alto finds and determines as follows:
A. Pursuant to the provisions of Section 12 of Article Ill of the Charter of the City of
Palo Alto, the Council on June 16, 2014 did adopt a budget for Fiscal Year 2015; and
B. On May 30, 2001 the City Council approved an amendment to the housing
assistance provision of the then current City Manager's employment agreement, increasing
the City's housing assistance funding from $1.2 million to $1.5 million; and
C. The property at 2257 Bryant Street in Palo Alto was jointly purchased, with title
being held as Tenants-in-Common by the City of Palo Alto and the Ben est & Grady Family
Trust; and
D. Presently, the equity ownership of the property consists of 56.8% by the City
and 43.2% by Frank Ben est and Pamela S. Grady, Co.-Trustee of the Ben est and Grady
Family Trust, dated November 13, 1990; and
E. A house fire on May 3, 2014 made the property uninhabitable. Since that time,
Mr. Ben est has been living in a rental property in Palo Alto, and City staff has been working
with him, the insurance agent, contractors, architects, and structural engineers toward the
cleanup and rehabilitation of the property; and
F. The insurance company, State Farm, is paying the needed expenses by issuing
checks for cleanup and new structural plans. The approval of this budget amendment
ordinance will allow the City to deposit checks to pay the contracts and architects for the
necessary rehabilitation work.
SECTION 2. The net sum of Two Hundred Fifty Thousand Dollars is hereby
appropriated to the Emergency Facility Improvements Project (PF-15005) in the Capital
Improvement Fund. The expenditures in this new project will be offset by payments from