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HomeMy WebLinkAboutMINUTES - 02021988 - 1.58 TO: REDEVELOPMENT AGENCY 1-059 -059 FROM: PHIL BATCHELOR, EXECUTIVE DIRECTOR DATE: January 25, 1988 SUBJECT: Redevelopment Agency Housing Set-Aside and Homeless Facilities/Programs SPECIFIC REQUEST(S) OR RECOMMFNDATIONS(S) & BACKGROUND AND JUSTIFICATION RECOMMENDATIONS Authorize the Redevelopment Director to forward proposed legislation modifying Health & Safety Code provisions which govern use of low and moderate income housing set aside, and specifically allow for the use of said housing funds for regionally serving homeless facilities/programs to the County' s legislative delegation. FISCAL IMPACT BACKGROUND/REASONS FOR RECOMMENDATIONS In August, 1987 the Board of Supervisors requested that Redevelopment Agency staff investigate the feasibility of using the low & moderate income housing set aside, established pursuant to Health & Safety Code Sections 33334 . 2 and 33334 . 6 for financing homeless facilities and/or programs. Under the Community Redevelopment Law, redevelopment agencies are required to expend 200 of the tax increment funds they receive to increase and improve the supply of low and moderate income housing. There is no authorization in the current law which would allow expenditure of a redevelopment agency' s housing funds to provide shelter for the homeless. The attached proposed legislation authorized redevelopment agencies to use their housing funds to provide temporary or permanent shelter for homeless low and mode- rate income persons and families. In addition, the legislation recognizes that, because the homeless have no permanent residence, the problem of the homeless is one that spills over political boundaries. The proposed legislation, therefore, authorizes expenditure of housing funds for regional facilities. This will permit several redevelopment agencies in an area to work together towards regional housing facilities which will serve all the participating communities. CONTINUED ON ATTACBIl4EN'r: YES SIGNATURE: RECOMMENDATION OF EXECUTIVE DIRECTOR RECOMMENDATION AGEN O APPROVE OTHER SIGNATURE(S) : ACTION OF AGENCY ON February 2, 1988 APPROVED AS RECOMMENDED X OTHER VOTE OF COMMISSIONERS I HEREBY CERTIFY THAT THIS IS A X UNANIMOUS (ABSENT ) TRUE AND CORRECT COPY OF AN AYES: NOES: ACTION TAKEN AND ENTERED ON THE ABSENT: ABSTAIN: MINUTES OF THE REDEVELOPMENT AGENCY ON THE DATE SHOWN. cc: Redevelopment Director ATTESTED February 2, 1988 County Administrator PHIL BATCHELOR, AGENCY SECRETARY BY DEPUTY Health and Safety Code Section 33334 .2 : (a) Not less than 20 percent of all taxes which are allocated to the agency pursuant to Section 33670 shall be used by the agency for the purposes of increasing and improving the community' s supply of low- and moderate-income housing available at affordable housing cost, as defined by Section 50052 .5 , to persons and families of low or moderate income , as defined in Section 50093 , and very low income households, as defined in Section 50105 , unless one of the following findings is made: (1) That no need exists in the community to improve or increase the supply of low- and moderate-income housing in a manner which would benefit the project area. (2) That some stated percentage less than 20 percent of the taxes which are allocated to the agency pursuant to Section 33670 is sufficient to meet the housing need. (3) That a substantial effort to meet low- and moderate-income housing needs in the community is being made, and that this effort, including the obligation of funds currently available for the benefit of the community from state, local, and federal sources for low- and moderate-income housing alone or in combination with the taxes allocated under this section, is equivalent in impact to the funds otherwise required to be set aside pursuant to this section. The legislative body shall consider the need which can be reasonably foreseen because of displacement of persons and families of low or moderate income or very low income households from within, or adjacent to, the project area, because of increased employment opportunities , or because of any other direct or indirect result of implementation of the redevelopment plan. (b) Within 10 days following the making of a finding under subdivision (a) , the agency shall send the Department of Housing and Community Development a copy of the finding, including the factual information supporting the finding. (c) In any litigation to challenge or attack a finding made under subdivision (a) , (b) , or (c) , the burden shall be upon the agency to establish that the finding is supported by substantial evidence in light of the entire record before the agency. (d) Nothing in this section shall be construed as relieving any other public entity or entity with the power of eminent domain of any legal obligations for replacement or relocation housing arising out of its activities. -2- (e) In carrying out the purpose of this section, the agency may exercise any or all of its powers , including the following: (1) Acquire land or building sites. (2) Improve