Sunday, April 20, 2014
YOLO COUNTY NEWS
99 CENTS

City, Neighborhood Partners and Twin Pines reach settlement, forge resolution to DACHA case

By
From page A1 | January 10, 2013 | Leave Comment

After six years of legal back-and-forth, the city of Davis, Twin Pines Cooperative Foundation and Neighborhood Partners LLC have finally reached a binding settlement that globally resolves the dispute over the Davis Area Cooperative Housing Association Wednesday.

Twin Pines, the nonprofit cooperative financier that fronted cash to help start DACHA, and Neighborhood Partners — DACHA’s original developer — each lodged a constellation of lawsuits against the city and DACHA in 2011.

Among other allegations, the two organizations were suing the city and DACHA for misappropriation of public funds, breach of contract, fraudulent transfer, conspiracy and breach of governing documents.

The terms of the settlement, delineated in a press release sent out by the Davis City Manager’s office Wednesday, include that the city will give $315,000 to Twin Pines and Neighborhood Partners, to be split as the two groups see fit.

The payment is to cover the remaining balance on the judgment owed to Neighborhood Partners from its successful lawsuit against DACHA for the illegal termination of its contract with the association in 2009.

Additionally, the settlement stipulates that all other pending lawsuits and claims against the city of Davis, its successor agency and redevelopment Agency, DACHA and its members will be resolved.

“To facilitate the settlement and future policy discussions of affordable housing in Davis, the parties agree to resolve this matter amicably and not to disparage each other about DACHA or to continue to rehash the issues that led to these lawsuits,” the press release said.

“However, the parties will remain able to participate in policy discussions related to affordable housing and cooperative housing and to discuss DACHA on a ‘looking forward’ and ‘lessons learned’ policy basis.”

The settlement goes on to state that the city of Davis will return the $15,000 that Neighborhood Partners paid to the city as part of a recent court ruling.

All parties also will bear their own attorneys’ fees and costs.

In the end, it appears that both the city and the two organizations are breathing a sigh of relief that both cases were resolved before they reached trial in June.

“I’m relieved the parties have settled the matter,” Mayor Pro Tem Dan Wolk said in a statement to The Enterprise on Wednesday. “Now, instead of litigation, we can concentrate our collective energy and resources on what DACHA was fundamentally all about: providing affordable housing to individuals and families in our community.”

Mayor Joe Krovoza added: ”I am very pleased and impressed that our current council stepped up to resolve a major issue that blossomed long before our respective elections.”

Louis Gonzalez, attorney for Neighborhood Partners and Twin Pines, said Wednesday that while his clients could have been awarded more, they’re happy to finally reach a resolution on the case as well.

“I think we’re glad to have been able to reach a settlement with the city, which (my clients) have been trying to do for a well over a year,” Gonzalez said.

As for future housing developments, Luke Watkins, co-owner of Neighborhood Partners, said that if the opportunity presented itself he could see working with the city on a new project.

“I (would) look forward to the opportunity to work with the city again, if possible,” Watkins said.

DACHA was created in 2002, as a limited-equity affordable cooperative housing association. Prospective members would pay $20,000 up-front — and then subsequent carrying charges — to join the association and live in one of the 20 homes scattered throughout the city.

The members would receive their money back in full if they chose to leave the cooperative.

In 2005, however, the DACHA board decided to terminate its contract with Neighborhood Partners, which was later deemed illegal in court.

The city, which had refinanced DACHA ’s assets in 2006, making them the lending agency for the association as a result, was forced to foreclose on the 20 homes in 2009 when Neighborhood Partners successfully sued the association for about $332,000.

The city has since bought the homes outright and re-purposed them as affordable rental units, now called the GAMAT Homes. Fourteen of the 20 houses are occupied and each tenant is up to date in rent, according to the city.

The average rent is $1,084 for two-bedroom units and $1,162 for three-bedroom units.

— Reach Tom Sakash at tsakash@davisenterprise.net or 530-747-8057. Follow him on Twitter @TomSakash

Tom Sakash

Tom Sakash covers the city beat for The Davis Enterprise. Reach him at tsakash@davisenterprise.net, (530) 747-8057 or @TomSakash.
LEAVE A COMMENT

Discussion | No comments

The Davis Enterprise does not necessarily condone the comments here, nor does it review every post. Read our full policy

.