land or building sites with onsite or offsite improvements. (3) Donate land to private or public persons or entities. (4) Construct buildings or structures. (5) Acquire buildings or structures . (6) Rehabilitate buildings or structures. (7) Provide subsidies to, or for the benefit of, very low income households, as defined by Section 50105 , lower income households, as defined by Section 50079 .5 , or persons and families of low or moderate income, as defined by Section 50093 . (8) Develop plans, pay principal and interest on bonds, loans , advances or other indebtedness , or pay financing or carrying charges. (9) Provide temporary or permanent shelter for homeless persons and families. In recognition of the fact that the housing of homeless persons and families is a regional problem the alleviation of which will benefit project areas throughout a region, the Legislature finds and declares that the expenditure of these funds for regional facilities for temporary or permanent shelter for homeless persons and families is always a benefit to .a project. (f) The agency may use these funds to meet, in whole or in part, the replacement housing provisions in Section 33413 . However, nothing in this section shall be construed as limiting in any way the requirements of that section. (g) The agency may use these funds inside or outside the project area. The agency may only use these funds outside the project area upon a resolution of the agency and the legislative body that such use will be of benefit to the project. The determination by the agency and the legislative body shall be final and conclusive as to the issue of benefit to the project area. The Legislature finds and declares that the provision of replacement housing pursuant to Section 33413 is always of benefit to a project. Unless the legislative body finds before the redevelopment plan is adopted, that the provision of low- and moderate-income housing outside the project area will be of benefit to the project, the project -3- area shall include property suitable for low- and moderate-income housing. (h) The Legislature finds and declares that expenditures or obligations incurred by the agency pursuant to this section shall constitute an indebtedness of the project. (i) The requirements of this section shall only apply to taxes allocated to a redevelopment agency for which a final redevelopment plan is adopted on or after the effective date of this section, or for any area which is added to a project by an amendment to a redevelopment plan, which amendment is adopted on or after the effective date of this section. An agency may, by resolution, elect to make all or part of the requirements of this section applicable to any redevelopment project for which a redevelopment plan was adopted prior to January 1 , 1977 , subject to any indebtedness incurred prior to the election. (j ) (1) Notwithstanding Sections 50079 .5 , 50093 , and 50105 , for purposes of providing assistance to mortgagors participating in a homeownership residential mortgage revenue bond program pursuant to Section 33750 , or a. home financing program pursuant to Section 52020 , or a California Housing Finance Agency home financing program, "area median income" means the highest of the following: (A) Statewide median household income. (B) Countywide median household income. (C) Median family income for the area, as determined by the United States Department of Housing and Urban Development with respect to either a standard metropolitan statistical area or an area outside of a standard metropolitan statistical area. Nothing in Section 50093 shall prevent the agency from adopting separate family size adjustment factors or programmatic definitions of income to qualify households, persons, and families for the programs of the agency. (2) To the extent that any portion of the Low and Moderate Income Housing Fund is expended to provide assistance to mortgagors participating in programs whose income exceeds that of persons and families of loco or moderate income, as defined in Section 50093 , the agency shall, within two years , expend or enter into a legally enforceable agreement to expend twice that sum exclusively to increase and improve the community' s supply of housing available at affordable housing cost, as defined in Section 50052 . 5 , to lower income households , as defined in Section 50079 .5 , of which at least 50 percent shall be very low income households , as defined in Section 50105 . -4- (3) In addition to the requirements of subdivision (c) of Section 33513 , the agency shall require that the lower and very low income dwelling units developed pursuant to this subdivision remain available at affordable housing cost to lower and very low income households for at least 30 years , except as to dwelling units developed with the assistance of federal or state subsidy programs which terminate in a shorter period and cannot be extended or renewed. (4) The agency shall include within the report required by Section 33080 information with respect to compliance by the agency with the requirements of this subdivision. #B007/B32004 -5-