News

Hub of activity: DHS newspaper keeps evolving

By Zoe Juanitas | From Page: A1 | Gallery

 
A springtime ritual

By Wayne Tilcock | From Page: A1 | Gallery

Tom Adams seeks Davis school board seat

By Jeff Hudson | From Page: A1

 
 
Holy fire ceremony draws thousands in Jerusalem

By The Associated Press | From Page: A2 | Gallery

Tour renovated YCCC facility Thursday

By Enterprise staff | From Page: A3

 
Tour Davis Waldorf School on Wednesday

By Enterprise staff | From Page: A3

The fifth annual Tour de Cluck is soon to be hatched

By Special to The Enterprise | From Page: A3 | Gallery

 
Ortiz lawn signs available

By Enterprise staff | From Page: A3

Sign up soon for spring cooking classes

By Enterprise staff | From Page: A3

 
Robb Davis team to rally on Saturday

By Enterprise staff | From Page: A3

Steadfast in their support

By Lauren Keene | From Page: A4, 11 Comments | Gallery

 
Yolo Hospice offers free grief workshops

By Enterprise staff | From Page: A4

Sign up for Camp Kesem caterpillar crawl

By Enterprise staff | From Page: A4

 
Quilters gear up for annual show

By Sebastian Onate | From Page: A4

League hosts a series of candidate forums

By Enterprise staff | From Page: A5

 
KDVS launches fund drive on Monday

By Jeff Hudson | From Page: A5

Calling all Scrabble fans

By Enterprise staff | From Page: A5, 1 Comment | Gallery

 
Hub webpage is seeing traffic increasing

By Zoe Juanitas | From Page: A8

Learn Chinese crafts at I-House

By Sebastian Onate | From Page: A16

 
Preschool open house set at Davis Waldorf

By Enterprise staff | From Page: A16

Birch Lane celebrates its 50th anniversary

By Enterprise staff | From Page: A16

 
Hotel/conference center info meeting set

By Enterprise staff | From Page: A16

Lescroart welcomes all to book-launch party

By Special to The Enterprise | From Page: A16 | Gallery

 
DEVO set to serve up 14th annual Winkler Dinner

By Enterprise staff | From Page: A16 | Gallery

.

Forum

Take ownership of your health

By Special to The Enterprise | From Page: B5

 
Not thrilled with lack of symmetry

By Special to The Enterprise | From Page: A7

Reliving the agony and ecstasy of spring

By Marion Franck | From Page: A7

 
Keep your baby safe

By Special to The Enterprise | From Page: A7

 
Road diet? No, city diet!

By Letters to the Editor | From Page: A12, 5 Comments

We’re reveling in our equality

By Letters to the Editor | From Page: A12, 1 Comment

 
Vote no; it’s fiscally responsible

By Letters to the Editor | From Page: A12, 3 Comments

Rick McKee cartoon

By Debbie Davis | From Page: A12

 
Core values on campus

By Our View | From Page: A12, 3 Comments

 
Bill is an affront to UC Davis ag biotech and local farmers

By Special to The Enterprise | From Page: A13, 3 Comments

Don’t want to sit in Fix 50 traffic? Consider alternatives

By Special to The Enterprise | From Page: A13, 1 Comment

 
.

Sports

UCD softball shut out by Santa Barbara

By Thomas Oide | From Page: B1 | Gallery

 
Aggie men shoot 9-under, lead own tourney

By Bruce Gallaudet | From Page: B1 | Gallery

Stars shine in Woody Wilson Classic

By Evan Ream | From Page: B1, 1 Comment | Gallery

 
Devils burn up the track

By Enterprise staff | From Page: B1

 
UCD roundup: Aggie baseball swept away by Highlanders

By Enterprise staff | From Page: B2

A’s score 3 in ninth, rally past Astros 4-3

By The Associated Press | From Page: B6

 
.

Features

.

Arts

.

Business

PG&E pays taxes, fees to county, cities

By Enterprise staff | From Page: A9, 1 Comment

 
Will Davis get an Old Soul?

By Wendy Weitzel | From Page: A9

Pediatricians, nurse practitioner hired at Woodland Healthcare

By Enterprise staff | From Page: A9 | Gallery

 
Asian stocks mostly higher after mixed U.S. earnings

By The Associated Press | From Page: A9

Yolo Federal Credit Union gets WISH funds

By Enterprise staff | From Page: A9

 
Davis Roots will showcase its graduating startups

By Enterprise staff | From Page: A14

University Honda wins another President’s Award

By Enterprise staff | From Page: A14 | Gallery

 
Dutch Bros. raises $19,000 for girl with leukemia

By Enterprise staff | From Page: A14 | Gallery

.

Obituaries

.

Comics

Comics: Sunday, April 20, 2014

By Creator | From Page: B8